HomeMy WebLinkAboutReso. 1990-492 - Approving an oversizing and reimbursement agreement between city of Redding and Debra Investments� � � • •.
RESOLUTZON NO. O ' Y �
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF REDDING
APPROVING AN OVERSIZING AND REIMBURSRMIIQT AGREEMENT
BETWEEN THE CITY OF REDDING AND DEBRA INVESTMENTS
CORPORATION, AND AUTHORI2ING Tf� MAYOR TO SIGN SAME.
BE IT RESOLVED by the City Council of the City of Redding as
follows :
1 . That the City Council of the City of Redding hereby
approves the attached Oversizing and Reimbursement Agreement
between the City of Redding and Debra Investments Corporation; and
2 . That the Mayor of the City of Redding is hereby
authorized and directed to sign all necessary documents on behalf
of the City of Redding, and the City Clerk is hereby authorized and
directed to attest the signature of the Mayor and to impress the
official seal of the City of Redding on the aforesaid Agreement,
when appropriate ; and
3 . That a true copy of said Agreement is attached hereto and
incorporated herein by reference.
I HEREBY CERTIFY that the foregoing Resolution was introduced
and read at a regular meeting of the City Council of the City of
Redding on the 2nd day of October , 1990 , and was duly
adopted at said meeting by the following vote :
AYES: COUNCIL MEMBERS: Arness , Dahl , Fulton , Moss & Buffum
NOES: COUNCIL MEMBERS: None
ABSENT: COUNCIL MEMBERS : None
ABSTAIN: COUNCIL MEMBERS : None
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CYG/ FFUM, Ma or
City of Redding
ATTEST: FORM APPROVED: �
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ETHEL A. NICHOLS , City Clerk RAi1DALL A. , City Attorney �
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OVERSIZING AND REIMBURSEMENT AGREEMENT
CITY OF REDDING
Agreement regarding oversizing a sewer line, reimbursement for said oversizing, and interim
land use.
THIS AGREEMENT is entered into as of this day of , 1990, by and between
the CITY OF REDDING, a municipal corporation organized and existi�g under the laws of the
State of California ("City") and Debra Investments Corporation {"Developer"), a California
corporation.
WITNESSETH
WHEREAS, Developer has acquired the property depicted on Exhibit A intending to develop
a residential subdivision; and
WHEREAS, topographically, the property is tributary to a gravity-flow system to a trunk
sewer line in Stillwater Creek, as depicted on Exhibit B; and
WHEREAS, to develop the property in accordance with the Redding General Plan requires
that sewer service be provided to the property; and
WHEREAS. the City is constructir.g a new sewage treatment plant that will serve the
Stillwater Creek, Clover Creek, and Churn Creek drainage basins and a trunk sewer line in Clover
Creek to Otd 44 Drive, as depictei; o�i Exhibit C; and
WHEREAS, Developer wishes to develop its property by construction of a trunk sewer line
along a portion of Stillwater Creek; and
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WHEREAS, Developer wishes to develop the portion of its property depided on Exhibit D
with up to 100 single-family units by virtue of constructing an interim connection to the existing
trunk line in Chum Creek; a�d
WHEREAS, Developer has offered to construct a portion of the trunk sewer line along
Stillwater Creek from its property southerly to Old 44 Drive to connect to the Clover Creek sewer
trunk line, now under construction. This connection will require oversizing the crossroads
interceptor which connects into the Clover Creek trunk line; and
WHEREAS, Developer understands and acknowledges that development on the property
for single-family use, both on an interim basis (100 units) and on a full�development basis, is
contingent upon approval of a tentative map or maps by the Redding Planning Commission,
conformance to the Redding General Plan, and subdivision requiremer�; and
WHEREAS, Ciry is willing to enter into a ten-year reimbursement agreement that will repay
to Developer a portion of the cost of the line in Stillwater Creek that represents line capacity
greater than needed for the amount of sewage flow generated by the Developer's project from
future connections made to the line from properties within the City of Redding; and
WHEREAS, Developer understands and acknowledges that it is the policy of the City to not
provide sewer service outside the City; and that for properties to connect to the sewer line and
lift station to be constructed by Developer or constructed by an assessment district, it�e City will
first require annexation to the City prior to connedion.
NOW, THEREFORE, BE IT RESOLVED that the parties agree to all of the tollowing:
1. An interim connection to the hunk sewer line in Chum Creek for Developer to develop
up ta 100 single-tamily dwetling units on its propers.
2. Issue to Developer, upon application therefore, subject to the recording of a final
subdivision map for the 100 units, all necessary building pertnits, occupancy certificates, or other
required permits tor the construction, use, and occupancy of the Project,subject to(a) campliance
with the approve tentative subdivision map, this Agreement, and the City's Building Code
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requirements in force as of the date of this Agreement, and (b) payment of City's usual and
customary fees and charges for such applications, pertnits and certificates, and any utility
connection, zone of benefit, use pertnit, and charges of general application.
3. To reimburse Developer for a portion of the cost of consWcting the proposed trunk
sewer line in Stillwater Creek, the lift station with force main, and the oversizing of the crossroads
sewer trunk line. The portion subject to reimbursement shall be the total cost of the items
mermoned above minus tfie cost of those facilities that would be consVucted for just the
Devebper's development. The minimum size sewer line from the Devebper's development shall
be an eight (8) inch line. Reimbursement will occur as new connections are made to these
faalities constructed by Developer from properties within the City based on a calculated
household equivalent for each domestic unit or use connecting to the line at the time of issuance
of a building permit within the area depicted on Exhibit E - Tributary Area. The City shall pay to
Developer, from time to time, all amounts which the City is required to collect pursuant to this
paragraph within 30 days of receipt of the pro rata share from a reimbursing property. If an
assessment district is fortned to construct the improvemenfs in Exhibit B, the Developer share of
the cost ot said improvements shall be based on the cost sharing within the district.
4. Feimbursement shall be based on the actual cost to build the line by an independent
and qualified low bidder hired by Developer. Reimbursement shall include easement-acquisition
costs, engineering costs, construction inspection costs, and City legal fees related to construction
of the Gne. Prior to building the sewer-lines a� lift-station as shown on Exhibit B, the plans and
speafications shall be approved by the City of Fedding Department of Public Works (Public
Works). All work shall be inspected by City inspectors and cflnstructed and completed per the
approved plans prior to acceptance of the lines and litt stations by the City.
5. If development occurs as in Paragraph 2 above, Devefoper shall construct the
temporary lift station with a-force main connection to the Eastside Interceptor via the College
Highlands trunk line. The lift station and force main shall be constructed to City of Redding
standards. The Developer shall provide annuaily an operating fund of $5,000 to operate and
maintain the lift station until it is abandoned. The first payment shall be made when the lift station
becomes operational.
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6. The Crossroads trunk line within the existing Clover Creek Assessment District shall
be oversized by Developer to accommodate an additional 5.0 MGD of capacity. The funds to
overs¢e the line must be made available to the City prior to October 1, 1990. The cost to
oversae the line is $267,611.50.
7. If development occurs as noted in Paragraph 2 above, Developer shall construct a
sewer lift station along Stiltwater Creek near Highway 44 with a force main connecting the lift
station bo the Crossroads trunk line. The lift station shall have an effective capacity of 3.5 MGD
with the capability to expand to 5.0 MGD in the iuture. The lift station shall include chlorination
facilities and an auxiliary generator system as recommended by the City. Once the lift station is
completed, the City will take over the operation and maintenance of the facility.
8. Developer shall construct a sewer trunk line along Stillwater Creek from the temporary
package lift station at the development to a new lift station to be consVuded near Highway 44.
The 6ming of the construction of the trunk line is discussed in Item 9 belaw. The main trunk line
shall have a minimum capacity of 3.5 MGD, and the lateral line to the package lift station shall
be sized for the tributary area adjacent to the line. Developer shali obtain all necessary
easements for the lines to include title report, appraisal, and acquisition costs. The easement-
acquisition process shall follow the recommendations of the City Attomey. The construction of
the trunk line and related facili6es shali meet the standards of the City ot Redding.
9. In order to ensure the construction of the trunk line and lift staHon in a timely manner
and assuming that development occurs as noted in Paragraph 2 above, Developer shall meet the
following time line:
a. Submit a completed preliminary-design and conswction-cost estimate to Public
WorkS tor the trunk line and lift station prior to the start of development of the 100-1ot subdivision.
The cfesigr should �ndicate the properties affected by the trunk line and lift station, the routing of
the line, and verification that a gravity line can be constructed without exceeding twenty (20) feet
in depth to the invert of the pipe. Since the ccst estimat� will be used mainly to establish the
funds necessary for the City to construct the trunk line and lift station in the event the Developer
dces reof perform the work, the cost figures should reflect the use of prevailing wages and bonds
that the Ciry would normally encounter. Additionally, the cost �timate should allow for an
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escalabon factor from the time of the development agreement to the mid-point of the antiapated
construdion time to allow for inflation.
b. The final design of the trunk line and lift station, inGuding construction drawings,
specifica6ons, and cost estimate, shall be completed and submitted to Public Wortcs prior to
December 1991. Acquisition and recording of easements for ihe trunk line, lift siation, and force
main connecUon to the Crossroads line shall be obtained within six months of plan approval by
the City.
c. The construction of the trunk line and lift station with force main shall be
compketed by July 1993. Completion of the project shall include the permanent diversion around
the padcage lift stadon and the operational testing of the liR station to the satisfaction of the City
of Redding Public Works Director.
10. The development shall be limited to one hundred (100) household units with no
' occupancy permits to be issued prior to March 1991. The City may consider allowing additional
units to be built if the paralleling of the Eastside Interceptor has been completed and the wortc
descr�ed on the Stiihvater trunk line as described herein has progressed satisfactorily.
11. As each housing unit is connected to the sewer system within the development, a
conneQion fee shall be pad to the City consisting of the current plant-expansion fee in place at
the time ot connection, along with a special benefit fee to cover the future construction of the
lower Stillwater line and permanent lift station. The current plant-expansion fee will be $1,075,
effective July 1, 1990. The current special benefit fee shall be $825, based on estimated costs
for the construction of a 5.0 MGD capacity trunk line and lift station which would serve
appro�dmately 4,000 household equivalents. The special benefit fee would be adjusted annually
by the Engineering News' twenty (20) cities' average Construction Cost Index.
12. City retains the right to amend the General Plan and zoning of this area at any time
pursuant to the procedures in tfte Redding Municipal Code and in accordance w��th the Redding
Generaf Plan.
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13. Developer agrees to and shall hold City, its officers, agents, employees, anc
representatives, harmless from liability for damage or claims for damage for personal injury
including death, and claims tor property damage which may arise from the direct or indirec
operations of the indemnifying party or its contractors, subcontractors, a8ents, employees, o�
other persons acting on its behalf in relation to the construction undertaken by the indemnifyinc
party. This hold-harmless agreement applies to all damages and claims for damages sufferec
or alleged to have been suffered by reason of the operations referred to in this paragraph
regarmess of whether or not City prepared, supplied, or approved plans or specifications or both
and iegardless of whether or not the insurance policies referred to in Paragraph 14 are
applipble.
14. Insurance. Before beginning work on the sewer improvements, Developer shall cause
the insurance required under this paragraph to be issued and thereafter to be maintained durinc
the term of this Agreement or until the off-site improvements are accepted by the City. Saic
insurance shall extend to City, its elective and appointive boards, commissions, officers, agents
employees and representatives, and to the owner of the parcel on which the building constructior
is commenced. Said insurance shall include the following:
a. Compensation Insurance. Worker's compensation insurance for all person:
employed at the site and for all employees of each said contrador and subcontractor. The
applicable owner agrees to indemnify Ciry, its officers, agents, employees, and representatives
tor any damage resulting from failure to take out and maintain such insurance.
b. Public Liabilitv and PropertY Damaqe Insurance. Public liability insurance in ar
amourrt of not less than Two Million Dollars ($2,000,000.00) combined single limit.
15. This Agreement, and all of the terms and conditions hereof, shall be binding upon anc
inure to the ben2�it o� the parties and their respective assigns, heirs, or other successors ir
interesL
16. The parUes acknowledge that, in entering into and performing this Agreement,
Developer is acting as an independent entity and contractor and not as an agent of the City in
any respect.
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17. Amendment or Cancellation. This Agreement may be amended or canceled in whole
or in paR only by mutual consent of the parties involved as signatories to the Agreement or their
successors.
18. Partial Completion. In the event Developer provides money for the oversizing of the
crossroads line, but does not construct any of the other improvements or construct the 100 units,
the reimbursement provisions shall apply only to the crossroads-line components. The City
agrees to reserve, on behalf of Developer or its successor in interest, for a period of five years
from the date of this agreement, sewer capacity equal to 1100 Household Equivalents.
Reimbursement for the oversized line shall be based on the capacity of the line and the
household equivalents generated by the reimbursing property with the issuance of a building
permit.
19. Enforcement. Unless amended, canceled, or terminated as provided in Paragraph 17
hereinabove, and subject to all provisions of Paragraph 18 hereinabove, this Agreement shall be
enforceable according to its terms, notwithstanding any change in City's applicable general or
specific plan, zoning, subdivision or building regulations which alters or amends City's rules,
regulations, and policies governing permitted uses of the property, density, design, improvement
and constructions standards, and specifications.
20. Default bv Developer.
a. Determination bv City. Developer shall be in default under this Agreement upon
a finding or determination by City on the basis of substantial evidence, that Developer has not
complied in good faith with any of the terms of conditions of this Agreement. Developer shall not
be excused from performance hereunder because of any failure of performance by any third
party, nor by adoption of any law or any other governmental activity (unless the same be in
violation of this Agreement) which makes performance by Developer unprofitable, more difficult,
or more expensive. This does not include any condition of approval or tentative map for
subdivision of the Developer or other properties.
b. Termination or Modification for Default. In the event of default by Developer, City
may terminate or modify this Agreement in whole or in part. City's failure to modify or terminate
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this Agreement after finding a default of Developer, pursuant to Subsection (a) of this Paragraph
20, shall not constitute a waiver of such default by City.
21. Remedies For Default. In the event of default by any party hereunder, a nondefaulting
party shall have available all remedies at law or in equity not otherwise provided for herein, which
remedies shall include, by way of illustration but not limitation, suits for injunctive or declaratory
relief, sQecific performance, relief in the nature of mandamus, or actions for damages. All of said
remed;es shall be cumulative and not exGusive of one another, and the exercise of any one or
more of said remedies shall not constitute a waiver or election with respect to any other available
remedy.
22. Supersedinq State or Federal Law. In the event that any State or Federal law or
regulation enacted or adopted after the date of this Agreement, or other action of any
govemmental entity not under the control of City, shall prevent or preclude compliance with any
of the provisions hereof, such provisions shall be modified or suspended only to the extent and
for the time necessary to achieve compliance with said law, regulations, or other governmental
action. and the remaining provisions of this Agreement shall be in full force and effect. Upon
repeal of said law, regulation, or other governmental action or occurrence of other circumstances
removing the effect thereof upon this Agreement, the provisions hereof shall be restored to their
full originai effect.
23. Notices. All notices required or provided for under this Agreement shall be in writing,
shall be delivered in person or by certified mail, postage prepaid, addressed to the parties as
follows:
CITY: CITY OF REDDING
760 PARKVIEW AVENUE
REDDING, CA 96007
ATTENTIO!�: PLA�lNING DIRECTOR
DEBR.4 INVESTti4EN'i S CORPORATION:
S
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My notice so delivered shall be effective upon the date of personal delivery or, in the case
of mailing, on the date of delivery or attempted delivery as shown on the United States Postal
Service Return Receipt. Any party may change its address for no6ce by giving ten (10) days'
notice of such change in the manner provided for in this paragraph.
24. Term of Aqreement. The term of this Agreement shall commence on the date hereof,
and shall continue for three (3) years as to the obligations of Developer for construction of
improvements. The City of Redding shall be obligated to make reimbursements to Developer for
a period of ten (10) years from acceptance by the City of the contemplated improvements.
25. Time. Time is of the essence of this Agreement and of each and every term and
cor�ition hereof.
26. Recitals and Exhibits. The Recitals of this Agreement and following exhibits to which
reference is made in this Agreement are deemed incorporated herein in their entirety:
EXHIBIT A - Lands of Debra Investments Corporation
EXHIBIT B - Trunk Line and Lift Station Improvements
EXHIBIT C - Oversizing of Crossroads Sewer Line
EXHIBIT D - Debra Investments Corporation Development - Phase I
EXHIBIT E - Tributary Area for Reimbursement
27. 5iqnature Paqes. For convenience, the parties may execute and acknowledge this
Agreement on separate signature pages which, when attached hereto, shall constitute this as one
complete Agreement.
Ih WITNESS WHEREOF, this Development and Reimbursement Agreement has been
executed by the parties as of the day and year first above written.
D:11v11SC\DEBRA.AGR
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AUTHORIZED SIGNATURE OF CITY
TO LAND USE AND REIMBURSEMENT AGREEMENT
'CfTY'
CITY OF REDDING, A
Munidpal Corporation
BY
MAYOR OF REDDING
APPROVED AS TO FORM:
BY
CfTY ATTORNEY
ATTEST:
BY
CITY CLERK
STATE OF CALIFORNIA )
) �
COUNTY OF SHASTA )
On this day of , 1990, betore me
, a Notary Public for the State ot Calrfomia,duly commissioned
and swom, personally appeared and
personally known to me [or proved to me on the basis of satisfactory evidence] to be the persons
who executed the within instrument as Mayor and City Clerk of the City of Redding, the Municipal
Corporatio� er:�cuting the wiihin instrument, and acknowledyed io rne that the Corporation
executed it.
NOTARY PUBLIC
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AUTHORIZED SIGNATURE OF
DEBRA ZNVESTMENTS CORPORATION
TO LAND USE REIMBURSEMENT AGREEMENT
DEVEIAPER
DEBRA INVESTMENTS CORPORATION
A California Corporation
BY
ART NDIOTTI, PRESIDENT
STATE OF _ CALIFORNiA )
COCTNTY OF - SONOMA )
On this the iSt day of Ortnhar 19g�, before
me, linda Tnwar ,
the undersigned Notary Public, personally appeared
Art Condiotti ,
� personally known to me
� proved to me on the basis of satisfactory evidence
to be the person(s) who executed the within instrument as
President or on behalf of the corporation executed
it.
WITNESS my hand and official seal. ocFaoLLscx
� . LINDA TOWER
�( � NOTARY PUBLIC -CALIFORNIA
\ �n��.�`__ Y`�\`,��.'.� e SONOMA COUNTYN .
NOTARY'S SIGNP_TURE MyCanmlislonEmkesSaq.7,7o41
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EXHIBIT A
LAlOS OF DEBRA INVESTMEHTS INC.
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"- � 'I; : -. ��. STILLWATER SEWER TRUNK LpiE, L�T STATIOII
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AND FORCE MAIN TO SEAYE ��A IHVESTMENTS INC.
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EXHIBIT C
PORTION OF CIOVER GREEK ASSESSMENT DISTRICT
AND CROSS ROADS INTERCEPTORFIRST
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BOUNDARY OF BENEFITTED AREA SUBJECT TO REIMBURSEMENI