Late Submissions or Additions — Rancho Mirage City Council, July 21, 2022

� CITY OF RANCHO MIRAGE

CITY COUNCIL,

LIBRARY AND OBSERVATORY BOARD,

HOUSING AUTHORITY BOARD,

AND THE CITY COUNCIL REPRESENTING

THE REDEVELOPMENT SUCCESSOR AGENCY

REGULAR MEETING
THURSDAY, JULY 21, 2022
1:00 P.M.

LATE SUBMISSIONS AND/OR REVISIONS
• Supplemental Agenda Adding Action Calendar Item No. 10A: Consideration of Modifying the Turf Rebate Program in Partnership with Coachella Valley Water District. (Staff report to be provided under separate cover)
• Attachment No. 2 (Draft Subdivision Improvement Agreement) to Consent Calendar Item No. 2: Approval of Final Parcel Map No. 37182 (Chandi)

SUBDIVISION IMPROVEMENT AGREEMENT

(Tract 37182)

This agreement is made and entered into as of ____________________, 20____, by and between the CITY OF RANCHO MIRAGE, a municipal corporation ("CITY") and Black Gold Builders Group Inc. (“DEVELOPER"), with respect to the following:

A. DEVELOPER shall construct the following public improvements ("work") for the above-referenced property: streets, curbs, gutters, storm drains, sewer, water, walls, landscaping and any improvements associated with this development, all as described on Schedule A hereto.

B. CITY-approved plans and specifications for the construction of the work, which are incorporated herein by reference and prepared by: Coachella Valley Engineers, are identified as: Tract Map 37182 (Title as appears on plans).

C. The following are attached hereto and made a part hereof: Schedule A, Schedule B, Schedule C.

1. IMPROVEMENTS: For valuable consideration, DEVELOPER agrees to do, or cause to be done, at DEVELOPER'S expense and without any cost or liability to CITY, all of the work described herein by the date specified in Schedule A. DEVELOPER warrants that all of the materials supplied and work to be done will be of good quality and workmanship. Said work shall be in strict conformity with the plans and specifications of the work, the standard specifications and drawings for public improvements adopted by CITY and this agreement. DEVELOPER shall furnish all transportation, equipment, labor, services, permits, utilities, and all other items necessary to complete the work. DEVELOPER shall pay all claims, demands and liability arising out of, or resulting from or in connection with, the performance of the work as provided for in this agreement. DEVELOPER shall furnish accurate "as constructed" plans. In addition, DEVELOPER shall, within thirty (30) days of acceptance of the work, set all final monuments in place for acceptance.

DEVELOPER'S obligations herein are not limited by any cost estimates, nor will any estimate be a measure of damages.

CITY in its sole discretion and without liability to CITY, City Council members, CITY'S engineer, and their consultants, and each of their officials, directors, officers, employees and agents, may require changes, alterations, or additions to the plans and specifications which do not exceed ten percent (10%) of the original CITY-approved cost estimate of the work for the reasons set forth herein. Changes, alterations, or additions in addition to said ten percent (10%) limitation may be made if to correct errors or omissions in the approved plans and specification and for unforeseen conditions such as but not limited to rock excavation, unstable soil conditions or high water tables requiring dewatering.

2. INSURANCE: DEVELOPER shall not commence or continue to perform any work unless DEVELOPER has in full force and effect all insurance required hereunder with companies satisfactory to CITY. To be acceptable, insurers must be authorized to do business, and have an agent for service of process, in California, and have an "A" policyholder's rating and a financial rating of at least Class V, in accordance with the current Best's Ratings. All insurance policies shall be maintained until the work is

accepted by CITY and provide for coverage of all causes of action or disputes arising out of acts in performance of the construction of the work herein, whether said causes or disputes are filed or brought to the attention of CITY before or after the termination of this contract.

Concurrent with execution of this agreement, DEVELOPER shall provide certificate(s) of insurance and endorsements, satisfactory to CITY, or otherwise provide proof of insurance as approved by the City Attorney, certifying that DEVELOPER has and will maintain for the agreement period, full worker’s compensation insur ance coverage as required by State laws, for all persons who are or may be employed in carrying out the work. This provision shall not apply if DEVELOPER has no employees performing work under this Agreement.

If DEVELOPER has no employees for the purposes of this Agreement, DEVELOPER shall sign the Certificate of Exemption from Worker’s Compensation Insurance, attached hereto as Schedule "C."

Concurrent with execution of this agreement, DEVELOPER shall provide to CITY certificate(s) of insurance and endorsements, satisfactory to CITY, or otherwise provide proof of insurance as approved by the City Attorney, certifying that DEVELOPER has liability insurance coverage naming CITY, City Council members, CITY'S engineer, and their consultants, officials, directors, officers, agents and employees, as additional insureds for both bodily injury and property damage in a single limit of not less than that specified in Schedule A for any one occurrence.

Liability insurance coverage shall include each of the following types of insurance as required by CITY to carry out this agreement:

A. General Liability

1. Comprehensive Form

2. Premises-Operations

3. Explosion and Collapse Hazard

4. Underground Hazard

5. Products/Operations Competed

6. Contractual Insurance

7. Broad Form Property Damage
Including Completed Operations

8. Independent Contractors

9. Personal Injury
B. Automobile Liability

1. Comprehensive Form, Including
Loading and Unloading

2. Owned

3. Hired

Concurrent with execution of any agreements between DEVELOPER and any subcontractors retained by DEVELOPER to perform any work required of DEVELOPER hereunder, and in any event prior to DEVELOPER authorizing any subcontractors to perform any such work or to even conduct any preliminary activities at the location of where the work is to be completed in preparation for or in anticipation of such work, DEVELOPER shall collect certificates of insurance from all such subcontractors evidencing proof that all subcontractors have procured and will maintain all the insurance coverages required of DEVELOPER under this agreement.

In addition to naming the CITY, City Council members, CITY'S engineer, and their consultants, officials, directors, officers, agents and employees, as additional insureds, as set forth above, the certificates of insurance, including those provided by any subcontractor, provided either on forms required by the CITY or as otherwise approved by the City Attorney, shall bear the following endorsements: (1) each policy required herein must be endorsed to provide that the policy shall not be cancelled or non-renewed by or reduced in coverage or limits (except by paid claims) unless the insurer has provided the CITY with thirty (30) days prior written notice of cancellation; (2) the carriers of all required insurance policies must waive all rights of subrogation against the CITY and its officers, employees, servants, volunteers, agents and independent contractors; and (3) except for worker’s compensation insurance, if any , all insurance policies required to be provided by DEVELOPER must be endorsed to provide that the policies shall apply on a primary and noncontributing basis in relation to any insurance or self-insurance, primary or excess, maintained or available to the CITY, and its officers, employees, servants, volunteers, agents and independent contractors.

All insurance certificates executed in connection with this agreement, whether issued as DEVELOPER or any of DEVELOPER’s subcontractors as the named insured, shall be signed under penalty of perjury under the laws of the State of California that all the information contained in the insurance certificates is true and correct, and such representation shall be made knowingly based on independent investigation and verification.

Nothing contained in these insurance requirements shall limit the liability of DEVELOPER or DEVELOPER'S sureties. Review and acceptance of insurance certificates shall not constitute any representation by CITY or its representatives that any required insurance has been issued.

3. DEVELOPER'S LIABILITY: DEVELOPER shall, at DEVELOPER'S sole cost and expense, be solely and completely responsible for all matters affecting the design, prosecution, progress, and completion of the work (both on and off the job site).

DEVELOPER shall be responsible for observing all laws. DEVELOPER shall provide for public convenience and safety of workers, including DEVELOPER'S workers, if any, and those of DEVELOPER'S subcontractors, suppliers and others contributing to the work.

DEVELOPER shall protect CITY property and property rights of others, including the location, maintenance, and replacement of utilities, whether shown on the plans or not.

DEVELOPER shall give prior notification to utility owners. DEVELOPER shall notify Underground Service Alert at 1-800-422-4133 at least 48 hours prior to start of construction.

DEVELOPER shall protect against and prevent drainage from storm runoff.

DEVELOPER shall not interfere with easements, rights-of-way and encroachment permits. Nothing in this agreement, the specifications, or other contract documents, or CITY'S approval of the plans and specifications or inspection of the work is intended to

include CITY'S review, inspection, acknowledgment of or responsibility for any such matters. CITY, City Council members, CITY'S engineer, and their consultants and each of their officials, directors, officers, employees, and agents shall have absolutely no responsibility or liability for the above.

4. DEVELOPER'S INDEMNIFICATION: DEVELOPER shall defend, indemnify and hold harmless CITY, City Council members, CITY'S engineer and their consultants and each of their officials, directors, officers, agents and employees from and against all liability, claims, damages, losses, expenses and other costs, including costs of defense and attorneys' fees arising out of or resulting from or in connection with the design or construction of the work, both on and off the job site, and during and after completion, except for any such claim arising out of the sole or active negligence or willful misconduct of t he CITY, its officers, agents, employees or volunteers. The indemnity provided above relates to liability, claims, damages, losses, expenses and other costs: (1) attributable to bodily injury, sickness, disease or death, or to injury to or destruction of property (other than the work itself), including the loss of use resulting therefrom, and (2) caused in whole or, or subject to the remainder of this paragraph, in part by any act or omission of DEVELOPER, DEVELOPER'S engineer, any subcontractor, any supplier, anyone directly or indirectly employed by any of them or anyone for whose acts or omissions any of them may be liable. If any liability, claims, damages, losses, expenses and other costs are caused in part by any act or omission (active, passive or comparative negligence included) of a party indemnified hereunder, DEVELOPER’s indemnification obligations hereunder shall only extend to the proportionate share of such liability, claims, damages, losses, expenses and other costs caused by any act or omission of DEVELOPER, DEVELOPER'S engineer, any subcontractor, any supplier, anyone directly or indirectly employed by any of them or anyone for whose acts or omissions any of them may be liable. The indemnification and agreement to hold harmless provided f or hereunder shall extend to damages to or taking of property resulting from the design or construction of said improvements or the diversion of waters or from the design or construction or maintenance of drainage systems, streets and other improvements. Acceptance of these improvements by CITY shall not constitute an assumption by CITY of any responsibility for such damage or taking.

As to any and all claims which fall within the indemnification provided for hereunder against the indemnified parties by any employee of DEVELOPER, any contractor, any subcontractor, any supplier, anyone directly or indirectly employed by any of them or anyone for whose acts any of them may be liable, the indemnity obligations hereunder shall not be limited in any way by any limitation on the amount or type of damages, compensation or benefits payable by or for the DEVELOPER, subcontractor, supplier or other person under workers’ compensation acts, disability benefit acts or other employee acts.

DEVELOPER shall also defend, indemnify and hold harmless CITY, City Council members, CITY'S engineer, and their consultants, and each of their officials, directors, officers, employees and agents from and against all losses, expenses, damages (including damages to the work itself), attorneys' fees and other costs, including costs of defense, which any of them may incur both during and after completion with respect to any latent deficiency in the design, specifications, surveying, planning, supervision, observation of or construction of the work referred to herein or any injury to a person or property, real or personal, as a result of any such latent defect or portions of the work which CITY reasonably suspects may also be defective by reason of such latent defects in the work performed by DEVELOPER or DEVELOPER'S subcontractors, or suppliers or designed by their representatives, except for any such claims arising out of the sole or active negligence or

willful misconduct of the CITY, its officers, agents, employees or volunteers . Provisions of this paragraph shall remain in effect ten (10) years following acceptance of improvements by the CITY. Nothing contained herein shall limit CITY'S remedies pursuant to Code of Civil Procedure, Section 337.15.

5. SECURITY: With the execution of this agreement, DEVELOPER shall furnish and deliver to CITY, at no expense to CITY, a payment security, and a performance security.

Each shall be in the amount of CITY-approved estimate specified in Schedule A. Bonds shall be furnished by surety companies satisfactory to CITY, on the forms provided by CITY. No alterations or substitution of said forms shall be allowed except on approval of City Attorney. To be acceptable, surety companies must be authorized to do business in, and have an agent for, service of process in California, be on the accredited list of the United States Treasury Department, and/or have an "A" policyholder's rating and a financial rating of Class V, or better, in accordance with the current Best's Rating. The bonds shall be limited to amounts acceptable to the Treasury Department.

None of the following shall in any way affect the obligations of any surety. Each surety waives notice thereof: (a) any change, extension of time, alteration or additions to the terms of the agreement, or the work to be performed, or the plans and specifications therefor; (b) any matters unknown to surety which might affect surety's risk, except that CITY shall advise surety upon request of the following: (1) any written claims it receives from unpaid subcontractors or suppliers, (2) any written orders received from other public authorities charging violations of laws, ordinances or regulations, and (3) failure of DEVELOPER to comply with any written notice to correct defective work. The obligations of DEVELOPER shall not be limited by the amount of such bonds.

6. TYPES/AMOUNT OF SECURITY: If specified in Schedule A, in lieu of payment and performance bonds, DEVELOPER may furnish CITY either cash, a Letter of Credit, or an Agreement of Deposit or other security satisfactory to City Attorney as security for performance (see Schedule B). Said security shall be in an amount not less than 100% of the cost estimate and, in addition, for payment of those furnishing materials, labor or equipment in an amount not less than 50% of the cost estimate. Said security agreements shall be on forms furnished by CITY. No alterations or substitution of said forms shall be allowed. The obligations of DEVELOPER shall not be limited by the amount of the security required. No interest shall be paid DEVELOPER on any cash deposit made pursuant to this paragraph.

7. COSTS AND DEPOSITS: DEVELOPER agrees to pay CITY, on demand, the full amount of all of CITY'S costs incurred before, within or after acceptance in connection with the work and this agreement. These costs include but are not limited to plan checking, inspection, materials furnished, attorneys' fees incurred in connection with preparing and negotiating this agreement, and all other expenses, including engineers' and attorneys' fees of CITY, directly attributable to the work and this agreement. These costs shall include a reasonable amount for CITY'S overhead in connection therewith, plus any applicable fees of CITY. CITY'S costs shall include the cost of inspecting and restoring other portions of the work both during and after acceptance which CITY reasonably suspects may also be defective by reason of known defects in the work or other work performed by DEVELOPER or DEVELOPER'S contractors, subcontractors, or suppliers or designed by their representatives. DEVELOPER shall deposit with the CITY, concurrently with the execution of this agreement, such sums as the CITY established as deposits set forth in Schedule A. Should the actual expenses be in excess of the deposit set forth in Schedule A,

DEVELOPER shall pay the amount of such excess on demand. Should the actual expenses be less than the estimated deposit in Schedule A, CITY shall refund the difference, without interest, to DEVELOPER within ninety (90) days of acceptance of work. CITY may terminate its activity herein if DEVELOPER fails to make additional deposits on demand.

Said deposit is not a trust fund and said deposit may be co- mingled with other similar deposits.

8. PARTIAL UTILIZATION: Until all work has been completed and accepted by CITY and all other public authorities having jurisdiction, DEVELOPER shall be responsible for the care and maintenance of, or any damage to, the work.

When the work or any portion of it is sufficiently complete to be utilized or placed into service, CITY shall have the right, upon written notification to DEVELOPER, to utilize or allow the utilization of such portions of the work and to place or cause the placement of the operable portions into service. With this notice and commencement of utilization or operation by CITY or any other third party, DEVELOPER shall be relieved of the duty of maintaining the portions so utilized or placed into operation. However, such use and operation shall not relieve DEVELOPER of the full responsibility for completing the work in its entirety, for making good any defective work or materials, for protecting the work from damage by DEVELOPER, DEVELOPER'S engineer, any subcontractor, any supplier, anyone directly or indirectly employed by any of them or anyone for whose acts or omissions any of them may be liable, and for being responsible for damage to the work by DEVELOPER, DEVELOPER'S engineer, any subcontractor, any supplier, anyone directly or indirectly employed by any of them or anyone for whose acts or omissions any of them may be liable. Nor shall such action by CITY be deemed completion and acceptance. Further, such action shall not relieve DEVELOPER or DEVELOPER'S sureties and insurers of the provisions hereof relating to indemnity and guarantees.

9. ACCEPTANCE OF PUBLIC IMP ROVEMENTS : Acceptance of any public improvements constituting any of the work shall be by action of the City Engineer. Neither the acceptance nor any prior inspections or failure to inspect shall constitute a waiver by CITY of any defects in the work. From and after acceptance, the public improvements constituting any of the work shall be owned, operated and maintained by CITY. As a condition to acceptance, DEVELOPER and DEVELOPER'S contractor shall certify to CITY in writing that all of the public impr ovements constituting any of the work have been performed in strict conformity with the agreement and that all costs have been paid or supplied to CITY security, satisfactory to CITY, guaranteeing such performance.

DEVELOPER shall be required to maintain the payment bond in its full amount for up to 6 months after CITY acceptance of the work. The payment bond shall secure payment to the contractor, sub- contractors, and to persons renting equipment or furnishing labor or materials. Following the 6 month period, the payment bond may either be released or reduced to an amount no less than any claims on which an action has been filed and notice given to the CITY in writing.

In addition to DEVELOPER'S other obligations under the agreement DEVELOPER warrants all work and materials to be good quality and fit for the purpose and intended use.

DEVELOPER shall also repair, replace, and restore any and all such work which may prove defective in workmanship and/or materials without expense whatsoever to CITY; ordinary wear and tear and unusual abuse or neglect excepted. DEVELOPER shall also

repair, replace and restore any other work which is displaced in correcting defective work as well as other portions of the work which CITY by reason of such defects reasonably suspects may also be defective. DEVELOPER shall provide a bond or other security satisfactory to CITY for a period of one (1) year to secure a portion of the obligations in this Section 9. Said bond or other security shall be in an amount satisfactory to CITY but in no case less than 15% of cost of the onsite and offsite work referred to on Schedule A . Said bond or other security shall in no way limit the time within which CITY may bring action for breach of this warrant (CCP 337) or action for latent defects (CCP 337.15) nor the amount of such claim or judgment.

In the event of a failure to commence with the compliance of above-mentioned conditions in this Section 9 within seven (7) calendar days after being notified in writing or failure to diligently pursue such compliance to completion, CITY is hereby authorized to proceed to have the defects repaired and made good at the expense of Contractor, who hereby agrees to pay the cost and charges therefor immediately on demand.

If, in the opinion of CITY, nonconforming work creates a dangerous condition or requires immediate correction or repair to prevent further loss to CITY or to prevent interruption of operations, CITY shall attempt to give the DEVELOPER notice. If DEVELOPER cannot be contacted or does not comply with CITY'S request for correction within a reasonable time as determined by CITY, CITY may proceed to make such correction or provide such repair. The costs of such correction or repair shall be charged against DEVELOPER, who agrees to make payment for said costs upon demand.

Corrective action by CITY shall not relieve DEVELOPER or DEVELOPER'S sureties or insurers of the guarantees and indemnities of this agreement.

This paragraph does not in any way limit CITY'S remedies pursuant to Code of Civil Procedure, Section 337 and 337.15, or the guarantee on any items for which a longer guarantee is expressly specified or on any items for which a manufacturer or supplier gives a longer guarantee period. DEVELOPER agrees to act as a co- guarantor with such manufacturer or supplier and shall furnish CITY all appropriate and available guarantee or warranty certificates upon completion of the work. No manufacturer's guarantee period shall in any way limit the liability of DEVELOPER or DEVELOPER'S sureties and insurers under the indemnity or insurance provisions of this agreement.

10. EASEMENTS AND FEE INTERESTS: DEVELOPER shall, at DEVELOPER'S sole cost and expense, furnish CITY with appropriate easements and fee title as may be requested by CITY to required facilities sites for the entire work, free and clear of all liens, encumbrances, restrictions and covenants other than current real property taxes then a lien but not yet payable. At DEVELOPER'S cost and expense, DEVELOPER shall furnish CITY with an acceptable title in surance policy insuring CITY has title as above required with an endorsement insuring CITY against mechanics' lien claims arising out of the performance of the work . Easements shall be in standard form acceptable to CITY, shall be not less than the width CITY determines necessary to maintain the work, and shall be executed and delivered to CITY concurrent with execution of this agreement. Easements shall be recorded prior to CITY accepting the work or furnishing services to any portions of the property under development (other than those as may be delivered under a temporary service agreement with DEVELOPER).

11. DEVELOPER AND AGENTS: DEVELOPER shall be as fully responsible to CITY for the acts and omissions in respect of the work of DEVELOPER'S subcontractors and of the persons directly or indirectly employed by DEVELOPER'S subcontractor s as DEVELOPER is for the acts and omissions of persons directly or indirectly employed by DEVELOPER. To that end, DEVELOPER shall take such steps as are reasonably necessary to ensure that its subcontractors do not take any steps in relation to the work which would cause DEVELOPER to be in breach of this agreement and to ensure that such subcontractors shall take such steps as are reasonably necessary to ensure that they do not take any steps in relation to the work which would cause DEVELOPER to be in breach of this agreement. To that end, DEVELOPER shall bind every subcontractor to be bound by the terms of this agreement , as applicable and appropriate. Nothing contained in the agreement shall create any contractual relationship between any of DEVELOPER’S subcontractors and CITY.

Consent is hereby given DEVELOPER to have the work performed by the California licensed Class A Contractor(s) named in Schedule A. DEVELOPER or DEVELOPER'S contractor may satisfy the requirements of this section by having, in lieu of said Class A license, an appropriate alternate license as determined by CITY.

12. DEFAULT BY DEVELOPER: If DEVELOPER refuses or fails to prosecute the work or any separable part thereof with such diligence as will ensure its completion within the time specified herein, or any written extension thereof, or fails to complete such work within such time, or if DEVELOPER should be adjudged a bankrupt, make a general assignment for the benefit of creditors, or if a receiver should be appointed on account of DEVELOPER'S insolvency, or if DEVELOPER or any of their subcontractors violate any of the provisions of this agreement, or if DEVELOPER fails to make prompt payment for materi als or labor, or if DEVELOPER disregards laws, ordinances, or instructions of CITY, then CITY may thereafter serve written notice upon the DEVELOPER and DEVELOPER'S surety of its intention to declare this agreement in default. Said notice shall contain the reasons for such intention to declare a default. Unless, within ten (10) days after the service of such notice, such violations shall cease and satisfactory arrangements for the corrections thereof be made (or in the case of any violation that would require more than ten (10) days to correct, DEVELOPER having commenced reasonably diligent steps towards correction within such ten (10) day period), this agreement shall upon the expiration of said time be in default.

Upon this agreement being in default as pro vided f or herein, CITY shall serve written notice thereof upon the surety and DEVELOPER, and the surety shall have the right to take over and perform this agreement. If the surety does not, within fifteen (15) days after the serving upon it of a notice of this agreement being in default, give CITY written notice of its intention to take over and perform this agreement or does not commence performance thereof within thirty (30) days from the date of CITY'S notice, CITY may take over the work and prosecute the same to the extent of completion it deems necessary by contract or by any other method it may deem advisable for the account and at the expense of DEVELOPER, and the surety shall be liable to CITY for any cost or other damage occasioned CITY thereby. In such event CITY may, without liability for so doing, take possession of, and utilize in completing such work, such materials, appliances, plants, and other property belonging to DEVELOPER that may be on the site of the work and be necessary therefor. Should surety fail to take over and diligently perform the agreement upon DEVELOPER being in default under this agreement , surety agrees to promptly on demand deposit with CITY such amount as CITY may reasonably estimate as the cost of

completing all of DEVELOPER'S obligations. For any such work the CITY elects to complete by furnishing its own employees, materials, tools, and equipment, CITY shall receive reasonable compensation therefor, including costs of supervision and overhead.

In the event that DEVELOP ER is in default under this agreement, CITY may, at its option, elect not to complete any or all of the work and may elect not to accept any of the work already completed. If CITY elects not to accept any of the work, then all CITY'S obligations under this agreement to DEVELOPER and the lands to be served shall terminate. CITY'S obligations to DEVELOPER and the lands to be served shall continue to the extent of any acceptance, subject to CITY'S right to offset any sums due the CITY.

The foregoing provisions are in addition to and not in limitation of any other rights or remedies available to CITY.

13. DELAY BY DEVELOPER: If the work is suspended or otherwise not continuously prosecuted for any cause whatsoever, within or without the time for completion, DEVELOPER shall, at DEVELOPER'S sole cost and expense, remove and replace all or any portion of the work already completed and inspected which CITY, in its sole discretion, determines is or can be damaged as a result of being in place while the work is suspended or otherwise not continuously being prosecuted.

14. ATTORNEYS' FEES AND COSTS: Should CITY engage an attorney to enforce any provision of this agreement or to defend any claim brought by anyone arising out of the failure of DEVELOPER to perform any of DEVELOPER'S obligations under this agreement, DEVELOPER shall pay all of CITY'S attorneys' fees incurred in connection therewith, with or without suit, whether or not said attorneys are in the regular employ of the CITY.

15. REIMBURSEMENT: Provided DEVELOPER has fully complied with all the terms of this agreement, CITY shall, without interest, reimburse DEVELOPER to the extent set forth on a separate Reimbursement Schedule. DEVELOPER accepts as the amount and conditions governing DEVELOPER'S entitlement to reimbursement and refund under CITY'S existing rules, regulations, ordinances, and policies. If no amount is specified in Schedule A, DEVELOPER is to receive no reimbursement from CITY.

16. FUTURE CHARGES: Nothing in this agreement shall relieve DEVELOPER or DEVELOPER'S successors or assigns of any obligation to pay any connection, installation, expansion or other fees, charges, or other expenses, including operation and maintenance expenses, required under any present or future established ordinances, rules, regulations and policies of CITY.

17. ASSIGNMENT: The performance of the agreement may not be assigned except upon the written consent of CITY. Consent will not be given to any proposed assignment which would relieve DEVELOPER, or DEVELOPER'S sureties of their responsibilities under the agreement unless CITY finds that assignee can perform this agreement and provide security comparable to that provided by DEVELOPER.

18. NOTICE: All notices required hereunder shall be deemed served or given upon the earlier of actual receipt or deposit in the U.S. Postal Service, first class postage prepaid, addressed to DEVELOPER at the address set forth below, to the surety at the address in the security instrument, and to CITY at 69-825 Highway 111, Rancho Mirage, California 92270.
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CITY OF RANCHO MIRAGE

SUBDIVISION IMPROVEMENT AGREEMENT SIGNATURE REQUIREMENTS

(Limited Partnership / General Partnership / Corporation)

1. WHERE PRINCIPAL IS A LIMITED PARTNERSHIP

A. General Partner shall execute on behalf of the limited partnership.

B. General Partner shall furnish City of Rancho Mirage a copy of the recorded Certificate of Limited Partnership to authenticate the authority of the General Partner to sign on behalf of the limited partnership.

2. WHERE PRINCIPAL IS A GENERAL PARTNERSHIP

A. General Partner shall execute on behalf of general partnership.

B. General Partner shall furnish City of Rancho Mirage a copy of the General Partnership Agreement authenticating that the General Partner who signs the document has authority to do so.

3. WHERE PRINCIPAL IS A CORPORATION

A. Officer or officers shall execute on behalf of corporation.

B. Officers shall furnish City of Rancho Mirage a copy of a corporate resolution indicating that the officer or officers who sign the document are the officers of the corporation and authorized to bind the corporation to contract. Corporation requires two signatures.

For example, John Doe may sign on behalf of either partner-ship or the corporation as the General Partner and/or president thereof, but then, in addition, John Doe is required to sign the document individually as an individual obligor.

4. WHERE PRINCIPAL IS A LIMITED LIABILITY COMPANY (LLC)

A. Agreement may be executed as follows:

1. By any member, unless the articles of organization or operating agreement provide otherwise;

2. By any manager; if LLC is manager-managed, unless the articles of organization or operating agreement provide otherwise; or

3. By any officer, if the operating agreement provides for the appointment of officers, unless the articles of organization or operating agreement provide otherwise.

B. The individual(s) executing the agreement shall provide certified copies of the LLC’s articles of organization and operating agreement.

By:
(Authorized Representative of CITY)
Ted Weill , Mayor
By:

Approved as to form:

Address:

By:

Steven B. Quintanilla, City Attorney

ATTEST:
______________________________________

Telephone No.

By:

Kristie Ramos, City Clerk Address:

______________________________________

Telephone:

(SEAL IF CORPORATION)
By:

Address:

______________________________________

Telephone No.

(SIGNATURES MUST BE NOTARIZED)

(Seal: Partnership/Corporation)

DEVELOPER:

N:\RNCH\0007-13 General Matters \Forms\Subdivision Improvement Agreement Template wi th All Schedules (05.01.15).doc

12 SCHEDULE A

SUBDIVISION IMPROVEMENT AGREEMENT

This schedule is attached to and made a part of the Subdivision Improvement Agreement between CITY and DEVELOPER for the above-referenced property.

1. Completion Date: _______________

2. General Liability
$1,000,000 Each Occurrence (Includes Bodily Injury and Property Damage) $1,000 Medical Expense
$1,000,000 Personal & Advertising Injury
$2,000,000 General Aggregate
$2,000,000 Products-Completed/Operations Aggregate

Automobile Liability
Combined Single Limit $1,000,000 each accident, $2,000,000 Aggregate Workers Compensation Statutory

3. Approved Security Amounts:
(To be posted prior to acceptance of improvements)

Grading Bond (Total Security minus Cash Deposit) $ 228,024.00 Performance (On-site) (100%) $ 728,722.00
Payment (On-site) (50%) $ 364,361.00
Performance (Off-site) (100%) $ N/A
Payment (Off-site) (50%) $ N/A

4. Bond Substitute Acceptable: Yes No

5. Deposit/Fee Amount See attachment to this schedule

6. Warranty/Performance (15%)
Security Amount: ............................................. $ 109,308.00 (To be in place at acceptance of work)

7. Contractor(s):

CLASS A
Name and Address License No. Phase of Work
Reimbursement: $N/A
(If an amount is specified, see separate
schedule.)

( ) Initials of CITY REPRESENTATIVE ( ) Initials of DEVELOPER or ( ) DEVELOPER REPRESENTATIVE

DEVELOPER Date

13 ATTACHMENT TO SCHEDULE A

OF SUBDIVISION IMPROVEMENT AGREEMENT

Applicable fees/deposits payable by DEVELOPER prior to or concurrent with this agreement are as follows:

FEES NONREFUNDABLE

Plan Check Fee
(Final Map, Grading Plan, Street Improvement Plan
& Hydrology Study)
$ 5,242.00
Inspection Fees
(Grading, Onsite/Offsite Improvements, & PM10)
$ 29,794.30
Parkland Fees $ 1,234.35
Final Map Filing Fee $ 352.00
CFD Annex Fee $ 3,126.00
TOTAL NONREFUNDABLE FEES $ 39,748.65

FEES REFUNDABLE

Cash Grading Deposit $ 20,000.00

TOTAL REFUNDABLE DEPOSITS $ 20,000.00

In accordance with Section 7 of this agreement, costs incurred by CITY in excess of deposit shall be billed to DEVELOPER; if less, CITY will refund.

( ) Initials of CITY REPRESENTATIVE ( ) Initials of DEVELOPER ( ) DEVEOPER REPRESENTATIVE

DEVELOPER Date

14 ATTACHMENT TO SCHEDULE A

OF SUBDIVISION IMPROVEMENTAGREEMENT

SECURITY CALCULATIONS

Onsite Improvements
Street Improvements (paving, curb and gutter,
driveway approaches, pavers, utility installation,
entry area improvements) $ 237,765.00
Water and Sewer $ 97,848.00
Storm Drain Improvements $ 298,059.00
Subtotal $ 633,672.00
(+) 15% contingency $ 95,050.00
Total Performance Bond (onsite improvements) $ 728,722.00

Offsite Improvements
N/A
Total Performance Bond (offsite improvements) N/A

Payment Bond = 50% of Pe rformance Bond
Total Payment Bond (onsite improvements) $ 364,361.00 Total Payment Bond (offsite improvements) N/A

Warranty Bond = 15% of Performance Bond $ 109,308.00

Monumentation Bond $ 10,000.00

Estimate for Inspection Fees
Inspection Fees Due $ 26,641.02
Grading Inspection Fee (5.05 acres)

$ 1,300.00
PM10 Inspection Fee

$ 1,853.28

Total Inspection Fees
$ 29,794.30
(previously paid)

BOND NO.:______
BOND FEE:______

SCHEDULE B
BOND

PERFORMANCE SECURITY

SURVEY OF MONUMENTS

Map No. 37182

(California Government Code §§ 66499 and 66499.1)

WHEREAS, the City Council of the City of Rancho Mirage, a municipal corporation and political subdivision of the State of California ("City") and Black Gold Builders Group Inc. ("Principal"), a California corporat ion, have entered into an agreement pursuant to California Government Code Section 66462 whereby Principal agrees to install and complete certain designated improvements, which said agreement, dated _____________ _, and identified as Subdivision Improvement Agreement 37182 (“Agreement”), is hereby incorporated by this reference as though set forth at length, and have agreed pur suant to Section 66499 of the Government Code to execute this bond to secure the performance of the following obligation:

Principal hereby agrees to install survey monuments in accordance with any terms and conditions set forth in the Agreement, permit and the requirements and specifications of all applicable laws and ordinances. Said installation shall be completed on or before _________________, 20___, or as otherwise provided by any lawful extension of time granted by the City Council.

WHEREAS, we, the Principal and ____________________________, as surety (“Surety”), a re held and firmly bound unto the City, in the penal sum of Ten Thousand U.S.

Dollars and Zero Cents ($ 10,000.00) lawful money of the United States, for the payment of which sum well and truly to be made, we bind ourselves, our heirs, successors, executors, and administrators, jointly and severally, firmly by these presents.

WHEREAS, should Principal fail to install survey monuments in accordance with any terms and conditions set forth in the Agreement, permit and the requirements and specificatio ns of all applicable laws and ordinances and/or should Principal fail to complete said installation of survey monuments within the time period prescribed therein or otherwise provided by any lawful extension of time granted by the City Council, the City may, at its option, cause all required work to be done in the manner required herein, and the parties executing this bond shall be firmly bound for the payment of all necessary costs therefore.

NOW, THEREFORE, we, the Principal and Surety, are held and fir mly bound unto the City, in the penal sum of Ten Thousand U.S. Dollars and Zero Cents ($10,000.00) lawful money of the United States, for the payment of which sum well and truly to be made, we bind ourselves, our heirs, successors, executors, and administrators, j ointly and severally, firmly by these presents.

The condition of this obligation is such that if the above bounded Principal, his or its heirs, executors, administrators, successors , or assigns, shall in all things stand to and abide by, and well and truly keep and perform the foregoing work, on his or their part, to be kept and performed at the time and in the manner specified above, and in all respects according to their true intent and meaning, and shall indemnify and save harmless the City, its officers, agents and employees, as therein stipulated, then this obligation shall become null and void; otherwise it shall be and remain in full force and effect , at least until the time City accepts the work required to be performed by Principal under t he Agreement, notwithstanding whether or not Principal should abandon its obligations under the Agreement without having commenced construction of any improvements and whether such abandonment arises from foreclosure upon Principal’s property or otherwise.

As pa rt of the obligation secured hereby and in addition to the face amount specified therefore, there shall be included costs and reasonable expenses and fees, including reasonable attorney’s fees, incurred by the City in successfully enforcing such obligation , all to be taxed as costs and included in any judgment rendered.

Surety hereby stipulates and agrees that no change, extension of time, alteration, or addition to the work to be performed hereunder or the specifications accompanying the same shall in anywise affect its obligations on this bond, and it does hereby waive notice of any such change, extension of time, alteration, or addition to the scope of work to be performed or to the specifications.

[THIS PORTION OF PAGE INTENTIONALLY LEFT BLANK]

IN WITNESS WHEREOF, this instrument has been duly executed by Principal and Surety named herein, on ________________, 20___.

APPROVED AS TO CONTENT:

________________________________
Signature
________________________________
Name, Title
________________________________
City

PRINCIPAL

_____________________________
Company
_____________________________
Address
_____________________________
Signature
_____________________________
Name
_____________________________
Title

APPROVED AS TO FORM:

________________________________
Signature
________________________________
Name, Title
________________________________
City

SURETY

_____________________________
Company
_____________________________
Address
_____________________________
Signature
_____________________________
Name
_____________________________
Title

*Note: Principal and Surety’s
signatures must be notarized and 3
originals must be executed.

SUBDIVISION DOCUMENTS \Bond - Monument (10.06.09).doc
BOND N
O.:_______
BOND FEE:_______
BOND
P

ERFORMANCE SECURITY

GRADING
M
ap No. 37182
(
California Government Code §§ 66499 and 66499.1)
W HEREAS , the City Council of the City of Rancho Mirage, a municipal corporation and political subdivision of the State of California (“City”) and Black Gold Builders Group Inc. (hereinafter " Principal"), a California corporation, have entered into an agreement pursuant to California Government Code Section 66462 whereby Principal agrees to install and compl ete certain designated improvements, which said agreement, dated _________________, and identified as Subdivision Improvement Agreement 37182 (“Agreement”), is hereby incorporated by this reference as though set forth at length, and have agreed pursuant to Section 66499 of the Government Code to execute this bond to secure the performance of the following obligation:

P
rincipal hereby agrees to conduct its grading activities in accordance with the plans and specifications prepared by Coachella Valley Engineers, registered Civil Engineer, the terms and conditions set forth in the grading permit issued by the Office of the Civil Engineer of the City, and all applicable laws and ordinances.

WHEREAS, we, the P rincipal and ____________________________________, as surety (“Surety”), are held and firmly bound unto the City, in the penal sum of Two Hundred Twenty Eight Thousand Twenty Four U.S. Dollars and Zero Cents ($ 228,024.00) lawful money of the United St ates, for the payment of which sum well and truly to be made, we bind ourselves, our heirs, successors, executors and administrators, jointly and severally, firmly by these presents.

WHEREAS, should Principal fail to conduct its grading activ ities in accor dance with the plans and spec ifications prepared by Coachella Valley E ngineers, registered Civil Engineer, the ter ms and conditions set forth in the grading permit issued by the Office of the Civil Engineer of the City, the Agreement, and all applicable laws and ordinances, the City may, at its option, cause all required work to be done in the m anner required her ein and the parties executing this bond shall be firmly bound for the payment of all necessary costs therefor.

NOW THEREFORE, we, the Principal and Surety, are held and firmly bound unto the City, in the penal sum of Two Hundred Twenty Eight Thousand Twenty Four U.S. Dollars and Zero Cents ($228,024.00) lawful money of the United States, for the payment of which sum well and truly to be made, we bind ourselves, our heirs, succe ssors, executors a nd administrators, jointly and severally, firmly by these presents.

The condition of this obligation is such that if the above bounded principal, his or its heirs, executors, administrators, successors or assigns , shall in all things stand to and abide by, and well and truly keep and perform the foregoing activity, on his or their part, to be kept and performed at the time and in the manner specified above, and in all respects according to their true intent and meaning, and shall indemnify and save harmless the City, its officers, agents and employees, as therein stipulated, then this obligation shall become null and void; otherwise it shall be and remain in full force and effect , at least until the time City accepts the work required to be performed by Principal under the Agreement, notwithstanding whether or not Principal should abandon its obligations under the Agreement without having commenced construction of any improvements and whether such abandonment arises from foreclosure upon Principal’s property or otherwise.

As part of the obligation secured hereby and in addition to the face amount specified therefore, there shall be included costs and reasonable expenses and fees, including reasonable attorney’s fees, incurred by the Ci ty in successfully enforcing such obligation, all to be taxed as costs and included in any judgment rendered.

Surety hereby stipulates and agrees that no change, extension of time, alteration, or addition to the work to be performed hereunder or the specifications accompanying the same, or any matters unknown to Surety which might affect Surety’s risk, shall in anywise affect its obligations on this bond, and it does hereby waive notice of any such change, extension of time, alteration or addition to the scope of the work to be performed or to the specifications.

[THIS PORTION OF PAGE INTENTIONALLY LEFT BLANK]

IN WITNESS WHEREOF, this instrument has been duly executed by Principal and Surety named herein, on ________________, 20__.

APPROVED AS TO CONTENT:

________________________________
Signature
________________________________
Name, Title
________________________________
City

PRINCIPAL

_____________________________
Company
_____________________________
Address
_____________________________
Signature
_____________________________
Name
_____________________________
Title

APPROVED AS TO FORM:

________________________________
Signature
________________________________
Name, Title
________________________________
City

SURETY

_____________________________
Company
_____________________________
Address
_____________________________
Signature
_____________________________
Name
_____________________________
Title

*Note: Principal and Surety’s
signatures must be notarized and 3
originals must be e xecuted.

SUBDIVISION DOCUMENTS \Bond - Grading (10.06.09).doc

BOND NO.:______
BOND FEE:______
BOND

PERFORMANCE SECURITY

SUBDIVISION IMPROVEMENTS (ON-SITE)

Map No. 37182

(California Government Code §§ 66499 and 66499.1)

WHEREAS, the City Council of the City of Rancho Mirage, a municipal corporation and political subdivision of the State of California ("City") and Black Gold Builders Group Inc., a California corporat ion ("Principal"), have entered into an agr eement pursuant to California Government Code Section 66462 whereby Principal agrees to install and complete certain designated improvements, which said agreement, dated _________________, and identified as Subdivision Improvement Agreement 37182 (“Agreement”), is hereby incorporated by this reference as though set forth at length; and

WHEREAS, under the terms of said Agreement, Principal is required before commencing performance of the work, to file a good and sufficient bond for the fai thful performance of said Agreement; and

WHEREAS, __________________________ (“Surety”) is a ________________ and duly licensed to conduct general surety business in the State of California.

NOW, THEREFORE, we, Principal and S urety, are held f irmly bound unto the City in the performance of the aforesaid A greement in the penal sum of Seven Hundred Twenty Eight Thousand Seven Hundred Twenty Two U.S. Dollars and Zero Cents ($728,722.00) lawful money of the United States, for the payment of which s um well and trul y to be made, we bind ourselves, our heirs, successors, executors, and administrators, jointly and severally, firmly by these presents.

The condition of this obligation is such that if Principal, its heirs, executors, administrators, succ essors, or assigns, shall in all t hings to and abide by, and well and truly keep and perform the covenants, conditions and provisions in the said Agreement and any alteration thereof made as therein provides, on his or her part, to be kept and performed at the time and in the manner therei n specified, and in all respects according to their true intent and meaning, and shall indemnify and save harmless the City, its officers, agents and employees, as therein stipulated, then this obligation shall become null and void; otherw ise it shall be and remain in full force and effect at least until the time City accepts the work required to be performed by Principal under the Agreement, notwithstanding whether or not Principal should abandon its obligations under the Agreement without having commenced construction of any improvements and whether such abandonment arises from foreclosure upon Principal’s property or otherwise.

As part of the obligation secured hereby and in addition to the face amount specified therefore, there shall be included costs and reasonable expenses and fees, including reasonable attorney’s fees, incurred by the City in successfully enforcing such obligation, all to be taxed as costs and included in any judgment rendered.

Surety hereby stipulates and agrees that no change, extension of time, alteration, or addition to the terms of said Agreement or the work to be performed thereunder or the specifications accompanying the same shall in any manner affect its obligations on this bond, and it does hereby waive notice of any such change, extension of time, alteration, or addition to the terms of the Agreement or to the work or to the specifications.

[THIS PORTION OF PAGE LEFT INTENTIONALLY BLANK]

IN WITNESS WHEREOF , this instrument has been dul y executed by Princ ipal and Surety named herein, on ________________, 20__.

APPROVED AS TO CONTENT:

________________________________
Signature
________________________________
Name, Title
________________________________
City

PRINCIPAL

_____________________________
Company
_____________________________
Address
_____________________________
Signature
_____________________________
Name
_____________________________
Title

APPROVED AS TO FORM:

_____________________________
Signature
_____________________________
Name, Title
_____________________________
City
SURETY

_____________________________
Company
_____________________________
Address
_____________________________
Signature
_____________________________
Name
_____________________________
Title

Note: Principal and Surety’s
signatures must be notarized and 3
originals must be executed.

Subdivision Improvements On- Site (10.06.09).doc

BOND NO.:______
BOND FEE:______
BOND

PERFORMANCE SECURITY

GUARANTEE REPAIR AND MAINTENANCE OF ALL IMPROVEMENTS

Map No. 37182

(California Government Code §§ 66499 and 66499.1)

WHEREAS, the City Council of the City of Rancho Mirage, a municipal corporation and political subdivision of the State of California (hereinafter “City”), and Black Gold Builders Group Inc. (hereinafter "Principal"), a California corporation, have entered into an agreement pursuant to California Government Code Section 66462 whereby Principal agrees to install and complete certain designated improvements, which said agreem ent, dated _______________, and identified as Subdivision Improvement Agreement 37182 (“Agreement”), is hereby incorporated by this reference as though set forth at length, and have agreed pursuant to Section 66499 of the Government Code to execute this bond to secure the performance of the following obligation:

Principal hereby agrees to guarantee the material and workmanship relative to the installation of all improvements in and adjoining subject property against all defects and to promptly perform work and supply material as required by the City which are needed to repair or replace such defective work and material.

WHEREAS, we, the Principal and ______________________, as surety (“Surety”), are held and firmly bound unto the City, in the penal sum of One Hundred Nine Thousand T hree Hundred Eight U.S. Dollars and Zero Cents ($109,308.00) lawful money of the United States, for the payment of which sum well and truly to be made, we bind ourselves, our heirs, successors, executors and administrators, jointly and severally, firmly by these presents.

WHEREAS, should Principal fail to promptly repair and replace materials or work required to be done by it and in accordance with the Agreem ent and all applicable laws and ordinances and/or should Principal fai l to complete said repair and replacement work within the time allowed by the City, the City may, at its option, cause all required work to be done in the manner required herei n and the parties executing this bond shall be firmly bound for the payment of all necessary costs therefore.

NOW THEREFORE, we, the Principal and Surety, are held and firmly bound unto the City, in the penal sum of One Hundred Nine Thousand Three Hundred Eight U.S.

Dollars and Zero Cents ($109,308.00) lawful money of the United Stat es, for the payment of which sum well and truly to be made, we bind ourselves, our heirs, successors, executors and administrators, jointly and severally, firmly by these presents.

Surety shall guarantee replacement and repair of improvements for a period of one (1) year following final acceptance of said improvements.

The condition of this obligation is such that if the above bounded Principal, his or its heirs, executor s, administrators, successors or assigns, shall in all things stand to and abide by, and well and truly keep and perform the foregoing activity, on his or their part, to be kept and performed at the time and in the manner specified above, and in all respects accordi ng to their true intent and meaning, and shall indemnify and save harmless the City, its officers, agents and employees, as therein stipulated, then this obligation shall become null and void; otherwise it shall be and remain in full force and effect, at l east until the time City accepts the work required to be performed by Principal under the Agreement, notwithstanding whether or not Principal should abandon its obligations under the Agreement without having commenced construction of any improvements and w hether such abandonment arises from foreclosure upon Principal’s property or otherwise.

As part of the obligation secured hereby and in addition to the face amount specified therefore, there shall be included costs and reasonable expenses and f ees, including reasonable attorney’s fees, incurred by the City in successfully enforcing such obligation, all to be taxed as costs and included in any judgment rendered.

[THE REMAINDER OF THIS PAGE INTENTIONALLY LEFT BLANK]

IN WITNESS WHEREOF, this instrument has been duly executed by the Principal and Surety above named, on ____________, ___, 20__.

APPROVED AS TO CONTENT:

________________________________
Signature
________________________________
Name, Title
________________________________
City

PRINCIPAL

_____________________________
Company
_____________________________
Address
_____________________________
Signature
_____________________________
Name
_____________________________
Title

APPROVED AS TO FORM:

______________________________
Signature
______________________________
Name, Title
______________________________
City

SURETY

_____________________________
Company
_____________________________
Address
_____________________________
Signature
_____________________________
Name
_____________________________
Title

*Note: Principal and Surety’s
signatures must be notarized and 3
originals must be executed.

SUBDIVISION DOCUMENTS \Bond - All Improvements (10.06.09).doc

BOND NO.:______
BOND FEE:______
BOND

PAYMENT SECURITY

LABOR AND MATERIAL (ON-SITE)

Map No. 37182

(California Government Code §§ 66499 and 66499.2)

WHEREAS, the City Council of the City of Ranc ho Mirage, a municipal corporation and political subdivision of the State of California ("City") and Black Gold Builders Group Inc., a Californ ia corporation ("Principal"), have entered into an agreement pursuant to California Government Code Section 66462 whereby Principal agrees to install and complete certain designated improvements, which said agreement, dated ________________, and identified as Subdivision Improvement Agreement 37182 (“Agreement”), is hereby incorporated by this reference as though set forth at length; and

WHEREAS, under the terms of said Agreement, Principal is required before commencing performance of the work, to file a good and sufficient payment bond with the City to secure claims to which reference is made in Title 15 (commencing with Section 3082) of Part 4 of Division 3 of the Civil Code; and

WHEREAS, _______________________ (“Surety”) is a ___________________ and duly licensed to conduct general surety business in the State of California.

NOW, THEREFORE, Principal and Surety, their heirs, representatives, successors and assigns, jointly and severally, are held firmly bound unto the City and all contractors, subcontractors, laborers , material men and other persons employed in the performance of the aforesaid Agreement and referred to in Title 15 (commencing with Section 3082) of Part 4 of Division 3 of the Civil Code in the sum of Three Hundred Sixty Four Thousand Three Hundred Sixty One U.S. Dollars and Zero Cents ($364,361.00) lawful money of the United States for material furnished or labor thereon of any kind, or for amounts due under the Unemployment Insurance Act with respect to such work or labor, that Surety will pay the s ame in an amount not exceeding the amount herein above set forth, and also in case suit is brought upon this bond, will pay, in addition to the face amount thereof, costs and reasonable attorney’s fees, incurred by the City in successfully enforcing such obligation, to be awarded and fixed by the court, and to be taxed as costs and to be included in the judgment therein rendered.

Surety agrees that it shall pay the amounts due City and diligently perform the Agreement upon Principal's default after notice and within the time specified in the Agreement. If Surety fails to perform within the times speci fied in the Agreement, Surety shall promptly on demand deposit with City such amount as City may reasonably estimate as the cost of completing all of Principal's oblig ations. Surety's obligation for payment herein shall extend, notwithstanding any controversy between Principal and City regarding Principal's failure under the A greement. Principal and Surety agree that any payment by Surety pursuant to this paragraph should be conclusively presumed between

the parties herein to relieve, as demanded, Surety's obligation herein and shall be deemed proper payment as between Principal and Surety.

It is hereby expressly stipulated and agreed that this bond shall inure to the benefit of any and all persons, companies and corporations entitled to file claims under Title 15 (commencing with Section 3082) of Part 4 of Division 3 of the Civil Code, so as to give a right of action to them or their assigns in any suit brought upon this bond.

Should the condition of this bond be fully performed, then this obligation shall become null and void; otherwise it shall be and remain in full force and effect , at least until the time City accepts the work required to be performed by P rincipal under the Agreement, notwithstanding whether or not Principal should abandon its obligat ions under the Agreement without having commenced construction of any improvements and whether such abandonment arises from foreclosure upon Principal’s proper ty or otherwise.

Surety hereby stipulates and agrees that no change, extension of time, alteration, or addition to the terms of said Agreement or the specifications accompanying the same shall in any manner affect its obligations on this bond, and it does hereby waive notice of any such change, extension of time, alteration, or addition to the terms of the Agreement or to the work or to the specifications.

[THIS PORTION OF PAGE LEFT INTENTIONALLY BLANK]

IN WITNESS WHEREOF, this instrument has been duly executed by Principal and Surety named herein, on ________________, 20__.

APPROVED AS TO CONTENT:

________________________________
Signature
________________________________
Name, Title
________________________________
City

PRINCIPAL

_____________________________
Company
_____________________________
Address
_____________________________
Signature
_____________________________
Name
_____________________________
Title

APPROVED AS TO FORM:

________________________________
Signature
________________________________
Name, Title
________________________________
City

SURETY

_____________________________
Company
_____________________________
Address
_____________________________
Signature
_____________________________
Name
_____________________________
Title

*Note: Principal and Surety’s
signatures must be notarized and 3
originals must be executed.

SUBDIVISION DOCUMENTS \Bond - Labor and Material On- Site (10.06.09).doc

CERTIFICATION OF ACCURATE INSURANCE INFORMATION

I certify (or declare) under the penalty of perjury under the laws of the State of California that all the information contained in the insurance certificate attached hereto is true and correct, and that I make such representation knowingly based on my own independent investigation and verifi cation of the information stated therein. Furthermore, I acknowledge and agree that communicating or conveying information in a written instrument to the C ity of Rancho Mirage or to any offic er, employee or agent thereof for the purpose of obtaining any m inisterial or discretionary permit, entitlement, license or privilege that I know is false or misleading is a misdemeanor punishable by fine up to one thousand dollars ($1,000) and/or up to si x (6) months in jail , and in addition, shall render such permit, entitlement, license or privilege null and void. Rancho Mi rage, Cal., Municipal Code §§9.12.010-9.12.020, 14.110.100.

_____________ _______________
(Date) (Signature)

SCHEDULE “C”
C

ERTIFICATE OF EXEMPTION

FROM WORKERS' COMPENSATION INSURANCE
I certify that, in the performance of the work required under the Subdivision Improvement Agreement , _____________________________, I shall not employ any person in any manner so as to become subject to the workers’ compensation laws of California, and agree that if I should become subject to the workers’ compensation provisions of the California Labor Code, I shall forthwith comply with those provisions. ___________________________________ Date: _______________, 2022 N
ame & Signature

AGENDA ITEM #

STAFF REPORT

TO: Mayor and City Council DATE: July 21, 2022

FROM: Jessica L. Pulliam, Sr. Management Analyst
Isaiah Hagerman, City Manager

SUBJECT: Turf Rebate Program Modification

SPECIFIC REQUEST OR RECOMMENDATION

That the City Council approve a modification to the Rancho Mirage Turf Rebate Program in Partnership with the Coachella Valley Water District and approval of an additional $750,000 allocation to the program, and authorize the City Manager, or designee, to take all further actions to implement the same, including approving and executing all associated agreement(s), approved as to form by the City Attorney.

JUSTIFICATION OR INFORMATION

BACKGROUND

In May of 2022, the California State Water Resources Control Board adopted a new emergency water conversation regulation to ensure a more aggressive approach to saving water, including a ban on the watering of nonfunctional turf. Regulation required water agencies to activate “Level 2" of their Water Shortage Contingency Plans, which assumes up to a 20% water shortage, which the Coachella Valley Water District (CVWD) Board of Directors adopted at their June 14, 2022, meeting. As of June 10, 2022, the state ban on watering non-functional turf went into effect and additional actions such as the prohibiting of spray irrigation duri ng daylight hours and restaurants only serving water on request went into effect on June 14, 2022.

The CVWD has continued to encourage customers to reduc e their water use, especially outdoors, where the biggest water savings can be achieved. This includes fixing leaks immediately, applying for conservation rebates such as their $3 per square foot turf conversion program, irrigating more efficiently, and eliminating water waste.

The City of Rancho Mirage has long supported the reduction of water usage and has encouraged the removal of turf and conversion to more drought tolerant landscaping through two prior Rancho Mirage Turf Rebate Program s which ran in 2011 and 2016 and then the most recent which was approved by Council on July 7, 2022 with an initial budget of $500,000.

DATE: July 21, 2022 Page 2 of 2
Modify Turf Rebate Program

JUSTIFICATION OR INFORMATION CONTINUED:

AGENDA ITEM #

The current program provides a matching rebate of $3 per sq. ft. for all Rancho Mirage CVWD turf conversion rebate completed projects through a partnership with CVWD; providing our residents and HOAs/Commercial a total of $6 per sq. ft., per project, for living turf removal. In addition, a direct rebate is available through the City for those projects that are required to utilize a landscape architect with a reimbursement of up to $6,000 per project.

The current program has exceeded all expectations with over 175,000 sq. ft. of proje cts submitted to date. The unanticipated demand of pending projects has placed a reserve on the initially allocated budget.

INFORMATION

It is proposed that the City consider allocating an additional $750,000 to the Rancho Mirage Turf Rebate Program, if approved, this would bring the total program to $1.25 million and would result in the conversion of approximately 550,000 sq. ft. of living turf to more drought tolerant landscaping. Of the additional $750,000 it is proposed to reserve $350,000 for residential and $200,000 for HOA/commercial projects at the current matching $3 per sq. ft. rebate with the remaining $200,000 available upon depletion of theses reserved amounts at a reduced C ity contribution of $1 per sq. ft. for HOA/commercial applications.

CVWD is willing to continue to collaborate with the City of Rancho Mirage to continue to fund their portion of the rebate.

FISCAL IMPACT

This program is requested to have an additional $750,000 allocation, to be paid out of the 2022 budget surplus and will require a budget adjustment to the general fund. A ny future funding requests will be presented to the City Council for approval. This will bring the turf rebate program to a total of $1.25 million.

RECOMMENDATION

Rancho Mirage City CouncilJuly 21, 2022

Rancho Mirage City Council
July 21, 2022