Cities Index.
Agenda packet

Lake Elsinore City Council
May 14, 2024

Document
Agenda packet
Meeting
May 14, 2024
Body
Lake Elsinore City Council
Pages
206
Original file
177.3 MB
Text extracted from the city's file for reading and search. Open the original on lakeelsinore.primegov.com. That file is the official record.

REPORT TO CITY COUNCIL
To: Honorable Mayor and Members of the City Council
From: Jason Simpson, City Manager
Prepared by: Rick De Santiago, Public Works Manager
Date: May 14, 2024
Subject: Amendment No. 4 to the Agreement for Contractor Services with RP Landscape & Irrigation, Inc. for Maintenance Services at Alberhill Community Park
Recommendation
Approve and authorize the City Manager to execute Amendment No. 4 to the Agreement with RP Landscape & Irrigation, Inc. for Maintenance Services at Alberhill Community Park and to increase compensation by an additional $43,895.13 for a total not to exceed $1,153,357.27 per Fiscal Year in such final form as approved by the City Attorney.

Background
The City entered the original Contractor Services Agreement on October 27, 2020, for $743,042.00 for Citywide Park Maintenance Services. On June 28, 2022, the City approved Amendment No. 1 by an additional $206,000.00 to cover additional services. On July 11, 2023, the City approved Amendment No. 2 by an additional $98,500.00 to cover additional services. On August 8, 2023, the City approved Amendment No. 3 by an additional $61,920.14 to incorporate additional landscape maintenance services for parks and community facilities, plant replacement, and unforeseen repairs completed by RP Landscape. The City of Lake Elsinore is responsible for maintaining City-owned parks, beaches, parking lots, and parkways, and due to the high volume of maintenance work this job entails, the City contracts with vendors to supplement staff's efforts to keep up with the workload.

Amendment No. 4 for Contractor Services with RP Landscape

Page 2 of 2 ends

Discussion
Amendment No. 4 is requested to incorporate services for Alberhill Community Park Soccer Fields. Services for overseeding the soccer fields, overseed the field with a combination of Rio Bermuda and Grand Slam perennial ryegrass seed, which will help improve the overall quality and durability of the turf. Level low spots on the field using topsoil to ensure a level playing surface will help create a more even and consistent surface for the players. A temporary chain link fence will be installed to ensure the overseeding process's success. This will help keep park users off the fields during seed germination and establishment.

Fiscal Impact
Funds are available in the Fiscal Year 23-24 Annual Citywide Landscape Maintenance Program Attachments
Attachment 1- Amendment No. 4
Exhibit A - Quotes
Attachment 2 - Amendment No. 3
Attachment 3 - Amendment No. 2
Attachment 4 – Extension of Term Letter July 1, 2023
Attachment 5 - Amendment No. 1
Attachment 6 - Original Agreement
AMENDMENT NO. 4

TO AGREEMENT FOR CONTRACTOR SERVICES
RP Landscape & Irrigation, Inc.

Annual Citywide Landscape Maintenance Services
This Amendment No. 4 to Agreement for Contractor Services is made and entered into as of 5/14/2024, by and between the City of Lake Elsinore, a municipal corporation (“City), and RP Landscape & Irrigation, Inc., a Corporation (“Contractor”).

RECITALS
A. The City and Contractor have entered into that certain Agreement for Contractor Services dated as of 10/27/2020, (the “Original Agreement”). Except as otherwise defined herein, all capitalized terms used herein shall have the meanings set forth for such terms in the Original Agreement.

B. The Original Agreement provided for compensation to Contractor in an amount of Seven Hundred Forty-Three Thousand Forty-Two dollars and zero cents ($743,042.00).

C. The Original Agreement had a term of commencing on November 1, 2020, and ending June 30, 2023. The City may, at its discretion, extend the term of this Agreement on a 12- month basis not to exceed 2 additional twelve (12) month renewal terms.

D. Amendment No. 1 to the Original Agreement was executed on 6/28/22, to increase the amount of compensation by Two Hundred Six Thousand dollars and zero cents ($206,000.00).

E. Amendment No. 2 to the Original Agreement was executed on 7/11/2023, to increase the amount of compensation by Ninety-Eight Thousand Five Hundred and zero cents ($98,500.00).

F. Amendment No. 3 to the Original Agreement was executed on 8/8/2023, to increase the amount of compensation by Sixty-One Thousand Nine Hundred Twenty and fourteen cents ($61,920.14).

G. The parties now desire to amend and increase the payment for such services as set forth in this Amendment No. 4 for an annual amount not to exceed $1,153,357.27.

NOW, THEREFORE, in consideration of the mutual covenants and conditions set forth herein, City and Contractor agree as follows:

1. Section 3, Compensation, of the Original Agreement is hereby amended to add the following:

Notwithstanding the foregoing, for purposes of Amendment No. 4, compensation to be paid to Consultant shall be in accordance with Consultant’s Proposal dated April 17, 2024 (referenced as Exhibit A-1 to Amendment No. 4) and in no event shall Consultant’s compensation related to Exhibit A-1 to Amendment No. 4 exceed Forty-Three Thousand Eight Hundred Ninety-Five and 13/100th dollars ($43,895.13) without additional written authorization from the City. Total compensation shall not exceed One Million One Hundred Fifty-Three Thousand Three Hundred Fifty-Seven and 27/100th dollars ($1,153,357.27)

2. Except for the changes specifically set forth herein, all other terms and conditions of the Original Agreement shall remain in full force and effect.

IN WITNESS WHEREOF, the parties have caused this Amendment No. 4 to be executed on the respective dates set forth below.
“CITY”
CITY OF LAKE ELSINORE, a municipal
corporation
“CONTRACTOR”
RP Landscape & Irrigation., a Corporation
City Manager
Date:

Roy Perez, Owner
Date: __
ATTEST:

City Clerk
APPROVED AS TO FORM:

City Attorney

Assistant City Manager
Attachments: Exhibit A-1 – Contractor ’s Proposal
EXHIBIT A-1
CONTRACTOR ’S PROPOSAL
[ATTACHED]

ESTIMATE
RP Landscape & lrrigation
275SGSt
San Bernardino- CA 9241 0
City of Lake Elsinore
Bill to
City of Lake Elsinore
Finance Department
130 S Mdn Street
Lake Elsinore, CA 92530
Estimate details
Estimate no.: 1077
Esti mate datel. O4 / 1 7 /2024
Date Product or service
[email protected]
909-889-9987
Job Site: Alberhill Soccer Fields
Description
Here's the price to overseed soccer
field with Rio Bermuda and Grand Slam
perennial rye grass seed. We will level
low spots with top soil and apply
topdressing City to provide, RP to
provide top dresser machine. lnstall
temporary chain link fence. Fencing
availabb May 7 & 8 need approval right
away to lock in those dates.

Total Materials & Labor
Ship to
City of Lake Elsinore
Alberhill Park Soccer Fields
Qtv Rate Amount
$0.00
1 $43,89s.13 $43,895.13
$43,895.13

2. Labor
Total
AMENDMENT NO. 3

TO AGREEMENT FOR CONTRACTOR SERVICES
RP Landscape & Irrigation, Inc.

Annual Citywide Landscape Maintenance Services
This Amendment No. 3 to Agreement for Contractor Services is made and entered into as of 8/8/2023, by and between the City of Lake Elsinore, a municipal corporation (“City), and RP Landscape & Irrigation, Inc., a Corporation (“Contractor”).

RECITALS
A. The City and Contractor have entered into that certain Agreement for Contractor Services dated as of 10/27/2020, (the “Original Agreement”). Except as otherwise defined herein, all capitalized terms used herein shall have the meanings set forth for such terms in the Original Agreement.

B. The Original Agreement provided for compensation to Contractor in an amount of Seven Hundred Forty-Three Thousand Forty-Two dollars ($743,042.00).

C. The Original Agreement had a term commencing on November 1, 2020, and ending June 30, 2023. The City may, at its discretion, extend the term of this Agreement on a 12- month basis not to exceed 2 additional twelve (12) month renewal terms.

D. Amendment No. 1 to the Original Agreement was executed on 6/28/2022 to increase the amount of compensation by Two Hundred Six Thousand Dollars and Zero Cents ($206,000.00).

E. Amendment No. 2 to the Original Agreement was executed on 7/11/2023 to increase the amount of compensation by Ninety-Eight Thousand Five Hundred and Zero Cents ($98,500.00).

F. The parties now desire to increase the payment for such services as set forth in this Amendment No 3.

NOW, THEREFORE, in consideration of the mutual covenants and conditions set forth herein, City and Contractor agree as follows:

1. Section 3, Compensation, of the Original Agreement is hereby amended to read in its entirety as follows:

Compensation to be paid to Contractor shall be in accordance with the fees set forth in Contractor's Proposal (Exhibit A), which is attached hereto and incorporated herein by reference. In no event shall Contractor's annual compensation exceed One Million One Hundred Nine Thousand Four Hundred Sixty-Two Dollars and Fourteen Cents. ($1,109,462.14) without additional written authorization from the City Council. Notwithstanding any provision of Contractor's Proposal to the contrary, out of pocket expenses set forth in Exhibit A shall be reimbursed at cost without an inflator or administrative charge. Payment by City under this Agreement shall not be deemed a waiver of defects, even if such defects were known to the City at the time of payment.

DocuSign Envelope ID: 773295DB-BE88-40CB-A93C-28561CD59EAA

2. Except for the changes specifically set forth herein, all other terms and conditions of the Original Agreement shall remain in full force and effect.

IN WITNESS WHEREOF, the parties have caused this Amendment No. 3 to be executed on the respective dates set forth below.
“CITY”
CITY OF LAKE ELSINORE, a municipal
corporation
“CONTRACTOR”
RP Landscape & Irrigation, Inc., a Corporation
City Manager
Date:

Roy Perez, Owner
Date: __
ATTEST:

City Clerk
APPROVED AS TO FORM:

City Attorney

Assistant City Manager
Attachments: Exhibit A-1 – Contractor ’s Proposal
DocuSign Envelope ID: 773295DB-BE88-40CB-A93C-28561CD59EAA 8/11/2023 | 7:56 AM PDT
8/11/2023 | 8:20 AM PDT
EXHIBIT A-1
CONTRACTOR ’S PROPOSAL
[ATTACHED]
DocuSign Envelope ID: 773295DB-BE88-40CB-A93C-28561CD59EAA DocuSign Envelope ID: 773295DB-BE88-40CB-A93C-28561CD59EAA DocuSign Envelope ID: 773295DB-BE88-40CB-A93C-28561CD59EAA 07/06/2023
Central City Insurance Agency, Inc.
1030 Nevada Street
Suite 106
Redlands CA 92374
Patricia Wagner,CIC,CISR
(909) 307-6076 (909) 798-4107
[email protected]
Roy Perez dba R P Landscape & Irrigation
P.O. Box 1200
San Bernardino CA 92402
Scottsdale Ins Co 41297
Palomar Specialty Insurance Company 20338
2022-2023
A Y CPS7669677 10/19/2022 10/19/2023
2,000,000
100,000
5,000
2,000,000
4,000,000
4,000,000
Y
Theft Prevention
Authority Charge
B Y PSIC12300-02 01/10/2023 01/10/2024
1,000,000
1,000,000
1,000,000
The City, its elected or appointed officers, officials, employees,agents and volunteers are to be covered as additional insured with respect to liability arising out of work performed by or on behalf of the Contractor, including materials, parts or equipment furnished in connection with such work or operations. and are named as Additonal Insured per Blanket Additional Insured endorsement GLS150s 07 09 Primary and Non Contributory applies per endorsement CG 20 01 12-19, Waiver of Subrogation for General Liability applies per endorsement CG 24 04 12 19 30 day notice for cancellation, 10 day notice for cancellation by non-payment City of Lake Elsinore
521 N Langstaff Street
Lake Elsinore CA 92530

SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE

THE EXPIRATION DATE THEREOF, NOTICE WILL BE DELIVERED IN ACCORDANCE WITH THE POLICY PROVISIONS.

INSURER(S) AFFORDING COVERAGE
INSURER F :

INSURER E :

INSURER D :

INSURER C :

INSURER B :

INSURER A :

NAIC #
NAME:

CONTACT
(A/C, No):

FAX
E-MAIL
ADDRESS:

PRODUCER
(A/C, No, Ext):

PHONE

INSURED
COVERAGES CERTIFICATE NUMBER: REVISION NUMBER:

IMPORTANT: If the certificate holder is an ADDITIONAL INSURED, the policy(ies) must have ADDITIONAL INSURED provisions or be endorsed.

If SUBROGATION IS WAIVED, subject to the terms and conditions of the policy, certain policies may require an endorsement. A statement on this certificate does not confer rights to the certificate holder in lieu of such endorsement(s).

THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS

CERTIFICATE DOES NOT AFFIRMATIVELY OR NEGATIVELY AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. THIS CERTIFICATE OF INSURANCE DOES NOT CONSTITUTE A CONTRACT BETWEEN THE ISSUING INSURER(S), AUTHORIZED REPRESENTATIVE OR PRODUCER, AND THE CERTIFICATE HOLDER.

OTHER:
(Per accident)
(Ea accident)
$
$
N / A
SUBR
WVD
ADDL
INSD

THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED. NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS

CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH POLICIES. LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. $
$
$
$

PROPERTY DAMAGE
BODILY INJURY (Per accident)
BODILY INJURY (Per person)

COMBINED SINGLE LIMIT

AUTOS ONLY

AUTOS ONLY AUTOS

NON-OWNED

OWNED SCHEDULED

ANY AUTO

AUTOMOBILE LIABILITY
Y / N

WORKERS COMPENSATION

AND EMPLOYERS' LIABILITY
OFFICER/MEMBER EXCLUDED?
(Mandatory in NH)
DESCRIPTION OF OPERATIONS below
If yes, describe under

ANY PROPRIETOR/PARTNER/EXECUTIVE
$
$
$
E.L. DISEASE - POLICY LIMIT
E.L. DISEASE - EA EMPLOYEE
E.L. EACH ACCIDENT
ER
OTHSTATUTEPER
(MM/DD/YYYY) LIMITS

POLICY EXP
(MM/DD/YYYY)

POLICY EFF

LTR TYPE OF INSURANCE POLICY NUMBER
INSR
DESCRIPTION OF OPERATIONS / LOCATIONS / VEHICLES (ACORD 101, Additional Remarks Schedule, may be attached if more space is required)

EXCESS LIAB
UMBRELLA LIAB EACH OCCURRENCE $
AGGREGATE $
$
OCCUR

CLAIMS-MADE
DED RETENTION $
PRODUCTS - COMP/OP AGG $
GENERAL AGGREGATE $
PERSONAL & ADV INJURY $
MED EXP (Any one person) $
EACH OCCURRENCE $

DAMAGE TO RENTED
PREMISES (Ea occurrence) $

COMMERCIAL GENERAL LIABILITY

CLAIMS-MADE OCCUR
GEN'L AGGREGATE LIMIT APPLIES PER:

POLICY
PROJECT LOC

CERTIFICATE OF LIABILITY INSURANCE DATE (MM/DD/YYYY)

CANCELLATION

AUTHORIZED REPRESENTATIVE
ACORD 25 (2016/03)
© 1988-2015 ACORD CORPORATION. All rights reserved.

CERTIFICATE HOLDER
The ACORD name and logo are registered marks of ACORD
HIRED

AUTOS ONLY
DocuSign Envelope ID: 773295DB-BE88-40CB-A93C-28561CD59EAA DocuSign Envelope ID: 773295DB-BE88-40CB-A93C-28561CD59EAA DocuSign Envelope ID: 773295DB-BE88-40CB-A93C-28561CD59EAA DocuSign Envelope ID: 773295DB-BE88-40CB-A93C-28561CD59EAA DocuSign Envelope ID: 773295DB-BE88-40CB-A93C-28561CD59EAA DocuSign Envelope ID: 773295DB-BE88-40CB-A93C-28561CD59EAA 
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DocuSign Envelope ID: 773295DB-BE88-40CB-A93C-28561CD59EAA

CITY OF LAKE ELSINORE

TO BE POSTED IN A CONSPICUOUS PLACE
Business Name:

Business Location:

Owner Name(s):

BUSINESS LICENSE NO.

Issue Date: Expiration Date:

BUSINESS LICENSE
THIS IS YOUR LICENSE • NOT TRANSFERABLE
1905 W RIALTO AVE Business Type:

SAN BERNARDINO, CA 92410-1618

RP LANDSCAPE & IRRIGATION
PO BOX 1200
SAN BERNARDINO, CA 92402-1271
This business license is issued for revenue purposes only and does not grant authorization to operate a business. This business license is issued without verification that the holder is subject to or exempted from licensing by the state, county, federal government, or any other governmental agency.

Administrative Services - Licensing
130 South Main Street, Lake Elsinore, CA 92530
PH (951) 674-3124

RP LANDSCAPE & IRRIGATION

ROY PEREZ

LANDSCAPING CONTRACTOR
025530
12/1/2022 11/30/2023
Starting January 1, 2021, Assembly Bill 1607 requires the prevention of gender-based discrimination of business establishments. A full notice is available in English or other languages by going to: https://www.dca.ca.gov/publications/ DocuSign Envelope ID: 773295DB-BE88-40CB-A93C-28561CD59EAA AMENDMENT NO. 2

TO AGREEMENT FOR CONTRACTOR SERVICES
RP Landscape & Irrigation, Inc.

Annual Citywide Landscape Maintenance Services
This Amendment No. 2 to Agreement for Contractor Services is made and entered into as of 7/11/2023, by and between the City of Lake Elsinore, a municipal corporation (“City), and RP Landscape & Irrigation, Inc., a Corporation (“Contractor”).

RECITALS
A. The City and Contractor have entered into that certain Agreement for Contractor Services dated as of 10/27/2020, (the “Original Agreement”). Except as otherwise defined herein, all capitalized terms used herein shall have the meanings set forth for such terms in the Original Agreement.

B. The Original Agreement provided for compensation to Contractor in an amount of Seven Hundred Forty-Three Thousand Forty-Two dollars ($743,042.00).

C. The Original Agreement had a term commencing on November 1, 2020, and ending June 30, 2023. The City may, at its discretion, extend the term of this Agreement on a 12- month basis not to exceed 2 additional twelve (12) month renewal terms.

D. Amendment No. 1 to the Original Agreement was executed on 6/28/2022 to increase the amount of compensation by Two Hundred Six Thousand Dollars and Zero Cents ($206,000.00).

E. The parties now desire to increase the payment to compensate Contractor for additional landscape maintenance services for parks and community facilities, plant replacement and unforeseen repairs completed at City request as set forth in this Amendment No 2.

NOW, THEREFORE, in consideration of the mutual covenants and conditions set forth herein, City and Contractor agree as follows:

1. Section 1, Scope of Services, of the Original Agreement is hereby amended to add the following:

Contractor shall also perform the services described in Contractor ’s 5/29/2023 Invoices (attached to this Amendment No. 2 as Exhibit A-1).

2. Section 3, Compensation, of the Original Agreement is hereby amended to read in its entirety as follows:

Notwithstanding the foregoing, for the purposes of Amendment No. 2 and the term thereof, compensation to be paid to the Contractor shall be in accordance with the Schedule of Charges set forth in Contractor ’s Invoices (Exhibit A-1). In no event shall Contractor ’s compensation related to Exhibit A-1 to Amendment No. 2 exceed One Million FortySeven Thousand Five Hundred Forty-Two Dollars and Zero Cents. ($1,047,542.00) for Fiscal Year 22-23 without additional written authorization from the City Council.

DocuSign Envelope ID: C053CB25-62C5-4A4E-8835-79834233C4BA Notwithstanding any provision of Contractor ’s invoices to the contrary, out of pocket expenses set forth in Exhibit A-1 respectively, shall be reimbursed at cost without an inflator or administrative charge. Payment by City under this Agreement shall not be deemed a waiver of defects, even if such defects were known to the City at the time of payment.

3. Except for the changes specifically set forth herein, all other terms and conditions of the Original Agreement shall remain in full force and effect.

IN WITNESS WHEREOF, the parties have caused this Amendment No. 2 to be executed on the respective dates set forth below.
“CITY”
CITY OF LAKE ELSINORE, a municipal
corporation
“CONTRACTOR”
RP Landscape & Irrigation, Inc., a Corporation
City Manager
Date:

Roy Perez, Owner
Date: __
ATTEST:

City Clerk
APPROVED AS TO FORM:

City Attorney

Assistant City Manager
Attachments: Exhibit A-1 – Contractor ’s Proposal
DocuSign Envelope ID: C053CB25-62C5-4A4E-8835-79834233C4BA 7/21/2023 | 4:42 PM PDT
7/21/2023 | 4:58 PM PDT
EXHIBIT A-1
CONTRACTOR ’S PROPOSAL
[ATTACHED]
DocuSign Envelope ID: C053CB25-62C5-4A4E-8835-79834233C4BA DocuSign Envelope ID: C053CB25-62C5-4A4E-8835-79834233C4BA DocuSign Envelope ID: C053CB25-62C5-4A4E-8835-79834233C4BA DocuSign Envelope ID: C053CB25-62C5-4A4E-8835-79834233C4BA DocuSign Envelope ID: C053CB25-62C5-4A4E-8835-79834233C4BA 07/06/2023
Central City Insurance Agency, Inc.
1030 Nevada Street
Suite 106
Redlands CA 92374
Patricia Wagner,CIC,CISR
(909) 307-6076 (909) 798-4107
[email protected]
Roy Perez dba R P Landscape & Irrigation
P.O. Box 1200
San Bernardino CA 92402
Scottsdale Ins Co 41297
Palomar Specialty Insurance Company 20338
2022-2023
A Y CPS7669677 10/19/2022 10/19/2023
2,000,000
100,000
5,000
2,000,000
4,000,000
4,000,000
Y
Theft Prevention
Authority Charge
B Y PSIC12300-02 01/10/2023 01/10/2024
1,000,000
1,000,000
1,000,000
The City, its elected or appointed officers, officials, employees,agents and volunteers are to be covered as additional insured with respect to liability arising out of work performed by or on behalf of the Contractor, including materials, parts or equipment furnished in connection with such work or operations. and are named as Additonal Insured per Blanket Additional Insured endorsement GLS150s 07 09 Primary and Non Contributory applies per endorsement CG 20 01 12-19, Waiver of Subrogation for General Liability applies per endorsement CG 24 04 12 19 30 day notice for cancellation, 10 day notice for cancellation by non-payment City of Lake Elsinore
521 N Langstaff Street
Lake Elsinore CA 92530

SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE

THE EXPIRATION DATE THEREOF, NOTICE WILL BE DELIVERED IN ACCORDANCE WITH THE POLICY PROVISIONS.

INSURER(S) AFFORDING COVERAGE
INSURER F :

INSURER E :

INSURER D :

INSURER C :

INSURER B :

INSURER A :

NAIC #
NAME:

CONTACT
(A/C, No):

FAX
E-MAIL
ADDRESS:

PRODUCER
(A/C, No, Ext):

PHONE

INSURED
COVERAGES CERTIFICATE NUMBER: REVISION NUMBER:

IMPORTANT: If the certificate holder is an ADDITIONAL INSURED, the policy(ies) must have ADDITIONAL INSURED provisions or be endorsed.

If SUBROGATION IS WAIVED, subject to the terms and conditions of the policy, certain policies may require an endorsement. A statement on this certificate does not confer rights to the certificate holder in lieu of such endorsement(s).

THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS

CERTIFICATE DOES NOT AFFIRMATIVELY OR NEGATIVELY AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. THIS CERTIFICATE OF INSURANCE DOES NOT CONSTITUTE A CONTRACT BETWEEN THE ISSUING INSURER(S), AUTHORIZED REPRESENTATIVE OR PRODUCER, AND THE CERTIFICATE HOLDER.

OTHER:
(Per accident)
(Ea accident)
$
$
N / A
SUBR
WVD
ADDL
INSD

THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED. NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS

CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH POLICIES. LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. $
$
$
$

PROPERTY DAMAGE
BODILY INJURY (Per accident)
BODILY INJURY (Per person)

COMBINED SINGLE LIMIT

AUTOS ONLY

AUTOS ONLY AUTOS

NON-OWNED

OWNED SCHEDULED

ANY AUTO

AUTOMOBILE LIABILITY
Y / N

WORKERS COMPENSATION

AND EMPLOYERS' LIABILITY
OFFICER/MEMBER EXCLUDED?
(Mandatory in NH)
DESCRIPTION OF OPERATIONS below
If yes, describe under

ANY PROPRIETOR/PARTNER/EXECUTIVE
$
$
$
E.L. DISEASE - POLICY LIMIT
E.L. DISEASE - EA EMPLOYEE
E.L. EACH ACCIDENT
ER
OTHSTATUTEPER
(MM/DD/YYYY) LIMITS

POLICY EXP
(MM/DD/YYYY)

POLICY EFF

LTR TYPE OF INSURANCE POLICY NUMBER
INSR
DESCRIPTION OF OPERATIONS / LOCATIONS / VEHICLES (ACORD 101, Additional Remarks Schedule, may be attached if more space is required)

EXCESS LIAB
UMBRELLA LIAB EACH OCCURRENCE $
AGGREGATE $
$
OCCUR

CLAIMS-MADE
DED RETENTION $
PRODUCTS - COMP/OP AGG $
GENERAL AGGREGATE $
PERSONAL & ADV INJURY $
MED EXP (Any one person) $
EACH OCCURRENCE $

DAMAGE TO RENTED
PREMISES (Ea occurrence) $

COMMERCIAL GENERAL LIABILITY

CLAIMS-MADE OCCUR
GEN'L AGGREGATE LIMIT APPLIES PER:

POLICY
PROJECT LOC

CERTIFICATE OF LIABILITY INSURANCE DATE (MM/DD/YYYY)

CANCELLATION

AUTHORIZED REPRESENTATIVE
ACORD 25 (2016/03)
© 1988-2015 ACORD CORPORATION. All rights reserved.

CERTIFICATE HOLDER
The ACORD name and logo are registered marks of ACORD
HIRED

AUTOS ONLY
DocuSign Envelope ID: C053CB25-62C5-4A4E-8835-79834233C4BA DocuSign Envelope ID: C053CB25-62C5-4A4E-8835-79834233C4BA DocuSign Envelope ID: C053CB25-62C5-4A4E-8835-79834233C4BA DocuSign Envelope ID: C053CB25-62C5-4A4E-8835-79834233C4BA DocuSign Envelope ID: C053CB25-62C5-4A4E-8835-79834233C4BA DocuSign Envelope ID: C053CB25-62C5-4A4E-8835-79834233C4BA 
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   

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   
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DocuSign Envelope ID: C053CB25-62C5-4A4E-8835-79834233C4BA

CITY OF LAKE ELSINORE

TO BE POSTED IN A CONSPICUOUS PLACE
Business Name:

Business Location:

Owner Name(s):

BUSINESS LICENSE NO.

Issue Date: Expiration Date:

BUSINESS LICENSE
THIS IS YOUR LICENSE • NOT TRANSFERABLE
1905 W RIALTO AVE Business Type:

SAN BERNARDINO, CA 92410-1618

RP LANDSCAPE & IRRIGATION
PO BOX 1200
SAN BERNARDINO, CA 92402-1271
This business license is issued for revenue purposes only and does not grant authorization to operate a business. This business license is issued without verification that the holder is subject to or exempted from licensing by the state, county, federal government, or any other governmental agency.

Administrative Services - Licensing
130 South Main Street, Lake Elsinore, CA 92530
PH (951) 674-3124

RP LANDSCAPE & IRRIGATION

ROY PEREZ

LANDSCAPING CONTRACTOR
025530
12/1/2022 11/30/2023
Starting January 1, 2021, Assembly Bill 1607 requires the prevention of gender-based discrimination of business establishments. A full notice is available in English or other languages by going to: https://www.dca.ca.gov/publications/ DocuSign Envelope ID: C053CB25-62C5-4A4E-8835-79834233C4BA DocuSign Envelope ID! 170AC7F4- 576B- 422F- 9272- OEDE2AD08722

CITY OF
LAKE ' 3,LSIIAOKE
rte:] DREAM EXTREME
July 1, 2923
RP Landscape & Irrigation, Inc.

Attn: Roy Perez
P. O. Box 1290
San Bernardino, CA 92492
RE: CONTRACTOR SERVICES AGREEMENT— FIRST EXTENSION
Dear Mr. Perez:

This letter is provided to inform you that the Contractor Services Agreement dated October 27, 2020, between RP Landscape & Irrigation, Inc. and the City of Lake Elsinore is extended per Section 2. c Term of the Agreement to June 30, 2024.

If you have any questions regarding this Agreement extension please contact Carla Khalil, Management Analyst Department of Public Works at ( 951) 674- 5170 ext. 364.

Sincerely,
ocu5igne d 6y:
asou. Slmrsbw
1F661F63E6FE412...

Jason Simpson
City Manager
AMENDMENT NO. 1

TO AGREEMENT FOR CONTRACTOR SERVICES
RP Landscape & Irrigation, Inc.

Annual Citywide Landscape Maintenance Services
This Amendment No. 1 to Agreement for Contractor Services is made and entered into as of 6/28/2022, by and between the City of Lake Elsinore, a municipal corporation (“City), and RP Landscape & Irrigation, Inc., a Corporation (“Contractor”).

RECITALS
A. The City and Contractor have entered into that certain Agreement for Contractor Services dated as of 10/27/2020, (the “Original Agreement”). Except as otherwise defined herein, all capitalized terms used herein shall have the meanings set forth for such terms in the Original Agreement.

B. The Original Agreement provided for compensation to Contractor in an amount of Seven Hundred Forty-Three Thousand Forty-Two dollars ($743,042).

C. The Original Agreement had a term commencing November 1, 2020 and ending June 30, 2023. The City may, at its sole discretion, extend the term of this Agreement on a 12- month basis not to exceed 2 additional twelve (12) month renewal terms.

D. The parties now desire to amend the scope of services and increase the payment for such services as set forth in this Amendment No 1.

NOW, THEREFORE, in consideration of the mutual covenants and conditions set forth herein, City and Contractor agree as follows:

1. Section 1, Scope of Services, of the Original Agreement is hereby amended to add the following:

Contractor shall also perform the services described in Contractor ’s 6/1/2022 Proposal (attached to this Amendment No. 1 as Exhibit A-1).

Contractor shall provide such services at the time, place, and in the manner specified in Exhibit A-1, subject to the direction of the City through its staff that it may provide from time to time.

2. Section 2, Compensation, of the Original Agreement is hereby amended to read in its entirety as follows:

Notwithstanding the foregoing, for purposes of Amendment No. 1 and the term thereof, compensation to be paid to Contractor shall be in accordance with the Schedule of Charges set forth in Contractor ’s Proposal (referenced collectively as Exhibit A-1 Amendment No. 1). In no event shall Contractor ’s compensation related to Exhibit A-1 to Amendment No. 1 exceed Nine Hundred Forty-Nine Thousand Forty-Two dollars ($949,042) without additional written authorization from the City Council.

3. Except for the changes specifically set forth herein, all other terms and conditions of the Original Agreement shall remain in full force and effect.

DocuSign Envelope ID: 9E3C346B-BB5E-403B-8B09-AF00EB7F58E7 IN WITNESS WHEREOF, the parties have caused this Amendment No. 1 to be executed on the respective dates set forth below.
“CITY”
CITY OF LAKE ELSINORE, a municipal
corporation
“CONTRACTOR”
RP Landscape & Irrigation, Inc., a Corporation
City Manager
Date:

Roy Perez, Owner
Date: __
ATTEST:

City Clerk
APPROVED AS TO FORM:

City Attorney
Assistant City Manager
Attachments: Exhibit A-1 – Contractor ’s Proposal
DocuSign Envelope ID: 9E3C346B-BB5E-403B-8B09-AF00EB7F58E7 7/7/2022 | 4:38 PM PDT 7/7/2022 | 4:10 PM PDT
EXHIBIT A-1
CONTRACTOR ’S PROPOSAL
[ATTACHED]
DocuSign Envelope ID: 9E3C346B-BB5E-403B-8B09-AF00EB7F58E7 DocuSign Envelope ID: 9E3C346B-BB5E-403B-8B09-AF00EB7F58E7 DocuSign Envelope ID: 9E3C346B-BB5E-403B-8B09-AF00EB7F58E7 DocuSign Envelope ID: 9E3C346B-BB5E-403B-8B09-AF00EB7F58E7 DocuSign Envelope ID: 9E3C346B-BB5E-403B-8B09-AF00EB7F58E7 DocuSign Envelope ID: 9E3C346B-BB5E-403B-8B09-AF00EB7F58E7 RP Landscape & Irrigation
PO Box 1200
San Bernardino, CA 92402
NAME / ADDRESS Ship To
Estimate
DATE ESTIMATE NO.
5/12/2022 192
City of Lake Elsinore
Finance Department
130 S Main Street
Canyon Hills Park
Lake Elsinore, CA 92530

DESCRIPTION
Here's the price to overseed two baseball fields with Hybrid Bermuda grass seed.

I. Fill in low spots with top soil.

2. Treat weeds in turf before seeding.

3. Adjust and repair irrigation reset valve boxes to level.

4.Treat for rodents.

5. Seed with Hybrid Bermuda.

Total Materials & Labor
Total Materials & Labor
Please Sign For Aproval and Return. Estimate good for 30 days.

P.O. NO. TERMS PROJECT
Due on receipt
QTY Total
12,681.23

35.00 Total $12,716.23
L----------------------'---------_,,...:;;-....,..,... ~1 Phone# ~'ff E-mail
909-889-9987 [email protected]
DocuSign Envelope ID: 9E3C346B-BB5E-403B-8B09-AF00EB7F58E7 RP Landscape & Irrigation
PO Box 1200
San Bernardino, CA 92402
NAME/ADDRESS Ship To
Estimate
DATE ESTIMATE NO.
3/23/2022 183
City of Lake Elsinore
Finance Department
130 S Main Street
Canyon Hills Park/Soccer Field II
Lake Elsinore, CA 92530
P.O. NO.

DESCRIPTION
Here's the price to reseed Soccer Field next to restrooms with Sport Field II Bermuda grass seed.

We will be leveling low spots with top soil and install temporary chain link fencing.

Total Materials & Labor
Increase 5% for Grass Seed & Fertilizer
We appreciate your prompt payment.

Phone# E-mail
909-889-998 7 [email protected]
TERMS
QTY
Total

PROJECT
Total
13,425.00
671.25
$14,096.25
DocuSign Envelope ID: 9E3C346B-BB5E-403B-8B09-AF00EB7F58E7 RP Landscape & Irrigation
PO Box 1200
San Bernardino, CA 92402
NAME/ADDRESS Ship To
Estimate
DATE ESTIMATE NO.
3/23/2022 184
City of Lake Elsinore
Finance Department
130 S Main Street
Alberhill Park Soccer Fields
Lake Elsinore, CA 92530
P.O. NO.

DESCRIPTION
Here's the price to reseed soccer field with Sport Field II Bermuda grass seed.

We will be leveling low spots with top soil and install temporary chain link fencing.

Total Materials & Labor
Increase of5% for Grass Seed & Fertilizer
We appreciate your prompt payment.

Phone# E-mail
909-889-9987 [email protected]
TERMS
QTY
Total

PROJECT
Total
34,457.00
1,722.85
$36,179.85
DocuSign Envelope ID: 9E3C346B-BB5E-403B-8B09-AF00EB7F58E7 RP Landscape & Irrigation
PO Box 1200
San Bernardino, CA 92402

NAME/ADDRESS
City of Lake Elsinore
Finance Department
130 S Main Street
Lake Elsinore, CA 92530

DESCRIPTION
Ship To
Summerly Park
P.O. NO.

Here's the price to over seed 4-baseball fields, I-soccer field, also turf area between ballfields and dog park.

I. Fill in low spots with top soil.

2. Treat weeds in turf before seeding.

3. Adjust and repair irrigation reset valve boxes to level.

4.Treat for rodents.

5. Seed with Hybrid Bermuda.

6. Temporary Fencing.

All turf will be arerated to break up soil and to drop seed for optimal growth.

Total Materials & Labor
Please Sign For Aproval and Return. Estimate good for 30 days.

Phone# E-mail
909-889-9987 [email protected]
Estimate
DATE ESTIMATE NO.
5/ 12/2022 191

TERMS PROJECT
Due on receipt
QTY Total
53,853.45
Total
DocuSign Envelope ID: 9E3C346B-BB5E-403B-8B09-AF00EB7F58E7 ao, ' /'4 ACOR CERTIFICATE OF LIABILITY INSURANCE

DATE (MM'DTYYYYY)
0211112022
rXIS CTiITICATE IS ISSUEDASA MATTER OF INFORMATION ONLYAND CONFERS NO RIGHTS UPON THE CERTIFIGATE HOLDER. THIS CERTIFTCATE DOES NOT AFFIRMANVELY OR NEGATIVELY AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLIC]ES BELOW. THIS CERTIFICATE OF INSURANCE DOES NOT CONSNTUTE A CONTRACT BETWEEN THE ISSUING TNSURER(S), AUTHORIZED REPRESENTATIVE OR PRODUCER, AND THE CERTIFICATE HOLDER. e ADDITIONAL INSURED provisions or be endorsed.
lf SUBRoGATION lS WAIVED, subject to the terms and conditions of the policy, certain policies may require an endotsemenL A statement on this certificate does not confer rights to the certificate holder in Iieu of such endorsemen(s).

PRODT'CER
Central City lnsurance Agency, lnc.
1030 Novada Street
Suite 106
Redlands cA 92374
$PU$"t Patricia \ hgner,clc,clSR
mr".*. (eoe) 307-6076 I [it. no,, (soe) 7e8-4107
E-.$flh"., [email protected]
INSURER(S) AFFORDING COVERAGE NAIC f
tNsuRERA: Scottsdale lns Co 41297

INSURED
Roy Perez dba R P Landscape & lrrigalion
PO. Box'1200
san Bernardino cA 92402
INSURER B: CAAUTO 38342
tNsuRER c. Preferred Professional lnsurance Company 36234 INSURER D:

INSURER E:
pF.

CERTIFICATE NUMBER: 2022-2023 REVISION NUMBER: COVERAGES

THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED. NOTWTHSTANDING ANY REOUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT W|TH RESPECT TO WFIICH THIS

CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS' ExcLUSloNSANDcoNDlTloNsoFsUcHPoLlclEs.LlMlTSSHo\^/NMAYHAVEBEENREDUCEDBYPA|DcLAlMS_

COMMERCIAL GENERAL LIABILITY
.LA,M.-MADE l-Xl o""r*
GEN'L AGGREGATE LIMIT APPLIESPER:
,",.' E 3E& [-l ,-*
oW\]ED f\.,I SCHEDULED
Auros oHt-v I ,al AUTos HrREo Jr.zl tloNovweo
AUToS ONLY E}I AUTOS ONLY
BOOILY INJURY (Per person)
EMPLOYERS'UABILIW YrN

PROPRIETOFYPARTNER/EXECUTIVE
CERAiIEMBER EXCLUDED?
datory In NH)
ffiocAnoNs,vEHlcLEs(AcoRD101,AddltlonalRemark3schedule,maybe.ttached|fmorcspacelsrequlred) The City, its elected or appointed offcers, officials, employees,agents and volunteers are to be mvered as additional insured with respect to liability arising out of work performed by or on behalf of ihe contractor, incrrJin-g-r"teiials, parrs or equipment furnished in connection with such work or operations' and are named asAdditonal lnsured per BlanketAdditional lnsured endorsement GLS'150s 07 09 primary and Non Contributory applies per endorsement CG io oi lz-t s, \A/aiver of Subrogation for General Liability- applies per endorsemenl CG 24 04 12 19 As regards Automobite coverage \ laiver and Blanket additional insured applies per en-dorsement McA851oo817-cA 30 day notice for cancellation' 10 day notice for cancellation by non-payment

SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE

THE EXPIRATION DATE THEREOF, NOTICE WLL BE DELIVERED IN ACCORDANCE WITH THE POLICY PROVISIONS.

City of Lake Elsinore
521 N Langstaff Street
Lake Elsinore
O f ggg-ZOf S ACORD CORPORATION. All rights reserved'
ACORD 25 (2016/03) The ACORD name and logo are registered marks of ACORD FEB I 8 A$EE
DocuSign Envelope ID: 9E3C346B-BB5E-403B-8B09-AF00EB7F58E7

ATYACHEO TO A'ID
PiOLICY IIUI'EER
EttooRSE aEt{t EttEcIvE o rE
(t2:Ol lL. SIAIO RD,UaE) AGETTIO.
cPs7461114 LO/19/202a ROY PEREZ DBA R P I,ANDSCAPE & fRRIGATION 0402'1 -/L r"*rrDALE rNsuRANcE ..MPANY@
With respect io this endorsement, SECTION ll-WHO lS
AN INSURED is amended to include as an additional insured any p6r6on or organization whom you a(e requirod lo edd as an addiiional insured on this policy under a wrillen conkact, wrillen agreement or wrillen permil which must be:
a. Cun€ntly in 6fl6ct or bocoming effective during
the term ofthe policy; and
b, Execuled prior to the'bodily injury,' 'property
damage,' or "personal and adve ising iniury.'
The insurance provided to lhess additional insuleds is limited as follows:
1, That person or organization is an addilional insured only with respect lo liability for "bodily injury,'
'proporiy damage' or "personal and advertising
iniuqf caused, in whole or in Part, by:
a, Your acts or omissions; or
b. The acts or omissions of thoso acting on your
behalf.

A person's or organization's status as an additional insured under this endorsement ends wlten your operations for that additional insured are
completed.

2. With raspect to the insurance afforded to those
additional insureds, the following sxclusions are
added to item 2. Exclusions of SEcTloN lCOVERAGEST
This insurance does not apply to'bodily iniury,'
'property damago- or'personal and adverlising
inju4f occuning after:

ENDORSEMENT NO.-
THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT GAREFULLY.

BLANKET ADDITIONAL INSURED ENDORSEMENT
This endorsement modities insurance provided under the following:

COMMERCIAL GENERAL LIABILITY COVERAGE PART
a. All work, including materials, parls or equipment furnished in conneclion with such work, on th6 projoct (othar than servic6, maintenance or repairs) to be performed by or on behalf of lhe additional insured(s) at the location of the covered operalions has been completed; or b. Thal portion of "your work' out o, which the iniury or damage arises has been put to its intended use by any person or organization other than another conlractor or subcontraclor engaged in performing operations for a principal as a part of the same proi6ct.

The limits of insuranco applicable to ths addilional
insured are those specified in lhe wrillen contract,
written agreement or w,illen p€rmit or in the Declarations for this policy, whichever is less. These limils of insuranco are inclusive of, and nol in addilion to, lhe Limits of Insurance sho$rn in lhe Declarations for this policy.

Coverage is not provided lor 'bodily injury,"
'property damage,' or'personal and advertising
injury'arising out of lhe sole negligence of lhe
additional insured.

The insurance provided to the additional insured
do6s noi apply to'bodily injury,' "property damage,"
or "personal and advertising iniuD/ arising out of
an architect's, enginee/s or surveyo/s rendering
of or failure to render any professional services
including:
lncludog clpydghled maledal of lso Propertlos, lnc., wilh ils pormis6ion.

Copyrlght, ISO Prope.ties, lnc., 20(x
Page I ol2 cLS-1sos (7-06)
DocuSign Envelope ID: 9E3C346B-BB5E-403B-8B09-AF00EB7F58E7 b.

The prepailng, approving or failing to prepare
or approve maps, shop drawings, opinions, reports, surveys, field orders, change orders or drawings and specificaiions; and
Supervisory, inspeclion, architectural or engineering activilies.

Any coverage provided hereunder will be excess
over any other vatid and collectible insurance available to the additional insured whether primary, excess, contingent or on any other basis unless a written conlract specifically requires that this insurance be pdmary.

When this insurance is excess, we will have no du'
ty under SECTION I-COVERAGES to defend the
additional insured against any 'suit' if any other insurer has a duty to defend the addilional insured against that 'suit.' lf no other insurer defends, we
will undertake to do so, but we will be entilled to the additional insured's righls against all those other
insurers.

6. AUTHORIZED REPRESENTATIVE
lncludes copyilghted material of ISO Properlk s, lnc., wilh its pBrmlssion.

Copytighl, ISO ProPerlles, lnc., 2004
GLS-150s fa-06) Page 2 of 2
DATE
DocuSign Envelope ID: 9E3C346B-BB5E-403B-8B09-AF00EB7F58E7

COMMERCIAL GENERAL LIABILITY
cG 20 01 12 19
THIS ENDORSEMENT CHANGES THE POLICY, PLEASE READ IT CAREFULLY.

PRIMARY AND NONGONTRIBUTORY .

OTHER INSURANCE CONDITION
This andorsement modifios insurance provided under the following:

COMMERCIAL GENEML LIABILITY COVEMGE PART

LIOUOR LIABILITY COVERAGE PART

PRODUCTS/COMPLETED OPERATIONS LIABILITY COVEMGE PART
The following is added to the other lnsurance (2) You have agJeed.il witing in a conlract or Conaition iriO supersedes any plovision to th€ agreement that lhis insurance would be conlrary: primary and. would not seek ..contlibution
prlmary And Noncontributory lnsurance fj:$,fl], othar insuranca available to the This insurance is primary to and will not seek
contribution from any other insulance available to
an addilional insured under your policy ptovided
that:
{1) Th6 additional insured is a Namod lnsured
under such olher insurancei and
cG 20 01 12 '19 O lnsuranca Services Office, lnc., 2018 Pags 'l of I DocuSign Envelope ID: 9E3C346B-BB5E-403B-8B09-AF00EB7F58E7 POLICY NUMBER: CPS7461114
THIS ENDORSEMENT CHANGES THE POLICY.

COMMERCIAL GENERAL LIABILITY
cG 24 0412'.19

PLEASE READ IT CAREFULLY,

WAIVER OF TRANSFER OF RIGHTS OF REGOVERY

AGATNST OTHERS TO US (WAIVER OF SUBROGATION)
This endorsoment modifies insurance provided under tha following:

COMMERCIAL GENERAL LIABILITY COVERAGE PART

ELECTRONIC DATA LIABILITY COVERAGE PART

LIQUOR LIABILITY COVERAGE PART

POLLUTION LIABILITY COVERAGE PART DESIGNATED SITES

POLLUTION LIABILITY LIMITED COVERAGE PART DESIGNATED SITES

PRODUCTS/COMPLETED OPERATIONS LIABILITY COVERAGE PART
RAILROAD PROTECTIVE LIABILIry COVERAGE PART

UNDERGROUND STORAGE TANK POLICY DESIGNATED TANKS

SCHEOULE
Name Of Porson(s) Or Organlzatlon{s):

ANY PERSON OR.6RGANIAATION WiTB TTHOM TITE INST'RED HAS AGREED TO WAIVE RIGHTS OF REcovERY,PRoVIDEDSUCHAGREEMENTISMADEINI{RTTINGA}IDPRIoRToTHEl,oss.

I'NITED STATES
lo comDlote this Schedule, if not shown above, will be shown in Tho following ls added to Paragraph 8. Transfar Of
Rights of Recovery Against others To IJs of
Section lv - Condltions;
W6 waive any rlght of rocovsry against the person(s)
or organization(s) shown in tha Schedule abovo
becauso of paymonts we maks under this Coveraga
Part. Such waiver by us applies only to the extent that the lnsursd has waived its right of recov€ry against
such p6rson(s) or organization(s) prior to loss. This
endorsamani applies only to the porson(s) or
organization(s) shown in lhs Schedule above.
cc 24 04 12 19 @ lnsurance Servic€s office, |nc.,2018 Page I of 1 DocuSign Envelope ID: 9E3C346B-BB5E-403B-8B09-AF00EB7F58E7 ,igo;+.riri 4
viixivrn:oF OUnffiiliirrT6:Hee0vER,Eho.ilil6il{EnbEitp-onsemitriaAiirorRulx "WO 04'03',06
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ths':'6X€nt'Xh?it
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TITORKERS'SOMEENSATION ANDiEMPLOYERS TIABITITYiINSURANGE'POI.IOY y6ti;yiiiisii;n{rilhtaiit
woilf;ueiffiu,qi, tir, tBE :$6hsdd lp:

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our
P.d'f $.,oir,o.t:g'tgd6iiaii"6$
Blanket Waiver - Any person or organization for lvhom tlte Named llrured has agreed by written contract to furnish this waiver.
-r[_dpiE"6.neh!,EIl*ltr
insursii
:?o.uiy,r{q. ON 'L ?? oo-o! :gr{oFenq,ilf{,01,
lnsttftnls 00fl.!pahy
,$oti-edulg
ri,o.FD'ti,s-ff F"fi.c,fl .'
All CAOpcrations
;6iP51Et6lgd0d,Eg
6rs$ilb. iriiiiiwilrt(;j*.c{ffpttiitrid;iilnltu}a"iiiE:RaiiiitEti66ii,'or,'oilirdniiiii,Alt..r0iilifijfill3H., ThU aijdtltjrifil :pr'{ft1iriiri'fqi thig ,e..nil.ES6rnpnt $hhll',bdilgz_-.-.yq,o"t ffi BaliforhiA WukQig! coriipthbalurf Biemiiidt olhffi iq;e, tl q 5 ff : qu,Eh re nt ff n;6r5t!oti,
DocuSign Envelope ID: 9E3C346B-BB5E-403B-8B09-AF00EB7F58E7 f\
THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.

Business Auto Broadening Endorsement
This endorsement modifies insurance provided under the following:

BUSINESS AUTO COVERAGE FORM
r. NEWLY ACQUTRED OR FORMED ENTITY (BROAD FORM NAMED INSURED) II. EMPLOYEES AS ]NSUREDS
III. AUTOMATIC ADDITIONAL INSURED
IV. EMPLOYEE HIRED AUTO LIABILIW
V. SUPPLEMENTARYPAYMENTS
VI. FELLOW EMPLOYEE COVERAGE
VII. ADDITIONALTRANSPORTATION EXPENSE
VIII. HIRED AUTO PHYSICAL DAMAGE COVERAGE
IX. ACCIDENTAL AIRBAG DEPLOYMENT COVERAGE
x. LoAN/LEASE GAP COVERAGE
XI. GLASS REPAIR - DEDUCTIBLE WAIVER
XII. TWO OR MORE DEDUCTIBLES
XIII. AMENDED DUTIES IN EVENT OF ACCIDENT, CLAIM, SUIT OR LOSS XIV. WAIVER OF SUBROGATION

XV, UNINTENTIONAL ERROR, OMISSION, OR FAILURE TO DISCLOSE HAZARDS XVI. EMPLOYEE HIRED AUTO PHYSICAL DAMAGE

XVII, PRIMARY AND NONCONTRIBUTORY IF REQUIRED BY CONTRACT XVIII. HIRED AUTO - COVERAGE TERRITORY
XIX. BODILY INJURY REDEFINED TO INCLUDE RESULTANT MENTAL ANGUISH Copyright 2017 Mercury lnsurance Services, LLC' All rights reserved.

MCA85100817-CA lncludes copyrighted material of lnsurance Services Office, lnc., with its Permission Page 1 of 6 DocuSign Envelope ID: 9E3C346B-BB5E-403B-8B09-AF00EB7F58E7 il.
lll.
lv.

V.

BUSINESS AUTO COVERAGE FORM
NEWLY ACQUIRED OR FORMED ENTIW (Broad Form Named lnsured) SECTION il - LIABILITY COVERAGE, A. Coverage, 1. Who ls An lnsured, the following is added:
d. Any business entity newly acquired or formed by you during the policy period provided you own 50% or more of the business entity and the business entity is not separately insured for Business Auto Coverage. Coverage is extended upto a maximum of 180 days following acquisition or formation of the business entity.

Coverage under this provision is afforded only until the end of the policy period.

Coverage does not apply to an "accident" which occurred before you acquired or formed the orga nization'

EMPLOYEES AS INSUREDS
SECTION lt - LIABILITY COVERAGE, A. Coverage, 1. Who ls An lnsured, the following is added:
e. Any "employee" of yours is an "insured" while using a covered "auto" you don't own, hire or borrow in your business or your personal affairs.

AUTOMATIC ADDITIONAL I NSU RED
SECTTON ll - L|ABILITY COVERAGE, A. Coverage, 1. Who ls An lnsured, the following is added:
f. Any person or organization that you are required to include as additional insured on the Coverage Form in a written contract or agreement that is signed and executed by you before the "bodily injury" or "property damage" occurs and that is in effect during the policy period is an "insured" for Liability Coverage, but only for damages to which this insurance applies and only to the extent that person or organization qualifies as an "insured" under the Who ls An lnsured provision contained in Section ll.

EMPLOYEE HIRED AUTO LIABILITY
SECTION ll - LIABILITY COVERAGE, A. Coverage, 1. Who ls An lnsured, the following is added:
g. An "employee" of yours is an "insured" while operating an "auto" hired or rented under a contract or agreement in that "employee's" name, with your permission, while performing duties related to the conduct of your business.

SUPPLEM ENTARY PAYM ENTS
SECTION ll - LIABILITY COVERAGE, A. Coverage, 2. Coverage Extensions, a. Supplementary Payments, Subparagraphs (2) and (4) are replaced by the following:
(2) Up to S3,0OO for cost of bail bonds (including bonds for related traffic law violations) required because of an "accident" we cover. We are not obligated to furnish these bonds.
(4) All reasonable expenses incurred by the "insured" at our request, including actual loss of earnings up to 5500 a day because of time off from work' Copyright 2017 Mercury lnsurance Services, LLC. All rights reserved.

MCA85100817-CA lncludes copyrighted material of lnsurance Services Office, lnc., with its Permission Page 2 of 6 DocuSign Envelope ID: 9E3C346B-BB5E-403B-8B09-AF00EB7F58E7 VI. FELLOW EMPLOYEE COVERAGE:

SECTION ll - LIABILITY COVERAGE, B. Exclusions, 5. Fellow Employee This exclusion does not apply if you have workers' compensation insurance in-force covering all of your "employees". Coverage is excess over any other collectible insurance.

V!I. ADDITIONALTRANSPORTATIONEXPENSE
SECTION lll - PHYSICAL DAMAGE COVERAGE, A. Coverage,4. Coverage Extensions, a. Transportation Expenses, is replaced with the following:

We will pay up to 550 per day to a maximum of STOOO for temporary transportation expense incurred by you because of the total theft of a covered "auto" of the private passenger type. We will pay only for those covered "autos" for which you carry either Comprehensive or Specified Causes of Loss Coverage. We will pay for temporary transportation expenses incurred during the period beginning 48 hours after the theft and ending, regardless of the policy's expiration, when the covered "auto" is returned to use or wepayforits"loss". lfyourbusinessshownintheDeclarationsisotherthananauto dealership, we will also pay up to 51,000 for reasonable and necessary costs incurred by you to return a stolen covered auto from the place where it is recovered to its usual garaging location.

VIII. HIRED AUTO PHYSICAL DAMAGE COVERAGE
SECTION lll - PHYSICAL DAMAGE COVERAGE, A. Coverage, 4. Coverage Extensions, the following is added:
c. lf Liability Coverage is provided in this policy on a Symbol 1 or a Symbol 8 basis and Comprehensive, Specified Causes of Loss, or Collision coverages are provided under this coverage form for any "auto" you own, then the Physical Damage Coverages provided are extended to "autos" you hire, subject to the following limit:
(1) The most we will pay for "loss" to any hired "auto" is S50,000 or Actual Cash Value or Cost of Repair, whichever is less
(2) 5500 deductible will apply to any loss under this coverage extension, except that no deductible shall apply to "loss" caused by fire or lightning Subject to the above limit and deductible we will provide coverage equal to the broadest coverage applicable to any covered "auto" you own of similar size and type. This coverage extension is excess coverage over any other collectible i nsu ra nce,
IX. ACCIDENTAT AIRBAG DEPLOYMENT COVERAGE
SECTTON lll - PHYSICAL DAMAGE COVERAGE, B. Exclusions, 3.a., is amended to add the following:

This exclusion does not apply to the accidental discharge of an airbag.

Copyright 2017 Mercury lnsurance Services, LLC. All rights reserved' MCA8S10O817-CA lncludes copyrighted material of lnsurance Services Office, lnc., with its Permission Page 3 of 6 DocuSign Envelope ID: 9E3C346B-BB5E-403B-8B09-AF00EB7F58E7 X. LOAN/LEASE GAP COVERAGE
SECTTON ilt - pHYS|CAL DAMAGE COVERAGE C. Limit of lnsurance, the following is added:

4. ln the event of a "total loss" to a covered "auto" shown in the schedule or declarations for which Collision and Comprehensive Coverage apply, we will pay any unpaid amount due on the lease or loan for that covered "auto," less:
a. The amount paid under the Physical Damage Coverage Section of the policy; and
b. AnY:
(1) Overdue lease/loan payments at the time of the "loss"; (2) Financial penalties imposed under a lease for excessive use, abnormalwear and tear or high mileage.
(3) Security deposits not returned by the lessor;
(4) Costs for extended warranties, Credit Life lnsurance, Health, Accident or Disability lnsurance purchased with the loan or lease; and (5) Carry-over balances from previous loans or leases.

The most we will pay under Auto Loan/Lease Gap Coverage for an insured auto is 25% of the actual cash value of that insured auto at the time of the loss' XI. GLASS REPAIR. DEDUCTIBLE WAIVER
SECTTON ill - PHYSICAL DAMAGE COVERAGE, D. Deductible, the following is added:

No deductible applies to glass damage if the glass is repaired rather than replaced.

XII. TWO OR MORE DEDUCTIBLES
SECTION lll -PHYSICAL DAMAGE COVERAGE, D. Deductible, the following is added:
lf two or more "company" policies or coverage forms apply to the same accident:

1. lf the applicable Business Auto deductible is the smallest, it will be waived; or

2. lf the applicable Business Auto deductible is not the smallest, it will be reduced by the amount of the smallest deductible; or

3. lf the loss involves two or more Business Auto coverage forms or policies the smallest deductible will be waived.

For the purpose of this endorsement "company" means the company providing this insurance and any of the affiliated members of the Mercury lnsurance Group of companies.

XIII. AMENDED DUTIES IN EVENT OF ACCIDENT, CLAIM, SUIT OR LOSS The requirement in SECTION lV, BUSINESS AUTO CONDITIONS, A. Loss Conditions, 2. Duties ln The Event Of Accident, Claim, Suit, Or Loss, a., ln the event of "accident", you must notify us of an "accident" applies only when the "accident" is known to:
(1) You, if you are an individual;
(2) A partner, if you are a partnership;
(3) A member, if you are a limited liability company; or (a) An executive officer or insurance manager, if you are a corporation.

Copyright 2017 Mercury lnsurance Services, LLC, All rights reserved.

MCA851OO817-CA lncludes copyrighted material of lnsurance Services Office, lnc., with its Permission Page 4 of 5 DocuSign Envelope ID: 9E3C346B-BB5E-403B-8B09-AF00EB7F58E7 XIV. WAIVER OF SUBROGATION
SECIION lV - BUSINESS AUTO CONDITIONS, A. Loss Conditions, 5. Transfer of Rights Of Recovery Against Others To Us, section is replaced by the following:

5. Transfer Of Rights Of Recovery Against Others To Us
We waive any right of recovery we may have against any person or organization to the extent required of you by a written contract executed priorto any "accident" or "loss", provided that the "accident" or "loss" arises out of the operations contemplated by such contract. The waiver applies only to the person or organization designated in such contract.

XV. UNINTENTIONAL ERROR, OMISSION, OR FAILURE TO DISCLOSE HMARDS SECTION lV - BUSINESS AUTO CONDITIONS, B. General Conditions, 2. Concealment, Misrepresentation, or Fraud, the following is added:

Any unintentional omission of or error in information given by you, or unintentional failure to disclose all exposures or hazards existing as of the effective date or at any time during the policy period shall not invalidate or adversely affect the coverage for such exposure or hazard or prejudice your rights underthis insurance. However, you must report the undisclosed exposure or hazard to us as soon as reasonably possible after its discovery.

This provision does not affect our right to collect additional premium or exercise our right of cancellation or non-renewal.

XVI. EMPTOYEE HIRED AUTO PHYSICAL DAMAGE
SECTION lV - BUSINESS AUTO CONDITIONS, B. General Conditions, 5. Other lnsurance, b, For Hired Auto Physical Damage Coverage, is replaced by the following:
b. For Hired Auto Physical Damage Coverage, the following are deemed to be covered "autos" you own:

1. Any covered "auto" you lease, hire, rent or borrow; and

2. Any covered "auto" hired or rented by your "employee" under a contract in that individual "employee's" name, with your permission, while performing duties related to the conduct of your business.

However, any "auto" that is leased, hired, rented or borrowed with a driver is not a covered "auto",
XVII. PRIMARY AND NONCONTRIBUTORY IF REqUIRED BY CONTRACT SECTION lV - BUSINESS AUTO CONDITIONS, B. General Conditions, 5. Other lnsurance, the following is added and supersedes any provision to the contrary:
e. This insurance is primary to and will not seek contribution from any other insurance available to an additional insured under your policy provided that:
(1) The additional insured is a Named lnsured under such other insurance; and {21 You have agreed in writing in a contract or agreement that this insurance would be primary and would not seek contribution from any other insurance available to the additional insured.

Copyright 2017 Mercury lnsurance Services, LLC, All rights reserved.

MCA85100817-CA lncludes copyrighted material of lnsurance Services Office, lnc., with its Permission Page 5 of 6 DocuSign Envelope ID: 9E3C346B-BB5E-403B-8B09-AF00EB7F58E7 xvill. HIRED AUTO. COVERAGE TERRITORY
SECTTON tV - BUSINESS AUTO CONDITIONS, B. General Conditions, 7" Policy Period, Coverage Territory, e. Anywhere in the world if:, is replaced by the following:
e. Anywhere in the world if:
(1) A covered "auto" is leased, hired, rented or borrowed without a driver for a period of 30 days or less; and
(Z) The "insured's" responsibility to pay damages is determined in a "suit" on the merits, in the United States of America, the territories and possessions of the United States of America, Puerto Rico, or Canada or in a settlement we agree to.

BODILY INJURY REDEFINED TO INCLUDE RESULTANT MENTAL ANGUISH SECTION V - DEFINITIONS, C. "Bodily lnjury" is amended by adding the following:
"Bodily injury" also includes mental anguish but only when the mental anguish arises from other bodily injury, sickness, or disease.

Copyright 2017 Mercury lnsurance Services, LLC' All rights reserved. lncludes copyrighted material of lnsurance Services Office, lnc., with its Permission xtx.

MCA85100817-CA Page 6 of 6
DocuSign Envelope ID: 9E3C346B-BB5E-403B-8B09-AF00EB7F58E7

CITY OF LAKE ELSINORE

TO BE POSTED IN A CONSPICUOUS PLACE
Business Name:

Business Location:

Owner Name(s):

BUSINESS LICENSE NO.

Issue Date: Expiration Date:

BUSINESS LICENSE
THIS IS YOUR LICENSE • NOT TRANSFERABLE
1905 W RIALTO AVE Business Type:

SAN BERNARDINO, CA 92410-1618

RP LANDSCAPE & IRRIGATION
PO BOX 1200
SAN BERNARDINO, CA 92402-1268
This business license is issued for revenue purposes only and does not grant authorization to operate a business. This business license is issued without verification that the holder is subject to or exempted from licensing by the state, county, federal government, or any other governmental agency.

Administrative Services - Licensing
130 South Main Street, Lake Elsinore, CA 92530
PH (951) 674-3124

RP LANDSCAPE & IRRIGATION

ROY PEREZ

LANDSCAPING CONTRACTOR
025530
12/1/2021 11/30/2022
Starting January 1, 2021, Assembly Bill 1607 requires the prevention of gender-based discrimination of business establishments. A full notice is available in English or other languages by going to: https://www.dca.ca.gov/publications/ DocuSign Envelope ID: 9E3C346B-BB5E-403B-8B09-AF00EB7F58E7 RP Landscape & Irrigation Inc. - Agreement Page 1

AGREEMENT FOR CONTRACTOR SERVICES
RP Landscape & Irrigation, Inc.

Annual Citywide Landscape Maintenance Services
This Agreement for Professional Services (the “Agreement”) is made and entered into as of October 27, 2020, by and between the City of Lake Elsinore, a municipal corporation (‘‘City") and RP Landscape & Irrigation, Inc., a Corporation ("Contractor").

RECITALS
A. The City has determined that it requires the following professional services:

Landscape services for parks, beaches and parkways.

B. Contractor has submitted to City a proposal, dated August 25, 2020, attached hereto as Exhibit A (“Contractor’s Proposal”) and incorporated herein, to provide professional services to City pursuant to the terms of this Agreement.

C. Contractor possesses the skill, experience, ability, background, certification and knowledge to perform the services described in this Agreement on the terms and conditions described herein.

D. City desires to retain Contractor to perform the services as provided herein and Contractor desires to provide such professional services as set forth in this Agreement.

AGREEMENT

1. Scope of Services. Contractor shall perform the services described in Contractor’s Proposal (Exhibit A). Contractor shall provide such services at the time, place, and in the manner specified in Contractor’s Proposal, subject to the direction of the City through its staff that it may provide from time to time.

2. Time of Performance.
a. Time of Essence. Time is of the essence in the performance of this Agreement. The time for completion of the professional services to be performed by Contractor is an essential condition of this Agreement. Contractor shall prosecute regularly and diligently the professional services contemplated pursuant to this Agreement according to the agreed upon performance schedule in Contractor’s Proposal (Exhibit A). b. Performance Schedule. Contractor shall commence the services pursuant to this Agreement upon receipt of a written notice to proceed and shall perform all services within the time period(s) established in the Contractor’s Proposal (Exhibit A). When requested by Contractor, extensions to the time period(s) specified may be approved in writing by the City Manager.
c. Term and Compliance with Task/Work Order System. Unless earlier terminated as provided elsewhere in this Agreement, this Agreement shall continue in full force DocuSign Envelope ID: E89FC5D7-A40A-4B91-A08A-0ED1C5189F69

Page 2 ends

and effect for a period commencing on November 1, 2020 and ending June 30, 2023. The City may, at its sole discretion, extend the term of this Agreement on a 12-month basis not to exceed 2 additional twelve (12) month renewal terms by giving written notice thereof to Contractor not less than thirty (30) days before the end of the contract term, such notice to be exercised by the City Manager.

Contractor hereby agrees and acknowledges that any and all work or services performed pursuant to this Agreement shall be based upon the issuance of a Task/Work Order by the City. Contractor acknowledges that it is not guaranteed any minimum or specific amount of work or services as all work or services shall be authorized through a Task/Work Order issued by the City.

3. Compensation. Compensation to be paid to Contractor shall be in accordance with the fees set forth in Contractor's Proposal (Exhibit A), which is attached hereto and incorporated herein by reference. In no event shall Contractor's annual compensation exceed Seven Hundred Forty Three Thousand Forty Two Dollars ($743,042) without additional written authorization from the City. Notwithstanding any provision of Contractor's Proposal to the contrary, out of pocket expenses set forth in Exhibit A shall be reimbursed at cost without an inflator or administrative charge. Payment by City under this Agreement shall not be deemed a waiver of defects, even if such defects were known to the City at the time of payment.

4. Method of Payment. Contractor shall promptly submit billings to the City describing the services and related work performed during the preceding month to the extent that such services and related work were performed. Contractor’s bills shall be segregated by project task, if applicable, such that the City receives a separate accounting for work done on each individual task for which Contractor provides services. Contractor’s bills shall include a brief description of the services performed, the date the services were performed, the number of hours spent and by whom, and a description of any reimbursable expenditures. City shall pay Contractor no later than forty-five (45) days after receipt of the monthly invoice by City staff.

5. Background Checks. At any time during the term of this Agreement, the City reserves the right to make an independent investigation into the background of Contractor’s personnel who perform work required by this Agreement, including but not limited to their references, character, address history, past employment, education, social security number validation, and criminal or police records, for the purpose of confirming that such personnel are lawfully employed, qualified to provide the subject service or pose a risk to the safety of persons or property in and around the vicinity of where the services will be rendered or City Hall. If the City makes a reasonable determination that any of Contractor’s prospective or then current personnel is deemed objectionable, then the City may notify Contractor of the same. Contractor shall not use that personnel to perform work required by this Agreement, and if necessary, shall replace him or her with a suitable worker.

6. Suspension or Termination.
a. The City may at any time, for any reason, with or without cause, suspend or terminate this Agreement, or any portion hereof, by serving upon the Contractor at least ten (10) days prior written notice. Upon receipt of such notice, the Contractor shall immediately cease all work under this Agreement, unless the notice provides otherwise. If the City suspends or terminates a portion of this Agreement such suspension or termination shall not make void or invalidate the remainder of this Agreement.

DocuSign Envelope ID: E89FC5D7-A40A-4B91-A08A-0ED1C5189F69

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b. In the event this Agreement is terminated pursuant to this Section, the City shall pay to Contractor the actual value of the work performed up to the time of termination, provided that the work performed is of value to the City. Upon termination of the Agreement pursuant to this Section, the Contractor will submit an invoice to the City, pursuant to Section entitled “Method of Payment” herein.

7. Plans, Studies, Documents.
a. Ownership of Documents. All plans, studies, documents and other writings prepared by and for Contractor, its officers, employees and agents and subcontractors in the course of implementing this Agreement, except working notepad internal documents, shall become the property of the City upon payment to Contractor for such work, and the City shall have the sole right to use such materials in its discretion without further compensation to Contractor or to any other party. Contractor shall, at Contractor’s expense, provide such reports, plans, studies, documents and other writings to City upon written request. City shall have sole determination of the public’s rights to documents under the Public Records Act, and any thirdparty requests of Contractor shall be immediately referred to City, without any other actions by Contractor.
b. Licensing of Intellectual Property. This Agreement creates a nonexclusive and perpetual license for City to copy, use, modify, reuse, or sublicense any and all copyrights, designs, and other intellectual property embodied in plans, specifications, studies, drawings, estimates, and other documents or works of authorship fixed in any tangible medium of expression, including but not limited to, physical drawings or data magnetically or otherwise recorded on computer diskettes, which are prepared or caused to be prepared by Contractor under this Agreement ("Documents & Data"). Contractor shall require that all subcontractors agree in writing that City is granted a nonexclusive and perpetual license for any Documents & Data the subcontractor prepares under this Agreement. Contractor represents and warrants that Contractor has the legal right to license any and all Documents & Data. Contractor makes no such representation and warranty in regard to Documents & Data which were prepared by design professionals other than Contractor or provided to Contractor by the City. City shall not be limited in any way in its use of the Documents & Data at any time, provided that any such use not within the purposes intended by this Agreement shall be at City’s sole risk. c. Confidentiality. All ideas, memoranda, specifications, plans, procedures, drawings, descriptions, computer program data, input record data, written information, and other Documents & Data either created by or provided to Contractor in connection with the performance of this Agreement shall be held confidential by Contractor. Such materials shall not, without the prior written consent of City, be used by Contractor for any purposes other than the performance of the services under this Agreement. Nor shall such materials be disclosed to any person or entity not connected with the performance of the services under this Agreement. Nothing furnished to Contractor which is otherwise known to Contractor or is generally known, or has become known, to the related industry shall be deemed confidential. Contractor shall not use City’s name or insignia, photographs relating to project for which Contractor’s services are rendered, or any publicity pertaining to the Contractor’s services under this Agreement in any magazine, trade paper, newspaper, television or radio production or other similar medium without the prior written consent of City.

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8. Contractor’s Books and Records.
a. Contractor shall maintain any and all ledgers, books of account, invoices, vouchers, canceled checks, and other records or documents evidencing or relating to charges for services, or expenditures and disbursements charged to City for a minimum period of three (3) years, or for any longer period required by law, from the date of final payment to Contractor to this Agreement.
b. Contractor shall maintain all documents and records which demonstrate performance under this Agreement for a minimum period of three (3) years, or for any longer period required by law, from the date of termination or completion of this Agreement. c. Any records or documents required to be maintained pursuant to this Agreement shall be made available for inspection or audit, at any time during regular business hours, upon written request by the City Manager, City Attorney, City Auditor or a designated representative of these officers. Copies of such documents shall be provided to the City for inspection at City Hall when it is practical to do so. Otherwise, unless an alternative is mutually agreed upon, the records shall be available at Contractor’s address indicated for receipt of notices in this Agreement.
d. Where City has reason to believe that such records or documents may be lost or discarded due to dissolution, disbandment or termination of Contractor’s business, City may, by written request by any of the above-named officers, require that custody of the records be given to the City and that the records and documents be maintained in City Hall. Access to such records and documents shall be granted to any party authorized by Contractor, Contractor’s representatives, or Contractor’s successor-in-interest.

9. Independent Contractor.
a. Contractor is and shall at all times remain as to the City a wholly independent contractor pursuant to California Labor Code Section 3353. The personnel performing the services under this Agreement on behalf of Contractor shall at all times be under Contractor’s exclusive direction and control. Neither City nor any of its officers, employees, or agents shall have control over the conduct of Contractor or any of Contractor’s officers, employees, or agents, except as set forth in this Agreement. Contractor shall not at any time or in any manner represent that it or any of its officers, employees, or agents are in any manner officers, employees, or agents of the City. Contractor shall not incur or have the power to incur any debt, obligation, or liability whatsoever against City, or bind City in any manner. b. Notwithstanding any other federal, state and local laws, codes, ordinances and regulations to the contrary and except for the fees paid to Contractor as provided in the Agreement, Contractor and any of its employees, agents, and subcontractors providing service under this Agreement shall not qualify for or become entitled to, and hereby agree to waive any claims to, any compensation, benefit, or any incident of employment by City, including but not limited to eligibility to enroll in PERS as an employee of City and entitlement to any contribution to be paid by City for employer contribution and/or employee contributions for PERS benefits.

10. PERS Eligibility Indemnification. In the event that Contractor or any employee, agent, or subcontractor of Contractor providing services under this Agreement claims or is determined by a court of competent jurisdiction or the California Public Employees Retirement System (PERS) to be eligible for enrollment in PERS as an employee of the City, Contractor shall DocuSign Envelope ID: E89FC5D7-A40A-4B91-A08A-0ED1C5189F69

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indemnify, defend, and hold harmless City for the payment of any employee and/or employer contributions for PERS benefits on behalf of Contractor or its employees, agents, or subcontractors, as well as for the payment of any penalties and interest on such contributions, which would otherwise be the responsibility of City.

11. Interests of Contractor. Contractor (including principals, associates and professional employees) covenants and represents that it does not now have any investment or interest in real property and shall not acquire any interest, direct or indirect, in the area covered by this Agreement or any other source of income, interest in real property or investment which would be affected in any manner or degree by the performance of Contractor’s services hereunder. Contractor further covenants and represents that in the performance of its duties hereunder no person having any such interest shall perform any services under this Agreement.

Contractor is not a designated employee within the meaning of the Political Reform Act because Contractor:
a. will conduct research and arrive at conclusions with respect to his/her rendition of information, advice, recommendation or counsel independent of the control and direction of the City or of any City official, other than normal agreement monitoring; and b. possesses no authority with respect to any City decision beyond rendition of information, advice, recommendation or counsel. (FPPC Reg. 18700(a)(2).)

12. Professional Ability of Contractor. City has relied upon the professional training and ability of Contractor to perform the services hereunder as a material inducement to enter into this Agreement. Contractor shall therefore provide properly skilled professional and technical personnel to perform all services under this Agreement. All work performed by Contractor under this Agreement shall be in accordance with applicable legal requirements and shall meet the standard of quality ordinarily to be expected of competent professionals in Contractor’s field of expertise.

13. Compliance with Laws.
a. Contractor shall comply with all local, state and federal laws and regulations applicable to the services required hereunder, including any rule, regulation or bylaw governing the conduct or performance of Contractor and/or its employees, officers, or board members.
b. Contractor represents that it has obtained and will maintain at all times during the term of this Agreement all professional and/or business licenses, certifications and/or permits necessary for performing the services described in this Agreement, including a City business license.

14. Licenses. Contractor represents and warrants to City that it has the licenses, permits, qualifications, insurance and approvals of whatsoever nature which are legally required of Contractor to practice its profession. Contractor represents and warrants to City that Contractor shall, at its sole cost and expense, keep in effect or obtain at all times during the term of this Agreement, any licenses, permits, insurance and approvals which are legally required of Contractor to practice its profession. Contractor shall maintain a City of Lake Elsinore business license.

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15. Indemnity. Contractor shall indemnify, defend, and hold harmless the City and its officials, officers, employees, agents, and volunteers from and against any and all losses, liability, claims, suits, actions, damages, and causes of action arising out of any personal injury, bodily injury, loss of life, or damage to property, or any violation of any federal, state, or municipal law or ordinance, to the extent caused, in whole or in part, by the willful misconduct or negligent acts or omissions of Contractor or its employees, subcontractors, or agents, by acts for which they could be held strictly liable, or by the quality or character of their work. The foregoing obligation of Contractor shall not apply when (1) the injury, loss of life, damage to property, or violation of law arises from the sole negligence or willful misconduct of the City or its officers, employees, agents, or volunteers and (2) the actions of Contractor or its employees, subcontractor, or agents have contributed in no part to the injury, loss of life, damage to property, or violation of law. It is understood that the duty of Contractor to indemnify and hold harmless includes the duty to defend as set forth in Section 2778 of the California Civil Code. Acceptance by City of insurance certificates and endorsements required under this Agreement does not relieve Contractor from liability under this indemnification and hold harmless clause. This indemnification and hold harmless clause shall apply to any damages or claims for damages whether or not such insurance policies shall have been determined to apply. By execution of this Agreement, Contractor acknowledges and agrees to the provisions of this Section and that it is a material element of consideration.

16. Insurance Requirements.
a. Insurance. Contractor, at Contractor’s own cost and expense, shall procure and maintain, for the duration of the contract, unless modified by the City’s Risk Manager, the following insurance policies.
i. Workers’ Compensation Coverage. Contractor shall maintain Workers’ Compensation Insurance and Employer’s Liability Insurance for his/her employees in accordance with the laws of the State of California. In addition, Contractor shall require each subcontractor to similarly maintain Workers’ Compensation Insurance and Employer’s Liability Insurance in accordance with the laws of the State of California for all of the subcontractor’s employees. Any notice of cancellation or non-renewal of all Workers’ Compensation policies must be received by the City at least thirty (30) days prior to such change. The insurer shall agree to waive all rights of subrogation against City, its officers, agents, employees and volunteers for losses arising from work performed by Contractor for City. In the event that Contractor is exempt from Worker’s Compensation Insurance and Employer’s Liability Insurance for his/her employees in accordance with the laws of the State of California, Contractor shall submit to the City a Certificate of Exemption from Workers Compensation Insurance in a form approved by the City Attorney.
ii. General Liability Coverage. Contractor shall maintain commercial general liability insurance in an amount not less than one million dollars ($1,000,000) per occurrence for bodily injury, personal injury and property damage. If a commercial general liability insurance form or other form with a general aggregate limit is used, either the general aggregate limit shall apply separately to the work to be performed under this Agreement or the general aggregate limit shall be at least twice the required occurrence limit. Required commercial general liability coverage shall be at least as broad as Insurance Services Office Commercial General Liability occurrence form CG 0001 (ed. 11/88) or Insurance Services Office form number GL 0002 (ed. 1/73) covering comprehensive General Liability and Insurance Services Office form number GL 0404 DocuSign Envelope ID: E89FC5D7-A40A-4B91-A08A-0ED1C5189F69

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covering Broad Form Comprehensive General Liability. No endorsement may be attached limiting the coverage.
iii. Automobile Liability Coverage. Contractor shall maintain automobile liability insurance covering bodily injury and property damage for all activities of the Contractor arising out of or in connection with the work to be performed under this Agreement, including coverage for owned, hired and non-owned vehicles, in an amount of not less than one million dollars ($1,000,000) combined single limit for each occurrence.

Automobile liability coverage must be at least as broad as Insurance Services Office Automobile Liability form CA 0001 (ed. 12/90) Code 1 (“any auto”). No endorsement may be attached limiting the coverage.
iv. Professional Liability Coverage. Contractor shall maintain professional errors and omissions liability insurance appropriate for Contractor’s profession for protection against claims alleging negligent acts, errors or omissions which may arise from Contractor’s services under this Agreement, whether such services are provided by the Contractor or by its employees, subcontractors, or sub Contractors. The amount of this insurance shall not be less than one million dollars ($1,000,000) on a claims-made annual aggregate basis, or a combined single limit per occurrence basis. b. Endorsements. Each general liability and automobile liability insurance policy shall be with insurers possessing a Best’s rating of no less than A:VII and shall be endorsed with the following specific language:
i. Notwithstanding any inconsistent statement in any required insurance policies or any subsequent endorsements attached thereto, the protection offered by all policies, except for Workers’ Compensation, shall bear an endorsement whereby it is provided that, the City and its officers, employees, servants, volunteers and agents and independent contractors, including without limitation, the City Manager and City Attorney, are named as additional insureds. Additional insureds shall be entitled to the full benefit of all insurance policies in the same manner and to the same extent as any other insureds and there shall be no limitation to the benefits conferred upon them other than policy limits to coverages.
ii. This policy shall be considered primary insurance as respects the City, its elected or appointed officers, officials, employees, agents and volunteers. Any insurance maintained by the City, including any self-insured retention the City may have, shall be considered excess insurance only and shall not contribute with it. iii. This insurance shall act for each insured and additional insured as though a separate policy had been written for each, except with respect to the limits of liability of the insuring company.
iv. The insurer waives all rights of subrogation against the City, its elected or appointed officers, officials, employees or agents. v. Any failure to comply with reporting provisions of the policies shall not affect coverage provided to the City, its elected or appointed officers, officials, employees, agents or volunteers.

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vi. The insurance provided by this Policy shall not be suspended, voided, canceled, or reduced in coverage or in limits except after thirty (30) days written notice has been received by the City.
c. Deductibles and Self-Insured Retentions. Any deductibles or self-insured retentions must be declared to and approved by the City. At the City’s option, Contractor shall demonstrate financial capability for payment of such deductibles or self-insured retentions. d. Certificates of Insurance. Contractor shall provide certificates of insurance with original endorsements to City as evidence of the insurance coverage required herein.

Certificates of such insurance shall be filed with the City on or before commencement of performance of this Agreement. Current certification of insurance shall be kept on file with the City at all times during the term of this Agreement.

17. Notices. Any notice required to be given under this Agreement shall be in writing and either served personally or sent prepaid, first class mail. Any such notice shall be addressed to the other party at the address set forth below. Notice shall be deemed communicated within 48 hours from the time of mailing if mailed as provided in this section.

If to City: City of Lake Elsinore
Attn: City Manager
130 South Main Street
Lake Elsinore, CA 92530
With a copy to: City of Lake Elsinore
Attn: City Clerk
130 South Main Street
Lake Elsinore, CA 92530
If to Contractor: RP Landscape & Irrigation, Inc.

Attn: Roy Perez
P.O. Box 1200
San Bernardino, CA 92402

18. Assignment and Subcontracting. The parties recognize that a substantial inducement to City for entering into this Agreement is the professional reputation, experience and competence of Contractor and the subcontractors listed in Exhibit B. Contractor shall be fully responsible to City for all acts or omissions of any subcontractors. Assignments of any or all rights, duties or obligations of the Contractor under this Agreement will be permitted only with the express consent of the City. Contractor shall not subcontract any portion of the work to be performed under this Agreement except as provided in Exhibit B without the written authorization of the City. If City consents to such subcontract, Contractor shall be fully responsible to City for all acts or omissions of those subcontractors. Nothing in this Agreement shall create any contractual relationship between City and any subcontractor nor shall it create any obligation on the part of the City to pay or to see to the payment of any monies due to any such subcontractor other than as otherwise is required by law.

19. Waiver. Waiver of a breach or default under this Agreement shall not constitute a continuing waiver of a subsequent breach of the same or any other provision under this Agreement.

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20. Litigation Expenses and Attorneys’ Fees. If either party to this Agreement commences any legal action against the other party arising out of this Agreement, the prevailing party shall be entitled to recover its reasonable litigation expenses, including court costs, expert witness fees, discovery expenses, and attorneys’ fees.

21. Mediation. The parties agree to make a good faith attempt to resolve any disputes arising out of this Agreement through mediation prior to commencing litigation. The parties shall mutually agree upon the mediator and share the costs of mediation equally. If the parties are unable to agree upon a mediator, the dispute shall be submitted to JAMS or its successor in interest. JAMS shall provide the parties with the names of five qualified mediators. Each party shall have the option to strike two of the five mediators selected by JAMS and thereafter the mediator remaining shall hear the dispute. If the dispute remains unresolved after mediation, either party may commence litigation.

22. Prohibited Interests. Contractor maintains and warrants that it has not employed nor retained any company or person, other than a bona fide employee working solely for Contractor, to solicit or secure this Agreement. Further, Contractor warrants that it has not paid nor has it agreed to pay any company or person, other than a bona fide employee working solely for Contractor, any fee, commission, percentage, brokerage fee, gift or other consideration contingent upon or resulting from the award or making of this Agreement. For breach or violation of this warranty, City shall have the right to rescind this Agreement without liability. For the term of this Agreement, no member, officer or employee of City, during the term of his or her service with City, shall have any direct interest in this Agreement, or obtain any present or anticipated material benefit arising therefrom.

23. Equal Opportunity Employment. Contractor represents that it is an equal opportunity employer and it shall not discriminate against any subcontractor, employee or applicant for employment because of race, religion, color, national origin, handicap, ancestry, sex or age. Such non-discrimination shall include, but not be limited to, all activities related to initial employment, upgrading, demotion, transfer, recruitment or recruitment advertising, layoff or termination.

24. Prevailing Wages. Contractor is aware of the requirements of California Labor Code Section 1720, et seq., and 1770, et seq., as well as California Code of Regulations, Title 8, Section 16000, et seq., ("Prevailing Wage Laws"), which require the payment of prevailing wage rates and the performance of other requirements on "public works" and "maintenance" projects.

Contractor agrees to fully comply with all applicable federal and state labor laws (including, without limitation, if applicable, the Prevailing Wage Laws). It is agreed by the parties that, in connection with the Work or Services provided pursuant to this Agreement, Contractor shall bear all risks of payment or non-payment of prevailing wages under California law, and Contractor hereby agrees to defend, indemnify, and hold the City, and its officials, officers, employees, agents, and volunteers, free and harmless from any claim or liability arising out of any failure or alleged failure to comply with the Prevailing Wage Laws. The foregoing indemnity shall survive termination of this Agreement.

25. Severability. If any term or portion of this Agreement is held to be invalid, illegal, or otherwise unenforceable by a court of competent jurisdiction, the remaining provisions of this Agreement shall continue in full force and effect.

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26. Controlling Law Venue. This Agreement and all matters relating to it shall be governed by the laws of the State of California and any action brought relating to this Agreement shall be held exclusively in a state court in the County of Riverside.

27. Authority to Enter Agreement. Contractor has all requisite power and authority to conduct its business and to execute, deliver, and perform the Agreement. Each party warrants that the individuals who have signed this Agreement have the legal power, right, and authority to make this Agreement and to bind each respective party. The City Manager is authorized to enter into an amendment or otherwise take action on behalf of the City to make the following modifications to the Agreement: (a) a name change; (b) grant extensions of time; (c) nonmonetary changes in the scope of services; and/or (d) suspend or terminate the Agreement.

28. Counterparts. This Agreement may be executed in several counterparts, each of which shall constitute one and the same instrument and shall become binding upon the parties when at least one copy hereof shall have been signed by both parties hereto. In approving this Agreement, it shall not be necessary to produce or account for more than one such counterpart.

29. Entire Agreement; Incorporation; Conflict. This Agreement contains the entire understanding between the parties relating to the obligations described herein. All prior or contemporaneous understandings, agreements, representations and statements, oral or written, are superseded in total by this Agreement and shall be of no further force or effect. Contractor’s Proposal is incorporated only for the description of the scope of services and/or the schedule of performance and no other terms and conditions from such proposal shall apply to this Agreement unless specifically agreed to in writing. In the event of conflict, this Agreement shall take precedence over those contained in the Contractor’s Proposal.

30. Amendments. This Agreement may be modified or amended only by a written document executed by both Contractor and City and approved as to form by the City Attorney. [Signatures on next page]
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IN WITNESS WHEREOF, the parties have caused this Agreement to be executed on the date first written above.
“CITY”
CITY OF LAKE ELSINORE, a municipal
corporation
Grant Yates, City Manager
ATTEST:

City Clerk
APPROVED AS TO FORM:

City Attorney
Risk Manager
“CONTRACTOR”
RP Landscape & Irrigation, Inc., a Corporation
By: Roy Perez
Its: Owner
Attachments: Exhibit A – Contractor’s Proposal
Exhibit B – List of Subcontractors
DocuSign Envelope ID: E89FC5D7-A40A-4B91-A08A-0ED1C5189F69

EXHIBIT A

EXHIBIT A
CONTRACTOR’S PROPOSAL
[ATTACHED]
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EXHIBIT B

EXHIBIT B

LIST OF SUBCONTRACTORS
NONE
DocuSign Envelope ID: E89FC5D7-A40A-4B91-A08A-0ED1C5189F69 11/04/2020
Central City Insurance Agency, Inc.
1030 Nevada Street
Suite 106
Redlands CA 92374
Patricia Wagner,CIC,CISR, FLMI
(909) 307-6076 (909) 798-4107
[email protected]
Roy Perez DBA: R P Landscape & Irrigation
P.O. Box 1200
San Bernardino CA 92402
Scottsdale Ins Co 41297
CA Auto 38342
NorGuard Insurance Group 31470
2020-2021
A
$500.00 Deductible
All Losses Y Y CPS72448303 10/19/2020 10/19/2021
1,000,000
100,000
5,000
1,000,000
2,000,000
2,000,000
B Y Y BA040000040814 04/12/2020 04/12/2021
1,000,000
Theft Prevention
Authority Charge
C Y ROWC183605 01/10/2020 01/10/2021
1,000,000
1,000,000
1,000,000
The City, its elected or appointed officers, officials, employees,agents and volunteers are to be covered as additional insured with respect to liability arising out of work performed by or on behalf of the Contractor, including materials, parts or equipment furnished in connection with such work or operations. and are named as Additonal Insured per Blanket Additional Insured endorsement GLS150s 07 09 Primary and Non Contributory applies per endorsement CG 20 01 04/13, Waiver of Subrogation for General Liability applies per endorsement CG 24 04 05

09. As regards Automobile coverage Waiver and Blanket additional insured applies per endorsement MCA85100817-CA 30 day notice for cancellation, 10 day notice for cancellation by non-payment
City of Lake Elsinore
521 N Langstaff Street
Lake Elsinore CA 92530

SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE

THE EXPIRATION DATE THEREOF, NOTICE WILL BE DELIVERED IN ACCORDANCE WITH THE POLICY PROVISIONS.

INSURER(S) AFFORDING COVERAGE
INSURER F :

INSURER E :

INSURER D :

INSURER C :

INSURER B :

INSURER A :

NAIC #
NAME:

CONTACT
(A/C, No):

FAX
E-MAIL
ADDRESS:

PRODUCER
(A/C, No, Ext):

PHONE

INSURED
COVERAGES CERTIFICATE NUMBER: REVISION NUMBER:

IMPORTANT: If the certificate holder is an ADDITIONAL INSURED, the policy(ies) must have ADDITIONAL INSURED provisions or be endorsed.

If SUBROGATION IS WAIVED, subject to the terms and conditions of the policy, certain policies may require an endorsement. A statement on this certificate does not confer rights to the certificate holder in lieu of such endorsement(s).

THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS

CERTIFICATE DOES NOT AFFIRMATIVELY OR NEGATIVELY AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. THIS CERTIFICATE OF INSURANCE DOES NOT CONSTITUTE A CONTRACT BETWEEN THE ISSUING INSURER(S), AUTHORIZED REPRESENTATIVE OR PRODUCER, AND THE CERTIFICATE HOLDER.

OTHER:
(Per accident)
(Ea accident)
$
$
N / A
SUBR
WVD
ADDL
INSD

THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED. NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS

CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH POLICIES. LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. $
$
$
$

PROPERTY DAMAGE
BODILY INJURY (Per accident)
BODILY INJURY (Per person)

COMBINED SINGLE LIMIT

AUTOS ONLY

AUTOS ONLY AUTOS

NON-OWNED

OWNED SCHEDULED

ANY AUTO

AUTOMOBILE LIABILITY
Y / N

WORKERS COMPENSATION

AND EMPLOYERS' LIABILITY
OFFICER/MEMBER EXCLUDED?
(Mandatory in NH)
DESCRIPTION OF OPERATIONS below
If yes, describe under

ANY PROPRIETOR/PARTNER/EXECUTIVE
$
$
$
E.L. DISEASE - POLICY LIMIT
E.L. DISEASE - EA EMPLOYEE
E.L. EACH ACCIDENT
ER
OTHSTATUTEPER
(MM/DD/YYYY) LIMITS

POLICY EXP
(MM/DD/YYYY)

POLICY EFF

LTR TYPE OF INSURANCE POLICY NUMBER
INSR
DESCRIPTION OF OPERATIONS / LOCATIONS / VEHICLES (ACORD 101, Additional Remarks Schedule, may be attached if more space is required)

EXCESS LIAB
UMBRELLA LIAB EACH OCCURRENCE $
AGGREGATE $
$
OCCUR

CLAIMS-MADE
DED RETENTION $
PRODUCTS - COMP/OP AGG $
GENERAL AGGREGATE $
PERSONAL & ADV INJURY $
MED EXP (Any one person) $
EACH OCCURRENCE $

DAMAGE TO RENTED
PREMISES (Ea occurrence) $

COMMERCIAL GENERAL LIABILITY

CLAIMS-MADE OCCUR
GEN'L AGGREGATE LIMIT APPLIES PER:

POLICY
PROJECT LOC

CERTIFICATE OF LIABILITY INSURANCE DATE (MM/DD/YYYY)

CANCELLATION

AUTHORIZED REPRESENTATIVE
ACORD 25 (2016/03)
© 1988-2015 ACORD CORPORATION. All rights reserved.

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DocuSign Envelope ID: E89FC5D7-A40A-4B91-A08A-0ED1C5189F69

CITY OF LAKE ELSINORE

TO BE POSTED IN A CONSPICUOUS PLACE
Business Name:

Business Location:

Owner Name(s):

BUSINESS LICENSE NO.

Issue Date: Expiration Date:

BUSINESS LICENSE
THIS IS YOUR LICENSE • NOT TRANSFERABLE
1905 W RIALTO AVE Business Type:

SAN BERNARDINO, CA 92410-1618

RP LANDSCAPE & IRRIGATION
PO BOX 1200
SAN BERNARDINO, CA 92402-1268
This business license is issued for revenue purposes only and does not grant authorization to operate a business. This business license is issued without verification that the holder is subject to or exempted from licensing by the state, county, federal government, or any other governmental agency.

Administrative Services - Licensing
130 South Main Street, Lake Elsinore, CA 92530
PH (951) 674-3124

RP LANDSCAPE & IRRIGATION

ROY PEREZ

LANDSCAPING CONTRACTOR
025530
11/5/2020 11/30/2021
DocuSign Envelope ID: E89FC5D7-A40A-4B91-A08A-0ED1C5189F69

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REPORT TO CITY COUNCIL
To: Honorable Mayor and Members of the City Council
From: Jason Simpson, City Manager
Prepared by: Rick De Santiago, Public Works Manager
Date: May 14, 2024
Subject: Award a Public Works Agreement to Lancet Contracting, Inc. for the Installation of Lake Levee Solar Lights (CIP Project #Z40041) Recommendation
Approve and authorize the City Manager to execute a Public Works Agreement with Lancet Contracting Inc. in an amount not to exceed $94,621.00 for the Installation of Lake Levee Solar Lights (CIP Project #Z40041) in such final form as approved by the City Attorney and authorize the City Manager to execute change orders not to exceed a 10% contingency amount of $9,462.00 for uncertainties and adjustments.

Background
The project scope is to construct and install 32 solar lights provided by the City on the levee road behind the Lake Elsinore Diamond Stadium. The Levee lights will be installed on the west side of the road. City staff will work with Lancet Contracting to ensure proper placement. They will stretch from the entrance of the levee out to roughly the 2-mile mark. As indicated in the footing design, Lancet Contracting will construct solar light pole footings for a 25-foot solar light pole.

On March 7, 2024, the City posted on PlanetBids the notice of Request for Proposals for the Installation of Lake Levee Solar Lights (CIP Project #Z40041). On March 20, 2024, a site visit and job walk were conducted at the project site. All responses to the notice of Request for Proposals questions were posted on PlanetBids. Eleven (11) bids were received on or before the deadline of 2:00 p.m. on April 8, 2024. The Public Works Department reviewed all bids and determined Lancet Contracting Inc. was the lowest bidder. Public Works Staff interviewed Lancet Contracting Inc. and were satisfied with their experience and knowledge in performing the project.

PW Agreement with Lancet Contracting

Page 2 of 2 ends

Discussion
The companies listed below submitted a proposal and attended the mandatory job site visit. Staff verified the references and work product of the lowest bidder, and the contractor was briefed on the scope of work and performed a thorough site visit to assess the work requirements better.

The submitted proposals for the Installation of Lake Levee Solar Lights are listed below.

Company Amount
Lancet Contracting, Inc. $94,621.00
Techsico, Inc. $97,750.00
Metrocell Construction, Inc. $110,000.00
Building Resources Co. $119,848.00
Cotter Construction $120,000.00
Ace Electric, Inc. $124,400.00
Champion Electric, Inc. $138,000.00
Amtek Construction $144,333.00
M. Brey Electric, Inc. $145,000.00
J. Peace Builders $149,000.00
High Light Electric $217,777.00
Following the approval of this agenda item, the Installation of Lake Levee Solar Lights will begin.

Fiscal Impact
Funds are available in the Fiscal Year 23-24 Capital Improvement Plan (CIP) budget, CIP Project #Z40041.

Attachments
Attachment 1- Agreement
Exhibit A- Bidder's Proposal
1 Agreement No. __________

AGREEMENT FOR PUBLIC WORKS CONSTRUCTION
Lancet Contracting, Inc.

For the
Installation of Lake Levee
Solar Lights
CIP PROJECT NO. Z40041
This Agreement for Public Works Construction (“Agreement”) is made and entered into as of May 14, 2024 by and between the City of Lake Elsinore, a municipal corporation (“City”) and Lancet Contracting, Inc. (“Contractor”).

The City and Contractor, in consideration of the mutual promises and covenants set forth herein, agree as follows:

1. The Project and Project Documents. Contractor agrees to construct the following public improvements (“work”) identified as:

Installation of Lake Levee Solar Lights (the “Project”) The City-approved plans for the construction of the Project, which are incorporated herein by reference and prepared by N/A, are identified as:

N/A
The Project Documents include this Agreement and all of the following: (1) the Notice Inviting Bids, Instructions to Bidders, Bid Documents including Bidder’s Proposal as submitted by the Contractor, Contract Documents, General Specifications, Special Provisions, and all attachments and appendices; (2) everything referenced in such documents, such as specifications, details, standard plans or drawings and appendices, including all applicable State and Federal requirements; (3) all required bonds, insurance certificates, permits, notices, and affidavits; and (4) any and all addenda or supplemental agreements clarifying, amending or extending the work contemplated as may be required to insure completion in an acceptable manner. All of the provisions of the above-listed documents are made a part of this Agreement as though fully set forth herein.

2. Compensation.
a. For and in consideration of the payments and agreements to be made and performed by City, Contractor agrees to construct the Project, including furnishing all materials and performing all work required for the Project, and to fulfill all other obligations as set forth in the Bidder’s Proposal, such contract price being Ninety-Four Thousand Six Hundred Twenty-One and zero cents ($94,621.00).
2 b. City hereby promises and agrees to employ, and does hereby employ, Contractor to provide the materials, do the work, and fulfill the obligations according to the terms and conditions herein contained and referred to, for the prices set forth, and hereby contracts to pay the same at the time, in the manner, and upon the conditions set forth in the Project Documents.
c. Contractor agrees to receive and accept the prices set forth in the Bidder’s Proposal as full compensation for furnishing all materials, performing all work, and fulfilling all obligations hereunder. Such compensation shall cover all expenses, losses, damages, and consequences arising out of the nature of work during its progress or prior to its acceptance including those for well and faithfully completing the work and the whole thereof in the manner and time specified in the Project Documents; and also including those arising from actions of the elements, unforeseen difficulties or obstructions encountered in the prosecution of the work, suspension or discontinuance of the work, and all other unknowns or risks of any description connected with the work.

3. Completion of Work.
a. Contractor shall perform and complete all work within 50 working days from the date of commencement specified in the Notice to Proceed, and shall provide, furnish and pay for all the labor, materials, necessary tools, expendable equipment, and all taxes, utility and transportation services required for construction of the Project. b. All work shall be performed and completed in a good workmanlike manner in strict accordance with the drawings, specifications and all provisions of this Agreement as hereinabove defined and in accordance with applicable laws, codes, regulations, ordinances and any other legal requirements governing the Project.
c. Contractor shall not be excused with respect to the failure to so comply by any act or omission of the City, the City Engineer, a City inspector, or a representative of any of them, unless such act or omission actually prevents the Contractor from fully complying with the requirements of the Project Documents, and unless the Contractor protests at the time of such alleged prevention that the act or omission is preventing the Contractor from fully complying with the Project Documents. Such protest shall not be effective unless reduced to writing and filed with the City within three (3) working days of the date of occurrence of the act or omission preventing the Contractor from fully complying with the Project Documents. d. City and Contractor recognize that time is of the essence in the performance of this Agreement and further agree that if the work called for under the Agreement is not completed within the time hereinabove specified, damages will be sustained by the City and that, it is and will be impracticable or extremely difficult to ascertain and determine the actual amount of damages the City will sustain in the event of, and by reason of, such delay. It is, therefore, agreed that such damages shall be presumed to be in the amount of $500Click or tap here to enter text. per calendar day, and that the Contractor will pay to the City, or City may retain from amounts otherwise payable to Contractor, such amount for each calendar day by which the Contractor fails to complete the work, including corrective items of work, under this Agreement within the time hereinabove specified and as adjusted by any changes to the work. 3 4. Changes to Work. City and Contractor agree that the City may make changes to the work, or suspend the work, and no matter how many changes, such changes or suspensions are within the contemplation of the Contractor and City and will not be a basis for a compensable delay claim against the City nor be the basis for a liquidated damage claim against the Contractor.

Any change to the work shall be by way of a written instrument (“change order”) signed by the City and the Contractor, stating their agreement to the following:
a. The scope of the change in the work;
b. The amount of the adjustment to the contract price; and c. The extent of the adjustment to the Schedule of Performance.

The City Engineer is authorized to sign any change order provided that sufficient contingency funds are available in the City’s approved budget for the Project. All change in the work authorized by the change order shall be performed under the applicable conditions of the Project Documents. City and Contractor shall negotiate in good faith and as expeditiously as possible the appropriate adjustments for such changes.

5. Bonds. Contractor shall provide, before commencing work, a Faithful Performance Bond and a Labor and Material Bond, each for one-hundred percent (100%) of the contract price in the form that complies with the Project Documents and is satisfactory to the City Attorney.

6. Non-Assignability. Neither this Agreement nor any rights, title, interest, duties or obligations under this Agreement may be assigned, transferred, conveyed or otherwise disposed of by Contractor without the prior written consent of City.

7. Licenses. Contractor represents and warrants to City that it holds the contractor’s license or licenses set forth in the Project Documents, is registered with the Department of Industrial Relations pursuant to Labor Code Section 1725.5, and holds such other licenses, permits, qualifications, insurance and approvals of whatsoever nature which are legally required of Contractor. Contractor represents and warrants to City that Contractor shall, at its sole cost and expense, keep in effect or obtain at all times during the term of this Agreement, any licenses, permits, insurance and approvals which are legally required of Contractor to practice its profession. Contractor shall maintain a City of Lake Elsinore business license.

8. Indemnity. Contractor shall indemnify, defend, and hold harmless the City and its officials, officers, employees, agents, the County and Board Supervisors, and volunteers from and against any and all losses, liability, claims, suits, actions, damages, and causes of action arising out of any personal injury, bodily injury, loss of life, or damage to property, or any violation of any federal, state, or municipal law or ordinance, to the extent caused, in whole or in part, by the willful misconduct or negligent acts or omissions of Contractor or its employees, subcontractors, or agents, by acts for which they could be held strictly liable, or by the quality or character of their work. The foregoing obligation of Contractor shall not apply when (1) the injury, loss of life, damage to property, or violation of law arises from the sole negligence or willful misconduct of the City or its officers, employees, agents, or volunteers and (2) the actions of Contractor or its employees, subcontractor, or agents have contributed in no part to the injury, loss of life, damage to
4 property, or violation of law. It is understood that the duty of Contractor to indemnify and hold harmless includes the duty to defend as set forth in Section 2778 of the California Civil Code.

Acceptance by City of insurance certificates and endorsements required under this Agreement does not relieve Contractor from liability under this indemnification and hold harmless clause.

This indemnification and hold harmless clause shall apply to any damages or claims for damages whether or not such insurance policies shall have been determined to apply. By execution of this Agreement, Contractor acknowledges and agrees to the provisions of this Section and that it is a material element of consideration.

9. Insurance Requirements.
a. Insurance. Contractor, at Contractor’s own cost and expense, shall procure and maintain, for the duration of the Agreement, unless modified by the City’s Risk Manager, the following insurance policies.
i. Workers’ Compensation Coverage. Contractor shall maintain Workers’ Compensation Insurance and Employer’s Liability Insurance for his/her employees in accordance with the laws of the State of California. In addition, Contractor shall require each subcontractor to similarly maintain Workers’ Compensation Insurance and Employer’s Liability Insurance in accordance with the laws of the State of California for all of the subcontractor’s employees. Any notice of cancellation or non-renewal of all Workers’ Compensation policies must be received by the City at least thirty (30) days prior to such change. The insurer shall agree to waive all rights of subrogation against City, its officers, agents, employees and volunteers for losses arising from work performed by Contractor for City. In the event that Contractor is exempt from Worker’s Compensation Insurance and Employer’s Liability Insurance for his/her employees in accordance with the laws of the State of California, Contractor shall submit to the City a Certificate of Exemption from Workers Compensation Insurance in a form approved by the City Attorney.
ii. Commercial General Liability Coverage. Contractor shall maintain commercial general liability insurance in an amount not less than one million dollars ($1,000,000) per occurrence for bodily injury, personal injury and property damage. If a commercial general liability insurance form or other form with a general aggregate limit is used, either the general aggregate limit shall apply separately to the work to be performed under this Agreement or the general aggregate limit shall be at least twice the required occurrence limit. Required commercial general liability coverage shall be at least as broad as Insurance Services Office Commercial General Liability occurrence form CG 0001 (ed. 11/88) or Insurance Services Office form number GL 0002 (ed. 1/73) covering comprehensive General Liability and Insurance Services Office form number GL 0404 covering Broad Form Comprehensive General Liability. No endorsement may be attached limiting the coverage.
iii. Automobile Liability Coverage. Contractor shall maintain automobile liability insurance covering bodily injury and property damage for all activities of the Contractor arising out of or in connection with the work to be performed under this Agreement, including coverage for owned, hired and non-owned vehicles, in an amount of not less than one million dollars ($1,000,000) combined single limit for each occurrence. Automobile liability coverage must be at least as broad as Insurance Services Office Automobile Liability form CA 0001 (ed. 12/90) Code 1 (“any auto”). No endorsement may be attached limiting the coverage.
5 iv. Builder’s Risk Coverage. Prior to the commencement of any construction of the Project, Design-Builder shall obtain (or cause to be obtained) and keep in force during the term of any construction, builder’s risk insurance insuring for all risks of physical loss of or damage (excluding the perils of earthquake and flood). v. Professional Liability Coverage. Contractor shall maintain professional errors and omissions liability insurance appropriate for Contractor’s profession for protection against claims alleging negligent acts, errors or omissions which may arise from Contractor’s services under this Agreement, whether such services are provided by the Contractor or by its employees, subcontractors, or sub consultants.

The amount of this insurance shall not be less than one million dollars ($1,000,000) on a claims-made annual aggregate basis, or a combined single limit per occurrence basis.
b. Endorsements. Each general commercial liability and automobile liability insurance policy shall be with insurers possessing a Best’s rating of no less than A:VII and shall be endorsed with the following specific language:
i. The City, its elected or appointed officers, officials, employees, agents and volunteers are to be covered as additional insured with respect to liability arising out of work performed by or on behalf of the Contractor, including materials, parts or equipment furnished in connection with such work or operations. ii. This policy shall be considered primary insurance as respects the City, its elected or appointed officers, officials, employees, agents and volunteers. Any insurance maintained by the City, including any self-insured retention the City may have, shall be considered excess insurance only and shall not contribute with it. iii. This insurance shall act for each insured and additional insured as though a separate policy had been written for each, except with respect to the limits of liability of the insuring company.
iv. The insurer waives all rights of subrogation against the City, its elected or appointed officers, officials, employees or agents. v. Any failure to comply with reporting provisions of the policies shall not affect coverage provided to the City, its elected or appointed officers, officials, employees, agents or volunteers.
vi. The insurance provided by this Policy shall not be suspended, voided, canceled, or reduced in coverage or in limits except after thirty (30) days written notice has been received by the City.
c. Deductibles and Self-Insured Retentions. Any deductibles or self-insured retentions must be declared to and approved by the City. At the City’s option, Contractor shall demonstrate financial capability for payment of such deductibles or self-insured retentions. d. Certificates of Insurance. Contractor shall provide certificates of insurance with original endorsements to City as evidence of the insurance coverage required herein.

Certificates of such insurance shall be filed with the City on or before commencement of 6 performance of this Agreement. Current certification of insurance shall be kept on file with the City at all times during the term of this Agreement.

10. Notices. Any notice required to be given under this Agreement shall be in writing and either served personally or sent prepaid, first class mail. Any such notice shall be addressed to the other party at the address set forth below. Notice shall be deemed communicated within 48 hours from the time of mailing if mailed as provided in this section.

If to City: City of Lake Elsinore
Attn: City Manager
130 South Main Street
Lake Elsinore, CA 92530
With a copy to: City of Lake Elsinore
Attn: City Clerk
130 South Main Street
Lake Elsinore, CA 92530
If to Contractor: Lancet Contracting, Inc.

Attn:David Amin
16784 Arrow Blvd.

Fontana, CA 92335

11. Entire Agreement. This Agreement constitutes the complete and exclusive statement of agreement between the City and Contractor. All prior written and oral communications, including correspondence, drafts, memoranda, and representations, are superseded in total by this Agreement.

12. Amendments. This Agreement may be modified or amended only by a written document executed by both Contractor and City and approved as to form by the City Attorney.

13. Assignment and Subcontracting. Contractor shall be fully responsible to City for all acts or omissions of any subcontractors. Assignments of any or all rights, duties for obligations of the Contractor under this Agreement will be permitted only with the express consent of the City. Nothing in this Agreement shall create any contractual relationship between City and any subcontractor nor shall it create any obligation on the part of the City to pay or to see to the payment of any monies due to any such subcontractor other than as otherwise is required by law.

14. Waiver. Waiver of a breach or default under this Agreement shall not constitute a continuing waiver of a subsequent breach of the same or any other provision under this Agreement.

15. Severability. If any term or portion of this Agreement is held to be invalid, illegal, or otherwise unenforceable by a court of competent jurisdiction, the remaining provisions of this Agreement shall continue in full force and effect.

16. Controlling Law Venue. This Agreement and all matters relating to it shall be governed by the laws of the State of California and any action brought relating to this Agreement shall be held exclusively in a state court in the County of Riverside. 7 17. Litigation Expenses and Attorneys’ Fees. If either party to this Agreement commences any legal action against the other party arising out of this Agreement, the prevailing party shall be entitled to recover its reasonable litigation expenses, including court costs, expert witness fees, discovery expenses, and attorneys’ fees.

18. Mediation. The parties agree to make a good faith attempt to resolve any disputes arising out of this Agreement through mediation prior to commencing litigation. The parties shall mutually agree upon the mediator and share the costs of mediation equally. If the parties are unable to agree upon a mediator, the dispute shall be submitted to JAMS or its successor in interest. JAMS shall provide the parties with the names of five qualified mediators. Each party shall have the option to strike two of the five mediators selected by JAMS and thereafter the mediator remaining shall hear the dispute. If the dispute remains unresolved after mediation, either party may commence litigation.

19. Authority to Enter Agreement and Administration. Contractor has all requisite power and authority to conduct its business and to execute, deliver, and perform the Agreement. Each party warrants that the individuals who have signed this Agreement have the legal power, right, and authority to make this Agreement and to bind each respective party. The City Manager is authorized to enter into an amendment or otherwise take action on behalf of the City to make the following modifications to the Agreement: (a) a name change; (b) grant extensions of time; (c) non-monetary changes in the scope of services; and/or (d) suspend or terminate the Agreement. The City Engineer shall act as the Project administrator on behalf of the City.

20. Prohibited Interests. Contractor maintains and warrants that it has not employed nor retained any company or person, other than a bona fide employee working solely for Contractor, to solicit or secure this Agreement. Further, Contractor warrants that it has not paid nor has it agreed to pay any company or person, other than a bona fide employee working solely for Contractor, any fee, commission, percentage, brokerage fee, gift or other consideration contingent upon or resulting from the award or making of this Agreement. For breach or violation of this warranty, City shall have the right to rescind this Agreement without liability. For the term of this Agreement, no member, officer or employee of City, during the term of his or her service with City, shall have any direct interest in this Agreement, or obtain any present or anticipated material benefit arising therefrom.

21. Equal Opportunity Employment. Contractor represents that it is an equal opportunity employer and it shall not discriminate against any subcontractor, employee or applicant for employment because of race, religion, color, national origin, handicap, ancestry, sex or age. Such non-discrimination shall include, but not be limited to, all activities related to initial employment, upgrading, demotion, transfer, recruitment or recruitment advertising, layoff or termination.

22. Prevailing Wages.
a. Contractor and all subcontractors shall adhere to the general prevailing rate of per diem wages as determined and as published by the State Director of the Department of Industrial Relations pursuant to Labor Code Sections 1770, 1773, and 1773.2. Copies of these rates and the latest revisions thereto are on file in the office of the City Clerk of the City of Lake Elsinore and are available for review upon request. 8 b. Contractor's attention is directed to the provisions of Labor Code Sections 1774, 1775, 1776, 1777.5 and 1777.6. Contractor shall comply with the provisions of these Sections. The statutory provisions for penalties for failure to comply with the State's wage and the hours laws will be enforced.
c. Labor Code Sections 1774 and 1775 require the Contractor and all subcontractors to pay not less than the prevailing wage rates to all workmen employed in the execution of the contract and specify forfeitures and penalties for failure to do so. The minimum wages to be paid are those determined by the State Director of the Department of Industrial Relations. Labor Code Section 1776 requires the Contractor and all subcontractors to keep accurate payroll records, specifies the contents thereof, their inspection and duplication procedures and certain notices required of the Contractor pertaining to their location. The statutory penalties for failure to pay prevailing wages will be enforced. If the Project has been awarded to Contractor on or after April 1, 2015, Contractor and its subcontractors must furnish electronic certified payroll records to the Labor Commissioner. Beginning January 1, 2016, Contractor and its subcontractors must furnish electronic certified payroll records to the Labor Commissioner without regard to when the Project was awarded to Contractor. d. Labor Code Section 1777.5 requires Contractor or subcontractor employing tradesmen in any apprenticeable occupation to apply to the Joint Apprenticeship Committee nearest the site of the public works project, which administers the apprenticeship program in that trade for a certificate of approval. The certificate will also fix the ratio of apprentices to journeymen to be used in the performance of the Agreement. The Contractor is required to make contributions to funds established for the administration of apprenticeship programs if the Contractor employs registered apprentices or journeymen in any apprenticeable trade and if other contractors on the public works site are making such contributions.

Information relative to apprenticeship standards, contributions, wage schedules and other requirements may be obtained from the State Director of Industrial Relations or from the Division of Apprenticeship Standards. Labor Code Section 1777.6 provides that it shall be unlawful to refuse to accept otherwise qualified employees as registered apprentices solely on the grounds of race, religious creed, color, national origin, ancestry, sex, or age. e. Eight hours labor constitutes a legal day's work, as set forth in Labor Code Section 1810.

23. Execution. This Agreement may be executed in several counterparts, each of which shall constitute one and the same instrument and shall become binding upon the parties when at least one copy hereof shall have been signed by both parties hereto. In approving this Agreement, it shall not be necessary to produce or account for more than one such counterpart. [Signatures on next page]
9 IN WITNESS WHEREOF, the parties have caused this Agreement to be executed on the date first written above.
“CITY”
CITY OF LAKE ELSINORE, a municipal
corporation
“CONTRACTOR”
Lancet Contracting, Inc., a Corporation
City Manager
ATTEST:

By: David Amin
Its: President
City Clerk
APPROVED AS TO FORM:

By: Click or tap here to enter text.

Its: Click or tap here to enter text.

City Attorney
Assistant City Manager

EXHIBIT A
CONTRACTOR’S PROPOSAL
[ATTACHED]

EXHIBIT B

LIST OF SUBCONTRACTORS
[ATTACHED]
909.373.7427 [email protected] 16784 Arrow Blvd, Fontana, CA 92335 Dear esteemed City representatives,
Thank you for taking the time to consider our proposal. My name is David Amin, President of Lancet Contracting Inc. and I have the honor of having the authority to negotiate on behalf of said Lancet Contracting Inc. I am submitting our proposal with the intent of having it binding for no less than 120 days. We look forward to the opportunity to work with your great City.

Sincerely,
David Amin – President - Lancet Contracting Inc.

909.373.7427 [email protected] 16784 Arrow Blvd, Fontana, CA 92335 Dear esteemed City representatives,
Lancet Contracting is a C Corporation in business since 2011 and holds a General B Contractor’s license with our office located in Fontana, Ca. Here at Lancet we specialize in both new ground up construction as well as tenant improvements, we are both a commercial and residential contractor and 95% of our work portfolio consists of Public Works. We do extensive amounts of work throughout the year for the San Bernardino County Sheriff’s Department and the County’s Probation Department along with numerous other cities and counties. One area we excel is our professional and knowledgeable field staff consisting of highly skilled Journeyman and apprentices ranging in all trades from carpenters, masons, electricians, iron workers, plumbers painters and much more.

At the end of 2023 we completed a job for the San Bernardino County Probation Department installing basketball courts which required us to build foundations virtually identical to the ones required in your Lake Levee Solar Light Project.

REFERENCES:

James Steele – San Bernardino County Probation Maintenance Supervisor - [email protected]
- (909) 222-9077
Kenny Hansen – San Bernardino County Sheriff’s Department Facilities Operations Supervisor
- [email protected]
- (909) 205-0298
Mary Aguilar – City of Fontana Housing Department Project Specialist - [email protected]
- (909) 350-6786

Priscilla Luis – San Bernardino County Sheriff’s Facilities Coordinator - [email protected]
- (909) 501-2142
Sincerely,
David Amin – President - Lancet Contracting Inc.

Page 7 ends

Attachment A:

Cost Proposal Sheet – Installation of Lake Levee Solar Lights Please provide the fee quotes as follows in the blow chart:

Company Name: _________________________________________________________________________

ITEM SECTION UNIT OF

MEASURE

COST PER UNIT OF MEASURE
1 Move In Lump Sum
2 Dig, Form, Rebar, Concrete Footings Lump Sum
3 Install Solar Lights Poles and Lights. Lump Sum
4 Clean-up Lump Sum
5 Dig Alert Lump Sum
6 Permits Lump Sum
7 Concrete Lump Sum
8 Equipment Lump Sum
9 Bonds
Total
SCHEDULE A Total Bid: ___________________________________________________________ (Figures)
SCHEDULE A Total Bid: ___________________________________________________________ (Words)
/DQFHW&RQWUDFWLQJ,QF














1LQHW\)RXU7KRXVDQG6L[+XQGUHG7ZHQW\2QH'ROODUV

Page 1 of 2 ends

REPORT TO CITY COUNCIL
To: Honorable Mayor and Members of the City Council
From: Jason Simpson, City Manager
Prepared by: Rick De Santiago, Public Works Manager
Date: May 14, 2024
Subject: Rental Agreement with Rain For Rent for Summerly 70-Acre Flood Storage Site Dewatering
Recommendation
Approve and authorize the City Manager to execute a Rental Agreement with Rain For Rent for the Summerly 70-acre Flood Storage Site Dewatering in an amount not to exceed $120,000.00 in such final form as approved by the City Attorney and authorize the City Manager to execute change orders not to exceed a 10% contingency of $12,000.00 for unanticipated costs.

Background
Summerly Park and Parking Lot is experiencing flooding due to high water levels at the golf course surcharging out of park drains. The excess water has caused inconvenience and potential damage to these areas. The standing water has created a mosquito infestation within the Summerly community, which Vector Control has reported. The only way to alleviate this issue is to pump out the 70-acre flood storage site and into the wetlands. Pumping out this site will alleviate water levels at the golf course and restore proper drainage at the park.

Discussion
The Rental Agreement with Rain For Rent involves renting a dual pump system to transfer water from permanent basins to an existing 12-inch HDPE line located approximately 200 feet away from Summerly. The City will manually operate the pumps and effectively manage and distribute water resources as required.

The quote provided by Rain For Rent includes the following items:
· (2) 12-inch diesel-driven pumps
Rental Agreement with Rain For Rent

Page 2 of 2 ends

· 80 feet of 12-inch suction hose
· 400 feet of 12-inch HDPE pipe
· (2) suction screens
· (1) 12-inch x 6-inch HDPE saddle
The rental cost for this dual pump system is as follows:
· Week rate: $27,157.46
Staff received two (2) quotes from reputable companies for the pricing on pond dewatering at Summerly. The amounts of each proposal are listed below:

Rain For Rent $27,157.46 (per week)
Sunbelt Rentals $29,635.46
Fiscal Impact
Funds are available in the Fiscal Year 23-24 Annual Operating Budget.

Attachments
Attachment 1- Rental Agreement
Rain For Rent
6400 Fischer Rd
Riverside, CA,92507
951.-653-2L7L
ra i nforrent.com
I MATTSON @ rainforrent.com
CITY OF I.AKE ELSINORE
Account: 7O707O
130 S MAIN STREET
LAKE ELSINORE, CA, 92530
Chris Erickson
951-674-51.70
Cerickson @ lake-elsinore.or
Dear Chris Erickson,
Thank you for your inquiry. As requested, please find attached our proposal 1036-lND-2119254 for Summerly Ponds Dewater. We value this opportunity to provide a solution for your liquid handling need and we are committed to partnering with you to ensure your project's safe execution and completion.

To convert this proposal into a confirmed order WITHOUT ANY CHANGES, please click the "Start Signing" button to begin the electron ic signature process.
lf you would like to CHANGE anything in this proposal or discuss anything further, please call Jeremy Mattson at 951-653-2171.

Thank you, and I look forward to working with you.

Regards,
Jeremy Mattson
J MATTSON @ rainforrent.com
Mobile: 909-332-0316
Branch: 957-653-2171
5400 Fischer Rd
Riverside, CA,92507
Llquld ln$enulty"
Rain For Rent
Sales Rep: Jeremy Mattson
CITY OF I.AKE EI.SINORE
Account: LO7O7O
Proposal : 103GlND-2119254
Diamond Lane
Lake Elsinore , ca

PROJECT DESCRIPTION
Quote includes
(21 12in diesel driven pumps
80ft 12in suction hose
400ft 12in HDPE
(2) suction screens
(1) 12in x 6in HDPE saddle
Misc. Elbows
Misc. HDPE fittings
Quoted as one week rental
Cycle rate 572,734.05
week rate s6,367.16
Does not include applicable sales tax or services

PROJEST OVERVIEW
Customer has requested a dual pump system to transfer water from permanent basins to existing 12in HDPE line approx 200ft away Suction lift is 15-20ft. Discharge flow is TBD. Pumps to be operated manually by city. 2 days install.

Quote for one week rental.

RFR Responsibilities & Scope of Work
Rain for Rent (RFR) will provide delivery, installation, removal, pickup of all quoted materials/equipment Customer requires a two pump system to move water from onsite basins to existing 12in HDPE discharge line approximately 2OOft away.

One pump will be placed on either side of existing pump station Suction lift is between 15-22ft
Flow is TBD
Quote for one week rental
Sales tax is not included
Quote includes
(2) 12in diesel driven pumps
80ft 12in suction hose
400ft 1.2in HDPE
(2) suction screens
(1) 12in x 5in HDPE saddle
Misc. Elbows
Misc. HDPE fittings
Rain for Rent Responsibilities
Rain for Rent to deliver and pickup quoted equipment
Rain for Rentto install and remove quoted equipment (2 days install, l day removal) Rain for Rent to provide one 12k reach lift
Western oilfields Supply Company dba/Rain for Rent. lf you have recerved this information rn error, please immediately contact us at [email protected].

Page 2 of 6 ends

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Project Location
Project Description and Overview

OF WORK
Project Name
Date Prepared
Prevailing Wage
Summerly Ponds Dewater Jobsite
Est. Delivery Date
Est. Completion Date
Summer y Ponds Dewater
4/25/2024 4130/2024
Yes s/t 12024
Rain For Rent
Sales Rep: .leremy Mattson

CITY OF LAKE ELSINORE
Account: 707070
Proposal : 1035-lND-2119254
Rain for Rent to provide one 12in hdpe fusion machine
Rain for Rent Exclusions
Rain for Rent is not responsible for any discharge permits Rain for Rent is not responsible for any spills or leaks Rain for Rent is not responsible for operation of temporary system Rain for Rent is not responsible for fueling of temporary system Rain for Rent is not responsible for any erosion control or repair Rain for Rent is not responsible for placing dirt over top of piping Due to the multitude of economic factors, materials, labor, hauling and freight are currently in a period of above average volatility. lf, during the performance of work, the price of materials, labor, hauling or freight increases by 5% or greater through no fault of Rain for Rent, the contract price shall be equitably adjusted by an amount reasonably necessary to cover any such price increases. Equipment subject to availability at time of project.

Reference Materials
Project is quoted based on applicable/customer provided reference materials noted below:

Site visit with Chris and team
Customer Responsibilities
It is the customer's responsibility to inform RFR about prevailing wage at time of proposal. tf RFR is informed after the quote is issued that certified payroll is required, quote will be subject to additional charges. lobsite:

Customer is responsible for:

1. lnforming RFR of any jobsite or general requirement(s) to perform work on location.

2. Securing permits, fees, bonding, right of ways, vehicular/pedestrian traffic control, and security.

3. Providing safe, secure access and egress to an adequate staging area throughout the job which could include brush clearing, grading, and removal or replacement of any landscape or hardscape in the temporary right of way for the equipment.

4. Any damage to the environment including trees, vegetation, stream banks, or any other part of the site caused by the installation, removal, construction, pulling or dragging of equipment, or operation of the equipment that would require site restoration or environmental countermeasu res.

5. Any excavation, saw cutting, trench plating for the purpose of road crossings, backfilling, restoration, modification, or alteration of any permanent structure or site element including changes to pump pad preparation, suction, or discharge chambers during duration of job (including installation and removal).

System:

1. RFR will provide dedicated equipment with operator and fuel to perform all needed unloading, testing, operations, maintenance, relocating, cleaning, and reloading of provided equipment/system. Equipment must be capable of lifting 120001bs.

2. lf installation provided by RFR and Customer is operating system, this Transfer of Operation form will need to be reviewed and signed by both parties upon completlon of setup.

3. Customer will provide fueling.

4. Customer will provide preventative maintenance as recommended by manufacturer or per the Rental Agreement.

5. Customer will supply all needed water for the commissioning, startup, and system testing. Pro.iect-specific criteria for hydrotesting can be provided at an additional charge.

6. By accepting this quotation, the customer has acknowledged that the equipment proposed herein is suitable for its intended application and accepts all liabilities associated with its use. Customer is responsible for compliance with appropriate liquid/material quality standards, regulations, and testing protocols to meet all federal, state, local and job location specific requirements. Customer is responsible for all waste materials associated with this equipment/system.

Customer is responsible for:
1-. Any work in confined spaces.

2. Protecting system from damage. Equipment stays on rent until it can be returned.

3. Using equipment in a safe and proper manner in accordance with manufacturers' recommendations, regulatory standards, and industry best practices. lmproper usage may cause equipment/system failure, damage, possible incidents, injuries, and spills.

4. Customer is responsible for any discharge permits

5. Customer is responsible for any spills or leaks

6. Customer is responsible for operation of temporary system

7. Customer is responsible for fueling of temporary system

8. Customer is responsible for any erosion control or repair Western Oilfields Supply Company dba/Rain for Rent. lf you have received th s informatron In error, please mmediately contact us at info@ra nforrent.com. t'
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Rain For Rent
Sales Rep: Jeremy Mattson
CITY OF I.AKE ELSINORE
Account: 107070
Proposal : 1036-lND-2119254

9. Customer is responsible for placing dirt over top of piping Upon Pickup:

Contact the RFR office at 95L-553-2\77 to schedule pickup when equipment/system is cleaned and ready to be released.

Flushing and cleaning of equipment must be performed to RFR's standards prior to being called off rent. RFR personnel will perform a visual inspection. lt is recommended to have a customer representative on-site during inspection. Equipment found not to be in "delivered condition" will not be picked up.

Project Scheduling & Billing
This quote is valid for 30 days. For the quoted items, RFR requires a signed quote not less than 3 days prior to delivery.

Estimated schedule durations:

Mobilization: 2 days
lnstallation: 2 days
Operation: by customer
Removal: l day
Demobilization: 1 day
System Rental Duration: Quote for one week rental
Customer acknowledges that availability of equipment/system and/or media will be confirmed at time of order. Additional freight charges may apply subject to mutually agreed upon change order.

Rain for Rent's standard hours of operation are 7:30am - 4:00pm Monday - Friday. Time outside of normal business hours will be billed at 1.5x the base rate for Transportation and Service
Safety
Each employee is expected to adhere to the RFR Environmental, Health and Safety programs, which will protect the environment, the health and safety of the customer, employees, and others. RFR asks for your full cooperation to succeed in this expected outcome.

Western Oilfields Supply Company dba/Rain for Rent. lf you have received this information in error, please immediately contact us at [email protected] ,8
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Rain For Rent
Sales Rep: Jeremy Mattson

CITY OF IAKE ELSINORE
Account: t07O7O
Proposal : 1035-lND-2119254
Estimated Rental Total
Estimated Environmental Recovery Fees
Estimated Air Quality Fees
-Estimated costs do not include taxes
-Recurring rental project costs will be on a cycle/week/day basis+ tax Engine driven equipment will be delivered with at least 50% fuel. A Fuel Convenience Charge will be implemented on a per gallon basis up to the delivered fuel level. Customer acknowledges that the Fuel Convenience Charge is not a retail sale of fuel. Customer may avoid the Fuel Convenience Charge if the Customer returns the Equipment at delivered level. The fuel convenience fee will be charged per gallon. No refunds will be given for a higher level of fuel upon return.

Customer Name Customer Signature Date
Proposal Acknowledgement
By signing this proposal, customer represents that he/she has read and agreed to both the Statement of Work and Quote Agreement sections, and is also agreeing to the grand total amount listed above, plus any recommended optional items if accepted and initialed. lf customer requires a Purchase Order number to process and submit payment, it must be supplied to Rain for Rent at the time of acceptance of this proposal.

PO Number:

Rental Protection Plan
I have received and reviewed the Rental Protection Plan Agreement incorporated as the last page of this estimate. By initialing this paragraph, I understand that I am agreeing to enter into and be bound by the terms of the Rental Protection Plan Program Agreement and that I am authorized to enter into this Agreement on behalf of Customer. FOR ALL RENTALS OF EQUIPMENT, EXCEPT THOSE SPECIFICALLY EXCLUDED, YOU MAY EITHER

SHOW PROOF OF PROPERTY INSURANCE IN ACCORDANCE WITH INSURANCE REQUIREMENTS AND RENTAL AGREEMENT OR PURCHASE THE RENTAL PROTECTION. THE PURCHASE OF THE RENTAL PROTECTION PLAN FOR RENTALS OF EQUIPMENT IS NOT MANDATORY AND MAY BE

DECLINED IF YOU HAVE PROOF OF ALL RISK PROPERTY INSURANCE AS REQUIRED BY CONTRACT, s9ss.07 Accept Decline
Western Oilfields Supply Company dba/Rain for Rent. lf you have received this information n error, please mmediately contact us at [email protected].

Created Date: 4 126/2024
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PROJECT COSTS
5G,367.1.e
S2oG.93
s147.8s
Total Estimated Recurring Charges 56,72L.94

SERVICES
Estimated Delivery 52,4s3.4c
!stimated lnstallation S7,703.oo
astimated Removal s3,281.0C
Estimated Pickup s1,s43.os
Estimated Services S4,soo.oo
GRAND TOTAL I S26,202.3s
RPP

INITIAL
Rain For Rent
Sales Rep: Jeremy Mattson
CITY OF LAKE ElsINORE
Account: 1O7O7O
P roposa I : 1035-l ND-2119254
Quote Agreement
jobsite has tested positive and provide a list of actions taken to protect Rain for Rent personnel.

Rental Protection Plan Program Agreement
deductible. The maximum coverage available under the RPP Program is 5150,000 per Covered Occurrence, whether or not there is more than one piece of equipment involved in the the time of loss.

Western Oilfields Supply Company dba/Rain for Rent. if you have received this information in error, please immedialely contact us at [email protected]. )8
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Page 1 of 2 ends

REPORT TO CITY COUNCIL
To: Honorable Mayor and Members of the City Council
From: Jason Simpson, City Manager
Prepared by: Rick De Santiago, Public Works Manager
Date: May 14, 2024
Subject: Purchase Order for the Purchase of Buoys
Recommendation
Approve and authorize the City Manager to execute a purchase order with Walsh Marine Buoys for the purchase of 199 Buoys in an amount not to exceed $93,591.33 (including tax) in such final form as approved by the City Attorney and authorize the City Manager to execute change orders not to exceed a 10% contingency of $9,359.00 for unanticipated costs.

Background
Lake Elsinore has experienced a substantial increase in water levels following recent rainstorms.

The record-breaking inflow of rainwater has caused the lake to expand beyond its boundaries. As a result, the current buoy coverage is inadequate to mark the extended area, posing safety concerns for boaters and watercraft operators.

Discussion
The purchase of 199 buoys for Lake Elsinore is necessary to ensure coverage around the lake, as well as missing buoys, and to meet the needs around the nanobubble equipment. By accurately positioning buoys and replacing missing ones, boaters will have improved navigational aids to prevent boaters from entering hazardous and restricted areas. Including buoys around the nanobubble equipment will provide clear boundaries, enhance safety in that area, and ensure a safer experience for boaters on the lake.

Staff received two (2) quotes from reputable companies for the pricing of buoys. Staff encountered a challenge in obtaining a third quote for this product. The amounts of each proposal are listed below:

Purchase of Buoys

Page 2 of 2 ends

Name of Company Amount
Walsh Marine Buoys $93,591.33
Rolyan Buoys $105,783.70
Fiscal Impact
Funds are available in the Fiscal Year 23-24 Annual Operating Budget.

Attachments
Attachment 1- Quote
,of,f Quote
Walsh Marine Quote Number: 0020569
Buoys orderoate: 4t26t2024
Walsh Marine Products, lnc. customer Number: 50-ctry076 333 BeichlAvenue
Beaver Dam, W 53916 USA
Phone: 800-558-551 5
Fax: 920-319-8003
Page: 1
Sold To:

CITY OF LAKE ELSINORE

52.I N LANGSTAFF STREET
Lake Elsinore, CA 92530
Salespercon:

House Account
Ship To:

CITY OF LAKE ELSINORE
521 N LANGSTAFF STREET
Lake Elsinore, CA 92530
Quote Expiration Date:
5t17t2024
Customer P.O. Ship VIA
LTL
F.O.B. Terms
BEAVER DAM, Wl ACH 50% With Order, 50o/o At Shp
Item Code Unit Ordered Shipped Back Order Price Amount

50.w345R15
Solar LED Light -Red 'l-2 Nau

50.w345G15
Solar LED Light - Green 1-2 N

50.LIGHTMOUNT
Light Mounts

50.20703010
1300 Orange 'll2"" PVC Pipe
EACH 6.000
EACH 6.000
EACH 12.OOO
EACH 25.000

0.000
Whse: 000
Whse: 000
Whse: 000

0.000

0.000
Whse: 000

0.000
Whse: 000

0.000

0.000

0.000

0.000

0.000

0.000

0.000

0.000
373.00
373.00

30.00 129.00
249.00
589.00
s64.00
2,238.0O
2,238.00
360.00
3,225.00
2,490.00
8,835.00
5,640.00
Continued

0.000

50.10404050105 EACH
961 WH Buoy C-Line Black

BLACK AND WHITE STRIPES

10.000
s0.407040 EACH 15.000
1428 Bottom Eye - Orange Whse: 000
HIGH SPEED (circle) ZONE
5O.4O854ONUNT EACH
1428 RED NUN BE w/ Tape

RED NUN WITH TAPE

10.000
Whse: 000

0.000
,of Quote
Walsh Marine Quote Number: 0020569
Buoys order Date: 4t26t2024
Walsh Marine Products, lnc. customerilumber: 5o_ctryo76 333 BeichlAvenue
Beaver Dam, W 53916 USA
Phone: 800-558-551 5
Fax: 920-31 9-8003
Page: 2
Sold To:

CITY OF LAKE ELSINORE
521 N LANGSTAFF STREET
Lake Elsinore, CA 92530
Salesperson:

House Account
Ship To:

CITY OF LAKE ELSINORE
521 N LANGSTAFF STREET
Lake Elsinore, CA 92530
Quote Expiration Date:
5t17t2024
Customer P.O. Ship VIA
LIL
F.O.B. Terms
BEAVER DAM, Wl ACH 50% With Order, 50"/o At Shp
Item Code Unit Ordered Shipped Back Order Price Amount

50.40404020310 EACH
1428 Botm Eye WH Closed Area
CLOSED (closed diamond) AREA

50.40405820350 EACH
'1428 DBLSIDE w/BE WH Swim Area
SWIM (closed area) AREA

50.40405820325 EACH
1428 DBLSIDE w/BE WH Keep Out
KEEP (closed diamond) OUT

50.40404030350 EACH
1428 Bot Eye WH Hazard Shallo
SHALLOW (open diamond) WATER

50.40404010355 EACH
1428 Botm Eye WH Slow No Wake
SLOW NO (circle) WAKE
5O.4O5O4ONUN EACH
1428 Green NUN Chan Mark BE

10.000

10.000
Whse: 000

15.000

0.000
Whse: 000

0.000
Whse: 000

0.000
Whse: 000

0.000

0.000

0.000 s89.00
619.00

0.000 619.00
589.00
s89.00

0.000 564.00
Net Order:

Less Discount:

Freight:

Sales Tax:

Order Total:
5,890.00
6,1 90.00
9,28s.00
35,340.00
2,820.00
93,386.00
19,175.00
11,850.00

0.00 0.000 0.000

15.000

60.000
Whse: 000

5.000
tlYhse: 000

0.000 8,835.00

0.000
NUN /with Tape
Freight'Estimate quoted, actual at time of invoice
86,061 00

Page 1 of 1 ends

REPORT TO SUCCESSOR AGENCY
To: Honorable Chair and Members of the Successor Agency From: Jason Simpson, Executive Director
Prepared by: Candice Alvarez, MMC, Secretary
Date: May 14, 2024
Subject: Minutes of the Regular Successor Agency Meeting of April 23, 2024 Recommendation
Approve the Minutes.

Attachments
Attachment 1- Draft Minutes
City of Lake Elsinore
City Council Meeting
Minutes – Draft
Steve Manos, Mayor
Brian Tisdale, Mayor Pro Tem
Timothy J. Sheridan, Council Member
Natasha Johnson, Council Member
Robert E. Magee, Council Member
Jason Simpson, City Manager
Meeting Date:

April 23, 2024
Closed Session: 6:00 PM
Public Session: 7:00 PM
Cultural Center
183 N. Main Street
Lake Elsinore, CA 92530

CALL TO ORDER
The Regular Meeting of the City Council was called to order at 6:00 p.m.

ROLL CALL

Present: 5 - Council Members Magee, Johnson, and Sheridan; Mayor Pro Tem Tisdale; and Mayor Manos

Absent: 0 - None

PUBLIC COMMENTS FOR CLOSED SESSION ITEMS
There were no speakers.

CLOSED SESSION
A. CONFERENCE WITH LEGAL COUNSEL--ANTICIPATED LITIGATION Significant exposure to litigation pursuant to paragraph (2) of subdivision (d) of Gov’t Code Section 54956.9: 1 potential case

RECONVENE/CALL TO ORDER
The Regular Meeting of the City Council reconvened and the Regular Meeting of the Successor Agency was called to order at 7:00 p.m.

PLEDGE OF ALLEGIANCE
Mayor Manos led the Pledge of Allegiance.

MOMENT OF SILENCE
City Council Minutes - Draft April 23, 2024
City of Lake Elsinore Page 2

ROLL CALL

Present: 5 - Council/Agency Members Magee, Johnson, and Sheridan; Mayor Pro Tem/Vice Chair Tisdale; and Mayor/Chair Manos

Absent: 0 - None

CLOSED SESSION REPORT
City Attorney Leibold reported that one item was discussed; however, no reportable action was taken.

PRESENTATIONS/CEREMONIALS
1) CalFire 2024 First Quarter Statistical Update
Chief Olson presented the update.

PUBLIC COMMENTS - NON-AGENDIZED ITEMS - 1 MINUTE
There were no speakers.

CITY COUNCIL CONSENT CALENDAR
A motion was made by Council Member Magee, seconded by Mayor Pro Tem Tisdale to approve the City Council Consent Calendar, including the revision to Exhibit A to Attachments 1 and 2 to Agenda Item No. 4 and with Agenda Item No. 11 being removed for discussion. The motion carried by the following vote:

Aye: 5 Council Members Magee, Johnson, and Sheridan; Mayor Pro Tem Tisdale; and Mayor Manos
Nay: 0 None
2) Minutes of the Regular City Council Meeting of April 9, 2024 Approve the Minutes.

This item was approved on the City Council Consent Calendar. 3) CC Investment Report for March 2024
Receive and file the Investment Report for March 2024.

This item was approved on the City Council Consent Calendar.

City Council Minutes - Draft April 23, 2024
City of Lake Elsinore Page 3
4) November 5, 2024 General Municipal Election

1. Adopt A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAKE

ELSINORE, CALIFORNIA, CALLING FOR THE HOLDING OF A GENERAL MUNICIPAL ELECTION TO BE HELD ON TUESDAY, NOVEMBER 5, 2024 FOR

THE ELECTION OF CERTAIN OFFICERS AS REQUIRED BY THE PROVISIONS

OF THE LAWS OF THE STATE OF CALIFORNIA RELATING TO GENERAL LAW

CITIES AND FOR THE SUBMISSION TO THE VOTERS A QUESTION

RELATING TO WHETHER THE CITY TREASURER POSITION SHOULD BE APPOINTIVE;

2. Adopt A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAKE

ELSINORE, CALIFORNIA, REQUESTING THE BOARD OF SUPERVISORS OF

THE COUNTY OF RIVERSIDE TO CONSOLIDATE A GENERAL MUNICIPAL ELECTION TO BE HELD ON NOVEMBER 5, 2024, WITH THE STATEWIDE GENERAL ELECTION TO BE HELD ON THE DATE PURSUANT TO §10403 OF THE CALIFORNIA ELECTIONS CODE; and

3. Adopt A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAKE

ELSINORE, CALIFORNIA, ADOPTING REGULATIONS FOR CANDIDATES FOR

ELECTIVE OFFICE PERTAINING TO CANDIDATE STATEMENTS SUBMITTED

TO THE VOTERS AT AN ELECTION TO BE HELD ON TUESDAY, NOVEMBER 5, 2024.

This item was approved on the City Council Consent Calendar. 5) Rejection of Claim by Nitin Jindal
Direct the City Clerk to notify claimant Nitin Jindal that his claim submitted to the City Clerk's Department on February 15, 2024, is rejected.

This item was approved on the City Council Consent Calendar. 6) Professional Services Agreement With EGP Consulting, Inc. for On-call Environmental Services
Approve and authorize the City Manager to execute an Agreement for Professional Services with EGP Consulting Inc. to provide on-call environmental support services in the amount of $160,000, in such final form as approved by the City Attorney.

This item was approved on the City Council Consent Calendar. 7) Annual Progress Report on the Lake Elsinore General Plan and Housing Element for Calendar Year 2023
Receive and File the City’s Annual General Plan and Housing Element Progress Report for Calendar Year 2023 and acknowledge submittal of the Housing Element portion of the Annual Report and direct staff to transmit the remainder of the General Plan 2023 Annual Progress Report to Department of Housing and Community Development (HCD) and the Governor's Office of Planning and Research (OPR).

This item was approved on the City Council Consent Calendar.

City Council Minutes - Draft April 23, 2024
City of Lake Elsinore Page 4
8) Agreement with Wash Laundry Services for Laundry Machine Operator Services at Launch Pointe
Approve and authorize the City Manager to execute a Lease Agreement with Wash Laundry Systems to lease the laundry room facility at Launch Pointe providing units and maintenance of units for guests of Launch Pointe in such final form as approved by the City Attorney.

This item was approved on the City Council Consent Calendar. 9) Agreement With Zonda Advisory for an Analysis' of Office and Retail Demand and Opportunities in the City of Lake Elsinore
Approve and authorize the City Manager to execute an agreement with Zonda Advisory (DBA Meyers Research) in an amount not to exceed $36,000 for quantitative real estate research services and analysis for retail and office demand and opportunities, in such final form as approved by the City Attorney.

This item was approved on the City Council Consent Calendar. 10) Amendment No. 2 to Professional Services Agreement with FCG for Resident Engineering Services at I-15 Main Street Interchange for Construction Management and Project Closeout Support Services
Approve and authorize the City Manager to execute Amendment No. 2 to Professional Services Agreement with FCG Consultants for $258,091.95 plus an additional 10% contingency to provide Construction Management & Inspection Services for the I-15 / Main Street Interchange Improvements Project in final form as approved by the City Attorney.

This item was approved on the City Council Consent Calendar. 11) Tract 38271 Laguna Pointe Haul Route
Approve and authorize the Mayor and City Manager to execute a Haul Route Agreement requested for Tract 38271 Laguna Pointe.

This item was removed from the City Council Consent Calendar for discussion. 12) Notice of Completion on Roof Replacement at City Hall (CIP Project #Z20005) Accept the improvements and authorize the City Clerk to file the Notice of Completion with the County Recorder for the City Hall Roof Replacement Project (Project #Z20005) completed by CalCom Roofing, Inc.

This item was approved on the City Council Consent Calendar.

City Council Minutes - Draft April 23, 2024
City of Lake Elsinore Page 5
13) Notice of Completion on Roof Replacement at Swick & Matich Park (CIP Project #Z40023)
Accept the improvements and authorize the City Clerk to file the Notice of Completion with the County Recorder for the Swick & Matich Park Roof Replacement Project (Project #Z40023) completed by Don Luginbill Roofing, Inc. (JJ Roofing).

This item was approved on the City Council Consent Calendar. 14) Purchase of One (1) Heavy Duty 4-post Vehicle Lift
Approve and authorize the City Manager to execute a purchase order with Southwest Lift & Equipment, Inc. for one (1) Heavy Duty 4-Post Vehicle Lift in an amount not to exceed $36,173.55 (including tax) in such final form approved by the City Attorney.

This item was approved on the City Council Consent Calendar. 15) Purchase of One (1) Mobile Concrete Mixing Trailer

1. Approve and authorize the City Manager to execute a purchase order with CartAway Concrete Systems, Inc., for one (1) Mobile Concrete Mixing Trailer in an amount not to exceed $50,296.88 (including tax) in such final form as approved by the City Attorney, and

2. Find that the proposed purchase is exempt from the standard bidding procedures pursuant to LEMC Section 3.08.070.B. because the commodity can be obtained from only one vendor.

This item was approved on the City Council Consent Calendar.

ITEM REMOVED FROM THE CITY COUNCIL CONSENT CALENDAR FOR DISCUSSION 11) Tract 38271 Laguna Pointe Haul Route
Approve and authorize the Mayor and City Manager to execute a Haul Route Agreement requested for Tract 38271 Laguna Pointe.

A motion was made by Mayor Pro Tem Tisdale, seconded by Mayor Manos to approve The motion Failed by the following vote:

Aye: 2 Mayor Pro Tem Tisdale, Mayor Manos
Nay: 3 Council Member Sheridan, Council Member Magee, Council Member Johnson
A motion was made by Council Member Magee, seconded by Council Member Sheridan to approve the Haul Route Agreement with an alternate route of Highway 74 instead of Railroad Canyon Road. The motion carried by the following vote:

Aye: 5 Council Members Magee, Johnson, and Sheridan; Mayor Pro Tem Tisdale; and Mayor Manos
Nay: 0 None
City Council Minutes - Draft April 23, 2024
City of Lake Elsinore Page 6

SUCCESSOR AGENCY CONSENT CALENDAR
A motion was made by Agency Member Johnson, seconded by Agency Member Magee to approve the Successor Agency Consent Calendar. The motion carried by the following vote:

Aye: 5 Agency Members Magee, Johnson, and Sheridan; Vice Chair Tisdale; and Chair Manos
Nay: 0 None
16) Minutes of the Regular Successor Agency Meeting of April 9, 2024 Approve the Minutes.

This item was approved on the Successor Agency Consent Calendar. 17) SA Investment Report for March 2024
Receive and file the Investment Report for March 2024.

This item was approved on the Successor Agency Consent Calendar.

PUBLIC HEARING
18) Planning Application No. 2023-29 (Tentative Parcel Map No. 38753) – a Request to Subdivide a 1.26-acre Parcel into Two (2) Parcels that are 0.79 Acres and 0.47 Acres in Size Located on the Northerly Side of Lakeshore Drive and Westerly of Riverside Drive

1. Find that the proposed project is exempt from the California Environmental Quality Act (CEQA) pursuant to CEQA Guidelines Section 15315 (Minor Land Divisions);

2. Adopt A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE, CALIFORNIA, FINDING THAT PLANNING APPLICATION NO. 2023- 29 (TENTATIVE PARCEL MAP NO. 38753) IS CONSISTENT WITH THE

WESTERN RIVERSIDE COUNTY MULTIPLE SPECIES HABITAT
CONSERVATION PLAN (MSHCP); and

3. Adopt A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE, CALIFORNIA, APPROVING TENTATIVE PARCEL MAP NO. 38753 TO SUBDIVIDE A 1.26-ACRE PARCEL INTO TWO (2) PARCELS THAT ARE

0.79 ACRES AND 0.47 ACRES, RESPECTIVELY LOCATED AT APN: 378-290- 015.

The Public Hearing was opened at 7:12 p.m.

Community Development Director Abraham presented the staff report.

There were no speakers.

The Public Hearing was closed at 7:15 p.m.

City Council Minutes - Draft April 23, 2024
City of Lake Elsinore Page 7
A motion was made by Council Member Johnson, seconded by Council Member Magee to approve The motion Carried by the following vote:

Aye: 5 Council Members Magee, Johnson, and Sheridan; Mayor Pro Tem Tisdale; and Mayor Manos
Nay: 0 None

BUSINESS ITEMS
19) Resolution Denying Request for Extension of Time for Tentative Tract Map No. 37922, Conditional Use Permit No. 2019-19, and Commercial Design Review No. 2019-27 (Lake and Mountain Commercial Center) and Making Findings in Support Thereof
Adopt A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE,

CALIFORNIA, DENYING REQUEST FOR EXTENSION OF TIME FOR TENTATIVE TRACT MAP NO. 37922, CONDITIONAL USE PERMIT NO. 2019-19, AND COMMERCIAL DESIGN REVIEW NO. 2019-27 (LAKE AND MOUNTAIN

COMMERCIAL CENTER) AND MAKING FINDINGS IN SUPPORT THEREOF City Attorney Leibold presented the staff report.

Stephen Jamieson was called to speak.

A motion was made by Mayor Pro Tem Tisdale, seconded by Mayor Manos to rescind the motion on March 12, 2024 denying the extension request and reschedule a public hearing for May 28, 2024 to reconsider the extension request. The motion carried by the following vote:

Aye: 4 Council Members Johnson and Sheridan; Mayor Pro Tem Tisdale; and Mayor Manos
Nay: 1 Council Member Magee
20) Unlawful Possession of a Catalytic Converter

1. Introduce by title only and waive further reading of AN ORDINANCE OF THE CITY

COUNCIL OF THE CITY OF LAKE ELSINORE, CALIFORNIA, ADDING CHAPTER 9.60 TO TITLE 9 OF THE LAKE ELSINORE MUNICIPAL CODE (LEMC) REGARDING UNLAWFUL POSSESSION OF A CATALYTIC
CONVERTER; and

2. Authorize the City Council to sign letters of support for proposed legislation that deters catalytic converter theft, including AB1519 (Bains) and AB641 (Fong).

Riverside County Sheriff’s Office Lieutenant Clark presented the staff report.

Daryl Terrell was called to speak.

City Council Minutes - Draft April 23, 2024
City of Lake Elsinore Page 8
A motion was made by Council Member Johnson, seconded by Council Member Sheridan to introduce the Ordinance in Recommendation No. 1. The motion carried by the following vote:

Aye: 5 Council Members Magee, Johnson, and Sheridan; Mayor Pro Tem Tisdale; and Mayor Manos
Nay: 0 None

PUBLIC COMMENTS - NON-AGENDIZED ITEMS - THREE MINUTES
There were no speakers.

CITY ATTORNEY COMMENTS
City Attorney Leibold had no comments.

CITY MANAGER'S COMMENTS
City Manager Simpson had no comments.

CITY COUNCIL COMMENTS/REPORTS ON MEETINGS ATTENDED
Council Member Magee invited the community to attend the Twenty24 Pet Walk on Saturday, May 11, 2024 from 9:00 – 11:00 a.m. at the Diamond Stadium Levee; and encouraged participants to register for the 11th Annual Lake Elsinore Dream Extreme Fishing Derby on Saturday, May 18, 2024 at Launch Pointe.

Council Member Johnson shared Betsy’s homeless success story; invited community members to participate in the COPS for Kids Celebrity Golf Tournament on May 3, 2024 at Dos Lagos Golf Course; and announced the Lake Elsinore Valley Chamber of Commerce 2024 Salute to the Elected on Friday, June 14, 2024 from 6:00 – 9:00 p.m. at Pins and Pockets.

Council Member Sheridan announced the Riverside Transit Agency’s Free Ride Fridays through June 28, 2024; encouraged residents to attend the Riverside Transit Agency’s walk-in interviews which will be held on Saturday, April 27, 2024 from 9:00 a.m. – 1:00 p.m. at the Lake Community Center; and expressed condolences to the family of Ira Robinson, former Councilman for Alexandria, Virginia, who passed away on April 19, 2024.

Mayor Pro Tem Tisdale provided updates from the Homeless Task Force; and reported on his attendance at the Western Riverside Council of Governments Executive Committee meeting on April 1, 2024 and the Northwest Mosquito and Vector Control District meeting on April 18, 2024.

Mayor Manos reported on his attendance at the Riverside County Airport Land Use Commission meeting on April 11, 2024 and the Southern California Association of Governments Scholarship Committee meeting on April 15, 2024; noted that the Riverside County Board of Supervisors City Selection Committee meeting that was scheduled for April 10, 2024 will be rescheduled; provided a recap of the Lake Elsinore Valley Chamber of Commerce Economic Workforce Development Committee meeting which was held on April 18, 2024; shared photos from the Tapsi House Grand Opening and ribbon cutting which was held on April 18, 2024; invited community members to attend the Southern California Water Coalition Quarterly Luncheon which will be held on Friday, April 19, 2024 from 12:00 – 2:00 p.m.; encouraged residents to participate in the Color Run on April 28, 2024 from 7:00 a.m. – 12:00 p.m. at the Diamond Stadium Levee; announced the Noche con Estrellas event on Sunday, May 5, 2024 at Diamond Stadium; and announced the next Facebook Live with Mayor Steve Manos on May 15, 2024 at 5:00 p.m.

City Council Minutes - Draft April 23, 2024
City of Lake Elsinore Page 9

ADJOURNMENT
The Lake Elsinore City Council adjourned at 7:59 p.m. to the next Regular meeting of Tuesday, May 14, 2024 in the Cultural Center located at 183 N. Main Street. Closed Session will commence at 5:00 p.m. or such later time as noticed on the Agenda, and the regular Open Session business meeting will commence at 7:00 p.m.

Page 1 of 1 ends

REPORT TO SUCCESSOR AGENCY OF THE

REDEVELOPMENT AGENCY OF THE CITY OF LAKE ELSINORE
To: Honorable Chair and Members of the Successor Agency From: Jason Simpson, Executive Director
Prepared by: Shannon Buckley, Assistant Executive Director Date: May 14, 2024
Subject: SA Warrant Report Dated March 16, 2024 to April 14, 2024 Recommendation
Receive and file.

Discussion
The Warrant Report lists all general checks issued for the Successors Agency of the Redevelopment Agency of the City of Lake Elsinore for the above mentioned period.

Attachments
Attachment 1 – SA Warrant Summary
Attachment 2 – SA Warrant Listing
MAR 16, 2024 TO APR 12, 2024 CITY OF LAKE ELSINORE SA WARRANT SUMMARY FUND NO. FUND DESCRIPTION TOTAL
510 SARDA AREA I, II, & III 3,001.90 $
540 SARDA DIAMOND STADIUM 407,477.12
GRAND TOTAL 410,479.02 $
Attachment 1 1 OF 1
MAR 16, 2024 TO APR 12, 2024 CITY OF LAKE ELSINORE SA WARRANT LIST WARRANT NO. VENDOR NAME AMOUNT
APA24002215 CALIFORNIA, STATE BOARD OF EQUALIZATION 5,034.66 $ APA24002217 CED LAGUNA 730.42
APA24002222 COTTER CONSTRUCTION, INC. 33,725.00
APA24002239 LAKE ELSINORE STORM, LP 96,784.25
APA24002277 CED LAGUNA 115.14
APA24002299 SOUTHERN CALIFORNIA EDISON CO. 42.55
APA24002383 CED LAGUNA 249.79
APA24002387 COTTER CONSTRUCTION, INC. 47,200.00
APA24002397 GOLDEN STATE CONCESSIONS & CATERING 9,904.07 DFT240505 BANK OF AMERICA (0061) 5,394.00
6597 ENDRESEN DEVELOPMENT, INC. 13,746.33
6599 ENDRESEN DEVELOPMENT, INC. 10,141.21
6605 ENDRESEN DEVELOPMENT, INC. 5,400.00
6607 ENDRESEN DEVELOPMENT, INC. 14,658.01
6611 ENDRESEN DEVELOPMENT, INC. 3,900.00
6612 ENDRESEN DEVELOPMENT, INC. 21,114.00
6615 ENDRESEN DEVELOPMENT, INC. 16,985.21
6616 ENDRESEN DEVELOPMENT, INC. 15,660.00
6632 AK SECURITY ALARM LLC 36,545.17
6680 PROSTAFF, LLC 13,912.50
6707 ENDRESEN DEVELOPMENT, INC. 8,153.87
6709 ENDRESEN DEVELOPMENT, INC. 6,859.66
6710 ENDRESEN DEVELOPMENT, INC. 4,628.96
6713 LEIBOLD, MCCLENDON & MANN, PC 3,001.90
6731 ENDRESEN DEVELOPMENT, INC. 14,571.24
6732 ENDRESEN DEVELOPMENT, INC. 6,964.00
6734 ENDRESEN DEVELOPMENT, INC. 3,200.00
6735 ENDRESEN DEVELOPMENT, INC. 11,857.08
GRAND TOTAL 410,479.02 $
Attachment 2 1 OF 1

Page 1 of 4 ends

REPORT TO CITY COUNCIL
To: Honorable Mayor and Members of the City Council
From: Jason Simpson, City Manager
Prepared by: Damaris Abraham, Community Development Director Date: May 14, 2024
Subject: Two Development Agreements Pertaining to the approximately 368-acre Subdivision within Tentative Tract Map No. 31370 located within the Tuscany Hills Specific Plan
Applicant: TT Group, Canadian Pacific Land, LLC and Strack Farms Land, LLC Recommendation

1. Find that pursuant to the California Environmental Quality Act (CEQA) Guidelines Section 15162, the development agreements would not have a significant effect on the environment and no new environmental documentation is necessary because all potentially significant effects have been adequately analyzed in a previously adopted Subsequent Environmental Impact Report (SCH# 2004071082); and

2. Introduce by title only and waive further reading of AN ORDINANCE OF THE CITY COUNCIL

OF THE CITY OF LAKE ELSINORE, CALIFORNIA, APPROVING DEVELOPMENT AGREEMENT NOS. 2024-01 (T.T. GROUP INC.) AND 2024-02 (CANADIAN PACIFIC LAND, LLC AND STRACK FARMS LAND, LLC) FOR THE APPROXIMATELY 368-ACRE SUBDIVISION PREVIOUSLY APPROVED UNDER TENTATIVE TRACT MAP NO. 31370 LOCATED WITHIN THE TUSCANY HILLS SPECIFIC PLAN.

Planning Commission Action
On April 16, 2024, the Planning Commission conducted a duly noticed Public Hearing and recommended approval of the Development Agreements to the City Council with a 5-0 vote. No members of the public attended the hearing.

Background
On March 22, 2005, the City Council approved Subsequent Environmental Impact Report (SEIR) (SCH No. 2004071082), Amendment No. 1 to the Tuscany Hills Specific Plan No. 89-3, General Plan Amendment No. 2004-05, Zone Change No. 2004-06, and TTM No. 31370, subdividing 368 DA 2024-01 & 2024-02 (North Tuscany Hills)

Page 2 of 4 ends

acres into 807 single family residential lots, along with community and neighborhood parks, basins, lift station, and open space.

The project area covers property on the south side of Greenwald Avenue, on both sides of the extension of Summerhill Drive north of the existing Tuscany Hills community, to the west of Canyon Lake and to the east of Bella Vista Drive (Assessor’s Parcel Nos.: 349-280-025, -028, - 029, -038, -040, -042, -044, -048, -050 and -051; 349-290-017, -018, -026 and -027; 349-390-001 thru -004, -015 and -016).

On June 13, 2017, the City Council approved an extension of TTM No. 31370 to June 1, 2022.

By virtue of the enactment of Assembly Bill 116, TTM No. 31370 was legislatively extended for two more years to June 1, 2024.

Discussion
Development of TTM No. 31370 is impaired by the lack of adequate infrastructure, particularly roadway improvements providing access to the project site, including the extension of Summerhill Drive from the southern connection at the terminus of the existing Summerhill Drive extending northerly to Greenwald Avenue. The applicant is requesting the Development Agreements to continue discussions regarding the financing and construction of necessary infrastructure improvements and to vest the owner’s land use entitlements during these ongoing discussions.

The proposed Development Agreements will extend the term of TTM No. 31370 and the existing land use regulations for the five-year term of the Development Agreements. In addition to the existing Conditions of Approval for TTM No. 31370, the Development Agreements will require the irrevocable offer of dedication of fee interest in the right of way for the Summerhill Drive Extension Project and the payment of a $5,500 per unit Development Agreement Fee and payment of an Affordable Housing Fee of $2.00 per habitable square foot for each residential unit in TTM No. 31370.

The proposed Development Agreements were prepared by the City Attorney and are consistent with and meet all legal requirements of State Government Code Sections 65864 through 65869.5 and the Lake Elsinore Municipal Code Chapter 19.12 regulating development agreements.

Environmental Determination
Under CEQA Guidelines Section 15162, the Development Agreements would not have a significant effect on the environment and no new environmental documentation is necessary because all potentially significant effects have been adequately analyzed in an earlier environmental impact report. Subsequent Environmental Impact Report (SEIR) (SCH No. 2004071082) was adopted by the City Council on March 22, 2005. These Development Agreements will not have any significant direct, indirect, or cumulative environmental impacts apart from or beyond those already analyzed, addressed and mitigated as stated in the environmental documentation prepared and adopted/approved for TTM 31370. All potentially significant impacts have been avoided or mitigated pursuant to the earlier environmental impact report and none of the conditions in Public Resources Code Section 21166 or CEQA Guidelines DA 2024-01 & 2024-02 (North Tuscany Hills)

Page 3 of 4 ends

Sections 15162, 15163 and 15164 calling for preparation of a subsequent or supplemental environmental impact report have occurred because of the following: (i) the Project does not propose substantial changes that would require major revisions to the previously certified EIR due to new significant environmental effects or a substantial increase in the severity of previously identified significant environmental effects; (ii) no substantial changes in circumstances have occurred that require major revisions to the previously certified EIR due to new significant environmental effects or a substantial increase in the severity of previously identified significant effects; and (iii) no new information of substantial importance as described in Section 15162 (a)(3) has been identified that shows any of the following: (a) one or more significant effects not discussed in the EIR, (b) significant effects previously examined that are substantially more severe than shown in the EIR, (c) mitigation measures or alternatives previously found not to be feasible are in fact be feasible and substantially reduce one or more significant effects of the project, but the Project proponents decline to adopt the mitigation measure or alternative, or (d) mitigation measures or alternatives which are considerably different from those analyzed in the EIR substantially reduce one or more significant effects on the environment, but the Project proponents decline to adopt the mitigation measure or alternative. Therefore, no further environmental documentation is necessary.

Public Notice
Notice of the hearing for this application has been published in the Press-Enterprise newspaper and mailed to property owners within 300 feet of the subject property. As of the writing of this report, one (1) written comment concerning this application has been received. The written comment along with staff response is included as Attachment 9 to this staff report.

Fiscal Impact
The time and costs related to processing this application have been covered by application fees paid for by the applicant. No General Fund budgets have been allocated or used in the processing of this application. Pursuant to the proposed Development Agreement, TTM No. 31370 will generate Development Agreement Fees of approximately $4,438,500 in addition to Affordable Housing Fees and all standard City Development Impact Fees.

Attachments
Attachment 1 – DA Ordinance
Attachment 2 – TT Group Development Agreement
Attachment 3 – Canadian Pacific & Strack Farms Development Agreement Attachment 4 – Vicinity Map
Attachment 5 – Aerial Map
Attachment 6 – Ownership Map
Attachment 7 – TTM 31370
Attachment 8 – Public Notice Materials
Attachment 9 – Public Comment
DA 2024-01 & 2024-02 (North Tuscany Hills)

Page 4 of 4 ends

ORDINANCE NO. 2024-

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE, CALIFORNIA, APPROVING DEVELOPMENT AGREEMENT NOS. 2024-01 (T.T.

GROUP INC.) AND 2024-02 (CANADIAN PACIFIC LAND, LLC AND STRACK FARMS LAND, LLC) FOR THE APPROXIMATELY 368-ACRE SUBDIVISION PREVIOUSLY APPROVED UNDER TENTATIVE TRACT MAP NO. 31370

LOCATED WITHIN THE TUSCANY HILLS SPECIFIC PLAN
Whereas, T.T. Group, A California corporation as to an approximately 282 acre portion of Tentative Tract Map (TTM) 31370 and Canadian Pacific Land, LLC, a Florida limited liability company and Strack Farms Land, LLC, a Delaware limited liability company as to the remainder 86 acre portion of TTM 31370 have requested approval of Development Agreement No. 2024- 01 and 2024-02. TTM 31370 was previously approved for the subdivision of 807 single family residential lots, along with community and neighborhood parks, basins, lift station and open space located in the Tuscany Hills Specific Plan in the northeast portion of the City commonly known as North Tuscany;
Whereas, TTM 31370 covers property on the south side of Greenwald Avenue, on both sides of the extension of Summerhill Drive north of the existing Tuscany Hills community, to the west of Canyon Lake and to the east of Bella Vista Drive (Assessor’s Parcel Nos.: 349-280-025, -028, -029, -038, -040, -042, -044, -048, -050 and -051; 349-290-017, -018, -026 and -027; 349- 390-001 thru -004, -015 and -016);
Whereas, pursuant to Chapter 19.12 (Development Agreements) of the Lake Elsinore Municipal Code (LEMC) the Planning Commission (Commission) has been delegated with the responsibility of reviewing and making a recommendation to the City Council (Council) whether the development agreement is consistent with the City’s General Plan and whether to approve the development agreement;
Whereas, on April 16, 2024, at a duly noticed public hearing, the Commission has considered evidence presented by the Community Development Department and other interested parties with respect to this item, and adopted a resolution recommending that the Council approve Development Agreement Nos. 2024-01 and 2024-02; and Whereas, on May 14, 2024, at a duly noticed Public Hearing, the Council has considered the recommendation of the Commission as well as evidence presented by the Community Development Department and other interested parties with respect to this item.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF LAKE ELSINORE, CALIFORNIA, DOES HEREBY RESOLVE, DETERMINE AND ORDER AS FOLLOWS:

Section 1: Pursuant to CEQA Guidelines Section 15162, the Development Agreements would not have a significant effect on the environment and no new environmental documentation is necessary because all potentially significant effects have been adequately analyzed in an earlier environmental impact report. Subsequent Environmental Impact Report (SEIR) (SCH No. 2004071082) was adopted by the City Council on March 22, 2005. These Development Agreements will not have any significant direct, indirect, or cumulative environmental impacts apart from or beyond those already analyzed, addressed and mitigated as stated in the environmental documentation prepared and adopted/approved for TTM 31370. All potentially Ord. No. 2024-____

Page 2 of 5 ends

significant impacts have been avoided or mitigated pursuant to the earlier environmental impact report and none of the conditions in Public Resources Code Section 21166 or CEQA Guidelines Sections 15162, 15163 and 15164 calling for preparation of a subsequent or supplemental environmental impact report have occurred because of the following: (i) the Project does not propose substantial changes that would require major revisions to the previously certified EIR due to new significant environmental effects or a substantial increase in the severity of previously identified significant environmental effects; (ii) no substantial changes in circumstances have occurred that require major revisions to the previously certified EIR due to new significant environmental effects or a substantial increase in the severity of previously identified significant effects; and (iii) no new information of substantial importance as described in Section 15162 (a)(3) has been identified that shows any of the following: (a) one or more significant effects not discussed in the EIR, (b) significant effects previously examined that are substantially more severe than shown in the EIR, (c) mitigation measures or alternatives previously found not to be feasible are in fact be feasible and substantially reduce one or more significant effects of the project, but the Project proponents decline to adopt the mitigation measure or alternative, or (d) mitigation measures or alternatives which are considerably different from those analyzed in the EIR substantially reduce one or more significant effects on the environment, but the Project proponents decline to adopt the mitigation measure or alternative. Therefore, no further environmental documentation is necessary.

Section 2: That in accordance with California Planning and Zoning Law and Section

19.12.080.B of the LEMC, the Council makes the following findings regarding Development Agreement Nos. 2024-01 and 2024-02 (collectively, the “Development Agreements”):

1. It is consistent with the objectives, policies, general land uses and programs specified in the General Plan and any applicable specific plan;
The proposed development agreement will assist in the development of TTM 31370. TTM 31370 is located within the Tuscany Hills Specific Plan (THSP). The proposed subdivision is compatible with the objectives, policies, general land uses and programs as identified in the THSP. The THSP was subject to a consistency finding with the General Plan prior to adoption. The proposed subdivision is consistent with the provisions of the THSP and is therefore found to be consistent with the General Plan.

2. It is compatible with the uses authorized in, and the regulations prescribed for, the land use district in which the real property is located;
The proposed Development Agreements contemplate residential development consistent with the Tuscany Hills Specific Plan’s residential land use designation for this site.

3. It is in conformity with public convenience, general welfare and good land use practices; The overall density and design is consistent and compatible with the adjacent communities. Further the development of the proposed development is consistent with the underlying General Plan and Zoning land use designations, indicative of good land use practices.

4. It will not be detrimental to the health, safety and general welfare; The proposed Development Agreements will facilitate the development of the residential units. The previously approved map was found not to be detrimental to the Ord. No. 2024-____

Page 3 of 5 ends

health, safety and general welfare.

5. It will not adversely affect the orderly development of property or the preservation of property values;
The proposed Development Agreements will facilitate the development of residential units. The previously approved map was found not to adversely affect the orderly development of property or the preservation of property values.

6. It is consistent with the provisions of Government Code Sections 65864 through 65869.5.

The proposed Development Agreements includes all mandatory provisions required by Government Code § 65865.2 and does not include any provisions that are not authorized by the Development Agreement Act.

Section 3: Based upon the evidence presented, the above findings, and the Conditions of Approval imposed upon the project, the Council hereby approves Development Agreement Nos. 2024-01 (T.T. Group Inc.) and 2024-02 (Canadian Pacific Land, LLC and Strack Farms Land, LLC).

Section 4: Severability. If any provision of this Ordinance or its application is held invalid by a court of competent jurisdiction, such invalidity shall not affect other provisions, sections, or applications of the Ordinance which can be given effect without the invalid provision or application, and to this end each phrase, section, sentence, or word is declared to be severable.

Section 5: Effective Date. This Ordinance shall become effective at 12:01 a.m. on the thirty-first (31st) day after the date of adoption.

Section 6: Certification. The City Clerk shall certify to the passage of this Ordinance and shall cause a synopsis of the same to be published according to law.

Passed and Adopted on this _____day of __________, 2024. ____________________________
Steve Manos
Mayor
Attest:

Candice Alvarez, MMC
City Clerk
Ord. No. 2024-____

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I, Candice Alvarez, MMC, City Clerk of the City of Lake Elsinore, do hereby certify that the foregoing Ordinance No. 2022-_____ was introduced at the Regular meeting of May 14, 2024, and adopted by the City Council of the City of Lake Elsinore at its Regular meeting of ________, 2024, by the following vote:

AYES:

NOES:

ABSENT:

ABSTAIN:

I further certify that said Synopsis was published as required by law in a newspaper of general circulation in the City of Lake Elsinore, California on the _____day of __________, 2024, and on the ______day of _________, 2024.
____________________________
Candice Alvarez, MMC
City Clerk
Ord. No. 2024-____

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Exhibit A
Attachment 2 - TT Group Development Agreement.pdf

RECORDING REQUESTED BY AND
WHEN RECORDED MAIL TO:

City of Lake Elsinore
130 S. Main Street
Lake Elsinore, CA 92530
Attn: City Clerk
SPACE ABOVE THIS LINE FOR RECORDER’S USE
(Exempt from Recording Fees Per Govt. Code §27383)

DEVELOPMENT AGREEMENT

BY AND BETWEEN THE
CITY OF LAKE ELSINORE AND T.T. GROUP, INC.
(TENTATIVE TRACT MAP NO. 31370)

TABLE OF CONTENTS
Page
Attachment 2 - TT Group Development Agreement.pdf -i1. DEFINITIONS ................................................................................................................3

2. DEVELOPMENT OF THE OWNER PROPERTY....................................................6

2.1. Uses. ......................................................................................................................6

2.2. Intensity................................................................................................................6

2.3. Size........................................................................................................................6

2.4. Slopes....................................................................................................................6

2.5. Tentative Subdivision Map Extensions and Modifications. ............................7

2.6. Timing of Development.......................................................................................7

3. DEVELOPMENT EXACTIONS...................................................................................7

3.1. Reservations, Dedications and Improvements; Summerhill Drive Extension Project Rights of Way. ......................................................................7

3.2. Owner’s Obligation to Pay Fees.........................................................................8

3.3. Development Agreement Fees............................................................................8

3.4. Affordable Housing Fee......................................................................................9

3.5. Participation in CFD 2015-1 and CFD 2015-2..................................................9

3.6. Financing of Public Facilities; Future CFDs. .................................................10

3.7. Compliance with Laws......................................................................................11

3.8. Prevailing Wage Indemnification. ...................................................................11

4. VESTED RIGHTS. .......................................................................................................12

4.1. Development of the Owner Property...............................................................12

4.2. No New Development Impact Fees. .................................................................12

4.3. Reserved Powers................................................................................................13

4.3.1. Processing Fees and Charges. ..............................................................13

4.3.2. Procedural Regulations.........................................................................13

4.3.3. Building Codes.......................................................................................13

4.3.4. Non-Conflicting Regulations. ...............................................................13 TABLE OF CONTENTS (cont'd)
Page
Attachment 2 - TT Group Development Agreement.pdf -ii4.3.5. Certain Conflicting Regulations. .........................................................14

4.3.6. Regulations Needed to Protect the Health and Safety. ......................14

4.3.7. Regulations by Other Public Agencies. ...............................................14

4.3.8. General and Special Taxes. ..................................................................14

4.3.9. End Users. ..............................................................................................14

4.4. Subsequent Actions and Approvals.................................................................14

4.5. State and Federal Laws.....................................................................................15

4.6. Police Power and Taxing Power. .....................................................................15

4.7. Supersedure by Subsequent Laws. ..................................................................15

5. DURATION OF AGREEMENT. ................................................................................16

5.1. Term. ..................................................................................................................16

5.2. Termination. ......................................................................................................16

5.3. Effect of Termination........................................................................................16

6. PERIODIC REVIEW; OPERATING MEMORANDA; AMENDMENT. .............17

6.1. Periodic Review. ................................................................................................17

6.2. Operating Memoranda. ....................................................................................17

6.3 Amendment........................................................................................................17

7. COVENANT OF FURTHER ASSURANCES AND FAIR DEALING. ..................18

7.1. Further Assurances...........................................................................................18

7.2. Covenant of Good Faith and Fair Dealing......................................................18

8. PERMITTED DELAYS. ..............................................................................................18

9. DEFAULT......................................................................................................................18

9.1. Events of Default. ..............................................................................................18

9.2. Remedies. ...........................................................................................................19

9.3. Institution of Legal Action................................................................................19

9.4. No Waiver. .........................................................................................................19

9.5. Right of Mortgagee To Cure. ...........................................................................20

10. ESTOPPEL CERTIFICATES.....................................................................................20 TABLE OF CONTENTS (cont'd)
Page
Attachment 2 - TT Group Development Agreement.pdf -iii11. INCORPORATION BY REFERENCE......................................................................20

11.1. Recitals. ..............................................................................................................20

11.2. Exhibits...............................................................................................................20

12. APPLICABLE LAW. ...................................................................................................20

13. NO JOINT VENTURE, PARTNERSHIP OR THIRD PARTY BENEFICIARY. 20

14. ENCUMBRANCES AND RELEASES ON REAL PROPERTY.............................21

14.1. Discretion to Encumber....................................................................................21

14.2. Entitlement to Written Notice of Default........................................................21

14.3. Property Subject to Pro Rata Claims..............................................................21

15. BINDING EFFECT. .....................................................................................................21

15.1. Entirety of Owner Property. ............................................................................21

15.2. Owner Property and Agreement Remain Linked..........................................21

15.3. Assignment; Notice; City Consent...................................................................22

16. TERMS AND CONSTRUCTION. ..............................................................................22

16.1. Severability. .......................................................................................................22

16.2. Entire Agreement. .............................................................................................22

16.3. Authority; Counterpart Signature Pages........................................................23

16.4. Time....................................................................................................................23

16.5. Notices. ...............................................................................................................23

16.6. Construction, Number and Gender.................................................................24

17. INDEMNIFICATION...................................................................................................24

18. RECORDATION BY CITY CLERK..........................................................................25 Attachment 2 - TT Group Development Agreement.pdf -ivEXHIBITS

EXHIBIT A LEGAL DESCRIPTION

EXHIBIT B VICINITY MAP

EXHIBIT C EXISTING DEVELOPMENT IMPACT FEES

EXHIBIT D CONDITIONS OF APPROVAL
Attachment 2 - TT Group Development Agreement.pdf -1-

DEVELOPMENT AGREEMENT

BY AND BETWEEN THE
CITY OF LAKE ELSINORE AND T.T. GROUP, INC.
(Pursuant To Government Code
Sections 65864 -65869.5)
This Development Agreement (“Agreement”) is entered into on ___________, 2024, between T.T. Group, Inc., a California corporation (“Owner”), and the City of Lake Elsinore, a California municipal corporation (“City”). Owner and City are sometimes singularly referred to herein as a “Party” and are collectively referred to herein as the “Parties.”

RECITALS
A. All initially-capitalized words, terms, and phrases used, but not otherwise defined, in the Recitals shall have the meanings assigned to them in Section 1 of this Agreement, unless the context clearly indicates otherwise.

B. To strengthen the public planning process, encourage private participation in comprehensive planning, and reduce the economic risk of development, the legislature of the State of California adopted the “Development Agreement Act,” Government Code Sections 65864 through 65869.5. The Development Agreement Act authorizes the City to enter into an agreement with any person having a legal or equitable interest in real property regarding the future development of such property and to vest certain development rights therein.

C. Pursuant to the Development Agreement Act, the City Council adopted Ordinance No. 996 (1995) as amended by Ordinance No. 1393 (2018) establishing procedures and requirements for consideration of development agreements as set forth in LEMC Chapter 19.12 (collectively, the “Development Agreement Ordinance”).

D. On March 22, 2005, the City Council approved Subsequent Environmental Impact Report (SEIR) (SCH No. 2004071082), Amendment No. 1 to the Tuscany Hills Specific Plan No. 89-3, General Plan Amendment No. 2004-05, Zone Change No. 2004-06, and TTM No. 31370, subdividing 368 acres into 807 single family residential lots, along with community and neighborhood parks, basins, lift station and open space located in the northeast portion of the City commonly known as North Tuscany. On June 13, 2017, the City Council granted a six-year discretionary extension of TTM 31370 to June 1, 2022. Subsequently, TTM 31370 was statutorily extended by the provisions of AB 116 to June 1, 2024.

E. TTM 31370 covers property on the south side of Greenwald Avenue, on both sides of the extension of Summerhill Drive north of the existing Tuscany Hills community, to the west of Canyon Lake and to the east of Bella Vista Drive (Assessor’s Parcel Nos.: 349-280-025, -028, -029, -038, -040, -042, -044, -048, -050 and -051; 349-290-017, -018, -026 and -027; 349-390-001 thru -004, -015 and -016).

Attachment 2 - TT Group Development Agreement.pdf -2-
F. Owner owns a portion of the land within TTM 31370 consisting of Assessor’s Parcel Nos.: 349-280-025, -028, -029, -038, -040, -042, -044, -048, and -051; 349-290-017, -018, and -027; 349-390-001 thru -004, -015 and -016) with approximately 584 lots, referred to herein as the “Owner Property”. The parcels of land comprising the Owner Property are more particularly described in the Legal Description (Exhibit “A”) and depicted in the Vicinity Map (Exhibit “B”).

The balance of land within TTM 31370 consisting of Assessor Parcel Numbers 349-280-050 and 349-290-026 with approximately 223 lots are owned by Canadian Pacific Land, LLC, a Florida limited liability company and Strack Farms Land, LLC, a Delaware limited liability company.

G. Development of TTM 31370 is impaired by the lack of adequate infrastructure, particularly roadway improvements providing access to the Owner Property, including the extension of Summerhill Drive from the southern connection at the terminus of the existing Summerhill Drive extending northerly to Greenwald Avenue. The Parties desire to continue discussions regarding the financing and construction of necessary infrastructure improvements and to vest the Owner’s land use entitlements during these ongoing discussions.

H. On April 16, 2024, the City of Lake Elsinore Planning Commission held a duly noticed public hearing to consider Owner’s application for this Agreement and recommended to the City Council approval of this Agreement.

I. On May 14, 2024, the City Council held a duly noticed public hearing to consider this Agreement and found and determined that this Agreement (a) is consistent with the objectives, policies, general land uses and programs specified in the City’s General Plan and any applicable specific plan; (b) is compatible with the uses authorized in, and the regulations prescribed for the Owner Property and the surrounding area and will not adversely affect the orderly development of Owner Property or the preservation of property values; (c) is in conformity with public convenience, general welfare and good land use practices; (d) will have an overall positive effect on the health, safety and welfare of the residents of and visitors to the City; and (e) constitutes a lawful, present exercise of the City’s police power and authority under the Development Agreement Act and Development Agreement Ordinance.

J. Based on the findings set forth in Recital I, the City Council entered into this Agreement pursuant to and in compliance with the requirements of the Development Agreement Act and the Development Agreement Ordinance; and did introduce for first reading Ordinance No. __ (the “Enabling Ordinance”). On ________, 2024 the City Council conducted the second reading and adoption of the Enabling Ordinance did thereby approve this Agreement.

K. The foregoing Recitals constitute a substantive part of this Agreement, and the Parties have materially relied upon them as such in their respective determinations to execute this Agreement.

AGREEMENT
NOW, THEREFORE, in consideration of the mutual terms, obligations, promises, covenants and conditions contained herein and for other valuable consideration, the sufficiency of which is hereby acknowledged, the Parties, and each of them, agree as follows:

Attachment 2 - TT Group Development Agreement.pdf -3-

1. DEFINITIONS

1.1. “Agreement” means this Development Agreement, including the attached Exhibits. The term “Agreement” shall include any Operating Memoranda and/or amendment properly approved and executed pursuant to Section 6.2 and 6.3, respectively.

1.2. “Applicable Rules” means this Agreement, the Existing Development Approvals, the Existing Land Use Regulations, the Existing Development Impact Fees, and the Development Agreement Ordinance.

1.3. “Building Codes” means standard uniform codes adopted by the City governing construction, including without limitation, the Housing Code, the Building Code, the Energy Code, the Green Building Code, the Plumbing Code, the Electrical Code, the Mechanical Code, and the Fire Code (including amendments thereto by the Riverside Fire Authority), as modified and amended by official action of the City as set forth in Title 15 of the LEMC as may be amended from time to time.

1.4. “CEQA” means the California Environmental Quality Act of 1970 (California Public Resources Code § 21000 et seq.) and the state CEQA Guidelines (California Code of Regulations, Title 14, § 15000 et seq.).

1.5. “City” means the City of Lake Elsinore, a municipal corporation.

1.6. “City Council” means the duly elected City Council of the City.

1.7. “City Manager” means the City Manager of the City and his or her authorized designees.

1.8. “Conditions of Approval” means the conditions imposed by the City in connection with the approval and extension of Tentative Tract Map No. 31370, including the mitigation measures identified in the Supplemental Environmental Impact Report (SCH No. 2004071082) and its Mitigation Monitoring Program which are collectively attached as Exhibit “D.” Conditions of approval and any applicable mitigation measures imposed in connection with any Subsequent Approval shall be appended to Exhibit “D” and shall prevail in the event of a conflict with the original Conditions of Approval to the Existing Development Approvals.

1.9. “Day” refers to a calendar day, unless otherwise specified.

1.10. “Dedication” and “Dedicate” shall mean Owner’s grant of real property or an interest therein to the City or another governmental, public agency or non-profit entity for a public purpose, including, without limitation, dedication of right-of-way to the City for the public rights of way together with construction, drainage and slope easements associated therewith.

1.11. “Development” means the construction and/or installation of structures, improvements and facilities on the Owner Property as set forth in this Agreement including, without limitation, grading, the construction of infrastructure and public facilities (whether located Attachment 2 - TT Group Development Agreement.pdf -4-
within or outside the Owner Property), the construction of buildings and the installation of landscaping.

1.12. “Development Agreement Act” means Government Code Sections 65864 through 65869.5.

1.13. “Development Agreement Fee” is defined in Section 3.3 of this Agreement.

1.14. “Development Agreement Ordinance” means Ordinance No. 996 pursuant to which the City has adopted procedures and requirements for considering, approving and administering development agreements as codified in Section 19.12.005, et seq. of the LEMC and as may be amended from time to time.

1.15. “Development Exaction” shall mean and include Development Impact Fees, Dedications, Reservations, and any other obligation to pay money, construct facilities, or provide land as a condition of Development or of obtaining a Development Approval.

1.16. “Development Impact Fees” means any impact fees, linkage fees, or exactions, and other similar impact fees or charges (whether collected as a condition to issuance of grading and/or building permits, or otherwise) imposed by the City on and in connection with Development pursuant to Existing Land Use Regulations. Development Impact Fees do not include (a) Processing Fees and Charges; (b) impact fees, linkage fees, exactions, assessments or fair share charges or other similar fees or charges imposed by other governmental entities regardless of whether the City is required to collect or assess such fees pursuant to applicable laws (e.g., school district impact fees pursuant to Government Code Section 65995), or (c) general or special taxes and assessments.

1.17. “Effective Date” means the date this Agreement and the Enabling Ordinance are approved by the City Council.

1.18. “Enabling Ordinance” is defined in Recital J.

1.19. “Existing Development Approvals” means Tentative Tract Map No. 31370 and the Tuscany Hills Specific Plan No. 89-3 as amended by Amendment No. 1, and any other entitlement relating to the Development of the Owner Property approved by the City prior to the Effective Date in compliance with CEQA and subject to the Conditions of Approval and the City Council’s findings and determinations with respect thereto.

1.20. “Existing Development Impact Fees” means the categories of Development Impact Fees in effect as of the Effective Date as set forth in Exhibit “C” to be imposed on the Development of the Owner Property during the Term in such amount as in effect at the time such Development Impact Fees are paid.

1.21. “Existing Land Use Regulations” means the Land Use Regulations in effect as of the Effective Date applicable to the Development of the Owner Property during the Term except as otherwise provided by the Reserved Powers set forth in Section 4.2 et seq.

1.22. “Government Code” means the California Government Code.

Attachment 2 - TT Group Development Agreement.pdf -5-

1.23. “Indemnitees” means the City and its elected and appointed officials, employees, volunteers, agents, and representative.

1.24. “Land Use Regulations” means the City General Plan, the Tuscany Hills Specific Plan, and all ordinances, resolutions, codes, rules, regulations and official policies of the City adopted by ordinance or resolution governing the development and use of land, including zoning, permitted uses, density or intensity of use, subdivision requirements, the maximum height and size of proposed buildings, design, improvement and construction standards and specifications, and the provisions for Development Exactions. "Land Use Regulations" does not include any City ordinance, resolution, code, rule, regulation or official policy, governing: (a) the conduct of businesses, professions, and occupations except subdivisions; (b) taxes and assessments; (c) the control and abatement of nuisances; and/or (d) the exercise of the power of eminent domain.

1.25. “Law” means any official legislative enactment of a governmental agency, public body, or court that binds the Parties. "Laws" shall include but not be limited to case law, constitutional provisions, statutes, ordinances, initiatives, resolutions, policies, orders, rules, and regulations. A matter is a Law regardless of whether it was imposed by a legislative body (such as the City Council or State Legislature), an administrative agency (such as the Public Utilities Commission), the electorate (as by initiative or referendum), court (by judgment, order or opinion), or any other official body (such as the Planning Commission), and regardless of whether it is federal, state, or local.

1.26. “LEMC” means the Lake Elsinore Municipal Code as amended from time to time.

1.27. “Owner” means T.T. Group, Inc., a California corporation and its permitted successors in interest to the Owner Property, and/or permitted assignees of Owner's rights under this Agreement.

1.28. “Owner Property” means the real property which is the subject of this Agreement and which is described in Recital F, and more particularly described in Exhibit “A” and depicted in Exhibit “B” attached hereto and incorporated by this reference.

1.29. “Parties” means the Owner and the City.

1.30. “Periodic Review” is defined in Section 6.1.

1.31. “Processing Fees and Charges” means all processing fees and charges required by the City in connection with new construction, including, but not limited to, Development Approval application fees, plan-check and inspection fees, fees for monitoring compliance with any Development Approval or for monitoring compliance with environmental impact mitigation measures. “Processing Fees and Charges” shall not include Development Impact Fees or Development Exactions.

1.32. “Project” means the Development of the Owner Property for residential and related ancillary uses and open space uses, proposed by the Owner to include approximately 584 Attachment 2 - TT Group Development Agreement.pdf -6-
detached single-family homes as set forth in the Applicable Rules, including Conditions of Approval.

1.33. “Reservation” means the setting aside of land for future public use, without any legal right, title or interest being conveyed other than the promise to convey an interest upon payment of fair market value for such land.

1.34. “Reserved Powers” means the rights and authority excluded from the assurances and rights provided to Owner under this Agreement and reserved to the City under Section 4.3 of this Agreement.

1.35. “Subsequent Approvals” shall mean and include any future entitlements, including residential design review and any land use permits, variance, conditional use permit, building permits, grading permits, encroachment permits, landscape and signage plan, subdivision tract maps, parcel maps, lot line adjustments, and other similar permits, required in connection with the Development of the Owner Property approved by the City in compliance with CEQA and the City Council’s findings and determinations with respect thereto.

1.36. “Summerhill Drive Extension Project” means the construction of two lanes of Summerhill Drive from the existing terminus at the south extending northerly to Greenwald Avenue in conformance with the final alignment and final plans approved by the City.

1.37. “Term” is defined in Section 5.1.

2. DEVELOPMENT OF THE OWNER PROPERTY.

2.1. Uses.

The Owner Property may be used in accordance with the Existing Development Approvals, all Subsequent Approvals, and the Existing Land Use Regulations.

2.2. Intensity.

Permitted density and intensity of use vested hereby shall be the maximum permitted by the Existing Development Approvals, all Subsequent Approvals, and the Existing Land Use Regulations.

2.3. Size.

The maximum height and size of buildings vested hereby shall be as set forth in the Existing Development Approvals, all Subsequent Approvals, and the Existing Land Use Regulations.

2.4. Slopes.

The City shall encourage and allow the use of the latest technology for spray seeding and drip irrigation of slopes consistent with applicable Laws.

Attachment 2 - TT Group Development Agreement.pdf -7-

2.5. Tentative Subdivision Map Extensions and Modifications.

In accordance with Government Code §66452.6(a)(1), Tentative, Tentative Tract Map No. 31370 in connection with Development of the Owner Property, shall be granted an extension of time for the greater of the Term of this Agreement (in which case no such extension application to extend the expiration date of the tentative map need be filed) or such time approved in accordance with State law or the Existing Land Use Regulations.

To the extent permitted by applicable Laws, including the Subdivision Map Act (Government Code §66410 et seq.), minor modifications to existing tentative tract maps shall be reviewed by the City Engineer or Community Development Director without a public hearing for matters such as moving streets, changes to pad elevations, re-alignment and loss of lots, and related changes that do not increase the number of lots, when such changes are required for compliance with (i)WQMP or drainage related re-design requirements, (ii) MSHCP feasibility reconfiguration, (iii) fire department requirements and/or (iv) other applicable Laws.

2.6. Timing of Development.

In order to avoid the result in Pardee Construction Co. v. City of Camarillo, 37 Cal.3d 465 (1984), the City and Owner agree that Owner shall have the right, without obligation, to develop the Project in such order and at such rate and times as Owner deems appropriate within the exercise of its subjective business judgment, subject only to the Existing Development Approvals. Furthermore, the City shall not (whether by City Council action, initiative or otherwise) limit the rate or timing of Development of the Owner Property except as expressly authorized by the Existing Development Approvals. Nothing in this section shall be construed to limit the City’s right to require that Owner timely provide all Reservations, Dedications and public improvements in accordance with the Existing Development Approvals and this Agreement.

3. DEVELOPMENT EXACTIONS.

3.1. Reservations, Dedications and Improvements; Summerhill Drive Extension Project Rights of Way.

Reservations and Dedications and the provision of improvements and facilities for public purposes shall be those, and only those, required by the Conditions of Approval adopted by the City in connection with the Existing Development Approvals any and all Subsequent Approvals, the Existing Land Use Regulations, and/or this Agreement, including the Summerhill Drive Extension Project.

To accelerate the construction of the Summerhill Drive Extension Project, the City has advanced funds toward the cost of engineering and design (the “City Advance”). To that end, City has expended approximately Four Hundred Ten Thousand Four Hundred Forty-Two Dollars ($410,442) pursuant to the following agreements: 1) a Professional Services Agreement with Glenn Lukos Associates, Inc. to provide biological and regulatory consulting services for the Summerhill Drive Extension Project, including preparation of a General Biological Report and a Jurisdictional Delineation Report to be used for permitting purposes, and 2) a Professional Services Agreement with Hunsaker and Associates, Inc. to provide civil engineering design services, Attachment 2 - TT Group Development Agreement.pdf -8-
including traffic signal, hydrology, storm drain improvements, grading, geotechnical and all other engineering disciplines required to complete a constructible design of the Summerhill Drive Extension Project.

No later than ninety (90) days after the later of (a) the date of approval by City of the final alignment and final plans for the Summerhill Drive Extension Project or (b) the date of approval of this Development Agreement, Owner shall at no cost to the City make an irrevocable offer of dedication of fee interest in the right of way for the Summerhill Extension Project located on the Owner Property together with construction, slope and drainage easements as required by City in connection with the Summerhill Drive Extension Project. Owner may reserve a utility and or other infrastructure easement(s) within the dedicated right of way so long as such reservations do not interfere with the construction, completion and operation of the Summerhill Drive Extension Project.

In the event City obtains funding and completes construction of the Summerhill Drive Extension Project prior to the Owner’s development of the Project, Owner shall reimburse City Owner’s fair share contribution of the City’s Advance and cost of construction of the Summerhill Drive Extension Project prior to issuance by City of the first building permit (not including model homes) for the Project.

If City does not obtain the necessary funding and/or complete the construction of the Summerhill Extension Project prior to the Owner’s development of the Project, then Owner shall complete the construction of the Summerhill Drive Extension Project prior to issuance by City of the first building permit (not including model homes) for the Project. During the construction of the Summerhill Extension Project, the City and the Owner will exercise best efforts to coordinate with the construction schedules for EVMWD sewer and water facilities and other infrastructure facilities so as to minimize public inconvenience and disruption of traffic and maximize the efficiency of in-road construction projects.

3.2. Owner’s Obligation to Pay Fees.

During the Term of this Agreement, Owner shall pay all Existing Development Impact Fees and all Processing Fees and Charges imposed by City and any other fees and charges imposed by any other regulatory agency with jurisdiction over the Owner Property within the time and in the manner prescribed by such agency or the City, and shall receive such credits and/or reimbursements for improvements constructed in accordance with the provisions set forth in the LEMC. Owner shall pay Existing Development Impact Fees and Processing Fees and Charges at the prevalent rate in effect as of the date such fees and charges are paid.

3.3. Development Agreement Fees.

Upon the City’s issuance of each building permit for each residential dwelling unit to be constructed within the Project by Owner, Owner shall pay to City a Development Agreement Fee in the amount of Five Thousand Five Hundred Dollars ($5,500) (each, a “DAG Fee” and collectively, “DAG Fees”). DAG Fees shall be deposited by City into a capital facilities fund to be used toward the construction of capital facilities as determined by City Attachment 2 - TT Group Development Agreement.pdf -9-
in its sole and absolute discretion. If a Community Facilities District (“CFD”) special tax is requested by the Owner and approved by the City Council acting in its reasonable discretion and in accordance with applicable laws pursuant to Section 3.6 of this Agreement, DAG fees may be paid out of the CFD or reimbursed from the CFD. Owner’s obligation to pay DAG Fees shall survive termination of this Agreement.

3.4. Affordable Housing Fee.

Upon issuance of each residential building permit for development on the Owner Property, Owner shall pay to City an affordable housing fee of $2.00 per habitable square foot of residential development (“Affordable Housing Fee”). Owner’s obligation to pay the Affordable Housing Fee shall survive termination of this Agreement.

3.5. Participation in CFD 2015-1 and CFD 2015-2.

Owner agrees to annex the Owner Property into City of Lake Elsinore Community Facilities District No. 2015-1 (Law Enforcement, Fire and Paramedic Services) (“CFD No. 2015-1”) or into such successor district formed to fund law enforcement, fire and paramedic services pursuant to the Mello-Roos Community Facilities Act of 1982, as amended, and to pay any special taxes associated therewith to offset the annual negative fiscal impacts of the Owner’s project on public safety operations in the City. For information purposes only, the special tax rate in effect in Community Facilities District No. 2015-1 as of the Effective Date is approximately Seven Hundred Seventy and 53/100 Dollars ($770.53) per year for each singlefamily residence and Four Hundred Seventy-One and 32/100 Dollars ($471.32) per year for each multi-family residential unit, subject to an automatic annual adjustment each July 1 equal to the greater of i) the percentage increase in the Consumer Price Index (All Items) for Los AngelesRiverside-Orange County (1982-84=100) since the beginning of the preceding fiscal year, or ii) four percent (4%). Special taxes shall be levied on a parcel-by-parcel basis, commencing at the time of issuance of building permits for the Owner Property. The Owner may propose alternative equivalent financing mechanisms to fund the annual negative fiscal impacts of the Development on the Owner Property with respect to Law Enforcement, Fire and Paramedic Services the sufficiency of which shall be evaluated by the City Manager. Owner shall make a non-refundable deposit of Fifteen Thousand Dollars ($15,000), or at the current rate in place at the time of annexation, toward the cost of annexation, formation or other mitigation process, as applicable.

Owner agrees to annex the Owner Property into City of Lake Elsinore Community Facilities District No. 2015-2 (Maintenance Services) (“CFD No. 2015-2”) or such successor district formed to fund the on-going operation and maintenance of the (i) public rightof-way, including street sweeping, (ii) the public right-of-way landscaped areas and parks to be maintained by the City; and (iii) for street lights in the public right-of-way for which the City will pay for electricity and a maintenance fee to Southern California Edison, including streets, parkways, open space and public storm drains constructed within the Owner Property and federal NPDES requirements pursuant to the Mello-Roos Community Facilities Act of 1982, as amended, and to pay any special taxes associated therewith to fund such on-going operation and maintenance costs to offset the annual negative fiscal impacts of the Owner’s project. The special tax shall be levied on a parcel-by-parcel basis, commencing at the time of issuance of building permits for the Owner Property subject to an automatic annual adjustment each July 1 equal to the greater of i) Attachment 2 - TT Group Development Agreement.pdf -10-
the percentage increase in the Consumer Price Index (All Items) for Los Angeles-RiversideOrange County (1982-84=100) since the beginning of the preceding fiscal year, or ii) two percent (2%). The Owner may propose alternative equivalent financing mechanisms to fund the annual negative fiscal impacts of the Development on the Owner Property with respect to Maintenance Services the sufficiency of which shall be evaluated by the City Manager. Fulfillment of applicable Maintenance Services by a homeowner’s association under CC&R’s for the Owner Property are an acceptable means of equivalent financing mechanism for Maintenance Services; provided however, that the annexation to CFD No. 2015-2 or into such successor district shall be complete, the obligations established thereunder shall remain dormant and special taxes shall not be levied pursuant thereto unless and until activated by the City upon a determination that the homeowner’s association has defaulted in its obligation to satisfactorily perform the Maintenance Services.

Owner shall make a non-refundable deposit of Fifteen Thousand Dollars ($15,000), or at the current rate in place at the time of annexation, toward the cost of annexation, formation or other mitigation process, as applicable.

Notwithstanding the foregoing, if all or any portion of the Owner Property is already annexed into an existing services community facilities district or other financing district for Law Enforcement, Fire and Paramedic Services or Maintenance Services which overlaps with CFD 2015-1 and/or CFD 2015-2 as to services to be funded, City shall assist Owner in having such CFD dissolved and shall pay the administrative costs of de-annexation from such other financing district in order to enable Owner to annex into CFD 2015-1 and/or CFD 2015-2 with the other participating Owners to avoid duplication of services.

3.6. Financing of Public Facilities; Future CFDs.

City, in cooperation with and at the request of Owner and submittal of the requisite application and formation deposit (including deposit for any non-contingent professional services related to the issuance of bonds), shall initiate and use its commercially reasonable and diligent efforts to cause the City to establish a Mello-Roos Community Facilities District (“CFD”) to finance public improvements and facilities to be constructed and installed in conjunction with the Development of the Owner Property in accordance with the provisions of the Mello-Roos Community Facilities Act of 1982 (Government Code §53311 et seq.), as amended (“Mello Roos Act”).

The parameters of the CFD(s) shall be as follows or as otherwise required to meet minimum requirements of California law or City policy, as the same may be amended from time to time: (i) a minimum value-to-lien ratio of 3 to 1; (ii) a total effective tax rate (taking into account all ad-valorem taxes, assessments, and special taxes expected to be levied on the enduser, including potential participation by other public agencies by way of a joint community facilities agreement for facilities and/or fees of such other public agencies) not to exceed two percent (2%) of the estimated residential home prices at the time of CFD formation; provided that the City in its sole discretion may impose in the rate and method of apportionment appropriate provisions to reduce taxes at bond issuance to below 2% or reduce the amount of bonds issued in order to ensure tax rates not above 2%; (iii) a debt service coverage ratio equal to 110% (unless adequate credit enhancement is provided to the reasonable satisfaction of the City to allow for a lower ratio); (iv) an annual escalator on the CFD special tax and debt service not to exceed two percent (2%) per year (and subject to appropriate increases in the special tax upon defaults by other Attachment 2 - TT Group Development Agreement.pdf -11-
properties within the CFD); and (v) administrative expenses shall not exceed Thirty-Five Thousand Dollars ($35,000) per year, adjusted annually by the greater of i) the percentage increase in the Consumer Price Index (All Items) for Los Angeles-Riverside-Orange County (1982- 84=100) since the beginning of the preceding fiscal year, or ii) two percent (2%).

The City shall at all times have discretion as to factors relating to the issuance of bonds in the prudent management of the issuance of tax-exempt securities under laws and conditions then applicable, including, but not limited to, then-applicable marketing conditions and sound municipal financing practices. Prior to the issuance of any CFD bonds, the CFD shall levy special taxes on all parcels of developed property (as defined in the applicable rate and method of apportionment) at the assigned special tax rates and use such funds to pay for the costs of administering the CFD and for the costs of acquiring eligible public improvements or funding Existing Development Impact Fees (as provided for in the applicable rate and method of apportionment and CFD formation documents). The City and Owner agree that the first priority for funding from the proceeds of special taxes and bonds pursuant to such facilities CFDs shall be reimbursement for eligible public improvements; provided, however that the City agrees that payment of Existing Development Impact Fees shall be eligible for CFD funding so long as the City has a reasonable expectation of expending bond proceeds on the corresponding public improvements within three years of the receipt of such funds. In addition, the City agrees to provide reasonable cooperation with other public agencies and to exercise reasonable discretion in evaluating proposed joint community facilities agreement(s) for facilities and/or fees of such other public agencies.

3.7. Compliance with Laws.

Owner shall carry out the design and construction of public improvements in conformity with all applicable Laws, including without limitation, public bidding and construction requirements in accordance with applicable City requirements and applicable federal and state labor Laws which shall include, if appliable, Labor Code § 1720 et seq., including without limitation the payment of prevailing wage and maintenance of payroll records in accordance with Labor Code §§ 1776 and 1812, and employment of apprentices in accordance with Labor Code § 1777.5. Owner further agrees that all public work (as defined in Labor Code § 1720) performed pursuant to this Agreement, if any, shall comply with the requirements of Labor Code § 1770 et seq. In all bid specifications, contracts and subcontracts for work that is subject to the prevailing wage requirements of Labor Code §1720 et seq., Owner (or its general contractor, in the case of subcontracts) shall obtain the general prevailing rate of per diem wages and the general prevailing rate for holiday and overtime work in this locality for each craft, classification or type of worker needed to perform the work, and shall include such rates in the bid specifications, contract or subcontract.

3.8. Prevailing Wage Indemnification.

Owner shall indemnify, protect, defend and hold harmless the Indemnitees, with counsel reasonably acceptable to the City, from and against any and all loss, liability, damage, claim, cost, expense and/or "Increased Costs" (including reasonable attorneys' fees, court and litigation costs, and fees of expert witnesses) which, in connection with the Development, results or arises from the following: (1) the noncompliance by Owner of any applicable Law, including, without limitation, any applicable federal and/or State labor Laws (including, without limitation, Attachment 2 - TT Group Development Agreement.pdf -12-
if applicable, the requirement to pay State prevailing wages and to hire apprentices); (2) the implementation of Section 1781 of the Labor Code, as the same may be amended from time to time, or any other similar Law; and/or (3) failure by Owner to provide any required disclosure or identification as required by Labor Code Section 1781, as the same may be amended from time to time, or any other similar Law. It is agreed by the Parties that, in connection with the Development, including, without limitation, any and all public works (as defined by applicable Law), Owner shall bear all risks of payment or non-payment of prevailing wages and hiring of apprentices under California Law and/or the implementation of Labor Code Section 1781, as the same may be amended from time to time, and/or any other similar Law. "Increased Costs," as used in this Section 3.8, shall have the meaning ascribed to it in Labor Code Section 1781, as the same may be amended from time to time. The foregoing obligations set forth in this Section 3.8 shall survive termination of this Agreement and shall terminate upon the expiration of all statutes of limitation applicable to claims with respect to which Owner is required to indemnify the Indemnitees pursuant to this Section 3.8.

4. VESTED RIGHTS.

4.1. Development of the Owner Property.

During the Term and subject to the Reserved Powers, Owner shall have the vested right to develop and use the Owner Property subject to the terms and conditions of the Applicable Rules and any and all Subsequent Approvals as set forth in this Agreement. The Parties agree and acknowledge that this Agreement itself does not authorize Owner to undertake any Development of the Owner Property nor does this Agreement require the City to approve any Subsequent Approval; provided, however, except as otherwise set forth in this Agreement, the City shall process any Subsequent Approval in accordance with the Existing Land Use Regulations and this Agreement. In the event of conflict between the Existing Development Approvals and this Agreement, this Agreement shall prevail.

Before any Development activity can occur, the Owner shall have satisfied the applicable Conditions of Approval of the Existing Development Approvals for the Owner Property and obtained any necessary Subsequent Approvals for the Owner Property pursuant to the Applicable Rules.

4.2. No New Development Impact Fees.

Owner acknowledges that, in the absence of this Agreement, the Development of the Owner Property would be subject to all Development Impact Fees in place at the time any building permits are issued by the City, or as otherwise required by the LEMC. As consideration for the Owner’s obligations hereunder and the benefits to the City, commencing on the Effective Date and continuing during the Term of this Agreement, the Development Impact Fees imposed by the City with respect to the Development of the Owner Property shall be the categories of Existing Development Impact Fees as described and set forth in Exhibit “C.” Upon expiration of the Term, or earlier termination of this Agreement pursuant to Section 5.2, Development of the Owner Property shall be subject to any and all Development Impact Fees and Development Exactions imposed by the City in accordance with Attachment 2 - TT Group Development Agreement.pdf -13-
any applicable Law and/or the LEMC as amended from time to time. Nothing in this Agreement is intended to prevent the imposition of fees or other exactions by any governmental entity not affiliated with the City.

4.3. Reserved Powers.

Although the Existing Land Use Regulations and Existing Development Impact Fees will govern Development of the Owner Property, this Agreement will not prevent and shall not be construed to limit the authority of City to apply new rules, regulations and policies set forth in this Section 4.3 et seq. (“Reserved Powers”) in connection with the Development of the Owner Property.

4.3.1. Processing Fees and Charges.

Processing Fees and Charges as defined in Section 1.31 shall be paid by Owner at the prevalent rate at the time of payment.

4.3.2. Procedural Regulations.

Procedural regulations relating to hearing bodies, petitions, applications, notices, findings, records, hearings, reports, recommendations, appeals and any other matter of procedure.

4.3.3. Building Codes.

Regulations, policies and rules governing engineering and construction standards and specifications including without limitation, the Building Codes as defined in Section 1.3 and similar codes and any local amendments adopted by the City.

4.3.4. Non-Conflicting Regulations.

New, rules, regulations and policies which do not conflict with the Existing Land Use Regulations. The term "do not conflict" means new rules, regulations, policies which: (a) do not modify the permitted land uses, the density or intensity of use, the phasing or timing of development, the maximum height and size of proposed buildings on the Owner Property, provisions for dedication of land for public purposes and Development Exactions, except as expressly permitted elsewhere in this Agreement, and standards for design, development and construction on the Owner Property; (b) do not prevent Owner from obtaining any Subsequent Approvals, including, without limitation, all necessary approvals, permits, certificates, and the like, at such dates and under such circumstances as Owner would otherwise be entitled pursuant to the Existing Land Use Regulations; or (c) do not prevent Owner from commencing, prosecuting, and finishing grading of the land, constructing public and private improvements, and occupying the Owner Property, or any portion thereof, all at such dates and schedules as Owner would otherwise be entitled to do so by Development Approvals, Subsequent Approvals, and the Existing Land Use Regulations.

Attachment 2 - TT Group Development Agreement.pdf -14-

4.3.5. Certain Conflicting Regulations.

Regulations in conflict with the Existing Land Use Regulations, including General Plan land use, zoning and development standards, if the application of such regulations to the Development of the Owner Property has been consented to in writing by the Owner. Application of such conflicting regulations may require Owner to obtain Subsequent Approvals.

4.3.6. Regulations Needed to Protect the Health and Safety.

Any City ordinance, resolution, regulation, or official policy which is reasonably necessary to protect persons from conditions dangerous to their health and/or safety; are permissible provided that any such regulations must constitute a valid exercise of the City’s police power, applied and enforced in a uniform, consistent and nondiscriminatory manner.

4.3.7. Regulations by Other Public Agencies.

The Parties acknowledge that other public agencies, not within the control of the City, possess authority to regulate aspects of Development separately from the City.

This Agreement does not limit the authority of such other public agencies. Nothing contained in this Agreement shall be construed as limiting, in any way, the authority of such other public agencies to impose any new or increased development impact fees or other fees or charges, even though such impositions may be collected by the City.

4.3.8. General and Special Taxes.

Owner shall pay general or special taxes, including but not limited to, property taxes, sales taxes, transient occupancy taxes, business taxes, which may be applied to the Owner Property or to businesses occupying the Owner Property; provided, however, that the tax is of general applicability Citywide and does not burden the Owner Property disproportionately when compared to the development of other residential uses within the City. Nothing in this Agreement prohibits the adoption and application of a CFD special tax requested by the Owner and approved by the City in accordance with Section 3.6 of this Agreement.

4.3.9. End Users.

Laws of the City that impose, levy, alter or amend fees, charges, or Land Use Regulations relating solely to post-Development conduct of consumers or end users, such as, without limitation, trash can placement, service charges and limitations on vehicle parking, are permissible so long as those later enactments are applied and enforced in a uniform, consistent and non-discriminatory manner and do not impair Owner's vested rights to develop the Owner Property consistent with the Applicable Rules.

4.4. Subsequent Actions and Approvals.

The City shall accept and process with reasonable promptness all completed applications for any Subsequent Approval (including tentative and final tract maps, improvement plans, and decisions relating to the design and location of public improvements on Owner Attachment 2 - TT Group Development Agreement.pdf -15-
Property) in accordance with the Existing Land Use Regulations; provided, however, this Agreement will not prevent the City, in subsequent actions applicable to the Owner Property, from applying new rules, regulations and policies which do not conflict with the Existing Land Use Regulations, nor will this Agreement prevent the City from denying or conditionally approving any Subsequent Approval on the basis of such Existing Land Use Regulations or such new rules, regulations or policies. Subsequent Approvals shall, upon approval and as may be amended from time to time, become part of the Applicable Rules and the Owner shall have a “vested right,” as that term is defined under California law, in and to such Subsequent Approvals by virtue of this Agreement.

4.5. State and Federal Laws.

If State or Federal laws or regulations enacted after the Effective Date hereof, prevent or preclude compliance with one or more of the provisions of this Agreement, such provisions of this Agreement will be modified or suspended as may be necessary to comply with such State or Federal laws or regulations; provided, however that this Agreement will remain in full force and effect to the extent it is not inconsistent with such State or Federal laws or regulations and to the extent such laws or regulations do not render such remaining provisions impractical to enforce.

4.6. Police Power and Taxing Power.

The City will not impose, or enact any additional Development Exactions, Conditions of Approval or regulations through the exercise of either the police power or the taxing power with respect to the Development of the Owner Property except as provided in the Existing Land Use Regulations or except as provided in the Reserved Powers set forth in Section 4.2 of this Agreement.

4.7. Supersedure by Subsequent Laws.

If any federal or state law, made or enacted after the Effective Date prevents or precludes compliance with one or more provisions of this Agreement, then the provisions of this Agreement shall, to the extent feasible, be modified or suspended as may be necessary to comply with such new law. Immediately after enactment or promulgation of any such new law, City and Owner shall meet and confer in good faith to determine the feasibility of any such modification or suspension based on the effect such modification or suspension would have on the purposes and intent of this Agreement. Owner and City shall have the right to challenge the new law preventing compliance with the terms of this Agreement, and in the event such challenge is successful, this Agreement shall remain unmodified and in full force and effect. At Owner’s sole option, the term of this Agreement may be extended for the duration of the period during which such new law precludes compliance with the provisions of this Agreement.

Attachment 2 - TT Group Development Agreement.pdf -16-

5. DURATION OF AGREEMENT.

5.1. Term.

This Agreement shall commence as of the Effective Date and, unless earlier terminated in accordance with Section 5.2 or another provision hereof, shall automatically expire on the fifth (5th) anniversary thereof (the “Term”).

5.2. Termination.

This Agreement shall be deemed terminated and of no further effect upon the occurrence of any of the following events set forth in this Section 5.2 et seq. a. Expiration of the Term.
b. Entry of a final judgment setting aside, voiding or annulling the adoption of the Enabling Ordinance.
c. The adoption of a referendum measure overriding or repealing the Enabling Ordinance. Owner acknowledges that, pursuant to Article 2, Section 11 of the California Constitution and California Elections Code Section 9235, et seq. (collectively, the “Referendum Laws”), the electors of the City may, within thirty (30) days after adoption of the Enabling Ordinance, file a petition in accordance with Elections Code Section 9237 to require the City to either repeal such ordinance or hold an election to obtain voter approval of such Enabling Ordinance and this Agreement. In the event a valid referendum petition challenging the validity of the Enabling Ordinance is filed in accordance with the Referendum Laws, the City may, in its sole and absolute discretion, either (1) terminate this Agreement or (2) submit the Enabling Ordinance to the voters for approval in accordance with the Referendum Laws. d. Termination of this Agreement based on any default of any Party and following the termination proceedings required by Section 9 et seq. of this Agreement.

5.3. Effect of Termination.

Termination of this Agreement by one Party due to the default of the other Party in accordance with the provisions of Section 9 et seq. will not affect any right or duty emanating from any then-existing Development Approval and the Conditions of Approval related thereto with respect to the Owner Property, but the rights and obligations of the Parties will otherwise cease as of the date of such termination. If the City terminates this Agreement because of a default of the Owner, then the City will retain any and all benefits including, without limitation, money or land received by the City hereunder before termination. Notwithstanding the foregoing, the following obligations shall survive any termination of this Agreement: (i) Owner to pay the Development Agreement Fee and the Affordable Housing Fee as set forth in Sections 3.3 and 3.4, respectively, and (ii) to indemnify the City as set forth in Section 17.

Attachment 2 - TT Group Development Agreement.pdf -17-

6. PERIODIC REVIEW; OPERATING MEMORANDA; AMENDMENT.

6.1. Periodic Review.

City shall review this Agreement annually (“Periodic Review”) on or before the anniversary of the Effective Date. During each Periodic Review, Owner is required to demonstrate good faith compliance with the terms of this Agreement, and shall furnish such reasonable evidence of good faith compliance as the City, in the exercise of its reasonable discretion, may require. Such Periodic Review shall be conducted administratively by the City Manager and any appropriate department heads designated by the City Manager to perform such Periodic Review. The City Manager shall report the results of such Periodic Review to the City Council within thirty (30) days after the conclusion thereof. No public hearing shall be held by the City Manager or City Council with regard to such Periodic Review; provided, however, that the City Council and/or the Owner shall have the right to appeal the City Manager’s findings to the City Council, in which case Owner shall have the right to request a public hearing on the matter.

City shall notify Owner in writing of the date for review at least thirty (30) days prior thereto. The City’s failure to review the Owner’s compliance with this Agreement, at least annually, will not constitute or be asserted by either Party as a breach by the other Party. The requirement for a Periodic Review shall not be deemed to modify or restrict Owner’s rights under Section 2.6 to develop the Project in such order and at such rate and times as Owner deems appropriate in view of market conditions and within the exercise of its subjective business judgment, subject only to the Existing Development Approvals.

6.2. Operating Memoranda.

The provisions of this Agreement require a close degree of cooperation between the City and the Owner. The Development of the Owner Property may demonstrate that clarifications to this Agreement and the Existing Land Use Regulations are appropriate with respect to the details of performance of the City and the Owner. To the extent allowable by Law, the Owner shall retain a certain degree of flexibility as provided herein with respect to all matters, items and provisions covered in general under this Agreement, except for those which relate to the (i) term; (ii) permitted uses; or (iii) density or intensity of use. When and if the Owner finds it necessary or appropriate to make changes, adjustments or clarifications to matters, items or provisions not enumerated in (i) through (iii) above, the Parties shall effectuate such changes, adjustments or clarifications through operating memoranda (the “Operating Memoranda”) approved by the Parties in writing which reference this Section 6.1. Operating Memoranda are not intended to constitute an amendment to this Agreement but mere ministerial clarifications; therefore public notices and hearings shall not be required. The City Manager shall be authorized, upon consultation with, and approval of, the Owner, to determine whether a requested clarification may be effectuated pursuant to this Section or whether the requested clarification is of such character to constitute an amendment to this Agreement which requires compliance with the provisions of Section 6.3 below.

6.3 Amendment.

Subject to the notice and hearing requirements of the Government Code, this Agreement may be modified or amended from time to time only with the written consent of Attachment 2 - TT Group Development Agreement.pdf -18-
the Owner and the City or their successors and assigns in accordance with the provisions of the Development Agreement Ordinance and the Development Agreement Act.

7. COVENANT OF FURTHER ASSURANCES AND FAIR DEALING.

7.1. Further Assurances.

Each Party covenants on behalf of itself and its successors and assigns to take all actions and do all things, and to execute with acknowledgments or affidavits if required, any and all documents and writings that may be necessary or proper to achieve the purposes and objectives of this Agreement. Each Party will take all necessary measures to see that the provisions of this Agreement are carried out in full.

7.2. Covenant of Good Faith and Fair Dealing.

Except as may be required by Law, neither Party will do anything which will have the effect of harming or injuring the right of the other Party to receive the benefits of this Agreement and each Party will refrain from doing anything which would render performance under this Agreement impossible or impractical. In addition, each Party will do everything which this Agreement describes that such Party will do.

8. PERMITTED DELAYS.

Any period of delay caused by acts of God; civil commotion; war; insurrection; riots; strikes; walk outs; picketing or other labor disputes; unavoidable shortages of labor, materials or supplies; damages to work in progress by reason of fire, flood, earthquake or other casualty; pandemics; epidemics; quarantine restrictions; litigation challenging the validity of this Agreement, the Project or any element thereof or which prohibits, delays or interferes with performance of the Agreement; moratoria; judicial decisions; governmental agency or entity (with the understanding that acts or failures to act of the City shall not excuse performance by the City) or utility; or any other cause which is not within the reasonable control of the Parties may extend the duration of the Agreement. Each Party will promptly notify the other Party of any delay hereunder as soon as possible after the same has been ascertained, and the term of this Agreement will be extended by the period of any such delay. Any claim for delay must be presented within ninety (90) days of knowledge of the cause of such delay or any entitlement to time extension will be deemed waived. Notwithstanding the foregoing, in no event shall Owner be entitled to a permitted delay due to an inability to obtain financing or proceed with development as a result of general market conditions, interest rates, or other similar circumstances that make development impossible, commercially impracticable, or infeasible.

9. DEFAULT.

9.1. Events of Default.

Except for automatic termination pursuant to Section 5.2 and subject to any written extension of time by mutual consent of the Parties or permitted delays pursuant to the provisions of Section 8, the uncured failure of either Party to perform any material term or provision of this Agreement will constitute a default. On written notice to a Party of its failure of Attachment 2 - TT Group Development Agreement.pdf -19-
performance, such Party will have thirty (30) days to cure such failure of performance; provided, however that if the nature of the failure of performance is such that it cannot be cured within such period, then the diligent prosecution to completion of the cure will be deemed to be cure within such period. Any notice of default given hereunder will be in writing and specify in detail the nature of the alleged default and the manner in which such default may be satisfactorily cured in accordance with this Agreement. During the time period herein specified for the cure of a failure of performance, the Party charged with such failure of performance will not be considered to be in default for purposes of termination of this Agreement or for purposes of institution of legal proceedings with respect thereto and, if the Owner is the Party that has failed to perform, then the City will not be excused from its performance under this Agreement during that period.

9.2. Remedies.

The Parties acknowledge and agree that the terms of this Agreement render ordinary remedies at law or equity inadequate for a breach of this Agreement. The Parties also acknowledge and agree that it would not be feasible or possible to restore the Owner Property to its natural condition once implementation of the Agreement has begun. Therefore, the Parties agree that upon default and expiration of any applicable cure period, the remedies available to the nondefaulting Party against a defaulting Party shall be limited to one or more of the following:
injunctive relief, mandate (traditional and/or administrative), specific performance, and/or termination; provided, however, that in the event of any legal action involving or arising out of this Agreement, the prevailing Party will be entitled to recover from the losing Party, reasonable litigation expenses, attorneys’ fees and costs incurred. Except as otherwise expressly stated in this Agreement, the rights and remedies of the Parties are cumulative, and the exercise by either Party of one or more of such rights or remedies shall not preclude the exercise by it, at the same or different times, of any other rights or remedies for the same default or any other default by the other Party.

9.3. Institution of Legal Action.

In addition to any other rights or remedies, either Party may institute legal action to cure, correct or remedy any uncured default, to enforce any covenants or agreements herein, to enjoin any threatened or attempted violation thereof or obtain any remedies consistent with the purpose of this Agreement. In the event of any such legal action involving or arising out of this Agreement, the prevailing Party will be entitled to recover from the losing Party, reasonable litigation expenses, attorneys’ fees and costs incurred. The Parties acknowledge that if a breach of this Agreement by the City occurs, irreparable harm is likely to occur to the Owner and damages may be an inadequate remedy. Therefore, to the extent permitted by law, the Parties agree that specific enforcement of this Agreement by the Parties is an appropriate and available remedy, in addition to any and all other remedies which may be available to the Parties under law or at equity.

9.4. No Waiver.

The failure by a Party to insist on the strict performance of any of the provisions of this Agreement by the other Party will not constitute a waiver of such Party’s right to demand strict performance by such other Party in the future. All waivers must be in writing to be effective or binding on the waiving Party and no waiver will be implied from any omission by Attachment 2 - TT Group Development Agreement.pdf -20-
a Party to take action. No express written waiver of any default will affect any other default or cover any other period of time except that specified in such express waiver.

9.5. Right of Mortgagee To Cure.

Any lender for whom notice has been given pursuant to Section 14.2 shall have the same right to cure a default as Owner. The deadline for a lender to cure a default shall commence with the giving of a notice of default to that lender, rather than pursuant to notice sent to Owner.

10. ESTOPPEL CERTIFICATES.

Either Party may at any time, and from time to time, deliver written notice to the other Party, requesting that the other Party certify in writing to the knowledge of the certifying Party that: (a) this Agreement is in full force and effect and is a binding obligation of the certifying Party; (b) this Agreement has not been amended or modified, except as expressly identified; (c) no default in the performance of the requesting Party’s obligations pursuant to Agreement exists, except as expressly identified. A Party receiving a request hereunder will execute and return the requested certificate within thirty (30) days after receipt of the request.

11. INCORPORATION BY REFERENCE.

11.1. Recitals.

The Parties agree that Recitals A through K are true and correct, constitute a substantive part of this Agreement, are hereby incorporated by reference herein as though set forth in full and the Parties have materially relied upon them as such in their respective determinations to execute this Agreement.

11.2. Exhibits.

Each Exhibit to this Agreement is incorporated herein by reference as though fully set forth herein.

12. APPLICABLE LAW.

This Agreement will be construed and enforced in accordance with the laws of the State of California.

13. NO JOINT VENTURE, PARTNERSHIP OR THIRD PARTY BENEFICIARY.

The City and the Owner hereby renounce the existence of any form of joint venture or partnership between them and expressly agree that nothing contained herein or in any document executed in connection herewith will be construed as making the City and the Owner joint venturers or partners. It is understood that the contractual relationship between the City and the Owner is such that the Owner is an independent contractor and not an agent of the City.

Furthermore, this Agreement is not intended or construed to create any third party beneficiary rights in any person who is not a party to this Agreement.

Attachment 2 - TT Group Development Agreement.pdf -21-

14. ENCUMBRANCES AND RELEASES ON REAL PROPERTY.

14.1. Discretion to Encumber.

The Parties agree that this Agreement will not prevent or limit the Owner in any manner, at the Owner’s sole discretion, from encumbering the Owner Property, or any part of the same including, without limitation, improvement thereon, by any mortgage, deed of trust or other security device securing financing with respect to the Owner Property. The City further agrees that it will not unreasonably withhold its consent to any modification requested by a lender so long as the modification does not materially alter this Agreement to the detriment of the City.

14.2. Entitlement to Written Notice of Default.

Any lender of the Owner which has filed a written request with the City for notice of default by Owner will be entitled to receive written notification from the City of any uncured default by the Owner in the performance of the obligations of the Owner under this Agreement.

14.3. Property Subject to Pro Rata Claims.

Any mortgagee or beneficiary which comes into possession of the Owner Property or any part thereof, pursuant to foreclosure of a mortgage or deed of trust, or deed in lieu of such foreclosure, will take the Owner Property or part thereof, subject to (i) any pro rata claims for payments or charges against the Owner Property or part thereof secured by such mortgage or deed of trust, which accrued prior to the time that such mortgagee or beneficiary comes into possession of the Owner Property or part thereof; and (ii) the terms and conditions of this Agreement.

15. BINDING EFFECT.

15.1. Entirety of Owner Property.

All of the Property shall be and shall remain subject to this Agreement throughout the Term. All of the terms, provisions, covenants and obligations contained in this Agreement will be binding upon the Parties and their respective successors and assigns, and all other persons or entities acquiring all or any part of the Owner Property, and will inure to the benefit of such Parties and their respective successors and assigns.

15.2. Owner Property and Agreement Remain Linked.

Subject to Section 15.3, Owner shall have the right to sell, transfer or assign the Owner Property and its rights under the Agreement. However, any person acquiring any interest in the Owner Property shall do so subject to this Agreement. Conversely, no sale, transfer or assignment of any right or interest under this Agreement shall be made unless made together with a corresponding sale, transfer or assignment as to the Owner Property. If less than all of the Owner Property is sold, the new owner of that portion shall be responsible for all Development, including Dedications and the provision of public facilities, within that portion, and the Owner (or Attachment 2 - TT Group Development Agreement.pdf -22-
its successors as to the entire Owner Property) shall remain responsible for all such matters outside that portion of the Owner Property.

15.3. Assignment; Notice; City Consent.

The rights and obligations of Owner hereunder shall not be assigned or transferred, except that (a) transfers by Owner to an affiliated entity that takes title to all or a portion of Owner’s Property and assumes Owner’s future obligations hereunder with respect to such portion of the Owner’s Property shall be permissible without consent of the City, provided Owner shall be released from its obligations under this Agreement only as to that portion of the Owner’s Property that is subject to such sale, transfer or conveyance, and (b) on thirty (30) days written notice to City, including submittal of all documentation reasonably required by the City Manager to evaluate the assignee's financial resources, Owner may assign all or a portion of Owner’s rights and obligations thereunder to any person or persons, partnership or corporation who purchases all or a portion of Owner’s right, title and interest in the Owner Property, provided that (i) such assignee or grantee assumes in writing each and every obligation of Owner hereunder yet to be performed which relates to the portion(s) of the Owner Property being assigned; and (ii) Owner obtains the consent of City through its City Manager to the assignment, which consent shall not be unreasonably withheld. Provided the Owner’s thirty (30) day notice includes submittal of all documentation reasonably required by the City Manager to evaluate the assignee's financial resources and the assumption by the assignee or grantee, the consent of the City shall be deemed to occur upon the thirtieth (30th) day of the notice period unless within that period the City provides written notice withholding consent and explaining the reasons it is withholding consent. The notice to City shall include the identity of any such assignee, all documentation reasonably required by the City Manager to evaluate the assignee's financial resources, and a copy of the written assumption of the assignor’s obligations hereunder pertaining to the portion assigned or transferred. After such notice and the receipt of such consent, the assignor shall have no further obligations or liabilities hereunder. If any assignee or transferee of a portion of the Owner Property breaches this Agreement, such breach shall not affect the rights and benefits of other assignees or transferees under this Agreement and City shall continue to perform its obligations under in this Agreement with respect thereto.

16. TERMS AND CONSTRUCTION.

16.1. Severability.

If any term, provision, covenant or condition of this Agreement is determined to be invalid, void or unenforceable by judgment or court order, than the remainder of this Agreement will remain in full force and effect, unless enforcement of this Agreement, as so invalidated, would be unreasonable or grossly inequitable under all the circumstances or would frustrate the stated purposes of this Agreement.

16.2. Entire Agreement.

This Agreement contains all representations and terms of agreement by and between the Parties and constitutes the entire agreement between the City and the Owner. Any prior correspondence, memoranda, agreements, warranties or representations, oral or written, Attachment 2 - TT Group Development Agreement.pdf -23-
including that certain Development Agreement by and between the City and Centex Homes dated October 14, 2003 and recorded as Instrument No. 2003-960052 in the Official Records of Riverside County and the First and Second Operating Memorandum of Understanding entered into pursuant thereto which expired by their own terms and have no further force or effect, are superseded in total by this Agreement. Upon execution Owner, the final Project Agreement shall supersede the draft Project Agreement attached hereto as Exhibit “C” which fully executed Project Agreement shall be incorporated herein by reference.

16.3. Authority; Counterpart Signature Pages.

Each individual signing this Agreement on behalf of City and Owner warrants and represents that he or she has full authority to execute the same on behalf of City and Owner, respectively, and that he or she is acting within the scope of his or her authority. Each Party further represents that it has the legal authority to enter into this Agreement and to perform all obligations under this Agreement.

For convenience, the signatures of the Parties may be placed and acknowledged on separate pages and, when attached to this Agreement, will constitute this document as one complete Agreement.

16.4. Time.

Time is of the essence in this Agreement and of each and every term and condition hereof.

16.5. Notices.

Any notice shall be in writing and given by delivering the same in person or by sending the same by registered, or certified mail, return receipt requested, with postage prepaid, by overnight delivery, or by facsimile or electronic transmission to the respective mailing addresses, as follows:

If to City: City of Lake Elsinore
130 S. Main Street
Lake Elsinore, CA 92530
Attn: City Manager
Email: [email protected]
With a copy to: Leibold McClendon & Mann, PC
9841 Irvine Center Drive, Suite 230
Irvine, CA 92618
Attn: Barbara Leibold, Lake Elsinore City Attorney
Email: [email protected]
Attachment 2 - TT Group Development Agreement.pdf -24-
If to Owner: Jennifer Chen
T.T. Group, Inc.
606 N. First Street
San Jose, CA 95112
Email: [email protected]
With a copy to: Booke & Ajloun
Attn: Victoria Booke
606 N. First Street
San Jose, CA 95112
Email: [email protected]
Either City or Owner may change its mailing address at any time by giving written notice of such change to the other in the manner provided herein at least ten (10) days prior to the date such change is effected. All notices under this Agreement shall be deemed given, received, made or communicated on the earlier of the date personal delivery is effected or on the delivery date or attempted delivery date shown on the return receipt, air bill or facsimile.

16.6. Construction, Number and Gender.

This Agreement will be construed as a whole according to its common meaning and not strictly for or against either Party in order to achieve the objectives and purposes of the Parties hereunder. Whenever required by the context of this Agreement, the singular will include the plural and vice versa, and the masculine gender will include the feminine and neuter genders. In addition, “will” is the mandatory and “may” is the permissive.

17. INDEMNIFICATION.

The Owner shall defend (with counsel acceptable to the City), indemnify, and hold harmless the City, its officers, agents, employees, consultants, officials, commissions, councils, committees, boards and representatives (collectively referred to individually and collectively as "Indemnitees") harmless from liability for damage or claims for damage for personal injury, including death and claims for property damage which may arise out of the direct or indirect activities of the Owner with respect to the Development of the Owner Property, or arising out of or incident to any acts, omissions, negligence, or willful misconduct of Owner, its employees, contractors, or agents in connection with the performance of this Agreement. This indemnification excludes that portion of any claim to the extent caused by the sole negligence or willful misconduct of City. Owner agrees to and will defend the Indemnitees from any claim, action, or proceeding to attack, set aside, void, or annul an approval by Indemnitees concerning approval, implementation and construction of this Agreement or the Existing Development Approvals in connection with the Development of the Owner Property or any of the proceedings, acts or determinations taken, done, or made prior to the decision, or to determine the reasonableness, legality or validity of any condition attached thereto. The Owner's indemnification is intended to include, but not be limited to, damages, fees and/or costs awarded against or incurred by Indemnitees and costs of suit, claim or litigation, including without limitation attorneys' fees, penalties and other costs, liabilities and expenses incurred by Indemnitees in connection with such proceeding. City shall promptly notify Owner of any such claim, action or proceeding, and City Attachment 2 - TT Group Development Agreement.pdf -25-
shall cooperate in the defense. Owner’s obligation to indemnify City hereunder shall survive any termination of this Agreement.

18. RECORDATION BY CITY CLERK.

Pursuant to Government Code Section 65868.5, the City Clerk will record a copy of the Agreement in the Records of the County Recorder. [SIGNATURES ON NEXT PAGE]
Attachment 2 - TT Group Development Agreement.pdf -26-
IN WITNESS WHEREOF, City and Owner have executed this Agreement as of the date first hereinabove written.
“CITY”

CITY OF LAKE ELSINORE,
a municipal corporation
By:

Steve Manos, Mayor
ATTEST:

Candice Alvarez, MMC, City Clerk
APPROVED AS TO FORM:

By:

Barbara Leibold, City Attorney
“OWNER”
T.T. GROUP, INC.,
a California corporation
By:

Name:

Title:

Attachment 2 - TT Group Development Agreement.pdf

STATE OF CALIFORNIA )
) §
County of )
On , before me, a
Notary Public, personally appeared who proved to me on
the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument.

I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct
WITNESS my hand and official seal.
________________________________
Signature of Notary
(Affix seal here)
A notary public or other officer completing this
certificate verifies only the identity of the individual who signed the document to which this certificate is
attached, and not the truthfulness, accuracy, or
validity of that document.

Attachment 2 - TT Group Development Agreement.pdf

STATE OF CALIFORNIA )
) §
County of )
On , before me, a
Notary Public, personally appeared who proved to me on
the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument.

I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct
WITNESS my hand and official seal.
________________________________
Signature of Notary
(Affix seal here)
A notary public or other officer completing this
certificate verifies only the identity of the individual who signed the document to which this certificate is
attached, and not the truthfulness, accuracy, or
validity of that document.

Attachment 2 - TT Group Development Agreement.pdf

STATE OF CALIFORNIA )
) §
County of )
On , before me, a
Notary Public, personally appeared who proved to me on
the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument.

I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct
WITNESS my hand and official seal.
________________________________
Signature of Notary
(Affix seal here)
A notary public or other officer completing this
certificate verifies only the identity of the individual who signed the document to which this certificate is
attached, and not the truthfulness, accuracy, or
validity of that document.

Attachment 2 - TT Group Development Agreement.pdf

STATE OF CALIFORNIA )
) §
County of )
On , before me, a
Notary Public, personally appeared who proved to me on
the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument.

I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct
WITNESS my hand and official seal.
________________________________
Signature of Notary
(Affix seal here)
A notary public or other officer completing this
certificate verifies only the identity of the individual who signed the document to which this certificate is
attached, and not the truthfulness, accuracy, or
validity of that document.

Attachment 2 - TT Group Development Agreement.pdf Exhibit A EXHIBIT “A”

LEGAL DESCRIPTION OF THE OWNER PROPERTY
[TO BE INSERTED]
Attachment 2 - TT Group Development Agreement.pdf Exhibit B EXHIBIT “B”

VICINITY MAP
[TO BE INSERTED]
EXHIBIT “C”

EXISTING DEVELOPMENT IMPACT FEES
[TO BE INSERTED]
Attachment 2 - TT Group Development Agreement.pdf Exhibit D EXHIBIT “D”

CONDITIONS OF APPROVAL
[TO BE INSERTED]
1 Attachment 3 - Canadian Pacific & Strack Farms
Development Agreement.pdf

RECORDING REQUESTED BY AND
WHEN RECORDED MAIL TO:

City of Lake Elsinore
130 S. Main Street
Lake Elsinore, CA 92530
Attn: City Clerk
SPACE ABOVE THIS LINE FOR RECORDER’S USE
(Exempt from Recording Fees Per Govt. Code §27383)

DEVELOPMENT AGREEMENT

BY AND BETWEEN THE

CITY OF LAKE ELSINORE
AND

CANAIAN PACIFIC LAND, LLC AND STRACK FARMS LAND, LLC
(TENTATIVE TRACT MAP NO. 31370)

TABLE OF CONTENTS
Page
Attachment 3 - Canadian Pacific & Strack Farms Development Agreement.pdf -i1. DEFINITIONS ................................................................................................................3

2. DEVELOPMENT OF THE OWNER PROPERTY....................................................6

2.1. Uses. ......................................................................................................................6

2.2. Intensity................................................................................................................6

2.3. Size........................................................................................................................6

2.4. Slopes....................................................................................................................6

2.5. Tentative Subdivision Map Extensions and Modifications. ............................7

2.6. Timing of Development.......................................................................................7

3. DEVELOPMENT EXACTIONS...................................................................................7

3.1. Reservations, Dedications and Improvements; Summerhill Drive Extension Project Rights of Way. ......................................................................7

3.2. Owner’s Obligation to Pay Fees.........................................................................8

3.3. Development Agreement Fees............................................................................8

3.4. Affordable Housing Fee......................................................................................9

3.5. Participation in CFD 2015-1 and CFD 2015-2..................................................9

3.6. Financing of Public Facilities; Future CFDs. .................................................10

3.7. Compliance with Laws......................................................................................11

3.8. Prevailing Wage Indemnification. ...................................................................11

4. VESTED RIGHTS. .......................................................................................................12

4.1. Development of the Owner Property...............................................................12

4.2. No New Development Impact Fees. .................................................................12

4.3. Reserved Powers................................................................................................13

4.3.1. Processing Fees and Charges. ..........................................................................13

4.3.2. Procedural Regulations.....................................................................................13 TABLE OF CONTENTS (cont'd)
Page
Attachment 3 - Canadian Pacific & Strack Farms Development Agreement.pdf -ii4.3.3. Building Codes...................................................................................................13

4.3.4. Non-Conflicting Regulations. ...........................................................................13

4.3.5. Certain Conflicting Regulations. .....................................................................14

4.3.6. Regulations Needed to Protect the Health and Safety. ..................................14

4.3.7. Regulations by Other Public Agencies. ...........................................................14

4.3.8. General and Special Taxes. ..............................................................................14

4.3.9. End Users. ..........................................................................................................14

4.4. Subsequent Actions and Approvals.................................................................14

4.5. State and Federal Laws.....................................................................................15

4.6. Police Power and Taxing Power. .....................................................................15

4.7. Supersedure by Subsequent Laws. ..................................................................15

5. DURATION OF AGREEMENT. ................................................................................16

5.1. Term. ..................................................................................................................16

5.2. Termination. ......................................................................................................16

5.3. Effect of Termination........................................................................................16

6. PERIODIC REVIEW; OPERATING MEMORANDA; AMENDMENT. .............17

6.1. Periodic Review. ................................................................................................17

6.2. Operating Memoranda. ....................................................................................17

6.3 Amendment........................................................................................................17

7. COVENANT OF FURTHER ASSURANCES AND FAIR DEALING. ..................18

7.1. Further Assurances...........................................................................................18

7.2. Covenant of Good Faith and Fair Dealing......................................................18

8. PERMITTED DELAYS. ..............................................................................................18

9. DEFAULT......................................................................................................................18

9.1. Events of Default. ..............................................................................................18 TABLE OF CONTENTS (cont'd)
Page
Attachment 3 - Canadian Pacific & Strack Farms Development Agreement.pdf -iii9.2. Remedies. ...........................................................................................................19

9.3. Institution of Legal Action................................................................................19

9.4. No Waiver. .........................................................................................................19

9.5. Right of Mortgagee To Cure. ...........................................................................20

10. ESTOPPEL CERTIFICATES.....................................................................................20

11. INCORPORATION BY REFERENCE......................................................................20

11.1. Recitals. ..............................................................................................................20

11.2. Exhibits...............................................................................................................20

12. APPLICABLE LAW. ...................................................................................................20

13. NO JOINT VENTURE, PARTNERSHIP OR THIRD PARTY BENEFICIARY. 20

14. ENCUMBRANCES AND RELEASES ON REAL PROPERTY.............................21

14.1. Discretion to Encumber....................................................................................21

14.2. Entitlement to Written Notice of Default........................................................21

14.3. Property Subject to Pro Rata Claims..............................................................21

15. BINDING EFFECT. .....................................................................................................21

15.1. Entirety of Owner Property. ............................................................................21

15.2. Owner Property and Agreement Remain Linked..........................................21

15.3. Assignment; Notice; City Consent...................................................................22

16. TERMS AND CONSTRUCTION. ..............................................................................22

16.1. Severability. .......................................................................................................22

16.2. Entire Agreement. .............................................................................................22

16.3. Authority; Counterpart Signature Pages........................................................23

16.4. Time....................................................................................................................23

16.5. Notices. ...............................................................................................................23

16.6. Construction, Number and Gender.................................................................24 TABLE OF CONTENTS (cont'd)
Page
Attachment 3 - Canadian Pacific & Strack Farms Development Agreement.pdf -iv17. INDEMNIFICATION...................................................................................................24

18. RECORDATION BY CITY CLERK..........................................................................25 Attachment 3 - Canadian Pacific & Strack Farms Development Agreement.pdf -1-

EXHIBITS

EXHIBIT A LEGAL DESCRIPTION

EXHIBIT B VICINITY MAP

EXHIBIT C EXISTING DEVELOPMENT IMPACT FEES

EXHIBIT D CONDITIONS OF APPROVAL
Attachment 3 - Canadian Pacific & Strack Farms Development Agreement.pdf -1-

DEVELOPMENT AGREEMENT

BY AND BETWEEN THE
CITY OF LAKE ELSINORE AND T.T. GROUP, INC.
(Pursuant To Government Code
Sections 65864 -65869.5)
This Development Agreement (“Agreement”) is entered into on ___________, 2024, between Canadian Pacific Land, LLC, a Florida limited liability company, and Strack Farms Land, LLC, a Delaware limited liability company (“Owner”), and the City of Lake Elsinore, a California municipal corporation (“City”). Owner and City are sometimes singularly referred to herein as a “Party” and are collectively referred to herein as the “Parties.”

RECITALS
A. All initially-capitalized words, terms, and phrases used, but not otherwise defined, in the Recitals shall have the meanings assigned to them in Section 1 of this Agreement, unless the context clearly indicates otherwise.

B. To strengthen the public planning process, encourage private participation in comprehensive planning, and reduce the economic risk of development, the legislature of the State of California adopted the “Development Agreement Act,” Government Code Sections 65864 through 65869.5. The Development Agreement Act authorizes the City to enter into an agreement with any person having a legal or equitable interest in real property regarding the future development of such property and to vest certain development rights therein.

C. Pursuant to the Development Agreement Act, the City Council adopted Ordinance No. 996 (1995) as amended by Ordinance No. 1393 (2018) establishing procedures and requirements for consideration of development agreements as set forth in LEMC Chapter 19.12 (collectively, the “Development Agreement Ordinance”).

D. On March 22, 2005, the City Council approved Subsequent Environmental Impact Report (SEIR) (SCH No. 2004071082), Amendment No. 1 to the Tuscany Hills Specific Plan No. 89-3, General Plan Amendment No. 2004-05, Zone Change No. 2004-06, and TTM No. 31370, subdividing 368 acres into 807 single family residential lots, along with community and neighborhood parks, basins, lift station and open space located in the northeast portion of the City commonly known as North Tuscany. On June 13, 2017, the City Council granted a six-year discretionary extension of TTM 31370 to June 1, 2022. Subsequently, TTM 31370 was statutorily extended by the provisions of AB 116 to June 1, 2024.

E. TTM 31370 covers property on the south side of Greenwald Avenue, on both sides of the extension of Summerhill Drive north of the existing Tuscany Hills community, to the west of Canyon Lake and to the east of Bella Vista Drive (Assessor’s Parcel Nos.: 349-280-025, -028, -029, -038, -040, -042, -044, -048, -050 and -051; 349-290-017, -018, -026 and -027; 349-390-001 thru -004, -015 and -016).

Attachment 3 - Canadian Pacific & Strack Farms Development Agreement.pdf -2- F. Owner owns a portion of the land within TTM 31370 consisting of Assessor’s Parcel Nos.: 349-280-050 and 349-290-026 with approximately 223 referred to herein as the “Owner Property”. The parcels of land comprising the Owner Property are more particularly described in the Legal Description (Exhibit “A”) and depicted in the Vicinity Map (Exhibit “B”).

The balance of land within TTM 31370 consisting of Assessor Parcel Numbers lots 349-280-025, -028, -029, -038, -040, -042, -044, -048, and -051; 349-290-017, -018, and -027; 349-390-001 thru -004, -015 and -016) with approximately 584 lots are owned by T.T. Group, Inc., a California corporation.

G. Development of TTM 31370 is impaired by the lack of adequate infrastructure, particularly roadway improvements providing access to the Owner Property, including the extension of Summerhill Drive from the southern connection at the terminus of the existing Summerhill Drive extending northerly to Greenwald Avenue. The Parties desire to continue discussions regarding the financing and construction of necessary infrastructure improvements and to vest the Owner’s land use entitlements during these ongoing discussions.

H. On April 16, 2024, the City of Lake Elsinore Planning Commission held a duly noticed public hearing to consider Owner’s application for this Agreement and recommended to the City Council approval of this Agreement.

I. On May 14, 2024, the City Council held a duly noticed public hearing to consider this Agreement and found and determined that this Agreement (a) is consistent with the objectives, policies, general land uses and programs specified in the City’s General Plan and any applicable specific plan; (b) is compatible with the uses authorized in, and the regulations prescribed for the Owner Property and the surrounding area and will not adversely affect the orderly development of Owner Property or the preservation of property values; (c) is in conformity with public convenience, general welfare and good land use practices; (d) will have an overall positive effect on the health, safety and welfare of the residents of and visitors to the City; and (e) constitutes a lawful, present exercise of the City’s police power and authority under the Development Agreement Act and Development Agreement Ordinance.

J. Based on the findings set forth in Recital I, the City Council entered into this Agreement pursuant to and in compliance with the requirements of the Development Agreement Act and the Development Agreement Ordinance; and did introduce for first reading Ordinance No. __ (the “Enabling Ordinance”). On ________, 2024 the City Council conducted the second reading and adoption of the Enabling Ordinance did thereby approve this Agreement.

K. The foregoing Recitals constitute a substantive part of this Agreement, and the Parties have materially relied upon them as such in their respective determinations to execute this Agreement.

AGREEMENT
NOW, THEREFORE, in consideration of the mutual terms, obligations, promises, covenants and conditions contained herein and for other valuable consideration, the sufficiency of which is hereby acknowledged, the Parties, and each of them, agree as follows:

Attachment 3 - Canadian Pacific & Strack Farms Development Agreement.pdf -3-

1. DEFINITIONS

1.1. “Agreement” means this Development Agreement, including the attached Exhibits. The term “Agreement” shall include any Operating Memoranda and/or amendment properly approved and executed pursuant to Section 6.2 and 6.3, respectively.

1.2. “Applicable Rules” means this Agreement, the Existing Development Approvals, the Existing Land Use Regulations, the Existing Development Impact Fees, and the Development Agreement Ordinance.

1.3. “Building Codes” means standard uniform codes adopted by the City governing construction, including without limitation, the Housing Code, the Building Code, the Energy Code, the Green Building Code, the Plumbing Code, the Electrical Code, the Mechanical Code, and the Fire Code (including amendments thereto by the Riverside Fire Authority), as modified and amended by official action of the City as set forth in Title 15 of the LEMC as may be amended from time to time.

1.4. “CEQA” means the California Environmental Quality Act of 1970 (California Public Resources Code § 21000 et seq.) and the state CEQA Guidelines (California Code of Regulations, Title 14, § 15000 et seq.).

1.5. “City” means the City of Lake Elsinore, a municipal corporation.

1.6. “City Council” means the duly elected City Council of the City.

1.7. “City Manager” means the City Manager of the City and his or her authorized designees.

1.8. “Conditions of Approval” means the conditions imposed by the City in connection with the approval and extension of Tentative Tract Map No. 31370, including the mitigation measures identified in the Supplemental Environmental Impact Report (SCH No. 2004071082) and its Mitigation Monitoring Program which are collectively attached as Exhibit “D.” Conditions of approval and any applicable mitigation measures imposed in connection with any Subsequent Approval shall be appended to Exhibit “D” and shall prevail in the event of a conflict with the original Conditions of Approval to the Existing Development Approvals.

1.9. “Day” refers to a calendar day, unless otherwise specified.

1.10. “Dedication” and “Dedicate” shall mean Owner’s grant of real property or an interest therein to the City or another governmental, public agency or non-profit entity for a public purpose, including, without limitation, dedication of right-of-way to the City for the public rights of way together with construction, drainage and slope easements associated therewith.

1.11. “Development” means the construction and/or installation of structures, improvements and facilities on the Owner Property as set forth in this Agreement including, without limitation, grading, the construction of infrastructure and public facilities (whether located within or outside the Owner Property), the construction of buildings and the installation of landscaping.

Attachment 3 - Canadian Pacific & Strack Farms Development Agreement.pdf -4-

1.12. “Development Agreement Act” means Government Code Sections 65864 through 65869.5.

1.13. “Development Agreement Fee” is defined in Section 3.3 of this Agreement.

1.14. “Development Agreement Ordinance” means Ordinance No. 996 pursuant to which the City has adopted procedures and requirements for considering, approving and administering development agreements as codified in Section 19.12.005, et seq. of the LEMC and as may be amended from time to time.

1.15. “Development Exaction” shall mean and include Development Impact Fees, Dedications, Reservations, and any other obligation to pay money, construct facilities, or provide land as a condition of Development or of obtaining a Development Approval.

1.16. “Development Impact Fees” means any impact fees, linkage fees, or exactions, and other similar impact fees or charges (whether collected as a condition to issuance of grading and/or building permits, or otherwise) imposed by the City on and in connection with Development pursuant to Existing Land Use Regulations. Development Impact Fees do not include (a) Processing Fees and Charges; (b) impact fees, linkage fees, exactions, assessments or fair share charges or other similar fees or charges imposed by other governmental entities regardless of whether the City is required to collect or assess such fees pursuant to applicable laws (e.g., school district impact fees pursuant to Government Code Section 65995), or (c) general or special taxes and assessments.

1.17. “Effective Date” means the date this Agreement and the Enabling Ordinance are approved by the City Council.

1.18. “Enabling Ordinance” is defined in Recital J.

1.19. “Existing Development Approvals” means Tentative Tract Map No. 31370 and the Tuscany Hills Specific Plan No. 89-3 as amended by Amendment No. 1, and any other entitlement relating to the Development of the Owner Property approved by the City prior to the Effective Date in compliance with CEQA and subject to the Conditions of Approval and the City Council’s findings and determinations with respect thereto.

1.20. “Existing Development Impact Fees” means the categories of Development Impact Fees in effect as of the Effective Date as set forth in Exhibit “C” to be imposed on the Development of the Owner Property during the Term in such amount as in effect at the time such Development Impact Fees are paid.

1.21. “Existing Land Use Regulations” means the Land Use Regulations in effect as of the Effective Date applicable to the Development of the Owner Property during the Term except as otherwise provided by the Reserved Powers set forth in Section 4.2 et seq.

1.22. “Government Code” means the California Government Code.

1.23. “Indemnitees” means the City and its elected and appointed officials, employees, volunteers, agents, and representative.

Attachment 3 - Canadian Pacific & Strack Farms Development Agreement.pdf -5-

1.24. “Land Use Regulations” means the City General Plan, the Tuscany Hills Specific Plan, and all ordinances, resolutions, codes, rules, regulations and official policies of the City adopted by ordinance or resolution governing the development and use of land, including zoning, permitted uses, density or intensity of use, subdivision requirements, the maximum height and size of proposed buildings, design, improvement and construction standards and specifications, and the provisions for Development Exactions. "Land Use Regulations" does not include any City ordinance, resolution, code, rule, regulation or official policy, governing: (a) the conduct of businesses, professions, and occupations except subdivisions; (b) taxes and assessments; (c) the control and abatement of nuisances; and/or (d) the exercise of the power of eminent domain.

1.25. “Law” means any official legislative enactment of a governmental agency, public body, or court that binds the Parties. "Laws" shall include but not be limited to case law, constitutional provisions, statutes, ordinances, initiatives, resolutions, policies, orders, rules, and regulations. A matter is a Law regardless of whether it was imposed by a legislative body (such as the City Council or State Legislature), an administrative agency (such as the Public Utilities Commission), the electorate (as by initiative or referendum), court (by judgment, order or opinion), or any other official body (such as the Planning Commission), and regardless of whether it is federal, state, or local.

1.26. “LEMC” means the Lake Elsinore Municipal Code as amended from time to time.

1.27. “Owner” means T.T. Group, Inc., a California corporation and its permitted successors in interest to the Owner Property, and/or permitted assignees of Owner's rights under this Agreement.

1.28. “Owner Property” means the real property which is the subject of this Agreement and which is described in Recital F, and more particularly described in Exhibit “A” and depicted in Exhibit “B” attached hereto and incorporated by this reference.

1.29. “Parties” means the Owner and the City.

1.30. “Periodic Review” is defined in Section 6.1.

1.31. “Processing Fees and Charges” means all processing fees and charges required by the City in connection with new construction, including, but not limited to, Development Approval application fees, plan-check and inspection fees, fees for monitoring compliance with any Development Approval or for monitoring compliance with environmental impact mitigation measures. “Processing Fees and Charges” shall not include Development Impact Fees or Development Exactions.

1.32. “Project” means the Development of the Owner Property for residential and related ancillary uses and open space uses, proposed by the Owner to include approximately 584 detached single-family homes as set forth in the Applicable Rules, including Conditions of Approval.

Attachment 3 - Canadian Pacific & Strack Farms Development Agreement.pdf -6-

1.33. “Reservation” means the setting aside of land for future public use, without any legal right, title or interest being conveyed other than the promise to convey an interest upon payment of fair market value for such land.

1.34. “Reserved Powers” means the rights and authority excluded from the assurances and rights provided to Owner under this Agreement and reserved to the City under Section 4.3 of this Agreement.

1.35. “Subsequent Approvals” shall mean and include any future entitlements, including residential design review and any land use permits, variance, conditional use permit, building permits, grading permits, encroachment permits, landscape and signage plan, subdivision tract maps, parcel maps, lot line adjustments, and other similar permits, required in connection with the Development of the Owner Property approved by the City in compliance with CEQA and the City Council’s findings and determinations with respect thereto.

1.36. “Summerhill Drive Extension Project” means the construction of two lanes of Summerhill Drive from the existing terminus at the south extending northerly to Greenwald Avenue in conformance with the final alignment and final plans approved by the City.

1.37. “Term” is defined in Section 5.1.

2. DEVELOPMENT OF THE OWNER PROPERTY.

2.1. Uses.

The Owner Property may be used in accordance with the Existing Development Approvals, all Subsequent Approvals, and the Existing Land Use Regulations.

2.2. Intensity.

Permitted density and intensity of use vested hereby shall be the maximum permitted by the Existing Development Approvals, all Subsequent Approvals, and the Existing Land Use Regulations.

2.3. Size.

The maximum height and size of buildings vested hereby shall be as set forth in the Existing Development Approvals, all Subsequent Approvals, and the Existing Land Use Regulations.

2.4. Slopes.

The City shall encourage and allow the use of the latest technology for spray seeding and drip irrigation of slopes consistent with applicable Laws.

Attachment 3 - Canadian Pacific & Strack Farms Development Agreement.pdf -7-

2.5. Tentative Subdivision Map Extensions and Modifications.

In accordance with Government Code §66452.6(a)(1), Tentative, Tentative Tract Map No. 31370 in connection with Development of the Owner Property, shall be granted an extension of time for the greater of the Term of this Agreement (in which case no such extension application to extend the expiration date of the tentative map need be filed) or such time approved in accordance with State law or the Existing Land Use Regulations.

To the extent permitted by applicable Laws, including the Subdivision Map Act (Government Code §66410 et seq.), minor modifications to existing tentative tract maps shall be reviewed by the City Engineer or Community Development Director without a public hearing for matters such as moving streets, changes to pad elevations, re-alignment and loss of lots, and related changes that do not increase the number of lots, when such changes are required for compliance with (i)WQMP or drainage related re-design requirements, (ii) MSHCP feasibility reconfiguration, (iii) fire department requirements and/or (iv) other applicable Laws.

2.6. Timing of Development.

In order to avoid the result in Pardee Construction Co. v. City of Camarillo, 37 Cal.3d 465 (1984), the City and Owner agree that Owner shall have the right, without obligation, to develop the Project in such order and at such rate and times as Owner deems appropriate within the exercise of its subjective business judgment, subject only to the Existing Development Approvals. Furthermore, the City shall not (whether by City Council action, initiative or otherwise) limit the rate or timing of Development of the Owner Property except as expressly authorized by the Existing Development Approvals. Nothing in this section shall be construed to limit the City’s right to require that Owner timely provide all Reservations, Dedications and public improvements in accordance with the Existing Development Approvals and this Agreement.

3. DEVELOPMENT EXACTIONS.

3.1. Reservations, Dedications and Improvements; Summerhill Drive Extension Project Rights of Way.

Reservations and Dedications and the provision of improvements and facilities for public purposes shall be those, and only those, required by the Conditions of Approval adopted by the City in connection with the Existing Development Approvals any and all Subsequent Approvals, the Existing Land Use Regulations, and/or this Agreement, including the Summerhill Drive Extension Project.

To accelerate the construction of the Summerhill Drive Extension Project, the City has advanced funds toward the cost of engineering and design (the “City Advance”). To that end, City has expended approximately Four Hundred Ten Thousand Four Hundred Forty-Two Dollars ($410,442) pursuant to the following agreements: 1) a Professional Services Agreement with Glenn Lukos Associates, Inc. to provide biological and regulatory consulting services for the Summerhill Drive Extension Project, including preparation of a General Biological Report and a Jurisdictional Delineation Report to be used for permitting purposes, and 2) a Professional Services Agreement with Hunsaker and Associates, Inc. to provide civil engineering design services, Attachment 3 - Canadian Pacific & Strack Farms Development Agreement.pdf -8- including traffic signal, hydrology, storm drain improvements, grading, geotechnical and all other engineering disciplines required to complete a constructible design of the Summerhill Drive Extension Project.

No later than ninety (90) days after the later of (a) the date of approval by City of the final alignment and final plans for the Summerhill Drive Extension Project or (b) the date of approval of this Development Agreement, Owner shall at no cost to the City make an irrevocable offer of dedication of fee interest in the right of way for the Summerhill Extension Project located on the Owner Property together with construction, slope and drainage easements as required by City in connection with the Summerhill Drive Extension Project. Owner may reserve a utility and or other infrastructure easement(s) within the dedicated right of way so long as such reservations do not interfere with the construction, completion and operation of the Summerhill Drive Extension Project.

In the event City obtains funding and completes construction of the Summerhill Drive Extension Project prior to the Owner’s development of the Project, Owner shall reimburse City Owner’s fair share contribution of the City’s Advance and cost of construction of the Summerhill Drive Extension Project prior to issuance by City of the first building permit (not including model homes) for the Project.

If City does not obtain the necessary funding and/or complete the construction of the Summerhill Extension Project prior to the Owner’s development of the Project, then Owner shall complete the construction of the Summerhill Drive Extension Project prior to issuance by City of the first building permit (not including model homes) for the Project. During the construction of the Summerhill Extension Project, the City and the Owner will exercise best efforts to coordinate with the construction schedules for EVMWD sewer and water facilities and other infrastructure facilities so as to minimize public inconvenience and disruption of traffic and maximize the efficiency of in-road construction projects.

3.2. Owner’s Obligation to Pay Fees.

During the Term of this Agreement, Owner shall pay all Existing Development Impact Fees and all Processing Fees and Charges imposed by City and any other fees and charges imposed by any other regulatory agency with jurisdiction over the Owner Property within the time and in the manner prescribed by such agency or the City, and shall receive such credits and/or reimbursements for improvements constructed in accordance with the provisions set forth in the LEMC. Owner shall pay Existing Development Impact Fees and Processing Fees and Charges at the prevalent rate in effect as of the date such fees and charges are paid.

3.3. Development Agreement Fees.

Upon the City’s issuance of each building permit for each residential dwelling unit to be constructed within the Project by Owner, Owner shall pay to City a Development Agreement Fee in the amount of Five Thousand Five Hundred Dollars ($5,500) (each, a “DAG Fee” and collectively, “DAG Fees”). DAG Fees shall be deposited by City into a capital facilities fund to be used toward the construction of capital facilities as determined by City Attachment 3 - Canadian Pacific & Strack Farms Development Agreement.pdf -9- in its sole and absolute discretion. If a Community Facilities District (“CFD”) special tax is requested by the Owner and approved by the City Council acting in its reasonable discretion and in accordance with applicable laws pursuant to Section 3.6 of this Agreement, DAG fees may be paid out of the CFD or reimbursed from the CFD. Owner’s obligation to pay DAG Fees shall survive termination of this Agreement.

3.4. Affordable Housing Fee.

Upon issuance of each residential building permit for development on the Owner Property, Owner shall pay to City an affordable housing fee of $2.00 per habitable square foot of residential development (“Affordable Housing Fee”). Owner’s obligation to pay the Affordable Housing Fee shall survive termination of this Agreement.

3.5. Participation in CFD 2015-1 and CFD 2015-2.

Owner agrees to annex the Owner Property into City of Lake Elsinore Community Facilities District No. 2015-1 (Law Enforcement, Fire and Paramedic Services) (“CFD No. 2015-1”) or into such successor district formed to fund law enforcement, fire and paramedic services pursuant to the Mello-Roos Community Facilities Act of 1982, as amended, and to pay any special taxes associated therewith to offset the annual negative fiscal impacts of the Owner’s project on public safety operations in the City. For information purposes only, the special tax rate in effect in Community Facilities District No. 2015-1 as of the Effective Date is approximately Seven Hundred Seventy and 53/100 Dollars ($770.53) per year for each singlefamily residence and Four Hundred Seventy-One and 32/100 Dollars ($471.32) per year for each multi-family residential unit, subject to an automatic annual adjustment each July 1 equal to the greater of i) the percentage increase in the Consumer Price Index (All Items) for Los AngelesRiverside-Orange County (1982-84=100) since the beginning of the preceding fiscal year, or ii) four percent (4%). Special taxes shall be levied on a parcel-by-parcel basis, commencing at the time of issuance of building permits for the Owner Property. The Owner may propose alternative equivalent financing mechanisms to fund the annual negative fiscal impacts of the Development on the Owner Property with respect to Law Enforcement, Fire and Paramedic Services the sufficiency of which shall be evaluated by the City Manager. Owner shall make a non-refundable deposit of Fifteen Thousand Dollars ($15,000), or at the current rate in place at the time of annexation, toward the cost of annexation, formation or other mitigation process, as applicable.

Owner agrees to annex the Owner Property into City of Lake Elsinore Community Facilities District No. 2015-2 (Maintenance Services) (“CFD No. 2015-2”) or such successor district formed to fund the on-going operation and maintenance of the (i) public rightof-way, including street sweeping, (ii) the public right-of-way landscaped areas and parks to be maintained by the City; and (iii) for street lights in the public right-of-way for which the City will pay for electricity and a maintenance fee to Southern California Edison, including streets, parkways, open space and public storm drains constructed within the Owner Property and federal NPDES requirements pursuant to the Mello-Roos Community Facilities Act of 1982, as amended, and to pay any special taxes associated therewith to fund such on-going operation and maintenance costs to offset the annual negative fiscal impacts of the Owner’s project. The special tax shall be levied on a parcel-by-parcel basis, commencing at the time of issuance of building permits for the Owner Property subject to an automatic annual adjustment each July 1 equal to the greater of i) Attachment 3 - Canadian Pacific & Strack Farms Development Agreement.pdf -10- the percentage increase in the Consumer Price Index (All Items) for Los Angeles-RiversideOrange County (1982-84=100) since the beginning of the preceding fiscal year, or ii) two percent (2%). The Owner may propose alternative equivalent financing mechanisms to fund the annual negative fiscal impacts of the Development on the Owner Property with respect to Maintenance Services the sufficiency of which shall be evaluated by the City Manager. Fulfillment of applicable Maintenance Services by a homeowner’s association under CC&R’s for the Owner Property are an acceptable means of equivalent financing mechanism for Maintenance Services; provided however, that the annexation to CFD No. 2015-2 or into such successor district shall be complete, the obligations established thereunder shall remain dormant and special taxes shall not be levied pursuant thereto unless and until activated by the City upon a determination that the homeowner’s association has defaulted in its obligation to satisfactorily perform the Maintenance Services.

Owner shall make a non-refundable deposit of Fifteen Thousand Dollars ($15,000), or at the current rate in place at the time of annexation, toward the cost of annexation, formation or other mitigation process, as applicable.

Notwithstanding the foregoing, if all or any portion of the Owner Property is already annexed into an existing services community facilities district or other financing district for Law Enforcement, Fire and Paramedic Services or Maintenance Services which overlaps with CFD 2015-1 and/or CFD 2015-2 as to services to be funded, City shall assist Owner in having such CFD dissolved and shall pay the administrative costs of de-annexation from such other financing district in order to enable Owner to annex into CFD 2015-1 and/or CFD 2015-2 with the other participating Owners to avoid duplication of services.

3.6. Financing of Public Facilities; Future CFDs.

City, in cooperation with and at the request of Owner and submittal of the requisite application and formation deposit (including deposit for any non-contingent professional services related to the issuance of bonds), shall initiate and use its commercially reasonable and diligent efforts to cause the City to establish a Mello-Roos Community Facilities District (“CFD”) to finance public improvements and facilities to be constructed and installed in conjunction with the Development of the Owner Property in accordance with the provisions of the Mello-Roos Community Facilities Act of 1982 (Government Code §53311 et seq.), as amended (“Mello Roos Act”).

The parameters of the CFD(s) shall be as follows or as otherwise required to meet minimum requirements of California law or City policy, as the same may be amended from time to time: (i) a minimum value-to-lien ratio of 3 to 1; (ii) a total effective tax rate (taking into account all ad-valorem taxes, assessments, and special taxes expected to be levied on the enduser, including potential participation by other public agencies by way of a joint community facilities agreement for facilities and/or fees of such other public agencies) not to exceed two percent (2%) of the estimated residential home prices at the time of CFD formation; provided that the City in its sole discretion may impose in the rate and method of apportionment appropriate provisions to reduce taxes at bond issuance to below 2% or reduce the amount of bonds issued in order to ensure tax rates not above 2%; (iii) a debt service coverage ratio equal to 110% (unless adequate credit enhancement is provided to the reasonable satisfaction of the City to allow for a lower ratio); (iv) an annual escalator on the CFD special tax and debt service not to exceed two percent (2%) per year (and subject to appropriate increases in the special tax upon defaults by other Attachment 3 - Canadian Pacific & Strack Farms Development Agreement.pdf -11- properties within the CFD); and (v) administrative expenses shall not exceed Thirty-Five Thousand Dollars ($35,000) per year, adjusted annually by the greater of i) the percentage increase in the Consumer Price Index (All Items) for Los Angeles-Riverside-Orange County (1982- 84=100) since the beginning of the preceding fiscal year, or ii) two percent (2%).

The City shall at all times have discretion as to factors relating to the issuance of bonds in the prudent management of the issuance of tax-exempt securities under laws and conditions then applicable, including, but not limited to, then-applicable marketing conditions and sound municipal financing practices. Prior to the issuance of any CFD bonds, the CFD shall levy special taxes on all parcels of developed property (as defined in the applicable rate and method of apportionment) at the assigned special tax rates and use such funds to pay for the costs of administering the CFD and for the costs of acquiring eligible public improvements or funding Existing Development Impact Fees (as provided for in the applicable rate and method of apportionment and CFD formation documents). The City and Owner agree that the first priority for funding from the proceeds of special taxes and bonds pursuant to such facilities CFDs shall be reimbursement for eligible public improvements; provided, however that the City agrees that payment of Existing Development Impact Fees shall be eligible for CFD funding so long as the City has a reasonable expectation of expending bond proceeds on the corresponding public improvements within three years of the receipt of such funds. In addition, the City agrees to provide reasonable cooperation with other public agencies and to exercise reasonable discretion in evaluating proposed joint community facilities agreement(s) for facilities and/or fees of such other public agencies.

3.7. Compliance with Laws.

Owner shall carry out the design and construction of public improvements in conformity with all applicable Laws, including without limitation, public bidding and construction requirements in accordance with applicable City requirements and applicable federal and state labor Laws which shall include, if appliable, Labor Code § 1720 et seq., including without limitation the payment of prevailing wage and maintenance of payroll records in accordance with Labor Code §§ 1776 and 1812, and employment of apprentices in accordance with Labor Code § 1777.5. Owner further agrees that all public work (as defined in Labor Code § 1720) performed pursuant to this Agreement, if any, shall comply with the requirements of Labor Code § 1770 et seq. In all bid specifications, contracts and subcontracts for work that is subject to the prevailing wage requirements of Labor Code §1720 et seq., Owner (or its general contractor, in the case of subcontracts) shall obtain the general prevailing rate of per diem wages and the general prevailing rate for holiday and overtime work in this locality for each craft, classification or type of worker needed to perform the work, and shall include such rates in the bid specifications, contract or subcontract.

3.8. Prevailing Wage Indemnification.

Owner shall indemnify, protect, defend and hold harmless the Indemnitees, with counsel reasonably acceptable to the City, from and against any and all loss, liability, damage, claim, cost, expense and/or "Increased Costs" (including reasonable attorneys' fees, court and litigation costs, and fees of expert witnesses) which, in connection with the Development, results or arises from the following: (1) the noncompliance by Owner of any applicable Law, including, without limitation, any applicable federal and/or State labor Laws (including, without limitation, Attachment 3 - Canadian Pacific & Strack Farms Development Agreement.pdf -12- if applicable, the requirement to pay State prevailing wages and to hire apprentices); (2) the implementation of Section 1781 of the Labor Code, as the same may be amended from time to time, or any other similar Law; and/or (3) failure by Owner to provide any required disclosure or identification as required by Labor Code Section 1781, as the same may be amended from time to time, or any other similar Law. It is agreed by the Parties that, in connection with the Development, including, without limitation, any and all public works (as defined by applicable Law), Owner shall bear all risks of payment or non-payment of prevailing wages and hiring of apprentices under California Law and/or the implementation of Labor Code Section 1781, as the same may be amended from time to time, and/or any other similar Law. "Increased Costs," as used in this Section 3.8, shall have the meaning ascribed to it in Labor Code Section 1781, as the same may be amended from time to time. The foregoing obligations set forth in this Section 3.8 shall survive termination of this Agreement and shall terminate upon the expiration of all statutes of limitation applicable to claims with respect to which Owner is required to indemnify the Indemnitees pursuant to this Section 3.8.

4. VESTED RIGHTS.

4.1. Development of the Owner Property.

During the Term and subject to the Reserved Powers, Owner shall have the vested right to develop and use the Owner Property subject to the terms and conditions of the Applicable Rules and any and all Subsequent Approvals as set forth in this Agreement. The Parties agree and acknowledge that this Agreement itself does not authorize Owner to undertake any Development of the Owner Property nor does this Agreement require the City to approve any Subsequent Approval; provided, however, except as otherwise set forth in this Agreement, the City shall process any Subsequent Approval in accordance with the Existing Land Use Regulations and this Agreement. In the event of conflict between the Existing Development Approvals and this Agreement, this Agreement shall prevail.

Before any Development activity can occur, the Owner shall have satisfied the applicable Conditions of Approval of the Existing Development Approvals for the Owner Property and obtained any necessary Subsequent Approvals for the Owner Property pursuant to the Applicable Rules.

4.2. No New Development Impact Fees.

Owner acknowledges that, in the absence of this Agreement, the Development of the Owner Property would be subject to all Development Impact Fees in place at the time any building permits are issued by the City, or as otherwise required by the LEMC. As consideration for the Owner’s obligations hereunder and the benefits to the City, commencing on the Effective Date and continuing during the Term of this Agreement, the Development Impact Fees imposed by the City with respect to the Development of the Owner Property shall be the categories of Existing Development Impact Fees as described and set forth in Exhibit “C.” Upon expiration of the Term, or earlier termination of this Agreement pursuant to Section 5.2, Development of the Owner Property shall be subject to any and all Development Impact Fees and Development Exactions imposed by the City in accordance with Attachment 3 - Canadian Pacific & Strack Farms Development Agreement.pdf -13- any applicable Law and/or the LEMC as amended from time to time. Nothing in this Agreement is intended to prevent the imposition of fees or other exactions by any governmental entity not affiliated with the City.

4.3. Reserved Powers.

Although the Existing Land Use Regulations and Existing Development Impact Fees will govern Development of the Owner Property, this Agreement will not prevent and shall not be construed to limit the authority of City to apply new rules, regulations and policies set forth in this Section 4.3 et seq. (“Reserved Powers”) in connection with the Development of the Owner Property.

4.3.1. Processing Fees and Charges.

Processing Fees and Charges as defined in Section 1.31 shall be paid by Owner at the prevalent rate at the time of payment.

4.3.2. Procedural Regulations.

Procedural regulations relating to hearing bodies, petitions, applications, notices, findings, records, hearings, reports, recommendations, appeals and any other matter of procedure.

4.3.3. Building Codes.

Regulations, policies and rules governing engineering and construction standards and specifications including without limitation, the Building Codes as defined in Section 1.4 and similar codes and any local amendments adopted by the City.

4.3.4. Non-Conflicting Regulations.

New, rules, regulations and policies which do not conflict with the Existing Land Use Regulations. The term "do not conflict" means new rules, regulations, policies which: (a) do not modify the permitted land uses, the density or intensity of use, the phasing or timing of development, the maximum height and size of proposed buildings on the Owner Property, provisions for dedication of land for public purposes and Development Exactions, except as expressly permitted elsewhere in this Agreement, and standards for design, development and construction on the Owner Property; (b) do not prevent Owner from obtaining any Subsequent Approvals, including, without limitation, all necessary approvals, permits, certificates, and the like, at such dates and under such circumstances as Owner would otherwise be entitled pursuant to the Existing Land Use Regulations; or (c) do not prevent Owner from commencing, prosecuting, and finishing grading of the land, constructing public and private improvements, and occupying the Owner Property, or any portion thereof, all at such dates and schedules as Owner would otherwise be entitled to do so by Development Approvals, Subsequent Approvals, and the Existing Land Use Regulations.

Attachment 3 - Canadian Pacific & Strack Farms Development Agreement.pdf -14-

4.3.5. Certain Conflicting Regulations.

Regulations in conflict with the Existing Land Use Regulations, including General Plan land use, zoning and development standards, if the application of such regulations to the Development of the Owner Property has been consented to in writing by the Owner. Application of such conflicting regulations may require Owner to obtain Subsequent Approvals.

4.3.6. Regulations Needed to Protect the Health and Safety.

Any City ordinance, resolution, regulation, or official policy which is reasonably necessary to protect persons from conditions dangerous to their health and/or safety; are permissible provided that any such regulations must constitute a valid exercise of the City’s police power, applied and enforced in a uniform, consistent and nondiscriminatory manner.

4.3.7. Regulations by Other Public Agencies.

The Parties acknowledge that other public agencies, not within the control of the City, possess authority to regulate aspects of Development separately from the City.

This Agreement does not limit the authority of such other public agencies. Nothing contained in this Agreement shall be construed as limiting, in any way, the authority of such other public agencies to impose any new or increased development impact fees or other fees or charges, even though such impositions may be collected by the City.

4.3.8. General and Special Taxes.

Owner shall pay general or special taxes, including but not limited to, property taxes, sales taxes, transient occupancy taxes, business taxes, which may be applied to the Owner Property or to businesses occupying the Owner Property; provided, however, that the tax is of general applicability Citywide and does not burden the Owner Property disproportionately when compared to the development of other residential uses within the City. Nothing in this Agreement prohibits the adoption and application of a CFD special tax requested by the Owner and approved by the City in accordance with Section 3.6 of this Agreement.

4.3.9. End Users.

Laws of the City that impose, levy, alter or amend fees, charges, or Land Use Regulations relating solely to post-Development conduct of consumers or end users, such as, without limitation, trash can placement, service charges and limitations on vehicle parking, are permissible so long as those later enactments are applied and enforced in a uniform, consistent and non-discriminatory manner and do not impair Owner's vested rights to develop the Owner Property consistent with the Applicable Rules.

4.4. Subsequent Actions and Approvals.

The City shall accept and process with reasonable promptness all completed applications for any Subsequent Approval (including tentative and final tract maps, improvement plans, and decisions relating to the design and location of public improvements on Owner Attachment 3 - Canadian Pacific & Strack Farms Development Agreement.pdf -15- Property) in accordance with the Existing Land Use Regulations; provided, however, this Agreement will not prevent the City, in subsequent actions applicable to the Owner Property, from applying new rules, regulations and policies which do not conflict with the Existing Land Use Regulations, nor will this Agreement prevent the City from denying or conditionally approving any Subsequent Approval on the basis of such Existing Land Use Regulations or such new rules, regulations or policies. Subsequent Approvals shall, upon approval and as may be amended from time to time, become part of the Applicable Rules and the Owner shall have a “vested right,” as that term is defined under California law, in and to such Subsequent Approvals by virtue of this Agreement.

4.5. State and Federal Laws.

If State or Federal laws or regulations enacted after the Effective Date hereof, prevent or preclude compliance with one or more of the provisions of this Agreement, such provisions of this Agreement will be modified or suspended as may be necessary to comply with such State or Federal laws or regulations; provided, however that this Agreement will remain in full force and effect to the extent it is not inconsistent with such State or Federal laws or regulations and to the extent such laws or regulations do not render such remaining provisions impractical to enforce.

4.6. Police Power and Taxing Power.

The City will not impose, or enact any additional Development Exactions, Conditions of Approval or regulations through the exercise of either the police power or the taxing power with respect to the Development of the Owner Property except as provided in the Existing Land Use Regulations or except as provided in the Reserved Powers set forth in Section 4.3 of this Agreement.

4.7. Supersedure by Subsequent Laws.

If any federal or state law, made or enacted after the Effective Date prevents or precludes compliance with one or more provisions of this Agreement, then the provisions of this Agreement shall, to the extent feasible, be modified or suspended as may be necessary to comply with such new law. Immediately after enactment or promulgation of any such new law, City and Owner shall meet and confer in good faith to determine the feasibility of any such modification or suspension based on the effect such modification or suspension would have on the purposes and intent of this Agreement. Owner and City shall have the right to challenge the new law preventing compliance with the terms of this Agreement, and in the event such challenge is successful, this Agreement shall remain unmodified and in full force and effect. At Owner’s sole option, the term of this Agreement may be extended for the duration of the period during which such new law precludes compliance with the provisions of this Agreement.

Attachment 3 - Canadian Pacific & Strack Farms Development Agreement.pdf -16-

5. DURATION OF AGREEMENT.

5.1. Term.

This Agreement shall commence as of the Effective Date and, unless earlier terminated in accordance with Section 5.2 or another provision hereof, shall automatically expire on the fifth (5th) anniversary thereof (the “Term”).

5.2. Termination.

This Agreement shall be deemed terminated and of no further effect upon the occurrence of any of the following events set forth in this Section 5.2 et seq. a. Expiration of the Term.
b. Entry of a final judgment setting aside, voiding or annulling the adoption of the Enabling Ordinance.
c. The adoption of a referendum measure overriding or repealing the Enabling Ordinance. Owner acknowledges that, pursuant to Article 2, Section 11 of the California Constitution and California Elections Code Section 9235, et seq. (collectively, the “Referendum Laws”), the electors of the City may, within thirty (30) days after adoption of the Enabling Ordinance, file a petition in accordance with Elections Code Section 9237 to require the City to either repeal such ordinance or hold an election to obtain voter approval of such Enabling Ordinance and this Agreement. In the event a valid referendum petition challenging the validity of the Enabling Ordinance is filed in accordance with the Referendum Laws, the City may, in its sole and absolute discretion, either (1) terminate this Agreement or (2) submit the Enabling Ordinance to the voters for approval in accordance with the Referendum Laws. d. Termination of this Agreement based on any default of any Party and following the termination proceedings required by Section 9 et seq. of this Agreement.

5.3. Effect of Termination.

Termination of this Agreement by one Party due to the default of the other Party in accordance with the provisions of Section 9 et seq. will not affect any right or duty emanating from any then-existing Development Approval and the Conditions of Approval related thereto with respect to the Owner Property, but the rights and obligations of the Parties will otherwise cease as of the date of such termination. If the City terminates this Agreement because of a default of the Owner, then the City will retain any and all benefits including, without limitation, money or land received by the City hereunder before termination. Notwithstanding the foregoing, the following obligations shall survive any termination of this Agreement: (i) Owner to pay the Development Agreement Fee and the Affordable Housing Fee as set forth in Sections 3.3 and 3.4, respectively, and (ii) to indemnify the City as set forth in Section 17.

Attachment 3 - Canadian Pacific & Strack Farms Development Agreement.pdf -17-

6. PERIODIC REVIEW; OPERATING MEMORANDA; AMENDMENT.

6.1. Periodic Review.

City shall review this Agreement annually (“Periodic Review”) on or before the anniversary of the Effective Date. During each Periodic Review, Owner is required to demonstrate good faith compliance with the terms of this Agreement, and shall furnish such reasonable evidence of good faith compliance as the City, in the exercise of its reasonable discretion, may require. Such Periodic Review shall be conducted administratively by the City Manager and any appropriate department heads designated by the City Manager to perform such Periodic Review. The City Manager shall report the results of such Periodic Review to the City Council within thirty (30) days after the conclusion thereof. No public hearing shall be held by the City Manager or City Council with regard to such Periodic Review; provided, however, that the City Council and/or the Owner shall have the right to appeal the City Manager’s findings to the City Council, in which case Owner shall have the right to request a public hearing on the matter.

City shall notify Owner in writing of the date for review at least thirty (30) days prior thereto. The City’s failure to review the Owner’s compliance with this Agreement, at least annually, will not constitute or be asserted by either Party as a breach by the other Party. The requirement for a Periodic Review shall not be deemed to modify or restrict Owner’s rights under Section 2.6 to develop the Project in such order and at such rate and times as Owner deems appropriate in view of market conditions and within the exercise of its subjective business judgment, subject only to the Existing Development Approvals.

6.2. Operating Memoranda.

The provisions of this Agreement require a close degree of cooperation between the City and the Owner. The Development of the Owner Property may demonstrate that clarifications to this Agreement and the Existing Land Use Regulations are appropriate with respect to the details of performance of the City and the Owner. To the extent allowable by Law, the Owner shall retain a certain degree of flexibility as provided herein with respect to all matters, items and provisions covered in general under this Agreement, except for those which relate to the (i) term; (ii) permitted uses; or (iii) density or intensity of use. When and if the Owner finds it necessary or appropriate to make changes, adjustments or clarifications to matters, items or provisions not enumerated in (i) through (iii) above, the Parties shall effectuate such changes, adjustments or clarifications through operating memoranda (the “Operating Memoranda”) approved by the Parties in writing which reference this Section 6.2. Operating Memoranda are not intended to constitute an amendment to this Agreement but mere ministerial clarifications; therefore public notices and hearings shall not be required. The City Manager shall be authorized, upon consultation with, and approval of, the Owner, to determine whether a requested clarification may be effectuated pursuant to this Section or whether the requested clarification is of such character to constitute an amendment to this Agreement which requires compliance with the provisions of Section 6.3 below.

6.3 Amendment.

Subject to the notice and hearing requirements of the Government Code, this Agreement may be modified or amended from time to time only with the written consent of Attachment 3 - Canadian Pacific & Strack Farms Development Agreement.pdf -18- the Owner and the City or their successors and assigns in accordance with the provisions of the Development Agreement Ordinance and the Development Agreement Act.

7. COVENANT OF FURTHER ASSURANCES AND FAIR DEALING.

7.1. Further Assurances.

Each Party covenants on behalf of itself and its successors and assigns to take all actions and do all things, and to execute with acknowledgments or affidavits if required, any and all documents and writings that may be necessary or proper to achieve the purposes and objectives of this Agreement. Each Party will take all necessary measures to see that the provisions of this Agreement are carried out in full.

7.2. Covenant of Good Faith and Fair Dealing.

Except as may be required by Law, neither Party will do anything which will have the effect of harming or injuring the right of the other Party to receive the benefits of this Agreement and each Party will refrain from doing anything which would render performance under this Agreement impossible or impractical. In addition, each Party will do everything which this Agreement describes that such Party will do.

8. PERMITTED DELAYS.

Any period of delay caused by acts of God; civil commotion; war; insurrection; riots; strikes; walk outs; picketing or other labor disputes; unavoidable shortages of labor, materials or supplies; damages to work in progress by reason of fire, flood, earthquake or other casualty; pandemics; epidemics; quarantine restrictions; litigation challenging the validity of this Agreement, the Project or any element thereof or which prohibits, delays or interferes with performance of the Agreement; moratoria; judicial decisions; governmental agency or entity (with the understanding that acts or failures to act of the City shall not excuse performance by the City) or utility; or any other cause which is not within the reasonable control of the Parties may extend the duration of the Agreement. Each Party will promptly notify the other Party of any delay hereunder as soon as possible after the same has been ascertained, and the term of this Agreement will be extended by the period of any such delay. Any claim for delay must be presented within ninety (90) days of knowledge of the cause of such delay or any entitlement to time extension will be deemed waived. Notwithstanding the foregoing, in no event shall Owner be entitled to a permitted delay due to an inability to obtain financing or proceed with development as a result of general market conditions, interest rates, or other similar circumstances that make development impossible, commercially impracticable, or infeasible.

9. DEFAULT.

9.1. Events of Default.

Except for automatic termination pursuant to Section 5.2 and subject to any written extension of time by mutual consent of the Parties or permitted delays pursuant to the provisions of Section 8, the uncured failure of either Party to perform any material term or provision of this Agreement will constitute a default. On written notice to a Party of its failure of Attachment 3 - Canadian Pacific & Strack Farms Development Agreement.pdf -19- performance, such Party will have thirty (30) days to cure such failure of performance; provided, however that if the nature of the failure of performance is such that it cannot be cured within such period, then the diligent prosecution to completion of the cure will be deemed to be cure within such period. Any notice of default given hereunder will be in writing and specify in detail the nature of the alleged default and the manner in which such default may be satisfactorily cured in accordance with this Agreement. During the time period herein specified for the cure of a failure of performance, the Party charged with such failure of performance will not be considered to be in default for purposes of termination of this Agreement or for purposes of institution of legal proceedings with respect thereto and, if the Owner is the Party that has failed to perform, then the City will not be excused from its performance under this Agreement during that period.

9.2. Remedies.

The Parties acknowledge and agree that the terms of this Agreement render ordinary remedies at law or equity inadequate for a breach of this Agreement. The Parties also acknowledge and agree that it would not be feasible or possible to restore the Owner Property to its natural condition once implementation of the Agreement has begun. Therefore, the Parties agree that upon default and expiration of any applicable cure period, the remedies available to the nondefaulting Party against a defaulting Party shall be limited to one or more of the following:
injunctive relief, mandate (traditional and/or administrative), specific performance, and/or termination; provided, however, that in the event of any legal action involving or arising out of this Agreement, the prevailing Party will be entitled to recover from the losing Party, reasonable litigation expenses, attorneys’ fees and costs incurred. Except as otherwise expressly stated in this Agreement, the rights and remedies of the Parties are cumulative, and the exercise by either Party of one or more of such rights or remedies shall not preclude the exercise by it, at the same or different times, of any other rights or remedies for the same default or any other default by the other Party.

9.3. Institution of Legal Action.

In addition to any other rights or remedies, either Party may institute legal action to cure, correct or remedy any uncured default, to enforce any covenants or agreements herein, to enjoin any threatened or attempted violation thereof or obtain any remedies consistent with the purpose of this Agreement. In the event of any such legal action involving or arising out of this Agreement, the prevailing Party will be entitled to recover from the losing Party, reasonable litigation expenses, attorneys’ fees and costs incurred. The Parties acknowledge that if a breach of this Agreement by the City occurs, irreparable harm is likely to occur to the Owner and damages may be an inadequate remedy. Therefore, to the extent permitted by law, the Parties agree that specific enforcement of this Agreement by the Parties is an appropriate and available remedy, in addition to any and all other remedies which may be available to the Parties under law or at equity.

9.4. No Waiver.

The failure by a Party to insist on the strict performance of any of the provisions of this Agreement by the other Party will not constitute a waiver of such Party’s right to demand strict performance by such other Party in the future. All waivers must be in writing to be effective or binding on the waiving Party and no waiver will be implied from any omission by Attachment 3 - Canadian Pacific & Strack Farms Development Agreement.pdf -20- a Party to take action. No express written waiver of any default will affect any other default or cover any other period of time except that specified in such express waiver.

9.5. Right of Mortgagee To Cure.

Any lender for whom notice has been given pursuant to Section 14.2 shall have the same right to cure a default as Owner. The deadline for a lender to cure a default shall commence with the giving of a notice of default to that lender, rather than pursuant to notice sent to Owner.

10. ESTOPPEL CERTIFICATES.

Either Party may at any time, and from time to time, deliver written notice to the other Party, requesting that the other Party certify in writing to the knowledge of the certifying Party that: (a) this Agreement is in full force and effect and is a binding obligation of the certifying Party; (b) this Agreement has not been amended or modified, except as expressly identified; (c) no default in the performance of the requesting Party’s obligations pursuant to Agreement exists, except as expressly identified. A Party receiving a request hereunder will execute and return the requested certificate within thirty (30) days after receipt of the request.

11. INCORPORATION BY REFERENCE.

11.1. Recitals.

The Parties agree that Recitals A through K are true and correct, constitute a substantive part of this Agreement, are hereby incorporated by reference herein as though set forth in full and the Parties have materially relied upon them as such in their respective determinations to execute this Agreement.

11.2. Exhibits.

Each Exhibit to this Agreement is incorporated herein by reference as though fully set forth herein.

12. APPLICABLE LAW.

This Agreement will be construed and enforced in accordance with the laws of the State of California.

13. NO JOINT VENTURE, PARTNERSHIP OR THIRD PARTY BENEFICIARY.

The City and the Owner hereby renounce the existence of any form of joint venture or partnership between them and expressly agree that nothing contained herein or in any document executed in connection herewith will be construed as making the City and the Owner joint venturers or partners. It is understood that the contractual relationship between the City and the Owner is such that the Owner is an independent contractor and not an agent of the City.

Furthermore, this Agreement is not intended or construed to create any third party beneficiary rights in any person who is not a party to this Agreement.

Attachment 3 - Canadian Pacific & Strack Farms Development Agreement.pdf -21-

14. ENCUMBRANCES AND RELEASES ON REAL PROPERTY.

14.1. Discretion to Encumber.

The Parties agree that this Agreement will not prevent or limit the Owner in any manner, at the Owner’s sole discretion, from encumbering the Owner Property, or any part of the same including, without limitation, improvement thereon, by any mortgage, deed of trust or other security device securing financing with respect to the Owner Property. The City further agrees that it will not unreasonably withhold its consent to any modification requested by a lender so long as the modification does not materially alter this Agreement to the detriment of the City.

14.2. Entitlement to Written Notice of Default.

Any lender of the Owner which has filed a written request with the City for notice of default by Owner will be entitled to receive written notification from the City of any uncured default by the Owner in the performance of the obligations of the Owner under this Agreement.

14.3. Property Subject to Pro Rata Claims.

Any mortgagee or beneficiary which comes into possession of the Owner Property or any part thereof, pursuant to foreclosure of a mortgage or deed of trust, or deed in lieu of such foreclosure, will take the Owner Property or part thereof, subject to (i) any pro rata claims for payments or charges against the Owner Property or part thereof secured by such mortgage or deed of trust, which accrued prior to the time that such mortgagee or beneficiary comes into possession of the Owner Property or part thereof; and (ii) the terms and conditions of this Agreement.

15. BINDING EFFECT.

15.1. Entirety of Owner Property.

All of the Property shall be and shall remain subject to this Agreement throughout the Term. All of the terms, provisions, covenants and obligations contained in this Agreement will be binding upon the Parties and their respective successors and assigns, and all other persons or entities acquiring all or any part of the Owner Property, and will inure to the benefit of such Parties and their respective successors and assigns.

15.2. Owner Property and Agreement Remain Linked.

Subject to Section 15.3, Owner shall have the right to sell, transfer or assign the Owner Property and its rights under the Agreement. However, any person acquiring any interest in the Owner Property shall do so subject to this Agreement. Conversely, no sale, transfer or assignment of any right or interest under this Agreement shall be made unless made together with a corresponding sale, transfer or assignment as to the Owner Property. If less than all of the Owner Property is sold, the new owner of that portion shall be responsible for all Development, including Dedications and the provision of public facilities, within that portion, and the Owner (or Attachment 3 - Canadian Pacific & Strack Farms Development Agreement.pdf -22- its successors as to the entire Owner Property) shall remain responsible for all such matters outside that portion of the Owner Property.

15.3. Assignment; Notice; City Consent.

The rights and obligations of Owner hereunder shall not be assigned or transferred, except that (a) transfers by Owner to an affiliated entity that takes title to all or a portion of Owner’s Property and assumes Owner’s future obligations hereunder with respect to such portion of the Owner’s Property shall be permissible without consent of the City, provided Owner shall be released from its obligations under this Agreement only as to that portion of the Owner’s Property that is subject to such sale, transfer or conveyance, and (b) on thirty (30) days written notice to City, including submittal of all documentation reasonably required by the City Manager to evaluate the assignee's financial resources, Owner may assign all or a portion of Owner’s rights and obligations thereunder to any person or persons, partnership or corporation who purchases all or a portion of Owner’s right, title and interest in the Owner Property, provided that (i) such assignee or grantee assumes in writing each and every obligation of Owner hereunder yet to be performed which relates to the portion(s) of the Owner Property being assigned; and (ii) Owner obtains the consent of City through its City Manager to the assignment, which consent shall not be unreasonably withheld. Provided the Owner’s thirty (30) day notice includes submittal of all documentation reasonably required by the City Manager to evaluate the assignee's financial resources and the assumption by the assignee or grantee, the consent of the City shall be deemed to occur upon the thirtieth (30th) day of the notice period unless within that period the City provides written notice withholding consent and explaining the reasons it is withholding consent. The notice to City shall include the identity of any such assignee, all documentation reasonably required by the City Manager to evaluate the assignee's financial resources, and a copy of the written assumption of the assignor’s obligations hereunder pertaining to the portion assigned or transferred. After such notice and the receipt of such consent, the assignor shall have no further obligations or liabilities hereunder. If any assignee or transferee of a portion of the Owner Property breaches this Agreement, such breach shall not affect the rights and benefits of other assignees or transferees under this Agreement and City shall continue to perform its obligations under in this Agreement with respect thereto.

16. TERMS AND CONSTRUCTION.

16.1. Severability.

If any term, provision, covenant or condition of this Agreement is determined to be invalid, void or unenforceable by judgment or court order, than the remainder of this Agreement will remain in full force and effect, unless enforcement of this Agreement, as so invalidated, would be unreasonable or grossly inequitable under all the circumstances or would frustrate the stated purposes of this Agreement.

16.2. Entire Agreement.

This Agreement contains all representations and terms of agreement by and between the Parties and constitutes the entire agreement between the City and the Owner. Any prior correspondence, memoranda, agreements, warranties or representations, oral or written, Attachment 3 - Canadian Pacific & Strack Farms Development Agreement.pdf -23- including that certain Development Agreement by and between the City and Centex Homes dated October 14, 2003 and recorded as Instrument No. 2003-960052 in the Official Records of Riverside County and the First and Second Operating Memorandum of Understanding entered into pursuant thereto which expired by their own terms and have no further force or effect, are superseded in total by this Agreement. Upon execution Owner, the final Project Agreement shall supersede the draft Project Agreement attached hereto as Exhibit “C” which fully executed Project Agreement shall be incorporated herein by reference.

16.3. Authority; Counterpart Signature Pages.

Each individual signing this Agreement on behalf of City and Owner warrants and represents that he or she has full authority to execute the same on behalf of City and Owner, respectively, and that he or she is acting within the scope of his or her authority. Each Party further represents that it has the legal authority to enter into this Agreement and to perform all obligations under this Agreement.

For convenience, the signatures of the Parties may be placed and acknowledged on separate pages and, when attached to this Agreement, will constitute this document as one complete Agreement.

16.4. Time.

Time is of the essence in this Agreement and of each and every term and condition hereof.

16.5. Notices.

Any notice shall be in writing and given by delivering the same in person or by sending the same by registered, or certified mail, return receipt requested, with postage prepaid, by overnight delivery, or by facsimile or electronic transmission to the respective mailing addresses, as follows:

If to City: City of Lake Elsinore
130 S. Main Street
Lake Elsinore, CA 92530
Attn: City Manager
Email: [email protected]
With a copy to: Leibold McClendon & Mann, PC
9841 Irvine Center Drive, Suite 230
Irvine, CA 92618
Attn: Barbara Leibold, Lake Elsinore City Attorney
Email: [email protected]
If to Owner: Richland Communities
3161 Michelson Dr., Ste. 425
Irvine, CA 92612
Attn: Mike Byer
Attachment 3 - Canadian Pacific & Strack Farms Development Agreement.pdf -24- Email: [email protected]
With a copy to: Booke & Ajloun
Attn: Victoria Booke
606 N. First Street
San Jose, CA 95112
Email: [email protected]
Either City or Owner may change its mailing address at any time by giving written notice of such change to the other in the manner provided herein at least ten (10) days prior to the date such change is effected. All notices under this Agreement shall be deemed given, received, made or communicated on the earlier of the date personal delivery is effected or on the delivery date or attempted delivery date shown on the return receipt, air bill or facsimile.

16.6. Construction, Number and Gender.

This Agreement will be construed as a whole according to its common meaning and not strictly for or against either Party in order to achieve the objectives and purposes of the Parties hereunder. Whenever required by the context of this Agreement, the singular will include the plural and vice versa, and the masculine gender will include the feminine and neuter genders. In addition, “will” is the mandatory and “may” is the permissive.

17. INDEMNIFICATION.

The Owner shall defend (with counsel acceptable to the City), indemnify, and hold harmless the City, its officers, agents, employees, consultants, officials, commissions, councils, committees, boards and representatives (collectively referred to individually and collectively as "Indemnitees") harmless from liability for damage or claims for damage for personal injury, including death and claims for property damage which may arise out of the direct or indirect activities of the Owner with respect to the Development of the Owner Property, or arising out of or incident to any acts, omissions, negligence, or willful misconduct of Owner, its employees, contractors, or agents in connection with the performance of this Agreement. This indemnification excludes that portion of any claim to the extent caused by the sole negligence or willful misconduct of City. Owner agrees to and will defend the Indemnitees from any claim, action, or proceeding to attack, set aside, void, or annul an approval by Indemnitees concerning approval, implementation and construction of this Agreement or the Existing Development Approvals in connection with the Development of the Owner Property or any of the proceedings, acts or determinations taken, done, or made prior to the decision, or to determine the reasonableness, legality or validity of any condition attached thereto. The Owner's indemnification is intended to include, but not be limited to, damages, fees and/or costs awarded against or incurred by Indemnitees and costs of suit, claim or litigation, including without limitation attorneys' fees, penalties and other costs, liabilities and expenses incurred by Indemnitees in connection with such proceeding. City shall promptly notify Owner of any such claim, action or proceeding, and City shall cooperate in the defense. Owner’s obligation to indemnify City hereunder shall survive any termination of this Agreement.

Attachment 3 - Canadian Pacific & Strack Farms Development Agreement.pdf -25-

18. RECORDATION BY CITY CLERK.

Pursuant to Government Code Section 65868.5, the City Clerk will record a copy of the Agreement in the Records of the County Recorder. [SIGNATURES ON NEXT PAGE]
Attachment 3 - Canadian Pacific & Strack Farms Development Agreement.pdf -26- IN WITNESS WHEREOF, City and Owner have executed this Agreement as of the date first hereinabove written.
“CITY”

CITY OF LAKE ELSINORE,
a municipal corporation
By:

Steve Manos, Mayor
ATTEST:

Candice Alvarez, MMC, City Clerk
APPROVED AS TO FORM:

By:

Barbara Leibold, City Attorney
“OWNER”

CANADIAN PACIFIC LAND, LLC
a Florida limited liability company
By:

Name:

Title:

STRACK FARMS LAND, LLC
a Florida limited liability company
By:

Name:

Title:

Attachment 3 - Canadian Pacific & Strack Farms Development Agreement.pdf

STATE OF CALIFORNIA )
) §
County of )
On , before me, a
Notary Public, personally appeared who proved to me on
the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument.

I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct
WITNESS my hand and official seal.
________________________________
Signature of Notary
(Affix seal here)
A notary public or other officer completing this
certificate verifies only the identity of the individual who signed the document to which this certificate is
attached, and not the truthfulness, accuracy, or
validity of that document.

Attachment 3 - Canadian Pacific & Strack Farms Development Agreement.pdf

STATE OF CALIFORNIA )
) §
County of )
On , before me, a
Notary Public, personally appeared who proved to me on
the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument.

I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct
WITNESS my hand and official seal.
________________________________
Signature of Notary
(Affix seal here)
A notary public or other officer completing this
certificate verifies only the identity of the individual who signed the document to which this certificate is
attached, and not the truthfulness, accuracy, or
validity of that document.

Attachment 3 - Canadian Pacific & Strack Farms Development Agreement.pdf

STATE OF CALIFORNIA )
) §
County of )
On , before me, a
Notary Public, personally appeared who proved to me on
the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument.

I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct
WITNESS my hand and official seal.
________________________________
Signature of Notary
(Affix seal here)
A notary public or other officer completing this
certificate verifies only the identity of the individual who signed the document to which this certificate is
attached, and not the truthfulness, accuracy, or
validity of that document.

Attachment 3 - Canadian Pacific & Strack Farms Development Agreement.pdf

STATE OF CALIFORNIA )
) §
County of )
On , before me, a
Notary Public, personally appeared who proved to me on
the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument.

I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct
WITNESS my hand and official seal.
________________________________
Signature of Notary
(Affix seal here)
A notary public or other officer completing this
certificate verifies only the identity of the individual who signed the document to which this certificate is
attached, and not the truthfulness, accuracy, or
validity of that document.

Attachment 3 - Canadian Pacific & Strack Farms Development Agreement.pdf Exhibit A EXHIBIT “A”

LEGAL DESCRIPTION OF THE OWNER PROPERTY
[TO BE INSERTED]
Attachment 3 - Canadian Pacific & Strack Farms Development Agreement.pdf Exhibit B EXHIBIT “B”

VICINITY MAP
[TO BE INSERTED]
Attachment 3 - Canadian Pacific & Strack Farms Development Agreement.pdf Exhibit C EXHIBIT “C”

EXISTING DEVELOPMENT IMPACT FEES
[TO BE INSERTED]
Attachment 3 - Canadian Pacific & Strack Farms Development Agreement.pdf Exhibit D EXHIBIT “D”

CONDITIONS OF APPROVAL
[TO BE INSERTED]

TT GROUP INC

TT GROUP INC

TT GROUP INC

CANADIAN PACIFIC LAND

TT GROUP INC

TT GROUP INC

TT GROUP INC

TT GROUP

CANADIAN PACIFIC LAND

TT GROUP INC

TT GROUP INC

TT GROUP INC

TT GROUP

TT GROUP

TT GROUP

TT GROUP INC

TT GROUP

TT GROUP INC

TT GROUP INC

TT GROUP
BELLA
VISTA

GREENWALD AVE

PONTE RUSSO

SUMMERHILL DR
PO
N
T
E
LO
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N
PO
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Prepared by:

City of Lake Elsinore GIS
Data Sources:

City of Lake Elsinore GIS TTM 31370 Ownership County of Riverside GIS

NOTICE OF PUBLIC HEARING
NOTICE IS HEREBY GIVEN that the City Council of the City of Lake Elsinore, California, will hold a Public Hearing on May 14, 2024 at 7:00 p.m., or as soon thereafter as the matter may be heard, at the Lake Elsinore Cultural Center, 183 North Main Street, Lake Elsinore, California, 92530, to consider the following:

Development Agreement Nos. 2024-01 and 2024-02 (North Tuscany Hills): Requests by T.T.

Group, Inc., the owner of a portion of Tentative Tract Map (TTM) 31370 and Canadian Pacific Land, LLC and Strack Farms Land, LLC the owners of the remainder portion of TTM 31370, each for a Development Agreement as to their respective portions of TTM 31370. TTM 31370 was previously approved for the subdivision of 368 acres into 807 single family residential lots, along with community and neighborhood parks, basins, lift station and open space located in the northeast portion of the City commonly known as North Tuscany. The proposed Development Agreements will extend the life of TTM 31370 for the five year term of the Development Agreements subject to the existing conditions of approval to TTM 31370 and the terms of the Development Agreements, including, among other requirements, the irrevocable dedication of the right of way for the Summerhill Drive Extension project by Owners to City and payment of a $5,500 per unit Development Agreement Fee for each residential unit.

The project area is located on the south side of Greenwald Avenue, on both sides of the extension of Summerhill Drive north of the existing Tuscany Hills community, to the west of Canyon Lake and to the east of Bella Vista Drive (Assessor’s Parcel Nos.: 349-280-025, -028, -029, -038, -040, -042, -044, -048, -050 and -051; 349-290-017, -018, -026 and -027; 349-390-001 thru -004, -015 and -016).

Pursuant to CEQA Guidelines Section 15162, no new environmental documentation is necessary because no changes to the project is proposed and all potentially significant effects have been adequately analyzed in an earlier Environmental Impact Report (EIR) and none of the conditions described in Section 15162 exist. The City previously performed environmental review in compliance with CEQA when it approved the Amendment No. 1 to the Tuscany Hills Specific Plan No. 89-3, General Plan Amendment No. 2004-05, Zone Change No. 2004-06, and TTM No. 31370 on March 22, 2005 based on Subsequent Environmental Impact Report (SEIR) (SCH No. 2004071082).

PLANNING COMMISSION RECOMMENDATION: On April 16, 2024, at a duly noticed public hearing, the Lake Elsinore Planning Commission by a 5-0 vote recommended that the City Council adopt an ordinance approving the proposed North Tuscany Hills Development Agreements.

ALL INTERESTED PERSONS are invited to submit written information, express opinions or otherwise submit written evidence by email to [email protected].

If you wish to legally challenge any action taken by the City on the above matter, you may be limited to raising only those issues you or someone else at the Public Hearing described in this notice, or in written correspondence delivered to the City prior to or at the Public Hearing. If you require accommodation to participate in a Public Hearing, please contact the City Clerk’s office at (951) 674- 3124 ext. 269. All Agenda materials are available for review on the City’s website at www.lakeelsinore.org the Friday before the Public Hearing.

FURTHER INFORMATION on this item may be obtained by contacting Damaris Abraham, Community Development Director at [email protected] or (951) 674-3124, ext. 913.

Candice Alvarez, MMC, City Clerk
DA 2024-01 & 2024-02 (North Tuscany Hills DA) - Page 1 of 1 The Press-Enterprise
3512 14 Street
Riverside, California 92501
(951) 368-9229
City of Lake Elsinore
130 South Main Street
Lake Elsinore, California 92530
Publication: The Press-Enterprise

PROOF OF PUBLICATION OF
Ad Desc: 0011666319
FILE NO. 0011666319

PROOF OF PUBLICATION
I am a citizen of the United States. I
am over the age of eighteen years and
not party to or interested in the aboveentitled matter. I am an authorized representative of THE PRESSENTERPRISE, a newspaper of general circulation, printed and published daily
in the County of Riverside, and which
newspaper has been adjudicated a
newspaper of general circulation by the
Superior Court of the County of
Riverside, State of California, under
date of April 25, 1952, Case Number
54446, under date of March 29, 1957,
Case Number 65673, under date of
August 25, 1995, Case Number
267864, and under date of September
16, 2013, Case Number RIC 1309013;
that the notice, of which the annexed is
a printed copy, has been published in
said newspaper in accordance with the
instructions of the person(s) requesting
publication, and not in any supplement
thereof on the following dates, to wit:
05/04/2024
I certify (or declare) under the penalty
of perjury that the foregoing is true and
correct.

Date: May 4, 2024.

At: Riverside, California
______________________________
Signature

APN PRIMARY_OWNER MAIL_STREET MAIL_CITY
349240006 SPT AREP III TUSCANY ASSOC 2 PARK PLZ STE 700 IRVINE CA 92614 349240007 JUVENTINO M. GONZALEZ 10987 CORTON ST PHELAN CA 92371 349270006 COUNTY OF RIVERSIDE P O BOX 1180 RIVERSIDE CA 92502 349270007 HILL COUNTRY S A LTD 3161 MICHELSON DR STE 425 IRVINE CA 92612 349280025 TT GROUP INC 606 N 1ST ST SAN JOSE CA 95112
349280050 CANADIAN PACIFIC LAND 3161 MICHELSON DR STE 425 IRVINE CA 92612 349290004 CANYON LAKE PROPERTY OWNERS ASSN P O BOX 5A CANYON LAKE, CA 92587 349290008 JAMES P. KIPP 22344 BOATING WAY CANYON LAKE CA 92587 349290009 WESTERN RIVERSIDE COUNTY REG CON AUTHORITY 3403 10TH ST STE 500 RIVERSIDE CA 92502 349290010 CHRISTINA LE FERGUSON 6341 BEACHVIEW DR HUNTINGTON BEACH CA 92648 349380017 HANDSON EQUITIES 4586 OLIVEWOOD AVE RIVERSIDE CA 92501 349390007 JOHN C. MARRELLI 3160 LIONSHEAD AVE NO 1 CARLSBAD CA 92010 349390013 LYNN R. GRITTON 27245 HIGHWAY 74 PERRIS CA 92570 349481001 TUSCANY HILLS LANDSCAPE & REC CORP 75 SUMMERHILL DR LAKE ELSINORE CA 92532 349481002 GENE FINK 520 RICHEY ST NO 203 CORONA CA 92879 349482002 PEDRO J. VERDUGO 1 PONTE BIANCO LAKE ELSINORE CA 92532 349482003 MATTHEW D. BARTON 3 PONTE BIANCO LAKE ELSINORE CA 92532 349482004 SCOTT J. BERGER 5 PONTE BIANCO LAKE ELSINORE CA 92532 349482005 SARA JUNE BLASCO 7 PONTE BIANCO LAKE ELSINORE CA 92532 349482006 FANNY ZHI HUI KAN 9 PONTE BIANCO LAKE ELSINORE CA 92532 349482007 GREGORY A. WALTER 10 PONTE BIANCO LAKE ELSINORE CA 92532 349482008 JOHN J. CAMPOS 8 PONTE BIANCO LAKE ELSINORE CA 92532 349482016 MICHAEL A. FINK 9 PONTE VERDE LAKE ELSINORE CA 92532 349482017 DONALD RAY STANFIELD 22 PONTE FIERA LAKE ELSINORE CA 92532 349482018 HOMER HEAD 20 PONTE FIERA LAKE ELSINORE CA 92532 349482019 GUILLERMO ORQUIZ 18 PONTE FIERA LAKE ELSINORE CA 92532 349482020 MESERVE FAMILY TRUST 1/9/2024 16 PONTE TIERRA LAKE ELSINORE CA 92532 349482021 JOSEPH ANDREW GIST 14 PONTE FIERA LAKE ELSINORE CA 92532 349482022 ELIZABETH A. SABICER 12 PONTE FIERA LAKE ELSINORE CA 92532 349482023 WALTER BRADLEY 10 PONTE FIERA LAKE ELSINORE CA 92532 349482024 ROBERT PERSKY 8 PONTE FIERA LAKE ELSINORE CA 92532 349482025 THOMAS ANTHONY FALENCIK 6 PONTE FIERA LAKE ELSINORE CA 92532 349482033 JOSEPH ANDREW GIST 14 PONTE FIERA LAKE ELSINORE CA 92532 349491002 PHILLIP L. MENDOZA 4 PONTE FIERA LAKE ELSINORE CA 92532 349492002 STUART FORBES ROBINSON 11 PONTE CHIARA LAKE ELSINORE CA 92532 1 Damaris Abraham
From: Damaris Abraham
Sent: Thursday, May 9, 2024 3:06 PM
To: [email protected]
Subject: RE: [External]North Tuscany Development
Hello Walter,
Thank you for your email enquiry about the Public Hearing on May 14, 2024 regarding the North Tuscany Hills project.

Please see below for staff’s response to your questions.

Regarding the Specific Plan and EIR
Amendment No. 1 to the Tuscany Hills Specific Plan No. 89‐3, Subsequent Environmental Impact Report (SEIR) (SCH No. 2004071082), and TTM No. 31370, subdividing 368 acres into 807 single family residential lots, along with community and neighborhood parks, basins, lift station, and open space was approved by the City Council on March 22, 2005.

The Specific Plan document is available on the City’s website. You can access the document using the following link:

Tuscany Hills Specific‐Plan, Amendment No. 1
The EIR document can be accessed using the following link: Tuscany Hills SEIR Written notice regarding the Specific Plan Amendment and the Subsequent EIR was provided in 2005. Additionally, the SEIR was published on the State Clearing house website: https://ceqanet.opr.ca.gov/Project/2004071082 Regarding the development

1. Link to view the Specific Plan document is provided above.

2. The item that will be before the City Council for consideration on May 14th is a Development Agreement. There are no specific development and construction plans submitted at this time. The agreement itself does not authorize the developer to undertake any development of the subject property. It is intended to provide the developer some certainty in the development process by providing vested rights in the existing entitlements.

The developer will be required to comply with all applicable Conditions of Approval and Mitigation Measures identified in the EIR including construction noise and dust when development plans are submitted.

3. The project will be required to construct access off Greenwald. Depending on the sequence of construction, that can be utilized as construction access. Also, the City inspection team typically monitors material hauling and construction vehicles to ensure no interference with school hours. Further, the City does enforce construction hours to comply with noise ordinance to minimize impact on existing neighborhoods and sensitive receptors.

With respect to the intersection at Railroad and Summerhill, in the case that this is part of construction access and or haul routes, the City would enforce reduced hours to minimize impact to rush hour traffic.

3.a. Grind and overlay Project at Summerhill Drive was determined by the condition of pavement. This is a maintenance project which is part of a City wide pavement management program not tied to future development. Localized areas of cracking or potholes are examined on case by case basis and would be repaired accordingly.
2 4. The intersection at Summerhill and Ponte Russo is currently not part of the Project’s conditions. Currently, the intersection has stop control from the Ponte Russo side.  If at any point in the future, the intersection meets traffic warrants for a different configuration, that would be implemented at a future time. Current conditions call for a signal at Summerhill and La Strada as well as a signal at Greenwald and Bella Vista.

5. Summerhill Drive and La Strada is a controlled intersection with the speed limit being 40 mph.  The parking issue stem from overflow vehicles parking on the street when the parking lots are full.  There are “No Parking” signs posted in the area. Code Enforcement has responded to complaints in the past and will continue to respond to complaints and cite vehicles as needed.

6. All development projects within the City of Lake Elsinore are inspected by Building Department, Engineering, and Fire for compliance with City Standards, State and Federal Codes and regulations.

7. Impacts to Biological and wildlife resources have been addressed in the EIR. Per Mitigation Measure 3.4‐5, the project is required to provide appropriate wildlife culverts/undercrossings consistent with Section 7 of the Multiple Species Habitat Conservation Plan (MSHCP).

8. All development projects are required to implement dust control/suppression procedures to ensure air quality standards are met. City inspection staff monitors construction sites for dust, dirt tracking, and noise to ensure impacts to existing neighborhoods and sensitive receptors.

Thank you,
Damaris Abraham
Community Development Director
City of Lake Elsinore
(951) 674‐3124, ext. 913
dabraham@lake‐elsinore.org
From: Walter, Walter Bradley, Bradley <[email protected]> Sent: Monday, May 6, 2024 3:35 PM
To: Candice Alvarez <calvarez@Lake‐Elsinore.org>
Subject: [External]North Tuscany Development
Message from external sender. Use Caution.

Hello,
My name is Walter Bradley and I live at 10 Ponte Fiera in Tuscany Hills. I received the notice about the public hearing on May 15 regarding the proposed North Tuscany Development.

I have a few questions and requests for information regarding this development.

When I purchased my home in 2016 I went to City Hall to review the Tuscany Hills Specific Plan and was told that there was never a plan to build homes north of the end of Summerhill, and that the only thing that might be build is a park and maybe a small recreational lake.

Regarding the changing of the Specific Plan.
3 1. What date did the City agree to change the plan?

2. Why was there not written notice about this proposal given to residents of Tuscany Hills homeowners?

About the EIR for this development.

1. When was the EIR completed.

2. Why was there not written notice about the EIR given to Tuscany Hills homeowners.

3. Please provide a link to view the complete EIR.

About the development itself.

1. Please provide a link to view the Specific Plan for the development.

2. Please provide a link to view the construction plans and specifications for the development, including construction noise and dust mitigation.

3. Please provide the City plan for restricting truck traffic on Summerhill during peak drop-off and pick-up times for Tuscany Hills Elementary.

Because of the drive-thru lane at In-N-Out, traffic backs up past the Shell station now and traffic is funneled down to one lane.

Traffic at the intersection of Railroad Canyon and Summerhill will cease to flow if there is additional construction vehicle traffic during peak hours, not to mention the impact of trucks climbing the hill on Summerhill during peak drop- ````off time.

3. What is the plan for Summerhill Drive from Railroad Canyon to the current deadend of Summerhill.

Summerhill recently received a grind and cap band-aid that I can only assume is supposed to make it able to accomodate the dramatic increase in traffic as a result of this new development.

In order to accommodate the dramatic increase in traffic from this development, specifically heavy construction equipment traffic, Summerhill needs to have the entire roadway section removed and rebuilt due to water infiltration from alligator cracking, settlement, and the age of the original roadway,.

4. What is the plan for the intersection of Summerhill and Ponte Russo? Will there be a traffic signal installed at that intersection? School traffic will be significantly impacted without a traffic signal.

5. What is the plan for illegal parking along Summerhill at Tuscany Hills Park.

The city does not enforce no-parking regulations along Summerhill now, and with increased traffic there is a real possibility of a fatal accident at that location,.

6. Will there be full-time inspection by the City of proposed infrastructure for the duration of this project?

7. An extension of Summerhill to the north will require that it cross the current Flyway area. What is the plan to mitigate wildlife interference along the Flyway.

8. Please provide the City plan for providing current homeowners on the north end of Tuscany Hills relief from construction dust.

The City should have a plan in place to provide cleaning services for homeowners impacted by the construction, in order to alleviate the potential for lawsuits resulting from construction.

I will be attending the public hearing on May 14th and would appreciate if these concerns could be addressed by the City at that time.

Thank you,
Walter Bradley
10 Ponte Fiera
Lake Elsinore, Ca 92532

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