Agenda — Hemet City Council, June 24, 2025 (part 9 of 10)

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CITY OF HEMET RESOLUTION NO. 2025-XXX 1
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CITY OF HEMET

HEMET, CALIFORNIA
RESOLUTION NO. 2025-XXX

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

HEMET, CALIFORNIA, AUTHORIZING THE CITY
MANAGER TO EXECUTE LEASE AGREEMENTS #2025-
005 AND #2025-007 ON CITY-OWNED PROPERTY
IDENTIFIED AS ASSESSOR'S PARCEL NUMBER 443-232-
007
The City Council of the City of Hemet, California (hereafter referred to as the “City Council”) does resolve as follows:

WHEREAS, on May 28, 2024, the City Council of the City of Hemet approved the acquisition of real property located at 204-208 E. Florida Avenue and 108 N. Harvard Street (APN 443-232-007), and 222 E. Florida Avenue (APN 443-232-009), to support long-term goals of community enhancement, downtown economic development, and improved quality of life through Resolution No. 24-120; and WHEREAS, on June 28, 2024, the City of Hemet successfully closed escrow on the above-referenced property located at 204-208 E. Florida Avenue and 108 N.

Harvard Street (APN 443-232-007); and
WHEREAS, said property includes a 15,682 square foot parcel improved with a 14,514 square foot single-story commercial building currently occupied by two commercial tenants; and

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CITY OF HEMET RESOLUTION NO. 2025-XXX 2
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WHEREAS, the City of Hemet has negotiated Lease Agreement #2025-005 with Norberto Vidal Hernandez and Mary Jara, doing business as Panaderia La Reina at 108 N. Harvard Street, and Lease Agreement #2025-007 with Emil Verbanic, doing business as Balloons N Things at 204-208 E. Florida Avenue; and
WHEREAS, the lease terms are consistent with prior arrangements made under the previous property owner, providing monthly rents of $840 and $3,500 respectively, annual rental increases of 5% commencing July 1, 2025, and require tenants to cover their own utility expenses; and
WHEREAS, the rental income from these lease agreements will generate approximately $52,800 annually to support the City's financial sustainability efforts and contribute to achieving the City's Strategic Plan Goals for Economic Opportunity, Community Engagement, and Organizational Effectiveness.

NOW, THEREFORE, BE IT RESOLVED, by the City Council of the City of Hemet, California, as follows:

1. The City Council hereby authorizes the City Manager to execute Lease Agreement #2025-005 with Panaderia La Reina and Lease Agreement #2025-007 with Balloons N Things for the premises located at 108 N.

Harvard Street and 204-208 E. Florida Avenue, respectively.

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CITY OF HEMET RESOLUTION NO. 2025-XXX 3
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2. The City Manager is further authorized to take any and all necessary actions to implement said lease agreements in accordance with the terms set forth in the attached staff report dated June 24, 2025.

3. This Resolution shall take effect immediately upon its adoption.

Dated the 24th day of June, 2025.

PASSED, APPROVED AND ADOPTED this 24th day of June, 2025. ____________________________
Jaculin Peterson, Mayor
ATTEST:
_____________________________
John Paul Maier, City Clerk

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CITY OF HEMET RESOLUTION NO. 2025-XXX 4
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State of California )
County of Riverside )
City of Hemet )
I, John Paul Maier, City Clerk of the City of Hemet, do hereby certify that the foregoing resolution was adopted by the Hemet City Council on the 27th day of MAY, 2025, and was passed by the following vote:

AYES: Council Members:

NOES: Council Members:

ABSTAIN: Council Members:

ABSENT: Council Members:
_____________________________
John Paul Maier, City Clerk

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LEASE AGREEMENT

BY AND BETWEEN

THE CITY OF HEMET,

A CALIFORNIA MUNICIPAL CORPORATION
AND

NORBERTO VIDAL HERNANDEZ AND MARY JARA
AGREEMENT # 2025-005

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LEASE AGREEMENT
This Lease Agreement (the “Agreement”) is made and entered into this 1st day of July, 2024 (“Effective Date”), by and between the CITY OF HEMET, a California municipal corporation (the “Landlord”), and Norberto Vidal Hernandez and Mary Jara, as sole proprietors (the “Tenant”). Tenant and Landlord are sometimes individually referred to as “Party” and collectively as “Parties” in this Agreement and who agree as follows:

RECITALS
A. Landlord is the owner of certain real property located at 108 N. Harvard St., Hemet, CA 92543 in the City of Hemet, County of Riverside, State of California (the “Real Property”).

B. This Lease Agreement shall be deemed retroactively effective as of July 1, 2024.

The Parties acknowledge and agree that they have been operating under the terms outlined herein since that date while finalizing the formal execution of this Lease Agreement.

C. Tenant desires to lease the Real Property from Landlord for the purpose of operating a Commercial Retail Bakery.

D. Landlord is willing to lease the Real Property to the Tenant for such purposes, subject to the terms and conditions set forth in this Lease Agreement.

OPERATIVE PROVISIONS
For consideration, the receipt and value of which is hereby acknowledged by both Parties, Landlord and Tenant hereby agrees as follows:

1. Definitions. For purposes of this Agreement, the terms set forth below shall be defined as and have the specific meaning ascribed herein:

1.1 “Expiration Date” means November 30, 2027, the date upon which the Term of the Agreement expires, and Tenant is obligated to have vacated and surrendered the Building located at Real Property.

1.2 “Hazardous Materials” shall mean any and all of the following:
(i) any substance, product, waste or other material of any nature whatsoever which is or becomes listed, regulated, or for which liability arises for misuse, pursuant to the Comprehensive Environmental Response Compensation and Liability Act (“CERCLA”), 42 U.S.C. § 9601, et seq.; the Hazardous Materials Transportation Act, 49 U.S.C. § 1801, et seq.; the Resource Conservation and Recovery Act (“RCRA”), 42 U.S.C. § 6901, et seq.; the Toxic Substances Control Act, 15 U.S.C.S. § 2601, et seq.; the Clean Water Act, 33 U.S.C. §1251, et seq.; the Insecticide, Fungicide, Rodenticide Act, 7 U.S.C. § 136, et seq.; the

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Superfund Amendments and Reauthorization Act, 42 U.S.C. § 6901, et seq.; the Clean Air Act, 42 U.S.C. § 7401, et seq.; the Safe Drinking Water Act, 42 U.S.C. § 300f, et seq.; the Solid Waste Disposal Act, 42 U.S.C. §6901, et seq.; the Surface Mining Control and Reclamation Act, 30 U.S.C. § 1201, et seq.; the Emergency Planning and Community Right to Know Act, 42 U.S.C. § 11001, et seq.; the Occupational Safety and Health Act, 29 U.S.C. §§ 655 and 657; the Hazardous Waste Control Act, California Health and Safety Code (“H.&S.C.”) § 25100, et seq.; the Hazardous Substance Account Act, H.&S.C. § 25330, et seq.; the California Safe Drinking Water and Toxic Enforcement Act, H.&S.C. § 25249.5, et seq.; the Underground Storage of Hazardous Substances, H.&S.C. § 25280, et seq.; the Carpenter-Presley-Tanner Hazardous Substance Account Act, H.&S.C. § 25300, et seq.; the Hazardous Waste Management Act, H.&S.C. §25170.1, et seq.; the Hazardous Materials Response Plans and Inventory, H.&S.C. § 25001, et seq.; the Porter-Cologne Water Quality Control Act, Water Code § 13000, et seq., all as they may from time to time be amended;
(ii) any substance, product, waste or other material of any nature whatsoever which is or becomes listed, regulated, or for which liability for misuse arises pursuant to any other federal, state or local statute, law, ordinance, resolution, code, rule, regulation, order or decree due to its hazardous, toxic or dangerous nature; (iii) any petroleum, crude oil or any substance, product, waste, or other material of any nature whatsoever which contains gasoline, diesel fuel or other petroleum hydrocarbons other than petroleum and petroleum products contained within regularly operated motor vehicles; and
(iv) polychlorinated biphenyls (PCB), radon gas, urea formaldehyde, asbestos and lead.

1.3 “Building” means those areas of the Real Property, which have been designated for Tenant’s Permitted Use, as identified on Exhibit “A,” attached hereto and incorporated herein by reference.

1.4 “Permitted Use” means the limited use of the Building located at 108 N.

Harvard St Hemet CA 92543, for Commercial Retail Bakery as described in Section 5.1. of this Agreement.

1.5 “Real Property” means that certain real property commonly known as 108 N. Harvard St. Hemet, CA 92543.

1.6 “Term” means the duration of this Agreement as specified in Section 4.

2. Material Inducement. Tenant agrees that its promises and agreements to strictly adhere to and comply with the material terms and conditions set forth in this Agreement are a material inducement to Landlord’s lease of the Building to Tenant, in the absence of which Landlord would not have leased the Building to Tenant. Tenant’s failure to adhere to and comply with the terms and conditions of this Agreement shall be deemed a material breach of the Agreement.

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3. Demise. Subject to the terms and conditions of this Agreement, Landlord leases to Tenant and Tenant leases from Landlord the Building located at Real Property. Landlord also grants to Tenant the right of ingress and egress over and across the common areas of the Real Property as necessary for Tenant and its invitees to obtain entry to and from the Building during the Term of this Agreement. Tenant shall have no right to enter, occupy or use any other portion of the Real Property, including but not limited to any other building or structure on the Real Property, other than the Building as defined in Section 1.3.

3.1 “AS-IS” Condition; Tenants Sole Risk.
(i) Tenant agrees that it is thoroughly familiar with the Building and the Real Property and all aspects thereof, including, without limitation, the physical condition of the Building and the Real Property, its zoning and all other restrictions and limitations applicable to the Building and the Real Property (whether or not of public record). Tenant also agrees that Landlord has made no material alterations to the Building located at Real Property. Tenant additionally agrees that it assumes all liability and responsibility for the physical condition of the Building located at Real Property. Tenant agrees that neither Landlord nor anyone acting on Landlord’s behalf has made any representation or warranty of any kind or nature whatsoever respecting the physical condition of the Building located at Real Property, its suitability for Tenant’s use, or any other matter relating to the Building or the Real Property, (including, but not limited to, the environmental condition of the Building or the Real Property) or this Agreement, and Tenant agrees that it is leasing the Building located at Real Property, in its “AS-IS CONDITION AND WITH ALL FAULTS”. _________________
Tenant’s Initials

4. Term.

4.1 The term (“Term”) of this Agreement shall commence on July 1, 2024, and, unless earlier terminated, automatically expires on November 30, 2027 (“Expiration Date)” without the necessity of any notice or other action on Landlord’s part. Notwithstanding the foregoing, Tenant may terminate this Agreement by giving written notice to Landlord at least 30 days prior to the intended Expiration Date. Tenant understands and acknowledges that Landlord is under no obligation to grant any extension of the Term beyond the Expiration Date, that Tenant shall have no right to holdover or otherwise continue to occupy the Real Property, beyond the Expiration Date and shall instead vacate and surrender the Building located at Real Property, on or before the Expiration Date.

4.2 Contingency. Notwithstanding any provision to the contrary, this Lease shall go into effect once signed by the City Manager at the discretion of the City Council. This Lease is contingent upon City Council approval.

5. Use; Restricted Access to the Building located at Real Property; Safety Measures; Compliance with Laws.

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5.1 Use. Tenant agrees that it shall use the Building located at Real Property, solely for Commercial Retail Bakery operations (“Permitted Use”), and for no other purpose (any other purpose a “Non-Permitted Use”).

5.2. Safety Measures. Tenant agrees to take all actions reasonably necessary to protect human safety in the course of its occupancy of the Building. Tenant shall secure the Building located at Real Property, from entry by customers and the general public at the end of each business day. Tenant shall not interfere with the ingress and egress of Landlord or the Landlord’s other Tenants.

5.3 Hazardous Materials. Tenant agrees that it shall not generate, store, release or dispose of any Hazardous Materials on, in, at or under the Building or elsewhere on the Real Property, and that its ancillary use of any Hazardous Substance necessary for the Permitted Use shall at all times be in strict compliance with all laws, rules, orders and regulations, and decisions of administrative bodies and courts of competent jurisdiction, relating to the use, generation, transportation, storage, disposal or release of hazardous materials. In addition to Tenant’s other obligations of indemnity under this Agreement, Tenant agrees to indemnify, protect, defend (by counsel reasonably satisfactory to Landlord) and hold Landlord and its officials, officers, agents and employees, and each of them, harmless from and against all claims, losses, liabilities, actions, judgments, costs and expenses (including reasonable attorneys’ fees and costs) which they, or any of them, may suffer or incur arising from or relating to the use, generation, storage or release by Tenant, its agents, employees, contractors, guests or invitees of any hazardous materials in, on or about the Real Property.

6. Rent. As rent for the Building located at Real Property, Tenant agrees to pay to Landlord the sum of Eight Hundred, Forty Dollars ($840.00) per month. Monthly rent (“Monthly Rent”) shall be paid in advance on or before the first calendar day of each month during the Term. Commencing on July 1, 2025, and on each July 1st thereafter during the Term, the Monthly Rent shall increase by an amount of five percent (5%), as determined by the Landlord and communicated to the Tenant in writing at least thirty (30) days prior to the effective date of the increase.

If the Term commences on a calendar day other than that first calendar day of the month or ends on a calendar day other than that last calendar day of a calendar month, then Monthly Rent will be appropriately prorated by Landlord based on the actual number of calendar days in such month. If the Term commences on a calendar day other than the first calendar day of a calendar month, then the prorated Monthly Rent for such month shall be paid on or before the first calendar day of the Term. Monthly Rent shall be paid to Landlord without written notice or demand, and without offset, in lawful money of the United States of America at City Hall located at 445 E. Florida Avenue in Hemet, CA, or to such other address as Landlord may from time to time designate in writing.

7. RESERVED.

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shall be responsible for all repairs and maintenance of the Building except for: (i) the heating, ventilating, and air-conditioning system serving the Building (to the extent installed by Landlord), (ii) structural repairs to exterior walls, structural columns, and structural floors which collectively enclose the Building (excluding storefronts), and (iii) the roof over the Building, which shall be the responsibility of Landlord. If Landlord pays for any repairs that are Tenant's responsibility, Tenant shall reimburse Landlord for such costs upon demand. If the Landlord pays for the same or any part thereof, Landlord shall be reimbursed by Tenant for such amount.

Tenant agrees that Tenant is solely responsible for the security, protection and insuring of its vehicles and other personal property, and that of its employees, servants and contractors, located on or about the Real Property. Tenant agrees that Landlord will have no liability of any kind or nature respecting any loss or theft of, or damage to, any such vehicles and other personal property.

9. Insurance. Without limiting Tenant’s indemnification of Landlord, and prior to commencement of Lease, Tenant shall obtain, provide, and maintain at its own expense during the term of this Agreement, policies of insurance of the type and amounts described below and, in form, satisfactory to Landlord demonstrating coverage since July 1, 2024.

9.1 General liability insurance. Tenant shall maintain commercial general liability insurance with coverage at least as broad as Insurance Services Office form CG 00 01, in an amount not less than $2,000,000 per occurrence, $4,000,000 general aggregate, for bodily injury, personal injury, and property damage. The policy must include contractual liability that has not been amended. Any endorsement restricting standard ISO “insured contract” language will not be accepted.

9.2. Workers’ compensation insurance. Tenant shall maintain Workers’ Compensation Insurance (Statutory Limits) and Employer’s Liability Insurance (with limits of at least $1,000,000). Tenant shall submit to Landlord, along with the certificate of insurance, a Waiver of Subrogation endorsement in favor of Landlord, its officers, agents, employees, and volunteers.

9.3 Proof of Insurance. Tenant shall provide certificates of insurance and required endorsements to Landlord as evidence of the insurance coverage required herein. Insurance certificates and endorsements must be approved by Landlord’s Risk Manager. Current certification of insurance shall be kept on file with Landlord for the contract period and any additional length of time required thereafter. Landlord reserves the right to require complete, certified copies of all required insurance policies, at any time.

9.4 Duration of coverage. Tenant shall procure and maintain for the term, and any additional length of time required thereafter, insurance against claims for injuries to persons or damages to property, or financial loss which may arise from or in connection with the lease of the Building.

9.5 Landlord’s rights of enforcement. In the event any policy of insurance required under this Agreement does not comply with these specifications or is canceled and not replaced, Landlord has the right but not the duty to obtain the insurance it deems necessary, and any premium paid by Landlord will be promptly reimbursed by Tenant or Landlord will withhold

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amounts sufficient to pay premium from Tenant payments. In the alternative, Landlord may cancel this Agreement.

9.6 Acceptable insurers. All insurance policies shall be issued by an insurance company currently authorized by the Insurance Commissioner to transact business of insurance or is on the List of Approved Surplus Line Insurers in the State of California, with an assigned policyholders’ Rating of A- (or higher) and Financial Size Category Class VII (or larger) in accordance with the latest edition of Best’s Key Rating Guide, unless otherwise approved by the Landlord’s Risk Manager.

9.7 Waiver of subrogation. All insurance coverage maintained or procured pursuant to this agreement shall be endorsed to waive subrogation against Landlord, its elected or appointed officers, agents, officials, employees, and volunteers or shall specifically allow Tenant or others providing insurance evidence in compliance with these specifications to waive their right of recovery prior to a loss. Tenant hereby waives its own right of recovery against Landlord.

9.8 Enforcement of contract provisions (non estoppel). Tenant acknowledges and agrees that any actual or alleged failure on the part of the Landlord to inform Tenant of non- compliance with any requirement imposes no additional obligations on the Landlord nor does it waive any rights hereunder.

9.9 Notice of cancellation. Tenant agrees to oblige its insurance agent or broker and insurers to provide the Landlord with a thirty (30) day notice of cancellation (except for nonpayment for which a ten (10) day notice is required) or nonrenewal of coverage for each required coverage. If any of the Tenant’s insurers are unwilling to provide such notice, then Tenant shall have the responsibility of notifying the Landlord immediately in the event of Tenant’s failure to renew any of the required insurance coverages or insurer’s cancellation or non-renewal.

9.10 Additional insured status. General liability, automobile liability, and umbrella/excess liability insurance policies shall provide or be endorsed to provide that Landlord and its officers, officials, employees, agents, and volunteers shall be additional insureds under such policies.

9.11 Prohibition of undisclosed coverage limitations. None of the coverages required herein will be in compliance with these requirements if they include any limiting endorsement of any kind that has not been first submitted to Landlord and approved of in writing.

9.12 Separation of insureds. A severability of interests provision must apply for all additional insureds ensuring that Tenant’s insurance shall apply separately to each insured against whom claim is made or suit is brought, except with respect to the insurer’s limits of liability. The policy(ies) shall not contain any cross-liability exclusions.

9.13 Landlord’s right to revise specifications. The Landlord reserves the right at any time during the term of the contract to change the amounts and types of insurance required by giving

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the Tenant ninety (90) days advance written notice of such change. If such change results in substantial additional cost to the Tenant, the Landlord and Tenant may renegotiate Tenant’s rent.

9.15 Timely notice of claims. Tenant shall give Landlord prompt and timely notice of claims made or suits instituted that arise out of or result from Tenant’s lease of the Building, and that involve or may involve coverage under any of the required liability policies.

9.16 Additional insurance. Tenant shall also procure and maintain, at its own cost and expense, any additional kinds of insurance, which in its own judgment may be necessary for its proper protection. Tenant’s personal property, fixtures, equipment, inventory, and vehicles are not insured by Landlord against loss or damage due to fire, theft, vandalism, rain, water, criminal or negligent acts of others, or any other cause.

10. Indemnification. In addition to, and without limiting, Tenant’s other obligations of indemnity under this Agreement, Tenant agrees to indemnify, protect, defend (by counsel reasonably satisfactory to Landlord) and hold Landlord and its officials, officers, agents and employees, and each of them, harmless from and against any and all third-party claims, losses, liabilities, actions, judgments, orders, demands, costs, damages and expenses (including without limitation reasonable attorneys’ fees and costs) arising from or in any way related to: (1) the lease, use, and/or occupancy of the Building located at the Real Property by Tenant and/or its officers, employees, agents, contractors, licensees, subtenants, their successors, or invitees; (2) any bodily injury or trauma (including, without limitation, death, dismemberment, mental or physical illness, and/or emotional distress) suffered by any person while on the Building located at Real Property, relating in any way to Tenant’s lease, use, and/or occupancy of the Building located at Real Property, or condition of the Real Property; (3) any injury or damage (including, without limitation, loss of profit, loss of opportunity) to any real or personal property or rights thereto, that is owned by Tenant, or its officers, employees, agents, contractors, licensees, subtenants, their successors, or invitees where such injury or damage is in any way related to the Tenant’s lease, use, and/or occupancy of the Building located at Real Property; (4) any willful misconduct, negligence, or act or omission of Tenant, or its officers, employees, agents, contractors, or invitees in or about the Building located at Real Property; or (5) any default by Tenant under this Agreement, but excluding any claims, losses, liabilities, actions, judgments, costs, damages and expenses arising from or relating to Landlord’s willful misconduct or sole negligence.

11. Utilities. Tenant agrees to pay, before delinquency, for all water, sewer, gas, heat, light, power, telephone service, refuse removal and all other utilities or services of any kind supplied to Building. It is agreed that Landlord is not liable for any failure or interruption of any utility or service, and the failure or interruption of any utility or service will not entitle Tenant to terminate this Agreement or stop making any rental or other payments due under this Agreement.

12. Taxes. Without admitting any liability, Tenant recognizes and understands that this Lease may create a possessory interest subject to property taxation pursuant to California Revenue and Taxation Code Section 107 and that Lessee may be subject to the payment of property taxes levied on such interest if such a determination is made by the Riverside County Tax Assessor or other government entity with the authority to make such determination. All

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taxes and assessments which become due and payable with respect to the property, and any improvements thereon, shall be the sole responsibility of Tenant, and any such payments shall not reduce any payment due Landlord hereunder.

If Tenant shall, in good faith, desire to contest the validity, the imposition, or the amount of any tax or assessment, or any other governmental charge herein agreed to be paid by Tenant, Tenant shall be permitted to do so; provided, however, Tenant shall not permit or allow any lien to be placed or assessed upon the Building or Real Property or any improvements thereon.

13. Alterations. Tenant agrees that it will not make any alterations or improvements to the Building or Real Property, or any portion thereof, without Landlord’s prior written consent, which consent Landlord is under no obligation to give. If Landlord consents to the making of any alterations or improvements, Tenant agrees that such alterations or improvements will be made in strict compliance with all applicable laws, rules and regulations of all governmental authorities having jurisdiction, will be performed in a good and workmanlike manner, and will be made in compliance with such other conditions as Landlord may require in connection with the granting of its consent. Tenant agrees that it will pay, when due, all claims for labor or materials furnished or alleged to have been furnished to or for Tenant at or for use on the Building or Real Property, which claims are or may be secured by any mechanics’ or materialmen’s lien against the Real Property, or any interest therein. All alterations and improvements made by Tenant shall, at Landlord’s option and at Tenant’s sole cost and expense, be removed from the Real Property, at the end of the Term of this Agreement and the Building and Real Property restored to their condition prior to the making of such alterations or improvements.

14. Tenant’s Personal Property. All equipment and personal property of Tenant located at the Building will be removed from the Building on the expiration or termination of the Agreement, at Tenant’s sole cost and expense, and shall remain the property of Tenant.

15. Damage and Destruction. If the Building, or any portion thereof are damaged or destroyed by any casualty (whether or not insured), Tenant, at Tenant’s sole cost and expense, shall promptly repair and restore the same; provided, that the proceeds, if any, of the fire and extended coverage insurance required to be kept and maintained by Tenant under Section 9 (after deduction of all costs incurred by Landlord in recovering the same) shall be made available to Tenant by Landlord for the purpose of making such repairs and restorations; provided, further, that if the cost of repairing or restoring the Building, exceeds one month’s rent or if the repairs and restorations would require more than one month to complete once commenced, then either Landlord or Tenant may cancel this Agreement upon the giving of written notice to the other.

Upon any cancellation of this Agreement pursuant to the provisions of this Section, all proceeds of insurance shall be the sole property of Landlord, and Tenant shall have no right or interest therein.

16. Assignment. Tenant may not assign this Agreement nor sublet all or any part of the Real Property.

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17. Default. The occurrence of any one or more of the following shall constitute a default by Tenant:
(a) Vacation or abandonment of the Building located at Real Property, by Tenant.
(b) Failure by Tenant to make payment of rent or any other payments required to be made by Tenant hereunder as and when due.
(c) Failure by Tenant to keep and maintain any of the insurance required to be kept and maintained by Tenant under this Agreement.
(d) Failure by Tenant to observe or perform any of the covenants or provisions of this Agreement, other than as provided in subsections (b) and (c) above, when such failure continues for a period of thirty (30) days after written notice of such failure is given by Landlord to Tenant; provided, that if the nature of Tenant’s failure is such that more than thirty (30) days are reasonably required for its cure, then Tenant will not be deemed to be in default if Tenant commences such cure within said thirty (30) day period and thereafter diligently prosecutes such cure to completion.

18. Remedies. If Tenant is in default, then, in addition to all other rights and remedies which Landlord may have at law or in equity, Landlord has the following rights and remedies which are not exclusive but are cumulative:
(a) Landlord can, with or without terminating this Agreement, reenter the Building, and remove all property and persons therefrom, and any property may be removed and stored in a public warehouse or elsewhere at the cost and for the account of Tenant. If Landlord elects to reenter or shall take possession of the Building, pursuant to legal proceedings or pursuant to any notice provided by law, and if Landlord has not elected to terminate this Agreement, Landlord may either recover all rent as it becomes due under this Agreement or relet the Building, or any part or parts thereof for such term or terms and upon such provisions as Landlord may deem advisable and will have the right to make repairs to and alterations of the Building. No reentry or taking possession of the Building, by Landlord is to be construed as an election to terminate this Agreement unless a written notice of such intention is given to Tenant by Landlord.

Notwithstanding any reletting without termination by Landlord because of Tenant’s default, Landlord may, at any time after such reletting, elect to terminate this Agreement because of such default. If Landlord elects to relet the Building, without terminating this Agreement, then rent received by Landlord therefrom will be applied as follows:
(i) First, to any indebtedness from Tenant to Landlord other than rent due from Tenant;
(ii) Second, to all costs and expenses, including, without limitation, for maintenance, repairs or alterations, incurred by Landlord in connection with reletting the Building; and

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(iii) Third, to the payment of rent due and unpaid under this Agreement and the residue, if any, will be held by Landlord and applied in payment of future rent as the same may become due and payable under this Agreement, and to any damages and other amounts which Landlord is otherwise entitled to under this Agreement. Should that portion of such rent received from such reletting during any month, which is applied to the payment of rent hereunder, be less than the rent payable hereunder during that month by Tenant, then Tenant agrees to pay such deficiency to Landlord immediately upon demand. In no event will Tenant be entitled to any excess rent received by Landlord from such reletting.
(b) Landlord can terminate Tenant’s right to possession of the Building, at any time. No act by Landlord other than giving written notice to Tenant will terminate this Agreement.

Acts of maintenance, efforts to relet the Building, or the appointment of a receiver on Landlord’s initiative to protect Landlord’s interest under this Agreement shall not constitute a termination of Tenant’s right to possession. On termination, Landlord has the right to recover from Tenant:
(i) The worth, at the time of the award, of the unpaid rent that had been earned at the time of termination of this Agreement;
(ii) The worth, at the time of the award, of the amount by which the unpaid rent that would have been earned after the date of termination of this Agreement until the time of award exceeds the amount of the loss of rent that Tenant proves could have been reasonably avoided;
(iii) The worth, at the time of the award, of the amount by which the unpaid rent for the balance of the Term after the time of award exceeds the amount of the loss of rent that Tenant proves could have been reasonably avoided; and (iv) Any other amount, and court costs, necessary to compensate Landlord for all detriment proximately caused by Tenant’s default. “The worth, at the time of the award,” as used in (i) and (ii) of this subsection (b), is to be computed by allowing interest at the maximum rate an individual is permitted by law to charge. “The worth, at the time of the award,” as referred to in (iii) of this subsection (b), is to be computed by discounting the amount at the discount rate of the Federal Reserve Bank of San Francisco at the time of the award, plus 1%.
(c) Landlord can have a receiver appointed to collect rent and conduct Tenant’s business. Neither the filing of a petition for the appointment of a receiver nor the appointment itself shall constitute an election by Landlord to terminate this Agreement. (d) Without waiving the default, Landlord can, at its sole option, pay such sums and/or take such actions as are necessary in Landlord’s reasonable judgment in order to cure the default, and all sums expended or incurred by Landlord in connection therewith, together with interest thereon at the maximum rate permitted by law, shall be paid by Tenant to Landlord immediately on demand.

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19. Late Payment. Rent and other amounts not paid by Tenant when due under this Agreement shall bear interest at the rate of the lesser of (i) ten percent (10%) per annum or (ii) the maximum rate permitted by applicable law from the date due until the date paid.

20. Landlord Entry. Landlord and its authorized representatives shall have the right upon reasonable prior written notice to Tenant to enter all portions of the Building and Real Property, for any of the following purposes: (a) to determine whether the Building and/or Real Property, are in good condition and whether Tenant is complying with its obligations under this Agreement; (b) to inspect the Building and/or Real Property; (c) in connection with Landlord’s design and construction planning respecting Landlord’s future use of the Building and/or Real Property; and (d) to post notices of non-responsibility. Notwithstanding the foregoing to the contrary, Landlord and its authorized representatives shall have the right to enter the Building and/or Real Property, at any time, and without notice to Tenant, where an emergency situation necessitates such entry. No exercise by Landlord of its rights under this Section shall entitle Tenant to any damages for any injury or inconvenience occasioned thereby or to any abatement of rent or other amounts payable under this Agreement.

21. Surrender of Building. Upon the expiration or other termination of the Term of this Agreement, Tenant agrees to surrender possession of the Building, and every part thereof, to Landlord in generally the same condition as it was at commencement date of the Agreement, ordinary wear and tear alone excepted. “Ordinary wear and tear” does not include any damage or deterioration that would have been prevented by Tenant performing all of its obligations under this Agreement.

22. Notices. Except as otherwise provided, all notices required or permitted to be given under this Agreement must be in writing and addressed to the parties at their respective notice addresses set forth below; provided, that notices to Tenant may also be effectively given in writing and addressed to Tenant at the Building. Notices must be given by personal delivery (including by commercial delivery service) or by first-class mail, postage prepaid. Notices will be deemed effectively given, in the case of personal delivery, upon receipt (or if receipt is refused, upon attempted delivery), and in the case of mailing, three (3) days following deposit into the custody of the United States Postal Service. The notice addresses of the parties are as follows:

If to Landlord: City of Hemet
445 E. Florida Avenue
Hemet, CA 92543-2409
Attention: City Manager
If to Tenant: Panaderia La Reina
Norberto Vidal Hernandez and Mary Jara
108 N. Harvard St.

Hemet, CA 92543

23. Waiver and Release of Benefits. Tenant acknowledges that upon expiration of the Term, including any extension thereof, or upon termination of any holdover tenancy

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(collectively “Expiration of Tenancy”), Tenant might be or become eligible to receive compensation, reimbursement, assistance, including, but not limited to, the fair market value of real and personal property, loss of goodwill, loss of profits, actual and reasonable expenses for moving a business, loss of tangible personal property as a result of moving the business, expenses incurred in searching for a replacement site for the business, expenses to reestablish the business at the new site, “in-lieu payments,” and other such benefits (collectively “Benefits”) under the California Relocation Assistance Act (Government Code §7260, et seq.), Title 25 of the California Code of Regulations, Article 1, § 19 of the California Constitution, the California Eminent Domain Law (Code of Civil Procedure §1230.010, et seq.), or other similar local, state, or federal statute, ordinance, regulation, rule, or decisional law (collectively “Compensatory Laws”). Tenant further acknowledges that it has received full and fair compensation of all Benefits Tenant is or might be or might become entitled to recover from the City of Hemet as a result of, or in any way related to, Expiration of the Tenancy, City’s acquisition of the Building and/or Real Property, and City’s occupancy and possession of the Building and/or Real Property.

Therefore, being fully informed of and understanding the acknowledgments made herein and of Tenant’s rights or potential rights to Benefits under the Compensatory Laws, and having had the opportunity to consult with legal counsel regarding such rights, Tenant hereby expressly and knowingly waives, and Releases the City from, any and all rights of Tenant to claim, demand, sue for, or receive any Benefits which Tenant is or might be or might become entitled to recover from the City as a result of, or in any way related to, Expiration of the Tenancy, City’s acquisition of the Building and/or Real Property and City’s occupancy and possession of the Building and/or Real Property.
_________________
Tenant’s Initials

24. Survival of Obligations. Tenant acknowledges that it is currently in possession of the Building on a month-to-month basis as a holdover tenant, on the terms and conditions set forth in the initial Lease Agreement, as amended. Tenant further acknowledges that Tenant’s month-to-month tenancy is being terminated and replaced by the executions and earlier of this Agreement. Notwithstanding the termination of Tenant’s month-to-month tenancy (including without limitation, obligations of indemnity and insurance) such obligations survive such termination.

25. General.
(a) The acceptance by Landlord of any rental or other payments due hereunder with knowledge of the breach of any of the terms, covenants or provisions of this Agreement by Tenant shall not be construed as a waiver of any such breach. The acceptance at any time or times by Landlord of any sum less than that which is required to be paid by Tenant shall, unless Landlord specifically agrees otherwise in writing, be deemed to have been received only on account of the obligation for which it is paid, and shall not be deemed an accord and satisfaction notwithstanding any provisions to the contrary written on any check or contained in any writing transmitting the same.

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(b) The titles to the sections of this Agreement are for convenience of reference only and are not a part of this Agreement and shall have no effect upon the construction or interpretation of any part of this Agreement. Any exhibits attached to this Agreement are, however, a part of this Agreement. In construing this Agreement, none of the parties to it shall have any term or provision construed against it solely by reason of its having drafted the same. (c) Any provision of this Agreement that is invalid, illegal or unenforceable shall be ineffective to the extent of such invalidity, illegality or unenforceability without invalidating, diminishing or rendering unenforceable the rights and obligations of the Parties under the remaining provisions of this Agreement.
(d) No term or provision of this Agreement may be amended, altered, modified or waived orally or by a course of conduct, but only by an instrument in writing signed by a duly authorized officer or representative of the Party against which enforcement of such amendment, alteration, modification or waiver is sought. Any amendment, alteration, modification or waiver shall be for such period and subject to such conditions as shall be specified in the written instrument affecting the same. Any waiver shall be effective only in the specific instance and for the specific purpose for which given.
(e) This Agreement and all exhibits attached to it constitutes the entire agreement of the Parties with respect to the subject matter hereof and supersedes all prior or contemporaneous agreements (whether written or oral) with respect to that subject matter. (f) This Agreement may be executed in several counterparts, each of which shall be deemed an original, but all of which together shall constitute one and the same instrument. (g) If either Party hereto brings an action to enforce the terms hereof or declare rights hereunder, the prevailing Party in such action, on trial or appeal, shall be entitled to reasonable attorneys’ fees to be paid by the losing Party as fixed by the court.

26. Public Records Act- Landlord is a public entity subject to the Public Records Act.

Information provided to Landlord pursuant to this Lease may be disclosed publicly as required by law.

27. Governing Law and Jurisdiction. Tenant agrees that in the exercise of its rights under this Lease, Lessee shall comply with all applicable federal, state, county, and local laws and regulations in connection with its use of the Building and/or Real Property. The existence, validity, construction, operation, and effect of this Lease and all of its terms and provisions shall be determined in accordance with the laws of the State of California without giving effect to any choice of law or conflict of law provision or rule. Any action at law or equity brought by either of the parties hereto for the purpose of enforcing a right or rights provided for by this Lease shall be tried in a court of competent jurisdiction in the County of Riverside, State of California, and the parties hereby waive all provisions of law providing for a change of venue in such proceedings to any other county.
[Signatures on the Following Page]

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The Parties have caused this Agreement to be duly executed by their respective duly authorized officers or representatives as of the date first set forth above.

CITY OF HEMET:

By:

ATTEST:

APPROVED AS TO FORM:

TENANT:

Norberto Vidal Hernandez and Mary Jara
By:
_________________
_________________
By:
___________________
___________________

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EXHIBIT “A”

REAL PROPERTY DESCRIPTION
108 N. Harvard St. Hemet CA 92543 APN 443-232-007

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LEASE AGREEMENT

BY AND BETWEEN

THE CITY OF HEMET,

A CALIFORNIA MUNICIPAL CORPORATION
AND

EMIL VERBANIC
AGREEMENT # 2025-007

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LEASE AGREEMENT
This Lease Agreement (the “Agreement”) is made and entered into this 1st day of July, 2024 (“Effective Date”), by and between the CITY OF HEMET, a California municipal corporation (the “Landlord”), and Emil Verbanic, a sole proprietor (the “Tenant”). Tenant and Landlord are sometimes individually referred to as “Party” and collectively as “Parties” in this Agreement and who agree as follows:

RECITALS
A. Landlord is the owner of certain real property located at 204-208 E. Florida Ave., Hemet, CA 92543 in the City of Hemet, County of Riverside, State of California (the “Real Property”).

B. This Lease Agreement shall be deemed retroactively effective as of July 1, 2024 The Parties acknowledge and agree that they have been operating under the terms outlined herein since that date while finalizing the formal execution of this Lease Agreement.

C. Tenant desires to lease the Real Property from Landlord for the purpose of operating a Commercial Retail Store that provides balloons, flowers, cards, costumes, gifts, party supplies, etc.

D. Landlord is willing to lease the Real Property to the Tenant for such purposes, subject to the terms and conditions set forth in this Agreement.

OPERATIVE PROVISIONS
For consideration, the receipt and value of which is hereby acknowledged by both Parties, Landlord and Tenant hereby agrees as follows:

1. Definitions. For purposes of this Agreement, the terms set forth below shall be defined as and have the specific meaning ascribed herein:

1.1 “Expiration Date” means June 30, 2027, the date upon which the Term of the Agreement expires, and Tenant is obligated to have vacated and surrendered the Real Property.

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seq.; the Toxic Substances Control Act, 15 U.S.C.S. § 2601, et seq.; the Clean Water Act, 33 U.S.C. §1251, et seq.; the Insecticide, Fungicide, Rodenticide Act, 7 U.S.C. § 136, et seq.; the Superfund Amendments and Reauthorization Act, 42 U.S.C. § 6901, et seq.; the Clean Air Act, 42 U.S.C. § 7401, et seq.; the Safe Drinking Water Act, 42 U.S.C. § 300f, et seq.; the Solid Waste Disposal Act, 42 U.S.C. §6901, et seq.; the Surface Mining Control and Reclamation Act, 30 U.S.C. § 1201, et seq.; the Emergency Planning and Community Right to Know Act, 42 U.S.C. § 11001, et seq.; the Occupational Safety and Health Act, 29 U.S.C. §§ 655 and 657; the Hazardous Waste Control Act, California Health and Safety Code (“H.&S.C.”) § 25100, et seq.; the Hazardous Substance Account Act, H.&S.C. § 25330, et seq.; the California Safe Drinking Water and Toxic Enforcement Act, H.&S.C. § 25249.5, et seq.; the Underground Storage of Hazardous Substances, H.&S.C. § 25280, et seq.; the Carpenter-Presley-Tanner Hazardous Substance Account Act, H.&S.C. § 25300, et seq.; the Hazardous Waste Management Act, H.&S.C. §25170.1, et seq.; the Hazardous Materials Response Plans and Inventory, H.&S.C. § 25001, et seq.; the Porter-Cologne Water Quality Control Act, Water Code § 13000, et seq., all as they may from time to time be amended;
(ii) any substance, product, waste or other material of any nature whatsoever which is or becomes listed, regulated, or for which liability for misuse arises pursuant to any other federal, state or local statute, law, ordinance, resolution, code, rule, regulation, order or decree due to its hazardous, toxic or dangerous nature; (iii) any petroleum, crude oil or any substance, product, waste, or other material of any nature whatsoever which contains gasoline, diesel fuel or other petroleum hydrocarbons other than petroleum and petroleum products contained within regularly operated motor vehicles; and
(iv) polychlorinated biphenyls (PCB), radon gas, urea formaldehyde, asbestos and lead.

1.4 “Permitted Use” means the limited use of the Real Property, for Commercial Retail Store as described in Section 5.1. of this Agreement.

1.5 “Real Property” means that certain real property commonly known as 204-208 E. Florida Ave. Hemet, CA 92543.

1.6 “Term” means the duration of this Agreement as specified in Section 4.

2. Material Inducement. Tenant agrees that its promises and agreements to strictly adhere to and comply with the material terms and conditions set forth in this Agreement are a material inducement to Landlord’s lease of the Building, to Tenant, in the absence of which Landlord would not have leased the Building to Tenant. Tenant’s failure to adhere to and comply with the terms and conditions of this Agreement shall be deemed a material breach of the Agreement.

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3. Demise. Subject to the terms and conditions of this Agreement, Landlord leases to Tenant and Tenant leases from Landlord the Real Property. Landlord also grants to Tenant the right of ingress and egress over and across the common areas of the Real Property as necessary for Tenant and its invitees to obtain entry to and from the Building, during the Term of this Agreement. Tenant shall have no right to enter, occupy or use any other portion of the Real Property, including but not limited to any other building or structure on the Real Property, other than the Building as defined in Section 1.3

3.1 “AS-IS” Condition; Tenants Sole Risk.
(i) Tenant agrees that it is thoroughly familiar with the Building and the Real Property and all aspects thereof, including, without limitation, the physical condition of the Building and the Real Property, its zoning and all other restrictions and limitations applicable to the Building and the Real Property (whether or not of public record). Tenant also agrees that Landlord has made no material alterations to the Real Property. Tenant additionally agrees that it assumes all liability and responsibility for the physical condition of the Building located at Real Property. Tenant agrees that neither Landlord nor anyone acting on Landlord’s behalf has made any representation or warranty of any kind or nature whatsoever respecting the physical condition of the Real Property, its suitability for Tenant’s use, or any other matter relating to the Building or the Real Property, (including, but not limited to, the environmental condition of the Building or the Real Property or this Agreement, and Tenant agrees that it is leasing the Real Property, in its “AS-IS CONDITION AND WITH ALL FAULTS”.
_________________
Tenant’s Initials

4. Term.

4.1 The term (“Term”) of this Agreement shall commence on July 1, 2024, and unless earlier terminated, automatically expires on June 30, 2027 (“Expiration Date)” without the necessity of any notice or other action on Landlord’s part. Notwithstanding the foregoing, Tenant may terminate this Agreement by giving written notice to Landlord at least thirty (30) days prior to the intended Expiration Date. Tenant understands and acknowledges that Landlord is under no obligation to grant any extension of the Term beyond the Expiration Date, that Tenant shall have no right to holdover or otherwise continue to occupy the Real Property, beyond the Expiration Date and shall instead vacate and surrender the Real Property, on or before the Expiration Date, except as provided herein.

4.2 Tenant shall have the option to extend this Agreement for us to two (2) additional periods of one (1) year each, provided that Tenant gives Landlord written notice of its intention to exercise each such option at least sixty (60) days prior to the Expiration Date. If Tenant exercises an option to extend, all terms and conditions of the Agreement shall remain in full force and effect during the applicable Option Term.

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4.3 Contingency. Notwithstanding any provision to the contrary, this Lease shall go into effect once signed by the City Manager at the discretion of the City Council. This Lease is contingent upon City Council approval.

5. Use; Restricted Access to the Building located at Real Property; Safety Measures; Compliance with Laws.

5.1 Use. Tenant agrees that it shall use the Building located at Real Property, solely for Commercial Retail operation (“Permitted Use”) and no other purpose (“purpose a “Non-Permitted Use”)

6. Rent. As rent for the Real Property, Tenant agrees to pay to Landlord the sum of Three Thousand, Five Hundred Dollars ($3,500.00) per month (“Monthly Rent”). Monthly Rent shall be paid in advance on or before the first calendar day of each month during the Term.

Commencing on July 1, 2025, and on each July 1 thereafter during the Term, the Monthly Rent shall increase by an amount of five percent (5%), as determined by the Landlord and communicated to the Tenant in writing at least thirty (30) days prior to the effective date of the increase.

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at 445 E. Florida Avenue in Hemet, CA, or to such other address as Landlord may from time to time designate in writing.

7. RESERVED

8. Maintenance. Tenant agrees that it shall, at its sole cost and expense, during Tenant’s occupancy of the Building located at Real Property, maintain the Building located at Real Property, and all portions thereof in a clean and neat condition, free of refuse and debris. Tenant shall be responsible for all repairs and maintenance of the Building except for: (i) the heating, ventilating, and air-conditioning system serving the Building (to the extent installed by Landlord, (ii) structural repairs to exterior walls, structural columns, and structural floors which collectively enclose the Building (excluding, storefronts), and (iii) the roof over the Building, which are the Tenant’s responsibility, Tenant shall reimburse Landlord for such costs upon demand. If the Landlord pays for the same or any part thereof, Landlord shall be reimbursed by Tenant for such amount. Tenant agrees that Tenant is solely responsible for the security, protection and insuring of its vehicles and other personal property, and that of its employees, servants and contractors, located on or about the Building located at Real Property. Tenant agrees that Landlord will have no liability of any kind or nature respecting any loss or theft of, or damage to, any such vehicles and other personal property.

9. Insurance. Without limiting Tenant’s indemnification of Landlord, and prior to commencement of Lease, Tenant shall obtain, provide, and maintain at its own expense during the term of this Agreement, policies of insurance of the type and amounts described below and in a form satisfactory to Landlord demonstrating coverage since July 1, 2024.

9.2 Workers’ compensation insurance. Tenant shall maintain Workers’ Compensation Insurance (Statutory Limits) and Employer’s Liability Insurance (with limits of at least $1,000,000). Tenant shall submit to Landlord, along with the certificate of insurance, a Waiver of Subrogation endorsement in favor of Landlord, its officers, agents, employees, and volunteers.

9.4 Duration of coverage. Tenant shall procure and maintain for the term, and any additional length of time required thereafter, insurance against claims for injuries to persons or

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damages to property, or financial loss which may arise from or in connection with the performance of the Work hereunder by Tenant, their agents, representatives, employees, or subconsultants.

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9.13 Landlord’s right to revise specifications. The Landlord reserves the right at any time during the term of the contract to change the amounts and types of insurance required by giving the Tenant ninety (90) days advance written notice of such change. If such change results in substantial additional cost to the Tenant, the Landlord and Tenant may renegotiate Tenant’s rent.

9.14 Timely notice of claims. Tenant shall give Landlord prompt and timely notice of claims made or suits instituted that arise out of or result from Tenant’s lease of the Building, and that involve or may involve coverage under any of the required liability policies.

9.15 Additional insurance. Tenant shall also procure and maintain, at its own cost and expense, any additional kinds of insurance, which in its own judgment may be necessary for its proper protection. Tenant’s personal property, fixtures, equipment, inventory, and vehicles are not insured by Landlord against loss or damage due to fire, theft, vandalism, rain, water, criminal or negligent acts of others, or any other cause.

10. Indemnification. In addition to, and without limiting, Tenant’s other obligations of indemnity under this Agreement, Tenant agrees to indemnify, protect, defend (by counsel reasonably satisfactory to Landlord) and hold Landlord and its officials, officers, agents and employees, and each of them, harmless from and against any and all third-party claims, losses, liabilities, actions, judgments, orders, demands, costs, damages and expenses (including without limitation reasonable attorneys’ fees and costs) arising from or in any way related to: (1) the lease, use, and/or occupancy of the Building located at the Real Property , by Tenant and/or its officers, employees, agents, contractors, licensees, subtenants, their successors, or invitees; (2) any bodily injury or trauma (including, without limitation, death, dismemberment, mental or physical illness, and/or emotional distress) suffered by any person while on the Real Property, relating in any way to Tenant’s lease, use, and/or occupancy of the Building located Real Property, or condition of the Real Property; (3) any injury or damage (including, without limitation, loss of profit, loss of opportunity) to any real or personal property or rights thereto, that is owned by Tenant, or its officers, employees, agents, contractors, licensees, subtenants, their successors, or invitees where such injury or damage is in any way related to the Tenant’s lease, use, and/or occupancy of the Building located at Real Property; (4) any willful misconduct, negligence, or act or omission of Tenant, or its officers, employees, agents, contractors, or invitees in or about the Real Property or (5) any default by Tenant under this Agreement, but excluding any claims, losses, liabilities, actions, judgments, costs, damages and expenses arising from or relating to Landlord’s willful misconduct or sole negligence.

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utility or service, and the failure or interruption of any utility or service will not entitle Tenant to terminate this Agreement or stop making any rental or other payments due under this Agreement.

12. Taxes. Without admitting any liability, Tenant recognizes and understands that this Lease may create a possessory interest subject to property’s taxation pursuant to California Revenue and Taxation Code Section 107 and that Tenant may be subject to the payment of property taxes levied on such interest if such a determination is made by the Riverside County Tax Assessor or other government entity with the authority to make such determination. All taxes and assessments which become due and payable with respect to the property, and any improvements thereon, shall be the sole responsibility of Tenant, and any such payments shall not reduce any payment due Landlord hereunder.

13. Alterations. Tenant agrees that it will not make any alterations or improvements to the Building or Real Property, or any portion thereof, without Landlord’s prior written consent, which consent Landlord is under no obligation to give. If Landlord consents to the making of any alterations or improvements, Tenant agrees that such alterations or improvements will be made in strict compliance with all applicable laws, rules and regulations of all governmental authorities having jurisdiction, will be performed in a good and workmanlike manner, and will be made in compliance with such other conditions as Landlord may require in connection with the granting of its consent. Tenant agrees that it will pay, when due, all claims for labor or materials furnished or alleged to have been furnished to or for Tenant at or for use on the Building or Real Property which claims are or may be secured by any mechanics’ or materialmen’s lien against the Real Property, or any interest therein. All alterations and improvements made by Tenant shall, at Landlord’s option and at Tenant’s sole cost and expense, be removed from the Building located at Real Property, at the end of the Term of this Agreement and the Building and Real Property, restored to their condition prior to the making of such alterations or improvements.

14. Tenant’s Personal Property. All equipment and personal property of Tenant located at the Building will be removed from the Building, on the expiration or termination of the Agreement, at Tenant’s sole cost and expense, and shall remain the property of Tenant.

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that if the cost of repairing or restoring the Building, exceeds one month’s rent or if the repairs and restorations would require more than one month to complete once commenced, then either Landlord or Tenant may cancel this Agreement upon the giving of written notice to the other.

16. Assignment. Tenant may not assign this Agreement nor sublet all or any part of the Real Property.

18. Remedies. If Tenant is in default, then, in addition to all other rights and remedies which Landlord may have at law or in equity, Landlord has the following rights and remedies which are not exclusive but are cumulative:
(a) Landlord can, with or without terminating this Agreement, reenter the Building, and remove all property and persons therefrom, and any such property may be removed and stored in a public warehouse or elsewhere at the cost and for the account of Tenant. If Landlord elects to reenter or shall take possession of the Building, pursuant to legal proceedings or pursuant to any notice provided by law, and if Landlord has not elected to terminate this Agreement or relet the Building, or any part or parts thereof for such term or terms and upon such provisions as Landlord may deem advisable and will have the right to make repairs to and alterations of the Building.. No reentry or taking possession of the Building, by Landlord is to be construed as an election to terminate this Agreement unless a written notice of such intention is given to Tenant by Landlord. Notwithstanding any reletting without termination by Landlord because of Tenant’s default, Landlord may, at any time after such reletting, elect to terminate this Agreement because of

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such default. If Landlord elects to relet the Building, without terminating this Agreement, then rent received by Landlord therefrom will be applied as follows:
(i) First, to any indebtedness from Tenant to Landlord other than rent due from Tenant;
(ii) Second, to all costs and expenses, including, without limitation, for maintenance, repairs or alterations, incurred by Landlord in connection with reletting the Building; and
(iii) Third, to the payment of rent due and unpaid under this Agreement and the residue, if any, will be held by Landlord and applied in payment of future rent as the same may become due and payable under this Agreement, and to any damages and other amounts which Landlord is otherwise entitled to under this Agreement. Should that portion of such rent received from such reletting during any month, which is applied to the payment of rent hereunder, be less than the rent payable hereunder during that month by Tenant, then Tenant agrees to pay such deficiency to Landlord immediately upon demand. In no event will Tenant be entitled to any excess rent received by Landlord from such reletting.
(b) Landlord can terminate Tenant’s right to possession of the Building at any time. No act by Landlord other than giving written notice to Tenant will terminate this Agreement.

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(c) Landlord can have a receiver appointed to collect rent and conduct Tenant’s business. Neither the filing of a petition for the appointment of a receiver nor the appointment itself shall constitute an election by Landlord to terminate this Agreement. (d) Without waiving the default, Landlord can, at its sole option, pay such sums and/or take such actions as are necessary in Landlord’s reasonable judgment in order to cure the default, and all sums expended or incurred by Landlord in connection therewith, together with interest thereon at the maximum rate permitted by law, shall be paid by Tenant to Landlord immediately on demand.

21. Surrender of Building. Upon the expiration or other termination of the Term of this Agreement, Tenant agrees to surrender possession of the Building and every part thereof, to Landlord in generally the same condition as it was at commencement date of the Agreement, ordinary wear and tear alone excepted. “Ordinary wear and tear” does not include any damage or deterioration that would have been prevented by Tenant performing all of its obligations under this Agreement.

If to Landlord: City of Hemet
445 E. Florida Avenue

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Hemet, CA 92543-2409
Attention: City Manager
If to Tenant: Balloons and Things
Emil Verbanic
204-208 E. Florida Ave.

Hemet, CA 92543

23. Waiver and Release of Benefits. Tenant acknowledges that upon expiration of the Term, including any extension thereof, or upon termination of any holdover tenancy (collectively “Expiration of Tenancy”), Tenant might be or become eligible to receive compensation, reimbursement, assistance, including, but not limited to, the fair market value of real and personal property, loss of goodwill, loss of profits, actual and reasonable expenses for moving a business, loss of tangible personal property as a result of moving the business, expenses incurred in searching for a replacement site for the business, expenses to reestablish the business at the new site, “in-lieu payments,” and other such benefits (collectively “Benefits”) under the California Relocation Assistance Act (Government Code §7260, et seq.), Title 25 of the California Code of Regulations, Article 1, § 19 of the California Constitution, the California Eminent Domain Law (Code of Civil Procedure §1230.010, et seq.), or other similar local, state, or federal statute, ordinance, regulation, rule, or decisional law (collectively “Compensatory Laws”). Tenant further acknowledges that it has received full and fair compensation of all Benefits Tenant is or might be or might become entitled to recover from the City of Hemet as a result of, or in any way related to, Expiration of the Tenancy, City’s acquisition of the Building and/or Real Property, and City’s occupancy and possession of the Building and/or Real Property.

Therefore, being fully informed of and understanding the acknowledgments made herein and of Tenant’s rights or potential rights to Benefits under the Compensatory Laws, and having had the opportunity to consult with legal counsel regarding such rights, Tenant hereby expressly and knowingly waives, and Releases the City from, any and all rights of Tenant to claim, demand, sue for, or receive any Benefits which Tenant is or might be or might become entitled to recover from the City as a result of, or in any way related to, Expiration of the Tenancy, City’s acquisition of the Building and/or Real Property, and City’s occupancy and possession of the Building and/or Real Property.
_________________
Tenant’s Initials

24. Survival of Obligations. Tenant acknowledges that it is currently in possession of the Building on a month-to-month basis as a holdover tenant, on the terms and conditions set forth in the initial Lease Agreement, as amended. Tenant further acknowledges that Tenant’s month-to-month tenancy is being terminated and replaced by the executions and earlier of this Agreement. Notwithstanding the termination of the Tenant’s month-to-month tenancy (including without limitation, obligations of indemnity and insurance) such obligations survive such termination.

25. General.

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(a) The acceptance by Landlord of any rental or other payments due hereunder with knowledge of the breach of any of the terms, covenants or provisions of this Agreement by Tenant shall not be construed as a waiver of any such breach. The acceptance at any time or times by Landlord of any sum less than that which is required to be paid by Tenant shall, unless Landlord specifically agrees otherwise in writing, be deemed to have been received only on account of the obligation for which it is paid, and shall not be deemed an accord and satisfaction notwithstanding any provisions to the contrary written on any check or contained in any writing transmitting the same.
(b) The titles to the sections of this Agreement are for convenience of reference only and are not a part of this Agreement and shall have no effect upon the construction or interpretation of any part of this Agreement. Any exhibits attached to this Agreement are, however, a part of this Agreement. In construing this Agreement, none of the parties to it shall have any term or provision construed against it solely by reason of its having drafted the same. (c) Any provision of this Agreement that is invalid, illegal or unenforceable shall be ineffective to the extent of such invalidity, illegality or unenforceability without invalidating, diminishing or rendering unenforceable the rights and obligations of the Parties under the remaining provisions of this Agreement.
(d) No term or provision of this Agreement may be amended, altered, modified or waived orally or by a course of conduct, but only by an instrument in writing signed by a duly authorized officer or representative of the party against which enforcement of such amendment, alteration, modification or waiver is sought. Any amendment, alteration, modification or waiver shall be for such period and subject to such conditions as shall be specified in the written instrument affecting the same. Any waiver shall be effective only in the specific instance and for the specific purpose for which given.
(e) This Agreement and all exhibits attached to it constitutes the entire agreement of the Parties with respect to the subject matter hereof and supersedes all prior or contemporaneous agreements (whether written or oral) with respect to that subject matter. (f) This Agreement may be executed in several counterparts, each of which shall be deemed an original, but all of which together shall constitute one and the same instrument. (g) If either Party hereto brings an action to enforce the terms hereof or declare rights hereunder, the prevailing Party in such action, on trial or appeal, shall be entitled to reasonable attorneys’ fees to be paid by the losing Party as fixed by the court.

26. Public Records Act- Landlord is a public entity subject to the Public Records Act.

Information provided to Landlord pursuant to this Lease may be disclosed publicly as required by law.

27. Governing Law and Jurisdiction. Tenant agrees that in the exercise of its rights under this Lease, Tenant shall comply with all applicable federal, state, county, and local laws and regulations in connection with its use of the Building and/or Real Property. The existence,

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validity, construction, operation, and effect of this Lease and all of its terms and provisions shall be determined in accordance with the laws of the State of California without giving effect to any choice of law or conflict of law provision or rule. Any action at law or equity brought by either of the Parties hereto for the purpose of enforcing a right or rights provided for by this Lease shall be tried in a court of competent jurisdiction in the County of Riverside, State of California, and the Parties hereby waive all provisions of law providing for a change of venue in such proceedings to any other county.
[Signatures on the Following Page]

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The Parties have caused this Agreement to be duly executed by their respective duly authorized officers or representatives as of the date first set forth above.

CITY OF HEMET:

By:

ATTEST:

APPROVED AS TO FORM:

TENANT:

Emil Verbanic
By:
_________________
_________________
By:
___________________
___________________

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EXHIBIT “A”

REAL PROPERTY DESCRIPTION
204-208 E. Florida Ave. Hemet CA 92543 (“Real Property”) APN 443-232-007

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City of Hemet
City Council Meeting

STAFF REPORT
Meeting: City Council Meeting - Jun 24 2025
Department: Community Development
Submitted by: Mark Prestwich, City Manager
Benigno Sandoval, Economic Development Manager;
☐ Receive and File ☒ Consent Calendar ☐ Business Item ☐ Public Hearing TITLE:

A Resolution of the City Council of the City of Hemet, California, Waiving Temporary Use Permit, Permitting, Building, And Associated Fees for the 2025 Independence Weekend Drone Show In Partnership with the Hemet Auto Mall Association
RECOMMENDED ACTION:

It is respectfully recommended that the City Council:

Adopt a Resolution Of The City Council Of The City Of Hemet, California, Waiving Temporary Use Permit, Permitting, Building, and Associated Fees for the 2025 Independence Weekend Drone Show In Partnership with the Hemet Auto Mall Association.

BACKGROUND:

The City of Hemet is proud to announce a one-of-a-kind Independence Weekend Drone Show, presented in partnership with the Hemet Auto Mall Association. This free, family-friendly celebration will take place on Saturday, July 5, from 4:00 p.m. to 10:00 p.m. at the Hemet Auto Mall on Auto Mall Drive.

The event will feature a spectacular drone light show beginning at 9:00 p.m., over 30 food trucks, live music, games, giveaways, and activities for all ages, making it a standout celebration for the City of Hemet. Attendees are encouraged to bring lawn chairs and blankets. Free parking will be available throughout the auto-mall campus.

Developed through a close collaboration between the City and Hemet Auto Mall management, the Independence Weekend Drone Show strengthens the ongoing partnership between the City of Hemet and the Hemet Auto Mall. It also offers a unique opportunity for community members to connect with local dealerships, promoting both civic pride and economic growth.

The drone show will cost $20,000 and be covered by the Hemet Auto Mall Association, along with all the property needed for the show.

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Over 150+ Drones will light the sky for a 30-minute show along with 30 food truck vendors, arts & crafts vendors, live music, and Hemet Auto Mall Vehicles. The Hemet Auto Mall will transform into a Hub of Entertainment and Community Spirit.

ANALYSIS:

City of Hemet permitting fees are as follows:
* PLANNING FEES 120-0224
- BUILDING PERMIT PLAN REVIEW BY PLANNING 120-0224 = $100.00 * MICROFILM REPRODUCTION FEE 120-0636
- MICROFILM 11 X 17 OR LESS 120-0636 = $5.00
* FIRE PLAN REVIEW 110-0631
- GENERATOR FIRE PLAN REVIEW 110-0631 = $92.00
- SPECIAL EVENT FIRE PLAN REVIEW 110-0631 = $184.00
* FIRE DEPARTMENT PERMITS 110-0632
- GENERATOR FIRE PERMIT 110-0632 = $96.46
- SPECIAL EVENT FIRE PERMIT 110-0632 = $59.00
* ELECTRICAL PLAN REVIEW 120-0630
- GENERATOR 10KW OR LESS PLAN REVIEW 120-0630 = $184.00 * ELECTRICAL PERMIT FEES 120-0630
- GENERATOR UNDER 10 KW PERMIT 120-0630 = $276.00
* BUILDING PROCESSING FEE 120-0221
- PERMIT PROCESSING FEE BUILDING/FIRE/PLANNING 120-0221 = $92.00 * BUILDING PLAN REVIEW 120-0630
- CARNIVAL OR FOOD TRUCK EVENT PLAN REVIEW 120-0630 = $184.00 * BUILDING PERMITS 120-0221
* CARNIVAL OR FOOD TRUCK BUILDING PERMIT 120-0221 = $368.00 * BUILDING STANDARDS FEE 120-2019 = $1.00
* PLAN STORAGE 120-0635 = $3.60
* SEISMIC FEE COMMERCIAL 110-2039 = $5.60
* TECHNOLOGY FEE - BUILDING 120-0291 = $4.00
* TRAINING FEE 120-0223 = $6.00
Total = $1,660.66
*30 tables, 200 chairs and 10 restrooms.

Total =$744 for rental and setup
Staff Overtime and Equipment Costs
Overtime: $2,000

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Public Works 2 Staff: $1,000
Police: $1,000
Fire: $1,000
Total for Event = $7,404.66
DISCUSSION:

N/A
PREVIOUS COUNCIL ACTION:

This will be the first event of the fiscal year 2025-26 presented to Council for waiver.

Fiscal year 2024-25 events waived included:
 Dia Los Muertos
 World Homeless Day
 Cruise for Hope
 Turkey Giveaway
 Chick-fil-a Pop-up
 Food Truck Festival
 Juneteenth
 Food Truck Festival Extension
STRATEGIC PLAN INTEGRATION:

GOAL ONE: QUALITY OF LIFE:

To ensure that Hemet is safe, clean, attractive and comfortable for all who live, work, and visit.

Objective 1: Enhance the visual appearance of the community to make it attractive and reduce blight.

Objective 2: Explore and implement homelessness solutions for the City of Hemet.

Objective 3: Increase Public Safety visibility and response.

GOAL TWO: ECONOMIC OPPORTUNITY
To ensure that Hemet is a hub, with access to quality jobs, shopping options, and a varied and sustained tax base.

Objective 1: Develop business practices that welcome new development by streamlining processes.

Objective 2: Provide resources for new businesses to enhance the customer service experience.

GOAL THREE: COMMUNITY ENGAGEMENT
To connect and participate in a constant dialogue between members of the community, City staff, and elected officials to promote togetherness and positivity.

Objective 1: Deliver messaging to the Community that connects, is consistent, and relevant.

Objective 2: Increase transparency for the public.

Objective 3: Increase the community's pride within the City.

GOAL FOUR: PARTNERSHIP & COLLABORATION
To pursue partnerships that will increase the opportunities available to the community, including our businesses, unemployed, and youth populations.

Objective 1: Develop concepts and programs to increase opportunities for youth recreation.

Objective 2: Develop concepts and programs to enhance the quality of life services.

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Objective 3: Develop programs to offer support to the community's businesses GOAL FIVE: ORGANIZATIONAL EFFECTIVENESS
To identify the work needed inside the City organization to effectively provide services to the community and ensure financial stability.

Objective 1: Operate in a financially sustainable manner.

Objective 2: Evaluate existing practices to ensure continuity with industry best practices.

Objective 3: Provide Council with policies that are consistent while lessening liabilities.

Objective 4: Increase employee retention by training and creating a positive workplace.

Objective 5: Streamline fire prevention coordination efforts.

FISCAL IMPACT:

If the waiver is approved, the City will not collect fees of to cover the cost of services as provided in the attached Resolution.

Estimated overtime in the amount of $5,000 has been budgeted in fiscal year 2025-26 in account 110-2500-1385, Special Event Overtime.

ALTERNATIVE(S):

Consider approving certain parts of the proposal.

ATTACHMENT(S):

Attachment 1: CC Resolution 4th of July Drone Show
Attachment 2: Temporary Use Permit Application - Hemet Auto Mall Association Attachment 3: City of Hemet and Hemet Auto Mall Drone Show

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CITY OF HEMET RESOLUTION NO. 2025-XXX 1
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CITY OF HEMET

HEMET, CALIFORNIA
RESOLUTION NO. 2025-xxx

A RESOLUTION OF THE CITY COUNCIL OF THE CITY

OF HEMET, CALIFORNIA, WAIVING TEMPORARY USE

PERMIT, PERMITTING, BUILDING, AND ASSOCIATED
FEES FOR THE 2025 INDEPENDENCE WEEKEND

DRONE SHOW IN PARTNERSHIP WITH THE HEMET

AUTO MALL ASSOCIATION
The City Council of the City of Hemet, California (hereafter referred to as the “City Council”) does resolve as follows:

WHEREAS, the City of Hemet, in partnership with the Hemet Auto Mall Association, will host a special Independence Weekend Drone Show designed to provide a safe, family-friendly celebration for the community; and WHEREAS, the event will feature a drone light show commencing at approximately 9:00 p.m., along with over 30 food trucks, live music, games, giveaways, and other activities suitable for all ages, with free parking available throughout the Hemet Auto Mall campus; and
WHEREAS, this event reflects a collaborative effort between the City and the Hemet Auto Mall Association, strengthening civic engagement, fostering community pride, and supporting local economic development; and
WHEREAS, to support and encourage public participation in this community event, the City Council wishes to waive fees customarily associated with City permits, staffing, and facility use, including but not limited to Temporary Use Permit fees, building and fire permits, equipment rentals, and staff overtime. ///
///

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CITY OF HEMET RESOLUTION NO. 2025-XXX 2
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NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF HEMET FINDS, DETERMINES, ORDERS AND RESOLVES AS FOLLOWS:

SECTION 1. The City hereby waives the following fees in association with the 2025 Independence Weekend Drone Show:

PLANNING TUP FEE 120-0224
- BUILDING PERMIT PLAN REVIEW BY PLANNING 120-0224 = $100.00 -TEMPORARY USE PERMIT $417
MICROFILM REPRODUCTION FEE 120-0636
- MICROFILM 11 X 17 OR LESS 120-0636 = $5.00
FIRE PLAN REVIEW 110-0631
- GENERATOR FIRE PLAN REVIEW 110-0631 = $92.00
- SPECIAL EVENT FIRE PLAN REVIEW 110-0631 = $184.00
FIRE DEPARTMENT PERMITS 110-0632
- GENERATOR FIRE PERMIT 110-0632 = $96.46
- SPECIAL EVENT FIRE PERMIT 110-0632 = $59.00
ELECTRICAL PLAN REVIEW 120-0630
- GENERATOR 10KW OR LESS PLAN REVIEW 120-0630 = $184.00 ELECTRICAL PERMIT FEES 120-0630
- GENERATOR UNDER 10 KW PERMIT 120-0630 = $276.00
BUILDING PROCESSING FEE 120-0221
- PERMIT PROCESSING FEE BUILDING/FIRE/PLANNING 120-0221 = $92.00 BUILDING PLAN REVIEW 120-0630
- CARNIVAL OR FOOD TRUCK EVENT PLAN REVIEW 120-0630 = $184.00 BUILDING PERMITS 120-0221
-CARNIVAL OR FOOD TRUCK BUILDING PERMIT 120-0221 = $368.00 -BUILDING STANDARDS FEE 120-2019 = $1.00
-PLAN STORAGE 120-0635 = $3.60
-SEISMIC FEE COMMERCIAL 110-2039 = $5.60
-TECHNOLOGY FEE - BUILDING 120-0291 = $4.00
-TRAINING FEE 120-0223 = $6.00

STAFF OVERTIME AND EQUIPMENT COSTS
*30 TABLES, 200 CHAIRS AND 10 RESTROOMS.

Total = $744 for rental and setup
Staff Overtime and Equipment Costs
OVERTIME: $2,000
PUBLIC WORKS 2 STAFF: $1,000
POLICE: $1,000

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CITY OF HEMET RESOLUTION NO. 2025-XXX 3
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FIRE: $1,000
Total = $7,404.66
SECTION 2. CEQA FINDINGS - The City Council hereby finds that in accordance with the California Environmental Quality Act (“CEQA”) and the CEQA Guidelines, the adoption of this Resolution is exempt from CEQA pursuant to Section 15061(b)(3)
SECTION 3. EFFECTIVE DATE - This Resolution shall become effective on June 25, 2025.

PASSED, APPROVED AND ADOPTED this 24th day of June, 2025. ____________________________
Jackie Peterson, Mayor
ATTEST:
_____________________________
John Paul Maier, City Clerk

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CITY OF HEMET RESOLUTION NO. 2025-XXX 4
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State of California )
County of Riverside )
City of Hemet )
I, John Paul Maier, City Clerk of the City of Hemet, do hereby certify that the foregoing resolution was adopted by the Hemet City Council on the 24th day of June, 2025, and was passed by the following vote:

AYES: Council Members:

NOES: Council Members:

ABSTAIN: Council Members:

ABSENT: Council Members:
_____________________________
John Paul Maier, City Clerk

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Community Development Department
Planning Division
445 E. Florida Ave, Hemet, CA 92543
(951) 765-2375
www.Hemetca.gov
1 TEMPORARY USE PERMIT APPLICATION
Disclaimer: The purpose of the temporary use permit is to allow for temporary or infrequent events, including, but not limited to parking lot sales, circuses and other nonpermanent uses on properly zoned sites within the city. A temporary use permit shall be required for each business and/or nonprofit group hosting an event or sale. Prior to or concurrently with the issuance of a temporary use permit the applicant must also meet the requirements of Hemet Municipal Code chapter 18 regarding business licenses. To ensure smooth coordination and adequate planning, event organizers are reminded to submit their applications at least 45 days before the scheduled date. This allows ample time for review, permits, and any necessary arrangements to be made, ensuring a successful and enjoyable experience for all participants and the applicant.

A Temporary Use Permit Application can be printed online or picked up at and submitted to:

Attn: Temporary Use Permit
Community & Economic Development Department
Planning Division
445 East Florida Avenue
Hemet, CA 92543
For more information, please contact (951) 765-2375 or [email protected].

FOR OFFICE USE ONLY

Apply Planning Approved
Stamp Here Upon Approval
of Permit Application
Application No.:

Date Received:

Received By:

Planner Assigned:

Concurrent Projects:

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Community Development Department
Planning Division
445 E. Florida Ave, Hemet, CA 92543
(951) 765-2375
www.Hemetca.gov
2 Event Details
Event Title:

Event Location:

Event Date(s):

General Description of Proposed Project:

Event Category: Christmas Tree Sales Carnival or Circus Grand Opening Construction Trailer Community Event Other:

Will the event be held on Public or Private Property? Public Private If on private property, a Property Owner Consent Affidavit (see attachment) is required.

Is this an annual event? Yes No
Is this a multi-day event? Yes No
Is there an admission fee? Yes No If yes, please include admission fee(s): $ What is the anticipated attendance?
Previous year’s attendance (if applicable)
Event Start Time(s): _______________________ Event End Time(s): _______________________ Event Set-up Time: _______________________ Event Clean-up Time: _____________________

APPLICANT AND ORGANIZATION NAME
The applicant and organization (if applicable) accepting all financial responsibility for the event and provides the required insurance and completion of application.

Applicant Name:

Organization Name (if applicable):

Mailing Address:

City, State, Zip:

Phone Number: Email:

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Community Development Department
Planning Division
445 E. Florida Ave, Hemet, CA 92543
(951) 765-2375
www.Hemetca.gov
3 PROPERTY OWNER INFORMATION (Consent Affidavit required if Applicant is not the Property Owner) Property Owner Name:

Property Owner Address:

City, State, Zip:

Phone Number: Email:

ON-SITE CONTACT
Contact Information for the primary person who will be on-site on the day(s) of the event.

On-Site Contact Name: Title:

Contact Address:

City, State, Zip:

Phone Number: Email:

LIVE ENTERTAINMENT DETAILS (IF APPLICABLE)
(Please mark all that apply):

Amplified Music Dance Floor(s) Loud Speakers Live Entertainment Microphones Bleachers Disk Jockey (DJ) Moving Vehicles (Including golf carts) Stage(s) Quantity: ________________________ Stage Size(s): ____________________________ Canopy Number: ________________________ Canopy Size(s): ___________________________ If Live entertainment is selected, please describe the entertainment:
*Please note: Inflatable structures such as a bounce house or similar type structures are prohibited.

Check box to acknowledge above statement.

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Community Development Department
Planning Division
445 E. Florida Ave, Hemet, CA 92543
(951) 765-2375
www.Hemetca.gov
4 BUSINESS & LICENSING DEPARTMENT (IF APPLICABLE)
A City of Hemet Temporary Use Permit (TUP) Business License is required for all vendors that are selling merchandise and/or food and beverage and for the applicant hosting the event.

Please complete page 12 and check TEMP on Business License application if the event will host vendors (make additional copies of page 12 if vendor list requires additional pages).

Submit a TUP Business License Application (see attached) with the Business License Department.

The application will cover the applicant and all vendors for the applicant’s event.

The application has a one-time fee for the license and a per vendor fee and the application must be completed at least 2 weeks prior to the start of the event. For current and assessed fees, contact the Business License department.

Contact Information: Business & Licensing
445 East Florida Avenue
Hemet, CA 92543
(951) 765-3873
[email protected]
RIVERSIDE COUNTY HEALTH DEPARTMENT – FOOD & CONCESSIONS (IF APPLICABLE) Food and beverage sales require a permit from the Riverside County Health Department. *The Event Organizer must provide a copy of the issued Riverside County Environmental Health permit titled Application to Operate a Temporary Food Facility with proof of payment 2 weeks prior to the start date of event for ample processing time.

The following documents must be requested and completed with the Riverside County Health Department:
• Application to Operate a Temporary Food Facility
• Temporary Food Facility/Community Event Coordinator’s Application • Community Event Temporary Food Facility Operator’s Agreement Form For more information regarding Riverside County Environmental Health permits, please reach out at the contact information provided below.

Contact information: Riverside Public Health Department 800 S Sanderson Avenue #200
Hemet, CA 92545
(951) 766-2824
Will your event have food vendors? If yes, you need a health permit. Yes No

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Community Development Department
Planning Division
445 E. Florida Ave, Hemet, CA 92543
(951) 765-2375
www.Hemetca.gov
5 ALCOHOL SALES (IF APPLICABLE)
Alcohol sales require a permit from the Alcohol Beverage Control (ABC).

Contact Information: Alcohol Beverage Control
3737 Main Street #900
Riverside, CA 92501
(951) 782-4400
*A Type 37 – Daily General License with the ABC is needed. Please note the fees for an ABC license will vary depending upon type of alcohol sold. Refer to ABC regarding cost of fees.

Will alcohol be served at the event? Yes No *If yes, check type of alcohol to be served Beer
Wine
Liquor
If alcohol will be served provide the following information:
• Beer & Wine enclosure and a statement of how sales to minors will be avoided. • Security Plan
• Alcohol Insurance
ABC will require the following to process the ABC license:
• Complete Daily License Authorization (Form ABC-221)
• Authorization from the property owner is required (property owner may sign Form ABC221 or a signed letter showing the date, time, place and type of alcoholic beverages to be served may be submitted)
• A detailed diagram of the event location may be required on outdoor events (Form ABC253) • Form ABC-221 must be submitted to the local ABC District Office which has jurisdiction over the event location. For a listing of ABC District Offices, please visit our District Offices contact page.
• Form ABC-221 may be submitted either in person or by mail. • Form ABC-221 must be received within ten (10) days of the event, but should not be submitted more than thirty (30) days in advance
Police Department approval may be required when any of the following apply • A large number of people are attending
• The event is being held on a public street or in a public area (i.e. – parking lot) • This is the first time an event is being held at the location • In certain other circumstances at the Department’s discretion.

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Community Development Department
Planning Division
445 E. Florida Ave, Hemet, CA 92543
(951) 765-2375
www.Hemetca.gov
6 SECURITY INFORMATION (IF APPLICABLE)
*Security is required for community events on public property and where alcohol is served.

Will a licensed professional security company be hired? Yes No Security Company:

Point of Contact (if applicable):

Company Street Address:

City, State, Zip:

Phone Number: Email:
*Please note: The security company must have a current City of Hemet Business License

SANITATION AND RECYCLING
The City of Hemet has an exclusive Franchise Agreement with CR&R Inc. to collect and dispose of all waste including commercial, residential and construction debris within the City of Hemet.

Contact CR&R at 1-800-755-8112 for trash and recycling services for the event. All containers must be removed from the event area at the end of the event.

Number of Trash Cans:

Number of Recycling Containers:

Number of Dumpsters:
*The Event Organizer must provide a receipt from CR&R at least 2 weeks prior the event start date.
*On the Site Plan, please indicate all locations for trash and recycling receptacles and dumpsters.

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Community Development Department
Planning Division
445 E. Florida Ave, Hemet, CA 92543
(951) 765-2375
www.Hemetca.gov
7 RESTROOM FACILITIES
Restroom Facilities are required. Please contact a rental company for attendance to restrooms.

A copy of the rental company’s City of Hemet Business Tax Certificate and Liability Insurance must be attached to the permit application.

Will event organizers provide portable restrooms? Yes No Will the event use City-Owned public restrooms? Yes No
Will the event use privately-owned publicly accessible restrooms? Yes No *Restroom Requirements per CA Building Code 2022, Sections 11B-213 and 11B-603 • Per every 50 anticipated guests, a minimum of 1 toilet (or 1 portable restroom) for an anticipated 4-hour event is required.
• Every event requires a minimum of 1 ADA accessible restroom per the 4-hour usage period and 1 per every 20-portable restrooms on-site.
• Events longer than 4 hours, portable restroom minimums are doubled.

Anticipated Number of Event Attendees: _____
Total non-ADA Portable Toilets: ______ Total On-site ADA Portable Toilets: ______ Total non-ADA Privately-Owned Toilets: ______ Total Privately-Owned ADA Toilets: ______

BUILDING AND LIFE SAFETY
The following is a list of requirements, please initial upon reading:
__A tent or temporary membrane structure having an area in excess of 400 square feet, or any canopy in excess of 700 square feet, shall be required to have an inspection and a separate permit for final approval. (2013 CFC 3103.2).
__Tents, booths or canopies shall not be located within 20 feet of property lines, buildings, temporary membrane structures, other tents and canopies, parked vehicles or internal combustion engines. For the purpose of determining required distances, support ropes and guy wires shall be considered as part of the temporary membrane structure, tent, or canopy (2013 CFC 3103.8.2).
__No portion of the event shall block fire lanes or handicap spaces. __Internal combustion power source, including motor vehicles, generators and similar equipment, shall (2013 CFC 3104.19):
• Have a minimum of one fire extinguisher with a rating of not less than 2-A: 10-B:

C. The extinguisher shall be maintained at the power source or vehicle. Be a minimum of 20 feet from tents and canopies.
__Post ‘NO SMOKING’ signs in the tents and canopies. (2013 CFC 3104.6)

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Community Development Department
Planning Division
445 E. Florida Ave, Hemet, CA 92543
(951) 765-2375
www.Hemetca.gov
8 __Gas, solid, and liquid-fuel-burning cooking equipment shall not be located within 10 feet of exits or combustible material. LP gas containers shall be adequately protected from damage and falling over. (2013 CFC 3104.15.3)
__Outdoor cooking that produces sparks or grease-laden vapors shall not be conducted within 20 feet of a tent, canopy, or membrane structure (2013 CFC 3104.15.6). __Tents and canopies shall comply with CFC Chapter 24 and The California Building Code; they shall be labeled or certification of flame-retardant shall be provided, as required by the State Fire Marshal. (2013 CFC 3104)
__Fire extinguishers in the vendor area shall be spaced no more than 75 feet from any location (2013 CFC 3108). Any single tent or canopy shall have extinguishers as follows:
• 200-500 square feet of floor area: One 2-A: 10-B: C
• 501-1000 square feet of floor area: Two 2-A: 10-B: C
• Each additional 2k square feet of floor area or fraction thereof: One 2-A: 10-B: C __Extension cords shall be of a commercial type and be in good working condition.

Extension cords shall not be subjected to physical damage. No damaged cords or multi-head cords will be allowed. Extension cords shall be in accordance with Article 85 of the California Fire Code.
__Hay or any other type of combustible material shall not be used as ground cover. Hay, straw, trash and other similar flammable material shall not be stored within 30 feet of any tent. (2013 CFC 3104.21)
__All amusement rides shall have current state inspection certificates. (OSHA TITLE 8, ARTICLE 35, SECTION 3917)
__Exits shall be clearly marked. Exit signs shall be installed at required exit doorways and where otherwise necessary to indicate clearly the direction of egress when the exit serves an occupant load of 50 or more (2013 CFC 2403.12.6).
__If it is determined by the inspecting Officer that standby personnel will need to monitor these conditions and to work with event staff to maintain fire protection and the elimination of fire and life safety hazards, the applicant will pay for the cost. (2013 CFC 403.1) __Exits shall be clearly marked. Exit signs shall be installed at required exit doorways and where otherwise necessary to indicate clearly the direction of egress when the exit serves an occupant load of 50 or more. (2013 CFC 3103.12.6)
__Camp fire / cooking fires shall only be allowed if it is in an approved California State Fire Marshal device. All others may be cited.

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Community Development Department
Planning Division
445 E. Florida Ave, Hemet, CA 92543
(951) 765-2375
www.Hemetca.gov
9 ENCROACHMENT PERMIT
*An Encroachment Permit (see attachment) is required if any road closures or diversion of the normal flow of traffic is required for the event or restriction to public right-of-way. Provide a traffic plan if the event needs an Encroachment Permit.

Will this event have barricade equipment restricting normal flow of traffic? Yes No If renting from or hiring a company for barricade please provide the following information:

Company Name:

Contact Name:

Company Address:

City, State, Zip:

Contact Number: Email:

If Barricade equipment is selected, please explain the equipment that will be used:

INSURANCE
*All vendors participating in the event service providers and contracted services must provide insurance for the event, including setup and tear down dates.

Certificates of Insurance Must Reflect:

Commercial General Liability with limits of:
• $1 Million, additional insured endorsement naming the City of Hemet as additional insured.

Liquor Liability:
• Required if alcohol will be sold at the event
• $1 Million, additional insured endorsement naming the City of Hemet as additional insured.

Auto Liability:
• Required if Event includes moving vehicles, including Golf Carts • $1 Million, additional insured endorsement naming the City of Hemet as additional insured.

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Community Development Department
Planning Division
445 E. Florida Ave, Hemet, CA 92543
(951) 765-2375
www.Hemetca.gov
10 EMERGENCY CARE PLAN
If necessary, in the case of an emergency, the On-Site Contact will call 9-1-1. *Please check the above box acknowledging the above statement *On-site ambulance company and/or EMT staff may be determined to be required for large scale community events.

Event Organizer will provide an ambulance company to be on-site.

Event Organizer will provide EMT staff to be on-site.

Company Name:

Contact Name (if applicable):

Company Address:

City, State, Zip:

Phone Number: Email:

SITE PLAN
All site plans/maps must be submitted using 8 ½” x 11” or 8 ½” x 14” white paper.

All applicants are required to submit a detailed Site Plan/Map of the Event that must include the following on the Site Plan/Map:
□ An outline of the entire event venue including the names of all streets or areas that are part of the venue and the surrounding area. If the event involves a moving route of any kind, indicate the direction of travel and all street or lane closures. □ The location of fencing, barriers, and/or barricades. Indicate any removable fencing for emergency access.
□ The location of all stages, platforms, scaffolding, bleachers, grandstands, canopies, tents, portable bathrooms, first aid stations, booths, beer gardens, cooking areas, trash containers, dumpsters, parking areas, and any other temporary structures. □ Indicate placement of all generators and fire extinguishers □ Indicate placement of event vehicles and/or trailers
□ Scaled plans are required for carnivals, circuses, and other large-scale events □ Indication of the north direction
□ Day(s) and hours of operation for event
□ Name of primary point of contact and their phone number on the site plan

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Community Development Department
Planning Division
445 E. Florida Ave, Hemet, CA 92543
(951) 765-2375
www.Hemetca.gov
11 NOTIFICATIONS

1. Appointments are recommended for submittals. Call the Case Planner or (951) 765-2375 for scheduling.

2. Temporary Use Application Fee is $417. Verified 501(C)(3), the Fee is waived.

3. Additional fee’s may be required per review.

AUTHORIZATIONS
Print Applicant Name:

Applicant Signature:

ATTACHMENTS

1. Vendors List (if applicable)

2. Property Owner Consent Affidavit Form (if applicable)

3. Encroachment Permit Application (if applicable)

4. Building Permit Application (if applicable)

5. Temporary Use Permit (TUP) Business License Application Date:

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Community Development Department
Planning Division
445 E. Florida Ave, Hemet, CA 92543
(951) 765-2375
www.Hemetca.gov
12 Vendors List
Please list all participating vendors.

Vendor
Business Name
Type
of
Vendor
Vendor Address Vendor Phone
Number

FOR OFFICE USE ONLY
Health
Permit
Business
License
Insurance

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THE CITY OF HEMET PRESENTS:

Lights, Laughter
& INDEPENDENCE Saturday, July 5th, 2025 • 4:00 pm - 10:00 pm Auto Mall Drive, Hemet CA
Drone Show Extravaganza!
Prepare To Be Amazed As The Night
Sky Comes Alive With A Dazzling
Drone Light Show — Synchronized,
Choreographed, And Unlike
Anything You’ve Ever Seen In Hemet!
Over 30 Food Trucks! Giveaways, Games, & Music!
Get Here Early for Free Glowsticks
and Swag Bags! Enjoy Cornhole,
Crafts, Music and More!

SPONSORED BY
For More Information, Please Visit or Contact:
www.hemetca.gov/econdev / [email protected] / 951-669-0265

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City of Hemet
City Council Meeting

A Resolution of the City Council of the City of Hemet, California, Approving the Extension of a Temporary Use Permit for the Pop-Up Food Truck Festival Located at the Northwest Corner of Florida Avenue and Carmelita Street Through December 27, 2025 RECOMMENDED ACTION:

It is respectfully recommended that the City Council:

BACKGROUND:

The Hemet Food Truck Festival was approved by City Council on March 25, 2025 for eight weeks.

The Festival has been received well and continues to draw countless Hemet Residents each Saturday to experience the 10-12+ Food Trucks options from Pizza, Mexican, Asian Cuisine, Desserts, and much more.

Wunderlust Events has submitted a request to continue its Temporary Use Permit hosted weekly in partnership with the City of Hemet on property located at the corner of Florida Avenue and Carmelita Street until December 27, 2025. The Festival is intended to continue to bring a fun, family friendly festival to Hemet that promotes local artisan foods in the heart of the Downtown District.

ANALYSIS:

The pop-up Food Truck event is proposed to operate on Saturdays from 5:00 p.m. to 10:00 p.m. until December 27, 2025. The Food Truck Festival would feature anywhere between 10 and 16 food trucks on any given Saturday, along with live music, cornhole games, tables, lighting, portable restrooms, and parking along the perimeter.

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The primary objective is to continue a fun, family-friendly event in Hemet that promotes local food businesses, enhances community engagement, and generates increased foot traffic to the area, boosting the local economy. During the Festival period, aesthetic treatments along the edges of the pop-up park site can bring a vibrant Western ambiance to the Downtown, such as ornate boxed trees, hay bales, lighting, and other creative enhancements that are both functional and provide a sense of place.

PREVIOUS COUNCIL ACTION:

Fee waivers have been approved this fiscal year for the following events:
 $3,340.66 Día de Los Muertos
 $9,657.84 - World Homeless Day
 $1,660.66 - Cruise for Hope
 $1,660.66 - Turkey Giveaway
 $417.00 - Chick-fil-A Pop-up
 $5,697.66 - Pop-Up Food Truck Festival
 $1,389.20 - Juneteenth
STRATEGIC PLAN INTEGRATION: