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1988/11/16 - Agenda Packet
Y. e CITY ` COUNCIIL .AGENDA CITY OF RANCHO CUCAMONGA REGULAC MCXTINGS 1st and 3rd Wednesdays — 7:30 p.m. November 16, 1988 I Lions Park Community Center I 5161 Base Line Road Rancho Cucamonga rrr City Counclimembers Dennis L. Stout, bravo, Pamela J. Wright, Awv,Prorw Debxah N. Brown, caaanlnea,aee Char;os I Buquet, caaatllne -bi, Je1hYy King, coaenGaewEer rrr Lauren R1. Wasserman, caystaaarr James lviarktnan, av -4aa y Beverly A. Authelet, cy cr.1 city Me. 989.1851 IJons Perk 980.3143 k' PAGE City Council Agenda November 16, 1988 A I All items submitted for the Cif Council Aganda aunt be in is 5200 on eWed•esde the these items The City p.m. the y ? dor�to Clark'o Office recaivea 111 such items. A. CLL7. TO 09.%19 1. pledge of 911egiance to Fled. T. Roll Cells Brown , grout —!Band Wright A. AVWOUYC[aaWfS/rR9SRRATI01R1 C. OOWSM CALRWWR To fnlloving Consent Caloodar itaau are oxpacted to ba be acted upon routine and non - controversial. They will one rise without discussion. Any be the Gsancil at remove£ for diecussioo. 1. Approval of Minutsal October 19, 1988 2. Approval of Warrants, Register Nos. 11/2/88 and 11/9/68, 1 and Payroll ending 10/27/88 for the total amount of 91,758,828.64. 1. Alcoholic Beverage Application for oc -Dale Sear 4 Wine A. Bedrosian, 10 gating place for Jersoy Deli, Aleksan 10700 Jersey Boulevard, 9:08. 4 Approval to execute Improvement 4:aements Extension of Milliken 12 for Tract 12944 located on the east aide Hillside Read submitted by Marlborough ! enua north of Developnent. RESOLUTION NO. 68 -665 13 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF RANCHO CUCAHOdCA, CALIFORNIA, APPROVING IMPROVEMENT AGREEMENT 31=HSION I I AND IHpROVyHSNT SECURITY FOI TRACT 12944 A I s' PAGE /.•�' City Council Aganda �¢� a November 16, 1984 2 }� 5. Approval of Improvement Agreement and Improvement 14 Security for Tract 10210 located on the north aide of i- Almond Avenue, east of Sapphire Street submitted by No mile Development Company, a General Partner of Skyline I, Limited; and release of Improvement Agreement and Improvement Security acceptod by City Couccil on t+ Oeptember 4, 1995 submitted by Forecast Mortgage • Coapasy. �- RESOLUTION NO. 88-628 15 w A VESOLUTION OF TIM CITY COUNCIL OF INS CITv OF RANCHO CUCAMONGA. CALIFORNIA, APPROVING IMPROVRMENT AGREEMENT, ' IMPRO93HEWr SECURITY FOR TRACT 10210 AND j RELEASLNG THE IMPROVEMENT AGREEMENT AND SECURITY PREVIOUSLY ACCEPIED 64 Approval of Improvement Agreement, Improvement Security, 17 red Monumentation cash deposit for Tract 13441 located at the northeast corner of Victoria Park Lac. and Kenyon Way submitted by Crops Development Company, Soutbern Californiai and release of previously submitted Improvement Agreement and Security, and Nonuw•ntation deposit accepted by Cit7 Council. RESOLUTION 90. 88-666 18 A RESOLUTION Of IIW CITY COUNCIL OF THE CITY OF RANCHO CUCAMONGA, CALIFQRNIA, APPROVING IMPROVBNENT AOREEMENT AND IMPROVEMENT SECURITY FOR TRACT 13441 AND RELEASING THE IMPROVEMENT ALQEBNEMT AND SECURITY PREVIOUSLY ACCEPTE.1 BY CITY COUNCIL ON DECEMBER 16, 1987 Approval of Nap, Improvement Agreew.at, Improvement I 20 Security, and Ordering the Annexation to Landscape Maintenaune District No. 1 and Street Lightsog Maintenance Districts Nos. 1 and 2 for Tract 13367 located on the north side of Highland Avenue betvoen Amethyst Street and Hallman Avenue submitted by Homecoming Partners, Ltd. aP. 'A .h N . ■. PACE City Council Agenda November 16. 1988 1 3 RESOLUTION N0. 88-667 I 21 A RESOLUTION OP THE CITY COUNCIL OP Tim CITY OF RANCHO CUCAMONGA, CALIFORNIA. APPROVING IMPROVEMENT AGREEMENT, IMPROVEMENT SECURITY, AND FINAL MAP OF TRACT NO. 13367 RESOLUTION N0. 88-668 1 23 A RESOLUTION Of TUB CITY COUNCIL OF Tile CITY OF RANCHO CUCAMONGA, CALIFORNLi. ORDERING THE ANNEXATION OF CERTAIN TERRITORY TO LANDSCAPE MAINTENANCE DISTRICT NO. 1 AND STREET LIGHTING MAINTENANCE DISTRICT MOB. I AND 2 FOR TRACT 13367 8. Approval of Parcel Nap 10783 and Ordering tho annexation 26 to Landscape Maintenance District No. 1 and Street Lighting Maintenance District Nom. 1 and P located at the northwest corner of Archibald Avenue nod Hillside Road submitted by Peter Toiatoy. RESOLUTION N0. 88-669 27 A RESOLUTION OF IMF. CITY COUNCIL 07 THE CITY OF RANCHO CUCAMONGA, CALIFORNIA. APPROVING PARCEL MAP NUMBER 10783 (TENTATIVE PARCEL MAP NO. 10783) RESOLUTION N. 88-670 1 28 A RESOLUTION OF THE CITY COUNCIL Oi THR CITY OF RANCHO CUCAMONGA, CALIFORNIA. ORDERING THE ANNEXATION OF CERTAIN TERRITORY TO LANDSCAPE MAINTENANCE DISTRICT NO. l AND BISSET LIGHTING MAINTENANCE DISTRICT NOS. I AND 2 FOR PARCEL NAP 10783 9. Apprcval of a Subordination Agreement (CO 88 -188) for I 31 street improvements at 12720 Amber Lana submitted by Richard L. Batson and Sharon Phillips. S r E Council Agenda Mc, —mber 16, 1980 PAGE 4 RESOLUTION NO. 88-671 32 A RESOLUTION OP THE CITY COUNCIL OF THE CITY OP RANCHO CUCAMONGA, CALIFORNIA, APPROVING A SUAORDINATION AGREEMENT FROM I RICHARD L. BATSON AND SHARON PHILLIPS AND AUTHORIZING THE MAYOR AND CITY CLERK TO SIGN BAHR 10City Approval of a contract (0088 -189) with Sam Bernardino 34 County Flood Control Dimtrict for funding of the Day Crcak Pbeve 2A improvements from Base Line Road to approximately 1.5 miles mrth of Highland Avenue in an amount not to exceed 10.5 million dollars to be funded from Day Creek construction fund Account No. 86-0637 - '928. 11. Approval to accept for maintenance the Haven Avenue 35 Median Improvements Phase I from Arrow Route to 19th ;} Street as completes release bonds, authorize the City Engineer to file a Notice of Completion. RESOLUTION NO. 88-672 36 A RESOLUTION OF THE CITY COUNCIL OF TUB CITY Of RANCHO CUCAMONGA, CALIFORNIA, ACCEPTING THE PUBLIC IMPROVEMRRTS FOIL HAVEN AVENUE MEDIAN IMPBOVEMENTI., PHASE I, FROM ARROW ROUTE TO 19TH STREET AND AUTHORIZING TEE FILIWC OF A NOTICE OF ` COMPLETION F02 THE WORK 12. Approval to accept for maintenance the Ua-`en Avenue 37 Median Improvemeents Phase II from 4th Street to Arrow Route 49 complete, release bonds, authorize the City Engineer to file a Notice of Completion. RESOLUTION NO. 88-673 38 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF RANCHO CUCAMONGA, CALIFORNIA, ACCEPTING THE PUBLIC IMPROVEhENTS FOR THE HAVEN AVENUE MEDIAN IMPROVEMENTS, PHASE II, FROM 4TH STREET TO ARROW ROUTE AND AUTHORISING THE PILING OF A NOTICE OF COMPLETION FOR TUB WORK E PAGE ;R City Council Agenda November 16, 1966 5 . 'L 13. Approval to accept for maintenance the ;lase Line Road 39 r Widening %provesent Project from Archibald Avenue to I ' Hellmaa Avenue as complete, reluae bcada, authorise I . the City Engineer to file a Notice of Completion, and " approve the final contract amount of $312,713.00. ABSOLUTION NO. 88-674 40 '2• A ABSOLUTION OF THE CITY COUNCIL 1)7 THE CITY OF RANCHO CUCAMONGA, CALIFORNIA, ACCEPTING THE PUBLIC 111PROVEMCHTS f'OR THE BASE LINE ROAD WIDENING IMP1079XCUT PROJECT FROM ARCHIBALD AVENUE TO HhLJ.MAN AVENUE AND AUTHORIZING THE FILING OF A NOTICd 07 COMPLETION FOR THE WORK 14. Approval to accept the Archibald Avenue Entry Monument 41 Project at 4th Street (00 88 -036) as complete, relnaae bnnds, authorize the City Unginser to file a 'lotice of Complation, and approve the final contract +vaunt of 8132,856.45. ABSOLUTION NO. 88-675 42 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF RANCHO CUCAMONGA, CALIFORNIA, ACCEPTING TUE PUBLIC IMPROVEMENTS FOR ARCHIBALD AVENUE ENTRY MONUNEUIS AT 4TH STREET AND AUTHORIZING TIM PILING OF A NOTICE OF COMPLETION FOR THE WORK 15. Approval to accept the Lion Street Improvement Project, 43 mouth of 9tb Street (CO 80 -093) as complete, release bonds, and authorise the City Engineer to file o Notice of Completion, and approve the final contract amount of $57,161.71. RESOLUTION NO. 85 -676 44 A RESOLUTION OF THE CITY COUNCIL OF THE CITY Of KAI:CEm rOCAMONGA, CILIFORNIA, ACCEPTING THE PUBLIC IMPROVEMENTS FOR Tv- LION STREET, SOUTH OF 9TH STREET AND AUTHORIZING THE V7LING OF A NOTICE JF COMPLETION FOR THE NOS' I y f City Comuil Agenda November 16, 1988 PAt+L• 6 16. Approval to assign an Adult Crossing Cuards w {p� hk The corner of 14th Strout and Hersova Avenm for 45 Deer Canyon Elementary School The coiner of Rermoa. A•reave and Wilson Aveuue for 47 Hermosa Slamotary 80oul. 17. Approval of an agreement (CO 86 -190) with San Bernardino 69 County Library for fisctl yerr 1988/84 to expand hours of operation for the R. C. Branch Library and to enhance the book collection. v U I I8. Approval of intention to construct the Alta Loma Storm 63 Drain between Alta Loos Basin No. 3 and Hermosa Avenue within Assessment Disl,-riot 84 -2 and call for bids for said atoms drain construction, Assessment District No. 84 -2 (Alta Lo m Storm Dvain) - Bid No. 2, to be funded 1 from Account No. 80 -4437 -6028. P, I RE80LTTICN NO. 58-677 65 A RESOLUTION of = CIIY COUNCIL OF TUB CITY OF RANCHO CVCANONGA, CALIFORNIA, DUCLARLSC ITS (UTICTION TO ORDER CZATAIN CHANCES AND `(ODLFIUI.TIOIIS IN INS 711Y1R IN A SPECIAL ASSBiS?BIIT DISTRICT ADD SPATTING PUBLIC REARING, ABSOLUTION NO. 06-678 47 A RESOLUTION OF THE CITY COUNCIL OF TIE( CITY OF RANCHO CUCAHONCA, CALIFORNIA, F rRMCING PREVAILING WAGE SCALE AND DIRECTING CALL SOH C013TRUCTION RIDS 19. Approval to repay the Reimbursement Agreement between 69 the Alta Loan Channel Capitai Improvement Fund and the Reservr Fund in the amount of $65,000. ,. City Council Agenda ' S 3 Ilovember 16, 1988 PADS 7 ,i 20. Approval to execute the eontraot (CO 88 -191) for the 71 ,A landenspe maintenance contract fort General fund PArkvays (vAeloua locations); Landscape Maintenance t1 Ascessmant District No. I (city vido)l Landscape Maintenance Asoasament District No. 3 (Hyssop); K- Landscape Maintenance Aasesament District No. 3 (26th k and llamas&) to Landscape Vest, Inc of Los Angeles for Y the amount of $219,480 to be funded from RngieeerinR /Maiutenance Contract Service Account Nos, y 01- 4647 -6028, 40 -0130 -6028, 42 -0130 -6028, 44 -4130 -6028. 21. Approval to execute the contract (CO 88 -192) for 72 landscape mia eamace contract for Landscape Maintenance Assessment Districts No. 2 (Victoria) and No. 4 (Terra Vista) to Lrodecaps Vast, Inc. of Los Angeles for the amouOt of $203,652 to be funded from Account Nos. 41- 4130.6028 and 43 -4130 -6028. 22. Approval and execution of Change Order No. 1 (CO 88 -051) 73 for Profeenional Services ARremmeat with John Cutler and Associated, Inc. to perform relocation services for Arrow Route Videning from Archibald to 1larmosa. Contact to be expanded by 87,000 to bring contract total .o $41,00 to be paid from Account No. 22 -4637- 8618. 23. Approval to release cash deposit tot Republic Development Company in the amount of $1,500.00 74 for model home sales office for Tract 13059 Vantington Noses in the amount of $2,500.00 for modal 74 home sales office for Tract 13022 D. coos r ORDINANCES The following Ordinances have had public bearings at the tiro of first reading, Second readings are expected to be routine and non - controversial. They will be acted upon by the Council at one time without discussion. The City Clerk uill read the title. Any item can be removed for discussion. 1. ENVIRONMENTAL ASSESSHENr AND SIGN ORDINANCE A10INDMeWr 88 -01 - CITY OF RANCHO CUCAMONGA - Various amendments to the Sign Ordinance regarding neon signs and window signs. PAGE city Council Agendu November 16, 1988 OADINANTB NO. 358 (second reading) 1 75 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY Of RANCHO CUCANONCA, CALIFORNIA, APPROVING SIGN ORDINANCE AXENDNE17T 88-01, AhEND7116 TIM 14 OF '.'Bt.' RANCHO CUCAMONVA KMCIPAL CODE TO MODIFY REGULATIONS FOR NEON AND WINDOW SIGNS Y. ADYNBTtBRD FUCLIC MEARMS The following items have beau advertised and /or posted as public hearings as required by law. The chair rill open the eaeuting to receive public testimony. 1. ENVIRONNNNTAL ASSESSMENT AND VARIANCE 88 -16 - PULSAR- U% Appeal of Ptauoin8 CoamissLoo s dec La on approving a request to reduce the minimum lot depth from 100 feel to 94 feet and 95 feet for two lo: a in eonJumetion with A residuatial subdivision of 154 single family lets on 71.33 acres of land located vest of Rtivanda Avenue between Gumit and Highland Avenues - APR 225-161 -35, 36, 37, 38, 49, 53, 55, 61 and 215 - 171 -01, 09, 10, 17. Continued from October 5, 1989 agenda. ENVInONNENTAL A88ESSHENT AND TENTATIVE TRACT 13812- I 82 PULSAR - Appeal of the Planning Commission's decisive I approving a residential subdivision of 154 single family lots on 71.33 acres of land in the Very Low Residential District (1 -2 dwelling units per acre) of the Etivao•'a Specific Plan and the Low Residential General Plan Dosignstion (2-4 dwelling uaLts per acre). Coutinued from October 5, 1988 agouda. 2. ENVIRONMENTAL ASSES8HENT AND TMATIVE TRACT 13738- 83 OODINS CONPA.tif - Appeal of 6 conditions of approval pertaining to utility undergrounding, street ded.eations and improvements, emergency access, and storm drain facilities foe a residential subdiv,sion of 18 single family lots on 12.88 acres of land in the Very Low Residential District of Sapphire Street, south of Almaed Street - APN )061 - 091 -03. s PAGE City Council Agenda November 16, 1908 RESOLUTION No. 88-679 1 133 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF RANCHO CUCAMONGA, CALIF03HIA, APPROVING A 2914EBT FOR TENWIVE TRACT 1373t, TO PERMIT IEVHLOPIEN-. OP AX 18 -LOT RESIDENTIAL SUBDIVISION ON 12.88 ACRES OF LAND IN TILE VERY IAN RESIDENTIAL DISTRICT AND LOCATED SOUTH OF ALMOND STREET A.4D WEST OF SAPPHIRE STREET - An 1061 -091 -03 3. ENVIROIrMNr ASSESSMENT AND CONDITIONAL USE PERMIT 88 -28 136 - PERRY - Appeal of Plan- ng Conmirsion s decision deaying the development of a 5,915 square foot retail building on .52 Acton of land within An existing ah pping center in the Comunity Commercial District of the Foothill Specific Plan, located on the southwest corner of Poothill Boulevard and Malachite Avenue - APH 208- 261 -20. 4. ENVIRONMENTAL ASSESSNENr AND ANNEXATION ACREB)"T (CO I 150 88 -193 88 -04 mm—AMA D8V8LO WIXt 8. LPG. - A request to approve en Annexation Agreement. RESOLUTION N0. 88-630 1 177 A RESOLUTION OF THE CITY COUtICIL OF TITS CITY OF RANCHO CUCAMONGA, CALIFORRIA, APPROVING ENVIRONMENTAL ASSEOPMENT AND ANNEXATION AGREEMENT 88 -04, C4RWSOtI DEVELOPMENTS, INC.), FOR DEVELOPMENT AND ANNEXATION OF APPROXIMATELY 53 ACRES OF VACANT LAND LOCATED AT THE SOUTHWEST CORNER OF ETIVANDA AVENUE AND 25TH 3TREET, AND MAKING FINDINGS IN SUPPORT THEREOF DSVELOPMENr ACRRSNANT (CO 88 -194) 8843 - &RKkMSOH I 150 DHVBLOPM3NTS. INC. - A request tc approve a Development Agreement. 4 PAGE City Council Agenda November 16, 1988 30 ORDINANCS N0. 377 (first reading) 1 180 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF RANCHO CUCAMONGA, CALIFORNIA, APPROVING DEVELOPMENT AGREEMENT 88 -03 (AHkANSON DEVELOPMENTS, INC.) FOR APPROXIMATELY 53 ACRES OF VACANT LAND LOCATED A: THE SOUTHWEST CORNER OF ETIWANDA AVBHUt AND 25TH STREET, AND MAKING FINDINGS IN SUPPORT THEREOF ENVIRONMENTAL ASSESSMENT AND DEVELOPMENT DISTRICT I 150 AMENDMENT 88 -07 - AIMAKSON DEVELOPMENTS. INC. - A request to pro -tone approximately 53 acres of vacant land located at the southwest corner of Stivanda Avenue and 25th Street to Low Dansity Residential (2-4 dwlling units per acre) - APN 225 -082 -01. ORDINANCE NO. 378 (first reading) 1 183 AN ORDINANCE OF THE CITY COUNCIL OF RANCHO CUCAMONGA, CALIFORNIA, RECOMMENDING APPROVAL OF ENVIRONMENTAL ASSESSMENT AND DEVELOPMENT DISTRICT AMffiNDMZNr 88 -07 (AHHUiSOH DBVRLOPMRNTO, IN—), A PRE -ZONE OF APPROXIMATELY 53 ACRES OF VACANT LAND LOCATED AT TITS SOUTHWEST CORNER OF ETIWANDA AVENUE AND 25TH STREET TO LOW DENSITY RESIDENTIAL (2-4 DWELLING UNITS PER ACRE), AND MAKING FINDINGS IN SUPPORI THEREOF ENVIRONMENTAL ASSESSMENT AND ANMIEXATION AGREEMENT (CO I 185 88 -195 AND 88 -196 88 -03 - CARYN COMPANY ETIWANDA HIGHLANDS - A request to approve an Annexation Agreement ac Judos reimburbement agreeusnt) RESOLUTION NO. 88.681 1 264 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF RANCHO CUCAMONGA, CALIFORNIA, APPROVING ENVIRONMENTAL ASSESSMENT AND ANNEXATION AGREEMENT 88 -03, (CARYN COMPANY - ETIWANDA HIGHLANDS) FOR DEVELOPMEAi AND ANNEXATION OF APPROXIMATELY 282 ACRES OF LAND LOCATED AT THE NORTHLIST CORNER OF 24TH STREET (SUMMIT AVENUE) UiD WARDMAN BULLOCI ROAD (INCLUDING A REIMBURSEMENT AGREEMENT) M�� c r �L 4' .ay City Council Agenda November 16, 1988 ENVIRC ,9NTAL ASSESSHRRr AMD I"BLOPHENI AGRESHIN11CO Bit -15d 88 -02 - CARYN COMPANY - A request to apprma a DeveJapuent Agreement for the Etfuanda aMighla,ds Planned Community. ORDIMANCd N0. 379 (first reading) AN ORDIH)NCR OF TIM CITY COUNCIL OF Tun CITY OF RANCHO CUCAMONGA, CALIFORNIA, APPROVING DEVELOPMENT AGREEMENT 88 -02 (CARYM COMPANY) FOR THE ETIWANDA HIGHLANDS PLANNED COMMSMII: CONSISTING CF APPROXIMATNLY 546 DWELLING UNITS ON APPROXIMATELY 282 ACRES OP VACANT LAND LOCATED AT THE NORTHEAST CORVKR Of 24TH STREET (SUMMIT AVENUE) AND WARDMAN BULLOCK ROAD, AND MARINO FINDINGS IN SUPPORT THEREOF ENVIROhMENTAL ASSESSMENT AND DEVELOPMEM DIST'RI Cr AMENDMENT 88 -04 PRE- ZONBT- --CAR TN ETIWANDA HIGHLAND9 - A request to pre -mono appruxLratoly 546 duelling units on about 282 acres of vacant lead located at the northeast corner )f 24th Street (8uvait Avanue) and Wardmao Bullock Road to the Etivaada U'ghlands Planned Community - APN 226 -082 -16 and 24 -27. ORDINANCE 90. 360 (first reading) AN ORDINANCE OF THL CIIY COUNCIL OF TUN CITY OF RANCHO CUCAMONGA, CALIFORNIA, APPROVING DDA 68 -04 CARYN COMPANY, A PRE - ZONE iOR APPROXIMATELY 282 ACRES OF LAND LOCATED AT THE HOR7'IMAST CORNER OF 24TH STREET (SUMMIT AVENUE) AND WARDHAN BULLOCK RDAD TO PLANNED COMDRRIITY, AND MAKING FINDINGS IN 11UPPORT THEREOF ENVIRONMRMl'AL ASSESSMENT AND 4NNEXATION 88 -03 - CARYM COMPANY ETIWANDA HEICETS - A request to annex approximately 303 acroa of land located at the northeast cornar of 24th Street (Submit Avenue) and Warduan Bullock Road (IAICO 2505) - APN 226 -082 -16, 24- 27. PAGE 11 185 267 185 270 185 n 1'. PAGE �� ♦�IF City Council Agenda e' t November 16, 1988 12 6. DEVZLCPMIMT ACR WNT (CO 08 -197) d3 -01 - HERITAGE PARK 272 APARTMENTS -A request by the City to aneod Seotioo 18, 1 Ilainteuance Guaranty, of an existing Development Agreement for the senior housing project located on (: Lomita Court, vest of Archibald Avenue - APN 202 - 152 -34. ORDINANCE 00. 361 (first reading) 278 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF RANCHO CUCAMONGA, CALIFORNIA, APPROVINO AIENDIENI NUM3ZR 2 REGARDING ! MAINTENANCE GUARANTY, IO AN EXISTING ) DEVELOPMENT AGREEMENT FOR ZERITAGE PARK APARTMENTS, A SENIOR HOUSING PROJECT 'u DHY8P1C8 AGREEMENT (CO 88 -198) 64 -01 - YODOLYH 272 1leNDRILOCKSMIT ON eENIOR AFAR'rMENrS - A request by the City to amend Sect en 22, Maintenance Guaranty, of an existing Development Agreement, for the senior housing project ( located on the verL side of Amethyst Avenue, north of 19th Street - APE 201 - 232 -24. ORDINANCE NO. 382 (first reading) I 260 AN ORDINANCE OP THE CITY COUNCIL OF THE CITY OF RANCHO CUCAMONGA, CALIFORNIA, APPROVING AMENDMENT NUMDER 1, REGARDING MAINTENANCE GUARANTY, TO DEVELOPMENT AGREEMENT 35 -01 (RUDOLPH HENDRICKSON SENIOR APARTHSNTS), A SENIOR HOUSING PROJECT ENVIRONMENTAL ASSESSMJIMr AND ANNEXATION 88 -02 - T.F. )82 MHLCHER ETdWANDA HBIGHTS - A request for change of organization annexation of approximately 96 acres of land located at the aorthvest cozaer of 24th StreeL and the current extension of Rtivaada Avenue (LAPCO 2504) - A 225 -071 -65. RESOLUTION NO. 88 -682 291 A RESCLUT ION Of THE CITY COUNCZ OF THE CITY OF RANCHO CUCAMONGA, CALIFORNIA, APPROVING A CHANCE OF ORGANIZATION ( ANNEXATION) OF APPROXIMATELY 96 ACRES OF LAND LOCATED AT THE NORTHWEST CORNER OF 14TH STREET AID TUE CURRENT EXTENSION OF ETIWANDA AVENUE (LAFOO 2504) G PAGE City Council Agenda November 16, 1988 1 13 F. P'IDLTC gum)= The following ices have no legal publication or posting requirements. She Chair will open the meeting to raraive rublic testimony. 1. BNIYgNT DOMATN ACTI07 TO ACQUIRE PUBLIC RIGHT-OP-WAY- 295 Aequ{siRin of public rigbt-of-vay for the Bua Line Road Widening Project and the Day Crack Channel Project fees the property located at future Day Creak Boulevard "tension for construction of street improvements across the Bass Line road frontage If said property - APN 227- 161-21. RESOLUTION NO 88-663 1 297 A RESOLUTION OF THE CITY COUNCIL Or THE CITY OF RANCHO CUCAMONGA, CALIFORNIA DECLARING THE PUBLIC BEBD AND NECESSITY TO CONDEMN A PORTION OF CSR%AIN REAL PROPERTY LOCATED ON BASF LINE ROAD AT FUTURE DAY CRRRR BOULEVARD IN THE CITY OF RANCHO CUCAhOEGA AND HARING FINDINGS IN SUPPOkT THEREOF 2. CONSIDERATION OF GRAFFITI ORDINANCE - 74rat diocuased Yovember 2, 1988. ORDINANCE NO. 383 (first reading) I 300 AN ORDINANCE OF THE CITY COUNCIL OF THE CITI OF RANCHO CUCAMONGA, CALIFORNIA, AMENDIeC TITLE 8 OF TUE RANCHO CUCAMONGA MUNICIPA- ODDS BY ADDING A NEW CH012a 8.24 PROV7DING A PROGRAM FOR THE REMOVAL Of GRAFFITI AND OTHER INdCRIBED MATERIALS FROM WALLS AND STRUCTURES ON BOTH PUBLIC AND PRIVATE PROPERTY 3. PRONIBTTI0 OF CHLOkOFLUOROCARBON PROCESSED PAC2AG'NG - 303 Cousidera ClOn of prohibiting chlorofluorocacbans CPC :) in processed food par kiging. sa „s •� -PACE '•yl. City Council Agnada �'� ''' �, T ;• �� y� November 16, 1988 14 uf4 a ORDINANCE N0. 37l (first reading) 304 y `. AN ORDINANCE OF I!'E G11R C -0BNCII. OF THE 4, CITY OF RANCHO GY(CAMONGA, G1'L:TO¢IIIA, R AMENDING SITLB 8 OF THE RANCHO COCA)fONCd { �.. MUNICIPAL CODE BY AODIIIG A N7:W� CHAPTER "PH,OHID 8.22 ENTITLED LS,IgN OF CHLOIlOPLWROCAk80N PROCESSED PACSACIRG" , TT'• 4. C1TY- WIDE 04DIpANm -. Canaideratioe, of an 310 Orainaaea pamitting s>takinE la certain facilities and Y era s in the O;.ty. 11YV, r� ORDIlIAl CB ItO. 381 (first reading) i 322 Ai oRDINANCa OF THE clTx aNlncn rrF TJII ^. mrx or RADC¢o IcucANONCA, cef.xeo¢NV,, A1611Xc maple¢ 8.20 TO TrnE g OR THE RAI CHO CBCAMONGA MUNICIPAL CODE t gECI :ATINC BNOSI6C WITHIN THE CITY JP 8AHC1U CUCANON4.1 t 82 - 01. C. CITY NaNALiR'S STATE REPOC[8 The Lolloving ilema do not: lsgally require any public tns iiwany, elthuc gh the Chair way open the maeifnE for public input. 1. APPOINTHBNf OF a PAM AND BECReATION ItEVIBW TASK PO4C8- 320 Continued frw Oa [obey 14, 19E8 meeting. 2 AhR1ETATION 88 -04 - AAN0906 DBVHf.OPNeHT - A request to 330 � approve the Tax Revenue 8zehaogn for annexation proceedings (LAPCO 2518) between Ctuaty of Sao Bernardino and City of Rancho Cucamonga fcr approxinet- oly 53 acres of usenet land leeaead at ten southwest corner of 8tivaada Avenue and 25th Street dPN 225 -0 i e r 82 - 01. , IN •r PAGE •s r,I CiL, COUntil Agenda November 16, 1988 15 RESOLUTION NO. 88-664 334 A. RESOLUTION OF T"dE CITY COUNCIL OF THE CITY OF RANCHO CUCAMONGA, CAM.TFORNLI, DETERMINING THE AMOUNT OF THE PROPERTY TAX REVENUES TO BE EXCHANGED BETWEEN AND AMBRIG THE COUNTY OF SAN BERNAREINO AND THE CITY OF RANCHO CUCAMTMNGA RESULTING FROM THE JURISDICTIONAL CHANCE DESCRIBED BY LAPCO 2518 3. MISSION STLTEMENI FOR EPERGEHCY PREPAREDNESS - A Miruioa Statement for Emergency Preparedness as the City's 337 intention before, during, and after a major cmorgency. 4. CONSIDDBATIOH Of Rai) HILL LAKE FENCING ISSUE. 338 S. STATrG WORT OF PUBLIC SAFETY COMMISSION N INQUIRY INTO 341 TRAFFIC WHIT ISSUES REGARDING THE SAPPHIRC STREET COMMUNITY TRAIL, 6. STATUS ON WORK REMAINING FOR TRLCr 13059, LOCATED ON THE WEST SIDE OF FAIRMONT AVEFM BETWEEN HIGHLAND ATSNUE AND 343 BASE LINE ROAD, AND TRACT 13060, LOCATED ON THE SOUTHWEST CORNER OF MILLIKEN AVENUE AND FAIRMONI AVSNUE,SUBMITTED BY WILLIAM LYON COMPANY, Continued from November 7, 1989 .eating. T AUTHORIZING AND DIRECTING THE EXECUTION OF DOCUMENTS 344 RELATING TO THE 7URCBASE OF THE NORTHEAST COMMUNITY PARK. SITE AND APPROVING THE PRELIMINARY OFFICIAL STATEMENT. RESOLUTION N0, 88-685 509 A RESOLUTION OF THE CITY COUNCIL OF TFE CITY OF RANCHO CUCAMJNGA, CALIFORNTA, APPROVING, AUTHORIZING AND DIRECTING EXECUTION OF CERTAIN LEASE VINANCING DOCUMENTS, AUTHORIZIBG AND DIRECTING EXECUTION OF A PURCHASE AGIEEMLRNT, APPRCVING A PRELIMINARY OFFICIAL STATEMENT AND AUTHORIZING AND DIRECTING GSRTAIN ACTIONS WITH RESPECT THERITO MISTING TO ADJOURb :0 RANCHG CU ^AMNC& PIMLIC IMPROVEMENT CORPORATION. , IN •r 1 S PACfi City Council Agenda 74 k� %i November 16, 1988 16 k K 9. COUNCIL ZUSIXX -. The folloving itews have biters roquested by the City Council 'r I for discussion. They are not public hearing items, although the Ch21r way open the meeting for public input. 1. DISCUSSION OP THE DISPLAY OF X -RATED VIDEO COVERS 2. STATUS REPORT ON BUILDING IXSPECTION ACTIVITIZS AND 5512 COORDINATION I. IDUrIFICILTION OF I'YVM FOR ME= NN9TIND This is the time for City Coaaeil to identify the items Lbey vish to discuss at the nett nsatiAt. These itawa will not be discussed at this meeting, only identified for the nest meeting. J. CO'JMUDICATIONS FIN TIM PUBLIC This is the time and place for this general public to address the City Council. State lav prohibits the City Council fran addressing any issue not previously included on the Agenda. The City Council may receive testimony and met this mutter for a subnequent seeting. Cosmonte are to be limited to five minutes per individual. X. AWOUR9NR9L I, Beverly A. Authelet, City Clerk of the City of Rancho Cucamunga, hereby certify that a true, accurate copy of the foregoing agenda was posted on November 10, 1908, savmaty -tvo (72) hours prior to the neetiot pnr A.B. 2674 at 9320 -C Asia Line Road. October 19, 1933 CITY CP RANCHO CUCAMONGA CITY COUNCIL HINUIES Regular Meeting A. CALL TO out A regular meeting of the City Council of the City of Rancho Cucamonga met on Wednesday, October 19, 1988, in the Lions Park Community Center, 9161 Base Line Rond, Rancho Cucamonga, California. The meeting was called to order at 7330 p.m. by Mayor Dennis L. Stout. Present were CnnnLi,mcmbcral Deborah N. Brown, Charles J. Buquet 11, Jeffrey Ring, Pamola J. Wright, and Mayor Dennis L. Stout. Also present wore3 City Manger, Lauren M. Wasserman; City Clerk, Beverly A. Authelet; City Attornjy, ames Markman; Assistant City Manager, Jack Lam; City Planner, Brad Buller; City Enginear, Russell Maguire; Community Services Manager, Joe Schultz; Associate Planner, Alan Warren; Senior Planner, Larry Henderson; Associate Planner, Arlene Banks; Assistant Planner, Chris Wes Oran; and Senior Civil Engineer, Barrye Hanson. * a * * * * S. ANWIUNCENENTS /PRISENTATION3 BI Presentation of ten year pint to Dennis L. Stout, Mayor, and Charles J. Buquat, Coun.ilman. B2. Presentation of a Proclamation to Mark Lorimer for his hard work and service while employed by the City of Rancho Cucamonga. B3. Presentation of Proclamation for Red Ribbon Week, October 24-28, 1988. * r s a * r ^. CONSENT CALENDAR Cl. Approval of Warrants, Register Mos. 10/5/88 and 10/12/88, and Payroll ending 9/29/88 for the total amount of $1,411,252.37. C2. Approval to authorize the assignment of an adult crossing guard to the corner Church Street and Center Street for Dons Merced Elementary School. (1301- 05 GROS GUARD) City Council Minutes October 19, 1988 Page 2 C3. Approval to authorise the assignment of an adult crossing guard to the i comer of Hermosa Avenue and Peron Boulevard for Cucamonga Elementary School. (1301 -05 GROS GUARD) C4. Approval to annex a portion of the San Bernardino County unincorporated area located north of Highland Avenue, south of the logical extension to Summit Avenue, east of the Day Creek utility corridor, and vest of the County /City boundary - APH 225- 161 -19, 32, 33, 34, 35, 36, 37, 38, 49, 53, 55, and 61. (0702 -02 ANNEXATION) TESOLUTION NO. 88-611 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF RANCHO CUCAMONGA, CALIFORNIA, APPROVING ANNEXATION 88 -01, ORDERING TERRITORY DESIGNATED AS THE AREA GENERALLY LOCATED NORTH OF HIGHLAND AVENUE, SOUTH OF THE LOGICAL EXTENSION TO SUMMIT AVENUE, EAST OF THE DAY CREEK UTILITY CORRIDOR, AND WEST OF THn COuxTY /CITY BOUNDARY, ANNEXED TO THE CITY OF RANCHO CUCAMONCI, AND MAKE FINDINGS IN SUPPORT THEREOF C5. Approval to purchase a John Door Model 510 Backhoo /Loader from Whitney Machinery, Inr of Riverside, in the amount of $64,525.38 to be funded by I.G.S. Accouvt 72-42: •7045. (0600 -00 PURCHASE) C6. Approval to reclassify the Resource Service Departments denior Office Assistant to Administrative Analyst, to be funded from Account No. 33 -400- 1100. (0502 -02 PERSOMMBL) C7. Approval to award the "Street Light Inventory" project to BSI Consultants, Inc. in the amount of $14,780 ($ ?3,436 plus 101 contingency) to be funded an follows: (0601 -01 LID) Lighting District #1 - 55,4130 -6028 $4,172.00 Lighting District #2 - 56,4130 -6028 $4,565.60 Lighting District #3 - 57 -4130 -6028 $3,910.40 Lighting District 44 - 58- 4130 -6028 $1,788.80 Lighting District 05 - 59- 4130 -6028 $ 343.20 C8. Approval of the encumbrances from FY 87/88 and appropriate the funds to the account as outlined in the report. (0401 -21 FUND) C9 Approval to authorize an appropriation from the available fund balance of tie General and ICS Funds for the purchase of a 1987 yord Tempo GL from the Rancho Cucawou a Redevelopment Agency. (0600 -00 PURCHASE) CIO. Approval to award the vehicle purchase to Diaterich International Truck Sales, Inc. o' Colton in the amount of $29,773.36 for the purchase of one 1400 City Council Hinutes October 19, 1988 Page 3 Metro Van II to he funded from account cumber 01 -4647 -7045 and I.G.S. (0600 -00 PURCHASE) C11. Approval to award the vehicle purchase to Rnterprise Chevrolet of Upland in the amount of $66,454.80 for the purchase of one Utility Mini -van, one 7 passenger lfini -Van, one Compact 4 Wheel drive Utility Vehicle, Can Compact 2 Wheel Drive Vehicle, and one Mid -Size Extended Cap Pick -up to be funded from various accounts. (0600 -00 PURCHASE) C12. Approval to award the vehicle purchase to Colley Auto Cara, Inc. of Glendora in the amount of $38,163.18 for the purchase of 2 3/4 Ton Picl -ups with modifications to be funded from account numbers 01 -4647 -7045 and I.G.S. (0600 -00 PURCHASE) C13. Approv.l to execute Contract Change Order No. 5 (CO 87 -20) for a Professional Services Agreement with Dan Greek and Associates to continue design administration and review of plans with specifications for the following projects: 19th Street West City Limits for $18,000 (Account No. 22- 4637 - 8743), Hermosa /Cartilln for $16,000 (Account He. 22- 4637 - 8744), $17,000 for Zircon/Auethyat (Account Ho. 22- 4637- 8746), $2,000 for Banyan Street Extan':ion (Account No. 22- 4537.9739), and $8,000 for Arrow Bridge Widening (Account No. 22- 4637 - 8738). The tutal Cmoumt of this Change Order is $68,000 to bring CIA, contract total to $113,000 to bt paid from the Syatens Development Funds. (11601- 01 CONT AIC H) C14. Approval to execute Reimbursement and Service Agreements (CO 0-170) for the Proposed Assessment District 89 -1 (Lewis Homas) to he funded from &:count No. 70- 276 -483. (0602 -01 CONTRACT) C15. Approval to execute Professional Services Agreement (v0 88 -171) with J P. David,on for the Master Plan Beautification study for Haven Avenue and Bane Line Road, to be funded by Beautification Funds in the amount of $42,000 as f.:llowa: $10,000 fram Account No. 21 -4647 -8047 (Base Line Rona), and $26,000 from Account No. 21 -4647 -8724 (Haven Avenue). (0602 -01 CONTRA/') C16. Approval to execute contract (CO 88 -1%2) for the City Corporation Yard Phase I, Base Bid "A" including AlternaV 4 deduction project, located at 9153 Ninth Street, awarded to Lucky Conatructioa Company for the _count of $2,200,000 ($2,098,000 plus 5T contingency) to he funded from Capital Reserve, Acc•:unt me. 25- 4285 -7043. (0602 -01 CONTRACT) C17 Approval to execute contract (CO 88 -173) for the Ninth Street Rehabilitation Improvement Project between Vineyard Avenue and Baker Avenue awarded to Gentry Brothers, Inc. for the amount of $120,330 ($109,388.65 plus 102 contingency) to be funded from Cas Tax Fund Account He. 09- 4637 -OSLI. (0692- 01 CONTRACT) City council Minutes October 19, 1988 Page 4 C18. Approval of an Agreement (CL 88 -174) vitt, the County of San Bernardino for weed abatement services. (0602 -01 CONTRACT) C19. Approval to executo contract (CO 88 -175) for the design of the Bed Dill Park Lake and Amphitheater Draiva3a Improvements to Linville Civil Engineer /Land Surveyors, Inc. for the amount of $16,200 ($14,800 plus a 10% contingency) to be funded from Capital Rasarve fund Account Ho. 25 -4285 -7043. 1TEN RR"NKD pat DISCUSSION PER REQCE3± yBON COUNCILWOMAN NRIGRr. (0602 -01 CONTRACT) C20. Approval to execute an Agreement for Postponement of Recordation of Declaration of Rostrictiooa (10 88 -176) for Tract 13271, located on the northwest corner of Terra Vista Parkway and Milliken Avenue, submitted by Levis Development Company. (0602 -01 CONTRACT) RESOLUTION 140. 88-612 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF RANCHO CUCAMONGA, CALIFORNIA, APPROVING AN AGREEMENT TOR POOTPONENENr OF RECORDATION OF DECLARATION OF RESTRICTIONS FOR TRACT 13271 C21 Approval of Nap, execution of Improvement Agreement and Improvec;sent Security, and Ordering the annexation to Landscape Maintenance District Nu. 4 and Street Lighting Maintenance District Nos. I and 4 nor Parcel Map No. 11341, located on the southeast comer of Church Street and Milliken Avenue, submitted by Levis Development Company. (1002,)9 NAP PARCEL)(0602 -01 AGREE I)TR)(0401 -03 LNSCAPE MD)(0401 -03 ST IT ND) RESOLUTION N0. 88 -613 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF RANCHO CUCAMONGA, CALIFORNIA, APPROVING PARCEL NAP NUMBER 11341, (TENTATIVE PARCEL NAP NUMBER 11341), IMPROVEMENT AGREEMENT, AND IMPROVEMENT SECURITY RESOLUTION N0. 88-614 A RESOLUTION OF TUE CITY COUNCIL OF THE CITY OF RANCHO CUCAMONGA, CALIFORNIA, OkDERING THE ANNEXATION OF CERTAIN TERRITORY TO LANDSCAPE MAINTENANCE DISTRICT NO. 4 AND STEEBr LIGHTING MAINTENANCE DISTRICT NOS 1 AND 4 FOR PARCEL NAP 11314 C22 Approval of Nape, execution of Improvement Agreements and Improvement Security and Ordering rho Annexation to Landscape Maintenance District No. I and Street Lighting Maintenence District Mos. 1 and 2 for Tract@ 13748, 13857 and City Council Minutes October 19, 1988 Page 5 1 located 3t the southwest corner of Banyan Street and Milliken Avenue, n ;ad by M. J. Brock and Sons. (1002 -09 MAP FINAL)(0602 -01 AGREE IMPR)(0401- 0 LndCAPE MD)(0401 -03 ST IT MD) RESOLUTION N0. 86-615 A RESOLUTION OF THE CITY COUNCIL OP THE CITY OF RANCHO CUCAMONGA, CALIFORNIA, APPROVING IMPROVEMENT AGREEMENTS, IMPROVEMENT SECURITY, AND FINAL MAPS OF TRACT NOS. 13748, 13857 AND 13858 RESOLUTION NO. 88 -616 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF RANCHO CUCAMONGA, CALIFORNIA, ORDERING THE ANNEWION OF CERTAIN TERRTiORY TO A LANDSCAPE /LIGHTING MAINTENANCE DISTRICT FOR TRACT NOa. 13748, 13857 AND 13858 C23. Approval of Nap, execution of Improvement Agreement, improvement Security, and Ordering the Annexation to Landscape Maintenance District Not 1 and Street Lighting Maintenance District Noe. 1 and 2 for Tract 13728, located on the northeast corner of Sapphire Street and Hillside Road, ., ubmitted by Hillside /Sapphire Venture. (1002 -09 MAP PINAL)(0602 -01 AGREE INPR)(0401 -03 LUSCAPE MD)(0401 -03 ST IT MD) RESOLUTION NO. 88-617 A RESOLUTION OF THE CITY COUNCIL OF TIM CITY OF RANCHO C7'CAMONGA, CALIFORNIA. APPROVING IMPROVEMENT AGREEMENT, IMPROVEMENT SECURITY, AND FINAL NAP OF TRACT N0. 13728 RESOLUTION NO. 8d-618 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF RANCHO CUCAMONGA, CALIFORNIA, ORDERING THE ANNEFATION OF CERTAIN TERRITORY TO LANDSCAPE MAINTENANCE DISTRICT NO. 1 AND STREET LIGHTING MALYTEIUNCE DISTRICT NOd. 1 AND 2 FOR TRACT 13728 C24 Approval of Map, execution of Improvement Agreement and Improvement Security, and Ordering the Annexatir to Landscape Maintenance District No. 4 and Street Lighting Maintenance District Nos. 1 and 4 for Parcel Map 9897, located on the southeast corner of Church Street and Terra Vista Parkway, submitted by Lewis Development Company. (1002 -09 NAP PARCEL)(0602 -01 AGREE IMPR)(0401 -03 LNSCAPE ND)(04(11tii ST IT MD) City Council Minutes October 19, 1988 Page 6 A FESOLUTION OF THE CITY COUNCIL OF THE CITY OF RANCHO CPOAMONGA, CALIFORNIA, APPROVING PARCEL MAP NUMBER 9897,. 'TENTATIVE PARCEL MAP NO. 4897), IUIROVENENr AGREEMENT, AND IHPROVEHEZ(r SECURITY A RESOLUTION OF THE CITY COUNCIL OF THE CITY CUCAMONGA, CALIFORNIA, ORDERING THE ANNEXATION TERRITORY TO LANDSCAPE MAINTENANCE DISTRICT NO. 4 LIGHTING MAINTENANCE DISTRIC2 NOS. 1 AND 4 FOR 9897 to execute Improvement Agreement Extension for Tract 13353, northwest comer of 19th Street and Archibald Avenue, submitted Partners. (0602 -01 AGREE EXrN) A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF RANCHO CUCAMONGA, CALIFORNIA, APPROVING IMPROVEMENT AGREEMENT EXTENSION AND IMPROVEMENT SECURITY FOR TRACT 13353 C26. Approval to axecute Improvement Agreement Extension for ' located on the south side of Nilson Avenue at Caniotel Avenue, Grigsby Development. (0602 -01 AGREE EXTN) A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF RANCHO CUCAMOa GA, CALIFORNIA, APPROVING IMPROVEMENT AGREEMENT EXTENSION AND IMPROVEMENT SECURITY FOR TRACT 13542 -1 C27 Approval to execute Improvement Agreement Extension for Tract 13542 -2 Storm Draiu, located on the south side of Wilson Avenue at Canietal Avenue, submitted by Grigsby Development. (C602 -01 AGREE EXIN) RESOLUTION OF THE CITY COUNCIL Op THE CITY OF RANCHO CUCAMONGA, CALIFORNIA, APPROVING IMPROVEMENT AGREEMENT EXTENSION AND IMPROVEMENT SECURITY FOR TRACT 13542 -2 STORM DRAIN City Council minutes Octobcr 19, 1989 Page 7 M8. Approval to execute Improvement Agreement Extension for Tra.,t 10414, located on Ridgeview Avenue north of Hillside Road, submitted by Greg Lundeen. (0602 -01 AGREE F.XrrN) RESOLUIION NO. 88-624 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF RANCHO 9UCAMOHGA, C;kLIFORHIA, APPROVING IMPROVEMENT AGREEMENT EXTENSION AND LL°ROVEMENt SECURITY FOR TRACT 10414 C29. Approval to execute Improvement Agreement Extension for Tract 13057, located on the south side of Highland Avenue between Fairmont Avenue and Deer Creek, submitted by Fieldstone Company. (0602 -01 AGREE EXrN) RESOLUTION U0. 88-625 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF RANCHO CUCAMONGA, CALIFORNIA, APPROVING IMPROVEMENT ACLEMENT EXTENSION AND IMPROVEMENT SECURITY FOR TRACT 13057 C30. Approval to execute Improvement Agreement Extension for Tracts 13022 East, 13022 Vest, 13022 Major Streets, located on the vent aide of Milliken Avenuo between Fairmont Avenue and Victoria Park Lane, submitted by William Lyon Company (0602 -01 AGREE EXTN) RESOLUTION NO. 88 -626 A RESOLUTION OF THE CITY COUNCIL OF TH.T CITY OF RANCHO CUCAMONGA, CALIFORNIA, APPROVING IMPROVEMENT ACREEMRUr EXTENSION AND IMPROVEMENT SECURITY FOR TRACTS 13022 EAST, 13022 WEST, 13022 MAJOR STREETS C31. Approval to execute Improvement Agreement and Improvement Security for Pateel Hap 9350, located on the northeast corner of Base Line Road and Milliken Avenue, submitted by The William Lyon Company. (0602 -01 AGREE IMPR) RESOLUTION NO. 88-027 A RESOLUTION OF THE CITY COUNCIL Or THE CITY OF RANCHO CUCAMONGA, CALIFORNIA, APPROVING THE IMPROVEMENT AGREEMENT AND IMPROVEMENT SECURITY FOR PARCEL NAP 9350 C32 Approval to execute Improvement Agreement and Improvement Security for Tract 10210, located on the north aide of Almond Avenue, east of Sapphire Street, submitted by Nordic Development Company, a General Partner of Skyline I, City Council Minutes October 19, 1988 Page 8 Limited and Release of Improvement Agreement and Improvement Security accepted by City Council on September 4, 1985, submitted by Forecast Mortgage Company. (0602 -01 AGREE INPR) RESOLUTION N0. 88-628 A RESOLUTIOS OF THE CITY COUNCIL OP THE CITY OF RANCHO CUCAMONGA, CALIFORNIA, APPROVING IMPROVEMENT AGREEMENT, AND IMPROVEMENT SECURITY FOR TRACT 10210 AND RELEASING THE IMPROVEMENT ACREE4ENr AND SECURITY PREVIOUSLY ACCEPTED C33. Approval to release Faithful Porformance Bond and accept reducad bond to replace original for Tract 12642, 12935 -44 major streets, located on th,: east side of Milliken Avew% north of Highland Avenue, submitted by Esufman and (road. (0602 -01 BOND REL) C:,4. Approval of Improverante, release of bonds and file a notice of completion fort (0602 -01 BOND REL)(0704 -18 NOT OOMPLT) Tract 12621. located on the south aide of Arr.. Highway. between Madrone Avenue end Baker Avenue -- Release: Faithful Performance Bond (Street) $169,000 Accepts Maintenance Guarantee Bond (Street) $ 16.900 RESOLUTION NO. 80-629 A RESOL,'TIOH OF THE CITY COUNCIL or THE CITY Op RANCHO CUCAMONGA, CALIFORNIA, ACCEPTING THE PUBLIC IMPROVEMENTS FOR TRACT 12621 AND AUTHORIZING THE FILING OF A NOTICE 07 CONFLETION FOR THM WORE OR 87 -01, located on the northeast corner_of Arrov Hiehvag and Msote Plaee Faithful Performance Bond ( Strtet) $ 22,000 RESOLUTION NO. 88 -630 A RESOLUTION CF THE C1rY COUNCIL OF THE CITY OF TANCHO CUCAMONGA, CALIFCRNIA, ACCEPTING THE PUBLIC IMPROVEME,frS FOR DR 87 -01 AND AUTHORIZING THE FILING OF A NOTICE OF COMPLETION FOR THE WORE 774f East •vanua Faithful Pe,.ormanza Bond (Street) $ 9,500 S J City Council Minutes October 19, 1988 'age 9 RESOLUTION NO. ee-631 A RESOLUTIONN OF THE CITY COUNCIL OF THE CITY OF RANCHO CUCAHONGA, CILIFORNLA, ACCEPTING THE PUBLIC :19ROVEMENIS FOR 7740 EAST AVENUE ADD AUTHORIZ:HG THE FILING OF A NOTICE OF C0191ETION FOR THE WORE C35. Approval to accept improvements, release Maintenance Guarantee Bond fort (0602 -01 601,D REL) Tract 12922 located on the rorth side of Highland Avenue, east of Haven Avenue ma;ntemnce Guarantee Bond (Street) $ 10,000 Tract 11625, located on the _northvee• corner of 19th Street and Samoa Avenue Maintenance Guarantee Bond (Street) $ 42,530 Tract 9619 to eted on the northwest corner of Carnelian Street and Jasper Fitter Maintenance Guarantee Bond (Street) $ 81,350 C36. Approval to establish the 9uporvisory /Professional classification of Administrative Aide a: the salary range of $1,836 - $2,423 per month (Step 340- 390). ITEM '1SHOVED FOR DISC'J99109 PER RRQUEST FROM COUNCXLWOHAM WRIGHT. (0502- 02 PERSONNEL) 137 Approval to upgrade Sheriff's Sergeant to Lieutenant /Traffic. ITEM RENi'vv9 FOR DISCUSSION PER REQUEST FROM COUNCILWMAM BROWN- (13N1 -00 SHERIFF) C38. Approval to upgrade station clerk position to clerk fer records supervisor. ITEM REMOVED FOR DISCUSSION PER REQUEST FROM COUNCILWOMAN BROWN. (1301 -00 SHERIFF) C39 Approval to expend funds for citizen patrol vehicle for Steriff's Department in the amount of $6,000. ITRN REMOVED FOR DISCUSSION PER REQUEST FROM COUNCILWOMAN BROWN. (1301 -00 SHERIFF) C40 Approval of Proposed Intention to Conotruct the Jersey Boulevard Storm Drain between ULlca Street and Red Oak Avenue within Aneeeemant District 82 -1 and the calling for bids for #aid storm drain conotructicn (1110 -10 STORM DR) City Council Minutes October 19, 1968 Page 10 gESOLUTION N0. 88-632 i� A RESOLUTION OF INTENTION OF TUB CITY COUNCIL OF THE CITY OF RANCHO CUCAMONGA, CALIFORNIA, DECLARING ITS INTENTION TO '.A ORDER CERTAIN CRAHGES AND MODIFICATIONS IN THE DORK IN A SPECIAL ASSESSMENT DISTRICT AND SETTi2MG PUBLIC HEARING S USOLNTION N0. 88-633 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF RANCHO i, CUCAMONGA, CALIFORNIA, REFERENCING PREVAILING WAGE SCALE AND DIRECTING CALL FOR CONSTRUCTION BIDS C41. Sat public hearing for November 16, 1988 - AN APPEAL OF THE CONDITIONS OF APPROVAL FOR TENTATIVE TRACT 13738 - RODINE COMCANY --An aPP sal of five (5) •• conditions of approval perlaiaiog to utility uudergrounding, street dedications ? and improvements, emecgency access and storm drain facilities Iin require) by is a 12.881 acres ofelandf in the eVery Lou Residential Districts £ Sapphire Street youth of Almond Street (APH 1061 -091 -03). 40TIONi Moved by Buqunt, seconded by Brown to approve the Consent Calendar m,aus items C19, C36, C37, C38 and C39. Motion carried unanimously, 5 -0. a a a a a a DISCUSSION OF ITEM C19. Approval to cecu contract ( 0 88 remen f orto a design of the Red Hill Park LaLe and Amphitheater r contingency) nt Sbe funded from Capital Roseave fund Account No. 25 -4285 1OZ 7043. Russell Maguire, City Engineer, stated this was to correct the drainage problems to the lake. Councilwoman Wright asked why this wasn't included in the original design. Lauren Wasserman, City manager, responded it was, but we are trying to correct a problem because the work was not done properly. Russell Maguire, City Engineer, also stated a lot of this hes to do with the original :outractor "who bas gone under ". 3ames Markman, City Attorney, further stated we are holding performance funds which have not been released, and are also engaged in three major lawsuits over the construction of this park. What we are trying to do is Co fix the problems to find out what the total cost would be. ■ City Council Minutes October 19, 1988 F Page 11 Lauren Wasaerman, City Manager, stated thin was included in the lvdget process. MOTIONS Moved by Wright, seconded by Buquot to approve Item C19 and to obtain reappropriations from the appropriate parties. Mocioa carried unanimously, 5 -0. #,teach DISCUSSION OF ISBN C36. Approval to establish the Supervisory/Professional classification of Administrative Aide at the salary range of $1,888 - $2,423 per month (Step 340 -390). Councilwoman Wright wasted to know what this included. and ebe requested Information to justify this when people asked her questions. She felt that these typos of reclassifications should be considered only at budget time. MDTIONS Moved by King, seconded by Buquot to approve Item C6. Motion carried 4 -1 -0, Wright no. t V r ► ! DISCUSSION OF ITEM C37. Approval to upgrade Cheriff'• Sergeant to Lieutenant/ Traffic Councilwoman Brow stated that promotions made should not be brought to the City Council unless there are extreme ev_rgencias, and she did not feel teat this was an extreme emergency since in three months we will start negotiating for the new budget. Bruce 7einer, Lieutenant, stated they had upgraded the number of Sergeants in Traffic from one to two. It was felt by Captain Gilmore instead of having two Sergeants, it would be better to have a Lieutenant who could manage and direct the technical functions of the Traffic Division and a Sergeant who could supervise personnel. Councilwoman Wright asked what you ' happen if we did not approve this4 Bruce Zeiner, Lieutenant, responded be would not answer this, but they would do the best job they could. MOTIONS Moved by Buquot, secouded by King to approve Item C37. Motion carried 3 -2 -0, Wright and S -own no. s e e♦ f i DISCUSSION OF IT-H C36 Approval to upgrade station clerk position co Clerk for records aupervisor. City Council Minutes October 19, 1988 Page 12 NOTION: Moved by Suquet, seconded by King to defer until budget time. Motion k carried unanimously, 5 -0. R R R # # # DISCUSSION OF ITEM. C %0. Approval to expend funds for citizen patrol vehicle for Sheriff's Department in tl.a amount of 96,000. Mayor Stout stated thct he had heard Ralph Levis vao willing to donate more on this if we were short of money. He felt that perhaps we should consider this. MOTION: Moved by Euquet, seconded by King to approve Item C39 Notion carried unanimously, 5 -0. a R R r R a D. COHSRRT ORDINANCES D1. No item submitted. K. ADVR2TIHED PUBLIC HEARINGS E1. ENVIRONMENTAL ASLESSMENr AND SICP ORDINANCE AMENDMENT 88 -01 - CITY RANCHO CUCAMONGA - Various amendments to the Sign Ordinance regar+iag neon ai and window nigns. Continued from Sapumbor 21, 1988. Request Phat it" continued to November 2, 1985. (0807 -02 SIGNS) ORDINANCE NO. 158 (first reading) AN ORDINANCE OF THE L'ITY COUNCIL OF THE CITY OF RANCHO CUCAMONGA, CALIFORNIA, APPROVING SIGN ORDINANCE AMENDMENT 88 -01, AMENDING TITLE 14 0. THE RANCHO CUCAMOP.GA MUNICIPAL CODE TO MODIFY REGULATIONS FOR NEON AND WINDOW SIGNS AND ADSIAG PROVIS.ON FOR 181PORARY SIGNS FOR CITY SPONSORED SPECIAL EVENTS NOTION: Moved by Ring, seconded by Wright to continue item to November 2, 1988. Motion carried unanimously, 5.1. a R R a R a 92 6 iNeC M6- PbAN- AMiMIENF- 48-0 3i,--- Wli&] AM- hVBN- £AIHMNV-- 4- -requewb- tv -rsrnd twv- sires- of -tde- bead - use -Map v' _ ._i- Ciaar- Lxaeedvn- tile - ficath sidrro£ Miglriand- Hoed- at- ifillxkevdrmeme -9r3- errvs -tn- the - vest- oi- iii.;k kcm- sad. -}2.r9 �i i + l City Council Minutes'r October 19, 1988 Page 13�a acres, to the ast- of- lfiiiikem --Vhe- request" Proposerr -the- ewiiciring- of =Nadi® Resideffe+ l- M- M, righborimwi- Oesserrral- beb. een-{ he-- tv,r- ri¢ea-- �1PN- ? ?7•bcl -?? and -202 ?kl-�. WITNORAWM BY APPIC►M£ (0103 -03 CP AMEN) • • a t a a E3. RNVi*OH iWAh ARSrSSMEN D- AMD- Lrl9ifiP. FA-+] ONNII Rgi�-- P'a1M- +U6'M0t6#HL- 88 -Fr7` '5 " IiaabFAM- 6YeN- 001Q43.'Y-- A- serve - era -sites-of -tilla yietoriw-8os•aniiy )� P} aa- aavd- Nee- lfapt- locate4-,c the Leath -rids E-Migtri and- Ro,d- rt- Mirlikeo A. none oe-9i3- acre rto- the -rmet of -1 iikiken --,a Hc=9 cze.- to-i_. - -' oE- MiHikear Thv- Tequest- vropo 04-24 droki 'inK-ceite"'pe�-+cte)-'to-�a Medic leridevtiai- dc►istttiae-�8-- li-- drekki� a¢rtr- per- mai-, md-- systeiriseg -tke-desigatien-ei-i'r tro- sites--to-Meigbborhaod eoanaercmi*4•-oa-thm a3thex-t carrier ad "lied iem- Reefde tiai-- ee- tM-- evaeh+est corner-- APM -44i- Oki- 2d- am(- 2022k1 -fr8. WITHDRAWN BY APeIwxr (0203 -05 VCY �, AMEN) a a a a+ f E4. ENVIRONMEYrAL ASSESSM4MT AND GENERAL PLAN AMENDMENT 88 -03: - UNITLX - A request to amend the Coastal Plan Land Use Map fro. Very Low Density Reoidencial (1 -2 dwelling unite per acre) to General Commercial for 57.5+ acres of land located mouth of 24th Street between Cherrj Avenue and the I -15 Freeway. The City Council will cooaider other appropriate General Plan land use categories (Neighborbood Commercial, one Office) - APN 5:26- 121 -03, 11, 12 and 226- 112 -03. Staff report presented by Also Warren, Associate Planner. (0203 -03 GUN PLAN) Mayor Stout opened the s,.eeting for public hearing. Addressing Council vast Dirk Johnston, from Unl :ez, encouraged support of the Planning Commission's decision and concurred with the Planning Commission recomm.todation. There being no further public comments, Mayor Stout elosud the public hearing. Councilwoman Wright erpressed this was opposed to the intention of several years ago, and she did not vent a commercial image along that corridor and felt this should bn left "VV. Mayor S -out felt thrs was not a good location fo- residential with a freeway on one aide and divided highway on the other. Directly to the north is Fontana's Hunter's Ridge with a very high density Me felt the site was suitable for a commercial development with a lot of residential on the Fontana side, and concurred with the +lanning Comm"siou City Council Minutes Oetnber 19, 1988 Page 14 RESOLUTION N0. 68-634 A RESOLUTION OF THE CIIY COUNCIL OP THE CITY OF RANCHO CUCANONCA, CALIFORNIA, RECOMMENCING APPROVAL OF GENERAL PLAN AMENDMNT 88 -03C, TO AMEND THE CENEL%L PLAN LAND USE MAP FRO)! VERY LOW DENSITY RESIDENTIAL (1 -2 DUELLING UNITS PER ACRE; TO GENERAL OO)Q6RCIAL FOR 57.5* ACRES OF LAND LOCATED SOUTH OF 24TH STREET BEIWEEN CHERRY AVENUE AND THE I -15 FRB14Ay, RANCHO CUCAMONGA, CALIFORNIA AND MARE FINDINGS IN SUPPORT THEREOF - APN 226- 121 -08, 11, AND 12 MOTION[ Moved by Ring, cecouded by Buquet to approve General Plan Amendmeat 88 -03C. )lotion carried 4 -1 -0. Wright no. E5. EM7IRONHENTAL 64Saaanae. ...... .— _p________ L' Yn Low UNITEX -- A raquaet to amend the Etivandu 9 eeific Plan Nap from rY density residential, 1 -2 dwelling units per acre) to 11CCt1 (General Commercial) for 57.5+ seras of land located south of 24th Street batween Cherry Avenue end the I -15 Freeway; and from "FC" (Freeway Commercial) to "CC" (Central Commercial) for 6.5 acres of land at the Westerly eonjunctiou of Cherry Avenue and the 1-15 Freeway. The City Council will cousidev other appropriate Etiwanda Specific Plan land use catctoriea (Neighborhood Commercial, Convenience Commercial, Preaway-Related Commercial, Office /Profeasioaal) - AIN 226 - 121.78, 11, 12, and 226 - 112 -03. (0203 -05 ETIW BP) ORDINANCE NO. 376 (first reading) AN CZ CUCAMONGA,CALIFORNIA, APPRO O I VINC ETIWANDA SPECIFIC PLAN AMENDMENT 88 -05, AMENDING THE ETIWANDA SPECIFIC PLAN LAND USE MAP FROM "VL" (VERY LOW) DENSITY RESIDENTIAL (1 -2 DWELLING UNITS PER ACRE) TO "CC" (GENERAL CO1ORRCI;1Q FOR BETWEEN CHERRY CHERRY AVEN AND O ON THS SOUTH SIDE THL I--15 FREEWAY; AND F STREET FROM WEEN (FREEWAY COMERCIAL) TO ",;C" (GENERAL COMMBRCLAL) FOR 6.5 ACRES OF LARD AT THE NES't11RLY CONJUNCTION OF CHERRY AVBNUE AND THE I -15 FREEUAY, RANCHO CUCAMONCl., CALIFORNIA - APN 226- 121 -08, 11, 12, AND 226 -112 -03 City Clerk Authelet read the t.tle of Ordinance 376. NOTIONS Moved by Ring, seconded by Buquet to waive ful. rending of said Ordinance apl.rr•.iug ESP Amendment 88 -05 and eat eecoad reading for Noverber 29 1983 Motiva carriea unanimoualy, 5 -0. City Council Minutba October 19, 1988 Page IS t * *M * * a 06. ENVIRONMENTAL ASSESSMENT AND GENERAL PLAN AMENDMENT 88 -03B - OUINTESdENCE DEVELOPMERr - RELATED FIL31 TENTATIVE TRACE 13359 - A request to amend the Land Use Map of the Ceueral Plan from Park to Vary Law Residential (loss than 2 dwelling units per acre) for 3.85 acres located on the Cast aide of Sapphire Ctreet, south of Hillside Road - APN 1061- 691 -11. Staff report presented by Brad Buller, City Planner. (0203 -03 GP AMEN) Mayor Stout opened the meeting for public hearing. There being no response, the public hearing was closed. Councilman Buquet eryressed we should keep the park design next to the school. Councilman King expressed he was not sure we needed another Park up in that area. Mayor Stout expressed that staff's floating designation ouageati s, us a corrbct one. Councilwoman Wright stated she vac going to abstain because it was in her backyard. RESOLUTION 110. 88 -635 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF RANCHO CUCAMONCA, CALIFORNIA, APPROVINC GENERAL PLAN AMENDMENT 88- 038 TO CHANCE THE LAND USE DESIGNATION FROM PARK TO VERY LOW RESIDENTIAL (2 DWELLING UNITS PRR ACRE) ON 3.85 ACRES ON THE EAST BIDE OF SAPPHIRE STREET, SOUTH OF HILLSIDE ROAD, RANCHO CUCAMONGA, CAL17ORNIA AND MAKINU FINDINGS IH SUPPORT THEREOF NOTION: Moved by King, seconded by 3rown to approve Resolution No. 88 -635 approving CPA 88 -03B and grant a negative declaration. Notion carried, 3 -1 -0-1, Buquet no, Wright abstain. * a * * * * EI COMMUNITY DEVELOPMENT BLOCK CRAWL HOUS INC ASSISTANCE PLAN FOR 1989 -199 Ident[fytng need for housing as s[a Cance in the City of Rancho Cucamonga required by the U. S. Department of Housing and Urban Development. Staff rbpurL presented by Larry Henderson, Senior Planner. (0203 -04 COED) Mayor Stour opened the meeting for public hearing There being no resp.snee, the public hearing was closed. City Council Minutes Octobar 19, 1988 Pogo 16 RESOLUTION Na. 88-636 A RESOLUTION OY THE CITY COUNCIL OF THE CITY Jr RANCHO CUCAMONGA, CALLFORNIA, ADOPTING TN.° HOUSING ASSISTANCE PLAN yOR To 1989 -1991 COMMUNITY DE7ELOPMEVr BLOCK GRANT PROGRAM NOTION: Moved by Brow, seconded by Buquet to approve Resolution No. 88 -636. Notion carried unanimously, 5 -0. a a a a a e NO= t Item C3. Status on the Thomas House was considered At this point in the agenda; however, the minutes remain in the original printed agenda form. a a e a a a E8. ENVIRON;ENTAL ASSEgSHZNT AND DEVELOPMENT REVIEW bB -t1 - mata.wa caw ASSOCIATES - ,a appeal of conditions of approval for a 6,385 square foot t- o- sto — ee busidtog on .40 acres of land on the couthwest corsr of Vineyard Foothill nBoul Boulevard Specific Plan - APNo 07 102 -09. Staff report presented the Chris Westman, Assistant Planner, and Sarrye Manes, Souior Civil Enlaeer. (1002 -08 D)ZV REV) Mayor Stout opened the meeting fnr public hearing. Addressing Council were: Ed Combs, ovneq preseuted the reason for the appeal and epcouraged Councils consideration. Tom Matlock, project architect, addressed his objections to the arbor/ trellis, and that he wantad to have it removed. There being no further public ioput, Mayor Stout closed the public hearing. Council discussed each item individually as followst A. Alternate Roof Material Councilman Ring expressed we have metal roofs going up all over the City and felt is was absurd not to allow a metal roof. tlayor Stout stated this project vent through the design review process and tt we a fairly attractive building, so he did not have a problem, but felt we should look at the change in the Poothill Specific Plan. Councilwoman Wright stated she felt this cotner should be master planned. 6 City Council Minutes October 19, 1988 Page 17 Councilwoman Brow expressed that in this case, and at it is time, leave the metal roof. Councilman Buquet also stated we should leave the metal roof. Metal goof decision was 4 -1 -0, Wright no. B. An Arbor /Trellis in the Plaza Councilwoman Brown stated yam; Mayor S.out stated yes; Councilman King stated yea; Councilwoman Wright stated yam; and Councilman Buquet stated yes. C. Engineering Special Condition 1-4 NOTION: Moved by King, seconded by Buquet to adopt Engineering's recommendation on Item 4, since items 1 -3 ware witbdravo. Notion carried unanimously, 5-0. D. Historic Preservation Commission Recommendations Councilman King felt we should not require the survey. Councilwoman Wright felt we were dealing with this in a flippant way. James Markman, City Attorney, stated the condition is defective. If you are going to deal with it, then you are going to have to require someone else to deal with it. If you find something be:ore, you can issue a demolition permit. MOTION: Moved by King, seconded by Buquet to grant the appeal as it relates to roof design, as it relates to the arbor /trellis, as it relates to the engineering condition, ana great appeal regarding the archeological study, and concur with Planning Commission conditions and incorporate the prior vote to not dooignate this as a historical landmark. Notion carried 4 -1, Wright no. F1. No items submitted. f a e e Y a P. PUBLIC BEARfNGS ♦ w a e a e C. CITY MAMACER'8 STA7P REPORTS City Council Minutes October 19, 1988 page 18 ■ Gl. CITY -WIDE SMOKING ORDINANCE - Recommendation from the Advisory Comm.adina to consider an Ordinance permitting smoking in certain facilities and arras .a the City. Continued frua August 17, 1988. Request that item be continued to November 16, 198.". (1403 -00 ENVIRON) MOTIONC Moved by Buquet, seconded by King to continue item to novembar 16, 1988. Notion carried unanimously, 3 -0. r r • + r r C2. nan+yau amen mJa - Lee ulacurac rreearvasaoa w®laslw nas recd ®anaea point of interest designation for the euealyptua treef on the vest side of Hellman Avenue between Bsoo Live and La Ronda. Staff report presented by Arlene Banks, Associate planner. (1402 -06 HISTORY) Mayor Stout opened the meeting for public input. There being no response, Hryor Stout closed the public Leariop. Councilman Ring expressed it was ridiculous to keep thnse trexol there were older trees in the rammuaity than these. Mayor Stout also expressed there were more vindrova in the City with more historical significance, and he was concerned vith the traffic on that street. Russell Maguire, City Engineer, stated that having the trees there would present some problems; without the trees they could proceed with correcting some problems. RESOLUTION NO. 88-637 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF RANCEO CUCAMONGA, CALIFOINIA. APPROVING DESIGNATION OF THE HELLMAN AVENUE WINDROW LOCATED NORTH OF BASE LINE, SOUTH OF LA RONDA, AS A POINT OF HISTORIC INTEREST MOTION, Moved by Wright, seconded by Buquet to approve Resolution No. 88 -637. Motion carried 4 -1, King no. t r a m* G3 STATUS REPORT ON THE THOMAS HOUSE, 7980 VINEYARD AVETUE - The Dietetic Preservation Commission reconsidered its recommendations to designate the Thonao House as a landmark and voted not to recommend designation. Staff report presented by Arlene Banks. (1402 -06 HISTORY) Mayor Stout opened the meeting for public hearing. Addressing Council was: City Council Minutes October 19, 1988 Page 19 Ed Combo, owes, stated the issue is that the house stays an the list for consideration in the future if this development should fall through. He felt it should be either a yes or t. •esolutiuu. Tnere being no further public input, Mayor Stout closed the public hearing. James Markman, City Attorney, stated that this did leave him in a nebulous Position unless the present development become a reality. If the development doesn't happen, he will still 'as on the list, which meats he must get a redetermination. Councilman Buquet expressad the cost to do a documentation for historical purposes should be done by the proponent. Councilman King expressed vn should make a decision once and for all, and felt that this should not be declared a historical landmark and to remove it from the list. Couneilwuman Brow also felt the designation should be made tonight. HOTIONt Moved by King, seconded by Wright to not designate this a historical landmark. Motion carried unanimously, 5 -0. HDTION1 Moved by Ring, seconded by Brow to de -ete chit from the list and immediately subsequent have documentation done by owner with staff satisfaction prior to issuance of demolition pe -mite. Motion earr;ad unanimously, 5 -0. e a s a a e G4. NORTHEAST ETIWANDA COHHUtIITY PARK PROJECT FINANCING - Consideration to designate the City proceed with The sale of Cartificat.. of Participation to reimburse the general fund or other available moseys for the acquisition of land ralottng to the Northeast Community Park Project. Staff report presented by Lauren Wasserman, City Manager. (1404 -05 PARK) RESOLUTION NO. 88-678 A RESOLUTION OF THE CITY COUNCIL OF TIAE CITY OF RANCHO CUGIMONGA, CALIFORNIA, PROVIDING THAT PAYMENTS FADE BT THE CITY IN CONNECTION WITH Th- ACQUISITION OF LA-40 RELATING TO THE NORTHEAST STIWANDA COIDUINITY PARK PROJECT ARb TO BE MADE IN ANTICIPATION OF REIMBURSEMENT FROM THE PROCEEDS OF A PLANNED LEASE FINANCING WITH CERTIFICATES OF PARTICIPATION TO BE ACCOMPLISHED BY THE CITY AND AUTHORIZING AND DIRECTING CERTAIN ACTIONS WITH RESPECT THERETO City Council Minutes October 19, 1988 Page 20 MOTION: Moved by Buquet, seconded by King to adopt Resolution No. 88 -638. Motion carried unanimously, 5-0. a r e a e e GS. COMPLAINT RECEIVED BY RBSIDBNIS REGARDING INSTALLATION OF PENCE FOR BRIDLE TRAIL ON BAPPHIRB. 1180 -30 COMPLAINT)(1404-08 TRAILS) Mayor Stout opened the meeting for public input. Addroseing Council were: Beth Hagenan, resident of Marble Avenue, presented the City Council wLth petitions containing 90 signature[ requesting the removal of the fence along Bappbira. She read the following letter into the minutes by Levels ALlatti, past vice president of the Alta Loma Riding Club: October 19, 1988 Docnis L. Stout, Mayor, City of Rancho Cucamonga City Council, City of Rancho Cucamonga Subject: Bridle Path Construction an Sapphire Street Dear Mr. Mayor and Honorable Councilmembara: On 12 October 1988, Rory Beth Hagensa, a personal frioad, called me as a resident and a long -time area equestrian to observe the subject bridle path under construction and to give bar my opinion as to its placement and impact upon the safety of both auto access to Marble Avenue and horses using the facilities. I had not been previously aware of this project as I seldom use Sapphire Street, Subsequently, I drove to the area an that date and returned today. On both trips I observed that at least two major problems regarding safety do seen obvious. Autur attempting to access Sapphire Street from either Marble or the street d.e north of Merble cannot can traffic which is approaching from the north. Sven though the traffic stop line has besa repositioned, it was necessary for ma to pull my auto two fact onto Sapphire to see any cars travelling south un that street. The white poste were too tall for me to see over the top of the hill. Although traffic was light at 10 :00 a.m. this day, it took me seven minutes to make a cafe left turu onto Sapphire from Marble and five minutes to make a safe cross to Lemon. 2. The bridle path itself is only nine feet vide. Other members will any it is alter than that. This is not sufficient room for horses to pass . '-ly under all conditions. After measuring the width, I parformao an experiment at my hone with as average size fifteen hand City Council Minutes October 19, 1988 Page 21 quarter horse and western equipment fi.e., a standard western saddle aci hridle) with my 5'4" adult daughter rid'og the animal. A standard four foot pipe corral gato barely permitted passage of horse and rider. Emtrapolatieg to a nine foot pathway with a high cement wall, which is currently what's going north -south on Sapphire, on me side, and a post and rail on the other, it will allow barely eight inches between call, fence, and horse if two pats at a walk. Assuming all riders are mall and all horses are under control, this is not adequate. Uafortunately, people and horses arc net always under control. r +' I then asked a friend, also a long -time resident and horse owner, Sus Eufiart, to lack at the area and give mn her opinion. She vas also @backed ° at the safety issues for both autos and riders. She was unable to make a left -hmnd turn for several minutes off Marble at approximately 11 t3O a.m. today, and had to piece her car one to two feet onto Sapphire to see d southbound. Since traffic cones were in place today due to the work, us are both concerned that southbound traffic would be harder to see if the i cones were not there. r f. It seems to both Mrs. Earhart and myself that the bridle path itself serves r" purpose as that particular area is rarely used by riders in the ,mmunity. We both toured the tract involved and saw no evidence of d /uestrian use at this time. We both agree that lowering the white posts .t least one fact Would probably help visibility somewhat, but that if the path remains as iss some additional traffic control is definitely needed. Possibly a four -way stop at the Lannon /Marble /Sapphire intersection will allow the tract to enter traffic flow in a safe and expedient manner; however, the narrowness of that section of the bridle path makes safety for horses and riders an issue that should be addressed as veil. Both Mrs. Earbart and uyself are past officers of the Alta Loma Riding Club and have been involved with horrushw management and safely issues. We are most concerned that both reeidents and the equestrian comunity remain on good terms with one another and that safety for all residents is a primary issue here. I have asked Mrs. Maganan to deliver and /or to read this latter to you as my health prevented ma from attending this mating in person. Plasma feel free to call me at home at any time regarding this isms. Sincerely, Lassie Auletti David Lakeman, resident of Marble Avenue, presented pictures taken by Linda Valenti. 4he,e being no further response, Mayor Stout closed the public hearing. City Council minutes October 19, 1988 Page 22 Mayor Stout stated be felt this should be referred to the Planning Commission and to the Public Safety Comsiniou. ACTIONt Council concurred to refer this item to the Novomber 1, 1988 Public Safety Commission mooting and to the November 9, 1986 Planning Commission i meeting. a a a a a a C6. "POINTlO1N26 FOC TASK FORCE TO REVIEW PARK AND RECREATION FACILITIES- ' Appointment of ono councilmember sad designation of Mayor to nerve on task force to review park and recreating facilities. Staff report presented by Joe Schulte, Co ®unity Servicos manger. (0701 -01 APPOINT) 1 ACTIONi After conai.derable discussion, City Council concurred in the following actionst 1. Drop the Planning Commission (Mayor Stout opposed the dropping of the Planning Commissioner) and City Councibmcmber. 2. Advertise. 3. Cat list of people together. 4. Obtain a proposal from a facilitator. 5. Staff ealect ten people at large. 6. Consideration of Catherine Bridge as Chairperson. 7. Bring the item back an November 4, 1988 to make the appointments, a a r a r a Hl. a. COUNCIL BUSINESS a awau - Tula act provides for A bond issue a W library conotruction and renovation program. NOTIONS Moved by Buquet, seconded by Kiag to support Propmltica 85. Mociov carried unanimously, 5 -0, a a a a i I. IDENTIFICATION OF ITEMS FOR WE= NOTING L1 Councilwoman Wright suggested that a joint meeting with the Historic Proservntion Commission be set. a a a a a a Jl. There core none. J. 00lOAMUT20as PBCM Tug PUBLIC ♦eeree City Council Minutes October 19, 1988: Page 23 K. AUJOOOIkglff rfDTIOMt Moved by Buquat, seconded by Ring to adjourn. Meeting adjourned at 11:50 P.M. gespectf-My submitted, Beverly A. 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N. ........ .. .. 0 JERSEY DELI LOCATED: 10700 Jersey Blvd. 1100 Rancho Cucamonga, CA 91730 PROPERTY IS CURRENTLY LONED: General Industrial Zoning of Adjacent Properties: North: General Industrial South: Minimum Impact /Heavy Indur�rial East: General Industrial West: General Industrial APN NUMBER: 20914221 by: Eliza E Harms October 26, 1988 II 1 H G.7 oC F N O T14 I .t. — Y�iVt*Y�""Ytr1.V•_•'aM nur• 1'L1r•+itr• _•xv El - JERSEY DELI o ' t JS - JERSEY_ BOULEVARD._ - JERSEY DELI LOCATED: 10700 Jersey Blvd. 1100 Rancho Cucamonga, CA 91730 PROPERTY IS CURRENTLY LONED: General Industrial Zoning of Adjacent Properties: North: General Industrial South: Minimum Impact /Heavy Indur�rial East: General Industrial West: General Industrial APN NUMBER: 20914221 by: Eliza E Harms October 26, 1988 II 1 H G.7 oC F N O T14 I N z y" K S Y 1 N CITY OF RANCHO CUCAMONGA STAFF REPORT DATE: November 16, 1988 TO: City Council and City Manager FROM: Russell H. Maguire, City Engineer BY: Steve M. Gilliland, Public Works Inspector„ SUBJECT: Approval of Improvement Agreement Exten,:an for Tract 12944, located on the east side of Milliken Avenue, north of Hillside Road, submitted by Marlborough Development RECORF"TION It is recommended that the City Council adopt the attached resolution, accepting the subject agreement extension and security and authorizing the Mayor and City Clerk to sign said agreement. ANALYSIS /BACKGROUND Improvement Agreement and Improvement Security to guarantee the construction of the public improvements for Tract 12944 were approvid by the City Council on August 7,1986, in the following amounts. Faithful Performance Bond: =135,000.00 Labor and Material Band: $ 67,500.00 The developer, Marlborough Development, is requesting approval of a 12 -month extension on said improvement agreement. Copies of the Improvement Agreement Extension are available in the City Clerk's Office. Respectfully submitted, RHM:.W:sjm Attachments W , RESOLUTION NO. S / (0 (:V v A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF RANCHO. CUCAMONGA, CALIFORNIA, APPROVING IMPROVEMENT AGREEMENT EXTENSION AND IMPROVEMENT SECURITY FOR TRACT 12944 WHEREAS, the City Council of the City of Rancho Cucamonga, California, has for its consideration an improvement Agreement Extensinn executed on November 16, 1988, by Marlborough Development as developer, for the improvement of public right -of -way adjacent to the real property specifically d' vcribed therein, and generally located on the east side of Milliken Avenue, north of 41llside Road; and WHEREAS, the installation of such improvements, described 'n said Improvement Agreement and subject to the terms thereof, is to be done in conjunction with the development of said Tract 12944; and WHEREAS, said Improvement Agreement Extension is secured and accompanied by good and sufficient Improvement Security, which is Identified in said Improvement Agreement Extension. NON, THEREFORE, the City Council of the City of Rancho Cucamonga, California hereby resolves, that said Improvement Agreement Extension and said Improvement Security be and the same are hereby approved and the Mayor is hereby authorized to sign said Improvement Agreement Extension on behalf of the City of Rancho Cucamonga, and the City Clerk to attest thereto. 0 — CITY OF RANCHO CUCAMONGA STAFF REPORT DATE: November 16, 1988 _ TO: City Council and City Manager FROM: Russell N Maguire, City Engineer BY: Linda Beek, Engineering Technician SUBJECT: Approval of Impro -ement Agreement and Improvement Security, for Tract 10210, located on the north side of Almond Avenue, west of Sapphire Street, submitted by Nordic Development Company, a General Partner of Skyline I, Ltd. and release of Improvement Agreement and Isprovement Security accepted by City Council on September 4, 1985, submitted by Forecast Mortgage Company RECO1/E)"TION It is recommended that the City Council adopt the attached resolution accepting the subject agreement and security, and authorizing the Mayor and the City Clerk to sign said agreement and to release the agreement and security accepted by City Council on September 4, 1585. ANALYSIS /BACKGROUND Tract 10210, located on the north side of Almond Avenue, west of Sapphire Street, was approved by the City Council on September 4, 1985. The Developer, Nordic Development Company a General Partner of Skyline 1, nt Ltd., is submitting an agreement and security to guaraee the construction of the off -site improvements in the following amounts: Almond Intercept Tract 10210 aCry nne- Faithful Performarce Bond: $557,700.00 $587,400.00 Labor and Mate -tat Bond $278,850.00 $293,700.00 The above mentioned security replaces the security accepted by City Council on September 4, 1985, from Forecast Mortgage. Copies of the agreement and security are available in the City Clerk s Office. The acceptance of the abovementioned securities does not guarantee the issuance of any trading, construction or building permits. Respectfully submitted PHN:LB:JAA:jmb Attachments �4 [: f,, . to :.e: •_..v -.; _, _ � � .'ci 't � .i:.," e p 'l RESOLUTION NO. A RESOLUTION OF )HE CITY COUNCIL OF THe CITY OF RANCHO CUCAMONGA. CALIFO NIA, APPROVING IMPROVEMENT AGREEMENT, AND IMPROVEMENT SECURITY FOR TRACT'NO. 10210 AND RELEASING THE IMPROVLVK AGREEMENT AND SECURITY PREVIOUSLY ACCEPTED WHEREAS, Tract No. 10210 located on the north side of Almond ?° Avenu7e, west of Sapphire Street was approved by City Council on Septewber 4, 4d� 1985; and WHEREAS, Nordic Development Company, a General Partner of Skyline I, Ltd., has offered the Improvement Agreement submitted herewith for approval and execution by said City, together wfth'good and sufficient Improvement i' Security. Said Improvement Agreement and Improvement Security replaces lorrovement Agreement and Irprovament Security accepted at the City Council w Ling of Septaober 4, 1985. Acceptance of said Agreement and Security does no: guarantee the issuance of any grading, construction or building permits. " NON, THEREFORE, THE CITY COUNCIL OF THE CITY OF RANCHO CUCAMONGA, HEREBY RESOLYES as follows: 1. That said Improvement Agreement b; and the same is apprcved and the Mayor is authorized to execute score on behalf of said City and the City Clerk is authorized to attest thereto; and 2. That said Improvement Security is accepted as good and sufficient, subject to approval as to fors and content thereof by the City Attorney; and 3. That the offers for dedication and the Final Map d^lineating same be approved and the City Clerk is authorized to execute tha certificate thereon on behalf of said City. _j+ 16 4 10 A x °z SAPPHI FE S--T TREET I ) i — CITY OF RANCHO CUCAMONGA STAFF REPORT DATE: November 16, 1968 TO: City Council and City Manager FROM: Fussell H. Maguire, City Engineer BY: Millie Yalbuena, Engineering Technician SUBJECT: Approval of Improvement Agreement, Improvement Security and Mo:umentation cash deposit for Tract 13441, located at the northeast corner of Victoria Park Lane and Kenyon May, submitted by Grupe Development Company - Southern California and release of previously submitted Improvement Agreement Security and Monumentation deposit accepted by City Council on September 15, 1987, from the William Lyon Company. RECOMMENDATION It is recoanended that the City Council adopt the attached resolution accepting the subject agreement and security, reieasing Improvement Agreement and Improvement Security accepted by City Council on September 16, 1987, and authorizing the Mayor and the City Clerk to sign and release said agreements and authorizing the Finance Department to refund the Monmentation cash deposit. ANALYSIS /BACKGROUND Map and Improvement Agreement and Security for Tract 13441, located at the northeast corner of Victoria Park Lane and Kenyon May, .ms approved by City Council on December 16, 1987. The new Developer, Grupe Development Company - Southern California, is submitting an agreement and security to guarantee the construction of the off- site Improvements in the following amounts: Faithful Performance Bond: $300,000.00 Labor and Material Bond: $150.000.00 Monumentation: $ 7,650.03 Copies of the agreement and security are available in the City Clerk's Office. Respectfully submitted, Attnchcents I �, RESOLUTION N0, v q " G imp i A RESOLUTION OF THE CITY COUNCIL OF 714E CITY OF RANCHO CUCAMONGA., CALIFORNIA, APPROVING IMPROVEMENT -AGREEMENT AND IMPROVEMENT SECURITY FOR, TRACT 13441 AMD RELEASING THE IMPROVEMENT AGREEMENT AND SECURITY PREVIOUT ACCEPTED BY CITY,COUNCIL GN OECEXBER 16, 1987 WHEREAS, the City Council or the City of Rancho Cucamonga, California, has for its consideration an Improvaeent Agreement executed on October 10, 1988, by Grupe Developeent Copan - Southern California as developer, for the improvement of public r1rt -of -way adjacent to the real Property specifically described therein, and generally located at the north:aat corner of VictorI% Park Lane and Kenyon Way; and release of previously submitted Improvement Agreement Security and Nonumentation deposit accepted by City Council on September 16, 1987, from the William yon Company WHEREAS, said Improvement Agreement is secured and accompanied by good and sufficient Improvement Security, which is identified in said Iprovtment Agreement. NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF RANCHO CUCAMONGA, +t HEREBY RESOLVES that said Improvement Agreement and said Iprovsmnt Security be and the same are hereby approved, release of previously submitted Improvement Agreement Security and Monmentation Deposit accepted by City Council on September 16, 1987, from the William yon Company, and the Hayor is hereby authorized to sign said Improvement Agreement on behalf of the City of Rancho Cucamonga, and the City Clerk to attest thereto. is CITY OF RANCHO CUCAMONGA FaramTMUNG DMMON N 1TE1lL. __TC' 1341111 1 CiTY OF RANCHO CUCAMONGA STAFF REPORT DATE: November 16, 1388 TO: City Council and City Manager FROM: Russell H. Maguire, City Engineer BY: Linda Reek, Engineering Technician SUBJECT: Approval of Map, ;improvement Agreement, Improvement Security and Ordering the Annexation to Landscape Maintenance District No. 1 and Street Lighting Maintenance District Nos. 1 and 2 for Tract 13367, located on the north side of Highland Avenue, between Amethyst Street and Hellman Avenue, submitted by Homecoming Partners, Ltd. RECOMENDATION It is recommended that the City Council adopt the attached resolutions approving Tract 13367, accepting the subject agreement and security, ordering the annexation to Landscape Maintenance District No. 1 and Street Lighting Maintenance District Nos. 1 and 2, and authorizing the Mayor and the City Clerk to sign said agreement and to cause said map to record. ANALYSIS /BACKGROUND st MO Amethyst Faithful Performance Bond: $298,819.00 $83,500.00 $19,000.00 Labor and Material Bond: $149,410.00 41,750.00 9,500.00 Copies of the agreement and security are available in the City Clerk's Office Tract 13367, located on the north side of Highland Avenue, betteen Amethyst Street and Hellman Avenue, in the Low Density Residential Development District, was approved by the Planning Commission on July 8, 1987, for the division of 6.87 acres into 19 lots. The Developer, Homecoming Partners, Ltd., is submitting an agreement and security to guarantee the construction of the off.-site improvements in the following amounts: EIS Amethy ma Letters of approval have been received from the high Scheel and elementary School districts and Cucamonga County Water District. The Consent and Waiver to Annexation form signed by the Developer is on file in the City Clerk's office. RespectfullyJ submitted, �'�++.f+, / %. Ross,# M� w RNM:LB:JAA:iy Attachments o2 0 ae 1 RESOLUTION NO. C =.� A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF RANCHO CUCAMONGA, CALIFORNIA, APPROYING !N ROYEMENT AGREEMENT, IMPROYEHEHT SECURITY, AND FIND. MAP OF TRACT 00. 13367 i WHEREAS, the Tentative Map of Tract No. 13367, consisting of 19 lots, submitted by Homecoming Partners, Ltd., Subdivider, located tin the north side 0f Highland Avenue, between Amethyst Street and Hellman Avenue has been submitted to the City of Rancho, Cucamonga by said Subdivider for approval by said City as provided in the Suodivfston Map Act of the State of California, ? and in compliance with the requirements of Ordinance No. 28 of said City; and WHEREAS, to meet the requiremeots established as prerequisite to approval of the Final Map of said Tract said Subdivider has offered the Improvement Agreement btsu for arexecut by sold C1ty,togethe withgood and fficient I� roverentSccuity, and s ubmiu for approval said Final Map offering for dedication for street and highway purposes t e streets delineated thereon. NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF RANCHO CUCAMONGA, HEREBY RESDLYES as follows: a� 1. That said Improvement Agreement be and the same is .° approved and the Mayor 1s authorized to (xecute same on behalf of said City and the City Cler, is authorized to attest thereto; and 2. That said ImprovewLit Security 1s accepted as good and sun lcient, subject to approval as to form and content thereof by the City Attorney; and 3. That the offers for dedication and the Final Map delineating same be approved and the City Clerk is authorized to execute the certificate thereon on behalf of said City. ai �t I u' j 1 I I- I J.- 1..11 -. - -L 1 i ._i_ H/d.VL.4HO .gwrlvex '' +rirc �� /�vwvv CITY OF RANCHO CUCAMONGA 1 a� ntum -rT 1334.'1 TzTqa SITE MAP N 'y A FJCH�1'l�_ L7 RESOLUTION N0. v 0 ' (0 �v� A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF RANCHO cCCPAW -A, CALIFORNIA, ORDERING THE ANNEXATION OF CERTAIN TERRITORY TO LANDSCAPE MAINTENANCE DISTRICT NO. I AND STREET LIGHTING MAINTENANCE DISTRICT NOS. 1 AND 2 FOR TRACT 13367 VHEREAS, the Cit7 Council of the City of Rancho Cucamonga, ' California, has previous ?y formed a s acial wadintanance district pursuant to the Part terms of the Streets'Landscaping HighwaysLCodi: f he State7of,COlifornia,ssaidl5, special maintenance districts kuooiw and designated as Landscape Maintenance ilatnt¢nancs District NoL1gb (hereinafterareferredrtotasothe 'Main enancel9hting District "); and 2 WHEREAS, the provisions of Article 2 of Chapter 2 of the "Landscaping and Lighting Act of 1972' authorize the annexation of additiontl territory to the Maintenance District; and WHEREAS, at this Lima the City Council is desirous to take Incorporated to by the thisrefeerencedrto ¢thenMaintenance "District; andet0 and WHEREAS, all of the owners of pruperty within the territory proposed to be annexed to the Maintenance District have filed with the City Clerk their written co-)sent to the proposed annexation without notice and hearing or filing of an Engineer's 'Report" NOW. THEREFORE, THE CITY CWNCIL OF THE CITY OF RANCHO CUCAMONGA HEREBY RESOLVES AS FOLLOWS: SECTION 1: That the above recitals are all true and correct. SECTION 2: That !his legislative body hereby orders the annexation of described inrExhibit shown attachidihereto to the Maintenance ®Districts SECTION 3: That all future proceedings of the Maintenance District, including TFe—T of all assessments, shall be applicable to the territory annexed hereu Ter. a3 ASSESSMENT DIAGRAM LANDSCAPE MAINTEI#ANCF DISTRICT NO. 1 STREET LIGHTING MAINTENANCE DISTRICT NOS. 1 AND 2 I 13 5TAR MWD Kc4w. CITY OF AJWc HO CUCAMONGA COUNTY or "y BRA? mmniO TE OF CALEFORNIA � � p 'v. EXHIBIT •B• PROJECT NNE TRACT 13367 NO. OF D.U. OR ACREAGE: 19 lots NO. OF ASSESS. UNIT: 19 unit- STREET LIGHTING MAINTENANCE DISTRICT s District No. i 1 2 No. of La s to be Annexed 38D0��56DC- 13 --- --- --- - -- 3 --- °- --- --- LANDSCAPE MAINTENANCE DISTRICT Turf Ground Cover Trees District Ho. Street Have Sq. ft. So. ft. Ea. 1 amethyst St. /Highland Ave / - -- 14950 80 Hellman Ave. W, W., — CITY OF RANCHO CUCA 1ONGA STAFF REPORT ` DATE: November 16, 1988 TO: City Council and City Manager FROM: Russell H. Maguire, City Engineer BY: Willie Vaibuena. Engineering Technician SUBJECT: Approval of Parcel Map 10783, and Ordering the Annexation to Landscape Maintenance District No. 1 and Street Lighting Maintenance District Was. 1 and 2 for Parcel Map 10783, located at the northwest corner of Archibald Avenue and Hillside Road, submitted by Peter Tolstoy. RECOMMENDATION It is recommended that City Council adopt the attached resolutions approving Parcel Map 10783 and ordering the annexation to Landscape Maintcnance District No. 1 and Street Lighting Mainte:ance District Nos. 1 and 2, and authorizing the City Clerk to cause same to record. ANALYSIS /BACKGROUND Parcel Map 10783 was approved by the Planning Commission on December 9, 1987, for the division of 11.3 acres of land into 2 parcels in the Very Low Development District, located at the northwest corner of Archibald Avenue and Hillside Road. Improvements are to be constructed at the time of building permit issuance. The Consent and Waiver to Annexation form signed by the Developer is on flle in the City Clerk's office. Respectfully submit ed RHM:WV-Iy Attachments 21 ,f F i RESOLUTION NO. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF RANCHr) CUCAMONGA, CALIFORNIA, APPROVING PARCEL MAP HUMBER 10783 (TENTATIVE PARCEL MAP N0. 10783) t WHEREAS, Tentative Parcel Map Number 10783, submitted by Peter Tolstoy and consisting of 2 Parcels, located at the northwest corner of Archibald Avenue and Hillside Road, being a division of the Northeast W north. uar anPe f 7 hWest, Southeast one-quarter � Countya of San Bernardi o, Township of California was approved by the Punning Commission of the City of Rancho Cucamonga; and WHEREAS, Parcel Nap Number 10783 is the final nap of the division of land approved as sham on said Tentative Parcel Map; and WHEREAS, all of the requirements established as prerequisite to approval of the final nap by the City Council of said City have now been met. Rancho Cucamonga, CaliifornialTthat said Parcel Nap Huumber110783,be and the same is hereby approved and the City Engineer is authorized to present same to the County Recorder to be filed for record. L'� �?q a s RESOLUTION M0. g� . 7 C� A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF RANCHO CUCMONGA, CAMFORNIA, ORDERING THE ANNEXATION OF CERTAIN TERRITORY TO LANDSCAPE MAINTENANCE DISTRICT No. 1 MO STREET LIGHTING MAINTENANCE DISTRICT NOS. 1 AND 2 FOR PARCEL MAP 10783 ( WHEREAS, the City Council of the City of Rancho Cucamonga, California, has preciously formed a special maintenance district pursuant to the terns of the 'Landscaping and Lighting Act of 1972', being Division 15, Part 2 of the Streets and Highways Code of the State of California, said special maintenance district known and designated as Landscape Maintenance District No 1, Street Lighting Maintenance District No. 1 and Street Lighting Maintenance District No. 2 (herefnafte:, referred to as the 'Maintenance District'); and WHEREAS, the provisions of Article 2 of Chapter 2 of the 'Landscaping and Lighting Act of 1972' authorize the annexation of additional territory to the Maintenance District; and WHEREAS, at this time the City Council is desirous to take proceedings to annex the property described on Exhibit 'A' attached hereto and incorporated herein by this referenced to the Maintenance District; and WHEREAS, all of the owners of property within the territory proposed to be annexed to the Maintenance District have filed with the City Clerk their written consent to the proposed annexation without notice and hearing or filing of an Engineer's 'Report". NOW, THEREFORE, IT IS HEREBY RESOLVED AS FOLLOWS: SECTION 1: That the above recitals are all true and correct. SECTION 2: That this legislative Body hereby orders the annexation of the propeiy as shown in Exhibit 'A' and the work program areas as described in Exhibit 'B' attached hereto to the Malntenansa District SECTION 3: That all future proceedi•igs of the Maintenance District, Including fie Tevy of ail assessments, shall be applicable to the territory annexed hereunder. ASSESSMENT DIAGRAM LANDSCAPE MAINTENANCE DISTRICT NO. 1 STREET LIGHTIwG MAINTENANCE DISTRICT NOS. i AND 2 so;w ^ C17'Z OF xANC![0 CvCA1ION4A ei .. _, • �_ COUNTn OF EUT MNARDINO s - ®TAT= OF CA.LIIORNU ii EXHIBIT 'B' 3D PROJECT NAME: PARCEL W 10783 �.. NO. OF D.U. OR ACREAGE: 11.30 acres 90. OF ASSESS. UNIT: 23 p l 1: 3.16 acres pcl 2: 8.14 acres MiT acres i �? STRELT LIGHTING MAINTENANCE DISTRICT No. of Laws to be Annexed District No. _SHOD[ —9 ,000 --U,uUO Tr•r,Dd 1 1 J 2 --- --- -'- e --- --- LAHOSCAPF. HAINT:MANCE DISTRICT Turf Ground Cover Trees Distract Ho. Street Name Sa• ft. Sa• ft_ Ea. 1 --- --- -••- --- 3D (b) Investment proceeds, namely, amounts received at any time by or for the City, such as Interest and dividend&, resulting from the Investment of any original proceeds ias referenced In clause (a) above) or Investment proceed3 (as referenced In this clause (b)) In Nonpurpose Investments.:ncrossed by any profits and decreased Of necessary, below zero) by any losses on suer Investments, excluding Investment proceeds whi -h become transferred proceeds (determined In accordance with appliea: Rc,yulallons) of obligations Issued to refund In whole or In part the Leese Agreement; (c) sinking fund proceeds, namely, amounts, other than original proceeds, Investment proceeds or transferred proceeds (as reinforced In clauses (a) and (b) above) of the Certificates, which are held In the Lease Payment Fund and tiny other fund to the extent that the City reasonably expects to use such other fund to pal, Lease Payments; (d) amounts In the Reserve Fund and la any other fund established as a reasonably required reserve for payment of Lease Payments: (e) Investment Property pledged as security tot payment of Lease Payments by the City; (f) Amounts. other than as specified In this definition, used to pay Leese Payments; and (g) amounts received as a result of Investing Amounts described In this definition. 'Independent Counsel' means an attorney duly odmitteu to the practice of law before the highest court of the state In which such attorney maintains an office and who Is not an employee at the Corporation, the Trustee or the City. 'Information Services' moans Financial Information, Inc.b 'Dally Called Bond Service,' 30 Montgomery Street, With Floor, Jersey City, New Jersey 07302, Attention' Editor; Kenny Information Services ' Callod Bond Service.' 55 Broad Street, 28th Floor, Now York New York 10004; Moody's'Municipal and Government," 99 Church Street, 8th Floor New York. New York 10007 Attention: Municipal News Reports: and Standard 8 Poor's'Called Bond Record,' 25 Broadway. 3rd Floor New York, New York 10004; or to such Other addresses and/or such Other national Information services providing Information or dlsser,linating notices of redemption of obligations similar to the Certlllcatos. Insurance And Condemnatlon Fund" mesas the fund by that name established and held by the Trustee pursuant to Section 7.01 of the Trust Agreement. 'Interest Payment Date' means the first day Of each June and December, commencing June 1 1289, so long as any Certificates are Outstanding. 'Investment Prooerty' means any security fee said term Is defined in section 165(g)(4(A) or (B) of the Code;, obligation, annuity contract or Investment —type property. excluding, however. obligations (other than specified private activity bonds as dollned In section 57(a)(5)(C) of the Code) the Interest on wnich Is excludes from gross Income, for federal tax purposes, under section 103 of the Code. Exhibit A Page 3 Leass Aarsomerit. means the Lease Agreement, dated as of December 1, 1088, by and between the Corporation and the City, together with any duly authorized and executed amendments thereto. i 'Lease Payment Date' means the fifteenth (15th) day of May and November In each year during the Term of the Lease Agreement, commencing May 15, 1989. 'Lease_ Payment Fund' means the fund by that name established and hold by toe Trustee pursuant to Section 5.02 01 the Trust Agreement. 'Lease Payments' means all payments required to be paid by the City pursuant to Section 4.4 of the Lease Agreement, Inducing any prapayment thereof pursuant to Article X of the Lease Agreement, which payroronts consist of on Interest component and e principai component. 'Moody' s' means Moody's Investors Service, New York, Now York, or Its successors. 'Net P:occeds,' when used with respect to Insurance or condemnation proceeds, meats any Insurance proceeds or condemnation award pnld with respect to the Site, to the extent remaining after payment therefrom of all expenses Incurred In the collection thereof 'Non ur osa Investment' means any Investment Property which Is acquired with the Gross Proceeds of the Cen:llcates and Is not acquired in order to carry out the governmental purpose of the Lease Agreement. 'Onglnpl Purchaser' means the first purchaser of the Certificates upon their delivery by the Trustee on the Closing Date. 'Outstanding,' when used as of any particular time with respect to Certificates, means (subject to the provisions of Section 10.03 of the Trust Agreement) all Certificates theretofore executed and delivered by the Trustee under the Trust Agreement except - (n) Certificates theretofore cancelled by the Trustee or surrenderer to the Trustee for cancellation; (b) Certificates for the payment or redemption of which funds or Federal Securities in the necessary amount shall have theretofore been deposited with the Trustee (whether upon or prior to the maturity or redemption date of such Certificates), provided that, If such Certificates are to be redeemed prior to maturity, notice of such redemption bholl have been given as provided in Section 4.03 of the Trust Agreement or provision satisfactory to the Trustee shall have been made for the giving of such notice; and (c) Certificates In lieu of or in exchange for which other Certificates shall have boon executed and delivered by the Trustee pursuant to Section 2.09 of the Trutt Agreement Exhibit A / Page 4 V7 d 'Owner' or 'Certificate Owner' or 'Owner of a Certificate', or any similar term, when used with respect to a Certificate means the person ht whose name such Certificate shell be registered. 'Permitted Encumbrances' means, as of any particular time: (a) Ilona for general ad valorem taxes and assessments, It tiny, not then delinquent, or which the City may. pursuant to provisions or Article V of the Lease Agreement, permit to remain unpaid; (b) the Assignment Agreement; (c) the Lease Agreement; (d) any right or claim of any mechanic, laborer, materlalman, supplier or vendor not filed or perfected In the manner +(, prescribed by law; (e) easements, rights of way, mineral rights, drilling rights and other rights, reservations, covenants, conditions or restrictions which exist of record as of the Closing Date and which the City certifies in writing will not :materially Impair the use of the Site; and (p easements, rights of way, mineral rights, drilling rights and other rights. reservations, covenants, conditions or restrictions established following the date of recordation of the Lease Agreement and to which the Corporation and the City consent In writing. 'Permitted Investments' means any of the following- (a) Federal Securities; (b) dr:bentures of the Federal Housing Administration; (c) obligations of the following agencies which are not guaranteed by the United States of America. (1) participation certificates or debt obligations of the Federal liomo Loan Mortgage Corporation; 01) consolidated system -wide bones and notes of tho Farm Credit Banks (consisting of Federal Land Banks, Federal Intermediate Credit Banks and Banks for Cooperatives); (III) consolidated debt obligations or letter of erodlt- barked Issues of the Federal Home Loan Banks; IN) mortgage - backed securities (excluding stripped mortgage securities which are valued greater than par on the portion of unpaid principaq or debt obligations of the Federal National Mortgage Association; or (v) letter of credit- backed Issues or debt obligations of the Student Loan Marketing Association; (d) Federal funds, unsecured certificates of deposit. time deposits and bankers acceptances (having maturltles of not more than 365 days) of banks the short-term obligations of which are rated In one of the three highest Rating Categories by Moodys: (o) deposits which are fully Insured by the Federal Deposit Insurance Corporation ('FDIC') or the Federal Savings and Loan Insurance Corporation ('FSuC'), 19 debt obligations (excluding securities teat do not have a fixed star value and /or whose terms do not promise a fixed dollar amount at maturity or call date) rated In one of rite three highest lonp -form Rating Categories by Moodys, (9) commercial paper (having original maturities of not more than 365 days) rated in one of the three highest F. ting Categories by Moodys, (h) Investment to money market funds comprised solely of obligations rated In one of the three highest Rating Catngorles by Moodys; and Exhibit A r Page 5 L (0 repurchase agreements with (1) any Institution with long —ter; dobt rated In one of the three highest Rating Categories by ldoodys; 01) with any corporation or other entity that falls under the Jurisdiction of the Federal Bankruptcy Code. F ovlded that: (A) the term of such repurchase agreement is less than one year or due on demand; (B) the Trustee or a tnlyd party acting solely as agant for the Trustee has possession of the collateral, (C) the market value :)1 the collateral Is maintained as follows: (1) It valued daily and with a remaining maturity of (a) one year of leas, at 102 %, (b) five years of less, at 105 %; (c) ton years or less, at 106 %: (d) fifteen years or less, at 107%; and (e) thirty years or less, at 113%; (2) If valued weekly and with a remaining maturity of (a) one yoar or less, at 103 %, (b) five years or less, at 110 %; (c) ton years or less, at 111 %; (d) fifteen years or less, at 118 %, (3) If valued monthly and with a remaining maturity of (a) one Year or less, at 106 %; (b) live years or less, at 116 %; (c) ten years or less, at 110 %, (d) fifteen years or less, at 123 %. (o) thirty years or loss, at 130 %; and (4) If valued quarterly and with a remaining maturity of (a) une ynar or less, at 106 %: (b) five years or less, at 11S%: (c) ton years or less, at 128 %; (d) fifteen years or less, at 4.30 %, and (e) thirty years or loss, at 135% (0) failure to maintain the requisitq collateral levels will require the Trustee to liquidate the collateral Immediately, (E) the repurchase securities must be obligations of, or fully guaranteed as to principal and Interest by, the United States of America; and (f7 the repurchase securities are free and clear of any third patty lien or claim, or (Ilp with financial Institutions Insured by the FDIC or FSLIC or any broker — dealer with 'retell customers' which fails under the Jurisdiction of the Securities Investors Protection Corp. ('SIPC'), provided that Exhibit A 2 Page 6 h, (A) the market value of the Collateral Is maintained as described in .' (II)(c) above: (B) the Trustee or a third party acting solely as agent for the Trustee has possession of the collateral; (C) tho Trusteo has a perfected first priority security Interest In the collateral; (D) the collateral is free and clear of any third party Ilan or cfs,m and, In the caao of a broker - dealer with 'retell customers' which falls under the Jurisdiction of SIPC, the collateral was not acquired pursuant to a repurchase agreement or a reverse repurchase agreement; (E) the repurchase securities must be obligations of, or fully guaranteed as to principal and Interest by, the United States of America; and (F) failure to maintain the requisite collateral levels will require the Trustee to liquidate the collateral Immediately. 'Principal Corporate Trust CIO... ' means the corporate trust office of the Trustee at Bank of America National Trust and Savings Association, San Francisco. California, or at such other address designated by the Trustee In written notice filed with the City and the Corporction In writing. 'Private ;usiness Use' means use directly or Indirectly In a trade or business carried on by a natural person or In any activity carried on by a person other than a natural person, excluding, however, use by a governmental unit and use as a member of the general public. 'Proceeds' when used with reference to the Certlllcates, means the face amount of the Certificates, plus accrued Interest and original Issue premium, 11 any, less original Issue discount, if any. 'Purchase Price,' for the purpose of computation of the Yield of the Lease Agreement, has the samo meaning as the term 'Issue price' In sections 1273(b) and 1274 of the C�Je, and. In general, means the Initial offering price of the Certificates to the public (not Including bond houses and brokers, or similar parsons or organizations acting or the capacity of underwriters or wholesalers) at which price a substantial amount of the Certificates are sold or. If the Certificates are privately placed, the price paid by the first buyer of the Certificates or the acquisition cost of the first buyer The terra 'Purchase Pace, for the purpose of computation of the YI31d of Nonpurpose Investments, means the fair market value of the Nonpurpose Investments on the date of use of Gross Proceeds of the Certificates for acquisition thereof, or If later on the dale that Investment Property constituting a Nonpurpose Investment becomes n Nonpurpose Investment of the Certificates. Exhibit A Page 7 j 'Rating Category' means, with respect to any Permitted Investment, one or more of the generio catagorles of rating by Moody's applicable to such Permitted Investment, without regard to any refinement or graduation of such rating category by a plus or minus sign. 'Rebate Calculation Period' means the one -year period beginning on the anniversary of the Closing Date In each year and ending on the day prior to the anniversary date of the Closing Date in the following year except that the first Rebate Calculation Period shell begin on the Closing Date. 'Rebate Fund' means the fund by that name created by, and held by the Trustee pursuant to, Section 8.07 of the Trust Agreement. 'Registration Books' means the records maintalned by the Trustee pursuant to Section 2.12 of the Trust Agreement for registration of the ownership and transfer of ownership of the Certificates. 'Regular Record Data' means the close of business on the fifteenth (15th) day of the month preceding each Interest Payment Date, wheth3r or not such fifteenth (15th) day Is a Business Day. Cade. 'Ro ulatlons' means :arnporary and permanent regulations promulgated under the 'Rental varied' means each twelve -month period during the Term of the Lease Agreement commencing on December 2 In any year and ending on December 1 In the next succeeding year 'Reserve Fund' moans the fund ny that name established and held by the Trustee pursuant to Section 6.01 of the Trust Agreement. 'Reserve RegulremenY means an amount equal to 8 'Securities Depositories' means The Depository Trust Company, 711 Stewart Avenue, Garden City, Now York 11530, Fox -(516) 227 -4039 or 4190; Midwest Securities Trust Company, Capital Structures -Call Notification, 440 South LaSalle Street, Chicago, Illinois 60605, Fax -(312) 663 -2343; Philadelphia Deponitory Trust Company, Peorganlzation Division, 1600 Market Street, Philadelphia, Pennsylvania 19103. Attention: Bond Department Dex -(215) 496 -5056; or to such otl.ar addresses and /or such other registered securities depositories holding substantial amounts of obligations of types similar to the Certificates. 'Site' means all of that certain real property located In the City described in Exhibit A -to the Site Lease and Exhibit B to the Lease Agreement, which Is to be developed by the City as the Northeast Community Park. 'Site Lease' means the Site Lease, dated as of December 1, 1988. by and between the City and the Corporation, together with any duiv authorized and executed amendments t'tereto. Exhibit A Page 8 a 'Stets' means the State of California. 'Term of the Lease Agreement' means the time during' which the Lease Agreement Is In affect, as provided In Section 4.2 of the Lease Agreement. `Trust Agreement' moans the Trust Agreement, dated as of December 1, 1888, by and among the City, the Corporation and the Trustee, together with any duly authorized amendments thereto. ' ;t- 'Trustee' moans Ban); of America National Trust and Savings Association, or any successor thereto, acting as Trustee pursuant to this Trust Agreement. 'Yield' means that yield which, when used In computing the present worth of all payments of principal and Interest (or other payments in the case of Nonpurpose d Investments which require payments In a form not characterized as principal and Interest) on a Nonpurpose hrvestmsnt or on the Lease Agreement produces an amount equal to the Purchase Price of such Nonpurpose Investment or the Certificates, all computed as prescribed in applicable Regulations. t Exhibit A Page 9 s mllb J Mlft ,bvbp vv2ue fLIL EXHIBIT A DEFINITIONS 'Acouisiticn Costs' means all costs of payment of or reimbursement for, acquisition of the Site. 'Acaulsltl.. Fund' means the fund by that name established and held by the :I Trustee pursuant to Article III of the Trust Agreement. f" ' Assianment Anreement' means the Assignment Agreement, dated as of December 1 1888, by and between the Corporation and tho Tittstee, together with any duly authorized and executed amendments thereto. 'Business Day' means a day which Is not a Saturday, Sunday or legal holiday on which banking Institutions m the State are closed or are required to close or a day on which the New York Stock Exchange Is closed. 'Certificate of Completion' means the carti8cato of a City Representative certifying that the Site has been acqulred by the City and that all Acquisition Costs with respect thereto have been paid. 'Certificates' means the $ aggregate principal amount of certlllcates of Participation to be executed and delivered pursuant to the Trust Agreement. 'Ciit • means the City of Rancho Cucamonga, a municipal corporation and general law city organized and existing under the laws of the State. 'City Representative' means the Mayor, the City Manager or' he Finance Manager or any other person authorized by resolution of the City Council of the City to act on behalf of the City under or with respect to the Site Lease, the Lease Agreement and the Trust Agreement 'Closlnn Date' means the date upon which there Is a physical delivery of the Certificates In exchange for the amount representing the purchase price of the Certificates by the Original Purchaser "Code" means the Internal Revenue Code of 1886 'Complotlon Date' moans the date of completion of acquis,tlon of the Site as evidenced by the filing with the Trustee of a Certificate of Completion 'Corporation' means the Rancho Cucamonga Public Improvement Corporation, a nonprofit, public benefit corporation organizeo and existing under and by virtue of the laws of the State 'Corporation Representative' means the President of the Corporation, or any other person authpr,zad by resolution of the Corporation to act on behalf of the Site Lease, the Lease Agreement, the Assignment Agreement Lind the Trust Agreement Exhibit A Page Page 1 Vkri S� 'Dalivery Costa' means all Items of expense directly or Indirect) t reimbursable to the City ur the Corporation relating to the execution and delivery of the Site Lease, the Lease Agreement, the Assignment Agreement and the Trust Agreement or the execution, Salo and delivery of the Certificates, including but not limited to filing and recording costs. Settlement costa, printing costs, reproduction and binding costs, Initial fees and charges of the Trustee, financing discounts, legal fees and charges, Insurance fees and charges, financial and other professional consultant foes, costs of rating agencies for credit ratings, fees for axecution, transportation and safekeeping of the Cenilirites, costs for preparation, printing and distribution of preliminary and final official statements, and charges and fees In connection with the foieooing. 'Delivery Costs Fund' means the fund by that name established and held by the Trustee pursuant to Article III of the Trust Agreement. 'Earnings Fund' means the fund by that name created by, and hold by the Trustee pursuant to. Section 8.07 of the Trust Agreement. 'Event of Default' means an event of default under the Lease Agreement, as defined In Scction 0.1 thereof. 'Excess Investment Earninos' means an amount equal to the sum of: (a) the excess of O) the aggregate amount earned on all Nonpurpose Investments (other than amounts attributable to an excess described In ;his paragraph (a)), over (11) the amount which would have been earned If the Yield on such Nonpurpose Investments (other than amounts attributable to an exo)ss descrlUod In this paragraph (a)) hed been equal to the Yield of the Leese Agreement, plus IN any Income attributable to the excess described In paragraph (a). 'Federal Securities' means direct general obligations of Oncluding obligations Issued or held In book entry form on the books of the Department of the Troasurr of the United States of America), or obligations the payment of principal of and Interest on which are guaranteed by, the United States of America 'Fiscal Year' means the twelve -month period beginning on July 1 of any year and ending on June 30 of the next succeeding year, or any other twelve -month period selected by the City as its fiscal year 'Gross Proceeds' means the sum of the following amounts: (a) original proceeds, nomely, net amounts recoiveo by or for the City as a result of the Salo of the Certificates, excluding original proceeds which become transferred proceeds (determined In accordance with applicable Regulations) of rbligations Issued to refund In whole or In part the Lease Agreement; Exhibit A / Page 2 t7 (b) Investment proceeds, namely, amounts received at any time by or for the City, such as Interest and dividends, resulting from the investment of any original proceeds (as referenced In cause (a) eoove) or Investment proceeds (as referenced In this clause (b)) In Nonpurpose Imestments, Increased by any profits and decreased (If necessary, below zero) by any losses on such Investments, excluding Investment proceeds which become transferred proceeds (determined In accordenco with applicable Regulations) of obligations Issued to refund In whole or In part the Lease Agreement; (c) sinking fund proceeds, namely, amounts, other than original proceeds, Investment proceeds or transferred proceeds (as referenced In clauses (a) and (b) above) of the Certificates, which are held In the Lease Payment Fund and any other fund to the extent that the City reasonebly expects to use such other fund to pay Lease Payments; (d) amounts In the Reserve Fund and in any other fund established as a reasonably required reserve for payment of Lease Payments; (e) Investment Property pledged as security for payment of Leans Payments by the City; and (0 amounts, other than as specified In this definition, used to pay Lease Payments; (g) amounts received as a result of Investing amounts described In this definition. 'Independent Counsel' means an attorney duly admitted to the practice of low before the highest court of the state in which such attorney maintains an office and who Is not an employee of the Corporation, the Trustee or the City. 'Information Sendcos' means Financial Information, Inc.'s 'Dally Called Bond Service,' 30 Montgomery Street, 10th Floor, Jersey City, New Jersey 07302, Attention: editor- Kenny Information Services' 'Celled Bond Service.' 55 Broad Street, 28th Floor, Now York, New York 10004; Moody's'Municlpal and Government,' 99 Church Street, 8th Floor Now York. Now York 10007, Attention: Municipal News Reports; and Standard & Poor's 'Called Bond Record,' 25 Broadway, 3rd Floor, New York, Now York 10004; or to such other addresses and /or such uther notionai Information services providing information or disseminating notices of -edemptlon of obligations similar to the Certificates "Insurance and Condemnation Fund' moans the fund by that name established and held by the Trustee pursuant to Section 7.01 of the Trust Agreement. -Interest Payment Date- means the first day of each June and December, commencing June 1 1989. co long as any Certificates are Outstanding. 'Investment Property' means any security (as siild term is defined In sectlun 165(02)(A) or (B) of the Code), obligation, annuity contract or Investment -type property, excluding, however, obligations (other than specified prive is activity bonds as defined in section 57(a)(5)(C) of the Code) the Interest on which is excluded from gross Income, for federal tax purposes, under section 103 of the Code. Exhibit A Page 3 s 'Lease Agreement' means 'he Lease Agreement, dated as of December 1, 1038, by and between the Corporation and the City, together with any duly authorized and executed amendmrnts thereto. 'Lease Payment Date' means the fifteenth (15th) day of May and November In each year during the Term of the Lease Agreement, commencing May 15. '080. 'Lease Favtnent Fund' means the fund by that name ectabtished end held by the Trustee pursean, to Section 5.02 of the Trust Agreement. 'Lease Payments' means all payments required to be paid by the City pursuant to Section 4.4 of the Lease Agreement, Including any prepayment thereof pursuant to Article X of the Lease Agreement, which payments consist of an Interest component and a principal component. 'Mood s' means Moody's Investors Service, New York, New York, or Its successors. 'Not Proceeds,' when used with respect to Insurance or condemnation proceeds, means any Insurance proceeds or condemnation award paid with respect to the Site, to the extent remaining after payment therefrom of all expenses Incurred In the collection thereof. 'NOnourpose Investment' means any Investment Property which is acquired with the Gross Proceeds of the Certificates and Is not acquired In order to carry out the governmental purpose of the Lease Agreement. 'Odginnl Purchaser' means the first purchaser of the Certificates upon their delivery by the Trustee on the Closing Date. 'Ou'standing,' when used as of any particular time with respect to Certificates, means (subject to the provisions of Section 10.03 of tho Trust Agreement) all Certificates theretofore executed and delivered by the Trustee under the Trust Agreement except — (s) Certificates theretofore cancelled by the Trustee or surrendered to the Trustee for cancellation. (b) Certificates for the payment or redemption of which funds or Federal Socurhes In the necessary amcunt shall have theretofore been deposited with the Trust,re (whether upon or prior to the maturity or reCen, , nn data of such Certificates), prowled that. If such Certificates are to b3 redeemer to maturity, notice of such redemption shall have been given as provided In Sech: , 4 u3 of the Trust .Agreement or provision satisfactory to the Trustee rhaii oavo been made for the giving of such notice; and (c) Certllicutes In lieu of or In exchange for which other Certificates shall have i een executed and delivered by the Trusteo pursuant to Section 209 of the crust r.greeme I. Exhibit A �� U Page 4 'Owner' or 'Certificate Owner' or 'Owner of a Certificate', or any similar term, when used with respect to a Certificate m6ana the person In whose name such Certificate shall be reglEtered. 'Permuted Encumbrances' means, as of any particular time: (a) liens for general ad valorem taxes and assessments. 11 any, not then delinquent, or which the City may, pursuant to provislons of Article V of the Leaae Agreement, permit to remain unpaid; (b) the Assignment Agmomentf (c) the Lease Agreement: (d) any right or claim of any mechanic, laborer, materfalman, supplier or vendor not filed or perfected In the manner prescribed by law; (e) casements, rights of way, mineral rights, drilling rights and other rights, reservations, covenants, conditions or restrictions which exist of record as of the Closing Date and which the City certlfie:, In writing will not materially Impair the use of the Site; and (q easements, eghts of way, mineral rights, drilling rights and other rights, reservations, covenants, conditions or restrictions established following the data .if recordation of the Lefise Agreement and to which the Corporation and the City consent In writing. 'Permitted Investments' moan•i any of the following: (a) Federal Securities; (b) debentures of the Federal Housing Administration: (c) obligations of the following agencies which are not guaranteed by the United States of America: (1) participation certificates or debt obligations of the Federal Home Loan Mortgage Corporation; (14 consolidated system -wide bonds and notes of the Form Credit Banks (consisting of Federtil Land Banks, Federal Intermediate Credit Banks ,Ind Banks for Cooperatives); Qil) contolldated debt obligations or letter of credit- backed issues of the Federal Home Loan Banks; Vv) mortgage - backed securities ( exclu(jing stripped mortgage securities which ara valued greater than par on the portion of unpaid principal) or debt obligations of the Federal Notional Mortgage Association; or (v) latter of crodlt- backed Issues or debt obligations of the Student Lean Marketing Association; (d) Federal funds, unsecured certificates of deposit, time deposits and bankers acceptances (having maturities of not more than 365 days) of banks the short-term obligations of which are rated in one of the three highest Rating Categories by Moodl�s; (o) deposits which are fully Insured by the Federal Deposit Insurance Corporation ('FDIC') or the Federal Savings and Loan Insurance Corporation ('FSLIC'); (g debt obligations (excluding securities that do not have a fixed par value anti /or whose terms do not promise a fixed dollar amount at maturity or call date) rated In one of the three highest long -term Rating Categories by Moody's; (9) commercial paper (having original maturities of not more than 365 days) rated in one of the three highest Rating Categories by Moody's; (h) Investment In money markat funds comprised solely of obligations rated in one of the three highest Rating Categories by Moody's; and Exhibit A �1 1 Page 5 ! 1 O) repurchase agreements with (f) any Institution with long -term debt rsted In one of the three highest Rating Categories by Moodys: (Iq with any corporation or other entity that falls under the Jurisdiction of the Federal Bankruptcy Coda, provided that: (A) the term of such repurchase agreement is less than one year or due on demand; (B) the Trustee or a third party acting solely as rgent for the Trustee has possession of the collateral; (C) the market value of the collate at is maintained as follows: (1) If valued daily and with a remaining maturity of (a) one year of less, at 102 %; (b) five years ul less. at 105 %; (c) ten years or loss, at 106 %; (d) fifteen years or less, at 107 "A,: and (e) thirty years or less, at 113 %; (2) If valued weekly and with a remaining maturity of (e) one year or less, at 103 %; (b) five years or less, at 110%; (c) ten years or less, at 111%; (d) fifteen years or less, at 118 %: (3) if valued monthly and with a remaining maturity of (a) cne loss, at1118 %t (d) fft e)i years or loss, f 123% (a)(thirty years or less, at 130 %; and (4) If valued quarterly and with a remaining maturity of (a) one year or less, at 106 %; (b) five years or less, at 118 0h (c) tea years ur less, at 128 %; (d) fifteen ;wars or less, at 130 %: and (a) thirty yecrs Or less, at 135% (D) failure to maintain the requlsltP Collateral levels will require the Trustee to liquidate the collateral Immediately; (E) We repurchase securities must be obligations of, or fully guaranteed as to princloal and Interest by, the UnlIeL States of America; and (F) the repurchase securities are free ar I clear of any third party Ilen or claim; or (III) with financial Institutions Insured by the FDIC or FSLIC or any broker - dealer with 'retail customers' which falls under the jurisdiction of the Securlthls Investors Protection Corp. ('SIPC'), provided that Exhibit A �L- Page 6 A, (A) the market value of the collateral Is maintained as described in ?' (ip(c) above; (B) the Trustee or a third party acting Gately as agent for the Trustee has possession of the collateral; (C) the Trustee has a perfected first priority security Interest In the collateral; (D) the collateral is free and cleer of any third party Ilen or cfalm Ono, In the cese of a broker - dealer with 'retell customers' which falls under the jurisdiction of SIPC, the collateral was not acquired purcuent to a repurchase agreement or a reverse repurchase agreement; () the repurchase eecuritles must is obligations of, or fully guaranteed as to principal and Interest by, the United States of AmefICP; and (F) falture to maintain the requisite collateral levels will require the Trustee to liquidate the collateral immediately. 'Principal Cnmorate Trust Office' means the corporate trust office of the Trustee at Bank of America National Trust and Savinga Association, San Francisco, California, or at such other address designated by the Trustee In written notice filed with the City and the Cgrporatlon In writing. 'Private Buslnos^ - Use ' means use directly or Indirectly In a trade or business carrro by a natur d on al person or in any activity carried on by a person other than a natural nerson, excluding, however, use by a aovemmental unit and use as a member of the general public. 'Proreads,' when used with reference to the Certificetes, means the face amount Of its Cerillcetes, plus accrued Interest and original Issue premium. If any, less original Issue discount, If any. Pu =chase Price," for the purpose of computation of the Yield of the Lease Agreement, has the same meaning as the term 'Issue price' in sections 1273(b) and 1274 Of the Code, and, In general, means the Initial offering price of the Certificates to the Public (no! Including bond houses and brokers, or similar persons or organizations acting In the capacity of underwriters or wholesalers) at which price a substantial amount of the Certificates are sold or if the Certificates are privately placed, the price paid by the first butor of the C.,tifICates or the acquisition cost of the first buyer The term 'Purchase Pru;e,• for the purpose of computation of the Ylald of Nonpurposo Investments, means the fair market value of the Nonpurpose Investments on the date of use of Gross Proceeds of the Certificates to. acquisition thereof, or If later, on the date that investment Property constituting a Nonpurpose Investment becomes a Nonpurposo Investment of the Ceni(Icalet Exhibit A —1 3 Page 7 I 'Rating „ateoorv' means, with respect to any Permitted Investment, one or more of the generic calegorlss of rating by Moody's applicable to such Permitted Investment, without regard to any refinement or graduation of such sting category by a plus or minus sign. 'Rebate Calculation Period' means the one -year period beginning on the anniversary of the Closing Date it each year and ending on the day prior to the arniversary date of the Closing Date in the following year except that the first Rebate C:,Iculation Period shall begin on the Closing Date. 'Rebate Fund' means the fund by that name created by, and held by the Trustee pursuant to. Section 8.07 of the Trust Agreement. 'Reolstratlon Books' means the records maintaloed by the Trustee pursuant to Section 2.12 of the Trust Agreement for registration of the ownership and transfer of ownership of the Certificates. 'Regular Record Date' tneans the close of business cn the fifteenth (15th) day of the month preceding each Interest Payment Date, whether or not such fifteenth (15th) day Is a Business Day. Code. 'Regulations' means t3mporary and permanent ro,ulationc promulgated under the 'Rental Period' means earh twelve - ninth period during the Term of the Lease Agreement commencing on December 2 In any year and ending on December 1 in the next succeeding year "Reserve Fund' means the fund by that name established and holu by the Trustee pursuant to Section 6 01 of the Trust Agreemer t. 'Reserve Requirement' means an amount equal to S 'Securities Depositories' means The Depository Trust Company, 711 Stewart Avenue, Garden City, New York 11530, FaA -(516) 227 -4039 or 4190; Midwest Securities Trust Company, Capital Structures -Call Notification, 440 South LaSalle Street, Chicago, Illinois 6(1605. Fax- (312) 663 -2343: Philad:!phls Depository Trust Company, Reorganization Division, 1900 Market Street, Philadelphia, Pun❑sylvartla 19103, Attention: Bond Department. Dex -(215) 496 - 5058; or to such other addresses end /or such clher reglstered securities depositories holding substantial amounts of obligations of types similar to the Certificates. 'Site' means all of that certain real property located In the City described in Exhibit 7--to the Site Lease and Exniblt B to the Lease Agreement, which Is to rte developed by the City as the Northeast Community Park. 'Site Lnzso' means the Site Lease, dated as of December 1, 1888, by and between the City and the Corporation, together with any duly authorized and executed amendments thereto. Exhibit A Page 8 l 4 ' State' means the State of California. Tenn of the Lease Agreement' means the time during which the Leese. Agreement 6n ;n effect, as provided in Section 4.2 of the Lease Agreement. Trust Agreement' means the Trust Agreement, dated as of December 1, 1938, by and among tho City, the Corporation and the Trustee, together with any duly authorized amendments thereto. Trustee' means Bank of America National Trust and Savings Association, or any successor thereto, acting as Trustee pursuant to this Trust Agreement. _ 'Yield' means that yield which, when used In computing the present worth of all Z payments of principal and Interest (or other payments in the case of, Nonpurpose Investments which require payments In a form not characterized as principal and Interest) on a Nonpurpose Investment or on the Lease Agreement produces an amount equal to the Purchase Price of such Nonpurposo Investment or the Certificates, all computed as i prescribed In applicable Regulations. Exhibit A S Page 9 t IJCHISIT B DESCRIPTION OF THE SITE Those parcels of land in the City of Rancho Cucamonga, County of Son Bernardino, State of California. described as follows: Exhibit B Page 1 / Exhibit C Fvge 2 I q; EXHIBIT C 'aCz1 ` SCHEDULE OF LEASE PAYMENTS ^' LEASE PAYMENT SEMI- ANNUAL ANNUAL STIPULATED ° DATE PRINCIPAL INTEREST TOTAL TOTAL VALUE ., OS /15 /8P f S 5 S 11115 /B9 S OS /15 /PO ' 11/15/80 65/15/91 1 /15/91 05/15/02 1 115/92 01/15 /9J 1 /15/93 0!115/04 1 /15/94 01/16/95 11/15/95 4 05.15/96 11/15/96 05/15/97 11 /L'' /97 05/15.'98 11/151.18 Exhibit C Fvge 2 I iUIIY 11011YEN' W 16'16p �„ a IIgl1 + TRUSTAGREEMENT Dated as of December 1, 1388 by and among RANK OF AMERICA NATIONAL TRUST AND SAVINGS ASSOCIATION, as Trustee, the RANCHO CUCAMONGA PUBLIC IMPROVEMENT CORPORATION and the CITY OF RANCHO CUCAMONGA. CALIFORNIA (NORTHEAST':OMMUNITY PARK PROJECT) G C.7 Z3849 TABLE OF CONTENTS ARTICLE I DEFINITIONS Payo Section1.01. Definitions_.._._ ......................._...._.................._....._.. .._............................ 2 Section1.02. Authorization._._ ......................................................... ..............._............... 2 Section1.03. Exhibits ......... ................ ..... .. .... ._...._ ......... .. ... ............................................. 2 ARTICLE II THE CERTIFICATES OF PARTICIPATION Section2.01 '. uthortzation_ ................. ... ......... ............ ... .... .._. ............. ...... ................. _ 3 Section 2.02. Date; Payment of Interest ................ ........... ... ...... ... ..... ............................ _. 3 Section2.03. Maturity; Interest Rates._ ................................. .. ....... .......... _..__................ '+ Section2.04. Interest ...... ...... ............_............................................ ._......................_...... 's Section2.05. Form ........ ............... ...... ................ ... .. ................... .................... I................ 4 Section 2.06. Execution .......... .................................... ............................................ ....... ... 4 Section2.07 Application of Proceeds ................................................ ............................... 4 Section 2 08. Transfer and Exchange ................................................ ............................... 4 Section 2.09. Certificates Mutilated, Lost, Destroyed or Stolen ....... ............................... 5 :ec:lon 2.10. Payment ....................................................................... ............................... 5 Section 2.11 Fxocutlon of Documents and Proof of Ownership ... ............................... 5 Section 2.r2 Registration Books ...... .................. .................................................... ......... 6 ARTICLE III ACOUISMON FUND AND DELIVERY COSTS FUND Section3.01 Acquisition Ftind ................................................. ............................... ... 7 Section 3.02. Payment of Acquisition Costs .................................... ............................... 7 Section 3.03. Delivery Costs Fund .............. ................ .............. ............................. _....... 8 Section 3.04. Payment of Delivery Costs........................ ...................................... ............. 8 ARTICLE IV REDEMPTION OF CERTIFICATES Sectlnn 4 01 Redemption . ............. ...... ..... ............ ... ........... ........ 9 Section 4 02. Selection of Certillcalo3 for Redemption .. ..... ................ 9 Section 4.03 Notice Redemption ........ ............................... ..................... .......... 10 Section 4.04. Partial Redemption of Certificate ........................ ............................... 11 Section 4.05. Purchase of Certificates ...................................... ............................... .. 11 --Iq Pacj ARTICLE v LEASE PAYMENTS; LEASE PAYMENT FUND Section 5.01 Assignment of Rights In Lease Agreement ................. ............................... Section 5.02. Establishmont of Lease Payment Fund ..................... ............................... 12 12 Section 5.03. Dsposlts.....,_ „_...._, Section 5.04. APPlicetion of Moneys ................................................ ............................... 12 Section 5.05. Surplus......._......._. .................. _.....0....... .... . ...................... 6 ................... ........ 12 ARTICLE VI RESERVE FUND Section 6.01 Establishment of Reserve Fund .............. ............................... Section 6.02. Deposits ...... ........................_...... ..................... 13 Section6.03. Transfers of Excess.................... ............................................. ............... ... 13 Section 6.04. Application In Event of Deficiency In Lease Payment Fund ...................... 13 Sectlon 6 05. Transfer To Make All Lease Payments_ ...................... ............................... 13 ARTICLE VII INSURANCE AND CONDEMNATION FUND,' INSURANCE; EMINENT DOMAIN Section 7.01 Establishment of Insurance and Condemnation Fund; Section 7.02. Application lofallot Proceeds of Eminent Domain Award ......................... 14 Section 7.03. Cooperation.. .. ............... .... ....................................... ............................... 15 ARTICLE VIII MONEYS IN FUNDS; INVESTMENT Section 8.01 Held In Trust ............... ... ............ Section 8.02. Investments Authorized ........................... ” " "' Section 8.03. Accounting ............................. 16 Section 8 04. Allocation of Ea 1l 93 .......................... ............... 0 ................. to Section 8 05. Valuation and Disposlllon of Investments ............................... .............. 17 Section 8 06 No Arbitrage .... ........................... Section 8.07 Rebate of Excess investment Camings to United Stales ..... .............. 17 ARTICLE & THE TRUSTEE Section 9 01 Appointment of Trustee ...... ............................... Section 9.02 Acceptance of Trusts ........................ Section 9 03. Foos, Charges and Erpenses of Tru . ..........__............. .............................. 20 stee.................. ............................... Section 9.04 Noth.a to Certificate Owners of Default .......... ............................... ......... 23 23 M A � Pe0a Section9.05. Intervention by Trustee._ .......................».................... ............................... 23 Section9.06. Romoval of Trustee ....... _...._........ ...... ........... ......... ..... ...... ..................... 24 Section9.07 Resignation by Trustee ._ .... _ ............................. ... ...... ......................... 24 Section 9.08. Appointment of Successor Trust ee ....................... _. .... ............................. 24 Section9.03. Merger or Consolidation .................. _.................. ... .. ...... ......................... 24 Section 9.10. Concerning any Successor Trustee ........................... ............................... 24 t ARTICLE X �,. MODIFIC:ATION OR AMENDMENT OF AGREEMENTS f. Section 10.01 Amendments Permitted .. ... ............. ,...„ ...... ................. _ ......... ............._.. 26 4 Section 10.02. Procedure for Amendment with Written Consent of 4 Certificate Owners ... ... ..... ......_. ........................... . ...... .................. 26 Section 10.03. Disqualified Certificates .... .... ..... .......................... ...............__..._.......... 27 J Section 10.04. Effect of Supplemental Agreement.........,„ ....................... .. .......... _......... 27 Section 10,05. Endorsement or Replacement of Certificates Delivered AfterAmendments. .»...._ ............ .. .... ». .............. ... .......................... 28 Section 10.06. Amendatory Endorsement Of Certificates ................ . ...... ............. ........... 28 ARTICLE XI COVENANTS: NOTICES Section 11.01 Compliance With and Enforcement of Leare Agreement ....................... 29 Section 11.02. Observance of Laws and Regulations ....................... ............................... 29 Section 11.03. Prosecution and Defense of Suits ........................... ............................... 29 Section 11.04. Recordation and Filing ............................................... ............................... 29 Section11.05. City Budgets ............................................................. ......................._....... 30 Section 11.06. Further Assurances .......................................... ............................... 30 Section 11.07 Satisfaction of Conditions Precedent ....................... ............................... ...... 30 ARTICLE XII LIMITATION OF LIABILITY Section 12.01 Limited LIablllty of City ................................ ............................... ...... 31 Section 12 02. No Liability of City or Corporation for Trustee's Performance...................... ............ ... ............................... 31 Section 12.03. Indemnification of Trustee ............ ............. ..... ............................... 31 Section 12.'4 Limitation of Rights to Parties and Certificate Owners ......................... 31 ARTICLE XIII EVENTS OF DEFAULT AND FICMEDIES OF CERTIFICATE OWNERS Section 13 01 Assignment of Rights ....................................... ........... .. ........... ... .... 34 Section1302. Remedies ................. _ .................. ............................ ..... ....._.._............. 32 Section 13.03. Application of Funds ... .......................................... ............................... 32 Section 13.04. Institution of Legal Proceedings ........................... ......... ............... ..... .... 33 111 li� I Pag3 Section13.05. Non- welvor».:.».» .............__...._._._......._. »�...„.. ». „_..„._.»._.»._...... 33 Section 13.06. Remedies Not Exclusive _ ........... .»_ ... ....._......„.................. ... .. ..... _ 33 Section 15.07 Power of Trustee to Control Proceedings. _ ..... ....._... »._.___....._........_ 33 Section 13.08. IJmitatlon on Certificate Owners' Right to Sue ............ ................ _ .... .... 33 ARTICLE XIV j� MISCELLANEOUS EXHIBIT A: Definitions EXHIBIT B: Form of Cortlflcates _fy_ Section 14.01 Dof easance.„_.„._........_......, ...... ............. .................... ............... „... 35 r, Section 14.02. Records . ........ .„__. .................................................. _.._.._..............._. 35 ' Section 14.03. Notices ...... ...... ................. _..„....._....._...„_._.._. . „.... ......................_.. 35 Section14.04. Governing Law....„.._„ ....... ....... „. ........ _ ........ _ .......... _ .................. _._. 36 ?, Section 1405. Binding Effect: Successors ........... _....,„..„„..._.„....... __.. 36 ................ Section14.06. Execution In Counterparts .........»_.„__..„..„._._. ....._......._ ...... .............. _„. 36 Section 14.07 Delivery of Cancelled Certificates .__ ......... »....................................... 36 Section14.08. Headings ..... ._.. ..................................... „._.„.... . „........................._. »_ 3C Section 14.09. Waiver of Notice ...... » ....... _ .......... ................................ .. „........................ 36 Section 14.10. Separability of Invalid P. ovlslons ....................... .............................. ... 36 EXHIBIT A: Definitions EXHIBIT B: Form of Cortlflcates _fy_ TRUST AGREEMENT THIS TRUST AGREEMENT, dated as of December i, 1gall, by and among BANK OF AMERICA NATIONAL TRUST AND SAVINGS ASSOCIATION, a national banking association organized and existing under the laws of the United States of America (the 'Trustee•), the RANCHO CUCAMONGA PUBLIC IMPROVEMENT CORPORATION, a nonprofit, public benefit corporation organized and _ existing unler the laws of the State of Celifomla (the 'Corporation'), end the CITY OF RANCHO CUCAMONGA, a municipal corporation and general low city organized and existing under the laws of the State of California (the 'City'); WITNESSETH: WHEneAS, the City and the Corporation have entered Into a lease agreement dated as of tae date hereof (the 'Lease Agreement), whereby the Corporation has agreed to finance the acquisition of certain real property for future development by the City as the No theast Community Park (the 'SIte7, and to lease the Site to the City and the City has agreed to lease the Site from the Corporation; and WHEREAS, for the purpose of obtaining the moneys required to be deposited by It with the Trushte for financing the acquisition of the Rita, the Corporation proposes to assign and transfer certain of Its rights under the Lease Agreement to the Trustee, and In consideration of such assignment and the execution of th's Trust Agreement, -he Trustee has agreed to execute and deliver certificates of participation, each evidencing e fractional Interest in the lease payments made by the City under the Lease Agreement, to provide the moneys required herein to be deposited by the Corporation; ,40W, TtIEREFORE, in consideration of the promises and the mutual covenants contained herein, the part1w hereto hereby agree as follows: ARTICLE I DEFINITIONS Section 1.01. De0nitfons. The terms defined In Exhibit A attached hereto and by thin reference Incorporated herein, 83 used and capitalized herein, shall, for all purposes of this Trust Agreoment, have the meanings ascribed to them In said Exhibit A unless the context clearly requires some other meaning. Section 1.02. Authorization., Each of the parties hereby represents and warrants that it has full legal authority and is duty empowered to enter Into this Trust Agreement, end has taken all actions necessary to authorize the execution of this Trust Agreement by the officers and persons signing' It. i Section 1.03. Exhibits. The following exhibits are attached to, end by reference made a part of, this Trur_• Agreement: Exhibit A: Definitions. Exhibit B: Form of Certificates. -2- li� q ARTICLE II THE CERTIFICATES OF PARTICIPATION Section 2.01. Authorization. The Trustee is hereby authorized and directed upon written request from the Corporation to prepare, execute and deliver, to the Origlndl Purchaser, Certificates In an aggregate principal amount of dollars (j_,) evidencing undivided fractional Interests of the Owners thereof in the Lease Payments. Section 2.02. Data; Payment of Interest. Each Certificate shall be dated as of December 1, 1968. Interest with respect to the Certificates shall be payable on each Interest Payment Date and accrue from the Interest Payment Date next preceding the date of execution thereof, unless: (q N. Is executed as of an Interest Payment Date, In which event Interest with respect thereto shall be payable from such Interest Payment Date; or pp it Is executed after a Regular Record Date and before the following Interest Payment Date, In which event Interest with respect thereto shall be payable from such Interest Payment Date; or pit) It Is executed on or before May 15, 1089. In which event Interest with respect thereto shall ho payable from December 1, 1986; provided, however, that If, as of the date of execution of any Certificate, interest is In default with respect to any Outstanding Certificates, Interest represented vy such Certificate shall be payable from the Interact Payment Date to which Interest has previously been paid or made available for payment with respect to the Outstanding C3rtificates. Section 2.03. Maturitg Interest Rates. The Certificates shall mature on December 1 in each of the respective years, and In the respective amounts, except that no Certificate may have principal maturing In more than one year, and Interest represented thoreby shall be computed at the respective rates, as follows: Maturity Date Principal Interest ( Decemuer 1) Amount _Rate 1989 j % 1990 1991 1992 1993 1094 1995 1996 1997 1598 Section 2.04. Interest. Interest represented by the Certificates shall be payaole on nach , nterest Payment Date to and including the date of maturity or redemption, whichever is earlier, as provided in Sectiun 2.10 hereof. Said Interest shall represent the Portion of Leaso Payments designated as Interest and accruing during the six -month period preceding each Interest Payment Date with respect to the Certificates. The fractional £hare of the portion of Lease Payments designated as Interest with respect to any Certificate shall be computed by multiplying the portion of Lease Payments 3- '9 5 designated as principal with respect to such Certificate by the rate of Interest applicable to euch Certificate (on the basis of a 360 -day year of twelve 30 -day months). Section 2.05. Form. The Certificates shall be delivered In the form of fully registered Certificates without coupons In the denomination of $5,000 or any Integral multiple thereof. The Certificates shall be assigned such alphabetical and numerical designation as shall be deemed appropriate by the Trustee. The Certificates shall be substantially In the form set ,onh in Exhibit B attached hereto and by this retareoce Incorporated herein. Section 2.06. Execution. The Certificates stall be executed by and In the nams of the Trustee by the manual signature of an authorized officer or signatory of the Trustee. If any officer or signatory whose signature appears on any Certificate ceases to be such officer or signatory before the date of delivery of said Certificate, such aignaturs shall nevertheless be as effective as If the officer or signatory had remained In office until such date. Section 2.07 Application of Proceeds. The proceeds received by the Trustee from the sale of the Certificates In the aggregate amount of $— shall forthwith be set aside by the Trustee In the following respective funds and accounts: (a) The Trustee shall deposit In the Lease syment Fund an amount equal to $ , representing accrued Interest from December 1, 1968, to the Closing Date. (b) The Trustee shall deposit In the Reserve Fund an amount equal to $ (the Reserve Requirement). - i (c) The Trustee shall deposit In the Delivery Costs Fund an amount equal to (d) The Trusts' shall deposit the remainder of Said proceeds In an amount equal to $ , In the Acquisition Fund. Section 2 08 Transfer and Exchange. (a) Transfer of Certificates. The registration of any Certificate may, In accordance with Its terms, be transferred upon the Registration Books by the person in whose name It Is registered, In person ur by his attorney duly authorized In writing upon surrender of such Certificate for cancellation at the Principal Corporate Trust Office of the Trustee. accompanied by delivery of a written Instrument of transfer In a form approved by the Trustee, duly executed. Whenever any Certificate or Certificates shall be surrendered for registration of transfer, the Trustee shall execute and deliver a new Certificate or Certificates for like aggregate principal amount In authorized denominations. (b) Exchange of Certificates. Certificates may be exchanged at the Principal Corporate Trust Office of the Trustee for a like aggregate principal smounl of Certificates of other authorized denominations of the same maturity. The Trustee may m4ulre the payment by the Certificate Owner requesting such exchange of any tax or other governmental charge required to be paid with respect to such exchange. -4- �/ Section 2.09. Certificates Mutilated Lost Destroyed or Stolen. If any Certificate shall become mutilated, the Trustee, at the expense of the Owner of said Certificate, shall execute and deliver a new Certificate of like tenor, matudy and amount In exchange and substitution for the Certificate so mutilated, but only upon surrender to the Trustee of the Certificate so mutilated. Every mutilated Certificate se su. rendered to the Trustee shall be cancelled by It and destroyed with a certificate of destruction furnished to the City. If any Certificate shall be lost, destroyed or stolen, evidem:e of such less. destruction or theft shall be submitted to the Trustee, and, if such evidence Is satisfactory to the Trustee and if an Indemnity satisfactory to the Trustee shall be given, the Trustee, at the ex;.rrms of the Certificate Owner, shall execute and deliver a new Certificate of like tenor, maturity and amount and numbered as the Trustee shall T determine in lieu of ano in substitution for the CertlOcsta so lost, destroyed or stolen. The Trustee may require payment of the expenses which may be Incur ;ed by the Trustee _ in carrying out the dut'es under this Section 2.09. Any Certificate executed and delivered r under the provisions of this Section 2.09 In lieu of any Certificate alleged to be lost, destroyed or stolen shall be equally and .,actlonally entitled to the benefits of this Trust Agreement with all other Certificates secured by this Trust Agreement. The Trustee shall not be required to traal both the original Certificate and any replacement Certificate as being Outstanding for the purpose of determining the principal amount of Certificates which may be executed and delivered hereunder or for the purpose of determining any percentage of Certificates Outstanding hereunder, but both the original and replacement Certificate shall be treated as one and the same. Notwithstanding any other prevision of this Section 2.09, in lieu of delivering a new Certlficcte which has been mutilated, lost, destroyed or stolen, and which has matu.,d or has been called for redemption, the Trustee may make payment with respect to such Ce.tlficate upon receipt of the aforementioned Indemnity. Section 2.10. Payment. Payment of Interest due with respect to any Certificate on any Interest Payment Date shat be made to the person appearing rn the Registration Books as 'he Owner thereof as of the Regular Rocord Date immediately preceding such Interest Payment Date, such interest to be paid by check or draft malled by first class mail to such Owner at his address as it appears on the Registration Books. I he principal and redemption premium Of any) payable with respect to any Certificate shall be paid upon presentation and surrender thereof at ins Principal Corporate Trust Uffice of the Trustee Both the principal and Interest and premium Of any) with respect to the Certificates shall be payable In Iowa; money of the United States of America. Section 2.11 Execution oi_Doc,.n.ents and Proof of Ownership. Any request, direction, consent, revocation of consent, or other Instrument in writing required or Permitted by this Trust Agreement to be signed or executed by Certificate Owners may he In any number of concurrent instruments of similar tenor, and may be signed or executed by suet Owners In persm or by their attorneys or agents appointed by an irstrument In wn:ing for that purpotx+, or by any bank, trust company or other depository for such Certificates Proof of the execution of any such Instrument, or of any instrument appointing any such attorney or agent, and of the ownership of Certificates shall be sufficient for any purpose of this Tnst Agreement (except as otherwise herein provided). If made in the following manner- (a) The fact and date of the execution by any Owner or his attorney or agent of any such Instrument and of any Instrument appointing any such attorney or agent, may be proved by a certificate, which need not be acknowledged or verified, of an officer of any bank or trust company located within the United States of America, or of any notary z public, or other officer authorized to take acknowledgments of-deeds to be recorded In such Jurisdictions, that the persons signing such Instruments aLkrowiedged before him toe execution thereof Where any such Instrument Is executed by an officer of a corporation or association or a member of a partnership on behalf of such corporation, association or partnership, such certificate shall also constitute suffident proof of his authority. (b) The fact ct the ownership of Certificates by any person and the amount, the ' maturity and the numbers of ouch Certificates and the oate of his holding the same shall be proved by the Registration Books. Any request or consent of the Owner of any Certificate shall bind every future Owner of the sane Certificate In respect of anything done or suffered to be done by the Trustee pursuant to such request or consent. Section 2.12. Registration Books. The Trustee shell keep or cause to be kept, at Its Principal Corporat, Trust Office, sufficient recwrfa for the registration and registration of transfer of the Certhk.etes, which shall at all reasonable times be open to inspection by the City and the Corporation during regular,ouslress hours with reasonable prior notice, and, upon presentation for such purpose, the Trustee shall, under such reasonable regulatluns as It may prescribe, register or transfer or cause to be registered or transfertod, on the Registration Books, Cenificates as berefnbefore provided. -6- 5� y ARTICLE 111 ACQUISITION FUND AND DELIVERY COSTS FUND Section iq I Trustee shall rl special fund designated he'AcltlonFtndshalko p such fundsnpaete and apart all other funds and moneys held by It; and shall administer such fund as provided nereln and In the Lease Agreement. There shall be deposited In the Acquisition Fund from the proceeds of sale of the Certificates amounts required to be deposited therein pursuant to Section 2.07(d) hereof and any ')that funds from time to time deposited with the Trustee for such purpose as may be Identified In writing to the Trustee. Section 3.02. Payment of Acquisition Costs. (a) Amounts In the Acquisition Fund shall be disbursed for Acquisition Costs. Disbursements from the Acquisition Fund shall be made by the Trustee upon receipt of a sequentially numbered requisition requesting disbursement executed or approved by a City Representative. Each such certificate shall: 0) set forth the amounts to be disbursed for payment or reimbursement of previous payments of Acquisition Costs and the person or persons to whom said amounts are to be disbursed; (11) state that the amounts to be disbursed constitute Acquisition Posts, that said amounts are required to be disbursed pursuant to a contract entered Into therefor by or on behalf of the Corporation or the City, or were necessarily and reasonably Incurred; and that said amounts are not being paid in advance of the time. If any, fixed for payment; certificaitle state t certificate requesting disbursement previously filed with the Trustee pursuant to this Sectlotl 3 02; 6v) state Ile portion, if any of the Net Proceeds of the Certificates to be used for a Private Business Use or to make or finance a loan (other than a loan constituting a Nonpurpose Investment or assessment) to other than a state or local governmental unit, (v) state that there has been compliance with Sections 5.11 and 5.12 of the Lease Agreement relating to the Private Business Use limitation and the private loan Ilm:tahon, and M) state that the amount remaining In the Acquisition Fund, together with ,.iterest earnings thereon ur expected to be deposited therein, will, after payment Of the amount set forth In the certificate rLquesting disbursement, be sufficient to pay ail remaining Acquisition Costs as then estimated. If any. —7— 'S — \ . . , 4•P,Yt, (b) Notwithstanding the foregoing, no disbursements shall be made with respect to the acquisition of the Site until the City shall cause to be deposited with the Trustee the title Insurance policy with respect thereto required pursuant to Section 5.8 of the Leat.e Agreement. (c) The Trustee Is hereby directed that all unexpended moneys remaining In the Acquishlon Fund end not Identified In writing by a City Representative to be required for payment of Aoqu.bitlon Costs shall, on the Completion Data, be transferred to the Lease Payment Fund and applied as a credit against succeeding Lease Payments as the same shall become due. Section 3.03. Delivery Costs Fund. The Trustee shall establish a special fund designated as the ' Deivery Costa Fund', shall keep suclt fund separate and apart from all other funds and moneys hold by It; and shall administer such fund as provided herein and In the Lease Agreement. There shall be deposited In the Delivery Costs Fund the proceeds of sale of the Certificates required to be deposited therein pursuant to Section 2.07(c) hereof and any other funds from time to time deposited with the Trustee for such pumose and Identified in writing to the Trustee. Section 3.04. Payment of Dellyery Costs. The moneys In the Delivery Costs Fund shall be disbursed to pay the Delivery Costs, upon the written ogler of a City Representative executed and delivered to the Trustee directing such disbursements. The Trustee shall disburse moneys In the Delivery Costs Fund only upon a receipt of a sequentially numbered requisition signed by a City Representative setting forth the amounts to be disbursed for payment or reimbursement of Delivery Costs and the name and address of the persoti or persons to whom sold amounts are to be disbursed, elating that the amounts to be disbursed are for Delivery Costs properly chargeable to the Delivery Costs Fund. The Trustee shall be responsible for the safekeeping and Investment of the moneys held In the Delivery Costs Fund, file payment thereof in accordance with this Section 3 04, but the Tmsteo shall not be , esponsible for v--h requisitions. Upon written notice from a City Representative that all Delivery Costs have been paid. but In no event later than June 1 1989 the Trustee shall transfer any moneys than remaining In the Delivery Costs Fund to the Acquisition Fund (or to the Lease Payment Fund. If the Acquisition Fund had been previously closed, and applied as a credit against s-rcceed!ng Lease Payments as the sine shall become due), the Delivery Costs Fund shall be closed and the Trustee shall no longs, be obligated to rrike payments for Dellvary Coste 1 ARTICLE IV REDEMPTION OF CERTIFICATES Section 4.01 Redemption. (a) Opt!onal Redemption, The Certificates maturing on or before December 1, 1993, are not subject to optional redemption prior to maturity. The Certificates maturing on and after December 1, 1994, are subject to redemption in whole or In part on any Interest Payment Date (but net In a total redemption amount of less than $20,000 in principal at any one time) In Inverse order of maturity and by lot wl!hln a maturity nn or after December 1, 1993, at the principal amount with respect thereto, together with the premium set forth below (expressed as a percentage of the total principal amount to be redeemed), together with accrued Interest unpaid with respect thereto to the date fixed for redemption, from the proceeds of optional prepayments of Lease Payments made by the City pursuant to the Lease Agreement. Prepayment )ates December 1. 1993 and June 1, 1994 December 1, 1994 and June 1, 1995 December 1, 1995 and June 1. 19% December 1. 1996 and .tune 1 1997 December 1, 1997 and each June 1 and December 1 thereafter Premium Paid With Respect to the Maturity Date of any Redeemed Certificates (b) Redemption From Net Proceeds of Insurance and Condemnation. The Certificates are subject to mandatory redemption in wheio on any date, or In part on any Interest Payment Date proportionately among maturities and by lot within a maturity, from the Net Proceeds of an Insurance or condemnation award to the extent credited towards the prepayment of the Lease Payments by the City pursuant to Section 10.3 of the Lease Agreement, at a redemption price equal to the principal amount thereof to be redeemed together with accrued Interest to the drte fixed for redemption, without premium Section 402 Selection of Certificates for Redemption. Whenever provision is made in this Trust Agreement for the redemption of Ce-tlficates and fewer than all Outstanding Certhtcates are called for redemption, the Trustee shall select Certificates for redemption from the Outstandmg Certificates not previously called for redemption such that the scheduled payments of principal represented by the Certificates In each Rental Peno: correspond to the scheduled payments of the principal components of the Lease Payments following the corresponding prepayment of the Lease Payments pursuant to Sections 10.2 or 10.3 of the Lease Agreement, as determined pursuant to Section 4 4(b) of the Lease Agreement. The Trustee shall select Certificates for -9- q 1997 and 1894 19955 1996 thereafter 1h% 1 % 1'A% 2% 0 '/h 1 11F2 - 0 1h 1 - 0 'h (b) Redemption From Net Proceeds of Insurance and Condemnation. The Certificates are subject to mandatory redemption in wheio on any date, or In part on any Interest Payment Date proportionately among maturities and by lot within a maturity, from the Net Proceeds of an Insurance or condemnation award to the extent credited towards the prepayment of the Lease Payments by the City pursuant to Section 10.3 of the Lease Agreement, at a redemption price equal to the principal amount thereof to be redeemed together with accrued Interest to the drte fixed for redemption, without premium Section 402 Selection of Certificates for Redemption. Whenever provision is made in this Trust Agreement for the redemption of Ce-tlficates and fewer than all Outstanding Certhtcates are called for redemption, the Trustee shall select Certificates for redemption from the Outstandmg Certificates not previously called for redemption such that the scheduled payments of principal represented by the Certificates In each Rental Peno: correspond to the scheduled payments of the principal components of the Lease Payments following the corresponding prepayment of the Lease Payments pursuant to Sections 10.2 or 10.3 of the Lease Agreement, as determined pursuant to Section 4 4(b) of the Lease Agreement. The Trustee shall select Certificates for -9- q ..w redemption within a maturity by lot or In any other manner which the Trustee shall, in Its sole Certificates tshall be deemed toribeeCo and fair For the posed of 55,000 portions, nd any such port or may be separately redeemed. The Trustee shall promptly notify the City and the Corporation In writing of the Certificates so selected for redemption. Section 4.03. Notice of Redemption. (a) Official Notice Unless waived by any Owner of Certificates to be redeemed, official notice of any such redemption shall be given by the Trustee on behalf of the City by malting a copy thereof by first class mall at least thirty (30) days and not more than sixty (60) days prior to the date fixed for redemption to the Owner of the Certificate or Certificates to be redoemed at the address shown on the Registration Boohs. All official notices of redemption shall be dated and shall state: 0) the redemption date, (10 the redemption price, 019 If fewer than all Outstanding Certificates are to be redeemed. the principal amounts) loct (and. he Certificates t l obehedeemed, (lv) that on the redemption respective edemptiondate the redemption price will become due and payable upon each such Certificate or portion thereof called for redemption, and that Interest with respect thereto shall cease to accrue from and alter sold date, and (v) the place where such Certificates are to be surrendered for payment of the redemption price, which place for payment shall be the Principal Corporate Trust Office of the Trustee. Prior to any redemption date, the City shall deposit, or cause to be deposited, with the Trustee an amount of money sufficient to pay the redemption price of all the Certificates or portions of Certificates which are lu be redeemed on that date. Official notice of redemption having been given as aforesaid, the Certificates or portions of Certificates so to be redeemed shall, on the redemption date, become due and payable at the redemption price therein bperilied, and from and after such date (unless the City shall default In the payment of the redompllon pries) Interest with respect to such Certificates or portions of Certificates shall cease to be payable. Upon surrender of such Certificates for redemption In accordance with sold notice, such Certificates shall be paid by the Trustee at the redemption price. Installments of Interest due on or prior to the redemption date shall be payable as herein provided for payment of Interest. All Certificates which have been redeemed shall be cancelled and destroyed by the Trustee and shall not kje reissued Failure by any Owner to receive rotice as hereinabove provided shall not affect the validity of any such redampllon (b) Further Notice In addition to the foregoing notice. further notice shall be given by the Trustee as set forth In this subsection (b). but no defect in sold further notice nor any failure to give all or any portion of such further notice shall in any manner defeat the effccllvoness of a call for redemption If notice thereof 13 given as prescribed In subsection (a) above. Earh further notice of redemption given hereunder shah contain the Information required opove for an official notice of redemption plus (A) the CUSIP numbers of all Certificates being redeemed: (B) the originnl date of execution and deilvery of the Certificates, (C) the rate of Interest payable with respect to each Certificate being redeemed: (D) the maturity date of each Certificate being redeemed; and (E) any other descriptive Informallun needed to Identify accurately the Certificates being radeenied. Each further notice of redemption shall be sent, at least thlrly —five (35) days before the redemption date, by telecopy, registered, certified or overnight mail to all Securities Depositories and to at least one Information Service. Upon the payment of the redemption price of Certificates being redeemed, each check or other transfer of funds Issued for such purpose shall, to the extent practicable, bear or Indicate the CUSIP number identifying, by Issue and maturity, the Certificates being redeemed with the proceeds of such check or other tran3for r Section 4.04. Partial Rede n tlon of Certificate. Upon surrender of any Certificate redeemed In part only, the Trustee snail execute and deliver to the Owner thereof, at the expense of the City, a new Certhicate or Certificates of authorized denominations equal in aggregate principal smoun: to the unredeemed portion of the Certificate surrendered l' and of the same Interest rate and the same maturity. �r Sectior 4.05. Purchase of Certificates. • In lieu of redemption of Certificates as provided In this Article W. amounts held by the Trustee for such redemption may also be used at any time, upon the written request of a City Representative, for the purchase of Certificates at public or private sale as and when and at such prices (Including brokerage, accrued Interest and other charges) as the City may In Its discretlon direct, but net to exceed the redemption price which would be payable It such Certificates were redeemed at that time rather than purchased. The aggregate principal amount of a• Certificates of the same maturity purchased In lieu of redemption pursuant to this Section 4.05 shall not exceed the aggregate principal amount of Cortlficates of such maturity which would otherwise be subject to such redumption. Remaining moneys, If any, 0e11 be deposited In the Lease Payment Fund. q3 ARTICLE V LEASE PAYMENTS; LEASE PAYMENT FUND Section 5.01, Assignment of Rights In Lease Agreement. The Corporation has, In the Assignment Agreement, transferred, assigned and set over to the Trustee certain of Its rights and duties In the Lease Agreement, Including but not limited to all of the Corporation's rights to receive and collect all of the Lease Payments and all other amounts required to be deposited In the Lease Payment Fund pursuant to the Lease Agreement or pursuant hereto. All Lease Payments and such other amounts to which the Corporation may at any time be entitled shall be paid directly to the Trustee and all of the Lease Payments collected or received by the Corporation shall be deemed to be held and to have been collected or received by the Corporation as the agent of the Trustee, and if received by the Corporation at any time shell be deposited by the Corporation with the Trustee within One Business Day after the receipt thereof, and all such Lease Payments and such other amounts shall be forthwith deposited by the Trustee upon the receipt thereof In the Lease Payment Fund (except as provided In Section 6.04 hereof). Section 5.02. Establishment of Lease Payment Fund. The Trustee shall establish a spacial fund designated as the 'Lease Payment Fund' All moneys at any time deposited by the Trustee In the Lesso Payment Fund shall be hold by the Trustee In trust for the berefit of the Owners of the Certificates. So long as any Certificates are Outstanding, neither the City nor the Corporation shall have any beneficial right or Interest in the Lease Payment Fund or the moneys deposited therein, except only as provided In this Trust Agreement, and such moneys shall be used and applied by the Trustee as hereinafter set forth. Section 5.03. Deposits. There shall be deposited in the Lease Payment Fund all Lease Payments received by the Trustee (except as provideu In Section 0.04 hereof), Including any moneys received by the Trusted for deposit therein pursuant to Sections 2.07(x), 4.01 5.01 or Article VII hereof, or Article X of the Lease Agreement, and any other moneys required to be deposited therein pursuant to the Lease Agreement or pursuant to this Trust Agreement. Section 5.04. Application of Moneys. All amounts in the Lease Payment Fund shall be used and withdrawn by the Trustee solely for the purpose of paying the principal. Interest and redemption premiums (If any) with respect to the CertlGs-ates as the same shall become due and payable, In accordance with the provisions of Article II and Article IV hereof Section 5 05 Surplus. Any surplus remaining In the Lease Payment Fund, after redemption and payment in full of all Certificates, Including premiums arei Pxrued Interest tit any) and payment of any applicable fees and expenses of the Trustee, or provision for such redemption or payment having been made to the satisfaction of the Trustee, shall be withdrawn by the Trustee and remitted tc the City. -12- � I ARTICLE VI RESERVE FUND Section 6.01 Establishment of Reserve Fund. The Trustee shall establish a r special fund designatetl es the'Reserva Funtl.' All moneys at any time on deposit In the Reserve Fund shall be held by tie Trustee in trust for the benefit of the Owners of the Certificates and applied solely as provided herein. Section 6.02 D, eposits. Thera shall be deposited and maintained In the Reserve Fund from the proceeds of the sale of the Curti6cales an amount equal to the Reserve Requirement, In accordance with Section 2.07(b). Moneys In the Reserve Fund shall be held In trust as a reserve for the payment when, due of all the Lease Payments to be paid pursuant to the Lease Agreement. Section 8.03. Transfers of Excess. The Trustee shall, on each Interest Payment '. Date prior to the Completion Data, transfer any monLvs In the Reserve Fund than In excess of the Reserve Requirement to the Acquisition Fund, and after the Completion Data shall transfer any such moneys to the Lease Payment Fund to be credited to the Lease Payments next coming due and payable. Sectlon 6.04. A�ollcatlon in Event of Dallclencv in LeaSa Pevment Fund. If on any Interest Payment Date, the mcneys available In the Lease Payment Fund do not equal the amount of the principal One Interest and redemption premiums (If eny) with respect to the Certificates then coming duo and payable, the Tnrsteo Viail apply the moneys available In the Reserve Fund to make delinquent Lease Payments on behalf of the City by transferring the amount necessary for this purpose to the Lease Payment ' Fund. Upon receipt of any delinquent Lease Payment with respect to which moneys have been advanced from the Reserve Fund, such Lease Payment shall be deposited in the Reserve Fund to the extent of such advance. Section 6.05. Transfer To Make All Leese Payments. If on any Interest Payment Date, the moneys on deposit In the Reserve Fund and the Lease Payment Fund (In addition to all amounts set aside therein for payment of principal. Interest and redemption premium. If any, with respect to Certificates thoretofora redeemed or matured but not presented for payment) are sufficient to pay all Outstanding Certificates, Including all principal, Interest and redemption premiums (if any), the Trustee shall, upon the written direction of a City Representative, transfer all amounts then on deposit In the Reserve Fund to the Lapse Payment Fund to be applied to the payment of the Lease Payments on behalf of the City. and such moneys shall be distributed to the Owners of Certificates In accordance with Article II of this Trust Agreement. Any amounts remaining In the Reserve Fund upon payment In full of all Outstanding Certificates, or upon provision for such payment as provided In S6:r,on 14.01 shall be withdrawn by the Trustee and paid to the City. -13- q 4 ARTICLE VII INSURANCE AND CONDEMNATION FUND; INSURANCE; EMINENT DOMAIN Section 7.01 v,mo nwew, nuy Plat rruueeas ur insurance against damage to or destruction of any part of the Slte collected by the City it 'Is event of any such accident or destruction shall be paid to the Trustee by the City pursuant to Section 6.2(s) of the Lease Agreement and deposited by the Trustee promptly upon receipt thereof in a special fund designated as the 'Insurance and Condemnation Fund.' If the City determines and notifies the Trustee In writing of Its determination, within ninety (00) days following the date of sach deposit. that the replacement, repair, restoration, modification or Improvement of the Site Is not economically feasible or In the best interest of the City. then such Net Proceeds shall be promptly transferred by the Trustee to the Lease Payment Fund and applied to the prepayment of Lease Payments pursuant to Section 10.3 of the Lease Agreement; provided, however, that In the event of damage or destruction of the Site In full, such Net rirocoods may be transferred to the Lease Payment Fund only If sufficient, together with other moneys available therefor, to cause the prepayment of the principal components of all unpaid Lnase Payments pursuant to Section 10.3 of the Lease Agreement. All Net Proceeds deposited In the Insurance and Condemnation Fund and not so transferred to the Lease Payment Fund shall be applied to the prompt replacement, repair, restoration, modification or Improvement of the damaged or destroyed portions of the Site by the City, upon receipt of requisitions satisfactory to the Trustee signed by a City Representative steting with respect to each payment to be made () the requisition number, 01) the name and address of the person, firm or corporation to whom payment Is due, (110 the amount to be paid and (IV) that each obligation mentioned therein has been properly Incurred, Is a proper charge against the Insurance and Condemnation Fund, has not been the basis of any previous withdrawal, and specifying In reasonable detail the nature of the obligation, accompanied by a bill or a statement of account for such obligation. Any balance of the Net Proceeds remaining otter such work has been completed shall be paid to the City. Section Thee .Application of Net Proceeds of Eminent Domain Award. If all or any part of the Site shall be taken by eminent domain proceedings (or sold to a government threatening to exercise the power of eminent domain) the Net Proceeds therefrom shall be deposited with the Trustee In the Insurance and Condemnation Fund pursuant to Section 6.2(b) of the Lease Agreement and shall be applied and disbursed by the Trustee as follows. (a) If the City has given written notice to the Trustee of Its determination that (1) such eminent domain proceedings have not materially affected the use of the Site or the ability of the City •o meet any of Its obligations under the Lease Agreement, and 00 that such proceeds are not needed for repair or rehabilitation of the Site, the City shall so certify to the Trustee and the City has given written notice to the Trustee of such determination. the Trustee, at the City's request, shall transfer such proceeds to the Lease Payment Fund to be credited towards the prepayments of Lease Payments pursuant to Section 10 3 of the Lease Agreement and applied to the redemption of Certificates in the manner provided In Section 4.01(b) hereof. —14 61 (b) If the City has given written notice to the Trustee of Its determination that (I) such eminent domain proceedings have not materially affected the use of the Site or the ability of the City to meet any of Its obligations under the Lease Agreement, and (Iq such, wr proceeds are needed for repair, roh3biiltatlon or replacement of the Site, the City shall so certify to the Trustee dnd the Trusts st the City's request, shall pay to the City, or to Its order, from said proceeds such or, punts as the City may e/pend for such repair or y. rehabilitation, upon the filing with the Trustee of requisitions of the City Representative In the form and containing the provisions set forth in Section 7.01 (c) It (I) less than all of the Site shall have been taken In such eminent domain proceedings or sold to a government threatening the use of eminaht domain powers, and If the City has given written notice to the Trustee of Its determination that such eminent domain proceedings have materially affected the use (if the Site or the ability of the City to meet any of Its obligationn under the Lease Agre?.n3nt or (IQ all of the Site shall have been taken In such eminent domain prot;nd1,iys, then the Trustee shall transfer such prcceeds to the Lease Payment Fund to be credited toward the prepaymenvol Lease Payments pursuant to Section 10.3 of the Lease Agreement and applied to the redemption of Certificates In the manner provided In 4.01(b) hereof. (d) In making any determination under this Section 7.02, the City may obtain, but shall not be required to obtain, at Its expense, the repot of on Independent engineer or other Independent professior e, consultant, a -opy of which shall be filed with the Trustee. Any such determtnr on by the City shall be final. Se !Ion 7.03. Cooperation. The Corporation and the Trustee shall cooperate fully with the City at this expense of the City In filing any proof of loss with respect to onv Insurance policy maintained pursuant to Article V of the Lease Agreement and In the prosecution or delenca of any prospective or pending condemnation proceeding with respect to the Site or any portion thereof. The Trustee shall not be obligated to join In such action If It bclleves It will be exposed to liability or has not been Indempffied to Ito satisfaction from any loss, liability or expense Including, but not limited to, attorneys' fees. _15_ q N APTICLE VIII MONEYS IN FUNDS; INVESTMENT Section 8.01 Hold In Trust. The moneys and Investments held by the Trustee under this Trust Agreement are Irrevocably held In trust for the benefit of the Owners of the Certificates and for the purposes herein specified, and such moneys, and any Income or Interest earned thereon, shall be expended only as provided In th.s Trust Agreement, and shall not be subject to levy or attachment or lien by or for the benefit of any creditor of the Corporation, the Trustee, the City or any Owner of Certificates. Section 8.02. Investments Authorized. Moneys hold by tha Trustee hereunder shall, upon written order of a City Representative, be Invested and reinvested by the Trustee, to the maximum extent practicable, In Permitted Investments. If a City Representative shall fall to so direct Investments, the Trustee shall Invest the affected moneys In Permitted Investments described In paragraph (h) of the definition thereof. A City Representative inay, by written order glad with the Trustee, direct such Investment of moneys held by the Trustee in specific Permitted Investments. Such Investments. If registrable, shall be registered In the name of and held by the Tructee or Its nominee. The Trustee may purchase or sell to Itself or any affillate, as principal or agent. Investments authorized by this Section 8.022. Such Investments and reinvestments shall be made giving full consideration to the time a. which funds are reoulred to be available. The Trustee may act as purchaser or agent In the making or disposing of any Investment. Section 8.03. Accounting. The Trustee shall furnish to the City, at least monthly. an accounting which may be in the form of its customary accounting statements of all Investments made by the Trustee The Trustee shall not be responsible or liable for any loss suffered In connection with any Investment of funds made by it In accordance with Section 8.02 hereof Section 8.04. Allocation of Earnings. Subject to the pro% aions of Section 8.07 hereof, all Interest or Income received by the Trustee on Investment of the Lease Payment Fund hereof shall, prior tc the Completion Date, be transferred to the Acquisition Fund and thereafter shall be retained In the Lease Payment Fund and be applied as a credit against the Lease Payment due from the City pursuant to the Lease Agreement on the Lease Payment Data following the date of deposit. Subject to tha provisions of Section 8.07 hereof, all Interest or Income received by the Trustee on investment of the Reserve Fund shall be retained In the Reserve Fund In the event that amounts on deposit in the Reserve Fund are less than the Reserve Requirement In the event that amounts then on deposit In the Reserve Fund equal or exceed the Reserve Regnuement, such Interest or Income shall, on each Interest Payment Date prior to the Completion Dare, be transferred to the Acquisition Fund and thereafter shall be transferred on each Interest Payment Date to the Lease Payment Fund and applied as a credit against the Lease Payment due by the City pursuant to the Lease Agreement on the Lease Payment Date following the date of deposit Transfers to the Acquisition Fund or the Lease Payment Fund from the Reserve Fund shall be made by the Trustee on or prior to each Lease Payment Date. All Interest or Income In the Acquisition Fund shall be retained In the Acquisition Fund until the Acquisition Fund Is closed pursuant to Section 305 hereof All Interest or Income In the Delivery Costs Fund shall be retained In the -16- 1 O/ Y Db,lvery Costs Fund until the Delivery Costs Fund Is closed pursuant to Section 3.04 hereof. Section 8.05. Valuation and Disposition of Investments. For the purpose of determining the amount In any fund. all PermlltaJ Investments credited to such fund shall be valued by the Trustee at cost (exclusive of accrued Interest). The Trustee may sell at the best price obtainable, or present for redemption, any Permitted Investment so purchased by the Trustee whenever it shall be necessary In order to provide moiloys to meet any required payment, transfer, withdrawal or disbursement from the fund to which such Permitted Investment is credited, and the Trustee shall not be liable or responsible for any loss resulting from any such Permitted Investment. Section 8.06. No Arbitrage. The City shall not take, or permit or suffer to be taken by the Trustee or otherwise, any action with respect to the Gross Proceeds of the Certificates which If such action tied been reasonably expected to have been taken, or had been deliberately and intentionally taken, on the Closing Date would have caused the Certificates or the Lease Agreement to be 'arbitrage bonds' within the meaning of section 148(a) of the Code and Regulations. Section 8.07 Rebate of Excess Investment Earnings to United States. (a) Creation of Funds. There are hereby created, to be held by the Trustee as separate funds distinct from all other funds and accounts held by tho Trustee under this Trust Agreement, tiro Earnings Fund and the Rebate Fund. All Interest earnings and profits on amounts In all funds or accounts established under this Trust Agreement. other than (1) Interest earnings and profits on amounts In the Lease Payment Fund (except for amounts referenced In clauses (a) and (b) of the definition of Gross Proceeds) and In any other accounts and funds referenced In subsection (c)(4) of this Section 8.07 It such Interest earnings and profits In any Rebate Calculation Period are less than $100,000, 00 Interest earnings and profits on amounts In funds and accounts which do not constitute Gross Proceeds, and (III) Interest earnings and profits on the Rebate Fund, shall, upon receipt by the Trustee, be depositeo In the Earnings Fund. In addition, all Interest earnings and profits on Gross Proceeds In funds and accounts held by the City shall, upon receipt, be paid by the City to the Trustee for deposit in the Earnings Fund. Annually, within twenty —five (25) days following the last day of each Rebate Calculation Period, the Trustee shell transfer from the Earnings Fu.id to the Rebate Fund for purposes of ultimate rebate to the United States an amount equal to Excess Investment Earnings, all as more particularly described In this Section 8.07 Following the transfer referenced In the preceding sentence, the Trustee shall transfer all amounts remaining In the Earnings Fund to the Acquisition Fund or If such fund has been closed pursuant to Section 3.05, to the Lease Payment Fund to be used fcr the payment of Leass Payments on the next Cue Date and, for such purpose, Lease Payments received from the City shall be credited by an amount equal to tho L cunt so transferred. (b) Duties of City In General. The City shall calculate Excess investment Earnings in accordance with subsection (c) or this Section 8.07 and shall assure payment of an amount equal to Excess Investment Earnings to the United States In accordance with subsections (d) and (o) of this Section 8.07 —17— I 1 ti (c) Calculation of Excess Investment Earnings. Within twenty (20) days following the last day of the first Rebate Calculation Period, the City shall calculate, or shall cause to be calculated, and shag provide written notice to the Trustee of, the Excess Investment Earnings referenced in paragraph (a) of the definition of Excess Investment Earnings. Thereafter, within twenty (20) days following the last day of each Rebate Calculation Period and within fifty (50) days following the date of the payment of Leasp Payments and the Certificates In full, the City shall calculate, or shall cause to be calculated, and shall provide written notice to the Trustee of, the amount of Excess Investment Earnings. Sold calculations shall be made or caused to be made by the City In accordance with the following: (1) Except as provided In (2), In dntermining the amount described In paragraph (a)t@ of the definition of Excess Investment Earnings, the aggregata amount earned on Nonpurpose Investments shall Include (g all income realized under federal Income tax accounting principlea (whether or not the person earning such Income Is subject to federal Income tax) with respect to such Nonpurpose Investments and with respect to the reinvestment of Investment receipts from such Nonpurpose Investments (without regard to the transaction costs Incurred In acquiring, carrying, selling or redeeming such Nonpuroose Investments), Including, but not limited to, gain or loss realized on the disposition of such Nonpurpose Investments (without regard to when such gains are taken Into account under section 453 of the Code relating to taxable year of Inclusion of gross Income), and Income under section 1272 of the Code (relating to original issue discount) -nd (If) any unrealized gain or loss as of the date of payment of Lease Payments and Certificates In full In the event that any Nonpurpose Investment Is retained after such date. (2) In determining the amount described in paragraph (a) of the definition of Excess Investment Earnings, Investment Property shall be treated as acquired for Its lair market value at the time It becomes a Nonpurpose Investment, so that gain or loss on the disposition of such Investment Property shall be computed with reference to such lair market value as Its adjusted basis. (3) In determining the amount described In paragraph (b) of the definition of Excess investment Earnings. all Income attributable to the excess described in paragraph (a) of sold definition shall be taken Into account, whether or not that Income exceeds the Yield of the Lease Agreement, and no amount may be treated as -negative arbitrage.' (4) In determining the amount of Excess Investment Earnings, there shall be excluded any amount earned on any fund or account which Is used prhnadly to achieve a proper matching of revenues and payments with respect to the Certificates within each Rebate Calculation Period and which Is depleted at feast once a year except for a reasonable carryover amount not in excess of the greater of one year's earnings on such fund or account or one - twelfth (1 /12th) of annual Lease Payments, as well as smodnts earned on said earnings. If the gross earnings on ell such funds and accounts for the Rebate Calculation Period is less than $100.000. -18- I K"-D ',7i f-'- (d) Payment to the United States, The City shall direct the Trustee to pay from the Rebate Fund an amount uqual to Excess Investment Earnings to the United Slates In Installments with the first payment to be made not later than thlrty,(30) days after the end of the fifth (51h) Rebate Ceteulatlon Period and with subsequent'paymonts hi be made not later than every five (5) years after the preceding payment was due. The City shall assure that each such Instalment is In an amount equal to at least ninety percent (90 %) of the Excess Investment Earnings as of the end of the Rebate Calculation Period Immediately preceding lh.i crate of such payment. Not later than sixty (60) days after the date of payment of Leese Payments and Certificates In full, the City shall direct the Trustee to pay from the Rebate Fund to tho Unitea States one hundred percent (100 %) of the theretofore unpaid Excess Investment Earnings. In the event that there are any amoun'a remaining In the Rebate Fund following the payment required by the preceding sentence, lne Trustee shall pay said amounts to the City to be used for any lawful parpose of the City. The City shall direct the Trustee to remit paymento to the United Stataa at 'ha address prescribed by the applicable Regulations ea tho same may be from time to time In effect with such reports and statements as may be prescribed by such Regulations. In the event that, for any reason, amounts In the Rebate Fund are Insufficient to make the payments to the United States which are required by this subsection (d), the Clry shell assure that such payments are made by the City to the United States, on a timely basis, from any funds lawfully available therefor (o) Further Obligation of City and Trustee. The City and the Trustee snail assure that Excess Investment Earnings are not paid or disbursed except as required In this Section 8.07 To that end, the City and the Trustee shall assure that I, 'estment transactions are on an arm's length basis and that Nonpurpose Im. manta are acquired at their fair market value. In the event that Nonpurpose investments consist cf certificates of deposit or investment contracts, Investment In such Nonpurpose Investments shall be made In accordance with the procedures described In applicable Regulations as from time to time In eifect (() Maintenance of Records. The City and the Trustee shall keep, and retain fur a period of ulx t6) years following the payment of Lease Payments and Certificates In full, records of the determinations made pursuant to this Section 8.07. (g) Independent ConsLltents. 1.1 order to provide for the administration M this SeLtion, the City and the Trunt90 may provide for the employment of Independent attorneys, accountants and rcnsuitants comparsated on such reasonable basld as the City or the rustee may deem appropriate. ) 0 1 ARTiC _E IY THE TRUSTEE Section 9.01 Appointment of Trustee. Bank of America National Trust and Savings Associatlor., a national banklmg association organized and oalsting under and by virtue of the laws of the united Stales of America with a principal corporate trust office in Los Angeles, California. is hereby appointed Trustee by the Corporation and the City for the purpose of receiving all moneys required to be deprrslted with the Trustee hereunder and to allocate, use ano apply the same as provided In this Trust Agreement. the Corporation and the City agree that they will maintain a Trustee which shall be a corporation organized and doing business under the Icws of arty slate or the United States of America or the District of Columbia, authorized under such laws to exercise corporate trust powers, whlclr shall have (or, in the case of a corporation Included In a bank holding comp_,ny system, the related bank holding company shall have) e combined capital and surplus of at least fifty million dollars (850,000.000). and subject to supervision or examination by federal or State authority, so long as any Certificates are Outstanding. If such corporation publishes a report of condition at least annually pursuant to law or to the requirements of any u..pervising or examining authority above referred to then for thn purpose of this Section 9.01, the combined capital and surplus of such corporation shall be deemed to be Its combined capital and surplus as set forth In its most recent report of ccnddion so published. In case at any time the Trustee shall cease to be eligible In accordance with the provisions of this Section 9.01, the Truatee shall resign Immediately in the manner and with the effect specified in Section 9.07 The Trustee is hereby authorized to redeem the Certificates when duly presented for payment at maturity, or on redemption, or on purchase by the 7.1rstee prior to maturity In accordance with Section 4.06 hereof, and to cancel all Certiilcates upon payment thereof. The Trustee shall keep accurate records of all funds administered by It and of all Certificates paid and discharged. The Trustee shall be compenstded for its services rendered pursuant to the provisions of this Trust Agreement. Section 9.02. Acceptance of Trusts. the Trustee hereby accepts the trusts Imposed upon It by this Trust Agreement, and agrees to perform said trusts, but only upon and subject to the following express terms and conditions* The Trustee, prior to the occurrence of an Event of Default and after curing of all Events of Default which may have oecurrer: undertakes to perform such duties and only such duties as are specifically set forth In this Trust Agreement and no Implied duties or obligations shall be read into this Tneet Agreement against the Trustue. In case an Event of Default etas occurred (which has not been cured or waived), the Trustee may exercise such of the nghts and powers vested In It by this Trust Agreement, and shall use the samb degree of care and skill In their exercise, as a prudent and reasonable Individual or Investor would exercise or use under the circumstances In the conduct of his own affairs. No provision In this Trust Agreement shall require the Trustee to expand or risk Its own funds or otherwise Incur any finu.iclal liability In the performance of any of Its duties hereunder, or In the exercise of any of Its rights or powers. It it shall have reasonable -20- 1 C) 'Z' grounds to. believing that repayment of such funds or adequate Indemnity against such risk or liability Is not reasonably assured to It. The Trustee may execute any of the trusts or powers hereof and perform the duties required of It hereunder by or through attorneys, agents. or receivers and the Trustee shall not be responsible for any misconduct or negligence on the part of any attorney, agent or receiver appointed In accordance with the standard specified above. and shell be entitled to advice of counsel concerning all matters of trust and Its duties hereunder The Trustee shall not be responsible for any recital herein, or In the Certificates, or for any of the supplements thereto or Instruments of further assurance. or for the sufficiency of the security for the Certificates delivered hereunder or Intended .. he sezurerf hereby and the rrustee shall not be bound to ascertain or Inquire as to the o! ydrvance or performance of any covenants, conditions cr agresments on the part of the Corporation or the City under the Lease Agreement. The Trustee shall not be responsible or liable for any loss suffered In connection with any Investment of tunas made Ly It In accordance with Article Vlll of this TrLst Agreement. The Trustee shall not be accountable for the use of any Certificates delivered hereunder The Trustee may become the Owner - pledgee of Certificrtes secured hereb; with the same rights which it would have If It were not the Trustee: may acquire and dispose of other bonds or evidences of Indebtedness of the Clb with the same rights it would have If It were not the Trustee: and may act as a deposit ay for and permit any of Its officers or directors to ac! as a member of, or In any other capacity with respect to, any committee formed to protect fhe rights of Owners of Certificates, whether or not such committee shall represent the Owrors of the majority in principal amount of the Certificates then Outstanding. In the absence of bad faith or Its part the Trus'ec shall be protected In acting upon any notice, request, consent, certificate, order, affidavit, letter, telegram or other paper or document believed by It to be genuine and correct and to have been signed or sent by the proper oerson or persons. Ony action taken or omitted to be taken by the Trustee In good faith pursuant to this Trust Agreement upon he request or authority or consent of any person who at the time of making such request or giving such authority f,r consent Is the Owner of any Certificate. shall be conclusive and binding upon all future Owners of the sn-te Certificate and upon Certificates executed end delivered In exchange therefor or In place thereof. As to the existence or non - existence of any fact or as to the sufficiency or valid" of any Instrument. paper or proceeding. the Trusts shall oe entitled to rely upon a certificate signed by a Corporation Representative or a City Representative as stJfclent evidence U the facts therein containeo slid prior to the occurrence of an Event of Default of which the Trustee has been givnn notice or is doomed to have notice, shall also be at hbert; to accept a similar certificate to the effect that any particular dealing, transaction or action is necessary or expedient. The Trustee may accept a certificate of an Corporation Representative or a City Representative to the effect that an authorization in the form therein set forth has teen adopted by the Corporation or the City, as the case may bo. as conclusive evidenco that such authorization has been duty adopted. and Is In full force and effect. The permissive right of the Trustee to do things enumerated In this Trust Agreemen; stiali not be construed as a duty and It shall not be answerable for other than its negligence or willful default. The Immunities and exceptions from Ilabaty of the Trustee shall extend to Its officers, directors, employees and agents. The Trustee shall not be required to take notice or be deemed to have notice of any Event of 4efault haraunder except failure by the City to make any of the Lease Payments to the Trustee required to be made by the City pursuant to the Lease Agreement or failure by the Corporation or the City to file with the Trustee any document required by this Trust Agreement or the Lease Agreement to be so filed subsequent to the eellvery of the Certificates, unless the Trustee shNi be specifically notified In writing Of sucn rfefeult by the Corporation, the City or by the Owners of at least five percent (5 %) In aggregate principal amount of Certificates then Outstanding and all notices Or other la;trumenis required by this Trust Agreement to be delivered to the Trustee must, In order to be effective, be delivared at the Principal Corporate Trust Office of the Trustee, and In the absence of such notice so delivered the Trustee may conclusively assume there is no Event of Default except as aforesaid, The Trustee shall be ruirid to give any bond or suret In execution Of the said trustsoand Powers or Otherwise In respect of the Premisesect of the Notwithstanding anything elsewhere In this Tn¢t Agreement with respect to the executicr of any Certificates the withdrawal of any each, the release of any property, or any action whatsoever within the purview of his Trust Agreement, the Trustee 9P211 have the right, but shall riot be rsquled, to demand any showings, certificates, opin,nns, appraisals or otner Information, or corporate action or evidence thereof, in edd8icn nn that by the terms hereof required as a condition of such actlnn, by the Trustee deemetl desi -able for the purpose of establishing the right of the City to the withdrawal of any Casa or the taking of any other action by the Trustee. ne:ain Priovided, berheld In trust tfor he purposes for which they verei received but need not be segregated from other funds except to the extent required by law. The Trustee shall not be liable with respect to any action taken or omitted to be taken by It In good faith In accordance with the direction Of the Owners of a majority in aggregate principr.t amount of the Outstanding Certificates relating to the time, method and place of conducting any proceeding to' any remedy available to the Trustee, or exercising any trust or power conferred upon the Trustee, under this Trust Agreement. Before being required to take any action, the Trustee may require an opinion of Independent eeo her acceptable to requrest. which counsel opinion shall be l to available t Parties hereto, or a verified certificat0 of en Y be counsel to any of the g the proposed action. It It does so In good faith, iho Trustee ehalol bo absolutely prolnec ed In relying tnereon Under no the nces Ceshfitca esTrusteo be liable In Its Individual capacity for the obligat :ons evidenced by -22- ' U L _' The Trustte shall not be accountable for the use or application by the City or the Corporation or any other party of any funds which the Trustee hat released in accordance with the terms of this Trust Agreement. The Trustee mores no representation or warranty, expr,%Ss or implled, as to the title, value, design, compliance with specifications or legal requirements, quality, durability, operation, condition, merchantability or fitness for any particular purpose or fitness for the use contemplated by the City or the Corporarion of the Site, In no event shall the Trustee be liable for Incidental, Indirect special or consequential c'smages in connection wits or ar(sing from the Lease Agreement or this Trust Agreement for the existence, furnishing er use of the Site. The Trustee makes no repnosentations as to the validity or sufficient)' of the Certificates and shall Incur no responsibility In respect thereof, Other than fr. connection with the duties or obligations herein Or In the Certificates assigned to or Imposed upon It. The Trustee shall not be responsible for the sufficiency of the Lease Agreement or the assignment under the Assignment Agreement. The Trustee shall not be liable for the sufficiency or collection of any Lease Payments Or other moneys required to be paid to It under the Lease Agreement (excep( as provided in this Agreement), Its right to reOS(ve moneys pursuant to the Lease Agreement, Or the value of or title to the Site. In accepting the trust hereby created, the Trustee acts solely as Trustee for the Owners and not In Its Individual capacity and all Persons, including without limitation the Owners or the shall took Corporation oonly tothegfuunds claim ana accounts heldsba arising from hereunder for payment except as Otherwise provided herein Y the Trustee Section 0.03. Fees. Charges and Expenses of Trustee, heeded to and all t and reimbursement for reasonable fees for Its aservices rendered hereunder and all advances, counsel fees (Including expenses) and other ex reasonably and necessarily made or Incurred by the ) Trustee In connection with such services end. In the Event of Default, the Trustee shall have a first and prior lien on the funds held hereunder to secure the same. Section 0.04 Notice to Certificate Owners of Default. If an Event of Default occurs of which the Trustee has been given or Is deemed to have notice, then the Trustee shall promptly give written notice thereof by first class man to the Owner of each Certificate, t.nless such Event of Default shall have been cured before the giving Of Such notice; Provided, however that unless such Event of Default consists Of the failure by the City to make any Lease Payment when due, the Trustee may elect not to give such notice it and so long as the Trustee in good faith determines that It Is In the best interests of the Certificote Owners net to give such notice. Corporation Intervention b�ste0 In an poretion or the City is a party which, In the opinion of the Trustee and Proceeding Counsel, has a substantial bearing on the interests of Owners or the Certificates. 'he Trustee may intervene on behalf of the Ceitincate Owners, and shall do 80 It requested in writing by the Owners of at least five percent (5 %) of the aggregate principal amount of Cefllliestas then Outstanding. provided that the Trustee shall have no duty to sko such action unless It has been Indemnified to Its satisfaction for any expenses hereunder The rights and 23- (6's obligations of the Trustee under this Section 9.(Y4 ere subject to the approval of a court of competent jurisdiction. Section 9.06. Removal of Trustee. The "ity or the Owners of at least a majority of the, aggregate principal amount of Certificates then Outstanding may, with the consent of the Corporation, remove the Trustee Initially appointed, and any successor thereto, by an Instrument or concurrent Instruments In writing delivered to the Trustee ana the Corporation, and may appoint a successor or successors thereto; provided that any such successor shall be a bank or trust company meeting the requirements .et forth In Section 9.01 hereof. Section 9.07 Reslanation by Trustee. The Trustee and any successor Trustee may, at any time, resign by giving thirty (31)) days' written notice by registered or certified mall to the City and the Corporation. Upon receiving such notice of resignatien, the City shall promptly appoint a successor Trustee. Any resignation or removal of the Trustee and appointment of a successor Truste,) shall become effective upon acceptance of appointment by the successor Trustee. Upon such acceptance, the City shall mall notice thereof to the Certificate Owners at their rmpective addresses set forth on the Registration Books. Section 9.08. Appointment of Suocessor Trustee. In the event of the removal or resignation of the Trustee pursuant to Sections 9.06 or 9.07 hereof, respectively, the City shall promptly appoint a successor Trustee. In the event the City shall, for any reason wnatsoever, fall to appoint a successor Trustee within thirty (30) days following the delivery to the Trustee of the Instrument described In Section 9.06 hereof or within thirty (30) days following the receipt of notice by the City pureuont to Section 9.07 hereof, the rustes may apply to a court of competent jurisdiction at the expense of the City for the ppolntment of a successor Trustee meetng the requirements of Section 9.01 hers-of. Any such successor Trustee appointed by such court shall become the successor Trustee ,ereunder notwithstanding any action by the City purporting to appoint a successor Trustee following the expiration of such thirty (30) day period. Section 9.09. Merger or Consolidation. Any company or association Into whlcl, the Trustee may be merged or converted or with which It may be consolidated or any company resulting from any merger, conversion or consolidation to which It shall ba a party or any company or association to which the Trustee may sell or transfer all or substantially all of Its corporate trust business, provided that such company or association shall be eligible under Section 9.01 hereof shall be the successor to the Trustee and vested with all of the title to the trust estate and all of the trusts, powers, discretions, immunities, privileges and all other matters as was Its predecessor, without the execution or tiling of any paper or further act. anything herein to the contrary notwithstanding Section 910 Concerning any Successor Trustee Every successor Trustee appointed hereunder shall execute, acknowledge and deliver to Its or his predecessor and also the Corporation and the City an Instrument In writing accepting such appointment hereunder and thero.rpon such sucressor, without •iny further act, dead or conveyance snalt become fully vested with all the estates• pro;ertles, ri0hls, powers, trusts. duties and eFllgationo of Its predecessors; but such predecessor snall. nevertheless, on the written request of tho City, or of Its successor execute and deliver -24- 1 6 (J t'dl� ' s an Instrument transferring to such successor all the Deletes, properties, rights, powers and trusts of such predecessor hereunder, and every predecessor Trustee shall deliver all X- securities and moneys held by it as the Trustee hereunder to Its successor Should any r fr, Instrument in writing from the City be required by any successor Trustee for more fully and certainly vesting in-such successor the estate. rights, powers and duties hereby y; w vested or intended to be vested In the predecessor, any and all such Instruments in .'•r` writing shall, on request, be executed, acknowledge,,' and delivered by the City. The resignation of any Trustee and the' Instrument or Instruments removing any Trustee and appointing a successor hereunder, together with all other Instruments provided for In this :{. Article IX, shall be filed or recorded by the successor Trustee In each recording office where the Assignment Agreement shall have been filed m recorded. c -25- U �1 9 ARTICLE x MODIFICATION OR AMENDMENT OF AGREEMENTS Section 10.01 Amendments Permitted. This Trust Agreement and the rights and obligations of the Owners of the Certificates and the Lease Agreement and the rights and obligations of the parties thereto, may be modified or amended at any time by a supplemental agreement which shall become effective when the written consents of the Owners of 3t least fifty -one percent (51 %) in aggregate principal amount of the Certificates they. Outstanding, exclusive of Certificates disqualified as provided in Section 10.03 hereof, shall have been filed with the Trustee. No such modificallon or amendment shat; (1) extend or have the effect of extending the fixed maturity of any Certificate or reducing the Interest rate with respect theretc or extending the time of payment of Interest, or reducing the amount of principal thereof, or reducing any premium pay.,ble upon the redemption thereof, without the express consent of the Owner of suoh Certificate, or (2) reduce or have the effect of reducing the percentage of Certificates required for the affirmative vote or written consent to an amendment or modification of the Lease Agreement, or (3) modify any of the rights or obligations of the Trustee without Its written assent thereto. Any such supplemental agreement shall become effective as provided In Section 10.02 hereof. This Trust Agreement and the rights and obligations of the Owners of the Certificates and the Lease Agreement and the rights and obligations of the respective parties thereto, may be modllled or amended at any time by a supplemental agreement, without the consent of any such Owners, but only to the extent permitted by law and only (1) to add to the covenants and agreements of any party, other covenants to de observed, or to surrender any right or power herein reserved to the Corporation or the City, (2) to cure, correct or supplement any amblguods or defective provision contained herein or therein and which shall not, in the opinion of notionally recognized bond counsel. adversely affect the Interests of the Owners of the Certificates. (3) In regard to questions arising hereunder or thereunder, as the parties hereto or thereto may deem necessary or d- sirable and which shall not, In the opinion of nationally recognized bond counsel, adversely affect the Interests of the Owners of the Certificates. (4) to modify the legal description of the Site to conform to the requirements of title Insurance or otherwise to add or delete property descriptions to reflect accurately the description of the parcels Intended to be Included therein; or (5) to make such additions, deletions or modifications as may be necessary or appropriate to assure compliance with section 148(0 of the Code relating to required rebate of Excess Investment Earnings to the United States or otherwise as may be necessary to assure the exclusion from gross hicome for federal Income tax purposes of the Interest component of Lasso Payments and the Interest payable with respect to the Certificates. Any such supplemental agreement shall become effective upon Wecutlon and delivery by the parties hereto or thereto, as tae case may be Section 1002 Procedure for Amendment with Written Consent of Certificate Owners This Trust Agreement and the Lease Agreement may be amended by supplemental agreement as provided In this Section 10.02 In the event the consent of the Owners of the Certificates Is required pursuant to Section 10.01 hereof. A copy of such supplementai agreb vent, together with a request to the Certificate Owners for their I -26- Cj consent thereto, shall be mailed by the Trustee to each Owner of a Certificate at his address as set forth on the Registration Books, but failure to mail copies of such supplemental agreement and request shell not effect the validity of the supplemental agreement when assented to as In this Section 10.02 provided. Such supplemental agreement shall no' become effective unless there shell be filed with the Trustee the written consents of the Owners of at least sixty percent (60%) In aggregate principal amount of the Certificates then Outstanding (exclusive of Certificates disqualified as provided In Section 10.03 hereaq and a notice shall htve been mailed as hereinafter In this Section 10.02 provided. Each such consent shall be effective only if accompanied by proof of ownership of the Certificates for which such consent is given, which proof shall be such as Is permitted by Section 2.11 hereof. Any such consent shall be binding upon the Owner of the Certificate giving such consent and on any subsequent Owner (whether or not such subsequent Owner has notice thereo0 unless such consent Is revoked In writing by the Owner giving such consent or a subsequent Owner by filing such revocation with the Trustee prior to the date when the notice hereinafter In this Section 10.02 provided for has been mailed. Alter the Owners of the required percentage of Certificates shall have filed their consents to such supplemental agreement, the Trustee shall mall a notice to the Owners Of the Certificates In the manner hereinbefore provided In this Section 10.02 for the mailing of such supplemental agreement of the notice of adoption thereof, stating in substance that such supplemental agreement has been consented to by the Owners of the required percentage of Certificates and will be effective as Provided In this S .ctlon 10.02 (but failure to mail copies of said notice shall not affect the validity of such supplemental agreement or consents thereto). A record, consisting Of the papers required by this Section 10.02 to be filed with the Trustee, shall be conclusive proof of the matters therein stated. Such supplemental agreement sha!I become effective upon tare mailing Of such last - mentloned notice, and such supplemental agreement shall be deemed conclusively binding upon the parties hereto and the Owners of all Certificates at the expiration of sixty (60) days after such filing, accept in the event of a final decree of a court of competent Jurisdiction setting aside such consent In a legal action or equitable proceeding for such purpose commenced within such sixty (60) day period. Section 10.03. Disqualified Certificates. Certificates owned or hold by or for the account of the City or by any I.erson directly or Indirectly controlled or controlled by, or under direct or Indirect common control with the City (except any Cer it ates held In any pension or retirement fund) shall not pe deemed Outstanding for the purpose of any vote. Dnsent, waiver or other action or any calculation of Outstanding Certificates provided for In this Trust Agreement, and shall not be entitled to vote upon, consent to, or take any other action provided for In this Trust Agreement. Section 1004 Effect of Supplemental Agreement. From and after the time any supplemental agreement becomes effective pursuant to this Article X. this Trust Agreement or the Lease Agreement, as the case may be, shat! be deemed to be modified and amended In accordance therewith, the respective rights, duties and obligations the parties shall thereto and all etnforrccedlhereunder subject In all respects to sl -1h modification and amendment, and all the terms and conditions of any suPPlementai agreement shad bn deemed to be part of the terms and -27- 0 CA conditl ')ns of this Trust Agreement or the Lease Agreement, as the case may be. for any ` + and all purposes. Each Certificate Owner shall certify to the Trustee whether the Cenlficates as to which such consent Is given are disoualified as provided in Section 10.03 hereof. Section 10.05. Endorsement of Replacement of Certificates _ Delivered After Amendments. The Trustee may determine that Certificates delivered a'ter the effective date of any action taken as provided In this Article X shall bear a notation, by endorsement or otherwise, in form approved by the Trustee, as to such action. In that case, upon demand of the Owner of any Certificate Outstanding at such effective date and presentation of his Certificate for the purpose at the Principal Corporate Trust Office of the Trustee, a suitable notation shall be made on such Certificate. The Trustee may determine that the delivery of substltute Certificates, so modified as Jr. the opinion of-the Trustee is necessary to conform to such Certificate Owners' action, which substitute Certificates shall thereupon be prepared, executed and delivered. In that case, upon demand of the Owner of arty Cedlfieate then Outstanding, such subtr.ltute Certificate shall be exchanged at the Principal Corporate Trust Office of the Trustee, without cost to such Owner, for a Certificate of the same character then Outstanding, upon surrender of such Outstanding Certificate. Section 10.00. Amendatory Endorsement of Certificates. The provislons of this Article X shall not prevent any Certificate Owner from accepting any amendment as to the particular Certificates held by him, provided that proper notation thereof Is made on such Certificates. -28- y CI ARTICLE XI COVENANTS; NOTICES r� r ^r t case Aareemot. The City Section 11.01 Compliance Wi r and Enforcement vtlons and covenants and agrees with the Owners of the CertrOCeteh to orporrn v Ig• duties Imposd on It under the Lease Agreement. The Corporation covenants end agrees with the Owners of the Certificates to perform all obligations and duties imposed on it under the Lease Agreement. The City will not do or permit anything to be done, or emit or retrain from doing F� anything, In any case where any such act done or permitteu to be done, or any such omission of or refraining from action, would or might be a ground for cancellation or ' ment by the Corporation thereunder. The Corporation and termination of the Lease Agree the City immediately n ate relating urto oria9odin9i their eespectiv i Interests In the Site. which may or can in any manner affect the Interests o' he City, will deliver the same, or a copy thereof• to the Trustee. Section 11.02. Observance of Laws end Reeulalions. The City will well and tivhr keep. observe and pedom all vaild and lawful obligations or regulations now or hereafter or by any office contract, and orOcommission having �urisdictionUortcont control, condition ttel la'M Of the the ontinud enjoyment of any end every right, nrtvliege or franchise now ownd or hereafter acquire by the Crly, including its right to exist and tarry on business a^ a maintained and opreiserved. and shell nott become habaneonede privileges and door Innanysman manner municipal impaired Section 11.0. Prosecution end Defense of Sults. The City shell promptly, upon as may Do nechessary oepropmrnio remedy or owner. ura any defect in or cloud cloudtupo the title too the reques Site, whether now existing or hereafter developing be app oprete for such purpose and shell cute all such actions and other pro ^eedings as may indemnify and save the Trustee end ovary Certificate whicO they orsany o them may incur by damage and expense. Including ettomays' reanon Of any such defect• cloud. suit, action or proceeding y shall record and file. or be recorded and Recordation and Filing. The Lease (or meimo.andum thereof), the Ass gnmseno Agreement end ufi such documents as may be required by law (and shall take all further actions which may be necessary h places reasonably required re the Trustee). In order In fully to ma, %nor at such times end In such places es may be required by preserve, protect and perfect the security of the Trustee entl the Certificate Owners. in the City shall record and n recordad and e- recorded heS eLease,the Lease Agreement and any amendment thereto -29- I 1 Section 11.05• City °?s• The City shell supPb to the Truste°, the or about that ant of Lease July 1 In each year a written determination by a City Representative for the payment f Lease made adequate provision In Its proposed annual budget for the d by payments due under the Lease Agreement In the fiscal year covered by sad budget of any notice of public hearing u the City and shall be made, In S, � determination shalt be made as soon as practicablo after the first publication o pon the proposed any event, not rater than the date fixed for any public hearing on the proposed budge . ant of .all Lease Payments duo under the Lease are date, ully adequate tot for the Pay n to the Trustee shall be that the amounts so budget Agreement in the annual period covered by such budget. II the amounts °O budgeted Gauss are not at least equal to the amount of the Lease Payments coming due end payable under the Lease Agreement, the City will take such action as maybe Include necessary of Lease such annual budget to be amended. the City 1r such P8 �� aeeoment payment ltnolity he amounts rcqulod to be raised by The City will Payments coming due and payable under the Lease S taken or keep the Trustee advised of all budgetary Pr ocead,ngs thereafterr I kon by the Ciry. Section 11.00. Further The '0lo Instruments and the ray wall make. or proper to cart out the intenllor. or to facilitate the execute and deliver any end all such further reaofu \Ions, Instruments end assurances may be reasonably necc li"y P P ii performance of this Trust Agreement and the Lease Agroem g or hs maybe owners Of to by the tales Trustee nd the for the better ter enddbenefits provided) haraln� the Owners of the Section 11.07 Satisfaction of Condlfions Pert• The City hereby certifies, regiment and this Trust Agreement to exist, to have recites and on 11. 7 that all acts, conditions and things required by the coexi t, to; the statutes of the State, the Lease Ag precede to and in the dolivery haPPened and to have been peed and p i� maancaas r do exist. taw. happened and have been performed in due rims, form end -30- 1 12- ARTICLE XII LIMITATION OF LIABILITY Section 12.01 Limited Liability of City. Except for the payment o ease Payments when due In accordance wIlh the Lease Agreement and the performance of the of xer covenants and agreements of the City contained in the Lease Agreement and this Trust Agreement, the City shall have no pecuniary obligation or liability to any of the other parties or to the Owners of the Certificates with respect to this Trust Agreement or the terms, execution, delivery or transfer of the Certificates, or the distribution of Lease Payments to the Owners by the Trustee, except as expressly set forth herein. Section ',2.02. No Liability of City or Corporation for Trustee's Performance. Neither the M nor the Corporation shall have any obligation or liability to any of the other parties or to the Owners of the Certificates with respect to the performance by the Trustee of any dux; Imposed upon It under this Trust Agreement. Section 12.03. indemnification of Trustee. The City shall Indemnify and save the Trustee harmless from and against all claims, losses, costs, expenses, liability and damages. Including legal fees and expenses, arising out of (I) the use, mar lenance. condition or management of, or from any work or thing done on, the Site by the Corporation or the City, (II) any breach or default on the part of the Corporation or the City In the performance of any of their respective obligations under this Trust Agreement and any other agreemont made and entered Into for purposes of file Site, 010 any act of negligence of the Corporation or the City or of any of their respective agents. contractors, servants, employees, licensees with respect to the Site, (Iv) any act of negligence of any assignee of, or purchaser from the Corporation or the City or of any of Its or their respective agents, contractors, servants, employees or licensees with respect to the Site. (v) the authorization of payment or Delivpry Costs o: Acquisition Costs, (vi) the actions of any other party, Including but not limr ao to the ownership, operation or use of the Site by the Corporation or the City. r, (vlQtho Trustee's exercise and performance of Its powers and duties "eunder NL indemnification will be made under this Section 12 03 or elsewhere In Trust Agreement for willful misconduct or negligence under this Trust Agreement the Trustee. Its officers, agents, employees. successors or assigns. The City's obligations hereunder shall emain valid end binding notwithstanding maturity and payment of the Certificates. Section 12 04 Limitation of Motile to Parties and Cs4.,icate Owners Nothing In this Trust Agreement or In the Certificates expressed or Implied Is Intended or shall be construed to give any person other than the City, the Corporation, the Trustee and the Owners of the Certificates, any legal or equitable right, remedy cr claim under or In respect of this Trust Agreement or any covenant, condition or provision hereof: and all such covenants. conditions and provisions are and snall be for the sole and exclusive benefit of the City the Corporation, the Trustee and sold Owners -31- 1 1 i� ARTICLE All EVENTS OF DEFAULT AND REMEDIES OF CERTIFICATE OWNERS Section 13.01 Assignment of Rights. Pursuant to the Assignment Agreement, the Corporation has transferred. assgnc.. and set over to the Trustee all of the Corporation's rights and duties in and to the Lease Agreement (excepting only the Corporation's rights under Sections 5.8. 7.3 and 9.4 thereol), Including without limitation all of the Corporation's rights tC exercise such rights and remedies conferred on the Corporation pursuant to the Lease Agreement as may be necessary or convenient p) to enforce payment of the Lease Payments and any other amounts required to be deposited in the Lease Payment Fund or the Insurance and Condemnation Fund, and pp otherwise to exercise the Corporation's rights and take any ectl= to protect the Interests of the Trustee or the Certificate Owners in an Event of Do:ault. Section 13.02. Remedies. It an Event of Cefa.lt shall happen, then and In each and every such case during the continuance of such Event of Default, the Trustee may. and upon request of the Owners of a majority In aggregate principal amount of the Certificates then Outstanding shall, exercise any and all es l remedies ,availablnotwithstanding pursuant hto law or granted pursuant to the Lease Agreement; provided, anything herein or In the Lease Agreement to the contrary, there shall be no right under any circumstances to accelerate the maturities of the Certificates or otherwise to declare any Lease Payment not then In default to be Immediately due and payable. Section 13 03. Application of Funds. All moneys received by the Trustee pursuant to cny right given or action taken under the provisions stof this Anti le Xilln or Article coon the Lease Agreement shall be applied by the 9 presentation of the several Certificates, and the stamping thereon of the payment It only partially paid. or upon the surrender thereof if fully paid - Flrst, to the payment of the costs and expenses of the Trustee and of the Certificate Owners In declaring such Event of Default, including ro•esonable compensation to Its or their agents, attorneys and counsel, including all fees and expenses past due: and Second, to the payment of the whole amount then owing and unpaid with respect to the Certificates for principal and interest, with Interest on the overdue principal and Installments of Interest at the rate of twelve percent (12 %) per annum (but such Interest on overdue Installments of Interest shall be paid only to the extent funds are available therefor following payment of principal and it latest, and interest on overdue principal, as aforesa'.), and In case such moneys shall be Insufficient to pay In full the whole amount so owing and unpaid with respect to the Certificates, then to the payment of such principal and Interest without preference or priority of principal over Interest. or of interest over principal, or of any installment of Interest over any other Installment of Interest, ratably to the aggregate of such principal and Interest. -32- 1 1 \ Section 13.04. Institution of Legal Proceedings. If one or more Events of Default shall happen and be continuing, the Trustee In Its discretion may, and upon the written request of the Owners of a majority In principal amount of the Certificates then Outstanding and upon being indemnified to its satisfaction therefor, shall, proceed to protect or enforce Its rights or the rights of the Owners of Certificates by a cult In equity or action at law, either for the specific performance of any covenant or agreement contained herein, or in aid of the execution of any power herein granted, or by mandamus or other appropriate proceeding for the enforcement of any other legal or equitable remedy as the Trustee shall deem most offecttial in support of any of Its rights or duties hereunder Section 13.05. Non - waiver. Nothing in this Article XIII or In arty other provision of this Trust Agreemont or In the Certificates shall affect or Impair the obligation of the City to pay or p•epay the Lease Payments as provided In the Lease Agreement. or affect or Impair the right of action, which Is absolute and unconditional, of the Certificate Owners to institute suit to enforce and :nllect such payment. No delay or omission of the Trustee or of any Owner of any of the Certificates to exercise any right or power arising upon the occurrence of any Event of Default shall impair any such right or power or shall be construed to be a waiver of any such Event of Default or an acquiescence therein, and every power and remedy given by this Article XIII to the Trustee or to the Owners of Certificates may be exercised from time to time and as often as shall be seemed expedient by the Trustee or tare Certificate Owners. Section 13.06, Remedies Not Exclusive. Nn remedy herein conferred upon or reserved to the Trustee or to the Cartificato Owncrs is Intended to be exclusive of any other remedy. and every such remedy shall be cumulative and shall be in addition to every other remedy given hereunder or nt.w or hereafter existing, at law or In equity or by statute or otherwise Section 13.07 Power of Trustee to Control Proceedings. In the event that the Trustee. upon the happening of an Event of Default, shall have taken any action, by judicial proceedings or otherwise, pursuant to Its duties hereunder, whether upon Its own discretion or upon the request of the Owners of a majority In principal amount of the Certificates then Outstanding It shall have full power, in the exercise of Its discretion for the best Interests of the Owners of the Certificates, with respect to the continuance, discontinuance, withdrawal, compromise, settlement or other disposal of such action: provided. hmvei a , that the Trustee shall not discontinue, withdraw compromise or settle, or otherwise dispose of any litigation pending at law or in equity, withodt the consen, of a majority in aggregate principal amount c' the Certificates Outstanding. Section 13.06 t Imitation on Certificate Owners' Right to Sue. No Owner of any Certificate Issued hereunder shall have the right to Institute any suit. action or proceeding at law or In equity, for any remedy under or upon this Trust Agreement, unless (a) such Owner shall have previously given to the Trustee written notice of the occurrence of an Event of Default hereunder; (b) the Owners of at least twenty -five percent (25 %) in aggregate principal amount of all the Certificates then Outstanding shall have made written request upon the Trustee to exercise the powers herelnbefore granted or to Institute such action, suit or proceeding in Its own name; (c) salt' nvmers shall hav-, tendered to the Trustee reasonable Indemnity against the costs, a•penins and liabilities to be Incurred in compliance with such request; and (d) the Trustee shall -ave ,atused or -33- ( C71- 5'' . omitted to comply w!th such request for a perioo of aWy (60) days after such written request shell have been received by, and said tender of Indemnity e1.811 have been made to. the Trustee. Such notification, request, tender of Indemnity and refusal or omission are hereby declared. In every case, to be conditions precedent to the exercise by any Owner of .; Certificates of any remedy hereunder, it being understoud and Intended that no one or more Owners of Certificates shall have any right in any manner whatever by his or their action to enforce arty right under this Trust Agreement, except In the manner herein r; provided, and that all proceedings at law or in equity with respect to an Event of Default shall be Instituted. had and maintalatA In the manner herein provided and for the equal benefit of all Owners of the Outstanding Certificates. The right of any Owner of any Certllicaie to receive payment of said Owner's fractions] Interest In the Lease Payments as the same become duo. or to Institute suit for •'+ the enforcement of such payment, shall not be impaired or affected without the consent of such Owner. notwithstanding the foregoing provisions of this Section 43.05 or cry other provision of this Trust Agreement. -34- 11 -L t ARTICLE XIV MISCELLANEOUS Section 14.01 Defeasance. If and when all Outstanding Certificates shall be paid and discharged in any one or more of the following ways - (a) by well and truly paying or causing to be pair: the principal, and Interest and redemption premiums Of any) with respect to all Certificate, Outstanding, as and when the same become due and payable; or (b) by depositing with an escrow holder security for tho payment of Lease Payments as more particularly described In Section 10.1 of the Lease Agreement, to be applied to pay the Leese Payments as the same become due and payable and prepay the Lease Payments In full on any prepayment date, pursuant to Section 10.1 of the Lease Agreement - then, notwithstanding that any Certificates shall not have been surrenderod for payment, all obligations of the Corporation, the Trustee and the City with respect to all Outstanding Certificates shall cease and terminate, except only the obligation of the City to pay or case to be paid, from Lease Payments paid by or on behalf of the City from funds deposited pursuant to paragraph (b) of this Section 14,01, to the Owners of the Certificates not so surrendered and paid ell sums due with respect thereto, and In the event of deposits pursuant to paragraph (b), the Certificates shall continue to represent olrect and fractional interests of the Owners thereof In Lease Payments under the Lease Agreement. Any funds held by the Trustee, at the time of one of the events described in paragraphs (a) or (b) of this Section 14.01, which are not required for the payment to be made to Owners, shall, after payment of all fees and expenses of the Trustee, including attorneys fees, be paid over to the City. Section 14.02. Records. The Trustee shall keep complete and accurate records of all moneys received and disbursed by It under this Trust Agreement, which shall be avallabla for Inspection by the City, the Corporation. and any Owner or the agent of any of lham, at any time during regular business hours upon reasonable prior notice. Section 1403. Notices. Al written notices to be given under this Trust Agreement shall be given by mall or personal delivery to the party entitled thereto at its address set forth below, or at such address as the party may provide to the other party In writing from time to time Notice shall be effective upon deposit In the United States mall. postage prepaid or in the case of personal delivery. upon delivery to the address set forth below If to the City City of Rancho Cucamonga 9320 Baseline Road Rancho Cucamonga. CA 91730 Attention: City Clerk -35- 1 �'\ If to the Corporation: Rancho Cucamonga Public Improvement Corporation 9320 Sasellno Road Rancho Cucamonga. CA 91730 Attention: Secret„ry If to the Trustee, Bank of America National Trust and Savings Association 555 South Flower Street, 5th Floor Los Angeles. CA 90071 Attention, Corporate Trust Services #8510 Section 14.Q^ Governing Law. This Trust AGree,nent shall be construed and governed it accordarce with the laws of the State Section 14.05. Binding Effect; Successors. Ttfs Trust Agreement shall be binding upon and Inure to the benefit of the parties hereto and their respective successors and assigns Whenever in this Trust Agreement the Gorpnratlon, the City or the Trustee Is named or referred to, such tolerance shall be deemed to Include the successors or assigns thereof. and s;l the covenants and agreements In this Trust Agreement contained by or on behalf of the Corporation, lee City or the Trustee shall bind and Inure to the benefit of the respective successors and assigns thereof whether so expressed or not Secion 14.00. Execution In Counterparts. This Trust Agreement may be executed In several counterparts, each of which shall be an original and all of which shall constitute but one and the same anreement. Section 14.07 Delivery of Cancelled Certificates Whenever In this Trust Agreement pr,rvision Is made for the surrender to or cancellation by the Trustee of any Certificates, the Trustee shall deliver such cancelled Certificates to the City for destruction or storago. Section 14.08 Headings The heading, , r titles of the several Articles and Sections hereof, and any table of contents appended to copies hereof, shall be solely for convenience of reference and shall not affect the meaning, construction or effect of this Trust Agreement All references herein to 'Articles,' 'Sections.' and other subdivisions are to the corresponding Articles, Sections or subdivisions of this Trust Agreement; and the words 'herein ' 'hereof,' *hereunder' and other words of similar import refer to this Trust Agreement as a whole and not to any particular Article. Section or subdivision hereof Section 14 09 Waiver of Notice Whenever In this Trust Agreement the giving of notice by mail or otherwise 1s required. the giving of such notice may be waived In writing by the person entillea to receive such notice and in any case the giving or receipt of such notice shall not be a condition precedent to the validity of any action taken In reliance upon such waiver Section 14 10 Cnpambility of Invalid Provisions In case any one or more of the Provisions contained in this Trust Agreement or In the Certificates shall for any reason be hold to be Invalid. Illegal or unenforceable in arty respect than such Invallt il,�, Illegality or 11 0 unenforceability shall not affect any other provision of this Trust Agreemvn!, and th-_ Trust Agreement shall be'construed as it such Invalid or Illegal or unenforceable provision had never been contained herein. The parties hereto hereby declare that they would have entered Into this Trust Agreement and each and every-other section, paragraph, sentence, clause or phrase hereof and authorized the delivery of the Certificates pursuant thoreto irrespective of the fact that any one ci more sections, paragraphs, sentences, clauses or phrases of this Trust Agreement may be held Illegal, Invalid or unenforcaabie. -37- 1 s IN WITNESS WHEREOF the parties hereto have executed this Trust Agreement as of the date and year first above written. t,= ISEAL) Attest ISEAL, Attest Seuetery C'ty C -erk V BANK OF AMERICA NATIONAL TRUST AND SAVINGS ASSOCIATION, as Trustee By —' Authorized Olficer RANCHO CUCAMONCA PUBLIC IMPROVEMENT CORPORATION By _ President CITY OF RANCHO CUCAMONGA By _ Mayor -39- 1 Zo 0 IFlrb! 1MM'6'Jplh IOIIOT 11/C(�Y UISJ EXHIBIT A DEFINITIONS 'Acquisition Costs' means all costs of payment of, or reimbursement for acgt.isltlon of the Site. 'Acquisition Fund' means the fund by that name established anc ' 'd by the Trustee pursuant to Article III of the Trust Agreement. ' Asslanment Agreement' means the Assignment Agreement, dated as of December 1, 1983, by and between the Corporation and the Trustee, together with any duly authorized and executed amendments thereto. 'Business Day' means a day which Is not a Saturday. Sunday or legal holiday on which banking Institutions In the State are closed or are required to dose or a day on which the New York Stock Exchange is closed. 'Certificate of Completion' means the certificate of a City Representative certifying that the 31te has been acquired by the City and that ail Acquisition Costs with respect thereto have been psld. 'Certificates' means the S aggregate principal amount of certificates of participation to be executed and delivered pursuant to the Trust Agreement. 'Qty' means the City of Rancho Cucamonga, a municipal corporation and general law city organized and existing under the laws of the State. 'City Representative' means the Mayor, the City Manager or the Finance Manager or any other person authorized by resolution of the City Council of the City to act on behalf of the City under or with respect to the Site Lease, the Lease Agreement and the Trust Agreement 'Closing Date' means the date upon which there Is a physical delivery of the Certificates it exchange for the amount representing the purchase price of the Certificates by the Original Purchaser 'Code' means the Internal Revenue Code of 1986 'Completion Gate' means the date of completion of acquisition of the Site as e�,uenced by the filing with the Trustee of a Certificate of Completion. 'Corporaticn� means the Rancho Cucamonga Public Improvement Corporation, a nonprofit public b ineht corporation organized and existing under ano by Virtue of the laws of the State ' Corpomtion Representativg' means the President of the Corporation, or any other person authorized by re olution of the Corporation to act on behalf of the Site Lease the Lease Agreement. the Assignment Agreement and the Trust Agreement Page o e t 9 r� ✓ 'Delivery Costs' means all Items of expense directly or Indirectly payable by or reimbursable to the City or the Corporation relating to the execution and delivery of the Site Lease, the Lease Agreement, the Assignment Agreement and the Trust Agreement or the execution, sale and delivery of the Certificates, including but not limited to filing and recording costs, settlement costs, punting costs, reproduction and binding costs, initial fees and charges of the Trustee, financing discounts, legal fees and rharges. Insurance fees and charges, financial and other professional consultant fees, costs of rating agencies for credit ratings, fees for execution, transportation and safekeeping of the Certificates, costs for preparation, printing and distribution of preliminary and final official statements, and charges and fees In connection with the foregoing. 'Delivery Costs Fund' means the fund by that name establis: led and held by the Trustee pursuant to Article III of the Trust Agreement. 'Earnings Fund' means the fund by that name created by, and held by the Trustee pursuant to. Section 8.07 of the Trust Agreement. 'Event of Default' means an event of default under the Lease Agreement, as defined In Section g.i thereof. 'Excess Investment Earnings' means an amount equal to the sum of: (a) the excess Of (1) the aggregate amount earned on all Nonpurpose Investments (other than amounts attributable to an excess described In this paragraph (s)), over (il) the amount which would have been earned it the Yield on such Nonpurpose Investments (other than amounts attributable to an excess described In this paragraph (a)) had been equal to the Yield of the Lease Agreemert, plus (b) any Income attributable to the excess described In paragraph (a) 'Federal Sucurities' means direct general obligations of (Including obligations Issued or held In book entry form on the books of the Department of tho Treasury of the United States of America). or obligations tie payment of principal of and Interest on whlch are guaranteed by the United States of America 'Fiscal Year' means the twelve -month period beginning on July t of any year and ending on June 30 of the next succeeding year or any other twelve -month period selected by the City as Its fiscal year 'Gross Proceeds' m, ins the sam of the following amounts (a) original proceeds, namely, not amounts received by or tot the City as o result of the sale of the Certificates, excluding original proceeds whicl become transferred proceeds (date, tined In accordance with applicable Regulations) of obligations Issued to refund in whole or in part the Lease Agreement, Exhibit A L Page 2 (b) Investment proceeds, namely, amounts recehad at any time by or for the City, such as Interest and dividends, resulting from the investment of any original proceeds (as referenced in clause (a) above) or Investment proceeds (as referenced In this clause (b)) In Nonpurpose Investments, Increased by any prolits and decreased of necessary, below zero) by any losses on such Investrr.3nts, excluding Investment proceeds which become transferred proceeds (determined in accordance with applicable Regulations) of obligations Issued to refund in whole or in part the Lease Agrer• rent; (c) sinking fund proceeds, namely, amounte, other than original proceeds, Investment proceeds or transferred proceeds (as referenced In clauses (a) and (b) above) or the Certificates, which are held In the Lease Payment Fund and any other fund to the extent that the City reasonably expects to use such other fund to pay Lease Payments; (d) amounts In the Reserve Fund and in any other fund established as a reasonably required reserve for payment of LPase Payments; (e) Investment Property pledged as securlty for payment of Lease Payments by the City; and (0 amounts. other than as sperfied In this definition, used to pay lease Payments; (g) amounto received as a result of Investing amounts described In this definition. 'Independent Counsel' means an attorney duly admitted to the practice of law before the highest court of the state in which such altom3y maintains an office and who is not an employee of the Corporation, the Trustee or the City. 'Information Services' means Financial Information, Inc.'s 'Dally Called Bond Servico,' 30 Montgomery Street, 10th Furor, Jersey City, New Jersey 07302, Attention: Editor; Kenny Information Services' 'Called Bond Service,' 65 Broad Street, 24th Floor, New York, New York 10004; Moody's 'Municipal and Government' 99 Church Strcet. Sth Floor New York, Now York 10007, Attention: Municipal News Reports; and Standard & Poor's 'Called Bond Record.' 25 Broadway, 3rd Floor, Now York, New York 10004; or to such other addresses and /or such other national Wormallon services providing Information or disseminating notices of redemption of obligations similar to the Certificates 'insurance and Condemnatlon Fund' means the fund by that name established and held bby the Trustee pursuant to Section 7.01 of the Trust Agreement. 'Interest Payment Date' means the first day of each June and December commencing June 1 1989, so long as any Certificates are Outstanding. 'Investment Property' means any security (es sold term Is defined In section 165(g)(2)rA) or (B) of the Code), obligation, annuity contract or Investment -type property, excluding, however obligations (other than specified private .;Ctivlty bonds as defined in section ;7(a)(5)(C) of the Cade) the Interest on which Is excluded from gross Income, for federal tax purposes. tinder section 103 of the Coda Exhibit A Page 3 l 2 ? 'lease Agreement' means the Lease Agreement, dated as of December 1, 1988, by and between the Corporation and the City, together with any duly authorized and executed amedments thereto. 'Leese Payment Dete' means the fifteenth (151h) day of May and November In each year during the Term of the Lease Agreement, commencing May 15, 1989. 'Lease Payment Fund' means the fund by that name established and held by the Trustee pursuant 'o Section 5.02 of the Trust Agreement. 'Lease Petgnents' means all payments required to be paid by the City pursuant to Section 4.4 of the Lease Agreement, including any prepayment thereof pursuant to Article X of the Lease Agreement, which payments consist of an Interest component and aprinclpal component. 'Mood s' means Moodys Investors Service, New York, New York, or Its successors. 'Nat Proceeds,' when used with respect to Insurance or condemnation proceeds, means any Insurance proceeds or condemnation award paid with respect to the Site, to the extent re:nalning after payment therefrom of all expenses Incurred in the collection thereo' 'Nonoumose Investment' means any Investment Property which Is acquired with the Gross Proceeds of the Certificates and Is not acquired M order to carry out the governmental purpose of the Lease Agreement. 'Orginal Purchases means the first purchaser of the Certifcates upon their delivery by the Trustee on the Closing Dale. 'Outstanding,' wean used as of any particular time with respect to Certificates, mea.rs (dub)ect to the provisions of Section 10.03 of the Trust Agreement) all C3rtlgcates theretofore executed and delivered by the Trustee under the Trust Agreement except — (a) Certificates theretofore cancelled by the Trustee or surrendered to the Trustee for cancellation; (b) Certificates for the payment or redemption of which funds or Federal Securities In the necessary amo.rnt shell have theretofore been deported with the Trustee (whether upon or prior to the maturity or redemption date of sucn Certificates), provided that. It such Certificates are to be redeemed prior to maturity, notice of suet' redemption shall have been given as provided in Section 4.03 of the Trust Agreement cr provision satisfactory to the Trustee shall have been made for the giving of such notlea; and (c) Certificates In lieu of or In exchange for which other Cer ificates shall bavo been executed and delivered by the Trustee pursuant to Section 2.09 of the 'crust Agreement Exhibit A Page 4 'Owner' or 'Certificate Owner' or 'Owner of a Certificate% or any similar term, when used with respect to a Certificate means the person In whose name such Certificate shall be r6gistered. 'Permitted Encumbrances' means, as of any particular time: (a) liens for general ad valorem taxes and assessments. It any, not then delinquent, or which the City may, pursuant to provisions of Article V of the I.ease Agreement, permit to remain unpaid; (b) the Assignment Agreement; (c) the Lamm Agreement; (d) any right or claim of any mechanic, laborer, materiaiman, supplier or vendor not filed or perfected In the manner prescribed by law; (e) easements, rights of way, mineral rights, drilling rights and other rights, reservations, covenants, conditions or restrictions which exist of record as of the Closing Date and which the City certifies In writing will not materially Impair the use of the Site; and (1) easements, rights of way, mineral rights, drilling rights and other rights, reservations, covenants, conditions or restrictions established following the date of recordation of the Lease Agreement and to which the Corporation and the City consent In writing. 'Permitted Investments' means any of this following: (a) Federal Securities; (b) debentures of the Federal Housing Administration; (c) obligations of the following agencies which are not guaranteed by the United States of America: M participation certificates or debt obligations of the Federal Home Loan Mortgage Corporation; 0l) consolidated system -wide bonds and notes of the Farm Credit Banks (consisting of Federal Land Banks, Federal Intermediate Credit Banks and Banks for Cooperatives); p ;l) consolidated debt obligations or letter of credit- backed Issues of the Federal Home Loan Banks; pv) mortgage - backed securities (excluding stripped mortgage securities which are valued greater than par on the portion of unpaid principal) or debt obligations of the Federal National Mortgage Association; or (v) letter of credit- backed Issues or debt obligatiors of the Student Loan Marketing Association: (d) Federal funds. unsecured certificates of deposit, time deposits and bankers acceptances (having maturities of not more than 365 days) of banks the short-term obligations of which are rated In one of the three highest Rating Categories by Moodys; (e) deposits which are fully Insured by the Federal Deposit hrsurance Corporation ('FDIC') or the Federal Savings and Loan Insurance Corporation ('FSLIC '); (fl debt obligations (excluding securities that co not have a Ilxed par value and /or whose terms do not promise a fixed dollar amount at maturity cr call fate) rated in one of the three highest long -term Rating Categories by Moody's; (g) commercial paper (having original maturities of not more than 365 days) rated In one of the three highest Rating Categories by Moody %; (h) investment in money market funds comprised solely of obligations rated In one of the three highest Rating Categories by Moodys; aad Exhibit A Page 5 12 M repurchase agreements with O) any Institution with long -tens debt rated in one of the three highest Rating Categories by Moody's: Oil with any corporation or other entity that falls under the Jurisdiction of the Federal Bankruptcy Code, provided that: (A) the term of such repurchase agreement is less than one year or due on demand; (B) the Trustee or a third party acting solely as agent for the Trustee has possession of the collateral; (C) the market value of the collateral is maintained as follows: (1) If valued dairy and with a remaining maturity of (a) one year of less, at 102 %; (b) five years of less, at 105 %; (c) ten years or less, at 106 %; (d) fifteen years or less, at 107 %; and (e) thirty years or less, at 113 %; (2) If valued weekly and with a remaining maturity of (a) one year or less, at 1M'- IN fve years or Itss, at 110 %; (c) ten years or less, at 111 %; (d) fifteen )airs or less, at 118 %; (3) if valued monthly and with a remaining maturity of (a) one year or less, at 106 %; (b) five years or less, at 116 %: (c) ten years or less, at 119 %: (d) fifteen years or less, at 123 %: (e) thirty years or less, at 130 %; and (4) It valued quarterly and with a remaining maturity of (a) one year or less, at 108 %; (b) five years or less, at 118 %; (c) ten years or less, at 128 %, (d) fifteen years or less, at 130 %; and (e) thirty years or less, at 135% (D) failure to maintain the requisite collateral levels will require the Trustee to liquidate the collateral immediately. (t7 the repurchase securities must be obligations of, or fully guaranteed as to principal and Interest by, the United States of America; and (F) the repurchase securities are free and clear of any third party Ilan or claim; or OID with financial Institutions Insured by the FDIC or FSLIC or any broker - dsaler with 'retail customers' which falls under the Jurisdiction of the Securities Investors Protection Corp. ('SIPC ). provided that Exhibit A I (� Page 6 (A) the marker value of the collateral is maintained as described In 00(c) above; (B) the Trustee or a third party acting solely as agent for the Trustee has possession o! the collateral; (C) the Trustee has a perfected first priority security Interest In thu collateral; (C) the cctlateral Is free and clear of any third party lien or claim and, In the case of a broker - dealer with 'retail customers' which falls under the Jurisdiction of S! :"C, the colla'eral was not acquired pursuant to a repurchase agreement or a reverse repurchase agreement; (E7 the repurchase securities must be obligations of, or fully guaranteed as to principal end Interest by, the Un:ted States of America; and (F) failure to maintain the requisite collateral levels will require the Trustee to liquidate the collaterai Immediately. 'Principal Corporate Trust Office' meanu the corporate trust office of the Trustee at Bank of America National (rust and Savings Association, San Franc,sco, California, or at such other address designated by the Trustee In written notice filed with the City and the Corporation In writing. 'Private Business Use' means use directly Or Indirectly in a trade or business carried on by a natural person or In any activity Canted on by a person other than a natural person, excluding. however, use by a governmental unit and use as a member of the general public. of the Certificat l es. Plus accrued Interest and original issue premium. If any. less original Issue discount, If any. 'Purchase Price.' for the purpose of computation of the Yield of the Lease Agreement, has the same meaning as the term 'Issue price' In sections 1273(b) and 1274 of the Code, and, in general, means the initial offering price of the Certificates to the public (not Including bond houses and brokers, or similar pers3ns or organiza!lons acting In the Capacity of underwriters or wholesalers) at which price a substantial amount of the Certificates are sold or, If the Certificates are privately placed. the price paid by the first buyer of the Certificates or the acquisition cost of the first bryer The tens 'Purchase Price.' for the purpose of computation of the Yield of Nonpurpose Investments. means the fair market value of the Nonpupose Investments on the date of use of Gross Proceeds of the Certificates for acquisition thereof or if later, on the date that Investment Property constitrding a Nonpurpose Investment becomes a Nonpurpose Investment of the Certificates. Exhibit A Page n Pegs 7 1 Mating Catenory' means, with respect to any Permitted Investment, one or more of the generic categories of rating by Moody's applicable to such Permitted Investment, without regard to env refinement or graduation of such rating category by a plus or minus sign. 'Pib,ito Calculation Period' means the one -year p3dod beginning on the anniversary of the Closing Date in each year and ending on the day prior to the anniversary date of the Closing Date in the following year except that the first Rebate Calculation Period shall begin on the Closing Date. 'Rebate Fund' means the fund by that name created by, and held by the Trustee pursuant to. Section 8.07 of the Trust Agreement. 'Registration Books' means the records maintained by the Trustee pursuant to Section 2.12 of the Trust Agreement for registration of the ownership and transfer of ownership of the Certificates. 'Regular Record Date' means the close of business on the fifteenth (15th) day of the month preceding each Interest Payment Date, whether or not such fifteenth (15th) day Is a Business Day. 'Regulations' means temporary and permanent regulations promulgated under the Code 'Rental Period' means each twelve -month period during the Tenn of the Lease Agreement commencing on December 2 In any year and ending on December 1 In the next succeeding year ' Resorve Fund' means the fund by that name established ano held by the Trustee pursuant to Section 6.01 of the Trust Agreement. 'Reserve Requirement' means an arnjunt equal to S 'Securities Depositories' means The Depository Trust Company. 711 St3wart Avenue, Garden City, New York 11530, Fax -(516) 227 -403q or 4100; Midwest Securities Trust Company, Capital Structures -Cali Notification, 440 South LaSalis Street, Chicago. Illinois 60605, Fax - (312) 663 -2343; Philadelphia Depositary Trust Company, Reorganization Division. 1900 Market Street, Philadelphia, Pennsylvania 10103. Attention: Bond Department. Dex -(215) 496 - 5058. or to such other addresses and /or such other registered securities depositories holding substantial amounts of obligations of types similar to the Certificates. 'Site' means all of that certain real propsrty located In the City described In Exhibit A to the Site Lease and Exhibit B to the Lease Agreement, which is to be developed by the City as the Northeast Community Park 'Site Lease' means the Site Lease, dated as of December 1, 1988, by and between the City and the Corporation, C _i9thnr with any duly authorized and executed amendments thereto. &hiblt A I �� Pago 8 . -u 'State' means the State of c .a 'Tenn of the Lease Agreement' means the time during which the Lease Agreement is in elfect, as provided in Section 4.2 of the Lease Agreement. 'Trust Agreement, means the Trust Corporation Agreement, dated �and among the City, the a d heTrtatee, together with any duly authorized amendments thereto. 'Trustee' means Bank of America National Trust ano Savings Association, cr any successor thereto, acting as Trustee pursuant to ills Trust Agreement. 'Yield' means that yield which, when used In computing the present worth of all payments of principal and Interest (or other payments in the case of Nonpurpose Investments which require payments In a form not characterized as principal and Interest) on a Nonpurpose ! nvestment or on the Lease Agreement prnyuces an amount equal tc the Purchase Price of such Nonpurpose Investment or the . ^.3rtlflcates, all computed as prescribed in applicable Regulat;uns. p Exhibit A Page 9 C_ _ SItIt�CJ I,WM GW.W ,br6'r „roar an, EXHIBIT 8 FORM OF THE CERTIFICATES CERTIFICATE Or PARTICIPATION (Northeast Community Perk Project) Evidencing an Undivided Fractional Interest of the Owner Hereof In Lease Payments to Be Made by the CITY OF RANCHO CUCAMONGA. CALIFORNIA As the Rental for Certain Property Pursuant to a Leese Agreement With the Rancho Cucamonga Pub:IC Improvement Corporation NUMBER S ..ATE OF INTEREST MATURITY DATE DATED DATE CUSIP December 1, 1888 REGISTEREU OWNER- PRINCIPAL AMOUNT- DOLLARS THIS IS TO CERTIFY THAT the registe'ad owner Identified above, or registered assigns (the 'Owner'), as the registered owf.er of this Certificate of Participation (the 'Certificate'), Is the owner of a direct. undivided, fractional Interest In lease payments (the 'Lease Payments') payable under and defined In the Lease Agreement (the -Lease Agreement'), dated as of Dacember 1, 10F8, by and between the Rancho Cucamonga Public Improvement Corporation, a nonprofit, public benefit corporation organized and existing under the laws of the State of California (the 'Corporation'), and the City of Rancho Cucamonga, California. a municipal corporation and general law city organized and existing under the laws of the State of California (the 'City'), which Lease Payments. prepayments and certain other rights and interests under the Lease Agreement have been assigned to Bank of America Notional Trust and Savings Association, as trustee (the 'Trustee'), having a corporate trust office In Lca Angeles, California. The Owner Is entitled to receive, subject to the tams of the Lease Agreement, on the Maturity Data Identified above, the Principal Amount Identified above, rep, esenting a direct, undivided fractional portion of the Lease Payments doslgnated as principal Exhibit B Page 1 coming due on such (late, and to receive an Juno 1 and December 1 of each year, commencing June 1, 1989 (each, a'Payment Date7, until payment In full of said Principal Amount, the Owner's direct, undivided tractional share of the Lease Payments designated as Interest accruing during the six months Immediately preceding each of the Payment Dates: provided that Interest represented hereby sh III ' Dayab:e from the Peyment Date next preceding the date of execution of thlr Ce eta unless (Q this Certificate Is executed on a Payment Date, in which event Indrest , A be payable from such Payment Date, or (II) this Certificate Is executed aua, the close of business on the fifteenth day of the month immediately preceding a Payment Date, and prior to such Payment Date. In which event Interest shall be payable frcm such Payment Date, or (III) unless this Certificate to executed on or before May 15, 1999. In which event Interest shall be payable from December 1. 1988. Sold direct, undivided fractional share of the portion of the Lasso Payments designated as Interest is tho result of the multiplication of the aforesaid portion of the Lease Payments designated as principal by the Rate of Interest per annum Identified above. Interest represented hereby Is payable In lawful money of the United States of America by check or draft of the Trustee mailed by first class mail to the Jwner at his address as It appears on the registration books of the Trustee, as of the close of business on the fifteenth (15) day of the month Immediately preceding each Payment Date. Principal represented hereby is payable upon presentation and surrender hereof at the corpoialf trust office of the Trustee In Son Francisco. California. This Certificate has been executed and delivered by the Trustee pursuant to the terms of a Trust Agreement by and among the Trustee, the Corporation and the City dated as of December 1 1998 (the 'Trust Agreement'). The City Is authorized to enter Into the Lease Agreement and the Trust Agreement under the !aws of the State of California. Reference Is hereby made to the Lease Agreement and the Trust Agreement (copies of which are on file at the corporate trust office of the Trustee in Los Angeles, California) for a description of the terms on which the Certificates are delivered, the rights thereunder of the registered owners of the Certiicates, the rights, duties and Immunities of the Trustee and the rights and obligations of the City under the Lease Agreement• all of the provisions of which the Owner of this Certificate, by acceptance hereof assents and agrees REFERENCE IS HEREBY MADE TO THE FURTHER PROVISIONS OF THIS CERTIFICATE SET FORTH ON THE REVERSE HEREOF WHICH FURTHER PROVISIONS SHALL. FOR ALL PURPOSES, HAVE THE SAME EFFECT AS IF SET FORTH IN THIS PLACE The Trustee has no obligation or liability to the registered owners of the Certificates to make payments of principal o• Interest with respect to the Certificates. The Trustee's sole obligations are to administer for the benefit of the registered owners of the Certificates the various funds and accounts established under the Trust Agreement The Trustee makes no representation concerning the recitals contained herein The City has certified, recited and declared that all sets, conditions and things required by the ronstilutlon and statutes of the State of California, the Lease Agreement and the Trust Agreement to exist. to have happened and to have been performed Exhibit B 13 1 Page 2 procecient to and In the delNery of this Certificate, do exist, have happened and have been poAormed In due time, form and manner as required by low. IN WITNESS WHEREOF, this Certificate has been executed by Bank of America National Trust and Savings Association, as trustee, acting pursuant to the Trust Agreement. Date of Execution: BANK OF AMERICA NATIONAL TRUST AND SAVINGS ASSOCIATION, as Trustee By Authorized Signatory (FORM OF REVERSE OF CERTIFICATE) The City Is obligated under the Lease Agreement to pay Lease Payments from any source of legally available funds and the City hes covenanted in the Lease Agreement to make the necessary annual appropriations therefor The obligation of tho City to pay th3 Lease Payments duns not constitute an obligation of the City 'it which tha City Is obligated to levy or pledge any form of taxation or for which the City ties levied or pledged any form of taxation. The obligation of the City to pay Lease Payments does not constitute an Indebtedness withln the meaning of any constitutional or statutory debt limitation or restitution. To the extent and In the manner permitted by the terms of the Trust Agreement, the provisions of the Trust Agreement may be amended by the parties thereto with the written consent of the owners of at least fifty -one percen. (51 %) In aggregate principal amount of lha Certificates then outstanding, and may be amended without such consent under certain clrcumstancer:; provided that no such amendment shall Impair the right of any owner to receive. In any case, such owner's fractional share of any Lease Payment or prepayment thereof In accordance with such owner's Certificate, without the consent of such owner This Certificate Is transforalito by the Owner, In person or by his attorney duly authorized In writing, at the comorate trust office of the Trustee In Son Francisco, California, but only In the manner, subject to the limitations and upon payment of any charges provided In the Trust Agreement and upon surrander and cancellation of this Certificate upon such transfer, a new Certificate or Certificates of an authorized denomination or denominations for the same aggregate principal amount will be delivered to the transferee In exchange herefor The City, the Corporation and the Trustee may treat the Owner as the absolute owner hereof for all purposes, whether or not the payments represented by this Certificate shall be overdus and the City, the Corporation and the Trustee shall not be afiectad by any notice to the contrary. Exhibit d Page 3 1 Z The Certificates maturing on end after December 1, 1994, are subject to optional redemption in whole or In part on any Payment Date (but not In a total redemption amount of less than $20,000 at any one time) In Inverse order of maturity, and by lot within maturity. mium set forth below (expressed as at peercentage of the utotal amount t with the premium o be redeemed), together with interest accrued and unpaid thereon to the date Oxed for redemption, from the proceeds of optional prepayments of Lease Payments made by the City pursuant to the Lease Agreement: Propavment Dates December 1, 1993 and June 1, 1994 December 1. 1994 anu June 1, 1995 December 1, 1995 and June 1, 1996 Decembor 1. 1906 and June 1, 1997 December 1. 1997 and each June 1 and oecember 1 thereafter Premium 1997 and 1994 1995 1996 thereafter 1 /a% 1 % 1 /a °h 2% 0 r/ 1 11f2 - 0 th 1 0 'h The Certificates ere subject to mandatory redemption In whole on any date, or In part on any Payment Date, proportionately among maturities and by lot within a maturity, from the nat proceeds of an Insurance or condemnation award to the extent crsdited Agreemsent, at a redemeption price equal to the pr(nc the ulnt thereof to be the edeomed. together with accrued interest to the date fixed for redemptlou, without promium. Notice of redemption, unless waived, Is to be given by the Trustee by mailing an official redemption notice by first class mail at least thirty (30) days and not more than sixty (60) day3 prior to the date fixed for redemption to the registered owner of the Certificate or Certificates to be redeemed at the address shown on the Certificate registration books maintained by the Trustee. Notice or redemption having been gtvon aforesaid, as Certificates redemptiondate. become due and i e h end payable at Certificates t redemption price a ein shall, ci9ed, and from and after such date (unless the City sholi default In the payment of the redemption price) Interest with respect to such Certificates or portions of Certificates shall -ease to be payable. ASSIONMENT For value received assign and transfer unto _ the undersigned doles) hereby call, (Name. Address and -:i Identificehon Number of Assignee) Exhibit B 13 Page 4 M the within registered Certificate and hereby irrevocably constitute(s) and appoint(s) attomny, to transfer the same on the Certlticsto register of the Trustoe with full power of substitutio^ .n the premises. Dated: Signature: Nato: The slgnatwo(s) on this Assignment must correspond with the name(a) ns written On the face Of the within registered Certificate In every c particulel w"Mut altoretion Of enlargement Or any Signoture Guaranteed: Menge, whsisouvor. Note Slpnatue(s) must be guaranteed by e member firm of the New York Stock Exchange or a commercial bank, or trust company. P s age 3 Page 5 1 { uw ornc[s or BUCHALTER. NEMER. FIELDS N INp /t t[p w.a COwIO w..p wl N.m Np . •O.O a. (w..rY.w •.a(. Y.Iwu.CNOq CYI.O.YN •YM[A v 0.0 •.. A.O uur0+l.r MYYYra Y[YCN • wYY [ .11.0 [VI•( )00 Mo [OU.N /a{IN[Y [.Y[[T 106 ANOtlt O. C^010 --l- 00017 S100 •ta[YNON[•[ul 080.0,00 1ta[t011.. 1.." 0...3... CwCaC I.00 Y[[F YVcMN[Y Via Messenger or Courier November 8, 1 9 8 8 To the Members of the Financing Team & YOUNGER vOallfj •MC N•• a N(•n(. V•w (YyY Y..��e�rrw1.0 wa Y{Y.Y.. •Y.a, uu/o.wu Ywo-Y.• .•NYw(. a.. npy 108 wN0 [a[[ O• /IC[ Re: Rancho Cucamonga, Northeast Co1munity Park Financing? Draft$ of Underwrltiny Documents Ladies and Gentlemen: Enclosed Statement and Certificete drafts icete PurchaseAgreement proposed aforOuse cinl connection with the above financing. Theso versions have boon marked to show changes from the previous draft and include those c.ianges suggested at the recent all -hands meeting. We look forward to receiving any final comments you have regarding these underwriting documents at your earliest convenience. Sincerely yours, BUCHALTEER, NEMER, FaELDS & YOUNUFR - ~•— Lisalee Anna Wells LAW; nla Enclosures PS, A prolimillary number run based on the currently esti.nated sizing of the transaction and the proposed lease term has been prepared by Tom Lockard and is enclosed with this letter. L.A.H. �3s f DRAFT --, FRh o �y +1 akm lovamm _� MsM ED TO SHOW ®BNOES MUKM >h FATDC: MODY's. CzrPoraticn th,e °Minion of sores (Seo I%ti g,, here rT—i cftufi dnl� t�1 'ihod�r� _moo A Frota lcrlal Zav ts inl cozpom roe a vita ealuded trvn�'ry� lnt�t am rived th o Portion rease or tax Me te L>�e and n+inimmt taxn,�P�e�f °f tm P7 Pta}'bsrs atr! ajvjo� rim cloErpt 4131tornls the rather cPinicn of tLw zdnimm Usted not book Per'„orpl $3� ,5 pp.00�• "TALC � irtett on �s lhareo �� Interests of hY Via YDant' to Be Made as tW CrTY OF RpC � ':tM, Reftal for Certain a Lease 1 g aKA•flNGA FLg�C ith �FYUTrcx D1TID: on A�4" 1stsrHch'° r t to rlm �P�. �r 1, as shown helm,• '7re,.-tyn) 1Ca �!� lit fro � JLme i, al gg 1 Y'Wlo se¢lannu i, a t the cnc!tic �i p��t�lafoi0sk�'L°d�°�'e�ry trustea the Certl sctiI caluorniaPr Fx'1 gate to won sort' by the T the oertiticates in dcrradrp ��ttttip r any be doll Of verecl as 1 San � t e� �ffi to t1Ple t Ar ;O f. ternd !cafes any V";:, ; Prior lb rjM m attl lad - to a jefi, aada by the 19 °� �Pt1m1 �ln) at th . h' on °r' after R 11 ,y are on ias dePirod �n p c of Prior rrt forth t3a�sein paymjt� Ption, ttn Yee datcg,) a os Zoa,3 ert n set fdr-th heroin. that so I 7h � qty has c011 nted �e "ltd crq !/Prullml�aryp lent mo d- -his ava for s ttsstty hhr° 1 G012DW I)(' tom, Was siren action as nary be necessary to itrluds all of its lease Payments its T dofinai heroin) in its budgets and to make the necessary appropriations tbum -for. Zix cbllgat'.onncf the City to make Tease Payments AclG raL o4'atitutsA= obli tiro cf the City for which the city is chligated to levy or Pledge any fora taxation or for Nrlch the City has levied or pledged wry form of twotion. Sea '"THE CF(a'LFICAZFS— LEM PAYMENTS" herein. N=HR MM C'MrIFICPM MR THE OMMMTIOtfp OF MM CITY TO FY+h(E 1E15E PAYM11S 'JNOIR MME TEA h7MMM 0CtZTMTL:'s A DWr OF SM CrrY, M STALE OF CALIFCRNTA OR ANY OF ITS POLTrICAL SUO MSIOM 14ME N THE ME M G OF ?tor CCCb1TIIl.' ON of THE STALE OF CALIFORNIA OR 011MMSE, OR A PLMIX OF TkM FAM AM) MMV OF WE Crry, OR OF ANY 01 T EHA A gs Certificates arm offered to the public by the thiderwriter when, as cad if executed and delivered and rir*i' ed, subject to approval as to legality by Marrs Pell Hill G Wdto, A Prifusslaal Law Mrperation, San Francisco, California, Special Cblulsal, and orCta:n othrr conditions. Certain kepi mattous will be passed upon for the Mderrciter by Wdialter, Naar, Fields i Yoonger, a Profeneional Wrporatien, Tee Angola, California. It iD anticipated that the Certificates will be available for delivery in San FYancixo, California, on or about Deoaaber _5, 1988. Dated: 17ovesber _, 1988 JPrelimirary, subject to change .S ) FATVRrr1C SCIO:ItJI: Ptiturity Principal interest Price Si7S"t 0b2r It Mcunt rats 9r -Utid ' 1989 $ t t 1990 1991 1992 1993 L 1993 1996 1997 1998 A gs Certificates arm offered to the public by the thiderwriter when, as cad if executed and delivered and rir*i' ed, subject to approval as to legality by Marrs Pell Hill G Wdto, A Prifusslaal Law Mrperation, San Francisco, California, Special Cblulsal, and orCta:n othrr conditions. Certain kepi mattous will be passed upon for the Mderrciter by Wdialter, Naar, Fields i Yoonger, a Profeneional Wrporatien, Tee Angola, California. It iD anticipated that the Certificates will be available for delivery in San FYancixo, California, on or about Deoaaber _5, 1988. Dated: 17ovesber _, 1988 JPrelimirary, subject to change .S ) No haler, broker, salesperson or other parson has been authorized by the city to give any infarmnUon or to mahm any representations otter thott those contained Mein ayd, if given or node, such other information or representation mat not be relied upon as having been authorized by thagity� This Official Statement does not carotitutst an of for to 941 or the solicitation of an offer to bxy j= nor ehali tMrw be any sale of the eertificstss by a parson in arty ealict�tatt la or sale. It � ��� � � � to nonuse mrh to otter, This OfficL^i Statemant is not to be contrued as a oottract With the purdasma of the cartificatae. Statemmta cotntaird in this Official Statement ynich involve astlmetes, ferorasts or matters of opinion, uhather or Jot c9ressly so dw=U -f4 herein, are intended solely as mrh and are not to be oorstrved as a repreeenntardm of facts. The information sot forth herein has bacon doWned fret sources %hich are believed to be reliable but it is not gtaranteed as to cxxxracy or ocanletpjw= and is rot to bo eoretmv t as a representation by the VndervritaYA 7M infomation and cgwwsion of cpinione herein arc euhsject to damp vidmt notice and neither delivery of this Official Stateeert nor ary sale made herecmder shell, under any circumatan oes, create any implication that there has been no chwgs in the dffairs of th%city sins the date hereof. 11 13B 1' . M • • •I • yr D'"'da L. StO t, M%YcrAlaiiaan R"'" J. Wright, Kay/v�r.P�c�to TOyMwber Carlos J. Buvot, Il, Cow -V 1p"Wr umber Deborah N. @wn, rOLVr•Llpw2crVNwbar . CM=ilprx;accVpCMbar C32Y AM ACFa0.7t SIR" Lauren M. 14worLan, city Mnwffi'.' /.wou*:ivva Dltvtcr Joe :dsultx, amity Servdose Aga' Jim "art, AftWJtMtive Y.ecvices Dlrectar James k !'•Cameo, City Attratwy Ell Jam" Stzdj d p�� jUn3ger James c. Firec, 4YeaaCUer Juws hhu Nall S Rate Protenioal law cxperaticn San naniciam, Califo -nia Pieldmn, Rolepp 6 Aasoclytes Rainer Chlifonlia TFMMM Bail( of America lletiaYl 7YVst and Savings Association LDS Agales, calirornia LIKI 1 3c� 4 UU E OF CONMCS PEGS STR*wy SThZxE f . . . . . . . . . . . . . . . . . . . . . . . . . . . . vl IN14m0U=CN . . . . . . . . . . . . . . . . . . ... . . . . . . . . . 1 1517HAM SOMMS AVM USFS OFAE . . . . . . . . . . . . . . . . . . . . . 2 DE` -in,=CN OF UM Epa7L:T . . . . . . . . . . . . . . . . 3 7 �t AAMlt Not A CWra Obligatia}i . . . . . . . . . . . . . . . 3 LwzA PeSments Oteeaursd • • • • • • • • • • • • • 3 No LiabUity Of Tile ocrperaticn 7b The Owners . . . . . . . . . . . . 4 Limited Aeoaave Cn Defarlt . . . . . . .. . . . . . .. . . . . . . a Abatoent . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 M CEFaTn a S . . . . . . . . . . . 5 Gaviral Provisirsw . . . . . . . . . . . . . . . . 5 S IdaC�a4tion 6 Gerrnal AadmptLon Provisions SS=1.08 Of Payment For She Outificates . . . . . . . . . 7 7 ;Rase payments . . . . . . . . . . . . . . I3 sD A cGR�ifQ71 e Lease Payments 9 :reurance . . . . . . . . . 10 Default Arid Pasediea . . . . . . . . . . . . . . 11 Oder Provisirrs . . . . . . . . . . . . . . . . . . . . . . 12 Dermination . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13 TEW ALi MWIT . . . . . . . . . . . . . 13 Hands Arid Accounts . . . . . . . . . . . . . . . . . . . . . . . . . 13 naestmatt Of Honeys . . . . . . . . . . . . . 35 Delivery, Transfer and Payment • cxrtifieotes . . . . . . . . . . 16 Limitation of Liability . . . . . . . . . . . .. . 16 lNmel landaus . . . . . . . . . . . . . . . . . 17 ASSI 14 IT AGFMMNP . . . . . . . . . . . . . . . . . . . . . . . . is ZNECMWCRA=Ott . . . . . . . . . . . . . . . . . . . . . . . 15 QTY FINVICIAL INFUFO> CR .. ...... is Wigetar" process . . . . . . . . . . . . . . . . 15 Assessed Valuation and Tax Colleetiore . . . . . . . . . . . 19 constitutional Awrdments Alfecting City Bnveares . . . . . . . . . 21 TMCITY . . . . . . . . . . . 22 A iv qC) a`' FATYNG . . . . . . . . . . . . . . . +-� CLAM TEGAL Mrj-SM• . . . . . . . . . . . . . . . . . . . . . . . . . . 30 •� F3Cj= . . . . . . . . . KABSFI= CF L=GATION . . . . . . . . . . . . . . . . . . . . . . . • • • • 30 C j AVAtLmUlny OF N mms . . . . . . . . 30 ,r. mu- gd2TFt r . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 31 IITSI3ANFLCS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 31 APPu= A - Fm OF FIFAL Om"ON OF SpEmL 03[A.SF.L. . . . . . . . . . . . A -1 APPaW S( B - XMTTM FMW CM STMUEM^ (FZ= )F?R 1987. . . . . . 6_1 IN CMW&-rICN WMH MW OFFUUM, UM MMMON M PAY aMt-ATZM CR EF1'FX7 TRAM=CNB WaCH SULW i✓: OR P UMaN no PW=-- PRIM OF = Ci7QIFTCwIW AT A ILVLL AB= TEAT Waal )now O1fnW= pMrAII. IN UM Opp? P0V00:F. sucH , IF , PAY Be DLSOR7Fimm AT ANY TIPS. Spa. mar SbazEM= TuS S@lQW S171 IDM IS SUfl = iN AIL RFSPh= 1V MW M M OUVLEM n.- rammou iN Tw oirrcru srAPumm rm 11m onmuie or mm cHI'JFIa= 10 R71i MAL uN.MM'IS 2AOB CWX BY 24711E OF M b RMM OMCLU SDkMQM. Pnaposa . . . . . . . . . The aaphisition of certain real property . for devalcpemnt as the hbrU=tAC==mity Park (`fie "Project ") to no load to the city of Parcho awamonga, California (ths "City"), under a lease aVreasent (the "Lave Agreement") with the Rancho QXamanga Pablic nrrmuwat Corporation (the tion") Severity f= the Certificates . . . . . . . Rte city is obligated wider the Larne Agreement to make lease paywats (the "Lore Payments") as the rental for the Project. Each Certificate represents an tcdivid , ftaeticrul interest of the a m thereof in lease Payments to be mods by the city as specified in such Outificate. no city bas covenanted wrier the Lase Agraaent that so lore as the Project is available for the City's veep it will Was such action as ley be necessary to inhere the Lase paysents in its bhiiget and to make the nw.�essary appropriations therefor. Soo "LAZE AMMOW — Lase Payaavta" harvin. Uoder California law, the abligetim c2 the city to rake Lase Payments (otter than to the extent that funds are avai]aole for such purpcw in acc%xmra established eader the Trnaet AgremntA from Xwwda of the Cutificates) =nut be abated in whole or in part if the City door not have full use and possession of the Project. A Reserve Find is establisted^in the amamtAUjdIc&tg) herein from Certificate pr000eds for tts benefit of the owners of the Cartiticatw. . The Corporation will assign to the Trustee for the benefit of tie owners of the Certificates its rights =kr the Leas Agreement, including (a) its right to receive amcamts payable ethe city tder the Law nigh to enforce amounts payable default, its euepting certain rights to indemnificatim and the payment of tars ar3 expen.es. 1Ury of certificates . . . The Crr+lficaYn will 1x.�X -.Ityd and daliverad in folly reglstw ed form in '=iii neticns of $5,000 or any integral mhitiple thereof (and in irraTilar denominations if necessary n ccnneatinn with a partial redeupticn) . vi � L� 2- Redmption . . . . . . . . 7ho Cartificatus are abject to vords gnr am gly,tonxt ro deepticn prior to maturity as daecribad herein. sae "THE CETCMC RTES - FJedsmkion.^ w Cicy . . . . . . . .. Thr City is n California gannral law city, loxted in sae BatrsrdiDO Ctamty. with a oaoulatZm of_ as Of The oapcuaticm . . . . . The C=TQnt•dm wea created as a I=WrOtit, pullic benefit corporation organized and exiatinq um'ar and by virtue of the law of the state of california. MM ojL;LrpMa; OF UIE C.TY 7O 19M LEASE PAYKM UNDER TO LEASE A= MM IS AN OMZGK7W FM= F" Tw cnvs CUffAL FUND OR ANY Onlr2 SOURCE OF F011W LEGAL7V AVAIITFItE TO MM CITY FOR THE PAYM C OF IFaSE PAYFLWM. 713E OMIICATrON OF THE MY TO PAY T PAYMRil9 r)OES VOr Crxb7T1VLE All r-. r • •:• 1 • 1 r •sl •• •sr •r. Y- y- ♦ F 1 I A n • • 1 1' M Y' I> 1. I•J• 1 I' T10. '1 •IyJ I> H>] • L . Y. •` 1 I• >CIU• A< 11' M 11 Y Y ✓ • •'•. yy YK Y : tl • YI 1• 1 �' �Y 1 •• • • Y• •'1 •Y: 1 i la .•• Vii 143 TMOTXM MAP r,VTI'xA 1.O VNTI 1 Wr• nl1 "WX COUNTY 1 LO[ AnYll[w eooxlT 'w f.Irr'1 11•Iwt Rdr�Cf>D ,..w � 00+1 / • Iww OUYAIDI�O r t'uV \T1 ' rlwlw�. l • • •ewr i nw" \lam_ �• ` YIIiO i GC` �N \ W�ww1 iMWI� Il�ww V\ `M1Y\ (Y lwlwll �� n �E Oiw �i rvlarr, r.Y \ '\ i } ,I,wy t •� •Ircxu•[ �y,•� � a.ti[.Iry N e ` [oc•n rr OMrq Br P • \. �IU„ /A \ w.. I •\ wrs Fj bV1�rwY Mrs. ' \ \ I r� --m 01[OU coo xrr \ r I�1 00x1 - \• Mura SOUTH" CAVFORMIA I ARIA \ YI11C0 ,�� M1 [ 1 11 iw111 � r�r OwamYw wnI grwal�r r rr1r rw. viii I L+ L I I Y YI[IIAL .I COL rT• OFFICIAL SIAM= $3,500,000' CER17FICAM OF PAMCIPATION ("UMEAnAPCM't7NM PARR PEWECf) Evid`scirrl Or-divided Fractional Interests of the Wneis Thereof in Lase Payments to Be tide by the Y • Y Y' as the Dental for curtain Bccperty Pursuant to a Lease Agcseonnt with the RAMD (u('AFi7 rP PUBLIC n.2:WJDO?r CATION 'Br• purpose of ttus Official Statement, which includes the rover page, iElo of O � ix (the "Official Stat-.,e..r "), is to provide certain iM the sale and daU.ery •f the certificates of iarticipatiOn (NOrtherstACeramity park "- c. ` "/.e ^Certif_mtes "), in an aggregate principal amaant Of 53.500. 00 evidencing urdivldd fi"r*t^^-' , interests of tlne registered wrens thereof (the "'Owners ") in Ieaso P%=nts (the ^base Payments ") to be mods by the City of Rama Cl wnua, Cilifamin (the "City"), as the rental forfcertiinAreal property for future day icum nt as Northeast_ Caamity Pak (the "I3oject ") leased - the Rancho oxmr la Pubs is il�xovemrnt— gaporat�. cn (the "0=1=atim ") pursuant to a lon=e aq.MA=nt de rd as of December 1. 1988 ( the "Imse Agranm -). 9w Outific tes aru b,_.acl executed and dalivered prsuant to a 'Rust Agreement, dated as of 0ocerber 1, 1988 ( the 'trust Agreement"), by and e=ng the C_+w, the Corporation and Bank of America National Trust and sayings Association, ras Angeles, as trustee (the °rrstea ^) &uh Certificate widences an undivided fractional interest of the Wners in the lease Payments to be made by the city. Pursuant to an Assignment Agreement, dated as of Ceowber 1, 1988 (the "Assigrnent Agreement-), by and between the corporation and the Tnnstw, the Crrpoxation his assigned to the Trustee, for the tercfit of the Wners, its rights cadet the Lease Agreement, including (b (a) its right to am=ts payable by the city under the T,L Agreement right to enforce payment of =,unts due upon darmat, but C=Iudinl curtain rights to indemnification and to the payment Of fees and wTe nses. All capitalized tarns used heroin and not defined stall have the meanings ascribed to them in the Trust Agreement. Ses "AVAIIABII,IIY OF p0almnS" herni . In general, the city is rrquired to ray to the lrtratee specified Lease PaYmmts for xwe of the Project, which amamts are inta dsd to be sufficient in both tine and apragate amumt to pay, when due, the principal and interest with respect to the Cariifiertes (son tIJEASE AMIZU41rr — retsa Payments ") In tho ieasO Agreement, the City has cwaI--tom that it will take such action as may be !/Preliminary; subject to flange I11:3 1' reos=sary to include all Leese Payments in its b kiets and to make the necessary . S appropriaticns tirrnfor. t The obligation of the City to aale Leave lbyeents dogs not coeetitute an obligation of the City for hies the City is cb]J- tl to levy ee plaolge any form of tamutSon or for %&Uh the City bus levied or pledged any fma of timdon. xeitbr the oetificates nor the daligetLM a the city t., sle Lew ligyearts cvetituhoe an indebtec new of the City, the (Y rparat gn, er the State of Qdifmda, or any of its political subliviniQe, w.lthin the mwdnrg of any ?. cvetituttonal or at7tubory ddut limitation or restriction, or a plegta of the g faith and credit d the City. !or cexbs n Vnwj=Iri inlcmatiou with xogxct to the City, see "CM P'.DAt1CAL nva* ATD:I " hereln. tnr ac discussion of owtain rasdeerbl to the oastltuutim of the State of California. and their iataet m the City, aes the heading "O"rtitvticral Asendsents Affecting city Aa,Qtes" under "GIIY FINhMCM MKN09TTai" basin. MTIM= SOU' = AND USES OF FLII7C6�� The proceeds to be received from tine sale of the Xrtificates (at`lar than amved interest uhich will be deposited in the eaiAtalized intent account of the Lea" Fayment Fwd) are estimated to be zpPlied as follows: Paw Amount of Certificates . . . . . . . . . . . . . .S A Total Scenes S LtFlr'Zf a �.r. 42ition Fund . . . . . . . . . . . . . . . . iL^s 5 exve awe . A Da11NSV QxSG9_Fund . . . . . . . . . . . . . . Underwriter's Discount . . . . . . . . . . . . . . .. TTvL mInary% subject to chargn Total Uses S t 1 rw u r . :,514.9 Tho omaptual Plan for the Northeast mmunity Park will incorporate sm design elents wkidt will be unique in function. •Rea planned Park tie, in with the Etiwanda Cmeak trail system giving comity residents pedestrian bicycle and equestrian access as well as excellent vehicular access to the su , the location and design of the park make this an excallent cpportunitj, for a cocciawity greenbelt/trail system hub. With the proceeds of the Certifimtcs, tho City will acquire approximately 65.9 acres of open space. This land is vacant of buildings, hut: is Planted with numerous fruit grow and is surrounded by Eucalyptus trees in windrows. The design is consistent with the historic vernacular of the Etiu•anda (Pancho 01mmonga) Specific Plan. FM 7 o obligation of the City to make I. Payme to under the Ieaso Agreement does not constitute an obligation of the City for rhidu the city must levy or PIo&P any fora of taxation or for which the City nas levied or pledged any form of taxation, nor does it constitute a debt or indebtedness of the City, or the State of California or any political subdivisions thereof, within the meaning of any camtitutlmal or statutory debt limitation or restriction. Lease Pavm^1nGs tuns The city end the Corporation expert that the ec>3ufsition of tins Pmgeet will be CocQletei on the date of delivery of tho Certificates. The Lease Payments and cth¢- areumt s doe wader the Lease Agreement are not sectored by any plo&le of taxes or other revenues of the city. After the date of acquisition of the Project, Lase Payments are payable from any }lads lawfully available to the City, subject to oa-tain provisions of the Lease Agreement. In the event that rcven•e sources of the City are less than its total IESase Payment ebligatiats. the City Could choose to fund other mmizipal servicas before inking Ieass Paym,nts. •Rue saw result could occur if, because of State of California 0onstitutionll limits on expenditures, the City is not permitted to apprcpriAte and sped all of its available :rrmves. See "OX'stituticnal Amendments Affecting City Revenues" wader "CITY FIlt XIAL. IIiEL'R9117R7" herein. pbwever, the City has covenanted in the Lease h;rammt to budget for, apprcprlate and mJw the base Ryyments and cthe: payments due Cyder the Ieese Agrowint in eszn fear dying which it has use and pmse;sicn of tha Project. I i-1 I { � _ - . ✓r i' 'N' ` G r y;F .' MrImbilily of Tv corporatIon To Ten Otmnr� Emi* as fly provided in the 'rust Agxermdlnt, the ct rporatiah, w� as lessor, shall not have any cbligaticr or liability to the %TArs of the nrn+lfh,aten with r,%,ect to the payment hdhnn due of the Tease Fayents by the City, or with respect to the dwena ca or performance by the City of other ftw= eemenCtit, undue they Agreecrnt or render thethe Trusts Agree hent,p Oormed With re:.poct to the parfcrmantoe by the Trustee of arty obligation required to be performed by it under the Mist Agreement. ? yjltitd Reogurse On oefalgt, Yi If the City shoaul default on its obligation to uals Iease Payments, the Trustee, as aseigr4a of the lessor, may retain the lease Agreement atrl hold the city liable for all lease Payments on an atraol basis, and will have the right to re -aster and ze-lat the Project un long as the tax -awmpt status of the interest cmpwant of the loam Payments is preserved. Su= h ra -entry and re -lett atoll not affect a sulsecder of the affected Lena Agcraent. Alt umtively, the Trustee may tars'.nato the lease Agreement on default of the City and pxxsr3 against the City to sewer damclu pursuant to the terms of the Leas Agreement. No asw w= can be given that tea Trustee will be able to r,let the Project, w ae to rrMcvide rental income sufficient to east the Lae payments on the certificate in a timely manner, and the Trustee L not Mpouusred to sell the Project, for the benefit of the Ov:rrs of the Certificates. Any wit for money damages would be subject to 11mitaticew on legal rOMIKUM agairmt cities in the State of California, including a limitation on enforcement or judg=nts against Each reeled to serve the public welfare and interest. m at ant In the event of loss or substantial interference in the um and possession of all or any discrete portion of the iaoject, caused by material daroge or destruction of such discrete portion of the Project, Inese Payments will be abated. The amount of abatement will two such that tha resulting rental represets fair ocmidaraticn for the use and possession of the portico of the Project not damaged or destroyed. So&. abatement atoll a>rttlrue for the Period commencing with the date of such damage or ,iestraction and acing with the substantial ompletich of the work of repair or replacement of such portion of the Project. In the event each portion of the Project canniat be repaired during the period of time that proceeds of the City's rental interruption iraurance will be available in lieu of lease Paymeants, plus the Perim for ut%ich fat are available in the Pesarve fled, or in then event that casualty irourance prooeeds or cmdmaticn prteeeda are L=eficient to provide for cmplete repair or -gpla event of such portion of the pmjcct or redanption of the Oartlfirates, there may be insufficient funds to cover payments to the Oirtters in 111. 4 The Certificates will be executed and delivered in the aggregate principal amount of $1.SOO.0 *, will be dated December it 1988, Will be payable as to interest at the rates per annum met forth on the cover page hereof, are payable r iannually on each June 1 and December 1, cmmeirg June 1, 1989 (individually, a "Payment Date "), and will mature on December 1 in each of the designated years in the principal amounts sheen on the cover hereof. the Certificates will be executed and delivered in Rally registered form, witMrt coupons, in denominations of $5,000 or in an_i integral rultiple R thereof. Principal with respect to the Certificates will be payable at the 1 principal corporate trust office of the Tnrstee in San 1Yanrisco. California. Interest with respect to the Certificates u.xU ba payable by o..ack or draft railed to the owner of r'ec7rd at the a-Xbrss shoe an the Certificate reaistration books maintained by the Trustee for such purposes. �nptior. M'A Certificates mattrimc on and after December 1, IM, are aubjer_t to optimal redm{rtim in %hO16 or in part on any Payment Date (but not in a total cedmptim amont of less than $20,000 at any one tine) in invenw crier of maturity, and by lot within a Irrhrity, on or after Dsomber 1. 1991, at the Principal amount thereof together with the premium set forth below (e:gau&-md as a percentage of the total amount to be redeemed), togath -I with interest aeisued ud unpaid thereon to the date fixed for redemption, from the proceeds of optical prepayments of lease Payments made by the City parmhsnnt to th-a poara Agreement: *r eliminahyr subject to dw*o 5 ELI Premium r .id with Respect to the Maturity [Ate of Any Redeemed Certificates Certificates Maturing in 1922 aad �1�.D5 221# 29Z Im tk.gerea December 1, 1991 and June 1, 1994 it it lit 2% December 1, 1998 and June 1, 1998 0 i 1 11 December 1, 1995 and June 1, 199§ - December 1, 1996 and June 1, W2 - - 0 i December 1, 2992. and Jae 1, 1998 - - - 0 *r eliminahyr subject to dw*o 5 ELI The Certificates are subject to hmndatory redemption in adhole on any date, or in part on any Payment Data, prcporticnately amain maturities and by lot within a maturity, from the not proceeds of an insurance or c=emnatio-1 award to the extent credited towards the prepayment of the Irase Payments by C.e City passant to the 1-5 Agreement, at a rndapti„ -n price equal to tea gwirr_ipal amount tharmf to be redeemed, toget:aer with accrued interest to the date fixed for reddemption, without premium. An Gene oil Redc=tion h> y%dsiansA Unless waives by an Omer of Certificates to be redeemed, oftic .al notice of any such redeart1m shall be o an by the Ttwtoe on behalf of the City by mailing a copy tha eof by fist class mall at least thirty days and not here than slxly days prior to thr date fixed for r deWticn to tie Owner of the Certificate or Certificates to be raieemed at the address ax;wn on the registration boots maintained by the Trustee. All official notices of re&wciah shall be dated and shall state: (i) the, rC on3tion da e, (ii) tho redemption price, (iii) if fewer than all outstanding, Certificates ari to be redeemed, Tile Certificate numbers (and, in the 25e of partial redemptionn, the respective principal atrcemnts) of the Certificates to be redtened, (iv) that as tt:e redwptio n date the z3dampt1... price will beards m d �tpe� up<xht�ann each such Certificate or portico thereof called redemption, respect thereto shall ceasa to accrue from and after said date, and (v) the place % here such ontifieatns am to ba ssrerdared for payment of the rodarptioh price, which place for payment shell be the principal ll catporate trust orrice of the Trustee in San Francsco..Alitarnia. Pricr to any deposited, with the Trustee at�amamtto^ .mey sufficient to iaay thFt redemption Price of all the Certificates or pantos of Certificates which are to be redeemed on that date. official notice of redempUm raving berth given as aforesaid, the Certificates or portions of Certificates so to be redeemed tall, on tho redmpticn fate, become due and payable at the rodemptiah p:-ice therein specified, and 1 and after s:ch data (unless the City stall default in the Payment of the redmptdon price) interest with respect to such Certificates or Portions cr Certificates shat) cease to be payable. thpon surrerder of such Certificates for redemption in accordance with said notice, such Certificates shall be paid by the Trvsteo at the rod^otien price. Failure by any Omer to zec aiva notice as hereinabove provided shall not affect the validity of any such riimptiah. In addition to the foregoing notice, tbrthts rotice Qlall be given by the Trustee as fat forth in the Trust Agreement to certain securities deposits and Information services, but no defect in said further notice nor any failure to gave all or any portion of such further notica stn:ll in any manmher defeat the eff.'= tiveness of a tail for radmptim it offt ^.dal notice thereof is given as described above. � -7i Upon suer crier of any Certificate redeemed in part only, the Marstee shall execute and deliver to the owner thereof, at the expenme of the: City, a now Icertificate of Cort.ifintes of authorizes der�inatian equal in aggr cjate Principal noncan to the rmrede®ed portion of the Certificate surrarderrd and of the sane interest rate arm the same rot -city. Each Certificate represents an imdividoi fractional interest in the — �oene-�rMs to 1p a node by the City the Cone oration (son tMM CL'CMCA'LFS oorpo , Pursuant to the Assignment Agreement, will assign certain of its rights taller tie Tmse Agreement to the Ttusteo, for the benefit of the avers, including its right to receive lease .%yments thereunder and its right to ecerrrse each rights and roadies as may be neawery to Anfurne thu payment of Tog Paymen U when due or otherwise to protect its Interests in the event of a default by the City. Principal and h*vxest cLe with respoct to the Certificates will be aide from the incase Payments reyable by tba City for the use and Prsseasion of the Project, rental interrtrctiwe %xvwann Proceeds, net Smz'aroe proceeds pertaining to tho Project to the - ctennt them such not proms are rot used for repair or replacement, interest or other income derived foe the investment of the funds and accounts held by the Ttvs':eee for the City pu rst-vv to the Trust Agreement, or in certain itctancvn the the Reserve Flora establirJted by the Trust Agrement. The City has eovcmnted under the rears• Agrbement :o maim rw_,e Payments for the use and possession of the Project an- to tap® such action as may be nacessary to inluds all Tease Payaemts in its bliga. and to appropriate an 'mount neaesaary to nuke sxh Tease Payments. The amouatt, payable to the Trustee Pre to be Mae to make the payments of principal and in Wxast due with respect to the Certificates. ehrleer California law, even thongs the ion Leese o the terms efte+dlwt u of tub into, of the certlf!cattss, the obligation of the City to make Lease Payments (other than to the extent that funds to rake base Payments are available in the T—SG Payrant Fund, Paserve Fuel and, in tho c+a2e of termination of Tessa Agreement or martial prepayment of Teeee Payments, the Acglisition Fund) must bo abated in ;thole or in part if the ciry does not have Lull Use and possession of the Projet. '2W obligation of the City to make Tease Payments does not oastiturco an cbligaticn of the City for which the City is obligated to levy or pleagu any form of taxation. Naitiar the Cer'.itieates =- the obligation of the City to rasa Tease Payments Constitutes an ihdebtodness of the City, the State of California or any of its political vubdivisfons wit;Ur Q1 moaning of the Constitution of the State of CalifanUa or othervise or r pie'.ye of the faith and credit of such City. A Reserve Fad is establir -W wvlr the Test Agreems m. A=. cs in the Renerve Fland am to to uuod only for the payment of Ioase Payments to the extent amounts in the leaza Payment Fund am hrnuffioicrnt therefor. Sae the discussion heroin under the hemdtrg 'DWI AGAMU4AT — Fronds and AcxaunW- Re erve Fund." pursuant to the Assigrant. hgaaament, t're OUrrme -iM will assign to the Trustee, for the benefit of tho C,mars, ita rights urdar all of the Tease I ' Agt»ement, 1rcLdinq (a) its rights to n+eeive amounts payable by the city =Sar ttra Lease Agreement ..id (b) its rights to enforce a=vi s payable upon default, but e>aoePtirq certain rights to irdeenificatlon and the Euuyment of fees an eapawes. Lease Payments are requited to be made by tha city under the Lease Age temtofor use and possess= of the Project, -for each annual period during Decen ber lain the 4: � ?AJ! a1' Yon' and ending yea �y A Fled �'uA4r�t requires that Lease Payments be deposited in the will wittdna+ from -' Lease by the Trustee. Ctn each payment dote the Trustee Payments of the City and will apply t dry a.amts teat aggregate amoont of en.'cir Lsy.0 st payments with respect to the Cutificates, sufficienc tomeet th, following amortization schedule: D= Itl P.MM2nt9 1989 $ $ $ 1990 1991 1992 1993 1994 1995 1996 1997 199E A TFECR ACRMmrr 71" corporation will enter into a Yearn Agtolm t with the City. The OMPoratim agrees under the Tease Agreement to came rinds to be deposited with the TrusWe in an AOT iJtion fled created under the Trust - provide for acqu!sition of tho,L20_t. 34ramnnt to The Aailfsitlon Ctzn�raio a4� to cause the Trustee to reimburse to a city for AaMj0ct frtm monays deposited in the Aninisi` ion fled. 1 S2 i v Zoe City agrees that upon acquisition of the Project it will take possession of i the,2i jv ect under the terms and provisions of the Lease Agreement, If the Corporation, far any reason whatsoever, cannot deliver poeeesnion of the yG10leAProiact to the City, the Iease Agreement shall not be void ar voidable, nor shall the Corporation be liable to the City for any lees or damage resulting therefrom: but in such event the remaining g 1— Payments pertaining to thsADry t shall be abated in part, in as amamt to be agreed upm by the City and the Corporation such that the resulting Lea_sa Payments represent fair mnsi,eration for the we and 0=4w y of the portion of the Project zanily delivered. PaymwM of Dalivery Costs shall be made fr.» thn moneys deposited with the TAotee in a Delivery Cost Ford created under the Trust Agreement, which moneys shall be disbursed for payment or dishumsm ent of Delivery Costs in accordance and upon c upliance with the provisions of the Trust Agmama nt. Zino Corporation and the City acicovledgo that the Acquisition Hand and the Delivery Costs Fond have been created for the benefit of the City. All urnoupended =v--13 remaining in the Acquisition Fund and not regrtred for payment of Acgaisition Cos or in the Delivery Costs Fund and not required for payment of Delivery Costs shall be applied in ac ardance with provisions of the Trust Agreement. Zoe City shall rave, and isAgranted under the lease Agryow .nt the option at anv t r and from time to time during the Mean of the Lease Agreement, to aW additional land, facilities, Improvements or other property or to substitrte other lard, facilities, improvements or other property for the Project or partien thereof, provided that the City shall satisfy certain conditions precedent specified in the "su Agreement. Ivasa Pavmenta Zoe City agrees to pay to the Corporation, its Glac essoas and assiv0, as rental for the use and occupancy of theAProject during as /L Period, dw Zz= ry,n ws Ida minted into components of principal and . w. E�) for thwaAProject to be duo and payai,:r m. the respective Lease payment Dates. amnt void in the Lease Payment fled on awry in. -.se P,rfmnnt Date (other than mx amounts resulting from the psrnymsnt of the lease Payments in part but not in whole and othan than amounts required for payment of past due principal or Interest represented by any Certificates not presented for payment) atoll be credited towards the Lease Payment then due and payable, and no Lease Payment need be madv on any Lease Payment Date if the amounts then held in the lease Payment flud are at 1e33L equal to the lease Payment then required to be paid. The It se Payments for theAProject payable in any Rental Period shall be for the use of thei—Pro Ject for smelt Rental Period. In the event that the City prepays all remaining Lease Payments in full purmant to the Lease Agreement, the City's obligations under the Lease Agreement shall Umzeepan cease and terminate; Ober 'barn in the ease of prepeyme ;t by application or a security deposit. In the wart that the City prepays the Tat,, Payments in part but not in whole as a result of any irz ranoa or eatkrsation 9 I S3 u ' card with respect to any Portion of theme, rah prepayment shall bo credited entirely towards the prepayment of the I»ase Payments as Pollan: the Pr�ipal Components of each rmaini.-g such Lease Payments shall be ro*x d on a pro rata basin in intagrrl multiples of $5,000, and (ii) the interest axpommnt of each remaining such lease Payments shall be reduced by the aggregate the t amount g of interest which would other wiso be Payable with respect to thereby redoeaed pursuant to the That Agreement. laz= m 7hS iSo e=t O y agrees �gimaintain : r cause to be man :tamed with respect to insurance; tire with extended Public liability a� also damage maLutain renal interrtgxtim insurance 12ne City also n ors to mverlrg loos of the use of all or any part of tho AR Let in an ahohmt equal tenet �r 1 tsa r no ,. w Roquir ®not (as defined below) . All required 1==annce ray include self- insunnw (upon remmehHaticn of a qualifl0d bream ==ltant in the manner described in the Team Agreement) and customary datx:tible amounts, and must (if Policies are obtained) be maintained under r»li ies requiring at least thirty (30) days' prior Kitten notice before expiration, cancellation or reduction of the coverage Provided thereby. .tmranco prncemb will be made payable to the TrvstA (except in the case of public liability and property damage insurance) and in the case of the arc eel, dansge insurance must be payable in the amount of the full replacement cost of theARM2Jee�, Ths City shall deliver or cause to be delivered annually to Cue Trustea evidence that the insurance policies (rf Pol+ ^tees are cbt&L ) required by the lease Agreement are in DILL force and effect. The not prcoeeds of any insurance award (^Net proomda ") rmat44 fr.. any damage or desttactivh to all or arrI part of theuPmlact shall be deposited with the Trustee in the Insranoa and �ticn Mid created tmler the Trust Agreement. If the City determines and notifies the TtusrA s in writing of its determination, within ninety (90) days Loll owini tun data ve nan3h f thapt, that the x'epla�ht, repair, raatoratim, modification � Lugrvvhn•.errt of theAA1° act is not economically feasible or in the best interest of the City, than Mich Net Proceeds shall be promptly transferred by the Tiurstee to the lease Payment Rand and applied to the Prrpaymmht of Ie35e Paym is pw-aant to the Lease Agromwt: Prof ded, that in the event of damage or destruction of theARM eCt in riil] such Net Proceeds may be tru:sferzed to the Lease Payment Rnd only it sufficient, together with other available mnsys, to cause the prepayment of the principal COGpahents of all uamnid Lease Payments pLm,,W= to the psepeym>nt of the PrIncipal crn>Ex is Of all unpaid Lease Payments pursuant tr, the rrase Agreement. All Net Proceeds deposited in the Insuaence and cremation Red and not so transferred to ter Lease Payment Red shall be applied to the ptz4t replacement, rereir, restoration, n.7dification or Saprovement of the damaged or de� porticro of the�gq� ;y tne City, Lq= reoerpt of rmpisitia>.s .cry to the Traratee Signed by a City Rs�emtatLwe in the form required tr/ the Iease Agreemet. Any balenos of the Not Proetib rMaininng after such work has been ccudleted shall be paid to the City. 10 Agreement: The following owtstitute "events of defaul • :" under the Lease (a) failure by the City to Pay any lease payment or other Payment rogudred to be Paid thereunder at the time s xcified therein, and the cOntiruatiat of Stich failure for a period of ten (Lo) days; (b) failure by ttr_ City to observe and perform arty covenant, cadition or agroment m its part to be Observed or performed, otter dIan as referred to in clause (a) above, for a period of thirty (10) days after written rotice specifying Such failure and reghesting that it be remedied has been given to the City by the 0=Porathsn, the Trustee, or the owners of not less than five i (54) in aggregate prirohpal amount of Certificates thus, arts"aMing; Prodded, however, if the falluaa stated in the entice cannot: be corrected withln the appilrabij period, the Corpuratim, the Trustee and Stich Owners will not unreasonably withso)d their consent to an extension of such time if corrective action is instituted by the City within the applicable period and diligently pursued until the default is corrected; and (c) the filing by the City of a voluntary petition in bankruptcy, or failure bf the City PrOMPUY to lift any anicution, garniahmum or attar -rant, or adjudication of the City as a bankrupt. or assigrtment by the City for the benefit of caeditaas, or the entry by thha City ifto an agreamr c of c=paoitim with creditors, or the approval by a coat of on¢ct`nt jurisdiction of a petition applicable to the City in any proceeding instituted under the y reder.rY_`Ln�`_._- v.�(— y-{43tCY Act, an amnlod, or under any ainil, acts Which may LIM the OOCUrrenae of an event of default specified above, the t =P=tim may exercise any and all rmodies available pursuant to law or granted pursuant to the Tease Agreement, W=Cpt that there Shall be no right under any circa stanots to accelerate the rinse Payments Q othSrwiso declare any *ease PAY=ts not then in default to to immediately due and payable. The Corporation may exercise arty and all rights of entry and Psojoct, azd also, at its option, with or without srh entry, may terminate the Tea's Agreement; provided, that no such termination shall be affected either by operation of law or acts of the City or the C=poration, accept in the mane r provided in the rease Agreement. In the event or such default and notwith5tandinU any re -enRy by the Corporation, the City Ball ccntirr;e to remain liable for the payment Of the tease Payments and/or daahgee for ranch of the Lease event, A4rnementan the parforgvre Of all conditions orntainod tharain and, in any and/or daragns shill be payable to the Ctaporatlm at tha time and in the manner as prwidod in the rouse Agrreemt. In the event the Corporation dxs not elect to terminate the Lease Agteement, the City shall remain liable for the payment of all Tease Payments and the performance of all conditions contained ed in the Tease Agreement and stall reirixs.n the Nrporatim for any deficiency arising cut of the re- leasing of the Project, or, in the event th o Corporation is unable to re -leasa tt>PjdBCpjr= for thu full amount of all Tease Payments to the end of the term of the Lease 11 I Agreement. She City appoints the Corporation as the agent and attorney -in -tact of the City to enter ton and release the Project in the event of default by the City in the perfommnoe of any covenants contained in the lease Agreement to be perfouexh by the City. The City waives the right to say rental obtained by the Corparatlah in e=xec of the learn payments and moneys and ra:asse mxh waa'ss to the Corporation as oogW- Jatian to the O=pcnaticn for its services in re- leasing the P,rojoet. in the event the Corporation elects to terminate the lease Agreement and re lmw all or any portion of theAD22ject , the City nevertheless agrees to Pay to the Wrporaticn all costs, loss or damages howsoever arising or oonsring payable at the scone time and in the same damages howsoever arising or oocaring payable at the same time and in the same m wvmr as provided in the Tease Agreement in the case of paym -nt of Ieaso Paywxrts. Any surplus received by the Corporation from such re-leasirg shall be the property of rye Corporatism and the City shall have no right thereto, nor &hall the City be entitled to any coedit in the event of a deficiently in the rental received by the Corporation from the viact. Tbs City, at its own mgen se, has the right to sake modifications and additions to.tte Frotoct. provided such modifications -do not damage the Project, substantially altar its nature, cause it to be used for urputharized purposes or reduce its value to a value substantially loss than thet eodating prior to such modifications or additions. All such modifications and addWa s become pert of theAicct and subject to the provisions of the Tease Agreement. n1a the Project aCity is bible for the irprmm snt, repair, and ruintan anca of replacement resulting pay or arrange for payment of tine cast of repair a� re the City, ordinary rear amt tear, or want of are, on the part mho Corporation makes no warranty, either eta c- implied, as to the value, design, condition, merchantability or fitness fcr any partiouier ph¢pone or use by the City of theAPro oct or of any other representation or warranty with respect to the,L jeer. the CL with the tea of the lease Agreement, the Corporation shall provide City quiet use and enjoyment of the PA_r Laat. boot as MIS b shall llpay, or onse to be paid, any taxes relating to ,he The Corporation and the Corporation's sumeasona or rssigre have the right at all reasonable times to have access to theme and to atsepmphs maintznance of the Proiect.in the event of failure by the City, to peYrorm its obligations. Auamant to the Assignment Agreement, the Corporation has assigned its rights (ehxept certain rights to indnmrntfication and the payment of fees and lz rs-�2 -�°rs') city �Y assign i t tc � 1r '= for the benefit of th- the set, radar certain conUtl xntained in t 1— �blmse The �4r� -art tP.ffiLiates u� (a) the the City of all lease payer y�,e payment or default by the City and the �'� the term of the Prepayment t, b . election to terminate the or its ,'ant' (b) a Imiso and ass Purer to poser of emirrnt domain or Ss) t�flGt is taken i.', whole useful for t �t ur that ri r�inb§ Por taken �Y Ln such ally terminated pursuant eminent domain intended, the lease A9reowntt is Trus�ft is appointed Mle Trustee to pree�ta 010CUte and deliver t 12rrst avthorizes Certificates are to be recorded in a register �ndby the �tfera at tha The creates 2tw^teo foror tny�•4. ^ t C5=pCrati n, the he Cjty�' and t maims maintained by the Cettiflm e� be depaaitni �� of the Frr" !9 of tbo sale O! tine Acquisition Fund 'ill be Acquisition Flud. by tile Trust,* they � completion off acquis�itlm of tha project, ition of Acquisition Ftad transferred to tha wM in of as cm it e e enta nt Ieax I9Ymenta di.e � � t F1ari a ba ad the win not ma� under the heading n� termination the�ley e`AgAgre® any flather di ti . 22't - 'termination " _itm the A�u:stlon the Tnistae Agreement, the time in the AnTs1s1 on flail Fund and all to the Lea�- PaYmeft Fund, to to cred1ted under the heading to be �aW � "� on the M&.ifi �� cribe motion. ^ des¢ii>ed heceir Fird asry � interest the Certificates deposit in t loan Fyyrnt Certificates, all to se 1, 1988 to tho date of d'aYmento received from the City, 17 ' S 11 iT z 1 proceeds of any insurance or oadaunation award and any other amounts required by the Lease Agreement or the Trust Agreement ::n the event that on arf Interest Payment Date there is not on deposit ! in the Lewis Payment flail an amount F%gal to the Lease Paynrznt o O option payable on mxh Interest payment Data then the Trustee shall imsadlataly transfer from } the Reserve flan to the Laaoa Payment Hard an amamnt necessary to inmceaes the balance of the Lase Payment FUrd to an amount equal to such lease Payment 'r cbllgaticvn:n. Pnaerve fluid -'Tile Reserve Flail will be initially funded from the Proceeds of the Certificates in an a>uwnt equal to the Reserve Requ r ement %Rich shill]. beAletablisMd If on any Interast hand in Lease lmymant Raid do not ecgu'1 the Ieme Payer required to be deposi':ed with the Trustee on Snell Interest Eaymant Date, the Trvatee stall immediately transfer mmneys from the Pmeerve rued to the Loeea Payment Flat{ to make up such def.aienny. Upon recaipt of any delinquent Lease Payments the Reserve Fund shalt be rvpleniahod. At airy• time that the combined balance in the Reserve Fund and Lease Payment flail equal all Lease Payments rvzoiniry under the Paris Agro®ent, the Trustee will transfer all amounts in tdx Reserve Flail to the Lease payment flail to be applied to to payment of the We" Payments to they bccvtiaes due and payable, Ord the City st all be deemed to have paid ell Pea=ce Payments due under the Agreement. Inoura nra and Wdeisnatim Plaid - In the stmt UA Trustee raceiwns Net Procmis of an insurance award in cxm>ecticn with damage or destrcnticl of the Proiect, such Nat Proceeds will be deposited in the DvA=nom and omideolatiel Flail and will to applied by the Trustee as described beraln under the heading "dEM AGREEMEW — Insurance." DaLivery data Rid - A portion of the proceeds from the sale of the Certificates will be deposited with the Trustee in a Dslive`y Costs flail and shall be applied to pay costs of t i on. dslive:v and sale of the Certifia:as upon the mama} of a s approved by the Cmrpirat� o authorized representative. Any fads recainlnq in this fad after all suds cyst 'eve been Paid will be tcaesfertad to the Acquisition flund (or to the Lease Payment Flail, if the Acquisition Fluid has been closed, and applied as a credit against succeeding Leese Payments as they bectmo dun). A i• ndrzp Fluid; Rebate Feed - Trio City will bs subject to a rebate of Duress Imestmmt Earnlrgs such that all interest inure aocdng on amounts in the fluids established ceder the Trust Agreement shall be deposited in the E =lirn)s flsd, -n>d, artnally, the e>,res will be trrnsforrod to the Rebate F1md for P rPOsL3 of ultimate rebate to the United States. Any amouit •hide is not male•- uduch is thin renainirg in the Farnirgs Flail shalt bo transferred to the Acquisition Flail, or if suds fund has been closed, to the Lease Payment Fled. 14 17-6 Prior to the acgilaiticn of the Project, all interest income ac=11 ng to the lease Payment Flare stall be transferred to the Acquisition Find and, thereafter, Nall be retained in the base Payment r%vd and s!�a all be applied as a credit against the nroct suovooding lease Payment due. Drt� Income on the other accounts will be retained in the acovant in V%ich it is earned and stall be applied for the Purpose for uddch each aaaumt uas established. T ZMM2 OP-1120= The Trustee is requdro4 to invest and minvest all mnrys held in the accounts established under the Trust Agreement upon instrUCtiorw f2on a representative of the city, heat only in investments of the nature described bald: (a) direct chdlg•:tionm of (including obligations issued or held in book entry farm on tthe b Hof the department of the Treasury of Ua United pritrlpal of and intatsst on 'Adeh are ua=aditicnally guaranteed by the thited States of America; (b) debentures of the Foduml Wusing Administration; (c) obligations of Um following agencies cddch am trot guert-7tsed by tbo United Sates of America; (i) participation certificates or debt obligations of the Federal Haw Iran Mortgage •norporatim7 (ii) omaolidated systew - wide bvris and nctes of the Farm Credit Banks Cocmistuq of Federal land Siam, Federal Inteumediato Credit Banks and Banks for Cooperatives); ('-ii) ooumlidatad debt obligations or letter of credit - backed issues of tin Federal U74e loan Banks; (ivi mortgag&•backel uecu iti: a (excluding stripped ma tgeAP seat<3ties which are valued greater than par on the portion of unpaid principal) or debt obligations of the Federal National cbrtj" Association; or (v) letter of credit - backed tsars or debt obligations of the c"w..t Iran Marketing Assrsdticn; (d) Federal funds, Cvnsemrod certificates of deposit, time deposits and bankers awe *2W'o8s (having rturities of not mere than 365 days) of banks the short -term obligations of ud ich are rated in one of the three hig -r -- rating categories by Fbody's Investors Serioe ("Moody's "h; (e) deposits vhieh are tally insured by the Federal ¢.•posit Inssan» Corporation ("FDIC') or the Federal Savings and Iran irmsanoo Corperation ("FSLIC"); (L) debt obligations (excluding s`asitia that do not have a fixed Paz valuer or /or Ubo a terms do not promise a fixed collar a=mt at maturity or call date) rated in o of the thrw highest long term rating categories by r4 -.dY' a.0 'g) oomaercial Psaper (having original maturities of not more than 765 days) rated in me of the than highest rating categories by MOxy,N 15 1 �15� + (h) investment in money market funds cemPrised solely Of obligations Bads rated in ari of the three hir#nest Forting cato9°ri s b b7 Meody's and are rated in ore of the those highest rating categories (i) repucd%ase agreement with (i) any iiv{titution with long -term debt rated in ono of the threo highest rating categories by Moody' %l (Si) with any corporation or other entity that falls ,miler the jurisdiction of the Federal Mnwsuptcy Gods, subject to orstainAre9uins:rnts set forth in the Trust Agreement; crirh financial institutims insured by the FDIC or FSTSC or y��ealer with "retail cu„rtcMers" wkdch fails under the jurisdiction ofthe SeCuritres Investors probection Dorf- ( "SIPC"), subject to Ce ain 60oairments set forth in the Trust Agreement. CertificA= 7Te =,-too is &recta: by the Tnist We=mlt, upon written reouest of the Corporation, to PreParo, owcute and deliver to the original purr sPr thereof, the Certificate in their aggtegata W rr- Pal amount' ,,,,, glans[ Agreement contains prooe&mms with respect to exchange-- and transfers of the Certificates, f Certificate which are 'latIlated,,ll��, Certificates, for 1 deatrcyed or stolen, for evidence of signatures of ttx�rersrnrtirica' 8 of and Of cwrAm--hi P Certificates and for procot.._ The Trustoo is appointed as Paying agumt for the Certificates. Principal of the certificate is payable at the principal office of the TM is in San Francisco, Payable by chorJC or�draft of the TLw�'tee milod °e owns' of reeosdds the payment date therefor, at the adn.--rss shown on the Certificate register required to be maintained by the Tmesrw- t, it Hon of Ahi= The Trust Agreement contains certain prv.isiOm limiting the liability of the pa tics thereto, including the following Frmvisiois: (a) neither the Corporation nor the Crty shall have any obligation or liability to the NTM-s with respect to the performance by the Trustm of duties imposed ,,pen it by the Trust Agreement; (b) except for the payment of lea-`e Payme ,t- when due in a000r iaanoa with the Lease Agreement and the perfcrsenoe of the other covenants and agreements of the City contained in the rwoaETfe Agreement and the 11tist pgroment, the City shall have no PermmiarY obligation or liability to the to thR Trust respect with Corporation or to the Owners of he Dar or at0s of tlficates, °r Agreement or the terms, emCuti of, 16 I / b the distribution OP Lease payment to the Onus by the T- %stoa, w=qt as . wquvsaly set forth in the Trust Agreement; and give eny Fersan(0) nothing the ci the t or in tna Certificates shall of the y Persocrtes city, Corporation, the TrustaO aM the Owner sty right, remedy or claim Cedar or in respect to tha gust Agreement or any oovunnt, condition or provision thaxmf. h;o Omer of any Certificate Osmtod and d- 04vernd under the gust Agr`=n a shall have the right to institute any suit, action Or PrOmodlrg at law or in eque iv for ere remedy tnarexader, unless (a) such Owner shall have default ul given to the Ttnnstee KSttrn notice of the O=Urrenoe of an event cP default ruder t'no Lease AgreeOent; (b) the Owners of at least twenty -riw iag�ttte principal amamt of all the Certificates then outstanding xshall &ve Md ion, stet rroogAlst of the gustee to exercise its yc r or to institute such prcxoeediig in its own nxame7 (c) said Owrnexs ahali have tederad tto o the be ion m le qty against the costs, �e-As and liabilities refused or Omitted with aucx request; and (d) the Trustee shall have after such Kitten �xY with such request for a period of sixty (60) days by, indemnity shall have been monde tote have b� received .A gh f said teder of CAtifirata to rseeivo payment of said ,• :c rlghc of any Owner of cry Lease m payments as the same ;ace due, or to institute suit fcr interest in the � of such Payment, shall not be Impaired Or affected without the cronrsent of such Owner. HL%MllaaOWA tI*A _Upon the Ocasrnnoe of an event of default under the lease Agreement, waderunxder such Lease ice of the Cbrpuratiux, shall oeerrise rho r�sdim provided conb-ict or law. t and any Other rtra:3las which the Trustee ray Mile by arty of the Owners, )* an�dod at any time without the oar>aernt of clarify any matters not i ;xw[nistant with the Trust or defective isim or to adversely affect tha interests Of the Owners of the Crr•imtee.Ms Ms Trust Agreement may Ottwswiro be amended by written consent of the ownats of at least fLftY-OnG imp percent in aggregate Ptirclpe' &aunt of csrtificatm, and no amenuiaent Lease PwI;xnt without ut W. or owner herr consent. his or har 8aetiasl shun of ary Mle inters; doe with t terminates and becomes void when principal and for payment Uwsmf� barn aside Certificates has been paid in Pull or provision an amount sufficient (together with the intertestit of cash or Federal ,wsaxritiea in Principal and interest. thereon) to Pay said 17 I � i r ASSIC2d437T ACgM94Q7f 'tie to11 m e brl f cutline of =tain utuv'si= cW=i0MLkLtb9 -- � floe darootatim and r.e ehm fe ,Ya Ss i ,.d a Yl a sna.Y eta A m k+;n _ asce 1I_M2k n hg avaicnment Atrra.t t Lou oals art tit,`of �+ies of sold sir t upon avert able fret _tt,". rea.v.nt th— refer. See "A rrinn l�Qi15" herein. The Assignment Agreement in made and entaxed into by and between the Corporation and the Trusroe. Under the termer of the Assignment Agreement, the ACbrporatran agrees to rally assign and transfer to the Trost el Cc- the benefit of tha owners, all of its right, title and interest- in the brae Agreement, including its right to receive Iea..e Payments from the cM. y Hader the Iease Agreement: its right to receive the proceeds of ingmUmmce or of an eminent detain award on the iPrxrlett , in the Event of default by thb AZty under the Ieasa Agreement iti sr3 t tt t0 enforce payment of such base Payments when die, or allwxwiw protect its interests and enforce its rights, with limited exceptions, under the Team Agreement in the event Of default by theASLty. inn Corporation in a nonprofit, public benefit mrporatim organized and existing order and by viraan of the tiara Profit Public Benefit Corporation Ian of the SrAta Of Chlifornia. The ORpOTatiOn was established for charitable Purposes includin�g rendering financial assistance to the City by fines c!rg, aoT irirrg, emst n=tirg, imprwirg and leasing public iaprwaDents for. the benefit of residents of the City and the surreutdlmg area. CM7Y FINAFCIAI. nalon9=ON Sue City oovenanty to budget and appropriate each fiscal period sufficient muds to pay all lease Payments due under the lease Agreement. See 'Z= CiFQTF OUM — Source Of Payment For The Certificates" herein. aha fiscal period of the City begins an the first day of July of each Year and ends on the thirtieth day of June of the following year. It such date as the City Manager or other authorized administrator (the "Ewnxtive ") determines, oath departmnt head must furnish to the Ma=Itive an estimate Of rwem>es and eveiditures for such department for the enahing fiscal p=iod, dstailed in such manner as may be prescribed by the Emmitive. In preparing the proposed budget, the DOCUtive reviews the estimates, holds conferemm thereon with the respective department heads, and revises the estimates as he deems advisable. is I rZ Approximately thirty days prior to the beginning of each fiscal period, the Dmcutiva sulmits to the City 0a=-Cil 90 (heceina.'tes, the "Governing �Y ") proposed _ o rd � te t for the holding of a p•ulic herin] thereon and � be published a notice thereof ry�_ less than tern days prior W the hearing date. Copies of the posed budget are available for inspection by the public in the office of the I Clark cw other authorized administrator at least ten days prior to the :, mring. At the conclusion of and any srevinian Governing t it deers further advisable the proposed budget ba• July 1, it adopts the budget with advisable. For each fiscal period iimhing revisions, it any, by the affirmative vote of at least a majority of its members- From the several &Avmt3 stated as tad � be msrereapp date of the to eseveral departm s, offices and agoxcies for the objects and purposes named, provided that the Darntive my another transfar the app epriatlma oAflla app ri.tticne lapse cat the end t t�M fiscal within the same department• been period to the extent that eW have not expended, namlxled or ==led forward by action of the Governing Body.d, lawiUlly MA Governing Body of the City ugaoys, at. the beginning of each fiscal period, an independent certified public accountant hdho, at such time or times as specified by the Governing Body at least once during a fiscal Period, and at such other times as he droll determine, examines the auditing canbined financial statements Of the City in aociardanne with gen ju ly a7xpteL' tests of the a000hmting records and each other auditing prooedhsu as such aoo untam considers necessary. As mom as praoticahla after d» end of the fiscal period, a final audit and report is s•9aaitted by -Rich accountant to the Governing Body and a copy of the financial et•.tmOnts as oL the close of the fiscal period is thereafter available. !a *he. Assesses Vat anion any 1`LY N11ect1aro Prior to fiscal year 1981 -1982 County Assessors generally assessed all prctmtias at 25 percent of Rill cash value (market value). 'axe state Bond of FquaLUzatim assessed Public utility Properties at 25 percent of full cash value. oon since fiscal year 1981 -82, all property has b ""°sed using Rill cash value. ,he constitution of the State of California (the "state ") and various statutes provide exeaptiens frta ad valorem prgxercy taxation for certain classes of property such as duzChes, colleges, nonprofit hospitals, and charitable institutions State law allows cocsptic s from ad valorem Property taxation of $7,000 of full owner - occupied dwellings. The State, bohwever, reiz;Lur•es all local taxing authorities for the loss of revenues laputed to these emnptims. In addition, although business inventories were removed from the tax rolls beginning 19 1 �3 t•' v with fiscal year 1980 -81, State replacement revenues are providod on a calculated base to relmbu.�sm local taxing agencies for this reduction of taxable properties. Final wa^mwi values are available on or about AlTust 15 Of each fiscal year. Secured Fap¢•ly Tams State and minty taxes are due cod become delinquent each year !n all _1-1unties of the Sate as follows: First installment due roves 1st. Delinquent after December 10th. Second installment due FCbXjar1, lst, Delinquent after April 10th. The entire tax may be paid at the time the first tnetaliment is due. Begitmiml with the 1984 -85 tax year, a penalty of ten percent: (10%) was added to the first Installment if no'.: paid on Or before Doo®ber loth, and tan percent to the saeond installment if not paid m or before April loth, together with tan dollars of costs also added for ea&j described pascal. At the end of th-• first veer of dalirgmary, property is sold to the States. In ralemin3 psop=ty for delinquent taxes, penalties are added at the rate of 1.5 percent per month, with $15.00 redemption fee on each sapamtely valued pastel sold to the State. If not sedeemod at the and of five years from July let of the year first becoming delingwnt, the property will be deeded to the State of California, and may thereafter be sold at pubiie auction. Delinquent taxes ?my be paid in installments by Payil 20 portent yearly iner a ants of the amount to redeem;' subsequent payments draw interwt an the ur xid balance at the rata of 1/2 Percent per month from the date of previous payment on property which Gent one year delinquent prier to June 15, 1384; a rate of one percent per month on property Ghich went one year ,sea i quent f m Jame 15, 1974 through Jhme 14, 1982; and a rate of 1.5 portent per month on property which want one year delinquent on or after Jams 15, 7982. Deeded property may not be plej=0d on the installment plan, however, it can still bs redeemed in fuli u til sold at public auction. Property deeded to the state for delimuent tax may be purdm d at public auction by individuals. qty TLx collectois shall auction such property within too years after such prapocty has been dooded to the state. m'soaaod FrWerty Taxes Taxes on property asses: i on the unsecured roll as unseaaod property (separate from real estate) are billed as soon as assessed. Taws on the roll as of July 31st, if unpaid, become delbxfJent on Aurjust 31st. Taws added to the roll after July 31st, If unpaid, become delinquent the last day of the mmtl- following the month in which they were added. A 10 Percent penalty attad.- cc the taws .then they become delixluennt and if Unp3J4 at the end of the second 20 h" aw ml /m 1• moon, a 1.5 pemnt penalty its added on the firot day of each month tnhtil paid or until a cohrt juipnsnt is entered. 0on"Ntuticnal A %kents Affecting City Rw=uw Car' min provisions of Article X= to the ohLifornia Ctmstitutlm (a) limit ad. valorem preparty taxes on all real property to one percent of the full cash value of the prtpnty; (b) eaen)t certain classua of voter -approved boded Sndebtahrmas from the 1 percent limitation; (c) define "fill cash value" as lh9 Asssssor's " -PP^istd Value of r►s1 property as of March 1, 1975, adjusted by d M17- m in the Omar price itdex mt to exceed two percent per year; (d) permit establishment of a raw "full cash value" when there is new ernsb=tion at a dwx;e in ownership; (e) pamit the reaase3summ, up to the March; 1, 1975, value, of prt?harty which was not orazsht on the 1975 -76 a .ssmont roll; (f) requite co n'1as to collect the on percent property tax and to "apportion acc=ding to law to the districts within the aunties "; (g) prohibit rue ad valcren taxes on rsa property, or sale taxes, a_ transaction taxes, on the sale Of real PrcrA xty; rh) permit the irpositial of special tams by local agencies, other than those prohibited, by a two- thirds (2 /1) vote of the "qualified electors" of much agencies; and (i) require a two-thirds (2/1) vote of all meatars of both house; of the Legislature for a-7 danges in State taxis which would result in increased reveuee. An initiative constitutional amendment entitled "Limitation o: Gwe=rsm;t Appropriations" was approved by Califo=WA vote= on lioverber 6, 1976. Under the amendment, which adds Article )® to the California Chnstitutim, state and local goverrment agencies are subject to an aural "apprupriatials te limit," and a prohibited ft=- spending "appropriation subject to limitation" above that limit. "Appropriations subject to limitat ion" oomist of tax reveraae, state =bventilcrn, and certain other funds. The ama;xment doss not affect the appropriation of many excluded from the dafinitim of "appropriations subject to limitation," such as debt service on irdebtedness existing or authorized by January 1, 1979, or subsequently authorized by the voters and appropriation mandated by the court. The wwrAwnt also excludes fma limitation the appropriation of proceeds Urea regulatory licenses, veer cargos, or other fees to the extent that such prooseds equal "the costs reasonably born, by Ouch entity in providing the regulation, product, or aerviee." In general terns, the amerdornt provides that the appropria-ions limit will be based on certain 1918 -79 expwxditunn and will bo adjvstad annually to reflect lo=ges in cost of 1Rinq, population, and tarhsfor of financial responsibility of prwidinp services from one governmental unit to anther. Mw amenloOnt also provides that if an agency's revenues in any year exoeod the amount � appropriated such agency in eoopli,nce with the initiative, suet be returned during the next two fiscal years by revising tax rates or fee schedules. The City believes it is presently fulfilling all obligatacru under Article ;¢LIB of the Wifotnia axstitutirn. 21 I L cT J 1XIM CITY A the City of Rancho Q=L=ga enccup& -ze:r 32 square miles and is located in San Bemardino Ovumnty. The City is a general law city ircporatcd Novsmbsr 30, 1977. the City cparetes ender" a Muncil- manger form of goverment. ya five CaIncil Membera are elected at large for staggered fcue -year terms. 12a Mayor serves a two-year tam of oftlos. The City Manger is appointed by the om=41 and sarves at the Cay�cil's ple&s ms as the administrative head of the City. one City Mannar is respcnsible for appointmmt of all City asployees except the City Attorney, who is alao appointed directly by the Caancil. PUbtic safety functions are perfo: mod under conl=zt by the County of • San Bernardino Sheriff's Department. 'da Sheriff's stibstatim In Rancho O=Mwngr employs appsaxlmataly 80 full-time employeeo. Fire and rescue sarvices are prwidsd by Foothill Firs ProtO tion District, utd is a Special District of the the C mtylt�i Cdr hardens a She Watdct maintnlns thm fire stations within City pproximstely, 58 Lyra fightgee, officers and staff. The City's workforce is oorpriscd of apprmdrntely 276 employees, 225 ^••l -tlma and 51 part -tim,. � t,LM below. Fbpulaticr statistics for the City of Rancho Qncamaga are set forth 1984 1985 1986 1987 13.88 _ 61,707 65,500 73,800 80,400 94,614 Souroe: State Department of Finance 22 I L ( Source: ch1L•atirla 1lployment Oevelgmis Oq'�ar'�ent. lion 7�•tivit� 1193 follo.•inq table pro a _ �in5 �v °�� d"al"nq " ita "'Oriz� in UM City f Ran=t= cuee='Ja prior to 1988. Ctiiaati7arp 23 I / -1 F�rlm3�snt �� 7:e following table aeexariyes labor figures Years for sari of force, ewlainent and Onegp2% rrt i 8ffiate Chili oIInia and 'a� the United States. tfatcnpolitan Jtrm, the civilian 1359 11S1fl0M=. Ibmoiovmnt � R.. San Bernardino qty. ]72,400 Ca11f°rnla . United states • • . • 12.519,000 343,900 11, fE36, 000 28 500 , 981,000 7 i 113,544,000 105,005,000 8,539,000 7.6 7.5 156.@ San BernsrdLno . 44'1,800 California . . . . . . [Aiitai Stakes 12,937,000 417,100 12 006,000 30,7C0 931,000 6.9 • • • • . 115,461,000 107,1.10,000 8,312,000 7.2 7.2 12$5 San Bernardino qty. . California 477,200 450,200 United Skates . . . • ��, ]65, OOQ 17,834,000 12,.73,000 27 OCO 892,000 6.7; 109,597,000 6,237,000 7.0 Source: ch1L•atirla 1lployment Oevelgmis Oq'�ar'�ent. lion 7�•tivit� 1193 follo.•inq table pro a _ �in5 �v °�� d"al"nq " ita "'Oriz� in UM City f Ran=t= cuee='Ja prior to 1988. Ctiiaati7arp 23 I / -1 I• yyKS ` any of PAN= anmxrA NJILa NC. YERIIT VALI11120NS it 1983 -1987 (table in 000'x) 1983 1287 1985 1986 — 1987 Valuation Resident(el . . . . $49,128 $140,228 $142,472 $285,649 $201,284 Nonresidential .. 82.203 48.867 65.105 65.805 109.674 ^total New 0.ellin7 Obits Single Family • • ' 690 1,308 1,726 2,526 1,961 Family HAtiple -15 870 622 .1..735 787 4ata1 ..... z.17a 2.�4s z.7aa Sauce: City of Rancho rueamorga T AM of Nam bar 1988, the fO Uaving table lints the major e�plcyr r.s within the of Cxamenga and their approximate saber of employees. Approximate Umber of Mover :�lc�cm General rynalio Over 5,000 Ara•cn Steal i Wire 251 -500 kYitc -Lay 251-500 VV= 251 -500 West Coast L.ighidators 2551 -500 C. = Cal.. ec --1L%; 101-250 Avery Zntetratianal 101 -250 lacndike Pacific 101 -250 ltilmi of America 101 -250 Schlosser Forge 101 -250 Data Design Laboratories 101 -250 Sauce: City of Parxho OA= ga. 24 �J Q�lal Lctivi 2e table below bza®eribaB taxable sales for the City of Rancho Coa®tncp for the years 1983 -1986. cny OP Pmam axam .-h TVMBM PPMM SUM DATA FOR 1983 -1986 " 1993 190L 1985 7986 } No. Of Permit3 1,23n 1,339 1,490 1,589 1btal Taxable Trarm- �' actions (in 0001x) $189,350 $216,695 $253,213 $296,097 Source: State Board of F17ualizatim. Asse. vi Valuations. Tax Levies aM Collects The follwim table st_ =ri =as the assessed property valuatJmm, tax levies aid collections of the City of Rarcho ommw ja for the last three years. CQY CF PAWJO CCx2.40WA FWPEMY M rZMS AND COIIF7cf1CNS PLSC.£, YEPM 1985 -86 AND 1986 -87 (1) Assessed Socvred Amt. Del. % Del. valuation ww, ag ZM 30 1985 -66 $2,157,431,523 $27,672,018.04 $1,182,814.66 4.27% 1986 -87 . . . . . . 2,358,414,712 32,411,434.09 1,136,475.47 3.51 (1) Aft. -- dnductir3 tax +ell!+?+ *tm ImTr pnte t+rx mllwrtwi for all taxing entities within the City. Source: California t9allcipaL Statistics 25 1 (�O 9 " 71,l . ..1 � ad1rq Band balances for the CS of ranch olmzr tranrfen, aMIA nd fouwilg table sumarizeo General Rml re�enm,,w - yeas 1984 -85 through 1986.87. or fiscal `. CITY OF RMOD aXAt Wca SUMMARY OF QNT'A7 GNMM3ff IMMM1E AND fl('IFND *_lam YEARS ENra U IWE 30 r, &fY5C6ISii 1-- 8�d /8„Z ._1985/8 198,; III' 1987190 7 Taxes $ 4,670,738 ISars" and Permits 3,328 751 5 5,238,129 468245 $ 7 590,000 [To Qnu) 3,388,000 Fine and Forfeits 9,162 14,284 23,000 Use of Money and Prop. 832,835 525,270 297,000 1,590,020 0 196,085 1,768,682 236,173 14,000 2,312,000 18.095 25 ?4557 _ j Total PAmw lw 510.645.696 S17 724.348 513.63p -Opp F�i3S44 General Government $ 2,257,929 Public Safety 3,617,999 $ 3,517,791 4,140,150 $ 2,495 000 4,311,000 ' CtMmity Development 3,484,890 Ooammity Services 363.474 3,443,872 5,777,000 ye ,O,g71 666.000 Total Bverditznms $.-2.524.29 $,1.582.7]4 $13.249.000 E.ars of Revenues Over (Under) Egentitt $-1,121,404 $ 1.141.614 $ 383.000 D �t.'ng Mn=fQ= In $ 398,911 $ (362,290) $ 721,000 Capital P,.see Total Other Financing Sources $ -- -�i Excess of Revers Over $_i246�,$Q5l $--U1.000 (UM: r) M,p b, and Other Flew $1.120.315 $ 933.329 - $-1.104. Scurms: City of lack O.Xmmonga Financial Statements. 26 1 9 U � �iK •. It ��li�.- _ __ r1T11.1!+e u,yi is shown �idirec''t and overlapping bordod debt of the City as of May 1, 1988, MY OF RVxw CUCxCNGA 102E Elmf OF DIROCI AND ovauPPDNO DEBT AS OF MAY 1, 1988 DIRD= AIM OVERT alp=, 22MMA=: A-u2lL=.a i 2tr' iCm Satz Bernardino CO Stparintesdent San Bp� Cc of Stools xj Authorities 7.552% S 371,180 Stn Bernardino Co � Authority 7.552 11,533,036 Metrrpolltan Water District 10.477 0.510 67,,•6 ChL to Basin Mnicip2l Water District 2,706,6 011M Banin District 19.SOI 1,222,712 Oent.'icrt�r partied Chhaffey Job Dniat litgh Ssdool District 19.501 5,187,079 OartL'leatcs of Participation Alta Lcma School Dis,siet 37.331 4,545,049 Central Sd=l District 99.401 3,757,357 clraaahga School District 98.592 21.807 2 208 460 ititnrda School District Cops 209,347 EtiWmda Sdhcel District them Fxilities 86.685 2,609,218 Dist /1 Other School my Dis rips 100.000 various 3,:35,000 ga Water Water DSscrict 41,407 CIL=z0 County CDC21rpn[ja �Y Water District, 88.749 1,059,663 CucaroMa Ccunty Water District, I.D. #2 I.D. M63 -1 94.021 568,827 rV=ty Water Distrltt, I.D. 15 000 194.646 City of Rancho nramonga Certificates 5,825,4061 of Participation CitY of Rancho C=m=m 3a Rem Facilities SOO.On,3 9.500,000 Dist 84 -1 Ci*Y of Rancho CLXsmcnga 1959 Act Bans 100.000 13 000 OCJ 100.000 15,Ygq,y. MML O:i1SS DIRECT AND WEAIAPP= BUM ED DEBT 1—: City of San Bama dino Water $98,602,]17 system Acquisition Certificates of Participation (1001 self- st4vortinl) 724,236 rA==atga CtxmtY Water District, Z.D. t1 (100% self- anpportin3) EO.000 TarAL NEr DIED= AND OVFRIApp= BONDED DEBT $87,818,081 c7 -7 I Ratios to Ar.+cfee,d Valuatim �i 717!31 Gram D" •7.28% 'R7te1 Mat 3.2:,% � e 2m OF ]1C>R±!+SZID MU CR?�T�+_HQ7LIi: 'e t• MetxoFolltan Hats District . . . . . . $1,354,750 Alta T. Sd=l DiatriCM . . . . . . . $7,549,506 ; ox=m:mA School District . . . . . . . $ 348,075 MU cn[ L =D= AM FdPAYA= AS OR 6I!0M: $12,117,411 .< Sauce: cinfomta Hmicipal Statistics, Inc. 28 ' 12— Moody's lmtstora Service has given the Oertifimtes the rating of Tho rating reflects only the view of ouch organization and an explanation cf the significance of such rating may b+ obtained fret it at the following address: 99 Church Street, New York., New York 10CJ7. There is no a:suratrs that the rating will continue for any given period of ties or that it trill not be revised downward or withdrawn entirely by Nncdy's if, in the judgment of such rating agency, cira=steurns so warrant. Any atth downward revision or withdrawal of such rating my have an adverse effect on the market price of the Certificates. TAX F3Jlf'1'1CH In the opinion of JaV% Nall Hill & Whits. A Professional rev CUeporat:ioh, Sate Ftaneisco, Califon ia, Special Counsel, mat, haxl ar, to the q nl!fi=*icm set forth below, under existing law, tha portion of thu Tease Paynents designated as and comprising inrurst and rooalved by the 2Mers of the Certificates is excltzMd from gross ir=me for federal Inxa>ne tax phtpmses(y]w is not an item of tax preference for purposes of the federal alterative mininm tax igx!sed on individuals and corporations, provided, however, that for the purpose of cccputirg the alternative miniam tax Imposed on such corporations (as defined for federal in =me tax rupoeae9) , srh interest is taken into account in detarmining adjusted net book income (adjusted current earnings for taxable years �'`'7 MnCTing after Decemtxir 31, 1989)^ The opiniuw set forth in the rreoeding paragraph are subject to the condition that the City omplies with all requirements of the Lrtemal Revenue Cad- of 1986 (the "rode ") that asst be satisfied subsequent to the delivery of the Lease Agreement in order that such interest be, or c ntlim to be, exclu 'x ed from gross incme for federal inraue tax purposes. The city has covenanted to comply with each such requirement. Failure to comply with certain of sash regulrments may cause the inclusion of such interest in gross Iuhetxee far federal irx=o tax purpcun to be retroactive to the date of delivery of the T. e Agreement. Soscial Counsel expresses no opinion regarding other federal tax consequences arising with pct to the Lease Agreement and the Certificates. Prospective purchasers of tha Certificates should be aware that (i) section 265 of the Code denies a deduction for interest on indertodnees incurred or continued to purchase or zany the CortificaVS or, in the case of a financial institution, that portion of the oalered interest mpenso allocated to interest payable with respect to the Certificates. Li)) ..((with respect to insurance coapanies subject to the tax irpcsed by section 831 of the rode, section 832 (b) (5) (8) (i) reduces the dodoction for loss reserves by is percent of the sum of certain items, including Interest payable with respect to the Certificatea, (111) for taxable years beginnitg before January 1, 1992, interest payable with respect to the Certificates eared by some eorporatias could be subject to the environmental tax inpoced by section 59A of the (ode, JLvJ interest payable with rc%xtct th the Certificates earned by certain foreign mrposatiens doing buslrass in the United States ooulA be subject to a branch profits tax isposrity section 884 of the Code, ti pasa.ve invent Incma, including interest payable with 29 ±: resPer: to the cartifuaton ray be subject to federal incase taxatim fader section 1375 of the Code far &Axh pier S Corporations that have Dubchaptar C csardrgs and profits at the close of the taxable year if greater than 25% of the gross waaipts of such ems•+ - S corporation is prssivs investmnt inane and (vi) Section 86 of the Code requires recipients of certain Social Security and `'amain Railroad ioatin benefits to take into n000ant, in deteainirq the taxability of ®rh benefits, recipients or accruals of interest payable with respect to the Ce2t4.ficatets. In the Pu`J,ar cpinim of f;prc Couansal, interest payable with repeet to ton cartificytm is except from California perrscral inrnma taxes. CTHIAM 12= MAT= Jones 1x11 P111 A Rite, A Profewicnal Iaw corporation, Spacial craaal, will render 7l c?Wm with rw%mct to the validity and enforceability of the facie Agreement and the 'rust AgmAvent and as to the validity of the Oartificates. Copies of such aPprwLg Opinion will be available at the time of u+elivery of the Certificates. Certain legal ratters will be paswd'goon for the Cnhitnriter by drhaltar, Nemar, Pie1d: G Younger, A P:ofessimal corporationn and for the City by mrkman 6 Arcryrrki. *>032IIu Tina aaditsd financial etatMt -ft of the City as of and for the yee,r ends! June 30, 1987, incl dal in AppefduC B to rids official Stabwe nt have been their repot Tana, Solt. t iralghard, Oeltiffm P„l.11,. Accountants, as atatcd in with xespen -t thereto. Such flrancial staterintl have ben included hdrein in relSema u;on tha report of Terns, Soli G Aagtnard which report also aF3'oazs in Appendix B. Said finerncial Cthtearatts tag. pr sntul upon the authority of said firm as experts in aezz»y>;n and ardl ABSEN E OF Ir7(P=a*Y There is no action, suit or ProceedinT keno, to be peTdbw,, cr threats 3d, restraining or enjob ii g the exacuttoa or daliway of the Certifirmtos, the Tessa Agreeoent or the Trust kmea ant, or in any ray contesting ng or affecting fl the validity of the fox ecpI g cr Cory prveesdlrgs of ter respect to any of the foregoing. +.. AVAIIAB1I1Ty OF OOQr427L5 dies of the Im Agrement, the Trust Agreement Ad—the Asrira &nt hammwit are available rgbn request from the CS�C2 —Qrk CS of AarrTa Cuav�aroe, 9320 Basalirn Rod Suite C kWjCho cnesrazp, Cali'otr, 91730, (714) 98. 1851. =-R-V• TM Owtificate:3 are being T d M iter") . +roar t oha'� �' sane s yours trim price of $3 0 0 !in coated is to P� the c:ertiricatas a, a the Oertitlatas it l idf_w that the [Tndtitvriter lx ha all or ootlw sutloct to certainYte= and a2hddtion ssat rim 4e r� S=M,, being eFPr�al c[ certain logal hmttem by cronan.el erd Main oth r cmaitl the 01'7 l i etas say be offered and sold to certain deale.-s and others at ofPdces la"It than the , offering prise, stated on the owe-- P191 hereof. 'The changed froc time to tics. Werenom are "a herein to oartain d0mmentb and rePOrts aremo is msd to fivcchh do art W P effort to be data ti t sand cuQleta statemIts of the curtmta thereof. in their O*Amty for full and ky '�t7ir not gents in this Official statement irnolvdnq matters of opinion, r'nethe star not y so stated, are intended as such and not as ails OtPiclal Statement is not to be mrotived a the Cntitice betz a the City and tie Seth sera or Meats of any of authorSz 721 "oltiOn and dalivarY of this Official statement has bon u the City. an ly •VY •• ♦'Y Y B City 31 1 —I C 1 J CFO= of Final Opinion of Special muamelJ December _, 1988 City 0.xvicil City of Rmxtno o» 9720 Ba.^•eline ROad, elite C Ranudmo Qucamwip, California 91770 Re: $1 500 0 Certificates of Participation (Northeast Carasnity Park Pro act) evidencing Undivided Fractional gnterests of the Genets Thereof in feria Paymeub to be Made by the City of Rancho cicaanp as the Rental for Certain Property Pursuant to a lease Agreement with the Rancho Cuaamaga Public Improvement Corporation. Members; of the City mmscil: We have acted as special comrel in correction with the delivery by the City of RarKho mcamcrp, ca' .ifomia (the "City"), of a leaao Agreement, dated as of Corp ermter 1, he 1988, by and betmen the "Corporation") City (�tbea"iea» Agree�tl"1 Pert to tha California covernmemt ocde. The Co poratiat has, Pursuant to the Assignment Agreement, dated as of b= 1, 1988 (the "Assignment Agreement "), by and bardeen the mrpotatim and Ban.°. of America Natiasrl Trust and Savings Association, as trustee ( the - axwtae "), assigned certain of its rights under the lease Mgt, including its right to rseeivs lease Payment mode b) the City rheraarYer (the "Ieasa Payments "), to the Trustee. Pursuant to the Trust Agreement, dated as of December 1, 1988, by and aaag the Trustee, the Corporation and the City ( the wb=t Agrammt"), the Trustm has ewxarted and delivered cartifieatea of participation (the "Certificate ") evidencing undivided fractional interests of the owners thereof in the Im'se Paymeae. $te have caimined the law and such certified proceedings and other papers as we deem necessary to render this opinion. As to qulstiaa of fact material to err opinion, we have relied u;= representations of the City contained in tno hiaaa Agreement and in the certified proceedings and certifications of p.::.lie officials and attars furndshed to us, without undertaking to verity the same by bxwpademt inmvtsti9atirn. Based upon our exzmination, we are of the opinion, xnvkw wds"..irg law, as follows: 1. The City is duly created and validly existing as a manicipal corporation and general law city with the power to enter into the Le.A 0012CUF A_m / AgmemEnt and the Taut Agrean-ht and to perform the sgccesalts on its part ocntai'led ttcrain. 2, as lease Agreement has bosh duly authorized, executed and delivered by the City and is an chligation of tha City valid, binding and ennaxcoeble against the City in auxxrdanx with its tcuae. 3. The Trust Agreement mrl tho Assignment Ag eaDem are vah.id, binding and enformahle In acwrda,,m with their to 4. ahbje-t to the to and pxwlsicxa of the lease Agreement, the lnase Payments are payable from gcarral Arlo of the City lawful-`y available therefor. By virtue of the Assigmalt Agreement, the ownrs of the Certificates are entitled to receive their fractional share of the lease Payments In 3ccOrdanxbe with tha V roa and provision of the Trust Agreement. interest end recce Portion of the lease Payments designated as and uprising inters for federal ed 06-Airs of the Oertificatea is excluded from gross tax puxpmes and is not an item of t.x prmferenca for purposes of the federal alternative llhtll>zm tax iapceed on individuals and corporations; it should be noted, hpwever, that, for the repose of computing the alterative minimum tax SrR ed on corporation (as dafirnd for federal i7xccIDa tax pncpmes), such interest is tahan into account in determining adjusted hat bock income (adjusted auxmht earnings for taxable years begitahirg after Ooomber 31, 1989). axe Opinions set forth in the preoriing sw&r are subject to tba condition that the City ompalisa with all requirements of t1e Internal Revenue Code of 1986 that rust be satisfied sxbsecwnt to the delivery of the lease Agreement in cxdcc that such interest be, or oantine to be, excluded from gxcea income for federal inwa tar gaposes. as City has mvaanted to mvly with each such rcquireosxt. Failure to ccmply with certain Of such requirements may cause the inclusion of such interest in gross inxrxme for federal it me tax yx.lxsas to be xatxowtive to the date of delivery of the lease Agreement. We express no opinion regarding other federal tax araa*wces arising with res; a to the lease Agreement and tha Defecates. OS- The interest and received of the lease Paymmath designatod as and comprising e by the metiers of the Osrtifirates is exempt Low persoal irvme taxation igmsed by the State of California. The rights of the wners of the Certificates and the enforcerbil.iiy, of the lease Agree="-, the gust %;reement and the Assignment Agreaxent may be subject to bankruptcy, insolvency, reorganization, moratorium and other similar laws affecting ereciltors' rights heretofore or haxoafter enacted and may also be subject to thr exercise of judicial dlsavtim in appropriate eases. Prspxaetttxuy submitted, ia= x0111. hUS S F!ff'IL', A Professional law 0=peration 0012RrF A -2 I MARKED T )UANTES 1)108184 CERTIFICATE RCHASR A-nrn._em $].500.000 CERTIFICATES OF PARTICIPATION (Northeast Community Park Project) Evidencing Undivided Fractional Interests of the Owners Thereof in Lease Payments to Be Made by the CITY OF RANCHO CUCAMONGA, CALIFORNIA, as the Rental for Certain Property pursuant to a Lease Agreement with the Rancho Cucamonga Public improvement corporation This Certificate Purchase Agreement (the "PUrcnase Agreement ") is made and entered into this day of November, 1988, by anftettieen Stone L Youngberg, as the underwriter for the within - described issue (the "Underwriter "), -' and the City of Rancho Cucamonga, California ( "Clty"),Aard receipt hereof is acknowledged by Bank of America National Trust and Savings Association, the trustee (the "Trustee ") undar that certain Treat Agreement entered into by the city, the Rancho R:camon a Public Improvement Corporation (the •CO prat on ") and the Trustee, dated as of December 1, 988 a rusE_igreement"), pursuant to which the Certificates described above (the "Certificates ") are to be executed and delivered. Upon acceptance by the parties at or prior to 11:59 o'clock p.m., California time, on the date hereof, this Purchase Agreement shall be in full force and effect in accordance with its terms and shall be binding upon the parties hereto. 1 Upon the terms, conditions and representations set forth herein, the Underwriter hereby agrees to purchase, and theAC4,ty hereby agrees to cause to be delivered to the Underwriter, all of the $3.500.000 aggregate principal amount of the Caleificates, dated December 1, 1988 (such Certificates being unae :.11y described in the Official Statement heruinaftar described), representing the undivided fractional interests of the owners thereof in the lease payments (the "Lease Payments ") to be paid by the City pursuant to that certain Lease Agreement, dated as of December 1, 1988 (the "Lease Agreement "), by and between the City and the Corporation, at an aggregate purchase price of $ being t of the principal amount of the certiL caatespplus interest accrued thereon from December 1, 1988, to the data of the Closing referred to in Section S hereof. The Lease Payments will be assigned to the Trustee pursuant to the Assignment Agreement dated as of December 1, 1988, by and between the Corporation and the Trustee (the "Assignment 0' .7LAw 1 ((J .;` Agreement "). The Certificates shall be as authorized in, and shall be executed, delivered and secured under and pursuant to the Trust Agreement. The Certificates shall represent the principal component of the Lease Payments, which shall mature on the datea and in the amounts set forth in Exhibit A hereto, and shall also represent the intareat component of the Lease Payments, whi•ah is payable from December 1, 1988, at the rates set fcrth in Exhibit A hereto, and is to be paid o n 1929, and sebiannually thereafter on iu e 1 and December 1, through and including December 1, 199 . The Underwriter agrees to make a prblic offering of the Cortificates at the initial offering prices as set forth in the Official Statement hereinafter described, which prices may be changed from time to time ty, and in the sole discretion of, the underwriter. 2. The cityAshall deliver or cause to be delivered to the Underwriter, promptly after its acceptance hereof, an exaeutsd copy of the Official Statement relating to the ' Cortliicr.tes, substantially in the form of the Preliminary Official Statement dated November _, 1988 (the "Preliminary Official Statamant"), with only ouch changes therein as shall havo balm accepted by the Underwriter (the Official Statement resptct/ng the Certificates to be deliver&! before the Closing referred to in Section S hereof, including tta cover page and all. appendican thereto, being horein referral( to as the 1 " Official Statement," except that if the Official Statament I shall have been amended between the date Hereof and the date of Closing, the term "Official Statement' shall refer to the O:!f Lc/al Statement as so amended), and approved for distribution by respective resolutions an the city. The ACitV hereby authorizug tha use of copies of '-ho official 7tr,tement, the Trust Agreement:, the Lease Agreament aril the Assignment Agreement l.n ,:on,tecticn with the pUb'.ie offering and sale of the CartificatasAand hereby ratlfjj_sAtha prior distribution of the Preliminary official Statement by the Underwriter. The Trust Agreement and the E41,80 Agreement: shell be mtacuted and delivered substantially in the form heretofore reviewed by the Underwriter, with only such chingc,s therein as shell be mutually agreed upon by the parties thereto and the Underwriter. 1. The City hereby rapresonts and warrants to the Underwriter that: (a) The City is a municipal corporation and general law city duly organized and existing pursuant to the Constitution and laws of the State of California and has all necessary power and authority to enter into and perform its duties under the Lease Agreement, the Trust Agreement and this Purchase Agreement, and, when executed 0017LAw 2 I and delivered by the respective partiep thereto, the Lease Aggreement, the Trust Agreement and this Purchase Agreement v111 constitute legal, valid and binding obligations of the City enforceable in accordance with their respective terms; (b) The execution and delivery of this Purchase Agreement, the Lease Agreement and the Trust Agreement, and compliance with the various provisions thereof, will not conflict with, or constitute a breach of or default under, the City's duties under said documents or any mate_Sal law, administrative regulation, court decree, resolution, charter, by -laws or other agreement to which the City Is subject or by which it is bound; (c) Except as may be required under the securities or blue sky laws of any state, there is no consent, approval, authorization or other order of, filing with, or certification by, any regulatory authority having jurisdiction over the City required for the consummation by the City of the other transactions contemplated by this Purchase Agreement; (d) There in no action, suit, proceeding or investigation at law or in equity before or by any court or governmental agency or body pending or, to the best knowledge of the City, threatened, against the city, nor to the best knowledge of the City is there any basis therefor, to restrain or enjoin the collection of the Lease Payments to be made pursuant to the Lease Agreement or in any way contenting or affecting the validity of this Purchase Agreement, the Trust Agreement, the Assignment Agreement, the Certificates, or the Lease Agreement or contesting the powers of the City to enter into or perform its obligations under any of the foregoing to which it is a party; and (e) The information under the headings nEstimated rourcas and Uaes of Funds," "Description of the Projec' ^The C ty,n ^c ty P nancial Information," and "Absence of Litigation" contained in the Frelietngry official Statement was, and In the official Statement is, true and correct in all material respects and such information does not contain ray untrue or misleading statement of a material fact or omit to state any material fact necessary to make the statements therein, in the light of the circumstances under which they were made, not misleading. The City hereby agrees to cooperate with the Underwriter in endeavoring to qualify the Certificates for 0017LAW 3 offering and sale under the securities or blue sky laws of such jurisdictions of the United States as the Underwriter may requestt providrd, however, that in no event shall the city be required to take any action which would subject it to general or unlimited service of process in any jurisdiction in which it is not now so subject. 4. The obligations of the Underwriter under this Purchase Agreement are and shall be sal-ject to the receipt on or prior to the date of the Official Statement of copies of the most recant audited financial statements for the city, together with ench interim unaudited financial information as may bb reasonably requested by the Underwriter. S. At 9:00 o'clock a.m., California time, on December _, 1988, or at such other time, or on such earlier or later data upon which the parties may mutually agree (the nClosing "), the Ccrporation will deliver or cause to be delivered to the Underwriter, at the offices of Jones Hall Hill i white, A Professional Law Corporation ( "Special Counsel "), Pour Embarcadero Center, San Francisco, California 94111, or at such other place as the parties may mutually agree upon, the Certificates in datlnitive form (all of the Certificates to be lithographed with steel engraved borders?, bearing CUSIP numbers, duly executed by thn Trustee, registered in such names as the Underwriter shall provide to the Trustee not less than tiva business days prior to the closing, together with the other documents mentioned herein. All expenses in relation to the print'__:, of CUSIP numbers on said Certificates and the CUSIP Service Bureau charge for the assignment of said numbers shall be paid from proceeds of the sale of the Certificates. The Underwriter will accept such delivery and pay the purchase price thereof as net forth in Section 1 hereof by certified or official bank check or checks in immediately available funds to the order of the Trustee, in an amount equal to the purchase price. The Certificates or temporary Certificates will be made available for checking and packaging one business day prior to the Closing at an office upon which the parties may mutually agree 6. The Underwriter hereby enters into this Purchase Agreement in reliance upon the representations and warranties of the City contained heroin and in reliance upon the representations and warranties to be contained in the documents and instruments to be delivered at the Closing and upon the performance by theAcity of is obligations hereunder, both on the date hereof and as of the date of the Closing. Accordingly, the obligations of the Underwriter under this Purchase Agreement to purchase, to accept delivery of and to 0917LAw 4 1 U 1 pay for the Cert�ficatea shall be conditioned upon the performance by thej�:ity ofAits obligations to be performed horeunder and under such documents and instruments at or prior to the Closing, and shall also be subject to the following additional conditions: (a) The represontations and warranties of the City contained herein shall '.o true, co -pleto and correct on the data of the Closing, as if male on and at the closing) (b) At the Clueing, the Trust kgreement, the Assignment Agreement, the Lease Agreement and the official Statement Shall have been execu ad and delivered, shall be in full force and effect and shall not have been amended, modified or supplemented except as -,- have been agreed to in writing by the Underwriter, and thee, shall be in full force and effect such resolutions as, in the opinion of Special Counsel, shall be necessary in connection with the transactions contemplated hereby) (c) The Underwriter shall have the right to cancel its obligation to purchase the Certificates if, between the data hereof and the Closing, (1) legislation shall have been enacted by the Congress of the United States or the legislature of the State of California or shall have been reported out of committee of either body or be pending in committee of either body, or a decision shall have beer, rendered by a court of the United States or of the State of California or the Tax court of the United States, or a ruling shall have been made or a regulation or temporary regulatien shall have been proposed or made or any o'.her release or announcement shall have been made by the Treasury Department of the United States or the Internal Revenue Service or by the California Franchise Tax Board or by any other State of California agency or department, with respect to federal or California taxation upon revenues or other income of the general character to be derived by thr Corporation or upon interest received with respect to obligations of the general character of the Certificates, which in the reasonable judgment of the Underwriter, materially and adversely affects the mhrket for the Certificates, or )2) thorn shall exist any event which, in the reasonable Judgment of the Underwriter, either (i) makes untrue or incorrect in any material respect as of such time any statement or information contained in the Official Statement or (11) is not reflected in the official Statement but should be reflected therein In order to mako the stataments and information contained therain not misleading in any material respect, or (iii) there shall OOI7LAH 5 L M have occurred any outbreak of hostilities or other national or international calamity or crisis, the effect of such outbreak, calamity or crisis on the financial markets of the United States being such as, in the reasonable judgment of the Underwriter, would make it impracticable for the Underwriter to market or enforce contracts for the sale of the Certificates, or (iv) there shall be in force a general suspension of trading on the New York Stock Exchange or minimum or maximuL prices for trading shall have been fixed and be in force, or maximum ranges for prices for securities shall have been required and be in Lorca on the New York, Stock Exchange, whether by virtue of a determination by that Exchange or by order of the Securities and Exchange commission or any other governmental authority having jurisdiction, or (v) a general banking moratorium shall have Leon declared by either federal, California or New York authorities having jurisdiction thereover, or (vi) there shall be 4ny material adverse change in the affairs oL m c t , or (vii) there shall be established any n6w restriction on transactions in securities materialiy affecting the from market for securities (including thm imposition of any limitation on interest rates) or the extension of credit by, or the charge to the not capital requirements of, underwriters established by the Now York Stock Exchange, the Securities and Exchange commission, any other federal a,,ency of the Congress of the United States, or by Executive Order, or any agency of the State of California having jurisdiction thereover, or (viii) an adverse event affecting the project (as defined in the official Statement), the Corporation or the city occurs which, in the reasonable judgment of the Undo writer, requires or has required a supplement or amendment to the official Statement; (d) At or prior to the Closing, the Underwriter shall receive the following documents, in each case satisfactory in form and substance to the Underwriter and Underwriter's counsel: (1) the final approving opinion, dated the date of Closing, of Special Counsel, accompanied by a supplementary opinion of Special Counsel, dated the date of Closing, substantially to the effect that (i) the Purchase Agreoment has been duly approved by the City; (ii) the statements contained in the official Statement in the sections thereof entitled: "The Certificates," "Lease Agreement," "Trust Agreement" and "Tax Exemption" (insofar as such statements purport to summarize certain provisions of the legal documents and the Certificates) present an accurate summary of such provisions: and 0017LAw 6 1 (E/ 3 (111) the Certificates are exe.,jt from registration pursuant to the Securities Act of 1933, as amended, and the Trust Agreement is exempt from qualification as an indenture pursuant to the Trust Indenture Act of 1939, as amended; (2) the opinion of the Cit��A�ttorney, dated the date of Closing, to the effect thatZ 1)the City in a municipal corporation and general law city duly organized and validly existing under the Constitution and laws of the State of Californlat (ii) the Offlciul Statement has been duly authorized, executed and delivered by the City and tt+e information therein as to the City and the Cit7 s obligations under the Trust Agreement and the Loose Agreement is correct and dcas not omit any stateme- whit:h, in such eouneelto opinion, should be included ow referred to therein; (iii) the resolution of the City approving and authorizing the execution and delivery o! the Official Statement, the Trust Agreement, the Loase Agreement and approving this Purchase Agreement was duly adopted at one or more meetings of the city council of the City (the "Governing Body ") which were called and held pursuant to law and with all public notice required by law and at which a quorum was present and acting throughout; (iv) the execution and delivery of the Trust Agreement and the Lease Agreement or the approval of this Purchase Agreement, and compliance with the provisions thereof, under the circumstances contemplated thereby, do not and will not in any material respect conflict with or constitute on the part of the City n breach of or default under any material agreement or other itistrament to which the City is a party or by which it Is bound or any existing law, regulation, court order or consent decree to which the City is subjects (v) the Trust ),greement, the Lease Agreement and this Purchase Contract have been duly authorized, executed and delivered by the City, and constitute legal, valid and binding agreements of the City enforceable in accordance with their respective terms, except as the enforcement thereof may be limited by bankruptcy, insolvency, the application of equitable p:.lnciplas where appropriate or other laws affecting the enforcement of creditors' rights generally; (v1) no litigation is pending or threatened to restrain or enjoin the payment of Lease Payments pledged under tt Trust Agreement, in any way contesting or affecting � a validity of the Certificates, the lease Agreement, this Purchase Agreement, the Assignment Agreement or the Trust Agreement, or in any way contesting the existence or powers of the City; (vii) no event affecting the City has occurred since the date of the Official Statement which either makes untrue or incorrect in any material respect 0017LAw 7 ) Y as of the date of Closing any statement or information concerning the City contained in the official Statement or is not reflected in the official Statement but should be reflected therein in order to make the statements and information therein concerning the city not misleading in any material raspe�t; and (viii) no authorization, approval, consent, or other order of the State of California or any other governmental authority or agency within the State of California is .squired far the valid authorization, execution and delivery of the Trust Agreement, the Lease Agreement, the Official Statement and this Purchase Agreement; except that no opinion regarding the fii.ancial condition of the City shall be rendered by such counsel. The counsel for the City in rendering such opinions as referred to in es (2) (11) and (iv) above may reasonably rely upon such representations, statamentd, and where appropriate, certificates, an may be furnished by officials of the City having responsibilities with regard to the activities referred to in the aforementioned Claus Es; (]; a certificate of an authorized officer 02 the Trustee, dated the date of Closing, to the affect that (i) the Trustea is a ational bankingAassociatien duly organized and validly exist ng under the lava of the n;lmited eta�e4 of America; (ii) the general signature reaelutior. of the Trustee approving and authorizing the execution and delivery of certain docuaents by certain officers of the Trustee, wnich resolution autilorizes the execution and delivery of the Certificates, ths Trust Agreement, the Assignment Tgreement and the ackn. ,iladge- =at of this Purchase Agreement, was duly adopted at meetings of the governing body of the Trustae; (iii) there ie no action, suit, proceeding or investigation at• l;;w or in equity before or by any court, public board or bciy, pending or, to the beat knowledge of such authorized officer of the Trustee, threatened against or affecting the Trustee to restrain or enjoin the execution or delivery of the Certificates or the collection of revenues pledged under the Assignment Agreement or the assignment of the Lease Payments under the Assignment Agreement, in any way contesting or affecting any authority for the execution and delivery of the Certificates or the validity of the Ccrtificatos, the Trust Agreement, the Assignment Agreement, the Lease Agreement or this Purchase Agreement, cr in any way contesting the exls:eice or powers of the Trustee with respect to the sale . t the Certificates c - the security therefor wherc.n an unfavorable deuision, ruling or finding would ad-4rsely affect the transactions conteaolated by the Trust Agreement, the Assignment Agreement or the Lease Agreement or the validity of the 0017LAW I` Q S Certificates; (iv) the execution and delivery of the Certificates, the Assignment Agrasmont and the Trust Agreement and compliance with the provisions thereof, under the circumstances contemplated thereby, do not and will not in any material respect conflict with or constitute on the part of the Trustee a breach of or default undor any agreement or other instrument to which the Trustee is a party or by which it is bound or any existing law, regulation, court order or consent decree to which the Trustee is subject; and (v) the Trust Agreement and the Assignment Agreemont have been duly authorized, s, executed and delivered by the Trustee and constitute the valid and binding agreements of the Trustee, enforceable in accordance with their terms, except as the enforcement thereof may be limited by bankruptcy, insolvency, or other laws affecting the enforcement of creditors' rights generally; (4) the opinion of Buchalter, Ramer, Fields 6 Younger, a Professional Corporation, Los Angeles, California, counsel for the Underwriter, dated the date of closing, to the affect that (i) the certificates are exempt from registration under the Securities Act of 1977, as amended, and the Trust Agreement is exempt from qualification under the Trust lndentuie Act of 1939, as amended, and (ii) nothing has come to their attention which would lead them to believe that the official Statement (excluding therefrom the financial statements and the statistical data included in the official Statement, as to which no opinion need be expressed) contains an untrue statement of a material fact or omits to state a material fact required to be stated therein or necessary to make the statements therein, in the light of the circumstances under which they were made, not misleading; A S a certificate of the finance director or similar official of the City, dated the date of the Closing, substantially to the effect that nothing has come to his or her attention which would lead said official to believe that, as to the financial information and statistical data relating to the City included in the Official Statement, the naterial contained therein relating to the City contains any untrue statement of material fact or omits to state any material fact required to be stated therein or necessary to make the statements therein, in light of the circumstances under which they were made, not misleading, sa)d certificate otherwise being in form and substance acceptable to Special Counsel and counsel to the Underwriter; 0017LAW 9 I n, X1(6 a ^lrtificate of an authorized officer of the Corporation, elated the date of Closing, substan- tially to the affect thatr (i) the Corporation is a r, nonprofit public benefit corporation duly organized and existing under the laws of the State of Calilornia, with the lull power and authority to enter into and perform the Trust Agreement, the Assignment Agreement and the Lease Agreement& to cause delivery of the certificates pursuant to the Trust Agreemanthand to carry out and consummate the transactions contemplated by this Purchase Agreement, the Trust Agreement, the Assignment Agreement, 'the Lease Agreement and the official Statement; (ii) to the best knowledge of the Corporation, after reasonable investiga- tion, the execution and delivery of the Trust Agreement, the Lease Agreement, the Assignment Agreement, and the Certificatesnand compliance on the corporation -a part contained with the provisions therein, will not conflict vith or constitute a breach of or default under any law, administrative regulation, judgment, decree, loan agree- ment, indenture, bond, note, resolution, agreement or other instrument to which the Corporation is a party or is otherwise subject, nor will any such execution, delivery, adoption or compliance result in the creation or imposition of any lien, charge or other security interest or encumbrance of any nature whatsoever upon any of the propertins or assets of the Corporation under the terms of any such lav, administrative regulation, judgment, decree, loan agreement, indenture, bond, note, resolution, agreement or otnar instrument, except as provided by the Trust Agreement and the Lease Agreement; (iii) to the best knowledge of the Corporation, there is no action, suit, proceeding, inquiry or investigation, at law or in equity, before or by any court, governmental agency, public board or body, pending or threatened against the Corporation affecting the existence of the Corporation or the titles of its officers to their respective offices or in any way contesting or affecting the validity or enforceability of the Trust Agreement, the Lease Agreement, the Assignment Agreement, the Certificates or this r,,rchasP Agreement, or contenting the powers of the Corporation or its authority to issue, enter into, adopt or perform its obligations under any of the foregoing, wherein an unfavorable decision, ruling or finding would materially and adversely affect the validity or enforce- ability of the Trust Agreement, the Leasa Agreement, the Assignment Agreement, the Certificates or this Purchase Agreement; and (iv) the Corporation will furnish such information, execute such instruments and take such other action in cooperation with the Underwriter as the Under- writer may reasonably request in order (A) to quality the Certificates for offer and sale under the blue sky or 0017LAW 10 I other securities laws and regulations of such states and other jurisdictions of the United States as the t'nder- vriter say designate and (D) to determine the eligibility of the Certificates for investment under the laws. of such states and other jurisdictions, and will use its best efforts to continue such qualification in effect so long as required for distribution of the Certificates$ provided, however, that in no event shall the Corporation be raquired to take any action which would subject it to general or unlimited service of process in any juris- diction in which it is not now so subject; ,L7 copies of tho Trust Agreement, the Assignment Agreement and the Lease Agreement, in each case duly exacuted by the parties thereto; #181 definitive copies of the official Statement, execuYeed on the behalf of the City by the designated authorized representative of the City; A(9 ) certified copies of the general resolution of M Trustee authorizing the execution and delivery of certain documents by certain officers of the Trustea, which resolution authorizes the execution and delivery of the Certificates, the Assignment Agreement and the Trust Agreement and the acknowledgment of this Purchase Agreement; 10 certified copies of the resolution of the Governing Body of the City authorizing the execution and delivery of the Trust Agreement, the Lease Agreement, the Official Statement and approving this Purchase Agreement; "11 copies of the Articles of Incorporation of the Corporation and certified copies of the Corporation's. by -laws and resolutions of its Board of Directors authorizing the execution and delivery of the Trust Agreement, the Lease Agreement and the Assignment Agreement;h KCIL21 the opinion of counsel to the Corporation, ated the date of the Closing, an to the due authorization, execution and delivery by the Corporation of the Lease Agreement, the Assignment Agreement and the Trust Agreement, as to th e legal, valid and binding nature thereof and as to the enforceability thereof it accordance with their torms, except to the extent that enforcement thereuf may be limitad by bankruptcy, reorganization, insolvency, moratorium or other laws or equitable principles affecting the enforcement of creditors' rights 0017LAW 11 I Y generally, said opinion otherwise being in form and substance acceptable to Special Counsel and to counsel for the Underwritar; (L3A evidence (whether written or telephonic) satisfactory to the Underwriter that the Certificates have been rated " " by Moody's Investors Service; (14) one copy of the audited financial statements of the City appended to the Official Statement, together with the report issued in connection therewith, and a signed consent letter of Lance, Sell S Lunghard, Certified Public Accountants, in form satisfactory to the Underwriter, consenting to the use of the financial statements and the report thereon in the Official Statement and consenting to the references made to said firm under the caption "EXPERTS" in the Official Statement; and (151A such additional legal opinions, certificates, proceedings, inntruments and other documents as the Underwriter, counsel to the Underwriter or Special Counsel may reasonably request to avidence compliance by the Trustee, the City and the Corporation with legal requirements, the truth and accuracy, as of tho time of closing, of the representations of the cityihereln and in the Official Statement and the due performance or satisfaction by the Trustee, the City and the Corporation at or prior to such time of all agreements then to be performed and all conditions than to be satisfied by the Trustee, the city and the Corporation. If the City shall be unable to satisfy the conditions to the obligations of the Underwriter contained in this Purchase Agreement or if the Underwriter's obligations shall be terminated for any reason permitted herein, this Purchase Agreement shall terminate and neither the Underwriter nor the City shall have any further obligation hereunder. 7. All reasonable expenses and costs of the City and the Corpuratio:j incident to the performance of its es active obligations in connection with the execution, delivery and sale of the Certificates to the Underwriter, including the cost of printing of the Certificates (and full execution thereof), the Preliminary Official Statement and the Official Statoment, in reasonable quantities, fees of consultants, fees of rating agencies, CUSIP Service Bureau fees and char• ;es, fees and charges of Special Counsel, and fees and expanses of the Trustee, counsel for the City and ,counsel for the Corporation, shall be paid by the City. A11 expenses to be 0017rAw 12 _ paid by the City pursuant to this Purchase Agreement may be paid from Certificate proceeds to the extent permitted by the Trust Agre;.mant. Except as indicated above, all other out -of- pocket expenses of tha Underwriter, including traveling and other expenses and the fees and expenses of their counsel, shall be paid by the Underwriter. a. Any notice or other communlcatiun to be given to the Underwriter may be given by delivering the same in writing to Stone i Youngberg, One California Street, San Francisco, CA 94111, Attn: Municipal Finance Department. The approval of the Underwriter when required hereunder or the detormination of their satisfaction as to any document referred to herein shall be in writing signed on behalf of Stone i Youngberg and delivered to you. 9. The UnderwriterArwpresents with respect to the Certificates and this Purchase Agreement as follows: when the Underwriter re and thetCityahave executedAthisered Purchase Agroement; (b) the Underwriter may allow a dealer concession on sales to (i) securities dealers, (ii) dealer banks or divisio.m or departments of banks, (Ul) foreign banks or broker- dealers which (A) are registered as broker - dealers under the Securities Exchange Act of 1934 and agree in making sales of the Certificates in the United states of America that they will comply with the rules of the Municipal Securities Rulemaking Hoard, or IS) if not so registered, agree that they will not sell ny Certificates in the United States of America, its territories or possessions, or to persons who are citizens thereof or residents therein, and in making other sales agree to comply with the Rules of Pair Practice of the National Association of Securities Dealers; tterin (c) the Underwriter may change the public o g price end, in general, or in such specific cases as it may determine, any concession, commissions, allowances or reallowance3; (d) the Underwriter agrees to mail or deliver an Official Statement to each person who purchases Certificates with or prior to final written confirmation of the sale to such person; ( regiatered as r a broker-dealer or armunicipal�asecurities dealer under the Securities Exchange Act of /1/9341 and, 0017LAW 10 1 v 1 0 (f) the Underwriter snall not be liabls with respect to (i) the issue, form, genuineness, validity, legality, enforceability of value of, or title to, the }' Certificates. (ii) the validity of any instrument under or pursuant to which the Certificates may be issued, (iii) any representations in the Purchase Agreement, (iv) the accuracy or completeness of the Preliminary official Statement or the Official Statement, any memorandum, brochure or agreement, or any statements, reports or letters of others in connectiun wits the Certificates, (v) the delivery of the Certificates or the performance by the City or others of any agreement on its or their part, or (vi) the qualification or registration of the certificates for sale, or the legality of the certificates for investment under the laws of any jurisdiction. The Underwriter shall not (except for such liability as it may have as an underwriter) be liable under any obligations, either express or implied, which are not herein expressly assumed. 10. This Purchase Agreement is made solely for the benefit of the :'rusts&, the City, the Corporation and the Underwriter (including the successors or assigns of the Underwriter) and no other persons, Partnership, association or corporation shall acqui =a or have any right hereunder or byy virtue hereof. All covenants and representations of the City in this Purchaso Agreement shall remain operative and in full force and effect regardless of any investigation made by or on behalf of the Underwriter and shill survive the delivery of and payment cor the Certificates. 0017IAW 14 1 0� I 11. This Putchase Agreement shall be governed by the lave of the State of Cali'ornia applicable to contracts made and performed in such State. 12. This Yurchas• Agveamont may be executed in several counterparts, each of vnich shall be an original and all c'_ which shall constitute tut one and the same instrument. STONE i YOUNGBERG By: Partner CITY OF RANCHO CUCAMONGA n By: City Manager Receipt Acknowledged By: BANK OF AFRICA N).TIONAL TRUST AND SAVINGS ASSOCIATION 0017LAN is I q Z 11. This purchase Agreement shall beo governed by the lave of the State of California applicable and performad in such State. 12. This purchase Agreament may be axeeutad in each of which shalt be an original a several counterparts, nd titute but one and the Game instrument. all of which shall cons STONE 6 IOUNGBERG By. Partner CITY OF RANCVO CUCAMONGA By: C ty Manager Receipt Acknowledged BY: BANK Op AMERICA HATIONAL '!RUST AND SAVINGS ASSOCIATION By: 1s --)'j 2 0017LAW EXHIBIT A Maturity (Decembor 1) Princical A= Interest Rate A 0017IAW 16 I - I 3 RECOMIEIWTIOM: It is recommended that the City Council ado Ft the attached resolution approving a Subordination Agreement submitted by Richard L. Batson and Sharon Phillips and authorizing the Mayor and City Clerk to sign same and cause the agreement to record. BACKGROUND /AIULYSIS A Real Property Improvement Contract and Lien Agremnt was eccepted by the City Council and recorded on March 6, 1986, as document No. 86- 069690 in the official Records of San Bernardino County, State of California for construction of missing off -site street improvements, on site equestrian trail improvements and dedication of easements as located on the property to be developed. In order to secure financing for his project, the lender requires thbt the subject Lien Agreement be subordinated to liens in favor of the lender. Richard L. Batson and Sharon Phillips has submitted the attached Subordination Agreement for City Council approval. Respectfully submitted RNM:NY:ly Attachment 31 "st CIT. OF RANCHO CUCANONGA STAFF REPOi{T DATE: November 16, 1980 TO. City Council dad City Manager �C t PROM: Russell 11. Maguire, City Engineer ;> BY: Millie Yalbuena, Englneertnt,• Technician SUBJECT: Approval of a Subordination Agreement for Street Improvements, at 12720 Ammer Lane, submitted by Richard L. Bbtson and Sharon Phillips RECOMIEIWTIOM: It is recommended that the City Council ado Ft the attached resolution approving a Subordination Agreement submitted by Richard L. Batson and Sharon Phillips and authorizing the Mayor and City Clerk to sign same and cause the agreement to record. BACKGROUND /AIULYSIS A Real Property Improvement Contract and Lien Agremnt was eccepted by the City Council and recorded on March 6, 1986, as document No. 86- 069690 in the official Records of San Bernardino County, State of California for construction of missing off -site street improvements, on site equestrian trail improvements and dedication of easements as located on the property to be developed. In order to secure financing for his project, the lender requires thbt the subject Lien Agreement be subordinated to liens in favor of the lender. Richard L. Batson and Sharon Phillips has submitted the attached Subordination Agreement for City Council approval. Respectfully submitted RNM:NY:ly Attachment 31 "st RESOLUTION NO. •• 71 A RESOLUTION OF THE CITY COUNCIL OF THE CITE OF RANCHO CUCA40MGA, APPROVING A SUBORDINATION AGREEMENT FRCN RICHARD L. BATSON AND SHARON PHILLIPS AND AUTHORIZING THE MAYOR AND CITY CLERK TO SIGN SAME WHEREAS, a Real Property Improvement Contract and Lien Agreement for the installation of Street Improvements tlong 12720 Amber Lane was approved by City Council on February, 1986 and recorded in San Bernardino County on March z 6, 1986, Instrument No. 86- 059690; and WHEREAS, for the developer to secure financing for the project, the lender requires that the above - mentioned lien be subordinate to the lien in favor of the lender; and WHEREAS, the developer has submitted a Subordination Agreement to that effect for the City's approval and execution. r NOW, THEREFORE, BE IT RESOLVED' by the City Council of the City of Rancho Cucamonga, California, that said Subordination Agreevrcnt be and the same are hereby approved and the Mayor is hereby authorized to sign said Subordination Agreement on behalf of the City of Rancho Cucamonga, and the City Clerk attest thereto. 3�z- 10 VIII, t I � I I I I i I.S31C 3143 AC I 1 I � I B 7 y B u..c I I ®. i J ' I] is�so nno II s7�G I K:./ NO*- naaaaa,i Back a i t 44P6E7V 1,41W CITY OF z3 RANCHO CUCAMIONGA �zNGICNE,ERING DIVISION r ✓V N rMfi X2720.41W.6E'/P L AN,- r -- CITY OF RANCHO CUCAMONGA STAFF REPORT DATE: November 16, 1988 TO: FROM: BY: City Council and City Nanagar i Russell N. Maguire. City Enginaer Shintu Bose, Senior Civil Engine^ -r SUBJECT: Approval of a contract with the San 8•.rnardtno County Flood Control District for funding of the Day Creek Phase 2A improvements from Base line Road to approximately 1.6 miles north of Highland Avenue in an amount not to exceed $10.8 million to be funded from Day Creek construction fund Account No. 86- 4637_6028 RECOMMENDATION: It is recommended that the City Council approve the subject contract with the San Bernardino County Flood Control District and authorize the Mayor to execute the same. BACKGROUND /ANALYSIS The Day Creek construction project is being funded by the City from the proceeds of the Mello -Roos Community Facilities District lb. 84 -1 and from a portion of the RDA tax increment. The County Flood Control District is providing the construction administration of the project. The contract for the Phase 2A construction is scheduled to be awarded by the County Board of Supervisors at its meeting on November 28, 1988 after execution of the subject agreement. The agreement provides a mechanise to transfer funds to the County in installments as the work progresses. RespeSt fmlly submitted,W- , RHM:SB:Iy CITY OF RANCHO CUCAMONGA CU _CA AI MEMORANDUM ��° Russell II DATE; Hovember 16, 1988 0 TO: City Council and City Manager I FROM: rsrr . Maguire, City Engiiicer BY: Michael D. Long, Senior Public works Inspertor SUBJECT: Accept for Maintenance the Haven Avenue Median Improvements, Phase I, from Arrow Route to 19th Street as complete, release the bonds and authorize the City Engineer to file a 'Notice of Completion, RECOalEwTION: It is recommended that the City Council accept for Maintenance the Haven Avenue Median Improvamments, Phase I from 4th Street to Arrow Route as hthzre sioe iul ci fgleoandd authorizeeel a f t Faithful PerfonuneBondin the amunt Of $1,112,954.38 and authorize the release of the Labor and Material Bond in the amount of $1,112,954,33, 6 months after the recordation of said notice, if no clams have been received. BACKGROUND /ANULYSIS The subject project has been completed in accordance with the glens and of contractaumountawillobehsubgt led for�City the ounclty Engineer. ?he final December 7, City Council meeting because the assts of several items of extra work have not been tabulated at this time. At that greeting, staff will recommend approval of the final contract amount and approval of Contract Change Orders. Also, staff will recommend release of retention 35 days from the November 16 Council meeting. Respectfully submitted, RIN:MDL:ly Attachment ■ 3-�:) A 3 i .L- 0 RESOLUTION NO. 7 0 ' W 7 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF RANCHO CUCAMONGA, CALIFORNIA, ACCEPTING THE PUBLIC IMPROVEMENTS FOR HAVEN AVENUE MEDIAN IMPROVEMENTS, PHASE 1, FROM AWM ROUTE TO 19TH STREET AND AUTHORIZING THE FILING OF A NOTICE OF COMPLETION FOR THE WORK WHEREAS, the construction of public improvements for Haven Avenue Median Improvements, Phase I, from Arrow Route to 19th Street have been completed to the satisfaction of the City Engineer; and WHEREAS, a Notice of Completion is required to be filed, certifying the work complete. NOW, THEREFORE, the City Council of the City of Rancho Cucemonga hereby resolves, that the work is hereby accepted and the City Engineer 13 authorized to sign and file a Notice of Completion with the County Reco -der of San Bernardino County. CITY OF RANCIIO CUCAMONGA STAFF REPOWr DATE: November 16, 1988 TO: City Council and City Manager FROM: Russell H. Maguire, City Engineer BY: Michael D. Long, Senior Public Works Inspector SUBJECT: Arcept for Maintenance the Haven Avenue Median Improvements, Phase II, from 4th Street to Arrow Route 3s complete, release the bonds and authorize the City Engineer to file a "Notice of Completion' RECOOPOMTION: It is recommended that the City Council accept for Maintenance the Haven Avenue Median Improvements, Phase II fmi 4th Street to Arrow Route as complete, authorize the City Engineer to file a 'Notice of Completion ", and authorize the release of the Faithfl:', Performance Bond in the amount of $720,069.84 and authorize the release of the Labor and Material Bond in the aarnunt of $360,034.92 six (6) months after the recordation of said notice, if no claims have been received. BACKGROJNO /ANALYSIS The subject project has been completed in accordance with the plans and specifications and to the satisfaction of the City Engineer. The final contract amount will be submitted for City Council consideration at the December 7 City Council meeting because the costs of several items of extra work have not been tabulated at this time. At that meeting, staff will recommend approval of the final contract amount and approval of Contract Change Orders. Also, staff will recommend release of retention 35 days from the November 16 Council meeting. Respectfully submitted, ��. r4lt- gm" RHM :MDL:dlw Attachment 3 / t w RESOLUTION NO. A RESOLUTSON OF THE CITY COUNCIL OF THE CITY OF RANCHO CUCAMONGA. CALIFORNIA, ACCEPTING THE PUBLIC IMPROVEMENTS FOR HAVEN AVENUE MEDIAN IMPROVEMENTS, PHASE II, FROM 4TH STREET TO ARROW ROUTE AND AUTHORIZING THE FILING OF A NOTICE OF COMPLETION FOR THE WORK WHEREAS, the construction of public improvements for Haven Avenue Median Improvements, Phase II, from 4th Street Arrow Route have been completed > to the satisfaction of the City Engineer: and WHEREAS, a Notice of Completion is required to be filed, certifying the work complete. NOW, THEREFORE, the City Council of the City of Rancho Cuca"Mga hereby resolves, that the work is hereby accepted and the City Engineer is authorized to sign and file a Notice of Completion with the County Recorder of San Bernardino County. 3� �4 CITY OF RANCHO CUCAN ONGA STAFF REPOEN DATE: November 16, 1980 TO: Citw Council and City Manager FROM: Russell N. Maguire, Citl' Engineer BY: Michael D. Long, Senfcr Public Work: Inspector SUBJECT: Accept the Base Line Widening Iaproveeent Project from bonds Archibald authorize the City Enginearato f110 a WHotice release C letion' and approve the 0 contract amount of $3 fi ,713.90. RECONMAr w It Widening I �nedmeent project eas caplete�iauthoN2e the City Engineer iRoad file a 'Notice of Completion', and retain the Fasthful Performance Bond as the Maintenance Bond for one ear, and authorize the - elease of the retention $26,307.15, $5 day �fter the Lrec <rd Lion of Materials If no claims have been received. Also, approve the final contract asaunt of $312,713.00 BACKGROUND /ANALYSIS The subject project has been completed in accorrance with the approved titans and specifications and to the satisfaction. of the City Engineer. ofinal derapprovedrbyttheoCityiEngineer l3 0The originaluamountuapprovednby Council was $291,000.00. Pursua,it to the contract, the contractor may elect to have his Performance Bond remain in ef.'ect for the maintenance bond. Respectfully submitted, RHM:MDI:ly cc Purchasing 39 SS -v2y- CUCAMONGA� CALIFORNIA, ACCWITIING THE TPUBLIC INPROYCIEUTS FOR BASE LINE ROM WIDENING PROJECT FROM ARC11Y-AL0 AVENUE TO HELLMAN AVENUE AND DUTHORIZING THE FILING OF A NOTICE OF COMPLE110N FOR THE WORK WHERFPS, the construction of public improvements for Base Line Road Widening Project free Archlbald Avenue to Hellman Avenue have been completed to the satisfaction of the City Engineer; and WHEREAS, a Notice of Completion is required to be filed, certifying the work complete. NON, THEREFORE, the City Council of the City of Rancho Cucamonga hereby resolves, that the arork is hereby accepted and the City Engineer is authorized to sign and file a Notice of Completion with the County Recorder of San Bernardino County. 5 — CITY OF RANCHO CUCAMONGA STAFF REPORT DATE: November 16, 1980 TO: City Council and City Manager FROM: Russell H. Maguire, City Engineer BY: Michael D. Long, Senior Public Works Inspector SUBJECT: Accept the Archibald Avenue Entry Monuments Project, at 4th Street Contract No. 80 -056 as complete release bonds and authorize the City Engineer to fi {e a 'Notice of letion" and approve thn final contract amount of si3 ,856 45 RECOM4ENOATION: It is recommended that the City Council accept the Archibald Avenue Entry Monument Project Contract No. 88 -056 as complete, authorize the City Engineer to file a 'Notice of Comoletirm', and authorize the release of the Faithful Performance Bond in the aapunt of $129 246.30 and accept the 10% Maintenance Bond in the amount of $13,286.66 for one year, and authorize the release of the retention in the amount of $5,5 ?2.37 and the Labor and Materials Bond in the amount of $129,246.00, 35 days after the recordation or said notice If no claims have been received. Also, appivve the final contract amount of $132.856.45. Background /Analysis The subject protect has been completed in accordance with the approved glens and specifications and to the satisfaction of the City Engineer. The final contract amount is $132,856.45 which includes 1 minor than yye order(s) for additional lighting and minor irrigation modification. Tha original amount approved by Council was $129,246.00. Respectfully subsitted, RHM:MW. :dlw cc: Purchasing 4( WOMEN i' RESOLUTION N0. A RESOLUTION OF THE CITY CAU4CIL OF THE CITY OF RANCHO CUCAMONGA. CALIFORNIA. ACCFPTIlw THE PUBLIC IWROVEfk'KTS o FOR ARCHIBALD AVEWUE ENTRY NQNUIENTy AT 4TH STREET ANM AUTHORIZING THE FILING OF A NOTICE WORK OF COWLETION FOR THE Entry the h� a boenuCompleted too thessetfsfsctlonlofA�heue City Engineer; and °� WHEREAS, a Notice of Completion is required to be filed, certifving tha work complete. hereby resolves thatpthetworkfIs herebylaccepted0and theRCity Engineergis ' authorized to sign and file a Notice Of Completion with the County Recorder of San Bernardino County. 42— r A 1 CITY 05 RANC110 CUCAMONGA STAFF REPORT DATE: November 16, 1988 TO: City Council and City MaaAger FROM: Russell N. Maguire, City Engineer BY: Michael D. Long, Senior Public Works Inspector SUBJECT: %,cept the I ton Street Improvement Project, south of 9th Street Contract No. 88 -093 as complete, release bonds and authorize the City Engineer to file a "Notice of $�161ion* and approve the final contract amount of IECONOWTION: It is recommended that the City Council accept the Lion Street Improvement Project, south of 9th Street as complete, authorize the City Engineer to file a 'Notice of Completion', and authorize the release of the Faithful Performance Bond in the amount of $51,747.10 and accept the 10% Maintanance Bond in the amount of $5,582.72 for one year, and authorize the release of the retention in the amount of $5,116.17 and the Labor and Materials Bond to the amount of $51,747.10, 35 days after the recordation of said notice if no claims have been received. Also, approve the final contract amount of $67,161.74. Background /Analysis The subject project has been completed In accordance with the approved plans and specifications and to the sattsfactioi of the City Engineer. The final contract amount is $51,161.71 mAmich includes one (1) change order for a sleeve for future use by the Southern California Gas Compary. The original amount approved by Council was $57,000.00. Respectfully submitted, RHM:MDL:dlw cc: Purchasing 43 RESOLUTION N0. �� 2S A RESOLUTION nF THE CM COUNCIL OF THE CITY OF RANCHO CUCAMONGA. CALIFORNIA, ACCEPTING THE PUBLIC IMPROVEMENTS FOR LIUN ST, SOUTH 1c 9TH STREET AND AUTHORIZING THE FILING OF A NOTICE OF COMPLc"fION FOR THE WORK WHEREAS, the construction of public improvements for Lion Street, •outh of gin Street have been completed to the sattsfaction of the City Engineer; and WHEREAS, a Notice of Completion is required to be filed, certifying �i the work *, ompIate. NON, THEREFORE the City Council of the City of Rancho Cucanongs hereby resolves, that tAe work is hereby accepted and the City Engineer is authorized to sign and file a Notice of Completion with the Ccunty Recorder of San Bernardino County. i ra -- CITY OF RANCHO CUCAMONGA STAFF REPORT DATE: November 16, 198Er TO: City Council and City Manager FROM: Russell H. Maguire, City Engineer BY: James T. Harris, Associate Civil Engineer SUBJECT: Authorization for the assignment; of an Adult Crossing Guard to the corner of 19th Stree: and Hermosa Avenue for Deer Canyon Elementary School It is recommen-'*d that an Adult Crossing Guard W assigned to the school crossing at the intersection of the 19th Street and Hermosa Avenue for Deer Canyon Elementary School. BACKGROUND /AN;d.YSIS: Traffic Engineering staff has completed a review of the intersection of the 19th Street and Herawso Avenue at the request of Mr. Dean Enfield, Assistant SuperintenMnt for Alta Loma School District as well as some concerned parents. The hers reviewed included vehicle and pedestrian counts and observations u! crossing patterns. The results of the review brought to our attention that 4I students cross 19th Street in possible conflict with 526 vehicles during the morning hour and 44 students cross against 563 vehicles in the aftervoee. The Adult Crossing Guard guidelines in use in the City will be met shortly when 19th Street striping is cranged to provide for a four lane street. Thus, placement of a Crossing 4uard at this location is justified. Respectful,y submitted, ��l�r,',( 0('V- RHMWTH:td Attachment cc Hr. Clyde Boyd, Chairman Public Safety Commission l � 5 Y r. ADULT CROSSING GUARD NEED EVALUATION Location 19Tw HMMOSA School nl=r -o CAW'rom E:LFmy. 4TnRY Start /Dismissal Times' -'A - R:'b 4 -1. A, I's AM 2:15 PM Distance from crosswalk to school 90 n' Distance to nearest signal or stop sign A- -woy --romp Width of street at crosswalk 1.4' Date of pedestrian counts I AVAA f! 10 1 " Ins. 1. School crossing at uncontrolled location. HOUR NO. OF CHILDREN VEHICLE CRITICAL CROSSING(MIN -20) VOLUME VOLUME Crossing guard justified for 2 hours? yes- ,no-2. School crossing at traffic signal location. HOUR NO. OF CHILDREN TUPNING MOVEMENTS CRITICAL ` CROSSING (MIN -40) THROUGH CROSSWALK VOLUME 300 300 300 Crossing guard justified for 2 hours? yes_,no_, 3 Sc'ool crossing controlled by stop signs. HOUR NO. OF CHILDREN VEHICLE VOLUME CRITICAL CROSSING(MIN =40) ON 4 -LANE STREET VOLUME 7 +3o am T ALP •52& 500 is rte. 44 543 sDD 500 Crossing guard justified for 2 hours? yes 2 ono__ / CALC. BY ....A- 44 DATE IOYJ, i v — CITY OF RANCHO CUCAIIONGA -+r STAFF REPORT DATE: November 16, 19BB TO: City Council and City Manager FROM: Russell H. Maguire, City Engineer BY: James T. Harris, Associate Civil Engineer _JBJECT: Authorization for the assignment of an Adult Crossing Guard to the corner of Hermosa Avenue and Wilson Avenue for Hermosa Elementary School It is recommended oy the Public Safety Commission that an Adult Crossing Guard be assigned to the school crossing at the intersection of Hermosa Avenue and Wilson Avenue for Hermosa Elementary Sc %ool BACKGROUND: A request was received for a crossing guard at the intersection of Hermosa and Wilson Avenues from a parent in the Hermosa School area. Hermosa Elementary School is locatad at the southeast corner of the intersection. Both Hermosa and Wilson Avenues are two lane streets and intersect at a four -way stop, which was installed about a year ago. Eventually, when development in the area is co!, eto, Wilson Avenue will become d four lane street. At the present t,me, traffic volumes on both streets are quite low, duo to sparse developeent in the area. There is a single yellow crosswalk at the intersection across the south leg. The criteria adopted by the Engineering Division for the placement of crossing guards precludes their use at 4 -way stops unless the streets are 4 lanes or wider. Because of this, staff could not recommend at the Commission's October 4 meeting that a crossing guard be placed at this intersection. However, the Public Safety Commission requested that staff determine the specific numbers of school aged pedestrians and vehicular traffic using the intersectloi, as well as conditions not readily apparent to the normal driver or pedestrian for their further consideration in November 47 di CCSR - f..t�• � .+..1.� -�• �� Re: Crossing Guard ' z' November 16, 1988 '��i•., Page 2 Tho Commission considered the additional information at their meeting of No Ober 1, 198B, (report attached) as well as information pres ^nted at existingt1criteriad and hereby exists to ouncila thatroa crossing guard be placed here. 2Q Respectfully sPbmitted, RHM:JTH:sd Attachments: Public Safety Commission Staff Reports cc: Mr. Clyde Boyd, Chairman Public Safety Commission a CITY OF RANCHO CUCAMONGA STAFF REPORT Date: November 1, Ig8B To: public Safety Commission From: Russell H. Maguire, City Engineer By: James T. Harris, Associate Civil Engineer Subject: Crossing Guard at Hermosa and Wilsor Avenues BACKGROU . A request was received for a crossing guard at the intersection of Hermosa and Wilson Avenues from Mr. Kenneth School Pagano is loco edt at the C. Hermosa School area. Hermosa Elementary southeast corner of the intersection• at a Both Hermosa and Wilson Avenues installed about a yearreego.an Eventually t when four -way •top, development in the area is compplete, Wilson Avenue will become a our lane uite street. low. due to paresdevelopoentrinfitheoarrea. streets are yellow crosswalk at the intersection across the south leg. The criteria crossing gua dsdprecludys their Engineering Division for unless the streets are 4 lanes or wider. fecause of this, staff cannot recommend Lint a Safe, tyncomaisrsionaatlits/ last eetingnrequestednthatHstaffrdeterminebthe thecinterseecction as welil as conditionstnot nreadily apparent toa the enormal driver or pedestrian. As summarized on the attached Hourly Directional Traffic Count forms, COUI its w recounts show 38 sclm of o *T' edestrians fund 3you P.M. er children the morning and 41 in the afternoon. Sevedua;ng the younger were accompanied by adults, especially crosswalk numbered 172linithe morroing period and therefore afternoon. the Vehicular traffic During the counting periods other items of interest to the Commission were obse "ed. The following cements address each item: Buses - Buses use the intersection both for Hermosa Elementary School and other schools located elsewhere. One bus drops off of he what appear to be high school students at :he end crossed Hermosaoandeleft when the elementary school Students have already the area. They (buses and students) caused no noticeable problems. PSC Re: Crossing Guards November 1, 1983 Pcge 2 Visibility Problems - No visibility constraints were noticed that might adversely affect Hermosa School students using the crosswalk Bewiiderel Children - No confused or bewildered children were noticed. The youngest children that might have exhibited this trait were accompanied by adults. The eldest children tended not to use the crosswalk In the afternoon, however, they waited until there were safe gaps between approaching vehicles before crossing Hermosa. The mid -grade children appeared most often to properly use the crosswalk. Future 4 lanes on Nilson - Nilson Ivenue is planned to become a 4 lane residential collector street when development in the area creates the need for such capacity. There are no development projects scheduled or 'in the works' at this time for the northerly corners at the intersection to hasten the need for such capacity. Traffic Signal - Based on current and projected growth rates in Rancho Cucamonga, a traffic signal does not seem likely until the turn of the century or 10 to 15 years in the future. Enforcement - Some 'second gear or rolling stops' were noticed during periods without pedestrians but compliance with the existing stop signs was good especially with students in the crosswalk. Trucks - Construction vehicles, like concrete and lumber trucks, were prevalent during the observation periods. These vehicles tended to increase delay for other vehicles due to their slower start -up and exceleration rates; however, no particular problem regarding pedestrians was observed. A!LILTSIS• Crossing guard criteria in the City provides for a compar.son of traffic and school age pedestrian crossings at locations where there are no controls for traffic on a street at the crossing location. There are also criteria for assessing the need for a guard at a traffic signal where v^hlcles mak:nq legal turns across crosswalks may cause confusion and hazards to pedestrians. Other criteria exists for use at 4 -way stops, but only where multiple lanes make it possibly hazardous for children, due to vehicles in one lane blocking visibility to the other lane. The criteria used at 4 -way stops with multiple lane approaches requires a minimum of 40 school age pedestrians and a minimum volume r4 500 vehicles on four lane roadways in each of two hourly periods. This intersection only meets the pedestrian volume in the afternoon; however, at 38, the morning count is close to the minimum 40. The vehicular volumes for Hermosa Ave -ue are less than 20 percent of the required 500 needed in both periods. t should be noted that the 5.,10 criteria is for four lane roadways and that Hermosa 60 P.SC Re: Crossing Guards November 1, 1988 Page 3 Avenue under current projections and anticipated futu -o land uses will remain a two lane roadway. It is recommended that the Commission consider the foregoing information, as well as any information presented at the meeting and determine whether justification exists to deviate from existing criteria and recoaroend to oi4 the City Council that a crossing guard be placed here. Resp_ctu fly su omitted, RRM:J am Attachinent 51 52 INTERSECTION! LgEgztA20 4Vc DAY I a- 3 -Sig DATE Ti4VSS, 6'r W I t zSo&l A Vim' HOUR 641%A TO. 9A4" HOURLY DIRECTIONAL TRAFFIC COUNT 53 INTERSECTION WE2MO5A AyE_DAY ID-I3 -S6 DATE MiUrK, At Wq.�i�J AVE. HOUR 3PtA To-PM HOURLY DIRECTIONAL TRAFFIC COUNT CITY OF RANCHO CUCAMONGA STAFF REPORT Date: October 4, 1988 To: public Safety Commission From: Russell H. Maguire, City Engineer By: Paul A. Rougeau, Traffic Engineer Subject: Crossing Guard at Hermosa and Wilson Avenues MGCGAOU D: R A re4gest was received for a crossing guard at the intersection of Hermosa and Wilson Aver,,es from Mr. Kenneth C. Pagano, a parent in the Herwsa School area. Hermosa Elementary School is located at the southeast corner of the intersection. Bath Hermosa and Wilson Avenues are two lane streets and intersect at a four -way stop, which was installed about a year ago. Eventually, when development in the area is complete. Wilson Avenue will become a four lane street. At the present tine, traffic volumes on both streets are quite low, due to sparse development in the area. The criteria adopted by the Engineering Division for the placement of crossing guards precludes their use at 4 -way stops unless the streets are 4 lanes or wider. Because of this, Hr. Pagano was informed that a staff recommendation to Council for a crossing guard here could not be made. He was Informed that this decision could be appealed to the Public Safety Commission, thus this report has been submitted. Counts to determine specific numbers of school aged pedestrians and vehicular traffic using the intersection have been scheduied and will be reported at the next Public Safety Commission meeting should that be desired by the Commission. AW/LYS1S: Crossing guard criteria in the City provides for a comparison of traffic and school age pedestrian crossings at locations where there are no controls for traffic on a street at the crossing location. There are also criteria for assessing the need for a guard at a traffic signal where vehicles making legal turns across crosswalks may cause confusion and hazaras to pedestrians. 5� fir" � • w�;• ;,: ,. .. i .. - r -=�- • PSC Re: Crossing Guard at Hermosa and .4ilson Avenues P October 4, 1988 Page 2 Other criteria exists for use at 4 -way stops, but only where multiple lines make it possibly hazardous for children, Cue to vehicles in one lane blocking visibility to the other lane. The criteria used at 4-way stops is attached for your information. i RECOMEIOATIOM: It is recommended that the Cammissioa consider the foregoing information, as well as any information presented at the meeting and determine whether justificatfcn exists to deviate from existing criteria and recomend to the City Council that a crossirg guard be placed here. Respect ubmltted, ,�u RHM:PAR:pas Attachment 55- t Y- <10 INTERSECTION NE2MOSA AVE: DAy f 0 -13_ 2b DATE T'PUIZ'E��• AT' W ll,sritil AVE. HOUR 6 4NA—TO 9 84--1 I HOURLY DIRECTIONAL TRAFFIC COUNT INTERSECTIONEg:gLno lc- DAY Ip_f3_gE, DAT^ - rpt -)Rfs, at tnll�c� 4,V _. HOUR 3 PM -TO- PM _ HOURLY DIRECTIONAL TRAFFIC COUNT 0 CITY OF RANCHO CUCAMONGA, STAFF REPORT o U v i 1977 DATES November 10, 1988 TO: City Council B FRDH: Lauren N. passermau, City Naoage -vim SUBJECT: Library Contract Renevl � I RECOMMENDATION Attached is a proposed contract for the RdachO L1:camonga Branch Library for Fiscal Year 1988 /89. This contract vould expand open Lours and enhanca the bock collection here in a:r City. It is relommended that Council approve this contract per discussions held at the time of budget approval. LMN:jls attachment 38 -758 1 d�Y y SAN BERNARDINO COUNTY LIBRARY �3 i�tu;4� co ra ,i, 104 Will fotaat Built . San 8atur", CA 92418-0036 • (7141 387.9721 4 �.C� 9A gAM ANDERSON i /r11n1�M CW.1y Uwaden Octob" 27, 1988 AUtEM OE CAMO ,L Nrbmn: County UbeMn t a J Mr. Lauret Wnswerman, City Manager City of Rancho Cucamonga P.O. Roy 807 Rancho Cucamonga, CA 9MJ Dear Mr. Weaserman: Enclosed Is a proposed contract for Fiscal Year 1988/1989 based on the 1987/1968 contract to exp&%d open hours of the Rancho Cucamonga Branch Library and to enhance Its book collectica. Ile onl:,r change, other then the updating of the Inclusion period is the ommission of Vie grant. There lima not teen an announcement of new grants from the State Library. You can be aacurrd however, that if such an oppcatttaity is presented, an application wM be made on behalf of Rancho Cucamonga Branch Library if the community falls within the guidellnea of the (,mate. Please review the contract and process through the City. If there are any questions nr Proposed thanAes, I will be glad to discuss them. The contract then goes through County channels for Board approval. Tbd people of the Reecho Cucamooga community seem to appreciate the additionRl bours and Lne resources available to thum. Sincerely, Barbara Anderson County Librarian 5`9 ,�. ,• w � Fum m Svprrvaa. JOHN JOYAER EYtt Dan,. t BARBARA CRAP RIORJAN Th4d D.Vtzf AiDEP* n ELO Aaron nuty I JO`t 0 MXELS Bacons Dbvbt LARRY YYALAEII Eanb OW" ,. oa S 1,1.1 Aa•K, ROURT L 4WMOC+ 1n Ob"." - I LUUNIT LIBRARY +: tF^ c0•JNTY OF s:,N seRNAROIN9 Can 61MR a ERGO BArP.O�RP AMDERSON COUNTY LIBRARIAN a STANDARD CONTRACT ewW U.11 No. a.e< FOR COUNTY USE ONLY euNU,11 THIS CONTRACT is entered Into In the State of California by and between the County of San Bentardlno, hereafter called the County, and CITY OF RANCHO CUC,IHONGA hereafter called CITY am... I.W.M ID No. M MIt4 Maw111 NO. IT IS HEREBY AGREED AS FOLLOWS- Msr So" Glow and ddldond bond due: Sec ford, wrvke N be and-md, mount w ae pdd, ma r of payment dmo for prnormann or c Plfdon, dar"Wwtloe of wdrfec" Fv-*M nd eauN fer MMIMIM, odor MMS and ewdtfw$, Wsttxh Pln ,+pfd4kadont, aid ddenG. If nyd AGREEMENT PERTAINIL'S TO THE ENHANCEMENT LF COUNTY OF SAN BERNARDINO LIBRARY SERVICES WITHIN THE CITY OF RANCHO CUCANONGA This Agreement is made and entered into by and between the COUNTY OF SAN BERNARDINO ( "County" hereinafter) and the CITY OF RANCHO CUCAMONGA (°City" hereinafter). WITNESSETH• A Racitals. (1) County now owns and operates a branch library an a site adjacent to Lions Park Community Center, 9191 Base Line Road, witht• the City of Rancho Cucamonga (hereinafter referred to as the 'Rancho Cucamonga Branch "). 01) It is the mutual desire of the parties hereto to enhance the resources and services available to the public at the Rancho Cucamonga Branch on the terms specified herein, IMP u sumo a... trno „w 1 a, 3 s B. kreement. 1 NOW. THEREFORE, the parties hereto agree as follows: ` 1. In consideration of the enhancement of services and resources whicn Pouncy agrees to deliver at the Rancho Cucamonga Branch specified In parrgraph 2 hereof, City agrees to reimburse County for County's casts of electrical, gas, water and telephone (•utility costa" hereinafter) incurred at the rancho Cucamonga Branch during fiscal year 1988/1989 (July 1, 1988 through and including June 30, 1989) to a maxim, of $25,000. In that regard, ' County shall supply to City an accountinS of all such utility costc incurred by County at the rancho Cucamonga Branch as sewn as is practicable following June 30, 11 -89 City shall provide the above - referenced reimbursement thereof, up to a maximum of $25,000, within thirty (3() days of City's receipt of said accounting. 2 In consideration o• City's reimbursement obligations set forth in paragraphy 1 herelnabove, County shall: a Maintain the Rancho Cucamonga Branch open through June 30, 1989 during all hours it now 1s normally open and add foi.r hours on each Sunday during which the rancho Cucamonga Branch will be open to the public commencing immediately and con lnuing on esch Sunday thereafter through and including Sunday, June 25, 1989. b Augment the rancho Cucamonga Branch's permanent reference section in an amount of $15,000 prior to June 30, 1989 and maintain said augmentation permanently at the Rancho Cucamonga Branch C Increase the 1989/1939 funding for the Rancho Cucamonga Branch's new books and materials by an amount of 520,uOO ifvodiately. (D ( Page 2 or 3 4. The materials referred to in subparagraph Z.b. above shall be chosen and datermined through a cooperative effort of County through its i" librarian located at the Rancho Cucamonga Branch and a designee of City's City Hanager. ri p 5. County shall and hereby does agree to indemnify City and City's elected officals, officers, employees and agents and agrees to save and hold each of them harmless from any and all claims, actions, causes of action and damages, including court costs and attorneys' fees related thereto, in any way trising out of or connected with the operation and maintenance of the rancho Cucamonga Branch to the maximum extent permitted by law WHEREFORE, the parties hereto have entered into this Agreement as of the dates set forth helow opposite tna came of each such party b" COUNTY OF SAN BERNARDINO CITY OF RANCHO CUCAMONGA ► r54b /CdpOgfrOn, [OmOnY,IFJ Chairmen, Board o Supervisors By!' Dated _ ramnor ne spn.mr.p Dotud ATTESTED Title 1N•YOR Clerk of the Board of upervisor, Addren Iloeravq ., to L.Yr .Olrn NF..MO., to I.M1 lTntlx •<1�6r R.wM. /IntYMLY,.na C W my favnNl .p.MY ♦MTbNtr.,ar -CAO 02 12311o00 F.,. 13,80 ap._30r 3 CITY OF RANCHO CUCAMONGA STAFF REPORT DATE: November 16, 1988 TO: City Council and City Manager FROM: Russell H. Maguire, City Engineer BY: Mike Olivier, Senior Civil Engineer SUBJECT: Approval of Proposed Intention to Construct the Alta Lora Storm Drain between Alta Loma Basin No. 3 and Hermosa Avenue within Assessment District 84 -2 and the calling for bids for said storm drain construction, Assessment District No. 84 -2 (Alta Loma Storm Drain) - Bid No. 2, to be funded from Assessment District Drainage Systeo Fund, Account No. 80 -4637 -6028. It is recommended thlt the City Council approve the attached Resolutions for: A) Proposed Intenttion to Construct the Alta Loma Storm Drain which involves a Resolution of Intention of the City Council declaring its intention to order certain changas and modifications in the work in a special Assessment District and setting a Public Hearing. 81 The calling for Bids for Construction of Assessment District No. 84- 2 (Alta Lama Storm Drain) - Bid No. 2. DACKGROUND /A1641I.YSIS• This report presents the Engineer!ng Staff's intent and recommendation for construction of additional storm drain facilities ,4thin assessment District 84 -2, to be funded from remaining assessment revenue. Plans and Specifications have been cimpleted by GPS Consulting Engineers, reviewed by Don Greek and Associates and City staff and approved by the City Engineer. The proposed storm drain will supplement and provide consistency with the City's Master Planned Drainage Facilities. The estimated construction cost is $254,285 without contingencies and the available funds are 5337,000. Legal Advertising Dates: November 22 and 29, 1988; Bid Opening Date: December 7, 1988 at 2:00 p.m., Public Hearing and Award Date: December 21, 1988. See attsched 'Certificate of Assessment Engineer' Respectfully submitted, RHM:MO:pam Attachment (03 CITY OF Arm' l !UCAHOHGA ASSESSMENT P RXCT NO. 86 -2 (ALTA Lon% 1,TCRM DRAIN) CER'TIYICATB or ASsEsmKT EMOINBeR Re0ARD1NO CHAmOes Ano monricanoRs The enderelgned does HERESY CEPTITY under penalty of perjury that the following is all true and correct' 1 That the undersigned wan the Aa3sasmont Engineer -or the original proceedings for a special asaaeament district conducted purem nt to the provisions of the •Hun Lclpal ImproTOment Act of 1913', being DV ision 12 of the Streets and Highways Code of the State of California, said special engagement district being known and designated as ASSESSMENT DISTRICT NO. 80 -2 (ALTA LOMh STORK DRAIN) (hereinafter referred to as the •Aso*3sment District -) 2 As Asesosmant Bagineer' tCo undersigned was responsible for the origtnal spread and apportionment of the original assessments In accordance with the benefits received to all Parcels of property within thi boundaries of the Assovement District. 1 The undersigned has at this time reviewed the proposed changes and nodlfLCaclona to the works of improvement as prtooeed for the Adoeesmsnt Dlstrlct and has made a preliminary spread of the costs and expenses for the proposed work to all parcels and properties that benefit within the boundaries of the Assessment District 4 The undersigned has further reviewed tlla surplus monies remaining at this time In the Improvement Fund following the completion o2 the original works of improvement for the Assessment District. S There Is adequate surplus monies available to accomplish the funding of th, proposed modified work* of improvement for the Assessment District. 6 The spread of the assessments for the modified Work Wouid Impact and benefit all properties within the boundaries of the Assessment Oietrlet, and thus no modlfloation or readjustment of engagements is nocescary at this time. 7 No ASSESSMENTS WILL BE INCREASED BY REASON Or TUC PROPOSED CHANCVS AND MODIFICATIONS /� YV� , Executed [hie �� day of , VCUZAHONGA t �r California see ENT S OF MNCX STATE Or CALIFORNIA RESOLUTION NO. - e 7 7 AASOLVTION OF THE CITY COUNCIL OF THE CITY OF RANCHO CUCAMONGA, CALIFORNIA, DECLARING ITS INTENTION TO ORDER CERTAIN CHANGES AND MODIFICATIONS In THE WORE IN A SPECIAL ASSESSMENT DISTRICT AND SETTING PUBLIC UEARINO WHEREAS, the CITY COJNCIL of the CITY OF RANCHO CUCAHONOA, CALIFORNIA, has previously lnitiatod proceedings and set a public hearing pursuant to the terms and provision@ of the -Municipal Improvement Act of 1913•, being Dlvialon 12 of the Streets and Highways Code of the State of California, for a aasoosmont dtatrict designated an ASSESSMENT DISTRICT N0. 34 -2 (ALTA LONA STORM GRAIN) (hereinafter referred to as the 'Assessment District-)I and, WHEREAS, at this tLme it appears to tnis legislative body that certain changes and modtflcationo are necessary, 44,d that, pursuant to the provisions of Section 10353 of said Streets and HLghways Code, It to naceseary that this legLslative body adopt a Resolution briefly describing the proposed changes and giving notice of a tLme and place for a public hearing whore persona may appear and show cause why said changes should not be ordered$ and. WHEREAS, no aeseesments will be Lncreaaad by reason of the proposed changes and mcftciatlons NOM. THEREFORE, IT IS HEREBY RESOLVED AS POLLOWS, SECTION 1 That the above recitals are all true and correct SECTION 2 That the public interest, convonienco and necousity requires, and It is the Intention of this legiolative body, to order cortaLn changes and modiflcattons in the proceodinge and the works of 1 ,,rovement for this Aseeaement District deetribed ae follows, The construction and Lnntallation of Pddlttonal storm drain facilities and appurtenances to serve all proporties within the boundaries of the epuclal Asoeaament DL@trict. SECTION 3 NOTICE IS HEREBY GIVEN THAT WEDNESDAY, THE 21ST DAY OF DECEMBER, 1988, AT THE HOUR OF 7,30 O CLOCK P.M , IN THE REGULAR. MEETING PLACE OF THE LEGISLATIVE BODY, BEING THE LIONS PARK COMMUNITY CENTER LOCATED AT 9161 BASE LINE ROAD, RANCHO CUCAMONGA, CA, IS THE TIME AND PLACE FIXED FOR JEARIVO ANY PROTESTS OR OBJECTIONS TO Tilt PROPOSED CHANGES AND MODIFICA- TIONS AS PROPOSED TO BE MADE BY THIS RESOLUTION. ANY INTERESTED PERSON NAY APPEAR BEFORE THIS LEGISLATIVE BODY AND SHOW CAUSE WHY SAID CHANCES AND MODIFICATIONS SHOULD NOT BE MADE IN ACCORDANCE WITH SHE PROVISIONS OF THIS RESOLUTION ANY OBJECTIONS MUST BE IN WRITING AND FILED WITH THE CITY CLERK BY ANY INTERESTED PERSON AT ANY TIME NOT LATER THIN+ THE TIME ;ST FOR THE PUBLIC HEARING SECTION 4 The City Clerk is hereby directed to rettify to the adoption of this Resolution and cause a copy to be published once, not leas than ten (30) days prior to the date eat for the Public Nearing. Said publication shall be In the DAILY REPORT, a newspaper designated for legal publica- tions under those p ocsadingo I4P ■ A I) 1. t SECTIONS, Said cbaeges and modifications do not propose any increase In aaseas- mants in tha Assessment District. SECTION 6. These changes and modifications are hereby ordered pursuant to the provi- aione of Chapter 1.5 of Division 12 of the Streets and Highways Code of the State of California, the •Munici, + Improvement Act of 1913•. SECTION 7. Any changes made pursuant to said Chapter shall not release or discharge the natation under any bonds an required under this Division, if applicable. APPROVED and ADOPTED this ATTEST, CITY CLERK CITY OF RANCHO CUCAMONGA STATE OF CALIFORNIA day of MAYOR CITY OF RANCMD CUCAMONGA STATE OF CALIFORNIA 1988. RESOLUTION NO - - CP_7 V RESOLUTION OF THE CITY COUNCIL OF THE CITY OF RANCHO CUCAMONGA, CALIFORNIA, REFERENCING PREVAILING HAGS SCALE AND DIRECTING CALL FOR CONSTRUCTION EIs WHEREAS, the CITY COUNCIL of the CITY OF RANCHO CUCAMONGA, CALIFORNIA, has hereto- fore iretltuted proceedings for changes and modifications to the works of Improve- ment under the yrovislone of the `Municipal Improvement Act of 1913•, being Division 12 of the Streets and Highways Coda of the State of California, for the construction of certain public work@ of improvement in a special neaoesm. -4 district known and designated an ASSESSMENT DI67RICf NO. 84 -2 (ALTA LOMA STORM DRAIN( (harainafter referred to as the 'Assessment District`); and, WHEREAS, at this time there have boon submitted for final review the plans and specl- f;caticns for the changes and modifications to the works of Improvement for the Assessment District; and, WHEREAS, it is the Intention of the legislative body to also call for sealed proposals or bide for the doing of said changes and modifications to the work 2nd improvements In said Assessment District; and, WHEREAS, it is necessary to detarmine the prevailing rate of wages for the various classifications of workman required In the performance of said work NOW, THEREFORE, IT IS HEREBY RESOLVED AS FOLLOWS, SECTION 1 That the above reclta.e are all true and correct. SECTION 2 That the plane and specifications for the changeu and modifications to the works of improvement in the Aesevement District are hereby approved and authorized for bidding. SECTION 3 That It is hereby determined and ascertained that the general prevailing rate of per diam wages in the locality in which said work described is to be perfor. d in the matter of the construction of certain public works of improvement, together with appurtanancev, in the Assessment District, under the provisions of the -Municipal Improvement Act of 1913•, being Division 12 of the Streets and Highways code of the State of California, for each craft or typo of workman or mechanic needed to execute the contract, and also the general prevailing rate for legal holiday and over- time work of each craft or type of workman or mechanic, is in accordance with the schedule obtained from the Director of Industrial Relations, pursuant to the provisions of Section 1773 of the Labor Code of the State of California, and reference is hereby made to copies thereof on file with thu transcript of those proceedings, which said copies are available •o any i•,terested party upon request Further a copy shall be posted at each Jro site during the course of construction. SEC10M 4 That the proposals or bids shall be opened and examinod at a public meeting so called; and said results of the bidding shall be reported at the next regular meeting of this legislaLive body after the opening of the bide / W SECTION S. That the tome and conditions for bidding on the works of lmprovemant for 4° this Assenemant District are as net forth in full in the Did Documents in ;7 the specifications an previously approved. Reference is hereby made to said Sid Documents heretofore approved anu identified ac 'NOTICE INVITING SEALED PROPOSALS, ASSESSMENT DISTRICT NO. 84-2 (ALTA LONA STORY DRAIN) - 010 NO. 2'. For all particulars so to bidding, the Notice Inviting Sealed Propcaale above referenced and 211 incorporated documents and laws, including but not limited to the 'MunlcJPal Improvement Act of 1913', shall control SECTION 6 That it is hereby dotwrminod that in the event the contractor, contract- ing miners Included, does not Lromplate tits work within the time limit specified in the contract or within the time limit as ahall be autho- rized, the contractor or contracting owners, as the cave Play be, shell pay an liquidated damages the amount or amounts an not forth in the spoci- ficatlona for the project, caid amounts barein referenced and no incor- porated That it is impractical to determino the actual dmwgo which will be sustained by reason of such delay, but that the steted sum is a reasonable amount for said liquidated damages and Is not being imporad as a penalty. APPROVED and ADOPTED this day of , 1988 MAYOR CITY OF RANCHO CUCAMONGA STATE OP CALIFORNIA ATTEST, CITY CLERK �1 CITY OF O ACALIO CALIFORNIA 77GA I STATE OF CALIFORNIA E., - CITY OF RANCHO CUCAMONGA STAFF REPORT IDUE: November 16, 1988 TO: Mayor and Members of the City Council PROM: Jerry B. Fulwood, Director of Resource Services BY: Bonnie Cabrinha, Assessment Revenue Analyat SUBJECT: A roval to repay the Reimbursement Agreement Mein t a Alta Loma Charms ap tal Improvement Puna_n e ReserveFund the amount or Nda RECOMMENDATION: Staff recommends that City Council approve the repayment of the Reimbursement Agreement between the Alta Lcma Channel Capital Improvement Fund and the Reserve Fund in the amount of $65,000. nACRGROUND /ANALYSIS: In fiscal year 1986/87 City COLnCil approved a loan between the respective funds to compensate for delinquent assessments within the Alta Loma Channel. The Bond Redemption Fund has sufficient funds to meet the January 2, 1989 debt service schedule and rapay the Capital Improvement Fund the $65,000 due. Re 4 pectfullyy sulbmittteed,'�l erry D. Pulwootl Director of Resource Services JBF:BC:kmm Attachment V I g�,IwuRSrHSxr Acre ..rte. This Raluburseaent Agraement Is betvean the Alta Loss Channel Auarve Fu District's 14 the capital Improvement puad and the Reserve Fund la the aawuet of 046,000. payment will cuamenca What funds become available through the collstelon of dellaqusat aat.^sMetts Within the district. Under so olscunatatve■ will repayment exceed the life of te Bond Issue. S I.uu `�) Done • L. Dtout mayor /D ;t A ra L CITY OF RANCHO CUCAMONGA STAFF REPORT DATE: November 16, 1908 TO: City Council and City Manager FROM: Russell H. Maguire, City Engineer BY: Dave Blevins, Maint. Superintendent SU167ECT: Execution of the Landscape Maintenance Contract for: General Fund Parkways, (various locations); Landscape Maintenance Assessment Districts 1 (City- wide); 3 (Hyssop) and 5 (26th and Hermosa) to Landscape West of Los Angeles, CA for the amount of $219, 480.00, to be funded by General Fund; Landscape Maintenance Assessment Districts 1 (City wide); 3A (Hyssop) and 5 (26th and Hermosa) account numbers 01- 4647 -6028, 40- 4130 -6028 42- 4130 -6028 and 04 -4130 -6020, respectively. RECOMMENDATION: It 1s recommended that the City Council authorize the Mayor and City Clerk to execute the awarded contract for Landscape Maintenance of General Fund Parkways, and Landscape Maintenance Anae.sment Districts 1 (citywide), 3 (Hyssop) and 5 (26th and Hermosa). The contract was awarded to Landscape West Inc., of Los Angeles, CA for the amount of $219,486.00. BACKGROUND /ANALYSIS Per previous Council action, the contract was awarded on Wednesday, November 2, 1998: to Landscape West Inc., for the amount of $219,4,10.00 Respectfully submitted, co: Liz Stoddard, Finance Director Jerry Fuiwood, Res. Services Director q .5 a v DATE% TO: PROM: BY: SUBJECT: CPfY OF RANCHO CUCAMONGA STAFF REPORT November 16, 1908 City Council and City Manager Russell H. Maguire, City Engineer Dave Blevins, Maintenance Superintendent Execution of the Landscape Maintenance Cor Landscape Maintenance Assessment Districts (Victoria) and No. 4 (Terra Vista) to Landscal Inn Angeles, CA for the amount of $203,652.0 funded by Landscape Maintenance ASatesment No. 2 (Victoria and No. 4 (Terra Vista) accour 41 -4130 -6028 and 43 -4130 -6028, respectively. It is roccmmended that the City Council authnrize the City Clerk to execute the awarded contract an subm Landscape Maintenance of Assessment Districts No. 2 (Vic No. 4 (Terra Vista). The contract was awarded to Landsc Inc. of Los Angeles for the amount of $203,652,0L. BACKGROUND /ANALYSIS Per previous Council action, the contract was awarded on Wednesday, November 2, 1930, to Landscape We-it, Inc. for the amount of $203,652.00. Respectfully submitted, RHH:JB:la���� cc; Liz Stoddard, Finance Director Jerry Fulwood, Res. Services Director VA CITY OF RANCHO CUCAMONGA STAFF REPORT DATE: k4ov&Qber 16, 1986 TO: City Council and City Manager FROM: Russell M. Maguire, City .ngineer BY: Mik Olivier, Senior Civil Engineer SUBJECT: SApproial and Agreement twith John Cutleraand As ociates,olaasi tr perform relocation services for Aran Route Widening from Archibald to byaS7C000 to 88-SI. their coonntract total to $41,000 to be paid from project funds 22- 4637 -1618. RECO"WOATIOM: Approval and execution of Contract Change Order No. 1 for Professional Services Agreement with John Cutler and Associates to per4orm relocation services for Arrow Route Widening, Phase II from Archibald Avenue to Mer%0sa bringetfe.ir contract totalstoC�.000 to bbeFpaidifr= Account No.f22-44663t7 -- 8618. BACKWOI410 /AWLTSIS The firm of John Cutler and Associates was engaged by the City to represent the City in negotiations for the acquisition of deficient right -of -way dedication along the south side of Arrow Route between Archibald Avenue and Hermosa Avenue where several occupied structures will either require relocation or demolition. During the recent progress of negotiations, an error in provided. LhTheifire contract was noted Cutler that relocation inedwaesub- consultant provide ine City o wtthhi a acapleter ontracoted mentioned for This will needed negotiations an; relocations. Respectfully subo,itted, RHM:JLM:pam �5 Y I x CITY OF RMCIIO CUCAAIONGA STAFF REPORT DMTE: November 16, 1988 70: Mayor and Members of the City Council FROM: Brad Butler, City Planner BY: Richard L. Alcorn SUBJECT: RELEASE OF CASH DEPOSIT RECOMMENDATION• Wor% for the following 'tracts has been completed and the cash epos in Vie total amount of S5,OOO.D0 are hereby recotwended by the Planning %vision to be released to: ti AMOUNT OF TRACT 110. DEPOSIT PURPOSE DEVELOPER :3059 $2.500.69 Model Home Sales Republic Development Office 13022 $2,500.00 Model Home Sales Narmiigton Pomes Office Aoily ted, yin n City mane BB ns ORDINANCE NO. 358 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF RANCHO 01CAMNGA. CALIFORNIA, APPROVING SIGN ORDINANCE AHENMMffirr 88-01. AMENDING TITLE 14 OF THE RANCHO WC.IMONGA MONICIPAL O)DE TO MODIFY RWULA17CNS FOR NEON AND WINDOW SIGNS AND ADDING PROVIOION FOR TEHFORARY SIGNS FOR CITY S1ONSOR® SPECIAL EVFMS The City Council of the City of Rancho Curaonga does hereby ordain as Pollowa: SECUON 1: Section 14.08.030 of Chapter 14.08 is amenda•i to read as follows, in roris and graphics: 14.08.030 Area- of Sign. -At" of sign" shall be computed by including thentire area within a single, continuous, rectilinear perimeter of not more than eight straight lines, or a circle or an ellipse, enclosing the vrtrerae limits of the writing, representation, mblem, or othor display, togathar with auy material or colo-- forming an integral part of the background of the .Misplay or used to differentiate the sign from the backdrop of atrutture against which it is placid, but not including any supporticC framework or bracing that is clearly incidental to the display itself. I" the case of a two-sided, multi- sided, or three dimensional sign, the area cball :s computed as including the maximum single display surface which is visible from say grou^d position at ona time. \ 4Ya A.w��y WDIYONI4L LLTFts /MIN �1Cai/J� 6sueswa Kan�Yr qzP DfD1VD)UAL LLTPLa miaw v/e a,.. 1,3 yt • Cwtlssws /s:leey `a BON WITH NACCO /OUND Wssn ywlarW UOCermining Siga Areas 6- ".- Ordiaa3ce No. 356 Page 2 SECTION 2: Section 14.08.380 of Chapter 14.08 is amended to tend as follows: 14.08.030 Wind 9-V Sign. -Wiodw alp" manna a sign painted, attached, glued, or otherwise afflsod to a window or located within three feet of the interior side of the window or otherwise easily visible from the exterior of the building. SECTION 31 Section 14.20470 of Chapter 14.20 is amended to read as follwat 14.20.070 Neon Sins - Exterior. Neon tubing may be pormitted as a sign material in arterior monrmant signs and well signs subject to the following provinionot A. Permitted only in the vote intense commalcial xon*67 - Community Commercial - Regional Related Commercial - Regional Commercial B. Exposed tubing is prohibited. Noon tubing shall be fully enclosed in a metal free* and covered with plaxiglass. C. Within shopping centers, neon signs may be allowed only as part of a Uniform Sign Program. D. Such sips shall be Iimited to business identification only, and may include graphic symbols. SECfION_4_1 Section 14.20.071 is added to Chapter 14.20 to recd as follows: 14.20.071 Neon Sins-I Interior. Neon tubing may be permitted as a sign material for interior window signs subject to the following provisional A. Permitted in commercial zones only. D. No more than two noon window signs shall be permitted Pot business. C. Generic name mentages shall not exceed two square feet. A combination of graphic symbols and generic names may be used{ however, the total combined sign urea shall not exceed four square feet. D. Ramer shall be limited to generic messages, such as "OPdNs or "PIZZA". No prodcct advortising or business identification is allowed except in the form of a graphic symbol. ■ Ordinance No. 358 Page 3 ( SECTION 5t Subsection Q is added to Section 14.16.010 to rand as ( followaI Q. Temporary window signs shall be permitted for any business in a commercial zone, and for commercial type race in industrial or office zones when approved as part of a Uniform Sign Program. subject to the following criteria: 1. Limited to temporary mezmgue such as sales. No business identification is permitted. 2. H--4 um sign area shall be up to 30 percent of the window area, not to exceed 150 square feat. 3. The placement of the sign shall be located on the first floor only on multi -stury buildings, and shall not exceed 20 fast in height above finished grade on one -otory buildings. 4. No temporary viadov sign shall be displayed continously for mure than 30 days. 5. raper signs which advertise "wetd:ly specials ", and vimilar signs which are rotated on a regvlar basis, shall bava a fastening device for a more permanent look. Window signs of f lied with tape are discouraged. SECfIT 6: Section 14.08.215 is added to Chapter 14.08 to read an fellow¢: 14.08.215 Neon S33n. 'Neon sign" means any glans tube lighting in which a gas and phosphors are used in combination to create a colored sign. SECTION 7t Section 14.20.080 of Chapter !4.20 is amended to read as follower 14.20.080 Permitted gigne - Residential Zones. The following sig�z my be permitted in the residential zones subject to the provisions listed: (Chart rmniea unchanged) SECTION_8: Section 14.20.100 of Chapter 14.20 is amended to read as follwa: 14.20.100 Permitted 31gns__Commercial and Office Zones. The following signs =BY-97i mit;F1a the comarcial and office zones subject to the provisions listedt (see revived cbart attached) / / Orduanca No. 358 Page 4 SECTION 9: Section 14.20.110 of Chapter 14.20 is amended to read as follows: 14.20.110 Parmit.ed Signs — Industrial Zones. The following signs may be permitted in the induatrial zones subject to the provisions listed: (Chart remains unchanged) SECTION 30: Section 14.24.090 is added to Chapter 14.24 to read as follwa: 14.24.090 Sign Color. Sign colors should be compatible with the building a itecture. Ni.thin shopping centers. sign color should compliment the color scheme for the center. The use of garish or ficureacent colors is considered inappropriate. SECTION 11: Section 14.08.775 is added to Chapter 14.08 to read as follows: 14.08.375 Window Area. "Window Ares' shall be computed by calculating wacb window pane or panel. The area shall be separate for each Lullding face. and for each window. A group of wind" pause or panels may be considered one wind" if they are adjoining on the building face and are Iona than six (6) inches apart. SECTION 12: '_his Council finds that this amendment will not adversely affect the ewiro:ment and hereby issues a Negative Declaration. SECTI011 13: The Mayor shall sign this Ordinance and the City Clark shall csuas the acme to be publisbed within fifteen (35) days after its passage at least once in The Dally Roport, a newspaper of general circulation published in the City of Ontatio, California, and circulated in the City of Rancho Cucamonga, California. Ordinance No. m Page /) £• 2, gar, 1811 1 §�#� \| : � \ , §I |dt ! �t! ■ ' f & . #! r !� \- \\ •� �` t df { \� ;! § • - |f!| �� !§ |��; §§ ■ \g! t |; g# »h |� is | | q' - �' \$ ! |\ /I §� \�| /) ■ a - j i y all 11tig 41 Pills M 1113 11 1 �YY Jg d d 7 6 g {. 9 efaa eie *ON GDUWUTP20 fil- � W pp-ii'�fETj C F€ 3 t uEiJf 9 efaa eie *ON GDUWUTP20 ordinance No. m _e7 � •, �! !� . ■ � �� ����� � � | , ff ! \ fill !� • � |. © / �A � �§ � f ass a ■ �\ /� r ff DATE: TO: FROM: I BY +� SUBJECT: i CITY OF RANCHO CUCAMONGA STAFF REPORT November 16, 1988 Mayor and Members of the City Council Brad Buller, City Planner Scott Murphy, Associate Planner Ina located west of Etiwanda Avenue, between Highland Avenues - APH: 225- 161 -35, 36, 37, 61 and 225 - 171 -01, 09, 10, 17. ENVIRONMENTAL ASSESSMENT AND TENTATIVE TRACT 13812 - PDL3 - ppdenti ea d ann ng oaw ss on s ec son aping a resial subdivision of 154 single family lots an 71.33 acres of land in the Very Low Residential District (1 -2 dwelling units per acre) of the Etiwanda Specific Plan and the Low Residential General Plan Designation (2 -4 dwelling units per acre), located west of Etiwanda Avenue, between Sumi, and Highland Avenues - APN: 225- 161 -35, 36, 37, 38, 49, 5.., 55, 61 and 225 -171- 01, 09, 10, 17. I. RECOMMENDATION: Staff recd mends that these items be continued to e ece er , 1988 City Council meeting. Ii. BACKGROUND: On October 5, 1988, the City Council conducted a Qu�lic rhearing to receive input on two appeals -- the location of F' Street in relation to an existing home and the amount of dedication required for 'C' Street including the construction of a block wall on the south side of 'C' Street. After concluding the public hearing, the City Council referred the items to the Planning Commission for additional review and, if necessary, the appeals could be bruwght back to the City Council on November 16, 1988 if the appellan•s were not satisfied with the Commissions decision. 52- CITY CO:INCiL STAFF REPORT YA88 -16, TT 13812 - PULSAR November 16, 1988 Page 2 III. 'RA.SYS• On November 9, 1988, the Planning Commission reviewed and b- gp-r—T revisions to the tentative tract sap subJect to certain ' conditions. At the time of this staff report prepara1on, it was i' not `nown whether the appellants wished to pursue their appeal with the C:y Council. Therefore, staff recommends that this item be continued to the December 7, 1988 meeting to allow staff to :ontact the appellants to detergine if they wish the Council to hear the item. If, before the meeting, staff receives letters withdrawing t the appeals, no further actior will be required by the City Council. Re ully s d, < BraltjyjfeV City Planptr 8B:SM:vC M 3 A m I CITY OF RANCHO CUCAMONGA STAFF REPORT DATE: November 16, 1988 TO: City Council and City Manager FROM: Russell H. Maguire, City Engineer BY: Jre Stofa, Jr., Associate Civil Engineer SUBJECT: AN APPEAL OF THE CONDITIONS OF APPROVAL FOR TENTATIVE TRACT a0peal of Six con ons o approva per n n9 to utility undergroundtng, street dedicAlons and improvements, emergency access and storm drain facilities required by the Planning Commission for a residential subdivision of 18 single family lots on 12.88 acres of rand in the Very Low Residential District (1 -2 dwelling units per acre), located Lest of Sapphire Street, south of Almond Street (APH 1061- 091 -03) I. RECOhIENDATION: Staff recommends that the City Council uphold the Planning Commission's decision and deny the appeal request by adopting the attached Resolution. II BACKGROUND: On September 14, 1988, the Planring Commission conditionally approved Tentative Tract 13738 (Exhibit "B "). The applicmnt has appealed six (6) Engineering conditions contained In the approval resolution (Exhibit "CO) as llste n his appeal letter (Exhibit "0 ") The conditions pertain to: 1. Utility undergrounding (Condition 2); 2. Off -site street dedication (Condition 6); 3. Possible condemnation of off -site streat dedications (Condition 6); 4. Emergency Access (Condition 7); S. Storm Drainage channel construction (Condition. 9); end 6 Full width construction of Almond Street (Condition 10). I • V] J, CITY COUNCIL STAFF REPORT TT 13738 - RODINE COMPANY NOYEM6ER 16, 1988 PAGE 2 Items 2, 3 and 6 ( Conditions 5, 6 and 10) are related, therefore will be discussea together. It is noted that no reasons were given for the appeal nor were any objections raised by the Developer at the Pidnning Commission Hearing. III. ANALYSIS: A. Utility Underoroundinq (Exhibit 'E') - Condition 2: 2a. Sapphire Street - The Developer shall pay an in -lieu fee as contribution to the future undergroundirg of the existing overhead utilities along Sapphire Street; and 2b. Almond Street - The Developer shall underground and pay a portion of in -lieu fees as contribution to the future undargrounding of the existing overhead utilities along Almond Street. This condition is consistent with tha current City Policy (Exhibit 'F'). All proposed projects with existing overhead utilities fronting their project or on the opposite side of the street are required to either underground the overhead utilities or pay an in -lieu fee according to current policy. Since this project is adjacent to a utility easement, tho undergrounding was required to be extended along !,mond Street to the first pole beyond the centerline of the utility easement. Tha Developer will be eligible to receive one -half the City adopted cost for undergrounding from future development (redevelopment) as it occurs on the opposite side of the street. 8 Off -site Street Dedications and improvements - Conditions 5, 6 an Condition 10 requires that Almond Street be constructed full width from Henry Street to Sapphire Street (Exhibit 'G'). This portion of almond Street will not only serve this tract but will also serve as the main access for Tract No. 10210 to the northwest and other future development in the area. The City Council and Planning Commission have directed staff to require that streets be constructed full width whenever possible to minim4ze future disruptions to the public. S V CITY COUNCIL STAFF REPORT TT 13738 - ROOINE CGPAN': NOVEMBER 16, 1988 PAGE 3 The developer will be eligible for reimbursement of the cost of the north half of the street from future development as it occurs on the north side of the street. Tract No. 10210 has already recorded; therefore reimburser2nt for that portion of the street should be available almost immediately. Condition 5 requires that the Developer obtain dedications fur the north half of Almond Street in order in construct the full width improvements per Condition It). Condition 6 states that the Developer shall make a good faith effort to obtain the necessary dedications. However, if he is unsuccessful, the City will condemn the right -of -way at the Developer's expense. It is noted that this action will reruire prior approval by the City Council. C Emergency Access - Condition 7: Currently there is an project (Sapphire Stn access route was requ right -of -way extending 'H ). The portion fr center of the adjacent (LABP b LE) is to be co street inclufing curb a width pavement per Cond remaining portion is compacted. Recorded T required to construct 1 may be in place before of this requirement. y one access route available to the t); therefore, a secondary emergency ,ed within tl.e existing Almond Street westerly to Turquoise Avenue (Exhibit m the westerly tract boundar/ to the LA bureau of ftwer and Light Easement strutted as a fully improved half width th d gutter on e south side and 26 foot tion 030, which was not appealed. The only required to be graded and Wt 10210, to the northwest, was also C sA.2e emergency access; therefore it .is tract records, relieving this tract 0. Storm Drainage Channel Construction - Condition 9: The 0eveloper is required to construct the Almond Intercept Master Plan Channel (Exhibit I') for the protection of the proposed project from flood wa•ers. The drairige report, submitted by the Developer's Eny,neer, acknowledges the need for a channel to be constructed along the northwesterly boundary to intercept storm water from the northwest. Traut 10210, to the northwest, was also conditioned to construct the same Master Plan Channel; therefore it may be in place before this tract records, relieving this tract of this requirement It has been City policy to require the installation of Master Plan storm drain facilities whenever some type of storm drain facility is required in the same location as a designated Master Plan facility. This is the case along the r.orthast boundary of this project. The Developer will be eligible rnr reimbursements in accordance with City Ordinance. K- CITY CGUNC ?L STAFF REPORT Ti 13738 - RODINE COMPANY NOVEMBEA 16, 1988 PAGE 4 ii-,- IV. CONCLUSION: �A The requirements, as conditioned by the Planning Comedssion, are y appropriate and reasonable. therefore, the decision of the Planning iy Commission should be upheld by a denial o^ the appeal. Respectfully submitted, 4 -fC4/RH M:JS:Jmb Attachment: Vicinity Map (Exhibit 'A') Tract Nap (Exhibit '6') P.C. Approval Resolution No. 88 -177 (Exhibit 'C') Developer's Request Letter (Exhibit "D') Overhead Utility Nap (Exhibit 'E') Undergrounding olicy Resolution No. 87 -96 (Exhibit 'F') Offslte Dedication (Exhibit 'G') 1 Almond Exhibit • Intercept MasterPl n d (Exhibit 'I') Resolution of Denial P.C. Staff Report 1s. q k 0 � U � EXHAIT -1" RESOLUTION N0. 88 -177 A RESOLUTION OF THE PLANNING COMMISSION OF THE CITE OF RANCHO CUCA40HGA APPROVING TENTATIVE TRACT FUN NO. 13738, AND DESIGN REVIEW THEREOF, LOCATED SOUTh OF ALI4OND AND WEST OF SAPPHIRE IN THE VERY LOW RESIDENTIAL Dlo'TRICT (LESS THAN 2 DWELLING UNITS PER ACRE). APN: 1061 - 091 -o3 A. Recitals. (1) Rodine Companies lac. has filed an application for the approval of Tentative Tr%-t Nap No. 13738 as described in the title of this Resolution. Hereina /ter, to this Resolution, the subject Tentative Tract Nap request is referred to as 'the application -. (it) On the 14th of Septesber, 1988, the Planning Commission of the City of Rancho Cucamonga conducted a duly noticed public hearing on the application and Concluded said hearing on that date. (III) All legal prerequisites to the adoption of this Resolution have occurred. B. Resolution. Now, THEREFORE, it is hereby found, determined and resolved by the Planning Cermission of the City of Rancho Cucamonga as follows: set forthlin theiRec�ls,iPart A. Of thisfResolut Resolution true and correct. 2. Based upon substantial evidence presented to this Commission during the above - referenced public hearing on Ser erber 14, 1988, including written and oral staff reports, together with public testimony, this Commission hereby specifically finds as follows: side of SapphirelStre to southcof Almond Avenue with ea street frontage ontage of 580 feet along Sapphire Street and 455 feet along Almond Avenue and 1s presently vacant, and and designated (b) for HillsidepResident al,nthe propertysto the site site consists of single family residential in the Very Low Residential District, the property to the east is single family residential in the Very Low Residential District, and the property to tl.e west 1s vacant and designated as Los Angeles Bureau of Power ano Light easement. 3. Based upon the substantial evidence presented to this Commission during the above - referenced public hearing and upon the specific findings of facts set forth in paragraph 1 and 2 above, this C*mfssion hereby finds and concludes as follows: T" !3738 &XHId17 C." RESOLUTION N0. 88 -177 TENTATIVE TRACT 13738 - Room September 14, 1988 Page 2 (a) That tentative tract is consistent with the General Plan, Development Code, and specific plans; and (b) The design or improvements of the tentative tract is consistent with the General Plan, Development Code, and specific plans; and (c) The site is Physicaliy suitable for the type of development proposed; and (d) The design of the subdivision is not likely to cause substantial environmental damage and avoidable injury to humans and wildlife or their habitat; and (e) The tentative tract is not likely to cause serious public health problems, and (f) The design of the tentative tract will not conflict with any easement acquired by the public at large, now of record, for access through or use of the property within the proposed subdivision. 4. This been reviewed and considered in rcompliancea with ethe fCali California the Environnmental Quality Act of 1970 and, further, this Commission hereby issues a Negative Declaration. S. Based upon the findings and conclusions set forth in paragraph 1, 2 and 3 above, this Comission hereby approves the application subject to each and every condition set forth below and in the attached Standard Conditions attached hereto and incorporated herein by this reference. Design Review 1. The shape of the window panes on Model 1500 shall be square in shape rather than rectangular. 2 The round vent element shall be provided with more finished details, such as louvers or surrounding trim, on all deviations. 3 The round vent on the rear elevation of Model IOOOA shall be increased in size. 4. The sluare window on the front elevation of Model IWOB, Type 1, shall be changed in shape to be more compatible with window shapes an the three other elevations. pa Mission' ( %132rnand 'Life style Padre tile Brown' colrs shill be omitted: 'Life styleM EitH101i el ( 2 OFS) RESOLUTION No, 88 -177 TENTATIVE TRACT 13738 - RODINE September 14, 1988 Page 3 6. Trea Removal Permit No. 88 -16 is approved subject to replacement tane accordance with le O00 Existing retained shall be accordance wt hWn1pal Code Section 19 08.110. Tentative Tract Nap 1 Pnvlde o drainage acceptance letter authorizing pubic areas to drain onto priva,:e land. 2. Overnead Utilities: a. Sapphire Street - An in -lieu fee as contribution to the future undergrounding of the existing overhead utilities (telecommunications and electrical) on the opposite (east) side of Sapphire Street shall be paid to the City prior to approval of the Final Msp. The fee shall be one -half the City adopted unit amount times the length from the center of Almond Street to the south tract boundary, b. Almond Street - The existing overhead utilities on the project side of Almond Street shall be undergrounded from the first pole on the east side of Sapphire Street to the first pole west of the centerline of the Los Angeles Bureau of Power and Light Easement prior to public improvement acceptance or occupancy, whichever occurs first. For the portion within the utility easement (electrical and telecommunication) the developer may re(luest a reimbursement agreement to receive one -half he City adopted cost for undergrounding freo future development (redevelcpment) as it occurs on the 1ppns1te side of the street For the ortion adjacent to tie tract, an in -iteu fte as utilitiesoonrithe�ooppositee (north side of eeooalmond Street (electrical) shall be paid to the City prior to Final Map approval. The fee shall be one -half the difference between the undergrounding cost of the utilities (electrical) on the opposite side of the street minus those (telecommunications) on the project side times the length from the center of Sapphire Street to the first pole containing both electrical and telecommunication lines west of the west tract boundary. along Almond Street shall be a tcrded ofrom the tract the centerline of the Los Angeles Bureau of Power and Light Easement. 4. All street shall have a centerline crown section. Street tilt sections are not permitted. S. The dedication for the north half (33 feet) of Almond Streegt from Skyline Road to the east side of SaD hire Street shall be obtained 1n accordance with Condition 6 to follow. EXHIBIT d n (? AF.S -) RESOLUTION N0. 89 -177 TENTATIVE TRACT 13738 - RODINE September 14, 1988 Page 4 6. The developer shall make a good faith effort to acquire the required off -site property interest necessary to construct the equored off - site improvements. f the developer should fail to do so, the developer shall, at least 120 days prior to submittal of the final map for approval, enter into an agreement with the City to complete the improvements pursu �, to Government code Section 66462 at such time as the City acquires the pru;;Ity interests required for the Improvements. Such agreement shall provide for Payment by developer of all costs in connection with the subdivision. Security for these casts shall be in the form a} a cash deposit. the That piston. Interest security all beretthheCamounthegivenYeIn an appraisal reportsiobtainederby developer, at developer's cost. The appraiser shall have been approved by the City prior to commencement of the appraisal. 7. An emergency access read per Foothill Fire District's requirements shall be provided along Alrmnd Street to Turquoise Street. street. 8. A sidewalk shall be provided on one side only of the interior constructed from the existing northerly projection of the ea: necessary to provide drainage prc En sneer. The cost of con reimbursements in accordance with or Plan Channel (Line IA) shall be to the southwest extending to a Of Sapphire Street or as otherwise for the Tract as approved by the City 9 the facility is eligible for dlnance No. 75. to 10. Almond Street shall be constructed full widen from Henry Street Of impeovemen ssOf the Anorrtlhhaiff Oftthe street from future development for the cost north side of the street. opment an the of this P.es 6. olut The ion. Secretary to this Commission shall certify to the adoption APPROVED AND ADOPTED THIS 14TH DAY OF SEPTE148ER, 1988. PLANNING COWISSION OF THE CITY OF REIH9URSEHMS IN CUCAmOW,A BY ATl �r CITY OF RANCHO CUCAMONGA MEMORANDUM s�°r�,t,, L DATE: November 16, 1988 UL ` TO: City Council and City Manager FWJM: Russell H. Maguire, City Engineer BY: Joe Stofa Jr., Associate Civil 'engineer SUBJECT: SUPPLEMENTAL WORMNTION FOR THE APPEAL OF THE CONDITIONS OF On November 4, 1988, the attached information packet vas recelYed from the Appellant. DUO to Its late arrival, staff did not have sufficient time to prepare a response for inclusion in the staff report. The information packet is being forwarded to the Council to be considered as part of the Appellant's testimony. It is noted that the information packet refers to several additional conditions which were not listed in the original appeal lrtter. Respectfully submitted, ,6",t p x), lk4ww do t. RNM:JS:ly Attachments: Information Packet �a I RECEIVED Nov 0 1 1.588 CHY OF VxW CM'AMUMCI BEFORE THE CITY COUNCIL OF TH3 E%NEMM 01Y6CaW CITY OF RANCHO CUCAMONGA In re the Application of ) Tentative Tract 13730 RODINE COMPANIES, INC., ) APPEAL FROM DECISION OF PLANNING COMMISSION Applicant. ) Applicant, Rodine Companies, Inc. respectfully appeals from the decision of the Planning Commission to approve the above tenta- tive tract, subject to certain conditions. Specifically, appli- cant appeals from the imposition if conditions 2, 3, 5, 5, 7, 9 and 10, and those Standard Conditions relating to the same subjects. Applicant also appeals from those Standard conditions which are not proper conditions of a subdivision map, or which have been the subject of a finding by the Planning Commission. A copy of the notice of approval is attached hereto as Exhibit A, and a copy of the notice of appeal is attached hereto as Exhibit B. SOMK*LRY Oi CONDI'a IONS AND BASES rOR APPEAL Condition 2 requires providing offsite undargrounding of existing utilities along Almond Street, and paying an in -lieu fee for contribution of for future undargrounding of utilities along Sapphire Street. Applicant contends requiring undargrounding utilities along Sapphire Street for this project only violates California law. In addition, applicant contends that Almond Street west of Sapphire is not a "peripheral street" as defined in the Municipal Code, and the re- quirement of undargrounding is improper. Condition 3 requires the improving of Almond Street from Henry to the center of the DWP utility "easement". Applicant contends that such improvements are not neces- sary for fire access purposes and that the land does not belong to applicant in any case. Condition 5 requires the obtaining and dedication of 33 feet of portions of the north half of Almond Street. Applicant contends tbat such improvements are not necos- 1 q3 nary for fire access purposes and that the land done not belong to applicant in any case. Condition 6 deals with the process for acquiring the proper- ty referred to in Condition 5 and deals with an agreement to be entered into with the City regarding, inter alia, security for improvements. Applicant contends that such property should not be obtained, therefore such condition is moot. Coneition 7 requires.an emergency access road along Almond Street to Turquoise Street. Applicant contends that tho Loothill Aire District has stated such access in not needed, and therefore this condition should not be imposed. Condition 9 requires construction of the Almond Intercept Master Plan Channel. Applicant contends such chU nel is unnecoasary for flood protection of applicants's proposed subdivision. Condition 10 requires construction of Almond at full width from Sapphire Street to the proposed Henry Street. Applicant contends that such improvements are not naces- sary for fire access purposes and that the land does not bolonq to applicant in any case. Standard Conditions A5, G6 and H1 require the connection to the sewer system. Applicant contends that such requirement is probably as oversight, and is unnecessary. These conditions are discussed below, not necessarily in order: DETAILS or nmr.S of APPEAL Basis for Appeal of Condition 7 No Requirement by Foothill Fire Protection District The Foothill Fire Protection District has stated during design review, and has again stated in a letter to applicant 2 qq dated October 5, 1988, that the only access required alt.,g Almond Street is from Henry Street to Sapphire. Please refer to Exhibit C attached hereto and incorporates herein. Accordingly, the condition of approval to provide an fire access road along Almond Street from Henry to Turquoise Streets is unnecessary and the use of the police powers of the City to require such improvements would be improper. The Foothill Fire Protection District has adopted Ordinance No. 10, which adopted the 1985 Uniform Fire Code, wi%.h certain changes. Among the changes adopted were to Section 10 207(e) which changed the minimum width for a fire access road to twenty -six feet. Accordingly, the width of the paving required for fire access of Almond Street from Sap- phire Street to Henry Street is twenty -six feet, or one -half of the street width. This should be the only requirement of paving along Almond Street. On the same basis as above, applicant also appeals from Standard Condition G1. General Plan Open Space and Equestrian Elements The General Plan states the intent of the City with respect to the area of the proposed development: "In the northwestern portion of the City and the unin- corporated areas to the north, the intent is to preserve open space and to ensure that development can accommo- date equestrian activities." General Plan, page 35. Pursuant to this intent, the General Plan has designated the area of the proposed development Very Low Density, and has included proposed community trails and regional trails in the Has•er Plan of Trails near or adjacent to the proposed development. The applicant has been sensitive to this intent, and has included in the site plan access to the community trails through a feeder trail system completely encircling the development site. The existence of an improved street from Henry Street to Turquoise would be inconsistent with the intent of the General Plan, particularly with respect to the equestrian elements As further evidence of this position, neither the Circulation Plan nor the Transit Concept Plan show Almond Street west of Henry Street as an current element or as a proposed right -of -way location. Basis for Appeal of Condition 3 M Condition 3 requires the improving of Almond Street from Henry Street to the center of the DWP utility "easement ". The initial problem with this condition 1s that this land is not owned by applicant. It is not an easement at all, but fee land owned by the City of Los Angeles. See Exhibit D attached hereto and incorporated herain by rolerence In addition, as discussed above, there is no necessity of having this street improved for fire access purposes. Accordingly, this condition should be eliminated as unneces- sary, and the use of the police powers of the, City to re- quire such improvements would be improper. Basis for Appeal of Condition S Condition 5 requires the obtaining and improving of Almond Street from Henry Street to Sapphire Street The initial problem with this conditlon is that this land is not owned by applicant. In addition, as discussed above, there is no necessity of having this street improved for fire access purposes. Accordingly, this condition should be eliminated as unnecessary, and the use oZ the police powers of the City to require such improvements would be improper. Basis for &Uaal of Condition 10 Condition 10 requires the improving of the full width of Almond Street from Henry Street to Sapphire Street. The initial problem with this condition is that this land is not owned by applicant. in addition, as discussed above, there is no necessity of having the north side of this street improved for fire access purposes. Accordingly, this condi- tion should be eliminated as unnecessary, and the use of the police powers of the City to require such improvements would be improper. On the same basis as above and to the extent applicable, applicant also appeals from Standard Conditions K2, KS, L1, L2, L3, L7, and L10. Basis for Appeal of Condition 2 Sapphire Street Dadsrgrounding In 1983, the legislature of California passed into law Government Code Section 65913 2, which states in part: "In exercising its authority to regulate suhdivisions under Division 2 (commencing with Section 66410), a city, county, or city and county shall: (c) Refrain from imposing standards and criteria for puolic improvements including, but not limited to, severs, fire stations, schools, or parks, which exceed the standards and criteria being applied by the city, county, or city and county at that time to its publicly financed improvements located in similarly zoned dis- tricts within that city, county, or city and county." Sapphire Street is not contained within a current utility undergrounding project. On the contrary, pursuant to City Council Resolution 81 -175, the following is the priority list for undergrounding projects un:ng public funds pursuant to Public Utilities Commission Rule 20: Archibald Avenue Foothill Boulevard Haven Avenue Base Lire Road Carnelian Street Nineteenth Street Although a sesrch has been made, applicant cannot find any new City Council resolution changing this priority list to irclude Sapphire Street. Since the existing priority list includes both commercially and residentially zoned areas of the City, it appears clear the mandate of Government Code Section 55913.2 should apply. This means that until Sapphire Street is given priority for undergrounding and an actual undergrounding project is begun (including levying of assessments to all adjacent property owners), that it would be an improper use of the police power to require this applicant to provide for underground- ing of utilities, except within tba actual subdivision. Almond Street Undergrounding For the same reasons as above, applicant asserts that the requiring of undergrounding of Almond Street is also not proper. In addition, applicant asserts the following as a basis for appeal from this condition. Rancho Cucamonga Municipal Code (hereinafter referred to as "Code "), Section 16 36.090 provides in part: "All utilities within the subdivision and along pariph- oral streaks shall be placed underground except those facilities exempted by the Public Utilities Commission regulations " (emphasis added] 9% Section 16.08.180 defines peripheral street as "on existing street whose right -of -way is contiguous to the exterior boundary of the subdivision." [emphasis added] Section 1.04 010 defines street as including all "streets . or other public ways in this city which have been or may hereafter ba dedicated and open to public use ..." [emphasis added] Almond Street west of Sapphire Street is not an existing, dedicated street. •In order to accommodate the Fire District requirements, the applicant will offer to dedicate the northern portion of its property for a ?ublic street from Sapphire Street to the proposed Henry Street, and improve to half - street standards. However, since there is no dedication of Almond Street west of Henry Street along either the north or south side, or along the north side west of Sapphire Street, such land does not constitute a "street ", according to Code. It is clear that such areas are not areas covered by the undergrounding ordinance, since they are not "streets ". Accordingly, it would be an improper use of the police powers of the City to require the undergrounding of utilitica in these areas Even assuming that Almond Street were a dedicated street, it would not be proper to require undergrounding, except where such existing street is actually contiguous to applicant's property, to be consistent Code Sections 16.36.090 and 16.08.180 On the same basis as above and to the extent applicable, applicant also appeals from Standard Conditions N1 and N2. Basis for Appeal of Standard Conditions J.6. C6 and N1 Although the imposition of these conditions is possibly an oversight, these conditions are appealed from to the extent that a sanitary sewer hookup is required. The proposed development contains lots in excess of 20,000 square feet and the use of septic tanks is authorized by Code. Basis for A eat of Condition y, Construction of the Almond Intercept Master Plan Channel This condition requires the applicant to construct. approxi- ",zitely 1,800 feet of concrete flood control channel on property not belonging to applicant. if built by applicant, W it would cost approximately $600, or $33,333 for each of ' the 18 homes fer which applicant is seeking approval. This channel is not necessary, and the requirement that this alicant build imp c roper use of the potters of channel would be an the City. conditi i 6 on of asubdivisi h on protecting ting downstreamproperty, as follows: "Storm -water runoff from the subdivision shall be col- lected and conveyed by an approved storm drain system. The storm drain system shall be designed for ultimate development of the watershed. The storm drain system shall provide for the protection of abutting and off - site properties that would be adversely affected by any increase in runoff attributed to the development; Off e site storm drain improvements may be requirer Y chic requirement." [emphasis added] It is clear that this section, and common senile, relates to runoff from the subdivision. Applicant's drainage plan for deali,q with the subdivision's runoff has not been disap- proved by the City Engineer. Immediately to the north and upstrea=ovnd by applicant's City in proposed subdivision is Tract 10210, app 1981 Among the zondicions of approval of tract 10210 is precisely the same condition -- that the Almond Intercept Master Plan Channel be built. That condition is logical, and conistent protectsdownstresmhproperties. IC 6.a 0 a logical impossibili- ty that such a channel could be a proper requirement under Code Section 16.36.060 for both upstream and downstream subdivisions The only conclusion is that the channel it only necessary if an upstream subdivision is built -- and applicant's subdivision is downstream. The City Engineer may argue that the condition imposed relates to at ere subdivision upstream flood waters d is therefore necessary However, the facts are contrary. to and as its title eimplies, deals Flood witha mera Preven- tion, •ures to orevent flood damage and injury. The definition of which lands within the City are "Areas of Special Flood Hazard" is found at Code Section 19.12.050: which adopts 9nA incorporates the "Flood Insurance Study o, qI the City of Rancho Cucamonga" which is prepared by the Federal Emergency Management Agency, Such study, along wiLn the _urrent Flood Insurance Rate Map, was adopted and ap- proved as the basis for determining flood hazards. The area of applicant's proposed subdivision is shown on the Flood Insurance Rate Map as being in Zone C, areas of mini- mal flocding. A portion of this map is attached at Exhibit E and herein incorporated by reference. The General Plan discuyaes the flood hazards within the City. General Plan £igu.r V -5 shows areas of the 100 -year flood hazard for both a one loot and two foot depth. The area of applicant's proposed subdivision is not within Any flood hazard area, according co the General Plan. Additionally, in the Negative Cvclaratlon, the City Plrnner and Planning Commission have admitted that the channel is not necessary, by their determination that the project will .eve no significant impact on the environment, even without any mitigation muasurea, and no mitigation measures are listed. Accordingly, since there is no hazard from floods flowing onto the proposed subdivision, and no hazard from the subdi- vision to downstream property, then is not necessary to require this applicant to ouild the channel. On the same basis as above and to the extent applicable, applicant also appeals from Standard Conditions M5 and M7 Constitutional Ground for A peal In addition to all the above bases for appeal the condi- tions should not be imponad, since they are in violation of the constitutional rights cf applicant. The estimated cost of undergrounding utilities, building a mile -long access road, installing a sewer, acquiring !and from an adjacent landowner, and building a storm drain across lands not owned by the applicant is in excess of one and one -half million dollars. This is not hillside proper- ty, but relatively flat land, which was previously occupied by a single family residence and a small orchard. If vppli- cant builds these improvements, then the price of each of the 10 homes will increase by over 083,000 each These homes would compare to similar ones in the neighborhood worth 5201,u00 to $225,000, but the prices would have to be in- creased by this 88310001 which is a 376 to 411 increase. Obviously, at these prices, such homes would be unmarke:.a- /'D D ble Effectively, applicant is being unconstitutionally denied the economically viable use of its property. S s ggyato a Aituminous Coal Associatl1 V V.S. , 107 S. Ct. 1232. (1987)1 Vtrst tnaliah Evanae cal LutT,-r, Church of Glendale vi county g_f, Loa Anoeleei (1987) _ U.S. __, 107 S. Ct. 2378. Respectfully submitted, Rodine Companies, Inc Applicant by: i�W November 2, 1988 Awn P. Donne y, Esq. General Counsel /D/ r ' CITY OF RANCHO CUCAh1ONOA September 16, 1988 rw, om. aw W. mw cw.. bw,r, 11130.01,19 l 1011 ROOIIIE COMPANIES, INC. 147 E. Olive Street Monrovia, CA 91016 SUBJCCT: ENVIRONMENTAL ASSESSMENT AND TENTATIVE TRACT 17738 Gentlemen: The Planning commission approved the above- described project at their meeting of September 14, 1988. Attached are copies of all documents pertinent to that approval. The decision of the Planning Commission 1s final following a ten (10) day appeal period which began with the date of the hearing. Appeals must be filed in writing to the City clerk, state the reason for the appeal, and be accompanied by a $126 filing fee. Please review aqy conditions relative to utility undergroundin7 required in conjunction with your project. Where undergrounding is a condition of approval, sible too avoid should asteblish contact ill processing your project. utilities as any as questions, please contact the Plan Check Section of the Engineering Division. As approvals Please your ote thateconditl approved mayspecifytcompletionnof certalnsplans or work prior to the issuance of building permits, final map recordation, or occupancy complet on of youriproject. ifc you ishould have any to questions concerning specific conditions, please contact the appropriate department. If you have any questions, please feel free to call our office at any time. Sincerely, COMMUNITY DEVELOPMENT DEPARTMENT PLANNING DIVISION li G�Sanc Planning Commission Secretary I GS-.9s Attachments � ba ,.. n ,1.,.. hhmlb N. a.o.. C. +,m,r w.l Dmn;,L3,ml Q.An).bm"11 Pwe1,1.WA04 r.. w.-.- I�rrm M. W,uelm.n , `e k CITY OF RANCHO CJCPMHGA NOTICE OF DETERMINATION TO: County Clerk County of San Bernardino 385 N. Arrowhead, Sth Floor San Bernardino, CA 92415 FROM: City of Rancho Cucamonga Planning Division P.O. Box 807 Rancho Cucamonga, CA 91730 SUBJECT: Filing of Notice of Determination in compliance with Section 21108 or 21152 of the Public Resources Code. PROJECT TITLE: ENVIRONMENTAL ASSESSMENT AND TENTATIVE TRACT 13736 - 1i007N1'Ct41R MS, INC. STATE CLEARINGHOUSE NUMBER: N/A PROJECT LOCATION: Nest of Sapphire, south of Almond - APN: 1061 - 091 -03 PROJECT DESCRIPTION: A residential subdivision of 18 single family lots on acres or land in the very Low Residential Of strict (1-2 dwelling units per acre). Associated with the Project is Tree Removal Permit 38 -I6. This is to advise that :he City of Rancho Cucamonga has approved the above described project: 1. The project will, x will not, have a significant effect on the environment. 2. An Environmental Impact Report was prepared for this project pursuant to the provisions of CEQA. X A Negative Declaration was prepared for this project pursuant to the provisions of CEQA. The EIR or Negative Declaration and record of project app royal may be examined at: City of Rancho Cucamonga, 9320 Base Line Road, Rancho Cucamonga, California. 3. Mitigation measures were, x ware not, made a condition of the approval of the piroect. 4 A statement of overriding considerations was, x way not, adopted for this project. Date: September 14, 1980 ursa vuller /b3 Cit Planner e CITY OF RANCHO CUCAMONGA NEGATIVE DECLARATIO,i 1. Brief Description of Project: of'Tand to the Very Low acre), located west of I Associated with the pro,) 2. Name and Address of Applicant: Rodine Companies, Inc. 147 E. Olive Street Monrovia, CA 91016 3. Pursuant to the provisions of the California Environmental Quality Act of 1970, the City of Rancho Cucamonga has determined that the above project will not have a significart effect upon the environment. An Environmental Impact Report will not be required. 4. Minutes of such decision and the Initial Study prepared by the City of Rancho Cucamonga are on file in the Planning Division of the City of Rancho Cucamonga. 5. This decision nay be appealed to the City Council of the City of Rancho Cucamonga. A written appeal and filing fee must be received by the Planning D1v'e'vn no later than 5:D0 p.m. ten (10) caienddr days from the date of the r ning CoEsion decision. 6. This Negative Declaration is subject to the lnplementatiml of mitigating measures (if any) as listed on the attachments. DATED September 14, 1988 �• ' ) 1111 '7:'Jue ry 1. McHiel Planning Commission Chairman '— —Titre �b� IF©(DiMl Fire i PROTECTION DISTRICT P.O, BOX 33 • 6647 AMETHYST ST. • RANCHO CUCAMONGA 91701 (7141947.7533 October 6, 1988 Ms. Dorothy O. 1-14M, Project Coordinator Recons Companies, Incorporated 147 East Olive Street Monrovia, CA 91016 HE: TRACT 13739 Dear Ms. Halpht: As discussed In our mee9rt0 this date. Sts access shown on this plans (oopy enclosed) for the abovenoted tract will be acaptaWa. The plans Wow two Separate wW dM1WtcC points of Ingresye0recs to a paved public street (Sapphire Street). One acoeca point Is Bella Vista to Sapphire. The second point. Henry Street nodh to Almond, then east to Sapphire, wul be acceptable if Almond Street from Henry Street to Sapphire is paved. If you have any questions, please do not hesitate to contact me. Sincerely, Vera A. Arthur Fire Prevention Inspector Enclosure Yom— _ :1r 1 September 23, 1988 City Clerk City o! Rancho Cncasonga Post Office sox 807 Rancho Cucamonga, C*litcrnia 97.730 r*: Tentative Tract Map 13738 Dear City Clerk: Coodin* Companies' ' Inc' has received notice that the Planning conditions 1 through 10 0.' planning Tentative 13738, subject to NO are concerned with Conditioaa�issioa Resolution 88 -177. Accordingly, we rrspeottully appeal iron s• 60 7, 9 and 10. Planning Coecisrioa with regard to these conditio decision °= the Sincerely, Rodine Companies, Inc. by: n - II' I P. Conn* y General Counsel 147 east olive street , monrovia, ca 91016 . 818.303.7771 • fax 618.358.8328 -Ara LOCA, w OF EaalIMF DYClN Eio uric � cz� LP pU t UGH f 90 F N B�SF,rA scar: Zv f ' CITY OF TL,VTAT /Yf T,CKT W /5;,V f ,V � 07NlR lLLCT�f/CAL Ti�f�o..vy�uicwn�ry • � Sugv,�T Rxf 1 1 r � 1 VV or 1 Z CUCAMONGA X Ti tG Dn7XoN EXEUM �� n �b RESOLUTIOi M0. 87 -96 A RESOLUTION OF THE PLANNING COMMISSION OF THE CITY OF RANCHO CUCAMONGA ESTA9L._ ING A REVISED POLICY FOR THE LINDERGROINDING OF E %ISTING OVERHEAD UTILITIES AND REPEALING RESOLUTION NO. 86 -77 wishes to WHEREAS, Resolution iNo.C86- 77swhich wash City of Rancho odCucamonga t May, 1986 and establish the revised policy contained herein; wishes toWremove, unsightly existing overhead tiilty liinesoin orderoto promote a more aesthetic and desirable working and living environment within the City; and WHEREAS, It is necessary to establish A policy to inform property owners and developers of the City goal. except those contained in be 7 and aanyeothers Spedcifically waived by the overhead utility ilinesshall incl udingrtheersemoval for of the related isupportingiDoles adjacent to and within the limits of a development as follows: 1. Lines on the protect side of the street *: a. Said lines shall be undergrounded at the developer's expense. b. In those circumstances where the Planning Commission decides that undergrounding is impractical at present for such reasons as a short length of undergrounding (less than 300 feet and not undergrounded disruption to existing Improvements, services to other all payran 1n -lieu fee for the full amount per Section 6. c The Developer shall be eligible for reimbursement of one -half the cost of undergrounding from future developments as they occur on the opposite side of the street. 2. Lines on the o oostte side of the street •rm the ro ec:: The Developer s a pay a ee o e y or one- a amen . per 5ection 6. 3 Lines an both sides of the street: The Loper shall Imply with So that he bears as total expense egulvalent to one- half of or undergrounding the lines an both sides of the street. 4. Pole lines containen 66KV or larger elect�rcal lines• All lines shall be un ergroun a or n -, eu ees pa n accorZnce w section 1, 2 or 3, above, except for 66 KV or larger electrical lines. �a 8 CXMIOUT'F" W F '1 5. Lialts of Respons1b1T1ttes• a. In -lieu fees shall be based upon the length of the developed from property line to property line (the center mfr Ariacent streets for corner properties). b UnJergrounding shall include the entire the first existing Pro..ert front aye and extend A to: (1) g polo off -Site from the project dste n" (across the street for corner properties), (2) a n pole erecteecte a a d at is project boundary (across the street for corner properties), or (3) an Y existing pole within 5 feet of a Project boundary, except MI a corner. 6. Fee Amount: The amount for in -lieu fats shall equal the length (per unit 3ecTlon bytthe utility companies the and as updated periodically as deemed necessary. a' 7. Exam y Po con_s: The following types of projects shall be exempt from this 1i t. a. The addition of functional equipment to existing developments, such as: loading docks, Silas, satellite dishes, antennas, water tanks, air conditioners, tooting towers, enclosure of an outdoor storage area, Parking and loading areas, block walls .and fences, etc. b. Building additions or new free standing buildings of less than 25% of the floor area of the existing buildings) on the sane assessor's parcel, or 5,000 square feet, whichever is less. c. Exterior upgrading or repair of existing developments, such as: reroofing, addition of trellis, awnings, landscaping, equipment screening, repainting and exterior finishes, etc. d. Interior tenant improvements and non - construction CUPS. e. The construction of a single family residence on an existing parcel. f. Existing overhead utility lines located in trails, alleys, and ttility easements with a heavy concentration of services to adjacent developments, and the utility lines are 500' or more from the right of way line of a Special Boulevard. g. Residential subdivisions of four or fewer single family residential Parcels. where the utility lines extend at least 600' offsite from both the project boundaries and the adjacent property is not likely to contribute to future undergrounding. • All references to streets shall also mean alleys, railroad or channel rights -of -way, etc. EXHf01TOF„ S 71 APPAOYED AND ADOPTED THIS 10th DAY OF JUNE 1987. PLANNING CO 1ISI1N 'IV THE CITY OF RANCHU CUCAMONGA s4/ n I, Brad Bullar, Canty Secretary of the Planning Comission of the City of Rancho Cucaaonga, do hereby certify that the foregoing Resolution was duly and regularly introduced. Passed, and adopted by the PSanning Ccaiisston of the City of P,anchO Cuc~ga, at a regular meting of the Planning is i on o held on the 10 day of June, 1907, by the following votato -wit; AYES: COMMISSIONERS: EMERICK, CHITIEA, WITEL NOES: COMMISSIONERS: TOLSTOY ABSENT: COMMISSIONERS: NONE ABSTAIN': COMMISSIONERS: DLAKESLEY 1/0 ExHioir "F" I n 1 � , I 1 1 � I 0 I a 1 1 w ; I vl I m I �^ w W �I �� 1 D y I � T C� D j �� IOt I p VC �FP 71 �k !� d `= w � tin. _- a . 2RR :)U . lot = |l� tI° ■ si 44 = @ , t W-W \ ,£ ih R� .� .ate !B § \, @] _ p|! p q %J'\ §' | &� nr _` &! & #5 �. .@ z!•I r � ! \ | |� 2§ | & 2 S � K § E /I| IL `| �! |! ` it ■ | # � § E it |! ; « s ! | � k �|• . 2RR :)U . lot = |l� tI° ■ si 44 = @ , t W-W \ ,£ ih R� .� .ate !B § \, @] _ p|! p q %J'\ §' | &� nr _` &! & #5 �. .@ z!•I r � ! \ | |� 2§ | & 2 S � K § YE� r , s� n�Fs! 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III = if iF scl.. ca 3c, s' q rcF f - fs Rill 11 F ;� is s !; cse -sFes i s 1Y tt F J is cr1� i i, 1; a r c_et 1 if =s !i' -_`s F z• rF_r f ': !f is qs i #Fq i :3R js i i aY1= j 1F F F f° gt �re3q er�q ra�5 i i ?t fF tv r r= %'g r°1sq cFg ffif - a ?e FIR � �if 3 sit aF L L yy" f ff q 311g! � 1=1 w ci 1 eez� I IIlI II�_l ;. rr�1c 6 g e1s ^'sa r., g .3 srsslF? BF c ?z F1gF � = q� r c c c r= -� x EFF�e11 5gf3 ae �f�e� s }Rfle f r$ I 3 qq�g � i WIN: 11 VqY eP cs-$ PC 2 xz Fc 16 vi ' a i 3x ; F e 'as eFgy r f P qsF m 0 W to 2< g \�) lit- -1g, |J � !" b! � Ell i;i Y . |_ if k £ :I Sri teIF! |9 �!!�| !n� its ( � I aft 9 a! t �q lit @ .: % || •° ! J | # g \ H, a «lmRr- ■: j / A |t El / IT \ 4 # &! § • \� \ |q| . § / rn � / � !/ ƒF, E/ I �E! / !jai 8 / r| | § | m ;& �� � ��! # \\ �. _ .F !E ? r ly f | / ■ rk |!' M P #; P jIt |� 5.-T! RU § :I h| | I.. t � q| �\ it f\|| t 12e/ � & | ffi _ •r' £/� |!� \ C _ i : I � �!9 \P : |� & !� q� ! L2 � !� 9 , V | 77 .i !R .� � |2 !! jP1 � Fir � ts it § E ■ � 7�! E fir , f ! , � & | ffi _ •r' £/� |!� \ C _ i : I � �!9 \P : |� & !� q� ! L2 � !� 9 , V | 77 .i !R .� � |2 !! jP1 � Fir � ts it § E ■ I e public hearing was closed. Mot Moved by Emerick. seconded by Blakesley, to adopt the Resol aDDrov 9 Environrental Assessment and Cnnditional Use Permit 88 -34. h carried the following vote: / AYES ISSIGNERS: BLAKESLEY, CHITIEA, EMERICK, MCNIEL, TOj�S'T01 NOES: CON.M IONERS: NONE ABSENT: COMMISSI K MODIFICocMaFOCATIOCC N TO median -sand within Terra f(sta of land into 3 parcels in thb the southeast cornoe of Churc1 1„77- 421 -06, 1077- 091.17. Joe Stoffa, Associate Civil Engineer Chairman McNiel opened the public Ken Nishihawa, Lewis Homes, s ted strip as was deleted on the revious landscaping -ca MAP 989.' - WESTERN royal— requi vision ring a ion of 17.08 acres ccmunity, located on Vista Parkway - APN: the staff report. armng this deletion ferred to the same median application bec se there was no room for There being no further coaments, the public hearing was cl ed. Notion: Moved Tolstoy, seconded by Chitlea to adopt \T-- lution approving the dification to Conditions of Apprnvat for P 9897. Motion carne y the following vote AYES- COMMISSIONERS: BLAKESLEY, CHITIEA. EMERICK, R'.CN NOES: COMMISSIONERS: NONE A NT: COMMISSIONERS: - Barrie ! • t 1 f L. ENVIRONMENTAL ASSE55MEN1 AND ]MAIM INA:1 1C /aa - oFF —land in the Very Low Residential District (1 -2 dwell,ng uniCS per acre), located west of Sapphire, south of Almond - APN: 1061 - 091 -03 Associated with the project is Tree Removal Permit 88 -16. Beverly Nissen, Assistant Planner presented the staff report. Planning Commission Minutes -12- ' September 14, 1988 �a I Commissioner Chitiea asked for clarification on which three color samples were to be used. Ms. Nissen indicated the color;. Chairman McNiel opened the public hearing. Oorothy Haight, Project Coordinator for Rodine Company, stated they agreed to the conditions. Mike Names, 5248 Carol, Rancho Cucamonga expressed concerns about the drainage, asking that drainage be provided before the start of construction. He also requested rodent control before grading as the area had two coyote dens and my rodents Jack Cygan, 8160 La Senda, Ruche Curamonga, stated he was concerned with drainage and grading and he also wanted protection for the wildlife such as coyotes and roadrunners. Jim Smith, 5208 Saphire Street, Rancho Cucamonga, wanted assurance regarding maintenance of the windrow. Chairman McNiel stated the drainage seemed to be a major concern and there were concerns over rodent control and wildlife preservation. He asked the applicant what they planned to do about the wildlife. Ms Haight stated they would take appropriate measures to control the rodents and would perhaps gather the larger wildlife and move them to the mountains Chairman McNiel suggested they might contact the Humane Society regarding the coyotes, and exterminate the gophers and rats. Ms Haight stated they had created drainage to go down to Saphire. Barrye Hanson, Senior Civil Engineer, stated the ditch along the south property line would take drainage to Saphire. As the developer was being required to put in an Intercept Channel from Almond, there should be less water going to Saphire. He also indicated the 6 - 8 foot trenrh behind the trail would have a chain link fence beside it. Dan Coleman, Senior P:anner, inJicated the Intercept Channel would protect the surrounding property owners Mr Cygan asked if he had to do any fencing in order to have access to the new Jridle trail Commissioner Chitiea stated the developer was putting in rail fencing on the norta side only Mr Coleman stated the City could not prevent private prcpp:ty owners from putting up a fence on their own proper -.y and the trail would belong to the new property owners. However, they could not block the trail at its end Planning Commission Minutes -13- September 14, 1988 lam As there were no further coaments the public hearing was closed, Commissioner Chitfea stated she appreciated working with the applicant during Design Review as they were responsive to concerns regarding wall design and architectural elements, They planned good -sized lots and were sensitive to the views cf neighbors. Motion- Moved by Chitiea, seconded by 87akesley to adopt the Resolution to aoprove Environmental Assessment and Tentative Tract 13738, Motion carried by the following vote: AYES: COMMISSIONERS: BLAKESLEY, CHITIEA, EMERICK, MCHIEL, TOLSTOY HOES: COMMISSIONERS: NONE ABSENT. COMMISSIONERS: f ♦ t f Y - carried ernar no oa - arce p 0238, 2 "Auc - From Foothill Boulevard to north of Bill S a, Deputy City Engineer brought b ore the Plannln Pointed out that this mutter as required by a California Governmentslode before g being goin to amity ouncll, as Walt Stickney, As ciate Civil Engineer, presented Yie st Jim Cline, Cucamonga unty Water District stated he as there p to answer any questions. Ed Combs, 4345 North Centr meant. Avenue, Upland asked what a 30 foot easement Mr Silva stated that the Footh 1 du)evard Specific Plan Internal Ingress and egress and sp fed that small lots should use common Ingress and egress. Provtaes for Richard r;,ado, 8874 Foothill ancho Cucamon the vfcfnftY He stated wanted a stated he armed two parcels in Parcel at the corner of an OTego andgFOOth111, o T6 ipjawhen ghe developed the him change the egres San Ofe o. Now San Dfe was being aken awa he plans to put in shopping center, he did not want an Diego taken awaay As wally Schultz 513 Red Kill, Rancho Cucamonda, stated h owned the property between Hr, hado and Hr, Combs and was concerned about Ystricte d access along San ego and wanted to know where the access easement w td be ;hai n McNiel asked if a tentative pl„n had been made dude, r Silva responded one had not been done as yet. Planning Connfssfon Minutes _ -14 September 14, 1988 1�3 I a (STOFA/ENG) AMDATIT OP rAILUG I, — 4A `r4j, 7TlL�,G1/ sail clerk for the City of Banceo Caeam-aga, do hfrehy asear that on .j (') .196? at approximately l o'clock -_(a.n. or P.m.), I deposited in the Cucamonga Branch of the United States lost Office located at 9607 Business Center Drive, a letter addressed to sad regarding NOTICE OF PLtlLIC HEARING - CITY COUNCIL OF NOMMBER 16, 1988 hr 7.30 P.M. AN APaEAL OF THE CONDITIONS OF APPROVAL FOR TENTATIVE TRACT 13738 - RODINE COMPANY 31 MAILED 3ignedi ., I/ It ,4 Date: (return to City Clark's Office after signiag) ar-3 "City of Los Aiigeles '``� �' 'P. O. Box 111 Los Angeles, CA 90051 c/o Dept. Of Water & Power 1061 -071 -9 "1.HOeger, Lyle �5243 Della Ave. ?,Alta Loma, CA 91701 r; 1061- 071 -10 'Wilkinson, Bill & Susan 5233 Della AVG. Alta Loma, CA 91701 1061- 071 -27 Bosley, Ronald & Sharon 5227 Della Ave. Alta Loma, CA 91701 1061 - 071 -28 Wood, Harvey & June 5224 Della Ave. Alta Loma, CA 91701 1061 -081 -6 a 1061 -091 -2 City Of Los Angeles P. O. Box 111 Telminal Annex Loa Angeles, CA 90051 1061 -101 -1 Smith, James 5208 Sapphire St %1ta Loma, CA 91701 1061 -101 -2 3ailey, Chris & Olga 3180 Sapphire St Alta Loma, CA 91701 1061 -101 -3 & 1061 -101 -4 Brotzman, Leonard & Carmen 5242 Sapphire St Alta Loma, CA 91701 1061 -101 -6 "ewg, Cudahay & Diane 5210 Sapphire St. \lta Loma, CA 91701 Skile, Eldon & Maude 927 San Antonio Place Upland, CA 91786 1061 -101 -8 Eakins, Kenneth & Doris 8166 La Senda Rd. Alta Loma, CA 91701 1061 -101 -9 Bitch, Roger & Jo Ann 8156 La Senda Rd. Alta Loma, CA 91701 1061- 101 -10 Hubert, Suezette 8172 La Sends Rd. Alta Loma, CA 91701 1061- 101 -11 Cygan, Jack & Kathleen 8160 La Sends Rd. Alta Loma, CA 91701 1061 - 101 -25 Harkins, Mary P. 0. Box 741 Upland, CA 91786 10FI- 101 -26 [Plyte, David & Diane F130 La Sends Rd. Alta Loma, CA 91701 1061- 101 -29 Hanes, Michael & Sandra 5248 La Senda Rd. Alta Loma, CA 91701 1061- 101 -30 Bohne, Pall & Mary 8120 La Sends Rd. Alta Loma, CA 91701 1061 - 151 -26, 27 Jenks, William & Shirley 9360 E. 9th St. Rancho Cucamonga, CA 91730 /'K V, >'c . Thompson, Paul & Candace 5211 Sapphire St. Rancho Cucamonga, CA 917 1061 -161 -9 Sehmidke, Irvira & Rae 8235 Bella Vista St. Alta Loma, CA 91701 1061 - 161 -10 Ornelas, Frank & Delores 5191 Sapphire St. Alta Loma, CA 91701 1061 - 161 -11 Copenhaver, Mary 8209 Bella Vista St. Alta Loma, CA 91701 1061 - 161 -12 Woodring, Vernon & Janet 8242 Sella vista St. Alta Loma, CA 9170) 1061 -172 -2 Morgan, Charles & Jane 8234 Almond St. Alta Loma, CA 91701 1063 -172 -6 Irish, Preston & Lillie 5083 Sapphire St. Alta Loma, CA 91701 1061 -171 -7 Hartman, Gertrude 100J N. Point Apt. 801 San Francisco, CA 94109 1061- 172 -9, 10 Paterson, Jim & Sally 1071 N. Benson Upland, CA 91786 Owner Rodine Development, Inc. 147 East Olive Ave. Monrovia, CA 91016 ��.11. v AaYe J�v {e'V Yy�� %•' w.Y ., i. .. _ w i.'{� //!n Ybr:a:��l.�i �Y •y+}+5^flv'�pr }j Of Rodine Companies, inc. Rodine Companies, Inc. 147 E. Olive Street 147 E. Olive Street Z Monrovia, Ca. 91016 Monrovia, Ca. 91016 Loren Phillips & Assoc. Loren Phillips & Assoc. 1740•E. Huntington Drive 1740 E. Huntington Drive Duarte, Ca, 91010 Duarte, Ca. 910X0 w �. TT13-739 k c+ 7 ti `r 5 f IZ"I CITY OF RANCHO CUCAMONGA STAFF REPORT LATE: September 14 1988 TO: Chairman and Members of the Planning Commission FROM: Brad Buller, City Planner BY: Beverly Nissen, Assistant Planner SUBJECT: ENVIRONMENTAL ASSESSMENT AND TRACT 13738 ROOINE CCKPAXIES res n a su v s on o s ng e y Residential- on 12. t8 (1-2 ceSdwellingd uIn thperm y LOW located west of Sa phire, south of Almond. APN: 1061- 091-03 Atsnciated with the Tract is Tree Removal Permit 88 -16 requesting the renval of 46 Cyprass and 14 Eucalyptus trees. I. PROJECT AND SITE DESCRIPTION: A. Action Requested: Approval of the subdivision map, site plan, elevations, conceptual grading plan, anA issuance of a Negative Declaration. e. Project Oenstty: 1.39 dwelling units per acre. C. Surrounding Lang vac !re Zones_ North - Vacant; Hillside Residential South - Single family residential; Very L(v Density Residential District (less than f dwelling units per acre) East - Sinyyle family residential; Very Low DLasity Residential District (less than 2 dwelling units per acre) Nest - Vacant; Very Low Density Residential District (less than 2 dwelling units per acre) D General Plan Designations: Project Site - Very Low Residential North _ Hillside Residential South - Very Low Residential East - Very Low Residential Nest - Very Low Residential ld� ITEM L PLANNIIIG COMMISSIO' 'TAFF REPORT TT 13738 - ROOINE - iPAXIES INC. September 14, 1988 go 2 E. Site Characteristics: The site slopes at approximately 6.5 Percent .e sou east and is currently vacant except for the vacated ruins of a residence which is to be recoved. Mature trees of varying species are scattered throughout the site. A Eucalyptus windrow borders the southern portion of the site and Cypress windrows are located along the northern and eastern perimeters. II. ANALYSIS: A. General: The applicant is proposing to develop 18 single iaATTy t ots ranging in size from 20,655 to 52,689 square feet. The average lot size is 25,292 square feet in size. The applicant is proposing three floor plans with contemporary Mediterranean style architecture. Models range in size from 2,248 to 2,815 square feet in size. All of the plans are two story with side or rear-on garages being provided on eight of the lots. 8 Traits Advise Comaittee: The Trails Advisory Committee rev ewe a pro ec cn ebruary 17, 1988, and recommended approval subject to the fallowing: 1. The Community Trail along Almond Street should be 20 feet in width (22 feet was shcwn on the plans). 2. The local trail should extend across the north and west sines of Lot 9 to provide a conti,,ous trail. If, for some reason, it is not physically possible to continue the trail across Lot 9, local trails should be provided between Lots 7 and 8, and 12 and 13. C Design Review Coemittee• The Committee (Chitiea, Emerick, Krou Mn a y reviewed the project on duly 7, 1988. The Comittee did not reccomend approval at this time and directed the applicant to make the following changes: I. Decorative block walls along Sapphire and Almond Streets should be designed of a stucco material and shculd incorporate pilasters, some type of cap material and indentations to accommodate tree plantings. 2. More variety in building elevations should be provided as well as additional architectural detailing. The right side elevation of Pian 10DOB was identified specifically as requiring additional detailing. �a� PLAh.4IN0 COWISSIC' :TAFF REPORT TT 13738 - RODINE ,- {PAXIES INC. September 14, 1988 Page 3 An additional model, which is significantly different in outline and bulk from the proposed models, should he provided. 4. More variation in color scheme should be provided. S. Plans should be drawn at a 13rger scale. A revised protect was then presented to the Design Revib., Committee (Chitiea, Blakesley, Coleman) on August 18, 1988. The revised project incorporated a decorative wall of stucco with a brick cap and pilasters to be located dlong Almond and Sapphire Streets. In addition, all elevations were upgraded substantially and an additional model was provided. More variation in color was also provided. The Committee recommended approval of the revised project subject to the following conditions: 1. The shape of the window• panes on Model 1500 should be square in shape rather than rectangular. 2. The round vent element should be provided with more finished details, such as louvers or surrounding trim, on all elevations. 3. The round vent on the rear elevation of Model 1000A should be increased in size. 4. The square window on the front elevation of 10008, Type 1, should be changed in shape to be more compatible with window shapes on the three other elevations. S. Omit the roof tile colors /132 (Lifetile Mission) and 0110 (Lifetile Padre Brown). D. Tree Removal Permit: Associated with the development of the tract, the applicaff has submitted an arborist report and a Tree Removal Permit for the removal of 46 Cypress, 14 Eucalyptus trees, and 1 Pine tree. Eighteen of the Cypress trees proposed for removal are located in areas where future streets are to be constructed. Twenty eight of the Cypress slated for removal have either been partially uprooted or have sustatued severe branch damage in recent winds. Twelve of the Eucalyptus trees proposed to be removed are located in areas where grade changes are most likely to occur. Five of the Eucalyptus proposed for removal are felt to be in poor condition. The Pine tree proposed for removal is also in an area of p- oposed grade change. The remaining Eucalyptus J'��9 PLANNING C"ISSIC :TAFF REPORT TT 13738 - RODINE ..4PANIES INC. September 14, 1988 Page 4 windrow (approximately 79 trees) along the southern boundary and the remaining cypress windrow (approximately 103 trees) along the eastern and northern boundary are to be retained as part of the subdivision. In addition, various species of trees (Platanus, Fraxinus and Citrus) within the interior of the tract are to be preserved. E. Environmental Assessor -nt: Staff has completed the Environmental ec s and found no significant adverse environmental impacts as a resuit of this project. If the Planning Commission concurs with these findings, issuance of a Negative Declaration would be appropriate if the Tentative Tract Map is approved. ill. FACTS FOR FINDINGS• The project ty consistent with the General an and the Divelopment Code. The project, with the added mitigation measures, will not be detrimental to the public health or safety, or cause nuisances or significant adverse environmental impacts. in addition, the proposed use and site plan, together with the recommenced conditions of approval, are in compliance with the applicable previsions of the Detelopment Code and City standards. IV. CORRESPONDENCE: This item has been advertised as a public hearing in e any report newspaper snd notices were sent to all property owners wiU nin =-reet of the project site. V. RECOMMENDATION: Staff recommends that the Planning Commission approve an ve Tract 13738 through adoption of the attached Resolution of Approval with conditions, Tree Removal Permit 88 -18 end issue a Negative Declaration. Res lly su ted, Bra a City P.anner DB:BN:mlg Attachments: Exhibit "A" - Site Utilization Map Exhibit "B' - Tentative Tract Map Exhibit "C" - Site Plan Exhibit "D' - Landscape Plan Exhibit "E' - Conceptual Grading Plan Exhibit "F" - Building Elevations Resolution of Approval with Conditions I ✓O \N 7 A. 47. �� a . .� o\ •r o s� o Lr,.�•ol. a, , u fit ilt I D . \ ,7 • o • .' 1 j• o op i• T � 1 � \ �jl . . .•f it i 9 Y CITY OF rrEtiu 7T /339 RV CI-IU CUC^iMONGGA TR1E LIM, - 6LTi41Z.4TiON RANN(NC D(VNQN 131 EXHIBIT- A- SCALE$ —• <, �i. •_- %d .. .J(� r�Tir� � ' Irl ' , �"`t T If (° ; V NORTH CITY OF rrE\4, ?T !3138 RA.KTIO CLUAMONCJA TM-E, 19Acl' MAP F( A4VN(NC DIVpK ! 17 J ExHairr- 8 J� SCALE, RESOLUTION NO. U �- 6 2 / A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF RANCHO "fWONGA APPROVIHG A REQUEST FOR TENTATIVE TRACT 13738, PERMIT DEVELOPMENT OF AN 18 -LOT RESIDENTIAL ..odDIVISION ON 12.88 ACRES OF LAND IN THE VERY LOW RESIDENTIAL DISTRICT AND LOCATED SOUTH OF ALMOND STREET AND WEST OF SAPPHIRE STREET - APR: 1061- ..'1 -03 A. Recitals. (1) Rodine Companies Inc. has filed an application for the approval of Tentative Tract Map No. 13738 described above in the title of this Resolution. Hereafter, in this Resolution, the subject Tentative Tract request is referred to as `the Tentative Tract". (ii) On September 14, 1988, the Planning Commission of the City of Rancho Cucamonga conducted a duly noticed public hearing on the subject matter of the Tentative Tract, a..d following the conclusion of said hearing, adopted their Resolution No. 88 -177 thereby approving the Tentative Tract. (iii) The applicant has filed a timely appeal of the approval represented in said Resolution No. 88 -177 on the basis of six (6) Conditions contained in said Resolution. The Conditions appealed are described as follows: a. Overhead Utilities (1) T.he requirement to pay an in -liEu fee for the future undergrounding of existing overhead utilities along Sapphire Street (Condition No. 2a - Engineering Division). (2) The requirement to construct and pay an in -lieu fee for the existing overhead utilities along Almond Street (Condition No.2b - Engineering Division). b. The requirement to obtain off -site street dedication along Almond Street (Condition No. 5 - Engineering Division). C. The requirement to process a condemnation proceeding, if needed, to obtain off -site street dedication along Almond Street (Condition No. 6 - Engineering Division). d. The requirement to provide an emergency access road along Almond Street (Condition No. 7 - Engineering Division). e. The recuirement to provide a Master Plan Storm Drain Channel along the westerly portion of the project and extending northerly of Almond Street (Condition No. 9 - Engineering Division) f. The requirement to construct full width street improvements along Almond Street (Condition Ho.10 - Engineering Division). RESOLUTION N0. TT 13738 PAGE 2 (fv) On odul 9puhhnConneca Cucamonga conducted ay ticedbicearig the subjecti6tter of the appeal of the Tentative Tract and, an said date concluded the public hearing. (v1 All legal prerequisites to tr.e aMption of this Resolution have occu -red B. Resolution. NON, THEREFORE, it is found, determined and resolved by the City Council of the City of Rancho Cucamonga as follows: 1. This Council hereby S ecifically finds that all of the facts set forth in the Recitals, Part A, of this Resolution are true and correct. been reviewed and considered in complf nce with rthe iCaliforniaa Environmental Quality Act of 1970 and concurs with the issuance of tie mitigated Negative Declaration issued on September 14, 1988. 3. aed during the above- referencedhNovembern16a11988 hearing,eIncludi g to this written Council reports, the minutes of the above - referenced September 14, 1938, Planning Commission meeting and the contents of Planning Commission Resolution No. 88- 177 this Council specifically finds as follnws: a. The Tentative Tract applies to property located west of Sapphire Street and south of Almond Street within the very Low Residential District (less than 2 dwelling units per acre); b. The property to the north is within the Hillside Residential and is currently vacant, the property to the south and east is within the Very Low Residential District and is currently developed, and the property to the rest is within the Very Low Residential District and is currently vacant; c. The Tentative Tract contemplates the development of an 18-lat subdivision on U 88 acres of land; d The requirements of Planning Commission Resolution No. 88 -177 (Condition Hos. 2, 5, 6, 7, 9 and 10 - Engineering Division) remain an important and necessary condition; and e. The development as specified will not contradict the goals or objectives of the General Plan or Development Code of the City conditi0' to the persons ons or properties imadlatat,ictnity of the Subject site. I3q RESOLUTION NO. iT 13738 PAGE 3 4. Bated on the substantial evidence presentee to this Council during the above - referenced public hearing and upon the specific findings of facts set forth in paragraphs 1, 2, and 3 above, this Council hereby finds and concludes as follows: a. The Tentative Tract is consistent with the General Plan and Development Code of the City of Rancho Cucamonga; b. The design or improvements of the Tentative Tract is consistent with the General Plan and Development Code of the City of Rancho Cucamonga; C. The subject site is physically suitable for the type of development proposed; d. The design of the proposed development is not likely to cause substantial environmental damage or avoidable injury to humans or wildlife or their habitat; e The development is not likely to cause serious health problems; and f. The design of the development will not conflict with any easement acquired by the public at large, now of record, for access through or use of the property itithin the proposed development. S. Based upon the findings and conclusions set forth in paragraphs 1, 2, 3, and 4 above, this Council hereby approves the Tentative Tract subject to all of the Conditions set forth in Planning Commission Resolution No. 88- 177 (a copy of which is attached hereto and marked as Exhibit 010). 6. The Council hereby provides notice to Rodine Companies, Inc. that the time within which judicial review of the decision represented by the Resolution must be sought is governed by the provis4ons of California Code of Civil Procedure Section 1094 6. 7. The Citv Clerk is hereby directed to: (a) certify to the adoption of this Resolution, and (b) forthwith transmit a certified copy of this Resolution, by Certified Nail, Return Receipt Requested, to Rodine Companies, Inc, at their address as per City records. i 3'�5 CITY OF RANCHO CUCAMONGA STAFF REPORT DATE: November 16, 1988 TO: Mayor and Members of the City Council FROM: Brad Buller, City Planner BY Brett Horner, Assistant Planner SUIQECT: ENVIRONMENTAL ASSESSMENT AND CONDITIONAL USE PERMIT 88 -28 - P6NRT - An appeal of a rlanning commission decision to eCanditlonal Use Permit 88 -28, the development of a 5,915 square foot retail building on 0.52 acres of land within an existing shopping center In the Ccaammlty Commercial Dl strict of the Foothill Specific Plan, located on the southwest corner of Foothill Oculevard and Malachite Avenue - APR: 208 - 261 -20. RECOMMENDATION: Staff recommends that the City Council deny the appea an uphold the Planning Commission's decision to deny Environmental Assessment and Conditional Use Permit 88 -28. II. BACKGROUND: On September 14, 1968, the Planning Commission voted 3= O— fWAiel absent) to deny the applicant's request for approval of a 5,915 square foot retail building addition to the existingg Perry's Market Center. The attached Staff Report (Exhibit "B') fully describes the project. The Planning Comission's decision for denial was based on the project's inconsistency with adopted design policies set forth in the Foothill Boulevard Specific Plan, the inadequate Master Plan for the shopping center, and the project's inconsistency with the Citv's go41 of upgrading Foothill Boulevard properties and policy of requiring compliance with the community design guidelines in plans for expansion. At their September 14, 1988 meeting, the Planning Commission expressed concern over the lack of building articulation and architectural enhancements proposed by the applicant. The Commission stated that further upgrading of the facades was needed, especially for a project located along Foothill Boulevard. The project was found to be inconsistent with the objectives of the Foothill Boulevard Specific Plan. i3p •rr CITY COUNCIL STAFF REPORT CUP 88-28 - PERRY'S MARKET November 16, 1988 Page 2 The proposed Master Plan for Perry's Market Center was also an area of concern. The plan did not propose vehicular access to the vacant corner parcel to the north of the protect, formerly the site of a service station (see Exhibit "C "). The Commission understood that there were certain lease and ownership difficulties inherent with the shopping center properties, but concluded that the Mister Plan was inadequate and should be revised to ensure the viability of that corner site. Further, the Commission term solution to the Center. The center do Foothill Boulevard Sp streetscape setbacks an d lot laycut, and archltec that approval of the pr current non - conforming s eventual upgrading of existing buildings. As with the City's goal properties along Foothill felt that the oroject represented a short - problems associated with Perry's Market es not meet various Development Code and ecifie Plan standards with regard to treatment, landscaping coverage, parking tural treatment. The Commission also felt oject as proposed would have extended the ituation and might circumvent or delay the the entire shopping center, including the such, the protect was deemed inconsistent of upgrading of existing, non - conforming Staff was directed to prepare a Resolution of Denial wltn findings which was adopted by the Planning Commission at the September 28 1988 meeting (see Exhibit "D"). QBe dly ted Xer 88:BH:mlg Attachments: Exhibit 'A" - Letter of Appeal Exhibit "B" - Planning Ca®ission Staff Report and Exhibits of September 14, 1968 Exhibit "C" - Master Plan Exhibit "D' - Planning Commission Minutes of September 14, 1988 Exhibit "E' - Resolution of Denial, September 28, 1988 )3? Forrest Perry 9180 Orange Street Alts Lou, CA 91701 September 28. 1988 Honorable Mayor Dennis Stout and City Council City of Rancho Cucnaongo 9320 'C' Baseline Road Rancho Cucamonga, CA 91720 RE: APPEAL OF PLANNING COMMISSION DECI910G YOR ENVIRONMENTAL ASSESSMENT AND CONDITIONAL USE PERMIT e8 -28 -PERRY Dear Honorable Nayor and City Council: On September 14, 1988. the Planning Corlssion of the City of Rancho Cucamonga directea staff to Prepare A resolution of denial for this project. By this letter I appeal that decision to you and the Council. I feel the Commission acted unreasonably and without considering all the feet* and limitations concerning this Project. In addition, the Commission Ignored the recosmandationn And approval-of the Oesign eevlew Committee, even though two of the Co. *Inaloners terve on that Committee. Plana• consider this utter at your earliest opportunity 9lmarrly yo� Forrest Perry FP /MENIJe CITY OF /3S RANCHO CUCAMONGA PLANNING DIVISION ITEM: CU 88.28 APPEAL TITLP-, LETTER OF APPEAL EXHIzilt- ►_ I CITY OF RANCHO CUCAMONGA STAFF REPORT DATE: Sept ember 11, 1988 ~ TO: Chalrow., and Members of the planning Cog6ission FROM: On$ Buller, City planner BY: Brett Horner, Assistant planner SUBJECT: ENYIROMSNIAL ASSESSNEIR AND CCNDITIOUL USE MMIT 88 -28 STTM-9 or. 0.52 feral of land within in e t existing shopping center in the Crr nfty Cosercfal District of the Foothill Specific plan, located on the southwest comer of 2 Foothill BRg1eWro and Malachite Avenue . APN: 208.261. 0. I PROJECT AND SITE OESCRIPrION: A. Actlan Re rsted: Approval of building elevations, site plan, concep a Ira rq plan Conceptual landscape plan, and issuance of a Nega:fve Deciartlon. 8. Surrounding Und Use and Zoning: North - vacant; co Rfty Ca mial South - Existing If 10 featly residence; row Density East - Existing office buuilding; units rcirl /Oreftca Nest - Existing shopping center; Cpsunity Correle C. General Plan resignations: Project Site - Caeeserelt North - Cad rcial East - Low Density Rasfeential (2-1 dwelling units per den) vast - Com*mfat D. Site M4racteristics: The site Is currently vacant (asphalt shoppicyneenter. An alltyyaad twofsinglesfwtly heads abutrthe IOUNhern property line white to the north, a vacant lot exists. This unpaved lot was the forcer site of a service station CIZTY OF 13 � RANCHO CUCAMONGA PLANNING DIVISI014 ITEM: CUP 88 -28 APPEAL TITLE: PEANP0110 COWAMSS*N STAFF REPORT PLAWDG C"ISSIO" CfAFF REPORT COMDITIOMA USE PL .T 88-18 - MAY September 14, 1989 Page 2 E. Parking Calculations: Tyoe Square Parking of Use Pootaee Ratio_ Pro posed Bul ding 5,9I5 1/250 Existing Center 39,030 1/250 TOTALS Member of ember of Spaces Spices AeVfred prov161/1 24 31 156 150 180 181 11. AK41TStS• A. Background: The panels co grlsing Mrry's Market shopping con air tee all currently owned by om entity. The applicant, however, retains a long tem tease on fnjr of the center's seven parcels These four parcels contain the exfstlny buildings (Perry's Market and tenants) and the pro VOSed reef? building being reviewed with this ipplfcatfw. but not the parking lot area alag Foothill Boulevard. The lease allows the applicant the option to use the four properties (and to construct fspravWRts m thu) up until the year 2058. 8. General: presently, Perry's PArket Center does not wet vaarTms tkvelcoarrt code and Foothill specific plan requfmmments The center we built prior to the adoption of these requirements. such as strcetsc,pe setbacks, landscaping coverage, puking lot des fgn, and architectural guidelines. am u. Ivm Meeting, the Design Review Coawittee Ble Way. Colman) stated that they would have rd the total upgrade of the center based an this expansion, p- .er, the Castittee understood the burden the up AS would represent on one developer 10 square fee , pansion of retail space. Instead of the Applfeant to upgrade the entire center, the stronglly encouraged the applicant to work with Me arty owner of the center as w11 is with the owner of comer final in order to get the shopping center d. Further, the Coawfttee stated that the design of retail Wilding should set the tone for future ent of the entire center. CITY OF I q D RANCHO CUCAMONGA PLANNING DIVIbION ITEM: CUP 88 -28 APPEAL TITLE: - PLANW#G COIAANSSIOR STAFF REPORT EXHIBIT: 8'2 PLANNING COMIISSIO" cl'AFF REPORT CONDITIONAL USE PL .T 89-28 - Pan Septesber 34. 1988 Page S C. nst dRevii w Caealtt ": the Olsgn Review Cawittee Moerick. nT. DuT Jeri rev ewed revised plans of the prapotH on Au ust 4. 1988 and masnended approval subject to the fol loving conditions: 1 A landscape planter area should be added under the sorer at the northwest comr of the proposed "tail building Mere the proposed retail building joins the existing retail 2 me blevatton of the tower at the northwest corner of the proposed retail building should be revised to Batch the appearance of the tower at the northeast corner of the Proposed retail building in the area below the fascia. III FACTS FOR FIJOINGS: The project is consistent with the General Plan or cause PRJRT—NlII not be envirrueuntRl �enp¢tso adjacent n addigon�rttha propoted use Is :n eoylla�a rl th the Foothill Specs /IC plan. apD (cable provisions of the OevelrFeent Coda and City Standards IV. RECOMENMTION: S:aff reccusends that the Planning Coo lssi -f approve MWITIOnal Use Pe "It 88 -28 through adoption of the attached Resolution with contitfcns and issuan:e of a Negative Declaration COSTMI ly s 1tteA. Brad r City P1 er B8:BN:xlg Attachments: Exhibit 'A' - Location Nap Exhibit 'B' - Site Plan Exhibit *C: Landscape Flan Exhibit 'D' - Bulidfnp Elevations Resolution of Approve l and Conditions CITY OF /y' RANCHO CUCAMONGA PLANNING DIVISION ITEM: .SUP H -28 APPEAL TITLE: fv AlNkWO COMMISSION STAFF REPORT EXHIBIT: B-3 yICINIT-- MAP No { -ro sc-ll-� NORTH CITY OF ITEM. pup 88.98 RANCHO CUCAMONGA TITLE: LOOATION MAP PLANNING DIVISION EXHIBIT: _A_ SCALE: none. CITY OF ITEM: CUP 38-28 APPEAL RANCHO CUCAMONGTA TITLE: PLANMNC COMM19 1I0N STAFF REPORT PLANNING DIVISION EXHIBIT: B•4 NORTH ELEVATION SOUTH ELEVATION WEST ELEVATION CITY OF RANCHO CUCAMONGA PLANNING DIVISION i� CITY OF RANCHO CUCAMONGA PLANNING DIVISION EAST ELEVATION ITEM: _Sc1EfDa9 TITLE:- ELFAYATN)NS EXHIBIT: /3 ITEM: CUP 88 -28 APPEAL _ TITLE: PLANNING COMhMSS10N STAFF HEPONT EXHIBIT: B%7 v CITY OF x/y ITEM: CUP 88 -28 APPEAL RANCHO CUCAMONGA TITLE: MASTER PLAN PLANNING DIVISION EXHIBIT:_ 1. [avle]NNWAL ASS65PW AM CMITIONAL USE FEAKIT W28 - PERRY - The Gavelopment of a .guars fact n u ng an acres fiend within an existing shopping CAntar in the Consinity Ceearclal 0lstrict or the Foothill Specific Plan, located on the Wthwa,t caner of Foothill Boulevard aril Malachite Avenue - APNt 236461 -20. Brett Nurser, Assistant Planner, presented the staff report. Vice-Chairman Chips o:ened the public hearing. gal 111111M. applicant architect, stated they cancurred with the staff report. Then being no further public com=ets, the public hearing was closed. Yfce- Chairman Chilies stated that In looting At the elevations it apps: red to be a decorated version of the existing structure aril not consistent with the Foothill Specific Plan. She was mw:amfortable with the tack of design enhancements. Ccewfsslomar Tolstay concurred that the storefront was vary plain. He felt it was flat and unlntaresting. He also wen" to know, KN the former ;"ce station site an the corner of v4l=hite and Foothill world be Integrated. because this plan locked that site without a0cass. He asked if a =star plan was available for the ern. err. None s.Vwed the aster plan the applicant submitted. Oan Coleman, Senior Planner tested that part of the prcblam with the drawing submitted was that the building an W corner tot was dependent upon using land on an adjacent parcel for larking, and that parcel is currently under separate ownership. A reciprocal parking Agreement would be needed between the two owners. Planning Commission minutes -0- September 14, 1986 CITY OF / VS RANCHO CUCAMONGA PLANNING DIVISION ITEM: CUP 88 -28 APPEAL TITLE:?I`ANW* Co"AuRsSlfk1 MINUTES EXHIBIT: D-1� Lice - chairman Chltlea stated It ws Appropriate that the Planning Commission was* aularggee parrass /ut� land.o which lssfthe type furthtr Pointed the Out oothill 9"Ievard Specific Plan addresses and looks to rehib141tate. She felt the *nth" existing center meded nhabllltatfm. She felt It necessary to be sun conditions wem in place to encourage proper development. Vfa- Chalrean CMtlea opened the public hearing. Hr. Williams stated they had discussed the matter plan Issues and Comment& with staff. he said they were proposing A small addition to a large. old shopping center Mich Its. Perry understands Is currently In need of renovation and repair. However. M did net feel It mt fair to put the Anti" cost burdw of renovating the 40 000 a ew am foot center on a S.000 sciare rapt addition. M stated they wo.EM wtI the Design Revi Commlttae birlho three metfngS and reached a Compromise whom the Initial development would Wks a contribution to the City by finishing off it* fat end of the center with a good architectural concept for the start ten. he Palmted out that a condition of approval stated W. Perry would upgrade Mts mw Addition when the mast of the center U upgraded. The proposed praject would not gensr+U emugh money to upg9rrade the entire center at this time. W. Perry had talked with the current lute holders regarding ranov+tton, but it is a difficult problem because there am different ground leases which expire at different ties. As them wem no further comments, tee public hfarfng we closed. Vfce- Chatmn Chltfu stated that it has been the Polity of the Commission U discoun" short -Um solutions U other proletts on foothill since the Interim foothill Speclfft Plan and the LmplennUtlon of the foothill plan In pear to prevent people from spending money an laterfm solutions and encourage consolidation to upgrade the area. She felt this small addition did not appear appropriate in that it would be adding one little area which would only sere& to draw attention U Us rest Of the center. Commissioner Taistay, felt perhaps colons Could be Added and the storefront could be changed so the project would not present such a flat faced*. Commissioner fmerftt stated he felt the" should be added coseette tmawnt. Ie stand that It we understandable that It might be difficult U upgrade the cancer because of different lute periods for current taunts, and perhaps they Naiad to add the renovation schedule to their lease mnewls. Hpwror, he felt this section should be better, so that It cautd be copied by the mast Of W center. Commissioner 9likesiey, stated It wS also Important to uke sun the former gas station parcel remains viable in the futen and that standards wen being mat. Vice- Chairman Chftfee stated then won no srchitactural eMancemants an the rear of the building and that she felt the people living then desareod somethinq move attractive U view. Planning Commission Minutes -9. September 14, 1988 CITY OF /0 ITEM: CUP 88 -28 APPEAi- RANCHO CUCAMONGA 7.'ITLE: PLAIlMNG Commas" MNUTES PLANNING DIVISION EXHIBIT: 13-2 - Arad Buller, City planner, stated that gnfyn Avf ate had looked at these concerns and whit the applicant could and could not Ca as an Indfvhtul vs. the owner of the proptrcy, he pointed cut that the awns site plan would I ock in only certain o ?bone on the corner parcel. The applicant had Indicated they ware unab.e to reach agmmnt with the tv.sr Of the comer parcel regarding access, NO Stated the project could V conditioned to Include reciprocal Ingress and egress In the northerly prc;,r, fice- Chairman CMttn Indicated she felt the prepoSed parting %outs would create a dangerous ci-culation conflict as people enter and tslt vn ralachite. Mr. Buller fndlcated the Conslssfon may wish to ask the applicant If he was willing to go back to Design Review to make mjpr aodiflcetions to the Project. gfce- ChafMn Chftier optRed the public hearing to sea If 9e applicant wished to return to Design "view. Mr. Willies asked rhy they should bother to go through Design Review, as IM had already done so. M stated the City's policy was eliainatlng the itcal building Owner and encouraging large cerporato absentee owners. CoastIssioner Tolstoy Indicated the CoigaIssion was only asking flat the addition be upgraded. 91ce- Chafrowan Chftiea stated the applicant also headed to address the corm of providing access to the corner parcel Mr. gilllawa stated that If W. Perry had to provide acne% for the corner parcel, the owner of the ;Omer lot did not have is nwgotlate. Forest perry, owner, stated he had proposed to fnprow what be owned. He felt that since he didn't own the corner lot, he didn't fail he should be responsible for providing ingeltS And egress. He also stated then wen five offferent property Ownen In the center. lice- Chainan Chitfn asked Mr. Ferry If he ward willing to ntum to Design got I". Mr. perry stated he had to be able to rent at 51.00 per spun foet and the Changes the CcmisSibn was asking for would cause his rink to be too high. He fel t it would be a waste of if" to "Wro to Design Aeviaw. Tare being no further consents, the public hearing was closed. Cowlsslonar Blakeeley stated the subject developant would preclude batter solutions and would perpetuate the status quo. MOtfan: pond by 81&k Islay, seconded by Talstoy, to direct staff to place a Resolution of dental on the Planning CC=fselOn agenda Ccnsent Calendar of StPtfeaer Z8, 1998. Ietfml tarried by tM following vote ALBS•. COMhISSIONW: MAKESLET, CMITIEA. DOICA, TOLSTOT Nom COIMISSIOAEAS: AOAE ABSENT: C01MISUOAEAS: ICMIEL - carried manning CoANNISSIOR Minutes -10- September Id, 1998 CITY Or / 10 ITEM: CUP 88 -28 APPEAL RANCHO CUCAMONGA TITLE: PLAM019 COM9MSMN MWTES PLANNING DIVISION EXHIBIT: D-3- RESOLUTION N0. 60 -169 A RESOLUTION OF THE RANCHO CUCAMONGA PLANNING COMMISSION DENYING CONDITIONAL USE PERMIT N0, 66.2d, AM DESIGN APUT" THE"". FOR A 5,195 SOU/AE FOOT AiWL BUILDING ADDITION MITHIN AN EXISTING SHOPPING CENTER LOCATED AT THE SOUTNHEST CORNER OF FOOTHILL BOULEYARO AND MALACHITE AVENUE COMMUNITY cON1ERCIAL DISTRICT - ApN: 2D6- 261 -20 A. Recitals. (I) Mr. Forrest Per has filed an appliutlon for the Issuance of Conditional Use Pereit Mo. eB-26 As described in the title of this Resolution, Hereinafter fn t11a Resolution, th subJKt Conditional Use ►erect "Quest Is "fer"d to as •the appliation•, of the City off 1ReK On the 28th 0 CuCYOng4Condctted A QJ1yMnptlpE planning putic MaCring tannthe application and concluded said hissing on that date. (111) All legal pnnyuisftes to the adoption o/ this Resolution have cccur"d. g. Resolution, NOM. THEREFORE. it is hreby found, determined and resolved by the Planning Costission M' the City of Mncho,Cucanonga as lollop: f Specifically III of the facts forUl in the RKitalso Part A. o N,"luiom am neand correct. 2. Based upon substantial evfdance presented to this Comissfon during the ebave -re/fronted Public hearing on Septae0er 23, 1966, including written and oral staff reports, together with public tastfmny, this Co isslon hereby 1pecfffcaliy rinds as lollop: southwest COresr of Foothillplk levard led eMalachite Avon@ witch astreet Frontage of 1e5 fat and Is presently vacant; and the property to tM south of that site Ccnsistso oft ~single fun Y realdence, the property to t last la an existing office buflling and the property to the wst Is the •d=tlnq ferry's Nsrket Center. (c) That the proJKt Is Inconsistent with design policies set Fort In the Foot111 Boulevard Specific plan with regard to building facade ar"culatfon, storefront and window t"aasnt, and building relationship to adJatent residential PmFertlea; and not adequatflyl That the water the circulation. parting. submitted aMNin sa l,autttitur the PJ"el to Vi north of the proposed Project; and CI s ! OF /YS S ITEM: CUP 88 -28 APPEAL RANCHO CUCAMONGA TITLE: RESOLUTION OF DENIAL PLANNING DIVISION EXHIBIT: r-A ELANNING CONRISSI RESOLUTION N0. 88.189 CUP 88-28 - PERRY September 28, 1968 Page 2 (eT That the project Is Irtansistant with the City's goal of upgrading foothill Boulevard properties and policy of requiring compliance with the aaueRlty daslgn guidelines in plans for expansion. J. Based upon the substantial evidence presented to this Commission during the Above- nftreKed public hearing and upon the specific findings of facts set forth in paragraph I and 2 above, this Co lsslon hereby finds and concludes as follovs: (a) That the proposed use Is not In Accord with the General plan. the objKtivAs of the Development Code. and the Purposes of tie district In which the site Is located. (b) That the proposed use, tepther with the conditions appl ioabla thereto, will be detrimental to the public health, safety, or "Ilan, or materially injuries to properties OF Improvements In the vicinity. (c) That the proposed use does not comply with each of the aPP11CAblt ProvlslOoa at the Development Code. d. Baud upon the findings and COKlusfons set forth In paragraph 1. 2 and l above, this Commission hereby denies the Application. S. The Secretary to this Commission shall certify to the adoption of this Resolution. APPROVED APO ADOPTED THIS 28th DAY Of SEPTFdRIER 1988. PLATOIK [OMISSION OF THE CITY OF RAAICIO CUCIIONGA 8Y•� LTrry ATTEST: • iw..! /� prao w�l .e�, TSacntety " Brad Butler. Secretary of the Plannlr7 Commission of the City of RaKho Cucuonya, do hereby Certify that the foregoing Resolution wig Duly and regularly introduced, Passed, And Adopted by the Planning Commission of the C ty of RAAcha Cuceman 94, At A ngular attfnyy of the PIanAln Commit s Alan held On the 28th day of SePtember 1988, by the follMing rote.ta-wl t: AYES: COIMISSIOIERS: BLAKESLEY, CNITIEA. NCRIEL, TOLST01 SOTS: CCMISSIONEUS: NONE ABSENT: COMMISSIONERS: ENERICK CITY OF M RANCHO CUCAMONGA PLANNING DIVISION ITEM: CUP 80-28 APPEAL TITLE• RESOI UTION OF DBICAL EXHIBIT: E-? CITY OF RANCHO CUCAMONGA STAFF REPORT DATE: November 16, 1988 TO: Mayor and Members of the City Council FROM: Brad Buller, City Planner BY: Miki Bratt, Associate Planner SUBJECT: ENVIRONMENTAL ASSESSMENT AND ANNEXATION AGREEMENT 86 -04 - � R uc.cwrnc114a 4116. - A request to approve an annexation agreement for —development and annexation of approximately 53 acres of vacant land located at the southwest corner of Etiwanda Avenue and 25th Street - APN: 225- 082 -01. ENVIRONMENTAL ASSESSMENT AMD DEVELOPMENT AGREEMENT 88 -03 - L - A request o approve a development egreemenE' for approximately 53 acres of vacant land located at the southwest corner of Etiwanda Avenue and 25th Street - APR: 225 - 082 -01. ENVIRONMENTAL * ASSESSMENT AND DEVELOPMENT DISTRICT request o pro-zone approx ma e y acres o vacant and located at the southwest comer of Etiwanda Avenue and 25th Streit to Lew Density Residential (2 -4 dwelling units per acre) - APN: 225 - 082 -01. 1. ktSQKVEND.I'iON: The follmnng itms are recommended for approvT : Wnexation Agreement 8J-D4, Development Agreement 88-03, Ind Nlvelolnent District Amendmevc 88 -07. (See attached staff report of Octeber 26, 1988 to the Planning Commission.) II. AB- 'TRACT: The applicant is requesting annexation of 53 acres of un3eveTrkii lani to the City for the purpose of development within the City .n:de' City Standards for development (see Exhibits "A' and "B', Vicinity and Prciect Maps). I fie application in:ludes an Annexation Agreement, a Development Agreement setting Me maxinum density for development at 2.25 dwelling units per acre for a term of seven years, a request for p -e -zone in accnrdence with the General Plan designation of Low 0!nsity Residential (2 -4 dwelling units per acre), and an application to thv Leval Agency Formation Commission (LAFCO) for annexation of the property free unincorporated area in the County tc the Clty. / - -I CITY COUNCIL STAFF REPORT AA 88 -04, DA 88 -03, DDA 88-07 - Ahmansop Developments, Inc. November 16, 1988 Page 2 Subsequent to the above re Guests, the applicant has also submitted a related application for development, Tentative Tract 14139 which is at the stay,, of preliminary review in the Planning Division. III. BACKGROUND: A. Development Agreement and he -Zone: On October 26, 1988, the Planning ss oil n red�'o an3 eecomsended approval of the Development Agreement and the pre -zone for this site. The pre - zone request is for Low Density Residential (2 -4 dwelling units per acre) which is consistent with the General Plan Designation. The Commission recommended approval of the pre - zone and supported a maximum density of 2.25 dwelling units per acre. (Minutes of the October 26. 1988 meeting of the Planning Commission are attached.) The applicant concurs with the density of 2.25 dwelling wits per acre, agrees to meet all City standards for development at the time of development and agrees to pay the required City fees for development. The term of the agreement is seven years. (See attached Development Agreement.) The applicant is processing an application for development through the City and has submitted revised preliminary plans at a density of 2.25 dwelling units per acre to the Planning Division for review B. Annexation reement: An annexation agreement is part of this application see attached). Through the annexation agreement the City agrees to pursue annexation through the Local Agency Formation Commission (LAFCO) and the applicant agrees to annex to the City. On September 8, 1988, the City Councii approved a Resolution to annex the subject property to the City and forwarded an application for annexation to LAFCO. C. Tax Exchan e: On November 16, 1988, this Council will consider a reques or approval of the tax exchange proceedings between the City and the County. This action is part of the annexation proceedings and will be covered by a separate staff report on this agenda. D. Environmental: An environmental assessment has been completed y s a an a Planning Commission recommends issuance of a Negative Declaration on the Development Agreement and the Development District Amendment. Staff recommends Issuance of a Negative Declaration on the Annexation Agreement. /S-/ CITY COuNCII STAF7 REnRT AA 80 -04. DA 88 -03, DDA 88 -07 - Ahmanson Developments, Inc. November 16, 1988 Page 3 IV. ANALYSIS: Intensity of Development is a special condition In the IIbTpment Agreement. The City has recommended, and the applicant has agreed to, a maximum development intensity of 2.25 dwelling units per acre. The format of the subject Annexation and Development Agreements are based on the same form (City Attorney prepared) with T. P. Malther, in connection with the annexation of a 93 acres parcel immediatelyy adjacent to the south of this applicatlor. (see attached agrcementa The Applicant agrees to develop at the City Standards of development at the time of development. The Applicant also agrees thpay the required City fees for development including payment of e Systems Development Fee for Circulatlon and fees for drainage. (For discussion of the terms .rd conditions of the agreement, see the attached staff report to the Planning Commission of October 26, 1988.) V FACTS FOR FINDINGS: All the facts for findings can be mdde. VI. CORRESPONDENCE: These items have been advertised as a public eFi aringin�fe Dail Report newspaper, the property posted, and notices sent o a props y owners within 300 feet of the project site. VII. RECOlMENDATION: The Planning Connfssion recommends approval of the a ac a reso utions approving Development Agreement 88 -03 and Development District Amendment 88 -07. Staff recomrends approval of Annexation Agreement 88-04. Ale, ly su ted, r er BB:MB:vc Attachments: Exhibit 'A' - Vicinity Map Exhibit 'B' - Project Map Annexation Agreement Development Agreement Planning Commission Staff Report of October 26, 1988 Planning Commission Minutes of October 26, 1988 Resolution Approving Annexation Agreement Ordinance Approving Pre-Zone Ordinance Approving Deveellopment Agreement 1114111311 City Limit* kvk .a Unlnst♦rper.ted Area Within City Sphere of Intloonm• CITY OF RANCID CUCAMOWA PLANNING TIEW DA 88.03; DDA 88 -07 ANNEX 88.04 TnU, VICNWTY MAP EXHIBIT, "AN SCALES X53 Kr 4 I _ I VACANT LOW RES (24DU/AC) I 07'E 1173.68' VACANT LOW RES PROJECT SITE < (2- 4DU /AC) „:, VACANT OR LOW LOW RES (2- 4DU /AC) " VACANT a LOW RES (2- 4DU /AC) NORTH CITY OF ITEM DA 88.03; DDA 88.07,ANNEX 88 -04 R,A -NCHC) CL,CAAOMA TITLE, GEN PLAN DESIG. /PROJECT MAP PLANNING EXHIBIT; "a° SCALE 'e- DRAFT Chairman NcNtelat d iNst_because the apyticant had withdrawn Environment l' ('Y Assessment-and Industrial Specific Plan- Ameadeent 88 -02, no further action was �es�ry. G. ENVIRONMENTAL ASSESSMENT AND DEVELOPMENT DISTRICT AMENDMENT 88 -07 - reques prc -zone approx maiFy 5',�acres o an a e southwest corn er of Etiwanda Avenue and 25th Street to Low Density Residential (2 -4 dwelling units per acre) - APR: 225- 082 -01. H. ENVIRONMENTAL ASSESSMENT AND DEVELOPMENT AGREEMENT 88 -03 - AIMANSON rcques approve a eve opmen agreemen or approximately acres of vacant land located at the southwest corner of Etiwanda Avenue and 25th Street - APR: 225 - 082 -01. Miki Bratt, Associate Planner, presented the staff report. Chair an Mchiel oMned the public hearing. Cr. 9 Page, Ahmanson Developments, stated he felt that density was the only issue. P• pointed out that the Melcher project located Just south was at the same Law density designation. He saw no reason to tower the density from the 3.0 agreed to with Meicher to 2.25 for his development. He wanted a 2.5 density agreed to in the Development Agreement, and would possibly lower the density during the tract review. Hearing no further coaments, the public hearing was closed. Chairman McNiel asked if the Southern California Edison property had -een Included in the plan. Ms. Bratt stated It was separate. Commissioner Chitiea stated that she felt uncomfortable approving a Development Agreement at a higher density than what was really desired. Cnmmi;sioner Emerick agreed that if the Commission desired a density of around 2, It was better to have an agreement with a maximum of 2.25 than 2.5. Chairman MCNial stated that the Commission had requested greenbelt /paseos on the Melcher development, and they would likely be required for this development as well. Commissioner Chitiea felt the paseos should be lncorporaiad into the project. grad Buller. City Planner, reiterated that 'je Development Agreement only established a preference cap, it did not guarantee a certain density. Commissioner Emerick stated he would like to see en attorney fees provision in the Development Agreement which would also allow the recovery of costs. Planning Commission Minutes -7- October 26, 1538 /55 , DRAFT FOF7 Drcr t vza ,, r,..-_ Motion: Moved by Emerick, seconded by Tolstoy to adapt the Resolutions~ 4 recommending approval of Environmental Assessment and Development District Amendment 88 -07 and Environmental Assessment and Development Agreement 88 -03 with amendment to priviee for recovery of costs. Motion carried by the following vote: AYES: COMMISSIONERS: BLUESLEY, CHITIEA, EXERICK, KNIEL, TOLSTOY HOES: COMMISSIONERS: NONE ABSENT: COMMISSIONERS: MINE - carried 8.20 P.X. - Planning Commission Re.essed. 8:35 P.M. - Planning Commission Reconvened I bEYELOPMENT AGREEMENT 83-01 - HERITA9E PARK APARTMENTS uest by the N o amen section maintenance uaran y, o an axis ng Development Agre ant for the senior housing project located on L Court west of Archt ld Avenue - APH: 202 - 151 -34. J DEYELOPNE AGREEMENT PS -01 - RWOi reques y , e y 5 are ec existing dev o nt igreement for the west side Amethyst Avenue, no 111Li Batt, Associate anner, presented Chairman McN1el opened th public hear hearing was closed _ A an taff report. Hearing no comments, the public Notion: Moved by Chitiea, se--o a by Tolstoy, to adopt Resolutions approving Davelopment Agreement 83 -01 and velopment Agreement 85 -01 Motion carried by the following vote AYES: COMMISSIONERS BLAKESLV , i NOES COMIISSIONFRS HONE ABSENT COM4JSSION S HONE K enue) and Hardman 24 -27 Plants ng Commisslon Minutes -8- EA, EMERICK, MCNIEL, TOLSTOY - carried i r reyues6 w pre -lone the n theast Corner o! 24th Road to Planned Community - October 26, 19118 ' RECORDING REQUESTED BY AND, WHEN RECORDED, MAIL TO: Beverly a. Au•.helet City Clerk City of Rancho Cucamonga P.O. Box 807 Rancho Cucamonga, California 91730 ANib-..ATION AGRED1ElfT i This ANNEXATION AGREEMENT ('Agreement') is entered into to be effective on , 1988, by and between the CITY OF RANCHO CUCAMONGA. a municipal corporation of the State of California ('City% and AHMANSON DEVELOPMENT, INC. (hereinafter referred to as 'Owner'). A. Recitals (t) Amer is the owner of property presently located in the unincorporated area of San Bernardino County, California, consisting of approximately 52.2 acres at the southwest corner of Etiwanda Avemie and 25th Street more particularly described in Exhibit 'A' hereto and hcreinafter referred to as 'the Property'. (it) Owner desires to annex the Property to the City if City, prior to annexation, approves that proposed Development Agreement attached hereto as Exhibit 'B' ('the Development Agreement' hereinafter). (111) City has determined that annexation of the Property into the City would be beneficial to City and is concurrently providing assurances to Owner of Owner's permission to develop the Property by entering into the Development Agreement. -1- B. Areement ROM, THEREFORE, the parties hereto agree as follows: 1. Initiation of Proceedings. Subject to paragraph 2 below, City v shall initiate and diligently pursue to completion proceedings for annexation i ! of the Property to the City in as expeditious a manner as possible and in accordance with the provisions of the Cortese -Knox Local Government Reorganization Act of 1985 'Government Code Sections 56000, et M., the previously or concurrently herewith adopted a Resolution of Application to Annex and promptly shall submit the proposal for annexation of the Property to the City to the Local Vency Formation Comission of San Bernardino County ( "LAFCO "). City agrees to comply with all reasonable and normal conditions and requests for additional infnrmation and documents imposed by LAFCO in connaction with the annexation proposal. City agrees to negotiate in good faith with the County of San Bernardino ("County") as to the real property tax exchange between the City and the County to the end that such exchange is agreed upon at the earliest possible time. After LAFCO has made 'ts order of determinations with respect to the annexation proposal and provided that City has approved the Development Agreement as provided in Paragraph 2 below, City shall complete the annexation proceedings. It is the intent of Amer and City that the annexation proposal approved by LAFCO authorize the City to proceed with the annexation without notice and hearing and without election In that regard, timer agrees to consent to the annexation and, further, purer shall forthwith suspend its activities and processes related to obtaining land use entitlements for the site or any portion or portions thereof from the County of San Bernardino. 2. Cumpletlon of Annexation Proceedings. Notwithstanding the provisiors of Paragraph 1 above, City shall not adopt a resolution ordei'ng the annexation of the Property to the City, nor authorize the Clerk of the City to transmit a certified ropy of such resolution pursuant to the Cortese - Knox Act to the Executive Officer of LAFCO until City's City Council approves the Development Agreement -2- 0 1; 3. Environmental Review. In connection with approval of the F. Development Agreement, City shall undertake all necessary and appropriate 'z' review and evaluation of the potential environmental impacts thereof and the development of the property in accordance therewith on a timely basis and in conformity with all legal requirements, and shall be the "leas agency' for purposes of the California Environmental Quality Act. 4. Notices. Any notice to either party shall be in writing and given by delivering the same to such party in person or by sending the same by registered or certified mail, return receipt requested, or Express Mail, with postage prepaid, to the party's mailing address. The respective mailing addresses of the parties are, until changed as hereinafter provided, the following: City: City of Rancho Cucamonga 93ZO Base Line Road Rancho Cucamonga, California 91701 Attn: Larry Henderson, Senior Planner Omer: Ahmanson Developments ,Inc. 1123 Parkview Drive, Suite 300 Covina, California 91724 Attn: Craig Page Either party may change its mailing address at any time by giving written notice of such change to the other party in the manner provided herein at least ten (10) days prior to the date such change is effected. All notices under this Agreement shall be deemed given, received, made or cersounicated on the date personal delivery is effected or, if mailed, on the delivery date or attempted delivery date shown on the return receipt -3- !i✓ C' y S. Attorneys' Fees. If legal action is brought by either party against the other for breach of this Agreement, or to compel performance under this Agreement, the prevailing party :"all be entitled to an award of reasonable attorneys' fees and costs. 6. Negation of Partnership. The parties specifically acknowledge that development of the Property is a private development, that neither party 1s acting as the agent of the other to any respect hereunder, and that each party is an independent contracting entity with respect to the terms, covenants and conditions contained in this Agreement. None of the terms or provisions of this Agreement shall be deemed to create a partnership between or among the parties in the businesses of Developer, the affairs of City, or otherwise, nor shall it cause them to be considered joint venturers or members of any joint enterprise. This Agreement is not intended nor shall it be conttnned to create any third party beneficiary rights in any Person who is not a party, unless otherwise provided. 7. Saverability. Invalidation of any of the provisions contained in this Agreement, or of the application thereof to any Person, by judgment or court order shall in no way affect any of the other provisions hereof or the appllcstion thereof to any other Person or circumstances and the same shall remain in full force and effect, unless enforcement of this Agreement as so invalidated would be unreasonable or grossly inequitable under all the circumstances or would frustrate the purposes of this Agreement. 8. Exhibits. All Exhibits to which reference is made herein are deemed incorporated into this Agreement In their entirety by reference thereto 9. Entire Agreement. This written Agreement and the Exhibits hereto contain all the representations and the entire agreement between the parties with respect to the subject cutter hereof. Except as otherwise specified in this Agreement, any prior correspondence, memoranda, agreements, warranties or representations are superseded In total by this Agreement and Exhibits hereto, and such memoranda. -4- /Y � �i 10. Construction of Agreement. The provisions of Uis Agreement and the Exhibits hereto shall be construed as a •hole according to their common meaning and not strictly for cr agafr,st any party and consistent yith the provisions hereof, in order to achieve the objectives and purpose of the ' parties hereunder. The captions prcedfng the text of each article, section, subsection and the Table of Contents hereof are included only for convenience of reference and stall be disregarded in the construction and interpretation of this Agreement. Wherever required by the context, the singular shall Include the plural and vice versa, and the mscaiine gender shall include the f ;inane or neuter genders, or vice versa. 11 Further Assurances: Covenant to Sign Documents. Each party covenants, on behalf of itself and its successors, heirs end assigns, to take all actions and do all things and to execute, with acknowledgement or affidavit if required, any and all documents and writings that may be necessary or proper to achieve the purposes and objective- of this Agreement. 12. Governing Law. This Agreement, and the rights and obligations of the parties, shall be governed by and interpreted in accordance with the taws o• the State of California. 13. Counterparts. This Agreeuent may be executed in any number of counterparts, each of which shall be dew.d an original, but all of which, when taken together, shall constitute ore instruaent. The parties have executed this Agreement as of the day and year first written above. -5- RECORDING REQUESTED BY AND WHEN RECORDED NAIL TO: Beverly A. Authelet City Clerk City of Rancho Cucamonga P 0. Box 807 Rancho Cucamonga, California 91730 THIS AGREEMENT is made and entered into as of the thirty -first day following final adoption of the ordim1ce approving it (hereinafter, the 'Effective Date') by and between the CITY Of RANCHO CUCAMOMGA, a municipal corporation ('City' hereinafter) and AMANSON DEVELOPMENTS, INC. (hereinafter referred to as 'Developer'). MITMESSETH: A. vecitals. (i) California Government Code Section 65864 provides as follows' 'The Legislature finds and declares that: '(+) The lack of certainty in the approvol of development pi 'ects can result in a waste of resources, escalate the cost of housing and other development to the consumer, and discourage investment in and comitment to comprehensive planning which would make maximum efficient utilization of resources at the least economic cost to the public '(b) Assurance to the applicant for a develepment project that upon approval of the project, the applicant may proceed with the project in accordance with existing policies, -I- J / rules and regulations, and subject to conditions of approval, will strengthen the public planning process, encourage private participation in comprehensive planning, and reduce the economic costs of development.' (i1) California Government We Section 65865 provides in pertinent part as follows: 'Any city. • . may enter into a development agreement with any person having a legal or equitable interest in real property for the development of such property as provided in this article. .. .' (iii) California Government Code Section 65865.2 provides as follows: 'A development agreement shall specify the duration of thq agreement, the permitted uses of the property, the density or intensity of use, the maximum height and size of proposed buildings, and provisions for reservation or dedication of land for publ +e purposes. The development agreement may include conditions, terms, restrictions, and requirements for subsaquent discretionary action, provided that such conditions, terms, restrictions, and requirements for subsequent discretionary actions shall not prevent development of land for the uses and to the density or intensity of development set foMN In the agreement. The agreement may provido that construction shall be commenced within a specified time and that the project or any phase thereof be compioted within a specified time.' ,fv) Developer owns fee title in and to that real property consisting of approximately 53 acres in the unincorporated area of San 8ernardiro County arw proposed for annexation to City. Said property is legally described in Exhibit 'A' attached hereto and hereinafter is referred to as 'the MO. W City's General Plan Designation for the Site is Low Density Residential (two to four units per acre). Developer and City desire to provide through this Development Agreement specific development criteria to be applicable to the Site upon its annexation to City which 4111 provide for maximum efficient utilization of the Site in accordance with sound planning princfples. (v1) This Agreement is entered into pursuant to the provisions of Article 2.5 of Chapter 4, Title 7 of the California Government Code commencing with Section 65864 thereof. (vii) City has determined that the use and intensity of use provided in this Development Agreement is consistent with the General Plan. (viif) As part of the process of approving this Agreement. City her undertaken, pursuant to the California Environmental Quality Act (- CEQA -), the required analyses of the environmental effects which would be caused by the agreement and adopted a resolution documenting compliance with CMA. (fx) As further consideration for the assurances provided by this Agreement to Developer that Developer will not be prevented from developing the Property, City has requested that Developer provide, and is willing to provide, certain additional sums and agreements to construct and transfer to the public certain additional improvements. ROW, THEREFORE, the parties hereto agree as follows: 1 The parties hereby agree that City's zoning and prezoning designation for the Site hereby is deemed to be Low Residential (L) subject to the specific terms and provisions hereof which shall supersede co rifcting standards and requirements of the Low Residential (L) District so long as this agreement Is in full force and effect. The duration of this Development Agreement shall be seven (7) years following the Effective Date, that is, upon -3- Aa the expiration of the seven (7) year period conmoencing im ediateiy after the Effective Date, if Developer has not then performed construction work on the Site or any portion or portions thereof pursuant to a building permit or permits issued by City, the Site or any such portion or portions thereof shall then be deemed to he zoned Low Residential (L) and the development of the Site then and thereafter shall be governed accordingly by the then current provisions of the City's Zoning Ordinance as to L zoning or the then applicable specific plan and /or zoning category succeeding thereto. For the foregoing purpose, construction work shall not include preparation of plans, engineering work or grading. 2. The following development standards and conditions shall govern the development of the Site during the term hereof, subject to the provisions of paragraph 1 hereinabove: A. City shall allo:r the Site to be developed to a density of up to two and a quarter (2.25) per acre, calculated in accordance with City's method of calculation specified in its Development Code as of the Effective Date. Developer may apply for any density within the standards of the Low Residential (L) zone. B. When and if requested by Developer from time to time, City shall use its best efforts to initiate and process to completion proceedings pursuant to the Mello -Roos Coeaunfty Facilities Act of 1982, the Municipal Improvement Act of 1911, the Rinicipal Improvement Act of 1913, the improvement Bond Act of 1915, the Landscaping and Lighting Act of 197 ?, and any and all other available proceedings to provide for public conduit financing for the construction of public improvements required as a condition to develownt of the Site or any portion or portions thereof. C. In lieu of the dedication of land located within the Site, Developer shall pay City's park fees required due to the residential development of the Site. Said park fees shall be calculated in accordance with standards in effect at the time any such fees are due and owing. As to residential development within any final tract, said park fees shall be payable for a lot contained within a final tract when City releases utilities -4- /�, J r for occupancy of that lot for residential use. D. Subject to subparagraphs 2.E and F herelnbblw, Developer shall pay any and all City fees required as a result of development of the Site, or any portion or portions thereof, at rates current at the time Payable, including, but not limited to, beautification fees, park fees, systems development fees, building permit fees, plan check fees and drainage fees. E. Developer may request and City shall extend to Deve'oper credit against required drainage fees only to the extent of Developer's direct : onstruction costs incurred in constructing permanent storm drain drainage facilities required by City as a condition of developing the Site or any portion or portions thereof. F. Developer may request and City shall extend to Developer credit against required systems development fees only to the extent of Developer's direct construction costs incurred in constructing oversized facilities (i.e., facilities sized to service areas located outside of the site) which are not located within the site, or abutting the site. However, if traffic signals are required by this development, the Developer shall be entitled to credit against requfred systems development fees to the extent above the Developer's fair share. G Developer shall consent to the creation of an assessment district or districts to provide for the construction and maintenance of any and all lighting and landscaping within public rights- of-way within the Site or abutting the Site pursuant to the Landscaping and Lighting Act of 1972 or, if applicable. Developer shall consent to an annexation or annexations of the Site or any portion or portions thereof to an existing assessment district formulated under said Act for that purpose. H. If required by City a: a condition of development of the Site or any portion or portions thereof, Developer shall consent to the application of the Hello -Roos Facilities Act of 1982 thereto to construct and maintain facilities and /or to purchase and maintain equipment reasonably -5- 1410 , a necessary to provide fire protection services to the Site or the applicable portion or portions thereof. I. If required by City as a condition of development of the Site or any portion or portions thereof. Developer shall consent to the application of the hello -Roos Facilities Act of 1982 thereto, or Developer contribution of equivalent funds, to construct region,! drainage facilities. J. If the City vacates 25th Street, the southern half of the public right -of -way shall revert to the property owner and the northern half of the public right- of-way shall be retained by the City for drainage purposes. To facilitate these changes, the City shall include the entire right -of -pay for 25th Street In the Annexation request. K. Developer shall provide each prospective buyer written notice of the potential Fourth Stmt Rock Crusher project in a standard format as determined by the City Planner, prior to accepting a de,osit on any property. 3. Except as expressly modified herein, all substantive and procedural requirements and provisions contained in City's ordinance3, specific plans, rules and regulations, including, but not limited to, its Development Code, as amended, building code, electrical code, fire code and plumbing code shall apply to the development of the Site pursuant to this Development Agreement. Further, any terms or phrases contained herein for which there are definitions provided in City's said Development Code shall be deemed to be utilized in accordance with those definitions. 4. In accordance with California Government Code Section 65868.5, a certified copy of this Agreement shall be recorded with the Recorder of San Bernardino County, California, +amedlately upon this Agreement becoming effective. S. The parties further agree as follows: 4 7 .'N A. Except as expressly set forth in this Agreement, no representations of any kind or character have oeen made to one another by any of the parties hereto or by any of the parties' agents, representatives, associates or attorneys with respect to aach subject to which this Agreement relates. B. This Agreement contains the entire agreement of the parties with respect to each subject to which it relates. C. This Agreement can only be amended in writing, which writing must first be executed by all of the parties hereto. D. No provision of this Agreement may be waived, except in writing, which writing must be executed by all of the parties hereto. E. The parties hereto each agree that they shall execute and deliver to the other, upon request so to do, any and all documents reasonable and necessary to accomplish or eviden.e the agreements contained in or contemplated by this Agreement. F. In the event that any party should default in one or, more of its obligations provided in or contemplated by this Agreement, the defaulting party shall pay to the other all expenses incur d in connection with efforts to enforce such obligation, including reasonable attorneys' fees and costs, whether or not suit be comwenced. G This Agreement, all other documents and agreements provided In or contemplated hereby, and all rights and obligations arising therefrom shall oe binding upon and inure to the berefit of the parties hereto and their respective heirs, representatives, sur ^essors and assigns. 6. Annual Review. City and Developer shall review the performance of this Agreement, and the development of the property, at least once in every 12 -month period from the date hereof. As part of such annual review, within 30 days after each anniversary of this Agreement, Developer shall deliver to City all information reasonably requested by /City M regarding Developer's / _7_ performance under this Agreement demonstrating that Developer has couplied in good faith with tors of this Agreement and (1i) as required by the City's Existing Ordinances. If as a result of such annual review, City finds and determines, on the basis of substantial evidence, that Developer has not complied in good faith with any of the terms of conditions of this Agreement. City may terminate this Agreement. 7. Covenants Run with the land. All of the provisions, terms, covenants and obligations contained in this Agreement shall be binding upon the parties and their respective heirs, successors (by merger, consolidation, or otherwlsc) and assigns, devisees, administrators, representatives, lessees, and all other persons acquiring any rights or interests in the Property, or any portion thereof, whether by operation of law or in any manner whatsoever and shall inure to the benefit of the parties and their respective heirs, successors (by merger, consolidation or otherwise) and assigns. All of the provisions of this Agreement shall be enforceable as equitable servitudes and constitute covenants running with the land pursuant to applicable law. Each covenant to do or refrain from doing some act an the Property hereundnr (A) is for the benefit of and is a burden upon every portion of the Property, (B) runs with such lands and (C) is binding upon each party and each successive owner during its ownership of such properties or any portion thereof, and each persor having any interest therein derived In any manner thorough any owner of such lands, or any portion thereof, and shall benefit each party and its lands hereunder, and each other person succeeding to an interest In sluh lands. Notwithstanding any of the foregoing or in this Agreement to the contrary, any assignee or transferee or mortgagee which acquires any right or Interest In or with respect to the Property or any portion thereof shall take and nold such rights and interests subject to this Agreement and shall not have been deemed cc have assumed the Developer's ,tbiigations or the other affirmative duties and obligations of Developer hereunder except: (i) to the extent that aq/ of such assignees, transferees or mortgagees have expressly assumed any of the duties or Oligatlons of Developer hereunder; III) if any such assignee, transferee or mortgagee accepts, holds, or attempts to exercise or enjoy the rights or interests of Developer hereunder, it shall have assumed the obligations of Developer; and (111) to the extent that the performance of any duty or Oligatlon by Developer is a condition to the performances of a covenant by neveloper, it shall continue to be a condition to Developer's performance hereunder. 8. Mrtgagee Protection. This Agreement shall b3 superior and senior to any lien placed upon the Property, or any portion thereof, including the lien of any mortgage. Notwithstanding the foregoing, no breach hereof shall defeat, render invalid, diminish or impair the lien of any mortgage made in good faith and for value and any acquisition or acceptance of title or any right or interest in or with respect to the Property or any portion thereof, by a mortgagee (whether under or pursuant to a mortgage, foreclosure, trustee's sale, deed in lieu of foreclosure, or otherwise), shall be subject to all of the terms and conditions contained in this Agreement. No mortgagee shall have an obligation or duty under this Agreement to perform Developer's affirmative covenants of Developer hereunder, or to guarantee such performance; except that to the extent that any covenant to be performed is a condition to the performance of a covenant by City, the performance thereof shall continue to be a condition precedent to City s performance hereunder. Each mortgagee shall have the right (but not the obligation) for a period of ninety (90) days after the receipt of such notice from City to cure or remedy, the claim of default or noncompliance set forth in the City's notice, if the default is of a nature which can only be remedied or cured by such mortgagee upon obtaining possession, such mortgagee shall seek to obtain possession with diligence and continuity through foreclosure, a receiver or otherwise, and shall thereafter remedy or cure the default or noncompliance within th4rty (30) days after obtaining possession. If any such default or -9- 1 / Ili nonconliance cannot, with diligence, be remedied or cured within such thirty (30) day period, then such mortgagee shall have such additional time as may be reasonably necessary to remedy or cure such default or noncompliance if such mortgagee caaaences cure during such thirty (30) day perloa, and thereafter diligently pursues and complotee such cure. IN WITNESS WHEREOF, the parties have executed and entered into this Agreement as of the ef4ciive date of the ordinance approving this Agreement. CITY OF RANCHO CUCAYONGA Dated: _. By or Dated: By City er OWNER: AFMANSON DEVELOPMENTS, INC. Dated: _ By STATE Or CALIFORNIA ) ss. COUNTY OF ) On 1988, before me, the undersigned a Notary Public in and for said County and State, personally appeared and proved to me on the basis of satisfactory evidence to be the person executed this instrument as of AFMANSON DEVELOPMENTS, INC, and acknowledged to ma that such o cer s authorized to execute on behalf of such corporation WITNESS my hand and official seal. Notary Public in an or sa a e -10- / 7/ ABSTRACT: The applications for Development District Amendment TP-re-Zo-n-el and Development Agreement are part of a package of actions for development of approximately 131 units on 52.5 aures of undevelopeJ land located at the southwest corner of Etiwanda Avenue and 25th Street. The applicant has requested annexation to the City. An application for annexation has been filed by the City with the San Bernardino County Local Agency Formation Commission. The applicant has not filed any project applications with the County preferring to go through the City process. In addition a tentative tract map application has been filed with the City and 1s undergoing review. II PROJECT AND SITE DESCRIPTION: A. Action Requested: The applicant 1s requesting the pre- zoning of SZ.5 acres of undeveloped land as part of annexation proceedings and In preparation for development. An application for approval of a Development Agreement for a term of 7 years 1s also requested. B. Surrounding Land Use and R in W_rih� sdion Wl y orr. or; County Nest Valley Foothills Community Plan designation 1s Public (1 dwelling unit per 10 acres). 17D- — CITY OF RANCHO CUCAMONGA STAFF REPORT DATE: October 26, 1988 TO: Chairman and Members of the Planning Commission FROM: Brad Buller, City Planner BY: Mik1 Dratt, Associate Planner SUBJECT: ENVIRONMENTAL ASSESSMET AND DEVELOPMENT AGREEMENT 88 -03 - reques o approve a aveirlopn —%n agreemen or approximtely 53 acres of vacant land located at the southwest corner of Stlwanda Avenue and 25th Street - APN: 225 - 082 -01. ENVIRONMENTAL ASSESSMENT AND DEVELOPMENT DISTRICT 741ENDMERT -88- - - reques o pre -zone app ox ma y acres o vacau land Located at the southwest corner of Etiwanda Avenue and 25th Street to Low Density Residential (2 -4 dwelling units per acre) - APN: 225 - 082 -01. ABSTRACT: The applications for Development District Amendment TP-re-Zo-n-el and Development Agreement are part of a package of actions for development of approximately 131 units on 52.5 aures of undevelopeJ land located at the southwest corner of Etiwanda Avenue and 25th Street. The applicant has requested annexation to the City. An application for annexation has been filed by the City with the San Bernardino County Local Agency Formation Commission. The applicant has not filed any project applications with the County preferring to go through the City process. In addition a tentative tract map application has been filed with the City and 1s undergoing review. II PROJECT AND SITE DESCRIPTION: A. Action Requested: The applicant 1s requesting the pre- zoning of SZ.5 acres of undeveloped land as part of annexation proceedings and In preparation for development. An application for approval of a Development Agreement for a term of 7 years 1s also requested. B. Surrounding Land Use and R in W_rih� sdion Wl y orr. or; County Nest Valley Foothills Community Plan designation 1s Public (1 dwelling unit per 10 acres). 17D- PLANNING COMMISSION ST, REPORT DA 88-03 d DDA 88-07 - Ahranson Developments October 26, 1988 Pcge 2 South - Existing vacant land; City prd -zone is Low Density Residential (2 -, dwelling units per acre). Cast - Existing vacant land; County Nest Valley Foothills Community Plan designation is Special Development (Master Plan required). Nest - Edison Utility Corridor; County Nest Valley Foothills Community Plan is designated Public (1 dwelling units per 10 acres). C. General Plan Desi nations: Project - oun neral Plan 1s Residential 2 (2 dwelling units per acre); City General Plan is Low Density Residential (24 dwelling units per acre). North - County General Plan is Public (Utility Easement); City General Plan is Open Space (Utility Corridor). South - City General Plan is Low Density Residential (2 -4 dwelling units per acre). East - County General Plan is Residential 2 (2 dwelling units per acre); City General Plan 1s Very Low Density (less than 2 dwelling units per acre). Nest - County General Plan is Public (Utility Easement); City General Plan is Open Space (Utility Corridor). 0. Site Characteristics: The site is vacant. It is an alluvial en s op ng approximately 8% to the south- southeast. Riversidean alluvial fan scrub vegetation covers the site No significant drainage courses traverse the site. The soil is course alluvium including boulders, rubble and cobbles. III ANALYSIS: A. General: The purpose of the annexation is to proceed with p aann-s —for residential development and to participate in financing mechanisms for infrastructure which are in place or being developed in cooperation with the City. An application for annexation has been filed by the City with the San Bernardino County Local Agency For:mtion Commission. The applicant haq not filed any project appli:ations with the County preferr.,,g to go through the City process. A project application has been filed with the City (Tentative Tract 14139) and is undergoing review. It should be noted that the adjacent property to the south (T.P. Melcher) recently completed a similar process with a development agreement establishing a density of up to 3 dwelling units per acre. 173 PLANNING COMMISSION S1. - T REPORT DA 88 -03 E DOA 88 -07 - Aluunson Developments October 26, 1988 Page 3 The following analysis summarizes the main points of the proposed Development Agreement. The applicant has requested annexation to the City. B. Density: The City's General Plan designation for the site is ow ns ty Residential (2 -4 dwelling units per acre). Because of the character of the alluvial fan and distances from services, City policy alms at decreasing the intensity of use as development proceeds to the north. Following these guidelines, staff is recommending a density range for this project not to exceed 2.25 dwelling units per acre. The applicant is requesting density at 2.5 dwelling units per acre. Also, the tentative tract application under review was submitted at a density of 2.5 dwelling units per acre. Therefore, there is a disagreement between City staff and the applicant of .25 dwelling units per acre in density for the project. The site to the south also has the General Plan designation of Lai Density Residential (2 -4 dwelling units per acre) A plan of development, Tentative Tract 13527 (Melcher), has been submitted and approved by the Planning Commission at a density of 2.86 dwelling units per acre. C. Fees: The applicant will pay all the usual City fees. D. Parks: As approved by Community Services, the applicant will within k fees inster,d of setting aside any land for parks parent. E. Schools: In regard to school impacts to the Etiwanda School s r c as required by the District, the applicant will be required to pay fees based on the square footage of each residence. Also, based on a voted override, the applicant will either pay a fee of 7;1,600 per dwelling unit or dedicate a school site suitable to the district. F. Reimbursement: The applicant may request a credit against requ r ra nage fees and road improvements fees in so far as Infrastructure construction exceeds the demands of the project. G. Special Districts: The development agreement wilt require the Participation -in special districts as needed to provide infrastructure for development, including a Mellc -Roos Fire Protection District. IN PLANNING COMMISSION S1 r REPORT DA 88 -03 i DOA 88 -07 - Ahawnson Developments October 26, 1988 Page 4 H. Financln The City will aid in the formation of special s r c s and other financing conduit mechanisms. I. 25th Street: The circulation system for the area north of g an an west of Day Creek 1s being studied by the City Engineering Division. As part of that study, Engineering staff has concurred with the vacating of 25th Street and that the entire right -of -way be included in the annexation, and that the northern half of the right -of -way be reserved for a draina3e easement with the remainder being returned to the property owner. Provision for the vacation of 25th Street is incorporated into the development agreement. J. Term: The term of the agreement wilt be seven (7) years Iv. ENVIRONMENTAL ASSESSMENT: An environmental assessment has been completed y cy s a The site is planned for development. Because of the availability of density bonuses for development in the County, intensity of use for development in the City is expected to be approximately the same as if the site were developed 1n the County. Review by Engineering staff lydicates that with development there will be cumulative traffic impacts which will be mitigated at the time of development through payment of City fees for fair share contribution to off -site improvements and /or actual improvements. Impacts for fire protection have been identified for development in the area. A Nello -Roos Fire Protection District for the purpose of building a new fire station by the Foothill Fire District, as well as financing operation and maintenance of the station 1s being formed. At the time of development the applicant will be required to join the Mello -Roos district. Other potential impacts may be identified and handled during the course of reviewing the Tentative Tract Nap Applicat•on. Based on the above findings, staff recommends issuance of a Negative Declaration under the California Environmental Quality Act V FACTS FOR FINDINGS: The following findings may be made by the Planning commission for Development Agreement 88 -03 and Development District Amendment 88 -07. A. The intended land use is compatible within surrounding land uses, circulation and intensity of use. /7S- PLANNING COIMISSION ST) REPORT DA 88-03 d DOA 88 -07 - Ahmanson Developments October 26, 1488 Page 5 t B. The project will not have any adverse environmental impacts that cannot be mitigated. C. The project Is in confonance with the goals and objectives of the General Plan. VI. CORRESPONDENCE: These items have been edvertised as a public Year) n e Da11 Re ort newspaper, tie property posted, and notices sent o a proper owners within 3DO feet of the project site VII. RECOMIENDATION: Staff recomwends that the Plannir Commission a op e a c ed resolutions recommending approval of Development Agreement 88 -03 and Development District Amendment 88 -07, Res ly s d /City PI ner BB:NB:vc Attachments: Exhibit "A" - Vicinity Map Exhibit "B" - Site Nap Resolution Recommending Approval of DA 88 -03 (Including 'evelopment Agreement 88 -03) Resolution Recommending Approval of ODA 88 -07 RESOLUTION N0. W- ( Cab A RESOLUTION (IF THE CITY COUNCIL OF THE CITY or RANCHO CUCAMONGA, CALIFORNIA, APPROY18G ENVIRONMENTAL ASSESSMENT AND ANNEXATION AGREEMENT 88 -04 (AHMANSON DEVELOPMENTS, IM;.), FOR DEVELOPMENT AND ANNEXATION OF APPROXIMATELY 53 ACRES OF VACANT LAND LOCATED AT THE SOUTNNEST CORNER OF ETIWANOA AVENUE AND 25TH STREET, AND MAKING FINDINGS IN SUPPORT THEREOF. A. Recitals. the City. (t) The owner of the subject property has requested annexation to (1f) The City 1s pursuing a change of organization (annexation) of the subject property from the unincorporated area of the County of San Bernardino to the City of Rancho Cucamonga. (III) Attached to this Resolution, marked as Exhibit '1' and incorporated herein by reference is Annexation Agreement 80-04 concerning the subject property located at the southwest corner of Etiwande Avenue and 25th Street, as legally described in Exhibit 'A' of Annexation Agreement. (10 on November 16, 1988, the City Council of the City of Rancho Cucamonga held a duly noticed public hearing concerning the proposed Mnexation Agreement and concluded sfad hearing on that date. (v) All the legal prerequisites prior to the adoption of this Resolution have occurred. B. Resolution. NOW, THEREFORE, it is hereby resolved by the City Council of the City of Rancho Cucamonga as follows: 1. This Council hereby specifically finds that all of the facts set forth In the Recitals, Part A of thlt Resolution are true and correct. 2 in conjunction with this Annexation Agreement, in conformance with the requirements of the California Environmental Quality Act, an environmental assessment has been prepared. The Council has determined that this application would not have a significant adverse effect on the environment, hereby adopts a finding of no significant impact on the environment, and hereby issues a Negative Declaration. 3. The Council specifically finds that: (a) The annexation conforms to the General Plan of the City of Rancho Cucamonga; and (b) That the public necessity and general welfare require the approial of the Annexation Agreement. /77 �d .v -� r. •... Yid t.. CITY COUNCIL RESOLUTION NO. AA 88-04 - Ahmanson Developments, Inc. November 16, 1988 Page 2 4 4. The City Cowidl approves t1le Annexation Agreement attached hereto as Exhlblt `1 ". /70 ORDINANCE NO. J 7 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF RANCHO CUCAMONGA. CALIFORNIA, APPROVINX; DEVELOPMENT AGREEMENT 88_03 (AHMANSON DEVELOPMENTS, INC.) FOR APPROXIKATELY 53 ACRES OF VACANT LAND LOCATED AT THE SOUTHWEST CORNER OF ETIWANDA AVENUE AND 25TH STREET, AND MAKING FINDINGS IN SUPPORT THEREOF. A. Pecltais. (i) California Government Code Section 56864 now provides, In pertinent part, as follows: "The Legislature finds and declares that: (a) The lack of certainty in the approval of development projects can result in a waste of resources, escalate the cast of housing and other developments to the consumer, and discourage Investment to and commitment to comprehensive planning which would make saxhorn efficient utilization of resources at the least economic cost to the public. (b) Assurance to the applicant for a development project that upon approval of the project, the applicant may proceed with the project in accordance with existing polices, rules and regulations, and subject to conditions of approval, will strengthen the public planning process, encourage private participation to comprehensive planning, and reduce the economic costs of development. (ii) California Government Lode Section 56865 arovldes, in pertinent part, as follows: having a r may enter Interest velropment Agreement with any person legal of such property as provided in this article. P:°perty for the development (111) California Government Code Section 56865.2 provides, in part, as follows: "A development Agreement shall specify the duration of the Use. thetmaximumeheightdand s ze of propose ,buildings,tandrprovlslocyfor reservation or dedication of land for public purposes. The development Agreement may include conditions, terms, restrictions, and requirements for subsequent discretionary actions, provided that such conditions, terms, restrictions, and requirements for discretionary actions shall not prevent development of the land for the uses and to the density or intensity of development set forth in the Agreement..." ?e) CITY COUNCIL ORDINANCE NO. DA 83-03 - Ahmanson Developments, Inc. November 16, 1988 Page 2 (Iv) Attached to this Ordinance, marked as Exhibit '1' and incorporated herein by this reference, is proposed Development Agreement 88 -03 concerning that property located at the southwest corner of Ettwanda Avenue and 25th Street, and as legally described in the attached Development Agreement. Hereinafter in this Ordinance, that Agreement attached hereto as Exhibit '1' Is referred to as "the Development Agreement'. (v) Concurrent with this Ordinance approving this Development Agreement, the City Council has adopted an Ordinance approtifng Development District Amendment 88 -07 for th purpose of pre - zoning the property to Low Density Residential (2 -4 dwelling units per acre). NO On October 26, 1508, the Planning Commission of the City of Rancho Cucamonga held a duly noticed public hearing concerning the application and concluded said hearing on that date and recommended approval. (vii) On November 16, 1988, the City Council of the City of Rancho Cucamonga held a duly noticed public hearing concerning the application. (viii) All legal prerequisites prior to the adoption of this Ordinance have occurred. B. NON, THEREFORE, it is hereby ordained by the City Council of the City of Rancho Cucamonga as follows: 1. This Council hereby specifically finds that all of the facts set fcrth in the Recitals, Part A of this Ordinance are true and correct. 2. In conjunction with this Development Agreement, an Environmental Assessment, to conformity with the requirements of the California Environmental Quality Act, has been prepared. The Commission has determined that this project would not have a significant adverse effect on the environment, and hereby adopts a finding of no significant impact on the environment and issues a Negative Declaration. 3 Based upon substantial evidence presented during the above - referenced public hearings on October 26, 1988 and November 16, 1988, including written and oral staff reports, together with public testimony, this Council hereby specifically finds as follows: (a) The subject property is suitable for the uses permitted in the proposed Development District in terms of access, size, and compatibility with existing land uae in the surrounding area; and (b) The proposed Development District pre -zone would not have significant adverse impacts on the environment, nor the surrounding properties; and (c) The proposed Development district pre -zone is in conformance with the General Plan. / V CITY COUNCIL ORDINANCE 110. DA 88 -03 - Ahmanson Developments, inc. November 16, 1988 !, Page 3 i 1' 4 This Ccmx:il specifically finds that: (a) The location, design, and proposed uses set forth in this Development Agreement are compatible with the character of existing developw.tnt in the vicinity. i (b) The Development Agre,xnt conforms to the General Plan of the City of Rancho Cucamonga. ( S. It is expressly found tha. the public necessity, general welfare, ,n and good zoning practice require the approval of the Development Agreement. h 6. This Council approves the Development Agreement at.ached hereto as Exhibit 014. ..� I EXHIBIT '1' RECORDING REQUESTED BY AND, WHEN RECORDED, MAIL Tr.: Beverl; a. Authelcc City Clerk City of Rancla Cucamonga P.O. Box 807 Rancho Cucamonga, California 91730 ANWATSOM AcaEoEffl, This ANNEXATION AGREEMENT ('Agreement') 1, entered into to be effective on 1988, by and between the CITY Or p.VNCHO CUCAMONGA, a municipal corporation of the State of California ('City',, and AHMANSON DEVELOPMENT, INC. (hereinafter referred to as - Amer'). A. Recitals (1) Amer is the owner of property presently located in the unincorporated Brea of San Bernardino County, California, consisting of approximately 52.2 acres at the southwest corner of Etiwanda Avenue and 25th Street more particularly described in Exhibir 'A' hereto and hereinafter referred to as 'the Prooerty'. (ii) Owner desires to annex the Property to the City if City, prior to annexation, app.oves that proposed Development Agreement attached hereto as Exhibit 'B' ('the Developm.r Agreement' hereinafter). (1111 City has determined that annexation of the Property into the City would be beneficial to City and is concurrently providing assurances to Amer of Owner's permission to develop the Property by entering into the Development Agreement -1- H. ibreerent R•JR. THEREFORE, the parties hereto agree as follows: I. Initiation of Proceedings. SubJect to paragraph 2 below, City shall initiate and diligently pursue to completion proceedings for annexation of the Property to the City in as expeditious a manner as possible and in accordance with he provisions of the Cortese -Knox Local Government Reorganization Act of 1965 (Government Code Sections 56000, et M., the previously or concurrently herewith adopted a Resolution of Application to Mnsx and promptly shall submit the proposal for annexation of the Property to the City to the Local Agency Formation Camnissian of Sin Dernardinn County ( "LAFCO "). City agrees to comply with all reasonable and normal conditions cnd requests for additional information and documents imposed by LAFCO in connection with the annexation proposal. City agrees to negotiate in good faith with the County of San Bernardino ('County ") as to the real property tai exchange between the City and the County to the end that such exchange is a• eed upon at the earliest possible time After LAFCO has made 1tr order of determinations with respect to the annexation proposal and provided that City has approved the Developmwnt Agreement as provided in Paragraph 2 below, City shall complete the annexation proceedings. It is the intent of Owner an. City that the annexation proposal approved by LAFCO authorize the City to proceed with the annexation without notice dnd hearing and without election. In that regard, Owner agrees to consent to the annexation and, further, Owner shall forthwith suspend Its activities and processes related to obtaining land use entitlements for the site or any portion or portions thereof from the County of San Bernardino 2 C m letlon of Annexation Proceedings. RotwithstanJing the provisions of Paragraph 1 above, City shall not adopt a resolution ordering the annexation of the Property to the City, nor authorize the Cierk of the City to tran�mif a certified copy of such resolution pursuant to the Cortese - Knox Art to the Executive Officer of LAFCO until City's City Council approves the Development Agreement -7- 3. Environmental Review. In connection wiU approval of the Development Agreement, City :hall undertake all necessam, and appropriate review and evaluation of the potential environmental impacts *hereof and the development of the Property in accordance therewith on a timely basis and in conformity with all legal requirements, and shall be the "teed agency" for purposes of the California Environmental Quality Act. 4. Notices. Any notice to either party shall be in writing and given by delivering the same to such party in person or by sevdfng the same by registered or certified mail, return receipt requested, or Express Mail, with postage prepaid, to the party's mailing addrss. The respective mailing addresses of the parties are, until changed as hereinafter provided, the following: City: City of Rancho Cucamonga 4 9320 Bate Line Road Rancho Cucamonga, California 91701 Attn: Larry Henderson, Senior Plannsr Owner: Ahmanson Development; ,Inc. 1123 Parkvtew Drive, Suite 300 Covina, California 91724 Attn: Craig Page Either party may change Its nailing address at any time by giving written notice of such change to She other party In 05e manner provided herein at least ten (10) drys prior to the date such change is effecced All notices under this A.jreenent shall be deemed given, received, made or communicated on the date personal delivery is effected or, if mailed, on the delivery date or attempted delivery date shown on the return receipt. -3- r;r .1� ,. �., 1 77 S. Attorneys' Fees. If legal action is brought by either party against the other for breach of this Agreement, or to corpel performance under this Agreement, the prevailing party shall be entitled to an award of reasonable attorngys, fees and coats. 6. eV'tion of Partnership. The parties specifically acknowledge that development of the Property is a private development, that neither party is acting as the agent of the other in any respect hereunder, and that each party is an independent contracting entity with respect to the terns, covenants and concitions contained in this Agreement. Wne of the terms or provisions of this Agreement shall be deemed to create a partnership between or among the parties in the businesses of Developer, the affairs of City, or otherwise, ncr shall it cause them to be considered joint venturers or members of any joint enterprise. This Agreement is not intended nor shall It be construed to create any th4rd party beneficiary rights in any Person who Is not a party, unless otherwise provided. 7. Severab•Ility. Inv,.lidation of any of the provisions contained in this Agreement, or of the application thereof to any Person, by judgment or court order shall in no way affect any of the other provisions hereof or the application thereof .o any other Person or circumstances and the same shall remain in full force and effect, unless enforcement of this Agreement as so Invalidated would be unreasonable or grossly inequitable under all the circumstances or would frustrate the purposes of this Agreement 8. Exhibits All Exhibits to which reference is made herein are deemed incorporated Into this Agreement in their entirety by reference thereto 9 Entire —Agreement. This written Agreement and the Exhibits hereto contain all the representations and the entire agreement between the parties with respect to the subject matter hereof Except as otherwise specified in this Agreement, any prior correspondence, memoranda, agreements, warranties or representations are superseded in total by this Agreement and Exhibits hereto, and such memoranda. -4- 10. Construction of Agreement. The provisions of this Agreement and the Exhibits hereto shall be construed as a whole according to their common meaning and not strictly for or against any party and consistent with the provisions ereof, in order to achieve. the objectives and purpose of the parties hereunder. The captions preceding Me text of each article, section, subsection and the Table of Contents hereof are included only for convenience of reference and shall be disregarded in the construction and interpretation of this Agreement. Wherever required by the context, the singular shall include the plural and vice versa, and the masculine gender shall include the feminine or neuter genders, or vice versa. 11. Further Assurances: Covenant to Sian Documents. Each party covenants, on behalf of itself and its successors, heirs and assigns, to take all actions and do all things and to execute, with acknowledgement or affidavit if required, arty and all documents and writings that may be necessary or proper to achieve the purposes and objectives of this Agreement. 12. Governing Law. This Agreement, and the rights and obligations of the parties, shall be governed by and interpreted in accordance with the laws of the State of California. 13. Counterparts. This Agreement may be executed in any number of counterparts, each of which shall be deemed an original, but all of which, when taken together, shall constitute one instrument. The parties have executed this Agreement as of the day and year first written above. -5- •j , EXHIBIT -1- RECORDING REQUESTED BY AND WHEN RECORDED NAIL T0: Beverly A. Authelet City Clerk City of Rancho Cucamonga P.O. Box 807 Rancho Cucamonga, California 91730 DEIIELOFMW AGREOM THIS ACREEMENT is made and entered into as of the thirty -first day following final adoption of the ordinance approving it (hereinafter, the 'Effective Date') by and between the CITY OF RANCHO CUCAMONGA, a municipal corporation ('City` hereinafter) and AHMANSON DEVELOPMENTS, INC. (hereinafter referred to as 'Developer') WITRESSETN• A. Recitals. (1) California Goverrment Code Section 65864 provides as follows: 'The Legislature finds and declares that: '(a) The lack of certainty in the approval of development projects can result in a waste of resources, escalate the cost of housing and other development to the consumer, and discourage investment in and commitment to comprehensive planning which would make maximum efficient utilization of resources at the least economic cost to the public. '(b) Assurance to the applicant for a development project that upon approval of the project, the applicant may proceed with the project in accordance with existing policies, -1- y,... ; rules and regulations, and subject to conditions of approval, will strengthen the public planning process, encourage private participation in comprehensive piemning, and reduce the economic costs of development." (it) California Government Code Section 65865 provides in pertinent part as follows: "Any city. , may enter into a development agreement with any person having a legal or equitable interest in real property for the development of such property as provided in this article. . . ." (111) California Government Code Section 65865.2 provides as follows: "A development agreement shall specify the duration of the agreement, the permitted uses of the property, the density or intensity of use, the maximum height and size of proposed buildings, and provisions for reservation or dedication of land for public purposes. The development agreement may include conditions, terms, restrictions, and requirements for subsequent discretionary action, provided that such conditions, terms, restrictions, and requirements for subsequent discretionary actions shall not prevent development of land for the uses and to the density or intensity of development set forth in the agreement. The agreement may provide that construction shall be commenced within a specified time and that the project or any phase thereof be completed within a specified time." (iv) Developer owns fee title in and to that real property consisting of approximately 53 acres in the unlncorperated area of San Bernardino County now proposed for annexation to City. Said property is legally described In Exhibit "A" attached hereto and hereinafter is referred to as "the Site" -2- M City's General Plan Designation for the Site is Low Density Residential (two to four units per acre). Developer and City desire to Provide Vhrough this Development Agreement specific development criteria to be applicable to the Site upon its annexation to City w.dch will provide for maximum efficient utilization of th; Site in accordance with sound planning principles. NO This Agreement 1s entered into pursuant to the provisions of Article 2.5 of Chapter 4, Title 7 of the California Government Code commencing with Section 65864 thereof. (vii) City has determined that the use and intensity of use provided in this Development Agreement is consistent with the General Plan. (vifi) As part of the process of approving this Agreement, City has undertaken, pursuant to the California Environmental Quality Act ('CEQA'), the required analyses of the environmental effects which would be caused by the agreement and adopted a resolution documenting compliance with CEQA. (ix) As further consideration for the assurances provided by this Agreement to Developer that Developer will not be prevented fro. developing the Property. City has requested thst Developer provide, and is willing to provide, certain cdditional sums and agreements to construct and transfer to the public certain additional improvements B. Agrmmt , NON. THEREFORE, the parties hereto agree as follows: 1 The parties hereby agree that City's zoning and prezoning designation 1 +r the Site hereby is deemed to be Low Residential (L) subject to the specific terms and provisions hereof which shall supersede conflicting standards and requirements of the Low Residential (L) District so long as this agreement is in full force and effect. The duration of this Development Agreement shall be seven (7) years following the Effective Date, that is, upon -3- tho expiration of the seven (7) year period commencing immediately after the Effective Date, if Developer has not then performed construction work on the Situ or any portion or portions thereof pursuant to a building permit or Permits issued by City, the Site or any such portion or portions thereof shall then be deemed to be zoned Low Residential (L) and the development of the Site then and thereafter shall be governed accordingly by the then current provisions of the City's Zoning Ordinance as to L zoning or the then applicable specific plan and /or zoning category succeeding thereto. For the foregoing purpose, constrectt.rn work shall not include preparation of plans, engineering work or grading. 2. The following development standards and conditions shall govern the deveiopment of the Site during the term hereof, subject to the provisions of paragraph 1 hereinabove: A. City shall allow the Site to be developed to a density of up to two and a quarter (2.25) per acre, calculated in accordanco with City's method of calculation specified in its Development Code as of the Effective Date. Developer may apply for any density within the standards of the Low Residential (L) zone. 8. When and if requested by Developer from time to time, City shalt use its best efforts to initiate and process to completion proceedings pursuant to the Meilo -Roos Community Facilities Act of 1982, the lamicfpal Improvement Act of 1911, the aLnlcfpal Improvement Act of 1913, the Improvement Bond Act of 1915, the Landscaping and Lighting Act of 1972, and any and all other available proceedings to provide for public con,uit financing for the construction of public improvements required as a condition to development of the Site or any portion or portions thereof. C. In lieu of the dedication of land located within the Site, Developer shall pay City's park fees required due to the residential developee,, of the Cite. Said park fees shall be calculated in accordance with standards in effect at the time any such fees are due and awing. As to residential development within any final tract, said park fees shalt be Payable for a lot contained within a final tract when City releases utilities -4- 3 for occupancy of that lot for residential use, r`• 1 D. Subject to subparagraphs 2,E and F hereinbelow, Developer Shall pay any and all City fees required as a result of development of the Site, or any portion or portions thereof, at rates current at the time Payable. including, but not limited to, beautification fees, park fees, systems devel�vment fees, building permit fees, plan check fees and drainage fees. E. Developer may request and City shall extend to Developer credit against required drainage fees only to the extent of Developer's direct construction tests incurred in constructing permanent storm drain drainage facilities required by City as a condition of developing the Site or any portion or portions thereof. F• Developer may request and City shall extend to Developer credit against required systems development fees only to the extant of Developer's direct construction costs incurred in constructing oversized facilities (i.e.. facilities sized to service areas located outside of the site) which are not located within the site, or abutting the site. Hovever, If traffic signals are required by this development, the Ceveloper shall be entitled to credit against required systems development fees to the extent above the Developer's fair share D. Developer shall consent to the creation of an assessment district or districts to provide for the construction and maintenance of any and all lighting and landscaping within public rights -of -way within the Site or abutting the Site pursuant to the Landscaping and Lighting Act of 1972 or, if applicable, Developer shall consent to an annexation or annexations of the Site or any portion or portions thereof to an existing assessment district formulated under said Act for that purpose. N. if required by City ns a condition of development of the Site or any portion or portions thereof, Developer Shall consent application of the Mello -Roos Facilities Act of 1982 thereto to to the to and maintain facilities and /or to purchase and maintain equipment reasonably -5- necessary to provide f1-e protection services to the Site or the applicable portion or portions thereof. - I. If required by City as a condition of development of the Sits or any portion or portions thereof, Developer shall consent to the r„ application of the 1ie110-Roos Facilities Act of 1982 thereto, or Developer x contribution of equivalent funds, to construct regional drainage facilities. J. If the City vacates 25th Street, the southern :'Alf of the public right -of -way shall revert to the property owner and the northern half of the public right -of -way shall be retained by the City for drainage purposes To facilitate these changes, the City shall include the entire right -of -way for 25th Street in the Annexation request. K. Developer shall provide each prospective buyer written - notice of the potential Fourth Street Rock Crusher project in a standard format as determined by the City Planner, prior to accepting a deposit on any property. 3. Except as expressly modified herein, all substantive and procedural requirements and provisions contained in City's ordinances, specific plans, rules and regulations, including, but not limited to, its Development Code, as amended, building code, electrical code, fire code and plumbing code shall apply to the development of the Site pursuant to this Development Agreement. Further, any terms or phrases contained herein for which there are definitions provided in City's said Development Code shall be deemed to be utilized in accordance with those definitions. 4. In accordance with California Government Code Section 65868.5, a certified copy of this Agreement shall be recorded with the Recorder of San Bernardino County, California, immediately upon this Agreement becaNrg effective. S. The parties further agree as follows: -6- as expressly set for in this Agreement, no ( have been lade to one another by any A. Except agents, representatives, kind or character parties this Agreement bons of any b any °f the D ub'ret to which of the part hereto o itlryrespect t0 each S of the parties or attorneys w associates nt of the parties relates• the entire agreeme B. This Agreement contains ? with respect to eacn subject to which it r De amended in writing. which writing resp only C. This Agreement can parties hereto executed by all of the P oaY be waived. except in must first be this Agreement hereto. uted by all 04 the parties p No provision of be exec and which writing oust �� shall execute writing, each agree that nts reasonable The parties hereto do, any and all documents to E• request so a reeoents contained in or deliver to the other, upon or evidence The 9 t° accomplish and necessary this Agreement, one or more of contemplated by shoo the default in that any party this Agreement, the defaulting F in the event efforts in or contemplated by connection with Costs- its provided expen$es incurred in connection fees and its ob11g a ether all party shell paY t °bgation, including reasonable a to enforce such need. nts provided whether or not suit be cp°Oa and agreements arising therefrom nt, all other their G. This Agre ed all rights and obligation' hereby, the benefit of the parties hereto and contemplated assigns' to or and inure to shall be binding upon eQresentatives, successors and erformance respective heirs, shall review ire P it every and Developer at least once view City property, in tY : Mnual Re nt of the Prop develOP'no p such on" deliver to 6. reement. and the hereof. art of ar of t• Ag the ht, Develop pevelogerIs date i{) regarding 12 -month period from of this Agree"n I after each anniversary reasonably requested by city da all information .u. GitY .7- —. performance under this Agreement demonstrating that Developer has complied fn good faith with terms of this Agreement and (ii) as required by the City's Existing ordinances. t If as a result of such annual review, City finds and determines, on the basis of s1-bstantial evidence, that Developer has not complied fn good faith with any 'of the terns of conditions of this Agreement. City may terminate this Agreement. 7. Covenants Run with the lend. All of the provisions, terms, covenants and obligations contained in this Agreement shall be binding upon the parties and their respective heirs, successor: (by merger, consolidation, or otherwise) and assigns, devisees, administrators, representatives, lessees, and all other persons acquiring any rights or interests In the Property, or any portion thereof, whether by operation of law or in any manner whatsoever and shall inure to the benefit of the parties and their respective hairs, successors (by merger, consolidation or otherwise) and assigns. All of the provisions of this Agreement shall be enforceable as equitable servitudes and constitute covenants running with the land pursuant to applicable law. Each covenant to do or refrain from doing some act on the Property hereunder (A) is kanefit --,► and is a burden upon every portion of the Property, (8) ind (C) fikbfndfng upon each party and each successive dp of ste properties or any portion thereof, and each `ari,n �:arlved in any manner thorough any owner of .reof, and shail benefit each party and its lands arson succeeding to an interest in such lands. ty of the foregoing or in thin Agreement to the -e transferee or mortgagee which acquires any right or ,spect to the Property or any portion thereof shall take nd interests subject to this Agreement and shall not J ,,.ve assumed the Developer's obligations or the other ► and obligations of Developer hereunder except: -8- s (1) to the extent that any of su.h assignees, transferees or mortgagees have expressly assmadd any of the duties or obligations of Developer hereunder; (ii) if any such assignee, transferee or , mortgagee accepts, holds, or attempts to exercise or enjoy •he rights or interests of Developer hereunder, it shall have assumed the obllgat As of Developer; and (iii) to the e..,ent that the performance of any duty or cbligation by Developer is a condition to the perforexnces of a covenant by Developer, it shall continue tr, be a condition to Developer's performance hereunder. 8. Mortgagee Protection. This Agreement shall be superior and senior to any lien placed upon the Property, or any portion thereof, including the lien of any mortgage. Notwithstanding tie foregoing, no breach hereof shall defeat, render invalid, diminish or ispalr the lien of any mortgage made In good faith and for value and any acquisition or acceptance of title or any right or interest in or with respect to the Property or any portion thereof, by a mortgagee (whether undrr or pursuant to a mortgage, foreclosure, trustee's sale, deed In lieu of foreclosure, or otherwise), shall be subject to all of the terms and conditions contained in this Agreement. No mortgagee shall have an obligation or duty under this Agreement to perform Developer's affirmative covenants of Developer hereunder, or to guarantee such performance, except that to the extent that any covenant to be performed is a condition to the performance of a covenant by City, the performance thereof shall continue to be a condition precedent to City's performance hereunder. Each mortgagee shall have the right (but not the obligation) for a period of ninety (90) days after the receipt of such notice from City to cure or remedy, the claim of default or noncompliance set forth in the City's notice. If the default is of a nature which can only be remedied or cured by such mortgagee upon obtaining possession, such mortgagee shall seek to obtain possession with diligence and continuity through foreclosure, a receiver or otherwise, and shall thereafter remedy or cure the default or noncompliance within thirty (30) days after obtaining possession. If arty such default or -9- noncompliance cannot, with diligence, be remedied or cured within such thirty (30) day period, then such mortgagee shall have such additional tine as nay be reasonably necessary to remedy or cure such default or noncompliance it such mortg gee ccmences cure during st"... thirty (30) daffy period, and thereafter diligently pursues and completes such cure. IN WITNESS WHEREOF, the parties have executed and entered into this •• Agreement as of the effective date of the ordinance approving this Agreement. Dated: F Dated: G Dated: STATE OF CALIFORNIA ) COUNTY OF is. CITY OF RANCHO CUCA40NGA Uy or By ei T( OWNER: AHMANSON DEVELOPMENTS, INC. By on 1988, before me, the undersigned a Notary Public in and for said County and State, personally appeared and proved to me on the basis of satisfactory evidence to be the person executed this instrument as Of ac now a ge o ee a such o car s authorized to DEVELOPMENTS, xecute on behalfaof such corporation. WITNESS my hand and official seal. Notary Public in and for sa .d e -10- N� 4 LEGAL DESCRIPTION _ A1D;ANSOH DEVELOPMENTS, INC. A portion of the north halt of the southeast 1/4 of Section Q: 2 20, Township 1 North, Range 6 West, SBH described as follows: Beginning at the oast 1/4 cornor of said Section 20: Thence S00 00132 11W. Along the east line of said Section 20, a distance of 1320.25 feet; Thence N89 25'41 "W. Along the south line of the north 1/2 of said section 20, a distance of 2426.34 feet; Thence N.44 38142 "E., a distance of 1836.88 feet to the north line of the southeast 1/4 of said section 20; Thence 5.89 27007 "E. Along the north line of the southeast z 1/4 of said Section 20, a distance of 1135.68 feet to the e Point of Beginning. Excepting •- horefrom the northerly 30.00 feet and the eaoterly 20 00 feet of the above described parcel. subject site contains an area of 52.5 acres. sb5/2310031 ORDINANCE N0.,3 7 V AN ORDINANCE OF THE CITY C(YJNCIL OF THE CITY OF RANCHO CUCAMONGA. CALIFORNIA. RECOMMENDING APPROVAL OF ENVIRONMENTAL ASSESSMENT AND DEVELOPMENT DISTRICT AMENDMENT 88-07 (AFMANSON DEVELOPMENTS. IMC.). A PRE -ZONE OF APPROXIMATELY 53 ACRES OF VACANT LAND LOCATED AT THE SOUTHWEST CORNER OF ETIWAMDA AVENUE AND 25TH STREET TO LOW DENSITY RESIDENTIAL (2 -4 DWELLING UNITS PER ACRE), AND MAKING FINDINGS IN SUPPORT THEREOF. A. Recitals. (i) Ahmanson Developments, Inc. has filed an application for Development District Amendment 88 -07 as described in the title of this Ordinance. Hereinafter in this Ordinance, the subject Development District Amendment is referred to as 'the Application ". (ii) On October 26, 1988, the Planning Commission of the City of Ranch, Cucamonga conducted a duly noticed public hearing on the Application am concluded said hearing on that date, and recaecded approval. (iii) On November 16, 1988, the City Council of the City of Rancho Cucamonga conducted a duly noticed public hearing on the application. (1v) All level prerequisites to the adoption of this Ordinance have occured. D. Drdinarce. NOW, THEREFORE, it Is hereby found, determined, and ordained by the City Council of the City of Rancho Cucamonga as follows: 1. This Council hereby specifically finds that all of the facts set forth in the Recitals, Part A of this Ordinance are true and correct. 2. in conjunction with this Development Nreement, an Environmental Assessment, in conformance with the requirements of the California Environmental Quality Act, has been prepared. The Council has determined that this project would not have a significant adverse affect on the environment, hereby adopts a finding of no significant impact on the environment and issues a Negative Declaration. 3 Based upon substantial evidence presented during the above - referenced public hearings on October 26, 1988 and November 16, 1988, including written and oral staff reports, together with public testimony, this Courcll hereby specifically finds as follows: (a) The subject property is suitaole for the uses permitted in the proposed Development District in terms of access, size, and compatibility with existing land use in the surrounding +red; and /� e. CITY COUNCIL ORDIW'NCE NO. ODA 89 -07 - Aheansa� Developments, Inc. October 26, 1988 Page 2 (b) The proposed Development District pre-zone would not have significant adverse fnpacts on the environment, nor the surrounding properties; and (c) The proposed 0evelopment District pre-zone is in confommnce with the General Plan. 4. The City Council of the City of Rancho Cucamonga hereby approve. the Application. CITY OF RANCHO CUCAMONGA STAFF REPORT DATE: November 16, 1988 TO: Mayor and Members of The City Council FROM: Brad Buller, City P,anner BY: M1ki Bract, Associate Plannar SUBJECT: ENVIRONMENTAL ASSESSMENTr AND ANNEXATION AGREEMENT 88 -03 - CAR "N COMPANY (ETIVANDA HIGHLANDS) - A 'equest to approve an annexation agreement (includes reimbursement agreement) for approximately 546 dwelling units on about 282 acres of vacant land located at the northeast corner of 24th Street (Summit Avenue) and Hardman Bullock Road - APN: 226 -082- 16, 24 -27. ENVIRONMENTAL ASSESSMENT AND DEVELOPMENT AGREEMENT 88 -02 - CARYN COMPANY - A request to approve a development agreement for the Etiwanda Highlands Planned Community consisting of approximately 546 dwelling units on about 282 acres of vacant land located at the northcast corner of 24th Street (Summit Avenue) and Vardmstn Bullock Road. ENVIRONMENTAL ASSESSMENT AND DEVELOPMENT DISTRICT AMENDMENT 88 -04 (PRE -ZONE) - CARYN COMPANY (ETIVANDA HIGHLANDS) - A request to pre-zone approximately 282 acres of land located at the northeast corner of 24th Street (Summit Avenue) and Yardman Bullock Road to Planned Community. ANNEXATION 88 -03 - THE CARYN COMPANY (`- TIVANDA HIGHLANDS) - A request to annex approximately 303 acres of land in the San Bernardino County unincorporated area located at the Northeast Corner of 24th Street (Summit Avenue) and Yardman Bullock Road (LAFCO 2505) - APN: 226. 082 -16, 24- 27 I RECOMMENDATION: The following items are recocmnded for approval',7— nexatlan Agreement 88 -03, Development agreement 88 -02, and Development District Amendment 88 -04. (See attached staff report of October 26, 1988 to the Planning Commission). It is further recossmended that following the public hearing, action on Annexation 88 -03 (LAFCP 2505) be continued to the City Council meeting of January 18, 1589. 4 CITY COUNCIL STPFF REPORT ANNEX 88- 03,DA88- 02,DDA88 -04 November 16, 1988 Page 2 II. ABSTRACT: Approval of the above applications and restitutions are a<tTons necessary to complete the annexation for purpose of development (meet Exhibit Panned Community �P)northeast corner of the The County has approved the project as a Planned Community, and has also approved the first four phases of development consisting of 131 units. (S-.e Exhibit 'B' - Project Map) III BACKGROUND and ANALYSIS 1. Oeveloprent Agreement and D.velo nt District Won n t- eLrr 76;.93x. the PlanningTommTssTon recommence d approval of the Development Agreement and the pre-zone designation of Planned Community. a. Density: The overall density of the application for moot Community is 1.9 dwelling units per acre by the City method of calculation. The intensity of use is consistent with the General Plan Designation of Low Density Residential (less than 2 dwelling units per lanning Commission of attached October 26, 1988) to the . b. County Approvals: On August 24, 1987, County Board o upery f approved development of a Planned Unit Development, Tentative Tract 13565 and Tentative Tract 13564 for 546 dwelling units on tpproximately 282 acres of land. Tentative Tract Map 13565 was revised by the County Planning Commission on July 14. 1988 to delete 10 lots. Minor revisions were made to the conditions of approval at that time The subject ten lots will be cdded to Tentative Tract Map 13564 by Ction of County Planning Commission on November 17, 1988 The text of the approved Planned Unit Development, Tentative Tract Maps, and the conditions of approval adopted by the County, as revised above, are Incorporated into the Development Agreement, as conditions of development which will be required by the City. (See attached Development Plan N128 -49 and inserts, and also Exhibit 'C' Project Phasing Map) _Design Standards: City Design Standards have been Tn_5_r ora�i_nto the Development Agreement. (See attached Development Agreement). The Planning Comaission reviewed these design review standards. Commission stressed the importance of good design and recommended that if rock is used in the design that natural river rock also be used. (See attached Minutes). IOL CITY COUNCIL STAFF REPORT ANNEX 88- 03,DA88- 02.PDABB -01 November 16, 1988 Page 3 2. Annexation Agreement: The Annexation Agreement promises ilia{: good— fsiiheffort will be made by the City and Applicant to annex the subject property to the City. The agreement also establishes the Conditions of Annexation. Attached to the Annexation Agreement is a Reimbursement Agreement for Drainage Facilities %hich will be discussed below and the Development Agreement discussed above. 3. Reimbursement A reemenc: The Reimbursement Agreement s for D—ra nag, ac benefits which will exceed the requirements of the subject property (See attached Reimbursement Agreeme: t). It provides that as upstream development occurs, the applicant will be reimbursed for oversized facilities. The applicant's engineers and City engineers are calculating the benefit area and estimated costs Annexation: In addition to the subject property, easemenEz owned In fee by Southern California Edison Company and Metropolitan Water District will also be included in the territory to be annexed into the City increasing the area to be annexed to 303 acres. Oa June 1, 1988 the City Council approved a resolution of Intent to Annex the subject property and forwarded the application for annexation to the San Bernardino County Local Agency Formation Commission (LAFCO). On September 7, 1988, the City Council approved a resolution accepting the County tax exchange formula. On September 11, 1988 LAFCO approved annexation of the subject property to the City. (See attached LAFCO Resolution 2168) In accordance with the Annexation Agreement, the City agrees not to adopt the resolution ordering annexation until the Pre -Zone and Development Agreement actions became final The ordinances adopting the Pre-zone and Development Agreement are expected to become final on January 7, 1989. Therefore, it is recommended that Annexation 88 -03 (LAFCO 2505) be heard at this meeting of the Council, but final action be deferred until the January 18, 1989 meeting of the City Council. IY. ENY/RONNENIAL ASSESSMENT: Enviromxntal assessment of the app ca ons as een completed and the Planning Commission recommends adoption of a Negative Declaration for the Development Agreement and the Development District Amendment. Staff recommends adoption of a Negative Declaration for the Annexation Agreement and for the annexation action. r� r :r 4i N 1 p CITY COUNCIL STAFF REPORT ANNEX 88- 03,DA88- 02,DDA88 -04 November 16, 1988 Page 4 V. CONCLUSION: The Development Agreement and the request for pre - Plan— Planning Commission. Approval of dAnnexation vAgreemenc including the Reimbursement AgrrEaent, is recommended by staff. Staff also recommends approval of Lhe final resolution BB:MB:Js Attachments: Exhibit "A" - Vicinity Nap Exhibit "B" - Project Nap Exhibit "C" - Project Phasing Nap Staff Report of October 26, 1988 to Planning Commission Minutes of the October 26, 1988 meeting of the Planning Commission Annexation Agreement Development Pro, arty ( attachedct odResolution),AExIlibitriBptton Planned Development Text (attached separately), Exhibit C - Form of Reimbursement Agreement for Storm Drains, and Exhibit D - Etiwanda Highlands Architectural and Design Guidelines, and Exhibit E - Metropolitan Water District: Easement of Fee Title LAFCO Resolution 2168 Resolution Approving Annexation Agreement Ordinance approving Development n i reeeant Ordinance approving Development Dstrict Amendment l00-0Y 1111111111 City UNIt• .vL'%La URINGWOOrstod Area Within City Sphere at Infigemse CITE' OF R.-l" CHO CUCA.MC GA PLANNING /S9 ERTY ITEM: DA 08.02; DDA 08.04 ANNEX 88.03 TITLE _ VICINITY MAP EXHIBrr. "A" SCALE 'tJ S.C.E. EASEMENT PROJECT I SITE UNDEVELOPED ell Ile s �e� o � Y � CITY OF RANCHO CUCAMONGA PLANNING DIVN N RVI. rrEM, ANNEX 88.03 TITLE, /PROJECT MAP EXHIBIT! SCALE-._ /90 CITY OF RANCHO CIJCAMONGA STAFF REPORT DATE: October 26, 1988 TO: Chairman and Members of the Planning Commission FROM: Brad Buller, City Planner BY: Mik1 Bratt, Associate Planner SUBJECT: ENVIRONMENTAL ASSESSMENT AND DEVELOPMENT AGREF.MEnT 88 -62 EARN COIPRIY — A- request to approve a uevelopment Agreement or the Etiwanda Highlands Planned Canm.nity consisting of approriaately 546 dwelling units on approximately 282 acres of vacant land located at the northeast corner of 24th Street (Suaaait Avenue) and Wardman Bullock Road - APR: 226 - 082 -16 and 24 -27. ENVIRONMENTAL ASSESSMENT AND DEVELOPMENT DISTRICT TMWEAROSI --A-request to prezone approximately eue acres o an ocated at the northeast corner of 24th Street (Summit Avenue) and Wardaan Bullock Road to Planned Community - APN: 226 - 082 -16 and 24 -27. ABSTRACT: The applications for Development District Amendment pre -zone) and Development Agreement are part of a package of actions pending annexation for development of approximately 646 single family residences on 282 acres of land to the northeast corner of the City Sphere cf Influence. The County has approved the prcject as a Planned Community, and has also approved the first four phases of development consisting of 131 dwelling urns. The Purpose of annexation is to develop within the City to the City s standards of development and to participate in infrastructure financing mechanisms available through the City. Further, this is one of a series of annexations in the City's Sphere of Influence which are coordinating plans for development. I1. PROJECT AND SITE DESCRIPTION: A. Action Re ested: The applicant 1s requesting approval of a Development reement for a term of 8 years. The applicant is also requesting prezoning of approximately 202 acres of land. N PLANNING COMMISSION STAFF REPORT DA 8842 - CARYN CDMPANy October 26, 1988 Page 2 0. ^ •.. - caison ucl I Community p South - per xistingaYa Avenue) 1s Designation units per a at a densit; East - San Sevaine Corridor; County West Valley Foothills is designated Public (1 dwelling unit ' Land Onth south o eCity;Deve opment District t icctMap Low Density Residential (2 -4 dwelling A Tract (TT 13561 has been approved 2.27 dwelling units per acre h; County West Valley Foothills designation is Rural Conservation West - Existing Vacant Land; County West Valley Foothills Plan 1tun Special Development/ dwel1n9its pacre)andRural Conservation (Flecdwgy C. General Plan Desimnatlons: Project Site - City General Plan is Very Low Density Residential (less than 2 dwelling units per acre) County General Plan :s Residential 2 (2 dwelling North - units per acre) City General Plan is Open Space (Utility Corridor) South - CitytGeneralaPlanalslLow OensftytResidential (2�0 dwelling units per acre) East - City Genera, Plan is Open space (Flood Control); County General Plan 1s Rural West - Conservation (Floodway); City General Plan is Open space (Flood Control); County General Plan is Rural Conservation (Floodwyy) D Site Characteristics: The site is und- veloped alluvial fan, s op ng grassland o percent to the south. Vegetation type is and Riversidian aliuvial fan scattered scrub with a few small trees. A portion of the site on the east lies within the San Sevaine wash The site is also traversed by Henderson Canyon drainage channel and an additional unnamed drainage course. The site is bisected west to east by an Edison utility corridor. It is also bounded on the north by a second Edison utilit, corridor. Further, it is traversed by a Metropolitan Water District easement. l93 PLAMNING COMMISSION STAFF REPORT OA 88 -02 - CARYN COMPANY October 26, 1988 Page 3 III. ANALYSIS: A. General. These applications for Prezone and Development reement are part of a package of applications leading to annexation to the City of an approximately 303 acre parcel of land. Th9 total parcel includes land owned by the Caryn Company and also by Southern California Edison. existing county Approvals. The applicant has received final approval eve -peen of a County Planned Unit Development Of 546 dwelling units on approximately 282 acres of land. The City and County have cooperated throughout the review process. The text of the County Planned Unit Development including the conditions of approval would be incorporated into the Development Agreement by reference. The applicant also has received County approval to build the first four phases of development consisting of 131 dwelling units. The County will not issue building permits until the Mkllo -Roos Fire District is in place. It is the intent of the Applicant to call for a special election to form such a District by the end of November 1988. C. LAFCO Annexation proval. An application for annexation has also been approved by tFe San Bernardino Ccunty Local Agency Formation Commission. Completion of the annexation proceedings awaits review and action on the subject applications being reviewed herein. 0. Density. The applicant requests a 9rezone to Planned Comaunity The overall project density 1s approximately 1.9 dwelling units per acre. This is consistent with the underlying General Plan density of Very Low Density (less than 2 dwellinf, units per acre). E. Open Space. Approximately 38 acres of developable land will be re a ne n its natural state as part of the San Sevalne Nash. Additional amenities will include equestrian trails on the perimeter of the project and landscaped parkways. F. Schools. In regard to school,, impacts to the Etiwanda School IITsYrTc3, as required by the Oistrict the applicant will be required to pay fees based on the square footage of each residence. Also, based on a voted override, the applicant will either pay a fee of $1,600 per dwelling unit or dedicate a school site suftable to the district. G Design Standards. Guidelines, which will give the Planned Conmuni y an faentfflable character, are incorporated by q1 PLANNING COMMISSION STAFF REPORT DA 88 -02 - CARYN COMPANY October 26, 1988 Page 4 refere.ce into the Development Agreement as the 'Etiwanda thehDe elopmenttAgeement (see attached)l1neIt.s ouldibeMDioted that if the issued Building contained ding County by the unty prior to annexation. the units will not these units shall ebe subjecttto the landscapingiand inspection requirements of the Devolopment Agreement Design Gridelines Section. H Fees. In general, the applicant will pay the normal City eevelopment fees. Special conditions will apply to the following: o Stara Drain Fees. Because storm drains will need to be oversize meet circulative drainage impacts, the City will enter into a Reimbursement Agreement with the applicant which will become part of the Developnent Agreement. o Road Construction Fees. Because the area is unimproved, of} s roe cons ruc ion x111 be required to handle the cumulative impacts of traffic and circulation. The applicant pay as Then CityreEngineer. the County Engineer and the Applicant will work together to reach an understanding on the improvements which will be made and their phasing. their use and Park Feoesa fees will the vicinity of the project. I Other Ftnancing Mechanisms. The applicant will eater Into a with n scape ane a gna 19 u�scrict. The City will cooperate unity the applicant in the formation of a Mello -Roos Facill ties District for fire protection, and also for drainage facilities. Other financial mechanisms, such as Mortage Revenue Bonds, will be available to the developer if a bond program is initiated by the City. J Term of the Agreement. The term of the Agreement is eight years. IV ENVIRONMENTAL ASSESSMENT: � environmental inlronment environmental been completed y s are anticipated as a result of annexation to and development within the City. /1? 6- PLANNING COMMISSION STAFF REPORT DA 88 -02 - CARYN COMPANY October 26, 1988 Page 5 The County has completed an environmental assessment and on August 24, 1987, the County Board of Supervisor adopted a Negative Declaration in conjunction with approval of the Final Development Plan (PUO/86- 0012/N13849, TR 13564 and TR 18565). Mitigation measures required by the County include: o Significant drainage improvements are required prior to development of project phascs subject to flooding. o Contribution of 5500,000 to off -site street Improvements is required to address cumulative traffic impacts. o Fire protection includes formation of a Mello -Roos District to finance construction of a fire station, as well as to provide for ;he operation and maintenance of the station. o Fire protection also includes that development will conform to greenbelt standards for lots within County fire hazards area II Mitigation measures for the abrve impacts are inclucr, in the County Conditions of Approval and included in the Development Agreement between the City and the applicant. Based on the above findings, staff recommends issuance of a Negative Declaration under the California Environmental Quality Act. V. FACTS FOR FINDINGS: Facts. The density of the planned community is approximately 1.9 weTTing units per acre, therefore the planned community pre -zone Is consistent with the General Plan designation of Very Low Density Residential (less than 2 dwelling units per acre). An environmental assccaaent has been completed and mitigation measures address cumulative drainage and cumulative traffic Impacts, as well as fire protection impacts. Implementation of these measures mitigate identilied impacts to non - significance. Findings. The following findings may be made by the Planning Comm sion for Development Agreem;nt 88 -02 and Development District Amendment 8844: �i° PLANNING COMMISSION STAFF REPORT DA 88 -02 - CARYN COMPANY October 26, 1988 Page 6 A. The intended land use is compatible with surrounding land uses, circulation, and intensity of use. H. The applications will not have any adverse environmental tcpacts which cannot be mitigated. C. Tne application is in conformance with the goals and oojectives of the General Plan. VI. CORRESPONDENCE: These items have been advertised as public mar ng items —in Thh a Datly�Report newspaper, the property has been posted, and noTicec sent -to all property owners within a 300 foot radius. YII. RECOMMENDATION: Staff recommends approval of the attached .eso u, ons recommending approval of Environmental Assessment and Development District Amendment 88 -04 amd Environmental Assessment and Development Agreement 88 -02. Re full it , Or er City anner 88:M8 :te Attactments: Exhibit 'A' - Vicinity Nap Exhibit '8' - Site Map Resolution Recommending Approval - DA 88 -02 Iincluding Developotrt Agreement 08-92 and attachments thereto) Resolution Recocmen,'Ing Approval - L.tA 88-04 192 DRAFT Notion: loved by Emerlck, seconded by Tolstoy to adapt the Resolutions recommending approval of Envlrouoental Assessment and Development Oistpict Amendment. 88-07 and Environmental Assessment and Development Agreement ,88-03 with amendment to provide for recovery of costs. Motion carried /liy the following vote: i AYES: \COMMISSIONERS: SLAKESLEY, CHITIEA, EMERICK, MCNIEL, TOLSTOY NOES: COMMISSIONERS: NONE ABSENT COMMISSIONERS: NONE - carried r r r r r 8:20 P.M. - Planning Comission Recessed 8 35 P M. - Planning Commission Reconvened r r r r I DEVELOPMENT AGREEMENT 83 -01 - HERITAGE PARK APARTMENTS - A request by the y amen ec t1on 18, M41ntmnance uaran , u an existing Development Agreement for the senior housing project located on Lomita Court west of Arcm bald Avenue - APN• 202- 151 -34. J. DEVELOPHENT AGREEMENT 85 -01 - RUDOLPH HENDRICKSON SENIOR APARTMENTS - A request by e y ame ec on n nance uaran , of an existing development agreement for the senior housing project located on the west side of Amethyst Avenue, north of 19th Street - APH: 201 - 232 -24 Miki Bratt, Associate Planner, presented the staff report. Chairman McNiel opened the public hearing. Hearing no comments, the public hearing was closed Motion. Moved by Chitiea, seconded by ';oistoy, to adopt Resolutions approving Development Agreement 83 -01 and Development Agreement 95 -01. Motion carried by the following vote, AYES COMMISSIONERS: BLAKESLEY, CHITIEA, EMERICK, MCNIEL, TOLSTOY WOES / COMMISSIONERS: NONE .\ ABSE)f - COMMISSIONERS NONE - carried \, K Street (Sumiit Avenue) and APN 226- 082 -16, 24 -27. Planning Commission Minutes i&—d—aEEhe northeast corner of 24th Bullock Road to Planned Community - -8- October 26, 1968 /9S� r.RA.FT L. ENVIRONMENTAL ASSESSMENT AND DEVELOPMENT AGREEMENT 88-02 - CARYN COMPANY - A reques approve a eve opmen agreement or a wa a gh"Tands Planned Community consisting of approximately 546 dwelling units on about 282 acres of vacant land located at the northeast corner of 24th Street (Summit Avenue) and Hardman Bullock Road - APH: 226 - 082 -16; 24 -27. Miki Bratt, Associate Planner, presented the staff report. Commissioner Chltiea questioned the listing of fieldstone foundations under Victorian characteristics. Brad Buller, City Planner, stated the characteristics listing was modelea on the Etiwanda Specific Plan. Commissioner Chitiea stated she did not want to allow development of projects where no native stone was used. She wanted all fieldstone projects to Include some native stone. Mr. Buller stated the Development Agreement could be modified to require native stone as part of any project proposing the use of stone. He also pointed out that paragraph .302 of the Architectural and Design Guidelines was meant to be a collective review of the entire project, not tract by tract. He further stated that the developer was willing to add greenbelt passageways between the cut -de -sacs to make the San Sevaine open area more accessible. Larry Headerson, Senior Planner, suggested a staff correction to the Architectural ara Design Guidelines to provide for City Planner approval of landscape and irrigation improvements on the first four phases, which were being developed under County standards. Commissioner Eeerick asked if there was a condition to require monitoring of urban runoff. Ms. Bratt stated that was to the County approvals and those conditions would be Irw:orporated into the Development Agreement. Chairman McNiel opened the public hearing. Joe DiIorio, Caryn Compagy, introduced Bob Shioto and Frank Caldwell of Standard Pacific Company, the builders, and Ray Allen, Engineer. Mr. Dilorlo stated that they were working with Engineering and they would fully improve Summit otter the San Sevaine wash. He stated that along with lklcher and Ahmanson they were trying to writ/ a North Etiwanda plan. Chairman McNiel stated he felt paseas would add a lot to the development. Hearing no further testimony, the public hearing was closed. Chairman McNiel asked if the tubular steel fencing want wrought iron. Mr. Buller cenfiraeo that it did. Planning Commission Minutes -9- October 26, 1988 • /17S DRAFT �. , Commissioner Enertck requested costs. a standard clause be added regarding of attorney s fees and the Resolutions recovery seconded by BlakesleY. and District Chitiea, ntrl Assessment ^- and Development MOt(tn: Moved by of Env r mental Assess* - native stone ndtng apptoval Envlron r�o�nt 88 -04 (Pre -Zone) prov{de for the use oP s costs. modificatiL i�clusicn of greenbelt con°eisi °and costs' �greeement 88-02 win 1 ^g stere. for recovery of atwrneY in all Pr °J°Cand the Dr °vision 70LSIOY cul -de -sacs, the following vote: IICXIEL. Motion carried by BLAKESLEY, CHI7IEA. EMERICK, AYES: COMMISSIONERS: NOES: COMMISSIONERS: NONE - carried ABSENT: COMMISSIONERS: NONE 87 -33 ER - A , , , * * USE PE 1-f Ye a^ ce uses �SESSMENT AXp COMO1710ow a n s 9375 Ar ibald is tfie E IRONMEN7AL ° a Area specific X, re q s or a ante pera lex located at 2 1588•1 with an existing industrial comb 41 of the ficnteberi Genera . Industrial Distrlct48. �CoPtiued fra rt. Plan APN: 210- 072 -47 and resented the staff October 12 in Beverly Hissen,'Assistant Planner, presented to know if item had beenar° ng spaces to solve the applicant thto e their P parking P Coammisstoner Chttiea stated t ! order to allow the ah a licant utilize comR staff had suggested the PD arkin9 study or a parking deficiency• applicant do a D Ms Nissen stated that staff suggested t i Commission had a discussion devoted restrlpin9 being devoted tO Chairman McHlel stated note happY/with 35% of the parking parking and they were ht decrease in the compact spaces there would be a shot being used. The senior Planne , stateddical facility were Ne also pointed out Dan Coleman. 1f the under old standards 35Z of all required number of requirehas ben operating 20% to medic al facility indusrial ,rreecific Plan °m^act park ing spaces. that th spaces shalt' be devoted to Comp parking D problem n WRiel- opened the public hearing. was not a Lhatrma licant, stated a anticipated, Greg Ruzicka, counsel for time and probieus were during at the facility at this time Parking was normally consumed Chaired^ McNiel asked what percenta9! of a ty ical day. October 26, 19BB -10- a,."ind Commission Minutes I EXHIBIT 'I" RECORDING REQUESTED BY, AND WHEN RECORDED, NAIL TO: Beverly A. Authelet City Clerk City of Rancho Cucamonga P.O. Box 607 Ranch Cucamonga, California 91730 ANNEXATION AGREEMENT ;. THIS ANNEXATION AGREEMENT ("Agreement') is entered into to to be effective on November 16 1988, between the CITY OF RANCHO CUCAMONGA, a municipal corporation -of the State of California ("City "), and CARYN DEVELOPMENT COMPANY. a California corporation ('Owner "). s A. Owner is the owner and developer of Property presently located in the unincorporated area of San Bernardino County, California, more particularly described on Exhibit "A' ( "County Property "). B. Owner desires to annex the County Property to the City if City, prior to annexation, adopts preannexation general plans, zoning and other development approvals and entitlements to use which are acceptable to Owner for the development of the County Property. C. City has determined that annexation of the County Property into the City would he beneficial to City and is concurrently providing assurances to Owner of Owner's permission to develop the County Property by entering into a Development Agreement with timer pursuant to Government Code Section 65864 et M. ('Development Agreement'). The parties agree as follows: Initiation of Proceedings. Subject to Paragraph 2 below, City -I- shall initiate and diligently ptrsue to completion proceedings for annexation of the County Property to the City in as expeditious a manner as possible and In accordance with the provisions of the Cortese -Knox Local Government Reorganization Act of 1985 (Government Code Section 56000 et seq., the 'Cortese -Knox Act% and all other applicable laws. City has previously )r concurrently herewith adopted a Resolution of Application to Ann. •nd promptly shall submit the proposal for annexation of ttre County Property to the City to the Local Agency Forwatioi Commission of Stn Bernardino County (' LAFCO'). City agrees to comply with all reasonable and normal conditions and requests for additional information and documents imposed by LAFCO in connection with the annexation proposal. City agrees to negotiate in good faith with the Ccunty of San Bernardino ('County') as to the real property tax exchange between the City aad the Eamty to the end that such exchange is agreed upon at the earliest possible time. After LAFCO has made its order of determinations with respect to the annex -.ton proposal, and provided that City has granted the preannexatioh City Approvals as provided in Paragraphs 2 and 5 below, City shall complete the annexation proceedings if no majority protest by landowners of the County Property is made. 2 Completion of Annexation Proceedings. Notwithstanding the provisions of Paragraph 1 above, City shall not adopt a resolution ordering the annexation of the County Property to the City, nor authorise the clerk of the City to transmit a certified copy of such resolution pursuant to the Cortese -Knox Act to the Executive Officer of LAFCO until the City Approvals for development of the County Property acceptable to Dwner have become final. As used herein, the term 'City Approvals' include, but are not limited to, a or-iannexation general plan amendment, if necessary; preannexatlon zoning designating the County Property as planned community; the adoption of a Planned Development Text /Plan ('Development Plan') as defined in the Development Agreement entered into concurrently herewith; Tentative Tract Map Nos 13564, 13565, and the Development Agreement. -2- 3. Prezoning of the County Property - Bearings. Pursuant to Governmental Code Section 65859, City shall initiate the appropriate proceedings for the establishment of the zoning classification of the County Property as Planned Community, which zoning classification shall become effective upon annexation of the County Property to the City. The City shall use Its best efforts to set the prezoning for public hearing before the City's Planning Commission on October 26, 1988, tno before the City Council (for the first reading) on November 15, 1988, and before the City Council (for second reading) on December 7, 1988. 4. Environmental Review. In connection with such prezoning, the City shall undertake 517 necessary and appropriate review and evaluation of the potential environontal impact of such prezoning and the development of the County Property in accordance with the County Approvals on a timely basis and In conformity with all legal requirements, and shall be the 'lead agency' for purposes of the California Environmental Quality Act. 5. County Approvals 'County Approvals' as defined in the Development Agreement consists of (a) Tentative Tract Map No. 13564 approved by the Board of Supervisors of the County of San Bernardino on August 24, 1987, pursuant to Ordinance No. 3174; (b) Tentative Tract Map No. 13565 approved ty the Board of Supervisors of San Bernardino County on August 24, 1987, pursuant to Ordinance No. 3174; (c) Planned Development Text/Plan adopted on August 24, 1981, by the Board of Supervisors of San Bernardino County pursuant to Ordinance No. 3174 and on August 24, 1987, by the Board of Supervisors of the County of San Bernardino pursuant to Ordinance No. 3174. (a) Submittal. Prior to the date of this Agreement, Owner submitted the County Approvals to the City for approval by the City. The Development Plan was submitted to the City as the Planred Community Tcxt for all phases of development of the County Property. City agrees to process the County Approval` .n a prompt, efficient and continuous manner, to the end that -3- they are submitted to the Planning Commission for public hearing, at its meeting scheduled for October 26, 1988, and if approved by the planning Commission without appeal, they shall be submitted to the City Council for Public hearing at the City Council's meeting established for November 16, 1988. W. *he Planned Development Text Plan are attached hereto as Exhibit 6. Revocation of Consent. If Developer and City do not mutually approve the County Approvsls, Owner's consent and agreement to the annexation of the County Property to the City shall be deemed revoked and of no force and effect, and City agrees to abandon the Resolution of Application to Annex adopted concurrently herewith a.id shall not use the consent to annexation from Developer secured as part of this Agreement as the basis for annexation of the Property. 7. ttices. Any notice to either party shall be in writing and given by delivering the same to such party in perscn or by sending the same be registered or certified mail, or Express Mail, return receipt requested, with Postage prepaid, to the party's mailing address. The respective mailing addresses of the parties are, until changed as hereinafter provided, the following: City: City of Rancho Cucamonga 9320 Base Line Road Rancho Cucamonga, CA 91730 Attn: Omer: Caryn Development Company P.O. Box 216 South Laguna, CA 92677 -0216 Attn: Mr. Joseph N. Dllorio Eltner party may change Its mailing address at any time by giving written -4- notice of such change to the other party in the manner provided herein at least ten (10) Pays prior to the date such change is affected. All notices under this Agreement shall be deemed given, received, made a- cweunicated on the date personal delivery is affected or, if mailed, on the delivery date or attempted delivery date shown on the return receipt. S. Attorneys' Fees, If legal action is brought by either party against the other for breach of this Agreement, or to compel performance under this Agreement, thr prevailing party shall be entitled to an award of reasonable attorneys' fees and costs. g. Nagatfon of Partnership. The parties specifically acknowledge that the Project is a private development, that neither party is acting as the agent of the other in any respect hereunder, and that each party is an independent contracting entity with respect to the terms, covenants and conditions contained In this Agreement. hone of the terms or provisions of this Agreement shall be deemed to creare a partnership between or among the parties in the businesses of Developer, the affairs of City, or otherwise, nor shall it cause them to be considered joint venturers or me;bers of any Joint enterprise. This Agreement is not intended nor shall it be construed to create any third party beneficiary rights in any Person who is not a party, unless expressly otherwise provided. 10, rovais. Unless otherwise herein Provided, whenever approval, consent or satisfaction (herein collectively referred to as an .approval') is required of a party pursuant to this Agreement, it shall not be unreasonably withheld. Unless provision is made for a specific time period, approval shall be deemed given within thirty (30) days after receipt of the written request for approval, and if a party shall neither approve nor disapprove within such thirty (30) day period, or other If id as may be specified in this Agreement for approval, that party shall then be deemed to have given its approval. If a party shall disapprove, the reasons therefor -5- shall be stated in reasonable derail in writing. Approval by a party to or of any act or request by the other party shall not be needed to waive or render unnecessary approval to or of any similar or subsequent acts or request. The standards, terns and conditions for Approvals under this Agreement shall extend to and tind the partners, officers, directors, shareholders, trustees, oeneficiaries, agents, elective or appointive boards, comaissfans, emplgvees, and other authorized representatives of each party, and each such person rhall make or enter into, or take any ac•fon in connection with, any Approval hereunder in accordance with Stich standards, terms and conditions. 11. SeveraDlltty, Invalidation If any of the provisions contained in this Agreement, or of the Application hereof to any Person, erson, by judgment or court order shall in no way affect any other person or circumstance and the same shall remain in fc force end effect, unless enforcement of this Agreement as so invalidated would be unreasonable or grossl, inequitable under all the circumstances or would frustrate the purposes or this Agreement. 12. Exhibits. All Exhibits to which reference is made herein, are deemed incorporated thereto. "'to this Agretment in their entirety be reference 13. Entir_�yrement This written Agreement and the Exhibits hereto contain all the representations and the entlre agreement between parties with respect to the the subject matter hereof. Except as otherwise specified in this Agreement, any prior correspondence, memoranda, agreements, warranties or representations are superseded in total by this Agreement and Exhibits hereto, and such memoranda. 14. Construction of Agreement, The provisions of this Agreement and the Exhibits hereto shall be construed as a whole according to their common meaning and not strictly for or against any party and consistent with the provisions hereof, in order to achieve the objectives and purpose of the -6- parties hereunder. The captions Preceding the text of each Article, Section, subsection and the Table of "Ontents hereof are included only for canvenie. e i of reference and shall be disregarded in the construction and interpretation t. r; of this Agreement. Wherever required by the context, the singular shall Include the plural and vice versa, and the masculine gender shall include the feminine or neuter genders, or vice versa. �r I„ h IS. Further Assurances: Covenant to Sign Documents Each party ?� covenants, on behalf of itself and fts successors, heirs and assigns, to take ail actions and do all things, and to execute, with acknowledgement or affidavit if required, any and all docuoen's and writings, that may be i necessary or proper to achieve the purposes and objectives of this r' Mreeceit. 16. Govern__1ng la_. This of the parties, shall be governed by9and Interpretede In l accordance obligations ithe laes of Coe State of California. 17. Counterparts. rdis Agreement my be executed in any number of counterparts, each of which shall be deemed an original, but all of which when taken together shall cc, ate on instrument. Tie parties hat. Xecuted this Agreement as of the day and year first written above. CITY OF RANCHO CUCAMONGA, a municipal corporation of the State of California By: By: or er .7. CARYN DEVELOPMENT COMPANY, a California corporation By: osep oiu -- President "Owner" d ^" :a LI•d,l. uL:,nc I . I I on I: Parcel Ito. 1: The vent 1/2 of Lila cast 112 and the cant 1/2 of the wnot 1/2 of Seeticti 22, township I north, Mange 6 vent, Sall Rernardino Oosr. and Iierldian, according to the Official I•Int or gold land. F.x csaid S ttion 22. Ua north 1/2 of cite cant 1/2 Of the nacthwcot 114 Of sold Section 22. Also cxccp [!ng therefrom that certain strip of laud 00 feet In width, an deceribed In that certnln grant deed executed by Samuel J. Wawa, at ux., to Tile Metropolitan Water District of Sontharn Caltforaln, a publLr' II corporation, recorded July 30, 1969 In book 7276, page 607, Official ?w accords. I w Also exccptlag the rclrux lhunc certain strips of Land 370 fiat in width. an described In that certain grant decd executed by Samuel J. Nasem, no Trustee to Southern Surplus Rcalty Co., a California corporation, recorded April 27, 1973 in book 8171, pnri 04, Official Records.. Also excepting the month 30 feet thurcof. Alm exceptiug an undlvidca 1/3 Interest In all minerals, oil. Can and 4. hydrocarbon Can as rcuerved In the deed from Alfred D. Davey, not e,,.mrried min, to fay ClorldAC Itnin, an unmarried woman, rccorJcd Hay 31, 1950 In bmk I583, pagu 129, official Bacardi; Parcel No 2: The north 1/2 of the east 112 of the northwest 1/4 Of Section 22, ts.nmhlp I north, range 6 went, Snit necnnrdlno Banc and Iieridtan, according to Elie Official Plat of Gold land. Excepting tharefrom that certain strip of land 330 feet In width lying across the property herein described, as described In that certain grant de :d executed by Samuel J. Waeem. as trustee to Southern Surplus Really Co , a California corporation, recorded April 27, 1977 in book 017L, pn&c 04, Official Records Also cxc cpt L,g an undivided 1/7 inter rat In all ml,mrala. 11 hydrocarbon ran as reserved In the decd from Alfred D. Oav�y, man, to Fay Claridge Main, an umnarrled woman, recorded flay 7 buol 2501, page 129, Official Records t. r C C =1 go' w��c Zvi w �( bFSCRIPI704. 698x7276 rui603 I 4TSr�9 / NOTO • F& -. -rrrl ' Ifni !,W L'MriNEM1/r. ,yfaw '- 1 Recorded at the Request o1! 1 THE IMROPOLITAN UATIR DLSIRICr i A OF S( IMM CALIFORNIA 12 aKOtDID AS aWiMIaI of ' When Recorded Nail to SEOXdi tMUV A11aM VIE METROPOLITAN 31ATIlt DISTRICT J4301962@16 AY. A OF SUMIERN CALIFORNIA n 6D117276 ?&603 �1 -..�.y Post Office Dox 54153 tN iGE Jsa Dena Las Angeles, California 90054 Of7IC1AL RECOO�RRDD�S��,.(,•���i DOL1NOIffMY TRANSFER TAX A 1 1 1 IJ35.a0 J •" Y ' Y 10 A Ci �i 1 � a GRANT GEED I.��trPtWW� v g C ed^ . • MD 1606 -23 -13 ' -moo o U SAYLEL J. VASEM and MN1A ANN {MASER, husband and wife, as joint tenants, hereby grant to t t rJ T'JE HMOrOLr&M MATER DI M CHOP SOUTHERN CALIFORNIA, T— a public corporation- T-� ws'� � the follwinG de3eribad• real property: I �• ' T^ A arrip of lm.d 80 feat wide lying within the west half of the sourlicast quarter and within the cart half of the south- west quarter of Section 220 Township 1 North, Range 6 Most, San Ternardino Base and Naridion, in the County of San Cimardino, State of California, according to United States Government township plat, filed with United States Surveyor Generals Office on November 13, 1885. The northwesterly line of Said strip of land 80 feet wide being pgrallollor concentric with and distant 40 feat north- -as cry, measured'at right angles or radially from the following I described survey line: In the following desiriptiun all curves arc tangent to l A the straight linos which they join; l' DcSLnning at a point on the north lino of Section 27 �I I' 4� of said Township and Renge, said point being distan• thereon ^I� S 89' 26' 43" M 398.70 feet from the lAtersectim of the center II line of 24th Stceet, 60 feet wide, with the center lino of g,1EIW COUNT 'o m- " * m3rn t; ;35.20 i 3 e uu, rUDLIC AGENCY - TAX EXEMPT � EXHIBIT 'E" � " s ♦V C / 0 m7278 rAuG04 Etiwanda Road, 60 feet vide as said center lines cce shown an map of :Pact No. 2428 recorded in 800ks340 page 68 in the o ec of the recorder.of the County of San Bernardino, said point also the beginning of a eurva eoneavo norehvosterly and i having a radips of.600 feet; thence northeosterlS along said 1� cutvo tiisaugh a central scale of,35. 53 29" an are'distance of 375.85 feat, thence N 53' 33' 17" E 4110.57 feat to the V' beginning at a curve concave southeasterly and having-a radius of 550 feet; thence northansterly along said /cucvn through a thence S 81•e59l; 08•, E720378 feet distance a asst quarter eernoc of said Scction 22: The'•sida lines of said strip of kind 8o feet wide, shall be prolonged of shortened so as to terminato southuastcrly in the westerly lfnc wf said cast half of the southwest, quarter and thn north lin: of said 24th Street, 60 feat vide, respectively, and so as to terminatd northeasterly in the east dine of the wart half'of the southeast quarter of said Section 22. Containing 5,82 acres, cord or lest. i t r ResarvinS ro Grantors, [hair suctassbra and assigns, as an cascoat appurtenant to that portion of Grantors land not conveyed to Gsontee herein, an cosecant reasonably noeassary for ingress and egress for roads, and utilities. Provided, I(1) that Grantors shall not ploee an such assonant any fill aerator than fLJo (5) feat in depth Over uhe surface Of of the gro%ind as existed the pipeline orplpnlineather cp einbyCranteds and (22) nt Grantors shall not lower the grid surface vithin'sueh casmant by grading or otherwise in such mannac as to reduce thnoaurer to less than four (L4) fact Over thq top Of pipelines. )Lrchec, Grantee shall offer the abova- described 7 land for dedication as a public road at such time as the orderly development Of the lad adjacent to such described land s• requires such dedication. D r 3 14, � Datcd:,_y � 'U SAMUEL J. WASET fit/ f✓,. Vj/ , WIUM ANN WASEH e� •�Y f seCN. ,I t I Ui L i I i aryl I � I LOCAL A(IENCY FORMATION COMMISSION COUNTY OF SAN BERNAR OINO 175 we" nm stream, Serena E,oe, Ln aamr -O. CA 02414Me0 . (7141 U7.Seea PROPOSAL 60, LA►OO 2505 l Kmtnm 11m, 66724/3162 21, .988 96GOLOrTCN 110. 2166 A R6SOLUTIQF Or 7S f4GL AGC4C! rORNATICII CM@=gOr OF Tffi OOUNLy at SAN "MU AROM NAIMW L12TWOMMT OW ON LRTCO 2504 and AERroy Cl ty Rancho CUeaseaoA Annexe Se 6 wand e! t• (area genera y locate mart or��rmm 4 tree C, ROG.ern BAaCno CLCA,embga area) On motlm of Cwmlatcmr EChuiling, dull seconded by C4aislloner Mlkels, and castled, the LCCAJ Ageocy ►or,oation Coseluioe Adopts the following cesoluti ®, 1HEMS, an Application for the proposed Annexation in the County of Gan Bernardino was heretofore filed with the Exaaptive Officer of this Loco Agency Formation Commission in accordance with the Geceloe 16000 at segvj, AAnndd Saidr8xecutiva Officer has 5e(xaanined0acled application and executed his certificate in RCczrdancs with law, determining and co.tlfying that said filingo ere aufficlentl and, KRRe'v, at the tlests end in the torn and owner provided by law, 'Aid Executive Officer has given notice of public hearing by this Comalbslon upon said application, and, w ®s•e said Executive Officer has reviewed available in- formation and prepared a report Including his recommendations thereon, mild filings and report and related lmformation having been presented to and considered by this Coetisslon, and, WBZR A9, the public hearing by this CCOmisslcn was held upon the dates and at the time and place specified in said notice of public hearing and in order or orders continuing such hearing, and, rnmk ^° at such hearing, this CCeslsslon heard and received all oral and wrltts., protests, the Commission Considered all plans and proposed changes of organization and reorganization, objections And evidence which were made, presented, or filed, It received evidence as to wtether the territory is 11,habited or unlnhablted, improved or unlmproved, and .11 persons preaant were given an opportunity to hear a.d be hrArd in respect to any nutter relating to said application, In cv, +once ]resented At the hearing, NOV, 11YERVORy, 56 IT R6OLVICID, that the Local Agency tomes on commission of the County of San Bernardino does hereby determine, retclve, cider, and rind as follows, F%jE11NINA7TDNS, SEMON 1 The Executive Officer is hereby authorized and directed to mall Certified Capita of this resolution in the m m-r Provldad by Gecticn 56651 of the Government Code S. MON 2. The proposal is Approved subject to the terms a-,d conditions hereinafter spit,f led, alsolno 1 [ondlt gqy LL The conducting Auti,orlty for this proceedtng shnll Dn c.e Cit.' Counall of the City It Rancho Cucanomga his BFSOLUnct( No 2168 gZaliM The boundaries arc approved As sat forth in Fshtbl taacchhed� Co it moo. �y the following distinctly. short = 505 sigrat on e a 1 be used throughout this pcocsedingr IJIPLV 1503. Condit o lbw a• included in the Cit/'s immolation depicting split of assets or liabilities. �se det&bwAt c! County Serviee Arms 70 without ,,W20 No. & the date of issuutce of the Certificate of Complec on srtal De the affective dote of this chneaation' swrfoN 3. the conducting authority is hereby directed to initiate appropriate proceedings in Compliance with this sesol�tion ar�d Stara law (Govt Code Section 37000 through 57053). SAMCN a. The conducting ;. thorny °hall note matenw any ecchanges ni in the boundaries hereby approved nor shall unlu3m� and until it receives the modify any conditions hereby imposed approval of the Local Agency Formation Commission for es p escribe modifications oortco ditionsencursuant to the prceaduras prescribed in Section S=ICV 3 Upon crmplation of its proceadings, the conducting secloniralatln9 torthetDO poieliconssi ered landlforward thefrgViiad f Formation cGrtissiencoies efeoda Section 57075 ethrw9 857179). apprIovin6 Bald actlonipthafcertificatetOfn CopletionnShallnbeapr Dared and filed on Commission in.11"tas approval SS7o1 trio vaoposalhe7l�elcAgen y for~thoritY would accomplish ble the proposed change of organization in a reasona manner with a functions other local chance Of & Ainiolumhedisruption of service to the SWr1CN 8. NDINGS. the following findings are noted !n eenformanea with Commlu On pa Scyt I has subject otnl+r�dtto be'r$1,735,076 The Assessor site is within the sphare of Influence Of the City of Rancho Cucamonga 1 circulationlin has been the ar advertised in by law- Of general 3 N iSanQBernardi CC�nnau QanerallYeconalotantC3allowingntwo General dwelling units per Acre• The are° will be developed under a PUD (approved by the CwntY) that allows 1 DU/AC plus a density bonus a A Neg&tiva Declaration has baen yrepared pursuant to the provlrions of the California M ironmental Lgftific Ant ffectl theienvironmenteMWOO adopted the NeOativ° Daiclaratloe and a� the Coy is on ins 3 h ttructed to file alloticecOf Determination wi Clark thin dayyssen Local Agency currently taming, the sit* are listed In the file County Service Area 70 and Su lmprovsment cone shall be detached be affected annoxation Of n!tectedby this he territory. erritory Hona of the other sganeiea will 6 services that Indicates t1ut +afullrangs of DmuniciP +l�rvlcas of Rancho C.UC^,,c9a will be saver Service ewlllucontinueztoibe Dovldod by the CUCmmongarCounty ° - j RRSOLOSION NO. I148 i' Water District. Fire Protection, will continue to be provided by the Foothill Fire Protection District. 7. She study area will benefit fraN the availability of municipal services. ±� S. This proposal and Sts anticipated efforts do nat conflict with adopted commission policies. 9. All notices required by law have bean gi%rn. No protest has 6aes received. a 10. Hags and legal descriptions met state standards. 11. She City and County haw negotiated the transfer of ad valorca eases as required by this rzoposal. Copies of the resolutions adopted by the City Council of the City of Rancho Cucam�ngs and the Ban Bernardino County Board of Cupervlsors are on file in the L/l00 office Outlining the exchange of revenues. THIS AMON APPROVED AND ADOrM by the Local Agency Formation commission of the Canty of San dernardim by the following vots, AMS ccmPaSSIGNIMS1 Schuiling. Riordan, F,ragnees, Dertolatti, Grant, MLkels, Taylor 14=1 CCMCZWIOM=3 Nona AB.St... CCWCM IOMMs None • a a a a e e e e a a e e e e e STATE OF CALIREfIA ISS. Cowry or SAN 112MIUMM1 I, aAPM M. BOODF, Executive Officer of the Local Agency Formation Commission of the County of San Bernardino, California, do hereby certify this record to be a full, true. And correct dopy of the action "ken by said Commission by vote of the members preaent as the same agpears in the Official 1Gnutes of said Casaisslon at Its regular meeting of September 21, 1988. DATIM, October 19 1988 *t— �tive Officer e .I Esblbit 1sA of M ri EMICH OESCRIPM? tZ MT FM7CH OF SECITON 22 IN TOf*SHIP 1 WAM, RMA;B 6 WEST, SAW BFiR Mmo ;SERMDV;, ALL WnXW THE W1 MENGCl M 7MU70RY OF ' 170: OXWi Cr SM BESMMM, SVMI OF CALIF UMA, OE9C2sIBm AS !771101St :a HOCIIUDU AT THE SLt7176FST MMM OF THE FAST an-ME, OP '1HE WEST ON -FOIW ar SAM SBCTICN 22; 7ADM NORM 0014152" AST 2632.53 F= ALONG THE WST L13E OP ml. FAST OWS A01IY OF TWd WEST QS -HRW OF SAID SEOTTCN 22; 7HM= C77NTIt Mr. AMM SAM) WEST L1IE NMM 0°35'16" FASO 2309.70 Fllrl' TO T7E swnsasr am= CF PAR= 1 As CGSQCIem IN A 0® TO THE SOMMM SUPP=,AGLTY COWANY TJXXW D IN BOON 8171, PAGE E4 OF .,� C7FYIC rAL RECOPI>S OF SAID CIAONIY; THDM AlaG THE SUM L12E CF SAID PARCH, 1 A179IH 69055'28" EAST 1421.60 FT7•'P7 7703iCL OCE7C73ilIIiO ALQiG SAID 8CEn'd'L12E NOM 76 47'55" EP.SI' 1263.13 FFEr TO A POA4i CN no EAST LIEF CF no NFST Q>E-HAw OP 77E EAST QE HALF OF SAID SECTIM 22; TIME ALCM THE SAID FAST LIFE OF nM W= CNE -HUF OF THE FAST Ctr HRH SOW71H 2590.47 P=s T70NCE CI1N1'3NO17iC' ALLR.I" THE SAID PAST '-= OP 77E HIST aa,, mw CF T701 FAST am -HAIP soum 0008'54" WEST 2628.02 FEET TO A P3INT CN nE SMM LIIE OF SAID SEC"ICH 22; 7IMNCE ALONG SAID SOUTH LIEF OF S=Q; :u 59=1 59041'47" WEST 2653.32 = TO'aM POE71' OF BIT.IIIN=. 9 -26-88 7 Revised LegaW � -- RESOLUTION NO. Q 8 �L S I A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF RANCHO CUCAMONGA, CALIFORNIA, APPROVING ENVIRONMENTAL ASSESSMENT AMU ANNEXATION AGREEMENT 88 -03 (cARYM COMPANY - ETINANDA HIGHLANDS) FOR DEVELOPMENT AND ANNEXATION OF APPROXIMATELY 282 ACRES IF LAND LOCATED AT THE NORTHEAST CORNEA OF 24TH STREET (SUMMIT AVENUE) AND NARDMIN BULLOCK ROAD (INCLUDING REIMBURSEMENT AGREEMENT). A. Recitals. (i) The owner of the subject property has requested annexation to the City. (ii) The City is pursuing a change of organization (annexation) of the subject property from the unincorporated area of the County of San Bernardino to the City of Rancho Cucamonga. (iII) Attached to this Resolution, marked as Exhibit '1' and incorporated herein by reference is Annexation Agreement 88-03 concerning the subject property located at the northeast corner of 24th Street (Summit Avenue) and Marduon Bullock Road. (iv) On November 16, 1988, the City Council of the City of Rancho Cucamonga nexaton Agreement and concluded said hearing on that date�ng the proposed (v) All the legal prerequisites prior to the adoption of this Resolution have occurred. B. Resolution. NON, THLREFORE, it is hereby resolved by the City Council of the City of Rancho Cucamonga as follows: 1. The Council hereby specifically finds that all of the facts set forth in the Recitals, Part A of this Resolution are true and correct. 2. In conjunction with this Annexation Agreement, in conformance with the requirements of the California Environmental Quality Act, an environmental assessment has been prepared. The Council has determined that this application would not have a significant adverse effect on the environment, hereby adopts a finding of no significant impact on the environment, and hereby issues a Negative Declaration. ��i k i' *r.:. M,.y :ttrc- ',.r::-li °:�.5 Lroj�:i rta�''.i� v��ti:� .. "'d .. _ - ..w•'i.' =: F -'- d- CITY COINCIL_RESOLUTIOM NO.' AA 88 -03 - Caryn Compagy.e': November 16, 1988 Page 2 3. The Couccil' sped fically finds that:. (a) The annexation conforms to the General Plan of the City of Rancho Cucamonga; and (b) That the public necessitl and general welfare require the approval of the Annexation Agreement. 4. The City Council approves the Annexation Agreement attachi,w hereto as Exhibit '1'. zk ORDINANCE NO. 3 $ o AN ORDINANCE OF THE CITY COUNCIL OF RANCHO CUCA.!ONGA, CALIFORNIA, APPROVING DDA 88 -04 CARYN COMPANY, A PRE -ZONE FOR APPROXIMATELY 282 ACRES OF LAND LOCATED AT THE NORTHEAST CORNER OF 24TH STREET (SUMMIT AVENUE) AND wAROMAII BULLOCK ROAD TO PLANNED COMMUNITY, AND WAKING FINDINGS IN SUPPORT THEREOF. A. Recitals. (1) The Caryn Company has filed an application for Development District Amendment 88 -04 as described in that title of this Resolution. Hereinafter in this Ordinance, the subject Development District Amendment is re ferred to as 'the Application.' (ii) On October 26, 1988, the Planning Comission of the City of Rancho Cucamonga conducted a duly noticed public hearing on the Application and concluded said hearing on that date, and recommended approval. ttii) On November 16, 1988, the City Council of the City of Rancho Cucamonga conducted a duly noticed public hearing on the Application and concluded said hearing on that date occurred. 110 All legal prerequisites to the adoption of this Ordinance have B Ordirance. Now, THEREFORE, it is hereby found, determined, and ordained by the City Council of the City of Rancho Cucamonga as follows: 1. This Council hereby specifically finds that all of the facts set furth in the Recitals, Part A of this Ordinance are true and correct. 2. In conjunction with Ahe Application, an Envlroreental Assessaiert, In conformity with the requirements of the California Environmental Quality Act has been prepared. The Council has determined that this project would not have a slgnlficanc adverse effect on the environment, and hereby adopts a finding of no significant impact on the environment and recommends issuance of a Negative Declaration. 3 Based upon substantial evidence presented during the above - referenced public hearings on October 26, 1988, and November 16, 1988 including written and oral staff reports, together with public testimony, this Cnuncil hereby specifically finds as follows: 0 76 •` CITY COUNCIL ORDINANCE�•M0. r• ODA 88 -04 - CARYM COMvAMY - Page 2 r (a) The suJject property Is suitable far the uses permitted in the proposed develc?Wnt district in terns of access, size, and compa'ted In y with existing 'and use in the surrounding area; access, and r significant adverse proposed Deonelonte�pY;ror'ircetnPro-zone would not have Properties; and the surrounding with the General)planproposed Deveioraent District pre-zone is in conformance The City Council the Application. of the City of Rancho Cucamonga hereby approves ca p // CITY OF RANCHO CUCAWNOA STAFF REPORT DATE: November 16, 1988 TO: Mayor and Members of the City Council FROM: Brad Buller, City Planner BY: Miki Bratt, Associate Planner SUBJECT: DEYELOPMR:NT AGREEMENT 83 -01 - HERITAGE PARK APARTMENTS - A request y e City to amend Wtion 18. Mainil-ance Guaranty, of an existing Development Agreement for the senior housing project located on Lomita Court wrest of Archibald Avenue - APR: 202- 151 -34. DEVELOPMENT AGREEMENT 85 -01 - RUDOLPH HENDRICKSON SENIOR ArAwintwia - A vequest oy the City to amend Secti-on—ZZ-, Maintenance Guaranty, of an existing Development Agreement for the senior housing project located on the west side of Amethyst Avenue, north of 19th Street - APN: 201- 232 -24. I. RECOMENDATION: The Planning Commission recommends approval of the a ac a nances. The Ordinances ames.i Section 18 c.' Wvelopment Agreement 83 -01 (Heritage Park Apartments) and Section 22 of Development Agreement 85 -0. (Rudolph He.drickson Senior Apartments). (See attached Staff Report to the Planning Commission iI. BACKGROUND: The purpose of these amendments is to clarify the angT uagF-1n the iLwintenance Guaranty section of the first two senicr housing development agreements. Thn languaga of the amendment is as follows: Maintenance Guaranty: Developer shall comply with all City maintenance s n a s enacted from time to time. The owners of Heritage Park Apartments and Rudolph Hendrickson Apartments have been contacted and agree to this amendment. On October 26, 1988, the Planning Commission reviewed the proposed amendments and recowended approval. 2 7a- CITY COUNCIL STAFF REPORT- DA 83 -01 - HERITAGE PARK APARTMENTS DA 85 -01 - RUDLOPH HENDRICKSON APARTMENTS November 16, 1988 Page 2 III. CONCLUSION: Adoption of the attached Ordinances will bring the angl guage of these first two senior housing agreements into conformity with the most recently adopted senior housing agreement and ensure that the existing senior apartments are being properly maintained. Re a fully mitt Ci tan �ead B n ner BB:MB:mlg Attachment: Staff Report of October 26, 1998 Minutes of the Planning Cossission, October 26, 1088 Ordinances of Approval 0-73 I ABSTRACT: Staff is requesting an amendment to the Development 'Xqreemen s for Heritage Park Apartments and Rudolph Hendrickson Senior Apartments, projects built under the Senior Housing Overlay District. The proposed minor changes to the Maintenance Guaranty section of each agreement would bring the earlier agreements into conformity with the language of the most recent Senior Project Development Agreement. The intent of the Maintenance Guaranty section would remain unchanged. II. BACKGROUND: Each Senior Housing Development Agreement contains a secs own i'— provide for property maintenance. The purpose is to insure that all landscape areas, common areas, and building exteriors are maintained in good condition. There are two existing Sentcr Housing Projects covered by Development ACreements under the Senior Housing Overlay District. Development Agreement 83 -01 covers Heritage Park Apartments located on Lomita Court west of Archibald Avenue. ^ evelopment Agreement 85 -01 covers Rudolph Hendrickson Senior Apartments located on Amethyst Avenue, north of 19th Street. These existing projects have been inspected annually and are being maintained in good condition. Furthermore, each agreement also includes enforcement sections to be sure than the maintenance provision and other Performance provisions written in the agreoaent are carried out by the property owner. a-) y CITY OF RANCHO CUCAMONGA STAFF REPORT DATE: October 26, 1988 TO: Chairman and Members of the Planning Commission FROM: Brad Buller, City Planner BY: Mfki Bratt, Associate Planner SUBJECT: DEVELOPMENT AGREEMENT 83 -01 - HERITAGE PARK APARTMENTS - A request y the city to amend section ntenance Guaranty, of an existing Development Agreement for the senior housing project located on Lomita Court rest of Archibald Avenue - APR: 202- 151 -34. DEVELOPMENT AGREEMENT 85 -01 - RUDOLPH HENDRICKSON SENIOR APARIMEN1`5 - A request by the o amen on , Maintenance Guaranty, of an existing Development Agreement for the senior housing project located on the west side of Amethyst Avenue, north of 19th Street - APN: 201- 232 -24. I ABSTRACT: Staff is requesting an amendment to the Development 'Xqreemen s for Heritage Park Apartments and Rudolph Hendrickson Senior Apartments, projects built under the Senior Housing Overlay District. The proposed minor changes to the Maintenance Guaranty section of each agreement would bring the earlier agreements into conformity with the language of the most recent Senior Project Development Agreement. The intent of the Maintenance Guaranty section would remain unchanged. II. BACKGROUND: Each Senior Housing Development Agreement contains a secs own i'— provide for property maintenance. The purpose is to insure that all landscape areas, common areas, and building exteriors are maintained in good condition. There are two existing Sentcr Housing Projects covered by Development ACreements under the Senior Housing Overlay District. Development Agreement 83 -01 covers Heritage Park Apartments located on Lomita Court west of Archibald Avenue. ^ evelopment Agreement 85 -01 covers Rudolph Hendrickson Senior Apartments located on Amethyst Avenue, north of 19th Street. These existing projects have been inspected annually and are being maintained in good condition. Furthermore, each agreement also includes enforcement sections to be sure than the maintenance provision and other Performance provisions written in the agreoaent are carried out by the property owner. a-) y L PLANNING COMMISSIGN : F REPORT DA 83-01 - HERITAGE PAPA APARTMENTS DA 85-01 - RODOLPH HENDRHXSON SENIOR APARTMENTS October 26, 1988 Page 2 On June 1, 1988, the City Council approved Development Agreement 87 -02 for a third Senior Housing Project which will be located on Base Line Road west of Archibald Avenue. At the direction of the City Attorney the language of the Maintenance Guaranty section was simplified as follows: Maintenance Guaranty. Developer shall comply with all City maintenance s n a s enacted from time to time. The previous Senior Housing Agreements required a maintenance deposit (Exhibit "A "). The City Attorney suggests a maintenance deposit is redundant because the enforcement sections of the Development Agreements, as well as property maintenance provisions in the City Code, provide adequate enfon:ement procedures. Therefore, staff recommends that the language in the earlier senior agreement be brought into conformance with the most recent agreement. The property owners of Heritage Park Apartments and Rudolph Hendrickson Senior Apartments have been contacted and agree to this amendment to the Development Agreement. III. RECOMMENDATION: Staff recommends approvai of the attached reso u ons. The n solutions recommend amending Section 18 of Development Agreement 67-01 (Heritage Park Apartments) and also Section 22 of Development Agreement 85 -01 (Rudolph Hendrickson Senior Apartments). Resp "Y ted Br 8 e City anner BB:MB:vc Attachments Exhibit "A" - Existing Langtage and Amended Language Rernlutions of Approval i 4 yr 5 r' EXISTING LANGUAGE DEVELOPMENT AGREEMENT 83-01 - HERITAGE PARK APARTMENTS Section 18, Maintenance Guarani In order to insure that maintenance o e pro ect is per armed in accordance with the maintenance plan as outlined In the Senior Housing Overlay District administrative guidelines and in this Bevelop�ent Agreement, property owner, shall either establish a landscape maintenance district pursuant to State law and City ordinance or regulation or, at property owner's option, post a maintenance deposit or other legal security reasonably acceptable to the City to be used by the city In the event that Kroperty owner shall fail to adequately maintain the Protect as erefn required. The parties hereto agree that a wintenance deposit of $12,000 is acceptable, which maintenance deposit may be in the form of a letter c° credit, certificate of deposit, bond or comparable instrument. DEVELOPMENT AGREEMENT 85 -01 - RUDOLPH HENDRICKSON SENIOR PPARTMEfTs Section 22, Maintenance Guaranty. In order to Insure that maintenance of e pro N is p ^r armed in accordance with the maintenance plan as outlined in the Senior Housing Overlay District administrative guidelines and in this Development Agreement, property owner shall post a maintenance deposit or other legal security reasonably acceptable to the City co be used by the City in the event that property owner shall fail to adequately maintain the project as herein required. The parties hereto agree that a maintenance deposit may be in the form of a letter of credit, certificate of deposit, bond or : omparable Instrument. AMENDED LANGUAGE Section : Developer shall comply with all City Maintenance Standards enacted 'irem time to time. CD )b EXHIBIT 'A' 'DRAFT POR ❑ISCIISSI0tJ FURP -+,«; Notion: Moved by Emerick, seco d by Tolstoy to adopt the Resolutions recomuending approval of Envir ntal Assessment and Development District ndment 88 -07 and EnvironmeR�+W Assessment and Development Agreement 88-03 w amendment to provide for recovery of costs. Motion carried by the fol wing vote: AYES: COMMISSIO S: BLAKESLEY, CHITIEA, EMERICK, MCHIEL, TOLSTOY NOES: ON41 IONERS: NONE ABSENT: C ISSIONERS: NONE - carried • � f t 8 :20 .M. - Planning omission Recessed. 8. 5 P M. - Planning Co"Jilsion Reconvened I. DEVELOPMENT AGREEMENT 83 -01 - HERITAGE PARK APARTMENTS - A request ty the City to amend 5ectlon 18, Mal n nance -Gua—r—afiry. ot an existing Development Agreement for the senior housing project located on Lomiti Court west of Archibald Avenue - APH: 202- 151 -34. J. DEVELOPMENT AGREEMENT 85 -01 - RUDOLPH H-- ENDRICKSON SENIOR APAR'•vXNTS - A request by the GiLy to amend Section-22, Maintenance uaran y, —of an existing development agreement for the senior housing project located on the west side of Amethyst Avenue, north of 19th Street - APN: 201 - 232 -24. Miki Bratt, Associat. Planner, presented the staff report. Chairman McNiel opened the public hearing. Hearing no comments, the public hearing was closed Motion: Moved by Chitiea, seconded by Tolstoy, to adopt Resolutions approving Development Agreement 83 -01 and Development Agreement 85 -01. Motion carried by the following vote. AYES: COMMISSIONERS: BLAKESLEY, CHITIEA, EMERICK, MCNIEL, TOLSTOY NOES COMMISSIONERS: NONE ABSENT COMMISSIONERS: NONE - carried K APH: Planning Commission MinutUes 'XMWA n1UMANUZ) A af�Toca a e nor Wardman Bullock Road to -8- -7 -7 80 -04 ty - October . , >88 ORDINANCE 3 21 i1 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF RANCHO f CUCAMONGA, CALIFORNIA APPROVING AMENDMENT NO. 2, REGARDING MAINTENANCE GUARANTY. TO AN EXISTING DEVELOPMENT AGREEMENT FOR HERITAGE PARK APARTMENTS, A SENIOR HOUSING PROJECT. A. Recitals. (i) The California Government Code Section 65868, et, seg., now provides, in pertinent part, as follows: A Development Agrement may be amended, or canceled in whole or in Part, by mutual consent of the parties to the agreement or their successors in interest. (11) The City fs requested Aaendment No. 2 to Development Agreement 83 -01, for Heritage Park Apartments, as described in the title of this Ordinance. Hereinafter, In this Ordinance, the subject Amendment is referred to as the "request." (iii) On October 26. 19R0, the Planning Commission of the City of Rancho Cucamonga conducted a duly noticed public hearing and recommended approval of the request. (Iv) On November 16, 1980, the City Council of the City of Rancho Cucamonga conducted a duly noticed public hearing on the request. (v) All legal prerequisites prior to the adoption of this Ordinance have occurred. 8 Resolution. NOM, THEREFORE, it is hereby found, determined, and ordained by the City Council of the City of Rancho Cucamonga as follows: (i) This Council hereby specificall; finds that all of the facts set forth in the Recitals, Part A. of this Ordinance are true and correct. (1f) Therefore, pursuant to Section 65868, et, seg., of Cnr- California Government Code, the City Council approves Amendment No. 2 of Development Agreement 83 -01 as attaches thereto as Exhibit "1 ". a-7F5 RECORDING REQUESTED BY: CITY OF RANCHO CUCAMONGA WHEN RECORDED, RETURN TO: City of Rancho Cucamonga 9320 Base Line Road Rancho Cucamonga, CA 91730 Attention: AMENDMENT NO. 2 TO OLVELUMENT AGREEMENT 83 -01 THIS SECOND AMENDMENT TO THAT DEVELOPMENT AGREEMENT ENTERED INTO ON FEBRUARY 15, 1984 FUTERED INTO BY AND BETWEEN CAL - RANCHO, INC. AND THE CITY OF RANCHO CMANONGA A. Recitals. (1) On February 15, 1984, the parties hereto entered Into _ development Agreement concenring a senior citizen housing protect (hereinafter referred to as 'the AgreemmentQ). (ii) Annual inspection of the property indicates that the property is maintained in goad condition. (111) Furthermore, existing City maintenance standards, In conjunction with enforcement provisions in the Agreement, are dtemed to be adequate to guaranty property maintenance as required under the Senior Housing Overlay Ofstrfct. (1v) The intent of the Agreement to guaranty property maintenance is unchanged. B. Amendment. I. The Agreement is hereby amended as follows: Section 18. Maintenance Gusrant . Developer shall comply with all City aafn enance s n ar s enacted from time to time. 2. Other than as specifically amended hereby, the Agreement and each and every term and provision thereof, shall remain in full force and effect. IN UITNESS WHEREOF, the parties hereto heve entered into this Amendment No. 2 to this Agreement as of the dates set forth belts apposite the name of each such party. I?� CITY OF RANCHO CIICAAI0NGA STAFF REPORT DATE: November 16, 1988 TO: Mayor one Members of the City Council FROM: Brad Buller, City Planner BY: Miti Bratt, Associate Planner SUBJECT: ENVIR01XRTAL ASSESSMENT AND ANNEXATION e8 -02 - T. P. )TM----W ra equsi on change or or za on annexe on of Approximately 96 acres of land located at the northwest corner of 24th Street and the current extetsion of Etiwanda Avenue (LAFCO 2504) - APN: 225- 071 -65. 1. RECOMMENDATION: Staff recommends approval of the final Resolution of annexe on or the subject property. II. BACKGRDUND: The following action on the subject, application have occure : (a) On June 1, 1988, the City Council approved a Resolution of Intent to annex the subject property to the City. (b) Or July 20, 1988, the City Council approved a Development Agreement and Development District %endment (Pre -Zone) on the subject property. (c) On June 1, 1988, the City Council approved a Resolution for tax exchange between the County and the City. (d) On September 21, 1988, tie Local Agency Formation Commission of San Bernardino County approved a Resolution to annex the subject property to the City (Resolution attached). III. ANALYSIS: This is the last City action required prior to annexe on of the subject property into the City. All the actions prerequisite to this annexation have occured. Iv. ENVIRONMENTAL: An environmental assessment has been completed. aSe_a on _W environmental assessment and issuance of a Negative Declaration on this annexation by LAFCO, staff recommends adoption by reference of the LAFCO environmental assessment and issuance of a Negative Declaration. - � sa y CITY COUNCIL STAFF REPORT Annexation 88 -02 - T.P. Melcher November 16, 1988 Page 2 'r V. CORRESPONDENCE: The required legal notice was published in a newspaper a general circulation, The Daily Report and required notices were nailed. V1. CDNCLUS[ON: Staff reconcends approval of this final City action T tiding fb annexation of the Melchor property into the City. ARes y sur BB:MB•vc Attachments: Exhibit "A" - Yfcinfty Map LAFCO Resolution of September 21, 1988 Resolution of Annexation 1111111011 City Ll-olb V V am qm� URMOW114fated Are@ Within City sphere St IetWshe• NORTH LITY OF Rte, ANNEXATION 88.02 RANUio C CA`A TnU, VICINITY MAP -- PI ANNING gVL57pN EXHIBIT, W SCALE,_ LOCAL AGENCY FORMATION COMMISSION COUNTY OF SIN BERNARDINO 175 Wed Fifth Sued. Secand Floor See eemenino, CA •24166,•0 • 1714) 667.6/114 VOC9'OOAL b1 L"CO 2504 R9AxIM DAM dQifi6lit 21, 1999 RES0W=CN NO. 2167 A RKOL T70K Or TER LOCAL AOESCy y0111111ATION LONKLASION Or TM COOteyr %V sate D&tIW0IM7 kLPUW D<'[L0¢IPTIOK ON LAIN 2SOe and approy4na C art• -Uca ooOg1 a�a oherl (area generally located at t c nor, t corner o t wa Avenue and 24th Street, northern Rancho N in area) On e f Commissioner Niltels, duly setcen0ed by CessdmaLo r Rragn. . and carried, the Local Agesoy Formation Commission afel'ta the follwtag resolution, V12RRAS, an application for the proposed annexation in the County of San Bernardino was heretofore tiled with the Dx•cutive Ctfloor of this Local Agency Formation Commission In accordance with the Cortesa!Knox Local government Reorganization Act of 1965 (Govt. Code Section 76000 et. ssg.), and said Crecutisa officer has examined sold application and executed his certificate in accordance with law, determining and certifying that said filings are sufficient, and, wEXUA6, at the times and in the torn and nannas provided by law, said Executive Officer has given notice of public hearing by this Commission uppn said applications and, welOtW, said Executive Officer has reviewed available ln- formatlon red prepared a report including his reeeemendationa thereon, said filings and report and related information. having been presented to and considered by this Com isalons and, weRRRAS, the public hearing by this Commission was held upon the data and at the time and place spncifled in said notice of public hearing and in order or orders continuing such hearings and, wenlu5, at such hearing, this Commission heard and received all oral and written protests, the Commission considered all plain and propose4 changes of organization and rearQanlwtion, cbjsctlans and evidence which were made, presented, or filed, it received evidence as to whether the territory is imhablted or uninhabited, improved or unimproved, and all persons present were given mt opportunity to hear and be heard in respect to any matter relating to said application, !n evidence presented at the hearing, Ntle, TBERJO N, OR IT RESOLVED, that the Local Agancy Formation Comelsslen of the County of San Bernardino does hereby determine, resolve, order, and find as followat TrCKSt SELTICB 1 The Executive officer is hereby authorized and directed to mail certified copies of this resolution in the manner provided by Section 56651 of the Government Code. SECVOK 2 The proposal is approved subject to the terns and conditions hereinafter speelfleds � A-11 Witi j }r, The conducting authority for this proceeding shall be She City Council of the City of Rancho Cucamonga. 1 DOanJ ho ktSOL=CN NO. 7167 gaomlftLon YPA jA The boundaries fte approved as net forth to Exhib c •A• attached. Co 9itloa N4. ,a The following distinctive short form de- signation shall used throughout this Proceedings LAFCO 2502. t oil 221Ioo Included in the City's resolution depicting final action shall t5e detachment of County Service Area 70 without split of assets or liabilities. 22%1 Ion Jig. Alm date of issuance of t Certificate of t Compleer on shall be the effective data of this annexation. SZCTiOM 1. The conducting authority is hereby directed ti initiate appropriate proceedings in compliance with this resolution and State law )Govt. Code Section 57000 chxough 570511. 81kTIOW 6. The conducting authority shall not make any changes in the boundaries hereby approved nor shall it Impose any new conditions or modify any conditions hereby imposed unless and until it receives the approval of the Local Agency Formation CCOmiuion for such chum as, modifications, or conditions, Pursuant to the procedures prescribed in Section 56857 of the Government Code. SFCFION J. Upon completion of its proceedings{ the conducting authority is directed to adapt its wn resolution setting forth its action relatingy to the proposal considered and forward the required number of certified copies of the resolution to the Local Agency formation Commission (Govt. Code Section 57075 through 57179). MOMON 8. Upon raCelpt of the resolution of the conducting authority approving said action, the Certificate of Completion shall be prepired and filed. , SiCfipf 7. Approval by the Local Agency Formation Commission indicates approval of thla proposal by the conducting authority would acco'Wllsh the proposed change of orgaairation in a reasonable manner with a uaxLmua chance of success and a minimum disruption of service to the functions of other local agencies in the area. SRLTLON 8. NOF G . The following findings are noted in conformance with Commission po ilcys I. The sublect 26 acres is legally uninhabited. The County Assessor has determined the &*$eased value of land to be 8112,828. The site is within the sphere of influence of the city of Rancho Cucamonga. 2. The proposal has been advertised in newspapers of general circulation In the area ae required by law. 1. The City General Plan and the County General Plan are substantially consistent, allowing for law density residential development. a. A Negative Declaration has been prepared pursuant to the provisions of the California Environmental Quality Act (CEQA) indlCating the annexation will have a non- mignlfleant effect on the environment LAFCO adopted the Negative Declaration and a copy in on file in the office of the Clerk. The Clark has been instructed to file A Notice of Determination within five days. 5 Local Agency currently serving the site are listed in the file. County Service Area 70 and its improvement zone shall be detached upon annexation of the territory, None of the other agencies will be affected by this proposal. 6. The City's Plan for Municipal Services Indicates that the City Is able to provide a full array of their municipal services. water, sewer, and fire protection services are presently available and will remain the responsib'lity of ^exxistting overlaying special D 2 d ■ I RKSOLMOK NO. 1187 , 21stricts )rocthill Lira protection Disttict and cooaawnga county y Water District). ] 7. She study area will benefit from the availability 0! municipal semias. S. This proposal and its anticipated effects do not conflict with adopted Commission policies. 9. All wticec required by law bees been given. No protest has two received. 10. ]laps and legal d,scriptlark met state standards. }; 11. The City and County have negotiated the transfer of ad valorem tares as required by this proposal. Copley of the resolution, ,l adopted by the City council of tke City of Rancho Cuceannga and the Bea BarcardIm COnnt•! Board of Suparvisorq us an file in the LAM office outlining the exchange of revenues. ;,•- 7915 ACTION AMOVID AND ADOff>D by the Loma Agency, r0rrtion 03001831M of the County of sea fernardim by tke following vote, AyrS, CM@Umlovms sahuiling, Riordan, xragnsaa, j Bertolotti, Grant, 111kels, Taylor NOBb, COW11391ONMB, NOM ABBMtt CON ZUIOMMI None MAT! Of rAr. MMIA ) )as. COOSM.T a &M YmD.7DDID) 1, JAIYa N. BOIOY, ZK*CUtiwe Officer of the Local Agency Formation COmissian of the County of Stn Bernardino, California, do hereby c* tifY this record to be a full, true, and correct copy of the action taken by said Commission by vote of the ceabers present as the same appears in the Official Minutes of skid COaaloxim at its regular mating of Septaaber 11. 1988. DAMS October 19. 1988 (n/81N1p�1�//y /pA1Ri 1t. �tive officer • 3 D97 GARY MITCHELL 6 ASSOCIATES LAND PLANNING CIVIL ENGINEERING 9310 SASEUNe, SUITS 205 - RANCHO Etblblt It Ass Revised Legal / GEfUe 2 -50y CA 91701 • PHONE (714) 999.09( LEGAL DESCRIPTION - TRACT 13527 PREPARED FOR THE CITY OF RANCHO CUCAMONGA (LOCATED AT THE NORTH WEST CORNER OF ETIW\IIDA AVENUE AND 24TH STREET COUNTY OF SAN BER„ARDINO). PREPARED JUNE 16, 1988. THE PARCEL DESCRIBED AS FOLLOWSs The Southeast one - quarter of the Southwest one - quarter and the South ono -half of the Southeast one- quarter of Section 20, Township 1 North. Range 6 West San Bernardino Meridian In the County of San Bernardino, State of California according to the official plat thereof. Except therefrom the Westerly 150 feet of the Southeast one - quarter of the Southwest one - quarter of said section 20 Also except therefrom that Portion conveyed to the Southern Surplus Realty Company described as follows$ That portion of the Southeast one- quarter of the Southwest one- quarter and that portion of the South one -half of the Southeast one quarter, a!I Section 20, Township 1 North, Range 6 West, San,Bernardino Base and Meridian, lying We Northwesterly and sterly of a line and Its Southerly Prolongat,lon which Is Parallel with and dietant 100.00 feet Southeasterly and Eas�iriy, measured at right angles from the following described surveyed reference liner Commencing at tits point of Intersection of the Fast line of said Section 20 and a lino parallel with and distant 130 00 feet Northerly, measured at right angles from the Northerly line of said Southeast one - quarter of Section 20. said Point being South 0 00.32- West 2510.50 feet, measured along said East line from a found two (2) Inch County Surveyor'e Monument at the Northeast corner of said Section 20, said point also being North 0 00.32• East 2770,50 feet, measured a ong said East line from a found one (1) Inch County Surveyor's Monument at the Southeast corner of said Sections thence North 89 271070 West, asor.- said parallel line A distance of 1147.74 feet to the TRUE POINT OF BEGINNING+ Aence South 44 44.008 West 3684.72 feet to a Point that Is North 0 15'39- West 125.00 feet from the South line of said Section 20, being measured along the Northerly M / 1 Legal Description Tract 13527 Page 2 prolongation of a line parallel with and distant 230,00 feet �+ •asterly, measured at right angles from the Easterly IIne of West one -half of the northwest one - quarter of Section 29, �,. Towns. 11p 1 North, Range 6 West, San Bernardino Base and �p Merldianl thence South 0 16139- East along said prolongation a distance of 125.00 feet to a point In said Seuth IIns of hr Section 20, said point being North 69 24115- West 1090.76 µ .cot, measured along said South line from a found 1/2 Inch County urveyoc'• Monument at the South a a- quarter corner 4' 0f cald Section 20, said point also being South 89 24'16 - East 1660.80 test measurod along said South line from a found 1 1/2 Inch County Surveyor's Monument at the Southwest Ittl corner of said Section 20. %� t. EXCEPTING THEREFROM that portion lying within the Westerly 160 feet of the southeast ens- quarter of the ' Southwest one - quarter of said Section 20. Approximate Area 91.83 Acres. r 2�i Exhibit 13 c� it YLY0. I \ NA EY A \ N ,\ m O $$D Y XjA��O 0=d c QA -1 �D o �► O� D g S is D RESOLUTION N0. p b - J� S A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF RANCHO CUCAMONGA, CALIFORNIA APPROVING A CMME OF ORGANIZATION (AVWEXATION) OF APPROXIMATELY 96 ACRES OF LA4D LOCATED AT THE NORTHWEST CORNER OF 24TH STREET AND HE CURRENT EXTENSION OF ETIWANOA AVENUE (LAFCO 2504). WHEREAS, the Local Agency Formation Commission of the County of San Bernardino adopted its Resolution No. 2167 on September 21, 1988, making determinations and approving the pproposed annexation to the City of Rancho ca Cumonga of territory described in Exhibit 'A" attached hereto and by this ra /erence incorporated herein; and WHEREAS, the terns and conditions of annexation as approved by the Local Agency Formation Commission are as follows: Condition No. 1. The conducting authority for this proceeding shall a e until of the City of Rancho Cucamonga; Condition No. 2. The boundaries are approved as set forth in Exhibit a�A ached; Condition No. 3. The following distinctive short form designation r sHa- Fe Lsed'i 6ugh this proceeding: LIFCO 25034; Condition No. 4. Included in the City's resolution depicting final ac on s a e the detachment of County Service Area 70 without split of assets or 1:ebilities; and Condition Nu. 5. The date of issuance of the Certificate of omp a on s.a a the effective date of this annexation. WHEREAS, the reasons for this annexation are: The annexation would represent a logical extension of the City's boundaries and urban services and would be beneficial to the public purposes of the City, in that the proAerty will provide for developrent, within the district, in a manner consistent with the City's General Plan and with related development; and and WHEREAS, the regular county assessment roll is utilized by this City; WHEREAS, the affected territory will be taxed for existing general bonded indebtedness of this City; and WHEREAS, the Local Agency Formation Connissien has authorized this Council to approve this annexation with nitice and hearing and without an election. CITY COUNCIL RE- gklrrIoN No. Annexation 80-02 - T.P. Melcher November 16. 19888 Page 2 NOW. THEREFORE. BE IT RESOLVED, that the City Council oP the City of Rancho Cucamonga hereby orders the territory described in Exhibit "A" annexed. and directs the City Clerk to transmit a certified copy of this resolution wit) applicable fees required by Section 51902.5 of the Goverment Code to the executive officer of the Lccal A7enry ForrAtlon Craelssion of tan Bernardino County. PASSED, an4 adopted by the city Council of the City of Rancho Cucamonga this 16th day of November. 1988. GARY MITCHELL d ASSOCIATES LAND PLANNING CIVIL' ENG114EERING 9030 e`ASEUNP. SUITE fOS nAf(CNO EJUllilt f1 t1 r1 l�/ L 6 Revised LegaT OLZI�_aj CA 11 01 . PHONE (714) 111•If LEGAL DESCRIPTION - TRACT 13527 PREPARED FOR THE CITY OF RANCHO CUCAMONGA iLOCATED AT THE NORTH WEST CORDER OF ETIWANDA AVEHUE AtIG :4TH STREET COUNTY OF SAN BERNARUItlO). PREPARED JUNE 16, 1988. THE PARCEL DESCRIBED AS FOLLOWS, The Southeast one - quarter of the Southwest I a er nd the South one -halt of the Foutheaot one- quarterrtof Sectlon 20. 'Township 1 North. Range 6 West San Bernardino California according Meridian In the County of San Bernardino. State of to the official plat thecaof. Except theretrom the Westerly 150 feet of the Southeast one - quarter of the Southwest one - quarter of said Sectlon 20. Soutl,erAlso Pluse t thorefrOm that portion conveyed to the Realty Company described as follows, That portion of the Southeast one - quarter of the Southwest one - quarter and that portion of the South one -halr Of the Southeast one quarter, all Section 20, Township I North, Range 6 West, San ,Bernardino Base and Meridian, lying Northwesterly and Westerly of a line and Its Southerly prolongation which Is parallel with and distant 100.00 feet Southeasterly and Easterly• measured at right angles from the following desecl7ed -surveyed reference line, Commencing at the Point of Intersection Of the East line of said Section 20 and a line parallel with and distant 130 00 feet Northerly, measured at right angles from the Iloctherly line of Bald Southeast one - quartet of Section 20, said point being South 0 00.32' West 2510.50 feet- measured along Said East line from a found two (2) Inch County Surveyors M09Ument at the Northeast corner of saltl Section ZO, said point also ceing North 0 00.32• cast 2770.50 feet. measured along said East line from a found one (1) Inch County Surveyor's Monument at the Southeast corner of said Sections thence North 69 27107• West, along said parallel ilne a distance of 1147.74 feet to the TRUE POINT OF BEG RiN RlGs th coca South 44 44.00• West 3684,72 feet to a Point that Is North 0 15.39• West 125 00 feet from the South line of srld Section 20, being measured along the Northerly 3� 3 I Legal Description Tract 13527 Page 2 ■ ,4 prolongation of a line parallel with and distant 230.00 feet � y Easterly, measured at right angles from the Easterly Ili.0 of West one -half of the northwest one - quarter of Section 29, ,y.� Township 1 North, Range 6 Nest, San Bernardino Base `and �f Yerldlanr thence South 0 15139^ East along said prolongation " a distance of 125.00 feet to a point In said South line of Section 20, said point being North 89 24115' West 1090.76 feet. reasured along said South line from a found 1 1/2 Inch ; County Surveyor's Monument at the South one - quarter corner of said Section 20, said point also being South 89 24'15• v East 1550.80 feet measured along said South line from a ±+ found 1 1/2 Inch County Surveyor's Monument at the Southwest corner of said Section 20 '9 EXCEPTING THEREFROM that portion lying within the Westerly 1'00 feet of the southeast one - quarter of the Southwest one - quarter of said Section 20. ;� Approximate Area 91.83 Acres. CITY OF RANCHO CUCAMONGA STAFF REPORT DATE: November 16, 1988 TO: City Council and City Manager FROM: Russell H. Maguire, City Engineer By: Mike Olivier, Senior Civil Engineer .Gwn.. i Subject: Public Hearing for the Eminent Domain action to acquire public right -of -way for the Base Line Road Widening Project and the Day Creek Channel Project from the property located at future Day Creek Boulevard extension (APN 227 - 161 -21) for the construction of street improvements across the Base Line Road frontage of said property. RECONMEILIATION- Staff recommends adoption of the attached Resolution of Necessity - di,,rcting staff to proceed with condemnation of right -of -way for the construction of street improvements on Base Line Road across the property located at the future Day Creek Boulevard extension (APN 227 - 161 -21) in the City o` Rancho Cucamonga. BACKGEDWANALYSIS- This Eminent Domain action is to acquire publi; right -of -way for the Base Line Road Nidening Street Improvement Project and Day Creek Channel Projects. Ths project limits for the Base Line Road Widening9 Project are from Rochester Avenue to Victoria Park Lene. The project limits for the Day Creek Channel Project at Base Line Road are between Rochester Avenue and Dal, Creek Boulevard. The pproperty owner of the parcel in difficult to contact since original i several months ago through the Day Ch staff 'finally received a letter from request ng purchase of the public rig attorney is a Barrister from Oni unfamiliarity with CaliforniA Municipal is to keep all negotiations on a frient successful pursuit of the construction deficient right -of -way be acquired with iestion, APX 227 - 161 -21 has been quests for dedication were made inel Project staff. Engineering the owners attorney, August 29, : -of -way dedication. The owners rio, Canada and admitted an Laws. Although staffs intention Y basis, it is imperative to the f the Day Creek Channel that the it diligence. Subsequent to the request of the owners Attorney to purchase the land, staff has acquired an appraisal of the land needed and made an offer to the owner. In the letter wr.tten to the owners, staff has let them know that if a permit were requested for any developmo.nt of their vacant parcel that they would be required to make a gratis dedtcation of the same area now being requested, with a cash consideration. CCSR November 16,1988 a Page 2 ' Although negotiatiors continue, it is ne:essary at this time to enact a Resolution of Necessity to proceed wiih condemnation of such street dhAY for eneePua Line Widealng leelpre� nanthe D CreekChanlriect Since the C a newilbuder construction by December 1, 1988, this action is neeoid to avoid possible delays which may occur due to lack of right -of -way dedication at this location. Respectfully submitted, rp `�l.11kcw'�l�' {` RNM:JLM:pam Attachment r RESOLUTION NO. q g '('p S 3 A RESOLUTION OF PIE CITY COUNCIL OF THE CITY OF RANCHO CUCAMONGA DECLARING THE PUBLIC NEED AND NECESSITY TO CONDEMN A PORTION OF CERTAIN REAL PROPERTY LOCATED ON BASE LINE ROAD AT FUTURE DAY CREEK BOULEVARD IN THE CITY OF RANCHO CUCAMONGA AND WAKING FINDINGS IN SU:✓ORT THEREOF. A. Recitals (i) The City of Rancho 0canonga has conducted a study pertaining to street design, construction a,id widening for Base Line Road Widening and Day Creek Channel Projects. Based upon the study conducted, it has b-en determined that the most reasonable and feasible alignment for the proposed • street widening and channel projects will require the acquisition of a right - of -way across a portion of a regional related ccwercial zoned parcel, (APR 227- 161 -21) more particularly described herein: Parcel 1 of Parcel Map No. 2, as per plat recorded to Book 1 of Parcel Maps, Pago 2, Records of said County. (it) Pursuant to the provisions of California Government Code Section 7267.2, prior to adopting this Resolution, the City has made an offer to the owners of record to acquire the property for the full amount of fair market value as established by independent appraisal valuations; (111) Pursuant to California Government Code Section 40404, a City may acquire private Property by condemnation when it 1s necessary for extending and widening streets, as well as for the construction of drains, sewers and aqueducts; Pv) On November lb, 1988, this Council held a duly noticed public hearing pursuant to the Lena% of California Code of Civil Procedure Section 1245 235 and said public hearing was concluded prior to the adoption of this Resolution; and, (v) All legal prerequisites have occurred prior to the adoption of this Resolution. 8. Resolution. NOW, THEREFORE, It is hereby found, determined and resolved by the City Council of the City of Rancho Cucamonga as follows: SECTION 1: In all aspects as set forth in the Recitals, Part A. of this Reso u en SECTION 2: _That portion of the property which is required for right - of -way for s- wain and street widening purposes is situated in the City of Rancho Cucamonga, County of San Bernardino, State of California, and is more specifically outlined in the legal description and map attached hereto as Exhibit "A" and incorporated herein by this reference. SECTION 3: Based upon the substantial evidence presented to this Council ur nd 3 g the abovo- referenced public bearing, including written staff reports, the City Council specifically finds as follows: a. The public interest and necessity require the proposed projects; b. The proposed projects are planned or located in the manner that will be most compatible with the greatest public good and the least private injury; c. The property defined in this Resolution is necessary for the proposed projects; and, d. An offer of fair market value has been made to the owners of said real propert- pursuant to the tens of California Goverment Code Section 7267.2. SECTION 4: The City Council hereby declares its intention to acquire the proporty— e� scribed in S�.--tton 2, above, by proceedings to eminent domain. The City Attarney 1s •dered and directed to bring an action in the Superior Court of the State of California i.,r the County of San Bernardino, in the name of the City of Rancho Cucamonga, against all owners and claimants of the property described herein for the purpose of condemning and acquiring a r1 ht -of -way for street purposes, and to do all things necessary to prosecute said action to its final de"raination in accordance with the provisions of law applicable thereto. The City Attorney is authorized and instructed to make applications to said Court for an Order fixing the amount of security by way of money dcposits as may be directed by said Court and for an Order permitting the City to take possession and use of said real property for the uses and purposes herein described. SECTION 5: The City Clerk shall certify � the adoption of this Resolution. J � r. 4 EXHIBIT 'A' PAIN TARE Legal Uescripliou i h'1 J z t� S Y. r LEGAL DESCRIPIION PIEROTTI PROPERTY ' � All that portion of Parcel 1 of Parcel Hap No. I, in the City of qd•. Rancho Cucamongav as per plat recorded in Book 1, of Parcel Napa, }, Page 1, records of the County of San dernardino, State of California', lying Northerly of the following described line; r Cotnencing at the Northwest corner of Section 5, T.IS.,R.6Y., as shown on Record of Survey, recorded in Book 47 of "r Records of Surve^b Pages 68 through 75, records of said county) Thence N 89 49' 23" E a distance of 360.01 feet along the y, North line of said Section to the Nrrehweat corner of said Parcel 1) Thence Southerly along the West line os Parcel 1 a distance of 49 feet to the Point of Beginning; Thence N 810 49' 14" E a distance of 71.83 feet to a point on a lion that is parallel to and 39.00 feet South of the North line of said Parcel 1; Thence along said parallel line N 89° 49' 23" E a distance of 282.26 feet to a point on a tangent curve, concave Northerly, having a radius of 7539.00 feet; Thence Easterly along said curve, through a central angle of 0° 50' 10" an arc distance of 110.02 feet) Theca slang a non - targent line N 89° 04' 48" E a distance of 200.83 feett to a point on a non - tangent curve, convave Northerly, `raving o radius of 7542.00 feet, a radial through said point bear, S 02 32' 20" E) Thence Easterly along said non - tangent curve through a central angle of 010 27' 31" an arc distance of I32.OD feet; Thence N 860 00' 09" E a distance of 35.74 feel to the Point of Terminus, said point being on the East line of said Parcel 1, said point being located Southerly from the Northeast corner of said Parcel 1, a uistance of 22.86 feet. EXHIBIT W PART TAKE i1 Photo and Plat Map { n I View of Part -Take looking easterly from Baseline Avenue _FhQtQELhad by Michael Murphy, October 1988 AZIA 6ASELINE ROAD M• Ss S5 ` y IA-I • OY Y.IIA I�� •T� �ti Y�r I PARCEL p PARCEL MAP 1 I i PM 111 mt: s'iKio• C {4tLl t•.so ' � � .•�ii•1 ms•c=rA• I F M� "kth O!!1 • .MM1 V"It II[IIOTII PROPERTY PLAT a�� Q I n b • b �D r- m :Z_ b 0 b N �3s7 x fl8ar; {� r " NN U m b CO) m r z m 0 O I 1. ^xd•y'?;e$3,�: t;•[r. '.•,4'Y:• G 5v SF , ee S31 S32o�. S6 S5 i 1 Y'.^+IK,,:SA.. ��Y '° }h•:l Y."✓v 6•Y iw V,. �� � � �Y>Yi:'l;bwJ "�?OAi. . Lea ,:� v . �` � ` t C;A EWZIMVIj g BASELINE ROAD; N p9'49'ZS'E p9/.59� _- -- -0.75 ACRES R/O,rr7/! T�.6.5,. Y/ 5 pq•g9'ti N 29'Y.26' GV /0.0L'Qj 3419•4'4S1J SN•'�9 �� P,fOPo5,f0 .r/N , I r' Pj-\ .r? C r L 1 _ PA rl C E' JM P 1 -A P I M 1 I 1 OWNERr OSSI a ANNA MARIE PIEROTTI PROPERTY PLAT e S31 36 I S5 BASELINE I C'1 PAR c Pj/ R IM tu i ., OWNER, OSSI 6 ANNA .e ROAD g AVAW uac rnrCeL 2 — L E PIEROTTI I ssevoa�•v � ;, ` 1 Luc ✓E o�ta O R• 1JQ./99' T• 9G,0/' O. 7'2'7'3/' R. 7T42 00• L • /9200• T 9&.00 E PIEROTTI I ssevoa�•v � ;, ORDINANCE NO. '5ag 3 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF RANWO COCAM)NGA. CALIFORNIA, AMENDING TITLE 8 OF THE RANCHO CUCAIDNGA MUNICIPAL CODE BY ADDING A NEW CHAPTER 8.24 PRCF710 i A PROGRAM FOR THE REMOVAL OF GRLFPITI AND OTHER INSCRIBED MATERIALS PnOM WALLS AND STRUCTUkES ON BOTH PUBLIC AND PRIVATE PROPERTY THE CITY COUNCIL OP THE CITY or RANCHO CUCAlUmA DOES HEREBY ORDAIN AS FCLLOWSt I i d8CfION 1. Title 8 of the Rancho Cucamonga Municipal Code is hereby amended by the addition of a new Chapter 8.24 to rear, in words and figures, as follows: -Chapter 8.24 "Removal of Graffiti "Sections 8.24.010 Graffiti and other Inscribed Material Declared to be a Nuisance. 8.24.020 Authorization to Remove Gzatfiti and Other Unauthorized Inscribed katerials from Public and Private Property. "8.24.010 Graffiti and Other Inscribed Materials Declared to be a Nuisance. "Graffiti on public or private property is a blighting factor which not only depreciated the value of the property which ban barn the target of such vandalism but also depreciates the value of the adjacent and ourrounding properties; and in no doing has a negative impact upon the entire City. "Graffiti also has been found to be a means of identification utilized by Seaga, and further, its presence may encourage further gang related activities. "In 1976, the Legislature added Section 53069.3 to the Goverment Code able?, authorizes the City, under certain circumstances, to provide for the removal of graffiti and other inscribed ma terisls from private an well no public property. The Council finds and determines ll Ordinance No, * ** Page 2 is obnoxious and a public nuisance and unless it and other inscribed materials are removed from public and private property, they tend to regain. Other properties than become the target of graffiti with the result that entire neighborhood, are affected and the enure community depreciaten in value and becomes a loge desirable place in which to be. ^8.26.020 Authurisation to Remove Graffiti and Other Onautborired Inscribed Meneriala frow Private and Public ProPertY, "Whenever the Maintenance Superintendent doterminea that graffiti or other inscribed material is so located on public or privately monad, permanent structures on public or privately Owned real property within this City so an to be capable of being viewed by a person utilizing my public rigLt -of -way in this City, the Maintenance Superintendent is authorized to provide for the removal of the graffiti or other inscribed material upon the following conditions: "(1) In removing the graffiti or other inscribed material, the painting or repair of a more ectannive area ,hall not be authorized. "(2) Where a structure is owned by a public entity otber than this City, the removal of the graffiti or other inscribed material say be authorized only after securing the consent of the public entity having jurisdiction war the structure and such entity executes a release and waiver approved so to form by the City Attorney. "(3) Whore a structure is p- ivatoly owned, the remora` of the graffiti or other inscribed material may be authorised only after securing the consent of the Owner and the Owner executes a release and waiver approved ac to form by thr. City Attorney." SECTION 2: The City Council declares that, should any provision, goctior, paragraph, sentence or word of this Chapter be rendered or declared invalid by any fiat: court action in a court of competent jurisdiction, or by reason of any preamptive legislation, the remaining provisions, sections, paragraphs, sortencos, and words of thin Chnptor shall remain in full force and effect. Ordinance. SECTION -3: The City Clerk shall certify to the adoption of thin 3f) / �n � Y :"r= wi�.i' .y,... ryf.. .•. �q -. .. � , ,y Sa ° °:. d; Ya J' Ordinance No. *e* ^ �.;•4 Page 9 ±. SECTION 4: The Yayor shall sign this Ordinance and the City Clerk `l1 shall cause the wee to be publisbed within fifteen (15) days after its passage yt, at leant once in The Dai19 Report, a newspaper of eeneral circulation published AF,- in the City of Ontario. Cal oriia, and circulated in the City of Rancho *, Cucasongs. California. f<'• tv X f L e v r .4 4 CITY OF RANCHO CUCAM0NGA STAFF REPORT LATE t November 9, 1988 IOs City Council end City Manager PROM' Diane O'Neal, Administrative, SUBJRCrt proposed Ordinance Entitle RRCOlDffiMDA ^ION It is recommended the City Council adopt the proposed ordinance prohibiting chlorofluorocarbons (C7C1s) in processed packaging. BACKGROUND On October 5, 1088, the Chamber of Commerce recommended the scope of the original proposed ordinance prohibiting chlorofluorocarbons be broadened. The changes requWed to be considered include the inclusion within the ordinance tf provisions dealing with: (a) Styrofoam retailers of tuns, plates and so forth; (b) "local businesses" utilising styrofoam in their packaging, of both food and other products, end (c) other enforcement procedures such as requiring a "statement of compliance" to ba submitted by affected businesses at the time of renewal or original issuance of a business license. Theme provisions resulted in the City Attorney drafting a new ordinance. At the time tha new draft ordinance was prepared, the City Attorney also provieed a confidential memorandum dated Octobot 27, 1988 to the City Council and City Manager for their evaluation. flu new draft ordivaaca was presented to the Chamber at its November 9, 1988 Board matting by Steven 7crd. Tan Chamber recommended approval of the new craft ordinance. )Ot jls tttachment I8 -756 303 ORDINANCE N0. `e+4 ? i A! ORDINANCE OF THE CITY COUNCIL OF THE CITY OF RANCHO OIGUDIGA, CALIFORNIA, AMENDING TZILE 8 OF THE RANCHO CUrAII)MA MUNICIPAL CODE BY ADDING A NEW CHAPTER 8.22 ENTID.ED ePRORIBrrrON OF CULOROILUOROCARBON PROCESSED PACKAGING" A. Recitals. ThE CITY COUNCIL OF THE CITY OF R4NCHO CUCAMONGA FINDS AS FOLLOWS: (i) Problems in disposing of solid waste and a lack of solid waste landfills effect all persona and all local, county and state 8wetnments. One significant source of solid waste is discarded polystyrace foam packaging. Manufacture of ouch packaging creates an additional, significant environmental problem in that chlorofluorocarbons are utilised in their production. (li) Available scientific evidence indicates a strong probability that the [roily of substances knwc se chloroflumccarbono degrade the earth's protective layer of crane. when uischargwd into the atmosphere, allowing increased amounts of ultraviolet radiation to penetrate the atmosphere. This increase in ultraviolet radiation Posen an irradiate danger to human health, life and the environment. Available scientific evidence indicateo the strong possibility that the resulting increase in ultraviolet radiation has contributed to, and will continue to contribute to, the incidon:a of skin cancer and other eatiouo illnesnea. (iii) One significant source of chlorofluorocarbons currently being released into thu atmoephate is the manufacture of certain polystirane foam packaging products which utilire chlorofluorocarbons as 1.1 wing agents. (iv) Th, people and the City of Poncho Cucamonga support state, federal and internstiow.L policies banning all nonessential uses of chlorofluorocarbons. Uatil such policioa become law, responsible action to reduce the raleave of rblorofluorocarbons into the atmosphere, and to increase public awerenone with respect to the potential harm caused by these substances, must be undertaken r.t the local level. (v) ' is the intent of the C'.ty Council to red Lae the amaant of chlnrofluoroca:oon processed packaging products manufactured, purchased and used by an: within the uity of Rancho Cucamonga, in order to reduce, to the greatest extent possible, the health hazards -rested by than release of chlorofluorocarbons into the atmosphere. 3o(I Ordinance No. a** Page 2 (vi) The City of Rancho Cucamonga supports and enuourageo voluntary waste reduction through the adoption of voluntary programs by businesses utilizing atyrofoaa packaging as a means to achieve a fifty percent (502) reduction in the use of non - biodegradable and non - recyclable packaging. B. Ordinance. THE CITY COUNCIL OF THE CITY 01 RANCHO O)CAHO?X;A DOES NEREDY ORDAIN AS FOLLOWS: SECTION It Title 8 of the Rancho Cuamongo Municipal Codc is hereby amended by the additioo of a new Chapter 8.22 to read, in words and figurea, as follwat "Chapter 8.22 "Prohibition of Chlorofluorvearbon Processed Packaging "Sections: 8.22.010 Definitions. 8.22.020 CFC - procaosod packaging prohibited. 8.22.000 Ponaltiva. 8.22.040 Civil remedies available. "8.22.010 Definitions. "A. 'CPC - processed packaging' mcano all foam or 'atyrofoam' packaging which utilizes any chlorofluorocarbcn as a blowing agent, or otherwise, in its manufacture. "B. 'Chlorofluorocarbons', or 'CFCs', are the family of chemical substances commonly referred to as ouch, and containing carbon, fluorine and chlorine, and having no hydrogen *tome and no doublo bands. "C. 'Packager' means any store, shop, "lea outlet, manufacturer or other buoineas located within the City of Rancho Cucamonga which packages, bozea, conteinrrizea, or othervise prepares any tangible goods or merchandise for sale or distribution within the City of Rancho Curamongo, using, in any fashion, packaging, no definwd hernia, in connection with any portion of its business. "D. 'Packaging' means any and all baps, sacks, wrapping, beaus, containers, container filler material, bowls, pletga, rraya, cartons, nips. straws, lido and any and all other materials utilized in the packaging of any goods, merchandise, food or other tangible things. "E. 'Packaging Manufacturer' moans any business whirl manufacturers packaging as rll or part of ire business. 3 ✓LJ Ordinance No. * ** Page 9 "P. 'Packaging Supplier' means any business uhieh sells or prov)da■ packaging as all or part of its businaoz. "8.22.010 CPC - Processed Packaging Prohibited. "A. Pnckagera. "1. Sleeps, as provided in nub - section 9 besot, no packager shall utilize any CPC - processed packaging, nor shall any packager purchase, obtain or keep any CPC - Processed packaging for packaging purposes. •2. AA to any packaging obtained after September 1. 1989, each packager suall obtain from each of its packaging suppliers a written statement signed by the supplier, or by an authorized &gout of the supplier, stating that the supplier will supply no CPC - processed packaging to that packager. that toathatpPackagerithatnthe packaging iovolee for P* _ and it shall covered by the ivics I include tk• identity of the manu�etureroofs such packaging. Lust er 03. All contracts between packagers and packaging suppliers thereto entered into after September 1, 1989, shall sckau prthrions that each supplier will supply no CPC - P ,es packaging- g• the supplier will truth state on each iwoice for packaging supplied that said packaging is not CPC - processed and that each Ouch oieA shall contain manufacturer of ouchcproovisions shall constitute to any to conrituca a material breach of the contract' "4. Packsgors shall retain each supplier's uritton ststments referred to above, for one 70417 tiom the last data of receipt of any packaging from that supplier. "5. All packagers shalt -segregate, in their warehouses or other storage areas, all foam and atyrofom packaging from all other fame of packaging maintained on the premises. All foam and Mrofcam packaging to be used in connection with each packager's business and on Ha promises clearly eindicating that CFCs passel S e not Is lay its manufacture. "6 It shall be unlawful for any r or supplee represoccati e misstatement of Material fact to any par keg in the emanufa h ding the of manufacture of any packaging supplied. or1Btor be supplied to any packager in the City of Rancho Cucamonga. Ordinance No. + ++ Page 4 °1. Each packager shall file a atatemunt at the time it first obtains or renew its businaa" license, truthfully declaring that it is in compliance with this Chapt, . "8. All statemanta and documents required by thin Chapter to be maintained by a packager shall be made available for inspection by the City Manager or his or her designated representative. It at-all .,e unlavtul for ar.tons bsv ing custody of ouch documents to fail or refuse to produce ouch documents upon request by the City Manager or his or her designated representative during normal business hours. "9. The City Managor or his or bar authorized representative may oz ®lt a type of packaging from the requireme -ta of this Chapter upon a slowing satisfactory to the City Manager or his or her dosignee that the packaging has no acceptable non - CPC- procasood equivalent and that imposing the requirements hereof would cause undue hardship. Said doLm,sutation shall include, but is not limited to, a list of suppliers contacted to determine if non - CPC - processed substitutes are avoilable. "30. Packagers who have previously entered into a contract for the provision of CPC - proccssed packaging which is to be shipped prior to September 1, 1989, are exempt from the provisions of this Sub - section A, with respect to such packaging. "B. Packaging Suppliers. "1 It shall be • inlawful for any packaging supplier in the City of Rancho Cucamonga to store, sell or provide CPC - processed packaging within the City of Rancho Cucamonga. "2. All foam and atyrofoam packaging stored or maintained by any packaging supplier within the City of Rancho Cucamonga shall be labeled with language clearly indicating that CPC's have not been utilized in its manufacture. "3. The prov isione of this Sub - section B shall not apply to packaging required to be shipped under an existing contract prior to September 1, 1989. "C. Packaging Manufacturers. 11 It shall be unlawful for any packaging manufacturer to manufacture or otherwise produce, within the City of Rancho Cucamonga, any CPC - processed packaging. "2 A21 foam and etyrofoam packaging stored or maintained by any packaging manufacturer within the City of Rancho Cucamonga shall be labelled with language clearly indicating that CPCS have not been utilized in its manufacture. 3a7 Ordinance Ho. ese Page 5 03. The provisions of this Sub - section C aball not apply to packaging manufactured, or to be manufactured, prior to September 1, 1989. "D. The City of Rancho Cucamonga choll not purchase any CPC - processed packaging, nor shall CPC - processed packaging be knowingly utilised at any City- sponsored went occurring within the City of Rancho Cucamonga, on and after January 1. 1989. "E. The City Manager is authorised to promulgate regulations and to take any and all other actions reasonable and necessary to enforce this Chapter, including, but not limited to, inupection of any buaineem promises of any packager, packaging supplier and /or packaging manufacturer, during normal business hours, to verify compliance. "P. Voluntary and Mandatory Conplianco. "It is rho intent of the City Council of the City of Rancho Cucamonga to achieve a fifty percent (502) reduction in the use of CPC - processed packaging by March 1. 1989, and a ninety percent (902) or greater reduction thereafter. In order to achieve this reduction, compliance with the provisions of this Chapter shall be on a voluntary basis until September 1. 1969. On and after September 1. 1909, the provisions of this Chapter shall become mandatory without further notice. "8......030 Penalties. On and after SepGtber 1. 1939. It shall be unlawful for any person, firm, partnership or corporation to violate any provision or to fail to comply with any of the ie;uirzaents of this Chapter. Any person, firm, partnership, or corporation violating a..y provision of this Chapter or failing to comply with any of its requirements shall be deemed guilty of an infraction and upon conviction thereof shall be punishable as follows: "A. A free not exceeding One Hundrad Dollars (5100.001 for a first violation; "B. A fine not exceeding Two Runered Dollars_ ($200.001 for a second violation occuring within one (1) year= "C A fine not exceeding Pive Hundred Dollars ($500.001 for each Re-itional violation occuring within one (l�yenr. "Each such person, firm, partnership, or corporation shall be deemed guilty of a separate offense for each and wary day or any portion thereof during which any violation of any of the provisions of this Chapter is committed, continued or pormitted by such person. firm, partnerchip, or corporation, and shall be deemed punishable therefore as provided in this Chapter. w j Ordinance No. na Page 6 I: "The provisions of this Chapter shall not be construed an permitting conduct not proscribed herein and shall not affect the enforceability cf any other applicable provision of tar. "6.22.040 Civil Eemsdiea Available. "A violation of any of the provisions of this Chapter shall constitute a nuisance and may be abated by the City through civil process, by nand of restraining order, preliminary or permanent injunction, or in any other manuor prcv!ded by law for the abatement of such nuisance." ? SECTION 2t The City Council declares that, should any ptovision. section, paragraph, sentence or word of this Ordinance be rendered or declared f invalid by any fl"I court action in a court of compstaut jurisdiction. or by reason of toy preemptive legislatLoo. the renaining provisions, sections. paragraphe, sentences, and words of this Ordiwnee shall remain in full force and affect. SECTION It The Mayor shall sign ibis Orditmncs end the City Clerk shall "use the same to be published within fifteen (15) days aftor its passage at least once in Tho Daily Report, a nevapaper of general circulation publisbed in the City of Ontario, Cal�tornSa, and circulated in the City of Rancho Cucamonga, California. 3a9 CITY OF W-NCHO CUCAMONGA STAFF REPORT DATE: NLvembar 9, 1988 TOO City Council and City Nanagar PEON: Diane O'Neal, Administrative Analys SUBJECT: Smoking Ordinance EECONNENDATION It is recommended the City r4uncil adopt the proposed "No Smoking" ordinance. BACKGROUND The Smoking Ordinance was presented to the City Council at the August 17, 1980 meeting. It van recommended that the City Council form a subcommittee to meet with the Chamber of Commerce and other interested individuals wishing to provide input into the smoking regulations. It was recommended that an ordinance come back to the City Council within 60 days for first reading. The Smoking Ordinance was set to the October 19, 1988 meeting. At the October 19, 1988 meeting, the Smoking Ordinencu was continued to the Novembar 16, 1980 meeting. The complete Staff Report from the August 17, 1988 meeting is attached for your review along with the Chamber of Commerce's letter dated October 19, 1988. The Chamber's letter dated October 19, 1988 reeommend(i only "UO Smoking Permitted" signs be posted in the appropriately affected areas as opposed to both "Smoking Permitted' and Smoking Prohibited" signs. The Chamber's input was reviewed by staff and the City Attorney. Conscluently, the City Attorney generated a memorandum dated November 3, 1988 in response to the Chamber's input. This memorandum is attached for your review. Staff submitted the City Attorney's memorandum dated November 3, 1988 to the Chamber for their analysis at the Chamber's November 9, 19d8 Board meeting. The Chamber discussed the memorandum dated November 3, 1988 with staff, and as a result of such discussions advised approval of the proposed "No Smoking" ordinance to include both "Smoking Permitted" one "Smoking Prohibited" signs. DO: jla 88 -757 3/b CITY OF RANCHO CUCA1fONGA STAFF REPORT -4 August 10, 19f8 TOt City Council and City Manager PROM[ ':ark R. Lorimar, Sr. Administrative Assistant - •.oJLCrt SNORING ORDINANIZ BBCOMCNDATION It Is recommended that the City Counel. form a subcommittee to meat with the Chaster of Commerce and other interested individuals wishing to provide input into the smoking regulationa. It is further recommended that an ordinance core back to the City Council within EO days for first reading. INFORMATION At the request of the City Council, the Advisory Commission has reviewed and considered a draft ordinance regulating smoking in various facilities and other indoor areas within the coax Laity. In the attached draft ordinance, the Advisory Commission is recommending that the City Council adopt regulations prob:biting smoking in all area* or a portion of areas in hospitals and child health care canters, mating and conference rooms, elevatmrq entertainment facilitiasp public restraoms, indoor service lines, eating establishments, Polling places, indoor office areas and lobbies, retail food stores, retail stores, banks and public buildings. The attached memorandum dated December 21, 1987 provides a summary of the draft ordinance recommendations presented by the Advisory Commlasion. In preparation for this item on the City Council agenda, staff has also prepared Information which compares the recommendations of the Advisory Commission, the results of the recent Community Survey, and considerations of the San ternardino County Clean Indoor Air Coalition. The chirt comparing the orovaaions of these three docanaats is also attached. Ina Advisory Commission proposed smoking ordinance appears to be fairly :onsistent with both public opinion (results of the community -vide survey) and he tacaesardetiona of the San Bernardloo County Clean Indoor Air Coalition. pecificall, the draft ordinance is similar to the community -vide survey esults and cbs recommendations of the Clean Indoor Air Coalition with regards o the follwmg facilities and /or areas 311 August 10, 1988 Pala 2 No Backing in elevators. • No smoking in hospitals and child health care facilities. • No smoking in entertainment facilities Public areas). ie:cept in lobbies and we- In smoking in public reatroaas. • No seeking in indoor service lines. • No smoking in polling places. • Smoking only in deailsetad areas in indoor office spacer Bad lobbies. • Smoking only in non - public areas of retail food stores. • Cmokiag only in designated areas of retail stores. • Smoking only in designated areas of banks. • Smoking only in non - public areas of public buildings. The draft ordinance, however, differs from the Survey and Coalition nee - -adations with regard to the following facilities and /or areas: • !k+eeiea end Confer e s gooau— The draft ordinance proposes a aialaom 40Z non - coking area. The Survey results indicate that 55Z of respondents prefer no smoking at all, while 20% would support smoking only in designated areas of meeting and conference room. The Saa Bernardino Coalition prefers a total ban an asking in meeting and confarscca rooms. • Qatiae Eat b area of 4022 the total aeatingdcapacity. Lik.wiseethe Survey result, indicate that 472 of respondents support designated area., while 29Z would prefer a total ban on smoking in eating establishments. The Coalition rreas ands a dniaum of 50Z nom - soaking designated area. a Indoor 011ie• Areas end Lobble unspecified designated smoking area* the draft urdi eace calls for an The � 35% o/ respondents prefer atotal a no akingy ban, results whiled 33Z would Iupport smoking only in designated areas In indoor office apses and lobbies. Tie County Coalition does not address the issue of smokiug in this area. • latail =rya — The drrft ordinance calla for smoking only in non- publie area*. The Survey results do act address this item. The m Coalition prefers a total ban on soking in retail food stores. • 8•tail Stores -- The draft ordinance calls for smoking only in designated areas. The Survey results indicate that 582 of respondents would prefer a total ban, while 152 would support smoking only in designated areas of retell stores. The County Coalition would prefer no smoking at all !a retail stores. M 3 /e;�_ mstng ordinance August 10, 1988 Page 3 e Sire -- The draft ardimec• recommends no regulation of smoking in bar sreas. The Survey results indicate that only 102 of respondents would deeigna s total band o392 wokieyt while 342 would support smoking in The County Coalition does not l addresstregulation in bar at in bats. A, 8u uo and Cab• The dealt ordinance doss not address this sees date Beoeho Cucamonga does not manage any public transportst(oo. The addSurvey results Indicate that 582 of respondents would prefer a total ress this anea.a Alas end cabs. The County Coalition does not own public tcamm m cote that $tote tke City does mat bese Its por4tfoo, it cement regulate Les this ores. * St only — The draft ordinance does not address smoking In schools, The Survey results indicate that 68Z of respcodent$ would prefer a total boa (" auoking in schools. The County COalltioL doss not address this •r es. Please net• that the City me Jurisdictica in regulatioe of smoking In scbsels. iataias no The proposed tanking ordinacre also seaae elfin$ in ohs surrounding Southern Calif Co be coma ($tsnt with that of other attached to area, as (s indicated by the comprehenstwo survey of cities with +coking arse$ by the League of California Cities. public recommendations regarding t he reisory Coas(s$ion era in pert a product of sows Clean Indoor Air Coalition did Provide of soaking. The San Bernardino County during its eoeslderCoali (see •ttaheddl att�stromto the Advisory Commission Coalitions Savoy, the Advisor Dr. Burton Wilcke of the prior to the City rreivi 7 Co.mieslon submitted these rrowardrfoos Chamber of Ccasetce has °g the Commue(ty Survey results. Ia addition, the not Formally reviewed this draft ordivnce. At this point, staff recommends that the City Council ton • •ubtemmietu and allow the Chamber of Commerce and other inceru 4d Individuals for and organizations ad to cosnant on the provisions recommended. It ited also b$ appnd or a for ons City Council to ldeat(Ly any potential concerns with any sspects of the draft Attached to to othis tst staff gr♦port re a number of items rwh(h by will outside in reviav(ng the smoking issue. please tosl tree to coat at me about y� is questions or comments regarding this matter. you have any MRL: J 1 s attachments 88 -558 Y OF P,ANCIJO CUCAMONGA MEMORANDUM DATE: December 21, 1917 T0: Members of the Adrlsar Y Commission FA011: Mark Lorimar, Senfor Admfnfstrtlre Assistant SUIJECT: 1 %jt Or_ dfnM h S Z� N NAT Stiff rmcand ccn ptst the Advisory Commission approve the attached smoking Council. and Coneeptf and submit a reco�endat Ion for e Cduncfl, pprowl by the City LN MAT N: At the direction of the Advfaory Commission, staff has WWI ordinanoe to reflect those eer$sic 0foember, 1987 moetfn , nvi jI the attached Advi3a1tfon on smoklnj to obtain pubiic and qN G t elUtfesm sl defined at The Isrlsor Provides for limited or coepiftf Is either p ohibited. "Ot pprohibitedforro ula numerous facilities wh orev of addedectfan on attached e7d, ~ � in portion. arm smoking document other then a revfsfon to the .ry�ns In tins of the •reMdY for rfoltion• pro rbfon. the ally Attorney has lndlteted that a prograselve PaMlty may bf u>•d in Greta of of the floe, horrfr, ratoemeeds that the ordinance stipulate an infraction r afsderanor as eha the dollar amount reflect 1n the •resmd�Y for SAY Violatfen, Y for Violation" provlslonSGff rfcommands the iblforing e Impose of the lows: ordinance shall be an Infraction and penalties may be imposed as follows: to First otfonso $100 Second offense $200 Third affanse or aore $Sao At the uDcoafng January 21 meeting, the Advisory Commission has an o to approve the smokfn7 ardfnencf and concept end submit a roc +DProral to the CIt DPOrtunity additional Info y Council, Should an emeandatlon for the free G contact me at your or w1fA G amend the attached ordinance, mission wish your convenience, , please feet ML:Ir ,nr 3/�4 o-A -1 The smoking ordlnasce approved and submitted to the City Connell b Commission provides for the following provisions; y the Advisory Seoktno ProhfbfUd fn Eft v� -qrs - elevators in buildings public generaliy used by and open to the N t h r n hll room antis t. r t1n1t� - Public areas of health care ac t is an Patients iPrefersaeupfed by •°! e are &n onlroeoPmcsa'Wtl1n thmlerintand lobbies); for hospital Staff,ry a1Urt aM tAe those occu led b tion, smoking 1s prcAlbltad p Y ietltntt. Smoking is also Prohibited t„fc to rooms and areas uro hetift/et, ab f areas of child R rte M fn R - tneioesd beartnf sr sec "ad places of public a�' Conference rooms, cM•btn, arcent (40f) 0/ the available testfn oa•y unless a Min area. Owner or manapr of to floor mace 1s deslynntl of 4a dastgnate the entire area as a 'seeking• ory nit y Y M or canr;renca room me En r i n F flftt srking area. museums ge er es • 11 r1 - Publicly used for entertafnrtnt acres, am r lows, ar atheryenel iedafae111Nes the lobby and 1n areas not OppenStotthe pubita hose areas c aomonly known at Public end private restroatm open to thq Public. 5 rrt fn - indoor service lieu In which more than one person at a t °e s g v ng ar reeeirin! serrlces of any kind. E to if M n fountains, mein as, s Art ar er cafescllu luncheonettes, sand Owned wichosho sshops, which restaurants , ar otMriatieg eaUbitshynts tinning which food wMeh has a capacity of SO or tare OP S, soda provision shall not apply arsons, excluding all bar areas. This non-smoking area of n t:s than 40 pq himent maintaining a c+pactty and the floor space in which euitorciean are (40S)jtnf boh throe retesting bar areas Or autsfde Areas. In Addition, this provtslongshailonot apply area not open to the tapply to private not public Into any room which is being ueadD for to Poll in tl es indoor po111n9 places for any local, county, state, or t once t act on. ea Cobbles Rece ion Arias indoor labbfas, receptfon. and /or office areas open to t e pub c. TA1f (soaking armltted) areas. Provision shall not Apply to any designated WAVARE i Snoking'Jritnant" pro'fslons Page I 9ghi1 Ited Mark•ttne Eat, ►llshuer. - a, mneaaU, esapC n arcs not open to the dpufrile, tail food asrkoting t 11 - 'Moor retell Stores in ar*&S • le Dro r s on s 1 net apply to daSfgnatN (ssekf � � eM public. This i Ff openato ! •npu9 a his banks and other finarKfanfeitditulfons•In area Dentttad) gnat. pnetelea Shall net apply to das'gs&ted (Smktng Pu A"C ll 'n - public building& and s t+vetures in arcs upon to tha F°Sttn• o_ I S The oMininch in height eonSpfeueua Signs tontafnln all capital than dne inch in words (, on a Contraattng back roue a letters not lass reated at sinker the pry& (ssoking pr.rlrfbftsd), These Signs eye& a MfeA t +nest rhea tsoktrg Is proBfbltod llkarfes, g'e tMN +resuhsn Uniting is Permitted conspfcuoes sf Posted in all permitted must be Posted. MiCA tents /n at mfnfw) the nerds lsmaking f 1n toatha na"yceNMWtd*s farts @X*Woe oorwats abereby +n fMirfdwl say apply ordinance du to unusual 40 3xu tf" oradfflatton to any Prsrlsf•n ofpCAi the City Manager shali ender his decision�fch may b4 app a PeNIC hforing Council. appealed to the City F na 1t'U Violation of the seokfng enffna,r shail be an Infraction and penalties may be I ta mpaSYd as follorst First offense S100 Second offonse $200 Third offense or sort 5500. r9ViLe, oe Saeki , L T -V 3/7 Draft ordinance Comm-lity S—SL!L S. S.S. County Co&lLtio, CU40OSS No Smoking 74.3Z - Co Smoking 1.62 - No Chooses No No Smokiag S PRMALW QILp MMTWAIIX re smoking Not Addresses No Smoking Jim gOb1Jp/00�. o DO Sl.2X -NO Smoking Mae- as &Z" ea 20.31- DealSuatsd Areas 11.31 -Yo Changes No Saeklos T �I1'II NoNO s�lt1, 39.0 -MO Sinking except in lubbles 34.6X- Dseigeated Areas b no,-pablit &Less 12.71 -SO Changes No Hmokins ROLIC ki7T- Rom 31.21- 'o No No Snaking 13.91- Desisnated Areas No SmoDLas L4.3X -No CAangea ISDOOS OXASICs LIM No SrvnklnS No'- ACdressed No Smoking :JTL7� SSTASLISMAM'D 30, CsparltT Iti, "Lam ADZ inn- 29.1�NO y�okaeS 46.52 as Areas 40* Cop 00� G welt smokleg area 11.71 -No Cb"Ses SOXy raitlso elms&& eon -amok! ag No Smoking .. 7X -No ..."a 16.91- DeaLSoated Areas 12.31 -No Llueges No Smakiag talc Oyyl0i� IAS47CE Smoking only in 34.SX•No Smokins - -- designst&d areas 32.31 -Des Saud Arsea Hot Addressed 17.72 -No Chaagee �TAV' m3 S.^OQg Smokius ouly (p nen-publle 4waas Not lddreseed No Smoking 5FA"L STOSSS Smok ns onlj £n£n Sl. :;t -lto Smoking desiouted areas 14.SZ- Desigmtsd Aress No Smoking 13.DZ -No Changes SAMAS Smoking only in dsstgaered &rasa Not Addressed Not Addressed T -V 3/7 ■ 33/F i r ,r oEQ ;raea sun.y c� t! tae ":. FMLIC SUnD.. Iliw smoking osly in 39.31 -10 smoking non- qiblln area• 34.41- Duallutd Araad go smoking Y 11.61 -ge Changes " l Hot Addresced 10.0 -De Seek ng 34.19- 064lsaated Aiva r� 36-81 -go Cbsages Not Addressed a iwggb verb Iles Addrsssad s�.� -re Seeking 12.3;- Deslgoated Areas --.- -_ " � 14.91 -Ito Changes got Addressed gC000lD 66.1 .ito itot Addressed 10.7 ;•DAsl�aak¢ l Areae 6.31 -110 Cbangss got Addressed 33/F i r d Rancho Cucamonga CHAMBER OF COMMERCE October 19, 1988 j� iaYOR DENKS STOUT F- CITY OF RANCHO CUCAMONGA P 0. BOX 807 „ RANCHO CtICAMONGA, CA 91730 Dear Mayor Stout? Pursuaut to your request, the chamber has reviewed the proposed no-amoking ordinance. We concur with the proposed ordinance as written with one ercaption. Rather than requiring "Smoking Parmitted" signs be posted in office and retail areas, we recommend thnt only "No Smoking Permitted" signs be posted Su the appropriately affected areas. The posting of both signs ssaw to us a redundancy aid incurs additional coat. Pleas& call me should you have any questions and /or comments Slncere7y, es c o ro , Presidsnr oho Cucamonga Chamber of Commerce JRM /ak 3/17 8280 UTICA AVENUE SUITE 60 • RANCHO CUCAMONGA CALIFORNIA 91730 • 714 1987-1012 NOVA 7 -68 MON 11:=J MARKMAN 0 ARC--YNSKI vilrtT�IwY V .W/HSVSf�V .1Y _)JAMES NYNLLN ONE MWC C9,.760 CIIICtL L NARANA. I O. OOP 1000 ANDREW V.ARC'ANO`I a.". CAWORNU 01.12•1000 RALPH D. NAA.[OM JhNI [00.0[01 O.CRAIC 10[ TLIi IMON[lI[11I 001.,011 -ART"A AO OEIOUR MEMORANDUM TO: Lauren Wasserman, City Manager City of Rancho Cucamonga FROM: D. Craig Pox, Deputy City Attorney, DATED: November 1, 1988 RE: Changes to the Proposed "No- Smoking" ordinance Suggested by the Chamber of cummarco We are In - eceipt of correspondence to Mayor Stout from James R. Madsiros, President of the Rancho Cucamonga Chamber of Commerco, wherein he inAicates that the Chamber of Commerce would prefer the proposed no- smoking ordinance to requirfi only "no smcking permitted" signs to be Posted, instead of both "no smoking permitted" and "smoking permitted" signs, with respect to any ono facility. This office was initially requested to attempt to draft substitute language to be insorted in the ordinance, where appropriate, to effect the desires of the Chamber. Unfortunately, such a change cannot suitably be made without restructuring the entire ordinance, Specifically, Section 8.80.110 rohibits smoking in a`.1 "indoor lobbies, reception and /or office areas open to the public." This Section continues: "The provisions of this section shall not apply to any area which the owner or manager has designated as a 'smoking permitted' area. such designation shall only be made by the posting of conspicuous signs rr•linq 'smoking Permitted', in the sizo and on the background described in Section 8.80.160," Section 8.80.160 requires "Smoking Prohibited" signs to be posted wherever, in the Chapter, smoking is prohibited. Accordingly, It is possible that owners or managers of indoor lobbies, reception and /or office areas may be required to poet both nSmoking Permitted" and "Smoking Prohibited" signs in the same building. Unfortunately, there appears to be no other logical way to adv!so users of such facilities that, generally, smoking is prohibited within such building or facility, without a sign no indicating. Similarly, there appears to be no other Sao Nov_ 7 -80 MON 11:36 MARKMgN .'1 gRC�YN�Ki Memorandum tot Lauren Wasserman, City Manager November d, 1988 Page Two practical way to advise the public of am eras or areas where smoking 18 Permitted notwithstanding the gehoral prohibition Against smoking applicable to the building or facility. Unleae the ordinance simply bane all smoking in A building, there must logically be some method to inform users of such building or facility of areas where smoking is permitted. emokin In8retaillstores, andsSection 8- ZOr140ygenerallys Prohibits smoking in financial institutions, designated as "Smoking Permitted" areas. except in areas ancouregesIt toted appear that, as written, the ordinance building or facilityrsincettonAuthoorizensmoking, additional signs must be Posted. If, as the Chamber contends, the Posting of both signs causes a business to incur additional costs, that would would Otherwiseobe nprohiibited,�uChorizinq smoking either "Smoking lProhibited"" tort„ Smok ingbpermitted "bsilggggp1neaaref not againstvsmooking is desired witharespectptottho areas mentioned bby the Chamber of Commerce. Of course, advisiniigqq persons of a eceffootod through th3knotice ofpProhibitionaprovidedaby my signs. Additionally, certain businesses, such as restaurants and health care facilities, are required by the California Indoor clean Air tot oat 1976 (Health and Safety Code Section t- at ao p No 8moking signs as set forth in the Act. Accordingly, with respect to at least restaurants and Use of aignajainlalleareas Oxceptowherei "SmokingnPermitted" the signs have been posted, for any reason including raving the coat of additional signs, would arguably be in violation of the Indoor Clean Air Act. prohibited, butiwhich facilities 10 Permitted, there naturally is the Possibility that confusion so to which areas pormit smoking and which Qo not could result, Possibly loading to personal confrontations. We remain available to diaeues the matters stated heroin at greator length with you and the Council. DCB:Pmm 8 \133 \14WA0ERMN \R.C. 1.3.3 3ai ORDINANCE 210. 6 D AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF RANCHO CMCAMONGA, GLIFORHIA, ADDING CMAFfii 8.20 TO TITLE 8 OF THE RANCHO CMCAIONGA MUNICIPAL CODE REGULATING SMOKING WITHIN THE CITY OF RANCHO CUCAMONGA The Pity Council of the .Yty of Rancho Cucamonga 'tee- hereby ordain as follows: SECfIGH it Chapter 8.20 hereby in added to Title 8 of the Rancho Cucamonga Municipal Code to read in words and figures as follows: "Chapter 8.20 "SMOKING RW- ULATED OR 2RCHIBITED "See. 8.20.010 Purpose and Findings. "The City Council finds that the cooking of tobacco, or any other rood or plant, Is a positive danger to health, and a material annoyance, inconvenience, discomfort and health hazard to those who ere present in confined spaces, and in order to presetva public health, safety and welfare, the declared purpose of thin Chapter is to regulate the molting of tobacco, or any weed or plant. within the City of Rancho Cucamonga. "Sae. 8.20.020 Definitions. "All vordo and phrases containaa in this Chapter 8.20 shall have ascribed to them their common overy day meanings excepting only the tens 'making', which shall mean the combustion of any cigar, cigarette, or any similar article, or the combustion within any pipe or other smoking device, of any form of tobacco or other combustible substance. "Sec_ 8.20.30 Smoking Probibited _ Rlevetors. "SmokiLd is prohibited and is unlawful within ole.ators in buildings gauerally used u, and open to the public, including elevators in office, hotel, and multi - family buildings. � as Ordinance No. •aa Page 2 "See. 8.20.040 Smoking Prohibited - Hospitals. Health Care nand Child Carr P'acilitlea. "a. Smoking in prohibited and is unlawful in public areas of health care facilities and hospitals, as defined in the California Health and Safety Code, including waiting rome, public hallways, and lobbies. "b. Every publicly or privately owned health care facility, including hospitals, shall make a reasozable effort to determine preference eni to assign patients placed in come to be occupied by two (2) or more patients according to the patien:'e individual nonsmoking or smoking preference. "c. In rooms end areas occupied by patients, smoking shall be prohibited for hospital staff, visitors and the gereral public. Signs readings 'STAFF AND VISITOR SWUNG PROHMITEO' shall be conspicuously posted in such areas. "d. Smoking is prohibited and is unlawful in public areas of child care facilities. "Sec_ 8.20.050 Smoking_ Prohibited__ Meeting and Conference Rooma. "Except as beraiwfter provided, or as provided in Califormia Health and Safety Code Section 25941 or its successor prwicicna, smoking is prohibited and is unlawful in oncloaed herring zone, conference toms, chambers. and all other enclosed places of public assembly unless a minimum of forty percent (40Z) of the available seating and floor apace is designated as a 'non - smoking' tram. Notwithstanding the foregoing provisions, the weer or manager of such meeting and /or conference rona may designers the entire area am a 'smoking' or 'non - smoking' area. "Sec. 8.20.060 Smoking- Prohibited= Entertainment Paeilitiea. "e. Except as provided in California Health and Safety Code Section 25943, or its successor provisions, smoking is prohibited and is unlawful in every publicly or privately wood museum, gallery, theater, auditorium, or other ancloned facility, the primary purpose of which is to provide, permit or authorize entertainment of any nature, and /or which is open to the public for the primary purpose of exhibiting any fom of art or motion picturn, stage drams, musical recital, or any other performance or went, in all areas except that area commonly known �3�3 Ordinance NO. tea Page 3 as the lobby, and in arean not open to the public. Livery asses and /or manager of such theater, auditorite• or other enclosed entertain9ent facility an described herein. shall Poet signs conspicuously in the entrance area stating that smoking is prohibited within the theater• auditorium, or facility and in the ease of notion picture tbeatere, such information shall be "have upon the screen for at least five seconds before ahwing motion pictures. .L0_ . q_ 0 Seeking Prohibited - Puh.tie geatro — "Smoking is prohibited asi is u^ Mvful in public restroomc and private restrooms open .a the pui,lic. 8.20.080 seeking Prohibited - Indoor Service Linea. "smoking in prohibited and is unlawful in indoor service lines in which more than one person at a time is giving or reteiving services of any kind. "Sac. a. Lo. Smoking Prohibited - Eating Establish_ meats. "Smoking is prohibited tenad and eoffoaunlawful cafeteria, shop. P or privately _ short-order cafe, luncheonette, eating aaCabl iahmoet fountain• restaurant• or serving food which has an enclosed capacity of fifty or morn portions, excluding from that calculation of capacity any portion of such facility which is utilized ezclunively for bar n puapply to anyisuch establishment imaintaiiningoa contiguous not apply contiguous no smoking area of not lase than forty percent (40%) of both the seating capacity and the floor apace in which customers said rtnef "eluding from calculations any portion facility which is located outdoors and any portion of on facility which in utilized azclusively for bar purposes; further provided, bwaver• that this probibition "hall not apply to areas not open tc the public and to any room which is being used for a private function• but only while such to= used for such ptivate function. Upon request• pa soared in a nonsmoking area if "vailob.s. "See. 8.20:100 fa_ Prohibited_ Polling Places "Smok•.ng is prohibited and is unlawful intawary indoor po:.ling place for any local• y national e:.ection, or other casting of votes- when such polling place is open for voting purposes. Ordinance No, *ae Page 4 "Sec_ 8.20.110 Smoking Prohibited - Indoor Office and Lo by Areas. "Except so otherwise prwidad in this Chapter, smoking in prohibited and in unlawful in all indoor lobbies, reception and /or office green open to the public. The provisions of thin meet-on aball not apply to any arm which the must or manager ham designated an a 'smoking permitted' area. Such designation shall only be mado by the posting of conspicuous signs reading 'Smoking Permitted', in the vise and on the background described in Section 8.20.160. "Sec. 8.20.120 Smoking Prohibited_- Retail Food Narketiaa Eatab1FzF=eata. "Stoking is prohibited and is unlawful in all indoor retail food narksting entrbliahmetts, accept in armo not open to the public. "Sac. 8.20.130 Smoking Prohibited - Retail Stores. "Except as otherwise provided in this Chapter, smokim3 is pt,hibitad and is unlawful in all indoor retail stores, in arena open to the public. The provisions of thia section shall not apply to any area which the owner or manger bag designated as a 'cooking permitted' area. Such designation shall only me made by the posting of conspicuous gun reading 'Smoking Permitted', in the size acd on the background described in Section 8.20.160. "Sec_ 8 20.140 Smoking prohibited - Banks_ and Other Financial Institutions. "Except as otherwise provided in thin Chapter, smoking is prohibited and is unlawful within banks and other financial institutions in arms open to the public. The prov Lions of thin section shall not apply to any area which the caner or manager has designated an a 'smoking pe mitted' arm. Such designation shall only be made by the posting of conspicuous signs reading 'Smoking Permitted' in the vise and on the background described in Section 8 20 160. "Sec_ 8.20.150 Smoking Prohibit_ .: Public Buildings and Struccurev "Except as otherwise provided in this Chapter or by state let, smoking is prohibited and is unlawful within all public buildinas and structures it areas ripen to the public. 3as Ordinance Ho. aaa Page S "Sec. 8.20.160 Postin8 of S1gno Required. "Except as otharvise prvtided herein, wherever in this Chapter ®oking in prohibited, conspicuous signs containing all capital letters not leas than one inch in height and containing at least t;ia words 'Smoking Prohibited', or the international 'No Smoking' symbol (consisting of a pictorial representation of a burning cigarette enclosed in a red circle with a r.W bar across it) on a contrasting backgroumd, shall be posted. It is the duty of the owner, operator, manager. or other persona having control of such roam, building, or other place where smoking Is prohibited, to post much signs or cause ouch signs to be posted. "Sec. 8.20.170 Structural Modifications Not Roquired. "e. Nothing in this chapter shall require the owner, operator, or manager of any theater, auditorium, health care facility, _ say building, facility, structure, or business, to incur aul expense to make structural or other physical modifications to any area or workplace= "b. Nothing in this section shall relieve any person free the duty to poet signs an required by this Chapter. "See. 8.20.180 Exemptions. "Any owner or manager of a business or other establishment subject to thin Chaptr: may apply to the City Manager or his designee for an exemption or modification to any provision of this Chapter due to unusual circumstances or conditions, after whi.... a hearing before the City !tanager or his designee shall be conducted. The decision of the City Hanager or his designee shall be final online appealed in writing within seven (7) calendar days to the City Council which shall. within a reasonable time, schedule a public hearing. "c. Such exemption shall be granted only if the City Hanagor or designee finds from the evidence presented that, due to enuanal circumstances, the failure to comply with the provisions for which the exemption is requested will not result in a danger to health or sancyenea, inconvenience, or discomfort to nonsmoking members of the public. "b. The applicant for an exemption shall pay the sum of Fifty Dollars ($56.110) to cover investigation and administrative coats to be incurred. 3,-)�. Ordinance No. *e Page 6 "Sec. 8.20.190 Penalties. "a. It shall be unlawful to fail to post the signs required by this Chapter within ninety (90) days of the affective date bereof, or to willfully mutilate or destroy any sigma required by this Chapter. "b. It shall be unlawful to make in any atom posted an a nonanoking area. "c. It to unlawful for any person, firm, partnership or corporation to violate any provision or to fail to comply with any of the requirements of this Chapter. Any person, fire, partnership, or corporation violating any provision of this Chapter or failing to comply with any of its requirements shall be demod guilty of as infraction and upon cowiction thereof shall be punishable an foliwat "1. A fits not exceeding one hn-dred dollars ($100.00) for a first violation; "2. A fans not exceeding two hundred dollars ($200.00) for a second violation cf the sane Ordinance within one (1) year: "3. A fine not oxceeding five hundred dollars ($500.00) for each additional violation of the sane Ordinance within one (1) year. "Each such person, fin, partnership, or corporation shall be deemed guilty of a separate offens" for each and wary day or any portion thereof during which any violation of any of the provisions of this Chapter in committea, continued or permitted by such pa%son, firm, partnership, or corporation and shall be demed punishable therefor as provided in this Chapter. "Sec. 8.20.200 Civil Remedios Available. "The violation of any of the provisions of this Chapter shall constitute a nuisance and may be shared by the City through civil process by mean# of reattainicg order, preliminary or permanent injunction or in any other manner provided by law for the ebatmect of cu,h nuisances. 30 7 Y ti Ordnance No. *se Page 7 "Sec.20.210 Saverability. me City Council of the City of Rancho Cucamonga hereby declares that should any section, paragraph. neatens., word or phrase of this Chapter of ti Ranebo Cucamonga Municipal Code hereby sdoptad, be declared for any reason to be invalid, it is the intent of this Council that it would bave passed all other portions of this Chapter indepeLdent of the elimination berefrcn of any such portion as may be declared invalid." SSCfION 2. The Mayor shall sign this Ordinance and the City Clerk r shall cause the acme to be published within fifteen (15) days after its peerage at least once in The Daily Report. a newspaper of general circulation published in the City of Ontario, California, and circulated it the City of Rancho !' Cucamonga, California. CITY OF R.1NCHO CUCAMONGA MEMORANDUM Date: Novembar 16, 1988 To: mayor, Members of city Council, aril City /F4anager Prom: Joe SeAultz, Community servf.ces manager6�0'� Subject: Community TSek 7orce Committee to Revi Park and Recreation Facilities I as forwarding you the Sndividualn making application to serve on the committee to assess park and recreation facilities within our community. Persuent your direction at the September 21st Council meeting you are to appoint tan (lo) citizens at large and an representative from each Youth Sport group (15). To Appoint 10 1. ROaie MCCobb, 6931 Lamar Court 2. David S. Wadley $480 Evening Canyon Way 3, Scott Burke, 11605 Mt. Baldwin Court 4. Ann Adams Habacker, 7914 Altya Cuesta 5. Jeff Scoranka, 6211 Philips Way 6. Jana Almanza, 11345 Ht. Johnson Court 7. Manuel R. Almanza, 11345 Mt. Johnson Court 8. Debra J. Moreno, 6803 Monterey Place 9. Becky Hardy, 7318 Marine Ave 10. Andrea H. Blair, 11570 Ht. Hood Court 11. John W. Rose, 7072 Jasper 12. Warciso Buenaventura, 10673 Orange Blossom 13. Dr. Norman Guith, 6215 Hellman Ave 14. Desi Nascimento, SS56 Dresden 15. Deborah E. Humphreys, 11181 Baylor Street 16. Wendy Vallette, 11116 Amarillo Street 17. Hargi Goldstein, 6577 Twinspur Placo 18 -ennis Flaunt, 7045 Chicago Court 19. Kim Flaunt, 7045 Chicago Court 20. Wilma Brenner, 8631 Ramona Avenue - Rep V.I.P. Seniors 21. Jackie Amsler, Rancho Cucamonga 3a ^. - f• -roe.. Fi w I- Don Rosso, Provident, Vineyard Little League 2. Paul Getchy, President, Alta Loma Little League Baseball =. Rocky Reynolds, President, Citrus Little League d. Mike Raynolds, President, Dear Canyon Little League 5. Robert Shoults, Preaident, R.C. Pony /Colt Baseball 6. Bill Peer, President, Rancho Cucamonga Legion Baseball 7. (like Stevens, A.C.E. Youth Softball S. Taro Barcaly, Mize Softball America 9. Urs. Sandy Carly, A.Y.S.O. ". 10. Brian Nusasohi, Volleyball Club` -' 11. hike Parrish, Senior soccer League 12. Nary Souza, Adult Soccer League 13. Mario Nelendrez, CYSA Soccer 14. have Sievert, A.C.L. T -Ball 15. Al Lundgren, Rancho Cucamonga Pop Warner Football The first meeting for the task force c=alttes will be Tuesday, November 22, 1988 at 7s00pm at Lions Park Comaunity Cantor. .v CITY OF RANCHO CUCAMONGA STAFF REPORT DATE: November 16, 1988 TO: Rayce and Members of the City Council FROK: Brad Buller, City Planner BY: Miki Bratt, Associate Planner SUBJEr,T: ANNE(ATION 88 -04 - AHMANSON DEVELOPMENTS INC. - A request to approve tne lax Revenue c ange or annexation proceedings (LAFCO 2518) between the County of San Bernardino and City of Rancno Cucamonga for approximately 53 acres of vacant land located at the southwest corner of Etiwanda Avenue and 25th Street - APR: 225 - 082 -01. RECOMiERATION: Staff recoL -rands adoption of the attached eso RTi%n approvina the Tax Revenue exchange between the County of San Bernardino and the City of Rancho Cucamonga. II. BMGROUI®: The Tai. Revenue Exchange negotiation is part of the annexation proceedings before the Local Agency Formation Commission for Ahmanson Oevelopaents, Inc., located in the unincorporated area of the County (Exhibit "B "). This annexation is scheduled for public hearing before the Local Agency Formation Commission on December 21, 1S88. Approval of the property tax revenue exchange by the City and by the County is a prerequisite of the annexation proceedings. The "historic share" formula for the tax exchange for this annexation is consistent with the formula for the tax rate exchange adopted by the City Council on September 7, 1988, for the Pulsar and Caryn Annexations, as well as for the Melcher Annexation which is located immediately to the south of this application. The historic share would be 4.S7 percent as shown on Exhibit "A". Any special assessment district tax, for exarple, Light and Landscaping or Moilo Roos, would not have an effect on the property tax received by the City. 330 CITY COUNCIL STAFF REPORT ANNEV.TION 88-04 - AHMMSON DEV. INC. November 16, 1988 N Pags ^c 'a: 8' i III. CONCLUSION: Adoption of the attached Resolution 1s required to -5-r—cc—eeTWth annexation proceedings for the subject propert'. Resp tfurllyS ttted, City anner BB:MB:mig Attachsents: Exhibit "A" - Tax Information Exhibit "B" - Vicinity Map ,;. Resolution wt )Z1 C 331 r, r• ANNEXATION TO THE City of Rancho Cucamonga s LAFC NO. 2518 - -_ r• --. , J _ 4.97.6 r. •••••• I 7 l�dJ TRA &170007 r MV $800,000 I Revenue $8,000 CHANGE IN CHANGEIN CHANGE IN BASE YEAR BASEYEAR BASEYEAR FOR USE IN FOR USE IN FOR USE IN 1988.89 1988.89 1988.89 TOTAL COUNTY General Operations S(170) S S $(170) p Flood Control Flood Zone s Library (207) (707) Total County: $(377) f S $(377) OTHER AFFECTED AGENCIES• CSA 70 $(2) $ f $(2) CSA 70 ZONE (18) (18) Total Affected Agencies: (20) (20) TOTAL (397) (397) TRANSFER TO CITY OF RANCHO CUCAMONGA S 397 S S S 397 ANNEX 88 -04 EXHIBIT A 33a 1111111111 City Limits •���• Unlnaorporotod Aroo Within City $photo et Intlnoeoo V V %K)RTH CITY OF RAIN- -M CUCAIMONGA MANNING DIV6M nTA,t 4 9P -Q4 TrlUl1/1GIA/ITY MAF� MUM �'' SCALE, �- 333 RESOLUTION N0. 7 0 - 6 b A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF RANCHO CUCAMONGA, CALIFORNIA, DETERMINIIM THE AMUUNT OF PPOPERTY TAX REVENUES TO BE EACHANGEO BETWEEN AND AA04G THE COUNTY OF SAN BERNARDINO !iN THE CITY OF RANCHO CUCAMONGA RESULTING FROM THE JURISDICTIONAL CHANGE DESCRIBED BY LAFCO N0. 251P SECTION 1: The City Council of the City of Rancho Cucamrnga hereby finds and a erm nes that: A. Pursuant to Section 99 of the Revenue and Taxation Code, prior to the issuance of a certfficate of filing by the Local Agency Formation Coamtssfon Executive Officer, the governing bodies of all local agencies whose service area or service responsibilities will be altered by a proposed jurisdictional change shall negotiate and determine by resotutton the amount of property tax revenues to be exchanged between and among such agencies. B. Except as provided in Section 99.1 of the Revenue and Taxation Code, to the event that a jurisdictional change would effect the service area or service respon,ibllft�v of one or more special districts, the Board of Supervisors of the County of San Bernardino shall, on behalf of the district or districts, negotiate any exchange of property tax revenues. C. The City Council of the City of Rancho Cucamonga and the Board of Supervisors of the Crvnty of San Bernardinu Neva determined tht amount of property tax revenues to be exchanged as a result of the following jurisdictional change. LAFCO NO. 2518 - CITY OF RANCHO CUCAMONGA SECTION 2: The Lity Council of the City of Rancho Cucamonga hereby resso ves and ordors that: A. The negotiated exchange of property tax revenues between the City of Rancho Cucamonga and the County of San Bernardino, attached hereto as Exhibit 'A' and incorporated herein by reference, resulting from the above - described jurisdictional change Is hereby approved and accepted. 3 The annual tax increment generated to the area subject to the Jurisdictions change and attributable to the local agencies whose Service area of service responsibilities will be altered by the proposed jurisdictional change shall be allocated in future years pursuant to the provisions of Section 98 of the Revenge and Taxation Code. ,33 cl CITY COUNCIL RESOLUTION No. ANNEXATION 88 -04 - AHMANSON OEV. INC. November 16, 1988 Page 2 SECTION 3; Tne City Clerk of the City of Rancho Cucamonga is hereby drr—e-cfinO certify to the passage of this Resolution and to cause s certified copy to be sent to Lhe Executive Officer of the Local Agency Fornatien ComaisIIcn of the County of San BernarLmo. 33S Total Affected Agencies: (20) TOTAL (397) TRANSFER TO CITY OF RANCHO CUCAMONGA S 397 S S 331. (20) (397) S 397 EXHIBIT A ANNEXATION TO THE City cf Rancho Cucamonga LAFC NO. 2518 rY r•- t TRA � � 1'1WpG .170007 MV 3800,000 ' Revenue 3C,000 CHANGE IN CHANGE IN CHANGE IN BASEYEAR BASEYEAR BASEYEAR FOR USE IN FOR USE IN FOR USE IN 1988.89 1988.89 1988 -89 TOYAL COUNTS' _ 7 General Operations 7(170) S $ $(170) Flood Control Flood Zone Library (207) (207) Total County: $(377) $ $ $(377) OTHER AFFECTED AGENCIES• CSA 70 S(2) $ $ S(2) C..SA 70 ZONE A (18) (18) Total Affected Agencies: (20) TOTAL (397) TRANSFER TO CITY OF RANCHO CUCAMONGA S 397 S S 331. (20) (397) S 397 EXHIBIT A a i r l -- CITY Ci RANCHO CUCA 1ONGA STAFF REPORT Date: November 16, 19es To: City Council and City tanager Prom: Marti Hibglns, Disaster Preparedness Coordinator Subject: Mlsslor. Statement for Disaster Preparedness I: is rer-ommended that the City Council accept the Mission Statement for Disaster Preparedness as the Cities Intention, before, during and after a major emergency. BACROROWM AAAW St 'The mission of the Disaster Preparedness division shall be to gave lives and property by developing programs and emergency operational capabilities that mitigate, prepare for, respond to, and recover from any emergency or disaster, whether peacetime or war related in the moot efficient and cost effective manner " Respectfully submitted, MH:jh 33-7 Date: To: From: subject: CITY OF RANCHO CUCAMONGA STAFF REPORT c o � November 16, 1988, a z Mayor, Members of City Council, and Cit 6 manager '97, Joe Schultz, Community Services ManageAl Red Hill Lake - Fencing Issue Pursuant City Council direction Red Hill Lake is to be an agenda item for discussion. Researching city Council minutes dating from June 3, 1987 the fencing issue topic concluded on October 21, 1987. The October minutes reflect questions that may not have been answered. Councilmember Xing asked for costs as it relates to modification of the area with some of the cement and walkway removed from the edge. Below are approximate costa with options: A. Fence entire width with decorative fencing. The height would be at least 42 ". The circumference is approximately 850 linear feet 6 $25.00 - $40.00 - $21,250.00 / $34,000.00. B. Pull sidewalk back from lake edge and landscape between relocated sidewalk and then fence with poets and chains or fence with a decorative fence. The estimate to do option B is: Remove existing poured concrete walk- $ 9,300.00 Grade - $2,000.00 Install new poured concreta walk m $10,175.00 Landscape and Irrigation - M.500.00 Total $13,975.00 Than if fence material was also installed with option B at $15.00 - $40.00 a fooc the total cost would be - $49,725.00 / $70,975.00. The subject above was requested to appear before City Council. City staff recommends keeping the lake in its present constructed configuration. Rctfplly ubmitted. Jc Sc ultz C unity 9e ces Manager NA a ha 33 8 3,5 L _..,, —`• - -- - e[i j FnwcilTleae.r Oceeber 71. 19aL�� ,. 3 h9. 1J ti i t L mwu. lf/teW g7 d7 OR MIIttf AA 0177 tAW7IC1t1T1011 IW LINWT UPWI0M p7001AN, (lAl' (1AO1.06 LIDW Sopant.or Itibls asked O ,Ll if the City Would be rllile3 to meta me Ca t7 fonds far at .dditlne to the library, Diane Willis.. tier of Meads at tl. Library, 7171 Asttb7st.....as" G ZLl1. egprTt of this. PtMut tiered ty Stoot. ...&A by Stout to .pprseo at u.:ept, Motles named u..f.ly }-0. b. lNfJR gT wfdtfamW Q tYQW AMOWID pt0 g71L tJRN. 11.06-06 7K MM) (7. . 10T1Mtt tiseed b KlnL taceeltd Dy Srow ra bsl.g lee. ttck for ".aides. tie. Wltb .0 mite a it [tlesu to sedlflutfu of t1. •Wes Wien sue of the mr,t .ed o.ibq ,nesed [su eke Bap. tone to tt bregkt b9 Barnett, 7. Metla1 onled eunlsoasly 0-0. i •tree• 7r 7BWWI1►Ifd710W D• I7M � QS MYyfl0 11. Itormber 6 to bring pale back for une/d.nt/u mod Defere tht flnt of 1919 to brit, back a tit, -eldo sppff"& redradlas ,Ad vehicles. •arse♦ J. QrWWQtlT1OWg fO m muc MORN 9®MI7rND L 0 A' D. * oW Coovett sdjmnN to • Closed session at 171!1 ..., to disc... p.rstae.l .It.,.. Stand, to [CUU.w. m. d7pmtl� ! >ees.�ndee lw to.rdi Ielw of w /.w /uel «mass to the y,ry fi�ye 67 Will I. L malls, MT10b Moved 1y King, stressed by Stout to approve as Instant Wonder Its Pa." Motion urrled uealwtsl7 1.11. mnm' tised b Kaput. taco.d>d by SreWO to .dleon the settle, Met/.. came, ne..tne.ay 5-0. Mo.tl.t adjourned at it07 ,... lsv�rfvlly submitted, 'ZCLGI( �G k ,�ctay City Ottk Apprseodl Osmbor 1, 190 o 7O Y, i w 1 — CITY OF RANCHO CUCAMONGA STAFF REPORT DtTE: November 16, 1988 L.r �Cr T0: City Council and City Manager FROM: Russell H. Maguire, City Engineer 81: Paul A. Rougeau, Traffic Engineer 9JBJECT: Status of Public Safety Commission inquiry into traffic safety issues regarding the Sapphire Street Community Trail AS its November 1 meeting, the Public Safety Commission considerou the traffic safety aspects of the community trail on the west side of Sapphire Street between Marble Avenue and Banyan Street. The Com:ission reviewed information regarding the measurements of the trail and trail fencing, includirn the amount of fence revved to provide intersection sight distance as calculated by the Engineering Division. Input from several citizens of the area was also received. It was the consensus of the Commissioners that a field review by them was necessary before determining whether additional fence •emoval or other changes could be recommended. It was, accordingly, decided that a determination on that issue would be made at the December 6 meeting. It was also decided that the adequacy of the trail width should be determined by the Planning Commission and that the Public Saf•.ty Commission would give no further consideration to that aspect. Respectfully submitted, 4 RHM:PAR:pam cc: Clyde Boyd CITY OF RANCHO CUCAMONGA STAFF REPORT t.. D.1TBi November 16, 1988 TO: Mayor and City Council PROM$ Clyde A. Boyd, Chairman, Public Safety Commission) SUBJECT: Saoahire Bridle frail Safety Pursuant to Council direction, the Public Safety Commission, on November 1, 1988, Look testimony from members of the public regarding the community trail along Sapphire south of Banyan Street. This issue has two parts= the first raised by residents is intersection visibility at Sapphire Street, and the second concern is over the width of the trail itself. It is the consensus of the Public Safety Commission that we should deal with the first point of the neighbors' contras, the sight distance at the intersections. Because the Planning Commission is expert in matters dealing jith comuuity bridle trails, ve felt that it would be more appropriate to refer to you the questions regarding the trail width and design. The Commission has held off on making any decisions on the issue until the Commissioners have had an opportunity to view the site personally. The Public Safety Commission will discuss the safety aspects of this issue at their December meeting. If I may answer any questions, please feel free to contact me. CAB:jls 1404.08/88 -749 3y�- CITY OF RANCHO CUCANIONGA STAFF REPORT f DATE: November 16, 1588 T0: City Council and City Manager FROM: Russell H. Maguire, City Engineer BY: Steve Gilliland, Public Works Inspecto�r� SUBJECr: Status on work revaluing for Tract 13059, located on the wtst side of Fairmont Avenue between Highland Avenue and Base Line Road, and Tract 13060, located on the southwest corner of Milliken Avenue and Fairmont Avenue, submitted by William Lyon Company tracts 13059 and 13060 are being developed in the Victoria Planned Coamnity by the Williau Lyon Company. Both Improvement Agreements and Securities were approved by Council on August 6, 1968. The work. that is regaining is very minimal for both tracts. All streets have the final cap of pavement, and all landscaping has been installed. After a street inspection walk -thru, on November 9, 1088, it appears that all work remaining will be limited to concrete removal and replacement such as curb and gutters, sidewalks and handicap ramps, etc. The William Lyon Company should have their contract3rs finish up the work in a short amount of time. Therefore, the 30 day Improvement Agreement Extension should be sufficient. Respectf ly submitted, zo rRHM: SG: dlw 373 I ti { :i CITY OF RANCHO CUCAMONGA STAFF REPORT DATE: November 16, 1988 TO: city Council FROM: Elizabeth Stoddard, Finance Manager SUBJECT: NOITHEAST COMMUNITY PARK PROJECT FINANCING RECOMMENDATION: Review and adopt a Resolution authorizing and directing the execution of documents relating o to the purchase ooina�y Northeast Community parksite and app Statement. BACKGROUN9 The City communitY parkslte. The location hissinsthe proximate area for a area of Sump-.It and East Avenue. The total cost of the land has not been finalized through J. William howev0r,Mitpis felt the +cost should nottexceadn$3.0 million. The funding source of this project is the proposed sale of Certificates of Participation (Bonds). The Resolution under consideration would allow City funds to initially pay for the park land area and be reimbursed through the sale of these certificates. the Staff has t with preliminary mo official thestatement iteis anbeing d recommended d for counsel approval. The term of the proximate interest rate of 7%. recommended 1s 10 years with a p Respectfully sub fitted, Eliz th Stoddard Finance Manager LS:cp /7 % dP nn,-0s +.xr.uow ivies, zwfr ' AFTER RECORDATION RETURN TO: ! JONES HALL Hit L d WHITE, A PROFESSIONAL LAW CORPORATION Four Finbarcadoro Center, Suite 1950 San Francisco, Cailtomla 94111 Attention: Brten 0. Quint. Esq. LEASE AGREEMENT Dated as of December 1, 1988 by and between the RANCHO CUCAMONGA PUBLIC IMPROVEMENT' CORPORATION, as Lessor and the CITY OF RANCHO CUCAMONGA. as Losseo (NORTHEAST COMMUNITY PARK PROJECT) 34E 0 23853 Section 1.1. Deflnitlonn Section 1.2. Exhibits... TABLE OF CONTENTS ARTICLE I DEFINITONS AND EXHIBITS ............. .... ............................... .. ............. ...............I............... . ARTICLE II REPRESENTATIONS, COVENANTS AND WARRANTIES Paoe 2 2 Section 2 1 Representations. Covenants and W3mant103 of the City ............................ 3 Section 2.2. Representations. Covenants and Warranties of Corporation ..................... 3 ARTICLE lit DEPOSIT OF MONEYS; ACQUISITION OF THE SITE Section 3.1 Deposit of Moneys ........................................................ ............................... 5 Section 3.2. ACquisnlon of Site ............................................................ ............................... 5 Section 3.3. Payment or Acquisition Costs_ ...................................... ............................... 5 Section 3.4. Payment of Celivery Costs .............................................. ............................... 5 Section 3.5 Unexpended Moneys .................................................... ............................... 5 ARTICLE IV AGREEMENT TO LEASE; TERM OF THIS LEASE AGREEMENT; LEASE PAYMENTS Section4.1 Lease .. ... .......... ..... ......... ........... .......... .............. ...... ............... 8 Section 42 Term of Aoreement .................. ....................... ..... ............................... 8 Section 4 3. Possession .................. .......................... ... ...................... ........ e Sectlon 4 4. Lease Payments .. .. ... ..... ............. .. ............................... B Section 4.5 Quiet Enjoyment ......... .... ......................... ................. B Section4 8. Title .. ... ............ ..... ...... ............................... B Section 4 7 Addlticr 11 Payments ... .. ... ......... .... ....... ............... 8 .q 111 ARTICLE VI DAMAGE, DESTRUCTION AND EMINENT DOMAIN; USE OF NET PROCEEDS Section8.1 Eminent Domain .............................................................. ............................... 13 Section 5.2. Application of Net Proceeds ........................................... ............................... 13 Section 8.3. Abatement of Lease Payments In the Event of Damage cr Destruct: on ......................................................... ............................... 13 ARTICLE VII DISCLAIMER OF WARRANTIES; ACCESS Section 7 1 Dlsclolmer of Warranties ................................................. ............................... 14 Section 7.2. Access to the Site ........................................................... ............................... 14 Section 7 3 Release and Indemnification Covenants ..................... ............................... 14 ARTICLE VIII ASSIGNMENT, SUBLEASING AND AMENDMENT Section 8.1 Assignment by the Corporation ................................ ............................... 15 Section 8 2 Assignment and Subleasing by the City ..................... ............................... 15 Section 8.3. Amendment of this Lease Agreement ........................ ............................... 15 � 7 00 Page ARTICLE V MAINTENANCE; TAXES: INSURANCE; •• USE LIMITATIONS; AND OTHER MATTERS Section 5.1 Maintenance, Utilities, Taxes and Assessments .......... ............................... 0 Section 5.2. Modification of Site ....... _.......... ................. ............................................ ... 0 Section 5.3. Public Liability and Property Damage Insurance...„ .... ............................... 10 Section5.4. Fire and Extended Coverage Insurance .. ........... _ ....... ........ ......................... 10 pSection 5.5. Rental Interruption Insurance .... ...... ... ...... ..................... ...... I._................... 11 Section5.8. Title Insurance ....». .... .._ ................................................... ............................... 11 Section 5.7 Insurance Net Proceeds; Form of Policies ..................... ............................... 11 Section5.8. Advances._..«._._ ............................................................ ............................... 11 Section 5.9. Installation of City's Equipment ................... _ .... ........................................... 11 Section5.10. Lions .. ............................. __ .................. ......... .............................................. 12 Section 5.11 Private Sualnoss Use Limitation ................................... ............................... 12 Section5.12. Private Loan Umltatlon....„ ............................................ ............................... 12 Section 5.13. Federal Guarantee Prohibition .................................... ............................... 12 ARTICLE VI DAMAGE, DESTRUCTION AND EMINENT DOMAIN; USE OF NET PROCEEDS Section8.1 Eminent Domain .............................................................. ............................... 13 Section 5.2. Application of Net Proceeds ........................................... ............................... 13 Section 8.3. Abatement of Lease Payments In the Event of Damage cr Destruct: on ......................................................... ............................... 13 ARTICLE VII DISCLAIMER OF WARRANTIES; ACCESS Section 7 1 Dlsclolmer of Warranties ................................................. ............................... 14 Section 7.2. Access to the Site ........................................................... ............................... 14 Section 7 3 Release and Indemnification Covenants ..................... ............................... 14 ARTICLE VIII ASSIGNMENT, SUBLEASING AND AMENDMENT Section 8.1 Assignment by the Corporation ................................ ............................... 15 Section 8 2 Assignment and Subleasing by the City ..................... ............................... 15 Section 8.3. Amendment of this Lease Agreement ........................ ............................... 15 � 7 00 Pdae ARTICLE IX EVENTS OF DEFAULT AND REMEDIES Rection 0.1 Events of Default Def lned.... . ............................_. 16 , ctlon 9.2. .......... Remedies on Default ....................... _. Purchase Option ',c on 9.3. .............................................. ............................... ......... No Remeay Exclusive 16 .tlon 9.4. ...... ............................... ................ ..._........................... Agreement to Pay Attorneys' Fees and Expanses ............................. 18 tc Section 9.5. No Additional Waiver Implied by One Waiver.. .................... -. IS Section9.6. Application of Procaeds_ ....... _ ..................................................... .ercise ...ights ...... ............................... 16 Section 9.7 Trustw and Certificate Owners to Exercise Rights ...... ............................... 18 ARTICLE X PREPAYMENT OF LEASE PAYMENTS Section 10 1 Security Deposit Effect ..................... ............................... ......... ............................... 22 Section10.2. ....................... _. Purchase Option ........................................... ...................... 20 Section 10.3. ....................................................... Mandatory Prepayment From ............................... Not Proceeds Insurance 20 ............................... 22 Socticn 11.6. of or ......... 23 Section 10.4. EminentDomain ................................................ ............................... Credit for Amounts Deposit 21 Section 11.8. on ............... ............................... .................. 21 ARTICLE XI MISCELLANEOUS Section 11 1 Notices .................................................... ............................... ....................... 22 Section t 1.2. 8lntlln0 Effect ..................... ............................... ......... ............................... 22 Section11.3. Soverablllty ................................ -.................................................................. 22 Section 11.4. Not -not -net Lease ....................................................... ............................... 22 Section 11.5. Further Assurances and Corrective Instruments ........ ............................... 22 Socticn 11.6. Execution In Counterparts ................... .................................. ......... 23 Section11.7 Applicable Law ...... ... ........................ ....................... ....... ............................... 23 Section 11.8. Corporation and City Representatives ...................... ............................... 23 Sectionfig. Captions ................... ....................... ....... .............. ..................... ..... .......... 23 EXHIBIT A: Definitions EXHIBIT B: Description of the Site EXHIBIT C Schedule or Lease Payments Mg (Ito nY: r f K. LEASE AGREEMENT THIS LEASE AGREEMENT (the 'Lease Agreement'), dated as of December 1, 1888, by and between the RANCHO CUCAMONGA PUBLIO IMPROVEMENT CORPORATION, a nonprofit, public benefit corporation organized and existing under the laws of the State of California, as iescor (the 'Corporation'), and the CITY OF RANCHO CUCAMONGA. a munlNpel corporation and general law city organized and existing under :tie laws of the State of California, as lessee (the'C'ly'); WITNESSETH: WHEREAS, the City wishes to acquire cartaln real property for future dsveiopmenl as the Northeast Community Park, more particularly described In Exhibit B hereto (the 'Site'), and the City Is authorized pursuant to the laws of the State of California to enter Into leasehold agreements for such purposes; and i WHEREAS, the City Council of the City has determined that, in order to accomplish such purposes, it Is necessary and desirable to acquire the Site by loosing n the same pursuant to this Lease Agreement; and hereinafter E the Corporation def defined) funds for -Ouse deposited with the rr the acquisition of the Site to leased pursuant lto this Y Lease Agreement; NOW, THEREFORE, Il IS MUTUALLY AGREED, as follows: ARTICLE I DERNiT10NS AND EXHIBITS Sect on 1 1 Definitioni. The terms defined In Exhibit A attached hereto and by title reference Incorporated herein, as used and capitalized herein, shall, for all purposes of this Loose Agreement, have the meanings ascritxd to them In sold Exhibit A unless the ccntext clearly requires some other meaning. Sectlon 12. Exhibits. The following exhibits are attached to, and by this reference made a pert of, this ..ease Agreement: Exhibit A: Definitions. Exhlbit B: The description of the Site. Exhlbn C.: The st.hedule of Lease Payments to be paid by ;he City hereunder with respect to the Site, showing the Due Date and anwunt of each such Lease Payment. 3�0 —2- ARTICLE II REPRESENTATIONS, COVENANTS AND WARRANTIES Section 2.1 Representations Covenants and Warranties of the City. The City represents• covenants and warrants to the Corporation es fo;lo•,rs: (a) Due Oroanlzatlon and Exlsteuce. The City Is a municipal corporation and general law city duly organized and existing under the laws of the State. (b) Authorization. The laws of the State authorize the City to enter Intu the Site Lease. this Lease Agreoment and the Trust Agreement end to enter Into the transactions contemplated by and to Corry out Its obligations under all of the aforesaid agreements, and the City has duly authorized and executed all of the aforesaid agreements and such agrooments constitute the legol, valid and binding agreements of the City, enforceable against the City In accordance with their respective terms. (c) No Violations. Neither the execution and delivery of the Site Lease, this Leese Agreement or the Trust A.groement, nor the fulflllmnnl of or compliance with the terms and conditions hereof or thereof, nor the consummation of the transactions contemplated hereby or thereby, conflicts with or results In a breach of the terms, conditions or provisions of any restriction or any agreement or Instrument to which the City Is now a party or by which the City Is bound, or constitutes a default under any of the foregoing, or results in the creation or Imposition of any lien, charge or encumbrances whatsoever upon any of trio property or assets of the City or upon the Site, except Permitted Encumbrances. (d) Execution end Dellverv. The City has duly authorized and executed this Lease Agreement In accordance with the laws of the State. Section 2.2. Representations Covenants and Warranties of Corporation. The Corporation represents• covenants and werronts to the City as follows: (a) Due Organization and Exlstenca. The Corporation Is a nonprofit• public benefit corporation duly organized and existing under and by virtue of the laws of the State; has power to entar Into the Site Lease, this Lease Agreement, the Assignment Agreement and the Trust Agreement; Is possessed of full power to own and hold• improve and equip real and personal property, and to loose and sell the some; and has duly authorized the execution and delivery of all of the aforesaid agreements and such agreements constitute the legal• valid and binding agreements of the Corporation, enforceable against the Corporation In accordance with their respective terms. (b) No Encumbrances. The Corporation will not pledge the Lease Payments or other amounts derived from the Site and from Its other rights under this Lease Agreement and will not mortgage or encumber the Site, except as provided under the terms of this Lease Agreement and the Trust Agreement. (c) No Violations. Neither the execution and delivery of the Site Lease, this Lease Agreement, the Assignment Agreement or the Trust Agreement, nor the fulfillment of or —3- 35 compliance with the terms and conditions hereof or theraof, nor the consummation of the •ransactlons contemplated hereby or thereby, conflicts with or results In a breach of the .s, conditions or provisions of any restriction or any agreement or Instrument to which Corporation Is now a party or by which the Corporation Is bou id, or constitutes a ilauit under any of the foregoing, or results In the creation or Imposltlon'of any Iie.l, harge or encumbrance whatsoever upon any of the property or assets of the Corporation, or upon the Site, except Permitted Encumbrances. (d) No Assionmonts. Except as provldad here n, the Corporation will not assign this Lease Agreement. Its right to receive Lease Payments from the City, or Its duties and obligations hereunder to any other person, firm or corporation so as to Impair or vlolatu the representations, covenants and warranties contained In this Section 2.2. (6) Title to Site. The Corporation warrants that It has, pursuant to the Site Lease, acquired and is owner of leasehold title to the Site. (f) Execution and Delivery. The Corporation has duly authorized and executed tnls Lease Agreement In acre rdance with the laws of the State. 3-5.1)- ARTICLE III DEPOSIT OF MONEYS; ACQUISITION OF THE SITE Section 3.1 Depaslt of Moneys. On the Closing Date, the Corporation shall cause to be deposited with the Trustee the proceeds of sale of the Certificates. Pursuant to Section 2.07 of the Trust Agreement, the Reserve Requirement shall be deposited with the Trustee In lne Reserve Fund, a portion of the Lease Payments attributable to Interest and payable by the City hereunder from December 1, 1088 to the Closing Date, shall be deposited with the Trustee In the Lease Payment Fund, amounts estimated to be required to pay Delivery Costs shall be deposited In the Delivery Costs Fund and the remaining balance of sold amount shall be deposited In the Acquisition Fund. Section 3.2. Acquisition of Site, The Corporation egress to cause the Trustee to reimburse the City for Acquisition Costa of the Site from moneys deposited In the Acquisition Fund. The City agrees that upon acquisition of the Site it will take possession of the Site under the terms and provisions of this Lease Agreement. Upon acquisition of the Site, the City shall deliver to the Trustee, as assignee of the Corporation, a Certificate of Ccmpletlon executed by a City Representative. It the Corporation, for any reason whatsoever, cannot deliver possession of the whole Site to the City, this Lease Agreement shell not be void or voidable, nor shall the Corporation be liable to the City for any loss or damage resulting therefrom; but In such eveat the remaining Lease Payments pertaining to the Site shall be obatnd In part, In an amount to be agreed upon by the City and the Corporation such that the resulting Lease Payments repre9ent fair consideration for the use and occupancy of the portion of the Site actually delivered. Section 33. Payment of Acoelsltion Costs. Payment for the acquisition of the Site, as well as all other Acquisltlpll Costs, shall be made from the moneys deposited In the Acquisition Fund as provided In the Trust Agreement, which moneys shall be d,sbursed for such purpose In accordance and upon compliance with Section 3.02 of the Trust Agreement Section 3.4. Payment of Dolivery Costs. Payment of Delivery Costs shall be made from the moneys deposited witn the Trustee In the Delivery costs Fund, which moneys Shan be disbursed for such purpose In accordance and upon compliance with Section 3 04 of the Trust Agreement Section 3 5 Unexpended Moneys The Corporation and the City acknowledge that the Acquisition Fund antl the Delivery Costs Fund have been .rented to. the benefit Of the City All unexpended moneys remaining in trio Acquisition Fund and rat required for payment of AcgW?itlon Costs or In the Delivery Casts Fund and not required for the payrr.ant of Delivery Costs shall be applied In accordance with Section 3.05 of the Trust Agreement '� 53J -5- ARTICLE IV AGREEMENT TO LEASE; TERM OF THIS LEASE AGREEMENT; LEASE PAYMENTS Section 4.1 Lease. The Corporation hereby loaner the Site to the City, and the City hereby leases the Site from the Corporation, upon the terms and conditions set forth in this Lease Agreement Section 4.2. Term of A reement. The Term of the Lease Agreement shall commence on the date hereof, end shell end on December 1, 1998, unless such term is extended as hereinafter provided. If on December 1, 1998, the Trust Agreement shell not be discharged by Its terms, or If the Lease Payments payable hereunder shall have been abated at any time and for any reason, than the Term of the Lease Agreement shall be extended until there has been deposited with the Trustee an amount sufficient to pay obligations due under the Lasso Agreement. I•Jt In no event shall the Tc:m of the Leese Agreement extend beyond December 1, 2008. If prior to December 1. 1998, the Trust Agreement shall be discharged by Its terms, the Term of the Loase Agreement shalt thereupon end. Section 4.3. Possession. The She will be acquired from amounts on deposit in the Acquisition Fund pursuant to Section 3.2 hereof, and the parties hereby declare their expectation that acquisition of the Site will be substantially completed on the Closing Date. The City hereby agrees that upon such substantial completion of acquisition of the Site, the City will take possession thereof. The first Lease Payment shall be du., on May 15, 1989. Section 4.4. Lease Payments. (a) Dbll atlon to Pa v. Subject to the provisions of ASicles VI and X hereof. the City agrees I,, Pay to the Corporation, Its successors and assigns, as rental for the use and occupancy of the �Ite during each Rental Period, the Lease Payments (denominated Into components of principal and Interest) for the Site In the respective amounts specified In Exhibit C hereto• to be due and payable On the respective Lease Payment Dates specified In Exhibit C hereto. Any amount held In the Lease Payment Fund on any Lease Payment Date (other than amounts resulting from the prepayment of the Lease Payments In part but not In whole pursuant to Article X hereof and other than amounts required for payment of past due principal or Interest represented by any Certlticates not presentod for payment) shall be credited towards the Lease Payment then due and Payable. and no Lease Payment need be made on any Levu+ °oyment Date If the amounts then held In the Lease Payment Fund are at least N. • he Lea.,) Feyment then required to be paid. The Lease Payments for the Site pa,ar,;,, ..t any Rental Period shall b6 for the use Of the Site for such Rental Period. (b) Effect of Prepayment. In the event that the City prepays all remaining Lease P. ents In full pursuant to Article X hereof, the City's obligations uncle. this Lease A emrrr, shall thereupon cease and terminate. Including but not limited to the City's ut- jatioh to pay Lease Payments under this Section 4.4; subject however, to the provisions of Section 10 1 hereof In the case of prepayment by application of a security 8- 35 deposit. In the event that the City prepays the Lease Payments In pert but not In whole pursuant to Section 10.2 hereof pursuant to Section 10.3 hereof as a result of any Insurance or condemnation award with respect to any portion of the Site, such prepayment shall be credited entirely towards the prepayment of the Lease Payments as follows: (I) the principal components of each remaining such Lease Payments shall be reduced on a pro rate basis in integral multiples of S5,000; and (If) the Interest component of each remaining such Lease Payments shall be reduced by the aggregate corresponding amount of Interest which would otherwise be payable with respect to the Certificates thereby redeemed pursuant to Sections 4.01(x) or (b), as the case may be, of the Trust Agreement. (c) Rate on Overdue Pavinents. In the event the City should fall to make any of the paym%to required in this Section 4.4, the payment In default shall continue as an obligation of the City until the amount In default shall have been fully paid, and the City agrees to pay the same with Interest thereon, to the extent permitted by law, from the date of default to the date df pnymant at the rate of twelve percent (12 %) per annum. Such Interest, If received, shall be, deposited in the Lease Payment Fund. (d) Fair Rental Value. The Lease Payments for the Site for each Rental Parlod shall constitute the total rental Gtr the Site for each Rental Period and shall be paid by the City in each Rental Potted for and In consideration of the right of the use and occupancy of and the continued quiet use and enjoyment of, the Site during each Rental Period. The parties hereto have agreed and cletermined that the total Lease Payments for the Site do not exceed the fair rental value of the Site. In makfig such determination, consideration has been given to the obligations of the parties under this Lease Agreement, the uses and purposes which mtiy be served by the Site and the benefits therefro,r which will accrue to the City and the general pulrlre. (e) : ourco of PBVmenls: Budoet end_ Agproorlatlon. Prior to the Complutlon Date, the Lease Payments shall be payable solely from amounts deposited In the Acquisition Fend, the Reserve Fund and the Lease Payment Fund from the proceeds of the Certillcatea or from any earnings on the Investments of amounts held under the Trust Agreement, -rxcept as provided therein. Fallowing the Ccmpletlon Date, the Lease Payments shall be payable from any source of available funds of the City, subject to the provisions of Articles VI and X hereof The City covenants to take such action as may be necessary to Include all Lease Paymsr,ta due hereunder In each of Its budgets during the Term of the Leese Agreement and to make the necessary annual appropriations for all such Lease Payments. The covenants on the part of the City herein contsinM shall be deemed to be and shall be construed to be ministerial duties imposed by law and it shall be the duty of each and every public official of the City to take such action and do such things as are required by law in the performance of the official duty of such officials to enable the City to carry out and perform the covenants and agreements In this Lease Agreement agreed to be carried out and performed by the City (r) Assignment The City understands and agrees that all Lease Payments have been assigned by the Corporation to the Trustee In trust, pursuant to the Assignment Agreement for the benefit of the Owners of the Certificates, and the City hereby assents to such assignment. The Coiporatlon hereby directs the City, and the City hereby agrees 355 r, }� to pay to the Trustee at the Principal Corporate Trust Ofgca of the Trustee, 911 payments -; payable by the City pursuant to this Section 4.4 and all amounts payablo by the City pursuant to Article X hereof. Section 4.5. Oulet Enloyment. During the Tamt of the Lease Agreement, the I Corporation shall provide the City with quiet use and enjoyment of tho Site, and the City shall, during such Term, peaceably and quietly have and hold and enjoy the Site without suit, trouble or hindrance from the Corporation, except as expressly sot forth In this Lease Agreement. The Corporation will, at the request of the City and at the City's cost, ' Join lu any legal action In which the City asserts its right to euoh possession and s enjoyment to the extent the Corporation may lawfully do so. Notwithstanding the foregoing, the Corporatlo^ shall have the right to Inspect the Site as Provided In Section 7.2. hereof Section 4.8, Title. It the City prepays the Lease Payments In full pursuant to Article X hereof or makes the security deposit permitted by Section 10.1 hereof, or pays all Lease Payments during the Term of the Lease Agreement as the same become due and payablo, all right, title and Intorest of the Corporatlon In and to the Site shall be transferred to and vested In the City. The Corporatlon agrees to take any Gild all steps and execute and record any and all documents reasonably required by the City to consummate any such transfer of title. Section 4.7 Additional Payments. In addition to the Lease Payments, the City Shall p.W when due all costs and expenses Incurred by the Corporation to comply with the provisions of the Trust Agreement, or otherwise arising from the flnancin.- of the Site, Including without limitation nil Delivery Costs (to the extent not paid from amounts on deposit in the Delivery Costs Fund), compensation and Indemnification due to the Trustee and all costs and expenses of auditors, engineers, attorneys and accountants. -8- -S-5(o ARTICLE V MAINTENANCE; TAXES; INSURANCE; USE LIMITATIONS; AND OTHEP MATTERS Section s.t Maintenance. Utllftle�, Taxes end Assessments. Throughout the Term of the Lease Agreement, as part or the coaoideratlon for the rental of the Site, all Improvement, repair and maintenance of the Site shall be tho responsibility of the City and the City shall pay for or otherwiso arrange for the payment of all utility services supplied to the Site which may include, without limitation, janitor service, security, power, gas, telephone, light. heating, water and all other utility services, and shall par for or otherwise arrange for the payment of the cost of the rep3lr and replacement of he Site resulting from ordinary wear and tear or want of Caro on the part of the City or any assignee or subleases thereof. In exchange for the Lease Payments herein provided, the Corporation agrees to provide only the Site, es herelnb3fore more specifically set forth. fhr Cnv waives the bencras of aubsections 1 and 2 of section 1932 of the California Civil Code, but such waiver shall not limit any of the rights of the City under the terms of this Lease Agreement. The City shall also pay or cause to be paid ail taxes and assessments of any type or nature. If any, chargeu to the Corporation or the City affecting the Site or the respective interests or estates therein; provldad that with respect to special assessments or other governmental charges that may lawfully be paid In Installments over a period of years, the City shall be obligated to pay only such Installments as are required to be pald during the Term of the Lease Agreement as and when the some become due. The City may, at the Citya expense and in Its name, in good faith contest any such taxes, assessments, utility and other charges and. In the event of any such contest, may permit the taxes, assessments or other charges so contested to remain unpaid during the period of ouch contest and any appeal therefrom unless the Corporation shall notify the City that, in the opinion of Independent Counsel, by nonpayment of any such Items, the interest of the Corporation In the Site will be materially endangered or the Site or any part thereof will be subject to loss or forfeiture, In which svent the City shall Promptly pay such taxes, assessments or charges or provide the Corporation vlth full security against any loss which may result from nonpayment, In form satisfactory to the Corporation and the Trustee. light to Section emodel the Site Orlton Site. make additions. Motl icationsle and Improvements to the Site All additions, modifications and Improvements to the Site, but not any buildings or Improvements, shall thereafter comprise part of the Site end be subject to the provisions of this Lease Agreement. Such additions, modifications and Improvements shall not In any way damage the She or :muse It to be used for purposes other than those authorized under the provisions of State end federal law; and the Site, upon complatlon of any additions, moddL;atlons and Improvements made thereto pursuant to this Section 5.2, shall be of a value which is not substantially less than the value of the Site Immediately prior to the making of such additions, modifications and improvements. The City will not Permit any mechanic's or other lien to be established or remain against the Site for labor or materials furnished in connection with any remodeling, additions, modifications, -9- 3 57 improvements, ropairs, renewals or replacements made by the City pursuant to this Section 5.2; provided that if any such lien Is established and the City shall first notify or cause to be notified the Corporation of the City's Intention to do so, the City may In good faith contest any lien Ned or established against the Site, and In srch event may permit the Items so contested to remain undischarged and unsatisfied dur ng the period of such contest and any appeal therefrom and shall provide the Corporation with full security against any loss or forfeiture which might arise from the nonpayment of any such Item, In form satisfactory to the Corporation. The Corporation will cooperate fully in any such contest, upon the request and at the expense of the City. Section 5.3. Public Llab91N and Property Damage Insurance. The City shall maintain or cause to be malntalned, throughout the Term of the Lease Agreement, Insurance policies. Including a standard comprehensive general Insurance policy or policies In protection of life City, the Corporation and the Trustee, Including thel, respective members, officers, agents and employees. Said policy or policies sha!I provide for Indemnification of said parties against direct or contingent toss or liability for damages for bodily and personal Injury, death or property damage occasioned by reason of the use of the Site. Sold policy or policies shalt provide coverage In the minimum liat"lf- limits of $1.000,000 for personal Injury or death of each person and $3,000,000 for personal Injury or deaths of two or more persons in each accident or event, and In a minimum amount of $100,000 (subject to a deductible clause of not to exceed $5,000) for damage to property resulting from each accident or event. Such public liability and property damage Insurance may, however, be In the form of a single Ilrait policy In the amount of $3,000,000 covering all such risks. Such liabll:y Insurance may be maintained as part of or in conjunction with any other 1190111ty Insurance coverage tamed by the City, and may be maintained in the form of Insurance maintaned through a Joint exercise of powers authority created for such purpose or to me form of self - Insurance by the City. The Net Proceeds of such liability lasurance shall be applied toward extinguishmeut or satisfaction of the liability with respect to which the !nsuran( ;o proceeds shall have been paid Section 5.4. Fire and Extended Coverage Insurance. The City shall procure and maintain, or cause to bo procured and maintained, throughout the Tenn of the Lease Agreement, Insurance against loss or damage to any structures constituting any part of the Site by fire and lightning, with extended coverage and vandalism and malicious mischief Insurance. Said extended coverage Insurance If required, shall, as nearly as practicable, cover loss or damage by explosion, windstorm, riot, aircraft, vehicle damage, smoke and such other hazards as are normally covered by such Insurance. Such Insurance, If required, shall be In an amount equal to the greater of (a) one hundred p=rcent (100 %) of the replacement cost of the structures constituting part of the Site, or (b) the aggregate principal amount of the Outstanding Certificates. Such Insurance may be subject to deductible clauses cf not to exceed $100,000 for any one loss. Such insurance may be maintained as part of or In conjunction with any other firs and extended coverage Insurance carried by the City and may be maintained In whole or In part In the form or Insurance maintained through a Joint exercise of powers authority created for such purpose or In the form of self- Insurance by the City. The Net Proceeds of such insurance shall be applied as provided In Section 6.2(a) hereof. -10- 35$ Section 5.5. Rental Interruption ! nsurance. The City shall procure and maintain through the Tenn of the Lease Agreement rental Interruption or use and occupancy Insurance, If commercially available, to cover loss, total or partial, of the use of any part of the Site during the Term of the Lease Agreement as a result of any Of the hazards covered It.. the Insurance required by Section 5.4 hereof, In an amount at least equal to two times the Reserve Requirement. The Net Proceeds of such Insurance stiall be paid to the Trustee and deposited In the Lease Payment Fund, and shall be credited towards the payment of the Lease Payments in the order in which such Lease Payments come due and payab!e. Section 5.8. Title Insurance. The City shall provide, at Its own expense, on or before the Closing [Two, a CLTA title Insurance policy In the amount of not less than the aggregate principal amount of the Certificates, insuring the City's leasehold estate in the Site, subject only to Permitted Encumbrances. All Net Proceeds received under said policy shall be deposited with the Trustee Ii the Lease Payment Fund and shall be credited towards the prepayment of the remaining Lease Payments pursuant to Section 10.3 hereof, Section 5.7 Insurance Net Proceeds: Form of Policies. Each policy or other evidence of Insurance required by Sectlnns 5.4, 5.5 and 5.6 hereof shall provide that all proceeds thereunder shall be payable to the Trustee and applied as provided in Section 6.2 hereof On or before December 1 of each year, the City shall certify to the trustee that all policies of Insurance and any statements of self - Insurance are In conformance with the requirements of this Lease Agreement. The City shall have the adequacy of any Insurance reserves reviewed at least annually by an Independent insurance consultant and shall maintain reserves In aecordance with the recommeldstione of such consultant. The City shall pay or cause to ba paid when due the premiums for all Insurance required by this Lease Agreement. All such policies or other evidence of Insurance shall provide that the Trustee shall be given thirty (30) days' notice of each expiration, any Intended cancellation thereof or reduction of the coverage provided thereby. The Trustee shall not be responsible for the sufficiency or adequacy of any Insurance herein required and shall be fully protected In accepting payment on account of such Insurance or any adjustment, compromise or settlement of any loss agreed to by the Trustee. SeLtlon 5 8. Advances. If the City shall fait to perform any of its obligations under this Article o the COrporation may, but shall not be obligated to, take Such action as may be nacessary to cure such failure, Including the advancemont of Morey, and the City shall be obligated to repay all such advances as soon as possible, with Interest at the rate of twelve percent (12 %) per annum from the date of the advance to the date of repayment Section 5 9. Installation of City's Equipment. The City may at any time and from ome to time. In its sole discretion and at Its own expense. Install or permit to be Installed items of equipment or other personal property in or upon any portion of the Site. All such Items shall ramaln the sole property of the City In which neither the Corporation nor the Trustee shall have any Interest, and may be modified or removed by the City at any time provided that the City shall repair and restore any and all damage to the Site resulting from the Installation, modification or rerr val of any such Items. Nothing in this Lease Agreement shall prevent the City from purchasing or leasing Items to us Installed pursuant to this Section 5 9 under a lease or conditional sale agreement, or subject to a -11- 359 vendor's lien or severity agreement, as security for the unpaid portion of the purchase price thereof, provided that no such lien or security interest shall attach to any part of the Site. Section 5.10. Liens. The City shall not, directly or Indirectly, create, Incur, assume or suffer to exist any mortTage, pledge, Ilan, charge, encumbrance or claim on or with respect to the Site, other :hen the respective rights of the Corporation and the City as provided herein and Permitted Encumbrances. Except as expressly prodded Jr. this Article V, the City shall promptly, at Its own expense, take such action as may be necessary to duly discharge or remove any suc,, mortgage, pledge, lien, charge, encumbrance or claim, for which It Is responsible, If the same shall arise at any time. The City shall reimburse the Corporation for any expense Incurred by It in order to discharge or remove any such mortgage, pledge. Ilan, charge, encumbrance or claim. Section 5.11 Private Business Use Limitation. The City shall assure that. (a) not In excess of ten percent (10 %) of the Proceeds of the Certificates Is used for Private Business Uso If, in addition, the payment of the principal of. or the Interest on more than 10 psrcent of the Proceeds of the Certificate3 is (under the terms of the Certificates or any underlying arrangement) directly or indirectly, (1) secured by any Interest In property, or payments in respect of property, used or to be used for a Private Business Use, or (11) to be derived from payments twhether or not to the City) In respect of property, or borrowed money, used or to bd used fcr a Private Business Use: and (b) In the event that in excess of five percent (5 %) of the Proceeds of the Certificate3 Is used for a Private Business Use, and, in addition, the payment of the principal or the Interest with respect to more than five percent (5 %) of the Proceeds of the Certllicatra Is (under the terms of the Certificates or any underlying arrangement) directly or indirectly, secured by any Interest In property, or payments In respect of property, used or to be used for said Private Busine3s Use or is to be derived from payments (whether or not to the City) in respect of property, or borrowed money, used or to be used for a Private Business Use, then, (A) said excess over said five percent (5 %) of the Proceeds of the Certificates which Is used for a Private Business Use shall be used for a Private Business Use related to a government use of such Proceeds and (B) each such Private Business use over five percent (5 %) of the Proceeds of the Certificates which Is related to a government use of such Proceeds shall not exceed the amount of such Proceeds which Is used for the government use of Proceeds to which such Private Business Use Is related. Section 5.12. Private Loan Limitation. The City shall assure that nut In excess of the lesser of flre percent (5 %) of the Proceeds of the Certificates or $5.000,000 Is to be used, directly or Indirectly, to make or finance loans (other than roans constituting Nonpurpose Investments and other than loans which enable the borrower to finance any governmental tax or assessment of general application for a specific essential governmental function) to persons other than state or local government units Section 5 13. Federal Guarantee Prohibition. The Cltv shall not take any action or permit or suffer any action to be taken If the result of the same would be to cause the Certificates or this Lease Agreement to be 'federally guaranteed' within the meaning of section 149(b) of the Code and Regulations. 3cpa ARTICLE VI DAMAGE, DESTRUCTION AND EMINENT DOMAIN; USE OF NET PROCEEDS Section 6.1 Eminent Domain. If all of the site shall be taken permanently under the power of eminent domain or sold to a government threatening to exercise the power of eminent domain, the Term Of this Lease Agreement shall cease es of the day Possession shall be so taken. If less then all of the Site shall be taker. •manently, or If all of the Site or any part :hereof shall be taken temporarily under the power of entinert domain, (1) this Lease Agreement shall continue in ful. force and effect and shall not be terminated by virtue of such taking and the parties waive the benefit of any law to the contrary, and (2) there shall be a partial abatement of Lease Payments as a result of the application of the Net Proceeds of any eminent domein award to the prepayment of the Lease Payments hereunder, In en amount to be agreed upon by the City and the Corporation such that the resulting Lease Payments represent fair consideration for the use and occupancy of the remaining usable portion of the Site. Section 6.2. Application of Net Proceeds. (a) From Insurance Award. The Net Proceeds of any Insurance award resulting from any damage to or destruction of any structure located on the Site by fire or other casualty shall be paid by the City to the Trustee, as assignee of the Corporation under the Assignment Agreement, and deposited In the Insurance and Condemnation Fund by the Trustee and applied as set forth In Section 7.01 of the Trust Agreement. (b) Prom Eminent Domain Award. The Net Proceeds of any eminent domain award resulting from any event described In Section 6.1 hereof shall be paid by the City to the Trustee. as assignee of the Corporation under the Assignment Agreement, and deposited In the Insurance and Condemnation Fund and applied as set forth In Sectic, 7 02 of the Trust Agreement. Section 6.3. Abatement of Lease Payments in the Event of Damage or Destruction. Lease Payments shall be abated during any period In which by reason of damage or destruction (other than by eminent domain which Is hereinbelore provided (or) there Is substantial interference with the use and occupancy by the City of the Site or any portion thereof (other than as described in Section 5.2 hereop as shall be agreed upon by the City and the Corporation such that the resulting Lease Payments represent fair consideration for the use and orcupaney of the porl,ons of the Site not damaged or destroyed Such abatement shall continue for the period commencing with such damage or destruction and ending with the substantial completion of the work of repair or reconstruction in the event of any sue,h damage or destruction, this Lease Agreement shall continue in full force and affect and the City waives any right to terminate this Lease Agreement by virtue of any such damage and destruction. Notwithstanding the foregoing, there shall be n0 abatement of Lease Payments under this Section 6.3 to the extent that the proceeds of rental Interruption insurance or amounts In the Reserve Fund are avaliabte to pay Lease Payments which would otherwise be abated under this Section 6 3, it being hereby declared that such proceeds and amounts constitute special funds for the payment of the Lease Payments. -13- w•... .. _ , V. Li w...j �'fl' }tom ...y. rfn:• ...0 e. �., A: .L. z, ARTICLE VII "• "S DISCLAIMER OF WARRAWrIES; ACCESS 4C, 1 g Section 71 Dlsclalmer of Warranties, The Corporation and Its assigns make no �• warranty or representation, either express or implied, as to the value, design, condition, merchantlbllity or fitness for any particular purpose or fitness for the use contemplated r, by the City of the Site, or any other representation or warranty with respect to the Site. In no event shall the Corporation and Its assigns be liable for Incidental. Indirect, special - Y or consequential damages In connection with or arldrig out of the Site Lease, this Lease Agreement or the Trust Agreement fur the existence, furnishing, functioning or the City's ,r} • use of the Site. ., Section 7.2. Access to the Site. The City agraes that the Corporation and any -y, Corporation Representative, and the Corporation's successors or assigns, shall have the fi+ right at all reasonable times to enter upon and to examine and inspect the Site. The City further agrees that the Comoration, any Corporation Representative, and the -�' 1 Corporation's successors or assigns shall have such rights of access to the Site as may be reasonably necessary to cause the proper maintenance of the Site in the event of • W = failure by the City to perform Its obligations hereunder Section 7.3. Release and Indemnification Covonante. The City shall and hereby agrees to Indemnify end save the Corporation and its officers, agents, successors and assigns harmless from and against ail claims, losses and damages, Including legal fees and expenses, artsfng out of (q the use, maintenance, condition or- management of, or from any work or thing done on the Site by the City, 09 any breach or default on the part of the City In the performance of any of Its obligations under this Lease Agreement. (N) any act or negligence of thn City or of any of Its agents, contractors, servants, employees or licensees with respect to the Site, (Iv) any act or negligence of any oubressee of the City with respect to the Site, x (v) the acquisition of the Site or the authorization of payment of the Acqu sltion Zosts and Delivery Costs by the Corporation. No Indemnification Is made under this Section 7.3 or elsewhere in this Lease Agreement for willful misconduct, negligence, or breach of duty under this Lease Agreement by the Corporation, Its officers, agents, employees, successors or assigns. —14— ARTICLE VIII ASSIGNMENT, SUBLEASING AND AMENDMENT Section 8.1 Assignment by Ine Corporation, The Corporation's rights under this Lease Agreement, Including the right to receive and enforce payment of the Lease Payments to be made by the City under this Lease Agreement, pave been assigned to the Trustee pursuant to the Assignment Agreement. r Section 5.2. Assignment end Subleasing by the City. 7his Lease Agreement may not be assigned by the City, The City may sublease the Sita'or any portion thereof, but only with the written consent of the Corporation and subject to all of the following Conditions: , (a) This Lease Agreement and the - obligation O the City to make Lease Payments hereunder shall remain obligations of the City; (b) The City shall, within thirty (30) days attar the delivery thereof, furnish or cause to be furnished to the Corooratlon and the Trustee a true and complete copy of such sublease: (c) No such sublease by the City shall cause the Site to be used for a purpose other than as may be authorized under the provisionu of the Constitution and laws of the State; and (d) The City shall furnish the Corporation and tha Trustee with a written opinion of nationally - recognized bond counsel, which shell be an Independent Counsel, stating that such sublease is peanitted by this Lease Agreement and the Trust Agreement, and will not cause the Interest components of the Lease Payments to become included in gross Ino7ome for federal Income tax purposes or subject to State persuna: Income taxes. Sactlon 5.3. Amendment of this Lease Agreement. Without the prior wrtter consent of the Trustee, neither the City nor the Corporation will alter, modify or cancel. or agree or consent to after, modify or cancel this Lease Agraement, excepting only sua alteration or modification as may be permitted by Article X of the Trust Agreement. 3(0'� _ts_ ARTICLE IX EVENTS OF DEFAULT AND REMEDIES Section 9.1 Events of Default Defined. The following shall be 'events of default' under this Lease Agreement and the terms 'everts of default' and 'default' shall mean, whenever they are used In this Lease Agreement, with respect to the Site, any one Or more of the following events: W Failure by the City to pay any Lease Payment required to be paid hereunder at the time specified herein, and the ccntinuatlon of such failure for a period of ten (10) days. (Ip Failure by the City to make any payment required hereunder or to observe and perform any covenant, condition or agreement on Its part to be observed or performed under this Lease Agreement or under the Trust Agreement, other than as referred to In clause (0 of this Section 9.1, for a period of thirty (30) days alter written notice specifying such failure and requesting that It be remedied has been given to the City by the Corporation, the Trustee, or the Owners of not less than five percent (S %) In aggregate principal amcunt of Certificates then Outstanding; Provlded, however, It the failure stated In the notice can be corrected, but not within the applicable period, the Corporation, the trustee and such Owners shall not unreasonably withhold their consent to an extension of such time if corrective action Is Instituted by the City within the applicable period and diligently pursued until the default is corrected (III) The filing by the City of a voluntary petition In bankruptcy, or failure by the City promptly to lift any execution, garnishment or attachment, or adjudication of the City as a bankrupt, or assignment by the City for the benefit of creditors, or the entry by the Clt , Into an agreement Of composition with creditors, or the approval by a court of compatent Jurisdiction of a petition applicable to the City In any proceedings Instituted under the provisions of the Federal Bankruptcy Act, as amended, or under any similar acts which may hereafter be enacted. Section 9.2. Remedies on Default. Whenever any event of default referred to In Section 9.1 hproof shall have happened and be continuing. It shall be lawful for the Corporation to exercise any and all remedies available pursuant to law or granted pursuant to this Lease Agreement; Provided, however, that notwithstanding anything herein or In the Trust Agreement to the contrary, there shall be no right under any circumstances to accelerate the Lease Payments or otherwise declare any Lease Payments not then In defauit to be Immediately due and payable. Each and every covenant hereof to be kept and performed by the City Is expressly made a condition and upon the breach thereof the Corporation may exercise any and all rights of entry and re- entry upon the Site. and also. at Its option, with ur wnhoL such entry, may terminate this Lease Agreement. provided, that no such termination shall be effected el:her by operation of law or acts (if the parties hereto. except only In the manner herein expressly provided. In the event of such deiault and notwithstanding any re-entry by the Corporation, the City shall, as herein expressly provided, continue to remain liable for the payment of the Leaso Payments and /or damages for breach of this Lease Agreement 16- 3 (,q and the performance of all conditions herein contained and. In any event, such rent and /or damages shall be payable to the Corporation at the time and In the manner as herein provided, to wit: (a) In the event the Corporation does not elect to terminals this Lease Agreement In the manner hereinafter provided for In subparagraph (b) of this Section 9.2, the City agrees to and shall remain Iiabie for the payment of all Leave Payments and the performance of all conditions herein contained and shall reimburse file Corporation for any deficiency arising out of the re- leasing of the Site, or, In the event the Corporation Is unable to re -lease the Site, then for the full amount of all Lease Payments to the end of the Term of the Lease Agreement, but said Lease Payments and /or deficfercy shall be payable only at the same time and In the same manner as hereinabove prodded for the payment of Lease Payments hereunder, notwithstanding such entry or re -entry by the Corporation or any suit In unlawful detalner, or otherwise. brought by the Corporation for the purpose of effecting such re -entry or obtaining possession of the Site or the exercise of any other remedy by the Corporation. The City hereby Irrevocably appoints the Corporation as the agent and attorney -In -fact of the City to enter upon and re -lease the Site In the event of default by the City in the parformanca of any covenants herein contained to be performed by the City and to removo all personal property whatsoever situated upon the Site to place such property in storage or other suitable place in the County of San Bernardino, for the account of and at the expense of the City, and the City hereby exempts and agrees to save harmless the Corporation from any costs, loss or damage whatsoever arising or occasioned by any such entry upon and re- leasing of the Site slid the removal and storage of such property by the Corporation or Its duly authorized agents In acco. dance with the provisions herein contained. The City hereby waives any and ail claims for damages caused or which may be caused by the Corporation in re- entering and taking possession of the Site as herein provided and all claims for damages that may rea:It from the destruction of or Injury to the Site and all claims for damages to or loss of any property belonging to the City that may be In or upon the Site. The City agrees that the terms of this Lease Agreement constitute full and sufficient notice of the right of the Corporation to re-tossa the Site In the event of such re -entry without effecting a surrender of this Lease Agreement, and further agrees that no act^ of the Corporation In effecting such re- leasing shall constitute a surrender or termination of this Lease Agreement Irrespective of the term for which such re- leasing Is made or the terms and conditions of such re- leasing. or otherwise, but that, on the contrary. In the event of such default by the City the right to terminate this Lease Agreement shall vest In the Corporation to be effected In the sole and exclusive manner hereinafter provided for In subparagraph (b) hereof The City further waives the right to any rental obtained by the Corporation In excess of the Lease Payments and hereby conveys and releases such excess to the Corporation as compensation to the Corporation for its services In ro- leasing the Site. (b) in an e-ert of default hereunder the Corporation at its option may terminate this Lease Agreement and re -lease all or any portion of the Site In the event of the termination of this Lease Agreement by the Corporation at Its option and In the manner hereinafter provided on account of default by It i City (and notwithstanding any re -entry upon the Sne by the Corporation In any marine, whatsoever or the re- leasing or sate of the Site), the City nevertheless ogress to pay to the Corporation all costs, loss o. damages howsoever arising or occurring payable at the same time and in the same manner as is herein provided In the case of payment of Lease Payments. Any surplus -17- 3cP5 creocelved by the C rporatlon a Corporation S re (t N the event B C"Y shall hey such re -leas! Neither °f a deg a no rl n9 shall b that �j a ment Operate n ecctefm ate this jng in unlawol arsup Posse by thebCoYp a entitled yto any tlelry w . or ount of Lease detainer on of on fro sea Ile In r�Ct Y Of ihisf , Sactnd unless and y 'Ile n9 ea Part of the Co OrPOrettl on eh b4Cp ^e^e,fatlo o °rf this Leaden 1I. ave Corporation et oa by such kslfte Ya purpose Irmin on surrender o/ 7hhetSl ehp� o this ease n notice icentto • n to f sA S belon 9.9. sNe e- dYtExclus(v whatsoever unless statedgore e t a d �a th antlhealtrPOraflon( I or PowerC hereafter existing tiat Ito every Other h e anremedy berm centerr Y the upon a or In Coe,t to an a waiver Ae default shaall m° delaynor omistn(s ease g9�oba curnulativ such ny orb eYsla�tlon give anmSSe fte y aerrMayt b Ydee ed ht and ant torpow exercise any right now reserved I ry to an and pow erclsed Party to Section 9 4. q rea lice, other than such not Ice it as nrn�Ys Atli j Order rtash entitle ithe moneys nor ^ ©he Party t en ohou d employ oy should may Wide any o fhx arises In�ha this Article K ea that It will part of the pertorma ^; omcur other axe Provisions hereVa^t either Of such attorneys °n daman clelaUltln °r Observance Verses ! se and no thereapent Section cc) 5 d °Sgddlf hnaeexpe ^e @S so ncu red by fh n9 Party tAp ale Ult9 g party/ SO waived an Ived by the p h Lease Agree' Im 'Illy by defaulting Party,b,e Zees Wal Or lease osOth(er dls shall ognoflcat on m d f o v any any other breach l"Vt°° otl e Peithe Party and try the CorporatloPOSihon o! the of Proceeds, h0reunder rticular breach or the 0 under In and the xLeas rises to th o /the us ep Promptly as a result this Article IXr and ds recalved Ir of an date. 0 Payment Fund eto bedn9 Pon attomeellsPte hereon Other 0 nderssde wed remedies eas' are Trustee and C Pplled to the LeasehPaym nts lnio day the Trustees ett Of all Poratron to give n to the ertrlr ^ate of paymen t fAO Trustee untler� hel Trustdggre Attic la rc he eI been assfh rights and which assignment the City I �- vc -• c� r� . vim -,' -r ^iitlR *H`...- .wni•rt!• M hereby consents. Such rights and remedies shall be exercised by the Trustee and the Owners of the Certificates as provided In the Trust Agreement. _ig_ 3v7 ARTICLE X PREPAYMENT OF LEASE PAYMENTS Section 10.1 Security Deposit. Notwlthstalding any other provision of this Lease Agreement, the City may on any date secure the plyment of all or a portion of the Lease Payments remaining due by a deposit with an escrow holder under an escrow deposit and trust agreement as referenced in Section 14.01(b) of the Trust Agreement, of: (a) In the case of a security deposit relating to all Lease Payments, either (I) an amount which, together with amounts on deposit in the Lease Payment Fund, the Insurance and Condemnation Fund and the Reserve Fund. Is sufficient to pay all unpaid Lease Payments, Including the principal and Interest components thereof, In accordance with the Lease Pa /ment schedule set forth In Exhibit C through maturity or an earlier purchase date established pursuant to Section 10.2 below, or 110 Federal Securities, together with cash. If required, In such amount as will. In the opinion of an Independent certified public accountant, together with Interest to accrue thereon and, If required, all or a portion of moneys or Federal Securities then on deposit and Interest earnings thereon In the Lease Payment Fund, the Insurance "rid Condemnation Fund and the Reserve Fund, be fully sufficient to pay all unpaid Lease Payments on their respective Interest Payment Dates through maturity or an earlier purchase date established pursuant to Section 10.2 below; or (b) In the case of a security deposit relating to a portion of the Lease Payments, a certificate executed by a City Representative designating the portion of the Lease Payments to which the deposit pertains, and either (0 an emou which is sufficient to Pay the portion of the Lease Payments designated In such City Representative's certificate, including tho principal and Interest components thereof, or (I) Federal Securities, together with cash, if required, in such amount as will, together with Interest to be received thereon. If any. In the opinion of an Independent certified public accountant, be fully sufficient to pay the portion of tho Lease Payments designated In the aforesaid City Representative's certificate. In the event of a dep, Sit pursuant it this Section 10.1 as to all Lease Payments, all obligations of the City ,order this Lease Agreement shall cease and terminate, excepting only the obligation of the City to make, or cause to be made, all payments from the deposit made by the City pursuant to this Section 10.1 and title to the Site shall vest In the City on the date of said deposit automatic311y and without further action by the City or the Comoratlon. Said deposit and interest earnings thereon shall ba deemed to be and shall constitute a apeclal fund for the payments provided for by this Section 101 and said obligation shall thereafter be deemed to be and shall constitute the Installment purchase obligation of the City for the Site. Upon said deposit, the Corporation will execute or cause to be executed any Pnd all documents as may be necessary to confirm title to the Site in accordance with the provisions hereof. In addition, the Corporation hereby appoints the City as Its agent to prepare, execute and file or recortl, in appropriate offices, such documents as may be necessary to place record title to the Site in the City Section F, 2 Purchase Option. The Corporation hereby grants an option to the City to prepay the principal component of the Lease Payments in full, by paving the stipulated value of the Site set -20- 3V8 forth In Exhibit C hereto, or M part, but not In an amount of less than $20.000, together, In any event, with a percentage of the portion of such pdnripal component of Lease Payments prepaid equal to the percentages set forth below: Said option may be exercised with respect to Lease Payments due on and after December 1, 1993, in whole or In part on any Leese Payment Data commencing November 15, 1994. Said option shall be exercised by the City by giving written notice to the Corporation and the Trustee of the exercise of such option at least forty -five (45) days prior to said Lease Payment Date. Such option shall be exercised In the event of prepayment In full, by depositing on or before such Lease °ayment Date cash in an amount, which, together with amounts then on deposit in the Reserve Fund, the Insurance and Condemnation Fund and the Lease Payment Fund, will be sufficient to pay the stipulated value of the Site on said Lease Payment Date as set forth in Exhibit C hereto, together with any Lease Payments then due but unpaid, or, In the event of prepayment I part, by depositing with said notice an amount divisible by $5,000 equal to the amount desired to be prepaid (but not less than $20,000) together with any Lease Payments then due but unpaid. Lease Payments due after any such partial prepayment shad be In the amounts set forth In a revised Lease Fayment schedule which shall be provided by, oi caused to be provided by, the Trustee to the City pursuant to Section 4.01(x) of the Trust Agreement and which shall represent an adjustment to the schedule set forth In Exh,bit C attached hereto taking Into account said partial prepayment. Section 10 3. Mandatory Preoavment From Net Proceeds of Insurance cr Eminent Dcmaln. The City shall be obligated to prepay the Leese Payments, In whole on any date or In part on any Lease Payment Date, from and to the extent of any Net Proceeds of an Insurance or condemnation award with respect to the Site theretofore deposited in the Lease Payment Fund for such purpose pursuant to Article VII of the Trust Agreement. The City and the Corporation hereby agree that such Not Proceeds, to the extent remaining after payment of any delinquent Lease Payments, shall be credited towards the City's obligations under this Section 10.3. Section 104 Credit for Amounts on Deposit. In the event of p,epayment of the Principal components of the Lease Payments In full under this Article X, such that the Trust Agreement shall be discharged by its terms as a result of such pn,payment, all amounts then on deposit in the Lease Payment Fund, the Acquisition Fund or the Reserve Fund shall be credited towards the amounts then required to be so prepaid. -21- 3(00 Premium Paid With Respect to the Payment Date of the Principal Component of Lease Payment Prepaid 1997 and Prepayment Dates 1994 1 895 1995 thereafter May 15, 1993 and November 15, 1994 y,% 1 % 11h% 2% May 15, 1994 and November 15, 1995 0 'h 1 1t/] May 15, 1995 and November 15, 1996 - 0 tg 1 May 15, 1996 and November 15, 1997 - - 0 rh May 15, 1997 and Each November 15 and May 15 thereafter - _ - n Said option may be exercised with respect to Lease Payments due on and after December 1, 1993, in whole or In part on any Leese Payment Data commencing November 15, 1994. Said option shall be exercised by the City by giving written notice to the Corporation and the Trustee of the exercise of such option at least forty -five (45) days prior to said Lease Payment Date. Such option shall be exercised In the event of prepayment In full, by depositing on or before such Lease °ayment Date cash in an amount, which, together with amounts then on deposit in the Reserve Fund, the Insurance and Condemnation Fund and the Lease Payment Fund, will be sufficient to pay the stipulated value of the Site on said Lease Payment Date as set forth in Exhibit C hereto, together with any Lease Payments then due but unpaid, or, In the event of prepayment I part, by depositing with said notice an amount divisible by $5,000 equal to the amount desired to be prepaid (but not less than $20,000) together with any Lease Payments then due but unpaid. Lease Payments due after any such partial prepayment shad be In the amounts set forth In a revised Lease Fayment schedule which shall be provided by, oi caused to be provided by, the Trustee to the City pursuant to Section 4.01(x) of the Trust Agreement and which shall represent an adjustment to the schedule set forth In Exh,bit C attached hereto taking Into account said partial prepayment. Section 10 3. Mandatory Preoavment From Net Proceeds of Insurance cr Eminent Dcmaln. The City shall be obligated to prepay the Leese Payments, In whole on any date or In part on any Lease Payment Date, from and to the extent of any Net Proceeds of an Insurance or condemnation award with respect to the Site theretofore deposited in the Lease Payment Fund for such purpose pursuant to Article VII of the Trust Agreement. The City and the Corporation hereby agree that such Not Proceeds, to the extent remaining after payment of any delinquent Lease Payments, shall be credited towards the City's obligations under this Section 10.3. Section 104 Credit for Amounts on Deposit. In the event of p,epayment of the Principal components of the Lease Payments In full under this Article X, such that the Trust Agreement shall be discharged by its terms as a result of such pn,payment, all amounts then on deposit in the Lease Payment Fund, the Acquisition Fund or the Reserve Fund shall be credited towards the amounts then required to be so prepaid. -21- 3(00 ARTICLE XI MISCELLANEOUS Section 11 1 _Notices. P.: notices, certificates or other communications hereunder shall be sufficiently given and shall be deemed to have been received 48 hours after deposit In the United States mail In first class form with postage fully prepaid: If to the City: City of Rancho Cucamonga 9320 Baseline Road Rancho Cucamonga, CA 91730 Attention: City Clerk If to the Corporation: Rancho Cucamonga Public Improvement Corporation 9320 Baseline Road Rancho Cucamonga, CA 91730 Attention: Secretary If to the Trustee: Bank of America National Trust and Savings Assoc'atlon 555 South Flower Street, 5th Floor Los Angeles, CA 90071 Attention: Corporate Trust Services #851C The Corporation. the City and the Trustee, by notice given hereunder, may designate different addresses to which subsequent notices, certificates or other communications will be sent. Section 11.2 Bindlna Elfect. This Lease Agreement shall Inure to the benefit of and shall be binding upon tht. Corporation and the City and their respective successors and assigns. Scalon 11.3 Severabilitv. In the event any provision of this Lease Agreement shall be held Invalid or unenforceable by any court of competent jurisdiction, such holding shad not Invalidate or render unenforceable any other provision hereof. Section 11.4 Net - net -net Lease. This Lease Agreement shall be deemed and , onstrued to be a 'ne,- net -net lease' and the City hereby agrees that the Lease Payments shall be an absolute net return to the Corporation, free and clear of any eipt nses, charges or set -offs whatsoever Section 11 5 Further Assurances and Corrective Instruments. The Corporation and the City agree that they will, from time to time, execute, acknowledge and deliver, or cause to be executed, acknowledged and delivered, such supplements hereto and such furt^er Instruments as may reasonably be required for correcting any Inadequate or Incoirect description of the Site hereby leased or intended so to be or for carrying out the expressed intention of this Lease Agreement. -22- �� v Section 11.0. Execution In Counterparts. This Lease Agreement may be executed' In several counterparts, each of which shall be an original and all of which shall constitute but one and the same Instrument. Section 11.7 Aoplicable Law. This Lease Agreement shall be governed by and construed in accordance with the la-NZ of the State. Section 11.0. Corporation and City Representatives. Whenever under the provisions of this Lease Agreement the approtal of the Corporation or the City Is required, or the Corporation or the City Is required to take some action at the request of the other, such approval or such request shall ne given for the Corporation by an Corporation Representative and for the City by a City Representative, and any party hereto &hall be authorized to rely upon any such approval or request. Section 11.9. Captions. The captions or headings In this Lease Agreement are for convenlenca only and In no way define, limit or describe the scope or Intent of any provisions or Section of this Lease Agreement. ••23- -7 ( IN WITNESS 'WHEREOF, the Corporation has caused this Lease Agreement to be executed In Its corporate name by Its duly authorized officers and sealed with Its corporate seal: and the City has caused this Lease Agreement to be executed in Its name by Its duty authorized officers and sealed with Its corporate seal, as of the date first above written. RANCHO CUCAMONGA PUBLIC IMPROVEMENT CORPORATION, as Lessor By (SEAL) °rasidcnt Attest: Secretary CITY OF RANCHO CUCAMONGA, as Lessoo By (S E A L) --Weyer-- Attest: City Clerk -24- 37Z- M STATE OF CALIFOnNIA ) ss. COUNTY OF SAN BERNARDINO ) On day of Derember. In the year 1INS. before me, tae undersigned, a Notary Public In ad for said State, personally appeared Dennis L Stout and Beverly A. Authetet, personally known to me (or proved to ma on the basis of satisfactory evidence) to be the persons who executed this Instrument as the Mayor and City Clerk, respectively, of the City of Rancho Cucamonga, and acknowledged to me that the City executed It. WITNESS my hand and circlet seal. (SEAL) Notary Public In and for said State Commission Expires: Typeo Name: -25- 3-7 3 STATE OF CALIFORNIA ) COUNTY OF SAN BERNARDINO ) On this day of December, In the year 1()88, before me, the undersigned. a Notary Public in end for said State, personalty appeared Dennis L bout and Beverly A. Authelet, personally known to me (or proved to me on the basic of satisfactory evidence) to be the persons who executed this Instrument as the President and Secretary, respectively, of the Rancho Cucamonga Public Improvement Corporation, and acknowledged to me that the Rancho Cucamonga Public Improvement Corporation executed It. WITNESS my hand and official goal. Notary Public In and for said State Commission Expires: (SEA L) Typed Name: 28- 374 M114: Ah bwll.,S,Vp Sl.% EXHIBIT A DEFINITIONS 'AcQuIsitlon Costs' means all costs of payment of, or reimbursement for, acquisition of the Site. 'ACOulsltlon Fund' means the fund by that name established and held by the Trustee pursuant to Article III of the Trust Agreement. 'Assignment Agreement' means the Assignment Agreement, dated as of December 1, 1888, by and between the Corporation and the Trustee, together with any duly authorized and executed amendments thereto. 'Business Day' means a day which Is not a Saturday. Sunday or legal holiday on which banking Institutions In the State are closed or are required to close or a day on which the New York Stock Exchange Is closed. 'Cenlficate of Completion* means the certificate of a City Representative certifying that the Site has been acquired by the City and that all Acquisition Costs with respect thereto have been paid. 'CertiPCetes' means the $ aggregate principal amount of certificates of participation to be executed and delivered pursuant to the Trust Agreement. '9.Lty' means the City of Rancho Cucamonga, a municipal corporation and general law city organized and existing under the laws of the State. 'City Representative' means the Mayor, the City Manager or the Finance Manager or any other person authorized by resolution of the City Council of the City to act on behalf of the City under or with respect to the Site Lease, the Lease Agreement and the Trust Agreemei.t. 'Closing Date' means the date upon which there Is a physical delivery of the Certificates in exchange for the amount represonting the purchase price of the Certificates by the Original Purchaser 'Code' means the Internal Revenue Code of 1886. 'Completion Date' means the date of completion of requisition of the Site as evidenced by the filing with the Trustee of a Certificate of Completion. 'Corporation' means the Rancho Cucamonga Public Improvement Corporation, a nonprofit, public benefit corporation organized and existing under and by virtue of the laws of the State. 'Corporation Representative' means the Prep'dent of the Corporation, or any other person authorized by resolution of the Corporation to act on behalf of the Site Lease, the Lease Agreement, the Assignment Agreement and the Trust Agreement. Exhibit A ?Page f1 'Delivery Costs' means all Items of expense directly or Indirectly payable by or reimbursable to the City or the Corporation relating to the execution and delivery of the Site Lease, the Lease Agreement, the Assignment Agreement and the Trust Agreement or the execution, sale and delivery of the Certificatos, Including but not limited to filing and recording costs, settlement costs, printing costs, reproduction and binding costs. Initial fees and charges of the Trustee, financing discounts, legal fees and charges, Insurance fees and charges, financirl and other professional consultant fees, costa of rating agencies for credit ratings, fries for execution, transportation and safekeeping of the Certificates, costs for preparation, printing and distribution of preliminary and final official statements, and charges and fees In connection with the foregoing. 'Dellvery ! Costs Fund' means the fund by that name established and held by the Trustee pursvent to Article III of the Trust Agreement. 'Eaminrg Fund* means the fund by that name created by, end held by the Trustee pursuant to, Section 8.07 of the Trust Agreement. 'Event of Default' means sit event of default under the Leese Agreement, as dr_fined In Section O.l thereof. 'Excess Investment Earnings' means an amount equal to the sum of- (a) the excess o' 0) the aggregRte amount earned on ell Nonpurpose Investments (other than amounts attributable to an excess described in this paragraph (a)), over (II) the amount which would havo been earned It the Yield on such Nonpurpose Investments (other than amounts attributable to an excess described in this paragraph (a)) had been equal to the Yield of the Lease Agreement, plus (b) any income attributable to the ext,ess described In paragraph (a). 'Federal Securities' means direct general obligations of Oncluding obligations Issued or held In book entry form or the books of the Departmant of the Treasury of the United States of America), or obligations the payment of principal of and interest on which are guaranteed by, the United States of America. 'Fiscal Year' means the twelve -month period beginning on July 1 of any )-ear and ending on June 30 of the next succetding year, or any other twelve -month period selected by the City as Its fiscal year 'Gross Proceeds' means the sum of 'he following amounts: (a) original proceeds, namely, net smornts received by or for the City as a result of the sale of the Cer,llicates, excluding orlyinal proceeds which become transferred proceeds (determined In accordance with appi cable Regulations) of obligations Issued to refund In whole or In part the Lease Ayreemew: Exhibit A Page 2 �>7 S° (b) Investment proceeds, namely, amounts received at any time by or for the City, such as Interest and dividends, resulting from the Investment of any original proceeds (as referenced In clause (a) above) or Investment proceeds (as referenced In this clause (b)) In Nonpurposo Investments, Increased by any profits and decreased of necessary, below zero) by any losses on such Investments, excluding Investment proceeds which become transferred proceeds (determined In accordance with applicable Regulations) of obligations Issued to refund In whole or in part the Lease Agreement; (c) sinking fund proceeds, namely. amounts, other than original proceeds, Investment proceeds or transferred proceeds (as referenced In clauses (a) and (b) above) of the Certificates, which are held In the Lease Payment Fund and any other fund to the ext'int that the City reasonably expects to use such other fund to pay Lease Payments: (d) amounts in the Reserve Fund and In any other fund established as a reasonably required reserve for payment of Lease Payments; (e) Investment Property pledged as security for payment of Lease Payments by the City; (p amounts, other than as specified In this definition, used to pay Leaso Payments: and (g) amounts received as a result of Investing amounts described In this definition. 'Inde2pndent Counsel' means an attorney duly admitted to the practice of law before the highest court of the stale In which such attorney maintains an office and who Is not an bmployee of the Corporation, the Trustee or the City. 'Information Services' means Financial Information, Inc.'s 'Daily Called Bcnd Sorvica,' 30 Montgomery Street, 10th Floor, Jersey City, Now Jersey 07302, Attention: Editor: Kenny Information Services' 'Called Bond Service,' 55 Broad Street, 28th Floor, Now York, New York 10004; Moody's'Municipal and Government,' 99 Church Street, 8th Floor. New York. New York 10007, Attention: Municipal News Reports; and Standard & Paces 'Called Bond Record,' 25 Broadway, 3rd Floor, New York, New York 10004; or to such other odd'esses and /or such other national Information services providing Information or disseminating notices of redemption of obligations similar to the Certificates. 'Insurance and Condemnation Fund' means the fund by that name established and held by the Trustee pursuant to section 7.01 or the Trust Agreement. 'Interest Payment Date' means the first day of each June and December commencing June 1, 1989, so long as any Certificates are Outstanding. 'Investment Property' means any security (as said term Is deflnea In section 18b(g)(2)(A) or (B) of the Code), obligation, annuity contract or Investment —type property. excluding, however, obligations (other than specified private activity bonds as defined In section 57(a)(5)(C) of the Code) the Interest on which Is excluded from gross Income, for federal tax purposes, under section 103 of the Code. Exhibit A aP 3 'Lease Agreement' means the Lease Agreement, dated as of December 1, 1988, by and between the Corporation and the City, together with any duly authorized and executed amendments thereto. 'Lease Payment Date' means the fifteenth (15th) day of May and November In each year during the Term of the Lease Agreement, commencing May 15. 1989. 'Lease Payment Fund' means the fund by that name establlnhed and hold by the Trustee pursuant to Section 5.02 of the Trust Agreement. 'Lease Payments' means all payments required to be paid by the City pursuant to Section 4.4 of the Lease Agreement, Including any prepayment thereof pursuant to Article X of the Lease Agreement, which payments consist of an Interest component and a principal component. 'Moody' s' means Moody's Investors Service, Now York, New York, or its successors. 'Net Proceeds,' when used with respect to Insurance or condemnation proceeds, means any Insurance proceeds or condemnation award paid with respect to the Site, to the extent remaining after payment therefrom of all expenses Incurred In the collection thereof 'Nonoumose Investment' means any Investment Property which Is acquired with the Gross Proceeds of the Certificates and Is not acquired In order to carry out the governmental purpose of the Lease Agreement. '0001nat Purchaser' means the first purchaser of the Certificates upon their delivery by the Trustee on the Closing Date. 'Outstanding.' when used as of any particular time with respect to Certificates, means (subject to the provisions of Section 10.03 of the Trust Agreement) all Certificates theretofore executed and delivered by the Trustee under the Trust Agreement except — (a) Certificates theretofore cancelled by the Trustee or surrendered to the Trustee for cancellation; (b) Certificates for the payment or redemption of which funds or Federal Securities In the necessary amount shall have theretofore been deposited with the Trustee (whether uoon or prior to the maturity or redemption date of such Certificates), provided that. if such Certificates are to be redeemed prior to maturity, riotice of such redemption shall have been given as provided In Section 4.03 of the Trust Agreement or provision satisfactory to the Trustee shall have been made for the giving of such notice: and (c) Certificates In lieu of or In exchange for which other Certificates shall been executed and delivered by the Trustee pursuant to Section 2.09 of the Trust Agreement Exhibit A alI 'Cwner' it 'Certificate owner' or 'owner of a Certificate', or any similar term, when used with :aspect to 's Certificate means the person In whose name such Certificate shall be registered, 'Permitted Encumbrances' means, as of any particular time: (a) (lens for general ad valorem taxes and assenmenis. If any, not then delinquent, or which the City may, pursuant to provisions of ArtfWe V of th3 Lease Agreement, permit to remain unpaid; (b) the Assignment Agreement; (c) the Lease Agreement; (d) any right or claim of any mechanic, laborer, materiaiman, supplier or vendor not filed or perfected In the manner prescribed by law; (e) easements, rights of way, mineral rights, drilling rights and other rights, reservations, covenants, conditions or restrictions which exist of record as of the Closing Date and which the City certifies In writing will not materially Impair the use of the Site; and (1) easements, rights of way, mineral rights, dniling rights and other rights, reservations, covenants, conditions or restdr.!lons established following the date of recordation of the Lease Agreement and to which the Corporation and the City consent In writing. 'Permitted Investments' means any of the following: (a) Federal Securities; (b) debentures of the Federal Housing Administration; States of Amlerica: III participation icertiflcatessor� debt obligations rof the delral Home Loan Mortgage Corporation; (Ip consolidated system -wide bonds and notes of the Farts Credit Banks (consisting of Federal Land Banks, Federal Intermediate Credit Banks and Banks for Cooperatives); (lip oensolldated debt obligations or letter or credit- backed issues of the Federal Home Loan Banks; (Iv) mortgage - backed securities (excluding stripped mortgage securities which are valued greater than par on the portion of unpaid principal) or debt obligations of the Federal National Mortgage Association; or (v) letter of credit- backed Issues or debt obligations of the Student Loan Marketing Association; (d) Federal funds, unsecured certificates of deposit, time deposits and bankers acceptances (having maturities of not more than 365 days) of banks the short-term obligations of which are rated in one of the three highest Rating Categories by Moody's: (e) deposits which are fully Insured by the Federal Deposit Insurance Corporation ('FDIC') or the Federal Savings and Loan Insurance Corporation ('FSLIC'); (p debt obligations (excluding securities that do not have a fixed par value and /or whose terms do not promise a fixed dollar amount at mstarity or call date) rated in one of the three highest long -term Rating Categories by Moody's: (g) commercial paper (having original maturities of not more than 3es days) rated in one of the three highest Rating Categories by Moody's; (h) Investment In money market funds comprised solely of obligations rated In one of the three highest Rating Categories by Moody's: and 30 Exhibit A Page 5 0) repurchase agreements with (1) any Institution with long -term deot rated In one of the three highest Rating Categodos by Moody's; 01) with any corporation or other entity that falls under the jurisdiction of the Federal Bankruptcy Code, provided that: (A) the term of such repurchase agreement is less than one year or due on demand; (B) the Trustee or a third party acting solely as agent for the Trustee has possession of the collateral; (C) the market value of the collateral Is maintained as follows: (1) If valued dally and with a remaining maturity of (a) one year of less, at 102 %; (b) five years of less, at 105 %; (c) ten years or less, at 106 %; (d) fifteen years or less, at 107 %; and (e) thirty years or less, at 113 %; (2) if valued weekly and with a remaining maturity of (a) one year or less, at 103 %; (b) five years or less, at 110 %; (c) ten years or less, at 111 %; (d) fifteen years or less, at 118 %; (3) if valued monthly and with a remaining maturity of (a) one year ur less, at 106%; (b) five years or less, at 116 %; (c) ten years or less, at 110 %; (d) fifteen years or less, at 123 %; (e) thirty years or less, at 130 %; and (4) If valued quarterly and with a remaining maturity of (a) one year or less, at 106 %; (b) five years or less, at 118 %; (c) ten years or less, at 128 %; (d) fifteen years or less, at 130 %; and (e) thirty years or less, at 135% (D) failure to maintain the requisite collateral levels will require the Trustee to liquidate the collateral Immedlate!y; (E) the repurchase securities must be obligations of, or fully guaranteed as to principal and interest by. the United States of America; and (F) the repurchase securities are free and clear of any third party lien or claim, or (dl) with financial Institutions Insured by the FDIC or FSLIC or any broker — dealer with 'retail customers' which falls under the jurisdiction of the Securities Investors Protection Corp ('SIPC'), provided that .3gt(A Page 6 (A) the market value of the collateral Is maintained as described In (II)(c) above; (B) the Trustee or a third party acting solely as agent for the Trustee has possession of the collateral; (C) the Trustee has a perfected first priority security Interest in the collateral; (D) the collateral is free and Gear of any tnird ps:y lien or claim and, In the case of a broker — dealer with 'retell customers' which fails under the Jurisdiction of SIPC, the collateral was not acquired pursuant to a repurchase agreement or a reverse repurchase agreement; (E) the repurchase securities must be obligations of, or fully guaranteed as to prncipal and Interest by, the United States of America; and (F) failure to maintain the requisite collateral levels will require the Trustee to liquidate the collateral Immoolately. 'Principal Corporate Trust Office' means the corporate trust office of the Trustee at Bank of America National Trust and Savings Association, San Francisco, California, or at such other address designated by the Trustee in wdtton notice filed with W r City and the Corporation In writing. 'Private Business Use' moans use directly or indirectly In a trade or business carried on by a natural person or In any activity carried on by a person other than a natural person, excluding, however use by a governmental unit and use as a member of the general public. 'Proceeds,' whe,I used with reference to the Certificates, means the lace amount of the Certificates, plus accrued Interest and original Issue premium, It any, less original Issue discount, If any. 'Purchase Price,' for the purpose of computation of the Yield of the Lease Agreement, has the same ,neaning as the term 'issue price' In sections 1273(b) and 1274 of the Code, end, It, ueneral. meant the Initial offering price of the Certificates to the public (not Includin r bond houses and brokers, or similar persons or organizations acting in the capacity of underwriters or wholesalers) at which price a substantial amount of the Certificates are sold or, If the Certificates are privately placed, the price paid by the first buyer of the Certificates or the acquisition cost of the first buyer The term 'Purchase Price.' for the purpose of computation of the Yield of Nonpurpose Investments, means the fah market value of the Nonpurpose Investments on the date of use of Gross Proceeds of the Certificates for acqulsitlon thereof, or If later, on the date that Investment Property constituting a Nonpurpose Investment becomes a Nonpurpose Investment of the Certificates 3g�- Exhibit A Page 7 'Rating Category • means, with respect to any Permitted Investment, one or more of the generic categories of rating by Moody's applicable to such Permitted Investment. without regard to any refinement or graduation of such rating category by a plus or minus sign. .Rebate Calculation Period' means the one -year period beginning on the anniversary of the Closing Date in etch year and ending on the day prior to the anniversary date of the Closing Date In the following year except that the first Rebate Calculation Period shall begin on the Closing Date. 'Rebate Fund' means the fund by that name created by, and held by the Trustee pursuant to. Section 8.07 of the Trust Agreement. 'Registration Books' means the records maintained by the Trustee pursuant to Section 2.12 of the Trust Agreement for registration of the ownership and transfer of ownership of the Certificates 'Regular Record Date' means the close of business on the fifteenth (15th) day of the month preceding Eech Interest Payment Data. whether or not such fifteenth (15th) day Is a Business Day. Code. 'Regulations' means temporary and permanent regulations promulgated under the 'Rental Period' means each twelve -month period during the Term of the Lease Agreement commenc!ng on December 2 in any year and ending on December i In the next succeeding year 'Reserve Fund' means the fund by that name established and held by the Trustee Pursuant to Section 8.01 of the Trust Agreement. 'Reserve Requirement' means an amount equal to; 'Securities Deoosltorlos' means The Depository Trust Company, 711 Stewart Avenue. Garden City, New York 11530, Fax -(516) 227 -4039 or 4190; Midwest Securities Trust Company, Capital Structures -Call Notification, 440 South LaSalle Street, Chicago, Illinois 60605, Fax - (312) 663 -2343; Philadelphia Depository Trust Company, Reorganization Division, 1900 Market Street, Philadelphia, Pennsylvania 19103. Attention: Bond Department, Dex- (215) 496 -5058; or to such other addresses and /or such other registered securities depositories holding substantial amounts of obligations of types similar to the Certificates. 'Site' means all of that certain real property located In the City described in Exhibit A to the Site Lease and Exhibit B to the Lease Agreement, which Is to be developed by the City as the Northeast Community Park. 'Site Lease' means the Site Leese. dated as of December 1, 1988, by and between the City and the Corporation, together with any duly authorized and executed amendments thereto 3g3 Exhibit A Page 8 'State' means the State of califomia. F Tenn of the Lease Agreement' means the time dudng which the Lease Il Agreement Is in ef-'W, as provitled in Section 4.2 of the Lease Agreement. Trust Agreement' means the Trust Agreement, dated as of December 1, 19138, by and among the City, the Corporation and the T,Zrstee, togeth9r with any duty authorized a amendments thereto. Trustee' means 6ank of America National Trust and Savings Association, or any eV successor thereto, acting as Trustee pursuant to this Trust Agreement. .t 'Yield' means that yield which, when used In computing the present worth of all i. payments of principal and Interest (or other payments In the case of Nonpurpose Investments which require payments hr a form not characterized as principal and interest) on a Nonpurpose Investment or on the Lease Agreement produces an amount equal to the Purchssa Price of such Nonpurpose Investment or the Certlflc3tes, all computed as prescribed in applicable Regulations. r Y� FM ;r i q 3�� Exhibit A Pago 9 EXHIBIT B DESCRIPTION OF THE SITE Those psrcals of land In the Chy of Rancho Cucamonga, County of San Burnardlno, State of California, descrlbcd as follows: 3 -s Page 1 3814 Exhibit C Page 2 STIPULATED VALUE 3 EXHIBIT C SCHEDULE OF LEASE PAYMENTS LEASE PAYMENT DATE SEMI- ANNUAL ANNUAL PRINCIPAL INTEREST TOTAL TOTAL 03113/89 05/15/99 3 05/15/90 111 11/15/90 05/15/91 11/13/91 03/13/94 11/15/9 Oo'13 /9? 11/15,93 05/15/94 11/15/94 05/15/95 11/15/95 05/15 /99 1 t/15 /96 05/15/97 11/15!97 05/15/99 11/15/98 3814 Exhibit C Page 2 STIPULATED VALUE 3 IFII.]! JWM1Y &'W M ;Y10.% IIMf �xn TRUST AGREEMENT Dated as of December 1, 1988 by and among BANK OF AMERICA NATIONAL TRUST AND SAVINGS ASSOCIATION, as Trastae, the RANCHO CUCAMONGA PUBLIC IMPROVEMENT CORPORATION and the CITY OF RANCHO CUCAMONGA. CALIFORNIA (NORTHEAST COMMUNITY PARK PROJECT) 387 TABLE OF CONTENTS ARTICLE I DEFINITIONS Pads Section 1 Of Definitions ................. ........................ . .............. Saction 1.02. Autt• 3rIzation ...... ............ ........... ... . .... ...... ..... .... ... . ...... .. ......... 2 Section103. FAhlblls ........ .... ...... ...................... .. ............................. ......... .......... 2 ARTICLE 11 THE CERTIFICATES OF PARTICIPATION Section2.01 Authorization .................... ............ ........ .............. I Section 2.G2. ............ Date; Payment of Interest ....... .... .......... . ... ...... . ..... ............. *3 .... Section 2.03. Maturity: Interest Sates ....... .......................... .. ................ ... ... 3 Section 2.04. Interest ......... ............................... ... 3 Sacf!on 2.05. Form ........... .......................... ..... .............. .. ........ 4 Section 2.06. Execution ....................... —, ... ..... .. . .. .... ... .. ... ...................... 4 Section 2.07 Applicrillon of Proceeds.... ....... ....... ... .... .................. ... .... ... 4 Section 2 08. Transfer and Exchange .. ..... ................................................ .. .... ... . 4 Section 209. Certificates Mutila,ed. Lost. D*91royed or Stolen ... ............. ... ............ .... ! Section210 Payment .. .. .. ... .. ... . .... ............ ............ ........... ..... .. .......... ...... 5 Section 2 11 Execution of Documents and P.Vol of Ownership .. ... ... ...... .... 5 Section 2 12 Registration Books....... . .... ..... .......... 6 ARncLE fit ACQUISITION FUND AND DELIVERY COSTS FUND Section 3.01 Acquisition Fund ....... .. .. ......................... .... 7 Section 3.02. Payment of Acquisition Costs....... ..... ... 7 Section 3.013 Delivery Costs Fund ........ .... .... ............ .... .. ..... .. A S001011 3 04 Payment of Doliv3ry Costs........... ........... ...... ... 0 ARTICLE IV REDEMPTi')N OF CERTIFICATES Section 4 01 Redemption .. ........ .. ...... ... ......... ..... 9 Section 4 02 Selection Of Certificates for Redemption .................... ........................ 9 Section 4 03 Notice of Rodem, :Ion ....................... ..... ..... .. ....... ....................... 10 Suction 4 04 Partial Redemption of Cerifica.te ....... ......... .. ....... ........ ................... I Ssellon 4 05 Purchase of CertIfIcattis ..... ......... ..... ............. ................... ................. 1 wa Pao) ARTICLE V LEASE PAYMENTS; LEASE PAYMENT FUND Section 5.01 Assignment of Rights In Lease Agreement ................. ............................... 12 Section 5.02. Establish- tent of Lease Payment Fund .............. _ ............ __ ........................ 12 Section5.03. Deposits ......... .............................................................. ............................... 12 Section 5.04. Application of Moneys .................... . ....... _ ....................... _........................... 12 Section 5.05. Surplus ...................... ....... ARTICLE VI RESERVE FUND Section 6.01 Establishment of Reserve Fund ................. ............................... ..... 13 Section6.02. Deposlts_..........._ .............................. ........................... ...................... ......... 13 Section 6.03. Transfers of Excess ..... ... ... _. ... ...... ... ._ .............................................. _.... 13 Section 6.04. Application In Event of Deficiency In Lease Payment Fund .................... 13 Section 6.05. Transfer To Make All Leaso Payments .......... _................... _....................... 13 ARTICLE VII INSURANCE AND CONDEMNATION FUND; INSURANCE; EMINENT DOMAIN Section 7.01 Establishment of Inswance an'1 Condemnation Fund; Application of Net Proceeds of Insurance Award ........................ 14 Section 7 02. Application of Net Proceeds of Eminent Domain Award ......................... 14 Section 7.03 Cooperation........_ ................ _....................................................................... 15 ARTICLE VIII MONEYS IN FUNDS: INVESTMENT Section 801 Held In Trust ...... ..................... _.............. ... 16 .............. ..._.......................... . Section B 09 Investments Authorized ......................._...... .............. ................................ 18 Section803. Accounting.......... _ ..... ._ ........................ ................. _............................. 16 Section 8.04. Allocation of Earnings .._. ..... ._ ..... ..... ... ........... Sectlo.t 8 05 Valuation and Olspositicn of Investments ................. 17 SOcVO'1 806. No Arbitrage " " " " ".. " "' " "' Oe ..ssI .............Ear ....... tate..................... ... 17 Se,tlon 8.07 Rebate of Excess Investment Earnings to United States .... ........ ......... .. 77 ARTICLE tX THE TRUSTEE Section 9.01 Appointment of Trustee ............. ........... ... ......... ............................... 20 Sec0on 9.02. Acceptance of Trusts .... ........ ..... ....... ................. Section 9 03. Fees. Charges and Expenses of Truc ht o ................ ............................... 23 Section 9 04. Notice to Certllicate Owners of Default..._ ................ ............................. 23 Page Section 9.05. Inte:ventfun by rrusteo ........ ......._.... ...._..._........_. ..... 23 Section 9.06. removal of Trustq . ........... ......._.. ................... 24 Section 9.07 Resignation by TIUSto9 ....................... ............ _ .................................. ......... 24 Section 9.08. Appointment of Successor Trustee ..... ............ ._ ........... _........................ 24 Section 9.09. Merger or Consolidation ..... .................._...... ... ............ . ...... 24 _ ................. _. Section 9.10. Concerning any Successor Trustee ................. ....................... _................. 24 ARTICLE X MODIFICAWN OR A MENDMENT OF AGREEMENTS Section 1001. Amendments Permillou ............. ..... ---- ..._._. ..... ............ ._........... 26 Section 10.02. Procedure for Amendment with Wniren Content of Certificate Owners._.._ ................_.._..._ ....._.....__.__._,....._...... 26 Section 10.03. D:squallllod Certl; lcates..._.__. ............... ._................................... 27 Section 10.04. Effect of Supplemental Agreement ... ._.__._ ........ _ ........ ... .............. .... _. 27 Section 10.05. Endorsement or Replacement of Certificates Delivered Alter Amendments ........ .......... .... .......... .........................__.... — 28 ;3ectlon 10.06. Amendatory Endorsement of Cerlllicaten.._ ............... ................ .._......... 28 ARTICLE Yt COVENANTS; NOTICES Section 11.01 Compliance With and Enforcemant of Lease Agreement .............. 2,1 Section 11.02. Observcnce of Laws and Regulations._ ................... ............................... ....... 29 Section 11.03. Prosecution and Defense of Suits ... .... ....... ............ ............................... 29 Section 11 C4. Recordation and Filing ............. ._ ........ .................... ...................... 29 Section11.05. City Budgela ............................................................. ............................... ......... 30 Section 11.06. Further Assurances .............................. ............... .... ............... 30 Section 11.07 Satisfaction of Conditions Precedent .................. ..... .. .... ........................ ................ 30 ARTICLE X11 LIMITATION OF LIABILITY Sacticn 12 01 Limned Liability of City .......................................... ............................... 31 Section 12.02 No Liability of City or Corporation for Trustee's Performance ... ... ......... ..._ ....._ .... . 31 Section 12 04. Limitation of Rights to Parties and Car lflcale Owners ......................... 31 ARTICLE XIII EVENTS OF DEFAULT AND REMEDIES OF CERTIFICATE OWNERS Section 13.01 Assignment of Rights ......... .. ........... ...... ....................... ..... 32 Section13 02. _.............. Remodles ............... ............................. ............................... 32 Section 13 03. .......... Application of Funds ... ..... .................. .... ... ................_............_. 32 Section t3 0<. „ institution of Legal Prot. eetlings ............................... ......................... 33 3g0 t f Page Section13.05. Non - waiver»»»_.».._. .... _._ ....... _......_...„,..._... . „........... _................ 33 Section13.06. Remediss Not ExUuslvo.._.._..._..».„_.„.........». „„ ...... .... .......... _ ....... _ 33 Section 13.07 Power of Trustee to Control Proceedings _ .............. ...... ................ „.... 33 Sectioil 13.08. Urnitatlon on Certificate Owners' Right to Sue._._ „....._ »........_...._._. 33 ARTICLE XIV MISCELLANEOUS Section14.01 Defeasence ... .............. _ ............ _.._.......».» ..... .» » ........ .».._ .......... _ „.. 35 Section14.02. Records ...... »._ ..... .... ._.».....». ..... _ ...... ................................ _. ».... »» 35 Section 14.03. Noticcs»» ........ ............. 35 Section 14.04. Governing Law._»..,..._..»..___ r. ... ... ......... ... _.....„......... ............ __ 36 Section 14.05. Binding Effect; Successors..»....».». ».r- »„_._......... »_._...._.... ........ 36 Section 14,00. Execution In Counterparts ---------- »».__»..._.. . »........... ............ »..... 36 Section 14.07 Delivery of Cancelled Certlflcatw.»......._..__ ».._ ».. »..._ » »..._....._.._.... 36 Section14.08. Heatlln9s».._.___._.....»...»._...».».__._.._..... ._ »............ »._._.._........ 36 Section 14.09. Waiver of Notice .». ........... _....._._._.._.....»., ». »._..._..__..._... „.... »..._. 36 Section 14.10. Separability of Invalid Provisions ............. ... ............. ..... 36 OIH!BITA: Definitions EXHIBIT B: Form of Certificates >9 { TRUSTAGREEMENT THIS TRUST AGREEMENT, dated as of December 1. 1988. by and among BANK OF AMERICA NATIONAL TRUST AND SAVINGS ASSOCIATION, a national banking association organized and existing ,:nder the laws of the United States of America (the 'Trustee',,, the RANCHO CUCAMONGA PUBLIC IMPROVEMENT CORPORATION, e nonprofit, public benefit corporation organized and existing under the laws of the State of California (the 'Corporation), and the CITY OF RANCHO CUCAMONGA, a municipal corporation and general law city organized and existing under the laws of the State of California (the 'City )* W ITN ES SETH: WHEREAS, the City and the Corporation have entered Into a lease agreement dated as of the dare hereof (the 'Lease Agreement), whereby the Corporation has agreed to finance the acquisition of certain real property for future development by the City as the Northeast Community Park (the 'Site'), and to lease the Site to the Cily, and the City has agreed to lease the Site from the Corporation; and WHEREAS, for the purpose of obtaining the moneys required to be deposited by It with -he Trustee for financing the acquisition of the Site, the Corporation proposes to assign and transfer certain of Its rights under the Lease Agreement to the Trustee, and in consideration of such assignment and the execution of this Trust Agreement, the Trustee has agreed to execute and deliver certificates of participation, each evidencing a fractional Interest in the lease payments made by the City under the Lease Agreement. to provido the moneys required herein to be deposited by the Cnrporation; NOW. THEREFORE, In consideration of the premises and the mutual covenants contained herein, the ponies hereto horeby agree as follows: 3q�- rr _ ,,, 9 ARTICLE 1 DEFINITIONS Section 1.01 Definitions. The terms defined In Exhibit A attached hereto and by this reference Incorporated herein, as used and capitalized herein, shall, for all purposes of this Trust Agreement, have the meanings ascribed to them in said Exhibit A unless the context clearly requires some other meaning. Section 1.02. Authorization. Each of the parties hereby represents and warrants that It has full legal authority and Is duly empowered to enter Into this Trust Agreement, and has taken all actions necessary to authorize the execution of this Trust Agreement by the officers and persons signing it. Section 1.03. Exhibits. The following exhibits are attached to, and by reference made a part of, this Trust Agreement: Exhibit A: Definitions. Exhibit B: worm of Certificates. -�'9 -1) -2- ARTICLL it THE CERTIFICATES OF PARTICIPATION Section 2.01 Authorization. The Trustee is hereby authorized and directed upon written request from the Corporation to rrepare, execute and deliver, to the Original Purchaser, Certificates In an aggregate principal amount of dollars (f_� evidencing undivided fractional Interests of the Owners thereof in the Lease Payments. Section 2.02. Date: Payment of Interest. Each Certificate shall be dated as of December 1, 1988, Interest with respect to the Certificates shall be payable on each Interest Payment Date and accrue from the Interest Payment Date next preceding the date of execution thereof, unless: 0) It is executed as of an Interest Payment Date. in which event Interest with respect thereto shall be payable from such Interest Payment Date; or 09 It is executed after a Regular Record Date and before the following Interest Payment Date, In which event Interest with respect thereto shall be payable from such Interest Payment Date; or Off) it Is executed on or before May 15. 1989, in which event Interest with respect thereto shall be payable from December 1, 1088; provided, however, that if, as of the date of execution of any Certificate. Interest is In default with respect to any Outstanding Certificates. Interest represented by such Certificate shell be payable from the Interest Payment Date to which Interest has previously been paid or made available for payment with respect to the Outstanding Certlneates. Section 2.03. Maturity: Interest Rates. The Certificates shall mature on December 1 In each of the respective years, and In the respective amounts, except that no Certificate may have principal maturing In more than one year, and Interest represented thereby shall be computed at the respective rates, as follows: Maturity Date Principal Inrerest DecombeL11 Amount Rate 1989 f % 1990 1991 1992 1993 1894 1995 1996 1997 1998 Section 2 04 interes Interest represented by the Certificates shall be payable on each interest Payment Date to and including the date of maturity or redemption, wh.chever Is earlier as provided In Section 2 10 hereof Said Interest stall represent the portion of Lease Paymonts designated as Interest and accruing during the six -month period preceding each In•srest Payment Date with respect to the Certificates. The fractional share of the portion of Lease Payments designated as Interest with respect to any Certificate shall be computed by multiplying the portion of Lease Payments designated as principal with respect to such Carl, *,Cate t; t`c •ate of Interest applicable to such Certificate (on the basis of a 36D -day year of twelve 30•%ay months). Section 2.05. Form. The Certificates shall be delivered to the farm of fully registered Certificates without coupons In the denomination of 55,000 or any Integral multiple thereof. The Certificates shall be assigned such alphabetical and numerical designation as shall be deemed appropriate by the Trustee. The Certificates shall be substantially In the form set forth in Exhibit B attached hereto and by this inference Incorporated herein. Section 2.06. Execution. The Certificates shall be executed by and In he name of the Trustee by the manual signature of an authorized cfficer or signatory J the Trustee. If any officer or signatory whose elgnature appears on any Certificate Car sea to be such officer or signatory before the date of delivery of said Certificate, suet signature shall nevertheless bn as effective as If the officer or signatory had remained I , office until such date. Section 2.07 Application of Proceeds. The proceeds received by the Tnrsteo from the sale of the Certificates In the aggregate amount of S shall forthwith be set aside by the Trustee in the following respective funds and accounts: (a) Tho Trustee shall deposit In the Lease Payment Fund an amount equal to $ , representing accrued Interest from Decumbor 1. 1088, to the Closing Date. (b) ;he Trustee shall deposit In the Reserve Fund an amount equal to S (the Reserve Requirement). $ (c) The Trustee shall deposit In the Delivery Costs Fund on amount equal to (d) The Trustee shall deposit the remainder of said proceeds in an amount equal to S . In the Acquisition Fund. Sectn.n 2.06. Transfer and Exchange. (a) Transfer of Certificates. The registration of any Certificate may. In accordance with Its terms, be transferred dpon the Registration Books by the person In whose name it Is registered, In person or by his attorney duly authorized in writing upon surrender of such Certifirate for cancellation at the Principal Corporate Trust Office of the Trustee, accompanied by delivery of a written Instrument of transfer in a form approved by the Tutee. duly executed. Whenever any Certificate Of Certificates shall be surrendered for registration of transfer the Trustee shall execute and deliver a new Certificate or Certificates for Ike aggregate principal amount In authorized denominations. (b) Exchange of Certificates. Certificates may be exchanged at the Principal Corporate Trust Office of the Trustee for a like aggregate principal amount of Certificates of other authorized denominations of the name maturity. The Trustee may require the payment by the Certificate Owner requesting such exchange of any tax or other governmental charge required to be paid with respect to such exchange. 345 Section 2.09. Certificates fdutltated. Lost Destroyed Or Stolen. If any Certificate Shall become mutilared, the Trustee, at the expensb of the Owner of said Certificate, shall execute and deliver a new Certificate of like tenor, maturity and amount in exchange and substitution for the Certificate so mutilated, but only upon surrender to the Trustee of the Certificate so mutilated. Every mutilated Certificate so surrendered to the Trustee shall be cancelled by it and destroyed with a certificate of destruction furnished to ,q City. If any Certificate shall be lost, destroyed or stolen, evidence of such loss. destruction or theft shall be submitted to the Trustee, and, If such evidence Is satisfactory to the Trustee and If an Indemnity satisfactory to the trustee Shall be given, the Trusl.oe. at rte expense of the Certificate Owner, shall execute and deliver a new Certificate of like tenor, maturity and amrunt and numbered as the Trustee shall determine in lieu of and In substitution for the Certificate so lost, destroyed or stolen. The Trustee may require payment of the expenses which may be Incurred by the Trustee In carrying out the duties under this Section 2.09. Any Certificate executed and delivered under the provisions of this Section 2.09 In Ilau of any Certificate alleged to be lost, destroyed or stolen shall be equally and fractiona0v entitled to the benefits of this Trust Agreement with all ethe, Certificates secured by this Trust Agreement. The Trustee shall not be required to treat both the original Certificate and any replacement Certificate as being Outstanding for the purpose of determining ti•s principal amount of Certificates which may be executed and delivered hereunder or I. r the purpose of determining any percentage of Certificates Outstanding hereunder, but ooth the original and replacement Certificate shall be treated as one and the same. Notwithstanding any other provision of this Section 2.09, in lieu of delivering a new Certificate which has been mutilated, lost, destroyed or stolen, and which has matured or has been called for redemption, the Trustee may make payment with respect to such Certificate upon receipt of the aforementioned indemnity. Section 2.10. Payment. Payment of Interest due with re- sect to arty Certificate un any Interest Payment Date shall be made to the person appearing on the Registration Books as the Owner thereof as of the Regular Record Date immediately precedhrg such Interest Payment Date, such Interest to be paid by check or draft meiled by first class mail to such Owner at his address as It appear on the Registration Books. the principal and redemption premium (If any) payable with respect to any Certificate shall be paid upon presentation and surrende thereof at the Principal Corporate Trust Office of the Trustee. Both the p•,,.cipal a e Interest and premium Of any) with respect to the Certificates shall be rayable In lawful money of the United States of America. Section 2.11 Execution of Documents and Proof of Ownerhig. Any request, direction, consent, revocation of consent, or other Instrument in writing required or Permitted by this Trust Agreement to be signed or executed by Certificate Owner may lie In any number of concurrent Instruments of similar tenor, and may be signed or executed by such Owner In person or by their attorneys or agents appointed by an Instrument In writing for that purpose, or by any bank, trust company or other depository for such Certificates Proof of the execution of any such Instrument, or of any Instrument appointing any such attorney or agent, and of the ownership of Cenificates shall be sufficient for any purpose of this Trust Agreement (except as otherwise herein provided), If made In the following manner (a) The fact and date of the execution by any Owner or his attorney or agent of any such Instrument and of any Instrument appointing any such attorney or agent, may � A _ 'i be proved by u certificate, which need not be acknowledged or verified, of an officer of any bank or trust company located within the United States of America, or of any notary public, or other officer authorized to take acknowledgments of deeds to be recorded in such Jurisdictions, that the persons signing such Instruments acknowledged before him the execution thereof. Where any such Instrument Is executed by an officer of e corporation or association or a member of a partnership on behalf of such corporation, 1. association or partnership, such certificate shall also constitute sufficient proof of his authority. r (b) he fact of the ownership of Certificates by any person and the amount, the maturity and the numbe•s of such Certificates and the date of his holding the some shall be proved by the Registration Books. Any r -quest or consent of the Owner of any Certificate shall bind every future Owner of tre same Certificate In respect of anything done or suffered to be done by the Trustee prrsuant to such request or consent. Section 2.12. 9_%Istratton Books. The Trustee shall keep or cause to be kept, at its Principal Corporate Trust Office, sufficient records for the registration and registration of transfer of the Certifiates, which shall at all reasonable times be open to inspection by the City and the Corperatlon during regular business hours with reasonable prior notice; and, upon presentailon for such purpose. the Trustee shall, under such reasonable regulations as it may prescribe, register or transfer or cause to be registe•ed or transferred, on the Registration Books, Certificates as hereinbefore provided. 397 -6- ARTICLE III ACQUISITION FUND AND DE'_tVERY COSTS FUND Section 3.01 Acquisition Furr1 The Trustee shall establish a special fund designated as the 'Acquisition Fund', shall keep such fund separate and apart from all other funds and moneys held by It; and shall administer such fund as provided herein and In the Lease Agreement. There shall be deposited In the Acquisition Fund from the proceeds of sale of the Certificates amounts required to be deposited therein pursuant to Section 2.07(d) hereof and any other funds from time to time deposited with the Trustee for such purposa as may be Identified In writing to the Trustee. Section 3.02. Payment of Acquisition Costs. (a) Amounts in the Acquisition Fund shall be disbursed for Acquisiticn Costs. Disbursements from the Acquisition Fund shall be made by the Trustee upon receipt of a sequentially numbered requisition requesting disbursement executed or approved by a City Representative. Eech such certificate shall: 0) net forth the amounts to be disbursed for payment or reimbursement of previous payments of Acquisition Costs and the person or persons to whom said amounts are to be disbursed; gl) State that the amounts to be disbursed constitute Acquisition Costs, that said amounts are requred to be disbursed pursuant to a contract entered Into therefor by or on behalf of the Corporation or t'ie City, or were necessarily and reasonably Incurred; and that said amounts are not being paid In advance of the time, If any, fixed for patartent; (III) state that no amount set torth in the certificate was Includao in any certificate reques:ing disbursement previously filed with the Trustee pursued to this Section 3.02; (w) state the portion, If any, of the Net Proceeds of the Certificates to be used for a Private Business Use or to make or finance a loan (other than a loan constituting a Nonpurpose Investment or assessment) to other than a state or local governmental unit; (v) state that there has been compliance with Sections 5.11 and 5.12 of the Lease Agreement relating to the Private Business Use limitation and the priva e loan limitation; and NI) state that the amount remaining In the Acquisition Fund, together with interest earnings thereon or expected to be deposited therein, will, after payment of the amount set forth In the certlficate requesting disbursement, be sufficient to pay all remaining Acquisition Costs as then estimated, 11 any. 398 -7- +`- (b) Notwithstandhg the folag, ,no disbursements shall be made with respect to the acquisition of the Site until the City shall cause to be deposited with the Trustee the title Insurance policy with respect thereto required pursuant to Section 5.8 of the Lease Agreement. f` (c) The Trustee Is he,eby directed that all unexpended moneys remaining In the Acquisition Fund and not Identified In writing by a City Representative to be required for payment of AcquL9ltlon Costs shall, on the Completion Date, be transf9rred to the Lease Payment Fund and applied as a credit against succeddlrg Lease Payments as the same shall become due. Sec1lon 3.03. Delivery Coats Fund. The Trustee ehall establish a special fund designated as the 'Delivery Costs Fund': shall keep such ;und separate and apart from all other funds and moneys held by It; and she', administer such fund as provided herein 'ft and in the Lease Agreement. There shall be deposited In the Delivery Costs Fund the proceeds of sale of the Certificates required to be deposited therein pursuant to Section 2 07(c) hereof and any other funds from time to time deposited with the Trusted for such purpose and Identified In writing to the Trustee. Section 3.04. Payment of Delivery Costs. The moneys in the Delivery Costs Fund shall be disbursed to pay the De;ivery Costs, upon the written order of a City Representative executed and delivered to the Trustee directing such disbursements. The Trustee shall disburse moneys In the Delivery Costs Fund only upon a receipt of a sequentially numbered requisition signed by a City Representative setting forth the amounts to be disbursed for payment or reimbursement of Delivery Costs and the name and address of tho person or persons to whom said amounts are to be disbursed, stating that the amounts to be disbursed are for Delivery Costs properly chargeable to the Delivery Costs Fund. The Trt atee shall be responsible for the safekeeping and Investment of the moneys held In the Delivery Costs Fund, the payment thereof In accordance with this Section 3 04, but the Trustee shall not be responsible for tvich r3quisitlons. Upon written notice from a City Representative that all Delivery Costs have been paid, but In no event later than June 1, 1089, the Trustee shall transfer any moneys then remaining In the Delivery Costs Fund to the Acquisition Fund (or to the Lease Payment -und. If the Acquisition Fund had been previously closed, and applied as a credit against succeeding Lease Payments as the same shall become due), the Delivery Costs Fund shall be closed and the Trustee shall no longer be obligated to make pe/ments for Delivery Costs. 399 -8- ARTICLE IV REDEMPTION OF CERTIFICATES S.,%;tlon 4.01 Redemption. 1893, are not subject Redemption. o optional redemption prior maturity. The Certificates maturing on and after December 1, 1994, are subject to redemption In whole or In part on any Interest Payment Data (but not in a total redemption amount of lass than $20.000 In principal at any one time) in Inverse order of maturity and by lot within a maturity on or after December 1 1993, at the principal amount with respect thereto, together with the Premium set forth below (expressM as a percentage of the total principal amount to be redeemed), together with accrued Interest unpaid with respect thereto to the date fixed for redemption, from the proceeds of optional prepayments of Lease Payments made by the City pursuant to the Lease Agreement: Pr_ epavment Dates December 1, 1993 and June 1 1994 December 1, 1994 and June 1, 1995 December 1, 1995 and June 1, 1998 December 1, 1998 and June 1, 1997 December 1, 1997 and each June 1 and December 1 thereafter Premium Paid With Respect to the Maturity Date of any Redeemed Certificates 1997 and 1994 1995 19% thereafter 'h% 1 % 0 '/, 0 1'h% 2% 'A 1 0 'h (b) Redemption From Net Proceeds of Insurance and Condemnation. The Certificates are sutvect to mandatory redemption .n whole or. any date, or in part on any Interest Payment Date proportionately among maturities and by lot within a maturity. from the Net Proceeds of an Insurance or condemnation awarJ to the extent credited towards the prepayment of the Lease Payments by the City pursuant to Section 10.3 of the Lease Agreemem, at a redemption price equal to the principal amount thereof to be redeemed together with accrued Interest to the data fixed for fdemptlon, without p�enilum. Section 402. Selection of Certificates for Redemption. Whenever provision Is made In this Trust 1 y emeht for the redemption of Certificates and lower than a!I Outstanding Certificates are called for redemption, the Trustee shell select Certificates for redemption from the Outstanding Certificates not previously tailed for redemption such that the scheduled payments of principal represented by the Certificates In each Rental Period correspond to the scheduled payments of the principal components of the Lease Payments following the corresponding prepayment of the Lease Payments pursuar, to Sections 10.2 or 10.3 of the Lease Agreement, as determined pursuant to Section 4 4(b) of the Lease Agreement. The Trustee shall select Certificates for </on -9- redemption within a maturity by lot or In any other manner which the Trustee shall, In Its sole discretion, deem appropriate and fair For the purposes of such selection, Certificates shall be deemed to be composed of $5,000 p• lions. and any Such portion may be separately redeemed. The Trustee shall prom( iy notify the City and the Corporation In writing of the Certificates so selected for redemption. Section 4.03. Notice of Redemption. (a) Official Notice. Unless waived by any Owner of Certificates to be redeemed, official notice of any such redemption shall be given by the Trustee on behalf of the City by mailing a copy thereof by first Gass mall at least thirty (30) days and not more than sixty (60) days prior to the date fixed for redemption to the Oyer of the Certificate or Certificates to be redeemed at the address shown on the Registration Books. All official notices of redemption shall be dated and shall state: (1) the redemption date, (IQ the redemption price. QIQ If fewer than all Outstanding Certificates are to be redeemed, the Certificate numbers (and. In the case of partial redemption, the respective principal amounts) of the Certlfcates to be redeemed, (Iv) that on the redemption date the redemption price will become due and payable upon each such Certificato or portion thereof called for redemption, and that Interest with respect thereto shall cease to accrue from and after said date, and (v) the place where such Certificates are to be surrendered for payment of the redemption price. which place for payment shall be the Principal Corporate Trust Office of the Trustee Prior to any redemption date, the City shalt deposit, or cause to be deposited, with the Trustee an amount of money sufficient to pay the redemption price of all the Certificates or portions of Certificates which are to be redeemed on that date. Official notice of redemption having been given es aforesaid, the Certificates or portions of Certificates so to be redeemed shall, on the redempt:on date, become due and payable at the redemption price therein specified, and from and after such date (unless the City shall default In the payment of the redemption price) Interest with respect to such Certificates or portions of Certificates shall cease to be payable. Upon surrender of such Certificates for redemption In accordance with said notice, such Certificates shall be paid by the Trustee a? the redemption price. installments of interest due on or prior to the redemption date shall be payable as herein provided for payment of Interest. All Certificates which have been redeemed shall be cancelled and destroyed by the Trustee and shall not be reissued. Failure by any Owner to re^eive notice as hereinabove pro -ded shall not affect the validity of any such redemption. (b) Further Notice in addition to the foregoing notice. further notice shall be given by the Trustee as set forth in this subsection (b), but no defect in said further notice nor any failure to give all or any portion of such further notice shall In any manner defeat the effectiveness of a call for redemption if notice thereof is given as prescribed in subsection (a) above. Each further notice of redemption given hereunder shall contain the Information required above for an official notice of redemption plus (A) the CUSIP numbers of all Certifictis being redeemed: (B) the original date of execution and delivery of the Certificates: (C) the rata of Interest payable with respect to each <(o1 Certificate being redeemed; (D) thp maturity date of each Certificate being redeemed; and (E) any other descriptive Information ncoded to Identify &;,;yrateiy the Certificates being redeemed. Each further notice df redemption shall he sent, at least thirty-five (35) days before the redemption date• by telecopy, registered, certiried or evemight mall to all Securities Depositories and to at least ono Information Service. Upon the payment of the redemption price of Certificates being redeemed• each check or other transfer of funds Issued for such purpose Shan, to the axtent practicable, bear or Indicate the CUSIP number identifying, by Issue and maturity, the Certificates being redeomed with the Proceeds of such check or other transfer. Section 4.04. Partial Rec'cxrl tlon of Certifcate. Upon surende: of any Certificate redeemed in part only, the Trustee shall uxicute and deliver to the Owner thereof, at the -� expense of the City, a new Certificate or Certificates of authorized denominations equal In aggregate principal amount to the U �,uemod portion of the C,31" 1703te surrendered and of the same Interest rate and he some era .irity. Section 4 J6. Purchsso of (,ertificates. lieu of redemption of Certificates as x provided In this .4rticle IV, amounts held by the'r a tee for such redemption may also be used at any time, upon the wr;tten request of a City Representative, for the purchase of Certificates at public or privata sale as and when end at such priors Including Wokerage, accrued Interest and other charges) as the City may In Its discteNon direct, but not to exceed the redompLbn price whl:h would be payable if such Certllicatvs wege redeemed at that time rather than purcliesed. The aggregate principal amount of Certificates of the same maturity purchases In lieu of redemption pursuant to this Section 4.05 shag not exceed the aggregate princpal amount of Certificates of such maturity which would otherwise be subject to such redemption. Remaining moneys, if any shall be deposited In the Lease Payment Fund. _tt_ ARTICLE V LEASE PAYMENTS; LEASE PAYMENT FUND Section 5.01. Assignment of Rights in Lease Agreement. The Corporation ties, in the Assignment Agreement, transferred, assigned and set over to the Trustee certain of Its rights and duties in the Lease Agreement, Including but not limited to all of the Corporation's rights to receive and collect all of the Lease Payments and all other amounts required to be deposited In the Lease Payment Fund pursuant to the Lease Agreemen: or pursuant hereto. All Lease Payments and such other amounts to which the Corporation may at any time be entitled shalt be paid directly to the Trustee and all of the Lease Payments collected or received by the Corporation shall be deemed to be held and to have been collected or received by the Corporation as the agent of the Trustee, and if received by the Corporation at any time shall be deposited by the Corporation with the Trustee within one Business Day after the receipt thereof, and a9 such Lease Payments and such other amounts shall be forthwith deposit td by the Trustee upon the receipt thereof In the Lease Payment Fund (except as plovioed in Section 6.04 hereof). Section 5.02. Establishment of Lease Payment Fund. The Trustee shall establish a special funu designated as the 'Leese Payment Fund' All moneys at any time deposited by the Trustee In the Lease Payment Fund shall be held by the Trustee In trust for the benefit of the Owners of the Certificates. So long as any Certificates are Outstanding, neither the City nor the Corporation shall have any beneficial right — Interest In the Lease Payment Fund or the moneys deposited therein, except only ai provided In this Trust Agreement, and such rroncys snail be used and applied by the Trustee as hereinafter set forth. Sartlor L.03. Deocsits. There shall be deposited Iii the Lease Payment Fund all Lease Payments received by the Trustee (except as provided In Section 6.04 hereof), Including any moneys rece;ved by the Trustee for deposit therein pursuant to Sections 207(a). 4.01, 5.01 or Article VII hereof, or Article X of the Lease Agreement, and any other moneys required to be deposited therein pursuant to the Lease Agreement or pursuant to this Trust Agreement. Section 5.04. Acplicatlon of Mor.eys. All amounts in the Lease Payment Fund shall be used and withdrawn by the Trustee solely for the purpose o' paying the principal, interest and redemption premiums of any) with inspect to tno Certificates as the same shall become due and payable. In accordance with the provisions of Article II and Article IV hereof Section 505 Surplus. Any surplus remaining In the Lease Payment Fund, after redemption and payment In full of ell Certificates. Including premiums and accrued interest (if any) and payment of any applicable fees and expenses of the Trustee, or provision for such redemption or payment having been made to the satisfaction of the Trustee shall be withdrawn by the Trustee and remitted to the City. 40--s T0 _1P_ ARTICLE VI RESERVE FUND Section 6.01 Establishment of Reserve Fund. Tho rrustee shall esteblis:i a special furio designated as the 'Reserve Fund ' All moneys at anytime on deposit In the Reserve Fund sh i be held by the Trustee 11) trust for the benefit of the Owners of the Certircates and applied solely as provided herein. Section 6.02. Deposits. There shall is deposited and maintained III the Reserve Fund from th,' proceeds of the sale of the Certificates an amount equal to the lieserve Requirement, in accordance with Section 2.07(b). Moneys !n the Reserve Fund shall be held in Mist as a reserve for the payment when oue of all the Lease Payments to be paid Pursuant to the Lease Agreement. Section 6.03. Transfers of Excess. The Trustee shall, on each Interest Payment Date prior to the Compietlon Oate, transfer any moneys In the Reserve Fund then in excess of the Reserve Requirement to the Acoulsitlon Fund, and after the Completion Data shall transfer any such moneys to the Lease Payment Fund to be credited to the Lease Payments next coming due and payable. Section 6.04. Appllcciton In Event of DeOGenev In Lease Payment Fund. II on any Interest Payment Data, the moneys available In the Lease Payment Fund do not equal the amount of the principal and Interest and redemption premiums of any) with respect to the Certificates then coming due and payable, the Trustee shall apply the moneys available In the Reserve Fund to make dsfinquent Lease Payments on behalf of the City by transferring the amount necessary for this purpose to the Lease Payment Fund. Upon receipt of any delinquent Lease Payment with respect to which moneys have been advances' from the Reserve Fund. such Lease Payment shall be deposited In the Reserve Fund to the extent of sucn advance. Section 6.05 Transfer To Make All Lesse Payments. If on any Interest Payment Date• the moneys on deposit In the Resarve Fund and the Lease Payment Fund (n addition to all amounts set aside therein for payment of principal. Interest and redemption premium. If any, with respect to Certlficatns theretofore redeemed or matured but not presented for oaymenp are sufficient to pay all Outstarding Certificates, including all principal, interest and redemption premiums Of any), the Trustee shall, upon the written direction of a City Representative, transfer all amounts then on deposit In the Reserve Fund to the Lase Payment Fund to be applied to the payment of the Lease Payments on behalf of ,.,e City, and such moneys shall be distributed to the Owners of Certificates in accordance with Article II of this 7rust Agreement. Any amounts remaining in the Reserve Fund upon payment In full of Oil Outstanding Certificates, or upon provision for such payment as provided In Section 14.01, shall be withdrawn by the Trustee and paid to the City 13- ARTICLE VII INSURANCE AND CONDEMNATION FUND; INSURANCE; EMINENT DOMAIN Section 7.01 Establishment of Insurance and Condemnation Fund: Application of Net Proceeds of Insurance Award. Any Net Proceeds of Insurance against damage to or destruction of any part of 1,he Site collected by the City In the event of any ruch accident or destruction shall be paid to the Trustee by the City pursuant tv Section Vie' of the Lease Agreement and deposited by the Trustee promptly upon receipt thv,:( In a special fund dssigna :ed as the 'insurance and Condemnation Furd.' If the City dstermines and notl0es the Trustee in writing of Its determination, within ninety (90) days following the date of such deposit, that the replacement, repair, restoration, modification or Improvement of the Site Is not economlcaifj feasible or In the best Interest of the City, then such Net Proceeds shall be promptly transferred by the Trustee to the Lease Payment Fund and applied to the prepayment of Lease Payments purwant to Section 10.3 of the Lease Agreement; provided, however, that in the event of damage or destruction of the Site In full, such Net Proceeds may de transferred to Inc I ease Faymaot Fund only If sufriclont, togelhe• with other moneys avallable therefor to cause the prepayment of :he principal components of all unpaid Lease Payments pursuant to Section 1C.3 of the Lease Agreement. All Net Proceeds deposited In the Insurance and Condemnation Fund and not so transferred to the Lease Payment Fund shall be applied to the p•ompt replacement. repair, restoration, modification or Improvement of the damaged or destroyed portions of the Site by the City, upon receipt of requisitions satisfactory to the Trustee signed by a City Representative stating with respect to each payment to be made (I) the requisition number, 00 the name and address of the person, firm or corporation to whom payhnant Is due, (III) the amount to be paid and Ov) that each obligation mentioned therein has been properly incurred. Is a proper charge against the Insurance and Condemnation Fund, has no: been the basis of any previous withdrawal, and specifying In reasonable detail the nature of the oLligatlon, accompanied by a bill or a statement of account for such obligation. Any balance of the Net Proceeds remaining after such work has been completed shall be paid to the City. Section 7 02 Application of Net Proceeds of Eminent Domain Award. If all or any part of the Site shall be taken by eminent domain proceedings (or sold to a gnremment threatening to exercise the power of eminent domain) the flat Proceeds therefrom shall be deposited with the Trustee In the Insurance and Condemnation Fund pursuant to Section 6.7(b) of the Lease Agreement and Shall be applied and disbursed by the Trustee as follows (a) If the City has given written notice to the Trustee of Its determination that 0) such eminent domain proceedings have not materially affected the use of the Siva or the abury of the City to meet any of Its obligations under the Lease Agreement, and P9 that such proceeds are not needed for repair or rehahllltation of the Site, the City shell so certify to the Trustes and the City has given mitten notice to the T uslee of such determination. the Trustee, at the City's request, shall transfer such proceeds to the Lease Payment Fund to be credited toward3 the prepayments of Lsasa Payments pursuant to Section 10.3 of the Lease Agreement and applied to the redemption of Ge.tthcates in the manner provided In Section 4.01(b) hereof Ai/ 0 5 -14- such the City proceed ngs have notice to the Trustee of Its materially affected the use of determination the ability of the City to meet any of Its obligations under the Lease Agreement, and 04 such proceeas are needed for certity o the T eo and the eTrustee, at the City's request, shall ipa Site, to the CI R, shall so 1 order, from said proceeds such amounts as the City may expend for such repair oLr rehabilitation, upon the filing with the Trustee of requisitions of the City Representative in the form and containing the provisions set forth In Section 7.01 ! (c) If m less than all of the Site shalt have been taken In such eminent doma!n proceedings or sold to a government threatening the use of eminent domain powers. and If the City has given written notice to the Trustee of Its determination that such eminent domain proceedings have materially affected the use of the Site or the sbllty of tho City to maef any of Its obligations under the Lease Agreement or pg all of the Site shall have been taken in such eminent domain proceedings, then the Trustee shall transfer such Proceeds to the Lease Payment Fund to be credited toward the prepayment of Lease Payments pursuant to Section 10.3 of the Lease Agreement and applied to the redemption of Certificates in the manner provided In 4.01(b) hereof. (d) in making anj determination under this Section 7.02, the City may obtain, but shall not be required to obteln, at Its expense, the report of an independent engineer or other Independent professional consultant, a copy or which shalt be filed with the Trustee. Any such determination by the City shall be final. Section 7.03. COOPeiatfon. The Corporation and the Trustee shell cooperate fully with the City at the expenso of the City In filing any proof of loss with respect :o any Insurance policy maintained pursuant to Article V of the Lease Agreement and in the prosecution or defense of any prospective or pending condemnation proceeding with respect to the Site or any portion thereof. Tnb Trustee shall not be obligated to join In such action If It believes it will be exposed to liability or has nct been Indemnified to Its satisfaction from any loss, liability or expense Including, but not limited to. attorneys, fees. 40( is- ARTICLE VIII MONEYS IN FUNDS; INVESTMENT Section 8.01 Hold in Trust. 'he moneys anti Investments held by the Trustee under this Trust Agreement era Irrevocably held In trust for the benefit of the Owners of the Certificates and for the purposes herein specified, and such moneys, and any Income or Interest earned thereon, shall be expended only as provided In this Trust Agreement, and shall net be subject to levy or attachment or lien by or for the benefit of any creditor of the Corporation, the Trustee, the City or any Owner of Certificates. Section 8.02. Investments Authorized. Moneys bold by the Trustee hereunder shall, upon written order of a City Representative, be Invested and reinvested by the Trustee, to the maximum extent practicable. In Permitted Investments. If a City Representative shall fall to so direct Investments, the Trustee shall invest the affected moneys In Permitted Investments described In paragraph (h) of the definition thereof. A City Representative may, by written order filed with the Trustee, direct such investment of moneys held by the Trustee in speclfic Permitted Investments. Such Investments, If registrable, shall be registered In the name of and held by the Trustee or Its nominee. The Trustee may purchase or sell to Itself or any affiliate, as principal or agent, Investments authorized by this Section 8.02. Such Investments end reinvestments shell be made giving full consideration to the time at which funds are required to be available. The Trustee may act as purchaser or agent in the making or disposing of any Investment. Section 8.03. Accounting. The Trustee shall furnish to the City, at least monthly, an accounting which may be in the form of Its customary accounting statements of all Investments made by the Trustee. The Trustee shall not be responsible or liable for any loss suffered in connection with any Investment of funds made by it in accordance with Section 8.02 hereof Section 8.04. Allocation of Earnings. Subject to the provisions of Section 8.07 hereof, all Interest or Income received by the Trustee on Investment of the Lease Payment Fund herecl shall, prior to the Completion Date, be transferred to the Acquisition Fund and thereafter shall be retained in the Lease Payment Fund and be applied as a credit against the Lease Payment due from the City pursuant to the Lease Agreement on the Lease Payment Date following the date of deposit. Subject to the provisions of Seaton 8.07 hereof. all Interest or Income received by the Trustee on Investment of the Reserve Fund shall be retained In the Reserve Fund In the event that amounts on deposit in the Reserve Fund are less than tie Reserve Requirement. In the event that amounts then on deposit In the Reserve Fund equal or exceed the Reserve Requirement. such Interest or income shall, on each Interest Payment Date prior to the Completion Date, be transferred to the Acquisition Fund and thereafter shall be transferred on each Interest Payment Date to the Lease Payment Fund and applied as a credit against thq Lease Payment due by the City pursuant to the Lease Agreement on the Lease Payment Date following the date of deposit. Transfsrs to the Acquisition Fund or the Lease Payment Fund from the Reserve Fund shall be made by the Trustee on or prior to each Lease Payment Date. All interest or Income In the Acquisition Fund shall be retained In the Acquistron Fund until the Acquisition Fund Is Oosed pursuant to Section 305 hereof All Interest or Income in the Delivery Costs Fund shall be retained in the 407 Delivery Costs Fund until the Delivery Costs Fund is closed pursuant to Section 3.04 hereof. Secllon 8.05. Valuation and Dlsoosltlon of Investments. For the purpose of determining the amount In any fund, all Permitted Investments credited to such fund shall be valued by the Trustee at cost (exclusive of accrued interest). The Trustee may sell at the best price obtainable, or present for redemption, any Permitted Investment so Purchased by the Trustee whenever it shall be necessary In order to provide moneys to meet any required payment, transfer, withdrawal or disbursement from the fund to which such Permitted Investment is credited, and the Trustee snail not be liable or responsible for any loss resulting from any such Permhled Investment. SeCtl0a 8.08. No Arbitrage. The City shall not take, or permit or suffer to be taken by the Trustee or oth,nvlse, any action with respect to the Gross Proceeds of the Certificates which If such action had been reasonably exrected to have been taken, or had been deliberately and intentionally taken, on the Closing Date would have caused the Certificates or the Lease Agreement to be 'arbitrage bonds' within the meaning of section 148(x) of the Code and Regulatluns. Section 8.07 Rebate of Excess Investment Earnings t.i United States. (a) Creation of Funds. There are hereby created to be held by the Trustee as separate funds distlnct from all other funds and accounts held by the Trustee under this Trust Agreement, the Earnings Fund and the Rebate Fund. All Interest earnings and profits on amounts in all funds and accounts established under this Trust Agreement other than (1) Interest earnings and profits on amounts In the Leese Payment Fund (except for amounts referenced In clauses (a) and (b) of the definition of Gross Proceeds) and in any other accounts and funds referenced In subsection (c)(4) of this Section 8.07 If such interest earnings and profits In any Rebate Calculation Period are toss than $100,000, (14 Interest earnings and profits od amounts in funds and accounts which do not constitute Gross Proceeds. and (110 interest earnings and profits on the Rebate Fund, Shot], upon receipt by the Trustee, be deposited In the Earnings Fund. In addition, all Interest earnings and profits on Gross Proceeds in funds and accounts held by the City shell, upon receipt. be paid by the City to the Trustee for deposit In th3 Eamings Fund. Annually, within twenty -five (25) days following the last day of each Rebate Calculation Period, the Trustee shall transfer from the Earnings Fund to the Pebate Fund for purposes Of ultimate rebate to the United States an amount equal to Excess Investmen' Eamings, all as more particularly described in this Section 8.07 colloviing the transfer referenced In the preceding sentence, the Trustee shall transfer all amounts remaining .n the Earnings Fund to the Acquisition Fund or if such fund has been cl3sed pursuant to Section 3 05. to the Lease Payment Fund to be used for the payment of Lease Payme its on the next Due Date and, for such purpose. Lease Payments received from the r:lty Shall be credited by an amount equal to the amount so transferred. (b) Duties of City In General. The City shall calculate Excess investment Earnings in accordance with subsection (c) of this Section 8.07 and shall assure payment of an amount equal to Excess Investment Earnings to the United States In accordary.,e with subsections (d) ant, (e) of this Section 8.07 I/o 4R -17 (c) Calculation of Excess Investment Eaminbs. Within twenty (20) days following the lest day of the first Rebate Calculation Period, the City shall calculate, or shall cause to be calculated, and shall provide written notice to the Trustee of, the Excess Investment Earnings referenced In paragraph (a) of the definition of Excess Investment Earnings. Thereafter, within twenty (20) days following the last day of each Rebate Calculation Period and within fifty (50) days following the date of the payment of Lease Payments and the Certificates In full, the City shall calculate, or shall cause to be calculated, and shall provide written notice to the Trustee of, the amount of Excess Investment Earnings. Said calculations shall be made or causad to be made by the City In accordance with the following: (1) Except as provided in (71. In determining the amount described in paragraph (a)() of the definition of Excess Investment Earnings, the aggregate amount earned on Nonpurpose Investments shall Include (8 all Income realized under federal Income tax accounting principles (whether or not the person eaming such Income Is subject to federal Income tax) with respect to such Nonpurpose Investments and with resprct to the reinvestment of Investment receipts from ouch Nonpurpose Investmonts (without regard to the transaction costs Incurred In acquiring, carrying, selling or reoeeming such Nonpurpose Investments), Including. but not limited to, gain or loss realized on the disposition of such Nonpurpose Investments (without regard to when such gains are taken Into account under section 453 of the Code relating to taxable year of inclusion of gross Income), and Income under section 1272 of the Code (relating to original Issue discount) and 110 any unrealized gain or loss as of the data of payment of Lease Payments and Certificates in full In the event that any Nonpurpose Investment Is retained after such date. (2) In determining the amount described In paragraph (a) of the definition of Excess Investment Earnings, Investment Property snall be treated as acquired for Its fair market value at the time it becomes a Nonpurpose Investment, so that gain or loss on the disposition of such Investment Property shall be computed with reference to such fair market value es Its adjusted basro. (3) In determining the amount described In paragraph (b) of the definition of Excess Investment Earnings, all Income attributable to the excess described In paragraph (a) of said definition shall be taken Into account, whether or not that Income exceeds the Yleld of the Lease Agreement, and no amount may be treated as 'negative arbitrage.' (4) In determining the amount of Excess Investment Earnings. there shall be excluded any amount earned on any fund or account which Is used primarily to achieve a proper matching of revenues and payments with respect to the Certificates within each Rebate Calculation Period and which Is depleted at least once a year except for a reasonablo carryover amuunt not In excess of the greater of one year's earnings on such fund or account or one - twelfth (1 /12th) of annual Lease Payments, as well as amounts earned on said earnings, if the gross earnings on all such funds and accounts for the Rebate Calculation Period Is less than 4100.000 4b9 _18_ (d) Payment to the United States. The City shall direct the Trustee to pay from the Rebate Fund an amount equal to Excess investment Earnings to the United States In Installments with the first payment to be made not later than thirty (30) days after the end of the fifth (5th) Rebate Calculation Period and with subsequent payments to b,) made not later than every Ave (5) years after the preceding payment was due. The City shall assure that each such Installment is In an amount equal to at least ninety percent (00 %) of the Excess Investment Earnings as of the end of the Rebate Calculation Period Immediately preceding the date of such payment. Not later than sixty (60) days after the date of payment of Lease Payments and Certificates In full, the City shall dimct the Trustee to pay from the Rebate Fund to the United States one hundred percent (1CO %) of the theretofore unpaid Excess Investment Earnings. In the event that there are any amounts remaining in the Rebate Fund following the payment required by the preceding sentence, the Trustee shall pay said amounts to the City to be used for any lawful purpose of the City. The City shall direct the Trustee to remit payments to the Jnled States at the address prescribed by the applicable Regulations as the Same may on frern time to time in effect with such reports and statements as may be prescribed by such Regulations. In the event that, for any reason, amounts In the Rebate Fund are Insufficient to make the payments to the United Stales which are required by this subsection (d), the City shall assure that such payments are made by the City to the United States. on a timely basis, from any funds lawfully available therefor (S) Further Oblicatlon of City and Trustee. The City and the Trustee shall assure that Excess Investment Earnings are not pale or disbursed except as required In this Section 8.07 To that end, the City and the Trustee shall assure that Investment transactions are on an arm's length basis and that Nonpurpose Investments are acqulred at their fair market value. In the event that Nonpurpose Investments consist of certificates of deposit or Investment contracts, Investment In such Nonpurpose Investments shall be made In accordance with the procedures described In appliceble Regulations as from time to time in effect. (p Maintenance of Records. The City and the Trustee shall keep, and retain for a period of six (6) years following the payment of Lease Payments and Certificates In full, records of the determinations made pursuant to this Section 3.07 (g) Independent Consultants. In order to provide for the administration of this Section, the City and the Trustee may provide for the employment of Independent attorneys, accountants and consultants componsated on such reasonable basis as the City or the Trustee may deem appropriate. ,///D D -to- ARTICLE IX THE TRUSTEE Section 9.01 Appolntment of Trustee. Bank of America National Trust and Savings Association, a national banking association organized and existing under and by virtue of the laws of the United States of America with a principal corporate trust office in Los Angeles, California, Is hereby appointed Trustee by the Corporation and the City for the purpose of receiving all moneys required to be deposited with the Trustee hereunder and to allocate, use and apply the same as provided in this Trust Agreement. The Corporation and the City agree that they will maintain a Trustee which shall be a corporation organized and doing business under the laws of any state or the United States of America or the District of Columbia, authorized under such laws to exercise corporate trust powers, which shall have (or, in the case of a corporation Included In a bank holding company system, the related bank holding company shall have) a combined capital and surplus of at least fifty million dollars ($50,000.000), and subjcct to supervision or examination by federal or State authority, so long as any Certlficates are Outstanding If such corporation publishes a sport of condition at least annually pursuant to law of to the requirements of any supervising or examining authority above referred to then for the purpose of this Section 9.01, the combined capital and surplus of such corporation shall be deemed to be its combined capital and surplus as set forth In its most recent report of condition so published. In case at any time the Trustee shall cease to be eligible in accordance with the provisions of this Section 9.01, the Trustee shol! resign Immediately in the manner and with the effect specified in Section 9.07 The Trustee is hereby authorized to redeem the Certificates when duly presented for payment at maturity, or on redemption, or on purchase oy the Trustee prior to maturity in accordance with Section 4.00 hereof, and to cancel all Certificates upon payment thereof. the Trustee shall keep nccurats records of all funds administered by it and of all Certificates paid and discharged. The Trustee shall be compensated for Its services rendered pursuant to the provisions of this Trust Agieement. Section 9.02. Acceptance of Trusts. The Trustee hereoy accepts the trusts Imposed uoul it by this Trust Agreement, and agrees to perform said trusts, but only upon antl subject to the following express terms and conditions: The Trustee, prior to the occurrence of an Event of Default and after curing of all Events of Default which may have occurred, undertakes to perform such duties and only such duties as are specl0cally set forth In this Trust Agreement and no implied duties or obligations ,hall be read Into this Trust Agreement against the Trustee. In case an Event of Default has occurred (which has not been cured or walved), the Trustee may exercise such of the rights and powers vested In It by this Trust Agreement, and shall use the same degree of care and skill In their exercise, as a prudent and reasonable Individual or investor would exercise or use under the circumstances in the conduct of his own affairs. No prot'sion in this Trust Agreement shall require the Trustee to expend or nvk Its own funds or otherwise Incur any financial liability In the performance of any of its duties hereunder or in the exercise of any of Its rights or powers, if It shall have reasonable 410- grounds for believing that repayment of such funds or adequate indemnity against such risk or liability Is not reasorabty assured to It. The Trustee may execute any of the trusts or powers hereof and perform the duties required of it hereunder by or through attorneys, agent.l. or receivers and the Trustee shall not be responsible for any misconduct or negligence on the part of any attorney, agent or receiver appolnterf in accordance with the standard specified above, and shall be entitled tc Edvice of counsel concerning all matters of trust and Its duties hereunder The Trustee shall not be responsible for any recital herein, or In the Certificatea, or for any of the supplements thersto or Instruments of further assurance, or for the sufficiency of the security for the Certificates delivered aereunder or Intended to be secured hereby and the Trustee shall not be bound to ascertain or Inquire as to the observance or performance of any covenants, conditions or agreements on the part of the Corporation or the City under the Lease Agreement. The Trustee shall not be responsible or liable for any lose suffered In connection with any Investment of funds made by it in accordance with Article VIII of this Trust Agreement. The Trustee shall not be accountable for the use of any Certificates delivered hereunder The Trustee may become the Owner - pledgee of Certificates secured hereby with the some rights which It would have if it were not the Trustee; may acquire and dispose of other bonds or evidences of Indebtedness of the City with the same rights It would have If It were not the Trustee, and may act :s a depositary for and permit any of Its officers or directors to act as a member of, or in arty ether capacity with respect to. any committee formed to protect the rights of Owners of Certificates, whether or not such committee shall represent the Owners of the majority In principal amount of the Certificates then Outstanding. In the absence of bad faith on its part, the Trustee shall be protected in acting upon any notice, request, consent, certificate, order, affidavit, letter, telegram or other uaper or document belleved by It to be genuine and correct and to have been signed o• sent by the proper person or persons. Any action taken or omitted to be taken by the Trustee In good faith pursuant to this Trust Agreement upon. the request or authority o. consent of any pers,m who at the time of making such request or giving such authority or consent Is the Owner of err/ Certificate, shall be conc;usive and binding upon all future Owners of the same Certirtcate and upon Certificates executed and delivered In exchange therefor or In place thereof. As to the existence or non- existenc9 of any fact or as to the sufficiency or validity of any Instrument, paper or proceeding, the Trustee shall be entitled to rely upon a certificate signed by a Corporation Representative or a City Representative as sufficient evidence of the facts therein contained and prior to the occurrence of an Event of Default of which the Trustee has been given notice or Is deemed to have notice, shall also be at liberty to accept a similar certificate to the effect that any particular dealing, transaction or action Is necessary or expedient The Trustee may accept a certificate of an Corporation Representative or a City Representative to the effect that an authorization in the form therein set forth has been adopted by the Corporation or the City. as the case may be, as conc'usive evidence that such authorization has been duly adopted, and Is In full force and effect. _ /d- The permissive right of ,tee to do things enumerated In this Trust Agreement shall not be construes oty and it shall not be answerable for other than Its negligence or willful default. rho Immunities and exceptions from liability of the Trustee shall extend to Its officers, directors, employees and agents. The Trustee shall not be required to take notice or be deemed to have notice of air/ Event of Default hereunder except failure by the City to make any of the Lease Payments to the Trustee required to be made by the City pursuant to the Lease Agreement or failure by the Corporation or the City to file with the Trustee any document required by this Trust Agreement or the Lease Agreement to be so riled subsequent to the delivery of the Certificates, unless the Trustee shall be specifically notified In writing of such default by the Corporation, the City or by the Owners of at least five percent (5%) In aggregate principal amount of Certificates then Outstanding and all notices or other Instruments required by this Trust Agreement to be delivered to the Trustee must, in order to be effective, be delivered at the Principal Corporate Trust Office of the Trustee, and in the absence of such notice so delivered the Trustee may conclusively assume there Is no Event of Default except as aforesaid. The Trustee shall not be required to give any `;,nrd or suety in respect of the execution of the said trusts and powers or otherwise In respect of the premises. Notwithstanding anything alsewhera In this Tres' Agreement with respect to the execution of any Certificates, the withdrawal of arty cas L the release of any property, or any action whatsoever within the purview of this Trust Agreement, the Trustee shall have the right, but shall not be required, to demand t ny showings, certificates, opinions, appraisals or other Information, or corporate ectir.t or eatdence thereof, in addition so that by the terms hereof required as a condition of such action, by the Trustee deemed desirable for the purpose of establishing the right of the City to the withdrawal of any cash, or the taking of any other action by the Trustee. All moneys received by the Trustee shall, until used or applied or Invested as herein provided. be held in trust for the purposes for which they were racelved but rived not be segregated from other funds except to the extent required by law. The Trustee shall not be Ileble with respect to any action taken or omitted to be taken by It In good faith In accordance with the direction of the Owners of a majority In aggregate principal amount of the Outstanding Certificates relating to the time, method and plats of conducting any proceeding for any remedy available to the Trustee, or exercising any trust or power conferred upon the Trustee, und, this Trust Agreement. Before being required to take any action. the Trustee may require an opinion of Independent Counsel acceptable to the Trustee, which opinlo.r shall be made available to the other parties hereto upon request, which counsel mby Le counsel to any of the parties hereto, or a verified certificate of any party hereto, or hoth, conzeming the proposed action If It does so in good faith, the Trustee shall be absolutely protected In relying thereon. Under no circumstances shall the Trustee be liable In Its Individual capacity for the obligations evidenced by the Certificates 41� _pp_ The Trustee shall not be accountable for the us3 or applicaLan by the City or the Corporation or any other party of any funds which the Trustee has released In accordance with the terms of this Trust Agreement. The Trustee makes no representation or warranty, express or implied, as to the title. value, design, compliance with spscificatlons or legal requirements, quality, durability, operation, condition, merchantabllity or fitness for any particular purpose or fitness for the use contemplated by the City or the Corporation of the Site. In no event shall the Trustee be liable for Incidental, Indirect, special or consequential damages In connection with or arising from the lease Agreement or this Trust Agreement for the existence, furnishing or use of the Site. The Trustee makes no representations as to the validity or sufficiency of the Certificates and shall Incur no responsibility In respect thereof, other than in connection with the duties or obligatiuns herein or in the Certificates assigned to or Imposed upon It. The Trustee shall not be responsible for the sufficiency of the Lease Agreement or the assignment under the Assignment Agreement. The Trustee shall not be liable for the sufficiency or collection of any Lease Po ;ments or ether moneys required to be paid to it under the Lease Agreement (except as pruvidsd In this Agreement), Its light to receive moneys pursuant to the Lease Agreement, or the value of or title to the Site. In accepting the trust hereby created, the Trustee acts solely as Trustee for the Owners and not In Its Individual capacity and all persons. Including without limitation the Owners and the City or the Corporation having any claim against the Trustee arising from this Trust Agreement shall look only to the funds and accounts held by the Trustee hereunder for payment except as othervlso provided herein. Section 9.03. Fees Charges and Expenses of Trustee. The Trustee shall be entitled to payment and relmbursement for reasonable fees for Its services rendered hereunder and all sdvances, counsel fees (Including expenses) and other expenses reasonably and necessarily made or Incurred by the Trustee In connection with such services and. In the Event of Default, the Trustee shalt have a first and prior lion on the funds held hereunder to secure the samu. Section 904. Notice !o Gvrtificnte Owners of Default. If an Event of Default occurs of which the Trustee has been given or is deemed to have notice, then the Trustee shall promptly give written n.itice thereof by first class mail to the Owner of each Certificeto, unless such Event of Default shall have been cured before the giving of such notice: provided, however that unless such Event of Default consists of the failure by the City to make any Lease Payment when due, the Trustee may elect not to give such notice If and so long as the Trustee In good faith determines that It Is In the best Interests of the Certificate Owners not to give such notice. Section 9.05 intervention by Trustee. In any Judicial proceeding to which the Corporation or the (;try is a party whlch. In the opinion of the Trustee and Its counsel, has a substantial beating on the ! nterests of Owners of the Certificates, the Trustee may intervene on cehalf of the Certificate Owners, and shall do so it requested In writing ny the Owners of at least five percent (5 %) of the aggregate principal amount of Certificates then Outstanding: provided that the Trustee shall have no duty to take such aW!on unless it has been Indemnified to Its satisfaction for any expenses hereunder The rights and —23� obligations of the Trustee under this Section 9.05 are subject to the approval of a court of competent jurisdiction. Section 0.09. Removal of Trustee. The City or the Owners of at lea, majority of the aggregate principal amount of Certificates then Outstanding may, with consent of the Corporation, remove the Trustee Initially appointed, and any successor . ,irate, by an Instrument or concurrent Instruments In writing delivered to the Trustee and the Corporation, and may appoint a successor or Sur -.*tors thereto; provided that spy such successor shall be a bank or trust company mee. the requirements set forth In Section 9.01 hereof. Section 9.07 Reslenation by Trustee. The trustee and any successor Trustee may at any time, resign by giving thirty (30) days' wdltsn notice by registered or certified mall to the City and the Corporation. Upon receiving such notice of resignation, the City shall promptly appoint a successor Trustee. Any rer.,gnatlon or removal of the Trustee and appointment of a successor Trustee shall become effective upon acceptance of appointment by the successor Trustee. Upon such acceptance, the City shall mall notice thereof to the Certificate Owners at their respective addresses set forth on the Registration Books. Section 9.09. Appointment of Successor Trustee. In the event of the removal or resignation of the Trustee pursuant to Sections 9.09 or 9.07 hereof, respectively, the City shall promptly appoint a successor Trustee. In the event the City shall, for any reason whatsoever, fall to appoint a successor Trustee within thirty (30) days following the delivery to the Trustee of the Instrument described In %ctlon 9.06 hereof or within thirty (30) days following the receipt of notice by the City pursuant to Section 9.07 hereof, the Trustee may apply to a court of competent jurisdiction at the expense of the City for the appointment of a successor Trustee meeting the requirements of Section 9.01 hereof. Any such successor Trustee appointed by such court shall become the successor Trustee hereunder notwithstanding any action by the City purporting to appoint a successor Trustee following the expiration of such thirty (30) day period. Section 9.09. Mern, rr Consolidation. Ary company or association into which the Trustee may be merged or converted or with which it may be consolidated or any company resulting from any merger, conversion or consolidation to which It shall be a party or any company or association to which the Trustee may sell or transfer all or substantially all of Its corporate trust business, provided that such company or association shall be eligible under Section 9.01 hereof, shall be the successor to the Trustee and vested with all of the title to the trust estate and all of the trusts, powers, discretions, Immunities, privileges and all other matte—s as was Its predecessor, without the execution or filing of any paper or further act, anything heroin to the contrary notwithstanding Section 9.10. ConcerNo env Successor Trustee. Every successor Trustee appointed nereunder shall execute, acknowledge and deliver to Its or his predecessor and also the Corporation and the City an Instrument In writing accepting such appointment hereunder and thereupon such successor, without any Pinher act, deed or conveyance, shall become fully vested with all the estates, properties, rights, powers trusts, duties and obligations of Its predecessors, but such predecessor shall, nevertheless, on the written request of the City. or of Its successor, execute and deliver -48 + JY, an Instrument transferring to such successor all the estates, properties, rights, powers and trusts of such predecessor hereunder, and every predecessor Trustee shell deliver all securities and moneys hald by It as the Trustee hereunder to Its successor Should any Instrument In writing from the City be required by any successor Trustee for more fully and certainly vesting In such successor the estate, rights, powers and duties hereby vested or Intended to be vested In the predecessor, any and all such instruments In writing shell, on request, be executed, acknowledged and delivered by the City. The resignation of eny Trustee and the Instrument or Instruments removing any Trustee and appointing a successor hereunder, together with all othor Instruments provided for in this Article IX, shall ba filed or recorded by the successor Trustee In each recording office where the Asslgnmant Agreement shall have been pled or recorded. 0, —25— ARTICLE X MODIFICATION OR AMENDMENT OF AGREEMENTS Section 10.01 Amendments Permitted. This Trust Agreement and the rights and obligations of the Owners of the Cartllicates and the Lease Agreement and the rights and obligations Of the parties thereto, may be modified or amended at any time by a supplemental agreemein which shall become effective when the written consents of the Owners of at least fifty —one porcunt (51 %) In aggregate principal amount of the Certificates then Outstanding, exclusive of Certificates disqualified as provided In Section 10.03 hereof, shall have been fllecr with the Trustee. No such modification or amendment shall (1) extend or have the effect of extending the fixed maturity of any Certificate or reducing the Interest rate with respect thereto or extending the time of payment of interest or reducing the anteunt of principal thereof, or reducing any premium payable upon the redemption thereof, without the express consent of the Owner of such Certificate, or (2) reduce or have the effect of reducing the percentage of Certificates required for the affirmative vote or written consent to an amendment or modification of the Lease Agreement, or (3) modify any of the rights or obligations of the Trustee without Its written assent thereto. Any such supplemental agreement shall become effective as provided in Section 10.02 hereof. This Trust Agreement and the rights and obligations of the Owners of the Certificates and the Lease Agreement and the rights and obligations of the respective parties thereto, may be modified or amended at any time by a supplemental agreement, without the consent of any such Owners, but only to the extent permitted by law and only (1) to add to the covonants and agreements of any party, other covenants to be observed, or to surrender any right or power herein reserved to the Corporation or the City. (2) to cure, correct or aupplomsnt any ambiguous or defective provision contained herein or therein and which shall not. In the opinion of nationally recognlzed bond counsel, adversely affect the Interests of the Owners of the Gertltirates, (3) in regard to questions arising hereunder or thereunder, as the parties hereto or thereto may deem necessary or desirable and which shall not, In the opinion of nationally recognized bond counsel, adversely affect the Interests of the Owners of the Certificates. (4) to modify the legal description of the Site to conform to the requirements of title Insurance or otherwise to add or delete property descriptions to reflect accurately the description of the parcels Intended to be included therein; or (5) to make such additions, deletions or modifications es may be necessary or appropriate to assure compliance with section 148(l) of the Code relating to required rebate of Excess hvestment Earnings to the United States or otherwise as may be necessary to assure the exclusion from gross Income for federal Income tax purposes of the Interest component of Lease Payments and the Interest payable with respect to the Certificates. Any such supplemental agreement shall become effective upon execution and delivery by the parties hereto or thereto, as the case may be Section 10.02. Procedure for Amendment with Written Consent of Certificate Owners. This Trust Agreement and the Lease Agreement may be amended by supplemental agreement as provided In this Section 10.02 In the event the consent of the Owners of the Certificates is required pursuant to Section 10.01 hereof. A copy of such supplemental agreement, together with a request to the Certificate Owners for their 8287 consent thereto, shall be mailed by the Trustee to each Owner of a Certificate, at his address as set forth on the Registration Boo'fs, but failure to mail copies of such supplemental agreement and request shall not affect the validity of the supplemental agreement when assented to as in this Section 10.02 provided. Such supplemental agreement shall not become effective unless there shall be filed with the Trustee the written consents of tl,e Ovmers of at least sixty percent (60 %) In aggregate principal amount of the Certificates thc. Outstanding (exclusive of Certificates disqualified as provided In Section 10.03 hereof), end a notice shall have been mailed as hereinafter In this Section 10.02 provided. Each such consent shall be effective only If accompanied by proof of ownership of the Certificates for which such consent Is given, which proof snail be such as Is permitted b1 Section 2.11 hereof Any such consent shall be bl -ding upon the Owner of the Certificate giving such consent and on any subsequent Owner (whether or not such subsequent Owner has notice ther000 unless such consent Is revoked In wnting by the Owner glvinp ouch consent or a subsequent Owner by filing such revocation with the Trustee prior to the data when the notice hereinafter In this Section 10.02 provided for has been mailed. After the Owners of the required percentage of Certificates Shall have filed their consents to such Supplemental agreement, the Trttstee shall mail a notice to the Owners of the Certificates in the manner hereinbsfo.e provided In this Section 10.02 for the mailing of such supplemental agreement of the notice of adoption thereof, stating In substance that such supplemental agreement has been consented to by the Owners of the required percentage of Certificates and will be effectivo as provided In this Section 10.02 (but failure to mail copies of said notice shall not affect the validity of such supplemental agreement or consents thereto). A reco,d, consisting of the papers required by this Section 10.02 to be filed with the Trustee, shall tie conclusive proof of the matters therein stated. Such supplemental agreement shall become effective upon the mailing of such last — mentioned notice, and such supplemental agr 3ment shall be deemed conclusively binding upon the parties hereto and the Owners of all Certificates at the expiration of sixty (60) days after such filing, except in the event of a final decree of a court c enpetent Jurisdiction setting aside such consent in a legal action or equitable pru --jing for such purpose commenced whNn such sixty (60) day period. Section 10.03. Dlsauallaed Certificates. Certificates owned or held by or for the account of the City or by any person directly or Indirectly controlled or controlled by, or under direct or Indirect common control with the City (except any Certlllcates held in any pension or retirement fund) shall not be deemed Outstanding for the purpose of any vote, consent, waiver or other action or any calculation of Outstan7lrg Certificates provided for in this Trust Agreement, and shall not be entitled to vote upon, consent to, or take any other action provided for In this Trust Agreement. Section 1004 Effect of Supplemental Agreement. From and after the time any supplemental agreement becomes effective pursuant to this Article X. this Trust Agreement or the Lease Agreemant. as the case may be. shall be deemed to be modified and amended In accordance therewith, the respective rights, duties and obligations of the parties hereto or thereto and all Owners of Certificates Outstanding, as the case may be, shall thereafter be determined, oxercised and enforced hereunder subject In ell respects to such modification and amendment, and all the terms and conditions of any supplemental agreement shall be deerred to be part of the terms and q1& —27— CJ conditions of this Trust Agreement or the Lease Agreement, as the case may be, for any r and all purposes. ' er Each Certificate Owner, shall certify to the Trustee whether the Certificates as to whlrh such consent Is given are disqualified as provided In Section 10.03 hereof. Section 10.05. Endorsement or Realacement of Certificates Delivered Attar Amendments. Tho Trustee may uetermine that Certificates delivered after the effective yf.. date of any action taken as arovlded In this Article X shall beer a notation, by endorsement or otherwise, In forth approved by the Trustee, as to such aotlon. In that case, upon demand of the Owner of any Certificate Outstanding at such effective date and presentation of his Certificate for the purpose at the Principal Cnrpamto Trust Office of the Trustee, a suitable notation shell be made on such Certificate. The Trustee may determine that the delivery of substitute Certificates, so modified as In the opinion of the Trustee is necessary to conform to such Certificate Owners' action, which substitute Certificates shall thereupon be prepared, executed and delivered. In thet csce, upon demand of the Owner of any Certificate then Outstanding, such substitute Ceniflcate i• shall be exchanged at the Principal Corporate Trust Office of the Trustee, without cost to such Owner, for a Certificate of the same character then Outstanding, upon surrender of such Outstanding Certificate. Section 10.06. Amendatory Endorsement of Certificates. The provisions of this Article X shell not prevent any Certificate Owner from accepting any amendment as to the particular Certificates held by him, provided that prpor notation thareof Is made on such Certificates. `x!22 ARTICLE XI COVENANTS; NOTICES Section 11.01 Compile ce With and Enforcement of Lease Agreement. The City covenants and agrees with the Owners of the Certificates to perform all obligations and duties Imposed on it under the Lease Agreement. The Corporation covenants and agrees with the Owners of the Certificates to perform all obligations and duties Imposed on it under the Lease Agreement. The City will not do or permit anything to be done, or omit or refrain from doing anything. In any case where any such act done or permitted to be done, or any such omission of or refraining from action, would or might be a ground for cancellation or termination of the Lease Agreement by the Corporation thereunder The Corporation and the City, immediately upon receiving or giving any notice, communication or other document In any way relating to or affecting their respect! ,e Interests In the Site, which may or can In any manner affect the Interests of the City will deliver the same, or a copy thereof, to the Trustee. Sertlon 11.02. Observance of Laws and Regulations. The City will well and truly keep, observe and perform ali valid and lawful obligations or regulations now or hereafter Imposed on it by contract, or prescribed by any law of the United States, or of the State, or by any officer, board or cumm;ssion having Jurisdiction or control, as a condition of the continued enjoyment of any and every right, privilege or franchise now owned or hereafter acquired by the City. Including Its right to exist and carry on business as a municipal corporation, to the end that such rights, privileges and franchises shall be maintained and proserved, and shall not become abandoned, forfeited or in any manner Impaired. Section 11.03. Prosecution and Defense ofSuits. The City shall promptly, upon request of the Trustee or any Cortiflcate Owner, from time to time take such action as may be necessary or proper to remedy or cure any defect In or cloud upon the title to the Site, whether now existing or hereafter develnping and shall prosecute all such suits, actions and other proceedings as may be appropriate for such purpose and shall Indemnify and save the Trustee and every Certificate Owner harmless from all loss, rust, damage and expense, including attorneys' fees, which they or any of them may Incur by reason of any such defect, cloud, suit, action or proceec ig. Section 11.04. Recordation and Filing. The City shall record and file, or cause to be recorded and filed, the Lease Agreement (or a memorandum thereo0, the Assignment Agreement and all such documents as may be squired by low (and shall take all furthe- actions which may be necessary or be reasonably required by the Trustee), all In such manner at such times and In such places as may be required by law in order fully to preserve, protect and perfect the security of the Trustee and the Certificate Owners. In furtherance thereof, the City shall record and re- record, or cause to be recorded and re- recorded the Site Lease. the Lease Agreement and any amendment thereto. 4j -29- ri Section 11.05. City Budgets, The City shell supply to the Trustee, on or about July 1 In each year a written determination by a City Representative that the City has made adequate provision In Its proposed annual budget for the payment of Lease Payments due under the Lease Artrsement In the fiscal yep, covered by such budget. * Such determination chall be mac as soon as practicable after the first publication of any notice of public hearing upon the proposed budget of the City and eh31I be made, In any event, not later than the date fixed for any'publie hearing on the proposed budget. 'r= The determination given by the C; 7 to the Trustee shall be that the amounts so budgeted �., are fully adequate for the payment of sit Lease Payments due under, the Lease }, Agreement In the annual period covered by such budget. If the amounts so budgeted a� are not at least equal to the amount of the Lease Payments coming due and payable under the Lease Agreement. the City will take such action as may be necessary to cause such annual budget to be amended, corrected or augmented so ea to Include therein the amounts required to be raised by the City In such period for the payment of Lease Payments coming due and payable under the Lease Agreement and will notify the Tnstee of the proceedings then taken of proposed to be taken by the City. The City will keep the Trustee advised of all budgetary proceedings thereafter taken by the City. j• Section 11.08• Further Assurances. The Corporation and the City will make, execute and deliver any and all such further resolutions. Instruments and assurances as may be reasonably necessary or proper to carry out the Intentlon or to facilitate the performance of this Trust Agreement and the Lease Agreement, or as may be requested by the Trustee and for the better assuring and confirming unto the Owners of the Certificates and the Trustee the rights and benefits provided herein. Section 11.07 Satisfaction of Oogrthlons Precedent. The City hereby certifies, recites and declares that all acts, conditions and things required by the constitution and statutes of the State, the Leese Agreement and this Trust Agreement to exist, to have happened and to have been performed precedent to and In the delivery of the Certificates, do exist, have happened and have been performed In due time, form and manner as required by low. 441 ARTICLE XII LIMITATION OF LIABILITY Section 12.01 Umlted Liability of City. Except for the payment of Lease Payments when due in accordance with the Lease Agreement and the peJormence of the other covenvnts and agreements of the City contained In the Leese Agreement and this Trust Agreement, the CIh/ shall have no pecuniary obligation or Ileblllty to any of the other parties or to the Owners or the Certificates with respect to this Trust Agreement or the terms, execution, delivery or transfer of the Certificates, or the dlstributlon of Lease Payments to the Owners by the Trustee. except as expressly set forth herein. Section 12.02. No Llab(Ilty of City or Corporation for Trustee's Performance. Neither the City nor the Corporation shell have any obligation or liability to any of the other parties or to the Owners of the Certificates with respect to the performance by the Trustee of any duty Imposed upon It under this Trust Agreement. Section 12.03. Indemnification of Trustee. The C.ty shall indemnify and save the m Trustee harmless fro and against all claims, loss5s, costs, expenses. liability and damages. Including legal fees and expenses, ansing out of (1) Ina use, maintenance, condition Or management of, or from any work �' thing done on. the Site by ;he Corporp'lon or the City, (11) any breach or default on the part of the Corporation or the City ui the performance of any of their respective obligations under this Trust Agreement and any other agreement made and ertered Into for purposes of the Site, pip any act of negligence of the Corporation or the City or of any of their respective agents. contractors. servants, employees, licensees with respect to the Silo. pv) any act of negligence of any assignee oL or purchaser from the Corporation or the City or of any of Its or their respective agents, contractors. servants, employees o- licensees with respect to the Site, (v) the authorization of payment or Delivery Costs or Acquisition Costs. (vi) the actions of any other party, Including but not limited to the ownership, operation or use of the Site by the Corporation or the City, or (vlp the Tmstee's exercise and performance of Its powers and duties hereundor No Indemnification will be made under this Section 12.03 of elsewhere In this Trust Agreement for willful misconduct or negligence under this Trust Agreement by the Trustee. Its officers, agents, employees, successors or assigns. The City's obligations hereunder shall remain valid and binding notwithstanding maturity and payment of the Certificates. Section 1204. Limitation of Rlahis to Parties and Corti Owners. Nothing In this Trust Agreement or In the Cenlficates expressed or Implied Is Intdnded or shalt be construed to give any person other than the City, the Corporation, the Trustee and the Owners of the Certificates, any legal or equitable right, remedy or claim under or In respect of th,s Tnist Agreoment or any covenant, condition or provision hereof; and all such covenants, conditions and provisions are and snail be r the sole and exclusive benefit of the City, the Corporation, the Trustee and raid Ownn.e. /O'�- -31- ARTICLE Xw EVENTS OF DEFAULT AND REMEDIES OF CERTIFICATE OWNER;, Section 13.01 Assignment of Rlghts. Pursuant to the o)sslgnment Agreement, the Ccrporatlon has transirrod, assigned or ;..,,,t ova: to the Trustee ail of the CorporatiOn's rights and duties In and to the Lease Agreement (excepting only the Corporation's rights under Sections 5.8, 7,3 and 0.4 thereof), Including without Ilmite "in all of the Corporation's rights to exercise such -tghte and remedies conferred on tho Corporation Pursuant to the Lease Agreement oa may be necessary or convenient (I) to enforce payment of the Lease Payments and any other amounts required to be deposited In the Lease Payment Fund or the Insurance and Condemnation Fund, and (Ip otherwise to exercise the Corporation's rights and take any action to protect the Interests of the Trustee or the Certificate Owners In an Event of Default. Section 13.02. Remedies, If an Event of Default shall happen, then and In each and every such case during the continuance of such Event of Default, the Trustee may, and upon request of the Owners of a majority in aggregate principal amount of the Certificates then Outstanding shall, exercise any and oil remedies available pursuant to law or granted pursuant to the Lease Agreement provldod, however, that notwithstanding anything herein or In the Lease Agreement to the contrary, there shall be no right under any circumstances to accelerate the maturities cl the Certificates or otherwise to declare any Lease Payment not then In default to be immediately due and payable. Section 13.03. Appliea•,ion of Funds. All moneys received by the Trustee pursuant to any right given or action token under the provisions of this Article All or Article IX of the Lease Agreement shall be applied by the Trustee In the following order upon p,esentation of the several Certificates, and the stamping thereon of the payment If only partialy paid. or upon the su render thereof If fully paid — First, to the payment of the costa and expensoc of the Trustee and of the Certificate Owners in declaring such Event of Defauit. Including reasonable compensation to Its or their agents, attorneys and counsel. Including all fees and expenses past due; [end Second, to the payment of the whole amount then owing and unpaid with respect to the Certificates for principal and Interest, with Interest on the overdue prWcipal and Installments of Interest at the rate of twelve percent (12 %) per annum (but such Interest on overdue installments of Interest shall be paid only to the extent funds are available therefor following payment of principal and Interest. and Interest on overdue principal, as aforesalo), and in case such moneys shall be Insufficient to pay In full the whole amount so owing and unpaid with respect to the Certificates, then to the payment of such nrinclpal and Interest without preference or priority of principal over Interest, or of Interest over principal, or of any installment of Interest over any other Installment of interest, (stably to the aggregate of such principal and Interest. —32— Section 13.04. Institution of Legal Proceedings. II one or more Events of Default shall happen and be continuing, the Trustee in its discretion may, and upon :h, written request s and ng the n being Indemnri led In t pits satisfaction therefore, halli0proce^d to protact or enforce Its rights or tha rights of the Owners of Certincates by a suit In equity or action at law, either for the specific performance of any covenant or agreement contained herein, or in aid of the execution of any power herein granted, or by mandamus or other appropriate proceeding for the enforcement of any other legal or equitable remedy as the Trustee shall deem most effectual In support of any of Its rights or duties hereunder Section 13.05. Non - waiver. Nothing in this Article All or In any other provision of this Trust Agreement or In the Certificates shell affect or Impair the obligation of the City to pay or prepay the Lease Payments as provided in the Lease Agreement, or affect or Impair the right of action, which Is absolute and unconditional, of the Certificate Owners to Institute suit to enforce and collect ouch payment. No delay or omission of the Trustee or of any Owner of any of the Cortlfh:ates to exercise any fight or power arising upon the oeeuTance of any Event of Default shall Impair any such right or power or shall be construed to be a 'waiver of any such Event of Default Of an acquiescence therein, and every power and remedy given by this ArLcle XIII to the Trustee or to the Owners of Certificates may be exercised from time to time and as often as shall be deemed expedient by the Trustee of the Certificate Owners. Section 13.08. Remedies Not Exclusive. No remedy herein conferred upon or reserved to the Trustee or to the Certificate Owners Is Intended to be exclusive of any other remedy, and every such remedy shall be cumulative and shall be in addition to every other remedy given hereunder or now or hereafter edsting, at law or In equity or by statute or otherwise. Section 13.07 Power of Trustee to Control Proceedings. In the event that the Trustee, upon the happening of an Event of Default, shall have taken any action, by Judicial proceedings or otherwise, pursuant to Its duties hereunder, whether upon Its own discretion or upon the request of the Owners or it majority In principal amount of the Certificates then Outstanding It shall have full 6 ^war. In the exercise of its discretion for the best Interests of the Owners of the Certlflc,.tos, with respect to the continuance, discontinuance, withdrawal, compromise, settlemcn, or other disposal of such action; Provided, however that the Trustee shell not discontinue, withdrew, compromise or settle, or otherwise dispose of any litigation pending at law or In equity, without the consent of a majority In aggregate principal amount of the Certificates Outstanding. Section 13.08. Limitation on Certificate Owners' Right to Sue. No Owner of any Certificate Issued hereunder shell have the right to institute any suit, action or proceeding at law or in equity, for any remedy under or upon this Trust Agreement, unless (a) such Owner shall have previously given to the Trustee written notice of the occurrence of an Event of Default hereunder* (b) the Owners of at least twenty -five percent (25 %) In aggregate principal amount of all the Certificates then Outstanding shalt have made written request upon the Trustee to exercise the powers hereinbefore granted or to Institute such action, suit or proceeding in Its own name; (c) said Owners shall have tendered to the Trustee reasonable indomnity against the costs, expenses and liabilities to be Incurred In compliance with such request; and (d) the Trustee shall have refused or M Omitted to comply with such request for a period of sixty 110) days alter such written request unall have been received by, and said tender of Indemnity shall have been made to, the Trustee. t: declared. In evtery Case. to request. tender conditions precedent to refusal or any Cwnerof Certificated of any remedy hereunder, It being understood and Intended that no one or + more Owners of Certificates shall have any right In any manner whatever by his or their action to enforce any right under this Trust Agreement, except In the manner herein provided, and that all proceedings at law or In equity with respect to an Event of Default shall be Institutod, had and maintained in the manner herein provided and for the equal benefit of all Owners of the Outstanding Certificates. The right of any Owner of any Certificate to receive payment of said Owner's tractional Interest In the Lease Payments as the some become due, or to Institute suit for the enforcement of such payment, Shall not be Impaired or alfWad without the consent of such Ownor, notwithstanding the foregoing provisions of this Section 13.05 or any ` other provision of this Trust Agreement. i -34- ARTICLE XIV MISCELLANEOUS Section 14.01 1efeasonce. If and when all Outstanding Certificates shall be paid and discharged in any one or more of the following ways - (a) by well and truly paying or causing to be paid the principal, and Interest and redemption premiums (if any) with respect to all Certificates Outstanding, as and when the same become duo and payable; or (b) by depoNting with an escrow holder security for the payment of Leare Payments as more riarticulary described in Section 10.1 01 the Lease Agreennont, to be applied to pay the Lease Payments as the same become due and payable and prepay the Lease Paymenta in full on any prepayment date, pursuant to Section 10.1 of the Lease Agreement - then, notwithstanding that any Cortiflcatra shall not have been surrendered for payment, all obligations of the Corporation, tha Trustee and the City with respect to all Outstanding Certificates shall cease and terminate, except only the obligation of the City to pay or cause to be paid, from Lease Oayments paid by or on behalf of the City from funds deposited pure'--ant to paragraph (L) of this Section 14.01, to the Owners of the Certificates not so surrendered and paid all sums due with respect thereto, and in the event of deposits pursuant to paragraph (b), the Certificates shall continue to represent direct and fractional interests of the Owners therbof in Lease Payments under the Lease Agreement. Any funds held by the Trustee, at the time of ono of the events described in paragraphs (a) or (b) of this Section 14.01, which are not required for the payment to be made to Owners, shall, after payment of all fees and expenses of the Trustee, Including at'.ameys fees, be paid over to the City. Section 14.02. RLaords. The Trustee shall keep complete and accurate records of all inonryc received and disbursed by It under this Trust Agreement, which shall be avallabib for Inspection by the City, the Corporation, and any Owner, or the agent of any of them, at any time during regular business hours upon reasonable prior notiC.3. Section 14.03. Notices. All written notices to be given under thfo Trust Agreement shall be given by mall or personal delivery to the party entitled thereto at Its address set forth below, or at such address as the party rn2y pro* Ida to the other party In writing from time to time. Notice shall be efbnctivo upor, depas r ,n the United States mail, postage prepaid or, in the case of personal d0very, upon dollvery to the address ast forth below If to the City City of Rancho Cucamonga 0320 Baseline Road Rancho Cucamonga, CA 01730 Attention: City Clerk 4k- If to the Corporation: Rancho Cucamonga Public Improvement Corporation 9320 Bssaline Road Rancho Cucamonga. CA 91730 41tentlon: Secretary It to the Truste 3: Bank of America National Trust and Savings Association 555 South Flower Street, 5th Floor Los Angeles. CA 90071 Attention: Corporate Trust Services #8510 Section 14.04, Governing Law. This Trust Agreement shall be construed and governed In accordance with the laws of the State. Section 14 05. Binding Effect: Successore. This Trust Agreement sheli be binding upon and Inure to the benefit of the parties hereto and their respective sa.:cessors and assigns. Whenever In this Trust Agreement the Corporation, the City or the Trustee Is named or referred to, such reference shall be deemed to Include the successors or assigns thereof, and all the covenants and agreements In this Trust Agreement contained by or on behall of the Corporation, the City or the Trustee shall bind and Inure to the benefit of the respective successors and assigns thereof wtether so expressed or not. Section 14.08. Execution In Counterparts. This Trust Agreement may be erecuted In several counterparts, eac'1 of which shall be an originsl and all of which shall constitute but one and the same agreement. Section 14V Dolivery of 0 ncelied Certificates, Whenever In this Trust Agreement prov.�Ion Is made for the surrender to or cancellation by the Trustee of any Certificates, the Trustee shell deliver such cancelled Certificates to thn City for destruction or storage. Section 14.08. Headings, The headings or titles if the several Articles and Sections hereof, and any table of contents appended to copies hereof, shall be solely for convenience of reference and shall not affect the meaning, construct!on or effect of this Trust Agreement. All references hereln. to 'Articles,' 'Sections,' and other subdivisions are to the corresponding Articles, Sections or subdivisions of this Trust Agreement; and the words 'herein,' 'hereof,' 'hereunder' and other words of similar Import refer to this Trust Agreement as a whole and not to any particular Article. Section or subdivision hereof Section 14 09. Waiver of Notice. Whenever In this Trust Agreement the giving of notice by mail or otherwise Is required, the giving of such notice may be waived In writing by the pe, son entitled to receive such notice and In any case the giving or receipt of such notice shall not be a condition precedent to the validity of any action teAan In reliance upon such waiver Section 14.10. Separablhty or Invalid Provisions. In case any ore or more of the provisions contained In this Trust Agreement or In 'he Cerfllicates shall for any reason be held to be invalid. illegal or unenforceable IInYany respect, then such Invalidity, illogality or —387 unenforceability shall not affect any other provision of this Trust Agreement, and this Trust Agreement shall be construed as If such invalid or Illegal or unenforceabin provision had never been contained herein. The parties hsreto hereby declare that they would have entered Into this Trust Agreement and each and every other section, paragraph. sentence, clause or phrase horeof and Whorled the delivery of the Cenl3cates pursuant thereto irrespective of the fact that any one or more sections, paragraFtis, sentences, clauses or phrases of this Trust Agreement may be held atsgal. Invalid or unenforceable. �48 —37— IN WITNESS WHERE -uF. the Parties hereto have executed this Trust Agreement as of the date and year first above written. BANK OF AMERICA NATIONAL TRUST AND SAVINGS ASSOCIATION. as Trustee By Authorized 0lncar RANCHO CUCAMONGA PUBLIC IMPROVEMENT CORPORATION By IS E A L) Presldent Attest: ISEAL) Attest: Secretary City Clerk CITY OF RANCHO CUCAMONGA By Mayor 44-9 -39- �a MI,K! lM1M'AIM,h Ib IYY fIgLM !Y]0 EXHIBIT A DEFINSTIONS 'Acquisition Costs' means all costs of payment of, or reimbursement for, acquisition of the Site. 'Acquisition Fund' means the fund by that name established and held by the Trustee pursuant to Article III of the Trust Agreement. 'Assignment Agreement' means the Assignment Agreement" dated as of Decal :bar 1, 1988, by and between the Corporation and the Trustee, together with any duty authorized and executed amendments thereto. 'Business Day' means a day which Is not a Saturday, Sunday or legal holiday on which banking institutions In the State are closed or are roqulred to close or a day on which the New York Stock Exchange Is dosed. 'Certificate Of Completion' means the certificate of a City Representative certifying that the Site has been acquired by the City and that all Acquisition Costs with respect thereto have been paid. 'Certificates' means the S aggregate principal amount of certificates of participation to be executed and delivered pursuant to the r rust Agreement. 'CCU' means the City of Rancho Cucamonga, a municipal corporation and general law city organized and existing under the laws of the State. 'City Representative' means the Mayor, the City Manager or the Finance Manager or any other person authorized by resolution of the City Council of the City to act on behalf of the City under or with respect to the Site Lease, the Lease Agreement and the Trust Agreement. 'Closing Date' means the date upon which there Is a physical delivery of the Certificates In exchange for the amount representing the purchase price r the Certificates by the Original Purchaser 'Code' means the Internal Revenue Code of 1988. 'Completion Date' means the date of completion of acquisition of the Site as evidenced by the filing with the Trustee of a Certificate of Completion. - Comoraticn' means the Rancho Cucamonga Public Improvement Corporation, a nonprofit, public benefit corporation organized and existing under and by virtue of the laws of the State. 'Corporation Representative' means the President of the Corporation, or any other person authorized by resolution of the Corporation to act on behalf of the Site Lease. the Lease Agreement, the Assignment Agreement and the Trust Agreement. ` 7,--10 Exhibit A Page 1 'Delivery Costs' means all Items of expense directly or Indirectly payable by or reimbursable to the City or the Corporation relating to the execution and delivery of the Site Lease, the Lease -Agreement. the Assignm4nt Agreement and the Trust Agreement or the execution, sale and delivery of the Certificates. Including but not Iimitec r filing and recording costs, settlement costs. printing costs, reproduction and binding costs, Initial fees and charges of the Trustee, financing discounts, legal fees and charges. Insurance fees and charges, financial and other professional consultant fees, costs of rating agencies for credit ratings, fees for execution, transportation and safekeeping of the Certificates. costs for preparation, printing aria distribution of preliminary and final official statements, and charges and fees m connection with the foregoing. 'Delivery Costs Fund' means the fund by that name established and held by the Trustee pursuant to Article III of the Trust Agreement. 'Earnings Fund' means the fund by that name created by, and held by the Trustee pursuant to, Sectlon 8.07 of the Trust Agreement. 'Event 0 Default' means an event of default under the Lease Agreement, as defined fn Sectlon g.t thereof. 'Excess Investment Earnings' means an amount equal to the, sum of: (a) the excess of III the aggregate amount earned on all Nonpurpose Investments (other than amounts attributable to an excess described in this paragraph (a)), over (t0 the amount which would have been earned if the Yleld on such Nonpurpose Investments (other than amounts attributable to an excess described In this paragraph (a)) had been equal to the Yield of the Lease Agreement., plus (b) any Income attributable to the excess described in paragraph (a) Federal Securities' means direct general obligations of (including obligations ISS.Ied or held in bock entry form on the books of the Department of the Treasury of the United States of America), or obligations the payment of principal of and Interest on which sus gua•anteed by, the United States of America. 'Fiscal Year' means the twelve -month period beginning on July 1 of any year and ending on June 30 of the next succeeding year, or any other twelve -month period selected by the City as hs fiscal year 'Gross Proceeds' means the sum of the following amounts: (a) original proceeds, namely, net amounts received by or for the City as a result of the sale of the Certificates, excluding original proceeds which become transferred proceeds (determined In accordance with applicable Regdlations) of obligations Issued to refund In whole or In part the Lease Agreement; 4 *,ItI Exhibit A Page 2 (b) investment proceeds, namely, amounts received at any time by or for the City, such as Interest and dividends, resulting from the Invesiment of any original proceeds (as referenced In clause (a) above) or investment proceeds (as referenced In this clause (b)) In Nonpurpose Investments, increased by any profits and decreased Of necessary, below zero) by any losses on such Investments, excluding Investment proceeds which become transferred proceeds (determined in accordance with applicable Regulations) of obligations Issued to refund In whole or In part the Lease Agreement; (c) sinking fund proceeds, namely, amounts, other than original proceeds, Investment proceeds or transferred proceeds (as referenced In clauses (a) and (b) r;buve) of the Certificates, which are held in the Lease Payment Fund and any other fund to the extent that the City reasonably expects to use such other fund to pay Lease Payments; (d) amounts in the Reserve Fund and In any other fund established as a reasonably required reserve for payment of Lease Payments; (e) Investment Property pledged as security for payment of Lease Payments by the City; and (O amounts, other than as specified In this definition, used to pay Lease Payments; (g) amounts received as a result of Investing amounts described in this definition. 'Independent Counsel' means an attorney truly admltted to the practice of law before the highest court of the state In which such attomey naintains an office and who Is not an employee of the Corporation, the Trustee or the City. 'Information Services' means Financial Information, Inc.'s 'Dally Called Bond Service.' 30 Montgomery Street, 10th Floor, Jersey City, New Jersey 07302, Attention: Editor Kenny Information Services' 'Called Bond Service,' 55 Broad Sheet, 28th Floor, New York. New York 10004; Moody's 'Municipal and Government,' 99 Church Street, 8th Floor New York. New York 1OJ07, Auantion: Municipal News Reports: and Standard 8 Poor's 'Called Bond Record,' 25 Broadway. 3rd Floor New York, Now York 10004; or to such other addresses ano /or such other national Information services providing information or disseminating notices of redemption of obligations similar to the Certificates. 'Insurance and Condemnation Fund' means the fund by that name established and hnld by the Trustee pursuant to Section 7.01 of the Trust Agreement. 'Interest Payment Date' means the first day of each June and December commencing June 1 1989, so long as any Certificates are Outstanding. 'Investment Property' means any security (as said term is defined in section 165(g)(2 )(At or (B) of the Code), obligation, annuity contract or investment -type property. excluding, however obligations (other than specified private activity bonds as defined In section 57(a)(5)(C) of the Code) the interest on which is excluded from gross Income, for federal tax purposes, under section 103 of the Code Y� Exhibit A Page 3 'LeaseLease —ent- means the Lease Agreement, dated as of December 1, 1988, by and between Corporation slid the Clt , executed amandmems thereto. Y together with an duly y authorized and 'Lease Pavment Oate' each year ase P the of the Lease h fifteenth (15th) day of May and November in Agreement. commencing May 15, 1989. 'Lease pa en Fund' Trustee —`— means the fund by that name established and held by the pursuant to Section 5,02 of the Trust Agreement. 'Leasso Pgyments" means all payments required 20 be paid b Section 4.4 of Leave Lease Agreement, Including any prepayment thereof Pursuant Pursuant to Article X of the Y the City a Principal Component. which payments consist of an Interest component and T P ponent. successors. 'fvlood s' means Moody$ Investors Service, New York, Now Y ork• or Its 'Net Proceeds ' means any Insurance , Place used with respect to Insurance °r condemnation roc the extent remaining alaceetls or condemnation award paid with respect proceeds. thereof Payment therefrom of all expenses Incurred In th c$Ite, to b°tlen 'NOnouro0c � 'nent' the Gross P —�� means any Investment Property which is rocep s of the Certificates and I. not acquired n order to carry Out with governmental purpose of the lease Agreement carry out the "Ori°tnal Purchaser' delivery by the In-the means the first purchaser of the Certificates Closing Date, upon their 'Outstandln°,• when used as of any particular time with rite means (Subject to the provisions of S theretofore executed and delivered b ectlon 10.03 Of the Trutt Agreement) t l Certificates, y the Trustee under the Trust Agreement all except ates (a) Certificates theretofore cancelled b 9 ement except - 1°r cancellation; y the Trustee or Surrendered to the T nn,tea (b) Certificates for the payment or redemption of Securities in the necessary amount shall have theretofore Trustee (whether u which funds or Federal Trusteed that, if such or Prior to the maturity or redemption been f Such Co with the redemption Certificates are to be redeemed p e °1e °f such Cartificatea), provision satisfactory been given as Provided In Section q 03 Of maturity, notice of such and ry to the Trustee shall hove been made for Oft e Tr st Agreement or 9 g of such notice, fir Certificates In lieu Of or In exchange for which other been executed and delivered by the Trustee pursuant to Section 2.09 of the Trust Agreement. Certificates shall have `� 33 Exhibit A Page 4 'Owner' or 'Certificate Owner' or 'Owner of a Certificate', or any similar term, when used with respect to a Certificate means the parson In whose name such Certificate shall be registered. 'Permitted Encumbrances' means, as of any particular time: (a) (lens for general ad valnrem taxes and assessments, If any, not then delinquent, or which the City may, pursuer,, to provisions of Article V of the Lease Agreement, permit to remain unpaid; (b) the Assignment Agreement: (c) the Lease Agreement; (d) any right or claim of any mechanic, laborer, materialman, supplier or vendor not filed or perfected In the manner Prescribed by law; (e) easements, rights of way, mineral rights, drilling rights and other rights, reservations, covenants, conditions or . estrictions which exist of record as of the CloFing Date and which the City certifies In writing will not materially Impair the use of the Site; and (f) easements, rights of way, mineral rights, drilling rights and other rights. reservations. covenants, conditions or restrictions established following the date of recordation of the Lease Agreement and to which the Corporation and the City consent In writing, 'Permitted Investments' means any of the following: (a) Federal Securities; (b) debentures of the Federal Housing Administration; (c) obligations of the following agencie, which are not guaranteed by the United States of America: 6) participation certificates or debt obligations of the Federal Home Loan Mortgage Corporation; 66 consolidated system -wide bonds and notes of the Farm Credit Banks (consisting of Federal Land Banks, Federal Intermediate Credit Banko and Banks for Cooperatives); pil) consolidated debt obligations or letter of credit- backed Issues or the Fedsral Home Loan Banks; (iv) mongago- backed securities (excluding stripped mortgage securities which are valued oreater than par on the portion of unpaid principal) or debt obligations of the Federal National Mortgage Association; or (v) letter of credit - backed Issues or debt obligations of the Student Loan Marketing Association; (d) Federal funds, unsecured certificates of deposit, time deposits and bankers acceptances (having maturities of not more than 365 days) of banks the short-term obligations of which are rated in one of the throe highest Rating Categories by Moodys: (e) deposits which are fully Insured by the Federal Deposit Insurance Corporation ('FDIC') or the Federal Savings and Loan Insurance Corporation ('FSLIC '); (g debt obligations (excluding securities that do not have a fixed par value and /or whose terms do not promise a fixed dollar amount at maturity or call date) rated in one of the three highest tong -term Rating Categories by Moodys; (g) commercial paper (having original maturities of nct more than 365 days) rated to one of the three highest Rating Categorlet- by Moodys: (h) investment In money market funds comprised solely of obligations rated In one of the three highest Rating Categories by Moodys: and 4W Exhibit A Page 5 (0 repurchase agreements with (0 any institution with long -term debt rated in one of the three highest Hating Categories by Moodys; OR with any corporation or other entity that falls under the Jurisdiction of the Federal Bankruptcy Code, provided that: (A) the term of such repurchase agreement is less than one year or due on demand; (B) the Trustee or a third party at.'ing solely as agent for the Trustee has possession of the collateral; (C) the market value of the collateral is maintained as tollows (1) It valued dairy end with a remaining maturity of !at one year of less, at 102 %: (b) five years at less, at 105 %; (c) ten r ears or less, at 106 %: (d) fifteen years or less, at 107%. and ra) thirty yoars or less, at 113 %; (2) If vr;lued weekly and with a remaining maturity of (a) one year or less, at 103 %: (b) five years or less, at 110%: (c) ten years or less, at 111 %; (d) fifteen years or less. at 718 %: (3) If valued monthly and with a remaining maturity of (a) one year or less, at 100 %; (b) five years or Icss, at 116 %; (c) ten years or less, at 119 %; (d) fifteen years or fess, at 12356, (o) thirty years or less, at 130 %: and (4) if valued quarterly and wiry a remaining maturity of (a) one year or less. at 106 %; (b) five years or less, at 118 %: (c) ten years or less, at 128 %; (d) fifteen years or less, at 130 %: and (a) thirty years or less, at 135% (D) failure to maintain the requisite collateral levels wl5 re ;..,,a .hit Trustee to liquidate the collateral Immedlately: (E) the repurchase secudtias must be obllp:rrons A or 'ulty guaranteed as to principal and Interest by. the Ur.!:ed States Ame,ca; and (F) the repurchase securities are free and Gear of any third party lien or claim; or (11O with financial Institutions insured by the FDIC or FSLIC or any broker - dealer with 'retail customers' which falls under the Jurisdiction of the Securities Investors Protection Corp. ('SIPC -), provided that Exhibit A Page 6 (A) the market value of the collateral Is maintained as described In (ii)(c) above; (B) the Trustee or a third party acting solely as agent for the Trustee has possession of the collateral; (C) the Trustee has a perfected first priority security Interest In the collateral; (0) the collateral itC fstparty eIn the case a broker' dealer wlth1rretaillCuome which falls undet the Jurisdiction of SIPC, the collateral was not acquired pursuant to a repurchase agreement or a reverse epurchase agreement; (E) the repurchss- secudtias must be obligations o', or fully guaranteed as to principal and Interest by, the United States of America; and (F) failure to maintain the requisite collateral levels will require the Trustee to liquidate the collateral immediately. `Principal Corporate Trust Office' means the corporate trust office oI the Trustee at Bank of America National Trust and Savings Association, San Francisco, California, or at such other address designated by the Trustee in written notice filed with the City and the Corporation In writing. 'Private Business Use' means use directly or Indirectly In a trade or business carried on by a natural person or In any activity carried on by a person other than a natural person, excluding, however, use by a governmental unit and use as a member of the general public. 'Proceeds,' when used with reference to the Certificates, means the face amourt of the Certificates, plus accrued Interest and original Issue premium. If any, less original Issue discount, if arty. 'Purchase Price,' for the purpose of computation of the Yield of the Lease Agreement, has the some meaning as the term 'Issue price' In sections 1273(b) and 1274 of the Code, and, In general, means the Initial offering price of the Certificates to the public (not Including bond houses and brokers, or similar parsons or organizations acting In the capacity of underwriters or wholesalers) at which price a substantial amount of the Certificates are sold or, if the Certificates are privately placed, the price paid by the first buyer of the Certificates or the acquisition cost of the firs: buyer The term 'Purchase Price' for the purpose of computation of the Yield of Nonpurpose Investments, means the fair market value of the Nonpurpose Investments on the date of use of Gross Proceeds .r the Certificates for acquisition thereof, or If later, on the date that Investment Property constituting a Nonpurpose Investment bocomea a Norpurpose Investment of the Certificates. `/ 3 Exhibit A Page 'r 1 'Peting Category means, with respect to any Permitted Investment, one or more of the generic categories of rating by Moody's applicable to such Permitted Investment, without regard to any refinement or graduation of such rating category by a plus or minus sign 'Rebate Calculation Period' means the one -year period beginning on the anniversary of the Closing Date In each year and ending on Me day prior to the anr,lversary date of the Closing Date in the following year except that the first Rebate Calculation Period shall begin on the Closing Date. 'Rebate Fund' means the fund by that name created by, and held by the Trustee pursuant to. Section 8.07 of tho Trust Agreement. 'Registration Books' means the records maintained by the Trustee pursuant to Section 2.12 of the Trust Agreement for registration of the ownership and transfer of ownership of the Certificates. 'Regular Record Date' means the close of business on the fifteenth (15th) day of the month preceding each Interest Payment Date, whether or not su:h fifteenth (15th) day is a Business Day. Code. 'Regulations' means temporary and perrnenent regulations promulgated under the 'Rental Period' means each twelve -month period during the Term of the Lease Agreement commencing on December 2 in any year and ending on December 1 In the next succeeding year 'Reserve Fund' means the fund by that name established and held by the Trustee pursuant to Section 6.01 of the Trust Agreement. 'Reserve Requirement' means an amount equal to S 'Securities Depositories' means The Depository Trust Company, 711 Stewart Avenue, Parden City, New York 11530, Fax -(516) 227 -4039 or 4190; Midwest Secjdtles Trust Company. Capital Structures -Call Notification, 440 South LaSalle Street, Chicago. Illinois 60605, Fax -(312) 563 -2343; Philadelphia Depository Trust Company, Reorganlzetlon Division, 1900 Market Street, Philadelphia. Pennsylvania 19103, Attention: Bond Department, flex -(215) 496 -5058; or to such other addresses and /or such other registered securities depositories holding substantial amounts of obligations of types similar to the Certificates. 'Site' means all of that certain real property located In the City described In Exhibit A to the Site Lease and Exhibit B to the Lease Agreement, which Is to be developed by the City as the Northeast Con munity Park. 'Site Lease' means the Site Lease, dated as of December 1, 1988, by and between the City and the Corporation, together with any duly authorized and executed amendments thereto 4.3% Exhibit A Page 8 M r 'State' means the Stato of California. Term of the Lease: Agreement' means the time during which the Lease Agreement is In effecq as provided,ln Sectlon 4.2 of the Lease AS,reemeni. Trust Agreement' means the Trust Agreement, dated as of December 1, 1959, by ,' and among the City, the Corpolation and the Trustee, together with any duly, authorized amendments thereto. y Trusteo' means Bank of America National Trust and Savings Association, or any successor thereto, acting as Trustee pursuant to this Trust Agreement. 'Yield• means that yield which, when used In computing the present worth of all payments of principal and Interest (or other payments in the case of Nonpurpose Investments which require payments In a form not characterized as principal and Interest) an a Nonpurpose Investment or on the Lease Agreemsnt produces an amount equal to the Purchase Price of such Nonpurpose Investment or the Certificates, all computed as prescribed In applicable Regulations. 41�& Exhibit A Page 9 uu EXHIBIT 8 FORM OF THE CERTIFICATES CERTIFICATE OF PARTICIPATION (Northeast Community Park Project) Evidencing an Undivided Fractional Interest of the Owner Hereof in Lease Payments to Bn Made by the CITY OF RANCHO CUCAMONGA, CALIFORNIA As the Rental for Certain Propery Pursuant to a Lease Agreement With the Rancho Cucamonga Public Improvement Corporation NUMBER — S RATE OF INTEREST MATURITY OATF DATED DATE CUSIP December 1, 1988 REGISTERED OWNER: PRINCIPAL AMOUNT, DOLLARS THIS IS TO CERTIFY THAT the registered owner Identified above, or registered assigns (the 'Owner'), as the regh tared owner of this Certl9cata of Panlcipatlon (the 'Certificate -). is the owner of a direct, undivided, fractional Interest in [ease payments (the 'Lease Payments') payable under and defined In the Lease Agreement (the 'Lease Agreement-), dated as of December 1, 1988, by and between the Rancho Cucamonga Public Improvement Corporation, a nonprofit, public benefit corporation organized and existing under the laws of the State of California (the 'Corporatlono), and the City of Rancho Cucamonga. California, a municipal corporation and general law city organized and existing under the laws of the State of California (the 'City ). which Lease Payments, prepayments and certain other rights and Interests under the Lease Agreement have been assigned to Bank of America National Trust and Savings Asaoclation, as trustee (the 'Trustee"). having a corporate trust office In Los Angeles, California. The Owner is entitled to receive, subject to the terms of the Lease Agreement, on the Maturity Data Identified above, the Principal Amount identified above, representing a direct. undivided fractional portion of the Lease Payments designated as principal 439 Exhibit B Page t coming due on such date, and to receive on June 1 and December 1 of each yea., commencing June 1. 1989 (each, a'Payment Date, until payment In full of said Principal Amount, the Owner's direct, undivided fractional share of the Lease Payments designated as Interest accruing during the six months Immediately preceding each of the Payment Dates; provided that Interest represented hereby shall be payab:e from the Payment Date next preceding the date of execution of this Certificate unless (1) this Certificate Is executed on a Payment Date. lit which event Interest shall be payable from such Payment Date, or (il) this Certificate is executed after the close of business on the fifteenth day of the month immediately preceding a Payment Date, and prior to such Payment Date, in which event Interest shall be payable from such Payment Date, or 010 unless this Certlfi;,ate is executed on or before May 15, 1989, in which event Interest shall be payable fron December 1, 1988. Said direct, undivided fractional share of the portion of the Lease Payments designated as Interest Is the r6suit of the multiplication of the aforesaid portion of the Lease Payments designated as principal by the Rate of Interest per annum Identified above. Interest represented hereby Is payable In lawful money of the United States of America by check or draft of the Trustee mailed by first class mail to the Owner at his address as It appears on the registration books of the Trustee, as of the close of busin6ss on the fifteenth (15) day of the month Immediately preceding each Payment Date. Principal represented hereby is payable upon presentation and surrender hereof at the corporate trust office of the Trustee In San Francisco, California. This Certificate has been executed and delivered by the Trustee pursuant to the terms of a Trust Pgreement by and among the Trustee. the Corporation and the City, dated as of December 1, 1988 (the 'Trust Agreement'). The City Is authorized to enter Into the Lease Agreement and the Trust Agreement under the laws of the State of California. Reference Is hereby made to the Leese Agreement and the Trust Agreement (copies of which are on file at the corporate trust office of the Trustee In Los Angeles. California) for a description of the forms on which the Certificates are delivered, the rights thereunder of the registered owners of the Certificates, the rights• duties and Immunities of the Trustee and the rights one obligations of the City uncle the Lease Agreement, all of the provisions of which the Owner of this Certificate, by acceptance hereof, assents and agrees. REFERENCE IS HEREBY MADE TO THE FURTHER PROVISIONS OF THIS CERTIFICATE SET FORTH ON THE REVERSE HEREOF WHICH FURTHER PROVISIONS SHALL, FOR ALL PURPOSES. HAVE THE SAME EFFECT AS IF SET FORTH IN THIS PLACE. The Trustee has no obligation or liability to the registered owners of the Certificates to make payments of principal or Interest with respect to the Certificates. The Trustee's sole obligations are to administer, for the benefit of the registered owners of the Certificates, the various funds and accounts established under the Trust Agreement The Trustee makes no representation concerning the recitals contained herein The City h6s certified, recited and declared that all ects, conditions and things required by the constitution and statutes Of the State of California, the Lease Agreement and the Trust Agreement to exist• to have happened and to have been performed 440 Exhibit B Page 2 precedent to and In the delivery of this Certificate, do exist, have happened and have been performed in due time, fora and manner as required by law. IN WITNESS WHEREOF, this Certificate has bee„ e: scuted by Bank of America National Trust and Savings Associstlon, as trustee, acting pursuant to the Trust Agreement. Date of Execution: BANK OF AMERICA NATIONAL TRUST AND SAVINGS ASSOCIATION, as Trustee By_ Authnrized Signatory (FORM OF REVERSE OF CEFITIFICATE) The City Is obligated under the Lease Agreement to pay Lease Payments from any source of legally available funds and the City has covenanted in the Lease Agreement to make the necessary annual appropriations therefor Tha obligation of the City to pay the Lease Payments does not constitute an obligation of the City for which the City is obligated to levy or pledge any form of taxation or for which :he City has leviod or pledged any form Of taxation. The obligation of the Ct.,y to pay Lease Payments does „ot ^onstitute an Indebtedness within the meaning of any constitutional or statutory deb! Ilmltadon or To the extent and in the manner permitted by the terms of the Trust Agreement, the provisions of the Trust Agreement may be amended by file pl ^tr< thereto with the written consent of the owners of at least fifty -one percent (51 %) in aggregate. p,hicipal amount of the Certificates then outstanding, and may be amended w ,hout such consent under certain circumstances; provided that no such amendment shall Impair the right of any owner to receive, in any case, such owners fractional share of any Lease Payment or prepayment thereof In accordance with such owner's Certificate, without the consst,t of such ov.ner This Certificate is transferable by the Owner. In person or by his attorney duly authorized In writing, at the corporate trust Office of the Trustee In San Francisco, California, but only in the manner subject to the limitations and upon payment of any charges provided In the Trust Agreement and upon surrender and cancellation of this Certificate. Upon such transfer, a new Certificate or Certificates of an authorized denomination or denominations for the same aggregate principal amount will be delivered to the transferee in exchange herefor The City, the Corporation and the Trustee may treat the Owner as the absolute owner hereof for all purposes, whether or not the payments represented by this Certificate shall be overdue and the City, the Corporation and the Trustee shall not be affected by any notice to the contrary. �II Exhibit B Page 3 The Certificates maturing on and after December 1, 1994, are subject to optional amounttlof less thane $20!000 at any ona Payment me) in inverse border of maturity. tlmaturity. and by lot within a msturity, on or after December 1. 1993, at the principal amount thereof together with the premium set forth below (expressed as a percentage of the total amount to be redeemed), together with Interest accrued and unpaid thereon to the date fixed for redemption, from the proceeds of optional prepayments of Lease Payments made by the City pursuant to the Lease Agreement: Prepayment December 1, 1993 end June 1, 1994 December 1, 1994 and June 1, 1995 December 1, 1995 and June 1 19% December 1, 1996 and June 1, +997 December 1. 1997 and earh June 1 and December 1 thereafter premium 1994 1995 1996 thereafter Y,qy 1 % I'h% 1'h 0 ,h 1 1 0 h h 3 The Certificates are subject to mandatory redemption In whole on any date, or in pan on any Payment Date, proportionately among maturates and by lot wihin a maturity, from the rat proceeds of an Insurance or condemnation er+erd to the extent credited towards the prepayment of the Lease Payments by at art um the eof to to h redeemed, Agreement, at a redemption price equal to the principal together wilt. accrued Interest to the date fixed for redemption, without premium. Notice of redemption, unless waived. Is to be given by the Trustee by mailing an official redemption notice by first class mall at least thirty (30) days and not more then sixty (60) days prior to the date fixed for redemption to tha registered owner of the icate Certilicete or Certificates to be redeemcd Trustee. at the address shmown on ion having Ce tifgiven registreunn books maintained by the eeCef -iPlionddate. bccloime due end ponlon3 Of at the )redemption prriceetherein specified. and from and after such date (unless the City shall default In the payment of the redemption price) Interest with respect to such Certificates or portions of Certificates shall cease to be payable ASSIGNMENT For vatue received the undersigned doles) hereby sell, aesigr and transfer unto /'r T Exhibit B Page 4 :1y the within registered Cert.gcate and hereby Irrevocably constitute(s) and appoint {s) attorney, to transfer the same on the Certigcato register of the Trustee with full power of SLbstitutlon In the premises. Dated: Signature: Note: The slgnatwels) on this Assignment must MrOSgono Wlln the WOM(S) 03 written on the face of the whin registered Coruscate In ovary Particular without 8110retl4n or enlargement or any change whatsoever. Signature Guaranteed: Note: Slgnaturo(sl must be guaranteed oy a member firm of the New York Stock Exchango u a comma,„ lal bank, or trust company. W3 Exhibit B Page 5 Mot) a n ,JIOCX . ,1"CL yH, ,„ o.,. AFTER RECORDATION PLEASE RETURN TO: Jones Hall HIII d White, A Professional Law Corporation ._ Four Embarcadero Center, Sulto 1950 San cranclsco, CA 84111 Attention: Brien D. Ouint, Esq. SITE LEASE Dated as of December 1, 1988 by and between the CITY OF RANCHO CUCAMONGA and tho RANCHO CUCAMONGA PUBLIC IMPROVEMENT CORPORATION (NORTHEAST COMMUNITY PARK PROJECT) M SITE LEASE THIS SITE LEASE, dated as of December 1, 1888, is by and between the CITY OF RANCHO CUCAMONGA, a municipal corporation and general law city organized and existing under and by virtue of the laws of the State of Cellfomia (the 'City'), as lascor, and the RANCHO CUCAMONGA PUBLIC IMPROVEMENT CORPORATION, a nonprofit public benefit corporation organized and existing under and by virtue of the laws of the State of California (the'Corporationo), as lessee; WITNESSETH: WHEREAS, the Corporation Intend,; to assist the City by financing the acquisition of certain real property for development as the Northeast Community Park and to lease suc;t real property to the City pursuant to a Lease Agreement, dated as of December 1, 1988 (the 'Lease Agreement), and the City proposes to enter Into this Site Lease with ,he Corporation as a meterlal consideration for the Corporation's agreement to lease such real property to the City; NOW, THEREFORE, IT IS HEREBY MUTUALLY AGREED, as follows: SECTION 1 Site Lease. The City hereby leases to the Corporation and the Corporation hereby leases from the City, on the terms and conditions hereinafter set forth, that parcel of foal property situated In the City of Rancho Cucamonga, County of San Bernardino, State of California, and described in Exhibit A attached hereto and made a part hereof (the 'Site). SECTION 2. Term. The term of this Site Lease shall commence on the date of recordation of this Site Lease In the Office of the County Recorder of the County of San Bemardino, State of California, and shell end on December 1, 1898, unless such term Is extended or sooner terminated as hereinafter provided. If, on December 1, 1998, the aggregate amount of Lease Payments (as defined in and as payable under the Lease Agreement) shall not have been paid, or provision shall not have been made for their payment. then the term of this Site Lease shall be extended until such Lease Payments shall be fully paid or pro, .slon made for such payment. IL prior to December 1, 1998, e;l Lease Payments shall be fully paid or provision made for such payment In accordance with Section 4.2 or 10.1 of the Lease Agreement, the term of this Site Lease shall end coincident with the termination of the Lease Agreement. SECTION 3 Rental The City acknowledges receipt from the Corporation as and for rental hereunder the sum of one dollar (51.00), on or before the date of delivery of this Site Lease SECTION 4. Purpose. The Corporation shall use the Site solely for the purpose of leasing the Site to the City pursuant to the Lease Agreement and for such purposes as may be lncidontal thereto: provided, however, that In the event of default by the City under the Lease Agreement, the Corporation and Its assigns may exercise the remedles provided in the Lease Agreement. 44—s- SECTION 5. CItVs Interest to Site. The City covenants that It Is the owner In fee of the Site. SECTION 8. Assignments and Subleases. Unless the City shell be In default under the Lease Agreement, the Corpe•stlon may not assign Its rights under this Site Lease or sublet the Site, except as provided in the Lease Agreement, without the written consent of the City. SECTION 7 Right of Entry. The City reserves the right for any of Its duly authorized representatives to enter upon the Site at any reasonable time to Inspect the same or to make any repairs, Improvements or changes necessary for the preservation thereof. SECTION 9. Temtinatlon. The Corporation agrees, upon the termination of this Site Lease, to quit and surrender the Site in the same good order and condition as the same were In at the time of commencement of the term hereunder, reasonable wear and tear excepted, and agrees that any permanent Improvements and structures existing upon the Site at the time of the termination of this Site Lease shall remain thereon and title thereto shall vest In the City. SECTION 9. Default. In the event the Corporation shall be In default In the performance of any obligation on Its part to be performed under the terms of this Site Lease, which default continues for thirty (30) drys following notice and demand for correction thereof to 'the Corporation, the City may exercise any and all remedies granted by low, except that no merger of this Site Lease and of the Lease Agreement shall be deemee to occur as a result thereof; provided, however, that so long as any Certificates (as defined In the Lease Agreement) ore outstanding and unpaid In accordance with the terms thereof, thn Lease Payments assigned by the Corporation to Bank of Arcades National Trust and Savings Association (the'Trusteeo) under the Assignment Agreement, dated as of December 1, 1988, by and between the Corporation and the trustee, shall continue to be paid to the trustee. SECTION 10. Oulet Enloyment. The Corporation at all times during the term of this Site Lease shalt peaceably and quietly have, hold and enjoy air 3f the -0Ite subject to the provisions of the Lease Agreement and the Trust Agreement, dated as of December 1, 1988, by and among the City, the Corporation and the Trustee. SFCTION 11 Waiver of Personal Liability. All liabilities under this Site Lease on Me pan of the Corpome olely liabilities of the Corporation, and the City hereby releases each and every, member, director. Officer, employee and agent of the Corporation of and from am personal or Individual liability under this Site Lease. No member director officer employee or agent of the Corporation shall at any time or under any circumstances be Individually or personally liable under this Site Lease for anything done or Omitted to be done by the Corporation hereunder SECTION 12. Taxes. Thq City covenants and agrees to pay any and all assessments of any klntl oror chore ^.ter antl elan all taxes. Including possessory Interest taxes, levied or assessed upon the Site (Including both land and Improvements). A -2- 1' SECTION 13. Eminent Domain. In the event the whole or any part of the Site or the Improvements thereon Is,taken by eminent domain proceedings, the Interest of the Corporation shall be recogntzed and Is hereby determined to be the amount of the then' unpaid Certificates of Participation, including the unpaid principal and Interest with i respect to any then outstanding such Certificates of Participation and, subject to the provisions of the Lease Agreement, the balance of the award. If any, shall be paid to the City, SECTION 14. Partial Inva idlty. If any one or more of the terms, provisions. covenants or conditions of this Site Lease shall to any extent be declared Invalid, unenforceable, vold or voidable for any reason whatsoever by a ,court of competent jurisdiction, the finding or order or decree of which becomes final, none of the remaining terms, provisions, covenants and conditions of this Site Lease shall be affected thereby, and each provision of this Site Lease shall be valid and enforceable to the fullest extent permitted by law. SECTION 15. Notices. All notices, statements, demands, consents, approvals, authorizations, offers, designations, requests or other communications hereunder by either party to the other shall be In writing and shall be sufficiently given and served upon the uther party it delivered personally or If mailed by United States registered mall, return receipt requested, postage prepaid, and. If to the City, addressed to the City In care of the City Clerk, City of Rancho Cucamonga, 9320 Baseline Road, Rancho Cucamonga, California 91730, or If to the Corporation, addressed to the Corporation In care of the Secretary, Rancho Cucamonga Public Improvement Corporation, 9320 Baseline Road, Rancho Cucamonga, California 91730, or to such other addresses as the respective parties may from time to time designate by notice In writing. SECTION 16. Section Headings. All secilcn headhigs contained herein are for convenience of reference only and sre not Intended to define or limit the scope of any prop inn of this Site Lease. SECTION 17. Execution. This Site Lease may be executed In any number of counterparts, each of which shall be deemed to be an original but all together shall constitute but one and the samo lease. W7 - (r3,1` - •gam.. y Y r �t IN WITNESS WHEREOF, the City and the Corporation have caused this Site Lease to be executed by their respective officers thereunto duly authorized, all as of the day and year first above written. i° �. CITY OF RANCHO CUCAMONGA, 'y as Lessor By a Mayor ij (S E A L) r Attest: a City Clerk k RANCHO CUCAMONGA PUBLIC t IMPROVEMENT CORPORATION, as Lessee 7 By ri Pre: (dent (SEAL) Attest: Secretary 4— EXHIBIT A SITE DESCRIPTION 41)0 N Those parcels Of land in the City of Rancho C a Bernardino. State of Ce1HOmla, described as follows: ucamonga. County of San ��9 \*i l t SUCH ALTER n�aN M. I..w C NCq U W Mw N Yi iMLT nu •r'vw i..i ..M4 UY.e.uu ar.a•wa J L1..1 wLY LI. \LW.Y � LrMlwe uw OInCCa Or NEMER, FIELD& u 1 w.n ne +.l <o.w..neM1l 0.11. )00 100 so.,. ILO... e).LLT LO) ^NOCLCe. �LIIONNba 90017 MIOa TLIt.MOM1i Mal Oi e•O)00 mmo.mw uul su•aese 1L LLC ee).oe aM1• Le. C.eLt A00.[Le IJCNMCY Via Messenger or Courier November a, 1 9 B a To the Members of the Financing Team & YOUNGER <OL wwe[U•1. C.Y w.+4 e0e<wXM n.4 ®neT4� -• -n{YOO wlMnp.f e4<w.4WIO. +N eM .may+{ \oe .Neuw orneL Re: Rancho Cucamonga, Northeast Community Park Financing; Drafts of Underwriting Documents Ladies and Gentlemen: Enclosed please find drafts of the Preliminary official Statement and Certificate Purchase Agreement proposed for use in connection with the above financing. These versions have boon marked to show changes from the previous draft and include those changes suggested at the recent all -hands meeting. We look forward to receiving any final comments you have regarding these underwriting documents at your earliest convenience. Sincerely yours, BUCHALTER, NEMER, FIELDS 6 YOUNGER ' ''Lisalee Anna Wells LAW /nla Enclosures PS: A preliminary number run based on the currently estimated sizing of the transaction and the proposed lease torn has been prepared by Tom Lockard and is enclosed with this letter. L A.W. /-17rD DRAFT MARKED TO SHOW CHANGES OFFICAL SVZD M DATED NOMMEd _, 1988 11 -9 -88 NQ) ISSUE RAT=: MMMIS: (sea ,Ttatinge harem) in the opinion o2 Jam Hall Hill 6 fbitia, A Professional law Corporation, San Francisco, California, special Caunal, subject, however to certain qualificatirne described herein, under existing law, the portion of lease payments designated as and comprising interest and received by the owners of the Certificates is excluded from gross inome for fcda-al income tax purpc eve is not en item of tax preference for purposes of the faperal iMividual and oraporate altarnntive mini*& -' farce, although it is included in adjusted net book dtrtme and current earnings in cooputinq the altermati%e minimum tax inposed on certain carpmati ore. In the Rather opinion of Special Cancel, axh interest is exeept fns California personal ino®u taxis. .^,ea 'TAX p7dPWMCW herein. $3,500,000" CERMFICUM OF PUMCIPATIQI (NORDEASrA0240 Y PAW PRQ7ECr) Evidencing thidivided Fractional Interests of the Crmors Thereof in Tease Payments to Be We by the CC1Y OF RA` = r7CA[V M' ounimul as the Rental for Certain Property pursuant to a Imse Agreement with the RANcm ajamm Rwzc nipj >F.77P CORl ORATTRI DAM: December 1, 1988 UM: Dooambar as sham below interest due with respect to the Certificates is payable semianreally on each Juan 1 and Decevter 1, commencing Jude 1, 1989, by Check or draft of Bank of Atcrica National st and Savings Association, as trustee (the "Trustee"), mailed by fL`st a.-= nail to the registered owners of record at the addresses shown on the certificate registration books maintained by the Trstee. Principal of the ^ ertificates is payfhle tghar surrender of the certificates at maturity at the principal oorporate tsu3t office of the Trustee in San Frarcism, California. The certificates are to be delivered as Rally registered certificates in danomiratiens of $5,000 or any integral multiple thereof. The Certifi,mb.n are eject to lion prior to maturity as rdoscribod herein. Tha Certificates ratrrirg on and after December 1, 1994, are � to m Pry tot t e red�on after December 1�� set foorth 3berein E6yffinC oats (ae deYined herein at the pr c �of optio al perpeym3nts of dae.5e Rnyormts (as defined herein) by the herein an � (the "City") pursuant to the Inane Agreement the prepayment dater sot forth herein. See "Idle UTPICA= - Raderption." A The City has covenanted undar the Inane Agreement (as defined heroin) that so lag as the Project (as defined herein k is available for�ill !/Preliminary; subject to Cargo 0012t1r'F 4�i t talcs such action as me be defirAd brain) in its Y necessary to include n& all of ±b Ioese Ieyther (as The and to hale the hroessary ap�oprintieca therefor. obl.igaticnAOf the City to male lease PaY�ts ASIML not crlstitu'.eA,pp ob119atim of the City for i.ihtdh the City is obligated to levy or pledge errs•_ tom o oche or for which the City has levied or pledged any form of taxation. See rw= CERMFICATE6— IFl.SE PAUMMS" herein. hl 277 71Z aRIIFLOM NM THE OBIJOATIfFj10F THE CITY M MM LEASE PAYH MS MUM UM 'EASE FII N'r+. MM n721S171T TMM A DM OF UM CMY, ME SIA7'E OF CA]SFORNIA OR ANY OF T35 POLITICAL SUBDIVISIONS W= MN THE MEANING OF THE CM=MTrION OF THE SPATE OF CALIFORNIA OR an=V=, OR A FIE= OF THE FAI7H AND CR= OF THE CTly, OR OF ANY OF TMM^ MATURITY same */ 1/ albirity ecs&Ar 11 BUMU I orrylhld 1989 1990 1991 1992 1991 1994 1995 1996 1997 1998 A ThO oaytificatm are offered to the public by the Odsrdritar when, ao and if exd=ts'd' and delivered and received, oubjeet to approval as to legality by Jones Nall Hill i White, A Professional Iav Corporntiah, San Francisco, CdiifOrnir, SP821al RlIIall, and certain Other om-ditione. Certain legal ffittar5 will be pesawl Pmfe;aictatl Corporation' hpah for the [hnd"Vriter by DXWtsr, Nemer, Fields i Younger, a CaY,lficatee e ow SOS, Chliforla. It is anticipated that the r.xxrt __able for delivery in San Francisco, California, on or ' Det�ber U, 1988. Dated: November , 1988 ?/Prelim-'nary, subject to came 4S No dealer, hrdrar, salesperson or other parson hao been euth.. ized by the City to give any informationh or to make any rWresentr -_lan other than Chose contained harain arid, if given or made, such other informationn or reDreeentautn meat rnt he relied upon as having been authorized by. • the;{City ahis Official Statement doss ro an t otitute an Offer to Ball Or the eolici-tation of an Offer to buy ran shall then be any sale of the Certificates by a person in ary Jurisdiction in which it is unlawful for suds person to melee erh an Offer, solicitation or sale. ahis Official Statement is not to be construed as a contract with the Smdw -;an Of the Certificates. Statements contained in this Official Statement which bMIvs eeti =tss, forecasts Or matters of opinion, whether or not expres+ly so described herein, dre intamid solely se such and an not to be kiwi as a xvprase Cation of facts. The information set forth herein has been obtained from sources utddch are believed to be reliable but it is not gtaranted as to accuracy or O mplatirms and is not to be c awtrued ca a representation by the vnh- rmterA M-A information and expression of Opirnlorn hare.+n are subject to damp without notice acid neither dalivnry of this official statement nor any sale made heraaider shall, under ary clrcumsta ow, create any implication that then has been no change in die affairs of the^City -lone the data hareof. 7 ii Dennis L. Staxt,,��1Z4aycr/C'zm� an �sp_en,val. a..p w.�r�ic��.. t,!t ,. m aycn Pm Teew ober y Dw=&,, m. Brown, cmr=iIpersmVxmbmr . Q=r- ilrArsciy.Swba CVY APO AGD= Sm L9iaa] H. Hasse an, City manaw/Dwa[tive Dirr-tor s Joe Sdmltz, co enmity Sarvioas mnagae Jim Hart, AdminSrtcativs Services DUvc'tor i Jamaa L. F9rk:an, City Attorney IIirabeth Sto&Iard, Finanoe Manager Jtraea C. Frost, Treaetavr Jonas Hall Hill & {hits A Professional Inv Corporation San Francisco, California rieldan, Rclapp & Associates Irvine, California ,per Bank of America National Trust and Savings As.socla+lrn Ins Angeles, California iii •. n..w hkyn SLTT4111YSTX@ffNl' . . . . . . . . . . . . . . . . . . . . . . . . . . . V Vi 122nCN MAP . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. = = "r! RATING . . . . . . . • . . . . • • . . . • . . . • . . . • . • . . • . . 29 TAXEXEMITQ! . . . . . . . . . . . . . . . . . . . . . . . . 29 CERZA LEGAI. p9a7 9 . . . . . . . . . . . . . . . . . . . . . . . .. . . 30 I7O•= . . . . .. . . . . . . . . . . . . . . . . . . . . . . . . . . . 30 ABSENCE OF LTTIGATIM . . . . . . . . . . . . . . . . . . . . . . . . . . . 30 AVAIIABII,IIY OF DOQ7GM3 . . . . . . . . . . . . . . . . . . . . . . . . . 30 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 31 lIISCFIIAi�15 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 31 r APPFN= A - FW OF Fn" OMINICK OF SPECIAL CUMIL. . . . . . . . . . . . A -1 APPFNOIX B - MMr'tD F—DW4 AL SfAI 0 AM f n=L Y W 198 :NJ . ..... . � IN CL1'70 =CN WX7H MM OPFi M4, 7HE Ut?OEM4U= My OVER -AlzM OR Pi'F'ECl TRAMACI=M WaCM SMFTT= CR pAM=i MW RAM= PRICE OF '.M CFIaTFIcu= AT A MML ABOVE THAT MACH MD-ja OD93m SE FREVAL' Id THE OPII7 MAR=. S= CDUM r-, IF OOiM ICED. MAY BE MSOW=M= AT ANY TME. '4�5� `i-;i��;i• rotes 'i•a31TJrill 114 IJ 1i JY •.q >M Ir' •• i• >•• 1 1 • I• / vl 1 r •II Y/ i• 1 Y • J•11 W. Security for the Certificates . . Me acquisition of certain real property for develapeext as the n=UkQ&grACmmnmity Rax�c (the "Project ") to ba leased to the City of Rancho axcauorrga, California (the "Citl"), under a lease agreement (tile "L7.:a t ") with the Rd rho �a Pt' lie Mquw ent Ccrporatim (the . . . . The City is obligated wider the Lase kAweent to sale lease payments (the "Iease Payments "); as the rental for the Project. Fact Certificate represents an undivided, fractional interest of the owner thereof in Lame LYrnts to be rode by the City as specified in such certificate. Tne City has Ozvw rated laden the Lase Agreement that so long as the project: is avalable f= the City,s use, it will take such action as my be necessary to include the Lew IaymeRa in its budget and to make the necessary - �ther. Sae "IME }L7 1a��Y�o " tersin Carlmr California law, the obligation of the City to mks Lose Shymento (other than-to the extrrt that Rids are available for such paposa in aooua:ts established under the True- Agremen -_A frm preoeeds of the 'Certificates) rilst be abated in %dole er in part if the City dome not have Rill use and possession of the project. A Asssrva Fund 'a ..r,r, .Ain the arantAtD9=Ad herein from Certificate proocnds for tho benefit of the a+nerm Of the Certificates. Tie Corporation will assign to the Tnutee for the benefit of the owners of the certificates its rights order the Mew A;peoaent, in;luding (a) its right to receive ameuxts payable bh/ the C(ty Ceder the Law Agroeme nt am (b) its right to enforos amounts payable upon default, but nrl certain rights to inderrltimtien aryl the poy©ent of fees and expenses. Farm of outificates . . . The gU%jf rotes wiles hie wCacut d and deliwayd in fully registered form in dexaainatlons of $5,000 or any intagral nultiple threof (ard in irregular dercminaticno if partial redeepti� in connection with n m 7� 7 vi t v WIG City . . . . . .. . The Corporation . . . . . . The certificates are subject to mandatory and t oral xeda*tlm prior to maturity as dwribed berellr. Sea -rM QRCMCATM - Redsptim." the city is a California general law city, located !n men Bernaxdiry tbuaYM with a pcpula as of _ mle corporation nos created as a nortmQfit, public benefit corporation organized and rydstLxJ under amd by virtue of tin laws of the State of California. • 1 • :. e. • •I 1 1 M • "1 Y I i 1 I• i' 1 1^ Y Y' •:1 f^ 11 Y 1 • •11 YY • Y' •r' Y• • 1 Y ••'N • P •M • 1 I' M Y `I I N A efY • Y Y f•Yii U ••.>. •• � Y 1 •' • >:1 / 1•T: •)1 I 11 M Y Y • ••• 11 YA YY Y :•1 I •1 •I .Y U 4isg vii 4 r � .} Y[ VTV$A "OUrtrT ; `1w•s• w� �i wDU�a•a 3 N IDCATT«N W2 of [OT ,♦VVftrs co[`RTi ,w •w ur •...oar.. W MILTDt ' ICtTT"wjt cAuromAt i reu rrarco n ♦ r n rte, - r AXaX coc >TY •` v � •w rr aXl l.0 DrXn a,r[M rO[ ny n••rT •I � rwau•r , tocnrT D••rp -�• wrr •� r srM Duou conRir /^��• / r / ` I / nvrru[ r / coL••TT 1 I $3,500,000' as the Rental far Certain Property Pursuant to a Tu"q Agreement with the RANMO CLX71C. iC.A PUaMC IMPAOVt21EM COPIU =CH 6Fn;•04: "Vt•,i The gsPose of this Official Statement, wtdch includes the cover page, Table of 0mntents and Appendix (the "Official Statminit "), is to provide certain information concerning tt-A sale and delivery of the C•rtificatse of Participation (NOrkhesstACCCMIUIrity Park Prc)ect) (the K•SztificRtes "), in an aggregate principal amount of S3,SOO,W10,' evidencing undivided -cochineal interests of the registered owns= thsrwi (the "owners ") in I—se Payments (the "Lease Payments ") to be made by the City of Rancho Cum, CaL4.fomia (the "City"), as the rental forlcertainAreal Property for fume develc®ent an the Northeast Coenuni Park (the "Project ") leased from the Pancho Cucamonga Public Imprw®ent Carpora n ( the "Corporation") pur=ult to a lease agre>.ment dated as of DeCerber 1, 1988 (the "lease Agreement ") . The Ce-tlticates are being executed and delivered purwant to a Trost Agreement, dated as of December 1, 1928 (the "lust Agreamot"), by and awny the City, the Corporation and Bank of America National Trost and Savings Association, Las Angeles, as trustee (the mMmtee ") . Each Certificate evidences an undivided fractional interest of the Ownnem in the Lease Payments to be made by the City. xsannt to an Assignment Agreement, dated as of Deomlber 1, 1988 (the "Assigneent Agreement"), by and beb*en the c rporaticn and the Trustee, the Corporation has assigned to the Trustee, for the benefit of the Owners, its rights under the Lease Agreement, including (a) its right to amounts payable by the City fader the Leone Agreement and (b) its right to enforce payment of amounts due upon defmllt, but excludArg certain rights to irde, lification and to the payment of foes a.d expenses. All Capitalised terms used herein and not defined shall have the meanings ascribed to them in the Trust Agreement. See "AVAnABIr= OF DOQR4M5" herein. In general, the City is required to pay to the Trusted specified Lease Payments for use of the Praact, which amounts are intended to be sufficient in both tax+ and aggregate ama nt to pay, rten due, t1'e principal and interest with respect to the Certificates (ace "LEASE AGREE24M — Lease payments"). In the I—se kgr'eecennt, the City has owe arnted that it will take such action as mry be !/Preliminary: subject to change 4('P-0 necessa.y to include an Iea..e Pbyrents 41 Its �. tS and to ra30 the necessary appcvprlatlans therefor. The ib igaaaion of the City to >eba Iamia FtyymEnts does not cvlstiffite an obligation of the City for the City Is cbltiptai to levy or Pledge any foe of tLxatim ar far YSicb the city has levied or pledged ay foal of taxation. diaither the n..rifi,atm nor the cbligatim of the City to 1e}i Isaee d%yaato ovlstit utes an indebtedness of the City, the Corporation, or the Efate of oeiifoaia, or any of its polit4mi subdivisions, within the owning of ary constitutional or statutory debt: limitatim or restriction, or a pledge of the faith and credit of the City. P r certain *ice ai infosrt iam with respect to the City, ses Icny ILL nauav=om" Herein. For a disavutm of certain asld•eu. to the nrlstiht ion of the State of mlifuxala and their impact an the City, mew the beading "ommititutional aseldeeots AMcting City FOYMI s" under ocny rnua DIL IKFcm =W herein. L ESIM%TIM SCERM i AND t6F5 OF FL"II1S */w The proceeds to be reaaived Leon the sale of the Cartificatee (other than accrued intarest hitch will be deposited in the capitalized 4rterost aomlmt of tha Isaac d %y+K1t fled) are estimated to be applied as follow: Par Aconmt of Certificates . . . . . . . . . . . . . S A Total sources S aAcquisition flII.. . . . . . . . . . . . . . . . $ . A Rgjivary outs t>ad . . . . • . . . . . . . . . Underwriter's Discount _ •/Preliminaryj subject to L e[e�•JY �• • ,d • --" Tie conceptual plan for tte Northeast C==dty Park Will incorporate design e10,Mts thieh wiiL be uniggm in ftcticn. The Planted Pack ties in With the rri,.aanda Croak trail system giving —ulity residents Pedestrian, bicycle and egtestrian access as wail as excellent vehicular access to the site. The location and design of sba a a& coke this an exa dlent appartamity fix a With the pomodv of the Cartificatcs, the City will acquire . This lard in vacant of plants with numerous aces fruit open Wes as is suezoended by t]nalYPtn8�trees in planted with ramaruxs fruit epwea windra+s. The dwign is eawisteent with the historic vernacular of the Etiwada (Rancho oxamo ga) specific Iran. A Lease - ti a r t t>411wt +on The obligation of the City to take lease Paymennts tinier the Lessa Agreement does not oonstitute an obligation of the City for which the City most levy or pledge any fors of taxation or for which the City has levied or Pledged any fors of "Ax atim' nor does it constitute indebtedness subdivisions in3ebt of tho City, of the or the State of California or any political me sning of any connstitttioral or statutory debt limitation or restriction. team. Pnvmatts tle�_.eamed Tie City and the Corporation expect that tom acquisition of the Project WL11 be completed on the date of delivery of the em not s by cry pnypn't and other amounts duo under the lease Agreement am pledge of tames or otter revenues of the City. After the date of acquisition of the Project, Tease Psymmn "a are payable from any furls lawfully available to the City, subject to certain provisions of the Lease Agreemeet. In the event that revenue saaoss of the City are less than its total Lease Payment obligations, tlo City could dnoee to had other municipal eervicee before ruhicq Leaso Payments. Tie same result could occur if, because of State of California aannd spend all limits them availaable *r h' See ^� tutio al aAmoxt=xts Affecting City RWANW s" racier 'CM FL`IIe XM IIaloFegMal" herein. However, the city has covounted in the Lease Agreement to budget for, appropriate and make the tease payments and cthes payments dus user the Lease Agreaacct in each year during %tdct it has use aid possession of the Pmjetct:. 4 tI411ra17S'�^''4ne �ea,•ar�,., 1b Ths OMherS E,cept as oqresaly 1xmided in the TrMt Agrement, the Ixrporation, as lerar, shall not have any obligation or liability to the Wwxs of the certificates with respect to the payment vhou duo of the Leasetho Payments f otthe city, or xi #.h respect to the observance or performance by agtem-nts, acrditicns, covenants and tears recgtired to be observed or performed by the city under the Lease Agreement or order the Trust Agremett, or with respect to the performance by the Trustee of any obligation required to be perfomrd by it under the Test Nroement. n1 grad Rasa== On Default if the city should default on its obligation to make lemue Payments, the Trustee, as assignee K the Lasror, may retain the Lease Agreement and hold the City liable for all ]:ease payments on an aural basis, and will have the right to re -enter and me-let the Project so lag as the tax- txeRnt. status of the interact cant of the Isere Payments is preserved. Such re -entry and r,-letting obeli not effect a saradar of the affected Issse A%wment. Alternatively, the Trustee may terminate the Isass Agaesewlt on default of the City and proceed against the City to ro=ver damages pursuant to the terms of the Im. Agremssnt. No assurance can be given that the Trustee will be able to re-let the Project, so as to provide rental income sufficient to met the lease payments on the certificates in a timely mKTAr, and the Tnstee is not a powared suit to sell the damages %o id be �ii� limn taitan ash legal remedies rmdies against for moan the St cities ;.*5 arm State of noe&dtoseser ha hra�ifarra amend iinnrterestt.. �t � B in the event of loss or substantial interferon in the use and poss,.�sicn of all or any discrete portion of the Project, caused by material damage or destruction of such discrete portion of the PivJact, Lease Payments will be ahated. The amount of abatement will be such that the resuultinT rental represents fair consideration for the use and possession of the portiere of the Project not damaged or destroyed. Such abatement shall cantir-va for the For Sod commencing with the date of such dcmxp or destar -tion and ovding with the substantial cc platlau of the vork of repair or replacement of Poch portion of the project. In the event such portion of the Project cannot be repaired drirq the period of time that proceeds of the city's rental Sntarn>pticn irmaxance will be available in lieu of Lease payments, plus the period for a hich :.Tends are available in the Ia serve Fund, or in the event that casualty insurance prooeeds or condetatiau proceeds are insc.fficieut to provide for caplete repair or replacement of such portion of the Project or ro3acpticac of the certific tes, there may be insufficient Rids to cover payments to the Owners in full. 463 THE CERrl C',= Caul Prvrisioro Tha cutificates will be executed and delivered in the aggregate principal amount of $2,k00.008*, will be dated December 1, 1988, will be payable as to interest at the rates par anmrm sat forth on the cover page hereof, are payable semiannually on each Juan 1 and Daomber 1, June 1, 1989 (individually, a "Payment Date "), and will mature on December 1 in each of the designated years in the principal amounts sham an the rarer hereof. The certificates will be exaanted and delivered in fully registered form, without axons, in dw=dmtias of $5,000 or in any integral multiple thereof. Prircipal, with respect to the Certificates will ba payable at the principal corporate trust office of the Trustee in San Francisco. thlifcr ia. Interest with rusapect to the Certificates will be peyabla by deck or�dlaft mailed to the Cceer of record at the address stoup on the certificate registration bolo maintained by the Truettes for much purposes. Radenottion The Certificates maturing on and after December 1, 1921, are subject to optional radmptim in stole or in part on any Payment Date (but not in a total rsdeepticn assert of lass than $20,000 at any one Lisa) in irnvoraa order of maturity, and by lot within a maturity, on or after Deceber 1, 1991, at the principal amount thereof together with the premium sat forth below (expressed as a percentage of the total amount to be redestl), together with interest accrued and urpaid thereon to the date fixed for redemption, -tone the proceeds of cptiaul prepayments of Lease Payments mode by the City pursuant to the I—se Agreement: *Preliminary; subject to Premium Paid with Nespeet to the Maturity Date of Any P4demed Certificates Cart .Xeres Matrinq in 1932 and DocmEber' 1, 1993 and June 1, 1994 it It 1 }t 2% December 1, 199- — ani June 1, 199,1 0 Daomber 1, 1995 and June 1, 1996 - 0 } 1 December 1, 1996 and June 1, 1992 - - 0 } Doembcr 1, 1992. and it= 1, 1998 - - - 0 *Preliminary; subject to The Grtificates are subject to mandatory redemption in whole on any date, or in part on any Payment Date, Proportionately among maturities and by lot within a maturity, from the net proceeds of an irnsuran ce' or co dmMation award to the extennt credited toxards the preMme nt of the Lease Payments by the City pursuant the Lapse Agreewe nt, at a redemption price equal to the Principal amomt thereof to be redeemed, together with accrued interest to the date fined for redemption, without prmiucl. Si2D +.i`BQd=WQn Prvvlsi"SA unless waived by an Owner of Certificates to be redmswd, official . notice of any such redemption shall be given by the Trustee on behalf of the City by mailing a copy thereof by first class rail at least thirty days and rot more than sixty days prior to the date fixed for redemption to the 04rrr of the Certificate or Certificates to be rodoemed at the address shown an the registration books mas..t,rrW by the Trustee. An official notices of redemption shell be dated and shall state: (i) the redemption date, (ii) the radoption Price, (iii) if fewer than all cutstarding Certificates are to be redeemsd, the Certificate ... bo= (and, in the cane of partial ree optic n, the respective p rirsipxl amounts) of the Certificates to he redwood, (iv) that on the radtaption date the redmption price will beds due and payable upon each such Certificate or prrtron thereof called redemption, and that interest with respect therato shall ceaa'e to accrue frets and attar said data, and (v) the place stars such Certificates are to be eurzerdored for Payment of the redmptia price, ntdct Place for PaYeant sham be the principal corporate trot office of the Trtnstoe in San Flarcism, California. Prior to any redemption date, the City stall deposit, or caur>e to be �i of allll�theeCe � � of Pi�of Certrtificattm which raimption to be redeemed on that date. official notice of r 'raglan having been given as aforesaid, the Certificates or portirns of certificates so to be redeemed shall, on the redemption date, became due and payable at the redemption price, therein specified, and from and after such date (unless tt ` City shall default in the payment of the redemption price) interest with respect to such Certificates or portion or Certificates shall cease to be payable. tpon subrrnrder of Slob Certificates for redemption in accordance with said notice, su= h Certificates shall be paid by the Trustee at the rade ptim price. Failure by any ownmr to receive notice as hereirabova provided tha11 not affect the validity of any such rederpticn. In addition to the foregoing notice, further notice shall be given by the Trustee as set forth in the Trust Agttxnment to certain soerities deposits and information services, but no defect in said Anther notice nor any failure to give all or any portion of such Artier notice shall in any manner defeat the effectiveness of a call for redemption if official notice thereof is given as ,wesoribod above. 4�'5 UPM surre &ter of any Certificate redeemed in part only, the Tlv3tae shall e5mcvta and deliver to the owner thereof, at the expense of the city, a new Certificate or oartificates of autnarized denominations equal in aggregate PrinciPal amount to the unredeemed portion of the Certificate esrrndered and of the ram b ter0st rate and the same taGsity. source Of ieVlihent Fbr The ro.+itiea - Each Certificate represents an iadivided fractional interest in the lease Payments to be made by tho City tr, the Corporation (sea "= CEFaInCA N — General Provis lam "). The Corporation, pursuant to the Jssignment AgneG uTt, Will assign certain of its rights under the Tease Agreement to the Tarstes, for the benefit of the owners, includlr., its right to receive Tease payments theraeder and its riot to exercise such rights and namedies as may be neon. -.saty to enforce the FaYmOnt of Iese a payments % en doe or otherwise to Protect its Interests in the event of a default by the City. principal and interest de with respect to the Ontificatee will be made from the Less Payments Payable by the City for the use and possession of the Project, rantal interruption insurance Proceeds, net ineurarne Proneda pertaining to the Project to the extent that such net pueeetlis arm not used for repair or replsosment, innterest or a er inure darived frcy the investment of the funds and &=ounts held ro the 7St then for the City gsat to the 11w ir t Iugremsnt, or In certain ntancss from the R an eserve Rad establiM- d by the 7rnmt Agreement. Ths City has covenanted under this Law Agraemant to me)e Lase Payments for the use and pmsessic n of the Project and to take such action as may be necessary to include all lea Fayaen in its budget and to appropriate a L ta an amount necessary to make such Paige Payments. The amounts payable to the Trustee are to be used to make the payments of principal and interest due with respect to the Cartifieateei. under California 1M Mn thahgh this Lase Agremamt becmas effective as of the date of the Oertificates, the cbligrtim of the City to mahm LOaSe Payments (otbar than to the extent that Rands to make Lase payments are available in the Lave payment flail, Reserve fled and, in the case of termination of Lease Agroment or partial Prepayment of yea Payments, the Acquisition fled) must be abated in $dhas or in part tf the city dose not have Rill use and possession of the Project. The obligation of the City to make Lease Payments does not constitute an obl.dgatien of the City for which the city is obligated to levy or pledge any form of taxation. Neither the Certificates nor the obligation of the City to make Lase Payments constitutes an LdkDtabras of the City, the state of California or any of its political subdivisions within the meaning of the Cmwtltutlm of the State of California or otherwise or a pledge Of the faith and credit of such City. A Reserve fled is est"hh nv,ed under the Trust Agreement, Amounts in the ROserva pled are to be used only for the pafinent of rm Payments to the extent amounts in the Pease Payment Fund are insufficient therefor, See the discussion herein under the hsedinq -M= AMMEW — fluids and Ac ounts- Peserva Fund." Assuan[ to the Assignment Agreement, the Corporation will assign to the Trustee, for the benefit of the owners, its rights under all of the cease u/r 7 1 `0 Agreement, lncludirg (a) its rights to receive amounts payable by the city wider the Lease Agreement and (b) its rights to enforce amcunts payable upon default, but macepting certain rights to indemnification aid the payment of fees and 1 expenses. rease Payments are required to be made by the N.ty wader the Lease Agreement for use and posseesicn of the Project, -for each arsaual period during the term of the Tea aa Agreement, coece,cing mADoo®ber 2Ain any year and ending December lAin_ the next sumacding year _ (the "Rental Period ") . AP ay are due The lance Agrsamst requires that lease Payments be d%xsitad in the hose Paysw. t fled maintained by the Trustee. lnw each Ayza t date the Tntstes will withdraw from the Lanese Aryment fled the aggregate amount of such lave Payments of tho city and will apply mxh amaants to make principal and interest payments with respect to the Certificates, sufficient to meet the toilwing anrmal amortization sctmKk le: 1989 $ $ $ 1990 1991 1992 1991 1994 1995 1996 1997 1998 A E EKDM The Corporation will enter into a I'm Agreement with the city. The Corporation agrees warder the Lease Agreement to cause fwands to be deposited with the Trustee in an Acquisition fled created wader the Trust Agreement to provide for acquisition of theAna oct. The Corporation agrees to cause the Trustee to reimburse the City for Acquisition Qnsts of thsAPratect from mocxnys deposited in the Acquisition fled. TVA The City agtoes that upon acguisitim of tr. Project it will take Possession of the Av ,act under the terms and provisions of the lease Agreement. If the Corporation, for airy reason udatsosver, cannot deliver poesessicn of the ~Role Pm eat to the City, the base Agreement shall not be void or voidable, mar shall the Corporation be liable to Lie City for ary loss or damage resulting therefrom; but in s rh event the remaining Lease Payments pertaining to theAEn2ject shall he abated in part, in an amount to be agreed upon by the City and the Corporation such that the resulting lease Payments represent fair oa>sideraticn for the use and omgascy of the portion of the Project actually delivered. Payment of Delivery Coats shall be made from the maeys deposited 0' the Trustee in a Delivery Cost Farm created under the Trust A�, i mmsys shall be disbursed for payment or disbursement Of Delivery clot+ acoordance and ups, capliuoca with the provisian of the Trust Agmeement The Corporation and the City acJaarledge that the Acquisition the Delivery Costs FIrd have been created for the benefit of the City unarp.Rded morwys remaining in tha Acguinitian Fad and mat required for pa, r Ao¢dsitinn Costs or in the Delivery Costs Fad and rot required for pay. of Del wrl costs shall be applied in aanrdvre with provisions of Lei Tru Agreement. The City shall have, and isAgranted under the tease Aarsemut the option at any time and teem time to- time dusirg the Tram of to Lease Agreement, to add additical land, facilities, improvements or other property or to substitute other land, facilities, Improvements or other property t= sae Project or precedent specified specified ,in tM mss Agreement. ' shall eatfsiy certain m'diticm! Lease Paymenra Thor City agrees to pay to the Cuperatim, its sucwmrs ar3 assigns, as rental for the use aryl ooagany of ti:.i: vii jest during odch Period, the Icase Payments (denominated into tents cr prirc tffi1 and interestf for tee eat to be dus and payable on the respective Lease taymuut Dates. Any amount new in the Lease Payment Fad on any Lea_~ Payment ate (otter than amounts resulting tom the prepayment of the Lease Payments in pan: but not in whole and other than amwnts required for payment of past dun prL.cipal or credited represented by any Certificates not presented for payment) shall be need be made on Payment Len due and payable, and no Lease Payment any Lease Payment Date if Lee amounts Len held in the In,m Payment Fad am at least equal to the Im Payment then r -tired to be paid. The Lasso Payments for theAProieet payable in any Rental Perm. shall be for the use of thaLREject for such Penral Period. In the event that the City prepays all remaining Lase Payments in full pxuuaant to the lease Agreement, the City's cblig3tions Lander the Inasu Agreement shall thareupan cease and terms ato, other than in the case of prepayment by application of a security depo3it. In the event that the City prepays the Lease Payments in part hit not in whole its a rmdt of any insurance or oadematlon • Credited h respect towards any on of tFa , such PreP*Yment shalt be the Principal 09 each of the Toasa payments as shall be r (i) remaining such Tm�w Aryans ( shall be shoed m a pro zeta basis in integral multiples of 55,000, arch (ii) the interest component of each ramaining ash lease payments shall be reduced by the aggregate corresponding amant of irtaest which would otherwise he payable with toopect to the Certificates thereby redoemed pursuant to the Tryst Agreement. 11» MIA the oct CM standard to Maintsin or, Canine to be mintairmd with respect to ham_ m Wrthensive general public liability arcs property dimege inasnnoe, Ciro irsnaanee with extended coverage. 7ha City also agrees to maintain rental internTtion insurance covering loss of the use of all or any Part of the AptrnieCt in an amount equal togat least .v tizrx thw Taiga -�w Peguirament (as defined balm). All required insurance may include self- lnaaance of a qualified inautmnoe consultant. in the manner described in the vase Agreement) and custcoary d,a.,,tibla amounts, and must (if poliaias are obtained) ba maintain, under polici rNPi.ing at IOW-- thirty (70) daYSI prior written ncltlee before expiration, cancellation or reduction of the covsraga prvvieed thereby. Insurance proceeds will be male payabla to the Trustee (except in the case of public liability and pruparty damage insurance) and in the case of the /Meet, damme insurance must I* payable in tha mraatt of the full reglu��smvuC mat of theAPrq G2fr- The City shall deliver or =me to be delivered annually to the Trustee evidence that the insurance policies (if policies are cbtaiml) required by the lease Agreement are in full force mid effect. The net grmaads of any Lsanace award (visat pruceeds ") tr.Atir{T from My darvga Or destruction to all or any part of the.A� Nhall be depaaited Witt. the Trustee in the Insurance arc C=Semaatim created tinder the Tnst Agreement. If the City datemairm ad notifies the Trustee in writing at, its determination, within nbuty (90) days following the date of such derasit, that the replacement, repair, restoration, modification or improvement of the P��Prry -L is not economically feasible or in the best interut of tin City, than won Net Prof vista¢ 0pemptly transferred by tns Trustee to the lease pa}aent E%zd prepayment of Tea paymenta pursuant to the Te ae Agtemmt: piovidod, that in th. e:YSnt of damage or deetxvction of thneAproject in full, sire Aht Proceeds withotter transbe� to the Tease Payment Fluid — only —if sufficient, mtponer h all r =Me, to cane the prepeymernt of the principal principal o f all ' cal all 1a�s pursuant .o the prepayment of the Princ' mat. All Net Proceeds �d I—se payments pursuant to YAe Tease not so transferred to the deposited in the IrmMu Ce and Oxx mraticn flmd art replacement, repair, restoration, =d Pica P� rill awed to the Sad or desLTOYed portions t2 oc theAgmdj= by the ':ity, t receiip`- of a damaged or "rY signed b; a City Representative in the II rerequired by Mark 'm has �� Agreement. Any Galan- of the Net Proceeds remaining after ash completed shall be paid to the City. 51 12 Default nd Re vies The following constitute "events of default" under the Iea..e Agreement: (a) failure by the City to pry any Lease Payment a otter payment required to be pai4 thereunder at the time --pcifiod therein, and the continuation of such failure for a period of ten (10) days; (b) failuu a by the City to observe and perform any covenant, condition or agreement on its part to be observed or performed, other than as referred to in clause (a) above, for a period of thirty w]C) days after written notice pacifying such failurw and requesting that it 4 readied has been 9' Iven to the City IT the Corporation, the Trustee, or tha Owners of not less than five percent (St) in aggregate principal amount of Certificates then outstanding: provided, however, if the failure Stated in the notice cannot be corrected within the applicable period, the Corparation, the Trrstom and such owners will riot unreasonably withhold their case:_ to an extension of such time if correc=tive action is instituted by the City within the applicable period and diligently pursued until the default is corrected; and (c) the filing by the City of a voluntary potition in baniao>ptcy, or failure by the City Promptly to lift any execution, garnishment or attachment, or adjudication of the City as a lsr0rupt, or assiT'cent by tJwa City for the bee-it of creditors, or thou entry by the city intn an agrmesw & of composition with creditors, or the approval by a cart of aseetent jurisdiction of a petition applicable to tie City in arty proceeding instituted under the provision of the Fad°Ar BaNatp'.cy Act, as amended, or order any almilar acts which ay hereaftar be enectod. Upon the occurrence of an event of default spergei"n above, the assporatim ay exercise ary and all remedies - :ilable Pursuant to law or granted puraarut to the Ieasa Agreement, except that there "fa11 be no right team circumstances ym nts not then default to immediately due amend p able. any O�rpor�aticn may w arcise any and all of y payable. The Project, and also, at its option, with without thout such and _�� terminate urpm the Tense Agrenen!r Provided, that no termination shall be affected either a by operation of lei or acts vt the city or the Corporation, except in the camber provided in the Imse x¢sement. In the event of arch default and notwithstanding any re -entry by the Corporation, the CJty shall corvine to remain liable for t`e payment of the Iai Payeenfts and/or damages far breach of the Agrg.�tan the perforance of all conditions contained therein arri, any event, anVor damages ¢hall be payable to the Corporation at '3e time and in the career as provided rn rte Tom Agreement. In tho event the Corporation goes not elect to te=iKte the Lease Agreement, the City shall regain liable for the payment of all Imes Paymtnta and the performance of all conditions containel in the Lease Agreement and shall reimbuasw tto Corporation for any deficiency arising cart of the re -least g of the Project, or, in the event the Cnl=zticn is unable to re -lease U> 2mXJg= for tha Cull amasut of all rm Payments to the end of the term of the Imse 70 L Agrneomt. The City appoints the Corporation as the agent and atternry- in-fact of the City to enter ton ani re -lease the Project in the event of default by the City in the parfomance of any covenants contained in the Lase Agreement to be perfemcd by the City. she City waives the right to any rental obtained by the oration in exxaas of the Tessa Payments and conveys and release such crass to the corporation as cvrperoation to the Corp=ation for its services in re- leasing the Ac act• IYh the event the Corporation elects to terminate tho Image Agreement and re -lease all or any Portion of theARE?Jec =, the City tnevortheleso agrees to Pay to the ration all costs, loss or damages howsoever arising or 000urring payable at the same time and in the same damages howsoever arising or ooahrring payabla at the cams time and in the same namer as provided its in by the Argremernt in the case of payment of Tease Payments. Any sure Corporation from such ra- leasing shall he the property of the corporation and the City shall have no right theroto, ear shall the City be entitled to any credit in the event of a deficiency in the rental received by the Corporation from the Ap jam' •� � is >i.' •.rte 'IIhe City, at its own e4vnse, has the ri9ht�to toga¢ modifications and additions to.the Proiact, p.- ovidad such modifiestiois not dsmr)e the der, substantially alter its nature, cause it to be used for unauthorized Reposes or xud<hce its value to a value ,)xta balmy less than that existing prior to rude modifications or additiore, 411 such radifintim s and additlam beome part of th mADr OEt and shbjact to the provisions of the Iatso Atgteezentt. 9e City in responsible for the improvement, rep- -ir, and mine of the Project and shalt Pay or arrange for paymuM of the cost of repair and replacement resulting from ordinary spar and tear, or want of care, on the Part of the City. The Corporation makes no warranty, either express or implied, an to the value, design, condition, m4IClantability or fitness for any partiallar purpme or use by the City of thel Prof or of any other represematicn or warranty with respect to thOAProiect. the City with quiet use and enjoyment of eepm —t Corporation a2a11 provide M-A City shall Pay, or cause to be raid, any taxes relating to the D eet as they berme do. 'IIn corporation and the Corporation's =-coassms or assigm have the right at all rs:amble times v have access to the.Pro' eet and to caysew FLOP8r maintenance of tie Prv(ect. in the event of failure by the City, to Perform its obligations. pursuant to the Assignment A4rewentr the Corporation has assigned its rights (except certain rights to indemnification and the payment of fees and {!Z( expenses) under the Imse Agreement to the Trustee for the benefit of Use Miners. The City may assign its rights under the lease Agreement, or sublease the Project, undar aartain conditions contained in the lease Agreement. the City Of Lease terminates winos (a) the Payffi+ut or prepayment by ty yme nta due during the tea of the laasa Agreement, (b) a default by the City and the Corporation's or its successors' and assigns, election to terminate the Leass Agreement or (c) the J=J2z is taken in etnle puratant to the poor of eminent domain or is tams in part pursuant to such peer to such en:tent that the remaining portion of the,$pjqZ is no lager use= for the purposes originally intendod, and the Lease Agreement is teminatod pursuant to its eminent domain provisions. The Trustee is appointed pursuant to the Trugt Agreement to act as a depository of amounts held thereunder. The Twat pgro®sut authorizes the Trmustea to prepare, exeoute and deliver the Certificates. Transfers of the Certificates are to be recorded in a register maintained by the Trustee. Tho Tnutea t the Trust Agreement o creates several funds to be maintained by the Corporation, the City and the Owners. f Acgursilt! n Red - A portion of the proceeds of the Bala of the � Acquisition Pad will be deposited reed b the Trustee torn mplat quoits So the Project. Upon completion of a xjudisittion of the �ye amounts of the project, any amounts o be appl apin plied the Acquisition Rod Will bo transferred to the reaea Fa}amcat Pad to be applial as a credit against su6sogsent Imse Payments due rim the Cyty. [)pan omrrenre Of one of the events VAILch Will result in termination of the Lease Agreement, as described herein under the howU g "LEASE AGMUMIT — Te=inatlen," the Trustee will not make any rather disbuzzenents from the Acquisition Rand and all amines at the time in the Accgulsition Rani will be transforred, as proved d in the Trust Agreement, to the Im.e Payment Rid, to be Credited against the lease Payment obligations to be applied to redemption of the Certificates " des¢¢ibed herein under the heading "der COUMCATES — Redemption." Igrse Pwimmt Rod - The Trustee will deposit in the lease Payment Fund accrued interest on the Certificates from Decab -lr 1, 1988 to the date of dalivery of the Certificates, all Imam Payments received from the city, prcwecis of any insarance or cznimaticn atard and any other amounts required by the Lease Agreement or the Trust Agreement. In the want that on any Ittartrt Payvant Date them is not on deposit in the rawa• Payment Fad an amount equal tow Lea" Payment obligation payable on such Dutsiast Payment [ate then the Trztes ahall immediately trarafer from the Reserve flan to the Lease Payment Fan an am-Amt necessary to incense the balercv of the Lease Payment fled to an amount equal to such Lease Payment obligations. Reserve Fend - The Remove Fund will be initially Railed from the pt?oeods of the certificates in an ametunt equal to the Reserve Raquir®rut,u hich shall be naetablishod at S . If on any Interest Payment Date moneys on tarry in Lease Payment Fud-ZU-not equal the Pease Payment required to be deposited with the Trustee on such Interest Payment Late, the Trustee shall iomediately tranefar moneys from the Reserve Fad to the Lease Payment Fad to make up such deficiency. Upon receipt of any delinquent Lai,a Payments the Reserve Fad stall be replenished. At any tima that the combined balance in the Reserve Fad and lease Payment Fud equal all Lease Payments remaining under the Lease Agreement, the Trustee will transfer sfer all amounts in the Reserve Fed to the Leese Payment Fad to be applied to the payment of the Lease Payments as they become chn and Payable, and the City shall be deem d to have paid all Lease Payments dun trder the Lease Agreement. Inumancaa end tAdeamatim Ptad - In the event the Trustee receives Net P=caeds of an ir>surw= award in cgvectim with damage or destruction of the Project, such Net Proceeds will be deposited in the Irstrance and Cud[svation Fad and will be applied by the Trustee as described herein under the heading "L AaRZEMUM — Istnance." Delivery 0 9 Fad - A portion of the proceeds from the sale of the Cartificatra will be deposited with the Trustee in a Delivery Costs Fad and shall be applied to pay costs of theAexeattion, dalivmv and sale of the Certificates upon the receipt of a signed invoice approved by the Cexporatioh's authorized rrpmsentative. Any Ronde raining in this fund after all soh costs; have bosh Laid will be transferred to the Acquisition Fad (or to the Lease Payment Fund, if the Aogd ition Fad has been closed, and applied as a credit against succeeding Lease P.,mertts as they berm due). A The c of Eess Inve Earnings such that all interest will income income subject': to a mounts in the fads established under the That accruing bdeposited si amain he Agreement elall be deposited Sn the Earnings Fad, and, annually, the excess will be transferred to the Rebate Fad for pompons of ultimate rebate to the United States. Any amount tdtieh is not arxcae which is than remaining in the Earnings fled shall be tzannsfeercd to the Acquisition Fad, or if such Dad has been closed, to the Pease Paymet Fund. Y 7—� 14 Prior to the aoquisi• ion of the Project, all inntarrst Income accruing to the dense Payment Ftmd shall be transferred to the Acquisition fled and, thereafter, shall be retained in the Imse Payment fled and shall be applied as a credit a7drat tie next srcaa.^ding Liars Payment due. Interoat inane on the otter accounts will be retained in the rc=mt in vhieh it is earned and ahall be applied for the purpose for vhdch such account was established. e TrRt'� es is required to invest and reinvest all moneys held in the wader the Trust Agreameret ugon irstrvctime from a rqumarntative of the City, but only in investments of the nature described below: (a) direct obligation of (including obligations iss .nd or held in _ book entry obligation the of the t of the Tr'�y of the United principal of and intarest on udxich are urn=ditlonnlly guaranteed by the Ltnited States of America; () ddmnbras of the Federal Housing Administration, (c) obligation of the folladirg agencies vhLch are not guaranteed by the Unitel Sates of Aanriea; (i) participation certificates or debt obligation of the Federal Home loan Horb3age Corporation; (ii) amsolidcted systamvids bonds and notes of the Farm Credit Bands (ocsnistirg of Federal lard Hanks, Federal Irter=diatsa Credit Bunko and Banks for Cooperatives); (Lii) consolidated debt obligations cr letter of credit- backed Issues of the Federal Home Loam Banks; t -v) mortgage -hrJmd sec+rities (excluding stripped momgaga sea,citles utAch are valued greater than par on the portion of unpaid principal) or debt Obligations of the Federal Rational Hortgigo Association; or (v) letter of credit-backsd issues or debt obligations of the Student Loan Marketing Association; (d) Federal Rods, u m=tad certificates of deposit, time dspceitg t� bankerss as �ptancn ( havin Mbxities of net more open 365 days) of banks categories by Moody's Investors Service rater in^one of the three highest ratl.q ("Moody s hr (e) deposits which are fully insured by the Federal Deposit Lrararce 0=poratlan ("FMC") or the Federal Savings and Loan Inst=ance Carporation ( ^FSLIC^); ;f) debt obligation (excluding securities V-At do not have a fixed Par vale or /or whom terms do not promise a fixed dollar avant at maturity or call data) rated in ae of the three highest lag tars rating Categories by Moody'04 (g) 000arsclal paper (having original maturities of not mars flan 76s days) rated in one of the three highest rating categories by hooysig �7� il� in msxy market funds comprised solely of obligatran rated in me of the hic¢>est imting categories W Moody 's and Muth Rur3s are rated in one of the these highest raking wtogories by Hoody'n�t and (i) repmcase amt with (1) aty instiWtionn with long -term debt rated in ono of the tbx hIghest rating categories N 2loody'W (ii) with any corporation or other entity that fills under the jurisdiction of the Federal Ban*nWtcy Cod ' subject to oertalnAreguls MtS set forth in the Trust AgrOmaffm; (iii) with finvciai Lrotitutions inmred by the FDIC or FSLIC or any heiosr�l with protection °� (.blpC ) ;eet to certainty of tz2mirements set forth in the Trust Agreement DPI TYant+fer a_r+d i�r tica*�4 The 'Route. is directed by the Trust Amt, upon written rvgsest of the Corporation, to Prepare r ate and deliver to the Original purchaser thereof. the Certificates in time aggregate principal apt' Trust Agreement contains prooed+'r'es with rWfc= to oo'cnang's and transfers of the Certificates, fnr conditacs of delivery of temporary r„+t +factor which am mutilated, lost. Certificates, for Procedures for of pA:nera and of a.:grsh =? of destroyed or stolen, for evidence of nigna Lotto }went of Certificates. Certificates and for ptcwd� with respect The Trustee Ss appointed as paying age-it for the Certificates. to at the princ+pai office of the Trustm Principal San o Certificates or�nn a.� Ijnt�et with respect to the certificates is FrancijcO, payable by check or draft of the Trustee railed to the ors>er =t record, m the payment data th-- refor, at tM address otewn m the Certificate register required tom int ind by the Tv ten' r+ t t,�, ion of LdnMlit3[ The Trust bent contaida9 O,,tain dmvisions limiting the, liability of the parties thsreto, including the following Pmmr lions: (a) neithc tha Cnporatim ror the City shall have any obligation or liability to tree 0,nars with respect to the perfommsnsoa by the TYtmrtea of dries irposed upon it by the Trust Agreement; (b) emePt for the Payment or press Faym3 utYT due in aecordarna with the Lease AemQat and the performance th of e od*r oovm>a ws and egracmennts of the City contained in the Lease Agreenmt and the Trust Agremo*' the City stall have no ply obligation or liability to the Trustee, the Craporation or to the aT+rOra of the Certificates with respect to tin Trust Agracnt or the terse, a o-rution, daliiery or transfer of the certificates, or m "aµ the aistrir.,rion of llama* IsYwft to the 04=8 by the Trustee, ehmOpt as expressly set forth in the m=t Agreement; and (0) nothing in t'e Trmt Agreement Or in the Certificates shell give any psson other than the City, the Carpveatim, the Tn'Otee and the Oaere of the CU mates, any right, ru edy or c1alm u dw or in respect to the Trust Agrm+mt or any cove ant, axdition or pscvisicu thereof. No wear of em,• certificate ficate executed and delivered under the Truett Agreement shall have tte right to in.titute any suit, action or paxseciing At law oc in equity, for any rem&V therezrIer, unless (a) mxh Owner drift have pr3riasly given to the Trustee written nstice of the occurrence of an event of default under the Patin Agroementh (b) the Uaari of at least twenty -five percent in aggregate principal amamt of all the Certificates then wtstend'.ng Mall have made written requnat of the TSustoe to exercise its pairs or to leAtituts much acticn, suit or proceeding in its own ram; (c) said Owners shush have teniuld to the Trustee reasmble indemnity acpinst the costs, cVmwa and liabilities to be incurred in oapila ce with such request; and (d) the Trustee shall have rerared or witted to comply with such rm_uueot for a Period Of sixty (60) dayw after suds written request shall have berm received by. and said tender of indemnity shall haw been made to, the nvstae. 7ta right of any Owner of ary rmrtiricar, to neoeive payment of said Ownetta proportionate tits est in the law payments r+ the tam become duo, or to institute suit for the onfaxement of s:Ch payment, shall not be irpairod or affected witl met the consent of such ow ar. Upon the c==rgnce of an event of dafuat under U.3 ices Agreement, the Trustee, as assirgae of the Oorparacion, stall won:cise the remedies provided tender such lease Agreement and any Other r asses uhich the Trusts* may have by contract or law. The Trust Agremaht may be m=eed at any tima within& the dosed of any of the 0wrere, but only to ate any antiquity or dafective paa4slon or to clarity any matters not inconsistent with the Trust Ag K and which shall not &tMraely affect the interests of the Owners of the Chatifieatex. The Trust Agreement my otherwise to amwxW by uTittes consent of the Owners of at least fifty - ra peraaut in aggregate principal amount of Carti*icatan, and no amer,210R shall 1.,,. dr the riot of any Owner to receive his or her factional share of wry lease Fayaxnt without his or bar argent. Ile Trust Agreement tenainatde and becacs Void '.urn principal and intmr+est duo with respect to the Certificates has been paid in full or provision fnr payment therrif has bftn made by the deposit of cash or Federal Securities in an amount sufficient (together with interest earning t`nereoh) to pay said principal and it ere—t. //7 17 Tie Assignment Agremmt is made and sparred into by and In[lreen the carporatlonl and tte Trustee. Under the teMO of the Aonigmeht Pgie c nt, theAp mrstim agrees to moil, assign and trarafez to the Trustee, far the benefit Of t�0ianli, all Of its right, title and interest in the I—se Agreenit, irrluding its right to receive lease Payments frra the Cii under the base Agromentf its right to rmcaive the pxocerds of insurance or of an eminent Amain award on the in the event of default by theAq dar tiro Rase A'3r'eementt its'r ton ttL ra enform payment of such Ivmse Payments %4101 duo, at atierwise protect its interests and enforce its rights, with limited exceptions, under the Lease Agreement in the event of default by theme. DM OCMION1=1 The Corporation is a mngaofit, public benefit corporation ozg2,nized and existihri order and by virtue of the Han Profit Public Benefit Capntatite law of the State of California. The Corporation uas established for charitable paw includirg rendering financial assistencet to the city by financing, ac*drinl, ccnsU sting, irprvving and leasing public I'prMVMMts for the benefit of residents of the City and the aaraaldirg area. w 1 n r 1• r, Y �. The city wvenants to budgeL• are appropriate each fisal period sufficient flays to pay all Lease Paycrnta role under the Lease Agreement. See "TM CEIMMCA= — Source CK Paymmlt Fbr The certificates" herein. The fiscal period of tho City begins vi the first day of July of each year and ends on the thirtieth day of Jlale of the following year. At such data as the City Narclger or &J*r authorized administrator ithe "ikwitive ") determines, each department head mat fhmhish to the Dwcutive an estimate of 'vveneles and expenditures for such department fa the ensuing fiscal period, detailed its arch manor as racy be prescribed by the Em=tive. in preparing the proposed budgat, the Executive reviews the estimates, halls co nferemes thereon with the respective Aepartrm heads, and revises the estimates as he dace advisable. 477 is Apprnxtmtely thirty days door to the beginning of each fiscal period, the rx0cutiw submits to the City Council or other appropriate governing body (hereinafter, the "Governing Body") the proposed budget. After reviewing and making such revisions as it duxms advisable, the Governing Body determines the time for the holding of a public hearing thereon and causes to bs published a notice thereof not less than ten days prior to the hearing data. Copies of the proposed budget are available for inspection by the public in the office of the City Clark or other authorized administrator at least ten days prior to the hearing. At the conclusion of the public hearing, the Govandnq Body Rather =raiders the proposed bxkjet and mkev any revision therein that it deems advisable. for each fiscal period beginning July 1, it nrvisions it adopts the 1xx>;jet with , cry, by the affirmative vote of at least a majority of its members. From the affetlw data of the budget, the several amounts stated as Proposed cgm4ita,'s base appropriated to the several departments, offices and agencies for the objects and purposes r provided that the Executive may transfer the apprcpriaticm of a Rend 3cm one object or purpose to another within W department. All apprzcpriatiaa lapse at the end of the fiscal they have not been expended, lawfully eramtered or carried forward by action of the crvaadrg Body. The Gmernirg Body of the City employs, at the beginning of each fiscal period, an indgmxSent certified public accountant wt=, at such time or tines as specified by the Governing Body at least once dsirq a fisahl period, and at such other times W be shall determine. exmnines the cmbir d financial statements of the City in accordance with generally accepted auditing standards, including such testa of the accounting rewrds and such other auditing pxoea4ses as such accountant uasiders necessary. As soon as Practicable after the and of the fiscal period, a final audit and repo,*. is submitted by such accountant to the Governing Body and a copy of the financial statements as of the close of the fiscal period is thereafter available. AM925ed valuation and TeX CollectIon. Prior to fiscal year 1981- 1982, County Assesso.-s generally assessed all properties at 25 panxTt of full ash value (market value), The State Baud of Fghalization assessed public utility properties at 25 percent of full cash value. Since fiscal year 1981 -82, all property has been arena,a using full cash .calve. The Constitution of the State of California (the ^State^) and various statutes provide compticrs from ad valorem property tayaticn for certain cla=es of Property such as c=ubes, colleges, rnvzmfit hospitals ' and charitable instituticxa. State law allows exemptions from ad valorem property taaticn of $7,000 Of full owner- amgnied d ellirgs. The State, however, reimburses all local taxing authorities for the lass of renn es imputed to these exerppticna. Tn addition, although business inventories uers rmwod from the tax rolls beginning �z8 with fiscal year 1960-81, State replacement reAmues are provided on a calculated base to reimburse local tax9g agencies for this reduction of taxable MpmYles. Final assessed value2 are available on or about August 25 of each fiscal year. State and county taxes are due and bec®e delinquent each year in all owmties of the State as follows: First inst t!�* due November let. Oelingeut after December 10th. Second installment, due February 1st. ilalingueht after April 10th, The entire tax may be paid at the time the first installment is due. Beginning with the 1984 -8S tax year, a penalty of ten percent (10%) was added to the first installmer—t if rot paid on or before December 10th; and ten percent to the secod installment if net paid on or before Alsil 10th, together with tea dollars of costa also added for each described portal. At the end of the first year of delinquency, z+ency, property is sold to the State. In redoeminq property for dolingxent teums, penalties are added at the rate of 1.5 percent per month, with $15.00 redemption fee on each separately valued parcel sold to the State. If net redeemed at the end of five years from July 1st of the year first beaming delinquent, the property will be deeded to the State of Califonnia, and may thereafter be sold at pilxlic auction. Dm inghent taxers may be paid in installments by ptyirzj 20 percent yearly increments of the imaaht to redeem; subseghent payments draw intayest on the unpaid talanoe at the rate of 1/2 percent par month from the date of previous payment on property whlrh want one year delingient prior to June 15, 1984; a rate of ono pnzaent pus month on property which went one year delinquent uent f)xm June 15, 1974 through .Tare 14, 1982; and a rate of 1.5 percent per month on Mich went one year den i.,.ent on or after June 35, 1982. De4dad property my not be placed on the installment plan, however, it can still be redoemsd in full until sold at public auction. Property deeded to the State for delinquent tax may be puartasd at public auction by individuals. Ntahty Tux Conectors dell action such ptperty within two years after such property has been deeded to the State. Taxes or property Assessed on the tarecued roll as tameased prcpery (separate from real estate) are billed as soon as asses -�i. TWees on the roll as of July 31st, if unpaid, beech delinquent on August 31st. Tars added to the roll after July 31st, if unpaid, berme dalin;ue;t the last day of the month following the month in which they were adlcded. A 10 percent penalty attaches to the taxes when they beans delinquent and if unpaid at the end of the second 479 20 � � month' aa1.5 Percent Penalty ir1 added m the first day of each mmth court judgment is entered. Certain Pm7udsivas Of Article )MM to the California Oo stitution (a) limit ad valorem property taxes on all real property to one percent of the full cash value of the prcpecty; (b) exept certain classes of voter- approved branded indebtednesa from the 1 percent limitation; (c) define "Lull cash value" as the Assessor's appraised value Of real property as of March 1, 7975, adjusted dnanigtm in the Rica Lndac --not to exceed tw percent Per Year; (a) PBffiit ea- *� ++m+^.^. of a new "11+11 cash value+ Ehnen there is new wnst ruction or va dwxje[ in a-TA ship; (s) permit the teassm uAnt. up to the Much 1, 1975, 1roPerty uduidn was not current on the 1975^76 ae wssaernt roll; (f) require counties to collect the one Percent property tax and to "apportion acmmling to lm; to the districts within the counties"; (9) p ohibitt new &d oflrenl taxes on real property, or sale taxes, or transaction taxes, on the sale char than property; pr pewit the imposition two-thirds of spedal taxes by local agencies, OlOctBioCtt>ran eL such agencies; � and i (2/7) vote of the "qualified rn " both hnu the () require a two - thirds (2/3) vote of all would result in incra�sad rev�czae�e.��tuza for any changes in state tales tdnidn An initiative constitutional aumedment entitled "Limitation of Under the &Dmxhwt whir airs �' California voters on No+aber 6, 1979. state and local Article 10:138 to the California Constitution, Bait," and era government a9exciOs are subject to an annual "apSrcFelatias above that axe from spa;dinq "apprupriatims subject to !imitation" above et state limit. "Appropriations fact to limitation" uxxsisc of tax affect the tote riatiou oL , and certain other funds. ae am t dOBS opt subject a limitation =MW excluded from the definition of "appmgsiatlae ,^ such as debt service on indebtedness e authorized by January 1, 7979, or aulsegarnU rtr...' or y a,W> xisting, and appxopriaticns meudated by the count. axe amwxbwvt also excludes from Limitation the appropriation of proceeds from regulatory lieersee, user c argee, or other fees to the extent that such proceeds equal "the costs rea7cnaKy barns by such entity in providing the regulation, product, or service." Will n ix! based n general teLi , the t Provides that U» epprcrziatio s limit Willett danger in cost 97 11 expenditures and will be adjusted annually to reflect d of �' population, and transfer of fimmdal responsibility praAW-.g services from one gomr mental unit to another. ae amendment also Provides that if an agency's revenues in any year amount udnidn is appropriated by such agency in ooepliance with the lnlexcaed tie the omws must be retuned during the next t o fiscal yearn by revising tvc believes it is obligations under Article 701217 or the California CmwUtutier. presently fulfilling all 1 ?Q 21 7ME my A The City of Rmrho Ojcmxx= enoxpIsses 32 agmxs miles and is located F;. In San Bernardino qty. Rhe City is a gaucal law city incorporated Novembar 30, 1977- a» City operates tudat a aiaril -raugor ta= of government. gs five Cmmcil Members are elected at largo for stxy3 vd four-year toad. 'ihS ` Mayor serves a tkv -year torn of office. Ttie City Mager is appointed by the ;. O well and serves at the Camcil's pleasure as the "d'+nt trative head of the City. The City Manage' is responsible for appoin'_ment of all City employees sen¢ept the City Attorney, ubo is also appointed directly by the Council. 1Vblic safety Avrticrcs are perfarmod weer contract by the ommty of San Bernardino Sheriff's Department. 7M Sheriff's substation in rarc3a employs Maly 80 Rill -time expacyam. Fire and resam services arms provided by Foothill Fire Protection District, skids is a Special Dis-trict of the Comity of San F*=mrdim. Mn District mminfaim three Lira s-�ticns within ,i the City limits uhich bores appzmdmately 58 fire fLITters, offices mil staff. Y 9ne City's workforce is comprised of app¢netirately 276 eeployees, 225 full -time and 51 part-time. 1§Sll� Pop latlm statistics for the City of Bandm nramonngm are set forth below. 1964 ]985 1586 1987 ..1288_ 61,700 65,500 73,800 80,400 94,614 Sauce: State Depart-ent of Fi anr_o Al kh M•: MI Source: California EaPlolaaent Dwakpoent Depa t=nt. The follwin7 table ptvlldes a am the suarary ofety���° 0!ne � units a0tnriz lf >ncboa � l t i to eh valuations 23 The Yo11win3 table SALZma izes labor fofor., W, pas � or Sail 8exnatd.A7o e:plcy� and 5ta� t R�lifo CamtY Matrtpol,lta7Area, the t7a United States. Civilian U�tp�t t- IMMQIZM= 1 684 ]72,400 ]4],900 Califto�da, 28,500 7.6t .• . . . . . United States • • • 12,619,000 11,638,000 • 117,544,000 981 000 105,005,000 8,539,000 7.5 San Berta ° �tY• 447,800 417,100 30,700 6.9 12,937,000 12,006,0 United States 00 . . . . . 115,461,000 107,150,000 931 000 8,312000 7.2 1485 San BgxTmi1irx) 0ou+h'• 477,300 450,200 5.7% ��, �• . . • . • 1.7,765,000 12,473,000 • 217,834,000 103,597,000 892,000 8,237,000 7.0 Source: California EaPlolaaent Dwakpoent Depa t=nt. The follwin7 table ptvlldes a am the suarary ofety���° 0!ne � units a0tnriz lf >ncboa � l t i to eh valuations 23 I Valuation Residential . . . . j7mresidentlal . . Total . . . . . New DJelling Units Sirgle Family . . . Ftnitiple BamLly . . Ibtal CITY OF P.MaD a)CAMIM nrnnnr PER= VAEMMOM 1981 -1987 (table in 00069) 1983 2984 1985 1936 _Z9iz_ $49,128 $140,228 $142,472 $285,649 $271,284 82.203 --sa4.5Z 65.10 65.80 109..5g X33 A i 297A= 1== 2aIQAF4 6 ^0 1,308 1,726 2,576 1,961 .3S 97o M IM5 791 7dS LM 2.349 8l�a1 2.744 Source: City of Rancho aramxzp AAn or HOvecber 1908, the follwirtl table lists the major employers within the ty� C a Wca^crcp and their approximate nmber or ehploS�. Appracimte arplover ?A=bor of 4mlovees Ge»ral Dynamics Over 7,000 Amertn Steel L Wire 251 -500 FYito -lay 251 -500 M%?M 251 -500 Hest Mast Liquidators 251 -500 Ceta Ola Bottling 101 -250 Avery International 101 -750 Rlordlke Pacific 101 -250 Tokai of America 101. -250 Schlosser Forge 101 -250 Data Design Lsihoratories 101 -250 u� X83 2• 4 i t The table boles amaoarizes taxable sales for the city of .and:o } ot=xt3a for the years 1983 - 1986. 4 r QTY OF RAN= C K2MXrA .. TAXABLE RETAIL SAIFS DATA FOR 1983 -1966 i _1983 . _1284- 1995 '9b6 No. of permits 1,230 1,339 1,490 1,589 i,. �,. Total Taxable Trans- actions (in OOO's) $189,350 $216,695 $253,217 $:96,097 K ' Source: State Board of Dq:alizat.ion. 4 R. AUMed ValLattorm MIX UAW AM 0031 iOm e following table sm w merizes the asaed ymporty valuaticm, taz. Th levies and oollecticm of the City of Rancho oxamonga for the last: three years. QTY OF Rkm= COCAtT.WA FROYMY TAX ILVIES AEA Ct7L3.E=CNS nSCAL YFARS 198'' —.86 AND 1956 -87 (1) -_sews., Secured Amt. Dal. Y Dal. Valuation 7bx Lt*ry _ "M 30 31ye 30 1985 -86 . . . . . . $2,157,432,523 027,672,018.04 $1,102,814.66 4.27E 1986-87 . . . . . . 2,358,414,712 32,42.1,434.09 1,136,475.47 3.51 (1) After doAxting reirmloprent tax allocation increment; tax collected for all taxing entities within the City. Sauce: Crlitornia Mmiclpal Statistics. 4N 25 Source: City of Rancho QlclmxVa Flnmclal Statements, 4sss 76 WIG follaving table =marizes General Pad TeveramS and ftmd balances for the City of Rm1do Ommcn> forfor fiscal transf198< i -85 YeU% rexigh B86 -97. MTY 0 axvroca SIIRAia' C° � RLVMM AND F70?FNDITTIF M YP31FZ9 DnMr. Jt= 30 1'd615i 1984/85 i 1985/85 1986/87 1987/ .,f Taxw Licensed and Permits 4,670,778 3,328,761 $ 5,238,129 4,682,245 $ 7,598,000 [TO Ox1a) 3,388,0!10 ? Fine and Forfeits 9,162 14,2n4 23,000 Use of Maury and prop. 832,835 525,270 297,000 rAtcrgove=Mental Charga9 for Services 1,590,020 196,085 1,768,682 236 173 14,000 2.312,000 i Other 18,095 2 Total Revenues 910,64a,69fi 5151 ?.74.348 tt� fi. Cenral GOventment Public Safety $ 2,257,929 3,417,999 $ 3,517,791 4,140,150 $ 2,495,000 4,311 000 CmmlmitY pevelopmant 3,484,890 3,443,872 5,777,000 C==Iity Services 363.474 480.921 666.000 Total EMUdituras $ 9,524,292 $11.982.734 $13,249,000 ' M=esa of Revenues Ovar (Under) bq*ndlturw $ ].,121.404 $ 1.141.614 $--3s3, CCO a rt'ng Transfers In 1 398,911 $ (362,290) $ 721,000 mRital leases 1Sd_005 Total Other FirAn^_iM Sources dams of Revenues Over $ 398,911 $ (208.285], $ 721,000 (Under) bg"Xlitures and Othar Uses $1,520.315 $ 933,329 $ 1.101,000 Source: City of Rancho QlclmxVa Flnmclal Statements, 4sss 76 The direct and Overlapping bawd debt of the City as of My 1, 1960, is ebwn belay. CT1Y OF RANCID CIICA%M= SG11D M OF DIF=r AND MMUAPP= OEM AS OF MAY 1, 1988 DIRFXI' AND OVTRIMPING hXMOTD DF.9T: 4 Aca_� lirblo Debt 5/2188 San BarranUno w SVerintrndent of School 1 7.552% $ 371,180 San Aarnasdi:no Do R111di g Authorities 7.552 11,533,036 San Bernardino Co Free Library Authority 10.477 67,576 Metropolitan ikter District 0.510 2,706,634 Chino Basin Mmicipal Water District 19.501 1,222,712 Chin Basin Mmicipal Water District Certiticates of Participation 19.501 5,157,039 Ccaftoy Johlt IAdon Hick School DintricL• cereifsCates of Participation 37.331 4,545,049 Alta Tama Sdool District 99.401 3,757,357 Central School District 98.592 2,208,4GO Oxa=ngm School DistrAct 21.007 209,347 EtiuWft School District Cops 86.685 2,609,218 Etiwanda School Distrld: Omm Facilities Dist 11 100.000 3,195,000 Other School Districts and cops Varian 41,407 County'4atm District 88.749 1,059,663 cucamorga O=" Water District, I.D. 11963 -1 94.021 568,827 District, 100.000 Q=mcnga Cxmty Water District, I.D. 15 94.646 5,825,461 City of Rnwho Coanlncp certificates of Participation 100.000 9,500,000 City of Rancho aoammp Coma Facilities Dist 84 -1 100.000 18,000,000 city of Rancho oxamonga 1959 Act Bonds 100.000 X5.964.15+ 2O1AL GROSS Dim= AND o1nmL pp1ND BONDED DEBT $88,602,317 Less: City of San BM7=diM Water system Aoquisitlon Cortifiratos of Partrcspation (100% self- =4vortsng) 724,236 nhmmaga County Water District, I.D. t1 (100% self- supportltyp 60.00a IOUL HET Del'= AND OV1iiI PP= MIDED DEBT $87,8181081 �2 �•1, , M2trcpolitan Nate= District . . . . . . $1,764.730 Alta T— School District . . . . . . . $7,549,506 CUcamvwiga School District . . . . . . . $ ?48,075 Sctm=: C311toxnia Hmicipai Statistics, Inc. 47 28 or' the The significance or only ating view given wdh organization a the ttai addresst 99 am'cn Street, New Yo k New y� mtalned gels it at the following the rating will °one -itw for ork 10007. 9k1a is no asauanca that revised downward or withdrawn any Period of time or that St Will not be rating egerwy, dram sta as Y bi' Moody .s if, in the Ju#m t or such withdrawal of such rating may have Warrant. Any su h dwtsard revlalon or Certificates. adve•1se effect on the xarl"yt Price of the TAX Eax1RON _rn the Opinion or Toneo Nall N111 4 Rate qualifications e:etorth below, dal ,nasal, sWwjoctjat,, to the NYmonts designated as and �isin; t flaw, the porticn or the Ia& the Certificates is excluded yoo %loss !!come for federal inocna� tax '�� of t item of indiv� Frefae� for P of the fedatal alternative �� of OQUFUtirxj the idtter ' Provided, h wwer tax dfe�t federal Lx�e tax purposes), tot corperatiaa (as defined Purpose such Yore adjusted net book 1� (adjusted ocean � account in rq attar DOca ber ]l, 1989) A earnings for taxable condition het the City mcp"n wwiith�lll Preceding �ragraPh are subject to the Gods of 1996 (t 11o7de ^) that gust be aatisfir �'�tv or the Internal Parcrnx, rha 7 s Agm -cnnt in order that such t to t delivery or 4rvQS irx:oce for federal inc®e tax t�+st be, or continue to be, tneluded Ozcm with aadu suds , PuurPcees. The city has covery rated to YOOom easy cause the IMeuslon of 6U(.hl to r Gzxn g with certain of such tax PuuPcaes to be retroactive to the data of dial{ for federal M• SP2cial del cgDr ..._ _ vary of tha lease oorsoqu� noes arising with resoect to the ulease Al ant tertifimates,tax Prospocti sacticn 2655 o v Putty'asar of t Certificates should be aware that (i) a contlnxri to z_ Cde denies a deduction for interest on i or carry the Certificates or, financial Payable with is e r o of Owrer's interest e> allocated to interest Certificates, ,�11 with innuraarm subject to the 872 (�bn) �5�j (p) � irp�d by sectAon e32 Of the Code oactlm Of certain Stems, including deduction for loss reserves by 15 Fervent of t s= s part °� t Cert� ®�i before ,nary 1, 1 interest Payable with' irwmrntal tax "Posed by soction 59A of theCode corporations could be subject to the in the ttt� �fi.cates earned by certain foreign corporations �poMrnt Payable bus with could b3 ear of the Code, ti �iw subject a Profitt' irpcsed by section including intermt Payable with X88 29 respect to the Cattifiomtea, may be subject to fo'raral income taxation under section 1775 of the Oxlo for Subchapter S corporation that have Subchapter C earnings and proflto at the close of the taxable year if greater than 251 of the gross receipts of such Subchapter S caq=.ation is passive investment in =* eni (vi) section 86 of the Code requires recipients of certain Social Scarify end ` i .a1n h�ailroad Aetirsmunt benefits to take into accost, 1st detaonininq the respect to h such ic&t4ae, recipients or accruals of interest payable with rCL917lLt ZD the oertlflaattl. ra the further opinion of Special Cour> , interest payable with respect to the Certificates is eurePt from California personal income ta:aee. Jones Hall Hill & White, A Professional law Corporation, Special counsel, will render an opinion with respect to the validity and o nfcrooabilSty Of the lease Agreement and the :taut Agreement: and as to tho validity of the Certificates. Coplee of sudn approving opinion will be available at the tie of delivery of the Certificates. Certain legal retters will Le passed upon for the star by Bnntnaltat:, lamer, Fields & Younger, A Professional Corlxuation and for the City by badmen & Ato_zytaki. EXPE 5 The audited financial statements of the City as of and fac the year revnlad JUae 70, 1987, included in Appprdix B to thin OfLtcial Statement have bean lance, Soli & Irayhard, certified dArblic Araxryntsrrta as stand in mir report with respect thanto. SUch financial statements have been included !e°r�J inre2latne xWme the report of lance, Solt & Laxjard Odch report also authority of said Said financial statmwntc are presented Upon the e experts in accosting and auditing. APSE= OF LMTGATTCN Thane is no action, suit or proceeding known to be pearling or tdueatercd, restrarniag or enjoinirn the exec, jon To contesting affecting or the Taut Agreement, or�in roan, way rases taken with the validity of the foregoing or any proceedings of the respect to any of the foregoing. Ctples of the lease Agreement, the Trust are_ available upon request from the , r V 30 rr= "Mldemltar"). Mme mxkrwriter la agP=Ms by Sta o s Y=,gb M (tha prime xtif ter Ptwides that ic�t• the pptlydiudu a�grW!ZWTt i�� to am the abject to t at' term pLa' � , tin obligatlon to make °r tfsa eli�* oval of oettaln legal ttera by oa uel! nd certain Lain o� �c'1t � _ Oartillcatee may be offered and sold to certain dealim and others at �''M prices may the * otlaynf time stated on ttr giver p.�s heroot, yn o r Y dar�3'ad h= time to t1ma. HIETSAt OM briekf Faafateticam are made herein to oartaln �1 i ththezmlttr oontatrts tiuIxaof. P-IrPOrt to be OwPlGtO Or is in thadr wjtitvh' tc¢�tull and this oL :lot Y so Official stated, area* 'r'wlv'M matters of rpinien, rcpre&mtatiam ut fact. vais Orflcial Stat�t m such e and not es or agroewlt the Certiriica betceen the city and the purd�asers or pyty g oOf � of authoti: ed by tim City. arri delivery o! thin Ottlolal Statement his bash 611y M • • • V 31 (Para of Final C>pWcn of Special Curial) Decmber _, 2.988 city Council City of Rancho CUcaQaKp 9720 BUsline Road, Spite C R=:ho M==Mryp, California 91770 Re: $_3,5_0_0,0_0Q Outifkmteo of Participation (Northeast Om unity Fwk Project) Cvidenciry Vrdivided Fractional lntasests of the NT%=S Thereof in lease Payments to be Hade by the City of Rancho Wcamrga as the Rental for Certain property pursuant to a Lease Agreement with the Rancho CLcamcrrja public n%zovement Cbaporaticn. mobars of the City Coahcil: we have acted as special counsel in connection uith the delivery by the City of Rancho Crxamonrga, California (the "City"), of a lease Agreement, dated as of December 1, 1988, by and bet-men the Rancho ojcm xp Public Eaprovement Corporation (the "Corporation ") and the City (the " Lease Agreement'), pursuant to the California Goverment Coda. The Corporation has, Pursuant to the Assiryment Agreement, dated as of December 1, 1988 (the "AseiTment Agreement "), by and between the Corporation and Bak of America National Trust and Savings Association, as trustee (the nrustes "), assigned certain of its rights under the Lease Agrol e , including its right to receive learn payments made by the City thereunder (the "Lease Payments "), to the Trust". Pmasuant to the Trust Agreement, dated as of Dsccobee 1, 1988, by and among the Trlustea, to Corporation and the City ( the '"Bust Agreement "), the Trvtea has wMalted and da]Svered certificates of participation 'the " Certificates ") evldrmeing undivided fractiaal interests of the owners thereof in the lease Payments. we have ehmmined the law and such certified proceedings and other papam as we doom necessary to ruder this opinion. As to questicm of fact material to cur cpLnion, we have relied upon representations of the City contained in the Lease Agreement and in the certified proesedirgs and certifications of public officials and others furnished to us, without undertaking to verify the same by independent investigation. Based upon our exmdnation, we are of the cp.Wcn, murder existing law, as follow: 1. Thho City is duly created and validly existing as a municipal oorpmorntion and general law city with the icwer to enter into the Terse Ot 0012DWF A -1 Agreement contained t��ain Thnst rg and to perform the agnae on its part cnP�ble athhee csry stoo � Ste the City iz . bl+ditxl amid b1n6lrg and enforceable with the ir term. r4rmMvnt are WJ.id, * Subject to the ter, , M-Ovialcro; of therefor. a axe paYable general funds o the the 1°'� A4x'ae�at, the axe entitled to receive ��t fit, the ownaey� at the t van tesa aoroxdanoe with the term �islon, of gust A�gr'eehn efL e payments in Interest and rscli� mtl'at� of Y°°nty deai�tad as aM Mposes of i e t�xnl al F�P�a� n19 nott & n Item of tar. �P� �, should ba notedho�weve�r I[d on individt +tlternatiw miniasm , that, for the els and �kpurpcoes), Much intere,sti on corporaticrs (as deft+ ort °t°�tirq the taken into bud o�_fderal inane rt-rqft subject rU� (i 89) (A � t for tdfmhlu years beg nnirV ed net aft Ynterml codition that the Ci ° in tbs per§ after sentence are °l�YA, 9ro� of ]996�r h tt Z tisfia sabre .i:vey hlxeem mo. Latme for f met b°• or continue b. �eenantei to wily with w-in °d`i'al i+k1'me t� tlnue to be, federal Srtyc MY inclt'�� ooeP1Y with certain 0 Lea" �LOp06 e, ezpxers no to bc rM oaGtive to the date of � income for Sng with r spout to tine �� a° i'tifI tax ° 6- Mm Portion of the Urtar+est and � � the wnea of ° de ig netod as and . Oooa tav4t'4w *XGad by the State of Cgd f�lcatd is woVt from the Lease Agreement ouners U'a rights of the the laws aff aetL9 °xedlt°ra' varx7h oxmrganiza on Assig nd emernt MY be Thst subject to y Leol moratorium Agreement subject to tha g r fee of Judi heretoret or nm °aces. otter similar Judicial discretion in °d raY also be Rep�Y submitted, A �P iQ� Yew Crporatlon 001204p -0/ t A -2 MARKED TO Sfi V CF{ANGES n /071gg CFnTIFSCATE PUwCHAao A $ 3.500.000 CERTIFICATES OF PARTICIPATION (Northeast Community park Project) Evidencing Undivided Fractional Interests of the Owners Thereof in Lease Payments to Be Made by the CITY OF RANCHO CUCAMONGA, CALIFORNIA, as the Rental for Certain Property pursuant to a Lease Agreement with the Rancho Cucamonga Public Improvement Corporation This Certificate Purchase Agreement (the "Purchase Agreement ") is made and entered into this day of November, 1980, by and�¢etS,,een Stone 6 Yuungborg, as the underwriter for the with n� ^deacribad issue (the "Underwriter "), and the City of Rancho Cucamonga, California ( ^City "), and receipt hereof is acknowledged by Bank of America National Trust and Savings Association, the trustee (the ^Trustee") under that certain Trust Agreement entered into by the City, the Rancho nI__ Cucamon ea Public improvement Corporaticn (the Co oration ") and the Trustee, dated as of December—l-,-7988 Z't g rug greement "), pursuant to which the Certificates described above (the "Certificates ") are to be executed and delivered. Upon acceptance by the parties at or prior to 11:59 o'clock p.m., California time, on the date hereof, this Purcbe9e Agreement shall be in full force and effect in accordance with its terms and shall be binding upon the parties hereto. 1. Upon the terms pet forth heroin,,, the Underwriter nhereby s representations and then City hereby agrees to cause to be delivered to the Underwriter, all of the $3 50 0 0 aggregate principal amount Of the Certificates, dated Deco er 1, 1988 (such Certificates being more fully described in the Official Statement hereinafter described), representing the undivided fractional interests of the owners.thereof in the lease payments (the "Lease Payments ") to be paid by the City pursuant to that certain Lease Agreement, dated as of December 1, 1988 (the "Lease Agreement "), by and between the City and the Corporation, at an aggregate purchase price of $ being t of the principal amount of the Certif ca tes, plug interest accrued thereon from December 1, 1988, to the date of the Closing referred to in Section 5 hereof. The Lease Payments will be assigned to the Trustee pursuant to the Assignment Agreement dated as of December 1, 1988, by and between the Corporation and the Trustee (the "Assignment 0017LAN 1 Agreement"). The Certificates shall be as authorized in, and shall be executed, delivered and secured under and pursuant to the Trust Agreement. The Certificates shall represent the principal component of the Lease Payments, which shall mature on the dates and in the amounts set forth in Exhibit A hereto, and shall also represent the interest component of the Lease Payments, which in payable from December 1, 1988, at the rates set forth in Exhibit A hereto, and is to be paid onASUnel, 1989, and semiannually thereafter onA.7une 1 and December 1, throagh and including December 1, 199 The Underwriter agrees to make a public offering of the certificates at the initial offering prices as not forth In the official Statement hereinafter described, which prices may be changed from time to time by, and in the role discretion of, t:sa Underwriter. 2. The City shall deliver or cause to be delivered to the Underwriter, promptly after its acceptance hereof, an executed copy of the Official Statement relating to the Certificates, substantially in the form of the Preliminary official Statement dated November _, 1988 (the "Preliminary Official Statement "), with only such changes therein as shall have been accepted by the Underwriter (the Official Statement respecting the Certificates to be delivered before the Closing referred to in Section S hereof, including the cover page and all appendices thereto, being herein referred to as the "Official Statement," except that if the Official Statement shall have been amended between the date hereof and the date of Closing, the term "Official Statement" shall rater to the Official Statement as so amended), and approved for distribution by respective resolutions of the City. The ACity herehv authorizes the use of copies of the Official Statement, the Trust Agreement, the Lease Agreement and the Assignment Agreement in connection with the public offering and sale of the Certificates Andd hereby ratif es the prior distribution of the Preliminary Official Statement by the Underwriter. The Trust Agreement and the Lease Agreement shall be executed and delivered substantially in the form heretofore reviewed by the Undersriter, with only such changes therein as shall be mutually agreed upon by the part ies thereto and the Underwriter. 1. The city hereby represents and warrants to the Underwriter that: (a) The City is a municipal corporation and general law ctty duly organized and existing pursuant to the Constitution and laws of the State of California and has all necessary power and authority to enter into and perform its duties under the Lease Agreement, the Trust Agreement and this Purchase Agreement, and, when executed r/T 0017LAW 2 and delivered by the respective parties thereto, the Lease Agreeuent, the -Trust Agreement and this purchase Agreement will constitute legal, valid and binding obligations of the City enforceable in accordance with their respective terms; (b) The execution and delivery of this Purchase Agreement, the Lease Agreement and the Trust Agreement, and compliance with the various provisions thareof, will not conflict with, or constitute a branch of or default under, they City's duties under said documents or nny material law, administrative regulation, court decree, resolution, charter, by -laws or other agreement to which the City is subject or by which it is bound; (c) Except as may be required under the securities or blue sky laws of any state, there is no , consent, approval, authorization or other order of, filing with, of cortification by, any regulatory authority having jurisdiction over the City roquired for the consummation by the City of the other transactions contemplated by this Purchase Agreement; (d) There is no action, suit, proceeding or investigation at law or in equity before or by any court or governmental agency or body pending or, to the bast knowledge of the City, threatened, against the city, nor to the beat knowledge of the city is there any basis therefor, to restrain or enjoin the collection of the Lasso Payments to be made pursuant to the Lease ! _mot or in any way contesting or affecting the valid! _ Purchase Agreement, the at Agreement,, As. ° Agreement, the Certificates, or the Ter ' a� contesting he q powers o! the City: t� y� its obligations under any of the, a carter and (s) The information und' °` ' •'� "Estimated Sourees and Usee of Fin the Projec " "The C ty," "C ty F '� °•`jq, •�_ and "Absence of Litigation" coats' `,r.: •�_ official Statement was, and n th; =: ;;• ,; true and correct in all material v �- information does not contain any untr, .< statement of a material fact or omit t fact necessary to make the statements light of the circumstances under which misleading. T. a ��•{p���e The City hereby agrees to cooperate with the`• Under,rriter in endeavoring to qualify the certificates for 0017LAW � �- offering and sale under the securities or blue sky lawn of such jurisdicticas of the United States as thw Underwrite= may request; provided, however, that in no event shall the City be required to take any action which would subject it to general or unlimited service of process in any jurisdiction in which it is not now so subject. 4. The obligations of the Underwriter under this Purchase Agreement are and shall be subject to the receipt on or prior to the date of the Official Statement of copies of the most recent audited financial statements for the City, together with such interim unaudited financial information a�, may be reasonably recVeoted by the Underwriter. 5. At 9:00 o'clock a.m., California time, on December , 1988, or at such other time, or on such earl or later date` upon which the parties may mutually agree (the "Closing "), the Corporation will deliver or cause to be delivered to the Underwriter, at the offices of Jones Hall Hill 6 white, A Professional Law Corporation ( "Special Counsel "), Four Embarcadero Canter, Salt Francisco, California 94111, or at such other place as the parties may mutually agree upon, the Certificates in definitive form (all of the Certificates to be lithographed with steel angraved borders), bearing CUSIP numbers, duly executed by the Trustee, registered in such names as the Under .-rater shall provide to the Trustee not less than five buaineav days "rior to the Closing, together with the other documents me.cioned heroin. All oxpenass in relation to the printing of CUSIP numbers on snid Certificates and the CUSIP Servica Bureau charge for the aae.;gnment of said numbers shall be paid from proceeds of the sale of the Certificates. The Underwriter will accept such delivery and pay the purchase price thereof as set forth in Section 1 hereof by certified or official bank check or checks in immediate available funds to the order of the Trustee, in an amount .,qual to the purchase price. The Certificates or temporary Certificates will be made available for checking and packaging one businesr day prior to the Closing at an orfice upon which the parties may mutually agree. 6. The Underwriter hereby enters into this Purchase Agreement in reliance upon the representations and warranties of the City contained herein and in reliance upon the representations and warranties to be contained in the documents and instruments to be delivered at the Closing and upon the performance by the rat of is obligations hereunder, both on the date hereof and an of the date of the Closing. Accordingly, the obligations of the Underwriter under this Purchase Agreement to purchase, to accept delivery of end to 0017 LAW ��4 Pay for the Certificates shall be conditioned upon the performance by thoffity oPA1ts obligations to be performed hereunder and under ouch documents and instruments at or prior to the Closing, and shall also be subject to the following additional conditions: (a) Tho representations and warranties of the City contained heroin shall bn true, complete and correct on the Prte of the Closing, as if made on and at the closing; (b) At the Closing, the Trust Agreement, the Assignment Agreoment, the Lease Agreement and the Official Statement shall have been executed and delivered, shall be in full force and effect and shall riot have boon amended, modified or supplemented except as taay have been agreed to in writing by the Underwriter, and there shall be in full :orco and effect such resolutions as, in the opinion of Special counsel, shall be nacnssar/ in connection with the transactions contemplated hereby; (c) The Underwriter shall have the right to cancel its obligation to purchase the CertifLcates it, between the date hereof and the Closing, (1) legislation shall have bean enacted by the Congress of the United States or the legislature of the State of California or shall have bean reported out of committee at either body or be pond:.ng in committee of either body, or a decision shall have been rendered by a court of tho United States or of the States Of California or the Tar Court of the United Staten, or a ruling shall have been made or a regulation or temporary regulation shall have been proposed or made or any other release or announcement shall have been made by the Treasury Department of the United Statue or the Internal Revenue Service or by the California Franchise Tax Board or by any other State of California agency or department, with respect to federal or California taxation upon revenues or other income of the general character to be derived by the Corporation or upon inte:•ost received with respect to obligations of the general charactor of the Certificates, which in the reasonable judgment of the Underwriter, materially and adversely affei:ts the market for the Certificates, or (2) there shall exist any ovent which, in the reasonable judgment of thta Underwriter, either (1) makes ur.true or Sncot•rect in any material respect as of such time any statement or information contained in the official Statement or (1S) is not reflected in the Official Statement but should be reflected therein in order to make the statements and information contained therein not misleading in any material respect, or (i11) there shall -/9 7 0017L4W have occurred any outbreak of hostilities or other national or international calamity or crisis, the effect of such outbreak, calamity or crisis on the financial markets of the United States being such as, in the reasonable judgment of the Underwriter, would make it impracticable for the Underwriter to market or enforce contracts for the sale of the Certificates, or (iv) there shall be in force a general suspension of trading on the New York Stock Exchange or minimum or maximum prices for trading shall have been fixed and be in force, or maximum ranges for prices for securities shall have been required and be in force on the New York Stock. Exchange, whether by virtue of a determination by that Exchange or by order of the Securities and Exchange Commission or any other governmental authority having jurisdict+on, or (v) a. gonural banking moratorium shall have been declared by either federal, California or New York authorities having jurisdiction thereover, or (vi) there shall be any material adverse change in the affairs of /Me Cit , or (vii) there shall be established any new restriction on transactions in securities materially affecting the free market for securities (including the imposition of any limitation on interest rates) or the extension of credit by, or the charge to the net capital requirements of, underwriters established by the New York Stock Exchange, the Securities and Exchange Commission, any other federal agency of the Congress of the United States, or by Executive nrder, or any agency of the State of California having jurisdiction thereover, or (viii) ar. adverse event affecting th e Project (as defined in the Official Statement), the corporation or the City occurs which, in the reasonable judgment of the Underwriter, requires or has required a supplement or amendment to the offirial Statement; M At or rior shall receive th e followingtdoccuments,�iin� each caserwriier satisfactory in form and substance to the Underwriter and Underwriter's counsel: date of .i final ns,lcm td the Closing. Special Counsel, bya supplementary opinion of Special Counsel, dated the date of closing, substantially to the effect that (i) the Purchase Agreement has bean duly approved by the City; (ii) the statements contained in the Official Statement in the sections thereof entitled: "The Certificates," "Lease Agreement," "Trust Agreement" and "Tax Exemption" (insofar as such statements purport to summarize certain provisions of the legal documents and the Certificates) present an accurate summary of such provisions; and 0017LAw F (111) the Cartificatea are exempt from registration pursuant to the securities Act of 1933, as amended, and the Trust Agreement is exempt from qualification as an indenture pursuant to the Trust Indenture Act of 1939, as amended; (2) the opinion of the rit Attornne dated the date of Closing, to the effect tta i) the City is a municipal corporation and general law city duly organized and validly existing under the constitution and laws of the State of California; (ii) the official Statement has been duly authorized, executed and delivered by the city and the information therein as to the City and the City's obligations under the Trust Agreement and the Lease Agreement is correct and does not omit any statement which, in such counsel's opinion, should be included or referred to therein; (iii) the resolution of the city approving and authorizing the execution and delivery of the official Statement, the Trust Agreement, the Lease Agreement and approving this Purchase Agreement was duly adopted at one or more meetings of tho city council of the City (the "Governing Body") which were called and held pursuant to law and with all public notice regttirad by law and at which a quorum was present and acting throughout; (iv) the execution and delivery of the Trust Agreemen� and the Lease agreement or the approval of this Purchase Agreement, and compliance with the provisions thereof, u;.der the circumstances contemplated thereby, do not and will not in any material respect conflict with or constitute on the part of the City a breach of or default under any material agreement or other instrument to which the City is a party or by which it is bound or any existing law, regulation, court order or consent decree to which the City is subject; (v) the Trust Agreement, the Lease Agreement and this Purchase contract have been duly authorized, executed at,d delivered by the City, and constitute legal, valid and binding agreements of the City enforceable in accordance with their respective terms, except as the enforcement thereof may be limited by bankruptcy, insolvency, the application of equitable principles where appropriate or other laws affecting the enforcement of creditors' rights generally; (vi) no litigation is pending or threatened to restrain or enjoin the payment of Lease Payments pledged under the Trust Agreement, in any way contesting or affecting the validity of the Certificates, the Lease Agreement, this Purchase Agreement, the Assignment Agreement or the Trust Agreement, or in any way contesting the existence or powers of the City; (vii) no event affecting the City has occurred since the date of the Official Statement which either makes untrue or incorrect in any material respect X9 0a17LAw 7 as of the date of Closing any statement or information concerning th• City conta'ned in the official Statement or is not reflected in the Ol Picial Statement but should be reflected therein in order to make the statements and information therein concerning the City not misleading in any material respects end (viii) no authorization, approval, consent, or other order of the State of California or any other governmental authority or agency within the State of California is required for the valid authorization, execution and delivery of the Trust Agreement, the Lea.ae Agreement, the official Statement and this Purchase Agreement; except that no opinion regarding the financial condition of the City shall be rendered by such counsel. The counsel for the City in rendering such opinions as referred to in clauses (2) (11) and (iv) boy s may reasonably rely upon such representations, statements, and where appropriate, certificates, as may be furnished by officials of the city having responsibilities with regard to the activities referred to in the aforementioned clauses; (3) a certificate of an authorized officer of the Trustee, dated the date of Closing, to the effect that (i) the Trustee is a national bankingA1e19ciation duly organized and validly exiat ng under the laws of the Alnitaa c *A�es of America: (ii) the general signature resolution of the Trustee approving and authorizing the execution and delivery of certain documents by certain officers of the Trustee, which resolution authorizes the execution and delivery of the certificates, the Trust Agroometat, the Assignment Agreement and the acknowledge- ment of this Purchase Agreement, was duly adopted at meetings of the governing body of the Trustee: (iii) there 1s no action, suit, proceeding or investigation at law or in equity before or by any court, public board or body, pending or, to the best knowledge of such authorized officer of the Trustee, threatened against or affecting the Trustee to restrain or enjoin the execution or delivery of the Certificates or the collection of revenues pledged under the Assignment Agreement or the assignment of the Lease Payments under the Assignment Agreement, in any way contesting or affecting any authority for the execution and delivery of the Certificates or the validity of the certificates, the Trust Agreement, the Assignment Agreement, the Lease Agreement or this Purchase Agreement, or in any way contesting the existence or powers of the Trustee with respect to the sale of the Cortificaten or the security therefor wherein an unfavorable decision, ruling or finding would advarsaly affect the transactions contemplated by the Trust Agreement, the Assignment Agreement or the Lease Agreement or the validity of the 0017LAw .,..ar .._741 n Certificates; (iv) the execution and delivery of the Certificates, the Assignment Agreement and the Trust Agreement and compliance with the provisions thereof, under the circumstances contemplated thereby, do not and will not in any material respect conflict with or constitute on the part of the Trustee a breach of or default under any agreement or other instrument to which the Trustee is a party or by which it is bound or any existing law, regulation, court order or consent decree to which the Trustee is subject; and (v) the Trust Agreement and the Assignment Agreement have been duly authorized, executed and delivered by the Trustee and constitute the valid and binding agreements of the Trustee, enforceable in accordance with their terms, except as the enforcement thereof may be limited by bankruptcy, insolvency, or other laws affecting the enforcement of creditors' rights generally; (s) the opinion of Buchalter, Hamer, Fields & Younger, a Professional Corporation, Los Angeles, California, counsel for the Underwriter, dated the date of Closing, to the effect that (i) the Certificates are exempt from remistratlon under the Securities Act of 1933, as amended, and the Trust Agreement is exempt from qualification under the Trust Indenture Act of 1979, as amended, and (11) nothing has come to their attention which would lead them to believe that the official Statement (excluding therefrom the financial statements and the statistical data included in the official Statement, as to which no opinion need be expressed) contains an untrue statement of a material fact or omits to state a material fact required to be stated therein or necessary to make the statements therein, in the light of the circumstances under which they were made, not misleading; A 5 a certificate of the finance director or similar official of the City, dated the date of the Closing, substantially to the effect that nothing has coma to his or her attention which would lead said official to believe that, as to the financial information and statistical data relating to the City Included in the Official Statement, the material Contained therein relating to the city contains any untrue statement of material fact or omits to state any material fact required to be stated therein or necessary to make the statements therein, in light of the circumstances under which they were made, nut misleading, said certificate otherwise being in form and substance acceptable to Special Counsel and counsel to the Underwriter; So / 0017LAW 6 a certificate of an authorized officer o! the Corporat on, dated the date of Closing, substan- tially to the effect that: (i) the Corporation is a nonprofit public benefit corporation duly organized and existing under the laws of the State of California, with the full power and authority to enter into and perform the Trust Agreement, the Assignment Agreement and the Lease Agreement^ to cause delivary of the certificates pursuant to the Trust Agreementhand to carry out and consummate the transactions contemplated by this purchase Agreement, the Trust Agreement, the Assignment Agreement, the Lease Agreement and the Official Statement; (ii) to the cast knowledge of the Corporation, after reasonable investiga- tion, the execution and delivery of the Trust Agreement, the Lease Agreement, the Assignment Agreement and the Certificates and compliance on the corporation's part contained with the provisions therein, will not conflict with or constitute a breach of or default under any law, administrative regulation, judgment, decree, loan agree- ment, indenture, bond, note, resolution, agreement or other instrument to which the corporation is a party or is otherwise subject, nor will any such execution, delivery, adoption or compliance result in the creation or imposition of any Lien, charge or other security interest or encumbrance of any nature whatsoever upon any of the properties or assets Of the Corporation under the terms of any such law, administrative regulation, judgment, decree, loan agreement, indenture, bend, note, resolution, agreement or other instrument, except as provided by the Trust Agreement and the Lease Agreement; (iii) to the beat knowledge of the Corporation, theca is no action, suit, proceeding, inquiry or investigation, at law or in equity, before or by any court, governmental agency, public board or body, pending or threatened against the Corporation affecting the existence of the Corporation or the titles of its officers to their respective offices or in any way contesting or affecting the validity or enforceability of the Trust Agreement, the Lease Agreement, the Assignment Agreement, the Certificates or this Purchase Agreement, or contesting the powers of the Corporation or its authority to issue, enter into, adopt or perform its obligations under any of the foregoing, wherein an unfavorable decision, ruling or finding would materially and adversely (feet the validity or enforce- ability of the Trust Agreement, the Lease Agreement, the Assignment Agreement, the Certificates or this Purchase Agreement; and (iv) the Corporation will furnish such information, execute such instruments and take such other action in cooperation with the Underwriter as the Under- writer may reasonably request in order (A) to qualify the Certificates for offer and sale under the blue sky or 00171Aw ��i 0 -ht _ other securities laws and regulations of such states and other jurisdictions of the United States as the Under- writer may designate and (B) to determine the eligibility of the Certificates for investment under the laws of such states and other jurisdictions, and will use its best efforta to continue such qualification in effect so long as required for distribution of the Certificates; provided, however, that in no event shall the Corporation be required to take any action which would subject it to general or unlimi�ad service of process in any juris- diction in which it is not now so subject; AU copies of the Trust Agreement, the Assignment Agreement and the Lease Agreement, in each case duly executed by the parties theretot 1(81 definitive copies of the official Statement, executed on the behalf of the City by the designated authorized representative of the City; A((9) certified copies of the general resolution of tH Trustee authorizing the execution and delivery of certain documents by certain officers of the Trustee, which resolution authorizes the execution and delivery of the Certificates, the Assignment Agreement and the Trust Agreement and the acknowledgment of this Purchase Agreement; 10 certified copies of thb resolution of the Governing y of the city authorizing the execution and delivery of the Trust Agreement, the Lease Agreement, the Official Statem.n* and approving this Purchase Agreement; kLilj copies if the Articles of Inc3rporation of the Corporation and certified copies of the Corporation's by -laws and resolutions of its Board of Directors authorizing the execution and delivery of the Trust Agreement, the Lease Agreement and the Assignment Agreement;^ KC121 the opinion of counsel to the Corporation, dated the date of the Closing, as to the due authorization, execution and delivery by the Corporation of the Lease Agreement, the Assignment Agreement and the Trust Agreement, as to the legal, valid and binding nature thereof and as to the enforceability thereof in accordance with their terms, except to the extent that enforcement thereof may be limited by bankruptcy, reorganization, insolvency, moratorium or other laws or equitable principles affecting the enforcement of creditors' rights .So 3 0017LAH 11 generally, said opinion otherwise being in form and substance acceptable to Special Counsel and to counsel for the Underwriters telephonic) eatlefactoryetoethahU derwriterethat the Certificates have boon rated n_^ by Moody's Investore Service; statements of t14)Ci one COPY of the audited financial together with the report pPssued in connection therewith, Statement, and a signed consent letter me Lance Soll d therewith, Certified Public Accountants, in form satisfactoryattoo� the IUndOrwriter, consenting to the use of the financial statem d the ent and h thereon ng tothereferencesfmadeato said fire under the caption "EXPERTS" in the Official statement; and certificates (11A such additional legal opinions, as the Underwriter, counsel instruments and other documents spacial counsel may reasonably e evidence cOr or Spacial the Trustee, the CityyandgtheetCorporationewithPlegala by Closing, Of sthe the truth and representations ofrytheacityAhereinmandfin the Official Statement and the due performance or satisfaction by the Trustee, the city and the Corporation at or prior to such time of all agreements than to be performed and all conditions then to be satisfied by the Trustee, the City and the Corporation. conditions to the Obligationsaof theuUnderwritericonta ned in this purchase Agreement or if the Underwriter's obligations shall be terminated for any reason permitted herein, this Purchase Agreement shall terminate and neither the Underwriter nor the City shall have any further obligation hereunder. 7. All reasonable expenses and costs of the City and the Corporation incident to the performance of its resoectivo obligations in connection with the execution, delivery and sale of the Certificates to the Underwriter, including the cost of printing of the Certificates (and full execution thereof), the Preliminary Official Statement and the Official Statement, in reasonable quantities, fees of consultants, Leos of rating agencies, CUSIP Service Bureau fees and charges, fees and charges of Special Counsel, and Pees and expenses of the Trustee, counsel for the City and jcaunsel for the Corporation, shall be paid bythe City. All expenses to be 0017LAW zO 22 paid by the City pursuant to this Purchase Agraement any be paid from Certificate proceeds to the extent permitted by the Trust Agreement. Except as indicated above, all other out-of- pocket axpentes of the Underwriter, including traveling and other expenses and the fees and expenses of their counsel, shall be paid by the Underwriter. S. Any notice or other communication to be given to he Underwriter may be given by delivering the same in writ ,q to Stone i Youngberg, One California Street, San Fran .sco, CA 94111, Attn: Municipal Finance Department. The approval of the Underwriter when required hereunder or the determination of their satisfaction as to any document referred to herein shall be in writing signed on behalf of Stone i Youngberg and delivered to you. 9. The Underwriternrapresenta with reapact to the Certificates and this Purchase Agreement as follows: when the underwrit ra and thetCityahave executednthiserod Purchase Agreement; (b) ane sales to(ijiaecurit allow iesdoalers, (i i) dealer banks or divisions or departments of banks (i banks or broker - dealers which (A) are r.1gistered)asoreign broker- dealers under the Securities Exchange Act of 1934 and agree in making sales of the certificates in the United states of America that they will comply with the rules of the Municipal Securities Rulemaking Board, or (B) if not so registered, agres that they will not sell any Certificates in the United States of America, its territories or possessions, or to persons who are citizens thereof or residents therein, am to making other sales agree to comply with the Rules of Pair Practice of the National Asscciatior of Securities Dealers; offering (c) the Underwriter may change the public 4 price and, in general, or in such specific cases as it may determine, any concession, commissions, allowances or reallowancest an OfficialdStatementdt erwriter purchases Certificates with or prior to final written confirmation of the sale to such person; (e) as a broker-dealer leror represents a municipal securities dealer under the Securities Exchange Act of 1934; and, 0017LAW S ©S 1 4 (f` the Underwriter shall not be liable with x 'aspect to (!) the issue, form, genuineness, validity, legality, enforceability or value of, or title to, the Certificates, (ii) the validity of any instrument under or Pursuant to which the certificates may be Issued, (iii) any represantations in the Purchase ' Agreement, (iv) the accuracy or, completeness of the Preliminary Official statement or the otflcial statement, any memorandum, brochure or agreement, or any statements, reports or letters of others in connection with the Ctificates, (v) the delivery of the Cartificates or the P er y the city or others of any agr,ament on its or their part, or (vi) the qualification or xagistration Of the Certificates for sale, or the legality of the Certificates for inveatsont under the laws of any jurisdiction• The underwriter shall not (except for such liability as it may have as an undarwriter) be liable und er any obli gations, either express or implied, which are not herein expressly assumed. benefit o 0. This Purchase Agreement is made solsly for the f Trustee, the city, the Corporation and the Underwriter (including the successors or assigns of the Underwriter) and no other persona, partnership, association corporation or shall acquire or have any right hereunder or by virtue hereof. All covenants and representations of the City In this Purchase Agreement shall remain operative and in full force and effect regardless of any investigation behalf made by or on of the Underwriter and shall survive the delivery of and Payment for the Certificates. -�7 0017LAW ',v ,•vt..r iii V J� This Purchase Agreesent shall be governed by the laws of the State or California applicable to contracts made and performed :a such State. d; 1e. This Purchase Agreement may be executed in several counterparts, each of which shall be an original and all of which shall constitute but one and the same instrument. y w` STONE i YOUNGBERG By: Partner e ti CITY OF RANCH6 CUCAMONGA n Byt ` c ty Manager Receipt Acknowledged By: BANK OF AMERICA NATIONAL ^aRUrT AND SAVINGS ASSOCIATION By: s t 0017LAW —5-0 7 EXHIBIT A Maturity (2,umts I1 Principal AM2Ml A �Q 0017LAW 16 RESOLUT!Gh NO. A RESOLUTIOw OF THE CITY COUNCIL OF THE CITY OF RANCHO CUCAMONGA, APPROVING, AUTHORIZING AND DIRECTING EXECUTION OF CERTAIN LEASE FINANCING DOCUMENTS, AUTHORIZING AND DIRECTING EXECUTION OF A PURCHASE %REEMENT, APPROVING A PRELIMINARY OFFICIAL STAt "ENT AND AUTHORIZING AND DIRECTING CERTAIN ACTIONS WITH RESPECT THERETO. RLSOLVED, by the City council of the City of Rancho Cucamonga (the 'City "): WHEREAS, the City, working together with the Rancho Cucamonga Public Improvement Corporation (the "Corporation "), is proposing to proceed with a lease financing; and WHEREAS, in connection therewith, the City proposes to finance the acquisition of certain real property for development as the Northeast Community Park and it is in the public Interest and for the public benefit that the City authorize and direct execution of the Lease Agreement and certain other financing docunents in connection therewith; and WHEREAS, pursuant to the City's authorization Stone A Youngberg (the "Underwriter') proposes to underwrite the financing and has prepared and presented to the City a form of preliminary official steteeient containing information material to the offering and sale of the certificates of earticipat)on desc•ibed below (the "Preliminary Official Statement ), and WHEREAS, the documents below specified have been filed with the City, and the members of the City Council, with the aid of its staff, have reviewed said documents; NOW. THEREFORE, it is hereby ORDERED and DETERMINED, as follows: SECTION 1. The below - enumerated documents be and are hereby approved, and the Mayor, the City Manager or the Finance Manager 1s hereby authorized and directed to execute said documents, with such changes, insertions and omissions as may be approved by such official, and the City Clerk is hereby authorized and directed to attest to such official's signature: (a) a site lease, between the City, as lessor, and the Corporation, as lessee: (b) a lease agreement between the Corporation, as lessor, and the City, as lessee (the 'Lease Agreement "), so long as the stated term of the Lease Agreement does not exceed ten (10) years, so long as the principal amount of the Lease soy Agreement does not exceed $3,800,000 and so long as the lease payments payable by the City under the Lease Agreement in any twelve -month period, beginning on December 2 and ending on the succeeding December 1, do not exceed $550,000; and (c: a trust agreement, -by rod among the Corporation, the City and Bank of America National Trust and Savings Association, Los Angeles, California, as trustee (the 'Trustee'), relating to the financing and the execution and delivery of certificates of participation evidencing the fractional interests of the owners thereof in lease payments to be made by the Ctty under the Lease Agreement (the 'Certificates of Participation'). SECTION 2. A Purchase agreement by and between the Underwriter and the City relating to the purchase by the Underwriter of the Certificates of Participation, be and is hereby approved, and the Mayor, the City Manager or the Finance Manager is hereby authorized and directed to execute said agreement, with such - hanges, insertions and omissions as may be approved by such official, so long as the interest rate with respect to the Certificates of Participation will not produce annual lease payments payable under the Lease Agreement in any twelve -month period, beginning on December 2 and ending on the succeeding December 1, in excess of 5550,000, so long as the principal amount of the Certificates of Participation will not exceed $3,800,000 and so long as the Underwriter's discount with respect to the Certificates does not exceed 24. SECTION 3. The Mayor, the City Manager, the Finance Manager, the City Clerk and other officials of the City are hereby authorized and directed to execute such other agreements, documents and certificates as may be necessary to effect the purposes of this resolution and the lease financing herein authorized. SECTION 4. To the best of the City's knowledge, information and belief, the Preliminary Official Statement contains no untrue statement of a material fact with respect to the City or omits to state a material fact with respect to the City required to be stated where necessary to make any statement made therein not misleading in the light of the circumstances under which it was made. SECTION 5. The Preliminary Official Statement is approved for distribution In connection with the offering and sale of the Certificates of Participation. SECTION 6. The Mayor, the City Manager or the Finance Manager is authorized to approve corrections and additions to the Preliminary Official Statement by supplement or amendment thereto, or otherwise as appropriate, provided that anj such corrections or additions shall be necessary to cause the information contained therein to conform with facts materials to the Certificates of Participation, or to the proceedings of the Slo City or such corrections or additions are in fora rather than in substance. SECTION 7. The Mayor, the City Manager or the Finance Manager is authorized and directed to cause the Preliminary Official Statement to be brought into the form of a final official statement (the 'Final official Statement') and to execute said Final Official Statement, dated as of the date of the sale of the Certificates of Participation, and the Mayor is authorized and directed to execute a statement that the facts contained in the Final official Stat'■ent, and any supplement or amendment thereto (which shall ba deemed an original part thereof for the purpose of such statement) were, at the time of sale of the Certificates of Participation, true and correct in all material respects and that the Final Official Statement did not, on the date of sale of the Certificates, of Participation, and does not, as of the date of delivery of the Certificates of Participation, contain any untrue statement of material fact with respect to the City or omit to state material facts with respect to the City required to be stated where necessary to make any statement made tl.erein not misleading in the light of the circumstances under which it was made. The Mayor, the City Manager or the Finance Manager shill take such further additions Prior to the signing of the Final Official Statement as are deemed necessary or appropriate to verify the accuracy thereof. SECTION 8. The Final Official Statement, when prepared, is approved for distribution in connection with the offering and sale of the Certificates of Participation. ♦r +rte• I hereby certify that the foregoing resolutirn was duly adopted at a meeting of the City Council of the City of Rancho Cucamonga duly held on the 16th day of November, 1988, by the following vote: AYES• NOES: ABSENT: S%/ CITY OF RANCHO CUCAMONGA STAFF REPORT November 9, 1988 TO, Mayor and Members of the City Council and City Maneger PROMS Jerry Grant, Building Official SUBJECT: INSPECTION ACTIVITIES AND INTERAGENCY COORDINATION 1. RECOt,=NDATIONt It Is recommended that the City Council review the Mowing Information take action us deemed necessary. II. BACKGROUND: On November 2, the City Council requested a repot o7—inspection activities and Interagency coordination in respect to several articles published In the "Dally Report ". INTERAGENCY COORDINATION In relation to Interagency coordination, all new pro Jects (other than individual single family homes) that are submitted to the Planning Division for staff or Planning Commission revlow are routed to different agencies, Including the three divisions of the Community Development Department, the Foothill Fire District and the Cucamonga Water District. Meetings are conducted with representatives of the Interested :gentles and conditions of approval are developed Incorpor :ling their Input and requirements and relayed to the applicant. When plans for the projects are received by the Building and Safety Division, copies are routed to Planning and Engineering Division and the Foothill Fire District for their verification that conditions of opproval are being met. Permits for construction at wlthhald until all agency requirements have been met. When permits are ultimately Issued, ccnstruction Is monitored through periodic Inspection by the Building and Safety and Engineering Division Inspectors (and Piro District Inspoctors) to the point of final Inspection At that point, final building inspection is withheld until all other affectea agencies have granted approval to their portions of the work and no occupancy it approved without approval from the Planning and P.ng ineering Divisions and Ski Staff Report: inspection Activities November 9, 1988 Page 2 Fuothlll Fire Districts It Is a fact that, in some Inetancus, new tenanta, whether to eagernoes or desperation, through ignorance or with deliberate Intent, occupy bulldinge whore temporary eloetrlcal paver has been eystoms sod orfor oinorg °ncyplighting stl'7 ton ethlemiatdlscovorod,m fire Bulldingas the r Division and /ors the tFirar District eomnonee compliance proceedings. As of November 1, the Fire District has placed a full -time Fire Protection Analyst available In the Building and Safety Plan Check. offices This should further simplify ordination persoaneltmor a readily avail blc for Ihel dovelopmont oomcuntty titan hae been possible In the inmedlate past. INSPECTION ACTIVITIES As has been relayed the City CounciloInto recent previous on hs, construction activity Is runnin g paralour record year of 1906- In spite of Illness and resignations within the Inspection ranks, we are maintaining headway through contractual Inspection ho:p (4 lnep actors) and diligence and hard work by the permee It Inspection staff. Inspection staffing for this year s:s predicted upon economic predictions of reduced cot' ectivity over this year which failed to materialize, hence the need for "outside" help. Fortunately we have been able to acquire temporary holy That have a b edwPrior experience in Inspection and they Since recent reports have touched upon the qualifications of Inspectors, perhaps a synopsis of the recruitment and training process for building Inspectors in Rancho Cucamonga Is in order. Candidates for Rancho tomphysicall andgbackground checks positlon3 , must pass s written oxaminatlor. which stress public relations, general constriction knowledge and code awareness. Two oral Interviews designsd to determine their ability to fit Into the organization and relate to clotion workers are also perrformad erAftentsstetuso lsrgivonrp to the of o probationary p : P successful applicants. 5/- Staff Reportt Inspection .tctiv'ttos November 8, 1888 Page 3 During the probationary period, applicants arc monitored and given Increasing responsibility in Inspection activity as they show the ability to accept it. Ongoing training consists of weekly Inspector meetings to discuss current problems and devo lop consistency. Additionally, nearly all of the Inspection staff Is enrolled in some related educational course related to his work. Further, Inspectors areas are rotated on a seml- annual basis to maintain flexibility and reduce the potential for excessive familiarity. Finally, most of the plan check and Inspection staff have been certified In one or more of the Inspuctlon or plan check regimens by the International Co- ference of Building Officials. A growing problem for the Inspection staff Is the Increasing use of relatively unskilled labor, particularly In the housing construction field. As the demand for housing continues and the labor market la unsatisfied, developers Increasingly draw upon untrained and unskilled workers. Additionally as the specialized, mass - production workfcrce displaces the generalist worker, less and less consideration Is given by workers to subsequent tradesmen In the assembly line. Therefore the Inspoc +or has become a coordinator for the construction Industry and It eats Into Ills time for Inspection and generates additional call- backs. The Inspector experiences the greatest exposure to this condition and thereby are most subject to the f:uetratlons of acquiring code compliance from Increasingly jogencrative workmanship. Plan check staff is likewise being affected by the numerous "field fixes" needed to ovetcomo Improper Installation of Increasingly tect.nlcal building components. If the problem Is compounded by tonetructlon supervlsors lacking hands -on experience, the sl VU tlon Is aggra,ated. We look upon this phenomenon as a continuing one and likely to require even greater attention in coming years. III S1116W1RY: We In Building and Safety balleve that the Community Development Department need not take a back seat to any other similar organization In the state. Wo likewise believe that our Building and Safety Division Is second to none of :omparable size, stature and In Its' coordination with other agencies and inspection services, given the resources and facilities available to us. That Is not to say, however, that there Is no room for Staff Reports Inspe 'ion Activities November 9, 1988 Fago 4 Improvement. We constantly review our processes In order •� to provide the highest level of service posilblo to the j- public. To that end the City Manager and city staff members will be sitting down with the Fire Chief and fire prevention staff.to dlsseuss and review further avenues of • cooperation and coordination. Respectfully submitted, Jerry Ornn� Dull Ing Official JRO:11 5S BEFORE THE CITY COUNCIL OF THE CITY OF RANCHO CUCAMONGA In re the Application of ; Tentative Tract 13138 RODINE COMPANIES, INC., ) SUPPLEMENT TO A2PEAL FROM DECISION OF PLANNING COMMISSION t Applicant. E• ',. 6 Applicant, Bodine Companies, Inc. respectfully supplements its r appeal from the decision of the Planning Commission to approve the above tentative tract, subject to certain conditions, as follows: The Completeness of the APP691 In the Staff Report o ndum f the City Engineer and !n tt ,nt is from the City Engineer dated November 16, 1988, ap, apparently criticized for not giving the reasons for appeal in it its original appeal dated September 21,1 - datedi only ber Ito point out that in its letter to applicant 1988 (Exl.ibit A to Lhe appeal document filed November 3, 1988), the City Community Development Department stated "The docisn the Planning Commission is final following a ten (10) day appeal period which began with the date of the hearing." This statement is incorrect, and as a result, tpplicant was forced to rush the filing of a brief letter of appeal instead of filing a complete document. The Municipal Code of the City of Rancho Cucamonga (hereinafter "Code "), section 1.04.07 states: "=xcept when otherwise provided, the time within which an act is required to be done shall be computed by excluding the Sundayaor na holidays, tile in which case unless it snalla also be be excluded " More importantly, Section 16.16.133 of the Code states: "If the subdivider disagrees with any acticn by the planning commission with respect to the tentative subdivision map, he may the, within fifteen days of shaldeconsideritheaappeal within IF r .a rt ' thirty days unless the subdivider consents to a continuance. This appeal shall be a hearing with notice to the subdivider and the planning commission, and upon conclusion of the hearing the council shall, within ten days, declare its findings. The council may sustain, modify, reject or over- , rule any recommendations or rulings of the planning commis- sion and may make such findings as are not inconsistent with +! the provisions of this title or the Stote Subdivision Map ,t Act." [emphasis waded) Clearly, the appeal was not due for fifteen days after the hear - ?Cy` ing, excluding the day of the hearing. Requiring the appeal to Y'' be filed at least six days earlier necesaorily caused the form to be rather incomplete, even though conforming to law. it should also be noted that the hearing was not set within the„ thirty cdy period required by the Code. Applicant does not waive F +` any rights with respect to the setting of the hearing, or the filing of the appeal. Existing "City Policy" RRu ardlnq Underground Utilities The Staff Report refers to "current City Policy" with respect to underground utilities, and refers to Exhibit F of the report if 'Exhibit T is a resolution of the Planning Commission, not a City Council resolution or ordinance. As nuch, it has no force of law. The only valid, legal expression of "city policy" exists when zhe duly elected lawmakers, the City Council, passes an ordinance or resolution. This concept is the cornerstone of our representative system of government Such policies are found in the Municipal Code and have been discussed at length in the appeal document filed Novembrr 3, 1988. Code Section 1.07.030 statef.: "This code consists of all the regulatory and penal ordi- nances and certain of the administrative ordinances of the city of Rancho Cucamonga, California, codified pursuant to the provisions of Sections 50022.1 through 50022 8 of the Government Code." ( emphasis added) The Planning Commission derives its authority from the City Council. Code Section 2.27.070 states: "The powers, functions and duties of the ?lanning commission shall be as set forth in the statutes of the state and the applicable ordinances of the city " A , "view of the Municipal Code Sections regarding underground utilities shows no delegation to the Planning Commission of the 2 - 4 authority to pass resolutions regarding this area. On the con- trary, the Code, as passed by the City Council, completely dezl.. with the subject o£ -underground utilities, without need fcr further reference to, or findings of the Planning Commission. similarly, no authority for such action is found in the Govern- ment Code Sections regarding planning and zoning (Government Code Sections 65000 et seq.) or the Subdivision Map Act (Government Code Section 66410 at seq.). clearly, the policies to be considered as those found in the Municipal Code, which have been fully discussed in the appeal document filed November 3, 1988. Additionally, the Staff Report alludes to some requirement that all projects along utility easements pay for undergrounding to the center of the easement. As stated in the appeal document filed November 31 1988, this land is not owned by applicant. A review of the Code and the state law reveals no legal authority for imposing this condition. This land is owned by the city of Los Angeles, and these power transmission lines do not serve the City of Rancho Cucamonga. This applicant sees no logic in the City of Rancho Cucamonga requiring a developer to pay costs which effectively amount to a subsidy to the City of Los Angeles. The City of Los Angeles should be a good "corporate citizen" and pay its own costs for improvements on its lands. Off -Site Oedicatinns and Improvements The Staff Report dated November 16, 1988 states that improving Almond full width will serve as the "main access to Tract No. 10210." Clearly that tract should take care of these improve- ments. The Staff Report again alludes to some vague "City Policy ", in that the "City Council and Planning Commission have directed staff.. " As stated above, all the regulatory ordinances are found in the Municipal Code. "Direction" can legally only be given by the City Council and expressed in an ordinance or resolution. Appli- cant has not found any such ordinance or resolution Therefore, in addition to the reasons stated in the appeal document filed November 3, 1988, this provides an additional reason why the full street width requirement should not be imposed Emergency Access This condition of approval has grown, like "Topsy ", from the requirement of more approval by the Foothill Fire District to the requirement of constructing a fully compacted road bed. Thera is no need for such a road, as consistently acknowledged by the Foothill sire District. As early as the Technical Review on July 7, 1988, applicant was advised that only the requirements of the Foothill Fire District needed to be met. On August 2, 1986, Vera Arthur of the Foothill Fire District advised the City in writing that the configuration as proposed by applicant was adequate, without any further emergency access required. However, in a Staff Report dated September 14, 1988, the planning staff again recommended that the condition of a road be imposed, and prepared a resolution for the Planning Commission's adoption to that effect Again, on October 5, 1988, Vera Arthur of the Foothill Fire District, reaffirmed in writing that the road was unneces- sary. See Exhibit C to the appeal document filed November 31 1988. Although unclear from Exhibit C, applicant assumes a copy was sent to the City. Certaittly the City received a copy on November 3, 1984, However, the City staff continues to recommend approval of this road in the Staff Report dated November 16, 1988. Again, this road is unnecessary. One must question the motiva- tion of the City stnff in requiring it when it is so clearly unnecessary. One wonders if the inclusion of `he following lan- guage eslution 88177 in were error, page 5 of slip": Commission- Resolution The Staff Report dated November 16, 1988 again raises this vague idea of "City policy" to justify this requirement. As explained above, policy is set by City Council and reflected in ordinances and resolutions. As explained in the appeal document filed November 3, 1988, the requirement is contrary to such ordinances. In its report, the staff would have the City Council believe that applicant's engineer acknowledges the need for the major concrete channel to intercept storm water as required by City Engineer, as follows: "The drainage report, acknowledges the need the Developer's Engineer, to be constructed.. " This comment is not supported by the facts In fact, in its drainage - eport submitted .Tune 1, 1988, applicant's engineer stated: T 4 "An warthan channel will be constructed..." [emphasis added) Obviously, an concrete channel. c Thl earthen channel different nel is the existing earthen channel which exists on the "Flood Insurance Rate Map" prepared by the Federal Flood Insurance Management Agency, which Is incor- porated in several places in the Municipal Code. Such document and the Code were discussed in the appeal .tocument filed November_ 3, 1988. Applicant's en this earthen will chanhand at the hearing of this appeal Pro gQ4 solution to the Storm Drain Problem Although applicant believes no additional channel is necessary at all, in order to reach a compromise uur position on the solution i subject bytherfollowing action:to 1 Applicant will restore and improve the existing eartnen channel (as shown on the "Flood insurance Rate Map ") to divert storm waters to the existing portion of the Almond Intercept Master Plen Channel. Applicant's engineers will be available to discuss the hydrology and the details of this Channel. 2. Applicant will provide for maintenance of the earthen channel via the maintenance agreements already planned for maintaining the trail s;stems and non- public landscaping areas. Respectfully suhmitted, Bodine companies, Inc. Dated: November 16, 1988 Applicant A an P Donne ly General Counsol !x Arthur Frank Sanford -�y 5894 Villa Drive R. Cucamonga, Ca 714 980 8559 City Council Clerk 9320 Baseline Road Suite C -3 R. Cucamonga, Ca Novembec 5, 1988 Council Clerk: Arthur Frank Sanford will address the Council on November 16, 1988, at which time he will inform the Council of the current status of a possible civil rights I.�ut deprival law suit naming the City of Rancho Cucamonga as co- defendant and tort- feasor. This suit is being given serious consideration as it was recommended by a, at this time will remain anonymous, deputy sheriff, to test the constitutional deprival issues of the taking of Mr. Sanford's private automobile on July 11th of this year by the San Bornardlno Sheriff's Office, pursuant to quasi - authority of the City Council on July 01, 1983, as condition of contract by City with Sheriff's Department. Arthur Frank Sa for RECEIVED CITY OF RANCHO CUCAMONGA ADMINISTRATION NOV 141988 718191D1ll1P¢�91QI;fy6 INTERIM REIMBURSEMENT AGREEMENT This REIMBURSEMENT AGREEMENI ( "Agreement") 1s entered into to be effective as of ' 1988, be, -,een the CITY OF RANCHO CUCAMONGA. a municipal corporation of the State of California ( "City ") and CARYN DEVELOPMENT COMPANY, a California corporation ( "Developer"). City and Developer are sometimes collectively referred to herein as the "Parties ". PREAMBLE i A. Developer is the owner and dev "toper of real property in the r unincorporated area of San Bernardino County more particularly described on 3 Exhibit "A" attached hereto and incorporated herein by this reference ( "Property "), the Property is the subject of Annexation No. LAFCO 2505 for annexation to the City which has been initiated by landowner petition to the Local Agency Formation Commission B. City has entered into a Development Agreement with Developer pursuant to Government Code Section 65064 et seq The County of San Bernardino has approved Tentative Tract Map Nos. 13564 and 13565 and, has approved a Planned Development Text /Plan by Ordinance No. 3174 (collectively, the "Governmental Approvals "). C. Pursuant to the Governmental Approvals, Developer is being required to install storm drains oversized to serve the needs of other properties, located to the north of the Property Of J90VO $00 000fxff ff UVIVIV 707! MOM$ WON $00 100000WO WHOM Vy' ffff Hfiffff! f7B090fff IlN01. Pursuant to the Governmental Approvals, Developer is being required at its sole expense to install such storm drains subject to reimbursement to the extent that the costs incurred by Developer exceed the amount that Developer would otherwise pay. -1- 29v P 1 D. City shall establish the Benefit Area containing the properties 1 which will be benefited by installation of the storm drains by Developer. Upon establishment of tie benefit area by City pilfli /ddd, this agreement shall be amended to specify the adopted benefit area. At the time final maps are recorded for properties within the Benefit Area, or building permits are issued for such properties, whichever occurs first, storm drain fees will be collected by City from such property owners and reimbursed to Developer. E. The Parties desire to enter into this Agreement to implement the Development Agreement, to provide for the installation of storm drains, and to provide for reimbursement to Developer for a portion of the costs of oversizlag the storm drains to the extent such costs exceed the amount of owing by Developer. The Parties agree as follows: 1, installation of storm Drains. Developer, at its sole expense, shall construct and Install the storm drain facilities and protective works required by City Engineer. The Storm Drain Facilities to be installed by Developer lXeifjil Zffil ff$00,1fpf 000 will be oversized to serve the Property and the Benefit Area. Therefore, pursuant to the Development Agreement, Developer is not obligated to pay any storm drain fees to City, and construction of the Storm Drainage Facilities Is in lieu of payment of such fees. To the extent that the cost of Installing the Storrs Drain Facilities exceeds the amount which would otherwise be owing by Developer, City shall cause other developments to reimburse Developer for such excess cost as further provided in Paragraphs 2 and 3, below. 2 Method of Calculating Developer s Reimbursement Entitlement. (a) Calculation of Capacity. City and Developer agree to calculate capacity following approval of the Etiwanda Area Master Plan of -2- Drainage, and adoption of fee schedule regulations by the City Council. Ag 1 dSrfNlffNAA fA YNd frottl A✓lfA 1010✓aeoY 9719E for W fflfr✓9orfol of No $ford 0019 llffUrfof! W, 0W OM Of YNA $Lord 001A tl MYfof ff ! of of# fl9lfffy 9o✓test t $1 ff 171overio Yo YNf Wfoot V✓owly! $9A _ WOW t WY H 177OUM Y9 00W f sedgy tff ✓doff es000ffYY1/ (b) Allocation of Costs of the Drainage Facilities. City and ;i Developer agree to calculate allocation of costs based on the Benefit Area (Section D, above) and Calculation of Capacity (Section 2a, above). No M$7 offfdfYif doff of fofffroorfof of YNA nom Ilem Fefllffm b ff 00771 ✓f if 7! Blfoo 0900 9A✓ffMO of f0Y17 flolffte fA YNA $ford 0✓lfo Wflfffof $770011 f0 We $W"I P1090 M two 9 10 ✓M Melt of Afr OOP 9009 Mefw0fow70 Yo YN! Somef f✓09o✓ry for 040000000 If two $YOr11 0✓l1A Ylof7frftf 1f 00711 ✓f t$ f! $do %we 9✓f ✓lYl WN of ofYloWoO fofff lYY✓fN MY0 Y0 Moil Many 9.0o 9999 90 ✓elfi(Wo of M Y0C17 09 ff 00711✓f! (c) Oeveloper's Reimbursement Allocation. Developer snail be entitled to reimbursement from the area of benefit of the Excess Capacity of an amount equal to the pro rata share of the costs of constr cting the Storm Drain Facilities attributable to the Excess Capacity coa, Led pursuant to subparagraph (b) of this Paragraph 2. Upon completion of construction this agreement shall be amended to reflect final construction costs and all reimbursements shall ne based upon actual construction costs, and not estimated costs. Developer shall not be entitled to any reimbursement of Developer's costs incvrred which are attributable to the Property. The Developer's Reimbursement Allocation will be adjusted annually consistent with the City's Storm Drainage Master Plan Ordinance and Fee Resolutions, and shall be based upon the Engineering hews Record Construction Cost Inde- for the Los Angeles area -3- m iIG O' iLLLAUNI LYON'ZoVewy 8340 ARCHIBALD, SUITE S. RANCHO CUCAMONGA. CA 91730 • (714) 980.2244 November 16, 1988 RECEIVED Bill Silva Deputy City EngAmer Nov 18 1964 City oC Rancho Cucamonga Lin P 0 Box 807 ENGINEE11#19 xmW Rancho Cucamonga, CA 93730 -0807 RE: Tracts 13059 and 13060 i Request for Extension of Improvement Agreements and Bonds Dear Bill: 1 would like to take this opportunity to clarify our request to extend the Subdivision Bonds and Agreements for the referenced tracts This request relates solely to 'Tn- Tract" improvements and doom not cover any infrastructure sctzets While bonded individu.Jly, these tracts were graded along with the other Victoria Groves projects and Infrastructure. Dc* to the Site Developm. onstruction time for a project the size of Victoria Groves, and due to the butsd -out schedules of the individual builders who bought these projects, we are requesting a one (1) year extension to the original two year agreements The final homes In Trace 13059 are nearing completion All of the production homes in Tract 13060 are complete except the lots to be built -out in the Model Complex Rhoades Development is selling a continuation of their Family Tree project from this Model Complex. To accoswdate completion of construction inspections, final pick -up work and final release we feel a one year extension is required. We sincerely request your consideration and support of a one year extension to these Bonds and Agreements Please contact me for any additional information we can provide regarding this request Thanks for your help Respectfully, � � r Steven Ford Project Manager SF /ra • REAL ESTATE DEVELOPMENT Forrest Perry ,. 9180 Orange S.reet Alta Loma, CA 91701 S. 4 November 11, 1988 Honorable Mayor and Council City of Rancho Cucamonga y 9320 -C Racellne Road i P.O. Box 807 Rancho Cucamonga, CA 91730 ? SUBJECT: ENVIRONMENTAL ASSESSMENT t CO DITIOUAL USE PERMIT 88 -28 -PERRY Shops Bldg. for Perry's Market Center, Rancho Cucamonga, CA Project No. 88016/0.00 Honorable Mayor and Council: By this letter I request that the above - referenced matter not be heard at your scheduled meeting of November 18, 1988 and x continued to your meeting of December dy, 1938 This will allow me sufficient time to prepare the necessary exhib: r for your consideration. Thank you for your consideration in this matter. Very truly yours, Forrest Parry Applicant FP: NEW: jjs i CITY OF RANCHO CUCAMONGA - MEMORANDUM NTBS November 16, 1988 TOi city Council FPAMS Lauren M. Vaasa City Hanager_, SUB.1BCri PARR TASK FORCE APPOLYMNrS The attached three applications for the Park Tssk Force were received after the staff report was prepared for you by tho Community Services Manager. Of the three applicationas please note, partirilarly, the me from Catherine Bridge. Catherine is cu_rently a member of the County Regional Parka Cizz.iasion. She also sereed on the City's General Plan Committee and on the Sri - Community Incorporation Committee. Catherine's experience would be so asset on the Task Yates, in our view. LMN:bas e; CITY OF RANCHO CUCAMONGA R 2 C F 1 V E D CommuolitY Services Department NOV 1 - 1988 �-4 cm�a F, iy SEAV�ce °s4�I PARK AND RECREATION FACILITIES REVIEW TASK FORCE October 28, 1988 Name, Addrae', Phone Number (occupation- O!rtional): L� i� a.ie��./w11 CITY OF RANCHO CUCAMONGA R_ C E I V E D Community Services Department NOV 1 - 1988 Crt / O� RA! •;d0 CLICAPIVIC C,, fi!.17!YiY SRRVNCC PARK AND RECREATION FACILITIES REVIEW TASK FORCE October 28, 1908 CITY OF RANCHO CUCAMONGA R EC E) V E D Community Services Department NOV I ° 1988 CITY OF RA11CHO PARK AND RECREATIONO'AIdHHITY; FACILITIES REVIEW TASK FORCE Octobw 28, 1988 4 CITY OF RANCHO CUCAMONGA NOV 1' 1988 Community Services Department CITY JF rL. 'y0 G. ,.n G "G.'• COYMUNh! SE 7YCa PARK AND RECREATION f FACILITIES REVIEW TASK FORCE October 26, 1988 v M4atltrY ra3thM NW b• Md Iona 41. b rbl M tteab6 1 NHy NN M1lt upTy SauY eN��V//n[ onYroN n.".�r' } ♦ �r SS bmY Hfn Ya 1wr 1f.w0 h M Ni0f0 GWH M.bO IppN Yrf 0 HeX I �...n a a- k -- nf.. n eo.euY SAh'���bfebNf.abNfObNfgn beMWfbml YMO Ne fS.(bR. DMM1fYtlgfpy P >bI..P. M01yfp1 qrN. /N1CI.Y.Vf Ye NOO �. //•orwr MNffwm fv. AvnlbwN 1N1NnWt. aawf • aaN MANI.IY. RESUME' JUDITH ANNE McELREE -ORR �;. iYxty a nom': } -. f •• t: • of Rancho Cucamonga �✓ I? One, coutses and tram" Name and LocAW d Inshlufloo 16 APPIKaae prpitlfa.nal ntenP a rN4ncatr Stmt No Etam, 1 Dab One S14,115 I o <Paun,d ebu, TMn9 Sod a Manual w Elecmc (+hre Macnlne, ,In Do Sou Pone, a .alu1 Ghana 7t Clas I K) aseefed b pperale 22 ('� Numbered nMW" Vnandr prwPS Scenf er ref ➢i Jp WSa I ❑ Cafs II o lcsnse NP x(/12 Can III Cass IV U ConNClionf m all 5 Kan? O- Armed Forces? Yes O NOZ V • e L, Branch oil SoMm Rank at Sepere SpsUagy 2e. Were you swr dlachapod m brrwd to resign from any position? Yea O No It yet. Uplalrc .,• 25. Do You siosaase of can tou prorkb • work outhartutim permit Is nx•sury7 Yn No O 2& Inquiry may be me" of Your forma emiarm m pN Last sd W YOU •Handed regarding your p e fecmO. M•y vre paLN Yes No O evI iL W jh your Mf m �" i �h 0 poyment Nislory. Usfyowwork for Ore tall l0 vat rbhsMb M Regth win UA1,wlrecenlposi idesereagofel• ace*sebNa■ to the position applied 106. Hat dquatto.ndpde sany OroweIsne PNSbW Eadalnamelyanclwevolur ldyment 11 None space de aeeparate gaps between employment po needed each promotion seats # Date 1 1'ef- LI Sgnalbw —,j VdXgm– d . Applications are considered Incomplete without a dated algnature. ki yy4 .� Fig f` F 4 , to 5, THE ATTACHED INFORMATIO`1, SUBMITTED BY COUNCILWOMAN WRIGHT, GOES WITH ITEM H1. 11�s 4 u yYy 1� t Pamela Wright, Councilmember Rancho Cucamonga city Council 9320 Baseline Rd. Rancho Cucamonga,CA. 91701 November 3, 1988 Dear Ms. Wright, I Would like to request that the Council seriously consider the implementation of an ordinance, or a combination of ordinances, that would place certain restrictions on the open and public dis- play of X- rated,adult or pornographic materials. There exists witi,ie. the city some video rental and soles shops and liquor stores and bookstores that openly and publicly display materials in such a manner that it is unavoidable for a citizen to miss it. These are not establishments that are categorized as 'Adults Only' and they are not in totally enclosed areas with restrictions for minors. These are everyday 'neighborhood stores' that children enter freely. We have so many children in our community that are in close proximity to most shopping areas that this could be construed as a situation that is potentially harmful to children. My daughter was selling magazine subscr 1ptions for the Junior High and entered into a video shop on Baseline Rd. She ran straight into the X -rated display, which was open- ly placed immediately after you enter the store. There was no choice involved. These particular videos had full color covers depicting explicit sexual acts, complete with the little black squares ovar the genitals. After discussing this with the owner for over three weeks, he decided to partially enclose an area for these movies. Now they are In a three sided area, with full view from the cash register where you must pay to rent Walt Disney movies. If a store chooses to carry these types of materials, Thera should be a choice itivOlved for the public. In addition, there should be protec- tion for the many children which frequent public shopptng areas. I've enclosed copies of existing ordinances from some neighboring titles. we need to put something in place in our city to protect the citizens end the children. If you need volunteers for collecting data, pledge call me. 'homework' or Respectfully, J Lynn Rivera, Citizen 9142 Cielito Rd. Rancho Cucamonga,CA. 91701 w fad- Otis 6 -.�- WICMS PLEA...: Chapter 9.06 DISPLAY OF ADULT MATERIALS Sections: 9.06.010 Lgfthd.e findihp and authorlsatloa. 9.06020 DdWdoas. 9.06.030 Display of adult material prohibited. 9.06.040 Vlohtioa— Ploalty. 9.06.50 Public nutsiusm 9.06A10 f.egisladve find:np and authorintioa. The city council fords that there exists and ha- existed an Increasing trend toward the display of adult materials at grocery stores, convenience stores, drug stores and other retail outlets within the cry. The adult material is often dispayed with u the open view of children of lender years and is easily acces,tble to them The cry council finds that this matenai is adverse to the public peace. mor..lsar..l good ordero. roungehildren fhe couned further finds that it is in the test mterest of the public safety, welfare and convenience of the city U prohibit the dupt".y of adult material and to adapt the followmg mplanons su that cdverse impact, upon young ct.ldmn are kept to a mtmmmn (Ord 451 4 1 Ex A fpwrt). Me 1 9.06 020 liefinillnns. As u<_e., in this chapter the following worts and phrases shall have the follow - .ng meaning A I Adult material" means any magazine newspaper publication poster display. or advcrtuemenl (unelu. ding adsenstng alrpearing on the cover + •iF uA;.f F0I?14Ln Clrsr.-� ,esb K M,v-t f/aaS1N`uI^C, �•R ;..� ;•• i" ?Ice RETIMN :/ .,. r. 11 a cP 906.010 or wrapper of merchandise offered for sale or rent to the public) which contains or the outside any photogrzph, picture, drawing ordepiction of any of the follow- a. The complete exposure of the entire nipple area or entire areola area of any female breast or breasts except those of Infants: and b. The complete exposure of the entire genitalia or buttocks of either males or females, except those of infants. 2. This dermition of "adult material' does not include any art of photography publicat-ou which devotes at least twenty -five percent of the lineageofeaeh edition to articles and advertisements dcaling with the subjects ofart or photog- raphy. Nor does this definition apply to any news periodical which reports or describes current events and which, from time to time, publish photographs or depictions of nude or seminude ,persons when describing cultures in which nudity or seminudity is ind:genous to the popu. lation. The city council finds that medi- =I publimnons or bona fide educational publications do not usually publish on their covers any photograph or depletion which is included to the definition of adult material and drat. therefore, it is not necrssar, to define this type of pub- lication 0 Dtsplas means exhibiting or espostngadu• natenjisso that the same are within the open view of potions. invi- tees and actors to the premses where such matenals are located. or are visible from am public street thoroughfare. udewalkorpedestrianwav orotherrest- dential or Wsrness premses "Display" 144.1 3ek.m • r includes the exbibitingof adult matertsl y- from newsracla or newspaper vending stands 4 C "Person" means any individual, partnership, firm ass- t3ation, corpom- tion crotherlega) cntity. (Ort1.451 § I Ex. A (part), 1996) 9.06.0-10 Display of adult material vi prohlbited. '1 Nopersonshalidisp layadultrnatesial, or permit, or allow the display of adult r material. (Old. 451 § I Ex. A (part), 1986) 9.06.040 Vioiadoo - laity. Any person, whether as principal, a, agent, employee or otherwise, violating or causing the �iotation of any of the provisions of this chapter s1a01se guilty ' of a misdemeanor, punishable as pre - scribed in Section 1.04.020 of this code. Any violation of this chapter constitutes a xpamte offense for each and every day during which such violation it con- ' doucd. asprovidedInSecdon1.04040of this code. (Ord. 451 § 1 Ex. A (part), 1986) 9.06.050 PublIc auisanca In addition to the criminal penalty provisions provtdrid by this code, vio- lation of any section or sections of this chapter is declared to be a public nui. same. and may be abated by the city (Ord 451 § t Ex. A (part), 1986) 9,0.020 143 -2 isa,m parr )434A1 (iARDENA MUNICIPAL CODE I4.24AI CIIP.r'iER 24. DISPLAYING MATERIALS HARMFUL To •TNi&MN. S. aft, of rat tau 11e�• See. 4- 24.01. DefmCiom. amt frmn the of this chapter, unleu otherapse app ,4 For the Purposes context, certain wods and phrases used to this dupter are defined as ^ % folo": umwrkd pemn under the the of r (a) W4Nor" shs)l man any 'l0tao(i8)Yars, _ (b) "Harmful to minors' shill mean shat quality of any s•' . rtsenuson, Of rcp,-na nutine. to whatever form• dexdptlo s. Exhibition, v abuse s nh^n Lea whole ban the following when nudity, sexual or rr r�W p m, chuxterbtics le�pyy cam• (I) The aerate adult person APPtybill musty sanyrds would find that the molests) of pnfamunce hu a pndor• semen tendency to sprat to n prurteot Interest In sex to malon. and contemporary com• (2) lhs ncnte tlWs pa9on appyW reunify standards would find that the material or WfamunEe depku or describes glad sexual conduct, wail excitement, or ado- Ia m,widnk abuse in a manner that Patently 4 su ubtedfor with regect un -hat standards m the adult commaNry muhon.and (3) The masersil or perfarmsna tacks mMus literary xhenufs edueathonsl anotx, of pobtrcal value foot the hsmhan cook or Ic) "Nudity" shall mean the ehonry or buttocks nth less than a full opaque female tenstals. pubic area, the droortion co•enn,• of portion thereof below the uap of the nlpPle; of the dcp'c red tM•+oftmeredmak gerju tie, of con sNa shill olibly.+soldf stage (d) "Stxail conduct" shall mean acts of marturbmon, r onho• or contact nth a person's clothed sexuality exuil vter:oune. physics) buttocks or d such person shill be a m andothed gnalis puohc area female breast (e) -Sexual excitca tnt" dun mean the condrtion of human or female teals wbtn in a sale of equal stimulation of afouul clue (f) Sadomsochntk sbax" shall mean the 11111c03tion or tor•.ute by Cl upon a Person dad in anhaliamunts• a made. at bizarre bound or oche+ physically couume the condition of bale, fettered, reafnmeo the part of arse so tiethd •TNi&MN. S. aft, of rat tau 11e�• t t' f424D1 GARDENA MUNICIPAL CODE 1424D2 1 (a) "Material" shag man my book, magazine. oewspapu. pamphlet, pager, print, picture, frgum, linage, de ctfptlon, aratlon picture Win, record, recording tape, orvideo tape. (h) "Performance" ►all in= my motion picture. film, rldm i tape. played record. ph000gnph, at ;ape. Preview, Earlier. Play. show, skit, dance, or other exhibition performed or presented to or before an ° audlereee of am "mom. with or without eomidention. (' (p "P.tlowlD*" than man having {entail knowledge of, or raven to know, or a belief or gmurid for belief which wertanta fuller inspection or inquiry of both: (1) The chxut s and content of my material or perform- we which is miserably sureeptlble of esamination by the defendant; and (2) The aye of the minor, Aavxvtr, an honest mbtake shall constitute an excuse from liability under this chapter if the dcfmdmt made a vasomble bona Ode attempt to ocutsbt the true age of such minor 0) "Person" share mean my indnddual,pannershfp,anoclation, corporation, at other legal certify of my kind. (k) "RealonablP boas fide attempt" $hill man m attempt to ascertain the true :Cc of the minor by mquuint the production of a dtner s Ikenre, inuri4e Ikeme, blab certificate, or other gortrmnental or educational klmtifkarnn card or paper and not relying rolely on the oral alleprwns or apparent age of the mtnot. t 1 1, Ord. 1717, efr Goober 11. 1984) Sec. 474.02. Offenses. W, person Went the "golly control, or mpeMstan of my coovacregl egablWment shag knowhlely (1) Display material whkh is hamful to moron in web a way that minors. As a pan of the united general public, will be tapered to view web material. pmvMed, however a person shag be deemed not to hm "displayed' material harmful m minon it the mater!$ is kept behind devices commonly known au -blinder arks" an that the lower two-thirds ('J)) of the mat" U not exposed to v¢w, (b) Sell, furnish, present, distribute, anow to wcw, or otherwtre disseminate to a minot. with or without eonndeation, my material which u harmful to miners. or (c) present to a minor or partkipatc in presenting to a minor with or without consideration, my performance which Is harmful to a minor 11 1 Ord 1317 cff October 11 1984) 11847 I F• napmttee ea DalarrEw 71, 19" 34.24.03 CiARDEN^ MUNICIPAL CODE 14.24XS Sec. 4- 24.03. Defenses. It shall be an affirmative defenta to my prosecution under this <hMer that the material at pafarmnha Involved was displayed, practised, or disseminated to a minor at a recognircd and established school. church. rruseum, medical clink. hospital. public library, tovem- mental agency, or quad- govemmerltal agency. and patent acting In their capacity as employees or agents of such patent or orgmltatlom and which Institution displays, prnmb, or dhcmlcatn such material or per• formana foi a bona Ode gm <rnmentil, tewctbnil, at r endfk purpose. (11, Ord. 1317. all. October 11. 1994) ci. Sec. 4- 24,04" V7o(al(oru: Passahks. y Any peruo who shah be convicted of v;elating my provision of this chapter shall be guilty of a mhdmlemo•, and &hall be fined a sum not y� exceeding Fms Hundred and not100ths ($500.00) Dollar. and may be confined m )all for a de fit term Mich &hall be fused by the coast ma d, shut not exceed alt (6) .OGnthL Each dry my violation of this chapter occurs or continua duo me: ;rote a re &rte, o(fmu and shall be paNdr" able of a separate violation. Every act, thing, or transaction prohibited by thb chapter shall constitute a separate offense a to tech Item, Issue, or ( title Involved and then be punishable as such. For the purposes of this j' chapter, multiple copies of the same identical title.monthly issue, volume, d and number issue or other such IdmtkJ material than constitute a single w ortenve. 4 (4 l.era. 1317,e(f.October Il, 1984) a Sec 4"24.05. Sevmbility i If any section, subsection, rentenee, clause, phrase, or portion of this chapter Is for my rayon held to be invalid at unconstitutional by the decWon of my court of competent )urisdictlon, such decision &hill not affect the validity of the remaining portions of tha chapter The Council hereby deduct that it would have adopted this chapter and each section, subsecrk ., sentence, cause, phase, or portion thereof irapective of the fact that my one or more sectiunt, subsection&, senrenca, clauses, phrases, or portions be declared Invalid or uncosmitutlonsl (11. Ord. 1317, eff. October 1:,1994) Rwmt Na 94 0 c<r bo 31,1984 11848 Ai S.L;JkUL'L" UF CALT MINIA C 173 1109 ff Strict Saernsne11t0, Qullfcrrlw 95 2l4 RETIIRV AT 2 WEEKS PLEAS '• Chapter 17.41 SELLERS OF SEX -ORIEMED MATERIALS Sections, 17.41.010 Purpuse. 17.41.020 Deflations. 17.41.030 Loatfun of sellers 9f aexoris.ated materials 17.41.040 Sale of sexual peraphesntia prohibited. 17A LOSO Public display of certain matter prohibited. 17.41.060 Amortization of nonconforming rases 17 41.070 Impounding of newsracks. 17.41.080 Penalty. 17.41.090 Severance clause. 17.41.010 Purpose. In adopting this chapter, this council recognizes that businesses which u0 sex - onemcd materials possess serious objectionable operational chanclenstics which when concert - inted can have a deleterious effect upon adjacent areas It is also recognized that locating such uses as are covered by this chapter In the vicimt) of fsc:bties frequented by minors will cause theu exposure to adult material which, because of their immaturity, may adversely affect them In addition. at is recognised that many persons are offended by the public display of certain sexual material Special regulation of these uses is therefore necessary to insure that their adsene ciTects will not contribute to the bhgbhng or duwngndmg of the surrounding neighborhood or endanger the morass. health and welfare of moron (Ord 161- ; I (part). 1981 Ord 1616; ](part) 1981 ) 17 41 020 Definitions As used to this.hapte: the followmg defim- nons &hail appl) 4 SreuRed sexual zersanex means 1 Human genitals in a state of sexual mulahan or arousal is of human masturbation actual or simulated sexual Intercourse. genital union sodomy anahngus bugger• Z1121,ts copropLagy, coprophdu, cun- mLngm fellatio. necrophdia, gede•asty pedophda. or zooeusty 460-1 SELLERS OF SMORIENMD MATERIALS 3. Fondling or other erotic touching of human genitals, pubic region, buttock or female breast. B. "Specified anatomical areas" mearu- 1 Less than completely and opaquely covered: a. maturehumangenitals. Is. mature human buttock, Q mature human female breast below the top of the areola; .vat 2. 11tsm:n male genitals In a duarmbly turgid aisle, even if completely and opaquely covered. C "Seller of sexoriented material" means any retail or wholesale establishment hying as a substantial or siloftcant portion of its stock In trade pictures, films, books, maga. zines and other printed materials which are substantially devoted to the depiction of "specific sexual aetivalce, cr "specified anatomical areas" Also included in this definition art the following 1 "Adult motion picture theater' roam a facility used for presenting material in the form of motion picture film, video tape or other similar means which s substantially aevnted to the depiction of "specified sexual actisnties' or "speci- fied anatomical areas' for obsc"vion by persons therein 2 -Adult nevsnck" means any coin. operated madras: or deice which ds- pensea material substantially desroted is the depiction of " specified s:xual acnst- ties' or "specified anatomical area. - D "Sexual jimphemaba" means •epr9du.tions of human sex organs. d.idos vibrators sex organ stimulators apparatus alleged to assist in or improve human sexual performance or other dessucs or products datm ^utsi.ed or characterized by their exciu-ive orientation toward "specified anaterrocal areas (ev cludmg contraceptives and items wish generally accepted medial scientific r -an- dtmtc benefits) (Ord 161` ¢ 1 rpart. 198 Ord .616 4 1 (part 1981 r 17 41 030 Location of sell" of seconented materials No person, whether as a pnn,ipal or agent. clerk or emplo)cr ether for nun :h or cans other person or as an offoer of any corponti -n (ewe.. 2 4:1 ZONING or otherwise, shall place, maintain, own, op• rate, or otherwise engage In business as a se0er of aexodented materials in any of the follow• ins locations: A. In any zone other than the Cw2 (restricted commercial) and C -3 (general commercial) zones, B. On any lot directly abutting a resident1ally zoned lot or abutting a lot upon whkh a nonconforming residential = Is tooted, C Within seven hundred fifty feet of any pars( of real property upon which is looted any of the following facilities: I A School primari),, attended by m4ior, A church whlcs conducts religious or educational classes for minors, 3 A public park, neighborhood center, Community center, or recreation facillty frequented by minon; D Within fire hundred feet of any other seller of sexorientcd material. (Old 1617 f I (part), 198! Ord. 1616 1 1 (part). 1981.) '741040 Ssle of sexwl paraphe=lb rmhibited. The sale of mmml paraphernalia is not a per. muted use in any zone of the city. (Ord. 1617 4 I (part), 1981 Oed 16161 1 (pan), 1981 ) It 41 050 Public display of Certain matter prohibited A Materials offered for sale from newmeks shall not be dlspayed in a manner which e�poua •o public view pho?o"phs or dluuranons 4 sreel6e4 scxcal actmtks Of of mm or mcre naked adulb in poses which emphasize br due_t the -,ewer's aster, [inn to the subse'•'s genitals file proslsnons or nhls sul:stcnon shall not apply to any ruwsrack covered by him Code Section 13 Itc, Cbmme --,al busmesse• haenwu or operating within the or agab nos dnpla, or ee,ubn any may nal m a manner -ho) caoi Sea to rabli sew 0 hnrographs or n!lustrat urn of ,pec,t,e•1 se•ul .ctnu,.•s a one cr more nal.e•' aruPs in ybse, which tmrl,as,ze sec drte? the - ,ewers Menton to tilt suh le" s r: mtal> %, used herein .%poses to puohc s¢w means %poses to ti,e view of w .oea + u' 4b0 ' persons outside the building in which the Commercial business is located. (Ord. )617 1 1 (part), 1981 Ord. 1616 1 (part), 1981.) 17.41.060 Aruort)rution of nonconforming uses The provisions of Chapter 17.90 of this code dui its with nonrnnfonssbtg uses shall no'. be applicable to the lulling of sezoricnted materials. Instead, the following amortization schedule shall apply to all alien of uxoriented materials which do not conform to the terms of this chapter but otherwise are legally existing on the effective date of the ordinance codified In Lilts chapter•. A. For a se8er of such material legally existing in the city for a period of no less than $I, months preceding the effective date of the ordinance codified in this chapter, ono hundred twenty days; B. Fer a seller of such material IcIROy existing within the city for a period of no less than three mentbs preceding the effecti%e date of the ordinance codified in this chapter ninety days; For a se8er of such material leaaLy, existing within the city for any period fl) to three months preceding the effective date of the oadinance codified in this chapter, sixty days (Ord. 1617 1 1 (part). 1981 Ord. if 16 f I (part), 1981 ) 17.4;.070 Impounding of newsnc)s A The provisions of Chapter 17 90 of this codc dealing with noncorfommng uses shall nos be applicable to adult newuacks and on the effective date of the ordinance adopting thus chapter all adult newsracks shall be required to comply •uith the provisions of tills chapter 3 An adult newsnck found m violation of this hapte, may be impounded by any pritce officer of the en> afer the following actions have oc.urred I A notice of violatmn has oven affixed to the adult n: wirack sa�•ng tiro section Of this nap.er which Kin been violated and &filing ills the idult newsrcl wdl be impounded Of rah, aous,cn is not abared within three doss C C E i, .c ( � ..• a ��� ...yti�� . -. 4 r 1 2. The violation has not been abated within three days of the posting of the notice of violation; 3. The police department has presented to any magistrate affidavits or other evi- dence sufficient to show a prima facie violation of this chapter; 4. A magistrate has '!sued a written order permitting the Impounding of the adult newsmch pursuant to thh chapter. C Whenever an adult newsrack is impounded, a complaint for violation of the section or this chapter for which the adult newsrack was impounded most be filed within fourteen days of the bapouuding. If such action is not commenced within fourteen days, or if a fma. appealable decision In such action Is tendered mote than sixty days from the filing of the action, the adult newsrack, together with its contents and all moneys, if any, shall be released to any person who pro- vides sufficient proof of ownership of such adult newsrack, without requiring the pay. ment 9f any Impound fen; provided, however, that no adult newsrack shall be released beu-.:e n fsual appealable decision was not tendered within sixty days of the filing of the action if the claimant of the adult newsrack n responsible (er extending tiro judicial devrmination beyond the allow- able time limit D. The person who provides sufficient proof of ownership of such adult nessrack may have such adult newsrack, together with its contents and all moneys therein. if any, returned upon paymg an impound fee of twenty -five dollars, on upon order of the 1112861rate if any, who ai.thonzed the seizure of the newsrack pursuant to the terms of subsection B Shnul4 thorn be a dismissal of the action charging a violation of this chapter or M acquittal of such charges, the court ordering such dismissal of entering such acquittal may provide for the rel.ase of newsrack and an) contents impounded (Ord 161- 1 1 (part) 1981 Ord 1616 1 I (part). 19R I I 17 41 080 Penalty NomAstandmg an) other provision of this chaptc- 'ray peron who violates this chapter shall be guilt) of a mudemeanor and rasa) be punished as follows SELLERS OF SEX -ORIENTED MATERIALS A. By imprisonment in the =only jail not to exceed six months- or B. By forfeiture of any newsrack impounded pun -suant to Section 17.63.060 of tills chapter, providing the reasonable value of such newsrack does not exceed five hundred dollars; or C By a fine of rive hundred dollars or less- or D. A sxmbination of such Imprisonment, for. feiture and /or fine; provided, however, that in no event shall any fine Imposed, when added to the reasonable value of any im- pounded newsack which is forfeited, exceed the sum of live hundred dollars. (Ord. 16!7 1 I (pan), 1981 Ord. 1616 4 1 (pan), 1981.1 , 17.41.090 Severance ausa If any section. subsection, subpart, or provi. sion of this chapter or the application thereof to any person, property or cinssmstance Is held .nvalid, the remainder of the chapter and the application of such to other persons, properties or circumstances shall not be affected thereby (Ord. 1617 1 1 (part), 1981 Ord. 16161 1 (part), 1981.) 460.3 tc «o,. 2 121 LVAGUE OF CALWOWMZA MIES � 9.37.010 1 4u0L8tr+ t )ela;rM esomrunum, C3J4% e(A «W14 EtETURNT )uP E WMXKB PL.BASSChapter 937 REGULATION OF DISPLAY OF READING MATERIAL Sections: 937.010 Purpose. 9J7.020 Definitions. 937.030 Display prohibited. 937.040 Fsu ibllshments with "Adult Only" areas. 937.050 Opaquedlsplays. 9-37.060 Enforcement— Penalty. 937-010 Purpose. The city council fieds and declares that there exists in the city a tendency toward a display ofadult magazines, books, and video cassette tapes in liquor stores, grocery stores, ding stores and other retail outlets rn such a manner that children, often of tender yeam are exposed to video eassertm book and magazine covers depicting explicit sexual activity and showing human genitals and pubic regions in a sexually explicit manner. The city council finds that such exposure establishes a tone in the community inconsistent with morality and good order and creates a public nuisance. The council finds that it' in the best interest of public health. safety and welfare :o restrict the display of trading material with sexually explicit covers and to adopt the regulations set out in this chapter so that the ad. erse impacts ofsuch material on children and the community as a whole will be kept to a mimmum. (Ord. 922 (part), 1985). 937.020 Definitions. The following words and phrases used in this chapter shall be defined, as follows: A. "Commercial establishment" means any place of business in which msno- are lremitted in the city 8 -Explicit sexual depictions" means any picture, photograph, drawing, decoration, or other illustration depicting: I Strmutauon of human genitals, or Otherwise emphassng the genitals; 2. Acts of human masturbation, sexual intercourse, sodomy, bes9ality, b,rggery, cunnllirgus. fellatio. pederasty, homosexuality, sado-masochism or similar acct; 3 Fondling or other erotic touching o(human genitals, pubic «grons or female breasts, C "Person' means any individual, partnership. Orin, association. corporation or other legal entity. D "Reading matenal" means any book magazine, pamphlet. video cowrie or newspaper offered for sale in a commercial establishment. (Ord 922 (pan), 1985). 937.030 Display prohibited. So person shall display reading material having coven with explicit sexual depictions in any commercial establishment in the cry except as provided in this chapter (Ord 922 (part), 1985). 937.040 Establishments with "Adult Only" areas. Reading material having covers with explicit sexual depiction, may be displayed in a commercial establishment in an area set aside and dearly posted for adults only. "Adults Only "areas shall be visible 168.9 uww 1411 .• 9.37.030 sR�"$ a from the cash register or sales center of the store. No items frequently purchased by children shall be located in the vicinSty orthe "Adults Only" area, and the material with sexually explicit depictions are not readily visible to patrons in the other, areas or the store. "nors shall not be permitted to enter an *- "Adults Only" area. (Ord 922 (part), 1985). 5 937A50 Opaque displays. k Reading materials having covers with eapficitsexual depictions may be displayed inan area open to the general public in a commercial establishment only if the cover depictions are not visible. Opaque display units showing only the top two inches of magazine coven shall be deemed to comply with this section. (Ord 922 (part), 1985). 937A60 Enforcement — Penalty. t Notwithstanding anyothrsection ofthiscode. noeriminal penalty is providedforthe violation of thischaptec Violation of any section or sectionsorthtschaptrisdecLuedtobeapublicnuisance -nd y may be abated by the city. (Ord 922 (pan), 1985). r :7 li;Y lcvember 13, E i R Rancho Cucamnga City Council °' ��e Y 9340 Baseline Road S Rancho Cucamonga, Ca 91730 NOV 15 1988 u'r OF XANORII *• 6101K4 Re: City Council seating of November 18, 1988 �'mm"K 01y1TIDN Agenda Item - 'AN MEAL OF THE CONDITIONS OF APPROVAL FOR TFNTATIVB TRACT 13738 - BODINB COMPANY' By way of identification. I own land adjacent to and immediately to the north of this proposed tract. Under norml conditions I would be at the mating on November 16, but I have a conflict with a youth orgcaization function, Cavp Fire board of directors meting. However, this item is Important enough that I decided to write to you and express my cotcerns. After reading the Planning Department's staff report. I attended the Commission meting no September 14, 1988. The applicant produced no new surprises and since I agreed with the staff report and conditions, I did not object to the project I still do oot object to the project. In fact, I as in favor of It. It represents a partial solution to a serious problem we have on Almond Street Vest of Sapphire I an sure all of you are aware of that problem. `• Howver, when 1 received notice that the applicant is requesting an appeal of the conditions of approval specified by the Planning Department, I became concerned. I have talked witb Beverly Bisaen of Planning and Jasbph Stofa of Engineertug and discovered that the applicant had not discussed the idea of an appeal with their depnrtmnts. In fact, they were not aware there was an objection to the conditions of approval Staff of both departments spent a lot of tim and conscientious effort to arrive at these conditions of approval I agree with staff that most of these candittow are in the best interests of the city The applicant's attempt to by -p'� Planning and Engineering, by going alrectly to the City Council and requesting as appeal, indicates a lack of respect for the people In those departments and I object to that I have read the Staff report and their reeol.tion presented to you for action on November 16, 1988 1 feel it In important for you to know my concerns and feelings on this matter RECEIVED Nov 15 1988 In regard to the conditions being appealed: Uly OF IIAIQl1O COCAl1OM Condition 02 - a A b: There is a Planning Commission resolutton IlC 9fylS" 90 adopted June 10, 1967 which clearl specifies undergrounding utilities and how it shall be done This is as it should be, since all new development for yeard has e2bracod undergrounding all utilities. From a practical standpoint, however, the Bast side of Sapphire is not likely tc be changed in the foreseeable future Condition e5: It is very important that Almond Street be paved west of Sapphire due to increased vehicular traffic associated with this development and to help salve now of the serious existing problems with trespassing, oft -road vehicles, motorcyclea, and canyon traffic that we Lave today Obtaining t,:e dedication for the north half (33 feet) of Almond Street is necessary for this. Condition fe: (As it applies to condition /0) Thin condition involves obtaining part of m7 property I have expressed, to the applicant's representative, a willingness to cooperate with them if they make a realistic offer for the property. To date, tha9 have made no offer As this condition applies to condition 19. 1 have a different fe +ling Condition 07: The emergency aocew road along Almond to Turquoise Is to be graded and compactod (as per Engineering Department) T'Ais road is already graded and since it is wild rock, it needs no ccapaction. In my Opinion. The only way to Improve this road is to pave it and that Is Impractical Condition e9 The construction of the Almond Intercept Channel from the existing coutbwest point to the northerly boundary of the develosmeat, or even to the ohet T line f mcne mpoan to handle the rua -off water, primarily 7 proposed t e 10210 BUT, to require this applicant to extend it to a northerly projection of the east aide of Sapphire is, in my opinion. unfair and unrealistic That portion to far outside of their proposed development and would involve two additional land owaora, even though one of those land owners to proposed tract 710,10 Hopefully. tract 110210 will be developed and at that time, and at their expense, the channel north of Almond should be constructed since it would be on their land. A portion of canditica 19 I an in favor of, but part. I feel, to unfair Condition 110: This condition is a necessary part of the development of the area and since pa,t of the cast would be recoverable when tract t10210 to it-- loped, I don't agree with the applicant's objection I an in favor of the dove lopmot with most of the conditions But. In a couple of areas. 1 feel the applicant has a point of appeal. Sl nce-Jy. i , 4��,�1 Charles h Horgan 0234 Almond St Alta Loma i THE ATTACHED INFOR arc;N, SUBMITTED B'( COUNCILWOMAN WRIGHT, GOES WITH ITEM N1, Pamela Wright, Courcilmenber • Rancho Cucamonga City Council 9320 Baseline Rd. Rancho Cucamonga,CA. 71701 November 3, 1990 Dear Ms. Wright, I would like to request that the Council seriously consider the implementation of an ordinance, or a combination of ordinances, that would place certain restrictions on the open and public dis- play of X- rated,adult or pornographic materials. There exists within the city some video rental and sales shops and liquor stores and bookstores that openly and publicly display materials in such a manner that it is unavoidable for a citizen to miss it. These are not establishments that are categorized as 'Adults only', and Lhey are not in totally enclosed areas with restrictions fur minors. These are everyday 'neighborhood stores' that children enter freely. We have so many children in our community that are in close proximity `o most shopping areas that this could be construed as a situation that is potentially harmful to children. My daughter was selling magazine subscriptions for the Junior Nigh and entered into a video shop on Baseline Rd. She ran straight into the X -rated display, which was open- ly placed immediately after you enter the store. There was no choice involved. These particular videos had full color covers depicting explicit sexual acts, complete with the little black squares over the genitals. After discussing this with the owner for over three weeks, he decided to - irtially enclose an area for these movies. Now they are in a three sided area, with full view from the cash register where you must pay to rent Walt Disney movies. I£ a store chooses to carry these types of materials, There should be a choice involved fat the public. In addition, there should be protec- tion for the many children which frequent public shopping areas. I've enclosed copies of existing ordinances from some neighboring cities. We need to put something in place in our city to protect the citizens and the children. If you need volunteers for 'homework' or collecting data, please call me. Respectfully, J W/1v1:i �- u-LLQJ Lynn Rivera, Citizen 9142 Cielito Rd. Rancho Cucamonga,CA. 91701 • ••. Mw4ivlly.< tl.�i r j- • -• r YI'1$S » 9.06.010 f•F+n,... 9.06.010 I.eglslatlre Md(ngs and aurhorfratlon. The City council finds that there exists and has existed an Increasing tread toward the display of adult materials at grocer) stoles, convenience stores, drug Stores and other retail outlets within the cry. Theadult material is often displayed within the Open view of children of tender yarn and is easily accessible to them. The city council finds that this material is adverse to the public peace, rnomLsana good orderofyoundchildren. The council further finds that it is in the best interest of the public safety, welfare and convenience of the city to Prohibit the display ofadult material and to udopt the following regulations so that sdverse Impacts upon young children are kept to a minimum. (Ord. 451 § 1 Ex. A (part). 1996) 9.06.020 Definitions. As used in this chapter the fallowing words and Phrases shall have the follow. ing meaning: A. I -Adult material" means any magazine, newspaper. Publication. poster display, or advenisemen (lnciu. ding advertising appeanng on the cover • >' .rN L A,.ISO11ML% Cale;", 1444 1400 K Htr t BlWrnra.r•+tn C�11,'.v -2v i!114 Rl3TUB.%1 ;1 : 7 • p qp or wrapPct Of merchae•lise offered for sale or rent to the public) which oontyas oil the outside any Photograph, plot=. drawing or depiction ofan) ofthe fohow. Inge a. Tile complete exposure of the entire idpyle area or eatin• arcola area of any fomale b,rast or br, ts axcept those oflafa:ts; and b. Ths complete exposure of the enure genitalia or buttocks of either mates or females, except those of Infants. 2. This deftaidou o: "adult material" does not include any art of photography publication which devotes at least twenty-five Percent of the lineage ofmch edition to articles and advertisements dealing with the subjects ofart orphotog. mPt +Y• Nor does this definition apply to any naves Periodical which reports or describes current events and which, from time to time, pnblisb Photographs or depictlons of nude or seminude persons wh.ndescnbingculture3in &hichnudity orseminudity is indigenovs to the popu. lation. The city council Ends that medi. cal Publications or bona fide educational Publications do not usually publish on their coven any photograph or depiction which is included in the definition of adult material and that, therefore- it is not necessary to define this type of pub. lication. 0 "Display" means exhibiting or exposing adult matenalsso that thesame are witllir! the open vtewofpatrons, invt• tees and visitors 10 the Premises where such materials are located, or are visible from any Public street, Thoroughfare, sidewalk or Pedestrian way or other resi. dential or business Premises. "Display" iSa d *11, Chapter 9.06 DLSPIA:' OF ADULT MATERIALS Secdoas: 9.06,010 Legislative Ifodlgs and authorizatlaa, 9.06.020 DefLaldeas. 9.06.030 Dlsplayofadaltasaterial prowbited. 9.06.00 Vlaladoa— Penalty, 9.06.053 Publieaekance. 9.06.010 I.eglslatlre Md(ngs and aurhorfratlon. The City council finds that there exists and has existed an Increasing tread toward the display of adult materials at grocer) stoles, convenience stores, drug Stores and other retail outlets within the cry. Theadult material is often displayed within the Open view of children of tender yarn and is easily accessible to them. The city council finds that this material is adverse to the public peace, rnomLsana good orderofyoundchildren. The council further finds that it is in the best interest of the public safety, welfare and convenience of the city to Prohibit the display ofadult material and to udopt the following regulations so that sdverse Impacts upon young children are kept to a minimum. (Ord. 451 § 1 Ex. A (part). 1996) 9.06.020 Definitions. As used in this chapter the fallowing words and Phrases shall have the follow. ing meaning: A. I -Adult material" means any magazine, newspaper. Publication. poster display, or advenisemen (lnciu. ding advertising appeanng on the cover • >' .rN L A,.ISO11ML% Cale;", 1444 1400 K Htr t BlWrnra.r•+tn C�11,'.v -2v i!114 Rl3TUB.%1 ;1 : 7 • p qp or wrapPct Of merchae•lise offered for sale or rent to the public) which oontyas oil the outside any Photograph, plot=. drawing or depiction ofan) ofthe fohow. Inge a. Tile complete exposure of the entire idpyle area or eatin• arcola area of any fomale b,rast or br, ts axcept those oflafa:ts; and b. Ths complete exposure of the enure genitalia or buttocks of either mates or females, except those of Infants. 2. This deftaidou o: "adult material" does not include any art of photography publication which devotes at least twenty-five Percent of the lineage ofmch edition to articles and advertisements dealing with the subjects ofart orphotog. mPt +Y• Nor does this definition apply to any naves Periodical which reports or describes current events and which, from time to time, pnblisb Photographs or depictlons of nude or seminude persons wh.ndescnbingculture3in &hichnudity orseminudity is indigenovs to the popu. lation. The city council Ends that medi. cal Publications or bona fide educational Publications do not usually publish on their coven any photograph or depiction which is included in the definition of adult material and that, therefore- it is not necessary to define this type of pub. lication. 0 "Display" means exhibiting or exposing adult matenalsso that thesame are witllir! the open vtewofpatrons, invt• tees and visitors 10 the Premises where such materials are located, or are visible from any Public street, Thoroughfare, sidewalk or Pedestrian way or other resi. dential or business Premises. "Display" iSa d *11, tE�a, 9.06.020 includes the exhibiting of adult material r from ucw tads or newspaper vendin0 = sued& C. '•Person" mesas any individual, 'K P2114141", P. gym association, COtppra• dOo or otherleq! entity, (Otd.4Si § I Ex. A (part). 1986) 9.06.030 Display of malt rnataw frohiblal. No person shall display adult material, or permit, or allow the display or adult materiaL (Ord. 451 l Ex. A (pus), 1986) 9.QS.040 Vlowl"— Pttalty. Any person, whether as principal, avot, employes or otherwise, violating or cawang the violation of any of the ;. provisions of this chapter shall be guilty, Of a misdemeanor, punishable as pre. scribed 10 Section 1.04.020 of this code, Any violation of this chapter constitutes a aepamte offense foreach and evcrry day during which such violation is- coo- tieucd, as provided in Section 1.04.040 of this code. (Ord 451 § I Ex. A (part). 1986) 9.06-050 Publlcaulsanee. In addition to the criminal penalty provuions provided by this code, vio- lation of any section or sections of this chapter is declared 10 be a public nui. s3nce, and may be abated by the city. (Ord. 431 § 1 Ex. A (part), 1986) 144 -2 SoMW s a, t T -B -ti-u )424A1 GAnOCNA 161UNICVA1. C008` ( 424A1 CHAPTER 24. DISPI.AYING MATERIALS HARMFUL TO MINORS • See.4.24.01 Dermiclurs. For the purposes of Ub chaptaq unlen otherMn apparent from the context, Union write and phrases used In this chapter Me deMed a I follows. (a) 'Y.Ilnor" sh A mean MY unmarried person under the ye of Cghtaen(18)years. (b) "Harmful to minim" :tall mean that quality of any deset'pton, exhibition, pcesentatrd, of reprcunutbn. In whatever form, of nuday, sexual conduct, uxua excitement, or udoenasoehbte abuse when the ms erlal or performann, tsken u a whole, has the following characteristics: (1) The avenge adult pecan applying eontar v,,y can• munity standards would find that the matesat or performance has a s Predominsnt tendency to apPN to a Pmtient Interest In sex to minor: and (2) The avenge adult person applying contemporary earn. mu City standards would find Nu the material or performance depkti or desrribn nudity, sexual conduct, sexual excitement, or uda masochistic abuse in a manner that b pnen4y offenetse to providing standards N the adult community with respect to what b siltable for minors, +d (2) The mater.-al at performance lacks serlms literary, scientific, edacasoul, anistk, or po8ticsl value for minon. (c) "Nudity" shall mean the showing of the human mate or fema,e grnitals, pubic arts, or buttocks wlin ten Nan a full opaque coveting. the slowing of the Climate breast with less Nan a NII opaque covering of MY Portion thereof below the top of the nipple: or the dept:• lion of covered male genital, m e dim,ri bly turgid rite. (d) "Sexual eunduet" shall mean acts Of masturbation, homo• uxual,:y sexual intercourse, or physical contact with a person's clothed or unclothed gentile. Puck area, buttocks, or, if such person than be a fema:e, breast. (e) "Sexual excitem,'W stall mean the condition of human stale tar remelt genitals when In a uato of sexual simulation or atouul. If) "Ssdo- masochutie abuse" shad mean the nagenauon or induce by or upon a Person clad In undegamtenta, a mast, or butane costume or the condition of being fettered, bound or other physically restrained on the pan of one so clothed • - •Tine INe 04 Oeu„ev. dt I9114 11846 ;i 142401 GANDCNA MUNICIPAL COOK li 4d4,M v }, (g) "Material" shall main any book. magaame, newspaper, pamphlet, poster. prWt, picture. f4ure.imye.dneriptlon.ownuo picture film. record, recerdug tape, or video upe, (h) 'Performance" shat! mean my motion picture. (tin, video ups, played rewtd, ;honotnpll. or upe, prevkw, miler, play. show, ' 11141, dana, Of &that "Jiff tlon petfosmed of presented to or Imfore an .' audkrlce of am of mom, with or without cans4den ion. (0 "Knowingly" shag mean hnbtg general knowkdgs of, or restart to know, u a belief or ground for belief which warrants further Inspection or Inqu1Y of both: (I) Ilia chanter and content of my materiel or perform• y Jose whxh Is rearorubN weeptlbla of examlmtlin by the defendant; .) and (2) The see of the minor; however, an honest mistake shag constitute an axcun from liability under this chapter if the defendant made a aeasomble bona fide attempt to axenW the true age of such Wow. 0) "Perwa" shall mean any Individual, partnership,--, tattoo, corporation, or other legal entity of any kind. (k) "Rnsauble bona fide attanpt" shag mean an attempt to ascertain that we see of Cie minx by requiring the production of a driver's Ikmm. muriaee license, birth cenlfkate, o, other Iovervamul ' or educational idmn0ratlon card or paper and not nlybq witty an the oral allegations ar apparent $It of the mNOr. (( I.Ord. 1317,tff. October It 1984) Sec. 4. 24,02. Offenses. No parson he" the custody, Muni. or super titan of any commercial establishment shag knowingly (a) Display maurW which is htm4ful to minors in such a way that minors, as a pan of the invited general public, will be exposed to view such material; prmided, however, a persor shag be deemed not to have "displayed" material harmful to nminen If the material Is kept behind devices commonly known as "blinder racks" to that the lower two-thirds (213) of the material Is not expand to view; (b) Sell, fundsh, present, distribute, allow to view, or otherwise dusem W U to ■ minor. anth or without consideration, my materW which u harmful to minors, at (c) Present to a minor or pwicipate in presenting to a minor, with or without consideration, my perforinunce whkh u harmful to a minor (1 1 Ord 1317 off October 11 1984) nepnnt N044 Deanow21,1984 11347 y... r 14444) CAR09NA g1UNIC1eAa COOP 144405 Sic. 4-24.03. DefenNs. It $hall be an affirmative defense to ,my prosecution under this Christer, that the marshal or performance involved was dL�dayed, presented, or disseminated to a minor at a recogn'ttd and established school, church, museum, medical clinic, howltal, public library, govern• meotJ agency, or quadgovemmental agency, and persons snk.8 in thdr Malty AS employee$ or agents of such persons or organizations, and which Institution dWsys, presents, at elluem,nates seuh material or per• for ance for a bona ride goremmsntJ, edutdbnJ, or anentlf$c purpose. (1 I. Ord. 1717, eff. October it. I9S4) See, 4. 24,04, Violations: Penalties. Any person who Aall be convicted of viotaus any pm idem of this chapter shall be guilty of a misdemeanor, and shall be fined a rum aot exceeding Five Hundred and 1101100ths ($500.00) Dollars, and may be confined in )ail for a dcartao term which $all be fixed by the court and $hall not caved dx (6) months. Each day ,ray violation of this chapter occurs or continues $hall comhtute a separate orients and (hall be punish• Able as a separate violation. Every act, thing, or from% Uon prohibited by this chapter shall constitute a sepaaa 011ease a to each lam, lame. or title Involved and shall be punishable a such. For the purposes of tide chapter, multiple dopks of the urns Identical title, monthly Issue. volume, and number issue or other such Idenisgal aram ld sh W constitute a imgic offense. (1 1, Ord. 1317, erf, (ktober 11. 1984) Sec. 4. 24.05. Severeb0lty. If any section, subsection, sentence, dmu, phase, or pOnlaA of this chapter it for any reason held to be Invalid or unconstitutional by the dect$on of any coon of competent Jurisdiction, such decision ahail not affect the validity of the remaining po:tlom of this chapter The Council hereby declares that It would We adopted this Chtprsr and each section. mesectlon, sentence. clause, phnu, or portion thereof Irrespective of the feet that any one or mom actions, mbuctlom,untences,ciau=, phtaet, of portions be declaad Invalid orunconttitutlonJ. (I I,Ord. 1017,eff, October 11, 1984) Rewm'No 54 Oenmeer31,1984 11848 Sera T•yta, Qwll /Unrlw 8a?II !T>•:TTTIiV !Ti 2 WEE:XS PL£A.'4 j el31M Chapter 17.41 SELLERS OF SEX -ORIENTED MATERIALS Section[: 17.41.010 Purpose. 17.41.020 Definislun. 17.41.030 Loalknof sellers pf seaforiented materialist. 17.41.040 Site of sexual paraphernalia prohibited, 17.41.050 Public display of certain master Prohibited. 17.41.060 Amortization of nonconforming uses. 17.41.070 Impounding of newsrocks. 17,41.080 Penalty. 17.41.090 Severance clause. 17.41.010 Purpose In adopting this chapter, this council recognizes that businesses which sell sex. oriented materials possess serious objectionable operational characteristics w•hlch when concert• toted can have a deleterinas effect upon adjacent are.u. It 0 also recognized that locating such uses as are covered by Ws chapter In the vicinity of hat8hes frequented by minors will cause thew exposure to adult 'aamrial which, because of their Immaturity, may adversely affect them In addition. it fs recognized that many persons are offended by the public display Of cernnl sexual materal. Special regulation Of :here uses n therefore necessary to Insure that their adverse effects will not contribute to the blighting or downgrading of the surrounding neighborhood or endanger the monh, health and welfare of minor. (Ord 1617 ! 1 (part), 1981 Ord 16161 1 (part), 1081.) 1741020 Defrnitlons. As used in this chapter the following defmt• pons shall appl) i SPe,ified sexual actnn,es' means 1 Human aemtals in a state of sexual stimulagon or arousal A,rs of human mstnrbation actual or simulated sexual mtercourse. genital union sodomy aralingus buggery nevtial,q coprophagy coprophilu cun• ndmgus fellatio necrophilia. pederasty. PedoPh,;u or - ooerutc 460.1 SELLERS OF SEX-ORIENTED MATERIALS 3 Fondling or other erotic touching of human genitals, pubic region buttock or female boast. B. "Specified anatomical areal' means I Less than completely and opaquely Covered: a. muure hamsz genitals• Is. mature human buttock, e mature human female brest below the top of the amok' and 2. Human male geNtals 1 discernibly turgid sate, even li pletthy and Opaquely covered. C "Seller of sex•orlented material" means any recall or wholesale establishment having as a substantial or significant pon'an of its Stock in trade pictures, films, books, maga. allies and other printed mats. als which am substentlally devoted to the depiction of "specific sexual activities' or -specified iratomlcal tweak" Also included in this dentition are the following I "Adult motion Picture theater" means a facility used for presenting material m the form of mot9n picture film, video tape or other similar means which If substantially devoted to the depiction Of "spetined sexual activities" or "spec> fled anatomical Areas" for obscrvauon by persons therein. Adult newsrack" means an) cool• oPerot4d machine or dnae which alb• penes material substunlally devoted to the depiction of "specified sexual actor ties" or "specified anatomical amu •' D. sexual panphematia" means Nproduct.ons Of human sex organ. discos. vibrators $ax organ stimulators. apparatus alleged to asswt In or Improve human usual Perfomance. or Other devices or products distinguished or characterized by their exclusive anentation toward "speafieJ anatomical areas' (c%. chiding contraceptives an.l Items wish generally accepted medical, s eoti0c or act• demic benefits). (Ord 1,11 § 1 (part). 1981 Ord 1615 1 1 (part). 1981 ) 17 41 030 Location of sellers of stx•uriented materfaa No person, whether as a pnnarpal or agrnt clerk or emPlo)ee. either for lumseh or arts other penon or s an ufGcer of uny Nrponuen Iewnea : a:, ZONING or otherwise, shall place, maintain, own, op• sate, or otherwise engage In bnlsmess u o seller of sea - oriented materials Ili any of the fo0ow- Ing loothim: A. In any zone ether than the C•2 (restricted commercial) slid G3 (general commercial) zones; D. On any lot directly abutting a residentially zoned lot or abutting a lot upon whit nonconforming resldentill use is located; C. Within seven hundred efiy feet of any parcel of real Property upon which is located any of the following facilities: I A school primarily attended by minors, 2. A church which conducts re0gious or educational classes for minors, 3. A public park, neighborhood center, community center, or recreation facility frequented by minors; D. Within five hundn:d feet of any other seller of sex•oriented matenaL (Ord. 1617 § 1 (pan), 1981 Ord. 1616 § I (pan). 1981.) 17.41.040 Sale of sexual parapheru:sla prohibited, The sale of sexual Paraphernalia is tit taper• mitred use In any zone of the city. (Ord. 1617 § 1 (part). 1981: Ord. 16161 1 (part), IN I.) 17 41.050 W blic display of certain matter A. Materials offered dfor sale from newsmcks shall not be displayed in a manner which exposes to public view photographs or illustrations of specified sexual activities or of one or more naked adults in posts which emphasize or direct the viewer's atmil. tion to the subject's genitats. The provisions of this subsection shall not apply to any newsack covered by Penal Code Section 31) lick Commercial businesses licensed or operating within the city shall not display or exhibit any material in a manner which exposes to public stew photographs or Illustrations of specified sexual activities or one or more liked adults 11 Poses which emphasize or direct the viewer s attention to the sub• iecr s gtmtals As used herein, '•e%pums to Public view.. means exposes to the view of ic... r et) 460.2 persons outside the building in which the commercial business is looted. (Ord. 1617 § 1 (pan). 1981: Ord 1616 § 1 (part), 1981.) 17.41.060 Amortization of nonconforming uses, dealing with nonconfurming uses shall not ott be Applicable to the 'citing of sex-Oriented materials. Instead, the following amortization schedule rise,, apply to all sellers of sex- oriented materials which do not conform to the terms of this chapter but otherwise are legally existing on the effective date of the ordinance codified In this chapter: A. For at seller of such material Itplly existing In the city for a Period of no less than six months preceding the effective date of the ordinance codified in this chapter, one hundred twenty days; H. For o seller of such material legally existing within the dry for a period of no Ins than three months preceding the effective date of the ordinarre codified in this chapter, ninety days; C. For a seller of such material legs,,)' existing within the City for any period up to three months preceding the effective date ordinance codified In this chapte the r, of f the days (Old. 1617 § 1 (pan), 1981 Ord. 1616 1 1 (pan), 1981.) 17.41.070 Impounding of newsacks. A. The provisions of Chapter 17.90 of thts code dea0ng with nonconforming urn shall not be applicable to adult newsracks and on the tffective date of the ordinance adopting this Chapter. all Adult newsracks shall be required to comply with the provisions of tills chapter ). An adult newsrack found in violation of this Chapter may be impounded by any police Officer of the city after the fo)Inwing actions have occurred I A notice of violation has been affixed to the adult newsack start,,: the cectton of this chapter which his been violated and staring that the adult newsrack will be impounded if the violation is not abated within three days C C C C :. The violation has not been abated within three days of the posting of the notice of violation; 3. The police department has presented to any maghtrate affidavits or other evi. dente sufficient to show a prima facie violation of this chapter; 4. A magistrate her Issued a written older petmittbmg the impounding of the adult newsrack pursuant to this chapter. C. Whenever an adult newsrack Is impounded, a complaint for violation of the section of this chapter for which the adult newsrack was Impounded must be filed within fourteen days of the Impounding. If such action IS not commenced within fourteen days, or if a final appedable decision in such action Is rendered more than sixty days from the f01ng of the action, the adult newsrack, together with Its contents and all moneys, if any, shall be released to any person who pro- vide sufficient proof of ownership of such adult newsrack, without requiring the pay. ment of any Impound fees; provided, however, that no adult newsrack shall be released because a find appealable decision was not tendered within sixty days of the fihr,g mf the action if the claimant of the adult newsrack Is rearonsible for extending tho judicial determination beyond theavow• able time limit. D. The person who provides sufficient proof of ownership of such Adult nessrack may have such adult newynck, together with its contents and all moneys therein. If any, returned upon Paying An impound fee of twentytise dollars. or upon order of the magistrate. If any, who authorized the seizure of the newsrack pursuant to the terns of subsecton B. Should there be a dismissal of ISc action charging a violation of this chapter. or an acquittal of sucim charge, the coun ordering such dum(ssal or entering such acquittal may provide for the release of newsrack and an) contents impounded (Ord 161' I I (part). 1981 Ord 1616 1 I (part) 1981 1 17.41050 Penalty. Kotwnhstandmg any other proyslon or tins chapter any person who violates this chapter ,11311 be gulh) of a misdemeanor ard ma) be Punished as follows SELLERS OF SEX-ORIENTED MATERIALS A. By imprisonment in the county jail not to exceed six months:or B. Ry forfeiture of any newsrack Impounded pursuant to Section 17.63.060 at this chapter, providing ere reasonable value of such newsrack I oes not exceed five hundred dollars; or C. By a fine of five hundred dollars or M.ss; or D. A combInation of such Imprisonment, for. feiture and /or fine; provided, however, that In no event shall any fine Imposed, when added to the reasonable value of any Ira• pounded newsrack which is forfeited, exceed the sum of five hundred dollars. (Ord. 1617 ¢ I (pan), 1981 Ord. 1616 ¢ 1 (pan). 1981.) 17.41.090 Severance clause. If any section, subsection. subpert, or provi• slon of this chapter or the application thereof to any person, property or circumstance Is held Invalid. the remainder as tht chapter and the application of such to other person, properties or circumstances shall not be affected thereby. (Ord. 1617 ¢ 1 (pan), 1981 Ord. 1616 ¢ 1 (Part), 1981.) 460-3 3 92 1 LHAGVi OF CAr'U'OI :;A CITIES /v «ate, 7400 L atma 9.37.010 ae""Las rro, C&LUOrWA SM14 l +lntl:� RET�r � ! WnIS6 PL,BASECIATter 9J7 REGULATION OF DISPLAY OF READING MATERIAL Seetlow: 937.010 Purpose, 937.020 Delinidam. 9J7.030 Display pmMNted. 9-37.040 Esabliskitseaa with -Adult Only" areas. 9,37.050 Opagw displays, 9J7.060 Entorcemear_r"alty. 9.37.010 Purpose, The cIty council finds and declare that there exists in thecitya tendency toward a display. ofadult maguines, books, and video cassette apes In liquor stores. grocery stones, diug stores and otherretad outlets in such a manner that children, often of tender years, arc exposed to video cassettes, book and magazine covers depicting explicit sexed activity and showing human genitals and pubic regions in a sexually explicit manner. The citycouncil finds that such exposurcestabluhrs a tone in the community inconsistent with 11101741Y and rood order and creates a public nuisaace. The council finds that it is in the best Interest of public health, safety and welfare to :rstrict the disp erof reading material with sexually explicit coven and to adopt the teguladots set out in this chapter so that the adverse impact ofsuch material on children and the community u a whole will be kept to a minimum. (Ord. 922 (part), 1985). 9J7.020 Definitions. The follower words and A. -Commercial phrases used in this chapter shall be defined, as follows the -Commercial establishment" means any Place of business in which moron are Permitted in 0. on depicting: sexual depictions*, mans any picture, Photograph, drawing, decoration, or other Illustration deprcnng: I. Stimulation ofhuman genitals. oratherwic emphasing the genitals: 2. Acs of human masturbation, sexual intercourse, sodomy, bestiality, buggery, cuanihngus. fellatio. Pederasty, homosexuality, sado-masochism or simile acts; 3. Fondling or other erotic touching of human genitals, pubic regions or female breasts. C. "Person" mans any individual, partnership, firm, association. corporation or other legal entity. D. "Reading aatenal" mans any book maguine, pamphlet. video casette or newspaper offered for We in a Winmertial establishment. (Ord. 922 (Part), 1985). 9 .37.030 Otsplayprolkbited, Vo person shat! display reading material having covers with exphcit sexual depictions is acv commert.al establishment in the city except as provided in this chapter; (Ord. 922 (part), 1985). 9J7,040 Establishments with " Adult Only» smas. Reading material having coven with explicit sexual depictions maybe displayed in a commercial establishment in an area set aside and dearly Posted for adults only. "Adults Only "areas shall be visible 168.9 ia--e 'Jli T�a C��CAMn CITY cF f ; RAnIa k) CLuwh>a\uA 0 C V 1 1077 AGENDA RANCHO CUCAMONrA PUBLIC IMPROVEMENT CORPORATION Lions Park Co ®unity Center 9161 Data Line Road Rancho Cucaswngt, California November 16, 1988 (To convene following itu G6 of City Council Agenda) _ 1. FORMATION OP THE RANCHO CUCAMONGA CO!?RINITY FOUNDATION AND AUINOHILATION 1 TO : PROI:BEO WEIR TFIB NORTHEAST COMMUNITY PROJECT pINANCINC. r RE90LUfI0N N0. 88 -001 2 A RESOLUTION OF THE BOARD OF DIRECTOR6 OF THE PUBLIC IMPROVEMENT CORPORATION OF THE CITY OF RANCHO CUCAMONGA, CALIFORNIA, ADOPTING BYLAWS RESOLUTION N0. 88 -002 A RESOLUTION OF THE BOARD Of DIRECTORS OF THE RANCHO CUCAMONGA PUBLIC IMPROVEMENT CORPORATION OF THE CITY OF RANCUO CUCAMONGA, CALIFORNIA, ELECTING OFFICERS FOR SAID CORPORATION RESOLUTION NO. 88 -003 12 A RESOLUTION OF THE BOARD OF DIIL6CrORS OF THE RANCHO CUCAMONGA PUBLIC IMPROVEMENT CORPORATION OF THE CITY OF RANCHO CUCAMONGA, CALIFORNIA, APPOINTINC TIMOS AND PLACE OF REGULAR MEETINGS RESOLUTION NO. 68 -004 13 A RESOLUTION OF THE BOARD OF DIRECTORS OF THE RANCHO CUCAMONGA PUBLIC IMPROVEMENT CORPORATION OF THE CITY OF RANCHO CUCAMONGA, CALIFORNIA, APPROVYUG AND AUTHORIZING EXECUTION AND FILING OF EXEMPTION APPLICATION TO STATE FRANCIUSE TAX BOARD 3. COrMunication From the Public - This is the time and place for rho general public to address the Rancho Cucaaonge Public Improveent Corporation. State Law prohibits the Corporation from addressing any issue not previoualy included on the Agenda. The Corporation may receive testimony and sae the matter for a subse4uant meeting. Commntu are to be limited to five minutes per individual. 4. Adjournment - I, Beverly A. Authelet, City Clerk of the City of Rancho Cucamonga, -hereby certify that a true, accurate copy of the foregoing agenda was posted on November 16, 1988, seventy -two 1'2) hours prior to the meeting par A.h. 2674 at 9320 -C Base Line Road. �Y Rancho Cucamonga Public Improvement November A Corporation Agenda 16, 1980 RESOLUTION N0. 68-005 14 14 ' A RESOLUTION OF IHE BOARD OF DIRECTORS OF THE RANCHO CUCAMONGA PUBLIC IMPROVBMENr CORPORATION OF THE CITY OF RANCHO CUCAMONGA' CALIFORMIA, APPROVING AND AUTHORIZINO EXECUTION AND FILING Op VARIOUS FEDERAL t FORMS '{ RRSOLVrIOH N0. 88 -0'•S 15 �t A RESOLUTION OF THE BOARD OF DIRECTORS OF THE RANCHO CUCAMONGA PUBLIC IMPROVEMENT CORPORATION PORION OF THE CITY OF CUCAMONGA' CALIFORNIA, APPROVING, DRANCHO EXECCVrICp OF LTiRTAIN LEAR NANCING DORCIIZIING AND INO AND DIRECTING CERTAIN ACTIONS WITH RESPECT 21188620 THERETO 2. Other Business 3. COrMunication From the Public - This is the time and place for rho general public to address the Rancho Cucaaonge Public Improveent Corporation. State Law prohibits the Corporation from addressing any issue not previoualy included on the Agenda. The Corporation may receive testimony and sae the matter for a subse4uant meeting. Commntu are to be limited to five minutes per individual. 4. Adjournment - I, Beverly A. Authelet, City Clerk of the City of Rancho Cucamonga, -hereby certify that a true, accurate copy of the foregoing agenda was posted on November 16, 1988, seventy -two 1'2) hours prior to the meeting par A.h. 2674 at 9320 -C Base Line Road. �Y J: 3X i i CITY OF RANCHO CUCAAIONGA STAFF REPORT DATE: November 16, 1988 TO: City Council and City Manager FROM: Elizabeth Stoddard, Finance Manager SUBJECT: (1) FORMATION OF THE RANCHO_CUCAMONGA COMMUNITY T7T--"THORIZATION TO PROCEED WITH THE NORTHEAST RECOMMENDATION Approve Resolution autaorizing the formation of a anc o ucamonga Public Improvement Corporation and authorize the execution of documents approving the lease financing of Northeast Community Park. BACKGROUND The formation of the Rancho Cucamonga Public mprovement Corporation will create a non - profit public benefit corporation that allows the financing of vartou. public Improvements through the sale of Certificates of Participation (bonds). The Corporation will apply for State and Federal taxation exemption and it is expected such an exemption will be granted. The Resolution 88 -6 for the Rancho Cucamonga Public Improvement Corporation currently being recommended for adoption would authorize the Sala of Certificates of Participation and proceeds would re -pay the acquisition cost to the City. This concept was previously approved in Resolution 88 -638 0.1 October 19, 1988. In essence, the Corporation owns the site but leases the site to the City and the Lease payments are made by the City to the Corporation in censtderatlon of the City's use and enjoyment of the site. Respectfully submitted, Eriz eth Stoddard Finance Manager ES cp r' RESOUVION N0. 88 -001 A RESOLUTION OF THE BOARD OF DIRBCr0as OF THE PUBLIC INPROVBNEUr CORPORATION OF TIM CITY OF RANCHO CUCAHONCA, CALIFORNIA, ADOPTING BYLAUM The Board of Directors of the Rancho Cucamonga Public Improvement Corporation does hereby resolve that rho Bylaws of the Rancho Cucamonga Public Improvement Corporation$ in the form hereto attached and incorporated herein by referencep are hereby adopted and approved and shall st.md as the Bylaws of this Corporation until valid amendment thereof. Z Iift" BYLAWS OF RANCHO CUCAMONGA PUBLIC IMPROVEMENT CORPORATION ARTICLE 1 Offlcas and Seal Section 1. Offices. The principal office of the Corporation for the transaction of business shall be 9320 Baseline Road, Suhu C, Rancho Cucamonga, California 91730, The Board of Directors may, however, fix and change from time to time the principal office fro it one location to another by noting the change of address In the minutes of the meeting of the Board of Directors at v.hicn the address was fixed or changed. The Ilxing or changing of such address shall not be denm3d an amendment to these Bylaws. Section 2. Seal. The Corporation shall have a seal, consisting of two (2) concentric rirclas with the words 'Rancho Cucamonga Public Improvement Corporation' with the date of Incorporation of the Corporation. ARTICLE 11 Directors Section 1. Powers. Subject to the limitations of the Articles of Incorporation of the Corporation, the terms of these Bylaws, and the laws of the State of California, tote powers of the Corporation shall be vested in and exercised by and Its property controlled and Its affairs conduct.W by the Board of Directors. Section 2. Number The Corporation shall have five (5) Directors. Directors are collectively to be known as the Board of Directors. The number of Directors may be changed by a Bylaw of amendment thereof duly adopted by the Board of Directors. Section 3. Selection, Tenure of Office and Vacancies. The Individuals vrho act as the members of the City Council (the 'City Council') of the City of Rancho Cucamonga California (the 'City) shall constitute the Board of Diectors of the Corporation, and each member of the City Council shall be and remaln a member of the Board of Directors of the Corporation for so long as such member remans a member of the City Council. Section 4. Compensation. Directors shall serve without compensation but sech Director may be reimbursed his or her necessary and actual expenses, Including travel r� Incident to his or her services as Director, pursuant to resolution of the Board of Directors. Any Director may elect, however, to decline said reimbursement. Section 5. Organization Meetings. Immediately lollowlnE the annual meeting of the Board of Dirnctors or any special meeting of the Board of Directors at which Directors shall have been elected, the Directors shell meet for the purpose of organizing the Board, the electlon of officers and the transaction of such business as may come before the meeting. Pending such organization meeting, all officers of the Corporation shall hold over, except any officer required by low or these Bylaws to be a Director and who does not qualify as a Director A Director elected et such me. ng of the Board of Directors shell forthwith become a member of the Board of Directors for purposes of such organization. In tha event such an organizational meeting shall not be held immediately following such meeting of the Board of Directors, ;t shall thereafter be held at the next regular meeting or at a special meeting and notice thereof shall be given In he manner provided In Section 7 of this Article for notice of special meetings. Section 6. Regular and Organizational Meetings. Regular meetings of the Board of Directors shall be hold at such time as the Board may fix by resolution from time to time; provided, however, that at least one regular meeting shall be hold each year and such meetings shall, in all respects, conform to provisions of tine Ralph M. Brown Act, being Sections 54950 through 54961 of the Government Code of the State of California (the 'Brown Act'). No notice of any organizational meeting of the Board of Directors, held immediately following the annual meeting of the Board of Directors or on or after any spacial meeting of the Board of Directors shall have been elected, need be given; provided. that it such an organizational meeting Is not held Immediately following such meeting of the Board of Directors, then notice thereof shall be given in a manner provided in Section 7 of this Article, in the same manner as notice of special meetings. Section 7 Special Meetings Special meetings of the Board of Directors shall be called. noticed and held In accordance with the provisions of Section 54956 of the Brown Act Sactlon S. Ouorum A quorum shall consist of a majority of the members of the Board of Directors unless a greater number Is expressly required by statute, by the Articles of Incorporation of the Corporation, or by tnese Bylaws. Every act or decision done or made by a majority of the Directors present at a meeting duly held at which a quorum is present shall be the act of the Board of Directors. Section 9. Order of Business Ti order of business at the regular meeting of the Board of Directors and. so far as possible. at all other meetings of the Board of Directors. shall be essentially as follows. except as otherwise determined by the Directors at such meeting (a) Report on the number of Directors present in person in order to determine the existe:ice of a quorum. -2- 1 (b) Reading of the notice of the meeting and proof of the delivery or mailing thereof, or the waiver or waivers of notice of the meeting then filed, as the case may be. let Reading of unapproved minutes of previous meetirgs of the Board of Directors and the taking of action with respect to approval thereof. id) Presentation and consideratlon of reports of officers and committees. (e) UnfinlShed business. (f) New business. (g) Ad)ournment. �•• Section 1o. Resignation of Directors. Any Director of the Corporation may resign at any time by giving written notice to the President or to the Board of Directors; ,r Pmvfded, however, in the event of such resignation, such Director's position shall remain vacant until a new member of the City Council is elected to 1111 such Director's position. Such resignation shall take eftbct at the time specified therein, and, unless otherwise specified therein, the acceptance of such resignation shall not be necessary to make It effective. Section 1 i Nonllabiilly for Debts. The private property of the Directors shall be exempt from execution or other liability for any debts, liabilities or obligations of the Corporation and no Director shall be liable or responsible for any debts, liabilities or obligations of the Corporation. Section 12. Indemnity by Corporation for Litigation Expenses of Officer, Director or Employee. Should any Director, officer or employee of the Corporation be sueo, either alone or with others, because he Is or was a director, officer or employee of the Corporation. In any proceeding arising out of his or hor alleged misfeasance or nonfeasance In the performance of his or her duties or out of any alleged wrongful act against the Corporation or by the Corporation, Indemnity for his or her reasonable expenses, Including attorneys' fees Incurred In the defense of the proceedings, may be assessed against the Corporation. Its receiver, or Its director by the court in the same or a separate proceeding If the person sued acted in good faith and In a manner such person reasonably believed to be In the best Interests of the Corporation and. In the case of a criminal proceeding, had no reasonable cause to believe the conduct of such person was unlawful The amount of such Indemnity shall be so much of the expenses. Including attorneys' fees. Incurred In the defense of the proceeding, as the court determines and finds to be reasonable L -3- � ARTICLE III Officers Section t Officers. The officers of the Corporation shall be a President, a vice President, a Secretary and such other officers as the Board of Directors may appoint. The Mayor of the City shall act ex ofrrdo as the President of the Corporation, the Mayor pro tem of the City shall act ex offrclo as the Vice President of the Corporatiou, and the City Clerk of the City shall act ex officio as the Secretary of the Corporation. The Corporation may also have, at the discretion of the Board of Directors, one or more aeditional Vice Presidents, one or more Assistant Secretaries, and one or more Assistant Treasurers. In addition to such officers, the finance Director of the City, or his or her .fesignee, shall act ex offrclo as the Treasurer of the Corporation; and the City Attorney of the City shall act ex ofriclo as legal counsel to the Corporation. Section 2 Election of Officers. The officers of the Corporation (other than the Treasurer and legal counsel to the Corporation) shall be chosen by and shall serve at the pleasure of the Board of Directors and each shall hold office until any such off!cer shall resign or shall be removed or otherwise disqualified to serve or any successor shell be elected and quallfied to serve. Section 3. Subordinate Officers. Tho Board of Directors may elect or authorize the appointment of such other officers than those hereinabove mentioned as the business of the Corporation may require, each of whom shall hold office for such period, have such authority and perform such duties as are provided In these Bylaws, or as the Board of Directors from time to time may authorize or determine. Section 4. Removal of Officers. Any officer may be removed, either with or without cause. by a majority of the Directors then In office at any regular or special meeting of the Board, or, except In the case of an officer chosen by the Board of Directors, by any officers upon whom such power of removal may be conferred by the Board of Directcrs Should a vacatcy occur In any office as a result of death. resignation, removal, disqualification or any other cause, the Board of Directors may delegate the powers and duties of such office to any officers or to any Directors until such time as a successor for said office has been elected and appointed. Section 6. President. The President shall preside at all meetings Of the Board Of Dlrectora and exercise and perform such other powers and duties as may be from time to time assigned to him by the Board of Directors or be prescribed by the Bylaws. The President shall also be the chief corporate officer of the Corporation and shall. subject to the control of the Board of Directors, have general supervision, direction and control of the business and officers of the Corporation. He shall presido at all meetings of the Board of Directors He shall be ex ofpclo member of all standing committees, and shall havo the general powers and duties of managament usually vested In the office of President of a corporation and shall have such other powers and duties as may be prescribed by the Board of Directors or by these Bylaws. —4 'V Section S. Vice President. In the absence or disability of the Prosldent, the Vice President, or the Vice Presidents in order of their ranks as fixed by the Board of Directors, or If not ranked, the Vice President designated oy the Board of Directors, shall perform sit the duties of the President and when so acting shall havt, all the powers of and be subject to all of the restrictions upon the President. The Vice Presidents shall have such other powers and perform such other duties as may from time to time be prescribed for them, respectively, by the Board of Directors or by those Bylaws. Section 7. Secretary. The Secretary shall keep or cause to be kept a book of minutes at the principal office or at such other place as the Board of Directors may order, of all meetings �f the Directors, with the time and place of holding, whether regular or special, and It tpeclal, how authorized, the notice thareol given, the names of those present at Directors' meetings and the proceedings thereof. The Secretary shall give or cause to be given notice of all meetings of the Board of Directors of the Corporation, shall keep the corporate records In safe custody and shall have such other powers and pe.fonn such other duties as may be prescribed by the Board of Directors or these Bylaws. Section ti. Treasurer The Treasurer shall keep and maintain or cause to be kept and maintained adequate and correct amounts of Its assets, liabilities, receipts, disbursements, gains and losses. The books of account shall at all times be open to Inspection by any Director 1 he Treasurer shall deposit all monies and other valuables In the name and to the credit of the Corporation in such depositories as may be designated by the Directors He shall disburse the funds of the Corporation as shall be ordered by the Board of Directors, shall render to the President and the Directors whenever they shalt request It, an account of all of his or her transactions as Treasurer and of the financial condition of the Corporation, shall take proper vouchers for all disbursements of the funds of the Corporation, and shall have such other powers and perform such other duties as may be prescribed by the Board of Directors or by these Bylaws. Section 9. Assistant Secretaries and Assistant Treasurers. The Assistant Secretaries and the, Assistant Treasurers in the order of their seniority as specified by the Directors shall, In the absence or disability of the Secretary or the Treasurer, respectively, perform the duties and exercise the powers of the Secretary or Treasurer and shall perforn such duties as the Board of Directors shall prescribe. ARTICLE IV Objects and Purposes Sec on t Nature of Objects and Purposes. The business of the Corporation is to be operated and conducted In the promotion of Its objects and purposes as set forth In Article II of Its Articles of Incciporation. Sectioi 2. Dissolution. The Corporation may be dissolved by "ote of the Directors, o by the action of the Board of Directors in accordance with the provisions of California law Upon the dissolution of the Corporation, and after payment or provision for payment, all debts and liabilities. the assets of the Corporation shall be distributed to -5- �l ), the City. If for any reason the City Is unable or unwilling to accept the assets of the Curporetion, sold assets will be distributed to the Federal Government; to a state or local government for public purposes; or to a nonprofit fund, foundetlon, or corporation which is organized and operated for charitable purposes and which has established its tax - exempt status under Section 501(c)(3) or 501(c)(4) of the Internal Revenue Code of 1988, as amended. Section 3. Merger The Corporation may mergo with other corporations organized solely for nonprofit purposes, qualified and exempt from Federal taxation pursuant to Section SOt(c)(3) or 501(cx4) of the Internal Revenue Code of 1988, as amended, and from State taxation, upon compliance with the provisions of California low relating to merger and consolidation. ARTICLE V General Provisions Section 1 Payment of Money, Signatures. All checks, drafts or other orders for payr mt of money, notes or other evidences of Indebtedness Issued In the name of or pa�aole to the Corporation and any and all securities owned by or held by the Corporation requiring signature for transfer shall be signed or endorsed by such person or persons and In such manner as from time to time shall be determined by the Board of Directors Section 2. Execution of Contracts. The Board of Directors, except as In the Bylaws otherwise provided, may authorize any officer or officers, agent or age Its, to enter Into any contract or execute any contract or execute any Instrument In the name of and on behalf of the Corporation and such authority may be general or confined to specific Instances and unless so authorized by the Board of Directors, no officer agent or employee shall have any power or authority to bind the Corporation by any contract or engagement or to pledge Its credit or to render It liable for any purpose or in any amount Section 3. Fiscal Year The fiscal yr of the Corporation shall commence on the tat day of July of each year and shall end on the 30th day of June of the next succeeding year Section 4. Annuef Audit. The affairs and financial condition of the Corporation shall be audited annually at the end of each fiscal year (as provided in Section 3 above) coo.mencing with fiscal year 1988 -1989 by an Independent certified public accountant selected by the Board of Directors and a written report of such audit and appropriate financial a' elements shall be submitted to the Board of Directors prior to the next regular meeting of he Board of Directors of the Corporation following the completion of such audit Additional audits troy be authorized as considered necessary or desirable by the Board of Directors -6- ARTICLE VI Exempt Activities Notwithstanding any other provisions of these Bylaws, no C rector, officer, employee or representative of the Corporation shalt take any action or carry on any activity by or 4 exempt behalf nderhSection 501(c)(3)tPermitted r 50 (c)(4) of the Internal Revenue Code off 1n986t1as amended, and the Regulations promut3ated thereunder as they 'low exist or as they may hereafter be amended. ARTICLE VII Amendment to.aylaws These Bylaws may be amended by majority vote of the Board of Diroctors. ADOPTED by the Board of Dlrectors of the Rancho Cucamonga Public :mprovement Corporation on November 16, 1988. By Secretary 9 SECRETARY'S CERTIFICATE I, the undersigned, do tiereby certify: 1 That I am the duly elected and acting Secretary of the Rancho Cucam nga Public Impro%ament Corporation, a California nonprofit public benefit corporation; and 2. That the tong ,)ing Bylaws constitute a full, true and correct copy of the Bylaws of said Corporatior. In full force and effect as of the date hereof. i IN WITNESS WHEREOF, I have hereunto subscribed my name this _day of s , 1g__ ey Secretary -S- )-b r , i RESOLUTION NO. 88 -002 y . " A RESOLUTION Of THE BOARD OF DIRECTORS OF THE RANCHO i+� ' CUCAMONGA PUBLIC IMP° mour CORPORATION OF THE CITY OF . RANCHO CUCAMONGA, CAL, 02NIA, ELECTING OFFICSRS FOR SAID Y CORPORATION The Directors of the Reach* Curamongs Public Improvement Corporation ' that the following persons are elected to the offices cat forth opposite their names bolrv, as officers of the Corporation, to serve until the election and wQualification of their successors, as provided in Article III. Section 2 of the .E, Bylaws of the Corporation. Nuns Office Dennis L. Stout President ,`L Pamela J. Wright Vice President :aY7- Elizabeth Stoddard Treasurer Beverly A. Authalat Secretary i. s. t! 11 RESOLUTION NO. 8"0O A RESOLUTION OF THE BOARD OF DIRECTORS OF THE RANCHO CUCAMONGA PUBLIC IMPROVEMENT CORPORATION OF THE CITY OF RANCHO CUCAMO110A, CALIFORNIA, APPOINTING TIME AND PUCE OF REGULAR MEETINGS The Board of Directors of the Rancho Cucamonga Publ'c Improvement Corporation does hereby resolve that the second Wednesday in November of each year at the hour of 7200 o'clock p.m., in the City Council Chambers of the City of Rancho Cucamonga, Lion's Park Community Center, 9161 Base Line Road, Rancho Cucamonga, California, or such over location as shall be established as the 7 City Council Chambers of the City of Rancho Cucamonga, is hereby appointed as the time and place for the reV lar meeting of this Board pursuant to Article II, Section 6 of the Bylaws of this Corporation. IZ RESOLUTION NO. 88 -004 i,. A RZSOLUTIOd OF THE BOARD OF DIRECTORS OF THE 4ANCHO + CUCAMONGA PUBLIC INPROVHHZNT CORP04ATION OF THE CITY OF RANCHO CUCAMONGA, CALIFORNIA, APPROVING AND AUTHORIZING EXECUTION AND FILING OF EXEMPTION APPLICATION TO STATE FRANCHISE TAX BOARD The Board of Directors of t:36 Rancho Cucamonga Public Improvement (f Corporation does hereby resolve that certain Exemption Application to the State ;F ?ranch &a Tax Board (Pars FIB3500), is hereby approved and Jonas Hall Hill A Nhfte, A Professional Law Corporation, is hereby authorized to eceplete said Application and the Secretary is hereby authorised to execute said completed Application and directed to cause the filing of said Application with the State of Califoroi4 Franchise Tax Board. s BE IT FURTHER RESOLVED, that the Secretary of the Corporation be and yis hereby desiansted the "person to contact" of this Corporation for purposes of the filing of Form No. FIB3500. + ...r .n, r. -- RESOLUTION N0. 88 -005 A RESOLUTION OF THE BOAR) OF DIRECTORS OF THE RANCHO CUCANONCA PUBLIC IHPROVENRHr CORPORATION OF THE CITY OF RANCHO CUCACDNCA, CALIFORNIA, APPROVIHC AND AUTHORIZIN0 BMOTION AND FILING OF VARIOUS FEDERAL FORM The Board of Directors of the Rancho Cucamonga public Iaprovament Corporation does hereby resolve that Federal Foray Noe. 1024 (Application for Recognitieu of Exemption under Section 501(c)(4)), 2848 (?Over of Attorney), SS-4 (Application for Emploaea Ideutificatioa Number) and 8718 (User Fee for Exempt Organisation Detemination Letter Request) are hereby approved and that Jones Hall Hill 6 White, A Professional Lav Corporation, special counsel to the Corporation, is herebF authorised to complete said Foray and thi Secretary is authorized to execute said Forms and is authorized to cause tba appropriate filing of said Forms. BE IT FURTHER RESOLVED that the Saeretar7 of the Corporation be and is hereby designated the "person to contact" of this Corporation for purposes of the filing of Federal Form N0. 1024. RESOLUTION NO. 88 -006 A RESOLUTION OF THE BOARD OF DIRECTORS OF THE RANCHO CUCAMONGA PUBLIC IMPROVZHen CORPORATION OF THE CITY OF RANCHO CUCAMONGA, CALIFORNIA, APPROVING, AUTHORIZING AND DIRECTING EXECUTION OF CERTAIN LEASE FINANCING DOCUMENTS AND AUTHORIZING AND DIRECTING CERTAIN ACTIONS WITH RESPECT THERETO The Rancho Cucamonga Public Improvement Corporation (tba "Corporation ") does hereby resolve a follows: WHEREAS, the City of Rancho Cucamonga (the "City "), working together with the Corporation, is proposing to proceed with a :ease financing; and WHEREAS, in connection therewith, the City proposes to finance the acquisition of certain real property for development as the Northeast Erivanda Couaunity Park and it Is in the puSlio interest and for the public benefit that the Corporation authorize and direct execution of the Lease Agreement and certain other financing documents in connection therewith; and WHEREAS, the documents below specified have been filed vith the Corporation, and the members of the Corporatiou, with the aid of its staff, have reviewed said documents; NOW, THEREFORE, it fo hereby ORDERED and DETERMINED, as follova: SECTION 1. 1" below -enuc rated documents be and are hereby approved, and the President, the Vice President or the Treasurer, Is hereby authorized and directed to execute said documents, with a.:ch changes, insertion@ and =Lesions as may be approved by such official, and the Secretary of the Corporation is hereby authorized and directed to attest to such official's signature: (e) A site lease, by and between the City, as leanor, and the Corporation, as lessee; (b) A lease agreement between the Corporation, as lessor, and the City, as lessee (the "Lease Agreement "); (c) A trust agreement, by and among the Corporation, the City and Bank of America National Trust and Savings Association, Los Angeles, California, as trustee (the "Trustee "), relating to the financing and the executicn and delivery of certificates of participation evidencing the undivided, fractional interests of the owners thereof in leave payments to be made by the City under the Lasso Agreement; and (d) An assignment agreement, by and between the Corporation and the Truatee, pursuant to which the Corporation will assign certain of its rights under the Lease Agreement, including its right to receive lease payment thereunder, to the Trustee. IS I Resolution No. 88 -006 Page 2 SECTION 2. The President, Vice President, Treasurer, Secretary and other officials of the Corporation are hereby authorized and directed to execute such other agteamentat documents and certificates as may be necessary to effect the purposes of this resolution and the lease financing herein authorized. D r r AFTER RECORDATION RETURN TO: JONES HALL HILL & WHITE, A PROFESSIONAL LAW CORPORATIUN Four Embarcadero Center, Suite 1950 San Francisco, Callforrla 94111 Attention, Brien D. Quint, Esq. ASSIGNMENT AGREEMENT r (NORTHEAST COMMUNITY PARK PROJECT) a THIS ASSIGNMENT AGREEMENT, made and entered Into a.; of December 1, 1888, by and between the RANCHO CUCAMONGA PUBLIC IMPROVEMENT CORPORATION, a nonprofit, public benefit corporation organized and existing under the laws of the State of California (the 'Corporation'), and BANK OF AMERICA NATIONAL TRUST AND SAVINGS ASSOCIATION, a national banking association organized slid existing under the laws of the United States of America, ac trustee (the " rrustee'): W ITY ESSETH: In the joint and mutual exercise of their pourers. In consideration of the mutual covenants herein contained, and for other valuable consideration, the parties heretc recite and agree as follows: Section 1 Recitals. (a) The Corporation and the City of Rancho Cucamonga (the 'City) have entered Into a lease agreement, dated as of December 1, 1888 (the 'Lease Agreement'), and recorded concurrently herewith, whereby the Corporation has agreed to leaea to the City, and the City has agreed to leaSA from the Corporation, the Site (as said term Is more particularly defined In the Lease Agreement) In the manner arid on the terms set forth in the Lease Agreement, which ter .3 Include, without limitation, the obligation of the City to pay Lease Payments (as dented In the Lease Agreement) to the Corporation In consideration of the City's use and enjoyment of the Site under the Lease Agreement. (b) Under the Lease Agreement, the Corporation is required to cause to be deposited with the Trustee certain sums of money to be credited, held and applied In accordance with the Lease Agreement and r.ith a trust agreement, dated as of December 1 19EB (the 'Trust Agreement'), by and among the Corporation, the City and thn Trustee tc) Upon delivery of the Lease Agreement, the Corporation is required to deposit with the Trustee. In addition to other moneys to be deposited with the Trustee, moneys for the acquisition of the Site For the purpose of obtaining such moneys, the Corporation Is willing to convey to certain persons (the 'Owners') tractional Interests In I the Lease Payments, such fractional Interests to be evidenced by certificates of participation therein (the 'Certificates'). In order to make such fractional Interests marketable on terms acceptable to the Corporation, the Corporation Is willing to assign and transfer its rights unoer the Lease Agreement to the Trustee for the benefit of the Owners. Concurrently with the delivery of this Assignment Agreement, the Trusteo, Is executing and delivering Certificates In an aggregate principal amount of drillers (S ) to Stone & Youngberg for resale to the Owners. The proceeds of such sale are anticipated to be sufficient to permit the Corporation to make the deposits required under the Leese Agreement and the Trust Agreement and to permit the Corporation to pay Lhsrewith the cost of acquisition of the Sits. i;; • (d) Each of the parties ties authority to enter Into this Assignment Agreement and has taken all actions necessary to authorize Its officers to execute it. Section 2. Assignment. The Corporation hereby transfers, assigns and sots over to the Trustee, for the benefit of the Owners of Certificates executed and delivered urder i the Trust Agreement, all of the Corporation's rights under the Lease Agreement (excepting only the Corporatlon's rights under Sections 5.8, 7.3 and 9.4 of the Leass Agreement), Including without limitation (I) the right to receive and collect all of the Lease Payments from the City under the Lease Agreement, (II) the right to • eceive and collect any proceeds of any Insurance maintained thereunder oad of any condemnation award rendered with respect to the Site, and (Ill) the right to exercise such rights and remedies conferred on the Corporation pursuant to the Lease Agreement as may be necessary or convenient (A) to enforce payment of the Lease Payments and any other amounts required to be deposited In the Lease Payment Fund or the Insurance and Condemn3tlon Fund established under the Trust Agreement, or (B) otherwise to protect the Interests of the Owners in the event of a default by the City under the Lease Agreement. All rights assigned by the Corporation shall be administered by the Trustee In accordance with the provisions of the Trust Agreement and for the equal and fractional benefit of the Owners of the Certificates. Section 3 Acceptance. The Trustee hereby accepts the assignments made herein for the purpuse of securing, equally and fractionally, the payments due pursuant to the Lease Agreement and the Trust Agreement to, and the rights under the Lease Agreement and Trust Agreement of, the Owners of the Certificates delivered pursuant to the Trust Agreement, all subject to the, provisfons of the Trust Agreement Section 4 Couddions This Assignment Agreement shall neither corder rights nor impuce duties upon the Trustee beyond those expressly provided In the Lasso Agreement and the 'rust Agreement The Trustee assumes no responsibility for the accuraa, of the recitals herein -2- 1 "� r t IN WITNESS WHEREOF, the parties have executed this Assignment Agreement by their officers thereunto duly authorized as of the day and year first written above. RANCHO CUCAMONGA PUBLIC IMPROVEMENT CORPORATION By IS E A Q President Attest: Secretory BANK OF AMERICA NATIONAL TRUST AND SAVINGS ASSOCIATION, as Trustee By _ d 0(fice- -3- ) STATE OF CALIFORNIA COUNTY OF SAN 13ER14ARDINO j Note On this day of Decernber, In the ry ubllc In and for Said Slate, Year igt3S, before me, :he Aube t Personally known tom Personally appeared Dennis L. Stout and eovd �,4 to be the parsons who execu (or Proved t to umentn the basis of rospoctivery, of the Rancho satisfactory evidence) ac kn Iit. erg to me that ;ho Cucamonga Public Improvem S dent and Secretary, executed It Rahbhn Cucamonga Public Im ent Corporation. an VA'NESS my hand and official seal, Notary Public In and for said State IS E A L) COmmission Expires: Typed Name: -4- 2 O Y,• STATE OF CALIFORNIA � COUNTY OF LOS ANGELES j .'. On this _ of December, In the year 1898, before me, the undersigned, a Notary Public i and for said State personally oppeared personally known to me (or proved to mo on the basis of setisfactory�cer to be the Person who executed the within Instrument as an authorized officer c! Bank of America Notional Trust and Savings Assocletlor., the national banking association therein named, and acknowledged to me that Bank of America National Trust and Savings Association ' executed the within Instrument pursuant to its bylaws or a resolution of Its board of V directors. WITNESS my hand and official seal (SEAL) Notary Public In and for sold State Typed Name: Commission Expires: -5- 2 I [p1I.M JHMrO].W t011W M1 1NAf AFTER RECORDATION PLEASE RETURN TO: C Jones Hall Hill d white. A Professional Law Corporation i Four Embarcadero Center, Suite 1950 San Francisco, CA 94111 Attention: Brian D. Quint, Eso. SITE LEASE Dated as of December 1, 1988 by And between the CITY OF RANCHO CUCAMONGA end the RANCHO CUCAMONGA PUBLIC IMPROVEMENT CORPORATION (NORTHEAST COMMUNITY PARIS PROJECT) ZZ SITE LEASE THIS SITE LEASE dated as of December corps allon nntl general law city oxlstin 9�• is by and betweon the CITY OF g under and by virtue of the laws of the State of California (the 'City'). and the RANCHO CUCAMONG y organized and public benefit corporation or anA PUBLIC IMPgOyEMENT CORPORATION, as lessor, State of Colhornle (the •Corporalzed an lessee; g under and by virtue or the laws Of the W I T N'—qET H: Of Certain rea p operty for Corporation Intens sithe City b my unity (Park and to llealse such real property to the City pursuant tc a Lasso Agreement, dated as of D 1988 (the 'Lease Agreement'), end the City proposes to enter Into thi3 Site with the Corporation as a material consideration for the ecember 1, such real property to the City; poration's O Lease ease Cor greomont to lease NOW, THEREFORE, IT IS HEREBY MUTUALLY AGREED, as follows: SECTION 1 Site Lease Corporation hereby lease the e City on the terms to the Corporation Parcel of real r and nondivo shereinafter set San forth. that arc of rO oh Property In the City made a Part hereof (the 'Site'), and described in Rancho Exhibit A attached ah County of oreto and SECTION 2. — Term. The term Of this Site Lease shall commence on the data of recordation of this Site Lease In the Office of the County Bemardm0' Stara of CallfOmla, and shall and Rscorder of the County of Son extended or sooner terminated as IlorehtaRer proveded.b IL1• aggregate amount of 1998, unlss such term Is Agreement) shall not Lease Payments (as defined In on December 1, 1998, the Payment, then the term of thlseSltuaId. or provision shall d as Payable under rho Lease shell be full a shall be extended nave been made for their Lease Y pals or provision made for such payment. If Prior until such Leaso Pa With Section Payments shall be fully Paid or r December 1, 1998. all 2 or 10.1 of the Lease q avislon made for such Payment In accordance coincident with the termination or the Lease Agreement. L the term Of this Site Lea shall end 9 emont. SECTION 3 Rental The City acknowledges receipt from the Corporation for ren'al hereunder the sum Of one dollar (g1.q), on or before the tleto of delivery Site Lease poratlon as and of this SECTION 4. Pu ose. the Corporation shall use the Site solely for the leasing the See to the City pursuant to the Lease Agreement and for such may be Incidental thereto, prov /dad how Purpose of under rho Lease Agreement, the evef that In the a default purposes tte as provided In the Lease A Corporation and its assigns f y o City Agree gns may exercise the remedies SECTION 5. Cit s Interes• InIts. of the Site. The City covenants that It Is the owner In fee SECTION 6. Assfgnmenta and Subleases. Unless the City shall be In default under the Lease Agreement, the Corporation may not assign Its rights under this Site Lense t sublet the Slte, except as provided In the Lease Agreement, without the written consent of the City. SECTION 7 Popht of Entry. authorized City reserves the right for any of Its duly zed representetivea to enter upon the Site at any reasonable time to Inspect the same or to make any repairs, Improveh:orts or changes necessary for the preservation thereof. SECTION it 8. Tennlna8on. Site Lasso, to quit Tho Corporation agrees, upon the termination of this and surrender the Site In the same good order and condition as the same were In at the time of commencement of the term hereunder, reasonable wear and tenr excepted, and agrees that any pemlanent Improvements and structures existing upon the Site at the time of the termination of this Site Lease shall remain thereon and title thereto shall vest in the City SECTION 0. Default. In the event the Corporation shall be In default in the Performance of any obligation on Its part to be performed under the terms of this Site Lease. which default continues thirty a following notice t the Corporation, the City mayexercisean and all remedies granted and demand for by law, except that no merger of this She Lease and of the Laaso Agreement shall be deemed to occur as a result therot; provided, however, that so long as any Certificates (as dented In the Lease Agreement) are outstanding ana unpaid In accordance with the terms thereof the Lease Paym Ns ante assigned by the Corporation to 138-1k of America tlonel Trust and Savings Association (the 'Trustee') under the Assignment Agreement, dated as of December 1, 1088, by and between the Corporation end the trustee, shall continue to be paid to the trustee. SECTION 10. Oulet knJOY n�nt The Corporation at all times during the term of this Site Lease shall psaceabiy and quietly have, hold and enjoy all of the Site subject to the provisions of the Lease Agreement and the Trust Agreement, dated as of Cecember 1 1988, by and among the City, the Corporation and the Tastes. SECTION 11 Waiver of Personal Llab:lit . All liabilities under this Site Lease on the part of the Ccrporation are solely liabilities of the Corporation, and the City hereby releases each and every, member director, officer employee and agent of the Corporation of and from any personal or Individual liability under this Site Lease. No member director, officer employee or agent of the Corporation shall at any time or under any circumstances be individually or personally liable under this Site Lease for anything done or omitted to be done by the Corporation hereunder SECTION 12 Taxes. The City covenants and agrees to pay any and at, assessments of any kind or character and also all taxes, Including possessor, Interest taxes, levied fir assessed upon the Site (Including both land and Improvements). - _2 � 1 der SECTION 13. Eminent Domain In the event the , the Improvements thereon Is taken b Corporation shall ba recognized and Is eminent domain whole or any part of the Site or unpaid Cerli0cates of Participation Including the unpaid Proceedings; the Interest of the respect to an Y determined to be the amount of the then Provisions of the Lease q-gnding such Certlllcates of artciP nci and, and Interest with f City greement, the balance of the award, If a subJnct to the any, shall be Paid to the covenants or Condition— ondltions ai�Itry�• It an more of the terms, unenforceable, void Site :ease shall to an I Iunsdiction, the 9ndlnor voidable for any reason y extent be declared Invalid' terms, g or order or decree of which becomes final a court provisions, covenants and conditions of this S: the competent and each provision of this Slte Lease shall be valid and enforceable to the fullest extern Permitted by Iaw to Lease shall be alfoctetl thereby, authori Gtons, oft ors,Nd— s, Ai notices , statements, demands, olther parry to the others eilgl beiln writing amend shall be sufficiently nlcationsnhereunder by the other party If delivered PPropo Y receipt requestetl, 8 Prepaid. and, It lf ai ed b given end served upon the City Clerk, pl Poste e Y Unitetl States roglsteletl California 9173Q or Of to echo u City addressed to the City Inicarre of camonga, 9320 Baseline Road, Rancho Cucamonga Secretary, Rancho Cucamonga Public olmprovemenvpo the Rancho Cuomon a, orporation In monga, Of Parties me I g California Callfo 91730, or to such Corrpeddron, 9320 Baseline Road, Y from time to time designate by notice In writing. essos as the rospactive 16. Sectio convenience of SECTION fern co onl Headln s for �• All section o define r limit herein ere any PIOviSlon of this Site Lease, o not Interded to define or Iimlt the acid SECTION 17 Pe of any counterparts. Exe_ cuti�n This Site L constitute but one and tholsame lease. deemed to bee numer of an original but lallatogethobshall -3- 2 5 IN WITNESS WHFREOF, the City and the Corporation have caused this Site Lease to be executed by their respective officers thereunto duly authorized, 21I as of the day and year first above written. ISEAL) Attest: City Clerk CITY OF RANCHO CUCAMONGA. as Lessor By Mayor RANCHO CUCAMONGA PUBLIC IMPROVEMENT CORPORATION, as Lessee By S E A L) President Attest: Secretary -4- 2 b STATE OF CALIFCRNIA COUNTY OF SAN BERNARDINO ) On this day of December, 1888, before me, the undersigned, a Notary Public d St In and for saiate persopally appeared Dennis L. Stout and Beverly A. Authelet. personally known to me (or proved to me by satisfactory evidence) to 1) the persons who et ecuted this Instrument as the Mayor and the Clty Clerk, respectively of the City of , Ranchu Cucamonga and acknowledged to me that the City executed it. WITNESS my hand and official seal. Notary pubic rn and for Bald Stato IS E P L) My conimission expires: -5- ?—,-1 rrwS1�- 'r f STATE OF CALIFORNIA ) ` COUNTY OF SAN BERNARDINO ) On day of December, 1888, before me, the undersigned, a Notary Public In and fo said State, personalty appeared Dennis L. Stout and Beverly A. Authelet• personally known to me (or proved to me on the basic of Satisfactory evidence) •' :;� to be the President and Secretary, respectively, of the Rancho Cucamonga Public Improvement Corporation• the corporation that executed the within Instrument and known to me to be the person who executed the within Instrument on behalf of the n Corporation herein named, and acknowledged to me that such Corporation executed the within Instrument pursuant to a resolution of Its Board of Directors. WITNESS my hand and official seal. l r Notary Public In and for said State My commission expires: -6- b I?� EXHIBIT A SITE DESCRIPTION Those parcels of land In the City of Rancho Cucamonga, County of San Bemardino, State of California. described as follows: Zq nmr.p M SMIW4p "Mu AFTER RECORDATION RETURN TO: JONES HALL HILL 3 WHIT°_, A PROFESSIONAL LAW CORPORATION Four Embarcadero Center, Suite 1950 San Francisco. California 04111 Attention: Brian D. Oulnt, Esq. LEASE AGREEMENT Dated as of December 1, 1988 by and between the RANCHO CUCAMONGA PUBLIC IMPROVEMENT CORPORATION, as Lessor and the CITY OF RANCHO CUCAMONGA. as Lessee (NORTHEAST COMMUNITY PARK PROJECT) J� { ` Z3853 TABLE OF CONTENTS �' Page ARTICLE 1 a° DEFINITIONS AND EXHIBITS `y Section 1 1 Definitions .... ..... .... _._.. ......... .......... _ ........... ..... » ..................... .................. 2 iISection 1.2. Exhibits ........ ..... .................... _ .............................................. ....... _............... 2 x ARTICLE II REPRESENTATIONS, COVENANTS AND WARRANTIES Section 2.1 Fepresontatlons. Covenants and Warranties of the City .......................... . 3 r Section 2.2. Representations, Covenants and Warranties of Corpolatlon ..................... 3 ARTICLE III DEPOSIT OF HONEYS: ACQUISITION OF THE SITE Section3.1 Deposit of Monays .......................................... ............................................ .. 5 Section3.2. Achuls,tlon of Site ........................................................... ............................... 5 Section 34). Payment of Acqulultlon Costs ......................................... ............................... 5 Section 3.4. Payment of Delivery Costs ............................................. ............................... 5 Section 3.5. Unexponded Moneys ....... ............................... ............................... ......... 5 ARTICLE IV AGREEMEt', TO LEASE: TERM OF THIS LEASE AGREEMENT, LEASE PAYMLNTS Soctlon4.1 Lease... .. ........... ........ ........ .. ..... ....... ... ........... ..................... ...... 8 Soctlon 4 2. Term of Agreement ...... ........ ........... .. _ . .... ....... ............................... 8 Section 4.3 Possession ............ ........ ............................... .......... ............. ..... 5 Section 4 4 Lease Paymerts... ..... .... ... .. ............ ............................... 8 Section 45. Quiet Enjoyment .... ........ ..... .. ..... .......................... 8 Section 4.9 Title ... ................ ........ . ....... 8 Section 4 7 Addillc lei Payments ... ....... ..... ........ ............................... B J r c 1� Page ARTICLE V MAINTENANCE; TAXES: INSURANCE; USE LIMITATIONS; AND OTHER MATTERS Section 5.1 Maintenance, Utilities. Taxes end' lssessments ........... __ .......................... 8 Section 5.2. Modlfir.atinn of Slia_ ................... .... _._ ..................... _............................ 0 Secbc^ 5.3. Public Uabillt * and Propery Damage In3tnance ................ _ .... _................ 10 Section 5.4. Fire rnd Extended Coverage Insurance ..... .... ._ .......... ............_................_ . 10 Sectinn5.5. Portal interruption insurance ............ _........... .... ................... .......... _ it Section5.6. Title Insurance.....„....__ ......... ....... ..... ........_...._ ...... ._.. .._._ ........ ......... ....I... 11 Section 5.7 Insurance Not Proceeds: Form of Policies ...... .......... ....._......_........_...... 11 Section5.0. Ativances._........._ ...................__.._............_......_........ ............ ........ ...... .... 1I Section 5.0. Installation cf Citya Egaipnal4.._ ..................... _._........... _ ..............._ .. 11 Section5.10. Uens._ ........... ._......_._...._ ... _ ............... _ ...... _....................... _ ......... 12 Section 5.;1 Private Business Use Limitation ..__ .................... ........ 12 Section 5.12. Private Loan Umilalicn.._ ................................................. _..........._._ 12 Section 513. Federal Guarantee Prohibition ............... .................. .. .................. _............ 12 ARTICLE VI DAMAGE, OFSTRUCTI!•N AND EMINENT DOMAIN USE OF NET PROCEEDS Section C 1 Eminent Dorrain .... ...... ....... .. ............ ..... ... ...... ... ... .... .. .......... .... ....... 13 S..ction It 2. Application o: Net Proceeds .................... ...... .................. ....... _. 13 Soction 6 3 Abatement of Leaso Payments In the Event of Damage 0, DeslrucNOn .................. ............ _ ... ... _.. ...... _ ................. 13 ARTICLE VII DISCLAIMER OF WARRANTIES; ACCESS Section 7 1 DISGalmer of Warranties ............................ .. ... .. ........ 14 S�-Con 7.2. Access to Ne Sits . ...... ._ ................... ..... ._ ......... __.... _ 14 Section 7.3 Ralease and Indemnification Cuvenanls... _ ............... ....... _ .... ..... 14 AP 71CLE Vill A 3SIGNMENT SUBLEASING AND AMENDMENT Section 8 1 Assigimient by the Corporation ................... ....... _. ............ .. ......... 15 Section 8.2 Assignment and Subleasing by the City..... ...... ........ .J..... ... 15 Section 8 3 amendment of n11s Lease Agreement ... ...... ........ ... ... .. 15 .•4 ARTCLE IX Piano EVENTS OF DEFAULT AND REMEDIES Seecction 8.2. Events Of Default Defined .._,_,»„ Section 0.3. No Remed ...............�...... ........... fault..»......_.........» ................_ .......... . . ... ....... ».._................ 113 Section 0.4. Apreemsnt to Pauslve.. .. °a.Ylon 9.5. No Atltlillone Waiver Implied by One Waiver, ,,,,.•• A.•..•.••.....•^•Y »•.•....• »••• 18 Y Attorneys' Feos antl Expanses,_... »_ .._. Section 0.8. APplicatlon of Pro "" ......• ... 18 Sertlon 9.7 Trustee and Certlflca et Ow...•....••_.•.•.,. "."'. Q •..•• ».. » ..............._........... 18 curs to Exerdse RI hLv..,.........I.......... ......... .... 18 _ ................... _ . ARTICLE X PREPAYMENT OF LEASE PAYMENTS Section 102 Security Dopoo ...... Section 102 Purchase OP lion..._ ......................................»._....._._ ....................._......... 20 ....._ ........»._......................... Section 10.3. Ai¢ntleto ••••••• " ""� "'••• ^•• -• N Prepayment From Net •..•. ..• 20 Eminsal Domain.........._, Proceeds of Insurance or Sscllon 70.4. Credit for Amounts on De ........ _ ............... Posit._ ............. .... ........ ............ ... ........ 21 ....._..._. .._ ... .................. 0 ..... ...... 21 ARTICLE XI Section 11 I MISCELLANEOUS ................. ........ __.............. _............_........._....._. So ^.lion 11.2, BlntdlMr•A Effect ............ ......................»........................ Section 11.3. SeverFblll ............... -net- Section11.4. tY.._....se........_.... I '•• ^••••••••••• -..... 22 ......_.......... 22 . ease SeMlon ' 1.5. Fu _....».._ .............. ......__....._.............._._ Section 11.8 Eaecutlon In Ccuntnr cos antl Conemlvo Instruments._...._. ................ 22 22 ¢ Section 11.7 APPticabI Law,••• „_ .P rls_ ....... .... . •••••••••• Section ......._....._ .... ................_.............. ......... ... 11.8. Cor ••• ^••• -• Section 11.0. Captler 911on and CII R•••• """""• •••••• Y eprewntatives..... ..._ ......... ......_. ........... ... .... 23 ^. ........ 23 .................... ........... . .. 11`11811 A: Definitions EIMIDfT R Doecrlphon of the .. . ............. 23 Silo Dr4181T C Schedule of Lease Fay-rents LEASE AGREEMENT THIS LEASE AGREEMENT (the 'Lease Agreement), dated as of December 1, 1988, by and between the RANCHO CUCAMONGA PUBLIC IMPROVEMENT CORPORATION, a nono rfit, public benefit corporation urgarJz,,d and existing under the lay's of the State of Cal fomia, as lessor (the 'Corporation), and the CITY OF RANCHO f, CUCAMONGA, a munk4pal corporation and general law City organized ono existing under the laws of the State of California. as lessee (the 'City'); WITNESSETH: WHEREAS, the City wis)•fts to acquire certain real property for future development as the Northeast Community'Park, 07108 particularty described 'in Exhibit B hereto (the 'Site`), and the City Is authorfzad pursuant to the laws of the Stale of Call!ornia to enter Into leasehold agreements for such purposes; and WHEREAS, the City Council of the City has determined that. In order to accomplish such purposes, it is necessary and desirable to acquire the Site by leasing the same pursuant to this Lease Agreemant: and E hereinafter de ned)tr ntlao or cause to be the deposited with The leased pure anti o ee (as Lease Agreement; NOW, THEREFORE, IT IS MUTUALLY AGREED, as follows: ARTICLE I F ' DEFINITIONS AND EXHIBITS A section 1 1 Definitions. The terms defined in Exhibit A attached hereto and by this reference Incorporated heroin, as used and capitalized herein, shall, for all purposes of this Lease Agreement, have the meanings ascribed to them In said Exhibit A unless the context clearly requires some other meaning. Section 1.2. Exhibits. The following exhibits are attached to, and by this reference made a part of, this Lease Agreement: Exhibit A: Definitions. Exhibit B: The description of the Site. Exhibit C: The schedule of Lease Payments to be paid by the City hereunder with respect to the Site, showing the Due Date and amount of each such Lease Payment. -2- --s 's ARTICLE II REPRESENTATIONS, COVENANTS AIJD WARRANTIES Section 2.1. Representations. Covenants and Warranties of the City. The City reWresents, covenants and warrants to the Corporation as follows: t (a) Due Organization and Existence. The City Is a municipal corporation and general law city duty organized and existing under the laws of the State. (b) Authorization. The laws of the Stato authorize the City to enter Into the Site ; Lease, this Lease Agreement and the Trust Agreement and to enter Into the transactions contemplated by and to carry out Its obligations under all of the slorerald agreements, and the City has duly authorized and executed all of the aforesaid agreements and such agreements constitute the legal, valid and binding agreements of the City, enforceable against the City In accordance with their respective terms. (c) No \notations. Neither the siecutlon and delivery of the Site Lease, this Lease Agreement or the Trust Agroement, nor the fulfillment of or compliance with the terms and conditions hereof or thereof, nor the consummation of the transactions contemplated hereby or thereby, conflicts with or results In a breach of the terms, conditions or provisions of any restriction or any agreement or Instrument to which the City is now a party or by which the City Is bound, or constitutes s default under any of the foregoing, or results In the creation or imposition of any lien, charge or encumbrances whatsoever upon any of the property or assets of the City, or upon the Site, except Permitted Encumbrances. (d) Execution and Dativerv. The City has duly authorized and sxecuted this Lease Agreement In accordance with the laws of the State. Section 2.2. Representations. Covenants and Warranties of Corporation. The Corporation represents, covenants and warrants to the City as follows: (a) Due Organization and Existence. The Corporation Is a nonprofit, public benefit corporation duly organized and existing under and by virtue of the laws of the State, has power to enter Into the Site Lease, this Lease Agreement, the Assignment Agreement and the Trust Agreement; Is possessed of PAI power to own and hold. Improve and equip real and personal property, and to lease and sell the same; and has duty authorized the execution and delivery of all of the aforesaid agreements and such agreements constitute the legal, valid and binding agreements of the Corporation, enforceable against the Corporation In eccoroance with tholr respective terms. (b) No Encumbrances. The Corporation will not pledge the Lease Payments or other amounts derived from the Site and hom Its other right under this Lease Agreement, and will not mortgage or encumber the Site, except as prov!ded under the terms of this Lease Agreement and the Trust Agreemem. (c) No Violations. Neither the execution and delivery of the Site Lease, lino Lease Agreement, the Assignment Agreement or the Trust Agreement. nor the fulfillment of or -3- t i i , �_V, • r • r Y r, compliaune with the terms and conditions hereof or thereof, nor the consummatlop of the transactions contemplated hereby or thereby, conflicts with or results In a breach of the terms, conditions or provisions of any restriction or any agreement or Instrument to which the Corporation Is now a party or by which the Corporation is bound, or constitutes a default under any of the foregoing, or results In the creation or Imposition of any lien, charge or encumbrance whatsoever upon any of the property or assets of the Corporation, or upon the Site, except Permitted Encumbrances. (d) No Assignments. Except as provided herein, the Corporation will not assign this Lease Agreement, Its right to recelvo Lease Payments from the City, or Its dutles and nbllgations hereunder to any othr,.r person, firm or corporation :. as to Impair or violate the representations, covenants r -nj warranties contained in this Section 2.2. (e) T!tle to Site. The Corporation warrants that it has, pursuant to the Site Lease, acquired and Is owner of leasehold title to the Site. (R Execution and Dellverv. The Corporation has duly authorizes and executed this Lease Agreemrrit In accordance with the laws of the State. -4- 1 .w,r "u� «�e ARTICLE ;II DEPOSIT OF MONEYS; ACQUISITION OF THE SITE k• Section 3.1 Deposit of Moneys. On the Closing Date, the Corporation shall 3 cause to be deposited with the Trustee the proceeds of sale of the Certificates. Pursuant t, to Section 2.07 of the Trust Agreement, the Reserve Requirement shall be deposited with the Trustee in the Reserve Fund, a portion of the Lease Payments attributable to Interest and payable by the City hereunder from December 1, 1988 to the Closing Date, shall be deposited with the Trustee In the Lease Payment Fund, amounts estimated to be required to pay Delivery Costs shall be deposited In the Delivery Costs Fund and the p remaining balanc- of sold amount shall be deposited in the Acquisition Fund. ?• 5 Section 3.2. Acquisition of Site. The Corporation agrees to cause the Trustee to reimburse the City for Acquisition Costs of the Site from moneys deposited In the Acquisition Fund. The City agrees that upon acquisition of the Site It will take possession of the Site under the terms and provisions of this Lease Agreement. Upon acquisition of the Site, the City shall deliver to the Trustee, as assignee of the Corporation, a Certificate of Completion executed by a City Representative. If the Corporation, for any rea3on whatsoever, cannot deliver possesslor of the .Thole Site to the City, this Lease Agreement shall not be void or voidable, nrr shall the Corporation be liable to the City for any loss or damage resulting therefrom; but in such event the remaining Lease Payments containing to the Site shall be abated In part, In an amount to be agreed upon by the City and the Corporation such that the resulting Lease Payments represent fair consideration for the use and occupancy of the portion of the Site actually delivered. Sectlun 3.3. Pent of Ac4uisltlon Costs. Payment for tha acquisition of the Site, as well as all other Acquisition Costs, shall be made fmn the moneys deposited In the Acquisition Fund as provided In the Trust Agreement, which moneys shall be disbursed for suuh purpose in accordance and upon compliance Wth Section 3.02 of the Trust Agreement. Section 3.4. Payment of Delivery Costs. Payment of Delivery Costs shall be made from the moneys deposited with the Trustee In the Delivery Costs Fund, which moneys shall be disbursed for such purpose In accordance and upon compliance with Section 3 04 of the Trust Agreement. Section 3 5 Unexpended Moneys. The Corporation and the City acknowledge that the Acquisition Fund and the Delivery Costs Fund have been created for the benefit of the City All unexpended moneys remaining In the Acqulsition Fund and not required for payment of Acquisition Costs or in the Delivery Costs Fund and not required for the payment of Delivery Costs shall be applied In accordance with Section 3.05 of the Trust Agreement. ARTICLE IV AGREEMENT TO LEASE; TERM OF THIS LEASE AGREEMENT; LEASE PAYMENTS Section 4 1 Lease. The Cnrporatlon hereby leases the Site to the City, and the City hereby leases the Site from tho Corporatlon, upon the terms and conditions set forth In this Lease Agreement. Section 4.2. Term of Agreement. The Term of the Lease Agreement shall commence on the date hereo!, and shall end on December 1, 1998, unless such term Is extended as hereinafter provided. If on December 1, 1998, the Trust Agreement shall not be discharged by Its terms, or If the Lease Payments payable hereunder shalt have been abated at any time and for any reason, then the Tenn of the Lease Agreement shall be extended until there has been deposited with the Trustee an amount sufficient to pay obligations due under the Lease Agreement, but in no event shall the Term of the Lease Agreement extend beyond December 1, 2008. If prior to December 1, 1998, the Trust Agreement shall be discharged by Its terms. the Term of the Lease Agreement stall thereupon end. Section 4.3. Possession. The Site will be acquired from amounts on deposit in the Acquisition Fund pursuant to Section 3.2 hereof, and the parties hereby declare their expectation that acquisition of the Site will be substantially completed on the Closing Date The City hereby agrees that upon such substantial completion of acquisition of the Site, the City will take possession thereof. The first Lease Payment shall be due on May 15, 1989 Section 4.4. Lease Payments. (a) Obligation to Pa v. Subject to the provisions of Articles VI and X hereof, the City agrees to pay to the Corporation. Its successors and assigns, as rental for the use and occupan -y of the Site during each Rental Period, the Lease Payments (denominated Into components of principal and Interest) for the Site In the respective amounts specified In Exhibit C hereto, to be due and payable on the respective Lease Payment Dates specified In Exhibit C h +reto. Any amount held in the Lease Payment Fund on any Lease Payment Date (other than amounts I.,eulting from the prepayment of the Lease Payments In part but not In whole pursuant to Article X hereof and other than amounts required for payment of past due principal or Interest represented by any Certificates not presented for payment) shall be credited towards the Lease Payment then due and payable: and no Lease Payment need be made on any Lease Payment Date If the amounts then held In the Lease Payment Fund •o at least equal to the Lease Payment then required to be paid The Lease Payments for the Site payable In any Rental Period shall be for the use of the Site for such Rental Period. (b) Effect of Prepayment. In the event that the City prepays all remaining Lease Payments in full pursuant to Article X hereof the City's obligations under this Lease Agreement shall thereupon cease and terminate, including but not limited to the City's obligation to pay Lease Payments under this Section 4.4; subject however, to the provisons of Section 10.1 hereof In the case of prepayment bbyy��application of a security deposit. In the event that the City prepays the Lease Payments In part but not in whole pursuant to Section 10.2 hereof pursuant to Section 10.3 hereof is a result of any Insurance or condemnation award with respect to any portion of the Site, such prepayment shall be credited entirely towards the prepayment of the Lease Payments as follows: (I) the principal components of each remaining such Lease Payments shall be reduced on a pro rata basis In Integral multiples of $5,000; and 01) the Interest component of each remaining such Lease Payments shall be reduced by the aggregate corresponding amount of Interest which would otherwise bo payable with respect to the Certificates thereby redeemed pursuant to Sections 4.01(x) or (b), as the case may be. of the Trust Agreement. (c) Rate on Overdue Payments. In the event the City should fail to make any of the payments required In this Section 4.4, the payment in default shall continue as an obligation of the City until the amount In default shall have been lwty paid, and the City agrees to pay the same with Interest thereon, to the extent permitted by low, from the date of default to the date of payment at the rate of twelve percent (12 %) per annum. Such Interest, If received, shall be deposited in the Lease Payment Fund. (d) Fair Rental Value. The Lease Payments for the Site for each Rental Period shall constitute the total rental for the Site for each Rental Period and srall be paid by the City In each Rental Period for and in consideration of the right of the use and occupancy of, and the continuod quiet use and enjo >ment of, the Site during each Rental Period. The parties hcreto have agreed and determined that the total Lease Payments for the Site do not exceed the lair rental value of the Site. In making such determination, consideration has been given to the obligations of the parties under this Lease Agreement. the uses and purposes which may be serveif by the Site and the benefits therefrom which will accrue to the City and the general public. (e) Source of Payments Budget and Appropriation. Prior to the Completion Date, the lease Payments shall be payable solely from amounts deposited In the Acquisition Fund, the Reserve Fund and the Leasa Payment Fund from the proceeds o` the Certlfrates or from any earnings on the Investments of amounts held under the Trust Agreement, except as provided therein. Following the Completion Date. the Lease Payments shall be payable from any source of available' inds of the City, subject to the provisions of Articles VI and X hereof. The City covenants to take such action as may be necessary to Include all Lease Payments due hereunder In each of Its budgets during the Tenn of the Lease Agreement and to make the necessary annual appropriations for all such Lease Payments. The covenants on the part of the City herein contained shall be deemed to be and shall be constrred to be ministerial duties Imposed by law and It shall be the duty of each and every public official of the City to take such action and do such things as are required by law In the performance of the official duty of such officials to enable the City to carry out and perform the covenants and agre ants In this Lease Agreement agreed to be carried out and performed by the City. (0 Assignment. The City understands and agrees that all Lease Payments have been assigned by the Corporation to the Trustee in trust, pursuant to the Assignment Agreement. for the benefit of the Owners of the Certificates, and the City hereby assents to such assignment The Cnrporation hereby directs the City, and the City hereby agrees -7 \ to pay to the Trustee et the Print Corporate Tiust office of the Trustee, all payments `• payable by the this pursuant to this Section 4.4 and all amounts payable by the City pursuant to Article X hereof. Section 4.5. ulet Enlovment. During the Tenn of the Lease Agreement, the Corporation shall provide the City vilth quiet use and enjoyment of the Site, and the City shall, during such Term, peaceably and quietly have and hold and enjoy the Site without this ?� suit, rb hindrance or expressly n ion will, e quest of the City and the City's cost. LeaseAgeementThe Corporal h t o y©9action Iwhich city its light such he Went the Corporation may lawfully doso. Notwithstanding ha ¢nJoymentto .e foregoing. the Corporation shall have the right to Inspect the Site as provided In Section : 7.2. hereof. City prepays j Section 4.8. Title ha CIt = !! re the Lease Payments In full pursuant to i� Artl:g° X hereof or rrvekes the security deposit permitted by Section 10.1 hereof, or pays all Lnasd Payments during the Term of the Lease Agreement as the same become due Ca and payable, all fight, title and Interest of the Corporation In and to the Site shall be transferred to and vested In the City. The Corporation agr.es to take any and all steps and execute and record any and all documents reasonably required by the City to consummate any such transfer of title Section 4.7 Additional Pavmenta. In addition to the Lease Payments, the City shelf pay when due allall costs Incurred by the Corporation to comoly with c Including swithoufttlim tation all Delivery Costs otherwise ;extent of paid from amounts on nI compensation U the Trustee deposit In IN an costs and expunses of auditors, engineers, end accountants. -8- 1 I ARTICLE V MAINTENANCE; TAXES; INSURANCE; USE LIMITATIONS; AND OTHER MATTERS Section 5.1 Maintenance Utttitles Texas and Assessments. Throughout the Tenn of the Lease Agreement, as part of the consideration for the rental of the Site, all Improvement, repair and maintenance of the Site shall be the responsibility u of she Iles and the to shell pay for or In,ode Ise ithout ilmitatlone Janitor servica, security. power, gas. tel to the Site which may InGude, gas, telephone, light, heating, water and all other utility services, and shall pay for or resul ing from ordlnrr , the wear an,dt tear hor want ofhcare n the part of the tCity or i nd r any r Coriporatlon agrees tole ovidfe only tho utte'astherenbeloreymore sf.aclficaliyvsetdforth. Code.i but suuch waiver shall not limit any noflthe drights of the City 3under the tefrmsiolCthis Lease Agreement. The City shall also pay or cause to bP paid all taxes and assessments of any type or nature. If any, charged to the Corporation or the City affecting the Site or the that wit or othervgovemmentat chagee thatimayr 'lawfully provided be paid In Ininst lllmentts over a period of years. the City shall be obligated to pay only such installments as are required to be paid during the Term of the Lease Agreement as and when the some become due. The City may, at the City's expense and in its name, in good faith contest any such taxes. mt the taxes• assessments orother charges gas in so contested o any Such remain unpaid may P appeal therefrom unIP5s he Corporation shall during the period of such contest end any aPP notify the City that. in the opinion of Independent Counsel. by nonpayment cl any such ore anyl pan lthereoff will be In the loss for will e;be ealInriwhich event rtheoCity shlallll promptly pay such taxes, assessments or charges or provide the Corporation with full security against any loss which may result from nonpayment, in form stlsfaclory to the Corporation and the Trustee. Section 5 2 Modilical� Site. The City shall, at its own expense. have the right to remodel the Site or to make additions. modifications and Improvements tc the any buildings at Site shell modifications ia ealecomprfse part of the the Site and be subject lte the provisions ns and anyhway dam gerthe S to orr cause it to be used for purrpo es otherrthan thoseeeuthorized of tis Lease under the provisions of Slate and federal law, and the Site. upon nompletlo�t el any additions, modifications and Improvements made thereto pursuant to this Section 5.2, prior be the making o! such additions.l modifications cationshand Improvements. Site The Immediately will •not permit any mechanic's or other lien to be established or remain against the Site for labor or materials furnished In connection with any remodeling. additions, modigcallons, -9- , Z Improvements, repa!rs, renewals or replacements made by the City pursuant to this Section 5.2; provided that It any such lien Is established and the City shall first notify or came to be notified the Corporation of the City's Intention to do so, the City may in good faith contest any lien filed or established against the Site, and !n such event may permit the Items so contested to remain undischarged and unsatisfied during the period of such contest and any appeal therefrom and shall provide the r nrporatlon with full security against any loss or forfeiture which might arise from the nonpayment of any such Item, in form satisfactory to the Corporation. The Corporation will cooperate fully In any such contest, upon the request and at the expense of the City. Section 5.3. Public Liability and Progorty Damage Insurance. The City shall maintain or cause !o bo malntalned, throughout the Tenn of the Lease Agreement, Insurance policies, Including a standard comprehensive general Insurance policy or policies In protection of the City, the Corporation and the Trustee, Including their respective members, officers, agents and emp'oyoas. Sold policy or policies snail provide for indemnification of said parties against direct or contingent loss or liability for damages for bodily and personal Injury, death or property damage occasioned by reason of the use of the Site. Jeid policy or policies shall provide coverage in the minimum Ilabl'Ity limits of $1,000,000 for personal Injury or dean of each person and 53,000,000 for personal Injury or deaths of two or more persont in each accident or event, and in a minimum amount of $100,L'00 (subject to a deductible clause of not to exceed $5,000) for damage to property resulting from each accident or event. Such public liability and property damage Insurance -nuy. however, be In the form of a single limit policy In the amount of 43,000,000 covering all such risks. Such liability Insurance may be maintained as part of or In conjunction whh any other liability Insurance coverage carried by the City, and may be maintained In the form of Insurance maintained through a Joint exercise of powers authority created for such purpose or In the form of self- Insurance by the Or The Net Proceeds of such liability Insurance shall be applied toward extinguishment or satisfaction of the liability with respect to which the Insurance proceeds shall have been paid. Section 5.4. Fire and Extended Coverage Insurance. The City shall pro,;ure and maintain, or cause to be procured and maintained, throughout the Term of the Lease Agreement, Insurance against loss or damage to any structures constituting any part of the Site by fire any lightning, with extended coverage and vandalism and malicious mischief Insurance. Said extended coverage Insurance. It required, shall, as nearly as practicable. cover loss o, damr_tle by explosion, windstorm, Oct, aircraft, vehicle damage. s,,:oke and such other hazards as are normally covered by such Insurance. Such Insurance. it required, shell be In an amount equal to the greater of (a) one hundred percent (100 %) of the replacement cost of the structures constituting part of the Sits, or (b) the aggregate pnncipal amount of the Outstanding Certificates. Such Insurance may be subject to deductible clauses of not to exceed $100,000 for any one loss. Such insurance may be maintained as part of or In conjunction with any other fire and exten ,3d coverage Insurance carried by the City and may be maintained In whole or In part in the form of insurance maintained through a joint exercise of powers authority created for such purpose or In the form of self - Insurance by the City. The Net Prods of such Insurance shall be applied as provided In Section 6.2(a) hereol. Section 5.5. Rental Interruption Insurance. The City shall procure and maintain through the Term of the Lease Agreement rental Interruption or use and occupancy Insurance, If commercially available, to cover loss, total or partial, of the use of any part of the Site during t'ie Term of the Lease Agreement as a result of any of the hazards covered in the Insurance required by Section 5.4 hereof, In an amount at least equal to two times the Reserve Requirement. The Net Proceeds of such Insurance shall be paid to the Trustee end deposited In the Lease Payment Fund, and shall be credited towards the payment of the Lease Payments In the order In which such Lease Payments come due and payable. Section 5.5. Title Insurance. The City shall provide, at Its own expense, on or before the Closing Date, a CLTA title Insurance policy In the amount of not less than the aggregate principal amount of the Certificates, Insuring the City's leasehold estate in the Site, subject only to Permitted Encumbrances. All Net Proceeds racelved under said policy shall be deposited with the Trustee In the Lease Payment Fund and shall be credited towards the prepayment of the remaining Lease Payments pursuant to Section 10.3 hereof. Section 5.7 Insurance Net Proceeds: Form of Policies. Each policy or other evidence of Insurance required by Sections 5.4, 5.5 and 5.8 hereof shall provide that all proceeds thereunder shall be payable to the Trustee and applied as provided in Section 8 2 hereof On or before December 1 of each year, the City shall certify to the Trustee that all policies of Insurance and any statements of self- Insurance are In conformance with the requirements of this Leese Agreement. The City shall have the adequacy of any insurance reserves reviewed at least annually by an irdependent Insurance consultant and shall maintain reserves In accordance with the recommendations of such consultant. The City shall pay or cause to be paid when due the premiums for all Insurance required by this Lease Agreement. All such policies or other evidence of Insurance shall provide that the Trustee shall be given thirty (30) days' notice of each expiration, any Intended cancellation thereof or reduction of the coverage provided thereby. The Trustee shall not be responsible for the sufficiency or adequacy of any Insurance herein required and shall be fully protected in accepting payment on account of such Insurance or any adjustment. compromise or settlement of any loss agreed to by the Trustee. Section 5.8. Advances. if the City shall fall to perform any of Its obligations under this Article V the Corporation may, but shall not be obligated to, take such action as may be necessary to cure such failure, Including the advancement of money, and the City shall be obligated to repay all such advances as soon as possible, with Interest at the rate of twelve percent (12 %) per annum from the date of the advance to the date of repayment Section 5 9 Installation of City's Equipment The City may at any time and from time to time. In its sole discretion and at Its own expense, Install or permit to be Installed Items of equipment or other personal property in or upon any portion of the Site. All such Items shall remain the sole property of the City, In which neither the Corporation nor the Trustee shall have any Interest, and may be modified or removed by the City at any lima provided that the City shall repair and restore any and all damage to the Site resulting from the Installation, modification or removal of arty such items. Nothing in this Lease Agreement shall prevent the City from purchasing or leasing Items to be Installed pursuant to this Section 5.9 under a lease or conditional sale agreement, or subject to e -11 1+q vendor's lien or security agreement, as securit,, for the unpaid portion of the purchase price thereof, provided that no such lien or security Interest shall attach to any part of the Site. Section 5.10. Uens. The City shall not, directly or Indirectly, create, Incur, assume or suffer to exist any mortgage, pledge, lien, charge, encumbrance or claim on or with respect to the Site, other than the respective rights of the Corporation and the City as provided herein and Permitted Encumbrances. Except as expressly provided in this Article V the City shall promptly, at Its own expense, take such action as may be necessary to duty discharge or remove any such mortgage. pledge, lien, charge, encumbrance or claim, for which It Is responsible. If the same shall arise at any time. The City shall reimburse the Corporation for any expense Incurred by It in order to discharge or remove any such mortgage, pledge. Bon, charge, c ^cumbrance or claim. Section 5.11 Private Business Use Unritatlon. The City shall assure that: (a) not in excess of ten percent (10 %) of the Proceeds of the Certificates Is used for Private Business Use If, in addition, the payment of the principal of. or the Interest on more than 10 percent of the Proceeds of the Certificates is (under the terms of the Certificates or any underlying arrangement) directly or Indlrectly, 0) secured by any Interest In property, or payments in respect of property, used or to be used for a Private Business Use, or (it) to be derived from payments (whether or not to the City) In respect of property. or borrowed money, used or to be used for a Private Business Use: and (b) in the event that In excess of five percent (5 %) of the Proceeds of the Certificates is used for a Private Business Use, and, in addition, the payment of the principal or the Interest with respect to more than five percent (5 %) of the Proceeds of the Certificates Is (under the terms of the Certificates or any underlying arrangement) directly or Indirectly, secured by any Interest in property, or payments In raspeJt of property, used or to Ls used for Bald Private Business Use cr is to be derived from payments (whether or not to the City) In respect of property, or borrowed money. tred or to bo used for a Private Business Use, then, (A) said excess over said five percent (5° 1 of the Proceeds of the Certificates which is used for a Private Business Use shall be used for a Private Business Use related to a government use of such Proceeds and (B) each suet. Private Business use over five percent (5 %) of the Proceeds of the Certificates which Is related to a government use of such Proceeds shall not exceed the amount of such Proceeds which Is used for the government use of Proceeds to which such Private Business Use Is related. Section 5 12 Private Loan Limitation The City shall assure that not In excess of the lesser of five percent (5 %) of the Proceeds of the Certificates or $5,000,000 Is to be used, directly or indirectly to make or finance loans (other titan leans ccnstituting Nonpurpose Investments and other than loans which enable the borrower to finance any governmental tax or asuessment of general application for a specific essontlal governmental function) to persons other than state or local government units. Section 5.13. Federal Guarantee Prohibition The City shall not take any action or permit or suffer any action to be taken If the result of the sane would be to cause thf. Certificates or this Lease Agreement to be *federally guara•Iteed' within the meaning of section 149(b) of the Code and Regulations -12- l} (� N. ARTICLE VI DAMAGE, DESTRUCTION AND EMINENT DOMAIN; USE OF NET PROCEEDS Section 6 1 Eminent Domain. If all of the Site shall be taken permanently under the power of eminent domain or sold to a government threatening to exercise the power of eminent domain, the Term of this Lease Agreement shall cease as of the day possession shall be so taken. It loss than all of the Site shall be taken permanently, or If all of the Site or any part thereof shall be taken temporarily under the power of eminent '• domain, (1) this Lease Agreement shall continue In full force and effect and shall not be terminated by virtue of such taking and the parties waive the benefit of any law to the contrary. and (2) there shall bs a partial abatement of Lease Payments as a result of the application of the Net Proceeds of any eminent domain aw ,)rd to the prepayment of the Lease Payments hereunder, in an amount to be agreed upon by the City and the Corporation such that the resulting Lease Payments represent fair consideration for the use and occupancy of the remaining usable portion of the Site. Secton 6.2. Abolication 31 Net Proceeds. (a) From Insurance Award. The Not Proceedc of any Insurance award resulting from any damege to or destruction of any structure located on the Site by fire or other eualty shall be paid by the City to the Trustee, as assignee of the Corporation under the Assignment Agreemont, and deposited in the Insurance and Condemnation Fund by the Trustee and applied as set forth in Section 7.01 of the Trust Agreement. (b) From Eminent Domain Award. The Net Proceeds of any eminent domain award resulting from Any event descdoed in Section 6.1 hereof shall be paid by the City to the Tnistee, as assignee of the Corporation under the Assignment Agreement• and deposited In the Insurance and Condemnation Fund and aoplled as sat forth in Section 7 02 of the Trust Agreement. Section 6.3 Abatement of Lease Payments In the Event of Damage or Destruction. Lease Payments shall bo abated during any period In which by reason of damage or destruction (other than by eminent domain which Is hereinbefore provided for) there Is substantial Interference with the use and occupancy by the City of the Site or any portion thereof (other than as described In Section 5 2 hereof) as shall be agreed upon by the City and the Corporation such that the resulting Lease Payments represent fair consideration for the use and occupancy of the portions of the Site not damaged or destroyed Such abatement shall continue for the period commencing with such damage or destruction and ending with the substantial completion of the work of repair or reconstruction In the event of any such damage or destruction, this Lease Agreement shall continue In full force and effect and the City wnives any right to terminate this L88:0 Agreement by virte3 of any such damage and destruction. Notwithstanding the foregoing. there shall be no abatement of Lease Payments under this Section 6.3 to the extent that the proceeds of rental Interruption Insurance or amounts In the Reserve Fund are avallahle to pay Lease Payments which would otherwise be nbated under this Section 6.3. It being hereby declared that such proceeds and amounts constitute special funds for the payment of the Lease Payments. _13_ 4 ARTICLE VII DISCLAIMER OF wARRANTIES; ACCESS Section 71 Disclaimer of Warranties. The Corporation ,nd Its assigns make no warranty or representation, either express cr implied, as to the value, design, condition, merchantibllily or fitness for any partictilar purpose or fitness for the use contemplated by the City of the Site, or any other representation or warranty with respect to the Site. In no event shall the Corporation and Its assigns be liable for incidental, Indiract, special or consequential damages in connection wllh cr arising out of the Site Lease, this Lease Agreement or the Trust Agreement for the existence, furnishing, functioning or the City's use of the Site. Section M Accass to the Site. The City agrees that the Corporation and any Corporation Representative, and the Corporation's successcrs or assigns, shall have the right at all reasonable tl;nes to eater upon and to examine and Inspect the Site. The City further agrees that the Corporation, any Corporation Representative, and the Corporation's successors or assigns sha!I have such rights of access to the Site as may be reasonably necessary to cause the proper maintenance of the Site In the event of failure by the City to perform Its obligations hereunder Section 7.3. Release and indemnification Covenants. The City shall and hereby agrees to Indemnify and save the Corporatlon and Its officers, agents, successors and assigns harmless from and against all claims, losses and damages, Including legal fees and expenses, arising out of (I) the use, maintenance, condition or management of, or from any work or thing done on the Site by the City, fig any breech or default on the part of the City in the performance of any of its obligations under this Lease Agreement, (!!q any act or negligence of the City or of any of Its agents, contractors, servants, employees or licensees with respect to the She, (iv) any act or negligence of any sublessee of the City with respect to the Site, or (v) the acquisition of the Site or the authorization of payment of the Acquisitfo.. Costs and Delivery Costs by the Corporation. No Indemnification is made under this Section 7.3 or elsewhere In this Lease Agreement for willful misconduct, negligence, or breach of duty under this Lease Agreement by the Corporation, Its officers, agents, employees, successors or assigns. -14- + -1 r �1± ,.. ARTICLE VIII ASSIV LAMENT, SUBLEASING AND AMENDMENT Section 8.1 Asslgnment by the Corporation. The Corporation's rights under this Lease Agreement, Including ,he daht to rercelve any enfcrce payment of the Lease t Payments to be made by the City under this Lease Agreement, have been assigrud to the Trustee pursuant to the Assignment Ag jzmont. Section 8.2. Assignment and Subleasing by the City. This Lease Agreement may not be assigned by the City. The City may sublease the Site or any portion thereof, but only with the written consent of the Corporation and subject to all of the following conditions. (a) This Lease Agreement and the obligation of the City to make Lease Payments hereunder shell remain obligations of the City; (b) The City shall, within thirty (30) days after the delivery thereof, fumish or cause to be furnished to the Corporation and the Trustee a true and compre!a copy of such sublease, (c) No such publease by the City shall cause the Site to be used for a purpose other than as may be authorized under the provisions of the Constitution and laws of the State. and (d) The City shall furnish the Corporation and the Trustee with a Yanten opinion of nationally- recognized bond counsel, which shall be an Independent Counsel, stating that such sublease Is permitted by this Lease Agreement and the Trust Agreement, and will not cause the Interest components of the Lease Payments to become Included in gross Income for federal Income lax purposes or subject to State personal income taxes Secllon 8.3. Amendment of this Lease Agreement Without the prior written consent of the Trustee. neither the City nor the Corporation will alter, modify or cancel, or agree or consent to alter modify or cancel this Lease Agreement. excepting only such alteration or modification as may be permitted by Article X of the Trust Agreement. -15 1 V s _ t.t ARTICLE IX EVENTS OF DEFAULT AND REMEDIES Sectlon 9.1 Events of Default Degr ad The following shall be 'events of default' under this Lease Agreement and the terms 'events of default' and 'default' shall mean, whenever they are used In this Lease Agreement, with respect to the Site, any one or more of the following ovenls: (I) Failure by the City to pay any Lease Payment required to be paid hereunder at the time specified herein, and the continuation of such failure for a period of ten (10) days. (li) Failure by the City to make any payment required hereunder or to observe and perform any covenant, condition or agreement on Its part to be observed or performed under this Lease Agreement or under the Trust Agreement, other than as referred to In clause (t) of this Section 9.1, for a period of thirty (30) days after written notice specifying such failure and requesting that it be remedied has been given to the City by the Corporation, the Trustee, or the Owners of not less than five percent (5%) In aggregate principal amount of Ceri'icates then Outstanding: provided, however, if the failure stated In the notice can be corrected, but not within the applicable period. the Corporation, the Trustee and such Owners shall not unreasonably withhold their consent to an extension of such time II corrective action Is Instituted by the City within the applicable period and diligently pursued until the default Is corrected. (ill) The filing by the City of a voluntary petition In bankruptcy, or 'allure by the City promptly to lift any execution, garnishment or attachment, or adjudication of the City as a bankrupt, or assignment by the City for the benefit of creditors, or the entry by the City Into an agreement of composition with creditors, or the approval by a court of competent jurisdiction of a petition applicable to the City In any proceedings Instituted under the provisions of the Federal Bankruptcy Act, as amended, or under any similar acts whicn may hereafter be enacted. Section 9 2 Remedies on Default Whenever any event of default referred to In Section 9 1 hereof shall have happened and be continuing. It shall be lawful for the Corporation to exercise any and all remedies available pursuant to law or granted pursuant to this lease Agreement, provided, however, that notwithstanding anything herein or In the Trust Agreement to the contrary there shall be no right under any circumstances to accelerate the Lease Payments or otherwise declare any Lease Payments not then in default to be immediately due and payable Each and every covenant hereof to be kept and performed by the City Is eyore^,ly made a condition and upon the breach thereof the Corporation may exercise any and all rights of entry and re- entry upon the Site, and also, at Its option, with or without such entry. may terminate this Lease Agreement, provided, that no such termina:ton shall be effected either by operation of law or acts of the parties herein, except only in the mannor herein expressly provided to the event of such default and notwithstai.ling any re -entry by the Corporation the C -ty shall. as herein expressly provided, continue to remain liable for the payment of the Leasp Payments and /or dam qes for breach of this Lease Agreement _78_ 1 i /A and the performance of all conditions herein contained and, In any event, such rent and /or damages shall be payable to the Corporation at the time and In the manner as herein provided, to wit: (a) In the event the Corporation does not elect to is ninate this Lease Agreement In the manner hereinafter provided for in subparagraph (b) of this Section 9.2, the City agrees to and shall remain liable for the payment of all Lease Payments and the performance of all conditions t.erein contained and shall reimburse the Corporation fur any deficiency arisnig out of the re- leasing of the Site, or, In the event the Corporation Is unable to re -lease the Situ, then for the full amount of all Lease Payments to the end of the Tern of the Lease Agreement, but said Lease Payments and /or deficiency shall be payable only at the spume time and in the same manner as herelnabove provided for the payment of Lease Payments hereunder, notwithstanding such entry or re -entry by the Corporation or any suit In unlawful detainer, or otherwise, brought by the Corporation for the purpose of effecting such re -entry or obtaining possession of the Site or the exorcise of any other remedy by the COrporation. The City hereby irrevocably appoints the Comoration as the agent and attomey -in -tact of the City to enter upon and re -lease the Site In the event of default by the City In the performance of any covenants herein contained to be performed by the City and to remove all personal property whatsoever situated upon the Site to place such property In storage or other suitable place In the County of San Bernardino, for the account of and at the expense of the City, and tha City hereby exempts and agrees to save harmless the Corporation from any costs, loss or damage whatsoever arising or occasioned by any such entry upon and re- leasing of the Site and the removal and storage of such property by the Ccrporation or Its duly authorized agents In accordance with the provisions herein contained. The City hereby waives any and all claims for damages caused or which may be caused by the Corporation In re- entering and taking possession of the Site as herein provided and all claims for damages that may result from the destruction of or Injury to the Site and all r!znns for damages to or loss of any property belonging to the City that may be In or upon the Rite. The City agrees that the terms of this Lease Ag, 2ement constitute full and suBiclent ,atice of the right of the Corporation to re -lease the Site In the event cf such re -entry withote, effecting a surrender of this Lease Agreement, and further agrees that no acts of the Ccfporatior In effecting such re- leasing shalt constitute a surrcnder or termination of this Lease Agreement Irrespective of lne term for which such re- leasing Is made or the terms and conditions of such re- leasing, or otherwise, but that, on the contrary. In the event of such default by the City the right to terminate this Lease Agree:ent shall vest In the Corporation to be effected In the sole and exclusive manner hereinafter provided for In subparagraph (b) hereof The City further waives the right to ary rental obtained by the Corporation In excess of the Lease Payments and hereby conveys and releases such excess to the Corporatinn as compensation to the Corporation for Its services In re- leasing the Site (b, In an event of default hereunder the Corporation at Its option may terminate this Lease Agreement and re -lease all or any portion of the Site. In the event of the termination of this Lease Agreement by the Corporalion of Its option and In the manner hereinafter provided on accotatl of befault by the City (and rotwithstanding any re entry upon the Silo by the Corporation in any manner whatsoever or the re- lasing or ealo of the Site), the City nuvertheless agrees to pay t0 the Corporation all costs, loss or damages howsoever arising or occurring payable at the some time and in the same manner as is herein provided In the case of payment 01 Lease Payments. Any surplus S U received by the Corporation from such re- lecsing shall be the absoI09 property of :he Corporation and the City shall have no right thereto, nor, shall the City be entitled to any credit In the event o1 a deficiency In the rentals received of the opremises given Site. Neither notice to pay rent or to deliver up p pursuant to 19,11 nor any proceeding in unlawful detalner taken by the Corporation shell of itself operate to terminate this Lease Agreement, and no termination of this Lease by operation of law, or otherwise, unless and tluntiltthe Clorporation shell have givfentwriten notice to the City of the election on the part of the Corporation to terminate thw Lease Agreement. Term off this vLecse Agreement rhany termination off this Lease Agreementnshallll be valid In any manner or for any purpose whatsoever unless stated or accepted by the Corporation by such written notice. Fxclusive. No remedy nereln conferred ll ul Section tlO Re and every such remedy shall be cumulative to the Corporation is a sl e or and shall be in addition to every other remedy given under this Lease Agreement rig now or or hereafter existing at law or In equity. No delay or omission to exerrrisse oryshalrt be power accruing unon any default shall Impair ary such right or power construed to be a waiver thereof, but any such right and power may be exercised from time to Cu po ration time and often 813 remedy treserved to It expedient. dths ArticlerXefltt shalltinlot the necessary to give any notice. other than such notice as may be required in this Article IX or by law. Section 9.4. e ment to Pay Atturnrys' Foes and Exoenses. In the oveni Dither party to this Lease Agreemant should dofeuitouan any ef expprovisions or the collection of nondalaulting party should amp I y alto neys moneys or the enforcement ar pa a ante or cbservance of any obligation or agreement on the part of the defaulting party herein contained. tlf° aossoniable tees agrees that It will on demand therefor pay to the nondefoulting party of such atlomays and such other expenses so Incurred by the mondefeulling party. Section 9.5. No Additional Waiver Imalled by One Waiver. In the event any agreement contained In this Lease Agreement should be breached by either party and thereafter waived by the other party, such waiver shall be limited to the particular breach so waived and shall not be deemed to waive any other breach hereunder lease or other disposplon olio All net X. aid all other amoun s derived n of by the Corporation or the Trustee as a result of an event of default hereunder, shall transferred to the Trustee promptly upon receipt thereof and after payment of all fees and expenses of the Trustee. Including the Lease Payments Initorder of paymened by the shall be in the Lease Payment Fund to be app lied to date Section 9 7 TruVeo and Certificate Owners to Exercise Riohts. Such rights and Corporation to the Trusteeeu derothteoTrust Agreement. o IX have which been assignmient heyCity remed _18- S) t i t hereby consentc. Such rights and remedies shall be exercised by the Trustee and the 1 Owners of the Certificates as provided In the Trust Agreement. _tg_ rm� n :i j ARTICLE X PREPAYMENT OF LEASE PAYMENTS Section 10.1. Security Deposit. Notwithstanding any other provision of this Lease Agreement, the City may on any date secure the payment of all or a portion of the Lease Payments remaining due by a deposit with an escrow holder under an escrow deposit and trust agreement as referenced In Section 14.01(b) of the Trust Agreement, of: (a) in the case of a security deposit relating to all Lease Payments, either W an amount which, together with amounts on deposit in the Lease Payment Fund, the Insurance and Condemnation Fund and the Reserve Fund, Is sufficient to pay all unpaid Lease Payments, including the principal and Interest components thereof, In accordance with the Lease Payment schedule set forth in Exhibit C through maturity or an earlier purchase date established pursuant to Section 10.2 below, or pr Federal Securities, together with cash, if required, In such amount as will. In the opinion of an Independent certified public accountant, together with Interest to accrue thereon and, if required, all or a portion of moneys or Federal Securities then on deposit and Interest earnings thereon In the Leese Payment Fund, the Insurance and Condemnation Fund and the Reserve Fund, be fully sufficient to pay all unpaid Lease Payments on their respective Interest Payment Dates through maturity or an earlier purchase date established pursuant to Section 10.2 below; or (b) In the case of a security deposit relating to a porlion of the Lease Payments, a certificate executed by a City Representative designating the portion of the Lease Payments to which the deposit pertains, and either W an amount which is sufficient to pay the portion of the Lease Payments designated in such City Representative's certificate, Including the principal and Interest components thereof, or (It) Federal Securities, together with cash, if required, in such amount as will, together with Interest to be received thereon. If any, In the opinion of an Independent certified public accountant, be fully sufficient to pay the portion of the Lease Payments designated In the aforesaid City Representative's certificate. In the event of a deposit pursuant to this Section 10.1 as to all Lease Payments, all obligations of the City under this Lease Agreement shall cease and terminate, excepting only the obligation of the City to make, or cause to be made, all payments from the deposit made by the City pursuant to this Section 10.1, and title to the Site shall vest In the City on the date of said deposit automatically and without further action by the City or the Corporation. Said deposit and Interest earnings thereon shall be deemed to be and shall constitute a speclt.l fund for the payments provided for by this Section 10.1 and sold obligation shall thereafter be deemed to be and shall constitute the Installment purchase obligation of the City for the Site. Upon said deposit, the Corporation will execute or cause to be executed any and RII documents as may be necessary to confirm title to the Site In accordance with the provisions hereof In addition, the Corporation hereby appoints the City as Its agent to prepare, execute and file or record. in appropriate offices. such documents as may be necessary to place record title to the Site in the City. Section 102 Purchase Option. The Corporation hereby grants an option to the City to prepay the principal component of the Lease Payments to full, by paying the stipulated value of the Site set -20- C- forth In Exhibit C hereto, or in part, but not In an amount of less than $20,000, together, In any event, with a percentage of the portion of such principal component of Lease Payments prepaid equal to the percentages set forth below: Said option may be exercised with respect to Lease Payments due on and after December 1, 1993• In whole or in part on any Lease Payment Date commencing November 15, 1994. Said option shall be exercised by the City by giving written notice to the Corporation and the Trustee of the exercise of such option at least forty -five (45) days prior to said Lease Payment Date. Such option shall be exercised in the event of prepayment In full• by depositing on or before such Lease Payment Date cash in an amount, which, together with amounts then on deposit In the Reserve Fund, the Insurance and Condemnation Fund and the Lease Payment Fund• will be sufficient to pay the stipulated value of the Site on said Lease Payment Date as set forth In Exhibit C hereto• together with any '.ease Payments then due but unpaid, or, In the event of prepayment in part, by depose:' -c with sold notice an amount divisible by $5,000 equal to the amount desired to be prepalo 1" wt not less than $20,000) together with any Lease Payments then due but unpaid. Lease t"wrionts due after any such partial prepayment shal! be In the amounts set forth In a rew" Lease Payment schedule which shall be provided by, or caused to be provided by, tO Trustee to the City pursuant to Section 4 01(c) of the Trust Agreement and which shall epresent an adjustment to the schedule set forth In Exhibit C attached herato taking Into account said partial prepayment. Section 10.3. Mandatory Prepayment Fro n Net Proceeds o' insurance or Eminent Domain. The City shall be obligated to prepay the Lease Payments, in whole on any data or In part on any Lease Payment Date, from and to the extent of any Net Proceeds of an Insurance or condemnation award with respect to the Site theretofore deposited In the Lease Payment Fund for such purpose pursuant to Article VII of the Trust Agreement. The City and the Corporation hereby agree that such Net Proceeds, to the extent remaining after payme,it of any delinquent Lease Payments. shall be credited towards the City's obligations under this Section 10.3. Section 10 4. Credit for Amounts on Deposit. In the event of prepayment of the Principal components of the Lease Payments In full under this Article X. such that the Trust Agreement shall be discharged by Its terms as a result of such prepayment, all amounts then on deposit fn the Lease Payment Fund, the Acquisition Fund or the Reserve Fund shall be credited towards the amounts then required to be so prepaid. -21- [� Premium Paid With Respect to the Payment Date of the Principal Component of Lease Payment Prepaid end Prapawnent Dales es 1894 1995 1990 thereafter May 15, 1993 and November 15, 1994 1h% 1 % 1 1/2% 2% May 15, 1994 and November 15, 1095 0 1f, 1 11/2 May 15, 1995 and November 15. 1890 - 0 1/¢ 1 May 15, 1990 and November 15, 1997 - - 0 1h May 15, 1897 and each November 15 and May 15 thereafter - - - n Said option may be exercised with respect to Lease Payments due on and after December 1, 1993• In whole or in part on any Lease Payment Date commencing November 15, 1994. Said option shall be exercised by the City by giving written notice to the Corporation and the Trustee of the exercise of such option at least forty -five (45) days prior to said Lease Payment Date. Such option shall be exercised in the event of prepayment In full• by depositing on or before such Lease Payment Date cash in an amount, which, together with amounts then on deposit In the Reserve Fund, the Insurance and Condemnation Fund and the Lease Payment Fund• will be sufficient to pay the stipulated value of the Site on said Lease Payment Date as set forth In Exhibit C hereto• together with any '.ease Payments then due but unpaid, or, In the event of prepayment in part, by depose:' -c with sold notice an amount divisible by $5,000 equal to the amount desired to be prepalo 1" wt not less than $20,000) together with any Lease Payments then due but unpaid. Lease t"wrionts due after any such partial prepayment shal! be In the amounts set forth In a rew" Lease Payment schedule which shall be provided by, or caused to be provided by, tO Trustee to the City pursuant to Section 4 01(c) of the Trust Agreement and which shall epresent an adjustment to the schedule set forth In Exhibit C attached herato taking Into account said partial prepayment. Section 10.3. Mandatory Prepayment Fro n Net Proceeds o' insurance or Eminent Domain. The City shall be obligated to prepay the Lease Payments, in whole on any data or In part on any Lease Payment Date, from and to the extent of any Net Proceeds of an Insurance or condemnation award with respect to the Site theretofore deposited In the Lease Payment Fund for such purpose pursuant to Article VII of the Trust Agreement. The City and the Corporation hereby agree that such Net Proceeds, to the extent remaining after payme,it of any delinquent Lease Payments. shall be credited towards the City's obligations under this Section 10.3. Section 10 4. Credit for Amounts on Deposit. In the event of prepayment of the Principal components of the Lease Payments In full under this Article X. such that the Trust Agreement shall be discharged by Its terms as a result of such prepayment, all amounts then on deposit fn the Lease Payment Fund, the Acquisition Fund or the Reserve Fund shall be credited towards the amounts then required to be so prepaid. -21- [� ARTICLE XI MISCELLANEOUS Section 11.1. Notices. All notices, certificates or other communications hereunder shall be sufficiently given and shall be deemed to have been received 48 hours after deposit in the United States mail in first class form with postage fully prepaid: If to the City: City of Rancho Cucamonga 9320 Baseline Road Rancho Cucamonga, CA 91730 Attention: City Clerk If to the Corporation: Rancho Cucamonga Public Improvement Corporation 9320 Baseline Road Rancho Cucamonga, CA 91730 Attention: Secretary If to the Trustee: Bank of America National Trust and Savings Association 555 South Flower Street, 5th Floor Los Angeles, CA 90071 Attention: Corporate Trust Services #8510 The Corporation, the City and the Trustee, by notice given hereunder, may designate different addresses to which subsequent notices, certificates or other communications will be sent. Section 11.2. Binding Effect. This Lease Agreement shall Inure to the benefit of and shall be binding upon the Corporation and the City and their respective successors and assigns Section 113 Se•eerability. In the event any provision of this Lease Agreement shall be held Invalid or unenforceable by any court of competent jurisdiction, such holding shall not Invalidate or render unenforceable any other provision hereof. Section 11.4. Not -net -net Lease. This Lease Agreement shall be deemed and construed to be a 'not- net -net lease' and the City hereby agrees that the Lease Payments shall be an absolute net return to the Corporation, free and clear of any expenses, charges or set -offs whatsoever Section 115. Further Assurances and Corrective Instruments. The Corporation and the City agree that they will, from time to time, execute, acknowledge and deliver, or cause to be executed, acknowledged and delivered, such supplements hereto and such further Instruments as may reasonably be required for correcting any Inadequate or Incorrect description of the Site hereby leased or Intended so to be or for carrying out the expressed Intention of this Lease Agreement. -22- j S Section 11.6. Execution In Counterparts. This Lease Agreement may be executed t In several co,rnterparts, each. of which shall be an original and al! of which shall constitute but one and the same Instrument. Section 11.7 Applicable Lew. This Lease Agreement shall be governed by and ' construed in accordance with the laws of the Stele. Section 11.6. Corporation and C+tv Representatives. Whenever under the - provisions of this Leasa Agreement the approval of the Corporation or the City Is required, or the Corporation or the City Is required to take some cctior. at the request of the other, such approval or such request shell be given for the Corporation by an Corporation Representative and for the City by a City Representative, and any party hereto shall be authorized to rely upon any such approval or request. 1 Section 11.9. Captions. The captions or headings in this Lease Agreement are for convenience only and In no way define, limit or describe the scope or Intent of any provisions or Section of this Leass Agreement. -23- S l7 E 0. IN WITNESS WHEREOF, the Co!Porstlon has Caused this Lease Agreement to be executed In Its corporate name by Its duty authorized officers and Cealed with Its corporate seal; end the City has Caused this Lease Agreement to be executed In Its name by Its duty authorized officers and sealed with Its Corporate seat, as of the date first above written.. ISEAL) Attest. ISEAL) Attest Secretar/ ,fly Clerk — _pq_ RANCHO CUCAMONGA PUBLIC IMPROVEMENT CORPORATION, as Lessor By Presldenl CITY OF RANCHO CUCAMONGA. as Lessee By Mayor L r� N rp+rw s�rneooss �wav ano n,nv EXHIBIT A DEFINITIONS 'Acquisition Costs' means all costs of payment of, or reimbursement for, acquisition of the Site. 'Acquisition Fund' means the fund by that name established and held by the Trustee pursuant to Article III of the Trust Agreement. 'Assignment Agreement' means the Assignment Agreement, dated as of December 1, 1988, by and between the Corporation and the Trustee, together with any duly authorized and executed amendments thereto. 'Business Da v' means a day which is not a Saturday. Sunday or legal holiday on which banking Institutions in the State are closed or are required to close or a day on which the New York Stock Exchange Is closed. 'Certifieato of Completion' means the certificate of a City Representative certifying that the Site has been acquired by the City and that all Acquisition Costs with respect thereto have bean paid. 'Certificates' means the $_ aggregate principal amount of certificates of participation to be executed and defiverod pursuant to the Trust Agreement 'City' means the City of Rancho Cucamonga, a municipal corporation and general law city orga,rized and existing under the laws of the State. 'C!tv Representative' means the Mayor, the City Manager or the Finance Manager or any ather person authorized by resolution of the City Council of the City to act on behalf of the City under or with respect to the Site Lease, the Lease Agreement and the Truf,i Agreement. 'Closing Date' means the date upon which there Is a physical delivery of the Certificates In exchange for the amount representing the purchase price of the Certificates by the Original Purchaser 'Code' means the Internal Revenue Code of 1988. 'Completion Date' means the date of complatlon of ac, -on of lha Site as evidenced by the filing with the Trustee of a Certificate of Comol. 'Corporation' means the Rancho Cucamonga Public Improvement Corporation, e nonprofit, public benefit corporation organized and existing under and by virtue of the laws of the State. ' Corpora,ion Representative" means the President of the Corporation, or any other person authorized by resolution of the Corporation to act on behalf of the Site Lease. the Lease Agreement, lho Assignment Agreement and the Trust Agreement. Exhibit A ,� p Page 1 J CJ 'Delivery Costs' means all Items of expense directly or Indirectly payable by or reimbursable to the City or the Corporation relating to the execution end delivery of the Site Lease, the Lease Agreement, the Assignment Agreement and the Truct Agreement or the execution, sale and delivery of the Certificates, Including but not Iln.,red to filing and recording costa, settlement costs, printing costs, reproduction and binding costs, Initial fees and charges of the Trustee. financing discounts, legal fees and charges, Insurance fees and charges, financial and other professional consultant fees, costs of rating agencies for credit ratings, fees for execution, transportation and safekeeping of the Certificates, costs for preparation, printing and distribution of preliminary and final official statements, and charges and lees In connection with the foregoing. 'Delivery Costs Fund' means the fund by that name established and held by the Trustee pursuant to Article III of the T'ast Agreement. 'Earnings Fund' means the fund by that name created by, and held by the Trustee pursuant to. Section 8.07 of the Trust Agreement. 'Event of Default' means an event of default under the Lease Agreement, as defined In Section 0.1 thereof. 'Excess Investment Earnings' means an amount eauai to the sum a1: (a) the excess of (1) the aggregate amount earned on all Nonpurpose Investments (other than amounts attributable to an excess described in this paragraph (a)), over (il) the amount which would have been earned if the Yield on such Nonpurpose Investments (other than amounts attributable to an excess described in this paragraph (a)) had been equal to the Yield of the Lease Agreement, plus (b) any Income attributable to the excess described In paragraph (a). 'Federal Securities' means direct general obligations of (Including obligations issued or held In book entry form on the books of the Department of the Treasury of the United States of America), or obligations the payment of principal of and Interest on Wilch are guaranteed by. the United States of America. 'Fiscal Year' means the twelve -month period beginning on July 1 of any year and ending on June 30 of the next succeeding year, or any other twelvt nonth period selected by the City as Its fiscal year 'Gross Proceeds' means the sum of the following amounts* (a) original pro -eeds, namely, net amounts received by or for the City as a result of the sale of the Certificates, excluding original proceeds which become transferred proceeds (determined in accordance with applicable Regulations) of obligations Issued to refund In whole or In part the Lease Agreement; E.thlblt A (� r Page 2