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1991-0820_ORANGE , COUNTY OF (ET AL)_Settlement Agr & Mutual Release0 MEMORANDUM TO: Note to File FROM: Dawn M. Schanderl, Records Coordinator DATE: September 9, 1991 t and Mutual The original agreements are filed on the City side under: 600.50 Settlement/Mutual Release Orange, County of (et al) Delinquent Property Tax Penalty Tax 1' 31 41 5 6 7 8 9 10 11 12 13 18 19 20 21 22 23 24 25 N_ r 26 N O 27 LL Dw, 0 1. Parties E MUTUAL GENERAL RELEASE The parties to this mutual general release (the "release") are the COUNTY OF ORANGE, a political subdivision of the State of California, CAPISTRANO BAY PARK AND DISTRICT, a municipal corporation, LYNN MUIR, Director of Capistrano Bay Park and Recreation District, CITY OF COSTA MESA, a municipal corporation, REDEVELOPMENT AGENCY OF THE CITY OF COSTA MESA, a public body, CITY OF CYPRESS, a charter city, CITY OF CYPRESS RECREATION AND PARK DISTRICT, an independent special district, CYPRESS REDEVELOPMENT AGENCY, an independent public entity, MARGARET ARNOLD, a citizen, resident and Mayor of the City of Cypress, CITY OF FOUNTAIN VALLEY, a municipal corporation, GEORGE SCOTT, a citizen and former Mayor of the City of Fountain Valley, CITY OF FULLERTON, a public entity, FULLERTON REDEVELOPMENT AGENCY, a public entity, ORANGE COUNTY WATER DISTRICT, a public entity, CITY OF IRVINE, a public entity, CITY OF LAGUNA BEACH, a public entity, CITY OF SAN CLEMENTE, a public entity, SAN CLEMENTE REDEVELOPMENT AGENCY, a public entity, CITY OF YORBA LINDA, a public entity, YORBA LINDA REDEVELOPMENT AGENCY, a public entity, YORBA LINDA LIBRARY DISTRICT, a public entity, FOUNTAIN VALLEY AGENCY FOR COMMUNITY DEVELOPMENT, a public entity, CITY OF LA PALMA, a public entity, LA PALMA REDEVELOPMENT AGENCY, a public entity, SANTIAGO COUNTY WATER DISTRICT, a public entity, TRI -CITIES MUNICIPAL WATER DISTRICT, a public entity, ROSSMOOR COMMUNITY SERVICE DISTRICT, a public entity, CITY OF GARDEN GROVE, a municipal corporation, J. TILMAN WILLIAMS, citizen; resident and Mayor of the City of Garden Grove, GARDEN GROVE AGENCY FOR COMMUNITY DEVELOPMENT, a public body, d «v 1. i I GARDEN GROVE SANITARY DISTRICT, a political subdivision of the State 2 of California, ROBERT MARIN, a director of, and resident in, Garden 3I Grove Sanitary District, CITY OF HUNTINGTON BEACH, a municipal 4I corporation, JOHN ERSKINE, citizen, resident, and Mayor of the City of 5 Huntington Beach, HUNTINGTON BEACH REDEVELOPMENT AGENCY, a public 6 body, LAGUNA BEACH COUNTY WATER DISTRICT, a local special district, 7 CITY OF LA HABRA, a municipal corporation, JAMES A. FLORA, citizen, 8 resident and Mayor of the City of La Habra, REDEVELOPMENT AGENCY OF LA 9 HABRA, a public body, CITY OF LOS ALAMITOS, a charter city, CHARLES E. 10 SYLVIA, citizen; resident and Mayor of the City of Los Alamitos, CITY 111 OF MISSION VIEJO, a municipal corporation and as successor in interest 12 to the Mission Viejo Community Services District, NORMAN P. MURRAY, 13 citizen, resident and Mayor of the City of Mission Viejo, CITY OF 141 NEWPORT BEACH, a municipal corporation, JOHN C. COX, JR., citizen, w� oZ; 15� resident and Mayor of the City of Newport Beach, CITY OF PLACENTIA, a 4,w 16� municipal corporation, JOHN 0. TYNES, citizen, resident and Mayor of 'ZZ oo 1% the City of Placentia, PLACENTIA REDEVELOPMENT AGENCY, a public body, 18 COUNTY SANITATION DISTRICT NOS. 1, 2, 3, 5, 6, 7, and 11, local public 19 agencies, CITY OF TUSTIN, a municipal corporation, TUSTIN COMMUNITY 20 REDEVELOPMENT AGENCY, a local public agency, MIDWAY CITY SANITARY 21 DISTRICT, a local public agency, LOS ALAMITOS COUNTY WATER DISTRICT, a 22 local public agency, SOUTH COAST WATER DISTRICT, a local public 23 agency, IMPROVEMENT DISTRICT NO. 1 OF SOUTH COAST WATER DISTRICT, an 24 improvement district, CITY OF SAN JUAN CAPISTRANO, a municipal 25 corporation, CITY OF SAN JUAN CAPISTRANO, COMMUNITY REDEVELOPMENT N 26 AGENCY, a public body, STEPHEN B. JULIAN, citizen, resident and City N LL 27 Manager of the City of San Juan Capistrano, and Executive Director of ® 29 the San Juan Capistrano Community Redevelopment Agency, CITY OF SANTA d«\i 2. I 2 3 4 5 6 7 8 9 10 11 12 13 18 19 20 21 22 23 24 25 26 N N 0 27 LL 0 0 ANA, a municipal corporation, COMMUNITY REDEVELOPMENT AGENCY OF THE CITY OF SANTA ANA, a public body, CITY OF SEAL BEACH, a municipal corporation, REDEVELOPMENT AGENCY OF THE CITY OF SEAL BEACH, a public body, CITY OF STANTON, a municipal corporation, MARTHA V. WEISHAUPT, citizen, resident and Mayor of the City of Stanton, STANTON REDEVELOPMENT AGENCY, an independent public entity, PAUL VERELLEN, citizen and resident of the City of Stanton and Chairman of the Stanton Redevelopment Agency, CITY OF WESTMINSTER, a municipal corporation, WESTMINSTER REDEVELOPMENT AGENCY, a public entity, WESTMINSTER MUNICIPAL LIGHTING DISTRICT, a public entity, and CITY OF WESTMINSTER SPECIAL DISTRICT AUGMENTATION TAX FUND, a special district tax fund. For purposes of this release, the term: (a) "Related parties" includes, where applicable, each and all of such party's respective predecessors, successors, and assigns; each and all of such party's heirs and personal representatives (if such party is an individual); each and all of such party's past,present, and future directors, officers, and elected or appointed members of the party's governing body; each and all of such party's agents, employees, representatives, and attorneys; and each and all persons acting by, through, under, or in concert with such party or in concert with any or all of the foregoing persons. (b) The "Claim" means any and all manner of action or actions, cause or causes of action, in law or in equity, suits, debts, liens, contracts, agreements, promises, liabilities, claims, demands, damages, losses, costs or expenses, of any nature whatsoever, known or unknown, fixed or contingent, which any party now has,or may hereafter dre\l 3. 1 2 3 4I 5 6 2 8 9 to 11 12 13 18 19 20 21 22 23 24 25 r 26 N N N 0 27 LL E 0 9 have, against each or any of the persons such party hereby releases by reason of any matter, cause or thing whatsoever from the beginning of time to the date hereof including without limiting the generality of the foregoing, any Claim arising out of, based upon, or relating to those certain lawsuits now pending in the Superior Court of the State of California in and for the County of Orange, and now or pending in Division Three of the Fourth District of the California court of Appeal, as listed in Exhibit "A" attached hereto and incorporated herein by reference, including all related cross-complaints, as well as any matters, causes, or things whatsoever that were, or have been ,or could in any way have been, alleged in the respective pleadings filed in said suits. 3, Release. For a valuable consideration, the receipt and adequacy of which are hereby acknowledged, each party on behalf of itself and its Related Parties, does hereby fully release and forever discharge the other party and the other party's Related parties, and each of them, from the Claim and from any matters, causes, or things whatsoever that have been or could in any way have been raised, demanded, or alleged against the other party and the other party's Related Parties, or any of them, arising out of, based upon, or relating to the Claim. Eimxrvvnwnmi . omme u EACH PARTY ACKNOWLEDGES THAT IT HAS BEEN ADVISED BY LEGAL COUNSEL AND IS FAMILIAR WITH THE PROVISIONS OF CALIFORNIA CIVIL CODE SECTION 1542 WHICH PROVIDES AS FOLLOWS: d«\i "A GENERAL RELEASE DOES NOT EXTEND TO CLAIMS WHICH THE CREDITOR DOES NOT KNOW OR SUSPECT TO EXIST IN HIS FAVOR AT THE TIME OF EXECUTING THE RELEASE, 4. 1 2 3 4 5 6 i 8 91 10 11 12 13 18 19 20 21 22 23 24 25 L WHICH IF KNOWN BY HIM MUST HAVE MATERIALLY AFFECTED HIS SETTLEMENT WITH THE DEBTOR." EACH PARTY, BEING AWARE OF THIS CODE SECTION, HEREBY EXPRESSLY WAIVES AND RELINQUISHES ALL RIGHTS AND BENEFITS WHICH IT MAY HAVE THEREUNDER, AS WELL AS UNDER ANY OTHER STATUTE(S) OR COMMON LAW PRINCIPLE(S) OR SIMILAR EFFECT. Each party represents and warrants that it has not assigned or transferred any interest in any Claim which it may have against the persons which it releases under the term of this release, or any of them, and each party agrees to indemnify and hold such persons, and each of them, harmless from any liabilities, claims, demands, damages, costs, expenses, and attorneys' fees incurred by such persons, or any of them, as a result of any person asserting any such assignment or transfer, or any rights or claims under any such assignment or transfer. It is the intention of the parties that this indemnity does not require payment as a condition precedent to recovery hereunder by any indemnified person. .r •, .,. , This release and the rights and obligations of the parties shall be governed by, and construed and interpreted in all respects in accordance with, the law of the State of California. Without limiting the generality of the foregoing, when the context in which the words are used in this release indicates that such is the intent, words in the singular number shall include the plural and vice versa, all pronouns, and variation thereof shall be deemed to refer to all genders, and the term "person" shall include a corporation or other entity, as well as a natural person. dcc\1 5. 9 10 tt 12 13, 14 �z oz� 15� Q WAV 4;W 16 0 0 0 17 V 18 19 20 21 22 23 24 25 26 N N 0 27 LL ® 28 0 0 7. At orn y%, Fees Each party agrees that if it hereafter commences any suit arising out of, based upon, or relating to, or in any manner asserts against the other party and the other party's Related Parties, or any of them, any claim released herein, it shall pay to each of them, in addition to any other damages caused to any such person, that person's reasonable costs and attorneys' fees incurred in defending or otherwise responding to such suit or claim. 8. No Admission. Each party understands and agrees that the execution of this release shall not constitute or be construed as an admission of any obligation, or of the validity of any claim whatsoever, by the persons which are released under the terms of this release,or by any of them. 9. Counterparts. This release may be executed in one or more counterparts, which together shall constitute a single document, and each of which shall be an original for all purposes. This release is executed by the undersigned on the dates at the places indicated below. Approved As To Form: TERRY C. ANDRUS, COUNTY COUNSEL COUNTY OF ORANGE By David R. Chaffee, Deputy dre\l 6. By_ Its 1 2 31 41 I 5 6 7 1011 III 12 13 14 J T z~ 4:; 15 °j0 u°u W 16 �' u . oZ i . 00 17 u 18 19 20 21 22 23 24 25 O 26 ry N ' 27 O LL ® 29 0 Approved As To Form: i Attorney for CITY OF SAN JUAN CAPISTRANO, CITY OF SAN JUAN CAPISTRANO COMMUNITY REDEVELOP- MENT AGENCY, and STEPHEN B. JULIAN ep3f600 40 MIDWAY CITY SANITARY DISTRICT By_ Its LOS ALAMITOS COUNTY WATER DISTRICT By Its SOUTH COAST WATER DISTRICT BY_ Its IMPROVEMENT DISTRICT NO. I OF SOUTH COAST WATER DISTRICT By_ Its CITY OF SAN JUAN CAPIT�RANO B �+-y K NETH E. FRIESS, MAYOR Its CITY OF SAN JUAN CAPISTRANO REDEVELOPMENT AGENCY By�E F. BIHAIRh Its i Signatory pag* Mutual General Release/D•inquent Property Tax Penalty Allocation 1 Stephen H. Julian 2 3 4 51 6 7 8i 9 I 10 I 11 12 13 i 14 LL=Nz = 15 i o�0 0 w o v w 16 u o=a 00 V 17 18 19 20 i 21 22 i I 23 24 25 N O N 26 N P O 27 � LL ® 28 C p� SE^_-LEMF..NT AGREEMf:NT 2� THIS AGREEMENT is entered into by and between the Orange Count\ 4' cities, redevelopment agenc-es, and special districts (hereinafter: 5;l "C'--ies, Agencies, and Di.strLets") named in Exhibit A hereto, and t'..e 0 County of Orange as follows: 71I WHEREAS, certain disputes have arisen between the Cities, 8 Agencies, and Districts and the County of Orange regarding the allo- 9 cat:.on of delinquent property tax penalties collected by the Orange 10Ij II or• County Tax Collector; 11I WHEREAS, the Orange County Auditor -Controller has impounded the Ill I disruted delinquent tax penalties for tax years 1985-86, 1986-87, 13, 198--88, and 1988-89; 14 j1 WHEREAS, Cities, Agencies, and Districts have filed in the orange i 151 County Superior Court twenty separate actions seeking recovery of the W 'off 16 !I disputed delinquent tax penalties. The title and case number of each i 17i1 case is listed in Exhibit B '-_ereto, and incorporated herein by 18 reference; 19 WHEREAS, the parties wish to resolve all disputes as to the 20 allocation of the delinquent tax penalties in question, terminate the 21I actions listed in Exhibit a, and provide the allocation and 271i distribution of the funds presently impounded; I� 23 I! NOW, THEREFORE, it is hereby agreed as follows: 24 I 1. The delinquent property tax penalties attributable to " 2) property taxes allocated to each City, Agency, or District and which 2G were impounded by the Orange County Auditor for tax year 1985-86, N 27 1986-87, 1987-88 and 1988-89 shall be divided, distributed or ( 28 disbursed at a ratio of seventy-eight percent (788) to the County of epi/?00 1. 6/18/91 18' 19 =0 ?1 22 23 24 0 Orange and twenty-two percent (21%) to the Cities, Agencies, and Districts, and specifically in the amounts and to the Cities, Agencies, and Districts as named and listed in Exhibit A. No interest shall be payable to the Cities, Agencies, or Districts by or on account of this Settlement Agreement. 2. upon receipt of the amounts listed in Exhibit A, the Cities, Agencies, and Districts shall cause to be filed with the Orange County Superior Court (or the Fourth District Court of Appeal in Community Redevelopment Acency of the City of Santa Ana et al. v. V. A. Heim, at al.,' case No. G-010669 (OCSC No. 55-09-70)).a Request for Dismissal by which full dismissal with prejudice of each and every action currently filed and pending by the Cities, Agencies, and Districts and against the County shall be obtained. 3. The parties will execute concurrently with this Agreement a mutual general release in the form attached hereto as Exhibit "C." 4. Each of the parties to this Agreement represents and warrants to the other that (i) each of them has the full power, capacity and authority to enter into this Agreement and (ii) no promise or induce- ment has been offered or made for this Agreement except as set forth herein. The representations and warranties made herein shall survive the execution and delivery of this Agreement and shall be binding upon the respective successors and assigns of the County, and the Cities, Agencies, and Districts. 5. The parties hereto, and each of them, represent and declare that in executing this Agreement they relied solely upon their own judgment, belief and knowledge, and the advice and recommendations of their own independently selected counsel, concerning the nature, extent and duration of their rights and claims, and that they have no-: /6/18/90 2. 1 1 2 3 4 51 6 7' 8 9 10 11 12 11.2 19 20 21 22 23 24 25 Z O 26 n N P O 27 LL ® 28 0 9 been influenced to any extent whatsoever in executing the same by any representations or statements covering any matter made by any other party hereto or any person representing any of such other parties hereto. 6. This Agreement and the attached Exhibits constitute the entire agreement between the parties pertaining to the subject matter hereof, and the final, complete and exclusive expression of the terms and conditions of their agreement. Any and all prior agreements, representations, negotiations and understandings made by the parties, oral or written, express or implied, are hereby superseded and merged herein. 7. This Agreement may be executed in any number of counterparts, each of which shall be an original, but all of which shall constitute one and the same instrument. 8. The parties hereto, and each of them, further represent and declare that they have carefully read this Agreement and know the contents thereof and that they signed the same freely and voluntarily. IN WITNESS WHEREOF, the parties hereto have executed this Agree- ment as of the day and year dated below. Dated: August 20. , 1991. ep3/200 6/18/91 COUNTY OF ORANGE By 3. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 i w. ! µz: 15! 0 D 0 W0V W 16 ': 00. 00 17 u 18 19 20 21 22 23 24 25 26 N N O 27 ® 28 0 0 Approved As To Fgrm: Attorney for CITY OF SAN JUAN CAPISTRANO, CITY OF SAN JUAN CAPISTRANO COMMUNITY REDEVELOP- MENT AGENCY, and STEPHEN B. JULIAN ep3i600 MIDWAY CITY SANITARY DISTRICT By - Its LOS ALAMITOS COUNTY WATER DISTRICT By_ Its SOUTH COAST WATER DISTRICT By_ Its IMPROVEMENT DISTRICT NO. I OF SOUTH COAST WATER DISTRICT By_ Its CITY OF SAN JUAN CAPISTRANO KENNETH E. FRIESS,'IAYOR Its CITY OF SAN JUAN CAPISTRANO REDEVEL PMENT AGENCY By L RENCE F. BBC EI , CHAIRMAN Its 0 EXHIBIT A Exh. A, Page 1 of 2 DISPUTED TAX PENALTIES CITIES AND COMMUNITY REDEVELOPMENT AGENCIES SETTLEMENT PAYMENT 22% OF TOTAL TOTAL FUND FUND NAME PENALTIES PENALTIES 1 ----------------------------------------------'----------------- 2 3 4 0002 COSTA MESA CRA $24,832 $5,463 0003 FULLERTON CRA 80,156 $17,634 0004 GARDEN'GROVE CRA 154,474 33,984 0005 SANTA ANA CRA 105,439 23,197 0007 SEAL BEACH CRA 16,314 3,589 0008 SAN CLEMENTE CRA 11,063 2,434 0009 LA HABRA CRA 7,512 1,653 0014 CYPRESS CRA 1,237 272 0015 FOUNTAIN VAL CRA 77,851 17,127 0016 HUNT BEACH CRA 30,527 6,716 0019 LA PALMA CRA 13,217 2,908 0023 PLACENTIA CRA 9,036 1,988 0024 SAN JUAN CAP CRA 10,494 2,309 0025 STANTON CRA 17,141 3,771 0026 TUSTIN CRA 54,428 11,974 0027 SANTA ANA CRA 237,119 52,166 0028 WESTMINSTER CRA 12,882 2,834 0029 YORBA LINDA CRA 40,044 8,810 0037 MISSION VIEJO 29,377 6,463 0038 IRVINE 243,863 53,650 0039 YORBA LINDA 119,652 26,324 0043 COSTA MESA 219,520 48,294 0044 CYPRESS 62,208 13,686 0045 LA PALMA 24,496 5,389 0046 FOUNTAIN VALLEY 67,527 14,856 0047 FULLERTON 184,826 40,662 0048 GARDEN GROVE 152,526 33,556 0049 HUNTINGTON BEACH 429,765 94,548 0050 LAGUNA BEACH 165,758 36,467 0051 LA HABRA 75,313 16,569 0052 LOS ALAMITOS 15,491 3,408 0053 NEWPORT BEACH 327,656 72,084 0056 PLACENTIA 54,122 11,907 0057 SAN CLEMENTE 133,040 29,269 0058 SAN JUAN CAPISTRANO 53,110 11,684 0059 SANTA ANA 342,150 75,273 0060 SEAL BEACH 48,285 10,623 0061 STANTON 37,143 8,172 0062 TUSTIN 74,247 16,334 0064 WESTMINSTER 56,115 12,345 TOTAL ----------------------2- $3,819,955 $840,392 Exh. A, Page 1 of 2 0 Ll DISPUTED TAX PENALTIES - LITIGATING ENTITIES 22$ OF TOTAL TOTAL FUND FUND NAME PENALTIES PENALTIES 1 2 3 4 DISPUTED TAX PENALTIES - INDEPENDENT SPECIAL DISTRICTS 0010 CYPRESS REC/PARK $23,488 $5,167 0066 MIDWAY CITY SAN 59,588 13,109 0067 GARDEN GROVE SAN 17,202 3,784 0074 TRI CITIES WATER 15,053 3,312 0080 LAGUNA BEACH WATER 15,307 3,368 0081 SOUTH COAST WATER 38,418 8,452 0086 SANTIAGO WATER 7,821 1,721 0093 LOS ALAMITOS WATER 1,573 346 0099/5171 ROSSMOOR CSD 4,350 957 5081 YORBA LINDA LIBRARY 2 0 5091 YORBA LIN LIB BONDS 936 206 5101 YORBA LIN LIB BONDS 88 19 5271 CAPO BAY PARK\REC 7,577 1,667 5521 MISSION VIEJO CSD 43,722 9,619 5881 OC WATER DISTRICT 117,053 25,752 5901 OC WATER DIST RESERVE 1,741 383 9021 OC SANIT NO. 1 OPERATING 61,155 13,454 9031 OC SANIT NO. 2 OPERATING 134,077 29,497 9041 OC SANIT NO. 3 OPERATING 172,542 37,959 9051 OC SANIT NO. 5 OPERATING 53,427 11,754 9061 OC SANIT NO. 6 OPERATING 40,834 8,984 9071 OC SANIT NO. 7 OPERATING 57,092 12,560 9091 OC SANIT NO. 11 OPERATING 44,290 9,744 9161 OC SANIT NO. 1 BOND/INT '51 1,337 294 9191 OC SANIT NO. 5 BOND/INT '51 482 106 9201 OC SANIT NO. 6 BOND/INT '51 247 54 9221 OC SANIT NO. 11 BOND/INT '51 258 57 9281 OC SANIT NO. 11 INT/SINK '58 991 218 9861 OC SANIT NO. 3 & 11 OPER SUSP 8,479 1,865 TOTAL INDEPENDENT DISTRICTS --------------------- $929,130 $204,408 Exh. A, Page 2 of 2 1 2 3 4 5 6 7 8 9 10 11 12 13 14' J y N �� 151 w ° � ;W 16 0z 00 17 u 18 19 20 21 22 23 24 25 26 N N 27 0 LL ® 28 0 0 EXHIBIT B CASE LIST Case Name Case Number 1. Capistrano Bay Park and Recreation District, 56 19 94 et al. v. County of Orange, et al. 2. City of Costa Mesa v. S. E. Lewis, et al. 56 24 88 3. City of Cypress, et al. v. County of 56 91 27 Orange, et al. 4. City of Fountain Valley, et al. v. 55 52 10 County of Orange, et al. 5. City of Fullerton, et al. v. County 56 08 61 of Orange, et al. 6. City of Garden Grove, et al. v. County 55 43 61 of Orange, et al. 7. Garden Grove Sanitary District, et al. 55 80 51 v. County of Orange, et al. 8. City of Huntington Beach. et al. v. 54 79 89 County of Orange, et al. 9. Laguna Beach County Water District v. 56 14 17 County of Orange, et al. 10. City of La Habra, et al. v. County of 56 05 30 Orange, et al. 11. City of Los Alamitos, et al. v. County 56 91 28 of Orange, et al. 12. City of Mission Viejo, et al. v. County 56 86 89 of Orange, et al. JXM/6 1 I I 1 2 3 4 5 6 7 8 9 10 11 12 13 14 w. i� 15 Woo V V w 16 0z z 0 17 18 19 20 21 22 23 24 25 26 N N O 27 ® 28 EXHIBIT B CASE LIST Case Name r] 13. City of Newport Beach, et al. v. County of Orange, et al. 14. City of Placentia, et al. v. County of Orange, et al. 15. 16. City of San Juan Capistrano, et al. v. County of Orange, et al. 17. 18. City of Seal Beach, et al. v. County of County of Orange, et al. 19. City of Stanton, et al. v. County of Orange, et al. 20. JXM/6 2 Case Number 55 77 68 55 83 92 56 09 06 55 94 20 55 09 70 G-010669 (DCA -4th) 61 13 66 56 91 29 55 65 17 Signatory pageAlutual General Release/De�quent Property i ax Penalty Allocation Stephen B. Julian Si 6 8 9 10 11 12 18 19 20 21 22 23 24 25 26 N N Q O 27 LL ® 28 11 onus uss Is October 10, 1991 David R. Chaffee, Deputy The County Counsel County of Orange 10 Civic Center Plaza P.O. Box 1379 Santa Ana, California 92702-1379 jeft L sii0 1776 Re: Settlement Aereement and Mutual General Release in the De is Dear Mr. Chaffee: MEMBERS OF THE C TY CO -IVC LAWRENCE F SUCITHE `n KENNETH E FPJESS GARY, HAUSOORFER GIL JONES JEPFVASQUEZ CITY MANAGER STEPHEN 6 :U, AN Enclosed please find two separate original signature pages signed by Stephen Julian pertaining to the Settlement Agreement and Mutual General Release. Copies of these documents are enclosed for your reference. Very truly yours, Dawn M. Schanderl Deputy City Clerk Enclosure 32400 PASEO ADELANTO, SAN JUAN CAPISTRANO. CALIFORNIA 92675 • (714) 4931171 Writers D reLt Dial Number 834-4379 OFFICES OF THE COUNTY COUNSEP COUNTY OF ORANGE PECFIVFD 10 CIVIC CENTER PLAZA 77 MAI7L�yINqG ADDRESS P 0 BOX 1379 2 22 ,� J�ACALIFORNIA927021379 T FAX 714834-2359 IY CLERK 97?r,PTMENT L'TY pr SAIL JVa�l 7.i O'STC,AXI September 18, 1991 Dawn M. Schanderl Deputy City Clerk City of San Juan Capistrano 32400 Paseo Adelante San Juan Capistrano, California 92675 TERRY C.ANDRUS COUNTY COUNSEL WILLIAM J. McCOURT CHIEF ASSISTANT ARTHUR C. WAHLSTEDT. JR LAURENCE M. WATSON ASSISTANTS JOHN R GRISET THOMAS AGiN EDWARD N DURAN SHERIE A CHRISTENSEN IRYNE C BLACK SUSAN M NILSEN RICHARD OVIEDO SARA PARKER BENJAMIN P DE MAYO ADRIENNE K SAUHO HOWARD SERBIN KARYN3 DRIESSEN GENE AXELROD KATHY PAUL ROBERT AUSTIN KAREN PRATHER DONALD H RUBIN J DAN LILLEY DAVID CHAFFEE DELLAM WELCH CAROL BROWN JIM PERSINGER BARBARA STOCKER GEOFFREY HUNT JAMES F MEADE JACK W GOLDEN STEFENH WEISS DEBORAH GMENER JAMES TURNER CHRISTOPHER J MILLER NICHOLAS OHRISOS ROBERT OVERBY THOMAS MORSE PAMELA KEMP WANDA S FLORENCE LISA PESKAY MALMSTEN HOPE E SNYDER BARBARA H EVANS DEPUTIES Re: Settlement Agreement and Mutual General Release in the Delinquent Property Tax Penalty Allocation Lawsuits - Dear Ms. Schanderl: Pursuant to our recent telephone conversation, enclosed please find two separate signature pages for Mr. Julian's execution. When returned, these pages will be attached to the Settlement Agreement and the Mutual General Release which have previously been executed by the City of San Juan Capistrano and by the City's Redevelopment Agency. Copies of those documents are also enclosed for your reference. Please return the two signature pages upon execution. Thank you for your courtesy and cooperation in this matter. Very truly yours, TERRY C. ANDRUS, COUNTY COUNSEL sy I? t David R DRC:eb Enclosure 0 DR11� Y!E 1s September 4, 1991 Mr. David R. Chaffee, Deputy Office of the County Counsel County of Orange P.O. Box 1379 Santa Ana, California 92702-1379 dwon � I ISI rtane�arzo mann+m l96{ 1776 Re: Settlement Agreement and Mutual General Release in the Delinc Dear Mr. Chaffee: MEMBERS OF THE CITY COUNCIL LAWRENCE F SUCHHEIM KENNETH E FRIESS GARY HAUSOORFER GIL JONES JEFF VASQUEZ CITY MANAGER STEPHEN B JULIAN The City Council of the City of San Juan Capistrano and the Board of Directors of the San Juan Capistrano Community Redevelopment Agency at their regular meeting held August 20, 1991, approved the Settlement Agreement and the Mutual Release with the County of Orange regarding the delinquent property tax penalty allocation lawsuits. Enclosed are copies for your records. If we can be of further assistance, please call. Very .truly yours, Ate/ 1� •� Dawn M. Schanderl Deputy City Clerk Enclosures cc: City Manager Director of Administrative Services 32400 PASEO ADELANTO, SAN JUAN CAPISTRANO, CALIFORNIA 92675 0 (714) 493-1171 BOARD ACTIONS -- 1. SETTLEMENT AGREEMENT AND MUTUAL GENERAL RELEASE IN THE nT'T.TNnTTPNT DDnDPDTV TAY DPATATTV AT.TnnATTnVi T.AWCTTTTC /Gnn An% OM Written Communication: V Report dated August 20, 1991, from the Executive Director, recommending that the proposed Settlement Agreement be approved between the County and certain orange County cities, redevelopment agencies, and special districts in settlement of the lawsuit brought against the County regarding the allocation of delinquent property tax penalties collected by the County Tax Collector. The Report also recommended that a..Mutual General Release be approved mutually releasing all parties from the claims made by the opposing parties. ADDroval of Settlement Aqreement and Mutual General Release: It was moved by Director Friess, seconded by Director Jones, and unanimously carried that the Settlement Agreement and Mutual General Release be approved. The Chairman was authorized to execute _the agreement on behalf of the Agency. Written Comm icAion: /' Report dat gust 20, 199L; from the Executive, it tor, forwarding agreement witkkyyStrgdling, Yocca, Carlson Rauth to provi legal services/to-the Agency. The firm has been providi legal services since 1982. The pr osed agreement Prov' for additional services arising i connection with pl s nd projects foxt'the Agency and an crease in fees. ✓' Mr. ulian noted tat this was the fi s first increase in rat s in the last five years. In resp nse to an inquiry by Di ctor Vasque , Mr. Julian indic ted that bids were i tially sough in 1982 and that the irm was selected based o many factor�', including being the reeminent redevelopment firm in the sate and reasonable fee . approval of reement: was movep by Director Friess, sec ded by Director Jones, and unanim usly carried that the Le 1 Services Agreement between the gency and the legal firm of Stradling, Yocca, Carlson & Rauth be approved. The Chairma�"nd Secretary were authorized to execute the agreement on behalf -,at -the -Agency. -2- 8/20/91 0 0 r AGENDA ITEM August 20, 1991 TO: Chairman and Members of the Community Redevlopment Agency Board of Directors FROM: Stephen B. Julian, Executive Director SUBJECT: Settlement Agreement and Mutual General Release In the Delinquent Property Tax Penalty Allocation Lawsuits SITUATION: Summary and Recommendation: Certain Orange County cities, redevelopment agencies and special districts brought suit against the County of Orange regarding the allocation of delinquent property tax penalties collected by the Orange County Tax Collector. A settlement agreement has been reached between the parties resolving the issue. At this time, it is recommended that the San Juan Capistrano Community Redevelopment Agency execute the proposed Settlement Agreement and Mutual General Release. Background: Disputes arose between the cities, agencies, districts and the County of Orange regarding the allocation of delinquent property tax penalties collected by the Orange County Tax Collector. The Orange County Auditor -Controller impounded the disputed delinquent tax penalties for tax years 1985-86, 1986-87, 1987-88, and 1988- 89. All parties involved in the dispute have come to agreement regarding how the disputed tax penalties should be allocated between the County and the respective local agency. This resolution is described in the attached Settlement Agreement. The settlement agreement provides for 78% of the penalty fees to be retained by the County of Orange and 22% of the tax penalty to be distributed to the local agency. No interest payments will be made to the local agencies for the impounded amounts. Staff believes the settlement provides an equitable resolution to the disputed penalty issue. Along with the Settlement Agreement, a Mutual General Release is attached for consideration. This document serves to mutually release all parties from the claims made by the opposing parties in the above-mentioned lawsuits. It is recommended that the Board of Directors approve this Mutual General Release, along with the Settlement Agreement. COMMISSION/BOARD REVIEW & RECOMMENDATIONS: Not applicable l FOR CITY COUNCIL AGEN4W i 0 FINANCIAL CONSIDERATIONS: The San Juan Capistrano Community Redevelopment Agency will receive penalty fees in the amount of $2,309. No court costs or legal fees will be deducted from this amount. This revenue was not included in the revenue projections made as part of the 1991-92 budget. The penalty fees will be forwarded to the Agency when all parties have executed the settlement agreement. NOTIFICATION: County of Orange Office of the County Counsel David R. Chaffee, Deputy P.O. Box 1379 Santa Ana, CA 92702-1379 ALTERNATE ACTIONS: 1. Move to approve the Settlement Agreement and Mutual General Release and authorize the Chairman to execute both documents. 2. Request more information from staff. RECOMMENDATION: Move to approve the Settlement Agreement and Mutual General Release and authorize the Chairman to execute both documents. Respectfully submitted, Stephen B. ulian SBJ:JMM:mjs Attachments