17-1213_KNAPE, JAMES AND DORIAN_Urban Agriculture Incentive Zones Act Property AgreementI
RECORDING REQUESTED BY:
City of San Juan Capistrano
32400 Paseo Adelanto
San Juan Capistrano, CA 92675
AND WHEN RECORDED, MAIL TO:
Maria Morris, City Clerk
City of San Juan Capistrano
32400 Paseo Adelanto
San Juan Capistrano, CA 92675
Exempt from Recording Fees:
Gov Code 27383
City of San Juan Capistrano
Recorded in Official Records, Orange County
Hugh Nguyen, Clerk -Recorder
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Title of Document: I�
URBAN AGRICULTURE INCENTIVE ZONES ACT
PROPERTY AGREEMENT
27112 HIGHLAND DRIVE
SAN JUAN CAPISTRANO, CA 92675
("KNAPE PROPERTY - ORGANIC LEMON GROVE")
URBAN AGRICULTURE INCENTIVE ZONES ACT
PROPERTY AGREEMENT
27112 HIGHLAND DRIVE
SAN JUAN CAPISTRANO, CA 92675
("KNAPE PROPERTY - ORGANIC LEMON GROVE")
ORANGE COUNTY, CALIFORNIA
PARTIES AND DATE
This Urban Agriculture Incentive Zones Act Property Agreement "Agreement" is made
and entered into as of ne.CLvRbeC i3 , 2017 by and between the City of San Juan
Capistrano, a municipal corporation organized and operating under the laws of the State
of California with its principal place of business at 32400 Paseo Adelanto, San Juan
Capistrano, CA 92675 ("City"), and James W. Knape and Dorian D. Knape, real
property owners at 27112 Highland Drive, San Juan Capistrano, CA 92675 (hereinafter
referred collectively to as "Owner"). The City and the Owner are sometimes individually
referred to as "Party" and collectively as "Parties" in this Agreement.
RECITALS
A. The State of California ("State") adopted the Urban Agriculture Incentive Zones
Act (California Government Code Section 51040, et seq., and California Revenue
& Taxation Code, Article 1.5 [Section 422.7 et seq.]) ("UAIZ Act"). The UAIZ Act
authorizes cities and counties to establish an urban agriculture incentive zone
("UAIZ") for purpose of entering into voluntary agreements with property owners
of vacant, unimproved, or blighted lands within the zone. Through these
agreements, the property owners commit to use their property for a sustainable
small-scale agricultural use in exchange for lower property taxes during the term
of the agreement.
B. Pursuant to the UAIZ Act, Orange County ("County") adopted Resolution No. 17-
031, Item No. 43, which authorizes the City to establish a UAIZ within the City's
jurisdiction. The City amended the San Juan Capistrano Municipal Code to add
Section 9-3.558 to establish a UAIZ.
C. Owner is the owner of the property located at 27112 Highland Drive, San Juan
Capistrano, CA 92675, in Orange County, California (Tract 10103, Lot 23, and
APN 650-501-11) ("Property") The Property is more particularly described in the
Property Description included as Exhibit A and incorporated herein. The City has
determined that the Property is within the City's UAIZ and is eligible for an
agreement under the UAIZ Act.
D. The Owner desires to enter into this Agreement to implement on the Property an
organic lemon grove ("Project")—a sustainable small-scale urban agricultural use
consistent with the requirements of the UAIZ Act and the San Juan Capistrano
Municipal Code—which is more particularly described in the Project Description
included as Exhibit B and incorporated herein as well as the Site Plan included
as Exhibit C and incorporated herein. In exchange to the Owner's commitment to
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the Project, the Owner will receive reduced property taxes as authorized by the
UAIZ Act.
E. The City desires to enter into this Agreement to promote the use of vacant,
undeveloped land for sustainable small-scale urban agricultural use and to
provide public benefits to the City, such as connecting residents to the broader
food system, providing green space and recreational opportunities, and building
community, as well as promoting food access, public health, and economic
development.
TERMS
1. Timing.
1.1. Effective Date. Once executed, this Agreement shall be effective from the
date of its recordation ("Effective Date").
1.2. Term. This Agreement is effective upon the date of execution by the City
and remains in full force and effect for a term of five (5) years from the
Effective Date.
1.3. Extension.
1.3.1. The Owner may apply to extend the Agreement for additional terms
of five (5) years, provided that the UAIZ Act and the San Juan
Capistrano Municipal Code allow such an extension.
1.3.2. The extension shall be subject to the same requirements as the
Agreement as set forth in the UAIZ Act and San Juan Capistrano
Municipal Code Section 9-3.558. The extension shall be effectuated
as an Amendment in accordance with Section 12.
2. Application of the UAIZ Act and Property Taxes. The benefits, privileges,
restrictions and obligations of the UAIZ Act and San Juan Capistrano Municipal
Code Section 9-3.558 shall apply to the Property while this Agreement is in
effect. Accordingly, the Property shall be assessed pursuant to California
Revenue and Taxation Code section 422.7.
3. Property Size. The Owner represents that the Property's size is within the
allowable range under the UAIZ Act of one tenth (0.1) acres to three (3) acres.
4. Use of the Propefir.
4.1. Dedication to Agriculture Use.
4.1.1. The Owner shall dedicate the entire Property to an agricultural use
in accordance with the UAIZ Act; the San Juan Capistrano
Municipal Code; and this Agreement, including the approved
Project Description shown in Exhibit B and approved Site Plan
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shown in Exhibit C; and any other applicable law, regulation, or
policy.
4.1.2. The Owner shall proceed diligently in commencing agricultural use
and shall commence such use not less than thirty (30) days after
recordation of this Agreement if not already using the Property for
agricultural use.
4.2. Structures Supporting Agricultural Activates. This Agreement does not
prohibit the use of structures that support agricultural activity, including,
but not limited to, toolsheds, greenhouses, produce stands, and
instructional space.
4.3. No Residential Dwellings. The Property may not include any residential
dwellings.
4.4. Pesticides and Fertilizers. Use of pesticides and fertilizers on the Property
shall be restricted to those allowed by the United States Department of
Agriculture's National Organic Program.
4.5. Property Maintenance. The Owner shall maintain the Property in a clean
and sanitary condition at all times and shall not allow the Property to fall
into a blighted condition.
4.6. Fallen Fruit and Foliage. The Owner shall properly discard all fallen fruit
and foliage within a timely manner.
4.7. Invasive Species, Invasive Plants, and Noxious Weeds. The Project shall
in no way include the cultivation of invasive species, invasive plants, or
noxious weeds identified by the California Department of Food and
Agriculture.
4.8. Mariivana and Cannabis. Pursuant to Orange County Resolution No. 17-
013, this Agreement in no way allows the cultivation of marijuana or
cannabis. The Project shall in no way include the cultivation of marijuana
or cannabis.
5. Cessation or Change in Use.
5.1. Notice of Cessation or Change in Use. The Owner shall provide written
notice to the City of, and within fourteen (14) days of, the following:
5.1.1. Any cessation of the agricultural use for any reason, including, but
not limited to, the loss of a tenant who was conducting the use; or
5.1.2. Any change in the agricultural use for any reason from that
approved under this Agreement.
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5.2. Must Resume Use. The Owner must resume the agricultural use
consistent with this Agreement within thirty (30) days of the cessation or
change.
6. Implementation Fees. The Owner agrees to pay any fee imposed by the City for
the reasonable costs of implementing this Agreement as authorized by the UAIZ
Act, including, but not limited to, the costs of inspecting the Property and
determining compliance with the Agreement ("Implementation Fees"). The Owner
shall pay the Implementation Fees within thirty (30) days of the date provided on
the written notice of the fee and shall pay the Implementation Fees in such a
manner as the City shall prescribe.
7. Inspections. The Owner consents, upon the seventy two (72) hours written
notice, to periodic inspection of the Property by appropriate representatives of
the City, County, or State to monitor the Owner's compliance with the terms of
this Agreement and other applicable laws, regulations, and policies. The Owner
shall provide all reasonable information and documentation about the Property to
demonstrate such compliance as requested by any of the above -referenced
entities.
8. Cancelation.
8.1. Default.
8.1.1. Should the Owner violate any provision of this Agreement or fail to
perform under this Agreement in any way, the City shall provide the
Owner with written notice describing the violation or failure to
perform ("Notice of Violation").
8.1.2. The Owner shall diligently work to cure the violation within fourteen
(30) days of the date of the Notice of Violation. The City, at its
discretion, may allow a longer time period to cure. The City, at its
discretion, may, at any time extend the time period to cure.
8.1.3. If the Owner fails to cure the violations as provided in this Section
5.1, then the Owner shall be in "Default."
8.2. Cancelation by the City. If the Owner is in Default, then the City may
cancel this Agreement. The City shall send written notice of the
cancellation to the Owner and the County Assessor -Recorder. The City
shall record notice of the cancellation.
8.3. Cancelation by the Owner. The Owner may cancel this Agreement prior to
the Agreement's expiration by sending written notice of the cancellation to
the City and to the County Assessor -Recorder. The Owner shall record
notice of the cancellation.
5
8.4. Cancelation Fee.
8.4.1. If this Agreement is cancelled prior to the expiration of this
Agreement, then the City shall impose on the Owner a fee equal to
the cumulative value of the tax benefit received during the duration
of this Agreement, as determined by the County Assessor -
Recorder, plus interest ("Cancelation Fee"). The Cancelation Fee
shall be paid to the City at such a time and in such a manner as the
City shall prescribe.
8.4.2. The Cancellation Fee shall be waived if the City Manager or his or
her designee determines that the cancellation was caused by
extenuating circumstances despite good faith efforts by the Owner.
9. Indemnification.
9.1. Indemnification of the City by the Owner. The Owner shall defend,
indemnify and hold the City, its officials, officers, employees, and agents
(the "Indemnified Parties") free and harmless from any and all liability from
loss, damage, or injury to property or persons, including wrongful death, in
any manner arising out of or incident to acts, omissions, and/or operations
by the Owner, its officials, officers, personnel, employees, invitees,
licenses, guests, contractors, and/or subcontractors as well as its
contractors' and/or subcontractors' officials, officers, employees, and
agents. Further, the Owner shall defend at its own expense, including
attorneys' fees, the Indemnified Parties in any legal action based upon
such acts, omissions and/or operations.
9.2. The Owner's Obligations. The Owner's obligations under this Section 12
shall apply to all damages and claims for damages of every kind suffered,
or alleged to have been suffered, regardless of whether or not the City has
prepared, supplied, or approved any plans or for the uses allowed by this
Agreement, and regardless of whether or not such insurance policies shall
have been determined to be applicable to any of such damages or claims
for damages.
9.3. The City's Rights. The City does not and shall not waive any rights against
the Owner that the City may have under the indemnification provision in
this Section 12 because of the City's acceptance of any security deposits
or insurance policies.
9.4. Survival. The indemnification provision in this Section 12 shall survive the
termination or expiration of this Agreement.
10. Insurance. The Owner shall secure adequate liability insurance to cover activities
on the Property under this Agreement, including coverage for any third parties on
the Property.
E
11. Recordation. Within thirty (30) days from the date of execution of this Agreement,
The Owner shall cause this Agreement to be recorded with the Office of the
Recorder of the County of Orange.
12. Amendment. This Agreement may be amended, in whole or in part, only by a
written instrument executed by the Parties in the same manner as this
Agreement and recorded pursuant to Section 11. No supplement, modification,
and/or amendment of this Agreement shall be binding unless executed as
provided in this Section 10.
13. Notices. All notices to be given hereunder shall be in writing and may be made
either by personal delivery or by registered or certified mail, postage prepaid,
return receipt requested. Mailed notices shall be addressed to the parties at the
addresses listed below, but each party may change the address by written notice
in accordance with this Section 12.6.
To City:
To Owner:
City of San Juan Capistrano a,'1 ku. �- -O t
32400 Paseo Adelanto s s C, ,Com. ci a toj 5
San Juan Capistrano, CA 92675
Attn: City Manager Attn: 'Oac\cm.
14. Attorneys' Fees. If any legal action or proceeding arising out of or relating to this
Agreement is brought by either party to this Agreement, the prevailing party shall
be entitled to receive from the other party, in addition to any other relief that may
be granted, the reasonable attorneys' fees, costs, and expenses incurred in the
action or proceeding by the prevailing party.
15. Governing Law and Venue. This Agreement shall be governed by the laws of the
State of California. Venue shall be in Orange County.
16. No Waiver. The City's failure to insist upon strict compliance with any provision of
this Agreement or to exercise any right or privilege provided herein, or the City's
waiver of any breach hereunder, shall not relieve the Owner of any of its
obligations hereunder, whether of the same or similar type. The foregoing shall
be true whether the City's actions are intentional or unintentional. Further, the
Owner agrees to waive as a defense, counterclaim, or setoff any and all defects,
irregularities, or deficiencies in the authorization, execution, or performance of
this Agreement as well as any laws, rules, regulations, ordinances, or resolutions
of the City with regard to this Agreement.
17. Construction, References, and Captions.
17.1. Simple Construction. It being agreed the Parties or their agents have
participated in the preparation of this Agreement, the language of this
Agreement shall be construed simply, according to its fair meaning, and
not strictly for or against any Party.
F
17.2. Section Headings. Section headings contained in this Agreement are for
convenience only and shall not have an effect in the construction or
interpretation of any provision.
17.3. Calendar Days. Any term referencing time, days, or period for
performance shall be deemed calendar days and not work days.
18. Entire Agreement. This Agreement contains the entire Agreement of the parties
with respect to the subject matter hereof, and supersedes all prior negotiations,
understandings or agreements, either written or oral, express or implied.
19. Severability. The invalidity in whole or in part of any provision of this Agreement
shall not void or affect the validity of any other provision of this Agreement.
20. Third Parties. This Agreement is made and entered into for the sole protection
and benefit of the Parties and their successors and assigns, and no other person
or entity is a third -party beneficiary of, or has any direct or indirect cause of
action or claim in connection with the Agreement'or any other related document
to which that person or entity is not a party.
21. Binding on Successors and Assigns. The covenants, benefits, restrictions, and
obligations contained in this Agreement shall be deemed to run with the land and
shall be binding upon and inure to the benefit of all successors and assigns in
interest of the Owner.
22. Authorily. If the Owner sign as a corporation or a partnership, each of the
persons executing this Agreement on behalf of the Owner does hereby covenant
and warrant that such entity is a duly authorized and existing entity, that such
entity has and is qualified to do business in California, that the Owner has full
right and authority to enter into this Agreement, and that each and all of the
persons signing on behalf of the Owner are authorized to do so.
23. Signatures. This Agreement may be signed and dated in parts.
Signatures on next page.
P.,
SIGNATURE PAGE TO
URBAN AGRICULTURE INCENTIVE ZONES ACT
PROPERTY AGREEMENT
27112 HIGHLAND DRIVE
SAN JUAN CAPISTRANO, CA 92675
("KNAPE PROPERTY -ORGANIC LEMON GROVE")
ORANGE COUNTY, CALIFORNIA
In witness thereof, the Parties here to have executed this Agreement:
City of San Juan Capistrano
By:
/t5��z
�l r anaa r
APPROVED AS TO FORM:
i
Owner
By:
PUBLIC AGENCY FORM OF ACKNOWLEDGEMENT
A notary public or other officer completing this certificate
verifies only the identity of the individual who signed the
document, to which this certificate is attached, and not the
truthfulness, accuracy, or validity of that document.
State of California )
County of Orange ) ss.
City of San Juan Capistrano )
(Gov't Code 40814 & Civil Code 118 1)
On December 20, 2017, before me, Maria Morris, City Clerk, personally appeared
Ben Siegel, City Manager and Elizabeth Hull, City Attorney, who proved to me on the basis of
satisfactory evidence to the be person(s) whose name(s) is/are subscribed to the within instrument
and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity (ies),
and that by his/her/there signature on the instrument the person(s), or the entity upon behalf of which
the person(s) acted, executed the instrument.
I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing
paragraph is true and correct. n
(SEAL) / I
WITN SS h d and official seal.
Maria s, City Cler
' k
OPTIONAL
Capacity Claimed by Signers Description of Attached Document
Title or Type of Document
City Manager
Urhan AgricultureIncentive Agr�ncs Act Property
City Attorney Agreement
Title
Signer is Representing
City of San Juan Capistrano
27112 Highland Drive, San .Juan Capistrano, CA
92675 (Knape Property — Organic Lemon Grove)
Orange County, California
CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT
CIVIL CODE § 1189
A notary public or other officer completing this certificate verifies only the identity of the individual who signed the
document to which this certificate is attached, and not the truthfulness, accuracy, or validity of that document.
State of Californ, )
County of 3*0rJ )
On ��11� �.3.�Gr Zbefore me,
Date _ \
personally appeared
Insert Name and Title of the Officer
of Signer(s)
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(les), and that by his/her/their signature(s) on the instrument the person(s),
or the entity upon behalf of which the person(s) acted, executed the instrument.
A. SCOTT DIAZ
Notary Public - California
Z Orange County
: Conw0sion # 2176521
f Conde. Ex ires Doe 22 2020
I certify under PENALTY OF PERJURY under the laws
of the State of California that the foregoing paragraph
is true and correct.
WITNESS
Signature
Place Notary Seal Above
OPTIONAL
Though this section is optional, completing this information can deter alteration of the document or
fraudulent reattachment of this form to an unintended document.
Description of Attached Document
Title or Type of Document:
Document Date:
Signer(s) Other Than Named Above:
Capacity(ies) Claimed by Signer(s)
Signer's Name:
O Corporate Officer — Title(s):
O Partner — O Limited O General
❑ Individual ❑ Attomey in Fact
O Trustee O Guardian or Conservator
O Other:
Signer Is Representing:
Number of Pages:
Signer's Name:
❑ Corporate Officer — Title(s):
O Partner — O Limited O General
O Individual ❑ Attorney in Fact
❑ Trustee O Guardian or Conservator
❑ Other:
Signer Is Representing:
02016 National Notary Association • www.NationalNotary.org -1-800-US NOTARY (1-800-876-6827) Item #5907
EXHIBIT A
PROPERTY DESCRIPTION
A-9
CA, Orange County
Owner Information
EXHIBIT A
N/A N/A 64,665
1-t Loi
N/A N/A SFR
Baths Y, Built
`I
RECEIVED
N/A
MAY 0 5 2015
N/A PLANNING DEPT.
it
Owner Name:
Knape lames W
Tax Billing City & State:
San Juan Capistrano, CA
Mail Owner Name:
lames W Knape
Tax Billing Zip:
92675
Tax Billing Address.
27112 Highland or
Tax Billing Zip+4:
1454
Location Information__
Tract Number:
10103
TGNO:
952-04
School District
Capistrano
Census Tract:
320.61
Comm College District Code: 5 Orange Cc
TaX Information
APN:
650-501-I1 Lot:
Tax Area:
23065 Water Tax Dist:
Legal Description:
TRACT NO 10103 LOT 23 FOR OF LOT
23
Orange Co
Property Detail
Owner Name: Knape James W
Recording Date
10/01/2007
Sale Date
Nominal
Buyer Name
Owner Record
Seller Name
Owner Record
Document Number
592017
Document Type
Deed (Reg)
Property Map---
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PLANNING DEPT.
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Property Detail
Generated on 07; 2J/2014
Page 2 of !
EXHIBIT B
PROJECT DESCRIPTION
B-1
EXHIBIT B
PROJECT DESCRIPTION
Property Owner: James W. Knape and Dorian D. Knape
"Knape Property — Organic Lemon Grove"
Address: 27112 Highland Drive
APN M 650-501-11, Lot 23
Site Acreage: 1.48 acres
Property Use: The property is and is dedicated to producing organic lemons. The
property contains approximately 420 Lisbon lemon trees. The only structures are two
plastic sheds that store our equipment and organic materials. The property has a
dedicated water meter and uses a landscape irrigation system that was approved by the
City of San Juan Capistrano Public Works Department in 2010. The water is controlled
by a smart system and power is driven by a solar system on the property.
EXHIBIT C
SITE PLAN
C-1
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27167
27011
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27112 27112
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27152
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