SUBDIVISION IMPROVEMENT AGREEMENT BETWEEN
THE CITY OF RIAL TO
AND
ADC Rialto BFR, LLC
Agreement Date: June 26th 2025 -----------------
Subdivider Name: ADC Rialto BFR, LLC (hereinafter "Subdivider") Subdivision Name: Althea (hereinafter "Subdivision") ---------------- Tract No.: 20685 (No. of Lots: 20 )------ -----
Tentative: TRACT ----- ----- (hereinafter "Approved Tentative Map") Map No.: 20685 (Appro
val Date: ________ )
Improvement Plans Approved On: on or about4/21/25 ----------- Estimated Total Cost of Improvements: $ 295,882.25 --------- (Including Streets, Sanitary Sewer, Water, FDC )
(hereinafter "Plans")
Estimated Total Cost of Monumentation: $ 19, ooo (Based upon the Plans, including Individual lots, subdivision boundary and public improvements) Security:
Bond Nos.: TIC016118, TIC016117
Surety: Trisura
-OR-
Irrevocable Standby Letter of Credit No.:
Fin an c i a I Institution:
-OR-
------------
Cash/Certificate of Deposit, Agreement Dated: --------- Fin an c i a I Institution:
Designees for the Service of Written Notice:
CITY: SUBDIVIDER:
City Engineer Name: ADC Rialto BFR, LLC
City of Rialto Address: PO Box 9559 Alta Loma CA 91701
150 S. Palm Avenue
Rialto, CA 92376 Phone: 951-231-7206
Phone: (909) 820-2602
CITY PROJECT INSPECTOR: SURETY:
City of Rialto Name: Trisura,
2 Stamford Plaza, Ste 1504
Public Works Department Address: 281 Tresser Blvd, Stamford, CT 06901 335 W. Rialto Avenue Acrisure, 26 Plaza Square Ste. 200, Orange, CA 92866 Rialto, CA 92376 Phone: DBA: Rohm Insurance Agency, LLC Phone: (909) 421-7294 714-516-2971, 203-545-0690
II
SUBDIVISION IMPROVEMENT AGREEMENT
THIS SUBDIVISION IMPROVEMENT AGREEMENT (this "Agreement") is entered into this _____ day of _______ , 20�, by and between the CITY OF RIAL TO, a municipal corporation, organized and existing in the County of San Bernardino, under and by virtue of the laws of the State of California, ("CITY"), and Aoc Rialto BFR, LLc , a ___________ (Subdivider").
RECITALS
A. Subdivider is the owner of, and has obtained approval of a subdivision map identified as Tentative (Tract/Parcel) Map No. 20685 , (the "Map"), located in the City of Rialto, County of San Bernardino, State of California (the "Property"), as described on Exhibit "A". The Map requires Subdivider to comply with certain conditions of approval for the development of the Property (the "Conditions") as described on Exhibit "B".
B. Pursuant to the Conditions, Subdivider, by the Map, has offered for dedication to City for public use of the streets and easements shown on the Map. City desires to accept the streets and easements shown on the Map for public use, and certain other improvements described in this Agreement.
C. Subdivider has delivered to City, and City has approved, plans and specifications and related documents for certain "Works of Improvement" (as hereinafter defined) which are required to be constructed and installed in order to accommodate the development of the Property.
D. Subdivider's agreement to construct and install the Works of Improvement pursuant to this Agreement and its offer of dedication of the streets, easements and other improvements and facilities, as shown on the Map, are a material consideration to City in approving (Final Tract ) Map No. 20685 for the Property and permitting development of the Property to proceed.
COVENANTS
Based upon the foregoing Recitals which are incorporated herein by reference and in consideration of City's approving the Map for the Property and permitting development of the Property to proceed, Subdivider agrees to timely perform all of its obligations as set forth herein.
1. Construction Obligations.
1.1. Works of Improvement. Subdivider agrees, at its sole cost and expense, to construct or install, or cause to be constructed or installed the street, drainage, domestic water, sanitary sewer, street lighting, landscaping, utility, and other improvements (the "Works of Improvement"), as the same may be supplemented and revised from time to time as set forth in this Agreement (said plans and specifications, together with all related documents, the "Plans"). The estimated construction cost for the Works of Improvement is $ 29s,ss2.2s
Subdivision Improvement Agreement Page 1 of 22 Revised 6/17/25
(i) A Security Instrument securing Subdivider's faithful performance of all of the Works of Improvement ("Faithful Performance Security Instrument"), in the amount of $ 295,882.25 equal to 100% of the estimated construction cost referenced in Section 1.1. (ii) A Security Instrument guaranteeing the payment to contractors, subcontractors, and other persons furnishing labor, materials, and/or equipment ("Labor and Materials Security Instrument") with respect to the Works of Improvement in an amount equal to $ 295,882.25 equal to 100% of the estimated construction cost referenced in Section 1.1 . (iii) A Security Instrument guaranteeing the payment of the cost of setting monuments as required in Section 1.4 in the amount of $19,000.00 ------ equal to 100% of the cost thereof.
This Agreement shall not be effective for any purpose until such Security Instruments are supplied to and approved by City in accordance herewith. (b) Required Security Instrument for Maintenance and Warranty. Prior to the City Council's acceptance of the Works of Improvement and recordation of a Notice of Completion, Subdivider shall deliver a Security Instrument warranting the work accepted for a period of one (1) year following said acceptance ("Maintenance and Warranty Security Instrument"), in the amount of $29,588.22 equal to 10% of the estimated construction cost set forth in Section 1.1 or a suitable amount determined by the City Engineer.
4.2. Form of Security Instruments. All Security Instruments shall be in the amounts required under Section 4.1 (a) or 4.1 (b), as applicable, shall meet the following minimum requirements and otherwise shall be in a form provided by City or otherwise approved by the City Attorney:
(a) Bonds. For Security Instruments provided in the form of bonds, any such bond must be issued and executed by an insurance company or bank authorized to transact surety business in the State of California. Any insurance company acting as surety shall have a minimum rating of A-IX, as rated by the current edition of Best's Key Rating Guide published by A.M. Best's Company, Oldwick, New Jersey, 08858. Any bank acting as surety shall have a minimum rating of AA, as rated by Moody's or Standard & Poor's.
(b) Letters of Credit. For Security Instruments which are letters of credit, any letter of credit shall be an original separate unconditional, irrevocable, negotiable and transferable commercial letter of credit issued by a financial institution with offices in the State of California acceptable to City. Any such letter of credit shall specifically permit City to draw on same by unilateral certification of the City Engineer of the City that Subdivider is in default under its payment or performance obligations hereunder or in the event Subdivider fails to deliver a replacement letter Subdivision Improvement Agreement Page 8 of 22 Revised 6/17/25
EXHIBIT "A"
TRACT MAP 20685 LEGAL DESCRIPTION
Tract Map No. 20685, as recorded in Map Book __ , Pages through __ inclusive, records of San Bernardino County, California.
Exhibit "A"