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HomeMy WebLinkAbout3190; Mag Properties; 2003-0153044; Other, RECORDING REQUESTED BY WHEN RECORDED MAIL TO: City Clerk CITY OF CARLSBAD 1200 Carlsbad Village Dr. Carlsbad, CA 92008 DOC # 2003-0153044 FEE 3-09 2003 4:45 PM SPACE ABOVE THIS LINE FOR RECORDER'S USE AGREEMENT FOR CONSTRUCTION WITHIN THE CITY OF CARLSBAD, RANCHO SANTA FE ROAD REALIGNMENT AND WIDENING, PHASE 1, PROJECT NO. 3190 BETWEEN CITY OF CARLSBAD, A Municipal Corporation AND MAG PROPERTIES AGREEMENT BETWEEN THE CITY OF CARLSBAD AND MAG PROPERTIES FOR CONSTRUCTION WITHIN THE CITY OF CARLSBAD, RANCHO SANTA FE ROAD REALIGNMENT AND WIDENING, PHASE 1, PROJECT NO. 3190 THIS AGREEMENT, executed the am day of %%= , 2002 is by and between the CITY OF CARLSBAD, a municipal corporation, (“City”), and MAG PROPERTIES, a California General Partnership (“MAG”) (collectively The “Parties”). RECITALS A. MAG is in the process of seeking discretionary approvals from the City for developing that certain real property located in the City of Carlsbad, California generally described in Exhibit “A”, attached hereto and made a part hereof. B. The MAG property is located within the boundaries of a proposed Community Facilities District known as Community Facilities District No. 2 - Rancho Santa Fe and Olivenhain Road (“CFD 2”). MAG will be required to execute the City’s Petition, Waiver and Consent to Creation of a Community Facilities District and Agreement to Pay Fair Share, in connection therewith, (the “Petition”) to finance construction of Rancho Santa Fe Road as more particularly described therein and as required by any City conditions of approval to develop the MAG property. C. The Parties agree that the construction of Rancho Santa Fe Road is of great importance to both parties. The alignment of Rancho Santa Fe Road generally bisects the MAG property. D. The Parties agree that cost savings can be achieved by having portions of MAG’s obligations for Rancho Santa Fe Road, Phase I constructed as part of the City road construction project. E. The Parties acknowledge that Government Code Section 66485 allows the City to require a sub-divider to construct improvements benefiting property outside the subdivision; and in such circumstances, Section 66486 requires the City to enter into a reimbursement agreement for such improvements. The Parties intend that this Agreement satisfy the requirements of Government Code Section 66486. F. The Rancho Santa Fe Road realignment is a City project for which the City has collected, and will continue to collect, funds from the developers of projects located within the boundaries of the proposed CFD No. 2, as well as contributing Citywide CFD No. 1 Funds and financing from other governmental sources. For purposes of this Agreement the City’s financing program and resulting funds, whether collected prior to or after formation of the proposed CFD No. 2, are referred to herein as “Financing Program Funds.” NOW, THEREFORE, the City and MAG agree as follows: 1. Recitals. The Recitals are true and correct and incorporated herein by this reference. 2. Reimbursable Work. The portion of the MAG’s overall Rancho Santa Fe Road, Phase 1 Page 2 of 7 improvements which is the subject of this Agreement is hereafter referred to as the "Reimbursable Work." The Reimbursable Work is fully described in "Scope of Reimbursable Work and Cost Summary" attached hereto as Exhibit "B and made a part hereof, and generally consists of the construction of pavement and base for the outside twelve (12) feet of the roadway plus right turn lanes, the outside curb & gutters, median hardscape, storm drain inlets, joint utility trench, sleeves for electric conduits, sleeves for irrigation piping and controller wiring within the boundary of the Project, design costs to include these facilities in the City plans and specifications, project management and inspection, materials testing and project administration. Reimbursable work does not include any other expenses that MAG would not incur if MAG constructed the improvements under a private contract. 3. General Citv Obliqations. City shall prepare the necessary plans, specifications, and other design and bid documentation for Rancho Santa Fe Road, Phase 1 Work. These plans and specifications are identified as City of Carlsbad Project No. 3190, Drawing No. 368-2. City has obtained, or will obtain, all easements and rights-of-way required to complete construction of the work. City shall pay the expenses of inspections and environmental monitoring for the Phase 1 work directly from the Financing Program Funds and shall provide those services directly. City has obtained, or will obtain, all required environmental and other permits for the Phase 1 work. City agrees to process any environmental and other permits related to the Phase 1 work which may fall under City jurisdiction in a timely manner, and shall not unreasonably withhold or delay approval of any other permits needed for the Phase 1 work. During the performance of any Reimbursable Work, City shall retain detailed payment records for all items of Reimbursable Work. 4. General MAG Obliqations. (a) By entering into this Agreement, MAG waives any and all potential constitutional objections (Nolan/Dolan) relating to the Rancho Santa Fe Road, Phase 1 improvements. (b) MAG agrees to reimburse the City for the cost of constructing the reimbursable items as shown on Exhibit "B" at the issuance of the first building permit for any portion of the MAG property. 5. Biddinq. With respect to all hard costs of construction comprising the Reimbursable Work, City shall advertise for bids from reputable contractors. Reimbursable Work will be bid and contracted together with the Phase 1 work. Upon selection of the lowest responsible bidder, the costs thereof shall be allocated as necessary among the categories consistent with the method and process used in Exhibit "B". The Parties agree that Page 3 of 7 Exhibit "B" is a fair allocation of the costs under such contract as among the components of Reimbursable Work. Costs shown in Exhibit "B" are subject to modification through change orders consistent with Paragraph 6(e) of this Agreement. 6. Reimbursable Expenses. (a) Expenses for Reimbursable Work (including without limitation City's overhead and allowance permitted under Section 6(c) below) are referred to herein collectively as "Reimbursable Expenses." (b) MAG's reimbursement obligations hereunder shall be based upon the actual costs incurred by City in contracting for the Reimbursable Work (in addition to City's overhead and the allowances specified in Section 6(c) below). (c) Not withstanding anything herein to the contrary, in addition to the actual costs for Reimbursable work incurred by City, MAG specifically agrees that each of the following shall be deemed Reimbursable: (i) Proportionate share of costs paid by City for project management and inspection relating to the Reimbursable Work. (ii) Proportionate share of cost paid by City for materials testing for the reimbursable work. (iii) Proportionate share of cost paid by City for engineering construction support relating to the reimbursable work. (d) Reimbursable work will be deemed complete upon the City's receipt of all final lien releases, approvals, certificates, and City's approval of the construction punch list. 7. Payment of Reimbursable Expenses. (a) Payment of Reimbursable Expenses shall be made as specified in Section 4(b) above. (b) Except as noted in Section 7(a) above, payment of any Reimbursable Expenses under this Agreement shall not be reduced for fees or charges that may be payable as a condition of obtaining permits for the development of any portion of MAG properties or MAG's other projects. City shall not offset MAG's reimbursement under this Agreement against any other obligation of any person. (c) The City shall not unreasonably withhold, condition or delay acceptance of the Reimbursable Work. (d) The Parties agree that the sole source of reimbursement shall be MAG's funds. 8. Disputes/Claims. If a dispute should arise regarding the performance or interpretation of this Agreement, the following procedure shall be used to initially resolve any question of fact or interpretation not informally resolved by the parties. Such questions, if they become identified as a part of a dispute among persons operating under the provisions of this Agreement shall be reduced to writing by the principal of MAG or the Director. A copy of such documented dispute shall be forwarded to the other party involved along with proposed methods of resolution that would be of benefit to both parties. The Page 4 of 7 Director, or principal, upon receipt, shall reply to the letter, including a proposed method of resolution within ten (IO) days. If the proposed resolution is unsatisfactory to the aggrieved party, a letter outlining the dispute shall be forwarded to the City Council for their resolution through the office of the City Manager as soon as practicable. The City Council may, but is not obligated to resolve the dispute. If the City Council considers the dispute, and directs a solution, the action of the City Council shall be binding upon the parties for purposes of processing any Reimbursement Requests, provided however, nothing in this Agreement shall prohibit the parties from seeking remedies available to them at law or equity. 9. Assisnment of Contract. The City shall not assign this contract or any part thereof or any monies due hereunder without the prior written consent of the MAG, which consent shall not be unreasonably withheld, delayed or conditioned. IO. Notices. U nless o therwise s pecifically p rovided h erein, a II notices, d emands or other communications given hereunder shall be in writing and shall be deemed to have been duly delivered upon personal delivery, or by Federal Express (or similar reputable express delivery service), or by facsimile transmission with back-up copy mailed the same day, or as of the second business day after mailing by United States Certified Mail, return receipt requested, postage prepaid, address as specified herein. Notices required to be given to MAG shall be addressed as follows: Theodore A. Aroney 7750 El Camino Real, Suite 2G Carlsbad, CA 92009 and Betty L. Mabee and Larry Mabee Successor Co-Trustees of Mabee Family Trust Dated October 4, 2001 Mabee Properties 3838 Camino del Rio North, Suite 222 San Diego, CA 92108 Notices to City shall be delivered to the following: CITY OF CARLSBAD Engineering Department Attention: Public Works Director 1635 Faraday Avenue Carlsbad, CA 92008 I. MODIFICATIONS This Agreement may not be modified, amended, or otherwise changed unless by an amendment, in writing, executed by both parties. II. COUNTERPARTS This Agreement may be executed by The Parties in separate counterparts, each of which when so executed shall be an original, but all such counterparts shall constitute one and the same instrument. Ill. CHOICE OF LAW This Agreement shall be governed by the laws of the State of California and venue shall be proper in the San Diego Superior Court, North County Branch. IV. SEVERABILITY If o ne or m ore c lauses, sentences, paragraphs, p rovision o r terms of this Agreement shall be held unlawful, invalid, or unenforceable, it is hereby agreed by the Parties that the remainder of this Agreement shall not be affected thereby. V. HEADINGS The headings of articles and paragraphs of this Agreement are for convenience only, and no presumption or implication of the intent of the parties as to the construction of this Agreement shall be drawn therefrom. Ill Ill Ill Ill Ill Ill Ill Ill Page 6 of 7 * VI. COMPLETE AGREEMENT The forgoing constitutes the full and complete agreement of the parties. There are no oral understandings or agreements not set forth in writing herein. IN WITNESS WHEREOF, this Agreement is executed by City and MAG pursuant to action taken by the City Council of Carlsbad and the Partners of the MAG Partnership. MAG PROPERTIES, a California General I ATTES * &a/l$YmL \I I - L#rraine M. Wood, City Clerk If required by City, proper notarial acknowledgement of execution by contractor must be attached. If a Comoration, Agreement must be signed by one corporate officer from each of the following two groups. *Group A Chairman, President, or Vice-president **Group B Secretary, Assistant Secretary, CFO or Assistant Treasurer Otherwise, the corporation attach a resolution certified by the secretary or assistant secretary under corporate seal empowering the officer(s) signing to bind the corporation. APPROVED AS TO FORM: RONALD R. BALL, City Attorney Page 7 of 7 State of County of Sm b >mo On xvlhcU- I \ 200. before me, AIY]CLnd& st P %% rl't5 k CJ Name and Title oi Omcar (e.g..fiane Doe. Notary Puolic") personally appeared ~nr~. A. Amnad 8 0 personally known to me - OR - proved to me on the basis of satisfactory evidence to be the person& Nbma(s) of Signer@) P whose narneMis/&&qsubscribed to the within instrument and acknowledged to me that he/- executed the same in hislh&ib& authorized capacity(W, and that by hisibshetr signatureo-on the instrument the person(% or the entity upon behalf of which the person(s) acted, executed the instrument. WITNESS my hand and official seal. >. . .I CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT State of California Name and Tltle of Officer (e.g , "Jane Doe, Notary Publi') personally appeared Be- La \Wcxbe- d Name@) of Slgner(s) mrsonally known to me 0 proved to me on the basis of satisfactory to be the person!&'whose name# is/&& subscribed to the within instrument and acknowledged to me thatJMsheltb@ executed the same in PISlher/ttJefr authorized capacity(M), and that by plslherl~ signaturem on the instrument the person(,$ or the entity upon behalf of which the personj0f acted, executed the instrument. WITNESS my hand and official seal. Azbuaw%"- Signature of Notary Publlc Though the information below is not required by law, it may prove valuable to persons relying OR the document and could prevent fraudulent removal and reattachment of this form to another document. Description of Attached Document Title or Type of Document: Document Date: Signer(s) Other Than Named Above: Capacity(ies) Claimed by Signer Corporate Officer - Title(+: Partner - 0 Limited 0 General 0 Attorney-in-Fact Signer Is Representing: 0 1999 Nallonal Notary Associallon 9350 De Solo Ave , P.0. Box 2402 - Chatsworih. CA 91313-2402 * w.natlonalnolary.org Prod. No. 5907 Reorder: Call Toll-Free 1-800-876-6627 EXHIBIT “A” MAG PROPERTY DESCRIPTION THAT PORTION OF SECTION 31, TOWNSHIP 12 SOUTH, RANGE 3 WEST, SAN BERNARDINO MERIDIAN, IN THE CITY OF CARLSBAD, COUNTY OF SAN DIEGO, STATE OF CALIFORNIA, ACCORDING TO OFFICIAL PLAT THEREOF, AS DESCRIBED AS PARCEL “A OF CERTIFICATE OF COMPLIANCE RECORDED RECORDS, CERTIFICATE OF COMPLIANCE RECORDED JULY 2, 1982 AS LAND AS DESCRIBED IN QUITCLAIM DEED TO MAG PROPERTY RECORDED PARCEL “B” OF LAND AS DESCRIBED IN QUITCLAIM DEED TO MAG PROPERTY RECORDS. DECEMBER 15, 1989 AS DOCUMENT NUMBER 89-680019 OF OFFICIAL DOCUMENT NUMBER 82-207275 OF OFFICIAL RECORDS, THAT PORTION OF JANUARY 30, 2002 AS FILE NO. 2002-0079623 OF OFFICIAL RECORDS AND RECORDED JANUARY 30, 2002 AS FILE NO. 2002-0079622 OF OFFICIAL ,. EXHIBIT "B" "SCOPE OF REIMBURSABLE WORK AND COST SUMMARY" RANCHO SANTA FE ROAD NORTH, PHASE 1 CITY/MAG I Subtotal Schedules $3,081,370 $ 312,225 Contingency 10% Total Schedules Inspection & Testing 12% Contract Administration 2% Construction Support 5 yo TOTAL $ 308,137 $3,389,507 $ 406,741 $ 67,790 $ 169,475 $ 17,172 $4,03331 3 $ 408,703 NOTES 1 Schedules and Item No.'s refer to Bid Schedules for Rancho Santa Fe Road, Phase 1, Project No. 3190-1 2 Unit Costs to be updated from City accepted Bid. 3 Inlet costs are split 50/50 between City & MAG. Prepared: August 26,2002 Rev.: October 22, 2002 By: Helming Engineering, Inc. Page 1 of 1