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HomeMy WebLinkAboutS03-Public Works I CITY OF SAN BERNARDINO - REQUEST !;OR COUNCIL ACTION File DJ. ,.l-ype II 94-21 Authorization to Execute Agreement Subject: with Ruba Enterprises - Deferral of Development Fees for Denny's Restaurant @ 5975 Palm Avenue From: ROGER G. HARDGRAVE Dept: Public Works Date: 12-6-94 Synopsis of Previous Council action: 09-06-94 -- Authorization granted to execute Owner Participation Agreement (OPAl with Ruba Enterprises approving a loan for $1,400,000. ~D:.\H' , "'FI<'LCE'J 13 DEC 9< 3: 31 Recommended motion: Adopt resolution. cc: Shauna Clark Jim Penman Stafford Parker Al Boughey iJ~ Contact person: Roqer G. Hardqrave Staff Report, Agreement & Resolution Phone: 5025 Supporting data attached: Ward: 6 FUNDING REQUIREMENTS: Amount: N/A Source: (Acct, No.) (Acct. DescriPtion) Finance: Council Notes: 75.0262 Agenda Item No. .C; -;:-~ CITY OF SAN BEROARDINO - REQUESTOOR COUNCIL ACTION STAFF REPORT A building for general commercial uses was constructed in connection with the ARCO Service Station, at 5975 Palm Avenue. Development fees were paid at time of development as established for general commercial uses. The owner has since been successful in attracting a Denny's Restaurant to occupy the cOMmercial building. Extensive tenant improvement will be nee Qed to convert the building for use as a restaurant. Development fees for a restaurant are consider- ably different than for a general commercial building. The addi- tional amount of Storm Drainage Fees is $6,235.08, and the Traffic System Fee is $11,860.00. The developer arranged financing for the conversion of this building, and construction of the required number of additional parking spaces, without being aware of the additional amounts due for Storm Drainage and Traffic System Fees. There- fore, no funds are presently available to finance these addi- tional fees. The Agreement presented for your consideration provides that these additional amounts of development fees may be deferred for up to two (2) years from the date of issuance of the temporary Certificate of Occupancy. The final Certificate of Occupancy will not be issued until these development fees have been paid in full. URGENCY CLAUSE: The applicant has applied for development permits, and needs to get this issue of the fees resolved, in order that construction can proceed on conversion of the existing commercial building for a Denny's Restaurant. 12-6-94 75-0264 c o 1 RESOLUTION NO. 2 RESOLUTION OF THE CITY OF SAN BERNARDINO AUTHORIZING THE EXECUTION OF AN AGREENENT WITH RUBA ENTERPRISES, INC., RELATING 3 TO THE DEFERRAL OF ADDITIONAL STORM DRAINAGE AND TRAFFIC SYSTEM FEES FOR CONVERSION OF A BUILDING AT 5975 PALM AVENUE FOR A 4 DENNY'S RESTAURANT. 5 6 BE IT RESOLVED BY THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO AS FOLLOWS: 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 SECTION 1. The Mayor of the City of San Bernardino is hereby authorized and directed to execute, on behalf of said City, an Agreement with Ruba Enterprises relating to the deferral of additional Storm Drainage and Traffic System Fees, for conversion of a building at 5975 Palm Avenue for a Denny's Restaurant. A copy of said agreement is attached hereto, marked Exhibit "A" and incorporated herein by reference as fully as though set forth at length. SECTION 2. The agreel'lent shall not take effect until fully signed and executed hy both parties. The City shall not be obligated hereunder unless and until the agreement is fully executed and no oral agreement relating thereto shall be implied or authorized. SECTION 3. This resolution is rescinded if the parties to the agreement fail to execute it within ninety (90) days of the passage of this resolution. 22 23 / / / / 24 / / / / 25 / / / / 26 / / / / 27 / / / / 28 / / / / 12-6-94 1.l.\.J..oVVO I .n.u J..I..I.VJ..\..L.I..J.1.i.~U J:.".~GI....V.J. .LUL'l REEMENT WITH DEFERRAL OF DEVELOPMENT FEES. :> RUBA ENTERPRISES RELATING TO . . '~ , 1 I HEREBY CERTIFY that the foregoing resolution was duly 2 adopted by the Mayor and Common Council of the City of San 3 Bernardino at a 4 day of 5 Council Members: 6 NEGRETE 7 CURLIN 8 HERNANDEZ 9 OBERHELMAN 10 DEVLIN 11 POPE-LUDLAM meeting thereof, held on the , 1994, by the following vote, to-wit: AYES NAYS ABSTAIN ABSENT 12 MILLER 13 14 15 16 day of 17 Rachel Clark, City Clerk The foregoing resolution is hereby approved this , 1994. 18 19 20 21 22 23 24 25 26 27 28 Approved as to form and legal content: Tom Minor, Mayor Ci ty of San Bernardino James F. Penman City Attorney By - 2 - c o EXHIBIT -A- A G R E E MEN T THIS AGREEMENT, made and entered into this day of , 199_, by and between the City of San Bernardino, CA, a municipal corporation of the State of California, hereinafter referred to as "CITY," and Ruba Enterprises, a California Corporation hereinafter referred to as "DEVELOPER." WITNESSETH: permits general WHEREAS, DEVELOPER to construct tenant commercial building has applied for the appropriate improvements as required to convert a for use as a Denny's Restaurant 1 and WHEREAS, DEVELOPER has also applied for the appropriate permits to construct additional parking spaces to accommodate the additional demand for the Denny's Restaurant 1 and WHEREAS, Development Permit Type II No. 94-21 was approved for construction of the additional parking spaces by the Development Review Committee (DRC) at their regularly scheduled meeting of 11-17-941 and WHEREAS, the conditions of approval for Development Permit Type II No. 94-21 require payment of development fees for Storm Drainage ($6,235.08), and Traffic Systems ($11,860.00), in the total amount of $17,095.081 and WHEREAS, DEVELOPER has requested that these development fees be deferred from issuance of building permits to no more than two years from issuance of a temporary Certificate of Occupancy Permit for the Denny's Restaurant, due to the fact that these fees are not included in the construction financing. NOW, THEREFORE, it is mutually agreed as follows: SECTION 1. City will issue a temporary Certificate of Occupancy for the Denny's Restaurant, at 5975 Palm Avenue, upon satisfactory completion of all items of work required under Development Permit Type II No. 94-21. required deferred issuance SECTION 2. The following listed Development Fees, by Development Permit Type II No. 94-21, are hereby to a time no longer than 2 years from the date of of the temporary Certificate of Occupancy: Storm Drainage Traffic System Total $ 6,235.08 11,860.00 $ 17,095.08 SECTION 3. DEVELOPER shall pay the full amount of these development fees to CITY no more than two (2) years from the date of issuance of the temporary Certificate of Occupancy. - - AGREEMENT: DE<:)RAL OF DEVELOPMENT FEES ~ DENNY'S RESTAURANT SECTION 4. DEVELOPER shall sign a promissory note guaranteeing payment of these development fees within two (2) years. SECTION 5. DEVELOPER acknowledges that failure to pay the full amount of these development fees, within two years from date of issuance of the temporary Certificate of Occupancy, shall constitute good and sufficient grounds for revocation of the temporary Certificate of Occupancy. IN WITNESS WHEREOF, the parties here':o have caused this First Amendment to Agreement to be executed ~n the date written above by their duly authorized officers on their behalf. CITY OF SAN BERNARDINO ATTEST: By Tom Minor, Mayor Rachel Clark, City Clerk RUBA ENTERPRISES, INC. By Atef Fakhoury Approved as to form and legal content: Title: Telephone: James F. Penman City Attorney By_ - 2 -