April 7, 2026, Item #7
AG EN DA REPORT City of Poway
DATE:
TO:
FROM:
CONTACT:
April 7, 2026
Honorable Mayor and Members of the City Council
Julie Procopio, Director of Development Services o/
Sara Trunzo, Senior Civil Engineer
(858) 668-4622 or [email protected]
CITY COUNCIL
SUBJECT: Acceptance of Public Improvements for the McKee Orchard, Improvement Plan 22- 0002
Summary:
Improvement Plan (IMP) 22-0002 for the McKee Orchard Project included roadway and trail installation, sewer and water main extensions, and fire hydrants. The improvements are complete and ready for acceptance.
Recommended Action:
It is recommended the City Council:
1) Accept the improvements shown on the plans for IMP 22-0002 as complete; 2) Release the Performance Bond in the amount of $426,600; 3) Release the Payment Bond in the amount of $213,300; and 4) Retain the Warranty Bond in the amount of $42,660 for a period of one (1) year.
Discussion:
City Council approved the Tentative Tract Map (TTM) 21-003 for the McKee Orchard residential subdivision on the east end of Holly Oaks Way on July 19, 2022. As a condition of approval for the development, the project was required to install public improvements to serve the project including grading and erosion protection for the public trail within the subdivision boundary in accordance with the City's General Plan. Additionally, required public improvements were sewer and water main extensions, and fire hydrants. The improvements have been completed in accordance with the project plans, the Standard Agreement for Construction of Public Improvements (Attachment A) and have been determined complete by the Development Services Department. Poway Municipal Code
16.20.11 O requires securities for work estimated to cost over $100,000, or securities required to be posted in conjunction with any subdivision or parcel map, be released by City Council. Since these improvements were in conjunction with a subdivision, and were valued over $100,000, City Council approval is required for the release of the securities associated with this project. 1 of 14
April 7, 2026, Item #7
Environmental Review:
Acceptance of the completed public improvements is an administrative action confirming that the improvements were constructed in accordance with approved plans and does not authorize new construction or development. Pursuant to California Environmental Quality Act (CEQA) Guidelines Section 15378, the action does not have the potential to result in a direct or reasonably foreseeable indirect physical change in the environment and is therefore not a project under CEQA. No further environmental review is required.
Fiscal Impact:
There is no Fiscal Impact as a result of the requested action.
Public Notification:
None.
Attachments:
A. Standard Agreement
Reviewed/Approved By:
Assistant City Manager
2 of 14
Reviewed By:
Alan Fenstermacher
City Attorney
Approved By:
a#s,Q
Chris Hazeltine
City Manager
April 7, 2026, Item #7
Poway,
California
1 Agreement
Date
STANDARD
AGREEMENT
FOR
CONSTRUCTION
OF
PUBLIC
IMPROVEMENTS
(McKee
Orchard
-
IMP22
-002)
The
CITY
OF
POWAY
("CITY")
and
McKee
Orchard
LLC
. ("OWNER")
agree
as
follows
:
A.
OWNER
is
required
to
construct
the
following
public
improvements
("work")
for
the
above
referenced
project:
a.
Installation
of
a
public
water
main,
fire
hydrants
, and
associated
appurtenances
b.
Installation
of
a
public
sewer
main
and
manholes
c.
New
curb,
gutter,
sidewalk
, and
pavement
for
a
portion
of
Holly
Oak
Way
d.
Installation
of
6 monuments
B.
CITY
approved
plans
and
specifications
for
the
construction
of
the
work,
which
are
incorporated
herein
by
reference,
and
identified
as
Public
Improvement
Plans
IMP22-
002
.
C.
The
following
are
attached
hereto
and
made
a
part
hereof
:
Schedule
A
Schedule
B
Public
Improvements
Monument
Setting
1. IMPROVEMENTS
:
TIME
TO
PERFORM:
For
valuable
consideration
OWNER
agrees
to
do,
or
cause
to
be
done,
at
OWNER's
expense
and
without
any
cost
or
liability
to
the
CITY
, all
of
the
work
described
herein
by
the
date
specified
on
Schedule
A.
OWNER
warrants
that
all
of
the
materials
supplied
and
work
to
be
done
will
be
of
good
quality
and
workmanship.
Said
work
shall
be
in
strict
conformity
with
the
plans
and
specifications
of
the
work,
the
standard
specifications
and
drawings
for
public
improvements
adopted
by
CITY
, and
this
agreement.
OWNER
shall
furnish
all
transportation
, equipment,
labor,
services,
permits,
utilities
, and
all
other
items
necessary
to
complete
the
work
. OWNER
shall
pay
all
claims,
demands,
and
liability
arising
out
of
or
resulting
from
or
in
connection
with
the
performance
of
the
work.
OWNER
shall
furnish
accurate
"as
constructed"
plans
.
In
addition,
Owner
shall,
prior
to
acceptance
of
the
work
by
City
Council,
set
all
final
monuments
and
stakes.
OWNER's
obligations
herein
are
not
limited
by
any
cost
estimates,
nor
will
any
estimate
be
a
measure
of
damages
.
3 of
14 CITY
, in
its
sole
discretion
and
without
liability
to
CITY
, City
Council
Members,
CITY's
Engineer
and
their
consultants
, and
each
of
their
officials
, directors,
officers
, employees
and
agents,
may
require
changes,
alterations,
or
additions
to
the
plans
and
specifications
which
do
not
exceed
ten
percent
(10%)
of
the
original
CITY
approved
cost
estimate
of
the
work
.
CITY,
in
its
sole
discretion
and
without
liability
to
CITY,
City
Council
Members
, CITY's
Engineer
and
their
consultants,
and
each
of
their
officials,
directors,
officers
, employees
and
agents,
may
require
changes,
alterations,
or
additions
in
addition
to
said
ten
percent
(10%)
limitation
if
required
to
correct
errors
or
omissions
in
the
approved
plans
and
specifications,
and
for
unforeseen
conditions
such
as
, but
not
limited
to,
rock
excavation,
unstable
soil
conditions,
or
high
water
tables
requiring
de-watering.
Agreement
-1 of
8 ATTACHMENT
A
April 7, 2026, Item #7
2. INSURANCE:
OWNER
shall
not
commence
or
continue
to
perform
any
work
unless
OWNER
has
in
full
force
and
effect
all
required
insurance
with
compan
ies
satisfactory
to
CITY
.
To
be
acceptable,
insurers
must
be
authorized
to
do
business
and
have
an
agent
for
service
of
process
in
California,
and
have
an
"A"
policyholder's
rating
and
a
financial
rating
of
at
least
Class
XI
in
accordance
with
the
current
Best
's
Ratings.
OWNER
shall
not
permit
any
contractor
or
subcontractor
to
perform
any
work
unless
the
worker
's
compensation
insurance
requirements
have
been
complied
with
by
each
of
them
.
All
insurance
policies
shall
be
maintained
until
the
work
is
accepted
by
the
CITY
and
provide
for
coverage
of
all
causes
of
action
or
disputes
arising
out
of
acts
in
performance
of
the
construction
of
the
public
improvement
herein
whether
said
causes
or
disputes
are
filed
or
brought
to
the
attention
of
the
CITY
before
or
after
the
CITY
acceptance
of
work.
4 of
14 With
approval
of
the
CITY's
Attorney
, insurance
coverage
required
by
this
section
may
be
satisfied
by
insurance
held
in
name
of
prime
contractor
of
OWNER
, provided
that
prime
contractor
coverage
is
sufficiently
broad
to
include
all
losses
on
job
site
.
As
evidence
of
coverage
, OWNER
shall
provide
certificates
of
insurance
and
endorsement
of
CITY
forms.
Each
certificate
shall
bear
an
endorsement
waiving
right
of
cancellation
or
change
in
coverage
without
forty-five
(45)
days
notice
in
writing
delivered
to
CITY
.
Before
issuance
of
construction
permit,
OWNER
shall
provide
certificate(s)
of
insurance,
satisfactory
to
CITY,
certifying
that
OWNER
, and
each
of
OWNER'S
contractors,
has
for
the
agreement
per
iod,
full
worker's
compensation
insurance
coverage
for
all
persons
who
are
or
may
be
employed
in
carrying
out
the
work
.
Before
issuance
of
construction
permit,
OWNER
shall
provide
to
CITY,
certificates
of
insurance
and
endorsements
that
OWNER
has
liability
insurance
coverage
naming
CITY
as
additional
insured
for
both
bodily
injury
and
property
damage
in
a
single
limit
of
not
less
than
that
specified
on
Schedule
A
for
any
one
occurrence.
Liability
insurance
coverage
shall
include
each
of
the
following
types
of
insurance
as
required
by
the
CITY
to
carry
out
this
agreement.
A.
General
Liability
B.
Automobile
Liability
1. Comprehensive
Form
1. Comprehensive
Form
,
2. Premises-Operations
Including
Loading
and
Unloading
3. Explosion
and
Collapse
Hazard
2. Owned
4. Underground
Hazard
3. Hired
5. Products/Completed
Operations
4. Non-Owned
Hazard
6. Contractual
Insurance
7. Broad
Form
Property
Damage
Including
Completed
Operations
8. Independent
Contractors
9. Personal
Injury
Contractual
insurance
shall
be
sufficiently
broad
to
indemnify
CITY
as
set
forth
in
Paragraph
4. Any
liability
insurance
naming
the
CITY
insured,
shall
include
as
additional
insured
City
Council
Members,
CITY's
Engineer
and
their
consultants,
officials,
directors,
officers,
agents
,
and
employees.
Insurance
afforded
them
shall
be
primary
insurance
and
the
amount
provided
shall
not
be
reduced
or
prorated
by
reason
of
any
other
insurance
they
might
have
.
Agreement
-2 of
8 April 7, 2026, Item #7
Nothing
contained
in
these
insurance
requirements
shall
limit
the
liability
of
OWNER
or
OWNER
's
insurance
compan
ies
.
Review
and
acceptance
of
insurance
certificates
sha
ll
not
constitute
any
representation
by
CITY
or
its
representative
that
any
required
insurance
has
been
issued
.
3. OWNER'S
LIABILITY:
OWNER
shall
, at
OWNER's
sole
cost
and
expense
, be
solely
and
completely
responsible
for
all
matters
affecting
the
design,
prosecution,
progress
and
completion
of
the
work
, (both
on
and
off
the
job
site).
OWNER
shall
be
responsible
for
observing
all
laws
.
OWNER
shall
provide
for
public
convenience
and
safety,
and
safety
of
workers,
including
OWNER's
workers
and
those
of
OWNER's
contractors,
subcontractors
and
suppliers
,
and
others
contributing
to
the
work
.
OWNER
shall
protect
CITY
property
and
property
rights
of
others
, including
the
location
, maintenance
and
replacement
of
utilities,
whether
shown
on
the
plans
or
not.
OWNER
shall
give
prior
notification
to
utility
owners.
OWNER
shall
protect
agains
t
and
prevent
drainage
from
storm
runoff
. OWNER
shall
not
interfere
with
the
lawful
use
by
others
of
easements
and
rights-of-way.
Nothing
in
this
agreement
, the
specification,
or
other
contract
documents,
or
CITY
's
approval
of
the
plans
and
specifications
or
inspection
of
the
wo
rk,
shall
relieve
the
OWNER
or
contractor
of
full
responsibility
for
all
aspects
of the
work
.
CITY,
City
Council
Members,
CITY's
Engineer,
and
their
consultants,
and
each
of
their
officials,
directors,
officers
, employees,
and
agents
shall
have
liability
for
any
aspect
of
the
work.
•
4. OWNER'S
INDEMNIFICATION:
For
Claims
(as
defined
herein)
arising
out
of
the
work
co
_ntemplated
to
be
performed
by
OWNER
under
this
agreement,
CITY
and
its
elected
and
appointed
boards,
officials,
officers
,
agents,
employees
and
vo
lunteers
(individually
and
collectively,
"lndemnitees")
shall
have
no
liability
to
OWNER
or
any
other
person
for,
and
OWNER
shall
indemnify,
protect
and hold
harmless
lndemnitees
from
and
against,
any
and
all
liabilities,
claims,
act
ions,
causes
of
action,
proceedings,
suits,
damages,
judgments,
liens
,
levies,
costs
and
expenses,
including
reasonable
attorneys'
fees
and
disbursements
(collectively
"Claims"),
which
lndemnitees
may
suffer
or
incur
or
to
which
lndemnitees
may
become
subject
by
reason
of
or
arising
out
of
any
injury
to
or
death
of
any
person(s),
damage
to
property
,
loss
of
use
of
property
,
economic
loss
or
otherwise
occurring
as
a
result
of
OWNER's
negligent
performance under
this
agreement,
or
by
the
negligent
or
willful
acts
or
omissions
of
OWNER,
its
agents
, officers
, directors,
contractors,
or
employees
.
5 of
14 The
foregoing
obligations
of
OWNER
shall
not
apply
to
the
extent
that
the
Claims
arise
from
the
negligence
or
willful
misconduct
of
CITY
or
its
elected
and
appointed
boards,
officials,
officers,
agents,
employees
and
volunteers
.
In
any
and
all
Claims
against
CITY
by
any
employees
of
the
OWNER
, anyone
directly
or
indirectly
employed
by
OWNER,
or
anyone
for
whose
acts
OWNER
may
be
liable,
the
indemnification
obligation
under
this
Section
4 shall
not
be
limited
in
any
way
by
any
limitation
on
the
amount
or
type
of
damages
, compensation
or
benefits
payable
by
or
for
the
OWNER
under
worker's
compensation
acts,
disability
benefit
acts
or
other
employee
benefit
acts
.
OWNER
shall
also
indemnify
and
hold
harmless
CITY
, City
Counc
il Members
, CITY
's Engineer,
and
their
consultants
, and
each
of
their
officials
, directors
, officers
, employees
and
agents
from
and
against
all
losses,
expenses
, damages
(including
damages
to
the
work
itself),
attorneys
fees,
and
other
costs,
including
costs
of
defense,
which
any
of
them
may
incur
both
during
and
after
completion
with
respect
to
any
latent
deficiency
in
the
design
, specifications,
surveying
,
planning
, supervision,
observation
of
or
construction
of
the
improvements
referred
to
herein
or
any
injury
to
a
person
or
property
, real
or
personal,
as
a
result
of
any
such
latent
deficiency
.
CITY's
costs
shall
include
the
cost
of
inspecting
and
restoring
other
portions
of the
work
which
CITY
reasonably
suspects
may
also
be
defective
by
reason
of
known
defects
in
the
work
or
other
work
performed
by
OWNER
or
OWNER's
contractors
, subcontractors
, or
suppliers
or
Agreement
- 3
of
8 April 7, 2026, Item #7
designed
by
their
representatives.
Provisions
of
th
is
Paragraph
4 shall
remain
in
effect
ten
(1
0)
years
following
acceptance
of
improvements
by
the
CITY
.
Nothing
contained
herein
shall
limit
CITY's
remedies
pursuant
to
Code
of
Civil
Procedure,
Section
337
.15
.
5. SECURITY
:
With
the
execution
of
this
agreement,
OWNER
shall
furnish
and
deliver
to
CITY
,
at
no
expense
to
CITY,
a
payment
bond
and
a
performance
bond
. Each
shall
be
in
the
amount
of
the
CITY
-approved
est
imate
specified
on
Schedule
A.
Bonds
shall
be
furnished
by
surety
companies
satisfactory
to
the
CITY
on
the
forms
provided
by
CITY
.
No
alterations
or
substitution
of
said
forms
will
be
allowed
.
To
be
acceptable,
surety
companies
must
be
authorized
to
do
bus
iness
and
have
an
agent
for
service
of
process
in
California,
be
on
the
accredited
list
of
the
United
States
Treasury
Department,
and/or
have
an
"A"
policy
holders
rating
and
a
financial
rating
of
Class
XI
or
better
in
accordance
with
the
current
"Best's
Rating
."
The
bonds
will
be
limited
to
amounts
acceptable
to
the
Treasury
Department.
None
of
the
following
shall
in
anywise
affect
the
obligations
of
any
surety
.
Each
surety
waives
notice
thereof
:
(a)
any
change,
extension
of
time,
alteration
, or
additions
to
the
terms
of
the
agreement,
or
the
work
to
be
performed,
or
the
plans
and
specifications
therefore;
(b)
any
matters
unknown
to
surety
which
might
affect
surety
's
risk
except
that
CITY
will
advise
surety
upon
request
of
the
following
:
(1)
any
written
claims
it receives
from
unpaid
subcontractors
or
suppliers,
and
(2)
any
written
orders
received
from
other
public
authorities
charging
violations
of
laws,
ordinances
or
regulations
, and
(3)
failure
of
OWNER
to
comply
with
any
written
notice
to
correct
defective
work
. The
obl
igations
of
OWNER
shall
not
be
limited
by
the
amount
of
such
bonds
.
6. TYPES/AMOUNT
OF
SECURITY:
In
lieu
of
payment
and
performance
bonds,
OWNER
may
furnish
CITY
either
cash,
a
Letter
of
Credit,
or
an
Agreement
of
Deposit
as
security
for
performance
.
Said
security
shall
be
in
amount
no
less
than
one
hundred
percent
(100%)
of
the
cost
est
imate
and
, in
addition,
for
payment
of
those
furnishing
materials
, labor
or
equ
ipment
in
amount
not
less
than
fifty
percent
(50%)
of
the
cost
estimate
.
Said
security
agreements
shall
be
on
forms
furnished
by
CITY.
No
alterations
or
substitution
of
said
forms
will
be
allowed.
The
obligations
of
OWNER
shall
not
be
limited
by
the
amount
of
the
security
required
.
7. COSTS
AND
DEPOSITS:
OWNER
agrees
to
pay
CITY,
on
demand,
the
full
amount
of
all
of
CITY's
costs
incurred
in
connect
ion
with
the
work
and
this
agreement.
These
costs
include
, but
are
not
limited
to,
plan
checking,
inspection,
materials
furnished,
attorneys
fees
incurred
in
connection
with
preparing
and
negotiating
this
agreement
, and
all
other
expenses,
including
engineers
and
attorneys
fees
of
CITY,
directly
attributable
to
the
work
and
this
agreement.
These
costs
shall
include
a
reasonable
amount
for
CITY's
overhead
in
connection
therewith,
plus
any
applicable
fees
of
CITY
. CITY's
costs
shall
include
the
cost
of
inspecting
and
restoring
other
portions
of
the
work
both
during
and
after
acceptance,
which
CITY
reasonably
suspects
may
also
be
defective
by
reason
of
known
defects
in
the
work
or
other
work
performed
by
OWNER
or
OWNER's
contractors,
subcontractors,
or
suppliers
or
designed
by
their
representatives.
OWNER
shall
deposit
with
CITY
concurrently
with
the
execution
of
this
agreement,
such
sums
as
the
CITY
establishes
as
deposits
set
forth
on
Schedule
A.
Should
the
actual
expenses
be
in
excess
of
the
depos
it set
forth
on
Schedule
A,
OWNER
shall
pay
the
amount
of
such
excess
on
demand
.
Should
the
actual
expenses
be
less
than
the
estimated
depos
it on
Schedule
A,
the
difference,
without
interest,
shall
be
refunded
to
OWNER
within
ninety
(90)
days
of
acceptance
of
work
by
CITY;
provided,
however,
the
CITY
shall
have
the
right
first
to
apply
any
excess
monies
to
any
other
obligation
which
OWNER
might
have
to
CITY
.
Said
deposit
is
not
a
trust
fund
and
said
deposit
may
be
co-ming
led
with
other
similar
deposits.
8. PARTIAL
UTILIZATION:
Until
all
work
has
been
completed
and
accepted
by
CITY
and
all
other
Agreement
-4 of
8 6
of
14 April 7, 2026, Item #7
public
authorities
having
jurisdiction,
OWNER
shall
be
responsible
for
the
care
, maintenance
of,
and
any
damage
to
the
work
.
When
the
work
or
any
portion
of
it
is
sufficiently
complete
to
be
utilized
or
placed
into
service,
CITY
shall
have
the
right
upon
written
notification
to
OWNER
to
utilize
such
port
ions
of
the
work
and
to
place
the
operable
port
ions
into
service
.
With
this
notice
and
commencement
of
utilization
or
operation
by
the
CITY,
OWNER
shall
be
relieved
of
the
duty
of
maintaining
the
portions
so
utilized
or
placed
into
operation.
However,
such
use
and
operation
shall
not
relieve
OWNER
of
the
full
responsibility
for
completing
the
work
in
its
entirety,
for
making
good
defective
work
and
materials,
for
protecting
the
work
from
damage,
and
for
being
responsible
for
damage
and
for
the
work
as
set
forth
herein
.
Nor
shall
such
act
ion
by
CITY
be
deemed
completion
and
acceptance.
Further,
such
action
shall
not
relieve
OWNER,
or
OWNER's
sureties
and
insurers,
of
the
provisions
hereof
relating
to
indemnity
and
guarantees.
9. ACCEPTANCE
OF
PROJECT/WARRANTY:
Acceptance
of
the
wo
rk
shall
only
be
by
action
of
the
City
Council.
Neither
the
acceptance
nor
any
prior
inspections
or
failure
to
inspect
shall
constitute
a
waiver
by
CITY
of
any
defects
in
the
work
.
From
and
after
acceptance,
the
work
shall
be
owned
and
operated
by
CITY
.
As
a
condition
to
acceptance
, OWNER
and
OWNER's
contractor
shall
each
cert
ify
to
CITY
in
writing
that
all
of
the
work
has
been
performed
in
strict
conformity
with
the
agreement
and
that
all
costs
have
been
paid
or
supply
to
CITY
security
,
satisfactory
to
CITY,
guaranteeing
such
performance
.
7 of
14 In
addition
to
OWNER's
other
obligations
under
the
agreement,
OWNER
warrants
all
work
and
materials
to
be
of
good
quality
and
fit
for
the
purpose
and
intended
use
.
OWNER
shall
repair,
replace
, and
restore
any
and
all
such
wo
rk
which
may
prove
defective
in
workmanship
and/or
materials
, without
expense
whatsoever
to
CITY;
ordinary
wear
and
tear
and
unusual
abuse
or
neglect
excepted
.
OWNER
shall
also
repair,
replace
, and
restore
any
other
work
which
is
displaced
in
correcting
defective
work,
as
well
as
other
portions
of
the
work
which
CITY
by
reason
of
such
defects
reasonably
suspects
may
also
be
defective.
OWNER
shall
provide
a
warranty
bond
or
other
security
satisfactory
to
CITY
for
a
period
of
one
(1)
year
.
Said
bond
or
other
security
shall
be
in
an
amount
satisfactory
to
CITY,
but
in
no
case
less
than
ten
(10)
percent
of
project
cost.
Said
bond
or
other
security
shall
in
no
way
lim
it the
time
within
which
CITY
may
bring
action
for
breach
of
this
warranty
(CCP
337)
or
action
for
latent
defects
(CCP
337
.15)
nor
the
amount
of
such
claim
or
judgment.
In
the
event
of
a
failure
to
commence
with
the
compliance
of
above-mentioned
conditions
within
seven
(7)
calendar
days
after
being
notified
in
writing
or
failure
to
diligently
pursue
such
compliance
to
completion
, CITY
is
hereby
authorized
to
proceed
to
have
the
defects
repaired
and
made
good
at
the
expense
of
OWNER
who
hereby
agrees
to
pay
the
cost
and
charges
therefor
immediately
on
demand
.
If, in
the
opinion
of
CITY
, nonconforming
work
creates
a
dangerous
condition
or
requires
immediate
correction
or
repair
to
prevent
further
loss
to
CITY
or
to
prevent
interruption
of
operations,
CITY
will
attempt
to
give
the
OWNER
notice
.
If
OWNER
cannot
be
contacted
or
does
not
comply
with
CITY's
request
for
correction
within
a
reasonable
time
as
determined
by
CITY,
CITY
may
proceed
to
make
such
correction
or
provide
such
repair.
The
costs
of
such
correction
or
repair
shall
be
charged
against
OWNER,
who
agrees
to
make
payment
for
said
costs
upon
demand
.
Corrective
action
by
CITY
will
not
relieve
OWNER
or
OWNER's
sureties
or
insurers
of
the
guarantees
and
indemnities
of
this
agreement.
This
paragraph
does
not
in
any
way
limit
CITY's
remedies
pursuant
to
Code
of
Civil
Procedure,
Agreement
-5 of
8 April 7, 2026, Item #7
Section
337
and
337
.15,
or
the
guarantee
on
any
items
for
which
a longer
guarantee
is
specified
or
on
any
items
for
which
a
manufacturer
or
supplier
gives
a
longer
guarantee
period
. OWNER
agrees
to
act
as
a
co-guarantor
with
such
manufacturer
or
supplier,
and
shall
furnish
CITY
all
appropriate
guarantee
or
warranty
certificates
upon
completion
of
the
project.
No
manufacturers
guarantee
period
shall
in
any
way
limit
the
liability
of
OWNER
or
OWNER's
sureties
and
insurers
under
the
indemnity
or
insurance
provisions
of
this
agreement.
10 .
EASEMENTS
AND
FEE
INTERESTS:
OWNER
shall
at
OWNER
's
sole
cost
and
expense,
furnish
CITY
with
appropriate
easements
and
fee
title
to
required
facilities
sites
for
the
entire
work,
free
and
clear
of
all
liens,
encumbrances,
restrictions,
and
covenants
, other
than
current
real
property
taxes
then
a
lien
but
not
yet
payable
.
At
OWNER
's
cost
and
expense,
OWNER
shall
furnish
CITY
with
an
acceptable
title
insurance
policy
insuring
CITY
has
title
as
required
above
with
an
endorsement
insuring
CITY
against
mechanic's
lien
claims
arising
out
of
the
performance
of
the
work.
Easements shall
be
in
standard
form
acceptable
to"
CITY,
shall
be
not
less
than
the
width
CITY
determines
necessary
to
maintain
the
work and
shall
be
executed
and
delivered
to
CITY
concurrent
with
execution
of
this
agreement.
Easements
shall
be
recorded
prior
to
CITY
accepting
the
work
or
furnishing
services
to
any
portions
of
the
property
under
development
(other
than
those
as
may
be
delivered
under
a
temporary
service
agreement
with
OWNER).
11. CONTRACTORS
AND
AGENTS:
OWNER
shall
be
as
fully
responsible
to
CITY
for
the
acts
and
omissions
of
OWNER's
contractor
and
of
the
persons
directly
or
indirectly
employed
by
OWNER's
contractor
as
OWNER
is
for
the
acts
and
omissions
of
persons
directly
or
indirectly
employed
by
OWNER
Nothing
contained
in
the
agreement
shall
create
any
contractual
relationship
between
any
contractor
or
others
and
CITY
.
OWNER
shall
bind
every
contractor
to
be
bound
by
the
terms
of
this
agreement.
12. DEFAULT
BY
OWNER:
OWNER
shall
be
in
default
of
this
agreement
if,
in
the
sole
discretion
of
the
CITY,
OWNER
refuses
or
fails
to
construct
the
improvements
required
hereby
in
a
workmanlike
manner,
or
OWNER
refuses
or
fails
to
prosecute
the
work
or any
separable
part
thereof
with
such
diligence
as
will
ensure
its
completion
within
the
time
specified
herein,
or
any
written
extension
thereof,
or
fails
to
complete
such
work
within
such
time,
or
if
OWNER
should
be
adjudged
bankrupt,
make
a
general
assignment
for
the
benefit
of
creditors,
or
if a
receiver
should
be
appointed
on
account
of
OWNER's
insolvency
or
if OWNER
or
the
contractor,
or
any
of
their
subcontractors
violate
any
of
the
provisions
of
this
agreement,
or
if OWNER
fails
to
make
prompt
payment
for
materials
or
labor
or
if OWNER
disregards
laws,
ordinances,
or
instructions
of
CITY.
CITY
shall
serve
written
notice
upon
the
OWNER
and
OWNER's
surety
of
its
intention
to
declare
this
agreement
in
default.
Said
notice
will
contain
the
reasons
for
such
intention
to
declare
a
default.
Unless,
within
ten
(10)
days
after
the
service
of
such
notice
, such
violations
shall
cease
and
satisfactory
arrangements
for
the
corrections
thereof
be
made
, this
agreement
shall
upon
the
expiration
of
said
time
be
in
default.
8 of
14 Upon
such
default
, CITY
shall
serve
written
notice
thereof
upon
the
surety
and
OWNER,
and
the
surety
shall
have
the
right
to
take
over
and
perform
this
agreement.
If
the
surety
does
not,
within
fifteen
(15)
days
after
the
serving
upon
it
of
a
notice
of
default,
give
CITY
written
notice
of
its
intention
to
take
over
and
perform
this
agreement
or
does
not
commence
performance
thereof
within
thirty
(30)
days
from
the
date
of
CITY's
notice,
CITY
may
take
over
the
work
and
prosecute
the
same
to the
extent
of
completion
it deems
necessary
by
contract
or
by
any
other
method
it
may
deem
advisable
for
the
account
and
at
the
expense
of
OWNER,
and
the
surety
shall
be
liable
to
CITY
for
any
cost
or
other
damage
occasioned
CITY
thereby
.
In
such
event,
CITY
may,
without
liability
for
so
doing,
take
possession
of
and
utilize
in
completing
such
work,
such
materials,
appliances,
plants,
and
other
property
belonging
to
OWNER
that
may
be
on
the
site
of
the
work
and
be
necessary
therefore
.
Should
surety
fail
to
take
over
and
diligently
Agreement
-6 of
8 April 7, 2026, Item #7
perform
the
agreement
upon
Principal's
default,
surety
agrees to
promptly,
on
demand,
deposit
with
CITY
such
amount
as
CITY
may
reasonably
estimate
as
the
cost
of
completing
all
of
OWNER's
obligations
.
For
any
such
work
that
CITY
elects
to
complete
by
furnishing
its
own
employees,
materials,
tools,
and
equipment,
CITY
shall
receive
reasonable
compensation
therefore,
including
costs
of
supervision
and
overhead
.
CITY
may,
at
its
option,
elect
not
to
complete
any
or
all
of
the
work
and
may
elect
not
to
accept
any
of
the
work
already
completed.
If
CITY
elects
not
to
accept
any
of
the
work,
then
all
CITY's
obligations
to
OWNER
and
the
lands
to
be
served
shall
terminate.
CITY's
obligations
to
OWNER
and
the
lands
to
be
served
shall
continue
to
the
extent
of
any
acceptance,
subject
to
CITY's
right
to
offset
any
sums
due
it.
The
foregoing
provisions
are
in
addition
to,
and
not
in
limitation
of,
any
other
rights
or
remedies
available
to
CITY.
13 .
REMOVAL
OF
IMPROVEMENTS:
If
the
work
is
suspended
or
otherwise
not
continuously
prosecuted
for
any
cause
whatsoever,
within
or
without
the
time
for
completion
, OWNER
shall,
at
OWNER's
sole
cost
and
expense,
remove
and
replace
all
or
any
portion
of
the
work
already
completed
and
inspected
which
CITY,
in
its
sole
discretion,
determines
is
substandard
,
damaged,
or
may
constitute
danger
to
the
public.
14. ATTORNEY
FEES
AND
COSTS:
Should
CITY
engage
an
attorney
to
enforce
any
provision
of
this
agreement
or
to
defend
any
claim
brought
by
anyone
arising
out
of
the
failure
of
OWNER
to
perform
any
of
OWNER's
obligations
under
this
agreement,
OWNER
shall
pay
all
of
CITY's
attorney's
fees
incurred
in
connection
therewith,
with
or
without
suit,
whether
or
not
said
attorney
is
in
the
regular
employ
of
the
CITY
.
15. FUTURE
CHARGES:
Nothing
in
this
agreement
shall
relieve
OWNER
or
OWNER's
successors
or
assigns
of
any
obligation
to
pay
any
connection,
installation,
expansion
or
other
fees,
charges,
or
other
expenses,
including
operation
and
maintenance
expenses,
required
under
any
present
or
future
established
ordinances,
rules,
regulations,
and
policies
of
CITY
.
16 .
ASSIGNMENT:
The
performance
of
the
agreement
may
not
be
assigned
, by
OWNER
except
upon
the
written
consent
of
CITY
.
Consent
will
not
be
given
to
any
proposed
assignment
which
would
relieve
OWNER
or
OWNER's
sureties
of
their
responsibilities
under
the
agreement,
unless
CITY
finds
that
assignee
can
perform
this
agreement
and
provide
security
comparable
to
that
provided
by
OWNER.
17 .
NOTICE:
All
notices
required
hereunder
shall
be
deemed
served
or
given
upon
the
earlier
of
actual
receipt
or
deposit
in
the
United
States
Mail,
first
class
postage
prepaid,
addressed
to
OWNER
at
the
address
set
forth
below,
to
the
surety
at
the
address
in
the
security
instrument;
and
to
CITY
at
P.O
. Box
789,
Poway,
California
92074-0789
.
Agreement
-7
of
8 9
of
14 April 7, 2026, Item #7
CITY
OF
POWAY
By
:
OWNER
:
McKee
Orchard
LLC
ADDRESS
:
1241
Cave
Street,
#200
La
Jolla,
Ca
92037
PHOt';JE
:
(858)
458-9700
r I
~
~
\·
\
~
,-
--
By:
."---.__
__,...
'
Ure
Kretowicz,
Manager
(Signatures
Must
Be
Notarized)
Approved
as
to
Form:
Office
of
the
City
Attorney
Alan
Fenstermacher,
City
Attorney
Date
10 of
14 Agreement
- 8
of
8 April 7, 2026, Item #7
CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT CIVIL CODE§ 1189
A notary public or other officer completing this certificate verifies only the identity of the individual who signed the document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document.
State of California
County of San Diego
on May 4, 2023 before me, __ Y_v_o_n_ne_M_a_n_n_i_o_n-'--, _N_o_ta_ry_.__P_u_b_lic ____ _ Date Here Insert Name and Title of the Officer
personally appeared _______ C_h_r_is_H_a_z_;e'--'-lt.:.;_in'--'-e..:.._ ______________ _ Name(s) of Signer(s)
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.
YVONNE MANNION
Notary Public • California
San Diego County
Commission 1 2363699
My Comr:i. Expires Jul 1, 2025
Place Notary Seal Above
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 ,-/--;( /,,0/\-,..R--. lJ8,,,_./\:, J
U\J Signature of Notary Public
----------------OPTIONAL---------------
Though this section is optional, completing this information can deter alteration of the document or fraudulent reattachment of this form to an unintended document.
Description of Attached Document
Title or Type of Document: Standard Agreement for Construction of Public Improvements IMP22-002 Document Date: ___________________ Number of Pages: _____ _ Signer(s) Other Than Named Above: _____________________ _ Capacity(ies) Claimed by Signer(s)
Signer's Name: ____________ _ Signer's Name: ____________ _ □ Corporate Officer -Title(s): ______ _ □ Corporate Officer -Title(s): ______ _ □ Partner -□ Limited □ General □ Partner -□ Limited □ General □ Individual □ Attorney in Fact □ Individual □ Attorney in Fact □ Trustee □ Guardian or Conservator □ Trustee □ Guardian or Conservator □Other: ______________ _ □ Other: ______________ _
Signer Is Representing: _________ _ Signer Is Representing: ________ _ ~~'%~~~'%"g;,~~~'§X,.~~'g;."g,_~"@~~~~~~~~~~~
©2016 National Notary Association • www.NationalNotary.org • 1-800-US NOTARY (1-800-876-6827) Item #5907 11 of 14
April 7, 2026, Item #7
CALI
FO
RN
IA A
LL-
PUR
POSE
ACK
N
OWLEDG
M
ENT
CIVIL
CODE§
1189
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A notary
public
or
other
officer
completing
this
certificate
verifies
only
the
identity
of
the
individual
who
signed
the
document
to
which
this
certificate
is
attached,
and
not
the
truthfulness,
accuracy,
or
validity
of
that
document.
State
of
California
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of
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personally
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t<---''14!"_._(l_·_,_t .... r ... 1 ,;,,,:__=' ...,_i....,,_..,""'r•__,?'-·~------------ Name(s)
of
Signer(
~);
who
proved
to
me
on
the
basis
of
satisfactory
evidence
to
be
the
person(s
(whose
name(s
,)"is/ar.e
subscribed
to
the
within
instrument
and
acknowledged
to
me
that
he/s
l'l'SltJ:
rey
executed
the
same
in· his/her-
ttl:rei
r,
authorized
capacity(Les-)
; and
that
by
his/b':er-
'l,tbe
if
signature(s,
)'on
the
instrument
the
person(s-)
: or
the
entity
upon
behalf
of
which
the
person!
ef
acted,
executed
the
instrument.
oeeeeeeeeeeef ,<>-'
••
,,,
JESSICA
LEE
STIVES
•
Notary
Public
• California
z
San
Diego
County
~
Commission
/I 2l820'l5
-
y Comm
. Expires
l'lov
10,
2025
Place
Notary
Seal
and/or
Stamp
Above
I certify
under
PENAL
TY
OF
PERJURY
under
the
laws
of
the
State
of
California
that
the
foregoing
paragraph
is
true
and
correct.
WITNESS
my
hand
and
official
seal.
J
,-
/
0 0
Signature
,vvi
~1;,..,;t
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L/
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()
Signature
of
{jgtbry
Public
OPTIONAL
--'
-~---------------~
Completing this
information
can
deter
alteration
of
the
document
or
fraudulent
reattachment
of
this
form
to
an
unintended
document.
Description
of
Attached
Document
Title
or
Type
of
Document:
____________________________
_
Document
Date
: ______________________
Number
of
Pages
: ____
_
Signer(s)
Other
Than
Named
Above:
_______________________
_
Capacity(ies)
Claimed
by
Signer(s)
Signer's
Name:
Signer's
Name
:
□
Corporate
Officer
-
Title(s)
: ______
_
□
Corporate
Officer
-
Title(s):
______
_
□
Partner
-
□
Limited
□
General
□
Partner
-
□
Limited
□
General
□
Individual
□
Attorney
in
Fact
□
Individual
□
Attorney
in
Fact
□
Trustee
□
Guardian
of
Conservator
□
Trustee
□
Guardian
of
Conservator
□
Other
:
□
Other
:
Signer
is
Representing:
_________
_
Signer
is
Representing
: _________
_
©
2017
National
Notary
Association
12 of
14 April 7, 2026, Item #7
OWNER:
McKee
Orchard
LLC
Apr:
i I II
8023
Agreemefit
Date
SCHEDULE
A
TO
STANDARD
AGREEMENT
FOR
CONSTRUCTION
OF
PUBLIC
IMPROVEMENTS
(McKee
Orchard
IMP22-002)
This
schedule
is
attached
to
and
made
a
part
of
the
Standard
Agreement
for
Construction
of
Public
Improvements
between
CITY
and
OWNER
for
the
above-referenced
project.
The
following
correspond
to
the
paragraph
numbers
of
the
agreement.
1. Completion
Date:
2. Liability
Insurance
Limits:
3. a.
Approved
Cost
Estimate:
b.
Approved
Security
Amount:
Performance Payment (Labor
&
Materials)
4. Deposit/Fee
Amount:
Prior
to
issuance
of
first
Building
Permit
or
two
(2)
years
from
the
date
of
this
agreement,
whichever
comes
first.
$2,000,000.00,
combined
limit
each
occurrence
$426,600
.00
$426,600
.00
$213,300.00 See
Note
Below
5. Warranty
Security
Amount:
=$4....;.;2=·=6..;:..60=·a...=.0=0
_________
_
(To
be
posted
prior
to
acceptance
of
work)
Note:
Prior
to
start
of
construction,
a
deposit
shall
be
paid
to
the
City
to
cover
inspection
fees
and
related
post-plan
approval
tasks.
The
minimum
deposit
shall
be
based
on
the
City's
fee
rate
at
the
time
of
payment.
Schedule
A
to
Standard
Agreement
- 1
of
1 13
of
14 April 7, 2026, Item #7
OWNER
McKee
Orchard
LLC
Agr~ment
Date
SCHEDULE
B
(MONUMENT
SETTING)
TO
STANDARD
AGREEMENT
FOR
CONSTRUCTION
OF
PUBLIC
IMPROVEMENTS
(McKee
Orchard
IMP22-002)
This
schedule
is
attached
to
and
made
a
part
of
the
Standard
Agreement
for
Construction
of
Public
Improvements
between
CITY
and
OWNER
for
the
above-referenced
property.
Security
Amount:
~$-'1-'-7-=,2~0-"-0-'-".0~0
_____
_
1. Monument
Setting.
OWNER
at
OWNER's
sole
cost
and
expense
shall
within
thirty
(30)
days
of
acceptance
of
the
work,
cause
a
licensed
surveyor
engineer
to
set
all
monuments
and
stakes
not
installed
on
the
date
of
recording
of
the
Final
Map
for
the
above
reference
property,
or
which
having
been
set
were
removed,
altered
or
destroyed
before
acceptance. 2.
Security
Deposit.
OWNER
concurrently
herewith
shall
deposit
the
amount
specified
above
in
a
form
approved
by
the
City
engineer,
as
additional
and
independent
security
for
the
performance
of
the
setting
and
payment
of
the
engineer
or
surveyor.
3. Notice
of
Setting.
Within
five
(5)
days
after
the
final
setting
of
all
monuments
has
been
completed,
the
engineer
or
surveyor
shall
give
written
notice
thereof
to
OWNER
and
the
CITY
.
4. Payment
of
Engineer.
Upon
completion
of
setting
to
CITY's
satisfaction
and
payment
to
the
engineer
or
surveyor,
OWNER
shall
present
to
CITY
evidence
of
such
payment
and
receipt
thereof
by
the
engineer
or
surveyor
and
the
deposit
will
then
be
refunded
to
OWNER.
5. Nonpayment.
If OWNER
does
not
present
evidence
of
payment
and
if the
engineer
or
surveyor
notifies
the
CITY
of
nonpayment,
the
CITY
may,
within
three
(3)
months
from
the
date
of
said
notification,
pay
the
engineer
or
surveyor
the
amount
due
from
any
deposit
or
security
therefor.
6. Death
or
Disability
of
Engineer.
Upon
the
death,
disability
or
retirement
from
practice
of
or
refusal
to
act
by
the
engineer
or
surveyor
charged
with
the
responsibility
for
setting
monuments,
CITY
may
direct
its
engineer
or
such
engineer
or
surveyor
as
it
may
select,
to
set
the
monuments.
If
the
original
engineer
or
surveyor
is
replaced
by
another,
the
former
may,
by
letter
to
CITY,
release
the
right
to
set
the
final
monuments
to
the
substitute
surveyor
or
engineer.
When
the
monuments
are
so
set,
the
substitute
engineer
shall
amend
any
Final
Map
in
accordance
with
the
correction
and
amendment
provisions
of
Sections
66469
through
66472
of
the
Subdivision
Map
Act.
All
provisions
of
this
agreement
relating
to
payment
shall
apply
to
the
service
performed
by
the
substitute
engineer
or
surveyor.
14 of
14