HomeMy WebLinkAbout01-17-2017 Item 06 Partial Acceptance of Subdivision Improvements for Tract 2560-Phase 2, 215 Bridge Street (TR 64-03) Meeting Date: 1/17/2017
FROM: Michael Codron, Community Development Director
Prepared By: Diane Dostalek, Senior Civil Engineer
SUBJECT: PARTIAL ACCEPTANCE OF SUBDIVISION IMPROVEMENTS FOR
TRACT 2560-PHASE 2, 215 BRIDGE STREET (TR 64-03)
RECOMMENDATION
Adopt a resolution partially accepting the public improvements, certifying partial completion of the
required private subdivision improvements, and authorizing release of the remainder of the
securities once improvements are complete for Tract 2560-Phase 2 at 215 Bridge Street (TR 64-03).
DISCUSSION
Background
Tract 2560 (TR 64-03) is located at 215 Bridge Street (Attachment A). The vesting tentative map
for Tract 2560 was approved by City Council on December 7, 2004, by Resolution No. 9638
(2004 Series). The Phase 1 final map was approved by Council on May 1, 2007, by Resolution
No. 9895 (2007 Series). The Phase 1 map created two lots, a Remainder lot for the existing
homestead and a second lot intended for the Phase 2 subdivision. There were no subdivision
improvements associated with the Phase 1 map. The Phase 2 final map (Attachment B) and
Subdivision Agreement for Tract 2560-Phase 2 were approved by Council on October 21, 2014,
by Resolution No. 10571 (2014 Series) (Attachment C). The Phase 2 final map created 18 single
family residential lots and one condominium lot for the purposes of creating up to eight
live/work condominium units.
Subdivision Improvements
The subdivision improvements for Tract 2560-Phase 2 consist of both public improvements to be
maintained by the City and private improvements to be maintained by the homeowner’s
association. The public improvements include frontage improvements along Bridge Street and
the on-site water line and fire hydrant serving the lots. The remainder of the subdivision
improvements including the on-site driveway, bridge, storm drain lines, drainage infrastructure,
sewer main and laterals, and on-site lighting are all private improvements.
Improvement Securities
As specified in the Tract 2560-Phase 2 Subdivision Agreement, California’s Subdivision Map
Act and the City’s Municipal Code, the Subdivider was required to submit a faithful performance
security to guarantee completion of the subdivision improvements along with a labor and
materials security to guarantee payments to contractors and suppliers. In lieu of providing a
typical bond to guarantee faithful performance of the subdivision improvements and labor and
materials, the Subdivider elected to submit multiple Certificates of Deposit in favor of the City in
the total security amount. Because the Certificates of Deposit would tie up a substantial amount
of the Subdivider’s cash reserves, the City Council resolution approving the final map authorized
the Public Works Director to make partial releases of the faithful performance Certificates of
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Deposit as the work progressed, as allowed in Section 66499.7 of the Subdivision Map Act. The
status of the bonds is shown in Attachment D.
It was noted in the resolution approving the final map that any partial releases authorized by the
Public Works Director would not constitute acceptance of the subdivision improvements.
Acceptance of the subdivision improvements remained the authority of the City Council.
Accepting the Public Improvements and Certifying Completion of Private Improvements
With the exception of the minor items listed in the Punch List (see Exhibit 1 of Attachment E),
the subdivision improvements, as required in the Subdivision Agreement for Tract 2560 -Phase 2,
have been completed and inspected to the satisfaction of the Cit y. The subdivider and their
contractors are diligently working to complete the items on the Punch List, but have requested
that the City Council approve a partial acceptance of improvements so that they can free up some
of the labor and materials securities being held by the City to guarantee payment to the
contractors and material suppliers.
Section 66499.7(h) of the Subdivision Map Act, states: “Security securing the payment to the
contractor, his or her subcontractors and to persons furnishing labor, materials, or equipment
shall, after passage of the time within which claims of lien are required to be recorded pursuant
to Article 2 (commencing with Section 8410) of Chapter 4 of Title 2 of Part 6 of Division 4 of
the Civil code AND after acceptance of the work, be reduced to an amount equal to the total
claimed by all claimants for whom claims of lien have been recorded and notice thereof given in
writing to the legislative body, and if no claims have been recorded, the security shall be released
in full.” [emphasis to the “and” added]
Acceptance of the subdivision improvements by Council removes the barrier preventing release
of the labor and materials securities once the appropriate period of time has passed for
contractors, subcontractors and material suppliers to file claims pursuant to the Civil Code.
Release of Remaining Securities and Acceptance of Remaining Improvements
The only faithful performance security that is being held by the City is in the amount of $85,700.
This amount will continue to be held by the City to ensure completion of the remaining items on
the Punch List and to guarantee that the subdivider will remedy any defects in the improvements
arising from faulty workmanship or materials or defective construction of said improvements for
a period of one year following final completion of all subdivision improvements.
A draft resolution Accepting and Certifying Completion of the Subdivision Improvements is
attached (Attachment E). This resolution authorizes the Public Works Director to accept and
certify the completion of the remaining subdivision improvements once they are completed to
the satisfaction of the City, release the remaining securities once the requirement for release are
met, and to release the warranty security upon satisfactory completion of the one-year warranty
period.
CONCURRENCES
The Public Works Department and Utilities Department concur with the recommended action.
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ENVIRONMENTAL REVIEW
The necessary findings and environmental review requirements related to the development of
Tract 2560 were made with the tentative map approval. Therefore, no further environmental
review is required.
FISCAL IMPACT
The public improvements constructed with Tract 2560-Phase 2 will result in an increase in
maintenance costs for the water mains and water services serving the lots. A financial analysis of
the City’s 2014 General Plan concluded that the cumulative demand for new services would be
covered with the incremental increase in revenue.
At this time, the Utilities Department Water and Wastewater Divisions will not need additional
resources to maintain this new public infrastructure. However, cumulative increases in infrastructure
eventually require additional resources to maintain. When required, these additional resources
would be requested as part of the Financial Plan process, consistent with City financial policies.
ALTERNATIVES
Do not accept the public improvements or certify completion of the private improvements for
Tract 2560-Phase 2. If some of the required subdivision improvements for Tract 2560-Phase 2
have not been completed, then Council can continue this item until such time as the
improvements have been completed to the satisfaction of the City. Staff does not recommend this
alternative because a majority of the subdivision improvements for Tract 2560-Phase 2 have
been completed in accordance with the approved plans and specifications and modifications
thereof, and only minor improvements remain to be completed, which are not being accepted at
this time.
Attachments:
a - Vicinity Map
b - Phase 2 Final Map
c - Resolution Approving Final Map
d - Bond Release Status
e - Draft Resolution Accepting Subdivision Improvements
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RESOLUTION NO. 10571 (2014 Series)
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN LUIS
OBISPO, CALIFORNIA, APPROVING THE FINAL tNIAP FOR TRACT
2560-PHASE 2 (215 BRIDGE STREET,TR 64-03)
WHEREAS, the City Council made certain findings concerning the vesting tentative
map for Tract 2560, as prescribed in Resolution No. 9638 (2004 Series); and
WHEREAS; the subdivider has completed all required subdivision improvements or will
submit appropriate securities to guarantee installation of the required subdivision improvements
as shown on the approved plans prior to map recordation, and all fees have been received or will
be received prior to map recordation; as prescribed in the Subdivision Agreement; and
WHEREAS, all conditions required per Resolution No. 9638 (2004 Series) will be met
prior to final recordation of the map; and
WHEREAS, approval of a final map is statutorily exempt under the California
Environmental Quality Act (CEQA) pursuant to Section 15268(6)( 3) Ministerial Projects
approval of final subdivision maps); of Title 14 of the California Code of Regulations (State
CEQA Guidelines).
NOW,THEREFORE, BE IT RESOLVED by the Council of the City of San Luis Obispo
as follows:
SECTION 1. The final map for Tract 2560-Phase 2 as shown on the attached Exhibit is
found to be in substantial compliance with the tentative map.
SECTION 2. The Subdivision Agreement and Biological Open Space Easement
Agreement for Tract 2560-Phase 2 are hereby approved.
SECTION 3. Approval of the final map for Tract 2560-Phase 2 is hereby granted.
SECTION 4. The Mayor and City staff are hereby authorized to take action necessary to
cam out the intent of this resolution.
SECTION 5. In accordance with Government Code section 66499.7 et seq, the Public
Works Director is authorized to perform partial releases of the improvement securities as the work
progresses, provided that sufficient securities are retained to guarantee completion of any remaining
improvements, payment to contractors, and warranty of work. Any partial releases authorized by the
Public Works Director do not constitute acceptance of the subdivision improvements; which
remains the authority of the City Council.
R 10571
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Resolution No. 10571 (2014 Series)
Page 2
Upon motion of Council Member Ashbaugh, seconded by Vice Mayor Christianson, and on
the following roll call vote:
AYES: Council Members Ashbaugh, Carpenter and Smith,
Vice Mayor Christianson and Mayor Marx
NOES: None
ABSENT: None
The foregoing resolution was adopted this 2151 day of October 2014.
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MayorJan/Marx
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Christinejck
City Attorney
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TRACT 2560-PHASE 2 - BOND LIST
215 BRIDGE STREET
Amount Form Date Received Bond Release Status
Bonds and Guarantees:
Total Faithful Performance = $857,000
Partial guarantee $175,000 CD #5026508951 10/10/14 Released on 11/14/14
Partial guarantee $100,000 CD #5026508969 10/10/14 Released on 10/13/15
Partial guarantee $200,000 CD #5026508977 10/10/14 Released on 5/20/15
Partial guarantee $200,000 CD #5026508985 10/10/14 Released on 7/20/15
Partial guarantee $ 96,300 CD #5026508993 10/10/14 Released on 8/3/16
Partial guarantee (10% of total) $ 85,700 CD #5026509009 10/10/14 Hold for 10% warranty.
Total Labor & Materials = $428,500
Partial guarantee $ 87,500 CD #5026509017 10/10/14 Released on 5/20/15
Partial guarantee $ 50,000 CD #5026509025 10/10/14
Partial guarantee $100,000 CD #5026509041 10/10/14
Partial guarantee $100,000 CD #5026509033 10/10/14
Partial guarantee $ 91,000 CD #5026509058 10/10/14
Monument Guarantee $2,000 CD #5026509066 10/10/14
10% Warranty $85,700 Retain the last
$85,700
Faithful
Performance
CD for this
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R _____
RESOLUTION NO. (2017 SERIES)
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN LUIS
OBISPO, CALIFORNIA, PARTIALLY ACCEPTING THE PUBLIC
IMPROVEMENTS, CERTIFYING PARTIAL COMPLETION OF THE
PRIVATE IMPROVEMENTS, AND AUTHORIZING RELEASE OF THE
REMAINDER OF THE SECURITIES ONCE IMPROVEMENTS ARE
COMPLETE FOR TRACT 2560-PHASE 2 (215 BRIDGE STREET, TR 64-03)
WHEREAS, the City Council made certain findings concerning Tract 2560, as prescribed
in Resolution No. 9638 (2004 Series); and
WHEREAS, the City Council approved the final map for Tract 2560-Phase 1 per Resolution
No. 9895 (2007 Series); and
WHEREAS, all subdivision improvement for Tract 2560 were deferred to the Phase 2 final
map; and
WHEREAS, the City Council approved the final map for Tract 2560-Phase 2 per
Resolution No. 10571 (2014 Series); and
WHEREAS, with the exception of certain minor improvements, the subdivider has
satisfactorily completed the public improvements for Tract 2560-Phase 2, in accordance with City
standards and specifications and has requested acceptance of the public improvements for
maintenance and operation by the City; and
WHEREAS, with the exception of certain minor improvements, the subdivider has
satisfactorily completed the private improvements for Tract 2560-Phase 2, in accordance with City
standards, specifications and the approved plans, and has requested that the City certify completion
of these private improvements; and
WHEREAS, the City Engineer has provided the subdivider with a list of the minor
subdivision improvement items remaining to be completed. See attached Exhibit 1 (Punch List);
and
WHEREAS, Resolution No. 10571 (2014 Series) authorized the Public Works Director to
make partial releases of the faithful performance securities as the work progressed, as allowed in
Section 66499.7 of the Subdivision Map Act; and
WHEREAS, the Public Works Director has released all of the faithful performance
securities for the project except one security in the amount of 10% of the estimated construction
costs, which amount is sufficient to guarantee the completion of the remaining improvements and
to warrant the work for one year following completion of all the improvements.
NOW, THEREFORE, BE IT RESOLVED by the Council of the City of San Luis Obispo
as follows:
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Resolution No. (2017 Series) Page 2
R ______
SECTION 1. The above recitals are true and correct and incorporated herein by this
reference.
SECTION 2. The City Council hereby accepts the public improvements for
Tract 2560-Phase 2, except for the minor items listed in the attached Exhibit 1.
SECTION 3. The Public Works Director is authorized to accept the remaining public
improvements on behalf of the City once completed in accordance with City standards and
specifications and to the satisfaction of the Public Works Director.
SECTION 4. The City Council hereby certifies completion of the private improvements
for Tract 2560-Phase 2, except for the minor items listed in the attached Exhibit 1.
SECTION 5. The Public Works Director is authorized to certify completion the remaining
private subdivision improvements once completed in accordance with City standards and
specifications and to the satisfaction of the Public Works Director.
SECTION 6. The Public Works Director is authorized to release the remaining
securities once the requirement for release are met and to release the warranty security upon
satisfactory completion of the one-year warranty period. The one-year warranty period will not
begin until all subdivision improvements have been completed to the satisfaction of the City.
SECTION 7. The City Council hereby authorizes the Public Works Director to take action
necessary to carry out the intent of this Resolution.
Upon motion of _______________________, seconded by ________________________,
and on the following roll call vote:
AYES:
NOES:
ABSENT:
The foregoing resolution was adopted this ______ day of _______________ 2017.
________________________________
Mayor Heidi Harmon
ATTEST:
______________________________
Carrie Gallagher
City Clerk
APPROVED AS TO FORM:
_____________________________
J. Christine Dietrick
City Attorney
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Resolution No. (2017 Series) Page 3
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Punch List of Items Remaining to Be Completed
as of December 23, 2016
Tract 2560-Phase 2, 215 Bridge Street
As-built drawings.
Complete pertinent “Bluecard” Checklist items prior to partial occupancy.
Verify property corner markers, bench marks and monuments.
Adjust all water meter angle stops and boxes.
Install final BMP’s on all slopes.
Address slope on upper driveway on John’s property.
Install adapters and screw caps on all sewer laterals.
Install clean out boxes for sewer laterals.
Finish trash enclosures.
Complete bio-swales/basins.
Replace broken concrete.
Install address sign.
Complete onsite lighting.
Seal asphalt concrete.
Remove all temporary lines across creek.
Clean up all trash.
All sewer laterals and cleanouts to be operational.
All work within Bridge Street will be complete.
EXHIBIT 1
Page 1 of 2
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Resolution No. (2017 Series) Page 4
R ______
Signed Engineer of Work interim certification of the drainage system and LID features. A
final certification will be required when all the storm drain system w/drainage swales are
completed. The certification will need to include an inspection report(s) for the critical
dimensions of the LID features.
Provide a copy of the final LOMR Case from the engineer of record.
Letter with intent to serve from all utility companies.
Clean pavers using the procedure in the O&M Manual.
Perform a water test on the pavers to ensure infiltration.
Ensure final map recorded all public easements identified on the plans.
Provide copy of final soils report.
Provide bike racks noted on plans.
Provide Bridge Street trees, finish grading and landscaping.
Investigate and install; steps and path with D.G. and identify where/what it ties into. Site
walk forthcoming from Natural Resources Manager and Ranger Services
Provide all final BMP’s (pg 16 – General Notes #11 & pg 22 – General Notes #C);
hydroseeding and netting where required and establishment of BMP’s.
Provide Street Signage.
Address inconsistent paver transitions; ensure trip hazards are not present.
Repair wall caps on head walls.
Clean gravel in parking areas.
EXHIBIT 1
Page 2 of 2
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