Cooperative Agreement
for
Lake Forest Transportation Mitigation (LFTM) Program
and
North Irvine Transportation Mitigation (NITM) Program
Intersection-Improvement Projects
This Cooperative Agreement for LFTM Program and NITM Program Intersection- Improvement Projects (“Agreement”), effective _______________________, 2025 (“Effective Date”) , is between the City of Irvine (“Irvine ”), and the City of Lake Forest (“Lake Forest”). Irvine and Lake Forest are sometimes individually referred to as “Agency” and collectively as “Agencies.”
RECITALS
A. Irvine established the North Irvine Transportation Mitigation (“NITM” ) Program by Ordinance No. 03- 20, which was adopted by Irvine’s City Council on June 10 , 2003, to fund the timely construction of transportation improvements for the development of the remaining undeveloped real property in North Irvine.
B. The NITM Program contains the “List of NITM Improvements,” which is a list of all transportation improvements necessary to serve the undeveloped real property in North Irvine.
C. Lake Forest established the Lake Forest Transportation Mitigation (“LFTM”) Program by Ordinance No. 186, which was adopted by the City Council of Lake Forest on June 17, 2008, for purposes of implementing and expediting circulation improvements identified in connection with the Opportunities Study Area Environmental Impact Report.
D. The LFTM Program contains the “List of LFTM Improvements,” which is a list of transportation improvements necessary to serve the development of the Opportunities Study Area.
E. The LFTM and NITM Programs (each a “Program” and collectively the “Programs”) include intersections of shared interest to both Agencies under their respective jurisdictions.
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F. The Agencies desire to enter this Agreement to s et forth each Party’s respective administrative and funding obligations, allowing the Agencies to implement the identified improvements.
NOW, THEREFORE, in consideration of the above recitals and the mutual covenants set forth below, the Agencies hereby agree as follows:
TERMS AND CONDITIONS
1. Intersection Improvements. Attachment A, attached hereto and incorporated by reference, contains the list of improvements for intersections of shared interest to both Agencies, including the scopes of work under each P rogram and Agencies’ respective fair-share obligations.
2. Irvine’s Contribution. Irvine shall pay Lake Forest an amount of Three Hundred One Thousand Seven Hundred and Six Dollars ( $301,706) to fulfill its NITM fair- share contribution towards the intersection improvements 1-3, as specified in Attachment A.
3. Lake Forest’s Contribution. Lake Forest shall pay Irvine an amount of Six Hundred Seventy -Six Thousand Two Hundred Fourteen Dollars ( $676,214) to fulfill its LFTM fair -share contribution towards the intersection improvement 4, as specified in Attachment A.
4. Transfer of Funds. The Agencies hereby agree to transfer funds to one another through distinct transactions for each intersection improvement, as specified in Attachment A.
5. Fulfillment of Obligations. Upon the execution of this Agreement and payment of the f unds specified in Attachment A for each intersection improvement , the Agencies’ obligations regarding the intersection improvements for which fair-share funding has been provided to the other A gency as described in Clauses 2 and 3 and specified in Attachment A shall be deemed fulfilled.
6. Cost Estimates and Finality of Contributions.
6.1 Good-faith Estimates. The fair-share obligations outlined in Attachment A are based on the latest cost estimates at the time of entering into this Agreement. The Agencies acknowledge that these estimates have been agreed upon in good faith.
6.2 Final. The Agencies further acknowledge and agree that the fair -share contributions in this Agreement, described in Attachment A, are final and Item: 9
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binding. No additional funds beyond the agreed- upon amounts shall be requested or required from either Agency for the purposes of the identified intersection improvements, regardless of any subsequent cost fluctuations, unforeseen circumstances, or changes in scope of improvements.
6.3 Waiver of Modifications. Each Agency hereby waives any right to claim adjustments, modifications, or additional contributions related to cost changes or other factors affecting the i ntersection improvements covered by the Agreement beyond what has been stipulated herein, as described in Attachment A.
7. Acceptable Use of Funds.
7.1 Planned and Alternative Improvements. The funds received pursuant to this Agreement are designated for the intersection improvements and work described in Attachment A unless the payee Agency proposes alternative improvements under the guidelines and requirements of its Program. Each Agency has the sole authority to propose and implement alternative improvements under its respective Program guidelines and requirement s without further coordination with the other Agency.
7.2 Other Locations. If the funds received for a specific intersection improvement cannot be utilized exactly as originally identified due to infeasibility of the improvements, lack of need for the improvements, or any other valid reason determined by the payee Agency, the payee Agency can utilize the funds towards improvements for other locations in its Program.
The payee Agency has the sole authority to determine infeasibility or lack of need for a specific intersection improvement in accordance with its Program’s guidelines and requirements without further coordination with the other Agency.
7.3 Other Parties. In instances where a third- party agency or entity assumes the lead role for implementation of any of the intersection improvements governed by this Agreement, the funds received as part of this Agreement, or a portion thereof, may be disbursed to the said third- party agency or entity. Each Agency has the sole authority to disburse funds to a third-party agency or entity based on its Programs guidelines and requirements without further coordination with the other Agency.
8. Amendment. This Agreement may be amended at any time by the mutual consent of the Agencies by a written instrument signed by both Agency ’s representatives or their designee.
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9. Agency Representatives. The following staff members or as otherwise designated in writing by the City Manager of Irvine or the City Manager of Lake Forest, shall be the selected representatives of each City to act on each respective City’s behalf with respect to this Agreement. Any notices, requests, approvals, plan submittals or communications shall be provided to each representative noted below:
9.1 To Irvine:
Director of Public Works & Sustainability
P.O. Box 19575
Irvine, CA 92623-9575
(949) 724-7365
9.2 To Lake Forest:
Director of Public Works
100 Civic Center Drive
Lake Forest, CA 92630
(949) 461-3480
10. Indemnification.
10.1 By Irvine. Irvine shall indemnify, defend, save and hold harmless Lake Forest, its City Council, officers, and employees from and against any and all loss, damages, liability, claims, including but not limited to bodily injury, death, personal injury, property damages, or any other claims caused by the willful actions or active negligence of Irvine, its employees, or agents in the performance of its obligations under this Agreement, and shall include attorneys’ fees and other reasonable costs incurred in defending any such claim.
10.2 By Lake Forest. Lake Forest shall indemnify, defend, save, and hold harmless Irvine, its City Council, officers, and employees from and against any and all loss, damages, liability, claims including but not limited to bodily injury, death, personal injury, property damages, or any other claims caused by the willful actions or active negligence of Lake Forest, its employees, or agents in the performance of its obligations under this Agreement, and shall include attorneys’ fees and other reasonable costs incurred in defending any such claim.
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11. Entire Agreement. This Agreement represents the entire understanding of the Agencies as to those matters contained herein, and no prior oral or written understanding shall be of any force or effect with respect to those matters covered in this Agreement.
12. Delegated Authority. The actions required to be taken by the Agencies in the implementation of this Agreement and supplemental agreements are delegated to the Agencies’ respective Director of Public Works or his or her designee.
13. Litigation Fees. Should litigation arise out of this Agreement for the performance thereof, each Party shall bear its own litigation and collection expenses, witness fees, court costs and attorneys’ fees.
14. Counterparts. This Agreement may be executed in one or more counterparts, each of which shall be deemed an original and all of which shall constitute but one and the same instrument.
15. Waivers. Failure of either Agency to enforce any provision of this Agreement shall not constitute a waiver of the right to compel enforcement of the same provision or any remaining provisions of this Agreement.
16. Cooperation. The Agencies, without further consideration, agree to execute and deliver such other documents and to take such other action necessary, convenient, or desirable to effect the provisions and fulfill the purposes of this Agreement. (Signatures on following page)
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IN WITNESS WHEREOF, Irvine and Lake Forest have caused this Agreement to be executed by their respective duly authorized officers and representatives as indicated below.
CITY OF IRVINE CITY OF LAKE FOREST
_______________________ _______________________
By: Larry Agran By: Scott Voigts
Its: Mayor Its: Mayor
DATE OF EXECUTION DATE OF EXECUTION
_______________________ _______________________
ATTEST: ATTEST:
_______________________ _______________________
By: Carl Petersen By: Thy Merritt
City Clerk Acting City Clerk
APPROVED AS TO FORM: APPROVED AS TO FORM
Rutan & Tucker, LLP Best, Best, & Krieger
________________________ ________________________
Jeffrey Melching Matthew E. Richardson
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Attachment A
List of NITM and LFTM Intersections
ID Jurisdiction Location NITM Improvements NITM
Obligation1
LFTM
Improvements
LFTM
Obligation2
1 Lake Forest Lake Forest Drive
and Jeronimo
Road
Add 2nd SB (Lake
Forest Drive) left-turn
lane and separate
eastbound and
westbound (Jeronimo
Road) right-turn lanes.
$219,505 Provide EB
(Jeronimo Road) de-
facto right-turn lane.
$1,392,922
2 Lake Forest Ridge Route Drive
and Rockfield
Boulevard
Improve SB (Ridge
Route Drive) to 1.5
left-turn lanes, 1.5
thru lanes, and a de-
facto right-turn lane.
Restripe NB (Ridge
Route Drive) to 1.5
left-turn lanes, 1.5
thru lanes, and a de-
facto right-turn lane,
and modify signal to
split phase (NB/SB
only).
$16,202 Completed.
Add de-facto NB
(Ridge Route Drive)
right-turn lane.
$1,144
3 Lake Forest Los Alisos
Boulevard and
Rockfield Blvd
Add 2nd NB (Los
Alisos Boulevard)
Left-turn lane and SB
(Los Alisos
Boulevard) right-turn
lane.
$65,999 Add SB (Los Alisos
Boulevard) de-facto
right-turn lane.
$906,678
Irvine Contribution (Subtotal 1-3): $301,706 N/A $2,300,744 Item: 9
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ID Jurisdiction Location NITM Improvements NITM
Obligation1
LFTM
Improvements
LFTM
Obligation2
4 Irvine Alton Parkway
and Irvine
Boulevard
Stripe EB (Irvine
Boulevard) approach
to 2.5 left-turn lanes,
2.5 thru lanes and a
right-turn lane and
modify signal to
provide east/west split
phasing. And,
contribution to City of
Irvine’s TMSOS.
$13,660,000 Reconfigure EB
(Irvine Boulevard)
approach to add 3rd
EB left-turn lane,
remove dedicated
right-turn lane and
provide a de-facto
right-turn lane.
$676,214
Lake Forest Contribution (Subtotal 4): $13,660,000 N/A $676,214 Notes:
1. The NITM obligation is based on the 2025 NITM improvement costs and the associated fair share contribution percentage for each location.
2. The LFTM obligation is based on improvement costs identified in the 2024 LFTM 5-Year Update.
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7 Attachment 3
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7 RESOLUTION NO. 2025-
A RESOLUTION OF THE CITY COUNCIL OF
THE CITY OF LAKE FOREST, CALIFORNIA,
AMENDING 2025-2027 OPERATING BUDGET;
AMENDING REVENUE ESTIMATES FOR
FISCAL YEAR 2025-26
WHEREAS, the 2025-2027 Operating Budget was adopted by the City Council on June 3, 2025; and
WHEREAS, the 2025-2032 Capital Improvement Plan was adopted by the City Council on June 3, 2025; and
WHEREAS, the appropriations and revenue estimates for Fiscal Year 2025-26 were adopted by the City Council on June 3, 2025; and
WHEREAS, modifications are now required as a result of changes during Fiscal Year 2025-26.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF LAKE FOREST DOES HEREBY RESOLVE, DETERMINE, FIND AND ORDER AS FOLLOWS:
Section 1. The City Council’s adoption of this Resolution is not a project within the meaning of the California Environmental Quality Act. Specifically, the City’s adoption of the Resolution is an administrative and fiscal function of the City that does not commit the City to any specific project or course of action (State CEQA Guidelines, sections 15378(b)(4) & (b)(5).) Thus, no environmental review of the Resolution is required. The City Council hereby directs staff to prepare, execute and file with the Orange County Clerk a Notice of Exemption within five working days of the adoption of this Resolution.
Section 2. Lake Forest Traffic Mitigation is amended to increase its Revenue Estimates for Fiscal Year 2025-26 as demonstrated in Exhibit A.
Section 3. The Director of Finance is hereby authorized to move appropriations between programs within program area budgets in concurrence with Department Directors.
Section 4. The City Manager is hereby authorized to transfer appropriations from one program area to another or between funds within the Operating Budget with Item: 9
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7 notification to the City Council Audit Committee.
Section 5. The City Manager is hereby authorized to transfer appropriations from a capital improvement project to another existing project within the adopted Capital Improvement Program with notification to the City Council Audit Committee.
Section 6. The City Clerk shall attest as to the adoption and execution of this Resolution and cause the same to be maintained in the permanent records of the City.
PASSED, APPROVED AND ADOPTED this ___ day of _____ 2025, by the following vote, to wit:
____________________________
SCOTT VOIGTS
MAYOR
ATTEST:
____________________________
THY MERRITT
CITY CLERK
APPROVED AS TO FORM:
____________________________
MATTHEW RICHARDSON
CITY ATTORNEY
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7 STATE OF CALIFORNIA )
COUNTY OF ORANGE ) SS
CITY OF LAKE FOREST )
I, Thy Merritt, City Clerk of the City of Lake Forest, California, do hereby certify that the foregoing Resolution No. 2025- was duly passed and adopted at a regular meeting of the Lake Forest City Council on the ___ day of _____ 2025, by the following vote, to wit:
AYES: COUNCIL MEMBERS:
NOES: COUNCIL MEMBERS:
ABSTAIN: COUNCIL MEMBERS:
ABSENT: COUNCIL MEMBERS:
____________________________
THY MERRITT
CITY CLERK
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7 EXHIBIT A
AMENDMENT TO THE 2025-2027
OPERATING BUDGET,
AMENDMENT TO FISCAL YEAR
2025-26 REVENUE ESTIMATES
Revenue Estimates
Fund Name Current Budget Increase
(Decrease)
Amended
Budget
Lake Forest Traffic Mitigation $475,000 $301,706 $776,706 Total $776,706
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