Loading...
02-0521_LA PATA EQUESTRIAN CENTER, LLC_License AgreementLICENSE AGREEMENT This License Agreement is made this 21 st day of May 2002, by and between the City of San Juan Capistrano (hereinafter "City"), and La Pata Equestrian Center, LLC, a California limited liability corporation (hereinafter referred to as "Licensee"). Recitals: Whereas, City owns certain public open space lands described as Lot A and B of Tract No. 12633, and Whereas, City desires to allow limited equestrian uses by Licensee under terms and conditions specified in this agreement on a portion of these open space lands as more particularly identified in Exhibit A, attached and incorporated herein by reference, NOW, THEREFORE, City and Licensee hereby agree as follows: Section 1. Grant of License Privilege/Site Plan. City hereby grants a license to Licensee for the purpose of allowing Licensee to utilize a portion of City's open space lands (hereinafter "the Property") to pasture and stable cattle and horses, horse training and riding and roping lessons. A site plan, attached as Exhibit B and incorporated herein by reference, sets forth the existing equestrian uses and improvements. Any change of use or improvements or method of operation of any kind whatsoever must first be proposed and submitted to the City's City Manager for review and consideration. Any material changes must receive City Council approval. Section 2. Term and Termination. (a) This License Agreement shall remain in full force and effect unless terminated by either party according to the termination provisions of this section of the agreement. Either party may terminate this agreement unilaterally and without cause by giving the other party advance ninety (90) days written notice of termination. (b) In the event of termination, Licensee shall disassemble and remove all improvements, except barb wire perimeter and cross -fencing made to the Property and restore the Property to it prior undeveloped state as open -space range land within the ninety (90) day notice of termination period. Licensee shall post a surety bond to guarantee performance of the obligations under this sub -section which shall be posted with the City by not later than June 2002. City staff shall determine the amount of the bond. The cost of the bond shall be borne by the City with an credit applied by City to the rent due under the license agreement. -1- Section 3. License Consideration. In consideration of the privileges extended to Licensee under this License agreement, Licensee shall pay to City the License fee of $1,000.00 per month. The License fee shall be due and payable on the first of day of each month. A penalty fee of $100 shall also be paid if the Licensee fee is tendered to City more than 5 calender days after it is due. Section 4. Permits. Licensee shall obtain all necessary governmental permits applicable to the equestrian use operation authorized by this agreement, including but not limited to, commercial stable permitting, county health code requirements, and all applicable City municipal code requirements. Section 5. Utilities. Licensee shall pay for utilities required to service Licensee's needs. Section 6. Fencina. The Property has previously been fenced by a prior licensee. Licensee shall be solely responsible for maintenance of the existing fencing. Section 7. Licensee's Reporting Obligation. Licensee shall provide to City written quarterly reports, specifying the number of horses on the Property, how many horses are owned by Licensee or other third parties, and the nature and scope of boarding and/or training arrangements made with respect to horses not owned by Licensee. Section 8. Prohibitions. Licensee shall not: (a) conduct any events, including but not limited to, roping or team penning events, excepting roping or team penning events limited strictly to member boarders; (b) store vehicles, trailers, or other material on the Property which can be viewed from a San Juan Capistrano residential property without prior written City approval; (c) construct improvements, or modifications to improvements, of any kind without prior written City approval. -2- Section 9. Assignment of Rights As to Existing Improvements/ Hold harmless. The prior Licensee, Fred Love dba Love Livestock Company (hereinafter "Love"), constructed certain improvements upon the Property. Licensee now proposes to utilize these improvements in conducting its equestrian uses. Licensee represents to City that Licensee has acquired whatever rights Love may have in said improvements. Accordingly, Licensee further agrees to hold City, its elected and appointed officials, harmless, from any and all claims, demands, judgments, or other liabilities Love may have, or allege to have, arising out of Love's improvements on the Property. Section 10. Insurance Reguirements. (a) Licensee shall maintain in full force and effect a general liability policy in the minimum amount of $ 1 million dollars per occurrence, and automobile liability coverage in the amount of not less than $300,000 per occurrence, or Licensee may present a combined single limit package offering the same dollar coverage for liability and auto coverages, which coverages shall name the City as an additional named insured. The insurance certificates shall be submitted to the City Clerk's Office for determination as to their acceptability under the requirements of this Agreement. In addition, Licensee shall present an endorsement from the carrier verifying that the required insurance is in place. (b) If Licensee employs employees, the Licensee shall obtain and maintain Worker's Compensation Employer's liability insurance in the statutory amount as required by state law during the term of this Agreement. Further, Licensee shall submit at City's request verification that Licensee has no employees of any kind on the property, should Licensee make that representation to the City. (c) These policies shall not terminate, nor shall they be canceled nor the coverage reduced until after thirty (30) days' written notice is given to the City. Section 11. Hold harmless. Licensee shall indemnify, save, and defend City, its elected and appointed officials, and employees harmless from and against any and all claims, suits, actions or proceedings, of any kind or nature, for damages to property or injuries to or death of any persons arising out of Licensee's actions and activities in exercising its rights and obligations under this Agreement. Section 12. No Assignments. Licensee is prohibited from assigning, transferring, or sub -letting, excepting the boarding of horses on a monthly basis, any right of interest under this Agreement to any other party without the prior written consent of the City Council. -3- Section 13. Right of Inspection by City/Licensee Contact Person. City shall have the right to inspect the Property at any time by providing advance twenty-four (24) hours' oral or written notice to Licensee of City's intent to conduct an inspection of the Property. (The representative is presently designated as Robin Verela Cell # 949-285-0539). Licensee shall designate and provide a Licensee representative who shall serve as a contact person available to City on a twenty-four hour phone/pager basis in the event of any emergency. Section 14. Condition of Property. The parties agree that the condition of the property is presently as described it Exhibit C, attached and incorporated herein by reference. Licensee agrees and understands that Licensee accepts the existing condition of the Property with improvements in its "as is" condition and that it will have the sole responsibility for the operation and maintenance of the improvements in conducting the uses expressly authorized under this license agreement. Section 15. Written Proof of Access From Adjoining Property Owner. Access to the Property has been and will continue to be from La Pata Avenue and over the Rancho Mission Viejo, LLC property. Licensee must provide written proof acceptable to City that it has legal access rights over this adjoining owner's land as a condition precedent to Licensee's occupation of the Property. Section 16. Notices. Any notice required to be given under this Agreement may be provided by personal service or first class mail, postage prepaid, as follows: To City: George Scarborough City Manager City of San Juan Capistrano 32400 Paseo Adelanto San Juan Capistrano, Ca. 92675 To Licensee: La Pata Equestrian Center, LLC c/o Larry Hatfield, Managing Member 131 N. Tustin Ave., Suite 110 Tustin, CA. 92780 (Tel. No. 714-667-3927) -4- Counsel for Licensee: Michael W. Johnson, Esq. Johnson & Johnson, LLP 31882 Del Obispo, Suite 201 San Juan Capistrano, CA. 92675 Phone #:949-661-8610 Fax: 949-661-8611 Section 17. Entire Agreement. This Agreement contains the entire Agreement of the parties hereto with respect to the matters covered hereby, and no other previous agreement, statement or promise made by any party hereto which is not contained herein shall be binding or valid. IN WITNESS WHEREOF, the parties hereto have executed this Agreement on the day and year first above written. ATTEST: CITY OF SAN JUAN CAPISTRANO lawko'6t�— rgaret M. Monahan Diane Bathgate, MAydr LA PATA EQU Approved as to Form: —Carry S. Hatfield By; Its: Managing Member John S w, ity Attorney -5- LLC fT EXHIBIT A Lots A and B of Tract 12633 THE OAKS EQUESTRIAN i/ N% CENTER rr ` r \. WARMINGTON HOMES A COUAGUE `RESIDENCE RANCHO v 7 `0,/ m SANJUAN/ oZ \ HOMES/� G lA / r Z HUNTERS c A C It cs's< G F CREEK HOMES \ \\\ �NGAAREA STAG \`\ Lots A and B of Tract 12633 Y z i s 3 r I ' z � MILLENNIUM CON3WLTINO V }` i 1p F.%t5S1TE inq EMFNis 4 JLLAW w - '� F .nw T` oF�Mll -�r P'MN GlhlmfTC. G.OYB')Y.I9CDlCC6-6681. EXHIBIT C Condition of Property The site consists of approximately 110 acres of the Rancho San Juan Open Space along the eastern San Juan Capistrano City boundry. An approximate 6 acre portion of the open space consists of level pads that are bordered to the south by the Whispering Hills parcel, to the east by a Southern California Edison easement parallel to La Pata Avenue, and to the north and west by ascending hillsides within the City open space. The level pads serve as a corral staging area. An unpaved road connects this eastern portion of the facility to La Pata Avenue. The current site use includes cattle and horse grazing in the pasture areas and horse maintenance and riding in the stable and arena areas. Man-made improvements to the site include a stable, corrals, and several small shed structures. Water is provided from Via Limon to a 500 gallon reservoir. The site has been cleared of vegetation on the level areas and has been built up with undocumented artificial fill material. Surface drainage at the site appears to be by sheet flow towards natural canyons to the north and southwest. The perimeter of the property is established by a three strand barb wire fence.