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HomeMy WebLinkAboutAgenda Packet - February 19, 2008 - CC N U _ .C'417FOR��P AGENDA CITY COUNCIL, THE REDEVELOPMENT AGENCY AND THE AZUSA PUBLIC FINANCING AUTHORITY AZUSAAUDITORIUM TUESDAY, FEBRUARY 19, 2008 213 EAST FOOTHILL BOULEVARD 6:30 P.M. AZUSA CITY COUNCIL IOSEPH R. ROCHA MAYOR KEITH HANKS ANGEL CARRILLO MAYOR PRO-TEM COUNCILMEMBER URIEL E. MACIAS ROBERT GONZALES COUNCILMEMBER COUNCILMEMBER NOTICE TO THE PUBLIC Copies ofstaffreports or other written documentation relating to each item of business referred to on the Agenda are on file in the Office of the City Clerk and are available for public inspection at the City Library. Persons who wish to speak during the Public Participation portion of the Agenda, shall fill out a card requesting to speak and shall submit it to the City Cierk prior to the start of the City Council meeting. When called, each person may address any item on or off the agenda during the public participation. CLOSED SESSION 1 . CONFERENCE WITH LEGAL COUNSEL-EXISTING LITIGATION (GOV. CODE SEC. 54956.9 (a)). Case No. KC051952-G, City of Azusa v. Senior Care Partnership LP and Century Quality Management (Villa Azusa Senior Apartments). 2. LIABILITY CLAIMS (Gov. Code Sec. 54956.95 Claimant: J. Sanchez 3. LIABILITY CLAIMS (Gov. Code Sec. 54956.95 Claimant: F. Montague i DOWNTOWN NORTH A-2 8.A-3 PROJECT 4. REAL PROPERTY NEGOTIATIONS (Gov. Code Sec. 54956.8) Address: 858 N. Azusa Avenue, Azusa, CA 91702 Agency Negotiators: City Manager Delach and Assistant City Manager Person Negotiating Parties: Howard J. and Janet J. Choi &Watt Genton Associates, LP Under Negotiation: Price and Terms of Payment 5. REAL PROPERTY NEGOTIATIONS (Gov. Code Sec. 54956.8) Address: 832 N. Azusa Avenue, Azusa, CA 91702 Agency Negotiators: City Manager Delach and Assistant City Manager Person Negotiating Parties: Alexios &Tashia Vagenas and Watt Genton Associates, LP Under Negotiation: Price and Terms of Payment 6. REAL PROPERTY NEGOTIATIONS (Gov. Code Sec. 54956.8) Address: 826 N. Azusa Avenue, Azusa, CA 91702 Agency Negotiators: City Manager Delach and Assistant City Manager Person Negotiating Parties: Martin G. &Teresa Habern and Watt Genton Associates, LP Under Negotiation: Price and Terms of Payment 7.. REAL PROPERTY NEGOTIATIONS (Gov. Code Sec. 54956.8) Address: 812 N. Azusa Avenue, Azusa, CA 91702 Agency Negotiators: City Manager Delach and Assistant City Manager Person Negotiating Parties: John R. & Lillian O. Cortez, Cortez Family Trust&Watt Genton Associates, LP Under Negotiation: Price and Terms of Payment 8. REAL PROPERTY NEGOTIATIONS (Gov. Code Sec. 54956.8) Address: 801 N. Alameda Avenue, Azusa, CA 91702 Agency Negotiators: City Manager Delach and Assistant City Manager Person Negotiating Parties: John R. A Lillian O. Cortez, Cortez Family Trust &Watt Genton Associates, LP , Under Negotiation: Price and Terms of Payment REAL PROPERTY NEGOTIATIONS (Gov. Code Sec. 54956.8) Address: 810 N. Alameda Avenue, Azusa; CA 91702 Agency Negotiators: City Manager Delach and Assistant City Manager Person Negotiating Parties: 810 Alameda, LLC &Watt Genton Associates, LP Under Negotiation: Price and Terms of Payment 10. REAL PROPERTY NEGOTIATIONS (Gov. Code Sec. 54956.8) Address: 803 N. Dalton Avenue, Azusa, CA 91702 Agency Negotiators: City Manager Delach and Assistant City Manager Person Negotiating Parties: Arthur B. &Anna M. Ramirez, et al &Watt Genton Associates, LP Under Negotiation: Price and Terms of Payment 02/19/08 PAGE TWO f I 1 .CONFERENCE WITH LABOR NEGOTIATOR (Gov. Code Sec 54957 6) Agency Negotiators: City Manager Delach and Assistant City Manager Person Organizations/Employee: CAPP Any person wishing to comment on any of the Closed Session items listed above may do so now. 7:30 P.M. - REGULAR MEETING OF THE CITY COUNCIL. • Call to Order • Pledge to the Flag • Invocation - Reverend Leroy of the First Assembly of God Church A. PUBLIC PARTICIPATION (Person/Group shall be allowed to speak without interruption up to five (5) minutes maximum time, subject to compliance with applicable meeting rules. Questions to the speaker or responses to the speaker's questions or comments shall be handled after the speaker has completed his/her comments. Public Participation will be limited to sixty (60) minutes time.) B. REPORTS, UPDATES, AND ANNOUNCEMENTS 1 . Mayor Rocha - a. Request for certificates of appreciation to every school and drivers, who participated in the 10th Annual School District Food Drive. b. Request for $100 sponsorship to Ms. Victoria Ashlock, 1 1 th grade Azusa High student, who will be participating in the People to People Student Ambassador Program in Japan this summer. c. Update on former gun club site. d. Discussion regarding Target Scoping meeting. e. Discussion on future dates, time and place for City Hall on the Move. C. SCHEDULED ITEMS 1. INFORMAL HEARING - ON THE LOS ANGELES COUNTY FIRE DEPARTMENT WEED ABATEMENT PROTEST HEARING. RECOMMENDED ACTION: a. Conduct an informal protest hearing and refer property owners with objections to the Los Angeles County Fire Department Brush Clearance Office for consideration. b. Approve the motion and abatement order directing abatement of the nuisance by removing all weeds and rubbish from the affected improved parcels. 02/19/08 PAGE THREE 2. ESTABLISHMENT OF AN ECONOMIC DEVELOPMENT SUBCOMMITTEE OF THE PLANNING COMMISSION. RECOMMENDED ACTION: Disapprove the recommendation of the Planning 5 Commission to establish a subcommittee to focus on economic development activities in Azusa, and encourage Planning Commission representation on the Azusa Chamber of Commerce Economic Development Committee. D. CONSENT CALENDAR The Consent Calendar adopting the printed recommended actions will be enacted with one vote. !f Councilmembers or Staff wish to address any item on the Consent Calendar individually, it will be considered under SPECIAL CALL ITEMS. 1. APPROVAL OF THE MINUTES OF THE REGULAR MEETING OF FEBRUARY 4, 2008 AND THE SPECIAL MEETING OF JANUARY 28T"AND JANUARY 29TH, 2008. RECOMMENDED ACTION: Approve Minutes as written. 2. HUMAN RESOURCES ACTION ITEMS. RECOMMENDED ACTION: Approve Personnel Action Requests in accordance with Section 3.3 of the City of Azusa Civil Service Rules and applicable Memorandum of Understanding(s). 3. RESOLUTION FINDING THAT THE FORMATION OF A PROIECT AREA COMMITTEE FOR THE PROPOSED AMENDMENT TO THE REDEVELOPMENT PLAN FOR THE MERGED CENTRAL BUSINESS DISTRICT AND WEST END REDEVELOPMENT PROJECT AREAS ("PROIECT AREA") IS NOT REQUIRED BY HEALTH AND SAFETY CODE SECTION 33385. RECOMMENDED ACTION: Adopt Resolution No. 08-C9, finding and determining that the formation of a Project Area Committee for the proposed amendment to the Redevelopment Plan for the Project Area is not necessary pursuant to California Community Redevelopment Law, Health and Safety Code Section 33000 et seq. ("CRL"). 4. AWARD OF CONTRACT - PAINTING OF THE LIGHT/SAFETY STANDARDS IN DOWNTOWN AREA. RECOMMENDED ACTION: Award a contract in the amount of$14,230.00 to Bithell Inc. for the painting of the light/safety standards in the downtown area. 5. ADOPTION OF A RESOLUTION FOR THE POLICE DEPARTMENT TO ENTER INTO AN AGREEMENT WITH THE IRWINDALE POLICE DEPARTMENT AND THE LOS ANGELES COUNTY ILLEGAL STREET RACING AND DRIVING UNDER INFLUENCE ENFORCEMENT MEMORANDUM OF UNDERSTANDING. RECOMMENDED ACTION: Adopt Resolution No. 08-C 10, authorizing the Chief of Police to enter into the attached Memo of Understanding with the Irwindale Police Department accepting reimbursement for 150% of officer's hourly rates who participate in the Los Angeles County Illegal Street Racing and DUI Enforcement program. 6. PURCHASE OF DISPATCH FURNITURE (FOUR WORKSTATIONS). RECOMMENDED ACTION: Approve the purchase of dispatch furniture for four (4) workstations from Xybix Systems in an amount not to exceed $45,244.79. It is further recommended the City Council approve this purchase based on a competitive bid process completed by the City of La Mirada (Purchase Order #1856); dispatch furniture was purchased for the La Mirada Community Sheriff's Station. 02/19/08 PAGE FOUR -T 7. NEW CLASS SPECIFICATION - LIBRARY CIRCULATION SUPERVISOR. RECOMMENDED ACTION: Pursuant to the City of Azusa Civil Service Rules Section 3.3 and 3.7, approve and adopt the salary, title and class specification outlining the duties of the new job classification of Library Circulation Supervisor. 8. AMENDMENT TO PROFESSIONAL SERVICES AGREEMENT FOR INTERIM HUMAN RESOURCES DIRECTOR-PERSONNEL OFFICER SERVICES. RECOMMENDED ACTION: Approve amendment to the agreement for Interim Human Resources Director- Personnel Officer services for the City of Azusa. 9. WARRANTS. Resolution authorizing payment of warrants by the City. RECOMMENDED ACTION: Adopt Resolution No. 08-C11. CONVENE AS THE AZUSA REDEVELOPMENT AGENCY E. AGENCY SCHEDULED ITEMS 1 . CONSIDERATION OF A RESOLUTION APPROVING THE PRELIMINARY PLAN FORMULATED FOR THE AMENDMENT TO THE MERGED CENTRAL BUSINESS DISTRICT AND WEST END REDEVELOPMENT PROIECT AREA RECOMMENDED ACTION: Adopt the Resolution No. 08- R6, approving the Preliminary Plan and authorizing the transmittal of the Preliminary Plan pursuant to Health and Safety Code Section 33327 of the California Community Redevelopment Law ("CRL"). 2. CONSIDERATION OF A RESOLUTION OF NECESSITY AUTHORIZING USE OF EMINENT DOMAIN POWER TO ACQUIRE, FOR REDEVELOPMENT PARCELS OF REAL PROPERTY IN THE CITY OF AZUSA LOCATED AT: 810 NORTH ALAMEDAAVENUE:858 NORTH AZUSA AVENUE 812 NORTH AZUSA AVENUE; 801 NORTH ALAMEDAAVENUE• 826 NORTH AZUSA AVENUE; AND 832 NORTH AZUSA AVENUE. RECOMMENDED ACTION: Adopt a Resolution No. 08-117, Resolution of Necessity authorizing use of the Agency's eminent domain authority to acquire parcels of non-residential real property within the Agency's Merged Central Business District Area located at: 810 North Alameda Avenue; 858 North Azusa Avenue; 812 North Azusa Avenue; 801 North Alameda Avenue; 826 North Azusa Avenue; and 832 North Azusa Avenue, in the City of Azusa (collectively, "Subject Properties"). 3. CONSIDERATION OF PURCHASE AND SALE AGREEMENT FOR THE ACQUISITION OF THE REAL PROPERTY LOCATED AT 803 NORTH DALTON AVENUE (RAMIREZ PROPERTY). RECOMMENDED ACTION: Approve the Purchase and Sale Agreement ("PSA") for the acquisition of real property located at 803 North Dalton Avenue, commonly known as Los Angeles County Assessor's Parcel Number 8608-027-008 ("Subject Property"). It is further recommended that the Agency Board approve an appropriation for this property acquisition. 02/19/08 PAGE FIVE F. AGENCY CONSENT CALENDAR The Consent Calendar adopting the printed recommended actions will be enacted with one vote. if Boardmembers or Staff wish to address any item on the Consent Calendar individually, it will be considered under SPECL4L CALL ITEMS. 1 . APPROVAL OF MINUTES OF THE REGULAR MEETING OF FEBRUARY 4, 2008 AND THE SPECIAL MEETING 'OF JANUARY 29, 2008. RECOMMENDED ACTION: Approve Minutes as written. 2. AGENCY TREASURER'S REPORT AS OF DECEMBER 31, 2007. RECOMMENDED ACTION: Receive and file the Report. 3. WARRANTS. Resolution authorizing payment of warrants by the Agency. RECOMMENDED ACTION: Adopt Resolution No. 08-R8. G. AZUSA PUBLIC FINANCING AUTHORITY The Consent Calendar adopting the printed recommended actions will be enacted with one vote. lfDirectors or Staff wish to address any item on the Consent Calendarindividual4l, it will be considered under SPECL4L CALL ITEMS. 1. APPROVAL OF MINUTES OF THE REGULAR MEETING OF NOVEMBER _5, 2007. RECOMMENDED ACTION: Approve Minutes as written. 2. AUTHORITY TREASURER'S REPORT AS OF DECEMBER 31, 2007. RECOMMENDED ACTION: Receive and file report. H. ADIOURNMENT 1 . Adjourn. UPCOMING MEETINGS: February 25, 2008 Utility Board Meeting- 6:30 p.m. (Light and Water Conference Room) March 3, 2008, City Council Meeting- 6:30 p.m. (Auditorium) March 17, 2008, City Council Meeting- 6:30 p.m. (Auditorium) April 7, 2008, City Council Meeting - 6:30 p.m. (Auditorium) In compliance with the Americans with Disabilities Act, if you need special assistance to participate in a city meeting,please contact the City Clerk at 616-812-5229. Notification three (3) working days prior to the meeting when special services are needed will assist staffin assuring that reasonable arrangements can he made to provide access to the meeting. 02/19/08 PAGE SIX U ..wilafton _ < C'91fFORrP AGENDA ITEM TO: HONORABLE MAYOR AND CITY COUNCIL MEMBERS (]q C, FROM: BRUCE COLEMAN, ECONOMIC AND COMMUNITY DEVELOPMENT DIRECTOR VIA: F.M. DELACH, CITY MANAGER1�� DATE: FEBRUARY 19, 2008 SUBJECT: LOS ANGELES COUNTY FIRE DEPARTMENT WEED ABATEMENT PROTEST HEARING RECOMMENDATION It is recommended that the City Council: 1. Conduct an informal protest hearing and refer any property owners with objections to the Los Angeles County Fire Department Brush Clearance Office for consideration. 2. Approve the motion and abatement order directing abatement of the nuisance by removing all weeds, and rubbish from the affected improved parcels. BACKGROUND On February 4, 2008, the City Council adopted Resolution No. 08-C7 declaring certain improved land parcels within the City a public nuisance due to recurring weed growth and/or the presence of rubbish. Pursuant to the Resolution, a protest hearing is required to afford affected property owners an opportunity to voice their objections. The owners of all affected parcels have been notified by the Los Angeles County Fire Department of the date and time for the protest hearing. This process is a ministerial duty by the City Council and is required under provisions of state and local laws. Staff has attached copies of the Resolution adopted February 4, 2008, for Council review. FISCAL IMPACT The costs of weed abatement services are part of the City's contractual costs with the Consolidated Fire Protection District. In the event abatement work occurs on privately owned properties, the costs are recovered through the Los Angeles County Board of Supervisors. There are no added direct costs or additional fiscal impacts to the city for this service. Prepared by: Rick McMinn, Community Improvement Supervisor Attachment: Resolution and Exhibit 1 (.ice RESOLUTION NO. 08-C7 A RESOLUTION OF THE CITY COUNCIL OF THE CIN OF AZUSA DECLARING HAZARDOUS BRUSH, DRY GRASS, WEEDS, COMBUSTIBLE GROWTH OR FLAMMABLE VEGETATION ON IMPROVED PARCELS OF LAND TO BE A SEASONAL AND RECURRING NUISANCE WHEREAS, hazardous brush, dry grass, weeds, combustible growth or flammable vegetation, to include native and ornamental vegetation, where growing upon improved real property often attain such growth as to become, when dry, a fire menace to the improved real property or adjacent improved parcels or which are otherwise noxious or dangerous; and WHEREAS, the presence of hazardous brush, dry grass, weeds, combustible growth or Flammable vegetation, to include native and ornamental vegetation, upon improved real property are conditions which endanger the public safety and constitute public nuisances which must be abated; and WHEREAS, the City of Azusa has a duty of protect the public safety and to take any and all actions necessary to abate the above-described public nuisances; and WHEREAS, the Consolidated Fire Protection District of Los Angeles County (the "County of Los Angeles Fire Department') will conduct annual inspections to verify existing hazards and public nuisances of hazardous brush, dry grass, weeds, combustible growth or Flammable vegetation, to include native and ornamental vegetation, upon the hereinafter described real property; and WHEREAS, Part 5, Division 12, of the California Health and Safety Code (Sections 14875 through 14875, inclusive), authorizes the City Council, by resolution, to declare public nuisances and to authorize the abatement thereof. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF AZUSA AS FOLLOWS: SECTION 1. Council Findings. The City Council of the City of Azusa hereby finds that hazardous brush, dry grass, weeds, combustible growth or Flammable vegetation, to include native and ornamental vegetation, upon each improved parcel of real property hereinafter described in Exhibit I (collectively the "Real Property"), as verified by inspection by the County of Los Angeles Fire Department are hereby declared to be public nuisances which should be abated. SECTION 2. Notice. (a) The Fire Chief of the County of Los Angeles Fire Department (the "Chief) is hereby designated, authorized, and directed to give notice to destroy said hazardous brush, dry grass, weeds, combustible growth or flammable vegetation, to include native and ornamental vegetation, upon the Real Property_ (b) Not less than 10 days prior to the 19th of February,2008, the Chief shall cause notice to be given to each Real Property owner by mail as their names and residential addresses appear from the last equalized assessment roll, or as they are known to the Assessor, and said notice shall be substantially in the form as provided in Exhibit 2 of this resolution. SECTION 3. Hearing. Tuesday, the 19" of February 2008, at the hour of 7:30 p.m., in the Council Chamber of the City, located at 213 East Foothill Boulevard, Azusa is fixed by the City Council as the date, time, and place when and where any and all owners of Real Property having any objections to the proposed removal of hazardous brush, dry grass, weeds, combustible growth or flammable vegetation, to include native and ornamental vegetation, may appear before the Brush Clearance Referee and show cause why said hazardous brush, dry grass, weeds, combustible growth or Flammable vegetation, to include native and ornamental vegetation, should not be removed in accordance with this resolution. The objections of the Real Property owners will then and there be heard and given due consideration. SECTION 4. Recovery of Costs. (a) The Chief and the Agricultural Commissioner are hereby . authorized and directed to recover abatement enforcement costs in a manner consistent with prior action of the Board of Supervisors when they adopted an Administrative Penalty, an Abatement Enforcement Cost, and an inspection fee for all Real Property when the owner fails to comply with the second official notice to abate hazards on the Real Property described in Exhibit 1 and identified during physical inspection by the County of Los Angeles Fire Department. The recovery of these costs is vital to the ongoing operation governing the identification and abatement of those properties that constitute public nuisances and endanger the public safety. (b) The owners of the Real Property, upon which the public nuisance exists, shall be presented, both in writing and during the above referenced hearing before the Brush Clearance Referee, with information regarding the cost of inspection and abatement enforcement. PASSED AND ADOPTED this Oar' day of Febiruaaay, 2008. Joseph R. Rocha, Mayor I HEh2M CERTIFY that the foregoing resolution No. 08-C7, was duly adopted by the City of Azusa at a regular meeting thereof held on the 4'" day of February, 2008. AYES: COUNCIL MEMBERS: GONZALES, CARRILLO, MACIAS, HANKS, ROCHA NOES: COUNCIL MEMBERS: NONE. ABSENT: COUNCIL MEMBERS: NONE Vera Mendoza, City Clerk EXHIBIT 1 DESCRIPTION OF PROPERTIES In accordance with Part 5, Division 12 of the California Health and Safety Code (commencing with Section 14875), the Real Property, upon which a public nuisance exists, are hereby described in the attached Declaration List of Properties. LW13 LOS ANGELES COUNTY DECLARATION LIST PAGE 1 DATE 12 12 07 IN SEL} BY WEED-KEY , THEN PARCEL FD IMPROVED ZONE CITY CODE STREET ADDRESS PARCEL NO. KEY 06 050 563 E SIERRA MADRE AVE 8625 006 006 9 C 06 050 579 E SIERRA MADRE AVE 8625 006 007 8 C O6 050 595 E SIERRA MADRE AVE 8625 006 008 7 C 06 050 B11 E SIERRA MADRE AVE 8625 006 009 6 C 06 05D 527 E SIERRA MADRE AVE 8625 006 010 3 C 06 050 4001 FISH CANYON RD 8684 008 014 3 C O6 050 1455 N HILLTOP DR 8684 020 001 3 C O6 050 1465 N HILLTOP DR 86B4 020 013 9 C O6 05D 1469 N HILLTOP DR 8684 020 014 8 C 06 050 1471 N HILLTOP DR 8684 020 016 6 C 06 050 1510 N SAN GABRIEL CANYON RD B684 020 022 B C D6 05D 1500 N SAN GABRIEL CANYON RD 8684 020 023 7 C 06 050 1569 N VIEWCREST DR 8684 021 010 0 C 06 050 1561 N VIEWCREST DR 8684 021 011 9 C 06 050 1557 N VIEWCREST DR 8684 021 012 8 C O6 050 1539 N VIEWCREST DR 8684 021 014 6 C 06050 1533 N VIEWCREST DR 8684 021 015 5 C 06 050 1790 SAN GABRIEL CANYON RD 8684 023 013 3 C 06 050 1728 SAN GABRIEL CANYON RD 8684 023 014 2 C 06 050 1724 SAN GABRIEL CANYON RD 8684 023 015 1 C 06 050 1720 SAN GABRIEL CANYON RD 8684 023 016 0 C O6 050 1830 N AZUSA AND SAN GABRIEL CAN 8684 023 017 9 C O6 050 2350 N SAN GABRIEL CANYON RD 8684 027 004 5 C 06 050 2280 N SAN GABRIEL CANYON RD 8684 027 012 5 C 06 050 1460 N HILLTOP DR B6B4 034 006 9 C O6 050 210 E VIEWCREST DR B6B4 034 010 3 C 06 050 230 E VIEWCREST OR 8684 034 011 2 C 06 050 250 E VIEWCREST DR 8684 034 012 1 C 06 050 280 E VIEWCREST DR 8684 034 013 0 C O6 050 1481 N VISTA DEL CIR 8684 034 014 9 C 06 050 1450 N VISTA DEL CIR 8684 034 015 8 C 06 050 1433 N NOBHILL DR 8684 034 020 1 C 06 050 1415 N NOBHILL DR 8684 034 021 0 C 06 050 285 E SIERRA MADRE AVE 8684 034 027 4 C O6 050 295 E SIERRA MADRE AVE 8684 034 028 3 C 06 050 213 E SIERRA MADRE AVE 8684 034 034 5 C 06 050 389 E SIERRA MADRE AVE 6684 035 011 9 C O6 050 333 E CLEARHAVEN DR 8684 036 018 0 C 06 050 325 E CLEARHAVEN DR 8684 036 019 9 C 06 050 311 E CLEARHAVEN DR 8684 036 020 6 C 06 050 303 E CLEARHAVEN DR 8684 036 021 5 C O6 050 1589 N HILLTOP DR 8684 036 D22 4 C O6 05D 1599 N VIEWCREST DR 8684 036 023 3 C 06 050 1587 N VIEWCREST DR 8684 036 024 2 C 06 050 1575 N VIEWCREST DR 8684 D36 025 1 C 06 050 1555 N HILLTOP DR 8684 036 034 D C 06 050 1543 N HILLTOP DR 8684 036 035 9 C LW13 LOS ANGELES COUNTY DECLARATION LIST PAGE 2 DATE 12 12 07 IN SEQ BY WEED-KEY , THEN PARCEL FD IMPROVED ZONE CITY CODE STREET ADDRESS PARCEL NO. KEY 06 050 1537 N HILLTOP DR 8684 036 036 8 C 06 050 1531 N HILLTOP DR 8684 036 037 7 C O6 050 1564 N HILLTOP DR 8684 036 047 5 C LW13 LOS ANGELES COUNTY DECLARATION LIST PAGE 3 DATE 12 12 07 IN SEQ BY WEED-KEY, THEN PARCEL FD IMPROVED ZONE CITY CODE STREET ADDRESS PARCEL NO. KEY WEED KEY C TOTAL IMPROVED/VACANT RECORDS 0 WEED KEY C TOTAL IMPROVED RECORDS 50 WEED KEY C TOTAL RECORDS 50 EXHIBIT 2 NOTICOMBUSTIB TC DESTROY E GROWTH OR FLAMMAB HAZARDOUS BRUSH,E WEEDS, VEGETATION, TO INCLUDE NATIVE AND ORNAMENTAL VEGETATION NOTICE IS HEREBY GIVEN THAT ON the 4"of February, 2008 the City Council of Azusa passed or will pass a resolution declaring that hazardous brush,dry grass,weeds, combustible growth or Flammable vegetation,to include native and ornamental vegetation, were growing upon certain improved property as specifically described by parcel number in the resolution,to constitute public nuisances which,after inspection by the County of Los Angeles Fire Department have been verified to be existing public nuisances and in violation of the County of Los Angeles Fire Code(the"Fire Code")pertaining to clearance of brush and vegetative growth. This brush and vegetative growth must be removed and the public nuisance abated by the owner, or the County authorities will abate the public nuisance and the cost of removal assessed upon the parcel, and such cost will constitute a lien upon the parcel until paid. The City Council of the City of Azusa also authorized and directed the County of Los Angeles Fire Department and the Agricultural Commissioner to recover their costs related to the enforcement of the Fire Code. Reference is made to said resolution for additional details. All Parcel owners having any objection to the proposed removal of bush, dry grass,weeds, combustible growth or flammable vegetation,to include native and ornamental vegetation, are hereby notified that they may attend a meeting of the City Council of the City of Azusa to be held in the Council Chamber of said city at 7:30 p.m.on February 19,2008_ If the property owner does not want to present objections to the proposed removal of hazardous brush, dry grass,weeds,combustible growth or flammable vegetation,to include native and ornamental vegetation,or the recovery of enforcement and abatement costs, he/she need not appear at the above-mentioned meeting(s). a City Cler of the City of Pa sa STATE OF CALIFORNIA ) ) ) COUNTY OF LOS ANGELES ) JON E. BAKER, DEPUTY FORESTER, COUNTY OF LOS ANGELES FIRE DEPARTMENT, being duly sworn says: That on or before the 5t' of February, 2008, he mailed or caused to be mailed 50 'Improved Property Annual Brush Clearance Notices" to the owners of each of the properties described in the attached list as their names and residential addresses and a description of the property in question appear from the last equalized assessment roll, or as known to the Assessor, which notices request owners to destroy hazardous brush, dry grass, weeds, combustible growth or flammable vegetation, to include native and ornamental vegetation, and set the 1gt" day of February 2008, as the date upon which owners of said property may attend a meeting of the Brush Clearance Referee, when their objections will be heard and given due consideration, Annexed is a true and correct copy of such notice. I have personal knowledge of the foregoing, and if called upon could competently testify thereto. I declare under penalty of perjury that the foregoing is true and correct. �r WITNESSED BY: This > day of 2008, • _.�:. _ r�rrlow"�" AGENDA ITEM TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL FROM: ROBERT K. PERSON, ASSISTANT CITY MANAGER VIA: F:M. DELACH, CITY MANAGER*YW DATE: FEBRUARY 19, 2008 SUBJECT: ESTABLISHMENT OF AN ECONOMIC DEVELOPMENT SUBCOMMITTEE OF THE PLANNING COMMISSION RECOMMENDATION It is recommended that the City Council disapprove the recommendation of the Planning Commission to establish a subcommittee to focus on economic development activities in Azusa, and encourage Planning Commission representation on the Azusa Chamber of Commerce Economic Development Committee. BACKGROUND At its meeting of January 18, 2008 the Chairman of the Planning Commission made a motion to establish a subcommittee of the Planning Commission to focus on economic development activities. The motion was approved on a 3-2 vote with 2 members abstaining. Attached is the material prepared by Chairman Dierking and distributed to the Planning Commission which outlines the subcommittee's role and responsibilities. Also attached is the workplan and mission statement of the Chamber of Commerce's Committee on Economic Development. It is because of the existence of this latter group and that Economic Development goals, input and decisions are the responsibility of the elected City Council, that staff is recommending disapproval of 1 the Planning Commission recommendation. It would appear to be duplicative not only of the mission, but of the composition of members as well. Perhaps a compromise could be struck b$ having the Chamber staff provide quarterly updates to the Planning Commission on its Economic Development activities or have Planning Comission representatives on the Chamber of Commerce Committee. FISCAL IMPACT There is no fiscal impact as a result of this recommendation. However, should City Council approve the Planning Commission recommendation, salary expenses for overtime coverage of the subcommittee's would have to be budgeted. 2 h-1'DF'°"'jlG AGENDA ITEM TO: THE HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL FROM: JOHN R. DIERKING, CHAIRMAN OF THE PLANNING COMMISSION DATE: FEBRUARY 4, 2008 SUBJECT: APPROVAL OF FORMATION OF A ECONOMIC DEVELOPMENT SUBCOMMITTEE OF THE PLANNING COMMISSION RECOMMENDATION It is recommended that City Council approve the formation of an Economic Development Subcommittee of the Planning Commission. BACKGROUND At the Planning Commission meeting of January 16, 2008, the Commission discussed a proposal submitted by the Planning Commission Chair, John Dierking, for the formation of a Planning Commission Economic Development Sub-Committee to investigate and foster a positive business climate through the goals and policies as envisioned in the General Plan. A copy of the proposal is attached to this report and indicates, in part, that the Planning Commission Sub-Committee would consist of 9 members representing the Planning Commission, Azusa Chamber of Commerce, Azusa Pacific University, Citrus College, Azusa Unified School District, industry representatives and public members, with the final composition to be determined by the Planning Commission. According to the attached proposal, if the City Council authorizes the formation of the Planning Commission Economic Development Sub-Committee, it would be given one year to evaluate the business climate and provide its recommendations to the City Council. The Planning Commission is requesting that staff support be provided to the Sub-Committee. At its meeting on January 16th, the Planning Commission recommended on a 3-2 vote (2 members abstaining) that this item be submitted to the Council for your consideration. The General Plan's second "Element of Place", Economy and Community, focuses on those subject areas that involve the economic vitality of the city, its businesses, and residents, and it focuses on the community services that improve Azusans' quality of life. Economy and Community are optional elements and have the same legal status as the mandatory elements under state law. Chapter Four of the City's General Plan, specifically discusses: • Economic Development; and • Public Services—Police Protection, Fire Protection, Emergency Medical Services, • Governmental Administration, Library, and Schools The section is organized in the form of a "vision statement" referred to as "Economic Development Big Ideas." One of the "big ideas" includes the vision that land use policies reflect a variety of business types that support a range of jobs. For example, according to the Azusa Chamber of Commerce, excluding government and non-profit institutions nine of the top ten employers are manufacturing based. Clearly, the City can do a better job to attract and retain business types that support a broader tax base. Broadly speaking, some of these "big ideas" have found life through incorporation in the mandatory elements of the City's general plan- land use, housing, transportation, conservation, open space, noise and safety, particularly with reference to an understanding of newer development utilizing concepts to promote walkable, sustainable environment composed of neighborhoods, districts, and corridors that enable a higher quality of life by offering new choices for living and working. Instead of"strip zoning" along commercial boulevards, it is the intent of the General Plan that corrnnercial activity is focused in Districts, each with a special identity and mix of uses. The City has implemented this policy by defining "corridor" districts. Big ideas also include establishing distinct "employment districts" for the various areas of the city that will primarily support commercial or employment based activities, monitoring the opportunity to reuse major heavy industrial sites in the city for other uses, including the quarries and the landfill. In order to draw on capitalize on social capital and to attract new industries, Azusa must have a diverse and competitive labor force. It is the vision of the City of Azusa to "grow its own" labor force by improving its K-12 schools and by working with Azusa Pacific University (APU) and Citrus College to bring businesses to the city that would benefit from having college graduates as workers. Consideration may also be given to vocational or trade students for internship opportunities when available. It is noted that Azusa's Chamber of Commerce currently has a committee of member business representatives who address issues involving both economic development and education. This is a resource that should most certainly be drawn upon to address our important policy issues. Source: htto://www.azttsacliamber.orecoinmu info.html,Azusa Chamber of Commerce. Accessed November 29, 2007. Of course,Monrovia Nursery no longer remains a top employer. To further the City's interest in economic development, the City, School District, Azusa Pacific University, Citrus College, LA Works and San Gabriel Economic Partnership, and businesses will partner to promote growth of high tech, professional and small businesses by improving local schools, launching a proactive business development program, and marketing Azusa's advantages. Other ideas include: Maintain a "business climate" in Azusa that communicates the city's support for business, including highly flexible and technologically oriented manufacturing processes, Strengthening and maintaining the identity of key retail/commercial districts throughout the city. In addition to the "Economic Development Big Ideas," enumerated in this section of the general plan, are supported by numerous goals supported by measurable policy objectives. The goals of Azusa's economic development strategy are as follows: • BUILD AND MAINTAIN A STRONG, DIVERSE ECONOMY IN AZUSA. • MAINTAIN AND INCREASE THE SECTORAL DIVERSITY OF AZUSA'S ECONOMY AND AZUSA'S ABILITY TO SUPPORT A DIVERSE SET OF USES THAT EVOLVES OVER TIME. • ENSURE THE OCCUPATIONAL DIVERSITY OF AZUSA'S JOB BASE. • CREATE A HIGH QUALITY EMPLOYMENT ENVIRONMENT FOR AZUSA RESIDENTS. • HELP AZUSA'S RESIDENTS MORE FULLY PARTICIPATE IN THE ECONOMY. • SUPPORT LOCAL ENTREPRENEURSHIP. • HELP AZUSA'S BUSINESSES. • CREATE A RANGE OF HOUSING OPPORTUNITIES • CREATE A DIVERSE AND BALANCED REVENUE BASE WITH LONG- TERM VALUE, AVOIDING EXCESS RELIANCE ON A SINGLE REVENUE SOURCE. • STRENGTHEN THE RETAIL AND COMMERCIAL BASE. • CREATE A UNIQUE PLACE WITH HIGH QUALITY OF LIFE FOR ALL ITS RESIDENTS. The policies woven throughout the general plan, and further supported by our optional elements, are referred to as "smart growth" strategies. Smart growth recognizes connections between development and quality of life. It leverages new growth to improve the coinmunity. New smart growth is more town- centered, is transit and pedestrian oriented, and has a greater mix of housing, commercial and retail uses. It also preserves open space and many other environmental amenities. In addition to fostering a greater sense of community, other tangible benefits inure to stakeholders. It is a foundational understanding in the City of Azusa that homes built in communities that follow "new urbanist" principles command a premium above nearby units of comparable size. Due to the scarcity of pedestrian downtown shopping opportunities, cities that provide a quality downtown environment have similarly experienced higher property values. This translates into higher local tax revenues. The nation's best commercial real estate markets are in cities with vibrant, traditional downtowns. Marry businesses recognize the benefits in locating in areas that are able to attract people because of different uses. Also, there is added value for businesses because they are better able to attract skilled workers in areas that offer a multi-dimensional environment convenient to work, shopping, and recreation. Businesses, community leaders, developers, and local governments need to work to ensure that new growth improves the economy and environment of existing communities. In building places, communities must build places people want to live in for what they are, rather than for what they are not, This is smart growth. RECOMMENDATIONS To the extent that the visions, goals, and policies enumerated in the General Plan are not elsewhere being implemented, it is respectfully requested that a Planning Commission Economic Development Sub-Committee be formed to investigate and report on fostering a positive climate for economic development by creating an achievable and measurable relationship between policy and practice as envisioned by the General Plan's second "Element of Place," Economy and Community. Further recommendations are as follows: • Form the Planning Commission sub-committee consisting of representatives from the Planning Commission, Azusa's Chamber of Commerce, Azusa Pacific University, Citrus College, Azusa Unified School District, industry representatives and public members, totaling nine (9) members, the final composition to be determined by the Planning Commission. • Require that appointees to the Planning Commission Economic Development Committee be owners or executives of businesses or have a deep interest or expertise in local economic development issues, be members of economic development organizations, educational institutions, or business associations located in the City and representing a diversity of industries, including manufacturing, the retail sector, professional services, construction, or other industries. • Instruct that the Planning Commission Economic Development Committee be given one year to evaluate the business climate in the City and provide reconunendations to Council on ways to retain and attract business to the City, • Propose policies that support the goals enumerated in the General Plan's second "Element of Place", Economy and Community, and recommend pursuing, implementing and enforcing existing policies. If conflicts are identified as between policy and practice, evaluate those existing policies and recommend that they be amended or deleted. • Provide staff support for the work of the Planning Commission Economic Development Committee. REVISED 1-2005 VISION STATEMENT The Azusa Chamber of Commerce Economic Development Committee (ACCEDC) is committed and empowered through leadership and community action to enhance the future growth, prosperity and well being of the City of Azusa. We are a team devoted to strengthening and expanding business opportunities, business retention, and workforce development. The ACCEDC provides information, guidance and addresses issues of economic development, environmental, and social justice. We envision a thriving City with a competitive economic base that will provide a strong local tax base to support a successful community to live, work and do business. MISSION STATEMENT The mission statement of the Azusa Chamber of Commerce Economic Development Committee (ACCEDC) is to be recognized as a model for leadership and support by fostering positive partnerships that work together on projects to sustain high community standards and sustain a successful business climate for the continuous growth of the City. DRAFT #1 The Economic Development Committee (EDC) strategy was developed in partnership comprised of chamber members, city, public, and private sector representatives. The EDC has developed a new strategy to assist, recruit and retain business in the City of Azusa. The strategy is based on fundamental research and extensive discussion among committee members. Each committee member's views, concerns and suggestions were a key input into the development of the document and was further circulated for review and comment. This strategy is a framework for future action by committee members. This document lays out the rationale and approach to a new Economic Development strategy for the committee. It provides a framework for steps to support chamber members, new and existing businesses and the City of Azusa's future economic prosperity. The document illustrates specific tasks needed to accomplish each goal. COMMUNITY IMAGE ENHANCEMENT GOAL: TO CREATE AN ENCONOMIC DEVELOPMENT MARKETING PROGRAM • Create a one-stop welcome/informational packet for new business/residential owners coming into the City to include but not limited to: process &permits required to start a business, City's planning standards & process, most common questions handout, brochure to existing assistance programs, and directory of local businesses etc. • Build stronger partnerships with organizations such as, the San Gabriel Valley Economic Development Partnership, LA Works, Small Business Administration, Small Business Development Corporation, and similar organizations. TASK — Attend periodic meetings with designated committee members (develop a rotating schedule). • In partnership with Azusa Chamber, City of Azusa and Center For International Trade Development and the California-Mexico Trade Assistance Center (CITD &CMTAC) of Citrus College and other partners, visit local businesses to gather information on business needs and/or provide information about available services. TASK — Develop a calendar to visit I or 2 businesses a month or a maximum of up to 20 key businesses per year. DRAFT #1 TASK — Each partner shall commit and demonstrate support for one another by marketing and promoting the services each partner has to offer (e.g. host a workshop, advertise on the web page various assistance programs). • Contribute an Economic Development Committee article to the Azusa Chamber newsletter to promote awareness of impending improvements and plans for the community. MANUFACTURING GOAL: TO ENHANCE BUSINESS RETENTION AND EXPANSION CONSISTENT WITH THE CITY'S GENERAL PLAN AND LAND USE POLICIES • Tie Chamber membership growth goals with the goal of helping a certain number of businesses expand their business, relocate to Azusa or start up a business in Azusa each year. Provide services in the form of training class, forums and presentations available to all businesses and members of the chamber. • Support small business, industry groups or individuals, in the case of disagreements with City rulings judgments. • Survey members of the Azusa Chamber and businesses within the City on business needs. TASK — Develop an Economic Development Committee Survey focused on business needs. • Provide pertinent information on business development opportunities in the City of Azusa to business owners, property owners, developers, and other agencies regarding business development opportunities. • Create and implement an ongoing monitoring system (data base) to track economic vitality, identify changing conditions, and respond rapidly to new economic development opportunities. DRAFT #1 • Continue outreach and networking with industry groups, developers, lenders and others entities vital to the economic growth of the city. RETAWCOMMERCIAL GOAL: TO PROTECT AND PROMOTE THE COMMERCIAL, RETAIL AND INDUSTRIAL BUSINESS SECTORS OF THE CITY • Conduct, promote and encourage training workshops through the Economic Development Committee partnership. • Create a link to the Chamber's web page that will provide information regarding the list of available properties within the City. The hyperlink will be tied into the City's list of available properties. Chamber will have access to the list and can refer potential investor and/or business inquiries to the link. This tool is currently being created. I am working with our IT staff to improve the current property link found on the City's web page. The timeline is approximately 1 month or sooner. Many chambers use this as an economic development tool for business recruitment and or expansion. It will be extremely beneficial to the membership. DEVELOPMENT PROCESS GOAL: TO DEVELOP A PRO-BUSINESS COMMUNTIY IMAGE INCLUDING STREAMLINING THE APPROVAL PROCESS FOR DISCRETIONARY RETAIL, COMMERCIAL, AND RESIDENTIAL PROJECTS • Improve the open communication between the committee and City staff to better assist business. • Work the City's Planning and Building Department to implement a more customer friendly approach. Possibly provide an expediter or some sort of checklist they can follow. Since manpower is short, the checklist and a guide of who to go to for specific types of Economic Development issues would be the most cost effect method at this time. • Establish a more business friendly counter (one stop shop) to provide guidance and direction. DRAFT #1 • Stay abreast and notify businesses or industry of any Azusa City plans, rulings, or such that could or will have either a positive or negative effect upon them or to their customers. • Meet with the Community Awareness Emergency Response (CAER) organization bi-monthly to strengthen the partnership and further support the need to re-open HWY 39 for future emergency evacuations and improve economic vitality along the route through the City of Azusa. � w CITY OF AZUSA MINUTES OF THE CITY COUNCIL REGULAR MEETING MONDAY,FEBRUARY 4,2008-6:30 P.M. The City Council of the City of Azusa met in regular session at the above date and time in the Azusa Auditorium, located at 213 East Foothill Boulevard,Azusa, CA,91702. CEREMONIAL Ceremonial The City Council presented a Certificate of Recognition to Ms. Margaret Davis for winning first Cert to M. place, In her age group; in the New York City Marathon. Davis The City Council presented a Proclamation to Mr. Gilbert and Gloria Moronez in celebration of Proc Mr: &Mrs. their 50"'Wedding Anniversary. Moronez 50" The City Council presented Certificates of Recognition to winners of the Consolidation Bracket Cert of Rec Championship in the 2007 SCMAF Federation "B" Division Flag Football Tournament. SCMAF CLOSED SESSION Closed Sess The City Council recessed to Closed at 6:55 p.m.to discuss the following: Recess CONFERENCE WITH LEGAL COUNSEL-ANTICIPATED LITIGATION Gov.Code Section Conf w/legal 54956.9 (b). Threat of litigation by Vulcan Materials regarding vested mining rights. Vulcan Mat PUBLIC EMPLOYEE APPOINTMENT (Gov.Code Sec. 549571 Pub Emp Appt Title: Human Resource Director HR Dir CONFERENCE WITH LABOR NEGOTIATOR(Gov.Code Sec. 54957.6) Conf w/Labor ,agency Negotiators: City Manager Delach and Assistant City Manager Person Negot. CAPP Organizations/Employee: CAPP REAL PROPERTY NEGOTIATIONS (Gov.Code Sec. 54956.8) Real Prop Neg Property Address: 303 E. Foothill Boulevard,Azusa, CA 91702 303 E. Foothill Negotiating Parties: Watt Genton Associates, LP Agency Negotiators: City Manager Delach and Assistant City Manager Person Under Negotiation: Price and Terms of Payment . REAL PROPERTY NEGOTIATIONS (Gov.Code Sec. 54956.8) Real Prop Neg Address: 716 N. Dalton Avenue,Azusa, CA 91702 716 N. Dalton Negotiating Parties: Watt Genton Associates, LP Agency Negotiators: City Manager Delach and Assistant City Manager Person Under Negotiation: _ Price and Terms of Payment REAL PROPERTY NEGOTIATIONS (Gov.Code Sec. 54956.81 Real Prop Neg Address: 726 N. Dalton Avenue,Azusa, CA 91702 726 N. Dalton . Negotiating Parties: Watt Genton Associates, LP Agency Negotiators: City Manager Delach and Assistant City Manager Person , Under Negotiation: Price and Terms of Payment REAL PROPERTY NEGOTIATIONS (Gov.Code Sec. 54956.8) Real Prop Neg Address: 728 N. Dalton Avenue,Azusa, CA 91702 728 N. Dalton Negotiating Parties: Watt Genton Associates, LP Agency Negotiators: City Manager Delach and Assistant City Manager Person Under Negotiation: Price and Terms of Payment LIABILITY CLAIMS (Gov.Code Sem 54956.95 Dab Claim ' Claimant: Michael Gomez M. Gomez The City Council reconvened at 7:35 p.m. City Attorney Carvalho advised that there was no reportable action taken in Closed Session and items I and 4-7 will be discussed at end of Reconvened meeting. City Attorney Mayor Rocha called the meeting to order. Call to Order Executive Director of the Chamber of Commerce Irene Villapafila led in the salute to the Flag. Flag Salute INVOCATION was given by Pastor Wayne Leamons of Bread of Life Church Invocation ROLL CALL Roll Call PRESENT: COUNCILMEMBERS: GONZALES,CARRILLO,MACIAS, HANKS,ROCHA ABSENT: COUNCILMEMBERS: NONE ALSO PRESENT: Also Present City Attorney Carvalho, City Manager Delach, Assistant City Manager Person, Director of Utilities Hsu, Chief of Police Garcia, Director of Economic and Community Development Coleman, Director of Recreation and Family Services Jacobs, Recreation Supervisor Gonzales, Director of Public Works/Assistant City Manager Makshanoff, Public Information Officer Quiroz, City Clerk Mendoza, Deputy City Clerk Toscano. PUBLIC PARTICIPATION - Pub Part Mr. Mike Lee addressed Council urging all to vote in tomorrows election, bid get well wishes to M. Lee Victor Subia and Jean Barta and expressed his opinion on various other items, i.e. restaurants, Comments successful events and asked all to pray for our troops. Mr. Gilbert Becerril provided an update on the Memorial Monument in front of City Hall, noting G. Becerril that they will be adding wings and columns to it and holding fundraisers. He invited all to Comments Support Our Troops Day, in front of City Hall on February 16, 2008. Executive Director of the Chamber of Commerce Irene Villapafila provided an update of the I.Villapafiia Chamber activities and Special Events. She announced the Azusa State Address, which Comments includes State of Business, State of the City and State of the Schools, will be held on Wednesday, February 20, 2008, at 8:00 a.m. at the Azusa Army National Guard Readiness Center, 1351 W.Sierra Madre Blvd; cost is $20 per person,which includes a full breakfast. Mr. Dick Cortes addressed Council thanking APU, Assemblyman Ed Hernandez, Rotary Club D. Cortes and AUSD for their part in the Hands Across Azusa event. He commented on Vulcan mining, Comments thanked Council for the Joint Meeting with the City of Duarte and asked if something could be done about day laborers returning to Edgewood Shopping Center. Ms. Peggy Martinez addressed Council with comments regarding the grand opening of La p. Martinez Tolteca, the A Team and the protection of the "A" on the mountainside; lastly she talked about Comments the success of the Miss Azusa and Miss Outstanding Teen Pageant. Miss Azusa for 2008 Wanda Perkins, addressed Council thanking all for the support she received and announced her Court who were not present at the meeting as follows: Claudia Miss Azusa Melia, Crystal Munoz and Natalie Castillo. Miss Outstanding Teen Yadia Cabral, runner up Court,Miss Erica Hernandez, and runner up Valerie Vasquez announced their platform for the event and Outstanding why they chose them. Teen Mr. Dick Stanford, Mayor Pro-Tem Emeritus, addressed Council reminiscing about his time on the Council, introduced his wife Bev, and talked about their travels and retirement together. D. Stanford Comments REPORTS, UPDATES COUNCIL BUSINESS AND ANNOUNCEMENTS-STAFF Rpts/Updates Mr. Gilbert Becerril announced andinvitedeveryone to attend the Support Our Troops Day on February 16`"and advised that he would be submitting plans for the extension/modification of G. Becerril the Veterans Monument in front of City Hall. Comments 02/04/08 PAGE TWO _ s City Manager Detach responded to question regarding the Day Laborers at Edgewood Center City Mgr noting that the person in charge of the matter has been out ill. He announced that the Target Response/. Syoping meeting will be held on Thursday, February 7, 2008, a 7:00 p.m. at the Senior Center. Announcements. He provided an update on the Joint Meeting with the City of Duarte highlighting discussions - regarding Encanto Parkway, Pedestrian Bridge and Foothill Boulevard conditions being studied to make the areas safer. He announced that Congresswoman Solis presented a check in the amount of $150,000 to the City of Azusa for the rehabilitation of armory building and $477,000 for continued operation for medical building. Assistant City Manager Person presented an update on the southern entry Monument Sign on Assist City Mgr Azusa Avenue stating that the monument artwork has deteriorated because of the sun and that Monument sign the artist Foresight Creation is proposing to replace it a digital creation for $3973.00. He presented other options to lower the cost. He responded to questions posed by Councilmembers and advised that he would work with the artist and bring back options for replacements and durability of the art work. City Manager Detach provided an update on supplying paint for the American and National City Mgr Little Leagues facilities stating that the cost would be $15 gal or $75 for five gallon buckets; he Funds for noted that the estimated amount needed by each league would be 30 gallons of $450 in cost League and proposed to provide each League with $500 scholarship/grant for the painting of the Facility facilities. (City Manager to provide exact balance amount to Councilmembers) Moved by Councilmember Carrillo, seconded by Councilmember Macias and unanimously $500 appvd carried to give$500 from the Scholarship Fund to each League in order to maintain the facility. To Leagues City Manager Detach 'advised that he, other staff members and Councilmember attended a City Mgr meeting at Cal-Trans where they discussed the Azusa Reader Board, and the dissatisfaction Comments with the care and maintenance of on and off ramps at Citrus, Azusa and Vernon In the City of Cal-Trans Azusa; he advised that Cal-Trans officials committed to work with the City on certain projects On/off ramps and the City offered a partnership to rehabilitate and revitalize the ramps. In the City Assistant City Manager Person provided and update on the Reader Board at the Shell gas Assist City Mgr station at Azusa and First Street. He provided a brief history, stating that approximately one Reader Brd year ago the City sent out to revitalize the Board but found that a Federal level directive Update regarding the subject area and it was declared a Landscaping Zoning Areas in 1964 by Ladybird Johnson; there is a need to rezone it. Discussion was held regarding the lack of improvements to that area landscape and the stumbling blocks that have occurred. It was noted that Cal- Trans has committed to help with the on and off ramps as well as the landscaping and other matters of concern; City Manager advised that staff and Cal-Trans will be meeting at the freeway next week. Councilmember Macias proposed that funds be raised to erect a welcoming monument at one of the off ramps. Mr. Greg Applegate, City's Contract Arborist, provided an update on the status of palm trees at G.Applegate the Rosedale development. He stated that there are two groups of palms, Mexican fan palms Status of Palm on the Promenade and California fan palms on Palm Drive and described how trees are being Trees- handled, which have died and why, as well as which are surviving. He talked about the Rosedale damage that the standing rain water has caused and the need for a storm drain. He responded to questions posed by Councilmembers. City Manager Delach also responded to comments made and stated that there is a fund from Azusa Land Partner for the care of the trees. , Councilmember Macias stated that in an effort to improve the City as a whole, he would like to .Macias include the Azusa Post Office as a topic of discussion at a work shop, and approach Comments Congresswoman Solis regarding the matter; contact County Board of Supervisor Gloria Molina regarding Improvement to the County areas of Azusa and look into the possibility of Athens sweeping alleyways. Mayor Rocha noted that he has received approval from AUSD to use Murray Elementary School for a County meeting. Councilmember Gonzales reminded and urged all to vote in the California Primary Election on Gonzales February 5, 2008. Comments Councilmember Carrillo congratulated all Miss Azusa and Miss Outstanding Teen contestants Carrillo and winners; he urged all to continue with water conservation; announced that the Downtown Comments North Meeting has bee postponed and urged all to vote. Moved by Councilmember Gonzales, seconded by Mayor Pro-Tem Hanks and unanimously Rocha carried to approve the request for proclamation for Boy Scout Aaron Meisel, of Troop 405 who Comments has achieved the Eagle Scout award. 02/04/08 PAGE THREE Mayor Rocha requested that all pray for Robert Aguirre, a student who has cancer, and Rocha announced that there is a cancer outreach classes at Citrus Valley Health Partners which will be Comments held on February I 1`h,May W.August le and November 10' , from 3:30 p.m.—5:00 p.m. at the Cancer Research Center in Covina. He thanked Peggy Martinez for the Miss Azusa Program; invited all to the Target Scoping Meeting, on Thursday, February 7, 2008; and asked that the meeting be adjourned in memory of Former Fire Captain John Uttlefield, Olga Lobaco, and Carmelita Mariscal Castillo. (Later in the meeting Gorden B. Hinckley was added) SCHEDULED ITEMS Sched Items PUBLIC HEARING - REQUEST BY COVINA IRRIGATING COMPANY (CIC) THAT CITY OF AZUSA Pub Hrg CONSENT TO USE OF EMINENT DOMAIN BY COVINA IRRIGATING COMPANY TO ACQUIRE A CIC Waterline WATERLINE EASEMENT ON PRIVATE PROPERTY WITHIN THE CITY LIMITS. City Attorney Carvalho addressed the issue stating that the City received a request from CIC City Attorney who requested Council adopt a resolution to determine if eminent domain could be used by Comments - them; the proposed resolution gives the City consent for CIC to exercise eminent domain, but she clarified that the resolution does not commit the City to use eminent domain; consideration and adoption of the resolution does not have anything to do with whether CIC will be successful in acquiring the land by eminent domain. She stated that the Councils duty is to make several findings as follows: That the public interest and necessity require the proposed project; That the proposed project is planned or located In a manner that will be most compatible with the greatest good.and least private Injury; That the property described in the resolution is necessary for the proposed project; and That hardship on the quasi-public entity of not getting the easement outweighs any hardship to the owners of such property. She noted that whether proper appraisals have been done on the property and whether discussion between CIC and property owners have been conducted in good faith, that is an Issue between the two parties. She added that a packet has been received From the law firm representing the property owners and recommended to briefly hear from CIC, as to why they believe Council can make the four findings; conduct the public hearing and determine independently whether Council believe these findings can be made. . Mr. David De Jesus, President and General Manager of Covina Irrigating Company, the D. De Jesus applicant, addressed the public hearing detailing why there is a need to acquire a waterline Comments easement on the private property and what has transpired between the company and property owners to this point. He presented a power point depicting the water line, alternatives which would be costly measures and the process for construction. He responded to questions posed by Councilmembers regarding a possible mediation process, number of units on the property etc. Ms. Linda Hamer addressed the Hearing and voiced her opinion against eminent domain and L. Harrier the waterline stating that several times they have requested additional information regarding Comments the project to no avail. - Mr. Paul Philips, City Manager of City of Covina addressed the Hearing noting the critical need P. Philips for upgrading infrastructure stating that there is a need to move prudently and, CIC has done Comments due diligence for the pipeline; he is in favor of adoption the resolution. Mr. Ruston Glass addressed the Hearing against the waterline noting that it will -affect 90 R. Glass homeowners, there will be no parking and huge traffic impacts. Comments Mr. Ruben Lopez addressed the Hearing stating that the HOA had no information for them and R. Lopez CIC provided him with it. His concern was the safety of his child, who is 15 months; he Comments detailed the process stating it would be an inconvenience,but that the HOA could use $50,000 to upgrade their community. Ms. Fran Diggs, Homeowners Association Property Manager addressed the Hearing stating that F. Diggs CIC has not worked with the HOA. She voiced her opinion against the use of eminent domain Comments and the project. Ms. Kim Antol addressed the Hearing voicing her opinion against the project and use of K Antol eminent domain. Comments Ms. Rachel Mendoza addressed the Hearing noting the dangers and vandalism in parking on R.Mendoza the street and blocks from her home. - Comments Mr- Gan addressed the Hearing voicing his opinion against the project, noting that it is morally M.Gan and ethically wrong and will have adverse Impacts on their properties. Comments 02/04/08 PAGE FOUR Ms. Sherry Math addressed the Hearing noting that the money being offered could be used to S. Math improve the complex and wished to withdraw the letter she signed against eminent domain; Comments sbe thought they were taking her home. Ms. Linda Herba addressed the Hearing noting the hazards of parking on the streets where L. Herba there have been problems with vandalism. Comments Ms. Andrea Cruz addressed the Hearing stating she would like to know more about the A. Cruz setbacks for the existing canal, which other properties are going to be impacted, and the route Comments of this construction. Ms. Marie Browers addressed the Hearing advising that she will be greatly impacted, she works M. Browers nights and will be trying to sleep through the day. Comments Mr. Eric Fisher addressed the Hearing expressing his opinion against the project stating there E. Fisher will be no compensation with the inconvenience and that there is a lot of homeless up in that Comments area. He noted there is a need for security, and a place to put the equipment; his car has been vandalized three times since 1994,there will be much noise and possible pipe leaking. Mr. Danny Archuleta addressed the Hearing expressing his opinion regarding the matter in D.Archuleta hopes of a resolution soon. Comments Moved by Councilmember Carrillo, seconded by Councilmember Gonzales and unanimously Hrg clsd carried to close the Public Hearing. Discussion was held between the Applicant, Staff, and Councilmembers regarding negotiations Discussion with the HOA, alternate roads, impacts on San Gabriel Avenue, i.e. trenches, Rosedale Easement, canal, effects from adopting the resolution, understanding of the findings which have to be made, and the possibility of a mediation process. It was consensus of Councilmembers that a mediation process take place to be facilitated by Discussion the City Attorney; that Mayor Rocha and Councilmember Macias visit the facility to take a walk And comments through; that there is a need to have agreement upon the money and to note that the residents will be inconvenienced; and that there is a need for a signed agreement for the easement through the parking lot. Movedby Councilmember Macias, seconded by Mayor Rocha and unanimously carried to Hrg Continued continue the Public Hearing to the meeting of March 17, 2008 in order for a mediation process To 3/17/08 to be conducted; within thirty days the mediation should be scheduled and within 60 days there should be a signed agreement for the easement via the parking lot. REQUEST FROM PLANNING COMMISSION - APPROVAL OF FORMATION OF AN ECONOMIC Ping Request DEVELOPMENT SUBCOMMITTEE OF THE PLANNING COMMISSION. City Manager Delach To form an requested that the item be continued to the next meeting in order for staff to provide a City ED sub com Staff report with regard to the item. It was consensus of Councilmembers to continue the item to the next meeting. The City Council recessed at 10:59 p.m. and reconvened at 11:05 p.m. Recess The CONSENT CALENDAR consisting of Items D-I through D-8 was approved by motion of Consent Cal Councilmember Macias, seconded by Mayor Pro-Tem Hanks and unanimously carried with the Items exception of items D-4 and D-5, which was considered under the Special Call portion of the Agenda. Items D-3 and D-7,were REMOVED FROM THE AGENDA. 1. The minutes of the regular meeting of January 22, 2008,were approved as written. Min appvd 2. Human Resources Action Items were approved as follows: Merit Increase and/or Regular Appointments: J. M.Aguilar, E. Street,1. Sandoval, S. Hunt, HR Action N. Covarrubias, M. Bauer, P.Adame, and M. Czarnota. Items Promotion: A.Solis, Line Mechanic. 3. REMOVED FROM AGENDA. Indemnification Agreement Between City And Covina Rmvd from Irrigating Company (CIC) regarding resolution consenting to use of eminent domain by /agenda Covina Irrigating Company to acquire a waterline easement on property owned by crystal CIC agmt canyon homeowners. 4. SPECIAL CALL ITEM. Spec Call 02/04/08 PAGE FIVE S. SPECIAL CALL ITEM. Spec Call i 6. The City Treasurers Report as of December 31, 2007,was received and filed. Treas Rpt 7. REMOVED FROM AGENDA. Civilian Association of Police Personnel (CAPP) contract Rmvd Agenda dated August I, 2007 through July 31, 2010. CAPP contract 8. The following resolution was adopted and entitled: A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF AZUSA ALLOWING CERTAIN Res. 08-C8. CLAIMS AND DEMANDS AND SPECIFYING THE FUNDS OUT OF WHICH THE SAME Warrants ARE TO BE PAID. SPECIAL CALL ITEMS - Special Call Councilmember Gonzales addressed Item regarding the Retro-fit ball field lighting at Memorial Gonzales Park asking the timeframe for completion of the lighting. Director of Recreation and Family Comments Services responded stating It will be late spring/early summer. Moved by Councilmember Macias, seconded by Councilmember Gonzales and unanimously Retro-Fit ball carried to award the contract to Ace Electric in the amount of $198,600.00, for the Retro-Fit Field Mem Pk Ball Field Lighting Project at Memorial Park. approved Councilmember Macias addressed item regarding the annual weed abatement of improved Macias properties asking how the affected property owners were informed of the Hearing. Mr. Comments Richard Anderson of Los Angeles County Fire responded that property owners were sent declaration cards and the Hearing will be published in the local newspaper. Councilmember Macias offered a Resolution entitled: A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF AZUSA DECLARING HAZARDOUS Res.08-CT. BRUSH, DRY GRASS, WEEDS, COMBUSTIBLE GROWTH OR FLAMMABLE VEGETATION ON Weed IMPROVED PARCELS OF LAND TO BE A SEASONAL AND RECURRING NUISANCE. (Public Abatement Hearing was scheduled for February 19, 2008, at 7:30 p.m. or as soon thereafter as the Improved Prop matter may be heard). Moved by Councilmember Macias, seconded by Councilmember Gonzales to waive further reading and adopt. Resolution passed and adopted by the following vote of the Council: AYES: COUNCILMEMBERS: GONZALES, CARRILLO,MACIAS, HANKS, ROCHA NOES: COUNCILMEMBERS: NONE - ABSENT: COUNCILMEMBERS: NONE THE CITY COUNCIL AND THE REDEVELOPMENT AGENCY CONVENED JOINTLY TO Joint Clty/CRA CONSIDER THE FOLLOWING ITEM: Item PROFESSIONAL SERVICES AGREEMENT WITH HOGLE-IRELAND, INC. FOR PREPARATION OF PSA Hogle- HOUSING ELEMENT UPDATE. Ireland Moved by Mayor Pro-Tem/Director Hanks, seconded by Councilmember/Director Carrillo and Housing unanimously carried to authorize the City Manager/Executive Director to enter into a Elemet professional services agreement with Hogle-Ireland, Inc., for the preparation of the State- Approved mandated update to the City's Housing Element of the General Plan, and approval was given for a budget amendment In the amount of$90,000, of which $60,270 will be funded by the _ City's General Fund reserves and $29,730 will be funded by the Redevelopment Agency's Low-to-Moderate Income Housing Set Aside Fund reserves, in order to finance the costs of preparing the Housing Element update, legal review, community workshop supplies, negotiations with the State Department of Housing and Community Development, and other incidental expenses. - THE CITY COUNCIL RECESSED AND REDEVELOPMENT AGENCY CONTINUED AT flat CRAconvene P.M. THE CITY COUNCIL RECONVENED AT 11:13 P.M. Cncl rcnvd 02/04/08 PAGE SIX It was consensus of Councilmembers to recess back to Closed session at 11:14 P.M. The City Recess back to Council reconvened at 12:14 P.M. There was no reportable action Closed Session It was consensus of Councilmembers to adjourn in memory of Former Fire Captain John Adjourn in Littlefield, Olga Lobaco, Carmelita Mariscal Castillo,and Gordon B. Hinckley. Memory of J. Littlefield, O. Lobaco, C. Castillo, G. Hinckley UPCOMING MEETINGS: Upcoming Meetings February 19, 2008, (Tuesday) City Council Meeting-6:30 p.m. (Auditorium) February 25, 2008 Utility Board Meeting-6:30 p.m. (Light and Water Conference Room) March 3, 2008, City Council Meeting-6:30 p.m. (Auditorium) March 17, 2008, City Council Meeting-6:30 p.m. (Auditorium) . TIME OF ADJOURNMENT: 12:15 P.M. CITY CLERK NEXT RESOLUTION NO.2008-C9. NEXT ORDINANCE NO.2008-01. )2/04/08 PAGE SEVEN Y'" r ri wal CITY OF AZUSA MINUTES OF THE CITY COUNCIL . SPECIAL MEETING MONDAY,JANUARY 28,2008—8:45 P.M. The City Council of the City of Azusa met In special session at the above date and time in the Light and Water Conference Room located at 729 N.Azusa Avenue,Azusa. Mayor Rocha called the meeting to order. Call to Order ROLL CALL Roll Call PRESENT: COUNCILMEMBERS: GONZALES,CARRILLO,MACIAS, ROCHA ABSENT: COUNCILMEMBERS: HANKS ALSO PRESENT: Also Present City Attorney Martinez, City Manager Delach, Assistant City Manager Person, City Clerk Mendoza, Deputy City Clerk Toscano. PUBLIC PARTICIPATION Pub Part None. None Closed Sess CLOSED SESSION It was consensus to recess to Closed Session to discuss the following: CONFERENCE WITH LEGAL COUNSEL —ANTICIPATED LITIGATION Gov. Code Section Vulcan Materials 54956.9 (bl. Threat of litigation by Vulcan Materials regarding vested mining rights. (Discussion continued from January 22, 2008, City Council Meeting). The City Council reconvened at 9:13 pm. City Attorney Martinez advised that there was no No Rpts reportable action taken in Closed Session. It was consensus of Councilmember to adjourn. Adjourn TIME ADJOURNMENT: 9:14 P.M. CITY CLERK NEXT RESOLUTION NO. 08-C7. 0 t; �'��`-���;a�� CITY OF AZUSA MINUTES OF THE CITY COUNCIL AND THE REDEVELOPMENT AGENCY SPECIAL MEETING—JOINTLY WITH CITY OF DUARTE TUESDAY,JANUARY 29,2008—6:07 P.M. The City Council and the Redevelopment Agency Board Members of the City of Azusa met in special session at the above date and time in the Azusa Auditorium, located at 213 E. Foothill Boulevard,Azusa. Mayor/Chairman Rocha called the meeting to order. Call to Order Azusa Chief of Police Bob Garcia led in the salute to the Flag. Flag Salute ROLL CALL Roll Call PRESENT: COUNCILMEMBERS: GONZALES,CARRILLO,MACIAS,ROCHA ABSENT: COUNCILMEMBERS: HANKS MEMBERS OF THE DUARTE CITY COUNCIL PRESENT: REYES, FASANA, FINLAY, PARAS- Duarte Cncl CARACCI, GASTON ALSO PRESENT: Also Present City Manager/Executive Director Delach,Assistant City Manager/Assistant Executive Person, Chief of Police Garcia, Director of Utilities Hsu, Public Information Officer Quiroz, Library Director Tovar, Recreation Supervisor Hamilton, Economic Development Director Coleman, Public Works Director Makshanoff, Director of Information Technology Graf, Secretary/City Clerk Mendoza, Deputy Secretary/Deputy City Clerk Toscano. PUBLIC PARTICIPATION Pub Part Mr. Richard Deem addressed Council voicing his opinion against Vulcan mining and the letter R. Deem they submitted regarding their right to mine the additional 80 acres in the west side of their Comments property. Mr. Lino Paras addressed Council voicing his opinion against Vulcan mining noting that clean L. Paras and bad air has no boundaries. Comments Mr.AI Contreras of the Upper San Gabriel Valley Water District addressed Council noting that A.Contreras his concern Is the water and the possibility of contamination by the mining. Comments Mr. Charles Bucker Gwyn addressed Council noting the positive changes in both cities, but C. Gwyn noted that the backdrop mountains are an eye sore that can be seen from all over; he would Comments like to see a positive change. Mr.Allen Hiller addressed Council voicing his opinion against Vulcan mining In the community. A. Hiller Comments Ms. Susan Buchanan addressed Council voicing her opinion against the Vulcan mining and S. Buchanan hopes they receive the message that the community is against it. comments AGENDA ITEMS - Agenda Item , The following issues were discussion: Joint Issues Encanto Parking Restrictions- Discussion was held regarding truck traffic up EI Encanto, Encanto Pltg speed control,and possible liabilities. City Manager Delach advised that parking restrictions Restrictions can be lifted during weekends and special events on one side of the street and he would have City Engineer look into the feasibility. Encanto Nature Walk-Deputy City Manager Karen Herrera of Duarte provided an update on Encanto Nature the Rivers and Mountains Conservancy and what they will be doing with funds for the Nature Walk Walk.She requested a commitment from Azusa police to patrol more frequently when they are up and running; completion date is early part of 2009. Pedestrian Bridee San Gabriel River-City Managers of both cities and Deputy City Manager Pedestrian Bridge Herrera of Duarte provided information regarding the issue and discussion was held. Safety SG River was one of the most important Issues and City Manager Delach was asked to provide costs estimates for lighting/solar or motion sensor. Foothill Boulevard Street Conditions/Maintenance-Lengthy discussion was held and It was Foothill Blvd noted that City of Irwindale and Los Angeles County are taking responsibility for their part of Street Conditions this area. Some problems noted in that area were poor street condition,roots of trees tearing Maintenance asphalt, lighting on bridge, dangerous curve and safety In general; it was noted that a traffic study should be performed as well as the responsibility for those Issues. San Gabriel River Homeless Issues-Azusa Chief of Police Garcia detailed the intervention SG River that was performed In the Canyon area in October and Issues with homeless.Discussion was Homeless Issues held regarding responsibility,reporting Incidents/suspicious persons and psa regarding dangers of water and drowning(s). Minin¢Issues-Lengthy discussion was held regarding Vulcan mining,its special use permit, Mining Issues acreage,terms,vested rights,etc. City Attorney Carvalho responded to questions posed and detalled history, conditions, monitoring, compliance, threats of litigation, general plan, etc. Question and answer session ensued and many questions were posed regarding the history of Vulcan Materials; City Attorney Carvalho advised that she would return with responses to question as soon as possible. It was consensus of Councilmembers/Directors to adjourn. Adjourn TIME ADJOURNMENT: 7:57 P.M. CITY CLERK/SECRETARY NEXT RESOLUTION NO. 08-C7 NEXT RESOLUTION NO. 08-R4 01/29/08 PAGE TWO u• p. CONSENT CALENDAR TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL FROM: KERMIT FRANCIS, INTERIM DIRECTOR OF HUMAN RESOURCES/PERSONNEL OFFICER VIA: F.M. DELACH, CITY MANAGERf4 DATE: FEBRUARY 19, 2008 SUBJECT: HUMAN RESOURCES ACTION ITEMS RECOMMENDATION It is recommended that the City Council approve the following Personnel Action Requests in accordance with the City of Azusa Civil Service Rules and applicable Memorandum of Understanding(s). BACKGROUND On February 12, 2008, the Personnel Board confirmed the following Department Head recommendation regarding the following Personnel Action requests. A. MERIT INCREASE AND/OR REGULAR APPOINTMENT: DEPARTMENT NAME` OI 'CIASSITICATION FACTIOXEFF RANGE/STE-41 P DATE IBASE MO SAI ARY Information Technology Richard Cabildo Senior IT Analyst Merit Inc 4214/4 12-21-07 $6,236.51 Information Technology Jaime Prado Senior IT Analyst/GIS Merit Inc 4214/4 12/21/07 $6,236.51 Police Jerry Arnold Police Sergeant Merit Inc 6501/5 1/1/08 $7,523.43 Police Jorge Arias Police Officer Merit Inc 6101/5 1/15/08 1 $6,157.52 Police Jesse Landa Police Officer Reg Appt. 6101/2 11-27-07 1 $5,310.75 B. NEW APPOINTMENT: The following appointments have been requested by department heads pursuant to the Rules of The Civil Service System. DEPAIiTM'ENT .NAME =CLASSIFICATION: AFFECTIVEIDATE 'RANGE/STEP _ BA"SEMO ALARY Police Mark Adams Lateral Police Officer Pending phy & 6101/4 fingerprints $5,860.69 C. SEP/Bl/{Tl()N The following separations submitted for informational CT Utilities Todd St. John Line Mechanic 12-7-08 FISCAL IMPACT There is no fiscal impact, as positions listed are funded in approved department budgets. ` J u AFM CITY COUNCIL CONSENT ITEM TO: THE HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL FROM: BRUCE A. COLEMAN, ECONOMIC AND COMMUNITY DEVELOPMENT JJ DIRECTOR VIA: F.M. DELACH, CITY MANAGER f,1&57 DATE: FEBRUARY 19, 2008 /" SUBJECT: RESOLUTION FINDING THAT THE FORMATION OF A PROJECT AREA COMMITTEE FOR THE PROPOSED AMENDMENT TO THE REDEVELOPMENT PLAN FOR THE MERGED CENTRAL BUSINESS DISTRICT AND WEST END REDEVELOPMENT PROJECT AREAS ("PROJECT AREA") IS NOT REQUIRED BY HEALTH AND SAFETY CODE SECTION 33385 RECOMMENDATION It is recommended that the City Council of the City of Azusa adopt the resolution finding and determining that the formation of a Project Area Committee for the proposed amendment to the Redevelopment Plan for the Project Area is not necessary pursuant to California Community Redevelopment Law, Health and Safety Code Section 33000 et seq. ("CRL"). BACKGROUND The City Council,,working in cooperation with the Redevelopment Agency of the City of Azusa ("Agency"), began the process to amend the Redevelopment Plan (" Amendment") for the . Project Area on January 7, 2008, by designating a survey area for the proposed areas to be added ("Added Area") to the Project Area. The Agency has been following the procedures established in the CRL for amending the Redevelopment Plan for the Project Area. Pursuant to Section 33324 of the CRL, the Planning Commission worked in conjunction with the Agency to prepare and adopt the Preliminary Plan for the Amendment, which established the boundaries of the Added Area. Pursuant to Section 33385 of the CRL, the City Council shall form a Project Area Committee ("PAC") consisting of residents, business tenants, property owners, and existing community organizations if either of the following situations exist for the Amendment: 1 . A substantial number of low- to moderate-income persons reside within the Added Area, and the proposed amendment to the Redevelopment Plan for the Project Area Page 2 of 2 February 19, 2008 The Honorable Mayor and Members of the City Council Re: Resolution Finding that the Formation of a Project Area Committee for the Proposed Amendment to the Redevelopment Plan for the Merged Central Business District and West End Redevelopment Project Areas ("Project Area") Is Not Required By Health and Safety Code Section 33385 will contain the authority for the Agency to acquire, by eminent domain, property on which any persons reside. 2. The proposed amendment to the Redevelopment Plan for the Project Area contains one or more public projects that will displace a substantial number of low- to moderate-income persons. The Agency will not be required to form. a PAC for the Amendment pursuant to the requirements of Section 33385 of the CRL for the following reasons: • The Added Area does not contain any residential property. • The Added Area does not contain a substantial number of low- to moderate-income persons. • The existing Redevelopment Plan for the Project Area does not authorize the Agency to acquire lawfully occupied residences, both owner-occupied and rental, by condemnation unless requested in writing by the property owner. The amendment to the Redevelopment Plan for the Project Area will not amend this eminent domain policy. • The Amendment does not contain one or more public projects that will displace a substantial number of low- to moderate-income persons. The Amendment does not require the Agency to form a PAC. The Agency must, however, follow the procedures for soliciting input from the community regarding the Amendment. The City staff will design a Community Information Meeting to present the Amendment to community members and business leaders, and provide opportunities to answer questions and receive input from residents, affected taxing entities, and civic and business organizations. FISCAL IMPACT This recommended action has no fiscal impact. Attachment: A Resolution of the City Council of the City of Azusa Finding and Determining that the Formation of a Project Area Committee for the Proposed Amendment of the Redevelopment Plan for the Merged Central Business District and West End Redevelopment Project Area Is Not Required by Health and Safety Code Section 33385 Maps of Proposed Added Area C:\Documents and Settings\rjara\Desktop\PlanAmend_CtyCouncil Mtg 2_19_08\No PAC Staff Report_rjj.DOC RESOLUTION NO. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF AZUSA FINDING AND DETERMINING THAT THE FORMATION OF A PROJECT AREA COMMITTEE FOR THE PROPOSED AMENDMENT OF THE REDEVELOPMENT PLAN FOR THE MERGED CENTRAL BUSINESS DISTRICT AND WEST END REDEVELOPMENT PROJECT AREA IS NOT REQUIRED BY HEALTH AND SAFETY CODE SECTION 33385 WHEREAS, the Redevelopment Agency ("Agency") of the City of.Azusa ("City") has begun the process for amending the Redevelopment Plan ("Amendment") for the Merged Central Business District and West End Redevelopment Project Area ("Project Area") in accordance with the California Community Redevelopment Law ("CRL"), Health and Safety Code Section 33000 et seq.; and WHEREAS, the City of Azusa Planning Commission, selected and designated the boundaries of the areas to be added to the Project Area ("Added Area") through its approval of the Preliminary Plan for the Amendment January 30, 2008, which included a map of the Added Area as an exhibit thereto, and authorized transmittal of the Preliminary Plan to the Agency; and WHEREAS, Section 33385 of the CRL requires the legislative body of a city to call upon the residents, business tenants, property owners, and existing community organizations in a redevelopment project area to form a Project Area Committee ("PAC") in either of the following situations: 1 . A substantial number of low-income persons or moderate-income persons, or both, reside within the Project Area, and the Redevelopment Plan as adopted will contain authority for the Agency to acquire, by eminent domain, property on which any persons reside; and 2. The Redevelopment Plan as adopted contains one or more public projects that will displace a substantial number of low- or moderate-income persons, or both; and WHEREAS, none of the properties within the Added Area are residential, nor do any low- to moderate-income residents reside within the Added Area; and WHEREAS, the Agency's adopted Redevelopment Plan for the Project Area does not authorize the Agency to acquire lawfully occupied residences, both owner-occupied and rental, by condemnation unless requested in writing by the property owner; and WHEREAS, the Amendment shall not contain one or more public projects that will displace a substantial number of low- to moderate-income persons; and WHEREAS, the City Council wants to ensure an open process with community involvement and therefore directs City staff to conduct a Community Information Meeting to present the Amendment to community members and business leaders, and provide opportunities to answer questions and receive input from residents, affected taxing entities, and civic and business organizations. I NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF AZUSA, CALIFORNIA, DOES FIND AND DECLARE THAT: Section 1. The formation of a PAC for the Amendment is not necessary pursuant to the requirements of Section 33385 of the CRL. Section 2. The City Council directs that Agency staff conduct a Community Information Meeting to discuss the Amendment and receive input from residents, affected taxing entities, and civic and business organizations. Section 3. The City Clerk shall certify the adoption of this resolution. PASSED, APPROVED AND ADOPTED this 19th day of February, 2008 by the City Council of the City of Azusa. Mayor I HEREBY CERTIFY that the foregoing Resolution was duly adopted at a regular meeting of said City Council on the day of , 2008, by the following vote of the Council: AYES: COUNCILMEMBERS: NOES: COUNCILMEMBERS: ABSTAIN: COUNCILMEMBERS: ABSENT: COUNCILMEMBERS: City Clerk 2 CSDomments and Settings\rlara\DesktopWil entl CtyCouncil Mtg 2_19 081No PAC Resolutlon 021908.DOC ORANGUHULL\43885.1 1 �- i 'I 'I I Y 1� ♦J c ` I City Hall -- Ms ! u 1922 : . 1 : 1 1 1 : . 1 : 1 • 1 : . 1 : 1 • •1 : : . 11 11 : . 1 : 1 11 : . 1 : 1 : • 1 : . 1 : 1 • • 1 : . 11 1 � : . 1 : 1 : • 1 • • : • 1 : 1 : • 1 : . 1 : 1 • • 1 . • : . 11 1 : . 1 : 1 • • 1 � : . 1 : 1 • • 1 � 1 : . 11 1 : . 1 : 1 • • 1 : . 1 : 1 • • 1 : . 11 1 1 • : . 1 : 1 • • 11 • : . 11 1 � : : . 11 1 I 210 freeway II IF y J r _. 0 K I 1 I i I e i p� ,ter 1 I Added Area a e Central Business District (Merged Project) Listinq of Added Area Parcel Numbers: Added Area Portion 3 1 - 8614-014-058 5 - 8614-015-027 9 - 8614-015-028 2 - 8614-014-057 6 - 8613-024-024 10 - 8614-016-910 3 - 8614-014-917 7 - 8613-024-023 11 - 8614-016-908 4 - 8614-014-054 8 - 8614-015-900 • ti�OF ASG CONSENT ITEM TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL FROM: JAMES MAKSHANOFF, PUBLIC WORKS DIRECTOR VIA: F.M. DELACH, CITY MANAGER DATE: FEBRUARY 11, 2008 SUBJECT: AWARD OF CONTRACT - PAINTING OF THE LIGHT/SAFETY STANDARDS IN DOWNTOWN AREA RECOMMENDATION It is recommended that the City Council award a contract in the amount of $14,230.00 to Bithell Inc. for the painting of the light/safety standards in the downtown area. BACKGROUND On November 19th, 2007 the City Council authorized staff to solicit bids for the painting of the light/safety standards in the downtown area. It has been approximately 10 years since the various light poles, trash receptacles and bollards were installed throughout the downtown area. Since then, there have only been minor repair efforts for the paint finish of these fixtures. A formal bid opening was held on January 28th, 2008. Bids were solicited for 2 specifications; water-base and poly-urethane paint. Paint color specified is Cobalt Blue #140 alca "Azusa Blue" (Note: Once applied, color/tone will appear significantly different due to the fading that has occurred throughout the years, however the original color specification has remained the same). The following bids.were received per the poly-urethane specification: 1. Bithell Inc. $ 14,230 5. Royal Crest $ 46,288 2. Leos A-C Inc. $ 14,895 6. C.T. Georgiou $ 49;040 3. Kronos Inc. $ 23,785 7. Best Quality $ 111,822 4. A.J. Fistes $ 41,320 8. Spectra Co. $ 118,707 Bithell Inc. was the low-bidder for the water-base and poly-urethane specifications. The price differential for the poly-urethane paint specification is $2,100. The life of the poly-urethane application is 10-12 years; that of the water-base paint is 7-8 years. Staff recommends an award of contract to Bithelll Inc. per the poly-urethane specification. Bithell has performed similar projects for other municipalities; references were verified. FISCAL IMPACT Project was not adopted in the FY 07/08 CIP; funds are available in the Gas Tax Reserve. Attachments: Maintenance Service Agreement CITY OF AZUSA AGREEMENT FOR MAINTENANCE SERVICES 1. PARTIES AND DATE. This Agreement is made and entered into this 11th day of February,2008 by and between the City of Azusa, a municipal corporation of the State of California, located at 213 East Foothill Boulevard, Azusa, California 91702-1295,County of Los Angeles, State of California, (hereinafter referred to as"City") and Bithell,Inc., a Corporation with its principal place of business at 1004 E. Edna Place, Covina, California (hereinafter referred to as "Contractor"). City and Contractor are sometimes individually referred to as "Party" and collectively as "Parties" in this Agreement. 2. RECITALS. 2.1 Contractor. Contractor desires to perform and assume responsibility for the provision of certain maintenance services required by the City on the terms and conditions set forth in this Agreement. Contractor represents that it is experienced in providing concrete industrial painting services to public clients, that it and its employees or subcontractors have all necessary licenses and permits to perform the Services in the State of California, and that is familiar with the plans of City. 2.2 Project. City desires to engage Contractor to render such services for the"Painting of the Downtown Light/Safety Standards" ("Project') as set forth in this Agreement. 3. TERMS. 3.1 Scope of Services and Term. 3.1.1 General Scope of Services. Contractor promises and agrees to furnish to the Owner all labor,materials,tools, equipment,services,and incidental and customary work necessary to fully and adequately supply the professional concrete repair services necessary for the Project ("Services"). The Services are more particularly described in Exhibit "A" attached hereto and incorporated herein by reference. All Services shall be subject to,and performed in accordance with, this Agreement,the exhibits attached hereto and incorporated herein by reference,and all applicable local, state and federal laws, rules and regulations. RVPUBWGS\547268 3.1.2 Tenn. The term of this Agreement shall be from February 10`h, 2008 to April 30`", 2008,unless earlier terminated as provided herein. Contractor shall complete the Services within the term of this Agreement, and shall meet any other established schedules and deadlines. 3.2 Responsibilities of Contractor. 3.2.1 Control and Payment of Subordinates;Independent Contractor. The Services shall be performed by Contractor or under its supervision. Contractor will determine the means, methods and details of performing the Services subject to the requirements of this Agreement. City retains Contractor on an independent contractor basis and not as an employee. Contractor retains the right to perform similar or different services for others during the term of this Agreement. Any additional personnel performing the Services under this Agreement on behalf of Contractor shall also not be employees of City and shall at all times be under Contractor's exclusive direction and control. Contractor shall pay all wages, salaries, and other amounts due such personnel in connection with their performance of Services under this Agreement and as required by law. Contractor shall be responsible for all reports and obligations respecting such additional personnel, including, but not limited to: social security taxes, income tax withholding, unemployment insurance, disability insurance, and workers' compensation insurance. 3.2.2 Schedule of Services. Contractor shall perform the Services expeditiously, within the term of this Agreement. Contractor represents that it has the professional and technical personnel required to perform the Services in conformance with such conditions. In order to facilitate Contractor's conformance with the Schedule,City shall respond to Contractor's submittals in a timely manner. Upon request of City, Contractor shall provide a more detailed schedule of anticipated performance to meet the Schedule of Services. 3.2.3 Conformance to Applicable Requirements. All work prepared by Contractor shall be subject to the approval of City. 3.2.4 City's Representative. The City hereby designates James Makshanoff,or his or her designee, to act as its representative for the performance of this Agreement ("City's Representative"). City's Representative shall have the power to act on behalf of the City for all purposes under this Contract. Contractor shall not accept direction or orders from any person other than the City's Representative or his or her designee. 3.2.5 Contractor's Representative. Contractor hereby designates Dave Ramirez,or his or her designee,to act as its representative for the performance of this Agreement("Contractor's Representative"). Contractor's Representative shall have full authority to represent and act on behalf of the Contractor for all purposes under this Agreement. The Contractor's Representative shall supervise and direct the Services, using his best skill and attention, and shall be responsible for all means, methods, techniques, sequences and procedures and for the satisfactory coordination of all portions of the Services under this Agreement. RVPUBWGSl547268 2 (BB&K:Jan.6,2000) 3.2.6 Coordination of Services. Contractor agrees to work closely with City staff in the performance of Services and shall be available to City's staff, consultants and other staff at all reasonable times. 3.2.7 Standard of Care: Performance of Employees. Contractor shall perform all Services under this Agreement in a skillful and competent manner, consistent with the standards generally recognized as being employedby professionals in the same discipline in the State of California. Contractor represents and maintains that it is skilled in the professional calling necessary to perform the Services. Contractor warrants that all employees and subcontractors shall have sufficient skill and experience to perform the Services assigned to them. Finally, Contractor represents that it, its employees and subcontractors have all licenses, permits, qualifications and approvals of whatever nature that are legally required to perform the Services, including a City Business License, and that such licenses and approvals shall be maintained throughout the tern of this Agreement. As provided for in the indemnification provisions of this Agreement, Contractor shall perform, at its own cost and expense and without reimbursement from the City, any services necessary to correct errors or omissions which are caused by the Contractor's failure to comply with the standard of care provided for herein. Any employee of the Contractor or its sub-contractors who is determined by the City to be uncooperative, incompetent, a threat to the adequate or timely completion of the Project, a threat to the safety of persons or property, or any employee who fails or refuses to perform the Services in a manner acceptable to the City,shall be promptly removed from the Proj ect by the Contractor and shall not be re-employed to perform any of the Services or to work on the Project. 3.2.8 Laws and Regulations. Contractor shall keep itself fully informed of and in compliance with all local, state and federal laws, rules and regulations in any manner affecting the performance of the Project or the Services,including all Cal/OSHA requirements,and shall give all notices required by law. Contractor shall be liable for all violations of such laws and regulations in connection with Services. If the Contractor performs any work knowing it to be contrary to such laws, rules and regulations and without giving written notice to the City, Contractor shall be solely responsible for all costs arising therefrom. Contractor shall defend, indemnify and hold City, its officials,directors,officers,employees and agents free and harmless,pursuant to the indemnification provisions of this Agreement, from any claim or liability arising out of any failure or alleged failure to comply with such laws, rules or regulations. 3.2.9 Insurance. 3.2.9.1 Time for Compliance. Contractor shall not commence Work under this Agreement until it has provided evidence satisfactory to the City that it has secured all insurance required under this section. In addition, Contractor shall not allow any subcontractor to commence work on any subcontract until it has provided evidence satisfactory to the City that the subcontractor has secured all insurance required under this section. RVPUBWGS'547268 3 (BB&SC:Jan.6,2000) 3.2.9.2 Minimum Requirements. Contractor shall,at its expense,procure and maintain for the duration of the Agreement insurance against claims for injuries to persons or damages to property which may arise from or in connection with the performance of the Agreement by the Contractor, its agents, representatives, employees or subcontractors. Contractor shall also require all of its subcontractors to procure and maintain the same insurance for the duration of the Agreement. Such insurance shall meet at least the following minimum levels of coverage: (A) Minimum Scope of Insurance. Coverage shall be at least as broad as the latest version of the following: (1) General Liability: Insurance Services Office Commercial General Liability coverage (occurrence form CG 0001); (2) Automobile Liability: Insurance Services Office Business Auto Coverage form number CA 0001, code 1 (any auto); and (3) Workers'Compensation and Employer's Liability:Workers' Compensation insurance as required by the State of California and Employer's Liability Insurance. (B) Minimum Limits of Insurance. Contractor shall maintain limits no less than: (1) General Liability: $1,000,000 per occurrence for bodily injury,personal injury and property damage. If Commercial General Liability Insurance or other form with general aggregate limit is used, either the general aggregate limit shall apply separately to this Agreement/location or the general aggregate limit shall be twice the required occurrence limit; (2)Automobile Liability: $1,000,000 per accident for bodily injury and property damage;and(3) Workers'Compensation and Employer's Liability: Workers' Compensation limits as required by the Labor Code of the State of California. Employer's Liability limits of$1,000,000 per accident for bodily injury or disease. 3.2.9.3 Insurance Endorsements. The insurance policies shall contain the following provisions, or Contractor shall provide endorsements on forms supplied or approved by the City to add the following provisions to the insurance policies: (A) General Liability. The general liability policy shall be endorsed to state that: (1)the City,its directors,officials,officers,employees, agents and volunteers shall be covered as additional insured with respect to the Work or operations performed by or on behalf of the Contractor, including materials,parts or equipment furnished in connection with such work;and (2) the insurance coverage shall be primary insurance as respects the City, its directors, officials, officers,employees, agents and volunteers,or if excess,shall stand in an unbroken chain of coverage excess of the Contractor's scheduled underlying coverage. Any insurance or self-insurance maintained by the City, its directors, officials, officers, employees, agents and volunteers shall be excess of the Contractor's insurance and shall not be called upon to contribute with it in any way. (B) Automobile Liability. The automobile liability policy shall be endorsed to state that: (1)the City,its directors,officials,officers,employees,agents and volunteers shall be covered as additional insureds with respect to the ownership, operation,maintenance,use, loading or unloading of any auto owned,leased,hired or borrowed by the Contractor or for which the RVPUBWGSl47268 4 (BB&K:Jan.6,2000) Contractor is responsible; and(2)the insurance coverage shall be primary insurance as respects the City,its directors,officials,officers,employees,agents and volunteers,or if excess,shall stand in an unbroken chain of coverage excess of the Contractor's scheduled underlying coverage. Any insurance or self-insurance maintained by the City,its directors,officials,officers,employees,agents and volunteers shall be excess of the Contractor's insurance and shall not be called upon to contribute with it in any way. (C) Workers' Compensation and Employers Liability Coverage. The insurer shall agree to waive all rights of subrogation against the City, its directors, officials, officers, employees, agents and volunteers for losses paid under the terms of the insurance policy which arise from work performed by the Contractor. (D) All Coverages. Each insurance policy required by this Agreement shall be endorsed to state that: (A)coverage shall not be suspended,voided,reduced or canceled except after thirty(30)days prior written notice by certified mail,return receipt requested, has been given to the City; and (B) any failure to comply with reporting or other provisions of the policies, including breaches of warranties, shall not affect coverage provided to the City, its directors, officials, officers, employees, agents and volunteers. 3.2.9.4 Separation of Insureds;No Special Limitations. All insurance required by this Section shall contain standard separation of insureds provisions. In addition,such insurance shall not contain any special limitations on the scope of protection afforded to the City,its directors, officials, officers, employees, agents and volunteers. 3.2.9.5 Deductibles and Self-Insurance Retentions. Any deductibles or self- insured retentions must be declared to and approved by the City. Contractor shall guarantee that,at the option of the City, either: (1) the insurer shall reduce or eliminate such deductibles or self- insured retentions as respects the City, its directors, officials, officers, employees, agents and volunteers; or (2) the Contractor shall procure a bond guaranteeing payment of losses and related investigation costs, claims and administrative and defense expenses. 3.2.9.6 Acceptability of Insurers. Insurance is to be placed with insurers with a current A.M. Best's rating no less than A:VIII, licensed to do business in California, and satisfactory to the City. 3.2.9.7 Verification of Coverage. Contractor shall furnish City with original certificates of insurance and endorsements effecting coverage required by this Agreement on forms satisfactory to the City. The certificates and endorsements for each insurance policy shall be signed by a person authorized by that insurer to bind coverage on its behalf,and shall be on forms provided by the City if requested. All certificates and endorsements must be received and approved by the City before work commences. The City reserves the right to require complete, certified copies of all required insurance policies, at any time. RVPUBMS\547268 5 (BB&K:Jan 6,2000) 3.2.10 Safety. Contractor shall execute and maintain its work so as to avoid injury or damage to any person or property. In carrying out its Services,the Contractor shall at all times be in compliance with all applicable local,state and federal laws,rules and regulations,and shall exercise all necessary precautions for the safety of employees appropriate to the nature of the work and the conditions under which the work is to be performed. Safety precautions as applicable shall include, but shall not be limited to: (A) adequate life protection and life saving equipment and procedures; (B)instructions in accident prevention for all employees and subcontractors,such as safe walkways, scaffolds, fall protection ladders, bridges, gang planks, confined space procedures, trenebing and shoring, equipment and other safety devices, equipment and wearing apparel as are necessary or lawfully required to prevent accidents or injuries; and (C) adequate facilities for the proper inspection and maintenance of all safety measures. 3.2.11 Prevailing Wages.Contractor is aware of the requirements of California Labor Code Section 1770 et sem. ("Prevailing Wage Laws"),which require the payment of prevailing wage rates and the performance of other requirements on "public works contracts." If this is a "public works contract' pursuant to the California Labor Code and if the total compensation is $1,000 or more, Contractor agrees to fully comply with such Prevailing Wage Laws. Copies of the prevailing rate of per diem wages for each craft, classification or type of worker needed to execute this Agreement shall be made available to interested parties upon request, and shall be posted at the Project site. Contractor agrees to defend, indemnify and hold the City,its elected officials,officers, employees and agents free and harmless, pursuant to the indemnification provisions of this Agreement,from any claim or liability arising out of any failure or alleged failure to comply with the Prevailing Wage Laws. 3.2.12 Bonds. 3.2.12.1 Performance Bond. If specifically requested by City in Exhibit "B" attached hereto and incorporated herein by reference, Contractor shall execute and provide to City concurrently with this Agreement a Performance Bond in the amount of the total,not-to-exceed compensation indicated in this Agreement,and in a form provided or approved by the City. If such bond is required,no payment will be made to Contractor until it has been received and approved by the City. 3.2.12.2 Payment Bond. If required by law or otherwise specifically requested by City in Exhibit `B" attached hereto and incorporated herein by reference, Contractor shall execute and provide to City concurrently with this Agreement a Payment Bond in the amount of the total, not-to-exceed compensation indicated in this Agreement, and in a form provided or approved by the City. If such bond is required, no payment will be made to Contractor until it has been received and approved by the City. RVPUBWGS1547268 6 (BB&K:Jan.6,2000) 3.2.12.3 Bond Provisions. Should, in City's sole opinion, any bond become insufficient or any suretybe found to be unsatisfactory,Contractor shall renew or replace the affected bond within 10 days of receiving notice from City. In the event the surety or Contractor intends to reduce or cancel any required bond, at least thirty(30) days prior written notice shall be given to the City, and Contractor shall post acceptable replacement bonds at least ten(10)days prior to expiration of the original bonds. No further payments shall be deemed due or will be made under this Agreement until any replacement bonds required by this Section are accepted by the City.To the extent, if any, that the total compensation is increased in accordance with the Agreement, the Contractor shall,upon request of the City,cause the amount of the bonds to be increased accordingly and shall promptly deliver satisfactory evidence of such increase to the City. To the extent available, the bonds shall further provide that no change or alteration of the Agreement (including, without limitation, an increase in the total compensation, as referred to above), extensions of time, or modifications of the time,terms,or conditions of payment to the Contractor,will release the surety. If the Contractor fails to furnish any required bond,the City may terminate this Agreement for cause. 3.2.12.4 Surety Qualifications. Only bonds executed by an admitted surety insurer, as defined in Code of Civil Procedure Section 995.120,shall be accepted. The surety must be a Califomia-admitted surety with a current A.M. Best's rating no less than A:VIIl and satisfactory to the City. If a California-admitted surety insurer issuing bonds does not meet these requirements,the insurer will be considered qualified if it is in conformance with Section 995.660 of the California Code of Civil Procedure, and proof of such is provided to the City. 3.3 Fees and Payments. 3.3.1 Compensation. Contractor shall receive compensation,including authorized reimbursements, for all Services rendered under this Agreement at the rates set forth in Exhibit "C" attached hereto and incorporated herein by reference. The total compensation shall not exceed Fourteen Thousand Two Hundred and Dollars ($ 14,230.00) without written approval of City's Public Works Director. Extra Work may be authorized,as described below, and if authorized,will be compensated at the rates and manner set forth in this Agreement. 3.3.2 Payment of Compensation. Contractor shall submit to City a monthly itemized statement which indicates work completed and hours of Services rendered by Contractor. The statement shall describe the amount of Services and supplies provided since the initial commencement date,or since the start of the subsequent billing periods,as appropriate,through the date of the statement. City shall,within 45 days of receiving such statement, review the statement and pay all approved charges thereon. 3.3.3 Reimbursement for Expenses. Contractor shall not be reimbursed for any expenses unless authorized in writing by City. 3.3.4 Extra Work. At any time during the term of this Agreement,City may request RVPUBWGS\547268 7 (BB&K:Jan.6,2000) that Contractor perform Extra Work. As used herein, "Extra Work" means any work which is determined by City to be necessary for the proper completion of the Project,but which the parties did not reasonably anticipate would be necessary at the execution of this Agreement. Contractor shall not perform, nor be compensated for, Extra Work without written authorization from City's Representative. 3.4 Accounting Records. 3.4.1 Maintenance and hispection. Contractor shall maintain complete and accurate records with respect to all costs and expenses incurred under this Agreement. All such records shall be clearly identifiable. Contractor shall allow a representative of City during normal business hours to examine, audit, and make transcripts or copies of such records and any other documents created pursuant to this Agreement. Contractor shall allow inspection of all work, data, documents, proceedings, and activities related to the Agreement for a period of three(3)years from the date of final payment under this Agreement. 3.5 General Provisions. 3.5.1 TerminationofA2reement. 3.5.1.1 Grounds for Termination.. City may,by written notice to Contractor, terminate the whole or any part of this Agreement at any time and without cause by giving written notice to Contractor of such termination, and specifying the effective date thereof,at least seven(7) days before the effective date of such termination. Upon termination, Contractor shall be compensated only for those services which have been adequately rendered to City, and Contractor shall be entitled to no further compensation. Contractor may not terminate this Agreement except for cause. 3.5.1.2 Effect of Termination. If this Agreement is terminated as provided herein, City may require Contractor to provide all finished or unfinished Documents and Data and other information of any kind prepared by Contractor in connection with the performance of Services under this Agreement. Contractor shall be required to provide such document and other information within fifteen(15) days of the request. 3.5.1.3 Additional Services. hi the event this Agreement is terminated in whole or in part as provided herein,City may procure,upon such terns and in such manner as it may determine appropriate, services similar to those terminated. 3.5.2 Delivery of Notices. All notices permitted or required under this Agreement shall be given to the respective parties at the following address, or at such other address as the respective parties may provide in writing for this purpose: RVPUBWGSl547268 8 (BBBK:Jan.6,2000) CONTRACTOR: Bithell, Inc. 1004 E. Edna Place Covina, CA 91724 Attn: Gordon Bitell CITY: City of Azusa 213 East Foothill Blvd. Azusa, CA 91702-1295 Attn: Public Works Such notice shall be deemed made when personally delivered or when mailed, forty-eight (48)hours after deposit in the U.S. Mail, first class postage prepaid and addressed to the party at its applicable address. Actual notice shall be deemed adequate notice on the date actual notice occurred, regardless of the method of service. 3.5.3 Cooperation:Further Acts. The Parties shall fully cooperate with one another, and shall take any additional acts or sign any additional documents as may be necessary,appropriate or convenient to attain the purposes of this Agreement. 3.5.4 Attorney's Fees. If either party commences an action against the other party, either legal, administrative or otherwise, arising out of or in connection with this Agreement, the prevailing party in such litigation shall be entitled to have and recover from the losing party reason- able attorney's fees and all other costs of such action. 3.5.5 Indemnification. Contractor shall defend, indemnify and hold the City, its ' officials, officers, employees, volunteers and agents free and harmless from any and all claims, demands, causes of action, costs, expenses, liability, loss, damage or injury, in law or equity, to property or persons,including wrongful death,in any manner arising out of or incident to any alleged acts, omissions or willful misconduct of Contractor, its officials, officers, employees, agents, consultants and contractors arising out of or in connection with the performance of the Services,the Project or this Agreement, including without limitation the payment of all consequential damages and attorneys fees and other related costs and expenses. Contractor shall defend,at Contractor's own cost, expense and risk, any and all such aforesaid suits, actions or other legal proceedings of every kind that may be brought or instituted against City,its directors,officials,officers,employees,agents or volunteers. Contractor shall pay and satisfy any judgment, award or decree that maybe rendered against City or its directors, officials, officers, employees, agents or volunteers, in any such suit, action or other legal proceeding. Contractor shall reimburse City and its directors,officials,officers, employees, agents and/or volunteers, for any and all legal expenses and costs incurred by each of RVPUBWGS\547268 9 (BB&K:Im 6,2000) them in connection therewith or in enforcing the indemnity herein provided. Contractor's obligation to indemnify shall not be restricted to insurance proceeds, if any,received by the City,its directors, officials officers, employees, agents or volunteers. 3.5.6 Entire Agreement. This Agreement contains the entire Agreement of the parties with respect to the subject matter hereof, and supersedes all prior negotiations, understandings or agreements. This Agreement may only be modified by a writing signed by both parties. 3.5.7 Governing Law. This Agreement shall be governed by the laws of the State of California. Venue shall be in Los Angeles County. 3.5.8 Time of Essence. Time is of the essence for each and every provision of this Agreement. 3.5.9 City's Right to Employ Other Contractors. City reserves right to employ other contractors in connection with this Project. 3.5.10 Successors and Assigns. This Agreement shall be binding on the successors and assigns of the parties. 3.5.11 Assignment or Transfer. Contractor shall not assign,hypothecate,or transfer, either directly or by operation of law,this Agreement or any interest herein without the prior written consent of the City. Any attempt to do so shall be null and void,and any assignees,hypothecates or transferees shall acquire no right or interest by reason of such attempted assignment,hypothecation or transfer. 3.5.12 Construction; References; Captions. Since the Parties or their agents have participated fully in the preparation of this Agreement, the language of this Agreement shall be construed simply, according to its fair meaning, and not strictly for or against any Party. Any term referencing time, days or period for performance shall be deemed calendar days and not work days. All references to Contractor include all personnel, employees, agents, and subcontractors of Contractor, except as otherwise specified in this Agreement. All references to City include its elected officials, officers, employees, agents, and volunteers except as otherwise specified in this Agreement. The captions of the various articles and paragraphs are for convenience and ease of reference only, and do not define, limit, augment, or describe the scope, content, or intent of this Agreement. 3.5.13 Amendment;Modification. No supplement,modification,or amendment of this Agreement shall be binding unless executed in writing and signed by both Parties. 3.5.14 Waiver. No waiver of any default shall constitute a waiver of any other RVPUBWGSK47268 10 (BB&K:Jan.6,2000) default or breach,whether of the same or other covenant or condition. No waiver,benefit,privilege, or service voluntarily given or performed by a Party shall give the other Party any contractual rights by custom, estoppel, or otherwise. 3.5.15 No Third Party Beneficiaries. There are no intended third party beneficiaries of any right or obligation assumed by the Parties. 3.5.16 Invalidity; Severability. If any portion of this Agreement is declared invalid, illegal, or otherwise unenforceable by a court of competent jurisdiction, the remaining provisions shall continue in full force and effect. 3.5.17 Prohibited Interests. Contractor maintains and warrants that it has not employed nor retained any company or person, other than a bona fide employee working solely for Contractor,to solicit or secure this Agreement. Further,Contractor warrants that it has not paid nor has it agreed to pay any company or person, other than a bona fide employee working solely for Contractor, any fee, commission, percentage, brokerage fee, gift or other consideration contingent upon or resulting from the award or making of this Agreement. For breach or violation of this warranty, City shall have the right to rescind this Agreement without liability. For the term of this Agreement,no member,officer or employee of City,during the term of his or her service with City, shall have any direct interest in this Agreement, or obtain anypresent or anticipated material benefit arising therefrom. 3.5.18 Equal Opportunity Em llooyment. Contractor represents that it is an equal opportunity employer and it shall not discriminate against any subcontractor,employee or applicant for employment because of race,religion,color,national origin,handicap,ancestry,sex or age. Such non-discrimination shall include, but not be limited to, all activities related to initial employment, upgrading, demotion, transfer, recruitment or recruitment advertising, layoff or termination. Contractor shall also comply with all relevant provisions of Citys Minority Business Enterprise program, Affirmative Action Plan or other related programs or guidelines currently in effect or hereinafter enacted. 3.5.19 Labor Certification. By its signature hereunder, Contractor certifies that it is aware of the provisions of Section 3700 of the California Labor Code which require every employer to be insured against liability for Worker's Compensation or to undertake self-insurance in accordance with the provisions of that Code, and agrees to comply with such provisions before commencing the performance of the Services. 3.5.20 Authority to Enter Agreement. Contractor has all requisite power and authority to conduct its business and to execute, deliver, and perform the Agreement. Each Party warrants that the individuals who have signed this Agreement have the legal power, right, and authority to make this Agreement and bind each respective Party. 3.5.21 Counteroarts. This Agreement maybe signed in counterparts,each of which RVPUBWGSl547268 11 (BB&K:Jan.6,2000) shall constitute an original. 3.6 Subcontracting. 3. .1 Prior Approval Re uired. Contractor shall not subcontract an portion of the 6 nn q Y work required by this Agreement,except as expressly stated herein,without prior written approval of City. Subcontracts,if any,shall contain a provision making them subj ect to all provisions stipulated in this Agreement. CITY OF AZUSA BITHELL,INC. By: By: Joseph R. Rocha Gordon L. Bithell Mayor President California Contractor License No. 225174 By: Francis M. Delach City Manager Attest: City Clerk Approved as to Form: Best Best &Krieger LLP City Attorney RVPUB\NGS\57 41268 12 (BB&K:]an.6,2000) EXHIBIT "A" - SCOPE OF MAINTENANCE SERVICES The City of Azusa is soliciting bid prices to repaint/refinish light & safety standards throughout the downtown Azusa area. Contractor is responsible for the following: 1. Sand each standard to a smooth surface 2. Wipe with dust clothes or dust broom 3. Check for damage and report to Azusa lighting management 4. Prime surface as necessary 5. Paint will be applied with rollers or brush (no spray painting) 6. Paint color with will match "Azusa Blue"/ #140 Cobalt Blue 7. Paint provided and to be used is a 2-part poly-urethane paint. 8. Removal and replacement of banner brackets around light/safety standards. 9. Provide traffic control: All traffic control plans/devices shall conform to the latest edition of the CALTRANS Traffic manual. 10. Painting of Light Standards, Cross Walk Signal Standards, Bollards, Trash Receptacles and Meyer Signal Boxes to be completed Monday—Friday, 6 A.M. —5 P.M. 11. Painting of Signal Standards to be completed Monday—Friday, 9 A.M. - 3 P.M. RVPUBWGS�547268 1 (BB&Kaan.6,2000) EXHIBIT "C" COMPENSATION The City reserves the right to delete any bid item and increase or decrease the estimated quantities that will serve the City's best interest. It is understood that the foregoing quantities are approximate,the Contractor's compensation will be computed upon the basis of the actual quantities in the complete work,whether they be more or less than those shown. Unit Price Total Price Item# Quantity n Description Poly-Urethane Poly-Urethane 1. (5) Large Light Signal Standards $ 550.00 $ 2,750.00 2. (4) Small Safety Signal Standards $ 175.00 $ 700.00 3. (90)Dual Light Standards $ 85.00 $ 7,650.00 4. (2) Cross Walk Signal Boxes $ 130.00 $ 260.00 5. (56) Bollards 35.00 $ 1,960.00 6. (11) Trash Can Receptacles $ 60.00 $ 660.00 7. (5) Meyer Signal Boxes $ 50.00 $250.00 Total: $ 14,230 RVPUBWGS697268 - 2 (BB&%:)aa b,2000) (J v: CONSENT CALENDAR TO: HONORABLE MAYOR AND MEMBERS OF THE CIN COUNCIL FROM: ROBERT B. GARCIA, CHIEF OF POLICE VIA: F.M. DELACH, CITY MANAGER(/✓2 DATE: FEBRUARY 19, 2008 SUBJECT: ADOPTION OF A RESOLUTION FOR THE POLICE DEPARTMENT TO ENTER INTO AN AGREEMENT WITH THE IRWINDALE POLICE DEPARTMENT AND THE LOS ANGELES COUNTY ILLEGAL STREET RACING AND DRIVING UNDER INFLUENCE ENFROCEMENT MEMORANDUM OF UNDERSTANDING. RECOMMENDATION It is recommended that the City Council adopt the attached resolution authorizing the Chief of Police to enter into the attached Memo of Understanding with the Irwindale Police Department accepting reimbursement for 150% of officer's hourly rates who participate in the Los Angeles County Illegal Street Racing and DUI Enforcement program. See attached MOU. BACKGROUND Irwindale has secured a grant from the State of California Office Traffic Safety to conduct 8 Illegal Street Racing enforcement operations and DUI enforcement between October 1 , 2007 and June 30, 2010. The grant allows Irwindale to reimburse designated police agencies that participate in the program up to 12 officers, working each of 8 enforcement preparation for 8 hours on an overtime basis (150% of their hourly rate). The objectives of the Azusa Police Department, in collaboration with Irwindale, are identifying, arresting and citing illegal street racers, people with illegally modified vehicles, and DUI violations. 1 The grant funds will reimburse the City for officers that will work this enforcement program on an overtime basis. FISCAL IMPACT The payment(s) of approved reimbursable costs outlined in the MOU are drawn down from the grant award via the State Controller's Office on a monthly basis, but are initially borne by the City's general fund. Irwindale shall pay the Participating Agency for the services rendered within thirty (30) days of receipt of complete and accurate invoices submitted by the Participating Agency in a form acceptable by Irwindale's Finance Director. In the event of any question or discrepancy regarding an officer's invoice, Irwindale shall provide the Participating Agency with a written statement objecting to the charges within thirty (30) days of receipt of invoice. The Participating Agency may thereafter respond to such statement and Irwindale shall consider any such response in making its final decision on payment of the disputed matter. Payment to Participating Agency shall be subject to the terms of the Grant and limited to the amounts available to Irwindale under the Grant. Participating Agency accepts the risk of non-payment for services rendered herein should Irwindale not receive sufficient funds from the Grant to pay same. Prepared by: Lieutenant John Momot 2 LOS ANGELES COUNTY ILLEGAL STREET RACING AND DUI ENFORCEMENT MEMORANDUM OF UNDERSTANDING This LOS ANGELES COUNTY ILLEGAL STREET RACING AND DUI ENFORCEMENT MEMORANDUM OF UNDERSTANDING ("Agreement") is made and entered into this 17th day of March, 2008, by and between, the City of Irwindale, through its Irwindale Police Department (""Irwindale") and the City of Azusa, through its Police Department ("Participating Agency"). RECITALS A. Irwindale has secured a grant("Grant") from the California Office of Traffic Safety ("OTS") to conduct 8 Illegal Street Racing enforcement operations and driving under the influence ("DUI") enforcement between October 1, 2007 and June 30, 2010 ("Program"). B. The Grant allows Irwindale to reimburse designated police agencies that participate in the Program for up to 12 officers, working each of the 8 enforcement operations for 8 hours on an overtime basis (150% of their hourly rate). C. The parties wish to enter into this Agreement to take advantage of the Grant, subject to the rights and limits of the Grant, as administered through Irwindale. NOW, THEREFORE, Irwindale and Participating Agency, for the consideration hereinafter described, mutually agree as follows: 1. SCOPE OF SERVICES. Up to twelve (12)patrol/traffic officers from the Participating Agency may participate in eight(8) Los Angeles County Illegal Street Racing enforcement operations and DUI enforcement until the termination of the Grant, June 30, 2010, with members of other Los Angeles County Law Enforcement Agencies for the primary purpose of identifying, arresting and citing illegal street racers, people with illegally modified vehicles, and DUI violations. The parties understand that Participating Agency's patrol/traffic officers will provide the services herein on an overtime basis. Each deployment shall be for a maximum of eight (8) hours. The services provided by Participating Agency under this Agreement shall comply with and be subject to all terms and limitations in the Grant and OTS. Participating Agency acknowledges and agrees that it has read the Grant and will abide by its terms in providing the services hereunder. 2. PERIOD OF PERFORMANCE This Agreement is to commence on October 1, 2007 and shall conclude on June 30, 2010, unless terminated by either party with or without cause by giving at least thirty days written notice to the respective party and specifying the effective date thereof. 3. ALLOWABLE COSTS AND PAYMENTS 1 A. Allowable Costs. The Participating Agency shall bill for services rendered at its Police Department's overtime rate of$79.71 per hour for Sergeants, $69.65 per hour for Corporal, and $67.37 per hour for Patrol Officers. B. Pa ents. Payment to the Participating Agency for services rendered under the terms of this Agreement shall be limited to the agreed-upon amount of compensation for overtime services described in Section 3.A above. Irwindale shall pay the Participating Agency for the services rendered within thirty(30) days of receipt of complete and accurate invoices submitted by the Participating Agency in a form acceptable by Irwindale's Finance Director. In the event of any question or discrepancy regarding an officer's invoice, Irwindale shall provide the Participating Agency with a written statement objecting to the charges within thirty(30) days of receipt of invoice. Participating Agency may thereafter respond to such statement and Irwindale shall consider any such response in making its final decision on payment of the disputed matter. Payment to Participating Agency shall be subject to the terms of the Grant and limited to the amounts available to Irwindale under the Grant. Participating Agency accepts the risk of non-payment for services rendered herein should Irwindale not receive sufficient funds from the Grant to pay same. 4. INDEMNIFICATION In accordance with Sections 895 through 895.8 of the California Government Code, each party hereby assumes the liability imposed on it, its officials, and employees for injury (as defined in Section 810 of the Government Code) caused by a negligent or wrongful act or omission occurring in performance of each party's duties hereunder to the same extent that such liability would be imposed on the absence of these Sections of the Government Code. To that end, each party shall defend, indemnify and hold harmless the other party for any claim, demand, cause of action, loss, liability, damage, cost, or expense that may be imposed on such party solely by virtue of Section 895.2 of the Government Code. 5. GOVERNING LAW This Agreement shall be interpreted and construed according to the laws of the State of California. 6. ENTIRE AGREEMENT This Agreement contains the entire understanding between Irwindale and the Participating Agency. Any prior agreements, promises, negotiations or representations not expressly set forth herein are of no force or effect. Subsequent modifications to this Agreement shall be effective only if in writing and signed by both parties. 8. NOTICES. Formal notices, communications and demands for payment shall be made in writing and faxed to Irwindale at the following number: Lt. Robert Barnes 5050 N. Irwindale Ave. Irwindale, CA 91706 Phone: (626) 430-2245 Fax to: (626) 430-2282 2 Formal notices and communications shall be mailed to the Participating Agency at the following address: Attn: Captain Gene Street Azusa Police Department 725 N. Alameda Street Azusa, CA 91702 Office 626-812-3297 FAX 626-334-6843 IN WITNESS WHEREOF, the Participating Agency and Irwindale have caused this Agreement to be executed and attested by their respective officers duly authorized as of the date set forth above. "IRWINDALE" THE CITY OF IRWINDALE By: Its: City Manager ATTEST: By: Its: Deputy City Clerk APPROVED AS TO FORM: By: Its: City Attorney "PARTICIPATING AGENCY" THE CITY OF By: Its: ATTEST: By: Its: City Clerk APPROVED AS TO FORM: By: Its: City Attorney 3 flEll U _ .s CONSENT CALENDAR TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL FROM: ROBERT B. GARCIA, CHIEF OF POLICE VIA: F.M. DELACH, CITY MANAGERAA4 DATE: FEBRUARY 19, 2008 SUBJECT: PURCHASE OF DISPATCH FURNITURE (FOUR WORKSTATIONS) RECOMMENDATIONS It is recommended that the City Council approve the purchase of dispatch furniture for four (4) workstations from Xybix Systems in an amount not to exceed $45,244.79. It is further recommended the City Council approve this purchase based on a competitive bid process completed by the City of La Mirada (Purchase Order #1856) where dispatch furniture was purchased for the La Mirada Community Sheriff's Station. This "piggyback" purchase is authorized by AMC Section 2-523(E) when the competitive bid process has already been completed. BACKGROUND The dispatch furniture currently utilized for the four workstations in the Police Department's Communication Center are 10 years old and in need of replacement. These work stations are worn-out from their 24/7 use and many ergonomic components are inoperable (e.g. adjustable height work surfaces and keyboard trays). Moreover, Xybix Systems offers improved cable management systems and ergonomic components.(i.e. adjustable monitor placement or "Roller Vision" and desk top data docking ports). This furniture procurement will improve the working conditions for our public safety dispatchers and enhance their efficiency with the more "user friendly" furniture design and components. 1 FISCAL IMPACT Adequate funds are available under General Fund account #10-20-310-000-7150, Office Furniture and Equipment for this purchase. Prepared by: Joyce Gurbada, Communications Supervisor Sam Gonzalez, Captain 2 r. 7a CONSENT CALENDAR TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL FROM: KERMIT FRANCIS, INTERIM DIRECTOR OF HUMAN RESOURCES VIA: F. M. DELACH, CITY MANAGER A"1AAD DATE: FEBRUARY 19, 2008 ��!! SUBJECT: NEW CLASS SPECIFICATION - LIBRARY CIRCULATION SUPERVISOR RECOMMENDATION: The Personnel Board recommends, pursuant to the City of Azusa Civil Service Rules Section 3.3 and 3.7, that the City Council approve and adopt the salary, title and class specification outlining the duties of the new job classification of Library Circulation Supervisor. (There will be a concomitant reduction in one Library Assistant III position.) BACKGROUND: The proposed reclassification is in line with the recommendations contained in the recently completed management audit of the Library. Currently, there are four Library Assistant 111 positions. After a careful review and analysis, it was found that the actual duties, responsibilities, and scope of the existing Library Assistant III assigned to circulation have significant supervisory requirements. These can be easily distinguished by comparison to the other Library Assistant 111 positions in the Library Department. The function of supervision was found to be the most distinguishable responsibility. As a result, it is the Department Head's recommendation to create a new position entitled Library Circulation Supervisor to more accurately reflect the actual duties of this position and to compensate for the increased responsibility. This change will give appropriate recognition as a division head within the Library Department. Furthermore, this change would allow the Library Circulation Supervisor to supervise those in a Library Assistant III category as the need arises. The proposed monthly salary range for this position is 7% above the Library Assistant III position at.salary range 4167, which is: Step 1 $3,512.48 Step 2 $3,688.10 Step 3 $ 3,872.51 Step 4 $4,066.13 Step 5 $4,269.44 Page 2 of 4 January 22, 2008 Personnel Board Subject: New Class Specification—Library Circulation Supervisor The classification has a community of interest with ACEA and the benefits for this classification will be tied to the benefits provided to Azusa City Employees Association (ACEA). The recruitment will be conducted through a promotional examination process open only to existing city personnel. This change will become effective upon approval of the City Council. FISCAL IMPACT Funds are available in the Library Department Fiscal 2007-2008 budget to fund this new position. The Library Director will reflect the new salary in the department's FY 2008/09 budget proposal. Date Adopted:02-19-08 Class Code: 0000 CITY OF AZUSA Library Circulation Supervisor DEFINITION: Plan, organize, supervise and coordinate all activities connected with the circulation of library materials, including patron registration, check-in, check-out, shelving, reserves, renewals, overdue notification, and the collection of delinquent accounts. CLASS CHARACTERISTICS: This classification is a supervisory position reportable to the library director or to the Assistant City Librarian. ESSENTIAL FUNCTIONS: The following tasks are essential for this position. Incumbents in this classification may not perform all of these tasks, or may perform similar related tasks not listed here. 1 . Oversee the daily operation of the library's circulation desk. 2. Participate in checking out library materials to patrons; check-in and prepare materials for return to the circulation collection; register new patrons, collect overdue fines. 3. Recommend new circulation policies and procedures and is responsible for effective and uniform service to the public at the circulation desk area. 4. Establish performance objectives, reviews and evaluates employee job performance, and recommends appropriate personnel action. 5. Plan, organize, and delegate work to staff at the circulation desk. 6. Supervise and train staff at the circulation desk. 7. Supervise the maintenance of the library stacks. 8. Resolve patron problems and complaints. 9. Promotes good public relations for the library. 10.Collect data and other statistics necessary for preparation of the State Library's annual survey. 1 I .Conduct regular meetings with part-time staff. 12.Prepare management reports and presentations. 13.May conduct inter-library loan searches and maintain inter-library loan files. 14.Attend business or committee meetings for the local library cooperative system (MCLS). 15.Perform other related duties as assigned. QUALIFICATIONS GUIDELINES: Education and/or Experience: Any combination equivalent to training and experience that could likely provide the required knowledge, skills and abilities would be qualifying. A typical way to obtain the knowledge, skills and abilities would be the equivalent to an Associate of Arts degree from an accredited community college with major course work in library science, public administration or related field; four years of increasingly responsible experience providing library services in a public library setting, including one year of administrative and supervisory responsibility. Completion of a community college library technician program is highly desirable. Knowled¢e, Skills &Abilities: • Supervise, plan and coordinate the circulation services of the library. • Develop, implement and administer goals, objectives, and procedures for providing effective and efficient circulation services. • Prepare clear and concise reports. • Select, supervise, train and evaluate staff. • Respond to requests and inquiries from the general public. • Work independently in the absence of supervision. • Understand and follow oral and written instructions. • Communicate clearly and concisely, both orally and in writing. • Requires vision (which may be corrected) to read small print. • Requires the mobility to stand, stoop, reach and bend. • Requires mobility of arms to reach and dexterity of hands to grasp and manipulate small objects. • Requires the ability to stand for long periods. • Library environment; work closely with the public; work with computer and office equipment. • May be required to use personal vehicle in the course of employment. • May be required to attend periodic evening meetings and /or travel within and out of City boundaries to attend meetings. • May be required to work evenings or weekends. • Ability to lift, push, and/or pull items which do not exceed 25 pounds. �J CONSENT ITEM ' TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL FROM: F. M. DELACH, CITY MANAGER/#,/ DATE: FEBRUARY 19, 2008 SUBJECT: AMENDMENT TO PROFESSIONAL SERVICES AGREEMENT FOR INTERIM HUMAN RESOURCES DIRECTOR-PERSONNEL OFFICER SERVICES RECOMMENDATION: It is recommended that the City Council approve amending attached agreement for Interim Human Resources Director — Personnel Officer services for the City of Azusa. BACKGROUND: Catherine Hanson, Human Resources Director — Personnel Officer resigned her position with the City of Azusa effective July 2, 2007. In order to maintain continuity of service in a critical area experiencing a high level of activity, the services of an interim Director are needed. Mr. Kermit Francis, with over 30 years of experience in Human Relations and Risk Management (previously as Director in Santa Ana, Pasadena, and Arcadia) has been filling this role since July as the search for a new, permanent Director continues. The search for a permanent Director is ongoing and Mr. Francis' skills are still required. The initial rate of pay for Mr. Francis' services was established over 8 months ago. In light of the passage of time and Mr. Francis' willingness to continue to defer seeking other opportunities, Staff is requesting that the agreement with Mr. Francis be amended increase the compensation to $80 per hour until a permanent Director can be recruited and hired. FISCAL IMPACT: Costs are offset by budgeted salary savings within the current budget. ATTACHMENTS: Services Agreement. AMENDED PROPOSAL FOR SERVICES AND AGREEMENT THIS AMENDED REQUEST FOR SERVICES AND AGREEMENT is made and entered into effective as of the i9`h day of February, 2008, by and between the CITY OF AZUSA, a municipal corporation, hereinafter referred to as CITY, and KERMIT L. FRANCIS, of KLF CONSULTING, 1220 Oakwood Drive, Arcadia, California, hereinafter referred to as "CONSULTANT". WITNESSETH: For and in consideration of the promises and of the mutual covenants and agreements herein contained, said parties hereby agree as follows: 1. RECITALS. This Proposal for Services and Agreement (hereinafter referred to as the "Agreement") is made and entered into with respect to the following facts: A. The CITY's position of Director of Human Resources is vacant; and, B. In the interim, it is necessary for the CITY to fill the position on a temporary basis so that the level of service of this most important department is maintained; and, C. That CONSULTANT is qualified to provide those Personnel and Risk Management services to the CITY necessary to fill, on an interim basis, the position of DIRECTOR OF HUMAN RESOURCES for the CITY, and, therefore, the City of Azusa City Council has elected to engage the services of CONSULTANT upon the terms and conditions hereinafter set forth. 2. SERVICES. CONSULTANT shall perform those services as specified in the City of Azusa Code, CITY ordinances and resolutions, State and Federal law, and assigned by the City Manager for the position of DIRECTOR OF HUMAN RESOURCES, of the City, hereinafter referred to collectively as SERVICES. Performance of such SERVICES is made an obligation of CONSULTANT under this Agreement, subject to any changes made subsequently upon the mutual written agreement of the parties. . 3. SCOPE. The services to be performed by CONSULTANT under this Agreement shall include, but not be limited to, those SERVICES specified in Paragraph 2, hereof. 1 4. TERM &FEE. A. Term. Subject to the termination provisions in Paragraph 8., the term of this Agreement shall commence on July 17, 2007, and continue until a permanent Human Resources Director is hired. The CITY may revise said Agreement with the consent of CONSULTANT by written amendment to this Agreement. B. Fee. Compensation to CONSULTANT for the total SERVICES to be rendered pursuant to this agreement shall be at the rate of eighty dollars ($80.00)per hour for approximately thirty (30) hours per week with the scheduling of such hours to be at the sole discretion of the City of Azusa. hi addition, CONSULTANT will attend Personnel Commission and Council meetings and study sessions as requested by the City Manager. 5. EXTRA SERVICES. No extra services hall be rendered by CONSULTANT under this agreement unless such extra services first shall have been authorized, in writing,by the CITY. Any such services so authorized shall be paid by the CITY at the hourly rate set forth in Paragraph 4 hereof. 6. PAYMENT BY CITY. The billings for all services rendered pursuant to this Agreement shall be submitted bi-weekly to CITY by CONSULTANT, and shall be paid by CITY within seven (7) days after receipt of same. 7. CITY_OVERSIGHT. The City Manager of CITY, or his/her designee, shall have the right of general oversight of all work performed by CONSULTANT, and shall be the CITY's agent with respect to obtaining CONSULTANT'S compliance hereunder. No payment for any services rendered under this Agreement shall be made without the prior approval of the City Manager of CITY, or his/her designee. 8. TERMINATION OF AGREEMENT. Either party hereto shall have the right to terminate this Agreement upon giving, in advance, a ten(10) day written notice of such termination to the other. 9. INDEPENDENT CONTRACTOR. CONSULTANT shall act as an independent contractor in the performance of the services provided for in this Agreement and shall furnish such services in CONSULTANT'S own manner and method, and, in no respect, shall CONSULTANT be considered an employee of the CITY. 10. ' NON-ASSIGNMENT. This Agreement may not be assigned, either in whole or in part, by CONSULTANT without the written consent of CITY. 11, INDEMNIFICATION. CONSULTANT hereby represents that he is skilled in the professional calling necessary to perform the services and duties agreed to hereunder by CONSULTANT, and the City relies upon such skills and knowledge of the CONSULTANT. CONSULTANT shall perform such services and duties consistent with 2 the standards generally recognized as being employed by professionals of consultant's caliber in the State of California. CITY will defend and indemnify CONSULTANT to the extent permitted by law. 12. WAIVER. Waiver by any party hereto of any term, condition, or covenant of this Agreement shall not constitute the waiver of any other term, condition or covenant hereof 13. ATTORNEYS' FEES. If litigation is reasonably required to enforce or interpret the provisions of this Agreement, the prevailing party in such litigation shall be entitled to an award of reasonable attorneys' fees, in addition to any other relief to which it may be entitled. 14. BINDING EFFECT. This agreement shall be binding upon the heirs, executors, administrators, successors, and assigns of the parties hereto. 15. PROVISIONAL . CUMULATIVE. The provisions of this Agreement are cumulative and in addition to any not in limitation of any rights or remedies available to CITY. 16. NO PRESUMPTION RE DRAFTER. The parties acknowledge and agree that the terms and provisions of this Agreement have been negotiated and discussed between the parties and their attorneys, and this Agreement reflects their mutual agreement regarding the same. Because of the nature of such negotiations and discussions it would be inappropriate to deem any party to be the drafter of this Agreement, and, therefore, no presumption for or against validity or as to any interpretation hereof, based upon the identity of this drafter, shall be applicable in interpreting or enforcing this Agreement. 17. ASSISTANCE OF COUNSEL. Each party to this Agreement, warrants to each other party as follows: A. That each party had the assistant of counsel or had counsel available to it, in the negotiation for, and execution of, this Agreement and any related document; and, B. That each party has lawfully authorized the execution of this Agreement. 18. MODIFICATION. This Agreement shall not be modified except by written agreement of the parties. 19. GOVERNING LAW. This Agreement shall be interpreted and construed according to the laws of the State of California. 20. CONTERPARTS. This agreement may be executed in counterparts. 21. NOTICE. Whenever it shall be necessary for either party to serve notice on the other regarding this Agreement, such notice may be furnished in writing by either 3 party to the other and shall be served by personal service as required in judicial proceedings or by certified mail, postage prepaid, return receipt requested, addressed to the parties as follows: City: Francis M. Delach Consultant: KLF Consulting City Manager Kermit L. Francis City of Azusa 1220 Oakwood Drive 213 E. Foothill Blvd. Arcadia, CA 91006 Azusa, CA 91702 22. FORCE MAJEURE. Neither party shall be responsible for delays or failures in performance resulting from acts beyond the control of the offending party. Such acts shall include, but not be limited to, acts of God, fire, flood, earthquake, or other natural disaster, nuclear accident, strike, lockout, riot, freight embargo, public regulated utility, or government statures or regulation superimposed after the fact. IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed on the 19`h day of February, 2008, by their respective offices duly authorized in that behalf. CITY OF AZUSA A Municipal Corporation By Francis M. Delach City Manager CONSULTANT Kermit L. Francis KLF Consulting APPROVED AS TO FORM: Best Best &Krieger, LLP City Attorney 4 U . tipOR�`r AGENCY AGENDA ITEM TO: HONORABLE CHAIRPERSON AND MEMBERS OF THE AGENCY BOARD 6, , FROM: BRUCE COLEMAN ECONOMIC AND COMMUNITY DEVELOPMENT DIRECTOR VIA: F. M. DELACH, EXECUTIVE DIRECTOR )^� DATE: FEBRUARY 19, 2008 SUBJECT: CONSIDERATION OF A RESOLUTION APPROVING THE PRELIMINARY PLAN FORMULATED FOR THE AMENDMENT TO THE MERGED CENTRAL BUSINESS DISTRICT AND WEST END REDEVELOPMENT PROJECT AREA RECOMMENDATION Agency staff recommends that the Agency Board of Directors adopt the Resolution approving the Preliminary Plan and authorizing the transmittal of the Preliminary Plan pursuant to Health and Safety Code Section 33327 of the California Community Redevelopment Law ("CRL"). BACKGROUND The Redevelopment Agency of the City of Azusa ("Agency") is charged with the responsibility of promoting the continued revitalization of the Merged Central Business District and West End Redevelopment Project Area ("Project Area"). Since the inception of the Project Area, the Agency implemented redevelopment activities to encourage reinvestment within the Project Area; however, despite the best efforts of the Agency, blighting conditions remain in the Project Area. The Agency initiated redevelopment plan amendment actions ("Amendment") by adopting Resolution No. 08- C3 on January 7, 2008, which established a survey area for the study of those areas to be added to the Project Area ("Added Area"). The survey area resolution directed the Planning Commission of the City of Azusa ("Planning Commission") to prepare the Preliminary Plan for the Amendment and consider increasing the tax increment limit for the Project Area. The Planning Commission adopted Resolution No. 2008-01 on January 30, 2008, approving the Preliminary Plan and transmitting the Preliminary Plan to the Agency for its consideration. The tax increment cap is the total amount of tax increment dollars the Agency may receive during the life of the Redevelopment Plan. The current maximum net tax increment the Agency can collect is $114.9 million, which was authorized in 2003. At present, with the anticipated growth in values within the Project Area, the maximum tax increment cap will be exceeded by fiscal year 2020/21. This additional growth will only serve to increase the rate at which the tax increment cap will be met. If the cap is not increased, the Agency will not realize any tax increment for the remainder of the life of the plan, which ends in calendar year 2036. It also limits the Agency's ability to issue bonds. At present, the projected loss in available funding to the Agency is $97 million dollars. Documentation to demonstrate the need for a tax increment cap increase will include economic and financial analyses, a feasibility study and tax increment projections,the preparation of base maps for the recordation of Page 2 of 2 February 19, 2008 .p The Honorable Chairman and Members of the Agency Board - Re: Consideration of a Resolution Approving the Preliminary Plan Formulated for the Amendment to the Merged Central Business District and West End Redevelopment Project Area blight, and an analysis of urbanization. This analysis will come before the Agency Board at a later time. The Preliminary Plan is a brief document that establishes precise boundaries of the Added Area and serves as the basic framework for preparation of the Amendment, which includes amendment actions that will re- authorize eminent domain over certain parcels and increase the tax increment limit for the Project Area ("Amendment"). Pursuant to the CRL, the Preliminary Plan includes: (1) a description of the proposed boundaries; (2) a description of the layout of principal streets; (3) a general statement of the land uses, population densities, building intensities, and standards proposed for the redevelopment of the Added Area; (4) a statement that the proposed Redevelopment Plan would conform to the City's General Plan; (3) a statement as to how the project will attain the purposes of the CRL; and (6) a general description of the impact of the project upon area residents and the surrounding community. The Added Area consists of approximately 15.1 acres of land with the following zoning: Downtown Town Center, Downtown Transit Village, Downtown Civic Center, Recreation, Corridor South Azusa Avenue, and Neighborhood General 2 and 3. The proposed Added Area, depicted in Exhibits A and B of the Preliminary Plan, is contained within three distinct areas as follows: Added Area portion 1 : is generally located at the southwest corner of 9th Street and Pasadena Avenue. Added Area portion 2: is generally bounded by 1) the properties on the east side of Dalton Ave. between Foothill Blvd. on the south and the Metro Gold Line Construction Authority right-of-way on the north (railroad tracks); and 2) commercial properties on the south side of Foothill Blvd. from the southeast corner of Alameda Ave. and Foothill Blvd. to the property at the southeast corner of Dalton Ave. and Foothill Blvd. Added Area portion 3: is generally located at the southwest and northwest corners of Paramount Street and Azusa Avenue and the east side of Azusa Avenue at Paramount Street extending south to the Los Angeles County Flood Control Channel. This area is commonly known as the gateway area of Azusa. The Amendment also proposes to re-authorize eminent domain powers over two commercial properties along Foothill Boulevard in the West End Project: Assessor Parcel Numbers 8616-001-415 and 8616-001-022. Upon approval of the Preliminary Plan, the Agency must authorize staff to make the appropriate transmittals to taxing entities and other parties pursuant to Section 33327 of the CRL. FISCAL IMPACT This recommended action has no fiscal impact. However, by proceeding with amending the tax increment cap, the Agency may realize in excess of$97 million dollars in tax increment revenues it would not otherwise receive due to the current tax increment cap. EXHIBITS: A. A Resolution of the Redevelopment Agency of the City of Azusa Board of Directors Approving the Preliminary Plan Formulated for the Amendment to the Merged Central Business District and West End Redevelopment Project Area and Authorizing Transmittal of the .Preliminary Plan Pursuant to Health And Safety Code Section 33327 B. Preliminary Plan For The Amendment To The Merged Central Business District and West End Project Area RESOLUTION NO. A RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF AZUSA BOARD OF DIRECTORS APPROVING THE PRELIMINARY PLAN FORMULATED FOR THE AMENDMENT TO THE MERGED CENTRAL BUSINESS DISTRICT AND WEST END REDEVELOPMENT PROJECT AREA AND AUTHORIZING TRANSMITTAL OF THE PRELIMINARY PLAN PURSUANT TO HEALTH AND SAFETY CODE SECTION 33327 WHEREAS, the Redevelopment Agency of the City of Azusa is authorized by the Community Redevelopment Law, Health 8. Safety Code Sections 33000 et sect• ("CRL") to undertake redevelopment amendments to address blighting conditions in the City and within the boundaries of the Merged Central Business District and West End Redevelopment Project Area ("Project Area"). WHEREAS, the Agency adopted Resolution No. 08-C3 establishing a survey area for the study of areas to be added to the Project Area ("Added Area"). WHEREAS, the City of Azusa Planning Commission ("Planning Commission") worked in cooperation with the Agency to prepare the Preliminary Plan pursuant to the CRL, which will serve as a basis for the Amendment to the Project Area, and establish the boundaries of the Added Area. WHEREAS, the Planning Commission found that the Preliminary Plan was in conformance with the General Plan. WHEREAS, the Planning Commission approved the Preliminary Plan at its meeting on January 30, 2008, and authorized transmittal of the Preliminary Plan to the Agency. WHEREAS, the Preliminary Plan has been formulated and received as submitted herewith for the Agency's approval. NOW, THEREFORE, BE IT RESOLVED, by the Board of Directors of the Redevelopment Agency of the City of Azusa as follows: SECTION 1 . The Agency hereby approves the Preliminary Plan, which selects and establishes the boundaries of the Added Area as designated in the Preliminary Plan. SECTION 2. The Agency hereby accepts the proposed amendment actions identified in the Preliminary Plan and authorizes staff to continue analysis of the amendment actions and document all findings pursuant to the CRL. SECTION 3. The Agency hereby authorizes staff to make such transmittals as may be required pursuant to Section 33327 of the CRL. _ 1 _ h_ PASSED, APPROVED AND ADOPTED this 19" day of February, 2008. Chairperson I HEREBY CERTIFY that the foregoing Resolution No. was duly adopted by the Board of Directors of the City of Azusa Redevelopment Agency, at a regular meeting hereof, held on the 19`" day of February, 2008, by the following vote of the Board. AYES: DIRECTORS: NOES: DIRECTORS ABSTAIN: DIRECTORS ABSENT: DIRECTORS Agency Secretary - 2 - � w . Merged Central Business District and West End Redevelopment Project Area Preliminary Plan for the Amendment to the Redevelopment Plan Redevelopment Agency of the City of Azusa 213 East Foothill Boulevard Azusa, California 91702-1395 Tierra West Advisors, Inc. Real Estate and Redevelopment Consultants 1 6 8 A n n a n d a l e R o a d , P a s a d e n a , C a I i P o i n i a 9 1 1 0 5 Preliminary Plan Merged Central Business District and West End Project—Azusa Redevelopment Agency TABLE OF CONTENTS I. INTRODUCTION I Il. PROJECT AREA LOCATION AND DESCRIPTION 1 11I. GENERAL STATEMENT OF PROPOSED PLANNING ELEMENTS 3 A. Land Uses 3 B. General Statement of Proposed Layout of Principal Streets 3 C. General Statement of Proposed Population Densities 4 D. General Statement of Proposed Building Intensities 4 E. General Statement of Proposed Building Standards 4 1V. ATTAINMENT OF THE PURPOSES OF THE LAW 4 V. CONFORMANCE TO THE GENERAL PLAN OF THE CITY 5 Vl. GENERAL IMPACT OF THE PROPOSED PROJECT UPON THE RESIDENTS OF THE PROJECT AREA AND SURROUNDING NEIGHBORHOODS 5 Exhibit A: Added Area North Portion 7 Exhibit B: Added Area South Portion g TIERRA WEST ADVISORS,INC. TABLE OF CONTENTS Preliminary Plan Merged Central Business District and West End Project—Azusa Redevelopment Agency 1. INTRODUCTION This document is the Preliminary Plan ("Plan") for the amendment to add territory, re-instate eminent domain over certain parcels and increase the tax increment limit to the Redevelopment Plan for the Merged Central Business District and West End Redevelopment Project Area ("Project Area"). This Plan has been prepared for the Redevelopment Agency of the City of Azusa ("Agency"), on behalf of the Azusa Planning Commission ("Planning Commission"), pursuant to the California Community Redevelopment Law ("CRL") and all applicable laws and local ordinances. The Plan's purpose is to designate the boundaries and to provide a general description of the proposed area to be added to the Project Area, located in the City of Azusa ("City'). This Plan has been prepared in accordance with Section 33324 of the CRL which states that the Plan should: (a) Describe the boundaries of the Project Area; (b) Contain a general statement of land uses and of the layout of principal streets, population densities, building intensities and standards proposed as the basis for the redevelopment of the project area; (c) Show how the purpose of the Law would be attained by redevelopment; (d) Show how the redevelopment pursuant to the Preliminary Plan is consistent with the community's General Plan; and (e) Describe, generally, the impact of the Plan upon residents of the project area and surrounding neighborhoods. IL PROJECT AREA LOCATION AND DESCRIPTION Exhibits A and B, which are enclosed at the end of this Plan, depict the boundaries of the areas ("Added Area") proposed for inclusion in the Project Area. The proposed Added Area consists of three separate areas as follows: 1. The first area being considered for inclusion in the Project Area comprises approximately 1 .8 acres on 3 separate parcels of Downtown Transit Village zoned properties in the north portion of the Added Area TIERRA WEST ADVISORS,INC. 1 Preliminary Plan Merged Central Business District and West End Project—Azusa Redevelopment Agency (Exhibit A). This section of the Added Area is generally located at the southwest corner of 9th Street and Pasadena Avenue, and consists of the following Assessor Parcel Numbers: 8608-028-001 8608-028-010 8608-028-909 2. The second area being considered for inclusion in the Project Area comprises approximately 5.1 acres on 19 separate parcels of Downtown Civic Center, Downtown Town Center, and Neighborhood General 2 — Moderate Density Residential zoned properties in the north portion of the Added Area (Exhibit A). This section of the Added Area is generally bounded by the properties on the east side of Dalton Avenue between Foothill Boulevard on the south and the Metro Gold Line Construction Authority right-of-way on the north, commercial properties on the south side of Foothill Boulevard from the southeast corner of Alameda Avenue and Foothill Boulevard to the property at the southeast corner of Dalton Avenue and Foothill Boulevard, and consists of the following Assessor Parcel Numbers: 8608-028-901 8608-028-903 8608-028-905 8608-029-910 8608-029-900 8608-029-901 8608-029-903 8608-029-904 8608-029-906 8608-029-907 8608-029-908 8608-029-909 8611-001-048 8611-002-001 8611-002-010 8611-002-034 8611-002-035 8611-002-039 8611-002-041 3. The third area being considered for inclusion in the Project Area ("Added Area Portion 3") comprises approximately 8.2 acres and 11 separate parcels of Corridor South Azusa and Neighborhood General 3 — Recreation zoned properties in the south portion of the Added Area (Exhibit B). This section of the Added Area is generally bounded by the 210 freeway on the north, Azusa Avenueon the east, the Los Angeles County Flood Control Channel on the south and San Gabriel Place on the west, and consists of the following Assessor Parcel Numbers: 8613-024-023 8613-024-024 8614-014-054 8614-014-057 8614-014-058 8614-014-917 8614-015-027 8614-015-028 8614-015-900 8614-016-908 8614-016-910 The Added Area is predominantly urbanized pursuant to Section 33320.1 of the CRL. Existing development includes retail-commercial, office, and governmental TIERRA WEST ADVISORS,INC. - 2 Preliminary Plan Merged Central Business District and West End Project—Azusa Redevelopment Agency and industrial uses. Physical and economic blighting conditions that will be addressed through redevelopment include structural deterioration, substandard design, lack of parking, incompatible adjacent uses, depreciated/stagnant property values, impaired investments, and inadequate public improvements. 111111. GENERAL STATEMENT OF PROPOSED PLANNING ELEMENTS As a basis for the redevelopment of the Added Area, the permitted uses will be in conformance with the City of Azusa General Plan ("General Plan"), as it exists now, and as it may be amended hereafter. The redevelopment plan for those properties included in the Added Area will also conform to any applicable state, county, and local codes and guidelines. A. Land Uses Within the Added Area, land uses shall be those permitted by the General Plan. Among the permitted uses are: • Mixed Use City Offices/Library/Governmental Vacant • Multi-Tenant Building • Commercial Services B. General Statement of Proposed Layout of Principal Streets The principal streets within or adjacent to the Project Area are shown on Exhibits A and B. In general, these include: East-West Streets: gth Street, Foothill Boulevard, Grandview Drive and Paramount Street North-South Streets: Alameda Avenue, Azusa Avenue, Dalton Avenue, Pasadena Avenue and San Gabriel Avenue See the attached Preliminary Plan Maps, Exhibits A and B, for the specific boundaries and street layout. The layout of principal streets and those that may be developed in the future shall conform to the Circulation Element of the General Plan as currently adopted or hereafter amended. TIERRA WEST ADVISORS,INC. 3 Preliminary Plan Merged Central Business District and West End Project—Azusa Redevelopment Agency Existing streets within the Added Area may be widened or otherwise modified and additional streets may be created as necessary for proper pedestrian and/or vehicular circulation. C. General Statement of Proposed Population Densities Permitted densities within the Added Area shall conform to the General Plan and Zoning Ordinance, and as currently adopted or as hereafter amended, and other applicable codes and ordinances. This Plan and the Added Area do not propose any changes to population densities, development densities or land use designations. D. General Statement of Proposed Building Intensities The General Plan sets forth the maximum permitted development intensities for the different land use categories. The limits on building intensity shall be established in accordance with the provisions of the General Plan as they now exist or are hereafter amended. This Plan and the Added Area do not propose any changes to population densities, land use designations, or building intensities. E. General Statement of Proposed Building Standards Building standards shall conform to the requirements of applicable building codes and ordinances within the Added Area. IV. ATTAINMENT OF THE PURPOSES OF THE LAW Selection of the Added Area boundaries was guided by the existence of blight, as defined by the CRL. Redevelopment of the Added Area would attain the purposes of the CRL by alleviating blighting conditions that the private sector and/or other agencies of government, acting alone, cannot remedy. Among the blighting conditions existing in the Added Area are the following: Defective design; • Substandard design; Declining or stagnant property values; Incompatible adjacent uses; • Low lease rates; and • Impaired investments. TIERRA WEST ADVISORS,INC. 4 Preliminary Plan Merged Central Business District and West End Project—Azusa Redevelopment Agency The purposes of the CRL would be attained through, among other things: (1) the elimination of blighting influences such as incompatible land uses, deteriorated exterior building materials creating unsafe building conditions, and inadequate public improvements; (2) the assemblage of land into parcels suitable for modern integrated development with improved pedestrian and vehicular circulation; (3) the replanning, redesign and development of underdeveloped areas, which are stagnant or improperly utilized; and (4) the participation of owners and tenants in the revitalization of their properties. Redevelopment of the Added Area would also attain the purposes of the CRL by re-instating eminent domain authority on two commercial properties along Foothill Boulevard in the West End Project - Assessor Parcel Numbers 8616- 001-415 and 8616-001-022, and increasing the tax increment limit for the Redevelopment Plan. The plan amendment actions will stimulate construction activity, increase employment opportunities and assist the Agency in undertaking revitalization activities in the Project Area and the Added Area. V. CONFORMANCE TO THE GENERAL PLAN OF THE CITY This Plan conforms to the General Plan. It proposes land uses compatible with permitted uses under the General Plan, and will encourage more retail services and commercial uses. All roadways and public facilities would conform to the General Plan. VI. GENERAL IMPACT OF THE PROPOSED PROJECT UPON THE RESIDENTS OF THE PROJECT AREA AND SURROUNDING NEIGHBORHOODS The impact of the Proposed Plan upon existing residential uses surrounding the Added Area will generally be in the areas of improved living environment and economic activity. It is the desire of the City to focus on improving commercial properties. The Added Area does not include any residential uses and the Redevelopment Plan for the Project Area does not give authority to the Agency to acquire any lawfully occupied residences, both owner-occupied and rental, through the use of eminent domain unless requested by the property owner. This eminent domain policy will pertain to the Added Area and the non-residential parcels that will be subject to eminent domain authority through the adoption of the ordinance for this redevelopment plan amendment process. If, during the course of Agency activities, a displacement were to occur, pursuant to the CRL, the Agency will be responsible for relocation and all other forms of compensation and assistance required by the CRL. TIERRA WEST ADVISORS,INC. 5 Preliminary Plan Merged Central Business District and West End Project—Azusa Redevelopment Agency It is anticipated that the redevelopment activities that will be accomplished in the Added Area will be positive. This Plan is intended to address and rectify adverse conditions within the Added Area. Further, the environmental review process will identify any adverse environmental impacts with mitigation measures identified to address specific impacts. All of these aspects would be addressed in the next step of the redevelopment plan amendment process leading to an amended and restated Redevelopment Plan. The amended and restated Redevelopment Plan that will be produced for this redevelopment plan amendment process will be subject to future review and approval by the City Council, Agency Board, Planning Commission, and other appropriate bodies after input from affected property owners, business owners, residents, and other interested parties is received through a public hearing. process. TIERRA WEST ADVISORS,INC. 6 Preliminary Plan Merged Central Business District and West End Project—Azusa Redevelopment Agency Exhibit A: Added Area North Portion W ' '" 1 d Miall Fates. Sim ij ® Added Area a ■ Central Business District (Merged Project) Listing of Added Area Parcel Numbers: Added Area Added Area Portion 1 Portion 2 1 - 8608-028-010 4- 8608-028-903 11 - 8608-029-908 17 - 8611-002-001 2 - 8608-028-001 5 - 8608-028-901 12 - 8608-029-907 18 - 8611-002-041 3 - 8608-028-909 6 - 8608-028-905 13 - 8608-029-906 19 - 8611-002-039 7 - 8608-029-903 14- 8608-029-904 20 - 8611-002-035 8 - 8608-029-901 15 - 8608-029-910 21 - 8611-002-0.10 9 - 8608-029-900 16- 8611-001-048 22 - 8611-002-034 10- 8608-029-909 TIERRA WEST ADVISORS,INC. 7 Preliminary Plan Merged Central Business District and West End Project—Azusa Redevelopment Agency Exhibit B: Added Area South Portion 210 freeway 4 . r n yr Y � a � c zx } Y 3 ® Added Area on Central Business District (Merged Project) Listing of Added Area Parcel Numbers: Added Area Portion 3 1 - 8614-014-058 5 - 8614-015-027 9 - 8614-015-028 2 - 8614-014-057 6 - 8613-024-024 10 - 8614-016-910 3 - 8614-014-917 7 - 8613-024-023 11 - 8614-016-908 4 - 8614-014-054 8 - 8614-015-900 TIERRA WEST ADVISORS,INC. g U N C'9tipORcnP -- AGENCY AGENDA ITEM TO: HONORABLE CHAIRPERSON AND MEMBERS OF THE AGENCY BOARD FROM: BRUCE COLEMAN, ECONOMIC &COMMUNITY DEVELOPMENT DIRECTOR FN�1� VIA: F.M. DELACH, EXECUTIVE DIRECTOR 1 w-- DATE: FEBRUARY 19, 2008 , SUBJECT: CONSIDERATION OF A RESOLUTION OF NECESSITY AUTHORIZING USE OF EMINENT DOMAIN POWER TO ACQUIRE, FOR REDEVELOPMENT, PARCELS OF REAL PROPERTY IN THE CITY OF AZUSA LOCATED AT: 810 NORTH ALAMEDA AVENUE; 858 NORTH AZUSA AVENUE; 812 NORTH AZUSA AVENUE; 801 NORTH ALAMEDA AVENUE; 826 NORTH AZUSA AVENUE; AND 832 NORTH AZUSA AVENUE. RECOMMENDATION Agency staff recommends that the Agency's Board of Directors adopt a Resolution of Necessity authorizing use of the Agency's eminent domain authority to acquire parcels of non-residential real property within the Agency's Merged Central Business District Area located at: 810 North Alameda Avenue; 858 North Azusa Avenue; 812 North Azusa Avenue; 801 North Alameda Avenue; 826 North Azusa Avenue; and 832 North Azusa Avenue, in the City Azusa (collectively, "Subject Properties"). BACKGROUND In 1978, the Azusa Redevelopment Agency adopted its first redevelopment plan to revitalize the Central Business District Area, the City's main commercial hub. The plan had the following goals: (a) to develop convenient commercial facilities providing a wide variety of goods and services to nearby residents; (b) to ensure an economically vibrant commercial sector in the area that serves as a community meeting place; (c) to promote strong investment in, and community support for, a central business district in the City; and (d) to revitalize Azusa's central business district. In 2003 and again in 2006 the Agency amended and adopted the Amended and Restated Redevelopment Plan (the "Plan") to eliminate blight and to conserve, rehabilitate, and redevelop non- residential properties in the Merged Central Business District and West End Redevelopment Projects. Among the blight conditions in the Central Business District identified by the Agency that the Plan seeks to alleviate are: (1) deteriorated and/or dilapidated structures; (2) substandard design and physical obsolescence of structures; (3) incompatible land uses; (4) small or odd shaped independently-owned parcels, incompatible with future modern development; (S) vacancies or abandoned buildings; and (6) inadequate public improvements. The Subject Properties are non-residential properties situated within the Merged Central Business District and individually identified in the 2006 amendment of the Plan as properties over which the February 19, 2008 Honorable Chairperson &Agency Board Reso of Necessity Authorizing Use of Eminent Domain Power Page 2 of 4 Agency has the power of eminent domain. Furthermore, the Agency identified evidence of physical and economic blight among and around the Subject Properties, including: dilapidated structures; adjacent incompatible land uses; small or odd shaped parcels; vacant or under-utilized buildings and land; and inadequate public improvements, including inadequate off-street parking. Based on the findings of physical and economic conditions of blight in the Central Business District, the Subject Properties were identified for redevelopment in the Plan. Assemblage of the Subject Properties with adjoining property by the Agency will make available larger properties for future redevelopment in accordance with the Agency's redevelopment and land use goals to the benefit of the redevelopment area and the City as a whole. Absent Agency action, future assemblage and redevelopment of Subject Properties with adjoining property within the•Merged Central Business District would not be possible. In accordance with Government Code section 7267.2, the Agency has had each of the Subject Properties appraised by a qualified appraiser and extended a written offer to purchase to each of the owner(s) of record of the Subject Properties, for no less than each property's appraised fair market value. Additionally, the Agency and/or its acquisition consultants have contacted each of the owners of the Subject Properties in an attempt to negotiate a purchase. To date, none of the owners of the Subject Properties have accepted the Agency's offer to purchase. The Agency, nevertheless, remains willing to work with any of the owners of the Subject Properties in order reach a mutually acceptable acquisition agreement. RESOLUTION PREREQUISITES For the reasons stated herein, Agency staff believes that acquisition by the Agency of the Subject Properties for assemblage and redevelopment is a public use, that the Subject Properties are necessary for such redevelopment and/or assemblage, that the assemblage project is designed in a manner consistent with the greatest public good and least private injury, and that an appraisal and offer in accordance with Government Code section 7267.2 has been made to the owner(s) of record of the aforementioned properties. Therefore, staff believes that all legal prerequisites to the adoption of a Resolution of Necessity are present. Below is an analysis of how acquisition of the Subject Properties could assist in accomplishing some of the Agency's Plan goals as well as the City's. Land Use Element Goals and Economic Development Goals: AGENCY'S PLAN GOALS The goals of the Agency's Plan include: (1) elimination of areas suffering from economic dislocation and disuse; (2) replanning, redesign and/or redevelopment of areas which are stagnant or improperly utilized, which could not be accomplished by private enterprises acting alone without public participation and assistance; (3) protecting and promoting sound development and redevelopment of blighted areas by remedying the conditions through the employment of appropriate means; (4) installation of new and replacement of existing public improvements; and (5) other means as deemed appropriate. To accomplish the above goals, the Plan authorizes Agency acquisition of non- residential real property, including by eminent domain, and redevelopment of same. The acquisition of the Subject Properties by eminent domain is in furtherance of the goals of the Agency as it will eliminate areas within the Central Business District that have been identified by the Agency as blighted, stagnant and/or suffering from disuse. Acquisition by the Agency will permit February 19, 2008 Honorable Chairperson &Agency Board Reso of Necessity Authorizing Use of Eminent Domain Power Page 3 of 4 future replanning and redevelopment of the Central Business District, in a manner which could not be accomplished without the Agency's use of the power of eminent domain, to permit the assemblage of properties under separate ownership for coordinated modern development with adjoining property. CITY'S LAND USE ELEMENT GOALS: Land Use: Districts GOAL 4 -- Azusa will have a thriving and well balanced business sector located within three pedestrian oriented districts that provide dining, retail, office, and entertainment experiences, and one industria//technology district that provides "tech-driven"manufacturing, warehousing, and other industrial uses and supporting commercial uses. The assemblage project will assist in enabling the construction of new commercial stores and/or mixed uses which will help to revitalize the Central Business District. A goal of the project will be to provide a "distinctive" shopping experience that emphasizes pedestrian oriented commercial and residential uses in a mixed-use setting. Outdoor "sidewalk" dining and other similar uses will be encouraged to "activate" public spaces. The building and site layout will link individual buildings, public plazas, and parking facilities with each other through the use of walkways and sidewalks and other amenities that contribute to pedestrian oriented activities. The design of the buildings will be compatible with the historic architecture in the area. The redevelopment of the Subject Properties will contribute to the maintenance of a distinctive and pleasant physical environment through public streetscape and street amenities (water fountains, shaded benches, shaded bus shelters, trash receptacles, pedestrian scaled lighting, public and entry signage, etc.). Examples of futures uses could include a variety of retail stores, restaurants, and entertainment, art and cultural events, public plazas and gathering places. The retail component will emphasize tax generating uses that are active each day of the week. Land Use: Commercial and Mixed Use GOAL 5 -- Allow for and encourage the intensification of commercial uses in the corridors and the districts to provide economic stability and to provide residents with essentia/goods and services. The intensification of commercial uses in the Central Business District will be achieved through the application of the Development Code standards which reduce the amount of parking, and minimize setbacks. The structures will be sited and designed to enhance pedestrian activity along the sidewalks, by incorporating uses in the first floor along the street frontage that stimulate pedestrian activity, encouraging professional offices and other similar uses to be located in the rear or above the first floor. CITY'S ECONOMIC DEVELOPMENT GOALS AND POLICIES Build a Strong, Diverse Economy GOAL / —Build and maintain a strong, diverse economy in Azusa. Eventual commercial and/or mixed-use redevelopment in the Central Business District is consistent with an overall strategy to use land resources efficiently. February 19, 2008 Honorable Chairperson &Agency Board s Reso of Necessity Authorizing Use of Eminent Domain Power Page 4 of 4 Diversification of Revenue Base GOAL 9 -- Create a diverse and balanced revenue base with long-term value, avoiding excess reliance on a single revenue source. The Subject Properties can be redeveloped in the future to help build a high-quality retail base that can hold value over time and adapt to changing circumstances. This will, in turn, help promote a quality housing stock in Azusa that will appreciate in value over time. Assemblage of the Subject Properties promotes the more efficient used of land for business development that can support the City's property tax base and generate sales tax revenues. Strengthening of Revenue Base GOAL 10-- Strengthen the retail and commercial base. Eventual redevelopment of the inefficiently developed Subject Properties will help to enhance the identity of Downtown and strengthen retail and commercial base. The project area can be used to help promote Azusa's competitiveness at the regional and sub-regional level. Successful redevelopment of the project area can help to attract more new development by showing Azusa's commitment to redevelopment. CALIFORNIA ENVIRONMENTAL QUALITY ACT ("CEQA") COMPLIANCE The Agency has complied with California Environmental Quality Act (CEQA). The proposed action to acquire property is in furtherance of the Merged Central Business District and West End Project Areas Redevelopment Plan, as amended. The Redevelopment Plan was analyzed under the previously certified Environmental Impact Report (Amendments for the Merged Central Business District/West End Redevelopment Projects, State Clearinghouse No. 2003061073). Per CEQA Guidelines Sections 15180, 15162, and 15163, acquisition of parcels for consolidation and development, and actions to encourage redevelopment in a redevelopment area were deemed approved at the time of adoption of the redevelopment plan. No further environmental review is required at this time. When the Agency considers a development proposal that includes the Subject Properties, or any of them, it will revisit whether further CEQA review is required. CONCLUSION Based on all of the foregoing reasons, staff recommends that the Board of Directors adopt the proposed Resolution of Necessity. FISCAL IMPACT The appraised value of all of the affected real property is $6,895,000 and letters of offer to purchase have been provided to each property owners. This amount is subject to negotiation as the condemnation progress gets through the court procedure to follow. ATTACHMENTS Resolution Legal Descriptions RESOLUTION NO. RESOLUTION OF THE AZUSA REDEVELOPMENT AGENCY AUTHORIZING THE CONDEMNATION OF CERTAIN REAL PROPERTY WITHIN THE CITY OF AZUSA FOR ASSEMBLAGE FOR FUTURE REDEVELOPMENT. THE BOARD OF DIRECTORS OF THE AZUSA REDEVELOPMENT AGENCY DOES HEREBY RESOLVE AND DETERMINE AS FOLLOWS: Section I That the public interest and necessity require the acquisition of the hereinafter described parcels of real property, in fee simple absolute (the "Subject Properties"), for a proposed public project, to wit, for assemblage for redevelopment purposes and the elimination of blight (hereinafter the "Project"), as authorized pursuant to: (1) California Health & Safety Code sections 33342, 33391; (2) California Code of Civil Procedure sections 1240.010, 1240.1 10, 1240.120; and (3) Article I, section 19 of the Constitution of the State of California. Section 2 That the Board of Directors of the Azusa Redevelopment Agency (the "Agency') hereby finds and determines, based on the staff report, and other testimony and evidence, that: a. The public interest and necessity require the Project; b. The Project is planned or located in the manner that will be most compatible with the greatest public good and the least private injury; C. The Subject Properties are necessary for the Project; and, d. The offer required by section 7267.2 of the Government Code has been made to the owner of record of the Subject Properties. Section 3 That the Agency, in accordance with eminent domain provisions of California Redevelopment law and the Constitution of the State of California, is hereby authorized and empowered to acquire by condemnation the Subject Properties, which are located at 810 North Alameda Avenue, 858 North Azusa Avenue, 812 North Azusa Avenue, 801 North Alameda Avenue; 826 North Azusa Avenue, and 832 North Azusa Avenue, in the City of Azusa, and further described in Exhibit "A- F," hereto. Section 4 That the Agency's legal counsel be, and hereby is, authorized to institute eminent domain proceedings in the Los Angeles County Superior Court, for the purposes set forth above, and to take all action necessary to acquire the Subject Properties in the name of the Agency. Section 5 That the public interest and necessity further require the taking of prejudgment possession of the Subject Property and the Agency's counsel is authorized to institute proceedings for taking prejudgment possession of the Subject Properties, upon complying with the requirements of the law applicable thereto; and that the total sum fixed by the Superior Court as its order determining and establishing the deposit amount for said prejudgment possession be deposited into Court, as provided by Code of Civil Procedure section 1255.010, et seg. Section 6 That the Agency has complied with California Environmental Quality Act (CEQA). The proposed action to acquire property is in furtherance of the Merged Central Business District and West End Project Areas Redevelopment Plan, as amended. The Redevelopment Plan was analyzed under the previously certified Environmental Impact Report (Amendments for the Merged Central Business District/West End Redevelopment Projects, State Clearinghouse No. 2003061073). Per CEQA Guidelines Sections 15180, 15162, and 15163, acquisition of parcels for consolidation and development, and actions to encourage redevelopment in a redevelopment area were deemed approved at the time of adoption of the redevelopment plan. No further environmental review is required at this time. When the Agency considers a development proposal that includes the Subject Properties, or any of them, it will revisit whether further CEQA review is required. Section 7 The Agency's legal counsel and counsel designated by Agency's legal counsel are hereby authorized to incur, on behalf of the Agency, all necessary expenses for preparation and trial of the action, including, but not limited to: a. Authorizing additional work by appraisers and consultants to prepare appraisal and consultant reports, or to cover additional line or lines of inquiry not covered in the earlier consultant reports; b. Engaging one or more additional appraisers in the event the Agency's counsel feels such step is advisable; C. Preparing maps, charts, diagrams, photographs, and reports in the event such printing is necessary; d. Authorizing payment to appraisers and consultants for the time spent on pre-trial conferences and field trips to inspect the Subject Properties; e. Incurring such additional expenses including the cost of providing clerical, paralegal and attorney services on behalf of the Agency as in the judgment of the Agency's counsel shall be necessary to the trial preparation for, and trial of, said proceedings; and, f. Incurring defendant's `ordinary" court costs (e.g. filing fees), as provided for in Code of Civil Procedure section 1268.710. APPROVED AS TO FORM Counsel for the Azusa Redevelopment Agency PASSED AND ADOPTED this 19' day of February, 2008. Executive Director I HEREBY CERTIFY that the foregoing resolution was duly adopted by the City of Azusa at a regular meeting thereof, held on the 19th day of February, 2008. AYES: AGENCY MEMBERS: NOES: AGENCY MEMBERS: ABSTAIN: AGENCY MEMBERS: ABSENT: AGENCY MEMBERS: Secretary EXHIBIT "A" 810 NORTH ALAMEDA AVENUE ALL THAT CERTAIN REAL PROPERTY SITUATED IN THE COUNTY OF LOS ANGELES, STATE OF CALIFORNIA, DESCRIBED AS FOLLOWS: LOT(S) 17, 18, 19, 20, 21 AND 22 IN BLOCK 19 OF AZUSA, IN THE CITY OF AZUSA, COUNTY OF LOS ANGELES, STATE OF CALIFORNIA, AS PER MAP RECORDED IN BOOK 15, PAGE(S) 93 ET SEQ., OF MISCELLANEOUS RECORDS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY. ALSO A PARCEL OF LAND ADJOINING SAID BLOCK 19 OF THE SOUTH, DESCRIBED AS FOLLOWS: COMMENCING AT THE SOUTHWEST CORNER OF SAID BLOCK 19; THENCE SOUTH 50 FEET TO THE NORTHERLY LINE OF THE RIGHT OF WAY AND DEPOT GROUNDS OF THE SOUTHERN CALIFORNIA RAILWAY CO., (NOW ATCHISON, TOPEKA AND SANTA FE CO.) THENCE NORTHEASTERLY ALONG SAID NORTHERLY LINE TO A POINT IN A LINE FORMED BY THE PROLONGATION OF THE EAST BOUNDARY LINE OF SAID LOT(S) 17, 18, 19, 20, 21 AND 22 IN SAID BLOCK 19, SAID POINT BEING 50 FEET SOUTH FROM THE SOUTHEASTERLY CORNER OF SAID LOT 22; THENCE NORTH 50 FEET TO THE SOUTHEASTERLY CORNER OF SAID LOT 22; THENCE SOUTHWESTERLY ALONG THE SOUTHEASTERLY LINE OF SAID LOT 22 TO THE POINT OF BEGINNING. 435782 EXHIBIT "B" 858 NORTH AZUSA AVENUE ALL THAT CERTAIN REAL PROPERTY SITUATED IN THE COUNTY OF LOS ANGELES, STATE OF CALIFORNIA, DESCRIBED AS FOLLOWS: LOT(S) 25, 26, 27, 28, 29 AND 30 IN BLOCK 20 OF THE AZUSA TRACT, IN THE CITY OF AZUSA, COUNTY OF LOS ANGELES, STATE OF CALIFORNIA, AS PER MAP RECORDED IN BOOK 15 PAGE(S) 93 TO 96 INCLUSIVE OF MISCELLANEOUS RECORDS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY. EXCEPT THEREFROM SAID LOT 25 THAT PORTION DESCRIBED AS FOLLOWS: BEGINNING AT THE NORTHWEST CORNER OF SAID LOT 25, THENCE EAST 25.00 ALONG THE NORTH LINES OF SAID LOT TO THE BEGINNING OF A CURVE CONCAVE SOUTHEASTERLY HAVING A RADIUS OF 25.00 FEET; THENCE SOUTHWESTERLY ALONG SAID CURVE THROUGH A CENTRAL ANGLE OF 90°, DISTANCE OF 39.27 FEET MORE OR LESS TO THE WEST LINE OF SAID LOT, THENCE NORTH 25.00 FEET ALONG SAID WEST LINE TO THE POINT OF BEGINNING. 43579.2 EXHIBIT "C" 812 NORTH AZUSA AVENUE ALL THAT CERTAIN REAL PROPERTY SITUATED IN THE COUNTY OF LOS ANGELES, STATE OF CALIFORNIA, DESCRIBED AS FOLLOWS: PARCEL ]: LOT(S) 37, 38, 39 AND 40 OF BLOCK 20 OF MAP OF AZUSA, IN THE CITY OF AZUSA, COUNTY OF LOS ANGELES, STATE OF CALIFORNIA, AS PER MAP RECORDED IN BOOK 15 PAGE(S) 93 TO 96 INCLUSIVE OF MISCELLANEOUS RECORDS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY, ALSO A STRIP OF LAND DESCRIBED AS FOLLOWS: BEGINNING AT THE SOUTHWEST CORNER OF SAID LOT 40; THENCE ALONG AZUSA AVENUE, SOUTH 50.00 FEET, MORE OR LESS TO THE NORTHERLY LINE OF LAND REFERRED TO AS RIGHT OF WAY AND DEPOT GROUNDS, CONVEYED BY DEED TO THE SOUTHERN CALIFORNIA RAILWAY COMPANY, RECORDED IN BOOK 634 PAGE(S) 181 OF DEEDS; THENCE EASTERLY ALONG SAID NORTHERLY LINE TO THE SOUTHERLY PROLONGATION OF THE CENTERLINE OF THE ALLEY, (20 FEET WIDE), ADJOINING SAID LOTS ON THE EAST, AS SHOWN ON SAID MAP; THENCE NORTHERLY ALONG SAID SOUTHERLY PROLONGATION, 50.00 FEET, MORE OR LESS, TO THE SOUTHERLY LINE OF SAID BLOCK 20; THENCE WESTERLY ALONG SAID SOUTHERLY LINE TO THE POINT OF BEGINNING. PARCEL 2: THAT PORTION OF THAT CERTAIN NORTH/ SOUTH ALLEY, 20 FEET WIDE AS SHOWN ON MAP OF AZUSA, IN THE CITY OF AZUSA, COUNTY OF LOS ANGELES, STATE OF CALIFORNIA, AS PER MAP RECORDED IN BOOK 15 PAGE(S) 93 TO 96 INCLUSIVE OF MISCELLANEOUS RECORDS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY, INCLUDED WITHIN BLOCK 20 OF SAID MAP OF AZUSA, BOUNDED AS FOLLOWS: BOUNDED ON THE WEST BY EASTERLY LINES OF LOTS 37 AND 38, SAID BLOCK 20; BOUNDED ON THE EAST BY THE WESTERLY LINE OF LOT 13; BOUNDED ON THE SOUTH BY THE NORTHERLY PROLONGATION OF LOT 39; AND BOUNDED ON THE NORTH BY THE NORTHERLY PROLONGATION OF LOTS 30 AND 13. 43724.1 EXHIBIT "D" 801 NORTH ALAMEDA AVENUE ALL THAT CERTAIN REAL PROPERTY SITUATED IN THE COUNTY OF LOS ANGELES, STATE OF CALIFORNIA, DESCRIBED AS FOLLOWS: PARCEL 1: LOT(S) 5, 6, 7, 8, 9, 10, 11, 12 AND 13 IN BLOCK 20, OF THE TOWNSITE OF AZUSA, IN THE CITY OF AZUSA, COUNTY OF LOS ANGELES, STATE OF CALIFORNIA, AS PER MAP RECORDED IN BOOK 15 PAGE(S) 93 TO 96 INCLUSIVE OF MAPS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY. PARCEL 2: PART OF THE RANCHO AZUSA, AS FINALLY CONFIRMED TO HENRY DALTON, AS PER MAP RECORDED IN BOOK 2, PAGES 106 AND 107 OF PATENTS, RECORDS OF LOS ANGELES COUNTY, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY; AND ALSO THAT PORTION OF A VACATED ALLEY TO THE WEST OF LOT 13 IN BLOCK 20 OF THE TOWNSITE OF AZUSA, AS PER MAP RECORDED IN BOOK 15, PAGES 93 TO 96, INCLUSIVE OF MISCELLANEOUS RECORDS OF SAID COUNTY DESCRIBED AS FOLLOWS: BEGINNING AT THE SOUTHEAST CORNER OF SAID LOT 13; THENCE SOUTHERLY ALONG THE WEST LINE OF ALAMEDA AVENUE (100 FEET WIDE), A DISTANCE OF 50.00 FEET, MORE OR LESS TO THE NORTH LINE OF THE LAND REFERRED TO AS RIGHT-OF-WAY AND DEPOT GROUNDS CONVEYED BY DEED TO THE SOUTHERN CALIFORNIA RAILWAY COMPANY, RECORDED IN BOOK 634, PAGE 181, OF DEEDS; THENCE WESTERLY ALONG SAID NORTH LINE TO THE INTERSECTION THEREOF, WITH THE SOUTHERLY PROLONGATION OF THE CENTER LINE OF THE ALLEY (20 FEET WIDE) ADJOINING SAID LOT 13, ON THE WEST, AS SHOWN ON SAID MAP; THENCE NORTHERLY ALONG SAID SOUTHERLY PROLONGATION AND THE CENTERLINE OF SAID ALLEY, TO THE EASTERLY EXTENSION OF THE NORTH LINE OF LOT 39 OF SAID BLOCK AND TRACT; THENCE EASTERLY ALONG THE EASTERLY EXTENSION OF THE NORTH LINE OF LOT 39 TO THE WEST LINE OF LOT 13 OF SAID BLOCK AND TRACT; THENCE SOUTHERLY ALONG THE WEST LINE OF SAID LOT 13, TO THE SOUTHERLY LINE OF LOT 13 TO THE POINT OF BEGINNING. EXHIBIT "E" 826 NORTH AZUSA AVENUE ALL THAT CERTAIN REAL PROPERTY SITUATED IN THE COUNTY OF LOS ANGELES, STATE OF CALIFORNIA, DESCRIBED AS FOLLOWS: LOT(S) 35 AND 36 IN BLOCK 20 OF AZUSA, IN THE CITY OF AZUSA, COUNTY OF . LOS ANGELES, STATE OF CALIFORNIA, AS PER MAP RECORDED IN BOOK 15, PAGE(S) 93 THROUGH 96 INCLUSIVE OF MISCELLANEOUS RECORDS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY. 43580.2 f EXHIBIT "F" 832 NORTH AZUSA AVENUE ALL THAT CERTAIN REAL PROPERTY SITUATED IN THE COUNTY OF LOS ANGELES, STATE OF CALIFORNIA, DESCRIBED AS FOLLOWS: PARCEL 1: LOT(S) 31 AND 32 IN BLOCK 20, IN THE CITY OF AZUSA, COUNTY OF LOS ANGELES, STATE OF CALIFORNIA, AS PER MAP RECORDED IN BOOK 15 PAGE(S) 93 TO 96 INCLUSIVE OF MISCELLANEOUS RECORDS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY. PARCEL 2: LOT 33 IN BLOCK 20, IN THE CITY OF AZUSA, COUNTY OF LOS ANGELES, STATE OF CALIFORNIA, AS PER MAP RECORDED IN BOOK 15 PAGE(S) 93 TO 96 INCLUSIVE OF MISCELLANEOUS RECORDS, IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY. 43582.3 AVE Ira! Z5 Ln 12 3 14 ' 5 61 71 6 9 10 11 12 ,4" 1, 4 rV , t 71 2L ES ti. BLK-20 7c ,,25 2 26 2712829 303,1 32 33[4 T353�6 3738 39 : 14 40 a: in 0 Irl AZUSA LA Cr U DALTON E�- I 2 3 4 LAC 7C (502) ieela50 -tica 4 , s" 70 ' 1311411 .5I � 7 m P t- ; 122 ALAMED M 4 � U, A °q41 AGENCY AGENDA ITEM TO: HONORABLE CHAIRPERSON AND MEMBERS OF THE AGENCY BOARD 2q C FROM: BRUCE COLEMAN, ECONOMIC/COMMUNITY DEVELOPMENT DIRECTOR VIA: F. M. DELACH, EXECUTIVE DIRECTORl(/� DATE: FEBRUARY 19, 2008 SUBJECT: CONSIDERATION OF PURCHASE AND SALE AGREEMENT FOR THE ACQUISITION OF THE REAL PROPERTY LOCATED AT 803 NORTH DALTON AVENUE (RAMIREZ PROPERTY) RECOMMENDATION It is recommended that the Agency Board approve the Purchase and Sale Agreement ("PSA") for the n of real property located at 803 North Dalton Avenue, commonly known as Los Angeles acquisition p ty q P County Assessor's Parcel Number 8608-027-008 ("Subject Property"). It is further recommended that the Agency Board approve an appropriation for this property acquisition. BACKGROUND In order to eliminate all remaining blight in the Central Business District area, in 2003, the Agency adopted the Amended and Restated Redevelopment Plan for the Merged Central Business District and West End Redevelopment Projects. One vehicle for the elimination of blight is the assemblage of improved, odd-shaped parcels into a single, larger"squared-off" parcel. Such assemblage can have the economic benefit of (a) eliminating any functional inefficiency or obsolescence caused by the "odd- shaped" nature of a parcel, and (b) creating a larger parcel that can accommodate certain projects (i.e. community shopping centers or mixed use developments) that smaller parcels would be unable to accommodate due to their size. The Subject Property is situated within the Central Business District Redevelopment Area, and consists of an 8,228 square feet site, that is improved with a 4,176 square feet single story masonry construction business. The property is owned by the Ramirez Family Trust. Assemblage of this parcel, with additional adjoining parcels to be acquired in the near future, could produce a single parcel available for future downtown development. At the direction of the Agency Board, R.P. Laurain &Associates appraised the property on September 18, 2007, and determined its fair market value to be $985,000. Agency staff and the property owners, Mr. & Mrs. Ramirez ("Sellers") of the Subject Property, have negotiated, subject to Agency Board approval, a purchase price of $1 ,150,000 (Exhibit A— Purchase and Sale Agreement). The purchase price includes, without limitation, full payment of just compensation and any relocation benefits, leasehold interest, goodwill, furniture, fixtures, and equipment (FFE), attorneys' fees, costs, interest, The Honorable Chairman and Members of the Agency Board Subject:Acquisition of 803 North Dalton Avenue February 19, 2007 Page 2of2 and damages in complete settlement of all claims (known and unknown), causes of action and demands of Seller against the Buyer because of the Buyer's purchase of the Subject Property, and for any and all claims in complete settlement of all claims (known and unknown) arising from or relating to the purchase and sale of the property. The property owner also operates the business, Ramirez Masonry, which occupies the site. Agency Staff has also negotiated with the property owners a lease agreement, attached hereto as Exhibit B; for a term for up to twelve months (12) following the close of escrow. The Sellers have agreed to pay the Agency $1.00 per month during the lease term, in addition to payment of janitorial expenses, utilities, and payment of possessory interest taxes. The lease will be brought forward to the Agency Board for their consideration after the close of escrow. FISCAL IMPACT The cost for this acquisition is $1,150,000 excluding escrow costs (title report, etc). The Agency requires an appropriation from the General Fund Reserves to proceed with the acquisition, subject to Agency Board approval. Attachments: Exhibit "A": Purchase and Sale Agreement by and between the Redevelopment Agency of the City of Azusa and Arthur B. Ramirez and Anna M. Ramirez, as Trustees of the Ramirez Family Trust T 2008 REAL PROPERTY PURCHASE AND SALE AGREEMENT AND JOINT ESCROW INSTRUCTIONS (803 North Dalton Avenue, Azusa, CA) by and between the THE REDEVELOPMENT AGENCY OF THE CITY OF AZUSA a public body, corporate and politic, and ARTHUR B. RAMIREZ AND ANNA M. RAMIREZ,AS TRUSTEES OF THE RAMIREZ FAMILY TRUST [Dated as of , 2008 for reference purposes only] ORANGEIQTANG�43425.2 2008 REAL PROPERTY PURCHASE AND SALE AGREEMENT AND JOINT ESCROW INSTRUCTIONS (803 North Dalton Avenue, Azusa, CA) by and between the THE REDEVELOPMENT AGENCY OF THE CITY OF AZUSA a public body, corporate and politic, and ARTHUR B. RAMIREZ AND ANNA M. RAMIREZ, AS TRUSTEES OF THE RAMIREZ FAMILY TRUST Dated as of , 2008 for reference purposes only] ORANG BQTANG W 3425.2 THE REDEVELOPMENT AGENCY OF THE CITY OF AZUSA 2008 REAL PROPERTY PURCHASE AND SALE AGREEMENT AND JOINT ESCROW INSTRUCTIONS (803 North Dalton Avenue) THIS 2008 REAL PROPERTY PURCHASE AND SALE AGREEMENT AND JOINT ESCROW INSTRUCTIONS (this "Agreement") is dated as of reference purposes only, and is entered into by and between the REDEVE AGENCY OF THE CITY OF AZUSA, a public body, corporate and politic (the "Agency"), and ARTHUR B. RAMIREZ AND ANNA M. RAMIREZ, AS TRUSTEES OF THE RAMIREZ FAMILY TRUST ("Sellers"). The Agency and Sellers enter into this Agreement with reference to the following recited facts (each a "Recital")_ RECITALS A. Sellers are the owner in fee of certain real property located in the City of Azusa, County of Los Angeles, State of California commonly known as 803 North Dalton Avenue, Azusa, California (Assessor Parcel Number 8608-027-008), more fully described in Exhibit "A" and depicted in Exhibit "A" attached hereto and incorporated herein by reference ("Property"). The term "Property" as used herein shall include all of Sellers' rights, title and interest in and to any and all improvements, fixtures, rights-of-way, utility rights, entitlements, claims or other benefits in any way connected with or appurtenant to the Property. B. The Property is located within the Redevelopment Project Area and governed by the or Project Area ("Redevelopmen Plan-).na "). Thiisactonpfor 1 d 1 an f assemblyeis in accordance with California Redevelopment Law and is consistent with the redevelopment objectives contained in the Redevelopment Plan. C. Agency desires to purchase the Property from Sellers and Sellers desire to sell the Property to Agency. D. The Property is currently occupied by Seller doing business as Ramirez Masonry, Inc. As more specifically hereinafter described, Sellers shall be entitled to enter into the Lease described in Section 3.5, providing for Sellers' continued use and occupancy of the Property for a term of up to twelve (12) months following Close of Escrow. NOW, THEREFORE, FOR GOOD AND VALUABLE CONSIDERATION AND THE PROMISES AND COVENANTS OF THE AGENCY AND SELLERS SET FORTH IN THIS AGREEMENT, THE AGENCY AND SELLERS AGREE, AS FOLLOWS: ORANGE\QTANG\434252 1 ARTICLE 1 DEFINITIONS 1.1 Incorporation of Recitals. The Recitals of fact set forth above are true and correct and are incorporated into this Agreement in their entirety by this reference. 1.2 Defined Terms. The following words, terms and phrases are used in this Agreement with the following meanings, unless the particular context of usage of a word, term or phrase requires another interpretation: 1.2.1 "A enc " means the Redevelopment Agency of the City of Azusa, a public body, corporate and politic, a public body, corporate and politic. 1.2.2 "Agency Parties" --�_ means, collectively, the Agency, elected officials, employees, agents and attorneys. its governing body, 1.2.3 "Agency Party" means, individually, the Agency, its governing body, elected officials, employees, agents or attorneys. 2.8.1. 1.2.4 `Benefits" shall have the meaning ascribed to the term in Section 1.2.5 "CEOA" means the California En Resources Code Sections 21000, et seq. vironmental Quality Act, Public 1.2.6 "CEOA�ment" means any applicable exemption determination, any Negative Declaration (mitigated or otherwise) or any Environmental Impact Report (including any addendum or amendment to, or subsequent or supplemental Environmental Impact Report) required or permitted by the Agency, pursuant to CEQA, to approve this Agreement. 1.2.7 "C�"means the City of Azusa, California. 1.act "Claim" means any claim, loss, cost, damage, expense, liability, lien, action, cause of action (whether in tort, contract, under statute, at law, in charge, award, assessment, fine or penalty of any kind (including consultant equity otherwrse), expenses, Legal Costs Of counsel retained by the Agency Parties, ert costs of staff time and investigation costs of whatever kind or nature), and any judgment, including any such matter relating to ; ( arising from: (i) injury to any Person (including death at any time resulting from that injury); (ii) loss of, injury or damage to, or destruction of property (including all loss of use resulting from that loss, injury, damage, or destruction) regardless of where located, including the property of the Agency Parties; (iii) any matter described in Section 5.13 (Real Estate Commissions); (iv) any Environmental Claim; or (v) enforcement of any indemnity obligation under this Agreement. ORANG E\QTANG%43425.2 2 1.2.9 "Close_ off" means completion of each of the actions set forth in Section 3.9 by the Escrow Agent for the conveyance through the Escrow. of the Property from Sellers to the Agency 1.2.10 "County"means the County of Los Angeles, California. 1 .2.1 1 "Default"means any Monetary Default or Non-Monetary Default. 1.2.12 "Default Int 11 means interest at an annual rate equal to the lesser Of.- (i) ten percent (]0%)per annum; or(ii) the Usury Limit. 1.2.13 "Due Diligence Completion Notice" means a written Notice of the Agency delivered to both Sellers and the Escrow, Agent, prior to the end of the Due Diligence Period, stating the Agency's acceptance of the condition of the Property or indicating the Agency's rejection or conditional acceptance of the condition of the Property and refusal to accept a conveyance of the Property, describing in reasonable detail the actions that the Agency reasonably believes are necessary (if any) to allow the Agency to accept Property and conveyance of the Property. the condition of the 1.2.14 "Due Diligence Investigations,, means the Agency's due diligence investigations of the Property to determine the suitability of the Property, including, without limitation, investigations of the environmental and geotechnical conditions of the Properly, as deemed appropriate in the reasonable discretion of the Agency, all at the sole cost and expense of the Agency, except as otherwise specifically provided in this Agreement. 1.2.15 "Due Diligence Period" means the six ( 60) calendar day commencing on the day immediately following the Effective Date d ending at 5:00 p.m Pacificc Time on the sixtieth (60`) consecutive calendar day thereafter. 1.2.16 "Earnest Monev Deposit"means the amount of Twenty-Five Thousand n c Dollars ($25,000.00), iash or other immediately available funds. 1.2.17 "Effective means the first date on which all of the following have occurred: (i) the Agency has received three (3) counterpart originals of this Agreement copy of the Sellers' executed by the authorized representative(s) of Sellers; (ii) the Agency has received a certified official action executed by the authorized representative(s) of Sellers (if applicable); (iii) this Agreement is approved by the Agency governing body; (iv) this Agreement is executed by the authorized representative(s) of the Agency and (v) one (1) original of'this Agreement executed by the authorized representatives) of the Agency has been delivered by the Agency to Sellers. 1.2.18 "Environmental Claims"means any and all claims, demands, damages, losses, liabilities, obligations, penalties, fines, actions, causes of action, judgments, proceedings, costs, disbursements and expenses, including Legal Costs and fees andcostslof environmental consultants and other experts, and all foreseeable and unforeseeable damages or costs of any kind or of any nature whatsoever, directly or indirectly, relating to or arising from any actual or alleged violation of any Environmental Law or any Hazardous Substance Discharge ORANGE\QTANGW34252 3 occurring during or arising from Sellers's ownership, use or occupancy of the Property or any ' other actions of or attributable to Sellers regarding the Property. 1.2.19 "Environmental Law" means any Law regarding any of the following at, in, under, above, or upon the Property: (i) air, environmental, ground water, or soil conditions; or(ii) clean-up, remediation, control, disposal, generation, storage, release, discharge, transportation, use of, or liability or standards of conduct concerning, Hazardous Substances. 1.2.20 "Escrow" means an escrow, as defined in Civil Code Section 1057 and Financial Code Section 17003(a), that is conducted by the Escrow Agent with respect to the conveyance of the Property from Sellers to the Agency, pursuant to this Agreement. 1.2.21 "Escrow Agent" means Enid Tobias, LandAmerica Southland Title Company, or such other Person mutually agreed upon in writing by both the Agency and Sellers in writing. 1.2.22 "Escrow Agent Consent" means the Escrow Agent's consent to acting as Escrow Agent under this Agreement, in substantially the form of Exhibit "C" attached to this Agreement. 1.2.23 "Escrow Closing Date"means on or before the thirtieth (30th)business day following the expiration of the Due Diligence Period, unless extended by mutual consent of the Parties, subject to Escrow Agent's receipt of written confirmation from both the Agency and Sellers of the satisfaction or waiver of all conditions precedent to the Close of Escrow. 1.2.24 "Escrow Opening Date"means the first date on which a fully executed copy of this Agreement is deposited with the Escrow Agent. 1.2.25 "Event of Default" means the occurrence of any one or more of the following: (a) Monetary Default: A Monetary Default that continues for seven (7) days after Notice from the non-defaulting Party, specifying in reasonable detail the amount of money not paid and the nature and calculation of each such payment; or (b) Non-Monetary Default. Any Non-Monetary Default that is not cured within thirty (30) days after Notice to the Party alleged to be in Default describing the Non-Monetary Default in reasonable detail, or, in the case of a Non-Monetary Default that cannot with reasonable diligence be cured within thirty (30) days after such Notice, if the Party alleged to be in Default does not do all of the following: (i) within thirty (30) days after Notice of such Non-Monetary Default, advise the other Party of the intention of the Party alleged to be in Default to take all reasonable steps to cure such Non-Monetary Default; (ii) duly commence such cure within such period, and then diligently prosecute such cure to completion; and (iii) complete such cure within a reasonable time under the circumstances. 1.2.26 "Executive Director" means the Executive Director of the Agency or his or her designee or successor in function. ORANGE\QTANG\43425.2 4 1.2.27 "Federal" means the government of the United States of America. 1.2.28 "Final" means, relative to any CEQA Document, when all administrative appeal periods regarding such matter have expired, all administrative appeals or challenges regarding such matter (if any) have been resolved to the Agency's reasonable satisfaction, all statutory periods for challenging .such matter have expired, all referendum periods have expired, all referenda regarding such matter (if any) have been resolved to the Agency's reasonable satisfaction, all litigation or other proceedings (if any) challenging any such matter have been resolved to the reasonable satisfaction of the Agency and all appeal periods relating to any such litigation or other proceedings have expired. 1.2.29 "FIRPTA Certificate" means a certification that Sellers is not a "foreign person" within the meaning of such term under Section 1445 of the United States Internal Revenue Code, as amended from time to time, and sufficient to exempt the Agency from the obligation to withhold any funds from Sellers pursuant to Section 1445 of the United States Internal Revenue Code, as amended from time to time. 1.2.30 "Form 593" means a California Franchise Tax Board Form 593-C or successor form. 1.2.31 "Government" means each and every governmental agency, authority, bureau, department, quasi-governmental body, or other entity or instrumentality having or claiming jurisdiction over the Property (or any activity this Agreement allows), including the United States government, the State and County governments and their subdivisions and municipalities, the City and all other applicable governmental agencies, authorities, and subdivisions thereof. "Government" shall also include any planning commission, board of standards and appeals, department of buildings, city council, zoning board of appeals, design review board or committee or similar body having or claiming jurisdiction over the Property or any activities on or at the Property. 1.2.32 "Grant Deed" means a grant deed in substantially the form of Exhibit "D" attached to this Agreement. 1.2.33 "Hazardous Substance" means flammable substances, explosives, radioactive materials, asbestos, asbestos-containing materials, polychlorinated biphenyls, chemicals known to cause cancer or reproductive, toxicity, pollutants, contaminants, hazardous wastes, medical wastes, toxic substances or related materials, explosives, petroleum, petroleum products and any "hazardous" or "toxic" material, substance or waste that is defined by those or similar terms or is regulated as such under any Law, including any material, substance or waste that is: (i) defined as a "hazardous substance" under Section 311 of the Water Pollution Control Act (33 U.S.C. § 1317), as amended; (ii) substances designated as "hazardous substances" pursuant to 33 U.S.C. § 1321; (iii) defined as a "hazardous waste" under Section 1004 of the Resource Conservation and Recovery Act of 1976, 42 U.S.C. § 6901, et seq., as amended; (iv) defined as a "hazardous substance" or "hazardous waste" under Section 101 of the Comprehensive Environmental Response, Compensation and Liability Act of 1980, as amended by the Superfund Reauthorization Act of 1986, 42 U.S.C. § 9601, et seq., or any so-called "superfund" or"superlien" law; (v) defined as a "pollutant" or "contaminant" under 42 U.S.C.A. ORANGE)QTANG\43425.2 5 § 960](33); (vi) defined as "hazardous waste" under 40 C.F.R. Part 260; (vii) defined as a , "hazardous chemical" under 29 C.F.R. Part 1910; (viii) any matter within the definition of "hazardous substance" set forth in 15 U.S.C. § 1262; (ix) any matter, waste or substance regulated under the Toxic Substances Control Act ("TSCA") [15 U.S.C. Sections 2601, ct seq.]; (x) any matter, waste or substance regulated under the Hazardous Materials Transportation Act, 49 U.S.C. Sections 1801, et seq.; (xi) those substances listed in the United States Department of Transportation (DOT)Table [49 CFR 172.]01]; (xii) any matter, waste or substances designated by the EPA, or any successor authority, as a hazardous substance [40 CFR Part 302]; (xiii) any matter, waste or substances defined as "hazardous waste" in Section 25117 of the California Health and Safety Code; (xiv) any substance defined as a "hazardous substance" in Section 25316 of the California Health and Safety Code; (xv) any matter, waste, or substance that is subject to any other Law regulating, relating to or imposing obligations, liability or standards of conduct concerning protection of human health, plant life, animal life, natural resources, property or the enjoyment of life or property free from the presence in the environment of any solid, liquid, gas, odor or any form of energy from whatever source; or (xvi) other substances, materials, and wastes that are, or become,regulated or classified as hazardous or toxic under Law or in the regulations adopted pursuant to said Law, including manure, asbestos, polychlorinated biphenyl, flammable explosives and radioactive material. 1.2.34 "Hazardous Substance Discharge" means any deposit, discharge, generation, release, or spill of a Hazardous Substance that occurs at on, under, into or from the Property, or during transportation of any Hazardous Substance to or from the Property, or any activities conducted at on, under or from the Property or any adjacent or nearby real property, or resulting from seepage, leakage, or other transmission of Hazardous Substances from other real property to the Property, whether or not caused by a Party or whether occurring before or after the Effective Date. 1.2.35 "Indemni " means, where this Agreement states that any Indemnitor shall "indemnify" any Indemnitee from, against, or for a particular Claim, that the Indemnitor shall indemnify the Indemnitee and defend and hold the Indemnitee harmless from and against such Claim (alleged or otherwise). "Indemnified"shall have the correlative meaning. 1.2.36 "Indemnitee" means any Person entitled to be Indemnified under the terms of this Agreement. 1.2.37 "Indemnitor" means a Person that agrees to Indemnify any other Person under the terms of this Agreement. 1.2.38 "Law" means every law, ordinance, requirement, order, proclamation, directive, rule, and regulation of any Goverment applicable to the Property, in any way, including any development, use, maintenance, taxation, operation, or occupancy of, or environmental conditions affecting the Property, or relating to any taxes, or otherwise relating to this Agreement or any Party's rights or remedies under this Agreement, or any transfer of any of the foregoing, whether in force on the Effective Date or passed, enacted, modified, amended or imposed at some later time, subject in all cases, however, to any applicable waiver, variance, or exemption. ORANGFQTANGA3425.2 6 _ 1.2.39 "Legal Costs" of any Person means all reasonable costs and expenses such Person incurs in any legal proceeding (or other matter for which such Person is entitled to be reimbursed for its Legal Costs), including reasonable attorneys' fees, court costs and expenses and consultant and expert witness fees and expenses. 1.2.40 "Monetary Default" means any failure by either Party to pay or deposit, when and as this Agreement requires, any amount of money, any bond or surety or evidence of any insurance coverage required to be provided under this Agreement, whether to or with a Party or a third-Person. 1.2.41 "Non-Monetary Default" means the occurrence of any of the following, except to the extent constituting a Monetary Default: (i) any failure of a Party to perform any of its obligations under this Agreement; (ii) a Party's failure to comply with any material restriction or prohibition in this Agreement; or(iii) any other event or circumstance that, with passage of time or giving of Notice, or both, or neither, would constitute a breach of this Agreement. 1.2.42 "Notice" means any consent, demand, designation, election, notice, or request relating to this Agreement, including any Notice of Default. All Notices must be in writing. Default. 1.2.43 "Notice_ of_ Defaule, means any Notice claiming or giving Notice of a 1.2.44 "Notify"means give a Notice. 1.2.45 "Parties means collectively, the Agency and Sellers. applicable. 1.2.46 "Partv" means, individually, either the Agency or Sellers, as 1.2.47 "PCO Report" means a preliminary change of ownership report required under California Revenue and Taxation Code Section 480.3. 1.2.48 "Permitted Exceptions" means (i) any and all items shown in Schedule B of the Preliminary Report, as exceptions to coverage under the proposed Title Policy, that the Agency does not disapprove, conditionally approve, or that are otherwise accepted or consented to by the Agency; (ii) any exceptions from coverage under the proposed Title Policy resulting from the Agency's activities relating to the Property; (iii) any lien for non-delinquent property taxes or assessments; (iv) any Laws applicable to the Property; (v) the Redevelopment Plan; (vi) this Agreement; and (vii) any other matter expressly provided for in this Agreement. 1.2.49 "Person" means any association, corporation, governmental entity or agency, individual, joint venture, joint-stock company, limited liability company, partnership, trust, unincorporated organization, or other entity of any kind. 1.2.50 "Pre-Closing Liquidated Damages Amount" means the amo Earnest Money Deposit. unt of the ORANGE\QTANG\43425.2 7 1.2.51 IT reliminary Re 011" ' Prelimina Company in contemplation of the issuance of he Title Policy, accompaniedreport sby copies of ued by the tall documents listed in Schedule B of the report, as exceptions to coverage under the proposed Title Policy. 1 "Pro the legal description " means that certain real property specifically described in appurtenant rights and in set forth in Exhibit "A" attached to this Agreement, including all nterests. 1.2.53 "Purchase Price"means the amount of One Million One Hundred Fifry Thousand Dollars and No/Cents ($1,150,000.00). 1.2.54 "Real Est-es" means all general and special real estate taxes (including taxes on personal property, sales taxes, use taxes, takes, taxes payable pursuant to and the like), possessory interest California Health and Safety Code Section 33673, special taxes imposed pursuant to the Mello-Roos Community Facilities District Act, assessments, assessment district charges or taxes, municipal water and sewer rents, rates and charges, excises, levies, license and permit fees, fines, penalties and other Governmental charges and any interest or costs with respect thereto, general and special ordinary and extraordinary, any kind and nature and unforeseen, of e whatsoever that at any time before the Close of Escrow and' applicable to any time period prior to the Close of Escrow may be assessed, levied, imposed upon, or become due and payable out of or in respect of, or charged with respect to or become a lien on, the .Property, or any vault, ansa ewa p g y or. space. in, over or under any street, or any other appurtenances of the Property, or any personal property or facility used in the operation of the Property, or the rent or income received from the Property, or any use or occupancy of the Property. 1.2.55 "Record," "recorded " `° recordation of the referenced document in the official"recording" C"�Ty dation" each mean 1.2.56 "Redevelo went Plan means the City of Business District Redevelopment Plan for he Central Business Districtpos e�� Aea, aCalifornia, Central from time to time. J Area, as amended 1.2.57 "Sellers"means Arthur B. Ramirez and Anna M. Ramirez, as Trustees of the Ramirez Family Trust. 1.2-58 "Seller Parties, means, and agents of Sellers. collectively, the directors, officers, employees 1.2.59 "Sell" ,means, individually, the directorsofficers or agents of Sellers. employees 1.2.60 "State"means the State of California. 1.2.61 "Title COmnany" means Land title insurance company mutually agree upon on between both the Agency anderica Title or such other g y and Sellers in writing. OR ANGEIQTANG4t3425.2 8 1 .2.62le Notice" means a written Notice from the Agency to both Sellers and the Escrow Agent indicating the Agency's acceptance of the state of the title to the Property, as described in the Preliminary Report and the Survey, or the Agency's disapproval or conditional approval of specific matters shown in: (i) Schedule B of the Preliminary Report, as exceptions to coverage under the proposed Title Policy, or (ii) in the Survey, describing in suitable detail the actions that the Agency reasonably believes are necessary to obtain the Agency's approval of the state of the title to the Property. 1.2.63 "Title Notice Response" means the written response of Sellers to the Agency's Title Notice, in which Sellers elects to either: (i) cause the removal from the Preliminary Report or the Survey of any matter disapproved in the Agency's Title Notice, (ii) obtain title or other insurance in a form reasonably satisfactory to the Agency insuring against the effects of any matters disapproved or conditionally approved in the Agency's Title Notice, (iii) otherwise satisfy the Agency regarding any matter disapproved or conditionally approved in the Agency's Title Notice, or(iv) not take any action described in either(i), (ii) or(iii). 1.2.64 "Title Notice Waiver"means a written Notice from the Agency to both Sellers and the Escrow Agent waiving the Agency's previous disapproval or conditional approval in the Agency's Title Notice of specific matters shown in: (i) Schedule B of the Preliminary Report, as exceptions to coverage under the proposed Title Policy, or(ii) the Survey, that Sellers have not agreed to address to the Agency's reasonable satisfaction in the Title Notice Response. 1.2.65 "Title Policy" means an extended coverage owner's policy of title insurance issued by the Title Company,.with coverage in the amount of the Purcbase Price and insuring title to the Property vested in the Agency, subject to only the Permitted Exceptions. 1.2.66 "Unavoidable Delay" means a delay in either Party performing any obligation under this Agreement, except payment of money, arising from or on account of any cause whatsoever beyond the Party's reasonable control, despite such Party's reasonable diligent efforts, including industry-wide strikes, labor troubles or other union activities (but only to the extent such actions do not result from an act or omission of the Party), casualty, war, acts of terrorism, riots, litigation, Govemment action or refusal to act when or as required by Law or inability to obtain materials. Unavoidable Delay shall not include delay caused by a Party's financial condition,illiquidity, or insolvency. 1.2.67 "Usury Limit" means the highest rate of interest, if any, that Law allows under the circumstances. ARTICLE 2 CONVEYANCE OF PROPERTY 2.1 Escrow. Sellers shall sell and convey fee title to the Property to the Agency and the Agency shall purchase and acquire fee title to the Property from Sellers, pursuant to the terms and conditions of this Agreement. For the purposes of exchanging funds and documents to effect such purchase and sale of the Property between them, the Agency and Sellers agree to open the Escrow with the Escrow Agent. The provisions of ARTICLE 3 of this Agreement are the joint ORANGE\QTANG\43425.2 9 escrow instructions of the Parties to the Escrow Agent for conducting the Escrow. If requested by the Escrow Agent, Sellers and the Agency shall execute the Escrow Agent's reasonable standard or general escrow instructions. Any provision in the Escrow Agent's standard or general escrow instructions that purports to exculpate the Escrow Agent from or require Sellers or the Agency to indemnify the Escrow Agent against the Escrow Agent's negligence or willful misconduct shall be deemed ` urn-easonable" and shall not be included in any standard or general escrow instructions requested by the Escrow Agent. In the event of any conflict between the provisions of this Agreement and any standard or general escrow instructions requested by the Escrow Agent, the provisions of this Agreement shall be controlling. 2.2 Payment of Purchase Price. The Agency shall deposit the Purchase Price, less the amount of the Earnest Money Deposit and any interest earned thereon deposited into Escrow pursuant to 2.2.1 below, into Escrow in immediately available funds, at least one (1) day prior to the Escrow Closing Date, if required. 2.2.1 Earnest Money Deposit. Within three (3) days following the Effective Date, Agency shall deliver the Earnest Money Deposit to the Escrow Agent. Such Earnest Money Deposit shall be applicable to the Purchase Price but refundable to Agency anytime prior to the expiration of the Due Diligence Period. The Earnest Money Deposit shall be deposited into an FDIC insured interest bearing account for the Agency's Benefit. . 2.2.2 Total Compensation. Seller hereby agrees and acknowledges that the Purchase Price is inclusive of any and all relocation benefits, good will or other compensation that Seller may otherwise be entitled to under the law or through negotiation. 2.3 No Negotiation with Others For Purchasing or Leasing. Following the Effective Date, Sellers shall not negotiate with any other Person regarding the sale or lease of all or any portion of the Property. The term "negotiate," as used in this Agreement,means engaging in any discussions with a Person or such Person's agent, other than the Agency, regardless of how initiated, with respect to that Person's purchase or lease of all or any portion the Property. 2.4 Title Approval. 2.4.1 Title Notice. Within ten (10) days after the Escrow Opening Date, Sellers shall obtain the Preliminary Report from LandAmerica Southland Title Company, and deliver a copy of the Preliminary Report to the Agency. Within ten (10) days following the Agency's receipt of the Preliminary Report, the Agency shall deliver the Title Notice to both Sellers and the Escrow Agent. 2.4.2 Failure to Deliver Title Notice. If the Agency fails to deliver the Title Notice to Sellers and the Escrow Agent, within thirty (30) days following the Agency's receipt of the Preliminary Report, the Agency will be deemed to disapprove the status of title to the Property and refuse to accept conveyance of the Property and both the Agency and Sellers shall have the right to cancel the Escrow and terminate this Agreement, in their respective sole and absolute discretion, until such time (if ever) as the Agency sends the Title Notice. 2.4.3 Title Notice Response.. Within thirty (30) days following the earlier of: (i) Sellers' receipt of the Title Notice or (ii) expiration of the time period provided in this ORANGEIQTANGW3425.2 10 Section 2.4 for delivery of the Title Notice, Sellers shall deliver the Title Notice Response to both the Agency and the Escrow Agent. if the Title Notice does not disapprove or conditionally approve any matter in the Preliminary Report or the Agency fails to deliver the Title Notice, Sellers shall not be required to deliver the Title Notice Response. If Sellers does not deliver the Title Notice Response, if necessary, within thirty (30) days following its receipt of the Title Notice, Sellers shall be deemed to elect not to take any action in reference to the Title Notice. If Sellers elects in the Title Notice Response to take any action in reference to the Title Notice, Sellers shall complete such action, prior to the Escrow Closing Date or as otherwise specified in the Title Notice Response. 2.4.4 Title Notice Waiver. If Sellers elects or is deemed to have elected not to address one or more matters set forth in the Title Notice to the Agency's reasonable satisfaction, then within ten (10) days after the Agency's receipt of the Sellers' Title Notice response or the last date for the Sellers to deliver its Title Notice Response, the Agency shall either: (i) refuse to accept the title to and conveyance of the Property, or (ii) waive its disapproval or conditional approval of all such matters set forth in the Title Notice by delivering the Title Notice Waiver to both Sellers and the Escrow Agent. Failure by the Agency to timely deliver the Title Notice Waiver, where the Title Notice Response or Sellers' failure to deliver the Title Notice Response result in Sellers' election not to address one or more matters set forth in the Title Notice to the Agency's reasonable satisfaction, will be deemed the Agency's continued refusal to accept the title to and conveyance of the Property, in which case both the Agency and Sellers shall have the right to cancel the Escrow and terminate this Agreement, in their respective sole and absolute discretion, until such time (if ever) as the Agency sends the Title Notice Waiver. 2.4.5 Disapproval of Encumbrances Securing Sellers Obligations. Notwithstanding any other provision of this Agreement, the Agency disapproves any and all encumbrances against the Property securing monetary or performance obligations of Sellers. All such encumbrances shall be removed from the Property prior to the Close of Escrow by Sellers, at its sole cost and expense. 2.4.6 No Termination Liability. Any termination of this Agreement and cancellation of the Escrow pursuant to this Section 2.4 shall be without liability to the other Party or any other Person, and shall be accomplished by delivery of a written Notice of termination to both the other Party and the Escrow Agent, in which case the Parties and the Escrow Agent shall proceed pursuant to Section 3.15. 2.5 Due Diligence Investigations. 2.5.1 License to Enter. Sellers licenses the Agency and its contractors to enter the Property for the purpose of undertaking the Due Diligence Investigations as the Agency deems necessary and appropriate. The Agency may sub-license any appropriate consultants to enter the Property for the purpose of conducting Due Diligence Investigations under the license given in this Section 2.5.1, subject to all of the provisions of this Section 2.5.1 applicable to the Agency. The license given in this Section 2.5.1 shall only be effective until the earlier of: (i) the end of the Due Diligence Period or (ii) the date of the Agency's delivery of its Due Diligence Completion Notice. The Agency shall conduct all Due Diligence Investigations during the Due ORANGEIQTANGW3425.2 ] ] Diligence Period and at its sole cost and expense. The Agency shall provide notice to Sellers prior to entering the Property to conduct Due Diligence Investigations and shall abide by any reasonable condition(s) of entry onto the Property required by Sellers, whether or not set forth in this Agreement. Any Due Diligence Investigations by the Agency shall not unreasonably disrupt any then existing use or occupancy of the Property. 2.5.2 Limitations. The Agency shall not conduct any intrusive or destructive testing of any portion of the Property, other than low volume soil samples, without Sellers' prior written consent. Following the conduct of any Due Diligence Investigations on the Property, the Agency shall restore the Property to substantially its condition prior to the conduct of such Due Diligence Investigations. 2.5.3 Indemnity. The activities of the Agency directly or indirectly related to the Due Diligence Investigations shall be subject to the Agency's indemnity, obligations under Section 4.5 of this Agreement. 2.5.4 Due Diligence Completion Notice. The Agency shall deliver a Due Diligence Completion Notice to both Sellers and the Escrow Agent, prior to the end of the Due Diligence Period. If the Agency does not accept the condition of the Property by delivery of its Due Diligence Completion Notice stating such acceptance, prior to the end of the Due Diligence Period, the Agency shall be deemed to have rejected the condition of the Property and refused to accept conveyance of the Property. If the condition of the Property is rejected or deemed rejected by the Agency, then either the Agency or Sellers shall have the right to cancel the Escrow and terminate this Agreement, in their respective sole and absolute discretion, until such time (if ever) as the Agency delivers the Due Diligence Completion Notice stating the Agency's acceptance of the condition of the Property. Any termination of this Agreement and cancellation of the Escrow, pursuant to this Section 2.4, shall be without liability to the other Party or any other Person, and shall be accomplished by delivery of a written Notice of termination to the other Party and the Escrow Agent, in which case the Parties and the Escrow Agent shall proceed pursuant to Section 3.15. Notwithstanding any other provision of this Agreement, the Agency may reject the condition of the Property at any time during the Due Diligence Period for any reason or no reason, in the Agency's sole and absolute discretion. 2.6 Eminent Domain. If any portion of the Property or any interest in any portion of the Property, becomes the subject of any eminent domain proceeding prior to Close of Escrow other than such a proceeding by the Agency, including, without limitation, the filing of any notice of intended condemnation or proceedings in the nature of eminent domain, commenced by- any governmental authority, other than the Agency, Sellers shall immediately give the Agency Notice of such occurrence, and the Agency shall have the option, exercisable within ten (10) business days after receipt of such Notice from Sellers, to. either: (i) cancel the Escrow and terminate this Agreement or (ii) continue with this Agreement in accordance with its terms, in which event Sellers shall assign to the Agency any right of Sellers to receive any condemnation award attributable to the Property. ORANGF\QTANG\43425.2 12 2.7 Sellers Covenants Regarding Maintenance of the Property. 2.7.1 Covenants. Sellers covenants and agrees with the Agency that between the Effective Date and the Escrow Closing Date: (a) No Changes to Agreements. Sellers shall not modify or amend any lease or any service contract respecting the Property, or enter into any new lease or contract respecting the Property, without the Agency's prior written approval; (b) Normal Maintenance. Sellers shall maintain the Property in accordance with the same standards Sellers has customarily observed in its ownership and management of the Property; (c) Maintenance of Insurance. Sellers shall maintain in force all insurance policies currently maintained by Sellers with respect to the Property; (d) No Title Exceptions. Sellers shall not cause, permit, allow or suffer any additional exception to the title to the Property; 2.7.2 No Merger. Sellers's covenants in this Section 2.7 shall not be merged with the Grant Deed, shall survive the Close of Escrow for the full statutory period, and shall automatically be deemed made for the benefit of, and enforceable by the Agency and its successors and assigns. 2.8 Sellers Waiver of Relocation Benefits and Owner Participation Rights. 2.8.1 Representations and Warranties• Waivers and Releases. (a) Sellers acknowledges that, pursuant to applicable provisions of State law, Sellers may be entitled to relocation assistance, the payment of certain relocation expenses, payments for loss of goodwill,just compensation, inverse compensation, unlawful pre- condemnation conduct and other benefits and reimbursements relating to the Agency's acquisition of the Properly (collectively, the `Benefits") that are not expressly or independently set forth in this Agreement. Sellers, on behalf of itself, its administrators, successors and assigns, acknowledges and agrees that the Agency's performance under this Agreement and payment of the Purchase Price constitutes full and complete satisfaction of the Agency's obligations, if any, to provide the Benefits to Sellers. (b) Sellers represents and warrants to the Agency that no portion of the Property has been used or occupied by any Person other than Sellers for more than one hundred eighty (180) days prior to the Effective Date. Sellers hereby waives, to the maximum extent permitted by Law, any right or entitlement to relocation assistance or benefits from the Agency as a result of the transactions contemplated by this Agreement. With respect to relocation assistance or benefits, Sellers acknowledges that it may have sustained damage, loss, costs or expenses that are presently unknown and unsuspected, and such damage, loss, costs or expenses that may have been sustained, may give rise to additional damage, loss, costs or expenses in the future. Nevertheless, Sellers hereby acknowledges and agrees that this Agreement has been negotiated and agreed upon in reliance on the waivers and releases ORANGBQTANGk43425.2 13 contained in this Section 2.8, including the Purchase Price and all other terms and conditions. Sellers acknowledges that the waivers given in this Section 2.8 are made after being fully informed of its rights by legal counsel of its own selection and are made knowingly and intentionally. With reference to the representations and warranties made and the waivers given in this Section 2.8, Sellers, to the maximum extent permitted by Law, hereby waives the application of and any rights it might have under California Civil Code Section 1542 or under any statute or common law or equitable principal or similar effect. California Civil Code Section 1542 reads as follows: A general release does not extend to claims which the creditor does not know or suspect to exist in his or her favor at the time of executing the release, which if known by him or her must have materially affected his or her settlement with the debtor. 2.8.2 Indemnification. Sellers agrees to Indemnify the Agency against any claims for any Benefits relating to the transactions contemplated in this Agreement. 2.8.3 Owner Participation Rights Sellers acknowledge that the Property is located within the Redevelopment Agency's Central Business Project Area Plan area. Sellers also acknowledge that pursuant to CRL Sections 33339, 33345 and 33380, each redevelopment plan must provide for the opporhurity for participation of owners in the redevelopment of the property if the owners agree to participate in conformity with the terms of the redevelopment plan. The Redevelopment Plan contains Rules Governing Participation and Reentry Preferences for Property Owners, Operators of Businesses, and Business Tenants for the Central Business Project Area ("Owner Participation Rights"). Sellers hereby waive any Owner Participation Rights pursuant to the Redevelopment Plan and CRL to participate in the redevelopment of the Property. In lieu of exercising said Owner Participation Rights and participating in the redevelopment of the Property, Sellers desires to sell to Agency the Property pursuant to the terms and conditions of this Agreement. 2.8.4 Initials. The representations, warranties, acknowledgments, waivers and releases contained in this Section 2.8 shall survive the Close of Escrow. ln1thTs of Authorized Sellers Representative(s) 2.9 Sellers Representations and Warranties. 2.9.1 Litigation. There is no pending or threatened private or governmental litigation by any governmental authority or person against Sellers relating to the Property that might, if it and all other pending and threatened litigation were adversely determined, result in a material adverse change in the Property or its operation or that challenges the validity of or otherwise materially adversely affects the transactions contemplated by this Agreement. 2.9.2 Other Proceedin �. No attachments, execution proceedings, assignments for the benefit of creditors, insolvency, bankruptcy, reorganization, or other ORANGEPQTANG�434252 14 proceedings are pending or threatened against Sellers or Sellers's interest in the Property, nor are any such proceedings contemplated by Sellers. 2.9.3 Governmental Action. Sellers has no knowledge of, nor has Sellers received written notice of, any plan, study, or effort by any Person that in any way would materially affect the use of the Property or any portion of it for its current use or of any intended public improvements that would result in any charge being levied against, or any lien assessed on, the Property. 2.9.4 Condemnation. Sellers has received no notice of any presently pending or contemplated special assessments or proceedings to condemn or demolish the Property or any part of it or any proceedings to declare the Property or any part of it a nuisance. 2.9.5 Development Rights. Neither Sellers nor any previous owner of the Property has, except by operation of law, sold, transferred, conveyed, or entered into any agreement regarding "air rights," "excess floor area ratio," or other development rights or restrictions relating to the Property, except as otherwise expressly set forth in the Preliminary Report. 2.9.6 Title to the Pmpe_yrt . Sellers has good and marketable title to the Property. Sellers has no actual knowledge of any unrecorded or undisclosed legal or equitable interest in the Property owned or claimed by anyone other than Sellers. Sellers has no knowledge that anyone will, at the Close of Escrow, have any right to possession of the Property, except as disclosed by this Agreement or otherwise in writing to the Agency. There are no unsatisfied mechanics' or materialmen's lien rights on the Property. No assessment lien or bond encumbers the Property, and no governmental authority has undertaken any action that could give rise to an assessment lien affecting the Property. 2.9.7 No Hazardous Substances. There are no environmental, health or safety hazards on, under, or about (including any area surrounding the Property) the Property, including but not limited to soil and groundwater conditions. Neither Sellers nor any third-Person (including but not limited to Sellers' predecessors in title to the Property) has used or installed any underground tank, or used, generated, manufactured, treated, stored, placed, deposited, or disposed of on, under, or about the Property or transported to or from the Property any Hazardous Substance. 2.9.8 No Notice of Violation of Environmental Laws. The Property is not in violation of any Environmental Law and Sellers has not received any Notice from any Government that the Property or any adjoining property contains or may contain any Hazardous Substance in violation of any Environmental Law or that Sellers has stored, used or maintained any Hazardous Substance or suffered, permitted, allowed or acquiesced in any storage, use or maintenance of any Hazardous Substance on, in or under the Prope Environmental Law. rty in violation of any 2.9.9 No Other Representations or Warranties. Other than the express representations and warranties contained in this Agreement, Sellers makes no warranty or representation, express or implied to the Agency regarding the Property. ORANGE\QTANG\43425.2 15 ARTICLE 3 JOINT ESCROW INSTRUCTIONS 3.1 Opening of Escrow. The Agency and Sellers shall cause the Escrow to be opened within seven (7) days following the Effective Date. The Escrow Agent shall promptly confirm the Escrow Opening Date in writing to each of the Parties, with a copy of the Escrow Agent Consent executed by the authorized representative(s) of the Escrow Agent. The Provisions of this ARTICLE 3 are the joint escrow instructions of the Agency and Sellers to the Escrow Agent for conducting the Escrow. to: 3.2 Escrow Agent Authority. The Agency and Sellers authorize the Escrow Agent 3.2.1 Charges. Pay and charge the Agency and Sellers for their respective shares of the applicable fees, taxes, charges and costs payable by either the Agency or Sellers regarding the Escrow; 3.2.2 Settlement/Closing Statements. Release each Party's Escrow settlement/closing statement to the other Party; and 3.2.3 Document Recordin . File any documents delivered for recording records of the County,pursuant to the joint instructions of the Parties.through the Escrow with the office of the Recorder of the County for recordation in the officia] 3.2.4 Countemart Documents. Utilize documents that have been signed by the Agency and Sellers in counterparts. 3.3 Agency's Conditions to Close of Escrow. Provided that the failure of any such condition to be satisfied is not due to a Default under this Agreement by the Agency; the Agency's obligation to purchase and acquire fee title to the Property from Sellers pursuant to this Agreement on the Escrow Closing Date shall be subject to the satisfaction or waiver of each of the following conditions precedent, each of which can only be waived in writing by the Agency: 3.3.1 Title. The Agency agrees to accept conveyance of the Property, pursuant to Section 2.3; 3.3.2 Due Diligence. The Agency delivers its Due Diligence Completion Notice to both Sellers and the Escrow Agent stating the Agency's acceptance of the condition of the Property; 3.3.3 Title Policy. The Title Company is, upon payment of the Title Company's standard premium for an insurance policy such as the Title Policy, irrevocably and unconditionally committed to issue the Title Policy to the Agency, at the Close of Escrow; 3.3.4 CEQA Documents. Final adoption, approval or certification of the CEQA Documents; ORANGEQTANG\43425.2 16 3.3.5 Consistency acquisitionFinding- determined that the acquisition of fee title to the Property by the Agency pursuant to this Agreement is the with the City's General Plan, in accordance with Section 65402; Government Code 3.3.6 Real Estate Taxes All Real Estate Taxes are paid current by Sellers; 3.3.7 Sellers Escrow Deposit . Sellers deposits all of the items into the Escrow required by Section 3.7; 3.3.8 Settlement/Closing Statement. The Agency' approves the Escrow Agent's estimated Escrow closing/settlement statement; and 3.3.9 Sellers Pre-Closing Obligations. Sellers performs all of its material obligations required to be performed by Sellers under this Agreement prior to the Close of Escrow. 3.4 Sellers' Conditions to Close of Escrow. Provided that the failure of any such condition to be satisfied is not due to a Default under this Agreement by Sellers, Sellers' obligation to sell and convey fee title to the Property to the Agency pursuant to this Agreement on or before the Escrow Closing Date shall be subject to the satisfaction or waiver of each of the following conditions precedent, each of which can only be waived in writing by Sellers: 3.4.1 Title. The Agency agrees to accept the conveyance of the Property, pursuant to Section 2.4; 3.4.2 Due DiligeDc . ts Due Diligence Comeon Notice to both Sellers and the Escrow Agent stab Agency r the Agencyy,sacceptance of the ondition of the Property; 3.4.3 Title Policv. The Title Company is, upon payment of the Title Company's standard premium for an insurance policy such as the Title Policy, irrevocably and unconditionally committed to issue the Title Policy to the Agency, at the Close of Escrow; 3.4.4 CEOA` Documents. Final adoption, approval or certification of the CEQA Documents; 3.4.5 Agency Escrow Deposits. The Agency deposits all of the items into the Escrow required by Section 3.6; 3.4.6 Settlement/Closing Statement. Sellers approves the Escrow Agent's estimated Escrow closing/settlement statement; and 3.4.7 Agency Pre-Closing Obligations. The Agency performs all of its material obligations required to be performed by the Agency under this Agreement prior to the Close of Escrow. ORANGEIQTANGA3425.2 17 3.5 Seller Leaseback. On or prior to Close of Escrow, Agency and Buyer shall execute a lease agreement ("Lease") in substantial the form attached hereto as Exhibit "D". The Lease shall be for a tern for up to twelve (12) months following Close of Escrow. The Lease shall be at a rental rate of One Dollar ($1.00)per month. The Seller shall be wholly responsible for the payment of janitorial expenses and utilities during the term of the Lease. Without limiting the generality of the foregoing, Seller acknowledges that the Lease will be subject to the payment of possessory interest taxes and that Seller shall be solely responsible for the payment thereof. 3.6 Agency's Escrow Deposits. At least one (1) business day prior to the Escrow Closing Date scheduled by the Escrow Agent in a writing delivered to both of the Parties, the Agency shall deposit the following described funds and documents into the Escrow and, concurrently, provide a copy of each such document to Sellers: 3.6.1 Purchase Price. The Purchase Price; 3.6.2 Certificate of Acceptance. A certificate of acceptance of the Grant Deed, in substantially the form attached to the Grant Deed, executed by the authorized representative(s) of the Agency in recordable form; 3.6.3 PCO Report. A PCO Report completed and signed by the authorized representative(s) of the Agency; 3.6.4 Other Funds and Documents. Such other funds or documents required from the Agency under the terms of this Agreement to close the Escrow or by the Escrow Agent in the performance of the Escrow Agent's contractual or statutory obligations relating to the Escrow. 3.7 Sellers' Escrow Deposits. At least one (1) business day prior to the Escrow Closing Date scheduled by the Escrow Agent in a writing delivered to both of the Parties, Sellers shall deposit the following described funds and documents into the Escrow and, concurrently, provide a copy of each such document to the Agency: 3.7.1 Grant Deed. The Grant Deed executed by the authorized representative(s) of Sellers, in recordable form; 3.7.2 FIRPTA Certificate. The FIRPTA Certificate completed and signed by the authorized representative(s) of Sellers; 3.7.3 Form 593. A Form 593 completed and signed by the authorized representative(s) of Sellers; 3.7.4 Other Funds and Documents. Such other funds or documents required from Sellers under the terms of this Agreement to close the Escrow or by the Escrow Agent in the performance of the Escrow Agent's contractual or statutory obligations regarding the Escrow. 3.8 Closing Procedure. When each of the Agency's Escrow deposits, as set forth in Section 3.6, and each of Sellers' Escrow deposits, as set forth in Section 3.7, are deposited into ORANGEIQTANG\43425.2 18 the Escrow, the Escrow Agent shall request confirmation in writing from both the Agency and Sellers that each of their respective conditions to the Close of Escrow, as set forth in Sections 3.3 and 3.4, respectively, are satisfied or waived. Upon the Escrow Agent's receipt of written confirmation from both the Agency and Sellers that each of their respective conditions to the Close of Escrow are either satisfied or waived, the Escrow Agent shall schedule the Escrow Closing Date by written Notice to both Parties and, thereafter, shall close the Escrow on or before the Escrow Closing Date by doing all of the following: 3.8.1 Recordation and Distribution of Recorded Documents. The Escrow Agent shall file the following documents with the office of the Recorder of the County for recording in the official records of the County, in the following order, at the Close of Escrow: (i) the Grant Deed, with the Agency's original certificate of acceptance attached, and (ii) any other documents to be recorded through the Escrow upon the joint instructions of the Parties. The Escrow Agent shall deliver conformed copies of all documents filed for recording in the official records of the County through the Escrow to the Agency, Sellers and any other Person designated in the written joint escrow instructions of the Parties to receive an original or conformed copy of each such document. Each copy of a document filed for recording shall show all recording information. The Parties intend and agree that this Section 3.8.1 shall establish the relative priorities of the documents to be recorded in the official records of the County through the Escrow, by providing for recordation of senior interests prior in time to junior interests, as provided in this Section 3.8.1; 3.8.2 Distribution of Other Documents. The Escrow Agent shall deliver copies of all documents delivered through the Escrow to the Agency, Sellers and any other Person designated in the written joint escrow instructions of the Parties to receive an original or copy of each such document; 3.8.3 Title Policy. Obtain and deliver the Title Policy to the Agency; 3.8.4 Funds. Deliver the Purchase Price to Sellers, less any amount required to be withheld and paid to the State Franchise Tax Board pursuant to Revenue and Taxation Code Section 18662 (see Section 3.10), any amount required to be paid to satisfy any encumbrances against the Property securing monetary obligations of Sellers and any other charges to the account of Sellers pursuant to the terms of this Agreement, and return all remaining funds held by the Escrow Agent for the account of the Agency to the Agency, less the Agency's share of the Escrow closing costs, and less any other charges to the account of the Agency pursuant to the terms of this Agreement; 3.8.5 FIRPTA Certificate. File the FIRPTA Certificate with the United States Internal Revenue Service; 3.8.6 Form 593. File the Form 593 with the State of California Franchise Tax Board; and 3.8.7 PCO Report. File the PCO Report with the County Assessor. 3.8.8 Report to IRS. Following the Close of Escrow and prior to the last date on which such report is required to be filed with the United States Internal Revenue Service, ORANGEIQTANG143425.2 19 if such report is required pursuant to Section 6045(e) of the United States Internal Revenue Code, the Escrow Agent shall report the gross proceeds of the sale of the Property pursuant to this Agreement to the United States Internal Revenue Service on Form 1099-B, Form W-9 or such other form(s) as may be specified by the United States Internal Revenue Service pursuant to Section 6045(e) or its associated Federal regulations. Uponthe filing of such reporting form with the United States Internal Revenue Service, the Escrow Agent shall deliver a copy of the filed form to both the Agency and Sellers. 3.9 Close of Escrow. The Close of Escrow shall occur on or before the Escrow Closing Date. The Parties may mutually agree to change the Escrow Closing Date by joint written instruction to the Escrow Agent. If for any reason the Close of Escrow has not occurred on or before the Escrow Closing Date, then any Party not then in Default under this Agreement may cancel the Escrow and terminate this Agreement, without liability to the other Party or any other Person for such cancellation and termination, by delivering written Notice of termination to both the other Party and the Escrow Agent. Following any such Notice of termination of this Agreement and cancellation of the Escrow, the Parties and the Escrow Agent shall proceed pursuant to Section 3.15. Without limiting the right of either Party to cancel the Escrow and terminate this Agreement, pursuant to the first sentence of this Section 3.9, if the Escrow does not close on or before the Escrow Closing Date and neither Party has exercised its contractual right to cancel the Escrow and terminate this Agreement under this Section 3.9 before the first date on which the Escrow Agent Notifies both Parties that the Escrow is in a position to close, then the Escrow shall close as soon as reasonably possible following the first date on which the Escrow Agent Notifies both Parties that the Escrow is in a position to close,pursuant to the terms and conditions of this Agreement. 3.10 Withholding Requirements. The Parties acknowledge that California Revenue and Taxation Code Section 18662 requires the Agency to withhold from funds otherwise payable to Sellers at the Close of Escrow an amount equal to three and one-third percent (3 1/3%) of the total Purchase Price for the Property and submit such amount to the California Franchise Tax Board, unless the Agency is relieved of such withholding requirements in accordance with the provisions of California Revenue and Taxation Code Section 18662. 3.11 Taxes and Prorations. All Real Estate Taxes shall have been paid by Sellers and be current as of the Close of Escrow. There shall be no pro-ration of Real Estate Taxes. To the extent that Sellers has prepaid any Real Estate Taxes, Sellers shall be solely responsible for obtaining any refund of Real Estate Taxes to which Sellers may be entitled from the taxing authority. Sellers shall also be responsible for any supplemental Real Estate Taxes assessed pursuant to California Revenue and Taxation Code Section 75, et seg., applicable to any period prior to the Close of Escrow. 3.12 Possession; Risk of Loss. The Agency shall be entitled to sole possession of the Property immediately upon Close of Escrow. All risk of loss or damage to the Property will pass from Sellers to the Agency at the Close of Escrow. In the event that material loss or damage occurs to the Property prior to the Close of Escrow, the Agency may terminate this Agreement and cancel the Escrow by written Notice of Termination. ORANGEIQTAW43425.2 20 3.13 Escrow Closing Costs, Taxes and Title Policy Premium. The Agency and Sellers shall each pay One-half(1/2) of the Escrow fees and such other costs as the Escrow Agent may charge for conducting the Escrow. Sellers shall pay the premium charged by the Titements or other supplements to the Company for the Title Policy, exclusive of any endors coverage of the Title Policy that may be requested by the Agency. The Agency shall pay any and all recording fees, any documentary transfer tax, taxes levied by any Government arising from or relating to the sale of the Property pursuant to this Agreement and through the Escrow (exclusive of any income taxes and any property taxes to be paid by Sellers pursuant to Section 3.9) the cost of any endorsements or supplements to the coverage of the Title Policy requested by the Agency. The Escrow Agent shall notify the Agency and Sellers of the costs to be bome by each of them at the Close of Escrow by delivering the Escrow Agent's estimated Escrow closing/settlement statement to both the Agency and Sellers, at least two (2) business days prior to the Escrow Closing Date. 3.14 Escrow Cancellation Charges. If the Escrow fails to close due to an Event of Default attributable to the Agency, the Agency shall pay all customary and reasonable cancellation charges regarding cancellation of the Escrow and the Title Policy order, if any. If the Escrow fails to close due to an Event of Default attributable to Sellers, Sellers shall pay all customary and reasonable cancellation charges regarding cancellation of the Escrow and the Title Policy order, if any. If the Escrow fails to close for any reason other than an Event of Default attributable to either the Agency or Sellers, the Agency and Sellers shall each pay one- half (1/2) of all customary and reasonable cancellation charges regarding cancellation of the Escrow and the Title Policy order, if any. 3.15 Escrow Cancellation. If the Escrow is cancelled and this Agreement is terminated pursuant to a contractual right granted to a Party in this Agreement to cancel the Escrow and terminate this Agreement, the Parties shall pay any associated cancellation charges in accordance with Section 3.14 and do each of the following: 3.15.1 Cancellation Instructions. The Parties shall, withi days following receipt of the En three (3) business scrow Agent's written request, execute any reasonable Escrow cancellation instructions requested by the Escrow Agent; and 3.15.2 Return of Funds and Documents settlement . Within seven (7) days following receipt by the Parties of a statement from the Escrow Agent of cancellation charges regarding cancellation of the Escrow and the Title Policy order, if any: (i) Sellers or the Escrow Agent, respectively, shall return to the Agency any documents previously delivered by the Agency to Sellers or the Escrow Agent regarding this Agreement, the Property or the Escrow, n the Agency or the Escrow Agent, respectively, shall return to Sellers all documents previously delivered by Sellers to the Agency or the Escrow Agent regarding this Agreement, the Property or the Escrow; (iii) the Escrow Agent shall return to the Agency any funds deposited into the Escrow by the Agency, including the Earnest Money Deposit, less the Agency's share of any customary and reasonable cancellation charges regarding cancellation of the Escrow and the Title Policy order, if any, in accordance with Section 3.14 and (iv) the Escrow Agent shall return to Sellers any funds deposited into the Escrow by Sellers, less Sellers' share of any customary and reasonable cancellation charges regarding cancellation of the Escrow and the Title Policy order, if any, in accordance with Section 3.14. ORANGE\QTANGW3425.2 21 3.16 Escrow Notices. All Notices from the Escrow Agent to the Parties shall be given in the manner provided in Section 5.3 of this Agreement. ARTICLE 4 REMEDIES AND INDEMNITY 4.1 PRE-CLOSING LIQUIDATED DAMAGES TO SELLERS. DURING THE CONTINUANCE OF AN EVENT OF DEFAULT BY THE AGENCY UNDER THIS AGREEMENT, PRIOR TO THE CLOSE OF ESCROW, SELLERS MAY CANCEL THE ESCROW AND TERMINATE THIS AGREEMENT. UPON CANCELLATION OF THE ESCROW AND TERMINATION OF THIS AGREEMENT, SELLERS SHALL BE RELIEVED OF ANY OBLIGATION UNDER THIS AGREEMENT TO SELL AND CONVEY THE PROPERTY TO THE AGENCY. ANY SUCH ESCROW CANCELLATION AND TERMINATION OF THIS AGREEMENT SHALL BE WITHOUT ANY LIABILITY OF SELLERS TO THE AGENCY OR ANY OTHER PERSON. SELLERS AND THE AGENCY ACKNOWLEDGE THAT IT IS EXTREMELY DIFFICULT AND IMPRACTICAL TO ASCERTAIN THE AMOUNT OF DAMAGES THAT WOULD BE SUFFERED BY SELLERS, IN THE EVENT OF A CANCELLATION OF THE ESCROW AND TERMINATION OF THIS AGREEMENT DUE TO THE OCCURRENCE OF AN EVENT OF DEFAULT BY THE AGENCY UNDER THIS AGREEMENT,. PRIOR TO THE CLOSE OF ESCROW. HAVING MADE DILIGENT BUT UNSUCCESSFUL ATTEMPTS TO ASCERTAIN THE ACTUAL, DAMAGES THAT SELLERS WOULD SUFFER, IN THE EVENT OF A CANCELLATION OF THE ESCROW AND TERMINATION OF THIS AGREEMENT DUE TO THE OCCURRENCE OF AN EVENT OF DEFAULT BY THE AGENCY UNDER THIS AGREEMENT PRIOR TO THE CLOSE OF ESCROW, SELLERS AND THE AGENCY AGREE THAT A REASONABLE ESTIMATE OF SELLERS' DAMAGES IN SUCH EVENT IS THE PRE-CLOSING LIQUIDATED DAMAGES AMOUNT. THEREFORE, UPON THE CANCELLATION OF THE ESCROW AND TERMINATION OF THIS AGREEMENT BY SELLERS DUE TO THE OCCURRENCE OF AN EVENT OF DEFAULT BY THE AGENCY UNDER THIS AGREEMENT, PRIOR TO THE CLOSE OF ESCROW, THE PARTIES AND THE ESCROW AGENT SHALL PROCEED PURSUANT TO SECTION 3.15 TO CANCEL THE ESCROW. THE ESCROW HOLDER SHALL IMMEDIATELY CANCEL THE ESCROW. THE AGENCY SHALL PAY THE PRE- CLOSING LIQUIDATED DAMAGES AMOUNT TO SELLERS, UPON ESCROW CANCELLATION. RECEIPT OF THE PRE-CLOSING LIQUIDATED DAMAGES AMOUNT SHALL BE SELLERS' SOLE AND EXCLUSIVE REMEDY ARISING FROM THE CANCELLATION OF THE ESCROW AND TERMINATION OF THIS AGREEMENT DUE TO THE OCCURRENCE OF AN EVENT OF DEFAULT BY THE AGENCY UNDER THIS AGREEMENT, PRIOR TO THE CLOSE OF ESCROW. Initials of Authorized Initials of Authorized Agency Representative Sellers Representative 0RANGEQTANGA3425.2 22 4-2 Sellers Event of Default Remedies of Agency. The Agency shall have all remedies available to the Agency at law or in equity under the laws of the State for any Event of Default by Sellers under this Agreement. 4.3 Legal Actions. Either Party may institute legal action, at law or in equity, to enforce or interpret the rights and obligations of the Parties under this Agreement, subject to the Provisions of Section 4.1. 4.4 Rights and Remedies are Cumulative. Except as otherwise expressly stated in this Agreement, the rights and remedies of the Parties set forth in this Agreement are cumulative and the exercise by either Party of one or more of such rights or remedies shall not preclude the exercise by it, at the same or different times, of any other rights or remedies for the same Default or the same rights or remedies for any other Default. 4.5 Indemnification. 4.5.1 Obligations. The Agency shall Indemnify the Sellers Parties against any wrongful intentional act or negligence of the Agency Parties and for any other matter for which the Agency is specifically obligated to indemnify Sellers pursuant to this Agreement. Sellers shall Indemnify the Agency Parties against any wrongful intentional act or negligence of the Sellers Parties and for any other matter for which Sellers is specifically obligated to indemnify the Agency pursuant to this Agreement. Notwithstanding anything to the contrary in this Agreement, no Indemnitor shall be required to Indemnify any Inderrmitee to the extent of the Indemnitee's wrongful intentional acts or negligence. Nothing in this Section 4.5 or any other Provision of this Agreement is intended to modify any claim requirements or limitations periods provided for in the California Government Code Sections 800, et seq. or Sections 900, et seg. 4.5.2 Independent of Insurance Obligations. Each Indemnify any Person under this Agreement is independent of any insurance Party' s by sir h Party, any insurance shall not in any way restrict, limit, or modify a Party's obligation to Indemnify a Person under this Agreement and such indemnity obligation is independent of each Party's other obligations under this Agreement. 4.5.3 Survival of Indemnification and Defense Obli ations. The indemnity and defense obligations of the Parties under this Agreement shall survive the expiration or earlier termination of this Agreement, until all Claims against any of the Indemnitees are fully, finally, absolutely and completely barred by applicable statutes of limitations. 4.5.4 Duty t_ oDefend The duty to defend any Indernnitee applies upon Notice of any Claim, regardless of whether the issues of negligence, liability, fault, default or other obligation on the part of the Indemnitor or the Indernnitee have been determined. The duty to defend any Indemnitee applies immediately, regardless of whether the Indemnitee has paid any amounts or incurred any detriment arising out of or relating (directly or indirectly) to any Claim. It is the express intention of the Parties that an Indemnitee be entitled to obtain summary adjudication or summary judgment regarding an Indemnitor's duty to defend the Indemnitee, at any stage of any Claim within the scope of the Indemnitor's indemnity obligations under this Agreement. ORANGEIQTANG\43425.2 23 4.6 Indemnification Procedures. Wherever this Agreement requires any Indemnitor to Indemnify any Indemnitee: 4.6.1 Prompt Notice. The Indemnitee shall promptly Notify the Indemnitor of any Claim. To the extent, and only to the extent, that the Indemnitee fails to give prompt Notice of a Claim and such failure materially prejudices the Indemnitor in providing indemnity for such Claim, the Indemnitor shall be relieved of its indemnity obligations for such Claim. 4.6.2 Selection of Counsel. The Indemnitor shall select counsel reasonably acceptable to the Indemnitee. Counsel to Indemnitor's insurance carrier that is providing coverage for a Claim shall be deemed reasonably satisfactory. Even though the Indemnitor shall defend the Claim, Indemnitee may, at its option and its own expense, engage separate counsel to advise it regarding the Claim and its defense. The Indemnitee's separate counsel may attend all proceedings and meetings. The Indemnitor's counsel shall actively consult with the Indemnitee's separate counsel. The Indemnitor and its counsel shall, however, fully control the defense, except to the extent that the Indemnitee waives its rights to indemnity and defense for such Claim. 4.6.3 Cooperation. The Indemnitee shall reasonably cooperate with the Indemnitor's defense of the Indemnitee, provided the Indemnitor reimburses the Indemnitee's actual out of pocket expenses (including Legal Costs)of such cooperation. 4.6.4 Settlement. The Indemnitor may, with the Indemnitee's consent, not to be unreasonably withheld, settle a Claim. The Indemnitee's consent shall not be required for any settlement by which all of the following occur: (i) the Indemnitor procures (by payment, settlement, or otherwise) a release of the Indemnitee from the subject Claim(s) by which the Indemnitee need not make any payment to the claimant; (ii) neither the Indemnitee nor the Indemnitor on behalf of the Indemnitee admits liability; (iii) the continued effectiveness of this Agreement is not jeopardized in any way; and (iv) the Indemnitee's interest in this Agreement is not jeopardized in any way. ARTICLE 5 GENERAL PROVISIONS 5.1 City Not a Party. The City is not a Party to this Agreement. 5.2 Executive Director Implementation. The Agency shall implement this Agreement through its Executive Director. The Executive Director is hereby authorized by the Agency to issue approvals, interpretations, waivers and enter into certain amendments to this Agreement on-behalf of the Agency, to the extent that any such action(s) does/do not cause the Agency to incur, in the aggregate, additional obligations exceeding Twenty-Five Thousand Dollars ($25,000). All other actions shall require the consideration and approval of the Agency governing body, unless expressly provided otherwise by action of the Agency governing body. Nothing in this Section 5.2 shall restrict the submission to the Agency governing body of any matter within the Executive Director's authority under this Section 5.2, in the Executive Director's sole and absolute discretion, to obtain the Agency governing body's express and ORANGBQTANG\43425.2 24 specific authorization on such matter. The specific intent of this Section 5.2 is to authorize certain actions on behalf of the Agency by the Executive Director, but not to require that such actions be taken by the Executive Director, without con body. sideration by the Agency governing 5.3 Notices, Demands and Communications Between the Parties. 5.3.1 Notices. Any and all Notices submitted by either Party to the other Party or to the Escrow Agent pursuant to or as required by this Agreement shall be proper, if in writing and transmitted to the address of the Agency, or Sellers, as applicable, set forth in Section of t or to the Escrow Agent's address set forth in the Escrow Agent's Consent, by one Or more of the following methods: (i) messenger for immediate personal delivery, ii nationally recognized overnight (one-night)delivery service (i.e., Federal Express, United Parcel Service, etc.) or (iii) registered or certified United States mail, postage prepaid, re ( ) a requested. Such Notices may be sent in the same manner to such Otheraddressesas either Party may designate, from time to time, by Notice. Any Notice shall be deemed to be received by the addressee, regardless of whether or when any return receipt is received by the sender or the date set forth on such return receipt, on the day that it is delivered by personal delivery, on the date of delivery by a nationally recognized overnight courier service (or when delivery has been attempted twice, p evidenced h the written report of the courier service) or four (4) calendar days after it is deposited with the United States Postal Service for delivery as provided in this Section 5.3. Rejection, other refusal to accept or the inability to deliver a Notice because of.a changed address of which no Notice was given or other action by a P sent, shall be deemed receipt of the Notice. erson to whom Notice is 5.3.2 Addresses. The following arc the authorized addresses for the submission of Notices to the Parties, as of the Effective Date: To Sellers: Arthur B. and Anna M. Ramirez 1027 North Soldano Avenue Azusa, CA 91702 Telephone: ORANGEIQTANG1434251 25 To the Agency: Redevelopment Agency of the City of Azusa Attn: Executive Director 213 East Foothill Boulevard Azusa, CA 91702 Facsimile: (626) 812-5102 Telephone: (626) 812-5200 With Copy to: Best Best & Kreiger, LLP 5 Park Plaza, Suite 1500 Irvine, CA 92614 Telephone: (949)263-2608 Attn: Elizabeth Wagner Hull 5-4 Warranty Against reement. ellers represents and warrants that: (i) Sellers rs has not employed retained yon for gPerson to solicit or secure this Agreement upon an agreement or understanding for a commission, percentage, brokerage, or contingent fee, excepting bona fide employees of Sellers; and (ii) no gratuities, in the form of entertainment, gifts or otherwise have been or will be given by Sellers or any of its agents, employees or representatives to any elected or appointed official or employee of either the City or the Agency in an attempt to secure this Agreement or favorable terms or conditions for this Agreement. Breach of the representations or warranties of this Section 5.4 shall automatically terminate this Agreement, without further Notice to or action by either Party and upon any such termination of this Agreement, Sellers shall immediately refund any payments made to or on behalf of Sellers by the City or the Agency pursuant to this Agreement or otherwise related to the Property, prior to the date of any such termination. 5.5 Relationship of parties. The Parties each intend and agree that the Agency and Sellers are independent contracting entities and do not intend by this Agreement to create any partnership, joint venture, or similar business arrangement relationship or association between them. 5.6 Survival of Agreement. All of the provisions of this Agreement shall be applicable to any dispute between the Parties arising from this Agreement, whether prior to or following expiration or termination of this Agreement, until any such dispute is finally and completely resolved between the Parties, either by written settlement, entry of a non-appealable judgment or expiration of all applicable statutory limitations periods and all terms and conditions of this Agreement relating to dispute resolution and limitations on damages or remedies shall survive any expiration or termination of this Agreement. 5.7 Non-liability of Officials, Employees and Agents. No Agency Party shall be Personally liable to Sellers, or any successor in interest of Sellers, in the event of any Default or breach by the Agency under this Agreement or for any amount that may be or become due to Sellers or any successor in interest of Sellers, on any obligations under the terms or conditions of this Agreement. ORANGEIQTANGW3425.2 26 5.8 Calculation of Time Periods. Unless otherwise specified, all references to time Periods in this Agreement measured in days shall be to consecutive calendar days, all references to time periods in this Agreement measured in months shall be to consecutive calendar months and all references to time periods in this Agreement measured in years shall be to consecutive calendar years. Any reference to business days in this Agreement shall mean consecutive business days of the Agency. 5.9 Principles of Interpretation. No inference in favor of or against any Party shall be drawn from the fact that such Party has drafted any part of this Agreement. The Parties have both participated substantially in the negotiation, drafting, and revision of this Agreement, with advice from legal and other counsel and advisers of their own selection. A word, term or phrase defined in the singular in this Agreement may be used in the plural, and vi accordance with ordinary principles of English grammar, ce versa, all in which shall govern all language in this Agreement. The words "include" and "including" in this Agreement shall be construed to is followed by the words: "without limitation." Each collective noun in this Agreement shall be interpreted as if followed by the words "(or any part of it)," except where the context clearly requires otherwise. Every reference to any document, including this he refers to such document, as modified from time to time (excepting any modification that violates this Agreement), and includes all exhibits, schedules, addenda and riders to such document. The word "or" in this Agreement includes the word "and." Every reference to a law, statute, regulation; order, form or similar governmental requirement refers to each such requirement as amended, modified, renumbered, superseded or succeeded, from time to time. 5.10 Governing Law. The Laws of the State shall govern the interpretation and enforcement of this Agreement, without application of conflicts of laws principles. The Parties acknowledge and agree that this Agreement is entered into, is to be fully performed in and relates to real property located in the City of Azusa, County of Los Angeles, State of California. All legal actions arising from this Agreement shall be led in the Superior Court of the State filed for the County or in the United States District Court with in and jurisdiction in the County. 5.11 Agency Attorney Fees and Costs. For the purposes of this Agreement, all references to Legal Costs in reference to the Agency are intended to include the salaries, benefits and costs of the City Attorney, as Agency General Counsel, and the lawyers employed in the Office of the City Attorney who provide legal services regarding the particular matter, adjusted to or billed at an hourly rate and multiplied by the time spent on such matter rounded to increments of 1/]0u' of an hour, in addition to Legal Costs of outside counsel retained by the Agency for any matter.. 5.12 Unavoidable Delay; Extension of Time of Performance. 5.12.1 Notice. Subject to any specific provisions of this Agreement stating that they are not subject to Unavoidable Delay or otherwise limiting or restricting the effects of an Unavoidable Delay, performance by either Party under this Agreement shall not be deemed, or considered to be in Default, where any such Default is due to the occurrence of an Unavoidable Delay. Any Party claiming an Unavoidable Delay shall Notify the other Party: (i) within ten (10) days after such Party knows of any such Unavoidable Delay; and (ii) within five (5) days after such Unavoidable Delay ceases to exist. To be effective, any Notice of an ORANGE\QTANG\43425.2 27 Unavoidable Delay must describe the Unavoidable Delay in reasonable detail. The extension of time for an Unavoidable Delay shall commence on the date of receipt of written Notice of the occurrence of the Unavoidable Delay by the Party not claiming an extension of time to perform due to such Unavoidable Delay and shall continue until the end of the condition causing the Unavoidable Delay. The Party claiming an extension of time to perform due to an Unavoidable Delay shall exercise its commercially reasonable best efforts to cure the condition causing the Unavoidable Delay, within a reasonable time. 5.122 Assumption of Economic Risks. EACH PARTY EXPRESSLY AGREES THAT ADVERSE CHANGES IN ECONOMIC CONDITIONS, OF EITHER PARTY SPECIFICALLY OR THE ECONOMY GENERALLY, OR CHANGES IN MARKET CONDITIONS OR DEMAND OR CHANGES IN THE ECONOMIC ASSUMPTIONS OF EITHER PARTY THAT MAY HAVE PROVIDED A BASIS FOR ENTERING INTO THIS AGREEMENT SHALL NOT OPERATE TO EXCUSE OR DELAY THE PERFORMANCE OF EACH AND EVERY ONE OF EACH PARTY'S OBLIGATIONS AND COVENANTS ARISING UNDER THIS AGREEMENT. ANYTHING IN THIS AGREEMENT TO THE CONTRARY NOTWITHSTANDING, THE PARTIES EXPRESSLY ASSUME THE RISK OF UNFORESEEABLE CHANGES IN ECONOMIC CIRCUMSTANCES AND/OR MARKET DEMAND/CONDITIONS AND WAIVE, TO THE GREATEST EXTENT ALLOWED BY LAW, ANY DEFENSE, CLAIM, OR CAUSE OF ACTION BASED IN WHOLE OR IN PART ON ECONOMIC NECESSITY, IMPRACTICABILITY, CHANGED ECONOMIC CIRCUMSTANCES, FRUSTRATION OF PURPOSE, OR SIMILAR THEORIES. THE PARTIES AGREE THAT ADVERSE CHANGES IN ECONOMIC CONDITIONS, EITHER OF THE PARTY SPECIFICALLY OR THE ECONOMY GENERALLY, OR CHANGES IN MARKET CONDITIONS OR DEMANDS, SHALL NOT OPERATE TO EXCUSE OR DELAY THE STRICT OBSERVANCE OF EACH AND EVERY ONE OF THE OBLIGATIONS, COVENANTS, CONDITIONS AND REQUIREMENTS OF THIS AGREEMENT. THE PARTIES EXPRESSLY ASSUME THE RISK OF SUCH ADVERSE ECONOMIC OR MARKET CHANGES, WHETHER OR NOT FORESEEABLE AS OF THE EFFECTIVE DATE. Inrtrals ofAuthorized 4tisOfAuth4on��ed Agency Representative(s) Sellers Representative(s) 5.13 Real Estate Commissions. The Agency shall not be responsible for any real estate brokerage or sales commissions, finder fees or similar charges that may arise from or be related to this Agreement or the purchase, sale or conveyance of the Property pursuant to this Agreement. Sellers shall be solely responsible for any real estate brokerage or sales commissions, finder fees or similar charges that may arise from or be related to this Agreement or the purchase, sale or conveyance of the Property pursuant to this Agreement that are claimed by any Person engaged by Sellers relating to the Property, this Agreement, or the purchase, sale or conveyance of the Property pursuant to this Agreement. Further, Sellers shall Indemnify the Agency against any claims for such real estate brokerage or sales commissions, finder fees or similar charges, in accordance with Section 4.5. ORANGE\QTANG\43425.2 28 5.14 Binding on Successors and Assigns. This Agreement shall be binding upon and inure to the benefit of the Parties and their respecti assigns. ve legal representatives, successors and 5.15 No Other Representations or Warranties. Except as expressly set forth in this Agreement, no Party makes any representation or warranty materia] to this Agreement to any other Party. 5.16 Tax Consequences. Sellers acknowledges and agrees that it shall bear any and all responsibility, liability, costs, and expenses connected in any way with any tax consequences experienced by Sellers related to this Agreement or the purchase, sale or conveyance of the Property pursuant to this Agreement. 5.17 No Third-Party Beneficiaries. Nothing in this Agreement, express or implied, is intended to confer any rights or remedies under or by reason of this Agreement on any Person other than the Parties and their respective permitted successors and assigns, nor is anything in this Agreement intended to relieve or discharge any obligation of any third-Person to any Party or give any third-Person any right of subrogation or action over or against any Party. 5.18 Execution in Counterparts. This Agreement may be executed in multiple counterpart originals, each of which shall be deemed to be an original, but all of which together shall constitute one and the same document. 5.19 Entire Agreement. 5.19.1 Integrated Agreement, This Agreement includes thirty-two ages and five (5) exhibits, that constitute the entire understanding and Agreement of the parties regarding the Property and the other subjects addressed in this Agreement. This Agreement integrates all of the terms and conditions mentioned'in this Agreement or incidental to this Agreement, and supersedes all negotiations or previous agreements between the Parties with respect to the Property and the other subjects addressed in this Agreement. 5.19.2 No Merger. None of the terms, covenants, restrictions, agreements or conditions set forth in this Agreement shall be deemed to be merged with any deed conveying title to any portion of the Property, and this Agreement shall continue in full force and effect before and after any such instruments, in accordance with its terms. 5.19.3 Waivers Must be in Writin . All waivers Of the provisions of this Agreement and all amendments to this Agreement must be in writing and signed by the authorized representative(s)of both the Agency and Sellers. 5.20 Exhibits. All of the Exhibits attached to this Agreement are described as follows: 5.20.1 Exhibit "A." Property Legal Description (Exhibit"A"); 5.20.2 Exhibit `B." Form of Escrow Agent Consent (Exhibit "B"); and 5.20.3 Exhibit "C." Form of Grant Deed (Exhibit "C"). ORANGE\QTANGA3425.2 29 5.20.4 Exhibit "D'" Lease Agreement 5.21 Time Declared to be of the Essence. As to the performance of any obligation under this Agreement of which time is a component, the performance of such obligation within the time specified is of the essence. 5.22 No Waiver. Failure to insist on any one occasion upon strict compliance with any term, covenant, condition, restriction or agreement contained in this Agreement shall not be deemed a waiver of such term, covenant, condition, restriction or agreement, nor shall any waiver or relinquishment of any rights or powers under this Agreement, at any one time or more times, be deemed a waiver or relinquishment of such right or power at any other time or times. [Signatures on following page] ORANGEIQTANG\43425.2 30 SIGNATURE PAGE TO 2008 REAL PROPERTY PURCHASE AND SALE AGREEMENT AND JOINT ESCROW INSTRUCTIONS (803 North Dalton Avenue, Azusa, CA) IN WITNESS WHEREOF, the Agency and Sellers have executed this 2008 Real Property Purchase and Sale Agreement and Joint Escrow Instructions (803 North Dalton Avenue, Azusa, CA) by and through the signatures of their authorized representative(s) set forth below: AGENCY: Sellers: Redevelopment Agency of the City of Arthur B. Ramirez and Anna M. Ramirez, as Azusa, a public body, corporate and politic Trustees of the Ramirez Family Trust By: F.M. Detach Executive Director By. J"&4 Date: tu urB. Ramirez— Seller ATTEST: B Anna M. Ramirez—S ller Agency Secretary APPROVED AS TO FORM: Best Best & Krieger LLP By: Agency General Counsel ORANGEIQTANG�43425.2 31 EXHIBIT "A" TO 2008 REAL PROPERTY PURCHASE AND SALE AGREEMENT AND JOINT ESCROW INSTRUCTIONS (803 North Dalton Avenue, Azusa, CA) PROPERTY LEGAL DESCRIPTION A PARCEL OF LAND IN THE CITY OF AZUSA, COUNTY OF LOS ANGELES, STATE OF CALIFORNIA, ADJOINING BLOCK 19 OF AZUSA, AS PER MAP RECORDED IN BOOK 15, PAGE 93 OF MISCELLANEOUS RECORDS IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY DESCRIBED AS FOLLOWS: COMMENCING AT THE INTERSECTION OF THE SOUTH LINE OF SAID BLOCK 19 AND THE WEST LINE OF DALTON AVENUE, 80 FEET WIDE; THENCE SOUTHERLY ALONG SAID WESTERLY LINE TO THE NORTHERLY LINE OF THE RIGHT OF WAY AND DEPOT GROUNDS OF THE SOUTHERN CALIFORNIA RAILWAY CO., (NOW ATCHISON, TOPEKA AND SANTA FE RAILWAY CO., ); THENCE SOUTHWESTERLY ALONG SAID NORTHERLY LINE TO A POINT IN A LINE FORMED BY THE PROLONGATION OF THE EAST BOUNDARY LINE OF LOTS 17, 18, 19, 20, 21 AND 22 IN SAID BLOCK 19; THENCE NORTHERLY ALONG SAID PROLONGATION TO THE SOUTHEASTERLY CORNER OF LOT 22 IN SAID BLOCK 19; THENCE NORTHEASTERLY ALONG THE SOUTHEASTERLY LINE OF SAID BLOCK 19 TO THE POINT OF BEGINNING. Exhibit"A" ORANGEIQTANG43425.2 Property Legal Description EXHIBIT "W1 TO 2008 REAL PROPERTY PURCHASE AND SALE AGREEMENT AND JOINT ESCROW INSTRUCTIONS (803 North Dalton Avenue, Azusa, CA) FORM OF ESCROW AGENT CONSENT ESCROW AGENT CONSENT LAND AMERICAN SOUTHLAND TITLE accepts that certain 2008 Real Property Purchase and Sale Agreement and Joint Escrow Instructions, dated and between the REDEVELOPMENT AGENCY OF THE CITY OF AZUSA, a publico body08, }, corporate and politic, and Arthur B. and Anna M. Ramirez, as joint tenants, agrees to act as "Escrow Agent" pursuant to such agreement and agrees to be bound by all provisions of such agreement applicable to it as the Escrow Agent. ESCROW AGENT: By: Name: Enid Tobias LandAmerica Southland Title Company Its: Dated: Notice Address: 7530 Glenoaks Boulevard Burbank, CA 91504 Attn: Enid Tobias Exhibit`B" ORANG E\QTANG\43425.2 Form Of Escrow Agent Consent EXHIBIT "C" TO 2008 REAL PROPERTY PURCHASE AND SALE AGREEMENT AND JOINT ESCROW INSTRUCTIONS (803 North Dalton Avenue, Azusa, CA) FORM OF GRANT DEED [To be attached following this cover page] ORANGBQTANGk43425-2 _j_ RECORDING REQUESTED BY: [Title Company] [Address] Escrow and Order No. WHEN RECORDED MAIL TO: Redevelopment Agency of the City of Azusa Attn: Executive Director 213 East Foothill Boulevard Azusa, CA 91702 APN 8608-027-008 Exempt from Recording Fees per Govt. Code§27383 Exempt from Documentary Transfer Tax per Calif.Rev.&Tax. Code§. 11922 GRANT DEED FOR VALUABLE CONSIDERATION,receipt of which is hereby acknowledged, ARTHUR B. RAMIREZ AND ANNA M.RAMIREZ, AS TRUSTEES OF THE RAMIREZ FAMILY TRUST, do hereby grant and convey to REDEVELOPMENT AGENCY OF THE CITY OF AZUSA, a public body, corporate and politic all that certain real property situated in the City of Azusa, County of Los Angeles, State of California,more fully described in EXHIBIT A attached hereto and incorporated herein by reference. GRANTORS: Dated: By: Arthur B. Ramirez, Trustee of the Ramirez Family Trust Dated: By: Anna M. Ramirez, Trustee of the Ramirez Family Trust Exhibit"C" Form Of Grant Deed ORANGEIQTANGW3425.2 NOTARY ACKNOWLEDGMENT (California All-Purpose Acknowledgment) STATE OF CALIFORNIA COUNTY OF On 2008 before me, (here insert name and title of the officer), personally appeared ARTHUR B. RAMIREZ, who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify under penalty of perjury under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. Signature of Notary Public (Seal) ATTACHED TO: GRANT DEED [APN 8608-027-008] Exhibit"C" Forth Of Grant Deed ORANGBQTANGb43425.2 NOTARY ACKNOWLEDGMENT (California All-Purpose Acknowledgment) STATE OF CALIFORNIA COUNTY OF On 2008 before me, (here insert name and title of the officer), personally appeared ANNA M. RAMIREZ, who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. I certify under penalty of perjury under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. Signature of Notary Public (Sea]) ATTACHED TO: GRANT DEED [APN 8608-027-0081 Exhibit"C" ORANGPQTANGW34251 Form Of Grant Deed EXHIBIT A TO GRANT DEED Legal Description of Property A PARCEL OF LAND IN THE CITY OF AZUSA, COUNTY OF LOS ANGELES, STATE OF CALIFORNIA, ADJOINING BLOCK 19 OF AZUSA, AS PER MAP RECORDED IN BOOK 15, PAGE 93 OF MISCELLANEOUS RECORDS IN THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY DESCRIBED AS FOLLOWS: COMMENCING AT THE INTERSECTION OF THE SOUTH LINE OF SAID BLOCK 19 AND THE WEST LINE OF DALTON AVENUE, 80 FEET WIDE; THENCE SOUTHERLY ALONG SAID WESTERLY LINE TO THE NORTHERLY LINE OF THE RIGHT OF WAY AND DEPOT GROUNDS OF THE SOUTHERN CALIFORNIA RAILWAY CO., (NOW ATCHISON, TOPEKA AND SANTA FE RAILWAY CO., ); THENCE SOUTHWESTERLY ALONG SAID NORTHERLY LINE TO A POINT IN A LINE FORMED BY THE PROLONGATION OF THE EAST BOUNDARY LINE OF LOTS 17, l8, 19, 20, 21 AND 22 IN SAID BLOCK 19; THENCE NORTHERLY ALONG SAID PROLONGATION TO THE SOUTHEASTERLY CORNER OF LOT 22 IN SAID BLOCK 19; THENCE NORTHEASTERLY ALONG THE SOUTHEASTERLY LINE OF SAID BLOCK 19 TO THE POINT OF BEGINNING. [APN: 8608-027-0081 ORANGEIQTANGW3425.2 REDEVELOPMENT AGENCY OF THE CITY OF AZUSA CERTIFICATE OF ACCEPTANCE OF GRANT DEED [APN 8608-027-008] This Certificate of Acceptance pertains to the interest in certain real property conveyed by the Grant Deed dated to which this Certificate of Acceptance is attached, from: ARTHUR B. RAMIREZ AND ANNA M. RAMIREZ,AS TRUSTEES OF THE RAMIREZ FAMILY TRUST ("Grantors") to: REDEVELOPMENT AGENCY OF THE CITY OF AZUSA, a public body, corporate and politic ("Grantee") Said Grant Deed is hereby accepted by the undersigned officer on behalf of Grantee pursuant to authority conferred by the Grantee's governing board, and Grantee hereby consents to recordation of said Grant Deed. Dated_ REDEVELOPMENT AGENCY OF THE CITY OF AZUSA, a public body, corporate and politic By: Executive Director ATTEST: Agency Secretary Exhibit"C" Form Of Grant Deed ORANGtIQTANGW 3425.2 EXHIBIT "D" TO 2008 REAL PROPERTY PURCHASE AND SALE AGREEMENT AND JOINT ESCROW INSTRUCTIONS (803 North Dalton Avenue, Azusa, CA) LEASE AGREEMENT [To be attached following this cover page] Exhibit"C" ORANGEIQTANGt43425.2 Form Of Grant Deed LEASE AGREEMENT 1. PARTIES AND DATE. This Lease Agreement is entered into as of the day of 2008 by and between the Redevelopment Agency of the City of Azusa, a public body, corporate and politic ("Landlord"), and ARTHUR B. and ANNA M. RAMIREZ, doing business as ("Tenant"). 2. RECITALS. A. Tenant was the owner in fee of certain real property located in the City of Azusa, County of Los Angeles, State of California commonly known as 803 North Dalton Avenue, Azusa, California(Assessor Parcel Number 8608-027-008), more fully described in Exhibit"A" and depicted in Exhibit"A" attached hereto and incorporated herein by reference ("Property"). The term"Property" as used herein shall include all of Sellers' rights, title and interest in and to any and all improvements, fixtures, rights-of-way, utility rights, entitlements, claims or other benefits in any way connected with or appurtenant to the Property. B. Tenant entered into that certain Purchase and Sale Agreement ("Purchase Agreement") to sell and convey the Property to Landlord. B. The Property is located within the Redevelopment Project Area and governed by the Redevelopment Plan for the Project Area ("Redevelopment Plan"). C. Pursuant to the terms of the Purchase Agreement Agency has acquired title to the Property and now desires to lease the Property back to Tenant on the terms and conditions contained herein. D. Tenant understands, acknowledges and agrees that this Lease Agreement is a new post acquisition agreement executed by and between Tenant and Landlord for Tenant's lease of the Property and is not an extension of any prior lease or agreement. As such, this Lease Agreement does not create any new or greater right to relocation benefits for Tenant upon its termination. Instead,both Tenant and Landlord agree that this Lease Agreement has been executed subsequent to Landlord's acquisition of the Property. E. Upon the terms and conditions set forth hereinafter, Landlord desires to lease the Property to Tenant and Tenant desires to lease the Property from Landlord for the purpose of operating the Showcase Theatre. NOW THEREFORE, in consideration of the foregoing Recitals, which are incorporated herein by reference and are a substantive part of this Agreement, and the covenants, warranties, and promises contained herein, the receipt of which is hereby acknowledged, the Parties hereby agree as follows: 0RANGETHULL413650.1 3. TERMS. 1. Term. The term of this Lease Agreement shall commence on the _ day of , 2008 and shall continue until terminated, or on 2009, whichever occurs earlier. . 2. Rent. Tenant shall pay to Landlord, as rent, the sum of One Dollars ($1) per month. The first rental payment shall be due on 2008. Further monthly rental payments shall be due and payable on the first day of each month following the first rental payment. There will be a Late Rent Charge of Dollars ($_.00), for any rental payment received after the first day of the month. There will also be a Returned Check Charge of Dollars ($_.00). 3. Use of Property. Tenant shall: (i) observe and comply with all City, County and State restrictions, laws and ordinances affecting the Property or occupancy thereof, (ii) not commit any waste or suffer any waste to be committed on the Property; and (iii) only use the Property for purposes of operating 4. Covenants of Tenant. The Tenant herein covenants by and for itself, its heirs, executors, administrators, and assigns, and all persons claiming under or through it, and this Lease Agreement is made and accepted upon and subject to the following conditions: 4.1 That there shall be no discrimination against or segregation of any person or group of persons, on account of race, color, creed, religion, sex, marital status, national origin, or ancestry, in the leasing, subleasing, transferring, use, occupancy, tenure, or enjoyment of the premises herein Lease Agreement nor shall the Tenant itself, or any person claiming under or through it, establish or permit any such practice or practices of discrimination or segregation with reference to the selection, location, number, use, or occupancy, of tenants, lessees, sublessees, subtenants, or vendees in the premises herein rented. 4.2 Tenant acknowledges that, pursuant to applicable provisions of State law, Tenant may be entitled to owner participation rights, relocation assistance, the payment of certain relocation expenses, payments for loss of goodwill,just compensation, inverse compensation, unlawful pre-condemnation conduct and other benefits and reimbursements relating to these Lease (collectively,the `Benefits") that are not expressly or independently set forth in this Lease Agreement. Tenant, on behalf of itself, its administrators, successors and assigns, acknowledges and agrees that the Agency's performance under the Purchase Agreement and payment of the Purchase Price constitutes full and complete satisfaction of the Agency's obligations, if any, to provide the Benefits to Tenant. 4.2.1 Initials. The representations,warranties, acknowledgments, waivers and releases contained in this Section 4.2 shall survive the termination of this Lease Agreement. Initials of Authorized 2 ORANGMEHULL413650.1 Tenant Representative(s) 5. Utilities. Tenant shall make all arrangements for and pay for all utilities and services supplied to the Property, including, without limitation, gas, heat, light, power and telephone, and for all connection charges. The Landlord will be responsible to pay for water and trash collection only. 6. Taxes and Assessments. Landlord shall pay and be solely responsible for all property taxes and assessments, licenses, or fees or fines associated with the Landlord's ownership of the Property; provided, however, that Tenant shall be responsible for and shall indemnify Landlord against any costs or expenses which are related to the conduct of Tenant's business upon the Property or which costs or expenses are due, in part or in whole, to Tenant's fault. 7. Repairs and Maintenance. Tenant shall keep the Property in a clean and sanitary manner and shall surrender the same at termination hereof, in as good condition as received, normal wear and tear excepted. Landlord shall be solely responsible for making all major repairs (i.e. water heater replacement, plumbing problems, cosmetic, roofing repairs, etc.) and maintaining the Property during the term of this Lease Agreement. Landlord shall not be required to pay for any tenant required upgrades such as applicable electrical, plumbing or air conditioning units or sign improvements, etc. 8. Condition of Property. Tenant has examined the Property and shall take possession of same, "as is". Tenant acknowledges and agrees that Landlord has made absolutely no representations or warranties regarding the Property, nor has Landlord made representations or warranties regarding whether the Property and improvements thereon comply with applicable covenants and restrictions of record, building codes, ordinances or statutes in effect at the commencement date of this Lease Agreement. 9. Alterations, Additions, and Improvements. Tenant may not make any alterations, improvements or additions in, about or of the Property without Landlord's prior written consent. 9.1 All alterations which become fixtures under California law shall at once become a part of the realty and belong to the Landlord, unless Tenant removes the fixtures prior to the termination of the Lease Agreement and repairs any damage caused by said removal. 9.2 Tenant shall keep the Property free from any liens arising out of any work performed, materials furnished or obligations incurred by the Tenant, and Tenant shall be responsible for the removal of any such liens and all costs to remove same. Failure to remove any such liens within thirty (30) calendar days of written request by Landlord shall constitute a default of this Lease Agreement. 9.3 At its election, but without having any obligation to do so, the Landlord may pay such liens not so removed by the Tenant and the Tenant shall, within ten (10) days following the receipt of written request from the Landlord, reimburse Landlord for all such costs incurred by the Landlord with respect to the removal of such liens. 3 ORANGEEHULLk43650.1 10. Exculpation of Landlord. Landlord shall not be liable to Tenant for any damage to Tenant or Tenant's personal property from any cause. Tenant waives all claims against Landlord for damage to persons or property arising from Tenant's use of the Property. 11. Indemnity. Tenant agrees to indemnify and hold Landlord, its elected and appointed officials, agents, successors and assigns, and the personal property of the Landlord, including said Property, free and harmless of any and all claims, liability, loss, damage, or expenses resulting from Tenant's occupation and use of said Property, specifically including, without limitation, any claim liability, loss or damage arising by reason of: 11.1 The death or injury of any person or persons, including Tenant or any person who is an employee, agent, guest, licensee or otherwise associated with Tenant, or by reason of the damage or destruction of any property, including property owned by Tenant or any person who is an employee, agent, guest, licensee or otherwise associated with Tenant, and caused or allegedly caused by either the condition of said premises, or some act or omission of Tenant or of some employee, agent, guest, licensee or otherwise associated with Tenant on said Property; and 11.2 Any work performed on said Property or materials furnished to said Property at the insistence or request of Tenant or by any agent or employee of Tenant; and 11.3 Tenant's failure to perform any provision of this Lease Agreement or to comply with any requirement of law or any requirement imposed on Landlord or the rented Property by any duly authorized governmental agency or political subdivision. 11.4 The use, generation, storage or disposal of Hazardous Materials by Tenant and the costs of any required or necessary repair, cleanup, or detoxification to the full extent that such liability is attributable, directly or indirectly, to the presence or,use, generation, storage, release, threatened release, or disposal of Hazardous Materials by Tenant on the Property. For the purpose of this Section, Hazardous Materials shall include, without limitation, substances defined as "hazardous substances", "hazardous materials", "toxic substances", "hazardous wastes", "extremely hazardous wastes", or "restricted hazardous wastes", or stated to be known to cause cancer or reproductive toxicity, under the Comprehensive Environmental Response, Compensation and Liability Act of 1980, as amended, 42 U.S.C. sections 9601, et sem; the Hazardous Materials Transportation Act, 49 U.S.C. sections 1801, et seg; the Resource Conservation and Recovery Act, 42 U.S.C. sections 6901, et seg; the Federal Water Pollution Control Act, 33 U.S.C. sections 1317, et sem; sections 25115, 25117, 25122.7, 25140, 25249.5, 25249.8, 25281, 25316 or 25501 of the California Health & Safety Code; or any substances so defined or stated in any of the regulations adopted and publications promulgated pursuant to said laws as they may be amended from time to time. 12. Attorney's Fees. Should any procedures be commenced by Landlord to enforce the provisions provided in this Lease Agreement or should any litigation be commenced between the parties to this Lease Agreement concerning said Property,this Lease Agreement, or the rights and duties of either in relation thereto, the Landlord or Tenant prevailing in such litigation shall be entitled in addition to such other relief as may be granted in the litigation to a reasonable sum 4 ORANGE\EHULL\43650.1 for its attorney's fees in such litigation which will be determined by a court in such litigation or in a separate action brought for that purpose. 13. Entry and Inspection. Tenant shall permit Landlord or Landlord's agents to enter the Property at reasonable times and upon reasonable notice for the purpose of inspecting the Property. 14. Assignment. Tenant agrees not to convey, assign or encumber any interest in the Property during the term of this Lease Agreement without first obtaining Landlord's prior written approval which may be granted in Landlord's sole and absolute discretion. Any attempted sale, conveyance, assignment or encumbrance shall be void, if prior written approval has not been obtained from Landlord. 5 ORANGMEHULB43650.1 15. Default. 15.1 Any of the following events or occurrences shall constitute a material breach of this Lease Agreement by Tenant and shall constitute an event of default. 15.1.1 The failure by Tenant to pay Landlord any amount in full when it is due under the Lease Agreement; 15.1.2 Abandonment, vacation,.or surrender of the Property by Tenant without Landlord's prior written consent (failure to occupy and/or operate the Property for ten (10) consecutive days shall be deemed an abandonment and vacation unless at least ten (10) days before failing to occupy or operate the Property Tenant gives Landlord written notice that Tenant intends to continue using the Property and will continue maintaining the Property while it is vacant), or the dispossession of Tenant from the Property (other than by Landlord by process of law or otherwise); 15.1.3 The failure by Tenant to perform any other obligation under this Lease Agreement, if the failure has continued for a period of ten (10) days after Landlord demands in writing that Tenant cure the failure. If, however, by its nature, the failure cannot be cured within ten (10) days, Tenant may have a longer period as is necessary to cure the failure, but this is conditioned upon Tenant's promptly commencing to cure within the ten (10) day period and thereafter diligently completing the cure. 15.1.4 Notices given under this Section 15.1 shall specify the alleged default and the applicable Section(s), and shall demand that Tenant perform as provided under the applicable Section(s) or pay the rent that is in arrears, as the case may be, within the applicable period of time, or quit the premises. No such notice shall be deemed a forfeiture or a termination of this Lease Agreement unless Landlord so elects in the notice. 15.2 Any of the following events or occurrences shall constitute a material breach of this Lease Agreement by Landlord and shall constitute a default:. 15.2.1 The failure of Landlord to perform any obligation under this Lease Agreement, if the failure has .continued for a period of ten (10) days after Tenant demands in writing that Landlord cure the failure. If, however, by its nature, the failure cannot be cured within ten (10) days, Landlord may have a longer period as is necessary to cure the failure, but this is conditioned upon Landlord's promptly commencing the cure within the ten (10) day period and thereafter diligently completing the cure. 16. Destruction. If during the term that this Lease Agreement is in effect, the Property is totally or partially destroyed, rendering the Property totally or partially inaccessible or unusable, Tenant shall restore the Property to substantially the same condition as they were in immediately before destruction. Such destruction shall not terminate this Lease Agreement. Tenant waives the provisions of Civil Code Section 1933(4) with respect to any destruction of the Property. 6 ORANGE\EHULU43650.1 17. General Provisions. 17.1 Notices. All notices or other communications required or permitted hereunder shall be in writing, and shall be personally delivered or sent by registered or certified mail, postage prepaid, return receipt requested, telegraphed, delivered or sent by telex, telecopy or cable and shall be deemed received upon the earlier of(i) if personally delivered, the date of delivery to the address of the person to receive such notice, (ii) if mailed, three (3) business days after the date of posting by the United States post office, (iii) if given by telegraph or cable, one (1) business day after the date delivered to the telegraph company with charges prepaid. To Landlord: Redevelopment Agency of the City of Azusa 152 East Foothill Blvd. Azusa, California 91702 Attn: Executive Director With a Copy to: Best Best &Krieger LLP 5 Park Plaza, Suite 1500 Irvine, CA 92610 Attn: Elizabeth Wagner Hull, Esq. To Tenant: Notice of change of address shall be given by written notice in the manner detailed in this Section. Rejection or other refusal to accept or the inability to deliver because of changed address of which no notice was given shall be deemed to constitute receipt of the notice, demand, request or communication sent. 17.2 Required Actions of Tenant and Landlord. Tenant and Landlord agree to execute such instruments and documents and to diligently undertake such actions as may be required in order to consummate all terms and conditions of this Lease Agreement. 17.3 Counterparts. This Lease Agreement may be executed in multiple counterparts, each of which shall be deemed an original, but all of which, together, shall constitute one and the same instrument. 17.4 Captions. Any captions to, or headings of, the sections or subsections of this Lease Agreement are solely for the convenience of the parties hereto, are not a part of this Lease Agreement, and shall not be used for the interpretation or determination of the validity of this Lease Agreement or any provision hereof. 17:5 No Obligations to Third Parties. Except as otherwise expressly provided herein, the execution and delivery of this Lease Agreement shall not be deemed to confer any rights upon, nor obligate any of the parties thereto, to any person or entity other than the parties hereto. 7 ORANGE\EHULU43650.1 t 17.6 Amendment of Agreement. The terms of this Agreement may not be modified or amended except by an instrument in writing executed by each of the parties hereto. 17.7 Waiver. The waiver or failure to enforce any provision of this Lease Agreement shall not operate as a waiver of any future breach of any such provision or any other provision hereof. 17.8 Applicable Law. This Lease Agreement shall be governed by and construed in accordance with the laws of the State of California. 17.9 Fees and Other Expenses. Except as otherwise provided herein, each of the parties shall pay its own fees and expenses in connection with this Lease Agreement. 17.10 Authority to Execute Agreement. Landlord and Tenant warrant that the individuals who have signed this Lease Agreement have the legal power, right and authority to enter into this Lease Agreement so as.to bind each party for whom they sign to perform as provided herein. 17.11 Entire Lease Agreement. This Lease Agreement supersedes any prior agreements, negotiations and communications, oral or written, and contains the entire agreement between Tenant and Landlord as to the subject matter hereof. No subsequent agreement, representation, or promise made by either party hereto, or by or to an employees, officer, agent or representative of either party shall be of any effect unless it is in writing and executed by the party to be bound thereby. 17.12 Successors and Assigns. This Lease Agreement shall be binding upon and shall inure to the benefit of the successors and assigns of the parties hereto. Tenant shall be responsible for the acts or omissions of its sublessee(s). 17.13 Incorporation of Recitals. Each and all of the Recitals to this Lease Agreement are incorporated by reference as though fully set forth. 17.14 Time of Essence. Time is of the essence with respect to each and every provision hereof. IN WITNESS WHEREOF, the parties hereto have executed this Lease Agreement as of the day and year first-above written. [SIGNATURES ON NEXT PAGE] 8 ORANGMEHULL\43650.1 REDEVELOPMENT AGENCY OF THE CITY OF AZUSA By: F.M. Delach Executive Director Approved as to Form: By: Best Best & Krieger LLP Agency Counsel TENANT By: By: 9 ORANGE\EHULL\43650.1 EXHIBIT "A" PROPERTY DESCRIPTION 10 ORANGE\EHULL\43650.1 CJ OW CITY OF AZUSA MINUTES OF THE REDEVELOPMENT AGENCY REGULAR MEETING MONDAY, FEBRUARY 4,2008-11:07 P.M. The Board of Directors of the Redevelopment Agency of the City of Azusa met in regular session at the above date and time in the Azusa Auditorium, 213 E.Foothill Blvd.,Azusa CA- Chairman AChairman Rocha called the meeting to order. Call to Order ROLL CALL - Roll Call PRESENT: DIRECTORS: GONZALES,CARRILLO,MACIAS, HANKS,ROCHA ABSENT: DIRECTORS: NONE ALSO PRESENT: Also Present General Counsel Carvalho, Executive Director Delach,Assistant Executive Director Person,City Department Heads,Secretary Mendoza, Deputy Secretary Toscano. THE CITY COUNCIL AND THE REDEVELOPMENT AGENCY CONVENED JOINTLY TO Convene jointly CONSIDER THE FOLLOWING ITEM: PROFESSIONAL SERVICES AGREEMENT WITH HOGLE-IRELAND,INC.FOR PREPARATION OF Professional HOUSING ELEMENT UPDATE. Services Agmt w/Hogle-Ireland Moved by Mayor Pro-Tern/Director Hanks,seconded by CouncilmemberMirector Carrillo and Housing Element unanimously carried to authorize the City Manager/Executive Director to enter into a Update professional services agreement with Hogle-Ireland, Inc., for the preparation of the State- mandated update to the City's Housing Element of the General Plan,and approval was given for a budget amendment In the amount of$90,000,of which$60,270 will be funded by the City's General Fund reserves and $29,730 will be funded by the Redevelopment Agency's Low-to-Moderate Income Housing Set Aside Fund reserves, in order to finance the costs of preparing the Housing Element update, legal review, community workshop supplies, negotiations with the State Department of Housing and Community Development,and other incidental expenses. CITY COUNCIL RECESSED AND REDEVELOPMENT AGENCY CONTINUED AT 11:12 P.M. Cncl Recess The CONSENT CALENDAR consisting of items F-I through F- 3,was approved by motion of Consent Cal. Director Carrillo,seconded by Director Gonzales and carried. Director Hanks abstained from Approved item F-2, due to a conflict of interest as he is a member of the Gold Line Construction Authority Board who will be receiving the money. 1. Minutes of the regular meeting of January 22, 2008, were approved as written. Min approved 2. A RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF AZUSAAPPROVING Res. 08-R4 A PURCHASE AND SALE AGREEMENT FORTHE PURCHASE OF CERTAIN REAL PROPERTY ACQUISITION OF THE NORTHERLY FORTY FEET OF APN #8608-024-900 AND APN #8608-028-907 WITHIN THE MERGED CENTRAL BUSINESS DISTRICT AND WEST END REDEVELOPMENT PROJECT AREA(Metro Gold Line Construction Authority for Target Site). Director Hanlcs abstained from item F-2,due to a conflict of interest as he Is a member of the Gold Line Construction Authority Board who will be receiving the money. 3. Resolution was adopted and entitled: , A RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF AZUSA ALLOWING Res. 08-R5 CERTAIN CLAIMS AND DEMANDS TO BE PAID OUT OF REDEVELOPMENT AGENCY Warrants FUNDS. It was consensus of the Redevelopment Agency Board Members to adjourn. Adjourn ,TIME OF ADJOURNMENT: 11:13 P.M. SECRETARY NEXT RESOLUTION NO. 08-R6. 1 02104/08 PAGE TWO y CITY OF AZUSA MINUTES OF THE CITY COUNCIL AND THE REDEVELOPMENT AGENCY SPECIAL MEETING-JOINTLY WITH CITY OF DUARTE - TUESDAY,JANUARY 29,2008-6:07 P.M. The City Council and the Redevelopment Agency Board Members of the City of Azusa met in special session at the above date and time in the Azusa Auditorium, located at 213 E.Foothill Boulevard,Azusa. Mayor/Chairman Rocha called the meeting to order. Call to Order Azusa Chief of Police Bob Garcia led in the salute to the Flag. Flag Salute ROLL CALL Roll Call PRESENT: COUNCILMEMBERS: GONZALES,CARRILLO,MACIAS,ROCHA ABSENT: COUNCILMEMBERS: HANKS MEMBERS OF THE DUARTE CITY COUNCIL PRESENT: REYES, FASANA, FINLAY, PARAS- Duarte Cncl CARACCI,GASTON ALSO PRESENT: Also Present City Manager/Executive Director Delach, Assistant City Manager/Assistant Executive Person, Chief of Police Garcia, Director of Utilities Hsu, Public Information Officer Quiroz, Library Director Tovar, Recreation Supervisor Hamilton, Economic Development Director Coleman, Public Works Director Makshanoff, Director of Information Technology Graf, Secretary/City Clerk Mendoza, Deputy Secretary/Deputy City Clerk Toscano. PUBLIC PARTICIPATION Pub Part Mr. Richard Deem addressed Council voicing his opinion against Vulcan mining and the letter R. Deem they submitted regarding their right to mine the additional 80 acres in the west side of their Comments property. Mr. Lino Paras addressed Council voicing his opinion against Vulcan mining noting that clean L. Paras and bad air has no boundaries. Comments Mr.AI Contreras of the Upper San Gabriel Valley Water District addressed Council noting that A. Contreras his concern is the water and the possibility of contamination by the mining. Comments Mr. Charles Bucker Gwyn addressed Council noting the positive changes in both cities, but C. Gwyn noted that the backdrop mountains are an eye sore that can be seen from all over; he would Comments like to see a positive change. Mr.Allen Hiller addressed Council voicing his opinion against Vulcan mining in the community. A. Hiller Comments Ms. Susan Buchanan addressed Council voicing her opinion against the Vulcan mining and S. Buchanan hopes they receive the message that the community is against it. comments a AGENDA ITEMS Agenda Item The following issues were discussion: Joint Issues Encanto Parking Restrictions-Discussion was held regarding truck traffic up EI Encanto, Encanto Pkg speed control,and possible liabilities. City Manager Delach advised that parking restrictions Restrictions can be lifted during weekends and special events on one side of the street and he would have City Engineer look-into the feasibility. Encanto Nature Walk-Deputy City Manager Karen Herrera of Duarte provided an update on Encanto Nature the Rivers and Mountains Conservancy and what they will be doing with funds for the Nature Walk Walk.She requested a commitment from Azusa police to patrol more frequently when they are up and running; completion date is early part of 2009. Pedestrian Bridge San Gabriel River-City Managers of both cities and Deputy City Manager Pedestrian Bridge Herrera of Duarte provided information regarding the Issue and discussion was held. Safety SG River was one of the most important Issues and City Manager Delach was asked to provide costs estimates for lighting/solar or motion sensor. Foothill Boulevard Street Conditions/Maintenance-Lengthy discussion was held and It was Foothill Blvd noted that City of Irwindale and Los Angeles County are taking responsibility for their part of Street Conditions this area. Some problems noted in that area were poor street condition,roots of trees tearing Maintenance asphalt, lighting on bridge, dangerous curve and safety in general; it was noted that a traffic study should be performed as well as the responsibility for those Issues. San Gabriel River Homeless Issues-Azusa Chief of Police Garcia detailed the intervention SG River that was performed in the Canyon area in October and issues with homeless.Discussion was Homeless Issues held regarding responsibility,reporting incidents/suspicious persons and psa regarding dangers of water and drowning(s). Mining Issues-Lengthy discussion was held regarding Vulcan mining,its special use permit, Mining Issues acreage,terms,vested rights,etc. City Attorney Carvalho responded to questions posed and detailed history, conditions, monitoring, compliance, threats of litigation,general plan, etc. Question and answer session ensued and many questions were posed regarding the history of Vulcan Materials; City Attorney Carvalho advised that she would return with responses to question as soon as possible. It was consensus of Councilmembers/Directors to adjourn. Adjourn TIME ADJOURNMENT: 7:57 P.M. CITY CLERK/SECRETARY - NEXT RESOLUTION NO. 08-C7 NEXT RESOLUTION NO. 08-R4 01/29/08 PAGE TWO as of 4 U u. oyttrou�`� AGENCY CONSENT ITEM TO: HONORABLE CHAIRPERSON AND AGENCY MEMBERS FROM: MARCENE HAMILTON, REDEVELOPMENT AGENCY TREASURER DATE: FEBRUARY 19, 2008 SUBJECT: REDEVELOPMENT AGENCY OF THE CITY OF AZUSA TREASUREWS STATEMENT OF CASH BALANCES FOR THE MONTH OF DECEMBER 2007 RECOMMENDATION l It is recommended that the Agency Members receive and file the Agency Treasurer's Statement of Cash Balances for the Redevelopment Agency of the City of Azusa for the month of December 2007. BACKGROUND Transmitted herewith is the Agency Treasurer's Statement of Cash Balances for the Redevelopment Agency of the City of Azusa ("Agency") for the month of December 2007. Agency investments are made in accordance with the Redevelopment Agency Investment Policy approved and adopted with Resolution No. 07-1118 dated June 18, 2007, and Government Code Section 53601. Investment activity is summarized in the "Treasury Book Balances-Cash and Investments" schedule, attached herewith and an integral part of this report. In December,Agency cash and investment balances increased by $1,514,848.93. Cash received during the month totaled $1,514,848.93, and no disbursements were made. The Agency is the issuer of several Merged Project Tax Allocation Bonds. Of the total cash and investments of$13,806,357.56, Wells Fargo Bank, the fiscal agent, held $7,585,335.83 on behalf of the Agency. These funds are restricted for payment of debt service on the bonds and special bond-funded projects. The remaining $6,221,021.73 was available for Agency operating, debt service, restricted expenses, and outstanding liabilities. FISCAL IMPACT The balance of cash and investments and projected revenues for the next six months is expected to be sufficient to meet cash disbursement requirements for at least the next six months. Prepared by: Roseanna J.lara, Sr.Acct.-Redevelopment MH:RIJ/cs CITY OF AZUSA REDEVELOPMENT AGENCY AGENCY TREASURER'S STATEMENT OF CASH AND INVESTMENT COST BALANCES DECEMBER 2007 Beginning Cash Balance $12,291,508.63 (All Restricted and Unrestricted Accounts & Investments) Receipts (All Sources) 1,514,848.93 Disbursements 0.00 Ending Cash Balance $13,806,357.56 (All Restricted and Unrestricted Accounts & Investments) Marcene Hamilton, Agency Treasurer CITY OF AZUSA REDEVELOPMENT AGENCY TREASURY BOOK BALANCES-CASH AND INVESTMENTS DECEMBER 2007 Maximum Deposits Cost Interest Mkt Bank Accounts Allowed Amount Pledged Securities Maturity Rate Value* CASH AND INVESTMENTS HELD BY AGENCY TREASURER Wells Fargo Bank Government Checking No limit $109.803.76 FDIC up to$100.000.00 Ongoing 0.000% $109,803.76 ,$100,000 collalerized by 110%in govn't securities Securities-Federal Home Loan Note No Limit 2,000,000.00 Backed by faith&credit of Federal Home Loan Bank(FHLB) 02127/09 4.200% 2,000,620.00 Local Agency Investment Fund(LAIF) $20,000,000.00 4,111,217.97 Backed by faith&credit of the State of California Ongoing 4.801% 4,114,009.96 SUBTOTAL CASH AND INVESTMENTS HELD BY AGENCY TREASURER: $6,221,021.73 $6,224,433.72 Interest Collections: $0.00 CASH AND INVESTMENTS HELD BY FISCAL AGENT 2003 Merged Project Tax Allocation Bonds - 2003A Special Fund AIM Govt Portfolio No limit 26,155.20 Investments in direct obligations of the U.S.Treasury Ongoing 4.180% 26,155.20 2003A Interest Account AIM Gov't Portfolio No limit 134.32 Investments in direct obligations of the U.S.Treasury Ongoing 4.180% 134.32 2003A Principal Account . AIM Govt Portfolio No limit 298.57 Investments in direct obligations of the U.S.Treasury Ongoing 4.180% 298.57 AIG Matched Funding Corporation No limit 1,085,192.59 Guaranteed Investment Agreement 07/29/23 4.780% 1,085,192.59 2003 MergedProject Tax Allocation Bonds Subtotal: $1,111,780.68 $1,111,780.68 Interest Collections: $93.44 2005 Merged Protect Tax Allocation Bonds 2005 Special Fund ' Wells Fargo Advantage Gov't Mmkt No limit $20,892.30 N/A Ongoing 4.190% $20,892.30 2005 Interest Account Wells Fargo Advantage Govt Mmkl No limit 118.31 N/A Ongoing 4.190% 118.31 2005 Redevelopment Fund AIM Gov%Portfolio No limit 9.29 Investments in direct obligations of the U.S.Treasury Ongoing 4.180% 9.29 AIM Institutional Prime-Cash Mgmt/MMk No limit 781,634.85 N/A Ongoing 4.740% 781,634.85 2005 Reserve Account MBIA Flexible Draw Investment Agreement No limit 869,710.38 Guaranteed Investment Agreement 08/01/34 4.765% 869,710.38 CITY OF AZUSA - REDEVELOPMENT AGENCY TREASURY BOOK BALANCES-CASH AND INVESTMENTS DECEMBER 2007 Maximum Deposits Cost Interest Mkt - Bank Accounts Allowed Amount Pledged Securities Maturity Rate Value' 2005 Merged Project Tax Allocation Bonds Subtotal: $1,672,365.13 $1,672,365.13 Interest Collections: $3,792.46 2007 Merged Protect Tax Allocation Bonds 2007A Bond Fund Wells Fargo Advantage 100%Treasury Mmkt No limit $288.87 NIA Ongoing 3.140% $286.87 2007A Redevelopment Fund Wells Fargo Advantage 100%Treasury Mmkt No limit $4,463,944.86 NIA Ongoing 3.010% $4,463,944.86 2007A Cost of Issuance Account Wells Fargo Advantage 100%Treasury Mmkt No limit 1,449.79 N/A Ongoing 3.030% 1,449.79 20076 Reserve Fund Wells Fargo Advantage 100%Treasury Mmkt No limit 329 349.03 N/A Ongoing 3.010% 329,349.03 20078 Cost of Issuance Account Wells Fargo Advantage 100%Treasury Mmkt No limit 6,159.47 N/A Ongoing 3.000% 6,159.47 2007 Merged Project Tax Allocation Bonds Subtotal: $4,801,190.02 $4,801,190.02 Interest Collections: $13,924.00 SUBTOTAL CASH AND INVESTMENTS HELD BY FISCAL AGENT: $7,585,335.83 $7,585,335.83 Total-Azusa Redevelopment Agency Cash and Investments: $13,506,357.56 $13,809,769.55 Total Interest Collections: $17,809.90 Source of Market Value Information: Wells Fargo Corporate Tmsl,Trustee Local Agency Investment Fund(LAIF) Wells Fargo Institutional Securities Tax Allocation Bond Data is based on Truslee-generated Statements;bond funds listed herein are restricted for payment of debt service and governed by strict regulations described in the Trust Indentures. 'Markel Value is the current price at Which a security can be traded or OOOW WARRANT REGISTER NO. 13 FISCAL YEAR 2007-08 WARRANTS DATED 01/01/08 THROUGH 01/15/08 FOR REDEVELOPMENT AGENCY MEETING OF 02-19-08 • RESOLUTION NO. A RESOLUTION OF THE REDEVELOPMENT AGENCY OF THE CITY OF AZUSA ALLOWING CERTAIN CLAIMS AND DEMANDS TO BE PAID OUT OF REDEVELOPMENT AGENCY FUNDS THE REDEVELOPMENT AGENCY OF THE CITY OF AZUSA DOES RESOLVE AS FOLLOWS: SECTION 1. That the following claims and demands have been audited as required bylaw and that the same are hereby allowed in the amounts and ordered paid out of the Redevelopment Agency Funds as hereinafter set forth: 80-110-REDEVELOPMENT ADMINISTRATION FUND $ 21.169.48 80-125-CBD CAPITAL PROJECTS FUND 38,458.82 80-135-WED CAPITAL PROJECTS FUND 80-185-RANCH CAPITAL PROJECTS FUND 80-165-618-2005 TAX ALLOCATION BONDS FUND 81-155-TAX INCREMENT SET-ASIDE FUND 82-125-CBD DEBT SERVICE FUND 82-135-WED DEBT SERVICE FUND 82-185-RANCH CENTER DEBT SERVICE FUND TOTAL ALL FUNDS: $ 59.628 30 SECTION 2. That the Secretary shall certify to the adoption of this resolution and shall deliver a certified copy thereof to the Agency Treasurer and shall retain a certified copy thereof in his own records. ADOPTED AND APPROVED THIS DAY OF 2008. Chairman I HEREBY CERTIFY that the foregoing resolution was duly adopted by the Redevelopment Agency of the City of Azusa at a regular meeting thereof,held on the day of 2008. AYES: AGENCY MEMBERS: NOES: AGENCY MEMBERS: ABSTAIN: AGENCY MEMBERS: ABSENT: AGENCY MEMBERS: Secretary Ci of Azusa HP 9000 02/14/08 O P E N H 0 L D D B LISTING By Entity NaTe Paqe 1 IIID, FEB 14, 2008, 10:37 AM ---req: FOSE-------leg: GL JL---loe: BI-'ID I---jcb: 566787 #35242---p9m CH400 <1.34> rpt id: CHMER02 SELST FUZ Ores: 80-82 ; Check Issue Dates: 010108-011508 PE ID PE Nave AOJaW NCMBER / JC8 N(NBFR Invoice nffber Ikscripticn St Disc. Ant. Dist. Ant. V00363 AZLEA CK*2ER OF 8010110000-6601 205 CBPPBFIZ AD 1/4 P PD 0.00 775.00 PEID d: 0.00 d: 775.00 Total: 775.00 V01305 AZLFA CITY FID C 8000000000-3035 2610/0801001 PR#1/08 FD 0.00 255.18 MID d: 0.00 d: 255.18 Total: 255.18 V10604 AZLEA MILDLE WN 8000000000-3020 2618/0801001 PR#1/08 FD 0.00 30.00 PEED Upaid: 0.00 Paid: 30.00 Total: 30.00 V10762 BLAKE & AS,MC. I 8010125000-6325/505800-6325 956304 MLTLN SITE APPR PD 0.00 4,000.00 V10762 g(AKR & ASS. I 8010125000-6399/505825-6399 956404 TAR= SITE APPR PD 0.00 4,000.00 PEDikux�id: 0.00 d: 8,000.00 Total: 8,000.00 V00469 & CSIhP 8010125000-6325 2451110107 APPRSL-ESWARDS P PD 0.00 1,500.00 PEIDd0.00 d:: 1,500.00 Total: 11500.00 V06783 CPITSII2EET 8000000000-3010 2315/08010011/08 PD 0.00 589.82 V06783 CiTISII2FEP 8000000000-3010 1310/0801001 1/O8 FD 0.00 266.87 V06783 CITiSTREEI' 8000000000-3010 2310/0801001 1/08 FD 0.00 446.45 PEID Uyd: 0.00 Paid: 1,303.14 Total: 1,303.14 V00348 C3= HK= I 8000000000-3054 2435/0801001 PR41/08 FD 0.00 19.25 PEID Ulmid: 0.00 a% City of Azusa HP 9000 02/14/08 O P E N H O L D D B LISTING By P=te/Entity Nage Page 2 FEB 14, 2008, 10:37 AM ---req: FOSE-------leg: GL JL---lcc: BI-'IF]:I-I---jcb: 566787 #J5242---pgn: CH400 <1.34> rpt id: CHFLTR02 SE= FUND Axles: 80-82 ; Chack Issue Dates: 010108-011508 PE ID PE Nitre AC= NUvEER / JOB NUvEER Invoice U rber Dscripticn St Disc. A*rt. Dist. Art. _ - - Paid: 19.25 Total: '19.25 V01469 LDdIMW P.ZLEA B 8010110000-6630 903 FY 07/08 IA131 AS PD 0.00 5,000.00 PEID � �d: 0.00 Paid: 5,000.00 Total: 5,000.00 V00331 FEDERAL EXPRESS 8010110000-6625 245373679 117052788/R8= PD 0.00 23.10 V00331 FEDERAL EXPRESS 8010125000-6625/505700-6625 246355368 117052788/LME E PD 0.00 17.86 V00331 FEDERAL EXPRESS 8010110000-6521 246355368 117052788/STATE PD 0.00 29.92 V00331 FEDERAL EXPRESS 8010125000-6625/505700-6625 244028062 117052788/FIRST PD 0.00 17.86 V00331 FEDERAL EXPRESS 8010125000-6625/650205-6625 244028062 117052788/LAND A PD 0.00 17.86 PEID . : 0.00 Paid: 106.60 Tbtal: 106.60 V00368 HAYES PS90C AIES 8010125000-6399/505825-6399 200705802 CE[WEN= DS S PD 0.00 3,853.75 PEIDd: 0.00 d: 3,853.75 Tbtal: 3,853.75 V01916 WA PETTY 004, 8010125000-6625/505700-6625 123107 MMU FEES/B11C3 PD 0.00 50.00 V01916 JARA PETTY CASH, 8010125000-6625/505800-6625 123107 SR CIR = = PD 0.00 39.49 V01916 JARA PETTY CASH, 8010125000-6625/505825-6625 123107 UR= ERB MIG PD 0.00 12..00 PEID U -paid: 0.00 Paid: 101.49 Total: 101.49 V06940 LANES SOLL & LIN 8010110000-6315 6208 FY 06/07 ALDIT-A FD 0.00 11,160.00 PEID [fid: 0.00 Paid: 11,160.00 Tbtal: 11,160.00 V03126 LAN =CISISL 8000000000-3010 2320/0801001 1/08 PD 0.00 50.43 V03126 LAN NATICISIAL 8000000000-3010 2325/0801001 1/08 PD 0.00 295.63 V03126 LII= Nr1TIC1\1AL 8000000000-3010 1320/0801001 1/08 PD 0.00 63.56 City of Azusa HP 9000 02/14/08 O P E N H O L D D B L,I S T I N G By FpssaVEhtity Nane Paqe 3 IH[T FM 14, 2008, 10:37 PM ---req: ROSE-------leg: Cdr JL---loc: BI-TEM---3cb: 566787 #J5242---p9m: CH400 <1.34> rpt id: CHFUIR02 SEfFtT FUZ Oxles: 80-82 ; Check Issue Dates: 010108-011508 PE ID PE Nage AC=IJI' NCNBER / JOB NU43ER Dwoioe Nxrbar I es=pticn St Disc. Part. Dist. Pmt. --- --- PETDumaid: 0.00 Paid: 409.62 Total: 409.62 V01582 NEXIEL CCM4NICA 8010110000-6915 635925025065 635925025065/CEL FD 0.00 50.08 PEIDL��d: 0.00 Paid: 50.08 Total: 50.08 V00540 OFMCE DEPOT I1C 8010110000-6572 411155670001 534035 MOD-BACK HD 0.00 117.16 V00540 OFTTCE DEPOT INC 8010110000-6530 411586173001 344734 STAPLER R FD 0.00 5.63 FEID d: 0.00'Pai . d: 122.79 Total: 122.79 V06713 OMEN EENEF= A 8000000000-2724 1225/0801001 PR41/08 PD 0.00 5.08 PEIDUnpaid: 0.00 Paid: 5.08 Total: 5.08 V06703 FMFCAdv'A PFJ= 8010110000-6539 0660004837 ELSIlVESS CARIB F FD 0.00 14.99 PFS d: 0.00 Paid: 14.99 'Ibtal: 14.99 V04138 RELSASIAR LIFE I 8000000000-3053 2215/0801001 01/08 PD 0.00 2.50 V04138 RELSA= =FE I 8000000000-3054 2410/0801001 PR#1/08 FD 0.00 1.87 P=D typaid: 0.00 d: 4.37 Total: 4.37 V03157 SCS FN�� 8010125000-6399/505825-6399 01104958 PH 2 EW-KA STT FD 0.00 24,950.00 PFS dT: 0.00 24,950.00 Total: 24,950.00 City Of Azusa HP 9000 02/14/08 O P E N H 0 L D D B LISTING By Fzxsscr/Entity Nave pacfe 4 , FEB 14, 2008, 10:37 PM ---req: ROSE-------leg: GL JL---loc: BI-'TECH---jcb: 566787 #J5242---p9m: CH400 <1.34> rpt id: OHFL'IR02 SE= FUU OD^s: 80-82 ; ick Issue Dates: 010108-011508 PE ID PE Narre ACCLYNT NU4M / JCB N MER Irmloe Nor Desc pticn St Disc. krt. Dist. Pmt. V02371 SPRINT 8010110000-6915 0581031978082607 05810319780/TRID FD 0.00 15.14 PEIDUlpaii d: 0.00 Paid: 15.14 Total: 15.14 V08056 SHAD R� 8000000000-3044 1255/0801001 0pR#1/08 PD 0.00 194.07 V08056 SMEAM II3SU;ZAN 8000000000-2725 1220/0801001 PR#1/08 PD 0.00 68.74 PEI d: 0.00 Paid: 262.81 Total: 262.81 V10053 S UCARD IIZURPN 8000000000-2725 1221/0801001 PR41/08 PD 0.00 149.97 PEID Lhu�id: 0.00 Paid: 149.97 Total: 149.97 V10166 U\IICN BANK OF CA 8000000000-3073 2130/0801001 mi/08 PD 0.00 878.54 V10166 LIVICN BMK OF CA 8000000000-2727 1130/0801001 x#1/08 P30 0.00 439.78 PEID d: 0.00 d: 1,318.32 Total: 1,318.32 V00388 VE2IZCN 8010110000-6915 6261975078112807 626-1975078 FD 0.00 20.73 FEIDL��d: 0.00 Paid: 20.73 Total: 20.73 V00876 K%SEUTCN MTILA 8000000000-3010 2330/0801001 �1/08 FD 0.00 50.00 V00876 V RN nTRA 8000000000-3010 2335/0801001 1/08 PD 0.00 140.99 V00876 WkcJlnl= nM_A 8000000000-3010 1330/0801001 1/08 PD 0.00 9.00 PEIDiT�d: 0.00 Paid: 199.99 Total: 199.99 GRAND TOTAL Lfflpaid: 0.00 Ci of Azusa HP 9000 02/14/08 O P E N HOLD * DB LISTING By PEhtity Na -e Page 5 FEB 14, 2008, 10:37 AM ---req: ROSE-------leg: GL JL---loc: BI-=---job: 566787 W5242---pgn: CH400 <1.34> rpt id: CHFL 02 SEECT FUSD 0--des: 80-82 ; Check Issue Dates: 010108-011508 PE ID PE Nanfe ACME NUvEEZ / JCB N.NIEER Invoice Nber D=scripticn St Disc. Ate. Dist. Arrf. Paid: 59,628.30 Tbtal: 59,628.30 OF:q?G U � - C�('IfdRtrP CITY OF AZUSA MINUTES OF THE AZUSA PUBLIC FINANCING AUTHORITY MONDAY, NOVEMBER 5,2007— 11:08 P.M. The Boardmembers of the Azusa Public Financing Authority of the City of Azusa met in regular session at the above date and time in the Azusa Auditorium located at 213 East Foothill Boulevard,Azusa. Chairman Rocha called the meeting to order. Call to Order ROLL CALL Roll Call PRESENT: BOARDMEMBERS: GONZALES, CARRILLO,MACIAS, ROCHA ABSENT: BOARDMEMBERS: HANKS ALSO PRESENT: Also Present General Counsel Carvalho, Fxecutive Director Delach, City Department Heads, Secretary Mendoza, Deputy City Clerk Toscano. The CONSENT CALENDAR consisting of item G-land G-2 was approved by motion of Director Consent Cal Macias seconded by Director Carrillo and unanimously* carried. Appvd 1. Minutes of the regular meeting of August 6, 2007, were approved as written. Min appvd 2. The Authority Treasurer's Report as of September 30, 2007 was received and filed. Treas Rpt It was consensus of the Board Members to adjourn. Adjourn TIME ADJOURNMENT: 11:09 P.M. SECRETARY NEXT RESOLUTION NO.07-P4. -Indicates Hanks absent. -P„yC/FbR�P . AZUSA PUBLIC FINANCING AUTHORITY CONSENT ITEM TO: THE HONORABLE CHAIRPERSON AND MEMBERS OF THE BOARD FROM: MARCENE HAMILTON, AZUSA PUBLIC FINANCING AUTHOKITY TREASUREER " Z Q sCa.� � DATE: FEBRUARY 19, 2008 SUBJECT: AZUSA PUBLIC FINANCING AUTHORITY TREASURER'S STATEMENT OF CASH BALANCES FOR THE QUARTER ENDED DECEMBER 31, 2007 RECOMMENDATION It is recommended that the Board Members receive and file the Azusa Public Financing Authority Treasurer's Statement of Cash Balances for the quarter ended December 31, 2007. BACKGROUND Transmitted herewith is the Treasurer's Report.for the Azusa Public Financing Authority for quarter ending December 31 , 2007. Authority investments are made in accordance with the Authority Investment Policy adopted and approved with Resolution No. 07-P2 dated June 18, 2007, and Government Code Section 53600 et. seq. The Azusa Public Financing Authority is the issuer of three bond issues-the 1994 Sewer System Project Refinancing Certificates of Participation, the 2003 Capital Improvement Project Refinancing Certificates of Participation, and the 2006 Water System CIP Parity Revenue Bonds. The funds for these issues are restricted for payment of eligible capital improvement expenses and debt service on the bonds, and are held and invested by fiscal agents who are trustees for the bonds. For quarter ending December 31, 2007, fiscal agents held total investments of$42,075,077.99. Total cash received for the quarter was $444,601.65, and disbursements of$4,940,829.13,were made, resulting in a total overall net decrease of$4,496,227.48. Disbursements were primarily for Water System Project costs, and cash receipts were comprised of interest income. FISCAL IMPACT The balance of cash and investments and projected revenues for the next six months are expected to be sufficient to meet cash disbursement requirements for at least the next six months. Prepared by: Roseanna J. Jara, Sr. Acct.-Redevelopment MH:RJ)/cs CITY OF AZUSA AZUSA PUBLIC FINANCING AUTHORITY TREASURER'S STATEMENT OF CASH AND INVESTMENT COST BALANCES QUARTER ENDING DECEMBER 31, 2007 Beginning Cash Balance $46,571,305.47 Receipts (All Sources) $444,601.65 Disbursements ($4,940,829.13) Ending Cash Balance $42,075,077.99 (All Restricted and Unrestricted Accounts & Investments) Marcene Hamilton, Agency Treasurer CITY OF AZUSA AZUSA PUBLIC FINANCING AUTHORITY TREASURY BOOK BALANCES -CASH AND INVESTMENTS QUARTER ENDING DECEMBER 31, 2007 Maximum Deposits Cost Interest Mkt Bank Accounts Allowed Amount Pledged Securities Maturity Rate Value* CASH AND INVESTMENTS HELD BY FISCAL AGENT Wells Fargo Bank,Trustee 1994 Sewer Refunding Certificates of Participation Installment Payment Fund Wells Fargo Treasury Plus MMkt No Limit $8,846.00 N/A Ongoing 3.659% $8,846.00 Reserve Fund Berkshire Hathaway Inv Agrmt N/A $284,526.66 Guaranteed Investment Agreement 6/1/2023 6.040% $284,526.66 1994 Sewer Refunding COP's Subtotal: $293,372.66 $293,372.66 Interest Collectlons: $89.95 2003 CIP Refunding Certificates of Participation Lease Payment Fund AIM Gov't Portfolio No Limit $10,868.23 Investments in direct obligations of the U.S.Treasury Ongoing 4.180% $10,868.23 Reserve Fund AIG Matched Funding Corporation No Limit $482,500.00 Guaranteed Investment Agreement 7/29/2020 4.400% 482,500.00 2003 CIP Refunding COP's Subtotal: $493,368.23 $493,368.23 Interest Collections: $121.25 2006 Water System CIP Parity Revenue Bonds Revenue Fund Wells Fargo 100%Treasury MMkt No Limit $1,806,535.93 N/A Ongoing 3.010% $1,806,535.93 Interest Account Wells Fargo 100%Treasury MMkt No Limit $3,226,992.94 N/A _ Ongoing - 3.010% $3,226,992.94 Federal Home Loan Bank No Limit $0.00 N/A 12/27/2007 0.000% $0.00 CITY OF AZUSA AZUSA PUBLIC FINANCING AUTHORITY TREASURY BOOK BALANCES -CASH AND INVESTMENTS QUARTER ENDING DECEMBER 31, 2007 Maximum Deposits Cost Interest Mkt Bank Accounts Allowed Amount Pledged Securities Maturity Rate Value* Federal Home Loan Bank No Limit $0.00 N/A 04/23/2008 0.000% $0.00 Principal Account Wells Fargo 100%Treasury MMkt No Limit $26,073.25 N/A Ongoing 3.010% $26,073.25 Reserve Fund Wells Fargo 100%Treasury MMkt No Limit $35,548.06 N/A Ongoing 3.010% $35,548.06 Federal Home Loan Mtg.Corp. No Limit $1,000,312.50 N/A 2/27/2009 5:290% $1,002,080.00 Federal Home Loan Mtg.Corp. No Limit $599,700.00 N/A 01/18/2011 5.250% $600,348.00 Federal Nat'l Mtg.Association No Limit $1,000,000.00 N/A 2/26/2010 5.290% $1,001,880.00 Federal Nat'l Mtg.Association No Limit $1,000,000.00 N/A 1/16/2009 5.270% $1,000,630.00 Water System Acquisition Fund Wells Fargo 100%Treasury MMkt, No Limit $32,593,174.42 N/A Ongoing 3.010% $32,593,174.42 2006 Water System CIP Revenue Bond Subtotal: $41,288,337.10 $41,293,262.60 Interest Collections: $444,390.45 Total -Azusa Public Financing Authority Cash and Investments: $42,075,077.99 $42,080,003.49 Total Interest Collections: $444,601.65 Source of Market Value Information: Wells Fargo Bank,Trustee ' Bond Data is based on Trustee-generated Statements;bond funds listed herein are restricted for payment of debt service and governed by strict regulations described in the Trust Indentures.