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HomeMy WebLinkAbout2009 04-21 CC CDC AGENDA PKTAgenda Of A Regular Meeting - National City City Council / Community Development Commission of the City of National City Council Chambers Civic Center 1243 National City Boulevard National City, California Regular Meeting - Tuesday — April 21, 2009 — 6:00 P.M. Open To The Public Please complete a request to speak form prior to the commencement of the meeting and submit it to the City Clerk. It is the intention of your City Council and Community Development Commission (CDC) to be receptive to your concerns in this community. Your participation in local government will assure a responsible and efficient City of National City. We invite you to bring to the attention of the City Manager/Executive Director any matter that you desire the City Council or Community Development Commission Board to consider. We thank you for your presence and wish you to know that we appreciate your involvement. ROLL CALL Pledge of Allegiance to the Flag by Mayor Ron Morrison Public Oral Communications (Three -Minute Time Limit) NOTE: Pursuant to state law, items requiring Council or Community Development Commission action must be brought back on a subsequent Council or Community Development Commission Agenda unless they are of a demonstrated emergency or urgent nature. Upon request, this agenda can he made available in appropriate alternative formats to persons with a disability in compliance with the Americans with Disabilities Act. Please contact the City Clerk's Office at (619) 336-4228 to request a disability -related modification or accommodation. Notification 24-hours prior to the meeting will enable the City to make reasonable arrangements to ensure accessibility to this meeting. Spanish audio interpretation is provided during Council and Community Development Commission Meetings. Audio headphones are available in the lobhy at the beginning of the meetings. Audio interpretacion en espaiiol se proporciona durante sesiones del Consejo Municipal. Los audiofonos estan disponibles en el pasillo al principio de la junta. Council Requests That All CeII Phones And Pagers Be Turned Off During City Council Meetings COPIES OF THE CITY COUNCIL OR COMMUNITY DEVELOPMENT COMMISSION MEETING AGENDAS AND MINUTES MAY BE OBTAINED THROUGH OUR WEBSITE AT www.nationalcityca.gov CITY COUNCIL/COMMUNITY DEVELOPMENT COMMISSION AGENDA 4/21/2009 - Page 2 PROCLAMATION 1. Proclaiming the month of April, 2009 as: "CHILD ABUSE PREVENTION MONTH" PRESENTATIONS 2. Employee of the Month of April, 2009: Jane Gordon, Animal Regulations Officer. 3. Presentation — Second Hand Smoke and Solutions in National City - South Bay Youth 4 Change. 4. Budget Neutral Solutions for Energy Conservation and Comprehensive Facilities Improvement. (Public Works) CITY COUNCIL CONSENT CALENDAR Consent Calendar: Consent calendar items involve matters, which are of a routine or noncontroversial nature. All consent calendar items are adopted by approval of a single motion by the City Council. Prior to such approval, any item may be removed from the consent portion of the agenda and separately considered, upon request of a Councilmember, a staff member, or a member of the public. 5. Approval of the Minutes of the Regular City Council/Community Development Commission Meeting of March 17, 2009. (City Clerk) 6. Resolution of the City Council of the City of National City accepting the lowest, responsive, responsible bid for one Vermeer 12" drum chipper, from Vermeer Pacific in the amount of $26,175.38. (Finance/Purchasing) 7. Resolution of the City Council of the City of National City authorizing the Mayor to execute an Agreement with PBS&J to provide the City with sewer bill/tax roll administration and financial services for Fiscal Year 2009-10 in the "not to exceed" amount of $45,867. (Funded through Sewer Service Fees) (Public Works) CITY COUNCIL/COMMUNITY DEVELOPMENT COMMISSION AGENDA 4/21/2009 - Page 3 CONSENT CALENDAR (Cont.) 8. Resolution of the City Council of the City of National City approving Change Order No. 40 in the amount of $16,981.33 with M.A. Stevens Construction for the National City former Library Remodel Project and authorizing the Mayor to execute the Change Order. (Funded though Tax Increment Funds). (Engineering) 9. Resolution of the City Council of the City of National City approving an Amendment to the contract between the City and . Dokken Engineering (the consultant) in the not -to -exceed amount of $20,000 for Plaza Boulevard Widening and authorizing the Mayor to execute the Amendment. (Funding through Federal STP, Local TransNet and Capital Outlay Funds) (Engineering) 10. Resolution of the City Council of the City of National City awarding a contract to MJC Construction Company in the amount of $84,722.00 for Phase 2 (Furnishings) of the National City remodeling and renovation of the Parks and Recreation Facilities Project. (Funded through General Funds). (Engineering) 11. Resolution of the City Council of the City of National City accepting the Certified Environmental Impact Report for the San Diego Regional Enterprise Zone (SDREZ) and approving the San Diego Regional Enterprise Program. (Community Development/Housing and Grants) **Companion Item #23** 12. Resolution of the City Council of the City of National City authorizing the 30-day review and public comment of the National City Police Department's grant application for $222,511 from the 2009 Edward Byrne Memorial Justice Assistance Grant (JAG) Program without matching funds toward the possible purchase of police vehicles, electronic police vehicles, in vehicle cameras, firing range retrofit, vehicle tracking system, video surveillance vehicle, cameras, video projectors, County law enforcement projects and a mobile CAD system for the Police Department. (Police) CITY COUNCIL/COMMUNITY DEVELOPMENT COMMISSION AGENDA 4/21/2009 - Page 4 CONSENT CALENDAR (Cont.) 13. Resolution of the City Council of the City of National City authorizing the 30-day review and public comment of the National City Police Department's Grant Application for $100,000 from 2009 Citizen's Option for Public Safety Grant (COPS) Program without matching funds towards the purchase of personal electronic police vehicles, firing range retrofit, vehicle tracking system, video surveillance vehicle, Personal Protection Equipment (PPE), specialty coats, lap top computers, cameras, County law enforcement projects and a mobile CAD system utilizing $100,000 from the 2009 Citizens' Option for Public Safety Grant (COPS) Program. (Police) 14. WARRANT REGISTER #38 Warrant Register #38 for the period of 03/11/09 through 03/17/09 in the amount of $681,496.72. (Finance) 15. WARRANT REGISTER #39 Warrant Register #39 for the period of 03/18/09 through 03/24/09 in the amount of $2,259,448.13. (Finance) 16. WARRANT REGISTER #40 Warrant Register #40 for the period of 03/25/09 through 03/31/09 in the amount of $226,813.87. (Finance) PUBLIC HEARINGS 17. Public Hearing — An Amendment to the National City Municipal Code Chapter 18.62 and Local Coastal Program Implementation Document Section XII pertaining to signs and outdoor advertising. (Applicant: City initiated) (Case File No. 2007-41 A, LCP) (Planning/City Attomey) 18. Public Hearing — Amendment to the Harbor District Specific Area Plan of the Local Coastal Program pertaining to signs. (Applicant: MRW Group, LLC. Case File No. 2009-2 LCPA) (Planning Division) CITY COUNCIUCOMMUNITY DEVELOPMENT COMMISSION AGENDA 4/21/2009 - Page 5 PUBLIC HEARINGS (Cont.) 19. Public Hearing — Fiscal Year 2008-2009 Annual Action Plan Amendment No. 2: Funding Cycle for the CDBG-R Program — Public Hearing No. 2 (Community Development/Housing and Grants Division) **Companion Item #21** 20. Public Hearing — Fiscal Year 2009-2010 Annual Action Plan: Funding cycle for the CDBG and HOME Programs — Public Hearing No. 4 (Community Development/Housing and Grants Division) **Companion Item #22** NON CONSENT RESOLUTIONS 21. Resolution of the City Council of the City of National City approving the Fiscal Year (FY) 2008-2009 Annual Action Plan Amendment No. 2 for the Community Development Block Grant Program funded by the American Recovery and Reinvestment Act of 2009 (CDBG-R). (Community Development/Housing and Grants Division) **Companion Item #19** 22. Resolution of the City Council of the City of National City approving the Fiscal Year (FY) 2009-2010 Annual Action Plan for the Community Development Block Grant (CDBG) and the HOME Investment Partnership Act (HOME) Programs. (Community Development/Housing and Grants Division) **Companion Item #20** NEW BUSINESS 23. Consideration of approval by the City Council of the City of National City of the San Diego Regional Enterprise Zone boundary modifications in the City of San Diego. (Community Development/Housing and Grants Division) **Companion Item #11 ** 24. Temporary Use Permit — San Diego Tijuana Border Initiative's Cinco de Mayo con Orgullo Para la Familia, May 2, 2009 from 11:00 a.m. to 5:00 p.m. at Kimball Park. This event is a National City co -sponsored event (Council Policy #804) and is eligible for a maximum fee reduction of $1,500.00. (Neighborhood Services) CITY COUNCIL/COMMUNITY DEVELOPMENT COMMISSION AGENDA 4/21/2009 - Page 6 NEW BUSINESS (Cont.) 25. Temporary Use Permit — National City Certified Farmers' Market every Wednesday on E. 9►h Street, between A Avenue and B Avenue from 2:00 p.m. to 6:00 p.m., starting on May 6, 2009 with no waiver of fees. The applicant requests the approval of this TUP for one full year. (Neighborhood Services) 26. Temporary Use Permit — National City Chamber 'of Commerce's Taste of National City on May 7, 2009 at Heritage Square from 5:00 p.m. to 8:00 p.m. This is a National City co -sponsored event eligible for a $1,500 fee waiver. The applicant requires the use of a City stage. (Neighborhood Services) 27. Request to use the Granger Music Hall by the family of former Mayor Kile Morgan for a reception in the memory of former Mayor Kile Morgan on Friday, April 17, 2009 from 11 am to 4 pm. (Community Services) 28. Request to use the Martin Luther King, Jr. Community Center by Mana San Diego for their annual "Dia De La Mujer Latina Health Festival" on Saturday, May 2, 2009. (Community Services) 29. Request to use the Martin Luther King, Jr. Community Center by South Bay Community Services for their "Foster Care and Families as Partners Conference" on Tuesday, May 19, 2009. (Community Services) 30. Request to use the Martin Luther King, Jr. Community Center by the American Lung Association for their Community Forum on Smoke Free Apartments on Friday, May 29, 2009. (Community Services) 31. City of National City Comprehensive Annual Financial Report and the Single Audit Report on Federal Awards for the Fiscal Year Ended June 30, 2008. (Finance) COMMUNITY DEVELOPMENT COMMISSION CONSENT CALENDAR 32. Authorize the reimbursement of Community Development Commission expenditures in the amount of $29,727.97 to the City of National City for the period of 03/11/09 through 03/17/09. (Finance) CITY COUNCIL/COMMUNITY DEVELOPMENT COMMISSION AGENDA 4/21 /2009 - Page 7 CONSENT CALENDAR (Cont.) 33. Authorize the reimbursement of Community Development Commission expenditures in the amount of $940,007.70 to the City of National City for the period of 03/18/09 through 03/24/09. (Finance) 34. Authorize the reimbursement of Community Development Commission expenditures in the amount of $3,983.09 to the City of National City for the period of 03/25/09 through 03/31/09. (Finance) 35. Resolution of the Community Development Commission (CDC) of the City of National City approving a Disposition and Development Agreement with San Diego Habitat for Humanity Incorporated for the affordable housing project to be located at 1441 Harding Avenue. (Community Development/Housing and Grants Division) NEW BUSINESS STAFF REPORTS MAYOR AND CITY COUNCIL ADJOURNMENT Next Regular City Council and Community Development Commission Meeting - Tuesday — May 5, 2009 - 6:00 p.m. — Council Chamber - National City. ITEM #1 4/21/09 CITY OF NATIONAL CITY Y(1a/inatiO-1?/ WHEREAS, the public cares deeply about child abuse, and a majority states that child abuse is a very important moral issue to them; and WHEREAS, preventing child abuse and neglect is a community problem that depends on involvement among people throughout the community; and WHEREAS, child abuse and neglect not only directly harms children, but also increases the likelihood of long-term physical and mental health problems, alcohol and substance abuse, continued family violence and criminal behavior; and WHEREAS, child maltreatment occurs when people find themselves in stressful situations, without community resources, and don't know how to cope; and WHEREAS, the majority of child abuse cases stem from situations and conditions that are preventable in an engaged and supportive community; and WHEREAS, child abuse and neglect can be reduced by making sure each family has the support they need in raising their children in a safe, nurturing environment; and WHEREAS, effective child abuse prevention programs succeed because of partnerships created among social service agencies, schools, faith communities, civic organizations, law enforcement agencies and the business community. THEREFORE, as Mayor and City Council, by virtue of the authority vested in us by the City of National City, do hereby proclaim the month of April, 2009 as: CHILD ABUSE PREVENTION MONTH We call upon all citizens of National City to increase their participation in our efforts to support families, thereby preventing child abuse and strengthening the communities in which we live. Al J., 'ra Sot -Solis Vice Mayor 441 Rosalie G. Councilwo Ron Morrison Mayor Francisco "Frank" Parra Councilmember L J Jess Van Deventer Councilmember RECEIVED MAR 3 0 200g. CALIFORNIA —0 NATIONAL ory MEMORANDUM March 26, 2009 TO FROM SilBJECF Chris Zapata. City Manager Stacey Stevens( EMPLOYEE an Resources Director ITEM #2 4/21/09 THE MONTH PROGRAM The Employee of the Month Program communicates the City's appreciation for outstanding performance. In doing so, it recognizes employees who maintain high standards of personal conduct and make significant contributions to the workplace and community. The employee to be recognized in April 2009 is Jane Gordon, Animal Regulations Officer By copy of this memo, the employee is invited to attend the Council meeting on Tuesday, April 21, 2009 to be recognized for her achievement and service. Attachment cc: Jane Gordon Chief Adolfo Gonzales Sergeant Randy Bishop Dionisia Trejo — Mayor/Council Office Josie Flores -Clark — Confidential Assistance Human Resources — Office File SS:Igr Performance Recognition Program (2) Human Resources Department 140 E. 12'h Street, Suite A, National City, CA 91950-3312 619/336-4300 Fax 619/336-4303 www.nationalcityca.gov to 09-14/RB NATIONAL CITY POLICE DEPARTMENT ANNOUNCEMENT DATE: March 24, 2009, TO: All Personnel FROM: Adolfo Gonzales, Chief of Police SUBJECT: Employee of the Month — Jane Gordon I am proud to announce the Employee of the Month Committee has selected Animal Regulations Officer (ARO) Jane Gordon as the Employee of the Month for April 2009. Jane is being recognized for her resourcefullness, tenacity and commitment to the community. For over two years, ARO Gordon has worked as the sole Animal Regulations Officer in the City. A snapshot of Gordon's activity for the 2008 calendar year includes: 2500 calls for service, 1500 animals impounded, 168 dead animals removed, 44 animal bite quarantines and 129 notices to appear issued. These numbers do not include animal related noise complaints or other miscellaneous calls for service. Jane is also responsible for ensuring that the City meets legal mandates to offer low cost rabies vaccination clinics to residents and acting as the liaison with the Department's contract veterinarian and animal shelter provider. Despite the demands placed on her, Jane displays an incredible amount of enthusiasm for her job and compassion for the wellbeing of the animals she comes into contact with. ARO Gordon maintains excellent working relationships with her peers, police officers, supervisors, civilian staff and all of the allied jurisdictions. She displays a high level of job interest and is always willing to assist other officers needing assistance during the course of their duties. Jane frequently provides training to police officers regarding ARO procedures and other insights into animal behavior during shift briefings ARO Gordon has shown remarkable resiliency in her performance during this difficult and demanding period. Her work ethic, morale and dedication to duty are an example to everyone who has the opportunity to work along side her. On behalf of the National City Police Department, I commend ARO Jane Gordon for her commitment to the community, resourcefulness and excellent work. Please read at squad briefings Item #3 4/21/09 Presentation Second Hand Smoke and Solutions in National City - South Bay Youth 4 Change - Helping to create healthier and safer neighborhoods for youth and families. 1 The National City restaurant scene is key to the city's image. With over 200 restaurants ranging from -Fine dining -Ethnic restaurants -Fast food Over 50 of National City restaurants include outdoor dining options for their customers. Sources: National City Planning Departatent. sNC G, wtSwl city Chamber a Co ovane, wt4rICRYC. . 2 In 2006 the California Air Resources Board identified second hand smoke as a Toxic Air Pollutant South Bay Air Quality January 2007 Daily Average: 28 The EPA considers measurements above 201 to be 'Very Unhealthy' People with respiratory or heart disease, the elderly and children should avoidany outdoor activity, everyone else should avoid prolonged exertion. Air Quality in Outdoor Dining Settings when exposed to second hand smoke Have been measured to reach minimum levels of: 285 285 Source: 20 7 Tobacco SOrdke.me, Stanton! Outdoor Tobacco Smoke Study Stanford U.MMy 21107 ptcytiatitti cWOak altS SM V llaa1mUe AM OM, Ades 440e1- Peas,. Pnllwlon Indee Lem* CO.u.nnOry Valves Slwm.,.n Concern MINIMINIMIIIMENSIEMENUME lAwfved, se-sh ie "Po aOo SI. MO. Modem. O.,de. e�anO poke..... or homy MMLOn 301500 c, 6112.0 rare seu..a. and ctsdren nolef L.,/Cnn • Co, homy P 51 , h Is: e p Y 4n1 rcvnty • 0,3 Lwvycna P q:nwlh boot :dns a :case, older .Mass and coodrm wed rorn,,,l.nda»m IIy-ache a:d keoP.xwsy love l•.crydl. • w,0 ;hood rA MYvcol.inky •widoerz. \'Urmay Smoke free ordinances have been shown to reduce asthma -related emergency room visits A 2008 study conducted in Lexington County, Kentucky compared pre and post rates of asthma -related emergency room visits after implementation of smoke -free ordinances and found that: The rate for asthma - related visits for children declined by 18% The rate for asthma - related visits for adults declined by 24% 3 National City is a Leader in Outdoor Smoke Free Ordinances In 2005 National City adopted Smoke Free Parks and Recreation Facilities (June 2005) Source: Smoke -free S. ONp.ots Smoke -free outdoor dining in National City With an average of 258 sunny days per year outdoor dining is very appealing in National City. 9 Many customers Et families consider outdoor dining to be the "Best seat in the house." 9 Smoke free outdoor dining policies protect employees 8 customers from "forced" exposure to second hand smoke. 9 8 out of 10 South Bay residents would support restrictions that prohibit smokingg Wing on restaurant patios. (2009 Outdoor Mini Survey conducted by rs laeasxed based m on responses froma sampled 3 residents n! In National Hy, Imperial Beach, Chula Vista and San Mego ) 4 Smoke Free Outdoor Dining Project Update • Presentations to Neighborhood Councils: Old Town, Northside, Granger, Eastside Community Customer Surveys • Business Owner Surveys Community Leader Surveys + Working with National City Chamber of Commerce, discussing survey results and health benefits of smoke -free outdoor dining 5 ITEM #4 4/21/09 Rising operating costs Reduced funding for new infrastructure investments Escalating energy costs Aging infrastructure Building maintenance and asset base and operations issues Sustainability and Going "Green" Budget Cuts Environmental policies • What we have done: — Site Audits and Staff Interviews — Utility Bill Analysis — Built on previous project and 14 yr relationship • What we found: — Very Efficient Facilities — Effective Maintenance — Over $186,000 in additional savings opportunities 40+ yr old Civic Center Boilers The National City Public Works and Facilities teams are doing a great job maintaining energy efficient facilities even with very old equipment! • Challenges City Budget — Excess Utility Spending — Escalating Utility Costs — Increased Maintenance and Service Costs • Aging Infrastructure — Catastrophic failure is imminent — Equipment operating well beyond the expected service life 40+ yr old Civic Center Chiller Infrastructure upgrades are needed to maintain safe, secure, comfortable, productive and energy efficient City facilities r1' Honeywell has identified over $186,000 in annual savings to fund $2.1M of infrastructure improvements requiring no upfront capital investment Before Program Term Operating Budget During Program Term Operating Budget After Program Term Operating Budget Operating Operating Operating Funds Funds Funds 4 it % Y Savings Savings Utility Budget Utility Budget investment men UtilityBudget Investment g -Light -Lights -Modernization -Lights -Modernization Air Conditioning -Air Conditioning _Energy Retrofits -Air Conditioning -Energy Retrofits Heating - Heating - Heating Ventilation Upgrades Chiller Compliance & Efficiency Mechanical Retrofits Building Management System Air Quality Improvement Utilities Auditing ater anagement On -Site Technical Resource Management • Building Controls Upgrades • HVAC System Upgrades • Irrigation System Upgrades • Lighting Upgrades • Municipal Wi-Fi Solutions • Solar PV & Pool Heating • Street Lighting Upgrades A Bundled Solution stretches investment dollars and allows the City to implement solutions that are typically deferred due to long payback • Financed 15 yr Budget Neutral Comprehensive Solution — Sustainable Infrastructure Improvements funded by identified savings through an Energy Savings Performance Contract (ESPC) • $2.1M in identified facility infrastructure improvements — Scope includes Street Lighting, Irrigation, Municipal Wi-Fi and infrastructure upgrades at 11 National City Facilities: • Camacho Gym • Casa de Salud • Civic Center • El Toyon Rec. Center • Fire Station 31 • Kimball Rec. Center • MLK Community Center • Municipal Pool • Police Department • Public Works • Senior Center Enabling Legislation allows City to use CA Code 4217 to leverage valued long-standing Honeywell relationship and streamline contractual process Draft'- • Requires no upfront capital investment • Saves -24% of City's Annual Utility Expenditures • Estimated Total Annual Savings: $186,890 — Estimated Annual Energy Cost Savings: $148,265 — Estimated O&M Savings and Capital Cost Avoidances: $38,625 • Estimated Available Utility Incentives: $53, 700 A fiscally responsible solution addressing the City's aging infrastructure needs that requires no upfront capital, no new taxes and no new bond measures RECOVERYoov • Energy Efficiency and Conservation Block Grants — Administered by the Department of Energy (DOE) — Applications due June 25, 2009, 8:OOPM EST — National City Eligible for $561,700 • Wireless and Broadband Grants — Administered by the National Telecommunications and Information Administration (NTIA) — Potential to receive funding for 100% of Municipal Wi-Fi project The DOE and EPA encourage Energy Savings Performance Contracts best practices and legislation to leverage available stimulus dollars -Draft'- • Budget Neutral Solution — Annual Savings pay for new equipment and infrastructure upgrades — Requires no capital outlay, no tax increases and no bond measures • Mitigated Risk — Honeywell Guarantees Performance and Savings — Honeywell pays City if savings fall short on guarantee • Not just about energy savings and facilities upgrades — Environmental Stewardship — Improved safety and security — Reduced Operations and Maintenance costs Responsible and Sustainable fiscal management of taxpayer dollars Reduces Carbon Footprint with Environmental Benefits equivalent to: • 466 metric tons of avoided Green House Gas Emissions • 654,000+ kWh of electricity saved • Diverting 161 tons of waste • Planting 106 acres of pine forests • Removing 85 cars off the road 12 - Draft • Fiscal Sustainability — Budget Neutral Solution — No Upfront Capital Necessary • Comprehensive Development — Achieves Comprehensive Infrastructure Investment at Multiple City Facilities • Support Green Building — Lower Carbon Footprint — Reduced Emissions • Builds on Success — Continuation of successful 14 yr Honeywell ESPC and services relationship • Leverage Proven Relationship — Valued 14 yr services track record — Previous National City ESPC (1994-2002) • Delivered $1.5M+ in savings guarantees • Delivered $199k+ in excess of guarantees • Single Source Solutions Provider — Streamlined Contractual Process • Time Tested Proven Experience — Pioneered ESPC concept 25+ years ago — Over $4B in delivered guaranteed energy savings to Honeywell customers Honeywell awarded Frost & Sullivan's 2008 Energy Service Company of the Year for Green Excellence 14 - Draft = ACTION PLAN 1. City Council Concept Presentation Y Signed Letter of Intent 2. Investment Grade Audit (IGA) ➢ Technical Energy Audit & Project Scope ➢ Solutions Development Workshops 3. City Council Presentation / City Resolution > Final Contract Negotiations ➢ Final Contract Approval 4. Installation, Commissioning & Training 5. Ongoing Monitoring, Services & Support TARGET DATE 21-APR-09 (8-12 weeks) (2-3 weeks) TBD TBD • Recommended Infrastructure Improvements • Estimated Annual Energy Cost Comparison • Sample Financed 15 Year Budget Neutral Solution • Honeywell Sustainability Commitment • Honeywell References • City of Perris Case Study • Full Preliminary Energy Audit Report Available Upon Request — Delivered to National City, January 14, 2009 16 - Draft - ECM , Description EnergySavings 1.0 Lighting Upgrade — Multiple Facilities $41,099 2.0 Chiller Replacement — Civic Center $9,961 2.1 Premium Efficiency Motor Replacement for Various Pump Motors — Civic Center $223 2.2 Cooling Tower Replacement with Variable Frequency Drives (VFD) — Civic Center $2,097 2.3 Primary -Secondary Pumping System Installation — Civic Center $105 3.0 Boiler Replacements — Civic Center $327 3.1 Boiler Replacement — Police Department $616 4.0 Variable Air Volume (VAV) Retrofit — Civic Center $7,622 5.0 Variable Frequency Drive (VFD) Installation — Police Department $26,244 6.0 Rooftop Package Unit Replacements —Multiple Facilities $4,731 7.0 Electric Duct Heater Conversion to Natural Gas - Police Department $5,965 8.0 Building Automation System (BAS) Installation — Multiple Facilities $7,481 9.0 Solar Thermal System Installation — Municipal Pool $25,800 10.0 Street Lighting Upgrade $15,996 11.0 Solar Photovoltaic (PV) System Installation TBD Total Identified Energy Savings S146,265 All recommended infrastructure improvement measures have been determined in partnership with the National City Public Works and Facilities Maintenance Team Baseline Energy Costs Proposed Energy Costs (Facilities + Evaluated Street Lights) Post Upgrade Honeywell guarantees savings and will pay the City if savings fall short 18 - Draft-- Totallnnestment: $2,180,401 Construction Finance Cost. $93,305! Utility InceMrves: 557,300; ;Total Amount to Finance: $2,216,406; :.Analysis Term: 15 years; ;Annual Payments: 1 Nominal Interest Rate i 5.60%' Energy Escalation Rate: 3.00%; O&M Escalation Rate: 1 3_00%1 ear Budget Neu'tra! Solution Redirect inefficient utility and operational expenditures towards needed energy efficient and sustainable infrastructure improvements Year Annual Energy Savings Annual O&M Savings Total Annual Savings Annual Service/118N Payment Annual Available Aril for Loan Interest Payment Principal Payment Actual Annual Loan Payment Balance Installation $20,000 80 $20,000 $10.000 $57,300 50 $57.300 $57,300 $2,216,406 1 $148,265 $38,627 8186,892 50 $186,891 8124,119 $62,772 $186,891 $2,153,633 2 $152,713 $39,786 $192,499 50 $192,498 $120,603 $71.894 $192,498 $2,081,739 3 $157,294 $40,979 $198,274 50 $198,273 $116,577 $81,695 $198,273 $2,000,044 4 $162,013 $42,209 $204,222 50 $204,221 $112,002 $92,218 $204,221 $1,907,825 5 $166,874 $43,475 5210,349 50 $210,348 8106,838 5103.509 $210,348 $1,804,316 8 $171,880 $44,779 $216,659 50 $216,658 $101,042 $115,616 $216,658 $1,888,699 7 $177,036 546,123 $223,159 50 5223,158 $94,567 $128,591 $223,158 $1,560.109 a $182,347 $47,506 $229,854 50 $229,853 $87,366 $142,486 $229.853 $1,417,622 9 $187,818 $48,932 $238,749 50 $236,748 579,387 $157,361 5236,748 $1.260,261 10 $193,452 $50,399 $243,852 50 $243,851 570,575 $173,276 $243,851 $1,086,985 11 5199,256 $51,911 $251,167 $0 5251,166 560,871 5190,295 5251,166 $898,690 12 5205,233 $53,459 $258,702 $0 5258.701 $50,215 $208,487 $258,701 $688,203 13 $211,390 $55,073 $266,463 50 $266,462 $38,539 5227,923 $266,462 $460,280 14 $217,732 $56,725 $274,457 50 $274,456 $25,776 5248,681 $274,456 $211,600 15 5224,264 $58,427 5282,691 50 $282.690 $11,850 $211.600 $223,449 SO Totals $2,777,568 $718,420 83,495,988 $10,000 $3,533,273 $1,200,327 82,273,705 53,474,033 • Honeywell has established 5-year greenhouse gas and energy efficiency objectives for its intemal operations 41. From a 2004 baseline, by 2012, Honeywell will: • Reduce its greenhouse gas emissions by 30 % • Increase its energy efficiency by 20 percent rate -Nearly 50% of our product portfolio companywide Is linked to energy efficiency. We estimate the global economy could operate on 10-25% less energy just by using today's existing Honeywell technologies." 5 Honeywells Potential Impact on Energy Demand I and GHG Emissions Honeywell Joins Clinton Climate Initiative Global Effort Will Help Cities Address Climate Change by Improving Energy Efficiency tic i..__,_..._-__. L•S. Ener5y Cexand 115 --- 5s- U 5 =.:1n H3nr;..1.1! Tr s 75 2.2. 2010 :515 2C20 2305 2505 e.es,Mres. 6.. ENUI.ar hewn Reb0N.J Sax, Green Technologies %Mai Neat In a tries el Surtimile 1.411om I® IEEE P.n. INFO ea+ Energy Eledency Projects Renewable Propels .4,44 e..•elalsod l� ▪ ems ▪ N� MOWN ..-wr rrme. ammo* }or e,.rr Noma IBM 20 - Draft - Honeywell CA Municipal Customers • City of Antioch • City of Cathedral City • City of Commerce • City of Gilroy • City of Hawthorne • City of Huntington Park • City of Irvine • City of Los Angeles • City of Manhattan Beach • City of Monrovia • City of Monterey Park • City of National City • City of Norwalk • City of Perris • City of Pico Rivera • City of Rosemead • City of Santa Clarita • City of Twenty -Nine Palms Honeywell is a proud to be a California League of Cities League Partner Platinum Sponsor ra1 !eal World Results • Solution: — HVAC upgrades — Lighting retrofits — Programmable Thermostats — Solar • Results: — $1.8M in Savings — 20% of City's electrical need — CO2 Reduced - 960,000 Ibs/yr — Single Source Solution — Received 2008 League of CA Cities Helen Putnam Award for Excellence for Planning and Environmental Quality of Perris "The end result is a better place to live without a larger budget" — Mark Yarbrough, City of Perris Councilmember 22 - Draft ITEM #5 4/21/09 Approval of the Minutes of the Regular City Council/Community Development Commission Meeting of March 17, 2009. - City Clerk - City of National City, California COUNCIL AGENDA STATEMENT \.►dIEETING DATE April 21. 2009 AGENDA ITEM NO. 6 ITEM TITLE Resolution accepting the lowest, responsive, responsible bid, for one Vermeer 12" Drum Chipper, from Vermeer Pacific, in the amount of $26,175.38. PREPARED BY EXPLANATION Debbie Lunt (x4582) DEPARTMENT Finance -Purchasing Request for Bid #GS0809-3 was issued for the purchase of one (1) 2009 Vermeer 12" Drum Chipper BC1000XL, or equal. Bids were mailed to ten (10) vendors, netting four (4) responses. Bids were opened and publicly read on April 1, 2009, with no vendors present for the opening. Vermeer Pacific offered the lowest, responsive, responsible bid in the amount of $26,175.38. The fiscal year 2008-2009 Vehicle Capital Improvement Program was prepared by Public Works and presented to, and adopted by, Council June 17, 2008. This program contained recommended replacements of existing police patrol sedans, construction equipment and other various vehicles. One of the vehicles approved by Council was a Drum Brush Chipper that must be replaced because it no longer complies with the State and County Air Quality Standard. The replacement cost of $26,175.38. Environmental Review Ni N/A Financial Statement Funds are available in the FY09 vehicle C.I.P. budget Approved By: Finance'Director /JY Account No 643-422-224-511 STAFF RECOMMENDATION In concurrence with the Public Works Director, it is recommended that the award be made to Vermeer Pacific, and that authority be give to iss resul g Purchasing Order. BOARD / COMMISSION RECOMMENDATION N/A ATTACHMENTS ( Listed Below) Resolution No. 7 Bid Abstract A-200 (9/99) RESOLUTION NO. 2009 - RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NATIONAL CITY ACCEPTING THE LOWEST, RESPONSIVE, RESPONSIBLE BID IN THE TOTAL AMOUNT OF $26,175.38 FOR ONE 2009 VERMEER 12-INCH DRUM CHIPPER FROM VERMEER PACIFIC WHEREAS, the Fiscal Year 2008-2009 Vehicle Capital Improvement Program, approved by the City Council on June 17, 2008, authorized replacement of existing police patrol sedans, construction equipment, and other various vehicles; and WHEREAS, one of the vehicles approved was a Drum Brush Chipper that must be replaced because it no longer complies with the State and County Air Quality Standard; and WHEREAS, the Purchasing Agent of the City of National City did, in open session on April 1, 2009, publicly open, examine, and declare four sealed bids for Bid No. GS0809-3, the purchase of one 2009 Vermeer 12-inch Drum Chipper BC1000XL, or equal. NOW, THEREFORE, IT IS HEREBY RESOLVED, that the City Council of the City of National City hereby awards the contract for the purchase of one 2009 Vermeer 12-inch Drum Chipper BC1000XL, to the lowest responsive bidder, to wit: VERMEER PACIFIC BE IT FURTHER RESOLVED by the City Council of the City of National City that the Purchasing Agent is hereby authorized to execute on behalf of the City, a purchase order between Vermeer Pacific and the City of National City for the purchase of one 2009 Vermeer 12- inch Drum Chipper B C1000XL in accordance with the terms and conditions of Bid No. GS0809-3. PASSED and ADOPTED this 21st day of April, 2009. Ron Morrison, Mayor ATTEST: APPROVED AS TO FORM: Michael R. Dalla, City Clerk George H. Eiser, III City Attorney � 0 ` '� '��2O0Q BI[]/\BSTQ� NT�`N/\[YSIS N � ` / 9.75% I . SUBSUB|PYMTTERMS | TOTAL/\L BIDDER: | BD] TAX 1 OTHER DELIVERY TOTAL | | AWARD / NOTES | | Vermeer Pacific | $23.850.00 $2.32538 ! $0.00 $0.00 | G26.17538 | $0.08 : $26.175.38 |AVVARD San Marcos, CA / ! ! i | Net 30 / i 8 & M Lawn and Garden | $27' 90O.00 �$2.720.25 $0.00 | $1.400.00 | $32.020.25 � C�558�0O) $31.482.25 � ' | YOrU8 LindaCA | / ! 2�` 21 Uoya ' ' ' | | / �U.00' $0.00 $32.025.00 $0.00 .Q268O | AbeC Industries $3O.U0O.8O �2.025.00 / Shelby, N� � Net 30 �—G-3_2 ` Shvco Equipment $31.000.00 $3.110.25 | $0.00 $0.00 $35.010.25 Payment duei $35.01025 | 8a[8SVtB. FL | ! �phortO d8|y � Arbonqu\pCorporadon !No Response Sacramento, CA Carter Agri -Systems No Response | ' Lund, NV GrowersTractor Equip Response T--- Bakersfield, CA ` ` i / | | | � | � ' � | ! � N G &AEquipment Inc. o Response ! � ' Lenoir City, TN '' | | ! Inc.� ' Merced Hesston No Merced, CA . � R&KEquipment Sales No Response LOnok8.AK | | | ' | | | | � � . City of National City, California COUNCIL AGENDA STATEMENT Niu.„AEETING DATE April 21, 2009 ITEM TITLE Resolution of the City Council of the City of National City authorizing the Mayor to execute an Agreement with PBS&J to provide the City with sewer bill / tax roll administration and financial services for Fiscal Year 2009-10 in the "Not to Exceed" amount of $45,867. (Sewer Service Fee funded). PREPARED BY Joe Smith, Director DEPARTMENT Public Works (Ext. 4587) AGENDA ITEM NO. 7 EXPLANATION On June 17, 2003 the City Council, by resolution number 2003-88 approved an agreement with PBS&J to create a database that was used to transfer the collection of sewer service fees to the County of San Diego Tax Rolls. This resolution and agreement will provide similar Sewer Bill/Tax Roll Administration and financial services for Fiscal year 2009-2010. "The cost to provide these services are sewer service fee funded and shall not exceed the contract amount, of $45,867 without prior written approval from the City. This agreement will provide continued assistance with annual administration of our sewer service billing. This will include the updating of any changes that may have occurred to the customer database. These changes will be matched with the Sweetwater Authority's water accounts as well as the County Assessor's information and the associated charges from these changes will be applied. PBS&J will then prepare a list of these changes for Council approval subsequent to a public hearing. Once approved, a sewer billing data tape will be provided to the County Assessor's office. This agreement will also include database review, tracking reports and other services required to match Sweetwater Authority's meter data, County Assessor information and/or National City's records. In addition, PBS&J will response to customer phone calls, written inquiries and assist staff to respond to billing questions. Environmental Review ' NIA Financial Statement Approved By. Funds are available in the Wastewater Division's contract services account Finance Director Account No. 125-422-222-299 STAFF RECOMMENDATION Adopt the Resolution authorizing the Mayor to enter into the agreement. BOARD / COMMISSION RECOMMENDATION N/A ATTACHMENTS ( Listed Below) Resolution No. 1. Resolution 2. Agreement 3. PBS&J Company Overview A-200 (9/99) RESOLUTION NO. 2009 — RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NATIONAL CITY AUTHORIZING THE MAYOR TO EXECUTE AN AGREEMENT WITH PBS&J IN THE AMOUNT OF $45,867 TO PROVIDE SEWER BILLING/TAX ROLL PREPARATION AND ADMINISTRATIVE SERVICES FOR FISCAL YEAR 2009-2010 WHEREAS, the City desires to employ a consultant to provide sewer billing/tax roll preparation and administration services for Fiscal Year 2009-2010; and WHEREAS, the City has determined that PBS&J is a professional consulting firm and is qualified by experience and ability to perform the services desired by the City, and PBS&J is willing to perform such services. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of National City hereby authorizes the Mayor to execute an Agreement with PBS&J in the amount of $45,867 to provide sewer billing/tax roll preparation and administration services for Fiscal Year 2009-2010. Said Agreement is on file in the office of the City Clerk. PASSED and ADOPTED this 21 st day of April, 2009. Ron Morrison, Mayor i,`, ATTEST: Michael R. Dalla, City Clerk APPROVED AS TO FORM: George H. Eiser, III City Attorney AGREEMENT BY AND BETWEEN THE CITY OF NATIONAL CITY AND PBS&J THIS AGREEMENT is entered into this 21st day of April, 2009, by and between the CITY OF NATIONAL CITY, a municipal corporation (the "CITY"), and PBS&J, a Consulting Engineering Firm (the "CONSULTANT") RECITALS WHEREAS, the CITY desires to employ a CONSULTANT to provide Sewer Billing / Tax Roll preparation and administration services for Fiscal Year 2009-2010. WHEREAS, the CITY has determined that the CONSULTANT is a corporation and is qualified by experience and ability to perform the services desired by the CITY, and the CONSULTANT is willing to perform such services. NOW, THEREFORE, THE PARTIES HERETO DO MUTUALLY AGREE AS FOLLOWS: 1. ENGAGEMENT OF CONSULTANT. The CITY hereby agrees to engage the CONSULTANT, and the CONSULTANT hereby agrees to perform the services hereinafter set forth in accordance with all terms and conditions contained herein. The CONSULTANT represents that all services required hereunder will be performed directly by the CONSULTANT or under direct supervision of the CONSULTANT. 2. SCOPE OF SERVICES. The CONSULTANT will perform services as set forth in the attached Exhibit "A". The CONSULTANT shall be responsible for all research and reviews related to the work and shall not rely on personnel of the CITY for such services, except as authorized in advance by the CITY. The CONSULTANT shall appear at meetings as required to keep staff and City Council advised of the progress on the Project. The CITY may unilaterally, or upon request from the CONSULTANT, from time to time reduce or increase the Scope of Services to be performed by the CONSULTANT under this Agreement. Upon doing so, the CITY and the CONSULTANT agree to meet in good faith and confer for the purpose of negotiating a corresponding reduction or increase in the compensation associated with said change in services. 3. PROJECT COORDINATION AND SUPERVISION. Joe Smith hereby is designated as the Project Coordinator for the CITY and will monitor the progress and execution of this Agreement. The CONSULTANT shall assign a single Project Director to provide supervision and have overall responsibility for the progress and execution of this Agreement for the CONSULTANT. Karyn Keese thereby is designated as the Project Director for the CONSULTANT. 4. COMPENSATION AND PAYMENT. The compensation for the CONSULTANT shall be based on monthly billings covering actual work performed. Billings shall include labor classifications, respective rates, hours worked and also materials, if any. The total cost for all work described in Exhibit "A" shall not exceed $45,867 without prior written authorization from the CITY. Monthly invoices will be processed for payment and remitted within thirty (30) days from receipt of invoice, provided that work is accomplished consistent with Exhibit "A", as determined by the CITY. The CONSULTANT shall maintain all books, documents, papers, employee time sheets, accounting records, and other evidence pertaining to costs incurred, and shall make such materials available at its office at all reasonable times during the term of this Agreement and for three (3) years from the date of final payment under this Agreement, for inspection by the CITY, and for furnishing of copies to the CITY, if requested. 5. ACCEPTABILITY OF WORK. The City shall decide any and all questions which may arise as to the quality or acceptability of the services performed and the manner of performance, the acceptable completion of this Agreement, and the amount of compensation due. In the event the CONSULTANT and the City cannot agree to the quality or acceptability of the work, the manner of performance and/or the compensation payable to the CONSULTANT in this Agreement, the City or the CONSULTANT shall give to the other written notice. Within ten (10) business days, the CONSULTANT and the City shall each prepare a report which supports their position and file the same with the other party. The City shall, with reasonable diligence, determine the quality or acceptability of the work, the manner of performance and/or the compensation payable to the CONSULTANT. 6. LENGTH OF AGREEMENT. The term of this agreement is for a period of one year from the date of signature of agreement, with the CITY having an option to extend, for an addition one year at the same rate of compensation stated in section 4. 7. DISPOSITION AND OWNERSHIP OF DOCUMENTS. The Memoranda, Reports, Maps, Drawings, Plans, Specifications, and other documents prepared by the CONSULTANT for this Project, whether paper or electronic, shall become the property of the CITY for use with respect to this Project, and shall be turned over to the CITY upon completion of the Project, or any phase thereof, as contemplated by this Agreement. Contemporaneously with the transfer of documents, the CONSULTANT hereby assigns to the CITY, and CONSULTANT thereby expressly waives and disclaims any copyright in, and the right to reproduce, all written material, drawings, plans, specifications, or other work prepared under this Agreement, except upon the CITY's prior authorization regarding 2 City's Standard Agreement —2009 revision reproduction, which authorization shall not be unreasonably withheld. The CONSULTANT shall, upon request of the CITY, execute any further document(s) necessary to further effectuate this waiver and disclaimer. The CONSULTANT agrees that the CITY may use, reuse, alter, reproduce, modify, assign, transfer, or in any other way, medium, or method utilize the CONSULTANT'S written work product for the CITY's purposes, and the CONSULTANT expressly waives and disclaims any residual rights granted to it by Civil Code Sections 980 through 989 relating to intellectual property and artistic works. Any modification or reuse by the CITY of documents, drawings, or specifications prepared by the CONSULTANT shall relieve the CONSULTANT from liability under Section 14, but only with respect to the effect of the modification or reuse by the CITY, or for any liability to the CITY should the documents be used by the CITY for some project other than what was expressly agreed upon within the Scope of this project, unless otherwise mutually agreed. 8. INDEPENDENT CONTRACTOR. Both parties hereto in the performance of this Agreement will be acting in an independent capacity and not as agents, employees, partners, or joint venturers with one another. Neither the CONSULTANT nor the CONSULTANT'S employees are employees of the CITY, and are not entitled to any of the rights, benefits, or privileges of the CITY's employees, including but not limited to retirement, medical, unemployment, or workers' compensation insurance. This Agreement contemplates the personal services of the CONSULTANT and the CONSULTANT's employees, and it is recognized by the parties that a substantial inducement to the CITY for entering into this Agreement was, and is, the professional reputation and competence of the CONSULTANT and its employees. Neither this Agreement nor any interest herein may be assigned by the CONSULTANT without the prior written consent of the CITY. Nothing herein contained is intended to prevent the CONSULTANT from employing or hiring as many employees, or SUBCONSULTANTS, as the CONSULTANT may deem necessary for the proper and efficient performance of this Agreement. All agreements by CONSULTANT with its SUBCONSULTANT(S) shall require the SUBCONSULTANT(S) to adhere to the applicable terms of this Agreement. 9. CONTROL. Neither the CITY nor its officers, agents, or employees shall have any control over the conduct of the CONSULTANT or any of the CONSULTANT'S employees, except as herein set forth, and the CONSULTANT or the CONSULTANT'S agents, servants, or employees are not in any manner agents, servants, or employees of the CITY, it being understood that the CONSULTANT its agents, servants, and employees are as to the CITY wholly independent CONSULTANT, and that the CONSULTANT'S obligations to the CITY are solely such as are prescribed by this Agreement. 10. COMPLIANCE WITH APPLICABLE LAW. The CONSULTANT, in the performance of the services to be provided herein, shall comply with all applicable State and federal statutes and regulations, and all applicable ordinances, rules, and regulations of the City of National City, whether now in force or subsequently enacted. The CONSULTANT and each 3 City's Standard Agreement -2009 revision of its SUBCONSULTANT(S), shall obtain and maintain a current City of National City business license prior to and during performance of any work pursuant to this Agreement. 11. LICENSES, PERMITS, ETC. The CONSULTANT represents and covenants that it has all licenses, permits, qualifications, and approvals of whatever nature that are legally required to practice its profession. The CONSULTANT represents and covenants that the CONSULTANT shall, at its sole cost and expense, keep in effect at all times during the term of this Agreement, any license, permit, or approval which is legally required for the CONSULTANT to practice its profession. 12. STANDARD OF CARE. A. The CONSULTANT, in performing any services under this Agreement, shall perform in a manner consistent with that level of care and skill ordinarily exercised by members of the CONSULTANT'S trade or profession currently practicing under similar conditions and in similar locations. The CONSULTANT shall take all special precautions necessary to protect the CONSULTANT's employees and members of the public from risk of harm arising out of the nature of the work and/or the conditions of the work site. B. Unless disclosed in writing prior to the date of this agreement, the CONSULTANT warrants to the CITY that it is not now, nor has it for the five (5) years preceding, been debarred by a governmental agency or involved in debarment, arbitration or litigation proceedings concerning the CONSULTANT'S professional performance or the furnishing of materials or services relating thereto. C. The CONSULTANT is responsible for identifying any unique products, treatments, processes or materials whose availability is critical to the success of the project the CONSULTANT has been retained to perform, within the time requirements of the CITY, or, when no time is specified, then within a commercially reasonable time. Accordingly, unless the CONSULTANT has notified the CITY otherwise, the CONSULTANT warrants that all products, materials, processes or treatments identified in the project documents prepared for the CITY are reasonably commercially available. Any failure by the CONSULTANT to use due diligence under this sub -paragraph will render the CONSULTANT liable to the CITY for any increased costs that result from the CITY's later inability to obtain the specified items or any reasonable substitute within a price range that allows for project completion in the time frame specified or, when not specified, then within a commercially reasonable time. 13. NON-DISCRIMINATION PROVISIONS. The CONSULTANT shall not discriminate against any employee or applicant for employment because of age, race, color, ancestry, religion, sex, sexual orientation, marital status, national origin, physical handicap, or medical condition. The CONSULTANT will take positive action to insure that applicants are employed without regard to their age, race, color, ancestry, religion, sex, sexual orientation, marital status, national origin, physical handicap, or medical condition. Such action shall include but not be limited to the following: employment, upgrading, demotion, transfer, recruitment or recruitment advertising, layoff or termination, rates of pay or other forms of compensation, and selection for training, including apprenticeship. The CONSULTANT agrees to post in conspicuous places available to employees and applicants for employment any notices provided by the CITY setting forth the provisions of this non-discrimination clause. 4 City's Standard Agreement —2009 revision 14. CONFIDENTIAL INFORMATION. The CITY may from time to time communicate to the CONSULTANT certain confidential information to enable the CONSULTANT to effectively perform the services to be provided herein. The CONSULTANT shall treat all such information as confidential and shall not disclose any part thereof without the prior written consent of the CITY. The CONSULTANT shall limit the use and circulation of such information, even within its own organization, to the extent necessary to perform the services to be provided herein. The foregoing obligation of this Section 13, however, shall not apply to any part of the information that (i) has been disclosed in publicly available sources of information; (ii) is, through no fault of the CONSULTANT, hereafter disclosed in publicly available sources of information; (iii) is already in the possession of the CONSULTANT without any obligation of confidentiality; or (iv) has been or is hereafter rightfully disclosed to the CONSULTANT by a third party, but only to the extent that the use or disclosure thereof has been or is rightfully authorized by that third party. The CONSULTANT shall not disclose any reports, recommendations, conclusions or other results of the services or the existence of the subject matter of this Agreement without the prior written consent of the CITY. In its performance hereunder, the CONSULTANT shall comply with all legal obligations it may now or hereafter have respecting the information or other property of any other person, firm or corporation. CONSULTANT shall be liable to CITY for any damages caused by breach of this condition, pursuant to the provisions of Section 14. 15. INDEMNIFICATION AND HOLD HARMLESS. The CONSULTANT agrees to defend, indemnify, and hold harmless the City of National City, its officers and employees, against and from any and all liability, loss, damages to property, injuries to, or death of any person or persons, and all claims, demands, suits, actions, proceedings, reasonable attorneys' fees, and defense costs, of any kind or nature, including workers' compensation claims, of or by anyone whomsoever, resulting from or arising out of the CONSULTANT'S negligent performance of this Agreement. 16. WORKERS' COMPENSATION. The CONSULTANT shall comply with all of the provisions of the Workers' Compensation Insurance and Safety Acts of the State of California, the applicable provisions of Division 4 and 5 of the California Government Code and all amendments thereto; and all similar state or Federal acts or laws applicable; and shall indemnify, and hold harmless the CITY and its officers, and employees from and against all claims, demands, payments, suits, actions, proceedings and judgments of every nature and description, including reasonable attorney's fees and defense costs presented, brought or recovered against the CITY or its officers, employees, or volunteers, for or on account of any liability under any of said acts which may be incurred by reason of any work to be performed by the CONSULTANT under this Agreement. 17. INSURANCE. The CONSULTANT, at its sole cost and expense, shall purchase and maintain, and shall require its SUBCONSULTANT(S), when applicable, to purchase and maintain throughout the term of this agreement, the following insurance policies: 5 City's Standard Agreement —2009 revision A. If checked, Professional Liability Insurance (errors and omissions) with minimum limits of $1,000,000 per occurrence. B. Automobile insurance covering all bodily injury and property damage incurred during the performance of this Agreement, with a minimum coverage of $1,000,000 combined single limit per accident. Such automobile insurance shall include owned, non -owned, and hired vehicles ("any auto"). C. Commercial general liability insurance, with minimum limits of $1,000,000 per occurrence/$2,000,000 aggregate, covering all bodily injury and property damage arising out of its operations under this Agreement. D. Workers' compensation insurance in an amount sufficient to meet statutory requirements covering all of CONSULTANT employees and employers' liability insurance with limits of at least $1,000,000 per accident. In addition, the policy shall be endorsed with a waiver of subrogation in favor of the City. Said endorsement shall be provided prior to commencement of work under this Agreement. If CONSULTANT has no employees subject to the California Workers' Compensation and Labor laws, CONSULTANT shall execute a Declaration to that effect. Said Declaration shall be provided to CONSULTANT by CITY. E. The aforesaid policies shall constitute primary insurance as to the CITY, its officers, employees, and volunteers, so that any other policies held by the CITY shall not contribute to any loss under said insurance. Said policies shall provide for thirty (30) days prior written notice to the CITY of cancellation or material change. F. Said policies, except for the professional liability and workers' compensation policies, shall name the CITY and its officers, agents and employees as additional insureds, and separate additional insured endorsements shall be provided. G. If required insurance coverage is provided on a "claims made" rather than "occurrence" form, the CONSULTANT shall maintain such insurance coverage for three years after expiration of the term (and any extensions) of this Agreement. In addition, the "retro" date must be on or before the date of this Agreement. H. Any aggregate insurance limits must apply solely to this Agreement. I. Insurance shall be written with only Califomia admitted companies which hold a current policy holder's alphabetic and financial size category rating of not less than A VIII according to the current Best's Key Rating Guide, or a company equal financial stability that is approved by the City's Risk Manager. In the event coverage is provided by non -admitted "surplus lines" carriers, they must be included on the most recent California List of Eligible Surplus Lines Insurers (LESLI list) and otherwise meet rating requirements. J. This Agreement shall not take effect until certificate(s) or other sufficient proof that these insurance provisions have been complied with, are filed with and approved by the CITY's Risk Manager. If the CONSULTANT does not keep all of such insurance policies in full force and effect at all times during the terms of this Agreement, the CITY may elect to treat the failure to maintain the requisite insurance as a breach of this Agreement and terminate the Agreement as provided herein. K. All deductibles and self -insured retentions in excess of $10,000 must be disclosed to and approved by the CITY. 18. LEGAL FEES. If any party brings a suit or action against the other party arising from any breach of any of the covenants or agreements or any inaccuracies in any of the 6 City's Standard Agreement —2009 revision representations and warranties on the part of the other party arising out of this Agreement, then in that event, the prevailing party in such action or dispute, whether by final judgment or out -of - court settlement, shall be entitled to have and recover of and from the other party all costs and expenses of suit, including attorneys' fees. For purposes of determining who is to be considered the prevailing party, it is stipulated that attorney's fees incurred in the prosecution or defense of the action or suit shall not be considered in determining the amount of the judgment or award. Attorney's fees to the prevailing party if other than the CITY shall, in addition, be limited to the amount of attorney's fees incurred by the CITY in its prosecution or defense of the action, irrespective of the actual amount of attorney's fees incurred by the prevailing party. 19. MEDIATION/ARBITRATION. If a dispute arises out of or relates to this Agreement, or the breach thereof, the parties agree first to try, in good faith, to settle the dispute by mediation in San Diego, California, in accordance with the Commercial Mediation Rules of the American Arbitration Association (the "AAA") before resorting to arbitration. The costs of mediation shall be borne equally by the parties. Any controversy or claim arising out of, or relating to, this Agreement, or breach thereof, which is not resolved by mediation shall be settled by arbitration in San Diego, California, in accordance with the Commercial Arbitration Rules of the AAA then existing. Any award rendered shall be final and conclusive upon the parties, and a judgment thereon may be entered in any court having jurisdiction over the subject matter of the controversy. The expenses of the arbitration shall be borne equally by the parties to the arbitration, provided that each party shall pay for and bear the costs of its own experts, evidence and attorneys' fees, except that the arbitrator may assess such expenses or any part thereof against a specified party as part of the arbitration award. 20. TERMINATION. A. This Agreement may be terminated with or without cause by the CITY. Termination without cause shall be effective only upon 60-day's written notice to the CONSULTANT. During said 60-day period the CONSULTANT shall perform all services in accordance with this Agreement. B. This Agreement may also be terminated immediately by the CITY for cause in the event of a material breach of this Agreement, misrepresentation by the CONSULTANT in connection with the formation of this Agreement or the performance of services, or the failure to perform services as directed by the CITY. C. Termination with or without cause shall be effected by delivery of written Notice of Termination to the CONSULTANT as provided for herein. D. In the event of termination, all finished or unfinished Memoranda Reports, Maps, Drawings, Plans, Specifications and other documents prepared by the CONSULTANT, whether paper or electronic, shall immediately become the property of and be delivered to the CITY, and the CONSULTANT shall be entitled to receive just and equitable compensation for any work satisfactorily completed on such documents and other materials up to the effective date of the Notice of Termination, not to exceed the amounts payable hereunder, and less any damages caused the CITY by the CONSULTANT'S breach, if any. Thereafter, ownership of said written material shall vest in the CITY all rights set forth in Section 6. E. The CITY further reserves the right to immediately terminate this Agreement upon: (1) the filing of a petition in bankruptcy affecting the CONSULTANT; (2) a 7 City's Standard Agreement -2009 revision reorganization of the CONSULTANT for the benefit of creditors; or (3) a business reorganization, change in business name or change in business status of the CONSULTANT. 21. NOTICES. All notices or other communications required or permitted hereunder shall be in writing, and shall be personally delivered; or sent by overnight mail (Federal Express or the like); or sent by registered or certified mail, postage prepaid, return receipt requested; or sent by ordinary mail, postage prepaid; or telegraphed or cabled; or delivered or sent by telex, telecopy, facsimile or fax; 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 sent by overnight mail, the business day following its deposit in such overnight mail facility, (iii) if mailed by registered, certified or ordinary mail, five (5) days (ten (10) days if the address is outside the State of California) after the date of deposit in a post office, mailbox, mail chute, or other like facility regularly maintained by the United States Postal Service, (iv) if given by telegraph or cable, when delivered to the telegraph company with charges prepaid, or (v) if given by telex, telecopy, facsimile or fax, when sent. Any notice, request, demand, direction or other communication delivered or sent as specified above shall be directed to the following persons: To CITY: Joe Smith Director of Public Works 1243 National City Boulevard National City, CA 91950-4301 To CONSULTANT: PBS&J 9275 Sky Park Court, suite 200 San Diego, CA 92123 Notice of change of address shall be given by written notice in the manner specified 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. Any notice, request, demand, direction or other communication sent by cable, telex, telecopy, facsimile or fax must be confirmed within forty- eight (48) hours by letter mailed or delivered as specified in this Section. 22. CONFLICT OF INTEREST AND POLITICAL REFORM ACT OBLIGATIONS. During the term of this Agreement, the CONSULTANT shall not perform services of any kind for any person or entity whose interests conflict in any way with those of the City of National City. The CONSULTANT also agrees not to specify any product, treatment, process or material for the project in which the CONSULTANT has a material financial interest, either direct or indirect, without first notifying the CITY of that fact. The CONSULTANT shall at all times comply with the terms of the Political Reform Act and the National City Conflict of Interest Code. The CONSULTANT shall immediately disqualify itself and shall not use its official position to influence in any way any matter coming before the CITY in which the CONSULTANT has a financial interest as defined in Government Code Section 87103. The CONSULTANT represents that it has no knowledge of any financial interests that would require it to disqualify itself from any matter on which it might perform services for the CITY. 8 City's Standard Agreement —2009 revision ❑ If checked, the CONSULTANT shall comply with all of the reporting requirements of the Political Reform Act and the National City Conflict of Interest Code. Specifically, the CONSULTANT shall file a Statement of Economic Interests with the City Clerk of the City of National City in a timely manner on forms which the CONSULTANT shall obtain from the City Clerk. The CONSULTANT shall be strictly liable to the CITY for all damages, costs or expenses the CITY may suffer by virtue of any violation of this Paragraph 21 by the CONSULTANT. 23. MISCELLANEOUS PROVISIONS. A. Computation of Time Periods. If any date or time period provided for in this Agreement is or ends on a Saturday, Sunday or federal, state or legal holiday, then such date shall automatically be extended until 5:00 p.m. Pacific Time of the next day which is not a Saturday, Sunday or federal, state or legal holiday. B. Counterparts. This Agreement may be executed in multiple counterparts, each of which shall be deemed an original, but all of which, together, shall constitute but one and the same instrument. C. Captions. Any captions to, or headings of, the sections or subsections of this Agreement are solely for the convenience of the parties hereto, are not a part of this Agreement, and shall not be used for the interpretation or determination of the validity of this Agreement or any provision hereof. D. No Obligations to Third Parties. Except as otherwise expressly provided herein, the execution and delivery of this Agreement shall not be deemed to confer any rights upon, or obligate any of the parties hereto, to any person or entity other than the parties hereto. E. Exhibits and Schedules. The Exhibits and Schedules attached hereto are hereby incorporated herein by this reference for all purposes. F. Amendment to this 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. G. Waiver. The waiver or failure to enforce any provision of this Agreement shall not operate as a waiver of any future breach of any such provision or any other provision hereof. H. Applicable Law. This Agreement shall be governed by and construed in accordance with the laws of the State of California. I. Entire Agreement. This Agreement supersedes any prior agreements, negotiations and communications, oral or written, and contains the entire agreement between the parties as to the subject matter hereof. No subsequent agreement, representation, or promise made by either party hereto, or by or to an employee, officer, agent or representative of any party hereto shall be of any effect unless it is in writing and executed by the party to be bound thereby. J. Successors and Assigns. This Agreement shall be binding upon and shall inure to the benefit of the successors and assigns of the parties hereto. K. Construction. The parties acknowledge and agree that (i) each party is of equal bargaining strength, (ii) each party has actively participated in the drafting, preparation and negotiation of this Agreement, (iii) each such party has consulted with or has had the opportunity to consult with its own, independent counsel and such other professional advisors as such party 9 City's Standard Agreement -2009 revision has deemed appropriate, relative to any and all matters contemplated under this Agreement, (iv) each party and such party's counsel and advisors have reviewed this Agreement, (v) each party has agreed to enter into this Agreement following such review and the rendering of such advice, and (vi) any rule or construction to the effect that ambiguities are to be resolved against the drafting party shall not apply in the interpretation of this Agreement, or any portions hereof, or any amendments hereto. IN WITNESS WHEREOF, the parties hereto have executed this Agreement on the date and year first above written. CITY OF NATIONAL CITY By: Ron Morrison, Mayor APPROVED AS TO FORM: George H. Eiser, III City Attorney PBS&J (Corporation - signatures of two corporate officers) (Partnership - one signature) (Sole proprietorship - one signature) 10 Dean J. Gipson (Print) Division Manager - Associate Vice President (Title) Joseph S. Smith (Print) Division Manager- Vice President (Title) City's Standard Agreement —2009 revision PBSI An employee -owned company March 4, 2009 Mr. Joe H. A. Smith Director of Public Works City of National City 1243 National City Blvd. National City, CA 91950-4301 SUBJECT: PROPOSAL TO PROVIDE FINANCIAL SERVICES FOR THE CITY OF NATIONAL CITY FOR TAX ROLL ADMINISTRATION FISCAL YEAR ENDING 2010 Dear Mr. Smith: In response to your request, PBS&J is pleased to submit this proposal to the City of National City (City) for financial services for the Tax Roll Administration for Annual Sewer Service Charges for Fiscal Year Ending 2010. It is our understanding that the City desires continued assistance with the annual administration of their sewer service charges billed on the property tax bills. As part of this administration, there is ongoing customer service required for commercial property owners who request detailed breakdowns of sewer charges as they relate to multiple water meters that fall within their properties. The number of calls remains steady throughout the year, which begins in September when the property bills are first sent out by the County to the property owners and continues throughout the year as property owners review their charges. The City's Public Works staff initially handles phone calls and, if additional research or explanation is required, the calls are forwarded to our team for follow-up. Based on last year's calls and the number of calls already received since September, we anticipate approximately 30 phone calls each of which will likely require research and preparation of a letter or fax response. The tax roll administration for each fiscal year begins in January with coordination with Sweetwater Authority to update the annual water consumption data. In June, current parcel information from the County and business license data and building permits data from the City is used to update the sewer customer database. The charges are prepared for adoption by the City Council in late July of each year and are then placed on the tax roll. In addition to the tax roll administration, properties that are owned by school districts and state and federal govemments, which do not pay property taxes, require a direct bill to be mailed out for the collection of sewer charges. We prepare these bills annually. Our proposed Scope of Services is outlined in Attachment A and Fees and Conditions are outlined in Attachment B. We are sensitive to the economic times our clients are encountering so we are proposing the same fee as last year. The level of effort will also remains the same as it has for the past several years. 9275 Sky Park Court, Suite 200 • San Diego, California 92123 • Telephone: 858.874.1810 • Fax: 858.514.1001 • www.pbsj.com Mr. Joe Smith March 3, 2009 Page 2 of 2 We appreciate the opportunity of offering this proposal, and we look forward to working with you on this project. If you have any questions, please call our Project Manager, Karyn Keese at 858.514.1008 or me at 858.514.1021. Respectfully submitted, PBS&J Dean J. Gipson, RE. Division Manager ATTACHMENT A SCOPE OF SERVICES FISCAL YEAR ENDING 2010 TAX ROLL ADMINISTRATION March 4, 2009 In response to your request, PBS&J is pleased to submit this proposal to you for financial services for the City of National City (Client). I. SCOPE OF SERVICES Based on our current understanding of the Project, PBS&J will provide the following services: A. Tax Roll Preparation Based on current County Assessor's information, business license applications and building permits, the sewer customer database will be updated and matched with the Sweetwater Authority's water accounts and annual usage. It should be noted that business license and building permit data that is incomplete and does not match up with Assessor Parcel Numbers cannot be updated. Data that cannot be matched will be returned to the City for further research. Using updated information, sewer charges will be calculated based on approved sewer user rates for each fiscal year. The list of sewer charges will be prepared for approval by the City Council and then submitted to the County of San Diego for processing on the property tax rolls. Direct bills will be sent to government agencies, such as the school district, since they cannot be billed with the property tax bills. It is assumed that 30 (thirty) direct billing statements will be mailed. B. Respond to Customer Inquiries This task provides for responses to customer phone calls and inquiries regarding the annual service charges. This proposal assumes that 30 phone calls will be received and that all of these customers will request detailed breakdowns, in the form of written correspondence, regarding their sewer bills and usage (because there are multiple meters on one property, etc.). If additional calls are received, they will be addressed as additional services. PBS] Attachment A March 3, 2009 Page 2 of 2 II. ADDITIONAL SERVICES If requested by the Client, PBS&J will provide the following Additional Services, beyond the services included in Section I, Scope of Services: A. Additional customer inquiries beyond those addressed in Section I. B. Meetings and any additional project related services not specifically included in Section I, Scope of Services. C. Field visits or additional research of parcels that do not match up with Sweetwater's water meter data, business licenses or building permit information. D. Survey of all commercial properties to determine if they are being billed correctly. III. CLIENT FURNISHED SERVICES The following services or information will be provided by Client or its consultants: A. Client shall provide PBS&J copies of all relevant reports, studies, correspondence, and other relevant project information or data. Customer water use data will be provided electronically, in a format that can be converted to Microsoft Excel. Under this agreement for services, PBS&J shall be entitled to rely upon the accuracy and completeness of the information and financial data provided by the Client in performing its services, without liability. Unless requested in writing by Client, PBS&J will not, and have no obligation to perform any manner of check, review or verify the accuracy or completeness of the data provided. B. Assign one person to serve as the Client's Project Manager who has authority to represent the Client and will serve as the point of interface for all project issues and communications. In addition, this person will serve as the initial contact for customer inquiries regarding sewer charges. C. A complete written description of all pertinent project information and issues, including all unusual or critical requirements of the Client. D. Perform site visits to confirm water meter locations, service addresses, or land use, as needed. ATTACHMENT B FEES AND CONDITIONS FISCAL YEAR ENDING 2009 TAX ROLL ADMINISTRATION March 4, 2009 A. The Services described in Section I, Scope of Services, will be provided on an hourly rate basis with an estimated upper limit of $45,867 for 2010. A breakout of these fees by task is included in the table below. Task FYE 2010 Task A — Tax Roll Preparation $31,230 Task B — Customer Service $13,864 Direct Expenses $773 Totals $45,867 B. The fees for the Services described in Section II, Additional Engineering Services, will be provided on an hourly rate basis in accordance with the PBS&J Standard Rate Schedule in effect at the time the services are performed. A copy of the current Standard Rate Schedule is attached. PBS; It An employee -owned company PBS&J SOUTHWEST INFRASTRUCTURE STANDARD RATE SCHEDULE EFFECTIVE JANUARY 1, 2009 ENGINEERING SERVICES Principal Engineer IV $219.00 Principal Engineer 11I 209.00 Principal Engineer II 196.00 Principal Engineer I 180.00 Supervising Engineer II 170.00 Supervising Engineer I 155.00 Senior Engineer III 145.00 Senior Engineer II 140.00 Senior Engineer I 130.00 Engineer III 120.00 Engineer II 115.00 Engineer I 105.00 Engineering Aide 70.00 CONSTRUCTION RELATED SERVICES Senior Construction Manager $143.00 Senior Project Engineer (Const.) 135.00 Construction Manager 130.00 Senior Field Representative* 115.00 Construction Management Rep. II* 100.00 Construction Management Rep. I* 90.00 Prevailing Wage Field Rep.** 125.00 Sr. Contract Administrator 110.00 Contract Administrator 85.00 OTHER PROFESSIONAL SERVICES Principal Professional $196.00 Supervising Professional 170.00 Sr. Professional III / Sr. GIS Analyst III 150.00 Senior Professional II / Sr. GIS Analyst II 135.00 Senior Professional I / Sr. GIS Analyst I 122.00 Professional II / GIS Analyst II 101.00 Professional I / GIS Analyst I 88.00 DESIGN & GRAPHIC SERVICES Senior Designer III $140.00 Senior Designer II 135.00 Senior Designer I 120.00 Designer II 110.00 Designer I 100.00 CAD Technician III 95.00 CAD Technician II 85.00 CAD Technician I 70.00 Graphics Designer II 100.00 Graphics Designer I 95.00 ENVIRONMENTAL SCIENCE Supervising Scientist $195.00 Senior Scientist III 185.00 Senior Scientist II 175.00 Senior Scientist I 140.00 Scientist III 130.00 Scientist II 120.00 Scientist I 100.00 Assistant Scientist 85.00 Research Assistant 60.00 ADMINISTRATIVE SERVICES Senior Administrator $110.00 Senior Administrative Assistant III 100.00 Senior Administrative Assistant II 85.00 Senior Administrative Assistant I 80.00 Administrative Assistant III 75.00 Administrative Assistant II 65.00 Administrative Assistant I / Clerk 60.00 EXPENSES AND OUTSIDE SERVICES In addition, identifiable non -salary coats that are directly attributable to the project such as reproduction costs, telephone chargevs, mileage, postage, etc., are billed at actual cost plus 15 percent to cover overhead and administration plus 3 percent for insurance costs. Principal Engineer IV and litigation support rates negotiated on a contract by contract basis. Computer Aided Drafting, hydrologic water, sewer, and stormwater modeling, GIS, automated mapping, database and web programming, etc., is charged at $5 per labor hour. * Non -Prevailing Wage ** Prevailing Wage Rate - Overtime will be charged at 1.25 times, and Sundays and holidays, 1.70 times the above rates. If applicable, a vehicle allowance of $900.00 per month will be charged for the use of a company vehicle assigned to a full-time inspector. This monthly allowance will be prorated based upon hours worked for part-time inspection. Fees for litigation and expert witness services will be charged at $450.00 per hour with a 4-hour minimum per day. Fees for subconsultant services provided are billed at actual cost plus 15 percent to cover overhead and administration, plus 3 percent for insurance coats. PAYMENT TERMS A late payment finance charge at a rate of 18 percent per annum will be applied to any unpaid balance commencing 30 days after the date of original invoice. This rate schedule is subject to annual and/or periodic revisions as necessary to accommodate inflationary trends, salary adjustments and the general costs of business. 11:\Admin\Public Works Admin\Standard Rate Sheets\Southwest Infrastructure Std Rate 0109 - SD Ltrbd.doc 9275 Sky Park Court, Ste. 200 • San Diego, CA 92123 • Telephone: 858-874-1810 • Fax: 858-514-1001 • www.pbsj.com PBSi An employee -owned company March 6, 2009 Mr. Joe H. A, Smith Acting Director of Public Works City of National City 1243 National City Blvd. National City, CA 91950-4301 PBS&J Company Overview PBS&J is a multi -service consulting engineering firm organized into technical divisions that integrate comprehensive environmental, civil, and transportation engineering; environmental sciences; architecture; construction management; and information technologies. PBS&J is one of only a few large, employee -owned engineering firms, that is consistently ranked among the top ten percent of design firms in the nation. Established 45 years ago, PBS&J has nearly 3,900 employees in 75 offices throughout the United States N.,•, and abroad. We are currently ranked 21st by Engineering News Record, 3rd in pure design. Our Southern California staff includes more than 200 full-time employees in our San Diego, Encinitas, Orange, Riverside, and Los Angeles offices. Our local staff members are skilled in a wide range of disciplines, including specialties that include water and wastewater engineering, civil and structural engineering, transportation, planning, surveying, and financial management services for various public works projects for city, county, state, and federal agencies. At PBS&J our vision is to be recognized as the consultant of choice through sincere commitment to client service. We consistently offer services that are backed by the resources of a large national organization combined with the dedication to personal service often found from a small local firm. PBS&J 175 Calle Magdalena Encinitas CA 92024 Ph: 760.753.1120 Fax: 760.753.0730 9275 Sky Park Court, Suite 200 • San Diego, California 92123 • Telephone: 858-874-1810 • Fax: 878-514-1008 • www.pbsj.com Karyn L. Keese National Financial Services Manager PBS&J Education R.S., Business Management and Accounting, University of Virginia, 1972 Professional Affiliations Government Finance Officers Association American Public Works Association AMSA California Society of Municipal Finance Officers Karyn Keese has more than 20 years of expertise in public finance and management in both the public and private sectors. She has extensive experience in long range financial plans and cost -of -service studies, operating and capital budget systems, grants management, intergovernmental relations and institutional and market analysis for water, wastewater, and storm water utilities. Ms. Keese has completed over 500 financial and management plans for public utilities. In addition to the varied financial and management projects she has completed, Ms. Keese has more than 10 years of public finance experience as the Finance Manager of two major California regional wastewater facilities, the Encina Water Pollution Control Facilities in Carlsbad and the Monterey Regional Water Pollution Control Agency (MRWPCA). She has applied for and successfully managed over $500 million of EPA/State Clean Water Grants, and developed and negotiated both capital and operations utilities contracts with the military. Ms. Keese has also been involved with the privatization and the implementation of private/public joint venture projects for sewer and water agencies. She was responsible for human resources and union negotiations. Ms. Keese was also responsible for budget development, negotiations, and financial management for 10 wastewater plants on a national basis. Ms. Keese's background also includes representing public agencies at public hearings and meetings with local, state and federal officials. Ms. Keese has prepared testimony for public hearings to provide revenue requirements for public agencies. She has addressed national and state conferences on issues ranging from water reclamation to creative financing techniques. Ms. Keese currently sits on the O&M Committee of the City of San Diego Public Utilities Advisory Commission (PUAC). The PUAC is an appointed advisory body by the City of San Diego City Council to perform in depth review of issues surrounding the City's water, wastewater, and storm water enterprises. She has recently completed an in-depth review of cost of service studies prepared by a third party engineering firm to support revision in both the water and sewer user and capital fees. These studies were highly political and were successfully adopted by the City Council in June 2004. Ms. Keese's "Capital Facilities Finance Plan For The MRWPCA," which utilized multiple financing techniques including refunding and grant anticipation notes, was chosen for presentation to many national conferences. In addition, she has assisted in the presentation of seminars on varied topics of utility rate setting and municipal finance, such as Long -Range Financial Planning for Public Agencies, through the UCLA Extension Public Policy Program and the Special Districts Association. She is currently serving as a member of the City of San Diego Sewer Cost of Service Stakeholders Group and financial advisor to the San Diego Metro Wastewater JPA. Ms. Keese performs a wide variety of financial services for public agencies. Her studies show the diversity of PBS&J's Financial Services Practice. Following is a sample of Ms. Keese's recent direct experience. A matrix of all studies Karyn L. Keese National Financial Services Manager prepared for public agencies in the last 10 years is included behind her resume. Water and Wastewater Utility Rate Studies and Long Range Planning: Blue Plains Valuation Study, Washington, D.0 — Ms. Keese is the Project Manager for the valuation of the largest advanced wastewater treatment plant in the world (370 MGD) using several different valuation methods. The study values capacity rights in a treatment plant shared by several users. Valuation methodologies include original cost, reproduction cost, discounted cash flow analysis, and market comparables. A flexible user friendly model is being constructed that will allow for ease in changes to the asset database and update of indices on an annual basis Sewer User Rate Study, Julian and Pine Valley Sanitation Districts', CA — Ms. Keese is the Project Manager on a Study to update the sewer user rates for these two communities in rural San Diego County. Included in this study are the preparations of long range plans and reserve policies for each District. Annual Capacity Fee Update , Eastern Municipal Water District, Perris, CA — PBS&J has been selected to annually update Eastern MWD's water, wastewater, and recycled water capacity buy -in fees. Eastern is a rapidly growing Riverside County water and wastewater District averaging 15,000 new customers per year. This is a multi -year contract. Financial Roadmap, Western Municipal Water District, Riverside, CA — Across 1-215 from Eastern Municipal Water District is Western Municipal Water District. PBS&J has been selected to perform multiple financial as needed services for this rapidly growing area in Western Riverside County. Task Order No. 1 is to prepare a Financial Roadmap for the District's water, wastewater, and reclaimed water utilities. The purpose of this Roadmap is to determine how all financial revenue streams can best be integrated with master planning and organizational development. The Roadmap will provide the District with a Strategic Long -Range Financial Plan. Restructuring of Commercial and Industrial Wastewater Rates, City of Anaheim, CA — The City of Anaheim is the 59t largest City in the nation with approximately 350,000. It is also home to a diverse group of commercial and industrial users which includes special users such as Disneyland. The City has selected PBS&J to prepare a cost of service study for their Wastewater Collection and Disposal Maintenance Fee, provide viable alternatives for commercial and industrial rate restructuring, and assist with public outreach and implementation of the chosen rate structure. Preparation of a Sanitary Rate Study, Lemon Grove Sanitation District, City of Lemon Grove, CA — Ms. Keese is the Project Manager on a study to prepare a five year wastewater rate case and capital financing plan. Of particular concems to the District are the outcomes of a new transportation agreement with the City of San Diego, the looming potential for the requirement for the Point Loma WWTP's conversion from advanced primary to secondary treatment, and the output from the District's collection system master plan. Drinking Water and Aquifer Protection Permit Fee Studies, Arizona Department of Environmental Quality (ADEQ), AZ — Ms. Keese is currently the project manager for the update of the State of Arizona's Drinking Water Karyn L. Keese National Financial Services Manager Permit Fee Study. In addition to the Drinking Water Permit Fee the State desires to create an Aquifer Protection Permit Fec. The process for establishing these fees is similar. The goal is to establish full cost recovery fees for both departments that include all applicable billable and non -billable salary costs, and Nivii direct and indirect operating costs. Water and Sewer User Fee Study, City of Seabrook, TX — Ms. Keese prepared a water and sewer user fee study for the City of Seabrook. The focus of this study was to update the cost of service. The City is facing significant capital project costs over the next ten years and want\ed to determine what their mix of funding sources should be: user rates, impact fees, debt, grants and loans, etc. In addition the City wanted to explore revising their sewer user charge rate structure. SAWS Water, Sewer & Water Distribution Impact Fee Study, San Antonio, TX — Ms. Keese prepared an Impact Fee Study for SAWS, the regional water and sewer agency for the City of San Antonio Texas. This study provided a "fresh look" at how SAWS had previously calculated and administered their impact fees. One of the goals of the study was to review the sewer impact fee to determine a more appropriate way to assess the fee. Ultimately the Citizens Advisory Commission and the City Council approved the use of sewer sheds as the most equitable assessment of capital costs to new development. BexarMet Water District Impact Fee Study, San Antonio, TX — Ms. Keese prepared an Impact Fee Study for the BexarMet Water District. This study combined the seven water impact fees within the District into one regional impact fee. The Study was conducted under § 395.080 of the Texas Local Government Code. In addition, a Water Development user and impact fee was prepared for the District. Water and Sewer Rate Study, Sun 'N Lakes Improvement District, Sebring, Florida — Ms. Keese is the project manager on this multi -phased project. Phase 1 will determine an annual water and sewer rate adjustment to be implemented on a fast track basis. Phase II will consider conservations rate structures for both water and sewer. In addition, impact fees, and a long range plan to facilitate the capital financing of the District's newly completed Master Plan. Water Supply Cost Benefit Analysis, Olivenhain Municipal Water District, CA — Ms. Keese is currently assisting the District in evaluating the cost benefit analysis of four different water supply options including desalinization, increased use of recycled water, and expansion of their existing water treatment plant using membrane technology. As part of this study a matrix will be prepared to assist the District staff in determining which project or mix of projects best suit there needs. Proposed funding levels will be prepared in the Long -Range Plan so that the project(s) are matched against the revenue levels necessary to support them. In addition, Ms. Keese will be updating the District's water, wastewater, and reclaimed water capacity and annexation fees. Water Rate Study, Rowland Water District, Roland Heights, CA — Ms. Keese was the Project Manager for an update to the District's water user rates and long range plan from the first study she performed for them in 2000. The District updates their water rates and long range plan every three years as part of their strategic and master planning process. Karyn L. Keese National Financial Services Manager City of La Habra Sewer Rate Study and Long Range Plan, La Habra, CA — Ms. Keese is currently assisting the City in preparing their first professionally prepared sewer user rate study. This study will assist in insuring that City will have an industry standard and EPA approved rate structure. The City will soon be moving to a formal enterprise fund for their sewer utility and want to include in their long range plan not only adequate sewer rates to fund operations and maintenance and a $21 million capital improvement program but also prudent reserves. Water User Rate Study and Long Range Plan, La Habra Heights CWD, La Habra Heights, CA — Ms. Keese was the Project Manager for an update to the District's water user rates and long range plan from the first study she performed for them in 1999. The 1999 study set the District's user rates for five year and expired in 2005. The District had recently completed an updated Water Master Plan and wished to incorporate the new cost of replacement capital facilities for the next ten years into their long range financial plan and user rates. Sewer User Rate Study, Town of Bay Harbor Islands, Florida — Ms. Keese prepared the town's first professional sewer rate study. The emphasis in this study was to bring the Town's sewer user rate structure up to industry standards replace the Town's current flat rate structure with volume based rates. City of Anaheim Phase I User Rate Study, Anaheim, CA — Ms Keese served as Project Manager on this project to update the City's wastewater user fees. Of particular importance in this study was public outreach to the business community such as Disneyland to insure they would support the rate increase. Phase II of this study will be to revise the City's current user rate structure and is scheduled for 2006. Eastern Municipal Water District Capacity Fee Update, Perris, CA — Ms. Keese prepared a water, wastewater, and recycled water capacity fee update Study in 2005. Ms Keese had prepared the Districts last two studies in 2001 and 1998. The 2005 study reviewed multiple options for determination of the District's capacity fees. The District decided to retain the System Buy -In methodology for calculating their capacity fees. City of National City, California — Ms. Keese assisted the City of National City establish their first sewer utilities 1991 and has performed annual rate updates since that time. Single family, multi -family, and manufactured homes have flat rates based upon the average water usage per class. Commercial and industrial are variable rates based on water usage. Olivenhain Municipal Water District Wastewater Rate Study, Encinitas, CA — Ms. Keese prepared a wastewater rate update study for the District. The District had experienced explosive growth since Ms. Keese's prior study for them in 2001. In addition the District had recently completed a Master Plan. The capital projects from the Master Plan were incorporated into a twenty-year financial plan. In addition, the District wished to explore consumption -based rates for single family users. City of St. Helena Rate Study, St. Helena, California — Ms. Keese served as the Project Director on this project to update the City's water and sewer user charges. This project included updating operations and maintenance budgets as well as their updated capital improvement program budgets. This project also Karyn L. Keese National Financial Services Manager included an analysis of customer usage and characteristics as well as an update of the cost allocation into fixed and variable costs to determine appropriate consumption based rates for the City's customer classes. City of Camarillo, CA - The City, as well as their Sanitation District, have been a long-term financial services client. Ms. Keese has prepared two water and three sewer rate studies and long range plans over the last ten years. The water rate structure was originally developed as a conservation rate structure. In 2004 Ms. Keese prepared a consumption based sewer rate study to convert the District's sewer rates from flat to consumption -based rates. The District desires to send a conservation message through their wastewater rate structure as well as their water rate structure. Ms. Keese is also restructured the District's capacity fees from incremental to system buy -in. City of Chula Vista, CA - Ms. Keese completed the FY04 to FY07 wastewater user rates that was adopted in May 2003. A major portion of this study was to update the City's cost allocation to include BOD (prior rates only included flow and TSS). Ms. Keese also revised the residential rates from flat rates to consumption -based rates. Upon the completion of the City's Wastewater & Drainage Master Plan in 2005, Ms. Keese is prepared a long range funding plan as well as updating the City's capital fees to fund the identified replacement and capital projects. In addition, she will be creating a storm water utility for them once their Storm water master plan is complete. City of Del Mar, CA — The City has been a long-term Financial Services client. We have recently developed and implemented a storm water utility and corresponding rate structure. We also performed an audit of the City of San Diego's municipal costs to determine if the City is paying their fair share of sewer transportation costs. County of San Diego, San Diego, CA —Ms. Keese completed the update of user rates, capacity charges, and annexation fees for five of the County of San Diego's sewer districts. She had prepared the original studies for each o these Districts' in 1995. As part of the study, capacity charges were reviewed and a system buy -in methodology was recommended to allow for the funds to pay for either replacement and/or expansion projects. Also, annexation fees were revised to reflect the past interest on debt service paid by each District to build the backbone system. City of Santa Monica, CA - Ms. Keese performed the City's first water and wastewater user rate study for the City of Santa Monica in 1995. To assist the City in achieving their goals of achieving water conservation and therefore only rely on their own wells we conducted a marginal cost study that establish a three tier system for each customer class with the third tier priced substantially higher than the second tier. Recently Ms. Keese completed an update on the cost -of -service portion of the rate study and prepared a five-year long-range plan for both utilities. As the rate structures implemented in 1996 were still meeting the City's criteria, there were no structural changes in the water and wastewater user rates. However, we switched both water and wastewater capacity fees to the "System Buy -In" methodology and allocated the costs by the size of the water meter for both capacity fees. In addition, we updated the water rate structures to accommodate Metropolitan's new rate structure. Karyn L. Keese National Financial Services Manager City of Oceanside, CA - Oceanside has been a long-term financial services client. In the early 1992, Ms. Keese assisted the City in creating conservation rates for both their water and sewer utilities. The process included a full citizen's advisory committee, which met 14 times and became an extremely strong part of their public outreach program. The rate restructuring was adopted by unanimous vote of the City Council. Ms. Keese has recently assisted the City in obtaining a 20% sewer rate increase and a 6% water rate increase. The sewer rate increase was the first rate increase since 1992 and is needed to fund the City's current Wastewater Treatment Plant expansion and upgrade, as well as operational cost increases. Ms. Keese is currently preparing the FY05 rate case for water and sewer, as well as assisting the City with contract negotiations with Rainbow Municipal Water District. It is anticipated that this rate case will be adopted in January 2005. Padre Dam Municipal Water District, Santee, CA - Padre Dam is a long-term financial services client of Ms. Keese. She has provided financial long-range planning, as well as water and sewer user and capital rate restructuring and updates since 1991. Recently, based on the results of their PBS&J-pre-pared Integrated Facilities Plan, she developed funding sources for all of their Master Plan Projects. Ms. Keese is currently preparing a review of the cost allocations for the City of San Diego's Fast Mission Gorge Interceptor transportation agreement to insure that Padre Dam is being charged on a fair and equitable basis. In addition, Ms. Keese is updating the District's capacity fees. Valley Center Water District, CA - Ms. Keese prepared a long-range financial plan and forecasting model for the District. Valley Center has recently completed an updated Master Plan, and identified the need to move forward with the design and construction of a broad program of capital improvements, including miles of pipeline projects, to achieve the District's Strategic Plan. In addition, Ms. Keese prepared a "gap" analysis to determine when repairs become Tess cost effective to replacement of the District's existing capital facilities, as well as an affordability analysis of agricultural water. Storm Water Utility Formation and Financing Studies Boxelder County, Colorado. — Ms. Keese assisted the County in determining how they will finance their required storm water improvements. This will be done through the creation of a storm water utility with diverse funding sources including impact and user fees, a community financing district, and grants and loans. Of interest is the diversity of their grants. Funds were identified from such diverse sources as the Historical Society and Scenic Roads funding. The goal of this study was to identify and size a system of improvements which would achieve the greatest defined economic benefit (both local and regional) per dollar of cost, based on the 100-year floodplain extents. Storm Water Utility Formation, Bexar County, Texas - Ms. Keese assisted the county by establishing a freestanding and fully self-supporting storm water utility. This process involved completing a full master plan, funding plan, rate analysis, and public outreach program. The rate structure is based on a tiered approach for all classes of users based on lot size. There are two tiers of single family users, 4 tiers for multi -family users, and 5 tiers for commercial/industrial users. Karyn L. Keese National Financial Services Manager Storm Water Utility Formation, Universal City, Texas - Ms. Keese assisted the City in establishing a freestanding and fully self-supporting storm water utility. The master plan has been completed by PBS&J, and the City adopted and implemented the new rate structure in late 2004 to fund the needed operational and capital costs of their storm water utility. The rate structure is based on a tiered approach for all classes of users based on lot size. There are two tiers of single family users, 4 tiers for multi -family users, and 5 tiers for commercial/industrial users. Collier County, Florida — In 2004 Ms. Keese assisted the County in establishing a freestanding and fully self-supporting storm water utility. Additional required planning studies are being completed by PBS&J. Once these are complete she will be updating their rates to fund the needed operational and capital costs. City of Vista, California — Ms. Keese assisted the City of Vista establish their first storm water utility in 2003. The rate structure was based on estimated exterior water usage for each parcel within the City's boundaries. City of Del Mar, CA — The City has been a long-term Financial Services client. We developed and implemented a storm water utility and corresponding rate structure for the City in 2003. We are presently performing an audit of the City of San Diego's municipal costs to determine if the City is paying their fair share of sewer transportation costs. City of Poway, California — Ms. Keese assisted the City in establishing their first storm water utility in 2002. A new regulatory fee was established to lawfully recover the cost of compliance with Order No. 2001-01 of the San Diego Regional Water Quality Board. The rate structure was based on the size of each individual accounts water meter. City of Oceanside, California — Ms. Keese assisted the City in establishing their first storm water utility in 2002. This utility was created in response to the need to fund $1.5 million annually to comply with storm water requirements adopted by the San Diego Regional Water Quality Board. Rates were set to recover not only the cost of overall program administration and debt service for capital projects, but all for development related plan check and inspection fees. Utility Formation and Reorganization: Fullerton, CA — Ms. Keese assisted in the establishment of the City's first sewer utility. Sewer user rates as well as Fats, Oil, & Grease (FOG) permit and commercial surcharge rates were established to comply with the Orange County Sanitation District permit requirements. The City also adopted a five year long range plan and reserve policy for the utility. Included in the long-range plan was the phasing of full reserve funding within the five years covered by the study, including a fully funded replacement reserve. Rancho Del Campo, California — Ms. Keese performed a governance study for the unincorporated community of Campo in San Diego County. The purpose of this study was to determine if there were viable institutional options to continued County ownership and operation of the Campo water and sewer systems. Phase I consisted of a review of possible governance options, formation requirements Karyn L. Keese National Financial Services Manager and evaluation of each option in accordance with established criteria. Phase 1I expanded Phase II to assist in implementation of recommendations from Phase I including public outreach with the Board of Supervisors, LAFCO, and local planning groups. Ft. Ord, Monterey County, California — Ms. Keese has been and active member of the Ft. Ord Base Closure committee since its formation representing the sewer utility, Monterey Regional Water Pollution Control Agency. Her roll on the committee was to provide technical guidance to the Committee and the Agency. Her areas of work were assisting in the facility inventory and analysis; deficiencies identification, corrective improvements and costs; summary of future capacity related improvements; financial review and summary; and negotiating utility service agreements between the Committee and the Agency. Trabuco Canyon Water District, Trabuco Canyon, CA - We prepared a third party review of all documents produced by Irvine Ranch Water District (IRWD) in preparation for a Local Agency Formation Commission (LAFCO) economic analysis on severing the Portola Hills area from TCWD and consolidating it with IRWD. In addition, we analyzed the economic feasibility of redirecting the Portola Hills sewage from the El Toro Pump Station via gravity facilities owned by IRWD. In addition we have prepared a water, sewer and reclaimed water rate and long range plan for the District. We restructured and brought all of their rates and fees up to industry standards and determined how they could finance their identified capital facilities on a pay-as-you-go basis. Engineering Reports and Financial Studies Supporting Bond Issues: Seminole County, Florida — Ms. Keese assisted in the preparation of a Certified Engineers Report in support of the County's November 2006 $300 million water and sewer revenue bond issue. The Report concluded that all of the County's facilities are in good condition and well maintained and that the County's capital reserves, supplemented with connection fees and capital financing, are adequate to fund the capital improvements required to maintain the system's present level of operation and service and meet the future needs of the County. St. John's County, Florida — We assisted the County in establishing a value for the water and sewer system they were negotiating to purchase from St. John's Service Company. We prepared an income approach model, preliminary rate scenarios, and a debt bearing capacity analysis for the bond financing of the purchase price. Seminole County, Florida — We assisted in the Annual Report to Bondholders for the Solid Waste Revenue Bond Resolution No. 90-R-62 for the Environmental Services Department, Solid Waste Division. City of Pinellas Park, Florida — We assisted in preparing a comprehensive Engineers Report to assist the City in issuing bonds by documenting the projects identified in the Official Statement for Pinellas Park Water and Sewer Revenue Bonds, Series 2003. To prepare this Report, she has reviewed the existing system, appropriate financial and operational records, and capital improvement program to create a long-range proforma. Metro Wastewater JPA, San Diego, California — The Metro JPA is fully engaged in all regional wastewater issues and reviews every aspect of the City of Karyn L. Keese National Financial Services Manager San Diego's decision -making process from the earliest project conception to financing to completion. As Financial Advisor the Metro Commission Ms. Keese reviews all financial aspects, including budgets, audits, CIP, rate case proposals and debt, grant and low interest loan financing packages for San Diego's Metropolitan Wastewater Division (MWWD) capital program. She has conducted annual successful audits of the MWWD system, resulting in major cost reforms and annual cost savings in the millions of dollars. Since 1998 she has been involved in the due diligence required for four bond issues totaling 1.2 billion dollars. This does not include an additional $266 million in EPA Clean Water grants and low interest loans. Ms. Keese is currently working with the City in support of an upcoming debt issue that will include approximately $335 million in new money and a $500 million refunding. Financial Management & Miscellaneous Studies: City of Los Angeles Amalgamated Agencies Contract Review, CA — The City of Los Angeles provided sewage transportation and treatment for numerous agencies such as the Cities of Burbank, Glendale, and Culver City. Each "Amalgamated Agency" has an Agreement with the City of Los Angeles with similar terms. Each year the Amalgamated Agencies are billed based on rates adopted by the City of Los Angeles. Within six months following the conclusion of a Fisca Year, Los Angeles performs a reconciliation of the prior year's expenses and submits a reconciliation invoice. This reconciliation comes in the form of loosely linked spreadsheets. The spreadsheets make it difficult to determine exactly what each agency is paying for and impossible to determine if the operations, maintenance, and capital costs are allocable under the Agreement. On behalf of the Cities of Burbank, Glendale, and Culver City we are preparing an independent third party review of the City of Los Angeles FYE 2005-2006 reconciliation to determine how these costs are derived, do they tic out to audited financial statements, and are the costs appropriate and per their Agreements with the City of Los Angeles. Program Management Assessment, San Diego Association of Governments, CA — Ms. Keese was part of a team selected by SANDAG to act as an extension of SANDAG staff to perform "program scanning" for the TransNet program. This assignment involved reviewing program and project management processes and tools currently used by SANDAG and the California Department of Transportation (Caltrans), determining strengths and weaknesses, and developing a list of recommendations by priorities to effectively manage the program. Ms. Keese's key contribution to the project was determining that SANDAG's Integrated Financial and Accounting System (IFAS) could be linked to the Caltrans expenditure authorization and work breakdown structure program (WBS) for efficient transfer of project expenditure data without the purchase of expensive accounting software by either agency. This was accomplished through the revision of each agency's project account numbering system, minor programming, and integrating them into the Program Trip Report. Water and Wastewater Systems Preliminary Due Diligence Services — Ms. Keese assisted in the financial due diligence in support of a purchase offer and future negotiations for the purchase of 180 water and wastewater utility systems nationwide. She was part of a multi -disciplinary team. Her areas of work will be included assisting in the facility inventory and analysis; deficiencies Karyn L. Keese National Financial Services Manager identification, corrective improvements and costs; summary of future capacity related improvements; and financial review and summary. Finance Department Optimization Review — Mesa Consolidated Water District in Irvine, CA asked Ms. Keese to review the operation of their finance department as the Board of Director's had recently lost faith in the departments ability to produce meaningful fmancial reports. This study involved two full day work sessions with the entire staff, individual interviews of all staff members, systems evaluation, and flow charting of all irttrnal control processes. The Board of Directors unanimously adopted the study output and the District is currently implementing the study's recommendations. Recycled Water Pricing Policy Study, Metro Wastewater JPA, San Diego, CA — Ms. Keese has provided ongoing financial and engineering consulting services for over 5 years for the Metro Wastewater JPA, comprised of all of the sewer districts in San Diego County that flow into the City of San Diego's regional sewage treatment system. This past year, PBS&J performed a financial study to analyze the City of San Diego's incentive pricing policy for recycled water. The main objectives of the study were to understand the City's pricing structure for retail customers and for wholesale customers and determine the impacts of the incentive pricing to the participating agencies. As part of this project, PBS&J reviewed the impacts that the actual cost of reclaimed water for agencies that are paying transportation costs and those that are required to build their own transmission facilities. The analysis of the total cost of recycled water included the commodity base charge, capacity charge, monthly meter fees, retrofit or infrastructure costs and any applicable credits. These costs were analyzed for the retail and wholesale customers. PBS&J also reviewed how the incentive rate program affected the return flows of unsold tertiary water from the North City Water Reclamation Plant to the Point Loma Wastewater Treatment Plan where these flows are treated again. Based on this study, as the sales of recycled water are projected to increase over time, this will reduce the return flows and thus treatment costs for the participating sewer agencies. Review of East Mission Gorge Sewer System Costs, San Diego, California - Ms. Keese served as the Project Manager on the financial audit of costs allocated to the agency by the City of San Diego. The audit included the review of backup documentation (reports, planning studies, memos) on how the East Mission Gorge System was planned and sized. This project was a joint project with Padre Dam Municipal Water District and the City of El Cajon. Review of Penisquitos System Costs, Del Mar, California - Ms. Keese was Project Manager on this project, which reviewed the costs billed to the agency by the City of San Diego for the Penisquitos subsystem. Ms. Cairns coordinated the review of documentation and invoices associated with the charges for the system. This project is a joint project with the City of Poway. City of National City, Sewer User Rate Case, Tax Roll Billing Conversion, and Bad Debt Collection — The City of National City has been a Long-term utility rate and financial services client of Ms. Keese. Their annual sewer service budget is currently $5.2 million dollars. However over the past five years their bad debt has risen to a cumulative amount of $2.9 million due to the lack of attention to the accounts receivable system. In late 2003 the City approached Ms Karyn L. Keese National Financial Services Manager Keese to evaluate and produce recommendation on how to change their billing system to eliminate bad debt, optimize productivity and minimize costs, and assist them in collecting their outstanding debt. Through a thorough billing system evaluation, in which Ms. Keese was joined by Brad Scott, Program Manager for Information Solutions for PBS&J it was determined that the City could convert their direct billing system to direct tax roll billing for $.10 per parcel and each year collect 100% of their revenues thus eliminating all bad bed. The transition from a faulty direct billing system to tax roll billing was done in two months (this process normally takes a year). All water meters were matched up with County of San Diego Tax Assessor parcel numbers using a combination of relational database data manipulations, Geospace Overlay Techniques (GIS), and field service in sections. The City's Finance Department reported that 7,556 parcels were placed on the tax roll for a total of $5.2 million. Through additional database cleanup PBS&J was able to collect an additional $260,000 from parcels that had not been currently billed plus $300,000 from the Navy. With the savings in cost for eliminating the direct billing system of $400,000 this equated to a total cost saving for the City of $960,000 or 18•%0 of their annual budget. The City also contracted with Ms Keese and Mr. Scott to take steps to collect the $2.9 million in bad debt that had accumulated. This process was completed in time to lien parcels for non-payment in August 2004. City of Culver City, CA - Ms. Keese provided both annual sewer user rate review and updates services to the City, as well as tax roll database management for the annual billing of all customers on the Los Angeles tax roll. She completed a sewer user charge restructure study for the City and the new rate structure was first implemented in FY2004. Monterey Regional Water Pollution Control Agency, CA - In August 2003 Ms. Keese began work on several major projects for the MRWPCA. This included trouble shooting their existing sewer rate model for cost allocation inconsistencies. In addition, she provided economic analyses in support of the agency's efforts to expand their service area. Ms. Keese also assisted in contract negotiations with the U.S. Army and U.S. Navy to update both capital and service contracts. MRWPCA has been and on -call Financial Services client since 1998. Past work includes development of their current capacity fees, sewer user rate studies, long range financial planning, implementation of financing techniques, and negotiating new and revised capital and service contracts with the U.S. Army, U.S. Navy, and the U.S. Coast Guard. Past "typical" assignments varied in length from two to ten months. The exception was an assignment to close out six Clean Water Grants where the State and federal agencies requested a $23 million repayment from MRWPCA; however after ten years of negotiations with the EPA, U.S. Army Corp of Engineers, and State Water Resources Control Board, MRWPCA received an additional $9 million in State and Federal funding (without repayment of any funds to the government). Papers & Publications: Financing Storm Water Utilities, PBS&J Highlights, Spring 2004. Integrated Financial Planning for Storm Water Utilities, Paper: StormCon Annual Conference, July 2004. Karyn L. Keese National Financial Services Manager Avoiding Rate Hikes With Cost -Saving Fee Collection Technology, American City & County Magazine, July 2004. Storm Water Utility Rate Policies, Paper: Southeast Stormwater Association Annual Conference, January 2006. Marginal Cost Impact Fees, Paper. Impact Fee Roundtable Annual Conference, September 2006. THIS DOCUMENT HAS A TRUE DEFENSA'm WATERAa' UK ANn "'S19'.F PPS 4'S�FRNU F FROM FROTH SIDES A CON$PCCUOU$i THIS DOCUMENT 1S ALTERATION PROTECTED AND REFLECTS FLUORESCENT FIBERS UNDER UV LIGHT KEEP FOR YOUR RECORDS BUSINESS TAX RECEIPT License No. 65275 T $65.00 ADMR $10,50 TOTAL $75.50 ACORN„ CERTIFICATE OF LIABILITY INSURANCE DATE(MM�"") 03/12/09 PRODUCER Holmes Murphy and Associates - Omaha 1637 South 158th Plaza 'te 200 Aha, NE 68130 1-866-220-4625 THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS CERTIFICATE DOES NOT AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. INSURERS AFFORDING COVERAGE INSURED Post, Buckley, Schuh & Jernigan, Inc. d/b/a PBS&J 2001 NW 107th Avenue Miami, FL 33172-2507 I INSURER A Zurich American Insurance Company/816535 INSURER B. Zurich American Insurance Company / 816535 INSURER C:Steadfast Insurance Company/826387 INSURERD. INSURER E: RAGES THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED. NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH POLICIES. AGGREGATE LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. INSR TYPE OF INSURANCE POUCY NUMBER Yl POLICY EFFECTIVE DATE IMILDD/Y POLK:Y EXPIRATION DATE fMMmD/YYl LIMITS A GENERAL LIABILITY GLO 9139458-02 09/30/08 09/30/09 EACH OCCURRENCE $1,000,000 X COMMERCIAL GENERAL LIABILITY FIRE DAMAGE (Any one ire) $ 1, 000, 000 CLAIMS MADE X OCCUR MED EXP (Any one person) $ 25,000 X Contractual Liability PERSONAL SADVINJURY $1,000,000 GENERAL AGGREGATE $ 2,000,000 GEN'L AGGREGATE LIMIT APPLES PER: PRODUCTS - COMP/OP AGG $2,000,000 1 POLICY 1 " _ J�7 j x) LOC B AUTOMOBILE X LIABILITY ANY AUTO BAP 9139457-02 09/30/08 09/30/09 COMBINED SINGLE LIMIT (Ea accident) $ 2,000,000 A ALL OWNED AUTOS SCHEDULED AUTOS BODILY INJURY (Per person) X X H HIRED AUTOS NON -OWNED AUTOS BODILY INJURY (Per accident) S X Contractual Liability PROPERTY DAMAGE (Per accident) S %Me GARAGE LIABILITY AUTO ONLY - EA ACCIDENT $ ANY AUTO OTHER THAN EA ACC S AUTO ONLY: AGG S C EXCESS LIABILITY AUC 508762104 09/30/08 09/30/09 EACH OCCURRENCE $ 25, 000, 000 OCCUR CLAIMS MADE AGGREGATE $ 25,000,000 -� $ DEDUCTIBLE RETENTION $ 0 S A WORKERS COMPENSATION AND WC 9139459-02 09/30/08 09/30/09 IEXTRYLMITR IQIS1 EMPLOYERS' UABIUTY E L. EACH ACCIDENT 1, 000000 $ , E.L.DISFA F-EAEMPLOYEE $ 1, 000,000 E.L. DISEASE - POLICY LIMIT $ 1, 000, 000 OTHER S S S DESCRIPTION OF OPERATIONS/LOCATIONSNEHICLES/EXCLUSIONS ADDED BY ENDORSEMENT/SPECIAL PROVISIONS RE: Joe Smith Tax Roll Preparation FY 2009-2010; PBS&J No. p100007281 City of National City its officers, agents, employees, and volunteers are Additional Insureds on the General Liability 1 Automobile Liability on a Primary & Non -Contributory basis with respect to the operations of the insured on the above project. Waiver of Subrogation on the Workers Compensation in favor of the City of National City. See attached for additional wording. CERTIFICATE HOLDER ADDITIONAL INSURED; INSURER LETTER: CANCELLATION National City, City of "tn: City Attorney 1 National City Blvd. National City, CA 91950 USA SHOULD ANY OF THE ABOVE DESCRIBED POUCES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF, THE ISSUING INSURER WILL EXIMAYMVIYMAIL 30 DAYS WRITTEN NOTICE TO THE CERTIFICATE HOLDER NAMED TO THE LEFT, EKRIMUUMXIMEIXOXIMAXXX VITVIIKANWRIMWIKISKX XXXXXXXXXXXXXXXRXX=XXXXTYzxXXXX AUTHORIZED REPRESENTATIVE ✓�� ACORD 25-S (7/97)' levansne 11327806 Certificate Delivery by CertificatesNow - www.ConfirmNet.com - 877.669.8600 m ACORD CORPORATION 1988 IMPORTANT If the certificate holder is an ADDITIONAL INSURED, the policy(ies) must be endorsed. A statement on this certificate does not confer rights to the certificate holder in lieu of such endorsement(s). If SUBROGATION IS WAIVED, subject to the terms and conditions of the policy, certain polities may require an endorsement. A statement on this certificate does not confer rights to the certificate holder in lieu of such endorsement(s). DISCLAIMER The Certificate of Insurance on the reverse side of this form does not constitute a contract between the issuing insurer(s), authorized representative or producer, and the certificate holder, nor does it affirmatively or negatively amend, extend or alter the coverage afforded by the policies listed thereon. ACORD 25-S (7/97) SUPPLEMENT TO CERTIFICATE OF INSURANCE DATE 03/12/09 NAME OF INSURED: Post, Buckley, Schuh & Jernigan, Inc. d/b/a PBS&J Additional Insured on the General Liability & Auto Liability on a Primary & Non -Contributory basis, including completed operations "Where Required by Contract" (GL ONLY). General Liabiltiy Aggregate limit applies per Project Blanket Additional Insured Lessor/Loss Payee on the Auto Liability. Waiver of Subrogation on the General Liability Auto Liability, and Workers Compensation "Where Required by Contract". Umbrella follows form to the Additional Insureds on the General Liability. NOTICE OF CANCELLATION WORDING: SHOULD ANY OF THE DESCRIBED POLICIES ON THE CERTIFICATE BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF, THE ISSUING INSURER WILL MAIL 30, 60 OR 90 DAYS WRITTEN NOTICE "WHERE REQUIRED BY CONTRACT" EXCEPT 10 DAYS NOTICE FOR NON-PAYMENT OF PREMIUM TO THE CERTIFICATE HOLDER NAMED ON THE ATTACHED CERTIFICATE. SUPP (10/00) COMMERCIAL INSURANCE ENDORSEMENT Insurance for this coverage part provided by: Zurich American Insurance ADDITIONAL INSURED COMMERCIAL AUTO INSURANCE Named Insured: Post, Buckley, Schuh & Jernigan, Inc. d/b/a PBS&J Policy Number: BAP 9139457-02 Policy Eff/Exp: 9/30/08 — 9/30/09 Renewal of Number BAP 9139457-01 THIS ENDORSEMENT MODIFIES INSURANCE PROVIDED BY THE FOLLOWING: BUSINESS AUTO COVERAGE PART SCHEDULE NAME: City of National City, its officers, agents, employees & volunteers 1243 National City Blvd. National City, CA 91950 RE: Joe Smith: Tax Roll Preparation FY 2009-2010; PBS&J No. p100007281 WHO IS AN INSURED (SECTION II) IS AMENDED TO INCLUDE AS AN INSURED TI-IE PERSON (S) OR ORGANIZATION (S) SHOWIN IN THE SCHEDULE BUT ONLY WITH RESPECT TO THEIR LIABILITY ARISING OUT OF: A) YOUR WORK FOR THE ADDITIONAL 1NSURED(S) AT THE LOCATION DESIGNATED, OR B) ACTS OR OMISSIONS OF THE ADDITIONAL INSURED(S) IN CONNECTION WITH THEIR GENERAL SUPERVISION OF "YOUR WORK" AT THE LOCTION SHOWN IN THE SCHEDULE. FOR CLAIMS ARISING OUT OF OPERATION, MAINTENANCE OR USE OF A COVERED AUTO, THIS INSURANCE SHALL BE PRIMARY INSURANCE OVER ANY OTHER INSURANCE AVAILABLE TO THE SCHEDULED INSURED. U-CA-388-A (07-94) WORKERS' COMPENSATION AND EMPLOYERS' LIABILITY INSURANCE POLICY WC 04 03 06 (Ed. 4-84) WAIVER OF OUR RIGHT TO RECOVER FROM OTHERS ENDORSEMENT- CALIFORNIA This endorsement changes the policy to which it is attached effective on the inception date of the policy unless a different date is indicated below. (The following 'attaching clause" need be completed orVy wfien this endorsement is issued subsequent to preparation of the poicy.) This endorsement, effective on 09/30/2008at 12:01 A.M. standard time, forms a part of (DATE) Policy No. WC 9139459-02 Endorsement No. of the ZURICH AMERICAN INSURANCE COMPANY (NAME OF INSURANCE COMPANY) issued to Post, Buckley, Schuh & Jernigan, Inc. d/b/a PBS&J Premium (if any) $ Authorized Representative We have the right to recover our payments from anyone liable for an injury covered by this policy. We will not enforce our right against the person or organization named in the Schedule. (This agreement applies only to the extent that you perform work under a written contract that requires you to obtain this agreement from us.) You must maintain payroll records accurately segregating the remuneration of your employees while engaged in the work described in the Schedule. The additional premium for this endorsement shall be % of the Califomia workers' compensation pre- mium otherwise due on such remuneration. Schedule Person or Organization Job Description City of National City 1243 National City Blvd. National City, CA 91950 RE: Joe Smith: Tax Roll Preparation FY 2009- 2010; PBS&J No. p100007281 WC 252 (4434) WC 04 03 06 (Ed. 4-84) Page 1 of 1 Additional Insured — Automatic - Owners, Lessees Or Contractors - Broad Form Named Insured: Post, Buckley, Schuh & Jernigan, Inc. d/b/a/ PBS&J ZUR1CHs • Policy No. Eff. Date of Pol. Exp. Date of Pol. Eff. Date of End. Producer Add'I. Prem Return Prem. G LO9139458-02 09/30/08 09/30/09 09/30/08 $ $ TIIIS ENDORSEMENT CIIANGES THE POLICY. PLEASE READ IT CAREFULLY. This endorsement modifies insurance provided under the: Commercial General Liability Coverage Part A. WIIO IS AN INSURED (Section II) is amended to include as an insured any person or organization whom you are required to add as an additional insured on this policy under a written contract or written agreement. B. The insurance provided to additional insureds applies only to "bodily injury", "property damage" or "personal and advertis- ing injury" covered under Section I, Coverage A, BODILY INJURY AND PROPERTY DAMAGE LIABILITY and Coverage B, PERSONAL AND ADVERTISING INJURY LIABILITY, but only if: l . The "bodily injury" or "property damage" results from your negligence; and 2. The "bodily injury", "property damage" or "personal and advertising injury" results directly from: a. Your ongoing operations; or b. "Your work" completed as included in the "products -completed operations hazard", performed for the additional insured, which is the subject of the written contract or written agreement. C. However, regardless of the provisions of paragraphs A. and B. above: I . We will not extend any insurance coverage to any additional insured person or organization: a. That is not provided to you in this policy; or b. That is any broader coverage than you are required to provide to the additional insured person or organization in the written contract or written agreement; and 2. We will not provide Limits of Insurance to any additional insured person or organization that exceed the lower of: a. The Limits of Insurance provided to you in this policy; or b. The Limits of Insurance you are required to provide in the written contract or written agreement. D. The insurance provided to the additional insured person or organization does not apply to: 1. "Bodily injury", "property damage" or "personal and advertising injury" that results solely from negligence of the addi- tional insured; or 2. "Bodily injury", "property damage" or "personal and advertising injury" arising out of the rendering or failure to render any professional architectural, engineering or surveying services including: a. The preparing, approving, or failing to prepare or approve maps, shop drawings, opinions, reports, surveys, field orders, change orders or drawings and specifications; and `NNIO/ Includes copyrighted material of insurance Services Office, Inc. with its permission. U-G1,1175-A CW (9/03) Page 1of2 v b. Supervisory, inspection, architectural or engineering activities. E. The additional insured must see to it that: 1. We are notified as soon as practicable of an "occurrence" or offense that may result in a claim 2. We receive written notice of a claim or "suit" as soon as practicable; and 3. A request for defense and indemnity of the claim or "suit" will promptly be brought against any policy issued by another insurer under which the additional insured also has rights as an insured or additional insured. F. The insurance provided by this endorsement is primary insurance and we will not seek contribution from any other in- surance available to any additional insured person or organization unless the other insurance is provided by a contractor other than you for the same operations and job location. Then we will share with that other insurance by the method de- scribed in paragraph 4.c. of SECTION IV - COMMERCIAL GENERAL LIABILITY CONDITIONS. Any provisions in this Coverage Part not changed by the terms and conditions of this endorsement continue to apply as writ- ten. Name of Person or Organization: City of National City, its officers, agents, employees & volunteers 1243 National City Blvd. National City, CA 91950 RE: Joe Smith: Tax Roll Preparation FY 2009-2010; PBS&J No. p100007281 U-GL-I175-A CW (9/03) Page 2 of 2 ACORD. CERTIFICATE OF LIABILITY INSURANCE 9/30/200 DATE (MWDD/YYYY)5 3/12/2009 PR°DucER Lockton Companies, LLC-1 Kansas City 444 W. 47th Street, Suite 900 Kansas City MO 64112-1906 (816) 960-9000 THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS CERTIFICATE DOES NOT AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. INSURERS AFFORDING COVERAGE NAIC # INSURED POST, BUCKLEY, SCHUH AND JERNIGAN, INC. 1307320 DBA PBS&J 2001 NW 107 AVENUE MIAMI FL 33172-2507 ( INSURER A : I,LOYDS OF LONDON A XV INSURER B INSURER C : INSURER D : INSURER E : COVERAGES PD THIS CERTIFICATE Of INSURANCE DOES NOT CONSTITUTE A CONTRACT BETWEEN THE ISSUING INSURER(Sl. AUTHORIZED REPRESENTATIVE OR PRODUCER AND THE CERTIFICATE HOLDER. THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED. NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POUCIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH POUCIES. AGGREGATE LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. 1 INSR LTR ADOL INSRD TYPE OF INSURANCE POLICY NUMBER POLICY EFFECTIVE . DATE (MWOD/YY) POUCY EXPIRATION DATE (MMIDD/YY) LIMITS - , GENERAL LIABILITY COMMERCIAL GENERAL LIABILITY NOT APPLICABLE EACH OCCURRENCE $ XXXXXXX DAMAGE TO RENTED PREMISES (Ea occurenoe) $ XXXXXXX CLAIMS MADE OCCUR MED EXP (Any one person) $ XXXXXXX PERSONAL & ADV INJURY $ XXXXXXX GENERAL AGGREGATE $ XXXXXXX GEM. —1 AGGREGATE LIMIT APPLIES PER'. PRODUCTS - COMP/OP AGG $ XXXXXXX POLICY J 1 PJECOT El LOC , AUTOMOBILE LIABILITY ANY AUTO ALL OWNED AUTOS NOT APPLICABLE COMBINED SINGLE LIMIT (Ea accident) $ XXXXXXX BODILY INJURY (Per person) $ XXXXXXX BODILY INJURY (Per accident) $ XXXXXXX PROPERTY DAMAGE (Per accident) $ XXXXXXX ,GARAGE — LIABILITY ANY AUTO NOT APPLICABLEOTHER AUTO ONLY- EA ACCIDENT $ XXXXXXX THAN EA ACC $ XXXXXXX AUTO ONLY: AGG $ XXXXXXX EXCESS/UMBRELLA UABILITY NOT APPLICABLE EACH OCCURRENCE $ XXXXXXX OCCUR CLAIMS MADE AGGREGATE $ XXXXXXX $ XXXXXXX UMBRELLA $ XXXXXXX b XXXXXXX WORKERS COMPENSATION AND EMPLOYERS' UABIUTY ANY PROPRIETOR/PARTNER/EXECUTIVE OFFICERJMEMeER EXCLUDED? It yes, describe wider SPECIAL PROVISIONS below NOT APPLICABLE WC SLIM T- OTH- TORY LIMITS I ER E L. EACH ACCIDENT $ XXXXXXX E.L. DISEASE - EA EMPLOYEE $ XXXXXXX E. L. DISEASE- POLICY LIMIT $ XXXXXXX A A OTHER PROFESSIONALIPOLLUTION LIABILITY LDUSA0800811 CLAIMS -MADE FORM 9/30/2008 9/30/2009 SI,000,000 EACH CLAIM & SI,000,000 ANNUAL. AGGREGATE. 11i11/1961 RFTRODATE. DESCRIPTION OF OPERATIONS/LOCATIONS/VEHICLES/EXCLUSIONS ADDED BY ENDORSEMENT/SPECIAL PROVISIONS RE: JOE SMITII - TAX ROIL, PREPARATION FY 2009-2010. CERTIFICATE HOLDER CANCELLATION 10470452 CITY OF NATIONAL CITY ATTN: CITY ATTORNEY 1243 NATIONAL CITY BLVD. NATIONAL CITY CA 91950 SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF, THE ISSUING INSURER WILL ENDEAVOR TO MAIL 30 DAYS WRITTEN NOTICE TO THE CERTIFICATE HOLDER NAMED TO THE LEFT, BUT FAILURE TO 00 SO SHALL IMPOSE NO OBLIGATION OR LIABILITY OF ANY KIND UPON THE INSURER ITS AGENTS OR REPRESENTATNES. AUTHORIZED REPRESE ACORD 25 (2001/08) For poroboes regarding this certificate, contact the number Tested in the Mabee? section above. 7 I m ACORD CORPORATION 1988 r Approved By: City of National City, California COUNCIL AGENDA STATEMENT `wrEETING DATE April 21, 2009 AGENDA ITEM NO. 8 ITEM TITLE Resolution of the City Council of National City approving the Change Order No. 40 in the amount of $16,981.33 with M.A. Stevens Construction for the National City former Library Remodel Project and authorizing the Mayor to execute the change order (Funded through Tax Increment Funds.) PREPARED BY Din Daneshfar EXPLANATION See attached explanation. DEPARTMENT Engineering EXT. 4387 Environmental Review X N/A MIS Approval Financial Statement n nce Director Funding will be available through Tax Increment Funds, Account No. 511-409-500-598-3-734. 3144- Account No J STAFF RECOMMENDATION Adopt the Resolutio BOARD / COMMI � •� REC N/A ATTACHMENTS (Listed Below) Resolution ..r. Change Order No. 40 Resolution No. A-200 (Rev 7/03) EXPLANATION: On January March 4, 2008 a contract was awarded to M.A. Stevens Construction, Inc. in the amount of $1,108,000 to remodel the National City former Library. The project consisted of general interior improvements to create office, storage and rehearsal spaces, workshop reading rooms and museum. The work included interior demolition, wall construction, finishes, Heating, Ventilating and Air Conditioning (IIVAC), mechanical, electrical, and American with Disabilities Act (ADA) compliance. During construction the following Change Orders were processed. The changes were due to the age of the building. There were number of unforeseen problems that were discovered after the removal of existing improvements. The Change Orders No. 1 through 24 were approved within original budget totaling $ 1 09,698.29. The work included over excavation and re -compaction of the retaining wall footing, insulation of drywalls for exterior walls, building the interior rake walls, adding the data/voice communication locations and providing the material to the REP to install the new wood raised flooring in the rehearsal rooms. On October 7, 2008, Resolution No. 2008-217 approved the Change Orders No. 25 through 38 in the amount of $248,481.20. The work included roofing at new HVAC curb adaptors, roofing revisions of new drains, new roofing over lobby area, installation of drywall draft stop, roof drain system installation, floor patch and leveling, HVAC modifications, door hardware, redesign of fire alarm system, structural steel framework in lobby, lobby ceiling revision, extension of overhead, demolition of existing roof curb assembly and installation of new roof curbs, and framing/demolition for new roofing over lobby area. The major change was due to the installation of Fire Sprinkler System that covered the entire building area including the longshoreman side. The work was required by the Fire Department to meet the building/fire code. On April 6, 2009 Change Order No. 39A was approved in the amount of $1,015.67 to replace windows in the new museum area as requested by the City. The work involved removal of old caulking and deteriorating window mullions and re -sealing of the window to wood installation. The purpose of this resolution is to approve the Change Order No. 40 to install a fire sprinkler system in the building basement, a smoke detector with a tie into the main alarm panel, an underground extension and backflow to the water main as required by the Fire Department. This work was required during the pre -final inspection. The Change Order No. 40 will increase the total expenditure for construction by $16,981.33 to S1,484,176.49. With the additional funds ($295,000) approved by Resolution No. 2008-217, the total original budget for construction ($1,218,800) that included bid amount ($1,108,000), and 10% contingencies ($1 10,800) increased to the final amount of $1,513,800. With approval of the Change Order No. 40, total expenditure for the remodeling of former Library will be $29,623.51 below the final budget. RESOLUTION NO. 2009 - RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NATIONAL CITY AUTHORIZING THE MAYOR TO EXECUTE CHANGE ORDER NO. 40 WITH M.A. STEVENS CONSTRUCTION, INC., IN THE AMOUNT OF $16,981.33 FOR THE NATIONAL CITY FORMER LIBRARY REMODEL PROJECT WHEREAS, on March 4, 2008, the City Council adopted Resolution No. 2008-43 awarding a contract in the total amount of $1,108,000 to M.A. Stevens Construction, Inc., for the National City Former Library Remodel Project; and WHEREAS, during construction, Change Orders No. 1 through 24 were approved within the original budget totaling $109,698.29, increasing the total contract amount to $1,127,698.29; and WHEREAS, on October 7, 2008, the City Council adopted Resolution No. 2008- 217, approving Change Orders No. 25 through 38 in the amount of $248,481.20; and WHEREAS, on April 6, 2009, Change Order No. 39A was approved in the amount of $1,015.67; and WHEREAS, Change Order No. 40 is submitted for the installation of a fire sprinkler system in the building basement, a smoke detector with a tie into the main alarm panel, and an underground extension and backflow to the water main, which was required by the Fire Department, bring the total cost of the contract to $1,484,176.49. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of National City hereby authorizes the Mayor to execute Change Order No. 40 to the contract with M.A. Stevens Inc., in the amount of $16,981.33 for the National City Former Library Remodel Project. PASSED and ADOPTED this 21st day of April, 2009. Ron Morrison, Mayor ATTEST: Michael R. Dalla, City Clerk APPROVED AS TO FORM: George H. Eiser, III City Attorney City of National City Library Remodel Project Specification # 08-01 Nair CHANGE ORDER #40 March 5, 2009 Contractor: A Change Order is hereby recommended for the following work in the amount identified below' Description of Change to the Contract: This Contract Change Order will provide funds for the installation of a sprinkler system and smoke detector in the building basement and an extension of underground services from the main water service as requested by National City Fire and executive staff and directed by the project engineer. Cost Reconciliation: This change in the contract was reviewed and negotiated by and between the City Representatives and the Contractor and represents the entire agreement for the work described herein and includes all costs associated with the work including but not limited to manpower, equipment, labor. fees, taxes, insurance, bonding, overhead, profit, etc. and there will be no other compensation. This Change Order hereby incorporates the original contract and all its referenced documents' terms and conditions. Justification for Change: These changes are made to this contract because the the information was not indicated/included on the construction plans and this addition is a requirement by the Fire Department to maintain protection and area separation per the governing NFPA Codes. Contract Accounting Summary: Original Contract Amount' 1,108,000.00 Net change by previously authorized Change Orders: 359, 195. 16 Contract amount prior to this Change Order: $ 1, 467, 195.60 `✓ Amount of this change order: 16,981.33 New contract amount: $ 1,484,176.49 Original contract time (working days) 40 Previously approved additional working days: 38 Additional working days for this change order: 0 Total contract time (working days) 78 (see Weekly Statement of Contract Time for completion date) Reviewed b City Engineer Agreed to and Accepted by r Contract cc. ContraFt r. Construction File. Project Manager, City Clerk ate Date ,6 Date Recomnded for ap va by: r1 Project anager / Date Approved By: Mayor of National. City Date Justification for Change Order No. 40 This change order is to provide funds for the installation of a tire sprinkler system in the library basement, the addition of a smoke detector with a tic into the main alarm panel, an underground extension and backflow to the water main as requested by the National City Fire Department and ('ity executive staff and directed by the project architect. This CO # 40 also includes a credit for work proposed in CO # 36 of 22,363.00 which was not installed due to the location of the water main. "Or. PCO # 46R M.A. STEVENS CONSTRUCTION, INC. 125 EAST 17TH STREET - NATIONAL CITY, CA 91950 OFFICE (619) 477-7893 - FAX (619) 477-7893 MASTEVENSINC@SBCGLOBAL.NET Date of Request: 03/09/2009 Owner: City of National City Project: National City Library Remodel Contract: Spec. No. 08-01 _200 East 12 Street ORIGINAL CONTRACT AMOUNT: $1,018,000.00 DAYS: 90 PREVIOUS APPROVED CHANGE ORDERS: DAYS: 0 THIS CHANGE: $48,116.66 DAYS: REVISED CONTRACT AMOUNT: $1,066,116.66 DAYS: 90 SUBCONTRACTED WORK DESCRIPTION Additional work for fire sprinklers and fire alarm COST 50' of piping and B/F preventer as originally shown in PCO #036 plus 130' of undergound piping need to achieve point of connection $19,450.00 Design and install fire sprinkler system in basement area $9,750.00 Design and install additional system components to existing F/A system Smoke detector in basement, flow and tamper switches for sprinkler system $3,980.00 Replace 403 sq ft of concrete $3,000.00 Conduit and boxes for expanded F/A system $500.00 SUBCONTRACTOR COST $36,680.00 %5 OVERHEAD AND PROFIT $1,834.00 TOTAL SUBCONTRACTOR COST $38,514.00 M.A. STEVENS CONSTRUCTION, INC WORK DESCRIPTION LABOR (HOURS) MATERIAL (COST) Note All concrete work by MAS, exculdes landscape repair, sidewalk repair and anything outside of project P/L Original cost for underground work to be deducted including 7% mark-up -S22,363.00 MATERIAL EXPENSES TOTAL LISTED MATERIAL TAX 7.75% TOTAL MATERIAL Credit -$22,363.00 LABOR EXPENSES TOTAL LABOR @ $51.50 SUPERVISION @ $62.17 8 $497.36 TOTAL LABOR COST 8 $497.36 1 JOB EXPENSES TOOLS/ MISC. 4% OF LABOR HOURS PERMIT AND INSPECTION FEES Dumpster and disposal EQUIPMENT RENTAL Bobcat Fuel Scissorlift ADMINISTRATION PROCESSING FEE (1% OF LABOR HOURS) TOTAL JOB EXPENSE $0.00 M.A. STEVENS CONST. INC. SUMMARY TOTAL MATERIAL Credit -$22,363 00 TOTAL LABOR COST $497 36 TOTAL JOB EXPENSE SUBTOTAL -$21,865.64 5% OVERHEAD AND PROFIT $0.00 TOTAL M.A. STEVENS CONST. COST -$21,865.64 TOTAL SUBCONTRACTOR COST $38,514.00 TOTAL M.A. STEVENS CONST. credit -$21,865 64 SUBTOTAL $16,648.36 BOND FEE 2% $332.97 TOTAL COST OF CHANGE ORDER $16,981.33 M.A. STEVENS CONSTRUCTION INC: PRINT DATE SIGN APPROVED BY AUTHORIZED REPRESENTATIVE: PRINT DATE SIGN City of National City, California COUNCIL AGENDA STATEMENT 'VEETING DATE April 21, 2009 AGENDA ITEM NO. 9 ITEM TITLE Resolution of the City Council of National City approving an Amendment to the contract between the City and Dokken Engineering (the Consultant) in the not -to -exceed amount of $20,000 for Plaza Boulevard Widening and authorizing the Mayor to execute the amendment (Funding through Federal STP, Local TransNet and Capital Outlay Funds.) PREPARED BY DEPARTMENT EXT. 4387 Din Daneshfar Engineering EXPLANATION See attached explanation. J Environmental Review X N/A MIS Approval Financial Statement Approved By: Funds are available through STP funds Account No.312-409-500-598-6569, TransNet funds Account No. 307-409-500-598-6569 and Local Capital Outlay funds Account No. 103-409-500-598-6569. Finance Director Account No. STAFF RECOMMENDATION Adopt the Resolutio BOARD / COMMISSION RECOMMATION N/A ATTACHMENTS (Listed Below) . Resolution T2. Amendment Resolution No. A-200 (Rev 7/03) EXPLANATION: On November 21, 20006 a Contract was approved between Dokken Engineering firm and the City in the total amount of $1,101,000 to provide engineering design and right of way acquisition services for the Street Widening Improvements on Plaza Boulevard from Highland Avenue to Euclid Avenue. The preliminary engineering and environmental clearance of project completed. The City's Consultant has recently completed the final design package. We are currently in the process of negotiating with property owners for the acquisition of Right of Way necessary for this project. As negotiations have continued with various property owners, the desire to stake exact boundaries for the property acquisition has been communicated to the City. Several owners have asked that they be shown the physical limits of construction areas and the permanent roadway widening. The purpose of the resolution is to approve an Amendment to the contract between the City and Dokken Engineering in the not -to -exceed amount of $20,000 to perform staking work for individual owners as needed. With this amendment the total contract amount will increase to $1,121,000. RESOLUTION NO. 2009 — RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NATIONAL CITY AUTHORIZING THE MAYOR TO EXECUTE AMENDMENT TO AGREEMENT WITH DOKKEN ENGINEERING IN THE NOT -TO -EXCEED AMOUNT OF $20,000 FOR THE PLAZA BONITA WIDENING PROJECT WHEREAS, on November 21, 2006, the City Council adopted Resolution No. 2006-226, approving an agreement in the amount of $1,101,000 with Dokken Engineering to provide civil engineering and right-of-way acquisition services for street widening improvements on Plaza Boulevard, from Highland to Euclid Avenues, using Federal and Local TransNet funds, and WHEREAS, the preliminary engineering and environmental clearance of the project has been completed, and Dokken Engineering has recently completed the final design package; and WHEREAS, in the City's negotiations with the affected property owners, several owners have asked to be shown the physical limits of construction areas and the permanent roadway widening; and WHEREAS, the Amendment to Agreement in the not -to -exceed amount of $20,000 will provide as -needed staking work for individual property owners who desire to be shown the physical limits of construction areas and the permanent roadway widening, NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of National City hereby authorizes the Mayor to execute an Amendment to Agreement with Dokken Engineering in the not -to -exceed amount of $20,000 to provide as -needed staking work for individual property owners who desire to be shown the physical limits of construction areas within the Plaza Bonita Widening Project. Said Amendment to Agreement in on file in the office of the City Clerk. PASSED and ADOPTED this 21 st day of April, 2009. Ron Morrison, Mayor ATTEST: Michael R. Dalla, City Clerk APPROVED AS TO FORM: George H. Eiser, III City Attorney ADMENDMENT TO AGREEMENT BETWEEN THE CITY OF NATIONAL CITY AND DOKKEN ENGINEERING This Amendment to Agreement is entered into this 1 1 th day of March 2009, by and between the City of National City, a municipal corporation ("the CITY"), and Dokken Engineering (the "CONSULTANT"). RECITALS A. The CITY and the CONSULTANT entered into an agreement on The Street Widening Improvements on Plaza Boulevard from Highland to Euclid Avenues ("the Agreement") wherein the CONSULTANT agreed to provide Civil Engineering and Right -of -Way Acquisition Services. 13. The parties desire to amend the Agreement to perform additional Surveying and Staking work, as needed (See attached Exhibit A). NOW, TI-IEREFORE, the parties hereto agree that the Agreement entered into on November 21, 2006 shall be amended by $20,000 (Not -to -Exceed). The parties further agree that with the foregoing exception, each and every term and provision of the Agreement dated November 21, 2006, shall remain in full force and effect. IN WITNESS WHEREOF, the parties hereto have executed this Agreement on the date and year first above written. CITY OF NATIONAL CITY DOKKEN ENGINEERING 13y: By: Ron Morrison, Mayor Chris Johnson, Vice President I3y: Cathy Chan, Secretary APPROVED AS TO FORM: George II. Fiser, 1II City Attorney m )01 Cation Sol? . tos rout. Concept. to: Cons.tructiort March 24, 2.009 Din Daneshfar Department of Public Works 1243 National City Boulevard National City, CA 91950-4301 EXHIBIT A Subject: Budget Amendment Plaza Boulevard Widening Project Dear Mr. Daneshfar, This letter provides a request for an addition to the scope of work and a budget amendment for Dokken Engineering (DE) for the items of work summarized below. The additional work has been generated by the request to perform survey staking for property owners impacted by the widening project. As negotiations have continued with various owners, the desire to stake exact boundaries for property acquisition has been communicated to the City. Several owners have asked that they be shown the physical limits of construction areas and the permanent roadway widening. In order to accommodate impacted owners, the City has agreed to perform staking work for individual owners as needed. A Fee Schedule has been included, using rates that were agreed to in the original contract. Scope of Supplemental Work Additional items of work have been required as part of the Plaza Boulevard Widening Project. Task 1.0 Project Management: Consultant will manage coordination with property owners to gain access to perform staking of temporary easements and proposed right of way. Task 2.0 Surveying: Consultant will stake temporary easement and proposed right of way boundaries for properties impacted with the Plaza Boulevard Widening Project (assume up to 20 properties to be surveyed and staked). nt l >ic;;;), t ',\ t'_> I :'•3 • lela • I .r: h: i 51 •I S()IIR • w vcw..lrtkl.c r.t :1:,,ntcr, ENGINEERING rmiliobi.tatiort solutio-nsfivii coh-c(771 to cotistrtictioft Proposed Scope of Work - Supplemental Work Fee Summary Task 1 Task 2 Sincerely, Project Management Surveying $ 3,240 $ 16 760 TOTAL, NOT TO EXCEED $ 20,000 DOKK E: 'INEERINt; Accepted and Approved by: Chris Johnson, Din Dancshfar, Project Manager City Project Manager • H,itc ( A ‘)711'3 • lele• --;',S.`,14.K.i",r7 • Fax: ,S58.,11.S6t) • tv)n.w.iiol(kcilen:Irltvl Plaza Blvd PS&E - Amendment 1 FEE PROPOSAL SUMMARY COMPANY NAME Fee % DBE FEE Dokken Engineering 1O.C..c S1.991. t Aguirre & Associates 90 Oct S 8.000 09 TOTAL, NOT TO EXCEED: S20.000.00 DOKKEN ENG INEEIi I\ G FEE PROPOSAL - PS&E - Amendment 1 Dokken Engineerin DIRECT COSTS LABOR) Chris Johnson, PE (Glen Parker. PE INDIRECT COSTS (OVERHEAD) OVERHEAD DIRECT COSTS FEE (PROFIT) PERCENTAGE FUNCTION Project Manager — Project Engineer (Roadway) TOTAL HOURS 10% &,.led at Actual Cost riOUPS 14 S64.00 645.00 Ar:f,O1,NT 171,00% TOTAL OVERHEAD UNIT COST AMOUNT S0.00 TOTAL DIRECT COSTS FEE DOKKEN ENGINEERING TOTAL COST S668.00 $1,142.28 S0.00 S 181.03 KODOKKEN NILN DER I V C. FEE PROPOSAL - PS&E - Amendment 1 Aguirre & Associates DIRECT COSTS (LABOR) NAME FUNCTION HOURS RATE Mickey Aguirre Nick Wilson Mike Havener INDIRECT COSTS (OVERHEAD) OVERHEAD DIRECT COSTS Principal Land Surveyor Party Chief Land Surveyor TOTAL HOURS 7C 70 148 AMOUNT S50_00 S400.00 $45.86 $3,210.20 $37.001 S2,590.00 TOTAL LABOR S6,200.20 BiIlea at Actua: Cost ITEM:' QUANTITY Reproduction 1 UN T 11 LS 163.00% TOTAL OVERHEAD S10,106.33 UNIT COST S71.51 FEE (PROFIT) PERCENTAGE 10% AMOUN T $71.5' TOTAL DIRECT COSTS $71.51 FEE Si ,630.65 TOTAL COST S18,008.691 DOKKEN ENGINSERING I. ! , . Plaza Blvd PS13LE - Amd 1 . . . Dokken Engineering Aguirre & Associales 1 g ,.- f.:-.• _I ! s I E.- I '';" t . _ -;!--- • •!3. . ,.... - ,-? .:, , . .. . ' . (. ‘.' 4._ '51 ,-- . , 7 . 3 I Task 1.0 Prolett Management I I 7.i $ ' . Pocc .4,4,50,.. '..:' C. li 21 - c N • 2 P.,o•6c: Co4,1,.... : 6 r., 4 4 • 4 l . ror4:. ?OURS • T.114! 2I ;:l. 6'1 -.1 .. . . . • ... 24 f rCI7A:. COST • 7.,:. • P 8,..i 41 $I 991 31 ,..,:,i9 :,: $630,69; $42r.. • , Si 24e '0, S3.23946 I Task 2.0 Surva_y;ng 1 1 1 . 7..,. •., • St]. Per.r..wo: 8.2,1f ,,,y I,.,. 7 2 $14., 1,,so,/ EV,r, , & I 92 , i 21. 40' :c 7 '.• 3 Sul , t, 4 .:: V., ',. FL, , t's 1 _, r0;A:. r4OURS • `AS,. : , ' ..2.• 4 . • ;6,,..' ; ! Eci 41, ;,--. ,2 ..... ' :PE. 13, . . s 7 364 ' • $16 689 02 S 16.689 02 ; Sr, C:i SO 00 TOTAL PROJECT HOURS 2! 1 121 . 14 701 70 148 162 lOiRECT COSTS iroT;. NOT TO EXCEED PROJECT COST SO 7.. 5. St.001.31 s 4,24' •11 8.o09.69 S20.000.00 City of National City, California COUNCIL AGENDA STATEMENT _,,,AEETING DATE April 21, 2009 AGENDA ITEM NO. 10 ITEM TITLE A Resolution of the City Council of the City of National City awarding a Contract to MJC Construction Company in the amount of $84,722.00 for the National City Parks Rehabilitation Furnishings Project (Phase 2). (Funded through General Funds) PREPARED BY Kenneth Fernandez EXPLANATION Please see attached page with explanation. DEPARTMENT Engineering EXT. 4388 Environmental Review X N/A MIS Approval Financial Statement Approved By: ance Director The total estimated amount for the work is $119,100. Funding is available through Account 001-409-500- 598-4127. (General Funds). STAFF RECOMMENDATION Adopt the Res • uti �// BOARD / COMMISSION RECOMME$D/ICY'ION N/A Account No. ATTACHMENTS (Listed Below) Resolution No. 1. Resolution 2. Bid Opening Information Sheet 3. Bid Summary for the three lowest bidders A-200 (Rev. 7/03) SPEC 07-06-B-MJC EXPLANATION The Engineering Department provided a status update and requested feedback from City Council as to the Remodeling and Renovation of Parks and Recreation Facilities Project. As a result of this productive session, Engineering staff proceeded as directed with the design of the project. It was determined that in order to provide the most quality, economical, and streamlined services and products, the project would be divided into phases: 1) External Painting — Completed. 2) Furnishings — Portions of Kimball Park Finished. This project, which includes the installation of concrete pads to accommodate furnishings, will complete this aspect of the project at the three parks. 3) Building Structure Improvements — Construction for Phase 3 completed. This was extended into another phase focusing on the ADA improvements and access of restrooms at each major park — Currently in design. On March 19, 2009, the Furnishings Package, i.e. Phase 2, was advertised. The project consists of the assembly and installation of multiple parks furnishings and concrete pads at specific locations throughout Kimball Park, El Toyon Park, and Las Palmas Park. These furnishings were purchased by the City directly in an effort to reduce cost and maximize value. On March 30, 2009, an optional pre -bid meeting was held to answer any questions and provide site access to potential bidders. On April 7, 2009, fifteen bids were officially received and opened by our City Clerk (See attachment for listing). Review of the bid documents and research of the apparent lowest bidder, MJC Construction, was completed. The aforementioned company has a valid current contractor's license, ``"`outstanding references, and many years of experience. They are qualified to perform the scope of work the City is seeking. In summary, staff has completed a comprehensive review of all the proposals and found the lowest responsive bidder, MJC Construction, qualified to perform the scope of work. The total cost of the project is estimated to be $115,100. This amount includes the construction bid price of $84,722 plus approximately 15% ($13,000) for contingencies, approximately 15% ($13,000) for construction management services, and approximately 5% ($4.300) for materials testing, inspection, and/or surveying services. In summary, the Engineering Department recommends that City Council award a Contract to MJC Construction Company in the amount of $84,722.00 for the National City Parks Rehabilitation Furnishings Project (Phase 2). RESOLUTION NO. 2009 — RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NATIONAL CITY AWARDING A CONTRACT TO MJC CONSTRUCTION COMPANY IN THE AMOUNT OF $84,722 FOR PHASE 2 (FURNISHINGS) OF THE NATIONAL CITY REMODELING AND RENOVATION OF PARKS AND RECREATION FACILITIES PROJECT WHEREAS, the Engineering Department, in open session on April 7, 2009, did publicly open, examine, and declare 15 sealed bids for Phase 2 (Furnishings) of the National City Remodeling and Renovation of Parks and Recreation Facilities Project. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of National City hereby awards the contract for Phase 2 (Furnishings) of the National City Remodeling and Renovation of Parks and Recreation Facilities Project to the lowest responsive, responsible bidder, to wit: MJC CONSTRUCTION COMPANY BE IT FURTHER RESOLVED by the City Council of the City of National City that the Mayor is hereby authorized to execute on behalf of the City a contract in the amount of $84,722 with MJC Construction Company for Phase 2 (Furnishings) of the National City Remodeling and Renovation of Parks and Recreation Facilities Project. Said contract is on file in the office of the City Clerk. PASSED and ADOPTED this 21 st day of April, 2009. Ron Morrison, Mayor ATTEST: Michael R. Della, City Clerk APPROVED AS TO FORM: George H. Eiser, III City Attorney i'- CALIFORNIA NATIONAL Ci IY INCORPORATES BID OPENING SPECIFICATION NUMBER: 07-06-B PROJECT TITTLE: NATIONAL CITY CITY PARKS REHABILITATION PROJFC' (PI IASE 2) FURNISHINGS PACKAGE DATE: APRIL 7, 2009 TIME: 3:00 P.M. ESTIMATE: $ 140,000 PROJECT ENGINEER: KENNETH FERNANDEZ NO. BIDDER'S NAME (PAGE 13-14) 131D AMOUNT (PAGE 15 ) ADDENDA (PAGE 13) BM SECtIRITY (I'AGF IS-('nt:('K (PAGI'. 19-HONI)) 1. MJC Construction 3015 Sylvia Street Bonita, Ca 91902 $84,722.00 1 Bond 2. Crest Equipment, Inc. 161 Scottford Drive El Cajon, Ca 92021 $99,799.00 1 Bond 3. lleler Company 1800 McKinley Avenue, Ste. A National City, Ca 91950 $101,630.00 1 Bond 4. Telliard Construction 740 Ami ford Drive San Diego, Ca 92107 $119,205.64 I Bond 5. G.A. Abell. Inc. 8137 Winter Gardens Blvd. Lakeside, Ca 92040 $121,165.00 1 Bond 6. Triump Construction 4252 Bonita Road. Suite 72 Bonita, Ca 91902 $122,314.12 1 Bond 7. Court Concepts, Inc. P.O. 13ox 710277 San Diego, Ca 92072 $131,241.00 1 Bond 8.Londiros Corporation 1833 Diamond Street, Suite 201 San Marcos. ('a 92078 $133,406.40 1 Bond 9. A.13. Hashmi, Inc. 4347 Meadow Spring Way Oceanside, Ca 92057 $142,276.00 l Bond 10. Palm Engineering 3770 l lamcock Street, Suite II San Diego, Ca 92110 $159,298.00 1 Bond 11. Koch -Armstrong General Engineering, Inc. 15315 Olde I-Iwy 80 1.1 Cajon, Ca 92021 $168,167.90 I Bond 12. IITA Engineering and Const. 12520 Kirkham Court Poway, Ca 92064 $191,880.00 1 Bond 13. 3-D Enterprises, Inc. 2180 Garnet Avenue, Suite 2C San Diego, Ca 92109 $197,126.00 1 Bond 14. Tri Group Construction 13939 Poway Road, Suite 10 Poway, Ca 92064 $227,264.00 1 Bond 15. Badii Enterprises, Inc. 1642 Damo Road Ramona, Ca 92065 $267,720.00 1 Bond CITY OF NATIONAL CITY - BID SUMMARY PROJECT NAME: FIGURES CHECKED BY: ,RC.:EC" NC - FILE HID DATI I 1.1‘,D',1. ,,, 3 .1. PSI AN' 'T BILIDElk 3)), t ,, , ,, 93101-!,T 01. 1,01(01.43 NO ITEM and 3431. rccept3c1,:, and r.,rhect:: gl•. 5 and t,c411 br.., kr: :Npe111•1:a: ond " • ::,...0.11UrCr • art: 1,1,11 p.-• ars.1 i ispc0...cd,ons 11,stall conc:ci: rad 4 BID TOTAL x. CHECKLIST \;.7.,RE0 ARE A F,YE.7' AD:EN:N.M.> ARCHITECT/ENGINEER'S Kei-!e!`-. Femar•cez 4.8 2009 •,, 2 3 143(•3* •)I. )‘‘'FST 3)13)0131. QTY UNIT ESTIMATE .639.4'2.5619 6194.4061 t9.33641100 C.,1 RA, '70I,S Ot .f ' CCS" TC ., N CGS"C.TAL Lrs•T 1,', , ,,,; (: $ , ,,, .. , • : S '!, , .. • $ , '00 .t 5 ...S3 0 : ,.:,. • 4 ':: A 5 , i - '. , - ••:, S S ;' • S . Ss K.'. ,, :,. • . S • 4. ..,.: . ... : • • ... : : I.. .$ , '.. -.., ,. 1 1. • . S S • :• • .....: ;•0 S ••: . • : ‘ S1 "., :. • .• . s s 1..A • 1,•.1. S 0 Ss S.: S ....• S , S 140,03: 00 S hi '22 III) 5 101.'00 60 ( ,438 t," City of National City, California COUNCIL AGENDA STATEMENT 'NugoMEETING DATE April 21, 2009 AGENDA ITEM NO. 11 ITEM TITLE RESOLUTION OF TIIE CITY COUNCIL OF THE CITY OF NATIONAL CITY ACCEPTING TIIE CERTIFIED ENVIRONMENTAL IMPACT REPORT FOR THE SAN DiEGO REGIONAL ENTERPRISE ZONE (SDREZ) PROGRAM AND APPROVING THE SDREZ. PROGRAM PREPARED BY DEPARTMENT Alfredo Ybarra (Ext. 4279) Community Development, Housing and Gra s EXPLANATION In 1992 the City of San Diego received approval for the South I3ay Enterprise Zone. In 2000 and again in 2004, the South Bay Enterprise Zone was expanded to include properties along the Bayfront redevelopment areas of the cities of Chula Vista and National City. The South Bay Enterprise Zone expired on January 27, 2007. In early 2006. Council approved a resolution supporting and authorizing the submittal of a joint application to the State of California Housing and Community Development Department for a new regional Enterprise Zone designation, with the cities of San Diego and Chula Vista. This partnership was "Conditionally Approved" in October of 2006. City staff, in collaboration with the cities of San Diego and Chula Vista, are engaged in completing the remaining conditions. In collaboration with the cities of San Diego and Chula Vista. city staff is completing the remaining conditions for final designation of the "conditionally approved" SDREZ Program. One of these conditions requires the City to accept the certified Environmental Impact Report. Adoption of the resolution accepts the Environmental Impact Report and complies with the City's obligations as a Responsible Agency. Once all "conditions' have been met, final SDREZ designation will be awarded with an expiration date of October 14, 2021. \.. The SDREZ designation is a fifteen (15) year partnership between local governments and private companies to generate new private sector investment and growth with the state providing performance -based tax credits and incentives to Enterprise Zone businesses. The purpose of the SDREZ is to: 1) promote "smart growth" by revitalizing chronically deteriorated areas; 2) hire the most difficult to hire residents in private sector jobs. and 3) retain. expand, and reward businesses that participate in these objectives. If approved, the SDREZ Program will provide economic efits to businesses that are located within the attached original boundary map. i Environmental Review The City of San Diego is the lead agency in preparing the EIR. The preparation of an EIR is both a statutory requirement and an f 1CD condition for final designation of the SDREZ. The City of National City is a responsible agency. which requires the City to review and consider the FiR. make findings. and participate in the Mitigation, Monitoring and Reporting Program. The EiR was completed in July 2008, and a copy of the certified EIR is on file with the City Clerks office. Financial Statement Approved By: Finance Director There is no fiscal impact associated with this request. Account No. STAFF RECOMMENDATION 1. Accept the final EIR and adopt the resolution. 2. Approve the conditionally approved San Diego Regional Enterprise Zone Program. BOARD / COMMISSION RECOMMENDATION ATTACHMENTS (Listed Below ) �•.. Conditionally approved Boundary Map Resolution No. A-200 (9/99) RESOLUTION 2009 — RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NATIONAL CITY ACCEPTING THE CERTIFIED ENVIRONMENTAL IMPACT REPORT FOR THE SAN DIEGO REGIONAL ENTERPRISE ZONE PROGRAM , AND APPROVING THE SAN DIEGO REGIONAL ENTERPRISE ZONE PROGRAM WHEREAS, the California Housing and Community Development Department ("HCD") oversees the Enterprise Tax Incentives Programs whose goal is to stimulate growth to economically depressed areas of the State; and WHEREAS, the City of National City ("City"), joined with the Cities of San Diego and Chula Vista ("Partnership"), desired to be designated as a Regional Enterprise Zone; and WHEREAS, on August 22, 2006, the City Council adopted Resolution No. 2006- 175, authorizing submission of an application to the California Housing and Community Development ("HCD") for a San Diego Regional Enterprise Zone ("SDREZ") designation, which would include the City and the City of San Diego and the City of Chula Vista; and WHEREAS, on November 3, 2006, HCD awarded conditional SDREZ designation, and in a January 17, 2007 letter set forth conditions to be satisfied prior to the final SDREZ designation ("Conditions"); and WHEREAS, a final Environmental Impact Report ("EIR") was considered and certified by the City of San Diego, the lead agency for purposes of the EIR; and WHEREAS, the final EIR for the SDREZ has been completed and is on file in the office of the City Clerk; and WHEREAS, one of the conditions by HCD requires the City to accept the final EIR; and WHEREAS, National City is a responsible agency under the California Environmental Quality Act. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of National City, as follows: 1. That the Council accepts the certified final EIR that was completed for the SDREZ partner cities of San Diego and National City, as required by the State of California, for the Partnership application. 2. That the Council certifies that it has reviewed and considered the information contained in the final EIR. 3. That the Council has considered the environmental effects of the project, and feasible mitigations measures or alternatives, as shown in the EIR, before reaching a decision on the project. 4. That the Council finds that based on the information contained in the EIR, there are no significant or potentially significant effects, and thus there is no mitigation measures for adoption, nor a need to participate in a mitigation, monitoring, and reporting program. Resolution No. 2009 — April 21, 2009 Page 2 5. That the Council approves the SDREZ Program as submitted in the application authorized by Council via Resolution No. 2006-175 and consistent with the map attached hereto as "Attachment A". PASSED and ADOPTED this 21st day of April, 2009. Ron Morrison, Chairman ATTEST: Brad Raulston, Secretary APPROVED AS TO FORM: George H. Eiser, III City Attorney Zone Street Map ($0.0!fTa DMAP 2 WIPm cot to o(uln v6U l.l.(;END Appix Mwn Aiu W,wwtcy 11Ikdt, o1 Nak+ Roads Ara City of National City, California COUNCIL AGENDA STATEMENT MEETING DATE April 21, 2009 AGENDA ITEM NO. 12 ITEM TITLE RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NATIONAL CITY AUTHORIZING THE 30-DAY REVIEW AND PUBLIC COMMENT OF THE NATIONAL CITY POLICE DEPARTMENT'S GRANT APPLICATION FOR $222,511 FROMTHE 2009 EDWARD BYRNE MEMORIAL JUSTICE ASSISTANCE GRANT (JAG) PROGRAM WITHOUT MATCHING FUND TOWARD THE POSSIBLE PURCHASE OF POLICE VEHICLES, ELECTRONIC POLICE VEHICLES, IN VEHICLE CAMERAS, FIRING RANGE RETRO FIT, VEHICLE TRACKING SYSTEM, VIDEO SURVEILLANCE VEHICLE, CAMERAS, VIDEO PROJECTORS, COUNTY LAW ENFORCEMENT PROJECTS AND A MOBILE CAD SYSTEM FOR THE POLICE DEPARTMENT. PREPARED BY DEPARTMENT —��� ` y s'�,' Lt. R.G. Triviz (Ext.4480) Police Department EXPLANATION The federal U.S. Department of Justice has announced the National City Police Department would be awarded $ 222,511 or 100% in new funding from the 2009 Edward Byrne Memorial Justice Assistance Grant (JAG). The National City Police Department would like to utilize the funds toward the possible purchase of Police Vehicles, Electronic Police Vehicles, In Vehicle Cameras, Firing Range Retro-Fit, Vehicle Tracking System, Video Surveillance Vehicle, Cameras, Video Projectors and a Mobile CAD System. The City is required to make the grant application available for review by the City Council and assure that the application is made public and an opportunity to comment is provided to citizens for not fewer than 30 days. The City is not required to allocate any up front costs or matching funds to receive the funding. The 2009 Edward Byrne Memorial Justice Assistance Grant (JAG) Program is a direct grant allocation that requires agencies to complete an on-line application and narrative justifying the use of funds. Environmental Review J N/A Financial Statement Approved By: Finance Director The 2009 Edward Byrne Memorial Justice Assistance Grant does not require a match; therefore, there is no impact to the General Fund. This is a '09-'10 Fiscal year grant and must be encumbered by September 30, 2013. Account No. 290-411-611- - - STAFF RECOMMENDATION Staff recommends that the City Council begin the 30-day review and public comment period, and then authorize the purchase of Police Vehicles, Electronic Police Vehicles, In Vehicle Cameras, Firing Range Retro-Fit, Vehicle Tracking System, Video Surveillance Vehicle, Cameras, Video Projectors, County Law Enforcement Projects and a Mobile CAD System from the 2009 Edward Byrne Memorial JAG Program utilizing $222,511 in grant funding. BOARD / COMMISSION RECOMMENDATION ATTACHMENTS (Listed Below) Resolution No. A-200 (9/99) RESOLUTION NO. 2009 — RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NATIONAL CITY AUTHORIZING THE 30-DAY REVIEW AND PUBLIC COMMENT UPON THE NATIONAL CITY POLICE DEPARTMENT'S GRANT APPLICATION IN THE AMOUNT OF $222,511 FROM THE 2009 EDWARD BYRNE MEMORIAL JUSTICE ASSISTANCE GRANT (JAG) PROGRAM WITHOUT MATCHING FUNDS FROM THE CITY, AND AUTHORIZING THE PURCHASE OF POLICE VEHICLES, ELECTRONIC POLICE VEHICLES, IN -VEHICLE CAMERAS, FIRING RANGE RETRO FIT, VEHICLE TRACKING SYSTEM, VIDEO SURVEILLANCE VEHICLE, CAMERAS, VIDEO PROJECTORS, COUNTY LAW ENFORCEMENT PROJECTS, AND A MOBILE CAD SYSTEM FOR THE POLICE DEPARTMENT WHEREAS, the U.S. Department of Justice is currently reviewing a grant application from the National City Police Department for the purchase of police vehicles. electronic police vehicles, in -vehicle cameras, firing range retro fit, vehicle tracking system, video surveillance vehicle, cameras, video projectors, County law enforcement projects, and a mobile CAD system for the Police Department; and WHEREAS, the Police Department is required to make the grant application available for review and public comment for not fewer than 30 days; and WHEREAS, the 2009 Edward Byrne Memorial Justice Assistance Grant (JAG) Program is a direct grant allocation program that entitles the Police Department to $222,511 upon approval of the grant application from the U.S. Department of Justice, and does not require the City to allocate any up -front costs or matching funds; and WHEREAS, the U.S. Department of Justice will award $222,511 or 100% in grant funding to the City of National City to be used to purchase the equipment. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of National City hereby authorizes the 30-day review and public comment of the National City Police Department's 2009 Edward Byrne Memorial Justice Assistance Grant (JAG) Program application, and upon the expiration of the 30 day reviews and public comment period, authorizes the expenditure of said grant funds for the purchase of personal electronic police vehicles, firing range retro fit, vehicle tracking system, video surveillance vehicle, personal protection equipment, specialty coats, lap top computers, cameras, County law enforcement projects, and a mobile CAD system for the Police Department. PASSED and ADOPTED this 21 st day of April, 2009. Ron Morrison, Mayor ATTEST: APPROVED AS TO FORM: Michael R. Dalla, City Clerk George H. Eiser, III City Attorney City of National City, California COUNCIL AGENDA STATEMENT 13 MEETING DATE April 21, 2009 AGENDA ITEM NO. ITEM TITLE RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NATIONAL CITY AUTHORIZING THE 30-DAY REVIEW AND PUBLIC COMMENT OF THE NATIONAL CITY POLICE DEPARTMENT'S GRANT APPLICATION FOR $ 100,000 FROM 2009 CITIZEN'S OPTION FOR PUBLIC SAFETY GRANT (COPS) PROGRAM WITHOUT MATCHING FUNDS TOWARDS THE PURCHASE OF PERSONAL ELECTRONIC POLICE VEHICLES, FIRING RANGE RETRO FIT, VEHICLE TRACKING SYSTEM, VIDEO SURVEILLANCE VEHICLE, PERSONAL PROTECTION EQUIPMENT (PPE) , SPECIALTY COATS, LAP TOP COMPUTERS, CAMERAS, COUNTY LAW ENFORCEMENT PROJECTS AND A MOBILE CAD SYSTEM UTILIZING $100,000 FROM THE 2009 CITIZENS' OPTION FOR PUBLIC SAFETY GRANT (COPS) PROGRAM. PREPARED BY DEPARTMENT v� `( ttU s Lt. R.G. Triviz (Ext.4480) Police Department EXPLANATION The County of San Diego has announced that the National City Police Department would be awarded $100,000 or 100% in new funding from the 2009 Citizen's Option for Public Safety Grant (COPS) Program. The National City Police Department would like to utilize the funds toward the purchase of Personal Electronic Police Vehicles, Firing Range Retro-Fit, Vehicle Tracking System, Video Surveillance Vehicle, Personal Protection Equipment (PPE) and Specialty Coats, Lap Top Computers, Cameras and a Mobile CAD System. The City is required to make the grant application available for review by the City Council and assure that the application is made public and an opportunity to comment is provided to citizens for not fewer than 30 days. The City is not required to allocate any up front costs or matching funds to receive the funding. The 2009 Citizen's Option for Public Safety Grant (COPS) Program is a direct grant allocation that requires agencies to complete a spending plan to be submitted to the Office of County of San Diego Auditor & Control in order to process and disburse funds. Environmental Review NI N/A Financial Statement Approved By: Finance Director The 2009 Citizen's Option for Public Safety Grant (COPS) Program does not require a match; therefore, there is no impact to the General Fund. This is an '09-'10 fiscal year grant and must be encumbered by June 30, 2010. Account No. 208-411-709 - - - STAFF RECOMMENDATION Staff recommends that the City Council begin the 30-day review and public comment period, and then authorize the purchase Personal Electronic Police Vehicles, Firing Range Retro-Fit, Vehicle Tracking System, Video Surveillance Vehicle, Personal Protection Equipment (PPE) and Specialty Coats, Lap Top Computers, Cameras, County Law Enforcement Projects and a Mobile CAD System from the 2009 Citizen's Option for Public Safety Grant (COPS) Program utilizing $100,000 in grant funding. ROAR11 / (lMMISSION RFCOMMFNr1ATION ATTACHMENTS (Listed Below) Resolution No. A-200 (9/99) RESOLUTION 2009 — RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NATIONAL CITY AUTHORIZING THE 30-DAY REVIEW AND PUBLIC COMMENT UPON THE NATIONAL CITY POLICE DEPARTMENT'S GRANT APPLICATION IN THE AMOUNT OF $100,000 FROM THE 2009 CITIZEN'S OPTION FOR PUBLIC SAFETY (COPS) PROGRAM WITHOUT MATCHING FUNDS FROM THE CITY, AND AUTHORIZING THE PURCHASE OF PERSONAL ELECTRONIC POLICE VEHICLES. FIRING RANGE RETRO FIT, VEHICLE TRACKING SYSTEM, VIDEO SURVEILLANCE VEHICLE, PERSONAL PROTECTION EQUIPMENT, SPECIALTY COATS, LAP TOP COMPUTERS, CAMERAS, COUNTY LAW ENFORCEMENT PROJECTS, AND A MOBILE CAD SYSTEM FOR THE POLICE DEPARTMENT WHEREAS, Assembly Bill 3229, Chapter 134, Statutes of 1996, established the Citizen's Option for Public Safety (COPS) Program to provide Supplemental Law Enforcement Services Funds (SLESF) for public safety purposes; and WHEREAS, the COPS Grant Program is a direct grant allocation program, and does not require the City to allocate any up -front costs or matching funds; and WHEREAS, the Police Department's spending plan stated that the grant funds would be used for the purchase of personal electronic police vehicles, firing range retro fit, vehicle tracking system, video surveillance vehicle, personal protection equipment, specialty coats, lap top computers, cameras, County law enforcement projects, and a mobile CAD system for the Police Department. WHEREAS, the Police Department is required to make the grant application available for review and public comment for not fewer than 30 days. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of National City hereby authorizes the 30-day review and public comment of the National City Police Department's Citizen's Option for Public Safety (COPS) Program grant application, and upon the expiration of the 30 day review and public comment period, authorizes the expenditure of said grant funds for the of purchase of personal electronic police vehicles, firing range retro fit, vehicle tracking system, video surveillance vehicle, personal protection equipment, specialty coats, lap top computers, cameras, County law enforcement projects, and a mobile CAD system for the Police Department. PASSED and ADOPTED this 21st day of April, 2009. Ron Morrison, Mayor ATTEST: APPROVED AS TO FORM: Michael R. Dalla, City Clerk George H. Eiser, III City Attorney City of National City, California COUNCIL AGENDA STATEMENT '"MEETING DATE April 21, 2009 14 AGENDA ITEM NO. ITEM TITLE !Tarrant 'egis er Amount of $681,496.72 PREPARED BY D. Gallegos -Finance EXPLANATION. e peno roug DEPARTMENT Finance Jeanette Lad 619-336-4331 Per Government Section Code 37208, attached are the warrants issued for the period of 03/11/09 through 03/17/09. The Finance Department has implemented a policy to provide explanation of all warrants Above $50,000.00 Vendor Check# Amount Explanation Crown Plaza Resort 225817 78,160.14 Americorps Health Net 225908 70,705.39 Emp Insurance Kaiser 225917 137,781.98 Emp Insurance SDG&E 225944 58,297.99 Utilities vironmental Review N/A Financial Statement Not applicable. Account No. STAFF RECOMMENDATION Ratification of warrants in the amount of $681,496.72 BOARD] COMMISSION RECOMMENDATION 1. Warrant Register #38 ATTACHMENTS (Listed Below) Resolution No. A•200 (Rev. 9/80) 1 of 7 CALIFORNIA .-K+ UO L CIT I)VCORPORATEI J WARRANT REGISTER # 38 3/17/2009 Payee Description chk no chk date Amount BEST BEST & KRIEGER I,LP CYAC LITIGATION 225800 3/17/09 8,774.52 CHULA VISTA BLUEPRINT CO PHOTO & BLUEPRINTING 225801 3/17/09 20.36 DANKA RENTALS & LEASES 225802 3/17/09 447.36 EDCO DISPOSAL, CORPORATION WASTE DISPOSAL 225803 3/17/09 104.75 EQUIFAX INFORMATION SVCS CREDIT E3ACKGROLJND CHECK FOR S8 225804 3/17/09 60.42 FARALLON DESIGN INC THF, CHILDRENS RAINFOREST 225805 3/17/09 16,595.00 FEDEX KINKO'S REPROGRAPHIC SERVICES 225806 3/17/09 1,688.66 HORIZON HEALTH EAP EMPLOYEE ASST PROGRAM - CDC 225807 3/17109 114.56 LAW OFFICES OE DON DE:TISCH MISCELLANEOUS MAITIRS 225808 3/17/09 661.00 °PER & VARCO HARBOR DISTRICT/ACE METALS 225809 3/17/09 310.00 1111. PRUDENTIAL OVERALL SUPPLY MOP 45742 STREET UNIFORMS 225810 3/17/09 13.34 SAN DIEGO CLIPPING SERVICE CLIPPING SERVICES 225811 3/17/09 52 20 SDG&E 912 HIGHLAND AVE 12/17/08-01/I9/09 225812 3/17/09 19.19 XEROX CORPORATION LEASE FOR FEB 2009 225813 3/17/09 439.19 YBARRA SUBSISrANCE - HUD TRAINING 225814 3/17/09 427.42 AT & T MOBILITY WINGS Cla.l, PIIONE. 225815 3/17/09 108.37 CORPORATE EXPRESS v1AT& SUPPLIES CNCS YR6 225816 3/17/09 50.12 CROWN PLAZA RESORT HOTEL, TRAVEL (AMER CNCS/I.STAYR6) 225817 3/17/09 78,160.14 CRUZ EXPRT SVC (AMERICORPS LSTA YR6) 225818 3/17/09 1,080.00 DISCOUNT SCHOOL, SUPPLY ARTS & CRAFTS MATERIALS 225819 3/17/09 975.43 EASTMAN TRAVEL, (AMERICORPS LSTA YR6) 225820 3/17/09 13.02 EMPIZO 1RAVEL(AMERICORPSCNCS/LSI A Y126) 225821 3/17/09 4,471.53 GIST TRAVEL. (AMERICORL'S CNCS YR6) 225822 3/17/09 45.17 11ANSEN LIBRARY SALES INSTRUCTIONAL. SUPPLIES 225823 3/17/09 492.64 'TERACYWORKS LIVING ALLOWANCE FOR 59 AMER 225824 3/17/09 48,000.00 1 2 of 7 .,-* CALIFORNIA —+ NATI O cf lyt `-- INCO� ATED J WARRANT REGISTER # 38 3/17/2009 Payee Description chk no chk date Amount LITERACYWORKS INS PREMIUM (AMERICORPS LSTS YR6) 225825 3/17/09 522.89 MANELA TRAVL:1. (AMERI('ORPS LSTA YR6) 225826 3/17/09 250.80 MANGER (RAVE (AMERICORPS CNCS/LSTA YR6) 225827 3/17/09 265.09 MCCULLOUGII TRAVEL(AMERICORPS CNCS YR6) 225828 3/17/09 287.01 MEDINA-VILLA I•RAVEL (AMERICORPS CNCS YR6) 225829 3/17/09 130.29 MILLER TRAVEL. (AMERICORPS LSTA YR6) 225830 3/17/09 197.01 MONROVIA PUI3I.1C LIBRARY EXPERT SVC (AMERICORPS LSTA YR6) 225831 3/17/09 1,080.00 MUI)GE TRAVEL(AMERICORPS CNCS YR-6) 225832 3/17/09 384.72 NEDER TRAVEL(AMERICORPS LSTA YR6) 225833 3/17/09 95.70 O'HARA EXPRT SRVC (LIT & GRANT CONSULT) 225834 3/17/09 900.0( 10 PEDROZA TRAVEL(AMERICORPS LSTA YR6) 225835 3/17/09 161.30` SANCHEZ (RAVEL/EXP SVCS (AMER/CNCS YR6) 225836 3/17/09 171.02 SCI IWARTY.B1 RG 1RAV1?1. (AMER CNCS/LSTA YR6) 225837 3/17.'09 412.48 SCOTT TRAVEL (AMER.ICORPS LSTA YR6) 225838 3/17/09 227.43 SPRINT VIDE() CONFERENCING/I.ONG DISTANCE. 225839 3/17/09 28.66 STANISLAUS LITERACY CENTER 'TRAVEL(AMERICORPS CNCS YR-6) 225840 3/17/09 584.66 STANISLAUS LITERACY CENTER TRAVEL (AMERICORPS LSTA YR6) 225841 3/17/09 47.00 STRATEGIC RESOURCE COMPANY/ AMERICORPS HEALTHCARE 225842 3/17/09 976.27 SLITTER COUNTY LIBRARY 1RAVEL/PRINTS(AMERIFORPS CNCS) 225843 3/17/09 924.80 TELLO TRAVEL (AMER CNCS/LSTA YR6) 225844 3/17/09 525.57 TWAMLEY TRAVEL (AMERICORPS CNCS YR6) 225845 3/17/09 137.84 VOGEL IRAVE1. (AMERICORPI) LSTA YR6) 225846 3/17/09 45.12 WASHINGTON TRAVEL(AMERICORPS CNCS YR6) 225847 3/17/09 356.25 WEISS TRAVEL(AMERICORPS CNCS YR-6) 225848 3/17/09 416.39 WHITESIDE EXPRT SRVC (LIT SRVCS YR) 225849 3/17/09 250.0( 2 C�1liFq;R,NIA.*�* 3 of 7 Payee WILDER W0()DS()N firy ncm INCORPORATED WARRANT REGISTER # 38 3/17/2009 Description "[RAVEL. (AMI;RICORPS CNCS YR6) TRAVEL. (AMER LSFA/CNC'S YR6) BALBOA ART CONSERVATION CENTER TO REMOVE'I'HE COPELANI) LI- ITER I3ELFOR PROPERTY RESTORATION BROI)ART CONGRESS OF HISTORY CORPORATE EXPRESS DATA MICROIMAGING COMPANY HANSEN 1.113RARY SALES IDWEST'FAPE NATIONAL SCHOOL DISTRICT NOLO PRESS, INC. RANDOM HOUSE, INC. T1IE 1300KSO1;RC'E OlE SHOPPER. INC. U.S. POSTMASTER XEROX CORPORATION A -I HYDRAULIC SERVICES, INC AIRGAS - WEST ALL. FRESI I I.O REMOVE; VISIBLE, GRO\k'"II1 LIBRARY AUTOMATION MEMBERSHIP RENE\VAI, FOR 2009 MOP# 45704 OFFICE StJPI'LIES MICROFILM DUPLICATING SERVICE BOOKS FOR TI IE CI IILDREN'S ROOM DVD'S/VIDEOS/PROCESSING SUPPLIES PRINTING - READING IS FIUNDAMENFAI, REFERENCE BOOKS REFERENCE BOOKS BOOKS FOR READING IS FUNDAMENTAL PROCESSING SUPPLIES FOR DVD'S POSTAGE FOR OVERDUE NOTICES BASF. CILARGES AND OVERAGES MATERIALS HELIUM FOOD/C'ONSUMABLE•:S AMERICAN BACKFLOW SPECIALTIES BACK FLOW PARTS AND BACKFLOW AMERICAN ROTARY BROOM CO.. INC SWEEPER REPAIRS ARCO GASPRO PIT IS AUSFIN DOORS ECK FUEL FOR CITY FLEET PREVENTIVE MAINTENANCE 125 PLANK REIMBURSEMENT chk no chk date Amount 225850 3,17/09 65.82 225851 3117/09 765.95 225852 3;17/09 471.00 225853 3117/09 4,990.00 225854 3/17/09 7,235.03 225855 3/17/09 12.00 225856 3/17/09 47.68 225857 3/17/09 148.53 225858 3/17/09 1,448.01 225859 3/17/09 1,749.84 225860 3/17/09 222.24 225861 3'17/09 28.60 225862 3/17/09 637.91 225863 3/17/09 542.84 225864 3/17/09 559.63 225865 3/17/09 300.00 225866 3/17/09 456.44 225867 3/17/09 355.75 225868 3/17/09 21.67 225869 3/17/09 5,924.59 225870 3/17/09 427.04 225871 3/17/09 680.06 225872 3/17/09 19,600.92 225873 3/17/09 412.50 225874 3/17/09 1,038.42 3 4 of 7 - CALIFORNIA NALTIO_. Orr AttV INCORPORATED WARRANT REGISTER # 38 3/17/2009 Payee Description chk no chk date Amount BEST BEST & KRIEGER L1.1' ('I.AIM ('OSIS BAI LARD() 225875 3/17;09 3,00.5.37 BEST BEST & KRIEGER I.I.P PERSONNEL. ISS1 FS FEI3'09 225876 3/17;09 387.00 BSN SPORTS 1202106. OSIIA 25 PERSON AIL) KIT 225877 3/17;09 486.74 C A P f' FIRE/ETD MARCH 2009 225878 3/17109 608.00 CA REVENUE OFFICERS ASS() MEMBERSHIP DUES 07-08 & 08/09 225879 3/17109 150.00 CAL EXPRESS DELIVERY TO I) EATON AT SE1 1L1.'R 225880 3/17/09 32.00 CALIFORNIA BAKING CO. BREAD SUPPLIES 225881 3/17/09 432.00 CALIFORNIA ELECTRIC SUPPLY MOP 45698 ELECTRIC SUPPLIES 225882 3/17/09 208.82 CALIFORNIA HIGHWAY ADOPTION CO ITITER REMOVAL. FEB 2009 SVCS 225883 3/17/09 960.00 CALIFORNIA LAW ENFORCEMENT PD/LTD MARCH 2009 225884 3/17/09 1,774.5C CIIEVRON & TEXACO BUSINESS CARD MOE' #45699 FUEL. 225885 3/17/09 445.71 CIIULA VISTA BLUEPRINT CO BLACK ANI) WI IITE COPIES 225886 3/17/09 68.64 ('INTAS DOCUMENT MANAGEMENT MONTHLY SHREDDING 225887 3/17/09 72.95 CORPORATE EXPRESS ('ALCULATOR FIOR ANALYST 225888 3/17/09 256.80 COUNTY OF SAN I)IEGO MAIL. PROCESSING 01/16 - 02/15/09 225889 3/17/09 3,223.79 I) MAX ENGINEERING IN(' FERRIIRY 20090 SERVICES 225890 3/17/09 15,509.42 DANIEI. PEARCE/ RPM WELDING I.AI30R. REMOVE OLD DOOR/REPLACE 225891 3/17/09 1,631.70 DAY WIRELESS SYSTEMS CELLULAR FULL. BAND & P('S 225892 3/17/09 20,640.69 DELTA DENTAL. DENTAL INS MARCH 2009 225893 3/17/09 15,067.61 DELTACARE (PM!) DENTAL. INS PMI MARCH 2009 225894 3/17/09 3,469.46 DEPARTMENT OF JUSTICE INVESTIGATIVE SERVICES 225895 3/17/09 32.00 DIXIE.I.INE LUMBER CO. MOP 45707 COOLER/ROOF EDGE 225896 3/17/09 123.20 DOU('ETTE 125 PI.ANN REIMBURSEMENT 225897 3/17/09 683.97 ES;IL. CORPORATION FIRE DEPT PLAN CHECK SVCS 225898 3/17/09 600.60 EXPERIAN CREDIT CIIFCKS FOR NEW PI) EMP 225899 3/17/09 27.4' 4 5 of 7 — CALIFORNIA '-{* NATIONAL CITY INCORPORATED WARRANT REGISTER # 38 3/17/2009 Payee Description chk no chk date Amount FIRE EEC SAFETY 1RAFFIC VEST 225900 3117//09 706.88 FI.ORINO & CORAZON AGI'AO.A DEPOSID;591 1442 HIGHLAND AVE 225901 3/17/09 334.30 GEORGE H WATERS PROMOTIONAL ACTIVITIES 225902 3/17/09 1,125.00 GONZALES OCI'S TASK FOI2CI: WORKSHOP 225903 3/17/09 100.00 GOVERNMENT FINANCE OFFICERS (3) MEMBERSHIP RENEWALS 225904 3/17/09 595.00 GROSSMAN PSYCHOLOGICAL ASSOC. PRE-EMP PSYCHOI.OGICA1. EXAMS 225905 3/17/09 1,750.00 HAIL ASSOCIATES CLAIM COST AllLES V. OFFICER ONE 225906 3/17/09 1,100.00 HAMII;TON MEATS & PROVISIONS MEAT PRODUCTS 225907 3/17/09 2,261.29 IIEALTH NET HEALTH INS I10067A MARCH 2009 225908 3/17/09 70,705.39 � E.ALTH NET HEAI"TII INS MARC!' 2009 571351 225909 3/17/09 728.16 r� IiEALT11 NET HEALTH -HILL NI:TWORK MARCI 12009 225910 3/17/09 12,985.67 HEALTH NE:T IlEA1"ITi-RE:T INS 110067E MARCH 2009 225911 3/17/09 1,701.45 HEARTLAND COMM. FAC. AUTHORITY ENROI51 E: FY08-09 PROJECTED COST 225912 3/17/09 1,160.66 HERNANDEZ 125 PI.ANN REIMBURSEMENT 225913 3/17/09 2,000.00 HONEYWELL INC. MECHANICAL. MAINTENANCE 225914 3/17/09 31,977.38 HORIZON HEALTH EAP EMPLOYEE ASST PROGRAM - CITY 225915 3/17/09 741.06 IRON MOUNTAIN RECORDS RECORDS MANAGEMENT 225916 3/17/09 125.00 KAISER FOUNDATION HEALTH PLANS KAISER INS ACTIVE MARCH 2009 225917 3/17/09 137,781.98 KAISER FOUNDATION IIEAI; II PLANS KAISER REF INS MAR('lI 2009 225918 3/17/09 8.165.65 KITAGAW'A HOME & OFFICE SUPPLY PRINTING OF NEWS LETTER 225919 3/17/09 101.79 LASER SAVER INC MOP 45725 IIP TONER -COMPATIBLE 225920 3/17/09 43.45 MAINTEX. INC'. MISC JANITORIAL SUPPLIES 22592I 3/17/09 57.55 MARSHAL.I. MUSIC NATIONAL CITY CONCERT BAND 225922 3/17/09 456.56 MAYER HOFFMAN MCCANN P.C. SEVENTH BILLING -ANNUAL AUDIT 225923 3/17/09 7,576.00 'CGUIRE DISTRIBUTION MILK PRODUCTS 225924 3/17/09 870.50 6 of 7 4 CALIFORNIA sot --- INCORPORATED WARRANT REGISTER # 38 3/17/2009 4.00 Payee Description chk no chk date Amount MISSION UNIFORM SERVICE LINEN SUPPLIES 225925 3/17 09 123.32 MONI(i0MERY KONE, INC. REPAIRS/MAINI ENANCF. TO ELEVATORS225926 3/17/09 306.23 MUNICIPAL. CODE CORPORATION MUNICIPAL. COTE MAR 2009 )25927 3/17/09 266.31 NATIONAL CITY TROPI IY MOP 66556 I3LUE EYELIT RIBBONS 225928 3/17/09 75.96 ORKIN PEST C'ONIROI. PEST MAINTENANCE FOR CITY I3LD(; 225929 3/17/09 353.75 PADRE JANITORIAL SUPPLIES, IN(' JANITORIAL SUPPLIES 225930 3/17/09 124.67 PRO -EDGE KNIFE SHARPENING SERVICE 225931 3/17/09 45.00 PRUDENTIAL OVERALL. SUPPLY MOP 45742 SHOP TOWELS 2259>2 3 17i09 107.98 RELIANCE STANDARD VTI. MARCH 2009 225933 3/ 17/09 2,367.19 ROE 125 PLANN REIMBURSEMENT 225934 3/17109 60.OP ROJAS 125 PI.AN REIMBURSEMENT 225935 3/I7/09 264.28 rS ROOF CONSTRUCTION ROOF REPAIRS CITY-WIDE 225936 3/17/09 4,209.00 S.D. COUNTY SIIFRIFF'S I)1:PT. USE OF SHERIFF'S RANGE FOR SWAT 225937 3/17/09 200.00 SAMANIEGO CLAIM COSTS: SAMANIEGO 225938 3/17109 225.00 SAN DIEGO AREA CI IAP"ITR IC'C ('BC CONSIRUC'TION SEMINAR 225939 3/17/09 80.00 SAN DIE(iO I1YDRAIJI.ICS I1OSE ASSEMBLY Z25940 3/17/09 494.91 SAN DIEGO PET & LAB SUPPLY MOP 45753 DOG FOOD - Pl) 225941 3/17/09 266.30 SANCIIEZ 125 PLAN REIMBURSEMENT 225942 3/17/09 666.28 SASI PROCESSING CHRGS FEES -APR 2009 225943 3/17/09 561.00 SDG&E: STREET DIVISION 225944 3/17109 58,297.99 SDMSE SAN DIEGO PROJ III:ARTBEAT CONTRACT SERVICES 225945 3/17109 330.00 SMART & FINAL. MOP 45756 MISCEI.LANI:OUS 225946 3/17/09 71.01 SOL.ANA CENTER PURCHASING OF RECYCLED ITEMS 225947 3/17109 1,798.14 SOUTHERN MUSIC NATIONAL CITY CONCERT BAND 225948 3/17109 240.76 SO11711\VF;ST SI(iNAI. SERVICE. INC. TRAFFIC SIGNAL/STREET I"1G}EIING 225949 3/17/09 9,434.6" Niiro 6 4- G40.. 9RNiA 7 of 7 Payee SPARKI.L FI S WATER STAR I FCI1 COMPUTERS S\VLI TW'AIER ,'\1;THORITY SYSCO SAN 1)II./:GO 171E LINCOLN NATIONAL LIFE INS. "1OMARK SPORTS "TURNER'S PORTABLE WELDING ULTIMATE STAFFING SERVICES WATERLINE 1ECl INOLOGIES iF MEDICAL. INC. ''fir Iry INCORPORATED WARRANT REGISTER # 38 3/17/2009 Description DRINKING WATER MOP 61744 COMPUTER SUPPLIES STREET DIVISION FOOD/CONSUMABLES LIFE & AD&D. STD. LTD MARCH 2009 MAC ADULT 4-WAY PITCHERS RUBBER LABOR. INSTALI, TRAILER 111 I C1 I NEIOIIBORl100D'1 EMP EMP 02/15/09 MUNICIPAL, POOL CHEMICALS ICE PACK/GAUZE PADS/SWABS chk no chk date 225950 3/17/09 225951 3/17/09 225952 3/17/09 225953 3/ 17109 22.5954 3/17/09 225955 3/17/09 225956 3/17/09 225957 3/17/09 225958 3/17/09 225959 3/17/09 Amount 19.08 693.04 3,483.01 5,070.95 9,752.90 444.70 886.32 2,640.57 1,703.46 138.66 Total $ 681,496.72 Grand Total 681,496.72 7 4)-- CALIFORNIA NATIONAL CITY INCORPORATED Warrant Register # 38 3/17/2009 001 GENERAL FUND 104 LIBRARY FUND 105 PARKS MAINTENANCE FUND 108 LIBRARY CAPITAL OUTLAY 125 SEWER SERVICE FUND 166 NUTRITION 172 TRASH RATE STABILIZATION FUND 208 SUPP.LAW ENFORCEMENT SVCS FUND (SLESF) 246 WINGS GRANT 277 NC PUBLIC LIBRARY DONATIONS FUND 320 LIBRARY GRANTS 502 SECTION 8 FUND 505 HOME FUND 511 TAX INCREMENT FUND 522 LOW/MODERATE HOUSING FUND 626 FACILITIES MAINT FUND 627 LIABILITY INS. FUND 628 GENERAL SERVICES FUND 629 INFORMATION SYSTEMS MAINTENANC 632 GENERAL ACCOUNTING SERVICES 643 MOTOR VEHICLE SVC FUND 724 COBRA/RETIREE INSURANCE 726 ENGINEERING/PUBLIC WORKS T & A DEPOSITS 317,752.61 11,191.93 444.70 6,643.98 16,869.87 14,994 86 1,798.14 20,640.69 137.03 1,013.84 143,469.46 499.61 427.42 28,780.58 20.36 69,408.47 4,660.37 208.82 693.04 8,171.00 22,463.67 10,871.97 334.30 681 496.72 City of National City, California COUNCIL AGENDA STATEMENT `�dIEETING DATE April 21, 2009 .r 15 AGENDA ITEM NO. ITEM TITLE ��arran 'egis er • or e peso• o Amount of $2,259,448.13 PREPARED BY D. Gallegos -Finance EXPLANATION. roug DEPARTMENT Finance Jeanette La 619-336-4331 Per Government Section Code 37208, attached are the warrants issued for the period of 03/18/09 through 03/24/09. In The Finance Department has implemented a policy to provide explanation of all warrants Above $50,000.00 Vendor Check# Amount Explanation Public Emp Ret Sys 226022 269,182.13 PPE 03/09/09 Stevens Construction 226048 100,953.86 Library Remodel Payroll Various 1,003,800.68 PPE 03/09/09 vironmental Review N/A Financial Statement Not applicable. Account No. TAFFRICOMMENDATION Ratification of warrants in the amount of $2,259,448.13 BOARD) COMMISSION RECOMMENDATION 1. Warrant Register #39 ATTACHMENT (Listed Below) Resolution No. A-200 (Rev. 9/80) 1/3 PAYEE SAN DIEGO GAS & ELECTRIC AFLAC AK & COMPANY ALCEM FENCE COMPANY INC ALL FRESH AMERICAN ROTARY BROOM CO., INC AT&T/MCI BEHAVIOR ANALYSIS BROADWAY AUTO ELECTRIC CALIFORNIA BAKING CO. CALIFORNIA ELECTRIC SUPPLY CARQUEST AUTO PARTS CEB CHOICEPOINT CHULA VISTA BLUEPRINT CO CINGULAR WIRELESS COMMAND CONCEPTS RPORATE EXPRESS ,440„ JNTY OF SAN DIEGO COX COMMUNICATIONS DAPPER TIRE COMPANY DELCARMEN DELL DELL MARKETING CORP DEPARTMENT OF JUSTICE DIXIELINE LUMBER CO. DOUCETTE DREW FORD ESGIL CORPORATION EVIDENT CRIME SCENE PRODUCTS FEDEX FELIX FERGUSON ENTERPRISES, INC FERNANDEZ FLEET SERVICES, INC FON-JON KENNELS GRAINGER GTC SYSTEMS INC HARRIS & ASSOCIATES HD SUPPLY HODGES HYDRO-SCAPE PRODUCTS INC. ..GRATED BIOMETRIC JOHN DEERE LANDSCAPES KIWANIS CLUB OF NATIONAL CITY +}-* :CALIFQRNIA -* NATII L Ci ao e• INCORPORATED WARRANT REGISTER # 39 3/24/2009 DESCRIPTION 1415 D AVE 01/19 - 02/18/09 ACCT BDM36 MAR 09 SB 90 CONTRACT#09-NATIONAL CITY MISC FENCE AND WALL REPAIRS FOOD MOP #62683 SWEEPER REPAIRS PHONE XXX-7549 JAN 09 INVEST & INTERROGATION COURSE ELECTRICAL PARTS BREAD PRODUCTS MOP #45698 CLR B17 MED PS LAMP MOP #47557 BRAKE ROTORS CA TORT DAMAGES 2009 AUTO TRACK DATABASE - FEB 2009 SCAN TO FILE PDF FORMAT PD WIRELESS SVC 02/06 - 03/05/09 STANDARD BOARD WITH LAW MOP 45704 OFFICE SUPPLIES - PD FILING FEE EFFECTIVE JANUARY 2009 COX INTERNET DATA SERVICE TIRES FOR CITY FLEET REFUND -CITATION OVERPAYMENT INTEL CORE 2 DUO POWER EDGE R200 SERVER NEW EMP FINGERPRINT TEST 45707 CORDS, ROPE, TARPS LCC SPRING CONFERENCE 2009 MOP #49078 HOSE ASSEMBLY CONSULTANT SERVICES FOR BLDG BOGEN MAGIC ARM W/ CAMERA FEDEX DOCUMENT SENT TO CALPERS ADMINISTRATOR TRAINING COURSE MOP #45723 FLUSH VALVES W/SWITCH REFUND FOR FIRE PERMIT CLOSED MOP #67804 SCOTSEAL KENNEL FEES FOR POLICE K9'S MOP #65179 AIR/WATER HOSE REEL PROFESSIONAL NETWORK SERVICES SERVICES RENDERED THROUGH 2/28/09 PLUMBING MATERIAL OVER COUNTER MILEAGE REIMBURSEMENT MOP #45720 VALVES, COUPLINGS, GLUE NEW EMP FINGERPRINT TEST MOP 68862 TOWING MOP #69277 NOZZLES, VALVES KIWANIS CLUB DUES / MEALS CHK NO DATE AMOUNT 225960 3/19/09 2,069.73 225961 3/24/09 1,563.44 225962 3/24/09 2,800.00 225963 3/24/09 598.13 225964 3/24/09 39.12 225965 3/24/09 344.61 225966 3/24/09 6,801.09 225967 3/24/09 472.00 225968 3/24/09 195.75 225969 3/24/09 216.00 225970 3/24/09 669.24 225971 3/24/09 184.40 225972 3/24/09 105.65 225973 3/24/09 200.00 225974 3/24/09 101.29 225975 3/24/09 4,197.01 225976 3/24/09 1,864.00 225977 3/24/09 554.05 225978 3/24/09 1,993.00 225979 3/24/09 3,600.00 225980 3/24/09 137.31 225981 3/24/09 10.00 225982 3/24/09 3,007.92 225983 3/24/09 2,792.24 225984 3/24/09 211.00 225985 3/24/09 480.71 225986 3/24/09 196.45 225987 3/24/09 184.57 225988 3/24/09 25,510.21 225989 3/24/09 701.00 225990 3/24/09 26.21 225991 3/24/09 248.00 225992 3/24/09 476.60 225993 3/24/09 703.00 225994 3/24/09 90.18 225995 3/24/09 350.00 225996 3/24/09 598.31 225997 3/24/09 1,635.00 225998 3/24/09 7.594.00 225999 3/24/09 204.73 226000 3/24/09 102.16 226001 3/24/09 473.15 226002 3/24/09 12.00 226003 3/24/09 657.00 226004 3/24/09 47.70 226005 3/24/09 124.00 2/3 PAYEE LASER SAVER INC LEXIS-NEXIS LOPEZ LORIMAR GROUP, INC. METROCALL MISSION UNIFORM SERVICE MUNICIPAL CODE CORPORATION MX LOGIC, INC NATIONAL CITY AUTO TRIM NATIONAL CITY CAR WASH NATIONAL CITY ROTARY CLUB NATIONAL CITY TROPHY ORTIZ PACIFIC AUTO REPAIR PADRE JANITORIAL SUPPLIES, INC PRUDENTIAL OVERALL SUPPLY PUBLIC EMP RETIREMENT SYSTEM REGIONAL COMMUNICATIONS SYSTEM RODRIGUEZ ROJAS SDCDA SDG&E SDLSA SIGN SHOP STARK MFG CO STRATACOM SWEETWATER AUTHORITY SYSCO SAN DIEGO TETRA TECH ISG #1 ULTIMATE STAFFING SERVICES WADE & ASSOCIATES WASHINGTON WILLIAMS WILLY'S ELECTRONIC SUPPLY WILSON WOOD & WOOD CORPORATE EXPRESS HUSK PARTNERS ICF JONES & STOKES KLEINFELDER, INC. KLEINFELDER, INC LASER SAVER INC MA STEVENS CONSTRUCTION PE PRUDENTIAL OVERALL SUPPLY RICK ENGINEERING CO -, CALIFORNIA «-‹+ NATIONAL* CITY INCORPORATED WARRANT REGISTER # 39 3/24/2009 DESCRIPTION MOP 45725 COLOR CARTRIDGES - CM ONLINE CHARGES FOR FEB 2009 TRANSLATION SERVICES LAPEL MICROPHONE METROCALL SERVICE FOR PD PAGERS LAUNDRY/CLEANING SERVICES MUNICIPAL CODE HOSTED ON INTERNET SPAM EMAIL FILTERING AND WEB SVC R&M CITY VEHICLES CAR WASHES MEMBER QUARTERLY LUNCHES MOP #66556 CUSTOM MADE SIGNS DEPOSIT#1271 206 E 5TH STREET SMOG CERTIFICATION & REPAIRS JANITORIAL SUPPLIES MOP #45742 UNIFORMS - PARKS SERVICE PERIOD 03-09-3 COMMUNICATIONS SYS - FEB 2009 EDUC REIMB-LANDMARK FORUM 125 PLAN REIMBURSEMENT SDCDA LUNCHEON FACILITIES DIVISION SDLSA 2009-2010 MEMBERSHIP NUMBER PLATES, FRONT & REAR REPLACE ZIPPERS ON ALS AIRWAY BAG MOP 63845 TIME SUMMARY - PURCH FACILITIES DIVISION FOOD/CONSUMABLES DEPOSIT#1184 940 E 16TH STREET TEMP SR OFFICE ASSIST STATION#34 CONSULTING SERVICES 08-14 TRAVEL (AMERICORPS CNCS YR6) TRAVEL (AMERICORPS LSTA YR6) MOP 45763 COMPUTER SUPPLIES - PD REFUND -CITATION OVERPAYMENT LIABILITY CLAIM COSTS MOP 45704 OFICE SUPPLIES - REDEV CONSULTING SERVICES MARCH 2009 WESTSIDE SPECIFIC PLAN BILLING THRU MARCH 1ST 2009 COMPACTION TEST/NUCLEAR MOP 45725 COLOR CARTRIDGES - CDC N C LIBRARY REMODEL REIMB - CERTIFICATION MOP 45742 UNIFORMS - NEIGH SVCS BAY MARINA WIDENING/MARINA GATEWAY CHK NO DATE AMOUNT 226006 3/24/09 62.50 226007 3/24/09 415.14 226008 3/24/09 100.00 226009 3/24/09 255.64 226010 3/24/09 873.54 226011 3/24/09 61.66 226012 3/24/09 500.00 226013 3/24/09 882.00 226014 3/24/09 185.00 226015 3/24/09 212.00 226016 3/24/09 240.00 226017 3/24/09 84.83 226018 3/24/09 500.00 226019 3/24/09 1,192.09 226020 3/24/09 208.87 226021 3/24/09 575.92 226022 3/24/09 269,182.13 226023 3/24/09 9.009.05 226024 3/24/09 385 00 ' 226025 3/24/09 207.99 226026 3/24/09 75.00 226027 3/24/09 7,456.53 226028 3/24/09 50.00 226029 3/24/09 352.34 226030 3/24/09 100.00 226031 3/24/09 178.35 226032 3/24/09 10,920.66 226033 3/24/09 5,635.30 226034 3/24/09 1,062.78 226035 3/24/09 351.84 226036 3/24/09 11,657.50 226037 3/24/09 207.96 226038 3/24/09 245.45 226039 3/24/09 129.98 226040 3/24/09 50.00 226041 3/24/09 364.00 226042 3/24/09 45.70 226043 3/24/09 7,500.00 226044 3/24/09 18,717.81 226045 3/24/09 310.00 226046 3/24/09 1,934.00 226047 3/24/09 62.50 226048 3/24/09 100,953.86 226049 3/24/09 475.00 NW, 226050 3/24;09 30.68 226051 3/24/09 13,688.37 3/3 CALIFORNIA NATIONALCM( `NCOR ED WARRANT REGISTER # 39 3/24/2009 PAYEE DESCRIPTION CHK NO DATE AMOUNT STRATACOM MOP 63845 BUSINESS CARDS - CD 226052 3/24/09 34.80 A/P Total 542,865.73 SECTION 8 Start Date End Date SECTION 8 HAPS PAYMENTS 3/1/2009 3/3/2009 690,373.17 SECTION 8 HAPS PAYMENTS 3/4/2009 3/10/2009 9,186.86 SECTION 8 HAPS PAYMENTS 3/11/2009 3/17/2009 11,129.23 SECTION 8 HAPS PAYMENTS 3/18/2009 3/24/2009 2,092 46 Section 8 Total 712,781.72 PAYROLL Pay period Start Date End Date Check Date 6 2/24/2009 3/9/2009 3/18/2009 1,003,800.68 GRAND TOTAL S 2,259,448.13 +}- CALIFORNIA NATION. NATIommcir INCORPORATED Warrant Register # 39 3/24/2009 001 GENERAL FUND 104 LIBRARY FUND 105 PARKS MAINTENANCE FUND 109 GAS TAXES FUND 111 P.O.S.T. FUND 125 SEWER SERVICE FUND 130 EMT-D REVOLVING FUND 154 STATE PUBLIC LIBRARY FUND 158 SWIMMING POOL REVOLVING FUND 166 NUTRITION 171 LIBRARY SCHOOL DISTRICT CNTRCT 172 TRASH RATE STABILIZATION FUND 173 NATIONAL SCHOOL DIST CONTRACT 174 SWEETWATER SCHOOL DIST CONTRAC 191 STOP PROJECT 198 PROPERTY EVIDENCE SEIZURE 211 SECURITY AND ALARM REGULATION FUND 212 PERSONNEL COMPENSATION FUND 230 ABANDONED VEHICLE ABATEMENT GRANT 246 WINGS GRANT 282 REIMBURSABLE GRANTS CITYWIDE 290 POLICE DEPT GRANTS 294 HUD HEALTHY HOMES GRANT 301 GRANT-C.D.B.G. 307 PROPOSITION A" FUND 320 LIBRARY GRANTS 502 SECTION 8 FUND 505 HOME FUND 511 TAX INCREMENT FUND 522 LOW/MODERATE HOUSING FUND 626 FACILITIES MAINT FUND 627 LIABILITY INS. FUND 628 GENERAL SERVICES FUND 629 INFORMATION SYSTEMS MAINTENANC 630 OFFICE EQUIPMENT DEPRECIATION 631 TELECOMMUNICATIONS REVOLVING 632 GENERAL ACCOUNTING SERVICES 643 MOTOR VEHICLE SVC FUND 726 ENGINEERING/PUBLIC WORKS T&A DEPOSITS 1,006,915.29 28,197.66 22,156.45 3,591.66 720.00 18, 866.77 6,081.93 1,518.17 951.45 20,675.07 870.55 1,720.65 998.27 4,629.31 2,848.15 701.00 1,148.23 14,020.48 3,435.90 39,424.94 126.14 2,266.37 3,934.32 2,710.10 4,057.32 6,687.69 733,421.00 559.26 204, 565.52 1,461.92 40,627.21 4,060.64 5,734.95 17, 544.23 3,007.92 16,905.55 17, 321.62 13,421.66 1,562.78 2,259,448.13 City of National City, California COUNCIL AGENDA STATEMENT ..MEETING DATE April 21, 2009 arran 'e is ITEM TITLE Amount of $226,813.87 PREPARED BY D. Gallegos -Finance EXPLANATION. e peno. o 16 AGENDA ITEM NO. roug , • in DEPARTMENT Finance Jeanette Ladri 619-336-4331 Per Government Section Code 37208, attached are the warrants issued for the period of 03/25/09 through 03/31/09. The Finance Department has implemented a policy to provide explanation of all warrants Above $50,000.00 Vendor Check# Amount Explanation Tritech Software Sys 226138 78,163.82 Software Support Enyironmental Review N/A Financial Statement Not applicable. Account No. STAFF RECOMMENDATION Ratification of warrants in the amount of $226,813.87 BOARD/COMMISSION RECOMMENDATION 1. Warrant Register #40 ATTACHMENTS (Listed Below) Resolution No. A-200 (Re.. 9/80) CALLFQ1 NIA 1/3 PAYEE LOPEZ A COPY WORLD AMERICAN PLANNING ASSOCIATION AMERICAN ROTARY BROOM CO., INC AUSTIN DOORS BANK OF AMERICA BCM CUSTOMER SERVICE BECERRA ISABEL BREEDEN-JOHNSON BROADWAY AUTO ELECTRIC CA ASSO OF CODE ENFORCEMENT CALIFORNIA ELECTRIC SUPPLY CALIFORNIA RESERVE PEACE CDWG CGIA PMB 331 CHILDREN'S HOSPITAL Y OF NATIONAL CITY `,,Y TREASURER OF S D CITY-WIDE ELECTRONICS CLAIMS MANAGEMENT ASSOCIATES CLEAN HARBORS COOPER'S PLUMBING & HEATING CORPORATE EXPRESS DANIEL PEARCE/ RPM WELDING DAPPER TIRE COMPANY DATA TICKET INC DIXIELINE LUMBER CO. DOKKEN ENGINEERING DREW FORD ELESCO ENVIRONMENTAL HAZARDS SERVICES ESRI FEDEX FLEET SERVICES, INC G & A AUTO AIR CONDITIONING GEORGE H WATERS GRAINGER GRANICUS INC. H&E EQUIPMENT SERVICES HD SUPPLY HINDERLITER DE LLAMAS & ASSOC DERLITER DE LLAMAS & ASSOC 'NempREGRITY CHARTER SCHOOL LASER SAVER INC LEAGUE OF CALIFORNIA CITIES LOPEZ MAINTEX, INC. NATI fry mov INCORPORATED WARRANT REGISTER # 40 3/31/2009 DESCRIPTION REFUND FOR HOME OCCUPATION PLANS FOR KIMIBALL HOUSE APA MEMBERSHIP SWEEPER REPAIRS MATERIAL CREDIT CARD EXP - PO DATA CENTER HVAC MAINTENANCE REFUND OF DOG LICENSE TRAVEL (AMERICORPS LSTA YR6) ELECTRICAL PARTS CACEO MEMBERSHIPS MOP #45698 STRAP, WIRE, COUPLINGS LEGAL SUPPORT & MEMBERSHIP NKJ9962 - TOUGHBOOK LAPTOPS REGISTRATION: SMITH, SEGAL, ZEFERINO CHILD SEXUAL ABUSE EXAMS PETTY CASH FEBRUARY 2009 - CITY NO CURRENT YEAR TAB DISPLAYED fL.ARM MONITORING & REPAIRS CLAIM COSTS:ADJUSTING SERVICES HAZARDOUS WASTE PICKUP CITY-WIDE PLUMBING SERVICES MOP 45704 OFFICE SUPPLIES - CM MOP #45749 CLOSET BRACKET REPAIRS TIRES FOR CITY FLEET PC PROCESSING, APPEALS MOP #45707 HALOGEN BULBS. BLADE JANUARY 2009 SERVICES MOP #49078 WHEEL ASSEMBLY, KIT SERVICE & PARTS FOR INVERTER HUD HEALTHY HOMES DEM GRANT MAINTENANCE FEDEX TRANSPORTATION COST MOP #67804 MECHANICS GLOVES DISCHARGE HOSE REFRESHMENTS/WORKSHOP 03/21/09 MOP #65179 FILTER CARTRIDGE SOFTWARE MODULES - MARCH 2009 UPGRADE EXISTING 6" TRASH PUMP PLUMBING MATERIAL OVER COUNTER AUDIT SVCS - SALES TAX AUDIT SVCS - TRANSACTIONS TAX ANNUAL FUNDRAISING DINNER - 2009 MOP #45725 PRINTER CARTRIDGES LCC - CITY ATTY SPRING CONE TRANSLATION SVCS 03/21/09 MISCELLANEOUS JANITORIAL SUPPLIES CHK NO DATE AMOUNT 226053 3/26/09 341.50 226054 3/31/09 46.55 226055 3/31/09 558.00 226056 3/31/09 853.66 226057 3/31/09 3,137.42 226058 3/31/09 777.38 226059 3/31/09 150.00 226060 3/31/09 30.50 226061 3/31/09 84.90 226062 3/31/09 130.50 226063 3/31/09 100.00 226064 3/31/09 510.52 226065 3/31/09 486.00 226066 3/31/09 13,980.73 226067 3/31/09 1,000.00 226068 3/31/09 1,043.00 226069 3/31/09 471.93 226070 3/31/09 25.00 226071 3/31/09 55.50 226072 3/31/09 455.60 226073 3/31/09 439.00 226074 3/31/09 4,000.00 226075 3/31/09 443.61 226076 3/31/09 126.55 226077 3/31/09 1,449.85 226078 3/31/09 1,911.75 226079 3/31/09 476.67 226080 3/31/09 27,764.88 226081 3/31/09 645.35 226082 3/31/09 550.00 226083 3/31/09 420.00 226084 3/31/09 521.88 226085 3/31/09 72.41 226086 3/31/09 149.85 226087 3/31/09 359.68 226088 3/31/09 280.00 226089 3/31/09 50.21 226090 3/31/09 1,899.45 226091 3/31/09 11,837.39 226092 3/31/09 170.80 226093 3/31/09 7,477.27 226094 3/31/09 4,948.21 226095 3/31/09 25.00 226096 3/31/09 384.21 226097 3/31/09 550.00 226098 3/31/09 325.00 226099 3/31/09 881.95 +r-. CALLFORd1A -{+ 2/3 PAYEE MANPOWER OF SAN DIEGO MASIMO CORPORATION MORRISON MULTI -BANK SERVICES LTD NAPA AUTO PARTS NATIONAL CITY LIONS CLUB NATIONAL CITY LIONS CLUB NATIONAL CITY AUTO TRIM NEXUS INTEGRATED SOLUTIONS PACIFIC AUTO REPAIR PARTS PLUS AUTOSTORE #711 PBS&J PEACE OFFICERS RESEARCH PERRY FORD PERVO TRAFFIC CENTER PORAC LEGAL DEFENSE FUND POWERSTRIDE BATTERY CO INC PROGRESSIVE SOLUTIONS INC PRUDENTIAL OVERALL SUPPLY REGIONAL TRAINING CENTER RODRIGUEZ RON BAKER CHEVROLET RUIZ SAN DIEGO MIRAMAR COLLEGE SAN DIEGO MIRAMAR COLLEGE SAN DIEGO REGIONAL PUBLIC SCANNING SERVICE CORPORATION SD BMW MOTORCYCLES SD/IMPERIAL COUNTY APWA SIGN MASTERS SOUTHERN CALIF TRUCK STOP STARTECH COMPUTERS STRATACOM TARGETSAFETY TARULLI TIRE SAN DIEGO INC THE LIGHTHOUSE, INC. THE STAR NEWS TOM MOYNAHAN TRITECH SOFTWARE SYSTEMS TURF STAR ULTIMATE STAFFING SERVICES ULTIMATE STAFFING SERVICES ULTIMATE STAFFING SERVICES VALLEY INDUSTRIAL SPECIALTIES VISTA PAINT VULCAN MATERIALS COMPANY WATERLINE TECHNOLOGIES Try Matt INCORPORATEt1 WARRANT REGISTER # 40 3/31/2009 DESCRIPTION WEEK ENDING 03/22/09 HANDHELD CO-OXIMETER REIMB- FRAMES FOR PROCLAMATIONS TRADE SETTLING CHGS MOP #45735 FHP BELT, HD30 MISS NC PAGEANT 2009 MISS NC PAGEANT 2009 MOP72441 SEAT/HEADBOARD REPAIRS IN-HOUSE MAINTENANCE/SVC SMOG CERTIFICATION & REPAIRS MOP #64946 SENSOR; LATEX GLOVES FINANCIAL WASTEWATER PORAC/PEACE OFFICER RESEARCH MOP #45703 WINDOW RUN ASSEMBLY MOP #63846 STREET PAINT RESERVE OFFICERS MOP #67839 BATTERY & CLEANER THERMAL PAPER 80MM MOP #45742 UNIFORMS - PARKS CCMA MEETING REFUND FOR B/L MOP #45751 BAG, HANDLES REFUND FOR B/L DEFENSIVE TACTICS TUTOR COURSE FIELD TRAINING OFFICER COURSE PETTY CASH FUND-78TH REG ACADEMY SCANNING OF BLDG DIVISION PERMITS REPAIRS & MAINTENANCE OF POLICE REGISTRATION-J SLADE/K FERNANDEZ 2" NUMBERS, GOLD COLOR, 2 SETS MOP #45758 PROPANE MOP 61744 COMP APPLIANCES - MIS MOP 63845 ENV IMPRINTS - HR (42) RENEWALANNUAL USER LICENSE MOP #47940 DISMOUNT/MOUNT TIRES MOP #45726 TRAFFIC ADVISOR ADVERTISING BIDS, AUCTIONS MOP #45734 TOWING CHARGES TRITECH SOFTWARE SUPPORT BLADES NEIGHBORHOOD TEMP EMP 3/01/09 NEIGHBORHOOD TEMP EMP 3/08/09 TEMP CLERK AT STATION#34 3/15/09 MOP #46453 GLOVE, WAX RING, CAULK MOP #68834 TAPE, PAINT SHEET AND COLD MIX ASPHALTS MUNICIPAL POOL CHEMICALS CHK NO DATE AMOUNT 226100 3/31/09 3,123.20 226101 3/31/09 3,776.64 226102 3/31/09 69.60 226103 3/31/09 99.00 226104 3/31/09 1,209.58 226105 3/31/09 13,000.00 226106 3/31/09 1,450.00 226107 3/31/09 386.06 226108 3/31/09 1,820.40 226109 3/31/09 609.50 226110 3/31/09 175.24 226111 3/31/09 1,480.00 226112 3/31/09 70.00 226113 3/31/09 848.89 226114 3/31/09 463.28 226115 3/31/09 84.00 226116 3/31/09 82.22 226117 3/31/09 147.1S NS 226118 3/31/09 320.89 226119 3/31/09 40.00 226120 3/31/09 50.00 226121 3/31/09 195.72 226122 3/31/09 50.00 226123 3/31/09 60.00 226124 3/31/09 60.00 226125 3/31/09 5.00 226126 3/31/09 7,000.00 226127 3/31/09 1,351.49 226128 3/31/09 190.00 226129 3/31/09 170.00 226130 3/31/09 47.68 226131 3/31/09 1,059.55 226132 3/31/09 167.49 226133 3/31/09 3,360.00 226134 3/31/09 175.00 226135 3/31/09 752.87 226136 3/31/09 67.50 226137 3/31/09 50.00 226138 3/31/09 78,163.82 226139 3/31/09 874.14 226140 3/31/09 1,008.70 226141 3/31/09 951.6( 226142 3/31/09 175.92'N110 226143 3/31/09 165.25 226144 3/31/09 57.50 226145 3/31/09 2,760.45 226146 3/31/09 1,802.05 0- CALIFORNIA -c* 3/3 PAYEE WESTFLEX INDUSTRIAL PATRICIA L SANTOS DBA SAN DIEGO DAILY TRANSCRIPT SAN DIEGO NEIGHBORHOOD NEWS SECTION 8 HAPS PAYMENTS Ctivir awcup INCORPORATED WARRANT REGISTER # 40 3/31/2009 DESCRIPTION MOP #63850 HOSE REEL ASSEMBLY COMMUNITY BENEFIT LOAN REIMB ADVERTISE KIMBALL HOUSE ADVERTISE KIMBALL HOUSE Start Date End Date 3/25/2009 3/31/2009 CHK NO DATE 226147 3/31/09 226148 3/31/09 226149 3/31/09 226150 3/31/09 A/P Total AMOUNT 489.29 124.19 533.20 691.88 224, 265.64 2,548.23 GRAND TOTAL S 226,813.87 -0-- CALIFORNIA —* NNTIONAL Citify INCORPORATED Warrant Register # 40 3/31/2009 001 GENERAL FUND 105 PARKS MAINTENANCE FUND 125 SEWER SERVICE FUND 130 EMT-D REVOLVING FUND 166 NUTRITION 172 TRASH RATE STABILIZATION FUND 294 HUD HEALTHY HOMES GRANT 307 PROPOSITION A" FUND 312 STP LOCAL/TRANSNET HIGHWAY 320 LIBRARY GRANTS 502 SECTION 8 FUND 511 TAX INCREMENT FUND 626 FACILITIES MAINT FUND 627 LIABILITY INS. FUND 628 GENERAL SERVICES FUND 629 INFORMATION SYSTEMS MAINTENANC 630 OFFICE EQUIPMENT DEPRECIATION 631 TELECOMMUNICATIONS REVOLVING 632 GENERAL ACCOUNTING SERVICES 643 MOTOR VEHICLE SVC FUND 44, 047.21 377.85 1,510.45 6,296.64 40.52 439.00 420.00 3,123.20 27, 764.88 84.90 2,587.27 1,395.82 11,661.12 455.60 67.50 78,313.82 16,340.59 1,820.40 7,120.40 22,946.70 226,813.87 City of National City, California COUNCIL AGENDA STATEMENT 17 `''MEETING DATE April 21, 2009 AGENDA ITEM NO. �EM TITLE Public Hearing -- An Amendment to the National City Municipal Code Chapter 18.62 and Local Coastal Program Implementation Document Section XII Pertaining to Signs and Outdoor Advertising (Applicant: City Initiated) (Case File No. 2007-41 A, I,CP) PREPARED BY Martin ceder, 336-4310 DEPARTMENT Planning, City Attorney's Office EXPLANATION The City's current Sign Ordinance, in particular provisions pertaining to political signs, requires amendment in order to meet current constitutional standards. In addition to proposed revisions addressing political signs, changes are proposed to other provisions of the ordinance in order to maintain internal consistency among those provisions, and to require signs to conform to current standards of aesthetics in the physical development of the City. The amendment was initiated by the City Council on December 18, 2007. The Planning Commission held a hearing on the proposed amendment on May 19, 2008 and recommended approval to the City Council. In addition, the Planning Commission initiated an 1,CP amendment on July 7, 2008 in order for changes to the Sign Ordinance to be effective in the Coastal Zone. The City Council held a hearing on August 19, 2008, at which time there was discussion of the minimum size for event -related temporary signs. Council ultimately continued the matter off -calendar for additional review. Changes have since been made to the draft amendments in response to Council questions, and the item re - reviewed by the Planning Commission. A public hearing was held April 6, 2009, at which time the Commission recommended approval of the draft amendments. Copies of the draft Code Amendment (Land Use Code Chapter 18.62) and draft Local Coastal Program Amendment (Local Coastal Program Implementation document Section XII) arc attached for your review. The attached background report describes the amendments in detail. Environmental Review Exempt pursuant to CI?QA Section 15061(b)(3) Financial Statement N/A Approved By: Account No. STAFF RECOMMENDATION Finance Director Staff concurs with the Planning Commission's recommendation that the Municipal Code and Local Coastal Program Amendments be approved. BOARD / COMMISSION RECOMMENDATION The Planning Commission recommends approval of the Local Coastal Program Amendment. Vote: Ayes: Alvarado, Farias, Flores, Pruitt, Reynolds Absent: Baca, Del,aPaz ATTACHMENTS ( Listed Below) Resolution No. 1. Background Report 2. Planning Commission Resolution No. 6-2009 Including Findings for Approval 3. Draft Code Amendment 4. Draft Changes to Local Coastal Program Implementation document 5. Notice of Exemption 6. Public hearing Notice (published in newspaper only, not mailed) A-200 (9/99) BACKGROUND REPORT Sign Ordinance Amendment The City's sign ordinance provisions in question are codified in two sections, Section 18.62.090 E.4 and 18.62.210 H. Section 18.62.090 E.4 states that no political sign shall exceed thirty-two square feet in size. Section 18.62.210 I1 states that prohibited signs include off -site signs, such as billboards, except as permitted by Section 18.62.090. This exception for off -site signage contained in Section 18.62.090 permits off -site signage of one hundred square feet if the sign pertains to business, leasing, or industrial messages. Accordingly, while off -site signage containing business, leasing, or industrial messages (essentially commercial messages) may be as large as one hundred square feet, political messages, considered non-commercial speech, can only be as large as thirty-two square feet. Therefore, commercial, off -site signage is favored in that it is allowed to be three times larger than political, non-commercial off -site signage. Various cases address political, non-commercial sign ordinance challenges. The landmark U.S. Supreme Court case is Metromedia v. San Diego (1982) 453 U.S. 490, which held that commercial speech cannot be favored over non-commercial speech. Numerous cases after Metromedia have upheld this concept. (See, for example, City of Antioch v. Candidates Outdoor Graphic Service (1982) 557 F.Supp. 52, specifically holding that temporary political signage can not be less favored than temporary commercial speech.) A City of El Cajon ordinance was recently challenged on such an issue, and a portion of their ordinance was held by the court to be unconstitutional. Based upon Metromedia and later cases, it is recommended that the City of National City's sign ordinance provisions cited above be amended so as not to favor commercial speech over non-commercial speech, including political speech; without such amendments, the sign ordinance is vulnerable to constitutional challenge. Other concerns about the validity of a sign ordinance arise when the legal permissibility of the sign is based upon the content of the speech (other than the non-commercial and commercial distinction), such as when the regulation refers to signs for special events, real estate sales, political advertisements, or leasing of homes. Regulations based on a sign's message or content have been held to violate the First Amendment. Municipalities are only allowed to regulate time, place, and manner of speech/signage (Cornelius v. NAACP (1985) 473 U.S. 788). Various provisions of the current National City sign ordinance pertaining to temporary signage base the permissibility of the sign on its content. 'These provisions refer to the content of temporary signage such as real estate, political, residential construction, leasing, etc., and set forth different restrictions upon size, height, or number for each type. Because these regulations require the content of a sign to be scrutinized, they could be deemed content -based, which is prohibited under the First Amendment. Accordingly, it is also recommended that the current sign ordinance be amended to comply with State and federal case law, by deleting regulations based upon the content of signs. In addition to addressing any potential issues as to the constitutionality of the sign ordinance, the proposed amendments would make various "house -keeping" revisions as well. For example, temporary signs located on for sale or lease property must be removed 1 of 22 within ten (currently, seven) days of the lease or sale of the premises on which the signs are located. Temporary signs erected due to an event must be removed within 15 (currently, seven) days after the event. In single-family residential zones, a total of 32 square feet of temporary signage is currently permitted. Under the proposed amendments, a maximum of six square feet of signage would be allowed, except for corner lots, where 16 square feet would be permitted. In commercial, manufacturing, multi -family residential and institutional zones, the temporary sign square footage limit is currently 25 square feet; the limit would increase to 32 square feet. Pursuant to the proposed amendments, the maximum total area for signs at construction sites would distinguish between residential and other types of construction projects, and would be based on street frontage. For residential construction, the limit would be 20 square feet per street frontage. For other construction, the limit would be 50 square feet per street frontage. Additionally, these limits could be exceeded pursuant to a TUP, based upon objective criteria. Three new definitions are proposed for addition defining freestanding, monument and pole - mounted signs. As currently written, the Land Use Code makes reference to pole -mounted and freestanding signs, but does not define these terms. Additionally, Section 18.62.090 is proposed to be further amended by adding language pertaining to the proper display of official flags. There are currently no provisions for the display of pole -mounted flags, which are standard accoutrements for both public and private buildings throughout the City. These additions are in response to the need for identification signs to be constructed as part of the Marina Gateway Plaza project, within the Harbor District Specific Plan. Tourist Commercial uses, such as the Marina Gateway Plaza currently under construction, are allowed within sub areas A, Bl and B2 of the Harbor District Specific Plan, which is a Specific Plan of the LCP; however, the Specific Plan prohibits pole -mounted and freestanding signs. As part of a pending LCP Amendment pertaining to the Harbor District Plan, the reference to freestanding signs is proposed to be removed along with the addition of a section pertaining to official flags. These changes would allow for the Marina Gateway Plaza to incorporate monument identification signs and official country, state and corporate flags as part of the project. In order for consistency with the LCP, the new definitions and flag section would need to be added to the Sign Ordinance. A new Section 18.62.185 is proposed to be added to prohibit mobile billboard advertising, which includes the transport of any sign by vehicle for the primary purpose of advertising. The prohibition does not apply to a vehicle that displays an advertisement or business identification of its owner, and when used in the ordinary course of business. The amendments would revise Section 18.62.190 pertaining to signs for churches. Except in the residential zones, churches would be subject to the same sign regulations as those for commercial, manufacturing, and institutional zones when they are located in such zones. Lastly, a new Section 18.62.240 would be added stating specifically that anywhere that commercial speech is allowed, non-commercial speech is allowed, subject to the same restrictions as those for commercial speech. 2 of 22 Local Coastal Program Amendment The Local Coastal Program is contained in two separate documents: Land Use Plan and Implementation. Although the Implementation portion specifically refers to policies contained in the Land Use Plan, no information specific to signage is contained in the Land Use Plan; therefore, that portion of the LCP does not need to be amended. However, Section XII of the LCP Implementation document references specific sections of the Land Use Code. Some of the sections referenced are out of date and some will change as part of the pending Code amendment. In order to provide consistency between the current and soon to be amended Land Use Code and the Local Coastal Program Implementation document, the referenced Code section numbers and/or titles should also be changed. It is important to note that no specific sign regulations are called out in the document; they merely reference the Land Use Code section number and title. State guidelines require consistency between adopted land use plans, including General Plans, Specific Plans and Local Coastal Plans. The LCP amendment will provide this consistency. There is no possibility that the proposal will have a significant environmental effect, since the amendment is limited to changes in sign requirements and allowances, and would not have a direct affect on any specific property. Any future individual project would be reviewed in accordance with CEQA. Planning Commission held a public hearing on the draft amendments April 6, 2009, and recommended approval of the amendments based on the attached findings. 3 of 22 RESOLUTION NO. 6-2009 misoo A RESOLUTION OF TI IE PLANNING COMMISSION OF THE CITY OF NATIONAL CITY, CALIFORNIA, RECOMMENDING APPROVAL OF AN AMENDMENT TO THE NATIONAL CITY MUNICIPAL CODE CHAPTER 18.62 AND LOCAL COASTAL PROGRAM IMPLEMENTATION DOCUMENT SECTION XII PERTAINING TO SIGNS AND OUTDOOR ADVERTISING. APPLICANT: CITY OF NATIONAL CITY. CASE FILE NO. 2007-41 A, I,CP WI LEREAS, pursuant to the terms and provisions of the Government Code of the State of California, proceedings were duly initiated for the amendment of the National City Municipal Code, Chapter 18.62; and, WI IEREAS, the Planning Commission of the City of National City, California, considered said proposed amendment at a duly advertised public hearing held on April 6, 2009, at which time the Planning Commission considered evidence; and, WHEREAS, at said public hearing the Planning Commission considered the staff report provided for Case File No. 2007-41 A, I.CP, which is maintained by the City and incorporated herein by reference; along with any other evidence presented at said hearing; and, WHEREAS, this action is taken pursuant to all applicable procedures required by State '•r law and City law; and, WHEREAS, this action is taken in an effort to be compliant with applicable State and Federal law; and, WHEREAS, the action hereby taken is found to be essential for the preservation of the public health, safety and general welfare. NOW, "1'I EEREFORE, BE TT RESOLVED by the City Planning Commission of the City of National City, California, that the evidence presented to the Planning Commission at the public hearing held on May 19, 2008, support the following findings: That the City's Sign Ordinance is being amended to comply with past and recent State and Federal case law and that State guidelines require consistency between adopted land use plans, including General Plans, Specific Plans and Local Coastal Plans. That the amendment to City's Sign Ordinance is necessary to make noncommercial signage equally available to commercial signage, and to eliminate sign regulations based on content. 4 of 22 That the amendment to the City's Sign Ordinance and Local Coastal Program Implementation document will not result in significant adverse cumulative impacts on coastal resources and access, and would not change the kind, location or density of allowable uses in the Coastal Zone. BE IT FURTHER RESOLVED that based on the findings herein before stated, the Planning Commission hereby recommends approval of said proposed amendment for Council consideration and approval thereafter. BE IT FURTI IER RESOLVED that copies of this Resolution be transmitted forthwith to the applicant and to the City Council. CERTIFICATION: This certifies that the Resolution was adopted by the Planning Commission at their meeting of April 6, 2009, by the following vote: AYES: Farias, Alvarado, Pruitt, Reynolds, Flores NAYS: ABSENT: DeLaPaz, Baca ABSTAIN: CHAIRPERSON 5 of 22 DRAFT AMENDMENTS TO TITLE 18 (ZONING) Amend Chapter 18.62 Signs and Outdoor Advertising Displays, to read as follows: (Red, Underlined Text is an addition. Strike through is for deletions). Chapter 18.62 SIGNS AND OUTDOOR ADVERTISING DISPLAYS* Sections: 18.62.010 Purpose and intent. 18.62.020 Unlawful display of signs or banners - Prohibited. 18.62.030 Definitions. 18.62.040 Site plan review required. 18.62.050 Design. 18.62.060 Uniform Building, Electrical, and Mechanical Code compliance required. 18.62.070 Maintenance. 18.62.080 Removal from abandoned site or building. 18.62.090 Permanent signs permitted in all zones. 18.62.100 Flags and banners — Regulated. 18.62.110 barge permanent signs in commercial, manufacturing, and institutional zones. 18.62.120 Large permanent signs in shopping centers. 18.62.130 Small permanent signs in commercial, manufacturing, and institutional, and multi -family zones. 18.62.140 Pole -mounted or freestanding signs in commercial, and manufacturing and institutional zones. 18.62.150 Roof -mounted signs. 18.62.160 Revolving signs in commercial and manufacturing zones. 18.62.170 Temporary signs permitted in all zones. Srna11-tetnporaFy-winduW-S*RN it3 18.62.180 Projecting signs in commercial, manufacturing, and institutional zones. 18.62.185 Mobile Billboards 18.62.190 Signs for churches. 18.62.200 Mural -type signs in commercial zones. 18.62.210 Signs prohibited in all zones. 18.62.220 Nonconforming signs. 18.62.230 Constitutional severability. 18.62.240 Non-commercial speech. • Prior history: Ord, 1503, 2098, 1614, 2063, 1989, 1904, 2098; NCLUC § 975-11:01, 975-11.07, 975-11.02:01, 975-11.02.02, 975-11.02:03, 975-11.02:04, 975-11.03, 975-11.04:01--:03 Rev. 3/ 16/09 6 of 22 18.62.010 Purpose and intent. The purpose and intent of this chapter is to: A. Aid in the identification of properties, land uses and enterprises; B. Improve traffic safety by reducing visual distractions and physical obstructions and hazards; C. Enhance the general appearance and aesthetics of the urban environment; and D. Protect the natural beauty of the city's open space. (Ord. 2192 § 5, 2001) 18.62.020 Unlawful display of signs and banners —Prohibited. A. Except as provided in this Chapter 18.62, it is unlawful for any person or entity to install, maintain or allow the installation or maintenance of a sign or banner as defined in this chapter in any zone. B. The reference to a specific prohibition in this Section 18.62.020 shall not affect the validity and effect of the general prohibition set forth in Section 18.02.080 or its application regulating the uses of property outlined throughout the remainder of Title 18 of the National City Municipal Code, nor shall it affect chapter 10.54 prohibiting the maintenance of graffiti as a public nuisance. C. Chapter 18.62 shall not apply to any governmental agency or to any regulatory sign prescribed or required by federal or state law or local ordinance. D. Nothing in this chapter is intended to authorize the installation of a sign or banner without the permission of the owner or occupant of that property. E. Within this chapter, all regulations shall refer and apply only to "on -site" displays of signs and banners. When a regulation is made applicable to an "off -site" display, it shall be so designated. Unless so designated, off -site displays are prohibited. (Ord. 2192 § 5, 2001) 18.62.030 Definitions. As used in this chapter, and in addition to the definitions in chapter 18.04, the following definitions or concepts shall be applicable: A. "Banner" is any flexible material, such as cloth, plastic, vinyl, paper, cardboard or thin metal, with or without a "message", attached outdoors to a building, structure or mounting device, or attached indoors to a building, structure or mounting device so as to be visible from the exterior" of a building or structure. The term "banner" includes a "pennant", "flag" or "bunting." I3. "Bunting" is a form of "banner" that is typically presented and displayed in a folded or gathered fashion or combination. It may include a display in combination with a "flag" or "banner." Depending on the format of the display, the term may be synonymous with "banner." C. "Business premises" refers to specific business occupancy within a building or upon a parcel of land, typically having a specific address and discrete entrance(s) and exit(s) so as to maintain a specific business identity and location. D. "Changeable copy sign" refers to a sign displaying a "message" that is changed by means of moveable letters, slats, lights, light emitting diodes or moveable background material. E. "Directional sign" is any individual sign used to provide directions to pedestrians and vehicular traffic. It shall not include a grouping or mosaic of individual signs that are arranged in such a manner as to constitute a larger sign. F. "Flag" is a form of "banner" that is mounted and displayed outdoors on a pole. Rev. 3/16/09 2 7 of 22 G. "Freestanding sign" means a sign which is permanently supported on the ground by one (1) or more uprights, braces, poles, or other similar structural components that are not attached to any building. This category includes both monument and pole signs. Gil. "Frontage" when used as a measurement reference of a building or business premises, shall refer to the distance between the two most distant corners of a building measured in a straight line along the building face bordering the adjoining street. Sec Section 18.04.260 pertaining to "frontage" when made applicable to a parcel of land. It shall also refer to the elevation cola building that abuts or adjoins a private or public right of way or parking lot. H. 1. "Height." The distance measured vertically from grade to the highest point or portion of the object to be measured or height limited. 4. J. "Illuminated sign" means a sign whose message is made readable by internal or external lights or light emitting diodes, typically during hours of darkness. J. K. "Install" or "installation" includes but is not limited to the act by which a "sign" is constructed or placed on land or a structure, or the act of attaching, painting, printing, producing or reproducing, or using any other method or process by which a visual message is presented or placed upon a surface. K. I,. "Message" means any form of visual communication presented on any type of media. 1t is not material whether the communication has any logical, practical, literary or artistic significance or not. It includes any form or combination of letters, graphics, symbols or designs. The term is not intended to include mono -color paint applied to the exterior, trim, fascia, or other architectural elements of a building for protection against the elements. M. "Monument sign" means a low -profile freestanding sign supported by a structural base or other solid structural features other than support poles and may contain signage on more than one side. L. N. "Mural" or "mural -type sign" means a sign painted on the exterior wall of a building consisting of graphics or images, either alone or in combination with letters. M.O. "Off -site" or "off -site sign" refers to a sign or banner that promotes or advertises goods, services or activities located or offered on a business premises or parcel that is separate from the parcel where the sign is located, even if the two sites or parcels are contiguous to each other. N. P. "On -site" or "on -site sign" refers to a sign or banner that promotes or advertises goods, services or activity located or offered on the business premises or parcel of property where the sign is located. O.Q. "Outdoors" means a location on undeveloped property or to the exterior of a building or structure. P. R. "Outdoor advertising" refers to the placement of a message on signs or banners located "outdoors", or located indoors in a manner such that the message is "visible from the exterior" of a building or structure. Q. S. "Parcels" or "property" or similar references or descriptions shall refer to parcels defined or delineated by assessor parcel numbers maintained by the county tax assessor or as defined by Sections 18.04.476 and 18.04.386 of this code. R. T. "Pennant" is a banner with three sides. S. U. "Permanent sign" means a sign that is solidly attached to a building, structure or the ground by means of mounting brackets, bolts, welds or other combination of attachment Rev. 3/16/09 3 8 of 22 methods, thereby rendering the sign non -moveable or difficult to reposition without the use of machinery, cutting devices or mechanical devices. See also "temporary sign." V. "Pole sign" means a permanently mounted, freestanding sign which is supported above the ground by one (1) or more uprights, braces, poles or other similar structural components. -14.W "Projecting sign" is any sign which projects beyond a building face and uses a wall or vertical element of a building as its main source of support. A projecting sign includes a double-faced sign that is installed more or less perpendicular to the face of a building so as to allow a message to be viewable from either side. A projecting sign does not include signs that are installed along the face of a building and that are completely attached to the face of a building. V. X "Shopping Center" shall mean a group of commercial buildings as defined in Section 18.04.596. W.Y "Sign" as used in this Chapter 18.62, shall generically refer to any medium through which a "message" is conveyed which is placed "outdoors" in any zone or is "visible to the exterior" of a commercial or industrial building or structure. It shall include a "banner" and any of the following: (a) Any "advertising display" defined in Section 9.32.010. (b) Any "message" painted, printed or otherwise produced or affixed on or to: (1) The exterior of a building or structure; or (2) A rigid or semi -rigid material or surface, such as wood, metal or plastic, attached to a building, structure or pole, or which is itself free-standing; or (3) An inflatable balloon or other three-dimensional object that is tethered or fastened to a building, structure, pole or the ground. X. Z."Temporary sign" means a sign that is easily moveable and which is not attached to a building, stricture or the ground in such a manner as to be rendered a "permanent sign." ¥.AA."Visible to the exterior" refers to the placement of a sign or banner within the interior first eight feet of a commercial or industrial building or structure in such a manner so that it or its message is readily visible on an immediately contiguous public right-of-way, parking lot or parcel. To be visible does not require that the message be understandable or readable. (Ord. 2192 § 5, 2001) 18.62.040 Site plan review required. A. Except as exempted in Section 18.62.040(B), signs allowed by this chapter may not be installed until a site plan review is conducted (see Chapter 18.128), and a finding of compliance with the design criteria in Appendix A of the National City Land Use Code by the planning director is completed. Signs that are not consistent with the design criteria outlined in Appendix A of the National City Land Use Code may not he installed. This determination may be appealed pursuant to the provisions of Chapter 18.128, and Sections 18.134.010 and 18.034.020. B. Site plan review shall be limited to considerations of the location, installation or placement, size, public safety and sight distance, view blockage, and comparable matters, Rev. 3/16/09 4 9 of 22 and not to the content of the message conveyed by the sign or banner, except when the publication of such message is unlawful. C. Site plan review is not required for signs allowed by Sections 18.62.090, 18.62.100 and 18.62. 170. (Ord. 2192 § 5, 200 1 ) 18.62.050 Design. The design of all signs shall comply with the design guidelines described in Appendix A of the National City Land Use Code, "Standards for On -Premises Signs." It shall be the duty of the planning commission to interpret these guidelines in the manner prescribed in Section 18.134.020. (Ord. 2192 § 5, 2001) 18.62.060 Uniform Building. Electrical and Mechanical Code compliance required. No sign shall be installed that does not comply with the applicable Uniform Building, Mechanical and Electrical Codes adopted by the city. Permits for installation shall be obtained, when required, prior to any installation, from the director of building and safety. (Ord. 2192 § 5, 2001) 18.62.070 Maintenance. All signs and their supporting structures and components shall be maintained in a state of safe condition and good repair. Signs shall be "face washed" at least once a year. Electrically energized components must bear the seal of approval of an approved testing laboratory. Broken faces and burned -out lamps, bulbs or tubes must be replaced within thirty days from the date of notification from the city. (Ord. 2192 § 5, 2001) 18.62.080 Removal from abandoned site or building. When the use of any parcel or building is vacated, terminated or abandoned for any reason for a period of more than one hundred twenty consecutive days, the owner or person in possession of the property shall be responsible for the physical removal of all signs on the property, building or wall(s), and for painting over the surface so as to obliterate any painted or printed signs on the building so that the copy is not visible, within thirty days following notice from the city. Removal, painting out or obliteration shall be performed in a manner that does not create a blighting influence. (Ord. 2192 § 5, 2001) 18.62.090 Permanent signs permitted in all zones. The following signs shall be permitted in all zones. Site plan review pursuant to Section 18.62.040 shall not be required. A. Te; eonstr. ites ha the f lio v ificat: shall be .matted all . Rev. 3/16/09 10 of 22 5 B A f two temporary real estate s f r the sale or lease f property m , he nts and ,:feations f,r tIVI sign: and--if3zonesi eet: 2 Them „fsignage allowed p el p street f ^..rage : sidential L. 1 llr .IIUAIIliLIl ll -UI L:U Va Jl . re feet. 3Signs ,•hall he , nlighted , „l„ on which the � s . isplayed „b:eet t„ the following r nts• zonesr J Jy 1 The of all shall be limited t„ o a hundred a feat a. a aaa. uau^i sauna ura.0 va ul , 7 Signs shall not be located within r reel setback L. zl.�,lJ Jl.0 3 A r.y m located within r x hundred xt„ feet ^fan,, f-eaway shall not h . J. l Ill lll\. .I.ILib{,,.JII JI�l1J [ . . eway. [ Sign[• shall he n„t : stalled for ., , than a hundred ght., ,lays. . A. Permanent Signs. 1. Size. The display on any parcel of any single sign, flag, or banner that is less than six square feet in area is permitted, except that —if when a home occupation permit has been issued for a residential parcel, this exemption shall not apply, and that property shall be subject to all the requirements of this Chapter. 2. Restrictions. No signs shall be placed in the public right-of-way nor shall they obstruct the free flow of traffic. F. B. Directional Signs. Directional signs which do not exceed a total of three square feet in size per sign and total area combined does not exceed nine square feet. 14 C. A maximum of two freestanding or monument signs Ones til cation S4 ft not to exceeding a total of one hundred square feet, er two ident:rcation of e eding fifty square f et each shall be are permitted for single-family subdivisions, multi -family dwellings developments and apartments, clubs, lodg and . il„ es or mobile home parks. Political allowed : the s „hose behalf the placed Rev. 3/16/09 11 of 22 6 3 A l tie gn hall7r t be rremove ect in size. r—Temporary on-siteeor-eff-s , . ising--special eslier than thirty days before and n . later than fve days after th t uarn.a urarr ur and intent f tl.:s chapter shall he a1lo.yed (Or.1 21 2 R G 2!1(11 arr , D. Official flags. Up to three (3) official flags of the Unites States, the State of California, or other states of the nation, counties, municipalities, and official flags of sovereign nations. Proposals for more than three (3) flags require a sign permit and site plan review. If flags are to be displayed on vertical flagpoles, these poles shall be permanently installed with appropriate building permits. Flags of nationally or internationally recognized organizations and corporate or business flags are only permitted if displayed in conjunction with the United States flag. The Flag Code of the United States shall be observed at all times. 18.62.100 Flags and banners --Regulated. A. Flags and banners may be displayed on automobile sales lots without time limitation or site plan review provided that: 1. The displays are properly maintained; 2. Displays are limited to the perimeter of the lot; 3. Displays do not exceed a height of twenty-five feet above the ground. B. Flags and banners may be displayed on other commercial and industrial uses for a cumulative period of sixty days within each calendar year. The time limit commences when a banner permit is issued by the planning director. The sixty-day period may be divided into two occasions per calendar year, provided the total display time does not exceed sixty days per calendar year. A banner permit fee and an administrative fee in an amount representing the anticipated city enforcement costs in causing the applicant to remove flags or banners shall he paid to the city treasurer at the time of application for site plan review. The administrative fee shall be refunded upon the verified removal of the flag or banner by the specified deadline. C. The following shall apply to all displays of flags and banners: 1. Flags and banners must be removed by the owner or occupant within fifteen days after a determination by the planning director that the display is improperly maintained or the flag or banner is tattered or worn. 2. Flags and banners shall not be displayed in lieu of a permanent sign. 3. Violation of the time limits established by subsection B shall render the site ineligible for issuance of a permit for display of a banner for a period of one year from the date that the violation is abated. Rev. 3/ 16/09 12 of 22 7 4. The restrictions of this section shall also apply to signs and banners located within the first eight feet of the interior of commercial or industrial premises when such sign or banner is visible to the exterior. (Ord. 2192 § 5, 2001) 18.62.110 Large permanent signs in commercial, manufacturing and institutional zones. Except in shopping centers, large permanent signs exceeding twenty-five square feet in area may be installed on or along the face of a building in commercial, manufacturing or institutional zones, subject to the following specifications and restrictions: A. Signs shall be limited to one sign per business premise per frontage along a street, freeway or parking lot. 13. Sign area on the primary frontage shall not exceed thirty percent of the area of the building face or four square feet of sign for each linear foot of building face along that frontage, whichever is greater. C. Sign area on a secondary frontage shall not exceed fifteen percent of the area of the building face or two square feet per linear foot of secondary frontage, whichever is greater. D. The sign face shall not be located, such as by a cabinet, deep lettering or architectural feature, more than eighteen inches from a building face unless an exception is approved pursuant to site plan review. (Ord. 2192 § 5, 2001) 18.62.120 Large permanent signs in shopping centers. Large permanent signs for businesses within a shopping center shall be limited to one per business premises per frontage on a common walkway, parking lot, driveway, alleyway, street or freeway. The size and placement of these signs shall conform with the standards specified by subsections 18.62.1 10(C) and (D) as well as standards that may be applied through any required city council or planning commission approval, including but not limited to a conditional use permit, planned development permit, specific plan or variance. (Ord. 2192 § 5, 2001) 18.62.130 Small permanent signs in commercial, manufacturing and institutional zones. Any permanent sign measuring less than twenty-five square feet and not described elsewhere in this chapter shall be considered a small permanent sign that shall only be permitted in commercial, manufacturing and industrial institutional zones as follows: A. Small permanent signs shall be permitted only in windows or along the face of a building. B. The total area of all small permanent signs and any allowable small temporary signs combined shall not exceed ten percent of the wall or elevation on which the sign is placed. (Ord. 2192 § 5, 2001) 18.62.140 Pole -mounted or freestanding signs in commercial and manufacturing zones. Pole -mounted or freestanding signs are permitted in the commercial and manufacturing zones, subject to the following requirements: A. Pole signs or freestanding signs shall be limited to one sign per frontage on street, freeway or parking lot and may include a cluster sign identifying individual businesses on the parcel(s). Rev. 3/16'09 13 of 22 8 B. The total area of any sign installed along the primary frontage shall not exceed four square feet per lineal foot of property on the primary frontage. C. The total area of any sign installed along each secondary frontage shall not exceed two square feet per lineal foot of property on the secondary frontage. D. Sign structures shall not be placed within the required setback area, except that projecting signs may protrude into or overhang a maximum distance of one half of the setback. (Ord. 2192 § 5, 2001) 18.62.150 Roof -mounted signs. A. Except as provided in subsection B, signs shall not be installed on roofs in any zone. B. Roof signs may be authorized in commercial and manufacturing zones if the planning commission determines that no other form of sign arrangement can effectively serve to advertise on -premises goods, services, or businesses. The maximum total area of a roof sign shall not exceed thirty percent of the area of the front building face of the building upon which the sign is to be located. Authorized roof -mounted signs shall not project outward over the face of the building. (Ord. 2192 § 5, 2001) 18.62.160 Revolving signs in commercial and manufacturing zones. Signs that revolve shall be restricted to those that rotate three hundred sixty degrees and no more than eight revolutions per minute. Revolving signs shall be permitted only in commercial and manufacturing zones. (Ord. 2192 § 5, 2001) 18.62.170 Temporary signs permitted in all zones. t 8 62 100 f restrictions en flags a.,a ba„nerd (Ora 2192 § c 2001 (The following sections A, B, and C were transferred from 18.62.090, with the noted changes.) A. Temporary signs on construction sites having the following specifications shall be permitted in all zones: 1. The maximum total area for signs at single-family residential construction projects shall be twenty square feet per street frontage. 2. The maximum area of signage at other construction projects shall be fifty square feet per street frontage. 3. For any request for square -footage exceeding the limits set forth in subsections A.1. and A.2., a Temporary Use Permit is required, the granting or denial of which shall be based solely on objective criteria such as time, location and size. 3.4. All signs must be removed prior to and as a condition of the final inspection and approval of the project. B. A maximum of two temporary real-estate signs on currently for the sale or lease of property may he installed on developed or undeveloped property in all zones, with the following requirements and specifications for the sign: Rev. 1/16/09 9 14 of 22 1. The maximum area of signage allowed in this provision per parcel per street frontage in commercial and -industrial, manufacturing, multi -family, or institutional zones shall be aoall-of fifty square feet. 2. The maximum area of signage allowed in this provision per parcel per frontage in single-family residential zones is six square feet. 3. These signs shall not be unlighted only. 4. Signs shall be removed within seven ten days following the lease or sale of the premises on which the sign is displayed. C. Temporary off -site signs are prohibited in all zones, unless otherwise provided herein and by State law. pertaining t„ and : ection with the s to r leasing „f housing business fo lowing nts: 3 n., 1, ated ith: h ndred „t, f toe f ce shall c Signs shall be not install,, for .. a than a hundred o ght., days D. Additional temporary signs erected due to an event are permitted as follows: 1. Commercial/Manufacturing/Multi-Family/Institutional Zones. a. One or more temporary signs, each of which is less than thirty-two square feet or less in area, shall also be permitted per parcel. b. Temporary signs, except flags and banners, shall not be fastened directly to the exterior wall or face of any building. Such signs may be displayed in windows or on display boards, provided the combined total area of all signs does not exceed ten percent of the area of the building face upon which the signs are mounted. (See Section 18.62.100 for restrictions on flags and banners.) c. This section shall not apply to existing billboards. d. Such signage is permitted on a temporary basis as defined hereinafter, in addition to other sign allotment per site. 2. Single-family Residential Zones. a. A maximum of six square feet of such total temporary signage is permitted per parcel, excepting corner lots, on which sixteen square feet of such total temporary signage is permitted per parcel. b. Permission of the property owner or occupant where the sign is placed shall be required. c. No temporary signs are permitted in the public right of way. E. Removal. If the signage was erected for an event, such signage shall be removed within ten days after the event. 18.62.180 Projecting signs in commercial, manufacturing and institutional zones. A projecting sign may be permitted in all commercial, manufacturing and institutional zones, subject to the following conditions: A. Projecting signs shall not project over any public right-of-way, including streets or alleys, except as provided in subsection D. Rev. 3/16/09 15 of 22 10 13. The maximum height of projecting signs shall be twelve feet, and may project above any cave or parapet of less than twelve feet in height, but may not project inward over any such cave or parapet. C. The maximum area of a projecting sign shall be thirty-two square feet. D. Projecting signs may project over street parkways and required setback areas a maximum of one-half of the street parkway or setback width, but in no case shall the projection exceed that allowed for marquee signs as set forth in Appendix A of the National City Land Use Code. For the purpose of this section, "street parkway" is defined as that part of the public street right-of-way lying between the front property line and the edge of the roadway. E. No more than one projecting sign shall be placed on each street frontage per business premises. F. A projecting sign shall be permitted only in lieu of a freestanding or marquee sign, and may not be utilized in addition to a freestanding or marquee sign. G. Projecting signs shall be supported so as to appear to be an architectural and integral part of the building. The sign shall be free of any cxtra bracing, angle iron, guy wires, or cables. (Ord. 2192 § 5, 2001) 18.62.185 Mobile Billboards. A. It is unlawful for any person to conduct, or cause to he conducted, any mobile billboard advertising upon any street, or other public place within the city in which the public has the right of travel. 13. Mobile billboard advertising includes any vehicle, or wheeled conveyance which carries conveys, pulls, or transports any sign or billboard for the primary purpose of advertising, C. This section shall not apply to: 1. Any vehicle which displays an advertisement or business identification of its owner, so long as such vehicle is engaged in the usual business or regular work of the owner, and not used merely, mainly or Primarily to display advertisements; 2. Buses; or 3. Taxicabs. 18.62.190 Signs for churches. The size and placement of signs for church uses shall be subject to Sections 18.62.110 - 18.62.180 and 18.62.200. For church uses located in the RM-1, RM-2 and RM-3 zones, the following may be displayed: One wall mounted sign not to exceed twenty square feet in arca, and one freestanding changeable copy directory sign not to exceed six feet in height and twenty square feet in area; provided, however, that the signs shall be architecturally related to the structure to which they are appurtenant. , 18.62.200 Mural -type signs in commercial zones. Mural -type signs not exceeding one hundred ten square feet in area shall be allowed in commercial zones in lieu of a fixed sign. (Ord. 2192 § 5, 2001) 18.62.210 Signs prohibited in all zones. Rev. 3/16/09 16 of 22 11 Notwithstanding Section 18.62.020(A), the following signs are strictly prohibited in all zones: A. Signs that obstruct any window, door, or opening used or required as a means of regular ingress and egress, legal light and ventilation, as a fire escape or other emergency access or escape_ B. Signs placed on public property or within the public street right-of-way. C. Signs placed on property without permission of the property owner or occupant. D. Signs on fences. E. Except as provided in Section 18.62.090(B), 18.62.090(C) or 18.62.090(F) and 18.62.170(B), signs on vacant or unimproved land. F. Any sign whose intensity of illumination, or size, shape, or location interferes with the safe operation of a vehicle or creates distraction to the operator of a motor vehicle on adjoining public streets. G. Animated and flashing signs exceeding the following limits or restrictions: 1. Flashing signs are limited to a maximum illumination equivalent to incandescent bulbs of 60 watts per bulb maximum, and shall not flash more than sixty times per minute. "Chasers" are prohibited. 2. High intensity neon lights, tubes, or "flashing" lights exceeding 60 watts are prohibited on animated or flashing signs. 3. Rotating beacon -type lighting elements on signs arc prohibited. 1. II. Temporary or permanent off -site signs, including billboards, are prohibited except where otherwise provided by State law or herein as „errnitted by Section 1. 8.62 1ter J. I. Inflatable signs and displays, unless authorized pursuant to a temporary use permit issued under Chapter 15.60. K. J. Signs mounted on motor vehicles that arc in violation of Section 7.20.150, or signs exceeding 25 square feet mounted on motor vehicles parked for more than eight hours in any 24 hour period on private property. 18.62.220 Nonconforming signs. Any sign that is made non -conforming by enactment of Ordinance 2001-2192 may continue to be maintained or displayed, subject to the provisions of Section 18.108.150 regarding the continuance and abatement of nonconforming signs. (Ord. 2192 § 5, 2001) 18.62.230 Constitutional severability. The city council declares that the judicial invalidity of any section or portion of this chapter shall not affect the validity of any other remaining section or portion; that the council would have adopted each of those remaining portions, notwithstanding any later declared invalidity. If any provision determined invalid under the preceding sentence can either he judicially severed or interpreted in a way that could harmonize it with the remaining provisions, then it may be severed or interpreted and applied so as to give full purpose, meaning and effect to the remaining provisions of this chapter. (Ord. 2192 § 5, 2001) 18.62.240 Non-commercial speech. Anywhere that commercial signage is allowed, non-commercial signage is allowed subject to the same restrictions as those set forth for commercial signage, but not in addition to such allowance. Rev. 3/16/09 17 of 22 12 DRAFT AMENDMENTS TO LOCAL COASTAL PROGRAM (IMPLEMENTATION) Amend Section XII - Signs and Outdoor Advertising, to read as follows: (Red, Underlined Text is an addition. Strike through is for deletions.) A. Purpose Section 18.62.010 of the Land Use Code states that the purpose and intent of signs and outdoor advertising regulations arc to: a. Aid in the identification of properties, land uses, and enterprises; b. Improved traffic safety by reducing -dr-adveftising visual distractions and physical obstructions; and hazards; c. Enhance the general appearance and aesthetics of the urban environment; and d. Protect the natural beauty of the City's open space. City standards for signing are referenced by visual resources policy 5 of the Land Use Plan. Public ` orks move—petitical signsr-in- the public right of wiry -The -changes ral type lve the deli ilaition--o -ff ufai--type signs and -the eed-ing-1-1-8 sq.ft. in , ;an 40 o of the sign area- te-be-used-for cepy-afea-(mural or nartfe-+defai-fieation). The iafly-at Regulations No additional changes are proposed anticipated to National City's ordinances for signs and outdoor advertising. For complete requirements related to signing, refer to Chapter 18.62 of National City's Land Usc Code. The sections of the Land Use Code which are listed below implement the Land Use Plan. Reference to Section X of the LCP Implementation document is also required. Visual resources policies 2 & 4 of the Land Use Plan provide that appropriate signing for development in the area of Paradise Marsh and adjacent recreational and tourist commercial uses be determined by a specific plan. Implementing Land Use Code sections: Rev. 3/16/09 18 of 22 1 18.62.070 (-Si fitted , all zones) -1-8 .nun fa ba nd bunting) zones) -1-84211—.,0-- ( n;te pol .meted o eestand g---signs ommereial--and manufacturing -zones) 18.62.1 ) T18 6� .170 (Sig„s f churches) �V... 18.62.180 (Changeable -copy -signs) -1-876i�85 type ial-`.ones) 18.62.010 (Purpose and intent) 18.62.020 (Unlawful display of signs or banners — Prohibited) 18.62.030 (Definitions) 18.62.040 (Site plan review required) 18.62.050 (Design) 18.62.060 (Uniform Building, Electrical, and Mechanical Code compliance required) 18.62.070 (Maintenance) 18.62.080 (Removal from abandoned site or building) 18.62.090 (Permanent signs permitted in all zones) Rev. 3/16/09 19 of 22 2 18.62.100 (Flags and banners - Regulated) 18.62.110 (Large permanent signs in commercial, manufacturing, and institutional zones) 18.62.120 (Large permanent signs in shopping centers) 18.62.130 (Small permanent signs in commercial, manufacturing, institutional, and multi -family zones. 18.62.140 (Pole -mounted or freestanding signs in commercial, manufacturing and institutional zones) 18.62.150 (Roof -mounted signs) 18.62.160 (Revolving signs in commercial and manufacturing zones) 18.62.170 (Temporary signs permitted in all zones) 18.62.180 (Projecting signs in commercial, manufacturing, and institutional zones) 18.62.185 (Mobile Billboards) 18.62.190 (Signs for churches) 18.62.200 (Mural -type signs in commercial zones) 18.62.210 (Signs prohibited in all zones) 18.62.220 (Nonconforming signs) 18.62.230 (Constitutional severability) 18.62.240 (Non-commercial speech) Rcv. 3/16/09 20 of 22 3 `v. City of National City Planning Department 1243 National City Blvd., National City, CA 91950 (619) 336-4310 ROGER G. POST - DIRECTOR NOTICE OF EXEMPTION TO: County Clerk County of San Diego P.O. Box 1750 1600 Pacific Highway, Room 260 San Diego, CA 92112 Project Title: Project Location: Contact Person: 2007-41 A, LCP City-wide Martin Reeder Telephone Number: (619) 336-4310 Description of Nature, Purpose and Beneficiaries of Project: The City of National City is amending its Land Use Code, specifically section 18.62 - Signs and Outdoor Advertising. The changes are intended to make the chapter content -neutral and to not favor commercial over non-commercial speech. Changes also include definitions related to flags, freestanding signs, and adds sections related to church signs and mobile billboards. Applicant Name and Address: City Of National City 1243 National City Blvd. National City, CA 91950 Telephone Number: 619-336-4310 Exempt Status: ❑ Statutory Exemption. (State type and Section No., if applicable) ❑ Categorical Exemption. (State type and Section No., if applicable) ❑ Not a project as defined in Section 15378 of CEQA ® Not subject to CEQA (Sec. 15061 b3) Reasons why project is exempt: There is no possibility that the proposal will have a significant environmental effect, since the amendment is limited to changes in sign requirements and allowances, and would not have a direct affect on any specific property. Any future individual project would be reviewed in accordance with CEQA. Date: 21 of 22 MARTIN REEDER, Assistant Planner City of National City Planning Department 1243 National City Blvd., National City, CA 91950 (619) 336-4310 '%•004 ROGER G. POST - DIRECTOR NOTICE OF PUBLIC HEARING AN AMENDMENT TO THE NATIONAL CITY MUNICPAL CODE CHAPTER 18.62 AND LOCAL COASTAL PROGRAM IMPLEMENTATION DOCUMENT SECTION XII PERTAINING TO SIGNS AND OUTDOOR ADVERTISING CASE FILE NO: 2007-41 A, LCP The National City Planning Commission will hold a public hearing after the hour of 6:00 p.m. Monday, April 6, 2009, in the City Council Chambers, 1243 National City Boulevard, National City, California, on the proposed Amendment to the National City Municipal Code and Local Coastal Program Implementation document. Proposed changes to the Municipal Code would be effective City-wide and changes to the Local Coastal Program Implementation document would be effective within the Coastal Zone. The amendment to the Land Use Code proposes updates to multiple sections of Chapter 18.62 - Signs and Outdoor Advertising, and includes the addition of a non-commercial speech section. The amendment to the Local Coastal Program Implementation document Section XII is needed to make the document consistent with potential changes to the Municipal Code. The proposed amendment of the Land Use Code is exempt from the California Environmental Quality Act (CEQA) pursuant to Section 15061.b.3 as it can be seen with certainty that there is no possibility that the activity may have a significant effect on the environment. Furthermore, the amendment to the Local Coastal Program Implementation document may be considered by the California Coastal Commission to be a de minimis amendment since there would be no impacts on coastal resources and the amendment is considered a minor policy amendment to the Local Coastal Program Implementation document. Members of the public are invited to submit written comments during the comment period from March 16 through April 6, 2009. The proposed amendment is available for review at the Civic Center, Planning Division and on the City's website at www.nationalcityca.gov. Any person interested in this matter may appear at the above time and place and be heard. All comments should be received by the Planning Division on or before 5:30 p.m., April 6, 2009. If you challenge the nature of the proposed action in court, you may be limited to raising only those issues you or someone else raised at the public hearing described in this notice, or in written correspondence delivered to the public hearing entity conducting the hearing at, or prior to, the public hearing. NATIONAL. CITY PLANNING DEPARTMENT ROGER G. POST Director of Planning & Building 22 of 22 Anrurlvri Parwr City of National City, California COUNCIL AGENDA STATEMENT '' MEETING DATE April 21. 2009 AGENDA ITEM NO. 18 ITEM TITLE Public Hearing — Amendment to the I larbor District Specific Area Plan of the Local Coastal Program Pertaining to Signs. (Applicant: MRW Group, 1,LC. Case File No. 2009-2 LCPA.) PREPARED BY Peggy Chap 336-4319 DEPARTMENT Planning Division EXPLANATION On March 16, 2009 the Planning Commission initiated an amendment to the Harbor District Specific Area Plan. On April 6. 2009. the Planning Commission held a public hearing on the matter an amendment and recommended approval. The attached background report describes the draft amendment in more detail. If enacted, it would facilitate signage for the new Marina Gateway Plaza hotel. commercial building, and restaurant consistent with the City's sign ordinance. Environmental Review N/A Supplemental EIR was certified in 1999. No changes in land use are proposed therefore. no further environmental review is required. Financial Statement Approved By: Finance Director N/A Account No. STAFF RECOMMENDATION Staff concurs with the recommendation of the Planning Commission. BOARD / COMMISSION RECOMMENDATION On April 5, 2009, the Planning Commission recommended approval of the amendment to the Ilarbor District Specific Area Plan, Section 5.3.4 Vote: Ayes -Flores, Reynolds, Alvarado. Pruitt, Farias. Absent: Del.aPaz. Baca ATTACHMENTS ( Listed Below) Resolution No. ] .Background Report 2. HDSAP Land Use Map (Subarea A, B I and B2) 3. HDSAP Section 5.3.4 Signs — Existing and Proposed Changes 4. Findings for Approval 5. Marina Gateway Proposed Signs A-200 (9/99) Background Report: Adopted on July 28, 1998, the Harbor District Specific Area Plan (HDSAP) provides direction for development and Paradise Marsh preservation for an area west of Interstate 5, east of Marina Way, and south of Bay Marina Drive. The IIDSAP provides for tourist commercial uses in three areas identified as Subarea A, 131 and B2 (reflected on the attached map). The Marina Gateway Plaza, a hotel, commercial. and restaurant development is currently under construction within Subarea A. '[here is no proposed development for Subarea 131 and B2. Commercial signage within the IIDSAP is more restrictive than the City's typical standards which would limit the amount of sign area and no permit freestanding signs for the commercial development. This amendment would allow signage consistent with the City's sign standards. On March 16, 2009, the Planning Commission initiated an amendment to the 1 larbor District Specific Area Plan (IIDSAP) of the Local Coastal Plan and recommended approval of the modifications on April 6, 2009. Analysis The request is to amend the HDSAP to allow signs consistent with the City's standards, Land Use Code 18.62. Currently the HDSAP sign standards allow the following signs within commercial tourist zone in the 1 larbor District: • Wall signs to fifty (50) square feet. • Prohibits pole signs/ free standing on or off premise commercial signs. The City's sign ordinance allows for wall signs for commercial as follows: • One sign per. business premise per frontage along a street, freeway or parking lot • Signs up to 30% of building face or 4 square feet of sign for each linear toot of building face along that frontage, whichever is greater • Sign up to 15% of building face or 2-sqare feet per linear foot for secondary frontage whichever is greater. • One pole signs or freestanding sign per street frontage not to exceed 4 square feet per lineal foot of property frontage and 2-square feet per lineal foot of secondary frontage. The proposed changes to Section 5.3.4 Signs of the IIDSAP would allow signs consistent with the City's sign ordinance except the pole signs would still he prohibited due to concerns related to raptor perching but monument signs would be permitted. Monument signs have been installed for other commercial businesses located throughout the coastal zone west of Interstate 5 including Pier 32, Pepper Park, Dixiline. Tideland Marine Industrial Park and MSI. Additionally, the applicant has requested to include the opportunity for installation of a flag pole on site consistent with the revisions to the Sign Ordinance. Conceptual signs proposed by the MRW Group are attached for reference. Specific review of the proposed signs in accordance with the City's sign ordinance would he conducted at the time the applicant submits for building permits. Local Coastal Plan The proposed changes to the HDSAP are considered a "clean-up amendment" and since the amendment would have no impacts on coastal resources, it would constitute a minor procedural change to the Local Coastal Program or "di minimis" with respect to Coastal Act policies. A "di minimis' amendment requires determination by the Executive Director of the Commission rather than a public hearing before the Coastal Commission upon final approval by the City Council. 1 of 5 Harbor District Specific Area Plan Boundaries Subareas A, B-1 and B-2 ,ftro''' Additions are underlined Deletions are reflected by strikeout PROPOSED AMENDMENT TO 5.3.4 SIGNS HARBOR DISTRICT SPECIFIC AREA PLAN OF THE LOCAL COASTAL PROGRAM Amend the following sections of the harbor District Specific Plan, Section 5.3.4 Signs (pp 5-14 -- 5-15) to read as follows. The attached Code sections are written in a strikethrough/underline format, with all newly proposed text underlined. 5.3.4 Signs Signs in the Planning /Area shall he regulated as follows: (a) Public access and directional signs shall be at a minimum be located at or near all street intersections, where public accessways cross each other or with streets, at and near the 24th Street Trolley Station, and along 1-5 north and south of the 24th street off -ramps. Signs shall be consistent with the format and appearance of the Joint Coastal Commission --State Coastal Conservancy Public Access Guidelines. (b) Building -mounted signs shall be allowed in Subareas A and B, provided that they : (1) Serve each Subarea respective on -premise commercial or marina -related industrial uses only: (2) Are consistent with the sizes permitted in Section 18.62.1 10 of the City of National City Land Use Code. 3o not exceed fr+y «` square-feet-in-sizei (3) Do not illuminate an y part of Paradise Marsh, adjacent delineated wetlands, habitat buffers, or environmentally sensitive areas; (4) Are located at least one (l) foot below the Marsh View Plane. (c) Poles signs Free-standing on-orl off o al , and roof - mounted signs, are prohibited throughout the Planning Area. (d) Off -site commercial advertising signs are prohibited throughout the Planning Area. (e) No provision of this Section shall be deemed to supersede applicable and more stringent provision of the National City Land Use Code regarding signs. (f) Environmental, Cultural, and historical interpretive signs may be placed in parks, plazas, along public accessways, and bicycleways, and along the landward side of habitat buffers in consultation with, and pursuant to agreement of, the USFWS, provided they are compatible with the Marsh View lane and all applicable provisions of Chapter 3. Environmental interpretive signs should identify and explain the native plans and animals within the National Wildlife Refuge, adjacent delineated wetlands, wetland habitat buffers, Paradise Creek, and other nearby environmentally sensitive areas. (g) Up to three (3) official tlags as defined in the Land Use Code may be displayed provided the flagpoles do not exceed thirty (30) feet in height and are not located within the Marsh View Plane and are provided with nixilitc where appropriate to discourage perching of raptors. (h) All other signage shall be consistent with Land Use Code Chapter 18.62. 3 of 5 RECOMMENDED FINDINGS FOR APPROVAL That the proposed amendment to Section 5.3.4 Signs of the Harbor District Specific Area Plan of the Local Coastal Program, would allow for signs consistent with other commercial tourist development and would further facilitate and promote commercial tourism within the Coastal Zone of National City, and 2. That the proposed amendment to Section 5.3.4 Signs of the Harbor District Specific Area Plan of the Local Coastal Program is consistent with the intent of the Coastal Zone since it continues to prohibit pole signs that would he visible from the freeway and continues to limit obstructions to the marsh view corridor. 3. That the proposed amendment would be considered a "di-minimis amendment to the Harbor District Specific Area Plan since it is a minor procedural change to the Local Coastal Program and would not impact local coastal resources. 4 of 5 Proposed Signs Marina Gateway Qul Li rf oao 1'1' 5 of 5 City of National City, California COUNCIL AGENDA STATEMENT '`MEETING DATE April 21, 2009 AGENDA ITEM NO. 19 ITEM TITLE Public Hearing — Fiscal Year 2008-2009 Annual Action Plan Amendment No. 2: Funding Cycle for the CDBG-R Program — Public Hearing No. 2 PREPARED BY EXPLANATION Carlos Aguirra (Ext. 4391) DEPARTMENT Community Development Dep. Housing and Grants Division The purpose of public hearing No. 2 is for the City Council to review public comments received during the 30-Day Annual Action Plan public review period; and to provide interested persons and community groups with one last opportunity to share their thoughts regarding the proposed FY 2008- 2009 CDBG-R funding recommendations as part of the FY 2008-2009 Annual Action Plan Amendment No. 2. The CDBG-R program was a special allocation funded by the American Recovery and Reinvestment Act of 2009. For the CDBG-R funding cycle, the City completed an extensive public participation process to review and approve various activities eligible for funding. The funding recommendations formulated during public hearing No. 1 were made available for a 30-Day public review and comment period, starting on March 21, 2009. No public comment was received to date of this report. Following the public hearing, and after any additional public comments have been considered, the City Council will take final action on the FY 2008-2009 Annual Action Plan Amendment No. 2. Environmental Review I N/A Financial Statement Approved By: Ltrv, • GY Finance Director The amount of funding available for FY 2008-2009 for CDBG-R is $296,780. Account No. 3oi- oOoo-31018 STAFF RECOMMENDATION Conduct public hearing. BOARD / COMMISSION RECOMMENDATION Not applicable to this report. ATTACHMENTS ( Listed Below ) Resolution No. Attachment 1: Public Notice - Summary of the FY 2008-2009 CDBG-R Funding Recommendations A-200 (9/99) Attachment #t1 4- CALIFORNIA --<- 1.3 XNCORYOAATBD ---' PUBLIC NOTICE CITY OF NATIONAL CITY FY2008-2009 ANNUAL ACTION PLAN (AAP) AMENDMENT NO. 2 SUPPLEMENTAL CDBG PROGRAM FUNDING NOTICE OF PUBLIC HEARING The amount of supplemental Community Development Block Grant (CDBG) funding available for FY2008-09 through the American Recovery and Reinvestment Act of 2009 to the City of National City (NC) is $296,780. A competitive grant application process was conducted and the following activities have been recommended for funding by the NC Council and the Housing and Community Development Committee (HCDC). These proposed activities will meet one of the following CDBG program national objectives: 24 CFR 570.208(a): Assist low- and moderate -income residents (L/M) 24 CFR 570.208(b): Aid in the prevention or elimination of slum and blight (S/B) Physical Improvement Activities and Administration - $296,780 NC Community Services - Resurfacing of Basketball Courts - $20,000 San Ysidro Health Center - National City Family Clinic Ramp - ADA Compliance - $47,613 NC Engineering Dept. - Upgrade Pedestrian Ramps - $150,000 NC Engineering Dept. - Safety and Accessibility Enhancements - $75,000 NC Comm. Dev. Dept. - CDBG Program Administration - $4,167 FINAL PUBLIC HEARING (PH) No.2 FOR THE FY 2008-09 AAP Amendment No. 2- April 21st, 2009, 6:00 PM The purpose of PH#2 is to review public comments received during the 30-Day public review period; and to provide interested persons and community groups with one last opportunity to share their thoughts regarding proposed CDBG funding. Residents who would like to make comments on the proposed amendment may contact the National City Housing and Grants Division at 1243 National City Blvd., National City, CA 91950, phone (619) 336-4391, fax (619) 336-4349. Hearing impaired persons, please use the CA Relay Service Number (711). The PH will be held at the NC Council Chamber, during the regularly scheduled City Council meeting. Immediately following the public hearing, and after all public comments have been considered, the City Council will take final action on the proposed AAP Amendment. City facilities are wheelchair accessible. Please contact the City Clerk's Office at (619) 336-4228 to request a disability -related modification or accommodation. Notification 24-hours prior to the meeting will enable the City to make reasonable arrangements to ensure accessibility to this meeting. Hearing impaired persons, please use the CA Relay Service Number (711). Asistencia En Espanol: para que le interpreten la solicitud en espanol, Ilame al (619) 336-4563. Chris Zapata, City Manager City of National City Publish: The Union Tribune March 21, 2009 City of National City, California COUNCIL AGENDA STATEMENT ``IflEETING DATE April 21, 2009 AGENDA ITEM NO. 20 (ITEM TITLE PUBLIC HEARING — FISCAL YEAR 2009-2010 FUNDING CYCLE FOR THE CDBG AND HOME PROGRAMS — PUBLIC HEARING NO. 4 PREPARED BY EXPLANATION Carlos Aguirre QK (Ext. 4391) DEPARTMENT Community Development Dep. Housing and Grants The City has developed a draft Annual Action Plan (AAP) that describes the proposed activities to be funded with FY 2009-10 Community Development Block Grant (CDBG) and Home Investment Partnership Act (HOME) Program funds. The purpose of the final Public Hearing No. 4 is for the City Council and the Housing and Community Development Committee (HCDC) to review public comments received during the AAP 30-Day public review/comment period; which ran from April 21, 2009 through April 20th, 2009. In addition, interested persons and community groups will be provide with one last opportunity to share their thoughts and comments regarding the City's draft AAP. All comments received will be incorporated into the final plan that will be submitted to HUD, no later than May 15, 2009. Following the public hearing, and after all public comments have been considered, the City Council will take final action on the AAP. Environmental Review NI N/A Financial Statement Approved By: te✓ Finance irecto The estimated amount of funding available for FY 2009-2010 for each program is as follows: Community Development Block Grant - $1,107,495 Account No. Home Investment Partnership Program - $645,850 STAFF RECOMMENDATION Conduct public hearing. BOARD / COMMISSION RECOMMENDATION Not applicable to this report. ATTACHMENTS ( Listed Below) Resolution No. 7 Attachment 1: Public Notice for Final Public Hearing A-200 (9/99) Attachment # 1 PUBLIC NOTICE CITY OF NATIONAL CITY FY 2009-2010 CDBG & HOME PROGRAMS DRAFT ANNUAL ACTION PLAN AND NOTICE OF PUBLIC HEARING DRAFT ANNUAL ACTION PLAN (AAP) The City of National City (NC) has developed a draft AAP that describes the proposed activities to be funded with FY 2009-10 CDBG and HOME entitlement funding. The AAP is part of the Five -Year Consolidated Plan covering the five years ending with fiscal year 2009-10. COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG) PROGRAM National City's CDBG entitlement for FY 2009-10 will be approximately $1,107,495. A competitive grant application process was conducted and the following activities have been recommended for funding by the City Council and the Housing and Community Development Committee (HCDC). These proposed activities will meet one of the following CDBG program national objectives: 24 CFR 570.208(a): Assist low- and moderate -income residents (L/M) 24 CFR 570.208(b): Aid in the prevention or elimination of slum and blight (S/B) Public Service Activities - $166,124 NC Public Library - Literacy Services - $47,250 NC Comm. Services Dept. - At Risk Youth After -school Teen Program "Supreme Teens" - $20,000 NC Comm. Services Dept. - Tiny Tots - $29,337 NC Police Dept. - Homeless Outreach Program and Enforcement - $41,537 PASACAT- The Philippines through Music and Dance- $10,000 South Bay Community Services - NC Police Department Juvenile Diversion Program - $10,000 Trauma Intervention Programs of San Diego County, Inc. - Crisis Intervention Team - $8,000 Prior Yr Commitments for Physical Improvement Activities - $84,906 NC Fire Dept/Lease Payment - Fire Truck #2: 5th Payment of a 5 year lease - $84,906 Physical Improvement Activities - $634,966 Christmas in July*NC -HOME Repair Program - $110,000 NC Community Development - Granger Hall Preservation Planning - $25,000 NC Living History Farm Preserve - Stein Farm Community Use Planning - $40,000 COPAO- Building Renovation - $15,000 NC Engineering Dept. - Soccer Field - $79,466 NC Engineering Dept. - Misc. Concrete Improvements - $100,000 NC Engineering Dept. - Misc. Storm Drain Improvements - $125,500 NC Engineering Dept. - ADA Master Plan - $140,000 CDBG Administration - $221,499 NC Comm. Services Dept. - Neighborhood Council Program - $105,000 Fair Housing Council of SD - Fair Housing & Tenant -Landlord Education Services - $38,000 NC Comm. Dev. Dept. - CDBG Program Administration - $78,499 Attachment 141 HOME INVESTMENT PARTNERSHIPS ACT (HOME) PROGRAM National City's HOME allocation for FY 2009-10 will be approximately $645,850. The following activities have been recommended for funding by the City Council and the Housing and the HCDC. Affordable Housing Activities - $581,265 NC Comm. Dev. Dept. - First Time Homebuyer Program - $360,000 NC Comm. Dev. Dept. - Housing Rehab Program - $124,387 Comm. Housing Dev. Organization Set -Aside - $96,878 Home Administration - $64,585 NC Comm. Dev. Dept. - HOME Program Administration - $64,585 AVAILABILITY OF THE DRAFT ANNUAL ACTION PLAN This is your opportunity to comment on the information contained in the draft AAP, which will be available for public review and comment from March 19th to April 21st at the City Hall Clerk's Office, Section 8 Housing Authority, Kimball Senior Center, and at the National City Public Library. All comments will be incorporated into the final plan that will be submitted to HUD, no later than May 15, 2009. Residents who would like more information and/or a copy of the draft AAP, or who would like to make comments regarding the plan may contact the NC Housing and Grants Division at 1243 National City Blvd, National City, CA 91950, phone (619) 336-4391, fax (619) 336-4349. Hearing impaired persons, please use the CA Relay Service Number (711). FINAL PUBLIC HEARING (PH) #4 FOR THE AAP - April 21st, 2009, 6:00 PM The purpose of PH#4 is to review public comments received during the 30-Day public review period; and to provide interested persons and community groups with one last opportunity to share their thoughts regarding proposed CDBG and HOME funding. The PH will be held at the NC Council Chamber, during the regularly scheduled City Council meeting. Immediately following the public hearing, and after all public comments have been considered, the City Council will take final action on the AAP. City facilities are wheelchair accessible. Please contact the City Clerk's Office at (619) 336-4228 to request a disability -related modification or accommodation. Notification 24-hours prior to the meeting will enable the City to make reasonable arrangements to ensure accessibility to this meeting. Hearing impaired persons, please use the CA Relay Service Number (711). Asistencia En Espanol: para que le interpreten la solicitud en espanol, Ilame al (619) 336-4563. Chris Zapata, City Manager City of National City Publish: The Union Tribune March 21, 2009 City of National City, California COUNCIL AGENDA STATEMENT 14.101EETING DATE April 21, 2009 AGENDA ITEM NO. 21 (-- ITEM TITLE Resolution of the City of National City approving the Fiscal Year (FY) 2008-2009 Annual Action Plan Amendment No. 2 for the Community Development Block Grant Program funded by the American Recovery and Reinvestment Act of 2009 (CDBG-R) PREPARED BY Carlos Aguirre (Ext. 4391) DEPARTMENT Community Development Dep. Housing and Grants Division EXPLANATION Upon the conclusion of Public Hearing No.2 the City Council will consider the adoption of the attached resolution approving the FY 2008-2009 Annual Action Plan Amendment No. 2 The Annual Action Plan (AAP) Amendment addresses the housing and community development needs assessed in the City's 5-Year Consolidated Plan for FY's 2005-06 through 2009-10, adopted by the City Council in May 2005. The AAP Amendment includes a listing of projects/activities to be undertaken in FY 2008-2009 utilizing CDBG and HOME program income available. Environmental Review NI N/A Financial Statement Approved By: The amount of funding available for FY 2008-2009 for CDBG-R is $296,780- F n nde Direce tdt Account No. STAFF RECOMMENDATION Adopt attached resolution. BOARD / COMMISSION RECOMMENDATION Not applicable to this report. ATTACHMENTS ( Listed Below) Resolution No. 11 Attachment 1: CDBG-R Program Funding Recommendation List A-200 (9/99) RESOLUTION 2009 — RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NATIONAL CITY AUTHORIZING THE SUBMITTAL OF THE 2008/2009 ANNUAL ACTION PLAN AMENDMENT NO. 2 FOR THE COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG-R) FUNDED BY THE AMERICAN RECOVERY AND REINVESTMENT ACT OF 2009 TO THE U.S. DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT (HUD) WHEREAS, as an entitlement community, the City of National City administers the Community Development Block Grant (CDBG) and the Home Investment Partnership Act (HOME) Program for the Federal Government under the United States Department of Housing and Urban Development (HUD); and WHEREAS, HUD requires that all CDBG and HOME Program entitlement communities, such as the City of National City, hold public hearings to solicit input on a Substantial Annual Action Plan Amendment; and WHEREAS, the City Council of the City of National City conducted a duly advertised public hearing on March 17, 2009 and April 21, 2009; and WHEREAS, the Annual Action Plan Amendment addresses the housing and community development needs assessed in the City's 5-Year Consolidated Plan for FY's 2005- 06 through 2009-10, adopted by the City Council in May, 2005. The Annual Action Plan Amendment No. 2, attached hereto as Exhibit "A", includes a listing of projects/activities to be undertaken in FY 2008-2009 utilizing CDBG-R funds through the American Recovery and Reinvestment Act of 2009. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of National City hereby authorizes the submittal of the FY 2008-2009 Annual Action Plan Amendment No. 2 for the CDBG-R funds to the U.S. Department of Housing and Urban Development (HUD). PASSED and ADOPTED this 21st day of April, 2009. Ron Morrison, Mayor ATTEST: APPROVED AS TO FORM: Michael R. Dalla, City Clerk George H. Eiser, III City Attorney Exhibit A FY 2008-2009 ANNUAL ACTION PLAN AMENDMENT NO. 2 COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG-R) PROGRAM AMERICAN REINVESTMENT AND RECOVERY ACT OF 2009 FUNDING RECOMMENDATIONS TAB # AGENCY NAME ACTIVITY NAME NUMBER TO BENEFIT FROM THE ACTIVITY CDBG FUNDING REQUEST Public Facility Improvement Activities 24 City of National City- Community Services Department Indoor & Outdoor Basketball Court Resurfacing 1 Public Facility Improvement (14,474 Households) $20,000 27 San Ysidro Family Health Center National City Family Clinic Ramp- ADA Compliance 1 Public Facility Improvement (7000 Individuals) $47,613 Public Infrastructure Improvement Activities 28 City of National City - Engineering Department Upgrade Substandard Pedestrian Ramps Public Infrastructure Improvements $150,000 31 City of National City - Engineering Department Safety and Accessibility Enhancements at Pedestrian Crossings Public Infrastructure Improvements $75,000 TOTAL FOR NEW PHYSICAL IMPROVEMENT $292,613 CDBG PROGRAM ADMINISTRATION n/a City of National City - Community Development Department CDBG Program Administration TOTAL FOR PROGRAM ADMINISTRATION n/a $4,167 $4,167 TOTAL OF FISCAL YEAR 2008-2009 CDBG-R FUNDING $296,780 Attachment # 1 FY 2008-2009 ANNUAL ACTION PLAN AMENDMENT NO. 2 COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG-R) PROGRAM AMERICAN REINVESTMENT AND RECOVERY ACT OF 2009 FUNDING RECOMMENDATIONS TAB # AGENCY NAME ACTIVITY NAME NUMBER TO BENEFIT FROM THE ACTIVITY CDBG FUNDING REQUEST Public Facility Improvement Activities 24 City of National City- Community Services Department Indoor & Outdoor Basketball Court Resurfacing 1 Public Facility Improvement (14,474 Households) $20,000 27 San Ysidro Family Health Center National City Family Clinic _Ramp- ADA Com_pliance 1 Public Facility Improvement (7000 Individuals) $47,613 Public Infrastructure Improvement Activities 28 City of National City - Engineering Department Upgrade Substandard Pedestrian Ramps Public Infrastructure Improvements $150,000 31 City of National City - Engineering Department Safety and Accessibility Enhancements at Pedestrian Crossings Public Infrastructure Improvements $75,000 TOTAL FOR NEW PHYSICAL IMPROVEMENT $292,613 CDBG PROGRAM ADMINISTRATION n/a City of National City - Community Development Department CDBG Program Administration n/a $4,167 TOTAL FOR PROGRAM ADMINSTRATION $4,167 TOTAL OF FISCAL YEAR 2008-2009 CDBG-R FUNDING $296,780 City of National City, California COUNCIL AGENDA STATEMENT `..MEETING DATE April 21, 2009 AGENDA ITEM NO. 22 ITEM TITLE RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NATIONAL CITY APPROVING THE FISCAL YEAR (FY) 2009-2010 ANNUAL ACTION PLAN FOR THE COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG) AND HOME INVESTMENT PARTNERSHIP ACT (HOME) PROGRAMS PREPARED BY Carlos Aguirre (Ext. 4391) DEPARTMENT Community Development Dep. Housing and Grants Division EXPLANATION Upon the conclusion of Public Hearing No.4, the City Council will consider the adoption of the attached resolution approving the FY 2009-2010 Annual Action Plan. The Annual Action Plan (MP) addresses the housing and community development needs assessed in the City's 5-Year Consolidated Plan for FY's 2005-06 through 2009-10, adopted by the City Council in May 2005. The AAP includes a listing of all proposed projects/activities to be undertaken in FY 2008- 2009 (July 1, 2008 - June 30, 2009) utilizing CDBG and HOME program funding. Environmental Review Ni N/A Financial Statement Approved By. Finance Direct r The estimated amount of funding available for FY 2009-2010 for each program is as follows: Community Development Block Grant - $1,107,495 Account No. 301-0000-i' qg Home Investment Partnership Program - $645,850 SoS- oo ea - 3'(%1is STAFF RECOMMENDATION Adopt attached resolution. BOARD / COMMISSION RECOMMENDATION Not applicable to this report. ATTACHMENTS ( Listed Below) Resolution No. Attachment 1: Summary of FY 2009-2010 CDBG and HOME Program Funding Recommendations A-200 (9/99) RESOLUTION 2009 — RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NATIONAL CITY AUTHORIZING THE SUBMITTAL OF THE 2009/2010 ANNUAL ACTION PLAN FOR THE COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG) AND HOME INVESTMENT PARTNERSHIP (HOME)PROGRAMS TO THE U.S. DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT (HUD) WHEREAS, as an entitlement community, the City of National City administers the Community Development Block Grant (CDBG) and the Home Investment Partnership Act (HOME) Program for the Federal Government under the United States Department of Housing and Urban Development (HUD); and WHEREAS, HUD requires that all CDBG and HOME Program entitlement communities, such as the City of National City, hold Public Hearings to solicit input on a the Annual Action Plan; and WHEREAS, the City Council of the City of National City conducted a duly advertised public hearing on January 20, 2009; March 3, 2009; March 17, 2009; and April 21, 2009; and WHEREAS, the Annual Action Plan addresses the housing and community development needs assessed in the City's 5-Year Consolidated Plan for FY's 2005-06 through 2009-10, adopted by the City Council in May 2005. The Annual Action Plan, attached hereto as Exhibit "A," includes a listing of projects/activities to be undertaken in Fiscal Year 2009-2010 utilizing CDBG and HOME funds. NOW, THEREFORE, BE IT RESOLVED, that the City Council of the City of National City hereby approves and authorizes the submission of the FY 2008-2009 Annual Action Plan for the expenditure of said funds to the U.S. Department of Housing and Urban Development (HUD). PASSED and ADOPTED this 21st day of April, 2009. Ron Morrison, Chairman ATTEST: Brad Raulston, Secretary APPROVED AS TO FORM: George H. Eiser, III City Attorney FISCAL YEAR 2009-2010 COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG) PROGRAM (Page 1 of 2) FY 2009- 2010 CDBG ESTIMATED PROGRAM ENTITLEMENT $1,107,495 AGENCY NAME ACTIVITY NAME NUMBER TO BENEFIT FROM THE ACTIVITY CDBG FUNDING REQUEST PUBLIC SERVICE ACTIVITIES 1 City of National City - Public Library National City Public Library Literacy Services 220 Individuals $47,250 2 City of National City - Community Services Department At Risk Youth After -school Program "Supreme Teens" 100 Individuals $20,000 3 City of National City - Community Services Department Tiny Tots 30 Individuals $29,337 4 City of National City - Police Department Homeless Outreach Program and Enforcement 250 Individuals $41,537 5 PASACAT The Philippines Through Music and Dance 2,755 Individuals $10,000 6 South Bay Community Services National City Police Department Juvenile Diversion Program 55 Individuals $10,000 7 Trauma Intervention Programs of San Diego County, Inc. Crisis Intervention Team 799 Households $8,000 TOTAL FOR PUBLIC SERVICE ACTIVITIES 166,124 PRIOR YEAR COMMITMENTS TO PHYSICAL IMPROVEMENT ACTIVITIES Public Facility Improvement Activities 8 City of National City - Fire Department Fire Apparatus Lease Payment 5 of 5 1 Fire Apparatus / Equipment $84,906 TOTAL PRIOR YEAR COMMITMENTS $84,906 PHYSICAL IMPROVEMENT ACTIVITIES Rehabilitation and Repair Activities 9 Christmas in July * National City Home Repair Program 10 Households $110,000 10 City of National City- Community Development Department Granger Hall Preservation and Heritage Tourism Planning 1 Historic Restoration (14,474 Households) $25,000 11 National City Living History Farm Preserve Stein Farm Community Use Planning 1 Community Facility $40,000 Public Facility Improvement Activities 12 Council of Philippine American Organizations of San Diego County, Inc. COPAO Building Renovation Project 1 Public Facility Improvement $15,000 13 City of National City - Engineering Department Soccer Field Public Infrastructure Improvements $79,466 EXHIBIT "A" Page I of 3 FISCAL YEAR 2009-2010 COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG) PROGRAM (Page 2 of 2) TAB # AGENCY NAME ACTIVITY NAME NUMBER TO BENEFIT FROM THE ACTIVITY CDBG FUNDING REQUEST Public Infrastructure Improvement Activities 14 City of National City - Engineering Department Miscellaneous Concrete Improvements Public Infrastructure Improvements $100,000 $125,500 15 City of National City - Engineering Department Miscellaneous Storm Drain Improvements Public Infrastructure Improvements 16 City of National City - Engineering Department ADA Master Plan Public Infrastructure Improvements $140,000 TOTAL NEW PHYSICAL IMPROVEMENT ACTIVITIES $634,966 CDBG PROGRAM ADMINISTRATION 17 City of National City - Community Services Department Neighborhood Council Program n/a $105,000 18 The Fair Housing Council of San Diego Fair Housing and Tenant -Landlord Education Services n/a $38,000 19 City of National City - Community Development Department CDBG Program Administration n/a $78,499 TOTAL FOR PROGRAM ADMINISTRATION $221,499 EXHIBIT "A" Page 2 of 3 FISCAL YEAR 2009-2010 HOME INVESTMENT PARTNERSHIPS ACT (HOME) PROGRAM (Page 1 of 1) FY 2009- 2010 HOME PROGRAM ESTIMATED ENTITLEMENT $645,850 AGENCY NAME ACTIVITY NAME NUMBER TO BENEFIT FROM THE ACTIVITY HOME FUNDING REQUEST AFFORDABLE HOUSING ACTIVITIES 1 City of National City - Community Development Department First Time Homebuyer Program 10 Households $360,000 2 City of National City - Community Development Department Rehabilitation Program 8 Households $124,387 3 City of National City - Community Development Department Community Housing Development Organization Set - Aside n/a $96,878 4 City of National City - Community Development Department HOME Program Administration n/a $64,585 TOTAL HOME ACTIVITIES AND ADMINISTRATION $645,850 EXIIIBIT "A" Page 3 of 3 City of National City, California CITY COUNCIL AGENDA STATEMENT 'EETING DATE April 21, 2009 AGENDA ITEM NO. 23 (ITEM TITLE CONSIDERATION OF APPROVAI, BY THE CITY COUNCIL OF THE CITY OF NATIONAL CITY OF THE SAN DIEGO REGIONAL ENTERPRISE ZONE BOUNDARY MODIFICATIONS IN TIIE CITY OF SAN DIEGO PREPARED BY Alfredo Ybarra (Ext. 42 DEPARTMEN Community Development, I lousing and Gra EXPLANATION In 1992 the City of San Diego received approval for the South Bay Enterprise Zone. In 2000 and again in 2004, the South Bay Enterprise Zone was expanded to include properties along the Bayfront redevelopment areas of the cities of Chula Vista and National City. The South Bay Enterprise Zone expired on January 27, 2007. In 2006, Council approved a resolution supporting and authorizing the submittal of a joint application to the State of California Housing and Community Development Department for a new regional Enterprise Zone designation, with the cities of San Diego and Chula Vista. This partnership was "Conditionally Approved" in October of 2006. As part of the approval for the final new regional Enterprise Zone designation, the City of San Diego is proposing to submit a boundary modification to State HCD for approval. The area of the boundary modification is within the City of San Diego's city limits. These areas were not part of the environmental impact report, nor part of the original application. A map showing the modified boundaries (Attachment 1) is attached. The proposed expansion will include downtown San Diego (1,303.9 acres); Mid City Area (273.34 acres) and City Heights (148.45 acres). The new boundary modification does not affect National City's SDREZ acreage. Government Code section 7074(a) provides that a city may propose that the "enterprise zone be expanded by 15 percent to include definitive boundaries that are contiguous to the enterprise zone." HCD may approve an expansion based on the following criteria: 1) each of the adjacent jurisdictions approves the expansion by resolution or ordinance; 2) land included within the proposed expansion is zoned for industrial or commercial use; and, 3) basic infrastructure is available to the expansion area. / Environmental Review The Environmental Impact Report does not address nor include the proposed new areas within the City of San Diego as part of its analysis. No environmental analysis has been provided regarding these additional areas. Financial Statement Approved By: Finance Director Account No. STAFF RECOMMENDATION None. Options: 1) Approve; 2) File; 3) Continue; or, 4) Deny. BOARD / COMMISSION RECOMMENDATION Not applicable ATTACHMENTS ( Listed Below) Resolution No. Proposed Boundary Modification Map 1 A-200 (9/99) ztAN DIEGO1 SDREZ Application Area 1303.9 Acres Application Area Boundary 00 City Heights-148.45 Acres 1111 Downtown-1303.9 Acres Gov or CITY OF SAN DIEGO • CITY PLANNING & COMMUNITY INVESTMENT -•.. MOS 1:4±4 4-12 TT' City of National City, California COUNCIL AGENDA STATEMENT MEETING DATE April 21, 2009 `rr AGENDA ITEM NO. 24 (ITEM TITLE TEMPORARY USE PERMIT — San Diego Tijuana Border Initiative's Cinco de Mayo con Orgullo Para la Familia, May 2, 2009 from 11:00 a.m. to 5:00 p.m. at Kimball Park. This event is a National City Co -Sponsored event (Council Policy #804) and is eligible for a maximum fee reduction of $1,500.00. PREPARED BY DEPARTMENT EXPLANATION Vianey Rolon, 336-4364 Neighborhood Services Division This is a request from the San Diego Tijuana Border Initiative to conduct the Cinco de Mayo con Orgullo Para la Familia event at Kimball Park on May 2, 2008 from 11:00 a.m. to 5:00 p.m. The event will include food, entertainment, children's activities, and information booths (approx. 25), including health screenings. Significant media coverage is anticipated. The Mile of Cars dealerships will provide approximately 10 vehicles for display and 10 Low riders will also be on display. The applicant is requesting the use of the City's stage and PA system. City Council Policy requires Council approval for the use of the stage. The Latino Police Association & Nosotros will be present at the event to aid in security. The sponsor requests the use of the City's PA system. This event is a National City Co -Sponsored event (Council Policy #804) and is eligible for a maximum fee reduction of $1,500.00. Environmental Review X NIA Financial Statement Approved By: The City has incurred $237.00 for processing the TUP through various City departments, Finance Director plus $600.00 for the Fire permits, $686.98 for Police (estimated), and $1,490.12 for Public Works. The City co-sponsor credit is ($1,500.00). Total fees are $3014.10. Account No. STAFF RECOMMENDATION Approve the Application for a Temporary Use Permit subject to compliance with all conditions of approval. BOARD / COMMISSION RECOMMENDATION N/A ATTACHMENTS ( Listed Below) Resolution No. Application for a Temporary Use Permit with recommended approvals and conditions of approval. A-200 (9/99) CITY OF NATIONAL CITY NEIGHBORHOOD SERVICES DIVISION APPLICATION FOR A TEMPORARY USE PERMIT RECOMMENDED APPROVALS AND CONDITIONS OF APPROVAL SPONSORING ORGANIZATION: San Diego -Tijuana Border Initiative EVENT: Cinco de Mayo con Orgullo Para la Familia DATE OF EVENT: May 2, 2009 TIME OF EVENT: 11:00 a.m to 5:00 p.m. APPROVALS: PLANNING FIRE PUBLIC WORKS/PARKS FINANCE COMMUNITY SERVICE POLICE ENGINEERING CITY ATTORNEY RISK MANAGER NEIGHBORHOOD SERVICES YES [x] NO [ ] YES [x] NO [ ] YES [ x ] NO [ ] YES [x] NO [ ] YES [x] NO [ ] YES [x] NO [ ] YES [x] NO [ ] YES [ x ] NO [ ] YES [ x ] NO [ ] YES [ x ] NO [ ] SEE CONDITIONS SEE CONDITIONS SEE CONDITIONS SEE CONDITIONS SEE CONDITIONS SEE CONDITIONS SEE CONDITIONS SEE CONDITIONS SEE CONDITIONS SEE CONDITIONS CONDITIONS OF APPROVAL: CITY ATTORNEY Requires an indemnification and hold harmless agreement, and a policy of general liability insurance, with the City and Parking Authority and its officials, employees, agents and volunteers as additional insureds, with amounts of coverage to be determined by the Risk Manager. POLICE 336-4400 The PD is recommending that two officers be assigned to work this event on an overtime basis. The two overtime officers will be supported by on duty patrol officers who will provide extra patrol during the event. A request will also be sent out to our contingent of Reserve officers. The event is scheduled from 1100 — 1700 hours (i.e. a total 6 hours). An additional 'h hour prior to the event and after the event would also be required per officer. The current cost per hour for one officer is $49.07. "I'wo officers for a total of (7) hours totals = $686.98. Please advise me on Council's response so we can make the appropriate arrangements. PUBLIC WORKS 336-4580 We have reviewed the application for subject Temporary Use Permit (TUP) and recommends approval subject to the conditions listed below. Parks Division 1. The cost to provide park maintenance personnel for this event is estimated to be $372.60. The cost for stage set up on $372.60 and break down is $372.60 for a total of $1,117.60 for this event. 2. Organization will provide 3 portable toilets 1 dumpster and trash boxes for this event. Streets Division 1. Staff will deliver barricades to street corners or to applicant prior to the event. The applicant shall install these barricades and remove them to a safe location at the conclusion of the event. Staff will pick them up on the following workday. 2. Staff will post no parking signs along affected streets before the event. 3. The cost to provide Street personnel support for this event is estimated to be $113.96. This amount should be paid to the City, unless waived by the City Council. 2 man hours X $35.70 = $71.40 2 truck hours X $38.06 = $38.06 10 "No Parking" signs X $0.45 = $4.50 "TOTAL: $ 113.96 Facilities Division 1. The cost to provide an Overtime Electrician is 8 hrs @ $32.32 per hr = $258.56. Thank you for the opportunity to comment on this TUP. We would appreciate receiving a copy of the final approval / denial report after it is submitted to the City Council for their consideration. Please let me know If you need any other information. FINANCE 336-4330 SD Tijuana Border Initiative must renew their business license and provide a list of all Booth vendors. All booth vendors must apply for NC business license. If the vendors are non-profit and provide proof of non-profit status they will only pay the BL application administrative fee of $21.50 FIRE (619) 336-4550 Stipulations required by the Fire Department for this event are as follows: 1) Access to the street to be maintained at all times, to both entrances and Fire Department connections for fire sprinkler systems, standpipes, etc. 2) Fire Department access into and through the park areas are to be maintained at all times. Fire apparatus access roads shall have an unobstructed width of not less than 20 feet and an unobstructed vertical clearance of not less than 13 feet 6 inches 3) Fire Hydrants shall not be blocked or obstructed. 4) Participants on foot are to move immediately to the sidewalk upon approach of emergency vehicle(s). 5) Vehicles in roadway are to move immediately to the right upon approach of emergency vehicle(s). 6) Provide a 2A:10BC fire extinguisher at stage. Extinguisher to be mounted in a visible location between 3 %' to 5' from the floor to the top of the extinguisher. Maximum travel distance from an extinguisher shall not be more than 75 feet travel distance. 7) All cooking booths or areas to have one 2A:I OBC. if grease or oil is used in cooking a 40:BC or class "K" fire extinguisher will be required. All fire extinguishers to have a current State Fire Marshal Tag attached. Please see attached example. 8) Additional fire extinguisher shall be placed around the circumference of the track and bowel area so as to provide fire protection for" Luminary Bags". Fire extinguisher to be mounted in a visible location between 31/2' to 5' from the floor to the top of the extinguisher. Extinguisher shall be labeled "Fire Extinguisher". 9) If Charcoal is being used, provide metal cans with lids and label "HOT COALS ONLY" for used charcoal disposal. 12) A fire safety inspection is to be conducted by the Fire Department prior to operations of the event to include all cooking areas etc. 13) Required inspections taking place, after hours, holidays, and weekends will be assessed a minimum of two hundred and ten ($200.00) dollars. 14) Any electrical power used is to be properly grounded and approved. Extension cords shall be used as "Temporary Wiring" only. 15) If tents or canopies are used, the following information shall apply: • Tents having an area from 0-200 square feet shall be $200.00 • Tents having an area more than 201 square feet shall be $400.00 -3 • Canopies having an area from 0-400 square feet shall be no charge. • Canopies from 401-500 square feet shall be $250.00. • Canopies from 501-600 square feet shall be $300.00. • Canopies from $601.00 or greater shall be $400.00. • Multiple tents and or canopies placed together equaling or greater than the above stated information shall be charged accordingly. • Tents shall he flame-retardant treated with an approved State Fire Marshal seal attached. A permit from the Fire Department must be obtained. Fees can only be waived by the City Council. A ten feet separation distance must be maintained between tents and canopies. A permit from the Fire Department must be obtained. Cooking shall not be permitted under tents or canopies unless the tents or canopies meet "State Fire Marshal approval for cooking. Documentation of State Fire Marshal Certification shall be provided to the National City Fire Department at time of permitting process. 16) First Aid will he provided by organization 17) Concession stands utilized for cooking shall have a minimum of 10 feet of clearance on two sides. 18) Provide map of site area. Map to include placement of Fire Department requests. 4100 NOTE: The total cost for this event shall be $600.00 Canopies - $400.00 Afert Hour Inspection - $200.00 Fire Department Fees can only be waived by City Council. RISK MANAGER (619) 336-4300 I've reviewed the application for the proposed repeat use and note that the event will he held primarily on City property at Kimball Park. The applicant sponsoring organization, San Diego- Tijuana Border Initiative, has signed the Hold Harmless and Indemnification Agreement; however, no insurance certificate(s) have been provided. We must have evidence of insurance PRIOR to the event. I don't recall reviewing it last year and hope that the material was submitted directly to you. For this larger event, we should require commercial general liability coverage with minimum limits of one million dollars ($1,000,000) per occurrence and two million dollars ($2,000,000.) aggregate -although 1 might be willing to waive the aggregate limits since I suspect this group does not generate multiple event exposures. In addition, because trucks or other vehicles will be used to transport materials for the stages and canopies which will be erected, commercial auto coverage with limits of at least one million dollars ($1,000,000.), combined single limits, must be provided. The auto coverage must include the designation for "any auto", i.e. owned, non - owned and hired. If the organization does not own vehicles, it must cover non -owned and hired. Further, the City of National City, its elected officials, officers, employees and agents must be named as additional insureds on the CGL policy pursuant to a separate endorsement which must be provided, along with the certificate (acord form) prior to the event. Let me know if you have any questions. You may refer the applicant organization or its insurance agent to me directly if there arc questions regarding the insurance requirements. Type of Event: Public Concert Parade Motion Picture Fair Demonstration _ Grand Opening Event Title: in (A) � C o'er Event Location: Event Date(s): From t aAb`1_ Month/Day/Year Actual Event Hours ,\os m to S',CD am yFestival Circus Other_ Community Event Block Party Total Anticipated Attendance: 1 \- ( l( Participants) (, _Spectators) Setup/assembly/construction Date: SV)-\bpi Start time: 1 s,( �M Please describe the scope of your setup/assembly work (specific details)e&1/4IA 3 f..) e•S k atakt : 1 - rito3v Q ouNC1-,5 Dismantle Date: _S\Z\,ts`k Completion Time: 1 e"-)_ List any street(s) requiring closure as a result of this event. Include street name(s), day and time of closing and day and time of reopening. N\� • e • ,•1- ( �ir y .• • :L... y ^• •I,,a �.R,}r�. ��L 4„✓►y;',t .-i _.A.J•.••r.p wNwt ..�?;...:a+�M N.i-y✓ 3-...uHi;.,t/.�c'S�.:L:=..+,.1.>EM Sponsoring Organization: �vF� 4kL . ►r' or Profit Not -for -Profit Chief Officer of Organization (Name) ��� << �r �v�=+�Z Applicant (Name): ,w‘,c.d r L'" l,( Address: 216 3� C . S 0- �d qq o Daytime Phone: \t) 1-1% veening Phone: 0(9) 1= 13 U Fax: ( ) (olq) w- oa C - Contact Person "on site" day of the event: __�C���t `Ci!�Z Pager/Cellular: NOTE: THIS PERSON MUST BE IN ATTENDANCE FOR THE DURATION OF THE EVENT AND IMMEDIATELY AVAILABLE TO CITY OFFICIALS Is your organization a "Tax Exempt, nonprofit" organization? Are admission, entry, vendor or participant fees required? If YES, please explain the purpose and provide amount(s): .vjF.0 a r - yrr�4{ S r •.lI✓YaI„� Ltf' 1• Y YES NO YES X. NO Estimated Gross Receipts including ticket, product and sponsorship sales from this event. $ " 9,D b�Estimated Expenses for this event. $ What is the projected amount of revenue that the Nonprofit Organization will receive as a result of this event? titles •i`':01.4.. K: 4±7-: 3 .74 �iu - ....i is s. 'r i 1 r . :• �. �i. N'a :t}.l S# ,.:A; ..r. }r+l.a�....,G'•'-,�. Jr,.:±.M.s. �.t,�.a,_. . G hSM.s"ir,'-.�4• Please provide a DETAILED DESCRIPTION of your event. Include details regarding any components of your event such as the use of vehicles, animals, rides or any other pertinent information about the event. \} \ \9t 4,k Ub -\tr aA__ s- 1 6 cc-1 r 6 s. vi09D��r C_Ac �� � �5 : � s f1_o (1 — 2 c u r_s YES If the event involves the sale of cars, will the cars come exclusively from National City car dealers? If NO, list any additional dealers involved in the sale: L.}}a• 1'4 1 ib10f 1KIfl� a 1iaKiliRIN:IM 1 «tli- 4la tlit. Ni r. a +:� rage s�ia * (si t�u'oii'1 •*t tt.:f:lh! YES 0 Does the event involve the sale or use of alcoholic beverages? YES _ NO Will items or services be sold at the event? If yes, please describe: V YES _10 Does the event involve a moving route of any kind along streets, sidewalks or highways? If YES, attach a detailed map of your proposed route indicate the direction of travel, and provide a written narrative to explain your route. ES _ NO Does the event involve a fixed venue site? If YES, attach a detailed site map showing all streets impacted by the event. YES NO Does the event involve the use of tents or canopies? If YES: Number of tent/canopies __ kt0, _- Sizes ) 0 ► 0 NOTE: A separate Fire Department perrr�it is r�guired for tents or canopies. YES NO Will the event involve the use of the A system? In addition to the route map required above, please attach a diagram showing the overall layout and set-up locations for the following items: Alcoholic and Nonalcoholic Concession and/or Beer Garden areas. Food Concession and/or Food Preparation areas 11 Please describe how food will be served at the event: now `tP1V Iou intend to cook food in the event area please specify the method: f: GAS ELECTRIC HARCOAL OTHER (Specify): Portable and/or Permanent Tolet Facilities /,,, n , Number of portable toilets: (1 for every 250 people is required, unless the ` r ` Ct applicant can show that there are facilities in the immediate area available to the public during the event) Tables and Chairs Fencing, harriers and/or barricades Generator locations and/or source of electricity . Canopies or tent locations (include tent/canopy dimensions) . Booths, exhibits, displays or enclosures Scaffolding, bleachers, platforms, stages, grandstands or related structures Vehicles and/or trailers . Other related event components not covered above Trash containers and dumpsters (Note: You must properly dispose of waste and garbage throughout the term of your event and immediately upon conclusion of the event the area must be returned to a clean condNumber of , ^ \ � (` G� (� n Number of trash cans: ►jJ Trash containers with lids: r� 0(, t" Describe your plan for clean-up and removal of waste and garbage during and after the event: IR 0'\\ hCjA. R Clarks' GItO \f\I We \--)- 4 ►'•^4 F�Vl �1A•sl •r Y'i •'^� ���M� K ♦ p»C!',7!{iar) t•+,7b':+7;ti'l ►} • y Ni• r;+py -i w� . +'rib.. jt�rw • ‘ `. tie IN'41 ; Air M: .4 .•,/„ I rt). b�ig1 f1 ... '1�1��s N',.f)n 1'��•{lb Air vY v� a .(]U 41J ir? . '> KS�:i. Please describe your procedures for both CrowdControland Internal Secu(ritty: �(\�\ vI Ss o1," L. Y t- S YE O Have you hired any Professional Security organization to handle security arrangements for this event? If YES, please list: Security Organization: Security Organization Address: Security Director (Name): _ Phone: Is this a night event? If YES, please state how the event and surrounding area will be illuminated to ensure safety of the participants and spectators: Please indicate what arrangement you have made for providing First Aid Staffing and Equipment. G- c1G4o, i Au (tV Please describe your Accessibility Plan for access at your event by individuals with disabilities: k� slM e .�•. _ suunaTit!er. Please provide a detailed description of your PARKING plan: \iJk- wo,kk_ \Aut- VikiL 26,or- \ohcAlz— Please describe your plan for DISABLED PARKING: w \f.A c .-e.Sisly k1 ),t 1 16 d4�� u•�i �•:iAfrlfa�•e T. Plr t•� j trf ir Please describe your plans to notify all residents, businesses and churches irnpacted by thes u event: ��a o 1�4.ti�- �(5),Y'• w'\\ w do -be 2 Yt -4- NOTE: Neighborhood residents must be notified 72 hours in advance when events are scheduled in the City parks. c � ttft t R.ri •.ti t ••,.. rlio ••a.r'a<;�. N'4 -.dr A N.,.ts+Wad,1.s1,•c1.... 44,1::!h I�YE S NO Are there any musical entertainment features related to your event? If YES, please state the number of stages, number of bands and type of music. Number of Stages: \ _ Number of Bands: 3 Type of Music: ..Y_Y ,ec 4- k l/ r YES NO Will sound amplification be used? If YES, please indicate: Start time: __ l b •U") AD/pm Finish Time _ S - ,J b YES __ NO Will sound checks be conducted prior to the event? If YES, please indicate: Start time: ‘ m Finish Time Q 3 1 Please describe the sound equipment that will be used for your event: V ,�- or t tq- (w"-i1 C moo,,.\, S \S�cw ' p ckCC()ML IoG�c YE _ NO Fireworks, rockets, br other pyrotechnics? If YES, please describe: ES NO Any signs, banners, decorations, special lighting? If YES, please describe: �lt^v\ i 5 \('o �` 3 o) \\ j \NA• Revised 08/10/05 for Office 'Use OnCy Event: o �' C�� ► `� C?'"-\,L -tG0\lid Department Date Approved? Yes No initial Specific Conditions of Approval Council Meeting Date: Approved: Yes No Vote: Kathleen Trees, Director Building & Safety Department City of National City PUBLIC PROPERTY USE HOLD HARMLESS AND INDEMNIFICATION AGREEMENT Persons requesting use of City property, facilities or personnel are required to provide a minimum of $1,000,000 combined single limit insurance for bodily injury and property damage which includes the City, its officials, agents and employees named as additional insured and to sign the Hold Harmless Agreement. Certificate of insurance must be attached to this permit. Organization 1t U CTePerson in Charge of Activity> t� �- I e %r1�%t j � ddress \,O2- \C uRc, c)JA- S,� . C " IT 151 lephon `F\�) a-2�1 '0 `ts b Date(s) of Use J 1 21 b� aoo Avg cw-cinaA0 kimik&, Sah !7 il) GA- 124d4 HOLD HARMLESS AGREEMENT As a condition of the issuance of a temporary use permit to conduct its activities on public or private property, the undersigned hereby agree(s) to defend, indemnify and hold harmless the City of National City and the Parking Authority and its officers, employees and agents from and against any and all claims, demands, costs, losses, liability or, for any personal injury, death or property damage, or both, or any litigation and other liability, including attorneys fees and the costs of litigation, arising out of or related to the use of public property or the taken under the permit by the permittee or its agents, employees or Official Title For Office Use Only Certificate of Insurance Approved Date REQUEST FOR A WAIVER OF FEES Non-profit organizations, which meet the criteria on page v of the instructions, will be considered for a waiver. If you would like to request a waiver of the processing fees, please complete the questionnaire below. 1. Is the event for which the TUP is sought sponsored by a non-profit organization? Yes (proceed to Question 2) No (Please sign the form and submit it with the TUP Application) 2. Please state the name and type of organization sponsoring the event for which the TUP is sought and then proceed to Question 3. Nar of the sponsoring organization Type of Organization oc.`` a'(-t pollG 14 l l , ` (Service Club, Church, Social Service Agency, etc.) 3. Will the event generate net income or proceeds t the sponsoring P •L' organization? CT5Api.to. /50 �� /4_,,) es (Please proceed to Question 4) *No (Please sign the form and submit it with the TUP Application) 4. Will the proceeds provide a direct financial benefit to an individual who resides in or is employed in the city, and who is in dire financial need due to health reasons or a death in the family? Yes (Please provide an explanation and details. No (Please proceed to Question 5) Y 5. Will the proceeds provide a direct financial benefit to city government such as the generation of sales tax? Yes (Please provide an explanation and details. No (Please proceed to Question 6) 6. Will the proceeds provide a direct financial benefit to a service club, social services agency, or other secular non-profit organization located within the city such as Kiwanis, Rotary, Lions, Boys and Girls Club? Yes (Please provide an explanation and details. No (Please proceed to Question 7) 7. Will the proceeds provide a direct financial benefit to an organization, which has been the direct recipient of Community Development Block Grant (CDBG) funding? Yes Year funds were received: Funds were used to: No (P lease sign the form and submit it with the TUP Application) l_5 'Name City of National City, California COUNCIL AGENDA STATEMENT MEETING DATE April 21, 2009 AGENDA ITEM NO. 25 ITEM TITLE TEMPORARY USE PERMIT — National City Certified Farmers' Market every Wednesday on E. 9th Street, between A Avenue and B Avenue from 2pm to 6pm, starting on May 6, 2009 with no waiver of fees. The applicant requests the approval of this TUP for one full year. PREPARED BY DEPARTMENT Vianey Rolon, 336-4364 Neighborhood Services EXPLANATION This is a request from the National San Diego County Farm Bureau to conduct the National City Certified Farmers' Market every week on Wednesdays on E. 9th Street, between A and B Avenue commencing on May 6, 2009. This event will include vendor booths selling fresh produce, prepared foods, and arts and crafts. This event requires closure of E. 9th Street, between A and B Avenues. Street will close at 1pm and reopen at 7:30pm. Vendors are responsible for their individual security and cleanup. Market Management will be available onsite at all times for assistance and to do any necessary cleanup at the end. . Attendees can find available public street parking or use H & M Goodie's Auction parking lot. Environmental Review X N/A Financial Statement The City has incurred $345.00 for processing the TUP through various City departments, plus $674.96 for Public Works. Total fees are $1,019.96 Approved By: Finance Director Account No. STAFF RECOMMENDATION Approve the Application for a Temporary Use Permit subject to compliance with all conditions of approval with no waiver of fees. BOARD / COMMISSION RECOMMENDATION N/A ATTACHMENTS ( Listed Below) Resolution No. Application for a Temporary Use Permit with recommended approvals and conditions of approval. A-200 (9/99) CITY OF NATIONAL CITY NEIGHBORHOOD SERVICES DIVISION APPLICATION FOR A TEMPORARY USE PERMIT RECOMMENDED APPROVALS AND CONDITIONS OF APPROVAL SPONSORING ORGANIZATION: San Diego County Farm Bureau EVENT: National City Certified Farmers' Market DATE OF EVENT: May 2, 2009 TIME OF EVENT: 2:00 p.m. to 6:00 p.m. APPROVALS: PLANNING YES [ x ] NO [ ] SEE CONDITIONS [ ] FIRE YES [ x ] NO [ ] SEE CONDITIONS [ x ] PUBLIC WORKS/PARKS YES [ x ] NO [ ] SEE CONDITIONS [ x ] FINANCE YES [ x ] NO [ ] SEE CONDITIONS [ x COMMUNITY SERVICE YES [ x ] NO [ ] SEE CONDITIONS [ ] POLICE YES [ x ] NO [ ] SEE CONDITIONS [ ] ENGINEERING YES [ x ] NO [ ] SEE CONDITIONS [ ] CITY ATTORNEY YES [ x ] NO [ ] SEE CONDITIONS [ x ] RISK MANAGER YES [ x ] NO [ ] SEE CONDITIONS [ x NEIGHBORHOOD SERVICES YES [ x ] NO [ ] SEE CONDITIONS [ ] CONDITIONS OF APPROVAL: CITY ATTORNEY Requires an indemnification and hold harmless agreement, and a policy of general liability insurance, with the City and Parking Authority and its officials, employees, agents and volunteers as additional insureds, with amounts of coverage to be determined by the Risk Manager. FINANCE 336-4330 A list of all participating vendors (with their address, phone number and current National City business license number) is to be provided to the Revenue and Recovery Division of the Finance Department two weeks prior to the event for verification of business license numbers. PUBLIC WORKS 336-4580 Public Works Department staff has reviewed the application for subject Temporary Use Permit (TUP) and recommends approval subject to the conditions listed below: Street Division 1. We will need to purchase and install 3 posts and 8 "Tow Away, No Parking," 1:00 pm to 7:00 pm" signs to insure the street is free of cars for the event set up. 2. The cost to provide Street personnel support for this event is estimated to be $674.96. This amount should be paid to the City, unless waived by the City Council. • Signs8 x $34.80 = $278.40 • Posts 3 x $44.10 = $143.87 • Man Hours 6 x $32.57 = $195.42 • Equipment 3 x $19.09 = $ 57.27 • Total $674.96 Parks Division No involvement Facilities Division No involvement Please Note: The applicant is not requesting use of the City stage or PA system. Therefore, the PA system and/or the stage will not be provided. Fees: Unless waived by the City Council, the applicant shall pay $674.96. (Acct #001-422-221- 102) Thank you for the opportunity to comment on this TUP. Please let me know if you need any other information. FIRE (619) 336-4550 Stipulations required by the Fire Department for this event are as follows: 1) Maintain Fire Department access at all times. 2) Means of egress shall not be obstructed in any manner and shall remain free of any material or matter where its presence would obstruct or render the means of egress hazardous. 3) Access for Fire Department shall be maintained at all times. At no time shall fire lanes, fire hydrants, fire protection systems of all types etc. be obstructed at any time. A minimum of 20 feet wide shall be maintained for the use of fire lanes. J 4) If tents or canopies are used, tents having an area in excess of 200square feet and or canopies in excess of 400 square feet or multiple tents and or canopies placed together equaling or greater than the above stated areas, are to be used, they shall be flame-retardant treated with an approved State Fire Marshal seal attached. A ten feet separation distance must be maintained between tents and canopies. A permit from the Fire Department must be obtained. Cooking shall not be permitted under tents or canopies unless the tents or canopies meet "State Fire Marshal approval for cooking. Certificate of State Fire Marshal flame resistancy shall be provided to the National City Fire Department if applicable. Canopies: Tents: 0 — 400 sf - $0 401 — 500 sf - $250.00 501 — 600 sf - $300.00 601 — 700 sf - $400.00 0 —200 sf - $200.00 201 — (+) sf - $400.00 Note: As long as canopies have a ten feet or greater separation distance from one another, no Fire Department permit will be necessary. 5) If fire extinguishers are used, extinguishers are to be mounted in a visible location between 31/2`to 5' from the floor to the top of the extinguisher. Maximum travel distance from one extinguisher to another shall not be more than 75 feet travel distance. All fire extinguishers to have a current "State Fire Marshal Taa" attached. Please see attached example 6) Internal combustion power sources (Generator) that may be used for the event shall he of adequate capacity to permit uninterrupted operation during normal operating hours. Fueling shall be performed prior to beginning of event. 7) Internal combustion power sources shall be isolated from contact with the public by either physical guards, fencing or an enclosure. Internal combustion power shall be at least 20 feet away from tents, canopies, rides and people. 8) Any electrical power used is to be properly grounded and approved. Extension cords shall be used as "Temporary Wiring" Only. Tents canopies or membrane structures shall not be located within 20 feet of parked vehicles or internal combustion engines. See page 2 "Detailed Description" of TUP. Parking shall not be allowed immediately next to canopies. Above stipulations shall apply. 10) A fire safety inspection is to be conducted by the Fire Department prior to operations of the event to include set-up and rounds surrounding event. 11) First Aid will be provided by organization Note: As long as canopies have a ten feet or greater separation distance from one another, NO "Fire Department Permit" will be necessary. RISK MANAGER (619) 336-4300 I've reviewed the application for this new proposed use and note that the event will be held entirely on public property adjacent to Morgan Square on E 9th St, between A and B Avenues. The applicant sponsoring organization is the San Diego County Farm Bureau but there is no indemnification or hold harmless form included with the application, much less signed. This needs to be done. While plans to close down streets must be approved by NCPD, the sponsoring organization must provide evidence of Commercial General Liability insurance with limits of at least $2M per occurrence/$4M aggregate and auto liability coverage of $1 M combined single limits. Because of recent incidents involving other California farmers' markets/craft fairs, where impaired motorists drove through street barriers, higher insurance limits are prudent -due to the potential for vehicle -multiple pedestrian accidents. The City must be named as an additional insured on the CGL coverage as well pursuant to a separate endorsement. Otherwise, I have no objections to the application. ENGINEERING (619) 336-4380 Call Engineering Dept. at least 72 hours prior to the event for any necessary coordination with the contractors in the event of construction in the vicinity —Call Charles or Mauro at 619-336-4380. .'. A... _ ? C, `. y C. St C3'2NTY FAPC1 KIR7. U #7227 ?. CG C.1C 'Nit/ f, rt .re.•Ij•-r...•' M1i a :•. �.: 4•••.M +•.7;ioY�\ �l i!t+.�M 4 r �••,' I. ,5 r1a w•,tJ'.y -•_a - ` « r \:3'_:�5:;`. .. h' --�. T.,• •s•••••f.: ' •- • { !� �S•M... -yA.t �' '�.`! F -L Y \ 4.• ,, ; . ♦ : r • i.. i _ '..[w..J I1 A2.•%'\i~ -b-T:yy. e � � y t:+. S � •.« x• r+y na. C• y� Jnt��'+� t ^^ 2'�.. •r'. i � ssec�'L ,t.+•- n^R L.-y.. �-� ✓r•i ..-A►ri+a''�i444!twor iw+tt!O. !�?� Ty.r..•�eri+e _'�.i.'-w1. �7•�r 7,�csuK'. ^.` f ro+tnw',Y, Type of Fvent: Public Concert Parade Motion Picture Fair _ Demonstration _ Grand Opening Festival Circus Other _ FG v��_r S. tN�ctir� c�t Community Event Block Party Event Title t.10-k- o,\ � 11"-&cn. C (c,--rtzt Event Location- - i ` � � . � Q t � c c v� �J "e_- f A. Q Event Date(s): From 5 6 f o9 to S I4 Total Anticipated Attendance: 5 0 6 ,"i•t.e.k�y \s'.,\J n Month/Day/Year (o Participants) Qt te_x-r- ' - (_Spectators) �•aSd Actual Event Hours: 2 = 0o am/pm to _� = 00 am/pm Setup/assembly/construction Date SIG/ c 4 Start time ! ' o c ? w\ --ram Please describe the scope of your setup/assembly work (specific details): \I -.e.Nr•.a C r� one 10x to C-ancp\-, A 4-3,10L-e ?roat4c_e • Dismantle Date: 516, / c q Completion Time: 1 0 0 am/pm List any street(s) requiring closure as a result of this event. Include street name(s), day and time of closing and day and time of reopening. 1=. q+\'` Si , lat`��i�� A f ie B- Avt. c(os-t- A+ :CSC -vv�.1 C�o-? r c.-}- 4 -: 30 rv-A,. +�' a-. ..••. r : c ' -^�' ,•J_ •.s r y•'' '—rr-. _ - ':- f- —- t r.- - • �� i.y /»r• ..ya t:-..'aai �? r}� N h 4>y v• �r. r "�a 1i• -'7♦,w* t .tv..i+w..V1.• ...i /- .<e,'•••: r y^fa -t Y. o. . --r> *a+. •" ^ ...vf.tra-Af .a.- A... nr•- .•.<.i - �. .a -- 7i -- . • ,, Y1 ry+ ,;. - ► 1 i f -t �) t 4 1.a- 4 - n i >M +r wa^ .S?,•- d ,„:. .L Y1 7 4.Y S,e4.•,./ .-.r^• i..�a� ,..= , (.,1•9,41 ♦. l� l! - ••.• 7: -Y f'• Z'.Y'1 J'• ,. -•I .'ra_••:.� ..r..�r.9«..•-,.I-w.4%Y ..-y.; '......•a.ST........ .'a 'r,•TrzAs`:'.`i._ 'wij•i�.w.,--..'=I5'.••�"' O117' "'",=..I'-..�.,- Sponsoring Organization: Sam Vi-e V C at, e-1-'-t cum For Profit K Not -for -Profit Chief Officer of Organization (Name) < <; c_. L.-. o, c-5 r Applicant (Name). C A \ ,; _c' So (( Address: \Ste] O .. V°A1� c��hc .���+ , esc-o4\6:Q�t Gill- aZaZ'1 Daytime Phone: (760) `j LIS - 302,1 Evening Phone: (-tb a) 4517- 7. 414 Fax: (760) SF S R -- C 3 c4 Contact Person on site- day of the event: BSc-' Y1-n,&- c'S o c i a cA_ A3-.,0_\,i4-t-S / Pager/Cellular: 1 7C.6o Zto! ((,''9)- - 33 (5 3 NOTE: THIS PERSON MUST BE IN ATTENDANCE FOR THE DURATION OF THE EVENT AND IMMEDIATELY AVAILABLE TO CITY OFFICIALS r R.17.2CG9 D c....:•I _ F2_121: BUREAU #7227 P.301 !O10 ;^•;Fi,+.�.Y.I y. r r-r 9 • 's.+x r s. - •ri �a.rf'" +xZYV,1rms �. .1 ii..u.{ 1.: y "�vr •r;•4•:., t� `!3`. -�wcaw° Ja r• '"=r '�i•.r.. ..r. S41�*^tJ✓r ^ w Cr. • - ` _ a �wCV {”. i ,.1rop3 ^ .<f�-+- . {f'"^'.n+x•i rG r�C�lhq'•,,'^�F. K:w::, ►�.M..... . ..t.rt�c. .u'lti+Mrti+g.`.�3w..!:- wn v.;3,�._•w � �'�'�•'�. kr.�-'v.f"y •+' ,:-,i Is your organization a 'Tax Exempt, nonprofit" organization? X YES _ NO Are admission, entry, vendor or participant fees required? YES _ NO If YES. please explain the purpose and provide amount(s). V�vZ aac; tee= 4 : kv1/40- t7Y•t-k— vua V.(1 -4 ac- '4\1t S i-4 v i7 C7• VI A n Boa. ces'- s . Estimated Gross Receipts ncluding ticket, product and sponsorship sales from this event. L Estimated Expenses for this event. __-S What is the projected amount of revenue that the Nonprofit Organization will receive as a result of this event? S'j' N r � � ..- ^""' �r-'-- =T.'.'". `r^.-•'.•.+,`:{:a .?"""�:•`"r'��:"�•"„wf-.:,�.n...."'se� +M vr •�-.T•• •�' �. LL .e �v f k ~4 T • •_ f✓ v :•_, y Y {.�'•Av Ry tY•/y !- .qr .V ► 'A n buy. { } �. - w r•V w - _ •f.L.,.t. _ ti +.i:(<.' X4Y •1-F K = •,••'-• r-v ' • • N�*'5 4. r -•� ••• ••• -• C. -r1• I. .. h G.v%. w ...Y ..'`•x i.- ,r ♦.y ✓.t ri A w.ti :� '~ 5 '.°'•;��„�.`..°n+• •-••*-}e. `.at�Cr • -7 o- .� j • v ..,+! p w! �,.s.1 .r - .a - 2�•". t n .m (� . a * '+ .^ �:?.. '_5•i.. :r v'1:•r° L. .s-••: "•!.�-3•�s- :f',i:'"�..�_':a��=..�•v%•.�. .,�. �•r..��+._.=�':- .�i'°•;{:.. r_.`"r,""''� Please provide a DETAILED DESCRIPTION of your event. Include details regarding any components of your event such as the use of vehicles. animals. rides or any other pertinent information about the event. a_r 1 : o G \I e rt 0 c- s a ter\ v k.n r \9.4J\-oc-4--- e e ,rt t n R -6 lo�. �htcl�5 � -k �0.«i(e_t -1-cT E. cf Sq- T C�e"as to IN yJO-0 -Cg m Syce�� ��,;t� (1:s 1c-..}5 c, n wo-C" • t a x I C Ca v .o "•• C~c-Q, e rV_G act k a d11-t_ c o u s �� �� � t t •_ co, 01• •r•c c_4- l.1 a a c c. r`-4 -E-e: 4-4G. z e l •e . L st-tll -ct.TT'104 w>f \14-V`.t�TrJCS S-Et C tDv 6-1 Ln o rs c S 4-+ -0 o .: i v\-4— c- s1 A d t CO v%;\ xl•-kn r•-•-t S- �� YES NO If the event involves the sale of cars, will the cars come exclusively from National City car dealers? If NO, list any additional dealers involved in the sale. to t±AR.1..2C09 07:51 SD CC N Y :ARM 9UR"EAU 47227 _ . OCS /C1C - • `•S9 ,,-,,er.:....y�;...u.. T' o!114 " -:`fr-..: • :-1.+-r..'. •=��. _ -7•• •",7 �•.•••• ••,1ex•: i r ° .t lye. � :Y iG vhj•Srl.•«.+�s'Yc' -rq-a- 4Y.r� .: '� x4G1'�h. K'R^- . +w4'L•'i. f.•ir•: �'�.L ^i. --:-• 1�'.✓ Y .•t r - +.*�u"f ^ter s . lP-r c,. .r.».;--e-t�f�..•�trtt.7+ri !!••• L.6%+ '"w. r!n'., kr wz�w�4n- :4+:• ar �FK.. - - ., ct,Y+,.np *�: , !^."•. �e .. r. tia.r.,•a.,r•rA YES X NO Does the event involve the sale or use of alcoholic beverages? X _ YES , NO Will items or services be sold at the event?l If yes, please describe. f-cSir. -491 Sr (-2ri-S r cif 5 YES X NO Does the event involve a moving route of any kind along streets, sidewalks or highways? If YES, attach a detailed map of your proposed route indicate the direction of travel. and provide a written narrative to explain your route. )(' YES NO Does the event involve a fixed venue site? If YES, attach a detailed site map showing all streets impacted by the event. X YES NO Does the event involve the use of tents or canopies? If YES: Number of tent/canopies - G Sizes 16 > r U / NOTE: A separate Fire Department permit is required for tents or canopies. YES )(NO Will the event involve the use of the City stage or PA system? In addition to the route map required above. please attach a diagram showing the overall layout and set-up locations for the following items: Alcoholic and Nonalcoholic Concession and/or Beer Garden areas. Food Concession and/or Food Preparation areas t Please describe how food will be served at the event: ?c-10 . .Q•CQt -t \if?Jy-tc". If you intend to cook food in the event area please specify the method. GAS ELECTRIC CHARCOAL OTHER (Specify): Portable and/or f'ermanent Toilet Facilities Number of portable toilets: (1 for every 250 people is required, unless the applicant can show that there are facilities in the immediate area available to the public during the event) Tables and Chairs Fencing, barriers and/or barricades Generator locations and/or source of electricity Canopies or tent locations (include tent/canopy dimensions) Booths, exhibits, displays or enclosures i Scaffolding, bleachers. platforms. stages, grandstands or related structures • Vehicles and/or trailers • Other related event components not covered above • Trash containers and dumpsters (Note: You must properly dispose of waste and garbage throughout the term of your event and immediately upon conclusion of the event the area must be returned to a clean condition.) Number of trash cans Lf Trash containers with lids: L ' Describe your plan for clean-up and removal of waste and garbage during and after the event: •e,c_c.r-tc CG��£0.h pc&c . f -a v t5 --Q., NI 4L `i� .\ I1\ U -L vRnsr/v%ate- 9 v-, i� e e c s S C c{L� h C c-h°� �c.4v t -4_6 Ce,3 ps ' l c C. tI r::-_R.1..2C3 C7:52 SC COUNTY .''_RM PURSAU #7227 P.C)06 'C1C .. s,.w.; fir •ter l �..-7J.�- ��, ,(:T '�".., y}rt'�="•y+�y\!F.Y .� ,f✓'�4":': `'f�tr-•- 'r • y a 3 �, r •t y.. e. ..� .f3NC u. i� *M' a'. tier s^ : h1 z` �s "3 G < a.<.n • §4 .YMN.-if_ .a-r._-'{ N�.':f.t"'...!."<+'�1•\. .�!!.`]`i. .. '�i"\It'at ?� :.bC N�►M t'a �•6`� �T: .Mr7,.t. ... 77 1..7. .04 Please describe your procedures for both Crowd Control and Internal Security: 4Nry . u�Lorhx d'•• o.r a 0. -a.kA # -eS aSSZSA- YES is NO Have you hired any Professional Security organization to handle security arrangements for this event? If YES. please list: Security Organization: _ Security Organization Address: Security Director (Name) Phone YES )(NO Is this a night event? If YES, please state how the event and surrounding area will be illuminated to ensure safety of the participants and spectators: Please indicate what arrangement you have 1made for providing First Aid Staffing and1Equipment. k i . -- pi s-t t wJ l�--L CKk- 11�-�`3�4'l/`LiT`i Q"ri Y7 a et"`' Please describe your Accessibility Plan for access at your event by individuals with disabilities. CI %{- A-t 6‘oS-4-cue__4-t er5. _ f �y N - .+ate —. T! I;� ..•+..� �' o� ..... r'{....f-�� j _...�-.�4s•✓'.+.': .1: 3 y. t y./. .K- � y{�i•.��'M,.li .•.w�� �y.��.F r•v+• j-.-,_• ✓•- %{ r { 0. +. s i i^£Y 1... .a'-elle+er2..� .• ��^V di am •�`j� .. s -..! 1n.,..�e..- � _..r... . y..:_.r: .. :tea.. ++\ :'^:£+S•k2NT'!�+'1�::??-.. -..r. ....<;:. ..-.. _ .:•'s�+n\ nr _ ..... ate.;.+. -.... t•ri� Please provide a detailed description of your PARKING plan! -li c• a \ �GtiiLG�7L`� �liL cook { rari�.rr-vet z c1� E �} + lu % oodi 4 'S 14alC}1 0� �ca r k.-Cr�c tct'C Please describe your plan for DISABLED PARKING! o.„\o c 2 1.-R.1.2.G01 S2 COUNTY FARM T.J A; V7227 P.GC? /010 • .i. ••• :•!•�.i•.r• r% 2ig.i�'�a' m* iq%pr+i:�.�r i.,.,...[•h. :rji�.M-,r.i•. ;i•. 'e v Jv'' r L: 7 yr i R a� `:f "" .- ir .. ji j m S. h. . 1 SK• 1 rt • , L; w R j%Y q! !, 4-;{ R I•Y..i'.^4.+'�.{.. $ac^-.h "[ RfMf P. t•°i`=�'j YYi4+.,.hRY�,• i+`�Y �i\.?'R�ID,•C.'•;-i f•'1. _ .+►.«►!�"-•n�4ea.. +';, . Y-<aw«,.lr:,w� !'f:_...''4+� ' . Niiitt'!ik �4•+••!�h.i.w: 9.a'_r»a ti.+w ,, r',„. if.Jt?rly z�.+_ r >•. ^c+. •../ti,.�..p: Please describe your plans to notify all residents. businesses and churches impacted by the event (2, D cr 6(x, vs #l,— i •I\.terukadiot\— � �Y • NOTE: Neighborhood residents must be notified 72 hours in advance when events are scheduled in the City parks. -.•'.".r;ir'::-err.:- �.'^.`. � :-^"Ct,`-w'�.: t.om^-.�}. - 1 -'"..''...., ...-.. , _? 'r , " 1 c¢.::.-7;,-^• ,.> -r-....�-;=.. ri«'�7 -r r s:' •{ ----%/it .-t 1. •. ,r7 t l v., D S t �{ A i t ^N K�� et". * t : a ^ :,,th t e.”n.. .�(. `.1*•r..titS ` r jr 'r 3 r• SY -+"e.• 3 i •!F-1.ti r. J„r ''. •..� •C!r .^+..+ TWriii+7.'r 4:,.�_° L �e'�. ,,^Y eac:Z?:�,CR"..r�..._.�.s^` '�:.d� 1.r�a .r .r.. l .�.•w ?�;r�ti ir,"Si;,�,.xn-'..���..��:-:, .:.�::Ca'.. YES A NO Are there any musical entertainment features related to your event? If YES, please state the number of stages, number of bands and type of music. Number of Stages: Type of Music. Number of Bands: YES k NO Will sound amplification be used? If YES, please indicate: YES (-"NO Start time: am/pm Finish Time _ am/pm Will sound checks be conducted prior to the event? If YES, please indicate: Start time amlpm Finish rime am/pm Please describe the sound equipment that will be used for your event: YES k NO Fireworks. rockets, or other pyrotechnics? If YES, please describe. YES NO Any signs, banners. decorations, special lighting? If YES, please describe: 5c�.51k 5C0. S. a 4?- `aX viµn•>tcs Revised 08/10/05 6. ca_Y- P---(-- I3 M R.1. .2CC9 Z SD COUNTY -: PY P.::F.Et.0 #7227 P.008 /010 For Office 'Use Only Event: Department Approved? Yes No Specific Conditions of Approval Date Initial Council Meeting Date: Approved: Yes No Vote: Kathleen Trees, Director Budding & Safety Department A\\J--e. h 5 7- 14- iM, CG o e a c t_s p ac (6. et �\\\\\\\\\ L LID ne��S50.i" Slon_Sac_ �ravtd� Aparc- La�� City of National City, California COUNCIL AGENDA STATEMENT `'MEETING DATE April 21, 2009 AGENDA ITEM NO. -- ITEM TITLE TEMPORARY USE PERMIT —National City Chamber of Commerce's Taste of National City on May 7, 2009 at Heritage Square from 5 p.m. to 8 p.m. This is a National City Co -Sponsored event eligible for a $1,500 fee waiver. The applicant requires the use of a City stage. 26 PREPARED BY Vianey Rolon 336-4364 DEPARTMENT Neighborhood Services EXPLANATION This is a request from the National City Chamber of Commerce to conduct the Taste of National City event at Heritage Square on May 7, 2009 from 5 p.m. to 8 p.m. This event will celebrate National City's restaurants. Approximately 30 restaurants and caterers will be present. This event requires a street closure on A Ave. near the Plaza Blvd/9th St. area. The applicant requires the use of a City stage and the PA system. The event and sponsoring organization meet the criteria in the City Council Policy No. 804 for a waiver of fees up to the amount of $1,500.00. This event is a City co -sponsored event. Environmental Review X N/A Financial Statement Approved By: Finance Director The City has incurred $237.00 for processing the TUP through various City departments, plus $400.00 for the Fire Permit and $1,907.85 for Public Works fees. The Co -Sponsored fee waiver is $1,500. Total fees are $1,044.85. Account No. STAFF RECOMMENDATION Approve the Application for a Temporary Use Permit subject to compliance with all conditions of approval. BOARD / COMMISSION RECOMMENDATION ATTACHMENTS ( Listed Below ) Resolution No. Application for a Temporary Use Permit with recommended approvals and conditions of approval. A-200 (9/99) CITY OF NATIONAL CITY NEIGHBORHOOD SERVICES DIVISION APPLICATION FOR A TEMPORARY USE PERMIT RECOMMENDED APPROVALS AND CONDITIONS OF APPROVAL SPONSORING ORGANIZATION: National City Chamber of Commerce EVENT: Taste of National City DATE OF EVENT: May 7, 2009 TIME OF EVENT: 5 p.m. — 8 p.m. APPROVALS: PLANNING COMMUNITY SERVICES RISK MANAGER ENGINEERING PUBLIC WORKS FINANCE FIRE POLICE CITY ATTORNEY YES [x] NO [ ] YES [ x ] NO [ ] YES [ x ] NO [ ] YES [x] NO [ ] YES [ x I NO [ ] YES [x] NO [ ] YES [ x ] NO [ ] YES [ x ] NO [ ] YES [x] NO [ ] SEE CONDITIONS [ ] SEE CONDITIONS [ ] SEE CONDITIONS [ x ] SEE CONDITIONS [ x ] SEE CONDITIONS [ x ] SEE CONDITIONS [ x ] SEE CONDITIONS [ x ] SEE CONDITIONS [ ] SEE CONDITIONS [ x ] CONDITIONS OF APPROVAL: ENGINEERING Call Engineering Dept. at least 72 hours prior to the event for any necessary coordination with the contractors in the event of construction in the vicinity — call Charles or Mauro at 619-336-4380 CITY ATTORNEY Requires an indemnification and hold harmless agreement, and a policy of general liability insurance, with the City, Parking Authority, and its officials, employees, agents and volunteers as additional insureds, with amounts of coverage to be determined by the Risk Manager. FINANCE (619) 336-4330 All participating vendors should have a current National City Business License. FIRE (619) 336-4550 1) Maintain Fire Department access at all times. 2) Means of egress shall not be obstructed in any manner and shall remain free of any material or matter where its presence would obstruct or render the means of egress hazardous. 3) Access for Fire Department shall be maintained at all times. At no time shall fire lanes, fire hydrants, fire protection systems of all types etc. be obstructed at any time. A minimum of 20 feet wide shall he maintained for the use of fire lanes. 4) Provide 2A:10BC fire extinguishers in the food areas. Extinguisher to be mounted in a visible location between 31/2' to 5' from the floor to the top of the extinguisher. Maximum travel distance from one extinguisher to another shall not be more than 75 feet travel distance. All fire extinguishers to have a current "State Fire Marshal Tag" attached. Please see attached example 5) If tents or canopies are used, tents having an area in excess of 200square feet and or canopies in excess of 400 square feet or multiple tents and or canopies placed together equaling or greater than the above stated areas, are to he used, they shall be flame-retardant treated with an approved State Fire Marshal seal attached. A ten feet separation distance must be maintained between tents and canopies. A permit from the Fire Department must be obtained. Cooking shall not be permitted under tents or canopies unless the tents or canopies meet "State Fire Marshal approval for cooking. Certificate of State Fire Marshal flame resistancy shall be provided to the National City Fire Department if applicable. Canopies: Tents: 0-400sf- $0 401 500 sf - $250.00 501 — 600 sf - $300.00 601 — 700 sf - $400.00 0 —200 sf - $200.00 201 -(+) sf-$400.00 6) Internal combustion power sources (Generator) that may be used for the event shall be of adequate capacity to permit uninterrupted operation during normal operating hours. Fueling shall be performed prior to beginning of event. a 7) Internal combustion power sources shall be isolated from contact with the public by either physical guards, fencing or an enclosure. Internal combustion power shall be at least 20 feet away from tents, rides and people. 8) Any electrical power used is to be properly grounded and approved. Extension cords shall be used as "Temporary Wiring" Only. 9) A fire safety inspection is to be conducted by the Fire Department prior to operations of the event to include all cooking areas and Bounds surrounding the event. 10) First Aid will be provided by organization 11) Fees can only be waived by City Council. RISK MANAGER (619) 336-4300 I've reviewed the application for the proposed use and note that the event will he held on City property or City right -of way at the Morgan Square and Heritage Square. The logistics of the event appear reasonable and do not pose any unusual liability exposure, even with the proposed street closures from 10 am to 10 pm. I assume NCPD will address this aspect. The applicant sponsoring organization, National City Chamber of Commerce, has signed the Hold Harmless and Indemnification Agreement. The sponsoring organization has provided a current insurance certificate for Commercial General Liability coverage with limits of $2 million dollars per occurrence/$4 million dollars aggregate, which is sufficient. In addition, there is auto liability coverage of $1 million dollars, combined single limits. Further, the City of National City, its officials, hoards, commissions, employees, agents and contractors are named as additional insureds on the CGL policy pursuant to a separate endorsement which has been provided. Thus, the insurance requirements appear satisfied. I will make one other comment: I would suggest that the organizer consider renting at least one and possibly two more portable toilets for the event. I'm not sure that 2 are sufficient, unless indoor facilities will be available for attendees. Ashley K. Fenton Risk Manager -5 PUBI,IC WORKS (619) 336-4580 Public Works Department staff has reviewed the application for subject Temporary Use Permit (TUP) and recommends approval subject to the conditions listed below: Street Division 1. Staff will deliver barricades to street corners or to applicant prior to the event. The applicant shall install these barricades and remove them to a safe location at the conclusion of the event. Staff will pick them up on the following workday. 2. Staff will post "no parking" signs along affected streets before the event. 3. Staff will install provided banners on National City Boulevard/Mile of Cars (1800 Block and 3100 Block) 4. The cost to provide Street personnel support for this event is estimated to be $491.73. The amount should be paid to the City unless waived by the City Council. • Man hours • Equipment • "No Parking" signs • Barricades • Banners Installation • TOTAL 2 hrs x $32.57 1 x $19.09 12 x $0.45 ea 6 x $0.35 ea $ 65.14 19.09 5.40 2.10 400.00 $ 491.73 Parks Division The cost to provide park maintenance personnel for this event is estimated to be $617.00. This includes the set-up and breakdown of the City's stage. This amount should be paid to the City, unless waived by the City Council Facilities Division Estimated costs to provide facilities personnel arc as follows: • Electrician Reg hrs 8 hrs x $22.21 • Electrician Overtime hrs 5 hrs x $32.32/hr • 2 Custodians Reg hrs 2 x 8 hrs ea x $14.84/hr • 2 Custodians Overtime hrs 2 x 5 hrs ea x $22.21/hr • TOTAL Fees $ 177.68 161.60 237.44 222.40 $ 799.12 Unless waived by the City Council, the applicant shall pay $1,290.85 for staff costs associated with this permit request. This cost was estimated as follows: Street Division: Parks Division: Facilities Division Total: $ 491.73 (account #001-422-221-102) $ 617.00 (account #105-442-000-102-0000) $ 799.12 (account #626-422-223-102) $ 1 ,907.8 5 4 Type of Event: _ Public Concert /_ Fair ✓Festival ✓Community Event _ Parade _ Demonstration Circus Block Party Motion Picture _ Grand Opening 7 Other ic,o(l Tusfil Event Title: I g ih % nr a l �ri S i e 0. V aic rt ci 1 �j ► # `j Event Location: (I ri c, t E0 c•J He ri+o e au ( t )ghv,tgl C,+4, C gig v Event Date(s): From e5pkg to o> c `�Total Anticipated Attendance:nth/Day/Yea C 5 OLParticipants) (Z TO Spectators) Park 1 1,' Ave„ ' 300 P ` (lb ,c}r?C Actual Event Hours: b am/®to am/) Setup/assembly/construction Date: fc71 or1 Start time: J Z P se-J-vp Please describe the scope of your setup/assembly work (specific details): Se{ -„F kwfh5 , fit n f S, ov-} Ecco 1-raAi n?tepfacje , cl spit ` bGrtnes, 1eG:S TtI4i , d `PS tablet ciot chi( 1�Orf4 flies `1»t►`cdu- Li fu1,I;3/, -e ni ect-a;o rten+, %' C S1rur-1s Pc lose Clrect Dismantle Dated 5 010q Completion Time: q: 30 a List any street(s) requiring closure as a result of this event. Include street name(s), day and time of closing and day and time of reopening. Sponsoring Organization: PO -Iona! C i ] C.b/w )jxf 0-4 C amtnertP For Profit X Not -for -Profit Chief Officer of Organization (Name) (JU CC3, U .)Pjf1 G SU Applicant (Name): CG C y,U t'ihe �e n OS 0 Address: (ICI N fiUntl Nita Daytime Phone: ((plq) Li'l14133C1 Evening Phone: (toty) G'C(cqo 1y Contact Person "on site" day of the event: JIC q/i e h n e- L. PP Pager/ n OS 0 Co) g (0011>4-. NOTE: THIS PERSON MUST BE IN ATTENDANCE FOR THE DURATION OF THE EVENT AND IMMEDIATELY AVAILABLE TO CITY OFFICIALS 5 Is your organization a "Tax Exempt, nonprofit" organization? Ar admission entry, vendor or participant fees required? %ES NO YES NO If YES, please explain the purpose and provide amount(s): 10 C4t„ P( CC9S1S D 14en rs en+er+u ., eni GIYI fen+ -Al e4ct p►rer)l- #fcVe+s a(e Sold. for *IS ‘escrl6'rIt _seniors 5 k4.,der 12 rS. o)diQnd� -for 4-2San Ole day Off e✓en4 $ ?j� 7- 00, oO Estimated Gross Receipts including ticket, product and sponsorship sales from this event. $' ► 500•°° Estimated Expenses for this event. $ () 00. O° What is the projected amount of revenue that the Nonprofit Organization will receive as a result of this event? Please provide a DETAILED DESCRIPTION of your event. Include details regarding any components of your event such as the use of vehicles, animals, rides or any other pertinent information about the event. LVen4 w,l) iCc,luckG d rtvod both,/ Cornmuni+% prOa4iZa+►On bootkS /ive n'JUsic' enter4i inrnen4-1 ptiSak04 gncP if'oUpe, + hco r ma4-inn b i.s }L o i o C D m f P� i D t1 ra-ffie p r► 2 eS� Awurci f (OjniliOt'1 Swfowa4r l 416c/chi hand I� cl < U.S k 1 c' v1eS _ YES Y NO If the event involves the sale of cars, will the cars come exclusively from National City car dealers? If NO, lis any additional dealers involved in the sale: N clod NIS YES /NO Does the event involve the sale or use of alcoholic beverages? YES /NO Will items or services be sold at the event? If yes, please describe: YES AO Does the event involve a moving route of any kind along streets, sidewalks or highways? If YES, attach a detailed map of your proposed route indicate the direction of travel, and provide a written narrative to explain your route. YES _ NO Does the event involve a fixed venue site? If YES, attach a detailed site map showing all streets impacted by the event. YES _ NO Does the event involve the use of tents or canopies? If YE : Number of tent/canopies 20 Sizes 10 X (f) ht0 t NOTE: A separate Fire Department permit is required for tents or canopies. V/YES _ NO Will the event involve the use of the City stage or A system? In addition to the route map required above, please attach a diagram showing the overall layout and set-up locations for the following items: Alcoholic and Nonalcoholic Concession and/or Beer Garden areas. Food Concession and/or Food Preparation areas ( 1� LL-- �" " Please describe how food will be served at the event: IcITe> ,���i [� Seii'+�eui rx�f ch (ISVIt's-� Ct f(Qr� �Qr't PJ+1 hfl�, j t%iA If you intend`te' ok food in the event area please specify the method: GAS V ELECTRIC CHARCOAL OTHER (Specify): OCC1 is Grill J-'itIr.-e-CZ (..) Portable and/or Permanent Toil t Facilities Number of portable toilets:- (1 for every 250 people is required, unless the applicant can show that there are facilities in the immediate area available to the public during the event) XTables and Chairs 1 4-ctbl�,c},)Gi'J-c.Ixt itSp . 60-41)) 9- ft , 01-cliv,i i- U)c., f-{ GJ,v, .i-1. Fencing, barriers and/or barricades $ acµ t-r e to he,r } ir.. Scl ikrr Yvb ,t t A r k . rf Generator locations and/or source of electricity J Canopies or tent locations (include tent/canopy dimensions) Booths, exhibits, displays or enclosures, cA'h� Scaffolding, bleachers, platforms, stages, grandstands or related structures Vehicles and/or trailers Ci4 it. ,{10 $J.i y Other related event components not covered above Trash containers and dumpsters VeAcu-}-f'aSin 6: r- (Note: You must properly dispose of waste and garbage throughout the term of your event and immediately upon conclusion of the event the area must be returned to a clean condition.) Li of trash cans: i 0 Trash containers with lids: Of 7)' Nei' j f e-` 1 Describe your plan for clean-up and removal of waste and garbage during and after the event: Eoico tclip bins VI4te-fA rxi.u(rt. hof1fh (nd i F'rr!J� hJ;fl r11-e, t�. tt\ sj Cr\ to f Jiocc "'al ct I)e / i s(1. Please describe your procedures for both Crowd Control and Internal Security: c) u n r)((, LAG-4 e fir) i 1' 1 +df L vk. n 7 C r ru .,cI C 611---r-G 1 YES 1/ NO Have you hired any Professional Security organization to handle security arrangements for this event? If YES, please list: Security Organization: h A Security Organization Address: r,1 A Security Director (Name): Phone: „/ V YES NO Is this a night event? If YES, please state how the event and surrounding area will be illuminated to ensure safety of the participants and spectators: .-b I t a-l- br +' cK Q c LA; 1 1 l c�,, . Please indicate what arrang m nt you have made for providing First Aid Staffin9 and Equipment. /VA i=5f- Avatirtbi iri\ i' +2 aI-:6t �►tSf A %O -e"rnel e(1("t Irv) hers (1 P p-1" (iris e L. Please describe your Accessibility Plan for access at your event by individuals with disabilities: -ve.)-Cro (e.Jsrbl : v IiIA k (44. I tscf b; lb h.-. . Please provide a detailed description of your PARKING plan: .K44) -I 6 r t I r,( , v ; r) f .1 ir4,9 {- ..A- Ai/ C, 11 G oUe r G eci,Irvi-i"C� 41-.61 UIENZr4 GL.1k Please describe your plan for DISABLED PARKING: D.0 4)1e r,_ +VI*t'rc ovatlitihlf •.• Please describe your plans to notify all residents, businesses and churches impacted by the event: A A Ie- -pr - - `-eSu=F- hr; k rouc . 1=' s,oItr, s i U h �v f-(il edify! III �n�� � s re d NOTE: Neighborhood residents must be notified 72 hour in advance when events are scheduled in the City parks. YES _ NO Are there any musical entertainment features related to your event? If YES, please state the number of stages, number of bands and type of music. Number of Stages: Type of Music: C) Number of Bands: MUci ����t �•I �; ,, Wit, z? V YES _ NO Will sound amplification be used? If YES, please indicate: Start time: • i) @ F'r"` am Finish Time 0 C. am/ v YES _ NO Will sound checks be conducted prior to the event? If YES, please indicate: Start time: Li : CO am/ ' r Finish Time 5v am/�) Please describe the sound equipment that will be used for your event: v( . YES " NO Fireworks, rockets, or other pyrotechnics? If YES, please describe: VYES _ NO Any signs, banners, decorations, special lighting? If YES, please describe: (4.1{^ noi h.YYn�-s w;l) he. hunv al „„,. he, r-1h I bofthss fto Nr,o �its .CJ Revised 08/10/05 9 Event: For Office 'Use Only Department Date Approved? Yes No Initial Specific Conditions of Approval Council Meeting Date: Approved: Yes No Vote: Kathleen Trees, Director Building & Safety Department to City of National City PUBLIC PROPERTY USE HOLD HARMLESS AND INDEMNIFICATION AGREEMENT Persons requesting use of City property, facilities or personnel are required to provide a minimum of $1,000,000 combined single limit insurance for bodily injury and property damage which includes the City, its officials, agents and employees named as additional insured and to sign the Hold Harmless Agreement. Certificate of insurance must be attached to this permit. Organization Ike \J 44-ro nu l (,► C, h Person in Charge of Activity �-) Gkeu i n e L. e Address MO N ah'0044i Gill (1 cI • 1 G; , CA- 11 CIS—i. Telephone (l(4) � 1 > ' � � Date(s) of Use Thvo j `' j) F Al `J f ? 00 Cl Cell: ((R)K) ggfN ILI HOLD HARMLESS AGREEMENT G w,me' nuS(7 As a condition of the issuance of a temporary use permit to conduct its activities on public or private property, the undersigned hereby agree(s) to defend, indemnify and hold harmless the City of National City and the Parking Authority and its officers, employees and agents from and against any and all claims, demands, costs, losses, liability or, for any personal injury, death or property damage, or both, or any litigation and other liability, including attorneys fees and the costs of litigation, arising out of or related to the use of public property or the activity taken under the permit by the permittee or its agents, employees or contractors. Signataof Apptcant jrPsfcA- CET Official Title Date I0 For Office Use Only Certificate of Insurance Approved Date 11 REQUESTFOR A' . WAIVER'OP; SEES Non-profit organizations, which meet the criteria on page v of the instructions, will be considered for a waiver. If you would like to request a waiver of the processing fees, please complete the questionnaire below. 1. Is the event for which the TUP is sought sponsored by a non-profit organization? Yes (proceed to Question 2) No (Please sign the form and submit it with the TUP Application) 2. Please state the name and type of organization sponsoring the event for which the TUP is sought and then proceed to Question 3. Name of the sponsoring orga ization N ua opt,t) CAI l ,A)' 4M' C CfDrv+ert-e-fCP ( k cc) Type of Organization 11.66, ess Ur ccv„Zaonnonf)e0t2JTrck (Service Club, Church, Social Service Agency, etc. 3. Will the event generate net income or proceeds t the sponsoring organization? N/Yes (Please proceed to Question 4) No (Please sign the form and submit it with the TUP Application) 4. Will the proceeds provide a direct financial benefit to an individual who resides in or is employed in the city, and who is in dire financial need due to health reasons or a death in the family? Yes (Please provide an explanation and details. " No (Please proceed to Question 5) 5. Will the proceeds provide a direct financial benefit to city government such as the generation of sales tax? Yes (Please provide an explanation and details. �c�+ionu� ('i (',huw,be,r 01, Ccn.vnQ-(tie j'rbmo- s dot.u) rei--turuvr}S ( r I\lC)‘-it ) -Thar-PP �o if�Cr?��Set'-eLvngrv'iG iir,�ivr'n7Y �n;_� c.�z{�►�'1 � - z. No (Please proceed to Question 6) 6. Will the proceeds provide a direct financial benefit to a service club, social services agency, or other secular non-profit organization located within the city such as Kiwanis, Rotary, Lions, Boys and Girls Club? Yes (Please provide an explanation and details. \\%tde rlti l C(+� C,bet- Li- C/Clvl(rt i Lt pi -ecis u►,r rock ran�YJ No (Please proceed to Question 7) 7. Will the proceeds provide a direct financial benefit to an organization, which has been the direct recipient of Community Development Block Grant (CDBG) funding? ('l 0 / Yes Year funds were received: Funds were used to: n I A - No (P lease sign the form and submit it with the TUP Application) Signature (\ \ ) Date ACORD. CERTIFICA .: OF LIABILITY INSURA1 E OP ID MR NCCHAM1 DATE IMM/DDIYYYY) 10/21/08 2ODUCER ateridge Insurance Services 0717 Sorrento Valley Rd. -n Diego CA 92121 ne:858-452-2200 SUREU Fax:858-452-6004 National City Chamber of Commerce 901 National City Boulevard National City CA 91950 THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS CERTIFICATE DOES NOT AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. INSURERS AFFORDING COVERAGE INSURED A INSURFf1 li INSI1RI12 C INSURE I2 D INSURE li 1. Maryland Casualty Company NAIC # DVERAGES IHE PUI IC IF S 01 INSURANCE I IS Tf' U BEL OW HAVE- BEEN ISSUED FO THE INSURE U NAME() ABOVE- f OR 1 HE POI ICY PE PICU INGICA. IE (/ NO I VAT HSI ANGING ANY RLOUIRCME NT. TERM OF, CONDII ION Of' ANY CUNT RAC I OR 0111E f2 DOCUMENT WITH f•F SPECT 10 `.'R1I0,l THIS ::I H 1111CA IE MAY BF ISSUE C Of/ MAY PE' RIAIN 1111' INSURANCE Af f ORDE1) BY THE POI ICIES U(.SC121E3F D 111-10 IN IS SUHJI.(_ 1 TO ALI IHE 1I_Rr.15 I XCI IJSIUNS ANU CONDII IONS OI 511•;11 POLICIES A0d2•1E.(:A I LIMITS SHOWN MAY HAVE. BF EN REDUCED UY PAID CLAIMS R'ADD'l. --.. R INSRD TYPE OF INSURANCE GENERAL LIABILITY POLICY NUMBER X COMMERCIAL GI NERA) I IABII 11Y PAS 38912516 0) AIMS MADE I X OCCUR GI N'I AGORFGATF LIMIT APPLIES PE F2 POI ICY . F`t �l(T I OC . AUTOMOBILE LIABILITY ANY AUIJ AI I OWNED AUIOS SCHE(-1111 U AUTOS X HIRED All 10S X NON OWNED AUTOS GARAGE LIABILITY ANY Alir) ' POLICY EFFECTIVE DATE (MM:DDIYY) POLICY EXPIRATION DATE (MM/DD/YY) EACH OCCURRENCE DAMAGE 10 RENTED 09/22/08 09/22/09 Pfa MIS! S,E a oca.rencel MED F XI' (Any one f:orsen) PI PSONAI F: AL,V INJURY GF.NLKi•.t A0•:,r/c-GAI1. ,PAS38912516 09/22/08 • EXCESS/UMBRELLA LIABILITY OCCUR CLAIMS MAUL - UE UIICIIBLI" P.f 1 FNTION $ WORKERS COMPENSATION AND EMPI OYERS' LIABILITY ANY I 'ROPRIE 10FT/F'ARTNE R/I- XI CU I IVF OFF ICE I/'MF MUER I XCI IJDEU� , II yes .JescLl)ii unci/,I SPE(:iAt Y,:uvi;;IClO, bolero OTHER LIMITS t2,000,000 $2,000,000 's10,000 , $ 2 , 000 , 000 s4,000,000 PRODUCTS COMP/OP AG ; $ 4 , 000 , 000 COMBINED SINC,I I. I IF.11! 09/22/09 (f:r(.)aCdenll • BODII Y INJURY !Per person. BODILY INJURY (Per accdent; PRCPERI Y DAMAGE. • (Per accide',t i ' 1 1 , 000 , 000 . AUTO ON: Y EAACCEDE .NT $ FA ACC ACiG O THER TI IAN AU IJ ONLY F AC'1I OCCURRENCE AGGRI-CAIf 77C71TATIr . •0T13 - TORYI!MIT S F.R ' f.1. EACH ACCEDE NI 1 DISEASE EA I-r1PL wet_FI $ I 1--DISEASE 1'01 ICY I RAIr $ ICRIPTION OF OPERA rIONS / LOCA1)ONS / VEHICLES / EXCLUSIONS ADDED BY ENDORSEMENT / SPECIAL PROVISIONS EXCEPT 10 (TEN) DAYS NOTICE OF CANCELLATION FOR NON-PAYMENT OF PREMIUM. :OOF OF INSURANCE ONLY. COVERAGE INCLUDED FOR CAR SHOW AND RELATED 'TIVITIES. RTIFICATE HOLDER CANCELLATION PROOFO1 NATIONAL CITY CHAMBER OF COMMERCE 901 NATIONAL CITY BOULEVARD SAN DIEGO CA 91950 SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE OlE E:XPIRA110N DA IE (HEREOF, THE ISSUING INSURER WILL ENDEAVOR TO1/All. 3 0 * DAYS WRI ITEN NOTICE (0 THE CERTIFICATE HOLDER NAMED 10 THE LEFT. BUT FAILURE TO DO SO SHAL L IMPOSE NO OBl IGATION OR LIABILITY OF ANY KIND UPON THE INSURER, ITS AGENTS OR REPRESENTATIVES auTHORurA R�� Nryji ORD 25 (2001/08) (ra ACORD CORPORATION 1988 AcoRD,. CERTIFICAT- OF LIABILITY INSURAP' 'E OP ID MR DATE (MM/OD/YYYY) NCCHAM1 10/21/08 RODUCER Tateridge Insurance Services 0717 Sorrento Valley Rd. :an Diego CA 92121 :858-452-2200 Fax:858-452-6004 National City Chamber of Commerce 901 National City Boulevard National City CA 91950 THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS CERTIFICATE DOES NOT AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. INSURERS AFFORDING COVERAGE NAIC # INSURERA Maryland Casualty Company INSURER B INSURER C INSURER D.... INSURER E OVERAGES TIiF POLICIES OF INSURANCE LISIED BEL OW HAVE: BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PE RIUU INDICAIFD NOTW111ISTANUING ANY REQUIREMENT TERM OF-) CONDITION OF ANY CON RAC OR OTHER DOCUMENT WITH RI-SPECI TO VNIICH THIS CERTIF. ICAIE MAY BE ISSUE D OR MAY PERTAIN. THE INSURANCE AFFORDED BY THE: POLICIES DESCRIBED HEREIN IS SUBJECT TO AlL THE TERMS. EXCI USIONS AND CONDITIONS OF SUCH POLICIES AGGREGATE LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS ;R73DD'LI .. _ _ ._.. .. R ►NSRF/ TYPE OF INSURANCE GENERAL LIABILITY 'X X X I COMMERCIAL GENE RAL LIABILITY CLAIMS MADE X OCCUR POLICY NUMBER PAS38912516 GENT. AGGREGAI f- LIMIT API') IES PER POLICY JECT RO- LOC AUTOMOBILE LIABILITY ANY AUTO PAS38912516 I ALL OWNFD AU IOS SCHEDULED AUTOS HIRED AUI OS NON-OVJNFD ADIOS P LICY EFFECTIV ;POLICY EXPIRATION DATE (MMIDD/YY) : DATE (MMIDD/YY) i LIMITS EACH OCCURRENCE 02,000,900. 0 I i DAMAGE TURENTL-13 - ! 09/22/08 i 09/22/09 ; PREMISE'S (Ea occurence; $ 2,000,000 I PAID FXP (lny one person: ! $ 10 , 000 PERSONAL & ADV INJURY ' $ 2 , 000 , 000 GENEAGGREGATE 1 $ 4 000 ,000 PRODUCTS COMP/OP AGG 1 $ 4,000,000 ' COMBINED SINGLE LIMIT 01,000,000 09/22/08 i 09/22/09 ' (Ea accident, HODII Y INJURY (Per person! BODILY INJURY I (Per a<cident1 .. • PROPERTY DAMAGE (Per ardent; • ARAGE LIABILITY ! : AUTO ONLY - EA ACCIDENT $ ANY AUTO I EA ACC I $ } OTHER THAN I I ! AUTO ONI Y AGG WORKERS COMPENSATION AND EMPLOYERS' LIABILITY ANY PROPRIETOR/PARTNF FTIE XE CU T IVE: OFFICER/MEMBER EXCLUDE Er II yes describe under tSPECIAL PROVISIONS below OTHER EXCESS/UMBRELLA LIABILITY EACH OCCl1RRFNCE j $ OCCUR I I CLAIMS MADE I AGGREGATE I $ DEDUCTIBLE $ RETENTION $ $ VJC STATU- /3TI7� TORYLIMITS ...( FR L L EACH ACCIDENTI $ El DISEASE EA DAP( OYEF. $ f. L DISEASE POLICY I MIT I $ CRIPTION OF OPERATIONS / LOCATIONS / VEHICLES I EXCLUSIONS ADDED BY ENDORSEMENT / SPECIAL PROVISIONS XCEPT 10 DAYS NOTICE FOR NON-PAYMENT OF PREMIUM. 2TIFICATE HOLDER CANCELLATION PR00001 **PROOF OF INSURANCE** SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF, THE ISSUING INSURER WILL ENDEAVOR TO MAIL 30 * DAYS WRITTEN NOTICE TO THE CERTIFICATE HOLDER NAMED TO THE LEFT, BUT FAILURE TO DO SO SHALL IMPOSE NO OBLIGATION OR LIABILITY OF ANY KIND UPON THE INSURER, ITS AGENTS OR REPRESENTATIVES. AUTMO REPRESENTF • )RD 25 (2001/08) ©ACORD CORPORATION 1988 ACORD. CERTIFICA E OF LIABILITY INSURAN . E NCCHAOP IDMIMR DATE (MM/DD/YYYY) 01/08/09 Wateridge Insurance Services 10717 Sorrento Valley Rd. n Diego CA 92121 _none:858-452-2200 Fax:858-452-6004 INSURED National City Chamber of Commerce; Mile of Cars Assoc. 901 National City Boulevard National City CA 91950 PRODUCER THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS CERTIFICATE DOES NOT AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. INSURERS AFFORDING COVERAGE INSURI:RA Maryland Casualty Company INSURER B INSURER C INSURER D INSURER E NAIC # COVERAGES THE ANY MAY POLICIES /SR .TH POLICIES REQUIREMENT. PERTAIN, NSR NSA. 01 INSURANCE 11STED DEl OW ITAVE TERM OR CONDITION OF ANY THE INSURANCE AFf"OFIUED DY 1 HL AGGIlEGATti LIMITS SHOWN MAY IlAVE _ TYPE OF INSURANCE BEEN ISSUED TO THE INSURED NAMED CONTRACT OR OTHER DOCUMENT WITH POLICIES DESCRIBED HEREIN IS SUBJECT BEEN REDUCED BY PAID CLAIMS. POLICY NUMBER ABOVE TOR THE POLICY RESPECT 10 LMIICH TO Al 1 THE TERMS. PODCY EFFEOTiVE DATE SMMIODlYY� 09/22/08 PERIOD INDIGATF.D IH1S CERTIFICATE. MAY EXCLUSIONS ANU CONDITIONS 'POLICY EMMI0 ATION DATEIMMIDD/Yl'1^ NOTWITHSTANDING BE ISSUED OR OF SUCH - LIMITS A -- X GENERAL LIABILITY X I COMMERCIAI. GENERAL. LIABILITY CLAIMS MAUL ,' X f OCCUR t (Tut. AGGREGATE LIMIT APPLIES PER PRO j t'OIICY I JECT I I LOC PAS38912516 09/22/09 EACH OCCURRENCE DAMAGE' TO RENTED _ MEO EXP (My one person) PERSONAL &AOV INJURY GENERAL. AGGREGATE $ 2, 000 , 000 - - - - .$ 2000,000 $ 10 , 000 $ 2L000, 000 $ 4 , 000 , 000 $ 4 , 000 , 000 _ .PRODUCTS: COMP/OP AGO AUTOMOBILE LIABILITY ANY AUTO ALL OWNED AtJ 1 US PAS38912516 09/22/08 ) COMBINED SINGIELIMIT 09/22/09 (La accident) BODILY INJURY $ 1 , 000 ' 000 A SCIIFOULEU AUTOS (Per perse,n) X HIRED AUTOS i WOK Y INJURY $ X I NON OWNED AUTOS (Pe: accxlenI) _.., _.. i . 1 ._ . . PROPERTY DAMAGE (Pcr accident) $ GARAGE LIABILITY AUTO ONLY - EA ACCIDENT S ANY. AUTO EA ACC OUTER TITAN _.. ... _ $ • AUTO ONLY AGG $ EXCESS/UMBRELLA LIABILITY EACH OCCURRENCE $ ' OCCUR : CLAIMSMAUI AGGREGATE $ DEDUCTIBLE $ - a RETENTION $ ---"- $'-- WORKERS COMPENSATION AND EMPLOYERS' LIABILITY WC • TORY LIAIITS ER ANY PROPRII:TOWPAflTNERJEXEC'JTIVE E.I EACHACCIDENT $ _ OIF ICERIMEMBEIL LXCLUDLB? E L DISEASE - EAEMPIOYEE $ I If yes. deecr21e ulArr II SPECIAL PPOVIS10NS below _ F. l DISEASE - POLICY LIMIT $ _ OTHER 1 L )ESCRIPTION OF OPERATIONS / LOCATIONS /VEHICLES / EXCLUSIONS ADDED BY ENDORSEMENT I SPECIAL PROVISIONS *EXCEPT 10-DAYS NOTICE OF CANCELLATION FOR NON-PAYMENT OF PREMIUM. THE CITY DF NATIONAL CITY, ITS OFFICIALS, BOARDS, COMMISSIONS, EMPLOYEES, AGENTS AND CONTRACTORS, AS THEIR RESPECTIVE INTERESTS MAY APPEAR ARE NAMED ADDITIONAL INSURED W/RESPECT TO GENERAL LIABILITY PER ATTACHED CG2012 05/09. RE: NAMED INSURED'S SIGNS LOCATED IN THE CITY LIMITS OF NATIONAL CITY (XXX) :ERTIFICA1E HOLDER CANCELLATION NAT1002 CITY OF NATIONAL CITY 1243 NATIONAL CITY BLVD. NATIONAL CITY CA 92050 SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE tXPIRATION DATE TIIEREOF, THE ISSUING INSURER WILL.11M10AVO 1 MAIL 30 * DAYS WRITTEN NOTICE TO THE CERTIFICATE HOLDER NAMED TO DIE LEFT, Rr,,,,�r.-•Ii1wr�•c AUTHOE {ZG5 REPRESENT VE ICORO 25 (2001/08) © ACORD CORPORATION 1988 NOTEPAD: INSURED'S NAME National City Chamber of ***NAMED INSURED SCHEDULE READS AS FOLLOWS: N"TIONAL CITY CHAMBER OF COMMERCE ``rr OF CARS ASSOCIATION NCCHAMI OP ID MR PAGE 2 DATE 01/08/09 POLICY NUMBER: PAS38912516 COMMERCIAL GENERAL LIABILITY CG20120509 THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. ADDITIONAL INSURED - STATE OR GOVERNMENTAL AGENCY OR SUBDIVISION OR POLITICAL SUBDIVISION - PERMITS OR AUTHORIZATIONS This endorsement modifies insurance provided under the following. CC)MMERCIAI. GFNERAI HARIl. ITY COVERAGE PART SCHEDULE State Or Governmental Agency Or Subdivision Or Political Subdivision: THE•CITY OF NATIONAL CITY; ITS OFFICIALS, BOARDS, COMMISSIONS, EMPLOYEES, AGENTS AND CONTRACTORS, AS THEIR RESPECTIVE INTERESTS MAY APPEAR Information required to complete this Schedule, if not shown above, will be shown in the Declarations. Section II — Who Is An Insured is amended to in- clude as an insured any state or governmental agency or subdivision or political subdivision shown in the Schedule, subject to the following provisions 1. This insurance applies only with respect to opera- tions performed by you or on your behalf for which the state or governmental agency or subdivision or political subdivision has issued a permit or au thorization 2. This insurance does not apply to a. "Bodily injury", "property damage" or "personal and advertising injury" arising out of operations performed for the federal government, state or municipality, or b. "Bodily injury" or "property damage" included within the "products completed operations hazard". CG 20 12 05 09 U Insuiance Services Office, Inc , 200Et Page 1 of 1 0 2009 Taste r National City Site Map: Heritage Square at Brick R , ("A" Ave. between Plaza Blvd. & 9th Street) 9 t h 5 t r e Q e t ♦r vi 74.0 City's Info Bus 00 1 Mariachi Dance Group 00 o O 0 0 O 0 1 1 o o O 0 O 0 o O 0 o 00 o u` O 0 O 0 0 0000000 Karaoke Competition 0 00 Registration Tables 00 o 0 O 0 0 00 o 0 O 0 0 00 o o 0 O 0 0 O 0 o 0 O 0 J o o 0 O 0 N "A" Ave. 1/ LEGEND 0 = 8X8 Table = Chair = Food Booth 0 = Tall Cocktail Table = Generator/Electricity = Portable Toilet Li = Trash Cans City of National City, California COUNCIL AGENDA STATEMENT MEETING DATE April 21, 2009 AGENDA ITEM NO. 27 /ITEM TITLE Request to use the Granger Music Hall by the family of former Mayor Kile Morgan for a reception in the memory of former Mayor Kile Morgan on Friday, April 17, 2009 from 11 am to 4 pm. PREPARED BY Kaseem Baker Phone: (619) 336-4274 DEPARTMENT Community Services EXPLANATION A Reception to remember and honor five -term National City Mayor Kile Morgan was held on Friday April 17, 2009 at Granger Music Hall from 11 am to 2pm. Cost: Building Use Fee: $ 50.00 Hall Fee: $ 351.78 Custodial: $ 176.00 Total $ 577.78 Cleaning Deposit: $ 100.00 Environmental Review 4 N/A Financial Statement Approving the request for use will result in fees in the amount of $577.78 plus $100 in refundable deposits. STAFF RECOMMENDATION Approve the request. BOARD / COMMISSION RECOMMENDATION N/A ATTACHMENTS ( Listed Below) Resolution No. 1. Facility Use Application Ct�,k fry 1NQ6R1'9'R',TS° City of National City Facility Use Application 140 E. 12th Street, Ste. B National City, CA 91950 (619)336-4290 Fax (619)336-4292 After hours dispatch: (619)336-4411 TO ALL APPLICANTS: It is strongly recommended that an applicant requesting use of City Facility attend The City Council meeting when the item is scheduled for consideration in order to answer any questions from The City Council Facility Requested: please circle Martin Luther King Jr. Building North Room South Room Entire Facility Granger Music Hall Date(s) of Use: ( — / 7 - 0 9 Time of Use: From: t PM To: Day(s) of Use: A1v — INCLUDE SET-UP & CLEAN UP TIME Type of Function/Activity: it( Cx / eaPTn,JIs the event open to the public? Name & Address of Organization/Group: Non- profit organization: Yes Anticipated Maximum Attendance: 349(7 VEX Tax ID # Percentage of National City Residents 70 Will Admission be charged? Amount $ Will this be a Fund Raising Event? /vo Equipment Requested: 30 0 # of chairs it) a Podium/Microphone # of banquet tables Stage **PLEASE ATTACH SEATING DIAGRAM*9 Use of Kitchen: Yes X No Use of Gas for Range and Oven: Yes X No Is the Use of Alcohol Requested? 4) 0 Will other paid services he used (I. e, commercial caterer, DJ, Band, etc)? X Yes No Name: 4 fp Tiyf7*,„16504/i1c%___ Phone: `ame: Phone: I -low many times in the last twelve months have you requested to use a City Facility? It is expressly understood and agreed that the applicant assumes all risk for loss, damage, Liability, injury, cost or expense that may arise during or be caused in any way by such use or occupancy of the facilities of the City of National City and/or Community Services Department. The applicant further agrees that in considerations of being permitted the use of the facilities agreed to, they will save and hold harmless the said City of National City, its officers, agents, employees and volunteers from any loss, claims, and liability damages, and/or injuries to persons and property that in any way may be caused by applicant's use or occupancy. I, the undersigned, hereby certify to abide by the regulations governing said facility and agree to abide by all City of National City ordinances and facility rules and policies, and be representative of the user organizations. Further, 1 agree to be personally responsible for any damage/loss sustained by the ground, building, furniture or equipment or unusual clean up occurring through the occupancy of said facilities. Application recognizes and understands that use of the City's facility may create a possessory interest subject to property taxation and that applicant may be subject to the payment of property taxes levied on such interest. Applicant further agrees to pay any and all property taxes, if any assessed during the use of the City's facility pursuant to sections 107 and 107.6 of the revenue and taxation code against applicant's possessory interest in the City's facility. I CERTIFY THAT I HAVE RECEIVED A COPY OF THE RULES AND REGULATIONS FOR THE FACILITY REQUESTED, AND I AGREE FOR MY ORGANIZATION/ GROUP TO CONFORM TO ALL OF ITS PROVISION. HAVE YOUR COPY OF DATE COMPLETED: f l S- I 0 9 APPLICATION IN POSSESION DURING USE PRINT NAME: __PO be r + I'ior-c164 SIGNATURE: _ ADDRESS OF APPLICANT: j a.�� Sv A'V'Q,hILIk, 6 CITY, STATE, AND ZIP CODE: N)q '1 O'Y1 CAi 19 PIIONE: DAY 477 FAX NUMBER: CONTACT PERSON ON THE DAY OF THE EVENT: PHONE: ((AI) '.f 7 7— a f1Sr CELL: ((p)( 3i O 90'f 9 Please type or print clearly with a Ballpoint pen. Complete application must be submitted and payment submitted in advanced of the event. Rental Amount Received Deposit Amount: _ Check Community Services Staff Only - Receipt Number: Deposit/ Key Returned: Key issued: _ YES _NO 3 CITY OF NATIONAL CITY PUBLIC PROPERTY USE HOLD HARMLESS AND INDEMNIFICATION AGREEMENT Person requesting use of City property, facilities or personnel are required to provide a minimum of $1,000,000 combined single limit insurance for bodily injury and property damage which include the city, its officials, agents and employees named as additional insured and to sign the hold harmless agreement. Certificate of Insurance must he attached to this permit. Organization: g.4. dr-!J ' / i. t L r Person in charge of activity: Qi a G Address: / Z_2 -3 ,1 426 Telephone: 4117 Sr a` .�'J� E-Mail: City Facilities and/ or property requested: ,./ .t ,• I L /s,L I)ate(s) of use: L_ / 7 - d t__ HOLD HARMLESS AGREEMENT As a condition of the issuance of a temporary use permit to conduct its activities On public or private property, the undersigned hereby agree(s) to defend, indemnify and hold harmless the City of National City and its officers, employees and agents from and against any and all claims, demands, costs, losses, liability or damages for any personal injury, death, or property damage, or both, or any litigation and other liability, including attorneys fees and the costs of litigation, arising out or related to the use of public property or the activity taken under the permit by the permit or its agents, employees or contractors. Signature of applicant141/5%-lr-- Date Certificate of Insurance Approved by Name and Title 4 Safety/ Security Please describe your procedures for crowd control and internal security: YES _ NO Have you hired any Professional Security organization to handle Security arrangements for this event? If YES, please list: Security Organization: Security Organization Address: Security Director (Name): Phone: 5 Monitoring Alcohol Consumption Please describe your producers for monitoring alcohol consumption: Organization must designate a person to ensure that alcohol is being served to persons 21 years of age or older. The designated alcohol server must also be 21 years of age or older. Name: Contact phone number the day of event: YES NO Have you hired any Professional Security organization to handle Security arrangements for this event? If YES, please list: Security Organization: Security Organization Address: Security Director (Name): Phone: 6 City of National City, California COUNCIL AGENDA STATEMENT Nt,,,,,41EETING DATE April 21, 2009 AGENDA ITEM NO. 28 ITEM TITLE Request to Use the Martin Luther King, Jr. Community Center by Mana San Diego for their Annual "Dia De La Mujer Latina Health Festival" on Saturday May 2, 2009. PREPARED BY Brenda Hodges Phone: (619) 336-4274 DEPARTMENT Community Services EXPLANATION Mana of San Diego is requesting use of the Martin Luther King, Jr. Community Center for their Dia De La Mujer Latina Health Festival on Saturday May 2, 2009 from 7:30am to 6:00pm. Approximately 600 participants are expected to attend throughout the day. Applicant has requested a fee waiver. Fees will amount to: Building Use Fee: $ 50.00 Kitchen: $ 105.00 Hall Fee: $ 1231.23 Custodial: $ 220.00 Total: $ 1606.23 Cleaning Deposit: $ 100.00 Kitchen Deposit: $ 60.00 Environmental Review N/A Financial Statement Approving the request for use will result in fees in the amount of $1606.23 plus $100 in refundable deposits. STAFF RECOMMENDATION Approve the Request for Use. BOARD / COMMISSION RECOMMENDATION N/A ATTACHMENTS ( Listed Below) Resolution No. 1. Application for use of the Martin Luther King, Jr. Community Center cAmF :..f cis• ICOftPORAT O City of National City Facility Use Application 140 E. 12th Street, Ste. B National City, CA 91950 (619)336-4290 Fax (619)336-4292 After hours dispatch: (619)336-4411 TO ALL APPLICANTS: It is strongly recommended that an applicant requesting use of City Facility attend The City Council meeting when the item is scheduled for consideration in order to answer any questions from The City Council Facility Requested: please circle Martin Luther King Jr. Building anger Music Hall Casa De Salud North Room South Room ntire Facility Date(s) of Use: 512log ne of Use: From: 7: 30 r„,, Day(s) of Use: SG il-irdatj To: ('p ; oo AM INCLUDE SET-UP & CLEAN UP TIME Type of Function/Activity:MAMA Baal ()levy bias 1)e LA. Is the event open to the public? eS. Mint n N e t4h TegfiVa4 Name & Address of Organization/Group: MAIPk clue San bic5 D.515 Ccunino t&titt 22 , Seidl 01 ,CIF e4 I°S' Non- profit organizatiorf Yes) No Anticipated Maximum Attendance: WO+ Will Admission be charged? NO. Amount $ Equipment Requested: 400 # of chairs _ Podium/Microphone �0 Tax 1D # 3g" C ° Percentage of National City Residents Will this be a Fund Raising E vent? # of banquet tables 1J0. Stage ( Plea. SC reIr 6Ve L**PLEASE ATTACH SEATING DIAGRAM** Use of Kitchen: / Yes _ No Use of Gas for Range and Oven: _ Yes ✓ No Is the Use of Alcohol Requested? No. Will other paid services be used (I. e, commercial caterer, DJ, Band, etc)? _ _ Yes No Name: le: Phone: Phone: How many times in the last twelve months have you requested to use a City Facility? It is expressly understood and agreed that the applicant assumes all risk for loss, damage, Liability, injury, cost or expense that may arise during or be caused in any way by such use or occupancy of the facilities of the City of National City and/or Community Services Department. The applicant further agrees that in considerations of being permitted the use of the facilities agreed to, they will save and hold harmless the said City of National City, its officers, agents, employees and volunteers from any loss, claims, and liability damages, and/or injuries to persons and property that in any way may be caused by applicant's use or occupancy. I, the undersigned, hereby certify to abide by the regulations governing said facility and agree to abide by all City of National City ordinances and facility rules and policies, and be representative of the user organizations. Further, I agree to be personally responsible for any damage/loss sustained by the ground, building, furniture or equipment or unusual clean up occurring through the occupancy of said facilities. Application recognizes and understands that use of the City's facility may create a possessory interest subject to property taxation and that applicant may be subject to the payment of property taxes levied on such interest. Applicant further agrees to pay any and all property taxes, if any assessed during the use of the City's facility pursuant to sections 107 and 107.6 of the revenue and taxation code against applicant's possessory interest in the City's facility. I CERTIFY THAT 1 HAVE RECEIVED A COPY OF THE RULES AND REGULATIONS FOR THE FACILITY REQUESTED, AND I AGREE FOR MY ORGANIZATION/ GROUP TO CONFORM TO ALL OF ITS PROVISION. HAVE YOUR COPY OF APPLICATION IN DATE COMPLITED: 7 3O/0 POSSESION DURING USE PRINT NAME: JS ul ` fatty.i Please type or print clearly with a Ballpoint pen. Complete SIGNATU application must be submitted and payment submitted in • advanced of the event. ADDRESS OF APPLICANT: SOS ICSD (61 C-Fr. P�-urrw: (46i ffl Ya acQo1 Carr, s=fr. 250 CITY, STATE, AND ZIP CODE: Sam D 144 .32.1.2.0 PHONE: DAY (6,1447-mq FAX NUMBER: met)514 3$sl f CONTACT PERSON ON THE DAY OF THE EVENT: L(OA a,(ln PIIONE: (o(ey qC7— trig- CELL: ( ) Community Services Staff Only - Rental Amount Received: Receipt Number: Deposit Amount: Deposit/ Key Returned: Check - Key issued: YES NO 3 CITY OF NATIONAL CITY PUBLIC PROPERTY USE HOLD HARMLESS AND INDEMNIFICATION AGREEMENT Person requesting use of City property, facilities or personnel are required to provide a minimum of $1,000,000 combined single limit insurance for bodily injury and property damage which include the city, its officials, agents and employees named as additional insured and to sign the hold harmless agreement. Certificate of Insurance must be attached to this permit. Organization: Matka dG S441 iley Person in charge of activity: 'ru (A- S 6 OC Address: 7 l'` 1'1 Telephone: 0'6---.(94i 61 j City Facilities and/ or property requeste Date(s) of use: 5(a fo 9 d: S&a'(i-{- S'q z� E-Mail: .sd%1x$u-Q,0 c .6YS th,L 6ne_. /M=ritLc /71-/ HOLD HARMLESS AGREEMENT As a condition of the issuance of a temporary use permit to conduct its activities On public or private property, the undersigned hereby agree(s) to defend, indemnify and hold harmless the City of National City and its officers, employees and agents from and against any and all claims, demands, costs, losses, liability or damages for any personal injury, death, or property damage, or both, or any litigation and other liability, including attorneys fees and the costs of litigation, arising out or related to the use of public property or the activity taken under the permit by the permit or its agents, employees or contractors. _// Sig : turc of aps i cant Official Time Certificate of Insurance Approved by Name and Title Safety/ Security Please describe your procedures for crowd control and internal security: 2 will be u_ ink -I: hQ- La-t ti►o Poke Asso_ckth'oh C -fie NOS o11R0 s fVlcn s Pie co v at [-tome. to ro►j Co 01 ct.Not i nteir YES NO I-Iave you hired any Professional Security organization to handle Security arrangements for this event? If YES, please list: Security Organization: Security Organization Address: Security Director (Name): Phone: 5 Monitoring Alcohol Consumption Please describe your producers for monitoring alcohol consumption: N/A Organization must designate a person to ensure that alcohol is being served to persons 21 years of age or older. The designated alcohol server must also be 21 years of age or older. Name: Contact phone number the day of event: YES NO llave you hired any Professional Security organization to handle Security arrangements for this event? If YES, please list: Security Organization: Security Organization Address: Security Director (Name): Phone: _ 6 Public Works Police Department Community Services Building and Safety Risk Management Finance Department Fire Department Engineering Planning For Office Use Only Department Date Yes No Condition(s) of Approval Initial Specific Conditions of Approval: 7 HAMILTON BREWART INS AGCY LLC/PHS PO BOX 33015 SAN ANTONIO TX, 78265 CITY OF NATIONAL CITY 140 E 12TH ST STE B NATIONAL CITY, CA 91950 ACORD 25-S (7/97) ACORD. CERTIFICATE OF LIABILITY INSURANCE PRODUCER THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS CERTIFICATE DOES NOT AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. HAMILTON BREWART INS AGCY LLC/PHS 185803 P:(866)467-8730 F:(877)905-0457 PO BOX 33015 SAN ANTONIO TX 78265 INSURED SAN DIEGO MANA PO BOX 81364 SAN DIEGO CA 92138 INSURERE. COVERAGES SSM P1 DC DATE 03-30-2009 INSURERS AFFORDING COVERAGE NsuRERA Hartford Casualty Ins Co INSURER B: INSURER C. INSURER D: THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED. NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH POLICIES. AGGREGATE LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. INSR POLICY EFFECTN£ LTR TYPE OF INSURANCE POLICY NUMBER DATE IMM/DO/YY1 GENERAL LIABILITY A _ COMMERCIAL GENERAL LIABILITY CLAIMS MADE X OCCUR A X General Liab GEN'L AGGREGATE LIMIT APPLIES PER I POLICY I -I JECT 1 X LOC AUTOMOBILE LIABILITY ANY AUTO ALL OWNED AUTOS SCHEDULED AUTOS X HIRED AUTOS X NON -OWNED AUTOS 72 SBA AF7273 72 SBA AF7273 01/29/09 01/29/09 POLICY EXPIRATION DATE (MM/DD/YY) 01/29/10 01/29/10 LIMITS EACH OCCURRENCE $1, 000, 000 $1,000,000 $10,000 $1,000, 000 GENERAL AGGREGATE $2 L0 0 0, 0 0 0 PRODUCTS - COMP/OP AGG $2 000,000 FIRE DAMAGE (Any one fire) MED EXP (Any one person) PERSONAL & ADV INJURY COMBINED SINGLE LIMIT (Ea accident) BODILY INJURY !Per person) $1,000,000 BODILY INJURY IPer accident) PROPERTY DAMAGE (Per accident) GARAGE LIABILITY ANY AUTO EXCESS LIABILITY OCCUR - - CLAIMS MADE DEDUCTIBLE RETENTION S WORKERS COMPENSATION AND EMPLOYERS' LIABILITY OTHER DESCRIPTION OF OPERATIONS/LOCA TIONSNEHICLES/EXCLUS/ONS ADDED BY ENDORSEMENT/SPECIAL PROVISIONS AUTO ONLY - EA ACCIDENT OTHER THAN AUTO ONLY: EACH OCCURRENCE EA ACC AGG AGGREGATE $ WC STATU- TORY LIMITS OTH- ER E.L. EACH ACCIDENT E.L. DISEASE EA EMPLOYEE E.L. DISEASE - POLICY LIMIT $ Those usual to the Insured's Operations. City of National City is named Additional Insured per the Business Liability coverage form SS 00 08, attached to the policy. CERTIFICATE HOLDER IX 1 ADDITIONAL INSURED; INSURER LETTER: _A CITY OF NATIONAL CITY 140 E 12TH ST STE B NATIONAL CITY, CA 91950 CANCELLATION SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF, THE ISSUING INSURER WILL ENDEAVOR TO MAIL 30 DAYS WRITTEN NOTICE 110 DAYS FOR NON-PAYMENT) TO THE CERTIFICATE HOLDER NAMED TO THE LEFT, BUT FAILURE TO DO SO SHALL IMPOSE NO OBLIGATION OR LIABILITY OF ANY KIND UPON THE INSURER, ITS AGENTS OR REPRESENTATIVES. EPRESENTATIVE 1-0 ACORD 25-S (7/97) ACORD CORPORATION 1988 City of National City, California COUNCIL AGENDA STATEMENT `,IEETING DATE April 21, 2009 AGENDA ITEM NO. 29 ITEM TITLE Request to Use the Martin Luther King, Jr. Community Center by South Bay Community Services for their "Foster Care and Families as Partners Conference" on Tuesday May 19, 2009. PREPARED BY DEPARTMENT Brenda Hodges �� Community Services Phone: (619) 336-4274 EXPLANATION South Bay Community Services is requesting use of the Martin Luther King, Jr. Community Center North room for their Foster Care and Families as Partners Conference" on Tuesday May 19, 2009 from 7:00am to 5:00pm. Approximately 250 participants are expected to attend. The applicant verbally requested a fee waiver, but did not submit required documentation. Fees Amount to: Building Use Fee: $ 50.00 Hall Fee: $ 879.50 Custodial: $ 132.00 Total $ 1061.50 Cleaning Deposit: $ 100.00 Environmental Review 4 N/A Financial Statement Approving the request for use will result in fees in the amount of $1061.50 plus $100 in refundable deposits. STAFF RECOMMENDATION Approve the Request for Use. BOARD / COMMISSION RECOMMENDATION N/A ATTACHMENTS ( Listed Below) Resolution No. 7 1. Application for use of the Martin Luther King, Jr. Community Center 400 tiTED t4.1kT:1. City of National City Facility Use Application 140 E. 12`t' Street, Ste. B National City, CA 91950 (619)336-4290 Fax (619)336-4292 After hours dispatch: (619)336-4411 TO ALL APPLICANTS: It is strongly recommended that an applicant requesting use of City Facility attend The City Council meeting when the item is scheduled for consideration in order to answer any questions from The City Council Facility Requested: please circle Luther King Jr. Buildin Granger Music Hall (-North Room South Room Entire Facility Casa De Salud Date(s) of Use: -I9-o7 Day(s) of Use: me of Use: From: 1 • PM To: S AM u INCLUDE SET-UP & CLEAN UP TIME Type of Function/Activity: Cott .tv: pea 2 o,^+6 Is the event open to the public? yFS - CetMML,, r� 6 s n - CA2€ "9/vo Fay► «t (S p44- Tf\/t - S Name & Address of Organization/Group: Co,.777€ hj c„,42.47wv, �tvje� - I /Z') 1�Gt�A. 5TF, L G1747'e./fi "si G} 9' f lI Non- profit organization(Yes No Tax ID # Anticipated Maximum Attendance: Z so Percentage of National City Residents ' f o SI) c"° Will Admission be charged? An) Amount $ Will this be a Fund Raising E vent? /1/ o C IJ4.,-"_s fov, t 9-e H- /trArlo Equipment Requested: Z # of chairs 5 ¢f,'qus # of banquet tables 9 es Stage 4/C Alf,) "'"4- Mi:o A4.%' A4 T7uNvr1 9C-5 Podium/Microphone Use of Kitchen: Yes No Is the Use of Alcohol Requested? /V0 Will other paid services be used (I. e, commercial caterer, DJ, Band, etc)? Phone: Name: ne: rJlA Phone: New j�9Bt CS Art- Mr" 7'�r Ati Ea )S Tv+-)n..- Yes X No eyr¢ u:). **PLEASE ATTACH SEATING DIAGRAM** Use of Gas for Range and Oven: Yes x No How many times in the last twelve months have you requested to use a City Facility? 0 It is expressly understood and agreed that the applicant assumes all risk for loss, damage, Liability, injury, cost or expense that may arise during or he caused in any way by such use or occupancy of the facilities of the City of National City and/or Community Services Department. The applicant further agrees that in considerations of being permitted the use of the facilities agreed to, they will save and hold harmless the said City of National City, its officers, agents, employees and volunteers from any loss, claims, and liability damages, and/or injuries to persons and property that in any way may he caused by applicant's use or occupancy. I, the undersigned, hereby certify to abide by the regulations governing said facility and agree to abide by all City of National City ordinances and facility rules and policies, and be representative of the user organizations. Further, 1 agree to be personally responsible for any damage/loss sustained by the ground, building, furniture or equipment or unusual clean up occurring through the occupancy of said facilities. Application recognizes and understands that use of the City's facility may create a possessory interest subject to property taxation and that applicant may be subject to the payment of property taxes levied on such interest. Applicant further agrees to pay any and all property taxes, if any assessed during the use of the City's facility pursuant to sections 107 and 107.6 of the revenue and taxation code against applicant's possessory interest in the City's facility. I CERTIFY THAT I HAVE RECEIVED A COPY OF TIIE RULES AND REGULATIONS FOR THE FACILITY REQUESTED, AND I AGREE FOR MY ORGANIZATION/ GROUP TO CONFORM TO ALL OF ITS PROVISION. DATE COMPLITED: '-.219-69 PRINT NAME: Ifetewi 6 %j i2 " . SIGNATURE: ADDRESS OF APPLICANT: SCCS r 1 / P,,a' 6't v•. S' 6 CITY, STATE, AND ZIP CODE: W-i/'lit4- !/rs a/j I IJ PHONE: DAY C' l- 474'J 20 FAX NUMBER: &/. 4 o 'S9r7 Xt6F CONTACT PERSON ON THE DAY OF THE EVENT: V -*IL,6/0om HAVE YOUR COPY OF APPLICATION IN POSSESION DURING USE Please type or print clearly with a Ballpoint pen. Complete application must be submitted and payment submitted in advanced of the event. PHONE: 0c1) � - �6)-a ,(" rfJ CELL: '11.6 r 4 9Gc� Community Services Staff Only - Rental Amount Received: _ Receipt Number: Deposit Amount: Deposit/ Key Returned: _ Check Key issued: YES NO 3 CITY OF NATIONAL CITY PUBLIC PROPERTY USE HOLD HARMLESS AND INDEMNIFICATION AGREEMENT Person requesting use of City property, facilities or personnel are required to provide a minimum of $1,000,000 combined single limit insurance for bodily injury and property damage which include the city, its officials, agents and employees named as additional insured and to sign the hold harmless agreement. Certificate of Insurance must be attached to this permit. Organization: S`'v comp-' `" ")l -73 S-,,vice S Person in charge of activity: JL7Z6 ) o P-©s .' 'vo V,91- YZ / 3 12-0n! Address: %/ bGvP. Ste- Ch4�� ���, Telephone: - 2 " 3e)o E-Mail: (/b/ew 62) City Facilities and/ or property requested: /4°', " Gc—'77 t- je . e6wAyt- Date(s) of use: C-0-67 HOLD HARMLESS AGREEMENT As a condition of the issuance of a temporary use permit to conduct its activities On public or private property, the undersigned hereby agree(s) to defend, indemnify and hold harmless the City of National City and its officers, employees and agents from and against any and all claims, demands, costs, losses, liability or damages for any personal injury, death, or property damage, or both, or any litigation and other liability, including attorneys fees and the costs of litigation, arising out or related to the use of public property or the activity taken under the permit by the permit or its agents, employees or contractors. Signature of applicant be 4 rm&yr f!(titz7 Official Time Date Certificate of Insurance Approved by Name and Title 4 Safety/ Security Please describe your procedures for crowd control and internal security: 7%F C-2 tf -r /7f"-'6 /'thy / $ / wog /6- Pik.' 6 f 2th'�7S ,rv'rts Of „kw, GEC / '�6 / T�F -t �7C-7/��• /1/c> • [fit v!`/71—`114 V e/I SO+/%771 fS/n7 car-, 501-CDc//%`i '' --? 075L/3 >Cz i//c f/'/ 43 F Q�`S,�J YES 5e NO Have you hired any Professional Security organization to handle Security arrangements for this event? If YES, please list: Security Organization: Security Organization Address: Security Director (Name): Phone: 5 Monitoring Alcohol Consumption Please describe your producers for monitoring alcohol consumption: cOh6 i ►/L-1)4 Organization must designate a person to ensure that alcohol is being served to persons 21 years of age or older. The designated alcohol server must also be 21 years of age or older. Name: �A Contact phone number the ay of event: YES _ NO Have you hired any Professional Security organization to handle Security arrangements for this event? If YES, please list: Security Organization: Security Organization Address: Security Director (Name): Phone: 6 Public Works Police Department Fire Department Community Services _ Building and Safety Engineering Risk Management Finance Department _ Planning For Office Use Only Department Date Yes No Condition(s) of Approval Initial Specific Conditions of Approval: 7 ACORD. CERTIFICATE OF LIABILITY INSURANCE OP ID AW SOUT-17 DATE (MM/00/YYYY) 03/17/09 PRODUCER Teague Insurance Agency, Inc. License #0525512 4700 Spring St., 4th Floor La Mesa CA 91941 Phone:619-464-6851 Fax:619-464-1901 INSURED South Bay Community Services, Inc. 1124 Bay Blvd., Suite D Chula Vista CA 91911 THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS CERTIFICATE DOES NOT AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. INSURERS AFFORDING COVERAGE INSURER A Philadolphia Indemn ty ins. INSURER B INSURER C INSURER O. -- -- - --- --- - - - - - INSURER E —� ----. ..-� --- -- --- COVERAGES THE POI ANY REQUIREMF MAY PERTAIN. POLICIES INS LTR !NSR K:IES AGGREGATE .-- DI INSURANCE LGTED BELOW HAVE NT. TERM OR CONDIIION OF ANY THE INSURANCE AFF(X20E0 BY IHE l IMITS SHOWN MAY HAVE BEEN ISSUED TO THE INSURED NAMED CONTRACT OR OTHER DOCUMENT WITH POLICIES OESCRHED HEREIN TS SUBJFC BEEN REDUCED HY PAID CLAIMS --- - -- - - - --- POLICY NUMBER ABOVE FOR THE POLICY RESPECT TO WHICH I TO ALL THE TERMS. -PoucY ERE -ME DATE (MM/D PERIOD INDICATED THIS CERTIFICATE MAY EXCLUSIONS AND vOITCYTRPIRA1iDN DATE (MM/DDYY) NOTWITHSTANDING BE ISSUED OR CG DITIONS OF SUCH . — - _ --- TYPE OF INSURANCE LIMITS GENERAL LIABILITY EACH OCCURRENCE S1,000,000 X COMMFRCLALGI_NERALI.IABILITY PHPK328531 07/08/08 07/08/09 EfAMAA EN TED PREMISES c nce) $100,000 JCLAIMS MADE I " J OCCUR MED EXP (Any one person) s5,000 PERSONAL F. ADV INJURY 51,000,000 GENERAL AGGREGATE $3 , 000 , 000 GEN'L AGGREGATE LIMIT APPLIES PER _ ... PRODUCTS - COMP/OP AGG S 3,000,000 X` POLICY I 1 -- l J JECT 100 - - -- -. -..—.- ----. AUTTOMOBILE LIABILITY ANY AUTO PHPK328531 07/08/08 07/08/09 COMBIA SNGLEIMIT (Ea acadent) $1,000,000 ALL OWNED AUTOS BODILY INJURY -- -b..- X SCHEDUIEDAUTOS (Per person) X _ IiIRED AUTOS BODILY INJURY $ X NON -OWNED AUTOS (Per accident) PROPERTY DAMAGE (Pa acadent) S GARAGE LIABILITY AUTO ONLY - EA ACCIDENT S - ANY AUTO OTHER THAN EA ACC S AUTO ONLY' AGG S EXCESS/UMBRELLA LIABILITY EACH OCCURRENCE S 1 OCCUR 1CLAIMS MADE AGGREGATE S RETENTION S $ WORKERS COMPENSATION AND EMPLOYERS' LIABILITY _ JTORYS IM S1_ 1°ER_ _ _ ____ S ANY PROPRIETOR/PARTNER/EXECUTNE E.L. EACH ACCIDENT OFFICER/MEMBER EXCLUDED", E L. DISEASE - EA EMPLOYEE S IL yes. descnbe under SPECIAL PROVISIONS below E.L DISEASE - POLICY LIMIT S OTHER DESCRIPTION OF OPERATIONS 1 LOCATIONS / VEHICLES / EXCLUSIONS ADDED BY ENDORSEMENT 1 SPECIAL PROVISIONS The Certificate Holder is added as Additional Insured for General Liability Coverage but only as their interest may appear with respect to the operations of the Named Insured CERTIFICATE HOLDER CANCELLATION City of National City Community Development Commission of National City 140 E. 12th Street, #B National City CA 91950 SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF, THE ISSUING INSURER WILL ENDEAVOR TO MAIL 30 DAYS WRITTEN NOTICE TO THE CERTIFICATE HOLDER NAMED TO THE LEFT, BUT FAILURE TO DO SO SHALL IMPOSE NO OBLIGATION OR LIABIUTY OF ANY KIND UPON THE INSURER, /TS AGENTS 0R REPRESENTATIVES. A�U''�FR%�OR12ED REPR��E�$�EP�ATIVE (,?V4 ct' L 4?C?"-j ACORD 25 (2001108) © ACORD CORPORATION 1988 Stage MLK North Room 25 Round Tables / 10 chairs per table 2 additional 6-8' tables/registration in hallway/4 chairs each a) 1-0 ct srD 00 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 6'-8' Table 6'-8' Table 6'-8' Table 6' - 8' Table City of National City, California COUNCIL AGENDA STATEMENT IEETING DATE April 21, 2009 AGENDA ITEM NO. 30 ITEM TITLE Request to Use the Martin Luther King, Jr. Community Center by the Americn\ Lung Association for their Community Forum on Smoke Free Apartments on Friday May 29, 2009. PREPARED BY Kaseem Baker Phone: (619) 336-4274 DEPARTMENT Community Services EXPLANATION The American Lung Association is requesting a waiver of fees and use of the Martin Luther King, Jr. Community Center for their Community Forum on Smoke Free Apartments on Friday May 29, 2009 from 5pm to 9pm. Approximately 70 guests will be attending. Cost: Building Use Fee: $ 50.00 Hall Fee: $ 469.04 Custodial: $ 44.00 Total $ 563.04 Cleaning Deposit: $ 100.00 This request is consistent with City Council Policy #803 which governs the use of the center. Environmental Review j N/A Approved By: Financial Statement Finance Director Approving the request for use will result in fees in the amount of $563.04 plus $100 in refundable deposits. Account No. STAFF RECOMMENDATION Approve the request for use. BOARD / COMMISSION RECOMMENDATION N/A ATTACHMENTS ( Listed Below) Resolution No. 1. Application for use of the Martin Luther King, Jr. Community Center 2. Letter to the Director of Community Services 3. Certificate of Insurance A-200 (9/99) UY/ UJ/ LUUJ 1L. JJ U1 JLJ. UYUL 10/28/2008 TUE 14107 FAX ®003l01.2 City of National City Facility Use Application 140 E. 12s' Street, Ste. A National City; CA 91950 (619) 336-4290 Fax (619) 336-4292 After hours dispatch: (619) 336-4411 TO ALL APPLICANTS: it is strongly recommended that an applicant requesting use of a City Facility attend the City Council meeting when the item is scheduled for consideration in order to answer any questions from the City Council • Facility Requested: please circle . Marlin Luther IGng Jr. Building Kimball Senior Center Casa De Salud North Room South Room Entire Facility Date(s) of Use: 5/ 2 9/ 2 0 0 9 Time of Use: From: 5 : 0 0 Day(s) of Use: 1 day To: 9 : 0 0 AM Qy INCLUDE SET-UP &CLEAN-UP TIME Type of Function/Activrty: Community Forum Is the event open to the public? Yes Name & Address of Organization/Group: American Lung Association in CA, 2750 4th Avenue„ San Diego, CA 92103 Non-profit organization: O no Tax ID # 94 - 0 3 6 2 6 5 0 Anticipated Max rnum Attendance: 70 Percentage of National CitY Residents 10 0% Wi►r Admission be charged? No Amount $ Will this be a Fund Raising Event? No Equipment Requested: 8 0 # of chairs 15 # of banquet tables Stage Yes Podium/Microphone Use of IGtchen; X Yes No Is the Use of Alcohol Requested? No Use of Gas for Range and Oven: Yes X No Will other paid services be used (Le., commercial caterer, D], Band, etc)? YES X NO Name: Phone: Name: Phone: 2 10/28/2008 TUE 14:0, PAX oo4/oil How many times in the last twelve months have you requested to use a City Facility? 1 It is expressly understood and agreed that the applicant assumes all risks for loss, damage, liability, injury, cost or expense that may arise during or be caused in any way by such use or occupancy of the facilities of the City of National City and/or Community Services Department. The applicant further agrees that in consideration of being permitted the use of the facilities agreed to, they will save and hold harmless the said City of National City, Its officers, agents, employees and volunteers from any loss, claims, and liability damages, and/or Injuries to persons and property that in any way may be caused by applicant's use or occupancy. I, the undersigned, hereby certify to abide by the regulations governing said facility and agree to abide by all City of National City ordinances and facility rules and policies, and be representative of the user organization. Further, }< agree to be personally responsible for any damage/loss sustained by the.grounds, building, furniture or equipment or unusual dean up occurring through the occupancy of sald facilities. Applicant recognizes and understands that use of the City's facility may create a possessory interest subject to property taxation and that Applicant may be subject to the payment of property taxes levied on such interest, Applicant further agrees to pay any and all property taxes, if any assessed during the use of the City's fadiity pursuant to Sections 107 and 107.6 of the Revenue and Taxation Code against Applicant's possessory interest in the City's facility. • I CERTIFY THAT I HAVE RECEIVED A COPY OF THE RULES AND REGULATIONS FOR THE FACILITY REQUESTED: AND I AGREE FOR MY ORGANIZATION/GROUP't'O CONFORM TO ALL OF ITS PROVISIONS, DATE COMPLETED:' 4/ 3/ 2 009 PRINTNAME: Ofelia Alvarado SIGNATURE: ADDRESS OF APPLICANT: 2750 4th Street Crn', STATE, and ZIP CODE: San Diego, CA 92103 PHONE: DAY619-683-7520EVENING 619-540-0544 EMAIL: oalvarado@alac . orq FAX NUMBER: 619.2 9 7 - 84 02 CONTACT" PERSON ON THE DAY OF THE EVENT: Ofelia Alvarado HOME PHONE: (619)226-2674 --CELL: (619) 540-05&A__ Please type or print clearly with a ballpoint pen. Complete appilultion Must be submitted and payment submitted in advance of the event. Community Services Staff Only - Rental Amount Received: Receipt Number: peposit Amount: Deposit/Key Returned: Check Key Issued: YES NO 3 UV/ UJ/LUUJ 1G.J.J U1 JLJ(UYUG 10/28/2008 TUE 14+07 FAX HI'ILI\1,.rf1IY LVI1\4 HJJI1 W005/012 CITY OF NATIONAL 'CITY P.UBLIC PROPERTY USE HOLD HARMLESS AND XNDEMNXE CATION AGREEMENT Persons requesting use of City property, facilities or personnel are required to provide a minimum of $1,000,000 combined single limit insurance for bodily.injury and property damage which include the city, its offidals, agerrts and employees named as additional Insured and to sign'the Hold Harmless Agteement. Certificate of Insurance must be attached to this permit. Organization: American Lung Association in CA Person in charge of activity: Ofelia Alvarado Address:.2750 4th Avenue, San Diego, CA 92103 Telephone: 619-683-7520 -Mail: •oalvarado@alac.org City Facilities and/or property requested:Martin Luther King, Jr (entire facility) Date(s) of use: 5/ 2 9/.2 0 0 9 ._ HOLD HARMLESS AGREEMENT • As a condition of the issuance of a temporary use permit to conduct its activities on public or private property, the undersigned hereby agree(s) to defend, indemnify and hold harmless the City of National City and Its officers, employees and agents from and against any and all claims, demands, costs, losses, liability or•damages for any personal ihjury, death or property damage, or both, or any litigation and other liability, including attbmeys fees and the costs of•lttigation, arising out of or related to the use of public property or to the activity taken under the permit by the permitee or its agents, employees or contractors. • gnature of Applicant Official Time Date Certificate of Insurance Approved by Name and Title 4 V 1 J L J I U Y V L 10/28/2008 TUE 14:07 FAx I"11'ILI \ 1 VHI 1 LlJ1 l\.1 Y'IJJ1 1 Woos/ 4)12 Safety/ Security Please describe your procedures for crowd control and internal security: • Staff from the American Lung Association will be present at all Oimes to oversee the logistics of the training.. We are requesting everyone pre -register to know who the attendees are and to limit attendance to the number stated on this application. Childcare will be offered to oversee children's behavior and whereabouts while in the facility. YES x NO Have you hired any Professional Security organization to handle . securityarrangements for this event? If YES, please list: Security Organization: Security Organization Address: Security Director (Name): Phone: 5 10/28/2008 TuE 14:D7 PAX Z001/012 Monitoring Alcohol Consumption Please describe your procedures for monitoring alcohol consumption: No alcohol will be served at this event. Organization must designate a person to ensure that alcohol Is. being served to persons 21 years of age or older. The designated alcohol server must also be 21 years of age or older. Name: _ Contact phone number the day of event: YES x NO Have you hired any Professional Security organization to handle security arrangements* for this event? If YES, please list: Security Organization: Security Organization Address: Security Director (Name): _ Phone: 6 lJJ/ LIJVJ 1L. Jam/ IJ1JLJ II_/�vL 10/28/2008 TUE 14t 08 FA71 Public Works — Police Department Fire Department Community Services Building and Safety Vngineering Risk Management Finance Department _ Planning ®o0e/oil Department _ Date Yes No Conditions) of Approval - Initial Specific Conditions of Approval: 7 Noire 04/ 14/'Lbby 11 : Lb blyL'3fti4t7L AMtKlUON LUNLa f b iN r'Plat t7L/ 1�L 2750 Fourth Avenue Diego, CA 92103 '44113419.297.3901 f: 619.297,8402 Cal. I.800.LUNG.USA (800.5 B6.4872) to reach your nearest American Lung Association or to speak with a health professional at our free HelpLine. www.CallfornIaLung.org STATE HEADQUARTERS 424 Pendleton Way Oakland, CA 94621 p: 510.638.5864 f. 51 0.638.8984 contact@CaliforniaLung.org Federal Tax IO # 94.0362650 The American Lung Association's mission is to prevent lung disease \loi 1 promote lung health. nproving Life, `One Breath at a lime April 14, 2009 Brenda Hodges 140 E. 12th Street, Ste. A National City, CA 91950 Dear Ms, Hodges. AMERICAN LUNG ASSOCIATION® of California The American Lung Association is requesting a waiver of fees for the use of the North and South Room of the Martine Luther King Jr. Building on May 29, 2009 (5:00-9:00). The purpose for the use of the facility is to conduct a Community Forum on Smokefree Apartments for National City residents and City Council Members to learn about the problem, and discuss solutions facing the community with this issue. Other community organizations will also be in attendance, such as the National City Asthma Project, Environmentai Health Coalition, American Cancer Society, and several others. Apartment residents and property owners and/or managers will be invited to attend, The forum will be conducted in English with Spanish translation provided, serve free food, and offer free childcare. I hope you will consider this request as providing a much needed service to the community. The forum is offering a venue for the community to come together to learn and resolve an issue that is affecting the health and well being of those affected by secondhand smoke drifting from one apartment into another including children, the disabled, and seniors. Sincerely, AniC2 Ofelia Alvarado Policy Manager 04/ U3/ 2110y 12: 35 bi J2`I lti4I72 04/09/2009 13:05 5168295857 HI' ItK1l.HIY LUIVU SCS AGENCY ACORA. CERTIFICATE OF LIABILITY INSURANCE PRODUCER ScS Agency, Inc. P.O. Box 220493 11 Grace Avenue - Suite 300 (2rext Nyack NY 11022-0493 PxTona:516--466-6007 Pax:S16-829-SW INSURED ALA 01 California 424 Pendelton Way Oakland CA 94621 COVERAGES rHuc ricr rio PAGE 02 DAT5 INIMI,7D/YYYY) `.oLE 04./09109 THIS CERTIFICATE IS issuer) AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS CERTIFICATE DOES NOT AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POUCIES BELOW. INSURERS AKFORDINO COVERAGE INSURER A' vitiladtii9bla Taauraxe. Coe ptitd' INSURER B' NAIC /a 18058 INSURER C: INSURER D; 1NSURSR THE FO1ICItI9 OF INSURANCE USTEO BELOW NAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED. NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT Wm RESPECT TO WHICH THIS CEYTIFICATE MAY se ISSUED 0R MAY PERTAIN, TOD INSURANCE AFFORDED BY TN! POUCIES DESCRIBED ARC.I'I 19 SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH DOLICtE6. AGGREGATE LIM►Tn 9NOWN MAY HAVE BEEN REWORD BY PAID CLAIMS. RTR TYPE OF rt1gURAl�b6 POLICY NumieDa 46NF.RAL LtAINUTY X COM1J PCIAL GENERAL LIABILITY �L«J CLAIMS MOOS r 1 mem J GENL AGGRRUTE UNIT APPLIES PER POLICY Z IT n LOC AIUTOMOBILE UABIUTY ANT AUTO ALL OANED AUTOS ACHEDULED AUTOS 3T NIRM,AUTb9 X HON•OWNCD AVMs PRPX327188 PRP1C3 27188 BATE 07/01/Oa 07/01/09 1 07/01/09 07/01/09 LIMITS BACH OCCURRENCE PNRIANNES tectroncej :1r000,000 s 300 000 MED FXP Om Ono groan) s 15, 0 0 0 miaow.; AIN INJURY s 1, 000 000 GGNeRAL AGGREGATE 12,000,000 esouuGT8 • COMPIOP AGG COMBINED SINGLE LIMIT (EA ace ss411 s 1,_000 N 000 $1,000,000 NOISILY INJURY (Per!lwson) BODILY INJURY (Per eealdent) PROPERTY DAMAGE (Per laebenl) 3 GARAGE UABIUTY 1 ANY AUTO EXCF SMINIP0.LA UA8►LITY OCCUR 0 CLAIMS MADE DGOULTIBLE 7C RETENn0N 310,000 naant.Mts EOWEI494TnON AND EIMPLOYHR3'UAE UTY ANY pTIOPRIEVL/MPARTNe1VEXECUTNE OFFICEIUMIMBBQQR EXCLUDED'? S�IAL P V1S1ON S below OTHER PRU8244463 07/ol./02 07/01/09 AUTO ONLY • EA ACCIoeNT OTNER THAN AUTO ONLY; EA ACC AGO EACH OGCUARENOD ! S , 000,000 AGGFIEGATR $5J000,000 $ g s ORY LR/TITt� ER B.. EACH ACCIDENT S EL DISEASR • EA P APLOYP.E 5 LL DISEASE • POLICY Elsa. s DESCRIPTION oP OPERATIONS! LOCATIONS I VENICLBC r EXCLUSIONS AODEU BY gNcOAS1!MENT I SPECIAL PROvt9mosa RE! SMOKE i REN APARTMENTS COMMUNITY rORUM TO SE HOLD ON 5 / 7 9 / 0 9 CERTIFICATE HOLDER CANCELLATION MARTIN LIMNER x/X0, JR. (E T1n 9'ACILITY) 140 BAST STREET,STB A NATIONAL CITE CA 91950 ACORD 25 (2001/06) 'MAR.TX1r1. 5/fgt./LOAMY Or THE ABOVE DESCRIBT?b AOLIGt:3 BE CANCELLED Bfit0IR6 TNQ EXPIRATIOI o ^Tc T1411130F. THE ISSUING INSURER WI6.4 aN isekvoR TO MAM1 30 TMY$ WRRTRN N OTICE TD THE CCr:fXICATE HOLDER NAMED TO Y1412Lcrr, OUT FAILURE To Oo so 914SLL IMPOSE NO OBLIGATION OR LIABILRY OF ANY KINtr ON TND INSURER, ITS AQENTS on REPRESENTATIVES, AVTHORIID REPRESENTATIVE Niue c0 ACORD CORPORATION TAT ,%,„.„cETING DATE City of National City, California COUNCIL AGENDA STATEMENT 4/21/09 AGENDA ITEM NO. 31 ITEM TITLE City of National City Comprehensive Annual Financial Report and the Single Audit Report on Federal Awards for the Fiscal Year Ended June 30, 2008 PREPARED BY Jeanette Ladrido, Finance Director EXPLANATION DEPARTMENT Finance x 4331 Transmitted herewith is the City of National City's Comprehensive Annual Financial Report and the Single Audit Report on Federal Awards for the fiscal year ended June 30, 2008 prepared by our external auditors, Mayer Hoffman McCann, P.C. The reports include all agencies under the control of the City Council including the Community Development Commission. The auditors have conducted their examination of the financial statements in accordance with generally accepted auditing standards and expressed a clean opinion of those statements. All financial reports are available on the City's website under the Finance Department. Copies may also be viewed in the City Clerk's office or the National City Public Library. Environmental Review X N/A Financial Statement N/A Account No. STAFF RECOMMENDATION Accept and File BOARD / COMMISSION RECOMMENDATION N/A I ATTACHMENTS ( Listed Below) Resolution No. 1. Comprehensive Annual Financial Report as of June 30, 2008 2. Single Audit Report on Federal Awards for year ended June 30, 2008 A-200 (9/80) CITY OF NATIONAL CITY Comprehensive Annual Financial Report For the Year Ended June 30, 2008 ("this page intentionally left blank) Norie CITY OF NA"IIONA1., CITY Comprehensive Annual Financial Report For the Year Ended June 30, 2008 Prepared by: Finance Department (This page intentionally left blank) vrof CITY OF NATIONAI, CITY Comprehensive Annual Financial Report For the Year Ended June 30. 2008 TABLE Oh CONTENTS INTROD[CTORY SECTION Letter of Transmittal Directory of City Officials FINANCIAL SECTION vii Independent Auditors' Report 1 Management's Discussion and Analysis 3 Basic Financial Statements: (ioverrunent-Wide Financial Statements: Statement of Net Assets I7 Statement of Activities 18 Fund Financial Statements: Governmental Fund Financial Statements: Balance Sheet 20 Reconciliation of the Governmental Funds Balance Sheet to the (Government -Wide Statement of Net Assets 22 Statement of Revenues, Expenditures and Changes in Fund Balances 24 Reconciliation of the Govern rental Funds Statement of Revenues, Expenditures and Changes in Fund Balances to the Government -Wide Statement of Activities 26 Proprietary Fund Financial Statements: Statement of Net Assets 7_7 Statement of Revenues, Expenses and Changes in Net Assets 28 Statement of Cash Flows 29 Fiduciary Fund Financial Statements: Statement of fiduciary Net Assets 30 Statement of Changes in Fiduciary Net Assets 31 Notes to the Basic Financial Statements 32 CITY OF NATIONAI , CITY Comprehensive Annual Financial Report For the Year Ended June 30. 2008 TABLE OF CONTENTS, (CONTINUED) Page Required Supplementary information: Notes to Required Supplementary Information 69 Budgetary Information Budgetary Comparison Schedule - General Fund 70 Budgetary Comparison Schedule -- Section 8 Housing Assistance Special Revenue Fund 71 Budgetary Comparison Schedule -- Other Special Revenue Fund 72 Budgetary Comparison Schedule - Nutrition Progrun Special Revenue Fund 73 Budgetary Comparison Schedule - Sewer Service Special Revenue Fund 74 Supplementary Intl)rmation: Non -Major Governmental Funds: Combining Balance Sheet Combined Statement of Revenues. Expenditures and Changes in Fund Balances Schedule of Revenues. Expenditures and Changes in Fund Balances -- Budget and Actual Internal Service Funds: Combining Statement of Net Assets Combining Statement of Revenues, Expenses and Changes in Net Assets Combining Statement of ('ash Flows 78 82 85-102 104 106 108 Fiduciary Funds: Combining Statement of Changes in Assets and Liabilities - Agency Funds 113 OTHER INFORMATION Net Assets by Component 116 Changes in Net Assets 118 Fund Balances of Governmental Funds 122 Changes in Fund Balances of Governmental Funds 124 Net Taxable Assessed Value History,' 126 Assessed Value of Taxable Property 127 CITY OF NA'l'IONAI. CITY Comprehensive Annual Financial Report For the Year Ended June 30, 2008 TABLE, OF CONTENTS, (CONTINUED) OTHER LCONTFNUEI)1 Direct & Overlapping Property 'Fax Rates Property Tax Dollar Breakdown 2007/08 Top Ten Property Taxpayers 1998/99 Top Ten Property Taxpayers Taxable Sales by Category Pledged Revenue Coverage City Overview - Planning Department Capital Assets by Function Paoe 128 129 130 131 132 133 134 139 CALIFORNIA «., ,,NrioNiAL, + ! !'' 1331 I ('or rmt AT V-0 March 31, 2009 To the Honorable Mayor, Members of the City Council And the Citizens of the City of National City: The Comprehensive Annual Financial Report of the City of National City for the fiscal year ended June 30, 2008 is hereby submitted in accordance with Title 2.16.100(N) of the National City Municipal Code and section 25253 of the Government Code of the State of California. The City is responsible for the accuracy, completeness. and fair presentation of this report. Under the direction of the City's Director of Finance our financial reports are prepared in accordance with Generally Accepted Accounting Principles (GAAP) as promulgated by the Governmental Accounting Standards Board (GASB). To the best of our knowledge and belief, the enclosed data are accurate in all material respects and are reported in a manner designed to present fairly the financial position and results of operations of the various Funds, account groups and component units of the City. It is believed that all disclosures necessary have been included in order to enable the reader to gain maximum understanding of the City's financial affairs as of June 30. 2008. As required by the City of National City Municipal Code, Title 2.16.100(N), the independent auditing firm Mayer Hoffman McCann, P.C. has reviewed the City's financial records and the internal control system. The goal of the independent audit was to provide reasonable assurance that the financial statements of the City of National City for the fiscal year ended June 30, 2008, are free of material misstatements. The audit firm of Mayer Hoffman McCann, P.C., has issued an unqualified opinion on the City of National City's financial statements for the year ended June 30, 2008. The independent auditor's report is located at the front of the financial section of this report. The Report is organized into three major sections: Introductory Section: This section includes a table of contents, this transmittal letter and a City organizational chart. Financial Section: Statistical Section: This section includes the independent auditors' report, the management discussion and analysis report, the basic financial statements and the notes to these financial statements, followed by supplemental information. This section contains both financial and non -financial trend data about the City and its operations. In addition to meeting the requirements set forth in the City's Municipal Code, the City is required to have a Single Audit performed by our independent audit firm. The Single Audit was designed to meet the needs of federal grantor agencies. The standards governing Single Audit engagements require the independent auditor to report not only on the fair presentation of the financial statements, but also on the City's internal controls and compliance with legal requirements, with special emphasis on internal controls and compliance with legal requirements involving the administration of federal awards. These reports are available in the City of National City's separately issued Single Audit Report. Generally Accepted Accounting Principles requires that management provide a narrative introduction, overview and analysis to accompany the basic financial statements in the form of a Management Discussion and Analysis (MD&A). This transmittal letter is designed to complement the MD&A and should be read in conjunction with it. The City of National City's MD& A is located in the Financial Section, following the independent auditor's report. GOVERNMENT The City of National City is located on the bay in San Diego County, bordered by the City of San Diego to the north, and the port of San Diego to the west. The nearly built -out city is home to a fairly constant population of about 61,115 residents over 9.2 square miles. The City of National City was incorporated September 17, 1887. It is a general law city and operates under the council-manager form of government. The City Council has five members who are elected at large for a term of four years. The citizens of National City also elect the City Treasurer and the City Clerk. The City Council is responsible for setting policies, passing ordinances, adopting the budget, appointing committees and appointing the City Manager. The City Manager is responsible for carrying out policies and ordinances of the City Council, appointing City Department heads and overseeing the day-to-day operations of the City. The City Manager also serves as executive director and secretary of the Community Development Commission of the City of National City and may delegate that authority. REPORTING ENTITY This report includes all funds of the City, as well as all of its component units. Component units are legally separate entities for which the City is financially accountable. Blended component units, although legally separate entities, are, in substance, part of the City's operations and are included in this CAFR as part of the City. Accordingly, the City of National City Joint Powers Financing Authority, the National City Parking Authority and the Community Development Commission of the City of National City are reported as part of the City. Discretely presented component units are reported in a separate column in the combined financial statements to emphasize that they are legally separate from the City and to differentiate their financial position, results of operations and cash flows from those of the City. ii BOARDS AND COMMISSIONS The City Council and City Manager are committed to the support of government programs that can expand the City's ability to reach -out to the community. The National City Neighborhood Councils were implemented in 2005 and has greatly enhanced the citizen interaction with the City Services. The following boards and commissions are available for the citizens of National City to participate on as advisors to the Mayor and City Council: • Building and Advisory and Appeals Board - acts in matters related to the Building Code. • Civil Service Commission - recommends hears appeals of any person in the classified service relative to any suspension, demotion or dismissal. • Community and Police Relations Commission a forum for citizens to voice their concerns about issues related to police -community relations. • Housing and Community Development Committee - members stay in touch with community attitudes, and identify the physical, social, and economic needs of National City. • Library Board of Trustees - acts in accordance with the Education Code; coordinates the activities of the City Library; advises the City Librarian on operational policies; approves warrants; and recommends to the City Council the adoption of rules and regulations. • Parks and Recreation Advisory Board - acts in matters of policy and administration of the city owned parks and the recreation programs operated in said parks. • Planning Commission recommends the adoption, amendment, or repeal of a master plan or any part thereof for the physical development of the City. • Public Art Committee - advises the City Council on public art projects meant to increase the aesthetic value of parks, public buildings, and new development. The committee also promotes the City's substantial historical and cultural assets throughout the county. • Senior Citizens Advisory Board - acts in an advisory capacity in matters pertaining to seniors. • Street Tree and Parkway Committee - reviews and makes recommendations relative to the planting, removal, or transplanting of trees upon public property. • Traffic Safety Committee - reviews and makes recommendations concerning the safety of traffic. iii FACTORS AFFECTING FINANCIAL CONDITION The City's largest revenue stream, Sales Tax, has experienced significant declines over the past years. In 2004, the sales tax revenue was over $16 million and now, in 2008, is a little under $12 million. With this shortage, the City has done its part in enhancing its revenues and containing costs. Through the years, the City has received grants totaling over $14 million, has enhanced the City's quality of life through investments in street resurfacing projects, safe routes to school projects, the Paradise Creek Educational Park as well as other community and cultural events. City staff has contained costs through savings in salaries, monitoring overall departmental and capital improvement program expenditures. In June 6, 2006, voters approved Proposition D (District Tax), a 1% increase in local sales tax, which is effective for 10 years. Implementation of the district tax began on October 1, 2006 and has generated a cumulative total of 14.5 million in additional sales tax revenue. The City has repaid the General Fund Reserve that had been used to restore those services which had been previously cut. In November 2008, the District Tax was challenged to be overturned through Proposition M. Through the vote, the district tax was not repealed and the tax will remain in effect until 2016. The District Tax has heen projected to generate approximately $7 to $9 million in revenues and is on target to continue at that rate. Several Council and Administrative actions were taken to assist in balancing the budget, attain fiscal sustainability, and provide for efficient and transparent government. An employee -driven committee was established to brainstorm ideas to reduce internal costs. The Cost Reduction and Revenue Efficiency (C.A.R.E.) Committee publishes quarterly newsletters to encourage voluntary participation in such endeavors. The Purchasing Review and Personnel Review Committees were established to affirm fiscal responsibility in purchasing and hiring practices. In 2006, the Community Development Commission was consolidated with other City departments and was re -organized to report to the City Manager. In 2008, a Housing and Grants Division was established to oversee and coordinate all grants within the City and the Planning and Building and Safety Departments were consolidated under a Neighborhood Services Department. These organizational changes were completed to better serve the community, enhance services and create efficiencies within the City structure. BUDGETARY CONTROLS The City maintains budgetary controls at the individual fund level. The objective of these budgetary controls is to ensure compliance with legal provisions embodied in the annual appropriated budget approved by the City Council. The budget includes estimated revenues and appropriations for the City's funds categorized into six fund types including one general fund, special revenue funds, debt service funds, capital projects funds, enterprise funds and all internal service funds are included in the annual appropriated budgets of the City. Using the City's automated accounting system, each City department's expenditures are restricted to the amount of that department's budgeted appropriations for the year at the object level. No department is allowed to spend more than its available appropriations. iv Changes in appropriations in excess of a department's total appropriation or fund balance or unrealized revenues must be approved by the City Council as a transfer from contingency reserve, transfer from another department, or as an appropriation of unanticipated or over - realized revenue identified to a specific source. (here is no "floor" in the level amount requiring approval. CASH MANAGEMENT POLICIES AND PRACTICES The investment operations of the City are under the direction of the City Finance Director. The City Treasurer and the Finance Director share investment policy review, operations and approval. On an annual basis, the City's investment policy is reviewed and approved by the City Council. The Finance Director and Financial Services Officer monitor cash balances daily and invest temporarily idle funds in accordance with the California Government Code and the City's Investment Policy. The City employs a pooled cash system for various City funds to maximize interest income. Investment earnings are distributed based on average cash balance. During Fiscal Year 2007-2008, the City invested funds in the State of California Local Agency Investment Fund, certificates of deposit, money market and federal agency bonds. RISK MANAGEMENT The City is self -insured for its general liability exposures up to $250,000 per occurrence and for its Workers' Compensation up to $500,000 per claim. As a member of the San D;ego Pooled Insurance Program Authority (SANDPIPA), the City is insured for general liability between $250,000 and $2 million. For general liability claims in excess of the pooled layer, the City purchases excess liability insurance through SANDPIPA with limits up to $37 million per occurrence. The City also obtains its first party, all-risk property insurance and crime bond/fidelity coverage through SANDPIPA. In addition, the City participates in the County Supervisors' Association of California Excess Insurance Authority (CSAC-EIA) which enables it to purchase excess Workers' Compensation coverage for its large and catastrophic claims. MAJOR ACCOMPLISHMENTS • Highland Avenue Streetscape Project - Construction was completed on Phase I, between 8th Street and 16th Street. • National City Boulevard Streetscape Project -- Construction was completed on Phase II, between 7th Street and 12th Street. The project included sidewalks, curbs, gutters, medians, decorative pedestrian ramps, electrical and landscape improvements. • National City Street Resurfacing Project - Slurry seal and resurfacing of various city streets totaling $8 million. The project included asphalt -rubber and aggregate membrance pavement, leveling course, concrete work and slurry seal resurfacing. v • Safe Routes to School Project - In general, the project included installation of reflective signage, flashing beacons, school crossing signs, in -roadway crosswalks, striping and pavement markings. • Paradise Creek Educational Park - Construction was completed and includes a view pavilion, walking paths, interpretive elements, and native landscaping. Design and implementation included a joint partnership with the community and Kimball School. • Paramedic Program - The City developed a plan to implement a paramedic program to improve pre -hospital medical care, which began on January 3, 2008. • Strategic Plan. - The City developed and adopted a Strategic Plan after holding three public workshops to facilitate public participation and receive community input. The Strategic Plan establishes goals and objectives to be achieved through the implementation of key plans, programs, and projects that were identified during the planning process. ACKNOWLEDGMENTS The preparation of this Comprehensive Financial Report could not have been accomplished without the professional and dedicated service of the staff of the Finance department and the assistance of the City's auditors, Mayer Hoffman McCann, P.C. We sincerely thank you for a job well done. In addition, we acknowledge and appreciate the continued support of the Mayor and members of the City Council in the commitment to fiscal integrity and financial leadership. Since Chris Zapat City Manager vi Jeanette Ladrido, CPA Director of Finance CALIFORNIA 1 1 N. L, ci' 1 y DIRECTORY OF CITY OFFICIALS City Council Ron Morrison Mayor Frank Parra Vice Mayor Fideles Ungab Council Member Louie Natividad Council Member Rosalie Zarate Council Member City Manager Chris Zapata City Treasurer George Hood City Clerk Michael R. Dalla Assistant City Manager Leslie Deese City Attorney George H. Eiser Community Development Commission Executive Director Brad Raulston Department Heads Minh Duong City Librarian Vacant Director of Community Development Kaseem Baker Director of Community Services (Acting) Maryam Babaki Director of Engineering Jeanette Ladrido, CPA Director of Finance Roderick Juniel Fire Chief Stacey Stevenson Director of Human Resources Roger G. Post Director of Planning Joe Smith Director of Public Works Dr. Adolfo Gonzales Police Chief rii (This page intentionally left blank) rcacrr>�a a s ®a a," scrizaarsa An Independent CPA F i, n 2301 Dupont Drive. Suite 200 Irvine, California 92612 949-474-2020 ph 949-263-5520 tx www.rnhni-pc.com To the I lonorable Mayor and Members of the City Council of the City of National City, California INDEPENDENT AUDITORS' REPORT We have audited the accompanying financial statements of the governmental activities, the business -type activities, each major fund, and the aggregate remaining fund information of the City of National City, California (City), as of and for the year ended June 30, 2008. which collectively comprise the City's basic financial statements, as listed in the table of contents. These financial statements are the responsibility of the City's management. Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States. 'Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinion. in our opinion, the financial statements referred to above present fairly, in all material respects. the respective financial position of the governmental activities, the business -type activities. each major fund, and the aggregate remaining fund information of the City as of June 30, 2008. and the respective changes in financial position and cash flows, where applicable, thereof for the year then ended in conformity with accounting principles generally accepted in the United States of America. The information identified in the accompanying table of contents as management's discussion and analysis. and required supplementary information are not a required part of the basic financial statements but are supplementary information required by accounting principles generally accepted in the United States of America. We have applied certain limited procedures. which consisted principally of inquiries of management regarding the methods of measurement and presentation of the supplementary_ information. However, we did not audit the information and express no opinion on it. Our audit was conducted for the purpose of forming an opinion on the financial statements that collectively comprise the City's basic financial statements. The introductory section. combining, financial statements, individual nonmajor budgetary comparison schedules and other information are presented for purposes of additional analysis and are not a required part of the basic financial statements. The combining financial statements and individual nonmajor fund budgetary comparison schedules have been subjected to the auditing procedures applied in the audit of the basic financial statements and, in our opinion, are fairly stated in all material respects in relation to the basic financial statements taken as a whole. The introductory section and other information have not been subjected to the auditing 1 To the Honorable Mayor and Members of the City Council of the City of National City, Califi>rnia Page Two procedures applied in the audit of the basic financial statements and, accordingly, we express no opinion on them. In accordance with Government Auditing Standards, we have also issued a report dated March 31, 2009 on our consideration of the City's internal control over financial reporting and on our tests of its compliance \with certain provisions of laws. regulations, contracts, grant agreements, and other matters. The purpose of that report is to describe the scope of our testing of internal control over financial reporting and compliance and the results of that testing, and not to provide an opinion on the internal control over financial reporting or en compliance. That report is an integral part of an audit performed in accordance with Government Auditing Standards and should be considered in assessing the results of our audit. �� igf�frra �i%Ic /4-e . Irvine. California March 31, 2009 2 •- CAkIFORNIA I A` IONALCET V. ! J J ,\s managcntent of the City of National City, we offer readers of the (;ity's financial statements this narrative overview and analysis of the financial activities of the ('ity of National City for the fiscal year ended June 30, 2008. We encourage readers to consider the information presented here in conjunction with additional information that has been furnished in the letter of transmittal. which can he found in the introductory section of this report. • The City's assets exceeded its liabilities at the close of fiscal year 2008 by $158,435,271 (net (Is et.$). Of this amount. $7,376,407 (unrestricted net assets) is for unrestricted uses in accordance with finance -related legal requirements reflected in the City's fund structure. • The City's total net assets increased by $6,200.827 or 4.1%. Net assets of governmental activities increased by S10,805,325 and net assets of business type activities decreased by S4.604.498. • As of the close of fiscal year 2008, the City's governmental funds reported combined ending fund balances of $87,961.844, an increase of $10,381,419 or 13.4%. Total fund balance is broken -up as follows: BALANCE SHEET Governmental Funds Total Fund Balance $87,961,844 Reserves $25,685,929 (29%) Unreserved S62,275,915 (71%) Designated $22,256,224 (25%) Undesignated $40,019,691 (46%) • At the end of the current fiscal year, unreserved/undesignated fund balance for the General Fund was $6,874.602 or 20 percent of total general fund expenditures. An increase of $212,056 in comparison with the prior year. • The C'ity's total long-term debt had a net decrease of S2,162,567 or 3 percent during fiscal year 2008. In 2006, the citizens of National City voted to implement a 1% district tax which will sunset in 2016. It was estimated that the district tax would provide additional revenues of $7 to $9 million per fiscal year. In fiscal year 2008, the district tax brought in $8.5 million. CALIF ORNIA •^ idNTIONAL (Iry l.Y I.IIP 1•011 ATF.a 1 his discussion and analysis is intended to serve as an introduction to the City of National City's basic financial statements. The City of National City's basic financial statements are comprised of three components: 1) government -wide financial statements, 2) fund financial statements, and 3) notes to the basic financial statements. In addition to the basic financial statements, also provided is other supplementary information. (Refer to figure A -I ) Government -Wide Financial Statements The government -wide financial statements are designed to provide readers with a broad overview of the City of National City's finances, in a manner similar to a private -sector business. The Statement of Net assets (the "Unrestricted Net Assets") is similar to a bottom line for the City and its governmental and business -type activities. This statement reports all of the governmental fund's current financial resources (short -tern spendable resources) with capital assets and long-term obligations. Over time, increases or decreases in net assets may serve as a useful indicator of whether the financial position of the City of National City is improving or deteriorating. The Statement of Activities presents information to show how the government's net assets changed during the most recent fiscal year. All changes in net assets are reported as soon as the underlying event giving rise to the change occurs. regardless of the timing of related cash flows. Thus, revenues and expenses are reported in this statement for some items that will only result in cash flows in future fiscal periods (e.g., uncollected taxes and earned but unused vacation leave and sick leave). r Figure A-1 Reauired Components of City of National City's Annual Financial Report 1 ;ifanagement 5 9.liscus.sion and Analysis Basic Financial Statements Required Supplementary Information r Government - wide Financial Statements Fund Financial Statements Notes to the 'Financial Statements SummAry Detail Both of the government -wide financial statements distinguish services of the City. of National City that are principally supported by taxes and intergovernmental revenues (governmental activities) from other functions that are intended to recover all or a significant portion of their costs through user fees and charges (business -type activities). The governmental activities of the City of National City include general government, public safety, transportation, health, culture 4 C A_IFC NNIA ••• NATIONAL on !331 1.4(0F f•011 nTT� and leisure, and community development. The business -type activities of the City of National City include the community development commission. The basic government -wide financial statements can be found in the accompanying comprehensive financial report. Fund Financial Statements A fund is a grouping of related accounts used to maintain control over resources that have been segregated for specific activities or objectives. The City of National City uses fund accounting to ensure and demonstrate compliance with finance -related legal requirements. All of the funds used by the City of' National City can he divided into three categories: governmental funds, proprietary funds, and fiduciary funds. Governmental Funds are used to account for essentially the same functions reported as governmental activities in the government -wide financial statements. Governmental fund financial statements focus on near term inflows and outflows of spendable resources, as well as on the balances left at year end that are available for spending. Consequently, the governmental fund financial statements provide a detailed short-term view that helps the reader determine whether there are more or fewer financial resources that can be spent in the near future to finance the City's programs. Because this information does not encompass the long-term focus of the government -wide statement, additional information is provided that reconciles the governmental fund financial statements to the government -wide statements explaining the relationship (or differences) between them. The City maintains 149 individual governmental funds, which includes 11 funds maintained by the Community Development Commission. Information is presented separately in the government fund balance sheet and in the governmental bind statement of revenues' expenditures and changes in fund balance for the General Fund, Special Revenue Funds, Capital Project Funds. each of which are considered to be major funds. Data from the remaining not mentioned funds are combined into a single aggregate presentation. Individual fund data for these major governmental funds is provided in the form of combining statements elsewhere in this report. The City adopts an annual appropriated budget for its Funds. A budgetary comparison statement has been provided to demonstrate compliance with this budget. Except for the Community Development Commission funds, the City maintains an automated budgetary accounting system to restrict expenditures to established appropriations and to recognize yearend commitments (encumbrances) in the financial statements. CALIFOHr IA --- NATIONAL CfTv IJJ I -� • IACOfl PUFITfO Proprielur)' Funds. The City of National City maintains two different types of proprietary funds: enterprise funds and internal service funds. Enterprise /m Js are used to report the same functions presented as business -type activities in the government -wide financial statements. The City uses enterprise funds to account for the Kimball Towers and Morgan 'Towers. Internal Service Fund is an accounting device used to accumulate and allocate costs internally among the City's various functions. "The City uses internal service fiends to account for its vehicle operations, workers compensation insurance, general liability insurance, separation benefits, accounting services and technology development. The internal service funds predominantly benefit governmental rather than business -type functions; therefore they have been included yvithin governmental activities in the government -wide Financial statements. Proprietary funds provide the same type of information as the government -wide financial statements; only in more detail. The proprietary fund financial statements provide separate information for the Kimball Towers and Morgan 'Lowers. each of Nvhich are considered to be major funds of the City of National City. Late for the additional enterprise fiends and all of the internal service funds are combined into their respective single aggregated presentations. Individual fund data for the non -major enterprise funds and all internal service funds is provided in the form of combining statements elsewhere in this report. Fiduciary Funds. The City uses fiduciary funds to account for assets held on behalf of outside parties. The City of National City's Fiduciary funds reflect activity related to retiree medical and dental insurance premiums and refundable customer deposits for performance. Fiduciary funds are not reflected in the government -wide financial statement because the resources of those funds are not available to support the City's own programs. The accounting used for fiduciary funds is much like that used for proprietary funds. Notes to the Basic Financial Statements The notes to the basic financial statements provide additional information that is essential to a full understanding of the data provided in the government -wide and fund financial statements. The notes to the basic financial statements can be found in the financial section of this report. Other Information in addition to the basic financial statements and accompanying notes, this report also presents certain required supplementary in/orinatiou concerning the City of National City's progress in funding its obligation to provide pension benefits to its employees. Required supplementary information can be found in the financial section of this report. GALI(JRNIA -- NA 10NAL c 7�37 The combining statements referred to earlier in connection with non -major governmental funds and internal service funds are presented immediately following the required supplementary information. As noted earlier, net assets may serve over time as a useful indicator of a government's financial position. In the case of the City of National City, assets exceeded liabilities by $1 58,435,271 at the close of the most recent fiscal year. AA portion of the City's net assets $7, 376,407 (4.8%) is unrestricted and may be used to meet the City's ongoing financial obligations. These are net assets that are not restricted by external requirements nor invested in capital. Of the City's $158,435.271 in net assets, $123,615,284 (60%) reflects investment in capital assets (e.g.. land, buildings. machinery, and equipment). The City of National City uses these capital assets to provide services to citizens; consequently, these assets are not available for future spending. Although the City of National City's investment in its capital assets is reported net of' related debt, it should be noted that the resources needed to repay this debt must be provided from other sources. since the capital assets themselves cannot be used to liquidate these liabilities. Net assets of the City also include $55,078,752 of restricted net assets. These are assets representing resources subject to external restriction as to how they may be used by the City. The following reflects the City of National City's net assets: (l:rreet and other aacts ('apical assets .'afro assets . rIg-ICIm I::,bIiuics cuistamlwg i ttkcr 1iahilities -total tta^alines Net assets lnvatcd n capital assets. rd 0[ telate4 t!' 1 Reslricted 1.1:restricted '1 0al Irzt assos Governmental Business -type dotal Pnmary Activities Activities Government 2008 2007 2008 2007 2008 2007 5 108.905,722 $ 101,785.338 5 2,198.738 S 2.138 229 5 II I. I r;4.4655 S ;1;3923,507 115 177.024 117,953,932 8.438.260 13,429.521 123,615,284 131.383.453 224 c82,7s6 219,739,270 10,636 998 15,567 750 234,719.744 235.107 020 66.502 001 68,495,982 2,853,463 3.022.049 69,355464 71,518.011 6,727,072 9,460,232 201,937 359.605 6.929.009 9,819.837 73 229,073 77956,214 ' 055400 3,381 654 76,284 473 81 337.868 90,395,315 95083 039 5,584,797 10 c07,472 95 050,11 12 165,496,511 53,081951 41,250,04S 1,996,801 1,778.624 55,073,752 43,028,672 7,37b 407 5,449,969 S 150,853,673 S 141,783.056 7,581,598 $12,186.096 S 158,435,271 5 153.969,152 7,376,407 5,449.969 7 * CALIFORNIA rp.,IATIONAL CiTr 1;3;31 ' ,,f7un,reok:to ' At the end of the 2008 fiscal year. the City of National City is able to report positive balances in all three categories of net assets for the government as a whole and the separate governmental and business -type activities. The following reflects the City ofNational City's Changes in Net Assets: Governmental Rusiness-typc Total Primary Activities Activities Government 2008 2007 2008 2007 2008 2007 RCVCIILies. Progar,t revenues Charges for ,cf-5-fees S !2.365,305 S 12,896,049 i) 2.04:.277 3 2,846.533 5 14,410.582 S 15.742.582 Operating grants and contrikitions 26.1156..615 23.016.167 990.340' 26,090,6 i 5 24,006,507 Capital grams and contributions 112.107 106,991 12 107 16(2,994 General Revenue' Property tax 16,4213r61 15,232.910 16.421.961 15.232,91,3 Sales and ; lf,e tax 24,072.743 22.102..515 2.1,072.743 22.102,515 FranJuse tax 1,416.236 1,440.770 1,416.236 1.440,770 cnhcr taxes 5,942.144 5,745,864 5,942.:44 5,7-15,864 Investment earnings 3,369,224 , 405,789 27,618 82,069 3.3913042 3 487,858 Rent 305,082 85,527 305082 85,527 "Iransfers 2.378.910 (2.378,910) Total Revenues 92,475;527 84.092.585 (307,015) 3,918,942 92,168,312 88.011,527 1-ixpenscs General govei ronent 5.881,015 5.219.116 5.881,015 5,219,116 Public salet 27,218,3(19 25.943,803 27,218.3(19 25.943,803 Fransportation 7,144.911 2.680.880 7,144.911 2,680,880 L:oinnuietty developme,nt 24.841.387 22.205022 24.841,387 22.209,522 ilealth 7.426,569 6,273,178 7,426,580 6.273,178 Culture and leisure 6,3(14,412 6,387,197 0,304.4 i2 6,387,197 :merest and fiscal charges 2,853,399 2,768.004 2.853,399 2,768,004 TDA 2,218,661 2.689.687 2,218,661 2,689,687 Community Development Coinnnssion 2,1)78,822 2,059,738 2,078,822 2,059,738 Total 13xpense3 81,670,002 7 1,4S1,71":0 4.297,48.1 4,749.425 85,967.485 76.231,125 increase (decrease) in net assets before transfers 10,805.325 12,611085 :-4.604,498) f, 830,4831 f,.2r,)0.877 11,780,402 Transfers (I? 714) 27,71.1 Increase (decrease) in net ftsse)s 10.805.325 12,583,171 1:1.604;198 ) 51)2.769) 6.200,827 11,780,402 Nei asscts - Beginning of Year (net0 113 140.048,348 129.199,8)15 12.186,096 12.988,865 152.234.444 142,188750 Net assets - End of Year 5 150,853173 S 141.783,056 S 7.581,598 S 12,186,096 S 158,435,271 S. 153,969,152 Governmental Activities Governmental activities increased the City of National City's net assets by $10,805,325 causing a 7 percent increase in the primary government's net assets. Key elements of this increase are as follows: 8 •- CALIFORNIA ATtONAL (Try 1JJ7. • fax revenue increased by $3.331,025 or 7.5 percent increase from fiscal near 2007. This change was primarily a result from increases in sales taxes ($1,970,228), property taxes (S1,189,051) and motor vehicle in lieu ($262.722). Despite the nation-wide resection the City of National City was able to maintain fiscal sustainability during the fiscal year 2008 through the passing of Prop. D, which implemented a 1% district tax rate. • Total program revenue for governmental activities increased by $2.489,817 or 7 percent from fiscal year 2007. This change was mainly attributed to the increase in revenue from operating grants and contributions of $3.074,448. Program Expenses -Governmental Activities Interest and fiscal Culture and leisure charges S; n +% licalth 9'ib C'ommur rtv Development G Cnt'rrl ( Driv et rrrr nt Frans portal ion I'ublic Safety 3190 Expenses and Program Revenues- Governmental Activities S.; n.000.0o0 S25,000,000 S?0.0f10,000 $15.000,000 $10.0 I0.000 $.`.000 000 p �1 V tiC, �� 1�` ,' r J:C ,,t` \C: \\' ^\( `" W L- c` •or�ti ;Z> �� ® Expenses l7 Program Revenue Intergovernmental revenues are grants and other revenues received from the state and federal government. Licenses and permits include amounts collected from the issuance of licenses and 9 ,4✓ CALIFORNIA •- NNIsIONAL CIFTv. 1:�31 �.vcon vo-, asru permits required by the City of National City for various purposes. Revenues from fees collected by the City for a variety of services provided to the public are recorded as charges for services. Investment income reflects revenue from investment activity. Other revenue includes rent. proceeds from the leasing of various government buildings. Revenue By Source - Governmental Activities Operating Grants 29`4, Charges for Services 14% Property 'Faxes 19% n Motor vchicieFranchise Taxes in -lieu 2% 4% Motor vehicle in• lieu Sales and t ;se 'Faxes 170. Business -type Activities Business -type activities had an immaterial impact on net assets. The National City transit program is no longer managed by the City of National City and is now operated by Metropolitan Transit System (MTS). The City's only current business type activity is the community development commission. As noted earlier, the City of National City uses fund accounting to ensure and demonstrate compliance with finance -related legal requirements. Governmental Funds The focus of the City's governmental funds is to provide information on current year revenue, expenditures, and balances of spendable resources. Such information is useful in assessing the City of National City's financing requirements. In particular. unreserved fund balance may serve as a useful measure of a government's net resources available for spending at the end of the fiscal year. Governmental Funds report the difference between their assets and liabilities as fund balance, which is divided into reserved and unreserved portions. The function of reserved fund balance is simply to isolate the portion of fund balance that is unavailable for the following period's budget. The unreserved fund balance can serve as a measure of current available financial resources. 10 • CALIFORNIA NNTIONALG13IV J• City Council may commit a portion of the unreserved fund balance by designation of fund balance to an intended future use. As of the fiscal year ended June 30. 2008, the City of National City's governmental funds reported combined ending fund balances of $87,961,844, an increase of $10,381.419 in comparison with the prior year. Approximately 71 percent of the total fund balance amount, or S62,275,915, constitutes unreserved fund balance. S22,256,224 of this has been designated for specific purposes by City Council. The remainder of fund balance is reserved to indicate that it is not available for new spending because it has already been committed I) to liquidate contracts and purchase orders of the prior period ($2,278,611), 2) to pay debt service ($4,696.770), 3) for land held for resale ($10,995,136), 4) for a variety of other purposes ($7,715,412). The General Fund is the chief operating fund of the City. For the fiscal year ended June 30, 2008, unreserved fund balance of the General Fund was $18,298,540 while total Lund balance was $20.026,232. As a measure of the General Fund's liquidity, it may be useful to compare both unreserved fund balance and total fund balance to total fund expenditures. Unreserved fund balance represents 53 percent of total General Fund expenditures; while total fund balance represents 58 percent of the same amount. The total fund balance of the City's General Fund increased by $2,478.732 or 14.1 percent, during the fiscal year ended June 30, 2008. Restated fund balance was $17.547,500. Key factors in this increase are as follows: • 'File Change in fund balance of the General Fund, from an increase of S4.293,947 for fiscal year 2007 to an increase of $2.478,732 for fiscal 2008, represents an overall change of approximately $1.8 million. • Revenue from taxes increased by S2.3 million or 7.2 percent from the prior year. This increase is mainly attributed to the passing of Proposition ll, which implemented one cent district tax. In more detail, the change in tax revenue is comprised of increases in: sales taxes of $1,970,228 or 8.9 percent, property taxes of $1.189,051 or 7.8 percent and motor vehicle in lieu of $262.722 or 5.4 percent. • Interest and Rent Revenue increased $112,865 or 5.5 percent from the prior year. This increase is mainly attributed to the increase in interest revenue. The increase in tax revenue has continued to increase in the City's cash flow allowing more opportunity to invest. I C,UIFORN1A -- NI TIONAL C Ty 1331 sec,>n roc rTav • Revenue from tines and forfeitures increased $ 301,591 or 38.5 percent. This increase is partially attributed to the adoption of a revised lee schedule, which became in affect September 15, 2008. The Section 8 Housing Assistance Fund has a fund balance of$1,1_5.5,443, which is an increase of $1.348,076 from the prior year deficit of ($192,633). The key factors contributing to this increase are as follows: • Total revenues increased $1,233,771 or 15 percent, whereas total expenditures decreased $53,662 or .6 percent. • Intergovernmental revenues increased $1,222,537 or 14.9 percent. This was mainly attributed to the end of year settlement of $582,582.02 which was received by the City during the fiscal year 2008. Interest and rent revenue was not produced this year. However $41,269 of the funds revenue was attributed from other revenue sources. The Sewer Service Fund has an ending find balance of $13,820,961, of which $218,640 is reserved for encumbrances. This year's net increase in fund balance was $131,487, approximately $1 million less than last year's net increase. The change can be attributed to the increase in total expenditures of $1,143,069 or 19 percent. 1'he increase in expenditure is due to the City's capital project activity increase in FY07/08. Capital projects such as Upsizing of Sewer for $2,260,000 and 22nd Street Sewer Replacement for $1,067,000 are both funded by the Sewer Service Fund. The Community Development Commission Debt Service Fund has a total fund balance of $2,613,954. For the year ended June 30, 2008 $814,215 was transferred in from other governmental funds to provide funding to cover debt service payments made during the fiscal year that related to loco and moderate development. A total of $8,915,568 was transferred to the redevelopment fund in order to provide funding for future capital project expenditures. The net change in fund balance during the current year in the debt service fund is ($2,499,5 34) or 49% percent decrease from the prior year restated fund balance of $5,1 1 3,488. Proprietary Funds "fhe City of National City's proprietary funds provide the same type of information found in the government -wide financial statements, but in more detail. CALIFORNIA —• ;A`1CIONALCay ID 31 '•�'a�ar n n ntf Total net assets for the Kimball Towers, and Morgan Towers Funds amounted to S6.492,902 and $1.088,696; respectively. the total net income (loss) for each fund before transfers vas ($37,471) and $ 30,544; respectively. Kimball Towers and Morgan Towers Funds account for activities relating to the operations of Kimball and Morgan Towers, which provide housing to low and moderate income seniors. For the year ended June 30. 2008 total operating revenue for Kimball Towers and Morgan Towers amounted to $923.151 and $1,121,126; respectively. Kimball Towers operating expenses decreased by $1 1.752 or 1 percent from the prior year, while Morgan Dowers operating expenses increased by $41,417 or 6 percent from the prior year. Other factors concerning the finances of these funds have already been addressed in the discussion of the City of National City's business -type activities. Differences between the General Fund original budget and the final amended budget include significant changes in the revenue and expenditure amounts. Original revenue estimates for the fiscal year 2007-08 were based on a predicted economical recession. Actual total General Fund revenues exceeded the final budgets estimated amount by $632,596. The variance between actual and estimated revenue is mainly attributed to actual revenue produced by taxes. the passing of Proposition D, which implemented one cent district tax, provided additional revenue in overall sales tax. The district tax which became effective on October 1, 2006 provided revenue for all 4 quarters in FY07/08 compared to only 3 quarters in FY06/07. Taxes produced revenue of $560,832 or 2 percent higher than anticipated. Interest and rent revenue was also under estimated, with actual revenue of S335,903 or 18 percent higher than anticipated. -Ihe increase in interest revenue is a rippling effect caused by the increase in tax revenue which increased the City's cash flow and allowed the City more opportunities to invest in various bonds and CD's. The largest negative variance occurred in the estimated revenue of Intergovernmental which actual revenue \vas $178.792 less than budget estimated. The General Fund actual total expenditures did not exceed final budgeted appropriations. The variance between actual total expenditures and the final appropriation was S4.5 million or 12 percent. The only negative variance occurred in the community development expenditures which exceeded the final budget by S 13,762. 13 CALIFORNIA NATIONAL Cfl' • (.\r(,P1•t:H ,,TCU - Ending Fund 13alancc exceeded the final budget estimated ending fund balance by $5,157.877 or 34.7 percent. General Fund actual end of year fund balance was S 20,026,232. Capital Assets The City's capital assets for its governmental and business type activities as of .tune 30. 2008, amounted to $123,615,284 (net of accumulated depreciation). This investment in capital assets -includes land, buildings and improvements, machinery and equipment and infrastructure (including streets, alleys, traffic signals and signs and bridges) of governmental activities. Infrastructure type assets of business -type activities are reported as buildings and improvements. The City's capital assets by activity at June 30, 2008 were as follows: Land Right of way Construction in progress Buildings and improvements Machinery and equipment Infrastructure Less ace lmtulated depreciation Total Governmental Activities 2008 2007 S 20,025,598 S 19.125.598 4.215,088 4.245.088 44.343.967 11.910.726 105.526.9211 70,875.275 44,491,598 10 913,827 105.421 _595 66,243,774 Business -hype Activities 2008 2007 S 528,382 S 1.428,382 15,636,107 462,153 8,188,382 S 115,177 024 S 117,953,932 S 8.438,260 Total Primary Government 2008 2007 S 20,553,980 S 20,553,980 4.245.088 4.245.088 17,629,51.1 59.980,074 62,121,112 5.45 1.644 12.372,879 16,367.471 105,526,92(1 105,421,595 11,082.010 79.063,657 77,325,793 S 13,429,521 S 123.615,284 S 131,383,153 Major capital asset activity during the year ended June 30, 2008 includes the following: • Purchase of new vehicles, a new motorcycle and equipment department - $174,063. • Purchase of new computer equipment and other electronics Library - $439,894. • Purchase of various City office equipment - $1 16,210. • Sidewalk pavement of 9,977 square feet - S134,594. for the National City Police for the National City Public Additional information on the City's capital assets can be found in the financial section of this report (Note 5). 14 e At1F ORYIA NATIONAL Illy Long -Term Debt At year-end the ('itv had a total long-term debt of S69,355,464, a decrease of $2,162,567 from the prior year. These include S3,920,000 of Lease revenue refunding bonds issued by National City Joint Powers Financing Authority (NCJPFA) and S41,820,000 of tax allocation bonds applicable to Community Development Commission. The City of National City's general obligation bond is rated A- by Standard & Poor's rating agency. Governmental Business -type 1 otai Primary Activities Activities Government 2008 2007 2008 2007 2008 2007 NCJITA: Leas: R;venure Ref\n!iee Bonds S 3,920.000 S 1,220.000 S ( wnn tni:) Ilevel;:pnrnt C nrisir••n. 19991'a\ A.lucatirn Rands 4325.000 4,435,000 2004 .13X Adc•cauun Brads 5,145,000 5,395,000 21105 Set i;:_s A and 13 Tax Allocaron Bonds 32,350,00) 3.1,fi55,0(;0 General Obligation Bonds 5,585 000 5.720,000 HUD 108 Bond 2003 A 6,185,000 6,380.000 Thual Pond's Cairns Payable 4,508,000 4,145,000 Cornpeas;ded ALsenees 3.111.061 2,490,655 Capitalized I ease nbligat nns 1,372 940 1,655,327 Notes Payable S 8 3 920,000 S 1.2214000 2.853,463 3,022.049 4,325.0(X) 4.435 00i0 5.) 45,000 5.395,000 32,350,0(8) 3 4.055,000 5,585,000 5.720.0(A) 6,185.000 6.380,000 4,508,000 4.145,000 3,111,061 2.490,655 1,372940 1.655,327 2,853,463 3.022,049 Total $ 66,502.001 $ 68,495,982 S 2.853,463 $ 3,022,049 S 69,355,464 S 71.518,031 Additional information on the City of National City's long-term debt can he in the financial section of this report (Note 7). This financial report is designed to provide a general overview of the ('ity of National City's finances for all those with an interest in the government's finances. Questions concerning any of the information provided in this report or requests for additional financial information should be addressed to the office of the Director of Finance, 1243 National City Boulevard, National City, California, 91950-4397. 15 (This page intentionally left blank) (TIN OF NATIONA1. Statement of Net Assets 'inc 30, 2008 (lot crnmental Activities Ilusnress- rape Activities Total Assets (:urrent assets ('ash and investments (note 2) S 75.909,673 233,033 76,142,706 Accounts receivable 2.197,512 1.392 2,198.904 Property tax receivable 84,135 84,135 Interest receivable 854.789 - 351,789 Short-term internal balances (note 3) - - - Due from other governmental entities 6,840,528 - 6,840,528 Total current assets 85.886,637 234,425 - _--86,121,062 Noncurrent assess: — -- Restricted ass.0ts: Restricted cash and investments with fiscal agents (note 2) 4,233,634 1.804,9(16 6,0 38,540 Inventories 27,903 - 27,903 Prepaid items and deposits 50,386 159,407 2(19,793 L.utd held for resale 10,995,1 36 10.995,136 Contracts, notes and loans receivable (note 4) 7.7 12,02_6 - 7,712,026 Subtotal 23,019.035 1,964,313 24,983.- 98 Capital assets (note 5i: Non-deprcciahlc 24,270,686 528,382 24,799,068 Depreciable.. net 90,906,338 7,909,878 98,816,216 Total capital assets 1 15,177.024 3.4 38,260 123,615234 Total noncurrent assets 138,196,109 10, _402,573143,598,682 Total assets 224,032.746 10.636,998 234,719.744 Liabilities ( urrent liabilities: Accounts payable and accrued liabilities 2,871,9 34 115,607 2,987.541 Interest payable 433,382 433,382 Salaries payable 1.434,761 1.434, 761 Deposits payable 361,532 86,330 447,912 Due to other governmental entities 689.118 689,113 (incanted revenue 936295 - 936,295 Total current liabilities 6.727.072 201,937 6,929.009 Lung -term liabilities (note 7): Due within one year 6,79 7,588 179,357 6.977.415 Due beyond one year 59,704.413 2.673,606 62,373,019 Total noncurrent liabilities 66,502.001 2.853,463 69.355,464 Total liabilities 73,229,073 3,055,400 76,284,473 Net Assets invested in capital assets, net of related debt 90, 395.315 5.534,797 95,980.1 1) Restricted for: Community development 41,864,051 - 41,864.051 Pubic Safety 1,603,522 - 1.603.522 Transportation 6,801.563 - 6.8u1,56S Culture and leisure 1,099.532 1.099,532 Health 1,713.278 1.713 278 Ilousing - 1.996,801 1,996,801 Total restricted 53,031,951 1.996,801 55.078.752 4 htrestrictcd 7,376..107 --_- 7,376.4(17 Total net assets $ 1.50:853,673 _ 581,598 158,435,271 Sec accompanying notas to the basic financial statements. 17 Primary Government: Governmental activities: General government Public safety Transportation Community' development Health Culture and leisure Interest and fiscal charges Total governmental activities CITY OF NATIONAL. CFlY Statement of Activities For the year ended June 30. 2008 Program Revenues Operating Capital Total Charges for Grants and Grants and Program Expenses Services Contributions Contributions Revenue S 5.881,015 272 18,309 7. 144,91 1 24,841,387 7,426,569 6.304,412 2,85 3.399 - 81,670,002 12,366.305 26.090.615 3.035,893 - 192,291 8,717,780 1,783, 728 776,094 15,078,303 7,426,730 510,804 935.297 - Business -type activities: TDA 2.2 18.661 - Community development commission 2.078,822 2,044,277 - Total business -type activities 4.297.•183 2,044277 - Total primary government S85.967,485 14.410,582 26,090,615 General revenue and transfers: Taxes: Property taxes Sales taxes Franchise taxes Motor vehicle in -lieu, unrestricted Transient occupancy taxes Total taxes Investment earnings Rent Transfers 112,107 112.,107 112,107 3,035,893 8,910.071 1,783,728 15,966,504 7,937,534 935,297 38,569,027 2,044,277 2,044,277 40,61.3,304 -Dotal general revenues Change in net assets Net assets at beginning of year, as restated (note 1 1) Net assets - end of year See accompanying notes to the basic financial statements. 18 Net (Expense) Revenue and Changes in Net Assets Governmental Activities (2.845,122) (18,308,238) (5,361,183) (8.874,883) 510,965 (5.369.1 15) (2_853.399) (43.100,9751 1uiness- l \ pe ,activities 101,11 (2,845,122) (18,308,238) (5,361,183) (8,874,883) 510,965 (5,369,1 15) (2,853,399) (43,100,975) (2,218.661) (2,218,661) (34,545) (34,545) (2,253,206) (2,253,206) (43,10(1,975) (2,253,206) (45,354,181) 16,421,961 - 16,421,961 24,072,743 24,072,743 1,416,236 1,416,236 5.100.399 - 5,100,399 841,745 841,745 47,85 3.084 - 47,853,084 3,369.224 27,618 3,396,842 305.082 - 305.082 2.378.910 (2,378,91(1) - 5 3.906,300 (2.351.292) 51,555.008 10,805.325 (4,604,498) 6,200,827 140.048.34S 12,186.096 152,234,444 S 150,853,673 7,581,598 158.435.271 See accompanying notes to the basic financial statements. 19 CLFY OF NATIONAL . CITY Balance Sheet Governmental Funds June 30, 2008 Special Revenue Funds Section 8 Other General I lousing Special Nun ition Fund Assistance Revenue Program ASSETS Cash and investments (note 2) S 13.154.048 1.259,329 8,534,555 Restricted cash and investments with fiscal agents Mote 2) Accounts receivable 1.048,550 4,416 887.706 50,778 Property tax receivable Interest receivable 377.232 7.075 Due from other funds (note 3) 4,403,837 381,613 Due from other governmental entities 3,577,329 40.528 774,638 481,982 Prepaid items and deposits 3,3 Land held for resale _86 Contracts. notes and loans receivable (note 4) Total assets $ 22.560.996 1,3(.17.6.59 10.585 587 532,760 LIA1311.ITIES AND FUND BALANCES Liabilities: Accounts payable and accrued liabilities S 822,712 123,109 524,559 287,167 Salaries payable 938,437 163,137 13,985 Due to other funds (note 3) 371,447 883 2,42(1,837 1,615,340 Due to other governmental entities 28.224 D107,377 Deposits payable 254,205 Deferred revenue 294,791 369,736 Total liabitities 2.534,764 152,216 3,732,474 1,916,492 l'und balances (deficit): Reserved: Eiieurnbrances 308,401 625,583 Prepaid items and deposits 3.386 Land held for resale 1.ong-term loans receivable Debt service 1,419,291 Total reserved 1,727,692 3.386 625,583 Unreserved, designated: Continuing appropriations 1,322.219 2,061,0(14 Employee accr.ted benefits 862,511 Other 59,899 Rate stabilization Continuing CIPs 179.309 Contingencies 9,000,000 "Null unreserved, designated 11,423,938 2,061,004 Unreserved, undesignated General fund 6,874,6(12 Special revenue funds L152.057 4,166,526 (1,383.732) Capital projects funds Total unreserved, undesienated 6.874.602 1,152,057 4,166,526 (1,383,732) Total fund balances (deficit) 20,026.232 1,155,443 6,853,113 (1,383,732) Total liabilities and fund bzilances S 22,560,996 • .. . 1,307.659 10 585 87 32,760 See accompanying notes to the basic financial stateinents. 20 Special Debt Revenue Service Capital Project Funds —. Fund Comnmr:ity Libialy Utha 1utai Sewer Development Redevelopment Construction Go'crnmental (;Ovcnmental Service Commission Fund Project Funds Funds 13,882,558 673,060 6,0(32,551 113,056 19.0,14.639 62.723,796 2,72 7.285 1,506,276 73 1.23 3,634 15.715 - 82.717 33.399 2.123,281 - 8.177 - 75.958 84,135 303,834 133,291 815 32.542 854,789 - 1,499.753 - 4-18.380 6,743,583 1.647 - 264:556 1.109.8 33 590.015 6.840,578 3,386 8.929,334 2.065,802 10,995,136 - 2.872152 4,889,371 7.712,026 13.399,920 3,704,1 79 21,308,807 1.223.7(.14 27. i90.682 102.314,294 59,823 283.8.33 1.063 - 180.660 2.282,926 19,136 172,099 64.592 1.371,386 - 712,21 / - 1,106,088-181.771 1).7, 38,583 64,175 596.719 689,118 - - 361.582 922,500 1.109,833 211.995 2.908,855 78.959 1,090.225 1,692,381 2,215,921 939.018 1,1.352,450 218,640 - 1.125,987 2.278,611 3.386 8.929.334 - 2,065.802 10.995,136 - 2,322.152 - 4,389.874 7.712,026 2,613,954 - - 663,575-1,696.770 218,640 2.613,95,1 11,751.486 8.745,188 25.685,929 1,910.554 - - 347.886 6,141,663 862.511 59.899 3,184,801 - - - - 3.184,801 2.489,095 - - 2.668.404 338,946 - - 9..338,946 7.923.396 ------- 547.586---22256,224 6.874,602 5,678,925 13,730,490 2 3, 39-1,266 7.864,940 (992.2171 2.878.1(10 9,750,823 5,678,925 - 7,864,940 (992.217) 16.658,590 11).019,691 13,820,961 2.613.954 19,616,426 (.992.217) 26,251.664 37,961.844 13.899,920 3,704,179 21,308.807 1.223.704 27.190.632 102,311,294 See accompanying notes to the basic financial statements. 21 C'T1`Y ol. NATIONAL IONAL CITY Reconciliation of the Governmental Funds Balance Sheet to the Government -Wide Statement of Net Assets June 30. 2008 Fund balances of governmental fonds Amounts reported for governmental activities in Use statement of net assets are different because: Capita! assets used in governmental activities were nor current financial resources. Therefore, they were not reported in the governmental funds balance sheet. Excluding the internal service funds capital assets which are reported below, capital assets were adjusted as follows: - Capital assets - Accumulated depreciation Interest payable on long -terns debt did not require current financial resources. Therefore, interest payable was not reported as a Iiability In the governmental funds balance sheet. Certain revenues were not available to pay for current-period.expenditures and. therefore, were deferred in funds. Internal service funds were used by management to charge the costs of certain activities, such as insurance, to individual funds. The assets and liabilities of the internal service funds were included in governmental activities in the ttovernment-wide statement of net assets. Long-term liabilities were not due and payable in the current period. 'Therefore, they were not reported in the governmental funds balance sheet. This amount excludes long-term liabilities reported in Internal Service funds. Net assets of governmental activities See accompanying notes to the basic financial statements. S 87,961,844 180,092,682 (66,527,838) (433,382) 1,972, 560 9,599,1 1 1 (61,811,304) `l; 150,853,673 (This page intentionally tell blank) CITY OF NATIONAL CITY Statement of Revenues, Expenditures and Changes in Fund Balances Governmental Funds For the year ended June 30, 2008 Niagoe Special Revenue Funds - Section 8 Other GeneralHousing Special Nutrition Fund Assistance Revenue Program Revenues: Taxes Licenses and permits Fines and forfeitures Interest and rents Intergo'.ernmental Charges for services Other revenues Total revenues Expenditures: Current: General government Public safety "f ransportation Community development Health Culture and leisure Capital outlay Debt service: Principal Interest and fiscal charges Total expenditures Excess (deficiency) of revenues over (under) expenditures Other financing sources (uses): Transfers in (note 3) Transfers out (note 3) S 33.638,924 - 799,452 1.780 1,084.647 - 67.590 2.168.962 - 77,864 802,557 9,477,480 7,646,053 288,359 414.298 606,785 152,1,18 41,269 317,708 222,445 39,060,988 9.468,749 8.717,780 510.804 3,215,981 2,137,334 25,393,406 1.073,506 2,678,673 - 1,128,843 8.115,750 1,098,394 131,326 1.527,397 - 7,221,899 364,946 4,923 475,279 876,471 196.709 - 195,000 66,596 - 330,505 34,572,551 8.120.673 7.663,243 876,471 4,488,437 1,348,076 1,054.537 (365,667) 700,000 - 986,006 375,917 (2,709, 705) - - 'Dotal other financing sources (uses) (2,009,705) 986,006 375,912 Net change in fund balances 2,478,732 1,348.076 2,040,543 10,245 Fund balances (deficit), beginning of year. as restated (note 1 1) 17.547,500 (192,633) 4,812,570 (1,393,977) Fund balances (deficit), end of year $ 20,026,232 1,155,443 6,853,1 13 (I,383,732) See accompanying notes to the basic Financial statements. 2:t Special I)eht Revenue Service Capital Project Funds Fund Community 1.ibrar' Other Total Seaver Development Redevelopment Construction Governmental Governmental Service Commission Fund Project Funds Funds 11;766,428 - - 4,466 707 49.871,559 - - 801,232 - - 170,110 1,322, 347 - 8.665 608,291 4,205 501,237 3.369,224 - - 1,735,857 722,604 3.734.563 24,377,473 7.426,730 - 23,473 8,471,286 30,478 1,417,661 - 498,680 2,680,389 7,426,730 11,805,571 3,761,809 726,809 9,414,270 90,893,510 1.198 5.354,513 - - 62,025 26,528,937 - - 1.077,625 3,756,298 2,120,909 9,022,853 1,357,933 23,721,153 7,295 243 - - - 7,426,569 - - - 2,527,563 6.276,859 22,124 - 769,126 1,636,398 2,065,000 - - 435,000 2,391,709 - 2,017,843 449,989 2.864,933 7,295,243 6,203,752 9,044,977 6,680,459 80,457,369 131,487 5,601.819 814,215 (8,915.568) (5,283,168) 726,809 8.915,568 (8,101,353) 8.915,568 131,487 (2,499.534) 13.689,474 5,113,488 13,820,961 2.613,954 3.6 32,400 726,809 15,984,026 (.1.719,026) 19,616 426 (992,217) See accompanying notes to the basic financial statements. 2S 2,733.81 1 10,436,141 1,305,023 13,096,724 (1,526,173) (13,151,446) (221,1501 (54,722) 2.512.661 1(1,381,419 23.739.003 77,580,425 26.251.664 87,961,844 CITY OF NATIONAL CITY Reconciliation of the Governmental Funds Statement of Revenues. Expenditures, and Changes in Fund Balances to the Governmental -Wide Statement of Activities For the year ended June 30, 2008 Changes in fund balances of governmental funds Amounts reported for governmental activities in the statement of activities are different because: Governmental funds report capital outlay as expenditures. However, in the government -wide statement of activities, the cost of those assets are allocated over their estimated useful lives as depreciation expense. this is the amount by which depreciation expense exceeded capital outlays in the current year, net of disposals. Repayment of bond principal and capitalized lease obligations are expenditures in governmental funds, but the repayments reduces long -terra liabilities in the government -wide statement of net assets. ($85,678 of payments in capitalized lease obligations were recorded as functional expenses in the governmental funds.) S 10.381,419 (4.088,440) 2,977,387 interest expense on long-term debt was reported in the government -wide statement of activities but they did not require the use of current financial resources. Therefore, interest expense was not reported as expenditures in governmental funds. The following amount represents the change in accrued interest. 11,534 To record as an expense the net change in compensated absences in the statement of activities. (557,991) Revenues in the government -wide statement of activities that did not provide current financial resources were not reported as revenues in the governmental funds. (467,902) Internal service funds were used by management to charge the costs of certain activities, such as insurance and fleet management, to individual funds. The net revenue (expense) of the internal service funds are reported with governmental activities. 66,915 To record the transfer of land, buildings and other capital assets from the "FDA Enterprise Fund. 2,482,403 Change in net assets of governmental activities See accompanying notes h, the basic financial statements. S 10,805.325 C11Y OF NATIONAL. CITY Statement of Net Assets Proprietary Funds June 30, 2008 Enterprise Funds Kimball Morgan 11)A To'ecrs 1 u'Wets I otal (iovermnental Activities - Internal Service Funds ASSETS Current assets: ('ash tine! investments (note 2) $ - 113,056 119,977 233.033 13.185.877 Restricted cash and investments :-pith fiscal agents (noic 2) 1,193.811 611,095 1,804,906 Accounts receivable 872 520 1.392 74,231 Inventories - - - - 27,903 Prepaid items and deposits 77,508 81,899 159.407 47.000 Total current assets - 1.= 85,2.17 813.491 2.198,738 13,335,011 Noncurrent assets (' ;hilal assets (note 5). Nondepreciahle assets - 315,811 212.568 528,382 Depreciable assets, net of accumulated depreciation 4,910,200 2,999.678 7,909,878 1,612,180 Total capital assets, net — 5,226,014 3,212,246 8,438260 1,612, I80 Iotal noncurrent assets - 5,226,014 3.212,246 8,438260 1.612,180 Total assets 6,611,261 4,025,7 37 10.636,998 14,947,191 1.IAI1ILITIFS Current liabilities: Accounts payable and accrued liabilities Salaries payable One to other funds Compensated absence, - due within one year Note payable - due within one yea] Self-insurance claims payable due ,..ithin one Year Total current liabilities Noncurrent liabilities (note 7): levant security deposit liability '.vote payable - due in more than one year Self-insurance claims payable - due in more th:u) one year Total noncurrent liabilities Iota' liabilities 76.001 39,540 115,607 589,008 63,375 5,000 182,647 179,857 179.857 - 1,930.000 76,061 219.403 295,464 2,770,080 42,298 44,032 86.330 ),673,606 2,673.006 42,298 2,717.638 2.759.936 118,359 2,937.041 3,055,400 2,578.000 2.578.000 5,348 080 NFT ASSETS Invested in capital assets. net of related debt - 5 226-014 358,783 5.58.1,797 1,612.18(1 Restricted for: (lousing 1.266,888 729.913 1.996,801 Umc:arirled - 7.986,931 rota! net assets $ - 6,492.902 1.088,696 7,58I,598 9.599,111 • Sre accompanying notes to the basic financial statements 27 CITY OF NATIONAL, (TIN Statetncnt of Revenues, Expenses and Changes in Net Assets Proprietary. Funds For the year ended June 30, 2008 Governmental Enterprise Funds Activities - Kimball Morgan Internal TDA Towers 'Cowers Total Service Funds Operating revenues: Rental income S 896.359 1,113,162 2,009.521 - Service charges - 9,329,643 Other revenues 26.792 7,964 34,756 53.646 Total operating revenues _ _ 923.151 1,121,126 2,044,277 9,383,289 Operating expenses: Personnel service; - 2.209,727 Maintenance and operations - 780,618 670,428 1,451,046 6,712.876 Depreciation - 187,350 248,956 436,306 345,000 Total operating expenses - 967,968 919,384 1.887,352 9,267,603 Operating income (loss) _ (44,817) 201,742 156,925 115,686 Nonoperating revenues (expenses): Interest income - 7,346 20,272 27,618 Interest expense - (191,470) (191,470) I lisccllaneous expense (511) (51 1) Total nonoperating revenues (expenses) _- (51 1) . 7,346 (171,198) - (164, 363) Income (loss) before transfers (511) (37,471) 30,544 (7,438) 115,686 Capital contribution to governmental activities (2,482,403) - (2,482,403) Capital contribution to Metropolitan Transit System (2,218.150) - (2,218,15(1) Transfer in (note 3) 103, l93 - - 103,493 95,000 Transfers out (note 3) (143,771) Change in net assets (4,597,571) (37,471) 30,544 (4,604,498) 66,915 Net assets at beginning of year 4,597,571 6,530,373 1,058,152 12,186,096 9,532,196 Net assets, end of year $ - 6,492.902 1,088,696 7.581.598 9,599,11 1 See accompanying notes to the basic financial statements. 28 Cash flows from operating activities: ('ash received from customers/other funds Cash payments to suppliers Cash payments for general and administrative Net cash provided (used by-) operating activities Cash sh llows loam noncapital financing activities: ('ash received from other funds Cash paid to other funds Net cash provided (used bv) noncapital financing activities CM' Y Oh NATIONAL CFI 1' Statement of ('ash Flows Proprietary. Funds For the year ended June 30, 2008 (78,096) (78.096) (iovcmmcntal ffnterprisc Fund Activities - Kimball \lorgan Internal Towers f,,wers total Service Funds 922.659 1.1 15,446 2.0.58,105 9,386,289 t762.7?8) (553,1051 11.317.843) (6,000,572) (160.906) (239.002) (2,116,561) 59,921 399,435 481,260 1269,156 119,292 (218,2541 198.962 ) Cash flows frorn capital and related financing activities: Acquisition of capital assets - (59.605) (4.221) (63.829) (293,441) Principal payments of note payable - (168.586) i 168.586) Interest paid (191.470) (191,470) Net cast: provided (used by) capital and related financing activities (59,605) (364.280) (423,885) 1293,441) Cash flows from imcsting activities: Interest income 7.344 20,772 27.616 Net cash provided (toed by) investing activities 7,314 20.272 27.616 Net increase (decrease) in cash and cash equivalents (78,096) 107,660 55,427 84,991 876,753 Cash and equivalents, beginning of year 78.096 1.199,207 675.645 1,95'_.948 12 309,124 Cash and equivalents, end of year $ 1,306.867 731,072 2.1) '939 13,185,877 Reconciliation of operating income to net cash provided by operating activities: Operating income (loss) g (44,817) 201.742 156.92.5 115,686 Adjustments to reconcile operating income (loss) to net cash provided (used) by operating activities: Depreciation - 187,350 248.956 436,306 345,000 Changes in current assets and liabilities: Accounts receivable - (492) (520) (1.012) 3,000 Inventories - (1,278) Prepaid items and deposits - (2,460) 12.114) (4,574) 1'41,781 ) Accounts payable and accrued liabilities (78,096) 20,340 (:8.629) (106,385) 392,363 Salaries payable - - 30,751 Due to other funds - - ( "earned revenue - Compensated absences - - - 62,415 Self-insurance claims payable _ - 363,000 Total adjustments (78.096) 204.738 197,693 324.335 1,153,470 Net cash provided (used) by operating activities $ (78,096) 159,921 399,435 481,260 1,269,156 • Noncash investing, canna', and financing activities Capital contribution to governmental activities Capital contribution to Metropolitan'Iransit System $ 2,482,4(13 2,218.150 $ 4,700,553 See accompanying notes to the basic finoncial statements. 2,482,103 2,218.150 4.7(1:1.55 29 ASSETS Cash and investments (note 2) Interest receivable Total assets CI1'Y OF NATIONAL CITY Statement of Fiduciary Net Assets Fiduciary Funds June 30, 2008 Library Private- Total Purpose Agency Fiduciary Trust Funds Funds S 47.169 339 47,508 650,981 698,150 339 650,981 698,489 E.IAF3ILE'l'IE:S Accounts payable - 650,981 650,981 Total liabilities - 650,981 650,981 NET ASSETS Meld in trust for private purposes $ 47,508 See accompanying notes to the basic financial statements. 30 47,508 CITY OF NATIONAL CITY Statement of Changes in Fiduciary Net Assets Fiduciary Funds Year ended June 30, 2008 Additions: Investment income Total additions Net increase (decrease) Net assets, beginning of year Net assets, end of year Library Private - Purpose Trust 1,813 1,813 1.813 45,695 S 47,508 See accompanying notes to the basic financial statements. 31 CITY OF NATIONAL CITY Notes to the Basic Financial Statements For the year ended June 30, 2008 (1) Summary of Significant Accounting Policies The basic financial statements of the City of National City. California (City) have been prepared in conformity with generally accepted accounting principles (GAAP) as applied to governmental agencies. The Governmental Accounting Standards Board (GASB) is the accepted standard setting body for establishing governmental accounting and financial reporting principles. The more significant of the City's accounting policies are described below. A. Reporting Entity The City was incorporated September 17, 1887 under the general laws of the State of California. The City operates under a Council -Manager form of government and provides basic local governmental services including public safety (police and fire), maintenance and construction of public improvements, cultural, recreation, planning, zoning, transportation, health services and general administration. In addition. the City operates the Transit Enterprise Fund and the Community Development Commission (including Morgan Towers and Kimball Towers Enterprise Funds). The financial reporting entity consists of (a) the primary government, the City, (h) organizations for which the primary government is financially accountable, and (c) other organizations for which the primacy ggovernment is not accountable, but for which the nature and significance of their relationship with the primary government are such that exclusion would cause the reporting entity's financial statements to he misleading or incomplete. As required by GAAP, these basic financial statements present the City and its component units, entities for which the City is considered to be financially accountable. Blended component units, although legally separate entities are, in substance, part of the City's operations and data from these units are combined with data of the City. Each blended component unit has a June 30 year-end. The City had no discretely presented component units. The following entities are reported as blended component units: Community Development Commission of the City of National City - The Community Development Commission of the City of National City (the "CDC") was established in April 1967 pursuant to provisions of the California Ilealth and Safety Code. The CDC was created to undertake and carry out the redevelopment of certain areas within the City which the CDC has determined to he blighted areas by encouraging development of residential, commercial, industrial, recreational and public facilities and to assist neighborhood redevelopment through residential property improvement loans and housing assistance payments to low and moderate income earners. The City Council is the Governing Board of the CI)C. Separate CDC financial statements may he obtained from the City's Finance Department located at 1243 National City Boulevard, National City, California 91950. 32 CI"1'Y OF NATIONAL, CITY Notes to the Basic Financial Statements (Continued) (1) Summary of Significant Accounting Policies. (Continued) National City Joint Powers Financing Authority - The National City Joint Powers Financing Authority (the "NCJPFA") was created pursuant to a joint exercise of powers agreement entered into by and between the City and the CDC on April 16, 1991. The purpose of such agreement was to provide for the financing and construction of a new police facility and a new community center. The NCJPFA is administered by a commission consisting of the members of the City Council and all voting power of the NCJPFA resides in the commission. The NCJPFA exclusively benefits the City. There are no separate financial statements available. Parking Authority of the City of National City - In July 1977. the Parking Authority of the City of National City (the "Authority") was activated pursuant to the Parking L,aw of 1949 for the financing and construction of the Plaza Bonita Parking Facility. The City Council is the governing board of the Authority. The Authority exclusively benefits the City. The capital assets of the Authority have been included in the Government \Vide Financial Statements. There are no separate financial statements available. B. Basis of Accounting and Measurement Focus The accounts of the City arc organized on the basis of funds, each of which is considered a separate accounting entity. The operations of each fund are accounted for with a separate set of self -balancing accounts that comprise its assets, liabilities, fund equity, revenues, and expenditures or expenses, as appropriate. Governmental resources are allocated to and accounted for in individual funds based upon the purposes for which they are to he spent and the means by which spending activities are controlled. Government -Wide Financial Statements The City's Government -Wide Financial Statements include a Statement of Net Assets and a Statement of Activities and Changes in Net Assets. These statements present summaries of governmental and business -type activities for the City accompanied by a total column. Fiduciary activities of the City are not included in the Government -wide statements. 33 CITY OF NATIONAL, CITY Notes to the Basic Financial Statements (Continued) (1) Summary of Significant Accounting Policies. (Continued) These basic financial statements are presented on an "economic resources" measurement focus and the accrual basis of accounting. Accordingly, all of the City's assets and liabilities. including capital assets, as well as infrastructure assets, and long-term liabilities, are included in the accompanying Statement of Net Assets. The Statement of Activities presents changes in net assets. Under the accrual basis of accounting, revenues are recognized in the period in which they arc earned while expenses are recognized in the period in which the liability is incurred. Certain types of transactions are reported as program revenues for the City in three categories: • Charges for services • Operating grants and contributions • Capital grants and contributions Certain eliminations have been made as prescribed by GASB Statement No. 34 in regards to interfund activities. payables and receivables. All internal balances in the Statement of Net Assets have been eliminated except those representing balances between the governmental activities and the business -type activities, which are presented as internal balances and eliminated in the total primary government column. In the Statement of Activities and Changes in Net Assets, internal service fund transactions have been eliminated; however, those transactions between governmental and business -type activities have not been eliminated. The following interfund activities have been eliminated: • Due to/from other funds • Loans receivable/related deferred revenue • Advances to/from other funds • "f ransfers in'out The City applies all applicable GASB pronouncements (including all NCGA Statements and Interpretations currently in effect) as well as the following pronouncements issued on or before November 30, 1989, to the business type activities, unless those pronouncements conflict with or contradict GASB pronouncements: Financial Accounting Standards Board (FASB) Statements and Interpretations. Accounting Principles Board (APB) Opinions, and Accounting Research Bulletins (ARB) of the committee on Accounting Procedure. The City applies all applicable FASI3 Statements and interpretations issued after November 30, 1989, except those that conflict with or contradict GASB pronouncements. 34 CITY OF NATIONAL CITY Notes to the Basic Financial Statements (Continued) Sunman; of Significant Accounting Policies, (Continued) Fund Financial Statements Governmental Funds Financial Statements Governmental Fund Financial Statements include a Balance Sheet and a Statement of Revenues, Expenditures and Changes in Fund Balances for all major governmental funds and non -major funds aggregated. An accompanying schedule is presented to reconcile and explain the differences in net assets as presented in these statements to the net assets presented in the Government -Wide Financial Statements. The City has presented all major funds that met the applicable criteria. All governmental funds are accounted for on a spending or "current Jinancial resources" measurement focus and the modified accrual basis of accounting. Accordingly, only current assets and current liabilities are included on the Balance Sheet. The Statement of Revenues, Expenditures and Changes in Fund Balances presents increases (revenues and other financing sources) and decreases (expenditures and other financing uses) in net current assets. Under the modified accrual basis of accounting, revenues are recognized in the accounting period in which they become both measurable and available to finance expenditures of the current period. Revenues are recorded when received in cash, except for that revenues subject to accrual (generally 60 days after year-end) are recognized when due. The primary revenue sources, which have been treated as susceptible to accrual by the City, are property tax, sales tax, intergovernmental revenues and other taxes. Expenditures are recorded in the accounting period in which the related fund liability is incurred. Deferred revenues arise when potential revenues do not meet both the "measurable" and "available" criteria for recognition in the current period. Deferred revenues also arise when the government receives resources before it has a legal claim to them, as when grant monies are received prior to incurring qualifying expenditures. In subsequent periods, when both revenue recognition criteria are met or when the government has a legal claim to the resources, the deferred revenue is removed and revenue is recognized. The Reconciliation of the Fund Financial Statements to the Gover►unent-Wide Financial Statements is provided to explain the differences created by the integrated approach of GASB Statement No. 34. 35 .40 CITY OF NATIONAL CITY Notes to the Basic Financial Statements (Continued) (1) Summary of Significant Accounting Policies. (Continued) The City reported the following types of major governmental funds: General Fund This fund is used to account for resources, which are not required legally or by sound financial management to be accounted for in another fund. Section 8 Housing Assistance Special Revenue Fund This fund is used to account for the activities of Section 8 Housing Assistance Program. The program provides rental assistance to low income families by subsidizing a portion of the rent directly to landlords on behalf of low income households. Other Special Revenue Fund This represents a combination of minor and less active funds that the City has combined for reporting purposes. Nutrition Program Special Revenue Fund This fund is used for operations of the Nutrition grant. Sewer Service Special Revenue Fund This fund is used to account for the collection of sewer connection fees and monthly sewer service charges used for the construction and maintenance of City sewers. Community Development Commission Debt Service Fund This fund is used to account for debt service of the Community Development Commission. Redevelopment Capital Project Fund This find is used to account for the administrative expenditures of the Community Development Commission and redevelopment capital projects. Library Construction Project Capital Project Fund This fund is used to account for activities of the library construction project. Proprieta►y Fund Financial Staternent.s Proprietary fund financial statements include a Statement of Net Assets, a Statement of Revenues, Expenses and Changes in Fund Net Assets, and a Statement of Cash Flows for each major proprietary fund. 36 CITY OF NATIONAL IONAL CffY Notes to the Basic Financial Statements (Continued) (i Summary of Significant Accountine Policies, (Continued) A separate column representing internal service funds is also presented in these statements. I lowever, internal service balances and activities have been combined with the governmental activities in the Ciovernment-Wide Financial Statements. Proprietary funds are accounted for using the "economic resources" measurement focus and the accrual basis of accounting. Accordingly. all assets and liabilities (whether current or noncurrent) are included on the Statement of Net Assets. The Statement of Revenues. Expenses and Changes in Fund Net Assets presents increases (revenues) and decreases (expenses) in total net assets. Under the accrual basis of accounting, revenues are recognized in the period in which they are earned while expenses are recognized in the period in which the liability is incurred. In these funds, receivables have been recorded as revenue and provisions have been made for uncollectible amounts. In accordance with GASB Statement No. 20, Accounting and Financial Reporting for Proprietary Funds and Other Government Entities that Use Proprietary Fund :recounting, the City applies all GASB pronouncements currently in effect as well as Financial Accounting Standard Board Statements and Interpretations, Accounting Principles Board Opinions and Accounting Research Bulletins of the Committee on Accounting Procedure issued on or before November 30, 1989. Operating revenues in the proprietary finds are those revenues that aregenerated from the primary operations of the fund. All other revenues are reported as nonoperating revenues. Operating expenses are those expenses that are essential to the primary operations of the fund. Ali other expenses are reported as nonoperating expenses. The City reported the following types of major proprietary funds: TDA Fund This fund is used to account for allocations received by the City pursuant to the "Transportation Development Act used for the operations of the National City Transit program. Kimball Towers This fund is used to account for activities relating to the operations of Kimball "Power. which is used to provide housing to low and moderate income seniors. Morgan Towers This fund is used to account for activities relating to the operations of Morgan Tower, which is used to provide housing to low and moderate income seniors. 37 Nod CITY OF NATIONAL CITY Notes to the Basic Financial Statements (Continued) (I) Summary of Significant Accounting Policies. (continued) 'Me City also reports the following fund types: Internal Service Funds These funds are used to account for interdepartmental operations where it is the stated intent that costs of providing services to the departments of the City on a continuing basis he financed or recovered primarily by charges to the user departments. Fiduciary Fund Financial ,Stutemenis Fiduciary fund financial statements include a Statement of Net Assets and a Statement of Changes in Fiduciary Net Assets. The City's fiduciary funds represent private -purpose trust fund and agency funds. The private -purpose trust fund is used to account for resources legally held in trust for special purposes. The Agency funds are custodial in nature (assets equal liabilities) and do not involve measurement of results of operations. The Agency funds are accounted for using an accrual basis of accounting. Use of Restricted'Unrestricted ?Vet Assets When an expense is incurred for purposes for which both restricted and unrestricted net assets are available, the City's policy is to apply restricted net assets first. D. Cash, Cash Equivalents and Investments The City pools its available cash for investment purposes. The City's cash and cash equivalents are considered to he cash on hand, demand deposits, and short- term investments with original maturity of three months or less from the date of acquisition. Cash and cash equivalents arc combined with investments and displayed as Cash and Investments. In accordance with CiASB Statement No. 31, Accounting and Financial Reporting for Certain Irnvestments and far External Investment' Pools, highly liquid market investments with maturities of one year or less at time of purchase are stated at amortized cost. All other investments are stated at fair value. Market value is used as fair value for those securities for which market quotations are readily available. 38 CITY OF NATIONAL CITY Notes to the Basic Financial Statements (Continued) Summary of Significant Accounting Policies. (Continued) The City participates in an investment pool managed by the State of California, entitled Local Agency Investment Fund (LAIF), which has invested a portion of the pool funds in Structured Notes and Asset -Backed Securities. LAIF's investments are subject to credit risk with the full faith and credit of the State of California collateralizing these investments. In addition, these Structured Notes and Asset -Backed Securities arc subject to market risk as to change in interest rates. E. Restricted Cash and Investments Certain restricted cash and investments are held by fiscal agents for the redemption of bonded debt and for acquisition and construction of capital projects. I'. Interfund I ransactio11S Activity between funds that are representative of lending./borrowing arrangements outstanding at the end of the fiscal year are referred to as either "due to/from other funds" (i.e., the current portion of interfund loans) or "advances to/from other funds" (i.e., the noncurrent portion of interfund loans). Any residual balances outstanding between the governmental activities and business -type activities arc reported in the Governmental -Wide Financial Statements as "internal balances." Advances between funds, reported in the fund financial statements, are offset by a fund balance reserve account in applicable governmental funds to indicate that they are not available for appropriation and are not expendable available financial resources. G. Inventories and Prepaid lions. Inventories are stated at cost using the average cost method. Payments made to vendors for services that will benefit periods beyond June 30, 2008 are recorded as prepaid items. The City uses the consumption method when reporting prepaid items. Prepaid items are recorded as an asset and are offset by a reserve in the fund financial statements. fI. Land Held for Resale Land held for resale is recorded at the lower of cost or estimated net realizable value. Fund balances are reserved in amounts equal to the carrying value of land and buildings held for resale, because such assets are not available to finance the City's current operations. 39 CITY OF NATIONAL CITY Notes to the Basic Financial Statements (Continued) (1) Summary of Significant Accounting Policies. (Continued) 1. Capita/ ,4ssets The City's assets are capitalized at historical cost or estimated historical cost. City policy has set the capitalization threshold for reporting general capital assets at $5.000 (including infrastructure assets). Gifts or contributions of capital assets are recorded at fair market value when received. Depreciation is recorded on a straight-line basis over the useful lives of the assets as follows: Buildings and hnprovements 10 -50 years Machinery and Equipment 2 -20 years Infrastructure 25 -75 years hn June 1999, the GASII issued Statement No. 34 which requires the inclusion of infrastructure capital assets in local governments' basic financial statements. in accordance with Statement No. 34, the City has included the value of all infrastructures in the F3asic Financial Statements. The City defines infrastructure as the basic physical assets that allow the City to function. The assets include the streets, water purification and distribution system, sewer collection and treatment system, parks and recreation, lands and improvement system, storm water conveyance system, and buildings combined with the site amenities such as parking and landscaped areas used by the City in the conduct of its business. Each major infrastructure system can be divided into subsystems. For example, the street system can be subdivided into pavement, curb and gutters, sidewalks, medians, streetlights, traffic control devices (signs, signals and pavement markings), landscaping and land. These subsystems were not delineated in the basic financial statements. The appropriate operating department maintains information regarding the subsystems. Interest accrued during capital assets construction, if any, is capitalized for the business -type and proprietary funds as part of the asset cost. For all infrastructure systems, the City elected to use the Basic Approach as defined by GASB Statement No. 34 for infrastructure reporting. The City commissioned an appraisal of City owned infrastructure and property as of June 30, 2003. This appraisal determined the estimated historical cost, which is defined as the actual cost to acquire new property in accordance with market prices at the time of first construction/acquisition. Estimated historical costs were developed in one of three ways: (1) historical records; (2) standard ,unit costs appropriate for the construction/acquisition date; or (3) present cost indexed by a reciprocal factor of the price increase from the construction/acquisition date to the current date. The accumulated depreciation, defined as the total depreciation from the date of construction/acquisition to the current date on a straight line, 40 CITY OF NATIONAL CITY Notes to the Basic Financial Statements (Continued) Summary of Significant Accounting Policies, (Continued) unrecovered cost method was computed using industry accepted life expectancies for each infrastructure system. The book value was then computed by deducting the accumulated depreciation from the estimated historical cost. J. Interest Payable In the government -wide financial statements, interest payable on long-term debt is recognized as the liability is incurred for governmental fund types and proprietary fund types. In the find financial statements, proprietary fiend types recognize the interest payable when the liability is incurred. Compensated Absences In the governmental fund financial statements, compensated absences are recorded as expenditures in the year paid, as it is the City's policy to liquidate any unpaid vacation or sick leave at year-end from future resources rather than currently available and expendable resources. Accordingly, the entire unpaid liability for employee compensated absences related to governmental fund types is recorded in the government -wide financial statements and is typically liquidated by the General Fund. For proprietary funds, the estimated value of the total accrued vacation and vested sick leave is recorded as current liability in the fund financial statements and government -wide financial statements and is typically liquidated by the respective enterprise and internal service funds. Long -Term Debt In the government -wide financial statements, long-term debt and other long -teen obligations are reported as liabilities in the applicable governmental activities. Bond premiums and discounts, as well as issuance costs, are deferred and amortized over the life of the bonds using the effective interest method. Bonds payable are reported net of the applicable bond premium or discount. Bond issuance costs are reported as deferred charges and amortized over the term of the related debt. In the fund financial statements, governmental fund types recognize bond premiums and discounts, as well as bond issuance costs, during the current period. The face amount of debt issued is reported as other financial sources. Premiums received on debt issuances are reported as other financing sources while discounts on debt issuances are reported as other financing uses. Issuance costs, whether or not withheld from the actual debt proceeds received, are reported as debt service expenditures. 41 CITY OF NATIONAL CITY Notes to the Basic Financial Statements (Continued) (1} Summary of Significant Accounting Policies. (Continued) �l. Fund Balances - Reservations and Designations In the fund financial statements, governmental funds report reservations of fund balances for amounts that are not available for appropriation or are legally restricted by outside parties for use for a specific purpose. Designations of fund balance represent tentative management plans that are subject to change. Net Assets ssets In the government -wide financial statements, net assets are classified in the following categories: Invested in Capital Assets. of Related Debt - This amount consists of capital assets net of accumulated depreciation and reduced by outstanding debt that attributed to the acquisition, construction, or improvement of the assets. Restricted Net Assets - This amount is restricted by external creditors, grantors, contributors, laws or regulations of other governments. Unrestricted Net Assets - This amount is all net assets that do not meet the definition of "invested in capital assets, net of related debt" or "restricted net assets." O. Property laves The City has elected, by ordinance, that the duties of assessing and collecting property taxes be performed by the San Diego County Assessor and Tax Collector. respectively. Tax levies cover the period from July 1 to June 30 of each year. All tax liens attach annually on the first day in March preceding the fiscal year for which the taxes are levied. Taxes are levied on both real and personal property as it exists on that date. Secured property taxes are levied against real property and arc due and payable in two equal installments. The first installment is due on November 1 and becomes delinquent if not paid by December 10. The second installment is due on February 1 and becomes delinquent if not paid by April 10. Unsecured personal property taxes are due on July 1 each year. Ihese taxes become delinquent if not paid by August 31. The City records property tax revenues in the fiscal year to which they relate rather than at the related lien date. 12 CITY OF NATIONAL. CITY Notes to the Basic Financial Statements (Continued) (1) Summary of Significant Accounting Policies. (Continued) One of the CDC's primary sources of revenue is from property tax increments. The assessed valuation of all property within the Downtown Redevelopment Project area was determined on the date of adoption of the Redevelopment Plan. Property tax related to the incremental increase in assessed values after the adoption of the Redevelopment Plan are allocated to the CDC; all taxes on the "frozen" assessed valuation of the property are allocated to the City and unrelated taxing agencies. 1'. Community Development Commission Rental Revenue Rental revenues received from tenants in the CDC's Morgan "Powers Housing Project (an enterprise fund) are subsidized with .Federal government funds under a Section 8 contract with the U.S. Department of I lousing and Urban Development (HUD). The rent subsidy received from IIUI) is equal to the excess of the fair market rent of the apartment units over the amounts paid by the tenants. The amounts paid by the tenants are subject to certain Section 8 eligibility requirements and application procedures. Q. Use of -Estimates The preparation of the basic financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions. These estimates and assumptions affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities. In addition, estimates affect the reported amount of expenses. Actual results could differ from these estimates and assumptions. (2)__ Cash and Investments ('ash and investments as of June 30, 2008 are classified in the accompanying financial statements as follows: Statement of Net Assets: Cash and investments Restricted cash and investments with fiscal agents Statement of Fiduciary Net Assets: Cash and investments Total cash and investments Cash and investments as of June 30. 2008 consist of th ('ash on hand Deposits with financial institutions Investments Total cash and investments 43 $ 76,142,706 6.03 8.540 698.150 e following: $ 625 3,503,115 79 375,656_ $__ 82,879;396 CITY OF NATIONAL CITY Notes to the Basic Financial Statements (Continued) (2) Cash and Investments, (Continued) Investments Authorized by the California Government Code and the City's Investment Policy The table below identifies the investment types that are authorized for the City by the California Government Code and the City's investment policy. The table also identifies certain provisions of the California Government Code (or the City's investment policy, if more restrictive) that address interest rate risk and concentration of credit risk. This table does not address investments of debt proceeds held by fiscal agent that are governed by the provisions of debt agreements of the City, rather than the general provisions of the California Government Code or the City's investment policy. Investment Types Authorized by State Law Local Agency Bonds U.S. Treasury Obligations U.S. Agency Securities Banker's Acceptances Commercial Paper Negotiable Certificates of Deposit Repurchase Agreements Reverse Repurchase Agreements Medium -Term Notes Mutual Funds Money Market Mutual Funds Mortgage Pass -Through Securities County Pooled Investment Funds Local Agency Investment Fund (LAfF) JPA Pools (other investment pools) Authorized By Investment Policy Yes Yes Yes Yes Yes Yes Yes No Yes Yes Yes Yes Yes Yes Yes *Maximum *Maximum Percentage Maturity Of Portfolio 5 years 5 years 5 years 180 days 180 days 2 years 1 year 92 days 20% 5 years N/A N/A 5 years N/A N/A N/A None None None 5% 15% 30% None of base value 30% 15% 20% 20% None None None *Maximum Investment in One Issuer None None None 5% 10% None None None None 10% 0% None None None None * Based on state law requirements or investment policy requirements, whichever is more restrictive. 44 CITY OF NATIONAL, CTTY Notes to the Basic Financial Statements (Continued) (2) Cash and Investments, (Continued) Investments Authorized by Debt Agreements Investment of debt proceeds held by fiscal agent are ggovemed by provisions of the debt agreements, rather than the general provisions of the California Government Code or the City's investment policy. The table below identifies the investment types that are generally authorized for investments held by fiscal agent. The table also identifies certain provisions of these debt agreements that address interest rate risk and concentration of credit risk. Authorized Invesunent Typ ivtaxin urn Maximum Maximum Percentage Investment Maturity Allowed in One Issuer U.S. Treasury Obligations None None None U.S. Agency Securities None None None Banker's Acceptances 360 days None None Commercial Paper 270 days None None Money Market Mutual Funds N/A None None Investment Contracts 30 years None None Certificates of Deposit None None None Repurchase Agreements None None None Mortgage Pass -Through Securities None None None State Bonds or Notes None None None Municipal Bonds or Notes None None None Disclosures Relating. to Interest Rate Risk Interest rate risk is the risk that changes in market interest rates will adversely affect the fair value of an investment. Generally, the longer the maturity of an investment, the greater the sensitivity of its fair value to changes in market interest rates. One of the ways that the City manages its exposure to interest rate risk is by purchasing a combination of shorter term and longer term investments and by timing cash flows from maturities so that a portion of the portfolio is maturing or coming close to maturity evenly over time as necessary to provide the cash flow and liquidity needed for operations. 45 CI"IY OF NATIONAL. CITY Notes to the Basic Financial Statements (Continued) (2) Cash and Investments. (Continued) Information about the sensitivity of the fair values of the City's investments (including investments held by fiscal agent) to market interest rate fluctuations is provided by the following table that shoves the distribution of the City's investments by maturity: Remaining Maturity (in Monthsj_ Investment Type U.S. Agency Securities Negotiable Certificates of Deposit Local Agency Investment Fund Ileld by Fiscal Agent: Commercial Paper Money Market Funds Total Total S 9,328,961 7,621,041 57.776.567 2,844,000 1.805,087 $79 75,656 Disclosures Relating to Credit Risk 12 Months or Less 13 to 24 25 to 60 Months Months 4,855,298 2.765,743 57,776,567 2,344,000 1,805.087 9,328,961 500,000 66,780,952 2_.765,7 3 9,828.9611, Generally, credit risk is the risk that an issuer of an investment will not fulfill its obligation to the holder of the investment. This is measured by the assignment of a rating by a nationally recognized statistical rating organization. Presented below is the minimum rating required by (where applicable) the California Government Code, the City's investment policy, or debt agreements, and the actual rating as of year end for each investment type. Investment Type U.S. Agency Securities Negotiable Certificates of Deposit Local Agency Investment Fund I-leld by Fiscal Agent: Commercial Paper Money Market Funds Total $ 9,328,961 7,621.041 57,776,567 2,844.01)0 1,805.087 $79 _i7 .,656 46 Minimum Legal Ratine AAA N/A N/A A N/A Rating as of Year End Not AAA Rated 9,328,961 1,805,087 11,134 048 7,621,041 57,776,567 2,844,000 60,241.608 CITY OF NATIONAI. CITY Notes to the Basic Financial Statements (Continued) Cash and Investments. (Continued) Concentration of Credit Risk Investments in any one issuer that represents 5% or more of total investments by reporting unit (primary government, governmental activities, major fund, nonmajor funds in the aggregate, etc.) are as follows. $2,344,000 of the cash and investments (including amounts held by fiscal agent) reported in the Community Development Commission Debt Service Fund (a major fund of the City) are held in the form of unrated commercial paper issued by General Electric that matures on July 31, 2008. Custodial Credit Risk Custodial credit risk for deposits is the risk that, in the event of the failure of a depository financial institution, a government will not be able to recover its deposits or will not be able to recover collateral securities that are in the possession of an outside party. The custodial credit risk for investments is the risk that, in the event of the failure of the counterparty (e.g., broker -dealer) to a transaction, a government will not be able to recover the value of its investment or collateral securities that are in the possession of another party. The California Government Code and the City's investment policy do not contain legal or policy requirements that would limit the exposure to custodial credit risk for deposits or investments, other than the following provision for deposits: "I'he California Government Code requires that a financial institution secure deposits made by state or local governmental units by pledging securities in an undivided collateral pool held by a depository regulated under state law (unless so waived by the governmental unit). The market value of the pledged securities in the collateral pool must equal at least 110% of the total amount deposited by the public agencies. California law also allows financial institutions to secure City deposits by pledging first trust deed mortgage notes having a value of 150% of the secured public deposits. As of June 30, 2008, City investments in the following investment types were held by the same hroker-dealer (counterparty) that was used by the City to buy the securities: Investment 'fvpe U.S. Agency Securities Negotiable Certificates of Deposit Reported Amount $9,328,961 7,621,041 For investments identified herein as held by fiscal agent, the fiscal agent generally selects the investment under the terms of the applicable trust agreement, acquires the investment, and holds the investment on behalf of the reporting government. 47 CITY OF NATIONAL CITY Notes to the Basic Financial Statements (Continued) Cash and Investments. (Continued) investment in State Investment Pool The City is a voluntary participant in the Local Agency Investment Fund (LAIF) that is regulated by the California Government Code under the oversight of the Treasurer of the State of California. The fair value of the City's investment in this pool is reported in the accompanying financial statements at amounts based upon the City's pro-rata share of the fair value provided by LAIF for the entire LAIF portfolio (in relation to the amortized cost of that portfolio). The balance available for withdrawal is based on the accounting records maintained by LAiF, which are recorded on an amortized cost basis. LAIF is not rated. Restricted Cash and Investments of Community Development Commission Enterprise Fund The activities of Morgan Towers and Kimball Towers activities are recorded in and presented as Community Development Commission Enterprise Fund. in accordance with HUD requirement, the CDC maintains the following: Morgan Towers: Replacement reserve $ 453,068 Residual receipts reserve 142,250 MIP and insurance impounds reserve 1 777 Total Morgan Towers $. 61 1, 095 Kimball Towers: Residual receipts reserve $ 295,860 Other 897.951 Total Kimball Towers Total restricted cash and investments $1_ 804906 Morgan Towers • Reserve for replacements of $453,068 represents a monthly deposit of $3,127 plus income earned thereon. This reserve will be used for the future replacement of property with IIUD's approval. • Residual receipts reserve of $142,250 is an accumulation of surplus cash as calculated by HUD's Computation of Surplus Cash. Distributions and Residual Receipts, which can be expended only with HUD's approval. • Reserve for MIP and insurance impounds of $12,028 and $3,749, respectively, totaling S 15,777 represent amounts held for the future payment of property and mortgage insurance. Kimball Towers • Residual receipts reserve of $295,860 is an accumulation of surplus cash as calculated by HUD's Computation of Surplus Cash, Distributions and Residual Receipts, which can be expended only with HUD's approval. • Other restricted cash and investments totaling $897,951 is included in the accompanying basic financial statements. 48 CITY OF NA CIONAI, CIi'Y Notes to the Basic Financial Statements (Continued) (1))- Interfund Transactions Due "1'o/Frotn Other Funds Current interfund receivable and payable balances at June 30, 2008 are as follows: Due from Other Funds Due To Other Funds Amount General Fund Other Special Revenue Fund S2,420,036 Nutrition Program Special Revenue Fund 1 16,470 Library Construction Capital Projects Fund 1,106,088 Community Development Commission Debt Service Fund 742,217 Other Governmental Funds 14,026 internal Service Funds 5.000 Subtotal - General Fund 4,403,837 Other Special Revenue Fund General Fund 371,447 Other Special Revenue Funds 480 Other Governmental Funds 9,686 Subtotal -- Other Special Revenue Fund 381,613 Other Governmental Funds Other Governmental Funds 458,059 Other Special Revenue Fund 321 Subtotal -- Other Governmental funds 458, 380 Redevelopment Capital Projects Fund Section 8 Housing, Assistance Special Revenue Fund 883 Nutrition Program Special Revenue Fund _. 1,198.87r0 Subtotal - Redevelopment Capital Projects Fund 1,499,753 S 6,743,583 lnterfund balances are primarily related to short-term borrowings to cover deficit cash balances at June 30. 2008. 49 virf CITY OF NATIONAI. CITY Notes to the Basic Financial Statements (Continued) (3) Interfund Transactions, (Continued) Interfund Transfers For the year ended June 30. 2008, interfund transfers were as follows: Transfers In General Fund Other Governmental Funds Nutrition Prouain Special Revenue Fund Other Special Revenue Fund TDA Enterprise Fund Transfers Out Amount Other Governmental Funds General Fund General Fund General Fund General fund Internal Service Funds General Fund Other Special Revenue Fund Other Governmental Funds Other Special Revenue Fund Internal Service Ftuid Community Development Commission Debt Service fund Other Governmental Funds Redevelopment Community Development Capital Projects Fund Commission Debt Service Fund $ 700,000 (a) 1.305.023 (b) 375,912 830,277 103.493 95,000 11.958 143,771 814,215 (c) 8.915.568 (d) S 1.3,295,217 Significant ►nterfund transfers were primarily to: (a) reimburse the General Fund for related highways and streets expenditures; (b) provide funding for library operating expenditures; (c) provide funding to cover debt service payments made during the fiscal year that related to low and moderate development; (d) provide funding for future capital project expenditures. 50 CITY OF NATIONAI. CITY Notes to the Basic Financial Statements (Continued) (4j Contracts. Notes and Loans Receivable As of June 30, 2008, the Contracts. Notes and Loans Receivable consisted of the following: Community Development Commission Governmental Fund: Residential property improvement loans S6,474,958 First-time homebuvers loans 1237,068 Total $7 712,026 (5) Capital Assets The following is a summary of changes in the capital assets for governmental activities at June 30, 2008: Ba'ance at Balance at Jul) 1., 2027! Additions Deletions J.une}0 2008 Governmental -type activities: Depreciable: Buildings and improvements S. 42,995,823 1,348.144 44,343,967 Machinery and equipment 11.353,721 574.508 (17,503) 11,910,726 Infrastructure 1(15.421_595 139.609 (.34.284) _I05_52692O Total cost of depreciable capital assets 159.7 71.1 39 2.(062 261 (S1.,_787) 164781,643 Less accumulated depreciation: Buildings and improvements (13.008.007) (1,3 35,655) - (14,34 3,662) Machinery and equipment (6,856.928) (818.343) 1,167 (7.674,104) Infrastructure (46.442y70) (2.J38,30(?) 23.067 (4.8_857502) Total accumulated depreciation (66 307,2205) 14.592,304J 21.234 (70.875.275) Net depreciable capital assets 93,463.934 (2,530.043) (27,553) 90,906,338 Non -depreciable: I.and 19.125,598 966.006 - 20.025,598 lights of way 1 245.088 - - 4 245.088 Trial non -depreciable capital assets _ 23.370.686 900.000 __- _ 24.270,68E Capital assets. net S 116,834,620 (1,630.014.3) (27 5531 115,177924 Beginning balances have hccn restated. See footnote 11 for additional information. 51 ('ITY OF NATIONAI. CITY Notes to the l3asic Financial Statements (Continued) Capital Assets.kC:ontinuedj Depreciation expense for governmental activities for the year ended .tune 30. 2008 of $4,592.304 was allocated as follows: General Government Community Development Public Safety Transportation $ 349,533 1,440,234 849.051 1.953,486 $=4>592 0`1 The following is a summary of changes in the capital assets for business -type activities at June 30, 2008: Business -type activities: Depreciable: Buildings and improvements Machinery and equipment Total depreciable capital assets Less accumulated depreciation Total depreciable assets. net Balance at Balance at July I _2007 Additions Deletions June30, 2008 S 17,629,514 4,223 (1.997.630) 15.636,107 5,453.644 ---59 (01 -..._(5,051 O9 ) 462,153 23,083,158 63,827 (7,048,725) 16.098,260 B1.082.019) (_436,306) 3.329 943 r8.188,382) 12,001 139 (372.47,1) (3.,718,782) 7909_878 Non -depreciable assets: I.anct 1__42:1_382 —. - . (904 Q00) -- 528,382 Total non -depreciable capital assets . l _42b..382 - (900.000) 528,382 Capital assets. net $1.3,429,52I (372,479) (4,b18,782) 8,4 38.260 Depreciation expense for business -type activities for the year ended June 30. 2008 was allocated as follows: Kimball lowers Morgan Mowers $ 187,350 248.956 Total depreciation expense $4 36,306 ;7 CITY OF NATIONAL, CITY Notes to the Basic Financial Statements (Continued) Ifi) Risk Management The City is exposed to various risks of loss related to torts; theft of, damage to and destruction of assets; errors and omissions; natural disasters; and workers' compensation claims. A self-insurance (internal service) fund is used to account for the City's insurance programs. Operating revenues of this fund represent payments from other City funds and are based upon estimated umbrella insurance premium expenses, self-insurance losses and other operating expenses. The City is a member of the San Diego Pooled Insurance Program Authority (the "Program Authority"). a joint powers authority established to provide insurance and insurance -related services to its members. l'he Program Authority's governing board consists of one member from each participating city and is responsible for the selection of management as well as budgeting and finance. insurance activities are financed by charges to member cities. Each participating city has its own self -insured retention level. The City is insured for general liability with a self=insured retention of $150.000. Losses between the self -insured retention level and S2,000,000 are shared by the participant cities. Excess liability insurance coverage is provided by the Program Authority for losses greater than S2.000.000 up to $35,000,000. Losses in excess of $35,000,000 are not covered and are self -funded by the City. The City is completely self - insured for unemployment claims. The City is also a member of C'SAC Excess Insurance Authority (" CSAC"), a joint powers authority, for workers compensation claims. The City is self -insured for workers compensation claims and losses up to $500,000 per occurrence. Losses between the self - insured retention level and S5,000,000 are shared by the participant cities. Losses in excess of $5,000,000 up to $200,000,000 are reinsured by a commercial insurance carrier. The City is completely self -insured for unemployment claims. During the current year, there were no significant reductions in insurance coverage from the prior year. For each of the past three fiscal years, the settlements have not exceeded the City's insurance coverage. 53 CITY OF NATIONAL. CITY Notes to the Basic Financial Statements (Cont inued) (6) Risk management. (Continued) At June 30, 2008, the City accrued $4,508,000 of workers' compensation and general liability claims representing estimates of amounts to be paid for actual and incurred but not reported claims based upon past experience, modified for current trends and information. Allocated claim adjustment expenses are included in claim liabilities. While the ultimate amount of losses incurred through June 30. 2008 is dependent on future developments. based upon information from the City Attorney, outside counsel and others involved with the administration of the programs, City management believes that the aggregate accrual is adequate to cover such losses. For the past three years, no settlements or claims payments have exceeded the amount of the applicable coverage. For the past two fiscal years, the changes in the City's liability for claims payable are summarized as follows: Fiscal Year 2007-08 Fiscal Year 2006-07 Unpaid claims, July I $ 4,145,000 2,105,127 Incurred claims and adjustments 2,139,017 3,381,579 Claims paid (1,776.017) (1,341.706) Total $4,5Ofi,000 :4,145,000 54 CITY OF NATIONAL CITY Notes to the Basic Financial Statements (Continued) L7L Long -Term Debt Following is a summary of long-term debt transactions for the fiscal year ended June 30, 2008: Classification Amount Dtre Amount Due Balance at Balance at Within Beyond July 1. 2007 Additions Deletions June 302008 One Year One Year Governmental Activities: National City Joint Powers Financing Authority: Lease Revenue Refunding Bonds S 4,220.000 (300,000) 3,920,001 3I5.000 3,605.000 Community Development Commission: 1999 'Tax Allocation 13onds 4,435,000 (110,000) 4,325,000 115,000 4,210,000 2004 Tax Allocation Bonds 5,395,000 - (250,000) 5,145,000 260.000 4.885.0(H) 2005 Series A and B "fax Allocation 13onds 34,055,000 11,705,000) 32.350,tX)0 1.765,000 30,585,000 General Obligation Bonds 5,720,000 - (135,000) 5,585,000 145,000 5,440,000 HUD 108 Bond 2003 A 6,380.000 ---___-- L195. )Q0) .fi 185.Q00 210.000 5.975.000 Total Bonds 60.205,000 - (2,695.000) 57.5 (0,000 2,8I0,000 5,1,700.000 Claims Payable 4,145,000 2,139.017 (1,776.017) 4,508,000 1,930.000 2,578.000 Compensated Absences 2,490.655 722,212 (101,836) 3,111,061 1,78,1,383 1,326,678 Capitalized Lease Obligations - 1655_327 ____---_...... (82.387) 1.372.940 273,205 1.099.7, 35 Total Governmental Activities 68,495,982 2,361.259 (4.855,240) 66.502.001 6,797.588 59,704,413 Business -type Activities. Note Payable 3 I)2(149 - 068.586) 2_853.463 179,857 2677.606 Total Primary Government S71„18,031. 2,$0,259 (5,02�..826) 69,?55,4M 6,977,445 62,378,019 National City Joint Powers Financing Authority (NCJPFA) Lease Revenue Refunding Bonds The NCJPFA issued S6,255,000 of refwnding bonds on October 1, 1998 to provide funds for the advance refunding of the previously issued bonds. Interest on the bonds is payable semiannually on each April 1 and October 1, commencing April 1, 1999. The bonds are special obligations of NCJPFA secured by a pledge of revenues which consist of lease payments received by NCJPFA, as lessor, from the City, as lessee. 55 CITY OF NATIONAL CITY Notes to the Basic Financial Statements (Continued) Long -Term 1)cht. (Continued) The bonds have interest rates that range from 3.20% to 3.95 % for those that mature from 1999 through 2008 and 4.70% for those that mature from 2009 through 2017. The bonds maturing on or before October I, 2008 are not subject to optional redemption prior to maturity. The bonds maturing on or after October 1, 2009 are subject to optional redemption prior to maturity on October 1, 2008, and any payment date thereafter at the option of NC.IFPA, as a whole or in part pro rata among maturities and by lot within a maturity, expressed as percentages of the principal amount to he redeemed, plus accrued interest to the redemption date as follows: October 1, 2008 and April I, 2009 102%0 October 1, 2009 and April 1, 2010 101 October 1. 2010 and thereafter 100% The annual debt service payments for the bonds are as follows: Fiscal Year Princjpal Interest 'focal 2009 $ 315,000 175,657 490,657 2010 325,000 161,798 486,798 2011 345,000 146,053 491,053 2012 360,000 129,486 489,486 2013 375,000 117,213 487.213 2014 400,000 94,000 494,000 2015 420,000 74,730 494,730 2016 435,000 54,638 489,638 2017 460,000 33,606 493,606 2018 485.000 11,398 496.398 Total $.3,920,000 993,$29 4,911519 579 56 ('ITY OF NATIONAL, ('ITY Notes to the Basic Financial Statements (Continued) (7) _ Long -Term Debt. (Continued) Community Development Commission 1999 'Fax Allocation Bonds In June 1999, the Commission issued $5,050,000 in Tax Allocation Bonds for the Q Avenue Redevelopment project. The bonds consist of $1,085,000 in serial bonds which mature from 2000 to 2010 in amounts ranging from $45,000 to $125,000, and $1,425,000 in term bonds which mature in 2019. and $2,540,000 in term bonds which mature in 2029. Interest is payable semi-annually on February 1 and August 1, at interest rates ranging from 3.30% to 4.50%. The annual debt service requirements for the 1999 "fax Allocation l3onds outstanding are as follows: Fiscal Year Principal Interest Total 2009 $ 115,000 214,802 329,802 2010 120,000 209.690 329,690 2011 125.000 /04,237 329,237 2012 130,000 198,175 328,175 2013 135,000 191.550 326,550 2014 145,000 184,550 329,550 2015 150,000 177,176 327,176 2016 155,000 169,550 324,550 2017 165,000 161,549 326,549 2018 175,000 153,050 328,050 2019 180,000 144,175 324,175 2020 190,000 134,925 324,925 2021 200.000 125,050 325,050 2022 210,000 114,543 324,543 2023 220,000 1 03,525 323,525 2024 235,000 91.866 326,866 2025 245.000 79,566 324,566 2026 260,000 66,625 326,625 2027 270.000 53.044 323,044 2028 285.000 38.822 323,822 2029 300.000 23.831 323,831 2030 315,000 8.072 323,072 Total $4.3325.00() 2_84$}37 3 7 173,373 57 CITY OF NA-IIONAL CI"IY Notes to the Basic Financial Statements (Continued) (7)_ -_ Ione-Term Debt. (Continued) Community Development Commission 2004 Tax Allocation Bonds In June 2004, the Commission issued `55,860,000 Tax Allocation Bonds to finance a portion of the cost to construct a fire station, library. and community art center. The bonds consist of $3,045,000 in serial bonds, which mature from 2005-2015 in amounts ranging from S220,000 to $330,000. and S1,085,000 in term bonds, which matures in fiscal year 2029. Interest is paid semi-annually on February 1 and August 1, at interest rates ranging from 1.50% to 5.50%. The annual debt service requirements for the 2004 Fax Allocation Bonds outstanding are as Iollo\\'s: Fiscal Year Principal Interest Total 2009 $ 260,000 231,348 491,348 2010 265,000 223,534 488,534 2011 275,000 214,685 489,685 2012 285,000 204,880 489,880 2013 295,000 194,145 489,145 2014 305,000 182,440 487,440 2015 315.000 169,883 484,883 2016 330,000 156,413 486,413 2017 149,400 149,400 2018 - 149,400 149,400 2019 - 149,400 149,400 2020 149,400 149,400 2021 149,400 149,400 2022 - 149,400 149.400 2023 - 149,400 149,400 2024 - 149,400 149,400 2025 149,400 149,400 2026 149,400 149,400 2027 345,000 140,775 485,775 2028 360,000 123,150 483,150 2029 380.000 104,650 484,650 2030 400.000 84.150 484,150 2031 420,000 61,600 481,600 2032 445,000 37,813 482,813 2033 46 000 12,788 477.788 Total $5,J_45 0(10 3636,254 $,78.1_.254 58 CITY OF NATIONAL CITY Notes to the Basic Financial Statements (Continued) Lono-"Perm Debt (Continued] Community Development Commission 2005 Tax Allocation Bonds In January 2005, the Commission issued 2005 Tax Allocation I3onds Series A & 13, in the aggregate principal amount of S27,940,000 and $9,840,000, respectively. The bonds were issued for the purpose of refunding the 2001 Tax Allocation Refunding I3onds Series A & B. Interest on the bonds is payable semiannually on August 1 and February 1, commencing August 1, 2005, at rates ranging from 2.9" 0 to 5.25% per annum. The annual debt service requirements for the 2005 Tax Allocation Bonds outstanding are as follows: Fiscal Year Principal interest Total 2009 S 1,765,000 1,472,298 3,237,298 2010 1,840,000 1,401,698 3,241,698 2011 2,125,000 1,324,418 3,449,418 2012 3,060,000 1,233,043 4,293,043 2013 3,200,000 1,095,343 4,295,343 2014 3,345,000 948,143 4,293,143 2015 3,505,000 790,928 4,295,928 2016 3,670,000 622.688 4,292,688 2017 760,000 444,693 1,204,693 2018 790,000 415,813 1,205,813 2019 625,000 385,00 3 1,210,003 2020 855,000 352.003 1,207,003 2021 890,000 317.803 1,207,803 202) 570,000 277,753 847,753 2023 595,000 253,528 848,528 2024 780,000 227,943 1.007,943 2025 815.000 194.013 1,009,013 2026 855,000 153.263 1,008,263 2027 555,000 110.513 665,513 2028 435,000 81.375 516,375 2029 250,000 58,538 308,538 2030 200,000 45.413 245,413 2031 210,000 34.913 244,913 2032 220,000 233,883 243.888 2033 235.000 12.338 247.338 Total $32,3504.000 11277,152 44.627 3ti2 59 CITY OF NATIONAL CITY Notes to the Basic Financial Statements (Continued) (7) Long -Term Debt. (Continued') 2003 General Obligation Bonds The City issued $6,000,000 of general obligation bonds, Election of 2002, Series A on April 24, 2003 to provide funds for a new public library. The bonds mature annually through August 1. 2028 in the amounts ranging from $120,000 to $425,000 beginning August 1, 2003. The interest of the bonds is payable semi-annually on each February 1 and August 1, commencing February 1, 2004. The interest rate of the bonds ranges from 3.70% to 6.10%. The bonds are payable solely from and secured by ad valorem taxes of all property subject to taxation by the City. The bonds are subject to optional and mandatory early redemption provisions. The annual debt service payments for the bonds outstanding are as follows: Fiscal Year Principal Interest Total 2009 $ 145,000 253,647 398,647 2010 155,000 244,497 399,497 2011 165,000 234,740 399,740 2012 175,000 224,658 399,658 2013 185,000 214,089 399,089 2014 200,000 204,870 404,870 2015 210,000 196,775 406,775 2016 220,000 188,280 408,280 2017 230,000 179,580 409,580 2018 240,000 169,830 409,830 2019 255,000 159,525 414,525 2020 265,000 148,673 413,673 2021 280,000 136,851 416,851 2022 295,000 124235 419,235 2023 310,000 109,970 419,970 2024 330,000 95,571 425,571 2025 345,000 81,011 426,011 2026 365,000 64,635 429,635 2027 385,000 47,290 432,290 2028 405,000 28,475 433,475 2029 425.000 9.282 434.282 Total $__5. 5QQQ 3,l_16,4841 8,701,4$4 60 CITY OF NATIONAL. CITY Notes to the Basic Financial Statements (Continued) (7) Long -Term Debt, (Continued) 2003 A HUD 108 Bond The City issued $6,900,000 of I HUD 108 Bonds, Series A on August 7, 2003 to provide funds for the construction of a fire station. The bonds mature annually through 2024 in the amount ranging from $170,000 to $635,000 beginning in 2005. 1'he interest of the bonds is payable semi-annually on each February 1 and August 1, commencing February 1, 2004. The annual debt service payments for the bonds outstanding are as 6 11ows: Fiscal Year Principal Interest Total 2009 $ 210,000 314,633 524,633 2010 775,000 306.650 531,650 2011 245,000 297269 542,269 2012 260,000 . 286,413 546,413 2013 280,000 274,117 554,117 2014 305,000 260,227 565,227 2015 325,000 244,850 569,850 2016 350,000 227,967 577,967 2017 380,000 209,233 589,233 2018 410,000 188,528 598,528 2019 440,000 165.847 605,847 2020 475,000 141,044 616,044 2021 510,000 113,975 623,975 2022 545,000 84,640 629,640 2023 590.000 52,770 642,770 2024 635.000 18,066 653,066 Total $6,1.85,Q00 3.. 8..Ci,229 9,37.1,229 61 (.'ITY OF NATIONAI. CITY Notes to the Basic Financial Statements (Continued) (71__._ . Long —Term Debt. (Continued) Morgan Towers Note Payable The note payable is secured by a deed of trust and is payable to GMAC. The original note was dated March 1, 1978 in the amount of $5,125,000. Payments of principal and interest at 6.5% aggregating $30,005 are made monthly with the final payment due August 1. 2019. The unpaid principal portion of the note at June 30, 2008 was $2,853,463. 'l'he note is insured by HUD and is secured by substantially all property and equipment of the Morgan Towers Enterprise Fund. The annual principal payments of the note payable outstanding are as follows: Fiscal Year Principal Interest total 2009 $ 179,857 180,203 360.060 2010 191,927 168.133 360.060 2011 204,776 155,284 360,060 2012 218,492 141,568 360,060 2013 233,124 126,936 360,060 2014 248.736 1 1 1,324 360,060 2015 265,395 94,665 360,060 2016 283,170 76,890 360,060 2017 302,136 57,924 360,060 2018 322,368 37,692 360.060 2019 343,957 16,103 360,060 2020 59.525 485 60.010 Total $2,853.463 1.167,207 4,020,670 Defeasance of Debt As of June 30. 2008, the outstanding balances of defeased issues are as follows: Community Development Commission 2001 Tax Allocation Bonds $35,485,000 Community Development Commission 1998 Tax Allocation Bonds 15.205,000 62 CiTY OF NATIONAL CITY Notes to the Basic Financial Statements (Continued) (8) ____ CityDefined Benefit Pension Plan (PERS) The City of National City contributes to the California Public Employees Retirement System (PERS). The miscellaneous employees of the City and the safety employees are part of a single -employer defined benefit pension plan. PERS provides retirement and disability benefits, annual cost of living adjustment, and death benefits to plan members and beneficiaries. PERS acts as a common investment and administrative agent for participating public entities within the State of C'alitbrnia. Copies of PERS' annual financial report may be obtained from its executive office at 400 "P" Street. Sacramento, California 95814. Miscellaneous and safety participants are required to contribute 8% and 9%, respectively, of their annual covered salary. The City makes the contributions required of City employees on their behalf and for their account.. Benefit provisions and all other requirements are established by state statute and City contract with employee bargaining groups. Ender GASB 27, an employer reports an annual pension cost (APC) equal to the annual required contribution (ARC) plus an adjustment for the cumulative difference between the APC and the employer's actual plan contributions for the year. The cumulative difference is called the net pension obligation (NPO). The ARC for the period July 1, 2007 to June 30, 2008 has been determined by an actuarial valuation of the plan as of June 30, 2005. The contribution rate indicated for the period is 26.870% of payroll for the safety plan and 16.606% of payroll for the miscellaneous plan. in order to calculate the dollar value of the ARC for inclusion in the financial statements prepared as of June 30, 2008, the contribution rate is multiplied by the payroll of covered employees that were paid during the period from July I, 2007 to June 30, 2008. A summary of principle assumptions and methods used to determine the ARC is shown below. City Miscellaneous Employees Group Safety Employees Group Valuation Date June 30, 2005 June 30. 2005 Actuarial Cost Method Entry' Age Actuarial Cost Method F.ntry Age Actuarial Cost Method Amortization Method Level Percent of Payroll Level Percent of Payroll Average Remaining Period 28 Years as of the Valuation Date 32 Years as of the Valuation Date Asset Valuation Method 15 Year Smoothed Market 15 Year Smoothed Market Actuarial Assumptions investment Rate of Return 7.75°0 (net of administrative expenses) 7.75% (net of administrative expenses) Projected Salary Increases 3.25t'o to 13.35% depending on Age. 3.25% to 13.15°o depending on Age. Service, and type of employment Service, and type of employment Inflation 3.00% 3.00% Payroll Growth 3.25% 3.25% Individual Salary Growth A merit scale varying by duration of A merit scale varying by duration of employment coupled with an assumed employment coupled with an assumed annual inflation component of 3.00°b annual inflation component of 3.00°0 and an annual production growth of and an annual production growth of 0.25% 0 0.25% 63 0) CITY OF NA1IONAI. CITY Notes to the Basic Financial Statements (Continued) City Defined Benefit Pension Plan (PIES) (Continued) Initial unfunded liabilities are amortized over a closed period that depends on the plan's date of entry into Ca1PERS. Subsequent plan amendments are amortized as a level percentage of pay over a closed 20-year period. Gains and losses that occur in the operation of the plan are amortized over a rolling 30 year period, which results in an amortization of 6% of unamortized gains and losses each year. If the plan's accrued liability exceeds the actuarial value of plan assets, then the amortization payment on the total unfunded liability may not be lower than the payment calculated over a 30 year amortization period. The Schedule of Funding Progress below shows the recent history of the actuarial value of assets, actuarial accrued liability, their relationship, and the relationship of the unfunded accrued liability to payroll. The schedule of funding progress, presented below presents multiyear information about whether the actuarial value of plan assets is increasing or decreasing over time relative to the actuarial accrued liability for benefits. Required Supplementary Informalion --City Miscellaneous L'» 1plo1,ce'.S Group Entry Age Unfunded Normal Actuarial Liability/ Annual UAAL Valuation Accrued Value (Excess Funded Covered As a % of Date 1,lability of Assets Assets) Status Payroll Payroll 6/30/05 $ 55.108.736 46,008,085 9,100,651 83.5% 9,887,252 92.0% 6/30/06 58,703,692 50,585,526 8,1 18,166 86.2% 8,975,788 90.4% 6/30/07 70,797,946 62,442,682 8,355,264 88.2% 11.132,479 75.1°4, Required Supplementary Information Safety Employees Group Entry Age Unfunded Normal Actuarial Liability/ Annual UAAL Valuation Accrued Value (Excess Funded Covered As a % of Date 1iability of Assets Assets) Status Payroll Payroll 6/30/05 $ 88,177,059 73,335,230 14,841,829 83.2% 9.156,066 162.1' o 6/30/06 94,936,155 79,004.920 15,931,235 83.2% 8.795,057 181.1' 6130107 102,027,654 85,092,163 16.935,491 83.4% 0 9,431.560 179.6° o Three -Fear 7relulInformutiun Annual Pension Cost (Employer Contribution) Fiscal Percentage of Net Pension Year Safety Miscellaneous APC Contributed Oblitt ation 6/30/06 $3,749,262 2,555,731 100°%0 -0- 6/30/07 3,279,137 2,249,428 100% -0- 6/30/08 3,866,043 2,565,047 100% -0- 64 CITY OF NATIONAi. CiTY Notes to the Basic Financial Statements (Continued) Community Development Commission Defined Benefit Pension Plan (PERS) Plan Description The Commission contributes to the California Public Employees Retirement System (PERS), a cost -sharing multiple -employer public employee defined benefit pension plan. PERS provides retirement and disability benefits, annual cost -of -living adjustments, and death benefits to plan members and beneficiaries. PERS acts as a common investment and administrative agent for participating public entities within the State of California. Benefit provisions and all other requirements are established by state statute and the Commission's Resolution. PERS issues a publicly available financial report that includes financial statements and required supplementary information for the cost sharing plans that are administered by PERS. Copies of PERS' annual financial report may be obtained by writing to: 400 P Street. Sacramento, California 95814. Contributions Participants are required to contribute 8% of their annual covered salary. The Commission makes the contributions required of the Commission's employees on their behalf and for their account. Benefit provisions and all other requirerneuts are established by state statute and Commission contract with employee bargaining groups. For each of the fiscal Rears shown below. the Commission has contributed at the actuarially determined rate provided by PERS' actuaries. Under (iASB 27, an employer reports an annual pension cost (APC) equal to the annual required contribution (ARC) plus an adjustment for the cumulative difference between the APC and the employer's actual plan contributions for the year. The cumulative difference is called the net pension obligation (NPO). The ARC for the period July 1. 2007 to June 30, 2008 has been determined by an actuarial valuation of the plan as of June 30, 2005. The Commission's covered payroll for PERS was $1,394,31 1 for the year ended June 30, 2008, while the Commission's total payroll for all employees was $1,414,275 during the same period. In order to calculate the dollar value of the ARC for inclusion in financial statements prepared as of June 30, 2008, the contribution rate is multiplied by the payroll of covered employees that were paid during the period from July 1, 2007 to June 30. 2008. Three -Year Trend 1 nforniation Fiscal Year 6. 30/06 6/30/07 6/30/08 Employer Contribution Rate 17.569% 18.297% 16.737% . f nnual Pel1S1011 Cos? Employer Contribution $337,857 303,606 345,583 65 Net Percentage Pension Contributed Obligation 100"A -0- 100% -0- 100°A -0- vn% C.'l"I'Y OF NATIONAL CIl'Y Notes to the Basic Financial Statements (Continued) (1I_ Commitmentsand Contingencies .-1. Lawsuits in the Normal Course of Business 1 he City is presently involved in certain matters of litigation that have arisen in the normal course of conducting City business. City management believes, based upon consultation with the City Attorney, that these cases, in the aggregate, are not expected to result in a material adverse financial impact on the City. Additionally, City management believes that the City's insurance programs are sufficient to cover any potential losses should an unfavorable outcome materialize. B. Federal and State Grant Programs The City participates in several federal and state grant programs. "These programs have been audited by the City's independent auditors in accordance with the provisions of the federal Single Audit Act, as amended and applicable state requirements. No cost disallowances were proposed as a result of these audits. However, these programs are still subject to further examination by the grantors and the amount, if any, of expenditures which may be disallowed by the granting agencies cannot he determined at this time. Prior Period Adjustments The accompanying financial statements include adjustments that resulted in the restatements of beginning fund balances/net assets. The following summarizes the effect of the prior period adjustments to beginning fund balance and related government -wide net assets as of Julv 1. 2007: (ID Net assets fund balance beginning of year, as previously reported To record Community Development Commission pass -through obligations that relate to prior years of which a portion was due to the City's General Fund To remove capital asset and related accumulated depreciation balances that were previously recorded in error To remove revenues that were previously recorded in error To record revenues that relate to prior years Community Development Government - Commission Other Wide General Debt Service Governmental Statement of Fund Fund Funds Net Assets S 17,086,279 5,626,852 24,302,256 141,783,056 461.221 (513,364) - (52,143) (1,119,312) - (955,685) (955,685) 392.43? 397.437 Net assets,' tiind balance - beginning of year, as restated $17,547,50Q 5,113,4nS 23,739 003 14Q,()48,3.18 66 CITY OF NA l'1(.)NAI... CITY Notes to the Basic Financial Statements (Continued) (12L Accumulated Fund Deficits The following funds had fund deficits at June 30, 2008: Nutrition Program Special Revenue Fund Library Construction Capital Project Fund $(1, 38 3,7 32) (992,217) The City is in the process of identifying a repayment method of the Nutrition Center Special Revenue Fund. The deficit fund halance will remain on the hooks until an agreed upon method is approved by the City Council of the City of National City. The deficit halance in the Library Construction Capital Project Fund was due to the State withholding the contingency funds until the completion of their audit of the sources and uses of the grant. It is anticipated that the grant will he closed out during fiscal year 2008-2009 and the deficit fund balance will be eliminated. (13) L penditures in Excess of Appropriations The following funds reported excess of expenditures over appropriations for the year ended June 30, 2008: Variance with Final Final Budget Fund Budget Actual Positive (Negative) Nutrition Program Special Revenue Fund $852,249 876,471 (24,222) 1lome Loan Program Special Revenue Fund 188 (188) Library Bond Debt Service Fund 397,190 398,388 (1,198) 67 400 (This page intentionally left blank) 68 CITY OF NATIONAL IONAl. CITY Notes to Required Supplementary Information For the year ended June 30, 2008 13t1 etary Information Annual budgets are adopted for the gene►al. special revenue, debt service, and capital projects funds. All unencumbered appropriations lapse at the end of the fiscal year. Encumbered appropriations are carried forward in the subsequent fiscal year. The City Manager is authorized to transfer budgeted amounts within a fund. However, any revisions that increase the total budget of any fund must he approved by the City Council. All necessary supplemental appropriations were adopted by the City Council and are included in the reported data. For the fiscal year ended June 30, 2008, supplemental appropriations requiring City Council approval were insignificant. The legal level of control for appropriations is exercised at the fund level. Encumbrance accounting is employed in governmental funds. Encumbrances (e.g., purchase orders, contracts) outstanding at near -end are reported as reservations of fund balances and do not constitute expenditures or liabilities because the commitments will he honored during the subsequent year. The following is the budget comparison schedules for the General Fund and all major special revenue finds. Required Disclosures The following funds had fund deficits at June 30, 2008: Nutrition Program Special Revenue Lund I,ibrary Construction Capital Project Fund $(1 , 383,732) (992,217) The following funds reported excess of expenditures over appropriations for the year ended June 30, 2008: Fund Nutrition Program Special Revenue Fund I lome Loan Program Special Revenue Fund Variance with Final Final Budget Budget :actual Positive (Negative) $852249 876,471 (24,222) 188 (188) I,ibrary Bond Debt Service Fund 397.190 398.388 (1,198) 69 CITY OF NATIONAL CITY General Fund Schedule of Revenue. Expenditures and Changes in fund I3alance - Budget and Actual For the year ended June 30, 2008 Revenues: Taxes Licenses and permits Fines and forfeitures Interest and rents Intergovernmental Charges for sCR ices Other revenues Total revenues Expenditures: Current: General :government Public safety Transportation Community development Culture and leisure Capital outlay Debt service: Principal Interest and fiscal charges Budget Amounts Actual Original Final Amounts $ 33,078,092 33,078,092 3 3,6i 38,924 764,267 764,267 799,452 1,187,597 1.18 7 , 597 1.084,647 1,833,059 1,833,059 2,168,962 981,349 981,349 802,557 530,598 530,598 414,298 53,430 53,430 152,148 38,428,392 38,428,392 39,060,988 4,135,621 26,741.210 2,985,197 1,115,081 1.752,762 2,104,656 196,709 66,596 "Total expenditures 39,097,832 Excess (deficiency) of revenues over (under) expenditures Other financing sources (uses): Transfers in Transfers out Total other financing sources (uses) Net change in fund balances Fund halance. beginning of year, as restated Fund balance, end of year 4,135,621 26.741.210 2,985,197 1,115,081 1,752,762 2,104,656 196,709 66.596 39,097,832 3,215,981 25,393,406 2,678,673 1,128,843 1,527,397 364,946 196,709 66,596 34,572,551 (669,440) (669,440) 4,488,437 700.000 (2.709,705) (2,009,705) (2.679,145) 17,547,500 S 14,868,355 • 70 700,000 (2,709,705) (2,009,705) (2,679,145) 17,547.500 14.868.355 700.000 (2,709,705) (2.0)9,705) 2,478,7 32 17,547,500 Variance with Final Budget Positive (Negative) 560,832 35.185 (102,950) 335,903 (178,792) (116.300) 98,718 632,596 919,640 1,347,804 306,524 (13,762) 225,365 I,739,710 4,525,281 5,157,877 5,157,877 20,026,232 5.157,877 CITY OF NATIONAL. CITY Section 8 1-lousing Assistance Special Revenue Fund Schedule of Revenue, Expenditures and Changes in fund Balance - Budget and Actual For the year ended June 30, 2008 Variance with Final Budget Budget Amounts Actual Positive Original Final Amounts (Negative) Revenues: Intergovernmental S 8,160,000 8,160,000 9,427,480 1,267,480 Other revenues 945,1 16 41,269 41,269 Total revenues 9,105,116 8,160,000 9,468,749 1,308,749 Expenditures: Current: Community development 8,145,954 8,145,954 8,1 15,750 30,204 Capital outlay 2.500 2,500 4,923 (2,423) Total expenditures 8,148,454 8348,454 8,120,673 _ 27,781 Net change in fund balances 956,662 11,546 1,348,076 1,336,531) Fund balance (deficit), beginning of year (192,633) (192,633) (192,633) Fund balance (deficit), end of year $ 764,029 (181.087) 1,155,443 1,336,530 71 CITY OF NATIONAL, CITY Other Special Revenue Fund Schedule of Revenue. Expenditures and Changes in Fund Balance - 13udget and Actual For the year ended June 30, 2008 Variance with Final Budget Budget Amounts Actual Positive Original Final Amounts (Negative) Revenues: Licenses and permits 8 13,000 13.000 1,780 (11,220) Fines and forfeitures 94,934 94,934 67,590 (27,344) Interest and rents 52,535 52,535 77,864 25,329 Intergovernmental I0,252,321 10,252,321 7.646,053 (2,606,268) Charges for services 604,306 604,306 606.785 2,479 Other revenues 454,090 454,090 317,708 (136,382) Total revenues 11,471,186 11,471,186 8,717.780 (2,753,406) Expenditures: Current: General government 2.076,594 2,076,594 2.1 37.334 (60,740) Public safety 2,607,448 2,607,448 1.073,506 1,533,942 Community_ development 2,282,506 2,282,506 1,098,394 1,184,112 I lealth 226,697 226,697 131,326 95,371 Culture and leisure 3,144,150 3,144,150 2.221,899 922,251 Capital outlay 4,947,603 4,947,603 475,279 4,472,324 Debt service: Principal 195,000 195,000 195.000 - Interest and fiscal charges 330.505 330.505 330,505 - Total expenditures 15,810,503 15,810,503 7,663,2,13 8,147,260 Excess (deficiency) of revenues over (under) expenditures (4,339,317) (4,339,317) 1,054,537 5,393,854 Other financing sources: Transfers in 830,200 830,200 986,006 155,806 Total other financing sources 830,200 830,200 986,006 155,806 Net change in find balances (3.509,117) (3,509,117) 7,040,543 5,549.660 Fund balance, beginning of year 4,812,570 4,812,570 4,812,5 70 Fund balance, end of year S 1,303,453 1,303,453 6.853,113 5.549.660 7? CITY OF NATIONAL (:ITY Nutrition Program Special Revenue Fund Schedule of Revenue. Expenditures and Changes in Fund Balance - Budget and Actual For the year ended June 30. 2008 Revenues: Intergovernmental Other revenues Total revenues Expenditures: Current: Community development Total expenditures Excess (deficiency) of revenues over (under) expenditures Other financing sources: Transfers in Total other financing sources Net change in fund balances Fund balance (deficit), beginning of year Fund balance (deficit), end of year Budget Amounts Original final Actual Amounts 5 299.000 299.000 288.359 218.006 218,006 222,445 517,006 517,006 510,804 852.249 852,249 (335,243) 375.912 375,912 40.669 (1.393.977) (1,353308) 73 852,249 876,471 852.249 876,471 Variance with Final Budget Positive (Negative) (10,641) 4,439 (6,202) (24,222) (24.222) (335,243) (365,667) (30,424) 375,912 375,912 375,912 375,912 40,669 10,245 (1.393,977) (1.393,977) (1.353.308) (1_383,732) (30.424 ) (30,424) CITY OF NATIONAL, CITY Sewer Service Special Revenue Fund Schedule of Revenue, Expenditures and Changes in Fund Balance - Budget and Actual For the year ended June 30, 2008 Variance with Final Budget Budget Amounts Actual Positive Original Final Amounts (Negative) Revenues: Charges for services $ 7,127,000 7,127,000 7,426,730 299,730 Other revenues 500 500 - (500) Total revenues 7,127,500 7,127,500 7,426.730 299,230 Expenditures: Current: Health 13,994,083 13,994,083 7,295,243 6,698,840 Total expenditures 13,994,083 13,994,083 7,295,243 6,698,840 Net change in fund balances (6,866,583) (6,866,583) 131,487 6,998,070 Fund balance, beginning of year 13,689,474 13,689,474 13,689,474 - Fund balance, end of year $ 6,822,891 6,822.891 13.820,961 6,998,070 74 NON -MAJOR GOVERNMENTAL FUNDS SPECIAL REVENUE FUNDS: General Capital Outlay Fund This fund is used to account for funds set aside from the proceeds of sale of and rental from surplus real property for the City's five-year capital improvement program. Library Fund 'This fund is used to account for the operation of the National City Library. Parks Maintenance Fund This fund is used to account for operating and maintaining the City's parks. Library Capital Outlay Fund This fund is used to account for revenues from real property transfer taxes set aside to finance capital outlay and capital improvement expenditures of the National City Library. (;as Tax Fund This fund is used to account for the City's share of state gas tax revenue restricted' for street improvement and maintenance. Parks and Recreation Capital Outlay Fund This fund is used to account for revenues from dwelling fees set aside for capital improvement expenditures of the Parks and Recreation Department. Community Development Block Grant Fund This fund is used to account for federal funds received from the t L.S. Department of I lousing and Urban Development --- Community Development Block Program. Home Loan Program Fund This fund is used to account for federal funds received from the U.S. Department of Housing and Urban Development Horne Loan Program. Home Program Fund "This fund is used to account for federal funds received from the U.S. Department of Housing and Urban Development IIome Program. Low and Moderate Income Housing Fund This fund is used to account for the Community Development Commission 20%, Set Aside. 75 NON -MAJOR GOVERNMENTAL FUNDS, (CONTINUED) Asset Forfeiture Fund This fund is used to account for the receipt and expenditure of funds provided by the federal government's asset seizure fund to be used exclusively for law enforcement purposes. Parking Authority Fund This fund is used to account for the financing and construction of the Plaza Bonita Parking Facility. DEBT SERVICE FUND: National City Joint Powers Financing Authority Fund This fund is used to account for funds maintained by the trustee hank solely for the purpose of paying, when due and payable, the principal of or interest on the lease revenue bonds and lease revenue refunding bonds issued by the National City Joint Powers Financing Authority. Library Bond Debt Service Fund This fund is used to account for debt service of the Library. CAPITAL PROTECTS FUNDS: Proposition "A" Capital Projects Fund This fund is used to account for the City's allocation of the 2°/0 transactions and use tax imposed by Proposition "A" (San Diego Transportation Improvement Program Ordinance) passed by the voters in San Diego County in November 1987. STY Local/TransNet Highway Fund This fund is used to account for funds received from the San Diego Association of Governments (" SANDAG") for !I'ransNet projects. State -Local Partnership Fund This find is used to account for the receipt and expenditures of funds provided by the State under the State -Local "Transportation Partnership Program. Traffic Congestion Relief Fund This fund is used for the maintenance. rehabilitation and reconstruction of transportation related to Capital Projects; specifically pertaining to local streets and roads. Fire Construction Project Capital Projects Fund This fund is used to account for activities for fire department construction. 76 (This page intentionally left blank) Nay ASSETS Cash and investments Restricted cash and investments kith fiscal agent Accounts receivable Property tax receivable Interest receivable Due from other funds Due from other governmental entities Land held for resale Contracts, notes and loans receivable !mai assets LIABILITIES AND ft !ND BAI ANCES Liabilities: Accounts payable Salaries payable 1)tie to other funds Deferred revenue Total liabilities CITY OF NATIONAL CITY Nonmajor Governmental Funds Combining Balance Sheet June 30. 2008 Special Revenue Funds General Library Park and Capital Parks Capital Rccreation Outlay Library Maintenance Outla:, Fax Capital Outlay $ 1,032,627 168,264 119.017 371 3,136 3,654 620,945 455 152.031 871,796 1.095 8.721 377.850 32,592 5 1,032,627 171.721 122,671 630,121 530.977 904,388 5 2,441 30,535 9,687 8.831 5,0.12 6,104 73.172 3,516 42,663 32,103 5,0.17 9.620 kind balances: Reserved: Encumbrances 111.967 1,231 Land held for resale Contracts. loans, notes receivable Debt service Total reserved Unreserved. designated: Continuing appropriations Total reserved, designated llnreserved. undesignated: Special revenue funds Capita1 projects funds Total fund balances 111,967 1,231 227,348 113,000 227,348 113,000 1.032.627 129,058 90,568 625,079 182,042 790,157 1,032,627 129,1158 90,568 625,079 521,357 904,388 Total liabilities and fund balances 5 1,032.627 171,721 122671 630,121 530,977 904,388 78 Debt Special Revenue hinds Service Community 1- lone 1.ou.. and Joint Powers Development Loan 110MEl Moderate Income Asset Parking Financing Block Grant Pro_grarn Program llousing Program Forfeiture Authority Authority 416,005 3,064,944 2,104,827 4,901,812 574,081 357 75,958 4,136 178,101 18,090 1,705,802 ',60,000 322,958 705.107 3,861,809 594.106 3,387.91)2 4,515.736 2.881 14,025 111,989 128.895 1,705,802 322,958 705.107 322,958 2,410,909 465,211 3,064,944 2,104,827 465.211 3,387,902 4,515,736 73 9 217.669 578.569 73 101,288 11)1.288 177,164 360.000 3.861,809 4.221.809 177.164 •1.894,572 401.405 9.116.381 578,569 594.106 3,387,902 4,515,736 9,217,669 578.569 79 73 73 73 73 (Continued) ASSUS Cash and investments Restricted cash and investments with fiscal agent Accounts receivable Property tax receivable Interest receivable Due from other funds Due from other governmental entities Land held for resale Contracts, notes and loans receivable Total assets CITY 01- NATIONAL CITY Nonmajor Governmental Funds Combining Balance Sheet. Continued June 30, 2008 Debt Service Capil Projects Finals sTP 1 ocalr Traffic Fire Total Other Library TransNet 1.ocal Congestion Construction Governmental Ilonds Proposition A 1 lighwa) Partnership Rebel Project Funds $ 662,989 .163 .3,288.541 386.099 23,689 7,781 397,285 60.774 116.868 841 155.619 408,173 19.044.639 73 33,399 75.958 32,542 458,380 590.015 2,065.802 1.889,87,1 S 663,452 3,709,515 4.19.654 117,709 155,619 408 17; 27,190,682 LIABILITIES AND RIND BAI.ANCIS 1.iabilities: Accounts payable 8 13,573 20.500 Salaries payable 7.269 Duc to other funds 60,774 397,285 Deferred revenue 4,513 Total liabilities Fund balances: Reserved: Encumbrances Land held for resale Contracts, loans, notes receivable Debt service 'Iota' reserved 663,452 20.000 95.493 180,660 61,592 481,771 211,995 86,129 4117,785 95,493 20.000 939.018 407.189 128,136 663.452 407.189 Unreserved. designated - Con tinuing appropriations 507,538 Total reserved, designated Unreserved, umicsianated: Special revenue funds Capital projects funds Total fund balances Total liabilities and fund balances 1,125,987 2,065,802 4,889,874 663,525 428,436 8,745,188 847,886 507.538 847.886 13,780,490 2,7(18,659 (396.567) 22.216 135.619 408,173 2,878,10(1 663,152 3,623,386 31.869 22.216 135,619 408,173 26,251,66.1 S 663.452 3.709,515 449.654 117,709 155.619 408,173 27.190,682 • 80 ("This pa.!eintentionally left blank) Revenues: faxes Fines and fnrfcitures Interest and rents Intcrgosemmental Charges for services t )Iher revenues CITY OF NATIONAI. CITY Nonnmjor Govcrmncntal Funds ('omhining Statement of Revenues, Expenditures and Changes in hunt Balances Year ended lurue 30, 2008 Special Revenue Funds General Library Park and Capital Parks Capital Recreation Outlay Library Maintenance Outlay (i;u 7 ax Capita; Outlay 659,872 6.158 total revenues 666,030 Expenditures Current: General government Public safety Transportation Community development Culture and leisure Capital outlay Debt service: Principal Interest and fiscal charges Total expenditures Excess (deficiency) of revenues over (under) expenditures 776.094 88.63,1 23,473 32,104 I,13 7,214 776,094 112,107 1.169,318 1.531,700 983,863 1.531,700 116.560 983.863 116,560 770,818 269,767 269,267 12,000 770,818 12,000 (865,670) (207,769) (4,453) 398,500 257,267 Other financing sources (uses): 'frans0 rs in 1006,686 298.337 Transfers out t 11,958) - (700,000) Total other financing sources (uses) - 994,728 298.337 - (700,000) Net change at fund halanecs - 129,058 90.568 (4,453) (301.500) 257,767 Fund balances. beginning. of year. as restated Fund balances. end of pear 1,032.627 - 629.532 822.857 6.47,121 S 1,032,627 129,058 90,568 625.079 521.357 82 904,388 Debt Special Revenue funds Service Community !)Dine Low and Joint Powers Development Loan 1101tli: Moderate Income Asset Parkin Financing Block Grant Program Program (lousing Program Forfeiture Authority Authority 1,147,104 524,437 10,798 1.147,104 16.798 524,437 1,07 3.965 2.9,11,607 170,110 7.947 22,181 2,949.554 192.291 188 3,528 280,252 25,134 41.613 1,143 486,451 487.59.1 300.000 187.799 1,073.965 188 3.528 280.252 66,747 - 487,799 73.139 16.610 73.139 392.072 16.610 520,9(19 2,669,302 125.54.) (814,215) - 570,909 (814.2151 1.855,087 125.544 3, 371.292 3,994,827 7,261,294 453,025 (205) 4205) 278 465.211 3,387 902 4.515,736 9,1 16,381 578.569 73 (Continued) 83 CITY OF NATIONAL CITY Nonmajor Governmental Funds Combining Statement of Revenues, Expenditures and Changes in Fund balances. Continued Year ended June 30, 2008 Debt Service ('ap at Projects Fund; SIP Locals State--frattic Fire Total Other Lihrary TransNct Local Congestion Construction Governmental Bonds Proposition A I lighway Partnership. Relief Project Funds__ Revenues' l axes $ - - 4,466,207 Fines and tbrleiuues - - - 170,110 Interest and rents )21.400 35,318 4,493 7.384 501,237 Intergovernmental 357,194 96,005 - 3,754,563 Charges for services - 23.473 Other revenues 481,882 - 498,680 Total revenues Expenditures: ClnTent General government Public safety 'transportation Community development Culture and leisure Capital outlay Debt service: Principal Interest and fiscal charges "Iota expenditures Excess (deficiency) of revenues over (under) expenditures 481,882 478,594 1 31, 323 4,493 1,198 7.384 9,414.270 1,198 - 36.891 62,025 - 3(16.8(17 - 1.077,625 1,357,933 2,527,563 416990 193.963 - - 769,126 135,000 - 435,000 262,190 - - - 1,19,989 398,388 416,990 193,963 3(16.807 36.891 6,68(1,459 83,494 61,604 (62.640) 4,493 (306,807) (29,507) 2.733,811 Other financing sources (uses): Transfers in - - - 1,3(15,023 Transfers out - - (1,526,173) Total other financing sources (uses) -- . ---- - (221.150) Net change in fund balances 83,494 61,604 (62,6-10) 4,493 (306.807) (29.507) 2.512,661 Fund balances, beginning. of year, as restated 579958 3,561,782 94.509 17,723 442,426 43' 680 23.739,003 Fund balances, end of year 5 663,452 623,386 31,869 22,216 135,619 408,173 26,251,664 84 CITY OF NATIONAL, C11'Y General Capital Outlay Special Revenue Fund Schedule of Revenue, i-xpendit.ires and Changes in Fund Balance - Budget and Actual Expenditures: Capital outlay Total expenditures Net change in fund balances Fund balance. beginning of year Fund balance, end of year For the year ended .tune 30. 2008 S Variance with Final Budget Budget Amounts Actual Positive Original Final Amounts (Negative) 1,032,627 1,032,627 S 1,032,627 1.032 627 s5 1,032,627 1.032,627 CITY OF NATIONAL CITY Library Special Revenue Fund Schedule of Revenue, Expenditures and Changes in Fund Balance - Budget and Actual For the year ended June 30, 2008 Revenues: Taxes Intergovernmental Total revenues Expenditures: Current: Culture and leisure Total expenditures Excess (deficiency) of revenues over (under) expenditures Other financing sources (uses): Transfers in Transfers out Total other financing sources (uses) Net change in fund balances Fund balance, beginning of year Fund balance. end of year Budget Amounts Actual Original Final Amounts S 744,104 6,000 750,104 Variance with Final Budget Positive (Nc<gative) 744,104 659,872 (84,232) 6,000 6,158 158 750,104 666,030 (84,074) 1,756,790 1,756,790 1,531,700 225,090 1.756,790 1,756,790 1.531.700 225,090 (1,006.686) (1,006,686) (865,670) 141,016 1,006,686 1,006,686 I ,006,686 - (11,958) (11,958) 1,006,686 1,006,686 994,728 (11,958) 129,058 129,058 86 129,05 8 129,058 CITY OF NATIONAL, CITY Parks Maintenance Special Revenue Fund Schedule of Revenue. Expenditures and Changes in Fund Balance - Budget and Actual Revenues: 'Faxes 'Total revenues Expenditures: Current: Culture and leisure Total expenditures Excess (deficiency) of revenues over (under) expenditures Other financing sources: Transfers in Total other financing sources Net change in fund balances Fund balance, beginning of year Fund balance, end of year For the year ended June 30, 2008 Budget Amounts Actual Original Final Amounts $ 787,034 787.034 776,094 787,034 787,034 776,094 1,008,983 1,008,983 983,863 1.008,983 1,008,983 983,863 (221,949) (221,949) Variance with Final Budget Positive (Negative) (10.940) (10.940) 25.120 25.120 (207,769) 14,180 298,337 298,337 298.337 298,337 298,337 298,337 76,388 76,388 90,568 76,388 76,388 87 90,568 14,180 14,180 .110 CITY OF NATIONAL. CITY Library Capital Outlay Special Revenue Fund Schedule of Revenue, Expenditures and Changes in Fund Balance - Budget and Actual Revenues: Taxes Charges for services Total revenues l xpcnditures: Capital outlay Total expenditures Net change in fund balances Fund balance, beginning of year Fund balance, end of year For the year ended June 30, 2008 Budget Amounts Actual Original Final Amounts 100,000 10.000 100.000 88.634 10,000 23,473 110,000 110,000 1 12, 107 507,632 507,632 116.560 507,632 507,632 116,560 Variance with Final Budget Positive (NeYgative) (11,366) 13,473 2,107 391,072 391,072 (397,632) (397.632) (4,453) 393,179 629,532 629,532 629,532 5 231.900 231.900 88 625.079 393,179 CITY OF NAT'IONAI. CITY Gas Fax Special Revenue Fund Schedule of Revenue, Expenditures and Changes in Fund Balance - Budget and Actual For the year ended Jive 30, 2008 Revenues: Interest and rents 1 nteruovernmental Total revenues Expenditures: Current: .Transportation Total expenditures Excess (deficiency) of revenues over (under) expenditures Other financing sources (uses): Transfers out Total other financing sources (uses) Net change in fund balances Fund balance, beginning of year Fund balance (deficit), end of year Budget Amounts Actual Original Final Amounts S 38,500 1,183,500 38,500 32.104 1,183,500 1,137,214 1.222,000 1,222,000 1,169,318 Variance with Final Budget Positive (Negative) (6,396) (46,286) (52,682) 1,861,605 1,861,605 770,818 1,090,787 1,861.605 1.861,605 770,818 1,090.787 (639,605) (639,605) 398,500 1,038,105 (700,000) (700,000) (700,000) (700,000) (700.000) (700,000) (1,339,605) (1.339,605) (301,500) 822,857 822,857 822,857 S (516,7481 S9 1,038,105 (516,748) 521,357 1,038.105 CITY OF NATIONAL. CITY Park and Recreation Capital Outlay Special Revenue Fund Schedule of Revenue, Expenditures and Changes in Fund Balance - Budget and Actual For the year ended June 30, 20{}8 Variance with Final Budget Budoet Amounts Actual Positive Original Final Amounts (Negative) Revenues: Interest and rents S 150.000 150,000 269,267 119,267 Total revenues • 150.000 150,000 269,267 119,267 Expenditures: Current: Culture and leisure 126,231 126,231 12,000 114,231 "Total expenditures 126,231 126,231 12,000 1 14,23I Net change in fund balances 23,769 23,769 257,267 233,498 Fund balance, beginning of year 647,121 647,121 647,121 Fund balance (deficit), end of year S 670,890 670,890 904.388 233,498 90 CITY OF NATIONAL, CITY Community Development Block Grant Special Revenue Fund Schedule of Revenue, Expenditures and Changes in Fund Balance - Budget and Actual Revenues: Intergovernmental "Total revenues I�xpenditures: Current: Community development "Total expenditures Net change in fund balances Fund balance, beginning of year Fund balance (deficit), end of year For the year ended .lone 30, 2008 Budget Amounts Original Final $ 1,135.220 1,135,220 Actual Amounts 1,135 220 1,147,104 1,13 5,220 1,147.104 Variance with Final Budget Positive (Negative) 11.884 11,884 2,392,481 2,392,481 1,073,965 1,318,516 2,392,481 7,392,481 1,073,965 (1,257,261) (1,257,261) 1,318,516 73,139 1,330,400 392,072 392,072 392,072 (865.189) (865,189) 91 465,211 1,330,400 CITY OF NATIONAL. CITY l lome Loan Program Special Revenue Fund Schedule of Revenue, Expenditures and Changes in Fund Balance - Budget and Actual Revenues: Other revenues 'total revenues For the year ended June 30, 2008 Variance with Final Budget Budget Amormis Actual Positive Original Final Amounts (Negative) $ 17,000 16.798 16,798 17,000 16,798 16,798 Expenditures: Current: Community development 188 -- (188) Total expenditures _ 188 (188) Net change in fund balances 17,000 - 16.610 16,610 Fund balance, beginning of year 3,371,292 3,371,292 3,371,292 Fund balance, end of year $ 3,388,292 3,371,292 3,387,902 _ 16,610 92 CITY OF NATIONAL. CITY HOME Program Special Revenue Fund Schedule of Revenue. Expenditures and Changes in Fund Balance - Budget and Actual For the year ended .lune 30, 2008 Variance with Final Budget Budttct Amounts Actual Positive Original Final Amounts (Negative) Revenues: Intergovernmental S 599.067 599.067 524,437 (74,630) Total revenues 599,067 599,067 524,437 (74,630) Expenditures: Current: Community development 593.067 _ 593,067 3,528 589.539 'Total expenditures 593.067 593,067 3,528 589,539 Net change in fund balances 6.000 6.000 520,909 514,909 Fund balance, beginning of year 3,99,1,827 3,994,827 3,994,827 - Fund balance, end of year S 4,000.827 4,000,827 4,515,736 91 514,909 Niro CTTY OF NATIONAL, CITY Low and Moderate Income Housing Program Special Revenue Fund Schedule of Revenue, Expenditures and Changes in Fund 13alance - Budget and Actual Revenues: 'faxes Interest and rents "Total revenues Expenditures: Current: Community development Total expenditures Excess (deficiency) of revenues over (under) expenditures For the year ended June 30, 2008 Variance with Final Budget Budget Amounts Actual Positive Original Final Amounts (Negative) $ 2,848,366 2,848,366 2,941,607 93,241 10,775 10.775 7,947 (2,82f) 2,859,141 2,859,141 2,949,554 90,413 852,500 852.500 280,252 572,248 852,500 852_500 280,252 572,248 2,006,641 2.006.641 2.669, 302 662,661 ',oft.. Other financing sources (uses): Transfers out (832,964) (832,964) (814,215) 18,749 Total other financing sources (uses) (832,964) (832,964) (814,215) 18,749 Net change in fund balances 1,173,677 1,173,677 1,855,087 681,410 Fund balance, beginning of year 7,261,294 7,261,294 7,261,294 Fund balance, end ofycar $ 8,434,971 8,434.971 9,116,381 681,410 94 C'I I'' OF NATIONAL. CITY Asset Forfeiture Special Revenue Fund Schedule of Revenue. Expenditures and Changes in Fund Balance - Budget and Actual Revenues: Fines and forfeitures Interest and rents Total revenues Expenditures: Current: Public safety Capital outlay Total expenditures Net change in fund balances Fund balance, beginning of year Fund balance, end of year For the year ended June 30. 2008 Budget Amounts Original S 178,550 90,000 268,550 268.550 Final 53.295 214.566 267,861 689 453,025 $ 453.714 178,550 90.000 53,295 214,566 267,861 Actual Amounts 170.110 22,181 192291 25,134 41,613 Variance with Final Budget Positive (Negative) (8,440) (67,819) (76,259) 28,161 172.953 66,747 201.114 689 125,544 124,855 111, 453,025 453,025 453,714 578,569 124.855 CITY OF NATIONAL, CITY Joint Powers Financing Authority Debt Service Fund Schedule of Revenue. Expenditures and Changes in Fund Balance - Budget and Actual For the year ended June 30, 2008 Variance with Final Budget Budget Amounts Actual Positive Original Final Amounts (Negative) Revenues: Interest and rents $ 1.000 1,000 1.143 143 Intergovernmental _ 488,000 488.000 486,451 (1,549) Total revenues 489,000 489,000 487,594 (1,406) Expenditures: Debt service Principal 300.000 300.000 300,000 Interest and fiscal charges 187,799 187,799 187,799 Total expenditures 487,799 487,799 487,799 - Net change in fund balances 1,201 1,201 (205) (1,406) Fund balance. beginning of year 278 278 278 - Fund balance, end of year S 1.479 1.479 73 (1,406) 96 CITY OF NA"I'IONAI. CITY Library Bond Debt Service Fund Schedule of Revenue, Expenditures and Changes in Fund Balance - Budget and Actual Revenues: Other revenues Total revenues For the year ended June 30, 2008 Variance with Final Budget Budget Amounts Actual Positive Original Final Amounts (Negative) $ 400,000 400,000 400.000 400,000 Expenditures: Current: General government - - Deht service Principal 135,000 135,000 Interest. and fiscal charges 262,190 262,190 Total expenditures Net change in fund balances Fund balance, beginning of year Fund balance, end of year 397,190 2,81(1 579,958 582,768 97 481,882 81.882 481,882 81,882 1,198 (1,198) 135,000 262,190 397,190 398,388 2,810 83,494 579,958 579,958 582,768 663,452 (1,198) 80,684 80,684 CITY OF NATIONAL CITY Proposition A Capital Projects Fund Schedule of Revenue, Expenditures and Changes in Fund Balance - Budget and Actual For the year ended June 30, 2008 Variance with Final Budget Budget Amounts Actual Positive Original Final Amounts (Negative) Revenues: Interest and rents S 32,700 32,700 121,400 88,700 Intergovernmental 384,000 384,000 357,194 (26,806) "Total revenues 416,700 416,700 478,594 61,894 Expenditures: Capital outlay 2,018,605 2,018,605 416,990 1,601,615 Total expenditures 2,018,6(15 2,0.18,605 416,990 1,601,615_ Net change in fund balances (1,601,905) (1,601.905) 61,604 1,663,509 Fund balance, beginning of year, as restated 3,561,782 3,561,782 3,561,782 Fund balance, end of year S 1.959,877 1,959,877 3,623,386 _ 1,663,509 98 CITY OF NATIONAI. CITY STP Localfl'ransNet I Iighway Capital Projects Fund Schedule of Revenue, Expenditures and Changes in Fund Balance - Budget and Actual For the year ended June 30, 2008 Variance with Final Budget Budget Amounts Actual Positive Original Final Amounts (Negative) Revenues: Interest and rents $ 35.318 35.318 Intergovernmental - 96,005 96,005 Total revenues 131,323 131,323 Expenditures: Capital outlay 1.311,968 1,311.968 193,963 1,118,005 Total expenditures I,311_968 1,311,968 _ 193,963 1,118,005 Net change in fund balances (1.311,968) (1,311,968) (62,640) 1,249,328 Fund balance, beginning of year, as restated 94,509 94,509 94,509 Fund balance (deficit), end of year S (1,217,459) (1,217,459) 31.869 1.249,328 99 CITY OF NA'I'1ONAL CITY State - Local Partnership Capital Projects Fund Schedule of Revenue, Expenditures and Changes in Fund Balance - Budget and Actual Revenues: interest and rents For the year ended June 30, 2008 13udget Amounts Variance with Final I3udget Actual Positive Original final Amounts (Negative) 4.493 4,493 'Dotal revenues - 4.493 Net change in fund balances - - 4.493 Fund balance, beginning of year 17,723 17.723 17,723 Fund balance, end of year $ 17.723 17,723 22.216 4,493 4.493 4,493 100 CITY OF NATIONAL CITY Traffic Congestion Relief Capital Projects Fund Schedule of Revenue, Expenditures and Changes in Fund Balance - Budget and Actual For the year ended June 30,2008 Variance with Final Budget Budget Amounts Actual Positive Original Final Amounts (Negative) Revenues: Intergovernmental S 455,749 455,749 (455,749) Total revenues 455,749 455,749 (455,749) Expenditures: Current: Transportation 707,613 707,613 306,807 400.806 Total expenditures 707,613 707,613 306,807 400,806 Net change in fund balances (251,864) (251,864) (306,807) (54,943) Fund balance, beginning of year 442,426 442,426 442,426 - Fund balance, end of year S 190.562 190,562 135,619 (54,943) 101 CITY OF NATIONAL. CITY Fire Construction Capital Projects Fund Schedule of Revenue, Expenditures and Changes in Fund Balance - Budget and Actual Revenues: Interest and rents Total revenues f .xpenditures: Current: Public safety focal expenditures Net change in fund balances Fund balance. beginning of year Fund balance, end of year For the year ended June 30, 2008 Budget Amounts Original Final 313.359 313,359 313,359 313,359 (313,359) (313,359) 437,680 437.680 124,321 124.321 102 Actual Amounts 7.384 7,384 36,891 Variance with Final Budget Positive (Negative) 7,384 7.384 276,468 36.891 276,468 (29.507) 283,852 437,680 408,173 283,852 INTERNAL. SERVICE FUNDS Facilities Maintenance Fund "l'his fund is used to account for the costs of maintaining all City -owned buildings in a clean, safe, workable, and pleasant condition. Liability Insurance Fund This fund is used to account for the costs of maintaining the City's uvorkers' compensation and liability insurance programs. General Services Fund This fund is used to account for the costs of maintaining the City's centralized procurement system providing supplies. equipment, and certain services for all City departments. Information Systems Maintenance Fund This fund is used to account for the costs of maintaining the City's computer -related information systems. Office Equipment Depreciation Fund This fund is used to account for the costs to replace City office equipment. Telecommunications Revolving Fund This fund is used to account for the costs of' maintaining the City's telecommunications system. General Accounting Services Fund This fund is used to account for the costs of general accounting services. Motor Vehicle Services Fund This fund is used to account fort the City's costs of preventative maintenance and repairs for all City vehicles including police. fire, general administrative, park, sewer and public uvorks equipment. Equipment Replacement Reserve Fund 'This fund is used to account for the costs to replace City general equipment. Unemployment Insurance Reserve Fund This hind is used to account for a reserve for unemployment insurance. 103 ASSETS Current assets: Cash and investments Accounts receivable Inventories Prepaid items and deposits Total current assets CITY DE NATIONAL. ICONAi. t,'1TY Combining Statement of Net Assets Internal Sen :ee E units .June 30. 2008 Information ()Rice Facilities liability General Systems Equipment Maintenance Insurance Services Maintenance i) preciation $ 320.086 6.474.885 776.793 999.680 2.15 3,428 2.000 72.231 - 27.903 47,000 320,086 6.476.885 304,696 1.1 18,91 1 2,153.428 Noncurrent assets: Capital assets: Depreciable assets. net of accumulated depreciation - - 62.304 182,998 Total capital assets . - - 62,304 182.998 Total noncurrent assets - 62,304 182.998 Total assets 320.086 6..1776.885 31)4,696 1,181 215 2.336,426 LIAB(LT1IES Current liabilities: Acanmis payable and accrued liabilities 131,717 138,303 11.790 18.893 93,925 Salaries payable 20.084 3.642 6342 4,294 Due to other funds 5,000 - - Compensated absences 42.604 8,973 2 5,41 3 Sell -insurance claims payable - due within one year 1,930,000 Total current liabilities 199.405 2.080,918 43,545 23,187 93,925 Noncurrent liabilities: Self-insurance claims payable - due in more than one year 2 578,000 'hotal1iabilities 199,405 4.658,918 43,545 23,187 93,925 NE'F ASSETS Invested in capital assets, nct of'related debt 62,304 182.998 Unrestricted 120.681 1,817,967 261,151 1,095,724 2,059,503 7atal net assets $ 120.681 1.817.967 261.151 1,158,028 2.242,501 104 ( cncral 1v1otor Equipment 1.°rcmplopment Telecommunications .\ccounting Vehicle Replacement Insurance Reve!vins Services Services Reserve l escrve 789.9-17 638,999 789.947 638.999 621 264 709,263 201.537 621,264 709,263 1 otal 13.185,877 74,231 27,903 47,001 201,5 32 13,335,011 9.365 1,357.513 - 1,612,180 9.365 1.357,513 1.612.180 9.365 1,357,513 - 1,612,180 799,31? 638.999 1,978,777 709,263 201,532 1.4.9,17.191 18.851 2_706 10,589 67.682 97,118 140 589,008 15.445 10.862 - 637375 - 5.000 77.222 28.485 - - 182.697 1.930,000 21,557 103.756 107,029 97,118 140 2,770.080 103.256 107..029 2,578,000 97,118 140 5.348,080 9.365 1.357,51 3 1.612.18(1 768.390 535.743 514.235 612,145 201.392 7,986,931 777,755 535.7-13 1,871.718 612.145 201,392 9,599,111 105 *41011.4 CITY OF NA f IONAI. CITY Combining Statement of Revenues. Expenses and Changes it; Net Assets Internal Service Funds For the year ended June 30, 2008 Operating revenues: Services charges Other revenues Total operating revenues Information Office Facilities Liability General Systems liyuipment Maintenance insurance Services Maintenance Dprcciatio❑ S 2.099,052 2,730,536 432,950 761,615 425,624 53.646 - 2,099,052 2,784,182 432.950 761,615 425,624 Operating expenses: Personnel services 682,091 132.919 172,549 1,11,364 Maintenance and operations 1,699,493 2.7711.139 176,771 433,761 218,651 Depreciation - - 43,301 23,036 Total operating expenses 2,381.584 2,853,058 349,320 618,426 241,687 Operating income (loss) (282,532) (68,876) 83,630 143,189 183,937 Transfers in - Transfers out - - - Change in net assets (282,532) (68,876) 83.630 1,13,189 183,937 Net assets, beginning of year 403,213 1,886,843 177,521 1,014,839 2,058.564 Net assets, end of year $ 120.681 1,817,967 - 261,151 1.158.028 2,242,501 106 General 'Motor Lquipment Unemployment relecommunications Accounting Vehicle Replacement. insurance Revolving Services Services Reserve Reserve 397,816 397,816 84,775 246,701 7,917 865.891 1.577,339 865.891 1,577,339 571,251 184,736 339,393 756,037 58,423 109,851 424,778 896.715 270,746 1,597.739 ((4.900) 95,000 I ot al 38,820 9.329,643 - 53.646 107,855 107,855 (107,855) 38.821) 9,383.289 28.004 "))09,727 6.712.876 315,001) 28,004 9.267.603 10.816 115,686 95,000 j143,7711 (143,771) (85,348) 109,854 80,100 (107.855) 10,816 66.915 863.103 425,889 1.791,648 720.000 190.576 9. •32.196 777.755 535,743 1_..8112'1,, 612,145 201.392 9,599.1 11 _ - 107 Cash flows from operating activities. Cash received from customers other fords Cash payments to suppliers Cash payments for general and administrative Net cash provided (used) by operating activities Cash Flows from capital and related financing activities. Acquisition or disposal of capital assets Net cash provided (used) by capital and related financing activities Cash flows from non -capital financing activities. Cash received from other funds Cash paid to other funds CiTY OF NATIONAI. CITY Combining Statement of Cash Flows Internal Service Fun ds For the year ended June 30, 2008 Information Office Facilities Liability. General Systems Equipment Maintenance insurance Services Maintenance Depreciation 2,104052 2.782.182 (.1,617,511) )7 748,372) (660,9761 (126.084) (174.4351 15,942 432.950 (177.461) (168.536) 407.726 86.933 (L957) 761.615 (463,237) _(139.187) 475,624 t136,819) 159,191 _288,775 004,4371) (104,433) (32,478) t35,783) Net cash provided (used) by non -capital financing activities 15,942 - 11,957) (32,478) (.35,783) Net increase (decrease) in cash and cash equivalents (I58.493) 4(17,726 84.976 126,713 148,559 Cash and investments: Beginning of year End of year Cash flows from operating activities: Operating income (loss) Adjustments to reconcile operating income (loss) to net cash provided (used) by operating actin ittes Depreciation Changes in current assets and liabilities. Accounts receivable Inventories Prepaid items and deposits Accounts payable and accrued liabilities Salaries payable Compensated absences Self-insurance claims payable 478,579 6,067.159 191.817 872,967 2,004,869 5 320,086 6,474.883 276,793 999.680 2,153,428 g (782,5321 (68,876) 5,000 81,982 10,312 I Q803 Total adjustments 108.097 Net cash provided (used) by operating activities (2 MO( 108.767 817 6ii18 363.000 _176,602 (174,435) 4077_'6 108 83,630 1,278) 143.189 183.937 43,301 23,036 (41,781) 588 12.305 2,690 2.177 i.303 3.303 .,._. 86.933 81,802 I6 002 104,838 159,19] ��288.775 1 elecommun,cat on' Rcvolvtng. Genet al Motor Equipment l;ncmplo) rnent :Accounting \'ehtcle Replacement Insurance Senices Services Reserve Reserve Total 397,516 865,891 1,577.339 38,820 0.356.289 (232.7361 (171,7061 (911.0191 (10,737,y (27,864) (6.000,572) (33.1781 (524.807) (413.7731 - - (2.116.561) 81.553 166378 252,517 (10,7371 10,956 1,269,156 (189,00S) (189 008) 800 - 102,550 ('148.036) - (293.441) (293,441) 119,292 (218.254) 1147.236) - 102.550 - (08.962) (65,384) 166,378 855,.331 789,947 472.621 638 999 58,423 109.851 166,1)59 (10,737) 455,205 621.261 720,00 709,263 (1,1.900) (107,855) 7.917 - 270,746 10,956 876,753 190,576 201,532 1 _2. 309,124 1 3,185,377 10,816 115,686 315,0(10 3,000 (1,278) (41,781) 13,915 10,080 (14.3341 97,118 140 392,363 1.597 7.754 5,404 30,751 38.690 5,601 - 62.415 363.000 23.129 56.524 81,852 166.378 2.67,417 109 97,118 ,c10,737) 140 1.153,470 10.956 1_269.156 Nirio (This page intentionally left blank) FIDUCIARY FUNDS AGENCY FINDS: Cobra Insurance Fund "I'his fund is used to account for amounts collected by the City from retirees to pay their health insurance premiums. Miscellaneous Deposits Fund This fund is used to account for miscellaneous deposits collected by the City. 111 Nero (This page intentionally left blank) CITY OF NATIONAL, CI"I Y Statement of Changes in Assets and Liabilities Agency Funds For the year ended June 30, 2008 Balance 13alance July I, 2007 Additions Deletions June 30, 2008 COBRA INSURANCE. FUND Assets: Cash and investments $ 3.990 105,209 105,409 3.790 Total assets S 3.990 105,209 105.409 3,790 Liabilities: Accounts payable $ 3,990 210,741 2102941 3,790 "Iota! liabilities S 3.990 210,741 210,941 3,790 Balance Balance July 1, 2007 Additions Deletions June 30. 2008 MISCELLANEOUS DEPOSITS FUND Assets: Cash and investments' S 834,500 177,584 364,893 647,191 Total assets S 834.500 177,584 364,893 647,191 Liabilities: Accounts payable $ 834.500 507,419 694,728 647,191 Total liabilities $ 834.500 507,419 694,728 647,191 Balance Balance July 1, 2007 Additions Deletions June 30. 2008 TOTAL. AGENCY FUNDS Assets: Cash and investments $ 838,490 282,793 470,302 650,981 Total assets $ 838,490 282,793 470.302 650,98i Liabilities: Accounts payable $ 838,490 718,160 905,669 650,981 Total liabilities $ 838,490 718,160 905,669 650,981 Ili (This page intentionally lett blank.) OT'III;R INFORMATION CITY OE' NA HONAI. C:1 f Y Net Assets by Componenr' Last ;i.< Fiscal Years (accrual k•asis o' ecc.ountrna) -iscal Year 20 03 7004 2005 Dover imental Activities Inve;stc;d in Capital c3 ,sets. net of related debt 50.26 .232 92,988,958 101.117 339 Restricted 26,694.105 49. 185 546 44.125,574 Unrestricted 44 331.476 (19,947.768) (18,088,821) Total governmental activities net assets 121.293.817 122,226,776 127,154.592 Business -type Activities - invested in Capital assets. net of related debt -12 48 1251)) 1 1 844.051 11,2204,491 Restricted 1 913,163 1 157 351) 2 439.808 Unrestricted (24 1,387) 1 142, 236 Total business -type activities net assets 14.153,065 Primary Government: Invested in Capital assets. net of related debt Restricted Unrestricted Total primary government net assets 52, 749.521 28607.272 44 090 069 135,446.862 14.14 3.646 13.644.299 104,833.049 112,322 330 50. 342.905 46.565.382 18 8013 532) 18.088.821) 136.370.422 140.798,891 Notes: ' The City of National City implemented GASB 34 for the period ended June 30 2003 Information prior to the implernc-ntation is not available. Source City of National City Comprehensive Annual ; inarvciat Reports 116 IScal Year 2006 2007 2:108 93.916 816 37.597.633 (2.314 5(34) 129,199,885 10 854 822 2.134 043 12.988 865 104 771 638 39 731 676 (2,314 564) 142.188,750 . . _ ... • 95.083 039 .11.250.048 5.449.969 90.395 315 53 081.951 7.376 407 141,783.058 150,853.673 10 407.472 1 778.624 5,584,797 1.996.801 12.186,096 7.581.598 105.490.511 43 028.672 5.449,969 95.980112 55.018.752 7.376.407 153,989,152 158.435,271 117 (:I"(Y OF NAI'GNA!. CI1Y Changes it Net assets r L;ast`Sx F scal Years .,accrual oasis of account(lci) Fisca• Year 2003 2004 2005 Expenses. nses Governrnental Activ,t!es G:8 7 44,840.699General gm,�ernme f 15 .22�,7. , Public safety 21,707,108 20.691 526 Tr3nsportaton 'I.499.506 3,118.955 Community cevelopment i 845,282 18,772,524 Health 5.F.83.202 6.776,503 Culture and le;suro 4.054.931 5.321,139,E Interest on long-term debt (unallocated) 948,69.0 2.401.283 [7eprec1a5on expense (unallocated) 3,4 18, i 54 Total eovernrmental act.v ties expenses 60, 386,247 61,923,426 Business -type ActrnSes. TDA 3.003, 738 3,037,348 Community development commission 1.618,507 1,694,815 total bus;ness-type activil•es expenses 4,622,335 Total pnrrary government expenses 65,008,582 66 655.589 29.517 769 5,185.480 23.565,803 5.776.548 !i.2u 1.w0 4,809.381 81,938,439 3,100,30r 1,816.212 •� 917,019 86,855. 458 Program Revenue. Government Activities: Charges for sere ces General governrner,t 821.488 8.638.252 11,726,343 Public safety 2,15.9.250 1,294,733 552.334 Transportation 44,074 1,650 Community development 1.111.801 002,399 467.810 Feaith ,1,733.821 1.225 Culture and leisure 278.130 637, 165 55.9.500 Operating grants and contnbut'ons 12,658,340 21.8 15,537 30.438.839 Capital grants and contrbu5ons 3,4 74 092 135,227 18(3.889 f ota' governn•'entai activities program revenue 25,289,005 33.427. 193 43 93 1,765 Business -type Activities. Charges for Servrces. 1'DA Community development commission Operatine grants and conh;butrons Capital grants and corrtrbut:ons fotai bus:ress-type activities program revenue 1.210,5'6 ,80(.5"38 1.352.06.6 4.3(39,180 total pnmary government program revenue 29.656,185 Nat Rc•ren.,es ;Lxperses) Governmental act'•:;ties Bus,' -Ss -type 3Ct"v!!ties Total Net Revenues (Expenses) ".5.G97.242j (253.155) (35,350,397) ',321,281 1 ,8 1 9r 4 3 5 '1.365.549 1.170.795 1.843.918 1.307,972 52,13f 4,506.255 4.374,822 37,933,458 48.306,587 (28, 496.233) (2,25,89 8) (38.006.674) (542,197) (28. 22,131) (38,548,871) Notes: ' The City of Natrona. City !mpiementeo GASB 34 for Inc period ended June 30. 2003 Information prior to the inrplemantation .s not available The Nabora! City transit operation (TDA) was discontinued dung `:scar year 2007 Source City of National City Coropreherstve Annual Financial Reports 118 Fiscal Yea: 2006 m+ 2008 IG1.167 K29,116 5,881.25 24,841.408 25 942E03 27,218,309 *97E551 2680,e80 7144,e1 23?09.596 22209»22 24.841,387 CGfg9 6.2.11178 1.426,569 6243390 6.387.197 E30¢412 2631.082 2,7138304 2.85+39 C.gfq: y381200 81.67$002 368,4272 »sm»y 2.215,66; 2.535,54C. 2.050738 2.07$822 f220.312 4,749.425 ¢297,46 82.816.195 Ztw 1 es 967,485 u 731,+o 11.210.231 3,035,893 182.214 G 5R 192,2$ S37715 767.558 776,094 - 7,426,730 650a28 843.273 935,29Z e J089 23,016.167 26,09¢615 243,662 166e94 112,107 40»±e8f710 3$56¥027 1.287.218 .S91.013 1,920 403 1.953±3 204¢277 2.002 «4l 99030 3209,562 «836 3 45a83,650 2 m ,0S G%GtDs S>1%a/ (36,932,545) (3i 402,490) (912,52) 2.044,277 40,513.304 (4f m¢ 975) 233,De (36,315,042) (4y w« 181) JA§me$ 119 CITY OF NATIONAL (:11" Ch inges in Net Assets i;Contin..rrd)' Last ;;Ix Fiscal "ears :,accrual basis of accourhnc1 Fisc.at Year 208 General Revenue and Other Changes in Net Assets - Governmental Activities. Taxes Property taxes 10.020.096 Sales taxes 14, 746.1 15 Franchise taxes 1 2(37.986 Motor vehicle license 3.443 936 Transient OCCUpartcy taxes 959 078 Other taxes 922 906 Investment earnings 1.31 560 Other i isc Rent 60,993 Transfers - Total ciovernmentai activities 32.802 669 Business -type Activities - Investment earnings 27 958 Other misc.; Rent - Transfers Total business -type activities 27 958 Tctal primary government 32,830.627 Changes in Net Assets: Governmental activities Business -type activities Total Pnrnary Government 2 294.573) (225, 197) (2.519.770) 2004 2005 0.691.564 16.458.677 1.2.69.136 2 950 346 9"2 7.873 44.092 1 294.564 1 932 799 .86.4f i 10.634 257 18.,723,950 1,421 404 4.488.802 1.002.664 1.239. �38 1.795 642 82.011 33.155.518 39.387,768 37.340 9.684 42.850 47 024 42.850 3 202.542 39,4 30.618 659 285 t178.874) 1.381.094 (499,347) 4 480.411 881.747 Notes: 'The City of National City implemented CASE 34 for the period ended June 30. 2003 Information prior to the implementation ,s not available The National City transit operation (1'DA) was discontinued during tiscz.i year 2007 f he City of National City implemented a one cent district tax during fiscal year 2007 causing an increase In sales tax revenue and in-;'estrnent earnings Source. City of tational City Comprehu;nsive Annual 1 manor I Reports. 120 Ftscal Year 2006 .2007 2008 13.304.816 15.232 910 16.421 961 17.571.328 22.102515 24.072,743 1,357,256 1.440.770 1 416.236 4 552.078 .1.837.677 5.100 399 018.378 908.187 841.7/15 1,460.288 3.405 789 2:369.224 314.606 (27.714) 80.711 85.627 305.082 2 378.910 39,265.461 47.985.661 53.906.300 59.721 82.059 27.518 34.653 27.714 (2.378.910) 94,374 109 783 (2 351.292) 39.359.835 48,095 444 51 555.008 3,343.566 (916.276) 2 427.290 12.583 171 (802 769) 10 805 325 (4 604 498) 11 780 402 6.200.827 N.0 Nal 121 CITY OE NATIONAL.. CITY unc Balances of Government Funds' t.ast Six Fiscal Years modified accrual basis of accounting) Fiscal Year 2003 2004 2005 2006 General Fund. Reserved 83.397 1 101,354 1.126.090 1.1.71.748 Unreserved 7.439.565 8,056,981 11.457.153 11.620.584 I etal _general fund 7 522.962 9,158.335 12 583 243 '12.792.332 Ail Other Governmental Funds' Reserved 13 241.484 46.548.352 19.446.936 21 .670.313 Unreserved Designated 27 833.769 1 4.949.382 15.596 121 7 416.455 Undesignated Special revenue funds 8 553.693 3.7 14.794 13,3.50 /31 1-, .346 630 Capital projects funds 12.071 391 2.233.057 9 978.086 7.107.297 Debt service funds - - - Total all other governmental funds 61 700.337 67.445 585 58.3 72.774 53,546.695 Notes: ' The Cry of National City has elected 10 show only six yeas of data for this schedule. Source: City of National City Comprehensive Annual F,nancial Reports. Fiscal Year 2007 2008 .E01 23 15 585.056 17.086.279 1..727 692 '18 298.8-40 20.026.232 25758,503 '23 958.237 15.55-4.052 10.832 286 .15.595 453 21394286 4 201 534 9.750,823 61.109 542 67.935.612 123 CITY OF NATIONAL CITY Changes in Fund Raiances of Government Fijn':;' I Est Six Fisca`. Years (modified accrual baste, of accounting) Revenues - Taxes Licenses and permits Fines and forfeitures Interest and rents Intergovernmental Charges for services Other revenues Total revenues Expenditures. Current' General government Public safety Transportation Community development Health Culture and leisure Capital outlay Debt service Principal Interest and fiscal charges Total expenditures Excess (deficiency) of revenues over (under) expenditures Other Financing Sources (uses) Proceeds from issuance of debt Payment to bond escrow agent Proceeds from lease Proceeds from sale of land 'transfers in Transfers out Total other financing sources (uses) Not change in fund balances Dent services as a percentage or norlcapital expenditures Fiscal Year 2003 S 27 753.702 246 354 992.882 1,313,396 20,190,583 6.607 356 1.784.270 59.388.543 2004 V 30 511.064 297 937 1.125 `965 1 411 209 20.493.61+6 7 767 770 1.719,171 ,3.32763F• 2005 `!36 031 882 895 617 .1234563 2 176.345 26.776,553 9 386.573 6 726,776 84.028.309 16 217 8'0 4,895 50 1 5.08 , 967 18 391 488 21.008.0/5 29 230.210 1 499.506 1,537 cas 2 904.54.7 8,179 356 18,92.2,72 1 25.061.379 5.683 202 6.7 76.503 0.77i 6.548 4 070 165 5.321.396 6.261.480 5.390.611 5.374 829 /5058251 .15 00C 745 000 985.000 152.3 i 3 2.079.792 4.206,020 61 098.721 07.212 202 95 571 402 (1.710.178) (3 884,564) 6.000 000 12.760 003 261.9.. 7 1 991 101 2.180.736 9 774 100 (2 249,6371 9 749.2071 5,93 1.049 4220.871 2 90 15,043 841 $ 11,159.277 Notes ' The City of National City has elected to shov,i only SIX years 41311 (11.543 09'3) 37.780000 (37.111 533) 18 113,443 r 16 433 443) 2 343.467 (9.194.626) 6 4 53 da'n lid- this schedule. The City of National City implemented a one cent district tax rJurinrl fiscal year 201R causing an increase in safes tax revenue and investment earnings Source City of National City Comprehensive Annual Financial Reports. 124 7s ;Year 200e 2007 200e a y .138,480 8D«m 1,237.060 1.957,322 24.345.988 9.330.052 2G62.154 $ 46,477 691 Swim 939 083 3405.789 23,863 565 9 328340 2 358.768 6 ±iq 81246.234. $ 49 871.559 301.232 1£K 347 3.3r$224 24,377,473 8471286 2,680,389 90.S$yo 5 395.508 4.723185 5.2,5'¢513 2528.443 25230.86e 25.52$937 3.369.380 3236.793 3.758.298 23aly 799 0992 576 23,721.153 60 9689 6 273. 178 fa e 569 6243y0 6.387.197 E27E859 109 597 207¢81e 1 636.398 3 224 395 2871863 2.891,709 3,01¢431 2,89E+2 2.864.933 87 354.632 74 58E440 80.457.369 (7,796, 8) 12.656.7c(4 10.436 141 2G 10 4 31 154 (7931 dy a7»5 wg29% 2.9 ,094 /m.mS ; @J37.534) 2 11 856.794 130g+724 03.51gQ ,:54,722) $ 3a81,419 817 ZWx 7 125 THE CITY OF NATIONAL CITY NET TAXABLE ASSESSED VALUE HISTORY 1998/99 - 2007108 Taxable Property Values Lien Year Secured Unsecured SBE Nonunitary Net Total AV 5 Change 1998199 Si 408 rke. 72 i ',Pn 894,518 5 : i .C81 106 S1,509,944,425 1999/00 S1 473 057 556 599,805.455 Si 11,028.47" $1,584,791,482 4.96% 2000101 51.; 29,G10.497 519) 902.590 511 0/6,114 $1,632.589,111 3.02`i;, 2001/02 Si (320026(95 51 ;3156.141 511,13e4777 $1,743,331,306 6.78% 2002103 S' 7'7 466 753 SITT.R21 517 51(1 884 643 $1,836,172;913 5.33% 2003104 Si 817.008. 4 0 SI 19.32 r .613 Si 1 768 010 $1,948,164,113 6.10% 2004105 Si - 5.7S0.448 S121,108,202 S6 177 516 $2,063,075,166 5.90% 2005/06 52216.2031333 S132 107,2114 S5,064 199 $2.354,374,598 14.12% 2006/07 52 555 225,505 '136 024 998 3 .9 1 260 52,697.181,763 14.56% 2007/08 :32 764.040,932 5153 /308 274 34.039 240 $2,921,888,455 8.33% 53 700 000 000 •� S2 800,000 000 52.400.000 000 S2 000.003.000 51 ,;tip U?Op1;) 2.1 20001005'0 GOO 000 S403 0O0 000 So SBE Nonunitary Unsecured Secured 1998199 19913:10 2030101 2001101) 2007.'03 2..003;t04 2004;05 3005106 2076,1"7 2007;08 (3,1t,1.`.ir,,irrc Sin? Dirge County Assi-;s.^.r 3998/49 - 2007/08 Combined rax Rolls Prepar;'!1 On 2911;791)3: B., NEC f%1:) '•:l::'-: i .s I •r� l',: ,,;:co f`:st, ,,:(„ J w,i1'1!i;l .114? lVi,f1C 1I'4?L. ft & 126 THE CITY OF NATIONAL CITY ASSESSED VALUE OF TAXABLE PROPERTY 1998/99 - 2007/08 Taxable Property Values Category 1998199 1999/00 : 2000/01 2001/02 2002/03 2003/04 2004/05 2005/06 2006/07 2007/08 I Residential Commercial InduStrial 579 Dry Farr. 1:!B7L? 1 •-??: Institutioncl , .!: - • ,,7 ,2-.•.. :,. 1,S, ,:•2 i 2 .;•:••• ••;.• 1 , '.!•:,22 4,: ! i ! i :'• I'L- .:7:"'• • ..... .. Recreational : : ',.:•--:!•:2 i' c•::: -:-!.: ...,• .1,:: .,•l ; 2: ":-.'l•s•-% 1 ; 2".;...'",".: 1 7.11E1.237 - Vaoart Land : 2': '.."J; 227 : 2.' .....-.7.! ".---:: -z..:...-.:. : .!•":..•:•'. • SBE No»unitary : 11 ':•!...l'Vzi,; i 1 :',:2'. •i71 : '1.1:;:c.,.,:l: ! l 7: •,:•:•.: '::::!. : 11:';l7O 114 : Unsecured i•. .'' :". *; ':.• l'.:.2.: ••••z 4:: .,.'..' '.c. 2 __ - Unknown :%',.:: ..:.'. --1 _.:... , TOTALS :: '...--;7 . ' 1 i---- : . i Total Direct Rate l )•;:'!E!!-::::•0 ..'• ::*:'•••••:', I -."..2''.. ! ,:• __:.-, _L • THE CITY OF NATIONAL CITY DIRECT & OVERLAPPING PROPERTY TAX RATES (RATE PER $100 OF TAXABLE VALUE) • Last 10 Fiscal Years • L Agency 1993:99 1999%00 2000101 2001:02 2002103 2003;04 2004/05 2005/06 2006/07 2007/08 Et.,'as lc Levy' !)'3' 33.3 • C002 9013/... ;33310 1 L.r.,000 c.:Ity (;;It.,• Ur. •:; C• f;':ir' • (.• C CCOCK: 1.1.0', • i) !;313(13 • •• . r G rt0'V''': 0 '.‘;(54 0 00241 Pttnn Otto:, • (.1,, ;./Gr);',04 9 7G2`..,0 •ert Etct-at `,Ast.-1 `:,71-1e0i 1,:•,•:'•_-1.; •-••• Z' K4.2.. 0 :.).;.342. et:rtd Chuia a • ,J,f2.3; 0053•.; ;:o :),..401, 111303 len!62:10 V,sla f*: ,2! 010.•..4e 0 0 .1; r:?,),1(1 C!..at %1St 0,.•,;•;'•1 1, 3I.4j 9 097 1:;00:199-. 0 C.,,11..41 01,9000 100!-.. Ref '•1.191..9 31.,006: 0 00/00 H. F.1.)(1SWe,Z.V:ie,e; 750171 1303r: 0 o97494 Fond 20003 :):"",!ttnitc., r: a30(,,.; 0 0 •CtrI, 09i15. 05/32t, .).1.97,7 0 00,645 :{. Bono 200CC: 3c.f:00 i,IYJGC.0 7 OGGGC, '.`.CGDG 00000 0 000:,301301) 0 Or,e7 i Bond Swee!...t.3tet Pi:) 2G0. rf:00C: r).30(..tj I 00C C: 3105:0 0 001.30 3.05090 00.030 0 02707 Le,.ver PT.( (7.1,0(..0 0 GC.L.Ol.c, .7. tj,..,'j,J0 C.. 0G0G0 0 0000c. 0 91035; 0 Dr:0o° Pr, 30197J3 0f.iS99 Ottil",C 0 G970 ID 0 00F.:.-'3 0 0352C: 9 3047'2 0 C045..0 N3( ur,-1! ort, t..GOGO 00t,';..1.-. C.G0t.-0 310, 3 G 0 1:, 0 t- /9 ut.1:0 0ie.Q0 N StJ'a:s 2G0f. 3.0G300 0 06000 C 3t0033 GOOD:, 0:..t."Jr0 GO 0000:2 0 0)00'2 1/ 3700 L.eclo tr,ortIntJG.ty Cu!ege 50,10 2)03,1 6 (TUC, C:0:.'7,0r..:G '01;C,00 '.tC10C0'..: 0.0 1: 0 I 3162.0 0397 72 0 C,0000 G GI:G90 .')90t97 r: .1000". 00000 6303.10 15/1:30). 9 ,10f. 0 GO;t: 4 Sin DieK.;,) ! 000." G C., /3300C 0 G0000 00031 0:::510 3101.00 0G000 01090 !_c-n51(6'."00..nas3 7 G 0r2:;r;0 0 00060 Ci 00006 0 30000 00.000 C.0,1roun,7, 9007:'.': C,G,Jr:G 2 t rt GI 704 3 C072.7 9 007 ! 0 00,!). '305'1 0 C.'049:i `icy..,!tFm-JV.etn Ot.t.rr,01,Jr,0.!: it.ic.-,c1 201'0/26'04 I., 006341) ii'.);jCV G0000 0,G,J00 it0!-,!•; G 00.403 4),J30(19 31)973/33 Bc:pi Pc.4o013 CIG:.....(tt) 0002%. rj..,!Outk 02403-0 U 00000 0 00,908 :•13394 U0,0ecleerC 9.4r1 _):ordc 1 J.S.!81- C 00033' 0 GOY,:.: GOE".,t)) i) 0G0G:0 0 W./OGG '.' t!;22 0 '91 I) 002/ urt,t$t.: i3entl So', 19030 D DO00(1 010321 00(./.5') 3,-)000 LUGO° 1100'1 C., 00000 0 01.lik 0 00260 10,r4-0 Ftotta rIEGG /0993 6. OCCit', 00350 0 133(0 3 30300 C.000..) 1 00:3;,..1 U OD 'Y." 0 00;48 0c,31 :000B 0.05000 3 0053.0 0.00100 C.! C:00.)0 9 022.1,1 2 91302 0 00785 0 0;56i 0 00:',67 tIrtifi.NIFt-trd ;,;;G IC; GOOGG 5 3050i3 31,)114.) '..100L://00 00; 73 9 0 ,.',2t4 00:i95! 3 9:.)75/:i 97314,0t1 Ett-tytt ToPt.t.,o 23073' r, ,-;;;Dtr, •-, 31-.2263 31272 0 0-J9!4) 00060 10/970 Bord 2O53E 11 GOGGG ODDY r.,0f'.,".00 0 0/0600 00690 0 02723 0 /02 /38 0,7:1:t 0 0-.429 111/1,00 Bcrtt San 7.,,F•Gt-t 2045-;• 9201C) coujr.,'(50(10100000 0 03000 0 0rxi-,0 O'nficd G.' Re iurtct.act 51:3::0 000rtr, 0C;0r."7.. D 00G03'0 00000 G.D0r.0 ODGOG 93000 005S3 Total Direct & Overlapping Tax Rates 1.10573 0 94481 1 12061 1.00194 1 16405 1,10719 1 19087 1.188.70 1.17054 1.18620 City's Share of 1% Levy Per Prop 13^ General Obitiyation Debt Rate Redevelopment Rate" Total Direct Rate" Z.: 1123 0 ;2C. •) " :j I 1/-/C.: /20 0 1:20 rj C22/5 9. 020C.,:t G.01770 0.0'570 0 01430 1 1 0937t ' 00'a53 f,33;7 1 9308.3 1 0052C, I.90450 o 49214 f: 02047 502.52 5i7$.i.7 59.' 02 Notes •!1 Crt,trtrno 4 1 1 Ih, 1,,r :3 a^ 11;: ,,nt5'f, -RD!, In& 13,i,Y, c—•-; r !Rf),, nNifi,...d. 1.1i 1,, r..7,E01.. I 1:1,11 Pelle IS WO all trlf, d se:A 597 tjie!g) Cfl!.1:1•, 99,5!...?9 - /66 1,v. I ;$/2tf.. F'ief.ta:ed fi;'I V2003 By iThs :60/ /r/ (i'iC•ii ,11 fdtksi,f t'.`; OC97.1(1S,J1!.• .•;! 1. Of fiL (::)H:17 '1 28 TI-IE CITY OF NATIONNAL., CITY'` PROPERTY TAX DOLLAR BREAKDOWN (i 'I cr;tl !'. lenlenl:tr\ j(1.177 S\\cCt\\.)lcr l:nirm i!i ..h u i Inc \ei:uc -\u_u1 ctitation Lind Sc,uth\'.c.tcrn (c rnlliunr, l r llc'.r VI 1 IArnual la\ Illl'rvint-lilj 12atins For Ia.\ Hate Area 11116-11(I(1, F.\ellldill;, Rrilerclnlrwint Factors & Additional I)0;1 Sc•r‘ice J'nmrc: HdL (urrn 8 (.',,u , Sun !)ie ° C ennr/1'. i rt•ec(u• I007 08:Innrurl Tux Inc-rement frrJ!, \r;u )1! / I P:r,e 1 1bi' :-er,nr n ,urr 1,r he u.rd iu u,);r.u.; „! d, In n.n.utri or ernrtirrrin; di.rdr)syre. t1,h A,dnJ+ u'it/ 0lU the niiiien ;'n'1rnr r,l 111/1.. („rcn ,C C'nrt.. 129 TI-IE CITY OF NATIONAL CITY 2007/08 TOP TEN PROPERTY TAXPAYERS Owner Secured Parcels Revenue portion of city Parcels Unsecured Por,io') Revenue Or city Combined Portion Revenue of Cty Primary Use & Primary Agency $ 264,069.44 1.65% $ 2,403.73 0.23°ro $ 266,473.17 1.56% Commercial 1) Wells Fargo Bank 15 S 257.287.60 1.61.:t- 5 S 2.212.35 0 7?9/ S ' 5P 459 95 1 527', E. J. CHRISTMAN 61 $ 249,786.59 1.56% $ 249,786.59 1.46% Commercial Contermarlt Properties Inc 1 3 r, : 0 :J 00"•:7 S 0 00 5i.00',; TAX DISTRICT 01 $ 222,848.93 1.39'.i% $ 5,121.70 0.50% $ 227,97(3.6,1 1.34''-, Industrial 3) Pasha Group 8 180 783.9'2 I.13r .. 1 _. 4 ' 60 , 1 0 4 . 0; o r S 184 ? 1 1 E1 4 HARBOR DISTRICT 1.0$ ., 4) 1;+eehroater Associates Limited 1'arinl; sltill $ 212,459.29 22 $ 210.104 25 33% 1 31't S 212,459.29 S 210. 10,1 25 1.25°J° Commercial 1 23':, SWEETWATER RDA $ 150,894.38 0.94% $ 10.277.91 1.00% $ 161,172.29 0.95% Commercial 5) Dixiclinc I.tlll )rlr Company 4 5 14C 210 36 0.87°:c 5 5 4.240.23 0.41% 8 144,45C 63 0 85'.'. DOWNTOWN RDA 6) Sweetwater Syuar9 Lt C a Anrdr.ma Gra 4 $ 157.305.98 S 148 6'0 78 0.98% 0 934- S 157,395.98 5 1.18 814c. 78 0.92°h 0 07 •, T Commercial DOWNTOWN RDA $ 155.560.92 0.97% $ 155,560.92 0.91 % Industrial 7) CIP Venture 16 5 '154 403 68 0 967e S 154.403 68 11 917i E. J. CHRISTMAN #1 0.90% 0.854- 0.85% . SICriii 1- - 8) Wal ".•tart Real Palate [3usulfss irust 1 $ 144,595.66 3 136 753.66 S 144.595.66 S 136,75 .66 Commercial DOWNTOWN RDA 9) CostcoWholesale Corporation 1 $ 46,934.38 S 39.225 50 0.29% 0.24'T 3 $ 67,451.22 S 54.789 35 6.57% . 34'11! $ 114,385.60 S 94,C 14,::5 0.67% ., 55'l. Unsecured HARBOR DISTRICT $ 99,561.21 0.62410 S 99,561.21 0.58% Commercial 10) Sweetwater Plaza East LLC 7 S 95,819 59 0.602h. S 9� 5.. 1 39 59 0 .56'e DOWNTOWN AMEND #1 $ 1,704,106.77 10.63% $ 85,254.57 8.30% $ 1,789,361.34 10.49% i Top Ten Totals 79 1 363.429 6.51°.c 14 8 65 1c1 3 % S 1::128 g I 22 3?^` l City Totals $ 16,025,780.34 $ 1 +.131,457 09 5 1,026,610.88 $ 393.2. 5 75 5 17,052,391.22 S 14.021.692 5 rac tot each the cse ndle;'. i, !cif r C':eno2 for I1ot (Wier.: the •RI1A RCv' floc e$Iu11a1CS Mal part ul t''ic rr:•,r•rn.,c apn: rl c tecl - ., I" Inrri 11en.. AIM rn ifj111 hose oslinlaUCtl,:a1cldaliarts are performed 011 a Carrel Ievr.l. f:ounly aurinorironeollrrs' ut(ices date nor 1990l rion rcvel1:lr:3 a1 .111,11:0 I3:vrt Sturrie: 11,11. ( rio, cc ( nor, .S?rp l)ir:rr (•, rrnir i'ir's•,'r '0077L4 ('rrrnhint'd Tn.s Rullc. I7ri, ,.Iva r i• uo! 1,, Lr' ,er i.r yr r.t.,1 n1 Jrhr i••ornr<r ur r,rninrrmy •lu Haar ,,IN nil11„ 111L, •, riu, n , nr: . ,r ,r111df . (',n r r, ,C f'nnr•. /'irw/ THE MY OF NATIONAL CITY 1998/99 TOP TEN PROPERTY 'TAXPAYERS Owner Secured Parcels Revenue Portion or city Unsecured Portion Parcels Revenue cr city Combined Primary Use & Portion Primary Agency Revenue or coy 1) Cower -mark P npertles Inc. S 225.402.84 1 S 0.00 3.36% 0 !;C'-r S 15.223.69 5 14 n60 5) 2.99% J 88'>1, $ 225,402.84 S 0.00 3.12°4, Commercial r) e.:)0 TAX DISTRICT #1 2) 6 F Pinnacle Peak [invited Partnership 3) Wells Fargo Bank 24 S 199,831.86 5 197.547.65 6 $ 141,649.05 S 130 275 C'7 $ 126,831.24 16 5 125/135 28 117,310.36 7 S 87 820 83 2.98% 2 95917r 2.11% 2 '18'J 5 5 199,831.86 S 197.547 65 S 156,872.75 S 153 935 66 2.77% 1 1.1'.': 2.17% 2.13"1;; Commercial SWEETWATER RDA Commercial E. J. CHRISTMAN 111 4) C I P Venture 5} Dixtclnr,: 1 I rnber Company$ 1.89% '. 87=i 1.75% 1.31°c 1 $ 157.36 S 140.47 0.03°'n +, 01-1"/0 S 126,831.24 512543.588 $ 117,467.71 5 87.Si61.30 - 1.76°/h 1.74?.;, 1.63% I2/ ; Industrial E. J. CHRISTMAN #1 Commercial DOWNTOWN RDA 5) federal '.lnploye: s Distributing Comparly 7) Sweet;vats Square l L C $ 65.072.42 1 S 56 068.18 4 $ 63,340.75 S 64 607 01 0.97 °r; 0.64% 0.94%, 0.81'a $ 65,072.42 5 56 083 18 5 63,340.75 9 54,601-1.01 0.90`%o 0 78''r 0.88% 0.76 Commercial DOWNTOWN RDA Commercial DOWNTOWN RDA 8) Park Villas National city Linulerl F:ulner 11a1 9) National City Capital 2 $ 58.901.94 S S0 751 53 0.88% 0 78»4 0.88% 0.76'>, 0.80`�b 0 ;39a,;_ 5 58,901.94 S 50 751 53 $ 58,786.84 s 0.!;5;' 3 0.82° Residential J 70111, DOWNTOWN RDA 0.82% Commercial 70', DOWNTOWN RDA 3 $ 58,786.84 S JJ'35 35 10) AFL CIO Building P ides Corporation No. 2 2 $ 53.839.89 3 46 389 07 S 53.839.89 ,,, .1,?. 2w: (:? 0.75`.% Residential ,- .. DOWNTOWN RDA 1 Top Ten Totals $ 1,110,967.18 66 sn� ,:: ,�.: 16.57% ,� c;+: r 6 5 15,381.05 0,1 .; 3.02°4, $ 1,126,348.23 14 _ 15.62°r> ' , City Totals ..........,),) S 6,703,295 32 S 4.903.531 S 509,648.32 $ 113.919 11 S 7,212,943.64 5 5,3 1 7,40 63.; TI`r; lit-,C > iC' lint 1Ur !1dcI1 C dnLF -.i l'n: C•;!•i 0,11 `;1 !., I f: vi"1-.:c Irr 17 .,."in'.r. inc.; 'ROA Rev. loc. "i1 t.;ite, Ind. pa, i u1 ;he fi: :' !C a•T,Grllcced 2' 1` IncnC:2'I1C,11. AII9C.i jd !he:r; r•.ti,naI>c! (7;11(::11a10r, :irr: ilrrin'mecl n•i p:,r<:cl kw.' rnunnl 1' >Ianrtmurnllrrt' n!ficet n, II:cr e.;Icu!atr. no:' 'anornim ;ION (:(11Ievcl .,''nnr.'e': Ilrll. (rr1Tlr S. C011(', .Sun 1)ir ;:n (rmn(r 1'>e'snr• I')9A''47 Coorbinr'd lb.i Roll, Tlri% u r i. tin, ,n u,• u.r:l iu vrlyr ,,7 , J ,Irhr i. •nr.n: r u, , ,m;inrr•n di., i„vr, i•,orr, nr: un ., irlrnut rirr , , nb n , n,, ,v r-:111,11 . u ,C (nnr. Prr>:' I The City of Nation:3i Taxable Sa:e.s Sy Category Last Ten Calenoat Years (:n thotisarids 19.98 159 ZOCQ 2901 . 2002 2103 2004 2(2.1:: 2105 -ir,'007 Apr)arel Slot, S ,30 378 S 63:850 S 69.435 S 8C.878 S 32.332 $ 28 7,..-..t7 5 92: 800 S 99.308 S 98.402 5 99.679 Ger crai Mc-o521,•.cl0c 140.008 129.568 112 554 1 03,40-0 92 641 117.455 153.594 157 602 151-1 587 '45.501 F.;')otlS,.(:,,, 22 742 ?I 8(18 22.:114 2:3.545 24.050 2:.414 23 096 ith-, r-oc.. 24 000 34 (177 Eat4)(1 a,14 D;•••6.46,:j Plar..t.;;- 37.355 71 961 76.9;34 85.341 89.736 94.900 100.475 101,597 iC_IF; 617 105 24 1 B041ta;3, Nitalc.:,,als I .....,5 522 102.318 107.491 1 09 534 116 682 1 2(•.• 89C 174 444 176 151 11)4.317 10 Auto De.,:e.—....; z1,1(1 S.,,);)!,(•,-, 135 .5.5e .14.1 698 5C)5 252 8F.4.4. 526 .30..:; 5::.15 623.785 075 351 696 15.3 6:3:-..:.032 322. 82'1; Servicct: S1:70100s -il's 8:24 38.029 50 :i8:3 !--;;, 8313 54 877 61.57'a 72.078 7,1.105 79 .1e9 F.,-i . 322 Other P.etat; Slorit.s 12(3 067 140.204 i 51 .3109 153,719 160 77 :3' 1.34 72:6 166 sal 175.438 .1-,•.3.,..1-33 't 41.7 869 Ail Cher 0.111,21s 18f'.. 7.32 196,132 224 125 22. '.1.82 1 236 927 221 486 244.757 2014 1:: 271.7391 264 19`3 *T7.1a 5 1 1;%.7.i.:;39 ft:. 1 20i'. S !.32C.5:27 S 1 ...ICC. (30C S 1.458.417 5 1 5:3!...74:3 3 1.70A.442 S 7•99.i 3 1 o$33977 S 1254945 Source BUJ. d z.41 T Hclt.. Note: tuu ;)rt,se.itcd are •atenrle..-.1 to .7.-.ovirie re3:a104ny, the tho City's 'cve•);.,,._: SO: if (:e c)1 (;;Iy At.qt1:1', Notes ' Tne CH" :0 Si"Ot dEra for Amoi.t,1!, ; 2 CO, C,CA, 2 I 1 7f,;(;.427 2 2.017 ' .5;5 -lt•-• ./77 5,67 S3, CAL!FORNIA NATIONAL CITY 'NCO i? t,Of Al f.0 CITY OVERVIENV PLANNING; DEPARTMENT +tly, 2U08 1)alc of Incorporation: Srptemher 17- 1 tiX I'upulalinn: 61,1 13 Area: I).2 square toils (l.ard Area: 7.3 squarc miles) Location National (4!tb is located 5 miles south of do\1 nttl\\ n San I )'ego. on San Diego liav !n southern San l)iego Count\. and 10 miles north of Baja (. aliIornia. Me\ico. the ('.it\ is hordered h\' San I)i go to the nt.trth ilea cast, (hula Vista to the south. the unincorporated areas or Lincoln Acres and Bonita to Ole south and southeast, and San l)iego to the \\ CSt. l'he ('it\ is cenirall\ located, within 20 rninutes tra\ el time or over 1.<1 million people. This accessihilit\ is comparable to 1)ct\\mown San Diego's. (S/\\I),•\( 2(107 population estimate) Transportation Facilities and Ser\ices Interstate FreeINay': 1-5 and I-803 cross the City Iron) north to ,outh. ,tnc! titate Route 5,1 traverses the southern eciee or torn. I'orl and Ii; iI Facilities: National C it\ \farine 1 ernlinal " San I)ieeo t nilied Port l)istrict llorintgton Northern S;tnta 1•e Railroad San I)ic .o ct i\rirona Fasten; Itail\\a. Public Transit: Metrl)1)oln:nl 1 rans'( S\stcrn ibus ser\ ic; throufjh the t. it) and adaCent areas) San Dicpo 1 rollcv l\ru ;la!inns 134 Land Ilse and 1)eNelopineni Vattern Cit> IS nearl\ entirel. developed Nvith imix 01 lesidcmti;t1 and inLitistrial and commercial uses. Port racilities and adjacent intrust! ial Lle\ located at the Cii IT,o.rroili ale important tc.1 the rc4,..ion' econom\ [he "Mile pro\ ides a :11CCiali/eii, re.,,.,ional use \\it) ezts acCS' Iron, Interstate 5 ',tut! the Sm th Free" a 5-I 11-k: other end or the City is l'Iztra liomta. lai,.est retail centei 111 tilL' I 11C 1;111(11\ 11)1.1ne esiIflates I lind use areas %% ith in the City. Irtc ii 1);ised on net acrettge. excludinv. strc:Tts. Iiih is and other f ransportat ion r;lci lit ies: Lnnd Ilse % of Land ,t‘ ren Residential -II Industrial I Commercial I INti\ 1 I .and,.. I Institutional Parks c`,:.. Rect cation Salt Flais Vacant (,' 1 he City is, over one ritincircil ears old I lov.t.:ver. most. or it as hulk hemeen I (l--Iff and 1970. 1 his reflected hy its: pop.ulatio:1 gro\vtla and the zi,?.c of its hciusirl_t. National City llistoric Population 1)Aiii -70.000 60.000 -N0.0011 .10,000 .;(1.1.1(1() 20,000 10_000 1900 1910 c= 1920 1930 1940 1950 1913) 1970 198J 1990 2002 2COY 135 !lousing bv- Year built (2000 Census) --1 1 TotalIlousin 1:nits: l acani : Average Ilouseholtl Siic: 1 s.72I 12OOS State l)cpi. ()l I i roue! =.O I i 2008) 3.10 pc!>ulc, (20(1S) I lottscholil Population: 53.0.10 t 200S 1 (.Troup Quarters Population: S.I 4 (2(10S) Group duartcrs population is Irinstl�- tIiu'e onboard military :hips and altin includes persons in 1';:idential Card !ileiIiiies or L'11111-alese nt 11011ies. Ow ner Occupied !lousing: 35°0 Renter Occupied !lousing: (Sandal'. 20(1.1) Median household Income (tii iidan 006): 44,130 Median Resale 1lome Prices 2007 2002 2000 Single -Family I lomes: S308.000 S21 .O(101.) S 155,000 condominiums: 53.10,500 $1(;1.O00 SI07.000 AN erage Apartment Rents 1. nh -I. pe ` Studio I Bedroom 1 2 Iledre)on1 3 + Bedroom Average Monthly Rent 1 *315 tip_ I 1 S6 3(.1 $ I OS 1 Source: San Diego (ountApartment Association (Spring 2003) 136 Race and Ethnicity 2007 2000 :j n ,, 19941 '.0 - 19811 .0 11:' anii ;(,-173 59 ";, 32_0�3 , ,, ). I . �� t _t�. ? I l ,,. I).(, .n 18.718 o;- +,'. 1, . `.y hire 9,573 16" 6; 7.653 1:1.1 ° 0 14.08O 2(1.0" u 1 =).050 10.=10.-0 \ •i:u) ,; I'acil'c kIatiJCr 10,666 1 7", 10.551 19.-l" n S.990 I6.6' , 6.116 17.6"n > 1;.3,417 011..',,2,823 5 gin.' ? . 9 -1.2.38 )`.7°i> 1 \.r„ or \1orc Races'' I''S6 ".n ).150 2.2' i, 11;a n a 0. a n',1 l atal 61.1 1 5 10O"•° 5,4,200 100°-o 54.249 10,)'''U 48,7 ; 2 100 o `itari e: ( en us ( 1980-2(1O0). tiandai (2007 ) Age of Natiomil (City Residents 2O07 n.0 2O00 n ; ti 1990 u.- ., j 1980 u. ;, .tncicl -, sI /6 ti",o 4,410 ti"n 4.1.5() 9"i 4.91-4 '?°o -1=; »7(1 1-1'.'.. 9.45_' 17"-u 5.095 15" 6.901 1.3';n 1 5.-2.1 1537,) 25? 10,065 199,,0 1 2.-4 4-1 2 3"b 1.3.096 25' O 25-31 9391 1 5,r,n 8. 1 1 5 I S° 0 10.572 19' n S.842 I 6ic.0 35_5.1 1300() 21n:, 13,023 .'..1',0 t>.56 15'''„ 7,365 14c'-. 55-6.4 3771 6 )6 3.176 6"-o 3.372 0'''0 3, 169 b"n 75 3072 5')?2.747 5"/5 2,106 .40:O 1 630 30.0 101,1I 61I15 10(1°;, -1?60 IOU') 5-4.2.49 1(0)"u -15.772 IOO"41 \dcdian \ztr 76.4 78.7 20 5 J-i 3 ti -arce: t._rr;�t11, (1Oti(1-20(10(_ tian(1ai, (2(107) Properly Valuation (I Y 2007-2005 San I)ie`'=.o Cnunt\ i\ssesur) Total Assessed Property Value: S2.835.60-1.361 Number of ,Assessed Parcels: 9,411 I aNal)le Sales 21106: S1,510,2O6,O00 (Slate Board of Equalization) 137 City Employ merit (Sandal! 200 I) ( '0 5-42 7 R11 Total:: T7 755 Major Employers in National City 500+ Employees Naval Station San Paradise Valley I lospital National School District rub,- Drive 2-100 I:. -4th Street 10 schools and 1)istrict Ilee 250-499 Employees S\vect...\ atci ( .nion High S,!hool Dttrci City, 01-National Cite Nlacsi's iVlosss Nissan 1)isic!line I .umber. I RISS Yard & I Ionic Center .1 schools 1243 National City Route‘ ai.(1 10(1) Plait l',onita Road 2700 National City Boulevard 1:400 27.40 Ficklan(Is & :3450 II iv:1611(i 100-249 F.itiplovees (listed hy ad(lress) Friendship 1)evelopmental Services Paradise Valley Manor & health Care (.:ente.r WIlidz..,:or Gardens Convalescent Power Cieneration Pasha Services Kniuht i Carr Yacht Center N,lotivational Sy-s:eins. Inc. Friendship Nilan(iii Pacific 1)elense Systems I loliday Inn Frank Toyota Perry lord ol National Citv Ron Baker Chevrolet McCune Chrysler Plymouth Sin 1)iel2(.1 DodLio \\:-.esicou 'Mitt& Kia Bal; Automoiicc ;roup 1ersyn's1)epartmcnt Store .1. Penney- (.:onipany-. Inc. Castle Manor (.onvalescent I's Attiiiictju Manillow Monc\ 23001. 7th Street 2575 P. S'h Street 72) hi. 24th Street 221 3.3'1 Street 1.7,09 Ilay Marina Drive :3131;a mariiva I )1-ivc 220(1 Clc‘iclanel A \ enue 002 S. 1:ciclid Avenue lt2McKinley A \•enue 700 National (.ity boulevard 2100 N2itional (.:ity Boulevard 2050 National City Boulevard 2301 National City Boulevard Nati,)nal liottich'arc.1 NdtionAl 7;q)c: Boulevard 1935 National ( ity Boulc‘ard '007 I li,!hlant1 enue 30-10 Plata Botiita Road 5:11 V Avenue 11 ii:12th St 147- 1 lililand cnuc 138 City of National City Capital Asses by rilr'.Ctlon Last Six Colander Years 2003 2004 2005 2006 2007 2008 Po lr, o Stat;Ons 1 1 1 1 Zone offices Fire stations 2 2 2 Other public works Streets (wiles) nia nia nia nia 'U`. n!a Highways (miles) 6 6 6 6 Streetlights nia nfa ilia nia 1.673 nia Traffic signals 89 89 89 89 89 8.9 Parks and recreation Acreage 84 84 64 64 84 84 Playorourds 4 4 4 4 4 4 E3aseball/softball diamonds 7 7 7 7 Soccer/football fields 3 3 3 3 3 Community centers 5 5 5 5 6 Source: City of National City Notes ' The, City National City nos elected to saow only six ynniis of data for this „^iedule. Not Available 139 CITY OF NATIONAL, CITY NATIONAL, CITY, CALIFORNIA Single Audit Report on Federal Awards Year ended June 30, 2008 CITY OF NATIONAL CITY Single Audit Report on Federal Awards Year ended June 30. 2008 TABU: OF CONTENTS Report on Internal Control over Financial Reporting and on Compliance and Other Matters I3ased on an Audit of Financial Statements Performed in Accordance with Government Auditing Standards Report on Compliance with Requirements Applicable to Each Major Program and on Internal Control over Compliance and on the Schedule of Expenditures of Federal Awards in Accordance with 0M13 Circular A-1 33 Schedule of Expenditures of Federal Awards Notes to the Schedule of Expenditures of Federal Awards Schedule of Findings and Questioned Costs Summary Schedule of Prior Audit Findings Page 3 6 7 12 NINO P4aje t i-C tfroiYr; i7`.e ✓l�F.r. . An Independent CPA Finn 2301 Dupont Drive, Suite 200 Irvine, California 92612 949-474-2020 ph 949-263-5520 fx - www.mhm-pc.com Honorable Members of the City Council City of National City, California REPORT ON INTERNAL CONTROL OVER FINANCIAL REPORTING AND ON COMPLIANCE AND OTHER MATTERS BASED ON AN AUDIT OF FINANCIAL STATEMENTS PERFORMED IN ACCORDANCE WITH GOVERMENT AUDITING STANDARDS We have audited the financial statements of the City of National City, California (the City) as of and for the year ended June 30, 2008, and have issued our report thereon dated March 31, 2009. We conducted our audit in accordance with auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States. Internal Control Over Financial Reporting_ In planning and performing our audit, we considered the City's internal control over financial reporting as a basis for designing our auditing procedures for the purpose of expressing our opinion on the financial statements, but not for the purpose of expressing an opinion on the effectiveness of the City's internal control over financial reporting. Accordingly, we do not express an opinion on the effectiveness of the City's internal control over financial reporting. Our consideration of internal control over financial reporting was for the limited purpose described in the preceding paragraph and would not necessarily identify all deficiencies in internal control over financial reporting that might be significant deficiencies or material weaknesses. However, as discussed below, we identified certain deficiencies in internal control over financial reporting that we consider to be significant deficiencies and one deficiency_ that we consider to be a material weakness. A control deficiency exists when the design or operation of a control does not allow management or employees. in the normal course of performing their assigned functions, to prevent or detect misstatements on a timely basis. A significant deficiency is a control deficiency, or combination of control deficiencies, that adversely affects the entity's ability to initiate, authorize, record, process, or report financial data reliably in accordance with generally accepted accounting principles such that there is more than a remote likelihood that a misstatement of the City's financial statements that is more than inconsequential will not he prevented or detected by the City's internal control. We consider items 08-01. 08-02, 08-03, 08-04. 08-05 and 08-06 that have been described in the accompanying Schedule of Findings and Questioned Costs to be significant deficiencies in internal control. A material weakness is a significant deficiency, or combination of significant deficiencies, that results in more than a remote likelihood that a material misstatement of the financial statements will not he prevented or detected by the City's internal control. 42 Honorable Members of the City Council City of National City, California Page Two Our consideration of internal control over financial reporting was for the limited purpose described in the first paragraph of this section and would not necessarily identify all deficiencies in internal control that might be significant deficiencies and, accordingly, would not necessarily disclose all significant deficiencies that are also considered to be material weakness. However, of the significant deficiencies described above, we consider item 08-01 that has been described in the accompanying Schedule of Findings and Questioned Costs to be a material weakness. We also noted another immaterial matter involving internal control over financial reporting that has been reported in a separate letter dated March 31, 2009. Compliance and Other Matters As part of obtaining reasonable assurance about whether the City of National City' financial statements are free of material misstatement, we performed tests of its compliance with certain provisions of lays. regulations, contracts, and grant agreements, noncompliance with which could have a direct and material effect on the determination of financial statement amounts. 1 lowever, providing an opinion on compliance with those provisions was not an objective of our audit, and accordingly, we do not express such an opinion. The results of our tests disclosed no instances of noncompliance or other matters that are required to be reported under Government ;1 iulit ing Standards. This report is intended solely for the information and use of the City's management and City Council and is not intended to be and should not he used by anyone other than these specified parties. Q / eve —see / 41 r74 ii last., / 17C cgit-.si /41- e Irvine, California March 31, 2009 eAaye An Independent CPA Firm 2301 Duuont Drive. Suite 200 Irvine. California 92612 949-474-2020 ph 949 263 5520 fx www.n.fun pc.cotn l lonorable Members of the City Council City of National City, California REPORT ON COMPLIANCE WITH REQUIREMENTS APPLICABLE TO EACH MAJOR PROGRAM AND ON INTERNAL CONTROL OVER COMPLIANCE AND ON THE SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS IN ACCORDANCE WITII OMB CIRCULAR A-133 Compliance \Ve have audited the compliance of the City of National City, California (the City) with the types of compliance requirements described in the US. Office of Management and Budget (OMB) Circular .4-133 Compliance Supplement that are applicable to each of its major federal programs for the year ended June 30, 200S. The City's major federal programs are identified in the summary of auditors' results section of the accompanying schedule of findings and questioned costs. Compliance with the requirements of laws, regulations, contracts and grants applicable to each of its major federal programs is the responsibility of the City's management. Our responsibility is to express an opinion on the City's compliance based on our audit. We conducted our audit of compliance in accordance with auditing standards generally accepted in the United States of America; the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States; and OMB Circular A-133, Audits of States, Local Governments, and Non -Profit Organizations. Those standards and OMB Circular A-133 require that we plan and perform the audit to obtain reasonable assurance about whether noncompliance with the types of compliance requirements referred to above that could have a direct and material effect on a major federal program occurred. An audit includes examining, on a test basis, evidence about the City's compliance with those requirements and performing such other procedures as we considered necessary in the circumstances. We believe that our audit provides a reasonable basis for our opinion. Our audit does not provide a legal determination on the City's compliance with those requirements. In our opinion, the City complied, in all material respects, with the requirements referred to above that are applicable to each of its major federal programs for the year ended June 30, 2008. I-lowever, the results of our auditing procedures disclosed an instance of noncompliance with those requirements, which is required to be reported in accordance with OMB Circular A-133 and which is described in the accompanying Schedule of Findings and Questioned Costs as item 08-07. We also noted an immaterial instance of noncompliance that has been reported in a separate letter dated March 31, 2009. Internal Control Over Compliance The management of the City is responsible for establishing and maintaining effective internal control over compliance with the requirements of laws, regulations. contracts, and grants applicable to federal programs. In planning and performing our audit, we considered the City's internal control over compliance with the requirements that could have a direct and material 3 INS Honorable Members of the City Council City of National City, California Page Iwo effect on a major federal program in order to determine our auditing procedures for the purpose of expressing our opinion on compliance, but not for the purpose of expressing an opinion on the effectiveness of internal control over compliance. Accordingly, we do not express an Opinion on the effectiveness of the City's internal control over compliance. A control deficiency in an entity's internal control over compliance exists when the design or operation of a control does not allow management or employees, in the normal course of performing their assigned functions, to prevent or detect noncompliance with a type of compliance requirement of a federal program on a timely basis. A significant deficiency is a control deficiency, or combination of control deficiencies, that adversely affects the entity's ability to administer a federal program such that there is more than a remote likelihood that noncompliance with a type of compliance requirement of a federal program that is more than inconsequential will not be prevented or detected by the entity's internal control. A material weakness is a significant deficiency, or combination of significant deficiencies, that results in more than a remote likelihood that material noncompliance with a type of compliance requirement of a federal program will not be prevented or detected by the entity's internal control. Our consideration of internal control over compliance was for the limited purpose described in the first paragraph of this section and would not necessarily identify all deficiencies in internal control that might he significant deficiencies or material weaknesses. We did not identify any deficiencies in internal control over compliance that we consider to he material weaknesses, as defined above. Schedule of Expenditures of Federal Awards We have audited the financial statements of the City of National City as of and for the year ended June 30, 2008, and have issued our report thereon dated March 31, 2009. Our audit was performed for the purpose of forming an opinion on the basic financial statements taken as a whole. The accompanying Schedule of Expenditures of Federal Awards is presented for purposes of additional analysis as required by O v1B Circular A-133 and is not a required part of the basic financial statements. Such information has been subjected to the auditing procedures applied in the audit of the financial statements and, in our opinion, is fairly stated, in all material respects, in relation to the financial statements taken as a whole. '1'l:is report is intended for the information of the City's management, federal awarding agencies and pass -through entities and is not intended to he and should not he used by anyone other than those specified parties. Irvine. Califi)rnia March 31. 2009 4 CAT Y Oi VATION.11 CITY Schedu:e of Expend1ttucs of Feeicra! Awards fear erdcd June 30. 2008 Federal Federal Federal Grantor/ Program itomcst;c rmancial Amour! Pass -through (irantotr Identification Assistance Assistance Provided to Progr,tmar!e t urnhc'. Nunaxr LINLenditures Subteapicnts U S Department of } ealth and Human Service's Passed through the County of San Diepo Special Programs for the Aging, lltle 111. Part C 38863u 93 045 b 271.213 "' 11 S Department of HcusinC and Urban Development Direct assistance Community Development Block Grant - Entitlement Program IB01 14 218 1,120.497 IIOMIl Investment Partnerships Program MO1 °4 239 3,527 Section 8 Housing Choice Vouchers C.A116V0 14 871 8.120,977 Section 8 Housing Choice Vouchers - Mot gan Towers" CA600060i ! 14.871 600,631 ° Supportive Housing for the 12detl} - Morgan towers CA6000601 1 14 157 2,853,463 ` 1.eadItaunt Control Grant. CALHBU238-03 !4.900 9,i91 Healthy Hones Demonstration Grants CAI.HH0145-OS 14.901 205,153 Total 1;.S Department of Housing and Urban Development tl S. Department of Justice Direct assistance Edward Byrne Justice Assistance Grant Program various 16.738 li.S Department of Ttan.sportatiuc Direct assistance Click It or Ticket - State and Criminality Highway Safety C'I09279 26 600 O'PS Dill P.nforcemetn - State and Community Highway Safety A1.0817 20 600 65.297 11.336 178,741 12,913 439 255,374 51 003 7,000 139.673 'Total U.S Department of I Tansportat ion 146.673 oteratim_for National and Community Service Passed through the California Service Corps. Amer:Corps 0:!ACHY 12-C65 9.1 006 894.497 U,S, 13el:artment of Flnmeland Scarify Direct assistance Urban Areas Security Initiative n/a 97 008 32.505 Assistance to Fuefightcts Grant Progr:un n/a 97.044 25,356 Homeland Security Grant Program n/a 97 067 20.844 Law Enforcement "Terrorism Prevention Progtan: n/a 97 074 21,305 'total U.S Department of Homeland Security institute of Museum & 1.ibrar)- Services Direct assistance: Libranc Services and I'echnoioey Act 11.STA' Grants Toth! Federal Financial Assistance Expenditures 4(1-5' (9r4t)-(c:'i3 45.310 100,010 61.155 1.532 $ 14.440,9 90 256 906 • mu - Not Avaaable * - Major Program 'r - See Note 1(d) in the Notes to the Schedule of 1•cdcral Awards for I1UD required information (1) - During the County's review of the Single Audit Repoli for the fiscal year ended June 3b, 2006. it nas noted that Icdcral fund; tee iced and expended in fiscal year 05/06 through County Contract No 45813 were inaccurately reported on the Schedule of Expenditures of Federal Awards as 8147.713 instead of $ 310.567 Asa result, the amounts repotted for fiscal year 07/08 hase been adlusled to retlect this ecetstatement of expenditures it pr penis the accompanying notes are an integral part of This schedule 5 CITY OF NATIONAL ('frY Notes to the Schedule of Expenditures of Federal Awards Year ended .tune 30, 2008 (1) Summary of Sigpifilcant Accounting Policies Applicable to the Schedule of Expenditures of Federal Awards (a) Scojie of Presentation The accompanying schedule presents only the expenditures incurred (and related awards received) by the City of National City, California (the City) which are reimbursable under federal programs of federal financial assistance. For purposes of this schedule, federal awards include both federal financial assistance received directly from a federal agency, as well as federal funds received indirectly by the City from non-federal organizations. Only the portion of program expenditures reimbursable with such federal funds are reported in the accompanying schedule. Program expenditures In excess of the maximum federal reimbursement authorized and the portion of program expenditures that were funded with state, local or other non-federal funds are excluded from the accompanying schedule. (h) Basis of Accounting 'fhe expenditures included in the accompanying schedule were reported on the modified accnial basis of accounting. Under the modified accrual basis of accounting, expenditures are recognized when the City becomes obligated for payment as a result of the receipt of the related goods and services. Expenditures reported include any property or equipment acquisitions incurred under the Federal program. (c) Subrecipients During the fiscal year ended June 30, 2008, the City disbursed %256.906 to suhrecipients to he used t'or the federally allowable expenditures in accordance with the grant agreements. 6 /47 CITY OF NATIONAL, CITY Schedule of Findings and Questioned Costs Year ended June 30. 2008 (A) Summary of Auditors' Results 1. An unqualified report was issued by the auditors on the financial statements of the auditee. 7 There were six significant deficiencies in internal control over financial reporting that we described asitems08-01, 08-02, 08-03, 08-04, 08-05 and 08-06 below. We consider item 08-01 to be a material weakness. 3. The audit disclosed no instances of noncompliance that were material to the financial statements of the auditee. 4. There were no material weaknesses in internal control over the major programs of the auditee. 5. An unqualified report was issued by the auditors on compliance for major programs. 6. The results of our auditing procedures disclosed an instance of noncompliance, which is required to he reported in accordance with OM13 Circular A-133 and which is described as item 08-07 below. 7. The major programs of the auditee were as follows: • U.S. Department of Housing and Urban Development Section 8 Housing Choice Vouchers Program CFDA 414.871 • U.S. Department of Housing and Urban Development Supportive Housing for the Elderly CFDA #14.157 8. The dollar threshold used to distinguish Type A and Type 13 programs was $3 3,230. 9. The auditee was not considered to be a low risk auditee for the Year ended June 30, 2008 for the purposes of determining major programs. (B) Findings Related to the Financial Statements which are Required to he Reported in Accordance with GAGAS (08-01) Inadequate Internal Controls over Cash and Investments During our review of internal controls over cash and investments, we noted that the cash and investment portfolios for the Community Development Commission (CDC') (including cash and investments held by their respective fiscal agent) had not been reconciled to the general ledger on a monthly basis. Sound internal controls dictate that the individual in charge of reconciling the cash and investment portfolio to the general ledger ensure that all cash and investment activities (i.e., purchases, sales, transfers, interest earnings) have been accurately and timely recorded in the general ledger. This procedure should he done soon after month end in order to efficiently detect and resolve any discrepancies or unauthorized transactions that might occur. CITY OF NATIONAI, CITY Schedule of Findings and Questioned Costs (Continued) (13) Findings Related to the Financial Statements which are. RecLred to he Reported in Accordance with GAGAS. [Continued) (08-01) inadequate Internal Controls over Cash and Investments. (Continued) Recommendation We recommend that the CDC' reconcile and record all cash and investment activity to the general ledger on a regular monthly basis. We further recommend that the (.'ity and CDC consider the use of a third party custodian in performing investment transactions for all investments held. The involvement of a third party custodian (separate and distinct from the institution that executes the investment purchase on the City and CI)C's behalf) enhances the internal controls over investments by decreasing the risk of fraud by the counter party, the party that makes the investment purchase. o8-02) Inadequate Records on I-Iousin<e Project Capital Assets The Morgan and Kimball Towers' housing projects of the Community Development Commission of the City of National City have not maintained adequate detailed records relating to their capital assets. It was further noted that Morgan and Kimball "Powers did not have a routine physical inventory count on its capital assets and there was no infbrmation provided by management to identify the amount of capital assets that have been replaced or disposed of during the fiscal year. The Morgan and Kimball Towers should maintain detailed records that reconcile to the total ending capital assets and related accumulated depreciation recorded in the general ledger in order to ensure such assets exist and that depreciation is correctly calculated. Recommendation We recommend that management review purchases during the year and properly capitalize additions. In addition, a physical inventory should take place at least once every two years to ensure that capital assets that have been replaced or are no longer in service and have been properly removed from the accounting records. The inventory listing should be reconciled to the total ending capital assets and related accumulated depreciation recorded in the general ledger. (08-03) Controls over Misstatements Reflected in the Financial Statements An important element of internal control is that management's review of the financial statements he highly effective to detect misstatements reflected in the year end financial statements. While this review currently contributes to the objectives of the financial reporting process, this review does not rise to the level necessary to detect misstatements associated with some of the more complex and technical elements reflected in the financial statements. 8 vigo lqr CITY OF NATIONAL CITY Schedule of Findings and Questioned Costs (Continued) (B) Findings Related to the Financial Statements which are Required to be Reported in Accordance with GAGAS. (Continued) (08-03) Controls over Misstatements Reflected in the Financial Statements, (Continued) Currently, the audit firm is relied upon to prevent or detect misstatements in the year end financial statements. Auditing standards require that client systems be effective without reliance upon the audit process. This is because a key role of the auditor is to evaluate the effectiveness of the client's financial reporting control systems. The audit firm cannot be a part of the client's internal control system that is evaluated during the audit process. Paragraph 19 of the Statement on Auditing Standards No. 112 requires that the auditor include in the report of significant control deficiencies any material adjustments detected by the audit process. For the year ended June 30, 2008, material adjustments detected by the audit process were as follows: • Entry to adjust the balance of loans receivable and to correct the fund from being out of balance. • Adjustments to agree opening fund balances to prior year audited financial statements. • Entry to restore cash and to record a liability that related to an expense that was paid after year-end that related to the current fiscal period. • Adjustment to eliminate revenues and expenses that related to the movement of funds from one fund to another. • Entry to adjust the estimate for claims to the actuarial determined amount. Recommendation We recommend that management record material adjustments on an annual basis prior to the start of the audit. (08-04) Deficit Fund Balances During our audit we noted that the following funds had fund deficits at June 30, 2008: Nutrition Program Special Revenue Fund Library Construction Capital Project Fund Recommendation $(1,383,732) (992,217) We recommend that if the funds are not expected to have sufficient future revenues to eliminate the deficit, the City should subsidize these funds from other non -restricted revenue sources. 9 lb CITY OF NATIONAI. CITY Schedule of Findings and Questioned Costs (Continued) (13j Findings Related to the Financial Statements which are Required to be Reported in Accordance with GALAS. (Continued) (OK-O ) Construction in Progress $1,722,955 had been expended during the year on various capital projects that xvere in progress at year end. These capital expenditures met the capitalization thresholds for capitalization. 1 Iowever, these expenditures were not accounted for as current year capital asset additions. Recommendation GASH Statement No. 34 requires that construction in progress he capitalized and included with capital assets in the statement of net assets. Construction in progress should he reported with other assets not being depreciated, such as land and rights of way. Finance staff should inquire with the Engineering Department every year about capital expenditures in progress at year end to ensure that expenditures that meet the capitalization thresholds are capitalized during the year that those expenditures are incurred. (08=06)Controls over Preparation of the Schedule of Expnditures of Federal Awards The ('ity prepared a Schedule of Expenditures of Federal Awards (SEFA) for the fiscal year ended June 30, 2008. It was noted that the SFFA contained the following errors: • $874,316 in federal financial assistance had been reportedly expended for Special Programs for the Aging Title III. However, only $288,539 was actually received in the form of federal financial assistance. The remaining portion was primarily funded with unrestricted funds from the City's General Fund. which should have been excluded from the SFFA. • The CRI - Mass Prophylaxis Program had been reported on the SETA. however, it was discovered that this grant was not federal funded and therefore should not have been included on the SETA. • Uuring the County's review of the Single Audit Report fir the fiscal year ended June 30. 2006, it was noted that federal funds received and expended during fiscal year 05/06 through County Contract No. 45813 were inaccurately reported on the Schedule of Expenditures of Federal Awards as $347,713 instead of $330,567. Recommendation We recommend that City staff be provided with training on how to properly identify in its accounting records federal awards received and expended in order to ensure that the amounts reported on the Schedule of Expenditures of Federal Awards are accurate. 10 4404 CITY OF NATIONAL, IONAL, CITY Schedule of Findings and Questioned Costs (Continued) Findings and Questioned Costs fir Federal Awards ain in Paragraph 10(a) at OMB Circular A-1 i ('08-07) Subrecipient Monitoring FEDERAL, AGENCY: Various CI' DA NO: Various F} DFRA PROGRAM NAME: Various PROGRAM IDENTIFICATION NO.: Various FEDERAL AWARD YEAR: 2008 CON"IROI, CATEGORY: Subrecipient Monitoring QUESTIONED COSTS: $0 Criteria. According to OMB Circular No. A -I 33, Audits of States. Local Governments, and Non -Profit Organizations, Subpart D-Federal Agencies and Pass -Through Entities, §400 Responsibilities. (d) Pass -through entity responsibilities are: • Monitor the activities of subrecipients as necessary to ensure that federal awards are used for authorized purposes in compliance with laws, regulations, and the provisions of contracts or grant agreements and that performance goals are achieved. • Insure that subrecipients expending S500,000 or more in federal awards during the subrecipients' fiscal year have met the audit requirements of this part for that fiscal year. • Issue a management decision on audit findings within six months after receipt of the subrecipicnt's audit report and ensure that the subrecipient takes appropriate and timely correction action. Condition: The City distributed S256,906 to various program subrecipients during the fiscal year. It was noted that the City completed a risk assessment of the contracted agencies and is in the process of coordinating onsite monitoring with an outside consultant. However. actual onsite subreeipient monitoring did not take place during the fiscal year. Recommendation: \Ve recommend that the City perform subrecipient monitoring to ensure that its subrecipients use federal funds in compliance with applicable laws and regulations and provisions of contracts or grants. 11 I6Z- CITY OF NATIONAI . CITY Summary Schedule of Prior Audit Findings s Year ended June 30, 2008 The following is the status of the audit fiindimlis tc)r the year ended June 30. 2007: (07-01) Inadequate Internal Controls over Cash and Investments Finding was not resolved and therefore has been repeated as a current year finding. (07_02) Internal Control over Journal Entries Resolved. (07-03) Inadeq ate Records on } lousing Prgj ct Capital Assets Finding was not resolved and therefore has been repeated as a current year finding. 0-04) Controls over Misstatements Reflected in the Financial Statements Finding was not resolved and therefore has been repeated as a current year finding. (07-05) Adjustments Posted During the Audit Resolved. (7-06) Deficit Fund Balances Finding was not resolved and therefore has been repeated as a current year finding. (07-07 _Investment Compliance Resolved. (07-08) Suhrecipient Monitoring Finding was not resolved and therefore has been repeated as a current year finding. 12 153 COMMUNITY DEVELOPMENT COMMISSION AGENDA STATEMENT National City, California 1EETING DATE: April 21, 2009 `.. AGENDA ITEM NO. 32 ITEM TITLE: Authorize the reimbursement of Community Development Commission expenditures in the amount of $29,727.97 to the City of National City for the period of 03/11/09 through 03/17/09 PREPARED BY: Jeanette Ladr' • o, y DEPARTMENT Finance Finance Dire EXPLANATION: (619) 336-4331 Effective July 1, 2008, the Community Development Commission's fiscal operations have been merged with the City of National City. In order to streamline the payment process, the City of National City pays for all ex- penditures for the CDC. Attached is a detailed listing of all CDC warrants paid for with the City General Funds. Staff requests ap- proval of the reimbursement of CDC activity. Environmental Review N/A Financial Statement Approve the reimbursement of funds to the City of National City in the amount of $29,727.97 J STAFF RECOMMENDATION Accept and File. BOARD/COMMISSION RECOMMENDATION N/A I riliriT Warrants for the period the period of 03/11/09 through 03/17/09 ACHMENTS (Listed Below) +)".* CALIFORNIA *-�+ PAYEE BEST BEST & KRIEGER LLP CHULA VISTA BLUEPRINT CO DANKA EDCO DISPOSAL CORPORATION EQUIFAX INFORMATION SVCS FARALLON DESIGN INC FEDEX KINKO'S HORIZON HEALTH EAP LAW OFFICES OF DON DETISCH OPPER & VARCO PRUDENTIAL OVERALL SUPPLY SAN DIEGO CLIPPING SERVICE SDG&E XEROX CORPORATION YBARRA NATIONAL Orr INCORPORATED COMMUNITY DEVELOPMENT COMMISSION WARRANT REGISTER # 38 3/17/2009 DESCRIPTION CYAC LITIGATION PHOTO & BLUEPRINTING RENTALS & LEASES WASTE DISPOSAL CREDIT BACKGROUND CHECK FOR S8 THE CHILDRENS RAINFOREST REPROGRAPHIC SERVICES EMPLOYEE ASST PROGRAM - CDC MISCELLANEOUS MATTERS HARBOR DISTRICT/ACE METALS MOP 45742 STREET UNIFORMS CLIPPING SERVICES 912 HIGHLAND AVE 12/17/08-01/19/09 LEASE FOR FEB 2009 SUBSISTANCE - HUD TRAINING CHK NO DATE AMOUNT 225800 3/17/09 8,774.52 225801 3/17/09 20.36 225802 3/17/09 447.36 225803 3/17/09 104.75 225804 3/17/09 60.42 225805 3/17/09 16,595.00 225806 3/17/09 1,688.66 225807 3/17/09 114.56 225808 3/17/09 661.00 225809 3/17/09 310.00 225810 3/17/09 13.34 225811 3/17/09 52.20 225812 3/17/09 19.19 225813 3/17/09 439.19 225814 3/17/09 427.42 A/P Total $ 29,727,97 +�- CALIFORNIA 4—(1- NATIONAL CITY aaaQ INCOAPOAATED COMMUNITY DEVELOPMENT COMMISSION Warrant Register # 38 3/17/2009 502 SECTION 8 FUND 499.61 505 HOME FUND 427.42 506 HOME LOAN PROGRAM FUND - 511 TAX INCREMENT FUND 28,780.58 522 LOW/MODERATE HOUSING FUND 20.36 29,727.97 COMMUNITY DEVELOPMENT COMMISSION AGENDA STATEMENT National City, California `MEETING DATE: April 21, 2009 AGENDA ITEM NO. 33 ITEM TITLE: Authorize the reimbursement of Community Development Commission expenditures in the amount of $940,007.70 to the City o National City for the period of 03/18/09 through 03/24/09 PREPARED BY: Jeanette Ladrido, � DEPARTMENT Finance Finance Director EXPLANATION: (619) 336-4331 Effective July 1, 2008, the Community Development Commission's fiscal operations have been merged with the City of National City. In order to streamline the payment process, the City of National City pays for all ex- penditures for the CDC. Attached is a detailed listing of all CDC warrants paid for with the City General Funds. Staff requests ap- proval of the reimbursement of CDC activity. Environmental Review N/A Financial Statement Approve the reimbursement of funds to the City of National City in the amount of $940,007.70 STAFF RECOMMENDATION Accept and File. BOARD/COMMISSION RECOMMENDATION N/A TACHMENTS (Listed Below) Warrants for the period the period of 03/18/09 through 03/24/09 • +}- CALIFORNIA Nikinto, INCORPORATED Noir COMMUNITY DEVELOPMENT COMMISSION WARRANT REGISTER # 39 3/24/2009 PAYEE CORPORATE EXPRESS HUSK PARTNERS ICF JONES & STOKES KLEINFELDER, INC. KLEINFELDER, INC. LASER SAVER INC MA STEVENS CONSTRUCTION PE PRUDENTIAL OVERALL SUPPLY RICK ENGINEERING CO STRATACOM SECTION 8 SECTION 8 HAPS PAYMENTS SECTION 8 HAPS PAYMENTS -OTION 8 HAPS PAYMENTS , TION 8 HAPS PAYMENTS PAYROLL Pay period Start Date 6 2/24/2009 DESCRIPTION MOP 45704 OFICE SUPPLIES - REDEV CONSULTING SERVICES MARCH 2009 WESTSIDE SPECIFIC PLAN BILLING THRU MARCH 1ST 2009 COMPACTION TEST/NUCLEAR MOP 45725 COLOR CARTRIDGES CDC N C LIBRARY REMODEL REIMB - CERTIFICATION MOP 45742 UNIFORMS - NEIGH SVCS BAY MARINA WIDENING/MARINA GATEWAY MOP 63845 BUSINESS CARDS - CD Start Date 3/1/2009 3/4/2009 3/11/2009 3/18/2009 End Date 3/3/2009 3/10/2009 3/17/2009 3/24/2009 End Date Check Date 3/9/2009 3/18/2009 CHK NO DATE AMOUNT 226042 3/24/09 45.70 226043 3/24/09 7,500.00 226044 3/24/09 18,717.81 226045 3/24/09 310.00 226046 3/24/09 1,934.00 226047 3/24/09 62.50 226048 3/24/09 100,953.86 226049 3/24/09 475.00 226050 3/24/09 30.68 226051 3/24/09 13,688.37 226052 3/24/09 34.80 A/P Total $ 143,752.72 Section 8 Total 690,373.17 9,186.86 11,129.23 2,092.46 712,781.72 83,473.26 GRAND TOTAL $ 940,007.70 40—, CALIFORNIA —* NATIONAL CITV INCORPORATED COMMUNITY DEVELOPMENT COMMISSION Warrant Register # 39 3/24/2009 502 SECTION 8 FUND 733,421.00 505 HOME FUND 559.26 506 HOME LOAN PROGRAM FUND - 511 TAX INCREMENT FUND 204,565.52 522 LOW/MODERATE HOUSING FUND 1,461.92 940,007.70 COMMUNITY DEVELOPMENT COMMISSION AGENDA STATEMENT National City, California FETING DATE: April 21, 2009 AGENDA ITEM NO. 34 `... ITEM TITLE: Authorize the reimbursement of Community Development Commission expenditures in the amount of $3,983.09 to the City of National City for the period of 03/25/09 through 03/31/09 PREPARED BY: Jeanette Ladrid DEPARTMENT Finance Finance Directo , (619) 336-4331 EXPLANATION: Effective July 1, 2008, the Community Development Commission's fiscal operations have been merged with the City of National City. In order to streamline the payment process, the City of National City pays for all ex- penditures for the CDC. Attached is a detailed listing of all CDC warrants paid for with the City General Funds. Staff requests ap- proval of the reimbursement of CDC activity. J r Environmental Review N/A Financial Statement Approve the reimbursement of funds to the City of National City in the amount of $3,983.09 STAFF RECOMMENDATION Accept and File. BOARD/COMMISSION RECOMMENDATION N/A ♦ J [IfTACHMENTS (Listed Below) Warrants for the period the period of 03/25/09 through 03/31/09 o CALIF.OR$IA PAYEE A COPY WORLD LASER SAVER PATRICIA L SANTOS DBA SAN DIEGO DAILY TRANSCRIPT SAN DIEGO NEIGHBORHOOD NEWS SECTION 8 SECTION 8 HAPS PAYMENTS Nitinomura env INCORPORATED COMMUNITY DEVELOPMENT COMMISSION WARRANT REGISTER # 40 3/31/2009 DESCRIPTION PLANS FOR KIMIBALL HOUSE MOP #45725 PRINTER CARTRIDGES COMMUNITY BENEFIT LOAN REIMB ADVERTISE KIMBALL HOUSE ADVERTISE KIMBALL HOUSE Start Date End Date 3/1/2009 3/3/2009 CHK NO DATE 226054 3/31/09 226096 3/31/09 226148 3/31/09 226149 3/31/09 226150 3/31/09 AMOUNT 46.55 39.04 124.19 533.20 691.88 A/P Total $ I,434.86 2,548.23 GRAND TOTAL S 3,983.09 )'* CALIFORNIA NNTIO T .L CITY I1VCORPORATED COMMUNITY DEVELOPMENT COMMISSION Warrant Register # 40 3/31/2009 502 SECTION 8 FUND 505 HOME FUND 506 HOME LOAN PROGRAM FUND 511 TAX INCREMENT FUND 522 LOW/MODERATE HOUSING FUND 2,587.27 1,395.82 3,983.09 City of National City, California COMMUNITY DEVELOPMENT COMMISSION AGENDA STATEMENT MEETING DATE April 21. 2009 AGENDA ITEM NO. 35 /ITEM TITLE A resolution approving a Disposition and Development Agreement with San Diego Habitat for Humanity Incorporated for an affordable housing project to be located at 1441 Harding Avenue. PREPARED BY Alfredo Ybarra (ext 4279) Community Development Manager DEPARTMENT Community Develop ��; Housing and Grants i sz EXPLANATION The Community Development Commission ("CDC") acquired the 8,712 square feet parcel at 1441 Harding Avenue using $400,000 in HOME funds from the United States Department of Housing and Urban Development ("HUD") for the purpose of developing an affordable housing project on the site. HUD requires that a certified Community Housing Development Organization ("CHDO") be selected as the developer. Since the 2003 CDC acquisition, a competitive recruitment for such a qualified CHDO was conducted and San Diego Habitat for Humanity was selected for the project. This Agreement would allow transfer of the land to Habitat for Humanity for the price of $1 for the development of three (3) single family units consisting of two- two (2) story units and one -one (1) story unit. Each unit will be sold as affordable to buyers earning at or below 60-percent Average Median Income ("AMI") as defined by HUD and to be restricted in price to remain affordable to those earning at or below 60-percent of AMI for a period of 45 years. An additional subsidy of $272,119 would also be provided to cchieve the desired affordability levels from HOME program income funds. ( Environmental Review A Statement of Exemption pursuant to CEQA Section 15192 for Affordable Housing was prepared. In accordance with NEPA, an Environmental Assessment and Finding of No Significant Impact (FONSI) were prepared. Financial Statement The property located at 1441 Harding Avenue was acquired by the CDC for $400,000 using HUD HOME funds. The sale of the property to San Diego Habitat for Humanity will be for $1. An additional $272,119 will be provided from HOME ;L•grm income) funds approved by Council on December 2. 2008. Account No. 506-445-470-650-9023 STAFF RECOMMENDATION Adopt the resolution. BOARD / COMMISSION RECOMMENDATION The Planning Commission unanimously approved the project at its meeting of December 1, 2008. ATTACHMENTS Proposed DDA Resolution No. RESOLUTION NO. 2009 — RESOLUTION OF THE COMMUNITY DEVELOPMENT COMMISSION OF THE CITY OF NATIONAL CITY AUTHORIZING THE CHAIRMAN TO EXECUTE A DISPOSITION AND DEVELOPMENT AGREEMENT WITH SAN DIEGO HABITAT FOR HUMANITY TO DEVELOP AN AFFORDABLE HOUSING PROJECT AT 1441 HARDING AVENUE WHEREAS, the Community Development Commission of the City of National City (CDC) is implementing the Redevelopment Plan for the National City Redevelopment Project; and WHEREAS, the CDC acquired the property located at 1441 Harding Avenue using $400,000 in federal HOME funds to develop an affordable housing project; and WHEREAS, San Diego Habitat for Humanity is a certified Community Housing Development Organization qualified to develop an affordable housing project utilizing federal HOME funds, and was selected on October 17, 2006, by the CDC to develop said property; and WHEREAS, on December 19, 2006, the CDC entered into an Exclusive Negotiations Agreement (ENA) with Habitat for Humanity to prepare plans for the development of affordable housing on the site; and WHEREAS, the CDC desires to partner with San Diego Habitat for Humanity by transferring title to the property at the price of one dollar ($1.00); and WHEREAS, the CDC further desires to assist San Diego Habitat for Humanity to develop three for -sale single-family units affordable to families earning 60-percent of the Area Median Income as defined by the U.S. Department of Housing and Urban Development by clearing the property of existing structures, providing $272,119 in HOME program income funds; and WHEREAS, San Diego Habitat for Humanity has worked diligently to process land use entitlements and permits for the project; and WHEREAS, on December 1, 2008, the National City Planning Commission recommended approval of the Project. NOW, THEREFORE, BE IT RESOLVED that the Community Development Commission of the City of National City hereby authorizes the Chairman to execute a Disposition and Development Agreement with San Diego Habitat for Humanity to develop an affordable housing project at 1441 Harding Avenue, National City, California. Said Agreement is on file in the office of the City Clerk. --- Signature Page to Follow --- Resolution No. 2009 — April 21, 2009 Page 2 PASSED and ADOPTED this 21st day of April, 2009. Ron Morrison, Chairman ATTEST: Brad Raulston, Secretary APPROVED AS TO FORM: George H. Eiser, III City Attorney ATTACHMENT 1 DISPOSITION AND DEVELOPMENT AGREEMEN"I' By and Between the ('OMMUNITY DEVELOPMENT COMMISSION OF 'THE CITTY OF NATIONAL CITY and SAN DIEGO IIABITAT FOR IIUMANITY, INC. (1441 Harding Avenue) 'trove hr. )ocuments and Settings\kareny HFHSD11_ocal Settings\Temporary Internet ;\OLK I9FUDDA v2.doc TABLE OF ('()INTENTS Pau '4100 100. DEFINITIONS 6 200. CONVEYANCE OF THE SIFF 13 201. Purchase Price Error! Bookmark not defined. 202 Developer's Promissory Note 13 202.1 Principal and Interest 13 202.2 Repayment of the Developer Note 13 202.3 Default 18 203. Escrow 14 203.1 Costs of Escrow 14 203.2 Escrow Instructions 14 203.3 Authority of Escrow Agent 15 203.4 Closing 16 203.5 Termination 16 203.6 Closing Procedure 16 204. Review of Title 21 205. Title Insurance 17 205.1 Developer Title Policy 17 205.2 CDC Title Policy 18 206. Conditions of Closing 22 206.1 CI)C's Conditions of Closing, 22 206:2 Developer's Conditions of Closing 19 207. Representations and Warranties. 24 207.1 CDC Representations 24 207.2 Developer's Representations 21 208. Studies and Rcports 22 209. Condition of the Site 22 209.1 Disclosure 22 209.2 No Further Warranties As To Site 22 209.3 Developer Precautions After Closing 22 209.4 Required Disclosures After Closing 22 209.5 Developer Indemnity 23 300. DEVELOPMENT OF THE SITE 23 301. Scope of Development 23 302. Design Review. 23 302.1 Concept Drawings 23 302.2 CDC Review and Approval 23 302.3 Standards for Disapproval 24 302.4 Revisions 24 302.5 Defects in Plans 24 303. Land Use Approvals 24 304. Schedule ofPerformance 25 305. Cost of Construction 25 306. Insurance Requirements 25 vuolf 2 Documents and Settings\kareny IfFliSD1Local Senings\Temporary Internet :s\OLK191ADDA v2 doc liper 307. Developer's Indemnity 26 308. Rights of Access 76 309. Compliance With Laws 26 309.1 Nondiscrimination in Employment 27 309.2 Taxes and Assessments 27 309.3 Liens and Stop Notices 27 310. Completion of the Project 28 31 1 . Release of Construction Covenants 28 312. Financing of the Improvements. ")8 312.1 No Encumbrances Except Mortgages or Ueeds of "trust 28 312.2 Right of CDC to Cure Mortgage or Deed of Trust Default 29 400. COVENANTS AND RES"IRICTIONS 29 401. Use in Accordance with Redevelopment Plan 29 402. Buyer Assistance 29 403. Affordable Units 30 403.1 Developer Covenants Concerning Affordable Units 30 403.2 "Timing 30 403.3 Execution and Recordation of the Declaration 30 403.4 45-Year Affordability 30 403.5 No Sales to Related Parties .31 403.6 CDC Consent to Sales 31 404. Maintenance Covenants 31 405. Obligation to Refrain from Discrimination 31 406. Nondiscrimination Covenants 31 407. Effect of Violation of the Terms and Provisions of this Agreement After Completion of Construction 32 500. DEFAULTS ANI) REMEDIES 32 501. Default Generally 32 502. Institution of Legal Actions 33 503. Termination by Developer 33 504. Termination by CDC 33 505. Reentry and Revesting of Title in CDC After the Closing and Prior to Completion of Construction 33 505.1 Right of Reentry 34 505.2 Limitations on Right of Reentry 34 505.3 Right of Reentry Referenced in Grant Deed 34 505.4 Resale by CDC After Revesting 34 505.5 Application of Resale Proceeds 34 506. Acceptance of Service of Process 35 507. Rights and Remedies are Cumulative 35 508. Inaction Not a Waiver of Default 36 600. GENERAL PROVISIONS 36 601. Notices, Demands and Communications Between the Parties 36 602. Enforced Delay; Extension of Times of Performance 36 603. "transfers of Interest in Site or Agreement 37 C:ADocumcnts and Setunps\karenv HF11S!)\I °cal Semngs1Ternporary Internet Files\OLK 19F11)r)A v1 doc 603.1 Prohibition 37 603.2 Permitted Transfers 37 603.3 Successors and Assigns 38 603.4 Assignment by CI)C 38 604. Non -liability of Officials and Employees of CDC and Developer 38 605. Relationship Between CDC and Developer 38 606. CDC Approvals and Actions 38 607. Counterparts 38 608. Integration 38 609. No Real 1;state 11rokerage (:1)C� 39 610. Attorneys' Fees 39 611. Titles and Captions 39 612. Interpretation 39 613. No Waiver 39 614. Modifications 39 615. Severability 39 616. Computation of Time 39 617. Legal Advice 40 618. Time of Essence 40 619. Cooperation 40 620. Conflicts of Interest 40 621. Exhibits Attachments and Recitals Incorporated 40 622. Applicable I.aw 40 623. Authority to Sign 41 Attachment No. 1 Attachment No. 2 Attachment No. 3 Attachment No. 4 Attachment No. 5 Attachment No. 6 Attachment No. 7 Attachment No. 8 Attachment No. 9 Attaclunent No. 10 Attachment No. 11 Attachment No. 12 Attachment No. 13 AT"1 ACI IMENTS Developer Note Developer Deed of "Trust Grant Deed Release of Construction Covenants Schedule of Performance Scope of Development Site Plan Site Legal Description Proforma Resale Restriction Agreement Affecting Real Property Environmental Indemnity Notice of Affordability Restrictions 4 >ocuments and Settings\kareny HFHSD\Local Settings\Temporary Internet s\OLK 19F\DDA v2 dog DISPOSITION AND DEVELOPMENT AGREEMENT (1441 Harding Avenue) THIS DISPOSITION AND DEVELOPMENT AGREEMENT ("Agreement") is entered into this _21 day of April, 2009 by and between the Community Development Commission of the City of National City, a public body, corporate and politic ("CDC"), and San Diego Habitat for Humanity, Inc., a California nonprofit corporation ("Developer"). RECITALS A. In furtherance of the objectives of the California Community Redevelopment Law, CDC and Developer desire to redevelop a certain approximately 8,625 square foot parcel located in the National City Redevelopment Project (the "Project") at 1441 Harding Avenue in the City of National City, County of San Diego, California (the "Site"), which is more particularly described on the Site Legal Description, as defined below. The CDC currently owns the Site. The Site is unimproved. B. CDC and Developer desire by this Agreement for CDC to agree to sell the Site to Developer and for Developer to agree to construct on the Site three (3) for -sale, single family homes (the "Affordable Units"), as set forth on the Site Plan attached hereto as Attachment No. 7, together with certain off -site improvements (collectively, the "Improvements"). C. The CDC purchased the Site with HUD HOME funds. Such funds are to be used solely for the construction, use and occupancy of affordable housing in accordance with 24 Code of Federal Regulations Part 92. Developer and the CDC agree to take any and all steps necessary to ensure compliance with the HUD HOME program, including without limitation compliance with 24 Code of Federal Regulations Part 92. The CDC agrees to sell the Site to Developer for the sum of One and No/100 Dollars ($1.00) (the "Purchase Price") and to provide gap funding to assist in development of the Affordable Units, as defined below, in the original amount of up to Two Hundred Seventy -Two Thousand One Hundred Nineteen and No/100 Dollars ($272,119.00) (the "Developer Note"). D. Upon the timely completion of the Affordable Units in accordance with this Agreement, the Developer Note will be partially forgiven and the remaining balance will convert to first-time homebuyer loans to Low -Income Households to assist those Low -Income Households with the purchase of Affordable Units, as provided in more detail herein. A portion of the Developer Note will be assumed by each eligible low income purchaser of an Affordable Unit, concurrently with the purchase of an Affordable Unit. At such time the purchaser of the Affordable Unit shall execute a promissory note in favor of the CDC (the "First -Time Homebuyer Note"), in an amount to be determined as set forth in this Agreement. The Affordable Units shall also be subject to a Resale Restriction in the form set forth herein as Attachment 10, secured by a deed of trust. The First -Time Homebuyer Notes shall not require monthly payments and will be due and owing only upon sale, transfer, further encumbrance, refinancing, the failure of the Low -Income Households to occupy the Affordable Unit, or other 5 C:\Documents and Settings\AlfredoY\Local Settings\remporary Internet Files\OLK8B\DDA v2 (2).doc transfer. as defined in the First -`lime Llomebuyer Note and Resale Restrictions. The initial sale price of the Affordable Units shall not exceed the Maximum Purchase Price, as defined below. I . CDC's sale of the Site to Developer and Developer's purchase of the Site and construction of the Improvements on the Site pursuant to the terms of this Agreement, are in the vital and best interest of the City and the health, safety, morals and welfare of its residents, and in accord with the public purposes and provisions of applicable state and local laws and requirements under which the redevelopment of the Project has been undertaken. I. 1 he qualifications and identity of Developer, and its principals, are of- particular concern to the community and CDC. Developer further recognizes that it is because of such qualifications and identity that CDC is entering into the Agreement with Developer. No voluntary or involuntary successor in interest of Developer shall acquire any rights or powers under this Agreement except as expressly set forth herein. NOW, THEREFORE., for good and valuable consideration, the receipt of which is hereby acknowledged, CDC and Developer hereby agree as follows: 100. Definitions. "Affordable Units" shall mean the three (3) for -sale, single family homes, whose sale and occupancy are restricted as specified in this Agreement and the Resale Restriction. Developer shall ensure that each of the Affordable Units meets all of the requirements set forth in Code of Federal Regulations §92.254(a). Each of the Affordable Units shall initially he sold only to a First -Time Homebuyer that is a Low -Income. Household for an amount less than or equal to the then applicable Maximum Purchase Price. "Agreement" means this Disposition and Development Agreement between CDC and Developer. "Agreement Affecting Real Property" shall mean the Agreement Affecting Real Property to be recorded against the Site upon Closing, substantially in the form attached to this Agreement as Attachment No. 11. "Area Median Income" shall mean the arca median income defined by the Department of housing and Urban Development (MUD) as the then current area median income for the San Diego Standard Metropolitan Statistical Area, established periodically by IUUD and published in the Federal Register, as adjusted for family size. In the event HUD ceases to publish an established area median income as aforesaid, CDC may, in its sole discretion, use any other reasonably comparable method of computing area median income. "CDC" means the Community Development Commission of the City of National City, CDC, a public body, corporate and politic, exercising governmental functions and powers and organized and existing under Chapter 2 of the Community Redevelopment L,aw of the State of California, and any assignee of or successor to its rights, powers and responsibilities. 6 Documents and Settings\karcnv HFI-ISD1Loerl Setens\Temporal y Internet s\OLK I9F\DDA v2 doc Nor "CDC's Conditions Precedent" means the conditions precedent to the Closing to the benefit of CD(.', as set forth in Section 207.1 hereof. "CDC Title Policy" is defined in Section 206.2 hereof. "City" means the City of National City. a California municipal corporation. "('losing" means the close of Escrow for the conveyance of the Site from CDC to Developer, as set forth in Section 204.4 hereof. "Closing Date" means the date of the Closing as set forth in Section 204.4 hereof. "Concept Drawings" means the plans and drawings to be submitted and approved by CI)C, as set forth in Section 302.1 hereof. "Conditions of "Title" is defined in Section 205 hereof. "Construction Deed of Trust" means any deed of trust recorded against the Site for purposes of obtaining construction financing for the Site. "Construction Drawings" means the plans and drawings to be submitted and approved by CDC, as set forth in Section 302.3 hereof. • "Construction Lender" means the beneficiary under the Construction Deed of Trust. "Date of Agreement" means the date upon which this Agreement shall have been signed by CDC. "Default" means the failure of a party to perform any action or covenant required by this Agreement within the time periods provided herein following notice and opportunity to cure, as set forth in Section 501 hereof. "Developer" means San Diego Ilabitat for Humanity, Inc., a California nonprofit, public benefit corporation. Where the term Developer is used herein, such term shall include any permitted nominee, assignee or successor in interest as herein provided. "Developer's Conditions Precedent" means the conditions precedent to the Closing to the benefit of Developer, as set forth in Section 207.2. "Developer Deed of Trust" means the deed of trust securing the Developer Note, in the form and format attached hereto as Attachment No. 2., which shall he subordinated to any Construction Deed of Trust, such subordination shall be in a form acceptable to the CDC in its reasonable discretion. 7 \Documents and Settangs\kareny } Ir 1iSDU.ocai Setun}s\l emporary Internet Ies\OLK I9FUDDA v? doe "Developer Note" means the recourse promissory note, in the forth and format attached hereto as Attachment No. 1, executed by Developer in favor of CDC. "Developer Title Policy" is defined in Section 206.1 hereof. "Environmental Indemnity" shall mean the Unsecured 1nvironmental Indemnity Agreement to be executed by Developer and CDC at Closing, substantially in the form attached to this Agreement as Attachment No. l 2. "Environmental I,aws" means any federal. state or local law, statute, ordinance or regulation pertaining to environmental regulation, contamination or cleanup of any Hazardous Materials, including, without limitation, (i) the California Ilazardous Waste Control Act (California Health and Safety Code §25100 et seq.), (ii) the Carpenter -Presley -"Tanner Ilazardous Substance Account Act (California Health and Safety Code §25300 et seq.), (iii) the Hazardous Materials Release Response Plans and Inventory (California Health and Safety Code §25500 et seq.), (iv) Underground Storage of Ilazardous Substances (California Health and Safety Code, §25280 et seq:), (v) Article 9 or Article 11 of "Title 22 of the California Administrative Code, Division 4, Chapter 20, (vi) the Safe Drinking Water and Toxic Enforcement Act (California Ilea1th and Safety Code, §25249 et seq.), (vii) the Porter -cologne Water Quality Control Act (California Water Code, § 13000 et seq.), (viii) the Federal Water Pollution Control Act (33 U.S.C. §1271 et seq.), (ix) the Resource Conservation and Recovery Act (42 U.S.C. §6901 et seq.), (x) the Comprehensive Environmental Response, Compensation and Liability Act (42 U.S.C. §9601 et seq.), (xi) the Safe Drinking Water Act (14 U.S.C. §300f et seq.), (xii) the I-lazardous Materials Transportation Act (49 U.S.C. §5101 ct seq.), (xiii) the Toxic Substances Control Act (15 U.S.C. §2601 et seq.), (xiv) the Federal Insecticide, Fungicide and Rodenticide Act (7 U.S.C. §136, et .seq.), (xv) the Clean Air Act, 42 U.S.C. (§7401 et seq.) or (xvi) any state or federal lien or "superlien" law, any environmental cleanup statute or regulation, or any permit, approval, authorization, license, variance or permission required by any governmental authority having jurisdiction. "Escrow" is defined in Section 204 hereof. "Escrow Agent" is defined in Section 204 hereof. "Exceptions" is defined in Section 205 hereof. "First -Mime 11omebuyer" means a purchaser (a) that has not owned a home within the three-year (3-year) period immediately preceding the date of the purchase of the Affordable Unit, (b) a displaced homemaker; or (c) a single parent. "First -Time Homebuyer Note" means the promissory note in favor of the CDC to be executed by each L.ow-Income Household purchaser of an Affordable Unit, which shall be on terms and conditions acceptable to the CDC in its sole discretion. 8 Documents and Setlingslkarcny HFHSD\l ocal Settings\Icutporary Internet es\OLK l9f1DDA v2 doc "Governmental Requirements" means all laws, ordinances, statutes, codes, rules, regulations, orders and decrees of the United States, the state, the county, the City, or any other political subdivision in which the Site is located, and of any other political subdivision, agency or instrumentality exercising jurisdiction over CI)C, Developer or the Site. "Grant Deed" means the grant deed for the conveyance of the Site from CDC to Developer, in the form of Attachment No. 3 hereto which is incorporated herein. "Ilazardous Materials" means: (a) "those substances included within the definitions of "hazardous substance," "hazardous waste," "hazardous material," "toxic substance," "solid waste," "pollutant" or "contaminant" in the Comprehensive Environmental Response, Compensation and Liability Act of 1980 (42 U.S.C. §9601 et seq.); the Resource Conservation and Recovery Act (42 U.S.C. §6901 et seq.); the Clean Water Act (33 U.S.C. §2601 et seq.); the Toxic Substances Control Act (15 U.S.C. §9601 et seq.); the Hazardous Materials Transportation Act (49 U.S.C. § 1801 et seq.); or under any other Environmental Laws; (b) Those substances included within the definitions of "Extremely Hazardous Waste," "Hazardous Waste," or "Restricted Ilazardous Waste," under §§251 15, 25117 or 25122.7 of the California Health and Safety Code, or is listed or identified pursuant to §§25140 or 44321 of the California Ilealth and Safety Code; (c) Those substances included within the definitions of "Ilazardous Material", "Ilazardous Substance", "Ilazardous Waste", ""Toxic Air Contaminant'', or "Medical Waste" under §§25281, 25316, 25501, 25501.1, 25023.2 or 39655 of the California Health and Safety Code; (d) Those substances included within the definitions of "Oil" or a "Hazardous Substance" listed or identified pursuant to §311 of the Federal Water Pollution Control Act, 33 U.S.C. § 1321, as well as any other hydrocarbonic substance or by-product; (e) Those substances included within the definitions of "Ilazardous Waste," Extremely I-lazardous Waste," or an "Acutely Hazardous Waste" pursuant to Chapter 11 of Title 22 of the California Code of Regulations; (f) Those substances listed by the State of California as a chemical known by the State to cause cancer or reproductive toxicity pursuant to §25249.9(a) of the California Health and Safety Code; (g) Those substances or defined as a "Ilazardous Waste," Extremely Hazardous Waste," or an "Acutely Ilazardous Waste" pursuant to Chapter 11 of "Title 22 of the California Code of Regulations; 7ocuments and settings\karenv }{}!ISL)U..ocal Sett ngs\'temporary lntetnet •s\OLK 19RDDA v2 doc (II) Any material which due to its characteristics or interaction with one or more other substances, chemical compounds, or mixtures, damages or threatens to damage, health, safety, or the environment, or is required by any law or public agency to be remediated, including rcmediation which such law or public agency requires in order for the property to be put to any lawful purpose; (i) Any material whose presence would require remediation pursuant to the guidelines set forth in the State of California !.caking Underground Fuel Tank Field Manual, whether or not the presence of such material resulted from a leak i►i�' underground fuel tank; (j) Pesticides regulated under the Federal Insecticide, Fungicide and Rodenticide Act, 7 U.S.C. § 136 et seq.; (k) Asbestos, PCRs, and other substances regulated under the Toxic Substances Control Act, 15 U.S.C. §2601 et seq.; (I) Any radioactive material including, without limitation, any "source material," "special nuclear material," "by-product material." "low-level wastes," "high-level radioactive waste," "spent nuclear fuel" or "transuranic waste," and any other radioactive materials or radioactive wastes, however produced, regulated under the Atomic Energy Act, 42 U.S.C. §§201 1 et seq., the Nuclear Waste Policy Act, 42 U.S.C. §§ 10101 et seq., or pursuant to the California Radiation Control I,aw, California Health and Safety Code §§25800 et seq.; (m) Any material regulated under- the Occupational Safety and Health Act, 29 U.S.C. §§651 et seq., or the California Occupational Safety and Health Act, California labor Code §§6300 et seq.; (n) Any material regulated under the Clean Air Act, 42 U.S.C. §§7401 et seq. or pursuant to Division 26 of the California Health and Safety Code; (o) Those substances listed in the United States Department of Transportation Table (49 CFR Part 1 72.101), or by the Environmental Protection Agency, or any successor agency, as hazardous substances (40 CFR Part 302); (p) Other substances, materials, and wastes that are or become regulated or classified as hazardous or toxic under federal, state or local laws or regulations; and (q) Any material, waste or substance that is: (i) a petroleum or refined petroleum product; (ii) asbestos; (iii) polychlorinated biphenyl; (iv) designated as a hazardous substance pursuant to 33 IJ.S.C. §1321 or listed pursuant to 33 U.S.C. §1317. (v) a flammable explosive; or 10 '\Documents and Settings`.karcny lII ItSUILocal Settings\temporary Internet tics\0LK I9F\DDA v2 doc Nftor (vi) a radioactive material. "Improvements" means the new improvements to he constructed by Developer upon the Site and all approvals and permits required for completion of the Improvements. all more particularly described herein and in the Scope of Development. "Landscape and Grading Plans" means the plans and drawings to he submitted and approved by CD(', as set forth in Section 302.2. hereof. "Low' Income Iiousehold ' means persons and families whose income does not exceed sixty percent (60`%)) of the then current Area Median income, provided that such persons or families meet the additional requirements set forth in Section 4 of the Agreement Affecting Real Property. "Maximum Purchase Price" shall mean the maximum amount of consideration, of any kind whatsoever, that the Developer may receive for any Affordable Unit, which amount shall not exceed the lesser of: (i) the sum of (A) the purchase price which would result in a Monthly !lousing Cost, as determined by the CDC, which does not exceed the product of one twelfth (1/12) of thirty percent (30%) times sixty percent (60%) of the then Area Median Income as adjusted for household size appropriate for the unit, plus (13) the amount of the Developer Note assumed by the Low Income Household that purchases such Affordable Unit; or (ii) the Single Family Mortgage Limit for the County of San Diego under Section 203(b) of the National Housing Act (12 U.S.C. § 1709(b)) or any other (imitation then provided by Code of Federal Regulations §92.254(a) or any successor law or regulation. "Monthly I lousing Cost" shall mean all of the following associated with the Affordable Unit, estimated or known as of the date of the close of escrow of the sale of the Affordable Unit: (i) principal and interest payments on the 20-30 year, fixed-rate mortgage loan actually obtained by the purchaser, and any loan insurance fees associated therewith; (ii) property taxes, assessments, including Mello Roos fees, if applicable; (iii) fire and casualty insurance covering replacement value of property improvements (to the extent not covered by the homeowner association encompassing the Site); (iv) any homeowner association fees; (v) private mortgage insurance, if applicable; and (vi) reasonable costs of utilities. Monthly Housing Cost shall be an average of estimated costs for the next twelve (12) month period as of the date of the close of escrow of the sale of the Affordable Unit. "Notice" shall mean a notice in the form prescribed by Section 601 hereof. "Notice of Affordability Restrictions" shall mean the Notice of Affordability Restrictions on Transfer of Property to he recorded against the Site upon Closing, substantially in the form attached to this Agreement as Attachment No. 13. "Outside Date" shall mean the last date the Closing shall occur, as set forth in Section 204.4 hereof. 11 •Documents and Selunls\ arcnv HFIISO\Local SettinOTernporary Internet les\OLKI9FFDl)A v2 dnc: "Proforma" means the proforrna which is attached hereto as Attachment No. 9 and incorporated herein. "PTR" means the preliminary title report, as described in Section 205 hereof. "Purchase Price" means the price to be paid by Developer to ('DC in consideration for the conveyance of fee title to the Site, as provided in Section 201 hereof. "Redevelopment Plan" means the Rcdevclopnrent Plan for the National City Redevelopment Project, adopted by Community Development Commission of the City of National City on July 18. 1995, and incorporated herein by reference - "Redevelopment Project" means the National City Redevelopment Project, adopted by CDC pursuant to the Redevelopment Plan. "Release of Construction Covenants" means the document which evidences Developer's satisfactory completion of Improvements, as set forth in Section 312 hereof, in the form of Attachment No. 4 hereto which is incorporated herein. "Resale Restriction" means the Resale Restriction that will be recorded as an encumbrance against each Affordable Unit, in the form attached hereto as Attachment "10". "Schedule of Performance" means the Schedule of Performance attached hereto as Attachment No. 5 and incorporated herein, setting out the dates and/or time periods by which certain obligations set forth in this Agreement must he accomplished. The Schedule of Performance is subject to revision from time to time as mutually agreed upon in writing between Developer and CDC's Executive Director, and CI)C 's Executive Director is authorized to make such revisions as he or she deems reasonably necessary. "Scope of Development" means the Scope of I )cvelopnrent attached hereto as Attachment No. 6 and incorporated herein, which describes the scope, amount and quality of development Improvements to be constructed by Developer- pursuant to the terms and conditions of this Agreement. "Site" means the approximately 8,62.5 square foot parcel located in the National City Redevelopment Project (the "Project") at 1441 !larding Avenue in the City of National City, County of San Diego, California, which is more particularly described on the Site Legal Description. "Site Legal Description" means the legal description of the Site, as described on Attachment 8. "Site Plan" means the map of the Site, which shows the location of all dwelling units and roads to be constructed on the Site, and which is attached hereto as Attachment No. 7 and incorporated herein. I2 ocuments and Settings\ka-env HFHSL)\l.ucal Setttngs\7 ernporan Internet \01 I9F\Ur)A v? doc Nitre "Title Company" means Stewart Title Company. 200. Conveyance of the Site. 201. Purchase Price. Subject to all of the terrns and conditions of this Agreement, CI)C shall sell the Site to Developer, and Developer shall purchase the Site from CDC fbr One and No/100 Dollar ($1.00) ("Purchase Price"). 202. CDC. 1.Oalr. 202.1 Developer Promissory_ Note. Concurrently herewith. the ('D(; is making a loan to Developer as set forth in more detail in the Developer Note. 202.2 Forgiveness of the Developer Note. Upon the timely completion of the Affordable Units in accordance with this Agreement, the Developer Note will be partially forgiven and the remaining balance will convert to first-time homebuyer loans to Low -Income Households to assist those Low -Income louseholds with the purchase of Affordable 1Inits,.as follows: (a) upon the closing of the sale of each Affordable Unit, the purchaser of such Affordable Units shall execute a first -Time Homebuyer Note in an amount equal to the sum of: (i) the Single Family Mortgage Limit for the County of San Uiego under Section 203(b) of the National 1 lousing Act (12 (.1.S.C. § 1709(b)) or any other limitation then provided by Code of Federal Regulations §92.254(a) or any successor law or regulation; less (ii) the Maximum Purchase Price. In the event the foregoing calculation results in an amount equal to zero or a negative number, then the requirement that the purchaser of the Affordable Unit execute a first - Time Homebuyer Note as set forth herein, shall be null and void. (b) Any amount of the Developer Note that is not assumed by the purchasers of the Affordable Units as set forth in Section 202.2(a), above, shall be forgiven in its entirety. (c) In addition each purchaser of an Affordable Units shall execute a Resale Restriction, a deed of trust securing the Resale Restriction and the First -"time Homebuyer Note, and any other instruments as the CDC may require in its reasonable discretion. (d) "file CDC shall partially reconvey the Developer Deed of Trust, with respect to each Affordable Unit, upon the last to occur of: (i) the sale of the Affordable Unit; (ii) the Low -Income 1lousehold's execution of the First -"Dime Homebuyer Note; (iii) the recordation against the individual Affordable Unit of the Resale Restriction; and (iv) the recordation against the individual Affordable Unit of the deed of trust securing. the First -Time Homebuyer Note and the Resale Restriction. 13 Documents and Settings\karenv I1FI ISr)\L.ocal Settings\lcmporary Internet :s\OLK191-1DDA v2 doc 203. Default. Notwithstanding Section 202.2(b), above, or anything contained herein to the contrary, in the event of any default in the performance of any of the terms, covenants and conditions contained in: (i) this Agreement, the Developer Note, the Developer Deed of Trust, including without limitation the failure by Developer to complete all of the Improvements on or before September 30, 2010, (ii) any other instrument executed by the Developer in conjunction with this Agreement; (iii) any prior or junior note secured by an encumbrance on the Site or any portion of it; or (iv) in the event of the filing of a Bankruptcy proceeding by or against Developer, then (a) at the option of the CDC the Site shall revert back to the CDC; (b) all sums owing by Developer to the CDC shall at the option of CDC immediately become due and payable; (c) CDC shall have no obligation to disburse any further funds to Developer or any other person: and (d) CDC shall be released from any and all obligations to Developer under the terms of this Agreement. These remedies shall be in addition to any and all other rights and remedies available to CDC, either at law or in equity. Further, default interest shall accrue on the principal balance of the Developer Note from the date of the Developer Note at the rate of ten percent (10%) simple interest per annum or the maximum rate than allowed by law, whichever is less. 204. Escrow. The parties shall open escrow ("Escrow") with Title Company, or another escrow company mutually satisfactory to both parties (the "Escrow Agent"). 204.1 Costs of Escrow. Developer shall pay the premiums for the Title Policy, for the documentary transfer taxes, if any, due with respect to the conveyance of the Site, and all other fees, charges, and costs which arise from Escrow. 204.2 Escrow Instructions. This Agreement constitutes the joint escrow instructions of Developer and CDC, and the Escrow Agent to whom these instructions are delivered is hereby empowered to act under this Agreement. The parties hereto agree to do all acts reasonably necessary to close this Escrow in the shortest possible time. Insurance policies for fire or casualty are not to be transferred, and CDC will cancel its own policies after the Closing, if any. All funds received in the Escrow shall be deposited with other escrow funds in a general escrow account(s) and may be transferred to any other such escrow trust account in any State or National Bank doing business in the State of California. All disbursements shall be made by check from such account. If in the opinion of either party it is necessary or convenient in order to accomplish the Closing of this transaction, such party may require that the parties sign supplemental escrow instructions. The parties agree to execute such other and further documents as may be reasonably necessary, helpful or appropriate to effectuate the provisions of this Agreement. The Closing shall take place when both CDC's Conditions Precedent and Developer's Conditions Precedent have been satisfied. Escrow Agent is instructed to release CDC's escrow closing statement and Developer's escrow closing statement to the respective parties. 204.3 Authority of Escrow Agent. Escrow Agent is authorized to, and shall: (a) Pay, and charge Developer, for the amount equal to the premium for the Developer Title Policy and any amount necessary to place title in the condition necessary to satisfy Section 205 of this Agreement. 14 \Documents and Settings\AlfredoY\Local Settings\"temporary Internet Files\OLKSB\DDA v2 (2).doc (b) Pay, and charge Developer and CDC, for their respective shares of any escrow fees, charges, and costs payable under Section 204.1 of this Agreement. (c) Pay, and charge Developer, for any endorsements to the Developer Title Policy which arc requested by Developer. (d) Disburse funds, and deliver and record the Grant Deed, Agreement Affecting Real Property, Environmental Indemnity, Notice of Affordability Restrictions and the Developer Deed of Trust, when both Developer's Conditions Precedent and CDC's Conditions Precedent have been fulfilled or waived by Developer and CDC. (e) Do such other actions as necessary, including obtaining the CDC Title Policy and/or the Developer Title Policy, to fulfill its obligations under this Agreement. (f) Within the discretion of Escrow Agent, direct CDC and Developer to execute and deliver any instrument, affidavit, and statement, and to perform any act reasonably necessary to comply with the provisions of FIRPTA and any similar state act and regulation promulgated thereunder. CDC agrees to execute a Certificate of Non -Foreign Status by individual transferor and/or a Certification of Compliance with Real Estate Reporting Requirement of the 1986 Tax Reform Act as may be required by Escrow Agent, on the form to be supplied by Escrow Agent. (g) Prepare and file with all appropriate governmental or taxing authorities a uniform settlement statement, closing statement, tax withholding forms including an IRS 1099-S form, and be responsible for withholding taxes, if any such forms are provided for or required by law. (h) Pay, and charge Developer, for the amount equal to the premium for the CDC Title Policy. (i) Pay, and charge Developer, for any endorsements to the CDC Title Policy which are requested by CDC. 204.4 Closing. This transaction shall close ("Closing") within thirty (30) days of the parties' satisfaction of all of CDC's and Developer's Conditions Precedent to Closing as set forth in Section 207 hereof, but in no event later than May 1, 2009 (the "Outside Date"). The Closing shall occur at a location within San Diego County at a time and place reasonably agreed on by the parties. The "Closing" shall mean the time and day the Grant Deed is filed for record with the San Diego County Recorder. The "Closing Date" shall mean the day on which the Closing occurs. 204.5 Termination. If Escrow is not in condition to close by the Outside Date, then either party which has fully performed under this Agreement may, in writing, demand the return of money or property and terminate this Agreement. If either party makes a written 15 C:\Documents and Settings\AlfredoY\Local Settings\Temporary Internet Files\OLKSB\DI)A v2 (2).doc demand for return of documents or properties, this Agreement shall not terminate until five (5) days after Escrow Agent shall have delivered copies of such demand to all other parties at the respective addresses shown in this Agreement. If any objections are raised within said five (5) day period, Escrow Agent is authorized to hold all papers and documents until instructed by a court of competent jurisdiction or by mutual written instructions of the parties. Termination of this Agreement shall be without prejudice as to whatever legal rights either party may have against the other arising from this Agreement. If no demands are made, the Escrow Agent shall proceed with the Closing as soon as possible. 204.6 Closing Jrocedure. l scrovv Agent shall close l:.scrow for the Site as follows: (a) Record the Grant Deed with instructions for the Recorder of San Diego County, California to deliver the Grant Deed 10 Developer; (b) Record the Developer Deed of Trust, Notice of Affordability Restrictions and Agreement Affecting Real Property with instructions for the Recorder of San Diego County, California to deliver the same to the CDC; (c) Instruct the Title Company to deliver the Developer Title Policy to Developer; (d) File any informational reports required by internal Revenue Code Section 6045(e), as amended, and any other applicable requirements; (e) Deliver the FIRP"TA ('ertificatc, it any, to Developer; (f) Forward to both Developer and CD(.' a separate accounting of all funds received and disbursed for each party and copies of all executed and recorded or filed documents deposited into Escrow, with such recording and filing date and information endorsed thereon; and (g) Instruct the "Title Company to deliver the Cl)C "Title Policy to CDC. 205. Review of Title. Developer has received from Title Company a standard preliminary title report (the "PTR") with respect to the title to the Site, together with legible copies of the documents underlying the exceptions ("Exceptions"). Developer shall have the right to reasonably approve or disapprove the Exceptions; provided, however, that Developer herein approves the following Exceptions: (a) The National City Redevelopment Project (h) Utility easements of record 16 Documents and Settings\kareny I{FHSD\l.ocal Senings\Temporary Internet s',0I.K 19FADDA v2 doc Noir Developer shall have ten (10) days from the date of this Agreement to give written notice to CDC and Escrow Ilolder of Developer's approval or disapproval of any of such Exceptions. Developer's failure to give written disapproval of the PTR within such time limit shall he deemed approval of the P"hR by Developer. If Developer notifies CDC of its disapproval of any Exceptions in the PM, CDC shall have the right, but not the obligation, to remove any disapproved Exceptions within sixty (60) business days after receiving written notice of Developer's disapproval or provide assurances satisfactory to Developer that such Exception(s) will be removed on or before the Closing. If CDC cannot or does not elect to remove any of the disapproved Exceptions within that period, Developer shall have ten (1(1) business days after the expiration of such sixty (60) business day period to either give CDC written notice that Developer elects to proceed with the purchase of the Site subject to all of the Exceptions or to give CDC written notice that Developer elects to terminate this Agreement. The Exceptions to title approved by Developer as provided herein shall hereinafter be referred to as the "Conditions of Title." Developer shall have the right to approve or disapprove any additional Exceptions reported by the Title Company after Developer has approved the Conditions of Title for the Site (which are not created by Developer), in the same manner as stated above in this paragraph. CDC shall not voluntarily create any new exceptions to title following the Date of Agreement. 206. Title Insurance. 206.1 Developer "Title Policy. Concurrently with recordation of the Grant Deed conveying title to the Site, there shall be issued to Developer a CLTA owner's policy of title insurance (the "Developer "Title Policy"), together with such endorsements as are reasonably requested by Developer, issued by the Title Company, insuring that the title to the Site is vested in Developer in the condition required by Section 205 of this Agreement. The Title Company shall provide the CDC with a copy of the Developer Title Policy. The Developer "Title Policy shall be for the amount of the Purchase Price. Developer shall pay for the Developer Title Policy. 206.2 CDC Title Policy. Concurrently with recordation of the Developer Deed of "Trust against the Site, there shall be issued to CDC a CL"TA lender's policy of title insurance (the "CL)C 'Title Policy"), together with such endorsements as are reasonably requested by the CDC, issued by the "Title Company, insuring that the Developer Deed of "Trust is a valid encumbrance against the Site. "The "fide Company shall provide Developer with a copy of the CDC Title Policy. The CDC "Title Policy shall be for the amount of the Developer Note. Developer shall pay for the CDC Title Policy. 207. Conditions of Closing. The Closing is conditioned upon the satisfaction of the following terms and conditions within the times designated below: 207.1 CI)C's Conditions of Closing. CDC's obligation to proceed with the Closing of the sale of the Site is subject to the fulfillment by Developer or waiver by CDC of each and all of the conditions precedent (a) through (h), inclusive, described below ("CDC's Conditions Precedent"), which are solely for the benefit of CDC, and which shall be fulfilled or waived by the time periods provided for herein: 17 ocuments and Settings\kareny IIFFISD\l Deal Settings\t emporary Internet \OLK19F\DDA v2 doe (a) No Default. Prior to the Closing, Developer is not in default in any of its obligations under the terms of this Agreement and all representations and warranties of Developer contained herein shall be true and correct in all material respects. (b) Execution of Documents. Developer shall have executed any documents required hereunder and delivered such documents into Escrow, including without limitation the Developer Note; Environmental Indemnity, Agreement Affecting Real Property, Notice of Affordability Restrictions and the Developer Deed of Trust. (c) Payment of CIosin41 Costs. Prior to the ('losing, Developer has paid all required costs of Closing into Escrow in accordance with Section 204.1 hereof. (d) Design Approvals. Developer shall have obtained approval by CDC of the Concept Drawings, Landscape and Grading Plans and Construction Drawings as set forth in Section 302 hereof. (e) Insurance. Developer shall have provided proof of insurance as required by Section 307 hereof. (f) Other Financing. Developer shall have obtained commitments which meet the requirements of Section 313.1 of this Agreement, from all financing sources to be used for financing the construction of the Improvements which are sufficient to complete construction of the Iniprovernerits. (g) CDC "Title Policy_. The Title Company shall, upon payment by Developer of Title Company's premium, have agreed to issue the CDC Title Policy to the CDC upon the Closing, in accordance with Section 206.2 hereof. (h) Final Map. Developer shall have obtained approval by the City of a final subdivision rnap allowing for the construction of at least three (3) for -sale, single family homes. In the event that one or more of the above conditions are not satisfied on or before the Closing Date then (i) the CDC can waive satisfaction of such condition or conditions in writing (delivered to Developer and Escrow Holder) on or prior to the Closing Date, and the Closing shall proceed, or (ii) the CDC can immediately terminate this Agreement in writing (delivered to Developer and Escrow Molder), and pursue all of its rights and remedies against the Developer as set forth herein, or as otherwise available at law or in equity. 207.2 Developer's Conditions of Closing. Developer's obligation to proceed with the purchase of the Site is subject to the fulfillment by CI)C or waiver by Developer of each and all of the conditions precedent (a) through (d) inclusive, described below ("Developer's Conditions Precedent"), which are solely for the benefit of Developer, and which shall be fulfilled or waived by the time periods provided for herein: 18 \Documents and Settings\kareny HFHSD\Local SrtungsVIernporary Internet les\Oi.K 19F1DI)A. v2.doc (a) No Default. Prior to the Closing, CDC is not in default in any of its obligations under the teens of this Agreement and all representations and warranties of CDC contained herein shall be true and correct in all material respects. (b) Execution of Documents. CD(' shall have executed the (;rant Deed and any other documents required hereunder, and delivered such documents into Escrow. (c) Review and Approval of Title. Developer shall have reviewed and approved the Conditions of Title of the Site, as provided in Section 205 hereof. (d) Developer Title Policy. The Title Company shall, upon payment of "Title Company's regularly scheduled prerniunt, have agreed to issue the Developer "title Policy for the Site upon the (losing, in accordance with Section 206.1 hereof. In the event that one or more of the above conditions are not satisfied on or before the Closing Date then (i) the Developer can waive satisfaction of such condition or conditions in writing (delivered to the CDC and Escrow 1 folder) on or prior to the Closing Date, and the Closing shall proceed, or (ii) the Developer, provided the Developer is not then in default hereunder, can immediately terminate this Agreement in writing, and neither CDC nor Developer shall have any further obligations to one another under this Agreement. 208. Representations and Warranties. 208.1 ('I)(' Representations and Warranties. CDC represents and warrants to Developer as follows: (a) Authority. CDC is a public body, corporate and politic, existing pursuant to the California Community Redevelopment Law (California Health and Safety Code Section 33000), which has been authorized to transact business pursuant to action of the City. CDC has full right, power and lawiol authority to grant, sell and convey the Site as provided herein and the execution, perfonnance and delivery of this Agreement by CDC has been fully authorized by all requisite actions on the part of CDC. (b) FIRP"I:A. CDC is not a "foreign person" as defined by FIRPTA or any similar state statute, or is exempt from the provisions of FIRPTA and any similar state statute, or that CDC has complied and will comply with all the requirements under FIRPTA and any similar state statute. Until the Closing, (.'DC shall, upon learning of any fact or condition which would cause any of the warranties and representations in this Section 208.1 not to be true as of Closing, immediately give written notice of such fact or condition to Developer. Such representation(s) shall not be deemed a breach by CDC hereunder, but shall constitute an exception which Developer shall have a right to approve or disapprove. If Developer elects to close Escrow following disclosure of such infbrrnation, CI)C's representations and warranties contained herein 19 \Documents and Sepings\kareny HFHSI)\Local Settings\Temporary Lttemet les\OLK19F\DDA v2 doc shall be deemed to have been made as of the closing subject to such exception(s). If, following the disclosure of such information, Developer elects not to close Escrow, then this Agreement and the Escrow shall automatically terminate, in which event neither CDC nor Developer shall have any further obligations to one another wider this Agreement. The representations and warranties set forth in this Section 208.1 shall survive the Closing. 208.2 Developer's Representations and Warranties. Developer represents and warrants to CDC as follows (a) Authority. Developer is a California nonprofit. public benefit corporation. The persons executing this Agreement on behalf of the Developer have all necessary corporate authority to execute this Agreement on behalf of the Developer and this Agreement is a binding obligation of Developer. Copies of the Articles of Incorporation and bylaws of Developer will be delivered to CDC within sixty (60) days of final approval of the Agreement or prior to execution of the Grant Deed, whichever occurs first. These copies will be true, complete and fully -executed copies of the originals, as amended to the date of this Agreement. Developer will have full right, power and lawful authority to purchase and accept the conveyance of the Site and to undertake all obligations as provided herein and the execution, performance arid delivery of this Agreement by Developer has been fully authorized by resolution of and all requisite actions on the part of Developer. (b) No Conflict. Developer's execution, delivery and performance of its obligations under this Agreement will not constitute a default or a breach under any contract, agreement or order to which Developer is a party or by which it is bound. (c) No Developer Bankruptcy. Developer is not the subject of a bankruptcy proceeding. (d) Proforma. "file prolorma attached hereto as Attachment No. 10 ("Proforma"), is a true and correct copy of the Proforma. The amounts shown on the Proforma are accurate and arc the amounts for which Developer is able to and shall design and construct all of the Improvements in a workmanlike and defect -free manner in accordance with the Scope of Development. Until the Closing, Developer shall, upon learning of any fact or condition which would cause any of the warranties and representations in this Section 208.2 not to be true as of Closing, immediately give written notice of such fact or condition to CDC. Such representation(s) shall not be deemed a breach by Developer hereunder, but shall constitute an exception which CDC shall have a right to approve or disapprove. If Cl)(' elects to close Escrow following disclosure of such information, Developer's representations and warranties contained herein shall be deemed to have been made as of the Closing, subject to such exception(s). If, following the disclosure of such information, CDC elects to not close Escrow, then this Agreement and the Escrow shall automatically terminate, in which event the CDC may pursue all of its rights and remedies against the Developer as set forth herein, or as otherwise. available at law or in equity. 20 1Documents and Settinr>.s\karcny HFFiSUV.ocal settings\Temporary Internet Iles\OLK 19F1DDA v7 doe The representations and warranties set forth in this Section 208.2 shall survive the Closing and Nix. - any termination or cancellation of this Agreement. 209. Studies and Reports. Prior to the Closing, representatives of Developer shall have the right of access to all portions of the Site for the purpose of obtaining data and making surveys and tests necessary to carry out this Agreement. Any preliminary work undertaken on the Site by Developer prior to the ('losing shall be done at the sole risk and expense of Developer. Any preliminary work shall he undertaken only after securing all necessary permits from the appropriate governmental agencies. 210. Condition of the Site. 210.1 Disclosure. The CI)C has not investigated and makes no representations or warranties whatsoever regarding the condition of the Site. Developer hereby agrees to take title to the Site "as is". Developer further agrees to perform any and all investigation that it deems necessary with respect to the Site, including without limitation any and all soils testing "Phase 1" and/or "Phase 2" environmental investigations of the Site and hereby waives any and all claims Developer may have against CDC with respect to the condition of the Site. 210.2 No Further Warranties As 'I'o Site. Except as otherwise provided in this Agreement, the physical condition, possession or title of the Site is and shall be delivered from CDC to Developer in an "as -is" condition, with no warranty expressed or implied by CDC, including without limitation, the presence of I lazardous Materials on, in, under or adjacent to the Site or the condition of the soil, its geology, the presence of known or unknown seismic faults, or the suitability of the Site for the development purposes intended hereunder. 210.3 Developer Precautions After Closing. Upon the Closing, Developer shall take all necessary precautions to prevent the release in, on or under the Site of any hazardous Materials. Such precautions shall include compliance with all Governmental Requirements with respect to Ilazardous Materials. In addition, Developer shall install and utilize such equipment and implement and adhere to such procedures as are consistent with commercially reasonable standards as respects the disclosure, storage, use, removal and disposal of Ilazardous Materials. Developer's obligation to take such precautions with respect to the release of Hazardous Materials shall terminate with respect to each Unit, upon the sale of such Unit, and shall cease with respect to the entire Site following the sale of all of the Units, provided Developer is then not in possession of any portion of the Site. 210.4 Required Disclosures After Closing. After the Closing, Developer shall notify CDC, and provide to CDC a copy or copies, of all environmental permits, disclosures; applications, entitlements or inquiries relating to the Site, including notices of violation, notices to comply, citations, inquiries, clean- up or abatement orders, cease and desist orders, reports filed pursuant to self -reporting requirements and reports filed or applications rnade pursuant to any Governmental Requirement relating to Hazardous Materials and underground tanks. Developer shall report to CDC, as soon as possible after each incident, any unusual or potentially important incidents with respect to the enviromnental condition of the Site. Developer's obligation to 21 )ocuments and Settings\kareny HFHSUU ocal Settings\Icmporary Internet \OLK 19r1D[)A v2 doc report such incidents shall terminate with respect to each Unit, upon the sale of such Unit, and shall cease with respect to the entire Site following sale of all of the Units, provided Developer is then not in possession of any portion of the Site. In the event of a release of any Hazardous Materials into the environment, Developer shall, as soon as possible after the release, famish to CDC a copy of any and all reports relating thereto and copies of all correspondence with governmental agencies relating to the release. Upon request, Developer shall furnish to CDC a copy or copies of any and all other environmental entitlements or inquiries relating to or affecting the Site including, but not limited to, all permit applications, permits and reports including, without lilnrtan on, ilrose reports and other matters which may he characterized as confidential. 210.5 Developer Indemnity. Upon the (;losing, Developer agrees to indemnify, defend and hold CDC harmless from and against any claim, action. suit, proceeding, loss, cost, damage, liability, deficiency, fine, penalty, punitive, damage, or expense (including, without limitation, attorneys' fees), resulting from, arising out of, or based upon any of the following: (i) the presence, release, use, generation, discharge, storage or disposal of any Hazardous Materials on, under, in or about, or the transportation of any such I lazardous Materials to or from, the Site, or (ii) the violation, or alleged violation, of any statute, ordinance, order, rule, regulation, permit, judgment or license relating to the use, generation, release, discharge, storage, disposal or transportation of I Iazardous Materials on, under, in or about, to or from, the Site. This indemnity shall include, without limitation, any damage, liability, fine, penalty, parallel indemnity after closing cost or expense arising from or out of any claim, action, suit or proceeding for personal injury (including sickness, disease or death), tangible or intangible property damage, compensation for lost wages, business income, profits or other economic loss, damage to the natural resource or the environment, nuisance, contamination, leak. spill, release or other adverse effect on the environment. This indemnity does not include any condition arising solely as a result of the negligence or willful misconduct of the Cl)(' or its employees, agents, representatives, successors or assigns. 300. Development of the Site. 301. Scope of Development. Developer shall develop the improvements as provided in Attachment No. 6 and in accordance with the plans, drawings and documents submitted by Developer and approved by CDC as set forth herein. 302. Design Review. 302.1 Concept Drawings. Developer shall prepare and submit conceptual drawings for the Improvements, including a site plan, floor plans, exterior elevations, materials, color board, and elevations of all four sides of Improvements (collectively, the "Concept Drawings"). The Concept Drawings shall he prepared and submitted within the times established in the Schedule of Performance. 302.2 Landscape and Grading Plans. The Developer shall prepare and submit to the Agency preliminary and final landscaping and preliminary and finish grading plans for the 22 Documents and Sett tugs\kareny WI ISD\ .ocal Settings\rernporary Internet es\OLK I9F\DDA v2 doc Site (collectively, the "Landscape and Grading Plans"). The Landscape and (Grading Plans shall `""10"" be prepared and submitted within the times established in the Schedule of Performance. 'err r 302.3 Construction Drawings. .fhe Developer shall prepare and submit to the Agency 50% and final construction drawings and related documents (collectively called the "Construction Drawings'") to the Agency for review (including but not limited to architectural review). The Construction Drawings shall be prepared and submitted within the times established in the Schedule of Performance. Final construction drawings are hereby defined as those in sufficient detail to obtain ;t building permit. '303. (;DC Review and _A3)proval. ('1)(. shall have the right to review and approve or disapprove all aspects of the Concept Drawings, Landscape and Grading Plans and Construction Drawings. Developer acknowledges and agrees that CDC is entitled to approve or disapprove the Concept Drawings, Landscape and Grading Plans or Construction Drawings in order to satisfy CDC's obligation to promote the sound development and redevelopment of land within the Project, to promote a high level of design which will impact the surrounding development, and to provide an environment for the social, economic and psychological growth and well-being of the citizens of the City and the Project. Developer shall not be entitled to any monetary damages or compensation as a result of CDC's disapproval or failure to approve or disapprove the Concept Drawings, 1...anciscape and Grading Plans or Construction Drawings. 303.1 Standards for Disapproval. CDC shall have the right to disapprove in its reasonable discretion any of the Concept Drawings, Landscape and Grading Plans or. Construction Drawings, as set forth in Section 303, above, including without limitation if the same do not conform to the Scope of Development or this Agreement, or are incomplete. In the event the Concept Drawings, Landscape or Grading Plans and Construction Drawings are not approved, the CDC shall state in writing provided to the Developer the reasons for disapproval. Developer-, upon receipt of notice of disapproval from CDC, shall revise such portions and resubmit to CDC by the time established therefor in the Schedule of Performance. CDC and Developer agree to work together in good faith to resolve any disagreements and disputes regarding the Concept Drawings, Landscape and Grading Plans and Construction Drawings. 303.2 Revisions. If Developer desires to propose any revisions to CDC - approved Concept Drawings, Landscape and Grading Plans or Construction Drawings after approval, it shall submit such proposed changes to CDC, and shall also proceed in accordance with any and all State and local laws and regulations regarding such revisions, within the time frame set forth in the Schedule of Performance. At the reasonable discretion of CDC, if Developer proposes any change from the basic use of the Site for anything other than a residential development consisting of three (3) for -sale, single family homes, as provided for in this Agreement, then this Agreement is subject to renegotiation of all terms and conditions, including without limitation, the economic terms of the Agreement. If the Concept Drawings, Landscape and Grading Plans or Construction Drawings, as modified by the proposed change, generally and substantially conform to the requirements of the Scope of Development and this Agreement. the CD(.' shall review the proposed change and notify Developer in writing within thirty (30) days after submission to CDC as to whether the proposed change is approved or 23 \Documents and Settings\karrny III IISI)ltoca I Senml;,\temporary Intrmet r--iles\OLK19F\DDA v2 doc disapproved. CI)C's Executive Director is authorized to approve changes to CDC -approved Concept Drawings, Landscape and Grading Plans and Construction Drawings. 303.3 Defects in Plans. CDC shall not be responsible or liable in any way, either to Developer or to any third parties, for any defects in the Concept Drawings, Landscape and Grading Plans or Construction Drawings, or for any structural or other defects in any work done according to the approved Concept Drawings, Landscape and Grading Plans or Construction Drawings, or for any delays reasonably caused by the review and approval processes established by this Section 303. Developer shall hold harmless and indemnify CDC, the City and their officers, employees, agents and representatives from and against any and all claims, demands and suits for damages to property or injuries to persons arising out of or in any way relating to the Site, including without limitation any defects in the Concept Drawings, landscape and Grading Plans or Construction Drawings, violation of any laws, and for defects in any work done according to the approved Concept Drawings, Landscape and Grading Plans or Construction Drawings or for defects in work performed by Developer or any contractor or subcontractor of Developer. 304. Land Use Approvals. Before commencement of construction of the Improvements or other works of improvement upon the Site, Developer shall, at Developer's sole expense, secure or cause to be secured any and all land use and other entitlements, permits and approvals which may be required for the Improvements by the City or any other governmental agency affected by such construction or work, except for those which arc the responsibility of CDC as set forth herein. Neither CDC, nor the City shall be responsible in any way for, the processing of Developer's building permits or other permit applications with the City and the execution of this Agreement does not constitute the granting of or a corrunitmerrt to obtain any required land use permits, entitlements or approvals. 305. Schedule of Performance. Developer shall submit all Concept Drawings, commence and complete all construction of Improvements, and satisfy all other obligations and conditions of this Agreement within the times established therefor in the Schedule of Performance (Attachment No. 3). 306. Cost of Construction. All costs whatsoever, except for costs of Escrow, as provided above, shall be borne by Developer, including without limitation the cost of planning, designing, developing and constructing of all of the Improvements, as well as site preparation and grading. 307. Insurance Requirements. Developer shall take out and maintain and shall cause its contractor and subcontractors to take out and maintain until the issuance of the Release of Construction Covenants pursuant to Section 312 of this Agreement, a comprehensive general liability policy in the amount of not less than $2,000,000 combined single limit policy, and a comprehensive automobile liability policy in the amount of $1,000,000 combined single limit, or such other policy limits as CDC may approve at its discretion, including contractual liability, as shall protect Developer, City and CDC from claims for such damages. Such policy or policies shall he written on an occurrence form. Developer shall also tarnish or cause to be furnished to 24 \Documents and Settings\karenv HFHSI)U ocal Settrngsilernporary Internet Iles\OLK 19F\i)DA v2 doe Nor Nor, CDC evidence satisfactory to (.DC that Developer, and any contractor with whom it has contracted for the performance of work on the Site or otherwise pursuant to this Agreement, carries workers' compensation insurance as required by law. Developer shall furnish a notarized certificate of insurance countersigned by an authorized agent of the insurance carrier on a form approved by CDC setting forth the general provisions of the insurance coverage. "This countersigned certificate shall name the City and CDC and their respective officers, agents, and employees as additionally insured parties under the policy, and the certificate shall he accompanied by a duly executed endorsement evidencing such additional insured status. The certificate and endorsement by the insurance carrier shall contain a statement of obligation on the part of the carrier to notify (:ity and (1)C of any material change, cancellation or termination of the coverage at least thirty (30) days in advance of the effective date of any such material change, cancellation or termination. (:overage provided hereunder by Developer shall he primary insurance and not be contributing with any insurance maintained by CDC or City, and the policy shall contain such an endorsement. The insurance policy or the endorsement shall contain a waiver of subrogation for the benefit of the City and CDC. The required certificate shall be furnished by Developer at the time set forth therefor in the Schedule of Performance. 308. Developers Indemnity. Developer shall be responsible for all injuries to persons and/or all damages to real or personal property of CI)C or others, caused by or resulting from the negligence and/or breach of this Agreement, of itself, its employees, subcontractors and/or its agents during the construction of or arising out of the construction of the Project and/or the breach of this Agreement. Developer shall defend and hold harmless and indemnify CDC, the City, and all of their officers and employees from all costs, damages, judgments, expenses and claims to any third party resulting from the negligence and/or breach of this Agreement, by Developer, its employees, subcontractors and/or its agents, arising out of the construction of the Project and/or the breach of this Agreement, except those arising frorn the sole negligence or willful misconduct. of CDC or the City. 309. Rights of Access. Prior to the issuance of a Release of Construction Covenants pursuant to Section 312 of this Agreement, for purposes of monitoring compliance with this Agreement and to perform the CDC's monitoring duties under the provisions of 24 CFR Part 92, CDC and its representatives shall have the right of reasonable access to the Site, without charges or fees, at normal construction hours during the period of construction, including but not limited to, the inspection of the work being performed in constructing the Improvements. 310. Compliance. With Laws. Developer represents and warrants that during the term of this Agreement that it will comply with each and every provision and requirement contained within CFR 92.354, as amended from tirne to time, to the extent applicable, and will pay not Tess than the wages prevailing in the locality, as predetermined by the Secretary of Labor pursuant to the Davis -Bacon Act (40 U.S.C. 276a-276a-5), to all laborers and mechanics employed in the development of any part of the Project in accordance with the terms and provisions of (TR 92.354 and will comply with the overtime provisions, as applicable, of the Contract Work Hours and Safety Standards Act (40 U.S.C. 327-332). Prevailing wages need not be paid to "Volunteers" or for "Sweat Equity" as defined in 24 CFR 92.354(b) and (c). Developer shall No.. carry out the design and construction of the Improvements in conformity with all applicable laws, 25 \Documents and Settings\kareny HI-HSI)\Local Settings\Temporary Internet les\OLK 19F*Dr)A v2 doc including all applicable state labor standards, the City zoning and development standards, building, plumbing, mechanical and electrical codes, and all other provisions of the Title 24 of the (.'alifbrnia Code of Regulations; and all applicable disabled and handicapped access requirements, including without limitation the Americans With Disabilities Act, 42 U.S.C. Section 12101, et seq., Government Code Section 4450, et seq., Government Code Section 1 1 135, et seq., and the Unruh Civil Rights Act, Civil Code Section 51, et seq. Developer hereby agrees to carry out development, construction (as defined by applicable law) and operation of the Improvements on the Site, including, without limitation, any and all public works (as defined by applicable law), in conformity with all applicable local, state and federal laws, including, without limitation, all applicable federal and state labor laws (including, without limitation. any requirement to pay state prevailing wages). Developer hereby expressly acknowledges and agrees that neither City nor Agency has ever previously affirmatively represented to the Developer or its contractor(s) for the Improvements in writing or otherwise, in a call for bids or otherwise, that the work to be covered by the bid or contract is not a "public work," as defined in Section 1720 of the labor Code. Developer hereby agrees that Developer shall have the obligation to provide any and all disclosures, representations, statements, rebidding, and/or identifications which may be required by Labor Code Sections 1726 and 1781, as the same may he enacted, adopted or amended from time to time, or any other provision of law. Developer hereby agrees that Developer shall have the obligation to provide and maintain any and all bonds to secure the payment of contractors (including the payment of wages to workers performing any public work) which may be required by the Civil Code, Labor Code Section 1781, as the same may be enacted, adopted or amended from time to time, or any other provision of law. The Developer hereby agrees that the Developer shall have the obligation, at the Developer's sole cost, risk and expense, to obligate any party as may he required by Labor Code Sections 1726 and 1781, as the same may be enacted, adopted or amended from time to time, or any other provision of law. Developer shall indemnify, protect, defend and hold harmless the Agency, City and their respective officers, employees, contractors and agents, with counsel reasonably acceptable to Agency and City, from and against any and all loss, liability, damage, claim, cost, expense, and/or "increased costs" (including labor costs, penalties, reasonable attorneys fees, court and litigation costs, and fees of expert witnesses) which, in connection with the development, construction (as defined by applicable law) and/or operation of the Improvements, including, without limitation, any and all public works (as defined by applicable law), results or arises in any way from any of the following: (i) the noncompliance by Developer of any applicable local, state and/or federal law, including, without limitation, any applicable federal and/or state labor laws (including, without limitation, if. applicable, the requirement to pay state prevailing wages); (it) the implementation of Sections 1726 and 1781 of the Labor Code, as the same may be enacted, adopted or amended from time to time, or any other similar law; (iii) failure by Developer to provide any required disclosure, representation, statement, rebidding and/or identification which may he required by Labor Code Sections 1726 and 1781, as the same may be enacted, adopted or amended from time to time, or any other provision of law; (iv) failure by Developer to provide and maintain any and all bonds to secure the payment of contractors (including the payment of wages to workers performing any public work) which may be required by the Civil Code, labor Code Section 1781, as the same may be enacted, adopted or amended from time to time, or any other provision of law; and/or (v) failure by the Developer to obligate any party as may be required by Labor Code Sections 1726 and 1781, as the same may be 26 ',Documents and Settings\kareny I IF11S1)\LocalSetungs\Temporary Internet rids\O1_K 19f\UDA v2 doc v enacted, adopted or amended from time to time, or any other provision of law. It is agreed by the parties that, in connection with the development, construction (as defined by applicable law) and operation of the Improvements, including, without limitation, any public work (as defined by applicable law), Developer shall hear all risks of payment or non-payment of state prevailing wages and/or the implementation of I,abor Code Sections 1726 and 1781, as the same may be enacted, adopted or amended from time to time, and/or any other provision of law. "Increased costs" as used in this Section shall have the meaning ascribed to it in Labor Code Section 1781, as the same may be enacted, adopted or amended from time to time. The foregoing indemnity shall survive termination of. this Agreement and shall continue after recordation of the Release of Construction Covenants. 310.1 Nondiscrimination in Employment. Developer certifies and agrees that all persons employed or applying for employment by it, its affiliates, subsidiaries, or holding companies, and all subcontractors, bidders and vendors, are and will be treated equally by it without regard to, or because of race, color, religion, ancestry, national origin, sex, age, pregnancy, childbirth or related medical condition, medical condition (cancer related) or physical or mental disability, and in compliance with Title VII of the Civil Rights Act of 1964, 42 U.S.C. Section 2000, et seq.. the Federal Equal Pay Act of 1963, 29 U.S.C. Section 206(d), the Age Discrimination in Employment Act of 1967, 29 V.S.C. Section 621, et seq., the Immigration Reform and Control Act of 1986, 8 U.S.(.'. Section 1324b, et seq., 42 U.S.C. Section 1981, the California Fair Employment and l lousing Act, Cal. Government Code Section 12900, et seq., the California Equal Pay Law, Cal. Labor Code Section 1197.5, Cal. Government Code Section 1 1 135, the Americans with Disabilities Act, 42 U.S.C. Section 12101, et seq., and all other anti- discrimination laws and regulations of the United States and the State of California as they now exist or may hereafter be amended. Developer shall allow representatives of CDC access to its employment records related to this Agreement during regular business hours to verify compliance with these provisions when so requested by CDC. 310.2 _faxes and Assessments. After the Closing, Developer shall pay prior to delinquency all ad valorem real estate taxes and assessments on the Site. Developer shall remove or have removed any levy or attachment made after the Closing on any of the Site or any part thereof, or assure the satisfaction thereof within a reasonable time. Developer shall not apply for or receive any exemption from the payment of property taxes or assessments on any interest in or to the Site or the Improvements. If the "Perms and conditions of this Agreement are deemed to create a possessory interest in Developer such as to subject Developer to a Possessory Interest Tax pursuant to Revenue and "fax Code Section 107.6, then Developer shall be solely responsible for satisfying that obligation, and Developer shall not look to CDC or the City for reimbursement or set off. 310.3 Liens and Stop Notices. Developer shall not allow to be placed on the Site or any part thereof any lien or stop notice. If a claim of a lien or stop notice is given or recorded affecting the Improvements, Developer shall, within thirty (30) days of such recording or service or within five (5) days of Cl)C's demand, whichever last occurs: (a) pay and discharge the same; 27 \Documents and Settings\karcny IirHSDU.ucal Settings\lcmporary Internet cs\OLKI9F\.DDA v) doc (b) effect the release thereof by recording and delivering to CDC a surety bond in sufficient form and amount as approved by ('DC in its sole discretion; or (c) provide CDC with other assurance which CDC deems, in its sole discretion, to be satisfactory for the payment of such lien or bonded stop notice and for the full and continuous protection of CDC from the effect of such lien or bonded stop notice. 311. Completion of the Project. All of the Improvements shall be completed in accordance with the schedule attached hereto as Attachment 5. Failure to complete all of the Improvements in accordance with the schedule attached hereto as Attachment 5, shall be a default under the Developer Note entitling the (;I)C to exercise all of its rights and remedies, including without limitation foreclosure of the Developer Deed of Trust. 312. Release of Construction Covenants. Promptly after completion of the Improvements in conformity with this Agreement, CDC shall furnish Developer with a "Release of Construction Covenants," substantially in the form of Attachment No. 4 hereto, for the entire Site upon written request therefor by the Developer. The Agency shall not unreasonably withhold any such Release of Construction Covenants. The Release of Construction Covenants shall be a conclusive determination of satisfactory completion of the applicable portion of the Improvements and the Release of Construction Covenants shall so state. Any party then owning or thereafter purchasing, leasing or otherwise acquiring any interest in the Site shall not (because of such ownership, purchase, lease or acquisition) incur any obligation or liability under this Agreement except for those continuing covenants as set forth in Sections 401 through 406 of this Agreement. If CDC refuses or fails to furnish the Release of Construction Covenants, after written request from Developer, CDC shall, within thirty (30) days of written request therefor, provide Developer with a written statement of the reasons CDC refused or failed to furnish the Release of Construction Covenants or partial reconveyance. The statement shall also delineate the actions Developer must take to obtain the Release of Construction Covenants or partial reconveyance: The Release of Construction Covenants shall not constitute evidence of compliance with or satisfaction of any obligation of Developer to any holder of any mortgage, or any insurer of a mortgage securing money loaned to finance the Improvements, or any part thereof. The Release of Construction Covenants is not a notice of completion as referred to in Section 3093 of the California Civil Code. 313. Financing of -the Improvements. 313.1 No Encumbrances Except Mortg ges or Deeds of Trust. Mortgages and deeds of trust may be permitted prior to the issuance of a Release of Construction Covenants pursuant to Section 312 of this Agreement, only with CDC's prior written approval, and only for the purpose of securing loans of funds to he used for financing the acquisition of the Site, construction of the Improvements (including architecture, engineering, legal, and related direct costs as well as indirect costs) on or in connection with the Site, and any other purposes necessary and appropriate in connection with development under this Agreement. Developer 28 \Documents and Settings\kareny 11r1iSD11.ocal Seninp,s\Ternporary Internet les\OLK 19IADDA v2 doc shall notify CDC in advance of any mortgage or deed of trust, if Developer proposes to enter into the same before completion of the construction of the Improvements. Developer shall not enter into any such mortgage or deed of trust for financing without the prior written approval of CDC, which approval CI.)C agrees to give if any such mortgage or deed of trust for financing is given to a responsible financing lending institution or person or entity, as determined by CDC in its reasonable discretion. If CI)C shall disapprove any such evidence of financing, CDC shall do so by Notice to Developer stating the reasons for such disapproval and Developer may elect either to obtain and submit to CD(' new evidence of financing or to terminate this Agreement. (.'1:)C agrees that the Developer Deed of (rust shall he subordinated to any Construction Deed of Trust. such subordination shall be in a form acceptable to the CDC in its reasonable discretion. 313.2 Right of CDC to Cure Mortgage or Deed of Trust Default. In the event of a mortgage or deed of trust default or breach by Developer prior to the issuance of a Release of Construction Covenants pursuant to Section 312 of this Agreement, Developer shall immediately deliver to C.:DC a copy of any mortgage holder's notice of default. CDC shall have the right but not the obligation to cure the default. In such event, CDC shall be entitled to reimbursement from Developer of all costs and expenses incurred by CDC in curing such default, including without limitation attorneys' fees. 314. Administrative Requirements. Developer shall strictly comply with the administrative requirements contained within 24 CFR Section 92.50.5, including, but not limited to, the requirements of OMB Circular No. A-87 and the requirements of 24 CFR Part 85, Section 85.6, 85.12, 85.20, 85.22, 8526, 85.35, 85.36, 85.44, 85.51, and 85.52. Further, Developer covenants to comply with the OMB Circular No. A-122 and the applicable provisions of OMB Circular No. A-1 10. Copies of said OM13 Circulars arc our file in the offices of CDC and are available for inspection and copying by Developer. Developer further agrees that should the administrative requirements contained in Section 92.505 be amended and/or changed from time to time by HUD, that Developer will comply with the terms and conditions of sucli changed and/or amended administrative requirements. Developer hereby advises the CDC that Developer's IRS-990 forms and audits are completed on the basis of Developer's fiscal year, which is July 1 — June 30. 314.1 Records and Reports_ Developer shall supply CI)C, annually, on October 1st, of each year during the tern of this Agreement, for the Developer's fiscal year ending the immediately previous June 30, with such records and reports as are required and are requested by CDC to aid it in complying with the reports and record keeping provisions, terms and conditions of 24 CFR 92.508 and 92.509, as amended from time to time, and any and all other requirements of this Agreernent. The records and reports include, but are not limited to the following: (a) Amount of funds expended pursuant to this Agreement; (b) On -site inspection results; (c) Intentionally omitted; 29 Dcuments and Settings\kareny HI }iSD\Local Sett ings\temporary Internet .OLK19r1DDA v2.doc Developer: the Site; (4) Affirmative marketing records; (d) Insurance policies and notices; (c) Equal Employment Opportunity and Fair Housing records; (f) Labor costs and records; (g) An audited income and expense statement and balance sheets for (h) An audited income and expense statement and balance sheets for (i) Federal and State income tax returns for the calendar year, ending on the preceding December 31 si; (j) A report or reports, certifying compliance with the terms and provisions of the Section 3 requirements, as set forth in Section 314.8 of this Agreement and certifying compliance with the provisions of federal law as it relates to Section 3, whether or not specifically set forth in Section 314.8; and (j) Such other and further information and records as CDC shall reasonably request and/or MUD shall request in writing from Leveloper. 314.2 Federal and State_ Rcuirements. Developer represents, warrants and agrees that Developer will fully comply, during the term of this Agreement, with any and all HOME program requirements including, but not limited to the requirements of 24 CFR fart 92, 24 CFR Section 92.351 (Affirmative Marketing), 92.352 (Environmental Review), 92.353 (Displaccrrrent, Relocation and Acquisition Residential, Antidisplacement and Relocation Plan), 92.354 (Labor), 92.356 (Conflict of Interest), and 92.358 (Flood Insurance). Developer further warrants, represents and agrees that should said HOME program requirements be changed by HUD, from time to time, that Developer will comply with said changed and amended regulations. 314.3 Lead Based Paint. Developer represents and warrants that during the term of this Agreement that it will comply with each and every provision and requirement contained within CFR 92.355, as amended froni time to time, to the extent applicable. 314.4 Certification Concerning Debarment and --._Suspension. Developer represents, warrants and hereby certifies, pursuant to 24 CFR 92.357, that it will not use a contractor that has been debarred and or suspended, nor that is proposed for debarment, declared ineligible or voluntarily excluded from participation in construction of the Improvements. Developer agrees to execute such further certifications required by CDC and/or IIUI) including, 30 \Documents and Settins\kareny HI-HSD\Local Settings\l ernporary Internet ,t, cc nt K i onnl )n v2 do:. if necessary, that certification included as Appendix 13 of CFR Part 24, to verify the certification made in this Section 314.4. 314.5 Flood Insurance. Developer represents, warrants, and certifies, pursuant to 24 CFR 92.358, that no portion of the Site, is located within a Flood Plain or Flood Hazard Zone or Area, as indicated on a I'EMA Map; or that the Site is located within a community participating in the National Flood Insurance Program and Developer agrees to purchase and maintain flood insurance for the duration of the term of this Agreement. 31'1.6 lire Protection and_Satcty. Developer represents and warrants that it will comply \vial all requirements and regulations of the Fire Administration Act of 1992 and the Federal Fire and Prevention Control Act. Developer will use and install all fire and safety related equipment pursuant to the National Fire Protection Association standards. 314.7 Accessibility Standards. Developer represents and warrants that it will comply with all tderal, state and local requirements and regulations concerning access to the units by the disabled and handicapped persons, including, but not lirnited to, those requirements of the HOME Program_ 314.8 Section 3 Requirements. Developer shall comply with the following requirements during the term of the Agreement: (a) The work to be performed under this Agreement is subject to the requirements of section 3 of the !lousing and Urban Development Act of 1968, as amended, 12 U.S.C. § 1701 a (section 3). 1 he purpose of section 3 is to ensure that employment and other economic opportunities generated by 11U17 assistance or MUD -assisted projects covered by section 3; shall, to the greatest extent feasible, be directed to low- and very low-income persons, particularly persons who are recipients of 1.11J1) assistance for housing. (b) The parties to this Agreement agree to comply with I IUD's regulations in 2.4 CFR part 135, which implement section 3. As evidenced by their execution of this Agreement, the parties to this Agreement certify that they are under no contractual or other impediment that would prevent them from complying with the part 135 regulations. (c) Developer agrees to send to each labor organization or representative of workers with which Developer has a collective bargaining agreement or other understanding, if any, a notice advising the labor organization or workers' representative of Developer's commitments under this section 3 clause, arid will post copies of the notice in conspicuous places at the work site where both employees and applicants for training and employment positions can see the notice. The notice shall describe the section 3 preference; shall set forth minimum number and job titles subject to hire, availability of apprenticeship and training positions, and qualifications for each; and the name and location of the persons taking applications for each of the positions; and the anticipated date the work shall begin. 31 )ocurnents and Settings'. arenv 111 IS1)''1 n(al Settutpj\l rtnpotat), Internet \OLK 19F\DDA v? doe (d) Developer agrees to include this section 3 clause in every subcontract subject to compliance with regulations in 24 CFR part 135, and agrees to take appropriate action, as provided in an applicable provision of the subcontract or in this section 3 clause, upon a finding that the subcontractor is in violation of the regulations in 24 CFR part 135. Developer will not subcontract with any subcontractor where Developer has notice or knowledge that the subcontractor has been found in violation of the regulations in 24 CFR part 135. (e) Developer will certify that anv vac<uit employment positions, including, training positions, that are filled (I) after Developer is selected but before the contract is executed. and (2) with persons other than those to whom the regulations of 24 (1 R part 135 require employment opportunities to be directed. were not filled to circumvent Developer's obligations under 24 CFR part 135. (f) Noncompliance with 1-11.1I)'s regulations in 24 CFR part 135 may result in sanctions, termination of this Agreement for default, and debarment or suspension from future HUD assisted contracts. 314.9 Drug Free Workplace. Developer shall comply with all applicable State and Federal rules, laws and regulations to ensure a drug free workplace at all times during the term of this Agreement. Further, Developer shall incorporate such federal provisions as are required in each contract or subcontract that it enters into in connection with the Site. 314.10Lobbying Prohibition. Developer hereby certifies to CDC, under penalty of perjury, under the terms of applicable federal law, that at all applicable times before, during and after the term of this Agreement, that: (a) No Federal appropriated hinds have been paid or will he paid, by or on behalf of it, to any person for influencing or attempting to influence an officer or employee of Congress, or an employee of a Member of Congress in connection with the awarding of any Federal contract, the making of any Federal grant, the making of any Federal loan, the entering into of any cooperative agreement, and the extension, continuation. renewal, amendment, or modification of any Federal contract, grant, loan or cooperative agreement; (b) If any funds other than Federal appropriated funds have been paid to any person for influencing or attempting to influence an officer or employee of any agency, a Member of Congress, an officer or employee of Congress, or an employee of a Member of Congress in connection with this Federal contract, grant, loan or cooperative agreement, it will complete and submit Standard Form-LLL. "Disclosure Form to Report Lobbying." in accordance with its instructions; (c) Developer will require that the above stated language be included in the award documents for all subawards at all tiers, including subcontracts, subgrants, loans, contracts, and cooperative agreements concerning the subject matter of this Agreement; and 32 'Documents and Settings\kareny 1111ISD\Local Sett ings\Temporary Internet IesAOLK I91-11A )A v2 doc `e (d) Further, Developer and all subrecipients, at all times, shall certify compliance with the provisions of 31 U.S.C. § 1352 and any and all terms and conditions of the Byrd Anti -Lobbying Amendment, as amended from time to time. 400. Covenants and Restrictions. 401. Use in Accordance with Redevelopment Plan. Developer covenants and agrees for itself, its successors, assigns, and every successor in interest to the Site or any part thereof, that upon the Closing and during construction and thereafter, Developer shall devote the Site to the uses specified in thc Redevelopment Plan, Agreement Affecting Real Property and this Agreement for the periods of time specified herein. All uses conducted on the Site, including, without limitation, all activities undertaken by Developer pursuant to this Agreement, shall conform to the Redevelopment Plan and all applicable provisions of the City of National City Municipal Code. The foregoing covenants shall run with the land. Developer's obligations under this Section 401, shall terminate with respect to each Affordable Unit, upon the salt of such Affordable Unit, and shall cease with respect to the entire Site following the sale of all of thc Affordable Units, provided Developer is then not in possession of any portion of the Site. 402. Affordable Units. 402.1 Developer Covenants Concerning Affordable Units. Developer covenants and agrees that it will construct the three (3) Affordable Units. Developer further covenants and agrees that it will sell the Affordable Units only to Low Income Households for a total consideration that does not exceed the Maximum Purchase Price. 402.2 Timing. Completion of construction of the Affordable Units shall occur on or before September 30, 2010. 402.3 Execution and Recordation of the Resale Restriction. The closing of the sale of each Affordable Unit shall not occur, unless at least fifteen (15) days prior to closing escrow for the sale of such Affordable Unit Developer shall cause the buyer of such Affordable Unit to execute, acknowledge and deliver to CDC the: (a) First Time Homebuyer Note, (b) the Resale Restriction, (c) the deed of trust securing the First Time Homebuyer Note and the Resale Restriction, and (d) any other documents required by the CDC in its sole discretion. Developer shall then cause the Resale Restriction to be recorded in first lien priority position and cause the deed of trust securing the First Time Homebuyer Note and the Resale Restriction to be recorded thereafter. Notwithstanding the foregoing, the Resale Restriction and such deed of trust may be recorded in second lien priority position subordinate to the deed of trust securing financing provided by Developer to the purchaser. Under no circumstances shall Developer sell an Affordable Unit, unless the Resale Restriction and the deed of trust securing the First Time Homebuyer Note and the Resale Restriction have been recorded as an encumbrance against such Affordable Unit. 402.4 45-Year Affordability. The Resale Restriction shall ensure that the Affordable Unit will be sold and resold to Low Income Households for a period of forty-five (45) 33 C:U)ocuments and Settings\AlfredoY\I.ocal Settings\Temporary Internet Piles\OLK813\DDA v2 (2).doc years, rricasured from the date of the initial sale of the Affordable Unit to a Low income I lousehold as provided in the Resale Restriction. 402.5 No Sales to Related Parties. None of the Affordable Units shall be sold to: (i) any person that is an employee, officer, director, investor, shareholder, partner, member, manager or other principal of Developer, or any divisions, subsidiaries or affiliates of Developer or (ii) any person that is the spouse, mother, father, sister, brother, child, aunt, uncle, niece, nephew, stepchild, mother in-law, father in-law, brother in-law, sister in-law, ex -spouse, grandchild or grandparent of any employee, officer, director, investor, shareholder, partner, member, manager or other principal of Developer, or any parent companies. divisions, subsidiaries or affiliates of Developer. 402.6 CDC Consent to Sales. Developer shall not sell any Affordable Unit, unless and until, the CDC has consented in writing to all of the terms and conditions of such sale, including without 'limitation, the sales price of the Affordable 1.Jnit which amount shall not exceed the Maximum Purchase Price. 403. Maintenance Covenants. 'Ilrroughout the sales period, Developer shall maintain the Site and all improvements of any unsold Affordable Units thereon, including all landscaping, in compliance with the terms of the Redevelopment Plan and with all applicable provisions of the ('ity of National City Municipal (:ode. 404. Obligation to Refrain from Discrimination. 404.1 State and Federal Requirements. 1eveloper shall. at all tinges during the term of this Agreement, comply with all of the provisions of Section 24 CFR 92.351 and the affirmative marketing procedures adopted by CDC, including, but not limited to, all requirements and procedures referenced in said Section 24 CFR 92.351(1)), amended from time to time. Developer shall maintain records to verify compliance with the applicable affirmative marketing procedures and compliance. Such records are subject to inspection by CDC during regular business hours upon five (5) days written notice. Developer covenants by and for itself and any successors in interest that there shall be no discrimination against or segregation of, any person or group of persons on account of race, color, creed, religion, sex, sexual orientation, marital status, national origin, ancestry, familial status, source of income or disability in the sale, lease, sublease, transfer, use, occupancy, tenure or enjoyment of the Site, nor shall Developer or any person claiming under or through it establish or pennit any such practice or practices of discrimination or segregation of any person or group of persons on account of any basis listed in subdivision (a) or (d) of Section 12955 of the Government Code, as those bases are defined in Sections 12926, 12926.1, subdivision (m) and paragraph (1) of subdivision (p) of Section 12955, and Section 12955.2 of the Government Code, with reference to the selection, location, number, use or occupancy of tenants, lessees, subtenants, sublessees or vendees of the Site or the rental, lease sale of the Site and any dwelling unit thereon. The foregoing covenants shall run with the Site. 34 \Documents and Setimpaareny I-11-HSDU ()cal Semngs\Ternporary Interne) Ics\oi K I9FADDA v2 doc 404.2 Additional Requirements. Developer hereby agrees to comply with the Title VII of the Civil Rights Act of 1964, as amended, the California Fair Employment Practices Act, and any other applicable Federal and State laws and regulations. CI)C will provide technical assistance and copies of the referenced programs upon request pursuant to 24 CFR Section 92.350. 404.-1 Fair Housing Laws. All activities carried out by Developer and/or agents of Developer shall he in accordance with the requirements of the Federal Fair Housing Act. The Fair 'lousing Amendments Act of 1988 became effective on March 12, 1989. The Fair Housing Amendments Act of 1988 and Title VIiI of the Civil Rights Act of 1968, taken together, constitute the Fair I lousing Act. The Fair [lousing Act provides protection against the following discriminatory housing practices if they are based on race, sex, religion, color, handicap, familial status, or national origin: denying or refusing to rent housing, denying or refusing to sell housing, treating differently applicants for housing, treating residents differently in connection with terms and conditions, advertising a discriminatory housing preference or limitation, providing false information about the availability of housing, harassing, coercing or intimidating people from enjoying or exercising their rights under the Fair Housing Act, blockbusting for profit, persuading owner to sell or rent housing by telling them that people of a particular race, religion, etc. are moving into the neighborhood, imposing different terms for loans for purchasing, constructing, improving, repairing, or maintaining a home, or loans secured by housing; denying use or participation in real estate services, e.g., brokers' organizations, multiple listing services, etc. The Fair I lousing Act gives 1I11I) the authority to hold administrative hearings unless one of the parties elects to have the case heard in I.I.S. District Court and to issue subpoenas. Both civil and criminal penalties are provided. The Fair (lousing Act also provides protection for people with disabilities and proscribes those conditions under which senior citizen housing is exempt from the prohibitions based on familial status. The following State of California Laws also govern housing discrimination and shall he complied with by Developer: Fair Employment and Ilousing Act, Unruh Civil Rights Act of 1959, Ralph Civil Rights Act of 1976, and Civil Code Section 54.1. 405. Nondiscrimination Covenants. Developer shall refrain from restricting the rental, lease and sale of the Site and any dwelling unit thereon on the basis of race, color, creed, religion, sex, sexual orientation, marital status, national origin, ancestry, familial status, source of income or disability of any person. All such deeds, leases or contracts shall contain or be subject to substantially the following nondiscrimination or nonsegregation clauses: (a) Deeds. In deeds -The grantee herein covenants by and for itself, its successors and assigns, and all persons claiming under or through them, that there shall be no discrimination against or segregation of, any person or group of persons on account of race, color, religion, sex, sexual orientation, disability, medical condition, familial status, source of income, marital status, national origin or ancestry in the sale, lease, sublease, transfer, use, occupancy, tenure or enjoyment of the land herein conveyed, nor shall the grantee 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, 35 : \Documents and Settings\karcny Hri1SU\Local Settings\icmporary I,memrt Iles\OLK 19h'\DDA v2.doc subtenants, sublessees or vendees in the land herein conveyed. The foregoing covenants shall run with the land." (b) Leases. in leases "The lessee herein covenants by and for itself, its successors and assigns, and all persons claiming under or through them, and this lease is made and accepted upon and subject to the following conditions: That there shall be no discrimination against or segregation of any person or group of persons. on account of race, color, religion, sex_ sexual orientation, disability, medical condition, familial status, source of income, marital status, national origin or ancestry in the leasing, subleasing, renting, transferring, use, occupancy, tenure or enjoyment of the land herein leased, nor shall lessee itself, or any person claiming under or through it, establish or permit 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 land herein leased." (c) Contracts. In contracts"There shall be no discrimination against or segregation of any person or group of persons on account of race, color, religion, sex, sexual orientation, disability, medical condition, familial status, source of income, marital status, national origin or ancestry in the sale, lease, sublease, transfer, use, occupancy, tenure or enjoyment of the land, nor shall the transferee 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, subtenants, sublessees or vendees of the land." 406. Effect of Violation of the Terns and Provisions of this Agreement After Completion of Construction. CDC is deemed the beneficiary of the terms and provisions of this Agreement and of the covenants running with the land, for and in its own right and for the purposes of protecting the interests of the community and other parties, public or private, in whose favor and for whose benefit this Agreement and the covenants ruining with the land have been provided, without regard to whether CDC has been, remains or is an owner of any land or interest therein in the Site or in the Project. CDC shall have the right, if this Agreement or its covenants are breached, to exercise all rights and remedies, and to maintain any actions or suits at law or in equity or other proper proceedings to enforce the curing of such breaches to which it or any other beneficiaries of this Agreement and covenants may he entitled. 500. Defaults and Remedies. 501. Default Generally. Subject to the extensions of time set forth in Section 602 of this Agreement, failure by either party to perform any action or covenant required by this Agreement within the time periods provided herein following notice and failure to cure as described hereafter, constitutes a "Default" under this Agreement. A party claiming a Default shall give written notice of Default to the other party specifying the Default complained of. Lxcept as otherwise expressly provided in this Agreement, the claimant shall not institute any proceeding against any other party, and the other party shall not be in Default if such party within 36 \Documents and Settings\kareny firfiSD\i.ocal Settings\Temporary Internet v tor.lrlllA v r rinr thirty (30) days from receipt of such notice immediately, with due diligence, commences to cure, correct or remedy such failure or delay and shall complete such cure, correction or remedy with diligence. 502. Institution of Legal Actions. in addition to any other rights or remedies and subject to the restrictions otherwise set forth in this Agreement, either party may institute an action at law or equity to seek specific performance of the terms of this Agreement, or to cure, correct or remedy any Default, to recover damages for any Default, or to obtain any other remedy consistent with the purpose of this Agreement. Such legal actions must be instituted in the County of San Diego, State of California. in an appropriate court in that county, or in the District of the United States District Court in which such county is located. 503. Termination ly Developer. In the event that Developer is not in default under this Agreement and one or more of Developer's Conditions Precedent to the Closing is not fulfilled on or before the time set forth in the Schedule of Performance and such failure is not caused by Developer; or in the event any Default of CDC prior to the Closing is not cured within the time set forth in Section 501 hereof, or any such failure is not cured within the applicable time period after written demand by Developer, then this Agreement Inay, at the option of Developer be terminated by written notice thereof to CDC. From the date of the written notice of termination of this Agreement by Developer to CDC and thereafter this Agreement shall he terminated and there shall be no further rights or obligations between the parties, except that the parties may pursue any other remedies they may have hereunder. 504. :hermination by CD(_. In the event that CI)C is not in Default under this Agreement and prior to the issuance of the Release of Construction Covenants Developer (or any successor in interest) assigns or attempts to assign this Agreement or any rights therein or in the Site in violation of this Agreement; or one or more of CDC's Conditions Precedent to the Closing is not fulfilled on or before the time set forth in the Schedule of Performance and such failure is not caused by CDC; or Developer is otherwise in Default of this Agreement and fails to cure such Default within the time set forth in Section 501 hereof, then this Agreement and any rights of Developer or any assignee or transferee with respect to or arising out of the Agreerent or the Site, shall, at the option of CDC, be terminated by CDC by written notice thereof to Developer in addition to all other rights and remedies available to developer. From the date of the written notice of termination of this Agreement by CDC to Developer and thereafter this Agreement shall be terminated and there shall be no further rights or obligations between the parties, except that the parties may pursue any other remedies they may have hereunder. 505. Reentry and Revesting of Title in CDC After the Closing and Prior to Completion of Construction. 505.1 Right of Reentry. In additional to all other rights and remedies the CDC may have at law or in equity, the CDC has the right, at its election, to reenter and take possession of the Site, with all improvements thereon, and terminate and revest the Site in the CDC if after the Closing and prior to the issuance of the Release of Construction Covenants, Developer (or its �..- successors in interest): 37 )ocuments and Setttng,\kareny riFHSD\Local Settings\lernporary Interne! 3\OLKl9FU)DA v2 doc (a) fails to start the construction of the Improvements as required by this 'rdrt Agreement for a period of thirty (30) days after written notice thereof from CDC; or (h) abandons or substantially suspends construction of the Improvements required by this Agreement for a period of thirty (30) days after written notice thereof from CDC: or (c) transfers or suffers any involuntary transfer of the Site or any part thereof in violation of contrary to the provisions of Section 603 or any other section of this Agreement. 505.2 Limitations on Right of Reentry. Such right to reenter, terminate and revest shall he subject to and he limited by and shall not defeat, render invalid or limit: (a) Any mortgage or deed of trust permitted by this Agreement; or (h) Any rights or interests provided in this Agreement for the protection of the holders of such mortgages or deeds of trust. 505.3 Right of Reentry Referenced in Grant Deed. The Grant Deed shall contain appropriate reference and provision to give effect to CDC's rights as set forth in this Section 505, to reenter and take possession of the Site, witltall improvements thereon, and to terminate and revest in CDC the estate conveyed to Developer. 505.4 Resale Hy CDC After Revesting. Upon the reverting in CDC of title to the Site as provided in this Section 505, CDC shall, pursuant to_ its responsibilities under state law, use its reasonable efforts to resell the Site as soon and in such manner as CDC shall find feasible and consistent with the objectives of such law and of the Redevelopment Plan, as it exists or may be amended, to a qualified and responsible party or parties (as determined by CDC) who will assume the obligation of making or completing the improvements, or such improvements in their stead as shall be satisfactory to CDC and in accordance with the uses specified for the Site or part thereof in the Redevelopment Plan. 505.5 Application of Resale Proceeds. Upon such resale of the Site by CDC, the net proceeds thereof after repayment of any mortgage or deed of trust encumbering the Site which is permitted by this Agreement, shall be applied: (a) First, to reimburse CI)C, on its own behalf or on behalf of the City, all costs and expenses incurred by CDC or the City, including, but not limited to: any expenditures by CDC or the City in connection with the recapture, management and resale of the Site or part thereof (hut less any income derived by CDC or the City from the Site or part thereof in connection with such management); all taxes, assessments and water or sewer charges with respect to the Site or part thereof which Developer has not paid (or, in the event that Site is exempt from taxation or assessment of such charges 38 \r)ocuments and Settings\kareny IIFHSD\L.ocal Settings\ I ernporary Internet dcc\OI.K I9F\DDA v2 doc `,. during the period of ownership thereof by CDC, an amount, if paid, equal to such taxes, assessments, or charges as would have been payable if the Site were not so exempt); any payments made or necessary to be made to discharge any encumbrances or liens existing on the Site or part thereof at the time of revesting of title thereto in CI)C, or to discharge or prevent from attaching or being made any subsequent encumbrances or liens due to obligations, defaults or acts of Developer, its successors or transferees; any expenditures made or obligations incurred with respect to the making or completion of the improvements or any part thereof on the Site, or part thereof; and any amounts otherwise owing ('f)C, and in the event thereafter t.ivailable; and (h) Second, to reimburse Developer, its successor or transferee, up to the amount equal to the sum of (i) the costs incurred for the acquisition and development of the Site and for the improvements existing on the Site at the time of the reentry and possession, less (ii) any gains or income withdrawn or made by Developer from the Site or the improvements thereon. Notwithstanding the foregoing or anything to the contrary contained herein, to the extent the reimbursement of the net proceeds set forth above is not allowed under any HUD regulation(s), the parties agree that the parties shall be reimbursed in a manner that conforms with the HUD regulations. Any balance rernaining after such reimbursements shall be retained by CDC as its property. The rights established in this Section 505 are not intended to be exclusive of any other right, power or remedy, but each and every such right, power, and remedy shall be cumulative and concurrent and shall be in addition to any other right, power and remedy authorized herein or now or hereafter existing at law or in equity. The rights are to be interpreted in light of the fact that CDC will have conveyed the Site to Developer for redevelopment purposes, particularly for development of the Project and not for speculation. 506. Acceptance of Service of Process. In the event that any legal action is commenced by Developer against CDC, service of process on CDC shall be made by personal service upon the Executive Director of CDC or in such other manner as may be provided by law. In the event that any legal action is commenced by CDC against Developer, service of process on Developer shall be made by personal service upon Developer or in such other manner as may be provided by law. 507. Rights and Remedies are Cumulative. Except as otherwise expressly stated in this Agreement, the rights and remedies of the parties 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 any other default by the other party. 508. Inaction Not a Waiver of Default. Any failures or delays by either party in asserting any of its rights and remedies as to any Default shall not operate as a waiver of any Default or of any such rights or rernedies, or deprive either such party of its right to institute and maintain any actions or proceedings which it may deem necessary to protect, assert or enforce any such rights or rernedies shall govern the interpretation arid enforcement of this Agreement. 39 \Documents and Settings\kareny HPHSO\Local Settings\lemporary Internet les\OLK 19F\DDA v2 doc 600. General Provisions. 601. Notices, Demands and Communications Between. the Parties. Any approval, disapproval, demand, document or other notice ("Notice") which either party may desire to give to the other party under this Agreement must be in writing and may be given by any commercially acceptable means to the party to whom the Notice is directed at the address of the party as set forth below, or at any other address as that party may later designate by Notice. 10 (.1)C To Developer: Community Development Commission of the (-:ity of -National ('ity 1243 National City Boulevard National City, CA 91950-4397 Attention: Executive Director San Diego I labitat for 1lumanity, Inc. 10222.San Diego Mission Road San Diego, CA 92108 Attention: Executive Director Any written notice, demand or communication shall be deemed received immediately if delivered by hand and shall be deemed received on the third day from the date it is postmarked if delivered by registered or certified mail. 602. Enforced Delay; Extension of Times of Performance. In addition to specific provisions of this Agreement, performance by either party hereunder shall not be deemed to he in Default, and all perforrnancc and other dates specified in this Agreement shall be extended, where delays or Defaults are due to: war; insurrection; strikes; lockouts; riots; floods; earthquakes; fires; casualties; acts of God; acts of the public enemy; epidemics: quarantine restrictions; freight embargoes; lack of transportation; governmental restrictions or priority; litigation; unusually severe weather; acts or omissions of the other party; or any other causes beyond the control and without the fault of the party claiming an extension of time to perform. Notwithstanding anything to the contrary in this Agreement, an extension of time for any such cause shall be for the period of the delay and shall commence to run from the time of the commencement of the cause, if notice by the party claiming such extension is sent to the other party within five (5) days of the commencement of the cause. Times of performance under this Agreement may also he extended in writing by the mutual agreement of Executive Director of the CDC and I.)eveloper. 603 Transfers of Interest in Site or Agreement. 603.1 Prohibition. The qualifications and identity of Developer are of particular concern to CDC. It is because of those qualifications and identity that Cf )C has entered into this Agreement with Developer. For the period commencing upon the date of this Agreement and until all Units are sold, no voluntary or involuntary successor in interest of Developer shall acquire any rights or powers under this Agreement, nor shall Developer make any total or partial 40 \Documents and Scttings\karcny HFHSD'd ocal Settings\Temporary Internet iles101..K 19F'DDA v2 doc INOW sale, transfer, conveyance, assignment, subdivision, refinancing or lease of the whole or any part of the Site or the Improvements thereon without prior written approval of CDC, except as expressly set forth herein. Any proposed total or partial sale, transfer, conveyance, assignment, subdivision, refinancing or lease of the whole or any part of the Site or the improvements, other than those permitted in Section 603.2, will entitle CDC to its right of reentry and revesting as set forth in Section 505 hereof. For the reasons cited above, Developer represents and agrees for itself, each member and any successor in interest of itself and each member that prior to issuance by City of a Certificate of Completion and without the prior written approval of CDC, there shall be no significant change in the ownership of Developer or in the relative proportions thereof, or with respect to the identity of the parties in control of Developer or the degree thereof, by any method or means. Developer shall promptly notify CDC of any and all changes whatsoever in the identity of the parties in control of Developer or the degree thereof, of which it or any of its officers have been notified or otherwise have knowledge or information. This Agreement may be terminated by CDC if there is any significant change (voluntary or involuntary) in membership, management or control, of Developer or its associates (other than such changes occasioned by the death or incapacity of any individual prior to issuance of a Certificate of Completion). 603.2 Permitted 'Transfers. Notwithstanding any other provision of this Agreement to the contrary, (DC approval of an assignment of this Agreement or conveyance of the Site or Improvements, or any part thereof, will be granted in connection with any of the following, subject to CDC and 1)eveloper executing appropriate documents of transfer- which contain any exceptions or reservation of rights permitted under this Agreement: (a) Any transfers to an entity or entities in which Developer retains a minimum fifty-one percent (5 1 %) of the ownership and beneficial interest and retains management and control of the transferee entity or entities. (b) "Hie conveyance or dedication of any portion of the Site to the City or other appropriate governmental agency, or the granting of easements or permits to facilitate construction of the Improvements (as defined herein). (c) Any requested assignment for financing purposes (subject to such financing being approved by CDC), including the grant of a deed of trust to secure the funds necessary for construction of the Improvements. (d) Any sale of the Affordable Units as provided herein. In the event of any assignment by Developer under subparagraphs (a) through (c), inclusive, above, not requiring C'l)C's prior approval, Developer nevertheless agrees that at least thirty (30) days prior to such assignment it shall give written notice to CDC of such assignment and satisfactory evidence that the assignee has assumed jointly with Developer the obligations of this Agreement. 4I \Documents and Seutnps\kaieny itFFISUu.ocal ScttmysViernporary Internet Ies\OLK 19F\DUA v7 doe: 603.3 Successors and Assigns. All of the terms, covenants and conditions of this Agreement shall he binding upon Developer and its permitted successors and assigns. Whenever the terns "Developer" is used in this Agreement, such term shall include any other permitted successors and assigns as herein provided. 603.4 Assignment by CI)C. CDC may assign or transfer this Agreement in its entirety, or any of its rights or obligations hereunder. 604. Non -Liability of Officials and Employees of CDC. No member, official or employee of CDC or the City of National City shall be personally liable to Developer, or any successor in interest, in the event of any Default or breach of this Agreement or for any amount which may become due to Developer or its successors, or on any obligations under the terns of this Agreement. 605. Relationship Between CI)C and Developer. It is hereby acknowledged that the relationship between CI)C and Developer is that of independent contractors and not that of a partnership or joint venture and that CI)C and Developer shall not he deemed or construed for any purpose to be the agent of the other. Accordingly, except as expressly provided herein or in the Attachments hereto. ('I)C shall have no rights, powers, duties or obligations with respect to the operation, maintenance or management of the Improvements. Developer agrees to indemnify, hold harmless and defend CDC from any claim made against CDC arising from a claimed relationship of partnership or joint venture between CDC and Developer with respect to the period of development through the sale of the units on the Site or the Improvements. 606. CDC Approvals and Actions. Whenever a reference is made herein to an action or approval to be undertaken by CDC, the Executive Director of CDC or his or her designee is authorized to act on behalf of CI)C unless specifically provided otherwise or the context should require otherwise. 607. Counterparts. This Agreement may be signed in multiple counterparts which, when signed by all parties, shall constitute a binding agreement. 608. Integration. This Agreement contains the entire understanding between the parties relating to the subject matter of this Agreement. All prior or contemporaneous agreements, understandings, representations and statements, oral and written, are merged in this Agreement and shall be of no further force or effect. Each party is entering this Agreement based solely upon the representations set forth herein and upon each parry's own independent investigation of any and all facts such party deems material. All exhibits and attachments referred to in this Agreement are hereby incorporated in this Agreement by this reference, regardless of whether or not the exhibits are actually attached to this Agreement. The Recitals to this Agreement are hereby incorporated in this Agreement by this reference. 609. No Real Estate Brokerage Commissions. ('DC and Developer each represent and warrant to the other that no broker or finder is entitled to any commission or finder's fee in Iwo 42 Documents and Scttrng\karenv HI:IISIYd.ocal Seaunes\temporary Internet te Iunnna v2 doe cormection with Developer's acquisition of the Site from CI)C. 1 he parties agree to defend and hold harmless the other party frorn any claim to any such commission or fee from any broker, agent or finder with respect to this Agreement which is payable by such party. With respect to the sale of individual units. however, Developer may employ brokers at its discretion. 610. Attorneys' Fees. The parties agree that the prevailing party in litigation for the breach and/or interpretation and/or enforcement of the terms of this Agreement shall be entitled to their expert witness fees, if any, as part of their costs of suit, and reasonable attorneys' fees as may be awarded by the court, pursuant to California Code of Civil Procedure ("CCP") Section 1033.5 and any other applicable provisions of California law, including, without limitation, the provisions of ('('P Section 998. 611. _l itl_es_and Captions. Titles and captions arc for convenience of reference only and do not define, describe or limit the scope or the intent of this Agreement or of any of its terms. References to section numbers are to sections in this Agreement, unless expressly stated otherwise. 612. Interpretation. As used in this Agreement, masculine, feminine or neuter gender and the singular or plural number shall be deemed to include the others where and when the context so dictates. The word "including" shall be construed as if followed by the words "without limitation." This Agreement shall be interpreted as though prepared jointly by both parties. 613. No__ Waiver. A waiver by either party of a breach of any of the covenants, conditions or agreements under this Agreement to be performed by the other party shall not be construed as a waiver of any succeeding breach of the same or other covenants, agreements, restrictions or conditions of this Agreement. 614. Modifications. Any alteration, change or modification of or to this Agreement, in order to become effective, shall be made in writing and in each instance signed on behalf of each party. 615. Severability. If any term, provision, condition or covenant of this Agreement or its application to any party or circumstances shall be held, to any extent, invalid or unenforceable, the remainder of this Agreement, or the application of the term, provision, condition or covenant to persons or circumstances other than those as to whom or which it is held invalid or unenforceable, shall not be affected, and shall be valid and enforceable to the fullest extent permitted by law. 616. Computation of Time. The time in which any act is to be done under this Agreement is computed by excluding the first day (such as the day escrow opens), and including the last day, unless the last day is a holiday or Saturday or Sunday, and then that day is also excluded. The term "holiday" shall mean all holidays as specified in Section 6700 and 6701 of the California Government Code. If any act is to be done by a particular time during a day, that time shall be Pacific Time /one time. 43 \Documents and Sertingskicareny ocal Settings\Icrnporary lntcrnet ►es\OLK 19F\DDA v2 doe 617. 1,egal Advice. Each party represents and warrants to the other the following: they have carefully read this Agreement, and in signing this Agreement, they do so with full knowledge of any right which they may have; they have received independent legal advice from their respective legal counsel as to the matters set forth in this Agreeinent, or have knowingly chosen not to consult legal counsel as to the matters set forth in this Agreeinent; and, they have freely signed this Agreement without any reliance upon any agreement, promise, statement or representation by or on behalf of the other party, or their respective agents, employees, or attorneys, except as specifically set forth in this Agreement, and without duress or coercion, vvhetlrcr economic or otherwise. 618. Time o1_ Essence. Time is expressly made of the essence with respect to the performance by ('D(' and Developer of each and every obligation and condition of this Agreement. 619. Cooperation. Each party agrees to cooperate with the other in this tiansactioir and, in that regard, to sign any and all documents which may be reasonably necessary, helpful, or appropriate to carry out the purposes and intent of this Agreement including, but not limited to, releases or additional agreements. 620. Conflicts of Interest. No member, official or employee of CI)(' shall have any personal interest, direct or indirect, in this Agreement, nor shall any such rneniber, official or employee participate in any decision relating to the Agreement which affects his personal interests or the interests of any corporation, partnership or association in which he is directly or indirectly interested. 621. Exhibits. Attachments and Recitals Incorporated. All exhibits and attachments referred to in this Agreeinent are hereby incorporated in this Agreeinent by this reference, regardless of whether or not the exhibits are actually attached to this Agreement. The recitals to this Agreement are hereby incorporated in this Agreeinent by this reference. 622. Applicable Law. The laws of the State of Calilornia shall govern the interpretation and enforcement of this Agreeinent. 623. Authority to Sign. All individuals signing this Agreement for a party which is a corporation, limited liability company, partnership or other legal entity, or signing under- a power of attorney, or as a trustee, guardian, conservator, or in any other legal capacity, covenant to the CDC that they have the necessary capacity and authority t.o act for. sign and hind the respective entity or principal on whose behalf they are signing. IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed as of the date first written above. vary (:'DC: Community Development Commission of the City of National City •N// 44 \Documents and Sctiing5\kareny HF liSDU.ocal Settings\Temporary Internet ilcs\0LK19F\DDA v2 doe By: Print Name: Its: APPROVED AS TO N'OR\4: Walter Spath III Special Counsel to CDC DEVELOPER: San Diego Habitat for Humanity, Inc., a California nonprofit corporation I3y:� A Print NameiV Its: By: Print Name: Its: CONSENT OF ESCROW AGENT The undersigned Escrow Agent hereby agree to (i) accept the foregoing Agreement, (ii) be Escrow Agent under said Agreement and (iii) be bound by said Agreement in the performance of its duties as Escrow Agent; provided, however, the undersigned shall have no obligation or liability or responsibility under (a) this Consent or otherwise unless and until said Agreement is fully signed by the parties and has been delivered to the undersigned or (b) any amendment to said Agreement unless and until the same shall be accepted by the undersigned in writing. Dated: . 2009 By. Print Name: Its: Title Company NIS 46 :\Documents and Settings\kareny.IlFIISD\Local Settings\Temporary Internet Attachment No. 1 Developer Note Nviase 47 ':\Docurnents and Settings\kareny HFHSDVLocal Settings\Temporary Internet DO NOT DESTROY THIS NOTE: WHEN PAID, THIS NOTE AND THE DEED OF TRUST SECURING IT MUST BE SURRENDERED TO TRUSTEE FOR CANCELLATION BEFORE RECONVEYANCF WILL BE MADE. NOTE SECURED BY DEED OF TRUST ("Developer Note") (1441 Harding Avenue) National City, California _ _ , 2009 1. Principal No Interest Except Upon Default. For value received and in consideration of the Development and Disposition Agreement dated , 2009 ("DDA"), by and between the Community Development Commission of the City of National City ("CDC") and San Diego Habitat for I lumanity, Inc., a California nonprofit corporation ("Maker"), Maker promises to pay to CDC, or order, at 1243 National City Boulevard, National City, Cali fbrnia 91950-4397, or such other place as the holder may from time to time designate by written notice to Maker, the principal sum of Two Hundred Seventy -Two Thousand One hundred Nineteen and No/100 Dollars ($272,119.00), or so much as is advanced. No interest shall be charged hereunder, except in the event of a default by Maker, in which case interest shall be deemed to have accrued beginning on the date first set forth above at the rate of 10% simple interest per annum or the maximum rate than allowed by law, whichever is less. This Note is issued pursuant to: (i) the DI)A; (ii) the Deed of Trust (the "Deed of Trust") being executed concurrently herewith by Maker in favor of the CDC, to he recorded in the office of the County Recorder of San Diego County; and (iii) the Agreement Affecting Real Property (the "AARP") being executed concurrently herewith by Maker and the CDC, to be recorded in the office of the County Recorder of San Diego County. All capitalized terms which are not defined herein shall have the meaning ascribed to them in the DDA. 2. Terms. (a) Term of Loan; Forgiveness. Upon the timely completion of the Affordable Units in accordance with the DDA, this Developer Note will he partially forgiven and the remaining balance will convert to first-time homebuyer loans to Low -Income Households to assist those Low -Income Households with the purchase of Affordable Units, as follows: (1) Upon the closing of the sale of each Affordable Unit, as defined in the DDA, the purchaser of such Affordable Unit shall execute a First -Time I-lomebuyer Note in a form approved by the CDC in an amount equal to the sum of: (i) the Single Family Mortgage Limit for the County of San Diego under Section 203(b) of the National Housing Act (12 U.S.C. § 1709(b)) or any other limitation then provided by Code of Federal Regulations §92.254(a) or any successor law or regulation; less (ii) the Maximum Purchase Price, as defined in the DDA. In the event the foregoing calculation results in an amount equal to zero or a negative number, then the requirement that the 1 *.— • A c,...: ,, n iG ,t„t I ,I e....: .. \Tr.,,.,.e Internet Fib-,Vll KRR\nevekOoer Note vl .doc purchaser of the Affordable Unit execute a First -Time flomebuyer Note as set forth herein, shall be null and void. (2) Any amount of this Developer Note that is not assumed by the purchasers of the Affordable Units as set forth in Section 2(a)(1), above, shall be forgiven in its entirety. (h) No Prepayments. This Note may not be prepaid in whole or in part. (c) No Transfers Without CDC Consent. Should the undersigned sell, convey, transfer, further encumber, or dispose of the real property described in the Deed of Trust ("Property"), or any part of it, or any interest in it, without first obtaining the written consent of CDC, or the then holder of this Developer Note, then all obligations secured by this Developer Note may be declared due and payable, at the option of CDC, or the then holder of this Developer Note, as provided in Section 4, below. CDC reserves the right to approve all sales, transfers, conveyances, additional encumbrances, or dispositions of the Property. Consent to one transaction of this type will not constitute a waiver of the right to require consent to future or successive transactions. If such a sale, transfer, further encumbrance, disposition, conveyance or transfer is approved by CDC, then upon the sale, transfer, further encumbrance, conveyance, transfer all accrued but unpaid interest on this Developer Note shall he paid to CDC, at CDC's option. 3. Security for Note. This Note is secured by the Deed of Trust of even date herewith executed by Maker, which creates a lien on the Property. The CDC shall partially reconvey the Deed of Trust as provided therein. 4. Acceleration Upon Default. Notwithstanding Section 2(a), above, or anything contained herein to the contrary, in the event of any default in the performance of any of the terms, covenants and conditions contained in: (i) this Developer Note, the DDA, AARP or Deed of Trust, including without limitation the failure by Maker to complete all of the Improvements, as defined in the DDA, on or before 200 ; (ii) any other instrument executed by the Maker in conjunction with this Developer Note; (iii) any prior or junior note secured by an encumbrance on the Property or any portion of it; or (iv) in the event of the filing of a Bankruptcy proceeding by or against Maker, then (a) at the option of the CDC the Property shall revert hack to the CDC; (b) all sums owing by Maker to the CDC shall at the option of CDC inunediately become due and payable; (c) CDC shall have no obligation to disburse any further funds to Maker or any other person: and (d) CDC shall be released from any and all obligations to Maker under the terms of this Developer Note. These remedies shall he in addition to any and all other rights and remedies available to CDC, either at law or in equity. Further, default interest shall accrue on the principal balance of this Developer Note from the date of this Developer Note at the rate of ten percent (10%) simple interest per annum or the maximum rate than allowed by law, whichever is less. Failure to exercise such option shall not constitute a waiver of the right to exercise it in the event of any subsequent default. 5. Costs Paid by Maker. Maker agrees to pay the following costs, expenses, and attorneys' fces paid or incurred by the holder of this Developer Note, or adjudged by a court: (a) reasonable costs of collection, costs, and expenses, and attorneys' fees paid or incurred in connection with the collection or enforcement of this Developer Note, whether or not suit is filed; and (b) costs of suit and such 2 C.\Documents and Senings\AltredoY\L.ocal Settings\Ternporary Internet Files\O1_K8B11)evcloper Note vl.doc sum as the court may adjudge as attorneys' fees in any action to enforce payment of this Developer Note or any part of it. 6. Payment and Interest Calculation. Principal and interest shall be payable in lawful money of the United States of America. Interest shall be computed based on a 360-day year and 30-day month and the actual number of days elapsed. Payments shall be applied to interest first and then to any unpaid principal balance. 7. Incorporation of Documents. "I'he provisions of the DDA, AARP and Deed of Trust are expressly incorporated in this Developer Note by this reference. 8. Waiver. Maker hereby waives diligence, presentment, protest and demand, notice ofprotest, dishonor and nonpayment of this Developer Note, and expressly agrees that, without in any way affecting the liability of Maker hereunder, CDC may extend any maturity date or the time for payment of any installment due hereunder, accept additional security, release any party liable hereunder and release any security now or hereafter securing this Developer Note. Maker further waives, to the full extent permitted by law, the right to plead any and all statutes of limitations as a defense to any demand on this Developer Note, or on any deed of trust, security agreement, guaranty or other agreement now or hereafter securing this Developer Note. 9. Recourse. (a) This Note is recourse to Maker. (b) Maker shall indemnify, defend, protect and hold CDC harmless from and against any and all loss, damage, liability, action, cause of action, cost or expense (including, without limitation, reasonable attorneys' fees and expenses) incurred by CDC as a result of any (i) fraud or material misrepresentation under or in connection with the Loan or any Loan Document; (ii) intentional had faith waste of the Property; (iii) losses resulting from Maker's failure to maintain insurance as required under the Deed of Trust; and (iv) misapplication of any rents, security deposits, insurance proceeds, condemnation awards or any other proceeds derived from the collateral security in a manner prohibited by the DDA, Deed of Trust or AARP. CDC shall promptly provide Maker with written notice of any event for which Maker has an indemnification obligation as provided in this Paragraph 9(b). 10. Late Charge. In addition to the foregoing, if any installment due hereunder, is not paid within fifteen (15) days from the date due, Maker promises to pay a "late charge" of five percent (5%) of the installment so overdue to defray the expense incident to handling any such delinquent payment or payments. 11. Severability. If any provision of this Developer Note is determined to be void by court of competent jurisdiction, such determination shall not affect any other provision of this Developer Note, and such other provisions shall remain in full force and effect. 12. Non -Waiver. No delay in demanding or failure to demand performance hereunder shall 3 C:\Documents and Settings\AlfredoYU.ocal Settings\Tempora y Internet riles\OI.K8B\Developer Note vl .doc '�.. constitute a waiver by holding of its right to subsequently demand such performance or to exercise any remedies for any default hereunder. Further, in order to be effective, any waiver of any of CDC's rights and remedies hereunder shall be expressed in a writing sired by CDC. Further waiver by CDC of any right hereunder shall not constitute a waiver of any other right, including but not limited to the right to exercise any and all remedies for a different or subsequent event of default hereunder. l 3. Replacement Note. The undersigned agrees that, in the event that this Developer Note shall become lost or stolen, upon request of CDC, the undersigned shall execute a replacement Note incorporating the terms hereof, provided that CDC shall furnish a written agreement to indemnify the undersigned against all losses, costs, and damages arising from a duplicative demand for payment under this Developer Note. 14. Interpretation. This Note shall be governed and interpreted in accordance with applicable California law. Maker: San Diego Habitat for Humanity, Inc., a California nonprofit corporation By: Print Name: Its: By: — -- Print Name: Its: 4 C:\Documents and Settings\AlfredoY\1 ocal Settings\Temporary Internet files\C)I.KSB\Developer Note vl .doc Attachment No. 2 Developer Deed of Trust 48 C \Documents and Scttings\kareny.}WFHSD\Local Settings\Temporary Internet L Nero Recording Requested By: Community Development Commission of the City of National City 1243 National City Boulevard National City, CA 91950-4397 And When Recorded Mail To: Community Development Commission of the City of National City 1243 National City Boulevard National City, CA 91950-4.397 This document is exempt from the payment of a recording fee pursuant to Government Code Section 6103. DEED OF TRUST (1441 Harding Avenue) THIS DEED OF TRUST is made this day of _ __ 2009, between San Diego Habitat for humanity, Inc., a California nonprofit corporation, whose address is 10222 San Diego Mission Road, San Diego, CA 92108 ("Trustor"), Stewart Title Company ("Trustee"); and the Community Development Commission of the City of National City ("Beneficiary"), whose address is 1243 National City Boulevard, National City, California 91950-4397; TRUSTOR IIEREBY irrevocably grants, transfers, and assigns to Trustee, in trust, with power of sale, all that property in the City of National City, CountyofSan Diego, State ofCalifornia, described as: (See Legal Description - Exhibit "A") FOR THE PURPOSE OF SECURING: (a) Payment of the indebtedness evidenced by that certain Promissory Note of even date herewith executed by Trustor, in the principal sum of Two I lundred Seventy -Two Thousand One Hundred Nineteen and No/100 Dollars ($272,119.00), and any renewal, extension, or modification of the promissory note (the "Note"); (b) Any additional sums and interest that may hereafter be loaned to the then record owner of the Property by Beneficiary, when evidenced by another note or notes reciting that it or they are so secured; (c) That certain Development and Disposition Agreement of even date herewith executed by Trustor and Beneficiary, and any renewal, amendment, extension, or modification of the `\.' Development and Disposition Agreement (the "DDA"); 1 C \Documents and Settings\AlfredoYtf ocal Settingsvlernporary Internet Fries \OI.K8B\Developer Deed of Trust vl.doc (d) That certain Agreement Affecting Real Property of even date herewith executed by Trustor and Beneficiary, and any renewal, amendment, extension, or modification of the Agreement Affecting Real Property (the "AARP"); (e) The performance of each agreement contained in this Deed of Trust. A. TO PROTECT THE SECURITY OF THIS DEED OF TRUST, TRUSTOR AGREES: 1. Maintenance and Repair. To keep the Property in good condition and repair; to pay when due all claims for labor performed and materials furnished for the Property; to comply with all laws affecting the Property or requiring any alterations or improvements to be made on the Property; not to commit or permit waste of the Property; not to commit, suffer, or permit any act upon the Property in violation of law; and to cultivate, maintain the landscaping, and do all other acts that from the character or use of the Property may be reasonably necessary. 2. Fire Insurance. To provide, maintain, and deliver to Beneficiary fire insurance satisfactory to and with loss payable to Beneficiary as its interest may appear. The amount collected under any fire or other insurance policy may be applied by Beneficiary upon any indebtedness secured by this Deed of Trust and in any order determined by Beneficiary, or at the option of Beneficiary the entire amount so collected or any part of that amount maybe released to Trustor, except that if the proceeds of the award for any taking or injury to the Property or the amount of such proceeds plus funds provided by Trustor is sufficient to allow for the repair and restoration of the Property and such repair and/or restoration is physically and legally possible, then the Trustor shall use the proceeds of the award to timely effectuate such repair and/or restoration. Upon receipt of such proceeds, Beneficiary may hold the proceeds as further security, or apply or release them in the same manner and with the same effect as provided in this Deed of Trust for the disposition of proceeds of fire or other insurance. This application or release shall not cure or waive any default or notice of default under this Deed of Trust or invalidate any act done pursuant to such a notice. 3. Defense of Security. To appear in and defend any action or proceeding purporting to affect the security of this Deed of Trust or the rights or powers of Beneficiary or Trustee; and to pay all costs and expenses, including cost of evidence of title and attorneys' fees in a reasonable sum, in any such action or proceeding in which Beneficiary or Trustee may appear, and in any suit brought by Beneficiary to foreclose this Deed of Trust. 4. Payment of Liens and Taxes. To pay, at least ten (10) days before delinquency, all taxes and assessments affecting the Property, including assessments on appurtenant water stock, all encumbrances, charges, and liens, with interest, on the Property or any part of the Property, which appear to he prior or superior to this Deed of Trust; and all costs, fees, and expenses of this Trust. If Trustor fails to make any payment or to do any act as provided in this Deed of Trust, then Beneficiary or Trustee may (but is not obligated to) make the payment or do the act in the required manner and to the extent deemed necessary by Beneficiary or Trustee to protect the security of this Deed of Trust. The performance by Beneficiary or Trustee of such an act shall not require notice to or demand upon Trustor and shall not release Trustor from any obligation under this Deed of Trust. Beneficiary or Trustee shall also have the following related rights and powers: to enter upon the 2 !• tnnr„men tc and Settinws\AlfredoY\I.ocal Settings \Temporary Internet Files\O1.K8B`.Developer Deed of Trust vl doe `Iftime Property for the foregoing purposes; to appear in and defend any action or proceeding purporting to affect the security of this Deed of Trust or the rights or powers of Beneficiary or Trustee; to pay, purchase, contest, or compromise any encumbrance, charge, or lien that in the judgment of either appears to be prior or superior to this Deed of Trust; to employ counsel; and to pay necessary expenses and costs, including attorneys' fees. Name 5. Reimbursement of Costs. To pay immediately and without demand all sums expended by Beneficiary or Tnlstee pursuant to this Deed of Trust, with interest from date of expenditure at the amount allowed by law in effect at the date of this Deed of Trust, and to pay any reasonable amount demanded by Beneficiary (up to the maximum allowed by law at the time of the demand) for any beneficiary statement requested by Tnistor or any other beneficiary ofa Deed of Trust encumbering the Property regarding the obligation secured by this Deed of Trust. 6. Use. That Tnistor will not permit or suffer the use of any of the Property for any purpose other than the use for which the same was intended at the time this Deed of Trust was executed. 7. Incorporation of DDA and AARP. That the DDA and AARP are incorporated herein by reference and made a part of this Decd of Trust. 8. Performance of Other Obligations. To perform, in a timely manner, each agreement and covenant by and between Trustor on any and all notes, loans and deeds of trust that arc senior and/or junior to this Deed of Tnist. A default in any of these obligations, beyond any applicable cure period, shall constitute a default under this Deed of Trust. B. THE PARTIES AGREE THAT: 9. Waiver of Late Payments. By accepting payment of any sum secured by this Deed of "Trust after its due date, Beneficiary does not waive its right either to require prompt payment when due of all other sums so secured or to declare default for failure to pay any indebtedness secured by this Deed of Trust. 10. Trustee's Powers. Upon written request of Beneficiary and presentation of this Deed of Trust, Trustee may (a) reconvey all or any part of the Property; (b) consent to the making and recording, or either, of any map or plat of all or any part of the Property; (c) join in granting any easement on the Property; or (d) join in or consent to any extension agreement or any agreement subordinating the lien, encumbrance, or charge of this Deed of Trust. Trustee need not provide Trustor with notice before taking any of the foregoing actions, and shall not be liable for the proper performance of the act. The exercise by Trustee of any of the foregoing powers shall not affect the personal liability of any person for payment of the indebtedness secured by this Deed of Trust, or the lien of this Deed of Trust on the remaining property as security for the repayment of the full amount secured by this Deed of Trust. 11. Partial Reconveyance. Beneficiary shall cause Trustee to partially reconvey this Deed of Trust, with respect to each Affordable Unit, upon the last to occur of: (i) the sale of the Affordable Unit; (ii) the Low -Income Household's execution of the First -Time Homebuyer Note; (iii) the 3 C:\Uocuments and Settings\AlfredoY\I.ocal Settings\Temporary Internet Files\011C8B\Developer Deed of Trust vl.doc recordation against the individual Affordable Unit of the Resale Restriction; and (iv) the recordation against the individual Affordable Unit of the deed of trust securing the First -Time Homebuyer Note and the Resale Restriction. 12. Full Reconveyance. Upon written request of Beneficiary stating that all obligations secured by this Deed of Trust have been performed in full, surrender of this Deed of Trust, any notes secured by this Deed of Trust to the Trustee for cancellation and retention, and payment of Trustee's fees and charges, Trustee shall reconvcy, without warranty, the Property then subject to this Deed of Trust. Absent manifest error, the recitals in the reconveyance shall he conclusive proof of the truthfulness of the recitals. The grantee in the reconveyance may be described as "the person or persons legally entitled thereto." Five years after issuance of the full reconveyance, Trustee may destroy the Note and this Deed of Trust, unless directed in the request to retain them. 13. Assignment of Rents. As additional security, Trustor hereby gives to and confers upon Beneficiary the right, power, and authority during the continuance of these Trusts, to collect the rents, issues, and profits of the Property, but reserves the right, prior to any default by Trustor in payment of any indebtedness secured by this Deed of Trust or in the performance of any agreement under this Deed of Trust, to collect and retain these rents, issues, and profits as they become due and payable. Upon any such default for which cure has not been commenced within thirty (30) days and thereafter completed with diligence, Beneficiary may, without notice and without regard to the adequacy of the security for the indebtedness secured by this Deed of Trust, either personally or by agent or court -appointed receiver, do the following: enter upon and take possession of the Property or any part of the Property; sue for or otherwise collect all rents, issues, and profits, including those past due and unpaid; and apply these rents, issues, and profits, less costs and expenses of operation and collection (including reasonable attorneys' fees), upon any indebtedness secured by this Deed of Trust, in any order determined by Beneficiary. The exercise of the foregoing rights by Beneficiary shall not cure or waive any default or notice of default under this Deed of Trust or invalidate any act done pursuant to such a notice. 14. Default in Foreclosure. Upon default by Trustor in the payment of any indebtedness secured by this Deed of Trust or in the performance of any obligation under this Deed of Trust, the DDA and/or the AARP for which cure has not been commenced within thirty (30) days and thereafter completed with diligence, Beneficiary may declare all sums secured by this Deed of Trust immediately due and payable by delivering to Trustee a written declaration of default and demand for sale and a written notice of default and election to sell the Property. Trustee shall cause the notice of default and election to sell to be recorded. Beneficiary also shall deposit with Trustee this Deed of Trust, a copy of the Agreement, and all other documents evidencing obligations secured by this Deed of Trust. After the required time period has lapsed following the.recordation of the notice of default, and after notice of sale has been given as required by law, Trustee, without demand on Trustor, shall sell the Property at the time and place specified in the notice of sale, either as a whole or in separate parcels, and in any order determined by Trustee, at public auction to the highest bidder for cash in lawful money of the United States, payable at the time of sale. Trustee may postpone sale of all or any portion of the Property by public announcement at the time and place of sale, and from time to time thereafter may postpone the sale by public announcement at the time fixed by the preceding postponement. Trustee shall deliver to the purchaser at the auction its deed conveying the Property 4 C:1Documents and SettingslAlfredoYMLocal Settings \Ternpveary Internet FhIes\OIX8Ei\Developer Deed of Trust vl .doc sold, but without any covenant or warranty, express or implied. Absent manifest error, the recital in the deed of any matter or fact shall he conclusive proof of the truthfulness of the recital. Any person, including Tnistor, Trustee, or Beneficiary, may purchase at the sale. After deducting all costs, fees, and expenses of Trustee and Beneficiary under this paragraph, including costs of procuring evidence of title incurred in connection with sale, "Trustee shall apply the proceeds of sale to payment of: all sums expended under the terms of this Deed of Trust, not then repaid, with accrued interest at the amount allowed by law in effect at the date of this Deed of Trust; all other sums then secured by this Deed of Tnlst; and the remainder, if any, to the person or persons legally entitled to the remaining proceeds. 15. Further Encumbrances. Should the undersigned agree to or actually sell, convey, transfer, or dispose of, or further encumber the Property, or any part of it, or any interest in it (each, a "Transfer"), without first obtaining the written consent of the Beneficiary, then all obligations secured by the Deed of Trust may be declared due and payable, at the option of the Beneficiary, unless such Transfer is permitted under Section 603 of the DDA. Consent to one transaction of this type will not constitute a waiver of the right to acquire consent to future or successive transactions. 16. General Provisions. This Deed of Trust applies to, inures to the benefit of, and binds all parties to this Deed of Trust and their heirs, legatees, devisees, administrators, executors, successors, and assigns. The term "Beneficiary" shall mean the Community Development Commission of the City of National City, and the heirs, legatees, devisees, administrators, executors, and assigns of any such person. In this Deed, whenever the context so requires, the masculine gender includes the feminine and/or neuter, and the singular number includes the plural. 17. Acceptance by Trustee. Trustee accepts this Trust when this Deed, duly executed and ack- nowledged, is made a public record as provided by law. Trustee is not obligated to notify any party to this Deed of "Trust of pending sale under any other deed of trust or of any action or proceeding in which Trustor, Beneficiary, or Trustee shall be a party unless brought by Trustee. 18. Substitution of Trustees. Beneficiary, or any successor in ownership of any indebtedness secured by this Deed of Trust, may from time to time, by written instrument, substitute a successor or successors to any Trustee named in or acting under this Deed of Trust. "I'he substitution instrument shall contain the name of the original Trustor, Trustee, and Beneficiary under this Deed of Trust, the book and page where this Deed is recorded, and the name and address of the new Trustee. When executed by Beneficiary and duly acknowledged and recorded in the office of the recorder of the county or counties where the Property is situated, the substitution instrument shall be conclusive proof of proper substitution of the successor Trustee or Trustees. Any successor Trustee or Trustees shall, without conveyance from the Trustee predecessor, succeed to all its title, estate, rights, powers, and duties. 19. Cumulative Powers and Remedies. The powers and remedies conferred in this Deed of Trust arc concurrent and cumulative to all other rights and remedies provided in this Deed of Trust or given by law. These powers and remedies may be exercised singly, successively, or together, and as often as deemed necessary. 5 C:\Documents and Setttng \AlfredoY\l,ocal Settings\'temporary Internet Files\OIK8B\Developer Deed of Trust vl.doc 20. Conclusiveness of Recitals. The recitals contained in any reconveyance, trustee's deed, or any other instrument executed by the Trustee from time to time under the authority of this Deed of Trust or in the exercise of its powers or the performance of its duties under this Deed of Trust, shall be conclusive evidence of their truth, whether stated as specific and particular facts, or in general statements or conclusions absent manifest error. Further, the recitals shall be binding and conclusive upon the Trustor, its heirs, executors, administrators, successors, and assigns, and all other persons. 21. Attorneys' Fees. If any action is brought for the foreclosure of this Deed of Trust or for the enforcement of any provision of this Deed of Trust (whether or not suit is filed), Trustor agrees to pay all costs and expenses of Beneficiary and Trustee, including reasonable attorneys' fees; and these sums shall be secured by this Deed of Trust. 22. Co -trustees. If two or more persons are designated as Trustees in this Deed of Trust, any, or all, power granted in this Deed of Trust to Trustee may he exercised by any of those persons, if the other person or persons are unable, for any reason, to act. Any recital of this inability in any instrument executed by any of those persons shall be conclusive against Trustor and Trustor's heirs and assigns. 23. Request for Notices of Default and Sale. In accordance with Section 2924b of the California Civil Code, request is hereby made that a copy of any Notice of Default and a copy of any Notice of Sale under that Deed of Trust executed by the Trustor concerning this Property be mailed to: Community Development Commission of the City of National City 1243 National City Boulevard National City, CA 91950-4397 NOTICE: A copy of any notice of default and of any notice of sale will be sent only to the address contained in this recorded request. If your address changes, a new request must be recorded. The undersigned Trustor requests that a copy of any notice of default and of any notice of sale under this Deed of Trust be mailed to Trustor at the address of Trustor set forth above. 24. Inspections. Trustor shall permit Beneficiary and its agents or representatives, to inspect the Property at any and all reasonable times, with at least 24 hours advance notice. Inspections shall be conducted so as not to interfere with the tenants' use and enjoyment of the Property. 25. Hazardous Materials Defined. For purposes of this Deed of Trust, "Hazardous Materials" mean and include any hazardous, toxic or dangerous waste, substance or material including, without limitation, flammable explosives, radioactive materials, asbestos, hazardous wastes, toxic substances and any materials or substances defined as hazardous materials, hazardous substances or toxic substances in (or for purposes of) the Comprehensive Environmental Response, Compensation and Liability Act of 1980 ("CERCLA"), as amended (42 U.S.C. §9601, et seq.), the Hazardous Materials Transportation Act (49 U.S.C. §1801, et seq.), the Resource Conservation and Recovery Act (42 U.S.C. §6901, et seq.), and those substances defined as hazardous wastes in §25117 of the California 6 C ADocuments and Settinps\AlfredoY\Local Settings+remporary Internet Files\OIX8B\Developer Deed of Trust vl .doe: Nur Health and Safety Code or as hazardous substances in §253I6 of the California Ilealth and Safety Code or in any regulations promulgated under either such law, any so-called "Superfund" or "Superlien" law, or any other federal, state or local statute, law, ordinance, code, rule, regulation, order or decree regulating, relating to, or imposing liability or standards of conduct concerning, any hazardous, toxic or dangerous waste, substance or material, as now or at any time hereafter in effect. 26. Trustor's Hazardous Materials Representations and Warranties and Indemnity. In addition to the general and specific representations, covenants and warranties set forth in the Deed of Trust or otherwise, Trustor represents, covenants and warrants, with respect to Hazardous Materials, as follows: (a) Neither Tnistor nor, to the best knowledge of Trustor, any other person, has ever caused or permitted any Hazardous Materials to be manufactured, placed, held, located or disposed of on, under or at the Property or any part thereof, and neither the Property nor any part thereof, or any property adjacent thereto, has ever been used (whether by the Trustor or, to the best knowledge of the Trustor, by any other person) as a manufacturing site, dump site or storage site (whether permanent or temporary) for any Ilazardous Materials; (b) Trustor hereby agrees to indemnify Beneficiary, its officers, employees, contractors and agents, and hold Beneficiary, its officers, employees, contractors and agents harmless from and against any and all losses, liabilities, damages, injuries, costs, expenses and claims of any and every kind whatsoever paid, incurred or suffered by, or asserted against Beneficiary, its officers, ``w employees, contractors or agents for, with respect to, or as a direct or indirect result of, the presence or use, generation, storage, release, threatened release or disposal of Hazardous Materials on or under the Property or the escape, seepage, leakage, spillage, discharge, emission or release of any Hazardous Materials from the Property (including, without limitation, any losses, liabilities, damages, injuries, costs, expenses or claims asserted or arising under CERCLA, any so-called "Superfund" or "Superlien" law, or any other federal, state or local statute, law, ordinance, code, rule, regulation, order or decree regulating, relating to or imposing liability or standards of conduct concerning any Hazardous Materials) regardless of whether or not caused by or within the control of Trustor. Notwithstanding the foregoing, Trustor's obligations under this section shall not apply to any losses, liabilities, damages, injuries, costs, expenses, or claims which arise out of or relate to Hazardous Materials which (1) were present, generated, released, or stored on the Property on or before the date that Trustor acquired title to the Property or (2) are generated, released or stored on the Property after the date that Beneficiary takes possession thereof. (c) "I'rustor has not received any notice of (i) the happening of any event involving the use, spillage, discharge, or cleanup of any Ilazardous Materials ("Hazardous Discharge") affecting Trustor or the Property or (ii) any complaint, order, citation or notice with regard to air emissions, water discharges, noise emissions or any other environmental, health or safety matter affecting Trustor or the Property ("Environmental Complaint") from any person or entity, including, without limitation, the United States Environmental Protection Agency ("EPA"). If Trustor receives any such notice after the date hereof, then Trustor will give, within seven (7) business days thereafter, oral and written notice of same to Beneficiary. 7 C:\Docurnents and Settings\AlfredoY\I.ocal Senings\Ternporary Internet rdes\OLK8B\Developer Deed of Trust vi doc (d) Without limitation of Beneficiary's rights under this Deed of Trust, Beneficiary shall have the right, but not the obligation, to enter onto the Property or to take such other actions as it deems necessary or advisable to clean up, remove, resolve or minimize the impact of, or otherwise deal with, any such I Iazardous Materials or Environmental Complaint upon its receipt of any notice from any person or entity, including without limitation, the EPA, asserting the existence of any Hazardous Materials or an Environmental Complaint on or pertaining to the Property which, if true, could result in an order, suit or other action against Trustor affecting any part of the Property by any governmental agency or otherwise which, in the sole opinion of Beneficiary, could jeopardize its security under this Deed of Trust. All reasonable costs and expenses incurred by Beneficiary in the exercise of any such rights shall be secured by this Deed of Trust and shall he payable by Trustor upon demand together with interest thereon at a rate equal to the highest rate payable under the note secured hereby. (e) The foregoing representation, covenants, indemnities and warranties shall be continuing and shall be true and correct for the period from the date hereof to the release of this Deed of Trust (whether by payment of the indebtedness secured hereby or foreclosure or action in lieu thereof), and these representations, covenants, indemnities and warranties shall survive such release. 27. Choice of Law. This Deed of Trust shall he governed by and construed in accordance with the laws of the State of California. 28. Authority to Sign. All individuals signing this Deed of Trust for a party which is a corporation, limited liability company, partnership or other legal entity, or signing under a power of attorney, or as a trustee, guardian, conservator, or in any other legal capacity, covenant to the Beneficiary that they have the necessary capacity and authority to act for, sign and bind the respective entity or principal on whose behalf they are signing. TRUSTOR: San Diego Habitat for Humanity, Inc., a California nonprofit corporation By: Print Name: Its: By: Print Name: Its: 8 C:1Documents and Settings\AlfredoYU-ncal Settings\Temporary Internet Files\ol.K8B\Developer Deed of Trust v l .doc ACKNOWLEDGMENT State of California ) County of San Diego ) On , 200 before me, personally appeared _ 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 State of California ) County of San Diego ) (Seal) ACKNOWLEDGMENT On 200 before me personally appeared _ _ _ 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 (Seal) 9 (:\Documents and Settings\AltiedoY\Local Settings\Temporary Internet Files\0LK8B\Devcloper Deed of (rust vl doc Exhibit "A" Legal Description All that certain real property situated in the City of National City, County of San Diego, State of California, described as follows: I0 C \Documents and Settings\AlfredoY\Local Settings\Temporary Internet Files\OI.KIITi\Developer Deed of Trust vl .dnc Attachment No. 3 Grant Deed 49 \Documents and Settings\kareny HFHSD\Local Settings\Temporary Internet Recording Requested By And When Recorded Mail To And Mail Tax Statements To: San Diego Ilabitat for Iiumanity, Inc. 10222 San Diego Mission Road San Diego, CA 92108 This document is exempt from payment ofa recording fee pursuant to government Code Section 6103. GRANT DEED (1441 Harding Avenue) For valuable consideration, receipt of which is hereby acknowledged, The Community Development Commission of the City of National City ("CDC"), a public body, corporate and politic, acting to carry out the Redevelopment Plan ("Redevelopment Plan") for the National City Redevelopment Project (the "Project"), under the Community Redevelopment Law of California, hereby grants to San Diego Habitat for Humanity, Inc., a California nonprofit corporation ("Developer"), the real property hereinafter referred to as the "Site," described in Exhibit A attached hereto and incorporated herein, subject to the existing easements, restrictions and covenants of record described there. 1. The Site is conveyed in accordance with and subject to the Redevelopment Plan which was approved and adopted by the Community Development Commission of the City of National City, and a Disposition an Development Agreement entered into between CDC and Developer dated _ _ , 2009 (the "DDA"), a copy of which is on file with the CDC at its offices as a public record and which is incorporated herein by reference. The DDA generally requires the Developer to construct three (3) for -sale, single family homes on the Site (the "Developer Improvements"), and other requirements as set forth therein. All terms used herein shall have the same meaning as those used in the DDA. 2. The Developer covenants and agrees for itself, its successors, its assigns, and every successor in interest to the Site or any part thereof, that upon the date of this Grant Deed and during construction and thereafter, the Developer shall devote the Site to the uses specified in the Redevelopment Plan and the DDA for the periods of time specified therein. All uses conducted on the Site, including, without limitation, all activities undertaken by the Developer pursuant to the DDA, shall conform to the Redevelopment Plan and all applicable provisions of the City of National City Municipal Code. The foregoing covenants shall run with the land. 3. Except as provided in the DDA and Section 10 of this Grant Deed: 1 C:U)ocuments and Settings\AlfrcdoY\Local SettingsVfemporary Internet Files\OLK8n\Grant Deed vl doc (a) The Developer shall not make any sale, transfer, conveyance, subdivision, refinancing or assignment of the Site or any part thereof or any interest therein, without the prior written consent of the CDC except as permitted by Section 603 of the DDA. (b) The Developer shall not place or suffer to be placed on the Site any lien or encumbrance other than mortgages, deeds of trust, or any other fore of conveyance required for financing of the construction of the Improvements on the Site, and any other expenditures necessary and appropriate to develop the Site pursuant to the DDA, except as provided in Section 313 of the DDA. (c) All of the terns, covenants and conditions of this Grant Deed shall be binding upon the Developer and the permitted successors and assigns of the Developer. Whenever the term "Developer" is used in this Grant Deed, such term shall include any other permitted successors and assigns as herein provided. 4. All documents of transfer shall contain clauses that shall state that there will 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 sale, lease, sublease, transfer, use, occupancy, tenure or enjoyment of the land herein conveyed, nor shall the Developer himself or herself or any transferee in interest or any person claiming under or through him or her, 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, subtenants, sublessees or vendees in the land herein conveyed. The foregoing covenants shall run with the land. 5. The CDC has the right, at its election, to reenter and take possession of the Site, with all improvements thereon, and terminate and revest in the CDC the estate conveyed to the Developer if after the Closing and prior to the issuance of the Release of Constniction Covenants, the Developer (or its successors in interest) shall: (a) fail to start the construction of the Improvements as required by the DDA for a period of sixty (60) days after written notice thereof from the CDC; (b) abandon or substantially suspend construction of the Improvements required by the DDA for a period of ninety (90) days after written notice thereof from the CDC; (c) fail to complete construction of improvements as required by the DDA; (d) contrary to the provisions of Section 603 of the DDA transfer or suffer any involuntary transfer of the Site or any part thereof in violation of the DDA; or (e) file bankruptcy or an insolvency arrangement with creditors. Such right to re-enter, terminate and revest shall be subject to and be limited by and shall not defeat, render invalid or limit: 2 C:U)ocuments and Settings\AifredoY\Local Settings\iemporary Internet Files\OLK86\Grant Deed vl.doc (1) Any mortgage or deed of trust permitted by the DDA; or (2) Any rights or interests provided in the DDA for the protection of the holders of such mortgages or deeds of trust. Upon the revesting in the CDC of title to the Site as provided in this Section 5, the CDC shall, pursuant to its responsibilities under state law, use its reasonable efforts to resell the Site as soon and in such manner as the CDC shall find feasible and consistent with the objectives of such law and of the Redevelopment Plan, as it exists or may he amended, to a qualified and responsible party or parties (as determined by the CDC) who will assume the obligation of making or completing the Improvements, or such improvements in their stead as shall be satisfactory to the CDC and in accordance with the uses specified for such Site or part thereof in the Redevelopment Plan. upon such resale of the Site, thc net proceeds thereof after repayment of any mortgage or deed of trust encumbering the Site which is permitted by Grant Deed, shall he applied: Nurov (i) First, to reimburse the CI)C, on its own behalf or on behalf of the City, all reasonable costs and expenses incurred by the CDC, excluding City and CDC staff costs, but specifically, including, but not limited to, any expenditures by the CI)C or the City in connection with the recapture, management and resale of the Site or part thereof (but less any income derived by the CDC from the Site or part thereof in connection with such management); all taxes, assessments and water or sewer charges with respect to the Site or part thereof which the r11/0 Developer has not paid; any payments made or necessary to he made to discharge any encumbrances or liens existing on the Site or part thereof at the time or revesting of title thereto in the CDC, or to discharge or prevent from attaching or being made any subsequent encumbrances or liens due to obligations, defaults or acts of the Developer, its successors or transferees; any expenditures made or obligations incurred with respect to the making or completion of the improvements or any part thereof on the Site, or part thereof; and any amounts otherwise owing the CDC, and in the event additional proceeds are thereafter available, then (ii) Second, to reimburse the Developer, its successor or transferee, up to the amount equal to the sum of (a) the costs incurred for the acquisition and development of the Site and for the improvements existing on the Site at the time of the reentry and possession, less (b) any gains or income withdrawn or made by the Developer from Site or the improvements thereon. Any balance remaining after such reimbursements shall be retained by the CDC as its property. The rights established in this Section 5 are not intended to be exclusive of any other right, power or remedy, but each and every such right, power, and remedy shall be cumulative and concurrent and shall be in addition to any other right, power and remedy authorized herein or now or hereafter existing at law or in equity. These rights are to be interpreted in light of the fact that thc CDC will have conveyed the Site to the Developer for redevelopment purposes, particularly for development of three (3) for -sale, single family homes and appurtenant uses, and not for speculation in undeveloped land. .409 3 C:\Documents and Settings\AltredoY\Local Settings\Temporary Internet Files\OLK8B\Grant Deed vl.doc 6. No violation or breach of the covenants, conditions, restrictions, provisions or limitations contained in this Grant Decd shall defeat or render invalid or in any way impair the lien or charge of any mortgage or deed of trust or security interest permitted by paragraph 4 of this Grant Deed; provided, however, that any subsequent owner of the Site shall he bound by such remaining covenants, conditions, restrictions, limitations and provisions, whether such owner's title was acquired by foreclosure, deed in lieu of foreclosure, trustee's sale or otherwise. 7. All covenants contained in this Grant Deed are covenants running with the land and shall he included in all deeds. 8. All covenants without regard to technical classification or designation shall be binding for the benefit of the CDC, and such covenants shall run in favor of the CDC for the entire period during which such covenants shall be in force and effect, without regard to whether the CDC is or remains an owner of any land or interest therein to which such covenants relate. i'he CDC, in the event of any breach of any such covenants, shall have the right to exercise all the rights and remedies and to maintain any actions at law or suits in equity or other proper proceedings to enforce the curing of such breach. 9. Both CDC, its successors and assigns, and Developer and the successors and assigns of Developer in and to all or any part of the fee title to the Site shall have the right with the mutual consent of the CDC to consent and agree to changes in, or to eliminate in whole or in part, any of the covenants, easements or restrictions contained in this Grant Decd without the consent of any Nino, tenant, lessee, casement holder, licensee, mortgagee, trustee, beneficiary under a deed of trust or any other person or entity having any interest less than a fee in the Site. However, Developer and CDC are obligated to give written notice to and obtain the consent of any first mortgagee prior to consent or agreement between the parties concerning such changes to this Grant Deed. The covenants contained in this Grant Deed, without regard to technical classification, shall not benefit or be enforceable by any owner of any other real property within or outside the Project Area, or any person or entity having any interest in any other such realty. Any amendment to the Redevelopment Plan which proposes to change the uses or development permitted on the Site, or otherwise proposes a change of any of the restrictions or controls that apply to the Site, shall require the written consent of the first mortgagee and the Developer or the successors and assigns of Developer in and to all or any part of the fee title to the Site, but any such amendment which proposes a change affecting the Site shall not require the consent of any tenant, lessee, easement holder, licensee, mortgagee (other than the first mortgagee), trustee, beneficiary under a deed of trust or any other person or entity having any interest less than a fee in the Site. 10. Notwithstanding anything contained herein to the contrary, all restrictions against and obligations of Developer set forth herein shall terminate with respect to Developer, but not its successors and assigns, with respect to any Unit upon the sale of such Unit for residential purposes and shall cease with respect to the entire Site following the sale of all of the Units. CDC: Community Development Commission of the City of National City 4 C:\Documents and Settings\AtfredoY\ ocal Settings\Temporary Internet Files\01.K86\Grant Deed vi.doc By: _ _ Dated: _____ 2O0V Prnt��un�c�_ Its.- 5 CADocmnmuanm Internet mcov\om •ACKNOWLEDGMENT State of California ) County of San Diego ) On 200 before me, personally appeared _ _ _ 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. 1 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 _ (Seal) 6 C \Documents and Settings\AlfredoYU_ocal Settings\Temporary Internet Files\O1.K8B\Grant Deed v l doc Exhibit "A" Legal Description 7 C:U)ocuments and Settings\AlfredoY\Local Settings\Temporary Internet Files\OLKSB\Grant Deed v 1.doc `, \Fr Attachment No. 4 Release of Construction Covenants 50 :\Documents and Settinps\kareny IIFIISD\I.ocal Settings\Temporary Internet 'ilcs\OLK19F DDA v2.doc Recording Requested By: Community Development Commission of the City of National City 1243 National City Boulevard National City, CA 91950-4397 And When Recorded Mail To: Community Development Commission of the City of National City 1243 National City Boulevard National City, CA 91950-4397 This document is exempt from the payment of a recording fee pursuant to Government Code Section 6103. RELEASE OF CONSTRUCTION COVENANTS (1441 Harding Avenue) THIS RELEASE OF CONSTRUCTION COVENANTS ("Release") is made by the Community Development Commission of the City of National City, a public body corporate and politic ("CDC"), in favor of San Diego Habitat for Humanity, inc., a California nonprofit corporation ("Developer"), as of this day of _ , 20 RECITALS A. CDC and Developer have entered into that certain Disposition and Development Agreement (the "DDA") dated _ , 2008 concerning the redevelopment of certain real property situated in the City of National City, California as more fully described in Exhibit "A" attached hereto and made a part hereof (the "Site"). B. As referenced in Section 312 of the DDA, CDC is required to furnish Developer or its successors with a Release of Construction Covenants upon completion of construction of the Improvements, as defined in the DDA, on the Site; which Release of Construction Covenants is required to be in such form as to permit it to be recorded in the Recorder's Office of San Diego County. This Release is conclusive determination of satisfactory completion of the construction and development required by the DDA with respect the Site. C. CDC has conclusively deterniined that such construction and development of the site has been satisfactorily completed. NOW, THEREFORE, CDC hereby certifies as follows: 1 II:\Construction, Acq.Rehab ProjectsUtabitat for IlumanityViardingV,egal docs\Release of Construction Covenants vl.doc I. The Improvements have been fully and satisfactorily completed in conformance with the I)DA. Any operating requirements and all use, maintenance or nondiscrimination covenants contained in the DDA shall remain in effect and enforceable according to their terms. 2. Nothing contained in this instrument shall modify in any other way any other provisions of the DDA. CDC: Community Development Commission of the City of National City Print Name: Its: 2 117\Construction, Acq Rehab Projects\iabitat for Humanity\Harding\Legal docs\Release of Construction Covenants vl doe Attachment No. 5 Schedule of Performance 51 CADocuments and Settings\AlfredoY\Iocal Settings\Temporary Internet Files\OL.K8BU)DA v2.doc Attachment No. 5 Schedule of Performance Item DDA Executed by Developer DDA Approved by CDC Board Developer Submission of Concept Drawings Developer Submission of Landscape and Grading Plans Developer Submission of Construction Drawings Closing of Sale of Site to Developer Building Permit Issuance Commencement of Construction Commencement of Construction Completion of Construction Closing of Sales and Occupancy of Affordable Units Completion Date March 30, 2009 Within 45 days after submission of executed DDA by Developer Not later than execution of Agreement by Developer Not later than execution of Agreement by Developer Not later than execution of Agreement by Developer Upon Satisfaction of All Conditions to Closing, not later than May 1, 2009 May 15, 2009 May 31, 2009 — Unit 1 and 2 January 2010 — 3rd unit December, 2009, Unit 1 September, 2010 Unit 2 and 3 January 2010- Unit 1 September, 2010 - Unit 2 & 3 Attachment No. 6 Scope of Development viro 52 T'1Documents and Settings\kareny.HFI-►SD\Local Settings\Temporary Internet Attachment No. 6 Scope of Development The project is located at the northeast corner of W. 15th Street and Harding within a Light Manufacturing Residential (MLR) zone. The 8,625 — square foot vacant parcel is to he subdivided into three parcels, each approximately 2,877 square feet in size and lot frontage of approximately 38 feet. The Developer will construct three detached single-family residences to be offered for sale to low-income households making Tess than 60% of the Area Median Income (AMI) and to utilize HOME funding for the construction of the site. Each lot will have a detached single family unit with private rear yards, and two -car carports. The lots l and 3 would be two-story and lot 2 would contain a single -story unit residence. Attachment No. 7 Site Plan 53 \Documents and Scttings\kareny IF ISI)\t.ocal Settings\Temporary Internet t ��nt k tonnnn v7 ,1nr 'F—PV11 C140, 7-1) CIL'c crvi, a- \c'crIZ\ 4, 0 4 . c 4 1 '44 —7//1417z ?Ii/tAito _fi. : ..',-,•' . I r • -rf - - "-'1 -H-- . t, i - r - .t. ! I ....t.........t_.,7_ ... ...7.1.: . i A I --11---0- -41 — 104;1 !! ;1(1 i ! '1 l'1" • 0 - • ' ii • ' '----; — .1i r" .4444'1-.11 11-t•zIS ,(,-; 1 .J*It • ii, , I • z -.-1.1-777-.---,+------- 4, ti ii', ',,) c:Ltt —4J zi 5 1 ' ,. rr.,- ) c 1 , ' ! 1 ! —t-itcki-9-e....-- ' 1 :; • ' L.4 r,,:ja- sv,, i 1 .41 I 11 ! 1 ! . 11 41 I ; — it:1`41-'?ced . •-• i • .. _i_ _ .......••••••••• .... •••••••••............••••••••••i•••• • ...• • • • .... ••••••••• ..,L _ _ _ ...,,,,.• -,- • Attachment No. 8 Site Legal Description 54 C:\I)ocuments and Settings\AlfredoYU.ocal Settings\Temporary Internet Files\OLK8B\DDA v2.doc EXHIBIT "A" All that certain real property situated in the County of San Diego, State of California, described as follows: Lots 8, 9 and 10 in Block 114 of National City, in the City of National City, County of San Diego, State of California, according to the Map thereof No. 348, filed in the Office of the County Recorder of said San Diego County, on October 2, 1882. Assessor's Parcel Number: 559-063-04 CLTA Standard Owners Coverage -1990 Page 2 Attachment No. 8 Nor Legal Description LOTS 8 THRU 10 BLK 114 TR 348 in National City, CA Attachment No. 9 Proforma 55 \Documents and Settings\kareny IIPHSI)U.ocal Settings\Temporary Internet =ilrc\(N K 1Qt\flflA tint TABLE `' DEVELOPMENT COSTS COMMUNITY DEVELOPMENT COMMISSION OF NATIONAL CITY I. Direct Costs Off -Site Improvements On -Site Improvements Parking Shell Construction Amenities/FF& E Contingency Subtotal Direct Costs II. Indirect Costs Architecture & Engineering Permits & Fees Legal & Accounting 'faxes & Insurance Developer Fee Marketing/Lease-Up Contingency Subtotal Indirect Costs III. Financing Costs Loan Fees Interest During Construction Interest During Sales/L.ease-Up IIOA Dues on Unsold Units Subtotal Financing Costs Totals $120,000 $45,000 $o $343,600 $13,485 $30,000 $552,085 $25,000 $103,428 $7,500 $30,000 $76,800 $9,306 $6,000 $258,034 $o $o so $o $o Notes $14 Per SF Site Area $ 5 l'er SF Site Area $o Per Space $87 Per SFGBA Allowance 5.4% of Directs $140 Per SE GBA 4.5% of Directs $26 Per SF GBA 1.4% of Directs % of Value 13.9% of Directs % of Value 2.3% of Indirects % of Directs % of Directs % of Directs % of Directs % of Directs % of Directs N. Total Development Costs $810,119 $205 Per SF GBA Please check the appropriate statement: Check Box: 1. Prevailing wage requirements are included in the direct costs above. 2. Prevailing wages are not reflected in the direct costs above. TABLE 1 PROJECT DESCRIPTION COMMUNITY DEVELOPMENT COMMISSION OF NATIONAL CITY I. Location 1441 Harding Ave II. Site Area 8625 SF o.2 Acres III. Total Residential Area 395o SF IV. Number of Stories & 2 Stones V. Unit Mix Average Unit Size One Bedroom Units SF Two Bedroom Units SF Three Bedroom 1 Units 125o SF Four Bedroom 2 Units 135o SF Total Number of Units 3 Units SF VI. Affordability Mix Market Rate Units Affordable Units Total Units VII. Parking Parking Type Number of Spaces Units 2 Units Units Ground level 6 Spaces TABLE 2 DEVELOPMENT COSTS COMMUNITY DEVELOPMENT COMMISSION OF NATIONAL CITY I. Direct Costs Off -Site Improvements On -Site Improvements Parking Shell Constnlction Amenities/FF& E Contingency Subtotal Direct Costs II. Indirect Costs Architecture & Engineering Permits & Fees Legal & Accounting Taxes & Insurance Developer Fee Marketing/Lease-tJp Contingency Subtotal Indirect Costs III. Financing Costs Loan Fees Interest During Constriction Interest During Sales/Lease-Up 1IOA Dues on Unsold Units Subtotal Financing Costs Totals $120,000 $45,000 $o $343,600 $13,485 $30,000 $552,085 $25,000 $103,428 $7,500 $30,000 $76,800 $9,306 $6,000 $258,034 $o so $o $o so Notes $14 Per SF Site Area $ 5 Per SF Site Area $o Per Space $87 Per SF GBA Allowance 5.4% of Directs $14o Per SF GBA 4.5% of Directs $26 Per SF GBA 1-4% of Directs % of Value 13.9% of Directs % of Value 2.3% of Indirects % of Directs % of Directs % of Directs % of Directs % of Directs of Directs IV. Total Development Costs $810,119 $205 Per SF GBA Please check the appropriate statement: Check Box: 1. Prevailing wage requirements are included in the direct costs above. 2. Prevailing wages are not reflected in the direct costs above. TABLE 3 RESIDENTIAL SALES PROCEEDS COMMUNITY DEVELOPMENT COMMISSION OF NATIONAI. CITY Average # of Price Price Gross lJnit Size.1SF) Units •Per SF Pe.r Unit Sales I. Market Rate Units One Bedroom (:) Market SF $ $ $ Two Bedroom n Market SF $ $ $ Three Bedroom ((J Market SF $ $ $ Four Bedroom @ Market SF $ $ $ Total/Average - Market Rate Units SF $ $ $ II. Affordable Units One Bedroom (i) _ ___ % AMI SF $ $ $ One Bedroom (a) %AMI SF $ $ $ Two Bedroom @ _.60 % AMI SF $ $ Two Bedroom (t) _ _ % AMI SF $ $ $ Three Bedroom a 6o% AMI 125o SF 1 $ $175,000 $175,000 Three Bedroom (r,) _ %AMI SF $ $ $ Four Bedroom (,> 6o% AMI —� 1350 SF 2 $ $184,500 $369,000 Four Bedroom (r) _ % AMI SF $ $ $ 'Total/Average - Affordable Units SF $ $ $544,000 III. 'Total Gross Sales Proceeds (I + II) SF $ $ $544,000 IV. Net Sales Proceeds Gross Sales Proceeds (III, above) (Less) Cost of Sale @ (Less) Target Developer Profit @ $544,000 % of Gross Sales Proceeds ( $6,000 ) % of Gross Sales Proceeds Net Saks Proceeds $538,00o '''IN.rTABLE4 RESIDUAL LAND VALUE AND FINANCING SURPLUS/(DEFICIT) COMMUNITY DEVELOPMENT COMMISSION OF NATIONAL CITY I. Supportable Investment Net Sales Proceeds (Table 3) II. (Less) Development Costs (Table 2) Totals $538,000 ( $81o,119 ) III. Residual Land Value (I 1- II) ($272,119) Per SF Site Area ($32) IV. Financing Surplus/(Deficit) Residual Land Value (I1I, above) ($282,119) (Less) Acquisition Costs ( $400,000 ) Financing Surplus/(Deficit) ($682,119) Attachment No. 10 Resale Restriction 56 C:\Documents and Settings\kareny HFHSD\Local Settings\Temporary Internet Recording Requested By: Community Development Commission of the City of National City 1243 National City Boulevard National City, CA 91950-4397 And When Recorded Mail To: Community Development Commission of the City of National City 1243 National City Boulevard National City, CA 91950-4397 AFFORDABLE HOUSING RESALE RESTRICTIONS, OPTION TO DESIGNATE ELIGIBLE PURCHASERS AND OPTION TO PURCHASE UPON DEFAULT (1441 Harding Avenue) This Affordable Housing Resale Restrictions, Option to Designate Eligible Purchasers and Option to Purchase Upon Default ("Resale Restriction") is executed this _ _ __ day of , 200_ , by the Community Development Commission of the City of National City ("CDC"), and by , a , as owner ("Owner") of the real property located in the City of National City, County of San Diego, State of California, more particularly described on Exhibit "A" attached hereto (the "Restricted Unit"). RF,CITAI..S A. Owner is purchasing the Restricted Unit from San Diego Ilabitat for humanity, Inc. ("Habitat") concurrently with the execution and delivery of this Resale Restriction. The Restricted Unit is part of a larger parcel of real property (the "1=labitat Property") that was previously sold by the CDC to Habitat. B. The CDC purchased the Habitat Property from the previous owner utilizing HUD HOME funds. HUD HOME funds are to be used solely for the construction, use and occupancy of affordable housing in accordance with 24 Code of Federal Regulations Part 92. Owner and the CDC are executing this Resale Restriction and causing it to be recorded against the Restricted Unit in order to ensure compliance with the I IUD HOME program, including without limitation compliance with 24 Code of Federal Regulations Part 92. C. The purpose of this Resale Restriction include, without limitation, to: (i) establish resale and occupancy restrictions for the Restricted Unit; (ii) reserve to the CDC an option to designate eligible purchasers, as hereafter defined, to acquire the Restricted Unit; (iii) to restrict the Restricted Unit with this Resale Restriction for a period of forty-five (45) years, and (iv) to grant to CDC an option to acquire the Restricted Unit in the event of a default by the Owner of the terms of this Resale Restriction. 1 (' Vkcumcnts and SettingslA//redo Y\I o,4 Sctitngs\Temporary Internet Files\0I_K8l'Resale Rcstricnun vl doe D. Concurrently herewith Owner is executing a promissory note in favor of the CDC ("CDC Note"). The CDC Note and the Resale Restriction shall he secured by a deed of trust ("Deed of Trust") executed by Owner in favor of the CDC. The Deed of Trust shall be recorded in the Office of the County Recorder of San Diego County against the Restricted Unit, concurrently with recordation of this Resale Restriction. NOW, THEREFORE, CDC and Owner hereby declare and restrict the Restricted Unit as follows: 1. Representations and_ Wananties of Owner. Owner declares, represents and warrants to the ('ommission and agrees as follows: (a) Annual Gross Income. Owner's annual gross income, including the income of any co -purchasers, at the time of the execution of this Resale Restriction does not exceed sixty percent (60%) of the Area Median Income. "Area Median Income" means the lesser of: (i) the median income for the San Diego metropolitan area, as adjusted for family size, as said median income is determined by HUD; or (ii) the median income for the San Diego metropolitan area, as adjusted for family size, as said median income is determined by the California Department of Housing and Community Development. (b) Principal Place of Residence. Owner will reside in the Restricted Unit as Owner's principal place of residence until the earlier of: (i) the sale of the Restricted Unit in accordance with the terms of this Resale Restriction; or (ii) forty-five (45) from the date this Resale Restriction is recorded against the Restricted Unit. Owner shall be considered as occupying the Restricted Unit as a principal place of residence if the Owner is living in the Restricted Unit for at least ten (10) months out of each calendar year. Owner shall not to sublet, lease or rent out all or any portion of the Restricted Unit during the term of this Resale Restriction. (c) Liquid Assets. At the time of the execution of this Resale Restriction, Owner, including any co -purchasers, does not hold, directly or indirectly, "liquid assets", as defined below, whose aggregate value exceeds $10,000 for the first household member, plus $500 for each additional household member. As used herein, the term "liquid assets" refers to cash and assets which are readily convertible to cash within a reasonable period, including but not limited to savings and checking accounts, certificates of deposit of any term, marketable securities, money market and similar accounts, mutual fund shares, and insurance policy cash values. The term "liquid assets" shall not include retirement funds which are not readily accessible or which cannot be accessed by the buyer without the buyer incurring a penalty. (d) Not a Full -Time Student. Owner is not, and none of the co -purchasers of Owner is, a full-time student, or a household comprised exclusively of persons who are full-time students, unless such persons are married and eligible to file a joint federal income tax return. The term "full-time student" shall be defined as any person who will be or has been a full-time student during five calendar months of the calendar year in question at an educational institution (other than a correspondence school) with regular faculty and students. 2 C \Docun¢ms and Settings \AlfredoYU,rxal Se nngs\T enporuy Internet F,tes\OI.K8IINResale Restrict on vl due Nowr Nlimupw (e) Not a Student Dependent. Owner is not, and none of the co -purchasers or co- tenants of Owner is, a student dependent as defined in the U.S. Internal Revenue Code, unless the taxpayer (upon whom the student in question is dependent) resides in the Restricted Unit. (f) Not an Owner of Real P ro r�erty. Owner does not, and none of the co -purchasers of Owner, own any real property at the time of escrow closing for the Restricted 1.Jnit. (g) First -Time Horne BuyerZ Displaced Homemaker or Single Parent. Owner satisfies at least one of the following criteria: (1) Owner is a first-time home buyer; that is, he or she has not owned a home within the three-year period immediately preceding the date of this Resale Restriction; (2) Owner is a displaced homemaker; or (3) Owner is a single parent. 2. Acknowledgment and Certification. Any purchaser of the Restricted Unit from Owner and any subsequent purchaser from such purchaser or successors (hereinafter each is referred to as "Purchaser") shall certify his/her acknowledgment receipt of this Resale Restriction and all the provisions and restrictions contained herein, on a form approved by the CDC in its sole discretion. 3. Restrictions on Transfer. (a) Forty -Five Year Affordable Term. For a period of forty-five (45) years commencing on thc date this Resale Restriction is recorded in the Office of the County Recorder of San Diego County against the Restricted Unit (the "Affordable Tenn"), any transfer of the Restricted Unit shall be subject to the provisions of this Resale Restriction. Any subsequent transfer by a Purchaser to a subsequent Purchaser shall also be subject to the provisions of this Resale Restriction until the end of the Affordable Term. (b) Transfer Defined. "Transfer" shall mean: (i) all or any part of the Restricted Unit or any interest in the Restricted Unit is sold, conveyed or transferred; (ii) if Owner is not a natural person and a beneficial interest in Owner is sold, conveyed or transferred; (iii) all or any part of thc Restricted Unit is refinanced or further encumbered, except as otherwise allowed by law; (iv) Owner does not occupy the Restricted Unit as his, her, or their, primary residence; (v) the leasing of all or any part of the Restricted Unit; (vi) any material breach of this Resale Restriction; or (vii) the filing of bankruptcy by Owner. Notwithstanding the foregoing, a refinancing of the Restricted Unit shall not be considered a Transfer, provided the CDC provides written consent to Owner prior to the refinancing, which consent may be granted or withheld in the sole and absolute discretion of the CDC. Transfer shall not include transfer to a spouse in a dissolution proceeding, to a spouse who marries the Purchaser after the Purchaser has acquired title to the Restricted Unit, or to a Purchaser who originally acquired title to the Restricted Unit as a co- owner with a spouse, who acquires the deceased spouse's interest in the Restricted Unit, upon a ``.► death of that spouse. 3 (' \Ikxumrnts and Settings\AlfredoY\I,ocal Settings \Temporary Internet Foes\OLK8U\Resale Restnttan vl dex 4. Maintenance and Inspection of Restricted Unit. Purchaser shall maintain the Restricted Unit and the improvements thereon in good condition and repair throughout the Purchaser's period of ownership of the Restricted Unit. In addition, upon CDC's receipt of a notice of intent to transfer as detailed in Section 5 below, CDC shall be given the right to enter and to inspect the Restricted Unit to determine whether any violations of applicable building, plumbing, electric, fire, housing or other applicable codes exist and whether the Restricted Unit has been maintained in good condition, upon reasonable written notice of not less than ten (10) days. CDC shall notify Purchaser with regard to any noted code violations and maintenance deficiencies (collectively, the "Deficiencies"), and Purchaser shall cure the Deficiencies in a reasonable manner acceptable to the CDC within sixty (60) days of being notified in writing of the result of the inspections. Should the Purchaser fail to cure all the Deficiencies prior to the scheduled date for the close of escrow, at the option of the CDC or an Eligible Purchaser as defined in Section 7 below, escrow may be closed, title passed and money paid to the Purchaser subject to the condition that such funds as are necessary to pay for curing the Deficiencies, based upon written estimates obtained by the CDC, shall be withheld from the money due the Purchaser and held by the escrow holder for the purpose of curing the Deficiencies. The CDC and/or the Eligible Purchaser shall cause the Deficiencies to be cured and, upon certification of completion of work by the CDC, the escrow holder shall utilize such funds to pay for said work. Any remaining funds shall be paid to the Purchaser. 5. Notice of Transfer. In the event the Purchaser intends to transfer the Restricted Unit, the Purchaser shall promptly notify the CDC in writing of such intent ("Notice of Intent to "Transfer"), by certified mail return receipt requested, to the Community Development Commission of the City of National City 1243 National City Blvd., National City, California 91950, or such other address as the CDC may designate. The Purchaser has the right to withdraw the Notice of Intent to Transfer prior to the opening of escrow to purchase the Restricted Unit. 6. CDC's Option to Designate an Eligible Purchaser. Upon receipt of the Notice of the Intent to "Transfer, the CDC shall have the option, but not the duty, to designate an Eligible Purchaser to purchase the Restricted Unit in the manner set forth hereunder, if the proposed transferee is not approved for any reason. Within thirty (30) days of receipt by the CDC of the Notice of Intent to Transfer, the CDC shall: (1) notify the Purchaser of the Maximum Sales Price, as defined in Section 8 herein, to be paid for the Restricted Unit; (2) inspect the Restricted Unit as described in Section 4, above; and (3) notify the Purchaser regarding whether or not the CDC intends to exercise its option to designate an alternate Eligible Purchaser. The notification to the Purchaser regarding the option to designate an eligible Purchaser shall be sent by certified mail return receipt requested_ If the CDC exercises this option to designate a Purchaser, it shall cause an escrow to purchase the Restricted Unit to be opened within thirty (30) days following such notification to the Purchaser, and it shall cause the Restricted Unit to be purchased by its designated Eligible Purchaser within the ninety (90) days following the receipt by the CDC of the Purchaser's Notice of the Intent To Transfer. 7. "Transfer to Eligible Purchaser. In the event the CDC does not exercise its option to designate an Eligible Purchaser, the transfer of the Restricted Unit by the Purchaser must be to 4 C Documents and Sctting3Wl&cduY,l.ocal S<nings\T nq ovary Internet File\01.K8B\Rcsak Rcstnctton vl doc an Eligible Purchaser. An Eligible Purchaser shall be any household meeting the criteria set forth in Section 1(a)-(g), above. 8. Determination of Maximum Sales Price. (a) Calculation of Maximum Sales Price. The maximum amount of money and/or other consideration, of any kind whatsoever, that the Owner (or any subsequent Purchaser selling the Restricted Unit) may receive for any transfer of the Restricted Unit shall be called the "Maximum Sales Price." Maximum Sales Price" shall mean the lesser of: (i) the sum of (A) the purchase price which would result in a Monthly I lousing Cost, as determined by the CDC, which does not exceed the product of one twelfth (1/12) of thirty percent (30%) times sixty percent (60%) of the then Area Median Income as adjusted for household size appropriate for the unit, plus (B) the amount of the CDC Note; or (ii) the Single Family Mortgage Limit for the County of San Diego under Section 203(b) of the National I lousing Act (12 U.S.C. § I709(b)) or any other limitation then provided by Code of Federal Regulations §92.254(a) or any successor law or regulation. [n the case where there is no Purchaser of the Restricted Unit, the CDC shall calculate the principal and interest payments assuming a five (5%) percent down payment and that the annual interest rate is the then Fannie Mac 90-day delivery rate. (b) Monthly. Housing Cost. "Monthly [lousing Cost" shall mean all of the following associated with the Restricted Unit, estimated or known as of the date of the close of escrow of the sale of the Restricted Unit: (i) principal and interest payments on the 30 year, fixed-rate mortgage loan actually obtained by the Purchaser, and any loan insurance fees associated therewith; (ii) property taxes, assessments, including Mello Roos fees, if applicable; (iii) fire and - casualty insurance covering replacement value of property improvements (to the extent not covered by the homeowner association encompassing the Site); (iv) any homeowner association fees; (v) private mortgage insurance, if applicable; and (vi) reasonable costs of utilities. Monthly Housing Cost shall be an average of estimated costs for the next twelve (12) month period as of the date of the close of escrow of the sale of the Affordable Unit. 9. Defaults and Remedies. (a) Acceleration, Remedies. Upon Owner (or any Purchaser's) breach of this Resale Restriction, the CDC Note, the Deed of Trust or any other obligation or document secured by the Restricted Unit, the CDC shall give notice to Owner (or the Purchaser, as applicable) prior to acceleration, such notice shall include: (I) a description of the breach; (2) the action required to cure such breach (if any); (3) a date, not less than ten (10) days from the date the notice is mailed to Owner, by which such breach must be cured; and 5 (: Ukxuments and Sctongs'AIGedoY11 o al Settings \Tengwrmy Interne Files\OLK%B\Resale RCSUn L,On vl doc (4) a statement that failure to cure such breach on or before the date specified in the notice may result in acceleration of the sums secured by the Deed of Trust and sale of the Restricted. The notice shall further inform Owner (or the Purchaser, as applicable) of the right to reinstate after acceleration and the right to bring a court action to assert the nonexistence of a default or any other defense of Owner to acceleration and sale. If the breach is not cured on or before the date specified in the notice, CDC, at CDC's option, may declare all of the sums secured by the Deed of Trust to he immediately due and payable without further demand and may invoke the power of sale and any other remedies permitted by applicable law, as provided in and pursuant to the procedure set forth in the Deed of Trust. CDC shall be entitled to collect all reasonable costs and expenses incurred in pursuing the remedies provided in this Section 9, including, but not limited to, reasonable attorneys' fees. (b) Owner's Right to Reinstate. (1) Curable Breach. Notwithstanding CDC's acceleration of the sums secured by the Deed of Trust due to Owner or a Purchaser's breach, Owner or any Purchaser shall have the right to have any proceedings begun by CDC to enforce the Deed of Trust discontinued at any time prior to five (5) days before the sale of the Restricted Unit pursuant to the power of sale contained in the Deed of Trust or at any time prior to entry of a judgment enforcing the Deed of Tnist if: (A) Owner or Purchaser pays CDC all sums which would he then due under the (.'DC Note and the Deed of 'Trust had no acceleration occurred; (13) Owner or Purchaser cures all breaches of any other covenants or agreements of Owner or Purchaser under this Resale Restriction and the Deed of Trust; (C) Owner or Purchaser pays all reasonable expenses incurred by CDC and the trustee in enforcing the covenants and agreements of Owner or Purchaser contained in this Resale Restriction or the Deed of Trust, including, but not limited to, reasonable attorneys' fees; and (D) Owner or Purchaser takes such action as CDC may reasonably require to assure that the lien of the Deed of Trust, CDC's interest in the Restricted Unit and • Owner's or Purchaser's obligation to pay the sums secured by the Deed of Trust shall continue unimpaired. Upon such payment and cure by Owner or Purchaser as set forth in this Section 9(b)(1), this Resale Restriction, the Deed of Trust and the obligations secured hereby shall remain in full force and effect as if no acceleration had occurred. (2) Non -Curable Breach. 6 C \Documems and Sat mgs\AlfedoY\Local Scmngs\Tarryorary lntcrnet Fdes\OLK8BVRaale Restriction vI doe Nier (A) Failure to Occupy/Renting Out the Restricted Unit is a Violation of Law. Owner and each Purchaser hereby acknowledges that the loan evidenced by the CDC Note and secured by the Deed of Trust was funded by the CI)C using U.S. Department of I lousing and Urban Development ("HUD") Home Investments Partnership Act ("HOME") funds. Section 215 of the HOME Investment Partnerships Act (42 U.S.C. §12745) and the HOME program regulations (24 C.F.R. §92.254) require Owner and each Purchaser to occupy the Restricted Unit as their principal residence. Renting out the Restricted Unit and/or Owner or any Purchaser's failure to occupy the Restricted Unit as their principal residence is a violation of State of California and Federal law (in addition to being a violation of this Resale Restriction). CDC is obligated by Federal law to enforce the provisions of the HOME program, CDC's failure to do so would jeopardize CDC's ability to obtain additional HOME funds from HUD and help other low-income families to obtain affordable housing. (B) Failure to Occupy/Renting Out the Restricted Unit Materially Impairs CDC's Security. Owner and each Purchaser hereby acknowledges and agrees that renting out the Restricted Unit and/or Owner or any Purchaser's failure to occupy the Restricted Unit as their principal residence, materially impairs CDC's security for the CDC Note and CDC's ability to obtain additional HOME funds from IHUI) and help other low-income families to obtain affordable housing. Owner and each Purchaser further acknowledges that if the Restricted Unit is rented out and/or Owner or any Purchaser fails to occupy the Restricted Unit as their principal residence, then during any such period the Restricted Unit will not qualify as "affordable housing" and CDC may be in breach of its obligations to HUD and therefore the CDC's security for the loan will be materially impaired. (C) Failure tq_Occt py/Renting Out the Restricted Unit is a Non - Curable Breach. Owner and each Purchaser hereby acknowledges and agrees that renting out the Restricted Unit and/or Owner or any Purchaser's failure to occupy the Restricted Unit as their principal residence, will be a non -curable breach and CDC shall have the right to accelerate the loan and foreclose on the Restricted Unit as provided herein. Notwithstanding anything to the contrary set forth in this Resale Restriction, Owner and each Purchaser agrees that in the event Owner or any Purchaser rents out the Restricted Unit and/or fails to occupy the Restricted Unit as their principal residence, neither Owner or any Purchaser shall have the right to cure the breach and reinstate this Resale Restriction, the loan, the Deed of Trust or the obligations secured thereby. (D) Owner's Waiver. Owner and each Purchaser hereby knowingly. waives and relinquishes any and all legal and/or contractual rights Owner and any Purchaser may have to cure or otherwise reinstate the Deed of Trust and the obligations secured thereby, in the event the Restricted Unit is rented out and/or Owner or any Purchaser fails to occupy the Restricted Unit as their principal residence. (E) Representation of Comprehension. Owner and each Purchaser hereby acknowledges and agrees that CDC has advised Owner and each Purchaser (and each of them if there is more than one Owner or Purchaser) to retain an attorney to represent them with respect to this Resale Restriction. By executing this Resale Restriction, Owner and each Purchaser (and each of them if there is more than one Owner or Purchaser) represents that: (i) 7 C Doc omens and Settings tA Ifi cdo Nloual Set ongskTemporary Internet Fricsl()I. K88Utesaie !test; ;coon rI doc each of them fully understands and accepts the terms of this Resale Restriction, the CDC Note and Deed of Tntst; (ii) each of them has relied upon the legal advice of their attorneys or they have freely and independently chosen not to seek the advice of an attorney; (iii) that neither the CDC nor its attorneys represents them; (iv) each of them has had a full and ample opportunity to consult with any other professionals of their choice in connection with the rights and liabilities created by this Resale Restriction, the CDC Note and Deed of Trust; (v) that none of them has any questions with regard to the legal import of any term, word, phrase, or portion of this Resale Restriction, the CDC Note and Deed of Trust, or any of the foregoing documents in their entireties; and (vi) each of them accepts the terms of this Resale Restriction, the CDC Note and Deed of Trust as written. 10. CDC'sOption to Purchase lippn Default. In addition to the remedies provided the CDC in Section 9 above, the CDC has and is hereby granted the option ("Option") to purchase the Restricted Unit effective upon the declaration of a written default by the CDC. The CDC's option to purchase may be exercised upon a default under this Resale Restriction decision to exercise its option to purchase the Restricted Unit on the following terms and conditions: (a) Grant of Option. Owner and all subsequent Purchasers hereby grant to CDC an option (the "Option") to purchase the Restricted Unit on the terms and conditions set forth herein. The purchase price payable by the CDC to the Owner for the Restricted Unit (the "Option Price") shall be the greater of (a) the Maximum Sales Price, as defined in Section 8 hereof, or (h) the sum of the current balance of the First Lien ("First Lien" means the lien of the institution making the purchase money loan to the Owner for the purchase of the Restricted Unit and/or any acceptable refinancings), plus the Owner's share of escrow, title and other closing costs as set forth in Section 4 hereof. The Option created hereby shall be irrevocable by Owner and shall be binding upon the successors and assigns of Owner. The CDC shall have the right of specific performance to enforce the terms of this Option. (b) Tcnn and Consideration for Option. The term of the Option ("Option Term") shall commence on the date of this Resale Restriction, and shall expire upon the expiration or termination of the Affordable Term. (c) Exercise of Option. The Option may he exercised by CDC's delivery to Owner of written notice of such exercise (the "Exercise Notice") only upon the occurrence of an event of default under the First Lien. In the event that the CDC exercises the Option, but the Owner cures the default of the First Lien prior to the sale of the Restricted Unit to the CDC, the CDC's exercise of the Option shall he deemed revoked. The revocation of the exercise of the Option shall not terminate this Option Agreement or preclude the CDC from subsequently exercising the Option upon a later event of default under the First Lien. (d) Escrow and Completion of Sale. Within five (5) days after CDC has exercised the Option, or as soon thereafter as reasonably practicable, an escrow shall he opened with an escrow company mutually acceptable to CDC and Owner for the conveyance of the Restricted Unit to the CDC. The CDC shall deposit the Option Price in escrow not later than one (1) business day prior to the anticipated close of escrow date. The CDC's obligation to close escrow shall be subject to the CDC's approval of a then -current preliminary title report and, at CDC's 8 C 1Doeuments and Satings\AlGcdoYU.\xal Settings\ Temporary Internet Files \OLj( B\Resale Restriction vl doc option, environmental and other site testing. Any exceptions shown on such preliminary title report created on or after the Owner's acquisition of the Restricted Unit shall be removed by Owner at its sole expense prior to the close of escrow pursuant to this Section 10(d) unless such exception(s) is(are) accepted by CDC in its reasonable discretion; provided, however, that CDC shall accept the following exceptions to title: (i) current taxes not yet delinquent, (ii) matters affecting title existing on the date of Owner's acquisition of the Restricted Unit, (iii) liens and encumbrances in favor of the City of National City, (iv) the First Lien (if the CDC is taking subject to the First Lien), (v) this Resale Restriction, and (vi) matters shown as printed exceptions in the standard form CLTA owner's policy of title insurance. The parties shall each be responsible for one-half of the escrow fees, documentary transfer taxes, recording fees and any other costs and expenses of the escrow, and the Owner shall be responsible for the cost of a CLTA owner's policy of title insurance. CDC shall have thirty (30) days after exercise of the Option to enter upon the Restricted Unit to conduct any tests, inspections, investigations, or studies of the condition of the Restricted Unit. Owner shall permit the CDC access to the Restricted Unit for such purposes. The CDC shall indemnify, defend, and hold harmless Owner and its officers, directors, shareholders, partners, employees, agents, and representatives from and against all claims, liabilities, or damages, and including expert witness fees and reasonable attorney's fees and costs, caused by CDC's activities with respect to or arising out of such testing, inspection, or investigatory activity on the Restricted Unit. Escrow shall close promptly after acceptance by CI)C of the condition of title and the physical and environmental condition of the Restricted Unit, and in no event later than ninety (90) days after the date that the CDC has exercised the Option. Until the Closing, the terms of the Restriction and the documents executed and recorded pursuant thereto shall remain in full force and effect. 11. _Non -liability of the CDC. In no event shall the CDC become in any way liable or obligated to the Purchaser or to any successor -in -interest of the Purchaser by reason of its option to purchase under either Section 6 or Section 10 herein nor shall the CDC be in any way obligated or liable to the Purchaser or any successor -in -interest of the Purchaser for the CDC's failure to exercise such option to purchase or to designate an Eligible Purchaser. 12. Binding on Successor and Assigns. This Resale Restriction shall bind, and the benefit hereof shall inure to, the Owner, the Purchaser, and to their respective heirs, legal representative executors, successors in interest and assigns, and to the CDC and its successors except as provided in Section 3. Provided, however, upon a release of this Resale Restriction, either through a foreclosure or the receipt of a deed in lieu of foreclosure by the holder of the First Lien, this Resale Restriction, shall not thereafter reattach. 13. Subordination. This Resale Restriction is to be recorded in first lien priority position. Notwithstanding the foregoing, this Resale Restriction may be recorded in second lien priority position if the lender financing the Owner's purchase of the Restricted Unit will not allow its deed of trust to be subordinate to the Resale Restriction. 14. Invalid Provisions. If any one or more of the provisions contained in this Resale Restriction shall for any reason he held to be invalid, illegal or unenforceable in any respect then such provision or provisions shall he deemed severable from the remaining provisions contained 9 C \Documents and Serf ings\AI c k Y\Local Settings \Temporary Internet Files\OLK8BVtesale Restnctton v I .doe in this Resale Restriction, and this Resale Restriction shall be construed as if such invalid, illegal or unenforceable provision had never been contained herein. 15. Controlling Law. The terms of this Resale Restriction shall be interpreted under the laws of the State of California. 16. Notices. All notices required herein shall he sent to the CDC by certified mail return receipt requested, as follows: Community Development Commission of the City of National City 1243 National City Blvd. National City, CA 91950 or such other address that the CDC may subsequently request in writing. Notices to the Purchaser shall he sent by certified mail return receipt requested to the Restricted Unit address. 17: Interpretation of Restriction Covenants. The terms of this Resale Restriction shall be interpreted to encourage to the extent possible that the Maximum Sales Price of and mortgage payments for the Restricted Unit remain affordable to households earning sixty percent (60%) or Icss of the area medium income as adjusted annually and as further adjusted for household size. 18. Non -Discrimination Covenants. The Owner covenants by and for itself and any successors in interest that there shall be no discrimination against or segregation of any person or group of persons on account of race, color, creed, religion, sex, sexual orientation, marital status, national origin, ancestry, familial status, source of income or disability in the sale, lease, sublease, transfer, use, occupancy, tenure or enjoyment of the Restricted Unit. The foregoing covenants shall run with the land. 19. Promissory Note in Favor of CDC. (a) Execution by Owner and Calculation of Principal Amount. During the Affordability Period, Owner and each Purchaser shall be obligated to execute the CDC Note which shall be in a form approved by the CI)C in its sole discretion, to ensure the continued affordability of the Restricted Unit. 1'he principal of the CDC Note shall be an amount equal to the difference between (i) (i) the Single Family Mortgage Limit for the County of San Diego under Section 203(b) of the National Housing Act (12 U.S.C. §I709(b)) or any other limitation then provided by Code of Federal Regulations §92.254(a) or any successor law or regulation; less (ii) the Maximum Purchase Price. Such amount will not actually be paid by the CDC to the Owner or Purchaser, but represents the subsidy constructively received by the Owner or Purchaser as a result of purchasing the Restricted Unit at a price below its fair market value. (b) CDC Note Secured by Deed of Trust. The Owner's payment obligations pursuant to the CDC Note shall be secured by the Deed of Trust which shall be in a form approved by the CDC in its sole discretion (the "Deed of Trust"), and which shall encumber the Restricted tJnit in second lien priority position. 10 C \Documents and Settings \ A Ifi edoY\Local Senmgs\Temporary Intemct F ila\0LK8H\Resale Reset -lawn vl doe (c) Repayment of the CDC Note. No repayment of the CDC Note shall be due until the earliest to occur of the following events, at which time the entire principal balance of the CDC Note and unpaid and default interest thereon shall be due and payable, at the option of the CDC: (i) a Transfer; (ii) Owner or any Purchaser's uncured default under the terms of this Resale Restriction, the CDC Note or the Deed of Trust; or (ii) Owner or any Purchaser's default under the terms of the First Lien. The Owner's obligation to repay the CI)C Note may be assumed by a subsequent purchaser of the Restricted Unit who acquires the Restricted Unit through a transfer approved by the CDC. The original principal amount of the CDC Note shall be payable on the forty-fifth (45th) anniversary of the date of the CDC Note, without interest, provided that the Owner and its successors in interest to the Restricted Unit remain in compliance with the terms of this Resale Restriction throughout the Affordability Period. (d) Subordination of the Deed of Trust. The CDC shall execute such subordination agreements subordinating the Deed of "Trust securing the CDC Note as may be reasonably requested by the holder of a First Lien. Any such subordination agreements shall be in a form approved by the CDC in its reasonable discretion. This Resale Restriction will not be subordinated. 20. Written Consent of CDC Required Before Transfer. During the Affordability Period, the Restricted Unit, and any interest therein, shall not be conveyed by any Transfer or refinancing, except as expressly provided in this Resale Restriction, except with the express written consent of the CDC. 21. Attorneys' Fees. The parties agree that the prevailing party in litigation for the breach and/or interpretation and/or enforcement of the terms of this Resale Restriction shall be entitled to their expert witness fees, if any, as part of their costs of suit, and reasonable attorneys' fees as may he awarded by the court, pursuant to California Code of Civil Procedure ("CCP") Section 1033.5 and any other applicable provisions of California law, including, without limitation, the provisions of CCP Section 998 22. Monitoring. The Owner shall annually report to the CDC, in writing, confirming that they continue to reside in the Restricted Unit, have not leased or rented the Restricted Unit for more than the allowed, period of time, providing evidence of insurance, evidence of the payment of taxes, if not impounded, and any and all other information reasonably needed by the CDC to assure compliance with the terns of the Restriction on a form or forms prepared by the CDC. Within 15 days of a written request from the CDC to the Owner, Owner shall respond with all information requested to all the CDC complete its monitoring responsibilities under the terms of the Restriction. Failure to completely and timely comply with requests shall be deemed a material default under the terms of the Restriction. IN WITNESS WHEREOF, the parties have executed this Resale Restriction on or as of the date first written above. CDC: Community Development Commission of the City of National City 11 C Wottuncnts and SentngsU\IfrnloY\Local Sonngs\Temporary Intnnct FiI,a Ol.KRB\Rcsak Ncstnctnon v1 d c By: Print Name: Its: OWNER: Print Name: Print Name: 12 \I)ocuments and Setlings\AlfredoY\Local Scinngski crnpwary Inte-rnet Files\ OL K8B Vicsale Rest v I doc ACKNOWLEDGMENT State of California County of San Diego On , 200 before me, personally appeared _ _ _ - _- _ 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 (Seal) 13 (' \Rxuments and Settings \AlfiedoY\Local Setttnp}\iernporary !memo Files\01.KRB\Resale Restnctiun vl due ACKNOWLEDGMENT State of California County of San Diego On 200 before me, personally appeared _ - _ 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 pe►jury under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. Signature _-- (Seal) 14 C \Documents and Settings411GedoYVncal Settings\Temporary Intoner Files \OLKSR\Resale RestrictionI doc ACKNOWLEDGMENT State of California County of San Diego On —_— — 200 before me, personally appeared _ _ _ 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 (Seal) 15 (: \Documents and Servings\AI6n1oV\Lotal Settings\Ternponuy Internet Files \()t.K8(3\Resale Rcstnebon vl doe EXHIBIT "A" Restricted Unit Legal Description 16 (' Documents and SettinksWlfredoYUncal SettingstTengxrary Internet Files\Ol.K8B\Resale Restnetton vt doc Attachment No. 11 Agreement Affecting Real Property 57 :\Documents and Settings\kareny IIFHSD\Local Settings\Temporary Internet Recording Requested By: Community Development Commission of the City of National City 1243 National City Boulevard National City, CA 91950-4397 And When Recorded Mail 7'o: Community Development Commission of the City of National City 1243 National City Boulevard National City, CA 91950-4397 This document is exempt from the payment ofa recording fee pursuant to Government Code Section 6103. AGREEMENT AFFECTING REAL PROPERTY (1441 Harding Avenue) TIIIS AGREEMENT AFFECTING REAL PROPERTY is made this day of , 2009, between San Diego Habitat for humanity, Inc., a California nonprofit corporation ("Developer"), and the Community Development Commission of the City of National City ("CDC"). A. Developer is the owner of that certain real property located in the City of National City, County of San Diego, State of California, described in Exhibit "A" attached hereto and made a part hereof (referred to herein as the "Property"). B. Developer has acquired the Property from the CDC pursuant to that certain Development and Disposition Agreement dated , 2009 ("DDA"), in furtherance of the Redevelopment Plan for the National City Redevelopment Project ("Redevelopment Plan"), adopted by Community Development Commission of the City of National City on July 18, 1995. One of the components of the Redevelopment Plan for the National City Redevelopment Project, adopted by Community Development Commission of the City of National City on July 18, 1995, is to provide affordable housing opportunities for households earning one eighty percent (80%) or less of the area medium income, adjusted for family size and revised annually by the U.S. Department of Housing and Urban Development for the San Diego Metropolitan Statistical Area. C. In order to further assist in the development of below market rate affordable housing, the CDC and Owner have agreed to enter into this Agreement Affecting Real Property to be covenants, conditions and restrictions and equitable servitudes running with the land with respect to the Property. C:\Documents and Settings\AlfrcdoYV.ocal Settings\Temporary Intcrnrt Files\OI.KBR\AARP v1 (Inc NOW, THEREFORE, for good and valuable consideration, the receipt of which is hereby acknowledged, CDC and Developer hereby agree and declare as follows and each subsequent owner of the Property and their successors are deemed to covenant and agree, that the Property shall he held, sold and conveyed subject to the following covenants and conditions which shall run with the land and be binding on all parties having any right, title or interest in the Property, their respective heirs, legatees, devisees, administrators, executors, successors and assigns, and shall inure to the benefit of the CDC, its successors and assigns: 1. Construction of Affordable Units. Under the terms of the DDA, Developer is obligated to construct on the Property a total of three (3) for -sale, single family homes (the "Affordable Units"), as set forth in more detail therein. No other dwelling units will be constructed on the Property. 2. Definitions. The following terms shall have the following meanings: (a) Area Median Income. "Area Median Income" shall mean the area median income defined by the Department of Housing and Urban Development (HUD) as the then current area median income for the San Diego Standard Metropolitan Statistical Arca, established periodically by HUD and published in the Federal Register, as adjusted for family size. In the event HUD ceases to publish an established arca median income as aforesaid, CDC may, in its sole discretion, use any other reasonably comparable method of computing area median income. (b) Low income Household. "Low Income Household" means persons and families whose income does not exceed sixty percent (60%) of the then current Area Median Income, provided that such persons or families meet the additional requirements set forth in Section 4 of this Agreement Affecting Real Property. (c) Maximum Sales Price. "Maximum Sales Price" shall mean the maximum amount of consideration, of any kind whatsoever, that the Developer may receive for any Affordable Unit, which amount shall not exceed the lesser of: (i) the sum of (A) the purchase price which would result in a Monthly Housing Cost, as determined by the CDC, which does not exceed the product of one twelfth (1/12) of thirty percent (30%) times sixty percent (60%) of the then Area Median Income as adjusted for household size appropriate for the unit, plus (B) the amount of the Developer Note assumed by the Low Income Household that purchases such Affordable Unit; or (ii) the Single Family Mortgage Limit for the County of San Diego under Section 203(b) of the National Housing Act (12 U.S.C. §1709(b)) or any other limitation then provided by Code of Federal Regulations §92.254(a) or any successor law or regulation. 2 C:1Documents and Settings\AtfredoYU ocal Settings\ Temporary Internet Files 1nt.K!{I31AARI' vI doe 3. Covenants Concerning Sales of Affordable Units and HUD HOME Program. Developer represents and warrants to the CDC that Developer shall sell the three (3) Affordable Units (all of the units at the Property) only to Low Income Households for an amount that does not exceed the Maximum Sales Price and that future sales of the Affordable Units for a period of45 years shall be only to Low Income Households for an amount that does not exceed the Maximum Sales Price. The Affordable Units will be restricted for twenty (20) years from initial occupancy under the HUD HOME Program, Redevelopment Plan and the California Community Redevelopment Law. In the event of conflict during such 20 year period between the statutes, provisions or regulations of the HUD HOME Program, Redevelopment Plan or the California Community Redevelopment Law, the HUD HOME Program shall apply. Thereafter, the Affordable Units will be restricted for the remainder of the terns under the Redevelopment Plan and the California Community Redevelopment Law. Developer shall comply with all regulations, policies and procedures promulgated by HUD, or the CDC in connection with the HOME Program, including without limitation all applicable provisions of 24 CIF Part 92. Developer's failure to so comply shall constitute a material default hereunder. 4. Additional Definition of Low Income Households. (a) No Relationship With Developer. The term Low Income Household shall not include any person employed by Developer, or any individuals who arc members, principals, officers, directors, partners, employees, agents or shareholders of Developer, or any entity having an ownership interest in the Property or in any Affordable Unit. (b) No Full -Time Students. The term Low Income Household shall not include any `r% person who is a full-time student, or a household comprised exclusively ofpersons who are full-time students, unless such persons are married and eligible to file a joint federal income tax return. The term "full-time student" shall be defined as any person who will be or has been a full-time student during five calendar months of the calendar year in question at an educational institution (other than a correspondence school) with regular faculty and students. (c) No Student Dependents. Notwithstanding the provisions of subparagraph 4(b), the term Low Income Household shall not include any student dependent as defined in the U.S. Internal Revenue Code, unless the taxpayer (upon whom the student in question is dependent) will reside in the same Affordable Unit. (d) No Owners of Real Property. The term Low Income Household shall not include any person or any household comprised of one or more persons who own real property. (e) Liquid Asset Limitation. The term Low Income Household shall not include any person or household holding, directly or indirectly, liquid assets whose aggregate value exceeds, at the time of determination of eligibility, one hundred percent (100%) of the then -current annual Area Median Income. As used herein, the term "liquid assets" refers to cash and assets which are readily convertible to cash within a reasonable period, including but not limited to savings and checking accounts, certificates of deposit of any term, marketable securities, money market and similar accounts, mutual fund shares, and insurance policy cash values. The term "liquid assets" shall not Nue 3 CAI)ocuments and Settings\AlfredoY\IDeal Settingsliemporary Internet Piles\OIKAB\HARP vlAim include retirement funds which are not readily accessible or which cannot be accessed by the buyer without the buyer incurring a penalty. (0 Income ofCo-Purchasers. The income ofall co -purchasers and/or occupants shall be taken into account in determining whether a household is a Low Income Household. (g) Principal Place of Residence. A purchaser of an Affordable Unit shall not qualify as a Low Income Household, unless that purchaser agrees to reside in the Affordable Unit as such purchaser's principal place of residence during the entire period that the Affordable Unit is owned by such purchaser. 5. Release and Termination. The CDC shall partially release and terminate this Agreement Affecting Real Property, with respect to each Affordable Unit, upon the last to occur of: (i) the sale of the Affordable Unit; (ii) the Low -Income Ilousehold's execution of the First -Time Homebuyer Note, as defined in the DDA; (iii) the recordation against the individual Affordable Unit of the Resale Restriction, as defined in the I)DA; and (iv) the recordation against the individual Affordable Unit of the deed of trust securing the First -Time Homebuyer Note and the Resale Restriction. 6. Foreclosure by Court Action. The CDC may in its sole and absolute discretion foreclose the lien created hereby by foreclosing on the L)eed of Trust securing this Agreement Affecting Real Property or by court action in the manner provided by the laws then applicable to this Agreement Affecting Real Property, in either case the Developer agrees to pay all costs and expenses thereof, including reasonable attorneys' fees as the court may determine. 7. Notices. Any notice, demand, request or other communication which any party hereto may be required or may desire to give hereunder shall be in writing and will be effectively served upon personal delivery or, if mailed, no later than 48 hours after deposit in first class or certified United States mail, postage prepaid, sent to: "I'o CDC: To Developer: Community Development Commission of the City of National City 1243 National City Boulevard National City, CA 91950-4397 San Diego Habitat for Humanity, Inc. 10222 San Diego Mission Road San Diego, CA 92108 which addresses may be changed by written notice. 4 C:\r)ocuments and Settings\AlfrcdoY\I.ocal Settings\Temporary Internet Piles\0I.K8R\AARP vl doe 8. Standing, Equitable Remedies; Cumulative Remedies. Developer expressly agrees and declares that the CDC or its successors shall he the proper party and shall have standing to initiate and pursue any and all actions or proceedings, at law or in equity, to enforce the provisions hereof and/or to recover damages for any default hereunder, notwithstanding the fact that such damages or the detriment arising from such a default may have actually been suffered by some other person or by the public at large. Further, Developer expressly agrees that receivership, injunctive relief and specific performance are proper pre-trial and/or post -trial remedies hereunder, and that, upon any default, and to assure compliance with this Agreement Affecting Real Property. Nothing in this paragraph, and no recovery to the CDC, shall restrict or limit the rights or remedies of persons or entities other than the CDC, against Developer in connection with the same or related acts by Developer, the Property or this Agreement Affecting Real Property. 9. General Provisions. (a) Integration. The undersigned, and each of them, acknowledge and represent that no promise or inducement not expressed in this Agreement Affecting Real Property has been made in connection with this Agreement Affecting Real Property. This Agreement Affecting Real Property contains the entire agreement and understanding between the parties as to its subject matter. (b) Waiver and Amendment. No provision of this Agreement Affecting Real Property, or breach of any provision, can be waived except in writing. Waiver of any provision or breach shall not be deemed to he a waiver of any other provision, or of any subsequent breach of the same or other provision. Except as otherwise provided herein, this Agreement Affecting Real Property may be amended, modified or rescinded only in writing signed by Developer and the CDC. (c) Time of Essence. Time is expressly declared to be of the essence in this Agreement Affecting Real Property, and of every provision in which time is an clement. (d) Captions. Paragraph titles and captions contained in this Agreement Affecting Real Property are inserted as a matter of convenience and for reference, and are not a substantive part of this Agreement Affecting Real Property. (e) Further Assurances. The parties each agree to sign any additional documents, which are reasonably necessary to carry out this Agreement Affecting Real Property or to accomplish its intent. (f) Benefit and Burden. This Agreement Affecting Real Property shall be binding upon and inure to the benefit of the parties and their respective heirs, representatives, successors and assigns. This Agreement Affecting Real Property is not intended to benefit any person other than the parties hereto. (g) Governing Law. This Agreement Affecting Real Property has been entered into in the State of California, and shall be interpreted and enforced under California law. 5 C:\Documents and Settings AtfredoY\IDeal Settings\Temporary Internet Files\OLK8I3\AARP vl .doc Neelir (h) Attorneys' Fees. The prevailing party in any action, including, but not limited to, arbitration, a petition for writ of mandate, and/or an action for declaratory relief, brought to enforce, interpret or reform the provisions of this Agreement Affecting Real Property shall be entitled to reasonable attorneys' fees and costs (including, but not limited to, experts' fees and costs and trustee's fees, and including "costs" regardless of whether recoverable as such under statute) incurred in such action. (i) Exhibits and Recitals Incorporated. All exhibits referred to in this Agreement Affecting Real Property are hereby incorporated in this Agreement Affecting Real Property by this reference, regardless of whether or not the exhibits are actually attached to this Agreement Affecting Real Property. The Recitals to this Agreement Affecting Real Property are hereby incorporated in this Agreement Affecting Real Property by this reference. (j) Signatures. This Agreement Affecting Real Property may be signed in counterparts. All individuals signing this Agreement Affecting Real Property for a party which is a corporation, limited liability company, partnership or other legal entity, or signing under a power of attorney, or as a trustee, guardian, conservator, or in any other legal capacity, covenant to the CDC that they have the necessary capacity and authority to act for, sign and hind the respective entity or principal on whose behalf they are signing. CDC: Community Development Commission of the City of National City By: -- Print Name: Its: APPROVED AS TO FORM: Walter F. Spath 1II Special Counsel to CDC DEVELOPER: San Diego Habitat for Humanity, Inc., a California nonprofit corporation By: Print Name: Its: By: 6 C :\Docurnetis and SettingAAifredoY\Local SettingsVIernporary Internet Files\Oi.K8F3\AARI' vl doe Print Name: Its: 7 ('.\Documents and Settings\AlfredoYLocal Settings\Temporary Internet files\OLK8B\AARP vl .doe ACKNOWLEDGMENT State of California ) County of San Diego ) On 200 before me, personally appeared _ 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 instillment 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 (Seal) ACKNOWLEDGMENT State of California ) County of San Diego ) On - _ , 200 before me, personally appeared 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 (Seal) 8 C:VDocuments and Setlings\AlfredoY\1..ocal Settings\remporary Internet Files\OLK86\AAKP vI .doe ACKNOWLEDGMENT State of California ) County of San Diego ) On , 200 before me, personally appeared 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 (Seal) 9 C:\Documents and Settinls\AlfrcdoY\Lcal Settings\Temporary Internet Files\OLKSB'AARP vI.doc Exhibit "A" Legal Description All that certain real property situated in the City of National City, County of San Diego, State of California, described as follows: 10 C:\I)ocuments and Settings\AlfredoY\L.ocal Settings\Temporary Internet Files\OI.K8B\AARI' v I Aloe Attachment No. 12 Environmental Indemnity 58 ;:\Documents and Settings\kareny l-IFHSDU.ocal Settings\Temporary Internet UNSECURED ENVIRONMENTAL INDEMNITY AGREEMENT (1441 Ilarding Avenue) THIS UNSECURED ENVIRONMENTAL INDEMNITY AGREEMENT("Indemnity") is dated as of this day of , 2009, by San Diego Habitat for Ilumanity, Inc., a California nonprofit corporation ("Indemnitor"), to and for the benefit of the Community Development Commission of the City of National City ("CDC"), its successors and assigns and, to the extent not otherwise referenced, the Indemnified Parties (as hereinafter defined). RECITALS A. CI)C has agreed to make a loan ("Loan") to Indemnitor as described in that certain Development and Disposition Agreement between CDC and Indemnitor, dated as of 2009 ("DDA") and that certain Note Secured by Deed of Trust made by Indemnitor in favorofCDC, dated as of___ _ _ , 2009 ("Promissory Note"), which Loan is secured by, among other things, a Deed of Trust executed by Indemnitor in favor of CDC ("Deed of Trust"). The Deed of Trust encumbers the real property described on Exhibit A attached hereto (the "Property"). B. It is a condition of CDC's making the Loan that this Indemnity be executed and delivered by Indemnitor. CI)C is making the Loan in reliance upon this Indemnity. C. This Indemnity is unsecured and is separate from the security and other collateral being delivered by Indemnitor in connection with the making of the Loan. AGREEMENT NOW, THEREFORE, in consideration of the foregoing and of CDC making the Loan, and other valuable consideration, the receipt of which is hereby acknowledged, Indemnitor agrees as follows: 1. Indemnity. (a) Subject to Sections 2, 3 and 4 below, Indemnitor hereby agrees to defend, protect, indemnify and hold harmless CDC, CDC's affiliates, directors, officers, shareholders, agents and employees, and CDC's participants, successors and assigns specified in Section 4 hereof(hereinafter, collectively, the "Indemnified Parties"), from and against, and shall reimburse the Indemnified Parties for, any and all actual out-of-pocket costs (including, without limitation, attorneys' fees, expenses and court costs), expenses or losses arising from any claim, liability, damage, injunctive relief, injury to person, property or natural resources, fine, penalty, action or cause of action (collectively, "Costs and Liabilities"), incurred by or asserted against any Indemnified Party and arising directly or indirectly, in whole or in part, out of the release, discharge, deposit or presence, or alleged or suspected release, discharge, deposit or presence, of any Ilazardous Materials at, on, within, under, about or from the Property, or in or adjacent to any part of the Property, or in the soil, C.\nocuments and Settings\AlfredoY\l..cxal Settings\Temporary Utternet Files\01.K8n\Environmental Indemnity vi doe groundwater or soil vapor on or under the Property, or elsewhere in connection with the transportation of Hazardous Materials to or from the Property in violation of any Hazardous 4401 Materials Laws, whether or not known to Indemnitor or Indemnified Parties, whether foreseeable or unforeseeable, regardless of the source of such release, discharge, deposit or presence or, except as expressly provided to the contrary in Sections 2 and 4 hereof, regardless of when such release, discharge, deposit or presence occurred or is discovered. Without limiting the generality of the foregoing indemnity, such Costs and Liabilities shall include, without limitation, all actual out-of- pocket costs incurred by Indemnified Parties in connection with (i) determining whether the Property is in compliance with this Indemnity and with all applicable Hazardous Materials laws or the amount of money required to remedi ate any environmental contamination, and causing the Property to he or become in compliance, with all applicable Hazardous Materials Laws, (ii) any removal or remediation of any kind and disposal of any Ilazardous Materials present at, on, under or within the Property or released from the Property to the extent required by applicable Ilazardous Materials Laws in effect at the time of such removal, remediation or disposal, and (iii) repair of any damage to the Property or any other property caused by any removal, remediation or disposal. (b) Upon demand by any Indemnified Party, Indemnitor shall defend any investigation, action or proceeding in connection with any claim or liability, or alleged claim or liability, that would, if determined adversely to such Indemnified Party, be covered by the foregoing indemnification provisions, such defense to be at Indemnitor's sole cost and expense and by counsel reasonably approved by such Indemnified Party, which counsel may, without limiting the rights of an Indemnified Party pursuant to the next succeeding sentence of this Section 1(b), also represent Indemnitor in such investigation, action or proceeding. If any Indemnified Party determines reasonably and in good faith that its defense by Indemnitor is being conducted in a manner which is prejudicial to its interests, such Indemnified Party may elect to conduct its own defense through counsel of its own choosing and at the expense of Indemnitor. lure (c) As used herein, the term "Ilazardous Materials" means and includes any flammable, explosive, or radioactive materials or hazardous, toxic or dangerous wastes, substances or related materials or any other chemicals, materials or substances, exposure to which is prohibited, limited or regulated by any federal, state, county, regional or local authority or which, even if not so regulated, may or could pose a hazard to the health and safety of the occupants of the Property or of property adjacent to the Property, Including, but not limited to, asbestos, PCBs, petroleum products and byproducts, substances defined or listed as "hazardous substances" or "toxic substances" or similarly identified in, pursuant to, or for purposes of, the California Solid Waste Management, Resource Recovery and Recycling Act (California Government Code §66700 et seg.), the Comprehensive Environmental Response, Compensation, and Liability Act, as amended (42 U.S.C. §9601, et seq.), the Hazardous Materials Transportation Act (49 U.S.C. § 1801, et seq.), the Resource Conservation and Recovery Act (42 U.S.C. §6901, et seq.), Section 25117 or Section 25316 of the California I Iealth & Safety Code; and any so-called "Superfund" or "Superlien" law, or any other federal, state or local statute, law, ordinance, code, rule, regulation, order or decree regulating, relating to or imposing liability or standards of conduct concerning any hazardous, toxic or dangerous waste, substance or material; or any substances or mixture regulated under the Toxic Substance Control Act of 1976, as now or hereafter amended (15 U.S.C. §2601 et seq.); and any "toxic pollutant" under the Clean Water Act, as now or hereafter amended (33 U.S.C. § 125 l et seep); and any hazardous air r.r+►` C':1I ocuments and Settings\Alfrcdon.ocal Settings\Temporary Internet tiles\OLK813117..nvuonnxiital Indemnity vl doe pollutant under the Clean Air Act, as now or hereafter amended (42 U.S.C. §7901 et seq.). Notwithstanding the above, the term "Hazardous Materials" shall not include small amounts of chemicals, cleaning agents and the like commonly employed in routine household uses in a manner typical of occupants in other similar residential properties provided they are used in compliance with applicable laws. The term "Hazardous Materials Laws" means any federal, state or local law, code, statute, ordinance, rule, regulation, rule of common law or guideline relating to Hazardous Materials now or hereafter enacted or promulgated (collectively, and including, without limitation, any such laws which require notice of the use, presence, storage, generation, disposal or release of any l lazardous Materials to be provided to any party). 2. Time Limits on Claims. Notwithstanding the foregoing provisions: (a) No claim shall be made hereunder by any Indemnified Party unless and until any one of the following events shall have occurred: (i) repayment in full of the Loan (as evidenced by the release and reconveyance of the Deed of Trust); or (ii) vesting of title to the Property in CI)C or any Indemnified Party through judicial or non -judicial foreclosure or acceptance ofa deed in lieu thereof. (b) Indemnitor shall not have any obligation under this Indemnity to an Indemnified Party with respect to any Costs and Liabilities that, prior to the first to occur of the events described in Section 2(a)(i) or (ii) above: (i) were actually known to CI)C; (ii) were liquidated in amount, or were otherwise readily determinable in amount without undue delay; and (iii) would have been lawfully and properly includable as part of the secured indebtedness under the Deed ofTnist in an action for a deficiency judgment following a judicial foreclosure sale of the Property. (c) If any Indemnified Party or any affiliate of any Indemnified Party has acquired ownership of the Property through foreclosure or deed in lieu of foreclosure, the obligations of Indemnitor hereunder shall apply, without limitation, to all Costs and Liabilities that arise out of or are attributable to, whether directly or indirectly, ownership of the Property or any part thereof by any Indemnified Party or any such affiliate, or to the position of such Indemnified Party or such affiliate as an owner in the chain of title to the Property or any part thereof. (d) If the Loan has been repaid in full, whether by voluntary payment or by foreclosure or deed in lieu of foreclosure, the obligations of Indemnitor hereunder shall continue to apply, without limitation, to all Costs and Liabilities that arise out of or are attributable to, whether directly or indirectly, any claim or allegation against an Indemnified Party relating to any act or omission of such Indemnified Party in respect of the Loan or the Property, or in connection with any exercise of such Indemnified Party's rights under any of the Loan Documents. 3. Acts of Indemnified Parties. (a) Notwithstanding anything to the contrary herein, Indemnitor shall not he liable hereunder to an Indemnified Party to the extent of that portion of any Costs and Liabilities which Indemnitor establishes is attributable to an affirmative act of such Indemnified Party, its agent or any successor in interest of an Indemnified Party at the Property which causes (i) the release, discharge, deposit or presence, or alleged or suspected release, discharge, deposit or presence of a Hazardous C\Documents and Sctting.,s\AlfredoYVheal Settings\Temporary Internet Files\OLKSl;\finvrronmc-ntal Indemnity vl (Inc Material at the Property, or (ii) material aggravation of a then existing Hazardous Material condition or occurrence at the Property, if and only if, in either such case referred to in (i) or (ii) above, such act was in violation of any Hazardous Materials Laws or was carried out without reasonable care under the circumstances. (h) In addition, Indemnitor shall not be liable hereunder for that portion ofany Costs and Liabilities which Indemnitor establishes is attributable to the introduction and initial release, discharge or deposit, or alleged or suspected introduction, initial release, discharge or deposit of a Hazardous Material at the Property by any party, other than Indemnitor or an affiliate of Indemnitor, at any time alter Indemnitor's ownership interest in the Property terminates. Notwithstanding the foregoing, but subject to Sections 2 and 3(a) above and Section 4 below, the liability of Indemnitor hereunder shall otherwise remain in full force and effect after CI)C or such affiliate of CDC so acquires title to the Property, including without limitation with respect to any Hazardous Materials which are discovered at the Property after the date CDC or such affiliate of CDC acquires title but which were actually introduced to the Property prior to the date of such acquisition. 4. Indemnified Parties. This Indemnity and Indemnitor's obligations hereunder shall inure to the benefit of and he enforceable only by (a) CDC, CDC's directors, officers, shareholders, agents and employees, (b) any person or entities to which any CDC participates, assigns or sells all or any portion of its interest in the Loan, or which otherwise succeeds to the interest of CDC under the Deed of Trust, whether by purchase or otherwise, and (c) any affiliate of CDC which acquires title to the Property at a foreclosure sale or by deed in lieu of foreclosure. 5. Unsecured Obligations. The obligations of Indemnitor hereunder are unsecured. This NNW Indemnity is not intended to be, nor shall it be, secured by the Deed of Trust or any other instrument or agreement executed by Indemnitor or any other entity or person in favor of CDC or any Indem- nified Party relating to the Loan (except for any guaranty) (such documents together with the Deed of Trust being referred to collectively herein as the "Loan Documents"). The obligations of Indemnitor under this Indemnity are independent of any indemnification or other obligations of Indenmitor under the Loan Documents with respect to any Hazardous Materials. The rights and remedies of the Indemnified Parties under this Indemnity shall be in addition to any other rights and remedies of such Indemnified Parties under the Loan Documents. In no event shall any provision of this Indemnity be deemed to be waiver of or to be in lieu of any right or claim, including without limitation any right of contribution or other right of recovery, that any person entitled to enforce this Indemnity might otherwise have against lndemnitor under any Hazardous Materials Laws. Any sums payable hereunder shall not be deemed to be based upon any diminution in or other impairment of the value of any collateral held by CI)C to secure the Loan. 6. Interest on Unpaid Amounts. Any amount claimed hereunder by an Indemnified Party not paid by Indemnitor within thirty (30) days after written demand made by such Indemnified Party and accompanied by a reasonable summary of the amounts claimed, shall bear interest at the rate of ten percent (10%) per annum or the highest interest rate permitted by law, whichever is less. 7. Limitations on Liability. "I'he liability of Indemnitor under this Indemnity shall in no way be limited or impaired by (a) any amendment or modification of the provisions of any of the Loan C.:U)ocuments and Settings\AlfredoY\Local Settings\Temporary Internet Piles\OLK8B\Environmental Indemnity vl .doe Documents; (b) except as set forth in Sections 2, 3 and 4, any participation in or sale or assignment of the Loan Documents or any sale or transfer of all or part of the Property; (c) the release of Indemnitor or any person or entity from performance or observance of any of the agreements, covenants, terms, or conditions contained in any of the Loan Documents by operation of law; and, in any such case, whether with or without notice to Indemnitor and with or without consideration. Except as provided in Sections 2, 3 and 4, Lndemnitor's obligations hereunder shall in no way be impaired, reduced or released by reason of (i) an Indemnified Party's omission or delay in exercising any right described herein or (ii) any act or omission of an Indemnified Party in connection with any notice, demand, warning, or claim regarding violations of codes, laws or ordinances governing the Property. 8. Recourse Obligations. Notwithstanding anything to the contrary in the Loan Documents, Indemnitor shall be personally liable on a recourse basis for the obligations of Indemnitor set forth herein. 9. Successors and Assigns. This Indemnity shall be continuing, irrevocable and binding upon each of the persons and entities comprising Indemnitor and their respective heirs, successors, and assigns. 10. Inconsistencies. In the event of any inconsistencies or conflicts between the terms of this Indemnity and the terms of the other Loan Documents (including any exculpatory language contained therein), the terms of this Indemnity shall control. 1 1. Scpiirate Causes of Action. A separate right of action hereunder shall arise each time an Indemnified Party acquires knowledge of any matter described herein. Separate and successive actions may be brought hereunder to enforce any of the provisions hereof at any time and from time to time. No action hereunder shall preclude any subsequent action. 12. Severability_ If any provision of this Indemnity shall be determined to be unenforceable in any circumstances by a court of competent jurisdiction, then the balance of this Indemnity never- theless shall be enforceable, and the subject provision shall be enforceable in all other circumstances. 13. Attorneys' Fees. In any action or proceeding brought by the Indemnified Parties to enforce any rights under this Indemnity, the prevailing party shall be entitled to all reasonable attorneys' fees and all costs, expenses and disbursements in connection with such action. 14. Notices. Any notice, demand, request or other communication which any party hereto may be required or may desire to give hereunder shall be in writing and will be effectively served upon personal delivery or, if mailed, no later than 48 hours after deposit in first class or certified United States mail, postage prepaid, sent to: To CDC: Community Development Commission of the City of National City 1243 National City Boulevard National City, CA 91950-4397 C:u)ocuments and Settings'AlfredoY\I,ocal Settings\Temporary Internet files\OIK8L3\Etvironrrtental Indenuuty vl doe To Developer: San Diego I Iabitat for Humanity, Inc. 10222 San Diego Mission Road San Diego, CA 92108 which addresses may be changed by written notice. 15. Governing Law. This indemnity shall he governed by and construed in accordance with the laws of the State of California. 16. Counterparts. This Indemnity may be executed in any number of counterparts and, as so executed, the counterparts shall constitute one and the same agreement. The parties agree that each such counterpart is an original and shall he binding upon all the parties, even though all ofthe parties are not signatories to the same counterpart. 17. Exhibits and Recitals Incorporated. All exhibits referred to in this Indemnity, if any, are hereby incorporated in this Indemnity by this reference, regardless of whether or not the exhibits are actually attached to this Indemnity. The Recitals to this Indemnity are hereby incorporated in this Indemnity by this reference. 1 8. Signature Authority. All individuals signing this Indemnity for a party which is a corporation, limited liability company, partnership or other legal entity, or signing under a power of attorney, or as a trustee, guardian, conservator, or in any other legal capacity, covenant to the CDC that they have the necessary capacity and authority to act for, sign and bind the respective entity or principal on whose behalf they are signing. IN WITNESS WHEREOF, this Indemnity is executed as ofthe day and year above written. CDC• Community Development Commission of the City of National City By: Print Name:. Its: APPROVED AS TO FORM: Walter F. Spath III Special Counsel to CDC DEVELOPER: San Diego Habitat for Humanity, Inc., a California nonprofit corporation C:\Docurnents and Senings\AlliedoMocal SettinysVremporary Internet Files\0U(8B\Environmental Indemnity v I .doe By: Print Narne: Its: By:----- — Print Name: Its: (' \ ocuments and Settings\AlfredoYULocal Settings\Temporary Internet piles\OLK8B\Environmental Indemnity vI doe Exhibit "A" Legal Description All that certain real property situated in the City of National City, County of San Diego, State of California, described as follows: (' Ukxuments and Scttings'AlfrcdoYU.ocal Settings\Temporary Internet Files\OIX8B\Environmcntal Indemnity vl.doc ``► Attachment No. 13 Notice of Affordability Restrictions 59 \Documents and Settings\kareny.I IFHSD\Local Settings\"Temporary Internet =Iles\OLK19EADDA v2 doc Recording Requested By: Community Development Commission of the City of National City 1243 National City Boulevard National City, CA 91950-4397 And When Recorded Mail To: Community Development Commission of the City of National City 1243 National City Boulevard National City, CA 91950-4397 This document is exempt from the payment of a recording fee pursuant to Government Code Section 6103. NOTICE OF AFFORDABILITY RESTRICTIONS ON TRANSFER OF' PROPERTY (IHEALTH AND SAFETY CODE §33334.3(f)(3)(B)) (1441 Harding Avenue) NOTICE IS HEREBY PROVIDED AS FOLLOWS: 1. Diego Habitat for Humanity, Inc., a California nonprofit corporation ("Habitat"), is the owner of that certain real property located in the City of National City, California, more particularly described in the attached Exhibit "A" ("Property"). 2. The Community Development Commission of the City of National City ("CDC") is providing partial financing for the Property with moneys from its Low and Moderate Income Housing Fund. 3. Concurrently herewith Habitat and the CDC are causing the Property to be encumbered by that certain AGREEMENT AFFECTING REAL, PROPERTY ("Restrictions"), which generally restrict the sale and occupancy of three (3) single family homes at the Property to persons at or below 60% of AMI, as set forth in more detail therein. 4. The Restrictions expire forty-five (45) years from completion of construction of the Affordable Units as set forth in the Restrictions. 1 C:\Documents and Setting\AlfredoY\Lncal Settings\temporary Internet Files\OI K8DWotice of Affordability Restrictions vl doc 5. The Property is generally located at 1441 Harding Avenue, National City, California. 6. The Property assessor's parcel number is _ 7. In the event of any conflict between one or more provisions of this document and one or more provisions of the Restrictions, the provisions of the Restrictions shall apply. HABITAT: San Diego I labitat for Humanity, Inc., a California nonprofit corporation By: Print Name: Its: By: Print Name: Its: CDC: Community Development Commission of the City of National City By: Print Name: Its: 2 c.kDocuments and Settings \AlfredoY J ocal Settings\Temporary Internet Files\OLK813\Notice of Affordability Restrictions vl .doc ACKNOWLEDGMENT State of California ) County of San Diego ) On , 2009, before me, personally appeared, proved to me on the basis of satisfactory evidence to be the person(s) whose naine(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 on 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 scal. Signature (Seal) ACKNOWLEDGMENT State of California ) County of San Diego On , 2009, before me, _ personally appeared, 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 on behalf of which the person(s) acted, executed the instrment. 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 (Seal) 3 C \Documents and Settings \AlfredoY !.ocal Settings\Temporary Internet Files\OIJ<88\Notice of Affordability Restrictions v l doe: ACKNOWLEDGMENT State of California ) County of San Diego ) On _4 _ , 2009, before me, _ personaily appeared, proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/arc subscribed to the within instrurnent 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 on 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 (Seal) 4 ('.\Documents and Settings\AltiedoY\L.ocal SettingsVf rporary Internet files\OLK8B\Nouce of Affordability Restrictions vldoc Exhibit "A" Property Description The land referred to is situated in the City of National City, County of San Diego, State of California, described as follows: 5 C:\Jkxuments and Settings\AlfredoY\l..ocal Settings\Temporary Internet Files\OLKBB\Notice of Affordability Restrictions vl .doc