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Home My WebLink About2000-05-16; Municipal Water District; 473; Install Waterline to Cross Interstate 5iB# 473 TITLE- APPROVE AND AUTHORIZE EXECUTION OF -f&T AMENDMENT OF LICENSE TO ENTER TO INSTALL MTG. 5/l 6100 A 16-INCH WATERLINE TO CROSS INTERSTATE 5 (GREYSTONE HOMES, INC.), CMWD PROJECT NO. 98-407a, IEPT. ENG CITY PROJECT NO. 36591 CARLSBAD MdllClPAL WATER DISTRICT - fiGENDA’ RECOMMENDED ACTION: Carlsbad Municipal Water District Board of Directors: Adopt Resolution No. IoFT to approve and authorize execution of First Amendment to License to Enter to Install a 16-inch Waterline to Cross Interstate 5 (Greystone Homes, Inc.), CMWD Project No. 98-407a, City Project No. 36591. ITEM EXPLANATION: Greystone Homes, Inc., (Greystone) is the developer of property referred to as Poinsettia Shores Planning Area C. The District has a “License to Enter” the property to install a l6-inch diameter water pipeline and casing pipe underneath Interstate 5. The existing License to Enter calls for the District to complete construction by May 22, 2000. If Greystone is ready to begin construction of homes in the impacted area on May 23, 2000, then the District is required to pay a license fee of $5,000 per day for five days for a total not-to-exceed of $25,000. The license fee is for delay expenses in not allowing Greystone to construct the homes on their property during the time period beyond May 22, 2000. Although it is not expected that the contractor will delay Greystone after May 22, 2000, the first Amendment extends the license fee from five days to ten days for a total not-to-exceed license fee of $50,000. The additional five days is to provide time for resolving equipment failure problems or other unforeseen event in installing the pipeline. If it is necessary to extend the fee beyond ten days, then the District will renegotiate a second amendment with Greystone to extend the timeframe. Greystone has indicated a willingness to renegotiate the second amendment for an extension at the same license fee rate. However, there is no guarantee that Greystone will maintain the same license fee rate for any additional extensions. ENVIRONMENTAL IMPACT: A Mitigated Negative Declaration was issued for the project on January 5, 2000, by the Planning Director. FISCAL IMPACT: Following is a summary of the project cost: EXHIBITS: 1. 2. 3. Location Map. First Amendment to License to Enter to Install a 16-inch Waterline to Cross Interstate 5. Carlsbad Municipal Water District Board of Directors: Adopt Resolution No ~-!QaiE? for First Amendment to License to Enter with Greystone to Install a 16-inch ~oC~;rog~nterstate 5 (Greystone Homes, Inc.), CMWD Project No. 98-407a, City Project . EXHIBIT 7 J ----__ \-- \ 7 I.8 i \ LEGEND: sumsm BOUMMY LOT UNE LOT lm UMT UNE UN77 M. F,WEWl I&= WAmP 0 . . . . . . . . . . . . . . . . . . . . . . . . . . I -rc- 5900 Poatour court Civil En9inemin9 Suit0 100 fh~aod. Cdifomb 92008 760-931-7700 Fox: 760-931-8680 Planning Prowsaim) SuNyin SANZ4LINA AT SAN PACIHCO’ z r&~luol9v4zvArrru 4-640 wa9u- @ 1999 O’Day Consultants, Inc May 3 1,200O MR. MIKE LEVESQUE GREYSTONE HOMES, INC. 5780 FLEET ST STE 300 CARLSBAD CA 92008 Re: First Amendment to License to Enter to Install a 16” waterline to cross Interstate 5 The City of Carlsbad has approved the First Amendment document described above. Enclosed please find a fully executed copy of the amendment for your files along with a copy of Resolution No. 1085, which awarded the construction. If you have any questions, please do not hesitate to contact our offices. Debra Doerfler Carlsbad City Clerk’ Enclosure 1200 Carlsbad Village Drive * Carlsbad, CA 92008-1989 * (760) 434-2808 @ I ‘ FIRST AMENDMENT TO LICENSE TO ENTER TO INSTALL A 161INCH WATERLINE TO CROSS INTERSTATE 5 This First Amendment to License to Enter to Install a Is-Inch Waterline to Cross Interstate 5 (this “Amendmenr) is entered into as of May 7 , 2000, between GREYSTONE HOMES, INC., a Delaware corporation (“Greystone”), and the CARLSBAD MUNICIPAL WATER DISTRICT, a Public Agency organized under the Municipal Water District Act of 1911 and a Subsidiary District of the City of Carlsbad (the “District”). This Amendment is made with reference to the following recitals: 1. Recitals. 1.1 Greystone and the District entered into that certain License to Enter to Install a 16-Inch Waterline to Cross Interstate 5 (the “License”) as of April 7, 2000. 1.2 Greystone and the District entered into the License as written because: (a) it was critical to each of Greystone and the District and the License be entered into prior to April 8, 2000; (b) District staff had the authority to enter into the License provided that it obligated the District to pay no more than $25,000 in license fees to Greystone; and (c) there was not sufficient time prior to April 8, 2000, to obtain the District’s Board of Director’s approval of the License providing for the possibility of a payment in excess of $25,000 in license fees. 1.3 Greystone and the District now mutually desire to amend the License to provide for the District’s possible payment to Greystone of license fees in excess of $25,000. 2. Amendment of Section 4(b) of the License. The first paragraph of Section 4(b) of the License is hereby deleted in its entirety and replaced with the following: “The District will use its best efforts to cause the First Stage of Construction and the Second Stage of Construction to be completed on or before the First Completion Date. If, at any time, the District becomes aware that it may not complete the First Stage of Construction and/or the Second Stage of Construction on or before the First Completion Date, the District shall immediately notify Greystone in writing and meet with Greystone. If Greystone agrees to extend the First Completion Date, then the District shall be obligated to pay a license fee to Greystone of $5,000 per calendar day for each of the first 10 calendar days beyond May 22, 2000. If Greystone agrees to allow the District to extend the First Completion Date beyond May 22,2000, then on May 23, 2000, the District shall deliver to Greystone in immediately payable funds the sum of $5,000 per calendar day for the first 10 days ($50,000). If the District satisfies all of its obligations pursuant to Sections 3, 4, 5, 6, 7, 14, 15, 16, and 17 of this Agreement prior to June 1, 2000, then Greystone shall immediately refund to the District $5,000 for each calendar day remaining until June I, 2000.” 3. Full Force and Effect. Except as expressly amended or modified in this Amendment, the License shall remain in full force and effect. In the event of any inconsistency between the terms and provisions of the License and the terms and provisions of this Amendment, the terms and provisions of this Amendment shall govern. 4. Counteroarts. This Amendment may be executed in one or more counterparts, all of which when taken together shall constitute one original document. Ill Ill Ill Ill Ill Ill Ill Ill III Ill Ill Ill 5. Definitions. Unless otherwise expressly capitalized terms used in this Amendment shall have the License. defined in this Amendment, all meanings ascribed to them in the IN WITNESS WHEREOF, the parties hereto have executed this Amendment as of the date first set forth above. Executed by GREYSTONE this M\‘ti* day of May, 2000. GREYSTONE: GREYSTONE HOMES, INC., A Delaware corporation Executed by DISTRICT this 16th day of May, 2000. By: By: tie% NE M. WOOD, Secretary Title (Proper notarial acknowledgment of execution of GREYSTONE must be attached. Chairman, president or vice-president and secretary, assistant secretary, CFO or assistant treasurer must sign for corporations. Otherwise, the corporation must attach a resolution certified by the secretary or assistant secretary under corporate seal empowering the officer(s) signing to bind the corporation.) (If signed by an individual partner, the partnership must attach a statement of partnership authorizing the partner to execute the instrument). APP OVED AS TO FORM: 7 State of California County of San Diego On flatj?mj before me, &%A-+- &a ,, personally appeared h$uad l’ lrk-vtvJ& ‘(Name[s] of Signetis]) m---s _ c B personally known to me 43R-&- + . (srrr\rarl e+Menc@ to be the person(s) whose name(s) isha subscribed to the within instrument and acknowledged to me that helshelthey executed the same in hislhec/their authorized capacity(&), and that by his/h&heir signature(s) on the instrument the person(s), or entity upon behalf of which the person@) acted, executed the instrument. WITNESS my hand and official seal Signature of Notary !Tb cofnmIssion# 1238625 7 Notuy Public - Callfad San Dlego cauniy rW WCw3m.&udedW19,P00 (This area for official notary seal) Title or Type of Document 74 L4zetuc76Wrfb~l~ Date of Document u??!& 9, ‘m No. of Pages 3 Signer(s) other than named above ACTIONOFTHEDIREC-WRS0F GREYSTONEHOMES;lNC. T,~:(ENWITHOL'TX;LIEETl;\;G In accordance with the provisions of Section )41(f) of the General Corporation Law of the State of Delaware the following action was taken by unanimous consent of the members of the Board of Directors OF Greystone Homes, Inc. without a meeting: RESOLVED, that iMike Levesque is hereby elected Presidem San Diego Division of this Corporation. RESOLVED, that Mike Levesque, acting alone be and is hereby authorized on behalf of this Corporation to enter into contracts for services, purchase materials and supplies, execute applications, government and quasi-government permits and licenses, obtain FHA and VA approvals, enter into written contracts with City and County agencies (including school districts) preliminary to or concurrent with the subdivision of real property owned, or under contract to purchase ,by sale agreement or option, which contracts are a part of said subdivision process, execute’$o,cuments or instruments burdening this Corporation’s real property as a patt’of the subdivision jroce~s, includin, 0 but not limited to Subdivision Improvement Agreements, easements, rights-of-way, licenses, covenants, conditions and reservations (“CC&R’s”), annexation ageements, applications for Department of Real Estate public reports, title company indemnification a!geements relating to Corporation real property, public and quasi-public utility service applications and contracts, temporary entry agreements, con&& for the sale or rental of this Corporation’s residential real property when such real properry is improved with a housing unit and is a part of a residential subdivision which latter authority includes the authority to execute escrow instructions, Grant Deeds and other instruments of conveyance, and all other contracts involving this Corporation’s ordinary course of business EXCEPT he shall have no authority to borrow money, purchase real propew, sell real property other than as hereinabove permitted or execute surety bonds on behalf of this Corporation. RESOLVED FURTHER, that the authority herein conferred shall remain in force until revocation thereof by the Board of Directors of this Corporation. I . May 3 1,200O MR. MIKE LEVESQUE GREYSTONE HOMES, INC. 5780 FLEET ST STE 300 CARLSBAD CA 92008 Re: First Amendment to License to Enter to Install a 16” waterline to cross Interstate 5 The City of Carlsbad has approved the First Amendment document described above. Enclosed please find a fully executed copy of the amendment for your files along with a copy of Resolution No. 1085, which awarded the construction. If you have any questions, please dd not hesitate to contact our offices. Sincerely, Debra Doerfler Carlsbad City Clerk’ Y Office Enclosure 1200 Carlsbad Village Drive - Carlsbad, CA 92008-1989 - (760) 434-2808 49 3 4 5 6 7 0 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 RESOLUTION NO. 1085 A RESOLUTION OF THE CARLSBAD MUNICIPAL WATER DISTRICT OF CARLSBAD, CALIFORNIA, FOR FIRST AMENDMENT OF LICENSE TO ENTER TO INSTALL A 16-INCH WATERLINE TOCROSS INTERSTATE 5 (GREYSTONE HOMES, INC.), CMWD PROJECT NO. 98-407A. CITY PROJECT NO. 36591. WHEREAS, the Board of Directors of the Carlsbad Municipal Water District of Carlsbad, California, has awarded the construction of the Interstate 5, 16-inch Water Pipeline Project on February 152000; and WHEREAS, there is a need to use property owned by Greystone Homes, Inc., (Greystone) to install the 164nch water pipeline underneath Interstate 5; and WHEREAS, on April 7, 2000, the Executive Manager of the Carlsbad Municipal Water District executed a License to Enter Agreement with Greystone (the “Agreement”); and WHEREAS, the Agreement contains a stipulation that if Greystone is ready to build homes on their property that the District will pay a License Fee in the amount of $5,000 per day for each day past May 22, 2000, for a total amount not-to-exceed $25,000 for five days extension; and WHEREAS, the District desires to extend the License Fee from 5 days to 10 days for a total amount not-to-exceed of $50,000; and WHEREAS, an additional appropriation of $25,000 from the Water Connection fund would be required for the additional cost of the License Fee and sufficient funds are available for appropriation; and NOW THEREFORE, BE IT RESOLVED by the Board of Directors of the Carlsbad Municipal Water District of Carlsbad, California, as follows: 1. That the above recitations are true and correct. 2. That the President is hereby authorized and directed to execute the First Amendment to the License to Enter with Greystone. Ill Ill I. 1 II 3. That the additional appropriation of $25,000 from the Water Connection Fee fund (SEAL) PASSED, APPROVED AND ADOPTED at a special meeting of the Carlsbad Municipal , 2000 by the Board Members Lewis, Hall, Finnila, Nygaard and Kulchin