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ENVIRONMENTAL IMPACT REPORT
FUNDING AGREEMENT
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This Agreement is made and entered into this 2nd day of May, 2006, by and between the
City of Redlands, a municipal corporation (hereinafter "City")
and On Texas Street, LLC, a.
Delaware limited liability company (hereinafter "Developer"). City and Developer are
sometimes herein each individually referred to as a "Party" and, collectively, as the "Parties."
RECITALS
WHEREAS, Developer is the applicant for a proposed mixed use commercial(85,000
square feet retail and 20,000 square feet office)lresidential(205 single family homes)
development project on 37.24 acres located on the west side of Texas Street between San
Bernardino Avenue and Pioneer Avenue (the "Project") which requires environmental review
pursuant to the California Environmental Quality Act("CEQA"); and
WHEREAS, the City, as Lead Agency under CEQA has determined that preparation of
an Environmental Impact Report("EIR") will be required for the Project pursuant to Section
15060 of the CEQA Guidelines; and
WHEREAS, in accordance with City's Guidelines implementing CEQA, the EIR shall be
prepared by a consultant under contract to City, and
WHEREAS, by executing this Environmental Impact Report Funding Agreement,
Developer expressly agrees to advance payment for all costs and expenses City incurs in the
preparation of the EIR for Developer's Project;
NOW, THEREFORE, in consideration of the mutual promises contained herein, the City
of Redlands and On Texas Street, LLC agree as follows:
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AGREEMENT
Section 1. Funding Obli ation. Within ten (10) days of the date of written request of
City, Developer shall deposit the sum of One Hundred Eight'Thousand Two Hundred Fifty
Dollars ($108,250) ( the "Deposit") with City to engage a consultant who will commence
preparation of the EIR. The estimated cost of the EIR is Two Hundred Sixteen Thousand Four
Hundred Ninety Eight Dollars ($216,498), which includes the sum of One Hundred Eighty
Thousand Four Hundred Fifteen Dollars ($180,415.00) as the estimated costs for the consultant's
work, and the sum of Thirty Six Thousand Eighty Three Dollars ($36,083) as the estimated
administrative costs which will be incurred by City. The Deposit will be applied towards the
total cost of the EIR. Developer shall thereafter make payments to City for the balance of all
other costs and expenses for preparation of the EIR within ten (10) days of the date City submits
written invoices to Developer.
Section 2. Compliance Regird. Developer acknowledges that City may require
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Developer to make additional payments, supply data and information to determine whether
Developer's Project may have a significant effect on the environment, and to assist City and the
consultant in preparing the EIR. Developer shall promptly comply with all such requests by
City.
Section 3. Failure to Comply. If, at any time, Developer unreasonably delays in
advancing monies as requested by City, paying any invoice from City when due, or failing to
provide City with information or data requested pursuant to Section 2 hereof, such unreasonable
delay shall suspend the running of the time periods described in State CEQA Guidelines sections
15107 and 15108 for the period of such unreasonable delay. Alternatively, Developer
acknowledges and agrees that City may, without liability to Developer, disapprove the Project
for Developer's delay in satisfying City's requirements.
Section 4. Notices. All notices given pursuant to this Agreement shall be in vTiting and
may be given by personal delivery or by mail. Notices, sent by mail shall be addressed as
follows:
City Developer
Jeff Shaw On Texas Street, LLC
Community Development Department CIO IDS Real Estate Group
City of Redlands Attn: Gretchen Sauer
P.O. Box 3005 515 South Figueroa Street, Suite 1600
Redlands CA 92373 Los Angeles, CA 90071
yy`""hen so addressed, such notices shall be deemed given upon deposit in the United States Mail.
In all other instances, notices shall be deemed given at the time of actual delivery. Changes may
be made in the names and addresses of the person to whom notices are to be given by giving
notice pursuant to this Section.
Section 5. Attornevs' Fees. In the event any action is commenced to enforce or interpret
any of the terms or conditions of this Agreement the prevailing Party shall, in addition to costs
and any other relief. be entitled to recovery of its reasonable attorneys' fees, including fees for
the use of any in-house counsel of the Parties at rates prevailing in San Bernardino County,
California.
Section 6. Entire Agreement/Amount This Agreement represents the entire agreement
and understanding between the Parties as to the matters contained herein, and any prior
negotiations, proposals or verbal agreements are superseded by this Agreement. Any
amendment to this Agreement shall be in writing, approved by the City Council of City and
signed by City and Developer.
Section 7. Governing Law. This Agreement shall be governed by and construed in
accordance with the laws of the State of California.
Section S. Defense and Indemnity. Developer shall defend. indemnify and hold harmless
City, its elected officials, officers, employees and agents from and against any and all actions,
claims, demands, lawsuits, losses and liability for damages to persons or property, including
costs and attorneys" tees, that may be asserted or claimed by any person, firm, entity,
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corporation.
. political subdivision or other organization arising out of or in connection with City's
processing of Developer's Project.
Section 9. No Third Party Berieficiary, Developer expressly acknowledges and agrees
that City's contract with the consultant to prepare an EIR for Developer's Project is for the
benefit of the public and undertaken in compliance with City's obligations under CEQA, and is
not for the benefit of Developer or any other third party.
IN WITNESS WHEREOF, the Parties hereto have executed this Agreement on the dates
shown below.
CITY OF REDLANDS
By: f Date , May 2, 2006
J& Harrison, Mayor
ATTEST:
Date May 2, 2006
City C 1c
By: Date C4
/ M M Siam
Title:
Manager
ATTEST:
B D rublian, Manager Date q&5
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