D2204.SR.JD
CITY OF SIMI VALLEY
MEMORANDUM
Febr
uary 28, 2022
TO: Cit
y Council
FR
OM: Department of Public Works
SUBJ
ECT: ADOPTION OF A RESOLU TION ACCEPTING THE FINAL
MAP, SUBDIVISION IMPROVEMENT AGREEMENT, AND
APPROVING SECURITIES FOR TRACT NO. 6019, LOCATED AT
2145 CALLAHAN AVENUE
STAFF RECOMMENDATION
It
is recommended that the City Council adopt Resolution No. 2022-10 (page 4) accepting the final map, Subdivision Improvement Agreement (page 6), and approving securities for Tract No. 6019, located at 2145 Callahan Avenue.
BACKGROUND AND OVERVIEW
The r
equested action provides City Council approval for the recording of the final map and assures construction of public improvements. Tract No. 6019 (Attachment A - Location Map, page 3 ) is comprised of 10 detached single-family residences, on a 1.97-acre site, located at 2145 Callahan Avenue. The owner of Tract No. 6019 is Vigorous W Development Co. LTD. Tract No. 6019 was approved by the City Council on January 13, 2020, by Resolution No. 2020-01.
FINDINGS AND ALTERNATIVES
Th
e City Engineer finds that the a greement and improvement securities are acceptable and conform to the Subdivision Map Act and local ordinances.
Th
e following alternatives have been identified for City Council consideration:
1. Adop
t Resolution No. 2022- 10 accepting the final map, Subdivision Improvement Agreement, and approving securities for Tract No. 6019, located at 2145 Callahan Avenue;
2. Not
adopt the attached resolution;
3. Pr
ovide staff with other direction.
St
aff recommends Alternative No. 1.
AGENDA I
TEM NO.
Consent (7)
D2204.SR.JD
SUGGESTED CITY COUNCIL MOTION
I move that the City Co uncil adopt Resolution No. 2022- 10 accepting the final map, Subdivision Improvement Agreement, and approvi ng securities for Tract No. 6019 , located at 2145 Callahan Avenue.
SUMMARY
Staff finds that Tract No. 6019 conforms to the Subdivision Map Act and local ordinances, and therefore recommends that the City Council adopt Resolution No. 2022-## accepting the final map, Subdivision Improvement Agreement and approving securities for Tract No. 6019, located at 2145 Callahan Avenue.
____________________________________
Ronald K. Fuchiwaki
Public Works Director
Prepared by Steve Benjamin, Senior Engineer
INDEX Page
Attachment A – Location Map ..................................................... 3 Resolution No. 2022-10 ............................................................... 4 Exhibit 1 – Subdivision Improvement Agreement ....................... 6
2 VICINITY MAP
LOCATION MAP
TR 6019
NOT TO SCALE
PROJECT SITE
TRACT 6019
CALLAHAN AVE
CALLAHAN AVE
ATTACHMENT A
3 D2204.RES.JD
RESOLUTION NO. 2022-10
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SIMI
VALLEY ACCEPTING THE FINAL MAP, SUBDIVISION
IMPROVEMENT AGREEMENT, AND APPROVING
SECURITIES FOR THE CONSTRUCTIO N OF PUBLIC
IMPROVEMENTS FOR TRACT NO 6019, LOCATED AT 2145
CALLAHAN AVENUE
WHEREAS, the tentative map for Tract No. 6019 was approved by the City Council on January 13, 2020, by Resolution No. 2020-01; and
WHEREAS, this approval was conditioned to require the developer to make certain public works improvements; and
WHEREAS, the City Engineer's Office has caused to be drawn up an agreement for construction of subdivision improvements (Subdivision Improvement Agreement), signed by the developer stating among other things, that construction of improvements will be completed within twenty-four (24) months of City Council approval, the form of which is attached as Exhibit 1 to the Staff Report accompanying this Resolution; and
WHEREAS, the City Engineer's Office has required the developer to post improvement securities for the faithful performance of said agreement, to guarantee the construction of the improvements, and to guarantee payment for provisions, materials, work and labor; and
WHEREAS, the City Engineer's Office has recommended that all improvement securities offered as security for labor and materials and for the faithful performance of the agreement be in an amount equal to one hundred percent (100%) of the estimated cost of the improvements or the act to be performed; and
WHEREAS, the City Engineer's Office has recommended that the amount of $20,280.00 for Tract No. 6019 is necessary for the guarantee and warranty of the work for a period of one year following the completion and acceptance thereof against any defective work or labor done, or defective materials furnished; and
WHEREAS, the developer has signed a letter addressed to the City Engineer stating that the developer's engineer will supervise the construction of work on this subdivision in accordance with the Business and Professions Code; and
WHEREAS, the City Engineer's Office has required the developer to post a Monument Surety to guarantee payment for the cost of setting property monuments.
4 RES. NO. 2022-10
D2117.RES.JD
NO
W, THEREFORE, THE CITY COUNCIL OF THE CITY OF SIMI VALLEY DOES HEREBY RESOLVE AS FOLLOWS:
S
ECTION 1. The City Council approves the amounts recommended for all improvement securities offered as security for faithful performance and for labor and materials in the amount of 100% of the estimated cost of the improvements or of the act to be performed.
SEC
TION 2. The City Council hereby approves the form of the Subdivision Improvement Agreement, and authorizes the execution thereof, as well as the associated securities agreements as approved by the City Manager and City Attorney or their designees.
S
ECTION 3. The City Council approves the final map for Tract No. 6019 and directs that the final map be recorded, subject to execution of the finalized Subdivision Improvement Agreement and associated securities agreements.
S
ECTION 4. The City Clerk shall certify to the adoption of this resolution and shall cause a certified resolution to be filed in the Office of the City Clerk.
PASSED
and ADOPTED this 28th day of February 2022.
A
ttest:
Lucy Blanco, City Clerk Keith L. Mashburn, Mayor of the City of Simi Valley, California
A
pproved as to Form: Approved as to Content:
David L. Caceres, City Attorney Brian Paul Gabler, City Manager R onald K. Fuchiwaki
Public Works Director
5 CITY OF SIMI VALLEY
SUBDIVISIO
N IMPROVEMENT AGREEMENT
This Agr
eement is entered into by and between Vigorous W Development Co. LTD, a general corporation and existing under the laws of the State of California and authorized and licensed to transact business in the State of California (“Subdivider”) and the City of Simi Valley, a municipal corporation organized and existing under the laws of the State of California (“City”).
RECITALS
WHEREAS
, Subdivider has prepared and filed a subdivision map known as Tract Map No. 6019 with the City for approval and subsequent recordation at the County of Ventura; and
WHEREAS
, as a condition of approval of the subdivision map, Subdivider is required to offer for dedication those parcels or easements intended for streets, highways, utilities, and other public use purposes, and also to construct and install certain improvements thereon; and
WHEREAS
, Subdivider has irrevocably offered for dedication to City for public use the streets, easements, and other improvements shown on the subdivision map; and
WHEREAS
, City desires to accept the streets, easements, and other public improvements shown on the map upon completion of the improvements; and
WHEREAS
, as a condition precedent to recordation of the subdivision map, Subdivider is required to enter into this secured Agreement to install and complete, at its sole expense, all improvement work (“Improvements”) required of the Subdivider for the subdivision by the City; and
WHEREAS
, the total cost of such Improvements has been estimated by the City Engineer to be approximately $202,800.00;
NOW, TH
EREFORE, IT IS AGREED by and between the parties as follows:
6 EXHIBIT 1
RES. NO. 2022-10
1. CONSTRUCTION OF IMPROVEMENTS
At its sole cost and expense, Subdivider shall construct and install all Improvements ac
cording to the conditions of the approved tentative map as set forth in Certificate of Administrative Approval dated ________________, Planning Com mission Resolution No. ____________ or City Council Resolution No. __ 2020-01___ (if applicable), incorporated herein by reference as though fully set forth, and the City approved improvement plans, and City’s standards and specifications on file with City Engineer. The improvement plans, standards and specifications for Tract Map No. 6019 are hereby incorporated by reference as though set forth in full (“Improvement Plans”).
Subdi
vider shall, at Subdivider’s sole cost and expense, obtain all necessary permits and licenses for the construction and installation of the Improvements, give all necessary notices and pay all fees in accordance with adopted City fee schedules, and pay all taxes as required by law.
2. CHANGES IN PLANS OR IMPROVEMENTS
Al
l of the Improvements shall be constructed in accordance with the Improvement Plans referred to in Section 1 above, and in accordance with all applicable Conditions of Approval and City, State, and Federal standards and regulations, as approved by the City Engineer. The parties agree that certain corrections and revisions to the Improvement Plans may be necessary to comply with applicable City, State, and Federal standards and regulations, as determined by the City Engineer. Such corrections and revisions shall be accomplished through a written change order procedure.
Subdi
vider shall perform all changes or alterations in the construction and installation of said Improvements to conform with any plan revisions, all in accordance with the Improvement Plans, Conditions of Approval, and any subsequent written change orders as approved by the City Engineer.
3. SURETY
Subdi
vider has furnished the City securities, as referenced in the attached Exhibit “A” which have been accepted by the City, assuring Faithful Performance, Payment for Labor and Materials, for all Improvements associated with this Agreement, including the maintenance and warranty obligations, required by Section 7. In addition, pursuant to Government Code §§ 66441 and 66495 -66498, Subdivider also shall furnish and set subdivision and lot monuments, and assure the faithful performance of the construction of those monuments.
Sai
d securities are attached herein as Exhibit “A” and included herein. 7 RES. NO. 2022-10
4. TIME FOR COMMENCEMENT AND COMPLETION
Ti
me is of the essence for construction of the Improvements. Subdivider shall commence the construction and installation of the Improvements within 30 days from the date of approval of this Agreement (unless an alternative commencement time is approved by the City), and shall diligently proceed to complete the construction of all of the Improvements including those improvement corrections identified by the City as final punch list correction items. Failure of the Subdivider to complete the construction of and any corrections for all Improvements within (24) months from the date of approval of this Agreement, absent an approved extension by the City Engineer as delineated in Section 5, is a breach of this Agreement, subject to the notice requirements in Section 17, 18 and 20.
5. EXTENSION OF AGREEMENT
Subdi
vider may request an extension of time to complete Improvements required by this Agreement. Any request for an extension shall be in writing to the City. Oral requests for extension are not be permitted. The City Engineer shall be the sole and final judge as to whether or not good cause has been shown to entitle Subdivider to an extension. Upon good cause shown, the City Engineer may extend the time to complete the Improvements up to an additional year.
Any
extensions granted by the City Engineer shall be in writing as an amendment to this Agreement, and Subdivider is hereby put on notice and agrees that additional and revised fees may be charged and new or updated improvement standards may be imposed, as a condition of any extension granted by the City Engineer under this section. Any extension granted by the City shall not relieve the sureties’ liability on the bond to secure the faithful performance of this Agreement, including providing site erosion control, clean- up, and security during any work stoppage.
Fai
lure of the owner to extend this Agreement, or the City to act before the expiration of the owner initiated extension requirements as stipulated herein, does not constitute termination or voiding of the agreement. Upon such failure by the Subdivider to extend the agreement the City may opt to pursue a breach of the agreement by the Subdivider as stipulated in Sections 17 & 18,
6. INSPECTION AND ACCEPTANCE OF IMPROVEMENTS
Th
e City Engineer, or duly authorized representative, upon written request of Subdivider that the work is entirely completed, shall inspect the Improvements constructed and installed by Subdivider, and, if the Improvements are determined to be in accordanc e with applicable City standards, Conditions of Approval, and the project’s Improvement Plans, the City Engineer shall recommend to the City Council to accept said Improvements. 8 RES. NO. 2022-10
7. MAINTENANCE OF IMPROVEMENTS
Subdi
vider shall maintain all Improvements provided for in this Agreement, and those which may be further provided for in the final subdivision map, the conditions of approval, or as the result of written change orders, until all the Improvements are accepted by the City Council.
8. WARRANTY OF IMPROVEMENTS
Subdi
vider shall guarantee the Improvements required by this Agreement for a period of one year following acceptance of those Improvements by the City Council against any defective work completed, labor performed, and/or defective materials furnished. A warranty security in an amount of a least ten percent (10%) of the total estimated cost of the Improvements shall be posted guaranteeing the replacement or repair of any defects in the Improvements during that period. However, the amount of the warranty security shall not limit the Subdivider’s or Surety’s obligations under this Section.
In t
he event any Improvements are determined to be defective by the City within the warranty period, Subdivider shall, without delay and without any cost to City, repair, replace, or reconstruct any such defective work or material upon written notice by City. Should Subdivider or Surety fail to act promptly or in accordance with this requirement, or should exigent circumstances exist that require repairs or replacements to be made before Subdivider can be notified, City may, at its option, make the necessary repairs or replacements or perform the necessary work, and Subdivider or Surety shall pay to City the actual cost of such repairs, plus fifteen percent (15%) as overhead and administrative costs reimbursement to the City.
9. TITLE TO IMPROVEMENTS
Ti
tle to, and ownership of, all of the public Improvements constructed by Subdivider shall vest absolutely in City only upon acceptance of the public Improvements by the City Council. The entire risk of loss to the Improvements shall be with Subdivider prior to and until acceptance by the City Council and completion of the warranty period as described in section 8. Subdivider shall hold harmless City, its elected officials and appointed boards, commissions, officers, agents or employees for any accident, loss or damage, happening or occurrence to the Improvements prior to City Council acceptance of the Improvements and completion of the aforementioned warranty period.
9 RES. NO. 2022-10
10. RECORD DRAWINGS
Subdi
vider shall keep accurate records on a set of project blue line prints of all additions and deletions to the work, change orders, and of all changes in location, elevation and character of the work not otherwise shown or noted on the Improvement Plans. In conjunction with the Subdivider’s written request for City’s acceptance of the work, Subdivider shall deliver to the City Engineer for approval and retention, a set of record (As Built) drawings incorporating these changes and showing all the Improvements that were actually installed.
The drawings shall be on 4 mil thick Mylar and will become City property.
11. COSTS AND ATTORNEY FEES
In t
he event that Subdivider fails to perform any obligation hereunder, Subdivider agrees to pay all costs and expenses incurred by City in securing performance of such obligations, including costs of suit and reasonable attorneys’ fees.
12. BINDING ON SUCCESSORS IN INTEREST
Al
l provisions of this Agreement shall be binding on the parties and their executors, administrators, assigns and successors in interest.
13. NO ASSIGNMENT WITHOUT CONSENT
Subdi
vider shall not have the right to assign or transfer this Agreement, or any part hereof, without the prior written consent of City.
14. SUBDIVIDER NOT AGENT OF CITY
Nei
ther Subdivider nor any of Subdivider’s agents or contractors are or shall be considered to be agents of City in connection with the performance of Subdivider’s obligations under this Agreement. Nothing contained in this Agreement shall be construed to create a relationship of employer -employee, master-servant, or principal -agent, between Subdivider and City.
15. HOLD HARMLESS AND INDEMNITY AGREEMENT
Subdi
vider shall indemnify and hold City, its elected officials, officers, employees, agents and representatives harmless from any liability for damage or claims for personal injury, including death, as well as from claims for property damage, which may arise from Subdivider or Subdivider’s contractors, subcontractors, agents or employees operating under this Agreement, whether such operations be by Subdivider or by any of Subdivider’s contractors, subcontractors, or by any one or more persons directly or indirectly employed by, or acting as an agent for, Subdivider or any of Subdivider’s contractors or subcontractors.
Subdivider agrees to and shall defend City and its elected officials, officers, employees, agents and representatives from any suits or actions at law or in equity for damage caused or alleged to have been caused by reason of any of the work, acts and obligations of 10 RES. NO. 2022-10
Subdivider referred to in this Agreement. The duty to defend includes all payment of court costs, attorneys’ fees, expert witness fees, investigation costs, claims adjustment costs, and any other costs related to the litigation.
Th
e City does not, and shall not, waive any rights against Subdivider which it may have by reason of the above defense hold harmless/indemnity provision because of the acceptance by City, or the deposit of certificates of insurance with City by Subdivider, of any of the insurance policies described in Section 16.
Th
e above defense hold harmless/indemnity obligation by Subdivider shall apply to all damages and claims for damages of every kind suffered, or alleged to have been suffered, by reason of any of the work, acts, and obligations of the Subdivider referred to in the paragraph, regardless of whether or not City has prepared, supplied, or approved of plans and/or specifications for the subdivision, or regardless of whether or not such insurance policies shall have been determined to be applicable to any of such damages or claims for damages.
Subdi
vider hereby indemnifies City and agrees to hold City harmless from all loss, damage, and expense incurred by City as a result of the absence of adequate easements to operate, maintain, repair, renew, and replace the water, wastewater, and/or storm drain systems, as applicable.
16. SUBDIVIDER’S INSURANCE
Subdi
vider shall not commence work under this Agreement until Subdivider has obtained the following insurance, and the coverages and certificates have been approved by the City, through the Risk Manager, as to form, amount, and carrier, as set forth below:
A. Cont
ractual liability insurance for liability assumed by Subdivider pursuant to this Agreement with City. The minimum limits of liability coverage for this insurance shall be:
1. Gener
al Liability Insurance not less than the following amounts:
a. Res
idential Land Division with 4 or fewer lots/units involving minor public improvements - $2,000,000 CSL.
b. Subdivision with 5 to 19 lots/units involving major public improvements - $3,000,000 CSL.
c. Subdivision with 20 to 39 lots/units involving major public improvements - $4,000,000 CSL.
d. Subdivision with 40 or more lots/units involving major public improvements - $5,000,000 CSL.
11 RES. NO. 2022-10
2. Aut
omobile Comprehensive Liability Insurance not less than the following amounts:
a. Res
idential Land Division with 4 or fewer lots/units involving minor public improvements - $1,000,000 CSL.
b. Subdivision with 5 to 19 lots/units involving major public improvements - $2,000,000 CSL.
c. Subdivision with 20 to 39 lots/units involving major public improvements - $3,000,000 CSL.
d. Subdivision with 40 or more lots/units involving major public improvements - $5,000,000 CSL
B. Wo
rkers’ Compensation Insurance - Statutory.
Subdi
vider shall provide a separate, additional insured endorsement for the Subdivider’s general liability insurance policies specifically naming the City, it officers, elected officials and employees, as additional insureds for both operations and completed operations.
Evidence of additional insureds must be presented by a separate endorsement page in the policy.
Th
e minimum insurance coverage required by this Agreement shall not be construed to relieve Subdivider for liability in excess of such coverage, nor shall it preclude City from taking such other actions as are available to it under any other provision of this Agreement or other in law.
Th
e written notice of cancellation to the City shall be 30 days. Ten days for non- payment of premium only is permitted. The following language under the cancellation section of the insurance certificates, or any such similar language, shall be deleted: “endeavor to” and “failure to mail such notice shall impose no obligation or liability of any kind upon the company, its agents, or representatives.”
Sai
d insurance policies shall be maintained during the life of this Agreement, and any amendments and/or extensions thereto.
17. NOTICE OF BREACH AND DEFAULT
If
Subdivider refuses or fails to complete the Improvements, or any severable part, in accordance with the requirements of this Agreement, or with the diligence required in Section 4, or if the Subdivider should be adjudged bankrupt, or if Subdivider should make a general assignment for the benefit of Subdivider’s creditors, or if a receiver should be appointed in the event of Subdivider’s insolvency, or if Subdivider or any of Subdivider’s contractors, subcontractors, agents, or employees should violate any of the provisions of this Agreement, City may serve written notice of breach and default upon Subdivider and Subdivider’s surety. 12 RES. NO. 2022-10
18. BREACH OF AGREEMENT – PERFORMANCE BY SURETY OR CITY In t
he event of any such notice in accordance with Section 17, Subdivider’s surety shall have the duty to take over and complete the work and the improvements herein specified.
This duty includes providing and maintaining erosion control, clean -up, and security of the improvement site during any work stoppage. The surety shall, within five days of receipt of the Notice of Breach advise the City of its intention to take over performance of the Agreement, with a contractor acceptable to the City. If the surety does not commence performance of the Agreement within 20 days, the City may take over the work and pursue the same to completion, by contract or by any other method City may deem advisable, for the account and at the expense of the Subdivider, and Subdivider’s surety shall also be liable to City for any excess cost or damages occasioned by City. In such event, City, without liability for doing so, may take possession of, and utilize in completing the work, such materials, appliances, plant and other property belonging to Subdivider as may be on the site of the work and necessary therefore. The rights of City provided in this section are in addition to and cumulative to any and all other rights of City as provided by law and any election by City to proceed pursuant to the provisions of Sections 17 or 18, and shall not be construed as being in lieu of any other such rights provided by law.
19. JURISDICTION
Thi
s Agreement, and the rights and obligations of the parties, shall be governed and interpreted in accordance with the laws of the State of California. Jurisdiction of all disputes over the terms of this Agreement shall be in the County of Ventura, State of California.
20. EFFECT OF WAIVER
City’
s waiver of breach of any one term, covenant, or other provision of this Agreement is not a waiver of breach of any other term, nor subsequent breach of the term or provision waived.
21. CAPTIONS
Th
e captions or headings in this Agreement are for convenience only and in no other way define, limit, or describe the scope or intent of any provision, paragraph, or section of the Agreement.
13 RES. NO. 2022-10
22. AUTHORIZATION
Each
party has expressly authorized the execution of this Agreement on its behalf and bind the party and its respective administrators, officers, directors, shareholders, divisions, subsidiaries, agents, employees, successors, assigns, principals, partners, joint venturers, insurance carriers, and any others who may claim through it to this Agreement.
23. PARTIAL INVALIDITY
If a
ny provision in this Agreement is held by a court of competent jurisdiction to be invalid, void, or unenforceable, the remaining provisions will nevertheless continue in full force without being impaired or invalidated in any way.
24. NOTICES
Unles
s otherwise provided, all notices herein required shall be in writing, and delivered in person or sent by certified, return receipt mail, postage prepaid. Notices required to be given to City shall be addressed as follows:
Pub
lic Works Director
City of Simi Valley
2929 Tapo Canyon Road
Simi Valley, California 93063
Noti
ces required to be given to Subdivider shall be addressed as follows:
Vig
orous W Development Co. LTD
17114 Ridge Par Drive
Hacienda Heights, CA 9174
It is
provided that any party may change its address by notice in writing to the other party and thereafter notices shall be address and transmitted to the new address.
25. AMENDMENTS
The t
erms and conditions of this Agreement may be amended only by written consent of Subdivider and the City Engineer.
14 RES. NO. 2022-10
IN WITNESS W HEREOF, this Agreement entered into by the parties hereto shall become effective upon the date signed by the City Engineer.
SUBDI
VIDER – SIGNATURE MUST
BE ACKNOWLEDGED BY A NOTARY
PUBLIC
By: ______
____________________
______
____________________
Print Name
Tit
le: __________________________
Dat
e: __________________________
CI
TY OF SIMI VALLEY
______
__________________________
Ronald K. Fuchiwaki
Dat
e:____________________________
APPRO
VED AS TO FORM:
Office of the City Attorney
______
________________________
David L. Caceres, City Attorney
Date:
15 RES. NO. 2022-10
AMOUNT ($) INSTITUTION BOND# or
RECEIPT #
Streets Faithful Performance 9,700.00$ List ed Below Streets Labor and Materials 9,700.00$
Sewer Faithful Performance 105,000.00$
Sewer Labor and Materials 105,000.00$
Grading Faithful Performance 272,600.00$
Monuments Faithful Performance 13,000.00$
Water Faithful Performance 88,100.00$
Water Labor and Materials 88,100.00$
EXHIBIT "A"
BOND TYPE
16 RES. NO. 2022-10