HomeMy WebLinkAboutContracts & Agreements_208B-2025EA-7.1 (12.8.21)
FUNDING AGREEMENT FOR PROFESSSIONAL ENVIRONMENTAL
REVIEW SERVICES FOR A PRIVATE PROJECT
This funding agreement for professional environmental review services ("Agreement") is
made and entered into this 25th day of October, 2025 ("Effective Date"), by and between the City
of Redlands, a municipal corporation (hereinafter "City") and Kaiser Foundation Hospitals (dba
Kaiser Permanente), a private company (hereinafter "Applicant"). City and Applicant are
sometimes individually referred to herein as a "Party" and, together, as the "Parties."
RECITALS
WHEREAS, Applicant has filed an application with City for a proposed new medical
center project consisting of a new hospital facility and two new medical office buildings, new
parking structure, new parking lots, and related on -site improvements and other facilities to serve
the development (the "Project") located at 1301 California Street (APN: 0167-441-07-0000) which
requires environmental review pursuant to the California Environmental Quality Act ("CEQA");
and
WHEREAS, City, as Lead Agency, has determined that an Initial Study (the "IS") for the
Project will be required pursuant to Section 15063 of the State CEQA Guidelines; and
WHEREAS, the IS will be prepared by a consultant approved by and under contract to
City; and
WHEREAS, by executing this Agreement, Applicant expressly agrees to advance payment
for all costs and expenses the City incurs in the preparation of the IS related to Applicant's Project
and for any associated investigations, environmental studies, and documents permitted or required
by CEQA or other federal or state law in connection with the processing of Applicant's Project
(collectively, the "Environmental Documents");
NOW, THEREFORE, in consideration of the mutual promises contained herein, the City
of Redlands and Kaiser Foundation Hospitals (dba Kaiser Permanente) agree as follows:
AGREEMENT
Section 1. Funding Obligation. Within ten (10) days of the date of written request of
City, Applicant shall deposit the sum of sixty-five thousand eight hundred twenty-four dollars
($65,824) (the "Deposit") with City to engage a professional consultant who will commence work
on the Environmental Documents. The present estimated cost of the Environmental Documents is
estimated to be fifty-nine thousand eight hundred twenty-four ($59,840.00), and the contract
administration fee is set at five thousand nine hundred eighty-four ($5,984.00). Applicant
acknowledges that Applicant is obligated by this Agreement to pay to City the full, actual cost for
the preparation of the Environmental Documents, as deemed reasonable or necessary by City, to
ensure the legal sufficiency of the Environmental Documents. The Deposit will be applied towards
the actual total cost of the Environmental Documents. Applicant shall thereafter make payments
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EA-7.1 (12.8.21)
to City for the balance of City's costs for preparation of the Environmental Documents within ten
(10) days of the date City submits written invoices to Applicant.
Section 2, Compliance Required, Applicant acknowledges that City may require
Applicant to make additional payments, supply data and information to determine whether
Applicant's Project may have a significant effect on the environment, and to assist City and the
consultant in preparing the environment documents. Applicant shall promptly comply with all
such requests by City.
Section 3. Failure to Comply, If, at any time, Applicant 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, Applicant
acknowledges and agrees that City may, without liability to Applicant, disapprove the Project for
Applicant's delay in satisfying City's requirements.
Section 4. Notices. Any notice or other communication required, or which may be
given, pursuant to this Agreement, shall be in writing. Any such notice shall be deemed delivered
(i) on the date of delivery in person; (ii) five (5) days after deposit in first class registered mail,
with return receipt requested; (iii) on the actual delivery date if deposited with an overnight courier;
or (iv) on the date sent by facsimile or electronic mail transmission (including PDF), if confirmed
with a copy sent contemporaneously by first class, certified, registered or express mail; in each
case properly posted and fully prepaid to the appropriate address set forth below, or such other
address as a Party may provide notice in accordance with this section:
CITY
Brian Desatnik, Director
Development Service Department
35 Cajon Street, Ste. 20
P.O. Box 3005 (mailing)
Redlands, CA 92373
bdesatnilc@cityofredlwids.org
(909)798-7555
APPLICANT
Mark Itzigsohn, Vice President of
National Facilities Services
Kaiser Foundation Hospitals
74 N. Pasadena Avenue, 8th Floor
Pasadena, CA 91103
Marlc.F.Itzigsohn@lcp.org
(626) 381— 3544
Section 5. Attorneys' 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 use of in-house counsel by a Party.
Section 6. Entire Agreement/Amendment. 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
Applicant.
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Section 7. Governing Law. This Agreement shall be governed by, and construed in
accordance with, the laws of the State of California.
Section 8. Defense and Indemnity. Applicant shall defend, indemnify and hold
harmless City, and 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' fees, that may be asserted or claimed by any person, firm, entity,
corporation, political subdivision or other organization arising out of or in connection with City's
processing and approval or denial of Applicant's Project and the Environmental Documents.
Section 9. No Third Pqrly Beneficiary. Applicant expressly acknowledges and agrees
that City's contract with the consultant to prepare the Environmental Documents for Applicant'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 Applicant.
IN WITNESS WHEREOF, the Parties hereto have executed this Agreement as of the
Effective Date of this Agreement.
CITY OF REDLANDS
Charles M. Duggan, Jr.,
City Manager
ATTEST:
*Ce Donaldson, City Clerk
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KAISER FOUNDATION HOSPITALS
Mark F. Itzigsohn, Vice President