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Agenda packet

Orange City Council
December 13, 2022

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Agenda packet
Meeting
December 13, 2022
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Orange City Council
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16
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22.2 MB
Text extracted from the city's file for reading and search. Open the original on cityoforange.legistar.com. That file is the official record.

Tom Kisela
Interim City Manager
Gary A. Sheatz
City Attorney
Pamela Coleman
City Clerk
MARK A. MURPHY
Mayor

KIMBERLEE NICHOLS
Mayor pro tem

CHIP MONACO
Councilmember

ARIANNA BARRIOS
Councilmember, District 1

JON DUMITRU
Councilmember, District 2

KATHY TAVOULARIS
Councilmember, District 3

ANA GUTIERREZ
Councilmember, District 5
AGENDA
City Council
December 13, 2022
Joint Meeting with the Successor
Agency to the Orange
Redevelopment Agency
5:00 PM Closed Session
6:00 PM Regular Session
City Council Chamber
300 E. Chapman Avenue
Orange, CA 92866
The City of Orange City Council welcomes you to this meeting and encourages your participation. Regular City Council meetings are held on the second Tuesday of each month at 6:00 p.m.

Agenda Information
The agenda contains a brief general description of each item to be considered. The City Council may take legislative action deemed appropriate with respect to the item and is not limited to the recommended action indicated in staff reports or the agenda. The agenda and supporting documentation is available after 4:00 p.m. on the Thursday prior to the Council meeting on the City's website at www .cityoforange.org, at the City Clerk's Office located at 300 E. Chapman Avenue, and at the Main Public Library located at 407 E. Chapman Avenue. Written materials relating to an item on the agenda that are provided to the City Council after agenda packet distribution and within 72 hours before Council is to consider the item will be made available for public inspection in the City Clerk’s Office during normal business hours; at the City Council meeting; and made available on the City's website.

Public Participation
Regular meetings are televised live on Spectrum Cable Channel 3 and AT&T U -verse Channel 99, and streamed live and on-demand on the City's website at www.cityoforange.org.

Pursuant to Government Code Section 54954.3, members of the public may address the City Council on any agenda item before or during Council ’s consideration of the item, and on any other matters within the City Council’s jurisdiction by using any of the following methods:
1) In-Person
To speak on an item on the agenda, complete a speaker card indicating your name and address, and identifying the agenda item number or subject matter you wish to address. The card should be given to the City Clerk prior to the start of the meeting. General comments are received during the “Public Comments ” section at the beginning of the Regular Session. No action may be taken on off -agenda items unless

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1 City Council Agenda December 13, 2022
authorized by law. Public Comments are limited to three (3) minutes per speaker unless a different time limit is announced. It is requested that you state your name for the record, then proceed to address the City Council. All speakers shall observe civility, decorum, and good behavior. 2) Written Public Comments via email or eComment
Members of the public can submit their written comments electronically for City Council consideration by emailing them to CCpubliccomment@cityoforange .org with the subject line “Public Comment Item # (insert the item number relevant to the comment )” or “Public Comment Non -agenda Item” for general public comments. The public can also submit written comments on the City ’s eComment page. Please visit the City’s website at www .cityoforange.org, click Current City Council Agenda, then click the eComment link for this meeting. To ensure distribution to the City Council prior to consideration of the agenda, we encourage the public to submit written comments by 3:00 p.m. the day of the meeting. All written comments will be provided to the Council and posted on the City’s website.
3) Public Comments via recorded voicemail message
Finally, the public can record their comments by calling (714) 744-2234 no later than 5:00 p.m. the day of the meeting. Recorded messages will not be played at the meeting, but will be provided to the Council.

In accordance with Ordinance No. 10-01, any person making personal, impertinent, slanderous or profane remarks or who becomes boisterous while addressing the Council shall be called to order by the Mayor. If such conduct continues, the Mayor may order the person barred from addressing the City Council further during that meeting, unless permission to continue is granted by a majority vote of the Council.

Please contact the City Clerk’s Office at (714) 744-5500 with any questions.

ADA Requirements: In compliance with the Americans with Disabilities Act, if you need accommodations to participate in this meeting, please contact the City Clerk's office at (714) 744-5500. Notification at least 48 hours in advance of meeting will enable the City to make arrangements to assure accessibility to this meeting.

REMINDER: Please silence all electronic devices while City Council is in session.

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2 City Council Agenda December 13, 2022
5:00 PM CLOSED SESSION

1. CALL TO ORDER

1.1 ROLL CALL

2. PUBLIC COMMENTS ON CLOSED SESSION ITEMS
At this time, members of the public may address the Council on Closed Session items only. Public Comments are limited to three (3) minutes per speaker.

3. RECESS TO CLOSED SESSION
a. CONFERENCE WITH LEGAL COUNSEL – EXISTING LITIGATION
Pursuant to Government Code Section 54956.9(a) & (d)(1) - One case Name of Case: Deanna Garcia v. Gutierrez, et al.

Orange County Superior Court Case No. 30-2020-01125092

4. CLOSED SESSION REPORT

5. ADJOURNMENT
The City Council will adjourn to the 6:00 p.m. Regular Session in the Council Chamber.

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3 City Council Agenda December 13, 2022
6:00 PM REGULAR SESSION

1. OPENING/CALL TO ORDER

1.1 INVOCATION
Pastor Tim Klinkenberg, St. John's Lutheran Church of Orange

1.2 PLEDGE OF ALLEGIANCE
Mayor Mark A. Murphy

1.3 ROLL CALL

1.4 PRESENTATIONS/ANNOUNCEMENTS
Memorial Adjournment in honor of Rudolph "Rudy" Diaz

2. PUBLIC COMMENTS
At this time, members of the public may address the Council on matters not listed on the agenda within the subject matter jurisdiction of the City Council, provided that NO action may be taken on off -agenda items unless authorized by law. Public Comments are limited to three (3) minutes per speaker.

3. CONSENT CALENDAR
All items on the Consent Calendar are considered routine and are enacted by one motion approving the recommended action listed on the Agenda. Any member of the City Council, staff or the public may request an item be removed from the Consent Calendar for discussion or separate action. Unless otherwise specified in the request to remove an item from the Consent Calendar, all items removed shall be considered immediately following action on the remaining items on the Consent Calendar.

3.1. Waive reading in full of all ordinances on the Agenda.

Approve.

Recommended Action:

3.2. Confirmation of warrant registers dated November 4, 10, 18, and 23, 2022.

Approve.

Recommended Action:

Staff ReportAttachments:

3.3. Approval of amended minutes of the City of Orange City Council Regular Meeting held on July 13, 2021.

Approve minutes as amended.

Recommended Action:

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4 City Council Agenda December 13, 2022
Staff Report
7-13-2021 amended minutes for report out of closed session summary
Attachments:

3.4. Approval of minutes of the City of Orange City Council Adjourned Regular Meeting held on November 15, 2022.

Approve minutes as presented.

Recommended Action:

Staff Report
November 15, 2022, Adjourned Regular Meeting minutes
Attachments:

3.5. Historic Property Preservation Agreements (Mills Act Contracts) for nine qualified historic properties.

Approve nine Mills Act Contracts between the City of Orange and the identified property owners for the preservation and rehabilitation of qualified historic properties; and authorize the Mayor and City Clerk to execute on behalf of the City.

Recommended Action:

Staff Report
Summary of Nine Mills Act Applications
Mills Act Contract MAC 412.0-22 with Photograph
Mills Act Contract MAC 419.0-22 with Photograph
Mills Act Contract MAC 420.0-22 with Photograph
Mills Act Contract MAC 422.0-22 with Photograph
Mills Act Contract MAC 423.0-22 with Photograph
Mills Act Contract MAC 424.0-22 with Photograph
Mills Act Contract MAC 425.0-22 with Photograph
Mills Act Contract MAC 426.0-22 with Photograph
Mills Act Contract MAC 427.0-22 with Photograph
Attachments:

3.6. Appropriation of $ 530,000 in Comprehensive Transportation Funding Programs - Project X Tier 1 2022 Environmental Cleanup Program fund and Sanitation and Sewer fund for the Taft Avenue & Lewis Street Water Quality Storm Drain Improvement Project.

1. Accept into the City ’s revenue budget $400,000 in grant funds from the OCTA Tier 1 Environmental Cleanup Program, into revenue account number 550.5011.45460.30215, Reimbursable Capital Projects - Taft Avenue & Lewis Street Water Quality Storm Drain Improvement Project.

2. Authorize the appropriation of $400,000 to expenditure account number 550.5011.56340.30215, Reimbursable Capital Projects - Taft Avenue & Lewis Recommended Action:

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5 City Council Agenda December 13, 2022
Street Water Quality Storm Drain Improvement Project.

3. Authorize the appropriation of $130,000 to expenditure account number 220.5011.56340.30215, Sanitation and Sewer - Taft Avenue & Lewis Street Water Quality Storm Drain Improvement Project.

Staff Report
OCTA ECP Project X Tier 2022 Programming Recommendations Attachments:

3.7. Appropriation of $ 30,000 in designated grant funding received from California State Library.

1. Accept into the City ’s budget $30,000 in grant funds from California State Library into revenue account number 100.2001.45290.30213, General Fund - Sustainable Orange Grant.

2. Authorize the appropriation of $30,000 in grant funds into expenditure account number 100.2016.53340.30213, General Fund - Sustainable Orange Grant.

Recommended Action:

Staff Report
Sustainable Orange Grant Award Letter
Attachments:

3.8. Award of Contract to Tess Electric, Inc. for electrical improvements at Wells 23 and 24.

Approve the contract with Tess Electric, Inc. in the amount of $ 35,532 for electrical improvements at Wells 23 and 24; and authorize the Mayor and City Clerk to execute on behalf of the City.

Recommended Action:

Staff Report
Contract with Tess Electric, Inc.

Attachments:

3.9. Second Reading and adoption of an Ordinance of the City Council of the City of Orange approving a development agreement with Old Town Gateway, LLC for a project on a site located at 401 W. Chapman Avenue and 135 N. Atchison Street .

Development Agreement No. 0008-22. Ordinance No. 08-22.

Adopt Ordinance No. 08-22.

Recommended Action:

Staff Report
Ordinance No. 08-22
Attachments:

3.10. Second Reading and adoption of an Ordinance of the City Council of the City of Orange creating the Neighborhood Preservation Overlay Zone; providing development standards to regulate the addition of bedrooms or bathrooms to a primary residence within specified boundaries; revising or adding definitions pertaining to residential additions and student housing; and updating provisions

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6 City Council Agenda December 13, 2022
for reviewing body approval of specified matters. Ordinance No. 10-22.

Adopt Ordinance No. 10-22.

Recommended Action:

Staff Report
Ordinance No. 10-22
Attachments:

3.11. Second Reading and adoption of an Ordinance of the City Council of the City of Orange amending various sections of the Orange Municipal Code to delete outdated language, update references to conform with current law and code provisions, and achieve internal consistency. Ordinance No. 09-22.

Adopt Ordinance No. 09-22.

Recommended Action:

Staff Report
ORD-09-22 OMC Administrative Updates
Attachments:

SUCCESSOR AGENCY TO THE ORANGE REDEVELOPMENT AGENCY

3.12. Recognized Obligation Payment Schedule for the fiscal period covering July 1, 2023 through June 30, 2024 (ROPS 23-24). Resolution No. SAORA-036.

1. Adopt Resolution No. SAORA-036. A Resolution of the Governing Board of the Successor Agency to the Orange Redevelopment Agency approving a Recognized Obligation Payment Schedule for the fiscal period covering July 1, 2023, through June 30, 2024 (ROPS 23-24), pursuant to Health and Safety Code Section 34177, and taking certain related actions.

2. Direct staff to transmit ROPS 23-24 and related Administrative Budgets to the Orange Countywide Oversight Board of the Successor Agency to the Orange Redevelopment Agency.

Recommended Action:

Staff Report
Resolution No. SAORA-036
Attachments:

END OF CONSENT CALENDAR
* * * * * * * *

4. REPORTS FROM MAYOR MURPHY

5. REPORTS FROM COUNCILMEMBERS
An opportunity for Councilmembers to make a brief announcement, report, or request .

No action(s) will be taken pursuant to Government Code Section 54954.2(a)(3).

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7 City Council Agenda December 13, 2022

5.1. Resolution supporting the Iranian-American community. (Tavoularis) Consider adoption of Resolution No. 11429. A Resolution of the City Council of the City of Orange declaring support of the Iranian -American community and condemning the violence perpetrated by the government of Iran against its people.

Recommended Action:

Staff Report
Resolution No. 11429
Attachments:

6. REPORTS FROM CITY MANAGER

7. RECOGNITION OF OUTGOING COUNCILMEMBER CHIP MONACO

8. RECOGNITION OF OUTGOING MAYOR PRO TEM KIMBERLEE

NICHOLS

9. RECOGNITION OF OUTGOING MAYOR MARK A. MURPHY

10. ADJOURNMENT
The Oath of Office Ceremony will be held at a Special Meeting on Thursday, December 15, 2022, at 6:00 p.m., in the Council Chamber.

The next Regular City Council meeting will be held on Tuesday, January 10, 2023, at 6:00 p.m., in the Council Chamber, with Closed Session beginning at 5:00 p.m., if necessary.

I, Pamela Coleman, CMC, City Clerk for the City of Orange, do hereby declare, under penalty of perjury, that a full and correct copy of this agenda was posted pursuant to Government Code Section 54950 et. seq., at the following locations: Orange Civic Center kiosk and Orange City Clerk's Office at 300 E. Chapman Avenue, Orange Main Public Library at 407 E. Chapman Avenue, Police facility at 1107 N. Batavia Street, and uploaded to the City's website www.cityoforange.org.

Date posted: December 8, 2022

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8 Agenda Item
City Council
Item #: 3.1. 12/13/2022 File #: 22-0687
TO: Honorable Mayor and Members of the City Council
THRU: Tom Kisela, Interim City Manager
FROM: Pamela Coleman, City Clerk

1. SUBJECT
Waive reading in full of all ordinances on the Agenda.

2. SUMMARY
This item asks the City Council to waive the reading in full of all ordinances on the agenda (if any) and approve their reading by title only.

State law requires that all ordinances be read in full either at the time of the introduction or at the time of passage, unless a motion waiving further reading is adopted by a majority of the City Council (Gov.

Code § 36934).

3. RECOMMENDED ACTION
Approve.

4. ATTACHMENTS
· None
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9 Agenda Item
City Council
Item #: 3.2. 12/13/2022 File #: 22-0688
TO: Honorable Mayor and Members of the City Council
THRU: Tom Kisela, Interim City Manager
FROM: Katrin Bandhauer, Assistant Finance Director

1. SUBJECT
Confirmation of warrant registers dated November 4, 10, 18, and 23, 2022.

2. SUMMARY
The warrant writings for the above listed dates are on file in the Office of the City Clerk for Council reference.

3. RECOMMENDED ACTION
Approve.

4. ATTACHMENTS
· None
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10 Agenda Item
City Council
Item #: 3.2. 12/13/2022 File #: 22-0688
TO: Honorable Mayor and Members of the City Council
THRU: Tom Kisela, Interim City Manager
FROM: Katrin Bandhauer, Assistant Finance Director

1. SUBJECT
Confirmation of warrant registers dated November 4, 10, 18, and 23, 2022.

2. SUMMARY
The warrant writings for the above listed dates are on file in the Office of the City Clerk for Council reference.

3. RECOMMENDED ACTION
Approve.

4. ATTACHMENTS
· None
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11 Agenda Item
City Council
Item #: 3.3. 12/13/2022 File #: 22-0714
TO: Honorable Mayor and Members of the City Council
THRU: Tom Kisela, Interim City Manager
FROM: Gary Sheatz, City Attorney
Pamela Coleman, City Clerk

1. SUBJECT
Approval of amended minutes of the City of Orange City Council Regular Meeting held on July 13, 2021.

2. SUMMARY
Submitted for your consideration and approval are the amended minutes regarding the report out from Closed Session for the City of Orange City Council meeting held on July 13, 2021.

3. RECOMMENDED ACTION
Approve minutes as amended.

4. ATTACHMENTS
· July 13, 2021, Regular Meeting minutes, as amended.

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12 Agenda Item
City Council
Item #: 3.3. 12/13/2022 File #: 22-0714
TO: Honorable Mayor and Members of the City Council
THRU: Tom Kisela, Interim City Manager
FROM: Gary Sheatz, City Attorney
Pamela Coleman, City Clerk

1. SUBJECT
Approval of amended minutes of the City of Orange City Council Regular Meeting held on July 13, 2021.

2. SUMMARY
Submitted for your consideration and approval are the amended minutes regarding the report out from Closed Session for the City of Orange City Council meeting held on July 13, 2021.

3. RECOMMENDED ACTION
Approve minutes as amended.

4. ATTACHMENTS
· July 13, 2021, Regular Meeting minutes, as amended.

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13 4. REPORT ON CLOSED SESSION ACTIONS
In response to the July 9, 2021, letter from attorneys representing Mary’s Kitchen, the City Council held a closed-session meeting to discuss the significant threat and exposure to litigation against the City. The item appeared on the closed-session agenda in compliance with the Brown Act, as authorized under § 54956.9(d)(2)-(4).

The City Council was provided privileged advice and discussed the possible legal implications of the letter, which urged the City Council to rescind or stay the termination of the License Agreement by the City Manager. The City Council did not acquiesce to the demands in the letter, thereby having the effect of confirming the actions of the City Manager.
14 Agenda Item
City Council
Item #: 3.4. 12/13/2022 File #: 22-0691
TO: Honorable Mayor and Members of the City Council
THRU: Tom Kisela, Interim City Manager
FROM: Pamela Coleman, City Clerk

1. SUBJECT
Approval of minutes of the City of Orange City Council Adjourned Regular Meeting held on November 15, 2022.

2. SUMMARY
Submitted for your consideration and approval are the minutes of the above meeting(s).

3. RECOMMENDED ACTION
Approve minutes as presented.

4. ATTACHMENTS
· November 15, 2022, Adjourned Regular Meeting minutes
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15 Agenda Item
City Council
Item #: 3.4. 12/13/2022 File #: 22-0691
TO: Honorable Mayor and Members of the City Council
THRU: Tom Kisela, Interim City Manager
FROM: Pamela Coleman, City Clerk

1. SUBJECT
Approval of minutes of the City of Orange City Council Adjourned Regular Meeting held on November 15, 2022.

2. SUMMARY
Submitted for your consideration and approval are the minutes of the above meeting(s).

3. RECOMMENDED ACTION
Approve minutes as presented.

4. ATTACHMENTS
· November 15, 2022, Adjourned Regular Meeting minutes
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16 City of Orange
City Council
November 15, 2022

MINUTES - DRAFT
The City Council of the City of Orange, California convened on November 15, 2022, at 5:00 p.m. in a joint Adjourned Regular Meeting with the Orange Industrial Development Authority in the Council Chamber, 300 E. Chapman Avenue, Orange, California. 5:00 PM CLOSED SESSION

1. CALL TO ORDER
Mayor Murphy called Closed Session to order at 5:01 p.m.

1.1 ROLL CALL

Present: Nichols, Monaco, Barrios, Dumitru, Tavoularis, Gutierrez, and Murphy

Absent: None
Councilmember Gutierrez joined Closed Session at 5:03 p.m.

2. PUBLIC COMMENTS ON CLOSED SESSION ITEMS
None

3. RECESS TO CLOSED SESSION
The City Council recessed to Closed Session at 5:03 p.m. with all Members present to discuss the following:
a. CONFERENCE WITH LEGAL COUNSEL – EXISTING LITIGATION
Pursuant to Government Code Section 54956.9(a) & (d)(1) - One case Name of case: Mary's Kitchen, et al. v. City of Orange
United States District Court Case No. 8:21-cv-01483-JVS-KES

4. CLOSED SESSION REPORT
None

5. ADJOURNMENT
Closed Session was adjourned at 5:35 p.m.

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17 City Council Minutes - Draft November 15, 2022
6:00 PM REGULAR SESSION

1. OPENING/CALL TO ORDER
Mayor Murphy called the joint meeting to order at 6:00 p.m. (Note: Hereinafter the titles of Mayor, Mayor pro tem, Councilmember, City Attorney, and City Clerk shall be used to indicate Mayor /Chair, Mayor pro tem /Vice Chair, Councilmember /Authority Member, City/Authority Attorney, City Clerk/Authority Secretary.)

1.1 INVOCATION
Given by Rev. Dr. Robb Ring from Immanuel Lutheran Church of Orange.

1.2 PLEDGE OF ALLEGIANCE
Led by Mayor pro tem Kimberlee Nichols.

1.3 ROLL CALL

Present: Nichols, Monaco, Barrios, Dumitru, Tavoularis, Gutierrez, and Murphy

Absent: None

1.4 PRESENTATIONS/ANNOUNCEMENTS
Orange High School Student Liaison Diego Paz provided Council with a brief update on school happenings.

El Modena High School Student Liaison Ruby Hewitt provided Council with a brief update on school happenings.

Orange Public Library Foundation Presentation to the Orange Public Library.

Mayor pro tem Nichols announced the City's annual Tree Lighting Ceremony and Candlelight Choir Procession will be on December 4, in the Old Towne Orange Plaza.

2. PUBLIC COMMENTS
Public Speakers
Johanna Speiser encouraged the City to develop a Climate Action Plan.

Carole Walters spoke about the Orange Taxpayers Association.

Katie Montgomery, Library Board of Trustee member, discussed the many library services being offered to teens.

Jake Comer discussed climate change and the implementation of SB1383.

Silvia San Nicolas spoke in opposition of a proposed cemetery near Palmyra Avenue.

Sharon Galasso spoke in opposition of a proposed cemetery near Palmyra Avenue.

Jeff Stoddard requested the City to ban gas powered leaf blowers.

James Kushon provided Council with an update on the Yorba Dog Park.

Fady Abdelmalek spoke in support of increasing the number of short term rental permits issued by the City.

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18 City Council Minutes - Draft November 15, 2022
Written Public Comments
Janice Brownfield emailed about the use of microgrids as a sustainable energy solution.

Fred Stoughton emailed thanking the City for current programs and services.

Mark Mikhail emailed requesting an increase to the number of short term rental permits issued by the City.

Mina Awad emailed requesting an increase to the number of short term rental permits issued by the City.

Gabriela Del Cid emailed concerns with local bar establishments.

Emma Hockenberry emailed concerns with the noise levels of local bar establishments.

3. CONSENT CALENDAR
All items on the Consent Calendar are considered routine and are enacted by one motion approving the recommended action listed on the Agenda. Any member of the City Council, staff or the public may request an item be removed from the Consent Calendar for discussion or separate action. Unless otherwise specified in the request to remove an item from the Consent Calendar, all items removed shall be considered immediately following action on the remaining items on the Consent Calendar.

3.1. Waive reading in full of all ordinances on the Agenda.

ACTION: Approved.

3.2. Confirmation of warrant registers dated October 7, 13, 21, and 27, 2022.

ACTION: Approved.

3.3. Approval of minutes of the City of Orange City Council Regular Meeting held on October 11, 2022, and Adjourned Regular Meeting held on October 25, 2022.

ACTION: Approved minutes as presented.

3.4. Agreement with RHA Landscape Architects Planners, Inc. for design services for the Capital Improvement Project, Hart Park Pickleball and Fitness Circuit Project.

A speaker card was submitted for Item 3.4; therefore, the item was removed from the Consent Calendar for separate consideration.

Public Speaker
Shirley Grindle asked about the number of pickleball courts being proposed.

Staff noted that the City has not determined a total number as the project is in the design stages.

ACTION: A motion was made by Councilmember Monaco, seconded by Councilmember Gutierrez, to approve agreement with RHA Landscape Architects Planners, Inc. in the amount of $ 257,092 for design services for Capital Improvement Project, Hart Park Pickleball and Fitness Circuit Design Project (20315); and authorize the Mayor and City Clerk to execute on behalf of the City. The motion carried by the following vote:

Nichols, Monaco, Barrios, Dumitru, Tavoularis, Gutierrez, and MurphyAyes:

NoneNoes:

NoneAbsent:

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19 City Council Minutes - Draft November 15, 2022

3.5. Agreements between the City of Orange and Environmental System Research Institute, Inc. ( ESRI) for (1) Enterprise License Agreement for the Citywide Geographic Information System (GIS), and (2) ESRI Enterprise Advantage Program to assist the City in creating GIS applications, data conversion and training.

ACTION: 1) Approved Enterprise Agreement (EA) with Environmental System Research Institute, Inc. for a three -year term (ESRI Quotation #Q -479546) totaling $331,500 paid in three one -year increments $ 110,500 each for the period December 7, 2022, through December 6, 2025, and authorized the Mayor and City Clerk to execute on behalf of the City. The cost includes one license of the ArcGIS Data Interoperability Extension for Desktop ArcGIS.
2) Approved the ESRI Enterprise Advantage Program (EEAP) Agreement with Environmental System Research Institute, Inc. for a three -year term (ESRI Quotation #Q-479549) in the amount of $ 153,040 for the period February 8, 2023, through February 7, 2026, to assist the City in the creation of GIS applications throughout the city, data conversion, and training; and authorized the Mayor and City Clerk to execute on behalf of the City.

3.6. Agreement with LIN Consulting, Inc. for design of the Area Lighting Replacement at Grijalva Park project.

ACTION: Approved agreement with LIN Consulting, Inc. in the total amount of $48,812.50 representing the original proposal amount of $ 44,375, plus a 10% contingency of $ 4,437, for the Area Lighting Replacement at Grijalva Park project (20477); and authorized the Mayor and City Clerk to execute on behalf of the City.

3.7. Agreement with Gillis + Panichapan Architects, Inc. for Architectural and Engineering Design Services for Fire Stations No. 3 & No. 5 Building Additions.

ACTION: Approved the agreement with Gillis + Panichapan Architects, Inc. in the amount of $ 240,240, representing an original amount of $ 218,400 plus a 10% contingency of $ 21,840, for Architectural and Engineering Design Services for the Fire Stations No. 3 & No. 5 Building Additions project (SP-4225); and authorized the Mayor and City Clerk to execute the agreement on behalf of the City.

3.8. Agreement with HomeAid Orange County for Permanent Local Housing Allocation funding for the Family Care Center.

ACTION: 1) Authorized the appropriation of $ 222,815 from the Building Homes & Jobs Act (312) unreserved fund balance to expenditures account number 312.6001.52611.00000 - Payment To Other Agencies -PLHA Family Care; 2) Approved the agreement with HomeAid in the amount of $ 222,815 for the Family Care Center operations; and authorized the Mayor and City Clerk to execute on behalf of the City; and 3) Authorized the City Manager to make minor language changes to the agreement, related attachments, and any documents if needed and execute on behalf of the City.

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20 City Council Minutes - Draft November 15, 2022

3.9. Sixth Amendment to Agreement with Granicus LLC, a Minnesota Limited Liability Company, for one year of subscription renewal.

ACTION: Approved the Sixth Amendment to Master Subscription Agreement No. 6858 with Granicus, LLC for a one year renewal of annual subscriptions in the amount of $109,861.58; and authorized the Mayor and City Clerk to execute the agreement on behalf of the City.

3.10. Agreement with R. Jensen Co. Inc. and RJ Noble Inc. to move a modular building from the former Fire Headquarters to 517 W. Struck Ave. and complete necessary pavement improvements at the site.

ACTION: 1) Approved the agreement with R. Jensen Co ., Inc ., in the amount of $87,308, and authorized the Mayor and City Clerk to execute on behalf of the City. 2) Approved Amendment No. 1 with RJ Noble, Inc ., for $ 63,980, and authorized the Mayor and City Clerk to execute on behalf of the City.
3) Authorized the appropriation of $ 151,288 from the General Fund unreserved fund balance to 100.000.51670.30200 General Fund, 517 W. Struck Transition.

3.11. Agreement with Sagecrest Planning and Environmental for planning staff services.

ACTION: Approved the agreement with Sagecrest Planning and Environmental in the amount of $ 145,000 for planning staff services, and authorized the Mayor and City Clerk to execute on behalf of the City.

3.12. Third Amendment to Agreement with The Hub OC to provide on -site services, referrals, and resources for those experiencing homelessness as part of the 517 W. Struck Transition Plan. (Relates to Agenda Item 3.13) ACTION: 1) Approved the appropriation of $ 50,000 from the Community Block Grant (310) unreserved fund balance to expenditure account number 310.9645.51770.30200, 517 W. Struck Transition.
2) Approved the Third Amendment to the Subrecipient Agreement with The Hub OC increasing compensation in the amount of $ 50,000 for services in support of the 517 W. Struck Transition Plan; and authorized the Mayor and City Clerk to execute on behalf of the City.

3.13. Agreement with The HUB OC (“The HUB ”) for providing on -site services, referrals, and resources for those experiencing homelessness as part of the 517 W. Struck Project. (Relates to Agenda Item 3.12)
ACTION: Approved Agreement with the HUB in the amount of $ 400,000 for services in support of the 517 W. Struck Project; and authorized the Mayor and City Clerk to execute on behalf of the City.

3.14. Repair and Maintenance Agreement with the Orange County Water District for the repair of drainage facilities and adjacent slope stabilization.

ACTION: 1) Approved the Repair and Maintenance Agreement with the Orange County Water District; and authorized the Mayor and City Clerk to execute on behalf of the City; and 2) Authorized the City Manager to execute any future documents related to this action to effect revisions, adjustments or clarifications of the details and performance of the parties appropriate to further the intended purposes of the

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Agreement.

3.15. Appropriation of $51,110.13 in Senior Mobility Program funds.

Item 3.15 was removed from the Consent Calendar for separate consideration by Councilmember Gutierrez.

Councilmember Gutierrez raised concerns with the current transportation service being offered to seniors.

ACTION: A motion was made by Councilmember Barrios, seconded by Councilmember Gutierrez, to authorize the appropriation of $ 51,110.13 from the Traffic Improvement-Measure M 2 unreserved fund balance to the following expenditure accounts for Traffic Improvement -Measure M 2: $438.25 into account number 263.7041.51780.20412, Sr. Transportation 19-20; $ 490.28 into account number 263.7041.51780.30151, Sr. Transportation 20-21; and $ 50,181.60 into account number 263.7041.51780.30175, Sr. Transportation 21-22. The motion carried by the following vote:

Nichols, Monaco, Barrios, Dumitru, Tavoularis, Gutierrez, and MurphyAyes:

NoneNoes:

NoneAbsent:

3.16. Appropriation of $ 17,578.26 in State of California Office of Emergency Services funding received.

ACTION: 1) Accepted into the City ’s revenue budget $ 17,578.26 in strike team reimbursement funds from the California Office of Emergency Services (Cal-OES), into the revenue account numbers for Cal-OES reimbursements as follows:

Cal-OES reimbursements (revenue account 100.3024.48212.xxxxx):
$ 8,550.06 .40296 - OES Pre-Position #220001
9,028.20 .40299 - Coastal Fire
2) Authorized the appropriation of $ 17,038.61 into the expenditure account numbers for Overtime-Safety as follows:

Overtime-Safety (expenditure account 100.3024.50221.xxxxx):
$ 8,135.07 .40296 - OES Pre-Position #220001
8,903.54 .40299 - Coastal Fire
3) Authorized the appropriation of $ 539.65 into the expenditure account numbers for Strike Team Expenditures as follows:

Strike Team (expenditure account 100.3024.53860.xxxxx):
$ 414.99 .40296 - OES Pre-Position #220001
124.66 .40299 - Coastal Fire

3.17. Appropriation of $ 33,700 in designated donation funding received from the Orange Public Library Foundation.

ACTION: 1) Accepted into the City ’s budget a $ 33,700 donation from Orange Public Library Foundation, into revenue account number 100.2001.48390.19322, General Fund - Orange Public Library Foundation.
2) Authorized the appropriation of $ 33,700 into expenditure account number 100.2004.55131.19322, General Fund - Orange Public Library Foundation.

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3.18. Approval of plans and specifications for Community Development Block Grant Fiscal Year 2022-2023 Sycamore and Palmyra Neighborhood Street Rehabilitation and Americans with Disabilities Act (ADA) Wheelchair Access Ramp Replacement at Various Locations; and authorization to advertise for bids.

ACTION: Approved plans and specifications and authorized advertising Bid No . 22-23.17 (SP-4237).

3.19. Claims for Damages.

ACTION: Denied the following claims and referred to City Attorney and Claims Adjuster:

1. Patricia L. Frost

2. Gad Herbert Ferrari Rivera

3. Refugio Lopez Alonso

3.20. Award of Contract to CT&T Concrete Paving, Inc. for Plaza Park Safety Enhancement Project; Bid No. 22-23.13.

ACTION: 1) Authorized the appropriation of $ 175,000 from the Capital Projects unreserved fund balance to expenditure account number 500.5032.56100.16302, Minor Traffic Control Devices; and 2) Awarded the contract to CT&T Concrete Paving, Inc. in the total amount of $ 226,523 representing an original bid amount of $ 205,930, plus a 10% contingency of $ 20,593, for the Plaza Park Safety Enhancement Project; and authorized the Mayor and City Clerk to execute on behalf of the City.

3.21. Award of Contract to Towo Enterprise, Inc. for Annual Concrete Replacement at Various Locations, Phase I, FY 2022-23; Bid No. 22-23.09.

ACTION: Approved the contract with Towo Enterprise, Inc. in the amount of $ 486,335, representing an original bid amount of $ 422,900, plus a 15% contingency of $ 63,435; and authorized the Mayor and City Clerk to execute on behalf of the City.

3.22. First Amendment to Contract with RS Construction and Development, Inc .; and Final Acceptance of Bid No. 21-22.22, Public Works and Community Development Front Counter Remodel Project and authorization to file Notice of Completion.

ACTION: 1) Authorized the appropriation of $ 57,500 from the Capital Projects unreserved fund balance to expenditure account number 500.5028.56020.20408 Capital Projects - Public Works and Community Development Front Counter Remodel; 2) Approved the First Amendment to Contract in the amount of $ 57,500 to RS Construction and Development, Inc. for the additional work; and authorized the Mayor and City Clerk to execute on behalf of the City; and 3) Accepted Public Works and Community Development Front Counter Remodel Project as complete (SP-4097), and authorized staff to file Notice of Completion with the County Recorder.

3.23. First Amendment to Contract with Gentry General Engineering, Inc .; Final Acceptance of Bid No. 21-22.38, Chapman Ave. and Yorba St. Sidewalk Repair; and authorization to file Notice of Completion.

ACTION: 1) Approved the First Amendment to Contract with Gentry General Engineering, Inc. in the amount of $ 37,525.99 for the additional work; and authorized the Mayor and City Clerk to execute on behalf of the City; and 2) Accepted Chapman

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23 City Council Minutes - Draft November 15, 2022
Ave. and Yorba St. Sidewalk Repair Project as complete (SP-4212); and authorized staff to file Notice of Completion with the County Recorder.

3.24. Second Reading and adoption of an Ordinance of the City Council of the City of Orange amending Titles 12, 13, and 15 of the Orange Municipal Code adopting and amending the 2022 editions of the California Building Standards Codes and related model codes, with appendices, relating to the building codes. Ordinance No. 06-22.

ACTION: Adopted Ordinance No. 06-22.

3.25. Second Reading and adoption of an Ordinance of the City Council of the City of Orange deleting Chapter 15.32, City of Orange Fire Code, in its entirety and adding Chapter 15.32, adopting and amending the 2022 California Fire Code and portions of the 2021 International Fire Code as the City of Orange Fire Code, to Title 15 (Buildings and Construction) of the Orange Municipal Code. Ordinance No. 07-22.

ACTION: Adopted Ordinance No. 07-22.

3.26. Authorize purchase of cartridge filters and O -rings for Well PFAS treatment systems from various vendors.

ACTION: Approved purchase orders for PFAS cartridge filters and O -rings in the amount of $ 300,000 with Towner Filtration, $ 300,000 with Pure Process Filtration, and $100,000 with PDDA Filtration System for a total amount of $700,000.

3.27. Purchase order for major Fire Engine and Apparatus repairs from Fire Apparatus Solutions.

ACTION: Approved the purchase order for major Fire Engine and Apparatus repairs from Fire Apparatus Solutions in the amount not to exceed $ 100,000 in Fiscal Year 2022-2023.

3.28. Time extension for Zone Change No. 1297-19, Tentative Tract Map No. 0049-19, Major Site Plan Review No. 0969-19, Design Review No. 4969-19, and Subsequent Mitigated Negative Declaration No. 1865-19 (32-unit Cohen Residential Project).

ACTION: 1) Approved a one -year time extension for Zone Change No. 1297-19, Tentative Tract Map No. 0049-19, Major Site Plan Review No. 0969-19, Design Review No. 4969-19, and Subsequent Mitigated Negative Declaration No. 1865-19 pursuant to Orange Municipal Code Section 17.08.060; and 2) Approved a six -year time extension for Zone Change No. 1297-19, Tentative Tract Map No. 0049-19, Major Site Plan Review No. 0969-19, Design Review No. 4969-19, and Subsequent Mitigated Negative Declaration No. 1865-19 pursuant to Subdivision Map Act Section 66452.6(e).

3.29. Monthly Treasurer’s Report for July, August, and September 2022.

ACTION: Received and filed.

3.30. Addition of 167 N. Little Main Street to the City of Orange Historic Resources Inventory.

Written Public Comment
Tony Trabucco, OTPA, submitted an eComment in support of approval.

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ACTION: Adopted findings of the cultural resource assessment and include 167 N.

Little Main Street in the City of Orange Historic Resources Inventory.

3.31. Approval of amendment to Orange Management Association (OMA) salary tables increasing the salary for the classification of Senior Plan Check Engineer .

Resolution No. 11425.

ACTION: Adopted Resolution No. 11425. A Resolution of the City Council of the City of Orange amending Resolution No. 11272 between the City of Orange and the Orange Management Association.

3.32. Classification, compensation, and terms of employment of Part -Time and Limited Duration employees for the period of July 1, 2022 through December 31, 2023.

Resolution Nos. 11423 and 11424.

ACTION: 1) Adopted Resolution No. 11423. A Resolution of the City Council of the City of Orange relating to the classification, compensation, and terms of employment for Part-time and Limited Duration employees of the City of Orange effective July 1, 2022 through and including December 31, 2023, and repealing Resolution No. 11359 and amendments thereto.
2) Adopted Resolution No. 11424. A Resolution of the City Council of the City of Orange rescinding Resolution No. 11411 and amending the citywide pay schedule in accordance with the requirements of the California Code of Regulations, Title 2, Section 570.5.

3.33. Adoption of Fiscal Year Ended June 30, 2022, Measure M 2 Expenditure Report .

Resolution No. 11420.

ACTION: Adopted Resolution No. 11420. A Resolution of the City Council of the City of Orange concerning the Fiscal Year 2021-2022 Measure M 2 Expenditure Report for the City of Orange.

Approval of the Consent Calendar
Items 3.4 and 3.15 were removed from the Consent Calendar and heard separately. All other items were approved as recommended.

A motion was made by Councilmember Dumitru, seconded by Councilmember Monaco, to approve the Consent Calendar as recommended. The motion carried by the following vote:

Nichols, Monaco, Barrios, Dumitru, Tavoularis, Gutierrez, and MurphyAyes:

NoneNoes:

NoneAbsent:

END OF CONSENT CALENDAR
* * * * * * * *

4. REPORTS FROM MAYOR MURPHY
None

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5. REPORTS FROM COUNCILMEMBERS
Councilmember Gutierrez
Councilmember Gutierrez highlighted the following local business: OC Martial Arts & Fitness.

Councilmember Tavoularis
Councilmember Tavoularis welcomed Interim City Manager Tom Kisela, and announced the third ad hoc committee meeting for the North Tustin revisioning plan is scheduled for Thursday, January 26 at 5:30 p.m. in the Council Chamber.

Councilmember Barrios
Councilmember Barrios requested a memorial adjournment for community member Rudy Diaz.

6. ADMINISTRATIVE REPORTS

6.1. Grijalva Park Skatepark Project Update.

Community Services Assistant Director Emily Bustamante provided a staff report and answered Council's questions. Council discussed design concept, available funds, maintenance costs, and grants eligibility.

Staff confirmed the $ 1.7 million in lieu park fees received by The Irvine Company for the Santiago Hills development could be used to fund the skate park.

A motion was made by Councilmember Monaco, seconded by Councilmember Tavoularis, to allocate development impact fees received by The Irvine Company earmarked for Grijalva Park to fully fund the development of a skate park at Grijalva Park. The motion carried by the following vote:

Nichols, Monaco, Barrios, Dumitru, Tavoularis, Gutierrez, and MurphyAyes:

NoneNoes:

NoneAbsent:

6.2. Historic Property Preservation Agreements (Mills Act Contracts) for three qualified historic properties.

Public Speaker
Doug Ely, architect for the 515 and 529 S. Grand St. Project, spoke in support of approving the Mills Act Contracts for these two properties.

Written Public Comments
Tony Trabucco, OTPA, emailed in opposition of approving Mills Act Contracts for 515 and 529 S. Grand St.

Alison Vukovich emailed in support of approving Mills Act Contracts for 515 and 529 S.

Grand St.

During deliberations, Council discussed the Mills Act guidelines and intent of the Mills Act to preserve historical structures.

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A motion was made by Mayor Murphy, seconded by Mayor pro tem Nichols, to approve the three Mills Act Contracts (MAC-413.0-22, MAC -414.0-22, and MAC -418.0-22) between the City of Orange and the identified property owners for the preservation and rehabilitation of qualified historic properties and authorize the Mayor and City Clerk to execute the contracts on behalf of the City. The motion carried by the following vote:

Nichols, Monaco, Barrios, Dumitru, Tavoularis, Gutierrez, and MurphyAyes:

NoneNoes:

NoneAbsent:

6.3. Request to implement permit parking on both sides of Lilac Lane from Culver Avenue to Orchard Avenue, both sides of Plum Lane from Culver Avenue to Orchard Avenue, and both sides of Orchard Avenue from Flower Street to the easterly terminus of the street. Resolution No. 11422.

Public Speaker
Diane Vallejo spoke in support of approving the permit parking.

A motion was made by Mayor pro tem Nichols, seconded by Councilmember Monaco, to: 1) Approve permit parking on both sides of Lilac Lane from Culver Avenue to Orchard Avenue; 2) Approve permit parking on both sides of Plum Lane from Culver Avenue to Orchard Avenue; 3) Approve permit parking on both sides of Orchard Avenue from Flower Street to the easterly terminus of the street; and 4) Adopt Resolution No. 11422. A Resolution of the City Council of the City of Orange rescinding Resolution No. 11385 and adopting a revised master resolution of permit parking areas within the City of Orange.

The motion carried by the following vote:

Nichols, Monaco, Barrios, Dumitru, Tavoularis, Gutierrez, and MurphyAyes:

NoneNoes:

NoneAbsent:

RECESS: The City Council recessed at 7:46 p.m. and reconvened at 7:59 p.m. with all Members present.

7. REPORTS FROM CITY MANAGER
None

8. PUBLIC HEARINGS

8.1. Public Hearing to consider Conditional Use Permit No. 3154-21, Design Review No. 5060-21, and Minor Site Plan Review No. 1074, and Zone Change No. 1305-21 for a new express car wash facility and associated vacuum canopies located at 1325 West Katella Avenue, and finding that the Zone Change was already considered in the scope of the City of Orange General Plan Program EIR, and the project is exempt from CEQA.

Note: Applicant has requested to continue this item to a date uncertain.

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A motion was made by Councilmember Monaco, seconded by Mayor pro tem Nichols, to continue the Public Hearing, Item 8.1, to a date uncertain. The motion carried by the following vote:

Nichols, Monaco, Barrios, Dumitru, Tavoularis, Gutierrez, and MurphyAyes:

NoneNoes:

NoneAbsent:

8.2. Public Hearing to consider Appeal No. 0558-22, District Lounge, 223 W. Chapman Avenue.

Councilmember Barrios announced as the appellant she would not participate from the dais; she left the dais at 8:02 p.m.

Robert Garcia provided an overview of the proposed project.

Mayor Murphy opened the Public Hearing at 8:10 p.m.

Public Speakers
Councilmember Arianna Barrios, appellant, spoke in support of approving the appeal.

Mario Marovic, applicant, spoke in support of denying the appeal and requested modifications to the conditions of approval.

Richard Muniz spoke in support of approving the appeal.

Written Public Comment
Lauren Maples emailed concerns with the noise levels at the District Lounge.

Mayor Murphy closed the Public Hearing at 8:55 p.m.

Council discussed noise levels, staffing of proposed patio, and conditions as outlined in the CUP.

A motion was made by Councilmember Monaco to deny Appeal No. 0558-22; modify Resolution No. PC 26-22 Condition Nos. 29, 21, and 1 by incorporating the applicant's suggested changes; remove Condition No. 18; and refund the applicant's City fees of $10,000.

During further discussion Councilmember Dumitru requested the refund be reduced by 50% (up to $5,000). Councilmember Monaco agreed to the amendment.

An amended motion was made by Councilmember Monaco, seconded by Councilmember Dumitru, to deny Appeal No. 0558-22; modify Resolution No. PC 26-22 Condition Nos. 29, 21, and 1 by incorporating the applicant's suggested changes; remove Condition No. 18; and refund the applicant's City fees of up to $5,000. The motion carried by the following vote:

Nichols, Monaco, Dumitru, Tavoularis, and MurphyAyes:

GutierrezNoes:

NoneAbsent:

BarriosRecused:

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Conditions of approval were modified as follows:

Condition No. 29
The patio shall be enclosed, and any gates located on the patio shall be restricted to emergency exit use Thursday - Saturday after 10:00 p.m. or during special events .

Sign(s) shall be posted on all patio gate (s) indicating “Emergency Exit Only on Thursday to Saturday after 10:00 p.m.” Nothing herein shall prohibit staff from allowing or otherwise assisting any customer with a disability to use the patio gate to enter or exit the premises at any time to comply with ADA requirements.

Condition No. 21
There shall be no advertising of alcoholic beverages or drink specials on the exterior of the business at any time. There shall be no generic drink specials, such as: “half off drinks, two for one drinks, buy one get one free, etc .” No alcoholic beverages will be discounted more than 30% off its regular price.

Condition No. 1
That all existing conditions of approval as approved by Conditional Use Permit No . 2760-09, Planning Commission Resolution No. PC 30-10 shall remain in effect. To the extent there are any conflicts between the conditions of approval as approved by Conditional Use Permit No. 2760-09, and the conditions of approval in this Conditional Use Permit No. 3186-22, the conditions of approval in Conditional Use Permit No . 3186-22 shall prevail.

Councilmember Barrios returned to the dais at 9:48 p.m.

RECESS: The City Council recessed at 9:49 p.m. and reconvened at 9:58 p.m. with all Members present, except Councilmember Monaco who was absent.

8.3. Public Hearing to consider Major Site Plan Review No. 1013-20, Tentative Parcel Map No. 0017-20, Design Review No. 5011-20 and Development Agreement No . 0008-22; a request to rehabilitate two historic buildings at 410 W. Chapman Avenue and 135 N. Atchison Street, remove non -historic structures, construct two new buildings, and provide parking relief to Old Town Gateway, LLC in return for dedication and maintenance of a public access pedestrian walkway between N. Atchison Street and N. Cypress Street, and finding of CEQA exemption. Ordinance No. 08-22 and Resolution No. 11421.

Mayor Murphy opened the Public Hearing at 10:06 p.m.

Public Speakers
Leason Pomeroy, applicant, spoke in support of the project.

Al Ricci, applicant, spoke in support of the project.

Written Public Comment
Tony Trabucco, OTPA, emailed concerns with the process of delisting a historic resource and requested Council consider continuing the item.

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Mayor Murphy closed the Public Hearing at 10:20 p.m.

During deliberations, Council discussed parking, width of paseo, and size of third building.

A motion was made by Councilmember Barrios, seconded by Councilmember Gutierrez to approve Buildings 1 and 2, excluding Building 3 to allow for additional parking.

During further discussion, Council asked about the possibility of widening the paseo.

Councilmember Dumitru made a substitute motion to approve the project as recommended with the removal of the glass partitions between buildings 2 and 3 creating a second outdoor pedestrian access.

A motion was made by Councilmember Dumitru, seconded by Mayor Murphy, to:
1) Introduce and conduct First Reading of Ordinance No. 08-22 approving Development Agreement No. 0008-22 vesting development rights with Old Town Gateway, LLC in return for dedication and maintenance of a public access pedestrian walkway between N. Atchison Street and N. Cypress Street. An Ordinance of the City Council of the City of Orange approving a Development agreement with Old Town Gateway, LLC for a project on a site located at 401 W. Chapman Avenue and 135 N.

Atchison Street.
2) Adopt Resolution No. 11421. A Resolution of the City Council of the City of Orange approving Major Site Plan Review No. 1013-20, Tentative Parcel Map No. 0017-20, Design Review No. 5011-20 and Development Agreement No. 0008-22 to rehabilitate two historic buildings and remove non -historic sheds to construct two new commercial buildings and create a pedestrian paseo at 410 W. Chapman Avenue and 135 N.

Atchison Street.
3) Remove glass partitions between buildings 2 and 3 creating a second outdoor pedestrian access.

The motion carried by the following vote:

Nichols, Dumitru, Tavoularis, and MurphyAyes:

Barrios, and GutierrezNoes:

MonacoAbsent:
(Item 8.5 was re-ordered to be heard before Item 8.4.)

8.5. Public Hearing to receive and file report summarizing measures taken to evaluate impacts addressed by interim Ordinance No. 18-21; and to consider adoption of second extension of interim Ordinance No. 18-21 and finding of CEQA exemption.

Mayor Murphy opened the Public Hearing at 11:12 p.m.; there being no speakers, Mayor Murphy closed the Public Hearing at 11:12 p.m.

A motion was made by Mayor pro tem Nichols, seconded by Councilmember Gutierrez, to:
1) Receive and file report of measures taken.
2) Adopt Ordinance No. 18-21-B. Second extension of an interim Ordinance of the City

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Council of the City of Orange amending Title 16 (Subdivisions) and Title 17 (Zoning) of the Orange Municipal Code by enacting ministerial standards applicable to lot splits in single-family residential zones allowed as a result of SB 9, enacting ministerial standards applicable to the location, access, size and setback of second dwelling units in single -family residential zones allowed as a result of SB 9, and revising definitions to clarify said development standards.

The motion carried by the following vote:

Nichols, Barrios, Dumitru, Tavoularis, Gutierrez, and MurphyAyes:

NoneNoes:

MonacoAbsent:

8.4. Public Hearing to consider Introduction and First Reading of Ordinance No. 10-22 creating the Neighborhood Preservation Overlay Zone; providing development standards to regulate the addition of bedrooms or bathrooms to a primary residence within specified boundaries; revising or adding definitions pertaining to residential additions and student housing; and updating provisions for reviewing body approval of specified matters.

Entered into the record: A proposed revision to Ordinance No. 10-22, Section

17.28.080C.3, to establish a baseline from which the additional 100 square feet of open space is to be provided. Should the required open space already exist on a lot as a surplus, then the surplus may fulfill the requirement.

Mayor Murphy opened the Public Hearing at 11:14 p.m.

Public Speaker
Doug Ely spoke in support of the ordinance but expressed concerns with some of the sections.

Staff clarified that any deviations from the ordinance can be reviewed by the Zoning Administrator for approval.

Written Public Comment
Tony Trabucco, OTPA, submitted an eComment in support of approving the proposed ordinance.

Mayor Murphy closed the Public Hearing at 11:18 p.m.

A motion was made by Councilmember Barrios, seconded by Councilmember Gutierrez, to Introduce and conduct First Reading of amended Ordinance No. 10-22.

An Ordinance of the City Council of the City of Orange creating the Neighborhood Preservation Overlay Zone; providing development standards to regulate the addition of bedrooms or bathrooms to a primary residence within specified boundaries; revising or adding definitions pertaining to residential additions and student housing; and updating provisions for reviewing body approval of specified matters. The motion carried by the following vote:

Nichols, Barrios, Dumitru, Tavoularis, Gutierrez, and MurphyAyes:

NoneNoes:

MonacoAbsent:

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8.6. Public Hearing to consider Introduction and First Reading of Ordinance No. 09-22 containing administrative updates to various sections of the Orange Municipal Code and finding of CEQA exemption.

Mayor Murphy opened the Public Hearing at 11:22 p.m.; there being no speakers, Mayor Murphy closed the Public Hearing at 11:22 p.m.

A motion was made by Mayor pro tem Nichols, seconded by Councilmember Dumitru, to Introduce and conduct First Reading of Ordinance No. 09-22. An Ordinance of the City Council of the City of Orange amending various sections of the Orange Municipal Code to delete outdated language, update references to conform with current law and code provisions, make administrative adjustments, and achieve internal consistency .

The motion carried by the following vote:

Nichols, Barrios, Dumitru, Tavoularis, Gutierrez, and MurphyAyes:

NoneNoes:

MonacoAbsent:

9. ITEMS RELATED TO THE INDUSTRIAL DEVELOPMENT AUTHORITY

9.1. Report from the Finance Director of the Industrial Development Authority of the City of Orange.

A motion was made by Mayor Murphy, seconded by Councilmember Barrios, to receive and file report. The motion carried by the following vote:

Nichols, Barrios, Dumitru, Tavoularis, Gutierrez, and MurphyAyes:

NoneNoes:

MonacoAbsent:

10. ADJOURNMENT
There being no further business, the meeting was adjourned at 11:25 p.m.

The next Regular City Council meeting will be held on Tuesday, December 13, 2022, at 6:00 p.m., in the Council Chamber, with Closed Session beginning at 5:00 p.m., if necessary.
______________________ _________________________ PAMELA COLEMAN MARK A. MURPHY

CITY CLERK MAYOR

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32 Agenda Item
City Council
Item #: 3.5. 12/13/2022 File #: 22-0706
TO: Honorable Mayor and Members of the City Council
THRU: Tom Kisela, Interim City Manager
FROM: Jeffrey S. Adams, Interim Community Development Director

1. SUBJECT
Historic Property Preservation Agreements (Mills Act Contracts) for nine qualified historic properties.

2. SUMMARY
The Community Development Department’s Historic Preservation Program received nine applications for new Mills Act Contracts in the Old Towne and Eichler Historic Districts for the Fall 2022 application period. Staff recommends approval and execution of the contracts.

3. RECOMMENDED ACTION
Approve nine Mills Act Contracts between the City of Orange and the identified property owners for the preservation and rehabilitation of qualified historic properties; and authorize the Mayor and City Clerk to execute on behalf of the City.

4. FISCAL IMPACT
The purpose of the Mills Act Program is to leverage property tax savings to support private investment in the preservation of historic properties.

For the nine Mills Act applications received in Fall 2022, the City may incur a total reduction of property tax of approximately $6,079 per year. The actual amount of the property tax reduction under the Mills Act Contract will be determined by the Orange County Office of the Assessor, using a predetermined income-based approach to assessment, considering area rental rates and maintenance costs.

The Mills Act Program requires reinvestment of this property tax reduction in preservation of the historic property through the Rehabilitation Plan (Exhibit D) attached to each contract. The Rehabilitation Plan will generate additional revenues from building permit fees, and the local economy will benefit from specialized work in historic preservation by local building contractors and material suppliers. The investment by property owners in these six historic properties totals $772,491 over ten years.

The $1,000 application fee for each contract offsets the cost of staff review, property inspection, and this public meeting. The $35 annual fee offsets ongoing costs of administration of the contracts.

5. STRATEGIC PLAN GOALS
Goal 5: Recognize, promote and preserve Orange’s rich heritage City of Orange Printed on 12/8/2022Page 1 of 2
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33 Item #: 3.5. 12/13/2022 File #: 22-0706
b. Expand and strengthen processes and practices related to the protection of cultural resources.

6. DISCUSSION AND BACKGROUND
Mills Act applications for nine qualified historic properties were received prior to the August 4, 2022 application deadline. Five properties are within the Old Towne Historic District and four properties are in the Eichler Historic Districts.

Staff reviewed the applications and met with each property owner at the historic property to review the proposed Rehabilitation Plan (Exhibit D) attached to the Mills Act Contract. Each Rehabilitation Plan has been tailored to the preservation needs of the specific historic property and has been determined to meet the Mills Act Program requirements and to be in conformance with the relevant design standards for the historic districts.

Each Mills Act property owner agrees to complete the work described in the Rehabilitation Plan.

Additional contract conditions include:
1 Preserve and rehabilitate the historic property and its character-defining features in conformance with adopted rules and regulations.
2 Meet City of Orange Historic Property Maintenance Standards for all buildings, structures, yards, and other improvements on the property.
3 Agree to property inspections once every five years of the contract term and/or when work is completed to determine compliance with terms of the contract. 4 File annual status reports on progress of improvements and repairs and/or any changed conditions of the property.
5 Provide a ten-year update of proposed rehabilitation and repair items, 90 days prior to the tenth contract anniversary.
6 Meet all other contract terms and conditions as specified in the Historic Property Preservation Agreement.

A summary of each application is provided in Attachment 1 to the Staff Report.

7. ATTACHMENTS
· Table Summary of Nine Mills Act Applications
· Mills Act Contract MAC 412.0-22 with Photograph
· Mills Act Contract MAC 419.0-22 with Photograph
· Mills Act Contract MAC 420.0-22 with Photograph
· Mills Act Contract MAC 422.0-22 with Photograph
· Mills Act Contract MAC 423.0-22 with Photograph
· Mills Act Contract MAC 424.0-22 with Photograph
· Mills Act Contract MAC 425.0-22 with Photograph
· Mills Act Contract MAC 426.0-22 with Photograph
· Mills Act Contract MAC 427.0-22 with Photograph
City of Orange Printed on 12/8/2022Page 2 of 2
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34 Agenda Item
City Council
Item #: 3.5. 12/13/2022 File #: 22-0706
TO: Honorable Mayor and Members of the City Council
THRU: Tom Kisela, Interim City Manager
FROM: Jeffrey S. Adams, Interim Community Development Director

1. SUBJECT
Historic Property Preservation Agreements (Mills Act Contracts) for nine qualified historic properties.

2. SUMMARY
The Community Development Department’s Historic Preservation Program received nine applications for new Mills Act Contracts in the Old Towne and Eichler Historic Districts for the Fall 2022 application period. Staff recommends approval and execution of the contracts.

3. RECOMMENDED ACTION
Approve nine Mills Act Contracts between the City of Orange and the identified property owners for the preservation and rehabilitation of qualified historic properties; and authorize the Mayor and City Clerk to execute on behalf of the City.

4. FISCAL IMPACT
The purpose of the Mills Act Program is to leverage property tax savings to support private investment in the preservation of historic properties.

For the nine Mills Act applications received in Fall 2022, the City may incur a total reduction of property tax of approximately $6,079 per year. The actual amount of the property tax reduction under the Mills Act Contract will be determined by the Orange County Office of the Assessor, using a predetermined income-based approach to assessment, considering area rental rates and maintenance costs.

The Mills Act Program requires reinvestment of this property tax reduction in preservation of the historic property through the Rehabilitation Plan (Exhibit D) attached to each contract. The Rehabilitation Plan will generate additional revenues from building permit fees, and the local economy will benefit from specialized work in historic preservation by local building contractors and material suppliers. The investment by property owners in these six historic properties totals $772,491 over ten years.

The $1,000 application fee for each contract offsets the cost of staff review, property inspection, and this public meeting. The $35 annual fee offsets ongoing costs of administration of the contracts.

5. STRATEGIC PLAN GOALS
Goal 5: Recognize, promote and preserve Orange’s rich heritage City of Orange Printed on 12/8/2022Page 1 of 2
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35 Item #: 3.5. 12/13/2022 File #: 22-0706
b. Expand and strengthen processes and practices related to the protection of cultural resources.

6. DISCUSSION AND BACKGROUND
Mills Act applications for nine qualified historic properties were received prior to the August 4, 2022 application deadline. Five properties are within the Old Towne Historic District and four properties are in the Eichler Historic Districts.

Staff reviewed the applications and met with each property owner at the historic property to review the proposed Rehabilitation Plan (Exhibit D) attached to the Mills Act Contract. Each Rehabilitation Plan has been tailored to the preservation needs of the specific historic property and has been determined to meet the Mills Act Program requirements and to be in conformance with the relevant design standards for the historic districts.

Each Mills Act property owner agrees to complete the work described in the Rehabilitation Plan.

Additional contract conditions include:
1 Preserve and rehabilitate the historic property and its character-defining features in conformance with adopted rules and regulations.
2 Meet City of Orange Historic Property Maintenance Standards for all buildings, structures, yards, and other improvements on the property.
3 Agree to property inspections once every five years of the contract term and/or when work is completed to determine compliance with terms of the contract. 4 File annual status reports on progress of improvements and repairs and/or any changed conditions of the property.
5 Provide a ten-year update of proposed rehabilitation and repair items, 90 days prior to the tenth contract anniversary.
6 Meet all other contract terms and conditions as specified in the Historic Property Preservation Agreement.

A summary of each application is provided in Attachment 1 to the Staff Report.

7. ATTACHMENTS
· Table Summary of Nine Mills Act Applications
· Mills Act Contract MAC 412.0-22 with Photograph
· Mills Act Contract MAC 419.0-22 with Photograph
· Mills Act Contract MAC 420.0-22 with Photograph
· Mills Act Contract MAC 422.0-22 with Photograph
· Mills Act Contract MAC 423.0-22 with Photograph
· Mills Act Contract MAC 424.0-22 with Photograph
· Mills Act Contract MAC 425.0-22 with Photograph
· Mills Act Contract MAC 426.0-22 with Photograph
· Mills Act Contract MAC 427.0-22 with Photograph
City of Orange Printed on 12/8/2022Page 2 of 2
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Summary of Mills Act Applications
December 2022
Contract No. Property Address Historic
District Property Owners
Estimate for
Rehabilitation
Plan
Property Tax
Savings over
10 Years
Annual Property
Tax Reduction
to City
MAC 412.0-22 191 N. Grand Street Old Towne Dana and Nathan Heyde $85,000 $72,409 $983
MAC 419.0-22 367 S. Center Street Old Towne Julio and Megan Morales $59,160 $30,396 $413
MAC 420.0-22 405 E. Maple Street Old Towne
Bradley and
Meghan
Schoenleben
$158,500 $34,020 $462
MAC 422.0-22 605 S. Woodland
Street Fairhaven Sharon E.

O’Connell $61,591 $55,066 $748
MAC 423.0-22 552 S. Woodland
Street Fairhaven
Daniel and
Kimberly Mariscal,
Kevin Roy and
Kimberly Heuer
$114,000 $23,467
$319

MAC 424.0-22 825 E. Ferndale
Avenue Fairmeadow
Ryan and
Annabelle
Baldasari
$53,950 $39,109 $531
MAC 425.0-22 421 S. Orange Street Old Towne
Michael Christian
and Katie Ellen
Montgomery
$52,500 $39,853 $541
MAC 426.0-22 3730 E. Kirkwood
Avenue Fairhaven Trevor Alan and
Blyth Marie Perea $95,495 $91,425 $1,242
MAC 427.0-22 322 E. Palmyra
Avenue Old Towne
Andrew Morey
and Heather
Johnson
$92,295 $61,881 $840

37 1
RECORDING REQUESTED BY AND, WHEN RECORDED, MAIL TO: City Clerk City of Orange 300 E. Chapman Avenue Exempt from recording fees pursuant to Orange, California, 92866 Gov. Code Sections 6103 and 27383 Property Address: 191 N. Grand Street APN: 039-253-01 Mills Act Contract Number: 412.0-22 HISTORIC PROPERTY PRESERVATION AGREEMENT (MILLS ACT CONTRACT) entered into as of the date of NATHAN WAYNE HEYDE and DANA MARIE HEYDE, as Trustees of the Heyde Family Revocable Trust ( RECITALS WHEREAS, the Mills Act (Government Code Section 50280 et seq.) provides cities with the opportunity to contract with owners of qualified historical properties whereby the owner promises to preserve and rehabilitate the property in return for a potential reduced property tax assessment; and WHEREAS, the City of Orange has established Historic Districts consisting of the Plaza Historic District, listed in the National Register of Historic Places; the Old Towne Orange Historic District, listed in the National Register of Historic Places; the local Old Towne Orange Historic District, designated by the Orange City Council; and the local Eichler Fairhaven, Fairhills, and Fairmeadow Historic Districts, designated by the Orange City Council; and the City desires to promote the character, quality of life, and historic features of said Districts to its citizens and visitors; and WHEREAS, the City is dedicated to the protection and stabilization of property values through maintaining and upgrading its older housing stock, through the use of incentives such as the Mills Act; and WHEREAS, the Mills Act also has beneficial effects on City businesses, economic stability and community pride by preserving important neighborhood historic resources; and WHEREAS, the use of the Mills Act will fulfill one of the goals of the 2010 General Plan Cultural Resources Element; specifically, 38 2
, CR-22); and WHEREAS, Owner possesses fee simple title in and to that certain real property, together with associated structures and improvements thereon, located at 191 N. Grand Street in the City of Orange, County of Orange, State of California, 039-253-01 and more specifically described in Exhibit A, which exhibit is attached hereto and made a part hereof (Property); and WHEREAS, the Historic Property is a qualified historical property under the Mills Act in that it is privately owned property which is not exempt from property taxation and is either: individually designated or is a contributing property within a designated district which is listed in the National Register of Historic Places, California Register of Historical Resources or Register of Historical Landmarks, California Points of Historical Interest, or is a contributing property in a locally designated historic district; and WHEREAS, Owner, in consideration for abiding by the terms of this Agreement shall be entitled to a reassessment of valuation of the Historic Property and any corresponding reduction in property taxes pursuant to the provisions of the California Revenue and Taxation Code; and accrued under this Agreement for improvements to (as defined below). To that end, as a condition of renewal, the City will require a revised schedule of improvements every ten years showing a plan for improvements commensurate with the tax savings; and WHEREAS, the City and Owner for their mutual benefit, now desire to enter into this Agreement to limit the use of the Historic Property to prevent inappropriate alterations, to ensure that characteristics of historic significance are preserved and maintained in an exemplary manner, and to carry out the purposes of Article 12 (commencing with Section 50280) of Chapter 1, Part 1, Division 1 of Title 5 of the California Government Code and Article 1.9 (commencing with Section 439) of Chapter 3, Part 2 of Division 1 of the California Revenue and Taxation Code. AGREEMENT NOW, THEREFORE, both Owner and City, in consideration of the mutual promises, covenants and conditions contained herein and the substantial public benefits to be derived therefrom, do hereby agree as follows: 1. APPLICABLE LAWS. This Agreement is made pursuant to California Government Code Sections 50280 through 50290 and Article 1.9 (commencing with Section 439) of Chapter 3, Part 2 of Division 1 of the California Revenue and Taxation Code and is subject to all of the provisions of those statutes. To the extent any of the provisions in this Agreement are inconsistent with the aforementioned provisions of the Government and Revenue and Taxation Codes, they are superseded by those Code Sections. 39 3

2. ASSESSMENT OF VALUATION. Property tax relief afforded to Owner pursuant to Chapter 3, Part 2 of Division 1 of the California Revenue and Taxation Code will be determined solely by the Orange County Office of the Assessor. City makes no representations regarding the actual tax savings any person may realize by entering into this Agreement. 3. PRESERVATION OF PROPERTY. Owner agrees to preserve and maintain the Historic Property and its character defining features. Character defining features include, but are not necessarily limited to, the general architectural form, style, materials, design, scale, details, mass, roofline and other aspects of the appearance of the exterior of the Historic Property. For purposes of identification of the Historic PProperty Inventory Form (DPR 523) is attached as Exhibit E. The Secretary of the Interior's Standards for Rehabilitation (Exhibit Bmaintenance standards (Exhibit C), attached hereto and incorporated herein by reference, shall constitute the minimum standards and conditions for preservation and rehabilitation of the Historic Property, and shall apply to the Historic Property throughout the term of this Agreement. Owner shall, where necessary, rehabilitate the Historic Property to conform to the rules and regulations of the Office of Historic Preservation of the California Department of Parks and Recreation, the Secretary of the Interior's Standards for Rehabilitation, the California Historical Building Code, and the Historic Preservation Design Standards for Old Towne and Eichler Design Standards. As consideration for the City to enter into this Agreement, the Owner agrees, at its own cost and expense, to complete, or cause to be completed, the work or improvements described in Exhibit D within the times established therefore in Exhibit D. The Owner shall secure any and all permits which may be required by the City or any other governmental agency affected by the construction of the work or improvements. The Owner accepts responsibility for and shall be responsible for identification of and compliance with all applicable laws pertaining to the construction and installation of the work or improvements described on Exhibit D and the contract or contracts pertaining thereto. The Owner will neither seek to hold nor hold the City liable for, and will hold the City harmless with respect to, any consequences of any failure by the Owner to correctly determine the applicability of any such requirements to any contract he/she/they enter into. In addition to the foregoing, the Owner hereby agrees to and will comply with all applicable local, state, and federal statutes, regulations, rules, codes (including building codes), ordinances, and pertaining to the use of the Historic Property. Owner must give the City immediate written notice on OwnerHistoric Property is in violation of any Applicable Laws. 4. INSPECTIONS AND ANNUAL REPORTING. Owner agrees to permit the examination, by prior appointment, of the interior and exterior of the Historic Property by the City at a minimum every five (5) years during the Agreement term to determine Owner's compliance with the terms and provisions of this Agreement. Owner agrees to provide the City with a report as to the status of the Historic Property annually within thirty (30) days following each anniversary of the 40 4
Effective Date of this Agreement. The annual report shall provide substantiation reasonably Historic Preservation Planner or in his/her absence the Director of Community Development that Owner has completed the work required by Exhibit D for the twelve month period preceding each anniversary of this Agreement, and whether the Historic Property has undergone any changed conditions, and whether Owner has received any public funds from other sources designated for the preservation or maintenance of the Historic Property and from whom such funds have been received. 5. PAYMENT OF ANNUAL FEE. The Owner shall pay the City an annual fee to cover administrative costs associated with this Agreement including but not limited to the reasonable cost of monitoring the Historic Property, performing required inspections, and enforcement of the Agreement. Said fee shall be payable to the City of Orange and shall be remitted to the Planning Division upon demand and prior to any required inspection. The amount of the annual inspection fee shall be established by the City and may be revised from time to time, which fee shall be set Failure to pay the required fee within 45 days of the due date will be considered a willful breach of this Agreement and may result in cancellation of the Agreement in accordance with the cancellation terms detailed below. 6. TERM. The term of this Agreement is for a period of ten (10) years. The initial term of this Agreement shall be from December 13, 2022 to and including December 13, 2032. 7. AUTOMATIC RENEWAL. On each yearly anniversary of the Effective Date of this Agreement ("renewal date"), one year shall be added automatically to the initial term of this Agreement, unless notice of non-renewal is given as provided in this Agreement. 8. EFFECT OF OUTSIDE FUNDS. If Owner receives funds designated for the preservation or maintenance of the Historic Property from any other public agency, this Agreement shall not be renewed except upon the vote of the City Council. 9. NOTICE OF NONRENEWAL. If in any year either the Owner or City desires not to renew this Agreement, that party shall serve written notice of nonrenewal to the other party in advance of the annual renewal date. Unless the notice is served by Owner to City at least ninety (90) days, or by City to Owner at least sixty (60) days prior to the renewal date, one year shall automatically be added to the term of the Agreement. Within fifteen (15) days of receipt by Owner of a notice of nonrenewal from the City, Owner may make a written protest. Upon receipt of such a protest the City Council shall set a hearing prior to the expiration of the renewal date of this Agreement or toll the renewal date until such hearing can reasonably held. Owner may furnish the City Council with any information which the Owner deems relevant; and shall furnish the City Council with any information it may require. At any time prior to the renewal date, City may withdraw its notice of nonrenewal. 10. EFFECT OF NOTICE NOT TO RENEW. If in any year either party serves notice of intent not to renew this Agreement, this Agreement shall remain in effect for the balance of the period remaining since the original execution date if not yet renewed, or the last renewal date of the Agreement, as the case may be. 41 5

11. UPDATE OF IMPROVEMENT SCHEDULE. At least ninety (90) days prior to the tenth (10th) anniversary of the Effective Date of this Agreement, and ninety (90) days prior to every tenth (10th) anniversary thereafter, Owner shall provide City with an updated schedule of rehabilitation maintenance items review and approval. Such updated schedule shall contain a list of proposed improvements and/or revisions to be accomplished during the next succeeding ten (10) years of the Agreement and a schedule for the construction of such improvements. Within thirty (30) days after the receipt of said updated schedule, Community Development shall either approve or disapprove such proposed schedule of proposed improvements, or shall respond in writing by stating what further information, if any, the City reasonably requires in order to determine the request complete and determine whether or not to grant the requested approval. Upon receipt of such a response, the Owner shall promptly furnish to the City such further information as may be reasonably requested. Director of Community Development (or his/her authorized representative), the Owner shall meet and confer with the Planner for Historic Preservation or in his/her absence the Director of Community Development (or his/her designee) regarding matters arising hereunder with respect to the work and improvements and the progress in constructing the same. 12. INDEPENDENT ADVICE OF COUNSEL. The Owner, and each of them, represent and declare that in executing this Agreement he/she/they have relied solely upon his/her/their own judgment, belief and knowledge, and the advice and recommendations of his/her/their own independently selected counsel, concerning the nature, extent and duration of his/her/their rights and claims, and that he/she/they have not been influenced to any extent whatsoever in executing the same by the City or by any person representing the City. 13. ENFORCEMENT OF AGREEMENT. If the City determines the owner has breached any of the conditions of the Agreement provided for or has allowed the property to deteriorate to the point it no longer meets the standards for a qualified historical property, the City shall either cancel the Agreement or bring any action in court necessary to enforce the Agreement including, but not limited to an action to enforce the Agreement by specific performance to cure, correct or remedy any breach of the terms of this Agreement, to recover damages for any breach, or to obtain any other remedy consistent with the purpose of this Agreement. In the event of a default under the provisions of this Agreement by Owner, City shall give written notice to Owner specifying the alleged grounds for the default. Said notice shall be given by registered or certified mail addressed to the address stated in this Agreement. If such violation(s) is not corrected to the reasonable satisfaction of the City within thirty (30) days from the receipt of the notice of violation, or within such reasonable time as may be required to cure the breach or default, provided that acts to cure, correct or remedy such breach or default are commenced within thirty (30) days and thereafter diligently pursued to completion, then City may, without further notice, institute legal action. Except as otherwise expressly stated in this Agreement, the rights and remedies of the City are cumulative, and the exercise by the City of one or more of such rights or remedies shall not preclude the exercise by it, at the same or different times, of any other rights or remedies for the same default or any other default by the Owner. Any failure or delay by the City in asserting any 42 6
of its right and remedies as to a breach of any of the covenants, conditions or agreements set forth herein shall not operate as a waiver of such breach or of any such rights or remedies, or deprive the City of its right to institute and maintain any actions or proceedings which it may deem necessary to protect, assert or enforce such rights or remedies. A waiver by the City of a breach shall not be construed as a waiver of any succeeding breach of the same or other covenants, conditions or agreements set forth in this Agreement. 14. CANCELLATION. In lieu of bringing an action to enforce the Agreement City may cancel this Agreement if City determines Owner has breached any of the conditions or covenants of this Agreement or has allowed the Historic Property to deteriorate to the point that it no longer meets the standards for a qualified historical property. City may also cancel this Agreement if it determines Owner has failed to rehabilitate the Historic Property in the manner specified in this Agreement. 15. NOTICE OF CANCELLATION. This Agreement cannot be canceled until after City has given notice and has held a public hearing as required by Government Code Section 50285. Notice of the hearing shall be mailed to the last known address of each owner of property within 300 feet of the Historic Property and shall be published in accordance with Government Code Section 6061. 16. CANCELLATION FEE. If City cancels this Agreement in accordance with Section 15 above, Owner shall pay a cancellation fee of twelve and one-half percent (12-1/2%) of the current fair market value of the Historic Property at the time of cancellation. The current fair market value shall be determined by the County Assessor as though the Historic Property were free of the restriction on the Historic Property imposed pursuant to this Agreement. The cancellation fee shall be paid to the County Auditor at such time and in such manner as the County Auditor shall prescribe. 17. NOTICES. All notices required by or provided for in the Agreement shall be given in writing and may be mailed or delivered in person at the address of the respective parties as specified below or at any other address as may be later specified by the parties. Deposit of notice in the mail, postage prepaid, shall be deemed receipt of the notice. City of Orange Attn.: City Clerk Nathan Wayne and Dana Marie Heyde 300 E. Chapman Avenue 2517 N. Falconer Way Orange, CA 92866 Orange, CA 92867 18. NO COMPENSATION. Owner shall not receive any payment from the City in consideration of the obligations imposed under this Agreement. The Owner acknowledges and agrees that the consideration for the execution of this Agreement is the substantial public benefit to be derived therefrom and the advantage that will accrue to Owner as a result of the effect upon the assessed value of the Historic Property on account of the restrictions on the use and preservation of the Historic Property. 43 7

19. REMEDY IF AGREEMENT HELD NOT ENFORCEABLE. In the event it is finally determined this Agreement does not constitute an enforceable restriction within the meaning of the applicable provisions of the California Government Code and the California Revenue and Taxation Code, except for an unenforceability arising from the cancellation or nonrenewal of this Agreement, then this Agreement shall be null and void and without further effect and the Historic Property subject to this Agreement shall from that time be free from any restriction whatsoever under this Agreement without any payment or further act of the parties to this Agreement. 20. ACQUISITION OF PROPERTY BY EMINENT DOMAIN; CANCELLATION OF CONTRACT; INAPPLICABILITY TO DETERMINATION OF VALUE. In the event that the Historic Property is acquired in whole or part by eminent domain or other acquisition by any entity authorized to exercise the power of eminent domain, and the acquisition is determined by the City to frustrate the purpose of the Agreement, the Agreement shall be canceled and no fee shall be imposed under Section 17, above. The Agreement shall be deemed null and void for all purposes of determining the value of the Historic Property so acquired. If, subsequent to the filing of an action in eminent domain, the proposed condemnation is abandoned by the condemning agency, the restrictions on the use of the Historic Property included in this Agreement shall, without further agreement of the parties, be reinstituted and the terms of this Agreement shall continue in full force and effect. 21. EFFECT OF AGREEMENT. None of the terms, provisions or conditions of this Agreement shall be deemed to create a partnership between the parties hereto and any of their heirs, successors or assigns, nor shall such terms, provisions or conditions cause the parties hereto to be considered joint venturers or members of any joint enterprise. 22. SUCCESSORS AND ASSIGNS. This Agreement is binding upon and shall inure to the benefit of all successors in interest of the Owner, regardless of the tax exempt status of any subsequent owner. A successor in interest shall have the same rights and obligations under this Agreement as the original owner who entered into this Agreement. 23. REQUIREMENTS RELATED TO TRANSFER OF HISTORIC PROPERTY. In the event of any that, at least thirty (30) days prior to such Transfer, it shall give written notice to the City of such proposed Transfer, including the name(s) of the transferee(s). In addition, the Owner and the proposed transferee(s) shall enter into and deliver to the City through the escrow for the Transfer of the Historic Property an assignment and assumption agreement in a form satisfactory to the City's Attorney or such other evidence as may be satisfactory to the City that the transferee(s) has (have) assumed the Owner's obligations set forth in this Agreement. Upon the Transfer of the Historic Property and the assumption of the obligations hereunder by the transferee(s), the Owner's liability for performance shall be terminated as to any obligation to be performed hereunder after the date of such Transfer. 24. RECORDATION. City shall record a copy of this Agreement with the Office of the County Recorder of the County of Orange. 44 8

25. AMENDMENTS. This Agreement may be amended, in whole or in part, only by a written and recorded instrument executed by the parties hereto, except that the Director of Community Development is authorized to amend the list of required projects in Exhibit D. 26. COUNTERPARTS. This Agreement may be executed in any number of counterparts, each of which shall be deemed an original and all of which shall constitute one and the same agreement with the same effect as if all parties had signed the same signature page. Any signature page of this Agreement may be detached from any counterpart of this Agreement and re-attached to any other counterpart of this Agreement identical in form hereto but having attached to it one or more additional signature pages. 27. Community Development (or his/her designated representative) following approval of this Agreement by the City. The City shall maintain authority of this Agreement through the CiDirector of Community Development (or his/her authorized representative). of Community Development shall have the authority to issue interpretations, waive provisions and enter into amendments of this Agreement on behalf of the City so long as such actions do not change the uses permitted on the Historic Property or the purpose of this Agreement. Such amendments may include extensions of time or amendments to the projects specified in Exhibit D. All other waivers or amendments shall require the written approval and consent of the City Council. [Remainder of page intentionally left blank; signatures on next page] 45 9
IN WITNESS WHEREOF, the City and the Owner have executed this Agreement. Dated: , 2022 Nathan Wayne Heyde Dated: , 2022 Dana Marie Heyde CITY OF ORANGE, a municipal corporation Dated: , 2022 By: Mark A. Murphy Mayor ATTEST: APPROVED AS TO FORM: Pamela Coleman Mary E. Binning City Clerk Senior Assistant City Attorney 46 10
ACKNOWLEDGEMENT State of California County of ____________ On before me, , a Notary Public in and for the State of California, personally appeared who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. Signature __________________________________ (Seal) A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. 47 11
EXHIBIT A LEGAL DESCRIPTION OF HISTORIC PROPERTY REAL PROPERTY IN THE CITY OF ORANGE, COUNTY OF ORANGE, STATE OF CALIFORNIA, DESCRIBED AS: Orange, County of Orange, State of California, as per map recorded in Book 5, Page 21 of Miscellaneous Maps, in the office of the County Recorder of said County. [APN 039-253-01] 48 12
EXHIBIT B SECRETARY OF THE INTERIOR'S STANDARDS FOR REHABILITATION 1. Every reasonable effort shall be made to provide a compatible use for a property, which requires a minimal alteration of the building structure, or site and its environment, or to use a property for its originally intended purpose. 2. The distinguishing original qualities or character of a building, structure, or site and its environment shall not be destroyed. The removal or alteration of any historic material or distinctive architectural features should be avoided when possible. 3. All buildings, structures, and sites shall be recognized as products of their own time. Alterations that have no historical basis and which seek to create an earlier appearance shall be discouraged. 4. Changes which may have taken place in the course of time are evidence of the history and development of a building, structure or site and its environment. These changes may have acquired significance in their own right, and this significance shall be recognized and respected. 5. Distinctive stylistic features or examples of skilled craftsmanship which characterize a building, structure or site shall be treated with sensitivity. 6. Deteriorated architectural features shall be repaired rather than replaced, wherever possible. In the event replacement is necessary, the new material should match the material being replaced in composition, design, color, texture, and other visual qualities. Repair or replacement of missing architectural features should be based on accurate duplications of features, substantiated by historic, physical, or pictorial evidence rather than on conjectural designs or the availability of different architectural elements from other buildings or structures. 7. The surface cleaning of structures shall be undertaken with the gentlest means possible. Sandblasting and other cleaning methods that will damage the historic building materials shall not be undertaken. 8. Every reasonable effort shall be made to protect and preserve archeological resources affected by, or adjacent to, any project. 9. Contemporary design for alterations and additions to existing properties shall not be discouraged when such alterations and additions do not destroy significant historical, architectural or cultural material, and such design is compatible with the size, scale, color, material and character of the property, neighborhood or environment. 10. Wherever possible, new additions or alterations to structures shall be done in such a manner that, if such additions or alterations were to be removed in the future, the essential form and integrity of the structure would be unimpaired. 49 13
EXHIBIT C CITY OF ORANGE HISTORIC PROPERTY MAINTENANCE STANDARDS All buildings, structures, yards and other improvements shall be maintained in a manner which does not detract from the appearance of the immediate neighborhood. The following conditions are prohibited: 1. Dilapidated, deteriorating, or unrepaired structures, such as: fences, roofs, doors, walls and windows. 2. Publicly visible storage of scrap lumber, junk, trash or debris. 3. Publicly visible storage of abandoned, discarded or unused objects or equipment, such as automobiles, automobile parts, furniture, stoves, refrigerators, cans, containers or similar items. 4. Stagnant water or excavations, including pools or spas. 5. Any device, decoration, design, structure or vegetation that is unsightly by reason of its height, condition, or its inappropriate location. 50 14
EXHIBIT D REHABILITATION/MAINTENANCE SCOPE OF WORK [Attached.] 51 REHABILITATION/MAINTENANCE SCOPE OF WORK 191 N. Grand Street Priority Description of Work Cost Estimate Completion Date 1. Engage a structural engineer experienced in historic preservation to evaluate the foundation, structure, and chimney, and make recommendations for repair and retrofit. $5,000 2024 2. Retrofit of foundation according to structural engineer recommendation $10,000 2024 3. Hardware repair and replacement $2,500 2025 4. Re-roofing; roof maintenance (ongoing), chimney maintenance $15,000 2028 5. Repair and replace siding; termite report; dry rot repair and replacement $2,500 2028 6. Maintenance of original windows, trim, etc. $5,000 2028 7. Maintenance of original wood floors, doors, frames, and historic architectural elements $15,000 2028 8. Maintenance and report of exterior materials and features, painting, fence, weatherproofing $25,000 2028 9. Repair and restoration of front porch, railing, stops, seismic retrofit $5,000 2030 TOTAL $85,000.00 52 15
HISTORIC PROPERTY INVENTORY FORM (DPR 523) [Attached.] 53 State of California - The Resources AgencyDEPARTMENT OF PARKS AND RECREATIONPRIMARY RECORDPage 1 of*b. USGS 7.5' Quad:Date:TR1/4 of1/4 ofSecB.M.d. UTM:mE/mNe. Other Locational Data:P1. Other Identifier:*P2. Location:c. Address:Zip:(Give more than one for large and/or linear resources)(Describe resource and its major elements. Include design, materials, condition, alterations, size, setting, and boudnaries. Continues on Pg.3.);; ;Zone 'and(P2b and P2c or P2d. Attach a location map as necessary.)City:-*P3a. Description:*P3b. Resource Attributes:(List attributes and codes) (Describe)(Cite survey report and other sources, or enter "none.")*Attachments:Continuation Sheet(s)Building, Structure, and Object Record (Name, affiliation, and address) (View, date, accession #)*P6. Date Constructed/ Age and Source:*P7. Owner and Address:*P8: Recorded by:*P10. Survey Type:*P11. Report Citation:DPR 523A (1/95)*Required Information *Resource Name or #:(Assigned by Recorder)
*P9. Date Recorded:

Primary #HRI #Date:NRHP Status CodeTrinomialOther Listings:Review Code:Reviewer:*a. County:P5b. Description of Photo:Unrestricted3Site*P4. Resources Present:BuildingObjectElement of DistrictOther (Isolates, etc.)DistrictStructureNot for Publication District RecordPhotograph RecordLocation MapArtifact RecordArchaeological RecordNONELinear Feature RecordRock Art RecordMilling Station RecordOther (List):

Materials:PrehistoricHistoricBoth
54 B1. Historic Name:B3. Original Use:B4. Present Use:*B5. Architectural Style:*B6. Construction History:(Construction date, atlerations, and date of alterations)Date of Construction:*B9. Architect or Builder:Period of Significance:*B10. Significance: Property Type:(Discuss importance in terms of historical or architectural context as defined by theme, period, and geographic scope. Also address integrity. Continues on Pg.4.)*B8. Related Features:Date:Original Location:*B7. Moved?Theme: Area:Structural Integrity:(List attributes and codes)*Date of Evaluation:B11. Additional Resource Attributes:(This space reserved for official comments.)*B14. Evaluator:B13. Remarks:

State of California - The Resources AgencyDEPARTMENT OF PARKS AND RECREATIONBUILDING, STRUCTURE, AND OBJECT RECORD *B12. References:
*NRHP Status CodePrimary #HRI #YesNoUnknownPage 2 of3*Resource Name or #:(Assigned by Recorder)PrehistoricHistoricBothB2. Common Name:Applicable Criteria:(Sketch Map with North arrow required.)DPR 523B (1/95)*Required Information Opportunities:Site Integrity:(Continues on Pg.3.)
55 State of California - The Resources AgencyDEPARTMENT OF PARKS AND RECREATIONCONTINUATION SHEET Description of Photo:Primary #HRI #TrinomialRecorded by:Date Recorded:

P3a. Description (Continued from Pg.1):

DPR 523L (11/98)*Required Information
UpdateContinuationPage 3 of3B6. Construction History (Continued from Pg.2):Lot Acre:Principal Building Sqft:Planning Zone:# of Stories:Years Surveyed:General Plan:# of Units:B13. Remarks (Continued from Pg.2):*Resource Name or #:(Assigned by Recorder)Listed in National Register:# of Buildings:
56 State of California - The Resources AgencyDEPARTMENT OF PARKS AND RECREATIONPRIMARY RECORDPage 1 of*b. USGS 7.5' Quad:Date:TR1/4 of1/4 ofSecB.M.d. UTM:mE/mNe. Other Locational Data:P1. Other Identifier:*P2. Location:c. Address:Zip:(Give more than one for large and/or linear resources)(Describe resource and its major elements. Include design, materials, condition, alterations, size, setting, and boudnaries. Continues on Pg.3.);; ;Zone 'and(P2b and P2c or P2d. Attach a location map as necessary.)City:-*P3a. Description:*P3b. Resource Attributes:(List attributes and codes) (Describe)(Cite survey report and other sources, or enter "none.")*Attachments:Continuation Sheet(s)Building, Structure, and Object Record (Name, affiliation, and address) (View, date, accession #)*P6. Date Constructed/ Age and Source:*P7. Owner and Address:*P8: Recorded by:*P10. Survey Type:*P11. Report Citation:DPR 523A (1/95)*Required Information *Resource Name or #:(Assigned by Recorder)
*P9. Date Recorded:

Primary #HRI #Date:NRHP Status CodeTrinomialOther Listings:Review Code:Reviewer:*a. County:P5b. Description of Photo:Unrestricted3Site*P4. Resources Present:BuildingObjectElement of DistrictOther (Isolates, etc.)DistrictStructureNot for Publication District RecordPhotograph RecordLocation MapArtifact RecordArchaeological RecordNONELinear Feature RecordRock Art RecordMilling Station RecordOther (List):

Materials:PrehistoricHistoricBoth
57 B1. Historic Name:B3. Original Use:B4. Present Use:*B5. Architectural Style:*B6. Construction History:(Construction date, atlerations, and date of alterations)Date of Construction:*B9. Architect or Builder:Period of Significance:*B10. Significance: Property Type:(Discuss importance in terms of historical or architectural context as defined by theme, period, and geographic scope. Also address integrity. Continues on Pg.4.)*B8. Related Features:Date:Original Location:*B7. Moved?Theme: Area:Structural Integrity:(List attributes and codes)*Date of Evaluation:B11. Additional Resource Attributes:(This space reserved for official comments.)*B14. Evaluator:B13. Remarks:

State of California - The Resources AgencyDEPARTMENT OF PARKS AND RECREATIONBUILDING, STRUCTURE, AND OBJECT RECORD *B12. References:
*NRHP Status CodePrimary #HRI #YesNoUnknownPage 2 of3*Resource Name or #:(Assigned by Recorder)PrehistoricHistoricBothB2. Common Name:Applicable Criteria:(Sketch Map with North arrow required.)DPR 523B (1/95)*Required Information Opportunities:Site Integrity:(Continues on Pg.3.)
58 State of California - The Resources AgencyDEPARTMENT OF PARKS AND RECREATIONCONTINUATION SHEET Description of Photo:Primary #HRI #TrinomialRecorded by:Date Recorded:

P3a. Description (Continued from Pg.1):

DPR 523L (11/98)*Required Information
UpdateContinuationPage 3 of3B6. Construction History (Continued from Pg.2):Lot Acre:Principal Building Sqft:Planning Zone:# of Stories:Years Surveyed:General Plan:# of Units:B13. Remarks (Continued from Pg.2):*Resource Name or #:(Assigned by Recorder)Listed in National Register:# of Buildings:
59 60
1 RECORDING REQUESTED BY AND, WHEN RECORDED, MAIL TO: City Clerk City of Orange 300 E. Chapman Avenue Exempt from recording fees pursuant to Orange, California, 92866 Gov. Code Sections 6103 and 27383 Property Address: 367 S. Center Street APN: 390-404-07 Mills Act Contract Number: 419.0-22 HISTORIC PROPERTY PRESERVATION AGREEMENT (MILLS ACT CONTRACT) entered into as of the date o JULIO MORALES and MEGAN MORALES, as Trustees of the Julio and Megan Morales Revocable Trust ( RECITALS WHEREAS, the Mills Act (Government Code Section 50280 et seq.) provides cities with the opportunity to contract with owners of qualified historical properties whereby the owner promises to preserve and rehabilitate the property in return for a potential reduced property tax assessment; and WHEREAS, the City of Orange has established Historic Districts consisting of the Plaza Historic District, listed in the National Register of Historic Places; the Old Towne Orange Historic District, listed in the National Register of Historic Places; the local Old Towne Orange Historic District, designated by the Orange City Council; and the local Eichler Fairhaven, Fairhills, and Fairmeadow Historic Districts, designated by the Orange City Council; and the City desires to promote the character, quality of life, and historic features of said Districts to its citizens and visitors; and WHEREAS, the City is dedicated to the protection and stabilization of property values through maintaining and upgrading its older housing stock, through the use of incentives such as the Mills Act; and WHEREAS, the Mills Act also has beneficial effects on City businesses, economic stability and community pride by preserving important neighborhood historic resources; and WHEREAS, the use of the Mills Act will fulfill one of the goals of the 2010 General Plan Cultural Resources Element; specifically, 61 2
, CR-22); and WHEREAS, Owner possesses fee simple title in and to that certain real property, together with associated structures and improvements thereon, located at 367 S. Center Street in the City of Orange, County of Orange, State of California, 390-404-07 and more specifically described in Exhibit A, which exhibit is attached hereto and made a part hereof (Property); and WHEREAS, the Historic Property is a qualified historical property under the Mills Act in that it is privately owned property which is not exempt from property taxation and is either: individually designated or is a contributing property within a designated district which is listed in the National Register of Historic Places, California Register of Historical Resources or Register of Historical Landmarks, California Points of Historical Interest, or is a contributing property in a locally designated historic district; and WHEREAS, Owner, in consideration for abiding by the terms of this Agreement shall be entitled to a reassessment of valuation of the Historic Property and any corresponding reduction in property taxes pursuant to the provisions of the California Revenue and Taxation Code; and accrued under this Agreement for improvements to (as defined below). To that end, as a condition of renewal, the City will require a revised schedule of improvements every ten years showing a plan for improvements commensurate with the tax savings; and WHEREAS, the City and Owner for their mutual benefit, now desire to enter into this Agreement to limit the use of the Historic Property to prevent inappropriate alterations, to ensure that characteristics of historic significance are preserved and maintained in an exemplary manner, and to carry out the purposes of Article 12 (commencing with Section 50280) of Chapter 1, Part 1, Division 1 of Title 5 of the California Government Code and Article 1.9 (commencing with Section 439) of Chapter 3, Part 2 of Division 1 of the California Revenue and Taxation Code. AGREEMENT NOW, THEREFORE, both Owner and City, in consideration of the mutual promises, covenants and conditions contained herein and the substantial public benefits to be derived therefrom, do hereby agree as follows: 1. APPLICABLE LAWS. This Agreement is made pursuant to California Government Code Sections 50280 through 50290 and Article 1.9 (commencing with Section 439) of Chapter 3, Part 2 of Division 1 of the California Revenue and Taxation Code and is subject to all of the provisions of those statutes. To the extent any of the provisions in this Agreement are inconsistent with the aforementioned provisions of the Government and Revenue and Taxation Codes, they are superseded by those Code Sections. 62 3

2. ASSESSMENT OF VALUATION. Property tax relief afforded to Owner pursuant to Chapter 3, Part 2 of Division 1 of the California Revenue and Taxation Code will be determined solely by the Orange County Office of the Assessor. City makes no representations regarding the actual tax savings any person may realize by entering into this Agreement. 3. PRESERVATION OF PROPERTY. Owner agrees to preserve and maintain the Historic Property and its character defining features. Character defining features include, but are not necessarily limited to, the general architectural form, style, materials, design, scale, details, mass, roofline and other aspects of the appearance of the exterior of the Historic Property. For purposes of identification of the Historic PProperty Inventory Form (DPR 523) is attached as Exhibit E. The Secretary of the Interior's Standards for Rehabilitation (Exhibit Bmaintenance standards (Exhibit C), attached hereto and incorporated herein by reference, shall constitute the minimum standards and conditions for preservation and rehabilitation of the Historic Property, and shall apply to the Historic Property throughout the term of this Agreement. Owner shall, where necessary, rehabilitate the Historic Property to conform to the rules and regulations of the Office of Historic Preservation of the California Department of Parks and Recreation, the Secretary of the Interior's Standards for Rehabilitation, the California Historical Building Code, and the Historic Preservation Design Standards for Old Towne and Eichler Design Standards. As consideration for the City to enter into this Agreement, the Owner agrees, at its own cost and expense, to complete, or cause to be completed, the work or improvements described in Exhibit D within the times established therefore in Exhibit D. The Owner shall secure any and all permits which may be required by the City or any other governmental agency affected by the construction of the work or improvements. The Owner accepts responsibility for and shall be responsible for identification of and compliance with all applicable laws pertaining to the construction and installation of the work or improvements described on Exhibit D and the contract or contracts pertaining thereto. The Owner will neither seek to hold nor hold the City liable for, and will hold the City harmless with respect to, any consequences of any failure by the Owner to correctly determine the applicability of any such requirements to any contract he/she/they enter into. In addition to the foregoing, the Owner hereby agrees to and will comply with all applicable local, state, and federal statutes, regulations, rules, codes (including building codes), ordinances, and pertaining to the use of the Historic Property. Owner must give the City immediate written notice on OwnerHistoric Property is in violation of any Applicable Laws. 4. INSPECTIONS AND ANNUAL REPORTING. Owner agrees to permit the examination, by prior appointment, of the interior and exterior of the Historic Property by the City at a minimum every five (5) years during the Agreement term to determine Owner's compliance with the terms and provisions of this Agreement. Owner agrees to provide the City with a report as to the status of the Historic Property annually within thirty (30) days following each anniversary of the 63 4
Effective Date of this Agreement. The annual report shall provide substantiation reasonably Historic Preservation Planner or in his/her absence the Director of Community Development that Owner has completed the work required by Exhibit D for the twelve month period preceding each anniversary of this Agreement, and whether the Historic Property has undergone any changed conditions, and whether Owner has received any public funds from other sources designated for the preservation or maintenance of the Historic Property and from whom such funds have been received. 5. PAYMENT OF ANNUAL FEE. The Owner shall pay the City an annual fee to cover administrative costs associated with this Agreement including but not limited to the reasonable cost of monitoring the Historic Property, performing required inspections, and enforcement of the Agreement. Said fee shall be payable to the City of Orange and shall be remitted to the Planning Division upon demand and prior to any required inspection. The amount of the annual inspection fee shall be established by the City and may be revised from time to time, which fee shall be set Failure to pay the required fee within 45 days of the due date will be considered a willful breach of this Agreement and may result in cancellation of the Agreement in accordance with the cancellation terms detailed below. 6. TERM. The term of this Agreement is for a period of ten (10) years. The initial term of this Agreement shall be from December 13, 2022 to and including December 13, 2032. 7. AUTOMATIC RENEWAL. On each yearly anniversary of the Effective Date of this Agreement ("renewal date"), one year shall be added automatically to the initial term of this Agreement, unless notice of non-renewal is given as provided in this Agreement. 8. EFFECT OF OUTSIDE FUNDS. If Owner receives funds designated for the preservation or maintenance of the Historic Property from any other public agency, this Agreement shall not be renewed except upon the vote of the City Council. 9. NOTICE OF NONRENEWAL. If in any year either the Owner or City desires not to renew this Agreement, that party shall serve written notice of nonrenewal to the other party in advance of the annual renewal date. Unless the notice is served by Owner to City at least ninety (90) days, or by City to Owner at least sixty (60) days prior to the renewal date, one year shall automatically be added to the term of the Agreement. Within fifteen (15) days of receipt by Owner of a notice of nonrenewal from the City, Owner may make a written protest. Upon receipt of such a protest the City Council shall set a hearing prior to the expiration of the renewal date of this Agreement or toll the renewal date until such hearing can reasonably held. Owner may furnish the City Council with any information which the Owner deems relevant; and shall furnish the City Council with any information it may require. At any time prior to the renewal date, City may withdraw its notice of nonrenewal. 10. EFFECT OF NOTICE NOT TO RENEW. If in any year either party serves notice of intent not to renew this Agreement, this Agreement shall remain in effect for the balance of the period remaining since the original execution date if not yet renewed, or the last renewal date of the Agreement, as the case may be. 64 5

11. UPDATE OF IMPROVEMENT SCHEDULE. At least ninety (90) days prior to the tenth (10th) anniversary of the Effective Date of this Agreement, and ninety (90) days prior to every tenth (10th) anniversary thereafter, Owner shall provide City with an updated schedule of rehabilitation maintenance items review and approval. Such updated schedule shall contain a list of proposed improvements and/or revisions to be accomplished during the next succeeding ten (10) years of the Agreement and a schedule for the construction of such improvements. Within thirty (30) days after the receipt of said updated schedule, Community Development shall either approve or disapprove such proposed schedule of proposed improvements, or shall respond in writing by stating what further information, if any, the City reasonably requires in order to determine the request complete and determine whether or not to grant the requested approval. Upon receipt of such a response, the Owner shall promptly furnish to the City such further information as may be reasonably requested. Director of Community Development (or his/her authorized representative), the Owner shall meet and confer with the Planner for Historic Preservation or in his/her absence the Director of Community Development (or his/her designee) regarding matters arising hereunder with respect to the work and improvements and the progress in constructing the same. 12. INDEPENDENT ADVICE OF COUNSEL. The Owner, and each of them, represent and declare that in executing this Agreement he/she/they have relied solely upon his/her/their own judgment, belief and knowledge, and the advice and recommendations of his/her/their own independently selected counsel, concerning the nature, extent and duration of his/her/their rights and claims, and that he/she/they have not been influenced to any extent whatsoever in executing the same by the City or by any person representing the City. 13. ENFORCEMENT OF AGREEMENT. If the City determines the owner has breached any of the conditions of the Agreement provided for or has allowed the property to deteriorate to the point it no longer meets the standards for a qualified historical property, the City shall either cancel the Agreement or bring any action in court necessary to enforce the Agreement including, but not limited to an action to enforce the Agreement by specific performance to cure, correct or remedy any breach of the terms of this Agreement, to recover damages for any breach, or to obtain any other remedy consistent with the purpose of this Agreement. In the event of a default under the provisions of this Agreement by Owner, City shall give written notice to Owner specifying the alleged grounds for the default. Said notice shall be given by registered or certified mail addressed to the address stated in this Agreement. If such violation(s) is not corrected to the reasonable satisfaction of the City within thirty (30) days from the receipt of the notice of violation, or within such reasonable time as may be required to cure the breach or default, provided that acts to cure, correct or remedy such breach or default are commenced within thirty (30) days and thereafter diligently pursued to completion, then City may, without further notice, institute legal action. Except as otherwise expressly stated in this Agreement, the rights and remedies of the City are cumulative, and the exercise by the City of one or more of such rights or remedies shall not preclude the exercise by it, at the same or different times, of any other rights or remedies for the same default or any other default by the Owner. Any failure or delay by the City in asserting any 65 6
of its right and remedies as to a breach of any of the covenants, conditions or agreements set forth herein shall not operate as a waiver of such breach or of any such rights or remedies, or deprive the City of its right to institute and maintain any actions or proceedings which it may deem necessary to protect, assert or enforce such rights or remedies. A waiver by the City of a breach shall not be construed as a waiver of any succeeding breach of the same or other covenants, conditions or agreements set forth in this Agreement. 14. CANCELLATION. In lieu of bringing an action to enforce the Agreement City may cancel this Agreement if City determines Owner has breached any of the conditions or covenants of this Agreement or has allowed the Historic Property to deteriorate to the point that it no longer meets the standards for a qualified historical property. City may also cancel this Agreement if it determines Owner has failed to rehabilitate the Historic Property in the manner specified in this Agreement. 15. NOTICE OF CANCELLATION. This Agreement cannot be canceled until after City has given notice and has held a public hearing as required by Government Code Section 50285. Notice of the hearing shall be mailed to the last known address of each owner of property within 300 feet of the Historic Property and shall be published in accordance with Government Code Section 6061. 16. CANCELLATION FEE. If City cancels this Agreement in accordance with Section 15 above, Owner shall pay a cancellation fee of twelve and one-half percent (12-1/2%) of the current fair market value of the Historic Property at the time of cancellation. The current fair market value shall be determined by the County Assessor as though the Historic Property were free of the restriction on the Historic Property imposed pursuant to this Agreement. The cancellation fee shall be paid to the County Auditor at such time and in such manner as the County Auditor shall prescribe. 17. NOTICES. All notices required by or provided for in the Agreement shall be given in writing and may be mailed or delivered in person at the address of the respective parties as specified below or at any other address as may be later specified by the parties. Deposit of notice in the mail, postage prepaid, shall be deemed receipt of the notice. City of Orange Attn.: City Clerk Julio and Megan Morales 300 E. Chapman Avenue 245 S. Via Montanera Orange, CA 92866 Anaheim, CA 92807 18. NO COMPENSATION. Owner shall not receive any payment from the City in consideration of the obligations imposed under this Agreement. The Owner acknowledges and agrees that the consideration for the execution of this Agreement is the substantial public benefit to be derived therefrom and the advantage that will accrue to Owner as a result of the effect upon the assessed value of the Historic Property on account of the restrictions on the use and preservation of the Historic Property. 66 7

19. REMEDY IF AGREEMENT HELD NOT ENFORCEABLE. In the event it is finally determined this Agreement does not constitute an enforceable restriction within the meaning of the applicable provisions of the California Government Code and the California Revenue and Taxation Code, except for an unenforceability arising from the cancellation or nonrenewal of this Agreement, then this Agreement shall be null and void and without further effect and the Historic Property subject to this Agreement shall from that time be free from any restriction whatsoever under this Agreement without any payment or further act of the parties to this Agreement. 20. ACQUISITION OF PROPERTY BY EMINENT DOMAIN; CANCELLATION OF CONTRACT; INAPPLICABILITY TO DETERMINATION OF VALUE. In the event that the Historic Property is acquired in whole or part by eminent domain or other acquisition by any entity authorized to exercise the power of eminent domain, and the acquisition is determined by the City to frustrate the purpose of the Agreement, the Agreement shall be canceled and no fee shall be imposed under Section 17, above. The Agreement shall be deemed null and void for all purposes of determining the value of the Historic Property so acquired. If, subsequent to the filing of an action in eminent domain, the proposed condemnation is abandoned by the condemning agency, the restrictions on the use of the Historic Property included in this Agreement shall, without further agreement of the parties, be reinstituted and the terms of this Agreement shall continue in full force and effect. 21. EFFECT OF AGREEMENT. None of the terms, provisions or conditions of this Agreement shall be deemed to create a partnership between the parties hereto and any of their heirs, successors or assigns, nor shall such terms, provisions or conditions cause the parties hereto to be considered joint venturers or members of any joint enterprise. 22. SUCCESSORS AND ASSIGNS. This Agreement is binding upon and shall inure to the benefit of all successors in interest of the Owner, regardless of the tax exempt status of any subsequent owner. A successor in interest shall have the same rights and obligations under this Agreement as the original owner who entered into this Agreement. 23. REQUIREMENTS RELATED TO TRANSFER OF HISTORIC PROPERTY. In the event of any that, at least thirty (30) days prior to such Transfer, it shall give written notice to the City of such proposed Transfer, including the name(s) of the transferee(s). In addition, the Owner and the proposed transferee(s) shall enter into and deliver to the City through the escrow for the Transfer of the Historic Property an assignment and assumption agreement in a form satisfactory to the City's Attorney or such other evidence as may be satisfactory to the City that the transferee(s) has (have) assumed the Owner's obligations set forth in this Agreement. Upon the Transfer of the Historic Property and the assumption of the obligations hereunder by the transferee(s), the Owner's liability for performance shall be terminated as to any obligation to be performed hereunder after the date of such Transfer. 24. RECORDATION. City shall record a copy of this Agreement with the Office of the County Recorder of the County of Orange. 67 8

25. AMENDMENTS. This Agreement may be amended, in whole or in part, only by a written and recorded instrument executed by the parties hereto, except that the Director of Community Development is authorized to amend the list of required projects in Exhibit D. 26. COUNTERPARTS. This Agreement may be executed in any number of counterparts, each of which shall be deemed an original and all of which shall constitute one and the same agreement with the same effect as if all parties had signed the same signature page. Any signature page of this Agreement may be detached from any counterpart of this Agreement and re-attached to any other counterpart of this Agreement identical in form hereto but having attached to it one or more additional signature pages. 27. Community Development (or his/her designated representative) following approval of this Agreement by the City. The City shall maintain authority of this Agreement through the CiDirector of Community Development (or his/her authorized representative). of Community Development shall have the authority to issue interpretations, waive provisions and enter into amendments of this Agreement on behalf of the City so long as such actions do not change the uses permitted on the Historic Property or the purpose of this Agreement. Such amendments may include extensions of time or amendments to the projects specified in Exhibit D. All other waivers or amendments shall require the written approval and consent of the City Council. [Remainder of page intentionally left blank; signatures on next page] 68 9
IN WITNESS WHEREOF, the City and the Owner have executed this Agreement. Dated: , 2022 Julio Morales Dated: , 2022 Megan Morales CITY OF ORANGE, a municipal corporation Dated: , 2022 By: Mark A. Murphy Mayor ATTEST: APPROVED AS TO FORM: Pamela Coleman Mary E. Binning City Clerk Senior Assistant City Attorney 69 10
ACKNOWLEDGEMENT State of California County of ____________ On before me, , a Notary Public in and for the State of California, personally appeared who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. Signature __________________________________ (Seal) A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. 70 11
EXHIBIT A LEGAL DESCRIPTION OF HISTORIC PROPERTY REAL PROPERTY IN THE CITY OF ORANGE, COUNTY OF ORANGE, STATE OF CALIFORNIA, DESCRIBED AS: 41 and 42, in the City of Orange, County of Orange, State of California, as per Map recorded in Book 3, Page 49 of Miscellaneous Maps, Records of Orange County, excepting therefrom the following: Beginning at the Northwest corner of said Lot 4; Thence East along the North line of said Lot 4 a distance of 68 feet and nine inches; and Thence South parallel with the West line of said Lot 4 a distance of 2 feet; Thence West parallel with the said North line of said Lot 4 a distance of 68 feet and nine inches to the West line of said Lot 4; Thence north along said West line of said Lot 4 to the Point of Beginning. [APN 390-404-07] 71 12
EXHIBIT B SECRETARY OF THE INTERIOR'S STANDARDS FOR REHABILITATION 1. Every reasonable effort shall be made to provide a compatible use for a property, which requires a minimal alteration of the building structure, or site and its environment, or to use a property for its originally intended purpose. 2. The distinguishing original qualities or character of a building, structure, or site and its environment shall not be destroyed. The removal or alteration of any historic material or distinctive architectural features should be avoided when possible. 3. All buildings, structures, and sites shall be recognized as products of their own time. Alterations that have no historical basis and which seek to create an earlier appearance shall be discouraged. 4. Changes which may have taken place in the course of time are evidence of the history and development of a building, structure or site and its environment. These changes may have acquired significance in their own right, and this significance shall be recognized and respected. 5. Distinctive stylistic features or examples of skilled craftsmanship which characterize a building, structure or site shall be treated with sensitivity. 6. Deteriorated architectural features shall be repaired rather than replaced, wherever possible. In the event replacement is necessary, the new material should match the material being replaced in composition, design, color, texture, and other visual qualities. Repair or replacement of missing architectural features should be based on accurate duplications of features, substantiated by historic, physical, or pictorial evidence rather than on conjectural designs or the availability of different architectural elements from other buildings or structures. 7. The surface cleaning of structures shall be undertaken with the gentlest means possible. Sandblasting and other cleaning methods that will damage the historic building materials shall not be undertaken. 8. Every reasonable effort shall be made to protect and preserve archeological resources affected by, or adjacent to, any project. 9. Contemporary design for alterations and additions to existing properties shall not be discouraged when such alterations and additions do not destroy significant historical, architectural or cultural material, and such design is compatible with the size, scale, color, material and character of the property, neighborhood or environment. 10. Wherever possible, new additions or alterations to structures shall be done in such a manner that, if such additions or alterations were to be removed in the future, the essential form and integrity of the structure would be unimpaired. 72 13
EXHIBIT C CITY OF ORANGE HISTORIC PROPERTY MAINTENANCE STANDARDS All buildings, structures, yards and other improvements shall be maintained in a manner which does not detract from the appearance of the immediate neighborhood. The following conditions are prohibited: 1. Dilapidated, deteriorating, or unrepaired structures, such as: fences, roofs, doors, walls and windows. 2. Publicly visible storage of scrap lumber, junk, trash or debris. 3. Publicly visible storage of abandoned, discarded or unused objects or equipment, such as automobiles, automobile parts, furniture, stoves, refrigerators, cans, containers or similar items. 4. Stagnant water or excavations, including pools or spas. 5. Any device, decoration, design, structure or vegetation that is unsightly by reason of its height, condition, or its inappropriate location. 73 14
EXHIBIT D REHABILITATION/MAINTENANCE SCOPE OF WORK [Attached.] 74 REHABILITATION/MAINTENANCE SCOPE OF WORK 367 S Center Street Priority Description of Work Cost Estimate Completion Date 1. Replace broken windows, repair pully system on original windows $4,860.00 2023 2. Replace roof $18,000.00 2025 3. Engage structural engineer experienced in historic preservation to evaluate foundation and structure, and make recommendations for repair and retrofit $15,500.00 2025 4. Exterior repairs including paint, repair siding and window casings $13,600.00 2027 5. Repair damaged wood on garage and patio cover $4,400.00 2029 6. Re-texture and paint side and back porches, including stairs $2,800.00 2030 TOTAL $59,160.00 75 15
HISTORIC PROPERTY INVENTORY FORM (DPR 523) [Attached.] 76 State of California - The Resources AgencyDEPARTMENT OF PARKS AND RECREATIONPRIMARY RECORDPage 1 of*b. USGS 7.5' Quad:Date:TR1/4 of1/4 ofSecB.M.d. UTM:mE/mNe. Other Locational Data:P1. Other Identifier:*P2. Location:c. Address:Zip:(Give more than one for large and/or linear resources)(Describe resource and its major elements. Include design, materials, condition, alterations, size, setting, and boudnaries. Continues on Pg.3.);; ;Zone 'and(P2b and P2c or P2d. Attach a location map as necessary.)City:-*P3a. Description:*P3b. Resource Attributes:(List attributes and codes) (Describe)(Cite survey report and other sources, or enter "none.")*Attachments:Continuation Sheet(s)Building, Structure, and Object Record (Name, affiliation, and address) (View, date, accession #)*P6. Date Constructed/ Age and Source:*P7. Owner and Address:*P8: Recorded by:*P10. Survey Type:*P11. Report Citation:DPR 523A (1/95)*Required Information *Resource Name or #:(Assigned by Recorder)
*P9. Date Recorded:

Primary #HRI #Date:NRHP Status CodeTrinomialOther Listings:Review Code:Reviewer:*a. County:P5b. Description of Photo:Unrestricted3Site*P4. Resources Present:BuildingObjectElement of DistrictOther (Isolates, etc.)DistrictStructureNot for Publication District RecordPhotograph RecordLocation MapArtifact RecordArchaeological RecordNONELinear Feature RecordRock Art RecordMilling Station RecordOther (List):

Materials:PrehistoricHistoricBoth
77 B1. Historic Name:B3. Original Use:B4. Present Use:*B5. Architectural Style:*B6. Construction History:(Construction date, atlerations, and date of alterations)Date of Construction:*B9. Architect or Builder:Period of Significance:*B10. Significance: Property Type:(Discuss importance in terms of historical or architectural context as defined by theme, period, and geographic scope. Also address integrity. Continues on Pg.4.)*B8. Related Features:Date:Original Location:*B7. Moved?Theme: Area:Structural Integrity:(List attributes and codes)*Date of Evaluation:B11. Additional Resource Attributes:(This space reserved for official comments.)*B14. Evaluator:B13. Remarks:

State of California - The Resources AgencyDEPARTMENT OF PARKS AND RECREATIONBUILDING, STRUCTURE, AND OBJECT RECORD *B12. References:
*NRHP Status CodePrimary #HRI #YesNoUnknownPage 2 of3*Resource Name or #:(Assigned by Recorder)PrehistoricHistoricBothB2. Common Name:Applicable Criteria:(Sketch Map with North arrow required.)DPR 523B (1/95)*Required Information Opportunities:Site Integrity:(Continues on Pg.3.)
78 State of California - The Resources AgencyDEPARTMENT OF PARKS AND RECREATIONCONTINUATION SHEET Description of Photo:Primary #HRI #TrinomialRecorded by:Date Recorded:

P3a. Description (Continued from Pg.1):

DPR 523L (11/98)*Required Information
UpdateContinuationPage 3 of3B6. Construction History (Continued from Pg.2):Lot Acre:Principal Building Sqft:Planning Zone:# of Stories:Years Surveyed:General Plan:# of Units:B13. Remarks (Continued from Pg.2):*Resource Name or #:(Assigned by Recorder)Listed in National Register:# of Buildings:
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1 RECORDING REQUESTED BY AND, WHEN RECORDED, MAIL TO: City Clerk City of Orange 300 E. Chapman Avenue Exempt from recording fees pursuant to Orange, California, 92866 Gov. Code Sections 6103 and 27383 Property Address: 405 E. Maple Avenue APN: 039-244-10 Mills Act Contract Number: 420.0-22 HISTORIC PROPERTY PRESERVATION AGREEMENT (MILLS ACT CONTRACT) entered into as of the date of BRADLEY SCHOENLEBEN and MEGHAN SCHOENLEBEN, as Husband and Wife as Community Property (following: RECITALS WHEREAS, the Mills Act (Government Code Section 50280 et seq.) provides cities with the opportunity to contract with owners of qualified historical properties whereby the owner promises to preserve and rehabilitate the property in return for a potential reduced property tax assessment; and WHEREAS, the City of Orange has established Historic Districts consisting of the Plaza Historic District, listed in the National Register of Historic Places; the Old Towne Orange Historic District, listed in the National Register of Historic Places; the local Old Towne Orange Historic District, designated by the Orange City Council; and the local Eichler Fairhaven, Fairhills, and Fairmeadow Historic Districts, designated by the Orange City Council; and the City desires to promote the character, quality of life, and historic features of said Districts to its citizens and visitors; and WHEREAS, the City is dedicated to the protection and stabilization of property values through maintaining and upgrading its older housing stock, through the use of incentives such as the Mills Act; and WHEREAS, the Mills Act also has beneficial effects on City businesses, economic stability and community pride by preserving important neighborhood historic resources; and WHEREAS, the use of the Mills Act will fulfill one of the goals of the 2010 General Plan Cultural Resources Element; specifically, 81 2
, CR-22); and WHEREAS, Owner possesses fee simple title in and to that certain real property, together with associated structures and improvements thereon, located at 405 E. Maple Avenue in the City of Orange, County of Orange, State of California, 039-244-10 and more specifically described in Exhibit A, which exhibit is attached hereto and made a part hereof (); and WHEREAS, the Historic Property is a qualified historical property under the Mills Act in that it is privately owned property which is not exempt from property taxation and is either: individually designated or is a contributing property within a designated district which is listed in the National Register of Historic Places, California Register of Historical Resources or Register of Historical Landmarks, California Points of Historical Interest, or is a contributing property in a locally designated historic district; and WHEREAS, Owner, in consideration for abiding by the terms of this Agreement shall be entitled to a reassessment of valuation of the Historic Property and any corresponding reduction in property taxes pursuant to the provisions of the California Revenue and Taxation Code; and accrued under this Agreement for improvements to (as defined below). To that end, as a condition of renewal, the City will require a revised schedule of improvements every ten years showing a plan for improvements commensurate with the tax savings; and WHEREAS, the City and Owner for their mutual benefit, now desire to enter into this Agreement to limit the use of the Historic Property to prevent inappropriate alterations, to ensure that characteristics of historic significance are preserved and maintained in an exemplary manner, and to carry out the purposes of Article 12 (commencing with Section 50280) of Chapter 1, Part 1, Division 1 of Title 5 of the California Government Code and Article 1.9 (commencing with Section 439) of Chapter 3, Part 2 of Division 1 of the California Revenue and Taxation Code. AGREEMENT NOW, THEREFORE, both Owner and City, in consideration of the mutual promises, covenants and conditions contained herein and the substantial public benefits to be derived therefrom, do hereby agree as follows: 1. APPLICABLE LAWS. This Agreement is made pursuant to California Government Code Sections 50280 through 50290 and Article 1.9 (commencing with Section 439) of Chapter 3, Part 2 of Division 1 of the California Revenue and Taxation Code and is subject to all of the provisions of those statutes. To the extent any of the provisions in this Agreement are inconsistent with the aforementioned provisions of the Government and Revenue and Taxation Codes, they are superseded by those Code Sections. 82 3

2. ASSESSMENT OF VALUATION. Property tax relief afforded to Owner pursuant to Chapter 3, Part 2 of Division 1 of the California Revenue and Taxation Code will be determined solely by the Orange County Office of the Assessor. City makes no representations regarding the actual tax savings any person may realize by entering into this Agreement. 3. PRESERVATION OF PROPERTY. Owner agrees to preserve and maintain the Historic Property and its character defining features. Character defining features include, but are not necessarily limited to, the general architectural form, style, materials, design, scale, details, mass, roofline and other aspects of the appearance of the exterior of the Historic Property. For purposes of identification of the Historic PProperty Inventory Form (DPR 523) is attached as Exhibit E. The Secretary of the Interior's Standards for Rehabilitation (Exhibit Bmaintenance standards (Exhibit C), attached hereto and incorporated herein by reference, shall constitute the minimum standards and conditions for preservation and rehabilitation of the Historic Property, and shall apply to the Historic Property throughout the term of this Agreement. Owner shall, where necessary, rehabilitate the Historic Property to conform to the rules and regulations of the Office of Historic Preservation of the California Department of Parks and Recreation, the Secretary of the Interior's Standards for Rehabilitation, the California Historical Building Code, and the Historic Preservation Design Standards for Old Towne and Eichler Design Standards. As consideration for the City to enter into this Agreement, the Owner agrees, at its own cost and expense, to complete, or cause to be completed, the work or improvements described in Exhibit D within the times established therefore in Exhibit D. The Owner shall secure any and all permits which may be required by the City or any other governmental agency affected by the construction of the work or improvements. The Owner accepts responsibility for and shall be responsible for identification of and compliance with all applicable laws pertaining to the construction and installation of the work or improvements described on Exhibit D and the contract or contracts pertaining thereto. The Owner will neither seek to hold nor hold the City liable for, and will hold the City harmless with respect to, any consequences of any failure by the Owner to correctly determine the applicability of any such requirements to any contract he/she/they enter into. In addition to the foregoing, the Owner hereby agrees to and will comply with all applicable local, state, and federal statutes, regulations, rules, codes (including building codes), ordinances, and pertaining to the use of the Historic Property. Owner must give the City immediate written notice on OwnerHistoric Property is in violation of any Applicable Laws. 4. INSPECTIONS AND ANNUAL REPORTING. Owner agrees to permit the examination, by prior appointment, of the interior and exterior of the Historic Property by the City at a minimum every five (5) years during the Agreement term to determine Owner's compliance with the terms and provisions of this Agreement. Owner agrees to provide the City with a report as to the status of the Historic Property annually within thirty (30) days following each anniversary of the 83 4
Effective Date of this Agreement. The annual report shall provide substantiation reasonably Historic Preservation Planner or in his/her absence the Director of Community Development that Owner has completed the work required by Exhibit D for the twelve month period preceding each anniversary of this Agreement, and whether the Historic Property has undergone any changed conditions, and whether Owner has received any public funds from other sources designated for the preservation or maintenance of the Historic Property and from whom such funds have been received. 5. PAYMENT OF ANNUAL FEE. The Owner shall pay the City an annual fee to cover administrative costs associated with this Agreement including but not limited to the reasonable cost of monitoring the Historic Property, performing required inspections, and enforcement of the Agreement. Said fee shall be payable to the City of Orange and shall be remitted to the Planning Division upon demand and prior to any required inspection. The amount of the annual inspection fee shall be established by the City and may be revised from time to time, which fee shall be set Failure to pay the required fee within 45 days of the due date will be considered a willful breach of this Agreement and may result in cancellation of the Agreement in accordance with the cancellation terms detailed below. 6. TERM. The term of this Agreement is for a period of ten (10) years. The initial term of this Agreement shall be from December 13, 2022 to and including December 13, 2032. 7. AUTOMATIC RENEWAL. On each yearly anniversary of the Effective Date of this Agreement ("renewal date"), one year shall be added automatically to the initial term of this Agreement, unless notice of non-renewal is given as provided in this Agreement. 8. EFFECT OF OUTSIDE FUNDS. If Owner receives funds designated for the preservation or maintenance of the Historic Property from any other public agency, this Agreement shall not be renewed except upon the vote of the City Council. 9. NOTICE OF NONRENEWAL. If in any year either the Owner or City desires not to renew this Agreement, that party shall serve written notice of nonrenewal to the other party in advance of the annual renewal date. Unless the notice is served by Owner to City at least ninety (90) days, or by City to Owner at least sixty (60) days prior to the renewal date, one year shall automatically be added to the term of the Agreement. Within fifteen (15) days of receipt by Owner of a notice of nonrenewal from the City, Owner may make a written protest. Upon receipt of such a protest the City Council shall set a hearing prior to the expiration of the renewal date of this Agreement or toll the renewal date until such hearing can reasonably held. Owner may furnish the City Council with any information which the Owner deems relevant; and shall furnish the City Council with any information it may require. At any time prior to the renewal date, City may withdraw its notice of nonrenewal. 10. EFFECT OF NOTICE NOT TO RENEW. If in any year either party serves notice of intent not to renew this Agreement, this Agreement shall remain in effect for the balance of the period remaining since the original execution date if not yet renewed, or the last renewal date of the Agreement, as the case may be. 84 5

11. UPDATE OF IMPROVEMENT SCHEDULE. At least ninety (90) days prior to the tenth (10th) anniversary of the Effective Date of this Agreement, and ninety (90) days prior to every tenth (10th) anniversary thereafter, Owner shall provide City with an updated schedule of rehabilitation maintenance items review and approval. Such updated schedule shall contain a list of proposed improvements and/or revisions to be accomplished during the next succeeding ten (10) years of the Agreement and a schedule for the construction of such improvements. Within thirty (30) days after the receipt of said updated schedule, Community Development shall either approve or disapprove such proposed schedule of proposed improvements, or shall respond in writing by stating what further information, if any, the City reasonably requires in order to determine the request complete and determine whether or not to grant the requested approval. Upon receipt of such a response, the Owner shall promptly furnish to the City such further information as may be reasonably requested. Director of Community Development (or his/her authorized representative), the Owner shall meet and confer with Planner for Historic Preservation or in his/her absence the Director of Community Development (or his/her designee) regarding matters arising hereunder with respect to the work and improvements and the progress in constructing the same. 12. INDEPENDENT ADVICE OF COUNSEL. The Owner, and each of them, represent and declare that in executing this Agreement he/she/they have relied solely upon his/her/their own judgment, belief and knowledge, and the advice and recommendations of his/her/their own independently selected counsel, concerning the nature, extent and duration of his/her/their rights and claims, and that he/she/they have not been influenced to any extent whatsoever in executing the same by the City or by any person representing the City. 13. ENFORCEMENT OF AGREEMENT. If the City determines the owner has breached any of the conditions of the Agreement provided for or has allowed the property to deteriorate to the point it no longer meets the standards for a qualified historical property, the City shall either cancel the Agreement or bring any action in court necessary to enforce the Agreement including, but not limited to an action to enforce the Agreement by specific performance to cure, correct or remedy any breach of the terms of this Agreement, to recover damages for any breach, or to obtain any other remedy consistent with the purpose of this Agreement. In the event of a default under the provisions of this Agreement by Owner, City shall give written notice to Owner specifying the alleged grounds for the default. Said notice shall be given by registered or certified mail addressed to the address stated in this Agreement. If such violation(s) is not corrected to the reasonable satisfaction of the City within thirty (30) days from the receipt of the notice of violation, or within such reasonable time as may be required to cure the breach or default, provided that acts to cure, correct or remedy such breach or default are commenced within thirty (30) days and thereafter diligently pursued to completion, then City may, without further notice, institute legal action. Except as otherwise expressly stated in this Agreement, the rights and remedies of the City are cumulative, and the exercise by the City of one or more of such rights or remedies shall not preclude the exercise by it, at the same or different times, of any other rights or remedies for the same default or any other default by the Owner. Any failure or delay by the City in asserting any 85 6
of its right and remedies as to a breach of any of the covenants, conditions or agreements set forth herein shall not operate as a waiver of such breach or of any such rights or remedies, or deprive the City of its right to institute and maintain any actions or proceedings which it may deem necessary to protect, assert or enforce such rights or remedies. A waiver by the City of a breach shall not be construed as a waiver of any succeeding breach of the same or other covenants, conditions or agreements set forth in this Agreement. 14. CANCELLATION. In lieu of bringing an action to enforce the Agreement City may cancel this Agreement if City determines Owner has breached any of the conditions or covenants of this Agreement or has allowed the Historic Property to deteriorate to the point that it no longer meets the standards for a qualified historical property. City may also cancel this Agreement if it determines Owner has failed to rehabilitate the Historic Property in the manner specified in this Agreement. 15. NOTICE OF CANCELLATION. This Agreement cannot be canceled until after City has given notice and has held a public hearing as required by Government Code Section 50285. Notice of the hearing shall be mailed to the last known address of each owner of property within 300 feet of the Historic Property and shall be published in accordance with Government Code Section 6061. 16. CANCELLATION FEE. If City cancels this Agreement in accordance with Section 15 above, Owner shall pay a cancellation fee of twelve and one-half percent (12-1/2%) of the current fair market value of the Historic Property at the time of cancellation. The current fair market value shall be determined by the County Assessor as though the Historic Property were free of the restriction on the Historic Property imposed pursuant to this Agreement. The cancellation fee shall be paid to the County Auditor at such time and in such manner as the County Auditor shall prescribe. 17. NOTICES. All notices required by or provided for in the Agreement shall be given in writing and may be mailed or delivered in person at the address of the respective parties as specified below or at any other address as may be later specified by the parties. Deposit of notice in the mail, postage prepaid, shall be deemed receipt of the notice. City of Orange Attn.: City Clerk Bradley and Meghan Schoenleben 300 E. Chapman Avenue 405 E. Maple Avenue Orange, CA 92866 Orange, CA 92866 18. NO COMPENSATION. Owner shall not receive any payment from the City in consideration of the obligations imposed under this Agreement. The Owner acknowledges and agrees that the consideration for the execution of this Agreement is the substantial public benefit to be derived therefrom and the advantage that will accrue to Owner as a result of the effect upon the assessed value of the Historic Property on account of the restrictions on the use and preservation of the Historic Property. 86 7

19. REMEDY IF AGREEMENT HELD NOT ENFORCEABLE. In the event it is finally determined this Agreement does not constitute an enforceable restriction within the meaning of the applicable provisions of the California Government Code and the California Revenue and Taxation Code, except for an unenforceability arising from the cancellation or nonrenewal of this Agreement, then this Agreement shall be null and void and without further effect and the Historic Property subject to this Agreement shall from that time be free from any restriction whatsoever under this Agreement without any payment or further act of the parties to this Agreement. 20. ACQUISITION OF PROPERTY BY EMINENT DOMAIN; CANCELLATION OF CONTRACT; INAPPLICABILITY TO DETERMINATION OF VALUE. In the event that the Historic Property is acquired in whole or part by eminent domain or other acquisition by any entity authorized to exercise the power of eminent domain, and the acquisition is determined by the City to frustrate the purpose of the Agreement, the Agreement shall be canceled and no fee shall be imposed under Section 17, above. The Agreement shall be deemed null and void for all purposes of determining the value of the Historic Property so acquired. If, subsequent to the filing of an action in eminent domain, the proposed condemnation is abandoned by the condemning agency, the restrictions on the use of the Historic Property included in this Agreement shall, without further agreement of the parties, be reinstituted and the terms of this Agreement shall continue in full force and effect. 21. EFFECT OF AGREEMENT. None of the terms, provisions or conditions of this Agreement shall be deemed to create a partnership between the parties hereto and any of their heirs, successors or assigns, nor shall such terms, provisions or conditions cause the parties hereto to be considered joint venturers or members of any joint enterprise. 22. SUCCESSORS AND ASSIGNS. This Agreement is binding upon and shall inure to the benefit of all successors in interest of the Owner, regardless of the tax exempt status of any subsequent owner. A successor in interest shall have the same rights and obligations under this Agreement as the original owner who entered into this Agreement. 23. REQUIREMENTS RELATED TO TRANSFER OF HISTORIC PROPERTY. In the event of any that, at least thirty (30) days prior to such Transfer, it shall give written notice to the City of such proposed Transfer, including the name(s) of the transferee(s). In addition, the Owner and the proposed transferee(s) shall enter into and deliver to the City through the escrow for the Transfer of the Historic Property an assignment and assumption agreement in a form satisfactory to the City's Attorney or such other evidence as may be satisfactory to the City that the transferee(s) has (have) assumed the Owner's obligations set forth in this Agreement. Upon the Transfer of the Historic Property and the assumption of the obligations hereunder by the transferee(s), the Owner's liability for performance shall be terminated as to any obligation to be performed hereunder after the date of such Transfer. 24. RECORDATION. City shall record a copy of this Agreement with the Office of the County Recorder of the County of Orange. 87 8

25. AMENDMENTS. This Agreement may be amended, in whole or in part, only by a written and recorded instrument executed by the parties hereto, except that the Director of Community Development is authorized to amend the list of required projects in Exhibit D. 26. COUNTERPARTS. This Agreement may be executed in any number of counterparts, each of which shall be deemed an original and all of which shall constitute one and the same agreement with the same effect as if all parties had signed the same signature page. Any signature page of this Agreement may be detached from any counterpart of this Agreement and re-attached to any other counterpart of this Agreement identical in form hereto but having attached to it one or more additional signature pages. 27. Community Development (or his/her designated representative) following approval of this Agreement by the City. Director of Community Development (or his/her authorized representative). of Community Development shall have the authority to issue interpretations, waive provisions and enter into amendments of this Agreement on behalf of the City so long as such actions do not change the uses permitted on the Historic Property or the purpose of this Agreement. Such amendments may include extensions of time or amendments to the projects specified in Exhibit D. All other waivers or amendments shall require the written approval and consent of the City Council. [Remainder of page intentionally left blank; signatures on next page] 88 9
IN WITNESS WHEREOF, the City and the Owner have executed this Agreement. Dated: , 2022 Bradley Schoenleben Dated: , 2022 Meghan Schoenleben CITY OF ORANGE, a municipal corporation Dated: , 2022 By: Mark A. Murphy Mayor ATTEST: APPROVED AS TO FORM: Pamela Coleman Mary E. Binning City Clerk Senior Assistant City Attorney 89 10
ACKNOWLEDGEMENT State of California County of ____________ On before me, , a Notary Public in and for the State of California, personally appeared who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. Signature __________________________________ (Seal) A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. 90 11
EXHIBIT A LEGAL DESCRIPTION OF HISTORIC PROPERTY REAL PROPERTY IN THE CITY OF ORANGE, COUNTY OF ORANGE, STATE OF CALIFORNIA, DESCRIBED AS: Orange, State of California, as per Map recorded in Book 4, page 8 of Miscellaneous Maps, recorded in the Office of the County Recorder of Said County. [APN 039-244-10] 91 12
EXHIBIT B SECRETARY OF THE INTERIOR'S STANDARDS FOR REHABILITATION 1. Every reasonable effort shall be made to provide a compatible use for a property, which requires a minimal alteration of the building structure, or site and its environment, or to use a property for its originally intended purpose. 2. The distinguishing original qualities or character of a building, structure, or site and its environment shall not be destroyed. The removal or alteration of any historic material or distinctive architectural features should be avoided when possible. 3. All buildings, structures, and sites shall be recognized as products of their own time. Alterations that have no historical basis and which seek to create an earlier appearance shall be discouraged. 4. Changes which may have taken place in the course of time are evidence of the history and development of a building, structure or site and its environment. These changes may have acquired significance in their own right, and this significance shall be recognized and respected. 5. Distinctive stylistic features or examples of skilled craftsmanship which characterize a building, structure or site shall be treated with sensitivity. 6. Deteriorated architectural features shall be repaired rather than replaced, wherever possible. In the event replacement is necessary, the new material should match the material being replaced in composition, design, color, texture, and other visual qualities. Repair or replacement of missing architectural features should be based on accurate duplications of features, substantiated by historic, physical, or pictorial evidence rather than on conjectural designs or the availability of different architectural elements from other buildings or structures. 7. The surface cleaning of structures shall be undertaken with the gentlest means possible. Sandblasting and other cleaning methods that will damage the historic building materials shall not be undertaken. 8. Every reasonable effort shall be made to protect and preserve archeological resources affected by, or adjacent to, any project. 9. Contemporary design for alterations and additions to existing properties shall not be discouraged when such alterations and additions do not destroy significant historical, architectural or cultural material, and such design is compatible with the size, scale, color, material and character of the property, neighborhood or environment. 10. Wherever possible, new additions or alterations to structures shall be done in such a manner that, if such additions or alterations were to be removed in the future, the essential form and integrity of the structure would be unimpaired. 92 13
EXHIBIT C CITY OF ORANGE HISTORIC PROPERTY MAINTENANCE STANDARDS All buildings, structures, yards and other improvements shall be maintained in a manner which does not detract from the appearance of the immediate neighborhood. The following conditions are prohibited: 1. Dilapidated, deteriorating, or unrepaired structures, such as: fences, roofs, doors, walls and windows. 2. Publicly visible storage of scrap lumber, junk, trash or debris. 3. Publicly visible storage of abandoned, discarded or unused objects or equipment, such as automobiles, automobile parts, furniture, stoves, refrigerators, cans, containers or similar items. 4. Stagnant water or excavations, including pools or spas. 5. Any device, decoration, design, structure or vegetation that is unsightly by reason of its height, condition, or its inappropriate location. 93 14
EXHIBIT D REHABILITATION/MAINTENANCE SCOPE OF WORK [Attached.] 94 REHABILITATION/MAINTENANCE SCOPE OF WORK 405 E. Maple Avenue Priority Description of Work Cost Estimate Completion Date 1. Reinforce weak floors throughout the house and add support. Spot treat flooring for termites. $6,000 2022 2. Plumbing: Fix outdated plumbing in bathrooms, repair damaged flooring and damaged walls $15,000.00 2023 3. Roof: Fix roof rafters detaching. Fix garage roof sagging. Fix kitchen plumbing and broken tile $5,000 2024 4. Electrical: Rewire home and garage. Remove knob and tube wiring. Update electrical box. $15,000 2024 5. Continue Electrical work from 2024 $15,000 2025 6. Replace non-historic window in rear elevation with appropriate wood window per Historic Preservation Design Standards. Restore historic hardware. $4,000 2025 7. Foundation: Reinforce sagging weak floors. Add additional foundation and flooring support. $20,000.00 2026 8. Repair and restore historic wooden glass in windows and screens in conformance with the Historic Preservation Design Standards. Consulting with Historic Preservation Planning staff if needed to replace. $5,000 2027 9. Consult with a Historic Preservation consultant/specialist for damage to rafter tails. $2,500 2027 10. HVAC: Add central air and heat to home $20,000 2028 11. Repair and reinforce cracks ceilings $5,000 2029 12. Repair historic porch beams and restore/repair original porch material. $5,000 2029 13. Tent for termites $5,000 2030 14. Roof: replace roof $25,000 2031 95 15. Paint exterior house $15,000 2032 TOTAL $158,500 96 15
HISTORIC PROPERTY INVENTORY FORM (DPR 523) [Attached.] 97 State of California - The Resources AgencyDEPARTMENT OF PARKS AND RECREATIONPRIMARY RECORDPage 1 of*b. USGS 7.5' Quad:Date:TR1/4 of1/4 ofSecB.M.d. UTM:mE/mNe. Other Locational Data:P1. Other Identifier:*P2. Location:c. Address:Zip:(Give more than one for large and/or linear resources)(Describe resource and its major elements. Include design, materials, condition, alterations, size, setting, and boudnaries. Continues on Pg.3.);; ;Zone 'and(P2b and P2c or P2d. Attach a location map as necessary.)City:-*P3a. Description:*P3b. Resource Attributes:(List attributes and codes) (Describe)(Cite survey report and other sources, or enter "none.")*Attachments:Continuation Sheet(s)Building, Structure, and Object Record (Name, affiliation, and address) (View, date, accession #)*P6. Date Constructed/ Age and Source:*P7. Owner and Address:*P8: Recorded by:*P10. Survey Type:*P11. Report Citation:DPR 523A (1/95)*Required Information *Resource Name or #:(Assigned by Recorder)
*P9. Date Recorded:

Primary #HRI #Date:NRHP Status CodeTrinomialOther Listings:Review Code:Reviewer:*a. County:P5b. Description of Photo:Unrestricted3Site*P4. Resources Present:BuildingObjectElement of DistrictOther (Isolates, etc.)DistrictStructureNot for Publication District RecordPhotograph RecordLocation MapArtifact RecordArchaeological RecordNONELinear Feature RecordRock Art RecordMilling Station RecordOther (List):

Materials:PrehistoricHistoricBoth
98 B1. Historic Name:B3. Original Use:B4. Present Use:*B5. Architectural Style:*B6. Construction History:(Construction date, atlerations, and date of alterations)Date of Construction:*B9. Architect or Builder:Period of Significance:*B10. Significance: Property Type:(Discuss importance in terms of historical or architectural context as defined by theme, period, and geographic scope. Also address integrity. Continues on Pg.4.)*B8. Related Features:Date:Original Location:*B7. Moved?Theme: Area:Structural Integrity:(List attributes and codes)*Date of Evaluation:B11. Additional Resource Attributes:(This space reserved for official comments.)*B14. Evaluator:B13. Remarks:

State of California - The Resources AgencyDEPARTMENT OF PARKS AND RECREATIONBUILDING, STRUCTURE, AND OBJECT RECORD *B12. References:
*NRHP Status CodePrimary #HRI #YesNoUnknownPage 2 of3*Resource Name or #:(Assigned by Recorder)PrehistoricHistoricBothB2. Common Name:Applicable Criteria:(Sketch Map with North arrow required.)DPR 523B (1/95)*Required Information Opportunities:Site Integrity:(Continues on Pg.3.)
99 State of California - The Resources AgencyDEPARTMENT OF PARKS AND RECREATIONCONTINUATION SHEET Description of Photo:Primary #HRI #TrinomialRecorded by:Date Recorded:

P3a. Description (Continued from Pg.1):

DPR 523L (11/98)*Required Information
UpdateContinuationPage 3 of3B6. Construction History (Continued from Pg.2):Lot Acre:Principal Building Sqft:Planning Zone:# of Stories:Years Surveyed:General Plan:# of Units:B13. Remarks (Continued from Pg.2):*Resource Name or #:(Assigned by Recorder)Listed in National Register:# of Buildings:
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1 RECORDING REQUESTED BY AND, WHEN RECORDED, MAIL TO: City Clerk City of Orange 300 E. Chapman Avenue Exempt from recording fees pursuant to Orange, California, 92866 Gov. Code Sections 6103 and 27383 Property Address: 605 S. Woodland Street APN: 094-451-07 Mills Act Contract Number 422.0-22 HISTORIC PROPERTY PRESERVATION AGREEMENT (MILLS ACT CONTRACT) entered into as of the date Shar(reference to the following: RECITALS WHEREAS, the Mills Act (Government Code Section 50280 et seq.) provides cities with the opportunity to contract with owners of qualified historical properties whereby the owner promises to preserve and rehabilitate the property in return for a potential reduced property tax assessment; and WHEREAS, the City of Orange has established Historic Districts consisting of the Plaza Historic District, listed in the National Register of Historic Places; the Old Towne Orange Historic District, listed in the National Register of Historic Places; the local Old Towne Orange Historic District, designated by the Orange City Council; and the local Eichler Fairhaven, Fairhills, and Fairmeadow Historic Districts, designated by the Orange City Council; and the City desires to promote the character, quality of life, and historic features of said Districts to its citizens and visitors; and WHEREAS, the City is dedicated to the protection and stabilization of property values through maintaining and upgrading its older housing stock, through the use of incentives such as the Mills Act; and WHEREAS, the Mills Act also has beneficial effects on City businesses, economic stability and community pride by preserving important neighborhood historic resources; and WHEREAS, the use of the Mills Act will fulfill one of the goals of the 2010 General Plan Cultural Resources Element; specifically, 102
2 , CR-22); and WHEREAS, Owner possesses fee simple title in and to that certain real property, together with associated structures and improvements thereon, located at 605 S. Woodland Street in the City of Orange, County of Orange, State of California, 094-451-07 and more specifically described in Exhibit A, which exhibit is attached hereto and made a part hereof (); and WHEREAS, the Historic Property is a qualified historical property under the Mills Act in that it is privately owned property which is not exempt from property taxation and is either: individually designated or is a contributing property within a designated district which is listed in the National Register of Historic Places, California Register of Historical Resources or Register of Historical Landmarks, California Points of Historical Interest, or is a contributing property in a locally designated historic district; and WHEREAS, Owner, in consideration for abiding by the terms of this Agreement shall be entitled to a reassessment of valuation of the Historic Property and any corresponding reduction in property taxes pursuant to the provisions of the California Revenue and Taxation Code; and savings accrued under this Agreement for improvements to (as defined below). To that end, as a condition of renewal, the City will require a revised schedule of improvements every ten years showing a plan for improvements commensurate with the tax savings; and WHEREAS, the City and Owner for their mutual benefit, now desire to enter into this Agreement to limit the use of the Historic Property to prevent inappropriate alterations, to ensure that characteristics of historic significance are preserved and maintained in an exemplary manner, and to carry out the purposes of Article 12 (commencing with Section 50280) of Chapter 1, Part 1, Division 1 of Title 5 of the California Government Code and Article 1.9 (commencing with Section 439) of Chapter 3, Part 2 of Division 1 of the California Revenue and Taxation Code. AGREEMENT NOW, THEREFORE, both Owner and City, in consideration of the mutual promises, covenants and conditions contained herein and the substantial public benefits to be derived therefrom, do hereby agree as follows: 1. APPLICABLE LAWS. This Agreement is made pursuant to California Government Code Sections 50280 through 50290 and Article 1.9 (commencing with Section 439) of Chapter 3, Part 2 of Division 1 of the California Revenue and Taxation Code and is subject to all of the provisions of those statutes. To the extent any of the provisions in this Agreement are inconsistent with the aforementioned provisions of the Government and Revenue and Taxation Codes, they are superseded by those Code Sections. 103
3 2. ASSESSMENT OF VALUATION. Property tax relief afforded to Owner pursuant to Chapter 3, Part 2 of Division 1 of the California Revenue and Taxation Code will be determined solely by the Orange County Office of the Assessor. City makes no representations regarding the actual tax savings any person may realize by entering into this Agreement. 3. PRESERVATION OF PROPERTY. Owner agrees to preserve and maintain the Historic Property and its character defining features. Character defining features include, but are not necessarily limited to, the general architectural form, style, materials, design, scale, details, mass, roofline and other aspects of the appearance of the exterior of the Historic Property. For purposes of identification of the Historic PProperty Inventory Form (DPR 523) is attached as Exhibit E. The Secretary of the Interior's Standards for Rehabilitation (Exhibit Bmaintenance standards (Exhibit C), attached hereto and incorporated herein by reference, shall constitute the minimum standards and conditions for preservation and rehabilitation of the Historic Property, and shall apply to the Historic Property throughout the term of this Agreement. Owner shall, where necessary, rehabilitate the Historic Property to conform to the rules and regulations of the Office of Historic Preservation of the California Department of Parks and Recreation, the Secretary of the Interior's Standards for Rehabilitation, the California Historical Building Code, and the Historic Preservation Design Standards for Old Towne and Eichler Design Standards. As consideration for the City to enter into this Agreement, the Owner agrees, at its own cost and expense, to complete, or cause to be completed, the work or improvements described in Exhibit D within the times established therefore in Exhibit D. The Owner shall secure any and all permits which may be required by the City or any other governmental agency affected by the construction of the work or improvements. The Owner accepts responsibility for and shall be responsible for identification of and compliance with all applicable laws pertaining to the construction and installation of the work or improvements described on Exhibit D and the contract or contracts pertaining thereto. The Owner will neither seek to hold nor hold the City liable for, and will hold the City harmless with respect to, any consequences of any failure by the Owner to correctly determine the applicability of any such requirements to any contract he/she/they enter into. In addition to the foregoing, the Owner hereby agrees to and will comply with all applicable local, state, and federal statutes, regulations, rules, codes (including building codes), ordinances, and pertaining to the use of the Historic Property. Owner must give the City immediate written notice on Ownerming aware that the use or condition of the Historic Property is in violation of any Applicable Laws. 4. INSPECTIONS AND ANNUAL REPORTING. Owner agrees to permit the examination, by prior appointment, of the interior and exterior of the Historic Property by the City at a minimum every five (5) years during the Agreement term to determine Owner's compliance with the terms and provisions of this Agreement. Owner agrees to provide the City with a report as to the status of the Historic Property annually within thirty (30) days following each anniversary of the 104
4 Effective Date of this Agreement. The annual report shall provide substantiation reasonably Historic Preservation Planner or in his/her absence the Director of Community Development that Owner has completed the work required by Exhibit D for the twelve month period preceding each anniversary of this Agreement, and whether the Historic Property has undergone any changed conditions, and whether Owner has received any public funds from other sources designated for the preservation or maintenance of the Historic Property and from whom such funds have been received. 5. PAYMENT OF ANNUAL FEE. The Owner shall pay the City an annual fee to cover administrative costs associated with this Agreement including but not limited to the reasonable cost of monitoring the Historic Property, performing required inspections, and enforcement of the Agreement. Said fee shall be payable to the City of Orange and shall be remitted to the Planning Division upon demand and prior to any required inspection. The amount of the annual inspection fee shall be established by the City and may be revised from time to time, which fee shall be set Schedule of Fees and Charges. Failure to pay the required fee within 45 days of the due date will be considered a willful breach of this Agreement and may result in cancellation of the Agreement in accordance with the cancellation terms detailed below. 6. TERM. The term of this Agreement is for a period of ten (10) years. The initial term of this Agreement shall be from December 13, 2022 to and including December 13, 2032. 7. AUTOMATIC RENEWAL. On each yearly anniversary of the Effective Date of this Agreement ("renewal date"), one year shall be added automatically to the initial term of this Agreement, unless notice of non-renewal is given as provided in this Agreement. 8. EFFECT OF OUTSIDE FUNDS. If Owner receives funds designated for the preservation or maintenance of the Historic Property from any other public agency, this Agreement shall not be renewed except upon the vote of the City Council. 9. NOTICE OF NONRENEWAL. If in any year either the Owner or City desires not to renew this Agreement, that party shall serve written notice of nonrenewal to the other party in advance of the annual renewal date. Unless the notice is served by Owner to City at least ninety (90) days, or by City to Owner at least sixty (60) days prior to the renewal date, one year shall automatically be added to the term of the Agreement. Within fifteen (15) days of receipt by Owner of a notice of nonrenewal from the City, Owner may make a written protest. Upon receipt of such a protest the City Council shall set a hearing prior to the expiration of the renewal date of this Agreement or toll the renewal date until such hearing can reasonably held. Owner may furnish the City Council with any information which the Owner deems relevant; and shall furnish the City Council with any information it may require. At any time prior to the renewal date, City may withdraw its notice of nonrenewal. 10. EFFECT OF NOTICE NOT TO RENEW. If in any year either party serves notice of intent not to renew this Agreement, this Agreement shall remain in effect for the balance of the period remaining since the original execution date if not yet renewed, or the last renewal date of the Agreement, as the case may be. 105
5 11. UPDATE OF IMPROVEMENT SCHEDULE. At least ninety (90) days prior to the tenth (10th) anniversary of the Effective Date of this Agreement, and ninety (90) days prior to every tenth (10th) anniversary thereafter, Owner shall provide City with an updated schedule of rehabilitation maintenance items . Such updated schedule shall contain a list of proposed improvements and/or revisions to be accomplished during the next succeeding ten (10) years of the Agreement and a schedule for the construction of such improvements. Within thirty (30) days after the receipt of said updated schedule, Community Development shall either approve or disapprove such proposed schedule of proposed improvements, or shall respond in writing by stating what further information, if any, the City reasonably requires in order to determine the request complete and determine whether or not to grant the requested approval. Upon receipt of such a response, the Owner shall promptly furnish to the City such further information as may be reasonably requested. From tDirector of Community Development (or his/her authorized representative), the Owner shall meet and confer with Planner for Historic Preservation or in his/her absence the Director of Community Development (or his/her designee) regarding matters arising hereunder with respect to the work and improvements and the progress in constructing the same. 12. INDEPENDENT ADVICE OF COUNSEL. The Owner, and each of them, represent and declare that in executing this Agreement he/she/they have relied solely upon his/her/their own judgment, belief and knowledge, and the advice and recommendations of his/her/their own independently selected counsel, concerning the nature, extent and duration of his/her/their rights and claims, and that he/she/they have not been influenced to any extent whatsoever in executing the same by the City or by any person representing the City. 13. ENFORCEMENT OF AGREEMENT. If the City determines the owner has breached any of the conditions of the Agreement provided for or has allowed the property to deteriorate to the point it no longer meets the standards for a qualified historical property, the City shall either cancel the Agreement or bring any action in court necessary to enforce the Agreement including, but not limited to an action to enforce the Agreement by specific performance to cure, correct or remedy any breach of the terms of this Agreement, to recover damages for any breach, or to obtain any other remedy consistent with the purpose of this Agreement. In the event of a default under the provisions of this Agreement by Owner, City shall give written notice to Owner specifying the alleged grounds for the default. Said notice shall be given by registered or certified mail addressed to the address stated in this Agreement. If such violation(s) is not corrected to the reasonable satisfaction of the City within thirty (30) days from the receipt of the notice of violation, or within such reasonable time as may be required to cure the breach or default, provided that acts to cure, correct or remedy such breach or default are commenced within thirty (30) days and thereafter diligently pursued to completion, then City may, without further notice, institute legal action. Except as otherwise expressly stated in this Agreement, the rights and remedies of the City are cumulative, and the exercise by the City of one or more of such rights or remedies shall not preclude the exercise by it, at the same or different times, of any other rights or remedies for the same default or any other default by the Owner. Any failure or delay by the City in asserting any 106
6 of its right and remedies as to a breach of any of the covenants, conditions or agreements set forth herein shall not operate as a waiver of such breach or of any such rights or remedies, or deprive the City of its right to institute and maintain any actions or proceedings which it may deem necessary to protect, assert or enforce such rights or remedies. A waiver by the City of a breach shall not be construed as a waiver of any succeeding breach of the same or other covenants, conditions or agreements set forth in this Agreement. 14. CANCELLATION. In lieu of bringing an action to enforce the Agreement City may cancel this Agreement if City determines Owner has breached any of the conditions or covenants of this Agreement or has allowed the Historic Property to deteriorate to the point that it no longer meets the standards for a qualified historical property. City may also cancel this Agreement if it determines Owner has failed to rehabilitate the Historic Property in the manner specified in this Agreement. 15. NOTICE OF CANCELLATION. This Agreement cannot be canceled until after City has given notice and has held a public hearing as required by Government Code Section 50285. Notice of the hearing shall be mailed to the last known address of each owner of property within 300 feet of the Historic Property and shall be published in accordance with Government Code Section 6061. 16. CANCELLATION FEE. If City cancels this Agreement in accordance with Section 15 above, Owner shall pay a cancellation fee of twelve and one-half percent (12-1/2%) of the current fair market value of the Historic Property at the time of cancellation. The current fair market value shall be determined by the County Assessor as though the Historic Property were free of the restriction on the Historic Property imposed pursuant to this Agreement. The cancellation fee shall be paid to the County Auditor at such time and in such manner as the County Auditor shall prescribe. 17. NOTICES. All notices required by or provided for in the Agreement shall be given in writing and may be mailed or delivered in person at the address of the respective parties as specified below or at any other address as may be later specified by the parties. Deposit of notice in the mail, postage prepaid, shall be deemed receipt of the notice. City of Orange Attn.: City Clerk 300 E. Chapman Avenue 605 S. Woodland Street Orange, CA 92866 Orange, CA 92869 18. NO COMPENSATION. Owner shall not receive any payment from the City in consideration of the obligations imposed under this Agreement. The Owner acknowledges and agrees that the consideration for the execution of this Agreement is the substantial public benefit to be derived therefrom and the advantage that will accrue to Owner as a result of the effect upon the assessed value of the Historic Property on account of the restrictions on the use and preservation of the Historic Property. 107
7 19. REMEDY IF AGREEMENT HELD NOT ENFORCEABLE. In the event it is finally determined this Agreement does not constitute an enforceable restriction within the meaning of the applicable provisions of the California Government Code and the California Revenue and Taxation Code, except for an unenforceability arising from the cancellation or nonrenewal of this Agreement, then this Agreement shall be null and void and without further effect and the Historic Property subject to this Agreement shall from that time be free from any restriction whatsoever under this Agreement without any payment or further act of the parties to this Agreement. 20. ACQUISITION OF PROPERTY BY EMINENT DOMAIN; CANCELLATION OF CONTRACT; INAPPLICABILITY TO DETERMINATION OF VALUE. In the event that the Historic Property is acquired in whole or part by eminent domain or other acquisition by any entity authorized to exercise the power of eminent domain, and the acquisition is determined by the City to frustrate the purpose of the Agreement, the Agreement shall be canceled and no fee shall be imposed under Section 17, above. The Agreement shall be deemed null and void for all purposes of determining the value of the Historic Property so acquired. If, subsequent to the filing of an action in eminent domain, the proposed condemnation is abandoned by the condemning agency, the restrictions on the use of the Historic Property included in this Agreement shall, without further agreement of the parties, be reinstituted and the terms of this Agreement shall continue in full force and effect. 21. EFFECT OF AGREEMENT. None of the terms, provisions or conditions of this Agreement shall be deemed to create a partnership between the parties hereto and any of their heirs, successors or assigns, nor shall such terms, provisions or conditions cause the parties hereto to be considered joint venturers or members of any joint enterprise. 22. SUCCESSORS AND ASSIGNS. This Agreement is binding upon and shall inure to the benefit of all successors in interest of the Owner, regardless of the tax exempt status of any subsequent owner. A successor in interest shall have the same rights and obligations under this Agreement as the original owner who entered into this Agreement. 23. REQUIREMENTS RELATED TO TRANSFER OF HISTORIC PROPERTY. In the event of any that, at least thirty (30) days prior to such Transfer, it shall give written notice to the City of such proposed Transfer, including the name(s) of the transferee(s). In addition, the Owner and the proposed transferee(s) shall enter into and deliver to the City through the escrow for the Transfer of the Historic Property an assignment and assumption agreement in a form satisfactory to the City's Attorney or such other evidence as may be satisfactory to the City that the transferee(s) has (have) assumed the Owner's obligations set forth in this Agreement. Upon the Transfer of the Historic Property and the assumption of the obligations hereunder by the transferee(s), the Owner's liability for performance shall be terminated as to any obligation to be performed hereunder after the date of such Transfer. 24. RECORDATION. City shall record a copy of this Agreement with the Office of the County Recorder of the County of Orange. 108
8 25. AMENDMENTS. This Agreement may be amended, in whole or in part, only by a written and recorded instrument executed by the parties hereto, except that the Director of Community Development is authorized to amend the list of required projects in Exhibit D. 26. COUNTERPARTS. This Agreement may be executed in any number of counterparts, each of which shall be deemed an original and all of which shall constitute one and the same agreement with the same effect as if all parties had signed the same signature page. Any signature page of this Agreement may be detached from any counterpart of this Agreement and re-attached to any other counterpart of this Agreement identical in form hereto but having attached to it one or more additional signature pages. 27. Community Development (or his/her designated representative) following approval of this Agreement by the City. The City shall maintain authority of this Agreement through the CiDirector of Community Development (or his/her authorized representative). of Community Development shall have the authority to issue interpretations, waive provisions and enter into amendments of this Agreement on behalf of the City so long as such actions do not change the uses permitted on the Historic Property or the purpose of this Agreement. Such amendments may include extensions of time or amendments to the projects specified in Exhibit D. All other waivers or amendments shall require the written approval and consent of the City Council. [Remainder of page intentionally left blank; signatures on next page] 109
9 IN WITNESS WHEREOF, the City and the Owner have executed this Agreement. Dated: , 2022 CITY OF ORANGE, a municipal corporation Dated: , 2022 By: Mark A. Murphy Mayor ATTEST: APPROVED AS TO FORM: Pamela Coleman Mary E. Binning City Clerk Senior Assistant City Attorney 110
10 ACKNOWLEDGEMENT State of California County of ____________ On before me, , a Notary Public in and for the State of California, personally appeared who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. Signature __________________________________ (Seal) A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. 111
11 EXHIBIT A LEGAL DESCRIPTION OF HISTORIC PROPERTY REAL PROPERTY IN THE CITY OF ORANGE, COUNTY OF ORANGE, STATE OF CALIFORNIA, DESCRIBED AS: N-TRACT: 3545 BLOCK: LOT: 53. [APN 094-451-07] 112
12 EXHIBIT B SECRETARY OF THE INTERIOR'S STANDARDS FOR REHABILITATION 1. Every reasonable effort shall be made to provide a compatible use for a property, which requires a minimal alteration of the building structure, or site and its environment, or to use a property for its originally intended purpose. 2. The distinguishing original qualities or character of a building, structure, or site and its environment shall not be destroyed. The removal or alteration of any historic material or distinctive architectural features should be avoided when possible. 3. All buildings, structures, and sites shall be recognized as products of their own time. Alterations that have no historical basis and which seek to create an earlier appearance shall be discouraged. 4. Changes which may have taken place in the course of time are evidence of the history and development of a building, structure or site and its environment. These changes may have acquired significance in their own right, and this significance shall be recognized and respected. 5. Distinctive stylistic features or examples of skilled craftsmanship which characterize a building, structure or site shall be treated with sensitivity. 6. Deteriorated architectural features shall be repaired rather than replaced, wherever possible. In the event replacement is necessary, the new material should match the material being replaced in composition, design, color, texture, and other visual qualities. Repair or replacement of missing architectural features should be based on accurate duplications of features, substantiated by historic, physical, or pictorial evidence rather than on conjectural designs or the availability of different architectural elements from other buildings or structures. 7. The surface cleaning of structures shall be undertaken with the gentlest means possible. Sandblasting and other cleaning methods that will damage the historic building materials shall not be undertaken. 8. Every reasonable effort shall be made to protect and preserve archeological resources affected by, or adjacent to, any project. 9. Contemporary design for alterations and additions to existing properties shall not be discouraged when such alterations and additions do not destroy significant historical, architectural or cultural material, and such design is compatible with the size, scale, color, material and character of the property, neighborhood or environment. 10. Wherever possible, new additions or alterations to structures shall be done in such a manner that, if such additions or alterations were to be removed in the future, the essential form and integrity of the structure would be unimpaired. 113
13 EXHIBIT C CITY OF ORANGE HISTORIC PROPERTY MAINTENANCE STANDARDS All buildings, structures, yards and other improvements shall be maintained in a manner which does not detract from the appearance of the immediate neighborhood. The following conditions are prohibited: 1. Dilapidated, deteriorating, or unrepaired structures, such as: fences, roofs, doors, walls and windows. 2. Publicly visible storage of scrap lumber, junk, trash or debris. 3. Publicly visible storage of abandoned, discarded or unused objects or equipment, such as automobiles, automobile parts, furniture, stoves, refrigerators, cans, containers or similar items. 4. Stagnant water or excavations, including pools or spas. 5. Any device, decoration, design, structure or vegetation that is unsightly by reason of its height, condition, or its inappropriate location. 114
14 EXHIBIT D REHABILITATION/MAINTENANCE SCOPE OF WORK [Attached.] 115
EXHIBIT “D”REHABILITATION/MAINTENANCE SCOPE OF WORK605 S Woodland StreetPriorityDescription of WorkCost EstimateCompletion Date1.Replace roof$36,000.0020222.Replace downspouts$591.0020223.Remove existing exterior storage closet$1,500.0020234. Limited replacement of exterior plywoodcladding$10,000.00 20235.Prepare/prime/repaint exterior$9,000.0020246.Repair electrical outlets in interior$500.0020247. Repair or replace existing plywood siding atnorth atrium wallin-kind$4,000.00 2025TOTAL$61,591.00 116
15 HISTORIC PROPERTY INVENTORY FORM (DPR 523) [Attached.] 117
State of California - The Resources AgencyDEPARTMENT OF PARKS AND RECREATIONPRIMARY RECORDPage 1 ofDate:TR1/4 of1/4 ofSecB.M.d. UTM:mE/mNe. Other Locational Data:P1. Other Identifier:*P2. Location:c. Address:Zip:(Give more than one for large and/or linear resources)(Describe resource and its major elements. Include design, materials, condition, alterations, size, setting, and boudnaries. Continues on Pg.3.);; ;Zone 'and(P2b and P2c or P2d. Attach a location map as necessary.)City:-*P3a. Description:*P3b. Resource Attributes:(List attributes and codes) (Describe)(Cite survey report and other sources, or enter "none.")*Attachments:Continuation Sheet(s)Building, Structure, and Object Record (Name, affiliation, and address) (View, date, accession #)*P6. Date Constructed/ Age and Source:*P7. Owner and Address:*P8: Recorded by:*P10. Survey Type:*P11. Report Citation:DPR 523A (1/95)*Required Information *Resource Name or #:(Assigned by Recorder)
*P9. Date Recorded:

Primary #HRI #Date:NRHP Status CodeTrinomialOther Listings:Review Code:Reviewer:*a. County:P5b. Description of Photo:Unrestricted3Site*P4. Resources Present:BuildingObjectElement of DistrictOther (Isolates, etc.)DistrictStructureNot for Publication District RecordPhotograph RecordLocation MapArtifact RecordArchaeological RecordNONELinear Feature RecordRock Art RecordMilling Station RecordOther (List):

Materials:PrehistoricHistoricBoth*b. USGS 7.5' Quad:
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B1. Historic Name:B3. Original Use:B4. Present Use:*B5. Architectural Style:*B6. Construction History:(Construction date, atlerations, and date of alterations)Date of Construction:*B9. Architect or Builder:Period of Significance:*B10. Significance: Property Type:(Discuss importance in terms of historical or architectural context as defined by theme, period, and geographic scope. Also address integrity. Continues on Pg.4.)*B8. Related Features:Date:Original Location:*B7. Moved?Theme: Area:Structural Integrity:(List attributes and codes)*Date of Evaluation:B11. Additional Resource Attributes:(This space reserved for official comments.)*B14. Evaluator:B13. Remarks:

State of California - The Resources AgencyDEPARTMENT OF PARKS AND RECREATIONBUILDING, STRUCTURE, AND OBJECT RECORD *B12. References:
*NRHP Status CodePrimary #HRI #YesNoUnknownPage 2 of3*Resource Name or #:(Assigned by Recorder)PrehistoricHistoricBothB2. Common Name:Applicable Criteria:(Sketch Map with North arrow required.)DPR 523B (1/95)*Required Information OpportunitiesSite Integrity:(Continues on Pg.3.)
119
State of California - The Resources AgencyDEPARTMENT OF PARKS AND RECREATIONCONTINUATION SHEETPrimary #HRI #TrinomialRecorded by:Date Recorded:

P3a. Description (Continued from Pg.1):

DPR 523L (11/98)*Required Information
UpdateContinuationPage 3 of3B6. Construction History (Continued from Pg.2):Lot Acre:Principal Building Sqft:Planning Zone:# of Stories:Years Surveyed:General Plan:# of Units:B13. Remarks (Continued from Pg.2):*Resource Name or #:(Assigned by Recorder)Listed in National Register:# of Buildings:Description of Photo:
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1 RECORDING REQUESTED BY AND, WHEN RECORDED, MAIL TO: City Clerk City of Orange 300 E. Chapman Avenue Exempt from recording fees pursuant to Orange, California, 92866 Gov. Code Sections 6103 and 27383 Property Address: 552 S. Woodland Street APN: 094-452-0 Mills Act Contract Number: 423.0-22 HISTORIC PROPERTY PRESERVATION AGREEMENT (MILLS ACT CONTRACT) entered into as of the date DANIEL MARISCAL and KIMBERLY MARISCAL, as husband and wife, and KEVIN HEUER and LYNNE HEUER, husband and wife, all as joint tenants ( RECITALS WHEREAS, the Mills Act (Government Code Section 50280 et seq.) provides cities with the opportunity to contract with owners of qualified historical properties whereby the owner promises to preserve and rehabilitate the property in return for a potential reduced property tax assessment; and WHEREAS, the City of Orange has established Historic Districts consisting of the Plaza Historic District, listed in the National Register of Historic Places; the Old Towne Orange Historic District, listed in the National Register of Historic Places; the local Old Towne Orange Historic District, designated by the Orange City Council; and the local Eichler Fairhaven, Fairhills, and Fairmeadow Historic Districts, designated by the Orange City Council; and the City desires to promote the character, quality of life, and historic features of said Districts to its citizens and visitors; and WHEREAS, the City is dedicated to the protection and stabilization of property values through maintaining and upgrading its older housing stock, through the use of incentives such as the Mills Act; and WHEREAS, the Mills Act also has beneficial effects on City businesses, economic stability and community pride by preserving important neighborhood historic resources; and WHEREAS, the use of the Mills Act will fulfill one of the goals of the 2010 General Plan Cultural Resources Element; specifically, 122
2 , CR-22); and WHEREAS, Owner possesses fee simple title in and to that certain real property, together with associated structures and improvements thereon, located at 552 S. Woodland Street in the City of Orange, County of Orange, State of California, 094-452-05 and more specifically described in Exhibit A, which exhibit is attached hereto and made a part hereof (); and WHEREAS, the Historic Property is a qualified historical property under the Mills Act in that it is privately owned property which is not exempt from property taxation and is either: individually designated or is a contributing property within a designated district which is listed in the National Register of Historic Places, California Register of Historical Resources or Register of Historical Landmarks, California Points of Historical Interest, or is a contributing property in a locally designated historic district; and WHEREAS, Owner, in consideration for abiding by the terms of this Agreement shall be entitled to a reassessment of valuation of the Historic Property and any corresponding reduction in property taxes pursuant to the provisions of the California Revenue and Taxation Code; and savings accrued under this Agreement for improvements to (as defined below). To that end, as a condition of renewal, the City will require a revised schedule of improvements every ten years showing a plan for improvements commensurate with the tax savings; and WHEREAS, the City and Owner for their mutual benefit, now desire to enter into this Agreement to limit the use of the Historic Property to prevent inappropriate alterations, to ensure that characteristics of historic significance are preserved and maintained in an exemplary manner, and to carry out the purposes of Article 12 (commencing with Section 50280) of Chapter 1, Part 1, Division 1 of Title 5 of the California Government Code and Article 1.9 (commencing with Section 439) of Chapter 3, Part 2 of Division 1 of the California Revenue and Taxation Code. AGREEMENT NOW, THEREFORE, both Owner and City, in consideration of the mutual promises, covenants and conditions contained herein and the substantial public benefits to be derived therefrom, do hereby agree as follows: 1. APPLICABLE LAWS. This Agreement is made pursuant to California Government Code Sections 50280 through 50290 and Article 1.9 (commencing with Section 439) of Chapter 3, Part 2 of Division 1 of the California Revenue and Taxation Code and is subject to all of the provisions of those statutes. To the extent any of the provisions in this Agreement are inconsistent with the aforementioned provisions of the Government and Revenue and Taxation Codes, they are superseded by those Code Sections. 123
3 2. ASSESSMENT OF VALUATION. Property tax relief afforded to Owner pursuant to Chapter 3, Part 2 of Division 1 of the California Revenue and Taxation Code will be determined solely by the Orange County Office of the Assessor. City makes no representations regarding the actual tax savings any person may realize by entering into this Agreement. 3. PRESERVATION OF PROPERTY. Owner agrees to preserve and maintain the Historic Property and its character defining features. Character defining features include, but are not necessarily limited to, the general architectural form, style, materials, design, scale, details, mass, roofline and other aspects of the appearance of the exterior of the Historic Property. For purposes of identification of the Historic PProperty Inventory Form (DPR 523) is attached as Exhibit E. The Secretary of the Interior's Standards for Rehabilitation (Exhibit Bmaintenance standards (Exhibit C), attached hereto and incorporated herein by reference, shall constitute the minimum standards and conditions for preservation and rehabilitation of the Historic Property, and shall apply to the Historic Property throughout the term of this Agreement. Owner shall, where necessary, rehabilitate the Historic Property to conform to the rules and regulations of the Office of Historic Preservation of the California Department of Parks and Recreation, the Secretary of the Interior's Standards for Rehabilitation, the California Historical Building Code, and the Historic Preservation Design Standards for Old Towne and Eichler Design Standards. As consideration for the City to enter into this Agreement, the Owner agrees, at its own cost and expense, to complete, or cause to be completed, the work or improvements described in Exhibit D within the times established therefore in Exhibit D. The Owner shall secure any and all permits which may be required by the City or any other governmental agency affected by the construction of the work or improvements. The Owner accepts responsibility for and shall be responsible for identification of and compliance with all applicable laws pertaining to the construction and installation of the work or improvements described on Exhibit D and the contract or contracts pertaining thereto. The Owner will neither seek to hold nor hold the City liable for, and will hold the City harmless with respect to, any consequences of any failure by the Owner to correctly determine the applicability of any such requirements to any contract he/she/they enter into. In addition to the foregoing, the Owner hereby agrees to and will comply with all applicable local, state, and federal statutes, regulations, rules, codes (including building codes), ordinances, and pertaining to the use of the Historic Property. Owner must give the City immediate written notice on OwnerHistoric Property is in violation of any Applicable Laws. 4. INSPECTIONS AND ANNUAL REPORTING. Owner agrees to permit the examination, by prior appointment, of the interior and exterior of the Historic Property by the City at a minimum every five (5) years during the Agreement term to determine Owner's compliance with the terms and provisions of this Agreement. Owner agrees to provide the City with a report as to the status of the Historic Property annually within thirty (30) days following each anniversary of the 124
4 Effective Date of this Agreement. The annual report shall provide substantiation reasonably Historic Preservation Planner or in his/her absence the Director of Community Development that Owner has completed the work required by Exhibit D for the twelve month period preceding each anniversary of this Agreement, and whether the Historic Property has undergone any changed conditions, and whether Owner has received any public funds from other sources designated for the preservation or maintenance of the Historic Property and from whom such funds have been received. 5. PAYMENT OF ANNUAL FEE. The Owner shall pay the City an annual fee to cover administrative costs associated with this Agreement including but not limited to the reasonable cost of monitoring the Historic Property, performing required inspections, and enforcement of the Agreement. Said fee shall be payable to the City of Orange and shall be remitted to the Planning Division upon demand and prior to any required inspection. The amount of the annual inspection fee shall be established by the City and may be revised from time to time, which fee shall be set Failure to pay the required fee within 45 days of the due date will be considered a willful breach of this Agreement and may result in cancellation of the Agreement in accordance with the cancellation terms detailed below. 6. TERM. The term of this Agreement is for a period of ten (10) years. The initial term of this Agreement shall be from December 13, 2022 to and including December 13, 2032. 7. AUTOMATIC RENEWAL. On each yearly anniversary of the Effective Date of this Agreement ("renewal date"), one year shall be added automatically to the initial term of this Agreement, unless notice of non-renewal is given as provided in this Agreement. 8. EFFECT OF OUTSIDE FUNDS. If Owner receives funds designated for the preservation or maintenance of the Historic Property from any other public agency, this Agreement shall not be renewed except upon the vote of the City Council. 9. NOTICE OF NONRENEWAL. If in any year either the Owner or City desires not to renew this Agreement, that party shall serve written notice of nonrenewal to the other party in advance of the annual renewal date. Unless the notice is served by Owner to City at least ninety (90) days, or by City to Owner at least sixty (60) days prior to the renewal date, one year shall automatically be added to the term of the Agreement. Within fifteen (15) days of receipt by Owner of a notice of nonrenewal from the City, Owner may make a written protest. Upon receipt of such a protest the City Council shall set a hearing prior to the expiration of the renewal date of this Agreement or toll the renewal date until such hearing can reasonably held. Owner may furnish the City Council with any information which the Owner deems relevant; and shall furnish the City Council with any information it may require. At any time prior to the renewal date, City may withdraw its notice of nonrenewal. 10. EFFECT OF NOTICE NOT TO RENEW. If in any year either party serves notice of intent not to renew this Agreement, this Agreement shall remain in effect for the balance of the period remaining since the original execution date if not yet renewed, or the last renewal date of the Agreement, as the case may be. 125
5 11. UPDATE OF IMPROVEMENT SCHEDULE. At least ninety (90) days prior to the tenth (10th) anniversary of the Effective Date of this Agreement, and ninety (90) days prior to every tenth (10th) anniversary thereafter, Owner shall provide City with an updated schedule of rehabilitation maintenance items fo. Such updated schedule shall contain a list of proposed improvements and/or revisions to be accomplished during the next succeeding ten (10) years of the Agreement and a schedule for the construction of such improvements. Within thirty (30) days after the receipt of said updated schedule, Community Development shall either approve or disapprove such proposed schedule of proposed improvements, or shall respond in writing by stating what further information, if any, the City reasonably requires in order to determine the request complete and determine whether or not to grant the requested approval. Upon receipt of such a response, the Owner shall promptly furnish to the City such further information as may be reasonably requested. Director of Community Development (or his/her authorized representative), the Owner shall meet and confer with the Planner for Historic Preservation or in his/her absence the Director of Community Development (or his/her designee) regarding matters arising hereunder with respect to the work and improvements and the progress in constructing the same. 12. INDEPENDENT ADVICE OF COUNSEL. The Owner, and each of them, represent and declare that in executing this Agreement he/she/they have relied solely upon his/her/their own judgment, belief and knowledge, and the advice and recommendations of his/her/their own independently selected counsel, concerning the nature, extent and duration of his/her/their rights and claims, and that he/she/they have not been influenced to any extent whatsoever in executing the same by the City or by any person representing the City. 13. ENFORCEMENT OF AGREEMENT. If the City determines the owner has breached any of the conditions of the Agreement provided for or has allowed the property to deteriorate to the point it no longer meets the standards for a qualified historical property, the City shall either cancel the Agreement or bring any action in court necessary to enforce the Agreement including, but not limited to an action to enforce the Agreement by specific performance to cure, correct or remedy any breach of the terms of this Agreement, to recover damages for any breach, or to obtain any other remedy consistent with the purpose of this Agreement. In the event of a default under the provisions of this Agreement by Owner, City shall give written notice to Owner specifying the alleged grounds for the default. Said notice shall be given by registered or certified mail addressed to the address stated in this Agreement. If such violation(s) is not corrected to the reasonable satisfaction of the City within thirty (30) days from the receipt of the notice of violation, or within such reasonable time as may be required to cure the breach or default, provided that acts to cure, correct or remedy such breach or default are commenced within thirty (30) days and thereafter diligently pursued to completion, then City may, without further notice, institute legal action. Except as otherwise expressly stated in this Agreement, the rights and remedies of the City are cumulative, and the exercise by the City of one or more of such rights or remedies shall not preclude the exercise by it, at the same or different times, of any other rights or remedies for the same default or any other default by the Owner. Any failure or delay by the City in asserting any 126
6 of its right and remedies as to a breach of any of the covenants, conditions or agreements set forth herein shall not operate as a waiver of such breach or of any such rights or remedies, or deprive the City of its right to institute and maintain any actions or proceedings which it may deem necessary to protect, assert or enforce such rights or remedies. A waiver by the City of a breach shall not be construed as a waiver of any succeeding breach of the same or other covenants, conditions or agreements set forth in this Agreement. 14. CANCELLATION. In lieu of bringing an action to enforce the Agreement City may cancel this Agreement if City determines Owner has breached any of the conditions or covenants of this Agreement or has allowed the Historic Property to deteriorate to the point that it no longer meets the standards for a qualified historical property. City may also cancel this Agreement if it determines Owner has failed to rehabilitate the Historic Property in the manner specified in this Agreement. 15. NOTICE OF CANCELLATION. This Agreement cannot be canceled until after City has given notice and has held a public hearing as required by Government Code Section 50285. Notice of the hearing shall be mailed to the last known address of each owner of property within 300 feet of the Historic Property and shall be published in accordance with Government Code Section 6061. 16. CANCELLATION FEE. If City cancels this Agreement in accordance with Section 15 above, Owner shall pay a cancellation fee of twelve and one-half percent (12-1/2%) of the current fair market value of the Historic Property at the time of cancellation. The current fair market value shall be determined by the County Assessor as though the Historic Property were free of the restriction on the Historic Property imposed pursuant to this Agreement. The cancellation fee shall be paid to the County Auditor at such time and in such manner as the County Auditor shall prescribe. 17. NOTICES. All notices required by or provided for in the Agreement shall be given in writing and may be mailed or delivered in person at the address of the respective parties as specified below or at any other address as may be later specified by the parties. Deposit of notice in the mail, postage prepaid, shall be deemed receipt of the notice. City of Orange Attn.: City Clerk Daniel and Kimberly Mariscal, Kevin and Lynne Heuer 300 E. Chapman Avenue 552 S. Woodland Street Orange, CA 92866 Orange, CA 92869 18. NO COMPENSATION. Owner shall not receive any payment from the City in consideration of the obligations imposed under this Agreement. The Owner acknowledges and agrees that the consideration for the execution of this Agreement is the substantial public benefit to be derived therefrom and the advantage that will accrue to Owner as a result of the effect upon the assessed value of the Historic Property on account of the restrictions on the use and preservation of the Historic Property. 127
7 19. REMEDY IF AGREEMENT HELD NOT ENFORCEABLE. In the event it is finally determined this Agreement does not constitute an enforceable restriction within the meaning of the applicable provisions of the California Government Code and the California Revenue and Taxation Code, except for an unenforceability arising from the cancellation or nonrenewal of this Agreement, then this Agreement shall be null and void and without further effect and the Historic Property subject to this Agreement shall from that time be free from any restriction whatsoever under this Agreement without any payment or further act of the parties to this Agreement. 20. ACQUISITION OF PROPERTY BY EMINENT DOMAIN; CANCELLATION OF CONTRACT; INAPPLICABILITY TO DETERMINATION OF VALUE. In the event that the Historic Property is acquired in whole or part by eminent domain or other acquisition by any entity authorized to exercise the power of eminent domain, and the acquisition is determined by the City to frustrate the purpose of the Agreement, the Agreement shall be canceled and no fee shall be imposed under Section 17, above. The Agreement shall be deemed null and void for all purposes of determining the value of the Historic Property so acquired. If, subsequent to the filing of an action in eminent domain, the proposed condemnation is abandoned by the condemning agency, the restrictions on the use of the Historic Property included in this Agreement shall, without further agreement of the parties, be reinstituted and the terms of this Agreement shall continue in full force and effect. 21. EFFECT OF AGREEMENT. None of the terms, provisions or conditions of this Agreement shall be deemed to create a partnership between the parties hereto and any of their heirs, successors or assigns, nor shall such terms, provisions or conditions cause the parties hereto to be considered joint venturers or members of any joint enterprise. 22. SUCCESSORS AND ASSIGNS. This Agreement is binding upon and shall inure to the benefit of all successors in interest of the Owner, regardless of the tax exempt status of any subsequent owner. A successor in interest shall have the same rights and obligations under this Agreement as the original owner who entered into this Agreement. 23. REQUIREMENTS RELATED TO TRANSFER OF HISTORIC PROPERTY. In the event of any that, at least thirty (30) days prior to such Transfer, it shall give written notice to the City of such proposed Transfer, including the name(s) of the transferee(s). In addition, the Owner and the proposed transferee(s) shall enter into and deliver to the City through the escrow for the Transfer of the Historic Property an assignment and assumption agreement in a form satisfactory to the City's Attorney or such other evidence as may be satisfactory to the City that the transferee(s) has (have) assumed the Owner's obligations set forth in this Agreement. Upon the Transfer of the Historic Property and the assumption of the obligations hereunder by the transferee(s), the Owner's liability for performance shall be terminated as to any obligation to be performed hereunder after the date of such Transfer. 24. RECORDATION. City shall record a copy of this Agreement with the Office of the County Recorder of the County of Orange. 128
8 25. AMENDMENTS. This Agreement may be amended, in whole or in part, only by a written and recorded instrument executed by the parties hereto, except that the Director of Community Development is authorized to amend the list of required projects in Exhibit D. 26. COUNTERPARTS. This Agreement may be executed in any number of counterparts, each of which shall be deemed an original and all of which shall constitute one and the same agreement with the same effect as if all parties had signed the same signature page. Any signature page of this Agreement may be detached from any counterpart of this Agreement and re-attached to any other counterpart of this Agreement identical in form hereto but having attached to it one or more additional signature pages. 27. Community Development (or his/her designated representative) following approval of this Agreement by the City. The City shall maintain authority of this Agreement through the CiDirector of Community Development (or his/her authorized representative). of Community Development shall have the authority to issue interpretations, waive provisions and enter into amendments of this Agreement on behalf of the City so long as such actions do not change the uses permitted on the Historic Property or the purpose of this Agreement. Such amendments may include extensions of time or amendments to the projects specified in Exhibit D. All other waivers or amendments shall require the written approval and consent of the City Council. [Remainder of page intentionally left blank; signatures on next page] 129
9 IN WITNESS WHEREOF, the City and the Owner have executed this Agreement. Dated: , 2022 Daniel Mariscal Dated: , 2022 Kimberly Mariscal Dated: , 2022 Kevin Heuer Dated: , 2022 Lynne Heuer CITY OF ORANGE, a municipal corporation Dated: , 2022 By: Mark A. Murphy Mayor ATTEST: APPROVED AS TO FORM: Pamela Coleman Mary E. Binning City Clerk Senior Assistant City Attorney 130
10 ACKNOWLEDGEMENT State of California County of ____________ On before me, , a Notary Public in and for the State of California, personally appeared who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. Signature __________________________________ (Seal) A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. 131
11 EXHIBIT A LEGAL DESCRIPTION OF HISTORIC PROPERTY REAL PROPERTY IN THE CITY OF ORANGE, COUNTY OF ORANGE, STATE OF CALIFORNIA, DESCRIBED AS: Lot 63 of Tract 3545, in the City of Orange, County of Orange, State of California, as per Map recorded in Book 125, page(s) 1 through 5, inclusive of miscellaneous maps, in the office of the County Recorder of Said County. [APN 094-452-05] 132
12 EXHIBIT B SECRETARY OF THE INTERIOR'S STANDARDS FOR REHABILITATION 1. Every reasonable effort shall be made to provide a compatible use for a property, which requires a minimal alteration of the building structure, or site and its environment, or to use a property for its originally intended purpose. 2. The distinguishing original qualities or character of a building, structure, or site and its environment shall not be destroyed. The removal or alteration of any historic material or distinctive architectural features should be avoided when possible. 3. All buildings, structures, and sites shall be recognized as products of their own time. Alterations that have no historical basis and which seek to create an earlier appearance shall be discouraged. 4. Changes which may have taken place in the course of time are evidence of the history and development of a building, structure or site and its environment. These changes may have acquired significance in their own right, and this significance shall be recognized and respected. 5. Distinctive stylistic features or examples of skilled craftsmanship which characterize a building, structure or site shall be treated with sensitivity. 6. Deteriorated architectural features shall be repaired rather than replaced, wherever possible. In the event replacement is necessary, the new material should match the material being replaced in composition, design, color, texture, and other visual qualities. Repair or replacement of missing architectural features should be based on accurate duplications of features, substantiated by historic, physical, or pictorial evidence rather than on conjectural designs or the availability of different architectural elements from other buildings or structures. 7. The surface cleaning of structures shall be undertaken with the gentlest means possible. Sandblasting and other cleaning methods that will damage the historic building materials shall not be undertaken. 8. Every reasonable effort shall be made to protect and preserve archeological resources affected by, or adjacent to, any project. 9. Contemporary design for alterations and additions to existing properties shall not be discouraged when such alterations and additions do not destroy significant historical, architectural or cultural material, and such design is compatible with the size, scale, color, material and character of the property, neighborhood or environment. 10. Wherever possible, new additions or alterations to structures shall be done in such a manner that, if such additions or alterations were to be removed in the future, the essential form and integrity of the structure would be unimpaired. 133
13 EXHIBIT C CITY OF ORANGE HISTORIC PROPERTY MAINTENANCE STANDARDS All buildings, structures, yards and other improvements shall be maintained in a manner which does not detract from the appearance of the immediate neighborhood. The following conditions are prohibited: 1. Dilapidated, deteriorating, or unrepaired structures, such as: fences, roofs, doors, walls and windows. 2. Publicly visible storage of scrap lumber, junk, trash or debris. 3. Publicly visible storage of abandoned, discarded or unused objects or equipment, such as automobiles, automobile parts, furniture, stoves, refrigerators, cans, containers or similar items. 4. Stagnant water or excavations, including pools or spas. 5. Any device, decoration, design, structure or vegetation that is unsightly by reason of its height, condition, or its inappropriate location. 134
14 EXHIBIT D REHABILITATION/MAINTENANCE SCOPE OF WORK [Attached.] 135
EXHIBIT “D”REHABILITATION/MAINTENANCE SCOPE OF WORK552 S Woodland StreetPriorityDescription of WorkCost EstimateCompletion Date1.Fill cracks in paint of interior posts400.0020222.Install mini split22,000.0020223.Paint exterior8,500.0020224. Plumbing repair and maintenance inbathrooms4,500.00 20225.Repair gas kitchen1,200.0020226.Repair gas service to fireplace450.0020227.Repair roof3,200.0020228.Repair termite damage per report8,000.0020229.Roofmaintenance3,200.00202210.Service sliding doors1,400.00202211.Termite treatment550.00202212.Plumbing repair and maintenance in kitchen3,600.00202413.Replace glazing in bathroom400.00202414.Clean main sewer1,800.00202515. Purchase and install reproduction Eichlerhouse numbers100.00 202516. Install UV film to glazing in accordance withthe Orange Eichler Design Standards6,500.00 202617.Remove non-original window and patch wall3,500.00202618.Repair scratches to glass doors600.00202619.Replace door atnorthfaçade1,200.00202620. Remove stone applied to fireplace per theOrange Eichler Design Standards to originalappearance1,200.00 202821.Repair garage door locks2,800.00202822.Repair hardware for skylights900.00202923. Remove flagstone paving from entry andrestore atrium paving14,000.00 203024. Replace entry door per Orange EichlerDesign Standards to historically appropriatedoor5,000.00 203025. Replace existing entry walkway per OrangeEichler Design Standards8,000.00 203026.Restore exterior finish of sliding doors4,500.002030TOTAL114,000.00 136
15 HISTORIC PROPERTY INVENTORY FORM (DPR 523) [Attached.] 137
State of California - The Resources AgencyDEPARTMENT OF PARKS AND RECREATIONPRIMARY RECORDPage 1 ofDate:TR1/4 of1/4 ofSecB.M.d. UTM:mE/mNe. Other Locational Data:P1. Other Identifier:*P2. Location:c. Address:Zip:(Give more than one for large and/or linear resources)(Describe resource and its major elements. Include design, materials, condition, alterations, size, setting, and boudnaries. Continues on Pg.3.);; ;Zone 'and(P2b and P2c or P2d. Attach a location map as necessary.)City:-*P3a. Description:*P3b. Resource Attributes:(List attributes and codes) (Describe)(Cite survey report and other sources, or enter "none.")*Attachments:Continuation Sheet(s)Building, Structure, and Object Record (Name, affiliation, and address) (View, date, accession #)*P6. Date Constructed/ Age and Source:*P7. Owner and Address:*P8: Recorded by:*P10. Survey Type:*P11. Report Citation:DPR 523A (1/95)*Required Information *Resource Name or #:(Assigned by Recorder)
*P9. Date Recorded:

Primary #HRI #Date:NRHP Status CodeTrinomialOther Listings:Review Code:Reviewer:*a. County:P5b. Description of Photo:Unrestricted3Site*P4. Resources Present:BuildingObjectElement of DistrictOther (Isolates, etc.)DistrictStructureNot for Publication District RecordPhotograph RecordLocation MapArtifact RecordArchaeological RecordNONELinear Feature RecordRock Art RecordMilling Station RecordOther (List):

Materials:PrehistoricHistoricBoth*b. USGS 7.5' Quad:
138
B1. Historic Name:B3. Original Use:B4. Present Use:*B5. Architectural Style:*B6. Construction History:(Construction date, atlerations, and date of alterations)Date of Construction:*B9. Architect or Builder:Period of Significance:*B10. Significance: Property Type:(Discuss importance in terms of historical or architectural context as defined by theme, period, and geographic scope. Also address integrity. Continues on Pg.4.)*B8. Related Features:Date:Original Location:*B7. Moved?Theme: Area:Structural Integrity:(List attributes and codes)*Date of Evaluation:B11. Additional Resource Attributes:(This space reserved for official comments.)*B14. Evaluator:B13. Remarks:

State of California - The Resources AgencyDEPARTMENT OF PARKS AND RECREATIONBUILDING, STRUCTURE, AND OBJECT RECORD *B12. References:
*NRHP Status CodePrimary #HRI #YesNoUnknownPage 2 of3*Resource Name or #:(Assigned by Recorder)PrehistoricHistoricBothB2. Common Name:Applicable Criteria:(Sketch Map with North arrow required.)DPR 523B (1/95)*Required Information OpportunitiesSite Integrity:(Continues on Pg.3.)
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State of California - The Resources AgencyDEPARTMENT OF PARKS AND RECREATIONCONTINUATION SHEETPrimary #HRI #TrinomialRecorded by:Date Recorded:

P3a. Description (Continued from Pg.1):

DPR 523L (11/98)*Required Information
UpdateContinuationPage 3 of3B6. Construction History (Continued from Pg.2):Lot Acre:Principal Building Sqft:Planning Zone:# of Stories:Years Surveyed:General Plan:# of Units:B13. Remarks (Continued from Pg.2):*Resource Name or #:(Assigned by Recorder)Listed in National Register:# of Buildings:Description of Photo:
140
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1 RECORDING REQUESTED BY AND, WHEN RECORDED, MAIL TO: City Clerk City of Orange 300 E. Chapman Avenue Exempt from recording fees pursuant to Orange, California, 92866 Gov. Code Sections 6103 and 27383 Property Address: 825 E. Ferndale Avenue APN: 374-222-11 Mills Act Contract Number: 424.0-22 HISTORIC PROPERTY PRESERVATION AGREEMENT (MILLS ACT CONTRACT) entered into as of the date RYAN BALDASARI and ANNABELLE BALDASARI, as husband and wife joint tenants ( RECITALS WHEREAS, the Mills Act (Government Code Section 50280 et seq.) provides cities with the opportunity to contract with owners of qualified historical properties whereby the owner promises to preserve and rehabilitate the property in return for a potential reduced property tax assessment; and WHEREAS, the City of Orange has established Historic Districts consisting of the Plaza Historic District, listed in the National Register of Historic Places; the Old Towne Orange Historic District, listed in the National Register of Historic Places; the local Old Towne Orange Historic District, designated by the Orange City Council; and the local Eichler Fairhaven, Fairhills, and Fairmeadow Historic Districts, designated by the Orange City Council; and the City desires to promote the character, quality of life, and historic features of said Districts to its citizens and visitors; and WHEREAS, the City is dedicated to the protection and stabilization of property values through maintaining and upgrading its older housing stock, through the use of incentives such as the Mills Act; and WHEREAS, the Mills Act also has beneficial effects on City businesses, economic stability and community pride by preserving important neighborhood historic resources; and WHEREAS, the use of the Mills Act will fulfill one of the goals of the 2010 General Plan Cultural Resources Element; specifically, 142
2 , CR-22); and WHEREAS, Owner possesses fee simple title in and to that certain real property, together with associated structures and improvements thereon, located at 825 E. Ferndale Avenue in the City of Orange, County of Orange, State of California, 374-222-11 and more specifically described in Exhibit A, which exhibit is attached hereto and made a part hereof (); and WHEREAS, the Historic Property is a qualified historical property under the Mills Act in that it is privately owned property which is not exempt from property taxation and is either: individually designated or is a contributing property within a designated district which is listed in the National Register of Historic Places, California Register of Historical Resources or Register of Historical Landmarks, California Points of Historical Interest, or is a contributing property in a locally designated historic district; and WHEREAS, Owner, in consideration for abiding by the terms of this Agreement shall be entitled to a reassessment of valuation of the Historic Property and any corresponding reduction in property taxes pursuant to the provisions of the California Revenue and Taxation Code; and savings accrued under this Agreement for improvements to (as defined below). To that end, as a condition of renewal, the City will require a revised schedule of improvements every ten years showing a plan for improvements commensurate with the tax savings; and WHEREAS, the City and Owner for their mutual benefit, now desire to enter into this Agreement to limit the use of the Historic Property to prevent inappropriate alterations, to ensure that characteristics of historic significance are preserved and maintained in an exemplary manner, and to carry out the purposes of Article 12 (commencing with Section 50280) of Chapter 1, Part 1, Division 1 of Title 5 of the California Government Code and Article 1.9 (commencing with Section 439) of Chapter 3, Part 2 of Division 1 of the California Revenue and Taxation Code. AGREEMENT NOW, THEREFORE, both Owner and City, in consideration of the mutual promises, covenants and conditions contained herein and the substantial public benefits to be derived therefrom, do hereby agree as follows: 1. APPLICABLE LAWS. This Agreement is made pursuant to California Government Code Sections 50280 through 50290 and Article 1.9 (commencing with Section 439) of Chapter 3, Part 2 of Division 1 of the California Revenue and Taxation Code and is subject to all of the provisions of those statutes. To the extent any of the provisions in this Agreement are inconsistent with the aforementioned provisions of the Government and Revenue and Taxation Codes, they are superseded by those Code Sections. 143
3 2. ASSESSMENT OF VALUATION. Property tax relief afforded to Owner pursuant to Chapter 3, Part 2 of Division 1 of the California Revenue and Taxation Code will be determined solely by the Orange County Office of the Assessor. City makes no representations regarding the actual tax savings any person may realize by entering into this Agreement. 3. PRESERVATION OF PROPERTY. Owner agrees to preserve and maintain the Historic Property and its character defining features. Character defining features include, but are not necessarily limited to, the general architectural form, style, materials, design, scale, details, mass, roofline and other aspects of the appearance of the exterior of the Historic Property. For purposes of identification of the Historic PProperty Inventory Form (DPR 523) is attached as Exhibit E. The Secretary of the Interior's Standards for Rehabilitation (Exhibit Bmaintenance standards (Exhibit C), attached hereto and incorporated herein by reference, shall constitute the minimum standards and conditions for preservation and rehabilitation of the Historic Property, and shall apply to the Historic Property throughout the term of this Agreement. Owner shall, where necessary, rehabilitate the Historic Property to conform to the rules and regulations of the Office of Historic Preservation of the California Department of Parks and Recreation, the Secretary of the Interior's Standards for Rehabilitation, the California Historical Building Code, and the Historic Preservation Design Standards for Old Towne and Eichler Design Standards. As consideration for the City to enter into this Agreement, the Owner agrees, at its own cost and expense, to complete, or cause to be completed, the work or improvements described in Exhibit D within the times established therefore in Exhibit D. The Owner shall secure any and all permits which may be required by the City or any other governmental agency affected by the construction of the work or improvements. The Owner accepts responsibility for and shall be responsible for identification of and compliance with all applicable laws pertaining to the construction and installation of the work or improvements described on Exhibit D and the contract or contracts pertaining thereto. The Owner will neither seek to hold nor hold the City liable for, and will hold the City harmless with respect to, any consequences of any failure by the Owner to correctly determine the applicability of any such requirements to any contract he/she/they enter into. In addition to the foregoing, the Owner hereby agrees to and will comply with all applicable local, state, and federal statutes, regulations, rules, codes (including building codes), ordinances, and pertaining to the use of the Historic Property. Owner must give the City immediate written notice on OwnerHistoric Property is in violation of any Applicable Laws. 4. INSPECTIONS AND ANNUAL REPORTING. Owner agrees to permit the examination, by prior appointment, of the interior and exterior of the Historic Property by the City at a minimum every five (5) years during the Agreement term to determine Owner's compliance with the terms and provisions of this Agreement. Owner agrees to provide the City with a report as to the status of the Historic Property annually within thirty (30) days following each anniversary of the 144
4 Effective Date of this Agreement. The annual report shall provide substantiation reasonably Historic Preservation Planner or in his/her absence the Director of Community Development that Owner has completed the work required by Exhibit D for the twelve month period preceding each anniversary of this Agreement, and whether the Historic Property has undergone any changed conditions, and whether Owner has received any public funds from other sources designated for the preservation or maintenance of the Historic Property and from whom such funds have been received. 5. PAYMENT OF ANNUAL FEE. The Owner shall pay the City an annual fee to cover administrative costs associated with this Agreement including but not limited to the reasonable cost of monitoring the Historic Property, performing required inspections, and enforcement of the Agreement. Said fee shall be payable to the City of Orange and shall be remitted to the Planning Division upon demand and prior to any required inspection. The amount of the annual inspection fee shall be established by the City and may be revised from time to time, which fee shall be set Failure to pay the required fee within 45 days of the due date will be considered a willful breach of this Agreement and may result in cancellation of the Agreement in accordance with the cancellation terms detailed below. 6. TERM. The term of this Agreement is for a period of ten (10) years. The initial term of this Agreement shall be from December 13, 2022 to and including December 13, 2032. 7. AUTOMATIC RENEWAL. On each yearly anniversary of the Effective Date of this Agreement ("renewal date"), one year shall be added automatically to the initial term of this Agreement, unless notice of non-renewal is given as provided in this Agreement. 8. EFFECT OF OUTSIDE FUNDS. If Owner receives funds designated for the preservation or maintenance of the Historic Property from any other public agency, this Agreement shall not be renewed except upon the vote of the City Council. 9. NOTICE OF NONRENEWAL. If in any year either the Owner or City desires not to renew this Agreement, that party shall serve written notice of nonrenewal to the other party in advance of the annual renewal date. Unless the notice is served by Owner to City at least ninety (90) days, or by City to Owner at least sixty (60) days prior to the renewal date, one year shall automatically be added to the term of the Agreement. Within fifteen (15) days of receipt by Owner of a notice of nonrenewal from the City, Owner may make a written protest. Upon receipt of such a protest the City Council shall set a hearing prior to the expiration of the renewal date of this Agreement or toll the renewal date until such hearing can reasonably held. Owner may furnish the City Council with any information which the Owner deems relevant; and shall furnish the City Council with any information it may require. At any time prior to the renewal date, City may withdraw its notice of nonrenewal. 10. EFFECT OF NOTICE NOT TO RENEW. If in any year either party serves notice of intent not to renew this Agreement, this Agreement shall remain in effect for the balance of the period remaining since the original execution date if not yet renewed, or the last renewal date of the Agreement, as the case may be. 145
5 11. UPDATE OF IMPROVEMENT SCHEDULE. At least ninety (90) days prior to the tenth (10th) anniversary of the Effective Date of this Agreement, and ninety (90) days prior to every tenth (10th) anniversary thereafter, Owner shall provide City with an updated schedule of rehabilitation maintenance items review and approval. Such updated schedule shall contain a list of proposed improvements and/or revisions to be accomplished during the next succeeding ten (10) years of the Agreement and a schedule for the construction of such improvements. Within thirty (30) days after the receipt of said updated schedule, Community Development shall either approve or disapprove such proposed schedule of proposed improvements, or shall respond in writing by stating what further information, if any, the City reasonably requires in order to determine the request complete and determine whether or not to grant the requested approval. Upon receipt of such a response, the Owner shall promptly furnish to the City such further information as may be reasonably requested. Director of Community Development (or his/her authorized representative), the Owner shall meet and confer with the Planner for Historic Preservation or in his/her absence the Director of Community Development (or his/her designee) regarding matters arising hereunder with respect to the work and improvements and the progress in constructing the same. 12. INDEPENDENT ADVICE OF COUNSEL. The Owner, and each of them, represent and declare that in executing this Agreement he/she/they have relied solely upon his/her/their own judgment, belief and knowledge, and the advice and recommendations of his/her/their own independently selected counsel, concerning the nature, extent and duration of his/her/their rights and claims, and that he/she/they have not been influenced to any extent whatsoever in executing the same by the City or by any person representing the City. 13. ENFORCEMENT OF AGREEMENT. If the City determines the owner has breached any of the conditions of the Agreement provided for or has allowed the property to deteriorate to the point it no longer meets the standards for a qualified historical property, the City shall either cancel the Agreement or bring any action in court necessary to enforce the Agreement including, but not limited to an action to enforce the Agreement by specific performance to cure, correct or remedy any breach of the terms of this Agreement, to recover damages for any breach, or to obtain any other remedy consistent with the purpose of this Agreement. In the event of a default under the provisions of this Agreement by Owner, City shall give written notice to Owner specifying the alleged grounds for the default. Said notice shall be given by registered or certified mail addressed to the address stated in this Agreement. If such violation(s) is not corrected to the reasonable satisfaction of the City within thirty (30) days from the receipt of the notice of violation, or within such reasonable time as may be required to cure the breach or default, provided that acts to cure, correct or remedy such breach or default are commenced within thirty (30) days and thereafter diligently pursued to completion, then City may, without further notice, institute legal action. Except as otherwise expressly stated in this Agreement, the rights and remedies of the City are cumulative, and the exercise by the City of one or more of such rights or remedies shall not preclude the exercise by it, at the same or different times, of any other rights or remedies for the same default or any other default by the Owner. Any failure or delay by the City in asserting any 146
6 of its right and remedies as to a breach of any of the covenants, conditions or agreements set forth herein shall not operate as a waiver of such breach or of any such rights or remedies, or deprive the City of its right to institute and maintain any actions or proceedings which it may deem necessary to protect, assert or enforce such rights or remedies. A waiver by the City of a breach shall not be construed as a waiver of any succeeding breach of the same or other covenants, conditions or agreements set forth in this Agreement. 14. CANCELLATION. In lieu of bringing an action to enforce the Agreement City may cancel this Agreement if City determines Owner has breached any of the conditions or covenants of this Agreement or has allowed the Historic Property to deteriorate to the point that it no longer meets the standards for a qualified historical property. City may also cancel this Agreement if it determines Owner has failed to rehabilitate the Historic Property in the manner specified in this Agreement. 15. NOTICE OF CANCELLATION. This Agreement cannot be canceled until after City has given notice and has held a public hearing as required by Government Code Section 50285. Notice of the hearing shall be mailed to the last known address of each owner of property within 300 feet of the Historic Property and shall be published in accordance with Government Code Section 6061. 16. CANCELLATION FEE. If City cancels this Agreement in accordance with Section 15 above, Owner shall pay a cancellation fee of twelve and one-half percent (12-1/2%) of the current fair market value of the Historic Property at the time of cancellation. The current fair market value shall be determined by the County Assessor as though the Historic Property were free of the restriction on the Historic Property imposed pursuant to this Agreement. The cancellation fee shall be paid to the County Auditor at such time and in such manner as the County Auditor shall prescribe. 17. NOTICES. All notices required by or provided for in the Agreement shall be given in writing and may be mailed or delivered in person at the address of the respective parties as specified below or at any other address as may be later specified by the parties. Deposit of notice in the mail, postage prepaid, shall be deemed receipt of the notice. City of Orange Attn.: City Clerk Ryan Baldasari and Annabelle Baldasari 300 E. Chapman Avenue 825 E. Ferndale Avenue Orange, CA 92866 Orange, CA 92865 18. NO COMPENSATION. Owner shall not receive any payment from the City in consideration of the obligations imposed under this Agreement. The Owner acknowledges and agrees that the consideration for the execution of this Agreement is the substantial public benefit to be derived therefrom and the advantage that will accrue to Owner as a result of the effect upon the assessed value of the Historic Property on account of the restrictions on the use and preservation of the Historic Property. 147
7 19. REMEDY IF AGREEMENT HELD NOT ENFORCEABLE. In the event it is finally determined this Agreement does not constitute an enforceable restriction within the meaning of the applicable provisions of the California Government Code and the California Revenue and Taxation Code, except for an unenforceability arising from the cancellation or nonrenewal of this Agreement, then this Agreement shall be null and void and without further effect and the Historic Property subject to this Agreement shall from that time be free from any restriction whatsoever under this Agreement without any payment or further act of the parties to this Agreement. 20. ACQUISITION OF PROPERTY BY EMINENT DOMAIN; CANCELLATION OF CONTRACT; INAPPLICABILITY TO DETERMINATION OF VALUE. In the event that the Historic Property is acquired in whole or part by eminent domain or other acquisition by any entity authorized to exercise the power of eminent domain, and the acquisition is determined by the City to frustrate the purpose of the Agreement, the Agreement shall be canceled and no fee shall be imposed under Section 17, above. The Agreement shall be deemed null and void for all purposes of determining the value of the Historic Property so acquired. If, subsequent to the filing of an action in eminent domain, the proposed condemnation is abandoned by the condemning agency, the restrictions on the use of the Historic Property included in this Agreement shall, without further agreement of the parties, be reinstituted and the terms of this Agreement shall continue in full force and effect. 21. EFFECT OF AGREEMENT. None of the terms, provisions or conditions of this Agreement shall be deemed to create a partnership between the parties hereto and any of their heirs, successors or assigns, nor shall such terms, provisions or conditions cause the parties hereto to be considered joint venturers or members of any joint enterprise. 22. SUCCESSORS AND ASSIGNS. This Agreement is binding upon and shall inure to the benefit of all successors in interest of the Owner, regardless of the tax exempt status of any subsequent owner. A successor in interest shall have the same rights and obligations under this Agreement as the original owner who entered into this Agreement. 23. REQUIREMENTS RELATED TO TRANSFER OF HISTORIC PROPERTY. In the event of any that, at least thirty (30) days prior to such Transfer, it shall give written notice to the City of such proposed Transfer, including the name(s) of the transferee(s). In addition, the Owner and the proposed transferee(s) shall enter into and deliver to the City through the escrow for the Transfer of the Historic Property an assignment and assumption agreement in a form satisfactory to the City's Attorney or such other evidence as may be satisfactory to the City that the transferee(s) has (have) assumed the Owner's obligations set forth in this Agreement. Upon the Transfer of the Historic Property and the assumption of the obligations hereunder by the transferee(s), the Owner's liability for performance shall be terminated as to any obligation to be performed hereunder after the date of such Transfer. 24. RECORDATION. City shall record a copy of this Agreement with the Office of the County Recorder of the County of Orange. 148
8 25. AMENDMENTS. This Agreement may be amended, in whole or in part, only by a written and recorded instrument executed by the parties hereto, except that the Director of Community Development is authorized to amend the list of required projects in Exhibit D. 26. COUNTERPARTS. This Agreement may be executed in any number of counterparts, each of which shall be deemed an original and all of which shall constitute one and the same agreement with the same effect as if all parties had signed the same signature page. Any signature page of this Agreement may be detached from any counterpart of this Agreement and re-attached to any other counterpart of this Agreement identical in form hereto but having attached to it one or more additional signature pages. 27. Community Development (or his/her designated representative) following approval of this Agreement by the City. The City shall maintain authority of this Agreement through the CiDirector of Community Development (or his/her authorized representative). of Community Development shall have the authority to issue interpretations, waive provisions and enter into amendments of this Agreement on behalf of the City so long as such actions do not change the uses permitted on the Historic Property or the purpose of this Agreement. Such amendments may include extensions of time or amendments to the projects specified in Exhibit D. All other waivers or amendments shall require the written approval and consent of the City Council. [Remainder of page intentionally left blank; signatures on next page] 149
9 IN WITNESS WHEREOF, the City and the Owner have executed this Agreement. Dated: , 2022 Ryan Baldasari Dated: , 2022 Annabelle Baldasari CITY OF ORANGE, a municipal corporation Dated: , 2022 By: Mark A. Murphy Mayor ATTEST: APPROVED AS TO FORM: Pamela Coleman Mary E. Binning City Clerk Senior Assistant City Attorney 150
10 ACKNOWLEDGEMENT State of California County of ____________ On before me, , a Notary Public in and for the State of California, personally appeared who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. Signature __________________________________ (Seal) A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. 151
11 EXHIBIT A LEGAL DESCRIPTION OF HISTORIC PROPERTY REAL PROPERTY IN THE CITY OF ORANGE, COUNTY OF ORANGE, STATE OF CALIFORNIA, DESCRIBED AS: Lot 85 of Tract No. 3978, as per Map recorded in Book 140, Pages 17 to 19, inclusive, of Miscellaneous Maps, in the office of the Recorder of Said County. [APN 374-222-11] 152
12 EXHIBIT B SECRETARY OF THE INTERIOR'S STANDARDS FOR REHABILITATION 1. Every reasonable effort shall be made to provide a compatible use for a property, which requires a minimal alteration of the building structure, or site and its environment, or to use a property for its originally intended purpose. 2. The distinguishing original qualities or character of a building, structure, or site and its environment shall not be destroyed. The removal or alteration of any historic material or distinctive architectural features should be avoided when possible. 3. All buildings, structures, and sites shall be recognized as products of their own time. Alterations that have no historical basis and which seek to create an earlier appearance shall be discouraged. 4. Changes which may have taken place in the course of time are evidence of the history and development of a building, structure or site and its environment. These changes may have acquired significance in their own right, and this significance shall be recognized and respected. 5. Distinctive stylistic features or examples of skilled craftsmanship which characterize a building, structure or site shall be treated with sensitivity. 6. Deteriorated architectural features shall be repaired rather than replaced, wherever possible. In the event replacement is necessary, the new material should match the material being replaced in composition, design, color, texture, and other visual qualities. Repair or replacement of missing architectural features should be based on accurate duplications of features, substantiated by historic, physical, or pictorial evidence rather than on conjectural designs or the availability of different architectural elements from other buildings or structures. 7. The surface cleaning of structures shall be undertaken with the gentlest means possible. Sandblasting and other cleaning methods that will damage the historic building materials shall not be undertaken. 8. Every reasonable effort shall be made to protect and preserve archeological resources affected by, or adjacent to, any project. 9. Contemporary design for alterations and additions to existing properties shall not be discouraged when such alterations and additions do not destroy significant historical, architectural or cultural material, and such design is compatible with the size, scale, color, material and character of the property, neighborhood or environment. 10. Wherever possible, new additions or alterations to structures shall be done in such a manner that, if such additions or alterations were to be removed in the future, the essential form and integrity of the structure would be unimpaired. 153
13 EXHIBIT C CITY OF ORANGE HISTORIC PROPERTY MAINTENANCE STANDARDS All buildings, structures, yards and other improvements shall be maintained in a manner which does not detract from the appearance of the immediate neighborhood. The following conditions are prohibited: 1. Dilapidated, deteriorating, or unrepaired structures, such as: fences, roofs, doors, walls and windows. 2. Publicly visible storage of scrap lumber, junk, trash or debris. 3. Publicly visible storage of abandoned, discarded or unused objects or equipment, such as automobiles, automobile parts, furniture, stoves, refrigerators, cans, containers or similar items. 4. Stagnant water or excavations, including pools or spas. 5. Any device, decoration, design, structure or vegetation that is unsightly by reason of its height, condition, or its inappropriate location. 154
14 EXHIBIT D REHABILITATION/MAINTENANCE SCOPE OF WORK [Attached.] 155
EXHIBIT “D”REHABILITATION/MAINTENANCE SCOPE OF WORK825 E Ferndale AvenuePriorityDescription of WorkCost EstimateCompletion DateRemove boiler$450.0020231. Replace deteriorate siding will in-kindEichler siding only when necessary, per theOrange Eichler Design Standards. Prime,paint, add insulation. $43,000.00 20242.Retrofit walls$1,000.0020243.Replace exterior hose bibs$1,000.0020244. Replace downspouts and leader heads, addnew gutters, may need to extend roof$5,500.00 20245.Maintenance for termite treatment and repair$3,000.002024TOTAL$53,950.00 156
15 HISTORIC PROPERTY INVENTORY FORM (DPR 523) [Attached.] 157
State of California - The Resources AgencyDEPARTMENT OF PARKS AND RECREATIONPRIMARY RECORDPage 1 ofDate:TR1/4 of1/4 ofSecB.M.d. UTM:mE/mNe. Other Locational Data:P1. Other Identifier:*P2. Location:c. Address:Zip:(Give more than one for large and/or linear resources)(Describe resource and its major elements. Include design, materials, condition, alterations, size, setting, and boudnaries. Continues on Pg.3.);; ;Zone 'and(P2b and P2c or P2d. Attach a location map as necessary.)City:-*P3a. Description:*P3b. Resource Attributes:(List attributes and codes) (Describe)(Cite survey report and other sources, or enter "none.")*Attachments:Continuation Sheet(s)Building, Structure, and Object Record (Name, affiliation, and address) (View, date, accession #)*P6. Date Constructed/ Age and Source:*P7. Owner and Address:*P8: Recorded by:*P10. Survey Type:*P11. Report Citation:DPR 523A (1/95)*Required Information *Resource Name or #:(Assigned by Recorder)
*P9. Date Recorded:

Primary #HRI #Date:NRHP Status CodeTrinomialOther Listings:Review Code:Reviewer:*a. County:P5b. Description of Photo:Unrestricted3Site*P4. Resources Present:BuildingObjectElement of DistrictOther (Isolates, etc.)DistrictStructureNot for Publication District RecordPhotograph RecordLocation MapArtifact RecordArchaeological RecordNONELinear Feature RecordRock Art RecordMilling Station RecordOther (List):

Materials:PrehistoricHistoricBoth*b. USGS 7.5' Quad:
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B1. Historic Name:B3. Original Use:B4. Present Use:*B5. Architectural Style:*B6. Construction History:(Construction date, atlerations, and date of alterations)Date of Construction:*B9. Architect or Builder:Period of Significance:*B10. Significance: Property Type:(Discuss importance in terms of historical or architectural context as defined by theme, period, and geographic scope. Also address integrity. Continues on Pg.4.)*B8. Related Features:Date:Original Location:*B7. Moved?Theme: Area:Structural Integrity:(List attributes and codes)*Date of Evaluation:B11. Additional Resource Attributes:(This space reserved for official comments.)*B14. Evaluator:B13. Remarks:

State of California - The Resources AgencyDEPARTMENT OF PARKS AND RECREATIONBUILDING, STRUCTURE, AND OBJECT RECORD *B12. References:
*NRHP Status CodePrimary #HRI #YesNoUnknownPage 2 of3*Resource Name or #:(Assigned by Recorder)PrehistoricHistoricBothB2. Common Name:Applicable Criteria:(Sketch Map with North arrow required.)DPR 523B (1/95)*Required Information OpportunitiesSite Integrity:(Continues on Pg.3.)
159
State of California - The Resources AgencyDEPARTMENT OF PARKS AND RECREATIONCONTINUATION SHEETPrimary #HRI #TrinomialRecorded by:Date Recorded:

P3a. Description (Continued from Pg.1):

DPR 523L (11/98)*Required Information
UpdateContinuationPage 3 of3B6. Construction History (Continued from Pg.2):Lot Acre:Principal Building Sqft:Planning Zone:# of Stories:Years Surveyed:General Plan:# of Units:B13. Remarks (Continued from Pg.2):*Resource Name or #:(Assigned by Recorder)Listed in National Register:# of Buildings:

Description of Photo:
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1 RECORDING REQUESTED BY AND, WHEN RECORDED, MAIL TO: City Clerk City of Orange 300 E. Chapman Avenue Exempt from recording fees pursuant to Orange, California, 92866 Gov. Code Sections 6103 and 27383 Property Address: 421 S. Orange Street APN: 390-412-03 Mills Act Contract Number: 425.0-22 HISTORIC PROPERTY PRESERVATION AGREEMENT (MILLS ACT CONTRACT) entered into as of the date o KATIE ELLEN MONTGOMERY and MICHAEL CHRISTIAN MONTGOMERY, as Trustees of the Montgomery Family Trust (reference to the following: RECITALS WHEREAS, the Mills Act (Government Code Section 50280 et seq.) provides cities with the opportunity to contract with owners of qualified historical properties whereby the owner promises to preserve and rehabilitate the property in return for a potential reduced property tax assessment; and WHEREAS, the City of Orange has established Historic Districts consisting of the Plaza Historic District, listed in the National Register of Historic Places; the Old Towne Orange Historic District, listed in the National Register of Historic Places; the local Old Towne Orange Historic District, designated by the Orange City Council; and the local Eichler Fairhaven, Fairhills, and Fairmeadow Historic Districts, designated by the Orange City Council; and the City desires to promote the character, quality of life, and historic features of said Districts to its citizens and visitors; and WHEREAS, the City is dedicated to the protection and stabilization of property values through maintaining and upgrading its older housing stock, through the use of incentives such as the Mills Act; and WHEREAS, the Mills Act also has beneficial effects on City businesses, economic stability and community pride by preserving important neighborhood historic resources; and WHEREAS, the use of the Mills Act will fulfill one of the goals of the 2010 General Plan Cultural Resources Element; specifically, 162
2 , CR-22); and WHEREAS, Owner possesses fee simple title in and to that certain real property, together with associated structures and improvements thereon, located at 421 S. Orange Street in the City of Orange, County of Orange, State of California, 390-412-03 and more specifically described in Exhibit A, which exhibit is attached hereto and made a part hereof (Property); and WHEREAS, the Historic Property is a qualified historical property under the Mills Act in that it is privately owned property which is not exempt from property taxation and is either: individually designated or is a contributing property within a designated district which is listed in the National Register of Historic Places, California Register of Historical Resources or Register of Historical Landmarks, California Points of Historical Interest, or is a contributing property in a locally designated historic district; and WHEREAS, Owner, in consideration for abiding by the terms of this Agreement shall be entitled to a reassessment of valuation of the Historic Property and any corresponding reduction in property taxes pursuant to the provisions of the California Revenue and Taxation Code; and accrued under this Agreement for improvements to (as defined below). To that end, as a condition of renewal, the City will require a revised schedule of improvements every ten years showing a plan for improvements commensurate with the tax savings; and WHEREAS, the City and Owner for their mutual benefit, now desire to enter into this Agreement to limit the use of the Historic Property to prevent inappropriate alterations, to ensure that characteristics of historic significance are preserved and maintained in an exemplary manner, and to carry out the purposes of Article 12 (commencing with Section 50280) of Chapter 1, Part 1, Division 1 of Title 5 of the California Government Code and Article 1.9 (commencing with Section 439) of Chapter 3, Part 2 of Division 1 of the California Revenue and Taxation Code. AGREEMENT NOW, THEREFORE, both Owner and City, in consideration of the mutual promises, covenants and conditions contained herein and the substantial public benefits to be derived therefrom, do hereby agree as follows: 1. APPLICABLE LAWS. This Agreement is made pursuant to California Government Code Sections 50280 through 50290 and Article 1.9 (commencing with Section 439) of Chapter 3, Part 2 of Division 1 of the California Revenue and Taxation Code and is subject to all of the provisions of those statutes. To the extent any of the provisions in this Agreement are inconsistent with the aforementioned provisions of the Government and Revenue and Taxation Codes, they are superseded by those Code Sections. 163
3 2. ASSESSMENT OF VALUATION. Property tax relief afforded to Owner pursuant to Chapter 3, Part 2 of Division 1 of the California Revenue and Taxation Code will be determined solely by the Orange County Office of the Assessor. City makes no representations regarding the actual tax savings any person may realize by entering into this Agreement. 3. PRESERVATION OF PROPERTY. Owner agrees to preserve and maintain the Historic Property and its character defining features. Character defining features include, but are not necessarily limited to, the general architectural form, style, materials, design, scale, details, mass, roofline and other aspects of the appearance of the exterior of the Historic Property. For purposes of identification of the Historic PProperty Inventory Form (DPR 523) is attached as Exhibit E. The Secretary of the Interior's Standards for Rehabilitation (Exhibit Bmaintenance standards (Exhibit C), attached hereto and incorporated herein by reference, shall constitute the minimum standards and conditions for preservation and rehabilitation of the Historic Property, and shall apply to the Historic Property throughout the term of this Agreement. Owner shall, where necessary, rehabilitate the Historic Property to conform to the rules and regulations of the Office of Historic Preservation of the California Department of Parks and Recreation, the Secretary of the Interior's Standards for Rehabilitation, the California Historical Building Code, and the Historic Preservation Design Standards for Old Towne and Eichler Design Standards. As consideration for the City to enter into this Agreement, the Owner agrees, at its own cost and expense, to complete, or cause to be completed, the work or improvements described in Exhibit D within the times established therefore in Exhibit D. The Owner shall secure any and all permits which may be required by the City or any other governmental agency affected by the construction of the work or improvements. The Owner accepts responsibility for and shall be responsible for identification of and compliance with all applicable laws pertaining to the construction and installation of the work or improvements described on Exhibit D and the contract or contracts pertaining thereto. The Owner will neither seek to hold nor hold the City liable for, and will hold the City harmless with respect to, any consequences of any failure by the Owner to correctly determine the applicability of any such requirements to any contract he/she/they enter into. In addition to the foregoing, the Owner hereby agrees to and will comply with all applicable local, state, and federal statutes, regulations, rules, codes (including building codes), ordinances, and pertaining to the use of the Historic Property. Owner must give the City immediate written notice on OwnerHistoric Property is in violation of any Applicable Laws. 4. INSPECTIONS AND ANNUAL REPORTING. Owner agrees to permit the examination, by prior appointment, of the interior and exterior of the Historic Property by the City at a minimum every five (5) years during the Agreement term to determine Owner's compliance with the terms and provisions of this Agreement. Owner agrees to provide the City with a report as to the status of the Historic Property annually within thirty (30) days following each anniversary of the 164
4 Effective Date of this Agreement. The annual report shall provide substantiation reasonably Historic Preservation Planner or in his/her absence the Director of Community Development that Owner has completed the work required by Exhibit D for the twelve month period preceding each anniversary of this Agreement, and whether the Historic Property has undergone any changed conditions, and whether Owner has received any public funds from other sources designated for the preservation or maintenance of the Historic Property and from whom such funds have been received. 5. PAYMENT OF ANNUAL FEE. The Owner shall pay the City an annual fee to cover administrative costs associated with this Agreement including but not limited to the reasonable cost of monitoring the Historic Property, performing required inspections, and enforcement of the Agreement. Said fee shall be payable to the City of Orange and shall be remitted to the Planning Division upon demand and prior to any required inspection. The amount of the annual inspection fee shall be established by the City and may be revised from time to time, which fee shall be set Failure to pay the required fee within 45 days of the due date will be considered a willful breach of this Agreement and may result in cancellation of the Agreement in accordance with the cancellation terms detailed below. 6. TERM. The term of this Agreement is for a period of ten (10) years. The initial term of this Agreement shall be from December 13, 2022 to and including December 13, 2032. 7. AUTOMATIC RENEWAL. On each yearly anniversary of the Effective Date of this Agreement ("renewal date"), one year shall be added automatically to the initial term of this Agreement, unless notice of non-renewal is given as provided in this Agreement. 8. EFFECT OF OUTSIDE FUNDS. If Owner receives funds designated for the preservation or maintenance of the Historic Property from any other public agency, this Agreement shall not be renewed except upon the vote of the City Council. 9. NOTICE OF NONRENEWAL. If in any year either the Owner or City desires not to renew this Agreement, that party shall serve written notice of nonrenewal to the other party in advance of the annual renewal date. Unless the notice is served by Owner to City at least ninety (90) days, or by City to Owner at least sixty (60) days prior to the renewal date, one year shall automatically be added to the term of the Agreement. Within fifteen (15) days of receipt by Owner of a notice of nonrenewal from the City, Owner may make a written protest. Upon receipt of such a protest the City Council shall set a hearing prior to the expiration of the renewal date of this Agreement or toll the renewal date until such hearing can reasonably held. Owner may furnish the City Council with any information which the Owner deems relevant; and shall furnish the City Council with any information it may require. At any time prior to the renewal date, City may withdraw its notice of nonrenewal. 10. EFFECT OF NOTICE NOT TO RENEW. If in any year either party serves notice of intent not to renew this Agreement, this Agreement shall remain in effect for the balance of the period remaining since the original execution date if not yet renewed, or the last renewal date of the Agreement, as the case may be. 165
5 11. UPDATE OF IMPROVEMENT SCHEDULE. At least ninety (90) days prior to the tenth (10th) anniversary of the Effective Date of this Agreement, and ninety (90) days prior to every tenth (10th) anniversary thereafter, Owner shall provide City with an updated schedule of rehabilitation maintenance items review and approval. Such updated schedule shall contain a list of proposed improvements and/or revisions to be accomplished during the next succeeding ten (10) years of the Agreement and a schedule for the construction of such improvements. Within thirty (30) days after the receipt of said updated schedule, Community Development shall either approve or disapprove such proposed schedule of proposed improvements, or shall respond in writing by stating what further information, if any, the City reasonably requires in order to determine the request complete and determine whether or not to grant the requested approval. Upon receipt of such a response, the Owner shall promptly furnish to the City such further information as may be reasonably requested. Director of Community Development (or his/her authorized representative), the Owner shall meet and confer with the Planner for Historic Preservation or in his/her absence the Director of Community Development (or his/her designee) regarding matters arising hereunder with respect to the work and improvements and the progress in constructing the same. 12. INDEPENDENT ADVICE OF COUNSEL. The Owner, and each of them, represent and declare that in executing this Agreement he/she/they have relied solely upon his/her/their own judgment, belief and knowledge, and the advice and recommendations of his/her/their own independently selected counsel, concerning the nature, extent and duration of his/her/their rights and claims, and that he/she/they have not been influenced to any extent whatsoever in executing the same by the City or by any person representing the City. 13. ENFORCEMENT OF AGREEMENT. If the City determines the owner has breached any of the conditions of the Agreement provided for or has allowed the property to deteriorate to the point it no longer meets the standards for a qualified historical property, the City shall either cancel the Agreement or bring any action in court necessary to enforce the Agreement including, but not limited to an action to enforce the Agreement by specific performance to cure, correct or remedy any breach of the terms of this Agreement, to recover damages for any breach, or to obtain any other remedy consistent with the purpose of this Agreement. In the event of a default under the provisions of this Agreement by Owner, City shall give written notice to Owner specifying the alleged grounds for the default. Said notice shall be given by registered or certified mail addressed to the address stated in this Agreement. If such violation(s) is not corrected to the reasonable satisfaction of the City within thirty (30) days from the receipt of the notice of violation, or within such reasonable time as may be required to cure the breach or default, provided that acts to cure, correct or remedy such breach or default are commenced within thirty (30) days and thereafter diligently pursued to completion, then City may, without further notice, institute legal action. Except as otherwise expressly stated in this Agreement, the rights and remedies of the City are cumulative, and the exercise by the City of one or more of such rights or remedies shall not preclude the exercise by it, at the same or different times, of any other rights or remedies for the same default or any other default by the Owner. Any failure or delay by the City in asserting any 166
6 of its right and remedies as to a breach of any of the covenants, conditions or agreements set forth herein shall not operate as a waiver of such breach or of any such rights or remedies, or deprive the City of its right to institute and maintain any actions or proceedings which it may deem necessary to protect, assert or enforce such rights or remedies. A waiver by the City of a breach shall not be construed as a waiver of any succeeding breach of the same or other covenants, conditions or agreements set forth in this Agreement. 14. CANCELLATION. In lieu of bringing an action to enforce the Agreement City may cancel this Agreement if City determines Owner has breached any of the conditions or covenants of this Agreement or has allowed the Historic Property to deteriorate to the point that it no longer meets the standards for a qualified historical property. City may also cancel this Agreement if it determines Owner has failed to rehabilitate the Historic Property in the manner specified in this Agreement. 15. NOTICE OF CANCELLATION. This Agreement cannot be canceled until after City has given notice and has held a public hearing as required by Government Code Section 50285. Notice of the hearing shall be mailed to the last known address of each owner of property within 300 feet of the Historic Property and shall be published in accordance with Government Code Section 6061. 16. CANCELLATION FEE. If City cancels this Agreement in accordance with Section 15 above, Owner shall pay a cancellation fee of twelve and one-half percent (12-1/2%) of the current fair market value of the Historic Property at the time of cancellation. The current fair market value shall be determined by the County Assessor as though the Historic Property were free of the restriction on the Historic Property imposed pursuant to this Agreement. The cancellation fee shall be paid to the County Auditor at such time and in such manner as the County Auditor shall prescribe. 17. NOTICES. All notices required by or provided for in the Agreement shall be given in writing and may be mailed or delivered in person at the address of the respective parties as specified below or at any other address as may be later specified by the parties. Deposit of notice in the mail, postage prepaid, shall be deemed receipt of the notice. City of Orange Attn.: City Clerk Katie and Michael Montgomery 300 E. Chapman Avenue 421 S. Orange Street Orange, CA 92866 Orange, CA 92866 18. NO COMPENSATION. Owner shall not receive any payment from the City in consideration of the obligations imposed under this Agreement. The Owner acknowledges and agrees that the consideration for the execution of this Agreement is the substantial public benefit to be derived therefrom and the advantage that will accrue to Owner as a result of the effect upon the assessed value of the Historic Property on account of the restrictions on the use and preservation of the Historic Property. 167
7 19. REMEDY IF AGREEMENT HELD NOT ENFORCEABLE. In the event it is finally determined this Agreement does not constitute an enforceable restriction within the meaning of the applicable provisions of the California Government Code and the California Revenue and Taxation Code, except for an unenforceability arising from the cancellation or nonrenewal of this Agreement, then this Agreement shall be null and void and without further effect and the Historic Property subject to this Agreement shall from that time be free from any restriction whatsoever under this Agreement without any payment or further act of the parties to this Agreement. 20. ACQUISITION OF PROPERTY BY EMINENT DOMAIN; CANCELLATION OF CONTRACT; INAPPLICABILITY TO DETERMINATION OF VALUE. In the event that the Historic Property is acquired in whole or part by eminent domain or other acquisition by any entity authorized to exercise the power of eminent domain, and the acquisition is determined by the City to frustrate the purpose of the Agreement, the Agreement shall be canceled and no fee shall be imposed under Section 17, above. The Agreement shall be deemed null and void for all purposes of determining the value of the Historic Property so acquired. If, subsequent to the filing of an action in eminent domain, the proposed condemnation is abandoned by the condemning agency, the restrictions on the use of the Historic Property included in this Agreement shall, without further agreement of the parties, be reinstituted and the terms of this Agreement shall continue in full force and effect. 21. EFFECT OF AGREEMENT. None of the terms, provisions or conditions of this Agreement shall be deemed to create a partnership between the parties hereto and any of their heirs, successors or assigns, nor shall such terms, provisions or conditions cause the parties hereto to be considered joint venturers or members of any joint enterprise. 22. SUCCESSORS AND ASSIGNS. This Agreement is binding upon and shall inure to the benefit of all successors in interest of the Owner, regardless of the tax exempt status of any subsequent owner. A successor in interest shall have the same rights and obligations under this Agreement as the original owner who entered into this Agreement. 23. REQUIREMENTS RELATED TO TRANSFER OF HISTORIC PROPERTY. In the event of any that, at least thirty (30) days prior to such Transfer, it shall give written notice to the City of such proposed Transfer, including the name(s) of the transferee(s). In addition, the Owner and the proposed transferee(s) shall enter into and deliver to the City through the escrow for the Transfer of the Historic Property an assignment and assumption agreement in a form satisfactory to the City's Attorney or such other evidence as may be satisfactory to the City that the transferee(s) has (have) assumed the Owner's obligations set forth in this Agreement. Upon the Transfer of the Historic Property and the assumption of the obligations hereunder by the transferee(s), the Owner's liability for performance shall be terminated as to any obligation to be performed hereunder after the date of such Transfer. 24. RECORDATION. City shall record a copy of this Agreement with the Office of the County Recorder of the County of Orange. 168
8 25. AMENDMENTS. This Agreement may be amended, in whole or in part, only by a written and recorded instrument executed by the parties hereto, except that the Director of Community Development is authorized to amend the list of required projects in Exhibit D. 26. COUNTERPARTS. This Agreement may be executed in any number of counterparts, each of which shall be deemed an original and all of which shall constitute one and the same agreement with the same effect as if all parties had signed the same signature page. Any signature page of this Agreement may be detached from any counterpart of this Agreement and re-attached to any other counterpart of this Agreement identical in form hereto but having attached to it one or more additional signature pages. 27. Community Development (or his/her designated representative) following approval of this Agreement by the City. Director of Community Development (or his/her authorized representative). of Community Development shall have the authority to issue interpretations, waive provisions and enter into amendments of this Agreement on behalf of the City so long as such actions do not change the uses permitted on the Historic Property or the purpose of this Agreement. Such amendments may include extensions of time or amendments to the projects specified in Exhibit D. All other waivers or amendments shall require the written approval and consent of the City Council. [Remainder of page intentionally left blank; signatures on next page] 169
9 IN WITNESS WHEREOF, the City and the Owner have executed this Agreement. Dated: , 2022 Katie Ellen Montgomery Dated: , 2022 Michael Christian Montgomery CITY OF ORANGE, a municipal corporation Dated: , 2022 By: Mark A. Murphy Mayor ATTEST: APPROVED AS TO FORM: Pamela Coleman Mary E. Binning City Clerk Senior Assistant City Attorney 170
10 ACKNOWLEDGEMENT State of California County of ____________ On before me, , a Notary Public in and for the State of California, personally appeared who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. Signature __________________________________ (Seal) A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. 171
11 EXHIBIT A LEGAL DESCRIPTION OF HISTORIC PROPERTY REAL PROPERTY IN THE CITY OF ORANGE, COUNTY OF ORANGE, STATE OF CALIFORNIA, DESCRIBED AS: County of Orange, State of California, As per Map Recorded in Book 2, Page 21 of Miscellaneous Maps, in the Office of the County Recorder of Said County. [APN 390-412-03] 172
12 EXHIBIT B SECRETARY OF THE INTERIOR'S STANDARDS FOR REHABILITATION 1. Every reasonable effort shall be made to provide a compatible use for a property, which requires a minimal alteration of the building structure, or site and its environment, or to use a property for its originally intended purpose. 2. The distinguishing original qualities or character of a building, structure, or site and its environment shall not be destroyed. The removal or alteration of any historic material or distinctive architectural features should be avoided when possible. 3. All buildings, structures, and sites shall be recognized as products of their own time. Alterations that have no historical basis and which seek to create an earlier appearance shall be discouraged. 4. Changes which may have taken place in the course of time are evidence of the history and development of a building, structure or site and its environment. These changes may have acquired significance in their own right, and this significance shall be recognized and respected. 5. Distinctive stylistic features or examples of skilled craftsmanship which characterize a building, structure or site shall be treated with sensitivity. 6. Deteriorated architectural features shall be repaired rather than replaced, wherever possible. In the event replacement is necessary, the new material should match the material being replaced in composition, design, color, texture, and other visual qualities. Repair or replacement of missing architectural features should be based on accurate duplications of features, substantiated by historic, physical, or pictorial evidence rather than on conjectural designs or the availability of different architectural elements from other buildings or structures. 7. The surface cleaning of structures shall be undertaken with the gentlest means possible. Sandblasting and other cleaning methods that will damage the historic building materials shall not be undertaken. 8. Every reasonable effort shall be made to protect and preserve archeological resources affected by, or adjacent to, any project. 9. Contemporary design for alterations and additions to existing properties shall not be discouraged when such alterations and additions do not destroy significant historical, architectural or cultural material, and such design is compatible with the size, scale, color, material and character of the property, neighborhood or environment. 10. Wherever possible, new additions or alterations to structures shall be done in such a manner that, if such additions or alterations were to be removed in the future, the essential form and integrity of the structure would be unimpaired. 173
13 EXHIBIT C CITY OF ORANGE HISTORIC PROPERTY MAINTENANCE STANDARDS All buildings, structures, yards and other improvements shall be maintained in a manner which does not detract from the appearance of the immediate neighborhood. The following conditions are prohibited: 1. Dilapidated, deteriorating, or unrepaired structures, such as: fences, roofs, doors, walls and windows. 2. Publicly visible storage of scrap lumber, junk, trash or debris. 3. Publicly visible storage of abandoned, discarded or unused objects or equipment, such as automobiles, automobile parts, furniture, stoves, refrigerators, cans, containers or similar items. 4. Stagnant water or excavations, including pools or spas. 5. Any device, decoration, design, structure or vegetation that is unsightly by reason of its height, condition, or its inappropriate location. 174
14 EXHIBIT D REHABILITATION/MAINTENANCE SCOPE OF WORK [Attached.] 175
EXHIBIT “D”REHABILITATION/MAINTENANCE SCOPE OF WORK421 S. Orange AvenuePriorityDescription of WorkCost EstimateCompletion Date1. Engage a structural engineer experienced inhistoric preservation to evaluate thefoundation and structure, and makerecommendations for repair and retrofit$2,500.00 20232.Earthquake retrofit$5,000.0020233. Structural support beams in garage per theHistoric Preservation Design Standards$20,000.00 20264. Repair windows in accordance to theHistoricPreservation Design Standards$2,000.00 20285.Repaint exterior$8,000.0020296.Plumbing$15,000.002031TOTAL$52,500.00 176
15 HISTORIC PROPERTY INVENTORY FORM (DPR 523) [Attached.] 177
State of California - The Resources AgencyDEPARTMENT OF PARKS AND RECREATIONPRIMARY RECORDPage 1 of*b. USGS 7.5' Quad:Date:TR1/4 of1/4 ofSecB.M.d. UTM:mE/mNe. Other Locational Data:P1. Other Identifier:*P2. Location:c. Address:Zip:(Give more than one for large and/or linear resources)(Describe resource and its major elements. Include design, materials, condition, alterations, size, setting, and boudnaries. Continues on Pg.3.);; ;Zone 'and(P2b and P2c or P2d. Attach a location map as necessary.)City:-*P3a. Description:*P3b. Resource Attributes:(List attributes and codes) (Describe)(Cite survey report and other sources, or enter "none.")*Attachments:Continuation Sheet(s)Building, Structure, and Object Record (Name, affiliation, and address) (View, date, accession #)*P6. Date Constructed/ Age and Source:*P7. Owner and Address:*P8: Recorded by:*P10. Survey Type:*P11. Report Citation:DPR 523A (1/95)*Required Information *Resource Name or #:(Assigned by Recorder)
*P9. Date Recorded:

Primary #HRI #Date:NRHP Status CodeTrinomialOther Listings:Review Code:Reviewer:*a. County:P5b. Description of Photo:Unrestricted3Site*P4. Resources Present:BuildingObjectElement of DistrictOther (Isolates, etc.)DistrictStructureNot for Publication District RecordPhotograph RecordLocation MapArtifact RecordArchaeological RecordNONELinear Feature RecordRock Art RecordMilling Station RecordOther (List):

Materials:PrehistoricHistoricBoth
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B1. Historic Name:B3. Original Use:B4. Present Use:*B5. Architectural Style:*B6. Construction History:(Construction date, atlerations, and date of alterations)Date of Construction:*B9. Architect or Builder:Period of Significance:*B10. Significance: Property Type:(Discuss importance in terms of historical or architectural context as defined by theme, period, and geographic scope. Also address integrity. Continues on Pg.4.)*B8. Related Features:Date:Original Location:*B7. Moved?Theme: Area:Structural Integrity:(List attributes and codes)*Date of Evaluation:B11. Additional Resource Attributes:(This space reserved for official comments.)*B14. Evaluator:B13. Remarks:

State of California - The Resources AgencyDEPARTMENT OF PARKS AND RECREATIONBUILDING, STRUCTURE, AND OBJECT RECORD *B12. References:
*NRHP Status CodePrimary #HRI #YesNoUnknownPage 2 of3*Resource Name or #:(Assigned by Recorder)PrehistoricHistoricBothB2. Common Name:Applicable Criteria:(Sketch Map with North arrow required.)DPR 523B (1/95)*Required Information Opportunities:Site Integrity:(Continues on Pg.3.)
179
State of California - The Resources AgencyDEPARTMENT OF PARKS AND RECREATIONCONTINUATION SHEET Description of Photo:Primary #HRI #TrinomialRecorded by:Date Recorded:

P3a. Description (Continued from Pg.1):

DPR 523L (11/98)*Required Information
UpdateContinuationPage 3 of3B6. Construction History (Continued from Pg.2):Lot Acre:Principal Building Sqft:Planning Zone:# of Stories:Years Surveyed:General Plan:# of Units:B13. Remarks (Continued from Pg.2):*Resource Name or #:(Assigned by Recorder)Listed in National Register:# of Buildings:
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1 RECORDING REQUESTED BY AND, WHEN RECORDED, MAIL TO: City Clerk City of Orange 300 E. Chapman Avenue Exempt from recording fees pursuant to Orange, California, 92866 Gov. Code Sections 6103 and 27383 Property Address: 3730 E. Kirkwood Avenue APN: 094-462-20 Mills Act Contract Number: 426.0-22 HISTORIC PROPERTY PRESERVATION AGREEMENT (MILLS ACT CONTRACT) entered into as of the dat TREVOR ALAN PEREA and BLYTH MARIE PEREA, as husband and wife as community property ( RECITALS WHEREAS, the Mills Act (Government Code Section 50280 et seq.) provides cities with the opportunity to contract with owners of qualified historical properties whereby the owner promises to preserve and rehabilitate the property in return for a potential reduced property tax assessment; and WHEREAS, the City of Orange has established Historic Districts consisting of the Plaza Historic District, listed in the National Register of Historic Places; the Old Towne Orange Historic District, listed in the National Register of Historic Places; the local Old Towne Orange Historic District, designated by the Orange City Council; and the local Eichler Fairhaven, Fairhills, and Fairmeadow Historic Districts, designated by the Orange City Council; and the City desires to promote the character, quality of life, and historic features of said Districts to its citizens and visitors; and WHEREAS, the City is dedicated to the protection and stabilization of property values through maintaining and upgrading its older housing stock, through the use of incentives such as the Mills Act; and WHEREAS, the Mills Act also has beneficial effects on City businesses, economic stability and community pride by preserving important neighborhood historic resources; and WHEREAS, the use of the Mills Act will fulfill one of the goals of the 2010 General Plan Cultural Resources Element; specifically, 182
2 , CR-22); and WHEREAS, Owner possesses fee simple title in and to that certain real property, together with associated structures and improvements thereon, located at 3730 E. Kirkwood Avenue in the City of Orange, County of Orange, State of California, 094-462-20 and more specifically described in Exhibit A, which exhibit is attached hereto and made a part hereof (); and WHEREAS, the Historic Property is a qualified historical property under the Mills Act in that it is privately owned property which is not exempt from property taxation and is either: individually designated or is a contributing property within a designated district which is listed in the National Register of Historic Places, California Register of Historical Resources or Register of Historical Landmarks, California Points of Historical Interest, or is a contributing property in a locally designated historic district; and WHEREAS, Owner, in consideration for abiding by the terms of this Agreement shall be entitled to a reassessment of valuation of the Historic Property and any corresponding reduction in property taxes pursuant to the provisions of the California Revenue and Taxation Code; and savings accrued under this Agreement for improvements to (as defined below). To that end, as a condition of renewal, the City will require a revised schedule of improvements every ten years showing a plan for improvements commensurate with the tax savings; and WHEREAS, the City and Owner for their mutual benefit, now desire to enter into this Agreement to limit the use of the Historic Property to prevent inappropriate alterations, to ensure that characteristics of historic significance are preserved and maintained in an exemplary manner, and to carry out the purposes of Article 12 (commencing with Section 50280) of Chapter 1, Part 1, Division 1 of Title 5 of the California Government Code and Article 1.9 (commencing with Section 439) of Chapter 3, Part 2 of Division 1 of the California Revenue and Taxation Code. AGREEMENT NOW, THEREFORE, both Owner and City, in consideration of the mutual promises, covenants and conditions contained herein and the substantial public benefits to be derived therefrom, do hereby agree as follows: 1. APPLICABLE LAWS. This Agreement is made pursuant to California Government Code Sections 50280 through 50290 and Article 1.9 (commencing with Section 439) of Chapter 3, Part 2 of Division 1 of the California Revenue and Taxation Code and is subject to all of the provisions of those statutes. To the extent any of the provisions in this Agreement are inconsistent with the aforementioned provisions of the Government and Revenue and Taxation Codes, they are superseded by those Code Sections. 183
3 2. ASSESSMENT OF VALUATION. Property tax relief afforded to Owner pursuant to Chapter 3, Part 2 of Division 1 of the California Revenue and Taxation Code will be determined solely by the Orange County Office of the Assessor. City makes no representations regarding the actual tax savings any person may realize by entering into this Agreement. 3. PRESERVATION OF PROPERTY. Owner agrees to preserve and maintain the Historic Property and its character defining features. Character defining features include, but are not necessarily limited to, the general architectural form, style, materials, design, scale, details, mass, roofline and other aspects of the appearance of the exterior of the Historic Property. For purposes of identification of the Historic PProperty Inventory Form (DPR 523) is attached as Exhibit E. The Secretary of the Interior's Standards for Rehabilitation (Exhibit Bmaintenance standards (Exhibit C), attached hereto and incorporated herein by reference, shall constitute the minimum standards and conditions for preservation and rehabilitation of the Historic Property, and shall apply to the Historic Property throughout the term of this Agreement. Owner shall, where necessary, rehabilitate the Historic Property to conform to the rules and regulations of the Office of Historic Preservation of the California Department of Parks and Recreation, the Secretary of the Interior's Standards for Rehabilitation, the California Historical Building Code, and the Historic Preservation Design Standards for Old Towne and Eichler Design Standards. As consideration for the City to enter into this Agreement, the Owner agrees, at its own cost and expense, to complete, or cause to be completed, the work or improvements described in Exhibit D within the times established therefore in Exhibit D. The Owner shall secure any and all permits which may be required by the City or any other governmental agency affected by the construction of the work or improvements. The Owner accepts responsibility for and shall be responsible for identification of and compliance with all applicable laws pertaining to the construction and installation of the work or improvements described on Exhibit D and the contract or contracts pertaining thereto. The Owner will neither seek to hold nor hold the City liable for, and will hold the City harmless with respect to, any consequences of any failure by the Owner to correctly determine the applicability of any such requirements to any contract he/she/they enter into. In addition to the foregoing, the Owner hereby agrees to and will comply with all applicable local, state, and federal statutes, regulations, rules, codes (including building codes), ordinances, and pertaining to the use of the Historic Property. Owner must give the City immediate written notice on OwnerHistoric Property is in violation of any Applicable Laws. 4. INSPECTIONS AND ANNUAL REPORTING. Owner agrees to permit the examination, by prior appointment, of the interior and exterior of the Historic Property by the City at a minimum every five (5) years during the Agreement term to determine Owner's compliance with the terms and provisions of this Agreement. Owner agrees to provide the City with a report as to the status of the Historic Property annually within thirty (30) days following each anniversary of the 184
4 Effective Date of this Agreement. The annual report shall provide substantiation reasonably Historic Preservation Planner or in his/her absence the Director of Community Development that Owner has completed the work required by Exhibit D for the twelve month period preceding each anniversary of this Agreement, and whether the Historic Property has undergone any changed conditions, and whether Owner has received any public funds from other sources designated for the preservation or maintenance of the Historic Property and from whom such funds have been received. 5. PAYMENT OF ANNUAL FEE. The Owner shall pay the City an annual fee to cover administrative costs associated with this Agreement including but not limited to the reasonable cost of monitoring the Historic Property, performing required inspections, and enforcement of the Agreement. Said fee shall be payable to the City of Orange and shall be remitted to the Planning Division upon demand and prior to any required inspection. The amount of the annual inspection fee shall be established by the City and may be revised from time to time, which fee shall be set Failure to pay the required fee within 45 days of the due date will be considered a willful breach of this Agreement and may result in cancellation of the Agreement in accordance with the cancellation terms detailed below. 6. TERM. The term of this Agreement is for a period of ten (10) years. The initial term of this Agreement shall be from December 13, 2022 to and including December 13, 2032. 7. AUTOMATIC RENEWAL. On each yearly anniversary of the Effective Date of this Agreement ("renewal date"), one year shall be added automatically to the initial term of this Agreement, unless notice of non-renewal is given as provided in this Agreement. 8. EFFECT OF OUTSIDE FUNDS. If Owner receives funds designated for the preservation or maintenance of the Historic Property from any other public agency, this Agreement shall not be renewed except upon the vote of the City Council. 9. NOTICE OF NONRENEWAL. If in any year either the Owner or City desires not to renew this Agreement, that party shall serve written notice of nonrenewal to the other party in advance of the annual renewal date. Unless the notice is served by Owner to City at least ninety (90) days, or by City to Owner at least sixty (60) days prior to the renewal date, one year shall automatically be added to the term of the Agreement. Within fifteen (15) days of receipt by Owner of a notice of nonrenewal from the City, Owner may make a written protest. Upon receipt of such a protest the City Council shall set a hearing prior to the expiration of the renewal date of this Agreement or toll the renewal date until such hearing can reasonably held. Owner may furnish the City Council with any information which the Owner deems relevant; and shall furnish the City Council with any information it may require. At any time prior to the renewal date, City may withdraw its notice of nonrenewal. 10. EFFECT OF NOTICE NOT TO RENEW. If in any year either party serves notice of intent not to renew this Agreement, this Agreement shall remain in effect for the balance of the period remaining since the original execution date if not yet renewed, or the last renewal date of the Agreement, as the case may be. 185
5 11. UPDATE OF IMPROVEMENT SCHEDULE. At least ninety (90) days prior to the tenth (10th) anniversary of the Effective Date of this Agreement, and ninety (90) days prior to every tenth (10th) anniversary thereafter, Owner shall provide City with an updated schedule of rehabilitation maintenance items review and approval. Such updated schedule shall contain a list of proposed improvements and/or revisions to be accomplished during the next succeeding ten (10) years of the Agreement and a schedule for the construction of such improvements. Within thirty (30) days after the receipt of said updated schedule, Community Development shall either approve or disapprove such proposed schedule of proposed improvements, or shall respond in writing by stating what further information, if any, the City reasonably requires in order to determine the request complete and determine whether or not to grant the requested approval. Upon receipt of such a response, the Owner shall promptly furnish to the City such further information as may be reasonably requested. Director of Community Development (or his/her authorized representative), the Owner shall meet and confer with the Planner for Historic Preservation or in his/her absence the Director of Community Development (or his/her designee) regarding matters arising hereunder with respect to the work and improvements and the progress in constructing the same. 12. INDEPENDENT ADVICE OF COUNSEL. The Owner, and each of them, represent and declare that in executing this Agreement he/she/they have relied solely upon his/her/their own judgment, belief and knowledge, and the advice and recommendations of his/her/their own independently selected counsel, concerning the nature, extent and duration of his/her/their rights and claims, and that he/she/they have not been influenced to any extent whatsoever in executing the same by the City or by any person representing the City. 13. ENFORCEMENT OF AGREEMENT. If the City determines the owner has breached any of the conditions of the Agreement provided for or has allowed the property to deteriorate to the point it no longer meets the standards for a qualified historical property, the City shall either cancel the Agreement or bring any action in court necessary to enforce the Agreement including, but not limited to an action to enforce the Agreement by specific performance to cure, correct or remedy any breach of the terms of this Agreement, to recover damages for any breach, or to obtain any other remedy consistent with the purpose of this Agreement. In the event of a default under the provisions of this Agreement by Owner, City shall give written notice to Owner specifying the alleged grounds for the default. Said notice shall be given by registered or certified mail addressed to the address stated in this Agreement. If such violation(s) is not corrected to the reasonable satisfaction of the City within thirty (30) days from the receipt of the notice of violation, or within such reasonable time as may be required to cure the breach or default, provided that acts to cure, correct or remedy such breach or default are commenced within thirty (30) days and thereafter diligently pursued to completion, then City may, without further notice, institute legal action. Except as otherwise expressly stated in this Agreement, the rights and remedies of the City are cumulative, and the exercise by the City of one or more of such rights or remedies shall not preclude the exercise by it, at the same or different times, of any other rights or remedies for the same default or any other default by the Owner. Any failure or delay by the City in asserting any 186
6 of its right and remedies as to a breach of any of the covenants, conditions or agreements set forth herein shall not operate as a waiver of such breach or of any such rights or remedies, or deprive the City of its right to institute and maintain any actions or proceedings which it may deem necessary to protect, assert or enforce such rights or remedies. A waiver by the City of a breach shall not be construed as a waiver of any succeeding breach of the same or other covenants, conditions or agreements set forth in this Agreement. 14. CANCELLATION. In lieu of bringing an action to enforce the Agreement City may cancel this Agreement if City determines Owner has breached any of the conditions or covenants of this Agreement or has allowed the Historic Property to deteriorate to the point that it no longer meets the standards for a qualified historical property. City may also cancel this Agreement if it determines Owner has failed to rehabilitate the Historic Property in the manner specified in this Agreement. 15. NOTICE OF CANCELLATION. This Agreement cannot be canceled until after City has given notice and has held a public hearing as required by Government Code Section 50285. Notice of the hearing shall be mailed to the last known address of each owner of property within 300 feet of the Historic Property and shall be published in accordance with Government Code Section 6061. 16. CANCELLATION FEE. If City cancels this Agreement in accordance with Section 15 above, Owner shall pay a cancellation fee of twelve and one-half percent (12-1/2%) of the current fair market value of the Historic Property at the time of cancellation. The current fair market value shall be determined by the County Assessor as though the Historic Property were free of the restriction on the Historic Property imposed pursuant to this Agreement. The cancellation fee shall be paid to the County Auditor at such time and in such manner as the County Auditor shall prescribe. 17. NOTICES. All notices required by or provided for in the Agreement shall be given in writing and may be mailed or delivered in person at the address of the respective parties as specified below or at any other address as may be later specified by the parties. Deposit of notice in the mail, postage prepaid, shall be deemed receipt of the notice. City of Orange Attn.: City Clerk Trevor Alan and Blyth Marie Perea 300 E. Chapman Avenue 3730 E. Kirkwood Avenue Orange, CA 92866 Orange, CA 92869 18. NO COMPENSATION. Owner shall not receive any payment from the City in consideration of the obligations imposed under this Agreement. The Owner acknowledges and agrees that the consideration for the execution of this Agreement is the substantial public benefit to be derived therefrom and the advantage that will accrue to Owner as a result of the effect upon the assessed value of the Historic Property on account of the restrictions on the use and preservation of the Historic Property. 187
7 19. REMEDY IF AGREEMENT HELD NOT ENFORCEABLE. In the event it is finally determined this Agreement does not constitute an enforceable restriction within the meaning of the applicable provisions of the California Government Code and the California Revenue and Taxation Code, except for an unenforceability arising from the cancellation or nonrenewal of this Agreement, then this Agreement shall be null and void and without further effect and the Historic Property subject to this Agreement shall from that time be free from any restriction whatsoever under this Agreement without any payment or further act of the parties to this Agreement. 20. ACQUISITION OF PROPERTY BY EMINENT DOMAIN; CANCELLATION OF CONTRACT; INAPPLICABILITY TO DETERMINATION OF VALUE. In the event that the Historic Property is acquired in whole or part by eminent domain or other acquisition by any entity authorized to exercise the power of eminent domain, and the acquisition is determined by the City to frustrate the purpose of the Agreement, the Agreement shall be canceled and no fee shall be imposed under Section 17, above. The Agreement shall be deemed null and void for all purposes of determining the value of the Historic Property so acquired. If, subsequent to the filing of an action in eminent domain, the proposed condemnation is abandoned by the condemning agency, the restrictions on the use of the Historic Property included in this Agreement shall, without further agreement of the parties, be reinstituted and the terms of this Agreement shall continue in full force and effect. 21. EFFECT OF AGREEMENT. None of the terms, provisions or conditions of this Agreement shall be deemed to create a partnership between the parties hereto and any of their heirs, successors or assigns, nor shall such terms, provisions or conditions cause the parties hereto to be considered joint venturers or members of any joint enterprise. 22. SUCCESSORS AND ASSIGNS. This Agreement is binding upon and shall inure to the benefit of all successors in interest of the Owner, regardless of the tax exempt status of any subsequent owner. A successor in interest shall have the same rights and obligations under this Agreement as the original owner who entered into this Agreement. 23. REQUIREMENTS RELATED TO TRANSFER OF HISTORIC PROPERTY. In the event of any that, at least thirty (30) days prior to such Transfer, it shall give written notice to the City of such proposed Transfer, including the name(s) of the transferee(s). In addition, the Owner and the proposed transferee(s) shall enter into and deliver to the City through the escrow for the Transfer of the Historic Property an assignment and assumption agreement in a form satisfactory to the City's Attorney or such other evidence as may be satisfactory to the City that the transferee(s) has (have) assumed the Owner's obligations set forth in this Agreement. Upon the Transfer of the Historic Property and the assumption of the obligations hereunder by the transferee(s), the Owner's liability for performance shall be terminated as to any obligation to be performed hereunder after the date of such Transfer. 24. RECORDATION. City shall record a copy of this Agreement with the Office of the County Recorder of the County of Orange. 188
8 25. AMENDMENTS. This Agreement may be amended, in whole or in part, only by a written and recorded instrument executed by the parties hereto, except that the Director of Community Development is authorized to amend the list of required projects in Exhibit D. 26. COUNTERPARTS. This Agreement may be executed in any number of counterparts, each of which shall be deemed an original and all of which shall constitute one and the same agreement with the same effect as if all parties had signed the same signature page. Any signature page of this Agreement may be detached from any counterpart of this Agreement and re-attached to any other counterpart of this Agreement identical in form hereto but having attached to it one or more additional signature pages. 27. Community Development (or his/her designated representative) following approval of this Agreement by the City. The City shall maintain authority of this Agreement through the CiDirector of Community Development (or his/her authorized representative). of Community Development shall have the authority to issue interpretations, waive provisions and enter into amendments of this Agreement on behalf of the City so long as such actions do not change the uses permitted on the Historic Property or the purpose of this Agreement. Such amendments may include extensions of time or amendments to the projects specified in Exhibit D. All other waivers or amendments shall require the written approval and consent of the City Council. [Remainder of page intentionally left blank; signatures on next page] 189
9 IN WITNESS WHEREOF, the City and the Owner have executed this Agreement. Dated: , 2022 Trevor Alan Perea Dated: , 2022 Blyth Marie Perea CITY OF ORANGE, a municipal corporation Dated: , 2022 By: Mark A. Murphy Mayor ATTEST: APPROVED AS TO FORM: Pamela Coleman Mary E. Binning City Clerk Senior Assistant City Attorney 190
10 ACKNOWLEDGEMENT State of California County of ____________ On before me, , a Notary Public in and for the State of California, personally appeared who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. Signature __________________________________ (Seal) A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document. 191
11 EXHIBIT A LEGAL DESCRIPTION OF HISTORIC PROPERTY REAL PROPERTY IN THE CITY OF ORANGE, COUNTY OF ORANGE, STATE OF CALIFORNIA, DESCRIBED AS: Lot 95 of Tract No. 3545, in the City of Orange, County of Orange, State of California, as per map recorded in Book 125, Page(s) 1 to 5, inclusive, of Miscellaneous Maps, in the Office of the County Recorder of said County. [APN 094-462-20] 192
12 EXHIBIT B SECRETARY OF THE INTERIOR'S STANDARDS FOR REHABILITATION 1. Every reasonable effort shall be made to provide a compatible use for a property, which requires a minimal alteration of the building structure, or site and its environment, or to use a property for its originally intended purpose. 2. The distinguishing original qualities or character of a building, structure, or site and its environment shall not be destroyed. The removal or alteration of any historic material or distinctive architectural features should be avoided when possible. 3. All buildings, structures, and sites shall be recognized as products of their own time. Alterations that have no historical basis and which seek to create an earlier appearance shall be discouraged. 4. Changes which may have taken place in the course of time are evidence of the history and development of a building, structure or site and its environment. These changes may have acquired significance in their own right, and this significance shall be recognized and respected. 5. Distinctive stylistic features or examples of skilled craftsmanship which characterize a building, structure or site shall be treated with sensitivity. 6. Deteriorated architectural features shall be repaired rather than replaced, wherever possible. In the event replacement is necessary, the new material should match the material being replaced in composition, design, color, texture, and other visual qualities. Repair or replacement of missing architectural features should be based on accurate duplications of features, substantiated by historic, physical, or pictorial evidence rather than on conjectural designs or the availability of different architectural elements from other buildings or structures. 7. The surface cleaning of structures shall be undertaken with the gentlest means possible. Sandblasting and other cleaning methods that will damage the historic building materials shall not be undertaken. 8. Every reasonable effort shall be made to protect and preserve archeological resources affected by, or adjacent to, any project. 9. Contemporary design for alterations and additions to existing properties shall not be discouraged when such alterations and additions do not destroy significant historical, architectural or cultural material, and such design is compatible with the size, scale, color, material and character of the property, neighborhood or environment. 10. Wherever possible, new additions or alterations to structures shall be done in such a manner that, if such additions or alterations were to be removed in the future, the essential form and integrity of the structure would be unimpaired. 193
13 EXHIBIT C CITY OF ORANGE HISTORIC PROPERTY MAINTENANCE STANDARDS All buildings, structures, yards and other improvements shall be maintained in a manner which does not detract from the appearance of the immediate neighborhood. The following conditions are prohibited: 1. Dilapidated, deteriorating, or unrepaired structures, such as: fences, roofs, doors, walls and windows. 2. Publicly visible storage of scrap lumber, junk, trash or debris. 3. Publicly visible storage of abandoned, discarded or unused objects or equipment, such as automobiles, automobile parts, furniture, stoves, refrigerators, cans, containers or similar items. 4. Stagnant water or excavations, including pools or spas. 5. Any device, decoration, design, structure or vegetation that is unsightly by reason of its height, condition, or its inappropriate location. 194
14 EXHIBIT D REHABILITATION/MAINTENANCE SCOPE OF WORK [Attached.] 195
EXHIBIT “D”REHABILITATION/MAINTENANCE SCOPE OF WORK3730 E Kirkwood AvenuePriorityDescription of WorkCost EstimateCompletion Date1.Plumbing lines and sewer cleanout$15,000.0020232. Repair termite/wood damage per the OrangeEichler Design Standards$2,995.00 20243.Replace HVAC$7,500.0020254. Repaint/repair exterior façade per the OrangeEichler Design Standards$20,000.00 20275.Electricalwork$5,000.0020286. Repair roofing in accordance to the OrangeEichler Design Standards$45,000.00 2032TOTAL$95,495.00 196
15 HISTORIC PROPERTY INVENTORY FORM (DPR 523) [Attached.] 197
State of California - The Resources AgencyDEPARTMENT OF PARKS AND RECREATIONPRIMARY RECORDPage 1 ofDate:TR1/4 of1/4 ofSecB.M.d. UTM:mE/mNe. Other Locational Data:P1. Other Identifier:*P2. Location:c. Address:Zip:(Give more than one for large and/or linear resources)(Describe resource and its major elements. Include design, materials, condition, alterations, size, setting, and boudnaries. Continues on Pg.3.);; ;Zone 'and(P2b and P2c or P2d. Attach a location map as necessary.)City:-*P3a. Description:*P3b. Resource Attributes:(List attributes and codes) (Describe)(Cite survey report and other sources, or enter "none.")*Attachments:Continuation Sheet(s)Building, Structure, and Object Record (Name, affiliation, and address) (View, date, accession #)*P6. Date Constructed/ Age and Source:*P7. Owner and Address:*P8: Recorded by:*P10. Survey Type:*P11. Report Citation:DPR 523A (1/95)*Required Information *Resource Name or #:(Assigned by Recorder)
*P9. Date Recorded:

Primary #HRI #Date:NRHP Status CodeTrinomialOther Listings:Review Code:Reviewer:*a. County:P5b. Description of Photo:Unrestricted3Site*P4. Resources Present:BuildingObjectElement of DistrictOther (Isolates, etc.)DistrictStructureNot for Publication District RecordPhotograph RecordLocation MapArtifact RecordArchaeological RecordNONELinear Feature RecordRock Art RecordMilling Station RecordOther (List):

Materials:PrehistoricHistoricBoth*b. USGS 7.5' Quad:
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B1. Historic Name:B3. Original Use:B4. Present Use:*B5. Architectural Style:*B6. Construction History:(Construction date, atlerations, and date of alterations)Date of Construction:*B9. Architect or Builder:Period of Significance:*B10. Significance: Property Type:(Discuss importance in terms of historical or architectural context as defined by theme, period, and geographic scope. Also address integrity. Continues on Pg.4.)*B8. Related Features:Date:Original Location:*B7. Moved?Theme: Area:Structural Integrity:(List attributes and codes)*Date of Evaluation:B11. Additional Resource Attributes:(This space reserved for official comments.)*B14. Evaluator:B13. Remarks:

State of California - The Resources AgencyDEPARTMENT OF PARKS AND RECREATIONBUILDING, STRUCTURE, AND OBJECT RECORD *B12. References:
*NRHP Status CodePrimary #HRI #YesNoUnknownPage 2 of3*Resource Name or #:(Assigned by Recorder)PrehistoricHistoricBothB2. Common Name:Applicable Criteria:(Sketch Map with North arrow required.)DPR 523B (1/95)*Required Information OpportunitiesSite Integrity:(Continues on Pg.3.)
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State of California - The Resources AgencyDEPARTMENT OF PARKS AND RECREATIONCONTINUATION SHEETPrimary #HRI #TrinomialRecorded by:Date Recorded:

P3a. Description (Continued from Pg.1):

DPR 523L (11/98)*Required Information
UpdateContinuationPage 3 of3B6. Construction History (Continued from Pg.2):Lot Acre:Principal Building Sqft:Planning Zone:# of Stories:Years Surveyed:General Plan:# of Units:B13. Remarks (Continued from Pg.2):*Resource Name or #:(Assigned by Recorder)Listed in National Register:# of Buildings:Description of Photo:
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EXHIBIT “D”REHABILITATION/MAINTENANCE SCOPE OF WORK322 E. Palmyra AvenuePriorityDescription of WorkCost EstimateCompletion Date1. Rehabilitate wood window glazing, sash, andtrim$6,500.00 20232.Paint exterior$11,500.0020243. Replace floor with hardwood morecompatible with the historic character per theHistoric Preservation Design Standards$14,500.00 20254. Engage structural engineer experienced inhistoric preservation to evaluate thefoundation, structure and chimney, and makerecommendations for repair and retrofit$26,000.00 20265.Replace AC/heat coil$14,000.0020276. Level back porch to original per the HistoricPreservation Design Standards$6,000.00 20287.Remove and refinish paint on front porch$4,500.0020288. Implementation of termite reportrecommendations$5,295.00 20299. Engage contractor to evaluate the sewer linesand make recommendations for repair andrehabilitation$1,500.00 203010Reseal roof vents and projections$2,500.002032TOTAL$92,295.00 216
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Agenda Item
City Council
Item #: 3.6. 12/13/2022 File #: 22-0689
TO: Honorable Mayor and Members of the City Council
THRU: Tom Kisela, Interim City Manager
FROM: Christopher Cash, Public Works Director

1. SUBJECT
Appropriation of $530,000 in Comprehensive Transportation Funding Programs - Project X Tier 1 2022 Environmental Cleanup Program fund and Sanitation and Sewer fund for the Taft Avenue & Lewis Street Water Quality Storm Drain Improvement Project.

2. SUMMARY
The Orange County Transportation Authority (OCTA) approved the allocation of Tier 1 Environmental Cleanup Program funding and has pre-awarded the City of Orange $400,000 for the Taft Avenue & Lewis Street Water Quality Storm Drain Improvement Project. The City intends to use this funding to install a hydrodynamic separator on Taft Avenue and Connector Pipe Screens on Taft Avenue and Lewis Street.

3. RECOMMENDED ACTION

1. Accept into the City’s revenue budget $400,000 in grant funds from the OCTA Tier 1 Environmental Cleanup Program, into revenue account number 550.5011.45460.30215, Reimbursable Capital Projects - Taft Avenue & Lewis Street Water Quality Storm Drain Improvement Project.

2. Authorize the appropriation of $400,000 to expenditure account number 550.5011.56340.30215, Reimbursable Capital Projects - Taft Avenue & Lewis Street Water Quality Storm Drain Improvement Project.

3. Authorize the appropriation of $130,000 to expenditure account number 220.5011.56340.30215, Sanitation and Sewer - Taft Avenue & Lewis Street Water Quality Storm Drain Improvement Project.

4. FISCAL IMPACT
The total expenditure for this project is $530,000 and will be funded in “TaftAvenue & Lewis Street Water Quality Storm Drain Improvement Project” (30215) through:

Sanitation and Sewer (220) $130,000
Reimbursable Capital Projects (550) 400,000
Total: $530,000

5. STRATEGIC PLAN GOALS
Goal 1: Provide for a safe community
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Item #: 3.6. 12/13/2022 File #: 22-0689
b: Provide and maintain infrastructure necessary to ensure the safety of the public.

Goal 4: Provide outstanding public service
b: Provide facilities and services to meet customer expectations.

6. DISCUSSION AND BACKGROUND
The City of Orange Public Works Department applied for and received funds through Environmental Cleanup Tier 1 Grant Program managed by the Orange County Transportation Authority (OCTA). This program is a competitive grant program within Orange County that makes funds available to soliciting cities to help protect Orange County beaches and waterways from transportation-generated pollution and improve overall water quality. The City has been awarded $400,000 for installing a hydrodynamic separator on Taft Avenue and Connector Pipe Screens on Taft Avenue and Lewis Street.

The project collects drainage from a total of 354 acres composed of commercial, bus stop locations, light manufacturing, industrial manufacturing, multi-family homes, and single-family home sections of Orange. These areas combine to generate potentially significant amounts of leaves, trash and other debris. The City has looked at various options to control trash and debris. Through the Orange Municipal Code, the City can enforce sections related to littering and nuisances and its weekly street sweeping program picks up a large amount of trash and debris. However, anything not collected by the street sweepers has the potential to enter the storm drain system and impact the downstream water bodies. The proposed Debris Separating Baffle Box (DSBB) is a Continuous Deflection Separator (CDS) unit, and helps address this deficiency by capturing trash and debris and other gross pollutants via its trash screens, sediment chambers, and the use of an oil skimmer and hydrocarbon boom filters. The DSBB will be placed on Taft Avenue just east of the Taft Avenue/O’DonnellWay intersection. The proposed connector pipe screen (CPS) units also help solve this deficiency by capturing trash and debris and other pollutants within each catch basin. The CPS will be installed in seven (7) catch basins on Taft Avenue, and Lewis Street.

The total project cost is estimated at $530,000, including 5% for design, 5% for construction engineering and 10% for contingency.

Construction is scheduled to begin in March 2023 and is expected to be completed by September 2023.

7. ATTACHMENTS
· OCTA ECP Project X Tier 1 2022 Programming Recommendations City of Orange Printed on 12/8/2022Page 2 of 2
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Agenda Item
City Council
Item #: 3.6. 12/13/2022 File #: 22-0689
TO: Honorable Mayor and Members of the City Council
THRU: Tom Kisela, Interim City Manager
FROM: Christopher Cash, Public Works Director

1. SUBJECT
Appropriation of $530,000 in Comprehensive Transportation Funding Programs - Project X Tier 1 2022 Environmental Cleanup Program fund and Sanitation and Sewer fund for the Taft Avenue & Lewis Street Water Quality Storm Drain Improvement Project.

2. SUMMARY
The Orange County Transportation Authority (OCTA) approved the allocation of Tier 1 Environmental Cleanup Program funding and has pre-awarded the City of Orange $400,000 for the Taft Avenue & Lewis Street Water Quality Storm Drain Improvement Project. The City intends to use this funding to install a hydrodynamic separator on Taft Avenue and Connector Pipe Screens on Taft Avenue and Lewis Street.

3. RECOMMENDED ACTION

1. Accept into the City’s revenue budget $400,000 in grant funds from the OCTA Tier 1 Environmental Cleanup Program, into revenue account number 550.5011.45460.30215, Reimbursable Capital Projects - Taft Avenue & Lewis Street Water Quality Storm Drain Improvement Project.

2. Authorize the appropriation of $400,000 to expenditure account number 550.5011.56340.30215, Reimbursable Capital Projects - Taft Avenue & Lewis Street Water Quality Storm Drain Improvement Project.

3. Authorize the appropriation of $130,000 to expenditure account number 220.5011.56340.30215, Sanitation and Sewer - Taft Avenue & Lewis Street Water Quality Storm Drain Improvement Project.

4. FISCAL IMPACT
The total expenditure for this project is $530,000 and will be funded in “TaftAvenue & Lewis Street Water Quality Storm Drain Improvement Project” (30215) through:

Sanitation and Sewer (220) $130,000
Reimbursable Capital Projects (550) 400,000
Total: $530,000

5. STRATEGIC PLAN GOALS
Goal 1: Provide for a safe community
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Item #: 3.6. 12/13/2022 File #: 22-0689
b: Provide and maintain infrastructure necessary to ensure the safety of the public.

Goal 4: Provide outstanding public service
b: Provide facilities and services to meet customer expectations.

6. DISCUSSION AND BACKGROUND
The City of Orange Public Works Department applied for and received funds through Environmental Cleanup Tier 1 Grant Program managed by the Orange County Transportation Authority (OCTA). This program is a competitive grant program within Orange County that makes funds available to soliciting cities to help protect Orange County beaches and waterways from transportation-generated pollution and improve overall water quality. The City has been awarded $400,000 for installing a hydrodynamic separator on Taft Avenue and Connector Pipe Screens on Taft Avenue and Lewis Street.

The project collects drainage from a total of 354 acres composed of commercial, bus stop locations, light manufacturing, industrial manufacturing, multi-family homes, and single-family home sections of Orange. These areas combine to generate potentially significant amounts of leaves, trash and other debris. The City has looked at various options to control trash and debris. Through the Orange Municipal Code, the City can enforce sections related to littering and nuisances and its weekly street sweeping program picks up a large amount of trash and debris. However, anything not collected by the street sweepers has the potential to enter the storm drain system and impact the downstream water bodies. The proposed Debris Separating Baffle Box (DSBB) is a Continuous Deflection Separator (CDS) unit, and helps address this deficiency by capturing trash and debris and other gross pollutants via its trash screens, sediment chambers, and the use of an oil skimmer and hydrocarbon boom filters. The DSBB will be placed on Taft Avenue just east of the Taft Avenue/O’DonnellWay intersection. The proposed connector pipe screen (CPS) units also help solve this deficiency by capturing trash and debris and other pollutants within each catch basin. The CPS will be installed in seven (7) catch basins on Taft Avenue, and Lewis Street.

The total project cost is estimated at $530,000, including 5% for design, 5% for construction engineering and 10% for contingency.

Construction is scheduled to begin in March 2023 and is expected to be completed by September 2023.

7. ATTACHMENTS
· OCTA ECP Project X Tier 1 2022 Programming Recommendations City of Orange Printed on 12/8/2022Page 2 of 2
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COMMITTEE TRANSMITTAL
Orange County Transportation Authority
550 South Main Street / P.O. Box 14184 / Orange / California 92863-1584 / (714) 560-OCTA (6282)

November 14, 2022

To: Members of the Board of Directors

From: Andrea West, Interim Clerk of the Board
Subject: Comprehensive Transportation Funding Programs - Project X Tier 1 2022 Call for Projects Programming Recommendations
Regional Planning and Highways Committee Meeting of November 7, 2022

Present: Directors Bartlett, Chaffee, Delgleize, Harper, Muller, and Murphy

Absent: Director Foley

Committee Vote

This item was passed by the Members present.

Directors Delgleize and Foley were not present to vote on this item.

Committee Recommendations

A. Approve the allocation of $3,120,217 in Tier 1 Environmental Cleanup Program funding for 13 projects.

B. Grant pre-award authority for this cycle of awarded projects to enable local jurisdictions to meet the timely use of funds requirements. 226

Orange County Transportation Authority
550 South Main Street / P.O. Box 14184 / Orange / California 92863-1584 / (714) 560-OCTA (6282) November 7, 2022

To: Regional Planning and Highways Committee

From: Darrell E. Johnson, Chief Executive Officer

Subject: Comprehensive Transportation Funding Programs – Project X Tier 1 2022 Call for Projects Programming Recommendations

Overview

The Orange County Transportation Authority’s Environmental Cleanup Program provides Measure M2 funding for water quality improvement projects to address transportation-generated pollution. The fiscal year 2022-23 Tier 1 Grant Program call for projects was issued on March 14, 2022. Evaluations of grant applications are complete, and a list of projects recommended for funding is presented for Board of Directors’ review and approval.

Recommendations

A. Approve the allocation of $3,120,217 in Tier 1 Environmental Cleanup Program funding for 13 projects.

B. Grant pre-award authority for this cycle of awarded projects to enable local jurisdictions to meet the timely use of funds requirements.

Background

In May 2010, the Orange County Transportation Authority (OCTA) Board of Directors (Board) approved a two -tiered approach to fund the Measure M2 (M2) Project X Environmental Cleanup Program (ECP). The Tier 1 Grant Program is designed to reduce more visib le forms of pollutants, such as litter and debris collecting on roadways and in catch basins prior to being deposited in waterways and , ultimately, the ocean. The Tier 2 Grant Program provides funding for larger projects, allowing for multi -jurisdictional, capital-intensive structural treatment Best Management Practice (BMP) projects.

Tier 1 funds are available for Orange County local jurisdictions to purchase and install equipment and other BMPs that supplement, not supplant, existing water quality programs. Examples include screens, filters, and inserts for catch basins,

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Comprehensive Transportation Funding Programs –
Project X Tier 1 2022 Call for Projects Programming
Recommendations

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