22-0330_LS-SAN JUAN LLC SEALAND HOMES_Grading Surety AgreementE) ORIGINAL.
GRADING SURETY AGREEMENT
THIS AGREEMENT is made by and between the CITY OF SAN JUAN CAPISTRANO, a
municipal corporation, hereinafter referred to as the "City," and LS -SAN JUAN LLC
LANDSEA HOMES, hereinafter referred to as "Developer."
WITNESSETH
WHEREAS, City will issue Precise Grading Permit No B21-1198 to Developer to
construct certain designated improvements upon a portion of that real property located on
Tentative Tract Number 18148 in San Juan Capistrano, CA, San Juan Capistrano, CA,
such work being commonly referred to as Tirador ("Project").
WHEREAS, San Juan Capistrano Municipal Code Section 8-2.08 requires the
posting of financial security to secure the faithful performance for the grading and
installation of related improvements connected with issuance of grading permits including
the construction of drainage and protection devices and any other corrective work to
remove and eliminate engineering and geological hazards.
WHEREAS, San Juan Capistrano Municipal Code Section 8-2.09 authorizes the
Building Official to require additional bonding as security to ensure against adverse
aesthetic impacts arising from incomplete grading and/or improvements from development
projects which have not been completed.
WHEREAS, the Building Official finds that the proposed Project site is highly
prominent and visible to the community, has unique topographic features or involves
substantial grading of slope areas.
NOW, THEREFORE, in consideration of the premises and promises hereinafter
contained, City and Developer agree as follows:
1. Developer's Improvements Obligations. Developer shall, at its sole cost and
expense, provide and furnish all labor, materials and equipment for the Project depicted on
the plans entitled "MODEL HOME PRECISE GRADING PLAN" as approved by the City
Engineer, on March 22, 2022. The grading permit and plans, which describe all the work to
be constructed pursuant to this Agreement, are on file in the office of the City's Building
Official.
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61147.02100\24835741.2
2. Developer's Security. Developer shall provide a cash deposit, irrevocable
letter of credit, certificate of deposit or a bond by a duly authorized corporate surety subject
to the approval of the City Attorney, or as approved by the City Engineer, to secure
Developer's improvement obligations required under this Agreement ("Security").
The amount of the Security shall be $110,331 for all onsite grading improvements as
approved by the City Engineer. This Security shall also serve as security for restoration of
the Project site. A copy of the performance bond form, as approved by the City Attorney, is
attached hereto as Exhibit "C" and incorporated herein by this reference. Copies of
approved irrevocable letter of credit forms and certificate of deposit form are available upon
request.
3. Completion of Improvements. To ensure the protection of the public safety,
health and welfare, Developer shall construct the Project in accordance with the schedule
as set forth in Exhibit "A", and the conditions as set forth in Exhibit "B". Exhibits "A" and "B"
are attached hereto and incorporated herein by this reference.
4. Developer Default. In the event Developer does not complete the required
improvements, including erosion and silt control measures within the time required, using
Best Management Practices (BMP) in implementing a Water Quality Management Plan in
full compliance with Orange County National Pollutant Discharge Elimination System
(NPDES) Storm Water Implementation Agreement and San Juan Capistrano Municipal
Code Section 8-14, or abandons the Project site, or suspends work for more than twenty
(20) working days without written approval of the City, City shall have the right to
immediately declare a default and to make demand on Developer's surety for performance
of all obligations under this Agreement.
5. Restoration of Site. San Juan Capistrano Municipal Code Section 8-2.09
allows the City to require bonding as security to ensure against adverse aesthetic impacts
arising from incomplete grading, drainage and/or improvements which includes illicit non -
storm drain water discharge. The purpose of this security shall be to restore the property to
a safe and acceptable condition in the event the Developer defaults. This restoration shall
include but not be limited to the following:
A. Dismantle and/or demolish improvements;
B. Grade property to its original contours as shown on the approved
grading plans.
C. Remove all debris and construction materials from the site; and
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61147.02100124835741.2
D. Install erosion and silt control devices, including hydroseeding, to
insure a uniform vegetative cover, or equivalent stabilization
measures which include the use of such Best Management Practices
as blankets, fiber matrices, catch basin filters, or other erosion
resistant soil coverings or treatments to satisfaction of the Director of
Engineering and Building.
E. Protection and repair of existing public street, water, sewer and storm
drain system(s).
6. Attorney's Fees. Developer agrees to pay City such sum as the court may
judge as reasonable for the legal services of an attorney representing the City in an action
brought to enforce or interpret the obligations of this agreement, and such sum shall be
made a part of any judgment in such action against Developer if such action is determined
in favor of the City.
7. Developer's Work in Safe Condition. Developer shall perform all work in a
safe workmanlike manner and shall take such precautions as may be necessary to warn
and protect the public from any dangerous condition caused by the Project.
8. Liability. City, its officials, officers, employees, agents, and volunteers shall
not be liable for any injury to persons or property occasioned by reason of the acts or
omissions of Developer, its agents or employees in the performance of this Agreement.
Developer further agrees to protect, indemnify, and hold harmless City, its officials, officers,
employees, agents, and volunteers from any and all claims, demands, causes of action,
liability or loss of any sort, because of, or arising out of, the alleged acts or omissions of
Developer, its agents or employees in the performance of this Agreement, including all
claims, demands, causes of action, liability, or loss because of, or arising out of, in whole or
in part, the design or construction of the Project. This indemnification and agreement to
hold harmless shall extend to injuries to persons and damages or taking of property
resulting from the design or construction of said Project, and in addition, to adjacent
property owners as a consequence of the diversion of waters from the design or
construction of drainage systems, streets and other improvements.
SIGNATURES ON FOLLOWING PAGE
Grading Surety Agreement, Permit #1321-1198 Page 3 of 10
61147.0210024835741.2
SIGNATURE PAGE TO GRADING SURETY AGREEMENT
BETWEEN
THE CITY OF SAN JUAN CAPISTRANO AND
LANDSEA HOMES
IN WITNESS WHEREOF, the parties have executed this Agreement as of
March;0 2022
CITY OF SAN JUAN CAPISTRANO
By: -142�
ChiTian, intedin Building Official
Dated: 3/30/22
Approved as to Form:
City Attorney
LS -SAN JUAN LLC
By. I
Printed Name: Shannon Whittaker
Title: Assistant Vice President
Printed Name
Title
Grading Surety Agreement, Permit #1321-1198 Page 4 of 10
61147.02100124835741 .2
EXHIBIT"A"
SCHEDULE FOR COMPLETION OF IMPROVEMENTS
Task Completion Date
TASKS
ANTICIPATED COMPLETION DATE
Complete Rough Grading:
4/5/22
Onsite Storm Drain:
Complete
Start & Finish Soils Stabilization work:
Complete
Curb & Gutter:
4/25/22
Walks, Railings & Fences:
4/28/22
A/C Paving
5/5/22
Grading Surety Agreement, Permit #B21-1198 Page 5 of 10
61147.021 00124835741.2 I
EXHIBIT "B"
CONDITIONS FOR COMPLETION OF IMPROVEMENTS
1. The grading for this project shall be in strict conformance with the grading plans as
well as the San Juan Capistrano Municipal Code.
2. Grading operations shall commence within sixty (60) calendar days after issuance of
Grading Permit.
Winter grading will be conducted in strict accordance with the dynamic erosion and
silt control plan submitted by the Developer, and approved by the City. This erosion
and silt control plan reflects erosion and silt mitigation measures for expected
grading conditions as the work progresses through the winter season and shall not
be amended except with the permission of the City.
In the event Developer does not wish to implement winter grading, or permission for
winter grading is rescinded, static erosion and silt control plans reflecting current
conditions of grading shall be submitted within ten (10) days of cessation of work.
These plans shall:
1. Identify all pollutant sources including sources of sediment that may affect
the quality of storm water discharges associated with the construction
activity.
2. Include the erosion and sediment control planting and hydroseeding to
insure a uniform vegetative cover or equivalent stabilization measures which
include the use of such Best Management Practices as blankets, fiber
matrices, catch basin filters or other erosion resistant soil covering or
treatments to the satisfaction of the City Engineer.
3. Suspension in excess of twenty (20) working days of work authorized by approved
grading plans and grading permit for subject property, including erosion and
sediment control measures and landscaping and irrigation, shall constitute default of
this agreement unless Developer has received approval from the City authorizing a
suspension in excess of twenty (20) days.
4. The supervising civil engineer and soils engineer shall file biweekly progress reports
of all grading operations with the Building Official. An interim compaction report, for
that work completed at the time work is suspended for the rainy season, shall be
Grading Surety Agreement, Permit #B21-1198 Page 6 of 10
61147.02100124835741.2
filed with the Building Official. This interim report shall conform to the grading code
requirements for final compaction reports.
5. Contractor shall control dust to the satisfaction of the Building Official or his deputy.
During grading, Contractor shall keep water truck on site and dampen work area,
grounds, and loaded trucks.
6. Grading operations suspended during the rainy season shall be resumed no later
than 15 days from date of suspension termination unless the Developer has
received approval from the City authorizing a suspension in excess of fifteen (15)
days.
7. Installation of interim erosion and sediment control devices and systems shall
commence within seven (7) days after rough grade certification has been approved
by the Building Official and must be completed within fifteen (15) days of rough
grade certification. Final erosion and sediment controls devices, planting,
landscaping and irrigation systems shall be installed prior to final inspection of the
grading permit.
8. All work shall be performed in strict observation of the Hours of Operation in
accordance with San Juan Capistrano Municipal Code Section 8-1.03.
9. Contractor shall adhere to conditions of haul route permit and encroachment permit
issued by the City Engineer.
10. Parking for construction crew is to be on-site.
11. Exoneration of Security: Developer's security shall be reduced to 90% upon signoff
of precise grading permit. The remaining 10% of the security given by Developer
shall not be released until the expiration of the warranty period and until any claims
filed during the warranty period have been settled. Nothing herein shall limit the
City's rights or the Developer or surety's obligations under this Agreement.
12. Warranty Period: 1 year from permit signoff by City.
Grading Surety Agreement, Permit #B21-1198 Page 7 of 10
61147.02100124835741.2
®PHILADELPHIA
INSURANCE COMPANIES
AK=be Q(lh9T"itt0ine faonp
Subdivision Bond
Faithful Performance
SUBDIVISION BOND
Bond No. PBO3010408527
Premium: $552.00 l Annually
KNOW ALL MEN BY THESE PRESENTS: That LS -San Juan LLC. as Principal, and Philadelphia Indemnity Insurance
Company, a corporation organized and existing under the laws of the State of Permsyfvania and authorized to transact surety
business in the Stan of California as Surety are held and fimdy bound unto City of San Juan Capistrano in the scan of One
Hundred Ten Thousand Three Hundred Thirty One and no1100 Dollars ($110,331.00), for the payment whereof, well and truly
to be made, said Principal and Suety bind themselves, their heirs, administrators, successors and assigns, jointly and
severally, firmly by these presents.
THE CONDITION OF THE OBLIGATION IS SUCH THAT:
WHEREAS the above Named Principal has entered into an agreement, dated ,with the City of
San Juan Capistrano to do and perform the following work, to wit
Grading Tract No. 18148 Permit Number B-21-1198
NOW, THEREFORE, if the above -bounden Principal shalt well and truly perform the work referred to in such agreemenk then
this ohkga5m shall be void; otherwise to remain in kill face and effect.
IN WITNESS WHEREOF, the seal and signature of said P hincipal is hereto affixed and the corporate seal and the name of the
said Surety is hereto affixed and attested by its duly authorized Attorney in Fact at Irvine, California this Nth day of March,
2022.
LS San Juan LLC.
(Principal) (Seal)
By_ 3 2$�ZoZt
JWUna L70., Ah,1T61WJt� H
Philadelphia Indemnity Insurance Company
(Surety)
By:
1101hrthAgemd'es—, Homey- n -Fa
Philadelphia Ccmolidawd HotdingCnry Philadelphia Inaw-ans compainY • Meguur iwnraone Agency- Inc.
ACKNOWLEDGMENT
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
On ffACh '28120 a X before me, Shannon Whittaker, Notary Public
(insert name and title of the officer)
personally appeared I If LV LAY 1 V V
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), 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.
I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing
paragraph is true and correct.
WITNESS m hand d official l. SHANNONwNIrrAKER
my anoseaNotary Public • California
Orange County
Commission If 2352946
' o My Comm. Expires Mar 25, 2025
Signature
(Seal)
ALL- PURPOSE
CERTIFICATE OF ACKNOWLEDGMENT
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
Ongbefore me, Gina L. Garner, Notary Public
,man nem o
personally appeared Martha Barreras
who proved to me on the basis of satisfactory evidence to be the person(w whose
names) is/on subscribed to the within instrument and acknowledged to me that
lee/she/#y executed the same in kis/her/their authorized capacity0eak and that by
kWher/lbaliK signature(s) on the instrument the personas), or the entity upon behalf of
which the personM 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.
GINA L. GARNER
Notary Public • California
WITNESS my hand and official seal. orange County $
Commission p 2361777
�� ��\L��� �:,.o •` My Comm. Expires lure 18, 2025
Notary Public Signature (Notary Public Seal)
ADDITIONAL OPTIONAL INFORMATION
OF THE ATTACHED DOCUMENT
(Title or description of attached document)
(Tide or description of attached document continued)
Number of Pages Document Date
CAPACITY CLAIMED BY THE SIGNER
❑ Individual (s)
❑ Corporate Officer
de
❑ Partner(s)
to Atlomey-in-Fact
p Trustee(s)
❑ Other
2015 Version mwr.NotaryClasses.com 800-873-9865
INSTRUCTIONS FOR COMPLETING THIS FORM
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ifnreeded, should be completed and attached to the document. Acknola edgents from
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PHI LADELPHIA INDEMNITY INSURANCE COMPANY'
One Bala Plaza: Suite 100
Bala Cynwyd, PA 19004-0950
Power of Attorney
This Powerof Amomey isgranted and is signed and sealed by facsmile'under end by the aahodryof,the following Resolutionadopred by. fie: Board of Directors of
PHILADELPHIA INDEMNITY INSURANCE COMPANY on the 146of November, 2016.
RESOLVED: That the Board of Directors hereby authorizes the President or my Vice Presi dent of the
Companyo.(I ) Appoint Attorneys} in Fauand authorize the Airomey(s) inFact to ezewte
an behalf of the Company bonds and undenakings, contracts of indemnity and other
wridngsobfigarory in the nature thereofand to amch theseal ofthe Company.therao; and
(2)totemommaigtime,eny'such Aaomey4i Factandrevokethemi6odrygfven..And,
be it
FURTHER
RESOLVED: Thu the. signatures of such officers,and the seal of the Company, may be affixed many
mch Power of Attomey: or certificaterchning thereto by fit s nn le,'aiid any such Power
of
Attorneysoexecuted and cerrifiedby facsimile signaturesaid facsimile seal shall be valid
and Finding upon the Company in the futurewith respect to_anybond or undertaking to
vibich it is attached.
IN TESTIMONY WHEREOF, PHILADELPHIA fNDEMNllY'lNSURANCE COMPANY HAS CAUSED THIS INSTRUMENT TO BE SIGNED -AND'ITS
CORPORATE SEALTO BE AFFIXED EYITSAUTHORIZED OFFICE THIS 5TH DAY Of MARCH, 2021.
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On this 5' day of March, 2021 before me came the individual who executed the precedinginswment,to me, personally known, and being by me duy swam said that he
is thethereindescribed'. and wrhorized officarofthe PHILA DELPHIA'INDEMNITY INSURANCE COMPANY; that the =at affixed to said instrument is the
Corporate Mal ofsaid Company, Char the said Corporate Seal and his signature wereduly affixed
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resdingar Bala Cynwyd PA
My wmmi-mion expires Novemba•3,2024
1, Edward Sayago. Corporate Secreroy of PHILADELPHIA INDEMNITY INSURANCE COMPANY. do hereby citify char the ffitegoing resolution ofthe .Board of
Direcrorsand the. Powerof Atromeyissued purmant therao on the 5" day;March, 2021 are rrue and correct and atestill in full force and effect. I do further certify that
John Glomb. who executed the Power of-Amme.y as Preside nI% was on the data of execution of.ihe attached Power of Artomeyahe duly eleited.Presidenrof
PHILADELPHIA INDEMNITY INSURANCE COMPANY.
In Tesrimony Whereof Ihave mi%scnbed my nameand affixed the hcsmfie Mal of each Company this 241h- dayof M21"h �21M
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PHILADEL'PSIA INDEMNITY INSURANCE COMPANY
INITIAL PREMIUM:
SUBJECT TO RENEWAL
GRADING SURETY AGREEMENT
PERFORMANCE BOND
KNOW ALL MEN BY THESE PRESENTS:
WHEREAS the City of San Juan Capistrano ("City") and
("Principal"), have executed an agreement for work consisting of, but not limited to, the furnishing
of all labor, materials, tools, equipment, services, and incidentals for all grading and installation of
related improvements for Tract Map Nos. ("the Work");
WHEREAS, the Work to be performed by Principal is more particularly set forth in
that certain Grading Surety Agreement dated 20 ("Agreement"), which
Agreement is incorporated herein by this reference; and
WHEREAS, Principal is required by the Agreement to provide a good and sufficient
bond for performance of the Agreement, and to guarantee and warranty the Work performed
thereunder.
NOW, THEREFORE, Principal and as surety
("Surety"), a corporation organized and existing under the laws of the State of I and
duly authorized to transact business under the laws of the State of California, are held and firmly
bound unto City in the sum of dollars ($ .__), for which amount well
and truly to be made, we bind ourselves, our heirs, executors, administrators, successors or assigns,
jointly and severally, firmly by these presents.
THE CONDITION OF THIS OBLIGATION is such, that if Principal, his or its heirs,
executors, administrators, successors or assigns, shall in all things stand to and abide by, and well
and truly keep and perform the covenants, conditions, agreements, guarantees, warranties and
provisions in the Agreement and any alteration thereof made as therein provided, on his or their part,
to be kept and performed at the time and in the manner therein specified, and in all respects
according to their intent and meaning, and shall indemnify and save harmless City, its officers,
employees, and agents, as therein stipulated in the Agreement, then this obligation shall become null
and void; otherwise it shall be and remain in full force and effect.
As part of the obligation secured hereby, and in addition to the face amount specified
therefor, there shall be included costs and reasonable expenses and fees, including reasonable
attorney's fees, incurred by City in successfully enforcing such obligation, all to be taxed as costs
and included in any judgment rendered.
Surety, for value received, hereby stipulates and agrees that no change, extension of
time, alteration, or addition to the terms of the Agreement, or to any plans, profiles, and
specifications related thereto, or to the Work to be performed thereunder, shall in any way affect its
obligations on this bond, and it does hereby waive notice of any such change, extension of time,
alteration, or addition to the terms of the Agreement, or to the Work or to the specifications.
Grading Surety Agreement, Permit #B21-1198 Page 8 of 10
61147.02100124835741.2
IN WITNESS WHEREOF, the seal, if any, and signature of the Principal is hereto
affixed, and the corporate seal and the name of the Surety is hereto affixed and attested by its duly
authorized Attorney -in -Fact at this day of
20
Principal
By:
President
(print name)
Surety
By:
Attorney -in -Fact
(print name)
NOTE: APPROPRIATE NOTARIAL ACKNOWLEDGMENTS OF EXECUTION BY
PRINCIPAL AND SURETY, AND A COPY OF THE POWER OF
ATTORNEY TO LOCAL REPRESENTATIVES OF THE SURETY MUST BE
ATTACHED TO THIS BOND.
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61147.02100124835741.2
Notary Acknowledgment
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
On 20_, before me, , Notary Public, personally
appeared
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), 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.
I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is
true and correct.
Signature of Notary Public
WITNESS my hand and official seal.
OPTIONAL
Though the information below is not required by law, it may prove valuable to persons relying on the document
and could prevent fraudulent removal and reattachment of this form to another document.
CAPACITY CLAIMED BY SIGNER DESCRIPTION OF ATTACHED DOCUMENT
❑ Individual
❑ Corporate Officer
Title or Type of Document
❑ Partner(s) ❑ Limited
❑ General Num
❑ Attorney -In -Fact
❑ Trustee(s)
❑ Guardian/Conservator Date
❑ Other:
Signer is representing:
Name Of Person(s) Or Entity(ies)
Signer(s) Otho
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61147.02100\24835741.2