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HomeMy WebLinkAboutR39-Economic Development Agency ECONOMIC DEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO SUBJECT: PUBLIC HEARING - DISPOSITION OF AGENCY REAL PROPERTY LOCATED AT 145 NORTH SIERRA WAY (MEADOWBROOK PARK INFILL DATE: January 26,2004 HOUSING PROJECT - IVDA ______________________________________________________________________m____________________________________~_I?_F;Y~!;Q!'MF;~:r._!'_!!.Q~~~.!_~_~~J._m__ Svnonsis of Previous Commission/Conncll/Committee Action(s): On October 24, 2002, Redevelopment Committee Members Anderson, Suarez and Estrada voted unanimously to recommend to the Community Development Commission approval of an Agreement with ANR Industries, Inc_ for the development of 23 new infill single family housing units located in the area bounded by 2nd Street and Rialto Avenue, and Sierra Way and Allen Street, within the boundaries of the IVDA Redevelopment Project Area, and adjacent to Downtown San Bernardino. FROM: Maggie Pacheco Deputy Director ORIG\NAL On February 3, 2003, the Community Development Commission approved and authorized the Executive Director to execute the Meadowbrook Single Family Residential Grant Agreement ("Agreement") by and between the Agency and __~_~~!'~_tJ:!~~,_!I!!':_________________________________________________________________________________________________________________________________________________________ Recommended Motion(s): OPEN/CLOSE JOINT PUBLIC HEARING (Mavor and Common Council) MOTION A: A RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO APPROVING THE DISPOSITION OF CERTAIN REAL PROPERTY LOCATED AT 145 NORTH SIERRA WAY, CITY OF SAN BERNARDINO, BY THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO ("AGENCY") PURSUANT TO THE TERMS OF THAT CERTAIN MEADOWBROOK SINGLE F AMIL Y RESIDENTIAL GRANT DEVELOPMENT AGREEMENT, DATED FEBRUARY 3, 2003 BY AND BETWEEN THE AGENCY AND ANR INDUSTRIES, INC. (MEADOWBROOK HOUSING PROJECT) (Communitv Develonment Commission) MOTION B: A RESOLUTION OF THE COMMUNITY DEVELOPMENT COMMISSION OF THE CITY OF SAN BERNARDINO APPROVING THE DISPOSITION OF CERTAIN REAL PROPERTY LOCATED AT 145 NORTH SIERRA WAY, CITY OF SAN BERNARDINO, BY THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO ("AGENCY") PURSUANT TO THE TERMS OF THAT CERTAIN MEADOWBROOK SINGLE FAMILY RESIDENTIAL GRANT DEVELOPMENT AGREEMENT, DATED FEBRUARY 3, 2003 BY AND BETWEEN THE AGENCY AND ANR _________________________m__~_lJ_~I~_~~,}l'.'~jM~~2~!l!!.QQ~_!!Ql,T~~.Ci..I)!!.QJ!'~.1.1__~______________________________________________________ Contact Person(s): Maggie Pacheco Phone: (909) 663- 1044 1 Project Area(s) IVDA Project Area Ward(s): Supporting Data Attached: 0 Staff Report 0 Resolution(s) 0 Summary Report 0 Map(s) 0 Letters/Other FUNDING REQUIREMENTS Amount: $ SIGNATURE: None Source: N/A N/A /'/ ar/sdel, Executive Dir ctor Commission/Council Notes: _~"M_~__~::t~J____._..._________________________________________...__.______._____________.___________________________________ P:\Agendas\Comm Dcv Commission\CDC 2004\04-02-02 ANR Meadowbrook Park Infill Housing.doc 62-ESO "" c:{)('1200'j~S COMMISSION MEETING AGENDA Meeting Date: 02/0212004 Agenda Item Number: t.3 9 ECONOMIC DEVELOPMENT AGENCY STAFF REPORT Disposition of Al!:encv Real Property Located at 145 North Sierra Wav (Meadowbrook Park Intill Housinl!: Proiect IVDA Redevelopment Proiect Area) BACKGROUND/CURRENT ISSUE: On February 3, 2003, the Community Development Commission approved the Meadowbrook Single Family Residential Grant Development Agreement ("Agreement") with ANR Industries, Inc. ("Developer") for the development of twenty-three (23) new homes on the Developer's lots in the area between 2nd, Rialto, Sierra Way and Allen, including the Agency lot located at 145 North Sierra Way ("Agency Lot") (see Attachment I). The disposition and development of the Agency Lot is the subject of this particular staff report. In accordance with the provisions of Section 2.02 of the Agreement, the Developer has provided the Agency with the required Due Diligence Certificate and they are ready to undertake the construction of the affordable new single family housing unit ('New Home") on the Agency Lot which will eventually be sold to a Qualified Homebuyer (not to exceed 115% of the Area Median Income), as designated by the Developer, and as the term is defined in the Agreement. Prior to authorizing the Developer to proceed with the construction of the New Home on the Agency Lot, the Agreement requires the Mayor and Common Council and the Commission to conduct a public hearing to consider the disposition of the Agency Lot to a Qualified Homebuyer, in accordance with Health and Safety Code Section 33433. Moreover, the Agreement requires that the respective bodies approve the undertaking by the Developer of the construction of the New Home on the Agency Lot, by authorizing the execution of the License Agreement (Attachment 2) by and between the Agency and Developer which was approved as part of the Agreement in February 3, 2003. Upon completion of the New Home on the Agency Lot, the Agency shall transfer and sell all of its right, title and interest in the Agency Lot as improved with the completed New Home to the designated Qualified Homebuyer. The completed New Home purchase price payable by the Qualified Homebuyer to the Agency shall be an amount which does exceed the actual Net Development Cost for the New Home ($236,792), including the cost paid by the Agency for the Agency Lot ($25,000), as more specifically described in the Agreement. ENVIRONMENTAL IMPACT: The Community Development Commission has previously conducted all environmental findings related to the subject matter and no further environmental findings are required for the action contained in this staff report. P:\Agcndas\Comm Dev Comrnission\CDC 2004\04-02-02 ANR Meadowbrook Park Infill Housing.doc COMMISSION MEETING AGENDA Meeting Date: 02/02/2004 Agenda Item Nnmber: ;<,) 9 Economic Development Agency Staff Report ANR Industries, Inc. Meadowbrook Park Single Family Infill Housing Page 2 FISCAL IMPACT: The transfer of Agency Property to the Qualified Homebuyer will result in the recapture of the $25,000 the Agency expended for the Agency Lot. The Agency will incur no other costs associated with the construction of the New Home beyond what is authorized in the Agreement. RECOMMENDATION: That the Mayor and Common Council and Community Development Commission adopt the attached Resolutions. L P:\Agendas\Comm Dev Commission\CDC 2004\04-02.Q2 ANR Meadowbrook Park Infill Housing.doc COMMISSION MEETING AGENDA Meeting Date: 02/02/2004 Agenda Item Number: J?J9 I I I J "'... :1:> :1:> .sa 0.8 0'" c'" 5 c c... .. 0 ~ ~ SiA -~ llii: ~- 1CI2; "'~ ~E. >0 ~ >- "'> c ~ c ~ "'n ~~ ~> ~t :r> :rc Oc o~ :!.~ ~:r ~ ~g -0 '" ~:!. 0- -~ -Ill ~ t!N ::::a. ~8. 0,," 0"" "'''' 0 ",'" '" III e C\ n :r ;;; 0 ~ ~ 0 ; a. n ~ n :r ~ 0 .. ~ a. a. '" 0- ~ ~ D '" )> !:j :: ...> 0 ~ z ~ .. o '" ~ ~ - .:! ~ ~ m 0 ig. z € ~ll C ~ ~ .. ;- m a. ~ ~ n !!. < '" 0 ~ '" 0 m ::e n z z )> ~ Z m -f .... '" VI S' ~ ~ III ~ ... ... ii" ~ ... ~ -: 2. -< "" :: . c "ll a:: " ~ . ." 5- Ol G ~ 2. .~ "-l ~ - -<1 , ~ " :s ~ Attachment 1 t) SIERRA WAY @ i"!'--" . . . . . . . . :8: . . . . . . . . . . I. ..' @ ALLEN STREET ~ i ta. III iO "" ! 0 ~.. III "" 0 ~.. III "" 0 ~. III "" 8 e e 8 e @ ;0; z C\ III -f '" m m -f L III m 8 z C III -f '" m m -f I Attachment 2 REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO 2003 LICENSE AGREEMENT PERMITrING LIMITED ENTRY FOR AFFORDABLE HOUSING REHABILITATION WORK AND REAL ESTATE SALES AND MARKETING TO QUALIFIED HOMEBUYERS TIllS LICENSE AGREEMENT PERMrITING LIMITED . ENTRY FOR . AFFORDABLE HOUSING REHABILITATION WORK AND REAL ESTATE SALES AND MARKETING TO QUALIFIED HOMEBUYERS (this "License Agreement") is dated as of -> 2003, by and between (the "Participant'') and the Redevelopment Agency of the City of San Bernardino (the "Agency"), . and is entered into with respect to the facts set forth in the Recitals: RECITALS l. This License Agreement affepts certain improved property owned by the Agency situated at , San Bell1lU"dino, California (the "Agency Lot"). A legal description of the land on which the Agency Lot is located is attached hereto as Exhibit "A". 2. The Pilrticipant and the Agency have entered into an agreement entitled "Meadowbrook Single Family Residential Grant Developrnent Agreement" dated as of , 2003 (the "Meadowbrook Agreement") and the Pilrticipant has delivered its Notice of Intention to Rehabilitate and Resell dated . , 2003 to the Agency with iesPect to the Agency Lot andthe Participant and the MeadowbrookAgreementprovides for the Participant (referred to as the "Developer" in the Meadowbrook Agreement) to perform the . :Work as this terms is defined below, on the Agency, subject to the terms of this License Agreement. IN CONSIDERATION OF THE MUTUAL PROMISES OF THE PARTIES SET FORTH IN .THJS LICENSE AGREEMENT AND OTHER GOOD AND VALUABLE CONSIDERATION, THE RECEIPT AND SUFFICIENCY OF WHICH IS HEREBY ACKNOWLEDGED, THE PARTICIPANT AND THE AGENCY HEREBY AGREE, AS FOLLOWS: . Sectionl. DefinitionS. In addition to the definitions of certain words set. forth in the Recitals, the Meadowbrook Agreement or elseWhere in this License Agreement, the following words or phrases shall have the meanings set forth below: . · Completed New Agency Home. The term "Completed New Agency Home" refers to the New Home, as designed, constructed and installed by the Participant and ready for occupancy by the Qualified Homebuyer upon the completion of the Work by the Pilrticipant on the Agency Lot and the close of the New Agency Home Escrow. · Qualified Homebuyer. The term "Qualified Homebuyer" refers to the person or household who the Participant designates in writing to the Agency to acquire the fee title interest in the Completed New Agency Home upon the close of the New .' . . Agency Home Escrow. The Qualified Homebuyer shall certify to the Agency that the Qualified Homebuyer satisfies all applicable eligibility requirements to be the purchaser of the Completed New Home as set forth in the Meadowbrook Agreement. . New Agency Home Escrow. . The words "New Agency Home Escrow" refers to the real' estate conveyance transaction or escrow by and between the Qualified Homebuyer and the Agency. The conveyance of the fee title interest in the Completed New Agency Home shall be accomplished upon the close of the New Agency Home Escrow when the Participant has completed the Work, and the other conditions for the close of the New Agency Home Escrow as set forth in the . Meadowbrook Agreement have been satisfied. . Real Estate Sales and Marketing Work. The term "Real Estate Sales and . Marketing Work" refers to the services to be provided by the Participant relating to the marketing of the Completed New Agency Home for sale to a Qualified Homebuyer.' The Real Estate Sales and Marketing Work includes without limitation the presentation of the Completed New Agency Home to oIie or more Qualified Homebuyers for the purpose of cansing a Qualified Homebuyer to enter into a contract with the Participant and the Agency for the purchase of the Completed New Home upon the completion of all of the Work and the satisfaction of all of the applicable other terms and conditions pertaining to'such sale of the Completed New Home to the Qualified Homebuyer under. the Meadowbrook Agreement. Work. The terIl! "Work" refers to all of the activities of the Participant which may hereafter be undertaken on the Agency Lot subject to the terms and conditions of this License Agreeme!lt. Such Work includes: (i) the preparation of the Agency Lot for the construction of the New Agency Home, including the installation of all off-site public improvements and utility connections as required; . (ii) the construction and improvement of the New Agency Home in accordance with the New Home Plans; and (Hi) the Real Estate Sales and Marketing Work. . .SeCtion 2. Conditions of Agencv Lot At Time of License Agreement Upon the Effective Date of this License' Agreement, the Participant acquires no right of interest. in the '. Agency Lot except as provided in this License Agreement The termination of this License . Agreement by the Agency for any reason shall not give rise to any claim by the Participant for business displacement or other. loss under Government Code Section 7260 et seq.,' and the Participant hereby waives any such claim. Although not effective to imply that the Participant has acquired fee title to the Agency Lot, all notices by the Agency to the Participant, acknowledgements and waivers by the Participant, release of the Agency by the Participant and -disclaimers of the Agency relating to the condition of the Agency Lot as set forth in the Meadowbrook Agreement shall be effective as of the Effective Date of this LicenSe Agreemerit and aPply to the entry and performance of all Work on the Agency Lot by the Participant under this License Agreement; provided however,. nothing in. this License Agreement is intended to alter or amend the terms and conditions of the Meadowbrook Agreement as relate to the Project; the improvement of the Developer Lots, the sale and disposition of the New Homes thereunder or the Affordable Housing Development Grant. 1-- Section 3. Effective Date of License Altreement This License Agreement shall take effect (the ''Effective Date") on the date of the last of the following to occur: (1) this License Agreement is approved and executed by the Executive Director of the Agency, (2) this License Agreement is executed by the authorized representative of the Participant; and (3) theParticipailt provides the Agency with written evidence of the execution of the insurance. coverages on the Agency Lot and the Work as set forth in Section 10. ., Section 4. Covenants and Altreements. Oversight by the Agency of the Work or its .failure to do so, or through review or approval, by the Agency, or its representatives, of any documents or other matters permitted herein or4.e failure of the Agency to discover or identify non-conforming work or enforce its rights under this License Agreement shall not relieve the Participant of its obligations hereunder. The Agency takes no responsibility for the method, means or procedures employed by the Participant to perform the Work. The Agency makes no representation to the Participant as to the accuracy or completeness of any documents provided . to the Participant by the Agency or any other party in connection with the Agency Lot, the Work and the New Agency Home. Section 5. Indemnity. (a) :In addition to and cumulative with the agreement .of the Participant to indemnify the City and the Agency as set forth in the Meadowbrook Agreemellt, the Participant hereb~ llgrees to indemnify, protect, hOld harmless and defend the Agency, the City and the elected officials, officers, employees, attorneys and agentS of both of them, with counsel approved by the Agency, from and against any and all claims, demands, damages, losses; liabilities, obligations; penalties, fines; actions, causes of action, judgments, suits, proceedings; costs, disbursements and expenses, including, without liIilitation, fees, disbursements and costs of attorneys, environmental consultants and experts of any nature whatsoever (collectively, "Losses") that may, at any time, be imposed upon, incurred or suffered by, or asserted or awarded against, the Agency directly or indirectly relating to activities of the Participaht occurring af or relating to the Agency Lot during the period from the Effective Date of this License Agreement until the date on which the fee title interest in the Completed New Agency Home is transferred to a Qualified Homebuyer: I. The failure of the Participant or its agents to perform the Work in accordance with Environmental Laws; 2. The failure of the Participant or its agents to complete, obtain, subniit and/or file any and . ali notices, permits, licenses and authorizations required by Environmental Laws in connection with the Work and/or any investigation, inquiry, . order, hearing, action or other proceeding by or before any governmental agency in . connection with the violation of any Environmental Laws by the Participant or its agents arising during the course of the Work; . 3. The failure of the Participant to implement and enforce any monitoring, notification or other precautionary measures on the Agency Lot that may, during the term .of this License Agreement, be required under applicable Environmental Laws to protect . against the unlawful release, potential unlawful release or unlawful discharge of Hazardous Substance Waste from the Agency Lot; 4. Any claim for injury or death to persons or loss or damage to property at or adjacent to the Agency Lot accruing or arising from the activities of Participant or its agents at the Agency Lot 4uring the period that the Participant is performing any Wode. (b) All obligations of the Participant under the indemnity given in this Section 5 of :this License Agreement are payable immediately upon a determination by the Agen~y that such obligations are due. Any amount due and payable hereunder to the Agency by Participant that is not paid within thirty (30) days after it is due, will bear interest from the date it is due at the rate . of ten percent (10%) per annum. The enviroumental indemnity given by the Participant in this section of this License Agreement will survive termination of this License Agreement Section 6. License to Enter Agencv Lot and Perform the Wode. ~ . (a) Subject to the terms and conditions of this License Agreement, as of the Effective Date, the Agency hereby permits, authorizes and licenses the Participant and its agents and . subcontractors to enter the Agency Lot and perform the Work. (b) The Agency Executive Director shall have the right to order the suspension of the Work by written notice to the Participant.(the "Notice of Snspension") in the event that the . Agency Executive Director reasonably determines that the Participant has failed to substantially comply with its material obligations under this License Agreement The Notice of Suspension . shall set forth (i) the specific t:eiison fot suspension and (ii) permit the Participant not less than ten (10) business days to cure such failure prior to the effective date of the susPension; . {iii)indicate the number of days during which the suspension is to be in effect and (iv) indicate measures (if any) which the Participant shall implement in order to correct or lift the suspension. Nothing in this subsection shall be deemed to limit the righ~ of the Agency to terminate this License Agreement in accordance with its rights under Section 13 below. (c) If, following the Effective Date, the Participant desires to perform any work item not specifically set forth in the )cope of the Work, the Participant shall request in writing the Agency Executive Director to approve each additional item of work, prior to the performance of " Such work on the Agency Lot 'If no response is received by the Agency Executive Director . within 15 calendar days following receipt of such request, then such request shall be deemed approved. The written approva.I of the Agency Executive Director shall not be unreasonably withheld. The Agency Executive Director may condition his approval of such additional work upon compliance by the Participant with such special conditions as may then be deemed appropriate by the Agency Exec~tive Director, in his reasonable discretion. . (d) The Participant" shall perform the Work in an efficient and workmanlike manner in aCcordance with the New Agency Home Plans as approved by the Agency. Any and all items or materials brought onto the Agency Lot by the Participant pursuant to this License Agreement, including without limitation; any and all equipment, machinery, temporary structures or temporary construction site fencing and the like, shall as between Participant and the Agency, be and remain the personal property of Participant Section 7. Unoermitted Events. The Participant shall not cause or permit any inaterial or substance of any kind to be released dr" discharged on; in; under or about the Agency Lot in any manner as to violate any Enviroumental Laws, regulation; permit or order of any court or governmentill agency or authoritY or iU any manner as to require rem~ation or removal thereof under any Environmentill Laws. If an Unpermitted Event occurs then the Participant shall immediately remedy, repair and. remediate any damage or hatm caused by such Unpermitted Event; and shall notify the Agency of such Unpennitted Event as soon as possible, but in all cases within seven (1) calendar days of the discovery of such Unpermitted Event. Section 8. Terminatidn. This License Agreement shall terminate upon the. earlier to OCCUr of the following: 1. Written notice of termmation by the Agency to Participant in accordance with Section 12 below; 2. The date of the close of New Agency Home Escrow; 3. The first (In) anniversary following the Effective Date of this License Agreement; unless the Agency may in its reasonable discretion, agree to extend the term of this License Agreement. Section 9. Survival of' Provisions. Notwithstanding the expiration of the license granted by this License Agreement; thepartie's' rights and obligations pursuant.to Sections 4, 5; 7, 10 and 11 of this License Agr~mentshall survive and remain in full force and effect.. Section 10. Insurance.;.. (a) Participant shall maintain or cause their contractors to maintain appropriate ii1sll1imce coverage for all Work conducted pursuant to this qcense Agreement and will cause the Agency and the City and the elected officials, officers, employees, attorneys and agents of the both of them to be named as an additional named insured under all such policies. Prior to entering onto the Agency Lot and. commencement of any of the part of the Work, Participant shall submit and/or cause to be .submitted to the Agency reasonably acceptable evidence of the following insurance coverage on behalf of Participant and its contractors and subcontractors: (i) all statutorily required workerS compensation coverage, (ii) comprehensive or commercial . general liability (bodily injuryimd property damage) coverage in the amount of not less then $2,000,000 combined single linrit; 'including the following 8Upplementary coverages: (a) . contractual liability to coverliiibilityassumed under this License Agreement; . (b) [iroductand completed operations Iiiibility insunuice, (c) pollution liability endorsement (d) broad form property damage liability and (e) builder's risk coverage, including coverage for claims of construction defects, and (Hi) all;tomobile bodily injury and property damage liability insurance '. with limits of liability of such insurance not less than $500,000 per persoo/$l,OOO,Ooo per occurrence for bodily injUf)(. and .$500,000 per occurrence for property damage, covering owned, ilon-owned and hired vehicles .ilsed in the . performance of the Work and naming the Agency as an additional insured. Participant's insurance shall be prinuuy ~verage and the Agency's . 'insunuicelself~insll1imce shall n~t be contributory. Any and all insurance obtained' hereunder shall be obtained from insurance companies admitted in the State of California and rated at least B+:XlI in Best's insurance Guide, or. in special circumstances, be preapproved by both the Executive Director of the Agen,?yand the Agency,General Counsel. o (b) The above insunuii:e sball include a requiIement that the insurer provide' the Agency with thirty (30) days' written notice prior to the effective date of any cancellation or material change of the insurance. The worker's compensation insurance specified abov~ shall contain a waiver of subrogation against the Agency and an assigmnent of statutory lien, if applicable. The comprehensive general liability and automobile insurance specified above shall name the Agency, the City and the elected officials, .officers, employees, attom!lYS and agents of both of them as additional insureds with respect to operations performed under this License Agreement. All insurance carried .by Participant and each of its contractors and subcontractors relating to the Work shall provide a waiver of subrogation against the Agency. Section 11. Agencv to Permit Particioant to Record Certain Construction Financin!!: Security Interest on the A!!:ency Lot Durin!!: Term of License A=ment. . [i'BXT TO BE FINALIZED DURING DUE DILIGENCE PERIOD AND PRIOR TO PUBUC HEARlNG FOR DISPQSmONOFNEW AG~CY HOME AS PROVIDED IN SECTION 2.02(b) OF THE MEADOWBROOK AGREEMENT SUCH THAT THE PARTICIPANT'S C()JofSTRUCTIQNLENDERMAYOBT~ A SECURITY INTEREST IN THE AGENCY . LOT.(WrtHOUT REcoURSE TO ANY OTHEltASSETS'OFTIfBAGENCY TIYPROVIDE FOR CONSTRUCTION LOAN FUNDS to THE PARTICIPANT TO CONSTRUCT AND IMPROVE THE NEW AGENCY HOME ~ SUCH PERMITTED CONSTRUCTION LOAN SECuRITY INTEREST SHALL CONTAIN LOAN DISBURSEMENT CONTROLS SUCH THAT LOAN AMOUNTS SECURED BY THE AGENCY LOT. SHALL BE USED AND APPLIED BY THE PARTICIPANT SOLELY FOR THE IMPROVEMENT OF 'i'HE NEW AGENCY HOME AND NOT OTHER NEW HOMES IN THE PROJECT]. Section 12. Notice to the Parties. For the purpqse of this License Agreement, cOmmunications and notices among the parties shall be in writing and shall be deemed to have been given when actually delivered, if given by hand delivery or transmitted by overnight courier service, or if mailed, when deposited in the United States Mail, First Class, postage prepaid, return receipt requested and delivered to or addressed as follows: l . To the Agency: Redevelopment Agt;ncy of the City of San Bernardino . 201 North "E" Street, Suite 301 . San Bernardino, California 9240 I .Attention: Executive Director . Phone: (909) 663-1044 FAX: (909) 888-9413 To Participant: Phone: FAX: Section 13. All Costs Associated with the Work Shall be Paid Bv Particioilnt. As between Participant and the Agency, all costs incurred in connection with performance of any item of the Work shall be the sole responsibility of and be paid by Participant. If any claim or lien is recorded or asserted against the Agency Lot for any materials supplied or labor or . ptofessionaiservices performed directly or indirc;ctly for Participant relating to the Work, then the Participant shall satisfy and discharge such lien, at the sole cost and expense of Participant, within five calendar days of notice to Participant of the existence or assertion of such claim or lien. . H the Participant disputes the claim or lien and, therefore, elects fiot to satisfy and discharge the claim or lien, as required in the preceding sentence, then Participant shall, within five calendar days of notice to PartiCipant of the existence or assertion of such claim or lien, either (i) file with the Agency a payment bond issued by a California admitted surety that rnns to the benefit of the Agency in the amount of 125% of the aggregate amount of the claim or lien stated by the party asserting such claim or lien, conditioned Jor the payment of any sUm that the claimant or lien or may recover on the claim or lien, together with any costs of suit incurred in enforcing such claim or lien or (ii) post with the Agency cash collateral or other security reasonably acceptable to the Agency for payment of such claim or lien. Section 14. ConflictslDisDutes. H a conflict arises between applicable regulations relating to the Work, the most stringent regulatory requirement shall control. In the event there is a disagreeinent in connection with the interpretation of therequireinents of any regulations, then the Agency and the Participant will promptly endeavor. in good faith to resolve such disagreement. H no resolution can be reached within5 days of such disagreement, then the interpretation of the Agency (exercised in good faith consistent with a reasonable interpretation of indnstry standards) shall apply. Except for the matters to be addressed as set forth above in the two.. (2) preceding sentences, if a qispute arises between the parties to this license Agreement, the parties hereto agree to 'use the following procedure to resolve such dispute, prior to pursuing other legal remedies: . . 1. A meeting shail be held promptly between the parties that will be attended by individuals with decision-making authority, who will attempt in good faith to negotiate a resolution. of the' dispute. 2. If the parties are unsuccessful in resolving the dispute under (a), above, they may initiate litigation upon forty five (45) days advanced written notice to.the other . .parties. Section 15. Default. H a party fails to fulfill any material obligation of this License Agreement,. the other party may give written notice to that party of such failure,and in the event that party fails to remedy such failure within ten calendar days of receipt of such notice, the notifying party may terminate this License Agreement by a second written notice and/or pursUe . whatever other legal or equitable remedies are available. Section 16. Governing Law. . The parties hereto acknowledge that this license Agreement has been negotiated and entered into in California. The parties hereto expressly agree that this License Agreement shall be governed by, interpreted under;. and construed and . enforced in accordance with the laws of the State of California and if controlling, by the laws of the United States. Further, the parties to this License Agreement hereby agree that any legal aCtions arising from this License Agreement shall be filed in California Superior Court, in the . Court of San Bernardino, Central District or the appropriate federal court in such district. . Section 17. Partial Invalidity. If any term or provision or portion of this License Agreement or the application thereof to any person or circumstance shall, to any extent, be invalid or unenforceable, the remainder of this License Agreement, or the application of such. term or provision or portion thereof to persons or circumstances other than those as to which it is held invalid or unenforceable, shall not be affected thereby, and each such tCtm and provision of this License Agreement shall be valid and enforced to the fullest extent permitted by law. Section 18. No Intent to Create Third Party Beneficiaries. The parties intend that the rights and obligations under this..License Agreement shall benefit and burden only the parties hereto, and do not intend to create any rights in, or right of action to or for the use or benefit of any third party, including any governmental agency, who is not one of the parties to this License Agreement Section 19. Waivers. No waiver of any breach of any covenant or provision herein Contained shall be deemed a waiver of any preceding or succeeding breach thereot: or of any other covenant or provision herein contained. No extension of the time for performance of any obligation or act to be performed herein shall be deemed to be an extension of the time for performance of any other obligation or act to be performed under this License Agreement Sectio020. Professional Fees. If any action or suit by. a party hereto is brought against another party hereunder by reason of any breach of any of the covenants, agreements or. provisions on the part of the other party arising .out of this License Agreement, the prevailing party shall be entitled to have andf!:Cover of ;and from the other party all costs and expenses of - the action or suit, any appeals -therefrom, and enforcement of.any judgment in connection therewith, including reasonable "attorneys' fees, accounting and engineering fees, and any other professional fees resulting therefrom. The words "reasonably attorneys' fees and costs" in the case of the Agency mean and in~hide the salaries and benefits payable to the attorneys employed by the Office of City Attorney, allocated on an hourly basis, who provide legal" services to the Agency in connection with any such action. Section 21. Meadowbrook Agreement and Performance of the Work Under the LicenSe Alireement This LicenSe Agreement (including all Exhibits attached hereto) is the final expression ot: and contains the entire agreement between, the parties with respect to the performance of the Work by the Developer on the Agency Lot However, nothing in this License Agreement shall be deemed to supercede the provisions of the Meadowbrook Agreement which pertain to the development and improvement of the ProjeCt, as defuied therem, on the Developer Lots or the provisions of the Meadowbrook Agreement as relate to the Affordable Housing Development Grant Thepitrties do not intend to confer any benefit hereunder on any . person, firm or corporation other than the parties hereto. . . Section 22. Constructidn.. Headings at the beginning of each paragraph and sUbparagraph are solely for the. convenience of the parties and are not a part of this LiceilSe Agreement Whenever required by the context of this License Agreement, the singular shall .include the plural and the masculine shall include the feminine and vice versa. This License Agreement shall not be conStrued as if it had been prepared by one of the parties, but rather as if all parties had prepared the same. Unless otherwise indicated, all references to sections are to .this License Agreement All exhibits referred to in this License Agreement are attached hereto and incorporated herein by this reference. If the date on which any action is required to be performed under the terms of this License Agreement is not a business day, the action shall be taken on the next succeeding business day. Section 23. Countemarts. This License Agreement may be executed in one or more Counterparts, each of which sh311 be an original, and all of which together shall Constitute a . single instrument. This License Agreement may be executed by facsimile signatures, and each facsimile counterpart, when taken together, shall be deemed an original. . . . IN WITNESS WHEREOF, the Participant and the Agency hereby execute this License Agreement as evidenced by the signatures of their anthorized representatives: . PARTICIPANT By: Name: Title: Date: AGENCY Redevelopment Agency of the City of San Bernardino Date: By: Gary Van Osdel Executive Director \ EXHIBIT "N' Legal Description of the Agency Lot ~ DESClU~J:ON Real, property, i'n the City of San Bernardino, COuhty of San Bernardino, State of California, described as follows: ,Lot 6, Block "A" ,Daley Tract, in the City of San Bernardino, 'County of San Bernardino, State' of Califomia, as per plat recorded in book 6 of Maps, page 34, records of said county. APN: 0135-292-01-0-00 c. e 2 3 4 5 6 7 8 9 10 11 12 13 e 14 15 e 25 RESOLVTIO~f()) [Q) r A RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO APPROVING THE DISPOSITION OF CERTAIN REAL PROPERTY LOCATED AT 145 NORTH SIERRA WAY, CITY OF SAN BERNARDINO, BY THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO ("AGENCY") PURSUANT TO THE TERMS OF THAT CERTAIN MEADOWBROOK SINGLE FAMILY RESIDENTIAL GRANT DEVELOPMENT AGREEMENT, DATED FEBRUARY 3, 2003 BY AND BETWEEN THE AGENCY AND ANR INDUSTRIES, INC. (MEADOWBROOK HOUSING PROJECT) WHEREAS, the Redevelopment Agency of the City of San Bernardino ("Agency") is a public body and politic, exercising governmental functions and powers and organized and existing under Chapter 2 of the Community Redevelopment Law of the State of California 16 (Health and Safety Code Section 33020, et seq.); and WHEREAS, the Agency owns real property located at 145 North Sierra Way (APN: 0135-292-01) (the "Property") which will be developed wilh a new single family home by ANR Industries, Inc. ("Developer") per the Meadowbrook Single Family Residential Grant Agreement approved by the Community Development Commission on February 3, 2003 (the "Agreement"); and WHEREAS, the Agency wishes to transfer the Property to a Qualified Homebuyer (not 17 18 more than 115% of the Area Median Income) for the purpose of providing affordable housing consistent with the provisions of the Redevelopment Plan for the IVDA Redevelopment Project 19 20 Area, and 21 WHEREAS, the Agency has prepared and published a public notice In The San Bernardino County Sun Newspaper on January 19 and January 26, 2004 regarding the 22 23 development and disposition of the Agency Property to a Qualified Homebuyer, and 24 /1/ /1/ -1- P;\Al:endas\Rulllulions\Rnolullons\2004\04-02-02 ASR Meaduwbrook MCC Reso A.doc e 2 3 4 5 6 7 8 9 10 11 12 13 e 14 25 e . WHEREAS, the Property will be developed with a new single family home ("Completed New Agency Home") by the Developer, which said Completed New Agency Home will be sold to a Qualified Homebuyer, as designated by Developer, for an amount which does not exceed the actual Net Development Cost ($236,792) for the Completed New Agency Home as confirmed by the Net Development Cost Certificate by the Developer, including the cost paid by the Agency for the Property ($25,000) ("Fair Market Value"), which was based upon the Developer's written budget for the improvement of the Completed New Agency Home, pursuant to the terms of that certain Agreement between Agency and Developer; and WHEREAS, pursuant to Section 33433(c), the Agency may transfer the Property subject to the legislative body adopting a Resolution authorizing the Agency to transfer said Property to a Qualified Homebuyer, and furthermore, the Agency is exempt from preparing the Summary Report pursuant to Section 33433 (a) (2) (A) because the transfer involves the disposition of a small housing project as defined in Section 33013. 15 NOW, THEREFORE, IT IS HEREBY RESOLVED, DETERMINED AND ORDERED BY THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO, AS FOLLOWS: 16 Section I. On February 2, 2004, the Mayor and Common Council conducted a full 17 and fair joint public hearing with the Community Development Commission of the City of San Bernardino relating to the disposition of the Property to a Qualified Homebuyer in order to effectuate the provisions of the approved Agreement. The minutes of the City Clerk shall 18 19 20 include a record of all communication and testimony submitted to the Mayor and Common 21 Council and the Community Development Commission by interested persons relating to the joint public hearing. 22 23 Section 2. This Resolution is adopted in order to satisfY the provisions of Health and 24 Safety Code Section 33433 as it relates to the disposition of Agency Property. The Mayor and Common Council hereby find and determine as follows: -2- P;\Al;endUIRewlulluns\RullluliomI2004104.02.02 ANR Meadl.lwbrook Mee ReiO A.doc e _]3 -14 T 2 (I) The disposition of Agency's Property to a Qualified Homebuyer is consistent with the Redevelopment Plan for the IVDA Redevelopment Project Area, the Agency 3 Implementation Plan, and the Agreement; 4 (2) The transfer of Agency Property by the Agency, subject to the 5 satisfaction of the terms and conditions of the Agreement, has been determined by the Mayor and Common Council to be beneficial and will sustain the implementation of the redevelopment plan and assist the community in increasing the supply of affordable housing for low- and 6 7 moderate-income households. 8 Section 3. The Mayor and Common Council hereby find and determine that no 9 10 further environmental review of the disposition of the Property pursuant to the Agreement is necessary at this time under the California Environmental Quality Act (CEQA). 11 Section 4. The Mayor and Common Council hereby approve the disposition and 12 transfer of Property to a Qualified Homebuyer by the Agency as set forth in the Agreement. Section 5. This Resolution shall take effect upon its adoption and execution in the manner as required by the City Charter. 15 1// -3- P:\AgendnIRelolulionsIRl'soluflons\2004\Q4.02_02 A~'R Meadowbrook MCC RUG A.dol: _ 2 3 4 5 6 7 8 9 10 11 12 13 _14 15 16 e25 A RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BER1\IARDINO APPROVING THE DISPOSITION OF CERTAIN REAL PROPERTY LOCATED AT 145 NORTH SIERRA WAY, CITY OF SAN BERNARDINO, BY THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BER"IARDINO ("AGENCY") PURSUANT TO THE TERMS OF THAT CERTAIN MEADOWBROOK SINGLE FAMILY RESIDENTIAL GRANT DEVELOPMENT AGREEMENT, DATED FEBRUARY 3, 2003 BY AND BETWEEN THE AGENCY AND ANR INDUSTRIES, INC. (MEADOWBROOK HOUSING PROJECT) I HEREBY CERTIFY that the foregoing Resolution was duly adopted by the Mayor and Common Council of the City of San Bernardino at a meeting thereof, held on the day of , 2004, by the following vote to wit: Council Members: Abstain Aves Navs Absent ESTRADA LONGVILLE MCGINNIS DERRY SUAREZ ANDERSON MC CAMMACK J7 Rachel G. Clark, City Clerk 18 The foregoing resolution is hereby approved this day of ,2004. 19 20 Judith Valles, Mayor City of San Bernardino 21 Approved as to form and Legal Content: BYF71'~ ty Attorney 22 23 24 -4- P;\Agtnd"s\R~olulion5\Resollltlons\2004\04-02-02 ANR Mudowbrook MCC ReiO A.doe . 0 . 3 4 5 6 7 8 9 10 11 12 13 . 14 15 16 25 . . RESOLUTION l\(b 0 (P)f A RESOLUTION OF THE COMMUNITY DEVELOPMENT COMMISSION OF THE CITY OF SAN BERNARDINO APPROVING THE DISPOSITION OF CERTAIN REAL PROPERTY LOCATED AT 145 NORTH SIERRA WAY, CITY OF SAN BERNARDINO, BY THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERt"lARDINO ("AGENCY") PURSUANT TO THE TERMS OF THAT CERTAIN MEADOWBROOK SINGLE FAMILY RESIDENTIAL GRANT DEVELOPMENT AGREEMENT, DATED FEBRUARY 3, 2003 BY AND BETWEEN THE AGENCY AND ANR INDUSTRIES, INC (MEADOWBROOK HOUSING PROJECT) WHEREAS, the Redevelopment Agency of the City of San Bernardino ("Agency") is a public body and politic, exercising governmental functions and powers and organized and existing under Chapter 2 of the Community Redevelopment Law of the State of California (Health and Safety Code Section 33020, et seq.); and WHEREAS, the Agency owns real property located at 145 North Sierra Way (APN: 0135-292-01) (the "Property") which will be developed with a new single family home by ANR Industries, Inc. ("Developer") per the Meadowbrook Single Family Residential Grant Agreement approved by the Community Development Commission on February 3, 2003 (the 17 "Agreement"); and 18 WHEREAS, the Agency wishes to transfer the Property to a Qualified Homebuyer (not more than 115% of the Area Median Income) for the purpose of providing affordable housing consistent with the provisions of the Redevelopment Plan for the IVDA Redevelopment Project Area, and 19 20 21 22 WHEREAS, the Agency has prepared and published a public notice In The San 23 Bernardino County Sun Newspaper on January 19 and January 26, 2004 regarding the development and disposition of the Agency Property to a Qualified Homebuyer, and 24 /11 -1- P;\~\lltndas\Rfwlulions\Resolulion!;\2004\04-02-02 AI'iR :vJndowbruok CDC Reso B.doe e 2 3 4 5 6 7 8 9 10 11 12 13 e 14 15 16 , 25 e , WHEREAS, the Property will be developed with a new single family home ("Completed New Agency Home") by the Developer, which said Completed New Agency Home will be sold to a Qualified Homebuyer, as designated by Developer, for an amount which does not exceed the actual Net Development Cost ($236,792) for the Completed New Agency Home as confirmed by the Net Development Cost Certificate by the Developer, including the cost paid by the Agency for the Property ($25,000) ("Fair Market Value"), which was based upon the Developer's written budget for the improvement of the Completed New Agency Home, pursuant to the terms of that certain Agreement between Agency and Developer; and WHEREAS, pursuant to Section 33433(c), the Agency may transfer the Property subject to the legislative body adopting a Resolution authorizing the Agency to transfer said Property to a Qualified Homebuyer, and furthermore, the Agency is exempt from preparing the Summary Report pursuant to Section 33433 (a) (2) (A) because the transfer involves the disposition of a small housing project as defined in Section 33013; and WHEREAS, upon approval of the disposition of the Property, the Agency shall also authorize the execution of the Agency License Agreement (Exhibit "B" of the Agreement) pursuant to Section 2,02, "Disposition of Agency Lot," of the Agreement 17 NOW, THEREFORE, THE COMMUNITY DEVELOPMENT COMMISSION OF THE CITY OF SAN BERNARDINO DOES HEREBY RESOLVE, DETERMINE AND ORDER, AS FOLLOWS: 18 19 Section I, On February 2, 2004, the Community Development Commission 20 conducted a full and fair joint public hearing with the Mayor and Common Council of the City of San Bernardino relating to the disposition of the Property to a Qualified Homebuyer in. order to effectuate the provisions of the approved Agreement The minutes of the City Clerk shall 21 22 23 include a record of all communication and testimony submitted to the Mayor and Common 24 Council and the Community Development Commission by interested persons relating to the joint public hearing, -2- P;\Agl'ndlls\Rull]ulion~\Ruolu(i(lns\2004\04_02_02 ANR MndowbrO(lk CDC Rl'SO B.doc f .2 Section 2. The Executive Director of the Agency ("Director") is hereby authorized and directed to transfer to a Qualified Homebuyer the Agency Property on behalf of the said Commission in order to effectuate the provisions of the approved Agreement and is further 3 4 authorized to execute the Agency License Agreement. 5 Section 3. The Director is authorized to make changes to the Agreement and the 6 Agency License Agreement, provided said changes are not substantive in nature and do not 7 increase the Agency's financial contribution to the project, and as approved by Agency 8 Counsel. 9 Section 4. The Community Development Commission hereby finds and determines 10 that no further environmental review of the disposition of the Property pursuant to the II Section 5. 12 1// 13 .14 /1/ /1/ 15 /1/ 16 1// 17 1// 18 1// 19 1// 20 /1/ 21 1// 22 1// 23 1// 24 1// 25 /1/ e Agreement is necessary at this time under the California Environmental Quality Act (CEQA). The Resolution shall become effective immediately upon its adoption. -3- P:\Ag~ndn\Resolutionl\Resolullunl\1004\04-02.02 ANR Meaduwbrook cuc Rnu B.doc e e 25 J' 2 A RESOLUTION OF THE COMMUNITY DEVELOPMENT COMMISSION OF THE CITY OF SAN BERNARDINO APPROVING THE DISPOSITION OF CERTAIN REAL PROPERTY LOCATED AT 145 NORTH SIERRA WAY, CITY OF SAN BER.~ARDINO, BY THE REDEVELOPMENT AGENCY OF THE CITY OF SAN BERNARDINO ("AGENCY") PURSUANT TO THE TERMS OF THAT CERTAIN MEADOWBROOK SINGLE FAMILY RESIDENTIAL GRANT DEVELOPMENT AGREEMENT, DATED FEBRUARY 3,2003 BY AND BETWEEN THE AGENCY AND ANR INDUSTRIES, INC (MEADOWBROOK HOUSING PROJECT) 3 4 5 6 7 I HEREBY CERTIFY that the foregoing Resolution was duly adopted by the 8 Community Development Commission of the City of San Bernardino at a meeting 17 18 Secretary 19 The foregoing resolution is hereby approved this day of ,2004. 20 21 22 Judith Valles, Chairperson Community Development Commission of the City of San Bernardino 23 24 By: -4- P:\Agend15\RC'lohllionl\Rnolulionl\1004\04_02_02 ANR Mudowbrook CDC Relo B.doc