Cities Index.
Agenda

Marina City Council
February 18, 2026

Document
Agenda
Meeting
February 18, 2026
Body
Marina City Council
Pages
50
Original file
64.9 MB
Text extracted from the city's file for reading and search. Open the original on www.cityofmarina.org. That file is the official record.

EXHIBIT C
9 QTY PRODUCT NAME DESCRIPTION 12 Month
Value

1.00 Ultimate Department Header
Annual Fee
Ultimate Department Header Annual Fee: Economic
Development
USD 1,313.00

1.00 Ultimate Department Header
Annual Fee
Ultimate Department Header Annual Fee: Recreation USD 1,313.00

Total Investment - Prorated Year 1 USD 29,567.85
Annual Recurring Services (Subject to Uplift) USD 6,565.00 Total Days of Quote:121
Initial Term Beginning at signing and ending 6/30/2026, Renewal Term 7/1 each calendar year
Initial Term Invoice Schedule 100% invoiced at signing, to be prorated based on signature date.

The Annual Recurring Services subscription fee for the Products (as described above) included in this SOW are prorated and co-termed to align with the Client’s current billing schedule and the Annual Recurring Services amount will subsequently be added to Client's Term and regularly scheduled annual invoices under the terms of the Agreement.

This Statement of Work ("SOW") shall be subject to the terms and conditions of Master Services Agreement signed by and between the Parties and the applicable Solutions and Services Terms and Conditions located at: https:// www.civicplus.help/docs/civicplus-legal-stuff (collective, the "Agreement"). By signing this SOW, Client expressly agrees to the terms and conditions of the Agreement, as though set forth herein.

Please note that this document is a SOW and not an invoice. Upon signing and submitting this SOW, Client will receive the applicable invoice according to the terms of the invoicing schedule outlined herein.

Client may issue purchase orders for its internal, administrative use only, and not to impose any contractual terms. Any terms contained in any such purchase orders issued by the Client are considered null and will not alter the Binding Terms, the Agreement or this SOW.

Page
2 of 3

EXHIBIT C
10 Acceptance of Quote # Q-115208-1

The undersigned acknowledges having read, understood, and agreed to be bound by the binding terms and conditions incorporated into this SOW. This SOW shall become effective as of the date of the last signature below (“Effective Date”).

For CivicPlus Billing Information, please visit
https://www.civicplus.com/verify/

Authorized Client Signature

CivicPlus

By (please sign):

___________________________________
By (please sign):

___________________________________
Printed Name:

___________________________________
Printed Name:

___________________________________
Title:

___________________________________
Title:

___________________________________
Date:

___________________________________
Date:

___________________________________

Organization Legal Name:

___________________________________
Billing Contact:

___________________________________
Title:

___________________________________
Billing Phone Number:

___________________________________
Billing Email:

___________________________________
Billing Address:

___________________________________

___________________________________
Mailing Address: (If different from above)

___________________________________

___________________________________
PO Number: (Info needed on Invoice (PO or Job#) if required)

___________________________________
Page
3 of 3

EXHIBIT C
11 COMMUNITY SERVICES POLICY COMMITTEE

HIGHLIGHTS
January 24, 2025
AT

TENDANCE
Members: Tamala Takahashi (Chair); Clint Weirick (Vice Chair); Merl Abel; Joe Amelio; Keri Lynn Baert; Debbie Baker; James Boito; Xouhoa Bowen; Jeremy Bubnick; Janice Cader- Thompson; Elizabeth Calciano; Amanda Carter; Sara Castro; Pedro Chavez; Ruben Chavez; Lara Christensen; Renee Contreras-Deloach; Christine Engel; Peggy Flynn; Felicia Galindo; Greg Gomez; Jessyka Heredia; Dayna Hunter; Tracy Jensen; Rachel Kertz; Rachel Lang; Latika Malkani; Faye Maloney; Carla Mason; Jenny McAdams; Annie McCary; Peggy McQuaid; Bridgette Moore; Irene Morales; Liz Morris; Brad Olson; Sonya Patterson; Michael Ponce; Kashef Qaadri; Sheila Rossi; Mario Saucedo; Holly Tillman; Anissa Williams; Amy Woolridge
St
aff: Caroline Grinder, Legislative Advocate
Serena Scott, Legislative Affairs Analyst
I. G
eneral Briefing
In accordance with the customary practice of convening all policy committee members for a general briefing at the start of policy committee meetings, the Cal Cities advocacy team provided a brief oral update on the latest legislative and budgetary matters affecting cities. Cal Cities Executive Director and CEO Carolyn Coleman and Cal Cities President Gabe Quinto, Mayor of El Cerrito, also provided welcome remarks.

II. W
elcome and Introductions
Chair Takahashi and Vice-Chair Weirick welcomed committee members, introduced themselves, and the Cal Cities staff. Then, Chair Takahashi asked all committee members to briefly introduce themselves.

III. P
ublic Comment
Chair Takahashi opened the meeting for public comments. There was no public comment.

I
V. Presentation: California Conservation Corps
Vice-Chair Weirick introduced guest speaker Brandon Chapin, Deputy Director of Legislative and External Affairs at the California Conservation Corps .

M
r. Chapin presented to the committee on the mission, history, benefits, and programs of the California Conservation Corps (CCC). The mission of the is to protect and enhance California’s natural resources and communities while empowering young adults through hard work and education. The CCC operates at 25 locations across the state and is made up of more than 1,500 corpsmembers, making it the nation’s largest and longest-running corps program. Local communities rely on the CCC to carry out community-based projects, with a primary focus on environmental conservation, disaster response, and infrastructure improvement.

Agenda Item: 10j(1)
1 Cities were encouraged to help their residents apply for the CCC and get in touch with regional corps coordinators to bring local programs to their cities. The committee members asked many questions and conveyed their excitement to learn more about connecting young people in their cities with CCC opportunities.

M
r. Chapin asked Cal Cities to pass along this message: “As the CCC celebrates its 50th Anniversary, we are looking for partners to help us showcase historical items now and into the future, like a CCC museum. If a city is interested in hosting these materials or knows of a location that would be great to store and host, please reach out, and I will connect them with the CCC Foundation that is spearheading the search for a location for these items”.

Br
andon Chapin can be reached at (916) 203-8463 or [email protected] and a CCC info sheet can be viewed here.

V
. Presentation: Federal Impacts on Medical and Homelessness in California Chair Takahashi introduced guest speakers Monica Davalos and Hannah Orbach- Mandel, Policy Analysts at the California Budget and Policy Center. Their presentation provided an overview of H.R. 1 and how federal funding cuts and policy changes may impact local efforts to respond to homelessness across California. They explained that

3.4 million Californians could lose their Medi-Cal coverage, which could also strain county behavioral health departments that lack the capacity to increase patient caseloads. Committee members shared concerns about how this may impact their communities and thanked our two speakers for the information.

Bu
dget and Policy Center slides can be accessed here.

V
I. Committee Orientation
Cal Cities staff provided an overview of the committee’s schedule and processes.

Members were informed of the process for adding items to a policy committee agenda and of the various recommendations on bill positions that policy committees could provide to the Cal Cities Board of Directors. Staff also provided a refresher on parliamentary procedure.

V
II. Cal Cities 2026 Advocacy Priorities
Vice Chair Weirick discussed his experience helping to create the 2026 advocacy priorities at League Leaders in Palm Springs last December. Cal Cities staff provided an overview of the Cal Cities 2026 Advocacy Priorities, which include:

1. Protect and enhance local revenues and expand economic development tools

2. Strengthen partnerships with the state to improve public safety

3. Secure investments to prevent and reduce homelessness and increase the supply of affordable housing

4. Strengthen climate change resiliency and disaster preparedness V
III. Existing Policy and Guiding Principles
The Cal Cities Summary of Existing Policy and Guiding Principles are updated every two years to reflect the committee's work. This information is used as a reference tool to advocate for newly adopted issues
.

Agenda Item: 10j(1)
2 For 2026, in accordance with previous committee action, the proposed policy additions included:

1. “Arts, Cultural Resources, Historic Preservation and Activities”: A minor edit based on SB 456 (Ashby) 2025.

2. “Residential Care Facilities” moved from the Housing Community and Economic Development Committee.

3. Community Disaster Preparedness" Renamed.

4. “Natural Disaster Preparation” Moved to Public Safety and Environmental Quality.

Committee members indicated they would like to make technical changes to the senior policy during the March meeting. Cal Cities staff acknowledged this request and committed to building an agenda for March that reflects the suggestions made during the committee meeting.

Staff and Chair Takahashi opened discussion. Following a robust conversation, a motion to approve the changes to the Summary of Existing Policy and Guiding Principles document was made, which passed unanimously. You can find the full CS existing policy and guiding principles being sent to the board for approval here.

IX. Adoption of 2025 Work Plan
To inform the committee’s work program, committee members were asked to respond to an online survey selecting their top priorities for the committee to focus on throughout the year.

Staff and Chair Takahashi opened discussion for this segment and provided an overview of the 45 survey responses and the proposed work program based on the survey results.

The top four priorities identified in the survey were Homelessness and Behavioral Health; Seniors and Aging; Parks, Recreation, and Access to Open Space; and Early Learning, Childcare, and Youth Programs.

Committee members raised concerns regarding the results, including the challenge of addressing four priorities within the available time left to meet this year. The committee also raised concerns about continuing to focus on homelessness and not spending enough time addressing other important policy issues. A lengthy discussion followed on how to best combine or refine priorities, explore new focus areas, and still keep homelessness part of the broader conversation.

Cal Cities staff and the committee discussed the option of removing homelessness as a standalone priority, noting that it has consistently been a top focus for both the CS Committee and Cal Cities overall. The group ultimately agreed that the remaining three proposed work plan issues are all connected to addressing homelessness. By focusing on these areas in 2026, the committee will reinforce its commitment to reducing homelessness while elevating critical topics that have not been examined in depth in prior years. A motion reflecting this approach was made, seconded, and approved with a majority vote.

The motion passed with 27 aye votes out of 34 members present and voting, confirming the following priorities as the 2026 CS work program:

Agenda Item: 10j(1)
3 • Seniors and Aging
• Parks, Recreation, and Access to Open Space
• Early Learning, Childcare, and Youth Programs

Homelessness and behavioral health services will be a theme for conversations on each of these important topics.

X. Budget Update and Legislative Outlook
Cal Cities staff provided an in-depth budget and legislative update. Mrs. Grinder explained that the Governor’s 2026-2027 budget includes $500 million for round seven of the Homeless Housing, Assistance, and Prevention (HHAP) grant program promised in last year’s budget. This round of funding is contingent on new accountability metrics that will be finalized this year.

Staff then discussed potential 2026 issues related to Community Services were:
• Accountability and transparency for state homelessness funding. • Addressing encampments.
• Increased focus on interim housing.
• Sober living homes and recovery housing.
• Impacts of federal policy on vulnerable populations; and • Access and affordability of childcare.

Staff also previewed a bill that Cal Cities plans to sponsor this year. This bill will make it easier for cities with populations under 300,000 to access HHAP as subrecipients.

Finally, the committee received information on other Cal Cities-sponsored bill proposals related to community services, including SB 569 (Blakespear), SB 490 (Umberg), and SB 329 (Blakespear). More information on how to submit letters and support bills such as these through the legislative process can be found in the slides (Slide: 30 and 31).

XI. Breakout Group Discussion: Medi-Cal and Cities
Chair Takahashi instructed the committee to briefly discuss, in their tables, the upcoming HR-1 budget cuts and their implications for health access within cities.

Please fill out this optional exit survey to record what your group discussed!

XII. Adjourn
Chair Takahashi thanked committee members and staff for attending. The meeting was adjourned.

XIII. Additional Information
Here is a link to the Community Services Slides from the committee meeting. The link to access these slides will expire in a couple of months. They must be downloaded if you do not want to lose access.

Next Meeting: Thursday, March 26, 10:00 a.m. – 2:00 p.m. Hilton Orange County/Costa Mesa.

Agenda Item: 10j(1)
4 Agenda Item: 10j(2)
Agenda Item: 10j(2)
M

ST HIGHLIGHTS
Board of Directors Meeting
February 9, 2026

RECOGNIZED FEBRUARY EMPLOYEE OF THE MONTH
The MST Board adopted Resolution 2026-13 recognizing Curtis Wilson, Coach Operator as the February 2026 Employee of the Month for his outstanding contribution to MST and the entire community.

RECEIVED ANNUAL COMPREHENSIVE FINANCIAL REPORT
The MST Board received the Annual Comprehensive Financial Report for fiscal years ending June 30, 2025 and 2024.

APPROVED MEASURE Q OVERSIGHT COMMITTEE MEMBER APPOINTMENTS The MST Board reappointed Bobby Merritt and Steve Macias each to new 3-year terms.

APPROVED REALLOCATION OF LOW CARBON TRANSIT OPERATIONS

PROGRAM FUNDS
The MST Board adopted Resolution 2026-14 and authorized the General Manager/CEO to reallocate up to $1.3 million in Low Carbon Transit Operations Program Funds from the Discontinued Hydrogen Facility Upgrade Project to the procurement of 13 GILLIG battery electric buses.

APPROVED GILLIG REQUEST FOR TARIFF RELATED COST INCREASE The MST Board approved the GILLIG request for tariff related cost increase of up to $332,445.60 for 13 battery-electric buses, contingent upon a ruling of legality by the Supreme Court of the United States.

NEXT MST BOARD MEETING
The next regular MST Board meeting is scheduled for March 9, 2026.

Agenda Item: 10j(3)
1 February 04, 2026 Item No. 10j(4)
Honorable Mayor and Members City Council Meeting
of the Marina City Council of February 18, 2026
Honorable Chairperson and Members Successor Agency Meeting of the Successor Agency to Marina Redevelopment Agency of February 18, 2026 Chair and Board Members of Corporation Meeting
Preston Park Sustainable Community Non-Profit Corporation of February 18, 2026

CITY COUNCIL OF THE CITY OF MARINA, SUCCESSOR AGENCY TO THE

REDEVELOPMENT AGENCY BOARD, AND PRESTON PARK SUSTAINABLE

COMMUNITY NPC BOARD TO RECEIVE INVESTMENT REPORTS FOR THE

CITY OF MARINA , CITY OF MARINA AS SUCCESSOR AGENCY TO THE

MARINA REDEVELOPMENT AGENCY , AND PRESTON PARK

SUSTAINABLE COMMUNITY NON -PROFIT CORPORATION AND ABRAMS

B NON-PROFIT CORPORATION FOR THE QUARTER ENDED DECEMBER 2025
REQUEST:

It is requested that the City Council and Boards:

1. Consider receiving Investment Reports for the City of Marina, City of Marina as Successor Agency to the Marina Redevelopment Agency, and Preston Park Sustainable Community Non-Profit Corporation (PPSC-NPC) and Abrams B Non-Profit Corporation for the quarter ended December 31, 2025.

BACKGROUND:

Cash Management
At the end of the second quarter, the City’s aggregate cash and investments were $173.95 million. This represents an increase of $5.71 million when compared to the prior quarter . The variance is attributed to receiving $6.4 million in property tax revenues, net of the difference between ongoing revenues and expenditures.

The City’s fiduciary funds, which consist of the Successor Agency to the Marina Redevelopment Agency and the Fort Ord Reuse Authority (FORA) bond reserve account, were $6.9 million and $ 3.0 million, respectively. The $0.49 million increase primarily reflects the receipt of pledged tax revenues, net of the payment for required FORA obligations.

The combined Preston and Abrams cash and investment balances were $1 9.4 million. T he quarterly increase of approximately $0.44 million reflects on-going revenues and timing differences associated with expenditure.

Consistent with the City’s investment strategy of capital preservation, the City has continued to maintain significant cash with the Local Agency Investment Fund (LAIF), US Treasury Bills, US Agency Bonds , and Municipal Bonds. The city has also recently invested in Certificates of Deposit which are secured by the Federal Deposit Insurance Corporation (FDIC).
2 An overview of City investments is presented on the subsequent page, with detailed information included in the attached reports.

Table I: Cash and Investments

Interest Rate / Economy

The Federal Open Committee (FOMC) is the monetary policy making body of the Federal Reserve. Their goal is to achieve maximum employment, with a targeted 2% inflation rate. Interest rates for this quarter ranged between 3.50% and 4.00%. This was the result of an interest rate cut of 0.25% in October 2025 and another 0.25% in December 2025. The FOMC maintains their expectations of somewhat elevated inflation for the first quarter of 2026 and is expected to be lower later in 2026 and 2027.

The following chart shows the treasury yield curve and its shift from December 2024 to December 2025, as well as a slight decrease in interest rates compared to the previous quarter. All interest rates with maturities less than five years decreased, while the five-year rate had slightly increased, compared to the prior quarter.

Summary of Cash and Investments
Amounts in Millions
Quarter Ended December 31, 2025
City Yield Amount Yield Amount Yield Amount
Non Interest Earning Cash 0.00% 1.44 0.00% 13.02 0.00% 11.57 Interest Earning Cash 1.98% 5.36 1.74% 7.22 -0.24% 1.86 LAIF 4.24% 66.81 4.09% 70.26 -0.15% 3.46
Certificates of Deposit 3.90% 3.46 3.78% 6.68 -0.12% 3.21 US Treasury Bills 4.16% 71.98 3.98% 56.68 -0.18% (15.30) US Agency Bonds 3.93% 5.08 3.93% 6.58 0.00% 1.50 Municipal Bonds 4.24% 4.10 4.24% 8.28 0.00% 4.17 Restricted Money Market - Bond Proceeds/Reserves 3.67% 10.00 3.31% 5.24 -0.36% (4.76) Subtotal 168.25 173.95 5.71
Fiduciary
Cash 0.00% 0.09 0.00% 0.08 0.00% (0.01)
LAIF 4.24% 3.25 4.09% 3.30 -0.15% 0.05
Restricted Money Market - Bond Proceeds/Reserves 3.67% 6.13 3.32% 6.58 -0.35% 0.45 Subtotal 9.48 9.97 0.49
Preston
Cash 2.01% 15.44 1.70% 15.89 -0.31% 0.44
Money Market 0.65% 0.25 0.65% 0.25 0.00% 0.00 Subtotal 15.69 16.14 0.44
Abrams
Cash 0.00% 0.20 0.00% 0.20 0.00% (0.00)
Money Market 0.83% 3.01 0.83% 3.02 0.00% 0.01 Subtotal 3.21 3.22 0.01
Total Cash 196.63 203.28 6.65
Change
(Curr - Prev)September December
3 Chart 1 Treasury Yield Curve

Investment Performance

The quarterly LAIF interest rate was 4. 09%, which represents a 0. 15% decrease from the previous quarter. Changes in LAIF rates typically follow or are in close alignment with the federal funds lending rate. Chart I shows that the six -month and one -year treasury bill had a yield of 3.59% and 3.48%, respectively at December 31, 2025 . A history of how LAIF closely tracks with the upper federal funds limit is provided in Chart II. The City’s investment portfolio includes US treasuries, US Agency Bond, US Municipal Bonds with maturity dates of one year or more, and Certificates of Deposit . Their current combined market yield is close to 3.86%, which is just below the LAIF rate. The lesser return on the City’s investment portfolio is the result of purchasing longer -term investments at the current higher interest rates. This is anticipated to benefit t he City, if the shorter-term interest rates continue to decline.

Chart II: LAIF Compared to Federal Funds Upper Limit Interest Rates Chart
provided by Time Value Investments, with source data from the Federal Reserve and the California State Treasury, Presentation dated December 31, 2025.

4 Portfolio Strategy

The prior fiscal year investment goal was to match or outperform LAIF. While this goal continues, staff also plan to evaluate cash flow needs to determine if it is prudent to purchase approved investments with terms of two to five years . This could allow the City to lock -in higher interest rates for a greater time horizon. This could be beneficial if there are continuing signs that interest rates will fall in the current fiscal year.

ANALYSIS:

The attached investment reports include the City of Marina's and the City of Marina as Successor Agency to the Marina Redevelopment Agency's and Preston & Abrams Non -Profit Corporation reports (“EXHIBIT A”). These include balances of City, Successor Agency and Preston Park / Abrams Park, and restricted FORA bond reserves that are held by financial institutions , as reported in their monthly statements.

FISCAL IMPACT:

There is no fiscal impact. This report is for informational purposes.

CONCLUSION:

This report is submitted for City Council consideration and possible action.

__________________________
Roger Sattoof
Financial Analyst
City of Marina

__________________________
Tori Hannah
Finance Director
City of Marina

REVIEWED/CONCUR:

____________________________
Layne P. Long
City Manager
City of Marina

EXHIBIT A-1
To: Honorable Mayor and City Council Members
From: Roger Sattoof, Financial Analyst
RE: Investment Report for City of Marina Funds
Quarter Ended December 31, 2025
Cash and Investment Summery:

Market Value
Cash 20,241,662$
Local Agency Investment Fund (LAIF) 70,264,651
Certificates of Deposit - FDIC Insured 6,676,067
US Treasury Bills 56,680,196
US Agency Bonds 6,580,604
Municipal Bonds 8,275,600
Restricted Money Market Account - Bond Proceeds or Bond Reserves 5,235,615 173,954,395$
Cash not earning interest 13,017,313$
Non earning interest cash as a percentage of total cash7.48% I hereby certify that sufficient investment liquidity and anticipated revenues are available to meet the City of Marina's anticipated expenditure requirements for the next six (6) months. (California Government Code Section 53646)
Tori Hannah, Finance Director
Roger Sattoof, Financial Analyst
City of Marina

Page 1 of 4 ends

EXHIBIT A-1

CITY OF MARINA

INVESTMENT REPORT
Quarter Ended December 31, 2025
Institution/Type of Investment Additional Identifiers CUSIP # Purchase
Date Maturity Rate (%) Face Value Market Value Cost Basis Unrealized
Gain/Loss
Cash
Petty Cash - - - 3,700$ 3,700$ 3,700$ -
Chase Checking Account - - - 12,861,610 12,861,610 12,861,610 - Total Cash 12,865,310$ 12,865,310$ 12,865,310$ - Investments
Local Agency Investment Fund (LAIF)
Pooled money investment - - 4.09% $ 70,264,651 70,264,651$ 70,264,651$ -$ JP Morgan Investments
US Treasury Bill US Treasury Bill 912797RG4 08/12/25 08/06/26 3.85% 3,000,000$ 2,938,701$ 2,889,081$ 49,620$ US Treasury Bill US Treasury Bill 912797SA6 10/14/25 10/01/26 3.51% 3,102,000$ 3,023,016$ 2,999,290$ 23,727$ US Treasury Bill US Treasury Bill 912797PV3 03/25/25 03/19/26 4.02% 10,000,000$ 9,925,562$ 9,614,723$ 310,839$ US Treasury Bill US Treasury Bill 91282CMH1 02/04/25 01/31/27 4.20% 5,000,000$ 5,031,055$ 4,992,383$ 38,672$ US Treasury Bill US Treasury Bill 91282CLY5 12/23/24 11/30/26 4.26% 2,500,000$ 2,515,316$ 2,499,414$ 15,902$ US Treasury Bill US Treasury Bill 91282CMB4 12/23/24 12/15/27 4.26% 2,500,000$ 2,524,219$ 2,487,893$ 36,326$ Total JP Morgan Investments 26,102,000$ 25,957,868$ 25,482,783$ 475,085$ Citizens Bank LPL
Cash - - - - 1.74% 7,224,349$ 7,224,349$ 7,224,349$ -$ US Treasury Bill US Treasury Bill 912797RT6 08/20/25 02/12/26 4.00% 10,496,000$ 10,453,082$ 10,296,166$ 156,916$ US Treasury Bill US Treasury Bill 912797SA6 10/02/25 10/01/26 3.61% 5,554,000$ 5,411,529$ 5,362,016$ 49,512$ Total Citizens Bank LPL 23,274,349$ 23,088,959$ 22,882,531$ 206,428$ -
-
-
City of Marina

Page 2 of 4 ends

EXHIBIT A-1

CITY OF MARINA

INVESTMENT REPORT
Quarter Ended December 31, 2025
Institution/Type of Investment Additional Identifiers CUSIP # Purchase
Date Maturity Rate (%) Face Value Market Value Cost Basis Unrealized
Gain/Loss
Time Value Investments
Cash - Bank Deposits - - - - NA 48,941$ 48,941$ 48,941$ -$ Money Market - - - - NA 103,062$ 103,062$ 103,062$ -$ Ally Bank Sandy Utah CTF Dep. Certificate of Deposit 02007QAC5 11/28/2025 11/27/2026 3.70% 240,000$ 240,238$ 240,000$ 238$ Austin Telco Federal Credit Certificate of Deposit 052392EY9 11/28/2025 11/27/2026 3.90% 249,000$ 249,690$ 249,000$ 690$ BMW Bank of North America Certificate of Deposit 05612LFR8 8/15/2025 8/16/2027 3.85% 245,000$ 245,662$ 245,000$ 662$ Bank of California Certificate of Deposit 05890QFD1 8/13/2025 8/13/2027 3.85% 245,000$ 245,637$ 245,000$ 637$ Bank of America NA/Charlotte NC Certificate of Deposit 06051XS94 12/3/2025 12/3/2026 3.75% 240,000$ 240,353$ 240,000$ 353$ Bank of Deerfield - Wisconsin Certificate of Deposit 061785GE5 10/16/2025 10/18/2027 3.50% 249,000$ 248,216$ 249,000$ (784)$ Cadence Bank Certificate of Deposit 12739UCS3 9/11/2025 1/11/2027 3.90% 245,000$ 245,767$ 245,000$ 767 $ Carson Bank Certificate of Deposit 14575YAE1 9/25/2025 9/27/2027 3.65% 245,000$ 244,983$ 245,000$ (17)$ Enterprise Bank and Trust Certificate of Deposit 29367SMM3 8/20/2025 2/22/2027 3.85% 249,000$ 249,700$ 249,000$ 700 $ First Bank of the Lake - Osage Beach Certificate of Deposit 31925YDP4 11/28/2025 11/27/2026 3.70% 249,000$ 249,247$ 249,000$ 247 $ First Commercial Bank Certificate of Deposit 31986HAJ4 8/15/2025 5/17/2027 3.85% 249,000$ 249,727$ 249,000$ 727 $ Goldman Sachs Bank - New York Certificate of Deposit 38151PBA8 10/21/2025 10/21/2027 3.65% 245,000$ 244,829$ 245,000$ (172)$ Hope Federal Credit Union Certificate of Deposit 43942MAQ5 8/21/2025 8/23/2027 3.85% 245,000$ 245,662$ 245,000$ 662 $ Institution for Savings - Newbury Port Certificate of Deposit 45780PDJ1 10/28/2025 10/28/2027 3.60% 249,000$ 248,629$ 249,000$ (371)$ Investar Bank Website Baton Rouge Certificate of Deposit 46091MDT8 12/5/2025 12/4/2026 3.65% 249,000$ 249,144$ 249,000$ 144 $ Kemba Gahanna Credit Union Certificate of Deposit 48836LCV2 10/23/2025 10/25/2027 3.65% 249,000$ 248,853$ 249,000$ (147)$ M1 Bank Certificate of Deposit 55316CDT0 9/10/2025 9/10/2027 3.70% 245,000$ 245,113$ 245,000$ 113 $ Merrick Bank Certificate of Deposit 59013LDK7 9/17/2025 3/17/2027 3.75% 249,000$ 249,403$ 249,000$ 403 $ Morgan Stanley Bank Certificate of Deposit 61690D7H5 6/30/2025 6/30/2028 4.25% 244,000$ 246,891$ 244,000$ 2,891 $ Morgan Stanley Bank Certificate of Deposit 61776NTS2 6/30/2025 6/30/2028 4.25% 244,000$ 246,891$ 244,000$ 2,891 $ Pilgrim Bank - Pittsburg, Texas Certificate of Deposit 72143HAM1 10/22/2025 10/22/2027 3.55% 249,000$ 248,422$ 249,000$ (578)$ The Pioneer Savings Bank Cleveland Certificate of Deposit 72387JAU4 12/2/2025 12/2/2026 3.75% 249,000$ 249,366$ 249,000$ 366 $ Toyota Financial Savings Bank Certificate of Deposit 89235MSU6 8/14/2025 8/16/2027 3.85% 245,000$ 245,662$ 245,000$ 662 $ Tucson Federal Credit Union Certificate of Deposit 898812AP7 7/11/2025 7/12/2027 4.00% 249,000$ 250,295$ 249,000$ 1,295 $ United Bankers' Bank - Bloomington Certificate of Deposit 909557LY4 10/31/2025 10/29/2027 3.55% 249,000$ 248,452$ 249,000$ (548)$ Veridian Credit Union Certificate of Deposit 92348DAG4 7/18/2025 10/18/2027 4.00% 249,000$ 250,389$ 249,000$ 1,389 $ Vibrant Credit Union Certificate of Deposit 92559TAT5 10/27/2025 10/27/2027 3.65% 249,000$ 248,848$ 249,000$ (152)$ City of Marina

Page 3 of 4 ends

EXHIBIT A-1
Institution/Type of Investment Additional Identifiers CUSIP # Purchase
Date Maturity Rate (%) Face Value Market Value Cost Basis Unrealized
Gain/Loss
US Treasury Bill US Treasury Bill 912797SL2 10/9/2025 4/9/2026 3.70% 1,250,000$ 1,238,025$ 1,228,213$ 9,813$ US Treasury Bill US Treasury Bill 91282CFZ9 11/12/2024 11/30/2027 4.15% 1,500,000$ 1,510,845$ 1,488,272$ 22,574$ US Treasury Bill US Treasury Bill 91282CGL9 2/12/2025 2/15/2026 4.17% 2,000,000$ 2,000,580$ 1,996,670$ 3,910$ US Treasury Bill US Treasury Bill 91282CGT2 12/15/2025 3/31/2028 3.40% 3,000,000$ 3,008,550$ 3,014,391$ (5,841)$ US Treasury Bill US Treasury Bill 91282CJR3 1/13/2025 12/31/2028 4.43% 2,610,000$ 2,625,817$ 2,546,073$ 79,743$ US Treasury Bill US Treasury Bill 9128285M8 11/12/2024 11/15/2028 4.16% 1,500,000$ 1,483,770$ 1,443,222$ 40,548$ US Treasury Bill US Treasury Bill 9128286L9 7/3/2025 3/31/2026 4.00% 3,000,000$ 2,990,130$ 2,961,840$ 28,290$ US Agency Bond Federal Home Loan Banks 3130B4NK3 2/12/2025 1/16/2026 4.20% 2,000,000$ 2,000,460$ 2,000,043$ 417$ US Agency Bond Federal Home Loan Banks 3133ETGB7 5/30/2025 5/12/2027 4.00% 2,000,000$ 2,002,200$ 1,999,220$ 2,980$ US Agency Bond Federal Home Loan Banks 3133ETVK0 9/9/2025 8/25/2026 3.60% 1,075,000$ 1,076,774$ 1,076,887$ (113)$ US Agency Bond Federal Home Loan Banks 3133ETW52 11/28/2025 1/19/2026 3.54% 1,500,000$ 1,501,170$ 1,501,092$ 78$ Restricted Bond Reserve Accounts
Municipal Bonds California State GO Bonds 13063EGT7 11/07/24 08/01/29 4.24% 4,000,000$ 4,098,800$ 4,034,067$ 64,733$ Municipal Bonds California State GO Construction Bonds 13063EHU3 11/10/25 09/01/30 3.77% 4,000,000$ 4,176,800$ 4,187,395$ (10,595)$ Total Time Value Investments 36,250,004$ 36,541,991$ 36,292,388$ 249,603$ Institution/Type of Investment Additional Identifiers CUSIP # Purchase Date Maturity Rate (%) Face Value Market Value Cost Basis Unrealized
Gain/Loss
US Bank
Money Market Abrams B Debt Service - - 3.39% 306,200$ 306,200$ 306,200$ - Money Market 2022 COPS - Transportation Improvements - - 3.23% 4,929,415$ 4,929,415$ 4,929,415$ - Total Bond Reserve Accounts 5,235,615$ 5,235,615$ 5,235,615$ - Total Cash and Investments173,991,928$ 173,954,395$ 173,023,278$ 931,117$ City of Marina

Page 4 of 4 ends

EXHIBIT A-2
To: Honorable Mayor and City Council Members
From: Roger Sattoof, Financial Analyst
RE: Investment Report for Fiduciary Funds: Successor Agency and the FORA Bond Reserve Account Quarter Ended December 31, 2025
Cash and Investment Summery:

Market Value
Cash 83,541$
Local Agency Investment Fund (LAIF) 3,300,692$
6,581,636$
Total 9,965,869$
Cash not earning interest 83,541$
Non earning cash as a percentage of total cash 1%
I hereby certify that sufficient investment liquidity and anticipated revenues are available to meet the Successor Agency's anticipated expenditure requirements for the next six (6) months. (California Government Code Section 53646)
Tori Hannah, Finance Director
Roger Sattoof, Financial Analyst
Restricted Money Market - Bond Proceeds/Bond
Fiduciary Funds
1 of 2

EXHIBIT A-2
City of Marina
Investment Report for Fiduciary Funds
Quarter Ended December 31, 2025
Successor Agency
Institution/Type of Investment Additional Identifiers/CUSIP# Purchase Date Maturity Rate (%) Face Value Market Value Cost Basis Unrealized
Gain /Loss
Cash
Checking Account Chase Bank - - 0.00% 83,541$ 83,541$ 83,541$ - Investments
Local Agency Investment Fund (LAIF)

4.09% 3,300,692$ 3,300,692$ 3,300,692$ -
Restricted Bond Reserve Accounts
US Bank
Money Market 2018 Housing Tax Allocation Bonds Series A&B- - 3.43% 1,245,087$ 1,245,087$ 1,245,087$ - Money Market 2020 Housing Tax Allocation Bonds Series A&B- - 3.41% 986,660$ 986,660$ 986,660$ - Money Market 2023 Housing Tax Allocation Bonds Series A&B- - 3.21% 1,308,000$ 1,308,000$ 1,308,000$ - Total Bond Reserve Accounts 3,539,747$ 3,539,747$ 3,539,747$ - Total Successor Agency 6,923,980$ 6,923,980$ 6,923,980$ - FORA
Institution/Type of Investment Additional Identifiers/CUSIP# Purchase Date Maturity Rate (%) Face Value Market Value Cost Basis Unrealized
Gain/Loss
Restricted Bond Reserve Accounts
US Bank
Money Market 2020 Tax Allocation Bonds - - 3.23% 3,041,889$ 3,041,889$ 3,041,889$ - Total Cash and Investments 9,965,869$
Pooled money investment
Fiduciary Funds
2 of 2
EXHIBIT A-3
To: Honorable Mayor and City Council Members
From: Roger Sattoof, Financial Analyst
RE: Investment Report for Abrams and Preston Funds
Preston Park Sustainable Community Non-Profit Corporation & Abrams B Non-Profit Corporation Quarter Ended December 31, 2025
Cash and Investment Summery: Market Value
Cash 16,083,423$
Money Market 3,273,479
Total 19,356,902$
Cash not earning interest 776,088$
Non earning cash
as a percentage of
total cash 4%
I hereby certify that sufficient investment liquidity and anticipated revenues are available to meet the City of Marina's anticipated expenditure requirements for the next six (6) months. (California Government Code Section 53646)
Tori Hannah, Finance Director
Roger Sattoof, Financial Analyst
Preston and Abrams

Page 1 of 2 ends

EXHIBIT A-3

CITY OF MARINA

INVESTMENT REPORT
Quarter Ended December 31, 2025
Preston Park
Additional Identifiers
/CUSIP#
Purchase
Date Maturity Rate (%) Face Value Market Value Cost Basis Unrealized
Gain /Loss
Cash
Chase Bank
Checking Account Operations - - 2.12% 1,278,955$ 1,278,955$ 1,278,955$ - Checking Account Security Deposit - - 0.00% 578,332$ 578,332$ 578,332$ - Western Alliance Bank
High-Yield Checking Account Capital Reserve Account - - 2.99% 14,028,380$ 14,028,380$ 14,028,380$ - Total Cash 15,885,667$ 15,885,667$ 15,885,667$ -
Investments
Western Alliance Bank
Money Market Capital Reserve Account - - 0.65% 250,138$ 250,138$ 250,138$ - Total Investments 250,138$ 250,138$ 250,138$ -
Total Cash and Investments - Preston Park 16,135,805$ 16,135,805$ 16,135,805$ - Abrams Park
Additional Identifiers
/CUSIP#
Purchase
Date Maturity Rate (%) Face Value Market Value Cost Basis Unrealized
Gain /Loss
Cash
Western Alliance Bank
Checking Account Operations - - 0.00% 197,757$ 197,757$ 197,757$ - Total Cash 197,757$ 197,757$ 197,757$ -
Investments
Western Alliance Bank
Money Market Trust - Securty Deposits - - 0.65% 278,721$ 278,721$ 278,721$ - Money Market Trust - Reserves - - 1.00% 2,744,620$ 2,744,620$ 2,744,620$ - Total Investments 3,023,341$ 3,023,341$ 3,023,341$ - Total Cash and Investments - Abrams Park 3,221,097$ 3,221,097$ 3,221,097$ - Total Cash and Investments 19,356,902$
Institution/Type of Investment
Institution/Type of Investment
Preston and Abrams

Page 2 of 2 ends

February 12, 2026 Item No. 10j(5)
Honorable Mayor and Members City Council Meeting
of the Marina City Council of February 18, 2026
Honorable Chairperson and Members Successor Agency Meeting of the Successor Agency to Marina Redevelopment Agency of February 18, 2026 Chair and Board Members of Corporation Meeting
Preston Park Sustainable Community Non-Profit Corporation of February 18, 2026

CITY COUNCIL OF THE CITY OF MARINA RECEIVE THE SECOND QUARTER BUDGET REPORT FOR FISCAL YEAR 2025-26 AND THE HDL

CITY OF MARINA SALES TAX UPDATE
REQUEST: It is requested that the City Council and Boards:

1. Consider receiving the City of Marina Second Quarter Budget Report – Fiscal Year 2025- 26, which represents the quarter ended December 31, 2025.

2. Consider receiving the HdL City of Marina Sales Tax Update for the period from July – September 2025.

BACKGROUND:

In February 2025, the Finance Department introduced interim budget reporting to provide updates on the City’s fiscal condition and assist with financial planning. This included a Quarterly Budget Report and a City of Marina HdL Sales Tax Update. The Quarterly Budget Report provides information on the City’s General Fund, Municipal Airport Fund, FORA Dissolution Fund, and the Public Facilities Impact Fee Fund. The HdL report includes information on local and state sales tax performance; the top 25 sales tax producers in the City, and sales tax activity by business type.

ANALYSIS:

The City’s Second Quarter Budget Report and the most recent HdL Sales Tax Update are included in EXHIBITS A and B. The reporting intervals on the HdL report differ from the City’s records due to the City’s use of accrual accounting; however, the information is a good indicator of the current local economic environment and sales tax performance.

Detailed information can be found within each report.

FISCAL IMPACT:

There is no fiscal impact. This report is for informational purposes.

CONCLUSION:

This report is submitted for City Council consideration and possible action.

Respectfully submitted
Tori Hannah
Finance Director
City of Marina
REVIEWED/CONCUR:

Layne P. Long
City Manager
City of Marina
1 The following sections provide an overview of current revenues and expenditures for the General Fund, Airport Fund, and two key funds that relate to capital project allocations . These funds include the FORA Dissolution Fund and Public Impact Fees Fund.

When reviewing this report, it should be noted that there could be variances between the percentage of the year elapsed and the amount expended or received. This results from some revenues having uneven receipting patterns, and expenditures that may vary with the procurement of goods and services. The City continually monitors the budget on a regular basis. If any significant budgetary variances are identified, a budget amendment will be requested as part of the mid-cycle budget process; or through a separate budget amendment during the year.

An overview of each fund is presented in the subsequent sections.

General Fund Overview
General fund revenues and expenditures were $19.4 million and $29.5 million, respectively at the close of the second quarter. While expenditures exceeded revenues by approximately $10.1 million, this trend is consistent with the prior year. Factors that contribute to this temporary deficit include the transfer of $11.5 million in capital project funding at the beginning of the year, as well as receipting patterns associated with property tax, sales tax, and transient occupancy tax. These capital improvements are funded through an appropriation of the unallocated General Fund balance, rather than supported through on-going revenues.

Revenues
The overall General Fund revenues are trending relatively consistent with the budget and prior year receipting trends. The chart below provides a comparative overview of the revenues received to date with prior year amounts, as well as a budgetary comparison . In Fiscal Year 2025-26, it was projected that the combined General Fund revenues would be $38.5 million. Through the second quarter, the City has received $19.4 million or 50.3% the budgeted amount. This is approximately $845,000 or 4.6% greater than the prior year.
$18.5
$19.4
$0 $10 $20 $30 $40
Fiscal Year 24/25
Fiscal Year 25/26
Millions
General Fund Revenues
(Through Second Quarter)
Remaining Budget
City of Marina
Second Quarter Budget Report – Fiscal Year 2025-26

EXHIBIT A
2 An overview of revenues by major categories are provided in the following table, with a brief narrative describing any key variances.

Prior Year Annual
Amended Qtr to Date % Received Qtr to Date Difference Revenues
Property tax 10,790,000$ 5,816,149$ 53.9% 5,325,234$ 490,915$ Sales tax 10,355,000 3,639,683 35.1% 3,315,953 323,730 Transient occupancy tax 6,490,000 2,751,837 42.4% 2,732,914 18,922 Other taxes 3,671,000 2,317,626 63.1% 2,006,304 311,322 - Subtotal Taxes 31,306,000$ 14,525,294$ 46.4% 13,380,406$ 1,144,889$ Licenses, permits, and fees 832,000 516,893 62.1% 459,835 57,058 Fines and penalties 83,000 44,140 53.2% 39,135 5,006 Intergovernmental 488,500 182,558 37.4% 328,941 (146,383) Charges for services 1,420,654 744,661 52.4% 1,018,275 (273,614) Use of money and property 3,766,600 2,567,899 68.2% 2,504,468 63,432 Other revenues 88,000 242,169 275.2% 164,341 77,828 OperatingSubtotal Operating 37,984,754$ 18,823,616$ 49.6% 17,895,400$ 928,216$ Non-Operating Revenes
Land Sales - - - - - Transfers 550,166 550,166 100.0% 633,337 (83,171) Total Revenues 38,534,920$ 19,373,782$ 50.3% 18,528,737$ 845,045$ Fiscal Year 25/26

Property Taxes
The City primarily receives property tax in April and December, with a minor payment in June. In the second quarter of this fiscal year, the City also received a $259,952 payment for Fort Ord Reuse Authority (FORA) surplus property taxes.

Sales Tax
The City records sales tax in the period in which it is earned. Due to receipting patterns, the amount of the year elapsed is not reflective of the performance. The amount received in both fiscal years reflects the receipt of four payments. The prior quarter does not include revenues from the new Trader Joes or Ross Dress for Less retail stores.

Transient Occupancy Tax (TOT)
At the close of the second quarter, transient occupancy tax receipts were $2.8 million or 42.4% of the budget. Due to timing of revenue accruals, there are only four payments recorded in each fiscal year.

Other Tax
This revenue category includes business license , franchise, cardroom, and cannabis taxes. At the close of the second quarter, these revenues contributed $2.3 million to the General Fund, which represents 63.1% of the annual budgeted amount. The majority of the year-to-date receipts can be attributed to business license tax es that were paid in the first quarter , w ith other tax es and minor business license receipts contributing to the current and future periods. The annual difference is related to changing accrual patterns for business licenses.

EXHIBIT A
3 Intergovernmental Revenues
This revenue category includes grant s, Supplemental Law Enforcement Services Fund (SLESF), and fire mutual reimbursements. This amount may vary annually based on the amount of grants awarded and the timing of grant expenditures; as well as the number of mutual aid calls.

Charges for Services
The Fiscal Year 2025-26 year-to-date revenues are in alignment with the annual budget; however, they are $273,614 less than the prior year. This annual difference is primarily related to a reduction in plan check fees; and engineering and planning reimbursements associated with developer agreements. These revenues vary with development activities.

Other Revenues
Revenues within this category are likely to vary with each year. Through the first half of Fiscal Year 2025-26, Other Revenues exceeded the annual budget by $154,169. This includes one-time receipts of $34,325 from an opioid settlement, $65,600 for a utility easement at Glorya Jean Tate Park ; and $95,500 in insurance reimbursements. These unique receipts also contribute to the budgetary and annual variance.

Transfers
The City initiates interfund transfers at the beginning of the year. All interfund revenues align with their budgetary receipts. Each fiscal year includes a $500,000 transfer -in from the Groundwater Stabilization Fund to assist in offsetting litigation costs.

Expenditures
At the end of the second quarter, the City expended approximately $29.5 million or 57.3% of the budgeted amount. This includes $11.8 million in capital outlay expenditures and capital project transfers. The second quarter expenditures may not necessarily coincide with the percentage of the year elapsed due to timing differences in purchasing goods or using services. The total amount of expenditures that are applicable to on-going operations was $17.7 million or 47.0% of the budgeted amount . The annual difference of $377,055 reflects increased staffing levels, as well as timing of expenditures.

The chart below provides a comparative overview of the operating costs for the first half of each fiscal year, as well as the Fiscal Year 2025-26 percentage of budgetary funds expended.

$17.3
$17.7
$0 $10 $20 $30 $40
Fiscal Year 24/25
Fiscal Year 25/26
Millions
General Fund Operating Expenditures
(Through Second Quarter - Excludes capital outlay and capital project transfers) Remaining Budget

EXHIBIT A
4 An overview of expenditures by department is provided in the following table, with a brief narrative describing any significant variances.

Prior Year Annual
General Fund Expenditures Amended Quarter to % Quarter to Difference Departments
City Council 182,689$ 68,575$ 37.5% 20,582$ 47,994$ City Manager 2,907,893 1,363,537 46.9% 1,026,652 336,885 HR/Risk Management 670,545 310,674 46.3% - 310,674 Information Technology 553,673 326,865 59.0% 113,777 213,089 Finance 1,201,758 471,900 39.3% 572,974 (101,074) City Attorney 824,000 323,868 39.3% 314,260 9,608 Police 10,727,741 4,465,123 41.6% 4,541,966 (76,844) Fire 6,096,812 2,710,447 44.5% 2,872,762 (162,315) Public Works/Engineering 5,012,863 2,006,557 40.0% 1,819,963 186,594 Community Development 2,167,401 856,257 39.5% 863,708 (7,450) Economic Development 345,364 65,328 18.9% 71,652 (6,324) Recreation & Culture 1,692,037 676,349 40.0% 706,474 (30,125) Citywide Non-Department 5,296,187 4,074,974 76.9% 4,418,630 (343,655) Subtotal Operating 37,678,963$ 17,720,454$ 47.0% 17,343,400$ 377,055$ Non-Operating Expenditures
Capital Outlay 2,292,482$ 290,882$ 12.7% 479,939$ (189,058)$ Citywide Transfers Out 11,506,068 11,506,068 100.0% 3,328,768 8,177,300 Subtotal Non-Operating 13,798,550$ 11,796,950$ 85.5% 3,808,707$ 7,988,242$ - Total Expenditures 51,477,513$ 29,517,404$ 57.3% 21,152,107$ 8,365,297$ Fiscal Year 25/26

City Manager
In Fiscal Year 2024-25, the Human Resources (HR) and Risk Management functions were included in the City Manager budget. In Fiscal Year 2025-26, these expenditures were moved into a new department. The expenditures through the second quarter were fairly consistent with the percentage of the year that elapsed. Th e annual difference of $336,885 reflects a $507,000 increase in the use of specialized legal services for groundwater stabilization litigation, along with additional costs for professional services. These amounts were offset by the costs that were transferred to the new HR and Risk Management Department.

Human Resources/Risk Management
In Fiscal Year 2024-25, the costs associated with HR and Risk Management functions were included in the City Manager Department budget. In Fiscal Year 2025-26, a new department was established to support these expenditures. At the close of the second quarter, this department incurred $310,674 in expenditures, which represented 46.3% of the budget amount.

Information Technology
Operating expenditures through the second quarter were $326,865 or 59.0% of the budgeted amount. The annual increase of $213,089 can be primarily attributed to unique one-time costs of $ 179,200, with most costs subject to reimbursement.

EXHIBIT A
5 Police and Fire Departments
The Police Department and Fire Department budgets are trending relatively consistent with the budget. The $239,159 combined annual reduction in costs primarily reflects a timing difference in the payment of $387,637 in workers compensation insurance premiums. This was offset by increases in other expenditure categories.

Public Works/Engineering
The Public Works /Engineering department expenditures were $2.0 million or 40.0% of the budgeted amount. This was also $1 86,594 greater than the prior year. The a nnual difference primarily reflects $57,000 for increased public works staffing levels; and $232,000 for additional facility maintenance, small tools and equipment, and utility costs. These amounts were partially offset by a n $89,000 decrease in reimbursable engineering expenditures.

Citywide Non-Department
The Citywide non-department costs were $4.1 million at the end of the second quarter, which represents

76.9% of the annual budget. This was also $343,655 less than the prior year. Costs within this department include annual property, workers compensation, and liability insurance premiums; and the PERS unfunded liability which are typically paid in the first half of the fiscal year. The annual net difference primarily reflects a timing difference in the payment of insurance premiums of $663,376; net of a $359,000 increase in the net CalPERS unfunded liability payment.

Other Funds
Municipal Airport
In Fiscal Year 2025-26, the Airport budget projected $2.5 million in revenues. Through the second quarter, $1.2 million or 49.4% of the budgeted revenues were received. This was also $63,754 greater than the prior year. Factors contributing to this increase include increased facility rental revenues and higher interest earnings.

The expenditures through the second quarter were $517,855 or 30.4% of the annual budget. This budgetary difference reflects salary savings from the vacant Assistant City Manager position, as well as spending patterns that may not align with the percentage of the year elapsed. In Fiscal Year 2024-25, the expenditures through the second quarter included a $271,800 capital transfer. This expenditure, net of an i ncrease in various operational costs, contributes to the difference between the two fiscal years.

$0.8
$0.5
$1.2
$1.2
$0.0 $0.5 $1.0 $1.5 $2.0 $2.5 $3.0
FY 24/25 Expenses
FY 25/26 Expenses
FY 24/25 Revenues
FY 25/26 Revenues
Millions
Airport Revenues and Expenditures
(Through Second Quarter)
Remaining Budget

EXHIBIT A
6 FORA Dissolution Fund
The FORA Dissolution Fund includes bond proceeds and on-going development fees for residential and commercial projects within the former Fort Ord area. Funds can only be spent on blight removal, capital projects, or habitat management in the stated FORA boundaries.

As part of the Fiscal Year 2025-26 budget, the City conservatively projected revenue receipts of $2.0 million.

In the first two quarters of the fiscal year , development activities were exceptionally strong. The FORA revenues of $2.3 million exceeded the annual budget amount by $315,650. This included $ 2.2 million in FORA fees and $97,645 in interest earnings. While the Fiscal Year 2025-26 revenues were $4.0 million less than the prior year, the Fiscal Year 2024 -25 rece ipts included a one-time $4.4 million payment for development-related fees that were held in escrow . The prior year on-going revenues included approximately $1.4 million in FORA fees and $467,927 in interest earnings. The interest earnings in Fiscal Year 2025-26, will continue to be less than the prior year due to a significant transfer of the unallocated fund balance to support capital improvements.

The expenditures within this fund reflect capital transfers, as well as capital projects and habit management activities. The Fiscal Year 2 025-26 expenditures include a $20.7 million contribution towards the construction of a new $41.7 million Aquatic and Sports Center.

Public Impact Fees
The City receives public impact fees from new developments. The related receipts can only be spent on capital projects or purchases that align with the impact from the new growth.

Through the second quarter of the fi scal year, development activities were exceptionally strong. This resulted in the receipt of $3.9 million in revenues or 95.1% of the budgeted amount. This included approximately $2.7 million in development impact fees , $393,524 in interest earnings ; and an $800,000 transfer related to a project reconciliation . This can be contrasted with the prior year, which included approximately $1.8 million in development impact fees and $478,990 in interest earnings.

Development impact fees vary with construction activity over different periods of time. Over the last five years, the annual impact fees have averaged $5.9 million. In Fiscal Year 2024 -25, the annual impact fee revenues were $4.4 million. Based on current p erformance, it is anticipated that the Fiscal Year 2025-26 impact fee receipts may meet or exceed the five-year average. $3.5
$20.7
$6.3
$2.3
$0.0 $5.0 $10.0 $15.0 $20.0 $25.0
FY 24/25 Expenditures
FY 25/26 Expenditures
FY 24/25 Revenues
FY 25/26 Revenues
Millions
FORA Revenues and Expenditures
(Through Second Quarter)
Remaining Budget
$8.0

EXHIBIT A
7 The expenditures within this fund reflect transfers to the capital improvement fund. The Fiscal Year 2025-26 transfers include funding for $2.5 million in park-related projects and $500,000 for street intersection improvements.

An overview of the annual and comparative budgets is provided in the following table.

Prior Year
Amended
Quarter to
Date
%
Received
Quarter to
Date
Revenues
Interest Income 450,000$ 393,254$ 87.4% 478,990$ (85,736)$ Intersections Fee 406,000 290,977 71.7% 234,200 56,776 Roadways Fee 827,000 887,013 107.3% 574,575 312,438 Public Safety Fee 123,000 108,714 88.4% 74,926 33,788 Public Building Fee 387,000 390,735 101.0% 232,744 157,991 Parks Fee 1,086,000 1,008,935 92.9% 658,781 350,154 Transfers In-Parks Fee 800,000 800,000 100.0% - 800,000 Total Revenues 4,079,000$ 3,879,627$ 95.1% 2,254,217$ 1,625,410$ Expenditures
Capital Transfers 3,000,000$ 3,000,000$ 100.0% 3,200,000$ (200,000)$ Total expenditures 3,000,000 3,000,000 100.00% 3,200,000 (200,000)- Net operating difference 1,079,000$ 879,627$ 81.52% (945,783)$ (1,825,410)$ Fiscal Year 25/26
Annual
Difference

EXHIBIT A
8 www.hdlcompanies.com | 888.861.0220
Q3 2024*
Q3 2025*
Legend
$0
$50,000
$100,000
$150,000
$200,000
$250,000
$300,000
$350,000
SALES TAX BY MAJOR BUSINESS GROUP*Allocation aberrations have been adjusted to reflect sales activity General
Consumer
Goods
Restaurants
and
Hotels
County
and State
Pools
Fuel and
Service
Stations
Food
and
Drugs
Building
and
Construction
Autos
and
Transportation
Business
and
Industry
TOP 25 PRODUCERSCITY OF MARINA HIGHLIGHTS
Published by HdL Companies in Winter 2026
7 Eleven
Best Buy
Brass Tap
Catalyst
Chipotle
Grocery Outlet
Jack in the Box
Kohls
Las Animas Concrete
Marina
Luckys
Marina Chevron
Marina Fast Fill Market
McDonald’s
Michaels Arts & Crafts
Old Navy
REI
Ross
Sanctuary Beach Resort
Shell
Stiizy
Taco Bell
Target
Teriyaki Madness
Trader Joe’s
Walmart Supercenter

SALES TAX UPDATE

CITY OF MARINA
3Q 2025 (JULY - SEPTEMBER)
Marina’s receipts from July through
September were 11.5% above the third
sales period in 2024. Excluding reporting
aberrations, actual sales were up 6.8%.

Confidentiality rules limit the details
that can be shared, but non-confidential
highlights are discussed below.

The biggest category in the City, general
consumer goods, was up due to a new
outlet in family apparel. This growth
helped offset declines seen across
several other categories within the
group.

Food-drugs were also up due to a new
outlet.

Restaurants were also up this quarter
with gains in quick-service and fast
casual restaurants while casual dining
establishments were slightly down.

Service stations were down due to lower
prices at the pumps.

Voter-approved Measure N was boosted
by locals purchases more new motor
vehicles and an over 10% increase in
online merchandise delivered into the
City.

Net of aberrations, taxable sales for all
of Monterey County grew 3.0% over
the comparable time period; the Central
Coast region was up 4.4%.

TOTAL:

5.2%
$1,895,365
Measure N
TOTAL: $ 818,220

6.8% 3.0% 1.9%

COUNTY STATE
MARINA
3Q2025

EXHIBIT B
9 TOP NON-CONFIDENTIAL BUSINESS TYPES
Q3 '25
Marina
Business Type Change Change Change
County HdL State
-5.0%-3.6%-2.7% 74,501 Service Stations

2.0%0.5%-0.3% 52,511 Casual Dining
-1.1%-2.0%2.0% 51,315 Quick-Service Restaurants
-2.0%-2.1%39.1% 32,896 Grocery Stores
-0.8%0.6%3.1% 26,087 Fast-Casual Restaurants
-1.5%-0.7%-16.8% 10,290 Convenience Stores/Liquor
-1.2%26.3%42.7% 4,952 Light Industrial/Printers
-6.1%-2.3%-32.2% 2,643 Auto Repair Shops

27.4%6.7%-10.6% 1,803 Receivables/Master Outlets

2.1%-11.3%-3.8% 1,758 Government/Social Org.
*Allocation aberrations have been adjusted to reflect sales activity

REVENUE BY BUSINESS GROUP
Marina This Quarter*
3%
Others
17%
Pools
18%
Restaurants
5%
Building
39%
Cons.Goods
9%
Food/Drug
10%
Fuel
*ADJUSTED FOR

ECONOMIC DATA
SALES TAX UPDATECITY OF MARINA3Q 2025

STATEWIDE RESULTS
California’s local one-cent sales and use tax
receipts for July through September were

1.9% higher than the same quarter last year,
after adjusting for accounting anomalies.

While growth appears modest, calendar
year 2025 remains on pace to rebound
following two years of declines. Combined
with second-quarter activity, the summer
period posted a 1% improvement over the
2024 season.

Sustained consumer trends reflected a
willingness to spend while remaining cost-
conscious and prioritizing value. Online
retailers, reporting to both business-
industry and countywide use tax pools
(depending on inventory location at
purchase), recorded the strongest gains.

This momentum extended to brick-and-
mortar retailers, which also posted modest
improvements. Seasonal “back-to-school”
activity boosted men’s and family apparel
along with shoe stores, lifting the General
Goods sector and enhancing expectations
for the upcoming holiday shopping period.

Tax receipts from restaurants edged higher,
supported by households’ continued desire
to eat out. Despite balancing higher menu
prices, tip fatigue, and tighter margins,
casual dining establishments generated the
largest gains. Overall, summer performance
appeared stable but lacked the tourism
surge many had hoped for.

Offsetting positive results was a decline
in revenue from fuel-service stations—
marking the 10th out of the last 11 quarters
with negative year-over-year change.

This trend is largely tied to West Texas
Intermediate (WTI) crude oil prices, which
hit their lowest monthly levels since 2021.

While lower gas prices may encourage
spending in other categories, potential oil
refinery closures in the coming year could
keep per-gallon prices elevated.

The food and drug sector continued its
downward trend as grocers remitted fewer
taxes, reflecting the challenge of generating
taxable revenue amid rising food prices.

Drug store filings have declined throughout
the year, driven partly by increased access
to medications through ecommerce
platforms and a contraction in physical store
footprints due to over-saturation and chain
bankruptcies.

Two sectors poised to benefit from
lower short-term interest rates—autos-
transportation and building-construction—
repeated a pattern of lackluster returns.

A minor uptick came from new auto
sales and leasing, while building material
suppliers struggled during the summer, likely
creating pent-up demand for repairs and
improvements ahead.

With the Federal Reserve considering
additional rate changes in early 2026,
optimism for improved consumer financing
conditions and stronger sales tax receipts
remains. As national tariff and trade talks
ease, inflationary pressures will continue to
shape spending behavior. For now, calendar
year 2025 closes with sluggish but stable
performance, awaiting broader economic
shifts.

EXHIBIT B
10 City of Marina
City of Marina
211 HILLCREST AVENUE
MARINA, CA 93933
831-884-1278
www.cityofmarina.org
S e r v i n g a W o r l d C l a s s C o m m u n i t y

MEMORANDUM
DATE: February 13, 2026
FROM: Guido F. Persicone, Community Development Director, AICP TO: Layne Long, City Manager
SUBJECT: Affordable Housing Sites in Marina
Background
On December 16, 2025, the City Council requested staff provide a list of affordable housing sites in the City of Marina and present this information to the Council in February 2026.

Name of Site Address Type of Housing
Community Homeless
Solutions-Hamilton
Shelter
3087
Wittenmyer Ct
16 bed emergency shelter for homeless women and
children or single homeless women
Homeward Bound 3087
Wittenmyer Ct
25 units of supportive housing for homeless families
Veterans Transition
Center
239 Hayes Circle 71 unit- supportive housing for veterans, with priority on homeless veterans
County of Monterey
Pueblo Del Mar
3043 MacArthur
Dr
56 two-bedroom units of transitional supportive
housing for families in substance abuse recovery and
homeless people with disabilities
Shelter Cove 609-617 Bayonet
Circle
36 transitional housing units serving low-income adults and people with serious mental illnesses
Sandy Shores 2982 Bayonet Ct 28 units for permanent affordable and supportive housing for homeless adults
CSUMB Promontory 400 8th St 176 apartment units for students offering beds for 579- 789 beds.

Abrams Park 682 Wahl Ct 75 very low-income rental units 61 low-income rental units
Preston 682 Wahl Ct 19 very low-income rental units
51 low-income rental units
Marina Manor 3082 Sunset
Avenue
39 senior housing units managed by CHISPA
Charles Apartments 3109 Seacrest
Avenue
105 affordable rental units managed by Eden Housing
for persons earning between 36-50% of the area median
income (AMI).

Cypress Garden
Apartments
3135 Seacrest
Avenue
96 affordable rental units managed by Eden Housing
University Village 301 9th Street 108 affordable rental units managed by Eden Housing Agenda Item: 10j(6)
February 18, 2026
1 2

Apartments
Rockrose Gardens 3012-3032
Lexington Ct.
21 very low-income units managed by Interim Housing
Dunes BMR Site #1 Imjin Parkway/
4th Avenue
92 very low- and low-income rental units managed by
USA Properties
Dunes BMR Site #2 Second
Avenue/5th
Street
48 very low- and low-income rental units managed by
USA Properties
Mosaic 225 Cypress
Avenue
1 low-income affordable student housing unit within
this project.

Junsay Oaks 3098 Forest
Avenue
47 senior affordable units for persons earning 30%-
60% AMI, managed by CHISPA
Sea Haven 2988 Bluff Drive 210 ownership townhomes will be built within the subdivision
51 Moderate income
51 Workforce Housing
23 cottages units
85 bridge homes
County of Monterey
Housing Authority
Various 250 housing vouchers have been issued in Marina by the County.

ADUs Various 61 ADUs have been built in Marina in the past three years
Marina Station Various 272 affordable units will be built:
95 for sale and 177 rental units.

Coastal Care Home 3121 Messinger Residential Care Facility El Camino Real Manor
3250 Vista Del
Camino
Residential Care Facility
New Heights
Independent Living
Facility
330 Reservation
Road Ste G
Residential Care Facility
Pending Construction/Completion
Name of Site Address Type of Housing
Revision West 219-221
Hillcrest
15 units of which two will be low-income rental units.

Interim Housing 605 Bayonet Ct Four units will be demolished to build a newer 24-unit (23 units 1 manager unit) for permanent supportive
housing units
Six percent of the units must be reserved for Very Low
Income Households,
seven percent of the units must be reserved for Low
Income Households, and
seven percent of the units must be reserved for
Moderate Income Households
3298 Del Monte 3298 Del Monte 94-unit project with 19 affordable units (11 at very low income, 2 as low income and 6 as moderate income

Agenda Item: 10j(6)
February 18, 2026
DATE: JANUARY 15, 2026
TO: MARINA CITY COUNCIL
Agenda Item: 10m(l)
City Council Meeting of
February 18, 2026
FROM: RECREATION & CULTURAL SERVICES COMMISSION INTERVIEW PANEL SUBJECT: RECOMMENDATION FOR APPOINTMENT
We, the undersigned members of the Recreation and Cultural Services Commission Interview Panel, hereby make the following recommendation to the City Council for consideration to fill three (3) seats based on interviews conducted on: January 15, 2026.

THREE APPOINTMENTS, TERM EXPIRING FEBRUARY 2028

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2. Lt5A 9--r-�
,, Jo!l\ Johv,JoVl
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Mayor
Lies&==
Mayor Pro Tern
Recreation & Cultural Services Commission Liaison
7 Date
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DATE: JANUARY 15, 2026
TO: MARINA CITY COUNCIL
FROM: PUBLIC WORKS COMMISSION INTERVIEW PANEL
SUBJECT: RECOMMENDATION FOR APPOINTMENT
Agenda Item: 10m(2)
City Council Meeting of
February 18, 2026
We, the undersigned members of the Recreation and Cultural Services Commission Interview Panel, hereby make the following recommendation to the City Council for consideration to fill two (2) seats based on interviews conducted on: January 16, 20��J TWO APPOINTMENTS, TERM EXPIRING FEBRUARY 2028

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Brian McCarthy
Councilmember
Public Works Commission Liaison
rDale

DA TE: JANUARY 20, 2026
TO: MARINA CITY COUNCIL
FROM: PLANNING COMMISSION INTERVIEW PANEL
SUBJECT: RECOMMENDATION FOR APPOINTMENTS
Agenda Item: 10m(3)
Cit y Council Meeting of
February 18, 2026
We, the undersigned members of the Planning Commission Interview Panel, hereby make the following recommendation to the City Council for consideration to fill three (4) seats based on interviews conducted on January 20, 2026.

FOUR APPOINTMENTS, TERM EXPIRING FEBRUARY 2028

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Mayor
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Planning Commission Liaison
Date

January 27, 2026 Item No. 11a
Mayor and Members of the
City Council
City Council Meeting
February 18, 2026

CITY COUNCIL TO OPEN A PUBLIC HARING, TAKE TERSTIMONY
AND CONSIDER INTRODUCING ORDINANCE NO. 2026 -, ADOPTING CHANGES TO SECTION 17.4 2.040 (ACCESSORY DWELLING UNITS ) OF THE MARINA MUNICIPAL CODE. THE PROPOSED

AMENDMENTS ARE EXEMPT FROM CEQA PER PUBLIC
RESOURCES CODE § 21080.17 AND CEQA GUIDELINES §15282(h).

RECOMMENDATION: that the City Council:

1. Open a public h earing, take testimony from the public and introduce Ordinance N o, 2026-, a dopting the proposed amendments to Section 17.4 2.040 (Accessory Dwelling Units) of the Marina Municipal Code. This action is exempt from CEQA per Section 15303(a) of the CEQA Guidelines and section 21080.17 of the Public Resources Code.”

BACKGROUND
In response to a severe statewide housing shortage, the California State Legislature has, for the past several years, adopted a suite of bills each legislative cycle designed to increase the supply of housing in California. Legislation addressing and incentivizing the development of Accessory Dwelling Units (ADUs) and Junior Accessory Dwelling Units (JADUs) has been adopted each cycle.

On April 4, 2023, the Marina City Council adopted ordinance 2023 -06 to ensure the City’s ADU ordinance (found in Municipal Code Section 17.42.040) was consistent with State law. Since that time, additional legislation has been adopted, including but not limited to Senate Bill ( SB) 477 and SB 1211 in 2024 . On October 13, 2025, the Governor signed four additional bills related to ADUs into law (Assembly Bill (AB) 462, AB 1154, SB 543, and SB 9).

ANALYSIS
The proposed amendments to Municipal Code Section 17.42.040 include the following key measures:

1. ADUs on Multifamily lots . SB 1211 allows lots with an existing multifamily dwelling to have up to 8 detached ADUs or as many detached ADUs as there are dwelling units on the lot, whichever is less.

2. Parking. SB 1211 states that no on-site parking can be required if an ADU is located within an architectural or historically significant area or when a garage, carport or an uncovered parking space is demolished in conjunction with construction of an ADU.

3. Separate Sale of an ADU. SB 477 allows an ADU to be sold separate ly from the main house if the unit is built by a nonprofit housing organization as a deed -restricted affordable housing unit.

4. No short-term rentals. AB 1154 makes clear that JADUs can not be used for short term rentals.

5. Impact Fees. The same laws regarding impact fees on ADUs, including making sure the fees are proportional to the impact from the main house, now apply to JADUs per SB 543. 1 6. State of Emergency . A llows the occupancy of an ADU even if the primary house has not yet been rebuilt if a state of emergency has been declared by the Governor in a particular county.

7. Fire Sprinklers. T he construction of a JADU cannot require installation of fire sprinklers, unless installation is also required for the main house. This is the same provision that has been in place for ADUs for several years, but now the State Legislative is making it clear this also applies to JADUs.

8. JADUs. Several technical edits to JADU law were also made regarding what constitutes an efficient kitchen, the specific type of entryways that are required for JADUs and removing the requirement for owner-occupancy under certain circumstances.

9. Unit sizes. SB 543 clarified that calculation of ADU and JADU unit sizes shall be based on interior livable space.

10. Number of units allowed on a Single-Family lot. SB 543 clarified that ministerial approval is required for any combination of the following on a lot with a single -family dwelling: one ADU within a single -family dwelling, one JADU within a single -family dwelling, and one detached, new construction ADU of no more than 800 square feet.

Zoning Analysis
The proposed amendments achieve consistency with State law and internal consistency with the City’s zoning ordinance. ADUs are permitted in any zoning district where single -family or multifamily dwellings are a permitted or conditionally permitted land use. JADUs are permitted in any zoning district where single -family dwellings are a permitted or conditionally permitted land use (MMC 17.42.040.B).

General Plan Compliance
The 2000 General Plan calls for housing that meets the needs of all economic groups, accommodates a broad range of lifestyles, conserves land, and is environmentally and socially responsible (GP 2.31, 2.31.1, 2.31.4, 2.31.6 , 2.31.8, and 2.31.11 ). The development of ADUs and JADUs furthers each of these goals.

CORRESPONDENCE
No applicable correspondence to this draft ordinance amendment has been received as of publication of this staff report.

ENVIRONMENTAL DETERMINATION
The adoption of this ADU ordinance is statutorily exempt from CEQA pursuant to Public Resources Code § 21080.17 and CEQA Guidelines § 15282(h), because it implements the provisions of Government Code § 66310 to 66342 related to ADUs and JADUs. . No further environmental review is necessary.

CONCLUSION
This request is submitted for City Council consideration in order to ensure the City’s ADU Ordinance is compliant with recent changes to state law.

Respectfully submitted,
___________________
Guido Persicone, AICP
Community Development Director
City of Marina

REVIEWED/CONCUR
Layne Long
City Manager
City of Marina
2 ORDINANCE NO. 2026-
AN ORDINANCE TO ADOPT CHANGES TO SECTION 17.42.040 (ACCESSORY

DWELLING UNITS) OF THE MARINA MUNICIPAL CODE AND FIND THE PROPOSED AMENDMENTS ARE EXEMPT FROM CEQA PER PUBLIC RESOURCES CODE § 21080.17 AND CEQA GUIDELINES § 15282(h).

WHEREAS, the adoption of several state laws by the California State Legislature resulted in changes to State ADU statutes that stipulate development standards and regulatory requirements for accessory units; and;
WHEREAS, changes to the Marina Municipal Code are necessary to bring Section 17.42.040 (Accessory Dwelling Units) into compliance with State law; and WHEREAS, the proposed amendments are consistent with State law, the Marina Municipal Code, and the Marina General Plan; and
WHEREAS, the adoption of this accessory dwelling unit ordinance is statutorily exempt from the California Environmental Quality Act pursuant to Public Resources Code section 21080.17 and CEQA Guidelines section 15282(h), which states that CEQA does not apply to the adoption of an ordinance by a city or county to implement the provisions of Government Code §§ 66310 to 66342 (the provision of Accessory Dwelling Units and Junior Accessory Dwelling Units).

WHEREAS, on December 18, 2025, the Planning Commission recommended adopting the changes to Section 17.42.020 of the Marina Municipal Code

NOW THEREFORE, THE CITY COUNCIL OF THE CITY OF MARINA DOES ORDAIN AS FOLLOWS:

Section 1. Findings.

The City Council finds and determines the recitals set forth above to be true and correct and by this reference, incorporates the same herein as findings.

Section 2. Title 17, Zoning, of the Marina City Code is hereby amended to read as follows.

17.42.040 Accessory dwelling units.

This section establishes standards for the location and construction of accessory dwelling units (ADUs) and junior accessory dwelling units (JADUs) (jointly referred to as “accessory units” in this section) in conformance with California Government Code Sections 66310-663421 65852.2 and 65852.22. These standards are intended to allow for accessory units as an important form of affordable housing and to comply with state law.
1 Per HCD review of ordinance, dated September 17, 2025 3 A. Permits Required.

1. Accessory units consistent with the requirements of this section are allowed by right with the issuance of a building permit.

2. Time Limit to Determine Application Completeness. The city shall determine whether an application for an accessory unit is complete and provide written notice of the determination not later than 15 business days after receiving the application. If the City determines that an application is incomplete, the City will provide the applicant with a list of incomplete items and a description of how the application can be made complete in the written notice. If a permit application is determined to be incomplete or is denied, the applicant can may appeal that decision. After receipt of the appeal, the City shall provide a final written determination in no more than 60 business days.2

23. Time Limit to Act. The city shall complete its review of an accessory unit application and approve or deny the application within sixty days of receipt of the application if there is an existing single-family or multifamily dwelling on the lot. If the permit application to create an accessory unit is submitted with a permit application to create a new single-family dwelling on the lot, the city shall delay acting on the permit application for the accessory unit until the city acts on the permit application to create the new single-family dwelling. If the applicant requests a delay, the sixty-day time limit shall be extended for the period of the requested delay. In either case the application to create the accessory unit shall be considered without discretionary review or hearing.

B. Permitted Zoning Districts. Accessory dwelling units are permitted in any zoning district where single-family or multifamily dwellings are permitted or conditionally permitted land use as identified in this title. Junior accessory dwelling units are permitted in any zoning district where single-family dwellings are a permitted or conditionally permitted land use as identified in this title.

C. Site and Design Standards.

1. General. Accessory units are subject to the same requirements that apply to primary dwellings on the same lot in the applicable zoning district except as specified in this section.

2. Number of Accessory Units. No more than one junior accessory dwelling unit and one accessory dwelling unit are permitted The following units shall be ministerially approved on a single lot with a single-family dwelling:
2 SB 543
4 a. One ADU within the proposed space of a single-family dwelling or existing space of a single-family dwelling or existing accessory structure that may include an expansion of not more than 150 square feet for ingress/egress; and
b. One JADU within the proposed space of a single-family dwelling or existing space of a single-family dwelling that may include an expansion of not more than 150 square feet for ingress/egress; and
c. One detached, new construction, ADU of no more than 800 square feet of interior livable space that does not exceed four-foot side and rear yard setbacks that meets the height requirements of this section on a lot with a proposed or existing single-family dwelling3.

3. Lots with existing multifamily dwellings may have up to eight detached ADUs, or as many detached ADUs as there are primary dwelling units on the lot, whichever is less4.

4. Lots with an existing multifamily dwelling may have shall have a number of internal or attached ADUs equal to twenty-five percent of the existing multifamily dwelling units.

Fractions of units of one-half and above shall be rounded up. Accessory dwelling units may include portions of dwelling structures that are not used as livable space, including, but not limited to, storage rooms, boiler rooms, passageways, attics, basements, or garages; provided, that each unit complies with state building standards for dwellings. At least one accessory dwelling unit shall be permitted per lot within existing multifamily dwellings. Not more than two detached accessory dwelling units shall be permitted on lots with existing multifamily dwellings5.

5. Lots with a proposed multifamily dwelling can have up to two detached ADUs.

Relationship to Primary Dwelling.
a. An accessory dwelling unit may be within, attached to, or detached from the primary dwelling. Attachment to the primary dwelling shall be by sharing a common interior wall or common roof. No passageway (as defined in California Government Code Section 66314 65852.2) is required in conjunction with the construction of an accessory dwelling unit.
b. An accessory dwelling unit shall have its own kitchen, bathroom facilities, and entrance separate from the primary dwelling.
3 SB 543
4 SB 1211
5 Section removed per SB 1211
5 c. The city shall allow junior accessory dwelling units as defined in California Government Code Section 66313 65852.22 to be constructed within the walls of the proposed or existing single-family residence with a separate entrance from the main entrance to the primary dwelling, an efficiency kitchen as defined herein, and shared or independent bathroom facilities.

74. Height.
a. A detached accessory dwelling unit is limited to sixteen feet in height. A detached accessory dwelling unit may be up to eighteen feet in height if it is (i) within one-half mile walking distance of a major transit stop or high quality transit corridor, or (ii) on a lot that has an existing multifamily, multistory dwelling. b. A detached accessory dwelling unit shall also be allowed an additional two feet in height to accommodate a roof pitch that is aligned with the roof pitch of the primary dwelling unit for a total height of eighteen feet6.
cb. An attached accessory dwelling unit is limited to twenty-five feet in height or the height limitation that applies to the primary dwelling, whichever is lower.

85. Maximum Unit Size.
a. The maximum floor area for a studio or one-bedroom accessory dwelling unit shall be eight hundred fifty square feet of interior livable space, except accessory dwelling units which do not conform to subsections (C)(74)(a), (C)(74)(cb) and (C)(96)(c) of this section which shall be limited to eight hundred square feet7. However, Government Code section 66321, subdivision (b)(3) would apply, which prohibits any requirement for a zoning clearance or separate zoning review or any other minimum or maximum size for an accessory dwelling unit, size based upon a percentage of the proposed or existing primary dwelling, or limits on lot coverage, floor area ratio, open space, front setbacks, and minimum lot size, for either attached or detached dwellings that does not permit at least an 800 square foot ADU with four-foot side and rear yard setbacks to be constructed in compliance with all other local development standards8 b. The maximum floor area for an accessory dwelling unit of two bedrooms or more shall be one thousand square feet of interior livable space. 6 HCD review of draft ordinance, dated September 17, 2025 (Comment 3). 7 SB 543
8 HCD review of draft ordinance, dated September 17, 2025, (Comment 4). 6 c. In situations where an ADU or JADU is within the proposed space of a single-family dwelling or existing space of a single-family dwelling or accessory structure existing accessory structure is being converted to an accessory dwelling unit, an additional one hundred fifty square feet are allowed for expansion beyond the physical dimensions of the accessory dwelling unit, limited to providing ingress and egress only. bd. The maximum floor area of a junior accessory dwelling unit shall be five hundred square feet of interior livable space9.

96. Property Line Setbacks.
a. No setback is required for an existing accessory structure or living area as defined herein that is converted to an accessory dwelling unit. b. No setback is required for an accessory dwelling unit constructed in the same location and the same footprint as an existing accessory structure. c. A minimum setback of four feet from the side and rear property lines is required for an accessory dwelling unit twenty-five feet in height or less. If there is a recorded constraint, such as a no-build easement (e.g., public utility easement), then the recorded constraint prevails in determining the setback. Front yard setbacks shall be the same as the underlying zoning district10. An accessory dwelling unit in excess of twenty-five feet in height shall comply with setback requirements of the main structure of the applicable zoning district.
d. The setbacks identified in this code are not meant to contradict state law and, in all instances, at least an 800 square foot accessory dwelling unit with four-foot side and rear yard setbacks shall apply. No standard in Section 17.42.040 shall inhibit the development of one ADU with no more than 800 square feet of interior livable space, and with four-foot side and rear yard setbacks, in compliance with all other development standards in this section.
107. Parking.

Except as specified in this subsection, on-site parking for accessory dwelling units shall comply with all parking requirements in Chapter 17.44.
b. On-site parking is not required for junior accessory dwelling units. 9 SB 543
10 SB 477
7 c. In addition to on-site parking spaces required for the primary dwelling, one on-site parking space shall be provided for each accessory dwelling unit per unit or bedroom, whichever is less.
d. On-site parking spaces for accessory dwelling units may be covered or uncovered, may be tandem, and may be located within the front, side, or rear setback areas unless there is a specific site or regional condition related to fire or life safety that would make parking in setback areas unsafe.
e. No on-site parking is required for an accessory dwelling unit in the following cases:
i. The accessory dwelling unit is located within one-half mile walking distance of public transit.
ii. The accessory dwelling unit is located within a National Register Historic District, in architecturally or historically significant areas or other historic district officially designated by the city council.
iii. The accessory dwelling unit is constructed within the primary residence or within an accessory structure.
iv. On-street parking permits are required but not offered to the occupant of the accessory dwelling unit.
v. A car-share vehicle pick-up/drop-off location is located within one block of the accessory dwelling unit.
vi. The accessory dwelling unit is part of an application to create a new single- family or multifamily dwelling on the same lot.
vii. Per Government Code Section 66314 aAn off-street parking space is not required when a garage, carport, covered parking structure or uncovered parking space is demolished in conjunction with the construction of an ADU or converted to an ADU.11.
118. Utility Connections.
a. General. An accessory unit shall not be considered a new residential use for the purposes of calculating local agency connection fees or capacity charges for utilities, including water and sewer service, unless constructed in conjunction with a new single- family residence.
11 SB 1211 and HCD review of the ordinance, dated September 19, 2025 (comment #6) 8 b. Accessory Units in Existing Space. For accessory units within an existing primary dwelling, garage, or other accessory structure, the city shall not require an applicant to install a new or separate utility connection directly between the accessory unit and utility or impose a related connection fee or capacity charge. c. Attached and Detached Accessory Dwelling Units. Consistent with California Government Code Section 66324 66013, a utility connection may be subject to a connection fee or capacity charge that shall be proportionate to the burden of the proposed accessory dwelling unit, based upon either its size or the number of its plumbing fixtures, upon the water or sewer system. This fee or charge shall not exceed the reasonable cost of providing this service.
d. Fire Sprinklers. Accessory units shall not be required to provide fire sprinklers if they are not required for the primary residence dwelling. The construction of a dwelling unit shall not trigger a requirement for fire sprinklers to be installed in the existing primary dwelling. The prohibition on requiring fire sprinkler installation described above shall also apply to JADUs.12
129. Septic Tank Disposal System.
a. In areas where septic tank disposal systems are allowed due to lack of sanitary sewer lines, detached accessory dwelling units shall be served by separate and independent septic tank sewage disposal systems. All leach lines shall be designed and installed in accordance with current septic system requirements of the county of Monterey health department.
b. In other areas of the city, accessory dwelling units shall be connected to the sanitary sewer system through the existing lateral line serving the primary dwelling.

10. Deed Restrictions.
a. Deed Restriction Required. Before obtaining a building permit for an accessory unit, the property owner shall file with the county recorder a declaration of restrictions containing a reference to the deed under which the property was acquired by the current owner. The deed restriction shall state that:
i. The accessory unit may not be sold separately from the primary dwelling. ii. The accessory unit is restricted to the approved size as set forth in subsection (C)(5) of this section.
12 SB 543
9 iii. The accessory unit shall not be rented for a period of less than thirty-one days. iv. Binding on Future Owners. The above declarations shall be binding upon any successor in ownership of the property. Lack of compliance shall be cause for code enforcement and/or revoking the city’s approval of the accessory unit. 1311. Fees.
a. Impact fees shall not be imposed on an accessory dwelling unit less than seven hundred fifty square feet of interior livable area in size. b. Impact fees charged for an accessory dwelling unit of seven hundred fifty square feet or more shall be charged proportionately in relation to the square footage of the primary dwelling. (Ord. 2023-06 § 3 (Exh. 1), 2023; Ord. 2021-05 § 10, 2021; Ord. 2020-07 § 2, 2020; Ord. 2020-06 § 2 (Exh. A), 2020)

14. Ownership and Rental Restrictions.
a. ADUs and JADUs cannot be rented for terms of fewer than 30 days. b. An ADU may not be sold separately from the primary dwelling unless done so in accordance with Government Code Section 66341.

15. Occupancy-State of Emergency
a. In counties subject to a gubernatorial state of emergency on or after February 1, 2025, a certificate of occupancy for an ADU can be issued even if the primary dwelling has not yet been rebuilt if certain conditions are met including but not limited to if the primary dwelling was substantially damaged or destroyed by an event referenced in the state of emergency proclamation.13

16. Additional Junior Dwelling Unit (JADU) Requirements14 a. JADU Entryway
If a permitted junior accessory dwelling unit does not include a separate bathroom, the permitted junior accessory dwelling unit shall include a separate entrance from the main entrance to the structure, with an interior entry to the main living area. b. JADU Tenancy
(1) The owner of the primary dwelling must reside on the property, either in the JADU or the primary dwelling.
13 AB 462
14 AB 1154
10 (2) The above requirement for JADUs shall be lifted if the JADU has its own private bathroom, allowing a property owner to rent out both the primary dwelling and the JADU.
c. JADU Efficiency Kitchen
Junior accessory dwelling unit shall include an efficient kitchen, which shall include all of the following:
(1) A cooking facility with appliances.
(2) A food preparation counter and storage cabinets that are of reasonable size in relation to the size of the junior accessory dwelling unit. d. Deed Restrictions for JADUs
A recorded deed restriction is required for the creation of a JADU and shall include the following:
(1) A prohibition on the sale of the JADU separate from the sale of the single- family dwelling, including a statement that the deed restriction may be enforced against future purchasers; and
(2) A restriction on the size and attributes of the JADU that conforms with this section.

Section 3. California Environmental Act (CEQA).

The proposed project is exempt from the California Environmental Quality Act (CEQA) under Section 15061(b)(3) as the adoption of the ordinance will have no reasonable possibility that the project will have a significant effect on the environment. Because the proposed action merely updates the Municipal Code to clarify that certain housing types are allowed in certain residential zones, subject to a use permit and project-specific environmental review as necessary, there is no possibility that the activity in question may have a significant effect on the environment. No further environmental review is necessary.

Section 4. Severability.

It is the intent of the City Council of the City to supplement applicable state and federal law and not to duplicate or contradict such law and this ordinance shall be construed consistently with that intention. If any section, subsection, subdivision, paragraph, sentence, clause, or phrase of this ordinance, or its application to any person or circumstance, is for any reason held to be invalid or unenforceable, such invalidity or unenforceability shall not affect the validity or enforceability of the remaining sections, subsections, subdivisions, paragraphs, sentences, clauses, or phrases of this ordinance, or its application to any other person or circumstance. The City Council declares that it would have adopted each section, subsection, subdivision, paragraph, sentence, clause, or phrase independently, even if any one or more other sections, subsections, subdivisions, paragraphs, sentences, clauses, or phrases were declared invalid or unenforceable. 11 Section 5. Effective Date.

This ordinance shall be in full force and effect thirty (30) days following its passage and adoption, as certified by the City Clerk.

This ordinance was introduced and read on the 18th day of February 2026 and was finally adopted on the 3rd day of March 2026, by the following vote:

AYES: COUNCILMEMBERS:

NOES: COUNCILMEMBERS:

ABSENT: COUNCILMEMBERS:

ABSTAIN: COUNCILMEMBERS:
_______________________________
Bruce Delgado, Mayor
ATTEST:
_______________________________
Anita Sharp, Deputy City Clerk
12 January 15, 2026 Item No. 13a
Honorable Mayor and Members
of the Marina City Council
City Council Meeting
of February 18, 2026

CITY COUNCIL TO RECEIVE AN INFORMATIONAL UPDATE AND
PHASING OPTIONS FOR THE CITY PARK AT THE DUNES.

REQUEST:

This staff report is provided as an informational update to the City Council regardin g the final design of the City Park at the Dunes prior to going out to bid and an update of the cost estimates to construct the park. The presentation will also include phasing options.

BACKGROUND:

On December 16, 2025, the City Council received an update on the design for the City Park at the Dunes, as well
as updated cost estimates. The estimates exceed the current budget so Council requested the item to be brought back with options for phasing.

Previously, the City Council approved the final design for the 13.5-acre City Park at the Dunes.

Components of the park include: an all-inclusive playground, exercise & fitness court, two pickleball courts, one tennis court, multi-sport court, two sand volleyball courts, picnic and pavilion areas, res
trooms, great lawn open area, preservation of existing heritage and landmark trees, retention pond areas, memorial garden, outdoor amphithea ter (seats 600), walking paths, FORTAG and bike trail connection, multiple parking areas, and a connection to the Recreation and Aquatics Center.

The park project is currently separated into two phases, with the majority of the park included in phase 1 and the amphitheater and second parking lot included in phase 2. Today’s item will consider additional phases due to funding constraints.

The landscape architect, the Wallace Group is nearing 100% completion of the final construction documents. The project is scheduled to go out to bid in late January 2026 with construction tentatively planned to start spring 2026.

One of the highlights of the City Park at the Dunes is the 34,450 square feet all-inclusive playground. The playground is unique in that it is specifically designed for people of all abilities and ages. The actual playground features and components are design ideas submitted by the communit
y and then the actual playground will be constructed onsite by the community in a community build project. Leathers & Associates provides design services, project management and construction supervision for the community build playground project.

In April 2025, the Recreation & Cultural Services Department , in collaboration with the All- Inclusive Playground Steering Committee, the Recreation & Cultural Services Commission, and Leathers & Associates, hosted design day. This effort included school site visits, focus groups, and a large community engagement event to gather input and inspire the playground’s design.

Over 1,300 students and residents contributed ideas for the playground design. 1 On November 8, 2025, the City held a reveal day event, unveiling the 34,450 -square-foot all- inclusive playground design. More than five hundred community members attended, enjoying sensory activities, prize drawings, DJ entertainment, and hands -on creation of their own mini “playgrounds in a bottle,” while viewing the design inspired by local youth and families.

ANALYSIS
The park is included as a capital improvement project (QLP 2017) in the city’s fiscal year 2025- 26 and 2026 -27 budget. The CIP estimated the costs for completion of the total park including the all-inclusive playground would be about $22,600,000 . At this point, $10.4 million has been allocated to fund the parks construction.

The current estimate for completion of phase one is approximately $1 9.5 million, which includes approximately $2 million for the inclusive playground . This cost has increased from earlier estimates due to undergrounding a power line that goes through the park and other updated engineering, infrastructure, and grading costs. Total costs for underground infrastructure (water, sewer, storm drain, electrical, and lighting) is estimated to be approximately $4.8 million.

Staff has been working with the landscape architects for the project, the Wallace Group to look at options for sub -phasing of phase one and other value engineering options . City s taff and Wallace Group staff are prepared to present these ideas as well as other additional funding options to the Council to close the gap between the estimated construction costs for phase one and allocated funding.

FISCAL IMPACT:

Currently, $5.6 million has been funded for the project . Marina Community Partners is obligated to fund another $4.8 will when the park is ready to begin construction, bringing the total current available funds to $10.4 million.

A funding shortfall of $ 8.9 million in phase 1 needs to be addressed by either value engineering some of the components in phase 1, sub -phasing some of the components of phase one, or allocating additional funding from other sources..

EXHIBITS:

Exhibit A – Overall Site Plan
Exhibit B – PowerPoint Presentation
Respectfully submitted,
_____________________________
Ismael Hernandez
Public Works Director
City of Marina
____________________________________
Layne Long
City Manager
City of Marina
2 DUNES PARK OVERALL SITE PLAN
01 DESIGN DEVELOPMENT
9 8
10 LEGEND
1 PHASE 1 PARKING
13 PHASE 2 PARKING
14 AMPHITHEATER
15 PHASE 2 RESTROOM & CONCESSION

BUILDING
2 ADJACENT PARKING AT AQUATIC CENTER (N.A.P .)
3 FORTAG BIKE TRAIL
4 FORMAL ARRIVAL EXPERIENCE
5 SPORT COURTS
6 GREAT LAWN
7 COVERED PICNIC AREAS
8 PHASE 1 RESTROOM
9 PLAYGROUND
10 FITNESS COURT
11 BIORETENTION AREA
12 MEMORIAL GARDEN
PHASE 1
PHASE 2
1 2
3 4
55 1112
13 14
15 6 7
7 7
5 5

EXHIBIT A
3 DUNES PARK PHASE 2 SITE PLAN
02 DESIGN DEVELOPMENT
LEGEND
1 PARKING
2 STAGE
3 TIERED SEATWALLS W/ ARTIFICIAL TURF
4 OVERFLOW SEATWALLS
5 UPPER VIEW TERRACE W/ DINING TABLES
7 RESTROOM & CONCESSION BUILDING
6 OVERLOOK BAR-HEIGHT TABLES
8 VEHICULAR STAGE ACCESS PATH W/ GRASS PAVERS
3 2
4 5
5 6
7 8
1 EXHIBIT A
4 DUNES PARK
03 SEATING, SCULPTURE AND SIGNAGE CONCEPTS

MATERIALS AND FURNISHINGS

FORM INSPIRATION

MATRIALS &

FURNISHINGS

AMPHITHEATER

INSPIRATION

EXHIBIT A
5 MARINA

DUNES PARK
Budget and phasing discussion

EXHIBIT B
6 Intro &
Recap
Last meeting -from City Council
• Generally positive about the park design and recent updates • Noted concerns about the schedule and overall budget
• Reluctant to provide additional funding but open to further justification • Requested a cost estimate limited to the playground and parking lot • Asked for clarification on feasibility of a volunteer-built playground • Raised potential mosquito issues near the basins
• Asked whether parking capacity is sufficient for events • Prioritizes sports courts, especially tennis
• Looks forward to project construction

EXHIBIT B
7 Objectives
• Address Council’s comments
• Choose phasing concept/park priorities
• Updates on timeline

EXHIBIT B
8 MARINA DUNES PARK: PARKING STUDY 4
46 96
17 23
12 13
144
29 Legend
Phase 1 Parking Lot & Off-site Parking
113 Spaces
48 Spaces
Street Parking
46 Spaces
Phase 2 Parking Lot
144 Spaces
Sports & Aquatic Center Parking Lot
29 Spaces
Sports & Aquatic Center Expansion
Parking Lot

TOTAL AVAILABLE PARKING AT FULL
BUILD-OUT: 380 SPACES

EXHIBIT B
9 5COST COMPARISON: RECENTLY BID PARKS WITHIN THE REGION

EXHIBIT B
10 6UTILITIES & REQUIRED INFRASTRUCTURE
Legend
Existing
Storm Drain
Sanitary Sewer
Water
Recycled Water
Dry Utilities
Storm Drain
Sanitary Sewer
Water
Recycled Water
Electrical
$4.7M
Includes:
• Underground utilities
• Detention Basins
• Parking Lots
• Required retaining walls for
tree
preservation

EXHIBIT B
11 7COST CONTINUUM

THE COST CONTINUUM
• Fewer improvements
• More phases
• Longer implementation time
• Higher design fee & longer time
• Inflated costs (3-5% per year inflation + 15% mobilization + cost of temporary improvements & removal)
• More improvements
• Fewer phases
• Shorter implementation time
• Current design fee & timeline
• Less long-term cost/ more immediate capital cost
Option 3 Option 2B Option 2A Option 1

EXHIBIT B
12 8FURNISHINGS COST CONT.

THE COST CONTINUUM

EXHIBIT B
13 9VE OPTION 1
$21.5M-$22.5M
Amenities Not Included
• Parking lot at Sand Dune Ave.
• Inclusive playground
• Main entry allée/connection to
Sports & Aquatic Center
• Central art courtyard
• Entrance plaza
• Great Lawn
• Phase one restroom
• Four group picnic areas
• National Fitness Court
• Family activity area
• Vine trellis
• Pickleball courts
• Tennis court
• Sand volleyball courts
• Multisport court
• Raised boardwalk
• Detention basins
• Dune gardens
• Signage
• Walled garden
• Memorial trails
• Multi-modal trail
Amenities Included
• Amphitheater
• Phase 2 restroom & concession
stand
Bid Alts – ($1.8M)
Future cost - $6.5M-$7.5M

EXHIBIT B
14 10VE OPTION 2A
Amenities Not Included
• Demolish, grade & hydroseed overall
site
• Parking lot at Sand Dune Ave.
• Inclusive playground
• Main entry allée/connection to Sports
& Aquatic Center
• Central art courtyard
• Entrance plaza
• Great Lawn
• Phase one restroom
• Four group picnic areas
• National Fitness Court
• Family activity area
• Pickleball courts
• Tennis court
• Detention basins
• Dune gardens
• Multi-modal trail
Amenities Included
• Vine trellis
• Sand volleyball courts
• Multisport court
• Signage
• Walled garden
• Memorial trails
• Raised boardwalk
• Amphitheater
• Phase 2 restroom & concession
stand
$18.5M-$19.5M
Bid Alts – ($800k)
Future cost - $15M-$16M

EXHIBIT B
15 11VE OPTION 2B
Amenities Not Included
• Demolish, grade & hydroseed overall
site
• Parking lot at Sand Dune Ave.
• Inclusive playground
• Main entry allée/connection to Sports
& Aquatic Center
• Central art courtyard
• Entrance plaza
• Great Lawn
• Phase one restroom
• Three group picnic areas
• National Fitness Court
• Family activity area
• Detention basins
• Dune gardens
• Multi-modal trail
Amenities Included
• Pickleball courts
• Tennis court
• Vine trellis
• Sand volleyball courts
• Multisport court
• Signage
• Walled garden
• Memorial trails
• Raised boardwalk
• Amphitheater
• Phase 2 restroom & concession
stand
$17M-$18M
Bid Alts – ($600k)
Future cost - $15.5M-$16.5M

EXHIBIT B
16 12VE OPTION 3
Amenities Not Included
• Demolish, grade & hydroseed overall
site
• Parking lot at Sand Dune Ave.
• Inclusive playground
• Entrance plaza
• Phase one restroom
• One group picnic areas
• National Fitness Court
• Family activity area
• Detention basins
• Multi-modal trail
Amenities Included
• Central art courtyard
• Main entry allée/connection to Sports
& Aquatic Center
• Pickleball courts
• Tennis court
• Vine trellis
• Great Lawn
• Sand volleyball courts
• Multisport court
• Signage
• Walled garden
• Dune gardens
• Memorial trails
• Raised boardwalk
• Amphitheater
• Phase 2 restroom & concession
stand
$12.5M-$13.5M
Bid Alts – ($350k)
Future cost - $22M-$23M

EXHIBIT B
17 13VE OPTIONS BAR GRAPH

EXHIBIT B
18 14COST CONTINUUM TO CLOSE (REPEAT)

THE COST CONTINUUM
• Fewer improvements
• More phases
• Longer implementation time
• Higher design fee & longer time
• Inflated costs (3-5% per year inflation + 15% mobilization + cost of temporary improvements & removal)
• More improvements
• Fewer phases
• Shorter implementation time
• Current design fee & timeline
• Less long-term cost/ more immediate capital cost
Option 3 Option 2B Option 2A Option 1

EXHIBIT B
19 February 11, 2026 Item No. 13b

Honorable Mayor and Members City Council Meeting
of the Marina City Council of February 18, 2026

CITY COUNCIL CONSIDER ADOPTING RESOLUTION NO. 2026 -,

RECEIVING INFORMATION AND PRESENTATION BY SUSTAINABLE

MARINA PROPOSING A FOOD GARDEN EAGLE SCOUT PROJECT ON

CITY PROPERTY, APPROVING THE PROJECT AND SITE LOCATION , AND

AUTHORIZING THE CITY MANAGER TO NEGOTIATE AND EXECUTE AN

AGREEMENT OR MOU FOR ORGANIZATION TO PROVIDE VOLUNTEERS TO DEVELOP AND MAINTAIN THE PROJECT.

REQUEST:

It is requested that the City Council consider adopting Resolution No. 2026-_:

1. Receiving an informational presentation by Sustainable Marina volunteer Scout Amelia Forstell proposing a Food Garden Eagle Scout Project to be developed by Sustainable Marina on City- owned property adjacent to the Marina Library; and

2. Approving the project and site location; and

3. Authorizing the City Manager to negotiate and execute an agreement or MOU with Community for Sustainable Monterey County/C4SM for the organization to provide volunteers for development and maintenance of the Eagle Scout Project, subject to review and approval by the City Attorney.

BACKGROUND:

Sustainable Marina or C4SM, a local action group of Communities for Sustainable Monterey County, in partnership with Marina Eagle Scout volunteer Amelia Forstell, proposes the development of a small food garden on City property.

The proposed project is intended to support environmental stewardship, youth leadership, and community engagement through the creation of a publicly accessible food garden maintained by Sustainable Marina community volunteers.

ANALYSIS:

Project Description
Food Garden Eagle Scout Project

The proposed food garden would be constructed as part of an Eagle Scout service project led by Amelia Forstell, with ongoing support from Sustainable Marina and community volunteers. The garden would include food-producing plants intended for community harvesting and educational use.

Location
The proposed site is located on City property adjacent to the gathering tables in front of the Marina Library.
• The north and west boundaries are defined by existing sidewalks surrounding the parking lot. • The east and south boundaries are defined by mature Cypress trees located at the site. • Site Photo Attached.
• Site Address: 190 Seaside Circle Marina, CA

1 Site Layout
The food garden is proposed to be located between a proposed children’s sensory garden area and the Marina Library parking lot on City property.

Project Timeline
• Winter-Spring 2026: Eagle Scout Project weekend for installation of food plants • Spring 2026: Sustainable Marina installs irrigation drip lines • Spring 2026: City inspection of drip system; volunteers install mulch • Ongoing Maintenance:
o Sustainable Marina and community volunteers will water, prune, harvest, and maintain food plants every Saturday and on weekdays as needed, similar to operations at the adjacent Oak Woodland Community Garden.
o Plant arrangements may evolve over time, with routine replacement consistent with standard garden maintenance practices.

Agreement/MOU
Staff recommends entering into an agreement or memorandum of understanding (MOU) with Community for Sustainable Monterey County/C4SM for the organization to provide volunteers to build the project and maintain it. The agreement/MOU will include both insurance and indemnification requirements, insuring and indemnifying the City. Volunteers will be required to complete City standard volunteer requirements, including live-scan clearance, as applicable.

FISCAL IMPACT:

There is no fiscal impact to the City. The project will be funded entirely through the non-City sources.

Estimated Project Budget (100% Non-City Funds):
• $1,500 – Food plants and gopher baskets
• $3,000 – Irrigation connection to existing City water coupler on site • $1,000 – Contingency
• $5,500 – Total Estimated Cost
CONCLUSION:

This request is submitted to the City Council to consider approving the Food Garden Eagle Scout Project and the site location of the food garden.

ATTACHMENTS:

Exhibit A – Food Garden Eagle Scout Project & Site Map
Respectfully submitted,
____________________________
Andrea Diallo
Recreation Manager
City of Marina
REVIEWED/CONCUR:
_____________________________
Layne Long
City Manager
City of Marina
2 RESOLUTION N0. 2026-

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MARINA

RECEIVING AN INFORMATIONAL PRESENTATION AND APPROVING THE FOOD GARDEN

EAGLE SCOUT PROJECT AND SITE LOCATION

WHEREAS, the City of Marina has received an informational presentation by the Sustainable Marina volunteers to propose a food garden Eagle Scout project, and

WHEREAS: Sustainable Marina and community volunteers will develop and maintain the food garden on City-owned property adjacent to the Marina Library.

NOW, THEREFORE, BE IT RESOLVED BY THE City Council of the City of Marina that it does hereby approves the Food Garden Eagle Scout Project development and the site location on City- owned property.

PASSED AND ADOPTED by the City Council of the City of Marina at a regular meeting held on the 18th day of February 2026 by the following vote:

AYES, COUNCIL MEMBERS:

NOES, COUNCIL MEMBERS:

ABSENT, COUNCIL MEMBERS:

ABSTAIN, COUNCIL MEMBERS:

___________________________
Bruce Delgado, Mayor

ATTEST:

_________________________
Anita Sharp, Deputy City Clerk
3 EXHIBIT A
4 EXHIBIT A
5 February 11, 2026 Item No. 13c

Honorable Mayor and Members City Council Meeting
of the Marina City Council of February 18, 2026

CITY COUNCIL CONSIDER ADOPTING RESOLUTION NO. 2026 -, RECEIVING

INFORMATION AND PRESENTATION BY SUSTAINABLE MARINA PROPOSING A CHILDREN’S SENSORY GARDEN PROJECT ON CITY PROPERTY ,
APPROVING THE CONCEPTUAL CHILDRENS’ S ENSORY GARDEN AND SITE

LOCATION, AND AUTHORIZING THE CITY MANAGER TO NEGOTIATE AND

EXECUTE AN AGREEMENT OR MOU FOR ORGANIZATION TO PROVIDE VOLUNTEERS TO DEVELOP AND MAINTAIN THE PROJECT.

REQUEST:

It is requested that the City Council consider approving Resolution No. 2026-_:

1. Receiving an informational presentation regarding a proposed Children’s Sensory Garden Project to be developed by Community for Sustainable Marina (C4SM) community volunteers on City-owned property adjacent to the Marina Library; and

2. Approving the project and site location; and

3. Authorizing the City Manager to negotiate and execute an agreement or MOU with Community for Sustainable Monterey County/C4SM for the organization to provide volunteers for development and maintenance of the Sensory Garden Project, subject to review and approval by the City Attorney.

BACKGROUND:

Sustainable Marina or C4SM, a local action group of Communities for Sustainable Monterey County, in partnership with Sustainable Marina community volunteers propose the development of a Children’s Sensory Garden on City-owned property.

The proposed project is designed to enhance community engagement through the creation of a publicly accessible Children’s Sensory Garden, to be maintained by Sustainable Marina volunteers.

The Children’s Sensory Garden is intended to provide opportunities for children and families to connect with nature through food and wildflower garden elements, fostering curiosity, exploration, and environmental literacy. The project would complement and function as an extension of the Oak Woodland Community Garden.

ANALYSIS:

Project Description
The proposed project consists of a 40 -foot by 40 -foot outdoor area designed to provide children and families with engaging amenities that encourage play, exploration, and learning about the natural environment. The space is intended to support hands -on interaction with nature while fostering shared experiences among children, family, and the broader community.

Planned amenities include:
• Electrical services
• Water services for garden maintenance and interactive features • Mud kitchen to encourage sensory play
• Seating elements including benches and chairs
• Natural play features such as stumps, logs and boulders for climbing and exploration • Native wildflower plantings to provide visual, tactile, and seasonal interest • Vegetable garden to offer opportunities for growing, tasting, and smelling edible plants 1 Location
The proposed site is located on City property adjacent to the gathering tables in front of the Marina Library.
• The north and west boundaries are defined by existing sidewalks surrounding the parking lot. • The east and south boundaries are defined by mature Cypress trees located at the site. • Due to tree canopy coverage, aerial imagery provides limited visibility; ground -level reference photos have been provided for visualization.

Site Layout
The food garden is proposed to be located between a planned children’s sensory garden area and the Marina Library parking lot. Plant arrangements may evolve over time, with routine replacement consistent with standard garden maintenance practices.

Project Timeline
• Spring 2026: Children’s Sensory Garden Project weekend for installation of vegetables and wildflowers
• Spring 2026: Sustainable Marina installs irrigation drip lines • Spring 2026: City inspection of drip system; volunteers install mulch • Ongoing Maintenance:
o Sustainable Marina and community volunteers to water, prune, harvest, and maintain plants every Saturday and on weekdays as needed, similar to operations at the adjacent Oak Woodland Community Garden.

Agreement/MOU
Staff recommends entering into an agreement or memorandum of understanding with Community for Sustainable Monterey County/C4SM for the organization to provide volunteers to build the project and maintain it. The agreement/MOU will include both insurance and indemnification requirements, insuring and indemnifying the City. Volunteers will be required to complete City standard volunteer requirements, including live-scan clearance, as applicable.

FISCAL IMPACT:

There is no fiscal impact to the City. The project costs will be funded through the non -City sources, including community-based fundraising efforts such as Monterey County Gives.

To date, Monterey County Gives has raised $25,000 in support of the project.

Estimated Project Budget (100% Non-City Funds):
• $5,000 – Electrical Infrastructure
• $2,000 – Water supply improvements
• $10,000 – Mud kitchen, tables, chairs, boulders, and plant materials • $3,000 - Contingency
• $20,000 – Total Estimated Project Cost

CONCLUSION:

This request is submitted for the City Council to consider approving the Children’s Sensory Garden Project and the site location on City property.

ATTACHMENTS:

Exhibit A: Marina Children’s Garden Presentation
Exhibit B: Children’s Sensory Garden Project Site Map

2 Respectfully submitted,

____________________________
Andrea Diallo
Recreation Manager
City of Marina

REVIEWED/CONCUR:

_____________________________
Layne Long
City Manager
City of Marina

3 RESOLUTION N0. 2026-

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MARINA
RECEIVING AN INFORMATIONAL PRESENTATION AND APPROVING THE CHILDREN’S

SENSORY GARDEN PROJECT AND SITE LOCATION

WHEREAS, the City of Marina has received an informational presentation by the Sustainable Marina volunteers to propose a Children’s Sensory Garden project, and

WHEREAS: Sustainable Marina and community volunteers will develop and maintain the Children’s Sensory Garden on City-owned property adjacent to the Marina Library.

NOW, THEREFORE, BE IT RESOLVED BY THE City Council of the City of Marina that it does hereby approves the Children’s Sensory Garden Project development and the site location on City-owned property.

PASSED AND ADOPTED by the City Council of the City of Marina at a regular meeting held on the 18th of February 2026 by the following vote:

AYES, COUNCIL MEMBERS:

NOES, COUNCIL MEMBERS:

ABSENT, COUNCIL MEMBERS:

ABSTAIN, COUNCIL MEMBERS:

___________________________
Bruce Delgado, Mayor

ATTEST:

_________________________
Anita Sharp, Deputy City Clerk

4 EXHIBIT A
5 EXHIBIT A
6 EXHIBIT A
7 EXHIBIT A
8 EXHIBIT A
9 EXHIBIT A
10 EXHIBIT A
11 EXHIBIT A
12 EXHIBIT A
13 EXHIBIT A
14 EXHIBIT A
15 EXHIBIT B
16 February 12, 2026 Agenda Item: 13d

Honorable Mayor and Members City Council Meeting
Of the Marina City Council of February 18, 2026

CITY COUNCIL TO RECEIVE UPDATED INFORMATION ON
FUNDING OPTIONS FOR CITY FACILITIES INCLUDING: POLICE
AND FIRE STATIONS; CITY HALL AND COUNCIL CHAMBERS, AND
COMMUNITY CENTER.

RECOMMENDATION: It is recommended that the City Council:

1. Receive updated information on facility funding options; and

2. Provide direction to the City Manager on strategies for the construction and funding options for city facilities including police and fire stations; city hall and council chambers; and community center.

BACKGROUND
On September 23, 2025, the City Council held a special Study Session to discuss a pathway forward on meeting the needs for new City facilities, including a police station, fire station, emergency operations center, community center facilities, and new city hall and council chamber and potential funding strategies for constructing these new facilities. The original information, along with an update was presented to the City Council on December 16, 2025.

Following the September 2025 discussion, Council directed staff to establish a City Facility Citizens Advisory Committee (CFCAC) to work with Tripepi Smith, staff, and other consultants as appropriate; initiate community outreach efforts, including tours, public meetings, and engagement opportunities to involve residents early in the process; conduct further research into funding mechanisms such as bonds and utility users tax options, potential exemptions, and case studies from other cities; and provide Council with preliminary analysis of voter demographics, past election results, and a summary of the City’s available facility sites and also provide staff review and comments to a 10 -page document provided by citizens regarding questions about the Measure U bond. The resulting City Facilities Citizens Advisory Committee Report and Recommendations was presented to the City Council on January 21, 2026.

At this same meeting, additional information was requested , including evaluating the utility user tax ( UUT) supporting information, identifying utilities that could be taxed, and reviewing potential tax exemptions.

ANALYSIS
Staff worked with Keyser Marston to update the utility user tax estimates by extracting PG & E data that was specific to Marina, requesting average commercial and residential revenues from the Marina Coast Water District; and using the C ity’s franchise fee information to estimate potential cable revenues. The updated information is included in the following exhibits:
• Estimated Net Facility Costs (EXHIBITS A, B)
Staff conferred with our architectural consultants, RNT to update the construction costs of the facilities. The estimated facility costs in current dollars are included in EXHIBIT A. RNT estimates that construction costs will increase by 15% if construction were to begin in 2027. This represents an increase in costs for the police station, fire station, and city hall/council chambers by an estimated additional $8.2 million which will bring the total facility costs to $63. 3 million (EXHIBIT B). Less reductions of impact and other previous funding brings the total cost to an estimated $48.7 million. These amounts also do not include an estimated $6.0 million in potential site acquisition costs.

Other potential funding could include $6.5 million from Preston Park funds and a potential additional $2.6 million in unallocated General Fund balance. However, staff recommends discussing the potential usage of these funds at our Mid -cycle review of our FY year 2025 -26 and 2026 -27 two-year budget, which will likely be brought to Council in May 2026. It is anticipated that an additional $1.5 million may be needed to support groundwater litigation costs, as well as unplanned operating and capital expenditures.

• Utility User Tax Applicability and Exemptions for Nearby Cities (EXHIBIT C) This table provides an overview of the types of utilities that are taxed by other entities and the exemptions that are offered by each City.

• Residential UUT Estimate Based on Estimated Household Costs (EXHIBIT D) This worksheet i ncludes an estimate of the average household utility costs for Non-PG & E C ARE customers, PG & E C ARE Customers, and all households. The utilities include electricity, gas, water, phone/mobile, and cable. The average Non-PG & E CARE household is assumed to have $477 in monthly utility costs, while a PG & E CARE customer is assumed to have $385 in monthly utility costs.

When these are consolidated, the overall average household utility costs are estimated to be $451. A table outlining the estimated monthly and annual UUT costs per household; and the associated revenues at different assessment levels is included on the second half of the worksheet.

• Estimated Potential UUT Revenue Needed to Support Different Bond Capacities (EXHIBIT E)
This worksheet provides information on the amount of utility user tax that would be needed to support different bond levels. This includes estimates for applying the tax to all households at that same rate; and an estimate for exempt ing PG & E C ARE customers. For example, if the City needed a bond issuance for $44 million, a 5% UUT could be levied on all households. If the City chose to provide an exemption to PG & E C ARE customers, a 6.0% UUT would need to be levied to support the same debt service payment.

Additional Key City Council Points for Discussion

• Citizens Advisory Committee Report and Recommendations • City facilities to construct
• Site locations for city facilities
• Mechanism to raise funds including UUT or other tax measures • How much to fund
• Ballot measure timeline

FISCAL IMPACT
There is no fiscal impact currently. The total current cost to build the proposed police station, fire station, city hall, and council chamber is estimated at $55 million ; however, when RNT’s estimate for inflation is applied, these costs could rise to $63.2 million in 2027. When the allocated funding is applied to the inflationary costs, the estimated amount of net facility costs is $48.7 million.

ENVIRONMENTAL REVIEW
The proposed action is exempt from the requirements of the California Environmental Quality Act (CEQA) pursuant to the following: CEQA Guidelines Section 15301 because it is not a “project” as it does not involve any new construction, modification, or physical alteration of any property

CONCLUSION
This request is submitted for City Council consideration.

Respectfully submitted,

_____________________________
Layne Long
City Manager
City of Marina

City Facility Project Costs Partially Funded
Remaining
Needed Funding Notes
City Hall/Council Chamber 21,500,000 12,419,000 9,081,000 Estimated Facility Reserve Funds and Public Facility Impact fees
Police Department 17,500,000 - 17,500,000
Fire Station 16,000,000 2,148,341 13,851,659 Estimated Public Safety Impact Fees Critical Facility Needs 55,000,000 14,567,341 40,432,659 Recreational Campus Hillcrest 7,500,000 1,000,000 6,500,000 Senior Center grant funding Total Facility Needs 62,500,000 15,567,341 46,932,659 (1) Reflects estimated designated or restricted amounts through Fiscal Year 2026-27. This excludes the $6.5 million in unallocated funds from the Preston Park Fund.

The amounts also exclude potential land acquisition costs of $ 6 million.

Estimated Net Facility Costs (1)
Exhibit A
City Facility Project Costs Partially Funded
Remaining
Needed Funding Notes
City Hall/Council Chamber 24,725,000 12,419,000 12,306,000 Estimated Facility Reserve Funds and Public Facility Impact fees
Police Department 20,125,000 - 20,125,000
Fire Station 18,400,000 2,148,341 16,251,659 Estimated Public Safety Impact Fees Critical Facility Needs 63,250,000 14,567,341 48,682,659 Recreational Campus Hillcrest 8,625,000 1,000,000 7,625,000 Senior Center grant funding Total Facility Needs 71,875,000 15,567,341 56,307,659 (1) Reflects estimated designated or restricted amounts through Fiscal Year 2026-27. This excludes the $6.5 million in unallocated funds from the Preston Park Fund.

The amounts exclude potential land acquisition costs of $ 6 million. (2) Inflation estimated at 15%, if construction were to begin in 2027.

Estimated Net Facility Costs, Adjusted for RNT Estimated Inflation (1)(2) Exhibit B
Utility User Tax Applicability and Exemptions for Nearby Cities City of Marina, CA
City UUT Rate Exemptions Gas Electric
Phone /
Mobile Water Sewer Cable Streaming
Waste
Services
Monterey 2% Residential
5% Non-Residential
Any person using electrical and gas services
who qualifies for and participates in the local
electrical and gas corporation “Low Income
Rate Assistance” program (LIRA).

XX X X
Pacific
Grove
5% Enrolled in Social Security Administration's
Supplemental Security Income Program for
the Aged, Blind and Disabled (Title XVI,
Social Security Act, as amended) and have
household income less than $12,000 per
year.

XX X X X
Salinas 6%: electric, gas,
water
5% phone, cable
Head of a household is sixty-five years old or
older.

X X X X X may fall
under "video
services"
Santa Cruz 8.50% Seniors and PG&E CARE program
enrollees: exempts first $100 per month of
electricity and gas charges.

X X X X X X may fall
under "video"
X
Watsonville 5.5%:
telecommunications /
video; 6%: water, gas,
electric
Gas and electric exemptions:
a) PG&E CARE Program enrollees
b) 65 years old or older and head of the
household;
c) Eligible for Social Security
Administration’s Supplemental Income
Program for the Aged, Blind and Disabled

XX X X X X
Seaside 6% a) 65 years old or older or
b) Eligible for Social Security
Administration’s Supplemental Income
Program for the Aged, Blind and Disabled

XX X X X
A
pplicability of Utility User Tax
Prepared by Keyser Marston Associates, Inc.

Filename: UUT estimate 2-6-26; applicability; 2/7/2026; dd: Page 6 of 9 Exhibit C
Residential UUT Estimate Based on Estimated Per Household Utility Costs City of Marina, CA
Number Households (1) 72% 5,915 28% 2,339 100% 8,254
Residential Utility Use
Monthly Utility Cost Avg per HH (2)
Total Avg per HH (2)
Total Avg per HH Total
Electric $166 $982,000 $90 $209,000 $144 $1,191,000
Gas $74 $435,000 $59 $137,000 $69 $572,000
Water $82 $486,000 $82 $192,000 $82 $678,000
Phone / Mobile $110 $651,000 $110 $257,000 $110 $908,000 Cable $45 $266,000 $45 $105,000 $45 $371,000
Total Per Month $477 $2,820,000 $385 $900,000 $451 $3,720,000 Annual Utility Cost $33,800,000 $10,800,000 $44,600,000 Monthly UUT from Residential
1% UUT 1% $4.80 $28,200 $3.90 $9,000 $4.50 $37,200
5% UUT 5% $23.80 $141,000 $19.30 $45,000 $22.50 $186,000 7% UUT 7% $33.40 $197,400 $27.00 $63,000 $31.50 $260,400 Annual UUT from Residential
1% UUT 1% $58 $340,000 $47 $110,000 $55 $450,000
5% UUT 5% $286 $1,690,000 $231 $540,000 $270 $2,230,000 7% UUT 7% $401 $2,370,000 $325 $760,000 $378 $3,120,000 (1) Reflects the number of occupied housing units per DOF as of January 1, 2025. See note 3 regarding estimated PG&E CARE participation. (2) See Table 3 for information on estimated monthly cost per household. (3) The percentage of households participating in PG&E CARE for Monterey County is estimated to be 28% based on data available from the Low Income Oversight Board. Data specific to Marina was not available. Marina was assumed to have a similar CARE Program rate of participation to the County as a whole.

Non-PG&E Care PG&E Care (3) All Households
Prepared by Keyser Marston Associates, Inc.

Filename: UUT estimate 2-6-26; Res UUT; 2/7/2026; dd: Page 2 of 9 Exhibit D
Estimate of Potential Utility User Tax (UUT) Revenue
City of Marina, CA
Note: Revised Approach to Estimating UUT Based on Estimated Utility Cost (vs actual UUT for other cities with prior method) Households
Not Eligible for

PG&E CARE
Households
Eligible for

PG&E CARE
Non-
Residential
Uses
Total UUT
Revenue
Estimate
Assuming No
UUT
Exemptions

1.0% $340,000 $110,000 $140,000 $590,000 $9,000,000 $7,000,000 $7,000,000

2.0% $680,000 $220,000 $280,000 $1,180,000 $18,000,000 $15,000,000 $14,000,000

3.0% $1,020,000 $330,000 $420,000 $1,770,000 $27,000,000 $22,000,000 $21,000,000

4.0% $1,360,000 $440,000 $560,000 $2,360,000 $36,000,000 $29,000,000 $29,000,000

5.0% $1,690,000 $540,000 $690,000 $2,920,000 $44,000,000 $36,000,000 $36,000,000

6.0% $2,040,000 $660,000 $840,000 $3,540,000 $54,000,000 $44,000,000 $43,000,000

7.0% $2,370,000 $760,000 $970,000 $4,100,000 $62,000,000 $51,000,000 $50,000,000

7.5% $2,550,000 $825,000 $1,050,000 $4,425,000 $67,000,000 $55,000,000 $54,000,000 Notes
(2) Reflects preliminary estimates by the City's Municipal Advisor, Fieldman, Rolapp & Associates. KMA is not advising or recommending any action be taken by the City with respect to any prospective new or existing municipal financial products or issuance of municipal securities (including with respect to the structure, timing, terms, and other similar matters concerning such financial products or issues). KMA is not acting as a municipal advisor and does not assume any fiduciary duty, including, without limitation, a fiduciary duty pursuant to Section 15B of the Exchange Act.

Annual Revenue Estimate,
if No Exemptions (1)
Residential
Preliminary Estimate of
Bond Capacity (2)
If Households
Eligible for
PG&E Care
Exempted
Bond Capacity Estimate
Using Prior Method (based
on actual UUT for other cities
- effectively assumes similar
exemptions to the other
cities), from Table 8.

Potential
UUT Rate
(1) See Tables 2 to 4 for supporting data. Estimates for 2%, 3%, 4%, 6%, and 7.5% UUT rates are based on multiples of the estimate at a 1% UUT rate. Estimates assume UUT applies to all major utilities including water, gas, electric, telecommunications, cable. Internet cannot be taxed.

Prepared by Keyser Marston Associates, Inc.

Filename: UUT estimate 2-6-26; Rev Sum; 2/7/2026; dd: Page 1 of 9 Exhibit E
February 11, 2026 Item No. 13(e)
Honorable Mayor and Members City Council Meeting
of the Marina City Council of February 18, 2026
CITY COUNCIL TO ADOPT RESOLUTION NO. 2026 -, D ECLARING

CITY-OWNED PROPERTY IDENTIFIED AS ASSESSOR PARCEL
NUMBER 031-251-005 (1.33 ACRES) AS “SURPLUS LAND ” PURSUANT TO GOVERNMENT CODE SECTION 5422 1(B)(1); AND AUTHORIZING

THE CITY MANAGER TO COMPLY WITH ALL SURPLUS LAND ACT

REQUIREMENTS, INCLUDING ISSUING A NOTICE OF

AVAILABILITY, NEGOTIATING WITH INTERESTED PARTIES, AND

RETURNING TO CITY COUNCIL WITH RECOMMENDATIONS FOR
FINAL DISPOSITION.

REQUEST:

It is requested that the City Council adopt Resolution No. 2026-,to:

1. Make findings that Assessor Parcel Number 031-251-005 (located on CDEC Hill), a 1.33- acre parcel containing six former Army barracks buildings, is not necessary for the City's use; and

2. Declare the property as “surplus land” pursuant to the Surplus Land Act (Government Code §§ 54220-54234); and

3. Authorize the City Manager to comply with all Surplus Land Act requirements, including issuing a Notice of Availability to eligible entities, negotiating with interested parties , as necessary, and returning to City Council with recommendations for final disposition.

BACKGROUND:

The City of Marina owns a 1.33-acre parcel containing six (6) blighted former U.S. Army barracks buildings identified as Assessor Parcel Number 031 -251-005 (former Fort Ord Parcel L 23.1.5), located in Marina, California. EXHIBIT A (Assessor’s Parcel Map and Parcel Quest Data). The property is located on CDEC Hill 1 and was originally part of the Fort Ord Military Reservation .

The property was originally conveyed by the United States government to the Monterey Peninsula Community College District in 2004 for educational purposes. On September 17, 2010, the College District conveyed the property to the Marina Redevelopment Agency pursuant to Quitclaim Deed recorded as Document No. 2010052492. EXHIBIT B (Quitclaim Deed).

The property currently has six (6) blighted former barracks buildings and is not being used for any governmental or municipal purpose. City staff believes that the property is not necessary for current or future City use and recommends that the property be declared “surplus”.

Surplus Land Act Requirements
The California Surplus Land Act (Government Code §§ 54220 -54234) establishes specific requirements for local agencies disposing of surplus land. The Act requires:

1. Legislative Body Declaration : The City Council must formally declare property as “surplus land” at a regular public meeting before any disposition actions can begin.

2. Notice of Availability: The City must send notice to designated entities, including:
o California Department of Housing and Community Development (HCD) 1 “CDEC” refers to the U.S. Army Combat Developments Experimentation Command. 1 o Local public entities and housing authorities
o Housing sponsors registered with the State Housing and Community Development agency (“HCD”)
o Parks and recreation districts
o School districts with jurisdiction in the area

3. 60-Day Response Period: Eligible entities have 60 days from receipt of notice to express written interest in acquiring or leasing the property.

4. 90-Day Negotiation Period : If entities express interest, the City must negotiate in good faith for at least 90 days.

5. Priority for Affordable Housing: State law requires the City to give priority to proposals that include at least 25 percent affordable housing for very low- or low-income households.

If multiple proposals meet this threshold, priority goes to:
o First, the proposal with the greatest number of affordable units o Second, the proposal with the deepest average affordability level

6. HCD Review: The City must submit a disposition summary to HCD at least 30 days before final disposition. HCD has 30 days to review for compliance.

7. Restrictive Covenant: If no agreement is reached through the Surplus Land Act process, the City must record a covenant requiring that if 10 or more residential units are built, at least 15 percent must be affordable housing.

The Surplus Land Act does not require the City to accept offers below fair market value. The declaration of surplus land does not commit the City to any specific disposition—the City Council retains full discretion over final approval of any sale or lease.

Property Restrictions and Encumbrances
The property is subject to certain environmental restrictions and covenants from its former use as part of the Fort Ord Military Reservation, including , but not limited to certain groundwater restrictions, environmental access rights, right to enter for potential ordnance removal, potential presence of hazardous substances, and other encumbrances (reserved mineral rights, ut ility easements, etc.) as described in the attached Quitclaim Deed dated September 17, 2010, EXHIBIT B.

ANALYSIS:

Staff recommends the City Council make the following findings:

1. Not in Current Use: The property contains six (6) blighted army former barracks buildings and is not utilized for any City operations, services, or facilities.

2. Not Necessary for City Use: The City has no current or planned future municipal use for the property.

3. Suitable for Development: The property is zoned Planned Commercial, is adjacent to an area to be developed as residential, and can accommodate residential development.

4. Serves Public Interest: Declaring the property surplus will:
o Generate productive use of currently unutilized City-owned land o Potentially generate revenue for the City
o Fulfill State policy priorities for affordable housing development on public land

2 Next Steps After Surplus Declaration
Following City Council approval, staff will implement the following Surplus Land Act compliance process:

Step 1: Notice of Availability
Staff will prepare and send Notice of Availability by certified mail or email to all eligible entities, including detailed property information, legal description, any restrictions, and instructions for submitting expressions of interest. Eligible entities will have 60 days to respond.

Step 2: Review Responses and Negotiation
After the 60 -day response period, staff will review all expressions of interest and apply State - mandated prioritization (proposals with 25% plus affordable housing receive priority). If interest is received, staff will enter good faith negotiations for at least 90 days to address purchase price, affordable housing requirements, development timeline, and compliance with any deed restrictions.

Step 3: HCD Review
Staff will submit a disposition summary documenting full compliance with the Surplus Land Act to HCD at least 30 days before final disposition. HCD has 30 days to review and issue approval or request additional information.

Step 4: Return to City Council
Staff will return to City Council with a comprehensive report including summary of responses received, results of negotiations, and recommendations for final disposition. City Council will make the final decision on whether to approve any proposed disposition.

FISCAL IMPACT:

There is no direct fiscal impact from declaring the property as surplus land. Staff time for administering the Surplus Land Act process will be absorbed within existing departmental budgets.

Future fiscal impacts will depend on the terms of any negotiated disposition and will be presented to City Council for consideration prior to final approval. Potential future revenue includes sale proceeds or ground lease payments at fair market value.

ENVIRONMENTAL REVIEW
The action of declaring the property as “surplus land” does not constitute a “project” under the California Environmental Quality Act (CEQA) Guidelines Section 15378 because it does not result in a direct or indirect physical change in the environment and does not commit the City to any specific disposition. The City retains full discretion to proceed with disposition in compliance with CEQA following the Surplus Land Act process. Environmental review will be conducted for any proposed development prior to final City approval.

CONCLUSION:

This request is submitted for City Council consideration and comment.

Respectfully Submitted

Layne P. Long
City Manager
City of Marina

REVIEWED/CONCUR

René Alejandro Ortega
City Attorney
City of Marina

3 RESOLUTION NO. 2026-

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF MARINA DECLARING CITY-OWNED PROPERTY IDENTIFIED AS ASSESSOR PARCEL NUMBER 031 - 251-005 (1.33 ACRES) AS “SURPLUS LAND” PURSUANT TO GOVERNMENT CODE SECTION 54221(B)(1); AND AUTHORIZING THE CITY MANAGER TO

COMPLY WITH ALL SURPLUS LAND ACT RQUIREMENTS, INCLUDING

ISSUING A NOTICE OF AVAILABILITY, NEGOTIATING WITH INTERESTED

PARTIES, AND RETURNING TO CITY COUNCIL WITH RECOMMENDATIONS FOR FINAL DISPOSITION.

WHEREAS, the City of Marina owns certain real property identified as Assessor Parcel Number 031-251-005, consisting of approximately 1.33 acres (57,934 square feet) containing six former blighted U.S. Army barracks buildings, located in Marina, California, formerly known as Fort Ord Parcel L23.1.5; and

WHEREAS, the property was originally part of the Fort Ord Military Reservation and was conveyed by the United States government to the Monterey Peninsula Community College District in 2004, and was subsequently conveyed to the Marina Redevelopment Agency on September 17, 2010, pursuant to Quitclaim Deed recorded as Document No. 2010052492; and

WHEREAS, the property is not being used for any governmental or municipal purpose; and

WHEREAS, the City Council has determined that the property is not necessary for the City's current or future use and that disposition of the property would serve the public interest; and

WHEREAS, the California Surplus Land Act (Government Code §§ 54220 -54234) establishes requirements and procedures for the disposition of surplus land owned by local agencies; and

WHEREAS, Government Code Section 54221(b)(1) requires that a declaration of surplus land be made by the legislative body of a local agency at a regular public meeting; and

WHEREAS, the Surplus Land Act requires local agencies to provide notice of available surplus land to certain designated entities, including affordable housing developers, and to negotiate in good faith with such entities for a specified period before disposing of the property; and

WHEREAS, the Surplus Land Act prioritizes affordable housing development on surplus public land and requires priority consideration for proposals that include at least 25 percent affordable housing units; and

WHEREAS, the property is subject to certain restrictions, covenants, and reservations from the former Fort Ord Military Reservation, including restrictions related to groundwater use, potential hazardous substances, and access rights reserved by the United States government as set for the in the Quitclaim Deed dated September 17, 2020 granting the property from the College District to the City; and

WHEREAS, all such restrictions and encumbrances will be disclosed in the Notice of Availability and any disposition documents, and will continue to run with the land; and

4 Resolution No. 2026-
Page Two

WHEREAS, declaring the property as surplus land does not constitute approval or commitment to any specific disposition, and the City Council reserves full discretionary authority over final approval of any proposed disposition.

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

1. The above recitals are hereby incorporated by reference;

2. Findings:
a. The property identified as Assessor Parcel Number 031 -251-005 is not currently being used for governmental purposes.
b. The property is not necessary for the City’s current or future use. c. The property is zoned Planned Commercial, is adjacent to an area to be developed as residential, and can accommodate residential development. d. Disposal of the property as surplus land serves the public interest because it will generate productive use of vacant City -owned land, potentially generate revenue, and provide opportunities for affordable housing development. e. This action complies with the California Environmental Quality Act (CEQA) because declaring property as surplus land does not constitute a “project” under CEQA Guidelines Section 15378;

3. The City Council hereby declares the real property at Assessor Parcel Number 031 -251- 005, described in Exhibits A and B attached hereto, as “surplus land” within the meaning of Government Code Section 54221(b)(1).; and

4. The City Manager, or designee, is hereby authorized to take all actions necessary to comply with the Surplus Land Act; and

5. The City Council reserves full discretionary authority over final disposition of the property, including determining whether to accept any proposal, establishing final price, terms and conditions, requiring environmental review under CEQA, and electing not to dispose of the property. This declaration does not approve or commit the City to any specific disposition.

PASSED AND ADOPTED by the City Council of the City of Marina at a reg ular meeting duly held on the 18th day of February 2026, by the following vote:

AYES: COUNCILMEMBERS:

NOES: COUNCIL MEMBERS:

ABSTAIN: COUNCILMEMBERS:

ABSENT: COUNCILMEMBERS:

_________________________
Bruce C. Delgado, Mayor

ATTEST:

_________________________
Anita Sharp, Deputy City Clerk
5 EXHIBIT A
© 2015 ParcelQuest www.parcelquest.com (888) 217-8999
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LIST 1
DETAIL
1   Property Address:

Ownership
County: MONTEREY
Assessor: XOCHITL MARINA CAMACHO
Parcel # (APN): 031-251-005-000
Parcel Status: ACTIVE
Owner Name: MARINA REDEVELOPMENT AGENCY THE
Mailing Address: 211 HILLCREST AVE MARINA CA 93901
Legal Description:

Assessment
Total Value:

Land Value:

Impr Value:

Other Value:
% Improved:0%
Exempt Amt:

Exempt Type:

Tax Rate Area:012-030
Year Assd: 2025
Census Tract: 141.02/3
Use Code: 7A
Use Type: TAX EXEMPTS
County Zoning Code:

Sale History
Sale 1 Sale 2 Sale 3 Transfer
Document Date: 09/17/2010
Document Number: 2010052492
Document Type:

Transfer Amount:

Price/SqFt:

Seller (Grantor):

Property Characteristics
Bedrooms: Fireplace: Units:

Baths (Full): A/C: Stories:

Baths (Half): Heating: Quality:

Total Rooms: Pool: Building Class:

Bldg/Liv Area: Park Type: Condition:

Lot Acres: 1.330 Spaces: Site Influence:

Lot SqFt: 57,934 Garage SqFt: Timber Preserve:

Year Built: Ag Preserve:

Effective Year:
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RECORDING REQUESTED BY:

Chicago Title Company
Escrow No.: 10-52505040Z-KV
Locate No.: CACTI7727-n27-4525·052505040Z
Title No.:

AND WHEN RECORDED MAIL TO
Kutak Rock LLP
Attn: Hilary A. Jackler •
1101 Connecticut Avenue NW
Washington, DC 20036-4374
Stephen L. vagnini
Monterey County Recorder
Recorded at the request of
Chicago Title

CRANGIE
9/17/2010
8:00:00
DOCUMENT: 2010052492 Titles: 1/ Pages: 150
Fees ... .

Taxes .. .

Other .. .

AMT PAID

SPACE ABOVE THIS UNE FOR RECORDER'S USE
Quitclaim Deed Parcels L.23.1.2 and L23.1.S from Monterey Peninsula Community College to Marina Redevelopment Agency
i:ied tor record by This instrument " accommbdatiCO
CHICAGO TIT\Eb:n a~xamined es to ltS
only. It has fl~ .Ji,...,-.t upon the titie. executtofl or, ... ~•11•'" ~fd~~~TJ': ~ record by on:y. r: .. 25 no~ boien 8 acc;x:,mmodatlon e'<s:i.•ticn or Its e"ect xam,ned as tc Its "' upon the ti1te,

THIS PAGE ADDED TO PROVIDE ADEQUATE SPACE FOR RECORDING INFORMATION (Additional recording fee applies)
(recoverch)(OS-08)

EXHIBIT B
WHEN RECORDED RETURN TO:

KUT AK ROCK LLP
1101 CONNECTICUT A VENUE, NW
WASHINGTON, DC 20036
ATTN: GEORGESCHLOSSBERG
Documentary Transfer Tax -0-
Exempt - Government Agency

EXECUTION VERSION

RECORDER STAMP
QUITCLAIM DEED FOR PARCELS L23.1.2 AND L23.1.5 ON THE

FORMER FORT ORD, MONTEREY, CALIFORNIA
(Monterey Peninsula Community College District to Marina Redevelopment Agency) TIDS QUITCLAIM DEED ("Deed") is made as of the Jlthday of Se,tembe(', 2010, between the MONTEREY PENINSULA COMMUNITY COLLEGE DISTRICT (the "Grantor") and THE MARINA REDEVELOPMENT AGENCY (the "Grantee").

WHEREAS, the United States of America ("Government") was the owner of certain real property, improvements and other rights appurtenant thereto together with all personal property thereon, located on the former Fort Ord, Monterey County, California, which was utilized as a military installation;
WHEREAS, the military installation at Fort Ord was closed pursuant to and in accordance with the Defense Base Closure and Realignment Act of 1990, as amended (Public Law 101-510; IO U.S.C. § 2687 note);
WHEREAS, the Government, acting by and through the Secretary of Education, conveyed certain property and improvements to Grantor for educational purposes by Quitclaim Deed on October 18, 2004, which was recorded as Document 2005090734 in the Monterey County Recorder's Office, Monterey County, California, on August 31, 2005 (the "Government Deed");
WHEREAS, the property conveyed by the Government to Grantor included, among others, Parcels L23.1.2 (previously incorrectly descn'bed as Parcel L23.1.l) and L23.1.5, comprising approximately 6.89 acres, more or less, more particularly descn'bed in Ex1n'bit A attached hereto (the "Property");
WHEREAS, the Government Deed incorrectly described Parcel L23.1.2 as Parcel L23. l. l; 4819-7S84-0S13.7
QUITCLAIM DEED FOR PARCELS L23.1.2 AND L23.1.S ON THE FORMER FORT ORD
WHEREAS, the Department of Education has approved the Abrogation and Release of Restrictions contained in the Government Deed with respect to the Property, which is attached hereto as Exhibit B (the ''Release"); and
WHEREAS, the Grantor, the Grantee and the City of Marina have entered into an Exchange of Real Property Agreement Between Monterey Peninsula College, the City of Marina and Marina Redevelopment Agency, dated February 9, 2007, and an Implementing Agreement to Accomplish the Boundary Adjustment Set Forth in the Exchange Agreement Between the Monterey Peninsula College, the Redevelopment Agency of the City of Marina and the City of Marina, dated Sfftemb¢t 13, 2010 ("Implementing Agreemei;it"), which sets forth the specific terms and conditions upon which the Grantor agrees to convey and the Grantee agrees to accept title to Parcel L23.1.2 and L23.1.5;
WHEREAS, Grantor wishes to convey the Property to Grantee.

WITNESSETH
The Grantor, for and in consideration of the sum of one dollar ($1.00) plus other good and valuable consideration set forth in the Implementing Agreement, the receipt and sufficiency of which are hereby acknowledged, releases and quitclaims to the Grantee, its successors and assigns forever, all such interest, right, title, and claim as the Grantor has in and to Parcels L23.1.2 and L23.1.5 consisting of approximately 6.89 acres (''Property''), more particularly described in Exhibit A, attached hereto and made a part hereof, and including the following:

A. All buildings, facilities, roadways, and other improvements, including the storm drainage systems and the telephone system infras1ructure, and any other improvements thereon, B. All appurtenant easements and other rights appurtenant thereto, pennits, licenses, and privileges not otherwise excluded herein, and
C. All hereditaments and tenements therein and reversions, remainders, issues, profits, privileges and other rights belonging or related thereto.

Grantee covenants for itself, its successors, and assigns and every successor in interest to the Property, or any part thereof, that Grantee and such successors and assigns shall comply with all provisions of the Implementing Agreement as if the Grantee were referenced under the Implementing Agreement.
4819•7S84-0S13.7
2 QUITCLAIM DEED FOR PARCELS L23.1.2 AND L23.1.5 ON THE FORMER FORT ORD
The Government Deed conveying the Property to the Grantor was recorded prior to the recordation of this Deed. In its transfer of the Property to the Grantor, the Government provided certain infonnation regarding the environmental condition of the Property and other ·property conveyed under the Government Deed. The Grantor has no knowledge regarding the accuracy or adequacy of such information .
• ,, The italicized information below is copied verbatim (except as discussed below) from the • \. ' Government Deed conveying the Property to the Grantor. The Grantee hereby acknowledges and assumes all responsibilities and accepts all reservations with regard to the Property placed upon the Grantor under the terms of the aforesaid Government Deed to Grantor, and Grantor grants to Grantee all benefits with regard to the Property under the terms of the aforesaid Government Deed. Within the italicized information only, the term "Grantor" shall mean the Government, and the term "Grantee" shall mean the Marina Redevelopment Agency ("Agency''); to avoid confusion, the words "Government" have been added in parenthesis after the word "Grantor", and "Agency'' has been added in parenthesis after the word "Grantee". Within the italicized information only, a reference to "Parcel L23.1.1" shall mean a reference to "Parcel L23.1.2"; to avoid confusion, the words "Parcel L23.1.2 was incorrectly described in the Government Deed as L23.l.1" have been added in parenthesis after any reference to "Parcel L23.1.1".

II. AGREEMENT

5. GRANTEE (Agency}, by acceptance of this Deed, covenants and agrees for itself, its successors and assigns, that the Property is transferred on an "as is, where is" basis, without any representation, warranty or guarantee, except as required to applicable law or as otherwise stated herein, by the GRANTEE as to quanti'ty, quality, title, character, condition, size, or ldnd, or that the same is in condition or flt to be used for the purpose for which intended, a~d no claim for allowance or deduction upon such grounds.will be considered. The GRANTEE (Agency) also covenants and agrees for . itself, its successors and assigns, that the GRANTOR (Government) has no obligation to provide any additions, improvements, or alterations to the Property and said GRANTOR (Government) shall not be liable for any latent or patent defects in the Property. This section shall not affect the GRANTOR 's (Government's) responsibility under CERCLA Covenants, Notice, and Environmental Remediation herein.

This conveyance is made subject to the following Exclusions and Reservations:

A. The Property is taken by the GRANTEE (Agency) subject to any and all valid and existing recorded outstanding liens, licenses, leases, easements, and any other 48 J 9-1S84-0S 13. 7
3 QUITCLAIM DEED·FOR PARCELS L23.1.2 AND L23.1.5 ON THE FORMER FORT • ORD
encumbrances made for the purpose of roads, streets, utility systems, rights-of-way, pipelines, and/or covenan"ts, exceptions, interests, liens, reservations, and agreements of record.

B. The Army reserves a perpetual unassignable right to enter the Property for the specific purpose of treating or removing any unexploded shells, mines, bombs, or other such devices deposited or caused by the Army.

C. Access by USA Media Group, LLC, or its successor in interest, to TV cable lines is reserved until expiration of its existing franchise agreement, November 19, 2005.

D. The reserved rights and easements that were outgranted by Army to the respective GRANTEES (Agency) and referenced in this Section are subject to the following terms and conditions:
(1) to comply with all applicable federal law and lawful existing regulations;
(2) to allow the occupancy and use by the respective GRANTEES (Agency), successors, assigns, permittees, or lessees of any part of the easement areas not actually occupied or required for the purpose of the full and safe utilization thereof by the GRANTOR (Government), so long as such occupancy and use does not compromise the ability of the GRANTEE (Agency) to use the easements for their intended purposes, as set forth herein;
(3) that the outgrants conveyed shall be for the specific use described and may not be construed to include the further right to authorize any other use within the easements unless approved in writing by the fee holder of the land subject to the easement;
(4) that any transfer of the outgrants by assignment, lease, operating agreement, or otherwise must include language that the transferee agrees to comply with and be bound by the terms and conditions of the original grant; (5) that, unless otherwise provided, no interest granted shall give the GRANTEEES (Agency) any right to remove any material, earth, or stone for consideration or other purpose except as necessary in exercising its rights hereunder; and
4819-7S84-0513.7
4 -,.

QUITCLAIM DEED FOR PARCELS L23.1.2 AND L23.l.S ON THE FORMER FORT ORD
(6) to restore any easement area so far as it is reasonably possible to do so upon abandonment or release of any easement as provided herein, unless this • requirement is waived in writing by the then owner of the Property.

E. GRANTOR (Government) reserves mineral rights that GRA.NTOR (Government) owns presently or may at a future date. be determined to own, with the right of surface entry in a manner that does not unreasonably-interfere with GRANTEE 's (Agency's) development and quiet enjoyment of the Property. • V. COVENANTS

12. GRANTEE (Agency), by acceptance of this Deed, further covenants and agrees for itself, its successors and assigns, to indemnify and hold harmless the United States, its agents, and employees against any and all loss, damage, claim, or liability whatsoever, due to the GRANTEE 's (Agency's) use or occupancy of the property, or any other act or omission of the GRANTEE (Agency), including failure to comply with the obligations of this transfer.

23. The United States acknowledges that former Fort Ord has been identified . as a National Priority List ("NPL '? Site under the Comprehensive Environmental Response Compensation and Liability Act (CERCLA) of 1980, as amended. The GRANTEE acknowledges that the United States has provided it with a copy of the Fort Ord Federal Facility Agreement ("FF A '') entered into by the United States Environmental Protection Agency ("EPA '') Region IX, the State of California, and the Department of the Army, effective on February 1990, and will provide the GRANTEE (Agency) with a copy of any amendments thereto. The GRANTEE (Agency) agrees that should any conflict arise between the terms of the FFA as they presently exist or may be amended, and the provision of this Property transfer, the terms of the FF A will take precedence. The GRANTEE (Agency) farther agrees that notwithstanding any other provisions of this conv~ance, the United States assumes no liability to the GRANTEE (Agency), should implementation of the FFA interfere with the GRANTEE's (Agency's) use of the Property. Th.e GRANTEE (Agency), or any subsequent transferee, shall have no claim on account of any such interference against the United States or any officer, agent, employee, or contractor thereof.

24. CERCLA COVENANTS, NOTICE, AND ENVIRONMENTAL

REMEDIATION
4819-7S84-0513.7
5 QUITCLAIM DEED FOR PARCELS L23.1.2 AND L23.1.S ON THE FORMER FORT ORD
A. Pursuant to Section 120(h)(3) of CERCLA as amended, 42 U.S.C. §9601 et seq., the Finding of Suitability for Transfer ("FOST? • - .and an environmental baseline survey ("EBS") known as Community Environmental Response Facilities Act report, which is referenced in the POST, sets forth the environmental condition of the Property. The POST sets forth the basis for the GRANTOR 's (Government's) determination that the Property is suitable for transfer. The GRANTEE (Agency) is hereby made aware of the notifications contained in the EBS and the POST. The GRANTEE (Agency) has inspected the Property and accepts the physical condition and current level of environmental hazards on the Property and deems the Property to be safe for the GRANTEE's (Agency's) intended use. The GRANTOR (Government) represents that the Property is environmentally suitable for transfer to GRANTEE (Agency) for the purposes identified in the Final Fort Ord Base Reuse Plan '1:ated December 12, 1994, as amended on June 13, 1997, as approved by the Fort Ord Reuse Authority. If, after conveyance of the Property io GRANTEE (Agency), there is an actual or threatened release of a hazardous substance on the Property, or in the event that a hazardous substance is discovered on the Property after the date of conveyance, whether or not such substance was set forth in the technical environmental reports, including the EBS, the GRANTEE (Agency) or its successor or assigns shall be responsible for such release or newly discovered substance unless such ·release or such newly discovered substance was due to GRANTOR 's (Government's) activities, ownership, use, presence on, or occupation of the Property, or the activities of GRANTOR 's (Government's) contractors and/or agents. GRANTEE (Agency), its successors and assigns, as consideration for the conveyance, agrees to release GRANTORfrom any liability or responsibility for any claims arising out of or in any way predicated on release of any hazardous substance on the Property occurring after the conveyance, where such hazardous substance was released by the GRANTEE (Agency}, or its agents or contractors, after the conveyance.

B. Pursuant to Section 120(h)(3) of CERCLA., 42, U.S.C. §9620(h)(3), the GRANTOR (Government) hereby notifies the GRANTEE (Agency), its successors and assigns, of the storage, release, and disposal of hazardous substances on the Property. (1) The GRANTOR (Government) hereby covenants that prior to the date ·of this conveyance, all corrective, remedial and response actions necessary to protect human health and the environment have been taken with respect to the Property. (2) The GRANTOR (Government) hereby covenants that all corrective, remedial and response actions necessary to protect human health and the environment with respect to any hazardous substances placed on the Property by the GRANTOR 6 QUITCLAIM DEED FOR PARCELS L23.1.2 AND L23.1.5 ON THE FORMER FORT ORD
(Government) and remaining on the Property after the date of transfer shall be conducted by the GRANTOR (Government).

C. The CERCLA warranty shall not apply in any case in which the person or entity to whom the Property is transferred is a "potentially responsible party", as defined under CERCLA Section 107(a)(2)-(4) with respect to such Property prior to such transfer.

D. The GRANTOR (Government) reserves a CERCLA. access easement as provided in this Deed.

E. Nothing in this Section is intended to, nor shall it be construed to, alter, amend, increase or diminish the parties' rights, liabilities, and duties as set forth more fully in Section 120 (h) of CERCLA, 42 U.S.C. § 9620 (H).

F. The GRANTOR (Government) shall not incur liability for additional response action or co"ective action found. to be necessary after the date of transfer unless the GRANTEE (Agency), its successors or assigns is able to demonstrate that such release or such newly discovered substance was due to GRANTOR 's (Government's) activities, ownership, use or occupation of the Property.

25. CERCLA ACCESS
A. 'I'he Government, the EPA, and the California Environmental Protection Agency, Department of Toxic Substances Control ("DTSC '?, and their officers, agents, employees, contractors, and subcontractors will have the right, upon reasonable notice to the GRANTEE (Agency), to enter upon the transferred premises in any case in which a response or corrective action is found to be necessary, after the date of transfer of the Property, or such access is necessary to carry out a response action or correction action on adjoining property, including, without limitation, the following purpose:
(1) To conduct investigations and surveys, including where necessary, drilling, soil and water sampling, test-pitting, and other activities related to the Fort Ord Installation Restoration Program ("IRP'?, Ordnance and Explosives ("OE'? program, orFFA;
(2) To inspect field activities of the Army and its contractors and subcontractors with regards to implementing the Ford Ord IRP, OE program, or FFA; 4819-7S84-0S13.7
7 QUITCLAIM DEED FOR PARCELS L23.1.2 AND L23.1.5 ON THE FORMER FORT ORD
(3) To conduct any test or survey related to the implementation of the JRP by the EPA or the ·DTSC relating to the implementation of the FFA or envir<:,nmental conditions at Fort Ord or to verify any data submitted to the EPA or the DTSC by the Government relating to such conditions; and
(4) To construct, operate, maintain or undertake any other investigation, corrective measure, response, or remedial action as required or necessary under any Fort Ord FFA, Record of Decision ("ROD"), /RP or OE program requirement, including but not limited to monitoring wells, pumping wells, and treatment facilities.

B. GRANTEE (Agency) agrees that, notwithstanding any other provisions of this Deed, the GRANTOR (Government) assumes no liability to the GRANTEE (Agency), its successors or assigns, or any other person, should remediation of the Property interfere with the use of the Property. The GRANTEE (Agency), the then record owner, and any other person shall have no claim against the GRANTOR (Government) or any of its officers, agents, employees or contractors solely on account of any such interference resulting.from such remediation.

26. INDEMNITY
The GRANTOR (Government) recognizes its obligation to hold harmless, defend, and indemnify the GRANTEE (Agency) and any successor, assignee, transferee, lender, or lessee of the GRANTEE (Agency) or its successors and assigns, as required and . limited by Section 330 of the National Defense Authorization Act of 1993, as amended (P.L. No. 102-484), and to otherwise meet its obligations under Federal law.

27. NOTICE OF HAZARDOUS SUBSTANCE STORAGE
This is applicable to Parcels L23.l.1 (Parcel L23.l.2 was incorrectly described in the Government Deed as L23.J.l), L23.l.2, L23.l.3, L23.1.4, L23.J.5, and L23.4.

The GRANTOR (Government) hereby notifies the GRANTEE (Agency) of the former storage release, or disposal of hazardous substances on L23.l.1 (Parcel L23.l.2 was incorrectly described in the Government Deed as L23.l.1), L23.l.2, L23.1.3, L231.4, L23.1.5, and L23.4. The items typically stored on the Property are listed in Table 4 of the FOST. The information regarding this storage indicates that it was conducted in a manner that would not pose a threat to human health and the environment. This notice is given pursuant to CERCLA and no additional action is necessary under CERCLA to protect human health and the environment.
4819-7584-0513.7
8 QUITCLAIM DEED FOR PARCELS L23.1.2 AND L23.l.S ON THE FORMER FORT ORD

28. NOTICE OF THE PRESENCE OF ASBESTOS AND COVENANT
This is applicable to Parcels L23.1.3, L23.l.4, L23.J.5, and L23.6.

A. The GRANTEE (Agency) is hereby informed and does acknowledge that friable asbestos or asbestos-containing material ("A CM") have been found on Parcels L23.J.3, L23.J.4,· L23.1.5, and L23.6 as described in the referenced asbestos survey and summarized in the Environmental !Jaseline Surveys ("EBS ") for the California State University Monterey Bay Parcel, the Main Garrison Parcels, Surplus II Parcels, and the UC Santa Cruz Parcel.

B. The Environmental Baseline Surveys for the California State University Monterey Bay Parcel, the Main Garrison Parcels, Surplus II Parcels, and the UC Santa Cruz Parcel determined that several buildings have been determined to contain friable and non-friable asbestos that may pose a threat to human health. Detailed information is contained in the Asbestos Survey Report, Fort Ord Installation (April 26, 1993). The GRANTOR (Government) has agreed to transfer said buildings to the GRANTEE (Agency), prior to remediation of asbestos hazards, in reliance upon the GRANTEE's (Agency's) express representation and promise that the GRANTEE (Agency) will, prior to use or occupancy of said buildings, demolish said buildings or the portions thereof containing friable asbestos, disposing of A CM in accordance with applicable laws and regulations. With respect to the friable asbestos in said buildings and structures, the GRANTEE (Agency) specifically agrees to undertake and all abatement or remediation . that may be required under CERCLA 120 (h)(3) or any other applicable law or regulation. The GRANTEE (Agency) aclazowledges that the consideration for the conveyance of Parcels L23.l.3, L23.l.4, L23.J.5, and L23.6 was negotiated based upon the GRANTEE 's (Agency's) agreement to the provisions contained in this section.

C. The GRANTEE (Agency) covenants and agrees that its use and occupancy of Parcels L23.l.3, L23.1.4, L23.1.5, and L23.6 will be in compliance with all applicable laws relating to asbestos; and the GRANTOR (Government) assumes no liability for future remediation. of asbestos or damages for personal injury, illness, disability or death, to the GRANTEE (Agency), its successors or assigns, or to any other person, including members of the general public, arising fro'f!1, or incident to the purchase, transportation, removal, handling, use, disposition, or other activity causing or leading to contact of any kind whatsoever with asbestos or ACM on the Parcels L23.J.3, L23.l.4, L23.J.5, and L23.6, whether the GRANTEE (Agency), its successors or assigns have properly warned or failed to properly warn the individual (s) injured. The GRANTEE 4819•7584-0513.7
9 QUITCLAIM DEED FOR PARCELS L23.1.2 AND L23.l.S ON THE FORMER FORT ORD
(Agency) agrees to be responsible for any future remediation of asbestos found to be necessary on the Parcels L23.l.3, L23.1.4, L23.l.5, and L23.6 as a result of the GRANTEE's (Agency's) activities. The GRANTEE (Agency) assumes no liability for damages for personal injury, illness, disability, death or property damage arising from (i) any exposure or failure to comply with any legal requirements applicable to asbestos on any portion of the Parcels L23.l.3, L23.l.4, L23.l.5, and L23.6 arising prior to GRANTOR 's (Government's) conveyance of such portion of the Parcels L23.1.3, L23.l.4, L23.l.5, and L23.6 to the GRANTEE (Agency) pursuant to this Deed, or (ii) any disposal, prior to the GRANTOR's (Government's) conveyance of the Parcels L23.l.3, L23.1.4, L23.l.5, and L23.6, of any asbestos or ACM.

D. Unprotected or unregulated exposure to asbestos in product manufacturing, shipyard, and building construction workplaces have been associated with asbestos-related diseases. Both Occupational Safety and Health Administration ("OSHA'? and the EPA regulate asbestos because of the potential hazards associated with exposure to airborne asbestos fibers. Both OSHA and the EPA have determined that such exposure increases the risk of asbestos-related diseases, which include certain cancers and which can result in disability or death.

E. The GRANTEE (Agency) acknowledges that it has inspected parcels L23.l.3, L23.1.4, L23.l.5, and L23.6 as to its asbestos content and condition and any hazardous or (!nvironmental conditions relating thereto prior to accepting the responsibilities imposed upon the GRANTEE (Agency) under this Section. The failure of the GRANTEE (Agency) to inspect, or to be fully informed as to the asbestos conditions of all or any portion of Parcels L23.l.3, L23.l.4, L23.1.5, and L23.6 offered, will not constitute grounds for any claim or demand against the United States, or any adjustment under this Deed.

F. The GRANTEE (Agency) further agrees to indemnify and hold harmless the Anny, its officers, agents and employees, from and against all suits, claims, demands or actions, liabilities, judgments, costs and attorneys' fees arising out of, or in any manner predicated upon, exposure to asbestos on any portion of Parcels L23.l.3, L23.l.4, L23.1.5, and L23.6 after this conveyance of Parcels L23.1.3, L23.1.4, L23.1.5, and L23.6 to the GRANTEE (Agency) or any future remediation or abatement of asbestos or the need therefore. The GRANTEE 's (Agency's) obligation hereunder shall apply whenever the United States incurs costs_ or liabilities for actions giving rise to liability under this section.

29. NOTICE OF THE PRESENCE OF LEAD-BASED PAINT AND COVENANT 48 l 9-7584-0513. 7
QUITCLAIM DEED FOR PARCELS L23.1.1 AND L23.1.S ON THE FORMER FORT ORD •
This .is applicable to Parcels L23.l.3, L23.l.4, L23.l.5, and L13.6.

A. The GRANTEE (Agency) is hereby informed and does acknowledge that all buildings on Parcels L23.J.3, L23.l.4, L23.l.5, and L23.6, which were constructed or rehabilitated prior to 1978, are presumed to contain lead-based paint. Lead .from paint, paint chips, and dust can pose health hazards if not managed properly. Every purchaser of any interest in Residential Real Property on which a residential dwelling was built to 1978 is notified that such property may present exposure to lead from lead-based paint that may place young children at risk of developing lead poisoning. Lead poisoning in young children may produce permanent neurological damage, including learning disabilities, reduced intelligent quotient, behavioral problems, and impaired memory.

Lead poisoning also poses a particular risk to pregnant women. The seller of any interest in Residential Real Property is required to provide the buyer with any information on lead-based paint hazards .from risk assessments or inspections in the seller's possession and notify the buyer of any known lead-based paint hazards. "Residential Real Property" means dwelling units, common areas, building exterior surfaces, and any su"ounding land, including outbuildings, fences a,µJ play equipment affixed to the land, available for use by residents and also buildings visited regularly by the same child, 6 years of age or under, on at least two different days within any week, including day-care centers, preschools and kindergarten classrooms, but not including land used for agricultural, commercial, industrial, or other non-residential purposes, and not including paint on the payement of parking lots, garages, or roadways.

B. Buildings constructed prior to 1978 are assumed to contain lead-based paint.

Buildings constructed after 1977 are assumed to be .free of lead-based paint. No sampling for lead within the buildings on Parcels L23.1.3, L23.J.4, L23.1.5, and L23.6 has occu"ed. However, limited sampling for lead-based paint was conducted in former barracks buildings located on property immediately north of Parcel L32.2.2, which is not a parcel of this conveyance (Industrial Hygiene Survey No. 55-71-R25A-94). One or more of the former barracks interior and/or exterior surface components (e.g., walls, doors, window sills, door frames, etc.) tested positive for lead-based paint. Those ba"acks sampled were of the same construction type and were constructed in the same year (1954) as former ba"acks located onParcelL32.2.2 (Buildings 4552 and 4562) and Parcel L32.4.l.1 (Buildings 4430, 4432, 4434, 4436, 4440, 4442, 4444, and 4446).

Limited sampling for lead in soil su"ounding some buildings at former Fort Ord has been completed. Soil samples were collected .from soil su"ounding 10 buildings in Parcel L23.3.2.l (Buildings 6, JO, 20, 14, 16, 36, 71, 75, 82, and 108). The average concentration of lead detected in soil was 263 milligrams per ldlogram (mg/kg) with a 4819-7S84-0S 13. 7
11 QUITCLAIM DEED FOR PARCELS L23.1.2 AND L23.1.5 ON THE FORMER FORT ORD
maximum concentration of 2,211 mg/kg detected at Building 6 (Lead In Soil Survey For Ten Buildings At The East Garrison, Fort Ord, California, April 8, 1998). As agreed upon in an agency meeting on August 29, 1997, lead analytical results from soil samples collected adjacent to buildings on the Peninsula Outreach and the Marina Sports Center parcels can be used to represent lead concentrations in soil around the buildings on the Main Ga"ison parcels (E2b.l.l.1, E2b.l.l.2, E2b.l.2, E2b.l.3, E2b.l.4, E2b.2.1, E2b.2.3, E2b.2.4, E2b.3.l.l, E2c.3.l, E2c.3.2, E2c.3.3, E2c.4.2.l, E2d.1, E2d.2, L12.2.2, L/2.2.3, L12.3, L23.l.2, L23.J.3, L23.l.4, and L35.l) which were constructed of similar materials and during similar time periods. Average concentrations of lead detected in soil around the buildings on the Peninsula Outreach and Marina Sports Center parcels were 99.4 and 228 mg/kg, respectively. The maximum background concentration/or lead in soil at Fort Ord is 51.8 mg/kg (Draft Final Basewide Background Soil Investigation, Fort Ord, California, March 15, 1993). The federal Preliminary Remediation Goal ("PRG'') for residential non .. play area bare soil is 1,200 mg/kg. All purchasers must receive the federally approved pamphlet on lead poisoning prevention. The GRANTEE (Agency) hereby acknowledges receipt of all of the information described in this section.

C. The GRANTEE (Agency) acknowledges that it has received the opportunity to conduct its own risk assessment or inspection for the presence of lead­ based paint and/or lead-based paint hazards prior to execution of this Deed.

D. The GRANTEE (Agency) covenants and agrees that it shall not permit the occupancy or use of any buildings or structures on Parcels L23.l.3, L23.1.4, L23.1.5, and L23. 6 as Residential Real Property, as defined in this section, above, without complying with this section and all applicable Federal, state, and local laws and regulations pertaining to lead .. based paint and/or lead-based paint hazards. Prior to permitting the occupancy of Parcels L23.1.3, L23.l.4, L23.1.5, and L23.6 where their use subsequent to sale is intended for residential habitation, the GRANTEE (Agency) specifically agrees to perform, at its sole expense, the Anny's abatement requirements under Title X of the Housing and Community Development Act of 1992 (Residential Lead-Based Paint Hazard Reduction Act of 1992) (hereinafter "Tit~e X").

E. The GRANTEE (Agency) shall, after consideration of the guidelines and regulations established pursuant to Title X·
(1) Perform a reevaluation of the Risk Assessment if more than 12 months have elapsed since the date of the last Risk Assessment; (2) Comply with the joint HUD and EPA Disclosure Rule (24 CFR 35, 4819-7S84-0S13.7
12 QUITCLAIM DEED FOR PARCELS L23.1.2 AND L23.1.S ON THE FORMER FORT ORD
subpart H, 40 CFR 745, subpart F), when applicable, by disclosing to prospective purchasers the known presence of lead-based paint and/or lead-based paint hazards as determined by previous risk assessments;
(3) Abate lead dust and lead-based paint hazards in pre-1960 residential real property, as defined in subsection A, above, in accordance with the procedures in 24 CFR 35;
(4) Abate lead-soil hazards in pre-1978 residential real property, as de.fined in subsection A, above, in accordance with the procedures in 24 CFR 35,· (5) Abate lead-soil hazards following demolition and redevelopment of structures in areas that will be developed as residential r~al property; • (6) Comply with the EPA lead-based paint work standards when conducting lead-based paint activities (40 CFR 745, Subpart L) (7) Perform the activities described in this section within 12 months of the date of the lead-based paint risk assessment and prior to occupancy or use of the residential real property,· and
(8)
(Government).

Send a copy of the clearance documentation to the GRANTOR F. In complying with these requirements, the GRANTEE (Agency) covenants and agrees to be responsible for any abatement or remediation of lead-based paint or lead-based paint hazards on Parcels L23.l.3, L23.l.4, L23.1.5, and L23.6 found to be necessary as a result of the subsequent use of Parcels L23.1.3, L23.1.4, L23.1.5, and L23.6for residential purposes. The GRANTEE (Agency) covenants and agrees to comply with solid or hazardous waste laws that may apply to any waste that may be generated during the course of the lead-based paint abatement activities.

G. The GRANTEE (Agency) further agrees to indemnify and hold harmless the Army and GRANTOR (Government), its/their officers, agents and employees, from and against all suits, claims, demands, or actions, liabilities, judgments, costs and attorney's fees arising out of, or in a manner predicated upon personal injury, death or property damage resulting from, related to, caused by or arising out of lead-based paint or lead-based paint hazards on Parcels L23.l.3, L23.l.4, L23.l.5, and L23.6 if used for residential purposes.
4819-7584-0513.7
13 QUITCLAIM DEED FOR PARCELS L23.1.2 AND L23.l.S ON THE FORMER FORT ORD
i-I. The covenants, restrictions, and requirements of this section shall be binding upon the GRANTEE (Agency), its successors and assigns, and all future owners and shall be deemed to run with the land. The GRANTEE (Agency) on behalf of itself, its successors and assigns covenants that it will include and make legally binding, this section in all subsequent transfers, leases, or conveyance documents.

30. NOTICE OF THE POTENTIAL FOR THE PRESENCE OF PESTICIDES

AND COVENANT
A. The GRANTEE (Agency) is hereby informed and does acknowledge that pesticides may be present on the Property. To the best of GRANTOR 's (Government's) knowledge, the presence of pesticides does not currently pose a threat to human health or the environment, and the use and application of any pesticide product by the GRANTOR (Government) was in accordance with its intended, purpose, and in accordance with CERCLA §107(i), which states:
"No person (including the United States or any State or Indian tribe) may recover under the authority of this section for any response costs or damages resulting from the application of a pesticide product registered under the Federal Insecticide, Fungicide, and Rodenticide Act (7 U.S.C. §136 et seq.). Nothing in this paragraph shall affect or modify in any way the obligations or liability of any person under any other provision of State or Federal law, inciuding common law, for damages, injury, or loss resulting from a release of any hazardous substance or for removal or remedial action or the costs of removal or remedial action of such hazardo~ substance. " B. Upon request, the GRANTOR (Government) agrees to furnish to the GRANTEE (Agency) any and all records in its possession related to the use of the pesticides necessary for the continued compliance by the GRANTEE (Agency) with applicable laws and regulations related to the use of pesticides.

C. The GRANTEE (Agency) covenants and agrees that its continued possession, potential use and continued management of the Property, including any demQlition of structures, will be in compliance with all applicable laws relating to hazardous substance/pesticides and hazardous wastes.

31. NOTICE OF THE POTENTIAL FOR THE PRESENCE OF
POLYCHLORINATED BIPHENYLS ("PBCs '; AND COVENANT
4819-7S84-0S13.7
14 QIDTCLAIM DEED FOR PARCELS L23.1.2 AND L23.1.S ON THE FORMER FORT ORD
This is applicable to Parcels L23.1.3, L23.1.4, L23.1.5, L23.4 and L23.6.

A. PCBs have been used as coolants and lubricants in transformers, capacitors and other electrical equipment like fluorescent light ballasts. EPA considers PCBs to be probable cancer causing chemicals, in humans. PCB and PCB-contaminated equipment that will be disposed of must be stored in a hazardous storage facility. The GRANTEE (Agency) is hereby informed that fluorescent light ballasts containing PCBs are present on Parcels L23.l.3, L23.1.4, L23.1.5, L23.4 and L23.6. The PCB containing equipment does not currently pose a threat to human health or the environment, when managed properly. All PCB containing equipment is presently in fall compliance with applicable laws and regulations.

B. Upon request, the Army agrees to furnish to the GRANTEE (Agency) any and all records in its possession related to such PCB equipment necessary for the continued compliance by the GRANTEE (Agency) with applicable laws and regulations related to the use and storage of PCBs or PCB containing equipment.

C. The GRANTEE (Agency) covenants and agrees that its continued possession, use, and management of any PCB containing equipment will be in compliance with all applicable laws relating to PCBs and PCB containing equipment and that the Army shall assume no liability for the future remediation of PCB contamination or damages for personal injury, illness, disability, or death to the GRANTEE (Agency), its successors or assigns, ·or to any other person, including members of the general public arising from or incident to future use, handling, management, disposition, or other activity causing or leading to contact of any ldnd whatsoever with PCBs or PCB containing equipment, whether the GRANTEE (Agency), its successors or assigns have properly warned or failed to properly warn the individual(s) injured. The GRANTEE (Agency) agrees to be responsible for any future remediation of PCB~ or PCB containing equipment found to be necessary on Parcels L23.l.3, L23.l.4, L23.1.5, L23.4, andL23.6.

32. NOTICE OF THE PRESENCE OF CONTAMINATED GROUNDWATER

AND COVENANT
A. The groundwater beneath portions of the former Fort Ord is contaminated with volatile organic compounds ("VOCs") primarily trichloroethylene ("TCE") The maximum TCE concentration in the groundwater beneath the Property (Parcel E2b.2.J) is 280 micrograms per liter (September 2001) as measured in the groundwater extraction Well EW-12-02-JBOM The maximum concentrations of the chemicals of concern 481MS84-0S13.7
15 QUITCLAIM DEED FOR PARCELS L23.1.2 AND L23.l.5 ON THE FORMER FORT ORD
(associated with the OU2 and Sites 2/12 groundwater plumes) detected in the groundwater monitoring wells on the property (September 2001) are listed below. The quantity released of these compounds is unknown. The 0U2 and Sites 2/12 groundwater aquifer cleanup levels ("A CLs '?, presented in the OU2 and Basewide. Remedial Investigation Sites Record of Decision ("RODs '?, are provided for comparison.

B. Without the express written consent of the GRANTOR (Government) in each case.first obtained, neither the GRANTEE (Agency), its·successors or assigns, nor any other person or entity acting for or on behalf of the GRANTEE (Agency), its successors or assigns, shall interfere with any response action being taken on the Property by or on behalf of the GRANTOR (Government), or interrupt, relocate, or otherwise interfere with any remediation system now or in the future located on, over, through, or across any portion of the Property.

C. The Deed reserves a non-exclusive easement to allow continued access for the Army (or its designated contractor) and the regulatory agencies (EPA, DTSC, and California Regional Water Quality Control Board, Central Coast Region), to permit necessary groundwater monitoring at wells located on the Property and the installation of new treatment or monitoring wells if required for the pump and treat operations.

Furthermore, this Deed prohibits all others from tampering with the groundwater monitoring wells.

Chemicals of Concern in Groundwlller
(OU 2, Sites 2112, and Carbon Tetrachloride Plume)
and Aquifer Cleonup Levels
RCRA
Waste Concentrations
Chemical Name Regulatory Synonym CASRN" Nwnber (µg/L) ACL Benzene Benzol 71432 U0/9 4.7 1.0
Carbon Tetrachloride Methane, tetrachloro- 56235 U21/ 6.4 0.5 Chloroform Methane, trlchloro- 67663 U044 5.6 2.0
1, 1-Dichloroethane Ethane, 1,1-dichloro- 75343 U076 48 5.0 1,2-Dichloroelhane Ethane, 1,2-dichloro- 107062 U077 6.7 0.5 1,1-Dlchloroethene Elhene, 1,1-dichloro- 75354 U078 3.3 6.0 Cis-1.2-Dichloroethene Ethene, 1,2-dichloro(E) 156605 U079 /JO 6.0 1,2-Dichloropropane Propane, 1,2-dichloro- 78875 U083 1.7 1.0 Total 1,3-Dich/oropropene Propene, 1,3-dichloro- 542756 ND 0.5 Methylene Chloride Methane, dichloro- 75092 UOBO 110 5.0 Tetrachloroethene Ethene, tetrachloro- 127184 U210 23 3.0 Trich loroethene Ethene, trlchloro- 79016 U228 280 5.0
Vinyl chloride Ethene. chloro- 75014 U043 1.3 0.1
* Chemical Abstract Services Registry Number
D. A Covenant to Restrict Use of Property ("CRUP") within the "Groundwater Protection Zone" has been established between the United States Army, 4819-7584-0513.7
16 QUITCLAIM DEED FOR PARCELS L23.1.2 AND L23.1.S ON THE FORMER FORT ORD
DTSC, and the California Regional Water Quality Control Board, Central Coast Region, recorded in Monterey County, California on September 28, 2004, Series No. 2004103512. Construction of groundwater wells for access, use, or consumption of groundwater within the boundaries of the Property is prohibited without prior written approval by the above parties as described in the CRUP.

E. The GRANTEE (Agency) covenants for itself, its successors and assigns not to access or use groundwater underlying the Property for any purpose without prior written approval of the parties as described in the CRUP. For the purpose of this restriction, "gr oundwater" shall have the same meaning as in Section 101(12) of CERCLA. The GRANTEE (Agency), for itself, its successors or assigns, covenants that it will not undertake nor allow any activity on or use of the Property that would violate the restrictions contained herein. These restrictions and covenants are binding on the GRANTEE (Agency), its successors and assigns,· shall run with the land; and are forever enforceable.

F. The restrictions and conditions stated in the CR UP benefit the public in general and the territory surrounding the Property, including lands retained by the United States, and, therefore, are enforceable by the United States Government and the State of California. The GRANTEE (Agency) covenants for itself, its successors and • assigns, that it shall include and otherwise make legally binding, the restrictions in this section in all subsequent lease, transfer or conveyance documents relating to the Property subject hereto.

G. The Army and its representatives shall, for all time, have access to the Property for the purpose of installing and/or removing groundwater monitoring wells, and to perform continued monitoring of groundwater conditions, allowing chemical and/or physical testing of wells to evaluate water q7:"llity and/or aquifer characteristics.

The Property owner shall allow ingress and egress of all equipment necessary to accomplish the same.
4819-7S84-0513.7
17 QIDTCLAIM DEED FOR PARCELS L23.1.2 AND L23.1.S ON THE FORMER FORT ORD •

33. NOTICE OF TJfE POTENTIAL FOR THE PRESENCE OF ORDNANCE

AND EXPLOSIVES
A. Ordnance and explosives ("OE'? investigations indicate that it is not likely that OE is located within the Property. However, there is a potential for OE to be present because OE were used throughout the history of Fort Ord. In the event the GRANTEE (Agency), its successors and assigns, should discover any ordnance on the Property, they shall not attempt to remove or destroy it, but shall immediately complete Section A of the Ordnance and Explosives Incident Reporting Form, fax the form to the Presidio of Monterey Police Department at (831} 242-7740 and notify the Presidio of Monterey Police Department via telephone at (831) 242-7851 and competent GRANTOR (Government) or GRANTOR (Government) designated explosive ordnance personnel will promptly be dispatched to dispose of such ordnance at no expense to the GRANTEE (Agency). The GRANTEE (Agency) hereby acknowledges receipt of the "Ordnance and Explosives Safety Alert" pamphlet and the Ordnance and Explosives Incident Reporting Form.

B. In addition, the Army offers OE familiarization training to anyone conducting ground disturbance activities (digging holes, excavating trenches, repairing underground utilities, etc.) at the former Fort Ord. The OE Safety Specialist conducts a thirty-minute training session. This training session includes a lecture on what OE might be found, the procedure to follow if something is found and "Safety Alert" brochures are also distributed. To schedule this training, please contact the . Directorate of Environmental and Natural Resources at (831) 242-7919.

C. The GRANTOR (Government) reserves the right to conduct any remedial action and/or investigation that the Army is responsible for, as required or necessary as a result of the ongoing OE Remedial Investigation/Feasibility Study.

34. ENDANGERED SPECIES
The GRANTEE (Agency}, its successors and assigns, shall comply with the requirements, if any and if applicable, of the Fort Ord Jnstallati.on-Wide Multi-species Habitat Management Plan ("HMP '? for former Fort Ord, California.

A. The Property is within HMP Development Areas. No resource conservation requirements are associated with the HMP for this parcel. However, small pockets of habitat may be preserved within and around the Property. 4819-7S84-0Sl3.7
18 QUITCLAIM DEED FOR PARCELS L23.1.2 AND L23.1.5 ON THE FORMER FORT ORD
B. The Biological Opinion identifies sensitive biological resources that may be salvaged for use in restoration activities within reserve areas, and allows for development of the Property.

C. The HMP does not exempt the GRANTEE (Agency) from complying with environmental regulations enforced by Federal, State or locpl agencies. These . regulations could include obtaining the Endangered Species Act ("ESA ") (16 U.S.C. §1531-1544 et seq.) Section 7 or Section J0(a) permits from·the U.S. Fish and Wildlife Service ("USFWS,,),· complying with prohibitions against take of listed animals under ESA Section 9, complying with prohibitions against the removal of listed plants occurring on Federal lands or the destruction of listed plants in violation of any state laws,· complying with measures for conservation of state-listed threatened and endangered species and other special-status species recognized by California Department of Fish and Game ("DFG ") under the California ESA, or California Environmental Quality Act ("CEQA "); and complying with local land use regulations and restrictions.

D. The HMP serves as a management plan for both listed and candidate species, and is a prelisting agreement between the USFWS and the local jurisdiction for candidate species that may need to be listed because of circumstances occurring outside the area covered by the HMP.

E. Implementation of the HMP would be considered suitable mitigation for impacts t(? HMP species within HMP prevalent areas and would facilitate the USFWS procedures to authorize incidental take of these species by participating entitles as required under ESA Section 10. No further mitigation will be required to allow development on the Property unless species other than the HMP target species are proposed for listing or are listed.

F. The HMP does not authorize incidental taldng of any species listed as threatened or endangered under the ESA by entities acquiring land at the former Fort Ord. The USFWS has recommended that all non federal entities acquiring land at former Fort Ord apply for ESA Section J0(a)(l)(B) incidental taking permits for the species covered in the HMP. The definition of "take" under the ESA includes to harass, harm, hunt, shoot, wound, kill, trap, capture, or collect, or attempt to engage in any such conduct. Although the USFWS will n<;,t require further mitigation from entities that are in conformance with the HMP, those entities without incidental taking authorization would be in violation of the ESA if any of their actions resulted in the taldng of a listed animal species. To apply for a Section J0(a)(l)(B) incidental taking permit, an entity must submit an application form (Form 3-200), a complete description of the activity 4819-7584-0513.7
19 QUITCLAIM DEED FOR PARCELS L23.1.2 AND L23.1.5 ON THE FORMER FORT ORD
sought to be authorized, the common and scientific names of the species sought to be covered by the permit, and a conservation plan (50 CFR J 7.22(b)).

G. The GRANTEE (Agency) acknowledges that it has signed the HMP dated April 1997, and will cooperate with adjacent property owners in implementing mitigation requirements identified in the HMP for adjacent sensitive habitat areas.

35. AIR NAVIGATION RESERVATION AND RESTRICTIONS
The Monterey Airport and the former Fritzsche Airfield, now known as the Marina Municipal Airport are in close proximity of the Property. Accordingly, in coordination with the Federal Aviation Administration, the GRANTEE (Agency), by the acceptance of this Deed, further covenants and agrees for itself, its successors and assigns and every successor in inter_est to the Property herein conveyed, or any part thereot that, when applicable, there will be no construction or alteration unless a determination of no hazard to air navigation is issued by the Federal Aviation Administration in accordance with Title 14, Code of Federal Regulations, Part 77 entitled "Objects Affecting Navigable Airspace", or under the r,zuthority of the Federal Aviation Act of 1958, as amended.

36. Should the subject parcel be considered for the proposed acquisition and construction of school properties utilizing State funding, at any time in the future, a separate environmental review process in compliance with the California Education Code Section 17210 et seq., will need to be conducted and approved by the DTSC.

37. The Army shall not incur liability for additional response action or co"ective action found to be necessary after the date of transfer in any case in which the person or entity to whom the Property is transferred, or other non-Army entities, is identified as the party responsible for contamination of the Property.

38. 'I'he GRANTOR 's (Government) obligation to pay or reimburse any money under this Deed is subject to the availability of appropriated funds to the Department of the Army, and nothing in this Deed shall be interpreted to require obligations or payments by the GRANTOR (Government) in violation of the Anti-Deficiency Act. 4819-7S84-0513.7
20 QUITCLAIM DEED FOR PARCELS L23.1.2 AND L23.1.S ON THE FORMER FORT ORD •

39. If any provision of this Deed, or the application of it to any person or circumstance, is found to be invalid, the remainder ·of the provisions of this Deed, or th~ application of such provisions to persons or circumstances other than those to which it is found to be invalid, shall not be affected thereby.

The captions in this Deed have been inserted solely for convenience of reference and are not a part of this Deed and shall have no effect upon construction or interpretation.

40. All covenants, conditions subsequent and restrictions contained in this Deed shall run with the land and be binding upon GRANTEE (Agency), its successors and assigns, to all or any part of the Property. Restrictions, stipulations and covenants contained herein will be inserted by the GRANTEE verbatim or by express reference in any deed or other legal instrument by which it divests itself of either the fee simple title or any other lesser estate in the Property or any portion thereof All rights and powers reserved to GRANTOR: (Government) by _this Deed may be exercised by any successor in function to GRANTOR (Government), and all references in this Deed to GRANTOR (Government) shall include its successor in function. All covenants and conditions subsequent contained herein are for the sole benefit of GRANTOR (Government) and may be modified or abrogated by it as provided in the Act, PROVIDED, HOWEVER, that the failure of the GRANTOR (Government) or its successor to insist in any one or more instances upon complete performance of any of the said conditions shall not be construed as a waiver. or a relinquishment of the future performance of any such conditions, but the obligations of the GRANTEE (Agency}, its successors or assigns, with respect to such performance shall be continued in full force and effect.

The responsibilities and obligations placed upon, and the benefits provided to, the Grantor by the Government shall run with the land and be binding on and inure to the benefit of all subsequent owners of the Property unless or until such responsibilities, obligations, or benefits are released pursuant to the provisions set forth in the Government Deed. Grantee and its successors and assigns, respectively, shall not be liable for any breach of such responsibilities and obligations with regard to the Property arising from any matters or events occurring after transfer of ownership of the Property by Grantee or its successors and assigns, respectively; provided, however, that each such party shall, notwithstanding such transfer, remain liable for any breach of such responsibilities and obligations to the extent caused by the fault or negligence of such party.

The Grantee, by acceptance of this Deed, covenants and agrees for itself, its successors and assigns, that the Property is transferred on an "as is, where is" basis, without warranty of any 4819-7584-0S13.7
21 ·--------
QUITCLAIM DEED FOR PARCELS L23.1.2 AND L23.1.5 ON THE FORMER FORT ORD
kind, either expressed or implied; including as to the condition of the Property. The Grantee also covenants and agrees for itself, its successors and assigns, that Grant-or has no obligation to provide any additions, improvements, or alterations to the Property.

Notice is hereby given of, and Grantee agrees to comply with, the requirements set forth in Section 3.03.090 of the Fort Ord Reuse Authority Master Resolution, adopted March 14, 1997, as amended (the "FORA Master Resolution"), regarding the payment ofno less than the general prevailing rate of wages for work of a similar character in Monterey County, as determined by the Director of the Department of Industrial Relations under Division 2, Part 7, Chapter 1 of the California Labor Code, to all workers employed on the First Generation Construction performed on parcels subject to the Fort Ord Base Reuse Plan, as further defined and described in the FORA Master Resolution.

General Provisions:

A. Liberal Construction. Any general rule of construction to the contrary notwithstanding, this Deed shall be liberally construed to effectuate the purpose of this Deed and the policy and purpose of CERCLA. If any provision of this Deed is found to be ambiguous, an interpretation consistent with the purpose of this Deed that would render the provision valid shall be favored over any interpretation that would render it invalid.

B. Severability. If any provision of this Deed, or the application of it to any person or circumstance, is found to be invalid, the remainder of the provisions of this Deed, or the application of such provisions to persons or circumstances other than those to which it is found to be invalid, shall not be affected thereby.

C. No Forfeiture. Nothing contained herein will result in a forfeiture or reversion of title in any respect.

D. Captions. The captions in this Deed have been inserted solely for convenience of reference and are not a part of this Deed and shall_ have no effect upon construction or interpretation.

E. Right to Perform. Any right which is exercisable by the Grantee, and its successors and assigns, to perform under this Deed may also be performed, in the event of non­ performance by the Grantee, or its successors and assigns, by a iender of the Grantee and its successors and assigns. •
4819-7584-0513.7
22 QUITCLAIM DEED FOR PARCELS L23.1.2 AND L23.l.S ON THE FORMER FORT ORD
The conditions, restrictions, and covenants set forth in this Deed are a binding servitude on the herein conveyed Property and will be deemed to run with the land in perpetuity.

Restrictions, stipulations and covenants contained herein will be inserted by the Grantee verbatim or by express reference in any deed or other legal instrument by which it divests itself of either the fee simple title or any other lesser estate in the Property or any portion thereof. All rights and powers reserved to the Grantor, and all references in this Deed to Grantor shall include its successors in interest. The Grantor may agree to waive, eliminate, or reduce the obligations contained in the covenants, PROVIDED, HOWEVER, that the failure of the Grantor or its successors to insist in any one or more instances upon complete performance of any of the said conditions shall not be construed as a waiver or a relinquishment of the future performance of any such conditions, but the obligations of the Grantee, its successors and assigns, with respect to such future performance shall be continued in full force and effect. [Signature Pages Follow]
48 t 9-7584-0513. 7
23 QUITCLAIM DEED FOR PARCELS L23.1.2 AND L23.1.5 ON THE FORMER FORT ORD
IN WITNESS WHEREOF, the Grantor, the MONTEREY PENINSULA COMMUNITY COLLEGE DISTRICT, has caused this Deed to be executed this lith day of Atkt,ust , 2010.

STATE OF CALIFORNIA )
) ss

COUNTY OF MONTEREY)

MONTEREY PENINSULA COMMUNITY

COLLEGE DISTRICT
,/ g o?t?/0 before me, fLµ( b~ ersonally appeared
e___b'))Jl;qt!fa~~~'U.!Jfl~cl)twho proved to me on the basis of satisfactory evi e e the person whose n is subscribed to the within instrument and acknowledge to me that he executed the same in his authorized capacity, and that by his signature on the instrument the person or the entity upon behalf of which person 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~ dJ L~J (seal)
4819-7584-0S13.7
24 i.EZA D. TURNER
COMM. #1773317 z
Notary Public - cautornia ~
Monterey Count.v ..

Comm. iresOd. 15 2011
QUITCLAIM DEED FOR PARCELS L23.1.2 AND L23.1.S-ON THE FORMER FORT ORD
ACCEPTANCE:

In Testim;r Whereof, witness the signature of THE MARINA REDEVELOPMENT AGENCY, this day of :[L-\..V\.-e._ , 2010 hereby accepts and approves this Deed for itself, its successors and assigns, and agrees to all the conditions, reservations, restrictions, and terms contained therein.

STATE OF CALIFORNIA )
) ss

COUNTY OF MONTEREY)
GENCY
tJb~ i=lfl'bl,;_
On T~L 'J, {J.DJO beforeme,bwb:t.S~~~reJ.~~ersonallyappeared .~~y A,\\--t"eld who proved to me on the basis of satisfactory evidence to be the person whose name is subscribed to the within instrument and acknowledge to me that he executed the same in his authorized capacity, and that by his signature on the instrument the person or the entity upon behalf of which person acted, executed the instrument
I certify under PENAL TY 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 0-J:. - (seal)
4819-7584--0S 13. 7
25 QUITCLAIM DEED FOR PARCELS L23.1.2 AND L23.1.5 ON THE FORMER FORT ORD
481!>.7S84.0S13.7
Exhibit A
Description of the Property
26 LEGAL DESCRIPTION EXHIBIT A
CITY OF MARINA, 209 Cypress Ave, CA 93933
(831) 884-1212
DATE: 03/02/1 O I SHEET 1 OF 2 I JOB N0.10.303
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CITY OF MARINA, 209 Cypress Ave, CA 93933
(831) 884-1212
DATE: 03/02/10 SHEET 2 OF 2 JOB NO. 10.303
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QUITCLAIM DEED FOR PARCELS L23.l.2 AND L23.1.S ON THE FORMER FORT ORD
4819-7584-0513.7
27 EXHIBITB

ABROGATION & RELEASE OF RESTRICTIONS

EXECUTION VERSION

ABROGATION AND RELEASE OF RESTRICTIONS
This AGREEMENT is made this 'MJ.. day o~__,.:=;~pa1-=N~--'' 2010 between the UNITED STATES OF AMERICA, acting by and through the Secretary of Education, by Wanda A. Davis, Acting Director, Federal Real Property Assistance Program, Office of Management, U.S.

Department of Education ("GRANTOR") pursuant to §203(k) of the Federal Property and Administrative Services Act of 1949, as amended ("Act"), 40 U.S.C. §550(b), et seq., the Department of Education Organization Act of 1979, 20 U.S.C. §3401 et seg., and the MONTEREY PENINSULA COMMUNITY COLLEGE DISTRJCT, Monterey, California, a tax . .
supported educational institution and political subdivision of the State of California ("GRANTEE"), having its principal place of business at 980 Fremont Street in Monterey, California.

I. RECITALS

1. By Quitclaim Deed dated October 18, 2004 ("DEED"), the UNITED ST A TES OF AMERICA, acting through the Secretary of Education, by Da~d B. Hakola, former Director, Federal Real Property Assistance Program, Office of Management, did convey to GRANTEE certain real property identifi'ed as Parcels L23.l.l, L23.1.2, L23.1.3, L23.1.4, L23.1.5, L23.4 and L23.6, being portions of the Fort Ord Military Reservation, consisting of a total of25.16 acres of improved land located in the_ County of Monterey, State of California ("Property"). The DEED was recorded August 31, 2005 as Series #2005090734 in Monterey County, California. The 485 l-639S-8277.4 \
Property is more particularly described in Exhibit "A" of the DEED, a copy of which is attached hereto and made part hereof as Exhibit "A".

2. The DEED provided that the conveyance was subject to certain covenants, conditions subsequent and restrictions. Among those conditions are c·onditions subsequent numbered 1, 2, 3, and 4 on pages five (5) and six (6) of the DEED. The DEED provided on pages 12 and 13 that the conditions subsequent could be abrogated if the UNITED ST ATES OF AMERICA consented and upon payment of an abrogation sum.

3. GRANTEE requested releas~ from said conditions subsequent as they apply to Parcels L23.l.2 (previously incorrectly described as L23.l.l) and L23.l.5, consisting of a total 6.89 acres, of the Property ("PORTION") because GRANTEE wishes to convey the PORTION to the Marina Redevelopment Agency in order for GRANTEE to obtain portions of other parcels of land, E2c.3. l and E2c.2, consisting of a total approximately 7.76 acres (''NEW P~OPERTY") from the Marina Redevelopment Agency. The PORTION is more particularly described as follows:

Parcel 4 (5.56 Acres) L23.1.2
COMMENCING at the southwesterly comer of that certain 3.994 acre parcel shown and so designated as "Parcel 1" on that certain Record of Survey map filed December 6; 1995, in Volume 19 of Surveys, at Page 126, Records of Monterey County., California; thence running along the southerly pr~longation of the easterly line of said parcel a. S 04°36'53" W, 18.97 feet to the irue Point of Beginning; thence leaving said prolongation line •
I. S 73°16'26" E, 330.90 feet; thence along the westerly line of Third Avenue

2. N 16°44'33" E, 575.99 feet; thence

3. Northwesterly, 62.76 feet along the arc of a tangent curve to the left having a radius of 40.00 feet, through a central angle of 89°54'08"; thence tangentially along the southerly line of Twelfth Street

4. N 73°09'35" W, 174.02 feet; thence
48S l-6395-8277.4
G
C

5. Westerly, 245.71 feet along the arc of a tangent curve to the left having a radius of 1142.00 feet, through a central angle of 12°19'39" to the northeasterly comer of said "Parcel 1 "; thence leaving said southerly line of Twelfth Street and running instead along the easterly line of said "Parcel I"

6. S 04°36'35" W, 282. 73 feet; thence

7. S 04°36'53" W, 321.23 feet to the True Point of Beginning (at 302.25 feet, said point of commencement).

Parcel 5 (1.33 Acres) L23.1.5
BEGINNING at a point the coordinate being Northing= 2138981.90 and Easting= 5738493.37; thence

1. 2.

3. 4.

S 01 °40'22" W, 339.76 feet; thence .

S 88°07' 15" E, 170.20 feet; thence along the westerly line of Eleventh Street N 01 °40'22" E, 340.38 feet; thence leaving said westerly line N 88°19'38" W, 170.20 feet to the Point of Beginning.

Property not being released consists of Parcels L23. l .1, L23. l .3, L23. l .4, L23.4 and L23.6, containing·approximately 18.29 acres ("REMAINING PROPERTY").

4. GRANTEE was duly authorized to agree to this Abrogation and Release of Restrictions by governing board resolution dated February 27, 2007.

5. A material part of the consideration for this Abrogation and Release of Restrictions is the agreement by GRANTEE to pledge back to GR.ANTOR certain rights in the NEW PROPERTY and to implement the educational programs set forth in the July I, 2003 application approved by GRANTOR. Thos(? rights are de~cribed more particularJy in a.Declaration of Covenant agreement which is attached to this Abrogation and Release of Restrictions as Exhibit "B".

6. Notice of the proposed abrogation has been given to the U.S. Anny Corps of Engineers and on De~ember 11, 2009 no objection was interposed thereto.

7. The DEED further contains a covenant by GR.ANTEE, its successors and assigns, that in the event the Property or ~y part or interest thereof is, at any time within the period of thirty 3 485 l-6395•8277.4
(30) years from the date of the conveyance, sold, leased, mortgaged, encumbered or otherwise disposed of or used for purposes otper than those designated in condition subsequent 1 of Paragraph 6 of the DEED without the written consent of GRANTOR, all revenues thtirefrom and the reasonable value, as determined by GRANTOR, of any other benefits to the GRANTEE, . deriving directly or indirectly from such sale, lease, mortgage, encumbrance, disposal or use, shall be consid~red to have been received and held in trust by GRANTEE for the UNITED ST A TES OF AMERICA and shall be subject to the direction and control of GRANTOR.

GRANTOR has determined that continuance of this right to all revenues upon the PORTION would serve no useful purpose but would instead impose an unnecessary cloud upon title to the PORTION after abrogation of the conditions subsequent.

II. AGREEMENT
IN CONSIDERATION of the agreement of GRANTEE to pledge back to GRANTOR certain rights in the NEW PROPERTY, which are described more particularly in the Declaration of Covenant and is attached to this Abrogation and Release of Restrictions as Exhibit ''B", and to implement on the NEW PROPERTY the programs described in its July 1, ·2003 approved application, one dollar, the mutual agreements contained herein and other good and valuabie consideration, GRANTOR and GRANTEE agree to the following:
·s. GRANTOR, by execution of this Abrogation and Release of Restrictions, releases GRANTEE, its successors and assigns, from the conditions subsequent numbered 1, 2, 3 and 4 as set forth in the DEED as they appl~ to the PORTION as defmed above in paragraph 3.

9. GRANTOR, by execution of this Agreement, waives its rights _to all rev~nues ~r the reasonable value of benefits to GRANTEE deriving directly or indirectly from such sale, lease, 4 485 l-6395-8277.4
mortgage, encumbrance, disposal or use of the PORTION as set forth in the DEED, and releases GRANTEE, its successors and assigns, from such covenants and agreements as they apply prospectively to the PORTION.

10. GRANTEE, by execution of this Agreement, agrees that it shall pledge back to GRANTOR certain rights in the NEW PROPERTY as described in the Declaration of Covenant, which is attached hereto as Exhibit "B" and shall implement the educational programs set forth in the July 1, 2003 application approved by GRANTOR within three (3) years from the date of this Agreement.

11. GRANTEE agrees, however, to notify the Marina Redevelopment Agency and to include in the Quitclaim Deed conveying the PORTION, all covenants, conditions, reservations and restrictions set forth in the DEED from the UNITED STATES OF AMERICA that shall continue to run with the land but are otherwise released in this instrument. In this section only, "GRANTEE" is defined as the Marina Redevelopment Agency and "Property" is defined as . . parcels L23.1.2 and L23 .1.5. Specifically, verbatim from the DEED, the following must be included in the Quitclaim Deed to the Marina Redevelopment Agency:
"5 .A. The Property is taken by the GRANTEE subject to any and all valid and existing recorded outstanding liens, licenses, leases, easements, and any other encumbrances made for the purpose of roads, streets, utility systems, rights-of-way, pipelines and/or covenants, exceptions, interests, liens, reservations; and agreements of record. . B. The Army reserves a perpetual unassignable right to enter the Property for the specific purpose of treating or removing any unexploded shells, mines, bombs or other such devices • deposited or caused by the Anny.

C. Access by USA Media Group, LLC, or its successor in interest, to TV cable lines is reserved until expiration of its existing franchise agreement, November 19, 2005.

D. The reserved rights and easements that were outgranted by Army to the respective grantees and referenced in this section are subject to the following terms and conditions:
(1) to comply with all applicable federal la~ and lawful existing_regulations; 5 48S l-639S-8277 .4
(2) to allow the occupancy and use by the respective grantees, successors, assigns, permittees, or lessees of any part of the easement areas not actually occupied or required for the purpose of the full and safe utilization thereof by the GRANTOR, so long as such occupancy and use does not compromise the ability of the GRANTEE to use the easements for their intended purposes, as set forth herein;
(3) that the outgrants conveyed shall be for the specific use described and may not be construed to include the further right to authorize any other use within the easements unless approved in writing by the fee holder of the land subject to the easement; ( 4) that any transfer of the out grants by assignment, lease, operating agreement or otherwise must include language that the transferee agrees to comply with and be bound by the terms and conditions of the original grant;
( 5) that, unless otherwise provided, no interest granted shall give the grantees any right to remove any material, earth or stone for consideration or other purpose except as necessary in exercising its rights hereunder; and
(6) to restore any easement area so far as it is reasonably possible to do so upon _ abandonment or release of any easement as provided herein unless this requirement is waived in writing by ~e then owner of the Property.

E. GRANTOR reserves mineral rights that GRANTOR owns presently or may at a future date be determined to own with the right of surface entry in a manner that does not unreasonably interfere with GRANTEE's development and quiet enjoyment of the Property.

12. GRANTEE, by acceptance of this Deed, further covenants· and agrees for itself, its successors and assigns, to indemnify and hold hannless the United States, its agents, and employees against any and all loss, damage, claim, or liability whatsoever, due to GRANTEE's use or occupancy of the Property, or any other act or omission of GRANTEE, including failure to comply with the obligations of this transfer.

19. GRANTOR expressly reserves from this conveyance all mineral rights in the Property. GRANTOR reserves the right to enter upon the Property to prospect for and produce such minerals. GRANTEE, by the acceptance of this Deed, further covenants and agrees for itself, its successors and assigns, that at all times during the period that it holds title to the Property subject to conditions subsequent 1, 2, 3 and 4 of Paragraph 6 of this Deed, it shall not engage in, authorize, permit or suffer the extraction or production of any minerals from the Property without the written consent of GRANTOR. GRANTEE~ by the acceptance of this Deed, further covenants and agrees for itself, its successors and assigns, that should an extraction or production of minerals, on or under the described Property, occur during that period that it holds title to the Property subject to conditions subsequent 1, 2, 3 and 4 of paragraph 6 of this Deed: (i) it will hold all payments, bonuses, delayed rentals, or royalties in trust for GRANTOR, and will promptly pay such revenue to GRANTOR and (ii) that all net revenues and proceeds resulting from the extraction or production of any minerals, by GRANTEE, its successors and assigns, will be held in trust for and promptly paid to GRANTOR. Nothing herein shall be construed as authorizing the GRANTEE ~o engage in the extraction or production of minerals in, on or under the Property.
6 48S l-639S-8277.4

23. The United States acknowledges that former Fort Ord has been identified as a National Priority List ("NPL") Site under the Comprehensive Environmental Response.­ Compensation and Liability Act ("CERCLA") of 1980, as amended. The GRANTEE acknowledges that the United States has provided it with a copy of the Fort Ord Federal Facility Agreement ("FFA") entered.into by the United States Environmental Protection Agency ("EPA") ~egion IX, the State of California, and the Department of the Arµiy, effective on February 1990, and will provide the GRANTEE with a copy of any amendments thereto. The GRANTEE agrees that should any conflict arise between the terms of the FF A as they presently exist or may be amended, and the provision of this Property transfer, the terms of the FFA will talce precedence.

The GRANTEE further agrees that notwithstanding any other provisions of this conveyal}ce, the United States assumes no liability to the GRANTEE should implementation of the FF A interfere with the GRANTEE's use of the Property. The GRANTEE, or any subsequent transferee, shall have no claim on account of any such interference against the United States or any officer, agent, employee, or contractor thereof.

24. CERCLA COVENANTS, NOTICE, AND ENVIRONMENTAL REMEDIATION A. Pursuant to Section 120(h)(3) ofCERCLA as amended, 42 U.S.C. §9601 et seq., the Finding of Suitability for Transfer ("FOST") attached hereto and ~ade a part hereof as Exhibit 11 B" [to the DEED], and an environmental baseline survey ("EBS") known as Community Environmental Response Facilities Act report, which is referenced in the FOST, sets forth the environmental condition of the Property. The FOST sets forth the basis for the GRANTOR's determination that the Property is suitable for transfer. The GRANTEE is hereby made aware of the notifications contained in the BBS and the FOST. The GRANTEE has inspected the Property and accepts the physical condition and current level of environmental hazards on the Property . and deems the Property to be safe for the GRANTEE's intended use. The GRANTOR represents that the Property is environmentally suitable for transfer to GRANTEE for the purposes identified in the Final Fort Ord Base Reuse Plan dated December 12, 1994, as amended on June 13, 1997, as approved by the Fort Ord Reuse Authority. If, after conveyance of the Property to GRANTEE, there is an actual or threatened release of a hazardous substance on the Property, or in the event that a hazardous substance is discovered on the Property after the date of conveyance, whether or not such substance was set forth in the technical environmental reports including the EBS, the GRANTEE or its successor or assigns shall be responsible for such release or n~wly discovered substance unless such release or such newly discovered substance was due to GRANTOR's activities, ownership, use, presence on or occupation of the Property, or the activities of GRANTOR's contractors and/or agents. GRANTEE, its successors and assigns, as consideration for the conveyance, agrees to release GRANTOR from any liability or responsibility for any claims arising out of or in any way predicated on release of any hazardous substance on the Property occurring after the conveyance, w,iere such hazardous substance was released by the GRANTEE, or its agents or contractors, after the conveyance.

B. Pursuant to Section 120(h)(3) ofCERCLA, 42 U.S.C. §9620(b)(3), the GRANTOR hereby notifies the GRANTEE, its successors and assigns, of the storage, release, and disposal of hazardous substances on the Property.
7 48S l •639S-8277.4
(1) The GRANTOR hereby covenants that prior to the date of this conveyance, all corrective, remedial and response actions necessary to protect human health and the environment . have been taken with respect to the Property.
(2) The GRANTOR hereby covenants that all corrective, remedial and response actions necessary to protect human health and the environment with respect to any hazardous substances placed on the Property by the GRANTOR.and remaining on the Property after the date of transfer shall be conducted by the GRANTOR.

C. The CERCLA warranty shall not apply in any case in which the person or entity to whom the Property is transferred is a "potentially responsible party", as defined under CERCLA Section 107(a)(2)-(4) with respect to such Property prior to such transfer.

D. The GRANTOR reserves a CERCLA Access easement as provided in this Deed.

E. Nothing in this section is intended to, nor shall it be construed to, alter, amend, increase or diminish the parties' rights, liabilities and duties as set forth more fully in Section 120(h) of CERCLA, 42 U:S.C. §9620(h).

F. The GRANTOR shall not incur liability for additional response action or corrective action found to be necessary after the date of transfer unless the GRANTEE, its successors or assigns is able to demonstrate that such release or such newly discovered substance was due to GRANTO R's activities, ownership, use or occupation of the Property.

25. CERCLA ACCESS
A. The Government, the EPA, and the California Environmental Protection Agency, Department of Toxic Substances Control ("DTSC"), and their officers, agents, employees, contractors and subcontractors.will have the right, upon reasona~le notice to the QRANTEE, to enter upon the transferred premises in any case in which a response or corrective action is found to be necessary after the date of transfer of the Property or such access is necessary to carry out a response action or correction action on adjoining property, including, without limitation, the following purpose:
(1) To conduct investigations and surveys, in~luding where necessary, drilling, soil and water sampling, test-pitting, and other activities related to the Fort Ord Installation Restoration Program ("IRP"), Ordnance and Explosives ("OE") program, or.FF A; . (2) To inspect field activities of the Anny and its contractors and subcontractors with regards to implementing the Ford Ord IRP, OE program or FFA; (3) To conduct any test or survey related to the implementation .of the IRP by the EPA or the DTSC relating to the implementation of the FFA or environmental conditions at Fort Ord or to verify any data ·submitted to the EPA or the DTSC by the Government relating to such conditions; and
( 4) To construct, operate, maintain or undertake any other investigation, corrective measure, response or remedial action as required or necessary under any Fort Ord FF A, Record of Decision ("RQD"), IRP or OE program requirement, including but not limited to monitoring wells, pumping wens and treatment facilities.
8 48S l-6395-8277.4
B. GRANTEE agrees that, notwithstanding any other provisions of this Deed, the GRANTOR assumes no liability to the GRANTEE, its successors or assigns, or any other person, should remediation of the Property interfere with the use of the Property. The GRANTEE, the then record owner, and any other person shall have no claim against the GRANTOR or any of its officers, agents, employees or contractors solely on account of any such interference resulting from such remediation.

26. INDEMNITY - The GRANTOR recognizes its obligation to hold harmless, defend and indemnify the GRANTEE and any successor, assignee, transferee, lender or lessee of the GRANTEE or its successors and assigns, as required and limited by Section 330 of the National Defense Authorization Act of 1993, as amended (P.L. No. 102-484), and to otherwise meet its obligations under Federal law: •

27. NOTICE OF HAZARDOUS SUBSTANCE STORAGE-This is applicable to Parcels L23.l.l, L23.l.2, L23.l.3, L23.1.4, L23.1.S, and L23.4.

The GRANTOR hereby notifies the GRANTEE of the former storage, release or disposal of hazardous substances on L23.l.l, L23.1.2, L23.l.3, L23.l.4, L23.l.5, and L23.4. The items typically stored on the Property are listed in Table 4 of the FOST. The information regarding this storage indicates that it was conducted in a manner that would not pose a threat to human health and the environment. This notice is given pursuant to CERCLA and no additional action is necessary under CERCLA to protect human health and the environment.

28. NOTICE OF THE PRESENCE OF ASBESTOS AND COVENANT - This is applicable to Parcels L23.1.3~ L23.l.4, L23.1.5, and L23.6.

A. The GRANTEE is hereby informed and does acknowledge that friable asbestos or asbestos-containing material ("ACM") have bee~ found on Parcels L23.1.3, ~23.1.4, L23.1.S-and L23 .6, as described in the referenced asbestos survey ancl swnmarized in the Environmental' Baseline Surveys ("EBS'1) for the California State University Monterey Bay Parcel, the Main Garrison Parcels, Surplus II Parcels and the UC Santa Cruz Parcel.

B. The Environmental Baseline Surveys for the California State University Monterey Bay Parcel, the Main Garrison Parcels, Surplus II Parcels and the UC Santa Cruz Parcel determined that several buildings have been determined to contain friable and non-friable asbestos that may pose a threat to human health. Detailed information is contained in the Asbestos Survey Report, Fort Ord Installation (April 26, 1993). The GRANTOR has agreed to transfer said buildings to the GRANTEE, prior to remediation of asbestos hazards, in reliance upon the GRANTEE's express representation and promise that the GRANTEE will, prior to use or occupancy of said buildings, demolish said buildings or the portions thereof containing friable asbestos, disposing of ACM in accordance with applicable laws and regulations. With respect to the friable asbestos in said buildings and structures, the GRANTEE specifically agrees to undertake any and all abatement or remediation that may be required under CERCLA l 20(h)(3) or any other applicable law or regulation. The GRANTEE acknowledges that the consideration 9 48S1-639S-8277.4
for the conveyance of Parcels L23 .1.3, L23 .1.4, L23 .1.5, and L23 .6 was negotiated based upon the GRANTEE's agreement to the provisions contained in this section. . C. The GRANTEE covenants and agrees that its use and occupancy of Parcels L23.l.3, L23. l.4, L23. l.5, and L23.6 wi.ll be in compliance with all applicable laws relating to asbestos; and ~at the GRANTOR assumes no liability for future remediation of asbestos or damages for personal injwy, illness, disability or death, to the GRANTEE, its successors or assigns, or to any other person, including members of the general public, arising from or incident to the purchase, transportation, removal, handling, use, disposition or other activity causing or leading to contact of any kind whatsoever with asbestos or ACM on the Parcels L23. l.3, L23.1.4, L23.l.5, and L23.6, whether the GRANTEE, its successors or assigns have properly warned or failed· to properly warn the individual(s) injured. The GRANTEE agrees to be responsible for any future remediation of asbestos found to be necessary on the Parcels L23.l.3, L23.l.4, L23.l.5, and L23.6 as a result of the GRANTEE's activities. The GRANTEE assumes no liability for damages for personal injury, illness, disability, death or property damage arising from (i) any exposure or failure to comply with any legal requirements applicable to asbestos on any portion of the Parcels L23.l.3, L23.l.4, L23.l.5, and L23.6 arising prior to GRANTOR's conveyance of such portion of the Parcels L23. l.3, L23. l .4, L23. l .5, and L23.6 to the GRANTEE pursuant to this Deed, or (ii) any disposal, prior to the GRANTOR's conveyance of the Parcels L23.l.3, L23.1.4, L23.l.5, and L23.6, of any asbestos or ACM.

D. Unprotected or unregulated exposure to asbestos in product manufacturing, shipyard and building construction workplaces have been associated with asbestos-related diseases. Both Occupational Safety and Health Administration ("OSHA") and the ·EPA regulate asbestos because of the potential hazards associated with exposure to airborne asbestos fibers. Both OSHA and the EPA have detennined that such exposure increases the risk of asbestos-related diseases, which include certain cancers and which can result in disability or death.

E. The GRANTEE acknowledges that it has inspected Parcels L23. l .3, L23 .1.4, L23. l .5 and L23.6 as to its asbestos content and condition and any hazardous or environmental conditions relating thereto prior to accepting the responsibilities imposed upon the GRANTEE under this section. The failure of the GRANTEE to inspect or to be fully informed as to the asbestos conditions of all or any portion of Parcels L23.1.3, L23.l.4, L23.l.5, and L23.6 offered will not constitute grounds for any claim or demand against the United States or any adjustment under this Deed.

F. The GRANTEE further agrees to indemnify and hold hannless the Army, its officers, agents and employees, from and _against all suits, claims, demands or actions, liabilities, judgments, costs and attorneys• fees arising out of, or in any manner predicated upon, exposure to asbestos on any portion of Parcels L23.1.3, L23.1.4, L23.1.5 and L23.6 after this conveyance of Parcels L23.l.3, L23.l .4, L23.l.5 and L23.6 to the GRANTEE or any future-remediation or abatement of asbestos or the need therefore. The GRANTEE's obligation hereunder shall apply whenever the United States incurs costs or liabilities for actions giving rise to liability under this section.
10 4851-6395·8277.4

29. NOTICE OF THE PRESENCE OF LEAD-BASED PAINT AND COVENANT - This is applicable to Parcels L23.l.3, L23.1.4, L23.l.5 and L23.6.

A. The GRANTEE is hereby informed and does acknowledge that all buildings on Parcels L23.l.3, L23.1.4, L23.l.5 and L23.6, which were constructed or rehabilitated prior to 1978, are presumed to contain lead-based paint. Lead from paint, paint chips and dust can pose health hazards if not managed properly. Every purchaser of any interest in Residential Real Property on which a residential dwelling was built to 1978 is notified that such property may present exposure to lead from lead-based paint that may place young children at risk of developing lead poisoning. Lead poisoning in young children may produce permanent neurologi_cal damage, including learning disabilities, reduced intelligent quotient, behavioral problems and impaired memory. Lead poisoning also poses a particular risk to pregnant women.

The seller of any interest in Residential Real Property is required to provide the buyer with any information on lead-based paint hazards from risk assessments or inspections in the seller's possession and notify the buyer of any known lead-based paintc hazards. "Residential Real Propertyn means dwelling units, common areas, building exterior swfaces and any surrounding land, including outbuildings, fences and play equipment affixed to the land, available for use by residents and also buildings ·visited regularly by the same child, 6 years of age or under, on at least two different days within any week, including day-care c~nters, preschools and kindergarten classrooms, but not including land used for agricultural, commercial, industrial or other non­ residential purposes and not including paint on the pavement of parking lots, garages or roadways. •
B. Buildings constructed prior to 1978 are assumed to contain lead-based paint.

Buildings constructed after 1977 are asswned to be free of lead-based paint. No sampling for lead within the buildings on Parcels L23.l.3, L23.l.4, L23.1.5 and L23.6 has occurred.

However, limited sampling for lead-based paint was conducted in fonner barracks buildings located on property immediately north of Parcel L32.2.2, which is not a parcel of this conveyance (Industrial Hygiene Survey No. 55-71-R25A-94). One or more of the former barracks interior and/or exterior surface components (e.g., walls, doors, window sills, door frames, etc.) tested positive for lead-based paint. Those barracks sampled were of the same construction type and were constructed in the same year (1954) as former barracks located on Parcel L32.2.2 (Buildings 4552 and 4562) and Parcel L32.4.1.1 (Buildings 4430, 4432, 4434, 4436, 4440, 4442, 4444 and 4446). Limited sampling for lead in soil surrounding some buildings at fonner Fort Ord has been completed. Soil samples were collected from soil surrounding 10 buildings in Parcel L23.3.2.l (Buildings 6, 10, 20, 14, 16, 36, 71, 1S, 82 and 108). The average concentration of lead detected in soil was 263 milligrams per kilogram (mg/kg) with a maximum concentration of2,211 mg/kg detected at Building 6 (Lead In Soil Survey For Ten Buildings At The East Garrison, Fort Ord, California, April 8, 1998). As agreed upon in an agency meeting on August 29, 1997, lead analytical results.from soil samples collected adjacent to buildings on the Peninsula Outreach and the Marina Sports Center parcels can be used to represent lead concentrations in soil around the buildings on the Main Garrison parcels (E2b.1. l. l, E2b.1. l.2, E2b.1.2, E2b.1.3, E2b. l.4, E2b.2.l, E2b.2.3, E2b.2.4, E2b.3.1.1, E2c.3.1, E2c.3.2, E2c.3.3, E2c.4.2.l, E2d.1, E2d.2, L12.2.2, Ll2.2.3, L12.3, L23.l.2, L23.l.3, L23.l.4 and L35.1) which were constructed ofsimflar materials and during similar time periods. Average concentrations of lead detected in soil ar~und 11 48S1-639S-8277.4
the buildings on the Peninsula Outreach and Marina Sports Center parcels were 99.4 and 228 mg/kg, respectively. The maximum background concentration for lead in soil at Fort Ord is 51.8 mg/kg (Draft Final Basewide Background Soil Investigation, Fort Ord, California, March 15, 1993). The federal Preliminary Remediation Goal ("PRO'') for residential non-play area bare soil is 1,200 mg/kg. All purchasers must receive the federally approved pamphlet on lead poisoning prevention. The GRANTEE hereby acknowledges receipt of all of the information described in this section.

C. The GRANTEE acknowledges that it has received the opportunity to conduct its own risk assessment or inspection for the presence of lead-based paint and/or lead-based paint hazards prior to execution of this Deed.

D. The GRANTEE covenants and agrees that it shall not permit the occupancy or use of any buildings or structures on Parcels L23. l.3, L23. l.4, L23.1.5 and L23.6 as Residential Real Property, as defined in this section above, without complying with this section and all applicable Federal, state, and local laws and regulations pertaining to lead-based paint and/or lead-based paint hazards. Prior to pennitting the occupancy of Parcels L23. l .3, L23.1.4, L23. l .5 and L23.6 where their use subsequent to sale is intended for residential habitation, the GRANTEE specifically agrees to perform, at its sole expense, the Anny's abatement requirements under Title X of the Housing and Community Development Act of 1992 (Residential Lead-Based Paint Hazard Reduction Act of l 992) (hereinafter "Jitle X").

E. The GRANTEE shall, after consideration of the guidelines and regulations established pursuant to Title X:
(1)
4851-639S·8277.4
(2)
(3)
(4)
(5)
(6)
(7}
(8)
Perform a reevaluation of the Risk Assessment if more than 12 months have elapsed since the date of the last Risk Assessment; Comply with the joint HUD and EPA Disclosure Rule (24 CFR 35, Subpart H, 40 CFR 745,.Subpart F), when-applicable, by disclosing to prospective pmchasers the known presence of lead-based paint and/or lead-based paint hazards as determined by previous risk assessments; Abate lead dust and lead-based paint hazards in pre-1960 residential real property, as defined in subsection A above, in accordance with the . procedures in 24 CFR 35;
Abate lead-soil hazards in pre-1978 residential real property, as defined in subsection A above, in accordance with the procedures in 24 CFR 35; Abate lead-soil hazards following demolition and redevelopment of structures in areas that will be developed as residential real property; · Comply with the EPA lead-based paint work standards when conducting lead-based paint activities (40 CFR 745,-Subpart L);
Perform the activities described in this section within 12 months of the date of the lead-based paint risk assessment and prior to occupancy or use of the residential real property; and
Send a copy of the clearance documentation to the GRANTOR. 12 F. In complying with these requirements, the GRANTEE covenants and agrees to be responsible for any abatement or remediation of lead-based paint or lead-based paint hazards on Parcels L23.l.3, L23.l.4, L23.1.S and L23.6 found to be necessary as a result of the subsequent use of Parcels L23.l.3, L23.l.4, L23.1.5 and L23.6 for residential purposes. The GRANTEE covenants and agrees to comply with solid or hazardous waste laws that may apply to any waste that may be generated during the course of the lead-based paint abatement activities.

G. The GRANTEE further agrees to indemnify and hold harmless the Anny and GRANTOR, its/their officers, agents and employees, from and against all suits, claims, demand or actions, liabilities, judgments, costs and attorney's fees arising out of, or in a manner predicated upon personal injury, death or property damage resulting from, related to, caused by or arising out of lead-based paint or lead-based paint hazards on Parcels L23. l .3, L23. l .4, L23. l .5 and L23.6 if used for residential purposes.

H. The covenants, restrictions, and requirements of this section shall be binding upon the GRANTEE, its successors and assigns, and all future owners and shall be deemed to run ·with the land. The GRANTEE on behalf of itself, its successors and assigns covenants that it will include and make legally binding, this section in all subsequent transfers, leases, or conveyance docwnents.

30. NOTICE OF THE POTENTIAL FOR THE PRESENCE OF PESTICIDES AND

COVENANT
A. The GRANTEE is heieby infonned and does acknowledge that pesticides may be present on the Property. To the best ofGRANTOR's knowledge, the presence of pesticides does not currently pose a threat to human health or the environment, and the use and application of any pesticide product by the GRANTOR was in accordance with its intended purpose, and in accordance with CERCLA § 107(i), which states:
"No person (including fue United States or any State or Indian tribe) may recover under the authority of this section for any re~ponse costs or damages resulting from the application of a pesticide product registered under the Federal Insecticide, Fungicide, and Rodenticide Act (7 U.S.C. §136 et seq.). Nothing in this paragraph shall affect or modify in any way the obligations or liability of any person under any other provision of State or Federal law, including common law, for damages, injury or loss resulting from a release of any hazardous substance or for removal or remedial action .or the costs of removal or remedial action of such hazardous substance." ::

B. Upon request, the· GRANTOR agrees to furnish to the GRANTEE any and all records in its possession related to the use of the pesticides necessary for the continued compliance by the .

GRANTEE with appli~able laws and regulations related to ~e use of pesticides.

C. The GRANTEE covenants and agrees that its continued possession, potential use and continued management of the Property, including any demolition of structures, will be in 13 48S l-639S-8277.4
compliance with all applicable laws relating to hazardous substance/pesticides and hazardous wastes.

31. NOTICE OF THE POTENTIAL FOR THE PRESENCE OF POL YCHLORJNATED BIPHENYLS ("PCBs") AND COVENANT-This is applicable to Parcels L23.l.3, L23.l.4, L23.1.$, L23.4 and L23.6.

A. PCBs have been used as coolants and lubricants in transformers, capacitors and other electrical equipment like. fluorescent light ballasts. EPA considers PCBs to be probable cancer causing chemicals in humans. PCB and PCB-contaminated equipment that will be disposed of must be stored in a hazardous storage facility. The GRANTEE is hereby informed that fluorescent light ballasts containing PCBs are present on Parcels L23. l .3, L23. l .4, L23. l .5, L23.4 and L23.6. The PCB containing equipment does not currently pose a threat to human health or the environment when managed properly. All PCB containing equipment is presently in full compliance with applicable laws and regulations.

B. Upon request, the Army agrees to furnish to the GRANTEE any and all records in its possession related to such PCB equipment necessary for the continued compliance by the GRANTEE with applicable laws and regulations related to the use and storage of PCBs or PCB containing equipmen~.

C. The GRANTEE covenants and agrees that its continued possession, use and management of any PCB containing equipment will be in compliance with all applicable laws relating to PCBs and PCB containing equipment and that the ~y shall assume no liability for the future remediation of PCB cqntamination or damages for personal injury, illness, disability or death to the GRANTEE, its successors or assigns, or to any other person, including members of the general public arising from or incident to future use, handling, management, disposition or other activity causing or leading to contact of any kind whatsoever with PCBs or PCB containing equipment, whether the GRANTEE, its successors or assigns have properly warned or failed to properly warn the individual(s) injured. The GRANTEE agrees to be responsible for any future remediation of PCBs or PCB containing equipment found to be necessary on Parcels L23.1.3, L23.1.4, L23.1.S, L23.4 and L23.6.

32. NOTICE OF THE PRESENCE OF CONTAMINATED GROUNDWATER AND

COVENANT
A. The groundwater beneath portions of the former Fort Ord is contaminated with volatile organic compounds ("VOCs"), primarily trichloroethylene ("TCE"). The maximum TCE concentration in the groundwater beneath the Property (Parcel E2b.2.1) is 280 micrograms per liter (September 2001) as me~ured in the groundwater extraction Well EW-12-02-lS0M. The maximum concentrations of the chemicals of concern (associated with the OU2 and Sites 2/12 groundwater plumes) detected in the groundwater monitoring wells on the Property (September 200 l) are listed below. The quantity released of these compounds is unknown. The OU:2 and Sites 2/12 groundwater aquifer cleanup levels ("ACLs"), presented in the OU2 and Basewide Remedial Investigation Sites Record of Decision ("RODs"), are provided for comparison. 14 48S l-639S-8277.4
B. Without the express written consent of the GRANTOR in each case first obtained, neither the GRANTEE, its successors or assigns, nor any other 'person or entity acting for or on behalf of the GRANTEE, its successors or assigns, shall interfere with any response action being taken on the Property by or on behalf of the GRANTOR, or interrupt, relocate or otherwise interfere with any remediation system now or in the future located on, over, through or across any portion of the Property ..

C. The Deed reserves a non-exclusive easement to allow continued access for the Army ( or its designated contractor) and the regulatory agencies (EPA, DTSC and California Regiom~.l Water Quality Control Board, Central Coast Region) to permit necessary groundwater monitoring at wells located on the Property and the installation of new treatment or monitoring wells if required for the pump and treat operations. Furthermore, this Deed prohibits all others from t3Il)pering with the groundwater monitoring wells.

Chemicals of Concern in Groundwater
(OU2, Sites 2/12 and Carbon Tetrachlorid~ Plume)
And Aguifer Cleanu~ Levels
Chemical Name Regulat~ry Synonym CASRN* RCRA Concentrations ACL Waste (ug/L)
Number
Benzene Benzol 71432 U0I9 4.7 1.0
Carbon Tettachloride Methane, tetrachloro- 56235 U211 6.4 0.5 Chlorofonn Methane, trlchloro- 67663 U044 5.6 2.0
I, 1-Dichloroethane Ethan, 1,1-dichloro- 75343 U076 48 5.0 1,2-Dichloroethane Ethane, 1,2-dichloro- !07062 U077 6.7 0.5 1, 1-Dichloroethene Ethene, -1, 1-dichloro- 15354 U078 3.3 6.0 Cis-1, 2-Dichloroethene Ethene, 1,2-dichloro(E) 156605 U079 130 6.0 1,2-Dichloropropane Propane, 1,2-dichloro- 78875 U083 1.7 1.0 Total 1,3-Dichloropropene Propene, 1,3-dichloro- 542756 ND o.s Methylene Chloride Methane, dichloro- 75092 U080 110 5.0 Tetrachloroethene Ethene, tetrachloro- 127184 0210 23 3.0 Trichloroethene Ethene, trichloro- 79016 U228 280 s.o
Vinyl chloride Ethene, chloro- 75014 U043 1.3 0.1
*Chemical Abstract Services Registry Number
D. A Covenant to Restrict Use of Property ("CRUP") within the "Groundwater Protection Zone" has been established between the United States Army, DTSC and the California Regional Water Quality Control Board, Central Coast Region, recorded in Monterey County, California on September 28, 2004, Series No. 2004103512. Construction of groundwater w~lls for access, use or consumption of groundwater within the boundaries of the Property is • prohibited without prior written approval by the above parties as described in the CRUP.

E. The GRANTEE covenants for itself, its successors and assigns not to access or use groundwater underlying the Property for any purpose without prior written approval of the p~es as described in the CRUP. For the purpose of this restriction, "groundwater" shall have the same meaning as in Section 101(12) ofCERCLA. The GRANTEE, for itself, its successors or assigns, 15 4851-639S-8277.4
covenants that it will not undertake nor allow any activity on or use of the Property that would violate the restrictions contained herein. These restrictions and covenants are binding on the • GRANTEE, its successors and assigns; shall run with the land; and are forever enforceable.

F. The restrictions and conditions stated in the CRUP benefit the public in general and the territory surrounding the Property, including lands retained by the United States, and, therefore, are enforceable by the United States Government and the State of California. The GRANTEE covenants for itself, its successors and assigns, that it ~hall include and otherwise make legally binding, the restrictions in this section in all subsequent lease, transfer or conveyance documents relating to the Property subject hereto.

G. The Army and its representatives shall, for all time, have access to the Property for the purpose of installing and/or removing groundwater monitoring .wells, and to perfonn continued monitoring of groundwater conditions, allowing chemical and/or physical testing of wells to evaluate water quality and/or aquifer characteristics. The Property owner shall allow ingress and egress of all equipment necessary to accomplish the same.

33. NOTICE OF THE POTENTIAL FOR THE PRESENCE OF ORDNANCE AND

EXPLOSIVES
A. Ordnance and explosives ("OE") investigations indicate that it is not likely that OE is located within the Property. However, there is a potential for OE to be present because OE were used throughout the history of Fort Ord. In the event the GRANTEE, its successors and assigns, should discover any ordnance on the Property, they shall not attempt to remove or destroy it, but shall immediately complete Section A of the Ordnance and Explosives Incident Reporting.Form, fax the form to the Presidio of Monterey Police Department at (831) 242-7740 and notify the Presidio of Monterey Police Department via telephone at (831) 242-7851 and competent GRANTOR or GRANTOR-designated explosive ordnance personnel will promptly be dispatched to dispose of such ordnance at no expense to the GRANTEE. The GRANTEE hereby acknowledges receipt of the "Ordnance and Explosives Safety Alert" pamphlet and the Ordnance and Explosives Incident Reporting Form.

B. In addition, the Army offers OE familiarization training to anyone conducting ground disturbance activities ( digging holes, excavating trenches, repairing underground utilities, etc.) at the fonner Fort Ord. The OE Safety Specialist conducts a thirty-minute training session. This training session includes a lecture on what OE might be found, the procedure to follow if something is found and "Safety Alert" brochures are also distributed. To schedule this training, . please contact the Directorate of Environmental and Natural Resources at (831) 242-7919.

C. The GRANTOR reserves the right to conduct any remedial action and/or investigation that the Army is responsible for as required or necessary as a result of the ongoing OE Remedial • Investigation/Feasibility Study.
48S l-639S-8277.4

34. ENDANGERED SPECIES - The GRANTEE, its successors and assigns, shall comply with the requirements, if any and if applicable, of the Fort Ord Installation-Wide Multi­ Species Habitat Management Plan ("HMP,,) for former Fort Ord, California.

A. The Property is within HMP Development Areas. No resource conservation requirements are associated with the HMP for this parcel. However, small pockets of habitat may be preserved within and around the Property.

B. The Biological Opinion identifies sensitive biological resources that may be salvaged for use in restoration activities wi~hin reserve areas, and allows for development of the Property.

C. The HMP does not exempt the GRANTEE from complying with environmental regulations enforced by Federal, State or local agencies. These regulations could include obtaining the Endangered Species Act ("ESA ") ( 16 U.S. C. § 15 31-1544 et seq.) Section 7 or Section I0(a) permits from the U.S. Fish and Wildlife Service ("USFWS"); complying with prohibitions against take of listed animals under ESA Section 9, complying with prohibitions against the removal of listed plants occurring on Federal lands or the destruction of listed plants in violation of any state laws; complying with measures for conservation of state--listed threatened and endangered species and other special-status species recognized by California Department of Fish and Game ("DFG") under the California ESA or California Environmental Quality Act ("CEQA"); and complying with local land use regulations and restrictions.

D. The HMP serves as a management plan for both listed and candidate species and is a prelisting agreement between the USFWS and the local jurisdiction for candidate species that may need to be listed because of circumstances occurring outside the area covered by the HMP.

E. Implementation of the HMP would be considered suitable mitigation for impacts to HMP species within HMP prevalent areas and would facilitate the USFWS procedures to authorize incidental take of these species by participating entities as required under ESA Section

10. No further mitigation will be required to allow development on the Property unless species other than the HMP target species are proposed for listing or are listed.

F. The HMP does not authorize incidental taking_of any species listed as threatened or endangered under the ESA by entities acquiring land at the former Fort Ord. The USFWS has recommended that all non federal entities acquiring land at former Fort Ord apply for ESA Section l0(a)(l)(B) incidental talcing permits for the species covered in the HMP. The definition of ''take" under the ESA includes to harass, harm, hunt, shoot, wound, kill, trap, capture, or collect, or attempt to engage in any such conduct. Although the USFWS will not require further mitigation from entities that are in conformance with ·the HMP, those entities without incidental taking authorization would be in violation of the ESA if any of their actions resulted in the taking of a listed animal species. To apply for a Section 1 0(a)(l )(B) incidental taking permit, an entity must submit an application form (Form 3-200), a complete description of the activity sought to be authorized, the common and scientific n8:JlleS of the species sought to be covered by the permit and a conservation plan (50 CFR 17.22(b)). •
48S 1-6395-8277 .4
G. The GRANTEE acknowledges that it has signed the HMP dated April 1997 and will cooperate with adjacent property owners in implementing mitigation requirements identified in the HMP for adjacent sensitive habitat areas.

35. AIR NAVIGATION RESERVATION AND RESTRICTIONS - The Monterey Airport and the fonner Fritzsche Airfield, now known as the Marina Municipal Airport are in close proximity of the Property. Accordingly, in coordination with the Federal Aviation Administration, the GRANTEE, by the acceptance of this Deed, further covenants and agrees for itself, its successors and assigns and every successor in interest to the Property herein conveyed, or any part thereof, that, when applicable, there will be no construction or alteration unless a determination of no hazard to air navigation is issued by the Federal Aviation Administration in accordance with Title 14, Code of Federal Regulations, Part 77 entitled "Objects Affecting Navigable Airspace", or under the authority of the Federal Aviation Act of 1958, as amended.

36. S~ould the subject parcel be considered for the proposed acquisition and construction of school properties utilizing State funding, at any time· in the future, a separate environmental review process in compliance with the California Education Code Section 17210 et seq., will need to be conducted and approved by the DTSC.
3 7. The Army shall not incur liability for additional response action or corrective action found to be necessary after the date of transfer in any case in which the person or entity to whom the Property is transferred, or other non-Anny entities, is identified as the party responsible for contamination of the Property.

38. The GRANTOR's obligation to pay or reimburse any money under this Deed is subject to the availability of appropriated funds to the Department of the Anny and nothing in this Deed shall be interpreted to require obligations or payments by the GRANTOR in violation of the Anti-Deficiency Act.
3 9. If any provision of this Deed, or the application of it to any person or circumstance, is found to be invalid, the remainder of the provisions of this Deed, or the application of such provisions to persons or circumstances other than those to which it is found to be invalid, shall not be affected thereby.

The captions in this Deed have been inserted solely for convenience of reference and are not a part of this Deed and shall have no effect upon construction or interpretation."

12. GRANTOR and GRANTEE hereto mutually agree th~t the execution of this Abrogation and Release of Restrictions instrument shall not in any way operate to accelerate the tennination of any conditions subsequent contained in the DEED with respect to the REMAINING PROPERTY; or to subordinate, diminish, or extinguish any right or power 48S 1-639S-82 77.4
reserved for or created in the UNITED STATES OF AMERICA by the DEED with respect to the REMAINING PROPERTY; or to relieve GRANTEE, its successors and assigns, of any duty, obligation, or undertaking required to comply with the terms and condi~ions of the DEED upon the REMAINING PROPERTY.

To indicate their agreement to the provisions contained in this Abrogation and Release of Restrictions, the UNITED STATES OF AMERICA and the MONTEREY PENINSULA COMMUNITY COLLEGE DISTRICT has executed this document as of the date and year first above written.

UNITED STA TES OF AMERICA
Acting by and through the
S~retary of Education
By: )vllQ{:h. a. ~
Wanda A. Davis, Acting Director
Federal Real Property Assistance Program
Office of Management
U.S. Department of Edu(?8tion

ACKNOWLEDGMENT

DISTRICT OF COLUMBIA)
On this~ day of -~ , 2010 personally appeared before.;.., a NOlmy Public in and for the District~ olumbia, Wanda A. Davis, Acting Director, Federal Real Property Assistance Program, Office of Management, U.S. Department of Education, acµng for the United States of America and the Secretary of Education, known to me to be the same person whose name is subscribed to the foregoing instrument and acknowledged to me that she executed the same on the date hereof as her free and voluntary act and deed "for the purposes and consideration therein expressed and with full authority and as the act and deed of the United States of America and the Secretary of Education.

IN WI1NESS WHEREOF, I have set my hand and seal at Washington, D.C. as of the dale and year first ab"'1e wrillen. -# ~
~o lie
My Commission Expires: 2/' 'tj If _
4851-6395-8277.4
Kathy L_Johnsan .
19 NolalJ NJllc, Dlatltl:tof Cmnlll
{' Mr Commllllon Ellpllu V14JZ014
{9,~~l ~

ACCEPTANCE
The MONTEREY PENINSULA COMMUNITY COLLEGE DISTRICT hereby accepts this ABROGATION AND RELEASE OF RESTRICTIONS, for itself, its successors and assigns, and each of them accepts and agrees to all the obligations, conditions, and covenants therein contained.

By:_~~,;is-..c::::1....--+,s;._.-==--
Dou
Superi
Mon a Community College District

ACKNOWLEDGMENT

STATE OF CALIFORNIA )
) ss

COUNTY OF MONTEREY)
On,Att3 ltsr' l8;:J./J10 before me, - lJ. ?'Z;r,,,,,,,.,.,~n rsonally appeared ______ who proved to me on the basis of satisfactory evidence to the person whose name is subscribed to the within instrument and acknowledge to me that he executed the same in his authorized capacity, and that by his signature on the instrument the person or the entity upon behalf of which person 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 coITect
WITNESS my hand and official seal.

Si➔ dQ,~»2 (seal)
Notary Public
My Commission Expires: Del. Is/ ~I) I I ,
20 4851-6395-8277.4
EXHIBIT A -{-eJ 1=-F--h ;b ,~ f- B~
QUITCLAIM DEED DATED OCTOBER 18, 2004
RECORDED AUGUST 31, 2005 as document 2005090734
..

WHEN RECORDED, MAIL TO:

Monterey Peninsula College
980 Fremont Street
Monterey, CA 93940
Attn: Kirk A very
Superintendent/Presid~nt
------------::-:-:-:::-:--, r RALICIA Stephen L • Vagni ni 005 . Monterey county Recorder 8/a~~i:00
Recorded at the request of
• Stewart Title
• 509073 T i1: I es: 1/ Pages: 56 ·oocuMEffJ_:~200
,- ~--·· I
\ ~
. _ _L--r
I
Fees ....

Taxes .. .

Other .. .
/\Mi PAID
_j
___ .... --·-

THIS SPACE FOR RECORDER'S USE ONLY
TITLE($) OF DOCUMENT

QUITCLAIM DEED
. .
)eseripti.on: }!onterey,CA Docament-Year.DocID 2005. 90734 Page: 1 of 56 >refer: 65465456 Comment: '
1 ..
'- ....

QUITCLAIM DEED

PREAMBLE
This DEED is made this 18th day of October, 2004, between the UNITED STATES OF AMERICA, acting through·the Secretary of.

Education, by David B. Hakala, Director, Federal Real Property Assistance Program, Office of Management, ("GRANTOR"), pursuant to Section 203(k) of the Federal Property and Administrative Services Act of 1949, as amended, ("Act"), P.L. No·. 81-152, 63 Stat. 377, 40 U.S.C. Section 471 et seq., Reorganization Plan No. 1 of 1953, the Department of Education Organization Act of 1979, P.L. No. 96-88, 93 Stat. 668, 20 U.S.C. Section 3401 et seq., and the Monterey Peninsula Community College District, Monterey, California, a tax supported educational institution and political subdivision of the State of California, ("GRANTEE").

I. RECITALS

1. By letter dated September 1, 2004,from the U.S. Army Corps of Engineers, certain Federal surplus real property 1. • identified as Parcels L23.l.l/5.56 acres, L23.1.r/2.35 acres, L23.l.3/4.81 acres, 123.1.4/6.64 acres, L2°3.1.5/l.33 acres, L23.4/0.96 acres, and L23.6/3.51 .acres with improvements, being portions of the Fort Ord Military Reservation, consisting of a total of 25.16 acres of improved land, located in Monterey County, California, ("Property"), was assigned to GRANTOR for disposal upon the recommendation of GRANTOR that the Property is needed for educational p,urposes in accordance with the provisions of the Act.

2. GRANTEE has made a firm offer to purchase the Property lescription: N.ont:erey1CA Document:-:rear.DocID 2005.90734 Page: 2 of 56 >refer: 65465456 comment:
under the provisions of the Act, has applied for a public benefit allowance, and proposes to use the Property for educational purposes as detailed in its application to GRANTOR dated January 8,1993, as amended and supplemented on September 11, 1995, January 2.4, 1999, July 1, 2003, October 16, 2003 and October 17, 2003, ("Application").

3. The U.S. Army Corps of Engineers has notified GRANTOR that no objection will be interposed to the transfer of the Property to GRANTEE, and GRANTOR has accepted the offer of GRANTEE.

II . AGREEMENT

4. GRANTOR, in consideration of the foregoing, one dollar, the performance by the GRANTEE of the covenants, conditions, and restrictions hereinafter contained and other good and valuable consideration, the receipt of which is hereby acknowledged, does hereby_remise, release and quitclaim to the GRANTEE, its successors and assigns, all right, title, interest, claim and demand, reserving such rights as may arise from the operation of the conditions subsequent, restrictions and covenants of this Deed, which the UNITED STATES OF AMERICA has in and to the Property, which is more particularly described on Exhibit "A", attached hereto and made a pa~t hereof.
s. GRANTEE by acceptance of this Deed, covenants and agrees for itself, its successors and assigns, that the Property is 2 iesc:ri.ption: 11onterey,ca .DoczmreDt-rear.DocID 2005.90734 Page: 3 0£ 56 l.rdez:: 654654~6 CCIIIIIIISllf::
transferred on an "as is, where is" basis, without any
representation, warranty or guarantee, except as required to applicable law or as otherwise stated herein, by the GRANTEE as to quantity, quality, title, character, condition, size, or kind, or that the same is in condition or fit to be used for the purpose for which intended, and no claim for allowance or deduction upon such grounds will be considered. The GRANTEE also covenants and agrees for itself, its successors and assigns, that the GRANTOR has no obligation to provide any additions, improvements, or alterations to the Property and said GRANTOR shall not be liable for any latent or patent defects in the Property. This section shall not affect the GRANTOR's
responsibility under CERCLA Covenants, Notice, and Environmental Remediation herein.

This conveyance is made subject to the following Exclusions and Reservations:

A. The Property is taken by the GRANTEE subject to any and all valid and existing recorded outstanding liens, licenses, leases, easements, and any other encumbrances made for the purpose of road~, streets, utility systems, rights-of-way, pipelines, and/or covenants, exceptions, interests, liens, reservations, and agreements of record.

B. The Army reserves a perpetual unassignable right to
enter the Property for the specific purp~se of treating or removing any unexploded shells, mines, bombs, or other such 3 >escri.pt;j,012: HoDterey,CA Docameat-rear.DocID 2005.90134 Page: 4 of 56 >refer: 65465456 0:amnen~:
devices deposited or caused by the Army.
c. Access by USA Media Group, LLC, or its successor in
interest, to TV cable lines is reserved until expiration of its existing franchise agreement, November 19, 2005.

D. The reserv~d rights and easements that were outgranted by Army-to the respective Grantees and referenced in this Section are subject to the following terms and conditions:
(1) to comply with all applicable federal law and
lawful existing regulations;
(2) to allow the occupancy and use by the respective
Grantees, successors, assigns, permittees, or lessees of any part of the easement areas not actually occupied or required for the purpose of the full and safe utilization thereof by the GRANTOR, so long as such occupancy and use does not compromise the ability of the GRANTEE to use the easements for their intended purposes, as set forth herein;
(3) that the outgrants conveyed shall be for the
specific use described and may not be construed to include the further right to authorize any other use within the easements unless approved.in writing by the fee holder of the land subject to the easement;
(4} that any transfer of the outgrants by assignment,
lease, operating agreement, or otherwise must include language that the transferee agrees to comply with and be bound by the terms and conditions of the original grant;
4 ")Qsc:ri.pt:1on: Ncmtarey,CA Documene-rear.DocID 2005.90734 Page: 5 of 56 >refer: 65465456 Comme.at::
(5) that, unless otherwise provided, no interest
granted shall give the G~antees any right to remove any material, earth, or stone for consideration or other purpose except as necessary in exercising its rights hereunder; and
(6) to restore any easement area so far as it is
reasonably possible to do so upon abandonment or release of any easement as provided herein, unless this requirement is waived in writing by the then owner of the Property.

E. GRANTOR reserves mineral rights that GRANTOR owns
presently or my at a future date be determined to own, with the right of surface entry in a manner that does not unreasonably interfere with GRANTEE's development and quiet enjoyment of the Property.

III. CONDITIONS SUBSEQUENT

6. GRANTEE shall HAVE AND HOLD the Property, subject,
however, to each of the following conditions subsequent, which are for the sole benefit of the UNITED STATES OF AMERICA and which shall be binding upon and enforceable against GRANTEE, its successors and assigns as follows:
(l) For a period-of thirty (30) years from the date of this Deed, the Property will be used solely and continuously for educational purposes in accordance with the
proposed program and plan of GRANTEE set forth in its
Application and for no other purposes. GRANTOR
reserves the right to enter and inspect the Property
5 >esc:r:i.ption: Honterey,CA Docmaent:-Year.DocID 2005.90734 Page: 6 of 56 >rder: 65465456 Camment::
i
during said period.
(2) During the above period of thirty (30) years GRANTEE will not sell, resell, lease, rent, mortgage, encumber, or otherwise transfer any interest in any part of the
Property except as GRANTOR may authorize in advance in
writing.
(3) One year from the date of this Deed and biennially
thereafter for the period of thirty (30) years, ~nless
GRANTOR directs otherwise, GRANTEE will file with
GRANTOR a report on the operation and maintenance of
the Property and will furnish, as requested by GRANTOR, such other pertinent information evidencing its
continuous use of the Property as required by condition subsequent nwnber 1.
(4) During the above period of thirty (30) years GRANTEE will at all times be and remain a tax supported
institution .or a nonprofit institution, organization,
or association exempt from taxation under §501(c) (3) of the Internal Revenue Code of 1954, as amended.
(5) For the p~riod during which the Property is used for the purpose f9r which Federal assistance is hereby
extended by GRANTOR or for another purpose involving
the provision of similar services or benefits, GRANTEE
hereby agrees that it will comply with the requirements of (a) Title VI of the Civil Rights Act of 1964 (P.L.
6 "8scr:J.ptiOZJ: Mont:erey,CA Document:-Year.DocID 2005.90734 Page: 7 of 56 >refer: 65465456 Comment::
..,
No. 88-352), 42 U.S.C. §2000d et seq.; (b) Title IX 0£
the Education Amendments 0£ 1972 (P.L. No. 92-318), 20
U.S.C. § 1681 et seq.; (c) '§504 of the Rehabilitation
Act of 1973 (P.L. No. 93-112), 29 U.S.C. §794 et seq.;
and all requirements imposed by or pursuant to the
Regulations (34 C.F.R. Parts 12, 100, 104 and 106)
issued pursuant to the Act and now in effect, to the
end that, in accordance with said Acts and Regulations, no person in the United States shall, on the ground.of
race, color, national origin, sex, or handicap, be
excluded from participation in, be denied the benefits
of, or otherwise be subjected to discrimination under
the program and plan referred to in condition
subsequent number 1 above or under any other program or activity of the GRANTEE, its successors and assigns, to which such Acts and Regulations apply by reason of this conveyance.

7. The failure of GRANTOR to insist in any one or more
instances upon complete performance of the conditions subsequent, terms, or covenants of this Deed shall not be construed as a waiver of, or a relinquishment of GRANTOR1 s right to the future performance of any of those conditions subsequent, terms and covenants and the GRANTEE1 s obligations with respect to such future performance shall continue in full force and effect.

8. In the event of a breach of any of the conditions
7 ')esc:ripti.on: Monterey,CA Document-Year.DocID 2005.90734 Page: 8 of 56 )refer: 65465456 Comment:
!'
subsequent of this Deed, whether caused by the legal or other inability of GRANTEE, its successors and assigns, to perform any of the terms and conditions of this Deed, at the option of the UNITED STATES OF AMERICA, all right, title and interest in and to the Property shall, upon the recording by the UNITED STATES OF AMERICA of a Notice of Entry, pass to and become the property of the UNITED STATES OF AMERICA, which shall have an immediate right to entry thereon, and the GRANTEE, its successors and assigns, shall forfeit all right, title, and interest in and to the Property and in.and to any and all of the tenements,
hereditaments, and appurtenances thereto.

9. In the event GRANTOR fails to exercise its options to reenter the Property or to revert title thereto for any breach of conditions subsequent numbered 1, 2, 3, and 4 of Paragraph 6 of this Deed within thirty one (31) years from the date of this conveyance, conditions subsequent numbered 1, 2, 3, and 4 of said Paragraph 6, together with all rights to reenter and revert title for breach of those conditions, will, as of that date, terminate and be extinguished.

10. The expiration of conditions subsequent numbered 1, 2, 3, and 4 of Paragraph 6 of this Deed and the right to reenter and • I
revert title for breach thereof, will not affect the obligati"on of GRANTEE, its successors and assigns, with respect to condition subsequent number 5 of Paragraph 6 or the right reserved to GRANTOR to reenter and revert title for breach of condition 8 >esaripti.OD: Mmterey,CA Document-rear.DocID 2005.90734 I?age: 9 o£ 56 >refer: 65465456 Comme.ut::
subsequent number 5.

IV. COVENANTS

11. GRANTEE, by the acceptance of this Deed, covenants and agrees for itself, its successors and assigns, that in the event GRANTOR exercises its option to revert all right, title and interest in and to the Property to GRANTOR, or GRANTEE
voluntarily returns title to the Property in lieu of a rev~rter, the GRANTEE shall provide protection to and maintenance of the Property at all times until such time as the title to the Property or possession of the Property, whichever occurs later in time, is actually reverted or returned to and accepted by GRANTOR. Such protection and maintenance shall, at a minimum, conform to the standards prescribed by the General Services Administration in FPMR 101-47.4913 (41 C.F.R. Part 101-47.4913) now in effect, a copy of which is referenced in the GRANTEE'S Application.

12. GRANTEE, by the acceptance of this Deed, further
covenants and agrees for itself, its successors and assigns, to indemnify and hold harmless the United States, its agents, and employees against any and all loss, damage, claim, or liability whatsoever,. due to the GRANTEE's use or occupancy of the property, or any other act or omission of the GRANTEE, including failure to comply with the obligations of this transfer.

13. GRANTEE, by the acceptance of this Deed, covenants
that, at all times during the period that title to the Property 9 >escript:iozi: Jfonte.rey,CA Document-Year.DocID 2005.90734 Page: 10 0£ 56 >rder: 65465456 Comment:
•
is vested in GRANTEE, its transferees and assigns, subject to conditions subsequent numbered 1, 2, 3, and 4 of Paragraph 6 of this Deed, it will comply with all provisions of the following:
the National Environmental Policy Act of 1969, as amended, 42 U.S.C. Section 4321 et seq., including the preparation of environmental impact statements, as required (See 42 U.S.C.

Section 4332), the Comprehensive Environmental Response Liability, and Compensation Act, as amended (CERCLA) 42 U.S.C. 9601 et seq; the National Historic Preservation Act of 1966, as amended (P.L. No. 89-665); the Coastal Zone Management Act, as amended (CZMA) 16 U.S.C. 1451 et seq; Executive Order N~. 11988, 44 Federal Register 43239 (1979) reprinted in 42 O.S.C.A. Section 4321 app. at 188-189 {1987), governing floodplain management; Executive Order No. 11990, 42 Federal Register 26961 (1977),· reprinted in 42 U.S.C.A. Section 4321 app. at 197-198 (1987), governing protection of wetlands; Federal Property Management Regulations, 42 C.F.R. 101-47.304-13; 41 C.F.R. 101-47.200 et seq., 53 Federal Register 29892 {1988), provisions relating to asbestos; and other appropriate guidelines, laws, regulations or executive orders, Federal, State or local, pertaining to floodplains, wetlands or the future use of the Property conveyed by this Deed.

14. GRANTEE, by acceptance of this Deed, covenants and
agrees for itself, its successors and assigns, and every successor in interest to the Property conveyed herein or any part 10 'Jesc:ri.pti.OD.: Mozlt:erey,CA Docament-rear.DocID 2005.90734 Page: 11 b:f' 56 >refer: 65465456 Comment;:
thereof that it will comply with the requirements of: (a) Title VI of the Civil Rights Act of 1964 (P.L. 88-352), 42 U.S.C.

Section 2000d et seq.; (b) Title IX of the Education Amendments of 1972 (P.L. 92-318), 20 U.S.C. Section 1681 et seq., and Section 844 of the Education Amendments of 1974 (P.L. 93-380) (in relation to education); (c) Section 504 of the Rehabilitation Act of 1973 (P.L. 93-112), 29 U.S.C. Section 794 et seq., and Title II of the Americans With Disabilities Act of 1990; (d) all requirements imposed by or pursuant to_ the Regulations (34 C.F.R.

Parts 12, 100, 104 and 106) issued pursuant to the Act and now in effect, all to the end that, in accordance with said Acts and Regulations, no person in the United States shall, on the ground of race, color, national origin, sex, or handicap, be excluded from participation in, be denied the benefits of, or otherwise be subjected to discrimination under the program and plan referred to in condition subsequent 1 above or under any other program or activity of the GRANTEE, its successors and assigns, to which such Acts and Regulations apply by reason of this conveyance.

This covenant shall attach to and run with the land for so long as.the Property is used for a purpose for which Federal assistance is hereby extended by GRANTOR or for another purpose involving the provision of similar services or benefits, and shall in any event, and without regard to technical
classifications or designation, legal or otherwise, be binding to the fullest extent permitted by law and equity, for the benefit 11·
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of, in favor of and enforceable by GRANTOR against GRANTEE, its successors and.assigns, for the Property, or any part thereof. In the event of a breach of this covenant by GRANTEE or by its successors or assigns, GRANTOR, may, in addition to any right or remedy set forth in this'agreement, avail itself of any remedy authorized by the violated statutes or regulations.

15. In the event title to the Property or any part thereof is reverted to the UNITED STATES OF AMERICA for noncompliance or is voluntarily reconveyed in lieu of reverter, GRANTEE, its successors or assigns, shall at the option of GRANTOR, be responsible for and be required to reimburse the UNITED STATES OF AMERICA for the decreased value thereof that is not the result of reasonable wear and tear, an act of God, or alterations and conversions made by the GRANTEE and approved by the GRANTOR, to adapt the Property to the educational use for which the Property was transferred. GRANTEE shall, in addition thereto, reimburse GRANTOR for damage it may sustain as a result of such
noncompliance, including but not limited to costs incurred to recover title to or possession of the Property.

16. GRANTEE may seek abrogation of the conditions
subsequent 1, 2, 3, and 4 of Paragraph 6 of this Deed by:
a. Obtaining the advance written consent of the GRANTOR; and
b. Payment to the UNITED STATES OF AMERICA of a sum of
money. equal to the fair market value of the property to 12 lescr.iption: Jto.D~ey,ca. Doc:ament-rear.DocID 2005.90734 Hage: l.3 of 56 >refer: 65465456 ComDent:
.. .
be released from the conditions subsequent as of the
effective date of the abrogation:
(1) multiplied by the percentage public benefit
allowance granted at the time of conveyance,
(2) divided by 360, and
(3) multiplied by the number of months, or any portion
thereof, of the remaining period of restrictions to be
abrogated.

17. GRANTEE, by acceptance of this Dee~, further covenants and agrees for itself, its successors and assigns, that in the event the Property or any part or interest thereof is at any time within the period of thirty (30) years from the date of this conveyance sold, leased, mortgaged, encumbered or otherwise .
disposed of or used for purposes other than those designated in condition subsequent number 1 above without the written consent of GRANTOR, all revenues therefrom and the reasonable value, as determined by GRANTOR, of any other benefits to GRANTEE deriving directly or indirectly from such sale, lease, mortgage, encumbrance, disposal or use, shall be considered to have been received and held in trust by GRANTEE for the UNITED STATES OF .

AMERICA and shall be subject to the direction and control of GRANTOR; but the provisions of this paragraph shall not impair or affect the rights reserved to GRANTOR under any other provision of.this Deed.

18. GRANTEE, by the acceptance of this Deed, further
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covenants for itself, its successors and assigns, that at all times during the period that title to the Property is vested in GRANTEE subject to conditions subsequent 1, 2, 3, and 4 of Paragraph 6 of this Deed, GRANTEE shall at its sole cost and expense keep and maintain the Property and the improvements thereon, including all buildings, structures and equipment at any time situate upon the Property, in good order, condition and repair, and free from any waste whatsoever.

19. GRANTOR expressly reserves from this conveyance.all mineral rights in the Property. GRANTOR reserves the right to enter upon the Property to prospect for and produce such minerals. G~NTEE, by the acceptance of this Deed, further covenants and agrees for itself, its successors and assigns, that at all times during the period that it holds title to the Property subject to conditions subsequent 1, 2, 3, and 4 of Paragraph 6 of this Deed, it"shall not engage in, authorize, permit or suffer the extraction or production of any minerals .
from the Property without the written consent of GRANTOR.

GRANTEE, by the acceptance of this Deed, further covenants and agrees for itself, its successors and assigns, that_ should an extraction or production 9f minerals, on or under the described Property, occur during that period that it holds title to the Property subject to conditions subsequent 1, 2, 3, and 4, of paragraph 6 of this Deed: (i) it will hold all payments, bonuses, delayed rentals, or royalties in trust for GRANTOR, and will 14 >escr.ipticm: Jfcmterey,CA Docame.nt-rear.DocID 2005.90734 11age: 15 0£ 56 >.refer: 65465456 C0111111&Dt:
. ..
promptly pay such revenue to GRANTOR and (ii). that all net revenues and proceeds resulting from the extraction or production of any minerals, by GRANTEE, its successors and assigns, will be held in trust for and promptly paid to GRANTOR. Nothing herein shall be construed as authorizing the GRANTEE to engage in the extraction or production of minerals in, on, or under the Property.

20. GRANTEE, by acceptance of this Deed, covenants that, upon the recording by the UNITED STATES OF AMERICA of a Notice of Entry, all right, title, interest in and to the Property shall pass to and become the property of the UNITED STATES OF AMERICA, which shall have an immediate right to enter thereon, and the GRANTEE, it~ successors and assigns, shall immediately and quietly quit possession thereof and forfeit all right, title, and interest in and to the Property in any and all of the tenements, hereditaments, and appurtenances thereunto belonging, conveying all right, title and interest conveyed to it in this Deed except for encumbrances authorized and approved by the GRANTOR in writing as provided in condition subsequent number 2 of Paragraph 6 of this Deed.

21. GRANTEE further covenants to pay damages for any time period held over beyond the time period stated in a demand to quit possession of the Property at the fair market rental value plus reasonable attorneys fees and costs of the GRANTOR in securing the return of the Property.
15 Description: M'onterey,CA Document:-Year.DocID 2005.90734 Page: 16 0£ 56 ':lz:der: 65465456 Comment:
;

22. If the GRANTEE, its successors or assigns, shall cause the Property and/or any improvements thereon ·to be insured against loss, damage or destruction, _or if the GRANTOR requires such insurance while the Property is subject to conditions subsequent numbered 1, 2, 3, and 4 of Paragraph 6 of this Deed, and any such loss, damage or destruction shall occur during the period GRANTEE holds title to the Property subject to conditions subsequent numbered 1, 2, 3, and 4 of Paragraph 6 of this Deed, said insurance and all monies payable to GRANTEE, its successors or assigns, shall be held in trust by the GRANTEE, its successors or assigns, and shall be promptly used by GRANTEE for the purpose of repairing and restoring the Property to ~ts former condition or replacing it with equivalent or more suitable facilities; or, if not so used, shall be paid to the Treasurer of the United States in an amount equal to the unamortized public benefit allowance of the Property multiplied by the current fair market value of the improvements lost, damaged or destroyed. If the Property is located in a floodplain, GRANTEE will, during the period it holds title subject to conditions subsequent· numbered 1, 2, 3, and 4 of Paragraph 6 of this Deed, insure the Property and any.machinery, equipment, fixtures, and furnishings contained therein against loss, damage, or destruction from flood, to the maximum limit of coverage made available with respect to the Property under Section 102 of the Flood Disaster Protection Act of 1973 (P.L. 93-234). Proceeds of such insurance will be used as 16 >escription: Nonterey,CA Docameut-rear.DocID 2005.90734 Page: 17 0£ 56 lrder: 65465456 Comment:: I
• I
set forth above.

23. The United States acknowledges that former Fort Ord has been identified as a National Priority List {"NPL") Site under the Comprehensive Environmental Response Compensation and Liability Act (CERCLA) of 1980, as amended. The GRANTEE acknowledges that the United States has provided it with a copy of the Fort Ord Federal Facility Agreement ("FFA") entered into by the United States Environmental Protection Agency {"EPA") Region IX, the State of California, and the Department of the Army, effective on February 1990, and will provide the GRANTEE with a copy of any amendments thereto~ The GRANTEE agrees that should any conflict arise between the terms of the FFA as they presently exist or may be amended, and the provision of this Property transfer, the terms of the FFA will taKe precedence. The GRANTEE further agrees that notwithstanding any other provisions of this conveyance, the United States assumes no liaqility to the GRANTEE, should implementation of the FFA interfere with the GRANTEE's use of the Property. The GRANTEE, or any subsequent transferee, shall have no claim on account of any such
interference against the United States or any officer, agent, employee, or contractor thereof.

24. CERCLA COVENANTS, NOTICE, AND ENVIRONMENTAL REMEDIATION A. Pursuant to Section 120(h) (3) of CERCLA as a~ended, 42 U.S.C. §9601 et seq., the Finding of Suitability for Transfer ("FOST") attached hereto and made a part hereof as Exhibit "B", 17 .
'Jescri.ptiOZJ: Mcmterey,ca Docmrient-rear.DocID 2005.90734 :eage: 18 0£ 56 >rdar: 65465456 Comment:
and an environmental baseline survey ("EBS") known as Community Environmental Response Facilities Act report, which is referenced in the FOST, sets forth the environmental condition of the Property. The FOST sets forth the basis for the GRANTOR's determination that the Property is suitable for transfer. The GRANTEE is hereby made aware of the notifications contained in the EBS and the FOST. The GRANTEE has inspected the Property and accepts the physical condition and current level of environmental hazards on the Property and deems the Property to be safe for the GRANTEE·' s intended use. The GRANTOR represents that the Property is environmentally suitable for transfer to GRANTEE for the purposes identified in the Final Fort Ord Base Reuse Plan dated December 12, 1994, as amended on June 13, 1997, as approved by the Fort Ord Reuse Authority. If, after conveyance of the Property to GRANTEE, there is an actual or threatened release of a hazardous substance on the Property, or in the event that a hazardous substance is discovered on the Property after the date of conveyance, whether or not such substance was set forth in the technical environmeptal reports, including the EBS, the GRANTEE or its successor or assigns shall be responsible for such release or newly discovered substance unless such release or such newly discovered substance was due to GRANTOR's activities, ownership, use, presence on, or occupation of the Property, or the activities of GRANTOR's contractors and/or agents. GRANTEE, its su~cessors and assigns, as consideration for the conveyance, 18 '8scr.iption: Jlonte.rey,CA Docmrumt-rear.DocID 2005.90134 :J?age: 1.9 of 56 >rde%: 65465456 Comment:
agrees to release GRANTOR from any liability or responsibility for any claims arising out of or in any way predicated on release of any hazardous substance on the Property occurring after the conveyance, where such hazardous substance was released by the GRANTEE, or its agents or contractors, after the conveyance.

B. Pursuant to Section 120(h) (3) of CERCLA, 42, U.S.C. §9620(h) (3), the GRANTOR hereby notifies the GRANTEE, its successors and assigns, of the storage, release, and disposal of hazardous substances on the Property.
(1) ·The GRANTOR hereby covenants that prior to the date of this conveyance, all corrective, remedial and response actions necessary to protect human health and the environment. have been taken with respect to the Property.
(2) The GRANTOR hereby covenants that all corrective,
remedial and response actions necessary to protect h~n health and the environment with respect to any hazardous substances placed on the Property by the GRANTOR and remaining on the Property after the date of transfer shall be conducted by the GRANTOR.

C. The CERCLA warranty shall not apP.lY in any case in which the person or entity to whom the Property is transferred is a "potentially responsible party", as defined under CERCLA Section 107(a) (2)-(4) with respect to such Property prior to such transfer.

D. The GRANTOR reserves a CERCLA Access easement as
19 . . . . .
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provided in this Deed.

E. Nothing in this Secfion is intended to, nor shall it be construed to, alter, amend, increase or diminish the parties' rights, liabilities, and duties as set forth more fully in Section 120(h) of CERCLA, 42 U.S.C. §9620(h).

F. The GRANTOR shall not incur liability for additional response action or corrective action found to be necessary after the date of transfer unless the GRANTEE, its successors or assigns is able to demonstrate that such release or such newly discovered substance was due to GRANTOR's activities, ownership, use or occupation of the Property.

25. CERCLA ACCESS
A. The Government, the EPA, and the California
Environmental Protection Agency, Department of Toxic Substances Control ("DTSC"), and their officers, agents, employees, contractors, and subcontractors will have the right; upon • reasonable notice to the GRANTEE, to enter upon the transferred premises in any case in which a response or corrective action is found to be necessary,·after the date of transfer of the Property, or such access is necessary to carry out a response action or correction action on adjoining property, including, without limitation, the following purpose:
(1) To conduct investigations and surveys, including
where necessary, drilling, soil and water sampling, test-pitting, and other activities related to the Fort Ord Installation 20 :lescr.ipt:lo.a: No.nt:eze.y,CA .Doeument:-rear . .DocID 2005.90734 Rage: 21. of S6 )refer: 65465456 Commen'":
,,
Restoration Program ("IRP"), Ordnance and Explosives ("OE") program, or FFA;
(2) To inspect field activities of the Army and its
contractors and subcontractors with regards to implementing the Ford Ord IRP, OE program, or FFA;
(3) To conduct any test or survey related to the
'implementation of the IRP by the EPA or the DTSC relating to the implementation of the FFA or environmental conditions at Fort Ord or to verify any data submitted to the EPA or the DTSC by the Governinent relating to such conditions; and
(4) To construct, operate, maintain or undertake any
other investigation, corrective measure, response, or remedial action as required or necessary under any Fort Ord FFA, Record of Decision ("ROD"), IRP or OE program requirement, including but not limited to monitoring wells, pumping wells, and treatment facilities.

B. GRANTEE agrees that, notwithstanding any other
provisions of this Deed, the GRANTOR assumes no liability to the GRANTEE, its successors or assigns, or any other person, should remediation of the Property interfere with the use of the Property. The GRANTEE, the then record owner, and any other person shall have no c~aim against the GRANTOR or any of its officers, agents, employees or contractors solely on account of any such interference resulting from such remediation.
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26. INDEMNITY
The GRANTOR recognizes its obligation to hold harmless, defend, and indemnify the GRANTEE and any successor, assignee, transferee, lender, or lessee of the GRANTEE or its successors and assigns, as required and limited by Section 330 of the National Defense Authorization Act of 1993, as amended {P.L. No. 102-484), and to otherwise meet its obligations under Federal law.

27. NOTICE OF HAZARDOUS SUBSTANCE STORAGE
This is appl_icable to Parcels L23 .1.1, L223. 1. 2,
L23.1.3, L23.l.4, L23.1.5, and L23.4.

The GRANTOR hereby notifies the GRANTEE of the former
storage release, or disposal of hazardous substances on L23.l.1, L223.1.2, L23.1.3, L23.1.4, L23.1.5, and L2·3.4. The items typically stored on the Property are listed in Table 4 of the FOST. The information regarding this storage indicates that it was conducted in a manner that would not pose a threat to human health and the environment. This notice is given pursuant to CERCLA and no additional action is necessary under CERCLA to protect human health and the environment.

28. NOTICE OF THE PRESENCE OF ASBESTOS AND COVENANT
This is applicable to Parcels L23.l.3, L23.1.4,
L23.l.5, and L23.6.

A. The GRANTEE is hereby informed and does acknowledge that friable asbestos or asbestos-containing material_ ("ACM") have 22 >escr.ipt.iOD: .M'o.Df:~ey,CA DocameDt:-rear.DocZD 2005.90734 l!age: 23 0£ 56 lrder: 65465456 COl'llllleDt::
been found on Parcels L23.l.3, L23.1.4, L23.1.S, and L23.6, as described in the referenced asbestos survey and summarized in the Environmental Baseline Surveys {"EBS") for the California State University Monterey Bay Parcel, the Main Garrison Parcels, Surplus II Parcels, and the UC Santa Cruz Parcel.

B. The Environmental Baseline surveys for the California State University Monte~ey Bay Parcel, the Main Garrison Parcels, Surplus II Parcels, and the UC Santa Cruz Parcel determined that several buildings have been determined to contain friable and non-friable asbestos that may pose a threat to human health.

Detailed information is contained in the Asbestos Survey Report, Fort Ord Installation (April 26, 1993). The GRANTOR has agreed to transfer said buildings to the GRANTEE, prior to remediation of asbestos hazards, in reliance upon the GRANTEE's express representation and promise that the GRANTEE will, prior to use or occupancy of said buildings, demolish said buildings or the portions thereof containing friable asbestos, disposing of ACM in accordance with applicable laws and regulations. With respect to the friable asbestos in said buildings and structures, the GRANTEE specifically agrees to undertake any and all abatement or remediation that may be required under CERCLA 120(h) (3) or any other applicable law or regulation. The GRANTEE acknowledges that the consideration for the conveyance of Parcels L23.1.3, L23.1.4, L23.l.S, and L23.6 was negotiated based upon the GRANTEE's agreement to the provisions contained in this section. 23 "8scz:1pt:ion: Jlonb!rey,CA Document:-rear.DocID 2005.90734 Page: 24 of 56 >rc:rer: 65465456 Commen'":
. . .
c. The GRANTEE covenants and agrees that its use and
occupancy of Parcels L23.l.3, L23.l.4, L23.l.S, and L23.6 will be in compliance with all applicable laws relating to asbestos; and that the GRANTOR assumes no liability for future remediation of asbestos or dam~ges for personal injury, illness, disability or death, to the GRANTE~, its successors or assigns, or to any other person, including members of the general public, arising from or incident ·to the purchase, transportation, removal, handling, use, disposition, or other activity causing or leading to contact of any kind whatsoever with asbestos or ACM on the Parcels L23.l.3, L23.1.4, L23.l.5, anq L23.6, whether the GRANTEE, its successors or assigns have properly warned or failed to properly warn the individual(s) injured. The GRANTEE agrees to be responsible for any future remediation of asbestos found to be necessary on the Parcels L23.1.3, L23.l.4, L23.l.5, and L23.6 as a result of the GRANTEE's activities. The GRANTEE assumes no liability for damages for.personal injury, illness, disability, death or property damage arising from (i) any exposure or failure to comp1y with any legal requirements applicable to asbestos on any portion of the Parcels L23.l.3, L23.1.4, L23.l.5, and L23.6 arising prior to GRANTOR's conveyance of such portion of the Parcels L23.l.3, L23.l.4, L23.1.5, and L23.6 to the GRANTEE. pursuant to this Deed, or (ii) any disposal, prior to the GRANTOR's conveyance of the Parcels L23.l.3, L23.1.4, L23.1.S, and L23.6, of any asbestos or ACM.
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D. Unprotected or unregulated exposure to asbestos in
product manufacturing, shipyard, and building construction workplaces have been associated with asbestos-related diseases.

Both Occupational Safety and Health Administration ("OSHA") and the EPA regulate asbestos because of the potential hazards associated with exposure to airborne asbestos fibers. Both OSHA and the EPA have determined that such exposure increases the risk of asbestos-related diseases, which include certain cance~s and which can result in disability or death.

E. The GRANTEE acknowledges that it has inspected Parcels L23.l.3, L23.~.4, L23.l.5, and L23.6 as to its asbestos content and condition and any hazardous or environmental conditions relating thereto prior to accepting the responsibilities imposed upon the GRANTEE under this section. The failure of the GRANTEE to inspect, or to be fully informed as to the asbestos conditions of all or any portion of Parcels L23.1.3, L23.l.4, L23.1.S, and L23.6 offered, will not constitute grounds for any claim or demand against the United States, or any adjustment under this Deed.

F. The GRANTEE further agrees to indemnify and hold
harmless the Army, its officers, agents and employees, from and against all suits, claims, demands or actions, liabilities, judgments, costs and attorneys' fees arising out of, or in any manner predicated upon, exposure to asbestos on any portion of Parcels L23.l.3, L23.l.4, L23.1.5, and L23.6 after this 25 '8sc:ription: Mont:erey,CA Document:-Year.DocID 2005.90734 Page: 26 0£ 56 )rder: 65465456 Comment::
...
conveyance of Parcels L23.l.3, L23.1.4, L23.l.S, and L23.6 to the GRANTEE or any future remediation or abatement of asbestos or the need therefore. The GRANTEE's obligation hereunder shall apply whenever the United States incurs costs or liabilities for actions giving rise to liability under this section.

29. NOTICE OF THE PRESENCE OF LEAD-BASED PAINT AND COVENANT This is applicable to Parcels L23.1.3, L23.l.4,
L23.1.5, and L23.6.

A. The GRANTEE is hereby informed and does acknowledge that all buildings on Parcels L23.1.3,· L23.l.4, L23.l.5, and L23.6, which were constructed or rehabilitated prior to 1978, are presumed to contain lead-based paint. Lead from paint, paint chips, and dust can pose health hazards if not managed properly.

Every purchaser of any interest in Residential Real Property on which a residential dwelling was built to 1978 is notified that such property may present exposure to lead from lead-based paint that may place young children at risk of developing lead poisoning. Lead poisoning in young children may produce permanent neurological damage, including learning disabilities, reduced intelligent quotient, behavioral problems, and impaired memory.

Lead poisoning also poses a particular risk to pregnant women.

The seller of any interest in Residential Real Property is required to provide the buyer with any information on lead-based paint hazards from risk assessments or inspections in the seller's possession and notify the buyer of any known lead-based 26 'Jescription: Mont:erey;a Doczzment:-Year.DooID 2005.90734 Page: 27 of 56 >.rder: 65465456 Comment:
paint hazards. "Residential Real Property" means dwelling units, common areas, building exterior surfaces, and any surrounding land, including outbuildings, fences and play equipment affixed to the land, available for use by residents and also buildings visited regularly by the same child, 6 years of age or under, on at least two different days within any week, including day-care centers, preschools and kindergarten classrooms, but not including land used for agricultural, commercial, industrial, or other non-residential purposes, and not including paint on the pavement of parking lots, garages, or roadways.

B. Buildings constructed prior to 1978 are assumed to
contain lead-based paint. Buildings constructed after 1977 are assumed to be free of lead-based paint. No sampling for lead within the buildings on Parcels L23.1.3, L23.l.4, L23.l.5, and L23.6 has occurred. However, limited sampling for lead-based paint was conducted in former barracks buildings located on property immediately north of Parcel L32.2.2, which is not a parcel of this conveyance (Industrial Hygiene Survey No. 55-71- R25A-94). One or more of the former barracks interior and/or exterior surface.components (e.g., walls, doors, window sills, door frames, etc.} tested positive for lead-based paint. Those barracks sampled were of the same construction type and were constructed in the same year (1954) as former barracks located on Parcel L32.2.2 (Buildings 4552 and 4562) and Parcel L32.4.l.l (Buildings 4430, 4432, 4434, 4436, 4440, 4442, 4444, and 4446). 27 '8scr.iption: Mo.nf:erey,CA Document-rear.DocID 2005.90734 :eage: 28 of 56 >rder: 65465456 Comment::
·l
...

Limited ·sampling for lead in soil surrounding some buildings at former Fort Ord has been completed. Soil samples were collected from soil surrounding 10 buildings in Parcel L23.3.2.1 (Buildings 6, 10, 20, 14, 16, 36, 71, 75, 82, and 108). The average concentration of lead detected in soil was 263 milligrams per kilogram (mg/kg) with a maximum concentration of 2,211 mg/kg detected at Building 6 (Lead In Soil Survey For Ten Buildings At The East Garrison, Fort Ord, California,· April 8, 1998). As agreed upon in an agency meeting on August 29, 1997, lead analytical results from soil samples collected adjacent to buildings on the Peninsula Outreach and the Marina Sports Center parcels can be used to represent lead concentrations in soil around the buildings on the Main Garrison parcels (E2b.l.1.1, E2b.l.1.2, E2b.1.2, E2b.1.3, E2b.1.4, E2b.2.1, E2b.2.3, E2b.2.4, E2b.3.1.l, E2c.3.l, E2c.3.2, E2c.3.3, E2c.4.2.l, E2d.l, E2d.2, L12.2.2, L12.2.3, L12.3, L23.l.2, L23.l.3, L23.l.4, and L35.l) which were constructed of similar materials and during similar time periods.· Average concentrations of lead detected in soil around the buildings on the Peninsula Outreach and Marina Sports Center parcels were 99.4 and 228 mg/kg, respectively. The maximum background concentration for lead in soil at Fort Ord is 51.8 mg/kg (Draft Final Basewide Background Soil Investiga.tion, Fort Ord, California, March 15, 1993). The federal Preliminary Remediation Goal ("PRG") for residential non-play area bare soil is 1,200 mg/kg. All purchasers must receive the federally 28 ')escription: Monterey,CA. Docmlle.Dt-Year.DocID 2005. 90734 Page: 29 of 56 n:der: 65465456 Cmmnent:
approved pamphlet on lead poisoning prevention. The GRANTEE hereby acknowledges receipt of all of the information described in this section.

C. The GRANTEE acknowledges that it has received the
opportunity to conduct its own risk assessment or inspection for the presence of lead-based paint and/or lead-based paint hazards prior to execution of this Deed.

D. The GRANTEE.covenants and agrees that it shall not permit the occupancy or use of any buildings or structures on Parcels L23.1.3, L23.l.4, L23.1.5, and L23.6 as Residential Real Property, as defined in this section, above, without complying with this section and all applicable Federal, state, and local laws and regulations pertaining to lead-based paint and/or lead­ based paint hazards. Prior to permitting the occupancy of Parcels L23.l.3, L23.1;4, L23.1.S, and L23.6 where their use subsequent to sale is intended for residential habitation, the GRANTEE specifically agrees to perform, at its sole expense, the Army's abatement requirements under Title X of the Housing and Community Development Act of 1992 (Residential Lead-Based Paint Hazard Reduction Act of 1992) (hereinafter "Title X").

E. The GRANTEE shall, after consideration of the guidelines and regulations established pursuant to Title X:
(1) Perform a reevaluation of the Risk Assessment if
more than 12 months have elapsed since the date of
the last Risk Assessment;
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(2) Comply with the joint HUD and EPA Disclosure Rule
(24 CFR 35, Subpart H, 40 CFR 745, Subpart F},
when applicable, by disclosing to prospective
purchasers the known presence of lead-based paint
and/or lead-based paint hazards as determined by
previous risk assessments;
(3) Abate lead dust and lead-ba~ed paint hazards in
pre-1960 residential real _property, as defined in
subsection A, above, in accordance with the
procedures in 24 CFR 35;
(4) Abate lead-soil hazards in pre-1978 residential
real property, as defined in subsection A, above,
in accordance with the procedures in 24 CFR 35;
(5) Abate lead-soil hazards following demolition and
redevelopment of structures in areas that will be
developed as residential real property;
(6) Comply with the EPA lead-based paint work
standards when conducting lead-based paint
activities (40 CFR 745, Subpart L);
(7) Perform the activities described in this section
within 12 months of the date of the lead-based
paint risk assessment and prior to occupancy or
use of the residential real property; and
(8) Send a copy of the clearance documentation to the
GRANTOR.
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F. In complying with these requirements, the GRANTEE
covenants and agrees to be responsible for any abatement or remediation of lead-based paint or lead-based paint hazards on Parcels L23.1.3, L23.1.4, L23.l.S, and L23.6 found to be necessary as a result of the subsequent use of Parcels L23.1.3, L23.1.4, L23.1.5, and L23.6 for residential purposes. The GRANTEE covenants and agrees to comply with solid or hazardous waste laws that may apply to any waste that may be generated during the course of the lead-based paint abatement activities.

G. The GRANTEE further agrees to indemnify and hold harmless the Army and GRANTOR, its/their officers, agents and employees, from and against all suits, claims, demands, or actions, liabilities, judgments, costs and attorney's fees arising out of, or in a manner predicated upon personal injury, death or property damage resulting from, related to, caused by or arising out of lead-based paint or lead-based paint hazards on Parcels L23.1.3, L23.1.4, L23.1.5, and L23.6 if used for residential purposes.

H. The covenants, restrictions, and requirements of this section shall be binding upon the GRANTEE, its successors and assigns, and all future owners and shall be deemed to run with the land. The GRANTEE on behalf of itself, its successors and assigns covenants that it will include and make legally binding, this section in all subsequent transfers, leases, or conveyance documents.

30. NOTICE OF THE POTENTIAL FOR THE PRESENCE OF PESTICIDES 31 "6scripticm: ld'oDteray,a. Doc:ament:-rear.DocID 2005 .. 90734 :eage: 32 of 56 >.:r:der: 65465456 Ccmmumt:

AND COVENANT
A. The GRANTEE is hereby informed and does acknowledge that pesticides may be present on the Property. To the best of GRANTOR's knowledge, the presence of pesticides does not currently pose a threat to human health or the environment, and the use and application of any pesticide product by the GRANTOR was in accordance with its intended purpose, and in accordance with CERCLA §107(i), which states:
"No person (including the United States or any State or Indian tribe) may recover under the authority of this
section for any response costs or damages resulting from the application of a pesticide product registered under the Federal Insecticide, Fungicide, and Rodenticide Act (7
U.S.C. §136 et seq.). Nothing in this paragraph shall affect or modify in any way the obligations or liability of any person under any other provision of State or Federal law, including common law, for damages, injury, or loss resulting from a release of any hazardous substance or for removal or remedial action or the costs of removal or remedial action of such hazardous substance."
B. Upon request, the GRANTOR agrees to furnish to the
GRANTEE any and all record~ in its possession related to the use of the pesticides necessary for the continued compliance by the GRANTEE with applicable laws and regulations related to the use of pesticides.
32 >escription: Manterey,CA Document-l'ear.DocID 2005.90734 2age: 33 of 56 >refer: 65465456 Camme.nt:
.

C. The GRANTEE covenants and agrees that its continued
possession, potential use and continued management of the Property, including any demolition of structures, will be in compliance with all applicable laws relating to hazardous substance/pesticides and hazardous wastes.

31. NOTICE OF THE POTENTIAL FOR THE PRESENCE OF
POLYCHLORINATED BIPHENYLS ("PCBs") AND COVENANT
This is applicable to Parcels L23.1.3, L23.1.4,
L23.1.5, L23.4 and L23.6.

A. PCBs have been used as coolants and lubricants in
transformers, capacitors and other electrical equipment like fluorescent light ballasts. EPA considers PCBs to be probable cancer causing chemicals, in humans. PCB and PCB-contaminated equipment that will be disposed of must be stored in a hazardous storage facility. The GRANTEE is hereby informed that
fluorescent light ballasts containing PCBs are present on Parcels L23.1.3, L23.l.4, L23.l.5, L23.4 and L23.6. The PCB containing equipment does not currently pose a threat to human health or the environment, when managed properly. All PCB containing equipment is presently in full compliance with applicable laws and regulations.

B. Upon request, the Army agrees to furnish to the GRANTEE any and all records in its possession related to such PCB equipment necessary for the continued compli~nce·by the GRANTEE with applicable laws and regulations related to the use and 33 >escri.pf:ion: Mcmterey,CA Docmzrent-rear.DocID 2005.90734 Page: 34 of 56 >rder: 65465456 Comment:
4 storage of PCBs or PCB containing equipment.

C. The GRANTEE covenants and agrees that its continued
possession, use, and management of any PCB containing equipment will be in compliance with all applicable laws relating to PCBs and PCB containing equipment a~d that the Army shall assume no liability for the future remediation of PC'B contamination or damages for personal injury, illness, disability, or death to the GRANTEE, its successors or assigns, or to any other person, incl~ding members of the general public arising from or incident to future use, handling, management, disposition, or other activity causing or leading to contact of any kind whatsoever with PCBs or PCB containing equipment, whether the GRANTEE, its successors or assigns have properly warned or failed to properly warn the individual(s} injured. The GRANTEE agrees to be responsible for any future remediation of PCBs or PCB containing '
equipment found to be necessary on Parcels L23.1.3, L23.1.4, L23.1.S, L23.4 and L23.6.

32. NOTICE OF THE PRESENCE OF CONTAMINATED GROUNDWATER AND

COVENANT
A. The groundwater beneath portions of the former Fort Ord is contaminated with volatile organic compounds ("VOCs"), primarily trichloroethylene ("TCE"). The maximum TCE
doncentration in the groundwater beneath the Property (Parcel E2b.2.l} is 280 micrograms per liter (September 2001) as measured in the groundwater extraction Well EW-12-02-lB0M. The maximum 34 .,.
,escz::tptLo.o: Mont:erey,CA Docame.ot-rear.DocID 2005.90734 Page: 35 of 56 >refer: 65465456 Commaat::
concentrations of the chemicals of concern (associated with the OU2 and Sites 2/12 groundwater plumes) detected in the
groundwater monitoring wells on the property (September 2001) are listed below. The quantity released of these compounds is unknown. The 002 and Sites 2/12 groundwater aquifer cleanup levels ("ACLs.,), presented in the OU2 and Basewide Remedial Investigation Sites Record of Decision ("RODs"), are provided for comparison.

B. Without the express written consent of the GRANTOR in each case first obtained, neither the GRANTEE, its successors or assigns, nor any other person or entity acting for or on behalf of the GRANTEE, its successors or assigns, shall interfere with any response action being taken on the Property by or on behalf of the GRANTOR, or interrupt, relocate, or otherwise interfere with any remediation system now or in the future located on, over, through, or across any portion of the Property.

C. The Deed reserves a non-exclusive easement to allow
continued access for the Army (or its designated contractor) ·and the regulatory agencies (EPA, DTSC, and California Regional Water Quality Control Board, Central Coast Region), to permit necessary groundwater monitoring at wells located on the Property and the installation of new treatment or monitoring wells if required for the pump and treat operations. Furthermore, this Deed prohibits all others from tampering with the groundwater monitoring wells. 35 '6sl::ript:ioa: Moaterey,CA Docrmumt-YeaJ:.DocID 2005.90734 J?age: 36 of 56 >rdcr: 65465456 Comme.at:
..

I
I
· l
i •
I ' I
i • I
I
I J
Oicmk:al Name
Benzene
Carbon TdrBChloride
C&fototbrm
l,1-Dlchlofocdwle
1,1-Diclllcuoahanc
l.l-Dichloroclhcnc •
Cls-1,2-Dic:hlorodhcae
lpDichloropmpanc
Total l.J-l)ic&IOIOplOpCIIC
Mcdlyfcac <llloridc
Tdlal:ltloiocllt
Tric:flforoccJlme
Vinyl chlom!c
Cl&cmicalr or CollCCl'll la Grouadwatcr
(OU 2,Sffcsllll. a.ad Carboa Tclnchloride1"1ame)
and A.qalfer Cleanup Leftls

BCIJZOI
Methane. tdradtlo.ro­
Methanc, lriddoro­
Edlaac; J,l-dichlo.ro­
Edlane, 1,.2-cllc:hlo.ro­
Ethcnc. 1,1-didlfo.ro­
Ethcne, 1,2-dicltloro(E)
Propane. 1,2-dic:bloro­
Propcm:, l,3-dicfdoro-
• Methane. clidiloro­
Elbcnc, tctrachloso­
Ethcne, lrichlo.ro-"
Etheoc.chloio-
71432
56235
67663
75343
107062
7S3S4
lS660S
7887S
S427S6
1S092
127184
79016
7S014
R.CRA
Wasto
Nwnber
UOJ9
U21l
U044
U076
U077
U078
U079
U083
UOIO
U210
0221
U043
•Chanical /\bSfl'at:l Services Registry Number

4.7 6.4
S.6
48 6.7

3.3 130
l.7
ND
no
23 280
13 ACL
J.O
o.s

2.0 s.o o.s

6.0 6.0
l.0
o.s s.o

3.0 s.o
O.l
D. A Covenant to Restrict Use of Property ("CROP") within the "Groundwater Protection Zone11 has been established between the United States Army, DTSC, and the California Regional Water Quali~y Control Board, Central Coast Region, recorded in Monterey County, California on September 28, 2004, Series No. 2004103·512.

Construction of groundwater wells for access, use, or consumption of groundwater within the boundaries of the Property is prohibited without prior written approval by the above parties as described in the CROP.

E- The GRANTEE covenants for itself, its successors and assigns not to access or use groundwater underlying the Property for any purpose without prior written approval of the P.arties as described in the CROP. For the purpose of this restriction, "groundwater" shall have the same meaning as in Section 101(12) 36 :Jesar.ipt.ion: Mcmterey,CA Doc!ame.at-rear.DocID 2005.90734 l!age: 37 of 56 :>_rder: 65465456 Comment::
.of CERCLA. The GRANTEE, for itself, its successors or assigns, covenants that it will not undertake nor allow any activity on or use of the Property that would violate the restrictions contained herein. These restrictions and covenants are binding on the GRANTEE, its successors and assigns; shall run with the land; and are forever enforceable.

F. The restrictions and conditions stated in the CROP
benefit the public in general and the territory surrounding the Property, including lands retained by the United States, and, therefore, are enforceable by the United States Government and the State of California. The GRANTEE covenants for itself, its successors and assigns, that it shall include and otherwise make legally binding, the restrictions in this section in all subsequent lease, transfer or conveyance documents relating to the Property subject hereto.

G. The Army and its representatives shall, for all time, have access to the Property for the purpose of installing and/or removing groundwater monitoring wells, and to perform continued monitoring of groundwater conditions, a_llowing chemical and/or physical testing of wells to evaluate water quality and/or aquifer characteristics. The Property owner shall allow ingress and egress of all equipment necessary to accomplish the same.

33. NOTICE OF THE POTENTIAL FOR THE PRESENCE OF ORDNANCE AND

EXPLOSIVES
A. Ordnance and explosives ("OE .. ) investigations indicate 37 '8sc:r.:i.pti.on: Mont:erey,CA Document:-rear.DocID 2005.90734 Page: 38 0£ 56 )rder: 65465456 Comment:
that it is not likely that OE is located within the Property.

However, there is a potential for OE to be present because OE were used throughout the history of Fort Ord. In the event the GRANTEE, its successors and assigns, should discover any ordnance on the Property, they shall not attempt to remove or destroy it,. but shall immediately complete Section A of the Ordnance and Explosives Incident Reporting Form, fax the form to the Presidio of Monterey Police Department at (831} 242-7740 and notify the Presidio of Monterey Police Department via telephone at (831) 242-7851 and competent GRANTOR or GRANTOR-designated explosive ordnance personnel will promptly be dispatched to dispose of such ordnance at no expense to the GRANTEE. The GRANTEE hereby acknowledges receipt of the "Ordnance and Explosives Safety Alert" pamphlet and the Ordnance and Explosives Incident Reporting Form.

B. In addition, the Army offers OE familiarization training to anyone conducting ground disturbance activities (digging holes, excavating trenches, repairing underground utilities, etc.) at the former Fort Ord. The OE Safety Specialist conducts a thirty-minute training session. This training session includes a lecture on what OE might be found, the procedure to follow if something is found and "Safety Alert" brochures are also distributed. To schedule this training, please contact the Directorate of Environmental and Natural Resources at (831) 242- 7919.
38 Jescripti.on: No.nt:erey,CA Document:-rear.Doc:ID 2005.90734 Page: 39 of 56 >rder: 65465456 Comment:

C. The GRANTOR reserves the right to conduct any remedial action and/or investigation that the Army is responsible for, as required or necessary as a result of the ongoing OE Remedial Investigation/Feasibility Study.

34. ENDANGERED SPECIES
The GRANTEE, its successors and assigns, shall comply with the requirements, if any and if applicable, of the Fort Ord Installation-Wide Multi-species Habitat Management Plan ("HMP"~ for former Fort Ord, California.

A. The Property is within HMP Development Areas. No
resource conservation requirements are associated with the HMP for this parcel. However, small pockets of habitat may be preserved within and around the Property.

B. The Biological Opinion identifies sensitive biological resources that may be salvaged for use in restoration activities within reserve areas, and allows for development of the Property.

C. The HMP does not exempt the GRANTEE from complying with environmental regulations enforced by Federal, State or local agencies. These regulations could include obtaining the Endangered Species Act ("ESA") (16 U.S.C. §1531-1544 et seq.) Section 7 or Section l0(a) permits from the U.S. Fish and Wildlife Service ("USFWS"); complying with prohibitions against r
take of listed animals under ESA Secti9n 9, complying with prohibitions against the removal of listed plants occurring on Federal lands or the destruction of listed plants in violation of 39 :tescr1pt.icm: Mmaterey,CA Docume.Dt-rear.DocID 2005.90734 :Page: 40 of 56 >refer: 65465456 Comment:
any state laws; complying with measures for conservation of state-li~ted threatened and endangered species and other special­ status species recognized by California Department of Fish and Game ("DFG") under the Califo.rnia ESA, or California
Environmental Quality Act ("CEQA"); and complying with local land use regulations and restrictions.

D. The HMP serves as a management plan for both listed and candidate species, and is a prelisting agreement between the USFWS and the local jurisdiction for candidate species that may need to be listed because of circumstances occurring outside the area covered by the HMP.

E. Implementation of the HMP would be considered suitable mitigation for impacts to HMP species within HMP prevalent areas and would facilitate the USEWS procedures to authorize inci9ental take of these species by'participating entitles as required under ESA Section 10. No further mitigation will be required to allow development on the Property unless species other than the HMP target species are proposed for listing or are listed.

F. The HMP does not authorize incidental taking of any
species listed as threatened or·endangered under the ESA by . entities acquiring land at the former Fort Ord. The USEWS has ~ecommended that all non federal entities acquiring land at former Fort Ord apply for ESA Section l0(a) (1) (B) incidental taking permits for the species covered in the HMP. The
ciefinition of "take" under the ESA includes to harass, harm, 40 >escr:i.ptioa: Jlo.aterey,CA Documen~-rear.DocID 2005.90734 Paga: 41 0£ 56 >refer: 65465456 cammsn~:
hunt, shoot, wound, kill, trap, capture, or collect, or attempt to engage in any such conduct. Although the USFWS will not require further mitigation from entities that are in conformance with the HMP, those entities without incidental taking
authorization would be in violation of the ESA if any of their actions resulted in the taking of a listed animal species. To apply for a Section l0(a) (1) CB) incidental taking permit, an entity must submit an application form (Form 3-200), a complete description of the activity sought to be authorized, the common and scientific names of the species sought to be covered by the permit, and a conservation plan (50 CFR 17.22(b)).

G. The GRANTEE acknowledges that it has signed the HMP
dated April 1997, and will cooperate with adjacent property owners in implementing mitigation requirements identified in the HMP for adjacent sensitive habitat areas.

35. AIR NAVIGATION RESERVATION AND RESTRICTIONS
The Monterey Airport and the former Fritzsche Airfield, now known as the Marina Municipal Airport are in close proximity of the Property. Accordingly, in coordination with the Federal Aviation Administration, the GRANTEE, by the acceptance of this Deed, further covenants and agrees for itself, its successors and assigns and every successor in interest to the Property herein conveyed, or any part thereof, that, when applicable, ·there will be no construction or alteration. unless a determination of no hazard to air navigation is issued by the Federal Aviation 41 Jesc:z:iption: Monterey,CA Docu:me.Elt-:rear.DocID 2005. 90734 eage: 42 of 56 )rdez:: 65465456 Camment:

Administration in accordance with Title 14, Code of Federal Regulations, Part 77 entitled "Objects Affecting Navigable· Airspace", or under the authority of the Federal Aviation Act of 1958, as amended.

36. Should the subject parcel be considered for the
proposed acquisition and construction of school properties utilizing State funding, at any time in the future, a separate environmental review process in compliance with the California Education Code Section 17210 et seq., will need to be conducted and approved by the DTSC.

37. The Army shall not incur liability for additional
response action or corrective action found to be necessary after the date of transfer in any case in which the person or entity to whom the Property is transferred, or other non-Army entities, is identified as the party responsible for contamination of the Property.

38. The GRANTOR'S obligation to pay or reimburse any money under this Deed is subject to the availability of appropriated funds to the Department of the Army, and nothing in this Deed shall be interpreted to require obligations or payments by the GRANTOR in violation of the Anti-Deficiency Act.

39. If any provision of this Deed, or the application of it to any person or circumstance, is found to be invalid, the remainder of the provisions of this Deed, or the application of such provisions to persons or circumstances other than those to 42 >escr.:i.pt::ion: Mont:erey,CA Document-rear.DocID 2005.90734 2age: 43 of 56 >rder: 65465456 Comment::
which it is found to be invalid, shall not be ~ffected thereby.

The captions in this Deed have been inserted solely for convenience of reference and are not a part of this Deed and shall have no effect upon construction or interpretation.

40. All covenants, conditions subsequent and restrictions contained in this Deed shall run with the land and be binding upon GRANTEE, its successors and assigns, to all or any part of the Property. Restrictions, stipulations and covenants contained herein will be inserted by the GRANTEE verbatim or by express reference in any deed or other legal instrument by which it divests itself of either the fee simple title or any other lesser estate in the Property or any portion thereof. All rights and powers reserved to GRANTOR by this.Deed may be exercised by any successor in function to GRANTOR, and all references in this Deed to GRANTOR shall include its successor in function. All covenants and conditions subsequent contained herein are for the sole benefit of GRANTOR and may be modified or abrogated by it as provided in the Act, PROVIDED, HOWEVER, that the failure of the GRANTOR or its successor to insist in any one or more instances upon complete performance of any of the said conditions shall not be construed as a waiver or a relinquishment of the future performance of any such conditions, but the obligations of the GRANTEE, its successors or assigns, with respect to such 43 '8scriptioa.: Mont:erey,CA Docum~t-Year.DocID 2005. 90734 l'age: 44 of 56 ,rd,p:: 65465456 Comment::
performance shall be continued in full force and effect.

V. SIGNATURES
TO INDICATE THEIR AGREEMENT to the pro~isions contained in this agreement, GRANTOR and GRANTEE have executed this.document as of the date and year first above written.

UNITED STATES OF AMERICA
Acting by and through the
Secretary of Education
By:
6 JJ w
David e. Llfola
Director, Federal Real Property
Assistance Program
Office of Management
U.S. Department of Education
Washington, D.C.

ACCEPTANCE
The Monterey Peninsula Community College District, acting through its Superintendent/President, Kirk Avery, GRA~TEE, hereby accepts this Quitclaim Deed and accepts and agrees to all the terms, covenants, conditions subsequent, and restrictions contained therein.

MONTEREY PENINSULA COMMUNITY COLLEGE

DISTRICT
GRANTEE:
/']_I./ ... ~
By: ~ ""Kl,.,....r~k-A_v_e_r_y _______ ,_=
Superintendent/President
44 :>escript::ion: Mcmterey,CA Document-rear.Doc.?D 2005.90734 Rage: 45 o:£ 56 :>refer: 65465456 comment:

I
.. _ ....

ACKNOWLEDGMENTS

COMMONWEALTH OF VIRGINIA)

COUNTY OF FAIRFAX )
·On this 18th day of October, 2004, personally appeared before me, a Notary Public in and for the Commonwealth of Virginia, David B, Hakala, Director, Federal Real Property Assistance Program, Office of Management, U.S. Department of Education, acting for the United States of America and the Secretary of Education, known to me to be the same person whose name is subscribed to the foregoing instrument and acknowledged to me that he executed the same as on the date hereof as his free and voluntary act and deed for the purposes and consideration therein expressed and with the full authority and as the act and deed of the United States of America and the Secretary of Education ..

IN WITNESS WHEREOF, I have set my hand and seal at Fairfax County, Virginia, on this 18th~~f Oct:: 2004.
(SignedJ--::~~e0,~ ~otary ubl1.c
My Commission expires: ~1'3{ :i&rJf;l:~"'
I
45 '>escr:Lpt:.:Lon: Monterey,CA Document-Year.DocID 2005.90734 Page: 46 of 56 >rder: 65465456 Comment:
. . .
~ CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT
California State of _________ _
County of __ Mo_u_te_1:_ey _________ _
On Aug.30.2005
DATE
before tn&,----:Ki::::-:m=h-=er::-::1:-=y:-::V=er==a=-n-=ia=-•~N~o~t~ary~P~u~bl~i=c-­ lW8!r fflLEOFOfFICER•E.G. •JANEcoe,NDJMYPUIUC"
personally appeared ____ Ki_r_k_A:_'!IT_er_Y __ ~===,,.,.--------- tw.m(SJOf&IGNSl{St
□ personally known to me·-OR - U proved to me· on the basis of satisfactory evidence to be .the person(s) whose name(s) ls/are
subscribed to the within Instrument and ac-
. knowleilged to me that he/she/they executed
the same tn • his/her/their .authorized
capacl1(les)y, ahd that by his/her/their
slgnature(s) on file Instrument the person(s),
or tHe entity upon behalf of which the·
person{s) acted, e ecuted the Instrument
'lescripel.011: .MoDterey,ca Docmumt:-rear.DocID 2005. 90734 Rage: 47 of 56 >J:der: 65465456 Comment:
,--~ ...

DESCRIPTION OF 7 PARCELS

BEING A PORTION OF FORT ORD MILITARY RESERVATION
IN RANCHO NOCHE BUENA AND MONTEREY CITY LANDS TRACT NO. 1 MONTEREY COUNl'V, CALIFORNIA

FOR THE MONTEREY PENINSULA COLLEGE
CERTAIN real property situated in Rancho Noche Buena and Monterey City Lands Tract No. 1, County of Monterey, State of California, particularly described as follows:

PARCEL 1 (4.81 ACRES)
L23.1.3
BEGINNING at the intersection of the easterly line of Eleventh Street wilJ1 the northerly line of Twelfth Street the coordinate being _Northing = 2138652.53 and Easting = 573871".05; thence leaving said northerly line of Twelfth Street and running instead along said easterly line •

1. N e+
0 40' 22" E, 353.63 feet; thence last said easterly line

2. S 88° 19' 38" E, 170.81 feet; thence

3. S 24° 12' 38" E, 147.03 feet; thence

4. •S 73° 09
1 35
st
E, 582.69 feet to an intersection with.the easterly line of Third Avenue; thence

5. Southerly, 158.94 feet along the arc of a non-tangent curve to the left having a radius of 1330.00 feet whose center bears S 64° 26' 25" E, through a central angle of 06° 50' 50"; thence tangentially

6. S 18° 42' 45
11 W, 22.24 feet; thence leaving last said easterly line; thence

7. Southwesterly. 61.52 feet along the arc of a tangent curve to the right having a radius of 40.00 feet, through a central angle of 88° 07' 4(>°; thence tangentially along said northerly line of Twelfth Street

8. N 73° 09
1 35' W, 176.15 feet; thence

9. Westerly, 317.31 .feet along the arc of a tangent curve to the left having a radius of 1202.00 feet, ~rough a central angle of 15° 07' 30"; thence tangentially

10. N 88° 17' osn W, 183.04 feet; thence

11. Northwesterly, 62.80 feet along the arc of a tangent curve to the right having a radius of 40.00 feet, through a central angle .of 89° 57' 27" to the Point of Beginning.

Page 1 of 5 ends
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