HomeMy WebLinkAboutRighetti Ranch - Vesting Tentative Map 3036 - Park Land Dedication Reimbursement AgreementPARK LAND DEDICATION REIMBURSEMENT AGREEMENT
(Righetti Ranch -Vesting Tentative Map 3063)
This Park Land Reimbursement Agreement ("Agreement") is entered into this 3 kN_day
of July, 2019 (the "Effective Date"), by and between the CITY of San Luis Obispo, a municipal
corporation and charter city ("CITY") and Righetti Ranch L.P., a Delaware limited partnership
("DEVELOPER"). The CITY and DEVELOPER are sometimes hereinafter referred to
individually as a "party" and collectively as "parties."
RECITALS
WHEREAS, DEVELOPER is currently developing a residential project in the CITY of
San Luis Obispo, California, pursuant to approved Vesting Tentative Tract Map 3063 and the Final
approved and recorded 3063 Phase 1 Tract Map for property known as the "Righetti Ranch". The
development of Righetti Ranch referred to hereinafter as the "Project";
WHEREAS, the Project is subject to conditions of approval of the Vesting Tentative Map,
the Orcutt Area Specific Plan ("OASP"), the OASP's Public Facilities Financing Plan ("OASP
PFFP") and the OASP's Final Environmental Impact Report ("FEIR");
WHEREAS, the conditions of approval of the OASP and the Project require
DEVELOPER to dedicate sufficient land to the CITY for the eventual development of public
parks, which satisfies the parkland requirements for the Project and for the entire OASP area (the
"Dedicated Land");
WHEREAS, under the OASP PFFP, 11.46 acres of the Dedicated Land identified in
Exhibit "A" attached hereto (the "Parkland") were dedicated to the CITY on April 9, 2018, at
8:00 AM as part of the recordation of the Map. Exhibit "B" attached hereto identifies the Parkland
dedicated and eligible for reimbursement, and Exhibit "C" identifies the benefitting properties
other than the Project (hereinafter, the "Benefitted Properties").
WHEREAS, the value of the Parkland was determined in 2009 with the approval of the
OASP PFFP and CITY and DEVELOPER have agreed to a reimbursement value of three -hundred
thousand dollars per acre ($300,000/acre) for the Parkland per the PFFP.
WHEREAS, DEVELOPER and the City have agreed that DEVELOPER shall be
reimbursed an amount of three million four hundred and thirty-eight thousand dollars ($3,43 8,000)
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($300,000 * 11.46=$3,438,000) from the owners of the Benefitted Properties at the recordation of
their final subdivision map or at building permit, depending on when the fee is collected
("Reimbursement Amount").
AGREEMENT
NOW THEREFORE, for valuable consideration, the receipt of which is hereby acknowledged,
the parties hereto hereby agree as follows:
1. Recitals. The above recitals are true and correct. The recitals set forth above, and all
defined terms set forth in such recitals and in the preamble preceding the recitals, are
hereby incorporated into this Agreement as though set forth in full.
2. Term. This Agreement shall expire upon July 25, 2034 (the "Term"); provided,
however, if by the end of the Term of this Agreement, DEVELOPER has not received
all of the Reimbursement Amount, as may be adjusted and as validated pursuant to the
terms of this Agreement, City will in good faith consider entering into a new agreement
for the purpose of completing reimbursement of funds collected for parkland
acquisition purposes.
3. Reimbursement. Subject to the terms and conditions hereof, CITY shall promptly
collect funds from all Benefitted Properties at the recordation of their subdivision map
or building permit for those developments that do not include a subdivision. The
amount collected from each Benefitting Property is defined in the 2018 update to the
OASP PFFP, Appendix A, table 9. Exhibit "D" copy attached hereto (the
"Reimbursement Payments").
If any owner or developer of one or more of the Benefitted Properties pays all or a
portion of the Reimbursement Payments under protest, CITY shall not be required to
make reimbursements under this Agreement until the limitation period for instituting
court action to seek a refund of such funds paid under protest has passed, and no court
action has been instituted ("Action"). If an Action is instituted seeking refund of funds
paid under protest or to prevent CITY from collecting such funds, or otherwise
challenging any right or obligation of the CITY or DEVELOPER under the terms of
this Agreement, CITY shall notify DEVELOPER, in writing, of the Action. Thereafter,
DEVELOPER shall defend, indemnify, and hold harmless the City or its agents,
officers, or employees from any claim, action, or proceeding against the City or its
agents, officers, or employees, to attack, set aside, void, or annul, in whole or in part,
the City's approval of this Agreement. In the event that the City fails to promptly notify
the DEVELOPER of any such claim, action, or proceeding, or that the City fails to
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cooperate fully in the DEVELOPER's defense of said claim, this condition shall
thereafter be of no further force or effect. CITY agrees that it shall support all of
DEVELOPER's efforts in the Action. CITY shall not reimburse such funds to
DEVELOPER until the Action has been finalized and the authority of CITY to collect
such funds and reimburse DEVELOPER has been sustained. Nothing herein is intended
to or shall obligate the CITY to pay to DEVELOPER any amount in excess of fees
actually collected from the Benefitted Properties or fees collected related to any
development of properties other than the Benefitted Properties.
4. Timing of Reimbursement/Payment/Interest. The CITY shall reimburse DEVELOPER
for all Reimbursement Payments collected by the CITY quarterly beginning on July 1,
2019. All reimbursements shall be by check or warrant made payable to: Righetti
Ranch LP, a Delaware limited partnership and mailed to: C/O Ambient Communities
179 Calle Magdalena, Suite 201, Encinitas, CA 92024.
5. Collection of Parkland Fees in Excess of the Reimbursement Amount. If the CITY
collects Parkland Fees pursuant to the OASP PFFP in excess of the Reimbursement
Amount, as may be adjusted and as validated pursuant to the terms of this Agreement,
then the CITY shall apply the excess Parkland Fees collected to fund park
improvements as specified under the Quimby Act.
6. Entire Agreement/Amendment. This Agreement represents the entire integrated
agreement between the CITY and DEVELOPER regarding reimbursement for the
Excess Public Improvements, and supersedes all prior negotiations, representations or
agreements, either written or oral. This Agreement may be amended only by a written
instrument signed by both CITY and DEVELOPER.
7. Governing Law and Venue. The interpretation and implementation of this Agreement
shall be governed by the law of California, except for those provisions preempted by
federal law. However, the laws of the State of California shall not be applied to the
extent that they would require or allow the court to use the laws of another state or
jurisdiction. The parties agree that all actions or proceeding arising in connection with
the Agreement shall be tried and litigated only in the County of San Luis Obispo or the
United States District Court for the Central District of California.
8. Severability. Invalidation of any provision contained herein or the application thereof
to any person or entity by judgment or court order shall in no way affect any of the
other covenants, conditions, restrictions, or provisions hereof, or the application thereof
to any other person or entity, and the same shall remain in full force and effect.
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9. Counterparts. This Agreement may be executed in two (2) or more counterparts, each
of which shall be deemed an original and all of which together shall constitute one and
the same instrument.
10. Notices. All notices, demands, invoices, or written communications to the parties
required or permitted hereunder shall be in writing and delivered personally or by U.S.
mail, postage prepaid, to the following addresses or such other address as the parties
may designate in accordance with this section:
CITY Director Public Works
919 Palm Street
San Luis Obispo, CA 93401
With a copy to: CITY Attorney
990 Palm Street
San Luis Obispo, CA 93401
DEVELOPER Righetti Ranch, L.P.
979 Osos Street, Suite E
San Luis Obispo, CA 93401
Attn: Travis Fuentez
Phone: (805) 573-0401
Ambient Communities
179 Calle Magdalena, Suite 201
Encinitas, CA 92024
Attn: Rob Anselmo
Phone: (619) 890-2349
11. Interpretation/Ambiguity. This Agreement negotiated by the Parties, with the advice
and assistance of their respective counsel, and shall not be construed in favor of or
against either Party, regardless of who may have drafted it or any of its terms. Any rule
of construction to the effect that ambiguities are to be resolved against the drafting
party shall not be applied in interpreting this Agreement.
12. Assignment. DEVELOPER shall not assign, transfer or convey any of its rights, duties
or obligations under this Agreement without the prior written approval of CITY. CITY
shall not unreasonably withhold approval of any assignment. Any other assignment
shall be null and void.
13. Authority to Execute. Both CITY and DEVELOPER do covenant that each individual
executing this agreement on behalf of each party is a person duly authorized and
empowered to execute Agreements for such party.
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IN WITNESS WHEREOF, the parties have executed this Agreement as of the first date
written above.
CITY OF SAN LUIS OBISPO, a
municipal corporation and charter city
ATTEST:
He
Teresa Purrington, CITY Cl
—APPROVED AS4'0NRM:A'0
3,ir{istine Dietrick, CITY Attorney
DEVELOPER
Righetti Ranch, LP
A Delaware Limited partnership
By: NRE Manager, LLC,
a Delaware limited liability company
Its: General Partner
By: Ambient Righetti Manager, LLC,
A California limited I' y
Its: Sole member
By:
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Travis Fuentez, President
By: �
to Anselm , Vice -President
APPROVED AS TO FORM FOR
DEVELOPER
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EXHIBIT A
PARKLAND
MAP 16K 9*1
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EXHIBIT B
PARKLAND MAP SHEET
MAP 5K 51
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EXHIBIT C
BENEFITED PROPERTIES
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EXHIBIT D
REIMBURSEMENT PAYMENTS
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