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ANALYSIS:
The Virtualization Software Enterprise Licensing Agreement (ELA) is set to expire in October of 2023 and will require a renewal for continued services. Additionally, support for the Dell Server system is also expiring in October and will need to be renewed for an additional five years.
Included in the new contract is services for security software which was added and approved by Council in the most recent fiscal year.
Due to increased cybersecurity threats, DoIT and Procurement opted to forego a formal bid process, as sensitive information would need to be disclosed to obtain a public request for bid response. As an alternative, DoIT obtained a proposal from a certified Principal Partner and Dell recommended vendor, Sidepath, as a single source vendor. A Certified Principal Partner is an organization that has earned “Master Services Competencies” that demonstrates expertise in the virtualization software. Although the ELA and Dell Server support services are distinct contracts, it was more cost effective to purchase jointly to negotiate a lower cost. Agreement on file in the City Clerk Services Department.
FISCAL IMPACT:
The total cost of the project is $2,600,000. The following appropriation is needed:
Account Number Account Name Increase Decrease
1714001-5300 Contract Services $ 1,052,000
3288501-5300 Contract Services $ 1,052,000
COUNCIL MISSION / VISION / GOAL(S) ADDRESSED:
This item addresses the City Council’s Core Value of intentionally embracing and anticipating our future.
ATTACHMENTS:
None.
DATE:October 18, 2023
TO:Mayor and Members of the City Council
FROM:John R. Gillison, City Manager
INITIATED BY: Jason C. Welday, Director of Engineering Services/City Engineer Justin Pope, Associate Engineer
SUBJECT: Consideration of a License Agreement With Southern California Edison for Use of a Portion of Property (APN 0229-021-50) Necessary for Improvements Adjacent to the Day Creek Channel Bike Trail Improvements Project. (CITY)
RECOMMENDATION:
Staff recommends the City Council approve the attached License Agreement with Southern California Edison (SCE) for the use of a portion of property (APN 0229-021-50) necessary for improvements adjacent to the Day Creek Channel Bike Trail Improvements Project and authorize the Mayor to sign the License Agreement and any documents necessary to implement the terms of the Agreement.
BACKGROUND:
In 2019 and 2023, the City of Rancho Cucamonga (City) applied for and received grant funding from the San Bernardino County Transportation Authority (SBCTA) through the Transportation Development Act, Article 3 Bicycle and Pedestrians Facilities Program. The Day Creek Channel Bike Trail Improvements Project (Project) proposes to construct a 1.4-mile multi-use trail beginning at Base Line Road, where the existing Day Creek Channel Trail currently terminates, and extending south to Jack Benny Drive.
To improve connectivity, the Project application included a lateral connection from the Project to the Rancho Cucamonga Sports Center and will expand the area that has a direct connection to the Pacific Electric (P.E.) Trail. This lateral connection, which is approximately 330 feet long and 20 feet wide, will be constructed on property owned by SCE (APN 0229-021-50).
ANALYSIS:
In order for the City to construct the necessary improvements, SCE is requiring the City to enter into the attached License Agreement, which has a term of five (5) years. The improvements and terms of the License Agreement will then be reviewed by both parties and can be renewed in additional 5-year increments.
FISCAL IMPACT:
The City has been awarded $510,250 in grant funding from SBCTA for construction of the Project.
A local match of $274,750 is being provided through the Air Quality Improvement Fund.
The Project will add approximately 1.4 miles of multi-use trail to the City’s trail network and will require routine maintenance for signing, striping, and debris clearing. This License Agreement
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will require payment from the City to SCE on a yearly basis, which will be $4,492.72 over the five (5) year term of the Agreement.
COUNCIL MISSION / VISION / VALUE(S) ADDRESSED:
This item addresses the City Council’s vision for the City to build upon our success as a world class community, to create an equitable, sustainable, and vibrant city, rich in opportunity for all to thrive by expanding the City’s multi-use trail network.
ATTACHMENTS:
Attachment 1 – Vicinity Map
Attachment 2 – License Agreement
VICINITY MAP
APN: 0229-21-50
ATTACHMENT 1
SCE Doc. 310305 and 321102 Att. Contract No. 9.8383
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CITY OF RANCHO CUCAMONGA
L I C E N S E A G R E E M E N T
I N D E X O F A R T I C L E S
1. USE
2. TERM
3. CONSIDERATION
4. INSURANCE
5. LICENSOR’S USE OF THE PROPERTY
6. LICENSEE’S IMPROVEMENTS
7. LICENSEE'S PERSONAL PROPERTY
8. HEIGHT LIMITATIONS AND VERTICAL CLEARANCES
9. ACCESS AND CLEARANCES
10. PARKING
11. WEEDS, BRUSH, RUBBISH AND DEBRIS (WEED ABATEMENT)
12. FLAMMABLES, WASTE AND NUISANCES
13. PESTICIDES AND HERBICIDES
14. HAZARDOUS MATERIALS AND WASTE
15. SIGNS
16. FENCING AND EXISTING FIXTURES
17. PARKWAYS AND LANDSCAPING
18. IRRIGATION EQUIPMENT
19. UNDERGROUND TANKS
20. UNDERGROUND FACILITIES
21. UTILITIES
22. TAXES, ASSESSMENTS AND LIENS
23. EXPENSE
24. ASSIGNMENTS
25. COMPLIANCE WITH LAWS AND REGULATIONS
26. GOVERNING LAW
27. INDEMNIFICATION; ASSUMPTION OF RISK; RELEASE
28. TERMINATION
29. EVENTS OF DEFAULT
30. REMEDIES
31. LICENSEE’S PERSONAL PROPERTY UPON TERMINATION OR EXPIRATION
32. LIMITATION OF LIABILITY
33. NON-POSSESSORY INTEREST
34. WAIVER
35. AUTHORITY
36. ELECTRIC AND MAGNETIC FIELDS
ATTACHMENT 2
SCE Doc. 310305 and 321102 Att. Contract No. 9.8383
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37. INDUCED VOLTAGES
38. NOTICES
39. RECORDING
40. COMPLETE AGREEMENT
41. SIGNATURE AUTHORITY
42. SURVIVAL
APPENDIX: GUIDELINES FOR STANDARD LICENSEE IMPROVEMENTS (MODIFIED)
ADDENDUM(S)
NON-MOTORIZED BIKING & HIKING TRAILS (MODIFIED)
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LICENSE AGREEMENT
THIS AGREEMENT between SOUTHERN CALIFORNIA EDISON COMPANY, a corporation organized under the laws of the State of California, called "Licensor", and CITY OF RANCHO CUCAMONGA, called "Licensee";
WITNESSETH: That Licensor, for and in consideration of the faithful performance by Licensee of the terms, covenants and agreements hereina fter set forth to be kept and performed by Licensee, does hereby give to Licensee the license to use that certain real property solely for the purpose hereinafter specified, upon and subject to the terms, reservations, covenants and conditions hereinafter set forth, hereinafter designated as "Property” on the Exhibit "A" attached hereto and made a part hereof, being a portion of Assessor’s Parcel Number 0229-021-50, situated in the City of Rancho Cucamonga, County of San Bernardino, State of California, subject to any and all covenants, restrictions, reservations, exceptions, rights and easements, whether or not of record.
Acknowledgment of License and Disclaimer of Tenancy
Licensee acknowledges and agrees that the License constitutes a limited, revocable, non-possessory, personal and non-assignable privilege to use the Property solely for those permitted uses and activities expressly identified in the Agreement (the “License Privilege”). Licensee further acknowledges and agrees that:
● The consideration paid by Licensee pursuant to Article 3 of the Agreement is consistent with the value of the rights comprising the License Privilege; the consideration is not consistent with the higher market value for a greater right, privilege or interest (such as a lease) in the Property or similarly situated parcels.
● Licensee is not a tenant or lessee of Licensor and holds no rights of tenancy or leasehold in relation to the Property.
● The Agreement and/or any prior and/or future acts or omissions of Licensor shall not create (or be construed as creating) a leasehold, tenancy or any other interest in the Property.
● Licensor may terminate the License and revoke the License Privilege at any time, subject, if applicable, to a notice period agreed upon by the parties, as more particularly set forth in the Agreement.
● In consideration of Licensor’s grant of the License, Licensee specifically and expressly waives, releases and relinquishes any and all right(s) to assert any claim of right, privilege or interest in the Property other than the License.
● Licensee further acknowledges and agrees that without the representations and agreements set forth herein, Licensor would not enter into the Agreement.
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1. Use: Licensee will use the Property for walking and non -motorized bike riding trail purposes only. Licensor makes no representation, covenant, warranty or promise that the Property, and any fixtures thereon, are fit or suitable for any particular use, including the use for which this Agreement is made and Licensee is not relying on any such representation, covenant, warranty or promise.
Licensee’s use of the property for any other purpose and/or failure to utilize the Property in accordance with this License as determined by the Licensor in its sole discretion will be deemed a material default and grounds for immediate termination of this Agreement in accordance with Article s 28 and/or 30.
2. Term: Unless otherwise terminated as provided herein, this Agreement will be in effect for a term of five (5) years commencing on the first day of December, 2023 and ending on the last day of November, 2028. Licensee acknowledges that this Agreement does not entitle Licensee to any subsequent agreement, for any reason whatsoever, regardless of the use Licensee makes of the Property, the improvements Licensee places on or makes to the Property, or for any other reason.
3. Consideration: Licensee will pay to Licensor the sum of Eight Hundred Thirteen and 07/100 Dollars ($813.07) upon the execution and delivery of this Agreement with subsequent annual payments as specified below. Payment to Licensor must be in the form of a check or money order payable to Southern California Edison Company. No cash payments will be accepted by Licensor. Payment schedule:
Year Term Yearly
Amount
Payment Due
First Day Of
First Year 2023 $813.07 December
Second Year 2024 $853.72 December
Third Year 2025 $896.41 December
Fourth Year 2026 $941.23 December
Fifth Year 2027 $988.29 December
All accounts not paid by the agreed upon due date may be subject to a late fee of up to 20% of the amount that was due on the date.
All payments subsequent to the initial payment will be paid to the Southern California Edison Company, Post Office Box 800 Rosemead, California, 91770, and Attention: Corporate Accounting Department – Accounts Receivable.
4. Insurance: During the term of this Agreement, Licensee shall maintain the following insurance:
(a) Workers’ Compensation with statutory limits, under the laws of the State of California and Employer’s Liability with limits of not less than $ 1,000,000.00 each accident, disease/each employee, and d isease/policy limit. Licensee shall require its insurer to waive all rights of subrogation against Licensor, its officers, agents and employees, except for any liability resulting from the willful or grossly negligent acts of the Licensor. (b) Commercial General Liability Insurance , including contractual liability and products liability, with limits not less than $1,000,000.00 per occurrence and $1,000,000.00 in the aggregate. Such insurance shall: (i) name Licensor, its officers, agents and employees SCE Doc. 310305 and 321102 Att. Contract No. 9.8383
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as additional insureds, but only for Licensee’s negligent acts or omissions; (ii) be primary for all purposes and (iii) contain separation of insureds or cross-liability clause, and (iv) require its insurer to waive all rights of subrogation against Licensor, its officers, agents and employees, except for any liability resulting from the willful or grossly negligent acts of the Licensor.
(c) Commercial Automobile Liability insurance wit h a combined single limit of $1,000,000.00. Such insurance shall cover the use of owned, non -owned and hired vehicles on the Property.
(d) Self - Insurance: Licensee may self-insure all of the insurance requirements above if they belong to an approved Secondary Use Category and the self -insurance is maintained under a self -insurance program reasonably satisfactory to Licensor. Walking and non- motorized bike reding trail use is an approved Secondary Use Category; Licensee may submit written verification of self-insurance to meet the above insurance requirements.
The failure to maintain such insurance may be deemed by Licensor a material default of this Agreement and groun ds for immediate termination pursuant to Articles 28 and/or 30. Licensee shall provide Licensor with proof of such insurance by submission of certificates of insurance, pursuant to Article 38 “Notices”, at least ten days prior to the effective date of this Agreement, and thereafter at least ten days prior to each insurance renewal date. Licensee must provide Licensor at least thirty (30) days notice before any such insurance will be canceled, allowed to expire, or materially reduced. However, in the event insurance is canceled for the non -payment of a premium, Licensee must provide to Licensor at least ten (10) days’ prior written notice before the effective date of cancellation. The required insurance policies shall be maintained with insurers reasonably satisfactory to Licensor and shall be primary and non-contributory with any insurance or self-insurance maintained by Licensor.
5. Licensor's Use of the Property: Licensee agrees that Licensor, its successors and assigns, have the right to enter the Property, at all times, for any purpose, and the right to conduct any activity on the Property. Exercise of these rights by Licensor, its successors and assigns, will not result in compensation to Licensee for any damages whatsoever to personal property , structures, and/or crops located on the Property , nor shall Licensee be entitled to any compensation for any loss of use of the Property or a portion thereof, and/or any related damages, as a result of Licensor’s activities under this Article.
6. Licensee's Improvements: Licensee must submit, for Licensor's prior written approval, complete improvement plans, including , but not limited to, grading, lighting, landscaping , grounding, and irrigation plans, - identifying all existing and proposed improvements, a minimum of sixty (60) days prior to making any use of the Property. Licensee’s conceptual plans for proposed improvements shall be developed in accordance with the guidelines contained in the Appendi x to this License. It is understood and agreed that the general guidelines contained in the Appendix are intended to provide a framework for the development of conceptual plans only; and that Licensor may modify or add to the conditions contained in the Appendix hereto, based on individual site characteristics, Licensor’s existing or potential operating needs or Licensee’s proposed use(s). Licensee must submit, for Licensor's prior written approval plans for any modifications to such improvements. Written approval may be modified and/or rescinded by Licensor for any reason whatsoever.
To the extent Licensor reviews and/or approves any improvement plans, Licensor is doing so only for purposes of determining whether said improvements are compatible with Licensor’s use of the Property.
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Under no circumstances shall such review and/or approval be construed as a warranty, representation, or promise that the Property is fit for the proposed improvements, or that said improvements comply with any applicable city , state, or county building requirements, other legal requirements, or the generally accepted standard of care.
At any time, Licensor may require Licensee to modify and/or remove any or all such previously approved improvements at Licensee’s risk and expense and without compensation from Licensor. Licensor is not required, at any time, to make any repairs, improvements, alterations, changes or additions of any nature whatsoever to the Property and/or any fixtures thereon. Licensee expressly acknowledges that any expenditures or improvements will in no way alter Licensor’s right to terminate in accordance with Articles 28, and/or 30.
7. Licensee's Personal Property: (i) Licensor grants Licensee permission to place Licensee’s personal property on the Property consistent with the use identified in Article 1 and other terms of this Agreement. Such permission granted by Licensor shall be revoked upon the earlier of the termination or expiration of this Agreement. All equipment and other proper ty brought, placed or erected on the Property by Licensee shall be and remain the property of Licensee, except as otherwise set forth herein.
Licensee shall be responsible for any damage to the Property and/or Licensor’s personal property arising out of Li censee’s activities on the Property, including its use and/or removal of Licen see’s personal property. Licensee further ackn owledges and agrees that Licensor is not responsible for Licensee’s personal property during the effectiveness of this Agreement, or upon termination or expiration. Licensor further assumes no duty or obligation to maintain or secure Licensee’s personal property at any time.
(ii) Unless as specifically provided for in an Addendum to this Agreement, Licensee shall not store on the Property, for a period longer than twenty-four (24) consecutive hours, any personal property owned by a non-party to this Agreement.
Licensee will defend and indemnify Licensor, its directors, officers, agents, subcontractors, and employees, and its successor s and assigns, from any and all claims, loss, damage, actions, causes of action, expenses and/or liability arising from the storage of, damage to, and/or loss of use of such non- party’s personal property.
8. Height Limitations and Vertical Clearances : Any equipment used by Licensee or its agents, employees or contractors, on and/or adjacent to the Property, will be used and operated so as to maintain minimum clearance s from all overhead electrical conductors as designated in the table below:
Vehicle/ Equipment Vertical Clearance
500 kV 35 feet
220 kV – 66kV 30 feet
<66kV (Distribution facilities) 25 feet
Telecom 18 feet
All trees and plants on the Property will be maintained by Licensee at a maximum height of fifteen (15) feet. If requested by Licensor, Licensee will remove or relocate at Licensee’s expense, any tree and/or other planting.
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9. Access and Horizontal Clearances: Licensee will provide Licensor with adequate access to all of Licensor's facilities on the Property and at no time will there be any interference with the free movement of Licensor's equipment , personnel, and materials over the Property. Licensor may require Licensee to provide and maintain access roads within the Property, at a minimum usable width of sixteen (16) feet, with commercial driveway aprons and curb depressions capable of supporting a gross load of forty (40) tons on a three-axle vehicle. The minimum width of all roads shall be increased on curves by a distance equal to 400/inside radius of cur vature. All curves shall have a radius of not less than 50 feet measured at the inside edge of the usable road surface. Unless otherwise specified in writing by Licensor, Licensee will make no use of the area directly underneath Licensor's towers and will maintain the following minimum clearances:
a. A 50-foot-radius around suspension tower legs , H-Frames and poles and 100-foot radius around dead-end tower legs, H-Frames and poles.
b. A 25-foot-radius around all other poles.
NOTE: Additional clearance may be required by Licensor for structures.
10. Parking: Licensee will not park, store, repair or refuel any motor vehicles or allow parking, storage, repairing or refueling of any motor vehicles on the Property unless specifically approved in a writing executed by Licensor.
11. Weeds, Brush, Rubbish and Debris (Weed Abatement): Licensee will keep the Property clean, free from weeds, brush, rubbish and debris and in a condition satisfactory to Licensor.
12. Flammables, Waste and Nuisances : Unless permitted by Licensor in writing, Licensee will not, or allow others, to place , use, or store any flammable or combustible materials or waste materials on the Property or commit any waste or damage to the Propert y or allow any to be done.
Licensee will be responsible for the control of and will be liable for any damage or disturbance, caused by any trespasser, dust, odor, flammable or waste materials, noise or other nuisance disturbances.
Licensee will not permit dogs on the Property.
13. Pesticides and Herbicides: Any pesticide or herbicide applications and disposals will be made in accordance with all Federal, State, County and local laws. Licensee will dispose of all pesticides, herbicides and any other toxic substances declared to be either a health or environmental hazard , and all materials contaminated by such substances, including but not limited to, containers, clothing and equipment, in the manner prescribed by law.
14. Hazardous Material and Waste: Licensee will not engage in, or permit any other party to engage in, any activity on the Property that violates federal, state or local laws, rules or regulations pertaining to the use, management , storage, or disposal of waste, including, but not limited to hazardous, toxic or infectious materials. Unless permitted by Licensor in writing, Licensee will not, or allow others to, place, use, or store any hazardous, toxic or infectious materials and/o r waste on the Property. Licensee will indemnify and hold Licensor, its directors, officers, agents and employees, and its successors and assigns, harmless from all claims, loss, damage, actions, causes of action, expenses and/or liability arising from leaks of, spills of, and/or contamination by or from hazardous materials as defined by applicable laws or regulations, which may occur during and after the Agreement term, and are attributable to the actions of, or failure to act by, Licensee or any person c laiming under Licensee.
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15. Signs: Licensee must obtain written approval from Licensor prior to the construction or placement of any sign, signboard or other form of outdoor advertising. Licensee shall within three (3) days from the date on which the Licensee learns of the graffiti remove any signs containing graffiti or shall otherwise remove such graffiti from the signs in a manner reasonably acceptable to Licensor.
Notwithstanding any other language in this Article, Licensee shall not advertise on any sign any product, service, or good which is (i) not directly related to Licensee’s use of the Property, (ii) offensive to the public, or (iii) which Licensor, in its reasonable discretion, deems objectionable.
16. Fencing and Existing Fixtures : Licensor disclaims any and all express or implied warranties for any fencing and/or other fixtures affixed to the Property, and further disclaims any liability arising from any disrepair of the same. Licensee may install fencing on th e Property with prior written approval from Licensor. Such fencing will include double drive gates, in locations specified by Licensor, a minimum of twenty (20) feet in width and designed to accommodate separate Licensor and Licensee locks. Licensee will maintain and repair all fencing and other fixtures affixed to the Property, including any grounding of the same as deemed necessary by Licensor, in a manner acceptable to Licensor. Grounding plans must be prepared and stamped by a licensed electrical engineer and submitted to Licensor.
17. Parkways and Landscaping: Licensee will keep parkway and sidewalk areas adjacent to the Property free of weeds, brush, rubbish and debris. Licensee will maintain parkways on the Property and provide landscaping that is compatible with adjoining properties and that is satisfactory to Licensor.
18. Irrigation Equipment : Any irrigation equipment located on the Property prior to the commencement of this Agreement, including but not limited to pipelines, well pumping equipment and other structures, is the property of Licensor and will remain on and be surrendered with the Property upon termination of this Agreement. Should Licensee desire to use the irrigation equipment, Licensee will maintain, operate, repair and replace, if necessary, all irrigation equipment at its own expense.
19. Underground and Above-Ground Tanks: Licensee will not install underground or above- ground storage tanks, as defined by any and all applicable laws or regulations, without Licensor's prior written approval in accordance with Article 6.
20. Underground Facilities : Any underground facilities must be approved by Licensor pursuant to Article 6. Licensee must contact Dig Alert and comply with the applicable processes, policies and/or procedures of Dig Alert, prior to any underground installation. Any underground facilities installed or maintained by Licensee on the Property must have a minimum cover of three feet from the top of the facility and be capable of withstanding a gross load of forty (40) tons on a three -axle vehicle.
Licensee will compact any earth excavated to a compaction of ninety percent (90%). Licensee will relocate its facilities at its own expense so as not to interfere with Licensor's proposed facilities.
21. Utilities: Licensee will pay all charges and assessments for, or in connection with, water, electric current or other utilities which may be furnished to or used on the Property.
22. Taxes, Assessments and Liens: Licensee will pay all taxes and assessments which may be levied upon any crops, personal property, and improvements, including but not limited to, buildings, structures, and fixtures on the Property. Licensee will keep the Property free from all liens, including but not limited to, mechanics liens and encumbrances by use or occupancy by Licensee, or any person claiming under Licensee. If Licensee fails to pay the above-mentioned taxes, assessments or liens when due, Licensor may pay the same and charge the amount to the Licensee. All accounts not paid within SCE Doc. 310305 and 321102 Att. Contract No. 9.8383
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thirty (30) days of the agreed upon due date will be charged a "late fee" on all amounts outstanding up to the maximum rate allowed by law.
23. Expense: Licensee will perform and pay all obligations of Licensee under this Agreement.
All matters or things required by Licensee will be performed and paid for at the sole cost and expense of Licensee, without obligation by Licensor to make payment or incur cost or expense for any such matters or things.
24. Assignments: This Agreement is personal to Licensee, and Licensee will not assign, transfer or sell this Agreement or any privilege hereunder in whole or in part, and any attempt to do so will be void and confer no right on any third party.
25. Compliance with Laws and Regulations: Licensee will comply with all applicable federal, state, county and local laws, all covenants, conditions and restrictions of record and all applicable ordinances, zoning restrictions, rules, regulations, orders and any requirements of any duly constituted public authorities now or hereafter in any manner affecting the Property or the streets and ways adjacent thereto. Licensee will obtain all permits and other governmental approvals required in connection with Licensee's activities hereunder. Licensee shall also comply with the requirements of every addendum attached hereto. Licensee shall hold harmless, defend and indemnify Licensor, its officers, agents and employees, and its successors and assigns, from and against all claims, loss, damage, actions, causes of actions, expense and/or liability arising from or resulting from any violation of this provision.
26. Governing Law : The existence, validity, constructio n, operation and effect of this Agreement and all of its terms and provisions will be determined in accordance with the laws of the State of California.
27. Indemnification; Assumption of Risk; Release: Licensee shall hold harmless, defend and indemnify Licensor, its officers, agents and employees, and its successors and assigns, from and against all claims, loss, damage, actions, causes of actions, expense and/or liability arising from or growing out of loss or damage to property, including that of Licensor, or injury to or death of persons, including employees of Licensor resulting in any manner whatsoever, directly or indirectly, by reason of this Agreement or the use or occupancy of the Property by Li censee or any person claiming under Licensee.
Licensee agrees to assume all risk of loss by fire, flood, earthquake, theft, accident, or casualty of any kind, which may affect the Property, any improvements constructed or installed thereon by Licensee, Licensee’s use of the Property, or exercise of the rights granted herein. Licensee releases and waives all claims against Licensor and each of the indemnified parties for loss or damage caused by, arising out of, or in any way connected with Licensor’s or Licensee’s use of the Property or the exercise of the rights granted herein.
28. Termination: Licensor or Licensee may terminate this Agreement, at any time, for any reason, upon thir ty (30) days notice in writing . Additionally, Licensor may immedi ately terminate this Agreement pursuant to Article 30. Termination does not release Licensee from any liability or obligation (indemnity or otherwise) which Licensee may have incurred. Upon termination, Licensor may immediately recover from Licensee all amounts due and owing hereunder, plus interest at the maximum rate permitted by law on such amounts until paid, as well as any other amount necessary to compensate Licensor for all the detriment proximately caused by Licensee’s failure to perform its obliga tions under this Agreement. Licensee's continued presence after termination shall be deemed a trespass. In the event of a termination for any reason other than non -payment of the License fee, Licensor shall refund any SCE Doc. 310305 and 321102 Att. Contract No. 9.8383
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previously collected/pre -paid License fees covering the unused portion of the remaining term , to the extent such fees exceed any offset claimed by Licensor under the Agreement
29. Events of Default : In addition to material defaults otherwise described herein, the occurrence of any of the following shall constitute a material default and breach of this Agreement by Licensee:
(a) Any failure by Licensee to pay the consideration due under Article 3, or to make any other payment required to be made by Licensee when due.
(b) The abandonment or vacating of the Property by Licensee.
(c) Any attempted assignment or subletting of this Agreement by Licensee in violation of Article 24.
(d) The violation by Licensee of any resolution, ordinance, statute, code, regulation or other rule of any governmental agency applicable to Licensee’s activities under this Agreement.
(e) Any attempt to exclude Licensor from the licensed premises.
(f) The making by Licensee of any general assignment for the benefit of creditors; the appointment of a receiver to take possession of substantially all of Licensee's assets located on the Property or of Licensee's privileges hereunder where possession is not restored to Licensee within five (5) days; the attachment, execution or other judicial seizure of substantially all of Licensee's assets located on the Property or of Licensee's privileges hereunder, where such seizure is not discharged within five (5) days.
(g) Any case, proceeding or other action brought against Licensee seeking any of the relief mentioned in "clause f" of this Article which has not been stayed or dismissed within thirty (30) days after the commencement thereof.
(h) Any claim by Licensee that it has a possessory interest and/or irrevocable license in the Property.
(i) With respect to items not otherwise listed in Article 29.a -h, the failure by Licensee to observe and perform any other provision of this Agreement to be observed or performed by Licensee. Licensor shall provide written notice of such failure and Licensee shall be considered in material default where such failure continues for a total of ten (10) or more consecutive days from the date of the notice. Further, with respect to items not otherwise listed in Article 29.a-h, Licensee shall be considered in material default should Licensee fail to observe or perform any other provision of this Agreement for more than fifteen (15) days during the entire Term of the Agreement in the aggregate, after Licensor provides an initial written notice of such failure. After providing initial notice under this provision, Licensor will not be required to provide any subsequent notice of breach of this Agreement.
30. Remedies: Notwithstanding the notice requirement in Article 28, in the event of any material default by Licensee, then in addition to any other remedies available to Licensor at law or in SCE Doc. 310305 and 321102 Att. Contract No. 9.8383
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equity, Licensor shall have the option to immediately terminate this Agreement and all rights of Licensee hereunder by giving written notice of such immediate termination to Licensee.
31. Licensee’s Personal Property Upon Termination or Expiration : In the event that this Agreement is terminated, whether termination is effected pursuant to Article 28 and/or 30, or in the event this Agreement expires pursuant to Article 2, Licensee shall, at Licensee’s sole cost and expense and prior to the earlier of the effective termination date or expiration date, remove all weeds, debris, and waste from the Property and peaceably quit, surrender and restore the licensed Property to the condition it was in prior to the Licensee’s use of the Property, in a manner satisfactory to Licensor.
If Lice nsee fails o r refuses to remove any of Licen see’s personal property, building(s), fixture(s) or structure(s) from the Property prior to the earlier of the termination date or expiration date, said personal property, building(s), fixture(s) or structure(s) shall be deemed abandoned by the Licensee, and the Licensor shall have the right, but not the obligation, to remove, destroy, sell or otherwise dispose of them with no further notice to Licensee. Licensor shall not be required to seek and/or obtain judicia l relief (including, but not limited to, the filing of an unlawful detainer action), nor shall Licensor be responsible for the value of Licensee’s personal property.
Licensor shall have the right to charge and recover from Licensee all costs and expenses incurred by Licensor related to (i) the removal, disposal or sale of Licensee’s personal property, building(s), fixture(s) or structure(s), (ii), the removal of any waste, weeds, or debris on the Property, (iii) environmental studies and environmental remediation and/or cleanup attributable to Licensee’s use of the Property, and (iv) the restoration of the Property to the condition it was in prior to Licensor’s initial use of the Property.
Licensee agrees to pay such expenses to Licensor upon demand.
32. Limitation of Liability:
IN ORDER FOR LICENSEE TO OBTAIN THE BENEFIT OF THE FEE IDE NTIFIED IN ARTICLE 3,
WHICH INCLUDES A LESSER ALLOWANCE FOR RISK FUNDING FOR LICENSOR, LICENSEE AGREES TO LIMIT LICENSOR’S LIABILITY PURSUANT TO THIS AGREEMENT. AS SUCH, IF LICENSEE IS ENTITLED TO ANY RELIEF FOR LICENSOR’S NEGLIGENCE, INCLUDING GROSS NEGLIGENCE, FOR DAMAGE OR DESTRUCTION OF LICENSEE’S PERSONAL PROPERTY,
BUILDING(S), STRUCTURE(S) OR FIXTURE(S) , THE TOTAL LIABILITY OF LICENSOR SHALL NOT
EXCEED THE TOTAL FEES ACTUALLY PAID BY LICENSEE TO LICENSOR DURING THE TERM OF THIS AGREEMENT.
FURTHER, IN NO EVENT SHALL LICENSOR BE LIABLE UNDER ANY CIRCUMSTANCES FOR INJURY OR DAMAGE TO LICENSEE’S BUSINESS, IF ANY, INCLUDING, BUT NOT LIMITED TO,
LOSS OF PROFITS, LOSS OF RENTS OR OTHER EVENTS, LOSS OF BUS INESS OPPORTUNITY,
LOSS OF GOODWILL OR LOSS OF USE, IN EACH CASE, HOWEVER OCCURRING, RELATED TO THIS AGREEMENT. THE PROVISIONS OF THIS SECTION 32 SHALL EXPRSSLY SURVIVE THE TERMINATION OR EXPIRATION OF THIS AGREEMENT.
33. Non-Possessory Interest: Licensor retains full possession of the Property and Licensee will not acquire any possessory interest, whether temporary, permanent, or otherwise by reason of this Agreement, or by the exercise of the permission given herein. Licensee will make no claim to any such interest and Licensee will not claim that it has or ever had an irrevocable license in the Property .
SCE Doc. 310305 and 321102 Att. Contract No. 9.8383
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34. Waiver: Licensor shall not be deemed to waive any provision of this Agreement orally or by conduct. Any waiver by Licensor of any provision of this Agreement must be in a writing signed by Licensor. No waiver by Licensor of any provision shall be deemed a waiver of any other provision or of any subsequent breach by Licensee of the same or any other provision. Licensor's consent to or approval of any act shall not be deemed to render unnecessary the obtaining of Licensor's consent to or approval of any subsequent act by Licensee. Licensor’s acceptance of payment after providing notice of termination to Licensee shall not constitute a waiver of Licensor’s termination of the Agreement.
35. Authority: This Agreement is executed subject to General Order No. 69-C of the Public Utilities Commission of the State of California dated and effective July 10, 1985, incorporated by this reference. As set forth in General Order 69 -C, this Licens e is made conditional upon the right of the Licensor either on ord er of the Pub lic Utilities Commission or on Grantor’s own motion to resume the use of that property (including, but not limited to the removal of any obstructions) whenever, in the interest of Licensor’s service to its patrons or consumers, it shall appear necessary or desirable to do so.
Licensee agrees to comply with all federal, state and local laws and regulations. This Agreement should not be construed as a subordination of Licensor’s rights, title and interest in and to its fee ownershi p, nor should this Agreement be construed as a waiver of any of the provisions contained in said License or a waiver of any costs of relocation of affected Licensor facilities.
36. Electric and Magnetic Fields (“EMF”) : There are numerous sources of power frequency electric and magnetic field (“EMF”), including household or building wiring, electrical appliances and electric power transmission and distribution facilities. There have been numerous scientific studies about the potential health effects o f EMF. Interest in a potential link between long -term exposures to EMF and certain diseases is based on this scientific research and public concerns.
While some 40 years of research have not established EMF as a health hazard, some health authorities have identified magnetic field exposures as a possible human carcinogen. Many of the questions about diseases have been successfully resolved due to an aggressive international research program. However, potentially important public health questions remain about whether there is a link between EMF exposures in homes or work and some diseases including childhood leukemia and a variety of other adult diseases (e.g. adult cancers and miscarriages). While scientific research is continuing on a wide range of questions relating to exposures at both work and in our communities, a quick resolution of the remaining scientific uncertainties is not expected.
Since Licensee plans to license or otherwise enter Licensor property that is in close proximity to Licensor electric facilities, Licensor wants to share with Licensee and those who may enter the property under this agreement, the information available about EMF. Accordingly, Licensor has attached to this document a brochure that explains some basic facts about EMF and that describes Licensor policy on EMF. Licensor also encourages Licensee to obtain other information as needed to assist in understanding the EMF regarding the planned use of this property.
37. Induced Voltages: Licensee hereby acknowledges that any structures (including, but not limited to, buildings, fences, light poles) that exist or may be constructed on the Property licensed herein, (hereinafter, the “Structures”) in close proximity to one or more high voltage (66 kilovolt or above) electric transmission lines and/or substation facilities may be susceptible to induced voltages, static voltages and/or related electric fault conditions (hereinafter collectively referred to as “Induced Voltages”) unless appropriate grounding or other mitigation measures are incorporated into the Structures. If not properly mitigated, Induced Voltages can cause a variety of safety and/or nuisance conditions including, but not limited to, electric shocks or other inju ries to individuals contacting the Structures or other utilities SCE Doc. 310305 and 321102 Att. Contract No. 9.8383
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connected to the Structures (including, but not limited to, natural gas lines, water lines or cable television lines), or interference with or damage to sensitive electronic equipment in or a round the Structures. Measures to mitigate Induced Voltages, if required, will vary from case to case because of factors such as electric facility configuration and voltage, other utilities involved, or sensitivity of electronic equipment. Licensee will be responsible to determine what Induced Voltages mitigation measures should be undertaken regarding the Structures and to implement such mitigation measures at its sole cost and expense.
Licensee agrees for itself and for its contractors, agents, licensees , invitees, and employees, to save harmless and indemnify Licensor, its parent, subsidiaries and affiliated entities and their respective officers and employees against all claims, loss, damage, actions, causes of action, expenses and/or liability arising from or growing out of loss or damage to property, including Licensor’s own personal property, or injury to or death of persons, including employees of Licensor caused by or resulting from or connected to Induced Voltages on or related to the Structures.
38. Notices: All notices required to be given by either party shall be made in writing and shall be deemed to have been given and received (a) when personally delivered, or delivered by same - day courier; or (b) on the third business day after mailing by registered or certified mail, postage prepaid, return receipt requested; or (c) upon delivery when sent by prepaid overnight express delivery service (e.g., FedEx, UPS); or (d) when sent by email and upon the receipt by the sending party of writ ten confirmation by the receiving party. Notices shall be addressed as follows:
To Licensor: Southern California Edison Company
Vegetation & Land Management
Land Management – Eastern Region
2 Innovation Way
Pomona, CA 91768
Email: [email protected]
To Licensee: City Of Rancho Cucamonga
10500 Civic Center Drive
Rancho Cucumonga, CA 91730
Email: [email protected]
Business Telephone No. (909) 774-4037
Notice will be deemed effective on the third calendar day after mailing. A party will immediately notify the other party in writing of any address change.
39. Recording: Licensee will not record this Agreement.
40. Complete Agreement: Licensor and Licensee acknowledge that the foregoing provisions and any appendix, addenda and exhibits attached hereto constitute the entire Agreement between the parties. Any appendices, addenda and exhibits attached hereto are incorporated herein and made an integral part hereof . This Agreement may not be modified, amended, contradic ted, supplemented or altered in any way by any previous written or oral agreements or any subsequent oral agreements or unsigned written agreements. This Agreement may be modified or amended only by way of a writing executed by both parties. In case any pr ovision in this Agreement shall be deemed invalid, illegal or SCE Doc. 310305 and 321102 Att. Contract No. 9.8383
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unenforceable, the validity, legality and enforceability of the remaining provisions shall not in any way be affected or impaired thereby and such provision shall be ineffective only to the exte nt of such invalidity, illegality or unenforceability.
41. Signature Authority : Each of the persons executing this Agreement warrants and represents that he or she has the full and complete authority to enter into this Agreement on behalf of the Party for which he or she is signing, and to bind said party to the agreements, covenants and terms contained herein.
42. Survival: Any provision of this Agreement that imposes an obligation after termination or expiration of this Agreement shall survive the termination or expiration of this Agreement.
IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed in duplicate .
LICENSOR:
SOUTHERN CALIFORNIA EDISON COMPANY
By___________________________________________
SHARAT MISRA
Real Estate Senior Specialist
Land Management – Eastern Region
Vegetation & Land Managment
_____________________
Date
LICENSEE:
ATTEST: CITY OF RANCHO CUCAMONGA
_______________________________________
Janice C. Reynolds, City Clerk
By ___________________________________________
L. DENNIS MICHAEL, Its Mayor
______________________
Date
Richards, Watson & Gershon,
A Professional Corporation
By:______________________________
Nicholas Ghirelli,
City Attorney
SCE Doc. 310305 and 321102 Att. Contract No. 9.8383
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APPENDIX
Guidelines for Standard Licensee Improvements
The following criteria are provided to aid in developing a conceptual plot plan to be submitted to Southern California Edison Company herein after referred to as “Licensor” for consideration and approval prior to the start of any construction on “Licensor” property.
Plans should be developed indicating the size and location of all planned improvements. The plan should specify the dimensions of all planned improvements and the distance of all planned improvements from property lines and all adjacent “Licensor” towers, poles, guy wires or other “Licensor” facilities.
The plan must show the locations of al l “Licensor” towers and poles, 16-foot-wide access roads, main water lines and water shut-off valves, electrical service lines and parking areas. All plans must indicate adjacent streets and include a “north arrow” and the Licensee’s name.
SHADE STRUCTURES
(Definition: A non-flammable frame covered on the top with a material designed to provide shade to aid in growing plants)
1. Shade structures must maintain minimum spacing of 50 feet between shade structure locations, should be placed perpendicular to Licensor’s overhead electrical conductors (wires) unless otherwise approved in writing by Licensor, and should not exceed maximum dimensions of:
a. 100 feet in length
b. 50 feet in width
c. 15 feet in height
2. Shade structures will not be permitted within the following areas reserved for Licensor’s access:
a. Within 2 feet from edge of 16-foot wide access roads b. 50-foot radius around suspension tower legs, H-Frames, and poles c. 100-foot radius around dead-end tower legs, H-Frames, and poles d. 25-foot radius around anchors/guy wires, poles, and wood poles
3. Shade structures must utilize the following design:
a. Temporary/slip joint construction only
b. Non-flammable frame only
c. Adequately grounded in accordance with plans approved and stamped by a California electrical engineer
d. Shade covering must be non-flammable and manufactured with non-hydrocarbon materials.
SCE Doc. 310305 and 321102 Att. Contract No. 9.8383
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SHADEHOUSES/HOTHOUSES
(Definition: A simple, non -flammable, enclosed structure designed to control temperature without the benefit of heating and/or air conditioning units to aid in propagating and/or growing plants)
1. Shadehouses/hothouses must maintain minimum spacing of 50 feet between shadehouse/hothouse locations, should be placed in perpendicular to Licensor’s overhead electrical conductors (wires) unless otherwise approved in writing by Licensor, and should not exceed maximum dimensions of:
a. 100 feet in length
b. 50 feet in width
c. 15 feet in height
2. Shadehouses/hothouses will not be permitted within the foll owing areas reserved for Licensor’s access:
a. Within 2 feet from edge of 16-foot-wide access roads b. 50-foot radius around suspension tower legs, H-Frames, and poles c. 100-foot radius around dead-end tower legs, H-Frames, and poles d. 25-foot radius around anchors/guy wires, poles, and wood poles
3. Shadehouses/hothouses must utilize the following design:
a. Temporary/slip joint construction only
b. Non-flammable frame only
c. Adequately grounded in accordance with plans approved and stamped by a California electrical engineer
d. Covering must be non-flammable and manufactured with non-hydrocarbon materials
GREENHOUSES
(Definition: An enclosed structure designed to control temperature and/or humidity by the u se of heating and/or air conditioning units to aid in propagating and/or growing plants) Greenhouses will be considered on a case-by-case basis.
IRRIGATION SYSTEMS / WELLS
1. Maximum diameter of pipe: 3 inches
2. All pipes must be plastic Schedule 40 or better
3. No irrigation system will be permitted within the following areas reserved for Licensor’s access:
a. Within 2 feet from edge of 16-foot-wide access roads b. 50 -foot radius around suspension tower legs, H-Frames, and poles SCE Doc. 310305 and 321102 Att. Contract No. 9.8383
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c. 100-foot radius around dead-end tower legs, H-Frames, and poles
4. Sprinkler and drip irrigation controllers must be located at the edge of the right of way
5. Suitable identification markers will be required on main controllers and valves
6. Locations of main shut off valve will be provided and shown on a plot plan
7. Underground facilities must have a minimum cover of three feet
8. Earth disturbed must be compacted to ninety percent (90%)
LANDSCAPING
1. No trees will be permit ted under the overhead electrical conductors or within 20 feet of the area directly located under the outer circumference of the overhead conductors, which is commonly known as the “drip line.”
2. Trees must have slow to moderate growth, and must be of a variety that grows to a maximum height of only 40 feet and must be maintained by the Licensee at a height not to exceed 15 feet
3. Placement of large rocks (boulders) must be approved in writing by Licensor
4. Any mounds or change of grade must be approved in writing by Licensor
5. No cactus or thorny shrubs will be permitted
6. Retaining walls, planters, etc. may be considered on a case-by-case basis and must be approved in writing by Licensor
TRAILERS (Definition: Removable / portable office modules are not permitted without Licensor’s prior permission. Trailers must meet the following criteria to be considered: Trailers must meet the following criteria:
a. Must have axles and wheel and be able to be moved
b. Maximum length: 40 feet
c. Maximum height: 15 feet
d. Maximum width: 12 feet
2. No trailers will be permitted within the following areas reserved for Licensor’s access:
a. Within 2 feet from edge of 16-foot-wide access roads b. 50-foot radius around suspension tower legs, H-Frames, and poles c. 100-foot radius around dead-end tower legs, H-Frames, and poles d. 25-foot radius around anchors/guy wires, poles, and wood poles e. Under or within 10 feet of the conductor “drip lines” SCE Doc. 310305 and 321102 Att. Contract No. 9.8383
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3. Sewer or gas lines to trailers must be approved in writing by Licensor
4. Location of all electrical and telephone lines must be approved in writing by Licensor
5. Electrical lines must be installed by a licensed -general contractor.
6. Trailers shall not be used for residential purposes
7. Toxic or flammable materials will not be permitted in trailers
8. Adequately grounded in accordance with plans approved and stamped by a California electrical engineer
PARKING AREAS
Parking areas should not be designed under the overhead electrical conductors or within 10 feet of the “drip lines” without Licensor’s prior written approval. Parking spaces to be identified under the approved site plan. “No Parking” striping may be required in areas where additional clearance is required.
MATERIAL STORAGE
1. If an emergency occurs, Licensee must immediately relocate all materials specified by Licensor to provide Licensor clear access to its facilities.
2. Licensee must provide Licensor with a list of material stored on the right of way
3. No toxic or flammable materials will be permitted
4. No materials shall be stored within the following areas reserved for Licensor’s access:
a. Within 2 feet from edge of 16-foot-wide access roads b. 50 - foot radius around suspension tower legs, H-Frames, and poles c. 100 - foot radius around dead-end tower legs, H-Frames, and poles d. 25 feet from anchors/guy wires, poles and wood poles
5. Storage of materials not to exceed a maximum height of 15 feet
6. No storage of gasoline, diesel or any other type of fuel will be permitted
7. Any fencing around the storage areas must have Licensor’s prior written approval.
SCE Doc. 310305 and 321102 Att. Contract No. 9.8383
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A D D E N D U M
NON-MOTORIZED BIKING & HIKING TRAILS
A. At any time, Licensor may require the removal, modification, or relocation of any portion of the non-motorized biking and hiking trails. Licensee will remov e, modify, or relocate same, at its expense, to a location satisfactory to Licensor within sixty (60) days after receiving notice to remove, modify, or relocate from Licensor.
B. At Licensee’s expense, Licensee will post signs at all access points to the Property that read: “Non motorized Biking and Hiking Only. No Other Use Permitted.” C. At Licensee’s expense, Licensee will post signs at all access points to the Property that read: “No Kite Flying, Model Airplanes, unmanned aerial vehicles (UAV’s or Dro nes), or Metallic Balloons Permitted, High Voltage Wires Overhead.”
D. At Licensee’s expense, Licensee will post signs at all access points of the Property that read:
“Dogs are required to be on leash at all times.”
E. Licensee must close the non -motorized biking and hiking trails at any time Licensor deems it necessary for the safety of the general public or for maintenance of Licensor’s facilities. If it is necessary to close the non-motorized biking and hiking trails for more than three days, Licensee will notify the general public of the closure by posting at all access points to the Property.
F. At Licensee’s expense, Licensee will install removable post -type barriers designed to accommodate Licensor’s locks to prevent unauthorized vehicular use or parking on the Property, including but not limited to, motorcycles, off-road vehicles, and “all-terrain” vehicles.
G. Licensee is responsible for all erosion control in connection with the construction, operation, maintenance, and use of the non -motorized biking and hiking trails, including but not limited to, water flowing onto lands of others. Licensee will perform any work deemed necessary by Licensor to correct any damage to the Property of the land of others.
H. Use of the Property is a joint use with Licensor and other tenants of Licensor. Licensor may use the biking and hiking trails for access to its facilities.
DATE:October 18, 2023
TO:Mayor and Members of the City Council
FROM:John R. Gillison, City Manager
INITIATED BY: Jason C. Welday, Director of Engineering Services/City Engineer Fred Lyn, Deputy Director of Engineering Services - Utilities SUBJECT: Consideration of a Power Purchase Agreement with Arrow Rancho, LLC to Purchase the Renewable Energy and Capacity from the Proposed Solar Photovoltaic Project, Located at 11770 Arrow Route, Rancho Cucamonga, California for a Total of 57.4 Kilowatts and Authorizing the City Manager or his Designee to Sign the Power Purchase Agreement and Any Related Documents. (CITY)
RECOMMENDATION:
Staff recommends the City Council approve a Power Purchase Agreement with Arrow Rancho, LLC to purchase the renewable energy and capacity from the proposed Solar Photovoltaic Project, located at 11770 Arrow Route, Rancho Cucamonga, California for a total of 57.4 kilowatts and authorize the City Manager or his designee to sign the Power Purchase Agreement and any related documents.
BACKGROUND:
On July 7, 2021, the City Council approved Ordinance No. 982 – Section 17, which made amendments to Chapter 17.76 (Alternative Energy Systems and Facilities) of Article IV (Site Development Provisions) of Title 17 (Development Code) of the Rancho Cucamonga Municipal Code. Ordinance 982 – Section 17 requires that in the Neo-Industrial (NI) and Industrial Employment (IE) Zoning Districts that an on-site renewable energy system be built to generate an amount of electricity sufficient to meet the following criteria: (a.) annualized building demand based on the approved use; and (b.) annualized demand required to charge fully electric vehicles and trucks, assuming that all vehicles and trucks to the site are fully electric; and (c.) a reasonable rate of efficiency loss over 10 years. The final percentage of required roof area coverage shall be confirmed by the City Engineer. The onsite renewable energy system shall be metered separately from the metered power usage demand of the project’s building.
The Rancho Cucamonga Municipal Utility (RCMU), as a publicly owned electric utility is mandated to own and/or procure eligible renewable energy for compliance with the State’s Renewable Portfolio Standard (RPS), where 50 percent of its energy portfolio must be procured from eligible renewable energy resources by 2030 and 100 percent of its electricity would need to come from eligible renewable resources by 2045.
ANALYSIS:
In November 2022, RCMU began having preliminary discussions with Arrow Rancho, LLC to discuss logistics of their project, estimated annualized building demand load with the goal of
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finalizing and executing a Power Purchase Agreement (PPA). Negotiations continued for 11 months and has concluded with a PPA with the following terms, conditions, and pricing:
•The proposed PPA will be a Solar Photovoltaic (PV) Project rated at 57.4 kilowatts (kW) rooftop generating facility.
•It is on an industrial building located at 11770 Arrow Route in the City of Rancho Cucamonga.
•The contract term is 15 years.
•Pricing for energy is fixed at $0.07 per kilowatt hour (kWh) over the life of the contract. •Expected commercial operation begins on 10-30-2023.
Some of the benefits associated with the Arrow Rancho Solar PV Project include:
Renewable Resource/Proximity to Load:
•The Project is located in Rancho Cucamonga and in RCMU's service area. It will interconnect directly to the RCMU’s distribution circuit and will qualify for the California Energy Commission’s (CEC’s) Portfolio Content Category 1 under the State's RPS requirements.
•The renewable generation at the local level removes transmission loss typically experienced in larger out of proximity solar projects, allowing RCMU to capture and use more of the generation.
•The solar PV generation locally will help offset the forecasted increase in electrical use in the building, which will help meet the City’s greenhouse gas emission reduction targets. •It provides a renewable source dedicated to RCMU, which increases the utility’s resiliency and ability to meet State mandates for renewable energy.
Portfolio Fit and Viability:
•Solar PV typically produces energy during the hours when RCMU's peak loads are occurring, so production aligns well with RCMU's load demand. •Solar PV is a proven renewable technology, with minimal development risk operating worldwide for many years.
Cost:
•The contract price is $0.07 per kWh fixed each year of the 15-year contract term after the commercial operation date. The contract price is on par with small solar PV projects of this size.
RCMU will pay only for the energy that is delivered at the fixed price and no inflator is included in this contract. Since this is a PPA, RCMU will not have ownership in the Project and will not incur any capital expenditures.
Some of the risks associated with the Arrow Rancho Solar PV Project include:
•The energy output can be variable due to the intermittency of solar PV, cloud cover and other weather conditions.
•Like all other long-term commitments, the proposed agreement carries financial and compliance risks. The risks are primarily related to the possibility that: (1) future alternative renewable resources may have a lower price and/or (2) the Arrow Rancho Solar PV Project does not produce the output as expected.
•The Solar Project term is for 15 years. The City Council adopted an Energy Risk Management Policy on April 18, 2012, indicating a maximum term of any supply resource
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transaction (purchase or sale) should be 10 years, unless specifically approved by the City Council. The longer term will meet RCMU’s long-term portfolio planning objectives but provides some risk due to a longer-term fixed rate that will not decrease if renewable energy prices drop during the term for RCMU’s renewable energy needs. This risk is balanced though by the fixing of the rate to avoid increased energy pricing over the term of the PPA.
The Arrow Rancho Solar PV Project agreement is for energy, capacity and all environmental attributes. The annual contract quantity for RCMU is estimated to be approximately 102,000 kWh or 102-megawatt hour (MWh) of energy in the project's first year of operation. For Compliance Period 4, the State mandated goal is 40% renewables by the end of calendar year 2024. RCMU is currently at 37% and anticipates adding additional renewables over the next 15 months with some projects that are in the works, but most likely through a short-term contract. This PPA is expected to provide an additional 0.1% of RCMU's annual renewable energy requirements in 2024.
RCMU staff and RCMU’s outside legal counsel have reviewed and approved the attached PPA between the City and Arrow Rancho, LLC and indicated no objections to the proposed agreement.
RCMU strives to procure adequate and eligible supplies of renewable energy resources to meet the procurement targets and portfolio content categories as set forth in the City’s RPS Procurement Plan through a diverse portfolio. Consistent with the Plan, approval of the Arrow Rancho Solar Project will help RCMU achieve regulatory compliance as well as meet RPS goals in a cost-effective manner. RCMU will continue to look at different business models and renewable PPA rate structures for future solar PV projects in order to maintain equity for all customers.
FISCAL IMPACT:
The approval of the Arrow Rancho Solar PV Project’s Power Purchase Agreement with Arrow Rancho, LLC would result in RCMU paying $0.07/kWh in solar renewable energy or approximately $7,140/year.
COUNCIL MISSION / VISION / VALUE(S) ADDRESSED:
The approval of the Power Purchase Agreement will enhance the City’s position as the premier community in our region by expanding the use of renewable energy resources within RCMU’s service area.
ATTACHMENTS:
Attachment 1 - Power Purchase Agreement
1 ATTACHMENT 1
AGREEMENT FOR SOLAR OR WIND TURBINE ELECTRIC GENERATING FACILITIES This power purchase agreement (“PPA” or “Agreement”) is made and entered into as of October 18, 2023 (the “Effective Date”) by and between Arrow Rancho, LLC, a Delaware limited liability company (“Seller” or “Arrow Rancho”), whose service address is 11770 Arrow Route, Rancho Cucamonga, CA 91750 and the City of Rancho Cucamonga, a municipal corporation acting by and through its Rancho Cucamonga Municipal Utility (“Purchaser” or “RCMU”), sometimes also referred to herein jointly as “Parties” or individually as “Party.”
1. PURPOSE
This Agreement governs Purchaser’s purchase of all electricity generated by the photovoltaic system (the “Generating Facility” or “PV System” or “PV Project”) delivered to the Point of Delivery and all Green Attributes generated by, associated with or attributable to the Generating Facility throughout the Delivery Term which together constitute the “Product” being sold and purchased under this Agreement.
1.1 For the purposes of this Agreement, the “Point of Delivery” means the physical location where the Generating Facility connects to the RCMU electric grid, at which point custody and control of electricity is transferred from Arrow Rancho to RCMU.
1.2 For the purposes of this Agreement, “Green Attributes” mean any and all credits (other than those related to federal or state tax credits), benefits, emissions reductions, offsets, and allowances, howsoever entitled, attributable to the generation from the PV Project, and its avoided emission of pollutants. Green Attributes include but are not limited to Renewable Energy Credits, as well as:
(1) any avoided emission of pollutants to the air, soil or water such as sulfur oxides (SOx), nitrogen oxides (NOx), carbon monoxide (CO) and other pollutants; (2) any avoided emissions of carbon dioxide (CO2), methane (CH4), nitrous oxide, hydrofluorocarbons, perfluorocarbons, sulfur hexafluoride and other greenhouse gases (GHGs) that have been determined by the United Nations Intergovernmental Panel on Climate Change, or otherwise by law, to contribute to the actual or potential threat of altering the Earth’s climate by trapping heat in the atmosphere ; (3) the reporting rights to these avoided emissions, such as Green Tag Reporting Rights. Green Tag Reporting Rights are the right of a Green Tag Purchaser to report the ownership of accumulated Green Tags in compliance with federal or state law, if applicable, and to a federal or state agency or any other party at the Green Tag Purchaser’s discretion, and include without limitation those Green Tag Reporting Rights accruing under Section 1605(b) of The Energy Policy Act of 1992 and any present or future federal, state, or local law, regulation or bill, and international or foreign emissions trading program.
Green Tags are accumulated on a MWh basis and one Green Tag represents the Green Attributes associated with one (1) MWh of Energy. For avoidance of all doubt, Green Attributes do NOT include (i) any energy, capacity, reliability or other power attributes from the Project, (ii) any value related to any federal or state investment tax credit, depreciation, any Treasury grant in lieu of investment tax credit, any new markets tax credits, production tax credits associated with the construction or operation of the Project and any and all other federal or state financial incentives in the form of credits, reductions, or allowances or in any other form associated with the PV System, (iii) fuel-related subsidies or “tipping fees” that may be paid to Seller to accept certain fuels, or local
2 subsidies received by the generator for the destruction of particular preexisting pollutants or the promotion of local environmental benefits, or (iv) emission reduction credits encumbered or used by the PV Project for compliance with local, state, or federal operating and/or air quality permits, including any fuel pathway-based credits available from the California Air Resources Board, or incentives available under the Warehouse Actions and Investments to Reduce Emissions Program of the South Coast AQMD.
1.3 For the purposes of this Agreement, “Renewable Energy Credit” has the meaning set forth in Public Utilities Code Section 399.12(h), as may be amended from time to time or as further defined or supplemented by Law; “Law” means any statute, law, treaty, rule, regulation, ordinance, code, permit, enactment, injunction, order, writ, decision, authorization, judgment, decree or other legal or regulatory determination or restriction by a court or Governmental Authority of competent jurisdiction, including any of the foregoing that are enacted, amended, or issued after the Effective Date, and which becomes effective during the Delivery Term; or any binding interpretation of the foregoing; and “Governmental Authority” means any federal, state, local or municipal government, governmental department, commission, board, bureau, agency, or instrumentality, or any judicial, regulatory or administrative body, having jurisdiction as to the matter in question.
2. DESCRIPTION OF SELLER'S SOLAR ELECTRIC GENERATING FACILITY
2.1 Seller elects to interconnect and operate in parallel with RCMU’s electric grid a generating facility located on Seller’s owned, leased or rented premises within RCMU’s service area (Generating Facility).
Seller represents that the Generating Facility is intended for the sale of the renewable energy produced by the Facility. The Generating Facility is a:
2.1.1 X Solar electrical generating facility
Wind turbine electrical generating facility
Hybrid solar/wind turbine electrical generating facility
2.1.1a Seller:
Arrow Rancho, LLC, a Delaware limited liability company.
2.1.2 Photovoltaic/Solar (PV) Array with an estimated Nameplate Rating of
57.456 kW (AC)
2.1.3 Contractor intended to install the Photovoltaic/Solar (PV) Array: Panelized Structures, Inc. (DBA: Panelized Solar) holding Contractor License 652369. Panelized Solar Representative: Tim Pfisterer, Email: [email protected], Phone: (209) 649-9889.
2.1.4 Generating Facility Location:
(Address) 11770 Arrow Route, Rancho Cucamonga, CA 91750.
2.1.5 Generating Facility is estimated to be ready for operation and interconnection on or about September 30, 2023.
:
2.2 Seller represents that the Generating Facility shall be as shown on Exhibit “A” (Generating Facility Plan), attached hereto and incorporated herein by this reference. 3 3. RATES AND BILLING
3.1 During the Delivery Term, Seller shall sell and deliver, or cause to be delivered, and Purchaser shall purchase and accept, all Product produced by or associated with the Generating Facility that is delivered to the Delivery Point. The Parties acknowledge that (i) the amount of Product generated by the Generating Facility will vary from time to time, (ii) Seller is not providing any warranty or guarantee of any particular amount of Product, (iii) Purchaser is solely responsible, at its cost and expense, for meeting any and all of its electricity needs in excess of the amounts produced by the Generating Facility and (iv) Seller is not a utility or an electric provider, and does not assume any obligations of a utility or electric provider.
3.2 Title to, risk of loss, and custody and control of, the Product shall pass from Seller to Purchaser at the Delivery Point. Seller may in its sole discretion install a meter capable of registering the flow of electricity in two directions at the Point of Delivery to measure the output of the Generating Facility at the Point of Delivery. Purchaser shall bear the costs associated with the restoration of the delivery of Product to the extent that an interruption of such supply of Product is caused by the actions or inactions of Purchaser.
3.3 Purchaser shall pay Seller for all Product generated by the Generating Facility and delivered to the Delivery Point at the applicable rate per kilowatt hour of electricity as set forth in the “PPA Rates” which is attached to and incorporated into this Agreement as Exhibit B. The PPA Rates shall become effective with respect to the Generating Facility on the date upon which the Generating Facility is interconnected with the RCMU electric grid (the “Commercial Operation Date”) for the Generating Facility at the “Year 1” rate shown in Exhibit B and shall adjust annually thereafter in accordance with Exhibit B on each anniversary of such date.
4. PAYMENT SCHEDULE
4.1 For Purchaser Payment for Product delivered to the Delivery Point:
4.1.1 Purchaser shall pay for all Product generated by the Generating Facility and delivered to the Delivery Point. The amount of Product delivered to the Delivery Point shall be determined by the meter specified in Section 7.1 or Check Meter, as applicable. For the purpose of calculating monthly payments under this Agreement, the amount recorded by the meter specified in Section 7.1 or Check Meter, as applicable, will be multiplied by the Contract Price noted in Exhibit B.
4.1.2 Each calendar month, RCMU shall measure the amount of Product delivered to the Delivery Point by reading the meter specified in Section 7.1 or Check Meter, as applicable. Within ten (10) business days of the end of each calendar quarter, RCMU shall deliver to Seller via email to the email addresses set forth pursuant to Section 14 (Notices) of this Agreement a Payment Advicesetting forth the quantity of electricity produced by the Generating Facility in the previous 3 (three) months calendar quarter, the applicable PPA Rate for such electricity, and the total US dollar amount due, which shall be the product of the quantity of electricity multiplied by the applicable PPA Rate (the “Quarterly Invoice”).
4.1.3 Within thirty (30) days of the end of each calendar quarter, RCMU shall deliver to Seller payment in the amount set forth in the applicable Quarterly Invoice (“Payment Due Date”). Payments shall be made by electronic funds transfer to an account designated by Seller or by paper check, in all cases to be delivered to Seller no later than the Payment Due Date. Any amounts not paid when due, including any amounts properly disputed and later determined to be owed, shall accrue interest on the unpaid amount at the rate of 1% per month, compounded monthly. 4 4.1.4 In the event an invoice or portion thereof or any other claim or adjustment arising hereunder, is disputed, payment of the undisputed portion of the invoice shall be required to be made when due, with Notice of the objection given to the other Party. Any invoice dispute or invoice adjustment shall be in writing and shall state the basis for the dispute or adjustment. Payment of the disputed amount shall not be required until the dispute is resolved. The Parties agree to use good faith efforts to resolve the dispute or identify the adjustment as soon as possible. Any disputes which the Parties are unable to resolve through negotiation may be submitted for resolution. Upon resolution of the dispute or calculation of the adjustment, any required payment shall be made within thirty (30) days of such resolution.
4.1.5 All interest paid or payable under this Agreement shall be -computed as simple interest using the Interest Rate and, unless specified otherwise in this Agreement, shall be paid concurrently with the payment or refund of the underlying amount on which such interest is payable.
4.2 Renewable Energy and Other Environmental Credits
4.2.1Seller hereby convey to RCMU all rights to and ownership of the “renewable energy credits” (RECs) as defined in Section 399.12 of the California Public Utilities Code, any credits/certificates for avoided greenhouse gas emissions, and any other similar attributes, rights, products or related credits and certificates (collectively, Environmental Attributes) associated with electricity produced by the Generating Facility for as long as the Generating Facility is interconnected to the RCMU electric distribution grid provided that RCMU accepts and pays Seller for the electricity generated by the Generating Facility and delivered to the Delivery Point at the applicable PPA Rate. RCMU may, at its sole discretion, use RECs conveyed to it under this Agreement for purposes of meeting its renewable portfolio standard (RPS) requirements under Section 399.11, et. seq. of the California Public Utilities Code or any other applicable RPS law or regulation, and RCMU may use such RECs and any other Environmental Attributes conveyed to it under this Agreement for compliance with legal or regulatory requirements and any other purpose consistent with the law. Such action may include without limitation.
4.2.2 Seller shall cooperate with RCMU to allow RCMU to cause and allow RCMU, or RCMU’s agent, to be the “Qualified Reporting Entity” and “Account Holder” (as such terms are defined by the Western Renewable Energy Generation Information System (WREGIS) for the Generating Facility within thirty (30) days after the Generating Facility commences operation. In the event that RCMU is not the Qualified Reporting Entity, Seller shall, cooperate with RCMU to allow RCMU to take all actions necessary and provide any documentation requested by RCMU in support of WREGIS account administration and compliance with the California Renewables Portfolio Standard.
4.2.3 Seller shall cooperate with RCMU to allow RCMU to take all actions necessary to achieve and maintain status as an Eligible Renewable Energy Resource (“ERR”) throughout the term of this Agreement.
Within thirty (30) days after the Generating Facility commences operations, Seller shall cooperate with RCMU to allow RCMU to file an application or other appropriate request with the California Energy Commission (“CEC”) for CEC certification for the Generating Facility. Seller shall cooperate with RCMU to allow RCMU to expeditiously seek CEC certification, including promptly responding to any requests for information from the requesting authority.
5. NO CURTAILMENT
5.1 During the Delivery Term, Seller shall sell and deliver, or cause to be delivered, and Purchaser shall purchase and accept, all Product produced by or associated with the Generating Facility that is delivered to the Delivery Point except in cases in which RCMU is forced to shut down the RCMU electric grid due to 5 emergency, forced outage, force majeure, or compliance with prudent electrical practices.
6. INTERCONNECTION AND DESIGN REQUIREMENTS
6.1 Seller shall deliver the available energy to RCMU at the Required Meter (as defined in Subsection
7.1 below) located at the Point of Delivery.
6.2 Seller shall not commence parallel operation of the Generating Facility until Seller receives written approval from RCMU’s Authorized Representative. RCMU’s Authorized Representative shall provide such written approval, which shall not be unreasonably withheld, within ten (10) working days from RCMU’s receipt of a copy of the final inspection or approval of the Generating Facility that has been issued by the governmental authority having jurisdiction to inspect and approve the installation.
6.3 RCMU shall have the right to have its representatives present at the final inspection made by the governmental authority having jurisdiction to inspect and approve the installation of the Generating Facility.
Seller shall notify RCMU in accordance with the terms of Section 14 at least five days prior to such inspection.
6.4 Seller shall be solely responsible for the design, installation, operation, and maintenance of the Generating Facility.
6.5 Seller shall conform to all applicable solar or wind electrical generating system safety and performance standards established by the National Electrical Code (“NEC”), the Institute of Electrical and Electronics Engineers (“IEEE”), and accredited, nationally recognized testing laboratories such as Underwriters Laboratories (“UL”), applicable building codes, prudent electrical practices.
6.6 Seller shall install a visible disconnect switch for the Generating Facility as shown on Exhibit “A”.
The disconnect switch shall be lockable in the open position and accessible to RCMU employees pursuant to the terms and conditions set forth in Section 9 herein.
6.7 Seller shall not add generation capacity in excess of the rating set forth in Section 2.4 of this Agreement, or otherwise modify the Generating Facility without the prior written consent of RCMU.
6.8 Seller will provide RCMU at least thirty (30) days written notice prior to removing or decommissioning the Generating Facility.
6.9 Seller will, within thirty (30) days of selling the Property and/or assigning this Agreement to another person pursuant to a written assignment and assumption agreement: (a) provide written notice to RCMU, (b) terminate this Agreement pursuant to the notice and other requirements in Section 15 or assign this Agreement to another person pursuant to a written assignment and assumption agreement, and (c) either disconnect the Generating Facility in accordance with applicable RCMU rules, or provide evidence to RCMU’s reasonable satisfaction that a new RCMU customer has assumed legal responsibility and liability for the interconnection and operation of the Generating Project as of the date upon which this Agreement terminates.
6.10 In the event the Seller vacates the property Seller shall, at its sole discretion, either (i) assign this Agreement to the new owner of the property pursuant to a written assignment and assumption agreement or (ii) terminate the Agreement and disconnect the Generating Facility from RCMU’s system. Such responsibility and liability will attach until either: (a) the Generating Facility is disconnected in accordance from RCMU’s system, or (b) the Seller assigns this Agreement to the new owner of the property pursuant 6 to a written assignment and assumption agreement.
7. REQUIRED METER
7.1 Seller may in its sole discretion install a meter capable of registering the flow of electricity in two directions at the Point of Delivery to measure the output of the Generating Facility at the Point of Delivery.
RCMU shall own, operate and maintain on Seller’s premises a single meter capable of registering the flow of electricity in two directions (“Required Meter”). Title to, risk of loss, and custody and control of, the Product shall pass from Seller to Purchaser at the Delivery Point.
7.2 N/A.
7.3 An additional meter or meters to monitor the flow of electricity in each direction may be installed with the consent of Seller, at the expense of RCMU, and the additional metering shall be used only to provide the information necessary to accurately bill or credit Seller pursuant to Section 4, or to collect solar electric generating system performance information for research purposes.
8. MAINTENANCE AND PERMITS
Seller shall (a) maintain the Generating Facility and interconnection facilities in a safe and prudent manner and in conformance with all applicable laws and regulations and this Agreement, and (b) obtain any governmental authorizations and permits required for the construction and operation of the Generating Facility and interconnection facilities.
9. ACCESS TO PREMISES
RCMU may enter Seller's premises upon 48 hours’ prior notice pursuant to Section 14 (Notices) (a) to at reasonable hours, read the meters, and (b) in the case of a bona fide emergency to disconnect, without notice, the interconnection facilities if, in the opinion of a reasonable local electric utility, a hazardous condition exists and such immediate action is necessary to protect persons, RCMU’s facilities, or property of others from damage or interference caused by Seller’s Generating Facility or lack of properly operating protective devices, provided that RCMU is liable to Seller for any damage RCMU or agents or subcontractors of RCMU causes to Seller’s premises or to the Generating Facility and shall reimburse Seller for the cost to repair such damage within 15 days of receipt of written documentation of same.
10. INDEMNITY AND LIABILITY
10.1 Except as to a Party’s negligence or willful misconduct, the indemnifying Party (the “Indemnifying Party”) shall defend, indemnify and hold harmless the other Party (the “Indemnified Party”) , its officers, employees, and agents against and from any and all loss, liability, damage, claim, cost, charge, demand, or expense (including without limitation any direct, indirect or consequential loss, liability, damage, claim, cost, charge, demand, expense, or attorneys' fees) for injury or death to any person, and damage to property, including without limitation property of either Party, arising out of or in connection with (a) any act or omission of the Indemnifying Party.
10.2 The provisions of this Section 10 shall not be construed to relieve any insurer of its obligations to pay any insurance claims in accordance with the provisions of any valid insurance policy.
11. INSURANCE
11.1 Insurance Coverage. Seller shall, at its own expense, starting on the Execution Date and until the 7 end of the Term, and for such additional periods as may be specified below, provide and maintain for the Facility in effect the following insurance policies and minimum limits of coverage as specified below, and such additional coverage as may be required by Law, with insurance companies authorized to do business in the state in which the services are to be performed, with an A.M. Best’s Insurance Rating of not less than A-:VII.
(i) Commercial General Liability Coverage (Occurrence Form) with limits of not less than $2,000,000.00 general aggregate, $1,000,000.00 per occurrence; and (ii) casualty insurance for the Property with full replacement cost coverage and subject to customary deductibles.
12. GOVERNING LAW, VENUE
This Agreement shall be interpreted under, governed by, and construed in accordance with the laws of the State of California as if executed and to be performed wholly within the State of California, without regard to conflicts of law rules thereof. Any action at law or equity brought by either Party for the purpose of enforcing a right or rights provided in this Agreement shall be brought only in a court of proper jurisdiction in the County of San Bernardino, State of California, and the Parties hereby waive all other provisions of law providing for a change of venue in such proceedings to any other county.
13. MODIFICATIONS, WAIVER, INTERPRETATION
13.1 No amendment or modification to this Agreement shall be effective unless in a writing duly executed by both Parties. The failure of any Party at any time or times to require performance of any provision hereof shall in no manner affect the right at a later time to enforce the same. No waiver by any Party of the breach of any term or covenant contained in this Agreement, whether by conduct or otherwise, shall be deemed to be construed as a further or continuing waiver of any such breach or a waiver of the breach of any other term or covenant unless such waiver is in writing.
13.2 This Agreement shall supersede any existing agreement with RCMU under which Seller is currently operating the Generating Facility, and any such agreement shall be deemed terminated as of the effective date of this Agreement.
13.3 This Agreement, along with any attachments constitutes the final, complete and exclusive statement of the terms of the agreement between the Parties pertaining to the subject matter of this Agreement, and supersedes all prior and contemporaneous understandings or agreements of the Parties. Neither Party has been induced to enter into this Agreement by, and neither Party is relying on, any representation or warranty outside those expressly set forth in this Agreement.
13.4 Except as expressly modified herein, RCMU’s published Electric Service Rules and Rates as adopted from time to time by RCMU shall continue to be applicable to RCMU’s provision of electrical service to Seller.
13.5 Notwithstanding any statement herein to the contrary, RCMU expressly reserves the right to modify the terms of this agreement to the extent necessary in order to comply with any applicable statute, regulation, order of a court, regulatory agency or governmental authority with jurisdiction over RCMU and/or the subject matter of this Agreement.
14. NOTICES
14.1 Any notice required under this Agreement shall be in writing and transmitted in one of the following 8 ways: (a) mailed at any United States Post Office with postage prepaid and addressed to the Party, (b) delivered via an overnight delivery service addressed to the Party or (c) personally delivered to the Party, at the address below. Changes in such designation may be made by notice similarly given. All written notices shall be directed as follows:
RCMU:
Rancho Cucamonga Municipal Utility
PO Box 4499
Rancho Cucamonga CA 91729-4499
Email: [email protected]
Seller:
Arrow Rancho, LLC
c/o Core 5 Industrial Partners LLC
300 Spectrum Center Drive, Suite 880
Irvine, CA 92618
Email: [email protected]
14.2 In the event of an emergency, Seller shall immediately notify the RCMU main customer service number, (909) 919-2612, or after normal business hours or on holidays the RCMU after-hours number, (909) 919-2612, Press 1 of any emergency situation related to the Generating Facility.
15. TERM AND TERMINATION OF AGREEMENT
15.1 Term. The term of this Agreement shall commence on the Effective Date and shall continue for 15 years (the “Delivery Term”), unless terminated earlier pursuant to the provisions of this Agreement.
15.2 Default. If a Party (the “Defaulting Party”) fails to perform any covenant or obligations hereunder or commits a material breach of this Agreement (each an “Event of Default”), then it shall not be in default hereunder unless it fails to cure such Event of Default within fifteen (30) days after receiving notice from the other Party (the “Non-Defaulting Party”) regarding the failure to perform such covenant or obligation set forth in this Agreement or the material breach, stating with particularity the nature and extent of such Event of Default and specifying the method of cure (a “Notice of Default”); provided, however, that if the nature or extent of the obligation or obligations is such that more than fifteen (15) days are required to complete the cure, despite the exercise of commercially reasonable diligence, then the Defaulting Party shall not be in default if it commences such performance within such fifteen (15) day period and thereafter pursues the same to completion with commercially reasonable diligence.
15.3 Remedies. If the Event of Default is not cured within the cure period provided for in this Agreement, the Non-Defaulting Party shall have and shall be entitled to exercise any and all remedies available to it at law or in equity, including damages, specific performance and/or the right to terminate the Agreement upon thirty (30) days’ written notice to the Defaulting Party without penalty or further liability, all of which remedies shall be cumulative. Except as expressly set forth in this Agreement, neither Party shall be liable to the other Party for any special, punitive, exemplary, indirect, or consequential damages, losses or damages for lost revenue or lost profits, whether foreseeable or not, arising out of, or in connection with this Agreement and in all cases a Party’s total liability under this Agreement shall not exceed $5,000. 9 16. AUTHORIZED REPRESENTATIVE
RCMU’s Authorized Representative is the Deputy Director of Engineering Services - Utilities, or his/her designee. RCMU may change its Authorized Representative by giving Seller notice pursuant to Section 14.
17. ASSIGNMENT
Seller may, without Purchaser’s prior consent, assign any or all of its rights, duties or obligations under this Agreement: (i) to any person or entity who has made or will make a loan to or otherwise provide capital to Seller with respect to the PV System (a “Financing Party”), (ii) to one or more of Seller’s affiliates, (iii) to one or more third parties in connection with a collateral assignment of rights, mortgage, pledge or otherwise, (iv) to any person succeeding to all or substantially all of the stock or assets of Seller or (v) to a successor entity in a merger or acquisition transaction. Purchaser agrees to execute any documentation that Seller may reasonably request in connection with any assignment permitted by this section. An assignment by either Party in accordance with this Section 17 shall relieve the assignor of any obligations on and after the effective date of the assignment.
18. NO DELAY DUE TO RCMU INABILITY TO ACCEPT ELECTRCITY The Parties acknowledge and agree that neither Seller nor Core5 Industrial Partners, LLC are in the business of electricity generation but rather are real estate property companies with expertise in the development of inventory and build-to-suit space, acquisitions, and leasing and management of Class A industrial properties and are only paying to build the PV System and entering into this Agreement at the request of the City of Rancho Cucamonga, a municipal corporation acting by and through its Rancho Cucamonga Municipal Utility. Therefore, the Parties acknowledge and agree that no act or omission by the City of Rancho Cucamonga, a municipal corporation acting by and through its Rancho Cucamonga Municipal Utility related to the PV System or to this Agreement, whether it be due to an inability or delay in its ability to efficiently accept renewable power from the PV System or due to any other reason shall preclude or delay the Seller, Core5 Industrial Partners, LLC, or a tenant or purchaser of the building being constructed on the parcel of real property located at 11770 Arrow Route, Rancho Cucamonga, CA 91730 (the “Property”) from receiving the building final inspections or the certificate of occupancy issued by the City of Rancho Cucamonga. 1 0
19. SIGNATURES
IN WITNESS WHEREOF, the Parties hereto have caused two originals of this Agreement to be executed by their duly authorized representatives on the dates set forth below. This Agreement is effective as of the latter of the two dates set forth below.
Arrow Rancho, LLC RCMU
By:
Name:
Title:
Date:
By:
Name:
Title:
Date:
1 1
Exhibit “A”
GENERATING FACILITY PLAN
1 2
Exhibit “B”
PPA RATES
YEAR PPA RATE
1 $0.07/kWh
2 $0.07/kWh
3 $0.07/kWh
4 $0.07/kWh
5 $0.07/kWh
6 $0.07/kWh
7 $0.07/kWh
8 $0.07/kWh
9 $0.07/kWh
10 $0.07/kWh
11 $0.07/kWh
12 $0.07/kWh
13 $0.07/kWh
14 $0.07/kWh
15 $0.07/kWh
DATE:October 18, 2023
TO:Mayor and Members of the City Council
FROM:John R. Gillison, City Manager
INITIATED BY: Jason C. Welday, Director of Engineering Services/City Engineer SUBJECT: Consideration to Approve the Second Amendment to Memorandum of Understanding with the City of Fontana for Cooperative Planning and Development of the San Sevaine Trail in San Bernardino County (CO17- 029) Increasing the Financial Contribution for Construction of the San Sevaine Trail by $576,000 and Authorization of an Appropriation in the Amount of $576,000 from the Beautification Fund (Fund 110). (CITY) RECOMMENDATION:
Staff recommends the City Council:
1) Approve the Second Amendment to the Memorandum of Understanding with the City of Fontana (Fontana) for Cooperative Planning and Development of the San Sevaine Trail in San Bernardino County (CO17-029);
2) Authorize the City Manager or his designee to sign the agreement and any documents necessary to implement the agreement as amended; and
3) Authorize the appropriation of $576,000 from the Beautification Fund (Fund 110) to account number 11103035650/2112110-0.
BACKGROUND:
In 2015, Fontana applied for and received two grants for the design and construction of Phase 1 of the San Sevaine Trail Project (Project). This first phase is primarily located within the City of Rancho Cucamonga (Rancho Cucamonga) and will construct approximately 1.25 miles of multi- use trail from the Pacific Electric Trail to Banyan Street. The trail will generally follow the maintenance road for the Etiwanda Creek Channel and provide a healthy and scenic recreation alternative for pedestrians and bicyclists. A vicinity map is included as Attachment 1 to this staff report.
Given the multi-jurisdictional nature of the Project, involving Rancho Cucamonga, Fontana, the County of San Bernardino Flood Control District, and Caltrans, there are a number of agreements that set out the roles and responsibilities for each agency as they relate to the design, construction, and ultimate operation of the trail. On February 1, 2017, Rancho Cucamonga entered into a Memorandum of Understanding (MOU) with Fontana entitled “Memorandum of Understanding for Cooperative Planning and Development of the San Sevaine Trail in San Bernardino County” (CO17-029). Under this MOU, Fontana serves as the lead agency for the Project’s design, development, and funding while Rancho Cucamonga provides support services
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such as plan review and inspection as well as operation of the trail upon completion for the portions within Rancho Cucamonga city limits. One amendment to the agreement was previously approved on May 19, 2021. The first amendment incorporated right-of-way activities to be performed by Rancho Cucamonga for the acquisition of one easement that had been determined to be required for the Project. Under the amendment, Fontana will reimburse Rancho Cucamonga for direct legal and right-of-way expenses provided by the City Attorney’s office and other outside firms, while in-house staff time for Rancho Cucamonga will be provided as an in-kind contribution toward the Project.
ANALYSIS:
In late 2022, Fontana staff reached out to share that they had identified a large funding shortfall of approximately $5 million on the Project. This shortfall has been attributed to both the expansion of the scope of work to address accessibility requirements under the Americans with Disabilities Act, increased structural design requirements for retaining walls within Caltrans right-of-way to accommodate the trail, and improvements under the Interstate-15 at Victoria Street overpass.
Further increasing the estimated Project cost has been the significant increases in cost of construction that have plagued many public and private projects over the past three years.
As can be seen from the following table (data provided by Fontana), the Project costs have nearly quadrupled over the past seven years.
Year Estimated Costs Notes
2016 $3.0 million Initial Estimate
2020 $6.6 million Additional Accessibility and Structural Scope Present $11.9 million Construction Cost Inflation
At the time, Fontana had a total of $6.7 million committed in State, Air Quality Management District (AQMD), and local Measure I funds, leaving the $5 million shortfall. If the funding shortfall could not be met, the Project would not be able to proceed to construction and the remaining grant funds for construction would be lost. Further complicating the matter, Fontana and the San Bernardino County Transportation Authority (SBCTA) determined that the Project was included in the Federal Transportation Improvement Plan (FTIP) as a Transportation Control Measure or TCM project. TCM projects that are not constructed and open to the public within the timeframes indicated in the FTIP subject not only the affected city but the region to an air quality non- conformity status and places all non-safety related federal funding for the region at risk of loss.
In order to mitigate the funding shortfalls, Fontana has secured a number of outside funding opportunities and contributed from their local Measure I funds as shown below.
Funding Source Amount
State Recreation Trail Grant Program (2016) $2.5 million State Recreation Trail Grant Program (2020) $3.0 million AQMD MSRC Grant (2016) $0.5 million
Fontana Measure I Funds $0.7 million
Carbon Reduction Program $2.7 million
$9.4 million
Given the proportion of the Project that lies within Rancho Cucamonga and consequences of not completing the Project on-time, staff from both Cities met to discuss opportunities to fill the gap.
As a result of those discussions, staff is recommending that Rancho Cucamonga make a one-
2 0
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time financial contribution to the Project of $576,000. Under the terms of the proposed amendment, Fontana would be responsible for securing funds for the remaining shortfall either through additional grant opportunities or other local funds. Further, should the Project not be completed, there are provisions within the amendment for the refunding of any unused portion of the one-time contribution.
In addition to securing the remaining funding for the Project, Fontana has finalized the bid documents and expects to receive bids on October 5, 2023.
FISCAL IMPACT:
In order to partially cover the funding shortfall identified by Fontana staff, this agreement would establish a one-time contribution from the City in the amount of $576,000 as described in the Analysis section above. Funds for this one-time contribution were not previously included in the approved Fiscal Year 2023/24 Budget. Therefore, an appropriation in the amount of $576,000 from the Beautification Fund (Fund 110) to account number 11103035650/2112110-0 is required to cover the payment.
COUNCIL MISSION / VISION / VALUE(S) ADDRESSED:
This item addresses the City Council’s vision for the City to build upon our success as a world class community, to create an equitable, sustainable, and vibrant city, rich in opportunity for all to thrive by expanding the City’s multi-use trail network as envisioned in the City’s General Plan.
ATTACHMENTS:
Attachment 1 – Vicinity Map
Attachment 2 – Second Amendment to CO17-029
SAN SEVAINE TRAIL PROJECT
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SECOND AMENDMENT TO THE MEMORANDUM OF UNDERSTANDING FOR
COOPERATIVE PLANNING AND DEVELOPMENT OF THE SAN SEVAINE TRAIL IN
SAN BERNARDINO COUNTY
This Second Amendment to the Memorandum of Understanding for Cooperative Planning and Development of the San Sevaine Trail in San Bernardino County (“Second Amendment”), is effective as of October___24____, 2023 (“Effective Date”) and is between the City of Fontana, a municipal corporation organized under the laws of the State of California (“Fontana”), on the one hand, and the City of Rancho Cucamonga, a municipal corporation organized under the laws of the State of California (“Rancho Cucamonga”), on the other hand. Fontana and Rancho Cucamonga may be referred to collectively as “Parties” or individually as “Party”.
RECITALS
A. The Parties entered into that certain Memorandum of Understanding for Cooperative Planning and Development of the San Sevaine Trail in San Bernardino County (“MOU”) dated February 1, 2017, whereby the Parties agreed to work cooperatively to complete Phase 1, Segment 2 of the San Sevaine Trail (“Trail”) from the Pacific Electric Trail to Banyan Street in San Bernardino County, within the Cities of Fontana and Rancho Cucamonga (the “Project”), as more fully set out therein.
B. On May 19, 2021, the Parties executed a First Amendment to the Memorandum of Understanding for Cooperative Planning and Development of the San Sevaine Trail in San Bernardino County (“First Amendment”).
C. Since executing the MOU and First Amendment, California Department of Transportation’s requirements necessitated additional scope which will result in the overall escalation of construction costs.
D. Therefore, the Parties agree to allocate the increased Project costs as follows: Rancho Cucamonga will contribute additional funding of $576,000 towards the construction of the Project. Fontana will contribute the remaining funds for the Project by seeking to secure a grant to supplement the Project budget. Fontana will also request reimbursement for the additional funds up to $576,000 needed to fully fund the construction phase upon execution of the construction contract.
E. The Parties now desire to further amend the MOU to set forth the Parties’ responsibilities in connection with the Project pursuant to this Second Amendment.
NOW, THEREFORE, the Parties agree as follows:
1. Recitals. The above recitals are true and correct and are incorporated herein, in their entirety, by this reference.
City of Rancho Cucamonga
CONTRACT NUMBER
17-029
2. Additions to Section I to MOU. Section I(A) and Section I(B) is amended by adding the following:
I. Roles and Responsibilities of the Parties
A. Fontana
14. Fontana will seek to secure a grant to supplement the increase in the Project budget and will, upon execution of the construction contract, seek reimbursement for the Project costs from available grant sources.
15. Within 5 days of the receipt of bids for the Project, Fontana will provide the City of Rancho Cucamonga with copies of all bids received along with an accounting of the project funding and estimated construction costs based upon the apparent low bid received.
16. Within 30 days of receiving the apparent low bid and invoice, Rancho Cucamonga will submit its payment to Fontana in the amount of $576,000.
17. Fontana will be responsible for all project costs in excess of Rancho Cucamonga’s contribution under Section I(A)(16).
18. Subject to forces outside of its control or an event of force majeure, Fontana will do all that it reasonably can do to complete and accept construction of the subject trail improvements within 24 months of its notice to proceed. Should construction be halted or cancelled and the project not be accepted within 24 months after notice to proceed, Fontana will refund Rancho Cucamonga for its proportionate share of the project funds not used prior to the halt or cancellation.
I. Roles and Responsibilities of the Parties
B. Rancho Cucamonga
10. Within 30 days of receipt of the invoice described in Section I(A)(16), Rancho Cucamonga will make a one-time payment to Fontana in the amount of $576,000, which will cover Rancho Cucamonga’s share of the increased Project construction costs described herein. Following payment of this invoice, the City of Rancho Cucamonga shall have no further obligations for increased Project construction costs.
3. Extension of Term. Pursuant to Section III (“Extension of Term”) of the MOU, the Parties hereby agree to extend the Term of the MOU to extend an additional two years from the date of the full execution of this Second Amendment.
4. Other Terms and Conditions of the MOU. All other terms and conditions of the MOU not amended by this Second Amendment remain in full force and effect.
5. Counterparts. This Second Amendment may be executed in two or more counterparts, each of which shall be deemed an original, but all of which together shall constitute one and the same instrument.
IN WITNESS WHEREOF, the Parties hereto have caused this Second Amendment to be executed by their duly authorized representatives and affixed as of the date of signature of the Parties:
[SIGNATURE PAGE FOLLOWS]
CITY OF FONTANA
By: Date:
Matthew Ballantyne, City Manager
ATTEST:
By: Date:
Germaine Key, City Clerk
APPROVED AS TO FORM:
By: Date:
Ruben Duran, City Attorney
CITY OF RANCHO CUCAMONGA
By: Date:
John R. Gillison, City Manager
ATTEST:
By: Date:
Janice C. Reynolds, City Clerk
APPROVED AS TO FORM:
By: Date:
Nicholas R. Ghirelli, City Attorney
DATE:October 18, 2023
TO:Mayor and Members of the City Council
FROM:John R. Gillison, City Manager
INITIATED BY: Jason C. Welday, Director of Engineering Services/City Engineer Annette Cano-Soza, Assistant Engineer
SUBJECT: Consideration to Order the Annexation to Landscape Maintenance District No. 1 Related to Case No. PMT2021-05470, Located at 8652 Cherry Lane. This Item is Exempt from the California Environmental Quality Act (CEQA) and the City’s CEQA Guidelines under CEQA Section 15303 – New Construction or Conversion of Small Structures. (RESOLUTION NO. 2023-109) (CITY)
RECOMMENDATION:
Staff recommends that the City Council approve the attached resolution ordering the annexation into Landscape Maintenance District No.1 for Case No. PMT2021-05470.
BACKGROUND:
Case No. PMT2021-05470 was submitted to the Building and Safety Services Department on December 2, 2021 for the construction of a 1,226 sqft addition and 406 sqft patio cover to an existing single-family residence located at 8652 Cherry Lane.
ANALYSIS:
The owners, Mary Catherine Rhodes and Michael T. Rhodes, have submitted the Consent and Waiver to Annexation Form for Landscape Maintenance District No. 1. Copies of the form are on file with the City Clerk’s office.
ENVIRONMENTAL ANALYSIS:
The project qualifies as a Class 3 exemption under State CEQA Guidelines Section 15303 – New Construction or Conversion of Small Structures, as the project involves the alterations of existing residential structures.
FISCAL IMPACT:
The proposed annexation would supply additional annual revenue into the landscape maintenance districts in the following amounts:
Landscape Maintenance District No. 1: $92.21
Further, the development will not construct street trees or streetlights that will need to be maintained by the City.
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COUNCIL MISSION / VISION / VALUE(S) ADDRESSED:
This item addresses the City Council’s vision for the City by ensuring the maintenance of high- quality public improvements that promote a world class community.
ATTACHMENTS:
Attachment 1 - Vicinity Map
Attachment 2 - Resolution Ordering Annexation Landscape Maintenance District No.1 ATTACHMENT 1
Vicinity Map
PMT2021-05470
NOT TO SCALE
Resolution No. 2023-XXX – Page 1 of 5
ATTACHMENT 2
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RESOLUTION NO. 2023-XXX
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
RANCHO CUCAMONGA, CALIFORNIA, ORDERING THE
ANNEXATION OF CERTAIN TERRITORY TO LANDSCAPE
MAINTENANCE DISTRICT NO. 1 (GENERAL CITY) FOR
PROJECT CASE NO. PMT2021-05470
WHEREAS, the City Council of the City of Rancho Cucamonga, California, has previously formed a special maintenance district pursuant to the terms of the “Landscape and Lighting Act of 1972”, being Division 15, Part 2 of the Streets and Highways Code of the State of California (the “Act”, said special maintenance district known and designated as Landscape Maintenance District No. 1 (General City) (the “District”); and WHEREAS, the provisions of Article 2 of Chapter 2 of the Act authorize the annexation of additional territory to the District; and
WHEREAS, such provisions also provide that the requirement for the preparation of resolutions, and assessment engineer’s report, notices of public hearing and the right of majority protest may be waived in writing with the written consent of all of the owners of property within the territory to be annexed; and
WHEREAS, notwithstanding that such provisions of the Act related to the annexation of territory to the District, Article XIII D of the Constitution of the State of California (“Article XIII D”) establishes certain procedural requirements for the authorization to levy assessments which apply to the levy of annual assessments for the District on the territory proposed to be annexed to such District; and
WHEREAS, the owners of certain property described in Exhibit A attached hereto, and incorporated herein by this reference, have requested that such property (collectively, the “Territory”) be annexed to the District in order to provide for the levy of annual assessments to finance the maintenance of certain improvements described in Exhibit B hereto (the “Improvements”); and
WHEREAS, all of the owners of the Territory have filed with the City Clerk duly executed forms entitled “Consent And Waiver To Annexation Of Certain Real Property To A Maintenance District And Approval Of The Levy Of Assessments On Such Real Property” (the “Consent and Waiver”); and
WHEREAS, by such Consent and Waiver, all of the owners of the Territory have expressly waived any and all of the procedural requirements as prescribed in the Act to the annexation of the Territory to the District and have expressly consented to the annexation of the Territory to the District; and
WHEREAS, by such Consent and Waiver, all of the owners of the Territory have also expressly waived any and all of the procedural requirements as prescribed in the Act and/or Article XIII D applicable to the authorization to levy the proposed annual assessment against the Territory set forth in Exhibit B attached hereto and incorporated herein by this reference and have declared support for, consent to and approval of the authorization to levy such proposed annual assessment set forth in Exhibit C attached hereto; and Resolution No. 2023-XXX – Page 2 of 5
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WHEREAS, by such Consent and Waiver, all of the owners of the Territory have also expressly agreed for themselves, their heirs, successors and assigns that:
(1) The proportionate special benefit derived by each parcel in the Territory from the District Improvements has been determined in relationship to the entirety of the maintenance and operation expenses of the Improvements; (2) The proposed annual assessment does not exceed the reasonable cost of the proportional special benefit from the Improvements conferred on each parcel in the Territory.
(3) Only the special benefits derived or to be derived by each parcel in the Territory from the Improvements have been included in the proposed annual assessment.
WHEREAS, at this time the City Council desires to order the annexation of the Territory to the District and to authorize the levy of annual assessments against the Territory in amounts not to exceed the amounts set forth in Exhibit C hereto.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF RANCHO CUCAMONGA HEREBY RESOLVES AS FOLLOWS:
SECTION 1: That the above recitals are true and correct.
SECTION 2: The City Council hereby finds and determines that:
a. The annual assessments proposed to be levied on each parcel in the Territory do not exceed the reasonable cost of the proportional special benefit conferred on each such parcel from the
Improvements.
b. The proportional special benefit derived by each parcel in the Territory from the Improvements has been determined in
relationship to the entirety of the cost of the maintenance of the Improvement.
c. Only special benefits will be assessed on the Territory by the levy of the proposed annual assessments.
SECTION 3: This legislative body hereby orders the annexation the Territory to the District, approves the financing of the maintenance of the Improvements from the proceeds of annual assessments to be levied against the Territory and approves and orders the levy of annual assessments against the Territory in amounts not to exceed the amounts set forth in Exhibit C.
SECTION 4: All future proceedings of the District, including the levy of all assessments, shall be applicable to the Territory.
PASSED, APPROVED, AND ADOPTED this 18th day of October 2023.
Resolution No. 2023-XXX – Page 3 of 5
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Exhibit A
Identification of the Owner and Description of the Property to be Annexed The Owner of the Property is:
RHODES, MARY CAHTERINE & RHODES, MICHAEL T.
The legal description of the Property is:
CUCAMONGA HOMESTEAD ASSN ELY 135 FT W 405 FT S ½ E ½ LOT 11 BLK 17 1.03 AC M/L
Assessor’s Parcels Numbers of the Property:
1061-231-06
Resolution No. 2023-XXX – Page 4 of 5
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Exhibit B
Description of the District Improvements
Fiscal Year 2023/24
Landscape Maintenance District No. 1 (General City):
Landscape Maintenance District No. 1 (General City) (the “Maintenance District”) represents various landscaped areas, parks and community trails located at various sites throughout the City. These sites consist of several non-contiguous areas throughout the City. As such, the parcels within this District do not represent a distinct district area as do the other LMD’s within the City. Typically, new parcels within this District have been annexed upon development.
The various sites maintained by the District consist of parkways, median islands, paseos, street trees, entry monuments, community trails and parks. The parks consist of Bear Gulch Park, East and West Beryl Park, Old Town Park, Church Street Park, Golden Oaks Park, Hermosa Park, and the undeveloped Don Tiburcio Tapia Park.
Proposed additions to the Improvements for Project Case No. PMT2021-05470:
NONE.
Resolution No. 2023-XXX – Page 5 of 5
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Exhibit C
Proposed Annual Assessment
Fiscal Year 2023/24
Landscape Maintenance District No.1 (General City):
The rate per Equivalent Benefit Unit (EBU) is $92.21 for the fiscal year 2023/24. The following table summarizes the assessment rate for Landscape Maintenance District No. 1 (General City) for PMT2021-05470:
Land Use Basis
EBU*
Factor
Rate per
EBU*
Single Family Residential Parcel 1.00 $92.21
Multi-Family Residential Unit 0.50 92.21
Non-Residential Acre 2.00 92.21
The proposed annual assessment for the property described in Exhibit A is as follows:
1 Parcel x 1.00 EBU Factor x $92.21 Rate per EBU = $92.21 Annual Assessment DATE:October 18, 2023
TO:Mayor and Members of the City Council
FROM:John R. Gillison, City Manager
INITIATED BY: Jason C. Welday, Director of Engineering Services/City Engineer Annette Cano-Soza, Assistant Engineer
SUBJECT: Consideration to Order the Annexation to Landscape Maintenance District No. 1 Related to Case No. PMT2022-04884 Located at 8544 Bella Vista Street. This Item is Exempt from the California Environmental Quality Act (CEQA) and the City’s CEQA Guidelines under CEQA Section 15303 – New Construction or Conversion of Small Structures. (RESOLUTION NO. 2023-110) (CITY)
RECOMMENDATION:
Staff recommends that the City Council approve the attached resolution ordering the annexation into Landscape Maintenance District No.1 for Case No. PMT2022-04884.
BACKGROUND:
Case No. PMT2022-04884 was submitted to the Building and Safety Services Department on September 19, 2022 for the construction of an 807 sqft addition and 379 sqft balcony to an existing single-family residence located at 8544 Bella Vista Street.
ANALYSIS:
The owners, Costanza Trust 03/28/22, have submitted the Consent and Waiver to Annexation Form for Landscape Maintenance District No. 1. Copies of the form are on file with the City Clerk’s office.
ENVIRONMENTAL ANALYSIS:
The project qualifies as a Class 3 exemption under State CEQA Guidelines Section 15303 – New Construction or Conversion of Small Structures, as the project involves the alterations of existing residential structures.
FISCAL IMPACT:
The proposed annexation would supply additional annual revenue into the landscape maintenance districts in the following amounts:
Landscape Maintenance District No. 1: $92.21
Further, the development will not construct street trees or streetlights that will need to be maintained by the City.
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COUNCIL MISSION / VISION / VALUE(S) ADDRESSED:
This item addresses the City Council’s vision for the City by ensuring the maintenance of high- quality public improvements that promote a world class community.
ATTACHMENTS:
Attachment 1 - Vicinity Map
Attachment 2 - Resolution Ordering Annexation Landscape Maintenance District No.1 ATTACHMENT 1
Vicinity Map
PMT2022-04884
NOT TO SCALE
Resolution No. 2023-XXX – Page 1 of 5
ATTACHMENT 2
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RESOLUTION NO. 2023-XXX
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
RANCHO CUCAMONGA, CALIFORNIA, ORDERING THE
ANNEXATION OF CERTAIN TERRITORY TO LANDSCAPE
MAINTENANCE DISTRICT NO. 1 (GENERAL CITY) FOR
PROJECT CASE NO. PMT2022-04884
WHEREAS, the City Council of the City of Rancho Cucamonga, California, has previously formed a special maintenance district pursuant to the terms of the “Landscape and Lighting Act of 1972”, being Division 15, Part 2 of the Streets and Highways Code of the State of California (the “Act”, said special maintenance district known and designated as Landscape Maintenance District No. 1 (General City) (the “District”); and WHEREAS, the provisions of Article 2 of Chapter 2 of the Act authorize the annexation of additional territory to the District; and
WHEREAS, such provisions also provide that the requirement for the preparation of resolutions, and assessment engineer’s report, notices of public hearing and the right of majority protest may be waived in writing with the written consent of all of the owners of property within the territory to be annexed; and
WHEREAS, notwithstanding that such provisions of the Act related to the annexation of territory to the District, Article XIII D of the Constitution of the State of California (“Article XIII D”) establishes certain procedural requirements for the authorization to levy assessments which apply to the levy of annual assessments for the District on the territory proposed to be annexed to such District; and
WHEREAS, the owners of certain property described in Exhibit A attached hereto, and incorporated herein by this reference, have requested that such property (collectively, the “Territory”) be annexed to the District in order to provide for the levy of annual assessments to finance the maintenance of certain improvements described in Exhibit B hereto (the “Improvements”); and
WHEREAS, all of the owners of the Territory have filed with the City Clerk duly executed forms entitled “Consent And Waiver To Annexation Of Certain Real Property To A Maintenance District And Approval Of The Levy Of Assessments On Such Real Property” (the “Consent and Waiver”); and
WHEREAS, by such Consent and Waiver, all of the owners of the Territory have expressly waived any and all of the procedural requirements as prescribed in the Act to the annexation of the Territory to the District and have expressly consented to the annexation of the Territory to the District; and
WHEREAS, by such Consent and Waiver, all of the owners of the Territory have also expressly waived any and all of the procedural requirements as prescribed in the Act and/or Article XIII D applicable to the authorization to levy the proposed annual assessment against the Territory set forth in Exhibit B attached hereto and incorporated herein by this reference and have declared support for, consent to and approval of the authorization to levy such proposed annual assessment set forth in Exhibit C attached hereto; and Resolution No. 2023-XXX – Page 2 of 5
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WHEREAS, by such Consent and Waiver, all of the owners of the Territory have also expressly agreed for themselves, their heirs, successors and assigns that:
(1) The proportionate special benefit derived by each parcel in the Territory from the District Improvements has been determined in relationship to the entirety of the maintenance and operation expenses of the Improvements; (2) The proposed annual assessment does not exceed the reasonable cost of the proportional special benefit from the Improvements conferred on each parcel in the Territory.
(3) Only the special benefits derived or to be derived by each parcel in the Territory from the Improvements have been included in the proposed annual assessment.
WHEREAS, at this time the City Council desires to order the annexation of the Territory to the District and to authorize the levy of annual assessments against the Territory in amounts not to exceed the amounts set forth in Exhibit C hereto.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF RANCHO CUCAMONGA HEREBY RESOLVES AS FOLLOWS:
SECTION 1: That the above recitals are true and correct.
SECTION 2: The City Council hereby finds and determines that:
a. The annual assessments proposed to be levied on each parcel in the Territory do not exceed the reasonable cost of the proportional special benefit conferred on each such parcel from the
Improvements.
b. The proportional special benefit derived by each parcel in the Territory from the Improvements has been determined in
relationship to the entirety of the cost of the maintenance of the Improvement.
c. Only special benefits will be assessed on the Territory by the levy of the proposed annual assessments.
SECTION 3: This legislative body hereby orders the annexation the Territory to the District, approves the financing of the maintenance of the Improvements from the proceeds of annual assessments to be levied against the Territory and approves and orders the levy of annual assessments against the Territory in amounts not to exceed the amounts set forth in Exhibit C.
SECTION 4: All future proceedings of the District, including the levy of all assessments, shall be applicable to the Territory.
PASSED, APPROVED, AND ADOPTED this 18th day of October 2023.
Resolution No. 2023-XXX – Page 3 of 5
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Exhibit A
Identification of the Owner and Description of the Property to be Annexed The Owner of the Property is:
COSTANZA TRUST 03/28/22
The legal description of the Property is:
CUCAMONGA HOMESTEAD ASSN E 661.5 FT LOT 9 BLK 17 EX E 502.56 FT AND EX S 268.34 FT AND EX ST. 97 AC M/L
Assessor’s Parcels Numbers of the Property:
1061-211-07
Resolution No. 2023-XXX – Page 4 of 5
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Exhibit B
Description of the District Improvements
Fiscal Year 2023/24
Landscape Maintenance District No. 1 (General City):
Landscape Maintenance District No. 1 (General City) (the “Maintenance District”) represents various landscaped areas, parks and community trails located at various sites throughout the City. These sites consist of several non-contiguous areas throughout the City. As such, the parcels within this District do not represent a distinct district area as do the other LMD’s within the City. Typically, new parcels within this District have been annexed upon development.
The various sites maintained by the District consist of parkways, median islands, paseos, street trees, entry monuments, community trails and parks. The parks consist of Bear Gulch Park, East and West Beryl Park, Old Town Park, Church Street Park, Golden Oaks Park, Hermosa Park, and the undeveloped Don Tiburcio Tapia Park.
Proposed additions to the Improvements for Project Case No. PMT2022-04884:
NONE.
Resolution No. 2023-XXX – Page 5 of 5
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Exhibit C
Proposed Annual Assessment
Fiscal Year 2023/24
Landscape Maintenance District No.1 (General City):
The rate per Equivalent Benefit Unit (EBU) is $92.21 for the fiscal year 2023/24. The following table summarizes the assessment rate for Landscape Maintenance District No. 1 (General City) for PMT2022-04884:
Land Use Basis
EBU*
Factor
Rate per
EBU*
Single Family Residential Parcel 1.00 $92.21
Multi-Family Residential Unit 0.50 92.21
Non-Residential Acre 2.00 92.21
The proposed annual assessment for the property described in Exhibit A is as follows:
1 Parcel x 1.00 EBU Factor x $92.21 Rate per EBU = $92.21 Annual Assessment DATE:October 18, 2023
TO:Mayor and Members of the City Council
FROM:John R. Gillison, City Manager
INITIATED BY: Jason C. Welday, Director of Engineering Services/City Engineer Annette Cano-Soza, Assistant Engineer
SUBJECT: Consideration to Order the Annexation to Landscape Maintenance District No. 1 Related to Case No. PMT2022-06658, Located at 8051 Beechwood Drive. This Item is Exempt from the California Environmental Quality Act (CEQA) and the City’s CEQA Guidelines under CEQA Section 15303 – New Construction or Conversion of Small Structures. (RESOLUTION NO. 2023-111) (CITY)
RECOMMENDATION:
Staff recommends that the City Council approve the attached resolution ordering the annexation into Landscape Maintenance District No.1 for Case No. PMT2022-06658.
BACKGROUND:
Case No. PMT2022-06658 was submitted to the Building and Safety Services Department on January 9, 2023 for a 663 sqft garage conversion to the family room, 663 sqft master bedroom addition and 1,020 sqft detached 3-car garage to an existing single-family residence located at 8051 Beechwood Drive.
ANALYSIS:
The owners, Samantha J. Black and Ryan J. Black, have submitted the Consent and Waiver to Annexation Form for Landscape Maintenance District No. 1. Copies of the forms are on file with the City Clerk’s office.
ENVIRONMENTAL ANALYSIS:
The project qualifies as a Class 3 exemption under State CEQA Guidelines Section 15303 – New Construction or Conversion of Small Structures, as the project involves the alterations of existing residential structures.
FISCAL IMPACT:
The proposed annexation would supply additional annual revenue into the landscape maintenance districts in the following amounts:
Landscape Maintenance District No. 1: $92.21
Further, the development will not construct street trees or streetlights that will need to be maintained by the City.
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COUNCIL MISSION / VISION / VALUE(S) ADDRESSED:
This item addresses the City Council’s vision for the City by ensuring the maintenance of high- quality public improvements that promote a world class community.
ATTACHMENTS:
Attachment 1 - Vicinity Map
Attachment 2 - Resolution Ordering Annexation Landscape Maintenance District No.1 ATTACHMENT 1
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Vicinity Map
PMT2022-06658
NOT TO SCALE
Project Site
Resolution No. 2023-XXX – Page 1 of 5
ATTACHMENT 2
RESOLUTION NO. 2023-XXX
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
RANCHO CUCAMONGA, CALIFORNIA, ORDERING THE
ANNEXATION OF CERTAIN TERRITORY TO LANDSCAPE
MAINTENANCE DISTRICT NO. 1 (GENERAL CITY) FOR
PROJECT CASE NO. PMT2022-06658
WHEREAS, the City Council of the City of Rancho Cucamonga, California, has previously formed a special maintenance district pursuant to the terms of the “Landscape and Lighting Act of 1972”, being Division 15, Part 2 of the Streets and Highways Code of the State of California (the “Act”, said special maintenance district known and designated as Landscape Maintenance District No. 1 (General City) (the “District”); and
WHEREAS, the provisions of Article 2 of Chapter 2 of the Act authorize the annexation of additional territory to the District; and
WHEREAS, such provisions also provide that the requirement for the preparation of resolutions, and assessment engineer’s report, notices of public hearing and the right of majority protest may be waived in writing with the written consent of all of the owners of property within the territory to be annexed; and
WHEREAS, notwithstanding that such provisions of the Act related to the annexation of territory to the District, Article XIII D of the Constitution of the State of California (“Article XIII D”) establishes certain procedural requirements for the authorization to levy assessments which apply to the levy of annual assessments for the District on the territory proposed to be annexed to such District; and
WHEREAS, the owners of certain property described in Exhibit A attached hereto, and incorporated herein by this reference, have requested that such property (collectively, the “Territory”) be annexed to the District in order to provide for the levy of annual assessments to finance the maintenance of certain improvements described in Exhibit B hereto (the “Improvements”); and
WHEREAS, all of the owners of the Territory have filed with the City Clerk duly executed forms entitled “Consent And Waiver To Annexation Of Certain Real Property To A Maintenance District And Approval Of The Levy Of Assessments On Such Real Property” (the “Consent and Waiver”); and
WHEREAS, by such Consent and Waiver, all of the owners of the Territory have expressly waived any and all of the procedural requirements as prescribed in the Act to the annexation of the Territory to the District and have expressly consented to the annexation of the Territory to the District; and
WHEREAS, by such Consent and Waiver, all of the owners of the Territory have also expressly waived any and all of the procedural requirements as prescribed in the Act and/or Article XIII D applicable to the authorization to levy the proposed annual assessment against the Territory set forth in Exhibit B attached hereto and incorporated herein by this reference and have declared support for, consent to and approval of the authorization to levy such proposed annual assessment set forth in Exhibit C attached hereto; and
Resolution No. 2023-XXX – Page 2 of 5
WHEREAS, by such Consent and Waiver, all of the owners of the Territory have also expressly agreed for themselves, their heirs, successors and assigns that:
(1) The proportionate special benefit derived by each parcel in the Territory from the District Improvements has been determined in relationship to the entirety of the maintenance and operation expenses of the Improvements; (2) The proposed annual assessment does not exceed the reasonable cost of the proportional special benefit from the Improvements conferred on each parcel in the Territory. (3) Only the special benefits derived or to be derived by each parcel in the Territory from the Improvements have been included in the proposed annual assessment.
WHEREAS, at this time the City Council desires to order the annexation of the Territory to the District and to authorize the levy of annual assessments against the Territory in amounts not to exceed the amounts set forth in Exhibit C hereto.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF RANCHO CUCAMONGA HEREBY RESOLVES AS FOLLOWS:
SECTION 1: That the above recitals are true and correct.
SECTION 2: The City Council hereby finds and determines that:
a. The annual assessments proposed to be levied on each parcel in the Territory do not exceed the reasonable cost of the proportional special benefit conferred on each such parcel from the
Improvements.
b. The proportional special benefit derived by each parcel in the Territory from the Improvements has been determined in relationship to the entirety of the cost of the maintenance of the Improvement. c. Only special benefits will be assessed on the Territory by the levy of the proposed annual assessments.
SECTION 3: This legislative body hereby orders the annexation the Territory to the District, approves the financing of the maintenance of the Improvements from the proceeds of annual assessments to be levied against the Territory and approves and orders the levy of annual assessments against the Territory in amounts not to exceed the amounts set forth in Exhibit C.
SECTION 4: All future proceedings of the District, including the levy of all assessments, shall be applicable to the Territory.
PASSED, APPROVED, AND ADOPTED this 18th day of October 2023.
Resolution No. 2023-XXX – Page 3 of 5
Exhibit A
Identification of the Owner and Description of the Property to be Annexed The Owner of the Property is:
BLACK, RYAN J & BLACK, SAMANTHA J
The legal description of the Property is:
TRACT 7219 LOT 4
Assessor’s Parcels Numbers of the Property:
1061-721-28
Resolution No. 2023-XXX – Page 4 of 5
Exhibit B
Description of the District Improvements
Fiscal Year 2023/24
Landscape Maintenance District No. 1 (General City):
Landscape Maintenance District No. 1 (General City) (the “Maintenance District”) represents various landscaped areas, parks and community trails located at various sites throughout the City.
These sites consist of several non-contiguous areas throughout the City. As such, the parcels within this District do not represent a distinct district area as do the other LMD’s within the City.
Typically, new parcels within this District have been annexed upon development.
The various sites maintained by the District consist of parkways, median islands, paseos, street trees, entry monuments, community trails and parks. The parks consist of Bear Gulch Park, East and West Beryl Park, Old Town Park, Church Street Park, Golden Oaks Park, Hermosa Park, and the undeveloped Don Tiburcio Tapia Park.
Proposed additions to the Improvements for Project Case No. PMT2022-06658:
NONE.
Resolution No. 2023-XXX – Page 5 of 5
Exhibit C
Proposed Annual Assessment
Fiscal Year 2023/24
Landscape Maintenance District No.1 (General City):
The rate per Equivalent Benefit Unit (EBU) is $92.21 for the fiscal year 2023/24. The following table summarizes the assessment rate for Landscape Maintenance District No. 1 (General City) for PMT2022-06658:
Land Use Basis
EBU*
Factor
Rate per
EBU*
Single Family Residential Parcel 1.00 $92.21
Multi-Family Residential Unit 0.50 92.21
Non-Residential Acre 2.00 92.21
The proposed annual assessment for the property described in Exhibit A is as follows:
1 Parcel x 1.00 EBU Factor x $92.21 Rate per EBU = $92.21 Annual Assessment DATE:October 18, 2023
TO:Mayor and Members of the City Council
FROM:John R. Gillison, City Manager
INITIATED BY: Jason C. Welday, Director of Engineering Services/City Engineer Ulises Benavente, Associate Engineer
SUBJECT: Consideration to Approve Parcel Map No. 20655 and Ordering the Annexation into Landscape Maintenance District No. 7 Located at 5815 Etiwanda Avenue, Related to Case No. SUBTPM20655.
(RESOLUTION NO. 2023-112) (CITY)
RECOMMENDATION:
Staff recommends the City Council:
1. Approve Parcel Map No. 20655; and
2. Adopt the attached resolution ordering the annexation to Landscape Maintenance District No. 7.
BACKGROUND:
On January 25, 2023, the Planning Commission approved Case No. SUBTPM20655, a subdivision of Parcel 3 of Parcel Map No. 1299, a vacant 3.89-acre project site located within the Very Low (VL) Residential Zone at 5815 Etiwanda Avenue into two parcels of land.
Case No. SUBTPM20655 was approved with a condition that the property be annexed into Landscape Maintenance District No. 7.
ANALYSIS:
The applicant, We Architect Group, has submitted a parcel map for consideration of approval.
Staff has determined that the parcel map is in substantial conformity with the approved Tentative Parcel Map of Case No. SUBTPM20655 and conditions. Approval of this item by the City Council would approve Parcel Map No. 20655, allow its recordation and order the annexation of the subject property into Landscape Maintenance District No. 7.
ENVIRONMENTAL ANALYSIS:
The project is categorically exempt from the requirements of the California Environmental Quality Act (CEQA) and the City’s Guidelines. The project qualifies as a Class 15 exemption under the State CEQA Guidelines Section 15315 – Minor Land Divisions, as the project involves the subdivision of a lot into two parcels where no physical changes occur. Staff finds that there is no substantial evidence that the project will have significant effect on the environment.
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FISCAL IMPACT:
The proposed annexation would satisfy the Conditions of Approval for this parcel map and supply additional annual revenue to the landscape district in the following amount:
Landscape Maintenance District No. 7: $614
COUNCIL MISSION / VISION / VALUE(S) ADDRESSED:
This item addressed the City Council’s vision for the City by working together cooperatively and respectfully with property owners and developers to create a vibrant city, rich in opportunity for all to thrive.
ATTACHMENTS:
Attachment 1 - Vicinity Map
Attachment 2 - Resolution Ordering Annexation Landscape Maintenance District No. 7 ATTACHMENT 1
VICINITY MAP
NOT TO SCALE
CASE NO. SUBTPM20655
Resolution No. 2023-XXX – Page 1 of 5
ATTACHMENT 2
RESOLUTION NO. 2023-XXX
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
RANCHO CUCAMONGA, CALIFORNIA, ORDERING THE
ANNEXATION OF CERTAIN TERRITORY TO LANDSCAPE
MAINTENANCE DISTRICT NO. 7 (NORTH ETIWANDA) FOR
SUBTPM20655
WHEREAS, the City Council of the City of Rancho Cucamonga, California, has previously formed a special maintenance district pursuant to the terms of the “Landscape and Lighting Act of 1972”, being Division 15, Part 2 of the Streets and Highways Code of the State of California (the “Act”, said special maintenance district known and designated as Landscape Maintenance District No. 7 (North Etiwanda) (the “District”); and
WHEREAS, the provisions of Article 2 of Chapter 2 of the Act authorize the annexation of additional territory to the District; and
WHEREAS, such provisions also provide that the requirement for the preparation of resolutions, and assessment engineer’s report, notices of public hearing and the right of majority protest may be waived in writing with the written consent of all of the owners of property within the territory to be annexed; and
WHEREAS, notwithstanding that such provisions of the Act related to the annexation of territory to the District, Article XIII D of the Constitution of the State of California (“Article XIII D”) establishes certain procedural requirements for the authorization to levy assessments which apply to the levy of annual assessments for the District on the territory proposed to be annexed to such District; and
WHEREAS, the owners of certain property described in Exhibit A attached hereto, and incorporated herein by this reference, have requested that such property (collectively, the “Territory”) be annexed to the District in order to provide for the levy of annual assessments to finance the maintenance of certain improvements described in Exhibit B hereto (the “Improvements”); and
WHEREAS, all of the owners of the Territory have filed with the City Clerk duly executed forms entitled “Consent And Waiver To Annexation Of Certain Real Property To A Maintenance District And Approval Of The Levy Of Assessments On Such Real Property” (the “Consent and Waiver”); and
WHEREAS, by such Consent and Waiver, all of the owners of the Territory have expressly waived any and all of the procedural requirements as prescribed in the Act to the annexation of the Territory to the District and have expressly consented to the annexation of the Territory to the District; and
WHEREAS, by such Consent and Waiver, all of the owners of the Territory have also expressly waived any and all of the procedural requirements as prescribed in the Act and/or Article XIII D applicable to the authorization to levy the proposed annual assessment against the Territory set forth in Exhibit B attached hereto and incorporated herein by this reference and have declared support for, consent to and approval of the authorization to levy such proposed annual assessment set forth in Exhibit C attached hereto; and
Resolution No. 2023-XXX – Page 2 of 5
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WHEREAS, by such Consent and Waiver, all of the owners of the Territory have also expressly agreed for themselves, their heirs, successors and assigns that:
(1) The proportionate special benefit derived by each parcel in the Territory from the District Improvements has been determined in relationship to the entirety of the maintenance and operation expenses of the Improvements; (2) The proposed annual assessment does not exceed the reasonable cost of the proportional special benefit from the Improvements conferred on each parcel in the Territory. (3) Only the special benefits derived or to be derived by each parcel in the Territory from the Improvements have been included in the proposed annual assessment.
WHEREAS, at this time the City Council desires to order the annexation of the Territory to the District and to authorize the levy of annual assessments against the Territory in amounts not to exceed the amounts set forth in Exhibit C hereto.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF RANCHO CUCAMONGA HEREBY RESOLVES AS FOLLOWS:
SECTION 1: That the above recitals are true and correct.
SECTION 2: The City Council hereby finds and determines that:
a. The annual assessments proposed to be levied on each parcel in the Territory do not exceed the reasonable cost of the proportional special benefit conferred on each such parcel from the Improvements.
b. The proportional special benefit derived by each parcel in the Territory from the Improvements has been determined in relationship to the entirety of the cost of the maintenance of the Improvement.
c.Only special benefits will be assessed on the Territory by the levy of the proposed annual assessments.
SECTION 3: This legislative body hereby orders the annexation the Territory to the District, approves the financing of the maintenance of the Improvements from the proceeds of annual assessments to be levied against the Territory and approves and orders the levy of annual assessments against the Territory in amounts not to exceed the amounts set forth in Exhibit C.
SECTION 4: All future proceedings of the District, including the levy of all assessments, shall be applicable to the Territory.
PASSED, APPROVED, AND ADOPTED this 18th day of October 2023.
Resolution No. 2023-XXX – Page 3 of 5
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Exhibit A
Identification of the Owner and Description of the Property to be Annexed The Owner of the Property is:
SINGH KALVINDER
The legal description of the Property is:
PARCEL MAP 1299 PARCEL 3
Assessor’s Parcels Numbers of the Property:
0225-123-09-0000
Resolution No. 2023-XXX – Page 4 of 5
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Exhibit B
Description of the District Improvements
Fiscal Year 2023/24
Landscape Maintenance District No. 7 (North Etiwanda):
Landscape Maintenance District No. 7 (North Etiwanda) (the “Maintenance District”) represents landscape sites throughout the Etiwanda North Area.
The various sites maintained by the district consist of parkways, median islands, paseos, street trees, community trails and Etiwanda Creek Park.
Proposed additions to the Improvements for Project SUBTPM20655:
Driveway approach, curb, gutter, community trail
Resolution No. 2023-XXX – Page 5 of 5
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Exhibit C
Proposed Annual Assessment
Fiscal Year 2023/24
Landscape Maintenance District No. 7 (North Etiwanda):
The rate per Equivalent Benefit Unit (EBU) is $307.05 for the fiscal year 2023/24. The following table summarizes the assessment rate for Landscape Maintenance District No. 7 (North Etiwanda) for SUBTPM20655:
Land Use Basis
EBU
Factor*
Rate per
EBU*
Single Family Residential Parcel 1.00 $307.05
The proposed annual assessment for the property described in Exhibit A is as follows:
2 Parcels x 1.00 EBU Factor x $307.05 Rate per EBU = $614.10 Annual Assessment DATE:October 18, 2023
TO:Mayor and Members of the City Council
FROM:John R. Gillison, City Manager
INITIATED BY: Matt Burris, Deputy City Manager Economic & Community Development Matt Marquez, Planning & Economic Development Director
Zack Neighbors, Building & Safety Services Director
SUBJECT: Quarterly Development Update - Third Quarter 2023. (CITY) RECOMMENDATION:
Staff recommends that the City Council receive a presentation from staff on development-related activities for the third quarter of 2023 (July through October).
BACKGROUND:
Earlier this year staff began providing Quarterly Development Updates (QDU) to the City Council. The purpose of these reports is to update Council and the community on development related activities on a regular basis. While annual reports such as the General Plan progress includes some information on development activities (such as the number of permits issued and housing units constructed for example), quarterly updates are an effective way to provide information on development activity over a shorter period of time. They also allow staff to include different information, such as economic development related activities or customer service data, that is not provided in other annual reports, but is important to the City’s community development function.
ANALYSIS:
The QDU to be presented to the City Council will include summaries of Building & Safety and Planning & Economic Development related activities. This includes, but may not be limited to, detailing entitlement approvals by use type, providing updates on key development projects, and reporting on building permit and plan check activity. For example, during the third quarter of 2023, 53 new applications were submitted to the Planning Division, 367 visitors were assisted at the public counter, and 595 phone calls were fielded by the Planning team during the third quarter of 2023.
Staff's formal presentation to the City Council will provide additional details on development- related activities, and staff will continue to report this information to Council quarterly.
FISCAL IMPACT:
None
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COUNCIL MISSION / VISION / VALUE(S) ADDRESSED:
This item addresses the Council’s following core values:
1. Providing and nurturing a high quality of life for all
2. Relentless pursuit of improvement
3. Building and preserving a family-oriented atmosphere ATTACHMENTS:
None