HomeMy WebLinkAboutTM 32498 Amendment 2 to SIA CITY OF PALM DESERT
PUBLIC WORKS DEPARTMENT
STAFF REPORT
REQUEST: Approve Request by Jim Thompson to Leave Current Bond Amount
in Place for Shepherd Lane Street Improvements (Tract Map No.
32498), and Authorize the Mayor to Execute a Second Amendment
to the Subdivision Improvement Agreement Waiving the Increase of
Surety
SUBMITTED BY: Mark Greenwood, P.E., Director of Public Works
APPLICANT: Jim Thompson
Palm Desert Partners, L.P.
2 Crooked Stick Drive
Newport Beach, CA 92660
BOND NUMBER: 2172847
Insurance Company of the West
P.O. Box 85563
San Diego, CA 92186
$444,766.50
DATE: February 12, 2009
CONTENTS: Original Agreement
Bond
Interoffice Memo to Carlos Ortega
Amended Subdivision Improvement Agreement
Recommendation:
By Minute Motion:
1. Approve request by Jim Thompson to leave current bond amount in
place for Shepherd Lane improvements (Tract Map No. 32498);
and
2. Authorize the Mayor to execute a second amendment to the
subdivision improvement agreement waiving the increase of surety.
Discussion:
At the October 9, 2008, City Council meeting Mr. Jim Thompson spoke to Council
during public comment regarding his property located on the east side of Shepherd
Staff Report
Approve Request by James Thompson to Leave Current Bond amount in Place, and Authorize
the Mayor to Execute a Second Amendment to the Subdivision Improvement Agreement
Page 2 of 2
February 12, 2009
Lane north of Frank Sinatra. He stated that, due to lack of funds, he was unable to
complete the street improvements for Tract Map No. 32498 per the approved plan. He
asked to be allowed to complete minimum street improvements now, and have his
subdivision improvement agreement extended for an additional two years. Council
agreed and approved an amendment to the subdivision improvement agreement for
Tract Map No. 32498. The revised terms allow Mr. Thompson to install minimum street
improvements on Shepherd Lane, and extend the completion date for final
improvements to November 30, 2010. He was also required to increase the amount of
security to $530,000. This amended agreement was fully executed on December 2,
2008.
While Mr. Thompson continues to agree to the installation of minimum street
improvements and the extended deadline for final improvements, he has been unable to
increase his surety. Due to the current economic conditions, Mr. Thompson is having
difficulty meeting the additional surety obligation of the amended subdivision
agreement.
Staff believes that the bond currently in place for $444,766.50 is adequate to meet Mr.
Thompson's obligations. Therefore, staff recommends that City Council allow Mr.
Thompson to leave the current bond in place, and authorize the Mayor to execute a
second amendment to the subdivision improvement agreement waiving the increase in
the surety bond.
Submitted By: D p nt Head:
� �I� Gr ( �C�t�l�l�.er�
Christina Canales Mark Green ood, P.E.
Assistant Engineer Director of Public Works
Approval:
/ G���
;
Homer Croy Pau S. Gibson
ACM for D ve pment Services Finance Director
crTv coulvctL�oN
APPROVED DF,NiF.D
� _______ RECEIVED OTHER
Ju i McCarthy .
nteri City Manage MEET (�s DATE '
AYES:
NOES:
ABSENTs
G1PubWorkslStaff Reports120091February 12113 Approve Minimum Impro�ements��"y �ho d L ne1SR A rove request by Jim Thompson to
VERIFIED BYs
Original on File witlt City 's O�Yios
SUBDIVISION iM6�R01/EMENT AGREEI6RENT
t��TE OF AGREEMEAIT: ��-- �, '� T 2�G�,�•'''
NAfUpE OF SUBDIVlDER: �y� � �.� .i-�,�5 �� p,
(refe�red ta as "SF1 Dl�flDER"}.
NAN1E OF SUBDIVISION:�{�tV.�JSi�'H �p�,��-..e„ �o, of Lots: � �
(refeFred to as "SUBDIVISION"}.
TENTATIVE MAP RESfJLUTtUN �F APPR4VAL NO.: Z323
(TM IVo:��
(refe�ed to as "Resolutio� o��4pproval")
lMPR�VEMENT PLANS APPROVED ON: ,� 1- ��
f refer�ed to as "Improvemen� Plar�s"}.
ESTIMATED TOTAl.CQST OF IMPRQVEMENTS:$_�� '' �}�.�' ����� ']�j� ��
ESTtMATED T4TAL COST UF MONUMENTATf01�1: ��j,p pp°"
SURETY:
' B�NDNOS: ��� c�S `�7
�URETY: � w �
-OR-
IRREVOCABLE STAN�-BY LETTER OF CREDIT NO.
FfNANCiAL INSTiTUTIUN:
-E7R-
CASH/CERTfFICATE OF DEPQSIT, AGREEMENT DATED:
FINANCIAL INSTtTUTlON:
i`his Agreemenf is made and en#�reo1 into b�an�be�Eween t�te C�r o�Pafrrt Desert, a
municipal corporation of the State af Califorr�ia, hereinafter refierred to as �CITY", and the
SUBDftffDER.
RECiTALS
xt�uswrE,is�7
A. SElBDIV�DER Fias presented to EITY for approva�ar�d Feeordation, a frtal
subdivision rnap of a propased SUBDlViSiOtV pursuant to provisions of the Subdivision
Map Ac�of the S4ate o€CaEiforr�ia and the GITI�'s ordinar�ees and regulations rela�ing to the
filing, approval and recordation of su5division maps. The Subdivision Map Act and the
CI�'Y's ordinartees and regttlations reiati�g to t�e fi�ing, approval and Feeordation of
subdivision maps are collectively referred to in this Agreement as the"Subdivision Laws".
B- A tenta#i�e map o� the SUBD�!/�SION has bee� approveet, subject to the
Subdivision l.aws and to the reyuirements and condi�ions contairted in the Resolution of
Approval. Tk�e Resol��ior� of �4pprovaF is or� file irt th� Offiee o� �he Ci� Ele�k and is
incorporated into this Agreement by reference.
C. The SubdivisioR E.aws establish as a candt�ivn preeeden##o t�e approvaf of a
finaf map that SUBDIVlDER must have complied with the Resolution ofApproval and must
have either Ea}eompleted,i�t cort�plia�r�ce w�tlt CET�F s�ar�dards, alF o€fhe impFovemer�ts and
lartd devefo�ment work required by the Subtfivision Laws or the Resolu#ion of Approval or
(b}have enterec�into a seeured agFeernent wi�h CfTY to eor�plete�he improvements and
land develqpment w�thin a period of time specified by CITY.
D. br�consideration of#he approva�o€a fi�al�r�n-ap for the SE�BDEu�S10N by the
City Council, SUBDIVIDER desires to enter into this Agreement, whereby SUBDIVIDER
promises to i�statl and complete, at SUBDIlflDER`s own expense, all the public
improvement wark required by CfTY in connection with the propased SUBDIVISION.
SUBDIVIDER has seeurecF tMis Agreemertt by irt�prover�ent seeu�i}y reqrtired by the
Subdivision Laws and approved by the City Attorney.
�os�.r�►sm
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E. Compiete Fmproverr�ent Plans for t�ie co�stFue�io�, insta�lation, afl�
completion of the improvements have been prepared by SUBDiViDER and approved by
t�e Gity E�gineer. The Fmprovernen� Plat�s numbe�ed as refereneed previously in this
Agreement are on file in the Qffice of the City Engineer and are incorporated into this
Agreer�e��by�his�e€erence. All�eferences in this Agree�ent tQ�Me l�tprovernent Ptans
shall include reference to any spec'�'rca#ions for the improvements as approved by the Ciiy
Engineer.
F. An es#imate of the cost for construction of �te pubtic improvemenfs and �
peFformir�g�iand developr�re��woFk in connectiort witkr��e imp�o�rements aceofdiflg tQ tMe
Improvement Ptans has been made and has been approved by the City Engineer. The
estiFnated atr�vunt is stated on Page 1 of this Ag�eetnertt. TMe basis fvF the es�imate is
attached as Exhibit"A"to ihis Agreement.
�• CITY has ac�opted s�a�da�cls �or t�e eons�ructiott anc� ir�stal{atior� of
improvements within the CITY. The {mprovement Plans have been prepared in
confor�rtanee wi�h Cf�'Y standarcls in effee�on the date ofi�Ehe Resolutio� of Approval.
H. Ai!public improvement monuments,street signs,and stakes as specified on
the fnal map are to be eornpleted prio�tQ�inal fvr�rtal aeeeptanee by�Me Ei� Eot�r�eiF.
Individual property monume�ts must be installed within one year from the formaf final
Couneit acceptance of said SUBDlVIS1aN.
l. SUBD�VIDER recognizes that by approva!of#he finaf map for SUBDIVIS��N,
Cf�'Y has eon#e�ed�sr�bs�a��iaF rights t�po�r S�}BDIVEDER, i�et�ding��ie�igMt to seH,lease,
or finance lots within the SUBDIV1StON. As a result,CITY wili be damaged to the extent of
the cos� o� instaltatiort o€ t�te improvements by SUBQlVIDER's failure to perfort�t �ts
obligations to commence cons#ruction of the improvements by the time established in this
�tv��is�
—3—
� • T �
Agreemerrfi. CF�FY sha11 be entitled fo aIl remedies available to it pursua�tt to �his
Agreement and taw in the even#ofi a defauit by SUBDIVIDER. ft is specifically recognized
tMa�the detefr�tir�ation of wMe�Fier a�eversion tQ aereage o�reseission of the SUBD{VISiON
canstitutes an adequate remedy for default by the SUBDlVIDER sha{( be within the sole
discre�ion ofi C�TY.
N4W, THEREFQRE, in consideration of the approval and recordation by the City
Cou�cil of�he�nal map of the SUBDF1f�SION, SlJBDlVIDER and CFTY agree as follows:
(1) SUBDIVlDER's Obiipation to Construct Im�rovements. �
� SUBDI\fIDER shafl:
6
L� {a) Comply wi#h a!!the requirements of the Resolution of Approvat, and
��ny amendments thereto, and with the provisions of the S�bdivision Laws.
��
�'� (b} Comp�ete afi SUBDlViDER's own expense,atl the public improvement
�� work req�ired bq t�e Resoiafion o€A rovaF in eottform
� Pp ance wrth appro�ed F�proveme�t
��Plans within one year from date of execution of this Agreement;provided however,that the
'�U improvements s�tall not be deertied to be cornplete� antil accepted by Ci�y Co�r�eil as
�
�� provided in Section (17) herein.
(c} Furnish �he neeessary mate�iais for completior� of �he pubEie
improvements in conformity with the Improvemen# Plans.
{d) Aequire,or pay#he eost of aeq�isi�io�r by CfTI', and dedieate aIF righ#s-
of-way, easemen#s and ofiher interests in real property for constnactEon and installation of
the ptibtie impFoveme�ts, free and elear of aIF lier�s and enet�r»brances. T�e
SUBDIVIDER's obligations with regard to acquisition by ClTY of off-s+�e rights-of-way,
easements and other interests in rea! properfj�sktalf be subjec�to a separate agreer�e�►t
between SUBDiViDER and CtTY, SUBDfViDER sha(I also be responsibfe for oE�taining
�us�o�,is�
—4—
� t
any pubfic or priva#e sani#ary sewer; domestic wafier,drainage, and/or utiiity easernents or
authorization to accommodate the SUBDIVISION.
(e} Commenee eo�st�,retion of�F�e irrtprovements by the time estabfished
in Sectron(22)of#his Agreement and complete the improvements by the deadfine stated in
Section �'F)�b�j abov�, t�ntess a �ime exte�sion is granted by �he E��1F as ar�tFior�zec� tn
Section (22}.
(�} lnstal�aIF Sk�BDF�fFS14N p�ablic ir�tprorreFner��monuments�eq�tiFed by
!aw and prior to forma!fnaE accep#ance of the public improvements by CITY. Individuai
pfoper��onaments shall be installed wi�hin one year of said aeceptanee.
{g) install street name signs canforming to CtTY standards. PeRnanent
street name signs shat�be ins#alted be�ore accep�ance of�he i�nproveme�t�s by CITY.
(2} Acauisition and Dedica#ion of Easements or Riqhts of W��. If any of the
pt�blie i�pFovett�e�t�and�land use developmen�work Eon#emplated by�Fiis Agreerne�►t is to
be constrvcted or installed on fand not owned by CITY or SUBDlViDER,no construction or
ir�statlation shal� be cor�tmenced before:
{a} The offer of dedication to C#TY of appropriate rights-of way,
easements or other interests in reaE property, and appFop�iate authorization from tk�e
property owner to ailow construction or installation of the improvements or work, or
{b) The dedicatio�r fo, and acceptanee by, ClTI�ofi appropriate rights-of-
way, easemen#s or other inferests in reai property, as deterrnined by the City Engineer, or
(E) �he iss�a�ee by a court o€eompefient jurisdir�iott pt��s�ant tcr the State
Eminent Domain�.aw of an order of possession. SUBDfVIDER shall comply in all respects
with the order of possession.
a�rr�sin.�iss�
—5—
�Iafihing in this Section(2}shalt be construed as autharizirtg or granting an e�ension
of time to SUBDIV)DER.
{3} Sectrr . SUBD�1fEDER sktaN a� all times gt�arantee SUBQIVlDER's
performance by fiurnishing to ClTY, and maintaining, good and sufficient security as
required by the Subdivision Laws on forms approved by�t1Y forthe purposes and�in the
amounts as follows:
f�) �Q asst�Fe faiihful pertormance of this Agreement irr regaFd to said
impravements in an amaunt of 1 QO% of the estimated cost of the improvements; and
{b) to seEtr�e pa�rrne�t ta any cont�aetor, s�bcon�Eaetor, persons Fer�ti�g
equipment, or fumishing labor and mafierials for the improvements required to be
constrtreted and ins#alled pt�rsuant to this Agreemer�t in the additional amount o�50% o�
the es#imated cost of the improvements; and
(�) to gua�antee or warrarity the work done puFsuant tothis Agreerfle��for
a period of one year foflowing acceptance thereo#by CfTY against any defec#ive work or
labor done or defective materials fu�isk�ed iR #he addi�ionaF amoant of 1Q% of the
es�imated cost of the impravements; and '
(d�} Sk1BDF�f�DER shal�aiso�€ur�isF�ta C�'FY good and sc�€fieier��see�rrit�r in
the amount of one hunctred percent{100%)of the estimated cos#of setting SUBDIVISION
monuments as stated previot�sly i�t this Agreerne�t in Section f'�}f€}for a{aeriod o�one year
plus thirty(30) days from forma� acceptance by the City Councit.
The securi�ies req�iFect by#his Agreemen�shatl be kep�on file witkr tMe Ei�C(e�k.
The terms of the security documen�s referenced on page 1 of this Agreement are
incorporated into this Agreemen#by this reference. If any security is replaced by another
itn�us�n�is97 ^6�
app�oved sec�ri�,the reptaeement shalf: 1}comply with all tMe requireme�ts for sectarity in
this Agreement; 2) be provided to the City Engineer to be fled with the City Cferk and,
�pon ��+ir�g, 3} sktall be deemed to have bee�t �tade a pa� of and incorpo�ated irt�o tFiis
Agreement. Upon provision of a reptacement securiiy with the City Engineer and filing of a
replaeemen�seet�r�with the Cifp Elerk, fhe fort�ef sec�rity may be releasec�.
(4) Alterations to im,provemer�t Plans.
{a) l�r�y�changes, al�eratians or addfions tQ tk�e Improvernent Plans not
exceeding ten percent(10%)of the originat estimateci cost of the improvemen#s,which are
mutually agreed upo� by El�1F ar�d SUBDfVtDER, s�tall r�ot Feliev� �Me improvemerrt
security given fior faithful per€ormance of this Agreement. In the event such changes,
alterations, or addi�ions exeeed 10% of the original estirYtated cos� of tF�e impFove�tent,
SUBDtV1DER shall provide improvement security for faithfiul perf'ormance as required by
Se�ion(3)of this AgFeerne�r�€vr or�e ht�ndred pereen�(400%}o�t#�eto�aFesfirna�ed cos�o�
' fihe improvements as changed,al#ered,or amendec�,minus any completed partial releases
allowet#by Seetiorr (fi}of this Agreet�te�t.
(b} The SUBDIVIDER shalf canstruct the improvements in accordance
with CIT1F standaFds i�e�feet at the time o�adoRtion of�he Resolu�or� o�approval. CfTY
reserves the right to modify the standards applicabie to the SUBDNISION and this
Agreement, when neeessary #o protec� tMe pc�blic safet� or welfaFe oF eomply wi��t
applicable state orfederal law or CITY zvning ordinances. If SUB�lVtDER requests and is
granted an extension of fime for comptetion of the improvements, elTY may apply the
standards in effect at the time of the extension.
�rusua.�zs9� —7—
(5) �t�saec�ion. SE1BDfVIDER shaiF at aiEtimes maintair�propeFfacilities and safe
access far inspection of the public improvements by CITY inspecfiors and to the shops
wherei�r any wofk is irr preparation. Upor� eompletion of the work, SE3BDIVIDER rr�ay
request a final inspection by the City Engineer, or the Cify Engineer's authorized
Fepreser��a�t�e. Ff tF�e City Er�ginee�,or the designated representative,deterrrti�es t�at the
work has been completed in accordance with this Agreement,then the City Engineer shall
ee�ify the eor�pletion of tE�e pt�blic i�proveme�rts ta the City Couneil. No improvemer�ts
shalf be finally accepted by the Ciiy Council unfess ail aspects o# the wark have been
inspe�ed a�d eornpleted i�t aeeote�at�ee with the ttnprovemert�Plar�s. When applieable law
requires an inspection to be made by City at a particular stage of the work of construc#ing
and instalfing sueh ifnproveme�t�s, CFTY shalF be givert�imely notice o�SUBDIVIDER's
readiness for such inspection and SUBDlViDER shall not proceed with additionat work until
t�ie ir�speetion has been made and�he wo�lc approved. SUBD�VIDER shall bear all easts o€
inspection and certificativn. No improvements shaU be deemed completed until accepted
by the City Cou�tcil purst�a�t to Section ('��� herei�.
(6) Release of S�curities. The securifiies required by this Agreement shall be
released as following:
(a) Security given for faithful per€ormance of any act, obligation,work or
agreemert�s�all be released upofl�Fie��al comple�io�anci aceeptance of�he act or work,
subject to the provisions of subs�ction (b) hereof.
(b) The Ci�y EngiRee� Fnay release a por�iort of #he seetaFit�r giverr for
faithful performance of improvement work as the improvement progresses upon appliaa#ion
thereof b� �he SUBDIlf1DER; p�ovided, however, tha� no sueM reteas� shalE be for an
amount less than tw�nty-five percent (25%} ofi the total improvement security given for
Lt2+iPUB1DJE11597 -8-
faithfut performa�ee o€the ir�p�ovement work and tha�the sec�rity shall not be redt�ced to
an amount less than�fty percent{5Q%)of the tota!improvement seeurity given for faithful
pe�Formance untif#ir�al cor�tpletion and aceeptance af the ir�prover�ent wofk. F�r�o eve�rt
shall the City Engineer authorize a release of#he improvement securitjr which would red�ce
s�reh secr�rity tQ ar� ar�ottnt below �ha� Fequired to guara�ttee the comptetion of the
improvement wqrk and any other obligation imposed by this Agreement.
(e} Seeur•ity given to secure paymen# to the con�ractor, his ar Fier
subcontractors and to persons fumishing labor, mater�als ar equipment shall, at six {6}
rrior���is a�teF co�ple�iorr afld aeeeptaRee of�he work, be Fedaced to a�t amo�nt equaF to no
less than 125%of the total cfaimed by all claimants for whom liens have been filed and of
v+►hie�t no�ice has bee�r giver�to f�e C�TI�, plus a� amoc�n� reasortably detern�tined by the
City Engineer to be required to assure the pertormance of any other obiigations secured by
the Seet�ri�y.�l�e balanee o�tMe seeari�sFialF be released upon�he settie�e�tt of all elaims
and obligations for which the security was given.
f c�) No sect�rity giveti for the gcrarantee or warran�r of work s�ali be
reteased until the expiration of the warranty period and until any cfaims filed during #he
� warFant}r period Mave bee�settled�. As provided trr Sectiort f�}£1},�hewaEranty pefiod shall
not commence un�il formal finaf acceptance of al!the work and improvements by the City
Cour�eil.
(e} CiTY may retain from any security released, an amount sufficient#o
cove�cos�s at�d Feasonabte expenses and fees, i�elading reasonable attoFneys'€ees.
(7) lniunr#o Public Imarovements Pubtic Properfv or Public Utilrties Facilities.
SFIBDI�/IDER s�tall reptaee or repair or have�eplaced or repaired, as the ease rnay be, all
public improvements, public utilities facifities and surveying or subdivision monuments
�uswrw�ugr
-9-
whieh are des�royer� or da�agecf as a resu{t o� any work unde� #his Agreement.
SUBDIVIDER shall bear the entice cost of replacement or repairs of any and atl public or
public u�iff� proper#y damaged or dest�-oyed by �eason o€ any wotk dane rander t�is
Agreement,whether such property is owned by the United States or any agency thereo#, or
the State o€ California, or any ageney or politieaF subdi�ision fihereof, or by C1TY or a�y
public or priva#e utility corporafion or by any combination o#such owners. Any repair or
repfaeer�ent shall be to the satis#ac#ion, and s�rbjeet to the app�oval, o�the City Engineer.
(8) Permits. SUBDlViDER shail, a# SUBDIVIDER's expense, obtain all
neeessaty pe�n�ts and�lieenses�or�Me eonstruetiot�and installatia�t o�t�te improvements,
give all necessary notices and pay all fees and taxes required by law.
{9) Defauft o�SUBDFVfDER.
(a) Default of SUBDlVIDER shatf include, but not be limited to,
{1) S�JBD�VFDER's �ail�re to �i�nely cammenee eonst�rretion of tktis
Agreement;
(2) SUBDI1ftDER's failare fa �i�ely eornpiete construc�ion of the
improvemen�s;
(3} SUBDF�fIDER`s failare ta timely ecrre afly defec� irt �Me
improvements;
(4)SUBDIVlDER's�ailttre to perFor-m sabstat�tial constt�t:�c�io�t work for
a period of twenty (20} calendar days after comm�ncement of the work;
(5}SklBDIlftDER's insolver�ey,appoir�tmen�Qf a reeeive�, or�he��ing
of any petition in bankruptcy either voluntary or involuntary which SUBDMVIDER faiis to
discharge within thirty(30) days;
tzn�va�n�u9� —10—
(C} �he commenceme�t o# a foreefosu�e aetion agains� the
SUBD1VISiON or a portion thereof, or any conveyance in lieu or in avoidance of
foreclosure; or
{7) SUBDIVIDER's fai(ure to perform any ofiher obligation under this
Agreement.
(b) ClTY reserrres to itseif all remedies available to it at!aw or in equity for
breaekt o� SUBD�VIDER's obligatior�s under this Agreewnert�. CI�Y shal� krave tFie �igktt,
subject to this Secfion, to draw upon or utilize the appropriate security to mitigate CiTY's
damages irr event o€defauf�by SUBDFlFlDER. The�igFt�o�EITY tor draw apo�vr a�ilfze the
security is additional to and not in iieu of any other remedy availabte to CITY. it is
speeifically recognized tMat the esti�rtated eosts and seccrrity amot�nts rrray no�feflect fihe
ac#ual cost ofi construc#ion or instailation of the improvements afld, therefore, ClTY's
darnages for SkJBDF\f1DER's de�a�alt shal# be rneastt�ec� by the eos� o� completing the
required improvements. The sums provided by the improvement security may be used by
CITY fior the completion of the p�rblEe improver�ertts ir�accordanee witkr t�te impFvvemert�
plans and spec'rfrcations contained herein.
In �he eve�tt of SEIBDl�f1DER's defaal� trfldeF �his Agreernent, SUBDIVIDER
authorizes CITY to pertorm such obligation twenty(2U)days after mailing written nofiee of
defaal�to SlJBDF1�FDER anct to S�1BD�VlDER's sr�ret�,an�agrees to pay tMe entire eos�of
such pertormance by CITY.
CF"Fl�r�ay take over�h�wo�lc and proseee.ite�he sa�ne to eo�pie�ior�, b}�eontFae�o�
by any other method CITY may deem advisabEe, for the account and at the expense of
SUBDFlfIDER, and SE}BDF�fiDER's sttrety shalf be liable to CITY far any exeess cvs� or
damages occasioned CITY thereby. !n such event, CITY,without liability far so doing,may
ru�us�n�us9� —11—
take possession of, and utiiize it�cor�tpleting the work, sueh materials, appliat�ces, pFants
and other property belonging to SUBDIVlDER as may be on the site of the work and
r�eeessary for perforrrtanee of the work.
(c} Failure of SUBDtVIDER to comply with the teITns of this Agreement
shalF constitute eonserr�to the fiing by CFTI(of notiee of vio{ation against atl the IoEs in the
SUBDIVISION, or to rescind the approva! or otherwise revert the SUBDIVISI�N to
acreage. The remecty provided by this s�bsection (c} is in additio�t to ar�d not in lie�r of
other remedies available to CfTY. SUBDIVIDER agrees that the choice of remedy or
rer�edies#or SUBDt�f1DER's breac�r shal�be irt�he disere�ior�of CFT1�.
(d) ln the event that SUBDIVIDER fails to perform any obligation
hereunder, SUBDtV�DER agrees to pay alf costs at�d expenses i�currec! by CETY in
securing performance of such obligations, including but not limited to fees and charges of
aFe�titeets, engi�eers, attorr�eys, o��ieF professionafs, and eoart cos�s.
(e} The failure of CITY to take a� enforcement ac#ion with respect to a
defauit,or to deciare a breach, shalt not be const�ued as a waiver of that defa�lt or breach
or any subsequent default or breach of SUBDtViQER.
(1�a} lNarran . SUBDIV1DERs�tal�g�aranteeorwa�a�t�theworlcdo�eptarsr�ar�t
to this Agreernent for a period of one year after final fiormal acceptance of the
SUBD��fiSIC3N by the City Coanci�agains�any defeeti�e work o� labor done or defeet�ve
rnaterials furnished. If within the warranty period any work or improvement or part of any
woFk or i�prove�er�t done, �uFr�isFied, ins�alled, or eo�ts#rt�cte� b�SUBDI�ffDER fails to
fulfi{I any of the requirements of this Agreement or the impro�ement plans and
specifcations�eferred to herein, SUBDf�fiDER sMalF without delay a�d w't�hotr�an�eost to
GITY, repair or replace or recanstruct any c3efective or otherwise unsatisfactory part or
�n.�us�r��s9� —3.2—
pa�ts of#�ie work or straeture. Shoul�k S�IBDIViDER#aiF to ac� promptly or in aecordance
with this requirement, SUBDIViDER hereby authorizes CITY, a#CITY's option,to perform
the wo�k twertEy E2Q} days afte� maiiing written notice o�defa�rlt to SUBDIVlDER and�o
SUBDIVIDER's surety, and agrees to pay the cost of such work by CITY. Should CfTY
de�erFnir�e �hat an crrger�cy requires �epairs or replaceme�ts to be �rtade before
SUBDIVIDER can be not�ed,CiTY may,in its sole discretion,make the necessary repairs
ar replacement or perform the necessary work ar�cf SUBDFV�DER shall pay to CtTY the
cost of such repairs.
f 1�4) SUBDEWEDER No� /�k4e�t� o# EF�. Nef��er SUBD{lfIDER nor ar�y of
SUBDIVIDER's agents, contractors ur subcontractors are or shatl be considered to be
ager�ts o�EI'FY i�t conr�ee�ion with the pe�€or�anee o�SUBDFVEDER`S obligations under
this Agreement.
(12} fnir�ry to 1Afo�k. UntiE sr�ch�ifine as tMe impFover�ettts are aecepted by CF�'1(,
SUBDIVlDER shali be responsibte for and bearthe risk of loss to any of the improvements
constFucted or installed. Unti�suc�time as all improvements Fequired by th'rs Agreeme�rt
are fulfy comple#ed and accep#ed by CIN, SUBDIVIDER wilt be�esponsible for the care,
r�tai�te�a�ee o�€, a�d an�damage tc�sac� improve�net�ts. ��TY sF�af1 �ot, r�o�shall a�y
officer or emptoyee thereof, be liabte or responsible for any accident, toss or damage,
regardless o�ear�se, �appening or occ���-ing tQ�kte work or i�prove�nents spectfied in this
Agreement prior to the completion and acceptance of the work or imp�ovements. AI!such
risks shal!be t�e Fespo�sibili�y o�a�t�#a�e hereby ass�rmed by SUBD+lf1DER.
('i 3) Environmental Warrantv. Prior to ti�e acceptance of any dedications or
improvements by CITY, SUBDi��D�R shafi eer�i�y an�k warrant that r�either the property to
be dedicated nor SUBDlVlDER is in violation of any environmentai taw and neither the
�usu�r�tsrr —13—
property �cr be dedicated no� the SUBDIVIDER is subjeet �o ar�y existing, pending or
threatened investigation by any federa{, state or local governmental authority under or in
eonnectiort wit� environrrtien�al law. Neither SUBQI�FIDER no� ar�y #hiFd party will use,
generate, manufacture, praduce, or release, on, under, or about the property to be
dec}icated, any haza�dous sr�bs�anee e�ceept ir� cor�►plianee wi�h a11 appEieab[e
environmental laws. SUBDiVIDER has not caused or permitted t�e release of,and has no
knowledge of the Felease or presenee of, any haza�dous substance an tMe property tQ be
dedicated or the migration of any hazardous substance from or to any other groperty
adjacent tQ, o� in the vicinit}� of, the propeFEy to be dedicated. Sk�BDFVIDER's prior and
present use of the property to be dedica#ed has not resulted in the release of any
hazardous substance on the property to be dedicated. St�BDIVtQER shalt give prompt
written notice to CITY at the address set fiorth herein of:
(a) Any prviceeding oF i�tves�igation by a�ty federal, state or tocal
goverrimental authoritjr with respect to the prese�ce of any hazardous substance on the
property to be dedieated or the migratian thereof from or to any o�her properEy adjacent to,
or in the�icinity of, the property to be dedicated;
Fb} Any elair�s made or t�Eeatened by a�y�hf��k pa�y against EETI(orthe
property to be dedicated relating to any loss or injury resulting from any hazardous
substa�ce; and,
(c} SUBDIViDER's discovery of any occurrence or conditian on any
property adjoi�ing in �he vicini�y oT� the property� to be dedicatetl �hat eoalc� ear�se the
property to be dedica#ed or any par� thereof to be subject to any restrictions on its
ownership, occupaney, �se for the p�rrpose fo�whiett is i�is i�tended,transferabili�ar suit
under any environmental law.
�rus�s�is9� —14—
(14} Ofhe�Aqreet�er�ts. Nothir�g eortta�ned ir�this Agreeme��shalF preet�de CFFY
from expending monies pursuant to agreements concurrently or previously executed
between the parties, oF frorn entering into agreer�ents wit{t o�her s�bdividers �or the
apportionment of costs of water and sewer mains,or other improvements, pursuant#o the
provisiofls of��e EIT1P o�dinances provicling�heFefore, nor shall aflytFiir�g in this Agreement
commit CITY#o any such apportionment.
f 15} Sk3BD�V{DER'S Qbtiqa�ion to WaFrt Pt�blic Dtt�ir�a Coflst�t�ction. Until formal
fina!acceptance ofthe improvements,SUBDlVIDER shall give good and adequate warning
�atFie pt�btie o�eae}t and every�#angeroas eor�di�iort existen�in said improvements,and will
take a!I reasonable actions to protect the public firom such dangerous condition.
(161 �festina of Owr�ee��ii�r. 4Jportfo�at�ina�aeceptance of thework by Cf"f'Y and
recordation of the Resolution of Acceptance of Public Improvements, ownership of the
ir���-ovements construeted ptafscra��to fhis Agreer�ent sk�al!ves�irt E�TY.
(17) Final Acceptance of Work. Acceptance of the wark on behaif of CITY shall
be rrrade by the City Cot�ncil tapon recorrrr�enda�io� of tMe Ci�y E�gineer after fina�
compfetion and inspection of all improvements. The City Council shaA act upon the
Er�gi�eer's recafnmeFldatio�t witFiiR si�cty f 64}days fro�-rt t�e clate��ie E't�y Engineer certifies
that the work has been finalty completed, as provided in Sec#ion (6). Such acceptance
shalE no�ea�sti�ta�e a waiver o€de#ects by CITY.
('t 8) lndemnitv/Hold Harmless. CITY ar any officer or empioyee thereof shall not
be I+able #or any inju� to pe�sons or pFope� occasioned b� reason of �he acts or
omissians of SUBDiVIDER,its agents,�or employees,contractors and subcontractors in the
performance of this Agreemerrt. SUBDtV{DER fcarther agrees to proteet,defend,indemnify
anci hold harmtess CITY, its o�cials, boards and commissions, and members thereof,
tu�ruB�.�isv� —15—
agents and employees from an�r and aN c�aims,der�tands, causes o#aetior�, liabili�jr or loss
of any sorfi, because of, or arising out of, acts or omissions of SUBDIVIDER, its agents,
employees, eontractors and subcontraetors in the per�ormance of this Agreer�eRt,except
for such cfaims, demands, causes of action, liability, or loss arising out of the sole active
neg{igence ofi the CITY, its of�icials, boards, commissions, the mer�bers thereof, agents,
and employees, including a!I claims, demands, causes of ac#ion, liability,or foss because
�
af, or a�ising out of, in whole or ir� par�, the design or eo�rstt-t.iction of the improvements.
This indemnifcatian and agreement to hold harmless shall extend to injuries to persons
and tlamages or taking o� property Fesufting from the design or construction of said
SUBDIViSION, and the public impro�ements as provided herein, and in addition, to
adjace�tt p�operty owvners as a eonsequence o#tk�e diversior�of wate�s fro�n the desigrr and
construction of public drainage systems, streets and other public improvements.
�4ceeptanee by E�TY of the imp�ovements shalF not eons�itute an ass�rmptiort by CITY of
any responsibilityr for any darnage ar tak'rng covered by this Sec#ian. CITY shali not be
responsible for the design or construction of the prvperty to be dedieated or the
improvements pursuant #o the approved improvement plans or map, regardfess of any
r�egligent actior� or irtaetiort �ake�t by CFTY in appFovi�g �Me plans or map, u�less the
particular improvement design was specificaliy required by CITY over written object+on by
SUBD{VIDER s�bmitted ta the City Enginee�before approvat of the partic�far ir�nprovemer�t
design,which objectian indicated that the particular impravement cfesign was dangerous or
defective antl suggested an altemative safe antl feasible design.
After acceptance of the improvements, the SUBDIVlDER shalt remain
obiigated to eiiminate any defiect in design or daflgefous eonditiort�aused by�he desigrt or
cons#ruc#ion ciefect; however, SUBDIVIDER shall not be responsible for routi�e
�ut3v»ts� —I 6—
mainte�ance. Provisions of this Section shall remain in full force and effect for ten (10}
years following the acceptance by CITY of the improvemenfis. It is the intent af this Section
that SUBDIVIDER shalE be responsible for al! liabifi�y €oF design and construction of the
improvements instafled or work done pursuant to#his Agreement and that CITY shail not
be liable for any negligenee, nonfeasance, mis#easance or malfeasa�ee in approving,
reviewing, checking, or mspecting any woric or construction. The improvement securify
shall not be�equired ta cover#he provisions of this Section.
SUBDIVlDER shail reimburse C1TY for all cos#s and expenses (including but not
limi�etl ta fees and ehaFges of arehitects, engineers, attorneys, and other professianats,
and court costs) incurred by CtTY in enforcing#he provisions of this Sec#ion.
{19) PersonaF Nat�re of SUBDIVFDER'S E?bliaations. Ail of SUBDtVIDER's
obligations ernder #his agreemen# are and shall remain the persona! obfigations of
SEIBDFVIDER notwithstanding a t�ar�s€eF o�€ alt or arty part o€ the p�operty within the
SUBDIVISION subject to this Agreement, and SUBDlVIDER shaf{not be entitled ta assign
its obkgaf:ons r�nder this Agreement to any transferee of a!I or any part of the property
within#he SCIBDIVISION or to any other third par�ly without the express written consent of
CIT�1(.
(20) Sate or Disposition of SUBDIVISIQN. Seller or other SUBDIVIDER may
request a novafion of this Agreement and a substitution afi sect�Eity. Upon approva! of the
novation anc! subs#itution of securities, #he SUBDlVlDER may request a release or
reduc�ivn of the sectarities required b�r��is A�greert�ertf. Nothing in tMe novation s�a[E�etieve
the SUBDIVIDER of the obl'tgations under Section(18}for#he work or improvement dane
by SUBDNIDER.
iuv�us�v.rEtiss� —17—
(�1} Time o�€ the Essenee. Time is of the essence in the performance of this
Agreement.
{22) Time for Commencement of Worlc• Time Extensions. SUBDIVfDER shall
commence substantiai construction of the improvements required by this Agreement nof
later than six(G) rnonths after the date of this AgFeeFnent. !r�the event good cause exists
as determined by the City Engineer, the fiime for commencemen# of constructian or
completian of the improvements hereunder may be extencied for a per�od or periods not
exceeding a total of finro(2)aclditional years. The extension shall be executed in writing by
the City Engineer. Arty such extension rr�ay be granted wi#�ou�notice to SUBDFViDER's
surety and shall nofi affect the validity of this Agreement or reiease the surety or sureties on
any security given for this Agreement. The City Ertgineer sFta!!be the sole and fnal jucfge
as to whether or not good cause has been shown to entitte SUBDIVlDER to an extension.
De{ay,other than delay in tMe commenceFne�t of work, resc�lting from an act of CITY,act of
Gad, or by storm or inclement weather, s#rikes, boycotts or similar political actions which
prevents the conducting ofwork,which SUBDIVIDER could not have reasonably fareseen
and, furthermore, were not caused by or contributed to by SUBDIVfDER, shall constitute
good cause for and extensio�t of the�ime for eoFrtpletion. As a co�ditior�of suclt extertsio�,
the City Engineer may require SUBDIVIDER to furnish new security guaranteeing
gerf'ormance of this Agreerr�ent as extended in an increased arnount as necessary ta
compensate for any increase in construction costs as determined by the City Engineer.
(23} No lfestinq of Ric��s. Per€ormance by SUBDtVIDER of this Agree�ent shail
not be construed to vest SUBDIVIDER's rights with respect to any change in any zoning or
building law or ordinance.
�vB�.�►sv� —18—
(�4) Notices. AII notiees required or provided for ur�der#his Agreemen#shall be in
writing and delivered in person or sent by mail, postage prepaid and adclressed as
provided in this Sec#ion. Notice shall be effective on the date it is delivered in person, or, ifi
maited, on fihe date of deposit in the United States mail. Notices shall be addressed as
foNows unless a written cltange of address is�led with�he Cifjr:
Notice to CITY: City of Palm Desert
73-510 Fred Waring D�ive
Palm Desert, Catifornia 92260
A#tn: Public Works Director
Notice to SUBDF�/{DER: �at.wt �.�g ev� ��2Y,�,�vS � �,�(�
_ C�t.00K�� ,�-tctc i,�v
�wndJt- T3� ; e w q 2�GQ
14Tc�J : ��� ilna�.�..���,,) PI�a'�R-�r�3-4�D�1
Notice to SURETY: � K � ��
, . 55 3
��--- �� l'l�._tiar 8�-5 Sb3
��s� 3s� - a��
{25} Complianee With Laws. SUBDlVIDER, its agents,employees,contractors
and subcontractors sha((comply with ail federal,state and local laws in the performance of
the improvements and land developrt�en#work req�ired by this Agreement.
(26} Seve�rabi�iiv. The provisions of this Agreement are severable. lf any portion
of this Agreement is held inva�id by a court of competent jurisdiction,the remainder of#he
agreemen#shal(remain in fuA force and effect unless amended or modified by the mutual
eonsent o€the parties.
(27) Caations. The captions of this Agreement are for con�enience and reference
only and shall not defrne, explain, modify, limit, exemplify, or aEd in the interpretation,
construction or meaning of any provisions of this Agreement.
�ctrt;�.�i sg� —19—
(28) Litictation or Rrbitration. In the event that suit or arbitratio�t is brought to
enforce the terms of this Agreement,#he prevailing party shafl be entitled to fitigation costs
and reasonable attorneys'fees.
(29} Incorparation of Recitals. The recitals to this Agreement are hereby
incarporated into in�he terms of this Agreement.
(3Q) Entire Agreement. This Agreement constitutes the entire agreement of the
parties with respect#o the subject matter. Alf modifications,amendments,or waivers of the
terms of this Agreement mus#be in writing and signed by the appropriate representatives
of the parties.
(39} Intemretation. This Agreement shall be interpreted in accordance with the
laws of the State of Ca�ifomia.
(32} JucisdicctEon. Jurisdiction of all disputes over the terms of this Agreement
shali be in the County of Riverside, State of Cat�fomra.
lll
u�
iii
���
���.�,�5g� -2 0-
IN WITNESS WHEREOF,this Agreement is executed by the parties as ofthe date
hereinabove first written; by CITY, by anc! through its Mayor.
�b'j�.i/�1��;��.��'������ �-�� �
(.��'�,�� ��c-���.-C��J�G�C��..,p
I.�r .�Tr.��Y ��vu.��r _.,1,���_�,;,-���„� ClTY�F P ESERT
SUBDlVIDER ����y
,
By:
SUBDIVIDER MAY�
(Proper Notarization of
SUBDIVIDER's signature is
required and shal! be attached}
ATTEST:
�
CI LE ��'�
APPROVED AS TO FORM:
TTO Y
RMPUS\DIh11597
-21-
STATE OF CALtFQRNiA )
�RPt�t C,�-� ) ss
COUNTY QF�"*�"�=�r )
�
4� �C�rri �5 , 20oS, befare me, a Notary Public in and for said State,
personally appeared�Q��s &. i!l�,�J,t/, persanally known to me (or proved to me on
the basis of satisfactory evidenee)to be the person(s)whose name(s}is/are subsc�ibed to
the within instrument and acknowledged to me #hat he/she/they executed the same in
his/her/#heir authorized capaci#y{ies), and #hat by his/her/their signature(s) on the
ins#rument the person{s), orthe entiijr upon behalf of which the persan(s)acted,executed
the instrument.
WIT ESS my hand and afficiaf seal. �„�
H.C.FRSOFI
r.arunissron�r i 57flf0i
�Jr�1nry Pu�Nt, Cdltqr�tj
O�Qr1�B COtM1Ay
NOTARY PUBLlC ,
RMF'UAIVCDV60 �2 2-
. �
CITY OF PALM DESERT
STANDARD FORM
SUBDIVISI�N
FAITHFUL PERFORMANCE BOND
NAME OF SUBDIVISI�N: �I�sI� �a� / �cr No. 32498
NAME OF SUBDIVIDER: PALM DESERT PAR�IERS, r,p
NAME OF SURETY: �s�va� ca�rn� o� � ��s�
EFFECTfVE DATE: �0��"1� �0, 2005
AMOUNT OF BOND: �296,511 ,00
BOND NUMBER: 21� 28 47
PREMIUM: $4,151 .00
KNOW A�L MEN BY THESE PRESENTS: That the person, firm,
corporation, entity, or otherwise, named on line 2 above, w'sthout �egard ta
gender and number, hereinafter referred to as PRINCEPAL, and the corporation
named on Line 3 above, a corporafiion authorized to do business in the State of
California and presently possessecf of authority under Title 6 of the United States
Code to do business under Sections 6 to 13 thereof, in the aggregate amounts
hereof, hereinafter referred to as SURETY, a�e jointly and severally held and
firmly bound unto the City af Pa1m Desert, a municipal corporation af the S#ate of
California, hereinafter referred to as CITY, in the sum mentioned on Line 5
above, for the faithful perfarmance of tha# certain SUBDIVISIDN
IMPROVEMENT AGREEMENT befinreen PR1NCtPAL and CfTY regarding the
subdivision named on Line 1 above, as required by the provision of the
Subdivision Map Act and CfTY ordinances, reso[utians, rules, and regulations, for
2
the payment of which sums weii and #ruly to be made, PRINCIPAL and SURETY
hereby bind themselves, #heir heirs, administrators, executors, successors and
assigns,jointly and severally, firmly by these presents.
The condition of the foregoing obligation is such that if the said
PRINCIPA� shall faithfully perForm the covenants, conditions, and agreements
cantained in that certain SUBDIVISlON tMPROVEMENT AGREEMENT between
PRINCIPAL and CITY regarding the subdivisian named on LINE 1 of Page 1
hereof, which said agreement is by this reference incorpora�ed herein, on its part
to be kept and performed, in a manner and form therein specified, and shall
furnish material in compliance with the specifications and perform all that certain
work and improvement in said CiTY which is more particufarly described in said
SUBDIVtSION IMPROVEMENT AGREEMENT, then the obligation with respect
to the faithful perFormance is by this reference incorporated herein.
The said SURETY, for value received, hereby stipulates and agrees that
no change, extension of time, alteration• or addition to the terms of #he
SUBDIVISION 1MPROVEMENT AGREEMENT ar to the work to be performed
thereunder or the specifrcations accompanying fhe same shall in anywise affect
its obligatians on this bond, and it daes hereby waive natice of any such change,
extensian of time, alteration or addition to the terms of the SUBDIVISION
IMPROVEMENT AGREEMENT, the work, the specifications or any feature or
item of performance thereunder. fn the event it becomes necessary for C1TY to
bring an action ta enforce this bond, SURETY shail pay CITY's reasonabfe
attorney's fees and court costs in connection therewith.
� , 3
IN WITNESS WHEREOF, PRINCIPAL and SURETY have executed this
ins#rument on the date mentioned on Line 4 of Page 1 hereof.
PALM DESERT PARTNIItS, I,p
PRINCIPAL
v..
CIPAL
SURETY
INSUI�+,NCE COMPANY OF THE �VEST
SURETY
�
r•/
D�1NIEi, P. DOLE, ATii0R3�1Y-IN-FACI'
(Notarial acknowiedgement of execution by ALL PRINCIPALS and SU�E7Y
must be attached.}
c�►L�Fo����► e�L�.�uRPosE �►c�cwowL���n�EN�r
:v ..;�;-^;�;:F ,r,e;i,-.�^^ ,.^,.... i:r�:!':r:�;�:�2�c,i�•,u!s:�`. ,� ., n;..�,�..n.��:�:�.':..�.;�� >r.:.�,�;f'c:f�^:..:�c {��i��� .n..r� �;....E
`Sc=cS'.:^Se- ?' r-�.^.^- -.c.:Si1 r���t c.k�fr�. � ;r .�„ ...r.i.
State of California
ss.
County of�,4�C/ �
On 1 ��lr��before me, �I• ��6�
�al Name end Title of Officer{ g„"Jane Dae,Notary Publfc") �
personally appeared "r"n'�"7E.5' �. /�-f?��'J�,�,Sp
Name(s)of Siyner(s) �
O personally known to me
�oved 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
`H• �� he/she/they executed the same in his/her/their
, ecxnrr�sawn��57��7 authorized capactry(ies), and that by his/her/their
r� `��'"f"���y�°�°� signature(s) an the instrument the person(s), or the
q entity upon behalf of which the person(s) acted,
• executed the instrument.
WITNESS nd and official seal.
Place Natary Seal Abave
Sit�nature o(Nota Pu81ic
OPTIOIVAL
7hough the information below Is not required by law,it may prove valuable to persnns relying on the document
and could prevent fraudulent remova!and reatiachment of this form fo another document.
Description of Attached Document
Title or Type of Document:
Document Date: Number of Pages:
Signer(s)Other Than Named Above;
Capacity(ies) Ciaimed by Signer(s)
Signer's Name: Signer's Name:
� Individual p Individual
❑ Corporate Officer—Title(s): ❑ Corporate Officer—Title(s):
C7 Partner—O Limited O General ❑ Partner--0 Limited � General
❑ Attomey in Faci rop or m�me ne�e ❑ Attorney in �act � '.
❑ Trustee 7op of lhumb here
❑ Trustee
l� Guardian or Conservator p Guardian or Conservator
❑ Other: ❑ Other:
Signer Is Representing: Signer ls Representing:
�'r^-f _Y l'v_:`hi ,<1�`<✓'v �_�'�_/v`-� N-^vcv��.i".'lv�f..t-_ . ' . " -
...v__ _ l�'+':-:' ',�f•:�i J_v.�iv,xC'vx/'�i,!:.=!4 "�.:.GiL:c.i..f„'-��i_Fv'e ,tY:�'v.' ....
�2004 Nalionat Notary Assocration•9354 Qe Soto Ave.,P.O.Box 2402•Chatsworth,CA 913t3-2402 Item Na.5907 Reorder.Call Toll-Free 1-8(70-876�6827
I.C_VV_ GROUP
Insurance Company of The West
The Ek-plorer Ix►.surance Coz�r�pany
- Independence Casua�ry and Suret��Compan5�
I 1-�>j E! Caiuino ReaI, San Diego. CA 42 i3U-20-��
F.O_ B03�55�6�.San Diego.CA 92 t8G-»63
(S�8)3�0-3�Q0 FAk(8�8)3�0-�707 .
�c��x-.icsa�vroup.com
Bond Number_ Z�7 2g 47
Terror�ism Rish Rider
Thzs rzder addresses the requirements of the Terrorism Risk Ins�rance Act of 2C�02.
I.n accoraance with the above Act, we aze pzoviding this disclosure notice for aIl bonds on which
one or rnore of the above identified conapanies is a surety.
Coverage for certified acts caf terrorisrri is inciuded in the attached bond and wa�l be partially
rei.rxx.bursed by the United States under a formula established by the.Act, The Unzted States wil�
pay 90% of covered terrorisrzt Iosses in excess of a statutory estabIis.�ied deductible to the
insurance cornpany issuing the band.
In no way wilt the payrrxent for loss on this boBd exceed the Iiznit of fiahility under this bond.
This rider does not provide coverage for any loss that would otherwise be excluded by the teztrzs
ofthis bon�.
The portion of the ,premium, for this bond, attributable to coverage for certified acts of terrorism
under the Act is One Do1Iar(�]..00�
Important Notice: The cost of terrorisw coverage is s�bject to chauge on any bon�d fhat
pre�mium is cha�ecl annually_
, • No. 000I256
ICW G120UP
Po�ver of Attorney
Insurunce Company of the West
�xplorer Insurance Company Independence Casaalty and Surety Compuny
KNOW ALL MEN BY THESE PRESENTS: That Gisuronce Compnny of the West, a Corporutiou duly organized under the laws of the State of Califomia,
Explorer Insurance Company, a Corporation duly organized under the ]aws of the State of California, end Independence Cas�ialty and Surety Company, a
Corporation duly orgaaiaed under the laws of the State of Texas,(collectively refereed to�s the"Companies"),do hereby appoint
NICKC EDWARllS,JOflN T.DOLE,DAtYIEL P.DpLE,JANfES F.TEGHTMEYER,ROBERT P.DOL�
their tn�e and]awfiil Attomey(s}-in-I'act with authority to date,er.tcnte,sign,seal,and deliver on behalfof the Companies,fidelity and surety bonds,undertakin�s,
and other similar contracts of suretyship,and any related docainents.
In wihtess whereof,the Companies huve caused these presents to be executed by its duly authorized officers this 1 st day of November,2005.
r^;:`'=�`=�"'`'
�oµrNryo� �r'�SURqry4;�;, � t�r
t�' r , �F Rvo t�`\., � �t�,� INSURANCC COMYANY OB T�TE WEST
o�'�cosraa��Fo; �tr�t,° �aF�d`i .�f,,p ''� EXPLORTit TNSULtt�NCE COMPANY
'i o��SEAL_i� `� �` '^% �s
� ��+ �� � �+�,�y q�Ialr� � � ,. IND�P�NDENC�CASUAT.TYANDSORETY
`�:�°�-�:`�.'oRn��%r�f- �.,�r'� �,�' COMI'A1VY
�eIROhM* • %' `O,� �i1
''�.:. ,,:,�� \
����^�r� /j}'
L� � .�L(+' �'
Jeffrey D.Sweeney,Assistant Secretary Iohn L.Hannum,Executive Vice President
State of Califomia
� SS.
CountyofSan Diego
O�a November 1,2045,before me,Frnncis Fafaul,Notnry Public,personally appeared John L.Hanniun and JefTrey D.Sweeney,personally known to
me to be the persons whose names are subscribed to Uia wiffiin inshument,and oeknowledged to me that they executed the same in their autliorized capacities,and
that by their signahues a�the inshument,tlie entity upon behaIf of which tha persons actetl,executed t[ie inshtunent.
Witness my hand and official sea(.
FRANGI8 FA�'AUL
••:` COMM:#t14p:t
� t10TA�iY Pt19t.IC�ClYtJFO� � .
�3yAN DIEGC CX!? 1/. I
FEBRI�A�RY�3;
Francis Fafaul,l�orary Public
RESOLUTTUNS
This Power of Attomey is granted and is sigaed,sealed a�id notarized with facsimile signatures and seAls under authority of the following resolutions adogted hy
the resf,ective$oards of Directors ofeach ofthe Companies:
°RESOLVED: TE�at the President,an Executive or Senior Vice President of the Cumpany,together with the Secretary or any Assistant
Secretary,aze l�ereby authori2ed to execute Powers of Attomey appointn�g the person(s)named as Attomey(s)-ia-Fact to date,execute,sibm,
seal,and deliver on behalf of the Company,Hdelity and surety bonds,ttndertaki»gs,and other similar contracts of stu'eryship,and any related
doct[ments.
ItESOLVED EURTHER: That the signatures of the officers mt+king the appointment,and tho signahire of any offtcer cectify'vig the vaEidiry
and current status of the appointment,may be facsimile represeutatiores of those signahires;aiid ihe signatttre and seal of any notary,and the
sent of the Company,may be f2csimile rtpresentatioc�s of Yhose signatures and seals,and such facsimile representations shail have tlie same
force and effect as if manuutly affixed. The facsimile representations refarred to hereia mny be affixed by stamping,printing,typing, or
photocopqing.,'
CETtTIFICATE
i,the undersigned,Assistant Sacretary of(nsurance Company of the West,Explorer Tnsurunce Company,and Independence CasuAlty and Surety Company,do
hereby certify that the fore�oing Power of Attomey is in ftell force and effect,and E�as not been revoked,and d�at the above resoluHons were duly adopted by the
respective Boards of Directors of the Companies,and are now i�2 frili force.
Il`3 WITI3ESS WHEI2EOF,I have set my hand this_ �O Qay oE__ J�J��h'LV.Qf� , G7'�,
������ �,�r'C'�-'L+'�-�'L'
� ��'�_......
Tef&ey D.Sweeney,Assistant Secretary
To verify the authenticiry of this Power of Attomey you mzy ca[I 1-800-R 77-]11]and ask for the Stvety Div9sion. Please refer to the Power of Attomey Namber,
the above named'u�dividual{s)and details of the bond to wliich tlie power is attached. For information or filing claims,please contact Surety Claims,ICW Group,
1!45S El Camino Real,5an Diego,CA 92130-2045 or call(358)350-2400.
S'I ATL Oi� CALII�Q1lNIA.
llI�P�1Ii'1'M�N't' Qi� INSU�.�ANG�
5AN I�RANCISC4
At•IL;IQ])!iE)
Ccrfi�'icate o.t Auti►o�•ity
1'ItI9 I9 7Y3 CGtYY'IpY�9'htet,�»rrserani lo iAe insrira�+cv Coc[e of ilse Stato of CaUfornin, .
73V�;UItAtJC1's C��[i'ANY OJz 'Pilf: 6!G`3T
��f SlIN DI.L�GO, CQI,Ii�i?12L9IA ,organixad fri�der t7io
lr�ms n� CAL7:1�QttNIA ,suG(�sct fo f!s Artic�Ic�o/Iiscn►'port�Ffnx ur
otlrer juarlarieer�lal organlzrrtiar�ni rfaan�ie��cs, !s )icrcLg nrrtlrorizPrl f� tmnsnct ic�l�hi�� Iliis Slnfa,
rul,Ject(rr nfl�n»rl,sloris at fTi�s Cer7f�crrf�s,(ha(nTluaving clnsses nF fiucurance:y�kL, i`lAItiFIT',
SU1tT:'L'Y, DISA]3ILTTY, PLItT$ CiI,1t,,S, LTAl1;CLI'1'X, HU[tK�[{Fi' C4i°tYEHSATT{3N,
L'UIIHUI+1 CARRxE.R I,�AT3IL.[R'Y, �UlListt AiiU MAC1iZP7ruY, ]3U1tGLARy, CltLp7'1`,
Sl>1t�NK3'��It, 7.`�AM ANll VI;f1ICL1's� AUTONiUJ33:i.�� AI(2CRA1`P a��Q �$�LL'W�if:U[I�
ns�nr.le c:frrssea are�ww or+nag lrereajter Le rtefenerl in lhe l�rarrrnnce L,ncvs o�tLe Stma vj Caf1/nn�ia.
'1'i�iy{;���ttr�cer�ir crpress/1 cundilimied tr�+an ll+e hulder herenf�iu��nnr!Tre�cejlcr ),r.t+tl; iu
/�rll cv,nr�lfance iuitli nI2,a►�d not ti+viutafivn o(an�,o��lee n�rpliarLle fatua at�r!�aiu�l+�rel�[tb•e�rir�ni.r
u�rrrlc cuicicr�ullivrii�uf ll�e Ir�rw o/tha Stade uf CaliforitJ�r ns Ivng ns sireh lrrust or m.rytrfrenenits ure
iri c[ject aiuC a�ry�licaLls,nrrrl rrs srrc):laws nrfd requ�re�nerrls i�ary dre,ur v»aa liererrjter Le chnn�rrl
�,r«„��►�tr��r.
Isv�Vi•rHic�1V►�xur:t>tr,cQcctivc ns af tha . �;C)!,!t dn��
°f•••-------�py��►U�--=------..L�J'.�ti_.,I houc 1►ercurtic�a�at
my ho�uI a»d cmrsnrl.uil v�etal aere�to Ge�,QF.red tlitc 3i�i:i�
da�of_.._._....�.tnv.emvoY�.._._____..,1�.'/.£�..
WGSL�Y J. JCI[�i�El?
lwuranee Ca�xatfutoiier
J '� t, , � ,�;j.
�� ° J011�+i'J. FABER
narwiv
f� a i , E i tlio Seezetary n4 Stnle r�ws!I�e nccom�ilis6ed as rafuiral Ly ehe Cz1i[o��i��rpnr�tloa:Cacir
pru�nrilly rtftor iss�eanc.n of Ibls('.eHi[iclta nf hutl�ority.Trtil��ro to do so will Gc a violutiai pf Tns.Cculc Sec.7tlt
:nnl wFll Fu:}�munds for rcvukinF;ti,is Ccrlific�lc u[Authnriiy�ausuant io tlm mvc�mntc uinQu G�ttin apidicalG»i
Uu•r�dnr uud tkic r.undilinns rnnlai��ed bcrcin.
rom.c�-n
w.(C o.�
I,llie Wxfu xi�kd,ldui!..16t�nuui�,ISxcudiw:Viee[�nxideut of[ssunnce t'otupent af f[u Wc�(,Ju Irxrhy raYtiCy Uwi!he nrig;unl
C'cstilicWe ot'MK1mriFy.of wl�lch thc!'oregoing is a fnll,t�k awl cvrrczi wpy.is in kidf force on,1 eRen,aid tu�s na b�rN,�;�.
IF7 VJF4TlS;tiS LYIIl:RIc()F,t havc hcrnudo svlacrit�:�i wyr�x¢q t:xcwlitu Vitc I�taidtnt,wu}aI1EXa41he(:pp��i¢Sm!of Htc
c:ot�wratia�.�tus__.cloY nf 2f)
T INSURA ('g PAAtYOF7ilEWY.ST
) ���
� Sohn . tfans��nn.i:��nlirc Vicr f4rvi.4:nl
CALIFORNIA ALL-PURPOSE ACKNUWLEDGMENT
State of California
County of San Diego
On 11/30/2005 before me, Nicki Edwards,Notary Public,
personally appeared Daniel P. Dole,
�personally known to me-A�--�-(�- " ' o be the person�e�r
whose name�s�' is/�+e subscribed to the within instrument and
acknowledged to me that he/�e�EHe� executed the same in his/l�ei�r
authorized capacity(ie5j, and that by his/her/their signature¢s'f on the
instrument the person&dj,or the entity upon behalf of which the person�a�'
acted,executed the instrument.
, OFFEClAL SEAL
. �'•• NlCKI EDWARDS
� -��" NOTARY PUBLIC-CALIFpRN1q
N x CSANDIEQOCQUNTYg �
' MyCommission Exp,March 31,2po9 WITNESS my hand and official seal.
�: �.�� �'`GGt.��.�-�
Signature ofNotary
:-- , _ .
�. . .
.
-�. ,�n�..w„ 9 .,� .J�.�, �.�.,��..� r'd. ~Y e.l". .�2r..! � F�X?�,@x$''� .��,i�'i+"N
.. :. ;.w .. u..�. ._. .. ..,.... .�..... .. .' � . : .... . � ..' 'v .....-..... '� .. :. :.'... i..:
Though the data bejow is not required by law, it may prove valuable to persons relying on the document and could prevent
fraudulent reattachment of this form.
CAPACITY CLAIMED BY SIGNER DESCRIPTION OF ATTACHED DOCUMENT
❑ TNDIVIDUAL
❑ CORPORATE OFFICER
❑ PARTTI�R{S) ❑ LIMITED
� ATTORNEY-IN-FACT
❑ TRUSTEB(S)
❑ GUARI}IAN/CONSERVA'FOR
OTHER:
SIGNER IS REPRESENTING:
NAME OF PERSON{S)OR ENTITY(IES}
Insurance Company of the West
cn-tcw za��roo>
1
CITY O� PALM DESFRT
STAN�ARD FORM
SUBDIVISlON
�PAYMENT B�ND
(LABOR & MATE�2IA�S)
NAME OF SUBDlVlSION: �mlzv�szTY Po� / �� �p, 32498
NAME OF SUBDIVIDER; P�1 DESER�` PARTNERS, �
NAME OF SURETY: nvst�.vcE aot+�� o� � w�sT
EFFECTIVE DATE: No�� 30, 2005
AMOUNT OF BOND: �T 48,255,50
BOND NUMBER: 21� �$ 47
PRE M I U M: ZNCZE7DED TN pRF'JViT(� �GID FOR PERFOF2MAN(� gpND
KNOW ALL MEN BY THESE PRESENTS: That the person, firm,
corpora#ion, enti#y or otherwise, named on Line 2 of Page 1 hereof without regard
to gender and number, hereinafter referred to as PRINCIPAL; and the
corparation named on Line 3 of Page 1 hereof, a corporation authorized to do
business in the State of Cafifornia and presen#ly possessed of authority under
Title 6 of the United States Code to do business under Sectian 6 ta 13 thereof in
the aggrega#e amounts hereof, hereinafter referred #o as SURETY; are jointly
and severely held and firmly bound unto and alf materialmen, persons,
companies or carporations furnishing materials, provisions, provender ar other
supp(ies used, in, upon, for or about the pertormance of ti�e work contracted to
be executed or pertormed under the terms of that certain SUBDlVISI�N
G:�PubWorks\C.and DevetopmrntlTemplateslLabor&Materials Bond Subdivision.doc
2 . . .
1MPROVEMENT AGREEMENT hereinafter mentioned and all persons,
companies or corporations renting or hiring teams or implements, or machinery,
for contributing to said work to be done, all persons who pertormed work or labar
upon the same, and all persans who supply both work and materials, and whose
claim has not been paid by PRINClPAL in the just and full sum mentioned on
Line 5 of Page 1 hereof for the payment whereof, well and truly to be made, said
PRINCIPAL and SURETY bind themselves, their heirs, administrat�rs,
successors and assigns,jointly and severally, firmly by these presents.
THE C4NDlT1QN OF THE OBLIGATlON is such thafi whereas tne above-
baunden PRINCIPAL has entered into a SUBDlViSIQN lMPR�VEMENT
AGREEMENT with the City of Palm Desert, a municipal carporation of the State
of Califamia, hereinafter referred to as CITY, for the construction of public
improvements in the subdivision named on Line 1 of Page 1 hereof, which said
SUBDIVISION IMPROVEMENT AGREEMENT is by this reference incorporated
herein:
NOW, THEREFORE, if the above-bounden PRINCIPAL, contractor,
person, company ar corporation, or his or its subcontractor ar subcontractors,
fails to pay for any materials, provisions, provender, or the supplies, or teams
used in, upan, for, or about the perFormance of the work contracted to be done,
or for any work or labor dane thereon of any kind, or for amounts due under the
Unempioyment Insurance Act with respect fio such work #or labor, SURETY on
this bond will pay the same, in an amaun# not exceeding the sum specified in this
bond, and also, in case suit is brought on this bond, a reasonable attorney's fee
G:1PubWorks\Land Developmen[1Templatesliabor&MateriaLs Bond Subdivision.doc
- 3
which shali be awarded by the court to the prevailing party in said suit, said
attorney's fee ta be taxed as costs in said suit and ta be included in the judgment
fherein rendered.
This bond is executed and filed to comply with the provisions of the
Subdivision Map Act; and alE ClTY ordinances, resolufions, rules and regulations
suppiementaf thereto; and all amendments thereto; and shall inure to the benefit
of any and all materialmen, persons, companies or corporations entitled to file
claims under and by virtue of the provisions thereof.
iN WITNESS WHEREOF, PRINCIPAL AND SURETY have executed this
instrument fhe date mentioned on Line 4 of Page 1 hereof.
PALN DESII2T PARTNERS INC.
PRINCIPAL
��r .
PAL
TN C�ANY OF THE WEST
RETY
/ �.�..�
SURETY DANIEG P. DOLE, ATTO -Y�T-FAC`�
(Notarial acknowledgement of execution by ALL PRfNCIPALS and SURETY
must be attached.)
G:1PubWorkslTand DevetopmentlTemplates\C.abor&Materials Bond Subdivision.doc
Ca4i.IFORPl1A ALIL-PtDRPOSE �4,CiCIdOWLEDGMENT
';`�^�:t'..^�;':�^,4';!`�,,..�_'�`t,'t^>C',�����c;�.�f'^{>r.�:n�-,^,r �.=t` ^i�r`�^C`.�"� *{`2.n ,�n:.=...�,-nn�-.!'� �✓S�"<'.i"`�c...�._ ,�.,..h�,..Y'�F- i-. ,.:.s �-,f`;c.�,,-".^,a.•^ <(�,'t^r:'\
r S t—"---�-•-s-__�:3.,.:..d:`s � :r� �r .�. fi^!'�:s...;f+, �..r '^!`,,.�.'�......_:��c_...�� .__:e�..v.v+....
State of Cafifornia
ss.
County of�3���1 � E
On �'��/�,� before me, � (9Ex1�SD,tI
Dala Name and Titfa of��ne Doe.Notary AuGlic7 �
personaily appeared ��'}�?'��$ �, %��
Name(s)of Signer(s) ��� '
❑ personally knawn to me
i.�proved#o me on the basis of satisfactory evidence
to be the person(s}whose name(s) is/are subscribed
to the within instrument and acknowiedged to me that
H.� he/she/they executed the same in his/her/their
camMMia�#��77�07 authorized capacify{ies), and tha# by his/her/their
r,�,rary� • �� signa#ure(s) on the instrument the person{s}, or the
olcupe Ccx�nry entity upon behaff oi which the persan(s) acted,
�O�' 9' execu#ed the instrument.
WITNESS nd and official seal.
Placa Notary Seal Above
Signature ot NaWry Public
oPrroNaL
Though the Informeiron below is not required by law,it may prove valuable to persons relying on the document
and could prevent fraudulenf remova!and reattachment of this form to another document.
Description of Attached Document
Title or Type of Document:
Documen#Date: Number of Pages:
Signer(s)Other Than Named Above:
Capaclty(les) Claimed by Signer(s)
Signer's Name: Signer's Name:
❑ Individual ❑ Individual
0 Corporate Oificer—Title(s): 0 Corporate Officer—Title{s):
❑ Partner—❑ Limited �General ❑ Partner—p Limi#ed ❑General
❑ Attorney in Fact Top of[humb here 0 Attorney in Fact • '
0 Trustee Top of thumh here
❑ Trustee
�l Guardian or Conservatar O Guardian or Conservator
❑ Other: ❑ Other:
Signer Is Representing: Signer Is Representing:
_ti�v�--��__v-':.v�...�.:�ti� .�-�,:_.�.{v�._^.`'t�'.,✓v�:._'r„��_:: ..Y"%v'�-^. �^�.-.."C'r;�. 'v.�-.�:..{;:•.n,,,/.v1..'✓- �-�.,�� , ". . - ✓i�'�'_��v�
�2004 National Notary Assoclation�9350 6e Soto Ave.,P.O.Box 2402•Chatsworth,CA 9t353-2402 Ilem No.59�7 J V Reorder.Call TOILFree 5-800•876-6827
I.G'V4'_ GROUP
Insurance Company ofThe West
The Explorer Insc�rance Cozngany
� Independence Casualty and Surety Compan}°
11-��5 El Canuao Real,Sasi Diego.CA 92130-20��
P.�. B03�8»6�_San Diega.CA 9?ISG-�563
(S�S)350-3-�0� FAk(8�8)3�0-2707
�c��e'.ic�i'„2roup.coni
Band Number: 217 2g 47
Terrorism Ris� Rider
This�ider addresses the reqairements of the Terrozism Rzsk Insurance Act of 2002.
In accardance with the above Act, we are providing this disclosure notice for all bonds on wl�zich
one or more of the above id.ezttified c�napanies is a surety.
Coverage for cerri�ed acts of terrorism is iz�cluded in the attacheci bond and wi31 be partialiy
rei�xzbursed by the United States under a formula estabIished by the Aet. The Uzuted Siates will
pa�T 9Q% a£ covered terror�iszxi losses in excess of a statutozy establisb�ed deductible to the
insuz-ax3.ce contpany issuing the bond.
In z�.o way wi11 the paym;em for loss on this bond e7cceed the limit of Iiabiiity under.this band.
Tlzzs rider does not provide coverage for any loss tha.t would otherwise be exctuded by the terms
of this bon�.
The portion af the premium, for this band, attrrbutable to coverage for certified acts of terrorism
under the Act is()ne Dollar(�1.44)
�mportaut Notice: The cost of terranism coverage is subject ta ehange on a�ty bond that
premium is char�cd �,��u?,EE���.�
' ' No. 000[256
TCW GROUP
Power of Attorncy
CRsurnnce Company of the V✓est
Lxplorer Iusurance Compnny 7ndependence Casualty and Surety Coa�pany
KNOW ALL MEN BY TH�S�P12ESENTS: That L�surance Company of the West,a Corporation duly organized undcr the laws of the State of Califomia,
Explorer Insurance Company, a Corporation duly organized under the laws of the State of Califomin, and Indcpendence Casualty and Surety Con�pany, a
Corpor�tion duly orgAnized under Uie lnws of the State of Texas,(collectively i�eferred to as the"Companies"),do hereby appoint
IYICKT EDWARDS,JOtTtV T.AOLE,DANTEL P.DOT.�,JAiVTES F.TEGF1TMEyER,ROB�RT P.DOLE
thair true and tawfiil Attomey(s)-in-Fact with authority to date,execute,si�n,seal,�nd deliver on behalfof the Companies,fidclity and surety bonds,undertakings,
and other similAr conhacts of st�retyship,and any related documents.
In witness whereof,the Companies have caused fl�ese presents to be executed by its duly authorized officers this ist day of November,2005.
��oururro� ,�g Rq�i"`;a, r �s.'i-�,.
c, l ,�f'��� C �,... ;9i� ---�,'�D\�.
����onroiurco^',� f tr�"��oPa�''�r�\`�+>, � � �, �°a INSURANC�COMPANY OF TH��V�ST
� �o g���3� ° �l� �XPLOItGR INSURANCE COMPANY
'Hxii�.a'' � �,1'���� �q��a/fr a Y �} /� INDCP�IVDEPICE CASIJALTY AND Si7RETY
o�i���* ��.p�x����; ��qlf�/�J���. COMPANY
�`~...:.,...' �,/
�'�l�¢� '��'.fcT..,c^�"C'ta-�e.,�.-
`�_J�
Jeffrey D_Sweeney,Assistant Secretary John.[,.6Ianmim,Execntive Vice President
State of Califomia
Co�nry of San Diego � SS�
On November 1,2005,before me,Francis Fufnul,Notary public,personally appeazed John I.,.EJannunt and Jeffrey D.Sweeney,personAlly known to
�ne to be the persons whose names are s�ibscribed to the within instTumei�t,and acknowledgtd to me that they executed the same in their authorized capacities,and
that by their signahires on the instniment,the entity upon behalfof wlvch che persons acted,executed the ins�un�ent.
Wih�ess my hand and official seal.
F�F��R
;; COMM;�.1471
irD'li4�tit'#�t1�l.t�•CNI1F� .
� ` 3JW OIEQQ. �
My�Q� omnwsshnCx 1�.
. FE,BRlJ�1Rlr 7�,
Francis Fafuul,Notary public
RESOLUT70NS
This Power ofAttorney is granted and is signed,sealed aud noturized with facsimile signatures and seals under authority oFtlie following resolutions adopted by
the respective Boazds of Directors of each of the Companies
"RESOLVED: That tl�e President,azi Executive or Seiuor Vice President of tl�e Company,together with the Secretary or any Assistant
Secretary,are hereby atetlioriud to execute Powers of Attpmey appoinEing tl�e persqn(s)named as Attomey(s)-in-Pact to date,execnte,sign,
seal,and deliver on bel�alf ofthe Company,fidelity and siuety bonds,undertakings,and other similar contracts of suretyship,and eny retnted
documents.
RES�LVED FURTFTETt: Tl�at the signah�res of the oFficers making the appointment,and the sicmature of any of�icer certifying the validiry
and current stahis of the appointment,may be facsimile representations oFthose signah�res;and the si�iatitre and seal of any notary,and the
seal of the Company,nuty he facsimile representations of tliose signatw•es and seAls,and such facsimile representations shall have the same
force and effect as if mannaily affixed. The facsimile representations referred to herein may be affixed by stamping,printing,typing,or
phoEocopying.°
CERTIF[CATE
T,the undersigned,Assistant Secretary of Insarance Company of the West,Explorer Lisuranee Company,and Independence Casttaity and Stixety Company,do
hereby certify that the foregoing Power of Aaomey is in hilt Force and effeet,and has not been revoked,and thnt the above resolutions were dnly adopted by the
respective Boards of Directors of che Companies,and sre now in fiill force.
1N WITNESS WHEREOF,T have set nty havd tliis� �ay of �"�
pi�%��"'��.�
�'��
.TeFfrey D.Sweeney,Assistant Secretary
To verify the authenticiry ofthis Power of Attorney you may caf l I-300-377-11 I 1 arid ask for the Surety Division. Please refer to the Power ofAttomey Number,
tlle above named individual(s)and details of the bond to whicli the power is attached. For information or 61ing claims,ptease contact Surety Claims,ICW Group,
1]455 EI Camino Reai,San Diego,CA 92 1 3 0-20 4�or call(858)350-2400.
. s��nri's Ur CALTI�oz«r�n
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CALIFORNIA ALL-PURP�SE ACKNOWLEDGMENT
State of California
County of San Diego
On 11/3U/2005 before me, Nicki Edwards,Notary Public,
personally appeared Daniel P.Dole,
� personally lcnown to me—$�--�-- ;, P�+ t� mp �„ r►.P �..F�..«: f + �__ •�+�„ to be the person�'
whose name(,sr� is/are subscribed to the within instrument and
acknowledged to me that he%s#eft�key executed the same in his/her�El�eir.
authorized capacity(ies);and that by his/ke�rfthetr signature(�aj on the
instrument the person�;or the entity upon behalf of which the persor�f
acted,executed the tnstrum$nt.
. OFFiCIAL SEAL
�`r�• + N1CK1 EDWAROS
y �' NOTARY PUBLlC-CALIFORNfA �
.L COMMISSION#156573g
� SAN DIEGO COUNTY WI`I'NESS my hand and official seai.
" My Commission Exp.March 31,2ppg
� , �
Signature of Notary
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, ' Y7 :
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. . � .:� . ,. . -. . .:..� nA ..s.'.•. .:.-,ea' . :';♦'.e^u
Though the data below is nat required by law,it may prove valuable to persons relying on the document and could prevent
frauduient reattachment of this form.
CAPACITY CLAIMED BY SIGNER DESCRIFTION OF ATTACHED DOCUMENT
❑ INDIVIDUAL
❑ CORPORA.TE OFFICER
❑ PARTNER(S) ❑ LIMITED
� ATTORNEY-IN-FACT
❑ TRUSTEE(S)
❑ GUARDIAN/CONSERVATOR
OTHER:
SIGNER IS REPRESENTING:
NAME OF PERSON(S)OR ENTITY(IES)
Insurance Company of the West
ca-�c�v Za pioo}
. , ' �
� j� �'` ,'���T'Y � �,�UI E�� �
�
73-510 Fred Waring Drive
Palm Desert, California 92260-2578 �,�C �-I I ,S � T' ;�`
Tel: 760 346-0611 Fax: 76Q 341-7098
info atm-desert org
BONDS AND FEES SUMMARY
PROJECT: TR 32498 PORTOL.A POINTE DATE: October 18, 2006
BONDS
Faithful Performance . . . . $ 296,511.00
Labor and Materiais . . . . $ 148,255.50
TOTAL BONDS $ 444,766.50
REFUNDABLE CASH DEPOSITS
Survey Monumentafion . . . . $ 3,DOO.QO
PM10 . . . . . $ 9,360.00
TOTAL DEPQSIT $ 12,36U.OQ
FEES
Plan Check . . . . . $ (69.00)
Inspection . . . . . $ 4,752.00
Park . . . , . $ 83,192.72
Signalization . . . , . $ 80�.00
Drainage . . . . . $ 7,020.00
Fringed Toed Lizard . . . . � $ 2,808.00
Transportation Uniform Mitigation Fee {T.U.M.F.) � , B & S COLLECTS
Miscelianeaus . . , , � _ �
TOTAL FE'�S $ 98,503.72
Prepared By; BENJAMIN D. EGAN Checked By: R. PAGE GARNER
G:�PubWorksiTemplateslCALC FEESf.xls
City of Palm Desert
Public Works Department
Interoffice Memorandum
To: Carlos L. Ortega, City Manager
From: Mark Greenwood, P.E., Director of Public Works
Date: October 16, 2008
Subject: University Pointe Improvements
The following information is provided in response to comments made at the October 9,
2008 City Council meeting by Mr. Jim Thompson, President of Urban Habitat and
developer of the University Pointe project.
University Pointe is a five-acre parcel of property located on the east side of Shepherd
Lane, north of Frank Sinatra Drive. In January 2006, Final Map No. 32498 was
approved by City Council, subdividing this property into 16 residential lots. Approval of
the final map included a requirement to construct street improvements on Shepherd
Lane, as well as on a new cul-de-sac, to serve the new homes. The developer
executed a subdivision improvement agreement and provided the required bonds as
surety that the improvements would be completed.
Due to a downturn in the residential real estate market, construction of the homes was
never begun after rough grading was performed on the site. Responding to frequent
and recurrent complaints from residents in the vicinity of Shepherd Lane, staff contacted
Mr. Thompson on several occasions to assert the need for construction of the
conditioned improvements. After lengthy negotiations, Mr. Thompson executed an
amendment to the subdivision agreement wherein it was agreed that he would complete
the improvements deemed critical by October 15, 2008, and that the remaining
improvements would be performed at a later date�.
As of this date, construction of the critical improvements has not begun, and Mr.
Thompson has demonstrated his intention to abandon his obligations as outlined in the
revised agreement. The surety bonds are set to expire on November 30, 2008, and Mr.
Thompson has indicated that the bonds will not be extended. Should the bonds be
allowed to expire, the City will be left with no mechanism by which to enforce the
amended agreement.
It must be noted that approval of the final map created 16 residential lots that can be
sold at this time. The map requires street improvements, and buyers of those lots could
�After careful review and evaluation of the site, staff determined that completion of the full improvements on
Shepherd Lane(includingpaving,curb and gutter,and sidewalk)would be necessary at this time, while the cul-de-
sac,underground storm water retention system, and sidewalk and landscaping improvements on Portola Avenue may
be delayed until residential ccrostruction resumes.
Carlos L. Ortega
October 16, 2008
Page 2
expect that the improvements will be provided. If the developer does not build the
improvements the buyers will likely turn to the City for relief. Since the project will not
proceed in a timely manner, the developer has proposed that the subdivision be
reverted to acreage as an alternative to constructing the improvements. The
Government Code allows that subdivided real property may be reverted to acreage
under specified circumstances; however, these circumstances do not apply in this
case2.
Therefore, staff is pursuing a course of action to require the developer to complete the
Shepherd Lane improvements immediately. If the developer cannot complete the
Shepherd Lane improvements or extend the bond, then staff will call for the surety in
order to complete them. Following completion of the Shepherd Lane improvements, if
Mr. Thompson so desires, proceedings may commence to revert the subdivision to
acreage.
Should you require further information or discussion regarding this matter please feel
free to contact me or Bo Chen, City Engineer.
Mark Greenwood, P.E.
Director of Public Works
Attachments: Subdivision Improvement Agreement
Amendment to Subdivision Improvement Agreement
Letters dated 04-18-08, 06-19-08, 09-12-08
Site Photos
Vicinity Maps
MG:dhl
�Government Code State of California Subdivision Map Act as amended January 1,2008(page 138)
Section 66499.16 provides that:
Subdivided real property may be reverted to acreage only if the legislative body finds that:
a) Dedications or offers of dedication to be vacated or abandoned by the reversion to acreage are unnecessary
for present or prospective public purposes;and
b) Either:
1) All owners of an interest in the real property within the subdivision have consented to reversion;or
2) None of the improvements required to be made have been made within two years from the date the
final or parcel map was filed for recard,or within the time allowed by agreement for completion of the
improvements,whichever is the later;or
3) No lots shown on the final or parcel map have been sold within five years from the date such map was
filed for record.
RECORDING REQUESTED BY AND
WHEN RECORDED MAIL TO:
City of Palm Desert
Palm Desert Civic Center
73-510 Fred Waring Drive ,
Palm Desert, CA 92260
ATTN: City Clerk
Exenapt from Recording�ee
er Govei7iment Gode 27383
SPACE Al3OVCi'f1IlS L1N[:PUR REC(')RbliR'ti USI?
C1TY OF PALM.DESERT
AMENDMENT TO THE SUBDIVISIQN IMPROVEMENT AGREEMENT
l. Parties and Date. -
This AIVIENDMENT to the Subdivision Itnp�•ovement Agreet�ient (hcreinaftec
"Amendment")for the University Pointe Projee�/Tract No.3249$(hereinafte►-"Project"}is made and
entered into as of this�day of �,�.r.�,, 2008, by and between the C1TY OF PALM
DESERT, a municipal corporation organized under the (aws of the State of California with its
principal place of business at 73-5 i 0 Fred Waring Drive,Palin Desert,California 92260(hereinafter
referred to as the"City")and PALM DESERT PA2TNERS, L.P.,a California limited partnership,
with its principal place ot buseness at 2 Crooked Stick Drive, Newport Beach, California, 9266Q
(he�-einafter referred to as the "Subdivider"}. City and Subdivider are sornetiines individually
referred to as "Party"and collectively as "Parties."
2. Recitals.
2.1 Resoiution of Approval. On Februaiy ]5,2005,the City pursuant to Resolutio►z No.
2323(hereinafter"Resolution of Approval"),approved Tentative Tract Map No.32498 to subdivide
approxiinately 5 acr�s into a 16 lot Single Family residential subdivision, gene�•ally located at
Shepherd Lane and University Pointe Courte, a legally description of which is attached hereto as
Exhibit"A", incorporated hexein by this reference(hereinafter refei�red to as "Property");
2.2 Apt�raval of Final Tract Map. On January 12,200b,the City pursuant to Resolution
No. 06-2, approved Final Track Map No. 32498 (he�•einafter"Map 32498");
2.3 Apbroval of Subdivision Improvement A�reement. On January 12, 2006, the City
pursuant to Resolution No. 06-02, appraved the Subdivision Improvement Agreement dated
December 15, 2005 for Map 32498 with Subdivider (hereinaftea•"Agreement") to assure that the
proposed im�rovements for Map 32�98 wauld be consttucted, installed and completed in a good
workmanlilce manner, in strict accordance with all the appIicabie laws ai�d regulations, the
Resolution of Approval,and in accordance with the tenns and coE�ditions imposetl on the approval of
Map 32498. A copy of the A�neement is on tiie with City Clerl<.
2.4 Previous Ainendment. The Subdivider has heretofore executed tliat Amendillent to
Subdivision lmprovenlent Agreetnent approximately dated August 8,2008(hereinafter referred ta as
"Previous Amendment").
2,5 Amendment Pu�-{�ose. The City and Subdivider desice to amend the aforesaid
A�•eement to modify the cuirent requirement for Subdivider and to extend the period of time for
completion of the full public improvements foc an additional period of time as provided in tl�is
Amendment.
2.b Amendment Supersedes Previous Amendment. 'Fhis Amendinent shall replace and
supersede the Previous Amendment in its entirety.
2.� Amendinent Authoritv. This Atnendinent is authorized pursuant to Section 30 of the
A�-eement.
3. Terms. -
3.1 Amendments. City and Subdivider hereto agree as follows:
3.1.1 Extension of Time to Complete Improvements. Section(1)(a),Subdivider's
Obligatiori to Construction Improvements, of the Agreement, shall be revised in its entirety to
provide that Subdivider shall:
"(b) Coznplete at SUBDIVIDER's expense, all the �ublic improvement
worlc required by the Resolution of Approvai in conformance with approved Improvement t'lans by
Novennber 30,2Q10;provided however,that the improvements shall not be deemed to be completed
until acce�ted by City Gouncil as provided in Section (17)herein."
3.1.2 Additional Securitv. As a condition of such extension,desc�-ibed above,the
City will require the Subdivider to inerease the amount of Security required under Section 3,
Security,of the Agreement,to Five Hundred and Thirty Thousand Dollars($530,000)to guarantee
Subdivide�•'s perfonnance under the Agreement and this Amendment to the satisfaction of the City
Atto�-ney,in his or her absolute discretion. Within ten{I 0)days of the execution of this Atnendment,
Subdivider will provide new bonds in the amount of$530,000 in a for�n satisfactary to the City. ln
the alternative, the Subdivider may extend tl�e original bonds submitted with A��-eement to reflect
and coincide with this Amendment and submit a new bond for the difference between the olci and
new bonding amount in a fonn satisfactory to the City.
-2-
3.t.3 Tempora�y Roadway. Subdivider shall commence withi«thitfiy(34)days and
complete with sixty (GO}days ofNovember I 5,2008, the instaliation of a ten���orary roaciway ancl
asphalt sidewallc on She}�herd Lan to Riverside t standards a��d s ecifications so that
effectively there is a full public trave section of Shepard Lane (hereinafter "TemJ�orary Road"),
provided that ultiinately, the final roadway on Shepard Lane sl�a(I meet be fully improved to its
ultimate width to City standards and specifications. Ifany part of the Tenlporary Road fails in the
City's reasonable discretion, Subdivider shall repair the Temporary Road to the City's satisfaction
within ten {10) days of written notification of sueh failure. If Subdivider fails to repair the
Temporary Road to the City's satisfaction, the City shalt have the right to cure such failui-e at
Subclivider's and Surety's expense. �'p.r� 41a� b� l�Aele�n P���.�ev�„� y�y,�f /�/
G a�'� !f�Z„T/DS.
3.1.4 Fence Re[ocation. Subdivider shall relocate the fe�lcing out af the Tem oraiy
Road in consultatian with the City.
3.1.5 Nuisance Abatement. The Subdivider shatl abate all public nuisances on the
Project including, but not iimited to cleaning and clearing ail the weeds, plant ove�•growth,debris,
gal•bage and waste,restabilize tlie site surface and conduct PM10 control of the site.
3.1.6 Default. In the event Subdivider defaults in the performance of any ot'the
tei�rns and provisions of this Amendinent and A�reeinent, the City may, in its absolute and sole
discretion,give Subdivider notice of such defautt and if Subdivider does not cure any such default
within the time specified in the notice{or if the default is of a nature that it cannot be completely
cured within such notice period and Sut�divider does not commence to cure such default with
reasanable diligence and in good faith within such notice period), then City shall }�ave the absolute
right to call upon the surety to guarantee perfoi-�nance of any ofthe im�roveinents described in this
Amendment ancl tl�e Agreemen.t, and to also exercise any and all rights described in Section 9,
Default of Subdivider, of the Agreement.
3.2 Adequate Consideration. The Parties hereto iiY evocabIy stiputate and a�•ee that they
have each received adequate and independent consideration for the performance of the obligations
they have undertaken pursaant to this Atnendinent.
3.3 Administrative Costs. If Subdivider fails to construct and install all or any part ofthe
public im�rovements within the ti�ne required by the Agreement and this Amendment, or if
Subdivider faifs to comply with any other obligation contained herein,Subdivider and its surety shal(
be jointly and severally liable to City for all administrative expenses, fees, and costs, including
reasonable attorney's fees and costs,incuired in obtaining compliance with the Agreement and this
Amendment or in processing any legal action or for any other remedies permitted �y law.
3.4 Lien. To secure the tiinely perfornnance of Subdividei's obligations ui�dei• the
Agreement and this Amendtnent, Subdivider hereby creates in favor of City a lien against all
portions ofi the Froper�y not dedicated to City or some other govern�nental agency for a public
purpose.
-3-
3.5 Waiver. City's failure to insist upon strict compliance with any p�-ovision of the
Agreement or this A�nendment or to exe�•cise any right or privilege provided heA•ein,oi•City's waiver
of any �reach of the Agreement or this Amendment, shall not z-elieve Subdivider of any of its
obtigations under the Agreeinent or this Amendment, whethex� of the same or siirtilar ty��e. The
foregoing shall be true whether City's actions are intentionat or unintentiona�. Subdivider agi•ees to
waive,as a defense,counterclaitn or set otf, any and all defects, ireegulai�ities or deficiencies in the
authorization, execution or performance of the public improvements, the Agreement, or this
Amendrr►ent,as well as the laws,rules,regulations,ordinances or resolutions of City with regards to
the authorization, execution or perfornlance of the public improvements, the Agreement o�• this
Amend�nent.
3.6 Assi�nment or Transfer of A�•eeulent and Amend�nent. Subdivider shall not assign,
hypothecate,or transfer,either directly or by operation af law,the Agreement or tl�is Amendinent or
any interest herein without�rior written consent of City. Any attempt to do so shall be null and vaid,
and any assignee, hypothecatee, or transferee shall acquire no right or interest by reason of such
attempted assigrnr�ent,hypothecation,or transfer. Unless specifically stated to the contrary in City's
written consent,any assignment,hypothecation,or transfer shali not release or discharge SuUdivider
from any duty ox res�onsibility under the Agreement or this Amendment.
3.7 Covenants Runnin With the Land and Const�-uctive Notice. All of the tei�ns, _.
provisions, and obligations conta�ned in the A�reement and this Agreement shall be binding upon
Subdivider and its heirs,successors,and assigns,and all other persons or entities acquiring a[I or a�1y
portion of the Project, or any interest therein, whether by operation of law or in any manner
whatsoever,and the rights thereof shall inure to the benefit of the City and its successors and assi�;ns.
As such,all of the provisions of tl�e Agreement and this Agree�nent shalI be enforceable as equitat�le
servitudes and constitute covenants running with#he land pursuant to applicable law,111C�UCI111��lUt
not timited to,Section 1468 of the Civil Code of the State of California. Notwithstanding the above,
evety person who now or hereafter owns or acquires any right,titEe or interest in or to any portion of
the Project shali be deemed to have consent�d ancl agreed to every provision contained in the
Agreement and this A�nendment,whether or not any reference fio the Agreement or this Amendment
is contained in the instrument by which such persan acquired an interest in the Project.
3.8 No Third Partv Beneficiaries. There ace no intended third party beneficiaries of any
right or obligation assu�r�ed by the Parties.
3.9 Continuin�Effect of A�reement. Except as amended by this Ainendment, all other
provisions of the aforementioned Agreement shali remain in full force and effect. In case of any
conflict,the tenns of the Amendment shall pt•evail ovet�the provisions of the Agreement. From and
after the date of this Ainendnrtent,whenever the tertn"Agreement"appears in the Agreerrter►t,it shall
mean the Agreement as arnended by this Amendment.
3.10 Form and Substance. This Amendment shalI be executed in a form and substance
approved by tt�e City Attorney.
_�_
3.11 Authoritv to Enter into Amendinent. Each Party wanants that the indivicivals wl�o
have si�med this Amendment have the legal power,right,and authority to rnake this Ai�lendment anc�
bind each respective Pa�-ty.
CITY OF PALM DESERT: PALM DESERT PARTNERS, L.P.:
t— . r , `
/ �lh • t� ya►.w H�i�r Q CI�GrF'('AJP
;�' � �� 6��•�.ew�Q��..�,��
BY• ' �
;yean NI. Benson Jaines E. Thoinpson� ������-
'`:
%�Mayor [TNSERT TITLE]
Att�.h'st:
Rachel e D. IC sen 5��
City C(erk
ApprotJed o Fornz:
i
r
Davi Erwin �-
City Attorney
-5-
EXHIBIT "A"
Legal Description
Tract No. 32498 in the City of Palm Desert, County of Riverside, State of California, as
per map filed in the Book 404, Pages 52 and 53 of Maps in the office of the County
Recorder of said County.
STATE OF CALIF�RNIA
COUNTY OF��55"�I�E [�iZ�`�L�
� 20� � ��' ' c.�t�� r�. ,
On before me, ��1 �t.�,,.�j( �C.� (here inse�-t name and titic ofthe
officer), pe�•soiially appeared� `C. (�„f who proved to me on the basis of
satisfacto�y evidence to be the person(,a�whose naine(afi is/ate-subscribed to tlie within
instrument and acicnowledged to me that he/si�executed the sa�ne in I�is/#e�t-��
authorized capacity(j�, and that by his/��.E signature{�on the instrument the person(�, or
the entity upon behalf of which the person(�'acted, executed fhe instru�nent.
I certify under penalty of perjuzy u�xder the laws of the State of California that the foregoing
para�,n•aph is t�-ue and coirect. � �
WITNESS my hand and official seal. ���
commlulon*16b�q1 q
� -ri Notary i�fc�Caltfoinlo
• Olan�e CoW1y
MyComm.Explrel�dun i2.2010�
Signatu�e
(Seal) --
-�-
State of California }
} SS. �
County of Riverside }
pn December i i , 200 8 , before me, M. Gloria Martinez
, a Notary Public,
personafly app�ared Jean M. Benson and Rachelle D. Kfassen , who proved to
me on the basis of satisfac#ory evidence to be the perso whose name�j i,�/ re
subscribed to the within instrume�,� . and acknawledged #o me that /s�ie th
executed the same in hi�/�'er��:�e r authorized capacity ie ), and that b
hyls/�'er��'signature�?on fhe instrument the person s�►, or th�ntity upon behalf
ofi which the persor s acted, executed the instrument.
l certify under PENALTY OF PERJURY under the laws of the State of California
that the foregoing paragraph is true and correct. �
M.GlORIA MqRTfNE2
WlTNESS my hand and officiaf seal. Commissfon#ib97'036
� .�o Notary Public•Californla �
Riverslde Counry
My Comm.DcpEres Oct 29,2010
Signature {seal) _
- OPTl4NAL -
DESCRIPTtON OF ATTACHED DOCUMENT:
Amendment to the Subdivision Improvemenfi Agreement
Tract Map No. 32498 — University Pointe lmprovements
Approved a#the Palm Desert City Council Meeting of October 23, 2008
(TITLE OR TYPE OF QOCUMEN7) "' '—�
7 Pa es
(NUMBER OF PAG�S)
December 2 2008
(DATE OF DOCUMENT)
James E. Thom son Palm Desert Partners L.P.
(SIGNER(S)OTHER TNAN NAMED ABOVE}
R1gUtThum6print of Slgner
(OTHER INFORMATION)