CITY OF MENIFEE
SUBJECT: Agreement for the Assignment and Assumption of Cooperative Agreement for the Construction of Flood Control Facilities Associated with Tract Map 31456, The Enclave, by KB Homes Cal Management Services, LLC
MEETING DATE: April 2, 2025
TO: Mayor and City Council
PREPARED BY: Jorge Aguilar, Assistant Engineer
REVIEWED BY: Nick Fidler, Public Works Director
APPROVED BY: Armando G. Villa, City Manager
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RECOMMENDED ACTION
1. Approve and authorize the City Manager to execute an Assignment and Assumption of Cooperative Agreement to guarantee the completion of required flood control facility improvements by KB Homes Cal Management Services, LLC, associated with Tract Map 31456, the Enclave, located west of Valley Boulevard and north of Sun City Boulevard.
DISCUSSION
Tract Map 31456 (TM 31456), also known as The Enclave (“Project”), is a proposed residential development in the City of Menifee located west of Valley Boulevard and north of Sun City Boulevard. The Project is conditioned to construct certain Riverside County Flood Control and Water Conservation District (“District”) flood control facilities including the Menifee Valley – Bella View Way Storm Drain, Stage 1, and the Menifee Valley – Haleys Flight Drive Storm Drain, Stage
1. These facilities would provide flood protection and drainage for the Project and serve as a part of District regional flood control infrastructure. On November 2, 2022, the City Council entered into a four-party Cooperative Agreement (“Agreement”) with the then Project owner RCFC Investments, LLC (RCFC), the District, and the County of Riverside (“County”). The Agreement memorializes the roles and responsibilities of each party in the construction, inspection, ownership, operation and maintenance of the flood control facilities.
The Bella View Way Storm Drain, Stage 1 facility would be comprised of approximately 2395 lineal feet of underground storm drain system and a debris basin with an associated outlet structure, trash rack and wingwall. At its downstream terminus, this storm drain would connect to the onsite basin of TM 31456. Haleys Flight Drive Storm Drain, Stage 1, would be comprised of approximately 655 lineal feet of underground storm drain system. At its downstream terminus,
City of Menifee Staff Report
Assignment of Cooperative Agreement, TM 31456, The Enclave April 2, 2025
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this storm drain would connect to the Bella View Way Storm Drain, Stage 1 facility. These flood control facilities would be owned and operated by the District as “District Facilities.” The City would be responsible for the maintenance of appurtenances associated with these facilities including catch basins, connector pipes and storm drain lines that are 36 inches or less in diameter (“City Facilities”).
The Project has now changed ownership as KB HOME Cal Management Services, LLC, a California corporation (“Developer”), has acquired the Project from RCFC. This change in ownership requires that the Developer now assume the responsibilities of the Agreement previously assigned to RCFC. Section IV.15 of the Agreement requires that, in the event of a change in Project ownership, an assignment and assumption agreement be executed to transfer all of the former Project owner’s rights, duties, or obligations to the new owner. The attached four- party Assignment and Assumption of Cooperative Agreement (“Assignment Agreement”) serves to memorialize the transfer of all prior RCFC rights and obligations in the Agreement to the Developer. All other terms of the Agreement remain unchanged.
The proposed Assignment Agreement has been reviewed and approved as to form by both the City Attorney and the Riverside County Counsel. If approved by the City Council, the Assignment Agreement would be presented to the Riverside County Board of Supervisors for approval, full execution, and ultimately recordation with the Riverside County Clerk Recorder’s Office.
STRATEGIC PLAN OBJECTIVE
Safe and Vibrant Community
FISCAL IMPACT
All costs incurred in constructing the Project would be borne by the Developer. Upon acceptance of the Project, the District would be responsible for the operation and maintenance of the District Facilities and the City would be responsible for the maintenance of City Facilities. Costs associated with the ongoing maintenance of City Facilities would be supported through special assessments levied through the previously established Community Facilities District 2017-1 (Maintenance Services), Annexation No. 7.
ATTACHMENTS
1. Location Map
2. Assignment Agreement
3. Agreement