Agenda Item No: P.5
AGENDA REPORT
DATE: June 17, 2025
TO: Mayor and Council
FROM: David Gassaway, City Manager
SUBJECT: Resolution 2025-113 PW Resolution to Terminate Reimbursement Agreement for Fairfield Baptist Church
Authorizing the City Manager to Terminate the “Agreement Between the City of Fairfield and the Fairfield Baptist Conference Church Providing for the Repayment of Reimbursable Agreement Memorandum Number 11” Associated with Assessor’s Parcel Number 0034-050-180 to Reimburse the City for the Completion of Public Improvements
Funding Source: N/A
Contact: Alvin Lei, (707) 428-7476
RECOMMENDED ACTION
Adopt resolution.
STATEMENT OF ISSUE
On September 6, 1988, the City Council adopted Resolution 88 -276 authorizing the mayor to execute, “An Agreement Between the City of Fairfield and the Fairfield Baptist Conference Church Providing for the Repayment of Reimbursable Agreement Memorandum Number 11” Document No. PG149387 (Reimbursement Agreement), between the City of Fairfield and the Fairfield Baptist Conference Church. This agreement outlines the reimbursement process to the City for the construction of public improvements serving the property located at 2397 Heath Drive. Based on the documentation provided by Parkway Community Church, the current property owner, City staff believe that the City has received the agreed -upon reimbursements. Therefore, the recommended course of action is to authorize the city manager to terminate the Reimbursement Agreement.
DISCUSSION
On September 5, 1978, the council adopted Resolution No. 78-166 authorizing the Reimbursable Agreement Memorandum requiring the property owner of Assessor’s Parcel Number ( APN) 0034-050-180 (2397 Heath Drive) to reimburse the City a total of $31,740 for the City’s
construction of public improvements benefitting the property, including water and sewer improvements and street pavement.
On August 4, 1988, the City of Fairfield and Fairfield Baptist Conference Church executed the Reimbursement Agreement to reimburse the City for costs incurred in constructing public improvements that serve the property located at 2397 Heath Drive. The Agreement provided that the church pay an annual due to the City of $5,165.54 per year, at a 10% interest per year, to be paid over a period of 10 years. Accordingly, a Deed of Trust was executed and recorded with the Reimbursement Agreement.
The current owner of the property, Parkway Community Church, provided documentation indicating annual payments were made to the City from Fairfield Baptist Conference Church in the general amount pro vided under the Reimbursement Agreement from the time the Agreement was executed to the year 1999. Additionally, documentation mentioning the reimbursement agreement dues past the year 1999 w ere not found, indicating the dues were paid in full within the 10-year period, as required by the Reimbursement Agreement.
Upon discussion with representatives of Parkway Community Church, a lien associated with the Reimbursement Agreement was listed in the most recent title report for 2397 Heath Drive. As a result, staff is recommending that the City Council approve and authorize the city manager to terminate the Reimbursement Agreement. Terminating the Reimbursement Agreement would result in the removal of the associated lien on the subsequent updated title report.
FINANCIAL IMPACT
N/A
PUBLIC CONTACT/ADVISORY BODY RECOMMENDATION
N/A
ALTERNATIVE ACTION
If the council has any remaining questions, termination of the reimbursement agreement may be postponed until the questions are addressed.
COORDINATED WITH
Finance Department and City Attorney’s Office
STAFF CONTACT
Kayla Gacosta, Assistant Engineer
(707) 428-7746
[email protected]
ATTACHMENTS
Attachment 2: Proposed Resolution
Attachment 3: Reimbursable Agreement Memorandum – City of Fairfield Attachment 4: Deed of Trust with Assignment of Rents, Document No. PG149381