CITY COUNCIL AGENDA
January 16, 2024
REGULAR SESSION - 6:00 P.M,
CLOSED SESSION FOLLOWING
ANDERSON CITY HALL
1887 Howard Street
PARTICIPATION BY PUBLIC IN MEETING
Please review the Agenda to determine if the subject you wish to discuss is scheduled for Council consideration. If it is on the Agenda, you will have an opportunity when that matter comes up for discussion to briefly address the Council.
If the subject is not on tonight's Agenda, please complete an Agenda Request Form (on Clerk's table) and present it to the City Council Clerk. You will have the opportunity to speak on the subject under Item 5.2. However, if the item is not on the Agenda, each speaker will be limited to one three (3) minute opportunity to speak, unless the City Council makes an exception due to special circumstances.
The Brown Act prohibits the Council from taking action on any item not placed on the printed Agenda in most cases.
The Brown Act requires any non•confidential documents or writings distributed to a majority of the City Council less than 72 hours before a regular meeting will be made available to members of the public at the same time they are distributed.
City Council meetings are televised and can be seen live on Cable Public Access Channel 181 (previously Channel 11) and on tape delay the following morning at 10:00 a.m. City Council meetings may also be viewed on the City's website at www.ci.aoderson.ca.us by clicking on the TV icon on the Home Page.
In compliance with the Americans with Disabilities Act, the City of Anderson will make available to members of the public any special assistance necessary to participate in this meeting. The public should contact the City Clerk's office (378·6646) to make such a request. Notification 72 hours prior to the meeting will enable the City to make reasonable arrangements to ensure accessibility to this meeting.
This is an Equal Opportunity Program. Discrimination is prohibited by Federal Law.
Complaints of discrimination may be filed with the Secretary of Agriculture, Washington, D.C. 202S0.
City Council Meeting
January 16, 2024
1.0 ROLL CALL-COUNCIL:
REGULAR SESSION - 6:00 P.M.
Councilmember Baugh
Councilmember Gallagher
Councilmember Gallier
Vice-Mayor Hunt
Mayor Neutze
2.0 INVOCATION - Ryan Wildauer, Neighborhood Church of Anderson/Cottonwood, will give the invocation.
3.0 PLEDGE OF ALLEGIANCE - Vice Mayor Melissa Hunt will give the invocation.
4.0 STUDENT REPORTS - A student from Anderson High School will give an update on student activities.
4.3 RECOGNITION
a. Mayor Neutze will present Police Chief Jon Poletski a certificate thanking him for his service as Interim City Manager.
b. Jennifer McDaniel, Director of Operations and Administration, will congratulate Jeff Maze on obtaining his Electrical Inspector Certification.
5.2 PUBLIC COMMENT ON ITEMS NOT ON THE AGENDA - This is the time to address public comments by any member of the public to the Council regarding an item not on the agenda. Each comment must be limited to 3 minutes or less and on an item within the City's subject matter jurisdiction. The Brown Act does not permit any action or discussion on items not listed on the agenda. Are there any public comments?
CONSENT AGENDA
6.0 CONSENT AGENDA - Consent Agenda items are expected to be routine and noncontroversial. They will be acted upon by the Council at one time without discussion. Any member of the public, staff or City Council may request that an item be removed from the Consent Agenda for separate discussion. Are there any requests to remove any items from the Consent Agenda?
6.1 MINUTES -Approve the minutes of the regular meeting of January 2, 2024.
6.2 WARRANTS - Receive and file warrant 30792 to 30813 in the amount of $129,468.53; Receive and file ACH in the amount of $56,677.30; Receive and file warrant 30814 to 30925 in the amount of $366,220.76.
City Council Meeting
January 16, 2024
END OF CONSENT CALENDAR
6.11 ITEMS (IF ANY) REMOVED FROM THE CONSENT CALENDAR - Items removed from the Consent Agenda for discussion will be treated as Regular Agenda items and any member of the public may request to address the Council on any such item as it comes up for discussion. Please provide your name and limit your remarks to 3 minutes or less.
REGULAR AGENDA
8.0 REGULAR AGENDA - Regular Agenda Items will be discussed individually and in order.
Any member of the public may request to address the Council on an item as it comes up for discussion. Please provide your name and limit your remarks to 3 minutes or less.
CITY ATTORNEY
8.2 CONSIDER APPROVAL OF REAL ESTATE PURCHASE AND SALE AGREEMENT WITH GATEWAY COMMERCIAL GROUP, LLC FORACCESSOR PARCEL NO. 201-920-019 RECOMMENDED ACTION:
1) Approve the Real Estate Purchase and Sale Agreement with Gateway Commercial Group, LLC for Accessor Parcel No. 201-920-019; and
2) Authorize City Attorney to waive contingencies in contract absent concerns raised in review of title, funding ability by City, or due diligence inspections.
CITY MANAGER
8.3 ATTENDANCE AT INNOVATING COMMERCE SERVING COMMUNITIES (ICSC) LAS VEGAS
RECOMMENDED ACTION:
Provide direction on the attendance of ICSC Las Vegas May 19-24, 2024.
11.0 COUNCIL REPORTS/COMMENTS - City Councilmembers will report on attendance at conferences/meetings reimbursed at City expense (Requirement of Assembly Bill 1234.)
12.0 Public Comment on Closed Session ltem(s): Anyone in the audience who wants to address the City Council on a subject which is listed under the Closed Session agenda is now invited to come to the podium. Please provide your name and the subject you wish to discuss. Please limit your remarks to 3 minutes or less.
The City Council will convene to Closed Session.
CLOSED SESSION
City Council Meeting
January 16, 2024
Page4
C.S.1 CONFERENCE WITH REAL PROPERTY NEGOTIATIONS (SECTION 54956.8) Property: 2800 Douglas Street, Anderson, CA 96007
Agency Negotiation: City Manager Joey Forseth-Deshais
Negotiating Parties: Michael and Judy Hubert
Under Negotiation: Value of Property
C.S.2 CONFERENCE WITH REAL PROPERTY NEGOTIATIONS (§ 54956.8) Property: 1787 3rd Street, Anderson, California
Agency Negotiation: City Manager Joey Forseth-Deshais and City Attorney Collin Bogener
Negotiating Parties: Interested Buyers
Under Negotiation: Appraisal
The CifJ' Council will reconvene to Open Session.
13.0 CLOSED SESSION ANNOUNCEMENT: The Mayor will announce the results of the Closed Session.
14.0 ADJOURN - The c;u, Council will adjourn to February 6, 2024,
CERTIFICATE OF RECOGNITION
The Anderson City Council
Wishes to Recognize and Honor
The Anderson City Council
Wishes to Recognize and Honor
Jon Poletski
For his time served as the Acting City Manager Manager
STAN NEUTZE, MAYOR
January 16, 2024
STAN NEUTZE, MAYOR
January 16, 2024
ANDERSON CITY COUNCIL MINUTES
Regular Meeting
January 2, 2024
REGULAR SESSION
The regular session was called to order at 6:00 p.m.
ROLL CALL
Councilmembers present: Councilmember Hunt
Councilmember Gallier
Councilmember Baugh
Vice-Mayor Neutze
Mayor Gallagher
DRAFT
Also present: Interim City Manager Jon Poletski. City Attorney Collin Bogener and City Clerk Christy White.
INVOCATION
Doug Deese, Neighborhood Church of Anderson/Cottonwood, gave the invocation.
PLEDGE OF ALLEGIANCE
Councilmember Susie Baugh led the Pledge of Allegiance.
SELECTION OF MAYOR AND VICE-MAYOR
Mayor Mike Gallagher directed City Clerk Christy White to conduct the Mayor and Vice Mayor selection.
By motion made, seconded (Gallier /Baugh), and carried by a 5-0 vote, the Council nominated and voted Stan Neutze as Mayor and Melissa Hunt as Vice Mayor for the year 2024. Council adopted Resolution 24-01 confirming the results of the Mayor and Vice Mayor selection.
AYES:
NOES:
ABSTAIN:
ABSENT:
ITEM 6.1
Councilmembers Gallier, Baugh, Hunt, Neutze and Gallagher.
None.
None.
None.
1/16/2024
City Council Meeting
January 16, 2024
PRESENTATION OF PLAQUE OF APPRECIATION TO OUTGOING MAYOR The newly seated Mayor Stan Neutze presented a Plaque of Appreciation to Mayor Gallagher for his outstanding service as Mayor of the City of Anderson during 2023.
APPROVE EMPLOYMENT AGREEMENT WITH IOSEPH FORSETH-DESHAIS AS CITY
MANAGER
City Attorney Collin Bogener presented a staff report to Council in regards to the appointment of a new City Manager.
By motion made, seconded (Hunt/Baugh) and carried by a 5-0 vote Council voted to approve the proposed employment agreement with Joseph Forseth-Deshais to serve as the City Manager for the City of Anderson.
~= AYES:
NOES:
ABSTAIN:
ABSENT:
Council members Hunt, Baugh, Gallier, Gallagher and Mayor Neutze.
None.
None.
None.
6:18 pm The CilJ' Council recessed for five minutes for refreshments seating rearrangement
6:33 pm The City council will reconvene.
ROLL CALL - COUNCIL:
Councilmember Baugh
Councilmember Gallagher
Councilmember Gallier
Vice-Mayor Hunt
Mayor N eutze
PRESENTATION - Self-Help Home Improvement Project, Inc (SHHIP) PUBLIC COMMENT ON ITEMS NOT ON THE AGENDA - None.
CONSENT AGENDA
By motion made, second (Neutze/Hunt) and carried by a 5-0 vote, Council took the following action.
Approved the minutes of the special meeting of December 4, 2024, the regular meeting of December 5, 2023 and special meeting of December 20, 202 3.
Received and filed warrant 30540 to 30627 in the amount of $221,913.82; Received and filed warrant 30628 to 30687 in the amount of $273,654.89; Received and filed ACH in the amount of $58,300.60; Received and filed warrant 30688 to 30748 in the amount of City Council Meeting
January 16, 2024
$175,522.74; Received and filed ACH in the amount of $63,072.46; Received and filed warrant 30749 to 30791 in the amount of $56,490.25.
Adopted Resolution 24-02 establishing regular City Council meeting dates for the year 2024.
Adopted the pay schedule for the City Manager position.
Received and filed the quarterly treasurer's report for the fiscal quarter ended June 30, 2023.
AYES:
NOES:
ABSTAIN:
ABSENT:
Councilmembers Hunt, Gallier, Baugh, Gallagher and Mayor Neutze.
None.
None.
None.
REGULAR AGENDA
CITY COUNCIL
DISCUSSION FOR THE CONSIDERATION OF THE AT HOME SHASTA ACTION PLAN Councilmember Susie Baugh spoke on the AT HOME Shasta Action Plan and asked for Council to consider the appointment of two Council member to continue to serve on the AT HOME Shasta Committee.
By motion made, seconded (Hunt/Gallagher) and carried by a 5-0 vote Council voted to endorse the AT HOME Shasta Action Plan and for Councilmembers Baugh and Gallagher to continue to serve on the committee.
AYES:
NOES:
ABSTAIN:
ABSENT:
Councilmembers Hunt, Gallagher, Baugh, Gallier and Mayor Neutze.
None.
None.
None.
CITY COUNCIL
REVIEW OF MAYOR'S CITY SELECTION COMMITTEE APPOINTMENTS Mayor N eutze opened the staff report for discussion on the Mayor selections committee appointments.
The following selections were made:
Airport Land Use Commission - Councilmember Hunt
Local Agency Formation Commission - Vice Mayor Neutze
Shasta Regional Transportation Agency - Mayor Gallagher City Council Meeting
January 16, 2024
COMMISSION / COMMITTEE APPOINTMENTS
City Clerk Christy White gave a staff report and turned the selection process over to Mayor Neutze. The following appointments were made:
Redding Area Bus Authority (RABA) - Councilmember Gallagher Enterprise Anderson Groundwater Sustainability Agency (EAGSA) - Vice Mayor Hunt City Liaison/Voting Delegate to the League of California Cities - Council member Gallier Anderson Community Economic Development (ACED) - Councilmember Gallier Healthy Shasta Partner Leadership Team -Councilmember Baugh Redding Area Water Council-Policy Advisory Committee (RAWC-PAC)-Councilmember Baugh
Shasta County Community Action Board (CAB) - Mayor Neutze Youth Options Board of Directors - Councilmember Baugh
By motion made, seconded (Hunt/Gallier) and carried by a 5-0 vote Council voted to approve the above appointments.
Vote: AYES: Councilmembers Hunt, Gallier, Baugh, Gallagher and Mayor Neutze.
NOES: None.
ABSTAIN: None.
ABSENT: None.
PUBLIC WORKS
DRAFT WATER RATE STUDY UPDATE
Public Works Director Adam Whelen gave a staff report and introduced Catherine from Lechowicz + Tseng Municipal Consultants who gave a presentation. Together they answered questions from Council and the public.
Darin Hale spoke to Council in support of the increase and recommended implementing the full increase at once.
Jill Bennett spoke to Council and asked questions about water usage and the rates.
Council recommended moving forward with the consultants recommendation but would like the timeline moved up. Council has requested the final recommendations be presented at the February 6, 2024 meeting and the public hearing be held on April 6, 2024.
COUNCIL REPORTS/COMMENTS
Councilmembers used this time to report on meetings and activities they participated in and to announce upcoming events.
City Council Meeting
January 16, 2024
Public Comment on Closed Session Items- None.
8:01 p,m.: The Cit;y Council convened to Closed Session.
CLOSED SESSION
8:22 p,m,; The Cir,, Council reconvened to Qaen Session.
CLOSED SESSION ANNOUNCEMENT
Mayor Neutze announced that the Council sat in Closed Session giving staff direction.
CONFERENCE WITH REAL PROPERTY NEGOTIATIONS(§ 54956.8)
- Property: APN 201-920-019
- Agency Negotiation: Interim City Manager and City Attorney - Negotiating Parties: Listing Agent Ken Miller
- Under Negotiation: Appraisal of Property
ADJOURNMENT
8:22p.m.: The Cit;y Council adiourned to lanuary 16. 2024.
Stan Neutze, Mayor
ATTEST:
Christy White, City Clerk
AGENDA ITEM
I January 16, 2024 City Council Meeting
To Be Presented By:
Cindy Wheeler, Acting Finance Director/ Treasurer
To:
Through:
Honorable Mayor and Members of the Anderson City Council Joey Forseth-Deshais, City Manager
From: Cindy Wheeler, Acting Finance Director /Treasurer Date: January 16, 2024
JSUBJECT
Receive and File Weekly Warrant Registers.
I RECOMMENDATION
Receive and file warrant 30792 to 30813 in the amount of $129,468.53; Receive and file ACH in the amount of $56,677.30; Receive and file warrant 30814 to 30925 in the amount of $366,220.76.
j ATTACHMENT
Warrant Registers.
ITEM 6.2 PAGE1 1/16/2024
CHECK REGISTER
NAME CHECK CHECK CHECK
VENDOR DESCRIPTION DATE NUMBER AMOUNT
000945 BEACON FIRE ALARM & SECURITY,
PROFESSIONAL SVCS & EQUIPMENT 12/29/2023 030792 18,710.00 011927 CALIFORNIA STATE LANDS COMMISS
WASTEWATER OUTFALL LEASE 12/29/2023 030793 1,320.60
002840 DAY WIRELESS SYSTEMS
EQUIPMENT 12/29/2023 030794 1,189.06
012037 EDUCATION & TRAINING SERVICES
LEADERSHIP TRAINtNG 12/29/2023 030795 1,647.00
003423 ENERPOWER
UTILITIES 12/29/2023 030796 4,544.00
003618 FERGUSON ENTERPRISES, INC.
SUPPLIES 12/29/2023 030797 54.04
004067 GHD, INC.
PROFESSIONAL SERVICES 12/29/2023 030798 3,301.65
004096 GILES LOCK & SECURITY SYSTEMS,
SUPPLIES 12/29/2023 030799 130.58
005445 K & S STAFFING SOLUTIONS, INC.
PROFESSIONAL SERVICES 12/29/2023 030800 1,700.13
011746 LIFE LINE SCREENING OF AMERICA
CLEANING DEPOSIT REFUND 12/29/2023 030801 500.00
006153 LOUCKS LANDSCAPE SUPPLY
MATERIALS 12/29/2023 030802 589.88
007493 ODP BUSINESS SOLUTIONS, LLC
OFFICE SUPPLIES 12/29/2023 030803 432.89
007630 PACIFIC GAS & ELECTRIC
AND PARK VILLAGE ENG. ADVANCE 12/29/2023 030804 3,000.00 007630 PACIFIC GAS & ELECTRIC
UTILITIES 12/29/2023 030805 67,201.69
008076 PREFERRED PUMP
PARTS 12/29/2023 030806 514.34
NAME CHECK CHECK CHECK
VENDOR DESCRIPTION DATE NUMBER AMOUNT
009423 SHASTA COUNTY AUDITOR CONT.
JAIL CONSTRUCTION FEES 12/29/2023 030807 75.00
009551 SHIELD REGIONAL TRAINING
TRAINING-SMITH 12/29/2023 030808 30.00
009564 SHN CONSULTING ENGINEERS AND G
PROFESSIONAL SERVICES 12/29/2023 030809 10,550.00
010212 SW MAINTENANCE CORP.
MONTHLY UST TESTING 12/29/2023 030810 65.00
011790 TRAFFIC AND PARKING CONTROL CO
EQUIPMENT 12/29/2023 030811 8,609.04
010874 VERIZON WIRELESS
PHONE CHARGES 12/29/2023 030812 3,638.63
011305 PETER WICKENHEISER
TUITION REIMBURSEMENT 12/29/2023 030813 1,665.00
1/4/24 ACH PERS 56,677.30 129,468.53
For Payroll Ending 12/22/23
Signature
\·~10(25
Date
CHECK REGISTER
NAME CHECK CHECK CHECK
VENDOR DESCRIPTION DATE NUMBER AMOUNT
VOIDED CHECKS 1/5/2024 30814-30845
PRINTING ERROR
000083 ACE HARDWARE
SUPPLIES-JOB #5 1/5/2024 030846 2,934.33
VOID CHECK 1/5/2024 030847
000243 ALL CAR & TRUCK TOWING, LLC
PROFESSIONAL SERVICES 1/5/2024 030848 2,325.00
000322 AMERICAN FIDELITY ASSURANCE
INSURANCE PREMIUM~DEC 23 1/5/2024 030849 2,755.81
000323 AMERICAN FIDELITY ASSURANCE CO
CAFETERIA 125 PE 12/22/23 1/5/2024 030850 282.68
000404 ANDERSON FARM & YARD SUP.
SUPPLIES 1/5/2024 030851 128.22
000506 APOA
DONATED FUNDS 1/5/2024 030852 500.00
000615 AT&T CALNET
PHONE CHARGES 1/5/2024 030853 1,889.63
000700 BADGER METER, INC.
EQUIPMENT 1/5/2024 030854 3, 143.19
012039 BDI
EQUIPMENT 1/5/2024 030855 2,044.63
001224 STEPHEN BLUNK
CELL PHONE REIMBURSEMENT 1/5/2024 030856 75.00
001750 CALIFORNIA SAFETY CO.
PROFESSIONAL SERVICES 1/5/2024 030857 1,974.00
001754 CALIFORNIA VISION SERVICE
INSURANCE PREMIUM 1/5/2024 030858 119.50
001757 CALL CENTER SALES PRO
PROFESSIONAL SERVICES 1/5/2024 030859 28.10
NAME CHECK CHECK CHECK
VENDOR DESCRIPTION DATE NUMBER AMOUNT
012019 CHISEL MACHINING
EQUIPMENT 1/5/2024 030860 4,965.12
002142 CINTAS FIRST AID & SAFETY
SUPPLIES 1/5/2024 030861 3S.79
002392 CONSOLIDATED ELECTRICAL DIST.
SUPPLIES 1/5/2024 030862 678.19
002561 CRAFCO, INC.
SUPPLIES 1/5/2024 030863 43.10
002634 CROWN MOTORS
PROFESSIONAL SVCS & PARTS 1/5/2024 030864 992.26
002716 CWEA
MEMBERSHIP-KAVERT 1/5/2024 030865 221.00
003138 DOWN RANGE
SUPPLIES 1/5/2024 030866 284.38
012041 PATRICIA EARP
CLEANING DEPOSIT REFUND 1/5/2024 030867 350.00
012037 EDUCATION & TRAINING SERVICES
LEADERSHIP TRAINING 1/5/2024 030868 549.00
012043 EVERGREEN MIDDLE SCHOOL STU DEN
ICE RINK RENTAL REFUND 1/5/2024 030869 300.00
011715 EMMA FARMER
PER DIEM-TRAINING 1/5/2024 030870 381.00
003590 FASTENERS INC.
SUPPLIES 1/5/2024 030871 3,363.77
003618 FERGUSON ENTERPRISES, INC.
SUPPLIES 1/5/2024 030872 3,760.30
011976 JOEY FORSETH-DESHAIS
CELL PHONE REIMBURSEMENT 1/5/2024 030873 75.00
011883 ADAM FROEBER
CELL PHONE REIMBURSEMENT 1/5/2024 030874 75.00
NAME CHECK CHECK CHECK
VENDOR DESCRIPTION DATE NUMBER AMOUNT
004040 GENERAL TEAMSTERS #137
DUES FOR MONTH OF DEC-23 1/5/2024 030875 2,679.00
004096 GILES LOCK & SECURITY SYSTEMS,
SUPPLIES 1/5/2024 030876 3,110.25
004592 HAVEN HUMANE SOCIETY
ANIMAL CONTROL SERVICES 1/5/2024 030877 8,607.42
011906 HUNT & SONS, INC.
FUEL CHARGES 1/5/2024 030878 17,078.04
005060 HYDRAULIC CONTROLS, INC.
SUPPLIES 1/5/2024 030879 182.99
005076 IBM CORPORATION
PROFESSIONAL SERVICES 1/5/2024 030880 99.00
005111 INLAND BUSINESS MACHINES, INC
MONTHLY LEASE & OVERAGE 1/5/2024 030881 1,016.05
005169 J & T CONSULTING, INC.
PROFESSIONAL SERVICES 1/5/2024 030882 1,883.00
005401 NICHOLAS JONES
CELL PHONE REIMBURSEMENT 1/5/2024 030883 75.00
005445 K & S STAFFING SOLUTIONS, INC.
PROFESSIONAL SERVICES 1/5/2024 030884 1,806.10
012040 MIKAYLA LEMIRE
FACILITY RENTAL REFUND 1/5/2024 030885 595.00
006026 LIDDELL CONST. SUPPLY INC.
SUPPLIES 1/5/2024 030886 1,207.85
011717 NICHOLE MCCOLLUM
CELL PHONE REIMBURSEMENT 1/5/2024 030887 75.00
011886 JENNIFER MCDANIEL
CELL PHONE REIMBURSEMENT 1/5/2024 030888 75.00
006643 MCMASTER-CARR SUPPLY CO.
SUPPLIES 1/5/2024 030889 64.97
NAME CHECK CHECK CHECK
VENDOR DESCRIPTION DATE NUMBER AMOUNT
011792 MISSIONSQUARE-302204
PLAN #302204 PE 12/22/23 1/5/2024 030890 3,435.00
007202 NCCSIF
WORKERS COMPENSATION INS. 1/5/2024 030891 45,231.75
007477 OBSIDIAN IT
PROFESSIONAL SERVICES 1/5/2024 030892 4,054.50
007616 PACE ANALYTICAL SVCS., LLC
PROFESSIONAL SERVICES 1/5/2024 030893 254.60
007618 PACE SUPPLY CORP.
SUPPLIES 1/5/2024 030894 37.70
007967 PLATT
SUPPLIES 1/5/2024 030895 3,499.58
007998 JON POLETSKI
CELL PHONE REIMBURSEMENT 1/5/2024 030896 7S.00
011940 QUICK QUACK CAR WASH
CAR WASHES 1/5/2024 030897 683.64
008241 RADER EXCAVATING, INC.
SUPPLIES 1/5/2024 030898 472.00
008270 NATHAN RAMIREZ
CELL PHONE REIMBURSEMENT 1/5/2024 030899 75.00
011979 ERIC RICHISON
REIMBURSEMENT-DOT 1/5/2024 030900 120.00
009045 SAFEGUARD FIRE PROTECTION
PROFESSIONAL SERVICES 1/5/2024 030901 288.00
011741 ZACHARY SCOTT
REIMBURSEMENT-D2 TEST 1/5/2024 030902 65.00
009256 SCP DISTRIBUTORS, LLC
SUPPLIES 1/5/2024 030903 1,726.64
009321 HOPE SETH
PROFESSIONAL SERVICES 1/5/2024 030904 2,400.00
NAME CHECK CHECK CHECK
VENDOR DESCRIPTION DATE NUMBER AMOUNT
009365 SHASCOM
DISPATCH & CD SERVICES 1/5/2024 030905 196,721.00
009432 SHASTA COUNTY DEPT OF
PROFESSIONAL SERVICES 1/5/2024 030906 420.00
012042 SHASTA OFFICIALS
PROFESSIONAL SERVICES 1/5/2024 030907 1,396.00
009845 SONSRAY MACHINERY, LLC
SUPPLIES 1/5/2024 030908 92.06
009988 STATE OF CALIFORNIA
ASSIGN OF WAGES PE 12/22/23 1/5/2024 030909 30.00
010030 STEPHENS ELECTRICAL INC.
PROFESSIONAL SERVICES 1/5/2024 030910 1,099.58
010236 SWRCB FEES
ANNUAL PERMIT FEE #4510001 1/5/2024 030911 11,944.24
010236 SWRCB FEES
ANNUAL PERMIT FEE#5A45CR00596 1/5/2024 030912 2,509.00
010237 SWRCB/DWOCP
D2 CERTICATION 1/5/2024 030913 80.00
010360 TEXAS LIFE INSURANCE COMPANY
INSURANCE PREMIUM-DEC 23 1/5/2024 030914 908.92
010505 TK ELEVATOR CORPORATION
PROFESSIONAL SERVICES 1/5/2024 030915 905.12
010518 TOMASINI BLACKSMITHING & WELDI
SUPPLIES 1/5/2024 030916 905.53
010668 TYLER TECHNOLOGIES, INC.
PROFESSIONAL SERVICES 1/5/2024 030917 4,496.25
010671 U.S. BANK
FACILITY LEASE A/C#207877000 1/5/2024 030918 8,432.19
010688 ULINE
SUPPLIES 1/5/2024 030919 575.19
NAME CHECK CHECK CHECK
VENDOR DESCRIPTION DATE NUMBER AMOUNT
010732 UPS
SHIPPING FEES 1/5/2024 030920 62.90
010749 US BANK VOYAGER FLEET SYSTEMS
FUEL CHARGES 1/5/2024 030921 95.70
011245 CINDY WHEELER
CELL PHONE REIMBURSEMENT 1/5/2024 030922 75.00
011858 ADAM WHELEN
CELL PHONE REIMBURSEMENT 1/5/2024 030923 75.00
011260 CHRISTY WHITE
CELL PHONE REIMBURSEMENT 1/5/2024 030924 75.00
011305 PETER WICKENHEISER
CELL PHONE REIMBURSEMENT 1/5/2024 030925 75.00
366,220.76
AGENDA ITEM
~anuary 16, 2024 City Council Meetin~
Joey F rseth-Deshais, City Manager
Presented By:
To:
Through:
Honorable Mayor and Members of the Anderson City Council Joey Forseth-Deshais, City Manager
From: Collin Bogener, City Attorney
Date: January 16, 2024
I SUBJECT
Consider approval of Real Estate Purchase and Sale Agreement with Gateway Commercial Group, LLC for Accessor Parcel No. 201-920-019
I RECOMMENDATION
1) Approve the Real Estate Purchase and Sale Agreement with Gateway Commercial Group, LLC for Accessor Parcel No. 201-920-019; and 2) Authorize City Attorney to waive contingencies in contract absent concerns raised in review of title, funding ability by City, or due diligence inspections.
I FISCAL IMPACT
The purchase price for the property is $750,000.00, which is the appraised value of the property. The City is also responsible for the closing costs, including title report and recording costs.
I DISCUSSION and BACKGROUND
This item seeks approval from the City Council for the purchase of 8.81 acres located at the southern end of Gateway Drive, identified as APN: 201-920-019. The intent of the purchase ITEM 8.2 PAGE1 1/16/2024
is to eventually construct a new police station at the address, which would provide sufficient space and a central location.
Pursuant to the Government Code, the City must appraise a property before any negotiations for purchase may begin. After looking at various possible locations, this Gateway parcel was selected due to its size and location. The City then retained Jim Hardey, MAI, to perform an appraisal of the property. After performing his analysis, Mr. Hardey returned a report to the City with a fair market value of $750,000.00. The City reached out to the property owner, Gateway Commercial Group, LLC, regarding the appraisal amount, and the owner indicated he was willing to sell for the appraised amount.
The City Attorney has prepared the attached Real Estate Purchase and Sale Agreement outlining the terms of the transaction. It contemplates a 60-day escrow, which would close on March 16, 2024. The City has a 30-day funding contingency period to review available public funds and determine that the purchase is in the best interest of the public. There is also a 45-day contingency period to allow the City to perform its inspections of the property. Per the Agreement, the City will be responsible for closing costs.
If approved, escrow will be opened at First American Title Company, which will include a $10,000 deposit from the City. Dr. Shishir Dhruva, the managing member of Gateway Commercial Group, LLC, has reviewed the agreement and agreed to its terms. The LLC will be represented in this transaction by broker Ken Miller.
Approval of this item would also authorize the City Attorney to remove the contingencies if no concerns arise during those contingency periods. That will avoid the need to bring this item back to Council for approval of each contingency item, preventing delays.
I ATTACHMENT
1. Proposed Real Estate Purchase and Sale Agreement
ITEM 8.2 PAGE2 1/16/2024
REAL ESTATE PURCHASE AND SALE AGREEMENT
This Real Estate Purchase and Sale Agreement ("Agreement") is made as of January 16, 2024, by and between Gateway Commercial Group, LLC, a California Limited Liability Company ("Seller") and the City of Anderson, a municipal corporation ("Buyer").
RECITALS
A. Seller owns vacant real property in the City of Anderson, County of Shasta, identified as Assessor Parcel No. 201-920-019 and more particularly described on Exhibit "A" hereto (the "Real Property").
B. Seller desires to sell the Real Property to Buyer, and Buyer desires to purchase the same from Seller, on the terms and conditions set forth herein.
NOW, THEREFORE, Seller and Buyer agree as follows:
1. Property Purchased and Sold.
1.1. Seller agrees to sell to Buyer, and Buyer agrees to purchase from Seller, on the terms and conditions set forth herein, all of Seller's right, title and interest in and to (a) the real property described in Exhibit "A" and all easements, rights, rights-of-way, hereditaments, appurtenances, and other interests in, on, across, in front of or abutting the Real Property, (b) any and all water rights associated with the Real Property, (c) any and all personal property and or improvements located on the Property, and (d) all licenses, permits, permit applications, approvals, entitlements, development rights, improvement plans and other intangible property relating to the Real Property owned by Seller or in or to which Seller has a transferable interest (the property and rights referred to in (a), (b), (c) and (d) being collectively referred to herein as the "Property").
Buyer specifically agrees to purchase the Real Property with the non-exclusive easement across the northern border of the Real Property, described in Exhibit "B," used by Pacific Gas & Electric, California Department of Transportation ("CalTRANS"), Western Area Power Administration ("W APA"), and Shasta Publicity Group, LLC, which will continue to encumber the Real Property following the close of escrow.
2. Purchase Price. The purchase price for the Property shall be the sum of SEVEN HUNDRED FIFTY THOUSAND DOLLARS ($750,000.00) (the "Purchase Price"). The Purchase Price shall be paid through Escrow as follows:
2.1. Within five (5) days after the Effective Date, Buyer shall deliver to the Escrow Agent the sum of TEN THOUSAND 00/100 DOLLARS ($10,000.00) by wire transfer or check. Said amount shall represent Buyer's deposit on account of the Purchase Price (the "Deposit"). The term "Deposit" shall include all interest earned thereon while in Escrow. The Deposit shall be applied or credited toward the Purchase Price at the Close of Escrow. The Deposit shall be refundable to the Buyer in the event the Buyer disapproves of the condition of title to the Property or its other inspections and investigations of the Property prior to the expiration of the Due Diligence Period (as defined below), or if Buyer timely delivers a Buyer's Funding Notice electing to terminate this Agreement. The Deposit shall be applicable to the Purchase Price upon REAL ESTA TE PURCHASE AND SALE AGREEMENT Page 1 of 13
the Close of Escrow, or, if the Close of Escrow does not occur, paid to the party otherwise entitled to the Deposit under the terms of this Agreement.
2.3. The remaining balance of SEVEN HUNDRED FORTY THOUSAND DOLLARS ($740,000.00) shall be deposited prior to the close of escrow.
3. Funding Contingency.
3.1. Buyer is a public entity and must ensure that its expenditure of public funds for the Purchase Price is in the best interest of the public. Buyer's review and confirmation that there are unrestricted funds available for this transaction is a contingency to this Agreement unless otherwise agreed in writing (the "Funding Contingency"). Within thirty (30) days after the Effective Date Buyer shall remove the Funding Contingency.
3.2. If Buyer's review pursuant to section 3.1. above results in a determination that the purchase is not in the best interests of the public, then Buyer shall provide Seller with written notice of that determination (the "Funding Notice") within the 30-day period terminating this Agreement.
4. Escrow. Buyer and Seller shall promptly open an escrow ("Escrow") with Brooke Fitzgerald ("Escrow Agent"), at First American Title Company, 1900 Chum Creek Road, Suite 101, Redding, California, 96002 (the "Title Company"). This Agreement shall constitute escrow instructions to and for the benefit of the Escrow Agent to facilitate the Closing (as defined below).
Any further escrow instructions provided by the parties shall not modify or amend the provisions of this Agreement, and in the event of any conflict between any escrow instructions executed by the parties and this Agreement, this Agreement will control.
5. Close of Escrow: Deliveries.
5.1. The purchase and sale of the Property will be accomplished through the Escrow. "Close of Escrow" is defined to be the date the grant deed(s) from Seller to Buyer, on the Title Company's standard form (the "Grant Deed(s)"), is recorded in the Official Records of Shasta County, California. The Grant Deed(s) shall be recorded, and the Escrow shall close on March 16, 2024.
5.2. Seller shall deliver or cause the following to be delivered to Buyer at the Close of Escrow: (a) the Grant Deed(s), duly executed and acknowledged by Seller, transferring and conveying the Property to Buyer, subject only to the Permitted Exceptions (as defined in paragraph 7 ., below); (b) such assignments and other instruments of transfer, all in form reasonably satisfactory to Buyer, as are necessary to convey fully and effectively to Buyer the property and property rights described in paragraph l.(c), above; and (c) such other certificates, assurances, consents and documents as are usual and customary in Shasta County, California and as may reasonably be required by the Buyer in connection with the consummation of the transactions contemplated hereby, including, but not limited to, FIRPTA Affidavits, California Form 590 and any other affidavits and instruments required by the Title Company to enable it to issue the Title Policies to Buyer, including spousal consents and trust certifications where appropriate.
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6. Preliminary Title Reports.
6.1. Buyer shall, within ten ( 10) days following the Effective Date, cause the Escrow Agent to deliver to Buyer preliminary reports covering the Real Property issued by First American Title Company (the "Title Company") contemplating the issuance of a CL TA Standard Coverage Policy of Title Insurance, together with copies of all items listed on the schedule of exceptions to title insurance coverage therein (collectively, the "Preliminary Reports").
6.2. Notwithstanding paragraph 6.1., if Buyer delivers written notice to Seller, at any time within fifteen (15) days following the Effective Date, that Buyer desires to obtain an ALT A Extended Coverage Owner1s policy of title insurance ( an "ALT A Policy") at the Close of Escrow, then Buyer shall, at Buyer's sole cost and expense, promptly take the following action: (a) retain a licensed engineer or surveyor to prepare an ALT A survey of the Real Property (the "Survey"); (b) deliver to Seller and the Title Company copies of the Survey and all other items required by the Title Company as a condition to the issuance of an ALT A Policy; and ( c) cause the Title Company to issue and deliver to Buyer and Seller one or more preliminary reports covering the Property contemplating the issuance of an ALT A Policy, together with copies of all items listed on the schedule of exceptions to coverage therein. In the event Buyer makes such an election to obtain an ALTA Policy, and complies with all of the foregoing, the tenn "Preliminary Reports" for purposes of this Agreement shall mean, collectively, the items referred to in clauses (b) and (c) of this paragraph.
6.3. For purposes of this Agreement, the following terms have the following meanings: (a) "Monetary Encumbrances" means all mortgages, deeds of trust, judgment liens, mechanic's liens, tax liens, assessments and other monetary liens and encumbrances against the Property ( other than the lien for real property taxes not yet delinquent); and (b) "Other Encumbrances" means all special exceptions to title insurance coverage disclosed in the Preliminary Reports.
6.4. Buyer hereby disapproves of all Monetary Encumbrances against the Property. On or before the Close of Escrow, Seller shall pay or otherwise remove all Monetary Encumbrances against the Property.
6.5. Buyer shall have the right to review and approve the legal description of the Real Property as described in the attached Exhibit "A" and contained in the Preliminary Reports for purposes of determining the accuracy thereof. The parties confirm it is their intent that, pursuant to this Agreement, Seller shall sell and convey to Buyer, and Buyer shall purchase and accept from Seller, all real property owned by Seller which is located within the real property described in said Exhibit "A" and the Preliminary Reports. If Buyer does not deliver its written objection to the legal description of the Real Property to Seller prior to the Close of Escrow, Buyer shall be deemed to have approved of such legal description, and this transaction shall proceed. If Buyer delivers its written objection to the legal description of the Real Property to Seller prior to the Close of Escrow, the parties shall modify such legal description as necessary to accomplish the objective described above. If Buyer and Seller are unable to agree upon an acceptable modification within five (5) days following the delivery to Seller of Buyer's written objection to the legal description of the Real Property, Buyer may by written notice to Seller terminate this Agreement and the Escrow in which event the Deposit shall be returned to Buyer and neither party shall have any liability or REAL ESTATE PURCHASE AND SALE AGREEMENT Page 3 of 13
obligations under this Agreement, except as otherwise provided herein.
6.6. Within twenty (20) days following the Effective Date, Buyer shall notify Seller, in writing, of any Other Encumbrances Buyer objects to and is unwilling to accept at the Close of Escrow ( each a "Disapproved Exception") and whether Buyer elects to either terminate this Agreement and the Escrow hereunder or provide Seller the opportunity to remove the Disapproved Exception(s) ("Buyer's Title Notice"). If Buyer fails to deliver Buyer's Title Notice within such time period, Buyer shall be conclusively deemed to have approved of the Preliminary Reports and all Other Encumbrances shown therein. If Buyer elects to provide Seller the opportunity to remove the Disapproved Exception(s), within ten (10) days following delivery of a Buyer's Title Notice, Seller shall notify Buyer, in writing, with respect to each Disapproved Exception, of Seller's election to either (a) remove the Disapproved Exception prior to the Close of Escrow (in which event Seller shall thereafter remove such Disapproved Exception prior to the Close of Escrow); or (b) decline to remove any such Disapproved Exception ("Seller's Title Response"). If Seller fails to deliver Seller's Title Response within said ten ( 10) day period, Seller shall be deemed to have elected not to remove any Disapproved Exceptions. If Seller declines or is deemed to have declined to remove one or more of the Disapproved Exceptions, Buyer may elect to either terminate this Agreement and the Escrow or to accept title to the Property subject to the Disapproved Exception(s). Buyer shall exercise such right by delivering written notice to Seller within five (5) days following the date Seller declines or is deemed to have declined to remove any Disapproved Exception(s). If Buyer fails to deliver a written notice to Seller within said five (5) day period, Buyer shall be deemed to have elected to terminate this Agreement and the Escrow.
If Buyer elects or is deemed to have elected to terminate this Agreement and the Escrow pursuant to this paragraph, the Deposit shall be returned to Buyer, and neither party shall have any further liability or obligations under this Agreement, except as otherwise provided herein.
6.7. Upon the issuance of any amendment or supplement to the Preliminary Reports which adds additional Other Encumbrances, the foregoing right of review and approval shall also apply to said amendment or supplement, provided, however, that Buyer's initial period of review and approval or disapproval of any such additional exceptions shall be limited to ten (10) days following receipt of written notice of such additional exceptions.
7. Title Insurance. At the Close of Escrow, and as a condition thereto, the Escrow Agent shall deliver to Buyer for the parcel described in Exhibit "A" hereto (a) a CLTA Standard Coverage Policy of Title Insurance (Form 1990) issued by the Title Company, or (b) if Buyer has made the election provided for in paragraph 6.2, above, an ALT A Extended Coverage Owners Policy of Title Insurance. Such policies of title insurance shall designate Buyer as the insured, have a liability in the amount of the Purchase Price as allocated between the property described in Exhibit "A" and show title to the Real Property vested in Buyer, subject only to (a) real property taxes not yet delinquent, and (b) the Other Encumbrances referred to in the Preliminary Reports and approved of or deemed approved of by Buyer in accordance with paragraph 5., above (collectively, the "Permitted Exceptions"). Such policies of title insurance shall include such endorsements as Buyer deems advisable in Buyer's reasonable discretion. The policies of title insurance and endorsements provided for in this paragraph shall be referred to herein collectively as the "Title Policies."
REAL ESTATE PURCHASE ANO SALE AGREEMENT Page4 of 13
8. Entry. Inspection and Approval Rights.
8.1. Within fourteen (14) days following the Effective Date, Seller shall deliver to Buyer copies of all studies and reports relating to the Property that are within the possession of Seller or reasonable available to Seller, including, but not limited to, environmental reports, reports with respect to the Real Property's compliance with applicable federal, state and local laws, codes, rules, regulations and ordinances and reports with respect to the presence or absence of Hazardous Substances on the Real Property (collectively, "Seller's Environmental Reports").
8.2. During the period commencing with the Effective Date and ending forty five (45) days after the Effective Date, as such date may be extended as provided in this Agreement, (the "Due Diligence Period"), Buyer and Buyer's employees, agents, consultants and independent contractors shall have the non-exclusive right to enter upon the Real Property to conduct all tests, studies, surveys, assessments, inspections and investigations relating to the condition of the Real Property and all federal, state and local laws applicable thereto, as Buyer deems necessary or advisable (collectively, "Buyer's Inspections"). All costs and expense associated with Buyer's Inspections shall be borne by Buyer.
8.3. Buyer shall have the right, in its sole and absolute discretion, to disapprove of any or all defects or deficiencies in the condition of the Property, including but not limited to the presence or suspected presence of Hazardous Substances, disclosed by Seller's Environmental Reports or Buyer's Inspections. On or before the expiration of the Due Diligence Period, Buyer shall notify Seller, in writing, of any such defect or deficiency disapproved of by Buyer ( each a "Disapproved Condition") ("Buyer's Inspection Notice") and whether Buyer either elects to terminate this Agreement and the Escrow hereunder or to provide Seller the opportunity to remove, remediate or otherwise correct any Disapproved Condition. If Buyer fails to deliver Buyer's Inspection Notice to Seller on or before the expiration of the Due Diligence Period, Buyer shall be conclusively deemed to have approved of all of Buyer's Inspections. If Buyer elects to terminate this Agreement and the Escrow pursuant to this paragraph, the Deposit shall be returned to the Buyer, and neither party shall have any further liability or obligations under this Agreement, except as otherwise provided herein. If Buyer elects to provide Seller the opportunity to remove, remediate or otherwise correct a Disapproved Condition, Buyer's Inspection Notice shall so state and, within five (5) days following delivery of a Buyer's Inspection Notice, Seller shall notify Buyer, in writing, with respect to each Disapproved Condition, of Seller's election to either (a) remove, remediate or otherwise correct to Buyer's satisfaction each Disapproved Condition (in which event Seller and Buyer shall agree in writing as to the specific actions to be taken by Seller); or (b) decline to remove, remediate or otherwise correct any such Disapproved Condition ("Seller's Inspection Response"). If Seller fails to deliver Seller's Inspection Response within said five (5) day period, Seller shall be deemed to have elected not to remove, remediate or otherwise correct any Disapproved Conditions. If Seller declines or is deemed to have declined to remove one or more of the Disapproved Conditions, Buyer may elect to either terminate this Agreement and the Escrow or to purchase the Property subject to the Disapproved Conditions(s). Buyer shall exercise such right by delivering written notice to Seller within five (5) days following the date Seller declines or is deemed to have declined to remove Disapproved Condition(s). If Buyer fails to deliver a written notice to Seller within said five (5) day period, Buyer shall be deemed to have elected to terminate this Agreement and the Escrow. If Buyer elects or is deemed to have elected to terminate this Agreement and the Escrow pursuant to this paragraph, the Deposit shall be REAL ESTATE PURCHASE AND SALE AGREEMENT Page 5 of 13
returned to Buyer, and neither party shall have any further liability or obligations under this Agreement, except as otherwise provided herein. The Close of Escrow shall be automatically extended for the period of time required for the parties to take the action and provide the notices contained in this paragraph 7.3.
8.4. Buyer agrees to indemnify, defend, protect and hold Seller and the Real Property harmless from and against all liability, loss, damage, expense or claims, including reasonable attorneys' fees, arising out of the acts or omissions of Buyer, its agents, employees, or independent contractors in connection with any entry onto the Real Property pursuant to license granted under this paragraph. This indemnity provision shall survive the Close of Escrow and any cancellation or termination of this Agreement.
9. Seller's Representations and Warranties. Seller hereby represents and warrants to Buyer that the following are true and correct as of the date hereof and shall be true and correct as of the Close of Escrow:
9.1. Seller has the legal power, right and authority, at law to enter into this Agreement and the instruments referenced herein, and to consummate the transactions contemplated hereby, and all requisite action (corporate, trust, partnership or otherwise) has been taken by Seller in connection with the entering into of this Agreement, the instruments referenced herein, and the consummation of the transactions contemplated hereby. No consent of any partner, beneficiary, creditor, investor, judicial or adm:inistrative body, authority or other party is required.
This Agreement and all documents required hereby to be executed by Seller are and shall be valid, legally binding obligations of and enforceable against Seller in accordance with their terms, subject only to applicable bankruptcy, insolvency, reorganization, moratorium or similar laws or equitable principles affecting or limiting the rights of contracting parties generally.
9.2. Seller has and shall convey to Buyer at the Close of Escrow good and marketable title to the Property, except for real property taxes not yet delinquent and other Permitted Exceptions as defined above.
9 .3. There are no leases, licenses, permits, contracts or agreements which will bind Buyer or the Property following the Close of Escrow.
9.4. No person or entity has any right to possess and/or occupy the Real Property pursuant to any lease or rental agreement, or otherwise, and Seller shall deliver the Real Property to Buyer on the Close of Escrow free of all tenants and others claiming any possessory interest in the Real Property.
9.5. There are no actions, suits, proceedings or investigations pending or, to the best of Seller's knowledge and belief, threatened against or affecting the Property in any court or before or by any governmental department, board, agency, or instrumentality, domestic or foreign, or any arbitrator. The foregoing representations and warranties of Seller shall survive the Close of Escrow and the recording of the Grant Deed(s) in the Official Records of Shasta County.
10. Buyer's Representations and Warranties. Buyer hereby represents and warrants to Seller that (a) Buyer has the legal power, right and authority to enter into this Agreement and the REAL ESTATE PURCHASE AND SALE AGREEMENT Page 6 of 13
instruments referenced herein, and to consummate the transactions contemplated hereby; (b) all requisite action (corporate, trust, partnership or otherwise) has been taken by Buyer in connection with the entering into of this Agreement, the instruments referenced herein, and the consummation of the transactions contemplated hereby; (c) no consent of any partner, beneficiary, creditor, investor, judicial or administrative body, authority or other party is required which has not been obtained; and ( d) this Agreement and all documents required hereby to be executed by Buyer are and shall be valid, legally binding obligations of and enforceable against Buyer in accordance with their terms, subject only to applicable bankruptcy, insolvency, reorganization, moratorium or similar laws or equitable principals affecting or limiting the rights of contracting parties generally.
11. Seller's Covenants Pending the Close of Escrow. From the Effective Date to the Close of Escrow, Seller will not, without the prior written consent of Buyer: (a) enter into any leases, contracts or other obligations or agreements affecting the Property; (b) convey any interest in the Property and/or subject the Property to any additional liens, encumbrances, covenants, conditions, easements, rights of way or similar matters; (c) apply for any new, or continue processing any pending, land use, development or construction related applications or permits relating to the Real Property; or (d) grade or otherwise alter the physical condition of the Real Property.
12. Conditions to Buyer's Obligations. The following are conditions to the Close of Escrow and the obligation of Buyer to purchase the Property:
12.1. Buyer shall have approved or be deemed to have approved of the legal description of the Real Property, and the Other Encumbrances shown in the Preliminary Report, pursuant to paragraph 5., above;
12.2. Buyer shall have approved or be deemed to have approved of Buyer's Inspections and the acquisition of the Property pursuant to paragraph 7 ., above;
12.3. The Title Company shall have issued the Title Policies to Buyer as of the Close of Escrow;
12.4. There shall have been no material adverse change in the condition of or title to the Property prior to the Close of Escrow;
12.5. Seller shall have performed all of Seller's obligations under this Agreement on or before the Close of Escrow, and the Seller's representations and warranties hereunder shall be true at and as of the Close of Escrow as if made as of such time.
13. Failure of Conditions. If any of the conditions specified in paragraph 12., above, are not satisfied or waived within the applicable time limit provided, then Buyer, if Buyer is not then in default of any of Buyer's obligations under this Agreement, may thereafter immediately cancel and terminate the Escrow and this Agreement by giving written notice to the Escrow Agent and Seller. Upon any such cancellation and termination, if Buyer is not then in default of any of Buyer's obligations hereunder, Buyer shall be entitled to a return of the Deposit. The cancellation and termination of the Escrow and this Agreement by Buyer shall not constitute a waiver by Buyer any rights Buyer may have against Seller at law or in equity for any breach by Seller of any of REAL EST ATE PURCHASE AND SALE AGREEMENT Page 7 of 13
Seller's obligations under this Agreement.
14. Prorations. Real property taxes for the current tax year levied or assessed against the Real Property shall be prorated between Seller and Buyer as of 11 :59 p.m. on the day immediately preceding the Close of Escrow.
15. follows:
Closing Costs. The closing costs described in this paragraph shall be paid as
15.1. Seller shall not be responsible to pay any closing costs.
15.2. Buyer shall pay all closing costs.
16. Default by Seller. In the event of a breach or default by Seller of any of Seller's representations, warranties, covenants or agreements herein, Buyer shall have the right to pursue an action for damages against Seller. In addition, Buyer shall have, at Buyer's option, the following remedies: (a) the right to pursue specific performance of this Agreement; (b) the right to terminate this Agreement and receive a return of the Deposit; or (c) the right to consummate the transactions provided for herein.
17. Indemnification. Seller hereby agrees to indemnify, defend, protect and hold Buyer and the Property harmless from and against any and all liability, damages, claims, suits, actions, proceedings, loss, cost or expense (including but not limited to, attorney's fees, consultant's fees, and court costs) arising out of any breach by Seller of any of Seller's representations, warranties, covenants or agreements in this Agreement. Seller's indemnity obligations hereunder shall survive the Close of Escrow or any earlier cancellation or termination of this Agreement.
18. of Escrow.
Possession. Possession of the Property shall be delivered to Buyer upon the Close
19. Fees. Seller and Buyer shall bear their own attorney's fees for the negotiation and preparation of this Agreement.
20. Cancellation Costs. In the event of any cancellation and termination of the Escrow and this Agreement, Buyer and Seller shall each pay one-half (V2) of any cancellation costs; provided, however, that if such cancellation and termination results from the breach by either party of any of such party's obligations hereunder, the breaching party shall pay all of the cancellation costs.
21 . No Party Deemed Drafter. In the event of a dispute between any of the parties hereto over the meaning of this Agreement, no party shall be deemed to have been the drafter hereof, and the principle oflaw that contracts are construed against the drafter does not apply.
22. Further Assurances. Seller and Buyer agree that, from time to time, at or after the Close of Escrow, each of them will execute and deliver such further instruments of conveyance and transfer, and take such other action as may be reasonably necessary to carry out the purpose and intent of this Agreement.
REAL ESTA TE PURCHASE AND SALE AGREEMENT Page 8 of 13
23. Notices. Any notice, request, demand, waiver, consent, approval or other communication which is required or permitted hereunder shall be in writing and shall be deemed given only if delivered personally or sent by registered or certified mail, postage prepaid, return receipt requested, as follows: (a) if to Seller to: Shishir A. Dhruva, MD, 3728 Sunflower Drive, Redding, California 96001; (b) if to Buyer to: City of Anderson, A TIN: City Manager, 1887 Howard Street, Anderson, CA 96007, or (c) to such other address as the addressee may have specified in a notice duly given to the sender as provided herein.
24. Assignment. Buyer may assign any or all of its rights and obligations hereunder without the prior written consent of Seller. However, no assignment by Buyer shall relieve Buyer of any of its obligations under this Agreement.
25. Attorneys' Fees. In the event of any legal action, arbitration or other proceeding arising out of this Agreement, the prevailing party shall be entitled to reasonable attorneys' fees and costs in addition to any other relief to which such party may be entitled.
26. Condemnation. If any portion of the Real Property is taken by condemnation or eminent domain or is the subject of a threatened or pending condemnation or eminent domain proceeding that has not been consummated prior to the Close of Escrow, Buyer may elect either to terminate this Agreement upon written notice to Seller and Escrow Agent, or to consummate its purchase of the Property pursuant to this Agreement, in which event Seller shall assign to Buyer Seller's rights to all awards for the condemnation or taking. The Close of Escrow shat I be extended for such period of time as may be necessary to allow Buyer to make the election provided for in this paragraph. If Buyer elects to terminate this Agreement pursuant to this provision, the Escrow Agent shall, within five (5) days following receipt of Buyer's notice, return the Deposit to Buyer.
Upon any such termination, neither party shall have any further obligations under this Agreement except as otherwise provided herein.
27. Risk of Loss. The parties agree that the Uniform Vendor and Purchaser Risk Act, set forth in California Civil Code Section 1662, and its provisions governing the allocation of risk ofloss, shall govern the transaction provided for herein.
28. Entire Agreement. This Agreement, and all documents and instruments referred to herein, contain the entire agreement of the parties hereto with respect to the matters covered hereby and supersedes all prior arrangements and understandings between the parties, and no other agreement, statement or promise made by either party hereto which is not contained herein shall be binding or valid. No amendment, alteration or modification of this Agreement shall be valid unless in each instance such amendment, alteration or modification is expressed in a written instrument duly executed by the parties.
29. Successors and Assigns. The terms and conditions of this Agreement shall be binding upon and inure to the benefit of the parties hereto and their personal representatives, beneficiaries, heirs, successors in interest and permitted assigns.
30. Partial Invalidity. If any term or provision of this Agreement or the application thereof to any person or circumstance shall, to any extent, be invalid or unenforceable, the REAL EST ATE PURCHASE AND SALE AGREEMENT Page 9 of 13
remainder of this Agreement, or the application of such term or prov1s1on to persons or circumstances other than those as to which it is held invalid or unenforceable, shall not be affected thereby, and each such term and provision of this Agreement shall be valid and be enforced to the fullest extent permitted by law.
3 I. Waivers. No waiver of any breach of any covenant or provision herein contained shall be valid unless in writing and shall be deemed a waiver of any preceding or succeeding breach thereof, or of any other covenant or provision herein contained. No extension of time for performance of any obligation or act shall be deemed an extension of the time for performance of any other obligation or act except those of the waiving party, which shall be extended by a period of time equal to the period of the delay.
32. Counterparts. This Agreement may be executed in one or more counterparts, each of which shall be deemed an original, but all of which together shall constitute one and the same instrument. It is agreed that the transmission of a signed copy of this Agreement via facsimile shall constitute execution and delivery hereof, and the parties agree to deliver original ink signed counterparts reasonably promptly thereafter.
33. Time of Essence. Time is of the essence as to each and every term and condition of this Agreement.
34. Incorporation by Reference. All exhibits to this Agreement are incorporated herein by this reference.
35. Governing Law. This Agreement shall be governed by and construed in accordance with the laws of the State of California as such laws are applied to contracts entered into and to be performed in such state between residents thereof. < ..
36. Representation of Parties. Seller has retained the services of Ken Miller, a licensed broker, to represent him in this transaction. Seller will be fully responsible for compensating Mr.
Miller for his commission for the services provided. Buyer has not retained the services of a broker for this transaction.
37. Tax Deferral. Buyer agrees to cooperate should Seller elect to sell the Property as part of a like-kind exchange under IRC Section 1031. Seller's contemplated exchange shall not impose upon Buyer any additional liability or financial obligation, and Seller agrees to hold Buyer harmless from any liability that might arise from such exchange. This Agreement is not subject to or contingent upon Seller's ability to acquire a suitable exchange property or effectuate an exchange. In the event any exchange contemplated by Seller should fail to occur, for whatever reason, Seller's sale of the Property shall nonetheless be consummated as provided herein.
Seller agrees to cooperate should Buyer elect to purchase the Property as part of a like-kind exchange under IRC Section 1031. Buyer's contemplated exchange shall not impose upon Seller any additional liability or financial obligation, and Buyer agrees to hold Seller harmless from any liability that might arise from such exchange. This Agreement is not subject to or contingent upon Buyer's ability to dispose of its exchange property or effectuate an exchange. In the event any exchange contemplated by Buyer should fail to occur, for whatever reason, Buyer's purchase of the Property shall nonetheless be consummated as provided herein.
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38. Duration of Offer; Effective Date. This Agreement has been executed by Buyer and constitutes an offer to purchase the Property on and subject to the terms and conditions hereof. If the offer is not accepted by Seller on or before 5 pm PDT on January 16, 2024, it shall be deemed automatically revoked and of no force or effect. The effective date hereof (the "Effective Date") shall be the date this Agreement is signed by Seller.
SIGNATURES ON FOLLOWING PAGE
REAL EST ATE PURCHASE AND SALE AGREEMENT Page 11 of 13
IN WITNESS WHEREOF, the parties hereto have executed this Real Estate Purchase and Sale Agreement as of the date and year first written above.
"SELLER"
Gateway Commercial Group, LLC
By: ~ •
Shish~
"BUYER"
By: ______________ _
Joey Forseth-Deshais
City Manager, City of Anderson
REAL ESTATE PURCHASE AND SALE AGREEMENT Page 12 of 13
EXHIBIT A
Legal Description
THE LAND REFERRED TO HEREIN BELOW IS SITUATED IN THE CITY OF ANDERSON< CAOUNTY OF SHASTA, STATE OF CALIFORNIA, AND IS DESCRIBED AS FOLLOWS:
All that portion of Sections 45 & 50 of the P.B. Reading Grant in the incorporated City of Anderson, County of Shastam Califorina more particularly described as follows:
Beginning at the most Northerly comer of Parcel 4 as shown on Parcel Map No. 07-03 recorded in Book 3 of Parcel Maps at Page 92, Shasta County Records; Thence along the Northeasterly line of the said Parcel 4 and Southwesterly line of Gateway Drive as shown on said Parcel Map 07-03, South 26°16'00" East, 310.86 feet to the most Easterly comer of said Parcel 4;
Thence leaving said most Easterly comer along the Southeasterly line of the said Parcel 4, South 46°48'40" West, 611.55 feet to the most Southerly comer of the said Parcel 4; Thence leaving said most Southerly corner along the Southerly line of the said Parcel 4 and Parcel 3 as shown on said Parcel Map No. 07-03, North 75°31 '59" West, 440.20 feet to a point on as Westerly line of said Parcel 3;
Thence along said Westerly line, North 11 °11 '38" West, 157.87 feet; Thence South 78°39' 19" West, 74.92 feet to a point on the Westerly line of said Parcel 3; Thense along said most Westerly line, North 11 °21 '44", 8.00 feet; Thense leaving said most Westerly line, North 56°23'22" East, 955.75 feet to a point on the Northeasterly line of the said Parcel 3 and said Southwesterly line of Gateway Drive; Thense along said Northeasterly line and said Southeasterly line, South 26°16'00" East, 100.01 feet to the point of beginning.
RESERVING THEREFORM a nonexclusive easement for ingress nad egress along a portion of said land 12.5 feet in width lying Nortwesterly of and parallel with and adjacent to the Southeasterly line of the said Parcel 4 of Parcel Map No. 07-03 Said easement is for the benefit of and appurtenant to the "Remainder" parcel of said Parcel Map No. 07-03 and also Parcel B of PLA-05-04 recorded September 21, 2005 as Instrument 2005- 0055744 of Officeial Records, and any parts or portions therefof.
APN: 201-920-007 (Portion), 201-920-006 (Portion), 201-680-119 (Old APN-Portion)
EXHIBITB
Easement
AGENDA ITEM
~anuary 16, 2024, City Council Meeting!
rseth-Deshais, City Manager
rseth-Deshais, City Manager
To:
From:
Honorable Mayor and Members of the Anderson City Council Joey Forseth-Deshais, City Manager
Date: January 16, 2024
lsueJECT
Attendance at Innovating Commerce Serving Communities (ICSC) Las Vegas
I RECOMMENDATION
The City Manager recommends the City Council:
Provide direction on the attendance of ICSC Las Vegas May 19-24, 2024
1. Do we want to attend ICSC Las Vegas May 19-24
2. Who should attend? Traditionally this has been the City Manager and two City Council members
I FISCAL IMPACT
The fiscal impact is the cost of registration, lodging and travel.
I DISCUSSION and BACKGROUND
For years economic development has been a City Council priority. One of the tools that we have used is to attend the Innovating Commerce Serving Communities (ICSC) conventions and market the City of Anderson to prospective retailers and developers. It also allows us to educate ourselves on market trends and direction, so we can make good decisions related to development in our City.
ITEM 8.3 PAGE1 1/16/2024
The ICSC Las Vegas convention is May 19-24 and is expected to have an attendance of 40,000 and will have value to attend. lCSC is a member organization for industry advancement, ICSC promotes and elevates the marketplaces and spaces where people shop, dine, work, play and gather as foundational and vital ingredients of communities and economies. The ability to attend again in 2024 to continue our understanding of the retail marketplace would be highly beneficial. Attendance in the past has been the City Manager, or the City Manager and two City Council members.
ITEM 8.3 PAGE2 1/16/2024