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15-0421_Amd 1 Mod to Water Facilities_LV Pacific Point_TTM 14196RECORDING REQUESTED BY: 32400 Paseo Adelanto San Juan Capistrano, OA 92675 AND WHEN RECORDED, MAIL TO: Maria M. Morris, CMC, City Clerk City of San Juan Capistrano 32400 Paseo Adelanto San Juan Capistrano, CA 92675 Exempt from Recording Fees: Gov't Code 27383 & 6103 City of San Juan Capistrano Recorded In Official Records, Orange County Hugh Nguyen, Clerk-Recorder NO FEE *$R0007490204$* 2015000225901 8:10 am 05/01/15 47 411 A17 11 0.00 0.00 0.00 0.00 30.00 0.00 0.00 0.00 This Space for Recorder's Use Only AMENDMENT #1 TO THE AGREEMENT FOR MODIFICATIONS TO WATER FACILITIES TO SERVE TRACT 14196 THIS AMENDMENT #1 TO THE AGREEMENT FOR MODIFICATIONS TQ, WATER FACILITIES TO SERVE TRACT 14196 ("Amendment") dated the .0-1 '^dav of Pvipvl\, is entered into by and between LV PACIFIC POINT LLC, a Delaware limited liability company, whose mailing address is 3121 Michelson Drive, Suite 200, Irvine, CA 92612, the owner of property known as Pacifica San Juan Subdivision, specifically referred to under Vested Tentative Tract 14196 and 15609 in the City of San Juan Capistrano, County of Orange, State of California hereinafter referred to as "Owner" and the City of San Juan Capistrano, hereinafter referred to as "City". RECITALS WHEREAS, On June 16, 1992, the City granted approvals for Tentative Tract 14196 (Resolution No. 92-6-16-4) which would be divided into multiple final maps; and WHEREAS, that certain "AGREEMENT FOR MODIFICATIONS TO WATER FACILITIES TO SERVE TRACT 14196" ("Original Agreement"), was entered into by SJD PARTNERS, LTD., a California limited partnership ("Former Owner") and the Capistrano Valley Water District ("District") and approved by the Capistrano Valley Water District Board on May 4, 1999; and WHEREAS, The Original Agreement required the Former Owner to design and construct various alternative water facilities modifications which are over and beyond the scope of work specified in the original "Water Facilities Construction and Service Agreement" dated November 3, 1992 in order to serve Tract 14196 and to compensate for the removal of the 160,000 gallon reservoir at McCracken Hill; and WHEREAS, Former Owner has completed, and the District has accepted, the required water facilities modifications stated within the Original Agreement and as defined within the plans entitled "Pacific Point Water Facilities Interim Pipeline - McCracken Hill Avenida Calita to Forster Ranch Road" approved by the District Engineer and the City Engineer of the City of San Juan Capistrano dated May 5, 1999 (the "Original Improvement Plans"), with the exception of the 8-inch waterline replacement with associated improvements as depicted on Sheet 3 of said Original Improvement Plans; and WHEREAS, City is the successor agency to the District; and WHEREAS, City requires that those certain remaining waterline improvements, as outlined hereafter, be designed and constructed pursuant to City standards and in coordination with the owner of certain adjacent property identified as Assessor Parcel Nos. 675-331-(18-21) and 675-341-(09 and 11) (collectively, the "Neely Property"); and WHEREAS, Owner is the successor-in-interest to Former Owner and the owner of that certain parcel of land situated in the City of San Juan Capistrano, Orange County, generally described as Vested Tentative Tract Maps 14196 and 15609; and WHEREAS, Owner has assumed all of Former Owner's rights and responsibilities pursuant to the Original Agreement; and WHEREAS, Owner has requested, and City has agreed, to replace the existing Performance and Material and Labor Bonds pursuant to the Original Agreement ("Bonds") with cash security for 100% of the cost of the remaining waterline improvements as defined within this Amendment; and WHEREAS, City and Owner propose to amend the Original Agreement as set forth herein. All terms not otherwise defined or amended herein shall have the meaning ascribed in the Original Agreement. Amendment # 1 To Agreement for Modifications to Water Facilities To Serve Tract 14196 Page I 2 NOW THEREFORE, in consideration of the mutual covenants and agreements herein contained and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged. City and Owner hereto agree to amend the following Sections of the Original Agreement as follows: AGREEMENT I. CONSTRUCTION AND COMPLETION 1. As set forth below. Owner shall, at its sole cost and expense, update the Original Improvement Plans (such update, the "Updated Improvement Plans"), including all remaining waterline facilities not constructed as required by the Original Improvement Plans. The City shall provide written notice to Owner (the "Notice") that it shall prepare the Updated Improvement Plans either in accordance with i) a proposed land plan submitted by the owner of and related to the Neely Property (the "Neely Land Plan") or ii) the alignment prescribed in the Original Improvement Plans, and directing Owner to commence preparation of the Updated Improvement Plans . The Notice shall include the updated design parameters and specifications related to the required waterline improvements. Owner shall, at its sole cost and expense, commence preparation of the Updated Improvement Plans within thirty (30) days following receipt of the Notice and use commercially reasonable best efforts to complete and submit the Updated Improvement Plans to the City Engineer and Utilities Engineer for review and approval as soon as possible thereafter. Owner shall, at its sole cost and expense, commence construction of the remaining waterline improvements as depicted on the Updated Improvement Plans and as approved by the City Engineer and Utilities Engineer no later than thirty (30) days from the issuance of all necessary permits, dedications, easements and supporting documentation necessary to construct the waterline improvements and shall use commercially reasonable best efforts to complete the construction of the waterline improvements as soon as possible thereafter, but in no event later than January 16, 2017. In the event such Notice is not provided by City to Owner by January 16, 2016, the City shall provide relief to the Owner under this Agreement. The City Engineer shall have the delegated authority to oversee and approve the implementation of this condition, including any exceptions to or deviations from this condition. Amendment # 1 To Agreement for Modifications to Water Facilities To Serve Tract 14196 Page I 3 2. City shall accept the remaining waterline and waterline facilities as depicted within the Updated Improvement Plans when inspected and approved to the satisfaction of the City Engineer and Utilities Engineer, in accordance with the plans and specifications. Owner agrees to assume full responsibility for certifying or obtaining certification of the compaction of backfill within all pipe trench work. 3. Owner shall provide City a traffic control plan, haul route and access plan, and staging and storage plan as part of the Updated Improvement Plans. Construction access to the McCracken Hill area shall be limited to the temporary construction road from the Pacifica San Juan Project property unless otherwise approved by the City Engineer. 4. This Amendment shall be binding upon and inure to the benefit of the successors and assigns of Owner and City. 5. In the event of any declaratory or other legal or equitable action instituted between Owner and City in connection with this Amendment, the prevailing party shall be entitled to recover from the losing party all of its costs and expenses, including court costs and reasonable attorneys' fees. 6. Owner shall construct said water facilities in accordance with the Updated Improvement Plans, City's standard specifications applicable to all similar public works projects, and under City's inspection. 7. If Owner has not completed the installation and construction of the remaining waterline work in accordance with the terms of this Amendment, City has the right to utilize the security described in Article VI below and complete the work. All work shall be in accordance with City's standard specifications in effect as of the time the work is performed. 8. Upon acceptance of the permanent water facilities by the City Engineer and as approved by the City through the filing of the Notice of Acceptance, the surety amount may be reduced to 50 percent of the original amount to cover the warranty period of 365 consecutive calendar days from the date of recordation of the Notice of Acceptance by the County of Orange. The surety shall be exonerated upon final acceptance of the permanent water facilities barring any claims arising from the Owner's, Contractor's, or Subcontractor's work. It shall be incumbent upon Owner to renew the security prior to its expiration, if applicable. Amendment #1 To Agreement for Modifications to Water Facilities To Serve Tract 14196 Page I 4 II. USE OF WATER 1. Owner hereby expressly agrees that Contractor or any Subcontractor shall obtain a water meter from the City for any water use for construction purposes. Owner further acknowledges that Section 499 of the California Penal Code provides that unauthorized use of water is a misdemeanor, and City hereby states its intent to strictly enforce said Penal Code Section. 2. In addition to any criminal penalties, and not as a substitute therefore. City will charge Owner, and Owner agrees to promptly pay City, $500.00 per day for unmetered use of City's water by Owner, Contractor, or any Subcontractor, anyone directly or indirectly employed by any of the above, or anyone for whose acts anyone of them may be liable. 3. Temporary construction meters shall be provided to Owner by City at the rental rate existing at the time that such meters are provided. Accounts for the use of jumpers during the construction of the individual residential units are to be established with City. 4. Owner shall notify City as soon as it is reasonably practical to install any permanent meter, and City shall provide and install same as soon thereafter as reasonably possible. Notwithstanding the foregoing, the City will not grant approval for a certificate of occupancy until the permanent meter in installed. III. FEES AND CHARGES Owner shall pay for all applicable required City fees for plan review, inspection, meters, etc. at the rates specified within the City adopted rate schedule at the time of the work. IV. GUARANTEE Owner hereby guarantees the materials and the workmanship of the water facilities for a period ending 365 consecutive calendar days after the acceptance of said permanent water facilities by City. If repairs are necessary. City shall notify Owner and if Owner declines or is unable to perform as required by City, Owner hereby agrees to reimburse City for all costs associated with the accomplishment of necessary repairs to said water facilities which may have been made by City within the aforesaid guarantee period. Amendment #1 To Agreement for Modifications to Water Facilities To Serve Tract 14196 Page I 5 V. GENERAL 1. Owner herby offers to dedicate to City the water facilities together with easements as may be reasonably necessary to access such water facilities. 2. Upon completion of the construction in accordance with the improvement plans and specifications and the dedication of the easements set forth in Section V(1), City agrees to accept the water facilities, whereupon said water facilities shall become property of City. 3. Should either party be required to enforce any of the terms of this Amendment, it is agreed that the prevailing party shall be entitled to costs and reasonable attorneys' fees. VI. SECURITY Owner shall post a cash security equal to 100% of the cost of the remaining work estimated at $150,000 as depicted within Exhibit A. The security described in this Article VI shall be subject to the City's rights set forth in Article I, Section 7. VII. COMPLIANCE WITH PUBLIC CONTRACTS LAW The City is a California municipal corporation in the State of California and is subject to the provisions of California State law relating to public works contracts. Therefore, the Owner acknowledges and agrees that all provisions of California State law applicable to public works contracts are a part of this Agreement to the same extent as though set forth herein and will be complied by Contractor or Subcontractors. VIII. INSURANCE AND INDEMNIFICATION 1. Prior to the commencement of any work pursuant to this Agreement, Owner (if performing work itself) or Owner's contractors shall furnish to the City satisfactory evidence of an insurance policy written upon a form and by a company (which meets with the approval of the City) insuring the City, its officers, elected and appointed officers, agents, and employees as additional insureds against loss or liability which may arise during the work or which may result from any of the work herein required to be done, including all costs of defending any claim arising as result thereof. Minimum general liability insurance shall be not less than $2,000,000 per occurrence and not less than $4,000,000 aggregate. Said policy shall be in Amendment #1 To Agreement for Modifications to Water Facilities To Serve Tract 14196 Page I 6 favor of Owner or its contractors, as primary insureds, and of the City, its officers, elected and appointed officers, agents, and employees, as additional insureds, and shall be maintained in full force and effect during the life of this Agreement, including extensions. Said policy shall state by its terms and by an endorsement that it shall not be canceled until the City shall have had at least ninety (90) days' notice in writing of such cancellation. 2. The Owner hereby releases and agrees to defend (with legal counsel selected by Owner and reasonably acceptable to the City), indemnify and hold the City harmless from and against any and all injuries to and deaths of persons and injuries to property, and all claims, demands, costs, loss, damage and liability, howsoever the same may be caused and whensoever the same may appear, resulting directly or indirectly from the performance or nonperformance of any or all work to be done in and upon the subject property and the premises adjacent thereto pursuant to this Agreement, and also from any and all injuries to and deaths of persons and injuries to property or other interests and all claims, demands, costs, loss, damage, and liability, howsoever the same may be caused and whensoever the same may appear, either directly or indirectly made or suffered by the Owner, the Owner's agents, employees, and subcontractors, while engaged in the performance of said work. IX. CITY BUSINESS LICENSE Owner will maintain and pay all fees associated with a business license in the City of San Juan Capistrano. X. INDEPENDENT AGENT 1. At all times during the term of this Agreement, Owner shall be an independent agent and shall not be an employee of the City. City shall have the right to control Owner only insofar as the results of Owner's services rendered pursuant to the Agreement; however City shall not have the right to control the means by which Owner accomplishes services rendered pursuant to this Agreement. 2. Except as City may specify in writing. Owner shall have no authority, express or implied, to act on behalf of the City in any capacity as an agent. Owner shall have no authority, express or implied, pursuant to this Agreement, bind City to any obligation. XI. Section XI. of the Original Agreement is deleted in its entirety. Amendment #1 To Agreement for Modifications to Water Facilities To Serve Tract 14196 Page I 7 IN WITNESS WHEREOF, tl^^^ Amendment has been duly executed by the Owner herein named on the_^2_l__day of AOy i \, the name and corporate seal of each corporate party being hereto affixed and these presents duly signed by its undersigned representative(s) pursuant to authority of its governing body. OWNER CITY OF SAN JUAN CAPISTRANO LV PACIFIC POINT LLC, a Delaware limited liability company Bv: ^^^/^p*t^ Name: Its: T Anthony Barsanli Autnofized stgiMMory By Derek Reeve, Mayor Maria APPROVED AS TO FORM: Hans Van Ligten, City Attorney (Attach Notary Acknowledgement) Attachment: Exhibit A 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 1181) On April 23, 2015, before me, Maria Morris, City Clerk, personally appeared Derek Reeve, Mayor and Hans Van Ligten, 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 exeeuted 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 whieh 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. (SEAL) /\ Maria Morm,N(Zr|y Cferk WITNESSW OPTIONAL Capacity Claimed by Signers Description of Attached Document Title or Type of Document Mayor City Attorney Amendment #1 to the Agreement for Modifications to Water Facilities to Serve Tract 14196 Title LV Pacific Point LLC Signer is Representing City of San Juan Capistrano OWNER ACKNOWLEDGMENT STATE OF NEW YORK ) ) ss. COUNTY OF NEW YORK ) On the^ day of -hpFtA^v^ the year 2015 before xp&, the undersigned, a Notary Pu and for said State, personally appeared yf)__f7)nz7^ /Oz:^/'5^/^j6personallv known to Public in me or proved to me on the basis of satisfactory evidence to be the individual whose name is subscribed to the within instrument and acknowledged to me that he executed the same in his capacity, and that by his signature on the instrument, the individual, or the person upon behalf of which the individual acted, executed the instrument. (Notarial Seal) _/ y f ^Ji ^ U-^ n Jyi^^ Notary Public LISAA. PHELAN Notary Public State of New York Qualifieo m New York County RegNo. 01PH6292618 Comfnission Expires Novemtjer 4,2017 Exhibit A WORKS OF iMPROVEMENT CERTIFICATION OF PARTIAL COMPLETiON OF IMPROVEiVIENTS Amendment #1 to the Agreement for Modifications to Water Faculties to Serve Tract 14196 I hereby certify that the following improvements for Pacifica San Juan required by Amendment #1 to the Agreement for Modifications to Water Facilities to Serve Tract 14196 have been completed to wit: Schedule of Improvements Total Amount Percent Complete Remaining Amount or Bond Amount Water Improvements (McCracken Hills Water Line) $150,000 0% $150,000 $150,000 0% $150,000 Water Improvements (McCracken Hills Water Line) The Cash Security is for the amount of One Hundred Fifty Thousand Dollars ( $150,000 ). (100% of Column 4) ^^g^qfESgAT^ SUBMITTED BY ENGINEER OF RECORD I estimate the total cost of completing the modifications to water facilities to serve Tract 14196 agreed to be performed by the Owner and Subdividerto be One Hundred Fifty Dollars ($150,000). DATED: 7: ACCEPTED BY CITY DATED: ^ ^ Dotfg Staley (RC^No. 38796) President Hunsaker & Associates Irvine, Inc. HugTT^ Irviri^, CA 92618 'e Kooyman, P.E. .ssistant Public Works Director Amendment #1 to the Agreement for Modification to Water Facliltles to Serve Tract 14196 Pacifica San Juan 1 off Exhibit A