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HomeMy WebLinkAbout2010 09-21 CC CDC AGENDA PKTAgenda Of The 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 — September 21, 2010 — 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 be 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 lobby at the beginning of the meetings. Audio interpretation en espanol se proporciona durante sesiones del Consejo Municipal. Los audi6fonos estan disponibles en el pasillo al principio de la junta. Council Requests That All Cell 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.nationalcitvca.gov CITY COUNCIUCOMMUNITY DEVELOPMENT COMMISSION AGENDA 9/21/2010 - Page 2 PRESENTATIONS 1. Employee of the Month of September 2010 — Thomas Butts — Fire Engineer 2. Presentation — Interstate 805 South Project — Joel Haven, Corridor Director - Caltrans 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. 3. Approval of the Minutes of the Adjourned Regular City Council/Community Development Commission Meeting of April 13, 2010, the Regular Meetings of July 20, 2010 and September 7, 2010. (City Clerk) 4. Resolution of the City Council of the City of National City authorizing the Mayor to execute an Encroachment Agreement with Kathryn Boone, owner of the property at 1303 E. 1st Street with iron fence encroaching the public right-of- way. (Development Services/Engineering) 5. Resolution of the City Council of the City of National City authorizing the City Engineer to approve installation of 10 feet of red curb "No Parking" on E. 22"d Street at A Avenue to improve sight distance (TSC Item No. 2010-15). (Development Services/Engineering Division) 6. Resolution of the City Council of the City of National City authorizing the City Engineer to approve installation of 20 feet of red curb "No Parking" on the east side of Palm Avenue at E. 10th Street to improve sight distance (TSC Item No. 2010-16). (Development Services/Engineering Division) 7. Resolution of the City Council of the City of National City authorizing the City Engineer to approve stop control and centerline striping for E. 24th Street at Prospect Street and installation of 40 feet of red curb "No Parking" on the west side of Prospect Street at E. 24th Street to improve sight distance and enhance traffic safety (TSC Item No. 2010-17). (Development Services/Engineering) CITY COUNCIUCOMMUNITY DEVELOPMENT COMMISSION AGENDA 9/21/2010 - Page 3 CONSENT CALENDAR (Cont.) 8. Resolution of the City Council of the City of National City authorizing the City Engineer to approve installation of parking lane striping on the south side of Plaza Boulevard between Coolidge Avenue and Hoover Avenue and a pedestrian barricade to prohibit crossing the north leg of the intersection to enhance traffic safety (TSC Item No. 2010-18). (Development Services/Engineering) 9. Resolution of the City Council of the City of National City authorizing the City Engineer to approve installation of 36 feet of white curb "3-Minute Passenger Loading" near the main entrance to the south building of Kimball Towers, located at 1415 D Avenue to provide drop-off/pick-up access for seniors in need of transportation (TSC Item No. 2010-19). (Development Services/Engineering) 10. Resolution of the City Council of the City of National City authorizing the City Engineer to approve installation of red curb "No Parking" and a 15 MPH curve warning sign at the west intersection of Grove Street and E. 14th Street to enhance traffic safety (TSC Item No. 2010-20). (Development Services/Engineering) 11. Resolution of the City Council of the City of National City: adjusting the Facilities Maintenance Fund appropriations by $450,000 and establishing debt service principal and interest accounts for payments to the City National Bank debt service for the Honeywell Building Solutions Energy Retrofit Program. (Finance) 12. Resolution of the City of National City authorizing the reimbursement to the Facilities Maintenance Fund (Account No. 626-422-223-323) from the General Fund Contingency Reserve (Fund 001-2411) in the amount of $4,210 for the cost of materials to repair the public restrooms in the Library, and establishing appropriations in the amount of $15,000 to account number 001-409-500-598- 1590 from the General Fund Contingency Reserve (001-2411) to replace specific areas of the Library flooring. (City Manager) 13. WARRANT REGISTER #7 Warrant Register #7 for the period of 08/11/10 through 08/17/10 in the amount of $327,182.08. (Finance) 14. WARRANT REGISTER #8 Warrant Register #8 for the period of 08/18/10 through 08/24/10 in the amount of $3,014,195.70. (Finance) CITY COUNCIL/COMMUNITY DEVELOPMENT COMMISSION AGENDA 9/21/2010 - Page 4 CONSENT CALENDAR (Cont.) 15. National City Sales Tax Update — First Quarter 2010. (Finance) NON CONSENT RESOLUTION 16. Resolution of the City Council of the City of National City; (1) Authorizing proceedings to refinance $3,280,000 outstanding 1998 Lease Revenue Bonds; (2) Terminating the 1998 Lease Agreement between the City, the National City Joint Powers Financing Authority, and Union Bank of California; (3) Approving the new Lease Agreement between the City and the National City Joint Powers Financing Authority; (4) Approving the Assignment Agreement between the Authority and the Lender; and (5) Approving the Irrevocable Refunding Instructions given by the City to the 1998 Trustee. With this refinance, the General Fund will realize a direct savings of $137,000 in FY 10-11. (Finance) NEW BUSINESS 17. Temporary Use Permit — Cornerstone Heart Revolution Annual Community Conference sponsored by Cornerstone Church of San Diego at 1920 Sweetwater Road from September 27 through October 3, 2010 from 9:00 a.m. to 9:00 p.m. with no waiver of fees. (Neighborhood Services) 18. Temporary Use Permit- St. Mary's Fall Festival & Fund Raiser hosted by St. Mary's Church on October 3, 2010 at the parish grounds located at 426 E. 7th Street from 7 a.m. to 6:30 p.m. with no waiver of fees. (Neighborhood Services). 19. Temporary Use Permit — Tower of Terror sponsored by the National City Fire Department on October 31, 2010 from 5:00 p.m. to 9:00 p.m. at Fire Station 34 located at 343 East 16th Street. This is a National City sponsored event per Council Policy No. 804. (Neighborhood Services) 20. Request from the Spearhead Seniors Group to use a City facility for their monthly senior activities as outlined in the attached staff report. (Community Services) 21. HUD Monitoring Report of the Community Development Block Grant Program, HOME Investment Partnerships Program, and Lead Based Paint Hazard Control requirements. (Community Development) CITY COUNCIL/COMMUNITY DEVELOPMENT COMMISSION AGENDA 9/21/2010 - Page 5 NEW BUSINESS (Cont.) 22. Local Armed Services Personnel Recognition. (City Manager/Community Service) 23. City Council Meeting Schedule. — Review and Clarification. (City Clerk) COMMUNITY DEVELOPMENT COMMISSION CONSENT CALENDAR 24. Resolution of the Community Development Commission (CDC) of the City of National City adjusting the Section 8 fund appropriations by $572,200 due to increased rental assistance to families. Section 8 received $1.2 million in Extraordinary Administration Fees to subsidize the additional expenditures. (Finance) 25. Authorize the reimbursement of Community Development Commission expenditures in the amount of $81,109.11 to the City of National City for the period of 08/11/10 through 08/17/10. (Finance) 26. Authorize the reimbursement of Community Development Commission expenditures in the amount of $110,128.06 to the City of National City for the period of 08/18/10 through 08/24/10. (Finance) 27. Resolution of the Community Development Commission (CDC) of the City of National City approving an Exclusive Negotiation Agreement with Senior Village Housing Partners, LLC, a limited liability company based on a Competitive Request for Qualifications process conducted for consideration of an expansion and enhancement of the Kimball and Morgan Tower project site to include rehabilitation of the existing buildings and the addition of approximately 200 new affordable senior units. (Community Development) 28. Resolution of the Community Development Commission (CDC) of the City of National City approving program parameters for an owner -occupied Housing Rehabilitation Program which will use Redevelopment Agency Low/Mod Set - Aside Funding for geographically targeted rehabilitation in the West Side Specific Plan area and HOME Investment Partnership Funding in the remaining areas of the City. (Community Development) CITY COUNCIUCOMMUNITY DEVELOPMENT COMMISSION AGENDA 9/21/2010 - Page 6 STAFF REPORTS 29. Update on audible pedestrian traffic signals in National City. (Development Services) 30. Update on the recent submittal of Federal TIGER II grant application by National City. (Development Services) MAYOR AND CITY COUNCIL ADJOURNMENT Regular City Council and Community Development Commission Meeting — Tuesday — October 5, 2010 — 6:00 p.m. - Council Chambers — National City, California. ITEM #3 +}-• CALIFORNIA + NA-1 1, NAL INCORPORATED MEMORANDUM 9/21/10 September 7, 2010 TO Chris Zapata, C. Manager FROM Stacey Steven, uman Resources Director SUBJECT EMPLOY 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 September 2010 is Thomas Butts — Fire Engineer By copy of this memo, the employee is invited to attend the Council meeting on Tuesday, September 21, 2010 to be recognized for his achievement and service. Attachment cc: Thomas Butts, Engineer Frank Parra, Director of Emergency Services Josie Flores -Clark — Executive Assistant Dionisia Trejo — Mayor/Council Office Human Resources — Office File SS:Igr Performance Recognition Program (2) Human Resources Department 140 E. 12th Street, Suite A, National City, CA 91950-3312 619/336-4300 Fax 619/336-4303 www.nationalcityca.gov I am recommending Fire Engineer Thomas Butts for the National City Employee of the month. As a member of the National City Fire Department Engineer Butts goes above and beyond what is required of him as an Engineer. Not only does Engineer Butts take on the responsibility of safely driving our fire apparatus to emergencies; he also is diligent in his duties in ensuring all apparatus are ready for said emergencies through daily, weekly and monthly maintenance and inspections. Engineer Butts is a perfect example of an employee practicing the five C's that the city has adopted. Tom has shown a COMMITMENT to his profession by taking several classes at his own expense to better himself at his trade. He has assisted with outfitting our new aerial apparatus and ensures we have the supplies we need to maintain all of our apparatus and equipment. Engineer Butts assists others with training and their career development. He repairs and maintains every tool and piece of equipment used by our department. Engineer Butts is always COURTEOUS to his fellow employees and the customers whom we serve. He goes the extra mile to make the worst day for a citizen a little better by treating them with compassion and respect. Engineer Butts does more than his fair share of COLLABORATION with his fellow employees. He often seeks the opinion of others in regards to needed equipment and what needs to be repaired, and more importantly, he also acts on the information solicited to the betterment of the department. Engineer Butts is a department leader when it comes to COMMUNICATION. Not only does he do a great job of keeping his supervisor informed of equipment and apparatus issues, he ensures that he disseminates the information to the entire department so that everyone has the information. Lastly, Engineer Butts lives the words CUSTOMER SERVICE. We as firefighters exist to serve and protect the public and Tom is always trying to be of any kind of assistance during emergency and non emergency incidents. He looks for things that need to be done and does them without direction and does it in the safest possible manner. In conclusion, I believe Engineer Toni Butts is most deserving of the recognition bestowed on him as National City Employee of the Month. Tom has an incredible work ethic, topmost dedication to the citizens of National City and has a passion for his profession. Interstate 805 Managed Lanes South Project FACT SHEET Creates an integral part of a modem, new transportation system that will meet the future needs of travelers in our region. Provides expanded trans- portation choices, such as HOV lanes and a new bus rapid transit system. Helps support the economic viability of the region and improve the quality of life by safely moving more people and products. Project Manager Ramon Martinez at (619) 688-2516 or e-mail at Ramon.Martinez@dot.ca.gov www.keepsandiegomoving.com Department of Transportation 4050 Taylor Street San Diego, CA 92110 Ph: (619) 688-6670 Fax: (619) 688-3695 www.dot.ca.gov/distll c� ITEM #2 9/21/10 August 2010 THE PROJECT AT A GLANCE The Interstate 805 South Project is part of the larger I-805 Corridor Managed Lanes Projects. The I-805 South Project area is 11 miles between Palomar Street and the I-805/SR-15 interchange. The project includes the addition of managed lanes within the I-805 median. The project will cost an estimated $1.3 billion to complete. Funding is expected to be a combination of federal, state and local programs, including TransNet dollars. THE IMPROVEMENTS Proposed improvements include managed lanes that will be free for high occupancy vehicles (HOV), buses and motorcycles; and avail- able to single occupant vehicles for a fee. A bus rapid transit system will also operate on the managed lanes. The project will include features that will conveniently connect members of the community to the managed lanes, including a Direct Access Ramp, intermediate access points, HOV direct connectors, in -line transit stations and park -and -ride locations. Sound walls and retaining walls will be constructed and bridge improvements will be made at various locations along the freeway to help maintain the quality of life for neighboring communities. MILESTONES Public outreach efforts are underway with the environmental stud- ies expected to be complete in early 2011. A public meeting is being planned for September. Construction is expected to begin in 2012. LEGEND 1-805 South Project Bus Rapid Transit (BRT) Route Direct Access Ramp Direct Connectors Park & Ride Locations ITEM #3 9/21 /10 APPROVAL OF THE MINUTES OF THE ADJOURNED REGULAR CITY COUNCIL/COMMUNITY DEVELOPMENT COMMISSION MEETING OF APRIL 13, 2010, THE REGULAR MEETINGS OF JULY 20, 2010 AND SEPTEMBER 7, 2010. (CITY CLERK) CITY OF NATIONAL CITY, CALIFORNIA COUNCIL AGENDA STATEMENT liPEM TITLE: Resolution of the City Council of the City of National City authorizing the Mayor to execute an Encroachment Agreement with Kathryn Boone, owner of the property at 1303 E. 1st Street with iron fence encroaching the public right of way, MEETING DATE: September21, 2010 AGENDA ITEM NO. 4 PREPARED BY: Mauro Nebreja PHONE: 619-336-4392 EXPLANATION: DEPARTMENT: Develo APPROVED BY: Fna rvices/ Kathryn Boone, homeowner of 1303 E. 1st Street applied for a building permit for a room addition. During site inspection it was discovered that the iron fence along the property line is encroaching into the public right of way by approximately 2-1/2 feet. Instead of moving the iron fence back to the property line, she has chosen to sign an Encroachment Permit and Agreement. The homeowner designated her daughter, Brenda A. Jolin as her Attorney -In -Fact as evidenced by the attached Durable Power of Attorney. An encroachment fee was collected and a notarized copy of the agreement was submitted together with a one million dollar liability insurance certificate. The document has been reviewed and staff recommendation is to approve the Encroachment Permit and Agreement. • FINANCIAL STATEMENT: ACCOUNT NO. N/A ENVIRONMENTAL REVIEW: N/A ORDINANCE: INTRODUCTION: FINAL ADOPTION: APPROVED: APPROVED: Finance MIS STAFF RECOMMENDATION: Adopt the resolution BOARD / COMMISSION RECOMMENDATION: N/A �TACHMENTS : 1. Encroachment Agreement 5. Resolution 2. Receipt of Fee Paid 3. Insurance Certificate 4. Durable Power of Attorney RESOLUTION NO. 2010 — RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NATIONAL CITY AUTHORIZING THE MAYOR TO EXECUTE AN ENCROACHMENT AGREEMENT WITH THE PROPERTY OWNER OF 1303 EAST 1ST STREET FOR AN IRON FENCE ENCROACHING THE PUBLIC RIGHT-OF-WAY WHEREAS, Kathryn Boone, owner of the property located at 1303 East lst Street, applied for a building permit for a room addition; and WHEREAS, an inspection revealed that an iron fence along the property line is encroaching the public right-of-way by approximately 21/2 feet; and WHEREAS, as required, Ms. Boone has authorized, and her daughter Brenda A. Jolin as her Attorney -in -Fact has executed, an Encroachment Agreement promising to comply with all requirements of the City of National City. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of National City hereby accepts that certain document entitled "Encroachment Agreement" executed by Kathryn Boone's Attorney -in -Fact, Brenda A. Jolin. BE IT FURTHER RESOLVED that the Mayor is hereby authorized to execute said Encroachment Agreement. PASSED and ADOPTED this 21st day of September, 2010. Ron Morrison, Mayor ATTEST: Michael R. Dalla, City Clerk APPROVED AS TO FORM: Claudia G. Silva City Attorney FEE: $320.00 ENCROACHMENT AGREEMENT (Homeowner) This Encroachment Agreement (Agreement) is entered into this 21 Sr day of September, 2010, by the City of National City, a municipal corporation, ([City) and Kathryn L. Boone (Homeowner)_ RECITALS A. City holds an easement for a public right-of-way over the southwesterly side of lot 68 and the southerly 41.1 7 feet of lot 69 of Paradena Park Subdivision, Map 1404 referred to herein as the "Easement". B. Homeowner desires to maintain an iron fence (hereafter referred to as the "Encroachment") within the City's Easement; and C. City has the authority to regulate the terms and conditions for the use of its Easement for the construction, installation, and maintenance of the Encroachment pursuant to Chapter 13.12 of the National City Municipal Code. NOW, THEREFORE, City hereby wants to Homeowner the right to encroach onto the City's Easement, subject to the following terms, covenants and conditions to which Homeowner and City agree: 1. Description of Encroachment. Homeowner owns that certain real property commonly known as 1303 E. Is' Street and more particularly described in Exhibit "A". Homeowner seeks to install, construct, and maintain the Encroachment within the Easement or other public property of the City of National City, County of San Diego, State of California_ The location and description of the Encroachment is described and depicted in Exhibit "B", attached and incorporated herein_ 2. Removal and Relocation. Upon notification in writing by City's City Engineer, the above described Encroactunent shall be abandoned, removed or relocated by Homeowner at Homeowner's sole expense_ When removal or relocation are required, Homeowner shall return the Easement on which the Encroachment was located to a safe and satisfactory condition in accordance with the construction related conditions and specifications as established by the City according to its standard practice. Should Homeowner fail to remove or relocate the Encroachment within thirty (30) days after notice of removal or relocation from the City, City may cause such removal or relocation to be done at Homeowner's sole cost and expense, which shall be a lien upon said land. Page I of 4 1 Homeowner Encroaclunent Agreement 3. Maintenance. Homeowner shall maintain the Encroachment and the Easement over which the Encroachment is located in a neat, clean, safe and sanitary condition at all times at the sole cost, risk and responsibility of Homeowner. 4_ Recording. A copy of this Agreement shall be recorded against any real property of the Homeowner's that is hereby benefited by the Encroachment. Homeowner shall pay the recording fee and shall be responsible for recording this Agreement. This Agreement shall be recorded with the Office of the County Recorder, County of San Diego. Business shall pay the recording fee. This Agreement shall not be effective until it has been recorded and a conformed copy has been delivered to the City Clerk. 5. Successors in interest. This Agreement shall be binding on the assigns and successors of Homeowner_ 6_ Indemnification and Hold Harmless. I Iomeowner shall indemnify, defend, and hold harmless City, and its officers, agents and employees from all liability, loss, costs, claims, demands, suits, and defense costs, including attorneys' fees, arising directly or indirectly, in whole or in part, out of the activities of Homeowner described in this Agreement, except to the extent arising from the City's sole intentional or negligent acts. 7. Insurance Homeowner and each successor in interest or assign shall take out and maintain, during the time the Encroaclunent remains on City's Easement, commercial general liability insurance with minimum limits of One Million Dollars ($1,000,000.00) per occurrence, covering all bodily injury and property damage arising out of this Agreement. This policy shall name City and its officers, agents, and employees as additional insureds, and shall constitute primary insurance as to City and its officers, agents and employees, so that any other policies held by City shall not contribute to any loss under said insurance. Said policy shall provide for thirty (30) days prior written notice to City of cancellation or material change. Prior to commencement of this Agreement, Homeowner shall furnish City a certificate of insurance with original endorsements evidencing the coverage required by this clause. Should owner fail to do so, City may elect to obtain such coverage at Homeowner's expense or immediately terminate this agreement. R. Chapter 13.12 of the National City Municipal Code Homeowner specifically acknowledges and agrees to the terms and conditions applicable to encroachments set forth in Chapter 13.12 of the National City Municipal Code and incorporated herein. Owner also acknowledges that those terms and conditions include, without limitation, that the City reserves the right to charge the Owner "fair and reasonable" compensation for the use of City property retroactive to the date of construction or installation of the encroachment. Page 2 of 4 Homeowner Encroachment Agreement 2 9. Acceptance Required. This Agreement is not valid and confers no rights to install and maintain the Encroachment until it is accepted by the Homeowner, recorded with the County Recorder by the Homeowner, and a conformed copy of such recording is returned to the City Clerk for the City of National City. 10. City's Rights. Homeowner agrees that City's rights to the Easement are paramount to this Agreement. Homeowner shall in no way interfere with City's right to use, access, or possess the Easement. 11. Alterations and Improvements_ Homeowner shall make no further improvements or alterations affecting the Easement_ In no event shall any improvements or alterations be made or approved that interfere, in any way, with the City's use of the Easement. 12. Damage to Easement. Homeowner shall be responsible for any darnage to City's Easement due to the construction, installation or maintenance of the Encroachment, and Homeowner shall repair, replace and restore in kind the damaged Easement in accordance with City standards at Homeowner's solc expense. 13. Termination. This Agreement is terminable at will by the City and by Homeowner. Homeowner shall vacate the Easement at any time upon receipt of a written notice of termination from the City. Additionally, a notice of such termination, recordable in form, may be recroded in the Office of the County Recorder, County of San Diego. 14. Notices. Any notice provided by this Agreement or required by law to be given or served upon City or Homeowner, may be given or served by depositing the same in the United States Mail, postage prepaid, addressed as follows: To City: City Engineer City of National City 1243 National City Boulevard National City, CA 91950 To I lomeowner: Brenda Arleen John 3537 Crestview Dr. W. University Place, Wa. 98466-2015 (253) 377-3131 24 hour contact number Page 3 of 4 3 Homeowner Encroactunent Agreement 15. Entire Agreement_ This Agreement contains the entire agreement between the parties and no term or provision may be changed, waived, discharged or terminated unless made in writing and executed by both parties. IN WITNESS THEREOF, the parties have caused this Agreement to be executed in duplicate on the date and year first written herein. Date: CITY OF NATIONAL CITY Attest: Michael Dalla, City Clerk Agreed as to form: Claudia G. Silva, City Attorney Dated: g1.2o See attached copy of Power of Attorney Ron Morrison, Mayor Brenda Arleen Jolin for Kathryn L. Boone Printed Name (253) 377-3131 24 hr_ Phone Number ATTACH NOTARY CERTIFICATION FOR THE HOMEOWNER. USE CALIFORNIA ALL PURPOSE ACKNOWLEDGEMENT NOTARY ONLY. PLAT SHOWING LOCATION OF BUILDING OR OTHER STRUCTURES, EASEMENTS OR RIGHT-OF-WAY AND SEWER AND/OR DRAINAGE FACILITIES: SEE EXHIBIT "B" AIT[ACHED Page 4 of 4 Homeowner Encroachment Agreement 4 California All -Purpose Acknowledgement State of California County of San Diego On 26 Sept., 2010 before me, Charles A. Nissley Jr. Notary Public Name & Title of Officer personally appeared Brenda A. Jolin 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), & that by his/her/their signatures(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 & correct WITNESS my hand & offic Signature of Notary Public Optional information Description of Attached Document: Title or Type of Document: CHARLES A. NtssLEY JR. NpC0MM_#HTp552l4 oif V,V Sm DIEOO COUN1y .s Notary Seal Document Date: Number of Pages: Other information: 5 6 • 100 Lk( EXHIBIT "B" NOT TO SCALE PL=50.00' PL=41.59' J IRON FENCE ENCROACHING THE PUBLIC RIGHT OF WAY BY 1.5 FEET -0.5' CURB • A .I303 E. // IST STREET 1 1 1 1 1 t< New ❑ T/A Not Required L1 Existing T/A No. Dale: Mame of BBsinessJPerson Paying: Ott+-g ENGINEERING DEPARTMENT REVENUE TRANSMITTAL Amount $ 3 Zo Verified by: Engineering Staff Name: Project Name: `A- HEY L Project Address- 1 -47-) c j a. APN No.(s) Purpose: BooN� SST s ( • K)r�. AMOUNT ($) ACCOUNT # DESCRIPTION #001-21000-3585 Miscellaneous Revenue #0O1-21000-3147 Miscellaneous Permits & Appeals P726-1141 Trust & Agency Deposit Others: REFUND PAYABLE TO: (if applicable) Name & Address tP. I certify under the penalty of law that the inforration submitted is to the best of my knowledge and belief, true, accurate, and compete. 1 am aware that there significant penalties or submitting false information, including the possibility of fine and imprisonment for kno r g violations_ SIGNAIU Engineering Permit No. REFUND Date: 1 inal Inspection Date: Amount Refunded: ($) y46 d Date r 1 he sum shall be in the nature of d deposit only and as an advance against the obligation of the developer to pay the city for maps, public improvements, private grading plans, inspections, NPDES reviews, and any expenses provided for under city ordinances_ 32 i 8 ACQRQ CERTIFICATE OF LIABILITY INSURANCE mom-KEA 858.578.0020 FAX 858.578.0059 B.H. Gold Insurance Agency, Inc. -199 Tierra Grande li to 100 ...In Diego, CA 9212G MSURED Kathryn Boone 1303 t 1st Street National City, Ca. 91950 DATE (PM ODITYYY) 04/16/2010 THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERT FICATE HOLDER. THIS CERTIFICATE DOES NOT AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLIC ES BELOW INSURERSAFFORDING COVERAGE HNC# NS1JER A USLI INSURER B: INSURER C: INSURER D: INSURER E. THE POLICIES ANY REQUIREMENT. MAY PERTAIN. POLICIES. OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POI ICY PERIOD INDICATED NOTWITI (STANDING TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH AGGREGATE LIMA F S SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. INSR Lilt AMYL NSRL TYPE OF INSURANCE POLICY NUMBER POKY EFFECTIVE DATE (nM(DDRYI POLICY EXPIRATION DA TETMIQfDDNYYI LIMITS GENERAL -- LIABILITY COMMERCIAL GENERAL DABMi TY 71 J GAMINS MADE I I OCCUR EACH OCCURRENCE 1 DAMAGE TO RENTED PREMISES TEA nx'Trnenrxl 1 RAM EXP (Any one person) S PERSONAL & AIN INJURY S GEM -1 GENERAL AGGREGATE 1 AGGREGATE LIMIT APPLIES PER PONCY n g J.. LOC K PROIXTS-COMV/OP AGG S AUTOMOBILE L1ADULRY ANY ARTO ALL OWNED AUTOS SCHEDULED AUTOS 1RREU AU IOS NON OWNTU MHOS(Per --� COMBINED SINGLE LIMIT (Ea accidcrn) BODILY INJURY (Pe, Reiss.) 13001LT INJURY accident) S PROPERTY DAMAGE (Per accident) GARAGE LIABILITY ANY AUTO AUTO ONLY - EA ACCIDENT 1 OTHER THAN EA ACC AUTO ONLY: AGG S A EXCESSNMBRE1,A X IJABILITT OCCUR I I CLAIMS MADE DEDUCTIBLE RETENTION $ PCL1162601 04/12/2010 04/12/2011 EACH OCCURRENCE $ 1,000,000 AGGRFL'.ATE 1 ` $ S $ WORKERS COMPENSATION AND EMPI.OYERS IIAOHIIY ANY PROPRIETOR/PARTNER/EXECUTIVE OFFICER/MEMNER EXCLUOLD? T Yes despite tA1Aer SPECIAL PROVISIONS DIIpYI WC STAID Orli I TDRY 11MIL�I I FR EL EACH ACCIDENT $ EL DISEASE - EA EMPLOYEE S EL. DISEASE POL ICY OMIT $ OTHER DESCRIPTION OF OPERA 1101IS !LOCATIONS / VEHIC1 FS I EXCLUSIONS AOOED BY ENDORSEMENT I SPECIAL PROVISIONS 1303 F 1st Street, National City, Ca_ 91950 A ELLATI N Insured's copy ACORD 25 (2001/08) SHOULD ANY OF THE ABOVE DESCNIUED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF. THE LSSUING INSURER WILL ENDEAVOR TO MAIL 30 OATS WRITTEN NOTICE TO THE CER TIFKATE HOLDER NAMED TO THE LEFT. BUT FAILURE TO MAIL SUCH NOTICE SHALL IMPOSE NO OBLIGATION OR LIABILITY OF ANY KIND UPON THE INSURER. ITS AGENTS OH REPRESENTATIVES. AUTHORIZED REPRESENTATIVE Cind Yeslinek/YESLIN 0ACORD CORPORATION 1988 9 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 policies 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 (2001/08) 10 RECORDING REQUESTED BY: Brenda A. John 3537 Crestview Dr_ W University Place, WA 98466 WHEN RECORDED MAIL TO: Zvi "Hcrshy" Silver, SBN 234855 LAW OFFICES OF ZVI "HERSITY" SILVER, APC 600 West Broadway, Suite 1520 San Diego, CA 92101 THE ORIGINAI. OF THIS DOCUMENT WAS RECORDED ON FEB 08.2010 DOCUMEN F NUMBER 2010-0063969 DAVID L DUTLER COUNTY RECORDER SAN DIEGO COUNTY IlEUORDER'S OFFICE TIME 1203 PM Space above for Recorder's Use Kathryn L. Boone, Principal; to Brenda A. Jolin, Agent: DURABLE POWER OF ATTORNEY WARNING TO PERSON EXECUTING THIS DOCUMENT: THE POWERS GRANTED BY THIS DOCUMENT ARE BROAD AND SWEEPING. THEY ARE EXPLAINED IN TI IE UNIFORM STATUTORY FORM POWER OF ATTORNEY ACT (CALIFORNIA PROBATE CODE SECTIONS 4400-4465). IF YOU HAVE ANY QUESTIONS ABOUT THESE POWERS, OBTAIN COMPETENT LEGAL ADVICE. THIS DOCUMENT DOES NOT AUTHORIZE ANYONE TO MAKE MEDICAL AND OTHER HEALTH-CARE DECISIONS FOR YOU. YOU MAY REVOKE THIS POWER OF ATTORNEY IF YOU LATER WISH TO DO SO_ THIS IS AN IMPORTANT LEGAL DOCU LI T. IT CREATES A DURABLE POWER OF ATTORNEY THAT BECOMES EFFECTIVE IMMEDIATELY. BEFORE EXECUTING TIIIS DOCUMENT, YOU SHOULD KNOW THESE IMPORTANT FACTS_ 1. THIS DOCUMENT MAY PROVIDE THE PERSON YOU DESIGNATE AS YOUR ATTORNEY -IN -FACT WITH BROAD POWERS "f0 DISPOSE, SELL, CONVOY, AND ENCUMBER YOUR REAI. AND PERSONAL PROPERTY_ 2. THESE POWERS WILL EXIST FOR AN INDEFINITE PERIOD OF TIME UNLESS YOU LIMIT THEIR DURATION IN THIS DOCUMENT_ THESE POWERS WILL CONTINUE TO EXIST NOTWITHSTANDING YOUR SUBSEQUENT DISABILITY OR INCAPACITY. 3_ YOU HAVE THE RIGHT TO REVOKE OR TERMINA I E THIS DURABLE POWER OF ATTORNEY AT ANY TIME. Page I 1 of 6 Durable Power of Attorney Kathryn L. Boone 11 POWER OF ATTORNEY TO BECOME EFFECTIVE IMMEDIATELY This durable power of attorney shall become effective immediately_ This power of attorney shall continue after the principal's incapacity in accordance with its terms_ While the principal is not incapacitated, this durable power of attorney may be modified by the principal at any time by written notice given by the principal to the agent and may be terminated at any time by either the principal or the agent by written notice given by the terminating party to the other party. On the death of the principal, this power shall terminate and the assets of the principal shall be distributed to the duly appointed personal representative of the principal's estate; or, if no estate is being administered, to the persons who lawfully take the assets without the necessity of administration when they have supplied the agent with satisfactory documents as provided by law. TO WHOM IT MAY CONCERN: Kathryn L. Boone ("principal"), hereby appoints Brenda Arleen John as the principal's true and lawfirl attorney -in -fact for the principal and in the principal's name, place, and stead as follows: 1. To manage, control, lease, sublease, and otherwise act concerning any real property which the principal may own, collect and receive rents or income therefrom; pay taxes, charges, and assessments on the same; repair, maintain, protect, preserve, alter, and improve the same; and do all things necessary or expedient to be done in the agent's judgment in connection with the property_ 2. To manage and control all partnership interests owned by the principal and to make all decisions the principal could make as a general partner, limited partner, or both, and to execute all documents required of the principal as such partner, all to the extent that the agent's designation for such purposes is allowed by law and is not in contravention of any partnership or other agreement. 3. To purchase, sell, invest, reinvest, and generally deal with all stocks, bonds, debentures, warrants, partnership interests, rights, and securities owned by the principal. To collect and deposit for the benefit of the principal all debts, interest dividends, or other assets that may be due or belong to the principal, and to execute and deliver receipts and other discharges therefore; to demand, arbitrate, and pursue litigation on the principal's behalf concerning all rights and benefits to which the principal may be entitled; and to compromise, settle, and discharge all such matters as the agent considers appropriate under the circumstances_ 5. To pay any sums of money that may at any time be or become owing from the principal; to sell, and to adjust and compromise any claims which may be made against the principal as the agent considers appropriate under the circumstances. 12 Page 12 of 6 Durable Power of Attorney Kathryn L. Boone 6. To grant, sell, transfer, mortgage, deed in trust, pledge, and otherwise deal in all property, real and personal, that the principal may own, :including, but not limited to, any real property described on any exhibit attached to this instrument including property acquired after execution of this instrument; to attach exhibits to this instrument which provide legal descriptions of all such property; and to execute such instruments as the agent deems proper in conjunction with all matters covered in this paragraph 6. 7. To prepare and file all income and other federal and state tax returns which the principal is required to file; to sign the principal's name; hire preparers and advisors and pay for their services; and to do whatever is necessary to protect the principal's assets from assessments for income taxes and other taxes. The agent is specifically authorized to receive confidential information; to receive checks in payment of any refund of taxes, penalties, or interest; to execute waivers (including offers of waivers) of restrictions on assessment or collection of tax deficiencies and waivers of notice of disallowance of claims for credit or refiind; to execute consents extending the statutory period for assessment or collection of taxes; to execute closing agreements under Internal Revenue Code section 7121 or any successor statute; and to delegate authority or substitute another representative with respect to all above matters. 8. To deposit in and draw on any checking, savings, agency, or other accounts that the principal may have in any banks, savings and loan associations, and any accounts with securities brokers or other commercial institutions, and to establish and terminate all such accounts_ 9. To invest and reinvest the principal's funds in every kind of property, real, personal, or mixed, and every kind of investment, specifically including, but not limited to, corporate obligations of every kind; prefen-ed or common stocks; shares of investment trusts, investment companies, and mutual funds, and mortgage participations; that, under the circumstances then prevailing (specifically including, but not limited to, the general economic conditions and the principal's anticipated needs) persons of skill, prudence, and diligence acting in a similar capacity and familiar with those matters would use in the conduct of an enterprise of a similar character and with similar aims, to attain the principal's goals; and to consider individual investments as part of an overall plan_ 10_ To have access to all safe deposit boxes in the principal's name or to which the principal is an authorized signatory; to contract with financial institutions for the maintenance and continuation of safe deposit boxes in the principal's name; to add to and remove the contents of all such sa fe deposit boxes; and to terminate contracts for all such safe deposit boxes. 11. To make additions and transfer assets to any and all living revocable trusts of which the principal is a settlor. 12. To make direct payments to the provider for tuition and medical care for the principal's issue under Internal Revenue Code section 2503(e) or any successor statute, which excludes such payments from gift tax liability. Pagej3of6 Durable Power of Attorney Kathryn l.. Boone 13 13. To use any credit cards in the principal's name to make purchases and to sign charge slips on behalf of the principal as may be required to use such credit cards; and to close the principal's charge accounts and terminate the principal's credit cards under circumstances where the agent e:onsiders such acts to be in the principal's best interest. 14. Generally to do, execute, and perform any other act, deed, matter, or thing, that in the opinion of the agent ought to be done, executed, or performed in conjunction with this power of attorney, of every kind and nature, as fully and effectively, as the principal could do if personally present The enumeration of specific items, acts, rights, or powers in this instrument does not limit or restrict, and is not to be construed or interpreted as limiting or restricting, the general powers granted to the agent except where powers are expressly restricted. 15. The agent is authorized and directed to commence enforcement proceedings, at the principal's expense, against any third party who fails to honor this durable power of attorney. 16. Notwithstanding any other possible language to the contrary in this instrument, the agent is specifically NOT granted the following powers: (a) To use the principal's assets for the agent's own legal obligations, including, but not limited to, support of the agent's dependents; (b) To exercise any trustee powers under an irrevocable trust of which the agent is a settlor and the principal is a trustee; and (c) To exercise incidents of ownership over any life insurance policies that the principal owns on the agent's life. 17. Any third party from whom the agent may request information, records, or other documents regarding the principal's personal affairs may release and deliver all such information, records, or documents to the agent. The principal hereby waives any privilege that may apply to release of such information, records, or other documents. 18. The agent's signature under the authority granted in this power of attorney may be accepted by any third party or organization with the same force and effect as if the principal were personally present and acting on the principal's own behalf. No person or organization who relies on the agent's authority under this instrument shall incur any liability to the principal, the principal's estate, heirs, successors, or assigns, because of reliance on this instrument 19. The principal's estate, heirs, successors, and assigns shall be bound by the agent's acts under this power of attorney. ?0_ This power of attorney shall commence and take effect immediately. Page j 4 of 6 Durable Power of Attorney Kathryn L. Boone 14 k 21. The principal hereby ratifies and confirms all that the agent shall do, or cause to be done, by virtue of this power of attorney. 22. If a conservatorship of the principal's person or estate or both is deemed necessary, the principal hereby nominates Brenda A. Jolin, as conservator of the principal's person and estate. 11d WI 7FFS WHEREOF, the principal has signed this durable power of attorney on ,20 Kathryn L. Boone Page ( 5 of 6 Durable Power of Attorney Kathryn L. Boone 15 STATE OF CALIFORNIA, COI INTY OF SAN DIEGO } S.S. ) On February 05, 2010, before me Noma n 6 //o j o% h/rL . (here insert name }i}1e of the officerrsonally appeared K& Hl ryn L . J o 0 r►e , who proved to me on the basis of satisfactory evidence to be the personae) whose nameks) is/,afe subscribed to the within instrument and acknowledged to me tbathelsheOey executed the same in lher/t1 authorized capacitycjefit and that by_hisfher/ref signature(s)-on the instrument the person) or the entity upon behalf of which the personncted, executed the instrument. I certify and declare 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 Bottom of Form _ ROMAN CEO11LO �►;�_ Cowl!i8273TD �1r ; NOrArtr PUBLC.CAUFORNIA SuiMEW Coupe 7" UT Copy_ Ea. kit 15. YOU " 16 Page J 6 o f 6 Durable Power of Attorney Kathryn L. Boone CITY OF NATIONAL CITY, CALIFORNIA COUNCIL AGENDA STATEMENT MEETING DATE: September 21, 2010 AGENDA ITEM NO. 5 EM TITLE: Resolution of the City Council of the City of National City authorizing the City Engineer to approve installation of 10 feet of red curb "No Parking" on E. 22nd Street at A Avenue to improve sight distance (TSC Item No. 2010-15) PREPARED BY: Stephen Manganiello, Traffic Engineer/Z0 DEPARTMENT: Developme APPROVED BY: En. PHONE: 619-336-4382 EXPLANATION: See attached. ices / FINANCIAL STATEMENT: ACCOUNT NO. N/A ENVIRONMENTAL REVIEW: N/A ORDINANCE: INTRODUCTION: FINAL ADOPTION: APPROVED: APPROVED: Finance MIS STAFF RECOMMENDATION: Adopt the Resolution. BOARD / COMMISSION RECOMMENDATION: At their meeting on August 18, 2010 the Traffic Safety Committee approved the staff recommendation to approve installation of 10 feet of red curb "No Parking" to improve sight distance. ATTACHMENTS: Explanation 2. Resolution 3. Staff Report to the Traffic Safety Committee (August 18, 2010) Explanation Mr. Bill Hilger, resident of 2023 A Avenue, requested red curb "No Parking" at the intersection of A Avenue and E. 22nd Street to improve sight distance. Mr. Hilger states that it's difficult to see vehicles approaching the intersection from the east and west due to parked vehicles at the comers. The intersection is Yield -controlled with approximately 25 feet of red curb "No Parking" on A Avenue for north/south traffic and uncontrolled on E. 22nd Street for east/west traffic. Currently red curb is not provided on E. 22nd Street at the intersection. Observed vehicle approach speeds and traffic volumes are relatively low. Parking is in high -demand for this area. Staff observed vehicles parked close to the curb on E. 22nd Street. Staffs review of the intersection traffic collision history indicates one "reported" traffic collision susceptible to correction by improving sight distance at the intersection. Based on observed travel speeds and volumes, high -demand for parking, and review of traffic collision history, staff recommends installation of 10 feet of red curb "No Parking" on E. 22nd Street at A Avenue to improve sight distance. The addition of 10 feet of red curb will not result in loss of parking based on field measurements of remaining available curb parking. All work will be completed by the City Public Works Department. TSC 2010-15 1 NATIONAL CITY TRAFFIC SAFETY COMMITTEE AGENDA REPORT FOR AUGUST 18, 2010 ITEM NO. 2010-15 ITEM TITLE: REQUEST FOR RED CURB "NO PARKING" TO IMPROVE SIGHT DISTANCE AT THE INTERSECTION OF A AVENUE AND E. 22ND STREET (BY B. HILGER) PREPARED BY: Stephen Manganiello, Engineering Department DISCUSSION: Mr. Bill Hilger, resident of 2023 A Avenue, has requested red curb "No Parking" at the intersection of A Avenue and E. 22nd Street to improve sight distance. Mr. Hilger states that it's difficult to see vehicles approaching the intersection from the east and west due to parked vehicles at the corners. The intersection is Yield -controlled with approximately 25 feet of red curb "No Parking" on A Avenue for north/south traffic and uncontrolled on E. 22nd Street for east/west traffic. Currently red curb is not provided on E. 22nd Street at the intersection. Observed vehicle approach speeds and traffic volumes are relatively low. Parking is in high - demand for this area. Staff observed vehicles parked close to the curb on E. 22nd Street. Staffs review of the intersection traffic collision history indicates one "reported" traffic collision susceptible to correction by improving sight distance at the intersection. Based on observed travel speeds and volumes, high -demand for parking, and review of traffic collision history, staff recommends installation of 10 feet of red curb "No Parking" on E. 22nd Street at A Avenue to improve sight distance. The addition of 10 feet of red curb will not result in loss of parking based on field measurements of remaining available curb parking. STAFF RECOMMENDATION: Staff recommends installation of 10 feet of red curb "No Parking" on E. 22nd Street at A Avenue to improve sight distance. EXHIBITS: 1. Location Map 2. Photos 2010-15 Location Map Intersection of A Avenue & E. 22"d Street (looking northwest) Intersection of A Avenue & E. 22"d Street (looking southeast) RESOLUTION NO. 2010 — RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NATIONAL CITY AUTHORIZING THE CITY ENGINEER TO APPROVE THE INSTALLATION OF 10 FEET OF RED CURB "NO PARKING" ON EAST 22ND STREET AT "A" AVENUE TO IMPROVE SIGHT DISTANCE WHEREAS, a National City resident has requested red curb "No Parking" at the intersection of "A" Avenue and East 22nd Street to improve sight distance which is impaired due to parked vehicles; and WHEREAS, after inspecting the sight, staff recommends the installation of 10 feet of red curb "No Parking" on East 22nd Street at "A" Avenue; and WHEREAS, at it's meeting on August 18, 2010, the Traffic Safety Committee approved staffs recommendation. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of National City hereby authorizes the City Engineer to approve the installation of 10 feet of red curb "No Parking" on East 22nd Street at "A" Avenue to improve sight distance which is impaired due to parked vehicles. PASSED and ADOPTED this 21st day of September, 2010. Ron Morrison, Mayor ATTEST: Michael R. Della, City Clerk APPROVED AS TO FORM: Claudia G. Silva City Attorney CITY OF NATIONAL CITY, CALIFORNIA COUNCIL AGENDA STATEMENT RIC TING DATE: September21, 2010 AGENDA ITEM NO. 6 i i tM TITLE: Resolution of the City Council of the City of National City authorizing the City Engineer to approve installation of 20 feet of red curb "No Parking" on the east side of Palm Avenue at E. 10th Street to improve sight distance (TSC Item No. 2010-16) PREPARED BY: Stephen Manganiello, Traffic Engineer/Z/ DEPARTMENT: Develo • PHONE: 619-336-4382 /� APPROVED BY: Ewe EXPLANATION: See attached. Services / FINANCIAL STATEMENT: ACCOUNT NO. N/A ENVIRONMENTAL REVIEW: N/A ORDINANCE: INTRODUCTION: FINAL ADOPTION: APPROVED: APPROVED: Finance MIS STAFF RECOMMENDATION: Adopt the Resolution. BOARD / COMMISSION RECOMMENDATION: At their meeting on August 18, 2010 the Traffic Safety Committee approved the staff recommendation to approve installation of 20 feet of red curb "No Parking" to improve sight distance. -TACHMENTS: Explanation 2. Resolution 3. Staff Report to the Traffic Safety Committee (August 18, 2010) Explanation Mr. Daniel Celaya, resident of Palm Avenue, requested additional red curb "No Parking" at the intersection of Palm Avenue and E. 10th Street to improve sight distance. Mr. Celaya is concerned about safety and the potential for traffic collisions due to vehicles parked on the east side of Palm Avenue blocking the view of vehicles approaching from the south. A steep vertical curve to the south also contributes to impaired sight distance. Mr. Celaya acknowledges that street parking is limited; however, he feels safety takes higher priority. E. 10th Street is Stop -controlled and forms a "T" intersection with Palm Avenue which is uncontrolled with a posted speed limit of 35 mph. Currently 20 feet of red curb"No Parking" is provided. Staff visited the site and agrees that vehicles parked on the east side of Palm Avenue obscure drivers' line of sight when trying to exit E. 10th Street. Staff noted that approximately 80 feet of "No Parking" (which includes red curb and two private driveways) is provided at the intersection of Palm Avenue and E. 11th Street, directly south of the study intersection. Staff reviewed the traffic collision history for the study intersection and no "reported" collisions related to sight distance constraints for E. 10th Street drivers were noted. Based on parked vehicles obscuring drivers' line of site and travel speeds, staff recommends installation of an additional 20 feet of red curb "No Parking" on the east side of Palm Avenue at E. 10th Street, for a total of 40 feet, to improve sight distance. All workwill be completed by the City Public Works Department. TSC 2010-16 1 2 NATIONAL CITY TRAFFIC SAFETY COMMITTEE AGENDA REPORT FOR AUGUST 18, 2010 ITEM NO. 2010-16 ITEM TITLE: REQUEST FOR RED CURB "NO PARKING" TO IMPROVE SIGHT DISTANCE AT THE INTERSECTION OF PALM AVENUE AND E. 10TH STREET (BY D. CELAYA) PREPARED BY: Stephen Manganiello, Engineering Department DISCUSSION: Mr. Daniel Celaya, resident of Palm Avenue, has requested additional red curb "No Parking" at the intersection of Palm Avenue and E. 10th Street to improve sight distance. Mr. Celaya is concerned about safety and the potential for traffic collisions due to vehicles parked on the east side of Palm Avenue blocking the view of vehicles approaching from the south. A steep vertical curve to the south also contributes to impaired sight distance. Mr. Celaya acknowledges that street parking is limited; however, he feels safety takes higher priority. E. 10th Street is Stop -controlled and forms a "T' intersection with Palm Avenue which is uncontrolled with a posted speed limit of 35 mph. Currently 20 feet of red curb "No Parking" is provided. Staff visited the site and agrees that vehicles parked on the east side of Palm Avenue obscure drivers' line of sight when trying to exit E. 10th Street Staff noted that approximately 80 feet of "No Parking" (which includes red curb and two private driveways) is provided at the intersection of Palm Avenue and E. 11th Street, directly south of the study intersection. Staff reviewed the traffic collision history for the study intersection and no "reported" collisions related to sight distance constraints for E. 10th Street drivers were noted. Staff recommends installation of an additional 20 feet of red curb "No Parking" on the east side of Palm Avenue at E. 10th Street, for a total of 40 feet, to improve sight distance. STAFF RECOMMENDATION: Staff recommends installation of 20 feet of red curb "No Parking" on the east side of Palm Avenue at E. 10th Street to improve sight distance. EXHIBITS: 1. Location Map 2. Photos 2010-16 2 Location Map Intersection of Palm Avenue & E. 10th Street (looking south) 4 RESOLUTION NO. 2010 — RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NATIONAL CITY AUTHORIZING THE CITY ENGINEER TO APPROVE THE INSTALLATION OF 20 FEET OF RED CURB "NO PARKING" ON THE EAST SIDE OF PALM AVENUE AT EAST 10TH STREET TO IMPROVE SIGHT DISTANCE WHEREAS, a National City resident has requested additional red curb "No Parking" at the intersection of Palm Avenue and East 10th Street to improve sight distance, which is impaired due to parked vehicles and a steep vertical curve to the south; and WHEREAS, after inspecting the sight, staff recommends the installation of an additional 20 feet of red curb "No Parking" on the east side of Palm Avenue at East 10th Street; and WHEREAS, at it's meeting on August 18, 2010, the Traffic Safety Committee approved staff's recommendation. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of National City hereby authorizes the City Engineer to approve the installation of an additional 20 feet of red curb "No Parking" on the east side of Palm Avenue at East 10th Street to improve sight distance, which is impaired due to parked vehicles and a steep vertical curve to the south. PASSED and ADOPTED this 21 st day of September, 2010. Ron Morrison, Mayor ATTEST: Michael R. Dalla, City Clerk APPROVED AS TO FORM: Claudia G. Silva City Attorney CITY OF NATIONAL CITY, CALIFORNIA COUNCIL AGENDA STATEMENT MEETING DATE: September 21, 2010 AGENDA ITEM NO. 7 EM TITLE: Resolution of the City Council of the City of National City authorizing the City Engineer to approve Stop control and centerline striping for E. 24th Street at Prospect Street and installation of 40 feet of red curb "No Parking" on the west side of Prospect Street at E. 24th Street to improve sight distance and enhance traffic safety (TSC Item No. 2010-17)' PREPARED BY: Stephen Manganiello, Traffic Engineerztz DEPARTMENT: Development PHONE: 619-336-4382 APPROVED BY: E•• EXPLANATION: See attached. ces / FINANCIAL STATEMENT: ACCOUNT NO. N/A ENVIRONMENTAL REVIEW: N/A ORDINANCE: INTRODUCTION: FINAL ADOPTION: APPROVED: APPROVED: Finance MIS STAFF RECOMMENDATION: Adopt the Resolution. BOARD / COMMISSION RECOMMENDATION: At their meeting on August 18, 2010 the Traffic Safety Committee approved the staff recommendation for traffic safety enhancements at the intersection of Prospect Street and E. 24th Street. ATTACHMENTS: xplanation resolution 3. Staff Report to the Traffic Safety Committee (August 18, 2010) Explanation Mr. William Cyree, resident of 2120 E. 24th Street, requested that staff investigate the intersection of Prospect Street and E. 24th Street to improve sight distance for drivers attempting to exit E. 24th street from the west. Staff visited the site and noticed that there is no traffic control for the intersection. Based on observed traffic volumes, E. 24th Street is considered the minor approach, which would be a candidate for Stop control. E. 24th Street does not continue through to the east (private driveway access only). Staff also observed that vehicles parked on the west side of Prospect Street at the corner of the intersection obscure drivers' line of site when trying to exit E. 24th Street. Staff recommends installation of Stop control for eastbound E. 24th Street and 40 feet of red curb "No Parking" on the west side of Prospect Street at the intersection to improve sight distance for drivers attempting to exit E. 24th Street. Also, since eastbound E. 24th Street widens significantly at the intersection, staff recommends striping 50 feet of double -yellow centerline to better channelize drivers. All work will be completed by the City Public Works Department. TSC 2010-17 1 3 NATIONAL CITY TRAFFIC SAFETY COMMITTEE AGENDA REPORT FOR AUGUST 18, 2010 ITEM NO. 2010-17 ITEM TITLE: REQUEST TO IMPROVE SIGHT DISTANCE AT THE INTERSECTION OF PROSPECT STREET AND E. 24TH STREET (BY W. CYREE) PREPARED BY: Stephen Manganiello, Engineering Department DISCUSSION: Mr. William Cyree, resident of 2120 E. 24th Street, has requested that staff investigate the intersection of Prospect Street and E. 24th Street to improve sight distance for drivers attempting to exit E. 24th street from the west. Staff visited the site and noticed that there is no traffic control for the intersection. Based on observed traffic volumes, E. 241h Street is considered the minor approach, which would be a candidate for Stop control. E. 24th Street does not continue through to the east (private driveway access only). Staff also observed that vehicles parked on the west side of Prospect Street at the comer of the intersection obscure drivers' line of site when trying to exit E. 24th Street. Staff recommends installation of Stop control for eastbound E. 24th Street and 40 feet of red curb "No Parking" on the west side of Prospect Street at the intersection to improve sight distance for drivers attempting to exit E. 24th Street. Also, since eastbound E. 24"' Street widens significantly at the intersection, staff recommends striping 50 feet of double -yellow centerline to better channelize drivers. STAFF RECOMMENDATION: Staff recommends the following traffic safety enhancements to improve sight distance at the intersection of Prospect Street and E. 24th Street: 1. Install 40 feet of red curb "No Parking" on the west side of Prospect Street at E. 24"' Street. 2. Install Stop control for eastbound E. 24th Street. 3. Install 50 feet of double -yellow centerline for eastbound E. 241h Street from the new Stop bar west. EXHIBITS: 1. Location Map 2. Photos 2010-17 2 Location Map Intersection of Prospect St & E. 24th Street (looking north) 4 RESOLUTION NO. 2010 — RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NATIONAL CITY AUTHORIZING THE CITY ENGINEER TO APPROVE STOP CONTROL AND CENTERLINE STRIPING FOR EAST 24TH STREET, AND THE INSTALLATION OF 40 FEET OF RED CURB "NO PARKING" ON THE WEST SIDE OF PROSPECT STREET AT EAST 24TH STREET TO IMPROVE SIGHT DISTANCE AND ENHANCE TRAFFIC SAFETY WHEREAS, a National City resident has requested that the City investigate the intersection of Prospect Street and East 24th Street to improve sight distance for drivers attempting to exit East 24th Street from the west; and WHEREAS, after inspecting the sight, staff recommends installation of Stop control for eastbound East 24th Street, and 40 feet of red curb "No Parking" on the west side of Prospect Street at the intersection to improve sight distance for drivers attempting to exit East 24th Street; and WHEREAS, because eastbound East 24th Street widens significantly at the intersection, staff also recommends striping 50 feet of double -yellow centerline to better channelize drivers; and WHEREAS, at it's meeting on August 18, 2010, the Traffic Safety Committee approved staff's recommendation. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of National City hereby authorizes the City Engineer to approve the installation of Stop control for eastbound East 24th Street, 40 feet of red curb "No Parking" on the west side of Prospect Street at the intersection, and 50 feet of double -yellow centerline striping to better channelize drivers on East 24th Street going east. PASSED and ADOPTED this 21st day of September, 2010. Ron Morrison, Mayor ATTEST: Michael R. Della, City Clerk APPROVED AS TO FORM: Claudia G. Silva City Attorney CITY OF NATIONAL CITY, CALIFORNIA COUNCIL AGENDA STATEMENT MEETING DATE: September 21, 2010 AGENDA ITEM NO. 8 ;M TITLE: Resolution of the City Council of the City of National City authorizing the City Engineer to approve installation of parking lane striping on the south side of Plaza Boulevard between Coolidge Avenue and Hoover Avenue and a pedestrian barricade to prohibit crossing the north leg of the intersection to enhance traffic safety (TSC Item No. 2010-18) PREPARED BY: Stephen Manganiello, Traffic Engineer/10 DEPARTMENT: APPROVED BY: PHONE: 619-336-4382 EXPLANATION: See attached. Development ices J Engi FINANCIAL STATEMENT: ACCOUNT NO. N/A ENVIRONMENTAL REVIEW: N/A ORDINANCE: INTRODUCTION: FINAL ADOPTION: APPROVED: APPROVED: Finance MIS STAFF RECOMMENDATION: Adopt the Resolution. BOARD / COMMISSION RECOMMENDATION: At their meeting on August 18, 2010 the Traffic Safety Committee approved the staff recommendation for traffic safety enhancements at the intersection of Hoover Avenue and Plaza Boulevard. ATTACHMENTS: xplanation 2. Resolution 3. Staff Report to the Traffic Safety Committee (August 18, 2010) Explanation Mr. Edward Rosenthal, former resident of National City, has requested All -Way Stop Control at the intersection of Plaza Boulevard and Hoover Avenue to improve safety for pedestrians trying to cross Plaza Boulevard. Mr. Rosenthal is disabled and uses a motorized wheelchair for mobility. Mr. Rosenthal stated that he was nearly hit by a vehicle while attempting to cross Plaza Boulevard. Currently, Hoover Avenue is Stop -controlled while Plaza Boulevard is uncontrolled and one-way eastbound for the west leg of the intersection. Approximately two years ago staff evaluated the intersection for All -Way Stop Control and warrants were not met based on a score of 18 points out of 50. A minimum of 30 points is required in order to consider installation of All -Way Stop Control. Staff did however recommend installation of a flashing warning beacon mounted above the 35 mph speed limit sign for eastbound traffic in an effort to reduce speeds. Staff also installed 25 feet of red curb "No Parking" on the west leg of the intersection to improve sight distance for traffic and pedestrians attempting to cross Plaza Boulevard. Based on Mr. Rosenthal's request, staff collected new traffic volume and speed counts and performed a new warrant analysis for All -Way Stop Control. Warrants were not met based on a score of 24 out of 50 points. However, based on the count data the 85th percentile speed (speed at or below which 85% of drivers were traveling) dropped from 33 mph to 24 mph for eastbound traffic over the past two years. This indicates that installation of the flashing warning beacon for eastbound traffic has contributed to a reduction in vehicle speeds by improving driver awareness of the posted speed limit. Staff recommends installing parking lane striping on the south side of Plaza Boulevard between Coolidge Avenue and Hoover Avenue to provide a buffer from parked vehicles, narrow the travel lane width to further reduce speeds, and shift eastbound through traffic further north to improve visibility of pedestrians waiting to cross Plaza Boulevard. Staff also recommends installing a pedestrian barricade to prohibit crossing the north leg of the intersection, which based on the existing configuration of that approach, presents a conflict with vehicles stopping in front of the pedestrian curb ramp. All work will be completed by the City Public Works Department. TSC 2010-18 4 NATIONAL CITY TRAFFIC SAFETY COMMITTEE AGENDA REPORT FOR AUGUST 18, 2010 ITEM NO. 2010-18 ITEM TITLE: REQUEST FOR ALL -WAY STOP CONTROL AT THE INTERSECTION OF PLAZA BOULEVARD AND HOOVER AVENUE (BY E. ROSENTHAL) PREPARED BY: Stephen Manganiello, Engineering Department DISCUSSION: Mr. Edward Rosenthal, former resident of National City, has requested All -Way Stop Control at the intersection of Plaza Boulevard and Hoover Avenue to improve safety for pedestrians trying to cross Plaza Boulevard. Mr. Rosenthal is disabled and uses a motorized wheelchair for mobility. Mr. Rosenthal stated that he was nearly hit by a vehicle while attempting to cross Plaza Boulevard. Currently, Hoover Avenue is Stop - controlled while Plaza Boulevard is uncontrolled and one-way eastbound for the west leg of the intersection. Approximately two years ago staff evaluated the intersection for All -Way Stop Control and warrants were not met based on a score of 18 points out of 50. A minimum of 30 points is required in order to consider installation of All -Way Stop Control. Staff did however recommend installation of a flashing warning beacon mounted above the 35 mph speed limit sign for eastbound traffic in an effort to reduce speeds. Staff also installed 25 feet of red curb "No Parking" on the west leg of the intersection to improve sight distance for traffic and pedestrians attempting to cross Plaza Boulevard. Based on Mr. Rosenthal's request, staff collected new traffic volume and speed counts and performed a new warrant analysis for All -Way Stop Control. Warrants were not met based on a score of 24 out of 50 points. However, based on the count data the 85th percentile speed (speed at or below which 85% of drivers were traveling) dropped from 33 mph to 24 mph for eastbound traffic over the past two years. This indicates that installation of the flashing warning beacon for eastbound traffic has contributed to a reduction in vehicle speeds by improving driver awareness of the posted speed limit. Staff recommends installing parking lane striping on the south side of Plaza Boulevard between Coolidge Avenue and Hoover Avenue to provide a buffer from parked vehicles, narrow the travel lane width to further reduce speeds, and shift eastbound through traffic further north to improve visibility of pedestrians waiting to cross Plaza Boulevard. Staff also recommends installing a pedestrian barricade to prohibit crossing the north leg of the intersection, which based on the existing configuration of that approach, presents a conflict with vehicles stopping in front of the pedestrian curb ramp. 2 STAFF RECOMMENDATION: Staff recommends the following traffic safety enhancements at the intersection of Plaza Boulevard and Hoover Avenue: 1. Install parking lane striping on the south side of Plaza Boulevard between Coolidge Avenue and Hoover Avenue to provide a buffer from parked vehicles, narrow the travel lane width to further reduce speeds, and shift eastbound through traffic further north to improve visibility of pedestrians waiting to cross Plaza Boulevard. 2. Install a pedestrian barricade to prohibit crossing the north leg of the intersection to reduce conflicts between vehicles and pedestrians. EXHIBITS: 1. Location Map 2. Photos 2010-18 3 Location Map W. Plaza Boulevard & Hoover Avenue, west leg (looking east) W. Plaza Boulevard & Hoover Avenue, west leg (looking west) 5 W. Plaza Boulevard & Hoover Avenue, east leg (looking west) W. Plaza Boulevard & Hoover Avenue, pedestrian ramp on north leg (looking west) 6 RESOLUTION NO. 2010 — RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NATIONAL CITY AUTHORIZING THE CITY ENGINEER TO APPROVE THE INSTALLATION OF PARKING LANE STRIPING ON THE SOUTH SIDE OF PLAZA BOULEVARD BETWEEN COOLIDGE AVENUE AND HOOVER AVENUE, AND A PEDESTRIAN BARRICADE TO PROHIBIT CROSSING THE NORTH LEG OF THE INTERSECTION TO ENHANCE TRAFFIC SAFETY WHEREAS, a former resident of National City has requested All -Way Stop Control at the intersection of Plaza Boulevard and Hoover Avenue to improve safety for pedestrians trying to cross Plaza Boulevard; and WHEREAS, based on traffic data collection and staffs evaluation of the intersection, the criteria was not met for All -Way Stop Control at the intersection; and WHEREAS, to improve traffic safety for pedestrians at the intersection, it is staff's recommendation that parking lane striping on the south side of Plaza Boulevard between Coolidge Avenue and Hoover Avenue be installed to provide a buffer from parked vehicles, narrow the travel lane width to further reduce speeds, and shift eastbound through traffic further north to improve visibility of pedestrians waiting to cross Plaza Boulevard; and WHEREAS, staff also recommends the installation of a pedestrian barricade to prohibit pedestrians from crossing the north leg of the intersection, which, based on the existing configuration of that approach, presents a conflict with vehicles stopping in front to the pedestrian curb ramp; and WHEREAS, at it's meeting on August 18, 2010, the Traffic Safety Committee approved staffs recommendation. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of National City hereby authorizes the City Engineer to approve the installation of parking lane striping on the south side of Plaza Boulevard between Coolidge Avenue and Hoover Avenue, and a pedestrian barricade to prohibit crossing the north leg of the intersection to enhance traffic safety. PASSED and ADOPTED this 21st day of September, 2010. Ron Morrison, Mayor ATTEST: APPROVED AS TO FORM: Michael R. Dalla, City Clerk Claudia G. Silva City Attorney CITY OF NATIONAL CITY, CALIFORNIA COUNCIL AGENDA STATEMENT MEETING DATE: September21, 2010 AGENDA ITEM NO. 9 EM TITLE: Resolution of the City Council of the City of National City authorizing the City Engineer to approve installation of 36 feet of white curb "3-Minute Passenger Loading" near the main entrance to the south building of Kimball Towers, located at 1415 D Avenue, to provide drop-off/pick-up access for seniors in need of transportation (TSC Item No. 2010-19) PREPARED BY: Stephen Manganiello, Traffic Engineer/to DEPARTMENT: Development rvices / n r PHONE: 619-33" "'" APPROVED —' tanni EXPLANATION: See attached. FINANCIAL STATEMENT: ACCOUNT NO. N/A ENVIRONMENTAL REVIEW: N/A ORDINANCE: INTRODUCTION: FINAL ADOPTION: APPROVED: APPROVED: Finance MIS STAFF RECOMMENDATION: Adopt the Resolution. BOARD / COMMISSION RECOMMENDATION: At their meeting on August 18, 2010 the Traffic Safety Committee approved the staff recommendation to install 36 feet of white curb "3-Minute Passenger Loading" at 1415 D Avenue. ATTACHMENTS: xplanation _.. _esolution 3. Staff Report to the Traffic Safety Committee (August 18, 2010) Explanation Staff from Development Services/Engineering and City Fire Department evaluated access in front of the main entrance to the south building of Kimball Towers, a senior residential community. Residents have complained that there is no opportunity for passenger loading near the main entrance as the entire curbline is painted red for "No Parking". Staff determined that approximately 36 feet of the curbline near the main entrance could be converted to white curb passenger loading, as the remaining red curb "No Parking" area would be sufficient for emergency response vehicles to access the building. All work will be completed by the Kimball Towers Property Management, under the supervision of City staff. TSC 2010-19 i 5 NATIONAL CITY TRAFFIC SAFETY COMMITTEE AGENDA REPORT FOR AUGUST 18, 2010 ITEM NO. 2010-19 ITEM TITLE: REQUEST FOR INSTALLATION OF WHITE CURB PASSENGER LOADING NEAR THE MAIN ENTRANCE TO THE SOUTH BUILDING OF KIMBALL TOWERS LOCATED AT 1415 D AVENUE (BY RESIDENTS OF KIMBALL TOWERS) PREPARED BY: Stephen Manganiello, Engineering Department DISCUSSION: Staff from City Engineering and Fire evaluated access in front of the main entrance to the south building of Kimball Towers, a senior residential community. Residents have complained that there is no opportunity for passenger loading near the main entrance as the entire curbline is painted red for "No Parking". Staff determined that approximately 36 feet of the curbline near the main entrance could be converted to white curb passenger loading, as the remaining red curb "No Parking" area would be sufficient for emergency response vehicles to access the building. STAFF RECOMMENDATION: Staff recommends installation of 36 feet of white curb "3-Minute Passenger Loading" near the main entrance to the south building of Kimball Towers, located at 1415 D Avenue, to provide drop-off/pick-up access for seniors in need of transportation. EXHIBITS: 1. Location Map 2. Photos 2010-19 2 Location Map A1111 1111111l Ir- 11111II1 Entrance to Kimball Towers, 1415 D Avenue (looking southeast) 4 RESOLUTION NO. 2010 — RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NATIONAL CITY AUTHORIZING THE CITY ENGINEER TO APPROVE THE INSTALLATION OF 36 FEET OF WHITE CURB "3 MINUTE PASSENGER LOADING" NEAR THE MAIN ENTRANCE TO THE SOUTH BUILDING OF KIMBALL TOWERS, LOCATED AT 1415 D AVENUE, TO PROVIDE DROP-OFF AND PICK-UP ACCESS FOR SENIOR IN NEED OF TRANSPORTATION WHEREAS, staff evaluated access at the main entrance to the south building of Kimball Towers, due to complaints that the entire curbline painted red for "No Parking" creates a lack of passenger loading and unloading; and WHEREAS, it is recommended that approximately 36 feet of the curbline near the main entrance of the south building of Kimball Towers be converted to white curb "3 Minute Passenger Loading", which leaves enough red curb "No Parking" area sufficient for emergency response vehicles to access the building; and WHEREAS, at it's meeting on August 18, 2010, the Traffic Safety Committee approved staff's recommendation. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of National City hereby authorizes the City Engineer to approve the installation of approximately 36 feet of white curb "3 Minute Passenger Loading" near the main entrance of the south building of Kimball Towers to provide drop-off and pick-up access for seniors in need of transportation. PASSED and ADOPTED this 21st day of September, 2010. ATTEST: Michael R. Dalla, City Clerk APPROVED AS TO FORM: Claudia G. Silva City Attorney Ron Morrison, Mayor CITY OF NATIONAL CITY, CALIFORNIA COUNCIL AGENDA STATEMENT MEETING DATE: September21, 2010 AGENDA ITEM NO. 10 EM TITLE: Resolution of the City Council of the City of National City authorizing the City Engineer to approve installation of red curb "No Parking" and a 15 MPH curve warning sign at the west intersection of Grove Street and E. 14th Street to enhance traffic safety (TSC Item No. 2010-20) PREPARED BY: Stephen Manganiello, Traffic Engineer,Z,j( DEPARTMENT: Develop ent APPROVED BY: E PHONE: 619-336-4382 EXPLANATION: See attached. ices / FINANCIAL STATEMENT: ACCOUNT NO. N/A ENVIRONMENTAL REVIEW: N/A ORDINANCE: INTRODUCTION: FINAL ADOPTION: APPROVED: APPROVED: Finance MIS STAFF RECOMMENDATION: Adopt the Resolution. BOARD / COMMISSION RECOMMENDATION: At their meeting on August 18, 2010 the Traffic Safety Committee approved the staff recommendation for traffic safety enhancements at the west intersection of Grove Street and E. 14th Street. ATTACHMENTS: xplanation z. Resolution 3. Staff Report to the Traffic Safety Committee (August 18, 2010) Explanation National City Police Department (NCPD) informed Development Services/Engineering staff that there is an issue with drivers crossing over the double -yellow centerline into the opposing travel lane along the 90-degree curve where Grove Street and E. 14th Street intersect. Based on field observations, a high percentage of drivers traveling west to south are traversing the curve at excessive speeds, which is resulting in the centerline violation. NCPD has increased enforcement of this traffic violation in an effort to improve safety. Development Services/Engineering staff met with NCPD staff on -site to determine if "physical" traffic safety enhancements could be implemented to discourage drivers from crossing over the double -yellow centerline into the opposing travel lane. Staff determined that by removing parking along the curve more clearance would be provided for drivers. Parking is not in high -demand at this location. Staff also recommends installation of a 15 MPH curve warning sign (W1-la) to provide guidance to drivers on the appropriate speed for traversing the curve. All work will be completed by the City Public Works Department. TSC 2010-20 i 6 NATIONAL CITY TRAFFIC SAFETY COMMITTEE AGENDA REPORT FOR AUGUST 18, 2010 ITEM NO. 2010-20 ITEM TITLE: REQUEST FOR TRAFFIC SAFETY ENHANCEMENTS AT THE WEST INTERSECTION OF GROVE STREET AND E. 14TH STREET (BY NATIONAL CITY POLICE DEPT.) PREPARED BY: Stephen Manganiello, Engineering Department DISCUSSION: National City Police Department (NCPD) informed City Engineering staff that there is an issue with drivers crossing over the double -yellow centerline into the opposing travel lane along the 90-degree curve where Grove Street and E. 14th Street intersect. Based on field observations, a high percentage of drivers traveling west to south are traversing the curve at excessive speeds, which is resulting in the centerline violation. NCPD has increased enforcement of this traffic violation in an effort to improve safety. City Engineering staff met with NCPD staff on -site to determine if "physical" traffic safety enhancements could be implemented to discourage drivers from crossing over the double -yellow centerline into the opposing travel lane. Staff determined that by removing parking along the curve more clearance would be provided for drivers. Staff also recommends installation of a 15 MPH curve warning sign (W1-1 a) to provide guidance to drivers on the appropriate speed for traversing the curve. STAFF RECOMMENDATION: Staff recommends the following traffic safety enhancements at the west intersection of Grove Street and E.14`h Street: 1. Install red curb "No Parking" along the curve to provide more clearance for drivers. 2. Install a 15 MPH curve waming sign (W1-1a) to provide guidance to drivers on the appropriate speed for traversing the curve. EXHIBITS: 1. Location Map 2. Photos 2010-20 2 Location Map Curve at Grove Avenue & E. 14th Street (looking west) 4 RESOLUTION NO. 2010 — RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NATIONAL CITY AUTHORIZING THE CITY ENGINEER TO APPROVE THE INSTALLATION OF RED CURB "NO PARKING" AND A 15 MPH CURVE WARNING SIGN AT THE WEST INTERSECTION OF GROVE STREET AND EAST 14TH STREET TO ENHANCE TRAFFIC SAFETY WHEREAS, the National City Police Department informed staff that there is an issue with drivers crossing over the double -yellow centerline into the opposing travel lane along the 90-degree curve where Grove Street and East 14th Street intersect; and WHEREAS, to increase traffic safety, staff recommends the removal of parking along the curve to provide more clearance to drivers, and the installation of a 15 MPH curve warning sign to provide guidance to drivers on the appropriate speed for traversing the curve; and WHEREAS, at it's meeting on August 18, 2010, the Traffic Safety Committee approved staffs recommendation. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of National City hereby authorizes the City Engineer to approve the installation of red curb "No Parking" and a 15 MPH curve warning sign at the west intersection of Grove Street and East 14th Street to enhance traffic safety. PASSED and ADOPTED this 21st day of September, 2010. ATTEST: Michael R. Dalla, City Clerk APPROVED AS TO FORM: Claudia G. Silva City Attorney Ron Morrison, Mayor CITY OF NATIONAL CITY, CALIFORNIA COUNCIL AGENDA STATEMENT MEETING DATE: September 21, 2010 AGENDA ITEM NO, 11 EM TITLE: A Resolution of the City of National City adjusting the Facilities Maintenance Fund appropriations by $450,000 and establishing debt service principal and interest accounts for payments to the City National Bank debt service for the Honeywell Building Solutions Energy Retrofit Program PREPARED BY: Jeanette Ladrido, CPA DEPARTMENT: PHONE: 336-4331 APPROVED BY: EXPLANATION: ):// The City of National City has contracted with Honeywell Building Solutions for an energy retrofit program totaling $1.7 million. The City of National City entered into a fifteen (15) year lease with Municipal Finance at 4.95% with principal and interest payments due quarterly. The program will generate energy savings that are budget neutral and these savings are guaranteed by Honeywell. Staff must establish a debt service principal and interest account to cover the upcoming payments totaling $346,850 and funding of $103,150 in account 626-422-223-234-0000 to cover gas and electricity costs that were under budgeted. FINANCIAL STATEMENT: APPROVED: ACCOUNT NO. APPROVED: Establish appropriations in account 626-422-223-470, 480 and 224 ENVIRONMENTAL REVIEW: ORDINANCE: INTRODUCTION: FINAL ADOPTION: Finance MIS STAFF RECOMMENDATION: Recommend approval of resolution BOARD / COMMISSION RECOMMENDATION: ATTACHMENTS: elution RESOLUTION NO. 2010 — RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NATIONAL CITY ADJUSTING THE FACILITIES MAINTENANCE FUND (FUND 626) APPROPRIATIONS BY $450,000 TO ESTABLISH DEBT SERVICE PRINCIPAL AND INTEREST ACCOUNTS FOR PAYMENTS TO THE CITY NATIONAL BANK DEBT SERVICE FOR THE HONEYWELL BUILDING SOLUTIONS ENERGY RETROFIT PROGRAM IN THE AMOUNT OF $346,850, AND FUNDS IN THE AMOUNT OF $103,150 FOR UNDER -BUDGETED GAS AND ELECTRIC COSTS WHEREAS, on May 16, 2010, the City Council adopted Resolution No. 2010- 41, entering into an Agreement with Honeywell Building Solutions for a budget -neutral, self - funded comprehensive Energy Retrofit Program totaling $1.7 Million; and WHEREAS, through the adoption of Resolution No. 2010-42, the City entered into a fifteen (15) year lease with Municipal Finance at 4.95% with principal and interest payments due quarterly; and WHEREAS, a debt service principal and interest account must be established to cover the upcoming payments totaling $346,850, and funding of $103,150 in account 626-422- 223-234-0000 to cover gas and electricity costs that were under budgeted, for a total of $450,000. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of National City hereby authorizes the adjustment of the Facilities Maintenance Fund (Fund 626) appropriations by $450,000 for the establishment of debt service principal and interest accounts for the Honeywell Building Solutions Energy Retrofit Program and to cover gas and electricity costs that were under budgeted. PASSED and ADOPTED this 21st day of September, 2010. Ron Morrison, Mayor ATTEST: Michael R. Daila, City Clerk APPROVED AS TO FORM: Claudia G. Silva City Attorney CITY OF NATIONAL CITY, CALIFORNIA COUNCIL AGENDA STATEMENT MEETING DATE: September21, 2010 AGENDA ITEM NO.12 M TITLE: Resolution of the City of National City authorizing the reimbursement to the Facilities Maintenance Fund (Account No. 626-422-223-323) from the General Fund Contingency Reserve (Fund 001-2411) in the amount of $4,210 for the cost of materials to repair the public restrooms in the Library, and establishing appropriations in the amount of $15,000 to account number 001-409-500-598-1590 from the General Fund Contingency Reserve (001-2411) to replace specific areas of the Library flooring. PREPARED BY: Leslie Deese, Asst. City ManagerDEPARTMENT: City Manager PHONE: 619-336-4240 APPROVED BY: EXPLANATION: See Attached. FINANCIAL STATEMENT: ACCOUNT NO. 001-409-500-598-1590 APPROVED: APPROVED: Finance MIS Establish appropriations in account 001-409-500-598-1590 in the amount of $15,000 from 001-2411 and transfer $4,210 to 626-422-223-323-0000 from 001-2411. The revised contingency reserve balance will be $6,087.234. ENVIRONMENTAL REVIEW: N/A ORDINANCE: INTRODUCTION: FINAL ADOPTION: STAFF RECOMMENDATION: Adopt Resolution (See attached report - Staff Recommendation) BOARD / COMMISSION RECOMMENDATION: N/A ATTACHMENTS: volution aiaff Report Attachments 1 and 2 Opened in 2005, the $19 million National City Public Library is a crown jewel in our community. As the most heavily used facility in the City, the Library receives an estimated 447,750 patrons a year. Consequently, after five years, wear and tear is beginning to show, the majority of which involves carpeted areas around the check out desk and near the public restrooms. The issues associated with normal wear and tear are compounded by intentional acts of vandalism in the public restrooms which has resulted in damage and required repairs (Attachment 1). While most of our City facilities face similar issues to those outlined above and despite very difficult budgetary constraints, our goal is to ensure all City facilities are maintained with the health, safety and welfare of the user in mind along with an aesthetically inviting appearance. The proposed Library improvements are not budgeted in the current year budget. Council approval of this item would authorize the reimbursement to the Facilities Maintenance Fund (Fund 626) from the General Fund Contingency Reserve (Fund 001-2411) in the amount of $4,210 for the cost of materials to repair the public restrooms in the Library; and establish appropriations in the amount of $15,000 to Account No. 001-409-500-598-1590 from the General Fund Contingency Reserve (001-2411) to replace specific areas of the Library flooring. The total amount to be funded from the General Fund Contingency Reserve is not to exceed $19,210. Staff is examining other funding sources to use and if identified, we would seek to replenish the reserve fund at the mid -year budget review. Flooring: Carpet wear has been a continual problem. Even with regular cleaning, excessive carpet wear is apparent in high traffic areas. Staff considered a number of flooring options to help alleviate identified issues as well as provide for a long term solution. The options considered were: 1. Replace heavily worn carpeted areas with new carpeting; 2. Replace heavily worn carpeted areas with lithocrete which is the same product as used in the Library entryway; 3. Replace heavily worn carpeted areas with concrete staining and polishing; 4. Replace heavily worn carpeted areas with ceramic tile. Staff Recommendation There are pros and cons associated with each option, mostly centered on cost, maintenance and noise factors. Option 1 is not recommended due to the short life of carpeting and associated maintenance costs; Option 2 is not recommended due to the excessively high cost of lithocrete. Additionally, in order to install the lithocrete on the second floor, a portion of the light weight concrete would have to be removed, which would be very costly to do. Option 3 is not recommended due to the physical constraints in the Library and contractor availability; Option 4 is recommended using an 18x18 inch ceramic tile to be installed in high traffic areas which will beautify the Library, reduce maintenance cost, and provide a nice transition to the existing lithocrete and carpet. The tile flooring however will not be as noise resistant as carpet. The areas identified for the tile upgrade are (1) the area in front of the second floor public restrooms, along the hall to the staircase; and (2) the area in front of the check-out counter. The photos shown in Attachment 2 provide a visual of the recommended tile shown alongside the existing lithocrete and carpeting. Public Restrooms: Public restrooms are located on the first and second floors of the Library. Over the last five years, there have been numerous acts of vandalism that have resulted in thousands of dollars of damage. As a result, staff has begun checking out keys to patrons which has already resulted in a considerable decrease in vandalism. New locks have been installed and keys are made available to patrons at the main check out desks located on each floor. The patron requesting a restroom key will sign the register and then receive a key with a transmitter device which will activate the alarm at the front doors if they accidentally leave with it. In addition, informational signs were installed, all four restrooms were painted, new mirrors and toilet seats were installed and the ceramic tile was cleaned. Library Board of Trustees: Library, Public Works and Engineering staff provided an informational report to the Library Board of Trustees at its August 11, 2010 meeting and offered to come back to the next Board meeting to present a tile sample and an update on cost and installation. Staff Recommendation: Staff recommends the City Council adopt the resolution authorizing the reimbursement to the Facilities Maintenance Fund (Account 626-422-223-323) from the General Fund Contingency Reserve (Fund 001-2411) in the amount of $4,210 for the cost of materials to repair and secure the public restrooms in the Library; and would establish appropriations in the amount of $15,000 to Account No. 001-409-500-598-1590 from the General Fund Contingency Reserve (001- 2411) to replace specific areas of the Library flooring. tt RESOLUTION NO. 2010 — RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NATIONAL CITY AUTHORIZING THE REIMBURSEMENT TO THE FACILITIES MAINTENANCE FUND (ACCOUNT NO. 626-422-223-323) FROM THE GENERAL FUND CONTINGENCY RESERVE (FUND 001-2411) IN THE AMOUNT OF $4,210 FOR THE COST OF MATERIALS TO REPAIR THE PUBLIC RESTROOMS IN THE LIBRARY, AND ESTABLISHING APPROPRIATIONS IN THE AMOUNT OF $15,000 TO ACCOUNT NUMBER 001-409-500-598-1590 FROM THE GENERAL FUND CONTINGENCY RESERVE (001-2411) TO REPLACE SPECIFIC AREAS OF THE LIBRARY FLOORING WHEREAS, the $19 Million National City Public Library, which opened in 2005, receives an estimated 447,750 patrons a year; and WHEREAS, the carpet in the library is showing signs of wear and tear, the majority of which involves the carpeted areas around the checkout desk and near the public restrooms; and WHEREAS, there have also been intentional acts of vandalism in the public restrooms that have resulted in damage and required repairs in the amount of $4,210; and WHEREAS, an amount not to exceed $19,210 is requested from the General Fund Contingency Reserve (Fund 001-2411) to reimburse the Facilities Maintenance Fund (Account No. 626-422-223-323) in the amount of $4,210 for the cost of materials to repair the public restrooms in the Library; and for establishing appropriations in the amount of $15,000 to Account No. 001-409-500-598-1590 to replace specific areas of the Library flooring. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of National City hereby authorizes the reimbursement to the Facilities Maintenance Fund (Account No. 626-422-223-32) from the General Fund Contingency Reserve (Fund 001-2411) in the amount of $4,210, for the cost of materials to repair the public restrooms in the National City Public Library. BE IT FURTHER RESOLVED that the City Council authorizes the establishment of appropriations in the amount of $15,000 to account no. 001-409-500-598-1590 from the General Fund Contingency Reserve (001-2411) to replace specific areas of the Library flooring. PASSED and ADOPTED this 21st day of September, 2010. Ron Morrison, Mayor ATTEST: APPROVED AS TO FORM: Michael R. Dalla, City Clerk Claudia G. Silva City Attorney Attachment 1 Pix 1 — Markings etched into toilet seats Pix 2 — Markings etched into mirrors Pix 3 — Markings on restroom partitions Pix 4 — Markings on restroom walls Pix 5 — Markings on restroom tiles Pix 6 — Markings etched into baby changing table S' Mir Mil 1 ors uoim ---d IItA • N Baby Ganging Table Attachment 2 Pix 1 — Proposed tile against existing carpet Pix 2 — Proposed tile against existing carpet Pix 3 — Proposed tile against existing lithocrete Pix 4 — Proposed tile against existing lithocrete !3 '(p CITY OF NATIONAL CITY, CALIFORNIA COUNCIL AGENDA STATEMENT MEETING DATE: September 21st, 2010 AGENDA ITEM NO. 13 EM TITLE: (Warrant Register #7 for the period of 08/11/10 through 8/17/10 in the amount of $327,182.08 PREPARED BY: 1K. Apalategui DEPARTMENT: PHONE:.p19-336-4331i APPROVED BY: EXPLANATION: Per Government Section Code 37208, attached are the warrants issued for the period of 08/11/10 through 08/17/10 The Finance Department has implemented a policy explanation of all warrants above $50,000.00 Vendor Check Amount Explanation FINANCIAL STATEMENT: APPROVED: ACCOUNT NO. I APPROVED: N/A ENVIRONMENTAL REVIEW: N/A ORDINANCE: INTRODUCTION: FINAL ADOPTION: Finance MIS STAFF RECOMMENDATION: Ratification of warrants in the amount of $327,182.08 BOARD / COMMISSION RECOMMENDATION: N/A ATTACHMENTS: rrant Register #7 PAYEE ALL ABOUT BOOKS CO. AMAZON BAKER & TAYLOR BRODART CITY OF NATIONAL CITY DELL MARKETING CORP GEISLER MCPHIE MIDWEST TAPE MORE DIRECT NANCY SAINT JOHN NEWSBANK INC. SCHIMMINGER SPRINT TRAF SYS INC TUMBLEWEED PRESS INC. U S POSTMASTER EROX CORPORATION MERICAN ROTARY BROOM ARCO GASPRO PLUS BOOT WORLD BRENNTAG PACIFIC INC CALIFORNIA ELECTRIC SUPPLY COOPER'S PLUMBING & HEATING FERGUSON ENTERPRISES INC FLEET SERVICES INC INFRASTRUCTURE ENGINEERING KONE NATIONAL CITY CAR WASH PERRY FORD POWERSTRIDE BATTERY CO INC PRO BUILD PRUDENTIAL OVERALL SUPPLY RON BAKER CHEVROLET SDG&E SOUTHWEST SIGNAL SERVICE SWEETWATER AUTHORITY UNDERGROUND SERVICE ALERT VALLEY INDUSTRIAL SPECIALTIES 3M COMPANY ALL FRESH PRODUCTS QONSUISSE INC ROADWAY AUTO GLASS ,ALIFORNIA BAKING CO. CHICK'S ELECTRIC MOTOR, INC. CINTAS DOCUMENT MANAGEMENT WARRANT REGISTER # 7 8/17/2010 DESCRIPTION GIVEAWAY BOOKS - TARGET GRANT ADULT NON-FICTION BOOKS FFL LM GIVEAWAYS WOW COLLECTION AL OPERATIONS DELL WIRELESS DESKTOP, VOSTRO 320 STORYTELLING PROGRAM STORYTELLING PROGRAM DVD'S FOR THE COLLECTION INV: 2163125 / NOTEBOOK PC STORYTELLING PROGRAM ANNUAL SUBSCRIPTION EDUCATIONAL BROCHURES VIDEO CONFERENCING WIRELESS NON DIRECTIONAL COUNTER SUBSCRIPTION FOR TUMBLEBOOK POSTAGE FOR OVERDUE NOTICES XEROX BASE CHARGE AND OVERAGES MOP 62683 AUTO PARTS FUEL FOR CITY FLEET MOP 64096 WEARING APPAREL POOL CHEMICALS MOP 45698 ELECTRICAL MATERIAL CITY-WIDE PLUMBING SERVICES MOP 45723 PLUMBING MATERIAL MOP 67804 AUTO PARTS FLOW MONITORING SUPPORT REPAIRS & MAINTENANCE CAR WASHES FOR CITY FLEET MOP 45703 AUTO PARTS MOP 67839 AUTO PARTS MOP 45707 PLUMBING MATERIALS MOP 45742 LAUNDRY SERVICE MOP 45751 AUTO PARTS STREET GAS & ELECTRIC TRAFFIC SIGNAUSTREET LIGHTING WASTEWATER WATER UNDERGROUND SRVC ALERT MOP 46453 PLUMBING MATERIAL SAFETY GLASSES FOOD FOR NUTRITION CENTER DAIRY DELIVERY FOR NUTRITION REGULATOR FOR V# 281 BREAD DELIVERY FOR NUTRITION BERKELEY PUMPMOTOR MONTHLY SHREDDING FOR POLICE 1 /4 CHK NO DATE AMOUNT 237744 8/12/10 450.00 237745 8/12/10 1,489.29 237746 8/12/10 328.16 237747 8/12/10 278.46 237748 8/12/10 189.08 237749 8/12/10 1,517.75 237750 8/12/10 175.00 237751 8/12/10 180.00 237752 8/12/10 938.46 237753 8/12/10 1,976.77 237754 8/12/10 150.00 237755 8/12/10 3,730.00 237756 8/12/10 684.75 237757 8/12/10 11.18 237758 8/12/10 475.00 237759 8/12/10 399.00 237760 8/12/10 308.00 237761 8/12/10 117.88 237762 8/17/10 478.43 237783 8/17/10 27,118.68 237764 B/17/10 375.00 237765 8/17/10 1,935.25 237766 8/17/10 277.37 237767 8/17/10 210.00 237768 8/17/10 683.45 237769 8/17/10 372.34 237770 8/17/10 5,130.00 237771 8/17/10 3,623.79 237772 8/17/10 324.00 237773 8/17/10 197.51 237774 8/17/10 376.91 237775 8/17/10 252.25 237776 8/17/10 462.56 237777 8/17/10 34.68 237778 8/17/10 27,650.39 237779 8/17/10 10,508.70 237780 8/17/10 271.59 237781 8/17/10 118.50 237782 8/17/10 745.20 237783 8/17/10 56.80 237784 B/17/10 1,965.66 237785 8/17/10 345.10 237786 8/17/10 269.50 237787 8/17/10 144.00 237788 8/17/10 495.00 237789 8/17/10 72.95 PAYEE COMMUNITY DEVELOPMENT COMPUTER PROTECTION TECH- INC. COUNTY OF SAN DIEGO EXPERIAN FAST SIGNS FIRE ETC GRANICUS INC GTC SYSTEMS INC HAMILTON MEATS & PROVISIONS IRON MOUNTAIN RECORDS J & L JANITORIAL SUPPLY LASER SAVER INC MALLORY FIRE NEXUS IS INC ORIENTAL TRADING, CO., INC. PADRE JANITORIAL SUPPLIES INC PERRY FORD PRO -EDGE KNIFE R.J. SAFETY SUPPLY RADIATION DETECTION COMPANY RED WING SHOES RPM WELDING INC SAN DIEGO HYDRAULICS SAN DIEGO UNION TRIBUNE SYSCO SAN DIEGO TARULLI TIRE SAN DIEGO INC TRAINING INNOVATIONS TURF STAR U-LINE VERIZON WIRELESS WAXIE SANITARY SUPPLY WEST PAYMENT CENTER ZEE MEDICAL, INC. ZUMAR INDUSTRIES BEARD BOOT WORLD EDCO DISPOSAL CORPORATION HOGLE IRELAND INC KEYSER MARSTON ASSOC LASER SAVER INC NAPA AUTO PARTS NBS OPPER & VARCO PACIFIC BUSINESS CAPITAL CORP PRO BUILD PRUDENTIAL OVERALL SUPPLY WARRANT REGISTER # 7 8/17/2010 DESCRIPTION SOFTWARE FOR SPEC WRITING UPS MAINTENANCE CITY HALL & PD REGIONAL COMMUNICATIONS MAINT CREDIT CHECK / NEW PD EMPLOYEES ALUMINUM SIGNS 4" X 50' FIRE HOSE / YELLOW GRANICUS WEBCAST/LIVECAST NETWORK ENGINEERING / JULY 2010 MEAT DELIVERY FOR NUTRITION CENTER RECORDS MANAGEMENT/DOC STORAGE WASTE BASKET - GRAY PRINTER MAINTENANCE & REPAIR SERVICE VALVE / PRESSURE RELIEF NEXUS PHONE SYSTEM / JULY 2010 HAPPY THANKS GIVING BANNER JANITORIAL SUPPLIES FOR NUTRITION LABOR TO REPAIR V# 381 KNIFE SHARPENING SERVICES SAFETY CONES TLD SBGN BADGE / QUARTERLY PMNT SAFETY BOOTS REPAIRS TO SWEEPER TUBE ASSEMBLY 3/4" LEGAL NOTICES ADVERTISING - 07/10 CONSUMABLES FOR NUTRITION CENTER RECAP TIRES TMS SOFTWARE SUBSCRIPTION V-BELT 5x8 WB RECLOSABLE BAG VERIZON WIRELESS SERVICE / CITY 71" TELESCOPIC ALUMINUM HANDLE PERIOD OF 07/01/10 - 07/31/10 FIRST AID SUPPLIES SIGNS SUSTAINABILITY PILOT PROJECT MOP# 64096. SAFETY BOOTS WASTE DISPOSAL FOR CDC CONSULTANT AGREEMENT / JUNE 2010 ECONOMIC CONSULTING SERVICES MOP# 45725. TONER MOP# 45735. CAR WASH SOLUTION LANDSCAPE MAINT DISTRICT SERVICES EXPERT & CONSULTANT EQUIPMENT RENTAL MOP# 45707. LADDER - SCRUBS MOP#45742. LAUNDRY SERVICE 2/4 CHK NO DATE AMOUNT 237790 8/17/10 1,050.00 237791 8/17/10 4,020.00 237792 8/17/10 9,063.00 237793 8/17/10 27.24 237794 8/17/10 93.59 237795 8117/10 3,321.04 237796 8/17/10 1,477.35 237797 8/17/10 5,253.28 237798 8/17/10 1,124.64 237799 8/17/10 131.00 237800 8/17/10 119.56 237801 8/17/10 2,077.18 237802 8/17/10 65.41 237803 8/17/10 730.00 237804 8/17/10 187.03 237805 8/17/10 37.67 237806 8/17/10 5,726.39 237807 8/17/10 46.' 237808 8/17/10 300. 237809 8/17/10 108.60 237810 8/17/10 125.00 237811 B/17/10 712.25 237812 8/17/10 59.27 237813 8/17/10 3,579.60 237814 8/17/10 1,720.19 237815 8/17/10 643.83 237816 8/17/10 575.00 237817 8/17/10 278.48 237818 8/17/10 112.60 237819 8/17/10 207.50 237820 8/17/10 85.91 237821 8/17/10 420.00 237822 8/17/10 250.42 237823 8/17/10 499.62 237824 8/17/10 200.00 237825 8/17/10 215.29 237826 8/17/10 104.75 237827 8/17/10 427.50 237828 8/17/10 13,589.63 237829 8/17/10 241.34 237830 8/17/10 8.76 237831 8/17/10 935.6- 237832 8/17/10 1,68' 237833 8/17/10 390.ov 237834 8/17/10 86.72 237835 8/17/10 13.34 PAYEE SAN DIEGO BUSINESS JOURNAL SAN DIEGO CLIPPING SERVICE SDG&E SOUTH COUNTY ECONOMIC STAPLES ADVANTAGE STRATACOM TIERRA WEST ADVISORS INC WESTFLEX INDUSTRIAL AFLAC ALTA PLANNING & DESIGN, INC. ARUTYUNYAN WEINSTOCK CALIFORNIA REDEVELOPMENT YANOVSKY CEB CEB CEB ITY ATTORNEYS ASSOCIATION ONTRACTING CONCEPTS INC CULLIGAN DELTACARE (PMI) ESTUDILLO FEDEX MORRISON LEXIS-NEXIS LOPEZ LOUNSBERRY FERGUSON ALTONA MATTHEW BENDER & CO INC MEYERS/NAVE LAW CORP NATIONAL CITY HOST LIONS CLUB NATIONAL NOTARY ASSOCIATION RAY WILLIAMS REFRIGERATION SHERMAN SAN DIEGO COUNTY EMS SAN DIEGO MIRAMAR COLLEGE SAN DIEGO PET & LAB SUPPLY. SMART & FINAL STAPLES ADVANTAGE STRATACOM TARGET SPECIALTY PRODUCTS TIERRASANTA HEATING & AIR ' 1 S BANK CORPORATE PAYMT SYS WE & ASSOCIATES WE & ASSOCIATES BEEMAN WILLY'S ELECTRONIC SUPPLY WARRANT REGISTER # 7 8/17/2010 DESCRIPTION MEMBERSHIP AND SUBSCRIPTION NEWS READING AND CLIPPING SERVICE GAS AND ELECTRIC UTILITIES FOR CDC SCEDC MEMBERSHIP 2010/2011 MOP# 45704. OFFICE SUPPLIES MOP# 63845. ENVELOPES TIERRA WEST ADVISORS - JULY 2010 MOP# 63850. PAINTING SUPPLIES AFLAC ACCOUNT BDM36 AUG 2010 N.C. BICYCLE MASTER PLAN REFUND - VIOLATION DISMISSED REFUND BLDG PERMIT COSTS CA REDEVELOP ASSOC SEMINAR REFUND - FOR SUMMER CAMP CA MUNICIPAL LAW HANDBOOK CA LAND USE PRACTICE CA EASEMENTS & BOUNDARIES CA ASSOCIATION ANNUAL MEMBERSHIP REFUND OF C&D COSTS WATER SOFTENER SERVICE DENTAL INS PMI AUG 2010 REFUND - COPY OF PHOTOS FEDEX SHIPMENT - FINANCE REFUND BLDG PERMIT COSTS ONLINE LEGAL CHARGES JULY 2010 TRANSLATION SERVICES FY 10/11 STORMWATER STATE TEST CLAIM CA CODES 6-IN-2 JULY 2010 CONSULT/MOU NEGOTIATIONS 4TH OF JULY FIREWORKS NOTARY E & 0 INSURANCE MAINTENANCE SVC ICE MACHINE REFUND - SUMMER CAMP S D & MEDICATIONS PROTOCOLS FIELD TRAINING OFFICER COURSE MOP# 45753. DOG FOOD MOP45756. SUPPLIES FOR COUNCIL MOP# 45758. OFFICE SUPPLIES MOP# 63845. ENVELOPES VEGETATION MANAG MEETING REFUND BLDG PERMIT COST CREDIT CARD EXPENSE / COMM SVCS ON CALL SERVICES / JUNE 2010 ON CALL SERVICES /APRIL 2010 REFUND -OVERPAYMENT MOP# 45763. COMPUTER SUPPLIES 3/4 CHK NO DATE AMOUNT 237836 8/17/10 59.00 237837 8/17/10 144.00 237838 8/17/10 19.56 237839 ' 8/17/10 7,500.00 237840 8/17/10 423.78 237841 8/17/10 109.76 237842 8/17/10 11,223.75 237843 8/17/10 233.33 237844 B/17/10 1,655.60 237845 8/17/10 14,408.58 237846 8/17/10 60.00 237847 8/17/10 109.00 237848 8/17/10 390.00 237849 8/17/10 50.00 237850 8/17/10 307.01 237851 8/17/10 174.27 237852 8/17/10 161.22 237853 8/17/10 700.00 237854 8/17/10 2,062.00 237855 8/17/10 204.00 237856 8/17/10 3,552.23 237857 8/17/10 16.00 237858 8/17/10 26.19 237859 8/17/10 178.20 237860 8/17/10 427.38 237861 8/17/10 140.00 237862 8/17/10 3,207.00 237863 8/17/10 35.12 237864 8/17/10 275.00 237865 8/17/10 6,552.00 237866 8/17/10 84.00 237867 8/17/10 187.50 237868 8/17/10 25.00 237869 8/17/10 140.00 237870 8/17/10 39.00 237871 8/17/10 234.59 237872 8/17/10 27.30 237873 8/17/10 1,840.42 237874 8/17/10 493.88 237875 8/17/10 120.00 237876 8/17/10 186.20 237877 8/17/10 174.12 237878 8/17/10 34,220.50 237879 8/17/10 12,490.00 237880 8/17/10 8.00 237881 8/17/10 496.45 4/4 WARRANT REGISTER # 7 8/17/2010 PAYEE DESCRIPTION CHK NO DATE AMOUNT YOUNG SHERMAN L INSTITUTE CLASS 281 237882 8/17/10 419.58 ZAPATA PROMOTIONAL ACTIVITIES REIMBURSEMEN. 237883 8/17/10 76.89 WIRED PAYMENTS TRISTAR RISK MANAGEMENT JULY 2010 WC REPLENISHMENT A/P Total 265,685.20 31216962 8/17/20 61,496.88 GRAND TOTAL $ 327,182.08 CITY OF NATIONAL CITY, CALIFORNIA COUNCIL AGENDA STATEMENT MEETING DATE: September 21st, 2010 AGENDA ITEM NO.14 EM TITLE: Warrant Register #8 for the period of 08/18/10 through 8/24/10 in the amount of $3,014,195.70 PREPARED BY: K. Apalateg0 DEPARTMENT: PHONE: 1619-336-4331 APPROVED BY: EXPLANATION: !Per Government Section Code 37208, attached are the warrants issued for the period of 08/18/10 through 08/24/10 The Finance Department has implemented a policy explanation of all warrants above $50,000.00 Vendor Check Amount Explanation City of San Diego 237909 1,204,458.00 Wastewater charges Public Emp Ret System 237938 266,888.16 Service period 8-10-3 Sandpipa 237942 110,761.00 Workers Comp 8/01/10 — 7/31/11 FINANCIAL STATEMENT: ACCOUNT NO. N/A ENVIRONMENTAL REVIEW: N/A ORDINANCE: INTRODUCTION: FINAL ADOPTION: APPROVE APPROVED: Finance MIS STAFF RECOMMENDATION: Ratification of warrants in the amount of $3,014,195.70 BOARD / COMMISSION RECOMMENDATION: N/A ATTACHMENTS: rrant Register #8 PAYEE CHRISTENSEN & SPATH LLP EQUIFAX INFORMATION SVCS GE CAPITAL LASER SAVER INC N C CHAMBER OF COMMERCE PACIFIC BUSINESS CAPITAL CORP SDG&E STAPLES ADVANTAGE SWEETWATER AUTHORITY UNION -TRIBUNE PUB. CO. VERIZON WIRELESS ABCANA INDUSTRIES ALL AMERICAN BUILDING AND AMERICAN ROTARY BROOM ASSI SECURITY AT&T MOBILITY AT&T MOBILITY BCM CUSTOMER SERVICE BRENNTAG PACIFIC INC BROADWAY AUTO GLASS CALIFORNIA COMMERCIAL SECURITY CENTURY WHEEL & RIM CESNAUSKAS CITY OF CHULA VISTA CITY OF SAN DIEGO CLEAN HARBORS CONSTRUCTION ELECTRONICS INC COUNTY OF SAN DIEGO COUNTY OF SAN DIEGO DAPPER TIRE COMPANY ESGIL CORPORATION ESGIL CORPORATION FEDEX FRANK TOYOTA GARCIA GRAINGER GRANICUS INC GTC SYSTEMS INC HDL COREN & CONE HINDERLITER DE LLAMAS & ASSOC HORIZON HEALTH EAP HUDSON SAFE-T-LITE RENTALS J & M KEYSTONE INC JOHN DEERE LANDSCAPES LINEBERRY MAINTEX INC MASON'S SAW & NATIONAL CITY AUTO TRIM WARRANT REGISTER # 8 8/24/2010 DESCRIPTION LEGAL SERVICES FOR CDC CREDIT CHECK FOR SECTION 8 INSTALLMENT FOR COPIER / CDC MOP# 45725. INK CARTRIDGES SERVICES FOR JULY, AUG & SEPT EQUIPMENT RENTAL GAS AND ELECTRIC UTILITIES FOR CDC MOP# 45704. OFFICE SUPPLIES WATER UTILITIES FOR CDC PUBLICATION OF PLANNING COMMISSION VERIZON WIRELESS SERVICE / SEC 8 MUNICIPAL POOL CHEMICALS CARPENTRY/BUILDING REPAIRS SWEEPER REPAIRS CITY-WIDE CARD ACCESS PROJECT ATT SECURE WIRELESS CIRCUIT / PD ATT SECURE WIRELESS CIRCUIT FOR PD PREVENTATIVE MAINTENANCE MUNICIPAL POOL CHEMICALS FW02018GBN WINDSHIELD DOOR REPAIRS AUTOMOTIVE SUPPLIES EDUCATIONAL REIMBURSEMENT ANIMAL SHELTER COSTS FOR FY 2010 WASTEWATER FEES HAZARDOUS WASTE PICKUP BASIC COVERAGE MAINTENANCE HAZ MAT PERMIT 9/30/10 - 9/30/11 COUNTY SD SHARE/PARKING CITATION TIRES FOR CITY FLEET PLAN CHECKING PERIOD 07/01-31/10 CONSULTANT SERVICES 07/01-31/10 FEDEX CHARGES 2009 TOYOTA PRIUS HYBRID LEASE SUMMER CAMP REFUND MOP 65179 ELECTRICAL MATERIAL GRANICUS WEBCAST NETWORK ENGINEERING HOURS PROPERTY TAX JULY-SEPTEMBER 2010 SALES TAX QTR 1 2010 EMPLOYEE ASSIST PROGRAM - AUG 10 28" TRAFFIC CONES W/REFL SLEEVES CARPET CLEANING MOP 69277 HORTICULTURAL ITEMS HEALTHNET INSURANCE DEDUCTIONS MISC JANITORIAL SUPPLIES MOP 45729 MATERIAL & SUPPLIES R&M CITY VEHICLES 1/2 CHK NO DATE AMOUNT 237884 8/24/10 1,580.00 237885 8/24/10 50.00 237886 8/24/10 420.86 237887 8/24/10 271.55 237888 8/24/10 12,500.00 237889 8/24/10 195.00 237890 8/24/10 83.13 237891 8/24/10 66.61 237892 8/24/10 136.74 237893 8/24/10 1,416.00 237894 8/24/10 356.04 237895 8/24/10 1,197.90 237896 8/24/10 2,821.48 237897 8/24/10 742.60 237898 8/24/10 28,612.50 237899 8/24/10 6,923.21 237900 8/24/10 2,475.73 237901 8/24/10 150.00 237902 8/24/10 975.18 237903 8/24/10 140.25 237904 8/24/10 1,932.94 237905 8/24/10 77.41 237906 8/24/10 258.00 237907 8/24/10 31,377.00 237908 8/24/10 1,204,458.00 237909 8/24/10 638.10 237910 8/24/10 843.55 237911 8/24/10 1,599.00 237912 8/24/10 9,749.50 237913 8/24/10 843.37 237914 8/24/10 12,963.73 237915 8/24/10 10,233.90 237916 8/24/10 57.24 237917 8/24/10 1,411.88 237918 8/24/10 25.00 237919 8/24/10 206.18 237920 8/24/10 1,477.35 237921 8/24/10 2,550.23 237922 8/24/10 2,400.00 237923 8/24/10 6,184.06 237924 8/24/10 816.24 237925 8/24/10 469.18 237926 8/24/10 725.00 237927 8/24/10 537.22 237928 8/24/10 410.12 237929 8/24/10 2,917.43 237930 8/24/10 281.01 237931 8/24/10 274.38 PAYEE NATIONAL CITY TROPHY ONE SOURCE DISTRIBUTORS ORKIN PEST CONTROL PACIFIC AUTO REPAIR PEREZ PERRY FORD PUBLIC EMP RETIREMENT SYSTEM QUALITY LIFT TRUCKS RUSS' BEE REMOVAL SAM'S ALIGNMENT SERVICE SANDPIPA SDG&E SDG&E SIGN MASTERS SUPERIOR READY MIX SWEETWATER AUTHORITY TILLEY CRANE INSPECTION SVC UNITED TRANSMISSION EXCHANGE USA MOBILITY WIRELESS, INC. WESTFLEX INDUSTRIAL WILLY'S ELECTRONIC SUPPLY WOOD & WOOD ZIONS BANK SECTION 8 HAPS PAYMENTS PAYROLL Pay period Start Date 17 7/27/2010 Special Payroll WARRANT REGISTER # 8 8/24/2010 DESCRIPTION MOP 66556 BUILDING MATERIAL MOP 67256 ELECTRICAL MATERIAL PEST MAINTENANCE SMOG CERTIFICATION & REPAIRS TICKET REIMBURSEMENT LABOR, WHEEL REPAIRS V#388 SERVICE PERIOD 8-10-3 CYLINDER WHEEL #21892 BEE REMOVAL WHEEL ALIGNMENT WORKERS COMP 8/01/10 - 7/31/11 FACILITIES GAS & ELECTRIC STREET GAS & ELECTRIC WHITE COROPLAST SIGNS OIL FACILITIES WATER ANNUAL INSPECTION KIT FILTER 4" HIGH CAPACITY USA MOBILITY MOP 63850 AUTO PARTS MOP 45763 MATERIALS & SUPPLIES LIABILITY CLAIM COSTS LEASE PAYMNT FOR 800 MHZ EQUIPMENT Start Date 8/18/2010 End Date 8/9/2010 End Date 8/24/2010 Check Date 8/18/2010 8/18/2010 2/2 CHK NO DATE AMOUNT 237932 8/24/10 40.78 237933 8/24/10 5.30 237934 8/24/10 373.33 237935 8/24/10 727.15 237936 8/24/10 40.00 237937 8/24/10 1,078.13 237938 8/24/10 266,888.16 237939 8/24/10 175.98 237940 8/24/10 775.00 237941 8/24/10 669.89 237942 B/24/10 110,761.00 237943 8/24/10 32,706.77 237944 8/24/10 5,575.37 237945 8/24/10 340.00 237946 8/24/10 111.47 237947 8/24/10 31,680.94 237948 8/24/10 400.00 237949 8/24/10 155.94 237950 8/24/10 960.7E 237951 8/24/10 31.08 237952 8/24/10 301.36 237953 8/24/10 11,235.33 237954 8/24/10 48,678.25 A/P Total 1,870,543.79 3,242.93 1,136,574.07 3,834.91 GRAND TOTAL $ 3,014,195.70 CITY OF NATIONAL CITY, CALIFORNIA COUNCIL AGENDA STATEMENT MEETING DATE: September 21, 2010 AGENDA ITEM NO. 15 EM TITLE: National City Sales Tax Update —First Quarter 2010 PREPARED BY: Roxanna E. Galvan 401 DEPARTMEN inance De rtmenX PHONE: Ext. 4269 APPROVED B EXPLANATION: Jeanette adrido, CPA Background Finance Director The City has an on -going contract with Hinderliter, de Llamas & Associates (HdL Companies) for revenue management. Staff meets with a representative of HdL on a quarterly basis to review sales tax data and trends within the City and statewide. The HdL companies also review National City property tax data and provides an annual report of the Redevelopment project areas. Newsletter Summary National City sales per capita continues to exceed the County and State average. Sales tax for the first quarter of 2010 showed a 1.6% increase in comparison to the same quarter last year. Numerous contributors are responsible for the increase including: the increase in new auto sales despite closure of an auto dealer; family apparel and department store showed a positive return; and the Circuit City closure continues caused a major decrease in electronic/appliance stores receipts within the City. Proposition "D," the city's voter -approved local sales tax, generated an additional $1,861,918 in revenue to the city, which was 4.1% increase in comparison with the same quarter last year. California had a statewide sales and use tax increase of 1.1%. This marks the first year -over -year gain in statewide sales in two and one-half years. Declines in local sales and use tax revenues are generally thought to have "bottomed out" and expectations are for moderate gains in al allocations over the next two quarters. iched is the National City Sales Tax Update for the first quarter sales of 2010. This newsletter is also available on the uity's website. FINANCIAL STATEMENT: ACCOUNT NO. jN/A ENVIRONMENTAL REVIEW: ORDINANCE: INTRODUCTION: FINAL ADOPTION: APPROVED: APPROVED: Finance MIS STAFF RECOMMENDATION: Accept and file the newsletter. 1 BOARD / COMMISSION RECOMMENDATION: ATTACHMENTS: achment A - National City Sales Tax Update —First Quarter 2010 Receipts from January - March .' sales were 1 6% higher than the same period last year. New auto sales increased despite the closure of a dealership while a double payment overstated the gain in the used auto category. Fam- ily apparel and department stores showed positive returns but the rise for discount department stores and eery/book stores was inflated t , letime events. These gains off- set the drop in electronics/appliance stores due to a store closeout New eateries boosted returns in restaurants with liquor offsetting a late payment in restaurants with no alcohol. Higher prices bumped up fuel -related proceeds. Multiple de- viations accounted for the increase in business to business receipts. Temporary adjustments that inflat- ed the year-ago quarter overstat- ed the decrease in Building & Con- struction overall: The city's voter approved trans- actions tax generated an addition- al $1,861,918. This was a 4.1% in- crease compared to the same quar- ter a year ago. Adjusted for reporting aberrations, taxable sales for all of San Diego County including its cities gained 1 "-' over the comparable time pe- r. vie Southern California as a whole was up 0.5%. N9, C[TQ Attar ational City Sales Tax Update Second Quarter Receipts for First Osarter Sales (Jan Mar 2010) SALES TAX BY MAJOR BUSINESS GROUP $1,006 ,000 $ 800 ,000 $ 600 ,000 $ 400 ,000 $200.000 so Autos and Transportation General Consumer Goods Restaurants and Hotels TOP 25 PRODUCERS In Alphabetical Order Arco AM PM Audi Leasing Ltd Bentley Leasing Ball Honda Acura Mitsubishi & Suzuki Borders Forever XXI Frank Motors Golden Image Window Coverings Highland Arco JC Penney Macys McCune Motors McDonalds Mossy Nissan Perry Ford Probuild Company Ron Baker Chevrolet Isuzu Ross South Bay Volkswagen Suzuki Target Univar Venture Petroleum Company Vintners Distributors Walmart Wescott Mazda Kia Westair Gases & Equipment Fuel and Service Stations Business and Industry II 1st Quarter 2009 1st Quarter 2010 Food and Drugs Building and Construction REVENUE COMPARISON Four Quarters - Fiscal Year To Date Point -of -Sale 2008-09 2009-10 $11,843,128 $10,437,239 County Pool 1,339,900 1,205,554 State Pool 5,786 9,183 Gross Receipts $13,188,814 $11,651,976 Less Triple Flip* $(3,297,204) $(2,912,994) Gross Trans. Tax $8,449,669 $7,853,232 *Reimbursed front county compensation find Published by The HdL Companies in Summer 2010 www.hdlcompanies.com l 888.861.0220 CTI"HaL Q1 2010 National City Sales Tax Update Statewide Results Adjusted for accounting aberrations, California's local sales and use tax rev- enues from the first quarter of 2010 were 1.1% higher than the same quar- ter one year ago. This marks the first year -over -year gain in statewide sales in two and one-half years. For most agencies, the increase came almost exclusively from the 33% re- covery in fuel prices since first quar- ter 2009. An early Easter also helped boost receipts from discount depart- ment stores and value priced apparel while year-end bonuses, the prior stock market rally and manufacturer incentives produced auto sales gains in some high income communities. Geographically, the central and north- ern coastal areas of California did bet- ter than the rest of the state. How- ever, the only solid across-the-board increases occurred in a few areas sur- rounding the technology centers of Silicon Valley. Projections for a Tepid Recovery Continue Statewide, declines in local sales and use tax revenues are generally thought to have "bottomed out" and expecta- tions are for moderate gains in local allocations over the next two quarters. Rising fuel prices, stimulus rebates for energy -related purchases, inventory re- building by retailers and manufacturers and a temporary slump in consumer savings to satisfy pent up demand are all expected to have a positive impact on revenues. Aggressive manufacturer incentives are also projected to improve new car sales over the next few quarters al- though the taxable values of the units sold will be far less than at the peak of the credit bubble when 40% of all California new car sales were financed from home equity loans which had en- couraged more expensive purchases. However the increases are anticipated to taper off in the last half of the fis- cal year as inventory rebuilding winds down and various federal stimulus and tax incentive programs are phased out. Overall year-end gains are expected to be modest except in jurisdictions ben- efitting from new development or spe- cific business/retail segments. The current consensus is that Cali- fornia's fiscal problems, high unem- ployment and a continued slump in construction activity make significant recovery in tax revenues unlikely be- fore 2012-2013. Local Add -On Sales Tax Measures Approved All six proposals for sales tax add- ons were approved in June as voters continued to exhibit an openness to financing services in their immediate communities where they have more input and control. New taxes were approved in the cit- ies of Calexico, Cathedral City, Cotati, Rohncrt Park and Woodland. Davis approved continuation of an existing tax that was about to sunset. This brings the number of agencies with one or more "transactions tax" districts to 78 cities and 27 counties. While sales tax is collected on all pur- chases and allocated to where the sale is negotiated, the local "transactions tax" is collected and distributed for purchases in only the levying jurisdic- tion where the goods are delivered, consumed or registered. A dozen agencies are considering simi- lar measures for the November 2010 ballot. SALES PER CAPITA $8,000 $6,000 $4,000 $2,000 SO Q1 07 National City 01 08 County 01 09 Q1 10 California NATIONAL CITY TOP 15 BUSINESS TYPES Business Type New Motor Vehicle Dealers Discount Dept Stores Restaurants No Alcohol Service Stations Family Apparel Department Stores Women's Apparel Used Automotive Dealers Specialty Stores Restaurants Liquor Electronics/Appliance Stores Lumber/Building Materials Shoe Stores Heavy Industrial Restaurants Beer And Wine Total All Accounts County & State Pod Allocation Gross Receipts National City County HdL Stale Q1 '10* Change Change Change $728.3 2.1% -0.4% 0.0% 203.8 14.6% 4.6% 4.9% 196.1 -6.1% -6.6% -3.3% 188.2 33.7% 23.7% 28.0% 137.5 17.4% 12.4% 13.7% 99.1 7.2% 1.3% -1.0% 79.3 5.9% 3.0% 3.7% 72.4 81.1% -2.6% 5.8% 72.0 -8.4% -3.5% -3.7% 57.2 66.3% 5.5% 5,0% 51.8 -32.8% 3.5% -6.0% 49.8 -08.2% -3.9% 1.7% 49.4 18.0% 18.8% 6.2% 46.3 7.6% -6.9% -15.2% 42.0 2.5% -0.8% -5.9% $2,5529 0.6% 1.6% 0.8% 324.7 10.8% $2,877.7 1.6% in thousands CITY OF NATIONAL CITY, CALIFORNIA COUNCIL AGENDA STATEMENT MEETING DATE: September 21, 2010 AGENDA ITEM NO. 1-6 ITEM TITLE: Resolution of the City Council of the City of National City (1) Authorizing proceedings to refinance $3,280,000 outstanding 1998 lease revenue bonds; (2) Terminating the 1998 lease agreement between the City, the National City Joint Powers Financing Authority, and Union Bank of California; (3) Approving the new lease agreement between the City and the National City Joint Powers Financing Authority; (4) Approving the assignment agreement between the Authority and the Lender; and (5) Approving the irrevocable refunding instructions given by the City to the 1998 Trustee. With this refinance, The General Fund will realize a direct savings of $137,000 In FY 10-11 PREPARED BY: Jeanette Ladrido, C PHONE: 336-4331 EXPLANATION: See attached report. DEPARTMENT: APPROVED BY: FINANCIAL STATEMENT: APPROVED: Finance ACCOUNT NO. 201-411-000-470/480-0000 APPROVED: MIS The General Fund will realize a direct savings of $137,000 in FY 2010-11 and an overall savings of 5%. ENVIRONMENTAL REVIEW: ORDINANCE: INTRODUCTION: FINAL ADOPTION: STAFF RECOMMENDATION: Approve the attached resolution and authorize staff to execute the termination agreement, the lease agreement, the assignment agreement and the irrevocable refunding instructions. BOARD / COMMISSION RECOMMENDATION: N/A� ATTACHMENTS: 1) Resolution 2) Termination Agreement 3) Lease Agreement 4) Assignment Agreement 5) Irrevocable Refunding Instructions EXPLANATION: On September 7, 2010 staff presented, and the Financing Authority Board approved, a recommendation to the Financing Authority Board to refinance outstanding bonds issued by the National City Joint Powers Financing Authority (Authority) for the purpose of constructing a new Policy Facility. In 1991 to finance the facility, the Authority issued $6,950,000 in Certificates of Participation (COPs), a type of municipal debt financing, on behalf of the Authority. The COP's were subsequently refinanced in 1998, with the total financing amount of $6,255,000. In both financings, the primary source of repayment was lease payments made to the Authority through the City's General Fund. The average debt service payment for the existing debt is roughly $500,000 per year. At the request of staff, the City's Financial Advisor solicited several proposals to ensure the Authority was able to secure the best deal in the market. Through a competitive process the Authority was able to identify debt savings of roughly 5% through a private placement refunding from Bank of America. Based on proposed interest rates, refinancing the 1998 COPs can provide upfront savings to the City of $137,000 in lease payments due on'October 1, 2010. FISCAL IMPACT: Based on solicited proposals, Bank of America has offered the most competitive rate. The interest rate on the new refunding bonds is proposed at fixed rate of 3.0%, which will generate approximately $137,000 in savings in FY 2010-11 and overall savings of roughly 5% of the refunded par. The savings is generated from lower interest rates. The final maturity will remain 2017. The total "all -in" cost for professional services for the refunding is estimated at $35,000-$41,000 with saving net of refinancing costs. RECOMMENDATION / REQUESTED ACTION: Because the bonds can only be refunding on interest payment dates, staff has been working diligently with the financing team to prepare the necessary Resolutions and Agreement documents to meet the next interest payment date of October 1, 2010. Approval of the attached Resolution authorizing the refinancing will authorize the execution of the following documents which are attached with this report: • Termination Agreement among the City, the Authority and Union Bank, as trustee for the 1998 Certificates (the "1998 Trustee"), whereby the City, the Authority and the 1998 Trustee agree to terminate the 1998 Lease Agreement and the related Assignment Agreement. • Lease Agreement between the City and the Authority, whereby the Authority leases the Site and Facilities to the City in consideration of the payment of semiannual lease payments by the City as rental for such real property. • Assignment to Lender whereby the City Council approves the assignment by the Authority to the Lender of certain of its rights under the Lease Agreement, including the right to receive and enforce payment by the City of all lease payments due there under. • Irrevocable Refunding Instructions given by the City to the 1998 Trustee, whereby the 1998 Trustee agrees to establish an irrevocable escrow fund to be held and invested for the purpose of paying the principal and interest represented by the 1998 Certificates, and to prepay the 1998 Certificates in full on the prepayment date specified therein. To complete the refinancing before the October 1, 2010 interest payment date, staff is recommending the City Council approve the attached Resolution and Agreements and direct staff to complete the necessary actions to refinance the 1998 Lease Revenue Bonds for a savings of $137,000 in FY 2010-11 and an overall savings of 5%. RESOLUTION NO. 2010 — RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NATIONAL CITY (1) AUTHORIZING PROCEEDINGS TO REFINANCE $3,280,000 OUTSTANDING 1998 LEASE REVENUE BONDS; (2) TERMINATING THE 1998 LEASE AGREEMENT BETWEEN THE CITY, THE NATIONAL CITY JOINT POWERS FINANCING AUTHORITY, AND UNION BANK OF CALIFORNIA; (3) APPROVING THE NEW LEASE AGREEMENT BETWEEN THE CITY AND THE NATIONAL CITY JOINT POWERS FINANCING AUTHORITY; (4) APPROVING THE ASSIGNMENT AGREEMENT BETWEEN THE AUTHORITY AND THE LENDER; AND (5) APPROVING THE IRREVOCABLE REFUNDING INSTRUCTIONS GIVEN BY THE CITY TO THE 1998 TRUSTEE. WITH THIS REFINANCE, THE GENERAL FUND WILL REALIZE A DIRECT SAVINGS OF $137,000 IN FY 10-11 WHEREAS, in order to finance the construction of a Police Administration Building located at 1200 National City Boulevard in the City of National City (the "Facilities"), the City of National City (the "City") has previously leased the real property constituting the site thereof (the "Site") and the completed Facilities from the National City Joint Powers Financing Authority (the "Authority") under a Lease Agreement dated as of October 28, 1998 (the "1998 Lease Agreement"); and WHEREAS, the City's lease payments under the 1998 Lease Agreement (the "1998 Lease Payments") are evidenced by 1998 Certificates of Participation (Police Administration Building Project) which have been executed and delivered in the aggregate principal amount of $6,255,000 of which $3,280,000 are currently outstanding (the "1998 Certificates"); and WHEREAS, the City and the Authority have received a proposal from Bank of America, N.A. (the "Lender"), to provide funds required to refinance the 1998 Lease Payments and the 1998 Certificates; and WHEREAS, the City Council wishes at this time to approve proceedings to refinance the 1998 Lease Payments and the 1998 Certificates and thereby realize interest rate savings to the City, and to approve related documents and actions. NOW THEREFORE, BE IT FURTHER RESOLVED BY THE CITY COUNCIL OF THE CITY OF NATIONAL CITY AS FOLLOWS: 1. Approval of Refinancing Proceedings. The City Council hereby approves the refinancing of the 1998 Certificates and the related 1998 Lease Payments. To that end, the City Council hereby approves each of the following agreements in substantially the respective forms on file with the City Clerk together with any changes therein or additions thereto deemed advisable by the City Manager, and the execution thereof by the City Manager shall be conclusive evidence of such approval: • Termination Agreement among the City, the Authority, and Union Bank of California as trustee for the 1998 Certificates (the "1998 Trustee"), whereby the City, the Authority and the 1998 Trustee agree to terminate the 1998 Lease Agreement and the related Assignment Agreement. Resolution No. 2010 — Page 2 • Lease Agreement between the City and the Authority, whereby the Authority leases the Site and Facilities to the City in consideration of the payment of semiannual lease payments by the City as rental for such real property. • Irrevocable Refunding Instructions given by the City to the 1998 Trustee, whereby the 1998 Trustee agrees to establish an irrevocable escrow fund to be held and invested for the purpose of paying the principal and interest represented by the 1998 Certificates, and to prepay the 1998 Certificates in full on the prepayment date specified therein. The City Manager is authorized and directed for and in the name and on behalf of the City to execute and the City Clerk is hereby authorized and directed to attest the final form of each of the foregoing documents. 2. Approval of Assignment to Lender. The proposal from the Lender to provide financing for the purposes set forth in this Resolution is hereby approved, and the acceptance of such proposal by the Director of Finance is hereby ratified, confirmed and approved. The City Council hereby approves the assignment by the Authority to the Lender of certain of its rights under the Lease Agreement, including the right to receive and enforce payment by the City of all lease payments due thereunder. 3. Official Actions. The Mayor, the City Manager, the Director of Finance, the City Clerk and all other officers of the City are each authorized and directed in the name and on behalf of the City to make any and all assignments, certificates, requisitions, agreements, notices, consents, leases and other instruments of conveyance, warrants and other documents, which they or any of them might deem necessary or appropriate in order to consummate any of the transactions contemplated by the agreements and documents approved under this Resolution. Whenever in this Resolution any officer of the City is authorized to execute or countersign any document or take any action, such execution, countersigning or action may be taken on behalf of such officer by any person designated by such officer to act on his or her behalf in the case such officer is absent or unavailable. 4. Constitutionality. Severability. If any section, subsection, sentence, clause, phrase, or word of this Resolution is for any reason held by a court of competent jurisdiction to be unconstitutional or invalid for any reason, such decision shall not affect the validity of the remaining portions of the resolution. The City Council of the City of National City hereby declares that it would have passed this resolution and each section, subsection, sentence, clause, phrase, and word thereof, irrespective of the fact that any one or more section(s), subsection(s), sentence(s), clause(s), phrase(s), or word(s) be declared invalid. 5. Effective Date. This Resolution shall become effective immediately. --- Signature Page to Follow --- Resolution No. 2010 — Page 3 PASSED and ADOPTED this 21st day of September, 2010. Ron Morrison, Mayor ATTEST: Michael R. Dalla, City Clerk APPROVED AS TO FORM: Claudia G. Silva City Attorney NP Draft 09/16/10 TO BE RECORDED AND WHEN RECORDED RETURN TO: Nixon Peabody LLP 555 West Fifth Street, 46`" Floor Los Angeles, California 90013 Attention: Charles C. Wolf, Esq. THIS TRANSACTION IS EXEMPT FROM CALIFORNIA DOCUMENTARY TRANSFER TAX PURSUANT TO SECTION 11928 OF THE CALIFORNIA REVENUE AND TAXATION CODE. THIS DOCUMENT IS EXEMPT FROM RECORDING FEES PURSUANT TO SECTION 27383 OF THE CALIFORNIA GOVERNMENT CODE. TERMINATION AGREEMENT This TERMINATION AGREEMENT (this "Agreement"), dated as of September 1, 2010, is among the NATIONAL CITY JOINT POWERS FINANCING AUTHORITY, a joint powers agency duly organized and existing under a Joint Powers Agreement, dated as of April 16, 1991 by and between the City of National City and the Community Development Commission of the City of National City, the laws of the State of California (the "Authority"), the CITY OF NATIONAL CITY, a general law city and municipal corporation duly organized and existing under the Constitution and laws of the State of California (the "City"), as lessee, and Union Bank, N.A., as trustee for the within -mentioned 1998 Certificates (the "1998 Trustee"). BACKGROUND: 1. In order to finance the construction of a police administration building located generally at 1200 National City Boulevard in the City of National City (the "Facilities"), the City has previously leased the real property constituting the site thereof, as such real property is described more fully in Appendix A attached hereto and by this reference incorporated herein (the "Site"), from the Authority under a Lease Agreement dated as of October 1, 1998, a Memorandum of Lease for which was recorded in the Office of the San Diego County Recorder on October, 26 1998, as Document No. 1998- 0690922 (the "1998 Lease Agreement"). 13137461.2 A-1 2. Interests in the City's lease payments under the 1998 Lease Agreement (the "1998 Lease Payments") are evidenced by 1998 Certificates of Participation (Police Administration Building Project) which have been executed and delivered in the aggregate principal amount of $6,255,000 of which $3,280,000 is currently outstanding (the "1998 Certificates"), the proceeds of which were applied to refinance the construction of the Facilities. 3. The City has caused to be deposited with the 1998 Trustee, under Irrevocable Refunding Instructions dated as of the date hereof (the "Refunding Instructions"), an amount of funds which is sufficient to redeem the 1998 Certificates and prepay the 1998 Lease Payments in full, without regard to investment earnings thereon. 4. The deposit made with the 1998 Trustee under the Refunding Instructions constitutes a security deposit for the payment of the 1998 Lease Payments in accordance with the provisions of Section 4.9 of the 1998 Lease. 5. As a result of the deposit and investment of funds under the Refunding Instructions, the 1998 Lease have terminated and title to the real property which is subject to the 1998 Lease has vested in the Authority. 6. The City has requested the Authority and the 1998 Trustee to enter into this Agreement for the purpose of terminating of record the 1998 Lease and the related Assignment Agreement. AGREEMENT: In consideration of the foregoing and the material covenants hereinafter contained, the City and the Authority formally covenant, agree and bind themselves as follows: SECTION 1. Termination of 1998 Lease. The Authority and the City hereby terminate the 1998 Lease. From and after the date of recordation of this Agreement, the 1998 Lease shall be of no force and effect. SECTION 2. Termination of 1998 Assignment. The Authority and the 1998 Trustee hereby terminate the Assignment Agreement dated as of October 1, 1998, between the Authority as assignor and the 1998 Trustee, a Memorandum of Assignment for which was recorded on October 26, 1998, as Instrutnent Number 1998-0690923 in the Office of the San Diego County Recorder. From and after the date of recordation of this Agreement, said Assignment Agreement shall be of no force and effect. SECTION 3. Execution of Counterparts. This Agreement may be executed in any number of counterparts, each of which shall for all purposes he deemed to be an original and all of which shall together constitute but one and the same instrument. 13137461.2 2 SECTION 4. Applicable Law. This Agreement shall be governed by and construed in accordance with the laws of the State of California. IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed by their respective officers thereunto duly authorized, all as of the date first above written. NATIONAL CITY JOINT POWERS FINANCING AUTHORITY By Ron Morrison President Approved as to Form: By General Counsel Attest: Secretary CITY OF NATIONAL CITY, CALIFORNIA By Ron Morrison Mayor Approved as to Form: By City Attorney Attest: By City Clerk 13137461.2 3 APPENDIX A DESCRIPTION OF THE LEASED PROPERTY The Leased Property consists of the following described land located in the City of National City, County of San Diego, State of California, together with all buildings, facilities and other improvements which constitute real property and which are located thereon: [LEGAL DESCRIPTION OF PROPERTY] 131374612 A-1 Merif 3 NP Draft 09/16/10 TO BE RECORDED AND WHEN RECORDED RETURN TO: Nixon Peabody LLP 555 West Fifth Street 46th Floor Los Angeles, California 90013 Attention: Charles C. Wolf, Esq. THIS TRANSACTION IS EXEMPT FROM CALIFORNIA DOCUMENTARY TRANSFER TAX UNDER SECTION 11922 OF THE CALIFORNIA REVENUE AND TAXATION CODE. THIS DOCUMENT IS EXEMPT FROM RECORDING FEES UNDER SECTION 27383 OF THE CALIFORNIA GOVERNMENT CODE. LEASE AGREEMENT This LEASE AGREEMENT (this "Lease"), dated as of September 1, 2010, is between the NATIONAL CITY JOINT POWERS FINANCING AUTHORPTY, a joint powers authority duly organized and existing under the Joint Powers Agreement, dated as of April 16, 1991 by and between the City of National City and the Community Development Commission of the City of National City, and the laws of the State of California (the "Authority"), as lessor, and the City of NATIONAL CITY, a city and municipal corporation duly organized and existing under the Constitution and laws of the State of California (the "City"), as lessee. BACKGROUND: 1. In order to refinance the construction of a police administration building located generally at 1200 National City Boulevard in the City of National City (the "Facilities"), the Authority has previously leased the real property constituting the site thereof, as such real property is described more fully in Appendix A attached hereto and by this reference incorporated herein (the "Site") and the completed Facilities (collectively with the Site, the "Leased Property"), to the City under the Amended and Restated Lease Agreement dated as of October 1, 1998, a Memorandum of Lease for which was recorded in the Office of the San Diego County Recorder on October 26, 1998, as Document No. 1998-0690922 (the "1998 Lease Agreement"). 131371503 2. interests in the City's lease payments under the 1998 Lease Agreement (the "1998 Lease Payments") are evidenced by 1998 Certificates of Participation (Police Administration Building Project) which were executed and delivered in the aggregate principal amount of $6,255,000 of which $3,280,000 is currently outstanding (the "1998 Certificates"), the proceeds of which were applied to refinance the construction of the Facilities. 3. The City has determined to refinance the 1998 Lease Payments and prepay the 1998 Certificates, and in order to raise funds for that purpose the City and the Authority have terminated the 1998 Lease Agreement and have entered into this Lease, in consideration of the deposit of funds in an amount required to prepay the 1998 Certificates and the 1998 Lease Payments in full. 4. In order to raise the funds needed for that purpose, the Authority has assigned certain of its rights under this Lease, including the right receive and enforce payment of the lease payments that are payable by the City hereunder, to Bank of America, N.A., under an Assignment Agreement dated as of September 1, 2010, which has been recorded concurrently herewith (the "Assignment Agreement"). 5. The City is authorized to enter into a lease arrangement with the Authority under its municipal affairs powers as a general law city. AGREEMENT: In consideration of the foregoing and the material covenants hereinafter contained, the City and the Authority formally covenant, agree and bind themselves as follows: ARTICLE I DEFINITIONS; RULES OF INTERPRETATION SECTION 1.1. Definitions. All terms defined in this Section 1.1 have the meanings herein specified for all purposes of this Lease. "Applicable Environmental Laws" means and shall include, but shall not be limited to, the Comprehensive Environmental Response, Compensation, and Liability Act ("CERCLA"), 42 USC Sections 9601 et seq,; the Resource Conservation and Recovery Act ("RCRA"), 42 USC Sections 6901 et seq,; the California Hazardous Waste Control Law ("HWCL"), California Health & Safety Code Sections 25100 et seq,; the Hazardous Substance Account Act ("HSAA"), California Health & Safety Code sections 25300 et seq,; the Porter -Cologne Water Quality Control Act (the "Porter -Cologne Act"), California Water Code Sections 1300 et seq,; the Air Resources Act, California Health & Safety Code Sections 3900 et seq,; the Safe Drinking Water & Toxic Enforcement Act, 13137150.3 -2- California Health & Safety Code Sections 25249.5 et seq,; and the regulations under each thereof; and any other local, state, and/or federal laws or regulations, whether currently in existence or hereafter enacted, that govern: (a) the existence, cleanup, and/or remedy of contamination on property; (b) the protection of the environment from spilled, deposited, or otherwise emplaced contamination; (c) the control of hazardous wastes; or (d) the use, generation, transport, treatment, removal, or recovery of Hazardous Substances, including building materials. "Assignee" means Bank of America, N.A., as assignee of certain rights of the Authority hereunder, its successors and assigns. "Assignment Agreement" means the Assignment Agreement dated as of September 1, 2010, between the Authority as assignor and the Assignee as assignee, as originally executed or as thereafter amended under any duly authorized and executed amendments thereto. "Authority" means National City Joint Powers Financing Authority, a joint powers agency duly organized and existing under the Joint Powers Agreement, dated as of April16, 1991 by and between the City and the Community Development Commission of the City of National City, and the laws of the State of California. "Bond Counsel" means any attorney or firm of attorneys of nationally recognized expertise with respect to legal matters relating to obligations the interest on which is excludable from gross income under Section 103 of the Tax Code. "Business Day" means a day other than a Saturday, Sunday or legal holiday, on which banking institutions are not closed in the State of California. "City" means the City of National City, a general law city and municipal corporation organized and existing under the Constitution and laws of the State of California. "Closing Date" means the date of execution and delivery of this Lease by the parties hereto, being September 28, 2010. "Event of Default" means any of the events of default as defined in Section 8.1. "Facilities" means all buildings and other improvements at any time situated on the Site. 1313715(13 -3- "Federal Securities" means any direct general non -callable obligations of the United States of America (including obligations issued or held in book entry form on the books of the Department of the Treasury of the United States of America), or obligations the timely payment of principal of and interest on which are directly guaranteed by the United States of America. "Fiscal Year" means each twelve-month period during the Term of this Lease commencing on July 1 in any calendar year and ending on June 30 in the next succeeding calendar year, or any other twelve-month period selected by the City as its fiscal year period. "Hazardous Substance" any substance that shall, at any time, be listed as "hazardous" or "toxic" in any Applicable Environmental Law or that has been or shall be determined at any time by any agency or court to be a hazardous or toxic substance regulated under Applicable Environmental Laws; and also means, without limitation, raw materials, building components, the products of any manufacturing, or other activities on the facilities, wastes, petroleum, and source, special nuclear, or by-product material as defined by the Atomic Energy Act of 1954, as amended (42 USC Sections 3011 et seq.). "Lease" means this Lease Agreement dated as of September 1, 2010, between the Authority and the City, as originally executed or as thereafter amended under any duly authorized and executed amendments hereto. "Lease Payment" means all payments required to be paid by the City under Section 4.5, including any prepayment thereof under Sections 9.2 or 9.3. "Lease Payment Date" means April 1 and October 1 in each year, commencing April 1, 2011, and continuing to and including the date on which the Lcasc Payments are paid in full. "Leased Property" means, collectively, the Site and the Facilities. "Net Proceeds" means amounts derived from any policy of casualty insurance or title insurance with respect to the Leased Property, or the proceeds of any taking of the Leased Property or any portion thereof in eminent domain proceedings (including sale under threat of such proceedings), to the extent remaining after payment therefrom of all expenses incurred in the collection and administration thereof. "1998 Certificates" means the 1998 Certificates of Participation (Police Administration Building Project) executed and delivered in the aggregate principal amount of $6,255,000, of which $3,280,000 is currently' outstanding, under the Trust Agreement dated as of October 1, 1998, among the City, the Authority and the 1998 Trustee. "1998 Lcasc Agreement" means the Amended and Restated Lease Agreement dated as of October 1, 1998, between the Authority as lessor and the City as lessee. 131371503 -4- "1998 Lease Payments" means the lease payments which are payable by the City under Section 4.4 of the 1998 Lease Agreement, including prepayments thereof under Section 4.8 of the 1998 Lease Agreement. "1998 Trustee" means Union Bank, N.A., as trustee for the 1998 Certificates. "Permitted Encumbrances" means, as of any time: (a) liens for general ad valorem taxes and assessments, if any, not then delinquent, or which the City may permit to remain unpaid under Article VI of this Lease; (b) this Lease and the Assignment Agreement; (c) any right or claim of any mechanic, laborer, materialman, supplier or vendor not filed or perfected in the manner prescribed by law; (d) the exceptions disclosed in the title insurance policy issued by Stewart Title Company with respect to the Leased Property issued as of the Closing Date; and (e) any easements, rights of way, mineral rights, drilling rights and other rights, reservations, covenants, conditions or restrictions which exist of record and which the City certifies in writing will not materially impair the use of the Leased Property for its intended purposes. "Refunding Instructions" means the Irrevocable Refunding Instructions dated as of the Closing Date, given by the City to the 1998 Trustee, relating to the payment and prepayment of the 1998 Certificates and 1998 Lease Payments. "Rental Period" means each period during the Term of the Lease commencing on and including October 2 in each year and extending to and including the next succeeding October 1. The first Rental Period begins on the Closing Date and ends on October 1, 2011. "Site" means the real property which is more particularly described in Appendix A. From and after the date of any substitution of property under Section 4.7 or release of property under Section 4.8, the term "Site" means the real property which remains subject to this Lease following such substitution or release. "Tax Code" means the Internal Revenue Code of 1986 as in effect on the Closing Date or (except as otherwise referenced herein) as it may be amended to apply to obligations issued on the Closing Date, together with applicable proposed, temporary and final regulations promulgated, and applicable official public guidance published, under the Tax Code. "Tenn of this Lease" or "Term" means the time during which this Lease is in effect, as provided in Section 4.3. SECTION 1.2. Interpretation. (a) Unless the context otherwise indicates, words expressed in the singular include the plural and vice versa and the use of the neuter, masculine, or feminine gender 111371503 -5- is for convenience only and include the neuter, masculine or feminine gender, as appropriate. (b) Headings of articles and sections herein and the table of contents hereof are solely for convenience of reference, do not constitute a part hereof and do not affect the meaning, construction or effect hereof. (c) All references herein to "Articles," "Sections" and other subdivisions are to the corresponding Articles, Sections or subdivisions of this Lease; the words "herein," "hereof," "hereby," "hereunder" and other words of similar import refer to this Lease as a whole and not to any particular Article, Section or subdivision hereof. ARTICLE II COVENANTS, REPRESENTATIONS AND WARRANTIES SECTION 2.1. Covenants, Representations and Warranties of the City. The City makes the following covenants, representations and warranties to the Authority as of the date of the execution and delivery of this Lease: (a) Due Organization and Existence. The City is a general law city and municipal corporation duly organized and validly existing under the Constitution and laws of the State of California, has full legal right, power and authority under the laws of the State of California to enter into this Lease and to carry out and consummate all transactions contemplated hereby, and by proper action the City has duly authorized the execution and delivery of this Lease. (b) Due Execution. The representatives of the City executing this Lease have been fully authorized to execute the same under a resolution duly adopted by the City Council of the City. (c) Valid, Binding and Enlbrceable Obligations. This Lease has been duly authorized, executed and delivered by the City and constitutes the legal, valid and binding agreement of the City enforceable against the City in accordance with its terms. (d) No Conflicts. The execution and delivery of this Lease, the consummation of the transactions herein contemplated and the fulfillment of or compliance with the terms and conditions hereof, do not and will not conflict with or constitute a violation or breach of or default (with due notice or the passage of time or both) under any applicable law or administrative rule or regulation, or any applicable court or administrative decree or order, or any indenture, mortgage, deed of trust, lease, contract or other agreement or 13137150.3 -6- instrument to which the City is a party or by which it or its properties are otherwise subject or bound, or result in the creation or imposition of any prohibited lien, charge or encumbrance of any nature whatsoever upon any of the property or assets of the City, which conflict, violation, breach, default, lien, charge or encumbrance would have consequences that would materially and adversely affect the consummation of the transactions contemplated by this Lease or the financial condition, assets, properties or operations of the City. (e) Consents and Approvals. No consent or approval of any trustee or holder of any indebtedness of the City or of the voters of the City, and no consent, permission, authorization, order or license of, or filing or registration with, any governmental authority is necessary in connection with the execution and delivery of this Lease, or the consummation of any transaction herein contemplated, except as have been obtained or made and as are in full force and effect. (f) No Litigation. There is no action, suit, proceeding, inquiry or investigation before or by any court or federal, state. municipal or other governmental authority pending or, to the knowledge of the City after reasonable investigation, threatened against or affecting the City or the assets, properties or operations of the City which, if determined adversely to the City or its interests, would have a material and adverse effect upon the consummation of the transactions contemplated by or the validity of this Lease or upon the financial condition, assets, properties or operations of the City, and the City is not in default with respect to any order or decree of any court or any order, regulation or demand of any federal, state, municipal or other governmental authority, which default might have consequences that would materially and adversely affect the consummation of the transactions contemplated by this Lease, or the financial condition, assets, properties or operations of the City. (g) Essential Purpose. The Leased Property and the financing pursuant to this Lease and the Assignment Agreement are essential to the City's efficient and economic operation, and are in the best interests of the City. (h) Budget. The obligations of the City under this Lease, including without limitation the obligation to make Lease Payments, are obligations payable from the City's general fund budget. (i) Available Funds. The City has funds available for the payment of Lease Payments due during the current Fiscal Year and reasonably believes that sufficient funds can be obtained to make all Lease 13137150.3 -7- Payments and payments of other amounts required to be paid hereunder. SECTION 2.2. Covenants, Representations and Warranties of the Authority. The Authority makes the following covenants, representations and warranties to the City as of the date of the execution and delivery of this Lease: (a) Due Organization and Existence. The Authority is a joint powers agency duly organized and existing under the laws of the State of California, has full legal right, power and authority to enter into this Lease and the Assignment Agreement and to carry out and consummate all transactions contemplated hereby and thereby, and by proper action the Authority has duly authorized the execution and delivery of this Lease and the Assignment Agreement. (b) Due Execution. The representatives of the Authority executing this Lease and the Assignment Agreement are fully authorized to execute the same under official action taken by the Board of Directors of the Authority. (c) Valid, Binding and Enforceable Obligations. This Lease and the Assignment Agreement have been duly authorized, executed and delivered by the Authority and constitute the legal, valid and binding agreements of the Authority, enforceable against the Authority in accordance with their respective terms. (d) No Conflicts. The execution and delivery of this Lease and the Assignment Agreement, the consummation of the transactions herein and therein contemplated and the fulfillment of or compliance with the terms and conditions hereof and thereof, do not and will not conflict with or constitute a violation or breach of or default (with due notice or the passage of time or both) under any applicable law or administrative rule or regulation, or any applicable court or administrative decree or order, or any indenture, mortgage, deed of trust, lease, contract or other agreement or instrument to which the Authority is a party or by which it or its properties are otherwise subject or bound, or result in the creation or imposition of any prohibited lien. charge or encumbrance of any nature whatsoever upon any of the property or assets of the Authority, which conflict, violation, breach, default, lien, charge or encumbrance would have consequences that would materially and adversely affect the consummation of the transactions contemplated by this Lease and the Assignment Agreement or the financial condition, assets, properties or operations of the Authority. 13137150.3 -8- (e) Consents and Approvals. No consent or approval of any trustee or holder of any indebtedness of the Authority, and no consent, permission, authorization, order or license of, or tiling or registration with, any governmental authority is necessary in connection with the execution and delivery of this Lease or the Assignment Agreement, or the consummation of any transaction herein or therein contemplated, except as have been obtained or made and as are in full force and effect. (f) No Litigation. There is no action, suit, proceeding, inquiry or investigation before or by any court or federal, state, municipal or other governmental authority pending or, to the knowledge of the Authority after reasonable investigation, threatened against or affecting the Authority or the assets, properties or operations of the Authority which, if determined adversely to the Authority or its interests. would have a material and adverse effect upon the consummation of the transactions contemplated by or the validity of this Lease or the Assignment Agreement, or upon the financial condition, assets, properties or operations of the Authority, and the Authority is not in default with respect to any order or decree of any court or any order, regulation or demand of any federal, state, municipal or other governmental authority, which default might have consequences that would materially and adversely affect the consummation of the transactions contemplated by this Lease or the Assignment Agreement or the financial condition, assets, properties or operations of the Authority. ARTICLE III DEPOSIT AND APPLICATION OF FUNDS SECTION 3.1. Deposit of and Application of Funds. On the Closing Date, the Authority shall cause the amount of $[ ] to be deposited with the 1998 Trustee to be held and administered under the Refunding Instructions (together with other available funds) for the purpose of paying and prepaying the 1998 Certificates and the 1998 Lease Payments. Such amount shall be derived from amounts paid by the Assignee under the Assignment Agreement. In addition, a portion of the amounts paid by the Assignee under the Assignment Agreement shall be paid by the Assignee to Union Bank, N.A., as custodian, for the purpose of paying financing costs of the transaction in the amount of $[ ], in accordance with the Assignment Agreement. SECTION 3.2. Refunding of 1998 Obligations. The City shall cause the amount deposited with the 1998 Trustee under Section 3.1, together with other amounts held by the 1998 Trustee with respect to the 1998 Certificates, to be applied to pay and prepay the 1998 Certificates and the 1998 Lease Payments in accordance with the Refunding 131371503 -9- Instructions. As a result of such payment and prepayment of the 1998 Certificates and the 1998 Lease Payments, the City covenants that the 1998 Certificates and the 1998 Lease Agreement have been discharged on the Closing Date. SECTION 3.3. Termination of 1998 Lease Agreement. As a result of the payment and prepayment of the 1998 Certificates and the 1998 Lease Payments, the 1998 Lease Agreement has been discharged and terminated in accordance with its terms. On the Closing Date, the City and the Authority shall enter into an agreement which terminates the 1998 Lease Agreement, and shall cause an executed copy of said agreement to be recorded in the office of the San Diego County Recorder. ARTICLE IV LEASE OF LEASED PROPERTY; LEASE PAYMENTS SECTION 4.1. Lease of Leased Property by Authority to City . The Authority hereby covenants that it has fee simple merchantable title to the Leased Property, free and clear of all recorded liens, encumbrances, easements, public rights -of -way, assessments, leases, taxes and any or all other interests, excepting only Permitted Encumbrances. For and in consideration of the application by the Authority of funds in accordance with Section 3.1, the Authority leases the Leased Property to the City pursuant to this Lease upon the terms and provisions hereof. SECTION 4.2. [Reserved]. SECTION 4.3. Term. The Term of this Lease commences on the Closing Date and ends on the date on which all of the Lease Payments have been paid in full. SECTION 4.4. Lease Payments. (a) Obligation to Pay. Subject to the provisions of Section 6.3 and the provisions of Article IX, the City agrees to pay to the Authority, its successors and assigns, the Lease Payments (denominated into components of principal and interest) in the respective amounts specified in Appendix B attached hereto (including any supplements thereto) and by this reference incorporated herein, to be due and payable in immediately available funds on each of the respective Lease Payment Dates specified in Appendix B. The Lease Payments payable in any Rental Period with respect to the Leased Property shall be for the use of the Leased Property during such Rental Period. The interest components of the Lease Payments have been calculated based on an interest rate of 3.65% per annum, on the basis of a 360-day year of twelve 30-day months. (b) Effect of Prepayment. If the City prepays all Lease Payments in full under Sections 9.2 or 9.3, the City's obligations under this Section will thereupon cease and terminate. If the City prepays the Lease Payments in part but not in whole under Section 13137190.3 -10- 9.3, the principal components of the remaining Lease Payments will be reduced in inverse order of maturity; and the interest component of each remaining Lease Payment will be reduced on a pro rata basis. (c) Rate on Overdue Payments. If the City fails to make any of the payments required in this Section 4.4, the payment in default will continue as an obligation of the City until the amount in default has been fully paid, and the City agrees to pay the same with interest thereon, from the date of default to the date of payment at the rate of 8% per annum. (d) Fair Rental Value. The Lease Payments coming due and payable during each Rental Period constitute the total rental for the Leased Property for such Rental Period, and will be paid by the City in each Rental Period for and in consideration of the right of the use and occupancy of, and the continued quiet use and enjoyment of the Leased Property during each Rental Period. The parties hereto have agreed and determined that the total Lease Payments represent the fair rental value of the Leased Property. In making this determination, consideration has been given to the estimated fair market value of the Leased Property, the costs of financing the deposit required to be made under Section 3.1, other obligations of the City and the Authority under this Lease, the uses and purposes which may be served by the Leased Property and the benefits therefrom which will accrue to the City and the general public. (e) Source of Payments; Budget and Appropriation. The Lease Payments are payable from any source of legally available funds of the City, subject to the provisions of Sections 6.3 and 9.1. The City covenants to take such action as may be necessary to include all Lease Payments in each of its annual budgets during the Term of this Lease and to make the necessary annual appropriations for all such Lease Payments. The covenants on the part of the City herein contained constitute duties imposed by law and it is the duty of each and every public official of the City to take such action and do such things as are required by law in the performance of the official duty of such officials to enable the City to carry out and perform the covenants and agreements in this Lease agreed to be carried out and performed by the City. (1) Assignment. The City understands and agrees that all Lease Payments have been assigned by the Authority to the Assignee under the Assignment Agreement, and the City hereby assents to such assignment. The Authority hereby directs the City, and the City hereby agrees, to pay to the Assignee all payments payable by the City under this Section 4.4 and all amounts payable by the City under Article IX. SECTION 4.5. Quiet Enjoyment. Throughout the Term of this Lease, the Authority will provide the City with quiet use and enjoyment of the Leased Property and the City will peaceably and quietly have and hold and enjoy the Leased Property, without suit, trouble or hindrance from the Authority, except as expressly set forth in this Lease. The Authority will, at the request of the City and at the City's cost, join in any legal action in which the City asserts its right to such possession and enjoyment to the extent 131371503 -11- the Authority may lawfully do so. Notwithstanding the foregoing, the Authority has the right to inspect the Leased Property as provided in Section 7.2. SECTION 4.6. Title. At all times during the Term of this Lease, the Authority shall hold title to the Leased Property, including all additions which comprise fixtures, repairs, replacements or modifications thereto, subject to Permitted Encumbrances and subject to the provisions of Section 7.2. Upon the termination of this Lease (other than under Section 8.2(1)) hereof), all right, title and interest of the Authority in and to the Leased Property shall be transferred to and vested in the City. Upon the payment in full of all Lease Payments allocable to the Leased Property, or upon the deposit by the City of security for such Lease Payments as provided in Section 9.1, all right, title and interest of the Authority in and to the Leased Property shall be transferred to and vested in the City. The Authority agrees to take any and all steps and execute and record any and all documents reasonably required by the City to consummate any such transfer of title. SECTION 4.7. Substitution of Property. With the prior written consent of the Assignee, the City may substitute other land, facilities, improvements, equipment or other property (the "Substitute Property") for the Leased Property or any portion thereof (the "Former Property"), provided that the City has satisfied all of the following requirements which are hereby declared to be conditions precedent to such substitution: (a) No Event of Default has occurred and is continuing. (b) The City has filed with the Authority and the Assignee, and caused to be recorded in the Office of the San Diego County Recorder sufficient memorialization of, an amended Appendix A to this Lease which adds thereto a description of such Substitute Property and deletes therefrom the description of such Former Property. (c) The City has obtained a CLTA policy of title insurance insuring the City's leasehold estate hereunder in the Substitute Property, in an amount at least equal to the aggregate unpaid principal components of the Lease Payments and naming the Assignee as an additional insured. (d) The City has certified in writing to the Authority and the Assignee that such Substitute Property serves the municipal purposes of the City and constitutes property which the City is permitted to lease under the laws of the State of California. (e) The Substitute Property does not cause the City to violate any of its covenants, representations and warranties made herein. 131171501 -12- (f) The City has certified in writing to the Authority and the Assignee that the estimated value and the estimated fair rental value of the Substitute Property are at least equal to the estimated value and the estimated fair rental value. respectively, of the Former Property, and that the useful life of the Substitute Property extends to October 1, 2017. (g) The City has delivered to the Authority and the Assignee an Opinion of Bond Counsel to the effect that such substitution of Leased Property will not, in an of itself, cause the interest portion of Lease Payments to be included in income for federal income tax purposes. If at any time the Facilities are damaged or destroyed by earthquake or other uninsured casualty for which rental interruption insurance is not available, or if the use by the City of the Leased Property is unavailable due to Applicable Environmental Laws or the presence of a Hazardous Substance and rental interruption insurance is not available, the City shall substitute property for the Facilities under this Section 4.7; provided, however, that nothing in this paragraph shall supercede the provisions of Article VI. Upon the satisfaction of all conditions precedent to any substitution under this Section 4.7, the Term of this Lease will thereupon end as to the Former Property and commence as to the Substitute Property. The Authority and the City shall execute, deliver and cause to be recorded all documents required to discharge this Lease and the Assignment Agreement of record against the Former Property. SECTION 4.8. Release of Property. With the prior written consent of the Assignee, the City may release any portion of the Leased Property from this Lease (the "Released Property") provided that the City has satisfied all of the following requirements which are hereby declared to be conditions precedent to such release: (a) No Event of Default has occurred and is continuing. (b) The City has filed with the Authority and the Assignee, and caused to be recorded in the Office of the San Diego County Recorder sufficient memorialization of, an amendment hereof which removes the Released Property from this Lease. (c) The City has certified in writing to the Authority and the Assignee that the value of the property which remains subject to this Lease following such release is at least equal to the aggregate unpaid principal components of the Lease Payments, and the fair rental value of the property which remains subject to this Lease following such release is at least equal to the Lease Payments thereafter coming due and payable hereunder. 13137150.3 -13- (d) The City has delivered to the Authority and the Assignee an Opinion of Bond Counsel to the effect that such release of Leased Property will not, in an of itself, cause the interest portion of Lease Payments to be included in income for federal income tax purposes. Upon the satisfaction of all such conditions precedent, the Term of this Lease will thereupon end as to the Released Property. The City is not entitled to any reduction, diminution, extension or other modification of the Lease Payments whatsoever as a result of such release. The Authority and the City shall execute, deliver and cause to be recorded all documents required to discharge this Lease and the Assignment Agreement of record against the Released Property. ARTICLE V MAINTENANCE; TAXES; INSURANCE; AND OTHER MATTERS SECTION 5.1. Maintenance, Utilities, Taxes and Assessments. Throughout the Term of this Lease, as part of the consideration for the rental of the Leased Property, all improvement, repair and maintenance of the Leased Property are the sole responsibility of the City, and the City will pay for or otherwise arrange for the payment of all utility services supplied to the Leased Property, which may include, without limitation, janitor service, security, power, gas, telephone, light, heating, water and all other utility services, and shall pay for or otherwise arrange for the payment of the cost of the repair and replacement of the Leased Property resulting from ordinary wear and tear or want of care on the part of the City or any assignee or sublessee thereof. In exchange for the Lease Payments herein provided, the Authority agrees to provide only the Leased Property, as hereinbefore more specifically set forth. The City waives the benefits of subsections 1 and 2 of Section 1932, Section 1933(4) and Sections 1941 and 1942 of the California Civil Code, but such waiver does not limit any of the rights of the City under the terms of this Lease. The City will pay or cause to be paid all taxes and assessments of any type or nature, if any, charged to the Authority or the City affecting the Leased Property or the respective interests or estates therein; provided that with respect to special assessments or other governmental charges that may lawfully be paid in installments over a period of years, the City is obligated to pay only such installments as are required to be paid during the Term of this Lease as and when the same become due. The City may, at the City's expense and in its name, in good faith contest any such taxes, assessments, utility and other charges and, in the event of any such contest, may permit the taxes, assessments or other charges so contested to remain unpaid during the period of such contest and any appeal therefrom unless the Authority shall notify the City that, in its reasonable opinion, by nonpayment of any such items the interest of the Authority in the Leased Property will be materially endangered or the Leased Property or 13117150,3 -14- any part thereof will be subject to loss or forfeiture, in which event the City will promptly pay such taxes, assessments or charges or provide the Authority with full security against any loss which may result from nonpayment, in form satisfactory to the Authority. SECTION 5.2. Modification of Leased Property. The City has the right, at its own expense, to make additions, modifications and improvements to the Leased Property or any portion thereof. All additions, modifications and improvements to the Leased Property will thereafter comprise part of the Leased Property and become subject to the provisions of this Lease. Such additions, modifications and improvements may not in any way damage the Leased Property, or cause the Leased Property to be used for purposes other than those authorized under the provisions of state and federal law; and the Leased Property, upon completion of any additions, modifications and improvements made thereto under this Section, must be of a value which is not substantially less than the value thereof immediately prior to the making of such additions, modifications and improvements. SECTION 5.3. Public Liability Insurance. The City shall maintain or cause to be maintained throughout the Term of this Lease a standard comprehensive general insurance policy or policies in protection of the City, the Authority and their respective members, officers, agents, employees and assigns. Said policy or policies shall provide for indemnification of said parties against direct or contingent loss or liability for damages for bodily and personal injury, death or property damage occasioned by reason of the operation of the Leased Property. Such policy or policies must provide coverage of at least $1,000,000 and may be subject to such deductibles as the City deems adequate and prudent. Such insurance may be maintained as part of or in conjunction with any other insurance coverage carried by the City, and may be maintained in whole or in part in the form of the participation by the City in a joint powers authority or other program providing pooled insurance. The City will apply the proceeds of such liability insurance toward extinguishment or satisfaction of the liability with respect to which such proceeds have been paid. SECTION 5.4. Casualty Insurance; Flood Coverage. (a) Requirement to Maintain Casualty Insurance. The City will procure and maintain, or cause to be procured and maintained, throughout the Term of this Lease, casualty insurance against loss or damage to the Facilities by fire and lightning, with extended coverage insurance, vandalism and malicious mischief insurance and sprinkler system leakage insurance. Said extended coverage insurance shall, as nearly as practicable, cover loss or damage by explosion, windstorm, riot, aircraft, vehicle damage, smoke and such other hazards as are normally covered by such insurance. Such insurance shall be in an amount at least equal to the lesser of (i) the replacement value of the insured Facilities, or (ii) the aggregate unpaid principal components of the Lease Payments, and may be subject to such deductibles as the City deems adequate and prudent. Such insurance may be maintained as part of or in conjunction with any other insurance coverage carried by the City, and may be maintained in whole or in part in the form of the participation by the City in a joint powers authority or other program 13137150.3 -15- providing pooled insurance. The City will apply the Net Proceeds of such insurance as provided in Article VI. (b) Flood Insurance. So long as the Leased Property is located in a 100-ycar flood area as shown on a Flood Insurance Rate Map published by the Federal Emergency Management Agency, the policy or policies of casualty insurance provided under this Section 5.4 shall include insurance against loss or damage to the Facilities due to flooding. If the City obtains an exception or waiver to the designation of the Facilities as being within a 100-ycar flood area from the Federal Emergency Management Agency, the City shall not be required to provide flood insurance as set forth in this subsection (b). (c) Federal or State Disaster Aid. Should the Facilities be damaged or destroyed as a result of an event for which federal or State of California disaster aid is available, the Authority and/or the City shall promptly apply for disaster aid. Any disaster aid proceeds received shall be used to repair, reconstruct, restore or replace the damaged or destroyed portions of the Facilities, or, at the option of the City and the Authority, to prepay the Lease Payments if permitted under the disaster aid program. (d) Self -Insurance. As an alternative to providing the insurance required by this Section, the City may provide a self-insurance method or plan of protection if and to the extent such self-insurance method or plan of protection affords reasonable coverage for the risks required to be insured against, in light of all circumstances, giving consideration to cost, availability and similar plans or methods of protection adopted by public entities in the State of California other than the City. Before such other method or plan may be provided by the City, and annually thereafter so long as such method or plan is being provided to satisfy the requirements of this Lease, there shall be filed with the Authority a certificate of an actuary, insurance consultant or other qualified person (who may be an employee of the City), stating that, in the opinion of the signer, the substitute method or plan of protection is in accordance with the requirements of this Section and, when effective, would afford reasonable coverage for the risks required to be insured against. There shall also be filed a certificate of the City setting forth the details of such substitute method or plan. In the event of loss covered by any such self-insurance method, the liability of the City hereunder shall be limited to the amounts in the self-insurance reserve fund or funds created under such method. SECTION 5.5. Rental Interruption Insurance. The City will procure and maintain, or cause to be procured and maintained, throughout the Term of this Lease, rental interruption or use and occupancy insurance to cover loss, total or partial, of the use of the Leased Property and the improvements situatcd thereon as a result of any of the hazards covered in the insurance required by Section 5.4, in an amount at least equal to the maximum Lease Payments corning due and payable during any future 24-month period. Such insurance may be maintained as part of or in conjunction with any other insurance coverage carried by the City, and may be maintained in whole or in part in the form of the participation by the City in a joint powers authority or other program providing pooled insurance. Such rental interruption or use and occupancy insurance shall not be self insured and the City acknowledges that this requirement may limit their 13137150.3 -16- ability to self -insure under Section 5.4. The City will apply the Net Proceeds of such insurance towards the payment of the Lease Payments allocable to the insured improvements as the same become due and payable. SECTION 5.6. Worker's Compensation Insurance. If required by applicable California law, the City shall carry worker's compensation insurance covering all employees on. in, near or about the Leased Property and, upon request, shall furnish to the Authority certificates evidencing such coverage throughout the Term of this Lease. SECTION 5.7. Recordation Hereof; Title Insurance. On or before the Closing Date, the City shall, at its expense, (a) cause the Assignment Agreement and this Lease, or a memorandum hereof or thereof in form and substance approved by Bond Counsel, to be recorded in the office of the San Diego County Recorder with respect to the Leased Property, and (b) obtain a CLTA title insurance policy insuring the Assignee's interests in the estate established hereunder in the Leased Property, subject only to Permitted Encumbrances, in an amount equal to the original principal components of the Lease Payments. The City will apply the Net Proceeds received under such title insurance policy to prepay the remaining Lease Payments under Section 9.3. SECTION 5.8. Form of Policies. All insurance policies (or riders) required by this Article V shall be taken out and maintained with responsible insurance companies organized under the laws of one of the states of the United States and qualified to do business in the State of California, and shall contain a provision that the insurer shall not cancel or revise coverage thereunder without giving written notice to the insured parties at least ten days before the cancellation or revision becomes effective. Each insurance policy or rider required by Sections 5.3, 5.4 and 5.5 shall name the City and the Assignee as insured parties and the Assignee as loss payee and shall include a lender's loss payable endorsement for the benefit of the Assignee. Prior to the Closing Date, the City will deposit with the Assignee policies (and riders and endorsements, if applicable) evidencing any such insurance procured by it, or a certificate or certificates of the respective insurers stating that such insurance is in full force and effect. Before the expiration of any such policy (or rider), the City will furnish to the Assignee evidence that the policy has been renewed or replaced by another policy conforming to the provisions of this Article V unless such insurance is no longer obtainable, in which event the City shall notify the Assignee of such fact. SECTION 5.9. Installation of City's Personal Property. The City may at any time and from time to time, in its sole discretion and at its own expense, install or pennit to be installed other items of equipment or other personal property in or upon the Leased Property. All such items shall remain the sole property of the City, in which the Authority has no interest, and may be modified or removed by the City at any time. The City must repair and restore any and all damage to the Leased Property resulting from the installation, modification or removal of any such items. Nothing in this Lease prevents the City from purchasing or leasing items to be installed under this Section under a lease or conditional sale agreement, or subject to a vendor's lien or security agreement, as 13137150,3 -17- security for the unpaid portion of the purchase price thereof, provided that no such lien or security interest may attach to any part of the Leased Property. SECTION 5.10. Liens. The City will not, directly or indirectly, create, incur, assume or suffer to exist any mortgage, pledge, lien, charge, encumbrance or claim on or with respect to the Leased Property, other than as herein contemplated and except for such encumbrances as the City certifies in writing to the Authority do not materially and adversely affect the leasehold estate in the Leased Property hereunder and for which the Assignee approves in writing, which approval may not be unreasonably withheld. Except as expressly provided in this Article V, the City will promptly, at its own expense, take such action as may be necessary to duly discharge or remove any such mortgage, pledge, lien, charge, encumbrance or claim, for which it is responsible, if the same shall arise at any time. The City will reimburse the Authority for any expense incurred by it in order to discharge or remove any such mortgage, pledge, lien, charge, encumbrance or claim. SECTION 5.11. Advances. If the City fails to perform any of its obligations under this Article V, the Authority may take such action as may be necessary to cure such failure, including the advancement of money, and the City shall be obligated to repay all such advances as additional rental hereunder, with interest at the rate set forth in Section 4.4(c). ARTICLE VI DAMAGE, DESTRUCTION AND EMINENT DOMAIN; USE OF PROCEEDS; ABATEMENT OF LEASE PAYMENTS SECTION 6.1. Deposit of Net Proceeds. The Net Proceeds of any taking of the Leased Property or any portion thereof in eminent domain proceedings, and the Net Proceeds of any policy of insurance maintained under Section 5.4, shall be paid to the City or the Authority to be applied as hereinafter set forth in Section 6.2. SECTION 6.2. Application of Net Proceeds. If the Leased Property is taken in eminent domain proceedings at any time during the Term of this Lease, or if the I,eased Property is damaged due to an insured casualty which is covered by a policy of insurance maintained under Section 5.4, the City shall as soon as practicable after such event, with the prior written consent of the Assignee, apply the Net Proceeds resulting therefrom either to: (a) repair the Leased Property to full use; (b) replace the Leased Property, at the City's sole cost and expense, with property of equal or greater value to the Leased Property immediately prior to the time of the such destruction or damage, 13137150.3 _ 18- such replacement Leased Property to be subject to the Assignee's reasonable approval, whereupon such replacement shall be substituted in this Lease by appropriate endorsement; (c) substitute additional property as provided in Section 4.7; or (d) prepay the Lease Payments in accordance with Section 9.3. The City will notify the Authority and the Assignee of which course of action it has elected to take within 30 days after the occurrence of such eminent domain proceedings or such destruction or damage. The Authority may (but is not required to) in its own name or in the City's name execute and deliver proofs of claim, receive all such moneys, endorse checks and other instruments representing payment of such moneys, and adjust, litigate, compromise or release any claim against the issuer of any such policy, and the City hereby grants to the Authority a power of attorney coupled with an interest to accomplish all or any of the foregoing. SECTION 6.3. Abatement Due to Damage or Destruction. The Lease Payments are subject to abatement during any period in which by reason of damage or destruction (other than by eminent domain which is hereinbefore provided for) there is substantial interference with the use and occupancy by the City of the Leased Property or any portion thereof. The Lease Payments are subject to abatement in an amount determined by the City such that the resulting Lease Payments represent fair consideration for the use and occupancy of the remaining usable portions of the Leased Property not damaged or destroyed. Such abatement will continue for the period commencing with such damage or destruction and ending with the substantial completion of the work of repair or reconstruction. In the event of any such damage or destruction, this Lease will continue in full force and effect and the City waives any right to terminate this Lease by virtue of any such damage and destruction. Notwithstanding the foregoing, the Lease Payments are not subject to abatement to the extent that rental interruption insurance proceeds are available to pay Lease Payments which would otherwise be abated under this Section 6.3, it being hereby declared that such amounts constitute special funds for the payment of the Lease Payments. ARTICLE VII OTHER COVENANTS OF THE CITY SECTION 7.1. Disclaimer of Warranties. THE AUTHORITY MAKES NO AGREEMENT, WARRANTY OR REPRESENTATION, EITHER EXPRESS OR IMPLIED, AS TO THE VALUE, DESIGN, CONDITION, MERCHANTABILITY OR FITNESS FOR ANY PARTICULAR PURPOSE OR FITNESS FOR THE USE CONTEMPLATED BY TIIE CITY OF THE LEASED PROPERTY OR ANY PORTION THEREOF, OR ANY OTHER REPRESENTATION OR WARRANTY WITH RESPECT TO THE LEASED PROPERTY OR ANY PORTION THEREOF. 13137150.3 -19- THE CITY ACKNOWLEDGES THAT THE AUTHORITY IS NOT A MANUFACTURER OF ANY PORTION OF THE LEASED PROPERTY OR A DEALER THEREIN, THAT THE CITY LEASES THE LEASED PROPERTY AS -IS, IT BEING AGREED THAT ALi. OF THE AFOREMENTIONED RISKS ARE TO BE BORNE BY THE CITY. In no event is the Authority liable for incidental, indirect, special or consequential damages, in connection with or arising out of this Lease for the existence, furnishing, functioning or use of the Leased Property by the City. SECTION 7.2. Access to the Leased Property. The City agrees that the Authority, and the Authority's successors or assigns, has the right at all reasonable times, following at least 48 hours written notice provided to the City, to enter upon and to examine and inspect the Leased Property or any part thereof. The City further agrees that the Authority, and the Authority's successors or assigns, shall have such rights of access to the Leased Property or any component thereof, following at least 48 hours written notice provided to the City, as may be reasonably necessary to cause the proper maintenance of the Leased Property if the City fails to perform its obligations hereunder. Neither the Authority nor any of its assigns has any obligation to cause such proper maintenance. SECTION 7.3. Release and Indemnification Covenants. The City hereby indemnifies the Authority, the Assignee and their respective officers, agents, successors and assigns against all claims, losses and damages, including legal fees and expenses, arising out of (a) the use, maintenance, condition or management of, or from any work or thing done on the Leased Property by the City, (b) any breach or default on the part of the City in the performance of any of its obligations under this Lease, (c) any negligence or willful misconduct of the City or of any of its agents, contractors, servants, employees or licensees with respect to the Leased Property, (d) any intentional misconduct or negligence of any sublessee of the City with respect to the Leased Property, (e) the acquisition, construction, improvement and equipping of the Leased Property, (f) the use , presence, storage, disposal or clean-up of any Hazardous Substances or toxic wastes on the Leased Property, (g) the failure to comply with any Applicable Environmental Laws, or (h) any loss of the federal income tax exemption of the interest portion of Lease Payments and any interest or penalties imposed by the Internal Revenue Service on the Assignee in connection therewith, any such amount to be paid to the Assignee in a single lump sum payment upon demand of the Assignee, or the authorization of payment of the costs thereof. No indemnification is made under this Section or elsewhere in this Lease for willful misconduct or gross negligence under this Lease by the Authority, the Assignee, or their respective officers, agents, employees, successors or assigns. SECTION 7.4. Assignment by the Authority. The Authority's rights under this Lease, including the right to receive and enforce payment of the Lease Payments to be made by the City hereunder, have been assigned to the Assignee under the Assignment Agreement. The City hereby consents to such assignment. Whenever in this Lease any reference is made to the Authority and such reference concerns rights which the Authority has assigned to the Assignee, such reference shall be deemed to refer to the Assignee. 131371503 -20- The Authority and the Assignee may make additional assignments of their interests herein, but no such assignment will be effective as against the City unless and until the Authority or the Assignee has filed with the City written notice thereof. The City shall pay all Lease Payments hereunder under the written direction of the Authority or the assignee named in the most recent assignment or notice of assignment filed with the City. During the Term of this Lease, the City will keep a complete and accurate record of all such notices of assignment. SECTION 7.5. Assignment and Subleasing by the City. This Lease may not be assigned by the City. With the prior written consent of the Assignee, the City may sublease the Leased Property, or any portion thereof, subject to all of the following conditions: (a) This Lease and the obligation of the City to make Lease Payments hereunder shall remain obligations of the City. (b) The City shall, within 30 days after the delivery thereof, furnish or cause to be furnished to the Authority and the Assignee a true and complete copy of such sublease. (c) Any sublease shall be expressly subject and subordinate to this Lease. (d) No such sublease by the City may cause the Leased Property to be used for a purpose other than as may be authorized under the provisions of the laws of the State of California. (e) The City shall furnish the Authority and the Assignee with a written opinion of Bond Counsel stating that such sublease does not cause the interest components of the Lease Payments to become includable in gross income for purposes of federal income taxation or to become subject to personal income taxation by the State of California. SECTION 7.6. Amendment Hereof. This Lease may be amended with the prior written consent of the Assignee. Prior to the effective date of any such amendment, and as a condition precedent to the effectiveness thereof, the City at its expense shall obtain an opinion of Bond Counsel stating that such amendment will not adversely affect the exclusion from gross income of the interest component of the Lease Payments. SECTION 7.7. Tax Covenants. (a) Generally. The City will not take any action or permit to be taken any action within its control which would cause or which, with the passage of time if not I3137150.3 -21- cured would cause, the interest components of the Lease Payments to become includable in gross income for federal income tax purposes. (b) Private Activity Bond Limitation. The City will ensure that the proceeds of the Lease Payments are not so used as to cause the City's obligations hereunder to satisfy the private business tests of Section 141(b) of the Tax Code or the private loan financing test of Section 141(c) of the Tax Code. (c) Federal Guarantee Prohibition. The City will not take any action or permit or suffer any action to be taken if the result of the same would be to cause the Lease Payments to be "federally guaranteed" within the meaning of Section 149(b) of the Tax Code. (d) No Arbitrage. The City will not take, or permit or suffer to be taken, any action with respect to the proceeds of the Lease Payments which, if such action had been reasonably expected to have been taken, or had been deliberately and intentionally taken, on the Closing Date would have caused the Lease Payments to be "arbitrage bonds" within the meaning of Section 148(a) of the Tax Code. (e) Small Issuer Exemption from Bank Nondeductibility Restriction. The City hereby designates the Lease Payments for purposes of paragraph (3) of Section 265(b) of the Tax Codc and hereby covenants that (i) the Lease Payments do not constitute private activity bonds as defined in Section 141 of the Tax Codc, and (ii) not more than $30,000,000 aggregate principal amount of obligations the interest on which is excludable (under Section 103(a) of the Tax Code) from gross income for federal income taxes (excluding, however, private activity bonds, as defined in Section 141 of the Tax Code, other than qualified 501(c)(3) bonds as defined in Section 145 of the Tax Code), including the Lease Payments, have been or shall be issued by or on behalf of the City, including all subordinate entities of the City, during the calendar year 2010. (I) Arbitrage Rebate. The City will take any and all actions necessary to assure compliance with Section 148(f) of the Tax Code, relating to the rebate of excess investment earnings, if any, to the federal government, to the extent that such section is applicable to the Lease Payments. SECTION 7.8 Environmental Covenants. (a) Compliance with Laws; No Hazardous Substances. The City will comply with all Applicable Environmental Laws with respect to the Leased Property and will not use, store, generate, treat, transport, or dispose of any Hazardous Substance thereon or in a manner that would cause any I Iazardous Substance to later flow, migrate, leak, leach, or otherwise come to rest on or in the Leased Property. (b) Notification of Assignee. The City will transmit copies of all notices, orders, or statements received from any governmental entity concerning violations or asserted violations of Applicable Environmental Laws with respect to the Leased 13137150.3 -22- Property and any operations conducted thereon or any conditions existing thereon to the Assignee, and the City will notify the Assignee in writing immediately of any release, discharge, spill, or deposit of any I-Iazardous Substances that has occurred or is occurring that in any way affects or threatens to affect the Leased Property, or the people, structures, or other property thereon, provided that no such notifications shall create any liability or obligation on the part of the Assignee. (c) Access for Inspection. The City shall permit the Assignee, its agents, or any experts designated by the Assignee to have full access to the Leased Property during reasonable business hours for purposes of such independent investigation of compliance with all Applicable Environmental Laws, provided that the Assignee has no obligation to do so, or any liability for any failure to do so, or any liability should it do so. SECTION 7.9 Financial Statements; Budgets. Within 270 days following the end of each Fiscal Year of the City during the Term of this Lease, the City shall provide the Assignee with a copy of its audited financial statements for such Fiscal Year. Such audited financial statements shall include a balance sheet, a statement of revenues, expenses and changes in fund balances for budget and actual, a statement of cash flows, notes, schedules and any attachments to the financial statements and such other financial information as the Assignee shall reasonably request. Within ten days of its becoming publicly available during the term of this Lease, the City will provide the Assignee with a copy of its annual budget and any interim updates or modifications to such budget. ARTICLE VIII EVENTS OF DEFAULT AND REMEDIES SECTION 8.1. Events of Default Defined. Any one or more of the following events constitutes an Event of Default hereunder: (a) Failure by the City to pay any Lease Payment or other payment required to be paid hereunder at the time specified herein. (b) Failure by the City to observe and perform any covenant, condition or agreement on its part to be observed or performed hereunder, other than as referred to in the preceding clause (a) of this Section, for a period of 30 days after written notice specifying such failure and requesting that it be remedied has been given to the City by the Authority or the Assignee. However, if in the reasonable opinion of the City the failure stated in the notice can be corrected, but not within such 30-day period, the Authority and the Assignee shall not unreasonably withhold their consent to an extension of such time (for a period not to exceed 60 days) if corrective action is instituted by the City within such 30-day period and diligently pursued until the default is corrected. 13137150.3 -23- (c) The filing by the City of a voluntary petition in bankruptcy, or failure by the City promptly to lift any execution, garnishment or attachment, or adjudication of the City as a bankrupt, or assignment by the City for the benefit of creditors, or the entry by the City into an agreement of composition with creditors, or the approval by a court of competent jurisdiction of a petition applicable to the City in any proceedings instituted under the provisions of the Federal Bankruptcy Code, as amended, or under any similar acts which may hereafter be enacted. SECTION 8.2. Remedies on Default. Whenever any Event of Default has happened and is continuing, the Authority may exercise any and all remedies available under law or granted under this Lease; provided, however, that notwithstanding anything herein to the contrary, there shall be no right under any circumstances to accelerate the Lease Payments or otherwise declare any Lease Payments not then in default to be immediately due and payable. Each and every covenant hereof to be kept and performed by the City is expressly made a condition and upon the breach thereof the Authority may exercise any and all rights granted hereunder; provided, that no termination of this Lease shall be effected either by operation of law or acts of the parties hereto, except only in the manner herein expressly provided. Upon the occurrence and during the continuance of any Event of Default, the Authority may exercise any one or more of the following remedies: (a) Enforcement of Payments Without Termination. If the Authority does not elect to terminate this Lease in the manner hereinafter provided for in subparagraph (b) hereof, the City agrees to and shall remain liable for the payment of all Lease Payments and the performance of all conditions herein contained and shall reimburse the Authority for any deficiency arising out of the re -leasing of the Leased Property, or. if the Authority is unable to re -lease the Leased Property, then for the full amount of all Lease Payments to the end of the Term of this Lease, but said Lease Payments and/or deficiency shall be payable only at the same time and in the same manner as hereinabove provided for the payment of Lease Payments hereunder, notwithstanding such entry or re-entry by the Authority or any suit in unlawful detainer, or otherwise, brought by the Authority for the purpose of effecting such re-entry or obtaining possession of the Leased Property or the exercise of any other remedy by the Authority. The City hereby irrevocably appoints the Authority as the agent and attorney -in -fact of the City to enter upon and re -lease the Leased Property upon the occurrence and continuation of an Event of Default and to remove all personal property whatsoever situated upon the Leased Property, to place such property in storage or other suitable place located as close as possible to the City in the County of San Diego for the account of and at the expense of the City, and the City hereby exempts and 13137150.3 -24- agrees to save harmless the Authority from any costs, loss or damage whatsoever arising or occasioned by any such entry upon and re -leasing of the Leased Property and the removal and storage of such property by the Authority or its duly authorized agents in accordance with the provisions herein contained. The City agrees that the terms of this Lease constitute full and sufficient notice of the right of the Authority to re -lease the Leased Property in the event of such re-entry without effecting a surrender of this Lease, and further agrees that no acts of the Authority in effecting such re -leasing shall constitute a surrender or termination of this Lease irrespective of the term for which such re -leasing is made or the terms and conditions of such re -leasing, or otherwise, but that, on the contrary, in the event of such default by the City the right to terminate this Lease shall vest in the Authority to be effected in the sole and exclusive manner hereinafter provided for in subparagraph (b) hereof. The City agrees to surrender and quit possession of the Leased Property upon demand of the Authority for the purpose of enabling the Leased Property to be re -let under this paragraph, and the City further waives the right to any rental obtained by the Authority in excess of the Lease Payments and hereby conveys and releases such excess to the Authority as compensation to the Authority for its services in re -leasing the Leased Property. (b) Termination of Lease. If an Event of Default occurs and is continuing hereunder, the Authority at its option may terminate this Lease and re -lease all or any portion of the Leased Property. If the Authority terminates this Lease at its option and in the manner hereinafter provided due to a default by the City (and notwithstanding any re-entry upon the Leased Property by the Authority in any manner whatsoever or the re -leasing of the Leased Property), the City nevertheless agrees to pay to the Authority all costs, loss or damages howsoever arising or occurring payable at the same time and in the same manner as is herein provided in the case of payment of Lease Payments and Additional Payments. Any surplus received by the Authority from such re -leasing shall be applied by the Authority to Lease Payments due under this Lease. Neither notice to pay rent or to deliver up possession of the premises given under law nor any proceeding in unlawful detainer taken by the Authority shall of itself operate to terminate this Lease, and no termination of this Lease on account of default by the City shall be or become effective by operation of law, or otherwise, unless and until the Authority shall have given written notice to the City of the election on the part of the Authority to terminate this Lease. The City covenants and agrees that no surrender of the Leased Property, or of the remainder of the Term hereof or any termination of this 13137150.3 -25- (c) Lease shall be valid in any manner or for any purpose whatsoever unless stated or accepted by the Authority by such written notice. Proceedings at Law or In Equitv. If an Event of Default occurs and continues hereunder, the Authority may take whatever action at law or in equity may appear necessary or desirable to collect the amounts then due and thereafter to become due hereunder or to enforce any other of its rights hereunder. SECTION 8.3. No Remedy Exclusive. No remedy herein conferred upon or reserved to the Authority is intended to be exclusive and every such remedy shall be cumulative and shall be in addition to every other remedy given under this Lease or now or hereafter existing at law or in equity. No delay or omission to exercise any right or power accruing upon the occurrence of any Event of Default shall impair any such right or power or shall be construed to be a waiver thereof, but any such right and power may be exercised from time to time and as often as may be deemed expedient. In order to entitle the Authority to exercise any remedy reserved to it in this Article VIII it shall not be necessary to give any notice, other than such notice as may be required in this Article VIII or by law. SECTION 8.4. Agreement to Pay Attorneys' Fees and Expenses. If either party to this Lease defaults under any of the provisions hereof and the nondefaulting party should employ attorneys (including in-house legal counsel) or incur other expenses for the collection of moneys or the enforcement or performance or observance of any obligation or agreement on the part of the defaulting party herein contained, the defaulting party agrees that it will on demand therefor pay to the nondefaulting party the reasonable fees of such attorneys (including allocable costs and expenses of in-house legal counsel, if any) and such other expenses so incurred by the nondefaulting party. SECTION 8.5. No Additional Waiver Implied by One Waiver. If any agreement contained in this Lease is breached by either party and thereafter waived by the other party, such waiver is limited to the particular breach so waived and will not be deemed to waive any other breach hereunder. SECTION 8.6. Assignee to Exercise Rights. Such rights and remedies as are given to the Authority under this Article VIII have been assigned by the Authority to the Assignee, to which assignment the City hereby consents. Such rights and remedies shall be exercised solely by the Assignee. ARTICLE IX PREPAYMENT OF LEASE PAYMENTS SECTION 9.1. Security Deposit. Notwithstanding any other provision of this Lease, the City may on any date secure the payment of the Lease Payments in whole or in 13137150.3 -26- part by depositing with a fiduciary, in trust, an amount of cash which is either (a) sufficient to pay such Lease Payments, including the principal and interest components thereof, in accordance with the Lease Payment schedule set forth in Appendix B, or (b) invested in whole in non -callable Federal Securities in an amount which is sufficient, in the opinion of an independent certified public accountant, together with interest to accrue thereon and together with any cash which is so deposited, to pay such Lease Payments when due under Section 4.4(a) or when due on any optional prepayment date under Section 9.2, as the City instructs at the time of said deposit. In the event of a security deposit under this Section with respect to all unpaid Lease Payments, (a) the Term of this Lease shall continue, (b) all obligations of the City under this Lease, and all security provided by this Lease for said obligations, shall thereupon cease and terminate, excepting only the obligation of the City to make, or cause to be made all of the Lease Payments from such security deposit, and (c) under Section 4.6, title to the Leased Property will vest in the City on the date of said deposit automatically and without further action by the City or the Authority. The City hereby grants a first priority security interest in and the lien on said security deposit and all proceeds thereof in favor of the Authority and the Assignee. Said security deposit shall be deemed to be and shall constitute a special fund for the payment of Lease Payments in accordance with the provisions of this Lease. SECTION 9.2. Optional Prepayment. The City may prepay the unpaid principal components of the Lease Payments in whole, on any date on or after April 1, 2018, by paying a prepayment price equal to the principal components of the Lease Payments to be prepaid, together with the interest required to be paid on such Lease Payment Date, without premium or penalty. The City shall give the Authority notice of its intention to exercise its option to prepay the Lease Payments under this Section 9.2 not less than 30 days in advance of the date of exercise. SECTION 9.3. Mandatory Prepayment From Net Proceeds of Insurance or Eminent Domain. The City may prepay the unpaid principal components of the Lease Payments in whole or in part on any date, from and to the extent of any Net Proceeds to be used for such purpose under Section 6.2, by paying a prepayment price equal to the principal components of the Lease Payments to be prepaid, together with the interest required to be paid on such Lease Payment Date, without premium or penalty. The City shall give the Authority notice of its intention to exercise its option to prepay the Lease Payments under this Section 9.3 not less than 60 days in advance of the date of exercise. ARTICLE X MISCELLANEOUS SECTION 10.1. Notices. Any notice, request, complaint. demand or other communication under this Lease shall be given by first class mail or personal delivery to the party entitled thereto at its address set forth below, or by facsimile transmission or other form of telecommunication, at its number set forth below. Notice shall be effective 131371503 -27- either (a) upon transmission by facsimile transmission or other form of telecommunication, (b) 48 hours after deposit in the United States of America first class mail, postage prepaid, or (c) in the case of personal delivery to any person, upon actual receipt. The Authority, the City and the Assignee may, by written notice to the other parties, from time to time modify the address or number to which communications are to be given hereunder. If to the City: If to the Authority: If to the Assignee: City of National City 1243 National City Boulevard National City, California 91950 Attention: Director of Finance Fax: (619) 336-4349 National City Joint Powers Financing Authority c/o City of National City 1243 National City Boulevard National City, California 91950 Attention: Director of Finance Fax: (619) 336-4349 Bank of America, N.A. 555 California Street, 4th Floor San Francisco, California 94104 Attention: Contract Administration Fax: (415) 343-0531 SECTION 10.2. Binding Effect. This Lease inures to the benefit of and is binding upon the Authority, the City and their respective successors and assigns. SECTION 10.3. Severability. If any provision of this Lease is held invalid or unenforceable by any court of competent jurisdiction, such holding will not invalidate or render unenforceable any other provision hereof. SECTION 10.4. Net -net -net Lease. This Lease is a "net -net -net lease" and the City hereby agrees that the Lease Payments are an absolute net return to the Authority, free and clear of any expenses, charges or set -offs whatsoever. SECTION 10.5. Further Assurances and Corrective Instruments. The Authority and the City agree that they will, from time to time, execute, acknowledge and deliver, or cause to be executed, acknowledged and delivered, such supplements hereto and such further instruments as may reasonably be required for correcting any inadequate or incorrect description of the Leased Property hereby leased or intended so to be or for carrying out the expressed intention of this Lease. 131371503 -28- SECTION 10.6. Execution in Counterparts. This Lease .may be executed in several counterparts, each of which is an original and all of which constitutes one and the same instrument. SECTION 10.7. Applicable Law. This Lease is governed by and construed in accordance with the laws of the State of California. SECTION 10.8. Captions. The captions or headings in this Lease are for convenience only and in no way define, limit or describe the scope or intent of any provisions or Section of this Lease. 13137150.3 -29- IN WITNESS WHEREOF, the Authority and the City have caused this Lease to be executed in their respective names by their duly authorized officers, all as of the date first above written. Approved as to Form: By General Counsel Attest: By Secretary Approved as to Form: By City Attorney Attest: By City Clerk NATIONAL CITY JOINT POWERS FINANCING AUTHORITY, as Lessor By Ron Morrison President CITY OF NATIONAL CITY, CALIFORNIA, as Lessee By Ron Morrison Mayor 13137150.3 -30- APPENDIX A DESCRIPTION OF THE LEASED PROPERTY The Leased Property consists of the following described land located in the City of National City, County of San Diego, State of California. together with all buildings, facilities and other improvements which constitute real property and which are located thereon: [PROPERTY LEGAL DESCRIPTION] 13137150.3 A-1 APPENDIX B SCHEDULE OF LEASE PAYMENTS Lease Principal Interest Aggregate Payment Date Component Component Lease Payment April 1, 2011 October 1, 2011 April 1, 2012 October 1, 2012 April 1, 2013 October 1, 2013 April 1, 2014 October 1, 2014 April 1, 2015 October 1, 2015 April 1, 2016 October 1, 2016 April 1, 2017 October 1, 2017 April 1, 2018 TOTALS: 13137150.3 B-1 -1'111cf4-- 4 NP Draft 09/16/10 TO BE RECORDED AND WHEN RECORDED RETURN TO: Nixon Peabody LLP 555 West Fifth Street, 46th Floor Los Angeles, California 90013 Attention: Charles C. Wolf, Esq. THIS DOCUMENT IS EXEMPT FROM RECORDING FEES UNDER SECTION 27383 OF THE CALIFORNIA GOVERNMENT CODE. ASSIGNMENT AGREEMENT This ASSIGNMENT AGREEMENT, dated as of September 1, 2010 (this "Assignment"), is between the NATIONAL CITY JOINT POWERS FINANCING AUTHORITY, a joint powers agency duly organized and existing under a Joint Powers Agreement, dated as of April 16, 1991 by and between the City of National City and the Community Development Commission of the City of National City, and the laws of the State of California (the "Authority"), and BANK OF AMERICA, N.A., a national banking association organized and existing under the laws of the United States of America (the "Assignee"). BACKGROUND: 1. In order to refinance the construction of a police administration building located generally at 1200 National City Boulevard in the City of National City (the "Facilities"), the City of National City (the "City") has previously leased the real property constituting the site thereof, as such real property is described more fully in Appendix A attached hereto and by this reference incorporated herein (the "Site"), together with the Facilities (collectively, the "Leased Property"), from the Authority under a Lease Agreement dated as of October 1, 1998, a Memorandum of Lease for which was recorded in the Office of the San Diego County Recorder on October 26, 1998, as Document No. 1998-0690922 (the "1998 Lease Agreement"). 2. Interests in the City's lease payments under the 1998 Lease Agreement (the "1998 Lease Payments") are evidenced by 1998 Certificates of Participation (Police Administration Building Project) which were executed and delivered in the aggregate principal amount of S6,255,000 of which $3,280,000 are currently outstanding (the "1998 13137430.2 Certificates"), the proceeds of which were applied to refinance the construction of the Facilities. 3. The City has determined to redeem the 1998 Certificates and prepay the 1998 Lease Payments and thereby terminate the 1998 Lease Agreement, and in order to raise funds for that purpose the City and the Authority have entered into a Lease Agreement dated as of September 1, 2010, which has been recorded concurrently herewith (the "Lease"), in consideration of the deposit of funds in an amount required to redeem the 1998 Certificates and prepay the 1998 Lease Payments in full. 4. In order to raise the funds needed for that purpose, the Authority wishes to assign certain of its rights under the Lease, including the right receive and enforce payment of the Lease Payments which are payable by the City under the Lease, to the Assignee hereunder. AGREEMENT: In consideration of the material covenants contained in this Assignment, the parties hereto hereby formally covenant, agree and bind themselves as follows: SECTION 1. Defined Terms. All capitalized terms not otherwise defined herein have the respective meanings given those terms in the Lease. SECTION 2. Assignment. The Authority hereby assigns to the Assignee all of the Authority's rights under the Lease (excepting only the Authority's rights under Sections 5.7 and 7.3 of the Lease), including but not limited to: (a) the right to receive and collect all of the Lease Payments from the City under the Lease, (b) the right to receive and collect any proceeds of any insurance maintained thereunder with respect to the Leased Property, or any eminent domain award (or proceeds of sale under threat of eminent domain) paid with respect to the Leased Property, and (c) the right to exercise such rights and remedies conferred on the Authority under the Lease as may be necessary or convenient (i) to enforce payment of the Lease Payments and any amounts required to be applied to the prepayment of the Lease Payments. or (ii) otherwise to protect the interests of the Assignee in the event of a default by the City under the Lease. The assignment made under this Section 2 is absolute and irrevocable, and without recourse to the Authority. 13137430.2 -2- SECTION 3. Acceptance; Representations. The Assignee hereby accepts the assignments made herein for the purpose of securing the payments due under the Lease to, and the rights under the Lease of, the Authority. The Assignee represents that (i) it accepts this interest in the Lease for its own account and will not make a public offering of the interests conveyed herby, (ii), it is paying the price of par for its interest in the Lease, and (iii) it will treat its interest in the Lease as an investment for federal income tax purposes. SECTION 4. Consideration; Deposit of Funds. In consideration of the assignment to the Assignee of the Lease Payments and certain other rights of the Authority under Section 2, the Assignee hereby agrees to pay the following amounts to the following parties: (a) On the Closing Date, the Assignee shall (i) retain the amount of S[ ] to pay its commitment fee and legal counsel fees, and (ii) pay the amount of $[ ] to Union Bank, N.A., as custodian, to be applied for the purpose of paying financing costs relating to the Lease. (b) On the Closing Date, the Assignee shall pay the amount of $[ ] to Union Bank, N.A., to be deposited, held and applied in accordance with the Refunding Instructions for the purpose of refinancing and discharging the 1998 Lease Payments and the 1998 Certificates. SECTION 5. Execution in Counterparts. This Assignment may be executed in any number of counterparts, each of which is an original and all together constitute one and the same agreement. Separate counterparts of this Assignment may be separately executed by the Assignee and the Authority, both with the same force and effect as though the same counterpart had been executed by the Assignee and the Authority. SECTION 6. Binding Effect. This Assignment inures to the benefit of and binds the Authority and the Assignee, and their respective successors and assigns, subject, however, to the limitations contained herein. SECTION 7. Governing Law. This Assignment is governed by the laws of the State of California. 131374302 -3- IN WITNESS WHEREOF, the parties have executed this Assignment by their duly authorized officers as of the day and year first written above. Approved as to Form: By General Counsel Attest: By Secretary NATIONAL CITY .JOINT POWERS FINANCING AUTHORITY, as Assignor Ron Morrison President BANK OF AMERICA, N.A., as Assignee By Authorized Officer 131374302 -4- APPENDIX A DESCRIPTION OF THE LEASED PROPERTY The Leased Property consists of the following described land located in the City of National City, County of San Diego, State of California, together with all buildings, facilities and other improvements which constitute real property and which are located thereon: [LEGAL DESCRIPTION OF PROPERTY] 13137430,2 A-1 A--1lackiev NP Draft 09/16/10 IRREVOCABLE REFUNDING INSTRUCTIONS (1998 Refunding Certificates of Participation) These IRREVOCABLE REFUNDING INSTRUCTIONS (these `'Instructions"), are dated as of September 28, 2010, and are given by the CITY OF NATIONAL CITY, a general law city and municipal corporation organized and existing under the Constitution and laws of the State of California (the "City"), to UNION BANK, N.A., a national banking association organized and existing under the laws of the United States of America, acting as trustee for the 1998 Certificates described below (the "1998 Trustee"). BACKGROUND: 1. The City has previously caused the execution and delivery of 1998 Certificates of Participation (Police Administration Building Project) in the aggregate original principal amount of $6,255,000 of which $3,280,000 is currently outstanding (the "1998 Certificates") under a Trust Agreement dated as of October 1, 1998 (the "1998 Trust Agreement"), among the City, the National City Joint Powers Financing Authority (the "Authority") and Union Bank, N.A., as trustee, evidencing lease payments payable by the City under a Lease Agreement dated as of October 1, 1998 (the "1998 Lease"), between the Authority as lessor and the City as lessee. 2. The 1998 Certificates are subject to prepayment in full on [October 1, 2010], and in order to provide funds for that purpose the City and the Authority have entered into a Lease Agreement dated as of September 1, 2010 (the "Lease"), and the Authority has assigned its right to receive lease payments payable by the City thereunder to Bank of America, N.A. (the "Assignee") under an Assignment Agreement dated as of September 1, 2010 (the "Assignment Agreement"). 3. At the written direction of the City, the 1998 Trustee has, on [ ], 2010, provided the owners of the 1998 Certificates with a notice of prepayment, meeting the requirements of the 1998 Trust Agreement. 5. The City is giving these Instructions to the 1998 Trustee for the purpose of establishing an irrevocable escrow fund to be funded, invested, held and administered for the purpose of providing for the payment in full of the principal and interest represented by the 1998 Certificates upon the prepayment thereof on [October 1], 2010. 13137475.2 INSTRUCTIONS: In order to provide for the payment and prepayment of the 1998 Certificates and to discharge the 1998 Certificates and the obligations represented thereby, the City hereby irrevocably directs the 1998 Trustee as follows: SECTION 1. Establishment of Escrow Fund. The 1998 Trustee is directed to establish an escrow fund (the "Escrow Fund") to be held by the 1998 Trustee in trust as an irrevocable escrow securing the payment of the 1998 Certificates and the City's obligations with respect thereto, as hereinafter set forth. All cash and securities in the Escrow Fund are hereby irrevocably pledged as a special fund for the payment of the principal and interest represented by the 1998 Certificates in accordance with the 1998 Trust Agreement. If at any time the 1998 Trustee receives actual knowledge that the cash and securities in the Escrow Fund will not be sufficient to make any payment required by Section 3 in respect of the 1998 Certificates, the 1998 Trustee shall notify the City of such fact and the City shall immediately cure such deficiency from any source of legally available funds. The 1998 Trustee has no liability for any such insufficiency. SECTION 2. Deposit into Escrow Fund. On September 28, 2010 (the "Closing Date"), the City shall cause to be transferred to the 1998 Trustee for deposit into the Escrow Fund the amount of $[ ] in immediately available funds, to be derived as follows: (a) from amounts provided by the Assignee in the amount of $[ ] under the Assignment Agreement; and (b) from amounts held in the Reserve Fund established and held by the 1998 Trustee under Section [4.02] of the 1998 Trust Agreement (the "1998 Reserve Fund") in the amount of $[ ]. SECTION 3. Investment and Application of Amounts. The 1998 Trustee shall hold the moneys deposited in the Escrow Fund under Section 2 in cash, uninvested. The 1998 Trustee shall apply all cash held in the Escrow Fund to pay the principal and interest represented by the 1998 Certificates coming due and payable upon the payment and prepayment thereof on [ ], 2010, in the following amounts: Maturing Prepaid Total Payment Date Interest Principal Principal Payment [ 1,2010 $[ ] $[ $[ .— ] Following payment and prepayment in full of all of the 1998 Certificates on [ ], 2010, the 1998 Trustee shall withdraw all amounts remaining on deposit in the Escrow Fund, if any, and transfer such amounts to the City to be applied to pay the lease payments next coming due under the Lease. 13137475.2 -2- SECTION 4. Transfer of Funds. The 1998 Trustee shall make the transfers into the Escrow Fund from the 1998 Lease Payment Fund and the 1998 Reserve Fund as set forth in subsections (b) and (c) of Section 2, such transfers to be made on the Closing Date. All other amounts held by the 1998 Trustee in any of the funds and accounts established under the 1998 Trust Agreement shall be withdrawn therefrom and transferred to the City to be applied to pay the lease payments next coming due under the Lease. SECTION 5. Application of Certain Terms of 1998 Certificate Documents. All of the terms of the 1998 Trust Agreement relating to the payment and prepayment of principal and interest represented by the 1998 Certificates, and the protections, immunities and limitations from liability afforded the 1998 Trustee as trustee for the 1998 Certificates, are incorporated in these Instructions as if set forth in full herein. These Instructions set forth all matters pertinent to the escrow contemplated hereunder, and no additional obligations of the 1998 Trustee shall be inferred from the terms of these Instructions or any other agreement. SECTION 6. Compensation to Trustee. The City shall pay the 1998 Trustee full compensation for its services under these Instructions, including out-of-pocket costs such as publication costs, prepayment expenses, legal fees and other costs and expenses relating hereto and, in addition, all fees, costs and expenses relating to the purchase, substitution or withdrawal of any securities after the date hereof. Under no circumstances shall amounts deposited in or credited to the Escrow Fund be deemed to be available for said purposes. The 1998 Trustee has no lien upon or right of set off against the cash and securities at any time on deposit in the Escrow Fund. 13137475.2 -3- SECTION 7. Effect of These Instructions. As a result of the deposit and application of funds in accordance with these Instructions, the obligations of the City under the 1998 Lease shall be discharged under and with the effect set forth in Section [3.10] of the 1998 Lease, and the 1998 Certificates shall be discharged under and with the effect set forth in Section [13.01] of the 1998 Trust Agreement. The deposit made with the 1998 Trustee hereunder constitutes a security deposit for the payment of the 1998 Lease Payments in accordance with the provisions of Section [9.1] of the 1998 Lease, and these Instructions constitute an escrow deposit and trust agreement under and within the meaning of Section [13.01] of the 1998 Trust Agreement. Date: [September 28], 2010 Approved as to Form: By City Attorney Attest: By City Clerk ACCEPTED: UNION BANK, N.A., as 1998 Trustee By Authorized Officer CITY OF NATIONAL CITY, CALIFORNIA, a California city and municipal corporation By Ron Morrison Mayor 131374752 -4- City of National City, California COUNCIL AGENDA STATEMENT MEETING DATE September 21, 2010 AGENDA ITEM NO. 17 ITEM TITLE TEMPORARY USE PERMIT — Cornerstone Heart Revolution Annual Community Conference sponsored by Cornerstone Church of San Diego at 1920 Sweetwater Road from September 27 thru October 3, 2010 from 9am to 9pm with no waiver of fees. PREPARED BY EXPLANATION Vianey Rolon, 336-4364 DEPARTMENT Neighborhood Services Division This is a request from the Cornerstone Church to conduct their Heart Revolution Annual Community Conference from September 27 thru October 3, 2010. This conference is open to all churches. A small stage will be set up for entertainment by Christian Contemporary music from 4pm to 9pm daily. Six (6) 10x10 canopies will be setup, four (4) of these will be used by food vendors. The applicant is not requesting the use of the City's stage and will provide security for this event though Cornerstone's volunteers. Environmental Review X N/A Financial Statement Approved By: The City has incurred $237.00 for processing the TUP, plus $200.00 Finance Director the Fire fees. Total fees: $437.00 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) Type of Event: Public Concert Parade Motion Picture / �[ Other Event Title: Y� 'T T� & tf/) /rT/avt. �O/�1 Event Location: /9 -..cttdarik.)444,i JKG� ALA,/ 64 `Al. 9 /C—s--0 Event Date(s): From g'a7-IA0 /Q'3-/V Total Anticipated Attendance: 416-0 ° 001( 5 et5 Month/DaylYear ( �C, Participants) ( Spectators) Actual Event Hours: q irmm to q a �� Community Event _ Block Party Setup/assembly/construction Date:9—A • /V Start time: 5—Prn Please describe the scope of your setup/assembly work (specific details): 4 f fel A'ieJ,J a 3Pam/ .rI /f2.0 C_4i1dttry Tki 1/6,o i1�.s Dismantle Date: /0 =...?/D Completion Time: / 0 am/I?) 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. »4 Sponsoring Organization: CDefe/s f CTU4ec D// //�� 4 hi Y�I For Profit Chief Officer of Organization (Names ,¢! r0 IJ i(Q IG'%2k•/ Applicant (Name): Address: PC/Q' �/t✓� Fair _ Festival _ Demonstration _ Circus _ Grand Opening Jl Not -for -Profit 4 Lot/LID ev- 44%04=10'64 a qJ5-L) Daytime Phone: k749) V .3 Evening Phone: ( ) f Fax: (4/ 7o1... iea 7/ j � e Contact Person "on site" day of the event: Z �! L�`C! t f ?di- 0 ''// Pager/Cellular: 1#, q . .31 -. b q /?— NOTE: THIS PERSON MUST BE IN ATTENDANCE FOR THE DURATION OF THE EVENT AND IMMEDIATELY AVAILABLE TO CITY OFFICIALS 1 Is your organization a 'Tax Exempt, nonprofit" organization? YES NO Are admission, entry, vendor or participant fees required? x YES 4 N If YES, please explain the purpose and provide amount(s): ( Y J e" $ ,1tiF1 Estimated Gross Receipts including ticket, product and sponsorship sales from //�� this event. $A9// Estimated Expenses for this event. 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. /� Ilvc rt ua I COmm lie .` IvI AelA4 c IE .LA I/ eI uaclE5 1,-d ea-s a spas _ 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: 2 YES iNO 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: Pofd , tt ,dtti, �OU L��f iIGS _ 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 YES: Number of tent/canopies Sizes 1 ' X / Q NOTE: A separate Fire Department permit is required for tents or canopies. YES 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 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 ` had /f(S Please describe how food will be served at the event: �f J / S o t/143 ii}A J If you intend to cook food in the event area please specify the method: GAS ELECTRIC ( CHARCOAL OTHER (Specify): ➢ Portable and/or Permanent 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 31, Canopies or tent locations (include tent/canopy dimensions) Y 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 condition.) Number of trash cans: /.3'av Trash containers with lids: Describe your plan for clean-up and removal of waste and garbage during and after the event: nn04itz, ties D Pi-ek Cl4444?../441,es 4viu21 -4` rdn Please describe your procedures for both Crowd Control and Internal Security: hat r4, e ihizzo eas" pet 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: YES ENO 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: Pleas { indicate what arrng-ment you have made for provid. g First Aid taffing . nd Equi s ment. Please describe your Accessibility Plan for access at your event by individuals with disabilities: Pease provide a detajllectdescription of your P A RKING Ian: il�Ce}/i I�t- 5coi -Frig, / - . _ 4-t`h..4- l.�b bi B ea Please describe your plan for DISABLED PARKING: 71n d `' dhs26/c� pii4j-s72//s L r oodEd (Ii 4&!h m 4i&c/ 4f6ec-i/yy4 )49iegq6/ 4 Please describe your plans to notify all residents, businesses and churches impacted by the event:/ j 4116ed iteitzett d-1 NOTE: Neighborhood residents must be notified 72 hours 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: % 1 Number of Bands: Type of Music: Cam% %LIST% t vt ..vi pS 1/YES _ NO Will sound amplification be used? If YES, please indicate: 1 Start time: aFinish Time k YES _ NO Will sound checks be conducted prior to the event? If YES, please indicate: Start time: 7 am rinish Time am/' Please describe the sound equipment that will be used for your event: _ YES " NO Fireworks, rockets, or other pyrotechnics? If YES, please describe: fG yES _ NO Any signs, banners, decorations, special lighting? If YES, please describe: Revised 08/10/05 5 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 6 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 t�O rt4t2 ?; ( k vZ,1 t ELI 2) Person in Charge of Activity dIi ?Jaz) E. Address / q%`/ �W �F74 I ie- neLh?IJ q y Telephone (p 1, q333 Date(s) of Use /0 " 3 ` In 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 attomeys 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. Signature tc Official Title nt rtr/I6 Date For Office Use Only Certificate of Insurance Approved Date 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 th.!_aponsorino or j niza n�� �n 2t2Slt� ( LU gk ol- rf vt Type of Organization alllie CI (Service Club, Church, Social Service Agency, etc.) 3. Will the event generate net income or proceeds t the sponsoring organization? Yes (Please proceed to Question 4) VNo (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) 8 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) 9 rid /0 Date DV .f bi c:Id MAPQUEST Map of 1920 Sweetwater Rd National City, CA 91950-7628 yt 1,11 ;oio avf PevolAon t Queri Portions ki2010 NA17EQ a i-cuhetl rihts reserved_ Use sub eel to License/Co• 1 Map Legend Directions and maps are informational o- We make no warranties on the accuracy of their content. road conditions or route usability or expeditiousness_ You assume all ri use. MapQuest and its suppliers shall nal he liable to ycar far any loss or delay resulting from your use of Mapauest. Your use of M- .uest means you agree to our terms of Use ¶VM4°Y4 bo4 IOx 10 Cv" • 10 smell p.ifdevIt City of National City, California COUNCIL AGENDA STATEMENT METING DATE September 21, 2010 AGENDA ITEM NO. 18 ITEM TITLE TEMPORARY USE PERMIT — St. Mary's Fall Festival & Fund Raiser hosted by St. Marys Church on October 3, 2010 at the Parish Grounds located on 426 E. 7th Street from 7 a.m. to 6:30 p.m. with no waiver of fees. PREPARED BY Vianey Rolon, 336-43964 DEPARTMENT Neighborhood Services Division EXPLANATION This is a request from St. Mary's Church to conduct the 2010 St. Mary's Fall Festival & Fund Raiser event at their Parish Grounds on 8`h & E. Ave. on October 3, 2010. This event features approximately 20 vendor booths, including food booths, Knight's of Columbus, and religious booths. In addition to a request for N.C.S.V. and Reserves, internal security will be provided by St. Mary's Church. Environmental Review X N/A Financial Statement The City has incurred $237.00 for processing the TUP through various City departments, plus $600.00 for the Fire permits. Total fees are $837.00. 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) Actual Event Hours- TAW—wit/pm to(p,'�i) a ? 1�J Setup/assembly/construction Da Type of Event: _ Public Concert Parade Motion Picture Fair Demonstration Grand Opening Festival Circus Other jj Event Title. tit l' 651i + i\t N Event Location: r ()Lnc5 Event Date(s): From 6, 3 __lit, _-_6 (f Total Anticipated Attendance: Month/Day/Year / Participants) ( ✓ Spectators) Community Event Block Party Start timetilaitr±___ Please describe the scope of your setup/assembly work (specific detailsnQ tLk, Q CL�s� rnb It Or)t-hts rate— R \ boot ,ks oxie-c ft, Dismantle DatethDtk_ (0 4� Completion Time :en an List any street(s) requiring closure as a result of this event. Include streetname(s), day and time of closing and day and time of reopening_ Ito Srr�� eit- iu.o Sponsoring Organization O I L. (1&i For Profit tt.r-lt s (' Not -for -Profit Chief Officer of Orsanization (Name Applicant (Name): Address: itafp /413 i- �A-- Daytime Phone: titiq_ � it1 l7 itz4ening Phone: i icbtitx.pl t4Fax: ( ) Contact Person "on site" day of the event 14 of Pager/Cellular: S(--eePr 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? '(, YES NO Are admission, entry, vendor or participant tees required? [_ YES NO If YES, please explain the purpose and provide amount(s): $ Estimated Gross Receipts including ticket, product and sponsorship sales from this event. $ Estimated Expenses for this event_ $ 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 inmation about} the every- 1 G� tot 1� C00Ct p OAS to'k_�i glr�Ct],t �" c�iit e tdh V\t,t� � ��� Ooluwhtts A r6 rtAJe u, 5 cr%a o o s 5 kc io secd t Qcelm ' 1inl� t s P.u.e tI 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: 2 _YES 1NO Does the event involve the sale or use of alcoholic beverages? if YES NO Will items or services be sold at the event? If yes, please describe:1°04 Soll-drujcs �nvn�h btu. flri`nlcirr }S IA)lu ,hr] i,d t - YFS �NO -loess tt e event involve m in ro to 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 i! NO Does the event involve a fixed venue site? If YES, attach a detailed site map showing all streets impacted by the event. j/YES NO Does the event involve the use of tents or Number of tenticanopies '— Size NOTE: A separate Fire Depprtment perrBil i ,0 r g_ t700 VA&C Wk. YES 'NO nopies? If YsS: $ required for tents o� . nopi- 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 .{{'' Please describe how food wilt be served at the event a ku 1sk‘ l}Q---�j U0("W 6 pl'vL � Q-Aoi�\ C �.il t Ci xe-e �r1 If yo intend to c food in the e �ent area please specify the method: , GAS LECTRIC t/CHARCOAL OTHER (Specify): Portable and/or Permanent 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 y 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: Trash containers with lids: 0 escribe your plan for clean-up and removal of waste and garbage during and after the event: >u s O,r___ Q-UO` `'. t rt -1-1 /,_..;{.`5 9r ' Please describe your procedures for both Crowd Control and Internal Security: fix-) e), 1 • S aik&A 000114b . qLQ CC � c1 � cQ _i.Jt_A Tvootc(g_ok-kio . tAal c"ez. Wr 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: YES 'vN0 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. Q,LAA e pcu Ib ‘ S ()Aka 9'r-- -1 s Please describe your Accessibility Plan for access at your event by individuals with disabilities: use 6 &b Q P ki Please provide a detailed description of your PARKING plan: Please describe your plan for DISABLED PARKING: 4 Please describe your plans to notify all residents, businesses and churches impacted by the e gP1nLS lGs-�AA/Vb fX' L) US UM W a nee_ a t.1Tk1-io Octay S jG��1.�1Ax-ta,Q��.S_ DANi � \�tk�.,�C(J _ i,�!►pp ��'�Q �. NOTE: Neighli�rhood resi walk rri�ts a ifiZ'd�'L`hbuk�`hriakitar►� clWfferi evetitsa7 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 Mu&i� Number of Bands: �D YES V NO Will sound amplification be used? if YES, please indicate: Start time: am/pm Finish Time am/pm _ YES J NO Will sound checks be conducted prior to the event? If YES, please indicate: Start time:l l ' t m - am/pm Finish Time`? _ dv an Please describe the sound equipment that will be used for your event: YES INO Fireworks, rockets, or other pyrotechnics? If YES, please describe: 'YES _ NO Any signs, banners, decorations, special lighting? If YES please describe: . I Q.6:CL MAaris:k \ o ,k,s_cA),,k.a_A,,wism (9,..mixr bo4-fAs Cm, �orc Revised 08/10/05 C kC Btn(yiki-`7!'- errf 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 6 Non-profit organizations, which meet the criteria on pag of the instructions, will be considered for a waiver. If you would like to reque a waiver of the processing fees, please complete the questionnaire . -iow. 1. Is the event for which the TUP is sough sponsored by a non-profit organization? Yes (proceed to Question 2 No (Please sign the form a + submit it with the TUP Application) 2. Please state the name and ty e of organization sponsoring the event for which the TUP is sough nd then proceed to Question 3. Name of the sponsoring ganization Type of Organization (Service Club, Church, Social S ce Agency, etc.) 3. Will the. event gener : to net income or proceeds t the sponsoring organization? Yes (Please roceed to Question 4) No (Pleas sign the form and submit it with the TUP Appl ation) 4. Will the pro eds provide a direct financial benefit to an individual who reside in or is employed in the city, and who is in dire financial need due t • health reasons or a death in the family? Yes Please provide an explanation and details. (Please proceed to Question 5) 8 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. I Organization krotact d 'k Person in Charge of Activi Addressact 14,�(Y��� ` TelephoneV12-li; .9,i Date(s) of Useo 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 attomeys 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. Signature of Applicant Official Title Date For Office Use Only Certificate of Insurance Approved Date 7 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. t/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) Signature Date Aug-20-01 10:51A P_02 DIOCESE OF SAN DIEGO APPLICATION FOR SPECIAL EVENTS COVERAGE Name of Parish or (rfsttttu � u Street Address: lj},a ( /-31- City/State- i N C ZIP Code: ks�� Lessee (Additional Insured) Info a t on Name of Sponsoring Organization or Inuividual Requesting Coverage (Please Prins Lessee Name(sj or Organization) Type of Special Event (Example: Wedding reception. Anniversary party, Etc. - Please Specify): Due of Event: Time of Event From a ( y}-I To 6 ` 34 jN_ � Approximate Number of Participants: +�'•• Is Liquor Being Served? Lessee (Additional Inset d) Contact Person: n L Yes n Nurse- 2 t\ 0( �+ ct -fo. L �"- I Street Address p4 Y) e R t v' 15 Food Being Served' t City/Bute: � p Al;Code:q (q,y•p s No Telephone: 1 r�Q 4 qaj l0 The Special Events coverage provides S1.000,000 Combined Single Limit Bodily Injury. Property Damage, and Host Liquor Liability coverage per erent (not per claim). This coverage is underwritten by TIG Insurance Corporation of America. Policy A7700038026314. Cast of Coverage_ 5 Per Event Coverage dots not apply to certain events such as. but not limited to: • Sporting events including tctrnamenrs & camps • Any carnival event • Amusement rides. including mechanically operated dcviccs, trampolines, & rebounding devices • Fireworks & fireworks displays • Events Where a fee or admission is charged, unless all proceeds go to charity • Events organized or operated by professional promotcrs/performers • Events with attendance of mote than 1,000 persons • Events which exceed 72 hours in duration • Events Involving pool or lake activities • Events involving recreationai vehicles NOTIFICATION OF AN EVENT MUST REACH CATHOLIC MUTUAL AT LEAST 15 DAYS IN ADVANCE OF THE EVENT. SUBJECT TO APPROVAL BY C.M.G. AGENCY, INC. Please make check payable to: Parish COMPLETE AND RETURN THIS FORM TO: Catholic Mutual P.O. Box 857211 San Diego, CA 92186.572E ATTN: Bob Lang Phase report all claims to Catholic Mutual, Attn: Bob Lang at I-8S8-49O-8735. DISTRIBUTION: Original: Catholic Maud. Capies to Lessee and Parish orinstinaion CMRS-2zawr7.”I City/State: THE ROMAN CATHOLIC BISHOP OF SAN DIEGO, A CORPORATION SOLE, SAN DIEGO, APPLICATION FOR SPECIAL EVENTS COVERAGE Name of Parijsh or Institution: vrIc k5• trek Street Address: ` )1p E 'i ! _&. Y Zip code: g net-0 Lessee (Additional Insured) Information: Name of Sponsoring Organization or Individual Requesting Coverage (Please Print Lessee Name(s) or Organization) Lessee (Additi Name: Shed Address City/State: Telephone: Conte Person { L M �4iJ�.G, lik,( �; rj t.0 Vi.cd..Qtk ` 151,44 -ood Being Served? , ttai, Y�1l rP Code: t p tcL _ ,3b't. o • Date of Event: Nr Type of Spedal Event (Example: Wedding reception, Anniversary party, Etc. - Please Specify)�l1 t t VQ-41Aal Time of Event: From 1 s bt Its 11To t Approximate Number of Partidpants: Is Liquor Being Served? ed Yes Yea No No The Special Events coverage provides $1,000,000 Combined Single Limit Bodily Injury, Property Damage, and Host Liquor Liability coverage per event (not per claim). This coverage is underwritten by Great American Assurance Company, Policy # 96 GLO 590934801 Cost of Coverage: Per Event Coverage does not apply to certain events such as, but not limited to: • Sporting events including tournaments & camps • Any carnival event • Amusement rides, including mechanically operated devices, trampolines, & rebounding devices • Fireworks & fireworks displays • Events where a fee or admission is charged& unless all proceeds go to charity • Events organized or operated by professional promoters/performers • Events with attendance of more than 1,000 persons • Events which exceed 72 hours in duration • Events involving pool or lake activities • Events involving recreational vehicles NOTIFICATION OF AN EVENT MUST REACH CATHOLIC MUTUAL AT LEAST 15 DAYS IN ADVANCE OF THE EVENT. * SUBJECT TO APPROVAL BY C.M.G. AGENCY, INC. * Please snake check payable to the Parish where event is taking place COMPLkit. AND RETURN THIS FORM TO; Mr. Robert Lang Claims Risk Manager P.O. Box 85728 San Diego, CA 92186-5728 Date of Event: Nro j M Type of Special Event (Example: Wedding reception, Anniversary party, Etc. - Please Specify[ Time of Event: From -1 t 06 fthTo L Approximate Number of Participants: Is Liquor Being Served? Lessee (Ado:ha 4! nsured�Conta t Person: - Yea Name: 1f s �ti i () .�L� No THE ROMAN CATHOLIC BLSHOP OF SAN DIEGO, A CORPORATION SOLE, SAN DIEGO, CA APPLICATION FOR SPECIAL EVENTS COVERAGE Name of Parish or Institution: Marys( �1n carat, Street Address: `''p al }yt 5r City/State: 1`ti Vas__Vas__zIP Code: Lessee (Additional Insured) Information: Name of Sponsoring Organization or Individual Requesting Coverage (Please Print Lessee Name(s) or Organization) Street Address: t. O (g s ; ` Q r f' 16I Z 4 vww rciv` "4 1�lLX.. -ood Being Served,? City/State: OA 1 Ip Code: C1�SO Yes No Telephone: t "3( .r) The Special Events coverage provides $1,000,000 Combined Single Limit Bodily Injury, Property Damage, and Host Liquor Liability coverage per event (not per claim). coverage is underwritten by Great American Assurance Company, Policy 11 96 GLO 590934801 Cost of Coverage: Per Event Coverage does not apply to certain events such as, but not limited to: • Sporting events including tournaments & camps • Any carnival event • Amusement rides, including mechanically operated devices, trampolines, & rebounding devices • Fireworks & fireworks displays • Events where a fee or admission is charged, unless all pro, Peds go to charity • Events organized or operated by professional promoters/performers • Events with attendance of more than 1,000 persons • Events which exceed 72 hours in duration • Events involving pool or lake activities • Events involving recreational vehicles NOTIFICATION OF AN EVENT MUST REACH CATHOLIC MUTUAL AT LEAST 15 DAYS IN ADVANCE OF THE EVENT. * SUBJECT TO APPROVAL BY C.M.G. AGENCY, INC. * I make check payable to the Parish where event is taking place COMPLE 1'E AND RETURN THIS FORM TO: Mr. Robert Lang Claims Risk Manager P.O. Box 85728 San Diego, CA 92186-5728 City of National City, California COUNCIL AGENDA STATEMENT IJIEETING DATE September 21, 2010 AGENDA ITEM NO. 19 r/ ITEM TITLE TEMPORARY USE PERMIT — Tower of Terror sponsored by the National City Fire //! Department on October 31, 2010 from 5pm to 9pm at Fire Station 34 located at 343 East 16th Street. This is a National City sponsored event per Council Policy No. 804. PREPARED BY EXPLANATION Vianey Rolon 336-4364 DEPARTMENT Neighborhood Services Division This is a request from the National City Fire Department to conduct the Tower of Terror event on October 31, 2010 from 5pm to 9pm at Fire Station 34 located at 343 East 16th Street. The event will use the Fire Department's Training Tower as a haunted house. Participants will enter the tower via C Avenue. Upon exiting the tower, the yard will be used for a costume contest, face painting, food, and distribution of candy. Participants will exit via D Avenue. Free hot dogs will be grilled and served by the FFA. Street parking will be available and volunteers will monitor flow of participants. Environmental Review X N/A Financial Statement The City has incurred $237.00.00 for processing the TUP through various City departments, and $621.00 for Public Works. Total fees are $858.00 Approved By: Finance Director Account No. STAFF RECOMMENDATION Approve the Application for a Temporary Use Permit subject to compliance with all conditions of approval and waiver of fees according to Council Policy No. 804. BOARD / COMMISSION RECOMMENDATION N/A 1A/2 o1D ATTACHMENTS ( Listed Below) Resolution No. Application for a Temporary Use Permit with recommended approvals and conditions of approval. A-200 (9/99) Type of Event: Public Concert Parade Motion Picture Fair _ Festival _ Demonstration _ Circus _ Grand Opening _ Other ,' Community Event _ Block Party Event Title: Nn t/GAL C ITy /—�/1Pr �L�ll /ntL"r�. (fIlltL e4 d %/2i Event Location: rye ort 3 `l %z, LL yiwei i bweA Event Date(s): From r' P13'i J f0 to I01311 t G Total Anticipated Attendance: c;2° Month/Day/Year ( Participants) (Spectators) Actual Event Hours. 7 � am/� pto� - CO am f Setup/assembly/construction Date: !qv/ Start time: , '• fit'- Please describe the scope of your setup/assembly work (specific details): 1 Dismantle Date: Completion Time: 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. 14,414 Sponsoring Organization: NAT7oNA L (i-ry f /- gehi yhiza _ For Profit ✓Not -for -Profit Chief Officer of Organization (Name)t Y I it j )4 Applicant (Name): __DC i`l a ! 1 1 HVia. (.1.)^, ?`sA-C. 2 Daytime Phone:7/0) %f) _15,S'3 Evening Phone: ( ) Palle- Fax: ( ) Address: 1151 T6r r!rt• Contact Person "on site" day of the event: 7('t) 7/ 3tY5 Pager/Cellular: 7 ' C- %I ,C (,- 3 5 NOTE: THIS PERSON MUST BE IN ATTENDANCE FOR THE DURATION OF THE EVENT AND IMMEDIATELY AVAILABLE TO CITY OFFICIALS 1 Attachment 142 We are requesting to shut down "C" ave from 16th to 15th. We have done this in the past years and will coordinate the closure with NCPD. This closure is for the safety of the guests entering off of "C" st. 1 M41r L. The "Tower of Terror" is the same event as in the past years. We will be utilizing the training tower as a "haunted house". NCFFA will provide all the manpower and props inside the tower. Guest will enter off the "C" st. gate and exit through the "D" st gate. A NCFFA member will guide all guests through the tower. Lines will be set-up with banner tape. On duty and Off duty personnel will be on site to assist with the crowd. The event ends at 9:00 pm. 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): 'AYES NO YES ✓NO $ Estimated Gross Receipts including ticket, product and sponsorship sales from this event. $ Estimated Expenses for this event_ $ 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. iiTf!\(1I' ntemT "- I 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: 2 YES v//NO Does the event involve the sale or use of alcoholic beverages? V YES NO Will items or services be sold at the event? If yes, please describe: YES V 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. _ YES / NO Does the event involve the use of tents or canopies? If YES: Number of tent/canopies Sizes 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 Please describe how food will be served at the event: If you intend to cook food in the event area please specify the method: GAS ELECTRIC CHARCOAL OTHER (Specify): > Portable and/or Permanent Toilet Facilities Number of portable toilets: 1 (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 ➢ 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: - Trash containers with lids: Describe your plan for clean-up and removal of waste and garbage during and after the event: 3 Please describe your procedures for both Crowd Control and Internal Security: 3i t j flit ni h i ; A r< 1-065,1 YES ,V 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: YAP-ci 1 lc; hrr : ,r/A b I. rf Please indicate what arrangemen you have made for providing First Aid Staffing and Equipment. /1\ eta: 1Aot nN4 cti > Please describe your Accessibility Plan for access at your event by individuals with disabilities: Please provide a detailed description of your PARKING plan: f Please describe your plan for DISABLEQ PARKING: V. Please describe your plans to notify all residents, businesses and churches impacted by the event: / NOTE: Neighborhood residents must be notified 72 hours 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: Number of Bands: Type of Music: /YES _ NO Will sound amplification be used? If YES, please indicate: 7- Start time: anllp Finish Time 1 arn/pmi _ YES _r' NO Will sound checks be conducted prior to the event? If YES, please indicate: Start time: am/'pm Finish Time am/pm Please describe the sound equipment that will be used for your event: i - YES ,/ NO Fireworks, rockets, or other pyrotechnics? If YES, please describe: L YES _ NO Any signs, banners, decorations, special lighting? If YES, please describe: Revised 08/10/05 5 Event: for Office Use OnCy Department Date Approved? Yes No Initial Specific Conditions of Approval Council Meeting Date: Approved: Yes No Vote: Kathleen Trees, Director Building & Safety Department 6 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 h j I i CPfl L r Tc l y J J /23 (c(',iL ?7 f Person in Charge of Activity .---I 1 \ -slY) ,,yam Address ) c/ 3 � � 1�1 i%(')7/ Z t+/ T/ (// 9i95 Telephone 7t'C ?/> 4'3YDate(s) of Use (0Y // 2 / 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 activity taken under the permit by the permittee or its agents, employees or contractors. Signature of Applicant Official Title Date For Office Use Only Certificate of Insurance Approved Date 7 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? r 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 organization / t/.%' / ( ) Type of Organization r' Afi (Service Club, Church, Social Service Agency, etc.) icrN 3. Will the event generate net income or proceeds t the sponsoring organization? Yes (Please proceed to Question 4) V/ 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) 8 No (P lease sign the form and submit it with the TUP Application) )"-Ni it ��l %�- 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: Signature Date 9 Type of Event: Public Concert Parade Motion Picture Fair Demonstration Grand Opening Festival Circus Other 1` Community Event Block Party Event Title: COST. V tAe t (ON L 5 ( j OC 4)Q r (e0-0\( IU Event Location: CF L: S,q l 1 Ok. 21-' Event Date(s): From ND's( to 10/3 ( Total Anticipated Attendance: Sal'4 Actual Event Hours: Month/Day/Yea ( Participants) ( Spectators) Setup/assembly/construction Date: Start time: Please describe the scope of your setup/assembly work (specific details): Poke $7/1-c76 /AJ ViteD SEi - VP e Foe{ te5 Dismantle Date: P. 1 I (( Completion Time: 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. Sponsoring Organization: C0/41fl (//!//7l/ geevi CES For Profit /Q n Not -for -Profit Chief Officer of Organization (Name) �DefuO, httikie S Applicant (Name): P001 P(Z Address: M Daytime Phone: ( ) }CKt490 Evening Phone: ( ) Fax: ( ) Contact Person "on site" day of the event: CP--US) Y (,0Z Pager/Cellular: (v I I?Yo F833 NOTE: THIS PERSON MUST BE IN ATTENDANCE FOR THE DURATION OF THE EVENT AND IMMEDIATELY AVAILABLE TO CITY OFFICIALS 1 Is your organization a "Tax Exempt, nonprofit" organization? , YES NO Are admission, entry, vendor or participant fees required? _ YES NO If YES, please explain the purpose and provide amount(s): $ Estimated Gross Receipts including ticket, product and sponsorship sales from this event. $ What is the projected amount of revenue that the Nonprofit Organization will receive as a result of this event? Estimated Expenses for 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. {QN %7YT / /OW 7at��2 1 ei2P c. Z eJe ArT EL 311 3C7e SDuLS L X F rr 0 'Ai SP 'L4C fqc YES V `WO 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: 2 YES QO Does the event involve the sale or use of alcoholic beverages? YES P( NO Will items or services be sold at the event? If yes, please describe: YESK_ 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. V`' 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 YES: Number of tent/canopies Sizes 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 Please describe how food will be served at the event: If you intend to cook food in the event area please specify the method: GAS ELECTRIC CHARCOAL OTHER (Specify): ➢ Portable and/or Permanent 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 ➢ Scaffolding, bleachers, platforms, stages, grandstands or related structures ➢ Vehicles and/or traders ➢ 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 dean condition.) Number of trash cans: Trash containers with lids: Describe your plan for clean-up and removal of waste and garbage during and after the event: off C 5 jl oue -i1 3 Please describe your procedures for both Crowd Control and Internal Security: St(RC,e (/L. LAir-e YES 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: Cy(57(toe) L(G.jfirA_)C1 Please indicate what arrangement you have made for providing First Aid Staffing and Equipment. Please describe your Accessibility Plan for access at your event by individuals with disabilities: ALL //k5 cce . f eu2 Please provide a detailed description of your PARKING plan: Pv1.5-nnic. filet % PI9acutf4 .�aePoCI NO M) EZ L d ( S Please describe your plan for DISABLED PARKING: kJ!15 T7tSI R—re S)Po-7-5 4 Please describe your plans to notify all residents, businesses and churches impacted by the event: 6\( (Lfki NOTE: Neighborhood residents must be notified 72 hours 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: Number of Bands: Type of Music: V- YES _ NO Will sound amplification be used? If YES, please indicate: Start time: inish Time _ YES XNO Will sound checks be conducted prior to the event? If YES, please indicate: Start time: am/pm Finish Time am/pm Please describe the sound equipment that will be used for your event: YES t1NO Fireworks, rockets, or other pyrotechnics? If YES, please describe: YES 0 Any signs, banners, decorations, special lighting? If YES, please describe: Revised 08/10/05 5 Event: For Office 'Use OnCy Department Date Approved? Yes No Initial Specific Conditions of Approval Council Meeting Date: Approved: Yes No Vote: Kathleen Trees, Director Building & Safety Department 6 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 COMA l O lU ( C't � I�l C S Person in Charge of Activity POoy I Address I((O C O ' Telephone'( ki. Iv0 Date(s) of Use 10 t 3 ( 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 activity taken under the permit by the permittee or its agents, employees or contractors. Signature of Applicant t)tt-C CoorotA%, bTt ((0 Official Title Date For Office Use Only Certificate of Insurance Approved Date 7 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. Name of the sponsoring organization C l �( o /v( - S� Type of Organization it4Lo c: 0C (Service Club, Church, Social Service Agency, etc.. 3. Will the event generate net income or proceeds t the sponsoring organization? Yes (Please proceed to Question 4) \ Nq (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) 8 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) Ce2.....) bt/e3 t it0 Signature Da 9 CITY OF NATIONAL CITY, CALIFORNIA COUNCIL AGENDA STATEMENT MEETING DATE: September21, 2010 AGENDA ITEM NO. 20 EM TITLE: Request from the Spearhead Seniors Group to use a City facility for their monthly senior activities as outlined in the attached staff report. PREPARED BY: Brenda E. Hodges, Director PHONE: X4290 EXPLANATION: See attached. DEPARTMENT: Community Services FINANCIAL STATEMENT: ACCOUNT NO. n/a APPROVED: APPROVED: Approving the request will result in fees and/or deposits as outlined in the attachment ENVIRONMENTAL REVIEW: n/a ORDINANCE: INTRODUCTION: FINAL ADOPTION: Finance MIS STAFF RECOMMENDATION: Provide staff direction as outlined in the attachment BOARD / COMMISSION RECOMMENDATION: n/a ATTACHMENTS: 1. Explanation (2 pages) 2. Facility Use Application (6 pages) 3. MLK Cost Calculation (1 page) Explanation for A200 Mayor and Council Members, As part of the Service Reduction proposals considered at the August 10, 2010 workshop, the City Council voted to close the Senior Center on Fridays, and to stop staffing outside events on Sundays by transitioning the existing groups to new locations. We've encountered some difficulties relocating the Spearhead Group. 'Spearhead Senior Citizens of National City' is a group of approximately 75-100 seniors, 80% of whom are National City residents (Towers). Two Sundays per month, they have been holding events at Kimball Senior Center, which include entertainment, dancing, socializing and serving food. Due to the size of the group, the need for a dance floor, the availability of their membership, and current policy restrictions, we have not yet been able to find them a new location. Most City facilities are closed on Sundays.. The ones that aren't (ie: Casa) are too small. They are a group of seniors on a fixed income, and the $6 fee they charge for attendance barely covers the cost of the food and band. Therefore they have no funding for the cost of facility rental. In the past, the group has met at Kimball Senior Center on the 1st and 3rd Sundays of the month from 9am-4pm for a total of 7 hours/day (x 2 events/mo = 14 hours/mo). The group is requesting the use of MLK on the 1st Sunday of the month only, from 9am-4pm (a total of 7 hours/mo). Council direction is requested. Several options are presented for your consideration: Option 1: Authorize use of MLK, and direct the Community Services Department to sponsor the group since Policy 803 does not allow MLK to be used for dances unless sponsored by a City Department. If they stopped having dances as part of their activities, they could use MLK without sponsorship, but their fees would be $601.65/month (based on the dates/times of their request, the standard fee schedule, estimated attendance). Although they submitted a request to use MLK, it is carpeted and not as conducive to dancing as the tile floor at the Senior Center. Option 2: Direct staff to revise Policy 804 to include this activity as a "Special Event". As a co -sponsored City event, we would be allowed to waive fees of up to $1000/day. Option 3: Allow them to continue using the Senior Center, and direct staff to revise the current fee schedule toinclude provisions to recover costs associated with the cost of Recreation staff. Continued use of Kimball Senior Center would require that we pay a part-time staff member to be present during their event since the room/equipment isn't secure enough to allow groups to use the facility unattended. The fees for Kimball Rec would be: Rec Staff: $77 (7 hours x $11/hour) Custodial: $44 (2 hours @ $22/hour) Chairs/Tables: $49 (60 additional chairs, 4 additional tables) $170 Plus, deposits of: $60/kitchen: refundable $100/cleaning: refundable $50 building use fee: non-refundable Custodial impact: this group requires more tables and chairs than are normally set up for the Senior Center. PW could set these up on Thursday afternoon to eliminate the cost of overtime required to set up on the weekend. The custodial rate is $22/hour during regular hours or $35/hour for overtime. If this option is approved, we will also require that the group clean up after themselves, and require their attendees to wear shoes with non -marking soles, to prevent them from forfeiting their cleaning deposit. We would have to collect fees and deposits every month which would create a lot of paperwork for the group and for the staff. Considerations with Option 3: a) unless Council waives fees/deposits, we will have to collect both on a monthly basis, which increases the paperwork and financial burden for the group. b) if we make allowances for this group, we'll have to be consistent and allow the other groups to continue using Kimball Senior Center on weekends as well, since CSD staff can't impose rules on some and not all. c) Facility Use Fees would need to be revised to allow us to charge for reimbursement of staff time. d) Since part time workers are limited to 999 hours per year, any staff hours used to monitor these events, will reduce the hours they have available for recreation programs throughout the rest of the year. The applicant will be at the Council meeting to answer any specific questions you may have. .. CAUFt}RMIA — ItT1ON[ el IR[ORA$A Tgv The City of National City Facility Use Application 140 E. 12'h 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 i South Room Entire Facility Date(s) of Use: a% • /f / Day(s) of Use: eA-Le/ �! _ <J L' Time of Use: From: : 0 v AM/PM To: q : ®1 M(AM/PM - INCLUDE SET-UP & CLEAN UP TIME Type of Function/Activity: mac -,+.etas z 1 Is the event open to the public? Name & Address of Organization/Group: 5pe24.44,-e Non- profit organization: Ye/ No Tax ID # 3 / /6 c-yo 3 3 Anticipated Maximum Attendance: Will Admission be charged?Amount $ Will this be a Fund Raising Event? Equipment Requested: # of chairs %fa # of banquet tables /e) Stage Podium/Microphone Percentage of National City Residents Use of Kitchen: Yes No) Is the Use of Alcohol Requested? Will other paid services be used (I. e, commercial caterer, DJ, Band, etc)? Name: PILI-Lfe..0 Phone: Name: Phone: **PLEASE ATTACH SEATING DIAGRAM** Use of Gas for Range and Oven: Yes No r f I-Iow many times in the last twelve months have you requested to use a City Facility? / Z/ 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 ham)less 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 Say 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 COI'Y OF THE RULES AND REGULATIONS FOR THE FACILITY REQUESTED, AND I AGREE FOR MY ORGANIZATION/ GROUP TO CONFORM TO ALL OF ITS PROVISION. DATE COMPLETED: � 6,- -/c, PRINT NAME: Vaa- 6A-PC15VN SIGNATURE: / Ja S,��rns�rn Al )DRESS OF APPLICANT: J005/(� t�q t tI t34 CITY, STATE, AND ZIP CODE:.7) .. (T 6..1„ez i/ 9s U PHONE: DAY .1y./fr71 it6}7AK NUMBER: CONTACT PERSON ON THE DAY OF THE EVENT: v /' 4 -Ct>t J` PHONE: 411.471 7 4 n, CELL ) Ltd - '7 HAVE YOUR COPY OF APPLICATION IN POSSESTON DURING USE Please type or print clearly with a Ballpoint pen. Complete application must be submitted and payment submitted in advanced of the event. Cotnmunity Services Staff Only - Rental Amount Received: Receipt Number: Deposit Amount: Deposit/ Key Returned: Check Key issued: YES NO 3 Safety/ Security Please describe your procedures for crowd control and internal security: YES D 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 PUBLIC PROPERTY USE HOLD HARMLESS AND INDEMNIFICATION AGREEMENT Person requesting use of City property, facilities or personnel are required to provide a minimum of S1,000,000 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: 4.(a42Ar. s < ' ?ia7:44-0 ��' *�• Person in charge of activity: ��Gi6A eh Address: //5. .Gyy,( 7.24/ 71a f.‘ oyra.Y 4 d4 ?/ % 6-6 Telephone: t' /9-' ej77,--44G7E-Mail: �" "� City Facilities and/ or property requested: AO", Lr�� ,G'�'L/ ft, ,ems-�'g` T 1 elf Date(s) of use: 1L 7e "777-4n 7/1-- 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. '/- ¢ � s Signature of applicant Certificate of Insurance Approved by ate -6244 A 4,7/ 42,p02 ` Name and Title . C53 D CERTIFICATE OF LIABILITY INSURANCE OP ID S1 DATE 0%oa oe PRODUCER Springbrook Insurance Agency 12975 Brookprinter Pl Ste 120 Poway CA 92064 Phone: 858-391-3001 Fax:858-391-3010 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 RV THE POLICIES BELOW. INSURERS AFFORDING COVERAGE NAIC It INSURED Council of Philippine American P. O. Box 1504 National City CA 91951 INSURER A: St. Paul_ Travelers INSURER E. msuRERc: (INSURER O. --___......____._........--____ —_-. ___.-- INSURER E. ,COVERAGES T HE ANY MAY POLICIES. LTN PoLtCIES REQUIREMENT, PERTAIN, NER OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POL ICY PERIOD INDICATED NOTWITHSTANDING TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR THE INSURANCE AFFORDED RY 1HE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH AGGREGATE LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. TYPE OF INSURANCE POLICY NUMBER POLICY EFFECTIVE POLICY EXPIRATION DATE(MAVDDIYYI , DATE (MMIOOIYY( LIMITS A X GENERAL IX ( GENT 1 LIABILITY COMMERCIAL GENERAL LIABILITY i CI AIMS MADE I X j OCCUR X660406X2933TCT08 04/10/08 I 04/10/09 j I EACH OCCURRENCE $ 1000000 PREMISES( Eaocomce) 3100000 MED EXP MAL one Peron) { $ 5000 FERSONALBAP INJURY GENERAL AGGREGATE $ 1000000 $ 3000000 AGGREGATE LIMIT APPLIES PER: PRO- eCUCY I 1 JECT ECT BLOC i PRODUCTS- COMP/OP AGS 33000000 A A X AUTOMOBILE tJABRJTY �� ANY AUTO I : ALL OWNED AUTOS -SCHEDULED AUWS .X I HIRED AUTOS XNON-OWNED AUTOS _ _....1 _.__._ ________. 1 - X660406P.2933TIL08 { 04/10/08 j 04/10/09 I COMcidest SINGLE LIMIT (Ea accident) $ 1000000 (Per Fnon) BODILYsIuAY (Per emidefltj iS jj I PROPERTY DAMAGE IPA! accident) GARAGE LIABILITY I ANT AUTO ' I AUTO ONLY- EA ACCID NT_ I -_ I $ i OTHER TITAN EA ACC iAUTO 0lJLY: AGG i $ i { EXCESSAINBRELLA 1 TIARKRY OCCUR I I CLAIMS MADE DEDUCTIBLE - RETENTION $ EACH OCCURRENCE $ LAOGREGAIE $ $ $ WORKERS COMPENSATION AND EMPLOYERS' LIABILITY ANY PROPRIET OR,PARTNER,EXFCI ITIVE CLFlCERJMPMDER EXCLUDED?ELL a yes. PRO'un0er SPECIAL*1 PROVISIONS LeIcm INC SIATU- 011-1- ITORY LIMBS L ' ER E.L. EACH ACCIDENT ..____.._..__........___._— . DISEASE - EA EMPLOYEE —._. _. S EL DISFASE • POLICY LIMIT $ OTHER DESCRIPTION OF Certificate Senior Association OPERATIONS! LOCATIONS PfENICLc5 t EXCLUSIONS ADDED BY ENDORSEMENT Holder is named as additional insured J SPECIAL PROVISIONS re: event for Spearhead of National City, South County CATE CANCELLATION KIMBALL 'Kimball Senior Association 1221 P Avenue 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. RUT FAILURE TO DO SO SHALL IMPOSE NO OBLIGATION OR LIABILITY OF ANY KIND UFON THE INSURER. ITS AGENTS OR REPRESENTATIVES. ArfTQh TE I7On9JN4! 4 ACORN CORPORATION 49RR FACILITY USE PERMITS COST CALCULATION WORKSHEET Ic-^nt: Spearhead Date: 1st Sunday every month * TeNU .c� �,�� 9am-4pm (7 hours) 100 people ROOM RENTAL Hourly Rates Total MLK-Dining People South North Entire Qty Charge Notes 0-73 $23.45 n/a n/a $0.00 73-149 n/a $70.36 n/a $0.00 150-221 n/a $87.97 n/a $0.00 222-294 n/a, n/a $117.26 $0.00 MLK- Dance/Assembly 0-100 101-157 $23.45 $29.32 n/a n/a n/a n/a 7 $164.15 $0.00 158-300 n/a $70.36 n/a $0.00 301-472 n/a $87.95 n/a $0.00 472-630 n/a n/a $117.26 $0.00 Rec Centers and Casa any --- --- $23.45 $0.00 $70.36 $0.00 Kimball Senior Center 0-149 --- --- 150-221 I $87.97 $0.00 Note: Service Clubs $100.00 per month $0.00 KITCHEN ($50 min) $10.00 $0.00 iTODIAL Rate ation $22/hr reg, or $35/hr OT $35.00 7 $245.00 Set Up/Clean Up 1-100(2hr), 101-157(4hr), 158-300(6hr $22/hr reg, or $35/hr OT $35.00 2 $70.00 , 301-472(8hr), 473-630(10hr) 1 CHAIRS $0.75 $1.00 150 $112.50 TABLES 10 $10.00 TOTAL FEES $601.65 DEPOSITS Kitchen: Cleaning $60.00 $100.00 Refundable Refundable $0.00 $100.00 1 _ Facility/Building Use Fee $50.00 Non -Refundable 1 $0.00 Key Deposit $100.00 Refundable $0.00 Total Deposits Fees reviewed/confirmed with: Date: ETING DATE: CITY OF NATIONAL CITY, CALIFORNIA COMMUNITY DEVELOPMENT COMMISSION COUNCIL AGENDA STATEMENT September 21, 2010 AGENDA ITEM NO. 21 ITEM TITLE: HUD Monitoring Report of the Community Development Block Grant Program, HOME Investment Partnerships Program, and Lead Based Paint Hazard Control requirements PREPARED BY: Alfredo Ybardizs PHONE: Ext. 4279 EXPLANATION: DEPARTMENT: Community Developm APPROVED BY: FINANCIAL STATEMENT: ACCOUNT NO. Not applicable ENVIRONMENTAL REVIEW: Not applicable. ORDINANCE: INTRODUCTION: FINAL ADOPTION: APPROVED: APPROVED: Finance MIS STAFF RECOMMENDATION: None BOARD / COMMISSION RECOMMENDATION: TACHMENTS: ..—D Monitoring Report U.S. Department of Housing and Urban Development Office of Community Planning and Development Los Angeles Field Office, Region IX 611 W. 6'" Street, Suite 1000 Los Angeles, CA 90017 AUG Chris Zapata, City Manager City of National City 1243 National City Boulevard National City, CA 91950-4301 Dear Mr. Zapata: 2010 SUBJECT: Fiscal Year 2010 On -Site Monitoring Report On -Site Monitoring Review, July 19-22, 2010 Community Planning and Development Entitlement Grant Programs On July 19-22, 2010, Dean Huseby, Community Planning and Development Representatives, monitored the City's Cominunity Development Block Grant (CDBG) and Home Investment Partnerships (HOME) programs carried out during Program Year 2008 (7/1/08-6/30/09). The purpose of the monitoring visit was to determine whether or not the City was in compliance with the CDBG and HOME laws and regulations and effectively administering the programs as outlined in the City's Consolidated Plan and Annual Action Plan and as reported in the Consolidated Annual Performance and Evaluation Report (CAPER). Our staff concentrated on the following program areas: Community Development Block Grant (CDBG) Program a. Eligibility b. National Objectives c. Subrecipient Management d. Overall Management Horne Investment Partnerships (HOME) Program a. Program Progress b. Program and Project Recordkeeping c. Program and Project Monitoring d. Resale or Recapture e. Rental Housing Program f New Homebuyer Program Lead Based Paint The monitoring involved the review of City files and reports, field inspections and interviews with City staff. On July 22, 2010, an exit conference was held on -site with Chris Zapata, Brad Ralston, Alfredo Ybarra, Carlos Aguirre, Frank Riley and Dean Huseby to discuss the results of the monitoring visit. As a result of the monitoring, we have identified two finding and two concerns. A detailed monitoring report is enclosed. Please note that a finding is a deficiency in meeting applicable program requirements for which sanctions or other corrective actions are authorized. A concern is a performance problem not rising to the level of a finding. We would like to recognize the dramatic improvements in administering your programs made during the past three years. Please provide a written response by September 17, 2010. We would also encourage you to respond to the concerns identified in the report. We want to thank your staff for their complete cooperation and prompt responses to our questions throughout the review. If you have any questions, please contact Dean Huseby, Community Planning and Development Representative, at (213) 534-2569. Sincerely, William Vasquez, Director Office of Community Plannin & Development Enclosure cc: Alfredo Ybarra Carlos Aguirre Frank Riley 2 MONITORING REPORT City of National City, California Community Development Block Grant (CDBG) Program Home Investment Partnerships (HOME) Program Lead Based Paint Regulations outlined at 24 CFR Parts 570, Subpart 0, Performance Reviews, establish the authority of the U.S. Department of Housing and Urban Development (HUD) to monitor the City's CDBG Entitlement Program, and outline the general criteria for conducting such reviews. In addition, regulations outlined at 24 CFR Part 92 Subpart L Penfonnuznce Reviews and Sanctions establishes the authority of HUD to monitor the City's HOME Program. On July 19-22, 2010, Dean Huseby, Community Planning and Development Representative, monitored the City's CDBG and HOME Programs. During the visit, our staff sampled several of the City's 2008 and 2009 program year activities. The CDBG review emphasized compliance with national objectives, eligibility, subrecipient and overall management and program progress. The HOME review focused on the City's rental and homebuyer programs along with overall management and beneficiary agreements and program progress. Our staff also reviewed the City's compliance with lead based requirements for the HOME program. ACTIVITIES During our visit, our staff reviewed various aspects of the following programs and activities: CDBG: 1. Christmas in July City Clean -Up Day (2008-582) 2. Christmas in July Office Construction (2007-564) 3. Concrete Improvements (2008-584) 4. Community Youth Athletic Center - Champs for Life Program (2008-593) 5. Burn Institute Senior Fire and Burn Prevention Program 6. National City Library Literacy Services Program (2008-575) 7. National City Living History Farm Preserve (2006-542) 8. Community Food Bank of National City Project Hunger/Project Independence(2008-576) 9. South Bay Community Services Juvenile Diversion Program (2008-578) 10. La Maestral Dental Clinic HOME: 1. Habitat for Humanity — Farah family, 1441 Harding 2_ Casa Familiar— 1111 D Street 3. Summercrest Apartments — 2615 E. Plaza Boulevard Findings & Concerns Findings are made when there is non-compliance with statutory or regulatory requirements. Findings require a response and taus[ be resolved by implementing specific corrective actions. Concerns bring to the attention of the grantee areas in which improvement could be beneficial to the program, and if not addressed could be subject to findings in future program reviews or follow-up visits. Also, concerns are often cited when the nature of the program is not indicative of an overall pattern of program administration. Finally, concerns tend to be a matter of incomplete or inconclusive program details, not the absence of such. Technically, while concerns do not require a response from your agency, they are typically cited to give the City the benefit of any doubt. For some concerns, we have recommended corrective action and requested a response. We hope you will take a moment to discuss the issues identified in this report with us, if there are any questions. The Department made two findings during our recent review of the City's CDBG and HOME Programs and noted two concerns. CDBG ELIGIBILITY/NATIONAL OBJECTIVES As outlined in the regulations at 24 CFR Part 570.200(a)(2), General Policies; Determination of Eligibility -Compliance with National Objectives, each recipient must ensure and maintain evidence that each activity assisted with CDBG funds meets one of the national objectives: 1) Directly benefiting low- and moderate -income persons; 2)Aiding in the prevention or elimination of slums or blight; or 3) Addressing activities which the recipient certifies are designed to meet other urgent needs which pose a serious and immediate threat to the health or welfare of the community where other resources are not available. Such evidence must be maintained in accordance with criteria detailed at 24 CFR Part 570.208 (a-d), Criteria for National Objectives and Part 570_506 Records to be maintained. Regulations at 24 CFR Part 570, Subpart C — Eligible Activities. establish the general policies that govern all programs and activities funded with. CDBG funds. Regulations detailed at 24 CFR Part 570.201-207, Basic Eligible and Ineligible Activities, contain the specific eligibility requirements and criteria that each program or activity must meet. It also defines the standards under which the City's projects were reviewed. Based on field visits, it would appear that each project met the eligibility and national objectives requirements of the CDBG program, except as noted below_ Finding One — Public Facilities and Improvements Condition: The City constructed and/or replaced sidewalks, curbs, gutters and drive approaches in over fifty separate locations in the eligible neighborhoods. Two of the fifty segments were in commercial and industrial locations. The commercial location was 901-907 East Plaza Boulevard. The industrial location was 222 West Plaza Boulevard. Criteria: According to 24 CFR 570.208 (a) (1), "an activity that serves an area that is not primarily residential in character shall not qualify" as an area benefit activity. The regulations for area benefit further state in 24 CFR 570.208 (a) (v), "activities of the same type that serve different areas will be considered separately on the basis of their individual service area." Cause: While the entire program was done in primarily residential areas, the City should not have included the two locations in the scattered -site project. Effect: By including segments in non-residential areas, the City risks not meeting one the national objectives of the CDBG Program. Corrective Action: To correct this violation, the City has two choices: 1) qualify the two sites under another national objective; or 2) reimburse the CDBG Program for the construction cost of the two sites. In addition, the City should revise its internal process to require the Community Development staff to review and approve each location where the Public Works Department intends to make these infrastructure improvements, including change orders. Please provide a copy of its written policies and procedures ensuring that CDBG funds will only be used in residential areas. SUBRECIPIENT MANAGEMENT Federal Regulations (24 CFR Part 570.503) describe the requirements of the City's agreements with its subrecipients. In addition, the regulations list the specific elements that need to be incorporated into these agreements. Section 570.501 indicates that the City's subrecipients are subject to the .same federal requirements to which the grantee is subject. Section 570.502 ties in other federal requirements that affect the City's relationship with its subrecipients. The following agreements were reviewed in this portion of the monitoring visit: 1. Christmas in July Clean Up Program 2. Senior Fire and Burn Prevention Program No findings or concerns were made. PROGRAM PROGRESS Program Progress monitoring consists of a review of the projects and activities to determine whether the City has the continuing capacity to carry out its CDBG and HOME Programs in a timely manner. Included in this review are a sample analysis of projects, observations regarding the City's management and control of the activities to assure timely implementation, and a review of physical development projects to determine adequate progress. Our review included observations regarding the level of overall progress, which is evaluated through an analysis of the City's Line of Credit to determine the amount of CDBG and HOME funds available compared with expenditures. In addition, some of the City's open activities were reviewed and assessed. Review of individual activities included on -site inspections to verify that the amount of work completed appeared consistent with the amount of money expended. We want to recognize that the City has made tremendous strides in addressing its previously identified deficiencies. The following activities were reviewed on -site for progress: 1. Christmas in July Office Construction (2007-564) (Lori Ann Peoples & Vince Reynolds) 2. Concrete Improvements (Carlos Aguirre) 3. Community Youth Athletic Center - Champs for Life Program (Carlos Barragan) 4. National City Living History Farm Preserve (Lori Ann Peoples and others) 5. Habitat for Humanity — Farah family, 1441 Harding (Karen Youel) 6. Summercrest Apartments — 2615 E. Plaza Boulevard (Janet Bianchini & Jarnie Guffey) 7. Granger Hall Preservation (Carlos Aguirre) S. Future project: International Corrununity Foundation community garden (Amy Ca stensen) CDBG Program timeliness has been a major issue with the Department. Pursuant to Section 24 CFR 570.902(a), the standard for timeliness is that sixty days prior to the end of the program year (April 30, 2010), the total amount of entitlement grant funds available in the CDBG account is no more than 1.5 times the current program year funding level. On April 26, 2010, the City's timeliness ratio was already at 1.72. On May 13, 2010, the City was notified that it did not meet the CDBG timeliness requirements and was required to report quarterly on its progress in meeting the April 30, 2011 deadline. A workout plan was to be submitted by the City, and approved by our office on August 12, 2010, that demonstrates how the. City will meet that deadline. If that deadline is not met, the City will have its CDBG funds reduced. Our staff found that the City is making sufficient progress in meeting the April 30, 2011 deadline. For the HOME Program, the City is continuing to make progress in improving its status among California HOME participating jurisdictions. Statewide it had ranked 89'h out of 92 participating jurisdictions earlier in the year and as of June 30th, it had improved its ranking to 68th. The City also met its commitment, reservation and disbursement requirement in the final months this year. The City should however endeavor to make these deadlines earlier in the program year in 2011. Although the Conununity Development Block Grant — Recovery (CDBG-R) Program was not part of this monitoring visit, it should be noted that as of July 15, 2010, the City has 4 disbursed 50% of its grant funds. This compares to an average of 35% for jurisdiction in the Los Angeles Field Office. No findings or concerns were made. OVERALL MANAGEMENT OF TIIE CDBG AND HOME PROGRAMS Conclusions in this program area touch on a wide range of program regulations and are based on evidence of the grantees procedure for, and periodic assessment of each activity funded under the program; tracking systems; program or activity selection in the context of eligibility and national objectives; monitoring; record keeping; and program integrity and controls. Finding Two — ADA Compliance Condition: In 2007, the City funded $50,000 for constructing the Christmas in July warehouse office. Included in the project was a ramp to the front door of the office to provide access to those with disabilities. Criteria: According to 24 CFR 270.614, "the Architectural Barriers Act of 1968 (42 USC 4151-4157) requires certain Federal and Federally funded buildings and other facilities to be designed, constructed or altered in accordance standards that insure accessibility to, and use by, physically handicapped people." Cause: The subrecipient constructed a ramp to provide access to their office; however, it appears that the ramp did not rneet the requirements of the aforementioned Act. Of particular concern, the ramp was constructed without hand railings. Other deficiencies may also exist. It appears that the City did not reimburse the subrecipient for most of the costs associated with the ramp after the violations were identified. Effect: Without meeting the requirements of the Act, the ramp as it was constructed constitutes a hazard and does not adequately provide access to those with disabilities. Corrective Action: Since improvements were made to the building with CDBG funds, the subrecipient must make the facility accessible to those with disabilities. Therefore, the City must conduct a full evaluation of the ramp and identify all deficiencies associated with it. The City must require the subrecipient to tither remove the rarnp or make sufficient alterations to the ramp to meet the Act's requirements. If required, reconstruction of the ramp will be done at the City's expense or any costs paid with CDBG funds that were associated with its initial construction must be reimbursed to the CDBG program. To clear this finding, please provide our office with the course of action the City will take to remedy this situation. Concern One — Monitoring Condition: The City has been remiss in documenting its monitoring of its subrecipients in the past. However in the past couple months; the City has developed a monitoring schedule, 5 checklist and a written process. While two monitoring visits have been initiated using their written process, neither has been concluded. The City's first monitoring visit was in July of 2010_ The City found that the project was completed according to the City's requirements. A photograph was attached to the monitoring form but the rest of the form was not completed because they felt that most of the questions did not apply to the project. The monitoring session of the second subrecipient, Christmas in July, uncovered numerous issues which are in the process of being addressed. Our staff did verify that the City monitored their HOME projects by reviewing the Summercrest Apartment monitoring file. Cause: While the processes are now in place, our staff concluded that the City has not finalized its first two monitoring visits. Therefore our staff was not able to evaluate the effectiveness of their monitoring processes. Effect: Without proper documentation of its monitoring and technical assistance efforts, the City cannot demonstrate that its subrecipients are adhering to the federal regulations. Recommended Action: The City should take necessary steps to finalize both monitoring visits. For the first, the form should be completed or modified to address that type of activity. Regarding Christmas in July, while the City has been effectively using the monitoring to provide the subrecipient with necessary technical assistance, the City should finalize the monitoring form and document its findings. Then in writing, the City needs to put the subrecipient on notice of the issues that need to be addressed and take necessary action to bring the agency into compliance. Please provide copies of the first two completed monitoring visit reports for our review. Concern Two — IDIS Cleanup Condition: The City has made a tremendous effort in cleaning up inaccurate data entries made prior to hiring the current program staff. This is reflective in improving its statewide ranking mentioned earlier in this letter. However, there are some remaining activities that need to he deleted or combined with other activities in IDIS. Cause: There are problems with the following activities that need to be corrected: 1) Activity No. 467 which was entered in as a Citywide New Construction activity where only $7,386 was disbursed and no units constructed. 2) Activity No. 503 which was listed as an acquisition/rehabilitation activity at 1820 G Avenue where $98,500 was disbursed but no units recorded. But there were 8 units constructed at the same location in Activity No. 478. 3) Activity No. 318 which was a 2001 acquisition/new construction activity in the 1200 Block of Fig Court where $24,474 was disbursed for one unit but never closed out. But there were 12 units acquired at the same location under Activity No_ 402. 4) Activity No. 433 which was a 2003 acquisition/new construction for 10 units where only $1,550 was disbursed. This activity was listed as on Fig Court also but no address was listed_ It is presumed that this was the same as Activities Nos. 318 and 402. 6 Staff believes that most of these expenditures were program delivery costs that should be charged to administration. Effect: By giving an activity several activity numbers, the City runs the risk of exceeding its maximum per unit subsidy as required by HOME Program. Recommended Action: The City needs to assess each of the above activities and either combine them with other activities for the same address or if eligible, change the funds to administration, provided it does not exceed the ten percent administrative cap for the HOME program. HOUSING REHABILITATION AND NEW HOMEBUYER PROGRAMS Federal Regulations (24 CFR Part 92.205 (a) (1) allows participating jurisdictions to provide incentives to develop and support affordable rental housing and homeownership affordability through the acquisition (including assistance to homebuyers, new construction, reconstruction, or rehabilitation of non -luxury housing with suitable amenities). The following activities were reviewed during the monitoring visit: 1. Habitat for Humanity — Farah family, 1441 Harding 2. Casa Familiar— 111 1 D Street 3. Summercrest Apartments — 2615 E. Plaza Boulevard There were no findings and concerns. BENEFICIARY AGREEMENTS Federal Regulations (24 CFR Part 92.504 (c) (5) require the participating jurisdiction to enter into a written agreement when it provides assistance to a homebuyer or homeowner and such agreements must conform to the requirements in 24 CFR Part 92.254 (a) or (b) as applicable. The following agreements were reviewed during the monitoring visit: a. Cleanup Program i. CDBG Agreement between the City and Christmas in July h. Sununercrest i. Lease Agreement — Lidia Snell ii. Certificate of Compliance and HUD's Tenant Eligibility and Rent Procedures - Lidia Snell c. Casa Familiar i. Promissory Note secured by deed of trust ii. Covenants, Conditions and Restrictions iii. Deed of Trust 7 d. Ahdihamid Farah and Amran Abdi — 1441 Harding Avenue (Habitat for Humanity Project) i. Secured Promissory Note (First Priority) ii. Promissory Note Secured by Deed of Trust iii. First —Time Homebuyer Promissory Note iv. Promissory Note (AHP Homeownership Set -Aside Programs: IDEA and WISH) v_ Affordable Housing Resale Restrictions, Option to Designate Eligible Purchasers and Option to Purchase upon Default vi. Deed of Trust vii. Sweat Equity Policy Agreement viii. Habitat for Humanity Applicant and Family Information Application for Housing e. Christmas in July Homeowner Application forms and Contract Agreement i. Eiko Cary, 615 E. 16th Street ii. Robert and Milagro Johnson, 2619 E. 6'h Street iii. Bernie McDonald, 1819 La Posada There were no findings and concerns. LEAD -BASED PAINT Federal Regulations (24 CFR Part 92.355 require that housing assisted with HOME funds be subject to the Lead -Based Paint Poisoning Prevention Act (42 U.S.C. 4821-4846), the Residential Lead -Based Paint Hazard Reduction Act of 1992 (42 U.S.C. 4851-4856), and implementing regulations at part 35, subpart A, B, J, K, M and R of this title. All HOME -funded rehabilitation projects were tested for lead -based paint and none of the projects in recent years had lead dust hazards on the property. The following project files were reviewed: 1. 1101-1 l l9 E Avenue 2. 304 E. 5th Street 3. 1111 D Avenue There were no findings or concerns. SINGLE AUDIT COMPLIANCE "this review consisted of an evaluation of the City's performance in fulfilling the most recent audit requirements of the CDBG program in accordance with OMB Circular A-133. The review included post audit verification that the actions proposed by the grantee to clear audit findings, as applicable, have been implemented. This included both actions taken by the grantee prior to clearance of the audit and audit clearance based on promised future actions. Failure by the grantee to implement actions as described in their audit response would have resulted in the re -opening of the finding. Audit Report: Mayer Hoffman McCann, PC Audit lssued: February 10, 2010 Audit Period Fiscal Year ending 06/30/2009 Grant Number: CDBG: B-09-MC-06-0560 & HOME: M-09-MC-06-0522 The above audit report contained no new reportable conditions, questioned costs, or instance of material noncompliance relating to the CDBG program. 9 CITY OF NATIONAL CITY, CALIFORNIA COUNCIL AGENDA STATEMENT MEETING DATE: September21, 2010 AGENDA ITEM NO. 22 M TITLE: Local Armed Services Personnel Recognition. Community Services/ PREPARED BY: Rudy Lopez and Angelita Marchante DEPARTMENT: City Manager's Office PHONE: (619) 336-4560 or (619) 336-4219 APPROVED BY: EXPLANATION: Upon request from the City Council, staff has researched ways the City could recognize members of the Armed Forces with ties to National City. Currently the City recognizes fallen service personnel at the Kimball Bowl War Memorial while WaI-Mart uses their Wall of Honor to recognize local heroes (store currently undergoing remodel) and the National City Chamber of Commerce hosts an annual Salute to Navy Luncheon (City sponsored) and a Salute to Navy Shipboard Reception. Staff has found several examples of how municipalities and private businesses are currently displaying other forms of recognition. Most of the options are budget neutral, however others have a small cost attached to them. The presentation outlines several options for Council consideration. FINANCIAL STATEMENT: APPROVED: Finance ACCOUNT NO. APPROVED: MIS Unknown. Depends on the option approved by Council. ENVIRONMENTAL REVIEW: N/A ORDINANCE: INTRODUCTION: FINAL ADOPTION: STAFF RECOMMENDATION: Approve of the following methods of recognition: 1. Utilization of the lobby monitor to display photos of selected service personnel on a rotating basis 2. Creation of webpages to recognize all local personnel and list resources for service personnel, veterans and their families BOARD / COMMISSION RECOMMENDATION: N/A ATTACHMENTS: City of National City, California COUNCIL AGENDA STATEMENT !EETING DATE September 21, 2010 AGENDA ITEM NO. 23 ITEM TITLE City Council Meeting Schedule — Review and Clarification PREPARED BY Michael R. Dalla n/ EXPLANATION See attached memo DEPARTMENT City Clerk Environmental Review X N/A Financial Statement Approved By: Finance Director Account No. STAFF RECOMMENDATION Review and provide direction. BOARD / COMMISSION RECOMMENDATION N/A ATTACHMENTS ( Listed Below) Resolution No. Memo to Mayor and Council A-200 (9/99) INCt503tPerED OFFICE OF THE CITY CLERK 1243 National City Blvd., National City, CA 91950 619-336-4228 phone • 619-336-4229 fax September 1, 2010 TO: Mayor & Council FROM: City Clerk SUBJECT: City Council Meeting Schedule In looking ahead at the upcoming City Council meeting schedule for the months of October, November, December and January, it is clear that there are some areas that require City Council review and clarification. The regular meeting schedule (if unmodified) will be: October 05 October 19 November 02 November 16 December 07 December 21 January 04 Regular Meeting Regular Meeting Election Day (no meeting) Regular Meeting Regular Meeting Regular Meeting Regular Meeting The issues that need to be considered and addressed by the City Council are as follows: • Due to the fact that there is no meeting on election day (Nov. 2nd) there will be a four -week period between meetings (October 19th — November 16`h) • Due to the furlough closure approved by the Council, City Hall will be closed for two weeks from December 20t through December 30th. Does the Council intend to hold the Regular Meeting on December 21st when City Hall is closed? • With the two week closure in December there will be no public or staff (or limited staff) present to submit items and/or prepare an agenda for the Regular Meeting on January 4th. Does the Council intend to hold or dispense with the January 4th meeting? It would be advisable for the Council to consider the above issues and provide direction as soon as possible to allow proper scheduling and notice for future meeting. r TING DATE: CITY OF NATIONAL CITY, CALIFORNIA COMMUNITY DEVELOPMENT COMMISSION COUNCIL AGENDA STATEMENT September 21, 2010 AGENDA ITEM NO.214 ITEM TITLE: A Resolution of the Community Development Commission of the City of National City adjusting the Section 8 Fund appropriations by $572,200, due to increased rental assistance to families. Section 8 received $1.2 million in Extraordinary Administration Fees to subsidize the additional expenditures. PREPARED BY: FRoxanna E. Galvan, 474:5A- PHONE: Ext. 4269 EXPLANATION: DEPARTMENT' Finance Depgrtment APPROVED B Jeanettetadrido�A Finance Director During the fiscal year 2009-10, the Community Development Commission (CDC) of National City (CA116) experienced unforeseen circumstances which resulted in increase in the operational expenses of its Housing Choice Voucher (HCV) Program. With the current economic conditions, family' contributions towards rent expenses have significantly decreased. In addition, federal and state grants to eligible needy families have also been reduced. The CDC therefore requested and received an extraordinary administrative fees of $1,200,000 from the Department of Housing and Urban Development's (HUD) to be utilized to make rental assistance payments to families at risk of termination as well as for any program improvements that are necessary to improve the management and operation of the HCV program. 4, Section 8 Housing Program exceeded it's total appropriations for FY 2009-10 by $572,200. This amount was ered by the extraordinary administrative fee received by the CDC and appropriations were never adjusted cordingly. It is staffs recommendation that the appropriations for the 'Housing Assistance Payment' line item be increased by the amount exceeding total appropriations ($572,200). _ FINANCIAL STATEMENT: APPROVED: ACCOUNT NO. APPROVED: 502-445-462-602-0000 $572,200 502-45462-3615 $1,200,000 ENVIRONMENTAL REVIEW: N/A ORDINANCE: INTRODUCTION: FINAL ADOPTION: MIS STAFF RECOMMENDATION: Approve the adjustments to the Fiscal Year 2009-10 Section 8 Fund budget. BOARD / COMMISSION RECOMMENDATION: ACHMENTS: achment A - Letter to HUD requesting Extraordinary Administrative Fee Attachment B - EDEN expenditure and revenue reports Attachment C - Resolution „ R -'meni. Ps” The Community Development Commission (CDC) of National City (CA116) has experienced unforeseen circumstances which resulted in increase in the operational expenses of its Housing Choice Voucher (HCV) Program. This increase in Housing Assistance Payments (HAP) coupled with the Department of Housing and Urban Development's (HUD) offset effective June 2009, resulted in a funding shortfall for the Calendar Year 2009 totaling $1,195,389. With the current economic conditions, family' contributions towards rent expenses have significantly decreased. In addition, federal and state grants to eligible needy families have also been reduced. Below are some of income reductions that resulted in decrease in tenants' portion of rent: ➢ State Supplemental Income (SSI) - 41% or 433 families affected ➢ Temporary Assistance to Needy Families (TANF) - 17.39% or 185 families affected ➢ Unemployment Insurance Benefits (UIB) — 4.5% or 48 families lost employment or reduced hours of employment ➢ Child Support — 11.84% or 126 families decreased or stoppage of support due to absent parents' reduction or lost of income Our agency's records indicate a Net Restricted Asset (NRA) of $799,152 as of December 31, 2008. HUD is offsetting $1,025,301 in monthly increments effective June 2009 to December 2009. The offset together with the increase in HAP expenses will result in a shortfall of approximately $1,195,389 for the remaining calendar year of 2009. The average monthly HAP expense is $703,000. HUD's Budget Authority funding for CY 2009 after offset is at $6,436,912 while the agency's projected HAP expenses is at $8,431,453. The agency has taken measures to reduce its expenses such as reduction in payment standard (90% of FMR), downsizing program size by way of attrition (although families tend to hold longer to their vouchers because of the economy) and possibly terminating current participants from the program as a last resort. Currently, the agency has no administrative fee reserve and had utilized its NRA of $799,152 since the start of CY 2009. The CDC is therefore requesting from your Department extraordinary administrative fees of $1,200,000 to be utilized to make rental assistance payments to families at risk of termination as well as for any program improvements that are necessary to improve the management and operation of the HCV program. 1 A staff member of this agency is scheduled to attend a HUD sponsored Financial Reporting for HCV Program seminar on August 24 — 25, 2009 in Philadelphia, PA. Our agency is looking forward for assistance from your Department to mitigate the shortfall and to prevent termination of assistance for HCV participants. Sincerely, Hermi Oliveria Housing Programs Manager CA116 City of National City A chrn 1+- expstat.rpt 08/11/2010 3:32PM Periods: 0 through 14 Expenditure Status Report CITY OF NATIONAL CITY 7/1/2009 through 6/3012010 Page: 1 502 SECTION 8 FUND 404 FINANCE Account Number 045 GENERAL ACCOUNTING SERVICES 045-100 Personnel Services 045-100-0000 PART-TIME SALARIES 045-101-0000 FULL-TIME SALARIES 045-120-0000 DIFFERENTIAL PAY 045-140-0000 WORKERS' COMPENSATION 045-150-0000 HEALTH INSURANCE 045-160 0000 RETIREMENT PLAN CHARGES 045-161-0000 MEDICARE Total GENERAL ACCOUNTING SERVICES 046 REVENUE 8 RECOVERY 046-100 Personnel Services 046-100-0000 PART-TIME SALARIES 046-101-0000 FULL-TIME SALARIES D46-120-0000 DIFFERENTIAL PAY 046-140-0000 WORKERS' COMPENSATION 046-150-0000 HEALTH INSURANCE 046-160-0000 RETIREMENT PLAN CHARGES 046.161-0000 MEDICARE Total REVENUE & RECOVERY Total FINANCE Adjusted Year-to-date Year-to-date • Appropriation Expenditures Expenditures Encumbrances 0.00 0.00 0.00 0 00 0.00 0.00 0.00 000 0.00 0.00 0.00 0.00 0.00 000 0.00 0.00 0.00 1.574.00 1,574.00 10,706 75 10.706 75 662.68 662.68 124 74 124.74 1.329.56 1,329.56 2,83081 2930.81 185.14 185.14 17,413.68 17.413.68 000 000 38.16 38.16 0.95 0.95 0.75 0.75 075 075 8.96 8.96 0.57 0.57 50 14 50.14 17,463 82 17,463.82 Prct Balance Used 0.00-1,574.00 000 000-10,706.75 0.00 0.00 -62.68 0.00 0.00-124.74 0.00 000-1,32956 0.00 000 -2 830 81 0.00 0.00 -185.14 0.00 D.00-17,413.68 0.00 000 0.00 0.00 0.00 -38.16 0.00 0.0D -0 95 000 0.00 -0.75 0.00 0.00 -0.75 0.00 0.00 -8.96 0.00 0.00 -057 000 0.00 50.14 0.00 0.00 -17,46382 0.00 Page: 1 expstatrpt Expenditure Status Report 08/11/2010 3:32PM CITY OF NATIONAL CITY Periods: 0 through 14 7/1/2009 through 6/30/2010 Page: 2 502 SECTION 8 FUND 411 POLICE Account Number 000 OPERATIONS 000.100 Personnel Services Adjusted Year-to-date Year-to-date Prot Appropriation Expenditures Expenditures Encumbrances Balance Used 000-101-0000 FULL-TIME SALARIES 17,995.00 17.095.68 17,095.68 0.00 899.32 9500 000102-0000 OVERTIME 0.00 0_00 0.00 0.00 0.00 0.00 000-120-0000 DIFFERENTIAL PAY 57200 586.83 586.83 0.00 -14.83 10259 000.140-0000 WORKERS' COMPENSATION 156.00 186.94 106.94 000 -30.94 119.83 000-150-0000 HEALTH INSURANCE 2,165.00 2,11533 2.115.33 0.00 49.67 97.71 000-100.0000 RETIREMENT PUN CHARGES 3.863.00 4.066.44 4,066.44 000 -223.44 105.81 000-161-0000 MEDICARE 269.00 268.78 266.7E 0.00 022 99.92 Total POLICE 25.00000 24,320.00 24,320-00 0.00 68000 97.28 Page: 2 expstat.rpt 08/11/2010 3:32PM Periods: 0 through 14 Expenditure Status Report CITY OF NATIONAL CITY 7/1/2009 through 6/30/2010 Page: 502 SECTION 8 FUND 445 COMMUNITY DEVELOPMENT DEPARTMENT Account Number 462 HOUSING 462-100 PART-TIME SALARIES 462-100-0000 PART-TIME SALARIES 462-101-0000 FULL-TIME SALARIES 462-105-0000 LONGEVITY 462-110-0000 AUTO/UNIFORM ALLOWANCE 462-120-0000 DIFFERENTIAL PAY 462-1400000 WORKERS' COMPENSATION 462-1500000 HEALTH INSURANCE 462.151-0000 LTD INSURANCE 462-160-0000 RETIREMENT PLAN CHARGES 462-161-0000 MEDICARE Total PART-TIME SALARIES 462-200 Special Services 462-201-0000 AUDITING SERVICES 462-213-0000 EXPERT & CONSULTANT SERVICES 462-222-0000 MEMBERSHIPS & SUBSCRIPTIONS 462-226-0000 TRAINING 462-230-0000 PRINTING & BINDING 462-234-0000 ELECTRICIN & GAS 462-248-0000 TEL & TEL & TELEGRAPH 462-2500000 POSTAGE 462-258-0000 TRAVEL & SUBSISTENCE 462-2680000 RENTALS &LEASES 462-299-000D CONTRACT SERVICES Total Special Services 462-300 Matenals & Supplies 462-301.0000 OFFICE SUPPLIES 462-3080000 COMPUTER SUPPLIES Adjusted Year-to-date Year-to-date prey Appropriation Expenditures Expenditures Encumbrances Balance Used 31200.00 3,355.50 3.355.50 572206.00 56821565 568215.65 1,248.00 653.18 653.18 360.00 0.00 0 00 10400.00 11 69149 11 691.49 5,157.00 5 758 96 5,758.96 45,359.00 78.428.82 7842882 1,02000 1.076.72 1,078.72 136,380 00 133380.82 133,380.82 8.906.00 8,606.16 8,606.16 812244.00 811,107.30 811,16130 6,000.00 6,000.00 6,000.00 0.00 0.00 000 2500.00 2,101.00 2,101.00 3,138.00 3,138.00 3.138.00 800.00 150.33 15033 2500.00 0.00 0.00 3,690.00 3,684.57 3.684.57 8,500.00 7,677.18 7,677.18 2500.00 846.80 846.80 5100000 44,392.00 44392.00 18,462.00 3,026.34 3,021.34 99,090,00 71,01422 71.014.22 7.510.00 379142 3,791.42 2,400.00 0.00 000 0.00 0.00 0.00 0.00 0.00 000 0.00 0.00 000 0.00 0.00 0.00 000 0.00 000 0.00 2,500 00 543 7846 0.00 0.00 799 34 3,38323 0.00 0.00 27,644.50 10 75 3,990.35 99.30 594 82 5234 36000 000 -1,29149 11242 -601.96 111.67 -33069 82 172.91 -48.72 104.74 2.999-18 97.80 299.84 96,63 1076.70 99.87 0.00 100.00 000 0.00 399.00 8404 0.00 100.00 649.67 18.79 0.00 100.00 000 10000 744.36 91.24 165320 33.87 6.608.00 87.04 14,638.32 20.71 24,692.55 7508 3,71856 50.48 2,40000 0D0 f'ege: 3 expstat-rpt Expenditure Status Report 08/11/2010 3:32PM CITY OF NATIONAL CITY Periods: 0 through 14 7/1/2009 through 8/3012010 Page: 4 502 SECTION 8 FUND 445 COMMUNITY DEVELOPMENT DEPARTMENT Account Number Adjusted Year-to-date Year-to-date Pict Appropriation Expenditures Expenditures Encumbrances Balance Used Total Materials & Supplies 9,910.00 3.791.42 3,791.42 0.00 6,418.58 3826 462-400 Fixed Charges & Debt Services 462435-0000 HOUSING ASSISTANCE PAYMENTS 462-452-0000 UNEMPLOYMENT INSURANCE 462-4920000 CREDIT REPORTS Total Fixed Chown & Debt Services 462-600 Refunds, Contributions & Special Paymnts 462-602-0000 HOUSING ASSISTANCE PAYMENT'S 462-6030000 OTHER GENERAL EXPENSES 462-604-0000 BAD DEBTS EXPENSE 462005-0000 TENANT SERVICES EXPENSE Total Refunds, Contributions 6 Special Paymnts 462-700 CDC GITY SERVICES 462-755-0000 INFO. SYSTEMS MAINT, CHARGE 462775-0000 TELECOMMUNICATIONS CHARGES 462-790-0000 INSURANCE CHARGES Total CDC CITY SERVICES Total COMMUNITY DEVELOPMENT DEPARTMENT Total SECTION 8 FUND Grand Total 000 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0 00 0.00 0.00 0.00 7,703.640.00 8263,24985 8283,249.85 0.00 0.00 7.693.44 7,69344 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 770364000 8,290,94329 8290,94329 000 10,777.00 10,776.96 10,776.96 7,335.00 7,335.00 7.335.00 28224 00 28,224 00 28,224.00 46,336.00 46,33596 46,335.96 8,671220.00 9223,252.19 9,223,252.19 0.00 000 0.00 0 00 579,609.05 -7.693.44 0.00 -587,303.29 0.00 000 0.00 0.00 107.52 yr 0.00 0.00 0.00 107.62 0.00 D.04 100.00 D.00 0.00 100.00 0.00 0.00 100.00 0.00 004 100.00 3,38323-555,415 42 106.41 8,696220.00 9 265,036 01 9265,036.01 3,36323-572.199 24 106.58 8,696220.00 9265.036.01 9 265,036.01 3,38323 -572,199.24 106 58 Page: 4 RESOLUTION NO. 2010 — RESOLUTION OF THE COMMUNITY DEVELOPMENT COMMISSION OF THE CITY OF NATIONAL CITY AUTHORIZING THE FINANCE DIRECTOR TO ADJUST THE SECTION 8 FUND APPROPRIATIONS BY $572,200, DUE TO INCREASED RENTAL ASSISTANCE TO FAMILIES WHEREAS, during Fiscal Year 2009-2010, the Community Development Commission of the City of National City ("CDC") experienced unforeseen circumstances that resulted in an increase in the operational expenses of its Housing Choice Voucher ("HCV") Program; and WHEREAS, accordingly, the CDC requested and received an extraordinary administrative fee of $1,200,000 from the Department of Housing and Urban Development ("HUD") for rental assistance payments to families at risk of termination as well as for any program improvements that are necessary to improve the management and operations of the HCV program; and WHEREAS, a portion of the funds provided by HUD were used for the Section 8 Housing Program, which exceeded its total appropriations for FYI 2009-2010 by $572,200; and WHEREAS, staff recommends an increase in the appropriations for the Housing Assistance Payment line item in the amount of $572,200. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of National City that the Finance Director is authorized to adjust the Section 8 Fund appropriations by $572,200 for Fiscal Year 2009-2010. PASSED and ADOPTED this 21st day of September, 2010. Ron Morrison, Chairman ATTEST: Brad Raulston, Secretary APPROVED AS TO FORM: Claudia G. Silva General Council, CDC ETING DATE: CITY OF NATIONAL CITY, CALIFORNIA COMMUNITY DEVELOPMENT COMMISSION COUNCIL AGENDA STATEMENT September 21st, 2010 AGENDA ITEM NO. *5 ITEM TITLE: Authorize the reimbursement of Community Development Commission expenditures in the amount of $81,109.11 to the City of National City for the period of 8/11/10 through 8/17/1Q PREPARED BY: 1K. Apalategui PHONE: 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 expenditures for the CDC. DEPARTMENT: APPROVED BY: Attached is a detailed listing of all CDC warrants paid for with the City General Funds. Staff requests approval of the reimbursement of CDC activity. FINANCIAL STATEMENT: ACCOUNT NO. APPROVED: APPROVED: Approve the reimbursement of funds to the City of National City in the amount of $81,109.111 ENVIRONMENTAL REVIEW: N/A; ORDINANCE: INTRODUCTION: FINAL ADOPTION: 1 Finance MIS STAFF RECOMMENDATION: Accept and File. BOARD / COMMISSION RECOMMENDATION: 1N/A ACHMENTS: vvarrants for the period of 08/11/10 through 08/17/10 COMMUNITY DEVELOPMENT COMMISSION Warrant Register # 7 8/17/2010 502 SECTION 8 FUND 505 HOME FUND 511 TAX INCREMENT FUND 522 LOW/MODERATE HOUSING FUND 335.60 1,250.00 78, 021.38 1,502.13 81,109.11 PAYEE COMMUNITY DEVELOPMENT BEARD BOOT WORLD EDCO DISPOSAL CORPORATION HOGLE IRELAND INC KEYSER MARSTON ASSOC LASER SAVER INC NAPA AUTO PARTS NBS OPPER & VARCO PACIFIC BUSINESS CAPITAL CORP PRO BUILD PRUDENTIAL OVERALL SUPPLY SAN DIEGO BUSINESS JOURNAL SAN DIEGO CLIPPING SERVICE SDG&E UTH COUNTY ECONOMIC 4PLES ADVANTAGE STRATACOM TIERRA WEST ADVISORS INC WESTFLEX INDUSTRIAL DELTACARE (PMI) WADE & ASSOCIATES WADE & ASSOCIATES SECTION 8 SECTION 8 HAPS PAYMENTS COMMUNITY DEVELOPMENT COMMISSION WARRANT REGISTER #7 8/17/2010 DESCRIPTION SOFTWARE FOR SPEC WRITING SUSTAINABILITY PILOT PROJECT MOP# 64096. SAFETY BOOTS WASTE DISPOSAL FOR CDC CONSULTANT AGREEMENT / JUNE 2010 ECONOMIC CONSULTING SERVICES MOP# 45725. TONER MOP# 45735. CAR WASH SOLUTION LANDSCAPE MAINT DISTRICT SERVICES EXPERT & CONSULTANT EQUIPMENT RENTAL MOP# 45707. LADDER - SCRUBS MOP# 45742. LAUNDRY SERVICE MEMBERSHIP AND SUBCRIPTION NEWS READING AND CLIPPING SERVICE GAS AND ELECTRIC UTILITIES FOR CDC SCEDC MEMBERSHIP 2010/2011 MOP# 45704. OFFICE SUPPLIES MOP# 63845. ENVELOPES TIERRA WEST ADVISORS - JULY 2010 MOP# 63850. PAINTING SUPPLIES DENTAL INS PM! AUG 2010 ON CALL SERVICES / JUNE 2010 ON CALL SERVICES / APRIL 2010 Start Date End Date 8/11/2010 8/17/2010 CHK NO DATE AMOUNT 237790 8/17/10 1,050.00 237824 8/17/10 200.00 237825 8/17/10 215.29 237826 8/17/10 104.75 237827 8/17/10 427.50 237828 8/17/10 13,589.63 237829 8/17/10 241.34 237830 8/17/10 8.76 237831 8/17/10 935.68 237832 8/17/10 1,681.50 237833 8/17/10 390.00 237834 8/17/10 86.72 237835 8/17/10 13.34 237836 8/17/10 59.00 237837 8/17/10 144.00 237838 8/17/10 19.56 237839 B/17/10 7,500.00 237840 8/17/10 423.78 237841 8/17/10 109.76 237842 8/17/10 11, 223.75 237843 8/17/10 233.33 237856 8/17/10 1.92 237878 8/17/10 34,220.50 237879 8/17/10 8,229.00 A/P Total $ 81.109.11 0.00 GRAND TOTAL $ 81,109.11 ETING DATE: CITY OF NATIONAL CITY, CALIFORNIA COMMUNITY DEVELOPMENT COMMISSION COUNCIL AGENDA STATEMENT September 21st, 2010 AGENDA ITEM NO.26 ITEM TITLE: authorize the reimbursement of Community Development Commission expenditures in the amount of $110,128.06 to the City of National City for the period of 8/18/10 through 8/24/10 PREPARED BY: K. Apalateg0 DEPARTMENT: PHONE: 619-336-43311 APPROVED BY: 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 expenditures for the CDC. Attached is a detailed listing of all CDC warrants paid for with the City General Funds. Staff requests approval of the reimbursement of CDC activity. FINANCIAL STATEMENT: ACCOUNT NO. APPROVED: APPROVED: Approve the reimbursement of funds to the City of National City in the amount of $110,128.06 ENVIRONMENTAL REVIEW: N/A ORDINANCE: INTRODUCTION: 1 FINAL ADOPTION: Finance MIS STAFF RECOMMENDATION: Accept and File. BOARD / COMMISSION RECOMMENDATION: IN/A rACHMENTS: ivvarrants for the period of 08/18/10 through 08/24/10 COMMUNITY DEVELOPMENT COMMISSION Warrant Register # 8 8/24/2010 502 SECTION 8 FUND 505 HOME FUND 511 TAX INCREMENT FUND 522 LOW/MODERATE HOUSING FUND 23, 841.82 3,666.49 78,787.15 3,832.60 110,128.06 COMMUNITY DEVELOPMENT COMMISSION WARRANT REGISTER #8 8/24/2010 PAYEE CHRISTENSEN & SPATH LLP EQUIFAX INFORMATION SVCS GE CAPITAL LASER SAVER INC N C CHAMBER OF COMMERCE PACIFIC BUSINESS CAPITAL CORP SDG&E STAPLES ADVANTAGE SWEETWATER AUTHORITY UNION -TRIBUNE PUB. CO. VERIZON WIRELESS HDL COREN & CONE SECTION 8 ::TION 8 HAPS PAYMENTS PAYROLI. Pay period Start Date 17 7/27/2010 DESCRIPTION LEGAL SERVICES FOR CDC CREDIT CHECK FOR SECTION 8 INSTALLMENT FOR COPIER / CDC MOP# 45725. INK CARTRIDGES SERVICES FOR JULY, AUG & SEPT EQUIPMENT RENTAL GAS AND ELECTRIC UTILITIES FOR CDC MOP# 45704. OFFICE SUPPLIES WATER UTILITIES FOR CDC PUBLICATION OF PLANNING COMMISSION VERIZON WIRELESS SERVICE / SEC 8 PROPERTY TAX JULY-SEPTEMBER 2010 Start Date 8/18/2010 End Date 8/9/2010 End Date 8/24/2010 Check Date 8/18/2010 CHK NO DATE AMOUNT 237884 8/24/10 1,580.00 237885 8/24/10 50.00 237886 8/24/10 420.86 237887 8/24/10 271.55 237888 8/24/10 12,500.00 237889 8/24/10 195.00 237890 8/24/10 83.13 237891 8/24/10 66.61 237892 8/24/10 136.74 237893 8/24/10 909.60 237894 8/24/10 356.04 237922 8/24/10 1,200.00 A/P Total $ 17,769.53 3,242.93 89,115.60 GRAND TOTAL $ 110,128.06 ETING DATE: CITY OF NATIONAL CITY, CALIFORNIA COMMUNITY DEVELOPMENT COMMISSION COUNCIL AGENDA STATEMENT September 21, 2010 AGENDA ITEM NO. 27 ITEM TITLE: Resolution approving an Exclusive Negotiating Agreement with Senior Village Housing Partners, LLC, a limited liability company based on a competitive Request for Qualifications process conducted for consideration of an expansion and enhancement of the Kimball and Morgan Tower project site to include rehabilitation of the existing buildings and the addition of approximately 200 new affordable senior units. PREPARED BY: Alfredo Ybarra DEPARTMENT: Community Developmen PHONE: Ext. 4279 APPROVED BY: EXPLANATION: As part of the General Plan update, the City is focusing specific planning and implementation efforts on several key projects within each of the City's three community planning areas. The Senior Village Expansion, in the Kimball Community, has been identified as one of the major projects that the General Plan will address through specific action plans. In early 2010, the City's consultant, KTGY Group, Inc., prepared a conceptual plan for the expansion of the existing Senior Village complex. The current facility is comprised of two 9-story towers (Kimball and Morgan Towers) with a total of 303 senior apartments, the Nutrition Center, and the Senior Center building. The conceptual plan proposed 200 additional low-rise (up to four stories) senior apartments that would be integrated into the site, a medical services building, and a new senior center. On February 2, 2010, City Council provided staff direction to prepare a request for qualifications for the future design and development of the site. A detailed explanation of this process and the Exclusive Negotiation Agreement ("ENA") presented f^, consideration with this staff report are explained in the attached Background Report. FINANCIAL STATEMENT: ACCOUNT NO. APPROVE �� Finance APPROVED: MIS The CDC will bear costs and expenses (including legal fees and staff time) incurred during the Exclusive Negotiating Period for the purpose of preparing the ENA and fulfilling its obligations under the ENA. ENVIRONMENTAL REVIEW: As required, review under the California Environmental Quality Act will be required prior to a development agreement being presented to the City Council/Community Development Commission. ORDINANCE: INTRODUCTION: FINAL ADOPTION: STAFF RECOMMENDATION: Adopt the resolution BOARD / COMMISSION RECOMMENDATION: 'ACHMENTS: 1. Background Report 2. Proposed ENA 3. RFQ Submittal RESOLUTION NO. 2010 — RESOLUTION OF THE COMMUNITY DEVELOPMENT COMMISSION OF THE CITY OF NATIONAL CITY AUTHORIZING THE CHAIRMAN TO EXECUTE AN EXCLUSIVE NEGOTIATING AGREEMENT WITH SENIOR VILLAGE HOUSING PARTNERS, LLC, BASED ON A COMPETITIVE REQUEST FOR QUALIFICATIONS PROCESS CONDUCTED FOR CONSIDERATION OF AN EXPANSION AND ENHANCEMENT OF THE KIMBALL AND MORGAN TOWER PROJECT SITE TO INCLUDE REHABILITATION OF THE EXISTING BUILDINGS AND THE ADDITION OF APPROXIMATELY 200 NEW AFFORDABLE SENIOR UNITS WHEREAS, the Community Development Commission of the City of National City ("CDC") owns approximately 7.1 acres at 1317 and 1415 D Avenue, commonly referred to as the Kimball and Morgan Towers site (Assessor Parcel Numbers 561-410-06-00, 561-410-05- 00, and 561-410-04-00) ("Senior Village"); and WHEREAS, the CDC is interested in having the Senior Village site developed, expanded, and enhanced to include 200 additional low-rise senior apartments that would be integrated into the existing Senior Village site, the removal of the existing senior center and the development of a new center, and the conversion of asphalt parking lots to gardens and park features (the "Project") all of which was part of a Request for Qualifications previously issued; and WHEREAS, the Housing Element (a required section in the General Plan) lays out an objective of continuing to provide housing opportunities and improve the housing stock to accommodate the high percentage of low income senior households; and WHEREAS, the CDC issued a Request for Qualifications seeking qualifications from experienced non-profit or for -profit developers to enter into an Exclusive Negotiation Agreement to complete due diligence and design, followed by a Disposition and Development Agreement to upgrade existing structures and expand senior living facilities; and WHEREAS, The Chelsea Investment Corporation, Senior Community Centers, and Housing Development Partners (collectively, "Developer") responded jointly to the RFQ to partner in development and rehabilitation of the Senior Village, and to provide resident services for all affordable housing residents in the Project; and WHEREAS, the Developer has formed a partnership known as Senior Village Housing Partners, LLC; and WHEREAS, the Developer is interested in developing an affordable senior housing development, consisting of approximately 200 affordable residential units, and rehabilitating and enhancing the existing buildings and common area; and WHEREAS, the CDC, and Senior Village Housing Partners, LLC, desire to enter into an Exclusive Negotiating Agreement to initiate exclusive negotiations for up to three hundred and sixty-five (365) days (hereafter referred to as "Exclusive Negotiation Period") to allow Senior Village Housing Partners, LLC, to (i) undertake due diligence activities regarding the Project; (ii) prepare a market feasibility study; (iii) develop a pro forma showing the fiscal feasibility; (iv) obtain the necessary debt and financing; (v) develop the conceptual Resolution No. 2010 — Page 2 development plan of the Project; (vi) establish the responsibilities, schedule, and financial parameters for developing the Project; and (vii) negotiate a Disposition and Development Agreement. NOW, THEREFORE, BE IT RESOLVED that the Community Development Commission of the City of National City hereby authorizes the Chairman to execute an Exclusive Negotiation Agreement with Senior Village Housing Partners, LLC, for an expansion and enhancement of the Kimball and Morgan Tower Project site to include rehabilitation of the existing buildings and the addition of approximately 200 new affordable senior units. Said Exclusive Negotiation Agreement is on file in the office of the City Clerk. PASSED and ADOPTED this 21st day of September, 2010. Ron Morrison, Chairman ATTEST: Brad Raulston, Secretary APPROVED AS TO FORM: Claudia G. Silva General Council, CDC Attachment 1 Background The General Plan: In 2009, the City of National City has embarked on a journey to update its General Plan. California law requires every city and county to adopt a general plan to guide its physical development. A general plan states the desired vision for the community's future and contains policies to achieve this vision by guiding the way land is developed and used. As part of the General Plan update, the City is focusing specific planning and implementation efforts on several key projects within each of the City's three community planning areas. The Senior Village Expansion, in the Kimball Community, has been identified as one of the major projects that the General Plan will address through specific action plans. Community Need and Relevance to General Plan: Currently the Kimball and Morgan Towers are located on an underutilized site. The existing structures are dated and are in need of rehabilitation (Kimball built in 1986 and Morgan in 1978). Additionally, the availability of senior housing in National City is far below demand. Morgan and Kimball Towers have a 1.5-3 year waiting period and other affordable senior housing facilities within the city are experiencing comparable waiting periods. These trends will be amplified in the coming years as the baby boom generation continues to move into senior status and by the fact that people are living longer. National City's I-Iousing Element (a required section in the General Plan) lays out an objective of continuing to provide housing opportunities and development of programs to improve the existing housing stock. The Housing Element calls for an expansion of affordable housing opportunities to accommodate the high percentage of low income and senior citizens. The General Plan calls for continued infill development to achieve this expansion. The expansion and enhancement of Kimball -Morgan is in line with each of these objectives. The Project Site: The project site is located in central National City, within the Kimball Community. It is across the street from Kimball Park, and near Wal-Mart and other commercial businesses, the Boys and Girls Club, a Fire Station, a health center, and civic facilities. The project site is approximately 7.10 acres located on D Avenue between Kimball Way and 15°i Street in National City. Currently, the site is comprised of two 9-story senior housing complexes (Kimball and Morgan towers), a Nutrition Center, and Senior Center building. There are a total of 303 units between the 2 towers: 151 units at Kimball Tower (149 affordable units and 2 units for managers), and another 152 at Morgan Tower (151 affordable units, and 1 unit for the assistant manager). Conceptual Plan: The City's consultant, KTGY Group, Inc., prepared a preliminary conceptual plan for this expansion and enhancement project. The conceptual plan proposed 200 additional low-rise (up to four stories) senior apartments that would be integrated into the existing Kimball -Morgan site, the removal of the existing senior 1 center (currently on the Southeastern corner of D Ave and Kimball Way) and development of a new center, and the conversion of asphalt parking lots to gardens and park features. Additionally, in partnership with a local medical services provider, a medical services building may also be developed Request for Qualifications: On February 2, 2010, the Community Development Commission (CDC) directed staff to prepare a request for qualifications for the design and development of the Kimball -Morgan site located at 1317 and 1415 D Avenue. Kimball and Morgan Towers are owned by the CDC and help serve National City's affordable senior housing needs. On March 1, 2010, staff released a request for qualifications in pursuant of a qualified and experienced non-profit or for profit developers to enter into an Exclusive Negotiations Agreement to complete the due diligence and design, followed by a Disposition and Development Agreement to upgrade existing structures and expand senior living facilities. On April 1, 2010, the CDC received 14 Statement of Qualifications from non profit and for profit developers. From the 14 submittals, six were short-listed and invited to participate in the interview process. Based on the development team presentations and interview panel scoring, the panel selected and recommended Chelsea Development Corporation. Chelsea Investment Corporation in collaboration with Senior Community Centers and Housing Development Partners submitted a response to Community Development Commission's Request for Qualifications for the Senior Village Expansion and Enhancement Project. Chelsea Investment Corporation, Senior Community Centers, and Housing Development Partners proposed to collaborate to serve as the Development Team for the Seniors Village project. Both Senior Community Centers and Housing Development Partners will be involved in key development decisions such as site planning, financial structuring, and property management as well as participation in the tax credit Limited Partnership entity. In addition, Senior Community Centers will provide service provision, using their nationally recognized model as described below. Development Team Experience: Chelsea Investment Corporation has successfully partnered in the recent past with both Senior Community Centers and Housing Development Partners to create numerous affordable housing communities for the senior population in San Diego. Given the size of the Seniors Village expansion and enhancement project, principals of the three organizations felt that it was important to collaborate and utilize the collective experience of all three groups in order to successfully create an award -winning project for the City of National City. Senior Community Centers A 501(c)3 corporation, Senior Community Centers' mission is to provide quality and compassionate services for the survival, health, and independence of seniors living in 2 poverty. Senior Community Centers utilizes a holistic approach to assessing, planning, and implementing their services to address all of the issues that affect low-income seniors including meals, stable housing, and health and wellness. Senior Community Centers is the only organization in the State of California, and one of just a few in the country, which provides the breadth of services for this population. Senior Community Centers' Senior Nutrition Program operates 12 nutrition centers in downtown San Diego, East County and South Bay. Seven of these sites were added to Senior Community Centers portfolio when the County of San Diego asked Senior Community Centers to expand to the South Bay and East County area, based on the record of efficiency from a cost and production standpoint as well as the holistic wellness services provided by Senior Community Centers' staff. Food is many of their clients' most immediate need as many seniors can only afford one meal a day. Access to a regular source of nutritious food is critical to those suffering from the increased nutritional demands of aging or chronic and life -threatening illnesses. Two meals a day are provided free of charge to seniors at the center and at all of Senior Community Centers' senior housing communities. Senior Community Centers also currently operates Broadway Center, their flagship center, in downtown San Diego. At this center, seniors have access to the full array of the Health and Wellness program, which focuses on preventative health care, as well as addresses the barriers the typical compromise the well being of seniors living in poverty. The comprehensive integrated network of vital services include social service case management, nurse case management, mental health services, transitional and permanent housing, information and referrals to other agencies, as well as daily meals and nutritional counseling and recreational opportunities. Senior Community Centers has just completed construction of a new flagship center, the Gary and Mary West Senior Wellness Center, which will be a few blocks from their Broadway location. This Center will incorporate and expand upon all the services provided at the Broadway location in a building owned and operated by Senior Community Centers. It is widely believed that the West Senior Wellness Center will be the most advanced facility of its kind in the country. Senior Community Centers envisions a complementary center at the Seniors Village site for National City, which would significantly enhance the living environment for the seniors at Seniors Village. In addition to the Broadway Center and West Senior Wellness Center, Senior Community Centers also operates a transitional housing complex in the downtown San Diego area, and have developed and manage, in conjunction with Chelsea Investment Corporation, two supportive housing projects. Potiker Family Senior Residence (formerly called Market Square Manor) is located in downtown San Diego and has 200 studio units, with property management, supportive health and wellness services, and nutrition provided on -site. It is also the location of Senior Community Centers commercial kitchen, which was constructed at a cost of over $1,000,000, with the capacity to produce over 5,000 meals per day for distribution throughout the County. Potiker was financed with a grant of $2,200,000 from the Centre City Development 3 Corporation and a gift of $1,000,000 from the Potiker Family Trust, in addition to traditional affordable housing financing sources. City Heights Square has 150 studio and one -bedroom units and is located on 43`d Street in the City Heights neighborhood in San Diego. Supportive services, including a onsite nurse, health assessment and referrals, meals, and social activities planned through a full time service coordinator are available at this property, which targets seniors at slightly higher income levels than the Potiker property. It was financed with low income housing tax credits and a grant of over $9,100,000 from the San Diego Redevelopment Agency. Housing Development Partners As an affiliate of the San Diego Housing Commission, Housing Development Partners, a 501(c)3 non-profit public benefit corporation, has collaborated with affordable housing developers to create, preserve, and expand affordable housing opportunities for the residents of the City and County of San Diego since 1990. As an affiliate of the San Diego Housing Commission, Housing Development Partners' mission is to undertake especially challenging projects that could not be developed without their unique corporate capabilities and financial capacity. Housing Development Partners operates without receiving subsidies from the San Diego Housing Commission. In its early years, Housing Development Partners was active in the preservation of HUD Section 236 and 221(d) developments with expiring regulatory agreements and has continued to create and preserve affordable housing in San Diego through the construction and rehabilitation of nearly 800 apartment units. Housing Development Partners currently is a Managing General Partner in six projects (799 units) including two seniors projects, one of which was developed in partnership with Chelsea Investment Corporation called Dawson Senior Apartments. Dawson is an 88 unit complex located in the City Heights neighborhood of San Diego. Financed with 9% tax credit equity, it is a dense project located on a topographically challenging infill site. It includes solar panels and an extensive public art component. Dawson was completed in March 2010. I -lousing Development Partners will collaborate with the other two Development Team members to provide key insights to the site plan and concept, financial structuring, and property management. Housing Development Partners has broad and varied experience in matters relating to performing tax credit Managing Partner duties and providing focused attention to compliance details, as well as extensive experience in the complexities of affordable housing finance. Housing Development Partners' leading strength is its ability to innovatively seek and obtain awards of loans and grants for affordable housing developments requiring creative solutions. Its 20 year track record of successful affordable housing production demonstrates its qualifications and capacity to be a highly skilled member of the collaborative team. Chelsea Investment Corporation Chelsea Investment Corporation ("Chelsea") is a real estate company focused on the financing and development of affordable housing. Having developed over 5,600 units of 4 affordable housing since 1995, Chelsea meets and exceeds the level of experience necessary to develop affordable housing in today's difficult financing atmosphere. Chelsea has experience financing suburban, urban infill, rural, redevelopment, acquisition -rehabilitation, and special needs projects with a variety of non-profit partners. In addition to the partnerships described above with Senior Community Centers and Housing Development Partners, Chelsea has also partnered with other nonprofit groups such as St. Vincent de Paul, the Salvation Army, Comite de Bien Estar, Pacific Southwest Community Development Corporation and Southern California Housing Collaborative (developmentally disabled population). In the last five years, Chelsea has developed almost 2,000 apartment homes in San Diego, Imperial, Sacramento and Yuma (AZ) counties. Of those 23 projects, three have closed within the last 120 days and three more will close within the coming 90 days, which shows Chelsea's strength and ability to find lenders and investors for affordable housing projects in a time where many deals are failing for lack thereof. Of those 5,914 apartment homes (56 projects), 1,913 are located in urban infill environments, 2,384 are located in suburban environments, and 1,617 are located in rural areas. Approximately 413 units are senior projects and over 1,000 units are supportive housing. Additionally, while Chelsea has primarily focused on new construction projects, the company has developed 929 units in seven separate projects through acquisition and rehabilitation. Over 4,000 units (42 projects) have been developed with some sort of soft residual receipts loans through public -private partnerships with the federal, state or local government, with over 2,100 units financed specifically though Redevelopment Agency or Housing Commission funding. Chelsea Investment Corporation has strong relationships with numerous financial institutions. As demonstration of these relationships, Chelsea was able to close three transactions in the fall of 2008 as the financial markets were imploding (Beachwind and Tierra del Cielo, both 4%), two in the fall 2009 (Cedar Creek and Silversage, both 4%) and one in January 2010 (Verbena - 9%). Two additional transactions closed in 2010 (156 and Commercial - exchange financing and Oakridge - 4% and state credits). These transactions include both 4% and 9% equity purchases as well as tax-exempt bond private placement in combination with local, state, and federal subsidies. In sum, Chelsea Investment Corporation, as well as Senior Community Center and Housing Development Partners, are highly skilled in identifying, applying, and winning non -City funding sources in order to reduce the City's investment in this multi -phased affordable housing project. Exclusive Negotiating Agreement (ENA): The development team that includes Chelsea Investment Corporation, Housing Development Partners, and Senior Community Centers formed the Senior Village Ilousing Partners, LLC, a limited liability company. The Senior Village Housing Partners, LLC, has requested to develop and enhance the Kimball and Morgan property and has asked the Community Development Commission to set aside a period of time in which they can work exclusively with Community Development Commission staff to develop a project description and design 5 that might meet with the Community Development Commission's vision for the site. The Agreement presented for consideration would allow a 365-day period for the requested exclusivity and allows the CDC Chairman to extend the expiration date for up to an additional ninety (90) days if she/he determines Developer has negotiated in good faith. The purpose of this Exclusive Negotiating Agreement and its terms is to encourage the timely revitalization of the underutilized Kimball and Morgan Tower site. It requires that a Market Feasibility Study be submitted to the CDC within 30-days of the date of the ENA. Within 60 days of the date of the ENA, the Developer must submit to the CDC a pro forma showing the fiscal feasibility for all aspects of the proposed project. Developer must demonstrate that it can and will obtain the necessary debt and equity financing, within 90 days of the date of the ENA. Conceptual plans for the development of the entire project must be delivered to the CDC within one -hundred eighty (180) days after the date of the ENA. Conclusion In conclusion, the collaboration between Chelsea Investment Corporation, Senior Community Centers, and Housing Development Partners, creates a unique partnership that can execute this complicated expansion and enhancement project. Each member of the team brings expertise in affordable housing finance, senior services provision, and financial capability. With this, Community Development Commission staff recommends that the Community Development Commission Board adopt the resolution approving an Exclusive Negotiating Agreement with Senior Village Housing Partners, LLC, a limited liability company, for the expansion and enhancement regarding the Senior Village site and authorizing the Chairman to execute the agreement. 6 Attachment 2 EXCLUSIVE NEGOTIATION AGREEMENT By and Between COMMUNITY DEVELOPMENT COMMISSION OF THE CITY OF NATIONAL CITY And SENIOR VILLAGE HOUSING PARTNERS, LLC THIS EXCLUSIVE NEGOTIATION AGREEMENT (hereafter referred to as "ENA") is entered into this 21 st day of September, 2010, by and between the COMMUNITY DEVELOPMENT COMMISSION OF THE CITY OF NATIONAL CITY, a public body, corporate and politic (hereinafter referred to as "CDC"), and Senior Village Housing Partners, LLC, a limited liability company (hereinafter referred to as "DEVELOPER"), on the terms and provisions set forth below. RECITALS WHEREAS, in furtherance of the goals and objectives of the Redevelopment Plan for the National City Redevelopment Project Area, which was adopted and amended by ordinances of the City Council of the City of National City, and the Community Redevelopment Law of the State of California (California Health an Safety Code 33000), CDC and DEVELOPER desire to enter into negotiations concerning the development of certain land and the rehabilitation of the existing improvements, Kimball and Morgan Towers (defined below as "PROJECT"); and WHEREAS, the CDC currently owns certain real property (Assessor Parcel Numbers 561-410-06-00, 561-410-05-00, 561-410-04-00), approximately 7.1 acres, known as the Senior Village, located on the south-southwest side of Kimball Way east of D Avenue and north of East 15`h Avenue within the Redevelopment Project Area of the City of National City, as further described herein (hereafter referred to as "PROJECT SITE"); and WHEREAS, it is those portions of the above described properties which are located within the City of National City (CITY), that are intended to be the subject of this Exclusive Negotiation ENA (ENA); and, WHEREAS, the CDC desires to have the DEVELOPER pursue development of the PROJECT and consents to DEVELOPER pursuing and engaging in this ENA; and, WHEREAS, the CDC and the DEVELOPER desires to enter into this ENA to initiate exclusive negotiations for up to three hundred and sixty five (365) days (hereafter referred to as "EXCLUSIVE NEGOTIATION PERIOD") to allow the DEVELOPER to (i) undertake due diligence activities regarding the PROJECT; (ii) design the PROJECT; (iii) establish the responsibilities, schedule, and financial parameters for developing the PROJECT for the part of the PROJECT which is located within the CITY; (iv) negotiate the purchase priceof the CDC PROJECT; (v) assemble other properties; and (vi) negotiate a Disposition and Development ENA (hereafter referred to as "DDA"). SDCA_280013.2 Department of Housing and Urban Development (HUD), 3 market -rate units, and I unit for the assistant manager). The PROJECT SITE is shown on Exhibit 1_ 1II. PROJECT The PROJECT will include the rehabilitation of the existing structures and expanded senior living facilities. The preliminary conceptual plan proposes 200 additional low-rise (up to four stories) senior apartments, a new senior center, and the conversion of asphalt parking lots to gardens and park features. IV. EXCLUSIVE RIGHT TO NEGOTIATE A. Subject to Subparagraph IV.C., below, CDC hereby grants to DEVELOPER, and DEVELOPER hereby accepts this ENA for a period of three -hundred sixty-five (365) days, commencing on the date this ENA is signed on behalf of the CDC, and continuing in full force until expiration or earlier termination pursuant to Paragraph VIII; provided, that, CDC's Chairman is authorized to extend the expiration date for up to an additional ninety (90) days if she/he determines DEVELOPER has negotiated in good faith. B. CDC and DEVELOPER agree, for the period set forth in this Paragraph IV, to negotiate diligently and in good faith to prepare a DDA to be entered into by CDC and DEVELOPER with regard to the objectives described above. During the term of the ENA, CDC agrees not to negotiate for the development of the PROJECT, or portion thereof, with any party other than the DEVELOPER, or approve or conduct a public hearing for any other development of the PROJECT, or portions thereof. The DEVELOPER shall bear any and all costs and expenses (including legal fees and staff time) for title, environmental, physical, engineering, financial, and feasibility investigations, site plans, reports and analyses and other analyses or activities performed by and for the DEVELOPER to meet the terms of the ENA. The DEVELOPER and the CDC shall bear their own costs and expenses (including legal fees and staff time) incurred during the EXCLUSIVE NEGOTIATION PERIOD for the purpose of preparing the ENA and fulfilling its obligations under the ENA from the date hereof, including but not limited to the costs of preparing, negotiating, and reviewing the DDA. Furthermore, CDC shall advise DEVELOPER regarding the source of the funds used to pay for costs of negotiating ENA and pre -development costs, as outlined above, so that DEVELOPER can determine the need for payment of any prevailing wage. V. TERMS CDC and DEVELOPER hereby agree to the following terms: -3- practice which may be provided to CDC shall remain confidential to the extent permissible by law. H. Hazardous Materials. CDC shall not be responsible for conducting or financing any testing of the PROJECT SITE for hazardous materials pursuant to any applicable laws, statutes, rules, and regulations. CDC shall disclose all information in their records and knowledge regarding any Hazardous Materials on the site. 1f DEVELOPER proceeds with the project pursuant to a DDA , and subject to the terms of the DDA. DEVELOPER shall also be responsible for making PROJECT SITE conditions suitable for the proposed PROJECT, including, but not limited to, flood zones, Alquist-Priolo, and similar matters. For purposes of this ENA, "hazardous materials" shall mean asbestos; polychlorinated biphenyls (whether or not highly chlorinated); radon gas; radioactive materials; explosives; chemicals known to cause cancer or reproductive toxicity; hazardous waste, toxic substances or related materials; petroleum and petroleum product, including, but not limited to, gasoline and diesel fuel; those substances defined as a "Hazardous Substance", as defined by section 9601 of the Comprehensive Environmental Response; Compensation and Liability Act of 1980; 42 U.S.O. 9601, etseq., or as "Hazardous Waste" as defined by section 6903 of the Resource Conservation and Recovery Act, 42 U.S. C. 6901, et seq., an "Extremely Hazardous Waste," a "Hazardous Waste" or a "Restricted Hazardous Waste," as defined by The Hazardous Waste Control Law under sections 25115, 25117, or 25122.7 of the California Health and Safety Code, or is listed or identified pursuant to section 25140 of the California Health and Safety Code; a "Hazardous Material", "Hazardous Substance," "Hazardous Waste," or "Toxic Air Contaminant" as defined by the California Hazardous Substance Account Act, laws pertaining to the underground storage of hazardous substances, hazardous materials release response plans, or the California Clean Air Act under sections 25316, 25281, 25501.1 or 39655 of the California Health and Safety Code; "Oil" or a "Hazardous Substance" listed or identified pursuant to section 311 of the Federal Water Pollution Control Act, 33 U.S.C. 132; a "Hazardous Waste, "Extremely Hazardous Waste" or an "Acutely Hazardous Waste" listed or defined pursuant to Chapter I 1 of Title 22 of the California Code of Regulations sections 66261.1-66261.126; chemicals listed by the State of California under Proposition 65 Safe Drinking Water and Toxic Enforcement Act of 1986 as a chemical known by the State to cause cancer or reproductive toxicity pursuant to section 25249.8 of the California Health and Safety Code; a material which due to its characteristics or interaction with one or more other substances, chemical compounds, or mixtures, materially damages or threatens to materially damage, health, safety, or the environment, or is required by any law or public CDC to be remediated, including remediation which such law or government CDC to be remediated, including remediation which such law or government CDC requires in order for the property to be put to the purpose proposed by this ENA; any material whose presence would require remediation pursuant to the guidelines set forth in the State of California Leaking Underground Fuel Tank Field Manual, whether or not the presence of such material resulted from a leaking underground -5- PROJECT. If CITY approves the entitlements for the proposed PROJECT, then DEVELOPER agrees, within ten (10) days after CITY approves those entitlements, to pay Fifty Thousand ($50,000) Dollars to assist CDC with payment of CDC's costs for the services of all necessary consultants to comply with CEQA requirements (including, but not limited to, the preparation and issuance of any required environmental impact report, negative declaration, or mitigated negative declaration) for entire PROJECT SITE. DEVELOPER shall cooperate fully and in a timely manner to requests for information from CDC's consultants. M. Real Estate Commissions. Neither CDC nor DEVELOPER shall be liable for any real estate commissions or brokerage fees, which may arise herefrom. CDC and DEVELOPER each represents it has not engaged a broker, agent or finder in connection with this transaction except in connection with the assembly of other properties as approved by the CDC. Each party agrees to hold harmless the other party from any claim by any broker, agent or finder retained, or claimed to have been retained, by that first party. N. Conflicts of Interest. For the Term of this ENA, no member. officer or employee of CITY or CDC, during the term of his or her service with CITY or CDC, shall have any direct or indirect financial interest in this ENA or obtain any present or anticipated material benefit arising, there from. O. Change of Ownership or Control of DEVELOPER. DEVELOPER understands CDC is entering into this ENA based on the prior experience and qualifications of DEVELOPER. Therefore, DEVELOPER shall not assign, sell or otherwise transfer any or all of its rights under this ENA to any party, without the prior written approval of CDC. P. Indemnity. DEVELOPER agrees to and hereby does defend, hold harmless and indemnify CDC, CITY and each of their officers. agents and employees (the "Indemnified Parties") from damages arising from DEVELOPER's acts or omissions; provided, that the obligation to indemnify and hold harmless applies only to the extend damages are the result of DEVELOPER's, or DEVELOPER's agents or employees, negligent acts or omissions or willful misconduct. Q. Governing Law. This ENA shall be interpreted and enforced in accordance with the provisions of California laws in effect at the time it is executed, without regard to conflicts of laws provisions. VI. PERMS TO BE NEGOTIATED CDC and DEVELOPER shall meet regularly with each other in order to negotiate a proposed DDA to include, without limitation, the following provisions: -7- VII. RIGHT OF ENTRY AND ACCESS A. Access by DEVELOPER. Subject to DEVELOPER's compliance with the terms and provisions of this Agreement, DEVELOPER and DEVELOPER's employee's , agents, and consultants designated in writing by DEVELOPER (herein collectively called "DEVELOPER's Designees") shall have the right to enter upon the Property for the purpose of undertaking tests, inspections and other due diligence activities (herein called "Due Diligence Activities"), until the earliest to occur of: (i) the expiration or earlier termination of the ENA; (ii) the termination of this Agreement; or (iii) the execution of the DDA contemplated by the ENA. DEVELOPER expressly agrees as follows (i) any activities by or on behalf of the DEVELOPER, including without limitation, the entry by DEVELOPER or DEVELOPER's Designees onto the Property in connection with the Due Diligence Activities shall not damage the PROJECT SITE in any manner whatsoever except for minor damage normally resulting from typical site investigation activities such as soil borings; (ii) in the event that the PROJECT SITE is altered or disturbed in any manner in connection with Due Diligence Activities, DEVELOPER shall immediately return the PROJECT SITE to the condition existing prior to the Due Diligence Activities (unless agreed in writing by the Executive Director of the CDC.) B. Lien Waivers. Upon receipt of a written request from the CDC, DEVELOPER will provide the CDC with lien waivers following completion of the Due Diligence Activities from each and every contractor, materialman, engineer, architect, or surveyor who might have lien rights, in form and substance reasonably satisfactory to its counsel. To the extent permitted by applicable law, Grantee hereby indemnifies Grantor from and against any claims made against the Grantor or the Property as a result of Due Diligence Activities. C. Insurance. The DEVELOPER, at its sole cost and expense, shall purchase and maintain. and shall require its contractors performing any Due Dilligence Activities to purchase and maintain throughout the term of this Agreement: 1. Professional Liability Insurance (errors and omissions) with minimum limits of $1,000,000 per occurrence. 2. 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"). 3. 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. 4. Workers' compensation insurance in an amount sufficient to meet statutory requirements covering all of DEVELOPER's employees and employers' liability insurance with limits of at least $1,000,000 per accident. In addition, the -9- A general release does not extend to claims which the creditor does not know or suspect to exist in this favor at the time of executing the release, which if known by him would have materially affected his settlement with the debtor B. Civil Code Section 1542 notwithstanding, it is the parties' intention to be bound by the limitation on remedies set forth in this Section, and each party hereby releases any and all claims against the other party for monetary damages or other legal or equitable relief, whether or not such released claims were known or unknown to the releasing party as of its entry into this ENA. Each party hereby waives the benefits of Civil Code Section 1542 and all other statutes and judicial decisions (whether state or federal) of similar effect, IX. TERMINATION BY CDC CDC shall have the right to terminate this ENA in the event CDC determines, in its sole discretion, that DEVELOPER proposes provisions in the proposed DDA, which materially vary from the development generally described in the Paragraph I of this ENA. CDC's right of termination shall be subject to a fifteen -day (15-day) notice. DEVELOPER X. TERMINATION BY DEVELOPER DEVELOPER shall have the right to terminate this ENA in the event DEVELOPER determines, in its sole discretion, that CDC proposes provisions in the proposed DDA, which materially vary from those described in this ENA, or that the project is, in the DEVELOPER's sole discretion, infeasible. DEVELOPER's right of termination shall be subject to a fifteen -day (15-day) notice. DEVELOPER Xl. NOTICES DEMAND AND COMMUNICATIONS BETWEEN THE PARTIES Formal notices, demands, and communications between CDC and DEVELOPER shall be given either by (i) personal service, (ii) delivery by reputable document delivery service such as Federal Express that provides a receipt showing date and time of delivery, or (iii) or by mailing in the United States mail, certified mail, postage prepaid, return receipt requested, addressed to: To CDC: With copy to: Community Development Commission 1243 National City Boulevard National City, CA 91950 Attn: Executive Director City Attorney 1243 National City Boulevard National City, CA 91950 -11- IN WITNESS WHEREOF, the CDC and the DEVELOPER have signed this ENA on the respective dates set forth below. COMMUNITY DEVELOPMENT COMMISSION OF THE CITY OF NATIONAL CITY Senior Village Housing Partners, LLC (3 signatures required) By: By: Ron Morrison, Chainnan ATTEST: By: Chris Zapata, Secretary APPROVED AS TO FORM: By: Claudia G. Silva City Attorney By: Dated: -13- IN WITNESS WHEREOF, the CDC and the DEVELOPER have signed this ENA on the respective dates set forth below. COMMUNITY DEVELOPMENT COMMISSION OF THE CITY OF NATIONAL CITY By: Ron Morrison, Chairman ATTEST: By: By: Chris Zapata, Secretary APPROVED AS TO FORM: By: Claudia G. Silva City Attorney Senior Village Housing Partners, LLC (3 signatures required) Dated: -13- Attachment 2 EXCLUSIVE NEGOTIATION AGREEMENT By and Between COMMUNITY DEVELOPMENT COMMISSION OF THE CITY OF NATIONAL CITY And SENIOR VILLAGE HOUSING PARTNERS, LLC THIS EXCLUSIVE NEGOTIATION AGREEMENT (hereafter referred to as "ENA") is entered into this 21 st day of September, 2010, by and between the COMMUNITY DEVELOPMENT COMMISSION OF THE CITY OF NATIONAL CITY, a public body, corporate and politic (hereinafter referred to as "CDC"), and Senior Village Housing Partners, LLC, a limited liability company (hereinafter referred to as "DEVELOPER"), on the teams and provisions set forth below. RECITALS WHEREAS, in furtherance of the goals and objectives of the Redevelopment Plan for the National City Redevelopment Project Area, which was adopted and amended by ordinances of the City Council of the City of National City, and the Community Redevelopment Law of the State of Califomia (California Health an Safety Code 33000), CDC and DEVELOPER desire to enter into negotiations concerning the development of certain land and the rehabilitation of the existing improvements, Kimball and Morgan Towers (defined below as "PROJB,CT"); and WHEREAS, the CDC currently owns certain real property (Assessor Parcel Numbers 561-410-06-00, 561-410-05-00, 561-410-04-00), approximately 7.1 acres, known as the Senior Village, located on the south-southwest side of Kimball Way east of D Avenue and north of East 15th Avenue within the Redevelopment Project Area of the City of National City, as further described herein (hereafter referred to as "PROJECT SITE"); and WHEREAS, it is those portions of the above described properties which are located within the City of National City (CITY), that are intended to be the subject of this Exclusive Negotiation ENA (ENA); and, WHEREAS, the CDC desires to have the DEVELOPER pursue development of the PROJECT and consents to DEVELOPER pursuing and engaging in this ENA; and, WHEREAS, the CDC and the DEVELOPER desires to enter into this ENA to initiate exclusive negotiations for up to three hundred and sixty five (365) days (hereafter referred to as "EXCLUSIVE NEGOTIATION PERIOD") to allow the DEVELOPER to (i) undertake due diligence activities regarding the PROJECT; (ii) design the PROJECT; (iii) establish the responsibilities, schedule, and financial parameters for developing the PROJECT for the part of the PROJECT which is located within the CITY; (iv) negotiate the purchase price of the CDC PROJECT; (v) assemble other properties; and (vi) negotiate a Disposition and Development ENA (hereafter referred to as "DDA"). SDCA_280013.2 Department of Housing and Urban Development (HUD), 3 market -rate units, and 1 unit for the assistant manager). The PROJECT SITE is shown on Exhibit 1. III. PROJECT The PROJECT will include the rehabilitation of the existing structures and expanded senior living facilities. The preliminary conceptual plan proposes 200 additional low-rise (up to four stories) senior apartments, a new senior center, and the conversion of asphalt parking lots to gardens and park features. IV_ EXCLUSIVE RIGHT TO NEGOTIATE A. Subject to Subparagraph IV.C., below, CDC hereby grants to DEVELOPER, and DEVELOPER hereby accepts this ENA for a period of three -hundred sixty-five (365) days, commencing on the date this ENA is signed on behalf of the CDC, and continuing in full force until expiration or earlier termination pursuant to Paragraph VIII; provided, that, CDC's Chairman is authorized to extend the expiration date for up to an additional ninety (90) days if she/he determines DEVELOPER has negotiated in good faith. B. CDC and DEVELOPER agree, for the period set forth in this Paragraph IV, to negotiate diligently and in good faith to prepare a DDA to be entered into by CDC and DEVELOPER with regard to the objectives described above. During the term of the ENA, CDC agrees not to negotiate for the development of the PROJECT, or portion thereof, with any party other than the DEVELOPER, or approve or conduct a public hearing for any other development of the PROJECT, or portions thereof. The DEVELOPER shall bear any and all costs and expenses (including legal fees and staff time) for title, environmental, physical, engineering, financial, and feasibility investigations, site plans, reports and analyses and other analyses or activities performed by and for the DEVELOPER to meet the terms of the ENA. The DEVELOPER and the CDC shall bear their own costs and expenses (including legal fees and staff time) incurred during the EXCLUSIVE NEGOTIATION PERIOD for the purpose of preparing the ENA and fulfilling its obligations under the ENA from the date hereof, including but not Iimited to the costs of preparing, negotiating, and reviewing the DDA. Furthermore, CDC shall advise DEVELOPER regarding the source of the funds used to pay for costs of negotiating ENA and pre -development costs, as outlined above, so that DEVELOPER can determine the need for payment of any prevailing wage. V. TERMS CDC and DEVELOPER hereby agree to the following terms: -3- practice which may be provided to CDC shall remain confidential to the extent permissible by law. H. Hazardous Materials. CDC shall not be responsible for conducting or financing any testing of the PROJECT SITE for hazardous materials pursuant to any applicable laws, statutes, rules, and regulations. CDC shall disclose all information in their records and knowledge regarding any Hazardous Materials on the site. If DEVELOPER proceeds with the project pursuant to a DDA , and subject to the terms of the DDA, DEVELOPER shall also be responsible for making PROJECT SITE conditions suitable for the proposed PROJECT, including, but not limited to, flood zones. Alquist-Priolo, and similar matters. For purposes of this ENA, "hazardous materials" shall mean asbestos; polychlorinated biphenyls (whether or not highly chlorinated); radon gas; radioactive materials; explosives; chemicals known to cause cancer or reproductive toxicity; hazardous waste, toxic substances or related materials; petroleum and petroleum product, including, but not limited to, gasoline and diesel fuel; those substances defined as a "Hazardous Substance", as defined by section 9601 of the Comprehensive Environmental Response; Compensation and Liability Act of 1980; 42 U.S.O. 9601, et. seq., or as "Hazardous Waste" as defined by section 6903 of the Resource Conservation and Recovery Act, 42 U.S. C. 6901, et seq., an "Extremely Hazardous Waste," a "Hazardous Waste" or a "Restricted Hazardous Waste," as defined by The Hazardous Waste Control Law under sections 25115, 25117, or 25122.7 of the California Health and Safety Code, or is listed or identified pursuant to section 25140 of the Califomia Health and Safety Code; a "Hazardous Material", "Hazardous Substance," "Hazardous Waste," or "Toxic Air Contaminant" as defined by the California Hazardous Substance Account Act, laws pertaining to the underground storage of hazardous substances, hazardous materials release response plans, or the California Clean Air Act under sections 25316, 25281, 25501.1 or 39655 of the Califomia Health and Safety Code; "Oil" or a "Hazardous Substance" listed or identified pursuant to section 311 of the Federal Water Pollution Control Act, 33 U.S.C. 132; a "Hazardous Waste, "Extremely Hazardous Waste" or an "Acutely Hazardous Waste" listed or defined pursuant to Chapter 11 of Title 22 of the California Code of Regulations sections 66261.1-66261.126; chemicals listed by the State of California under Proposition 65 Safe Drinking Water and Toxic Enforcement Act of 1986 as a chemical known by the State to cause cancer or reproductive toxicity pursuant to section 25249.8 of the California Health and Safety Code; a material which due to its characteristics or interaction with one or more other substances, chemical compounds. or mixtures, materially damages or threatens to materially damage. health, safety, or the environment, or is required by any law or public CDC to be remediated, including remediation which such law or government CDC to be remediated, including remediation which such law or government CDC requires in order for the property to be put to the purpose proposed by this ENA; any material whose presence would require remediation pursuant to the guidelines set forth in the State of California Leaking Underground Fuel Tank Field Manual, whether or not the presence of such material resulted from a leaking underground -5- PROJECT. If CITY approves the entitlements for the proposed PROJECT, then DEVELOPER agrees, within ten (10) days after CITY approves those entitlements. to pay Fifty Thousand ($50,000) Dollars to assist CDC with payment of CDC's costs for the services of all necessary consultants to comply with CEQA requirements (including, but not limited to, the preparation and issuance of any required environmental impact report, negative declaration, or mitigated negative declaration) for entire PROJECT SITE. DEVELOPER shall cooperate fully and in a timely manner to requests for information from CDC's consultants. M. Real Estate Commissions. Neither CDC nor DEVELOPER shall be liable for any real estate commissions or brokerage fees, which may arise herefrom. CDC and DEVELOPER each represents it has not engaged a broker, agent or finder in connection with this transaction except in connection with the assembly of other properties as approved by the CDC. Each party agrees to hold harmless the other party from any claim by any broker, agent or finder retained, or claimed to have been retained, by that first party. N. Conflicts of Interest. For the Term of this ENA, no member, officer or employee of CITY or CDC, during the term of his or her service with CITY or CDC, shall have any direct or indirect financial interest in this ENA or obtain any present or anticipated material benefit arising, there from. O. Change of Ownership or Control of DEVELOPER. DEVELOPER understands CDC is entering into this ENA based on the prior experience and qualifications of DEVELOPER. Therefore, DEVELOPER shall not assign, sell or otherwise transfer any or all of its rights under this ENA to any party, without the prior written approval of CDC. P. Indemnity. DEVELOPER agrees to and hereby does defend, hold harmless and indemnify CDC, CITY and each of their officers, agents and employees (the "Indemnified Parties") from damages arising from DEVELOPER's acts or omissions; provided, that the obligation to indemnify and hold harmless applies only to the extend damages are the result of DEVELOPER's, or DEVELOPER's agents or employees, negligent acts or omissions or willful misconduct. Q. Governing Law. This ENA shall be interpreted and enforced in accordance with the provisions of California laws in effect at the time it is executed, without regard to conflicts of laws provisions. VI. TERMS TO BE NEGOTIATED CDC and DEVELOPER shall meet regularly with each other in order to negotiate a proposed DDA to include, without limitation, the following provisions: -7- VII. RIGHT OF ENTRY AND ACCESS A. Access by DEVELOPER. Subject to DEVELOPER's compliance with the terms and provisions of this Agreement, DEVELOPER and DEVELOPER's employee's , agents, and consultants designated in writing by DEVELOPER (herein collectively called "DEVELOPER's Designees") shall have the right to enter upon the Property for the purpose of undertaking tests, inspections and other due diligence activities (herein called "Due Diligence Activities"), until the earliest to occur of: (i) the expiration or earlier termination of the ENA; (ii) the termination of this Agreement; or (iii) the execution of the DDA contemplated by the ENA. DEVELOPER expressly agrees as follows (i) any activities by or on behalf of the DEVELOPER, including without limitation, the entry by DEVELOPER or DEVELOPER's Designees onto the Property in connection with the Due Diligence Activities shall not damage the PROJECT SITE in any manner whatsoever except for minor damage normally resulting from typical site investigation activities such as soil borings; (ii) in the event that the PROJECT SITE is altered or disturbed in any manner in connection with Due Diligence Activities, DEVELOPER shall immediately return the PROJECT SITE to the condition existing prior to the Due Diligence Activities (unless agreed in writing by the Executive Director of the CDC.) B. Lien Waivers. Upon receipt of a written request from the CDC, DEVELOPER will provide the CDC with lien waivers following completion of the Due Diligence Activities from each and every contractor, materialman, engineer, architect, or surveyor who might have lien rights, in form and substance reasonably satisfactory to its counsel. To the extent permitted by applicable law, Grantee hereby indemnifies Grantor from and against any claims made against the Grantor or the Property as a result of Due Diligence Activities. C. Insurance. The DEVELOPER, at its sole cost and expense, shall purchase and maintain, and shall require its contractors performing any Due Dilligence Activities to purchase and maintain throughout the term of this Agreement: 1. Professional Liability Insurance (errors and omissions) with minimum limits of $1,000,000 per occurrence. 2. 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"). 3. 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. 4. Workers' compensation insurance in an amount sufficient to meet statutory requirements covering all of DEVELOPER's employees and employers' liability insurance with Iimits of at least $1,000,000 per accident. In addition, the -9- A general release does not extend to claims which the creditor does not know or suspect to exist in this favor at the time of executing the release, which if known by him would have materially affected his settlement with the debtor B. Civil Code Section 1542 notwithstanding, it is the parties' intention to be bound by the limitation on remedies set forth in this Section, and each party hereby releases any and all claims against the other party for monetary damages or other legal or equitable relief, whether or not such released claims were known or unknown to the releasing party as of its cntry into this ENA. Each party hereby waives the benefits of Civil Code Section 1542 and all other statutes and judicial decisions (whether state or federal) of similar effect, IX. TERMINATION BY CDC CDC shall have the right to terminate this ENA in the event CDC determines, in its sole discretion, that DEVELOPER proposes provisions in the proposed DDA, which materially vary from the development generally described in the Paragraph I of this ENA. CDC's right of termination shall be subject to a fifteen -day (15-day) notice. DEVELOPER X. TERMINATION BY DEVELOPER DEVELOPER shall have the right to terminate this ENA in the event DEVELOPER determines, in its sole discretion, that CDC proposes provisions in the proposed DDA, which materially vary from those described in this ENA, or that the project is, in the DEVELOPER's sole discretion, infeasible. DEVELOPER's right of termination shall be subject to a fifteen -day (15-day) notice. DEVELOPER XI. NOTICES DEMAND AND COMMUNICATIONS BETWEEN THE PARTIES Formal notices, demands, and communications between CDC and DEVELOPER shall be given either by (i) personal service, (ii) delivery by reputable document delivery service such as Federal Express that provides a receipt showing date and time of delivery, or (iii) or by mailing in the United States mail, certified mail, postage prepaid, return receipt requested, addressed to: To CDC: With copy to: Community Development Commission 1243 National City Boulevard National City, CA 91950 Attn: Executive Director City Attorney 1243 National City Boulevard National City, CA 91950 -11- 1N WITNESS WHEREOF, the CDC and the DEVELOPER have signed this ENA on the respective dates set forth below. COMMUNITY DEVELOPMENT COMMISSION OF THE CITY OF NATIONAL CITY By: Ron Morrison, Chairman ATTEST: By: Chris Zapata, Secretary APPROVED AS TO FORM: By: Claudia G. Silva City Attorney Senior Village Housing Partners, LLC (3 signatures required) Dated: -13- IN WITNESS WHEREOF, the CDC and the DEVELOPER have signed this ENA on the respective dates set forth below. COMMUNITY DEVELOPMENT COMMISSION OF THE CITY OF NATIONAL CITY By: Ron Morrison, Chairman ATTEST: Senior Village Housing Partners, LLC (3 signatures required) By "1 / A-vv, S Y: By: By: Chris Zapata, Secretary APPROVED AS TO FORM: By: Claudia G. Silva City Attorney Dated: -13- Attachment 3 Community Development Commission of National City Request for 9ualifieations REQUEST FOR QUALIFICATIONS (RFQ) Senior Village Expansion and Enhancement Kimball and Morgan Towers 13I7 D Avenue & 1415 D Avenue National City California UPDATED: March 23, 2010 RFQ Updated Deadline: Thursday April 1, 2010 by 5:00 p.m. PST. Community Development Commission of National City 1243 National City Blvd National City, CA 91950 Page Iof7 Community Development Commission of National City RFQ AT A GLANCE ISSUE DATE: March 1, 2010 PROJECT TITLE: DESCRIPTION OF PROJECT DEPARTM ENT REQUESTING SUBMITTAL DEADLINE DELIVER SUBMITTAL TO CONTACT S Page 2 of 7 Request for 9ualifications Community Development Commission RFQ Senior Village Expansion and Enhancement The Community Development Commission of National City ("CDC") is considering the expansion and rehabilitation of the existing Kimball and Morgan Towers. Kimball and Morgan Towers are located in National City at 1317 D Avenue and 1415 D Avenue, respectively. They are owned by the CDC and help serve National City's affordable senior housing needs. The CDC is therefore seeking qualifications from experienced non-profit or for profit developers to enter into an Exclusive Negotiation Agreement to complete due diligence and design, followed by a Disposition and Development Agreement to upgrade existing structures and expand senior living facilities. The preliminary conceptual plan proposes 200 additional low-rise (up to four stories) senior apartments, a new senior center, and the conversion of asphalt parking lots to gardens and park features. Community Development - Housing and Grants Division Three (3) original copies of submittal due 5:00 p.m. "I hursday, April 1, 2010 in hard copy (no facsimile or e-mailed submittals) Alfredo Ybarra Community Development Manager City of National City 1243 National City Blvd National City, CA 91950 Alfredo Ybarra Community Development Manager City of National City 619-336-4279; alfrecloy@nationalcityca.gov Ed Martinez, President and CEO San Ysidro Health Center - National City Family Clinic 1136 D Avenue National City, CA 91950 619-662-4100 Community Development Commission of National City BACKGROUND Page3 of Request for Qualifications The General Plan: The City of National City has recently embarked on a journey to update its General Plan. California law requires every city and county to adopt a general plan to guide its physical development. A general plan states the desired vision for the community's future and contains policies to achieve this vision by guiding the way land is developed and used. As part of the General Plan update, the City is focusing specific planning and implementation efforts on several key projects within each of the City's three community planning areas. The Senior Village Expansion, in the Kimball Community, has been identified as one of the major projects that the General Plan will address through specific action plans. Community Need and Relevance to General Plan: Currently the Kimball and Morgan Towers are located on an underutilized site. The existing structures are dated and are in need of rehabilitation (Kimball built in 1986 and Morgan in 1978). Additionally, the availability of senior housing in National City is far below demand. Morgan and Kimball towers have a 1.5-3 year waiting period and other affordable senior housing facilities within the city are experiencing comparable waiting periods. These trends will be amplified in the coming years as the baby boom generation continues to move into senior status (55+) and by the fact that people are living longer. National City's Housing Element (a required section in the General Plan) lays out an objective of continuing to provide housing opportunities and development of programs to improve the existing housing stock. The Housing Element calls for an expansion of affordable housing opportunities to accommodate the high percentage of low income and senior citizens. The General Plan calls for continued infill development to achieve this expansion. The expansion and enhancement of Kimball -Morgan is in line with each of these objectives. The Project Site: The project site is located in central National City, within the Kimball Community. It is across the street from Kimball Park, and near Wal- Mart and other commercial businesses, the Boys and Girls Club, a Fire Station, a health center, and civic facilities. The project site (Attachment 1) is approximately 7.10 acres located on D Avenue between Kimball Way and 15`h Street (APN: 561-410-06-00; 561- 410-05-00; 561- 410-04-00) in National City. The site is in an RM3 zoned area. It is a residential multifamily zone specifically designated for senior citizen housing and allows higher density development than the standard residential multifamily units (22.9 units/acre) based on consideration of the specific project design*. Currently, the site is comprised of two 10-story senior housing complexes (Kimball and Morgan towers), a Nutrition Center, and Senior Center building. There are a total of 300 units between the 2 towers: 150 units at Kimball Tower (146 Section 8 units, 2 market -rate units, and 2 units for managers), and another 150 at Morgan Tower (146 project -based units funded directly by the U.S. Community Development Commission of National City Request for pualifications Department of Housing and Urban Development (HUD), 3 market -rate units, and I unit for the assistant manager). Conceptual Plan: The City's consultant, KTGY Group, Inc., has prepared a preliminary conceptual plan for this expansion and enhancement project (the illustration on the cover of this RFQ is one product of the process). The conceptual plan proposes 200 additional low-rise (up to four stories) senior apartments that would be integrated into the existing Kimball -Morgan site, the removal of the existing senior center (currently on the Southeastern corner of D Ave and Kimball Way) and development of a new center, and the conversion of asphalt parking lots to gardens and park features. Additionally, in partnership with a local medical services provider, a medical services building may also be developed. DESIRED SUBMITTAL Although this is not a Request tor Proposals, the submittal should give significant consideration to the Concept Plan designed by KTGY Group, Inc. Development Guidance: Suggestions for consideration in this Project include: ■ Prepare plan with: o Approximately 200 additional affordable senior housing units o Removal of existing senior center and construction of a new one o Conversion of asphalt parking lots to gardens and park features • Maintain a maximum height of four (4) stories • Sustainable environmental principles should be incorporated Financial and Partnership Considerations: Of special relevance to this RFQ is the City Council's desire to leverage outside resources to expand and enhance an affordable housing project targeted for seniors. Submittals should prominently review the development team's past experience in seeking and being awarded grants related to similar projects. SUBMITTAL REQUIREMENTS Development Team a. Design Team: Identify the Developer, Design Team and sub -consultants who will be responsible for implementing the proposed project (name of individuals in charge, firm addresses, telephone numbers, website and e-mail addresses); b. Experience: Schedule of relevant projects completed by the developer and design team, including photographs, type of project, project address, unit count by type and size of unit, completed value, lenders involved (with Page 4 of 7 Community Development Commission of National City Requestfor9uahfications contact references) and construction/completion dates. Experience with projects in an urbanized redevelopment area should be identified; c Financial Partners: Identify all proposed financial partners for the project including banks, equity partners etc (name of firm and individuals in charge, addresses, telephone numbers, website and e-mail addresses); d. References: Each team member must include three professional references (lenders, investors, major accounts, etc.) with full names, relationship to team member, address and contact information. Grant Funding Experience Identify and provide examples of past successful experience applying for and winning grant funding for similar projects in California. Comments on the Community Design Concept: Please provide comments on the site plan prepared by KTGY Group, inc. Particular emphasis should be given to expanding on, refining and improving this Concept Plan to achieve financial and land use sustainability. RFQ Developer Statement of Qualifications Worksheet: Please fill out and provide the Developer Statement of Qualifications Worksheet attached to this RFQ (Attachment 2). Disclosure of relevant lawsuits: Identify any and all lawsuits involving any or all of the proposed team members related to similar projects within the past three years including any lawsuits between team members and municipalities or redevelopment agencies. RFQ SCHEDULE Issue date: Qualifications due: Interviews, if necessary: ENA for City Council/CDC Consideration: March 1, 2010 5:00 p.m. April 1, 2010 April 6-8, 2010* May 18, 2010* *This schedule may be adapted, except for the Qualification Due date, at the sole discretion of the City/CDC. Page 5 of 7 Community Development Commission o(Natinnal City Request for Qualifications TERMS AND CONDITIONS Issuance of this RFQ does not commit City/CDC to award an Exclusive Negotiation Agreement and/or contract, to pay any costs incurred in the preparation of a response to this request, or to procure a contract for services. All respondents should note that the execution of any agreement or contract pursuant to this RFQ is dependent upon the approval of the City Council. The City/CDC retains the right to reject any and all submittals. INSURANCE The developer selected under this RFQ shall be required to provide evidence of commercial general liability with limits of at least $2M per occurrence/$4M aggregate; the City and CDC to be named as additional insured pursuant to a separate endorsement; auto liability coverage with limits of at least $1M CSL per accident, must include "any auto"; the City and CDC to be named as additional insured pursuant to a separate endorsement, Workers Compensation sufficient to satisfy CA statutory requirements for all employees subject to the laws and Employers' Liability Coverage of $1 M per accident/employee; a waiver of subrogation endorsement in favor of the City and CDC must be provided; and Professional Liability coverage (E&O) with limits of at least SIM per occurrence; if written on a claims made policy, the retro date must he prior to the date of the contract and the insurance must be maintained for a period of at least 5 years after the termination of the contract. BUSINESS LICENSE The developer selected to perform the work described in this RFQ as well as all team members, sub -consultants and service providers will be required to obtain a National City Business License. Business Licenses can he obtained at the National City Finance Department. SUBMITTAL DUE DATE Three (3) original copies of the submittal must be delivered to City Clerk's office no later than 5:00 p m. on Thursday 4/1/2010. Submittals received by FAX or e-mail will be deemed not received. Incomplete submittals, incorrect or false information, or late submittals are cause for immediate disqualification. CONTAC.1 PERSON Alfredo Ybarra Community Development Manager 1243 National City Boulevard National City, CA 91950-4301 619/336-4279 e-mail: alfredoy2nationalcityca.gov Page 6 of 7 Community Development Commission of National City Request for qualifications Attachments posted ith this RFQ I. Parcel Map 2. Developer Qualifications Worksheet 3. National City Map 1. Preliminary Conceptual Site Plans (developed by KTGY Group, Inc.) Page 7of7 A Att ' RES FOR FOT ST NOT A BLDG SITE kf CONDM PARK VILLAGE DOC 79-ne1740 e(sEE sH-r 2) 224AC ,1 • 1- V • N • 8 w•rea•wa.,,l ALLEY k- sr.,l :rr,7>. • .. 1� m ,GCONDM. m to KOM6ALL WILLOWS 2 �2 L'DOC 7¢-5183T1 N^ <EE SFrt.1 _z 72 iin Ip,4S AVOW D 6 Q 1, 73 AG e ,,,•.ate= Le 2 O D21AC 7•r••;eV, F ST. ilT l0 "ir 1 T "—\ul— 2 3 — Tze c I, 20`` 1 11918117 16 1514 13 111 121 �� _1_$6K—-I — -21—_ _I _ E to 1 _ _ _ _ _ _ _ c sD3 1 �19' a 7 I1615�101 ;,j i 2 3 4 5 6 71 b 91 a S ST - il- - Ts - rTgrr _ .. uJ M 1105 �o M8e D7 E 0 8I6 AC AVE 60 w AVE e St b MAP 9199 — PARK VILLAGE (GONDM) MAP 9042—KIMBALL WILLOWS MAP 8807—CENTER CITY PROJECT MAP 1105—LOZIERS SUB ROS 10144 560-41 �� SHTIOF2 CHANQ S 8LK OLD NEW YR CUT 1-9 7 294? °M /0-207.9 470 , 49 tz % A 1 21 79 279 4/0 / 1,14 79 ay 410 1 22 e0 55 410 21 C0w9M60 437 22 IfNOH 00 s4f 4/O �n 1/ /d en! w•r a1q rAvt B7 5wB I ZNRWHOVZZV Attachment 2 DEVELOPER STATEMENT OF QUALIFICATIONS/ FINANCIAL SUMMARY DEVELOPER STATEMENT OF QUALIFICATIONS & FINANCIAL SUMMARY I. DEVELOPER INFORMATION Name: Address: Telephone/Fax: Email: Contact Name: Is the Developer a subsidiary of/or affiliated with, any other Corporation(s), Joint Venture(s) or Firm(s)? ID No ❑Yes If yes, list each such Corporation, Joint Venture, or Firm by name & address, specify its relationship to the Developer, the % of interest of the partners & identify the Officers & Directors or trustees common to the Developer & such other Corporation or Firm: Name of Corporation/Joint Venture/Firm: Address: Relationship to Developer Officers/Directors/Trustees: of Interest of the partners: Individual(s) authorized to negotiate, on behalf of the development entity/team & responsible for project execution: Name(s): Position: Telephone/Fax: Email: 11. FINANCIAL CAPACITY A. Sources & amount of cash available to Developer to meet equity requirements of the proposed undertaking in Bank(s): 1) Bank Name: Address: City, State Zip: Amount: $ 2) Bank Name: Address: City, State Zip: Amount: $ Developer Statement of Qualifications/Financial Summary 1 of 4 B. By loans from affiliated or associated corporations or firms: Name: Address: - City, State Zip Source Amount: $ C. The Following are Three Bank References: 1.) Bank Name: 2.) Bank Name: 3.) Bank Name: Address: Contact Person Telephone: Address: Address: Contact Person: Telephone: Contact Person: Telephone: D. The following are Three business references: 1_) Company: Address: Relationship: Contact Person: Telephone: 2.) Company: Address: Relationship: Contact Person: Telephone: 3.) Company: Address: Relationship: Contact Person: Telephone: Developer Statement of Qualifications/Financial Summary 2of4 E. Has the Developer or (if any) the parent corporation or any subsidiary or affiliated corporation of the developers officers or principal members, shareholders or investors been adjudged bankrupt, either voluntary or involuntary, within the past ten years? ❑ No 0 Yes If yes, please provide the following information: Date: Location: Bankruptcy was filed under the following name(s): F. Has the Developer or (if any) the parent corporation or any subsidiary or affiliated corporation of the Developer's officers or principal members, shareholders or investors been involved in litigation relating to a development project either voluntary or involuntary, within the past three years? ❑ No ❑Yes if yes, please provide the following in formation: Date: Place: General Description: Current Status: G. Total amount of development work completed by developer during the last three years: ht Projects currently in planning or development by the Developer or Principals of the development entity: Does any member of the Developers' Corporation/Partnership have any known relationship in connection with purchasing & implementing the Project with any member of the governing body of the Agency to which the accompanying proposal is being made, or to any officer or employee of the local public agency who exercises any functions or responsibilities in connection with the carrying out of the Project under which the local public agency covered by the Developers proposal is being made available? 0 No 0 Yes If yes, explain: J. Statements & other evidence of the Developers Qualifications & Financial Responsibility are attached thereto & hereby made a part hereof as follows: Developer Statement of Qualifications/Financial Summary 3 of 4 CERTIFICATION IMfe certify that this Developer Statement of Qualifications and Financial Responsibility & the attached evidence of the Developers qualifications and financial responsibility are true and correct to the best of my/our knowledge and belief, and that the information contained in this statement is considered public record and will be made available for public inspection and copying upon request. Availability of these public records begins when the Developer selection process includes public meetings. Name Name Title Title Signature Signature Date Date Street Address Street Address City, State & Zip City, State & Zip If the Developer is a Corporation, this statement should be signed by the President & Secretary of the Corporation; if an individual or proprietorship, by such individual; if a partnership, by one of the general partners; if an entity not having a President & Secretary, by one of its Chief Officers having knowledge of the financial status & qualifications of the Developer. Developer Statement of Qualifications/Financial Summary 4 of 4 Attachment 3 Area for medical facility New construction 404. Kimball Tower Existing buildings to be upgraded Morgan Tower Conceptual Site Plan l n'ii �rnnr; nirl 11. T ................... `v lUemu • 7I- Area reserved for medical facility Kimhall Tower Existing buildings to be upgraded Morgan Tower Kimball Tnwer Area reserved for medical facility View of new construction from Morgan Tower Existing view from D Avenue at Kimball Park View of new construction from D Avenue at Kimball Park :TING DATE: CITY OF NATIONAL CITY, CALIFORNIA COMMUNITY DEVELOPMENT COMMISSION COUNCIL AGENDA STATEMENT September 21, 2010 AGENDA ITEM NO. 28 ITEM TITLE: Resolution approving program parameters for an owner -occupied Housing Rehabilitation Program which will use Redevelopment Agency Low/Mod Set -Aside Funding for geographically targeted rehabilitation in the West Side Specific Plan Area and HOME Investment Partnership Funding in the remaining areas of the City. PREPARED BY: Alfredo Ybarr 336-4279 �'Q DEPARTMENT: Community Develop APPROVED BY: EXPLANATION: In both the Council approved 2005-2010 City of National City Housing Element and the Consolidated Plan 2010-2015, the need was identified to provide an Ownership Housing Rehabilitation Program to assist with preserving and maintaining affordable housing. The Housing and Grants staff have developed a detailed set of policies and procedures for the Housing Rehabilitation Program that protect the interests of the homeowner and the City by using a comprehensive set of checks and balances. Staff requests that Council review and approve the attached program parameters which detail the most salient aspects of the program's policies and procedures and to provide the requisite direction to finalize the necessary administrative documentation in order to proceed with the delivery of the Housing Rehabilitation Program benefiting owner occupants in the City of National City. FINANCIAL STATEMENT: ACCOUNT NO. APPRO APPROVE Finance MIS Funding for the Housing Rehabilitation Program will come from Council approved HOME Investment Partnership Funds and RDA Low/Mod Set -Aside Funds from the FY10-11 City budget. ENVIRONMENTAL REVIEW: Environmental reviews are not required at this time but will be required for each specific project address prior to any commitment of funds. ORDINANCE: INTRODUCTION: FINAL ADOPTION: STAFF RECOMMENDATION: Staff recommends the approval of the resolution approving the attached program parameters for the owner occupied Housing Rehabilitation Program serving low-income homeowners in National City. BOARD / COMMISSION RECOMMENDATION: 'ACHMENTS: . /Attachment to Staff Report for the Housing Rehabilitation Program detailing proposed program parameters. RESOLUTION NO. 2010 — RESOLUTION OF THE COMMUNITY DEVELOPMENT COMMISSION OF THE CITY OF NATIONAL CITY APPROVING THE PROGRAM PARAMETERS FOR AN OWNER -OCCUPIED HOUSING REHABILITATION PROGRAM WHICH WILL USE REDEVELOPMENT AGENCY LOW/MOD FUNDING FOR GEOGRAPHICALLY TARGETED REHABILITATION IN THE WEST SIDE SPECIFIC PLAN AREA AND HOME INVESTMENT PARTNERSHIP FUNDING IN THE REMAINING AREAS OF NATIONAL CITY, AND AUTHORIZING THE IMPLEMENTATION OF SAID PROGRAM WHEREAS, in both the City Council approved 2005-2010 City of National City Housing Element and in the HUD Consolidated Plan 2010-2015, the need was identified to provide an Ownership Housing Rehabilitation Program to assist low income homeowners with preserving and maintaining affordable housing; and WHEREAS, the City Council has appropriated $123,727 in Fiscal Year 2009-10 HOME Investment Partnership Funds, and $148,645 in Fiscal Year 2010-11 HOME Investment Partnership Funds; and WHEREAS, the CDC has approved $200,000 in RDA Low/Mod Set -Aside funds from the Fiscal Year 2010-11 RDA Budget to assist low-income owner occupants at or under 80% of Area Median Income to rehabilitate their homes; and WHEREAS, the CDC has developed program parameters for an owner -occupied Housing Rehabilitation Program which will use Redevelopment Agency Low/Mod Set -Aside Funding for geographically targeted rehabilitation in the West Side Specific Plan Area, and HOME Investment Partnership Funding in the remaining areas of the City; and WHEREAS, staff requests approval of the program parameters, and authorization to proceed with the implementation of the Housing Rehabilitation Program services benefiting owner occupants that reside in the city of National City. NOW, THEREFORE, BE IT RESOLVED, that the Community Development Commission of the City of National City hereby approves the proposed program parameters for the Ownership Housing Rehabilitation Program which will use Redevelopment Agency Low/Mod Set -Aside Funding for geographically targeted rehabilitation in the West Side Specific Plan Area, and HOME Investment Partnership Funding in the remaining areas of the City BE IT FURTHER RESOLVED that the Community Development Commission of the City of National City authorizes the implementation of the Ownership Housing Rehabilitation Program services benefiting owner occupants in the City of National City PASSED and ADOPTED this 21 st day of September, 2010. Ron Morrison, Chairman ATTEST: APPROVED AS TO FORM: Brad Raulston, Secretary Claudia G. Silva General Counsel, CDC ATTACHMENT TO STAFF REPORT FOR THE HOUSING REHABILITATION PROGRAM DETAILING PROPOSED PROGRAM PARAMETERS SOURCE DOCUMENTATION IN SUPPORT OF THE ACTIVITY The source documents in support of establishing a Housing Rehabilitation Program benefiting owner occupants in the City of National City are the 2005- 2010 National City Housing Element and the Consolidated Plan 2010-2015 (which details strategies to address identified housing and community development needs using Home Investment Partnership and Community Development Block Grant funds.) The Housing Priorities and Specific Objectives section of the Consolidated Plan 2010-2015 contains the reference to an Ownership Housing Rehabilitation Program with a five year objective to rehabilitate/repair 15 homes. APPROVED FUNDING SOURCES IN SUPPORT OF ACTIVITY HOME Investment Partnership Council Approval FY 09-10 $123,727 Council Approval FY10-11 $148,645 $272,372 RDA Low -Mod Set -Aside FY 2010-11 Approved Budget $200,000 Total Allocation of Funds $472,372 PROPOSED PROGRAM PARAMETERS The primary purpose of the City's Housing Rehabilitation Program (HRP) is to provide decent, safe, and sanitary housing throughout the City of National City. The objectives of the HRP are: 1. Revitalize aging single family properties in the City of National City. 2. Assist low income homeowners with financing to rehabilitate their property. 3. Target specific deteriorated neighborhoods as identified by staff. The Division of Housing and Grants has primary responsibility for the processing of applications considered for funding under the National City's Housing Rehabilitation Program (HRP). Following is a basic description of the program: 1. Eligible Property Type A property must be occupied by an income -eligible homeowner and be the owner's principal residence. The property must be a traditional single-family house or a condominium unit and is owned fee simple or other ownership form acceptable in the HOME Program regulations. Mobile homes and properties exceeding one dwelling unit do not qualify. 2. Eligible Costs Borrower must use loan proceeds only for costs of services, materials, if applicable, necessary to complete the rehabilitation of Borrower's property pursuant to the City approved specifications, plans and work write-up specifications.) 3. Interest Intake Form Applicants will be considered on a first -come first -served basis subject to funding availability by filling out an Interest Form to be kept on file. 4. Income Determination The HRP will utilize the Part 5 {HUD Section 8} definition for determining annual income. The applicant's gross monthly income shall include: • The applicant's gross wage earnings, which include, salary, overtime pay, commissions, fees, tips, and bonuses. • Interest and/or dividends. • Passbook value of equity in the subject property owned by the applicant. • Net income from business or net rental income. • Social security, annuities, pensions, retirement funds, etc. • Unemployment benefits • Alimony, child support, welfare payments. 5. Income Eligibility Qualified Borrower's must be low income, defined as having an income that does not exceed 80% of the San Diego/Carlsbad Metropolitan Area, adjusted for family size. The income figure is established by the Department of Housing and Urban Development (HUD) and periodically adjusted. A "household" means all persons occupying the housing unit as a place of residence. Currently the limits are: Number of persons in household Maximum income limit for household One person $44,000 Two persons $50,250 Three persons $56,550 Four persons $62,800 Five persons $67,850 Six persons $72,850 Seven persons $77,900 Eight persons $82,900 6. Housing Inspection and Property Assessment Staff shall visit the applicant's home and identify priority code violations, incipient code violations, and desired property improvements . As part of this inspection, staff shall conduct a Lead Based Paint Inspection if the property was built prior to 1978. Staff will complete set of repair specifications detailing which items need to be repaired and secure homeowner approval. The City may also help, if requested, with the process of getting contractors to bid on the work. The bids will be based on the repair specifications so that only the work specified. Health and safety hazards receive the highest priority. All health and safety hazards must be eliminated. The priority of items listed above will be determined, on a case -by -case basis. Consideration the following items will be given when determining the priority of items for inclusion in the work write-up: • The age and physical condition of the building occupants • Funds available for rehabilitation of each unit • Value of the unit after rehabilitation 7. Cost Evaluation and Rehabilitation Value All projects must be evaluated and certified for cost reasonableness before proceeding. A contingency cost factor of 10 percent will be used to help insure against cost overruns and enable completing a project successfully — within available funding, subsidy limits, and time allotments. Staff shall review the cost estimate and work write-up with the borrower. Borrower shall approve the cost estimate and work write-up in writing. Appraisals will be required on all properties. The ratio of total property debt to property value shall not exceed 100% of the after rehabilitation value. The value will be determined by an appraisal acceptable to the City. If the source of funds is the HOME Program, the after rehabilitation value of the property must not exceed 95% of the median purchase price for the San Diego/Carlsbad Metropolitan Statistical Area as published by HUD in accordance with the HUD Final Rule. 8. Contractor Selection The borrower does not need to choose the lowest bidder but any bidder chosen must be within the 10% margin from the City estimate. Selection of Contractor by borrower must be in writing. Staff shall insure that all the bids from contractors include the same work (i.e. apples for apples) 9. Loan terms: o The loan shall be due and payable upon sale, transfer, failure to occupy or additional encumbrance of the property whichever occurs first. o The interest rate will be 1 % simple interest. o The maximum loan amount is $40,000 with a possible corresponding grant of up to an additional $10,000 for Lead Hazard Remediation based on actual cost of lead hazard remediation and the actual cost of temporary relocation if necessary. o A minimum of $1,000 must be invested in each assisted unit. o A contingency of up to 10% of the construction estimate will be held in reserve. The total maximum loan amount remains $40,000 inclusive of any contingency amounts that may be used. o Loan applicant(s) must be the legal owner(s) of the property. o All loan payments will be deferred for the life of the loan. o All loans must be approved by the Executive Director of the Community Development Commission of the City of National City.) PROGRAM REQUIREMENTS OF SPECIFIC FUNDING SOURCES The above program particulars define the basic requirements of the Housing Rehabilitation Program for both the Geographically Targeted Rehabilitation in the West -Side Specific Plan Area and the HOME Investment Partnership funded remaining areas of the City. The guidelines meet the HOME Investment Partnership requirements to insure compliance with all federal statutes. Adherences to the HOME Investment Partnership rules for owner -occupied housing rehabilitation help create a detailed set of policies and procedures that protect the interests of the homeowner and the City by using a comprehensive set of checks and balances. They provide an excellent blueprint for any funding source. However there are a few specific differences for each funding source that are highlighted below: Term of Affordability Requirements • Low/Mod Set -Aside: Owner -occupied housing rehabilitation projects require that the home remain affordable to future buyers making less than 120% Area Median Income (based on family size) for a period of 45 years enforced by land covenant. Repayment of debt does not relieve the loan of its affordability requirements. • HOME Investment Partnership: Owner -occupied housing rehabilitation has no term affordability requirements. • Impact: While families receiving Low/Mod loans are restricted by who can buy their rehabilitated home from them, the current 120% of Median Income level for a family of four is $90,600 and that qualifying income would not effectively restrict the number of owner occupant buyers that could buy so the impact is negligible. It also insures continuing affordability and owner occupancy. Default of Superior Loan Cures • Low/Mod Set -Aside: Rehabilitation loans can only be given to those property owners whose existing lenders, if any, will agree to provide written commitments which would reasonably protect the City's investment in the event of a default on the first loan by allowing such recourse as: • A right of the agency to cure a default on the loan • A right of the agency to negotiate with the lender on terms and acceleration causes, etc. • A right of the agency to purchase the property from the owner at any time after a default on the loan. • HOME Investment Partnership: The right to cure a default on an existing loan is not a requirement of the HOME Investment Partnership by statute or by practicality (because HOME funds are more limited in availability than Low/Mod Set -Aside funds.) A foreclosure can cause, when values have dropped, the loss of HOME Funds and the loss of owner -occupancy. • Impact: Essentially, by being legally empowered to negotiate the terms of a superior mortgage or the value thereof under a Low/Mod loan, the City could purchase the loan and/or recast the terms and thus may be able to keep the family in their home through more favorable financing. Historic Preservation • Low/Mod Set -Aside: Does not have restrictive Historic Preservation requirements that can impede the start of repairs through a lengthy review process. • HOME Investment Partnership: HUD has a requirement for all HUD programs that an historic review process (Section 106) must take place on any property over 50 years old. This means that any property built before 1960 is affected. • Impact: The minimum time it takes to achieve historic property clearance is 30 days. Home Investment Partnership funds cannot be allocated to or spent on a project prior to that time. ITEM #29 9/21 /10 UPDATE ON AUDIBLE PEDESTRIAN TRAFFIC SIGNALS IN NATIONAL CITY (DEVELOPMENT SERVICES) ITEM #30 9/21/10 UPDATE ON THE RECENT SUBMITTAL OF FEDERAL TIGER II GRANT APPLICATION BY NATIONAL CITY (DEVELOPMENT SERVICES)