Agenda packet — Lancaster City Council, August 26, 2025 (part 1 of 3)

Tuesday, August 26, 2025
Regular Meeting – 1:30 PM
The City Clerk/Agency/Authority Secretary hereby declares the agenda was posted by 7:00 p.m. on August 22, 2025
at the entrance to Lancaster City Hall
44933 Fern Avenue, Lancaster, CA 93534

LEGISLATIVE BODY
City Council/Successor Agency/Financing/Housing/Power Authority Mayor/Chair R. Rex Parris
Vice Mayor/Vice Chair Marvin Crist
Council Member/Agency Director/Authority Member Lauren Hughes-Leslie Council Member/Agency Director/Authority Member Raj Malhi Council Member/Agency Director/Authority Member Ken Mann CITY OF LANCASTER, CALIFORNIA
CITY COUNCIL/SUCCESSOR AGENCY/FINANCING/HOUSING/POWER AUTHORITY REGULAR MEETING AGENDA – TUESDAY , 08/26/2025
~ 1 ~

AGENDA ITEMS TO BE REMOVED
Sometimes

necessary

remove

items

from

the

agenda.

apologize

for

any

inconvenience

this
may cause you.

PUBLIC BUSINESS FROM THE FLOOR - AGENDIZED
ITEMS
Any

person

who

would

address

the

Legislative

Bodies

any

agendized

item

requested
to

complete

speaker

card

for

the

City

Clerk/Agency/Authority

Secretary

and

identify

the

agenda
item

you

would

discuss.

Each

person

will

given

opportunity

address

the

Legislative
Body

the

time

such

item

discussed.

Speaker

cards

are

available

the

rear

the

Council
Chambers

and

your

speaker

card

must

filled

out

prior

the

agenda

item

being

called.

We
respectfully

request

that

you

fill

the

cards

out

completely

and

clearly

possible.

Following
this

procedure

will

allow

for

smooth

and

timely

process

for

the

meeting

and

appreciate

your
cooperation.

Individual

speakers

are

limited

three

(3)

minutes

each
,

unless

different

time

limit
is announced
.

Consent

Calendar

items

under

the

Legislative

Body

may

acted

upon

with

one

motion,

second

and
the

vote.

you

desire

speak

item

items

the

Consent

Calendar,

you

may

fill

out

one
speaker

card

for

the

Consent

Calendar.

You

will

given

three

minutes,

unless

different

time

limit

is
announced,

address

your

concerns

before

the

Legislative

Body

takes

action

the

Consent
Calendar.

LEVINE ACT/GOVERNMENT CODE SECTION 84308
Parties

any

proceeding

involving

license,

permit,

other

entitlement

for

use

pending

before

the
City

Council

must

disclose

any

campaign

contribution

over

$250

(aggregated)

within

the

preceding
12 months

made

the

party,

their

agent,

and

those

required

aggregated

with

their

contributions
under

Gov.

Code

Section

82015.5.

The

disclosure

must

include

the

amount

contributed

and

the
name(s)

the

contributor(s).

“G.C.

Section

84308:

Yes”

this

agenda

indicates

that

the

item

is
subject to these regulations.

CALL TO ORDER
City Council/Successor Agency/Financing/Housing/Power Authority

ROLL CALL
City Council Members /Agency Directors /Authority Members: Hughes-Leslie, Malhi, Mann; Vice Mayor/ Vice Chair Crist, Mayor/Chair Parris

CITY OF LANCASTER, CALIFORNIA
CITY COUNCIL/SUCCESSOR AGENCY/FINANCING/HOUSING/POWER AUTHORITY REGULAR MEETING AGENDA –
TUESDAY , 08/26/2025
~ 2 ~

JOINT CONSENT CALENDAR
Consideration and action to excuse Mayor/Councilmember absence(s).

INVOCATION
Eric Mendoza, Grace Chapel

PLEDGE OF ALLEGIANCE

PRESENTATION

1. Sheriff’s Deputy Recognition
Presenter: Rodrick Armalin, Chief of Police

JCC 1.

Agreement

for

Exchange

Real

Property

between

City

Lancaster

and

Lancaster

Housing
Authority

Recommendation(s):

1. Find

the

exchange

property

categorically

exempt

under

the

California

Environmental
Quality Act and authorize staff to execute and file a Notice of Exemption.

2. Approve

the

Agreement

and

Escrow

Instructions

for

Exchange

Real

Property

between
the City of Lancaster and Lancaster Housing Authority.

3. Authorize

the

City

Manager

and

Executive

Director,

their

designees,

finalize

and
execute all related documents.

December

14,

2021,

the

City

Council

approved

Purchase

and

Sale

Agreement

between
the

City

Lancaster

and

Street

Properties

for

roughly

45-acre

portion

Assessor

Parcel
Number (APN) 3128-004-023, located in the City’s Parkway Village project area.

HOUSING AUTHORITY - CONSENT CALENDAR

HA CC 1.

Approve

Extension

Exclusive

Negotiating

Agreement

with

Grupe

Investment

Company,
Inc.

Recommendation(s):

1. Authorize

the

Executive

Director

his

designee

negotiate,

finalize

and

execute

an
Extension

the

original

Exclusive

Negotiating

Agreement

(ENA)

with

Grupe

Investment
Company,

Inc.

for

additional

three-month

period

for

the

potential

disposition

of
property owned by the Lancaster Housing Authority. No deposit will be required.

2. Authorize

the

Executive

Director

his

designee

negotiate,

finalize

and

execute

all
related documents in a form approved by the City Attorney.

CITY OF LANCASTER, CALIFORNIA
CITY COUNCIL/SUCCESSOR AGENCY/FINANCING/HOUSING/POWER AUTHORITY REGULAR MEETING AGENDA –
TUESDAY , 08/26/2025
~ 3 ~

COUNCIL ACTIONS
The

envisioned

project

has

incredible

potential

meet

significant

need

our
community:

affordable

first-time

homebuyer

opportunities

for

moderate

and

workforce
households

that

are

otherwise

mostly

shut

out

the

homeownership

market.

Attractive
design,

together

with

quality-of-life

features

fostering

walkability

and

recreation,

will
make

this

sought-after

destination

for

workforce

households,

particularly

those

with
children

well

young

couples

just

beginning

build

their

lives

together.

These

homes
will

assist

its

owners

achieving

the

benefits

homeownership:

housing

stability

and
building generational wealth, thereby serving a need in Lancaster for generations to come.

HA CC 2.

Initial

Cost

Recovery

Program

from

Lahontan

Regional

Water

Quality

Control

Board

for
HNR-1

Recommendation(s):

1. Approve

the

Initial

Cost

Recovery

Program

from

Lahontan

Water

Quality

Control
Board (LRWQCB) (Exhibit A and Exhibit B).

2. Authorize

the

City

Manager,

his

designee,

finalize

and

execute

all

documents
related to the Initial Cost Recovery Program.

The

Initial

Cost

Recovery

Program

set

that

reasonable

expenses

incurred

by
governmental

agencies

such

the

Regional

Water

Boards,

overseeing

water

quality
cleanup matters, can be recovered from the discharger/responsible party.

HA CC 3.

Disposition and Development Agreement with Pacific West Communities, Inc.

Recommendation(s):

1. The

Board

should

only

consider

this

item

has

first

approved

the

Agreement

for
Exchange of Real Property with the City of Lancaster (Agenda Item No. JCC 1).

2. Adopt

the

Planning

Commission’s

findings

and

decision

adopt

the

Initial
Study/Mitigated

Negative

Declaration

(SCH#2025070610),

and

approve

the

Mitigation
Monitoring

and

Reporting

Program,

consistent

with

the

Notice

Determination

filed

on
on August 19, 2025.

3. Approve

the

Disposition

and

Development

Agreement

(DDA)

with

Pacific

West
Communities,

Inc.,

for

the

sale

10-acre

parcel

located

near

Avenue

K-8

and

15 Street
West.

4. Authorize

the

Executive

Director,

his

designee,

execute

(i)

the

DDA

in
substantially

the

form

presented,

subject

non-substantive

changes

approved

the
Executive

Director

and

City

Attorney;

and

(ii)

all

documents

necessary

appropriate

to
complete the transaction.

The

City

Lancaster

and

the

Housing

Authority

have

strategically

acquired

certain
parcels

over

time

support

high

quality

developments

throughout

the

City.

Pacific

West
Communities,

Inc.,

submitted

offer

purchase

the

parcel

located

near

Avenue

K-8

and
15 Street

West,

known

Assessor’s

Parcel

Number

(APN)

3125-009-908,

for

the
development of a multifamily affordable housing project.

th
th

CITY OF LANCASTER, CALIFORNIA
CITY COUNCIL/SUCCESSOR AGENCY/FINANCING/HOUSING/POWER AUTHORITY REGULAR MEETING AGENDA –
TUESDAY , 08/26/2025
~ 4 ~

CONSENT CALENDAR

CC 1.

Waive

further

reading

any

proposed

ordinance.

(This

permits

reading

the

title

only

lieu
of reciting the entire text.)

CC 2.

Approve

the

City

Council/Sucessor

Agency/Financing/Power

Authority

Regular

Meeting
Minutes of August 12, 2025.

CC 3.

Check Registers – July 27, through August 09, 2025

Recommendation(s):

Approve

the

Check

and

Wire

Registers

for

payments

made

July

27,

2025,

through

August

09,
2025, in the amount of $9,655,578.41 as presented.

each

regular

City

Council

Meeting,

the

City

Council

presented

with

check

and
ACH/wire

registers

listing

the

financial

claims

(invoices)

against

and

paid

the

City

for

the
purchase

materials,

supplies,

services,

and

capital

projects

during

the

prior

three

four
weeks.

CC 4.

WeatherTrak Irrigation System Purchase

Recommendation(s):

Authorize

the

purchase

the

WeatherTrak

irrigation

system

from

SiteOne

Landscape
Supply in an amount not to exceed $202,419.67.

B.Authorize

the

City

Manager,

his

designee,

execute

all

contracts

and

associated
documents, subject to City Attorney approval.
This

purchase

will

support

the

continued

expansion

smart

irrigation

technology

Sgt.

Steve

Owen

Memorial

Park

(OMP)

and

the

James

Gilley

National

Soccer

Center

(LNSC).

These

two

high-use

facilities

currently

rely

outdated

irrigation

systems

that

are

longer
supported

their

original

manufacturers

software

providers.

This

creates

significant
risk

irrigation

failure,

which

could

lead

costly

turf

damage

and

the

temporary

closure

of
fields critical to community use and recreation programming.

CC 5.

Los

Angeles

County

Region

Park

and

Open

Space

District

(RPOSD)

Measure

Annual
Allocation Agreement and Deed Restriction Approval

Recommendation(s):

1. Authorize

the

City

Manager,

his

designee,

execute

the

Measure

Annual
Allocation

Grant

agreement,

and

future

Measure

Annual

Allocation

Agreements

as
needed,

implement

and

expend

the

full

amount

awarded

RPOSD

under

the
Measure

Annual

Allocation

program.

These

agreements

shall

subject

City
Attorney's review and approval.

2. Approve

Deed

Restrictions

for

all

park

and

open

space

improvements

funded

Los
Angeles County Regional Park and Open Space District (RPOSD) Measure A funds.

CITY OF LANCASTER, CALIFORNIA
CITY COUNCIL/SUCCESSOR AGENCY/FINANCING/HOUSING/POWER AUTHORITY REGULAR MEETING AGENDA –
TUESDAY , 08/26/2025
~ 5 ~

The

Signed

RPOSD

Measure

Annual

Allocation

Grant

agreement

will

enable

the

city
to

apply

for

and

utilize

funding

for

various

park

and

open

space

improvements.

A
standard

condition

receiving

these

funds

the

recordation

Deed

Restriction

on
the

improved

property.

This

action

ensures

that

the

land

perpetually

restricted

park
and

open

space

use,

consistent

with

the

public

purposes

the

Measure

grant
program.

The

approval

broad

authorization

for

Deed

Restrictions

will

streamline
the

process

for

all

current

and

future

projects

funded

through

this

program,

allowing
the

City

meet

grant

requirements

efficiently

and

proceed

with

vital

park
improvements.

CC 6.

Land

and

Water

Conservation

Fund

(LWCF)

Grant

Application

Samaritan’s

Purse

Park
Improvements

Recommendation(s):

Adopt

Resolution

No.______
,

approving

the

application

for

the

2025

Land

and

Water
Conservation Fund (LWCF) grant for the Samaritan's Purse Park Improvement Project.

Approve the Letter of Secured Contributions of Match Share.

Authorize

the

City

Manager,

his

designee,

execute

all

contracts

and

associated
documents, subject to City Attorney approval.

The

LWCF

grant

will

allow

the

city

address

critical

elements

from

the

original
community-requested

scope

that

were

unfunded

due

budgetary

constraints.

These

elements
were primarily impacted by post-pandemic pricing increases.

CC 7.

Joint

Resolution

Approving

and

Accepting

the

Negotiated

Exchange

Property

Tax
Revenues

Resulting

from

Reorganization

40-169,

Local

Agency

Formation

Commission
Designation 2024-02

Recommendation(s):
a.

Adopt

the

Joint

Resolution

Approving

and

Accepting

the

Negotiated

Exchange

Property
Tax

Revenues

Resulting

from

Reorganization

40-169,

Local

Agency

Formation

Commission
Designation 2024-02
b.

Direct

the

City

Clerk

route

three

copies

the

tax

resolution

the

City

Attorney
and the Mayor for wet signatures.

This

resolution

stems

from

request

the

Los

Angeles

County

Department

Public

Works
to

approve

the

exchange

valorem

property

tax

the

reorganization

territories
within

the

Cities

Lancaster

and

Palmdale,

well

Unincorporated

Los

Angeles

County,
referred

Reorganization

40-169

(see

Exhibits

and

B).

This

exchange

will

occur
between

the

Quartz

Hill

Water

District

and

the

Los

Angeles

County

Waterworks

District

No.
40, Antelope Valley (hereinafter referred to as the “District”) CC 8.

MOAH Chiller Replacement Project

CITY OF LANCASTER, CALIFORNIA
CITY COUNCIL/SUCCESSOR AGENCY/FINANCING/HOUSING/POWER AUTHORITY REGULAR MEETING AGENDA –
TUESDAY , 08/26/2025
~ 6 ~

Recommendation(s):

Award

the

contract

replace

the

chiller

for

the

MOAH

HV AC

system

ACCO
Engineered

Systems

amount

not

exceed

$193,420.97,

plus

15%

contingency
utilizing the Sourcewell public sector contract process.

Find

that

the

City

has

complied

with

the

California

Environmental

Quality

Act.

Notice
of Exemption was filed on August 21, 2025.

Authorize

the

City

Manager,

his

designee,

execute

all

contracts

and

associated
documents,

subject

City

Attorney

approval.

The

Museum

Art

and

History

(MOAH)

vital

cultural

hub

for

our

community,

offering
an

artistic

view

found

nowhere

else

Lancaster

while

also

hosting

wide

array

unique
programs

and

events.

The

MOAH

urgently

needs

replacement

the

chiller

for

the

HV AC
system.

The

current

chiller

has

aged

beyond

repair

and

could

pose

larger

issue

the

unique
pieces

artwork

located

this

facility

are

compromised

due

rising

temperatures.

With

it
being

the

summer

season,

vital

that

this

piece

equipment

replaced

maintain

the
integrity of the facility and the art housed there.

CC 9.

Amending

Employee

Classification

and

Compensation

Schedule

and

Increasing

the

Full
Time Equivalent (FTE) Headcount

Recommendation(s):

1. Adopt

Resolution

No.

_____

amending

Resolution

25-33,

establishing

compensation
schedule

for

various

classifications

employees

the

City

Lancaster

and

establishing

the
following changes:
·

Adding

one

(1)

full-time

equivalent

(FTE)

position

the

Community

Development
department, increase the City of Lancaster’s total FTE count from 336 to 337. ·

Reclassifying

the

vacant

Technician

position

the

City

Manager’s

Office

–
Communications division to an Administrative Assistant position ·
Addition of the following classification to 8000 series: Senior Production Assistant

2. Appropriate

$18,529.05

general

funds

support

the

reclassification

the

Technician

I
position

Administrative

Assistant

position

the

City

Manager’s

Office

–
Communications division

3. Appropriate

$229,520.31

existing

Measure

and

Public

Local

Housing

Allocation
(PLHA)

funds,

support

the

addition

one

(1)

Senior

Analyst

position

the

Community
Development department
Both

the

reclassified

Administrative

Assistant

position

and

the

new

Senior

Analyst

position
will

improve

departmental

capacity

and

enhance

service

delivery.

Final

personnel

costs

will
be determined based on hire date and salary step at which these positions are filled.

CC 10.

Approval

the

Water

Rights

Transfer

Agreement

and

Water

Rights

Transfer

Option
Agreement with Tivoli Investments, LLC.

Recommendation(s):

1. Approve

the

Water

Rights

Transfer

Agreement

between

the

City

Lancaster

and

Tivoli
Investments,

LLC.

(Tivoli

Investments)

for

the

purchase

500-Acre

Feet

Permanent
Water Rights.

CITY OF LANCASTER, CALIFORNIA
CITY COUNCIL/SUCCESSOR AGENCY/FINANCING/HOUSING/POWER AUTHORITY REGULAR MEETING AGENDA –
TUESDAY , 08/26/2025
~ 7 ~

NEW BUSINESS

2. Approve the Water Rights Transfer Option Agreement between the City of Lancaster and Tivoli Investments, LLC. for the Option to Purchase an Additional 500-Acre Feet of Permanent Water Rights.

3. Authorize the City Manager, or his designees, to execute all documents and make any non-substantive changes necessary to complete the transaction.

The proposed acquisition of permanent and optional water rights from Tivoli Investments represents a strategic investment in Lancaster’s short-term water security and development capacity. Securing these rights will ensure the City is well-positioned to support ongoing and future growth, particularly as demand increases across residential, industrial, and renewable energy sectors.

NB 1. Proposal for the purchase of Axon equipment for the Lancaster Police Department Recommendation(s):

Approve the purchase of Axon body cameras, vehicle cameras, AI assisted report writing, and accompanying systems.

This proposal also includes in-vehicle camera systems which focus on the road and focus on the backseat to monitor detained persons’ well-being and actions. The forward camera is equipped with ALPR to add to the already robust technology of the Intelligence Crime Center’s capabilities. Finally, the Axon system comes with the ability to provide links to the public so they can provide images and video of events related to a case or incident. The ability to integrate public provided evidence into a case enhances surety of facts and conclusions.

NB 2. Community Cleanup Program Implementation and Appropriation of Funds Recommendation(s):

1. Authorize the City Manager, or his designee, to implement a Community Cleanup Program, and direct City staff to provide additional graffiti and illegal dumping abatement services.

2. Appropriate $75,000.00 in General Funds from fund balance to Operating Budget account GL 101410000.5318.

3. Appropriate $105,000.00 in General Funds from fund balance to Operating Budget account GL 101410000.5103.

4. Authorize the City Manager, or his designee, to execute all related documents.

The
proposed Community Cleanup Program is designed to enhance neighborhood pride, reduce blight, and improve the quality of life.

CITY OF LANCASTER, CALIFORNIA
CITY COUNCIL/SUCCESSOR AGENCY/FINANCING/HOUSING/POWER AUTHORITY REGULAR MEETING AGENDA – TUESDAY , 08/26/2025
~ 8 ~

COUNCIL REPORTS
CR 1. Council Reports

LANCASTER FINANCING AUTHORITY
No action required at this time.

LANCASTER POWER AUTHORITY
No action required at this time.

LANCASTER SUCCESSOR AGENCY
No action required at this time.

CITY MANAGER / EXECUTIVE DIRECTOR ANNOUNCEMENTS

CITY CLERK/AGENCY/AUTHORITY SECRETARY ANNOUNCEMENT

PUBLIC BUSINESS FROM THE FLOOR - NON-AGENDIZED ITEMS
This portion of the agenda allows an individual the opportunity to address the Legislative Bodies on any item NOT ON THE AGENDA regarding City/Agency/Authority business and speaker cards must be submitted prior to the beginning of this portion of the Agenda. Please complete a speaker card for the City Clerk/Agency/Authority Secretary and identify the subject you would like to address. We respectfully request that you fill the cards out completely and print as clearly as possible. Following this procedure will allow for a smooth and timely process for the meeting and we appreciate your cooperation. State law prohibits the Legislative Body from taking action on items not on the agenda and your matter may be referred to the City Manager/Executive Director. Individual Speakers are limited to three (3) minutes each unless a different time limit is announced.

CITY COUNCIL / AGENCY/ AUTHORITY COMMENTS

CLOSED SESSION
CITY OF LANCASTER, CALIFORNIA
CITY COUNCIL/SUCCESSOR AGENCY/FINANCING/HOUSING/POWER AUTHORITY REGULAR MEETING AGENDA – TUESDAY , 08/26/2025
~ 9 ~

1. Conference with Legal Counsel - Anticipated Litigation: significant exposure to litigation pursuant to Government Code
Section 54956.9(d) (2) - four potential cases.

2. Conference with Legal Counsel - Anticipated Litigation: consideration of initiation of litigation pursuant to Government Code Section 54956.9(d) (4) – four potential cases.

3. Conference Involving a Joint Powers Agency: Antelope Valley Air Quality Management District Pursuant to Government Code Section 54956.96 Discussion will concern: Antelope Valley Air Quality Management District v. United States Environmental Protection
Agency, et al. 9
Cir. Case No. 23-1614 Name of local agency representative on joint powers agency board: Marvin Crist, Ken Mann

4. Antelope Valley Groundwater Cases Included Action:

Los Angeles County Waterworks District No. 40 v. Diamond Farming Co.

Superior Court of California, County of Los Angeles, Case No. BC325201; Los Angeles County Waterworks District No. 40 v. Diamond Farming Co.

Superior Court of California, County of Kern, Case No. S-1500-CV-254-348; Wm. Bolthouse Farms, Inc. v. City of Lancaster, Diamond Farming Co. v.

City of Lancaster, Diamond Farming Co. v. Palmdale Water District Superior Court of California County of Riverside, consolidated actions; Case Nos. RIC 353 840, RIC 344 436, RIC 344 668

5. Galant v. Lancaster School District, LASC Case No. 25A VCV00196

6. Abaied v. City of Lancaster, LASC Case No. 25STCV14733

7. Montenegro v. Green, LASC Case No. 22A VCV01050

8. Perez v. Lancaster, LASC Case No. 23A VCV00577

9. City of Whittier v. Superior Court, LASC Case No. 23 STCP03579

10. Lindo v. Lancaster, LASC Case No. 23A VCV00950.

11. Nazari v. City of Lancaster, LASC Case No. 25A VCV00192

12. Mahfound v. County of Los Angeles, City of Lancaster, LASC Case No. 25A VCV00586

13. Morgan v. Antelope Valley Transit Authority,
City of Lancaster, LASC Case No. 25A VCV00061

14. Lea v. City of Lancaster, LASC Case No.: 25STCV09046

15. Stockman v. City of Lancaster, LASC Case No. 23 A VCV00838

16. Zimmerman v. City of Lancaster, LASC Case No. 24A VCV00848

17. Snyder v. City of Lancaster, LASC Case No. 21A VCV00770

18. Higgins v. City of Lancaster, LASC Case No. 23A VCV00125

19. Wright v. City of Lancaster, LASC Case No. 23A VCV00864

20. Cordova v. City of Lancaster, Case No. 24A VCV00221

21. Darnell Wayne Thomas 25STCV17622

CITY OF LANCASTER, CALIFORNIA
CITY COUNCIL/SUCCESSOR AGENCY/FINANCING/HOUSING/POWER AUTHORITY REGULAR MEETING AGENDA –
TUESDAY , 08/26/2025
~ 10 ~

ADJOURNMENT
Next Regular Meeting:

September 09, 2025 at 1:30 PM

MEETING ASSISTANCE INFORMATION
In

compliance

with

the

Americans

with

Disabilities

Act,

this

meeting

will

held

location
accessible

persons

with

disabilities;

you

need

special

assistance

participate

this

meeting,
please

contact

the

City

Clerk

(661)723-6020.

Services

such

American

Sign

Language
interpreters,

reader

during

the

meeting,

and/or

large

copies

the

agenda

are

available.

To
ensure

availability,

you

are

advised

make

your

request

least

72 hours

prior

the

meeting/event
you

wish

attend.

Due

difficulties

securing

sign

language

interpreters,

five

business
days

notice

strongly

recommended.

For

additional

information,

please

contact

the

City

Clerk

at
(661)723-6020.

AGENDA ADDENDUM INFORMATION
On

occasion

items

may

added

after

the

agenda

has

been

mailed

subscribers.

Copies

the
agenda

addendum

item

will

available

the

City

Clerk

Department

and

are

posted

with

the

agenda
on

the

windows

the

City

Council

Chambers.

For

information,

please

call

the

City

Clerk
Department at (661) 723-6020.

All documents available for public review are on file with the City Clerk Department.

CITY OF LANCASTER, CALIFORNIA
CITY COUNCIL/SUCCESSOR AGENCY/FINANCING/HOUSING/POWER AUTHORITY REGULAR MEETING AGENDA –
TUESDAY , 08/26/2025
~ 11 ~

STAFF REPORT
City of Lancaster & Lancaster Housing Authority
JCC 1
8/26/25
TN
Date: August 26, 2025
To: Mayor Parris and City Council Members
Chairman Parris and Housing Authority Board Members
From: Larissa De La Cruz, Assistant City Manager
Sydney Yeseta, Manager - Economic Development
Subject: Agreement for Exchange of Real Property between City of Lancaster and Lancaster Housing Authority
Recommendations:

1. Find the exchange of property categorically exempt under the California Environmental Quality Act and authorize staff to execute and file a Notice of Exemption.

2. Approve the Agreement for Exchange of Real Property between the City of Lancaster and Lancaster Housing Authority.

3. Authorize the City Manager and Executive Director, or their designees, to finalize and execute all related documents.

G.C. Section 84308: No
Fiscal Impact:

The Lancaster Housing Authority will be fully reimbursed the $3,000,000 it previously invested in a City-owned parcel. The appraised value of the property being transferred from the City to the Lancaster Housing Authority is $2,940,000. The City will make an equalization payment of $60,000 to the Lancaster Housing Authority to equalize the exchange value of $3,000,000.

Adequate funding is available in Account No. 101.49900.8000 Project String CP11BS050 – Marvin E. Crist Aquatics Facility to cover the equalization payment.

Background:

On December 14, 2021, the City Council approved a Purchase and Sale Agreement between the City of Lancaster and L Street Properties for a roughly 45-acre portion of Assessor Parcel Number 2 1
6 8
(APN) 3128-004-023, located in the City’s Parkway Village project area. Subsequently, the APN changed to 3128-004-903.

The total purchase price for the property at appraised value was equal to $9,800,000. In the same action taken by City Council, and a separate action taken by the Lancaster Housing Authority at the December 2021 meeting, the Lancaster Housing Authority provided $3,000,000 as the down payment for the property. The remainder of the purchase price, minus the remainder of a pre- existing Amargosa Creek channel project reimbursement agreement, was to be funded by the City.

Title was transferred to the City on December 30, 2021.

Presently, the City wishes to use a portion of APN 3128-004-903 for the Marvin E. Crist Aquatics Center project that is currently in the planning stage. For the City to construct the public project on the parcel, the funds used by the Lancaster Housing Authority must be reimbursed.

The City is also the current owner of APN 3125-009-908, a roughly 11-acre parcel located near 15th Street West and Avenue K-8. The appraised value of the parcel is $2,940,000. This property is well-suited for an affordable housing development. City Staff are already working with Pacific West Communities, Inc., to bring a 228-unit fully affordable development to the site.

The proposed action would allow for a real property exchange in which the City would transfer title of APN 3125-009-908 to the Lancaster Housing Authority and make an equalization payment of $60,000 to fully reimburse the $3,000,000 invested by the Lancaster Housing Authority. This would remove any interest of the Lancaster Housing Authority for APN 3128-004-903, making the Marvin E. Crist Aquatics Center a viable project on the site.

SY/hb
Attachment:

Agreement for Exchange of Real Property
4914-9856-2122v3/022283-0549

AGREEMENT FOR EXCHANGE OF REAL PROPERTY
This AGREEMENT FOR EXCHANGE OF REAL PROPERTY (this “Agreement”) is entered into as of August 26, 2025 (“Effective Date”), by and between the CITY OF LANCASTER, a California municipal corporation and charter city (the “City”), and LANCASTER HOUSING AUTHORITY, a public body, corporate and politic (the “Authority”), for acquisition by the City of certain real property owned by the Authority and acquisition by the Authority of certain real property owned by the City and is made on the basis of the following facts, intentions and understandings.

R E C I T A L S
A. The City is the present owner of that certain undeveloped real property located in the vicinity of Avenue K-8 and 15th Street West in the City of Lancaster, California (APN 3125-009- 908) (the “City Parcel”). The City Parcel is more particularly described in Exhibit “A” (“City Parcel Legal Description”), which is attached hereto and incorporated herein by reference. The City is to convey fee simple merchantable title in the City Parcel (the “City’s Interest”) to the Authority in accordance with the terms of this Agreement.

B. The Authority desires to acquire the City Parcel and City has agreed to sell, assign and transfer the City Parcel on the terms and conditions set forth in this Agreement.

C. The City is also the present owner of that certain undeveloped real property located in the vicinity of Avenue K-8 and 10th Street West in the City of Lancaster, California (APN 3128-004- 903) (the “Authority Parcel”) and more particularly described in Exhibit “B” (“Authority Parcel Legal Description”) which is attached hereto and incorporated herein by reference. The City purchased the Authority Parcel for $9,800,000.00, which was paid using $6,800,000.00 of the City’s own funds and $3,000,000.00 contributed by the Authority.

D. The City desires to reimburse to the Authority the $3,000,000.00 (the “City Reimbursement Amount”) contributed by the Authority for the City’s acquisition of the Authority Parcel on the terms and conditions set forth in this Agreement.

NOW, THEREFORE, in consideration of the mutual covenants and agreements contained herein, and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the City and Authority agree as follows:

1. Exchange of Property; Equalization Payment. Subject to the prior satisfaction of the Conditions to Closing set forth in Section 3 hereof, the City shall convey to the Authority the City Parcel and the Authority shall simultaneously convey to the City the Authority Parcel. The Parties agree on the basis of investigations by each Party that the value of the City Parcel is $2,940,000.00 (the “City Parcel Value”), which is to be credited against the City Reimbursement Amount. To equalize the exchange, the City shall pay to the Authority an equalization payment in the amount of $60,000.00 (the “Equalization Payment”). The City shall pay the Equalization Payment pursuant to this Agreement as a condition precedent to the transfer of title hereunder. The Parties agree that 2 4914-9856-2122v3/022283-0549
conveyance of the City Parcel and payment of the Equalization Payment shall, together, constitute the City’s full payment and satisfaction of the City Reimbursement Amount.

2. Closing. This transaction shall close (“Closing”) within sixty (60) days of the satisfaction of the Conditions to Closing set forth in Section 3, but in any event not later than ninety (90) days after both the City and Authority have approved this Agreement (the “Outside Date”).

The “Closing” shall mean the time and day the City Parcel Grant Deed is filed for recording with the Los Angeles County Recorder. The “Closing Date” shall mean the day on which the Closing occurs.

3. Conditions to Closing.

3.1 The Conditions to the City Parcel Closing are as follows:
(a) Conveyance to the Authority of good and marketable title free of any and all interests, encumbrances, liens, easements, rights of possession or other clouds of title, other than liens, encumbrances, clouds or conditions as may be approved in writing by the Authority; and (b) Satisfaction of all the Authority’s obligations set forth in Section 4 hereof; and
(c) Satisfaction of all of the City’s obligations set forth in Section 5 hereof; and
(d) The Authority’s environmental consultant, if any, providing to the Authority evidence deemed sufficient by the Authority in writing that the City Parcel is clear of hazardous contamination. The cost of said site investigation shall be at the Authority’s expense; and (e)
(f) If requested by the City, conveyance of the Authority’s interest in the Authority Parcel or the Authority’s express written release, waiver, and/or disclaimer of any such interest.

3.2 [Intentionally omitted.]

4. Authority’s Obligations. The Authority shall deliver the following before the anticipated Closing:

4.1 The certificate of acceptance (Attachment “1” to Exhibit “D”) signed by the Authority’s authorized representative in the form attached to the City Parcel Grant Deed (as defined below); and

4.2 As and to the extend requested by the City, any document signed by the Authority’s authorized representative and notarized that expressly quitclaims, releases, waives, and/or disclaims any interest the Authority may have in the Authority Parcel. 3 4914-9856-2122v3/022283-0549

5. City’s Obligations. The City shall deliver the following before the anticipated Closing:

5.1 Any certificate of acceptance signed by the City’s authorized representative that may be required for a document provided by the Authority pursuant to Section 4.2 of this Agreement; and

5.2 A grant deed to the City Parcel signed by the City’s authorized representative and notarized in the form of Exhibit “D” attached hereto and incorporated herein by this reference (the “City Parcel Grant Deed”).

5.3 Cash, cashier’s check, wire transfer, or other immediately available funds in the amount of the Equalization Payment.

6. Representations and Warranties.

6.1 The City represents and warrants to the Authority as follows:
(a) The City has full right, power and lawful authority to grant, sell and convey the City Parcel as provided herein; and
(b) To the best of the City’s knowledge, there are no tenants or other persons who have a lawful interest in the City Parcel; and (c) The City, at the time of the execution of this Agreement, is seized of the City Parcel in fee simple and is the lawful owner of and has good indefeasible title to the City Parcel; and
(d) To the best of the City’s knowledge, there are no actions, suits, material claims, legal proceedings, or any other proceedings affecting the City Parcel or any portion thereof, at law, or in equity before any court or governmental agency, domestic or foreign; and (e) To the best of the City’s knowledge, there are no service contracts or other contracts affecting the City Parcel; and
(f) Until the Closing, the City shall not do anything which would impair the City’s title to any of the City Parcel; and
(g) To the best of the City’s knowledge, neither the execution of this Agreement nor the performance of the obligations herein will conflict with, or breach any of the provisions of any bond, note, evidence of indebtedness, contract, lease, or other agreement or instrument which affects the City Parcel; and
(h) The City agrees to convey by grant deed to the Authority marketable fee simple title to the City Parcel free and clear of all liens, encumbrances, assessments, easements, leases, and taxes of record EXCEPT quasi-public utility, public alley, public street easements, and 4 4914-9856-2122v3/022283-0549
rights of way of record, and such other liens or encumbrances approved in writing by the Authority; and
(i) The City is not a “foreign person” within the parameters of FIRPTA, or is exempt from the provisions of FIRPTA, or that the City has complied and will comply with all the requirements under FIRPTA; and
(j) Until the Closing, the City shall, upon learning of any fact or condition which would cause any of the warranties and representations in this Section 6.1 not to be true as of Closing, give written notice of such fact or condition to the Authority as soon as is reasonably practicable.

6.2 The Authority represents and warrants to the City as follows:
(a) The Authority has full right, power and lawful authority to quitclaim, release, waive, and/or disclaim its interest in the Authority Parcel as provided herein; and (b) [Intentionally omitted]
(c) [Intentionally omitted]
(d) To the best of the Authority’s knowledge, there are no pending or threatened actions, suits, material claims, legal proceedings, or any other proceedings affecting the Authority Parcel or any portion thereof, at law, or in equity before any court or governmental agency, domestic or foreign; and
(e) To the best of the Authority’s knowledge, there are no service contracts or other contracts affecting the Authority Parcel; and (f) Until the Closing, the Authority shall not do anything which would impair the Authority’s title to any of the Authority Parcel; and (g) To the best of Authority’s knowledge, neither the execution of this Agreement nor the performance of the obligations herein will conflict with, or breach any of the provisions of any bond, note, evidence of indebtedness, contract, lease, or other agreement or instrument which affects the Authority Parcel; and
(h) [Intentionally omitted]
(i) The Authority is not a “foreign person” within the parameters of FIRPTA, or are exempt from the provisions of FIRPTA, or that the Authority has complied and will comply with all the requirements under FIRPTA.
(j) Until the Closing, the Authority shall, upon learning of any fact or condition which would cause any of the warranties and representations in this Section 6.2 not to be true as of Closing, immediately give written notice of such fact or condition to the City. 5 4914-9856-2122v3/022283-0549

7. Release and Waiver. The amount of the City Parcel Value and the Authority Parcel Value as set forth in this Agreement have been determined based upon negotiations at arm’s-length and include consideration for any and all amounts required to be paid for relocation assistance pursuant to the Relocation Assistance Act (Government Code Section 7260, et seq.) and the Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970 (42 U.S.C. Section 4601, et seq.), and any other applicable federal, state or local enactment, regulation or practice. City and Authority have been fully advised by counsel of their choosing and forever waive and disclaim any claim for relocation benefits or assistance or any compensation based upon loss of goodwill, severance damages, improvements pertaining to the realty, attorneys fees, interest, court cost, or otherwise, and waive any right to receive an offer based on an appraisal, and agree that the City Parcel shall be the sole payment and compensation to Authority for the sale of Authority’s Interest in the Authority Parcel and that the Authority Parcel shall be the sole payment and compensation to the City for the sale of City’s Interest in the City Parcel.

8. Condition of the City Parcel and the Authority Parcel.

8.1 Hazardous Waste. City acknowledges with respect to the City Parcel and Authority acknowledges with respect to the Authority Parcel that to the best of City’s and Authority’s knowledge, Hazardous Materials (“Hazardous Materials”) were not used, generated, stored, released, discharged or disposed of on, under, in, or about the City Parcel or the Authority Parcel, respectively, or transported to or from the City Parcel or the Authority Parcel, respectively.

City represents with respect to City Parcel and Authority represents with respect to the Authority Parcel, that neither City in the case of the City Parcel or Authority in the case of the Authority Parcel, nor any other person or entity under the control of, or with the knowledge of the Authority will cause or permit the use generation, storage, release, discharge, or disposal of any Hazardous Materials on, under, in, or about the subject property. As used in this Agreement the term “Hazardous Materials” shall mean any substance, material, or waste which is or becomes, prior to the closing date, regulated by any local governmental authority, the State of California, or the United States Government, including, but not limited to, any material or substance which is (i) defined as a “hazardous waste”, “extremely hazardous waste”, or “restricted hazardous waste” under Section 25115, 25117 or 25122.7, or listed pursuant to Section 25140 of the California Health and Safety Code, Division 20, Chapter 6.5 (Hazardous Waste Control Law)), (ii) defined as “hazardous substance” under Section 25316 of the California Health and Safety Code, Division 20, Chapter 6.8 (Carpenter-Presley-Tanner Hazardous Substance Account Act), (iii) defined as a “hazardous material”, “hazardous substance”, or “hazardous waste” under Section 25501 of the California Health and Safety Code, Division 20, Chapter 6.95 (Hazardous Materials Release Response Plans and Inventory), (iv) defined as a “hazardous substance” under Section 25281 of the California Health and Safety Code, Division 20, Chapter 6.7 (Underground Storage of Hazardous Substances), (v) petroleum, (vi) friable asbestos, (vii) polychlorinated biphenyls, (viii) listed under Article 9 or defined as “hazardous” or “extremely hazardous” pursuant to Article 11 of Title 22 of the California Code of Regulations, Division 4, Chapter 20, (ix) designated as a “hazardous substances” pursuant to Section 311 of the Clean Water Act, (33 U.S.C. §1317), (x) defined as a “hazardous waste” pursuant to Section 1004 of the Resource Conservation and Recovery Act, 42 U.S.C. §6901 et seq. (42 U.S.C. §6903) or (xi) defined as “hazardous substances” pursuant to Section 101 of the Comprehensive Environmental Response, Compensation, and Liability Act, 42 U.S.C. §6901 et seq. City shall be responsible for the removal 6 4914-9856-2122v3/022283-0549
of all Hazardous Materials, if any, before City relinquishes actual possession of the City Parcel.

Authority shall be responsible for the removal of all Hazardous Materials, if any, before Authority relinquishes actual possession of the Authority Parcel.

9. Compliance with Environmental Laws. To the best of City’s knowledge with respect to the City Parcel and to the best of Authority’s knowledge with respect to the Authority Parcel, the subject property and its present use complies with all applicable laws and governmental regulations including, without limitation, all applicable federal, state, and local laws pertaining to air and water quality, hazardous waste, waste disposal, and other environmental matters, including, but not limited to, the Clean Water, Clean Air, Federal Water Pollution Control, Solid Waste Disposal, Resource Conservation Recovery and Comprehensive Environmental Response Compensation and Liability Acts, and the California Environmental Quality Act, and the rules, regulations, and ordinances of the City within which the subject property is located, the California Department of Health Services, the Regional Water Quality Control Board, the State Water Resources Control Board, the Environmental Protection City, and all applicable federal, state, and local agencies and bureaus.

10. Indemnity.

10.1 City agrees to indemnify, defend and hold Authority harmless from and against any claim, action, suit, proceeding, loss, cost, damage, liability, deficiency, fine, penalty, punitive damage, or expense (including, without limitation, attorneys’ fees), resulting from, arising out of, or based upon (i) the presence, release, use, generation, discharge, storage or disposal of any Hazardous Materials on, under, in or about, or the transportation of any such Hazardous Materials to or from, City Parcel, or (ii) the violation, or alleged violation, of any statute, ordinance, order, rule, regulation, permit, judgement or license relating to the use, generation, release, discharge, storage, disposal or transportation of Hazardous Materials on, under, in or about, to or from, City Parcel prior to closing. This indemnity shall include, without limitation, any damage, liability, fine, penalty, punitive damage, cost or expense arising from or out of any claim, action, suit or proceeding for personal injury (including sickness, disease or death, tangible or intangible property damage, compensation for lost wages, business income, profits or other economic loss, damage to the natural resource or the environment, nuisance, contamination, leak, spill, release or other adverse effect on the environment. This indemnity extends only to liability created prior to the Closing Date. City shall not be responsible for acts or omissions to act on or after the Closing Date.

10.2 Authority agrees to indemnify, defend and hold City harmless from and against any claim, action, suit, proceeding, loss, cost, damage, liability, deficiency, fine, penalty, punitive damage, or expense (including, without limitation, attorneys’ fees), resulting from, arising out of, or based upon (i) the presence, release, use, generation, discharge, storage or disposal of any Hazardous Materials on, under, in or about, or the transportation of any such Hazardous Materials to or from, the Authority Parcel, or (ii) the violation, or alleged violation, of any statute, ordinance, order, rule, regulation, permit, judgement or license relating to the use, generation, release, discharge, storage, disposal or transportation of Hazardous Materials on, under, in or about, to or from, the Authority Parcel. This indemnity shall include, without limitation, any damage, liability, fine, penalty, punitive damage, cost or expense arising from or out of any claim, action, suit or proceeding for personal injury (including sickness, disease or death, tangible or intangible property damage, 7 4914-9856-2122v3/022283-0549
compensation for lost wages, business income, profits or other economic loss, damage to the natural resource or the environment, nuisance, contamination, leak, spill, release or other adverse effect on the environment. This indemnity extends only to liability created prior to the Closing Date.

Authority shall not be responsible for acts or omissions to act after the Closing Date.

11. Environmental Contingency. This Agreement is additionally contingent upon Authority, in connection with the City Parcel, and the City, in connection with the Authority Parcel, receiving satisfactory evidence, in the form of an environmental assessment report, from a licensed contractor who is acceptable to the grantee of each subject property in its sole and absolute discretion and who shall be hired by such grantee, showing that the subject property is free from any Hazardous Materials in the soil or groundwater, or any other conditions which may affect the value of the property. In the event the grantee of the subject property is not able to obtain such an environmental assessment report, the grantee is entitled to conduct such further and other examination and testing as it or any responsible governmental City may require or request to determine the nature, source, scope, and extent of such Hazardous Materials, or it may cancelthis Agreement. If a licensed contractor selected by Authority, in connection with City Parcel, or the City, in connection with the Authority Parcel, determines that there are Hazardous Materials in, on or under the subject property, including in the groundwater, then the grantee in each case may elect to: (i) cancelthis Agreement , or (ii) purchase the subject property at a total price to be agreed upon by the parties. Regardless of which option is selected by the grantee in the event Hazardous Materials are found in, on or under the subject property, neither party waives or relinquishes any common law or statutory rights it or they may have against one another or third persons arising from or related to the cause or source of the Hazardous Materials, or for contribution or indemnity as a result of site evaluation, remediation and clean-up costs and liability.

12. 13. Termination. If the Parties are not in condition to close by the Outside Date, then either party which has fully performed under this Agreement may, in writing, demand the return of money or property and terminate this Agreement. If neither party has fully complied with the provisions of this Agreement, no demand for return of documents shall be recognized and this Agreement shall not terminate until five (5) days after delivered copies of such demand to all other parties at the respective addresses shown in this Agreement. If any objections are raised within said five (5) day period, the Parties areauthorized to hold all papers and documents until instructed by a court of competent jurisdiction or by mutual written instructions of the parties. Termination of this Agreement shall be without prejudice as to whatever legal rights either party may have against the other arising from this Agreement. If no demand is made, the Parties will proceed with Closing as soon as possible.

14. Loss or Damage.

14.1 City Parcel. Loss or damage to City Parcel, by fire or other casualty, occurring prior to the recordation of the City Parcel Grant Deed shall be at the risk of City. In the event that loss or damage to City Parcel, by fire or other casualty, occurs prior to recordation of the City Parcel Grant Deed, Authority may elect to require that the City pay to Authority the proceeds of any insurance which may become payable to City by reason thereof, or to permit such proceeds to be 8 4914-9856-2122v3/022283-0549
used for the restoration of the damage done, or to reduce the City Parcel Purchase Price by an amount equal to the diminution in value of City Parcel by reason of such loss or damage or the amount of insurance payable to City, whichever is greater.

14.2 Authority Parcel. Loss or damage to Authority Parcel, by fire or other casualty, occurring prior to the recordation of the Authority Parcel Grant Deed shall be at the risk of Authority. In the event that loss or damage to Authority Parcel, by fire or other casualty, occurs prior to recordation of the Authority Parcel Grant Deed, City may elect to require that Authority pay to City the proceeds of any insurance which may become payable to Authority by reason thereof, or to permit such proceeds to be used for the restoration of the damage done, or to reduce the Authority Parcel Purchase Price by an amount equal to the diminution in value of Authority Parcel by reason of such loss or damage or the amount of insurance payable to Authority, whichever is greater.

15. General Provisions.

15.1 Brokers. Each party represents and warrants to the other that it has not used any finder, broker or real estate agent in connection with this transaction, and agrees that it shall indemnify and hold the other harmless from and against all brokerage commissions or finder’s fees and claims therefor, payable in connection with the disposition of the City Parcel and/or the Authority Parcel and resulting from the acts or omissions of such indemnifying party.

15.2 Successors and Assigns. This Agreement shall be binding upon and shall inure to the benefit of City and Authority and their respective heirs, personal representatives, successors and assigns.

15.3 Approvals and Notices. Any approval, disapproval, demand, document or other notice (“Notice”) which either party may desire or be required to give to the other party under this Agreement must be in writing and may be given by any commercially acceptable means to the party to whom the Notice is directed at the address of the party as set forth below, or at any other address as that party may later designate by Notice. Any Notice given under this paragraph, whether personally or by mail, shall be deemed received only upon actual receipt by the intended party.

To City: City of Lancaster
44933 North Fern Avenue
Lancaster, California 93534
Attn: City Manager
To Authority: Lancaster Housing Authority
44933 North Fern Avenue
Lancaster, California 93534
Attn: Executive Director

15.4 Jurisdiction and Venue. This Agreement shall be construed under the laws of the State of California in effect at the time of the signing of this Agreement. The Parties consent to the jurisdiction of the California courts with venue in Los Angeles County. 9 4914-9856-2122v3/022283-0549

15.5 Titles and Captions. Titles and captions are for convenience of reference only and do not define, describe or limit the scope or the intent of this Agreement or of any of its terms.

Reference to section numbers are to sections in this Agreement, unless expressly stated otherwise.

15.6 Interpretation. As used in this Agreement, masculine, feminine or neuter gender and the singular or plural number shall each be deemed to include the others where and when the context so dictates. The word “including” shall be construed as if followed by the words “without limitation.” This Agreement shall be interpreted as though prepared jointly by both parties.

15.7 No Waiver. A waiver by either party of a breach of any of the covenants, conditions or agreements under this Agreement to be performed by the other party shall not be construed as a waiver of any succeeding breach of the same or other covenants, agreements, restrictions or conditions of this Agreement.

15.8 Modifications. Any alteration, change or modification of or to this Agreement, in order to become effective, shall be made in writing and in each instance signed on behalf of each party.

15.9 Severability. If any term, provision, condition or covenant of this Agreement or its application to any party or circumstances shall be held, to any extent, invalid or unenforceable, the remainder of this Agreement, and the application of the term, provision, condition or covenant to persons or circumstances other than those as to whom or which it is held invalid or unenforceable, shall not be affected, and shall be valid and enforceable to the fullest extent permitted by law.

15.10 Right of Access.
(a) Authority shall first be entitled to possession of City Parcel on and after the Closing Date. Prior to the Closing Date, Authority and its representatives, agents, employees, contractors and designees shall have the right of access to City Parcel at all reasonable times for the purposes of making necessary and appropriate inspections, tests, borings, samplings, surveys, etc. Authority shall save and protect the City against any claims resulting from such access or use of City Parcel undertaken pursuant to this Section. (b) City shall first be entitled to possession of the Authority Parcel on and after the Closing Date. Prior to the such date, City and its representatives, agents, employees, contractors and designees shall have the right of access to the Authority Parcel at all reasonable times for the purpose of making necessary and appropriate inspections, tests, borings, samplings, surveys, etc. The City shall save and protect Authority against any claims resulting from such access or use of Authority Parcel undertaken pursuant to this Section.

15.11 Computation of Time. The time in which any act is to be done under this Agreement is computed by excluding the first day, and including the last day, unless the last day is a holiday or Saturday or Sunday, and then that day is also excluded. The term “holiday” shall mean all holidays as specified in Section 6700 and 6701 of the California Government Code. If any act is to be done by a particular time during a day, that time shall be Pacific Time Zone time. 10 4914-9856-2122v3/022283-0549

15.12 Legal Advice. Each party represents and warrants to the other the following:
they have carefully read this Agreement, and in signing this Agreement, they do so with full knowledge of any right which they may have; they have received independent legal advice from their respective legal counsel as to the matters set forth in this Agreement, or have knowingly chosen not to consult legal counsel as to the matters set forth in this Agreement; and, they have freely signed this Agreement without any reliance upon any agreement, promise, statement or representation by or on behalf of the other party, or their respective agents, employees, or attorneys, except as specifically set forth in this Agreement, and without duress or coercion, whether economic or otherwise.

15.13 Time of Essence. Time is expressly made of the essence with respect to the performance by City and Authority of each and every obligation and condition of this Agreement including, without limitation, the Closing.

15.14 Cooperation. Each party agrees to cooperate with the other in the Closing of this transaction and, in that regard, to sign any and all documents which may be reasonably necessary, helpful, or appropriate to carry out the purposes and intent of this Agreement including, but not limited to, releases or additional agreements.

15.15 Agreement in Total.
(a) Entire Agreement. This Agreement contains the entire understanding between the parties relating to the transaction contemplated by this Agreement. Each Party is entering this Agreement based solely upon the representations set forth herein and upon its own independent investigation of any and all facts it deems material. No subsequent agreement, representation, or promise made by either party hereto, or by or to an employee, officer, agent or representative of either party shall be of any effect unless it is in writing and executed by the party to be bound thereby.
(b) Counterparts. This Agreement may be signed in multiple counterparts which, when signed by all parties, shall constitute a binding agreement. (c) Exhibits Incorporated by Reference. All exhibits and attachments attached to this Agreement are incorporated in this Agreement by this reference. 11 4914-9856-2122v3/022283-0549
IN WITNESS WHEREOF, the Parties have executed this Agreement as of the day and year first set forth above.

CITY:

CITY OF LANCASTER,
a California municipal corporation and charter city
By: ____________________________
Name: Trolis Niebla
ATTEST:
_________________________________
City Clerk
APPROVED AS TO FORM:
_________________________________
City Attorny
Its: City Manager
AUTHORITY:

LANCASTER HOUSING AUTHORITY,
a public body, corporate and politic
By: ____________________________
Name: Trolis Niebla
Its: Executive Director
A-1
4914-9856-2122v3/022283-0549
EXHIBIT “A”

CITY PARCEL LEGAL DESCRIPTION
Real property in the City of Lancaster, County of Los Angeles, State of California, described as follows:

All of that parcel of land being the Southwest quarter of the Northeast quarter of Section 28, Township 7 North, Range 12 West, San Bernardino Base and Meridian, in the City of Lancaster, County of Los Angeles, State of California, according to the official plat of said land, except therefrom that portion lying easterly of the land described as Parcels, 1, 2 and 3 in the Deed to the State of California recorded June 27, 1968 as Instrument No. 417, Official Records of said County, said parcel of land also being described in the Certificate of Compliance recorded September 1, 1988 as Instrument No. 88-1395036, Official Records of said County.

EXCEPTING THEREFROM, that portion of land lying southerly of the following described line; BEGINNING at a point on the West line of said Northeast quarter of Section 28 distant North 0°24’01” West 547.17 from the Southwest corner thereof; thence,
1st - South 89°38’50” East 767.88 feet to the East line of said land, being also the West line of said Parcel 1 in the Deed to the State of California.

RESERVING therefrom an 18 foot wide (18') strip of land along the westerly line of said northeast quarter an easement for public road purposes, as described as beginning at the southwest corner of said southwest quarter of the northeast quarter section 28; thence North 0°17' 26" west along quarter section line, also being the easterly line of Tract No. 43627 filed in Book 1097, page 87 to 91 of Maps, Records of said County, 1055 feet; thence North 89°43' 34" East, 18 feet; thence South 0°17’26" East, 1055 feet to the southerly line of said southwest quarter; thence North 89°38'36" west, 18 feet more or less along said last mentioned southerly line to the point of beginning.

Except therefrom that portion in public roads of record.

B-1
4914-9856-2122v3/022283-0549
EXHIBIT “B”

AUTHORITY PARCEL LEGAL DESCRIPTION
That Portion of Parcel 2 of Parcel Map No. 068266 in the City of Lancaster, County of Los Angeles, State of California filed in Parcel Map Book 352, Pages 61 Through 63, in the office of the County Recorder of said County lying WESTERLY of a line 927.00 feet westerly and parallel with the most Easterly line of said Parcel.

APN 3128-004-903

4914-9856-2122v3/022283-0549
EXHIBIT “C”
[INTENTIONALLY OMITTED]
D-1
4914-9856-2122v3/022283-0549
EXHIBIT “D”

CITY PARCEL GRANT DEED
Recording Requested By and
When Recorded Mail To:

Lancaster Housing Authority
44933 North Fern Avenue
Lancaster, California 93534
Attn: Executive Director
This document is exempt from the payment of
a recording fee pursuant to Government Code
Section 6103.

GRANT DEED
FOR A VALUABLE CONSIDERATION, receipt of which is hereby acknowledged, CITY OF LANCASTER, a California municipal corporation and charter city, hereby GRANT(S) to LANCASTER HOUSING AUTHORITY, a public body, corporate and politic, the real property in the City of Lancaster, County of Los Angeles, State of California, described as follows:

Real property in the City of Lancaster, County of Los Angeles, State of California, described as follows:

RESERVING therefrom an 18 foot wide (18') strip of land along the westerly line of said northeast quarter an easement for public road purposes, as described as beginning at the southwest corner of said southwest quarter of the northeast quarter section 28; thence North 0°17' 26" west along quarter section line, also being the easterly line of Tract No. 43627 filed in Book 1097, page 87 to 91 of Maps, Records of said County, 1055 feet; thence North 89°43' 34" East, 18 feet; thence South 0°17’26" East, 1055 feet to 4914-9856-2122v3/022283-0549
the southerly line of said southwest quarter; thence North 89°38'36" west, 18 feet more or less along said last mentioned southerly line to the point of beginning.

Except therefrom that portion in public roads of record.

APN 3125-009-908
GRANTOR:

CITY OF LANCASTER,
a California municipal corporation and charter city
By: ____________________________
Name: Trolis Niebla
Its: City Manager
D-3
4914-9856-2122v3/022283-0549
ATTACHMENT NO. “1” TO EXHIBIT “D”

CERTIFICATE OF ACCEPTANCE
This is to certify that the interest in real property conveyed by written deed or grant deed dated _____________________, by and between the CITY OF LANCASTER, a California municipal corporation and charter city, as Grantor, and LANCASTER HOUSING AUTHORITY, a public body, corporate and politic, as Grantee, is hereby accepted by the undersigned officer on behalf of the LANCASTER HOUSING AUTHORITY pursuant to authority conferred by Resolution No. HA 01-12 of the Board of Directors adopted on March 27, 2012 and the LANCASTER HOUSING AUTHORITY consents to recordation thereof by its duly authorized officer.

Dated this _________ day of _____________, 2025.

By: ____________________________
Name: Trolis Niebla
Its: Executive Director
4914-9856-2122v3/022283-0549
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.

STATE OF CALIFORNIA )
) ss.

COUNTY OF ____________ )
On _____________________________, before me, ________________________________, Notary Public, (Print Name of 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 Public

OPTIONAL
Though the data below is not required by law, it may prove valuable to persons relying on the document and could prevent fraudulent reattachment of this form.

CAPACITY CLAIMED BY SIGNER DESCRIPTION OF ATTACHED DOCUMENT Individual
Corporate Officer
_____________________________________________________________ Title(s)
_____________________________________________________________ Title Or Type Of Document
_____________________________________________________________ Number Of Pages
_____________________________________________________________ Date Of Documents
Partner(s) Limited General
Attorney-In-Fact
Trustee(s)
Guardian/Conservator
Other:______________________________________
Signer is representing:

Name Of Person(s) Or Entity(ies)
_____________________________________________________________ _____________________________________________________________ _____________________________________________________________ Signer(s) Other Than Named Above
4914-9856-2122v3/022283-0549
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.

STATE OF CALIFORNIA )
) ss.

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 Public

OPTIONAL
Though the data below is not required by law, it may prove valuable to persons relying on the document and could prevent fraudulent reattachment of this form.

STAFF REPORT
Lancaster Housing Authority
HA CC 1
8/26/2025
TN
Date:August 26, 2025
To: Chairman Parris and Authority Members
From:Patti Garibay, Director - Community Development
Nicole Jones, Senior Analyst – Community Development
Subject:Approve Extension to Exclusive Negotiating Agreement with Grupe Investment Company, Inc.

Recommendation:

1. Authorize the Executive Director or his designee to negotiate, finalize and execute an Extension to the original Exclusive Negotiating Agreement (ENA) with Grupe Investment Company, Inc. for an additional three-month period for the potential disposition of property owned by the Lancaster Housing Authority. No deposit will be required.

2. Authorize the Executive Director or his designee to negotiate, finalize and execute all related documents in a form approved by the City Attorney.

G.C. Section 84308: No
Fiscal Impact:

None.

Background:

The Lancaster Housing Authority (“Authority”) owns a number of properties intended for affordable housing development. One such property, “HNR-3,” is an assemblage of four parcels comprised of approximately 35 acres located on the former Antelope Valley Fairgrounds at the intersection of Avenue I and Division Street.

An RFP was completed in early 2023. This agreement represents the Authority’s opportunity to take the first steps toward the development of this property. Grupe is interested in acquiring approximately 12.9 acres of the Property from the Housing Authority (depicted in Exhibit B of the subject ENA; the “Grupe Portion”), and thereafter, securing all necessary entitlements to redevelop the Grupe Portion with approximately 200 units of workforce for-sale housing (the “Grupe Project”).
2 1
5 1
While precise Area Median Income (AMI) levels for the subject units are yet to be determined, the developer envisions that the new workforce condominiums will target first-time homebuyers with AMIs ranging from 90% to 120%, with the majority at 100% of AMI. The project will be composed of two-, three- and four-bedroom units, with amenities such as a central community center, a pool, and other recreational facilities.

The proposed Extension to the original Exclusive Negotiating Agreement will enable staff and the developer to enter into formal negotiations with the goal of crafting a Disposition and Development Agreement (DDA) for the sale and development of the property. The ENA term will be for an additional three months. If the staff and the developer agree on a term sheet by the 90-day deadline, the Exclusive Negotiating Agreement continues and the Parties have until 12 months from the Effective Date of the ENA to negotiate and execute the DDA. If the staff and developer are unable to reach mutually agreeable terms during the ENA period, the property would again be marketed to other potential developers. The ENA does not bind the Authority to sell the property. The resulting DDA would be subject to approval by the Authority.

The envisioned project has incredible potential to meet a significant need in our community:
affordable first-time homebuyer opportunities for moderate and workforce households that are otherwise mostly shut out of the homeownership market. Attractive design, together with quality-of-life features fostering walkability and recreation, will make this a sought-after destination for workforce households, particularly those with children as well as young couples just beginning to build their lives together. These homes will assist its owners in achieving the benefits of homeownership: housing stability and building generational wealth, thereby serving a need in Lancaster for generations to come.

Attachment:

Exclusive Negotiation Agreement Extension (ENA) w Grupe 55707.00003\44092490.2
1 CITY OF LANCASTER

FIRST AMENDMENT TO

EXCLUSIVE NEGOTIATION AGREEMENT AMENDMENT
THIS First Amendment, effective August 26, 2025, (“Effective Date”), is between the City of Lancaster, a California municipal corporation (“City”), and Grupe Investment Company, Inc., a California Corporation (“Grupe”) with respect to the original Exclusive Negotiation Agreement between the parties with an effective date of May 27, 2025 (“Agreement”). The parties desire to extend the term of the Agreement.

The Parties agree as follows:

1. The term of the Agreement is extended an additional 90 days until November 27, 2025.

2. All other terms and provisions of the Agreement and subsequent amendments are unchanged and remain in effect.

IN WITNESS WHEREOF, the parties hereto have caused this First Amendment to be executed and attested by their respective duly authorized officers.

CITY OF LANCASTER,
a California municipal corporation
By: ______________________________
Trolis Niebla, City Manager
APPROVED AS TO FORM:

By: _____________________________
City Attorney
GRUPE INVESTMENT COMPANY, INC.,
a California corporation
By: _____________________________
Matt Skelton, Vice President Acquisition
DEPARTMENT HEAD APPROVAL:

By: ___________________________
Department Director
ATTEST:

By: _____________________________
City Clerk

STAFF REPORT
Lancaster Housing Authority
HA CC 2
8/26/2025
TN
Date:August 26, 2025
To: Chair Parris and Housing Authority Members
From:Patti Garibay, Director - Community Development
Nicole Jones, Senior Analyst – Community Developement
Subject:Initial Cost Recovery Program from Lahontan Regional Water Quality Control Board for HNR-1
Recommendations:

1. Approve the Initial Cost Recovery Program from Lahontan Water Quality Control Board (LRWQCB) (Exhibits A and B).

2. Authorize the City Manager, or his designee, to finalize and execute all documents related to the Initial Cost Recovery Program.

G.C. Section 84308: No
Fiscal Impact:

There is no impact to the General Fund. All invoices will be paid from the Low Mod Income Housing Asset Fund (LMIHAF) with existing budget in 31422000.5710. LRWQCB estimates that they will need 200 hours to complete their initial work at a cost of $235 per hour. City staff will track the budget and invoices for this project closely.

Background:

The Housing Authority owns Housing and Neighborhood Revitalization-1 (HNR-1), which consists of twenty (20) parcels of land totaling approximately 5.7 acres on the southwest corner of West Avenue I and Sierra Highway in a residential/commercial area of Lancaster. Prior to the City’s acquisition, HNR-1 was developed with residences, retail businesses, gas stations, and automobile repair facilities. All the previous structures were demolished approximately between 2003 and 2011. HNR-1 is currently vacant and unpaved.

Soil and soil vapor sampling conducted between 2021 and 2024 at HNR-1 identified subsurface impacts in soil, soil vapor, and groundwater. The predominant chemical of concern 2 1
5 2
(COC) is perchloroethylene (PCE); which was identified primarily in the Western portion of the Subject Property. Based on the results of offsite soil vapor samples, Waterstone Environmental Inc. (Waterstone) conducted off-site indoor air sampling in residential properties to the south and commercial properties to the north to evaluate the potential for vapor intrusion, but no PCE was identified in any of the indoor air samples.

Waterstone and City staff met with LRWQCB on December 2, 2024, to discuss the Subject Property’s history and findings to date. On December 27, 2024, the LRWQCB sent the City an Initial Cost Recovery Program letter. Authorization for spending was received by the Housing Authority on April 8, 2025.

Porter-Cologne Water Quality Control Act (California Water Code), section 13304, allows the California Regional Water Quality Control Board, Lahontan Region (Water Board), to recover reasonable expenses from responsible parties to oversee cleanup and abatement of discharges that have adversely affected waters of the State. A cost recovery account will be established for the HNR-1 project, and through that account is where the Regional Water Board will charge labor costs for regulatory oversight associated with cleanup efforts at the site.

LRWQCB has determined, based on on-site characterization investigations, that there are impacts to the subsurface and groundwater that warrant the need for additional investigations and cleanup of solvents and petroleum hydrocarbons.

Since then, no funding has been spent so new Initial Cost Recovery Program letters have been sent to cover costs for the 2025-2026 year. LRWQCB estimates that they will need 200 hours to complete their initial work at a cost of $235 per hour.

The LRWQCB is required to provide the City of Lancaster annually with the following information:

1. A detailed estimate of the work to be performed or services to be provided, including a statement of the expected outcome of that work, based upon data available to the agency at the time;

2. The billing rates for all individuals and classes of employees expected to engage in the work or services; and

3. An estimate of all expected charges to be billed to the responsible party by the agency.

Estimate of Work to be Performed Water Board staff estimates that the following work will be performed during state fiscal year 2025/2026 (July 1, 2025, to June 30, 2026):

1. Conduct agency internal communications such as memos, meetings, etc.;

2. Review existing previously submitted reports (e.g., work plans, site assessments, and monitoring reports)

3. Review and comment on reports (e.g., work plans, site investigations; make recommendations /requests for revising reports;

4. Attend meetings with discharger (s), their representatives, consultants, and other interested parties; and

5. Conduct in-person site inspection(s).

The Initial Cost Recovery Program is set up so that reasonable expenses incurred by governmental agencies, such as the Regional Water Boards, in overseeing water quality cleanup matters, can be recovered from the discharger/responsible party. City Staff will meet with the City Attorney regularly to monitor progress and invoices.
2 1
5 2
Attachments:

Exhibit A – Annual Estimate for Cost Recovery Program – W. Avenue I Properties (East) Exhibit B - Annual Estimate for Cost Recovery Program – W. Avenue I Properties (West)

Lahontan Regional Water Quality Control Board
June 23, 2025
GeoTracker: T10000022965

Chris Aune
Housing Manager - Real Estate & Economic Development
City of Lancaster
44933 Fern Avenue
Lancaster, CA 93534
[email protected]

Annual Estimate for Cost Recovery Program – W. Avenue I Properties (West), Lancaster – Cost Recovery Code 2060026

Section 13304 of the Porter-Cologne Water Quality Control Act (Porter Cologne) allows the California Regional Water Quality Control Board, Lahontan Region (Water Board) to recover reasonable expenses from responsible parties to oversee cleanup and abatement of discharges, which have adversely affected waters of the state. A cost recovery account has been established for your facility, which is where Regional Water Board time charges are billed to you.

Section 13365 of Porter Cologne requires that annually we provide each responsible party with the following information:

1. A detailed estimate of the work to be performed or services to be provided, including a statement of the expected outcome of that work, based upon data available to the agency at the time;

2. The billing rates for all individuals and classes of employees expected to engage in the work or services; and

3. An estimate of all expected charges to be billed to the responsible party by the agency.

Estimate of Work to be Performed and Expected Outcome
Water Board staff estimate that the following work may be performed for the subject site during the fiscal year 2025-2026:

1. Review and comment on semi-annual groundwater monitoring reports and investigation or remedial action work plans and reports;

Chris Aune - 2 - June 23, 2025

2. Conduct site visits and/or technical consultations (e.g., meetings and/or telephone conversations with you or your consultant), phone calls and meetings to keep informed on the remediation progress; and

3. Preparation of any necessary written correspondence, such as internal Water Board communications (e.g., memorandum, meetings, and briefings to management or Board Members), administrative billings, annual cost estimate letter, or other relevant documentation.

Billing Rates
Enclosure 1 describes the billing rates for employees expected to engage in the work or services for your facility, including an example of how the hourly billing rate is calculated.

The name and classification of employees making charges will be listed on invoices. The average billing rate is approximately $235 per hour.

Estimate of Expected Charges
Water Board staff expects to charge approximately 100 hours in the conduct of cleanup oversight for this project during fiscal year 2025-2026, which runs from 1 July 2025 through 30 June 2026. The number of hours given is merely an estimate, and you will be billed for the actual hours spent. Based on the average billing rate of $235 per hour, the estimated billing charge for the subject site may be $23,500 for fiscal year 2025-2026. The estimated billing charge for this site is merely an estimate, which will vary depending on the salary of the individual(s) responsible for the oversight.

Invoices

Site Cleanup Program invoices are currently sent by U.S. Postal Service as standard delivery. To opt-in to receiving invoices by email instead of U.S. Postal Service delivery, complete and return the enclosed form (Enclosure 2).

Electronic submittals for your facilities should be through the State’s GeoTracker system.

Duplicate submission via ECM is not required for documents that are submitted to GeoTracker. Please be aware that submittal of documents to the general ECM mailbox ([email protected]) does not relieve the requirement to upload electronic information to GeoTracker. GeoTracker information is available to the public at http://geotracker.waterboards.ca.gov. This includes well coordinates, well construction, analytical data, and reports.

Should you have any questions, please contact Luis Gomez, Engineering Geologist, at (760) 316-1295 or at ([email protected]) or Christina Guerra, Senior Engineering Geologist at (760) 241-7333 or at ([email protected]).

Christina Guerra, P.G.

Senior Engineering Geologist

Digitally signed by
Christina Guerra
Date: 2025.06.23 13:07:11
-07'00'
Chris Aune - 3 - June 23, 2025
Enclosures: 1. Billing Cost Explanation, Fiscal Year 2025-2026

2. Opt-In for Email Invoice Delivery

cc: Tracy Lotz, State Water Board ([email protected]) Site Cleanup, Division of Administrative Services, State Water Board ([email protected])
Jeffrey Dagdigian, Waterstone Environmental ([email protected]) Heather Fields, Waterstone Environmental ([email protected]) Alonzo Poach, Lahontan Water Board ([email protected])

Employee Salary and Benefit by Classification [1]
AEO - Assistant Executive Officer CEA 14,891$ 30,749$ AGPA - Associate Governmental Program Analyst 8,677$ 11,188$ AFCNSL - Staff Counsel (Attorney) 11,466$ 17,304$
SFCNSLIII - Staff Counsel III (Attorney) 15,614$ 22,051$ SFCNSLIV - Staff Counsel IV (Attorney) 17,256$ 23,159$ EG - Engineering Geologist 9,335$ 17,575$
EPMI - Environmental Program Manager I 18,058$ 22,449$ EPMII - Environmental Program Manager II 20,957$ 23,808$ ES - Environmental Scientist 6,327$ 13,156$
EOI - Exec Officer I 24,336$ 27,647$
EOII - Exec Officer II 24,932$ 28,318$
SEG - Senior Engineering Geologist 16,456$ 20,597$ SRES - Senior Environmental Scientist 15,617$ 19,414$ SRES - Senior Environmental Scientist (Spec) 11,198$ 15,148$ SWRCE - Senior Water Resources Control Engineer 16,456$ 20,597$ SSA - Staff Services Analyst 5,556$ 9,301$
SUEG - Supervising Engineering Geologist 18,074$ 22,624$ SUWRCE - Supervising Water Resources Control Engineer 18,074$ 22,624$ WRCE - Water Resources Control Engineer 9,335$ 17,485$ Intermittent Employees:

SA - Scientific Aid $17.73/hour $21.04/hour
Operating Expenses and Equipment [2] (both State and Regional Board offices) Indirect Costs (Overhead + Admin = cost of doing business) 140% Billing Example for One Month Salary
WRCE - Water Resources Control Engineer
Total Direct Labor Charges [3] (per month): 17,485$
Contract Charges (if applicable): -$
Direct Labor Overhead: 12,646$
State Board Program Admin and Overhead: 2,664$
Regional Board Program Admin and Overhead: 8,742$
Total Cost (per month): 41,537
Divided by 176 hours per month equals per hour: 236$
(Due to the various classifications that expend SCP resources an average of $235.00 per hour can be used for projection purposes.) [1] The name and classification of employees performing oversight work will be listed on invoices you receive. [2] The examples are estimates based on recent billings. Actual charges may be slightly higher or lower. [3] Total Direct Labor Charges = Salary and Benefits

STATE WATER RESOURCES CONTROL BOARD

SITE CLEANUP PROGRAM (SCP)

BILLING COST EXPLANATION
Fiscal Year 2025-2026
Salary/Benefits Range
Note: The State is currently in negotiations with the unions so the upper limits of these ranges may be subject to change.

Updated 03/2025
Sta
te Water Resources Control Board Site
Cleanup Program (SCP)
Opt-In for Email Invoice Delivery
Site
Cleanup Program (SCP) invoices are currently sent by U.S. Postal Service as standard delivery. To opt-in to receiving invoices by email instead of U.S. Postal Service delivery, complete and sign this form and return it to your Regional Board caseworker AND [email protected].

I, ______
__________________________, acknowledge that completion of this form will result in SCP invoices being sent by email to the below designated email address(es) and will stop invoice delivery by U.S. Postal Service. I understand that I am solely responsible for ensuring the email address(es) are up-to-date and am responsible for notifying any changes to the email address(es) on file by emailing my Regional Board caseworker AND [email protected] to ensure invoices are received timely. I understand past due notices will only be sent by U.S. Postal Service.

A valid
physical mailing address is required in case hard copy delivery is needed in the future. This designation may be cancelled at any time by emailing your Regional Board caseworker AND [email protected] and invoices will resume delivery by U.S. Postal Service. Further, the State Water Board may make changes to or end its electronic delivery option at any time. The State Water Board will notify the contact(s) listed below if it needs to change or cancel electronic delivery and resume U. S. Postal Service delivery.

To
ensure receipt of invoices, add [email protected] to your trusted email addresses.

BILL

ING CONTACT

BILLING ADDRESS
_________
______________________________
TEL
EPHONE NO.

INVOICE DELIVERY EMAIL ADDRESSES (3 MAX)
__________
__________________________________

RESPONSIBLE PARTY/

AUTHORIZED REPRESENTATIVE
(Signature)
DATE: SITE ID (if applicable): ________ _____ _______ For add
itional invoicing questions, contact us at:
(916)
341-5643 o
r Site
[email protected]

Lahontan Regional Water Quality Control Board
June 23, 2025
GeoTracker: T10000022967

Chris Aune
Housing Manager - Real Estate & Economic Development
City of Lancaster
44933 Fern Avenue
Lancaster, CA 93534
[email protected]

Annual Estimate for Cost Recovery Program – W. Avenue I Properties (East), Lancaster – Cost Recovery Code 2060027

Section 13365 of Porter Cologne requires that annually we provide each responsible party with the following information:

1. A detailed estimate of the work to be performed or services to be provided, including a statement of the expected outcome of that work, based upon data available to the agency at the time;

2. The billing rates for all individuals and classes of employees expected to engage in the work or services; and

3. An estimate of all expected charges to be billed to the responsible party by the agency.

Estimate of Work to be Performed and Expected Outcome
Water Board staff estimate that the following work may be performed for the subject site during the fiscal year 2025-2026:

1. Review and comment on semi-annual groundwater monitoring reports and investigation or remedial action work plans and reports;

Chris Aune - 2 - June 23, 2025

Billing Rates
Enclosure 1 describes the billing rates for employees expected to engage in the work or services for your facility, including an example of how the hourly billing rate is calculated.

The name and classification of employees making charges will be listed on invoices. The average billing rate is approximately $235 per hour.

Invoices

Electronic submittals for your facilities should be through the State’s GeoTracker system.

Christina Guerra, P.G.

Senior Engineering Geologist

Enclosures: 1. Billing Cost Explanation, Fiscal Year 2025-2026

2. Opt-In for Email Invoice Delivery

Digitally signed by Christina
Guerra
Date: 2025.06.23 13:09:10
-07'00'
Chris Aune - 3 - June 23, 2025
cc: Tracy Lotz, State Water Board ([email protected]) Site Cleanup, Division of Administrative Services, State Water Board ([email protected])
Jeffrey Dagdigian, Waterstone Environmental ([email protected]) Heather Fields, Waterstone Environmental ([email protected]) Alonzo Poach, Lahontan Water Board ([email protected])

STATE WATER RESOURCES CONTROL BOARD

SITE CLEANUP PROGRAM (SCP)

BILLING COST EXPLANATION
Fiscal Year 2025-2026
Salary/Benefits Range
Note: The State is currently in negotiations with the unions so the upper limits of these ranges may be subject to change.

To
ensure receipt of invoices, add [email protected] to your trusted email addresses.

BILL

ING CONTACT

BILLING ADDRESS
_________
______________________________
TEL
EPHONE NO.

INVOICE DELIVERY EMAIL ADDRESSES (3 MAX)
__________
__________________________________

RESPONSIBLE PARTY/

AUTHORIZED REPRESENTATIVE
(Signature)
DATE: SITE ID (if applicable): ________ _____ _______ For add
itional invoicing questions, contact us at:
(916)
341-5643 o
r Site
[email protected]

STAFF REPORT
Lancaster Housing Authority
HA CC 3
8/26/2025
TN
Date: August 26, 2025
To: Chairman Parris and Housing Authority Board Members From: Larissa De La Cruz, Assistant City Manager
Michael Flores, Coordinator II – Economic Development
Subject: Disposition and Development Agreement with Pacific West Communities, Inc.

Recommendations:

1. The Board should only consider this item if it has first approved the Agreement for Exchange of Real Property between City of Lancaster and Lancaster Housing Authority (Agenda Item No. JCC 1.).

2. Adopt the Planning Commission’s findings and decision to adopt the Initial Study/Mitigated Negative Declaration (SCH#2025070610), and approve the Mitigation Monitoring and Reporting Program, consistent with the Notice of Determination filed on on August 19, 2025.

3. Approve the Disposition and Development Agreement (DDA) with Pacific West Communities, Inc., for the sale of a 10-acre parcel located near Avenue K-8 and 15th Street West.

4. Authorize the Executive Director, or his designee, to execute (i) the DDA in substantially the form presented, subject to non-substantive changes approved by the Executive Director and City Attorney; and (ii) all documents necessary or appropriate to complete the transaction.

G.C. Section 84308: No
Fiscal Impact:

Approval of the DDA will result in revenue of $2,940,000.00 to the Lancaster Housing Authority Low and Moderate Income Housing Asset Fund (LMIHAF), representing appraised value of the property.

Background:
2 1
5 4
The City of Lancaster and the Housing Authority have strategically acquired certain parcels over time to support high quality developments throughout the City. Pacific West Communities, Inc., submitted an offer to purchase the parcel located near Avenue K-8 and 15th Street West, known as Assessor’s Parcel Number (APN) 3125-009-908, for the development of a multifamily affordable housing project. The project will bring approximately 228 affordable housing units to the community, serving households earning between 30% and 60% of the Area Median Income (AMI). Planned amenities include a recreation building, green open space areas, and onsite community facilities, offering residents a vibrant and supportive living environment. The proposed project was approved by the Lancaster Planning Commission on August 18, 2025.

Prior to entering into negotiations, the subject parcel was declared surplus by City Council via Resolution 20-49 on September 8, 2020. A Notice of Availability was distributed in accordance with the Surplus Land Act on September 10, 2020. On October 7, 2022, the California Department of Housing and Community Development (HCD) issued a letter confirming the City had complied with the Surplus Land Act and was authorized to dispose of the property.

If approved, the sale of the property will bind Pacific West Communities, Inc. to develop the site in accordance with the scope and schedule of performance.

Pacific West Communities, Inc., will acquire the site at fair market value, with no subsidies or financial assistance. The proposed project supports Lancaster’s broader housing goals and furthers compliance with state housing obligations.

MF/hb
Attachment:

Draft DDA with Pacific West Communities, Inc.

DISPOSITION AND DEVELOPMENT AGREEMENT
By and Between

LANCASTER HOUSING AUTHORITY
and
PACIFIC WEST COMMUNITIES, INC.

APN: 3125-009-908
2 TABLE OF CONTENTS
DISPOSITION AND DEVELOPMENT AGREEMENT..........................................................................................................4 100. DEFINITIONS................................................................................................................................................................... 4 101. REPRESENTATIONS AND WARRANTIES. .......................................................................................................................... 7 200. DISPOSITION OF SITE .................................................................................................................................................. 8 201. DISPOSITION OF SITE TO DEVELOPER. ............................................................................................................................ 8 202. PAYMENT OF THE PURCHASE PRICE. .............................................................................................................................. 8 203. ESCROW........................................................................................................................................................................... 8 204. REVIEW OF TITLE. ......................................................................................................................................................... 10 205. TITLE INSURANCE. ........................................................................................................................................................ 11 206. CONDITIONS OF CLOSING.............................................................................................................................................. 11 207. STUDIES AND REPORTS. ................................................................................................................................................ 13 208. TAXES AND ASSESSMENTS............................................................................................................................................ 13 209. CONDITION OF THE SITE................................................................................................................................................ 13 300. DEVELOPMENT OF PROJECT SITE ....................................................................................................................... 14 301. SCOPE OF DEVELOPMENT. ............................................................................................................................................ 14 302. CONSTRUCTION DRAWINGS AND RELATED DOCUMENTS. ........................................................................................... 15 303. LAND USE APPROVALS. ................................................................................................................................................ 15 304. SCHEDULE OF PERFORMANCE....................................................................................................................................... 15 305. COST OF CONSTRUCTION. ............................................................................................................................................. 15 306. FINANCING OF THE DEVELOPER IMPROVEMENTS. ........................................................................................................ 15 307. INSURANCE REQUIREMENTS. ........................................................................................................................................ 16 308. INDEMNITY. ................................................................................................................................................................... 17 309. RIGHTS OF ACCESS........................................................................................................................................................ 18 310. COMPLIANCE WITH LAWS............................................................................................................................................. 18 311. TAXES AND ASSESSMENTS............................................................................................................................................ 19 312. RELEASE OF CONSTRUCTION COVENANTS. .................................................................................................................. 19 400. COVENANTS AND RESTRICTIONS ......................................................................................................................... 20 401. AFFORDABLE HOUSING................................................................................................................................................. 20 403. NONDISCRIMINATION.................................................................................................................................................... 21 404. MAINTENANCE OF THE SITE.......................................................................................................................................... 21 405. LONG TERM MANAGEMENT OF THE SITE. .................................................................................................................... 22 500. DEFAULTS, REMEDIES, AND TERMINATION ..................................................................................................... 22 501. DEFAULT REMEDIES. .................................................................................................................................................... 22 502. INSTITUTION OF LEGAL ACTIONS. ................................................................................................................................ 22 503. TERMINATION BY DEVELOPER...................................................................................................................................... 23 504. TERMINATION BY AUTHORITY. ..................................................................................................................................... 23 505. REENTRY AND REVESTING OF TITLE IN AUTHORITY AFTER THE CLOSING AND PRIOR TO COMPLETION OF CONSTRUCTION.........................................................................................................................................................................24 506. ACCEPTANCE OF SERVICE OF PROCESS. ....................................................................................................................... 25 507. RIGHTS AND REMEDIES ARE CUMULATIVE.................................................................................................................. 25 508. INACTION NOT A WAIVER OF DEFAULT. ...................................................................................................................... 25 509. APPLICABLE LAW.......................................................................................................................................................... 25 600. GENERAL PROVISIONS ............................................................................................................................................. 25 601. NOTICES, DEMANDS AND COMMUNICATIONS BETWEEN THE PARTIES. ....................................................................... 25 3 602. ENFORCED DELAY; EXTENSION OF TIMES OF PERFORMANCE. .................................................................................... 26 603. NON-LIABILITY OF OFFICIALS AND EMPLOYEES OF AUTHORITY /NON-LIABILITY OF DEVELOPER. .......................... 26 604. RELATIONSHIP BETWEEN PARTIES................................................................................................................................ 26 605. AUTHORITY APPROVALS AND ACTIONS. ...................................................................................................................... 26 606. COMMENCEMENT OF CITY REVIEW PERIOD................................................................................................................. 26 607. COUNTERPARTS. ........................................................................................................................................................... 27 608. INTEGRATION. ............................................................................................................................................................... 27 609. [INTENTIONALLY OMITTED.]......................................................................................................................................... 27 610. REAL ESTATE BROKERAGE COMMISSION..................................................................................................................... 27 611. ADMINISTRATION.......................................................................................................................................................... 27 612. AMENDMENTS OF AGREEMENT. ................................................................................................................................... 27 613. TITLES AND CAPTIONS. ................................................................................................................................................. 27 614. INTERPRETATION........................................................................................................................................................... 27 615. NO WAIVER................................................................................................................................................................... 27 616. MODIFICATIONS. ........................................................................................................................................................... 28 617. SEVERABILITY............................................................................................................................................................... 28 618. COMPUTATION OF TIME. ............................................................................................................................................... 28 619. LEGAL ADVICE.............................................................................................................................................................. 28 620. TIME OF ESSENCE.......................................................................................................................................................... 28 621. COOPERATION. .............................................................................................................................................................. 28 622. CONFLICTS OF INTEREST............................................................................................................................................... 28 623. TIME FOR ACCEPTANCE OF AGREEMENT BY AUTHORITY............................................................................................ 28 624. REPRESENTATIONS AND WARRANTIES. ........................................................................................................................ 28 625. TRANSFERS OF INTEREST IN SITE OR AGREEMENT. ...................................................................................................... 29

EXHIBIT A SCHEDULE OF PERFORMANCE

EXHIBIT B SCOPE OF DEVELOPMENT

EXHIBIT C SITE MAP

EXHIBIT D SITE LEGAL DESCRIPTION

EXHIBIT E SITE GRANT DEED

EXHIBIT F RELEASE OF CONSTRUCTION COVENANTS

EXHIBIT G RESIDENTIAL DECLARATION OF CONDITIONS, COVENANTS AND RESTRICTIONS

AND REGULATORY AGREEMENT
4 DISPOSITION AND DEVELOPMENT AGREEMENT
THIS DISPOSITION AND DEVELOPMENT AGREEMENT (this “Agreement”) is entered into and effective as of [DATE] (the “Date of Agreement”), by and between the LANCASTER HOUSING AUTHORITY, public body corporate and politic (“Authority”), and PACIFIC WEST COMMUNITIES, INC., an Idaho general business corporation (“Developer”), with reference to the following facts, intentions and understandings.

R E C I T A L S
A. Authority is the fee owner of that certain surplus real property (the “Site”) legally described in the legal description attached as Exhibit D (the “Site Legal Description”) and visually depicted on the site map attached as Exhibit C (the “Site Map”).

B. By Resolution 20-49, adopted September 8, 2020, City declared the Site to be surplus property pursuant to the Surplus Land Act (Cal. Gov’t Code §§ 54220-54234) (“Surplus Land Act”).

On September 10, 2020, City sent notices of availability as and to the extent required by the Surplus Land Act (specifically, section 54222(a) of the California Government Code). City received one response expressing interest in the Site, but the responding entity failed to negotiate its acquisition of the Site or respond to City’s communications. Upon expiration of the ninety-day negotiation period required by the Surplus Land Act, no entity receiving a notice of availability was prepared to purchase the Site.

C. Developer offered to purchase the Site from the Authority at fair market value to construct an affordable multi-family development, subject to the terms, conditions, and requirements of this Agreement. City is providing no assistance, subsidies, or public funds to Developer under this Agreement in any manner.

D. By letter dated October 7, 2022, the California Department of Housing and Community Development (“HCD”) determined the City satisfied the requirements of the Surplus Land Act and may proceed with the sale or lease of the Site.

NOW, THEREFORE, in consideration of the mutual covenants and conditions hereinafter set forth, the parties hereto agree as follows:
100. DEFINITIONS
“Affordability Period” is defined in Section 401.2.
“Affordable Rents” shall have the meaning set forth in Health and Safety Code Section 50053, as in effect of the date hereof, as calculated for lower income households. “Agreement” means this Disposition and Development Agreement by and between the Authority and Developer.
“Approved Developer Broker Commission” means the commission payable to Developer’s real estate agent or broker at Closing. The Approved Developer Broker Commission is subject to City prior review and approval.
“Authority” means the Lancaster Housing Authority, public body corporate and politic. 5 “Authority’s Conditions Precedent” is defined in Section 206.1. “CalHFA” means the California Housing Finance Agency or successor in function. “CC&Rs” means the Declaration of Conditions, Covenants and Restrictions in substantially similar form as attached hereto as Exhibit G, which is incorporated herein by reference. “CDLAC” means the California Debt Limitation Allocation Committee or successor in function. “CEQA” means the California Environmental Quality Act, Public Resources Code Sections 21000, et seq.
“City” means the City of Lancaster, a charter city and California municipal corporation. “City Code” means the Municipal Code of the City of Lancaster, including the Uniform Codes, all as amended from time to time.
“City Manager” means the City Manager of the City, or his or her designee. “City Regulatory Agreement” means the Regulatory Agreement and Declaration of Restrictive Covenants, Conditions, and Restrictions Restricting the Use of Property for Affordable Housing in substantially the form of Exhibit H attached to this DDA. “Closing” is defined in Section 203.4.
“Closing Date” is defined in Section 203.4.
“Date of Agreement” is defined in the first paragraph of this Agreement. “Developer” means Pacific West Communities, Inc., an Idaho general business corporation and its approved successors and assigns.
“Developer’s Conditions Precedent” is defined in Section 206.2. “Developer Improvements” means the improvements described in the Scope of Development and all improvements incidental thereto.
“Environmental Consultant” is defined in Section 209.2. “Escrow” is defined in Section 203.
“Escrow Agent” is defined in Section 203.
“Exceptions” is defined in Section 204.
“Executive Director” means the Executive Director of the Authority, or his or her designee. “Governmental Requirement(s)” means all laws, ordinances, statutes, codes, rules, regulations, orders and decrees of the United States, the State of California, the County of Los Angeles, City or any other political subdivision in which the Site is located, and of any other political subdivision, agency or instrumentality exercising jurisdiction over City, Developer or the Site. 6 “Hazardous Materials” means any substance, material or waste which is or becomes, prior to the Closing, regulated by any local governmental authority, the State of California or the United States Government, including, but not limited to, any material or substance which is (i) defined as a “hazardous waste,” “extremely hazardous waste,” or “restricted hazardous waste” under Sections 25115, 25117 or 25122.7, or listed pursuant to Section 25140 of the California Health and Safety Code, Division 20, Chapter 6.5 (Hazardous Waste Control Law), (ii) defined as a “hazardous substance” under Section 25316 of the California Health and Safety Code, Division 20, Chapter 6.8 (Carpenter-Presley-Tanner Hazardous Substance Account Act), (iii) defined as a “hazardous material,” “hazardous substance,” or “hazardous waste” under Section 25501 of the California Health and Safety Code, Division 20, Chapter 6.95 (Hazardous Materials Release Response Plans and Inventory), (iv) defined as a “hazardous substance” under Section 25281 of the California Health and Safety Code, Division 20, Chapter 6.7 (Underground Storage of Hazardous Substances), (v) petroleum, (vi) friable asbestos, (vii) polychlorinated biphenyls, (viii) listed under Article 9 or defined as “hazardous” or “extremely hazardous” pursuant to Article 11 of Title 22 of the California Administrative Code, Division 4, Chapter 20, (ix) designated as “hazardous substances” pursuant to Section 311 of the Clean Water Act (33 U.S.C. Section 1317), (x) defined as a “hazardous waste” pursuant to Section 1004 of the Resource Conservation and Recovery Act, 42 U.S.C. Sections 6901 et seq. (42 U.S.C. Section 6903) or (xi) defined as “hazardous substances” pursuant to Section 101 of the Comprehensive Environmental Response, Compensation and Liability Act, 42 U.S.C. Sections 6901, et seq. “Outside Date” means the third anniversary of the Date of Agreement. “Purchase Price” means the sum of Two Million Nine Hundred Forty Thousand Dollars ($2,940,000.00) as provided in Section 201.
“Qualified Resident” means a person or household whose Gross Income is equal to or less than the income limits specified in Section 401.1.
“Site” means that certain property which is described in the Site Legal Description attached hereto as Exhibit G.
“Site Grant Deed” means a grant deed substantially in the form of Exhibit E to this Agreement. “Release of Construction Covenants” means the Release of Construction Covenants attached hereto as Exhibit F.
“Report” is defined in Section 204.
“Right of Entry Agreement” is defined in Section 207.
“Schedule of Performance” means the Schedule of Performance attached hereto as Exhibit A. “Scope of Development” means the Scope of Development attached hereto as Exhibit B. “Site Map” means the Site Map attached hereto as Exhibit C. “Surplus Land Act” is defined in Recital B.
“Title Company” is defined in Section 204.
7 “Title Policy” is defined in Section 205.
“Uniform Codes” mean each of the following as in effect from time to time as approved by City:
the Uniform Building Code, the Uniform Housing Code, the National Electrical Code, the Uniform Plumbing Code, the Uniform Mechanical Code, and the Uniform Code for Abatement of Dangerous Buildings.
101. Representations and Warranties.
101.1Authority Representations. Authority represents and warrants to Developer as follows:
(a) Authority. Authority is a public body corporate and politic. Authority has full right, power and lawful authority to convey the Site, including portions thereof, as provided herein and the execution, performance, and delivery of this Agreement by Authority has been fully authorized by all requisite actions on the part of Authority. The individual who has executed this Agreement on behalf of Authority is authorized to bind Authority by his or her signature hereto. (b) Litigation. To the best of Authority’s knowledge, there are no actions, suits, material claims, legal proceedings, or any other proceedings affecting the Site or any portion thereof, at law or in equity before any court or governmental agency, domestic or foreign. (c) No Conflict. To the best of Authority’s knowledge, Authority’s execution, delivery, and performance of its obligations under this Agreement will not constitute a default or a breach under any contract, agreement or order to which Authority is a party or by which it is bound.
(d) No Developer Bankruptcy. Developer is not the subject of a bankruptcy proceeding.

Until the Closing, Authority shall, upon learning of any fact or condition which would cause any of the warranties and representations in this Section 101.1 not to be true as of the Closing, immediately give written notice of such fact or condition to Developer. Such exception(s) to a representation shall not be deemed a breach by Authority hereunder but shall constitute an exception which Developer shall have a right to approve or disapprove if such exception would have an effect on the value and/or operation of property to be conveyed under the Closing. If Developer elects to accept the conveyance of the Site and the possession of the following disclosure of such information, Authority’s representations and warranties contained herein shall be deemed to have been made as of such the Closing, subject to such exception(s). The representations and warranties set forth in this Section 101.1 shall survive the Closing.
101.2Developer Representations. Developer represents and warrants to Authority as follows:
(a) Authority. Developer is an Idaho general business corporation and has full right, power and lawful authority to acquire and accept title to and possession of the Site, including portions thereof, and undertake all obligations as provided herein and the execution, performance and delivery of this Agreement by Developer has been fully authorized by all requisite actions on the part of Developer. The individual who has executed this Agreement on behalf of Developer is authorized to bind Developer by his or her signatures hereto.
8 (b) Litigation. To the best of Developer’s knowledge, there are no actions, suits, material claims, legal proceedings, or any other proceedings affecting Developer, at law or in equity before any court or governmental agency, domestic or foreign. (c) No Conflict. To the best of Developer’s knowledge, Developer’s execution, delivery, and performance of its obligations under this Agreement will not constitute a default or a breach under any contract, agreement or order to which Developer is a party or by which it is bound.
(d) No Developer Bankruptcy. Developer is not the subject of a bankruptcy proceeding.
(e) Developer Experience; Sophisticated Party. Developer is a sophisticated party, with substantial experience in the acquisition, rehabilitation, development, financing, obtaining financing for, marketing, and operation of similar properties, and has obtained advice from advisers of its own choosing in connection with this Agreement. (f) Due Authorization and Execution. Developer has duly authorized the execution of this Agreement, including without limitation the attachments hereto.

Until the Closing, Developer shall, upon learning of any fact or condition which would cause any of the warranties and representations in this Section 101.2 not to be true as of such Disposition Conveyance, immediately give written notice of such fact or condition to Authority. Such exception(s) to a representation shall not be deemed a breach by Developer hereunder but shall constitute an exception which Developer shall have a right to approve or disapprove if such exception would have an effect on the value and/or operation of the Site. If Developer elects to accept the Site and the possession of the Site following disclosure of such information, Authority’s representations and warranties contained herein shall be deemed to have been made as of the Closing, subject to such exception(s). The representations and warranties set forth in this Section 101.2 shall survive the Closing. 200. DISPOSITION OF SITE
201. Disposition of Site to Developer. Developer agrees to purchase the Site from the Authority and Authority agrees to sell the Site to Developer, pursuant and subject to the terms, covenants, and conditions of this Agreement, for the Purchase Price. 202. Payment of the Purchase Price. Developer shall pay Fifty Thousand Dollars ($50,000.00) of the Purchase Price in cash, to be deposited into the Escrow within ten (10) days of Authority opening the Escrow as provided in Section 203, below. Said Fifty Thousand Dollars ($50,000.00) shall be applied to the Purchase Price at Closing. Developer shall pay the balance of the Purchase Price in cash, to be deposited into the Escrow prior and as a condition to the Closing.

Developer’s payment of the full Purchase Price shall be a condition precedent to the Closing. 203. Escrow. By the time established therefor in the Schedule of Performance, Authority shall open escrow (the “Escrow”) with First American Title Company of Visalia (Attn. Ann Kay) or another escrow company mutually satisfactory to both parties (the “Escrow Agent”). 203.1Costs of Escrow. Authority and Developer shall pay their respective portions of the premium for the Title Policy as set forth in Section 205, Authority shall pay the documentary transfer taxes, if any, due with respect to the conveyance of the Site, Authority shall pay the Approved 9 Developer Broker Commission, if any, and Authority and Developer each agree to pay one half of all other usual fees, charges, and costs which arise from the Escrow. 203.2Escrow Instructions. This Agreement constitutes the joint escrow instructions of Authority and Developer, and the Escrow Agent to whom these instructions are delivered is hereby empowered to act under this Agreement. The parties hereto agree to do all acts reasonably necessary to close the Escrow in the shortest possible time. Insurance policies for fire or casualty are not to be transferred, and Authority will cancel its own policies after the Closing. All funds received in the Escrow shall be deposited with other escrow funds in a general escrow account(s) and may be transferred to any other such escrow trust account in any State or National Bank doing business in the State of California. All disbursements shall be made by check from such account.

If in the opinion of either party it is necessary or convenient in order to accomplish the Closing, such party may require that the parties sign supplemental escrow instructions; provided that if there is any inconsistency between this Agreement and the supplemental escrow instructions, then the provisions of this Agreement shall control. The parties agree to execute such other and further documents as may be reasonably necessary, helpful or appropriate to effectuate the provisions of this Agreement. The Closing shall take place when both Authority’s Conditions Precedent and Developer’s Conditions Precedent as set forth in Section 206 have been satisfied. The Escrow Agent is instructed to release Authority’s escrow closing and Developer’s escrow closing statements to the respective parties.
203.3Authority of Escrow Agent. The Escrow Agent is authorized to, and shall:
(a) Pay and charge Authority for the premium of the Title Policy as set forth in Section 205, any amount necessary to place title to the Site in the condition necessary to satisfy Section 204, and the Approved Developer Broker Commission (as determined by the Executive Director).
(b) Pay and charge Authority and Developer for their respective shares of any escrow fees, charges, and costs payable under Section 203.1. (c) Pay and charge Developer for the cost of an ALTA policy (if any) and for any endorsements to the Title Policy which are requested by Developer as set forth in Section 205 and which are in excess of the premium for the Title Policy payable by Authority pursuant to Section 205.
(d) Disburse funds and deliver and record the Site Grant Deed when both Authority’s Conditions Precedent and Developer’s Conditions Precedent have been fulfilled or waived by Authority and Developer.
(e) Do such other actions as necessary, including obtaining the Title Policy, to fulfill its obligations with respect to the Site under this Agreement. (f) Within the discretion of the Escrow Agent and, if necessary, direct Authority and Developer to execute and deliver any instrument, affidavit, and statement, and to perform any act reasonably necessary to comply with the provisions of FIRPTA and any similar state act and regulation promulgated thereunder. Authority agrees to execute a Certificate of Non-Foreign Status and/or a Certification of Compliance with Real Estate Reporting Requirement of the 1986 Tax Reform Act as may be required by the Escrow Agent, on a form or forms to be supplied by the Escrow Agent. 10 (g) Prepare and file with all appropriate governmental or taxing authorities a uniform settlement statement, closing statement, tax withholding forms including an IRS 1099-S form, and be responsible for withholding taxes, if any such forms are provided for or required by law. (h) Verify that this Agreement has been properly executed by the parties prior to the Closing.
203.4Closing. The conveyance of the Site shall close by accomplishment of conveyance of the Site to Developer and receipt by Authority of the Purchase Price (the “Closing”) within thirty (30) days after the satisfaction of all of Authority’s and Developer’s Conditions Precedent as set forth in Section 206 and no later than the Outside Date. The “Closing” shall mean the time and day the Site Grant Deed is filed for record with the Los Angeles County Recorder. The “Closing Date” shall mean the day on which the Closing occurs.
203.5Termination. If the Escrow is not in condition to close by the Outside Date, then either party which has fully performed under this Agreement may, in writing, demand the return of money or property, terminate the Escrow, and terminate this Agreement. If either party makes a written demand for return of documents or properties, Escrow shall not terminate until five (5) days after the Escrow Agent shall have delivered copies of such demand to all other parties at the respective addresses shown in this Agreement. If any objections are raised within said five (5) day period, the Escrow Agent is authorized to hold all papers and documents until instructed by a court of competent jurisdiction or by mutual written instructions of the parties. Termination of the Escrow shall be without prejudice as to whatever legal rights either party may have against the other arising from this Agreement. If no demands are made, the Escrow Agent shall proceed with the Closing as soon as possible.
203.6Closing Procedure. The Escrow Agent shall close the Escrow for the Site as follows:
(a) Verify execution of this Agreement by the parties;
(b) Record the Site Grant Deed, with instructions for the Recorder of Los Angeles County, California to deliver the Site Grant Deed to Developer; (c) Record the CC&Rs, with instructions for the Recorder of Los Angeles County, California to deliver the recorded CC&Rs to the Authority; (d) Instruct the Title Company to deliver the Title Policy to Developer; (e) Disburse the Purchase Price, less Authority’s costs of the Closing, to Authority;
(f) File any informational reports required by Internal Revenue Code Section 6045(e), as amended, and any other applicable requirements; (g) Deliver the FIRPTA Certificate, if any, to Developer; (h) Forward to both Authority and Developer a separate accounting of all funds received and disbursed for each party and copies of all executed and recorded or filed documents deposited into the Escrow, with such recording and filing date and information endorsed thereon; and (i) Record documents requested by Developer subsequent to the recordation of the Site Grant Deed.
204. Review of Title. Within sixty (60) days after the Date of Agreement, Authority shall cause First American Title Company (the “Title Company”), to deliver to Developer an ALTA 11 preliminary title report (the “Report”) with respect to the title to the Site, together with legible copies of the documents underlying the exceptions (“Exceptions”) set forth in the Report. Developer shall have the right to reasonably approve or disapprove the Exceptions.

Within the time set forth in the Schedule of Performance, Developer shall give written notice to Authority and the Escrow Agent of Developer’s approval or disapproval of any of such Exceptions. Developer’s failure to give written disapproval of the Report within such time limit shall be deemed approval of the Report and the Exceptions set forth therein. If Developer notifies Authority of its disapproval of any Exceptions in the Report, Authority shall have the right, but not the obligation, to remove any disapproved Exceptions within five (5) days after receiving written notice of Developer’s disapproval or provide assurances reasonably satisfactory to Developer that such Exception(s) will be removed on or before the Closing. If Authority cannot or does not elect to remove any of the disapproved Exceptions within that period, Authority shall provide written notice of such election to Developer within such five (5) day period. Developer shall then have ten (10) business days after the expiration of such five (5) business day period to either give Authority written notice that Developer elects to proceed with the purchase of the Site subject to the disapproved Exceptions or to give Authority written notice that Developer elects to terminate this Agreement. Developer shall have the right to approve or disapprove any Exceptions reported by the Title Company after Developer has approved the Report for the Site (which are not created by Developer). Authority shall not voluntarily create any new exceptions to title following the Date of Agreement. 205. Title Insurance. Concurrently with recordation of the Site Grant Deed conveying title to the Site to Developer, there shall be issued to Developer a CLTA owner’s policy of title insurance (the “Title Policy”), together with such endorsements as are reasonably requested by Developer, issued by the Title Company insuring that the title to the Site is vested in Developer in the condition required by Section 204. The Title Company shall provide Authority with a copy of the Title Policy. The Title Policy shall be in the amount of the Purchase Price. Authority shall pay that portion of the premium for the Title Policy equal to the cost of a CLTA standard coverage title policy in the amount of the Purchase Price. Any additional costs, including the cost of an ALTA policy or any endorsements requested by Developer, shall be borne by Developer.
206. Conditions of Closing. The Closing is conditioned upon the satisfaction of the following terms and conditions within the times designated below:
206.1Authority’s Conditions of Closing. Authority’s obligation to proceed with the Closing of the conveyance of the Site is subject to the fulfillment, or waiver by Authority in writing, of each and all of the conditions precedent (a) through (j), inclusive, described below (the “Authority’s Conditions Precedent”), which are solely for the benefit of Authority, and which shall be fulfilled or waived in writing by Authority by the time periods provided for herein, or if no time period is provided, prior to the Closing:
(a)No Default. Prior to the Closing, Developer is not in default in any of its obligations under the terms of this Agreement and all representations and warranties of Developer contained herein shall be true and correct in all material respects. (b)Execution of Documents. Developer shall have executed and delivered into Escrow this Agreement, and any other documents required pursuant to the terms of this Agreement. (c)Payment of Purchase Price and Closing Costs. Not later than three (3) business days prior to the Closing, Developer shall have delivered to Escrow the Purchase Price and its share of costs of the Closing which are Developer’s obligation in accordance with Section 203.1. 12 (d)Title Policy. The Title Company shall, upon payment of Title Company’s regularly scheduled premium, have agreed to provide the Title Policy for the Site upon the Closing, in accordance with Section 205.
(e)Condition of Site. Developer shall have approved of the physical and environmental condition of the Site.
(f)Land Use Approvals. Developer shall have received all land use approvals for the Developer Improvements required pursuant to Section 303 hereof. (g)Plans and Permits. Developer shall have obtained approval of its final building plans for the Developer Improvements and grading, building and other required permits, as applicable, shall be ready to be issued (upon payment of requisite fees, posting of security and similar items).
(h)Financing. Developer shall have provided proof satisfactory to Authority that Developer has sufficient internal funds and/or has obtained a loan or other financing for acquisition of the Site and construction and operation of the Developer Improvements pursuant to Section 309 hereof, and such financing shall close and fund and shall be available to Developer upon the Closing.
(i)Proof of Insurance. Developer shall have provided, for Authority’s review and approval, proof of insurance reasonably satisfactory to Authority in accordance with Section 307.
(j)Approval of Preliminary Title Report. Developer shall have approved the Report.
206.2Developer’s Conditions of Closing. Developer’s obligation to accept conveyance of the Site is subject to the fulfillment or waiver by Developer in writing of each and all of the conditions precedent (a) through (i), inclusive, described below (“Developer’s Conditions Precedent”), which are solely for the benefit of Developer, and which shall be fulfilled or waived in writing by Developer by the time periods provided for herein:
(a)No Default. Authority is not in default in any of its obligations under the terms of this Agreement and all representations and warranties of Authority contained herein shall be true and correct and not misleading in all material respects. (b)Execution of Documents. Authority shall have executed and delivered into Escrow this Agreement, the Site Grant Deed, and any other documents required pursuant to the terms of this Agreement.
(c)Payment of Closing Costs. Prior to the Closing, Authority has paid or submitted into Escrow all costs of the Closing which are Authority’s obligation in accordance with Section 203.1.
(d)Title Policy. The Title Company shall, upon payment of Title Company’s regularly scheduled premium, have agreed to provide the Title Policy for the Site upon the Closing, in accordance with Section 205.
(e)Environmental Condition of Site. Developer shall have approved of the 13 environmental condition of the Site.
(f)Land Use Approvals. Developer shall have received all land use approvals for the Developer Improvements required pursuant to Section 303. (g)Plans and Permits. Developer shall have obtained approval of its final building plans for the Developer Improvements and grading, building and other required permits, as applicable, shall be ready to be issued (upon payment of requisite fees, posting of security and similar items).
(h)Financing. Developer shall have provided proof satisfactory to Authority that Developer has sufficient internal funds and/or has obtained a loan or other financing for acquisition of the Site and construction and operation of the Developer Improvements pursuant to Section 306 hereof, and such financing shall close and fund and shall be available to Developer upon the Closing.
(i)Approval of Preliminary Title Report. Developer shall have approved the Report.
207. Studies and Reports. Prior to the Closing and upon Developer’s execution of a right of entry agreement to be provided by Authority (the “Right of Entry Agreement”), representatives of Developer shall have the right of access to all portions of the Site owned by Authority for the purpose of obtaining data and making surveys and tests necessary to carry out this Agreement. Any preliminary work undertaken on the Site by Developer prior to the Closing shall be done at the sole expense of Developer and Developer shall defend, indemnify and hold Authority harmless from any claims resulting from all preliminary work, access or use of the Site undertaken pursuant to this Section 207.

Any preliminary work shall be undertaken only after securing any necessary permits from the appropriate governmental agencies.
208. Taxes and Assessments. Ad valorem taxes and assessments, if any, on the Site levied, assessed, or imposed for any period prior to the Closing, shall be borne by Authority. All ad valorem taxes and assessments levied or imposed for any period after the Closing shall be paid by Developer. 209. Condition of the Site.
209.1As-Is Condition. Notwithstanding any provisions of this Agreement to the contrary (except as set forth in Section 624.2(d) of this Agreement), the Site shall be conveyed in an “as is” condition, with no warranty, express or implied by Authority, as to the condition of improvements on the Site, the soil, its geology, the presence of known or unknown faults or Hazardous Materials or toxic substances, and Developer agrees to and shall indemnify and hold Authority harmless from and against all liability, loss, damages, costs, or expenses (including reasonable attorneys’ fees and court costs) arising from or as a result of the existence of such faults or substances. Notwithstanding the foregoing, Developer shall not be responsible for matters related to any environmental contamination which existed prior to the Closing. It shall be the sole responsibility of Developer at its expense to investigate and determine the soil and improvement conditions for the development to be constructed. If the soil and environmental condition is not in all respects entirely suitable for the use or uses to which the Site will be put, then it is the sole responsibility and obligation of Developer to take such action as may be necessary to place the soil and environmental conditions of the Site in a condition entirely suitable for its development. 209.2Investigation of Site. Developer, upon execution of the Right of Entry Agreement, shall have the right, at its sole cost and expense, to engage its own environmental 14 consultant (the “Environmental Consultant”) to make such investigations as Developer deems necessary, including any “Phase I” or “Phase II” investigations of the Site. Developer shall provide Authority with a copy of any and all studies and reports provided to Developer by the Environmental Consultant, or such other consultant engaged by Developer. The Site is to be sold on a where is, as is basis with no representations as to the Site or its condition being made by Authority. 209.3Approval of Environmental Condition of Site. Developer shall have the right to approve the environmental condition of the Site prior to Developer’s obligation to acquire the Site.

Developer shall approve or disapprove of the environmental condition of the Site within one hundred and eighty (180) days after the Date of Agreement. Developer’s approval of the environmental condition of the Site shall be Developer’s Condition Precedent to Closing, as set forth in Section 206.2 hereof.
209.4Developer’s Precautions after Closing. Upon the Closing, Developer shall take all necessary precautions to prevent the release into the environment of any Hazardous Materials which are located in, on or under the Site. Such precautions shall include compliance with all Governmental Requirements with respect to Hazardous Materials. In addition, Developer shall install and utilize such equipment and implement and adhere to such procedures as are consistent with commercially reasonable standards as respects the disclosure, storage, use, removal and disposal of Hazardous Materials in, on or under the Site.
209.5Required Disclosures After Closing. After the Closing, Developer shall notify Authority, and provide to Authority a copy or copies, of all notices of violation, notices to comply, citations, inquiries, clean up or abatement orders, cease and desist orders, reports filed pursuant to self- reporting requirements and reports filed or applications made pursuant to any Governmental Requirement relating to Hazardous Materials and underground tanks. Developer shall report to Authority, as soon as possible after each incident, any known Hazardous Materials release or known circumstances which would potentially lead to such a release. 209.6Developer Indemnity - Hazardous Materials. Upon the Closing, Developer agrees to indemnify, defend and hold Authority, and its respective officers, employees, agents, representatives and volunteers, harmless from and against any claim, action, suit, proceeding, loss, cost, damage, liability, deficiency, fine, penalty, punitive damage, or expense (including, without limitation, attorneys’ fees), resulting from, arising out of, or based upon the following occurring subsequent to the Closing (i) the presence, release, use, generation, discharge, storage or disposal of any Hazardous Materials on, under, in or about, or the transportation of any such Hazardous Materials to or from, the Site, or (ii) the violation, or alleged violation, of any statute, ordinance, order, rule, regulation, permit, judgment or license relating to the use, generation, release, discharge, storage, disposal or transportation of Hazardous Materials on, under, in or about, to or from, the Site, unless due to the gross negligence or willful misconduct of Authority and its respective officers, employees, agents, representatives and volunteers. This indemnity shall include, without limitation, any damage, liability, fine, penalty, parallel indemnity after closing cost or expense arising from or out of any claim, action, suit or proceeding for personal injury (including sickness, disease or death), tangible or intangible property damage, compensation for lost wages, business income, profits or other economic loss, damage to the natural resource or the environment, nuisance, contamination, leak, spill, release or other adverse effect on the environment.
300. DEVELOPMENT OF PROJECT SITE
301. Scope of Development. Developer shall within the time set forth in the Schedule of Performance develop or cause the development of the Developer Improvements in accordance with the 15 Scope of Development, City Code, all entitlements and approvals for the Site, and the plans, drawings and documents submitted by Developer and approved by City as set forth herein. Developer shall, without limitation, apply for and secure, and pay all costs, charges and fees associated therewith, all permits and fees required by City, County, and other governmental agencies with jurisdiction over the Developer Improvements.
302. Construction Drawings and Related Documents. Prior to commencement of construction, Developer shall prepare and submit to City, construction drawings, landscape plans, and related documents required for the development of the Site and the construction of the Developer Improvements (the “Construction Drawings”). Authority shall have the right of review of all Construction Drawings, including any proposed changes therein. Authority shall not be responsible either to Developer or to third parties in any way for any defects in the Construction Drawings, nor for any structural or other defects in any work done according to the approved Construction Drawings, nor for any delays reasonably caused by the review and approval processes conducted by City. Any and all change orders or revisions required by City and its inspectors under the City Code, including without limitation, all applicable Uniform Codes (e.g., Building, Plumbing, Fire, Electrical, etc.) and under other applicable laws and regulations shall be included by Developer in its Construction Drawings and other required submittals and shall be completed during the construction of the Developer Improvements.
303. Land Use Approvals. Prior to commencement of construction of the Developer Improvements or other works of improvement upon the Site by Developer, Developer shall, at its own expense, secure or cause to be secured any and all land use and other entitlements, and approvals, including environmental approvals, which may be required by City and/or any other governmental agency affected by such construction or work for the Developer Improvements. Developer shall, without limitation, apply for and secure all permits required by City, the County and other governmental agencies with jurisdiction over the Developer Improvements. 304. Schedule of Performance. Developer shall submit the Construction Drawings, commence and complete all construction of the Developer Improvements, and satisfy all other obligations and conditions of this Agreement within the times established therefor in the Schedule of Performance. During the course of construction and prior to issuance of the Release of Construction Covenants, Developer shall provide timely reports of the progress of construction when requested by Authority. Developer shall complete construction of all the Developer Improvements within the respective times established therefor in the Schedule of Performance. The Schedule of Performance is subject to revision from time-to-time as mutually agreed upon in writing by Developer and Authority and Authority is authorized to make such revisions as it deems reasonably necessary. 305. Cost of Construction. The cost of planning, designing, developing and constructing the Developer Improvements shall be borne solely by Developer. 306. Financing of the Developer Improvements.
306.1Approval of Financing. As required herein and as one of Authority’s Conditions Precedent, Developer shall submit evidence that Developer has or has obtained sufficient equity capital and/or has obtained firm and binding commitments for construction financing necessary to undertake the acquisition and development of the Site and the construction and operation of the Developer Improvements in accordance with this Agreement, to Authority for review and approval.

Such review and approval or disapproval of financing commitments shall be made within fifteen (15) days of receipt of a complete submission. Authority shall not unreasonably withhold, delay or 16 condition such approval. If Authority shall disapprove any such evidence of financing, it shall do so by notice to Developer stating the reasons for such disapproval, in which event Developer shall use commercially reasonable efforts to promptly obtain and submit new evidence of financing. Authority shall approve or disapprove such new evidence of financing in the same manner and within the same times established in this Section 306.1 for the approval or disapproval of the evidence of financing as initially submitted. Developer shall close any approved construction financing prior to or concurrently with the Closing.

Such evidence of financing shall include the following: (a) a copy of an enforceable loan commitment(s) obtained by Developer from one or more financial institutions for the mortgage loan or loans for construction financing for the Developer Improvements, subject to such lenders’ reasonable, customary and normal conditions and terms, and/or (b) evidence reasonably acceptable to Authority that Developer has sufficient funds for such construction, and that such funds have been committed to such construction, and/or other documentation satisfactory to Authority as evidence of other sources of capital sufficient to demonstrate that Developer has adequate funds to cover the difference between the total cost of the acquisition of the Site and construction and completion of the Developer Improvements, less financing authorized by those loans set forth in subparagraph (a) above, and (c) evidence of sufficient capital to operate the Developer Improvements in accordance with the Scope of Development.
306.2Holder Not Obligated to Construct Improvements. The holder of any mortgage or deed of trust authorized by this Agreement shall not be obligated by the provisions of this Agreement to construct or complete the Developer Improvements or any portion thereof, or to guarantee such construction or completion; nor shall any covenant or any other provision in this Agreement be construed so to obligate such holder. Nothing in this Agreement shall be deemed to construe, permit or authorize any such holder to devote the Site to any uses or to construct any improvements thereon, other than those uses or improvements provided for or authorized by this Agreement. Notwithstanding the foregoing, Authority shall reasonably cooperate with Developer’s construction and permanent lenders in connection with the permitted use or uses to which such lender may devote the Site following a foreclosure or deed in lieu of foreclosure.
306.3Notice of Default to Mortgagee or Deed of Trust Holders; Right to Cure. With respect to any mortgage or deed of trust granted by Developer as provided herein, whenever Authority may deliver any notice or demand to Developer with respect to any breach or default by Developer in completion of construction of the Developer Improvements, Authority shall at the same time deliver to each holder of record of any mortgage or deed of trust and any limited partner a copy of such notice or demand. Each such holder and limited partner shall (insofar as the rights granted by Authority are concerned) have the right, at its option, within sixty (60) days after the receipt of the notice, to cure or remedy or commence to cure or remedy and thereafter to pursue with due diligence the cure or remedy of any such default. Nothing contained in this Agreement shall be deemed to permit or authorize such holder or limited partner to undertake or continue the construction or completion of the Developer Improvements, or any portion thereof (beyond the extent necessary to conserve or protect the improvements or construction already made) without first having expressly assumed Developer’s obligations to Authority by written agreement reasonably satisfactory to Authority. The holder or limited partner, in that event, must agree to complete, in the manner provided in this Agreement, the improvements to which the lien or title of such holder relates. Any such holder or limited partner properly completing such improvement shall be entitled, upon compliance with the requirements of Section 312, to a Release of Construction Covenants. 307. Insurance Requirements. Developer shall take out and maintain or shall cause its contractor to take out and maintain until the issuance of the Release of Construction Covenants 17 pursuant to Section 312, a comprehensive general liability policy in the amount of Two Million Dollars ($2,000,000.00) combined single limit policy, or such other policy limits as Authority may approve at its discretion, including contractual liability, as shall protect Developer and Authority from claims for such damages. Such policy or policies shall be written on an occurrence form. Developer shall also furnish or cause to be furnished to Authority evidence satisfactory to Authority that Developer and any contractor with whom it has contracted for the performance of work on the Site or otherwise pursuant to this Agreement carries workers’ compensation insurance as required by law. Developer shall furnish a notarized certificate of insurance countersigned by an authorized agent of the insurance carrier on a form approved by Authority setting forth the general provisions of the insurance coverage. This countersigned certificate shall name Authority and its respective officers, agents, and employees as additionally insured parties under the policy, and the certificate shall be accompanied by a duly executed endorsement evidencing such additional insured status. Developer shall notify Authority of any material change, cancellation or termination of the coverage at least thirty (30) days in advance of the effective date of any such material change, cancellation or termination. Coverage provided hereunder by Developer shall be primary insurance and not be contributing with any insurance maintained by Authority, and the policy shall contain such an endorsement. The insurance policy or the endorsement shall contain a waiver of subrogation for the benefit of Authority. The required certificate shall be furnished by Developer prior to the commencement of construction of the Developer Improvements. 308. Indemnity.
308.1Developer’s Indemnity. Developer shall defend (by counsel satisfactory to Authority), indemnify and save and hold harmless Authority and its officers, contractors, agents and employees (collectively, the “Indemnitees”) from and against all claims, damages, demands, actions, losses, liabilities, costs and expenses (including, without limitation, attorneys’ fees and court costs) arising from or relating to: (i) Developer’s compliance with this Agreement (including all provisions hereof); (ii) compliance with applicable laws; (iii) a claim, demand or cause of action that any person has or asserts against Developer; (iv) any act or omission of Developer, any contractor, subcontractor or material supplier, engineer, architect or other person with respect to the Site; (v) those matters set forth in Section 101.2 hereof; or (vi) the ownership, occupancy or use of the Site and any portions thereof after the Closing. Notwithstanding the foregoing, Developer shall not be obligated to indemnify Authority with respect to the consequences of any act of gross negligence not contributed to by Developer or willful misconduct of Authority. Developer’s obligations under this Section 308 shall survive the issuance of the Release of Construction Covenants and termination of this Agreement; the requirements under this Section 308 are in addition to and do not limit the obligations of Developer under the Site Grant Deed.

Developer shall reimburse Authority immediately upon written demand for all costs reasonably incurred by Authority (including the reasonable fees and expenses of experts, attorneys, accountants, appraisers and other consultants, whether the same are independent contractors or employees of Authority) in connection with the enforcement of the this Agreement and all related matters including the following: (a) Authority’s commencement of, appearance in, or defense of any action or proceeding purporting to affect the rights or obligations of the parties to this Agreement or the Site Grant Deed, and (b) all claims, demands, causes of action, liabilities, losses, commissions and other costs against which Authority is indemnified under this Agreement or the Site Grant Deed. Such reimbursement obligations shall bear interest at the rate of seven percent (7%) simple per annum (or, if lower, the highest non-usurious interest rate that may be charged) based upon the amounts and times of disbursement by Authority, provided that Authority gives written demand to Developer. Such reimbursement obligations shall survive the issuance of the Release of Construction Covenants and termination of this Agreement and are in addition to and do not limit the obligations of Developer under the Site Grant Deed or other instruments associated with the conveyance of any portion of the Site. 18 Upon the Closing, Developer shall take all necessary precautions to prevent the release into the environment of any Hazardous Materials which are located in, on or under the Site. Such precautions shall include compliance with all Governmental Requirements with respect to Hazardous Materials. In addition, Developer shall install and utilize such equipment and implement and adhere to such procedures as are consistent with commercially reasonable standards as respects the disclosure, storage, use, removal and disposal of Hazardous Materials. Notwithstanding anything contained herein to the contrary, Developer shall not indemnify Authority for any claims arising from Authority’s gross and active negligence or Authority’s willful misconduct so long as the loss alleged is not caused or contributed to by Developer and the foregoing indemnification shall not apply to the presence, use, release, escape, seepage, leakage, spillage, emission, or discharge of any Hazardous Materials in, on, under, or about the Site where such Hazardous Material existed on the property prior to the Closing. 308.2Authority’s Indemnity. Authority shall defend, indemnify, assume all responsibility for, and hold harmless Developer, and its representatives, volunteers, officers, employees and agents, from and against all claims, demands, damages, defense costs or liability of any kind or nature relating to Authority’s compliance this Agreement or the implementation hereof and for any damages to property or injuries to persons, including accidental death (including attorneys’ fees and costs), which are legally caused by any acts or omissions of Authority under this Agreement, whether such activities or performance thereof be by Authority or by anyone directly or indirectly employed or contracted with by Authority and whether such damage shall accrue or be discovered before or after termination of this Agreement.
309. Rights of Access. Representatives of Authority shall have the right of access to the Site, without charges or fees, at normal construction hours during the period of construction for the purposes of this Agreement, including but not limited to, the inspection of the work being performed in constructing the Developer Improvements so long as Authority representatives comply with all generally applicable safety rules.
310. Compliance with Laws. Developer shall carry out the design and construction of the Developer Improvements in conformity with all applicable laws, including all applicable state labor standards, City zoning and development standards, building, plumbing, mechanical and electrical codes, and all other provisions of City Code, and all applicable disabled and handicapped access requirements, including without limitation the Americans With Disabilities Act, 42 U.S.C. Sections 12101, et seq., California Government Code Sections 4450, et seq., California Government Code Sections 11135, et seq., and the Unruh Civil Rights Act, California Civil Code Sections 51, et seq. 310.1Nondiscrimination in Employment. Developer certifies and agrees that, to the extent applicable to it, all persons employed or applying for employment by it, its affiliates, subsidiaries, or holding companies, and all subcontractors, bidders and vendors, are and will be treated equally by it without regard to, or because of race, color, religion, ancestry, national origin, sex, age, pregnancy, childbirth or related medical condition, medical condition (cancer related) or physical or mental disability, and in compliance with Title VII of the Civil Rights Act of 1964, 42 U.S.C. Sections 2000, et seq., the Federal Equal Pay Act of 1963, 29 U.S.C. Section 206(d), the Age Discrimination in Employment Act of 1967, 29 U.S.C. Sections 621, et seq., the Immigration Reform and Control Act of 1986, 8 U.S.C. Sections 1324b, et seq., 42 U.S.C. Section 1981, the California Fair Employment and Housing Act, California Government Code Sections 12900, et seq., the California Equal Pay Law, California Labor Code Sections 1197.5, California Government Code Section 11135, the Americans with Disabilities Act, 42 U.S.C. Sections 12101, et seq., and all other anti-discrimination laws and regulations of the United States and the State of California as they now exist or may hereafter be amended. Developer shall allow representatives of Authority access to its employment records related to this Agreement during regular business hours to verify compliance with these provisions when so 19 requested by Authority.
310.2Public Works Requirements. Developer shall carry out the construction of the Developer Improvements and the development of the Site in conformity with all applicable federal and state labor laws (including, without limitation, if applicable, the requirement under California law to pay prevailing wages and to hire apprentices). Although the parties believe that the Developer Improvements are not considered to be a “public work” under California law because the Site is being sold for a price not less than the appraised fair market value of the Site, Developer shall be solely responsible for determining and effectuating compliance with such laws, and Authority makes no representation as to the applicability or non-applicability of any of such laws to the Developer Improvements or any part thereof. Developer hereby expressly acknowledges and agrees that Authority has not previously affirmatively represented to Developer or its contractor(s) for the construction or development of the Developer Improvements, in writing or otherwise, in a call for bids or otherwise, that the work to be covered by this Agreement is not a “public work,” as defined in Section 1720 of the Labor Code. Developer hereby agrees that Developer shall have the obligation to provide any and all disclosures or identifications required by Labor Code Section 1781, as the same may be amended from time to time, or any other similar law. Developer shall indemnify, protect, defend and hold harmless Authority and its officers, employees, contractors and agents, with counsel reasonably acceptable to Authority, 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, construction (as defined by applicable law) and/or operation of the Developer Improvements, including, without limitation, any and all public works (as defined by applicable law), results or arises in any way from any of the following: (1) the noncompliance by Developer of any applicable local, state and/or federal law, including, without limitation, any applicable federal and/or state labor laws (including, without limitation, 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 Developer 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 and construction (as defined by applicable law) of the Developer Improvements, including, without limitation, any and all public works (as defined by applicable law), Developer 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 310.2, shall have the meaning ascribed to it in Labor Code Section 1781, as the same may be amended from time to time. The foregoing indemnity shall survive termination of this Agreement and shall continue after completion of the construction and development of the Developer Improvements by Developer.
311. Taxes and Assessments. Developer shall remove or have removed any levy or attachment for any taxes and assessments incurred after the Closing, made on the Site, or any part thereof, or assure the satisfaction thereof within a reasonable time; provided however, the Developer shall not be required to pay and discharge any such tax, assessment, charge or levy so long as (a) the legality thereof shall be promptly and actively contested in good faith and by appropriate proceedings and, (b) the Developer maintains reserves adequate to pay any liabilities contested. 312. Release of Construction Covenants. Promptly after completion of the Developer Improvements in conformity with this Agreement, Authority shall furnish Developer with the Release of Construction Covenants. Authority shall not unreasonably withhold such Release of Construction Covenants. The Release of Construction Covenants shall be a conclusive determination of satisfactory 20 completion of the Developer Improvements and the Release of Construction Covenants shall so state.

Any party then owning or thereafter purchasing, leasing or otherwise acquiring any interest in the Site shall not (because of such ownership, purchase, lease or acquisition) incur any obligation or liability under this Agreement except for those matters which constitute continuing obligations of Developer under the Site Grant Deed or otherwise under this Agreement. If Authority refuses or fails to furnish the Release of Construction Covenants for the Site after written request from Developer, Authority shall, within ten (10) working days of such written request, provide Developer with a written statement setting forth the reasons Authority has refused or failed to furnish the Release of Construction Covenants for the Site. The statement shall also contain a list of the actions Developer must take to obtain a Release of Construction Covenants.

Such Release of Construction Covenants shall not constitute evidence of compliance with or satisfaction of any obligation of Developer to any holder of any mortgage, or any insurer of a mortgage securing money loaned to finance the improvements, or any part thereof. Such Release of Construction Covenants is not a notice of completion as referred to in the California Civil Code, Section 3093. 400. COVENANTS AND RESTRICTIONS
401. Affordable Housing.
401.1Number of Units. As set forth in Section 301 of this Agreement and the Scope of Development, Developer shall construct the number and mix of residential units on the Site, all of which will be designated for and occupied at Affordable Rents by Qualified Residents. “Qualified Residents” means lower income households as defined by California Health and Safety Code Section 50079.5. Notwithstanding the foregoing, during such time that the Project is subject to a regulatory agreement restricting occupancy and/or rents pursuant to requirements imposed by the California Tax Credit Allocation Committee (“TCAC”). Affordable Rents shall be the more restrictive of (i) the rent limitations required by TCAC and (ii) the rent limitations set forth in Health and Safety Code Section 50053(b)(2).
401.2Period of Affordability. During the entire term of the Affordability Period, Developer agrees to make available, restrict occupancy to, and rent each residential unit to Qualified Residents at Affordable Rents. In addition to any requirements of the Authority Code, Developer agrees to comply with the provisions of California Health and Safety Code Section 33413 through Section 33418 to the extent necessary to enable the City to count the units for purposes of meeting the requirements of Section 33413 of the California Health and Safety Code. During the Affordability Period Developer shall provide information reasonably required by Authority to satisfy its reporting obligations under applicable law. The “Affordability Period” means the period beginning upon the first day of the first full month following the date on which the first unit in the Project is occupied and ending on the last day of the 660th month thereafter.
401.3Annual Reports. During the Affordability Period, Developer, at its expense, shall submit to the Authority the reports required pursuant to Health and Safety Code Section 33418, as the same may be amended from time to time, with each such report to be in the form prescribed by the Authority. Each annual report shall cover the immediately preceding calendar year. 402. Uses. Developer covenants and agrees to devote, use, develop, operate and maintain the Site in accordance with the Site Grant Deed, the CC&Rs and this Agreement. All uses conducted on the Site, including, without limitation, all activities undertaken by Developer pursuant to this Agreement, shall conform to all Entitlements, Permits, all applicable provisions of the City Code, and the recorded documents pertaining to and running with the Site. 21 403. Nondiscrimination. Developer by and for itself and any successors in interest covenants that there shall be no discrimination against or segregation of any person or group of persons on account of race, color, creed, religion, sex, marital status, physical or mental disability or medical condition, national origin or ancestry in the sale, lease, sublease, transfer, use, occupancy, tenure or enjoyment of the Site, nor shall the Developer itself or any person claiming under or through it establish or permit any such practice or practices of discrimination or segregation with reference to the selection, location, number, use or occupancy of tenants, lessees, subtenants, sublessees or vendees of the Site.

The foregoing covenants shall run with the land.

All such deeds, leases or contracts shall contain or be subject to substantially the following nondiscrimination or nonsegregation clauses:
(a) In deeds: “The grantee herein covenants by and for himself or herself, his or her heirs, executors, administrators and assigns, and all persons claiming under or through them, that there shall be no discrimination against or segregation of, any person or group of persons on account of race, color, creed, religion, sex, marital status, physical or mental disability or medical condition, national origin or ancestry in the sale, lease, sublease, transfer, use, occupancy, tenure or enjoyment of the land herein conveyed, nor shall the grantee himself or herself or any person claiming under or through him or her, establish or permit any such practice or practices of discrimination or segregation with reference to the selection, location, number, use or occupancy of tenants, lessees, subtenants, sublessees or vendees in the land herein conveyed. The foregoing covenants shall run with the land.”
(b) In leases: “The lessee herein covenants by and for himself or herself, his or her heirs, executors, administrators and assigns, and all persons claiming under or through him or her, and this lease is made and accepted upon and subject to the following conditions:
‘There shall be no discrimination against or segregation of any person or group of persons on account of race, color, creed, religion, sex, marital status, physical or mental disability or medical condition, ancestry or national origin in the leasing, subleasing, transferring, use, occupancy, tenure or enjoyment of the premises herein leased nor shall the lessee himself or herself, or any person claiming under or through him or her, establish or permit any such practice or practices of discrimination or segregation with reference to the selection, location, number, use or occupancy of tenants, lessees, sublessees, subtenants or vendees in the premises herein leased.’” (c) In contracts: “There shall be no discrimination against or segregation of, any person, or group of persons on account of race, color, creed, religion, sex, marital status, physical or mental disability or medical condition, ancestry or national origin, in the sale, lease, sublease, transfer, use, occupancy, tenure or enjoyment of the premises, nor shall the transferee himself or herself or any person claiming under or through him or her, establish or permit any such practice or practices of discrimination or segregation with reference to the selection, location, number, use or occupancy of tenants, lessees, subtenants, sublessees or vendees of the premises.” 404. Maintenance of the Site. From and after the completion of the Project on any portion of the Site, the Developer shall maintain or cause to be maintained the interiors and exteriors of the Developer Improvements on the Site in a decent, safe and sanitary manner, in accordance with the standard of maintenance of similar housing units within the Authority, and in accordance with the maintenance standards that are set forth in the CC&Rs. None of the dwelling units on the Site shall at any time be utilized on a transient basis nor shall the Site or any portion thereof ever be used as a hotel, motel, dormitory, fraternity or sorority house, rooming house, hospital, nursing home, sanitarium or rest home. Developer shall not convert the Site to condominium ownership without the prior written 22 approval of the Authority, which approval the Authority may grant, withhold or deny in its sole and absolute discretion. If at any time Developer fails to maintain the Site in accordance with this Agreement or the CC&Rs and Developer does not correct or commence to correct such condition within ten (10) days after written notice from the Authority with respect to graffiti, debris, waste material, and general maintenance, or thirty (30) days after written notice from the Authority with respect to landscaping and building improvements, then the Authority, in addition to whatever remedy it may have at law or at equity, shall have the right to enter upon the applicable portion of the Site and perform all acts and work reasonably necessary to protect, maintain, and preserve the Improvements and landscaped areas on the Site, and to attach a lien upon the Site, or assess the Site, in the amount of the expenditures arising from such acts and work of protection, maintenance, and preservation by the Authority and/or costs of such cure, including a ten percent (10%) administrative charge, which amount shall be promptly paid by Developer to the Authority upon demand. Pursuant to the CC&Rs, the foregoing covenants shall run with the land for the term of the Affordability Period. 405. Long Term Management of the Site. The parties acknowledge that the Authority is interested in the long-term management and operation of the Site and in the qualifications of any person or entity retained by Developer for that purpose (the “Property Manager”). The Authority may from time- to-time review and evaluate the identity and performance of the Property Manager of the Site and the Property Manager’s compliance with the provisions of this Agreement and the CC&R’s. If the Authority reasonably determines that the performance of the Property Manager is deficient based upon the standards and requirements set forth in this Agreement and the CC&R’s, the Authority shall provide written notice to Developer of such deficiencies and Developer shall use commercially reasonable efforts to correct or cause to be corrected such deficiencies. Upon Default of the terms of this Agreement or the CC&Rs by the Property Manager, the Authority shall have the right to require Developer to remove and replace the Property Manager with another property manager or property management company reasonably acceptable to the Authority, subject to the rights of the senior lender and limited partner. Such Property Manager shall be experienced in managing multifamily residential developments similar to the Project and may be related to or affiliated with the Developer. Pursuant to the CC&Rs, the foregoing covenants shall run with the land for the term of the Affordability Period. 500. DEFAULTS, REMEDIES, AND TERMINATION
501. Default Remedies. Subject to the extensions of time set forth in Section 702 of this Agreement, failure by either party to perform any action or covenant required by this Agreement within the time periods provided herein following notice and failure to cure as described hereafter, constitutes a “Default” under this Agreement. A party claiming a Default (the “Claimant”) shall give written notice to the other party specifying the alleged grounds for the Default (the “Default Notice”). Except as otherwise expressly provided in this Agreement, the Claimant shall not institute any proceeding against any other party and the other party shall not be in Default if such party within forty-five (45) days from receipt of the notice required by this Section 501 immediately, with due diligence, commences to cure, correct or remedy such failure or delay and shall complete such cure, correction or remedy with diligence.
502. Institution of Legal Actions. In addition to any other rights or remedies and subject to the restrictions otherwise set forth in this Agreement, either party may institute an action at law or equity to seek specific performance of the terms of this Agreement, or to cure, correct or remedy any Default, to recover damages for any Default, or to obtain any other remedy consistent with the purpose of this Agreement. Such legal actions must be instituted in the Superior Court of the County of Los Angeles, State of California, in an appropriate municipal court in that county, or in the United States District Court for the Central District of California.
23 503. Termination by Developer. In the event that as of the time designated therefor in this Agreement (and if no time is described below, the time established in this Agreement for the satisfaction of the Authority’s Conditions Precedent):
503.1Termination Prior to the Closing. In the event that prior to the Closing:
(a) Developer is not in default under this Agreement and Developer has not notified Authority that the condition of the Site is acceptable; or (b) Developer is not in default under this Agreement and Authority does not execute the Site Grant Deed and attempt to effect the conveyance of the Site to Developer in the manner and condition and by the date provided in this Agreement; or (c) Authority is otherwise in default of this Agreement prior to the conveyance of the Site which is not cured within the time set forth in Section 501 hereof; (d) and any such failure is not cured within the applicable time period after written demand by Developer, then this Agreement may, at the option of Developer, be terminated by Notice thereof to Authority. From the date of the Notice of termination of this Agreement by Developer to Authority and thereafter, and this Agreement shall be deemed terminated and there shall be no further rights or obligations among the parties.
504. Termination by Authority.
504.1Termination Prior to the Closing. In the event that as of the time established therefor in this Agreement, but not later than the time established for the satisfaction of the Authority’s Conditions Precedent:
(a) Developer (or any successor in interest) assigns this Agreement or any rights therein or in the Site in violation of this Agreement; or (b) Authority has not received notification from Developer that the condition of the Site is satisfactory; or
(c) One of more of the Authority’s Conditions Precedent is not satisfied; or (d) Developer fails to execute the Site Grant Deed; or
(e) Developer is otherwise in default of this Agreement and fails to cure such default within the time set forth in Section 501 hereof; (f) then this Agreement and any rights of Developer or any assignee or transferee with respect to or arising out of the Agreement or the Site (including without limitation all attachments to this Agreement), shall, at the option of Authority, be terminated by Authority by Notice thereof to Developer. From the date of the Notice of termination of this Agreement by Authority to Developer and thereafter this Agreement (including without limitations all attachments hereto) shall be deemed terminated excepting that Developer shall have conveyed or caused to be conveyed to Authority (or a nominee designated by Authority for such purpose) the Site, unless Developer is otherwise instructed by Authority in a writing that mentions this Section 504 and there shall be no further rights or obligations among the parties, except that Authority may pursue any remedies it has hereunder.
24 505. Reentry and Revesting of Title in Authority after the Closing and Prior to Completion of Construction. Authority has the right, at its election, to reenter and take possession of the Site, with all improvements thereon, and terminate and revest in Authority the estate conveyed to Developer if after the Closing and prior to the issuance of the Release of Construction Covenants, Developer (or its successors in interest) shall:
(a) fail to start the construction of the Developer Improvements as required by this Agreement for a period of thirty (30) days after written notice thereof from Authority, unless such failure is due to causes beyond the reasonable control of Developer, and Developer has requested and received from Authority an extension of time, which shall not be unreasonably withheld, conditioned, or delayed, and which shall be for a period reasonably related to the scope and nature of the delay; or (b) abandon or substantially suspend construction of the Developer Improvements required by this Agreement for a period of thirty (30) days after written notice thereof from Authority; or
(c) fail to complete the Developer Improvements required by this Agreement within the time frame set forth in the Schedule of Performance or as amended; or (d) transfer or suffer any involuntary transfer of the Site or any part thereof in violation of Section 625 of this Agreement.

Such right to reenter, terminate and revest shall be subject to and be limited by and shall not defeat, render invalid or limit: (i) any mortgage or deed of trust permitted by this Agreement; or (ii) any rights or interests provided in this Agreement for the protection of the holders of such mortgages or deeds of trust.

The Site Grant Deed shall contain appropriate reference and provision to give effect to Authority’s right as set forth in this Section 505, under specified circumstances prior to recordation of the Release of Construction Covenants, to reenter and take possession of the Site, with all improvements thereon, and to terminate and revest in Authority the estate conveyed to Developer.

Upon the revesting in Authority of title to the Site as provided in this Section 505, Authority shall, pursuant to its responsibilities under state law, use its reasonable efforts to resell the Site as soon and in such manner as Authority shall find feasible, to a qualified and responsible party or parties (as determined by Authority) who will assume the obligation of making or completing the Developer Improvements, or such improvements in their stead as shall be satisfactory to Authority. Upon such resale of the Site, the net proceeds thereof after repayment of any mortgage or deed of trust encumbering the Site, which is permitted by this Agreement, shall be applied:
(i) First, to reimburse Authority, on its own behalf or on behalf of Authority, all costs and expenses incurred by Authority, excluding Authority staff costs, but specifically, including, but not limited to, any expenditures by Authority in connection with the recapture, management and resale of the Site or part thereof (but less any income derived by Authority from the Site or part thereof in connection with such management); all taxes, assessments and water or sewer charges with respect to the Site or part thereof which Developer has not paid (or, in the event that the Site is exempt from taxation or assessment of such charges during the period of ownership thereof by Authority, an amount, if paid, equal to such taxes, assessments, or charges as would have been payable if the Site were not so exempt); any payments made or necessary to be made to discharge any encumbrances or liens existing on the Site or part thereof at the time of revesting of title thereto in Authority, or to discharge or prevent from attaching or being made any subsequent encumbrances or liens due to obligations, defaults or 25 acts of Developer, its successors or transferees; any expenditures made or obligations incurred with respect to the making or completion of the Developer Improvements or any part thereof; and any amounts otherwise owing Authority, and in the event additional proceeds are thereafter available, then (ii) Second, to reimburse Developer, its successor or transferee, up to the amount equal to the sum of (a) the costs incurred for the acquisition and development of the Site and for the improvements existing on the Site at the time of the reentry and possession, less (b) any gains or income withdrawn or made by Developer from the Site or the improvements thereon.

Any balance remaining after such reimbursements shall be retained by Authority as its property. The rights established in this Section 505 are not intended to be exclusive of any other right, power or remedy, but each and every such right, power, and remedy shall be cumulative and concurrent and shall be in addition to any other right, power and remedy authorized herein or now or hereafter existing at law or in equity. These rights are to be interpreted in light of the fact that Authority will have conveyed the Site to Developer for economic development purposes, and not for speculation in undeveloped land.
506. Acceptance of Service of Process. In the event that any legal action is commenced by Developer against Authority, service of process on Authority shall be made as provided by law. In the event that any legal action is commenced by Authority against Developer, service of process on Developer shall be made by personal service upon Developer or in such other manner as may be provided by law.
507. Rights and Remedies Are Cumulative. 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. 508. Inaction Not a Waiver of Default. Any failures or delays by either party in asserting any of its rights and remedies as to any Default shall not operate as a waiver of any Default or of any such rights or remedies or deprive either such party of its right to institute and maintain any actions or proceedings which it may deem necessary to protect, assert or enforce any such rights or remedies. 509. Applicable Law. The laws of the State of California shall govern the interpretation and enforcement of this Agreement.
600. GENERAL PROVISIONS
601. Notices, Demands and Communications between the Parties. Any approval, disapproval, demand, document or other notice (“Notice”) required or permitted under this Agreement must be in writing and shall be sufficiently given if delivered by hand (and a receipt therefor is obtained or is refused to be given) or dispatched by registered or certified mail, postage prepaid, return receipt requested, or delivered by telecopy or overnight delivery service to:

To Authority: Lancaster Housing Authority
44933 North Fern Avenue
Lancaster, California 93534
Attention: Executive Director
26 To Developer: Pacific West Communities, Inc.
430 E. State Street, Suite #100
Eagle, ID 83616
Attn: Caleb Roope
Such written notices, demands and communications may be sent in the same manner to such other addresses as either party may from time to time designate by mail as provided in this Section 601.
602. Enforced Delay; Extension of Times of Performance. In addition to specific provisions of this Agreement, performance by either party hereunder shall not be deemed to be in Default, and all performance and other dates specified in this Agreement shall be extended, where delays or Defaults are due to: litigation challenging the validity of this transaction or any element thereof or the right of either party to engage in the acts and transactions contemplated by this Agreement; inability to secure necessary labor materials or tools; delays of any contractor, sub- contractor or supplier; or withdrawal of financing not caused by any act or omission of Developer; war; insurrection; strikes; lockouts; riots; floods; earthquakes; fires; casualties; acts of God; acts of the public enemy; epidemics; quarantine restrictions; freight embargoes; lack of transportation; governmental restrictions or priority; unusually severe weather; acts or omissions of the other party; acts or failures to act of Authority or any other public or governmental agency or entity (other than the acts or failures to act of Authority which shall not excuse performance by Authority); or any other causes beyond the control or without the fault of the party claiming an extension of time to perform. Notwithstanding anything to the contrary in this Agreement, an extension of time for any such cause shall be for the period of the enforced delay and shall commence to run from the time of the commencement of the cause, if notice by the party claiming such extension is sent to the other party within forty-five (45) days of the commencement of the cause. Times of performance under this Agreement may also be extended in writing by the mutual agreement of Authority and Developer. Notwithstanding any provision of this Agreement to the contrary, the lack of funding to complete the Developer Improvements shall not constitute valid grounds of enforced delay pursuant to this Section 602. 603. Non-Liability of Officials and Employees of Authority /Non-Liability of Developer. No member, official or employee of Authority shall be personally liable to Developer, or any successor in interest, in the event of any Default or breach by Authority or for any amount which may become due under the terms of this Agreement.
604. Relationship between Parties. It is hereby acknowledged that the relationship between the parties is not that of a partnership or joint venture and that no party shall be deemed or construed for any purpose to be the agent of any other party. Accordingly, except as expressly provided herein or in the Exhibits hereto, Authority shall have no rights, powers, duties or obligations with respect to the development, operation, maintenance or management of the Site. Developer agrees to indemnify, hold harmless and defend Authority from any claim made against Authority arising from a claimed relationship of partnership or joint venture between Authority and Developer with respect to the development, operation, maintenance or management of the Site. 605. Authority Approvals and Actions. Whenever a reference is made herein to an action or approval to be undertaken by Authority, the Executive Director is authorized to act on behalf of Authority unless specifically provided otherwise or the context should require otherwise. 606. Commencement of City Review Period. The time periods set forth herein for City’s approval of agreements, plans, drawings, or other information submitted to City by Developer and for any other City consideration and approval hereunder which is contingent upon documentation required 27 to be submitted by Developer shall only apply and commence upon Developer’s complete submittal of all the required information. In no event shall an incomplete submittal by Developer trigger any of City’s obligations of review and/or approval hereunder; provided, however, that City shall notify Developer of an incomplete submittal as soon as is practicable and in no event later than the applicable time set forth for City’s action on the particular item in question. 607. Counterparts. This Agreement may be signed in multiple counterparts which, when signed by all parties, shall constitute a binding agreement. This Agreement is executed in two (2) originals, each of which is deemed to be an original.
608. Integration. This Agreement contains the entire understanding between the parties relating to the transaction contemplated by this Agreement. All prior or contemporaneous agreements, understandings, representations and statements, oral or written, are merged in this Agreement and shall be of no further force or effect. Each party is entering this Agreement based solely upon the representations set forth herein and upon each party’s own independent investigation of any and all facts such party deems material.
609. [Intentionally Omitted.]
610. Real Estate Brokerage Commission. Each party agrees to indemnify, defend, and hold the other harmless from and against any real estate broker or finder’s commissions or fees or claims thereto alleged to be owed in connection with the Site, which may be the responsibility of Developer or Authority.
611. Administration. This Agreement shall be administered and executed by Executive Director, or his or her designated representative, following approval of this Agreement by Authority.

Authority shall maintain authority of this Agreement through the Executive Director (or his or her authorized representative). The Executive Director shall have the authority to issue interpretations, waive provisions and enter into amendments of this Agreement on behalf of Authority so long as such actions do not substantially change the uses or development permitted on the Site, or add to the costs to Authority as specified herein as agreed to by the Lancaster Housing Authority, and such amendments may include extensions of time specified in the Schedule of Performance. All other waivers or amendments shall require the written consent of the Lancaster Housing Authority. 612. Amendments of Agreement. The parties agree to mutually consider reasonable requests for amendments to this Agreement. Developer shall be responsible for the reasonable costs incurred by Authority, including without limitation reasonable attorneys’ fees (the “Developer Costs”), in connection with any amendments to this Agreement which are requested by Developer (the “Developer Request”). Developer shall be responsible for payment of Developer Costs as provided in this Section 612 regardless of the outcome of Developer Request. 613. Titles and Captions. Titles and captions are for convenience of reference only and do not define, describe or limit the scope or the intent of this Agreement or of any of its terms. Reference to section numbers are to sections in this Agreement, unless expressly stated otherwise. 614. Interpretation. As used in this Agreement, masculine, feminine or neuter gender and the singular or plural number shall each be deemed to include the others where and when the context so dictates. The word “including” shall be construed as if followed by the words “without limitation.” This Agreement shall be interpreted as though prepared jointly by the parties. 615. No Waiver. A waiver by any party of a breach of any of the covenants, conditions or agreements under this Agreement to be performed by the other party shall not be construed as a waiver 28 of any succeeding breach of the same or other covenants, agreements, restrictions or conditions of this Agreement.
616. Modifications. Any alteration, change or modification of or to this Agreement, in order to become effective, shall be made in writing and in each instance signed on behalf of each party. 617. Severability. If any term, provision, condition or covenant of this Agreement or its application to any party or circumstances shall be held, to any extent, invalid or unenforceable, the remainder of this Agreement, or the application of the term, provision, condition or covenant to persons or circumstances other than those as to whom or which it is held invalid or unenforceable, shall not be affected, and shall be valid and enforceable to the fullest extent permitted by law. 618. Computation of Time. The time in which any act is to be done under this Agreement is computed by excluding the first day (such as the day escrow opens) and including the last day, unless the last day is a holiday or Saturday or Sunday, and then that day is also excluded. The term “holiday” shall mean all holidays as specified in Section 6700 and 6701 of the California Government Code. If any act is to be done by a particular time during a day, that time shall be Pacific Time Zone time. 619. Legal Advice. Each party represents and warrants to the other the following: they have carefully read this Agreement, and in signing this Agreement, they do so with full knowledge of any right which they may have; they have received independent legal advice from their respective legal counsel as to the matters set forth in this Agreement, or have knowingly chosen not to consult legal counsel as to the matters set forth in this Agreement; and, they have freely signed this Agreement without any reliance upon any agreement, promise, statement or representation by or on behalf of the other party, or their respective agents, employees or attorneys, except as specifically set forth in this Agreement, and without duress or coercion, whether economic or otherwise. 620. Time of Essence. Time is expressly made of the essence with respect to the performance of each and every obligation and condition of this Agreement. 621. Cooperation. Each party agrees to cooperate with the other in this transaction and, in that regard, to sign any and all documents which may be reasonably necessary, helpful or appropriate to carry out the purposes and intent of this Agreement including, but not limited to, releases or additional agreements.
622. Conflicts of Interest. No member, official or employee of Authority shall have any personal interest, direct or indirect, in this Agreement, nor shall any such member, official or employee participate in any decision relating to the Agreement which affects his personal interests or the interests of any corporation, partnership or association in which he is directly or indirectly interested. 623. Time for Acceptance of Agreement by Authority. This Agreement, when executed by Developer and delivered to Authority, must be authorized, executed and delivered by Authority within forty-five (45) days or this Agreement shall be void, except to the extent that the parties shall consent in writing to a further extension of time for the authorization, execution and delivery of this Agreement. 624. Representations and Warranties.
624.1Developer’s Representations and Warranties. Developer hereby makes the representations and warranties contained below in this Section 624.1. All of the representations and warranties set forth in this Section 624.1 are effective as of the Date of Agreement. All of the representations and warranties set forth in this Section 624.1 are made with the acknowledgment that 29 they are material, and with the intention that Authority shall rely upon them as inducements to enter into this Agreement and to perform its obligations hereunder and to close the transactions contemplated herein. The representations and warranties contained in this Section 624.1 shall each survive the execution of this Agreement without limitation as to time. (a)Authority. Developer is an Idaho general business corporation.

Developer has full right, power and lawful authority to undertake all obligations as provided herein. (b)No Conflict. Developer’s execution, delivery and performance of its obligations under this Agreement will not constitute a default or a breach under any contract, agreement or order to which Developer is a party or by which it is bound. (c)No Bankruptcy. Developer is not the subject of a bankruptcy proceeding.
(d)Deliveries. All documents, instruments and other information delivered by Developer to Authority pursuant to this Agreement are true, correct and complete.

Each of the foregoing items (a) to (d), inclusive shall be deemed to be an ongoing representation and warranty. Developer shall advise Authority in writing if there is any change pertaining to any matters set forth or referenced in the foregoing items (a) to (d), inclusive. 624.2Authority’s Representations and Warranties. Authority hereby makes the representations and warranties contained below in this Section 624.2. All of the representations and warranties set forth in this Section 624.2 are effective as of the Date of Agreement. All of the representations and warranties set forth in this Section 624.2 are made with the acknowledgment that they are material, and with the intention that Developer shall rely upon them as inducements to enter into this Agreement and to perform its obligations hereunder and to close the transactions contemplated herein. The representations and warranties contained in this Section 624.2 shall each survive the execution of this Agreement without limitation as to time. (a)Authority. Authority has full right, power and lawful authority to undertake all obligations as provided herein.
(b)No Conflict. Authority’s execution, delivery and performance of its obligations under this Agreement will not constitute a default or a breach under any contract, agreement or order to which Authority is a party or by which it is bound. (c)Deliveries. All documents, instruments and other information delivered by Authority to Developer pursuant to this Agreement are true, correct and complete. (d)Knowledge. Authority is not aware of any existing state or condition of the property, including, but not limited to the presence of Hazardous Materials or toxic substances, that may preclude Developer from carrying out the Developer Improvements as contemplated in this Agreement.

Each of the foregoing items (a) to (d), inclusive shall be deemed to be an ongoing representation and warranty. Authority shall advise Developer in writing if there is any change pertaining to any matters set forth or referenced in the foregoing items (a) to (d), inclusive. 625. Transfers of Interest in Site or Agreement.
30 625.1Prohibition. The qualifications and identity of Developer are of particular concern to Authority. It is because of those qualifications and identity that Authority has entered into this Agreement with Developer. For the period commencing upon the Date of Agreement and until the issuance of the Release of Construction Covenants, no voluntary or involuntary successor in interest of Developer shall acquire any rights or powers under this Agreement, nor shall Developer make any total or partial sale, grant, transfer, conveyance, assignment, subdivision or lease of the whole or any part of the Site or the Developer Improvements without prior written approval of Authority, except as expressly set forth herein. The Authority expressly authorizes its Executive Director to approve or disapprove any total or partial sale, grant, transfer, conveyance, assignment, subdivision or lease of the whole or any part of the Site or the Developer Improvements. 625.2Permitted Transfers. Notwithstanding any other provision of this Agreement to the contrary, Authority approval of an assignment of this Agreement or conveyance of the Site or the Developer Improvements, or any part thereof, shall not be required in connection with any of the following:
(a) The conveyance or dedication of any portion of the Site to Authority or other appropriate governmental agency, or the granting of easements or permits necessary in order to facilitate construction of the Developer Improvements.
(b) Any transfer to an entity or entities in which Developer retains a minimum of fifty-one percent (51%) of the ownership or beneficial interest and retains management and control of the transferee entity or entities. Transfers shall be permitted, subject to Developer and its Manager retaining management and control of the project. 625.3Authority Consideration of Requested Transfer. Authority agrees that it will not unreasonably withhold approval of a request made pursuant to this Section 625, provided Developer delivers written notice to Authority requesting such approval. Such notice shall be accompanied by
sufficient evidence regarding the proposed assignee’s or purchaser’s development and/or operational qualifications and experience, and its financial commitments and resources, in sufficient detail to enable Authority to evaluate the proposed assignee or purchaser pursuant to the criteria set forth in this Section 625 and as reasonably determined by Authority. Authority shall evaluate each proposed transferee or assignee on the basis of its development and/or operational qualifications and experience and its financial commitments and resources, and may reasonably disapprove any proposed transferee or assignee, during the period for which this Section 625 applies, which Authority determines does not possess equal or better qualifications than Developer. An assignment and assumption agreement in a form satisfactory to Authority’s legal counsel shall also be required for all proposed assignments.

Within thirty (30) days after the receipt of Developer’s written notice requesting Authority approval of an assignment or transfer pursuant to this Section 625, Authority shall either approve or disapprove such proposed assignment or shall respond in writing by stating what further information, if any, Authority requires in order to determine the request complete and determine whether or not to grant the requested approval. Upon receipt of such a response, Developer shall promptly furnish to Authority such further information as may be reasonably requested.
625.4Successors and Assigns. All of the terms, covenants and conditions of this Agreement shall be binding upon Developer and its permitted and/or approved successors and assigns.

Whenever the term “Developer” is used in this Agreement, such term shall include any other permitted and/or approved successors and assigns as herein provided. 31 625.5Assignment by Authority. Authority may assign or transfer any of its rights or obligations under this Agreement at its sole discretion. [Signatures begin on next page.]
32 IN WITNESS WHEREOF, the parties have executed this Agreement as of the date and year first written above.

AUTHORITY:

LANCASTER HOUSING AUTHORITY, public
body corporate and politic
ATTEST:

By: Trolis Niebla
Its: Executive Director
City Clerk
APPROVED AS TO FORM:

City Attorney
DEVELOPER:

PACIFIC WEST COMMUNITIES, INC., an Idaho general
business corporation
_____________________________________________
By: Caleb Roope
Its: President
A-1

EXHIBIT A

SCHEDULE OF PERFORMANCE
For the purposes of this Schedule of Performance, the “Date of Agreement” is [date]. The Executive Director may extend by not more than three hundred sixty (360) days, as all such extensions are aggregated, the time under this Schedule of Performance by which any obligation of Developer shall be performed.

1. Satisfaction of Authority Conditions
Precedent. Developer shall satisfy the
Authority Conditions Precedent.

Within twenty-four (24) months after the Date of
Agreement.

2. Submittal for Land Use Approvals.

Developer submits to City for all land use
approvals required for the Developer
Improvements, including, if applicable,
any conditional use permits.

Within one hundred twenty (120) days after the Date
of Agreement.

3. Opening of Escrow. Escrow opened as to
the Site.

Within ten (10) days after Date of Agreement.

4. Developer Approval as to Title, Condition
of Site. Developer confirms in writing to
the Executive Director that the condition of
the Site and the condition of title are
acceptable.

Within one hundred twenty (120) days after the
Date of Agreement, and in any event, before the
Closing.

5. Conditions Precedent are Satisfied. The
Authority’s Conditions precedent and the
Developer’s Conditions precedent are
satisfied.

Within twenty-four (24) months after the Date of
Agreement.

6. The Site Grant Deed is Recorded. The Site
Grant Deed is recorded.

Within thirty (30) days after the Authority’s
Conditions Precedent are satisfied and not later than
twenty-four (24) months following the Date of
Agreement.

7. Commencement of Construction. The
Developer shall have commenced
construction of the Developer
Improvements.

Within one hundred and twenty (120) days after the
Closing.

8. Completion of Construction. Developer
shall complete construction of the
Developer Improvements.

On or before the second anniversary of the
Closing.

B-1

EXHIBIT B

SCOPE OF DEVELOPMENT
I. GENERAL DESCRIPTION
The Site is specifically delineated on the Site Map and the Site Legal Description.

II. DEVELOPMENT
The Developer shall construct 24 one-bedroom units, 120 two-bedroom units, and 84 three- bedroom units. With the exception of the manager’s unit, all units will be restricted to lower income households earning between 30% and 60% of the area median income (“AMI”) for Los Angeles County, adjusted for household size.

All such approvals, including without limitation, the payment of fees to governmental agencies required in connection therewith, shall constitute the “Developer Improvements.” The Developer shall be responsible for any demolition, grubbing, and grading as necessary to accomplish the construction of the Developer Improvements.

The Developer shall commence and complete the Developer Improvements by the respective times established therefor in the Schedule of Performance.

III. DEVELOPMENT STANDARDS
The Improvements shall conform to all applicable state laws and regulations and to local zoning, applicable provisions of the City Code and the following development standards:

A. General Requirements:

1. Vehicular Access. The placement of vehicular driveways shall be coordinated with the needs of proper street traffic flow as approved by City. In the interest of minimizing traffic congestion, City will control the number and location of curb breaks for access to the Site for off-street parking and truck loading. All access driveways shall require written approval of City staff.

2. Building Signs. Signs shall be limited in size, subdued and otherwise designed to contribute positively to the environment. Signs identifying the building use will be permitted, but their height, size, location, color, lighting and design will be subject to City staff approval, and signs must conform to the City Code.

3. Screening. All outdoor storage of materials or equipment shall be enclosed or screened to the extent and in the manner required by City staff.

4. Landscaping. The Developer shall provide and maintain landscaping within the Site, including the public rights-of-way and within setback area along all street frontages and conforming with the plans as hereafter approved by City. Landscaping shall consist of drought-tolerant B-2
landscaping and trees in keeping with the City’s architecture and design guidelines, as well as installation of an automatic irrigation system adequate to maintain such plant material. The type and size of trees to be planted, together with a landscaping plan, shall be subject to City staff approval prior to planting.

5. Utilities. All utilities on the Site shall be underground at Developer’s expense.

6. Building Design. Buildings shall be constructed such that the Developer Improvements shall be of high architectural quality and shall be effectively and aesthetically designed and in conformance with City approvals.

7. Mitigation Measures. Mitigation measures approved in connection with the development of the Site under the California Environmental Quality Act (CEQA).

B. Design Features:

The following design features are considered essential components to the Improvements:

Security. The details of security will be reviewed upon submission of the detailed plans.

Overall Design Quality, Materials, Colors, Design Features. Quality of design is important, materials and colors are to be approved by the City.

IV. DEMOLITION AND SOILS
The Developer assumes all responsibility for surface and subsurface conditions at the Site, and the suitability of the Site for the Improvements. The Developer has undertaken all investigation of the Site as it shall deem necessary and has not received or relied upon any representations of Authority, or its respective officers, agents and employees.

Entitlements for the entire project are subject to expiration periods set forth in the Lancaster Municipal Code based on project submittal type.

EXHIBIT C SITE MAP
C-1

D-1

EXHIBIT D

SITE LEGAL DESCRIPTION
The land referred to herein is situated in the State of California, County of Los Angeles, described as follows:

EXCEPTING THEREFROM, that portion of land lying southerly of the following described line; BEGINNING at a point on the West line of said Northeast quarter of Section 28 distant North 0°24’01” West 547.17 from the Southwest corner thereof; thence, 1st - South 89°38’50” East 767.88 feet to the East line of said land, being also the West line of said Parcel 1 in the Deed to the State of California.

Except therefrom that portion in public roads of record.

E-1

EXHIBIT E

SITE GRANT DEED
[Space above for recorder.]

GRANT DEED
(Including Covenant Pursuant to Section 50079.5 of the California Government Code) For valuable consideration, receipt of which is hereby acknowledged, the LANCASTER HOUSING AUTHORITY, public body corporate and politic (the “Grantor”), hereby grants to PACIFIC WEST COMMUNITIES, INC., an Idaho general business corporation (the “Grantee”), the real property hereinafter referred to as the “Site,” described in Attachment No. 1 attached hereto and incorporated herein, subject to the existing easements, restrictions and covenants of record described there.

1. Grantor excepts and reserves from the conveyance herein described all interest of Grantor in oil, gas, hydrocarbon substances and minerals of every kind and character lying more than five hundred (500) feet below the surface, together with the right to drill into, through and to use and occupy all parts of the Site lying more than five hundred (500) feet below the surface thereof for any and all purposes incidental to the exploration for and production of oil, gas, hydrocarbon substances or minerals from said Site or other lands, but without, however, any right to use either the surface of the Site or any portion thereof within five hundred (500) feet of the surface for any purpose or purposes whatsoever, or to use the Site in such a manner as to create a disturbance to the use or enjoyment of the Site.

2. The Site is conveyed in accordance with and subject to the Disposition and Development Agreement entered into between Grantor and Grantee dated [date] (the “DDA”), a copy of which is on file with Grantor at its offices as a public record and which is incorporated herein by reference. All terms used herein shall have the same meaning as those used in the DDA.

3. If ten (10) or more residential units are developed on the Site, not less than fifteen percent (15%) of the total number of residential units developed on the Site shall be sold or rented at affordable housing cost, as defined in Section 50052.5 of the California Health and Safety Code, or affordable rent, as defined in Section 50053 of the California Health and Safety Code, to lower income households, as defined in Section 50079.5 of the California Health and Safety Code. Rental units shall

RECORDING REQUESTED BY AND
WHEN RECORDED MAIL TO:

Pacific West Communities, Inc.
430 E. State Street, #100
Eagle, ID 83616
Attn: Caleb Roope
E-2
remain affordable to and occupied by lower income households for a period of fifty-five (55) years for rental housing and forty-five (45) years for ownership housing. The initial occupants of all ownership units shall be lower income households, and the units shall be subject to an equity sharing agreement consistent with the provisions of paragraph (2) of subdivision (c) of 65915 of the California Government Code. These requirements shall be covenants or restrictions running with the land and shall be enforceable against any owner who violates a covenant or restriction and each successor-in- interest who continues the violation by any of the entities described in subdivisions (a) to (f), inclusive, of Section 54222.5 of the California Government Code.

4. Grantor has the right, at its election, to reenter and take possession of the Site, with all improvements thereon, and terminate and revest in Grantor the estate conveyed to Grantee if after the Closing but prior to the issuance and recordation of the Release of Construction Covenants, Grantee (or its successors in interest) shall:
a. Fail to start the construction of the Developer Improvements as required by the DDA for a period of one hundred and twenty (120) days after written notice thereof from Authority; or
b. Abandon or substantially suspend construction of the Developer Improvements required by the DDA for a period of thirty (30) days after written notice thereof from Authority; or
c. Fail to complete construction of the Developer Improvements required by the DDA within the time frame set forth in the Schedule of Performance contained therein; or
d. Transfer or suffer any involuntary transfer of the Site or any part thereof in violation of Section 625 of the DDA.

Such right to reenter, terminate and revest shall be subject to and be limited by and shall not defeat, render invalid or limit: (i) any mortgage or deed of trust permitted by the DDA; or (ii) any rights or interests provided in the DDA for the protection of the holders of such mortgages or deeds of trust.

Upon the revesting in Grantor of title to the Site as provided in this Section 3, Grantor shall, pursuant to its responsibilities under state law, use its reasonable efforts to resell the Site for fair market value as soon and in such manner as Grantor shall find feasible to a qualified and responsible party or parties (as determined by Grantor) who will assume the obligation of making or completing the Developer Improvements, or such improvements in their stead as shall be satisfactory to Grantor. Upon such resale of the Site, the net proceeds thereof after repayment of any mortgage or deed of trust encumbering the Site, which is permitted by this Agreement, shall be applied:
i. First, to reimburse Grantor all costs and expenses reasonably incurred by Grantor, excluding Authority staff costs, but specifically, including, but not limited to, any expenditures by Grantor in connection with the recapture, management and resale of the Site or part thereof (but less any income derived by Grantor from the Site or part thereof in connection with such management); all taxes, assessments and water or sewer charges with respect to the Site or part thereof which Grantee has not paid (or, in the event that Site is exempt from taxation or assessment of such charges during the period of ownership thereof E-3
by Grantor, an amount, if paid, equal to such taxes, assessments or charges as would have been payable if the Site were not so exempt); any payments made or necessary to be made to discharge any encumbrances or liens existing on the Site or part thereof at the time of revesting of title thereto in Grantor, or to discharge or prevent from attaching or being made any subsequent encumbrances or liens due to obligations, defaults or acts of Grantee, its successors or transferees; any expenditures made or obligations incurred with respect to the making or completion of the improvements or any part thereof on the Site, or part thereof; and any amounts otherwise owing Grantor, and in the event additional proceeds are thereafter available, then
ii. Second, to reimburse Grantee, its successor or transferee, up to the amount equal to the sum of (a) the costs incurred for the acquisition and development of the Site and for the improvements existing on the Site at the time of the reentry and possession, less (b) any gains or income withdrawn or made by Grantee from the Site or the improvements thereon.

Any balance remaining after such reimbursements shall be retained by Grantor as its property. The rights established in this Section 3 are not intended to be exclusive of any other right, power or remedy, but each and every such right, power and remedy shall be cumulative and concurrent and shall be in addition to any other right, power and remedy authorized herein or now or hereafter existing at law or in equity. These rights are to be interpreted in light of the fact that Grantor will have conveyed the Site to Grantee for economic development purposes, and not for speculation in undeveloped land.

5. Grantee covenants by and for itself and any successors in interest that there shall be no discrimination against or segregation of, any person or group of persons on account of any basis listed in subdivision (a) or (d) of Section 12955 of the Government Code, as those bases are defined in Sections 12926, 12926.1, subdivision (m) and paragraph (1) of subdivision (p) of Section 12955, and Section 12955.2 of the Government Code, in the sale, lease, sublease, transfer, use, occupancy, tenure, or enjoyment of the Site, nor shall the grantee or any person claiming under or through him or her, establish or permit any practice or practices of discrimination or segregation with reference to the selection, location, number, use or occupancy of tenants, lessees, subtenants, sublessees, or vendees in the Site. The foregoing covenants shall run with the land.

Grantee shall refrain from restricting the rental, sale or lease of the Site on any of the bases listed above in this Section 4. All such deeds, leases or contracts shall contain or be subject to substantially the following nondiscrimination or nonsegregation clauses:
(a) In deeds. “The grantee herein covenants by and for himself or herself, his or her heirs, executors, administrators, and assigns, and all persons claiming under or through them, that there shall be no discrimination against or segregation of, any person or group of persons on account of any basis listed in subdivision (a) or (d) of Section 12955 of the Government Code, as those bases are defined in Sections 12926, 12926.1, subdivision (m) and paragraph (1) of subdivision (p) of Section 12955, and Section 12955.2 of the Government Code, in the sale, lease, sublease, transfer, use, occupancy, tenure, or enjoyment of the premises herein conveyed, nor shall the grantee or any person claiming under or through him or her, establish or permit any practice or practices of discrimination or segregation with reference to the selection, location, number, use or occupancy of tenants, lessees, subtenants, sublessees, or vendees in the premises herein conveyed. The foregoing covenants shall run with the land.”
E-4
(b) In leases. “The lessee herein covenants by and for himself or herself, his or her heirs, executors, administrators, and assigns, and all persons claiming under or through him or her, and this lease is made and accepted upon and subject to the following conditions:
“That there shall be no discrimination against or segregation of any person or group of persons, on account of any basis listed in subdivision (a) or (d) of Section 12955 of the Government Code, as those bases are defined in Sections 12926, 12926.1, subdivision (m) and paragraph (1) of subdivision (p) of Section 12955, and Section 12955.2 of the Government Code, in the leasing, subleasing, transferring, use, occupancy, tenure, or enjoyment of the premises herein leased nor shall the lessee himself or herself, or any person claiming under or through him or her, establish or permit any such practice or practices of discrimination or segregation with reference to the selection, location, number, use, or occupancy, of tenants, lessees, sublessees, subtenants, or vendees in the premises herein leased.”
(c) In contracts. “There shall be no discrimination against or segregation of, any person or group of persons on account of any basis listed in subdivision (a) or (d) of Section 12955 of the Government Code, as those bases are defined in Sections 12926, 12926.1, subdivision (m) and paragraph (1) of subdivision (p) of Section 12955, and Section 12955.2 of the Government Code, in the sale, lease, sublease, transfer, use, occupancy, tenure, or enjoyment of the premises which are the subject of this Agreement, nor shall the grantee or any person claiming under or through him or her, establish or permit any practice or practices of discrimination or segregation with reference to the selection, location, number, use or occupancy of tenants, lessees, subtenants, sublessees, or vendees in the premises herein conveyed. The foregoing covenants shall run with the land.” GRANTOR:

LANCASTER HOUSING AUTHORITY, public
body corporate and politic
By:

Its: Executive Director
GRANTEE:

PACIFIC WEST COMMUNITIES, INC., an Idaho general
business corporation
By: Caleb Roope
Its: President
Attachment No. 1 to Exhibit E-5
ATTACHMENT NO. 1

SITE LEGAL DESCRIPTION
The land referred to herein is situated in the State of California, County of Los Angeles, described as follows:

EXCEPTING THEREFROM, that portion of land lying southerly of the following described line; BEGINNING at a point on the West line of said Northeast quarter of Section 28 distant North 0°24’01” West 547.17 from the Southwest corner thereof; thence, 1st - South 89°38’50” East 767.88 feet to the East line of said land, being also the West line of said Parcel 1 in the Deed to the State of California.

Except therefrom that portion in public roads of record.

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.

STATE OF CALIFORNIA )
) ss.

COUNTY OF )
On , before me, , Notary Public,
(Print Name of 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 Public

OPTIONAL
Though the data below is not required by law, it may prove valuable to persons relying on the document and could prevent fraudulent reattachment of this form.

CAPACITY CLAIMED BY SIGNER DESCRIPTION OF ATTACHED DOCUMENT Individual
Corporate Officer
Title(s)
Title Or Type Of Document
Number Of Pages
Date Of Documents
Partner(s) Limited General
Attorney-In-Fact
Trustee(s)
Guardian/Conservator
Other:

Signer is representing:

Name Of Person(s) Or Entity(ies)
Signer(s) Other Than Named Above
F-1

EXHIBIT F

RELEASE OF CONSTRUCTION COVENANTS
[Space above for recorder.]

RELEASE OF CONSTRUCTION COVENANTS
THIS RELEASE OF CONSTRUCTION COVENANTS (the “Release”) is made by the LANCASTER HOUSING AUTHORITY, public body corporate and politic (“Authority”), in favor of PACIFIC WEST COMMUNITIES, INC., an Idaho general business corporation (“Developer”), as of the date set forth below.

R E C I T A L S
A. Authority and Developer have entered into that certain Disposition and Development Agreement (the “DDA”) dated [date], concerning the redevelopment of certain real property situated in the City of Lancaster, California as more fully described in Attachment No. 1 attached hereto and made a part hereof. All capitalized terms utilized herein and not otherwise defined shall have the same meaning as set forth in the DDA.

B. As referenced in Section 412 of the DDA, Authority is required to furnish Developer or its successors with a Release of Construction Covenants upon completion of construction of the Developer Improvements which Release is required to be in such form as to permit it to be recorded in the Recorder’s Office of Los Angeles County. This Release is conclusive determination of satisfactory completion of the construction and development required by the DDA.

C. Authority has conclusively determined that such construction and development has been satisfactorily completed.

NOW, THEREFORE, Authority hereby certifies as follows:

1. The Developer Improvements to be constructed by Developer have been fully and satisfactorily completed in conformance with the DDA. All covenants relating to operating requirements, and use, maintenance and nondiscrimination covenants contained in the DDA shall remain in effect and enforceable according to their terms.

2. Nothing contained in this instrument shall modify in any other way any other provisions of the DDA.

RECORDING REQUESTED BY AND
WHEN RECORDED MAIL TO:

Pacific West Communities, Inc.
430 E. State Street, #100
Eagle, ID 83616
Attn: Caleb Roope
F-2
IN WITNESS WHEREOF,Authority has executed this Release
this day of __________________, 202 .

AUTHORITY:

LANCASTER HOUSING AUTHORITY, public
body corporate and politic
ATTEST:

By:

Its:

City Clerk
APPROVED AS TO FORM:

City Attorney
Attachment No. 1 to Exhibit F-3
ATTACHMENT NO. 1

SITE LEGAL DESCRIPTION
The land referred to herein is situated in the State of California, County of Los Angeles, described as follows:

EXCEPTING THEREFROM, that portion of land lying southerly of the following described line; BEGINNING at a point on the West line of said Northeast quarter of Section 28 distant North 0°24’01” West 547.17 from the Southwest corner thereof; thence, 1st - South 89°38’50” East 767.88 feet to the East line of said land, being also the West line of said Parcel 1 in the Deed to the State of California.

Except therefrom that portion in public roads of record.

STATE OF CALIFORNIA )
) ss.

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 Public

OPTIONAL
Though the data below is not required by law, it may prove valuable to persons relying on the document and could prevent fraudulent reattachment of this form.

Signer is representing:

Name Of Person(s) Or Entity(ies)
Signer(s) Other Than Named Above
G-1

EXHIBIT G

RESIDENTIAL DECLARATION OF CONDITIONS, COVENANTS

AND RESTRICTIONS AND REGULATORY AGREEMENT

RECORDING REQUESTED BY AND
WHEN RECORDED MAIL TO:

Lancaster Housing Authority
44933 N. Fern Avenue
Lancaster, California 93534
Attention: Executive Director
This document is exempt from the payment of a
recording fee pursuant to Government Code Section
6103.

RESIDENTIAL DECLARATION OF CONDITIONS, COVENANTS

AND RESTRICTIONS AND REGULATORY AGREEMENT

THIS RESDIDENTIAL DECLARATION OF CONDITIONS, COVENANTS, AND RESTRICTIONS AND REGULATORY AGREEMENT (the “Declaration”) is made by PACIFIC WEST COMMUNITIES, INC., an Idaho general business corporation, (the “Covenanter”), as of this ___________ day of , 202 .

R E C I T A L S
A. As of the date hereof the Covenanter is the fee owner of record of that certain real property (the “Property”) located in the City of Lancaster, County of Los Angeles, State of California, legally described in Attachment No. 1. The Property is the subject of a Disposition and Development Agreement dated as of , 202 (the “Agreement”), entered into by and between the Lancaster Housing Authority (the “Covenantee”) and Covenanter, a copy of which is on file with the Covenantee as a public record. Pursuant to the Agreement, the Covenanter is required to execute this Declaration, which has been or shall be recorded among the official land records of the County of Los Angeles.

B. The Agreement provides for the execution and recordation of this document.

NOW, THEREFORE, THE COVENANTER HEREBY DECLARES AS FOLLOWS:

Capitalized terms used herein shall have the following set forth below:
“Affordability Period” is defined in Section 1(b) hereof. “Affordable Rents” shall have the meaning set forth in Health and Safety Code Section 50053, as in effect of the date hereof, as calculated for lower income households.

G-2
“Area Median Income” shall mean the area medium income for Los Angeles County, California, adjusted for household size, as determined pursuant to Health and Safety Code Section 50093.
“Certificate of Occupancy” shall mean the certificate issued by the official in the City’s Building Department with authority over such issuance subsequent to the approval of the Developer Improvements.
“Default” means the failure of a party to perform any action or covenant required by this Agreement within the time periods provided herein following thirty (30) days’ notice and opportunity to cure.
“Developer Improvements” means the Residential Units and all streets, driveways, walkways, open spaces, amenities and other improvements constructed on the Site in connection therewith.
“Gross Income” shall mean the gross income of a household or family calculated in accordance with Section 6914 of Title 25 of the California Code of Regulations. “Project” means the Residential Units and other Developer Improvements. “Property” means and refers to the Site.
“Qualified Resident” means a person or household whose Gross Income is equal to or less than the income limits specified in Section 1(a).
“Residential Units” shall mean the housing units to be constructed by the Developer on the Site pursuant and subject to the Agreement.
“Site” means the real property that is more particularly described in Attachment No. 1 attached hereto.

1. Affordable Housing. The Covenanter shall construct Residential Units on the Site.

All such Residential Units shall be designated for and occupied by Qualified Residents at Affordable Rents, as follows:
(a) Affordability Requirements. All the Residential Units will be designated for and occupied at Affordable Rents by lower income households as defined by California Health and Safety Code Section 50079.5.
(b) Duration of Affordability Requirements. During the entire term of the Affordability Period, Covenanter agrees to make available, restrict occupancy to, and rent the Residential Units to Qualified Residents at affordable rents as set forth in Section (a) above. In addition to any requirements of the Code, Covenanter agrees to comply with the provisions of Health and Safety Code Section 33413 through Section 33418 to the extent necessary to enable the Covenantee to count the units for purposes of meeting the requirements of Section 33413 of the Health and Safety Code.

The term “Affordability Period” means the period beginning upon the first day of the first full month following the date on which the first Residential Unit in the Project is occupied and ending on the last day of the 660th month thereafter.

G-3
(c) Annual Reports. Upon Covenantee’s request, Covenanter, at its expense, shall submit to the Covenantee the reports required pursuant to Health and Safety Code Section 33418, as the same may be amended from time to time, with each such report to be in the form prescribed by the Covenantee. Each annual report shall cover the immediately preceding fiscal year. (d) Long Term Management of the Property. The parties acknowledge that the Covenantee is interested in the long-term management and operation of the Property and in the qualifications of any person or entity retained by the Covenanter for that purpose (the “Property Manager”). The Covenantee may from time-to-time review and evaluate the identity and performance of the Property Manager of the Property and the Property Manager’s compliance with the provisions of this Declaration. If the Covenantee determines that the performance of the Property Manager is deficient based upon the standards and requirements set forth in this Declaration, the Covenantee shall provide notice to the Covenanter of such deficiencies and the Covenanter shall use its best efforts to correct such deficiencies. Upon Default of the terms of this Declaration by the Property Manager, the Covenantee shall have the right to require the Covenanter to immediately remove and replace the Property Manager with another property manager or property management company who is reasonably acceptable to the Covenantee, who may be related to or affiliated with the Covenanter, and who is experienced in managing multifamily residential developments.

2. Compliance with Declaration. Covenanter shall commence and complete the construction of the Property, and carry out the design, construction as evidenced by the issuance of the Certificate of Occupancy, and operation of the Project in compliance with all applicable laws, and in accordance with the Declaration.

3. Non-Discrimination Covenants. Covenanter by and for itself, its successors and assigns, and all persons claiming under or through them agrees that there shall be no discrimination against or segregation of any person or group of persons on account of race, color, religion, sex, marital status, national origin or ancestry in the sale, lease, sublease, transfer, use, occupancy, tenure, or enjoyment of the Property, nor shall Covenanter itself or any person claiming under or through it, establish or permit any such practice or practices of discrimination or segregation with reference to the selection, location, number, use or occupancy of tenants, lessees, subtenants, subleases, or vendees in the Property.

4. Maintenance of the Property. The Covenanter shall maintain or cause to be maintained the interiors and exteriors of the Property in a decent, safe and sanitary manner, in accordance with the standard of maintenance of similar housing units within the City, and in accordance with the maintenance standards which are set forth in the Declaration. None of the dwelling units on the Property shall at any time be utilized on a transient basis nor shall the Property or any portion thereof ever be used as a hotel, motel, dormitory, fraternity or sorority house, rooming house, hospital, nursing home, sanitarium or rest home. The Covenanter shall not convert the Property to condominium ownership without the prior written approval of the Covenantee, which approval the Covenantee may grant, withhold or deny in its sole and absolute discretion. If at any time Covenanter fails to maintain the Property in accordance with this Declaration and Covenantor fails to correct or commence to correct such condition within ten (10) days after written notice from the Covenantee (with a copy to the then existing lenders for the Project) with respect to graffiti, debris, waste material, and general maintenance, or thirty days after written notice from the Covenantee with respect to landscaping and building improvements, then the Covenantee, in addition to whatever remedy it may have at law or at equity, shall have the right to enter upon the applicable portion of the Property and perform all acts and work necessary to protect, maintain, and preserve the Developer Improvements and landscaped G-4
areas on the Property, and to attach a lien upon the Property, or to assess the Property, in the amount of the expenditures arising from such acts and work of protection, maintenance, and preservation by the Covenantee and/or costs of such cure, including a five percent 5% administrative charge, which amount shall be promptly paid by Covenanter to the Covenantee upon demand; provided, however, that such right to enter is subordinate to any existing or future mortgage or deed of trust.

Covenanter shall properly maintain the buildings, landscaping and yard areas on the Property, in accordance with the City’s Municipal Code and according to the following standards:
(a) No improperly maintained landscaping shall be visible from public rights of way, including:
(i) no lawns with grasses in excess of six (6) inches in height; (ii) no untrimmed hedges;
(iii) no trees, shrubbery, lawns, and other plant life dying from lack of water or other necessary maintenance;
(iv) no trees and shrubbery grown uncontrolled without proper pruning; (v) no vegetation so overgrown as to be likely to harbor rats or vermin; (vi) no dead, decayed or diseased trees, weeds and other vegetation. (b) No yard areas or balconies shall be left unmaintained, including:
(i) no broken or discarded furniture, appliances and other household equipment stored in yard areas for periods exceeding one (1) week; (ii) no packing boxes, lumber, trash, dirt and other debris stored in yards for periods exceeding one (l) week in areas visible from public property or neighboring properties;
(iii) no unscreened trash cans, bins or containers stored for unreasonable periods in areas visible from public property or neighboring properties; and (iv) no vehicles parked or stored in other than approved parking areas. (c) No buildings may be left in an unmaintained condition, including:
(i) no violations of state law, uniform codes, or City ordinances; (ii) no condition that constitutes an unsightly appearance that detracts from the aesthetics or property value of the subject property or constitutes a private or public nuisance;
(iii) no broken windows or chipped, cracked or peeling paint; and G-5
(iv) no conditions constituting hazards and/or inviting trespassers or malicious mischief

5. Conflict with Other Laws; Severability. In the event that any provision of this Declaration is found to be contrary to applicable law or any other provision of this Declaration, then the contrary provisions of this Declaration shall be deemed to mean those provisions which are enforceable and consistent with such laws and policies. The remaining portions of this Declaration shall be deemed modified in a manner which is consistent with the goals and intent of this Declaration to provide housing to lower income residents as set forth in this Declaration. Every provision of this Declaration is intended to be severable. In the event any term or provision of this Declaration is declared by a court of competent jurisdiction to be unlawful, invalid or unenforceable for any reason, such determination shall not affect the balance of the terms and provisions of this Declaration, which terms and provisions shall remain binding and enforceable.

6. Covenants For Benefit of Covenantee. All covenants without regard to technical classification or designation shall be binding for the benefit of the Covenantee and such covenants shall run in favor of the Covenantee for the entire period during the Affordability Period. The parties shall have the right to exercise all the rights and remedies and to maintain any actions at law or suits in equity or other proper legal proceedings to enforce and to cure such breach to which it or any other beneficiaries of these covenants may be entitled during the term specified for such covenants, except the covenants against discrimination which may be enforced at law or in equity at any time in perpetuity.

7. Notices, Demands and Communications. Written notices, demands and communications between the Covenanter and the Covenantee shall be sufficiently given if delivered by hand or dispatched by registered or certified mail, postage prepaid, return receipt requested, as follows:

Covenanter: Pacific West Communities, Inc.,
430 E. State Street, #100
Eagle, ID 83616
Attn: Caleb Roope
Covenantee: Lancaster Housing Authority
44933 N. Fern Avenue
Lancaster, CA 93534
Attention: Executive Director
Such addresses for notice may be changed from time to time upon notice to the other party.

Any written notice, demand or communication shall be deemed received immediately if delivered by hand and shall be deemed received on the fifth (5th) calendar day from the date it is postmarked if delivered by registered or certified mail.

8. Expiration Date. This Declaration shall automatically terminate and be of no further force or effect upon the expiration of the Affordability Period, except as otherwise provided in this Declaration.

9. Covenantee Remedies. The occurrence of any Default under this Declaration will, either at the option of the Covenantee or automatically where so specified, entitle the Covenantee to proceed with any and all remedies, including but not limited to the following:

G-6
(a) Specific Performance. The Covenantee shall have the right to mandamus or other suit, action or proceeding at law or in equity to require Covenanter to perform its obligations and covenants under this Declaration or to enjoin acts or things which may be unlawful or in violation of the provisions of this Declaration.
(b) Right to Cure at Covenanter’s Expense. The Covenantee shall have the right to cure any monetary default by Covenanter under a loan or grant; provided, however, that if the Covenanter is in good faith contesting a claim of default under a loan and the Covenantee’s interest under this Declaration is not imminently threatened by such default, the Covenantee shall not have the right to cure such default. The Covenanter agrees to reimburse the Covenantee for any funds advanced by the Covenantee to cure a monetary default by Covenanter upon demand therefore, together with interest thereon at the rate of ten percent (10%) per annum, from the date of expenditure until the date of reimbursement.

IN WITNESS WHEREOF, the Covenanter has caused this instrument to be executed on its behalf by its officers hereunto duly authorized as of the date set forth above.

COVENANTER:

PACIFIC WEST COMMUNITIES, INC., an Idaho
general business corporation
By:

Name:

Its:

ATTACHMENT NO. 1

SITE LEGAL DESCRIPTION
The land referred to herein is situated in the State of California, County of Los Angeles, described as follows:

EXCEPTING THEREFROM, that portion of land lying southerly of the following described line; BEGINNING at a point on the West line of said Northeast quarter of Section 28 distant North 0°24’01” West 547.17 from the Southwest corner thereof; thence, 1st - South 89°38’50” East 767.88 feet to the East line of said land, being also the West line of said Parcel 1 in the Deed to the State of California.

Except therefrom that portion in public roads of record.

STATE OF CALIFORNIA )
) ss.

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 Public

OPTIONAL
Though the data below is not required by law, it may prove valuable to persons relying on the document and could prevent fraudulent reattachment of this form.

Signer is representing:

Name Of Person(s) Or Entity(ies)
Signer(s) Other Than Named Above

CC 2
08/26/2025
TN
Tuesday, August 12, 2025

CALL TO ORDER
Mayor Parris called the meeting of the Lancaster City Council / Successor Agency/ Financing/ Power Authority to order at 1:33 p.m.

ROLL CALL
PRESENT: City Council Members /Agency Directors /Authority Members: Hughes-Leslie, Malhi, Mann; Vice Mayor/ Vice Chair Crist; Mayor/Chair Parris STAFF MEMBERS:

City Manager/ Executive Director; Assistant City Manager/Deputy Executive Director; City Attorney/Agency/Authority Counsel; City Clerk/Agency/Authority Secretary; Director- Public Works; Director-Community Development; Director- Parks, Recreation, Arts, & Community Services; Senior Director/Treasurer- Admin Services; Chief of Police.

INVOCATION
John Meadors, Christian Life Assembly

PLEDGE OF ALLEGIANCE
Council Member Malhi

2 CC/SA/FA/HA/PA Minutes-08/12/2025

PRESENTATIONS

1. Commissioner Recognition of Service
Presented by: Mayor R. Rex Parris

CONSENT CALENDAR
On a motion by Vice Mayor Crist and seconded by Council Member Mann, the City Council approved the Consent Calendar as comprised pulling item numbers CC15 & CC 20 for separate discussion, by the following vote 5-0-0-0: AYES: Hughes-Leslie, Malhi, Mann, Crist, Parris; NOES: None; ABSTAIN: None ABSENT: None
Patti Garibay, Director-Community Development presented the staff report on item number CC

15. On a motion by Vice Mayor Crist and seconded by Council Member Hughes-Leslie the City Council approved item number CC15, by the following vote 5-0-0-0: AYES: Hughes-Leslie, Malhi, Mann, Crist, Parris; NOES: None; ABSTAIN: None; ABSENT: None Mike Harne, Assistant Director-Public Works Maintenance Services presented the staff report on item number CC 20.

On a motion by Vice Mayor Crist and seconded by Council Member Malhi, the City Council approved item number CC 20, by the following vote 5-0-0-0: AYES: Hughes-Leslie, Malhi, Mann, Crist, Parris; NOES: None; ABSTAIN: None; ABSENT: None CC 1. ORDINANCE WAIVER
Waived further reading of any proposed ordinance. (This permits reading the title only in lieu of reciting the entire text.)
CC 2. MINUTES
Approved the City Council/Successor Agency/Financing/Housing/Power Authority Regular Meeting Minutes of July 08, 2025.

CC 3. AMENDMENT TO PROFESSIONAL SERVICES AGREEMENT WITH AFFORDABLE HOUSING SOLUTIONS & DEVELOPMENT OF SOUTHERN CALIFORNIA, LLC.

1. Approved the Second Amendment to the Affordable Housing Solutions & Development of Southern California, LCC Professional Services Agreement extending the term of the agreement by one (1) year for a total of five (5) years, increasing the annual not-to-exceed amount to $165,000 for the remainder of the contract, for a total contract amount not-to-exceed of 3 CC/SA/FA/HA/PA Minutes-08/12/2025
$605,200, and updating and expanding the services to be provided to include those listed in Exhibit A.

2. Authorized the City Manager, or his designee, to finalize and execute all documents related to the Amendment.

CC 4. FINAL MAP APPROVAL – PARCEL MAP NO. 84456 (LOCATED AT 44447 10TH

STREET WEST)
Approved the map for Parcel Map No. 84456 located at 44447 10th Street West; made findings that this project will not violate any of the provisions of Sections 66473.5, 66474.1 and 66474.6 of the Subdivision Map Act; and instructed the City Clerk to endorse on the face of the map the certificate which embodies the approval of said map.

CC 5. APPROVE THE LANCASTER ENERGY RESIDENTIAL PEAK DEMAND RESPONSE INCENTIVE PROGRAM.

Approved the Lancaster Energy Residential Peak Demand Response Incentive Program and Authorized the City Manager or his designee to negotiate and execute program contracts and policies, if applicable, on behalf of the City with concurrence from the City Attorney.

CC 6. ADOPTION OF A RESOLUTION AUTHORIZING THE EXECUTION OF AN

AMENDED SURETY BOND TO MEET THE FINANCIAL SECURITY REQUIREMENT FOR LANCASTER ENERGY AND RESCINDING RESOLUTION NO. 23-22

1. Adopted Resolution No. 25-44, authorizing the execution of an amended Surety Bond to meet the Financial Security Requirement for Lancaster Energy and rescinding Resolution No. 23-22.

2. Authorized the City Manager, or his designee, to execute this and subsequent amended Surety Bond documents to accommodate increases and decreases associated with the annual fee of the Surety Bond for an amount not to exceed $100,000 annually.

CC 7. APPROVE AMENDMENT NO. 2 TO THE PROFESSIONAL SERVICES AGREEMENT WITH SRK CONSULTING, LLC. (SRK)

1. Approved Amendment No. 2 to the Professional Services Agreement with SRK Consulting LLC (SRK) for an additional two (2) years (expiration date moved to 8/14/2028) and a not-to- exceed amount of $125,000 annually for additional services added to scope.

2. Authorized the City Manager, or his designee, to finalize and execute all documents related to the Amendment.
4 CC/SA/FA/HA/PA Minutes-08/12/2025
CC 8. LOS ANGELES COUNTY PROPOSITION A FUNDING FOR YOUTH AND SENIOR

EXCURSION TRANSPORTATION COSTS
A. Appropriated $35,000 from Proposition A to account 21862300.5656 (Project String PROPACMNSRV.YOUTHTRNSP).

B. Appropriated $36,000 from Proposition A to account 21862300.5656 (Project String PROPACMNSRV.SRTRNSPRT).

CC 9. ADOPT RESOLUTION X TO ACCEPT LOS ANGELES COUNTY AFFORDABLE

HOUSING SOLUTIONS AGENCY (LACAHSA) MEASURE A FUNDS

1. Adopted Resolution No. 25-45, to accept LACAHSA Measure A Funds.

2. Authorized the City Manager or their designee to execute any documents related to the application, acceptance, and implementation of approved grant programs and projects of the LACAHSA Measure A Funds.

CC 10. LANCASTER ENERGY – 2024 POWER SOURCE DISCLOSURE ATTESTATION.

Provided the attestation specified under California’s Power Source Disclosure (PSD) Program, which requires the governing council of a public agency providing retail electric service to endorse the accuracy of the annual report, as submitted to the California Energy Commission, for the previous year.

CC 11.“SHOP. DRIVE. EARN.” ECONOMIC INCENTIVE PROGRAM EXPANSION Adopted Resolution No. 25-46 expanding the “Shop. Drive. Earn.” Economic Incentive Program to include campers.

CC 12.PROFESSIONAL SERVICES AGREEMENT – FRYDMAN COUNSEL

1. The City Council approved the Professional Services Agreement with Frydman Counsel in an amount not to exceed $125,000.00, and authorized the City Manager, or his designee, to sign all documents; and

2. Approved an appropriation of $125,000.00 from General Fund Balance to 10110000.5710

3. Authorized the City Manager, or his designee, to execute any additional amendments to the Agreement deemed necessary to complete the project in a form approved by the City Attorney; and

4. Found that this item is not a project pursuant to the California Environmental Quality Act (CEQA).
5 CC/SA/FA/HA/PA Minutes-08/12/2025
CC 13.CONSIDER APPROVAL OF AN AMENDMENT TO THE PROMISSORY NOTE DATED JANUARY 28, 2025, BETWEEN THE CITY OF LANCASTER AND FIRST PUBLIC HYDROGEN AUTHORITY INCREASING THE AMOUNT BY $4,000,000.

1. Approved an amendment to the Promissory Note dated January 28, 2025, between the City of Lancaster and First Public Hydrogen Authority increasing the amount from $2,600,000 to $6,600,000, an increase of $4,000,000.

2. Authorized the City Manager, or his designee, to sign all documents related to the promissory, subject to City Attorney approval.

CC 14.CHECK REGISTERS – JUNE 22, THROUGH JULY 26, 2025.

Approved the Check and Wire Registers for payments made June 22, 2025, through July 26, 2025, in the amount of $34,001,694.73 as presented.

CC 15. APPROVAL OF EMPLOYEE GUIDELINES FOR THE USE OF PERSONAL

PROTECTIVE SPRAY

1. Approved the City of Lancaster Pepper Spray Policy for permanent and temporary Community Preservation and Lancaster Police Department employees who have completed the required training and have City of Lancaster approval, are authorized to carry and use pepper spray as a self-defense measure while on duty.

CC 16.AMENDMENT TO THE LANCASTER MUNICIPAL CODE SECTION 11.08.090

REGARDING MOBILE HOME PARKS
Adopted Ordinance No. 1135 , amending Section 11.08.090 of the Lancaster Municipal Code concerning mobile home rent increases following certain vacancies, sales, or transfers.

CC 17.GENERAL PLAN AMENDMENT NO. 24-001/ZONE CHANGE NO. 24-001 Adopted Ordinance No. 1136, amending the City zoning plan for 40 acres of land located on the northwest corner of Avenue M and Division Street (APNs 3128-013-010 and -011), known as Zone Change No. 24-001, from OP (Office Professional) to LI (Light Industrial).

CC 18.LANCASTER COMMUNITY CENTER ROOF PROJECT NOTICE OF COMPLETION Accepted the work completed by Rite-Way Roofing Corporation for the Lancaster Community Center Roof Project and directed the City Clerk to file the Notice of Completion for the project.

CC 19.Site Plan Review (SPR) 18-05 - Acceptance of Improvements (Drainage Maintenance District)
6 CC/SA/FA/HA/PA Minutes-08/12/2025
Approved and accepted for maintenance the work and materials of the drainage improvements for the following Drainage Maintenance District annexation, installed by the developer of the subject project:

Project Annexation No. Location/Owner Site Plan Review No. 18-05 19-33 610 East Avenue L Owner: Peter Biernat
CC 20.AGREEMENT WITH THE CALIFORNIA DEPARTMENT OF CORRECTIONS & REHABILITATION AGREEMENT NUMBER - C5612955 INCARCERATED PERSONS

COMMUNITY SERVICE WORK CREWS

1. Approved the agreement with the California Department of Corrections & Rehabilitation (CDCR) Incarcerated Persons Community Service Work Crews.

2. Found that this item is not a project under the California Environmental Quality Act.

3. Authorized the City Manager, or his designee, to negotiate, finalize and execute the agreement, as well as any ancillary agreements or approvals, all in a form approved by the City Attorney.

4. Authorized the City Manager, or his designee, to sign all documents.

CC 21.SITE PLAN REVIEW (SPR) 18-05 - ACCEPTANCE OF IMPROVEMENTS (STREETS) Approved the developer-constructed streets on the project listed below. In addition, accepted the streets for maintenance by the City and for public use.

Project Location/Owner Site Plan Review No. 18-05 610 East Avenue L Owner: Peter Biernat
CC 22.ACCEPTANCE OF PUBLIC WORKS CONSTRUCTION PROJECT NO. 23-017 –

LANCASTER AUTO MALL DEALERSHIP SIGNS PROJECT
Accepted the work designed and constructed by Square Signs, LLC dba Front Signs, for Public Works Construction Project No. 23-017, Lancaster Auto Mall Dealership Signs Project, and directed the City Clerk to file the Notice of Completion for the project. Retention on this project shall be disbursed in accordance with California Public Contract Code Section 7107(c). 7 CC/SA/FA/HA/PA Minutes-08/12/2025
CC 23.FINAL MAP APPROVAL – TRACT MAP NO. 061817 (LOCATED AT THE SOUTH SIDE OF AVENUE H-4 AND 15TH STREET EAST)
Approved the map and accepted the dedications as offered on Tract Map No. 061817 located at the south side of Avenue H-4 and 15th Street East; made findings that this project will not violate any of the provisions of Sections 66473.5, 66474.1 and 66474.6 of the Subdivision Map Act; and instructed the City Clerk to endorse on the face of the map the certificate which embodies the approval of said map and the dedications shown thereon.

CC 24.RENTAL AGREEMENT OF PROPERTY TO FIRST PUBLIC HYDROGEN AT 431 E.

AVENUE K-4
Authorized the City Manager, or his designee, with the concurrence of the City Attorney, to negotiate, finalize and execute the Rental Agreement between the City of Lancaster and First Public Hydrogen for the lease of City property located at 431 E. Avenue K-4.

CC 25.MONTHLY REPORTS OF INVESTMENTS – JULY 2025.

Accepted and approved the July 2025 Monthly Report of Investments as submitted.

NB 1. APPROVAL OF CEQA NOTICE OF EXEMPTION AND ADOPTION OF RESOLUTION 25-46AUTHORIZING THE CITY MANAGER TO NEGOTIATE, FINALIZE,

AND EXECUTE CERTAIN DOCUMENTS RELATING TO THE CALIFORNIA DEPARTMENT OF HEALTH CARE SERVICES BOND BHCIP ROUND 1 LAUNCH READY PROGRAM FUNDING, INCLUDING, BUT NOT LIMITED TO: (1) GROUND LEASE AGREEMENT WITH UNIVERSAL HEALTH SERVICES, INC.; AND (2) PROGRAM FUNDING AGREEMENT WITH ADVOCATES FOR HUMAN POTENTIAL, INC. AND

DETERMINING SUCH ACTIONS TO BE EXEMPT FROM THE REQUIREMENTS OF THE

CALIFORNIA ENVIRONMENTAL QUALITY ACT
Nicole Jones, Senior Analyst-Community Development presented the staff report on this item.

Discussion among Council included the timeframe and the workforce agreement regarding this project.

On a motion by Vice Mayor Crist and seconded by Council Member Mann, the City Council approved item number NB 1 as comprised on the staff report, by the following vote 5-0-0-0:

AYES: Hughes-Leslie, Malhi, Mann, Crist, Parris; NOES: None; ABSTAIN: None; ABSENT:

None
Approved Recommendations:

1. Approved California Environmental Quality Act Notice of Exemption 8 CC/SA/FA/HA/PA Minutes-08/12/2025

2. Adopted Resolution 25-47
a. Authorizing the City Manager to finalize, negotiate and execute a Ground Lease Agreement with UHS, Inc.
b. Authorizing the City Manager or his designee to sign Program Funding Agreement (PFA) and Attachments as appropriate with Advocates for Human Potential, Inc. for the California Department of Health Care Services Bond BHCIP Round 1 Launch Ready Program Funding for the Behavioral Health Hospital Grant
CA 1. CONSIDERATION OF NOMINATION AND APPOINTMENT OF COMMISSION MEMBERS TO THE PLANNING COMMISSION.

On a motion by Mayor Parris and seconded by Vice Mayor Crist the City Council appointed Denise Latanzi, Cynthia Hernandez, and Ben Berk to the Planning Commission, by the following vote 5-0-0-0: AYES: Hughes-Leslie, Malhi, Mann, Crist, Parris; NOES: None; ABSTAIN:

None; ABSENT: None
Mayor Parris administered the oath of office at this time.

CA 2. CONSIDERATION OF NOMINATION AND APPOINTMENT OF COMMISSIONER TO MEASURE LC CITIZENS’ OVERSIGHT COMMITTEE
On a motion by Mayor Parris and seconded by Council Member Hughes-Leslie, the City Council appointed Cynthia Hernandez to the Measure LC Citizens’ Oversight Committee, by the following vote 5-0-0-0: AYES: Hughes-Leslie, Malhi, Mann, Crist, Parris; NOES: None; ABSTAIN: None ABSENT: None
Mayor Parris administered the oath of office at this time.

CA 3. CONSIDERATION OF NOMINATION AND APPOINTMENT OF DEPUTY MAYOR-

INNOVATION
On a motion by Mayor Parris and seconded by Vice Mayor Crist, the City Council appointed Cynthia Underwood as Deputy Mayor of Innovation, by the following vote 5-0-0-0: AYES:

Hughes-Leslie, Malhi, Mann, Crist, Parris; NOES: None; ABSTAIN: None; ABSENT: None Mayor Parris administered the oath of office at this time.

CR 1. COUNCIL REPORTS
Council Member Hughes-Leslie reported on and introduced the video recap regarding the National Night Out event.

Vice Mayor Crist reported on and introduced the Fair Volunteer Kick-Off dinner.

Mayor Parris introduced the video recap of the Chamber Award event and the Artificial Intelligence video.
9 CC/SA/FA/HA/PA Minutes-08/12/2025
Council Member Malhi reported on the backpack giveaway and expressed gratitude for various sponsorships.

LANCASTER FINANCING AUTHORITY
No action required at this time.

LANCASTER POWER AUTHORITY
No action required at this time.

LANCASTER SUCCESSOR AGENCY
No action required at this time.

CITY MANAGER / EXECUTIVE DIRECTOR ANNOUNCEMENTS
Trolis Niebla, City Manager reported on the Lancaster Police Department’s efforts regarding homelessness issues and the report received from Los Angeles Homeless Services Authority (LAHSA) homelessness count which reflected a one-hundred and twenty-five percent (125%) increase in the usage of homeless shelters and the number of unsheltered individuals decreased by forty-four percent (44%).

The City Manager reported on the Lancaster Police Department’s receipt of Peace Officer’s Standards and Training (POST) certification.

Staff provided a video recap of the Lancaster Police Department efforts on Sierra Highway.

The City Manager also reported that one of the Lancaster Police Officers is now serving as a Resource Officer in the Westside School District.

Lastly, the City Manager announced the completion of the Parks, Arts, Recreation, and Community Service department’s new butterfly mural.

Staff provided a video recap regarding the butterfly mural.

Mayor Parris discussed the need for additional police officers. Mayor Parris further discussed his meeting with a Northrop Grumman representative who expressed concerns regarding the difficulty in filling job positions as a result of the crime rate in the Antelope Vally. Mayor Parris discussed writing a letter to the current administration to obtain additional support from the National Guard.

Mayor Parris also announced his ninety (90) day leave, and that Vice Mayor Crist will act as Mayor during his leave of absence.

CITY CLERK/AGENCY/AUTHORITY SECRETARY ANNOUNCEMENT
The City Clerk provided the public with the procedure to address the City Council/Successor Agency/Authority regarding non-agendized items.
10 CC/SA/FA/HA/PA Minutes-08/12/2025

PUBLIC BUSINESS FROM THE FLOOR - NON-AGENDIZED ITEMS
Addressing the Council at this time:

Michelley- spoke in opposition of the City Council meeting time.

Cesar Vega Magallon- discussed issues with violence and discriminatory actions occurring at local property.

Mark Maldanado- discussed issues with Mayor’s statements.

Joseph Lopko- discussed obtaining a refund on taxes submitted to the state for the bullet train.

CITY COUNCIL/AGENCY/AUTHORITY COMMENTS
No comments at this time.

ADJOURNMENT
Mayor Parris adjourned the meeting at 2:38 p.m. and stated the next City Council/Successor Agency/Financing/Power Authority meeting will be held on Tuesday, August 26, 2025, at 1:30 p.m.

PASSED, APPROVED and ADOPTED this 26th day of August 2025, by the following vote:

AYES:

NOES:

ABSTAIN:

ABSENT:

ATTEST: APPROVED:
_____________________________ ________________________________ ANDREA ALEXANDER, CMC R. REX PARRIS

CITY CLERK MAYOR/CHAIRMAN

AGENCY AUTHORITY/SECRETARY
11 CC/SA/FA/HA/PA Minutes-08/12/2025
STATE OF CALIFORNIA }
COUNTY OF LOS ANGELES } ss
CITY OF LANCASTER }

CERTIFICATION OF MINUTES

CITY COUNCIL/SUCCESSOR AGENCY/FINANCING/ POWER AUTHORITY I, , of the City of Lancaster, CA, do
hereby certify that this is a true and correct copy of the original City Council/Successor Agency/ Financing/ Power Authority Minutes, for which the original is on file in my office.

WITNESS MY HAND AND THE SEAL OF THE CITY OF LANCASTER, CA on this day of , .
(seal)
__________________________________

STAFF REPORT
City of Lancaster
CC 3
8/26/2025
TN
Date:August 26, 2025
To: Mayor Parris and City Council Members
From: George N. Harris II, Senior Director/Treasurer – Admin Services Subject: Check Registers – July 27, through August 09, 2025 Recommendation:

Approve the Check and Wire Registers for payments made July 27, 2025, through August 09, 2025, in the amount of $9,655,578.41 as presented.

G.C. Section 84308: No
Fiscal Impact:
$9,655,578.41 as detailed in the Check Registers.

Background:

At each regular City Council Meeting, the City Council is presented with a check and ACH/wire registers listing the financial claims (invoices) against and paid by the City for the purchase of materials, supplies, services, and capital projects during the prior three to four weeks. This process provides the City Council with the opportunity to review the City’s expenditures. Claims have been paid via checks, Electronic Funds Transfer EFT), Automated Clearing House (ACH) payments, or federal wires. The justifying backup information for each expenditure is available in the Finance Department.

Check Nos.: 7460428-7460716 $ 4,435,012.04
EFT Check Nos.: 2000474-2000535 $ 2,324,887.82
ACH/Wire Check Nos.: 101012146-101012150 $ 2,895,678.55 $ 9,655,578.41
Voided Check No.: N/A
Voided ACH/Wire No.: N/A
Voided EFT No.: N/A
2 1
5 8
Attachment:

Check Register
ACH/Wire Register
EFT Register
City of Lancaster ~CA 53201~

PAID INVOICES REPORT
Report generated: 08/11/2025 09:30
User: spreston
Program ID: appdwarr

Page 5 ends

CHECK RUN:250801 TO FISCAL 2026/02 07/01/2024 TO 06/30/2026

VENDOR NAME

INV DATE PO CHECK NO T CHK DATE GL ACCOUNT GL ACCOUNT DESCRIPTION 10105 1000BULBS.COM
07/07/25 25001246 7460428 P 08/01/25 10163002 5790 REPAIR & MAINTENANCE SERV 2,514.55 INVOICE: INV1017044
07/10/25 25001246 7460428 P 08/01/25 10163002 5790 REPAIR & MAINTENANCE SERV 2,819.34 INVOICE: INV1017884
VENDOR TOTALS 5,333.89 YTD INVOICED 15,222.22 YTD PAID 5,333.89 10962 A T & T MOBILITY
06/30/25 7460429 P 08/01/25 11218000 5805 WIRELESS 88.28 INVOICE: 287321562600X071025
VENDOR TOTALS .00 YTD INVOICED 939.60 YTD PAID 88.28 10860 A V JANITORIAL SUPPLY
07/01/25 26000034 7460430 P 08/01/25 10163000 5798 VANDALISM 6,692.63 INVOICE: 24246
VENDOR TOTALS 6,692.63 YTD INVOICED 53,106.81 YTD PAID 6,692.63 11395 A V PEST CONTROL
07/18/25 7460431 P 08/01/25 10163000 5710 PROFESSIONAL/TECHNICAL SE 65.00 INVOICE: 54937
07/18/25 7460431 P 08/01/25 10163000 5710 PROFESSIONAL/TECHNICAL SE 95.00 INVOICE: 54938
07/18/25 7460431 P 08/01/25 10163000 5710 PROFESSIONAL/TECHNICAL SE 85.00 INVOICE: 54939
07/18/25 7460431 P 08/01/25 10163000 5710 PROFESSIONAL/TECHNICAL SE 110.00 INVOICE: 54941
05/05/25 7460431 P 08/01/25 42126000 5790 REPAIR & MAINTENANCE SERV 185.00 INVOICE: 54908
VENDOR TOTALS 1,475.00 YTD INVOICED 25,591.00 YTD PAID 540.00 11026 A V WEB DESIGNS
07/01/25 7460432 P 08/01/25 11218000 5361 COMPUTERS SOFTWARE 99.95 INVOICE: 158308
07/01/25 7460432 P 08/01/25 11218000 5361 COMPUTERS SOFTWARE 99.95 INVOICE: 158354
08/01/25 7460432 P 08/01/25 11218000 5361 COMPUTERS SOFTWARE 99.95 INVOICE: 158496
08/01/25 7460432 P 08/01/25 11218000 5361 COMPUTERS SOFTWARE 99.95 INVOICE: 158451
VENDOR TOTALS 399.80 YTD INVOICED 4,097.95 YTD PAID 399.80 12620 AAMCOM LLC
06/16/25 25000202 7460433 P 08/01/25 21441000 5710 PROFESSIONAL/TECHNICAL SE 261.26 INVOICE: C04808-0625
06/16/25 25000202 7460433 P 08/01/25 42043000 5710 PROFESSIONAL/TECHNICAL SE 261.30 INVOICE: C04808-0625
City of Lancaster ~CA 53201~

PAID INVOICES REPORT
Report generated: 08/11/2025 09:30
User: spreston
Program ID: appdwarr

Page 6 ends

CHECK RUN:250801 TO FISCAL 2026/02 07/01/2024 TO 06/30/2026

VENDOR NAME

INV DATE PO CHECK NO T CHK DATE GL ACCOUNT GL ACCOUNT DESCRIPTION 06/16/25 25000202 7460433 P 08/01/25 42126000 5310 OPERATING MATERIALS & SUP 261.31 INVOICE: C04808-0625
VENDOR TOTALS .00 YTD INVOICED 6,489.43 YTD PAID 783.87 13258 ACCO ENGINEERED SYSTEMS INC
07/21/25 7460434 P 08/01/25 10163026 5790 REPAIR & MAINTENANCE SERV 655.00 INVOICE: 20714400
07/21/25 7460434 P 08/01/25 10163020 5790 REPAIR & MAINTENANCE SERV 1,048.00 INVOICE: 20714401
VENDOR TOTALS 26,592.45 YTD INVOICED 101,592.45 YTD PAID 1,703.00 10940 ADELMAN BROADCASTING, INC
06/30/25 7460435 P 08/01/25 10115000 5720 ADVERTISING 1,050.00 INVOICE: 21319-1
VENDOR TOTALS .00 YTD INVOICED 133,061.99 YTD PAID 1,050.00 11824 ALTA LANGUAGE SERVICES, INC
06/30/25 7460436 P 08/01/25 10114000 5710 PROFESSIONAL/TECHNICAL SE 69.00 INVOICE: IS792709
06/30/25 7460436 P 08/01/25 10114000 5710 PROFESSIONAL/TECHNICAL SE 69.00 INVOICE: IS792709
06/30/25 7460436 P 08/01/25 10114000 5710 PROFESSIONAL/TECHNICAL SE 6.00 INVOICE: IS792709
VENDOR TOTALS .00 YTD INVOICED 1,424.00 YTD PAID 144.00 12668 AMAZON CAPITAL SERVICES INC
06/30/25 7460437 P 08/01/25 10124100 5310 OPERATING MATERIALS & SUP 313.42 INVOICE: 17VR-HRXD-FK1J
07/15/25 7460437 P 08/01/25 42043000 5310 OPERATING MATERIALS & SUP 17.58 INVOICE: 1KRT-M9CP-G7XT
07/17/25 7460437 P 08/01/25 10162200 5312 SPECIAL ACTIVITY SUPPLIES 21.13 INVOICE: 16CL-63HN-VLMN
05/25/25 7460437 P 08/01/25 10131000 5310 OPERATING MATERIALS & SUP 44.53 INVOICE: 1NGR-3F96-H7DF
06/02/25 7460437 P 08/01/25 10131000 5310 OPERATING MATERIALS & SUP 40.02 INVOICE: 17HK-TG9D-D4PR
05/29/25 7460437 P 08/01/25 10162300 5312 SPECIAL ACTIVITY SUPPLIES 1,001.24 INVOICE: 16XF-4Y71-1K4L
07/21/25 7460437 P 08/01/25 10131000 5310 OPERATING MATERIALS & SUP 33.35 INVOICE: 1H6V-XJYN-H6JQ
07/08/25 7460437 P 08/01/25 10130000 5310 OPERATING MATERIALS & SUP 267.85 INVOICE: 1WFV-NR9F-T1QR
07/03/25 7460437 P 08/01/25 10131000 5310 OPERATING MATERIALS & SUP 258.74 INVOICE: 1CRY-PFPP-MCH9
05/23/25 7460437 P 08/01/25 10131000 5310 OPERATING MATERIALS & SUP 72.30 INVOICE: 1GN4-PRTN-1D1M
06/30/25 7460437 P 08/01/25 10141000 5790 REPAIR & MAINTENANCE SERV 1,233.54 City of Lancaster ~CA 53201~

PAID INVOICES REPORT
Report generated: 08/11/2025 09:30
User: spreston
Program ID: appdwarr

Page 7 ends

Lancaster City CouncilAugust 26, 2025

Lancaster City Council
August 26, 2025