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Home My WebLink About93-007 - ResolutionsRmsolution No. 93-007 A RESOLUITONBYANDB~THECITY OOUNCILOF~HECITY OF RANCHO ~, CATIFORNIA, THE ODUNTY OF SAN BERNARDINO, THE TREASURER OF SAN BERNARDINO OOUNTY, AND THEAUDITOR OF SAN BERNARDINDODUNTYAPPROVINGSEITLFM~Ff AG~FFA~TRtlI4%RD~~CIPAL~~ WHEREAS, the City is party to a lawsuit in Sacramento County Superior Court entitled Victorville, et al., v. San Bernardino County, et al., Action No. 358193; and WHEREAS, the parties to said lawsuit are desirous of settling; and WHEREAS, a Settlement Agreement for settlement of Action No. 358193 has been presented to the City Council, a copy of which is attached hereto as Exhibit A; and WHERFAS, the City Council is familiar with the contents of the Settlement Agreement; NOW, THEREFORE, the City Council approves the "Settlement Agreement By and Between the City of Rancho Cucamonga, California, the County of San Be/T~rdino, the Treasurer of San Bernardino County, and the Auditor of San Bernardino County, and authorizes and directs the Mayor to sign the same. PASSED, APPROVED, and ADOPTED this 20th day of January, 1993. Alexander, Gutierrez, Stout, Williams NOES: None ABS~T: Buquet Dennis L Stout, Mayor I, DEBRA J. ADAMS, CITY c%.k~K of the City of Rancho Cucamonga, California, do hereby certify that the foregoing Resolution w-as duly passed, approved, and adopted by the City Council of the City of Rancho Cucamonga, California, at a regular meeting of said City Council held on the 20thday of January, 1993. Executed this 21st California. day of january, 1993, at Rancho Cucamonga, City Clerk Resolution No. 93-007 Page 2 $EFTLEMENT A GREEMENF BY AND BETWEEN THE COUNTY OF SAN BERNARDINO, THE TREASU~R OF SAN BERNARDINO COUNTY, THE AUDITOR OF SAN BERNARDINO COUNTY, AND CERTAIN CITIES OF SAN BERNARDINO COUNTY 1. PARTIES. The parties to this Agreement are the Cities of Victorville, Adelanto, Barstow, Big Bear Lake, Chino, Colton, Fontana, Grand Terrace, Montclair, Ontario, Rancho Cucamonga, Redlands, Rialto, Upland, Highland and San Bernardino (hereafter referred to collectively as "Cities,,), the County of San Bernardino (hereafter referred to as "County,,), the Treasurer of San Bernardino County (hereafter referred to as "Treasurer,,), and the Auditor of San Bernardino County (hereafter referred to as "Auditor',). 2. PURPOSE. A lawsuit was filed in the Sacramento County Superior Court entitled City of Victorville. et al. vs. County of San Bernardino. et al. (No. 358193) wherein the Cities, excepting the Cities of Highland and San Bernardino, alleged that the County, the Treasurer, and the Auditor had failed to dis- tribute to Cities, pursuant to Penal Code S 1463, their share of the fine revenues collected from defendants convicted of misde- meanors in the San Bernardino County Municipal Courts and placed on conditional sentence (also referred to as "court" probation and/or "summary probation,,). Said revenues are hereinafter referred to as "fines." Cities moved successfully for summary judgment on the issue of liability and a writ of mandate and summary judgment on liability issued. The orders were affirmed on the County's appeal. The newly created City of Highland became, by its motion, a plaintiff in the lawsuit. The purpose of this Agreement is to finally and fully resolve all of the issues and claims between the parties in Action No. 358193 currently pending in the Sacramento Superior Court. A further lawsuit alleging as above was filed by the ~ F&F.AG~ Resolution No. 93-007 Page 3 City of San Bernardino entitled City of San Bernardino vs. County of San Bernardino. et al., Riverside Superior Court Case No. 207900. In that case, the County stipulated to a judgment substantively identical to that obtained by other cities. Thus, the purpose of this Agreement also includes final and full resolution of all claims and issues between the parties in action No. 207900 currently pending in Riverside Superior Court. 3. EFFE¢?IVE DATE. The effective date of this Agree- ment is the last date it is executed by any party. 4. U~rAFFECTED R~-~UE. The lawsuits referenced in paragraph 2 do not involve fines collected by the San Bernardino County Municipal Courts from defendants who pay their fines directly to the municipal or justice courts, which fines are currently being, and will continue to be, distributed by County to Cities as provided in Penal Code S 1463.001 et. seq., without any collection fee. 5. NO ADMIBBION. This Agreement is not and shall never be considered to be an admission of any fault, error, wrongdoing, or liability by the County, the Treasurer, the Auditor, or by any agent, officer, servant, or employee of any of them. 6. BACK FINE REVENUES. County will pay to Cities the total sum of three million nine hundred twenty-four thousand three hundred seventy-four and 10/100 dollars ($3,924,374.10) in accordance with the payment schedule set forth in paragraph 8. This sum is comprised of two million nine hundred sixty-six thousand fifty-seven and 46/100 dollars ($2,966,057.46) fine amounts and nine hundred fifty-eight thousand three hundred sixteen and 64/100 dollars ($958,316.64) interest, which is estimated at seven percent (7%) to January 4, 1993. (This amount is referred to as "back fine revenues" in this Agreement.) The amounts paid pursuant to this Agreement are in settlement of the lawsuits referred to in paragraph 2 and may be treated by each city as settlement proceeds. SAH F&F.AG~ 12/25/92 D~.10879 Rmsolution No. 93-007 Page 4 7. APPORTIONN~.NT OF BACK FINE REVENUES. The sum of three million nine hundred twenty-four thousand three hundred seventy-four and 10/100 dollars ($3,924,374.10) shall be appor- rioned among the Cities as follows: City Pe,-ce-tag, Adelanto .62 Barstow .41 Big Bear Lake .05 Chino 5.36 Colton 8.94 Fontana 11.24 Grand Terrace 1.18 Highland .93 Montclair 4.45 Ontario 13.63 Rancho Cucamonga 6.14 Redlands 1.73 Rialto 5.12 San Bernardino 31.33 Upland 6.97 Victorville 1.90 ~mOl~lt $ 24,476.42 15,960.46 1,895.90 212,000.61 351,278.87 439,267.64 46,296.47 37,089.55 174,295.58 537,683.95 241,660.99 67,443.15 200,297.72 1,225,601.39 274,298.79 74,826.61 The percentages set forth in this paragraph apply only to the back fine revenues and to the interest provided for in paragraph 10. 8. PAX BACK PERIOD. The back fine revenues (three million nine hundred twenty-four thousand three hundred seventy- four and 10/100 dollars ($3,924,374.10)) shall be paid to Cities over the following "pay back period" and apportioned among the Cities according to the percentages in paragraph 7, above: (a) $400,000.00 on or before one month from the last party's execution of this Agreement; (b) $600,000.00 during Fiscal Year 1992 - 1993 (FY 1992-93) by one payment by the end of FY 1992-93, if necessary, so that a minimum of $1,000,000.00 F&F.AGR~D~WT '92 I~:. 10~79 ~solution No. 93-007 Page 5 is paid during FY 1992-93; (c) $1,000,000.00 during Fiscal Year 1993-1994 (FY 1993-94) by one payment by the end of said Fiscal Year; (d) The remainder by a final payment by the end of Fiscal Year 1994 - 1995 (FY 1994-95). County may pay more than the above amounts in any fiscal year. 9. COLT.~CTION F~. County will retain a collection fee of ten percent (10%) of fine revenues collected from defendants on conditional sentence and distributed to the cities pursuant to Penal Code S 1463.001, which shall be in addition to the County's statutory share (Penal Code S 1463.002) of summary probation collections. The 10% is a collection fee and is not intended to be an adjustment of the statutory percentages set forth in Penal Code ~ 1463.002. The collection fee will apply to distributions of fine revenues collected subsequent to the County's execution of this Agreement. The collection fee shall be in addition to the fee for processing installment accounts as provided in Penal Code ~ 1205(d). 10. I~P~R~ST. The back fine revenues of three million nine hundred twenty-four thousand three hundred seventy-four and 10/100 dollars ($3,924,374.10) include accrued interest estimated at seven percent (7%). It is understood and agreed by the parties that exact interest calculation would be extremely burdensome because statutory interest accrues from the end of the month following each payment on each account, and the parties therefore agree to accept the estimate below. Additional interest will accrue after the date the County executes this Agreement, at the Local Agency Investment Fund (LAIF) rate or seven percent (7%), whichever is lower, throughout the duration of this Agreement, on amounts paid pursuant to paragraph 8. The LAIF rate will be calculated by averaging the three (3) most recent quarters' LAIF rate available 12/28/92 lk~. 10879 Resolution No. 93-007 Page6 at the time a payment is made. 11. FUTURE FINES. All fines collected by County from defendants on conditional sentence whose court orders are received by County on and after September 1, 1989, shall be distributed to Cities according to the percentages set forth in Penal Code S 1463.002, or such percentages as may in the future be listed by Penal Code S 1463.002 or its successor. County agrees to prorate payments in accordance with Penal Code S 1462.5; provided, however, that if the proration statutory provisions are amended or repealed, County may adjust its procedures in accordance with the statutory changes related to proration without necessity of any amendment to this Agreement. 12. DISMISSAL. Within thirty days of the effective date of this Agreement, Cities shall file a dismissal with prejudice as to all defendants in City of Victorville. et al. vs. County of San Bernardino. et al., Sacramento County Superior Court No. 358193 and City of San Bernardino vs. County of San Bernardino. et al., Riverside County Superior Court No. 207900. 13. COSTS. Each party shall bear its own costs and attorney's fees. 14. MODIFICATIONS. This Agreement may be modified only by a written instrument executed by all parties hereto. 15. RELEASE. Each and every city who is a party to this Agreement, on behalf of itself, its successors and assigns, hereby releases and discharges the County of San Bernardino, the Auditor of San Bernardino County, the Treasurer of San Bernardino County, and their officers, employees, agents, successors, descendants, dependents, heirs, executors, administrators, and assigns, from all causes of action, claims, demands, damages, and liabilities of any kind, whether known or unknown, now existing or hereafter arising from the facts and circumstances set forth in the petition and complaint, as amended, in Sacramento Superior Court Action No. 358193 and Riverside Superior Court Action No. 207900. 11~ "' r.k~.lOg'79 Resolution No. 93-007 Page 7 16. BASE YEAR CALCULATION. County warrants that each City's base year calculation amount for Fiscal Year 1990 - 1991 shall reflect the full amount of fine revenues attributable to each city pursuant to the percentages set forth in Penal Code S 1463.001 et seq. This warranty is made for the express purpose of compliance with Chapter 189 of Statutes, 1991, and for no other purpose. 17. DUP?.ICATE ORIGINALS. This Agreement is executed in (17) duplicate originals so that each party will have an original of this Agreement. COUNTY OF SAN BERNARDINO DATED: By: Chairman, Board of Supervisors ATTEST: EARLENE SPROAT, Clerk of the Board of Supervisors APPROVED AS TO FORM AND CONTENT: ALAN K. MARKS County Counsel By: Deputy By: SUSAN A. HOPKINS Deputy County Counsel DATED: THOMAS F. O'DONNELL Treasurer-Tax Collector of County of San Bernardino DATED: SAH F&F.AG~ 12f28/9'2 Do~. 10879 ERROL J. MACKZUM Auditor/Controller-Recorder of County of San Bernardino Resolution No. 93-007 Page 8 Pages 7 through 22 of this agreement are not included as they only contain signature pages for the following cities: Adelanto Big Bear Lake Colton Grand Terrace Montclair Barstow Chino Fontana Highland Ontario Rancho Cucamonga Redlands Upland San Bernardino Rialto Victorville