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October 27, 2009 F'1 LE C O'Dv L1T y GRAND TER R C October 27,2009 22795 Barton Road Grand Terrace California-92313-5295 _f Civic Center CITY OF GRAND TERRACE 1 (909)824-6621 L, Fax(909)783-7629 Fax(909)783-2600 ' Maryetta Ferri CRA/CITY COUNCIL Mayor REGULAR MEETINGS = Lee Ann Garcia Mayor Pro Tem 2ND AND 4_TH Tuesd"ay = 6:00 p.m. - Bea Cortes Jim Miller Walt Stanckiewitz Council Members - Bernie Simon Acting City Manager Council.-Chambers Grand Terrace-Civic,Center 22795 Barton Road -Grand Terrace, CA 92313-5295 CITY OF GRAND TERRACE COUNCIL MEETING AGENDA CITY COUNCIL CHAMBERS October 27,2009 GRAND TERRACE CIVIC CENTER 6:00 p.m. 22 795 Barton Road THE CITY OF GRAND TERRACE COMPLIES WITH THE AMERICANS WITH DISABILITIES ACT OF 1990. IF YOU REQUIRE SPECIAL ASSISTANCE TO PARTICIPATE IN THIS MEETING,PLEASE CALL THE CITY CLERK'S OFFICE AT (909)824-6621 AT LEAST 48 HOURS PRIOR TO THE MEETING. IF YOU DESIRE TO ADDRESS THE CITY COUNCIL DURING THE MEETING,PLEASE COMPLETE A REQUEST TO SPEAK FORM AVAILABLE AT THE ENTRANCE AND PRESENT IT TO THE CITY CLERK. SPEAKERS WILL BE CALLED UPON BY THE MAYOR AT THE APPROPRIATE TIME. ANY DOCUMENTS PROVIDED TO A MAJORITY OF THE CITY COUNCIL REGARDING ANY ITEM ON THIS AGENDA WILL BE MADE AVAILABLE FOR PUBLIC INSPECTION IN THE CITY CLERK'S OFFICE AT CITY HALL LOCATED AT 22795 BARTON ROAD DURING NORMAL BUSINESS HOURS. IN ADDITION,SUCH DOCUMENTS WILL BE POSTED ON THE CITY'S WEBSITE AT WWW.CITYOFGRANDTERRACE.ORG * Call to Order- * Invocation- * Pledge of Allegiance- * Roll Call STAFF COUNCIL AGENDA ITEMS RECOMMENDATION ACTION CONVENE COMMUNITY REDEVELOPMENT AGENCY 1. Approval of 10-13-2009 Minutes Approve 2. Proposal for a New Baseball Field Northwest of Pico Park Authorize 3. Progress Report and Recommendations Regarding the Conversion Appropriate of the Senior Center Kitchen to a Commercial Kitchen ADJOURN COMMUNITY REDEVELOPMENT AGENCY CONVENE CITY COUNCIL 1. Items to Delete 2. SPECIAL PRESENTATIONS A. Grand Terrace Chamber of Commerce Business of the Month 3. CONSENT CALENDAR The following Consent Calendar items are expected to be routine and noncontroversial. They will be acted upon by the Council at one time without discussion. Any Council Member,Staff Member,or Citizen ! may request removal of an item from the Consent Calendar for i discussion. A. Approve Check Register Dated 10-27-2009 Approve B. Waive Full Reading of Ordinances on Agenda C. Approval of 10-13-2009 Minutes Approve D. Request a Workshop for November 10,2009 at 4:00 p.m. with Schedule City Council to Review Proposed Solid Waste Franchise Agreement COUNCIL AGENDA 10-27-2009 PAGE 2 OF 2 AGENDA ITEMS STAFF COUNCIL RECOMMENDATIONS ACTION E. Five-Year Capital Project Needs Analysis and Capital Adopt/Approve Improvement Program 4. PUBLIC COMMENT This is the opportunity for members of the public to comment on any items not appearing on the regular agenda. Because of restrictions contained in California Law,the City Council may not discuss or act on any item not on the agenda,but may briefly respond to statements made or ask a question for clarification. The Mayor may also request a brief response from staff to questions raised during public comment or may request a matter be agendized for a future meeting. 5. REPORTS A. Committee Reports-None B. Council Reports 6. PUBLIC HEARINGS-None 7. UNFINISHED BUSINESS A. Grand Terrace Road Parking Signs Approve 8. NEW BUSINESS A. A Resolution Approving the Form of and Authorizing the Approve/Adopt - Execution and Delivery of a Purchase and Sale Agreement and Related Documents with Respect to the Sale of the Seller's Proposition IA Receivable From the State; and Directing and Authorizing Certain Other Actions in Connection Therewith B. Progress Report and Recommendations Regarding the Authorize Conversion of the Senior Center Kitchen to a Commercial Kitchen 9. CLOSED SESSION A. Selection of City Manager ADJOURN CITY COUNCIL THE NEXT CRA/CITY COUNCIL MEETING WILL BE HELD ON TUESDAY,NOVEMBER 10,2009 AT 6:00 P.M. ................................. ............................ ..................... AGENDA ITEM REQUESTS MUST BE SUBMITTED IN WRITING TO THE CITY CLERK'S OFFICE NO LATER THAN 14 CALENDAR DAYS PRECEDING THE MEETING. PENDING CRA APPROVAL CITY OF GRAND TERRACE COMMUNITY REDEVELOPMENT AGENCY MINUTES REGULAR MEETING - OCTOBER 13, 2009 A regular meeting of the Community Redevelopment Agency, City of Grand Terrace, was held in the Council Chambers,Grand Terrace Civic Center,22795 Barton Road,Grand Terrace,California, on October 13, 2009 at 6:00 p.m. PRESENT: Maryetta Ferrd, Chairman Lee Ann Garcia, Vice-Chairman Bea Cortes, Agency Member Walt Stanckiewitz, Agency Member Brenda Mesa, City Clerk Bernie Simon, Finance Director/Acting City Manager Joyce Powers, Community&Economic Development Director Richard Shields, Building& Safety Director John Harper, City Attorney Sgt. Hector Gomez, Sheriff's Department Barry Fox, San Bernardino County Fire Department ABSENT: Jim Miller, Agency Member CONVENE COMMUNITY REDEVELOPMENT AGENCY AT 6.00 P.M. APPROVAL OF 09-22-2009 MINUTES CRA-2009-47 MOTION BY AGENCY MEMBER CORTES, SECOND BY VICE-CHAIRMAN GARCIA,CARRIED 3-0-1-1 (AGENCY MEMBER MILLER WAS ABSENT AND AGENCY MEMBER STANCKIEWITZ ABSTAINED),to approve the September 22, 2009 Community Redevelopment Agency Minutes. CLOSED SESSION-CONFERENCE WITH REAL PROPERTY NEGOTIATORS (GOVERNMENT CODE SECTION 54956.8) PROPERTY- 22100 BLOCK OF BARTON ROAD (APN• 0275-242-10 & APN• 0275-242-11) AGENCY NEGOTIATOR- BERNIE SIMON UNDER NEGOTIATION - PRICE AND TERMS OF PAYMENT Agency Member Bea Cortes did not participate in the Real Estate Closed Session Item. Chairman Ferre announced that the Agency met in Closed Session for a Conference with Real Property Negotiators regarding the 22100 Block of Barton Road and that there was no reportable CRA AGENDA ITEM NO. Community Redevelopment Agency Minutes October 13,2009 Page 2 action taken. Chairman Ferrd adjourned the Community Redevelopment Agency Meeting at 8:50 p.m.,until the next CRA/City Council Meeting that is scheduled to be held on Tuesday, October 27, 2009 at 6:00 p.m. SECRETARY of the Community Redevelopment Agency of the City of Grand Terrace CHAIRMAN of the Community Redevelopment Agency of the City of Grand Terrace W-1 klffi Atit•` �,'- Px i ' CALIfFORWIA AGENDA REPORT MEETING DATE: October 27, 2009 Council Item ( ) CRA Item ( X ) TITLE: Proposal for a New Baseball Field Northwest of Pico Park PRESENTED BY: Community and Economic Development Department RECOMMENDATION: 1. Authorize staff to issue a Request for Proposals for the design and specifications for public bidding to construct a proposed city- owned baseball field. 2. Authorize staff and the City Attorney to prepare an amendment to the Memorandum of Understanding between the Agency and Grand Terrace Partners, LLC, dated September 11, 2007, to modify the project site area. BACKGROUND: When construction began on the Grand Terrace High School, two of the three existing baseball fields at Pico Park were demolished. The Grand Terrace Little League has expressed the need for at least one more field to play regulation games. DISCUSSION: After a citywide search for an appropriate site, staff is recommending that a new field be constructed on the parcel of land just northwest of Pico Park, which would allow access to the existing parking lot, restrooms, and snack bar. The parcel proposed for the field is within the Grand Crossings site area and obligated under a Memorandum of Understanding; however, only 2.5 acres are needed for the proposed field. The total site area for the Grand Crossings project is approximately 60 acres, so the impact of the field on the future project would be minor. The attached maps depict the proposed area, and also indicate that the main street frontages would not be affected. Staff has contacted the Developer and they have agreed to the proposed location of the field and the modification of the MOU. Staff has also spoken with the President of the Grand Terrace Little League on several occasions to ensure their requirements are met. With their agreement, staff is proposing to install the field without lighting, but with the appropriate electrical systems in place for future light installation. The President of the Little League indicated that there are grant funds available to install the lighting at a future date, which he would pursue. CRA AGENDA ITEM NO, 1 The proposed baseball Field is still in the conceptual phase; however, staff has investigated the approximate costs for design and construction. The estimated cost for design and technical specifications would be approximately$20,000. The construction of the baseball field would be approximately$150,000 - $175,000 with the electrical system installed for future lighting. If the Agency authorizes staff to proceed with the project at this site, staff would first seek proposals for field design, then return to the Agency to award the design contract, budget design costs and establish a project timeline. Redevelopment funds are also available to complete construction subject to Agency approval, if no other funds are available. FISCAL IMPACT: There is no cost other than staff time to prepare and issue a Request for Proposal (RFP)�for design work. Sufficient funds for the actual design and specifications are available in the CRA 80% undesignated fund balance. The Agency now has approximately $4.2 million available for new non-housing projects. In addition, the Agency has $3 million reserved for future debt service, pending approval of the Redevelopment Plan Amendment. The Amendment will be presented for approval upon completion and circulation of the EIR early next calendar year. Respectfully,submitted, j'oyce Powers Community and Economic Development Director Manager Approval: Bernie Simon Acting City Manager ATTACHMENTS: A. Map of proposed Little League Field B. Map of Grand Crossings with proposed Field. C. Letter of Cooperation from Mar Ventures, Inc. '^r�I;s .00 w,Tl A(.3Jf. '�� Attachment A 1W I' I T�01 To! eT pr ZZ ism 4 N! 71 � ` 1 ��y�� r 19 IT4 -Proposed Fiel.d ADA Compliant SOLF11 I E RN GUIrOR?,[.% ...... Dirt/Gravel EDISON* Pedestrian Walkway A,MISON k%7F.P.ViT10%'AL-C-.-Y Easement 5'. L2 0000i 0@ MI , 6H Sig." 2 Amu, CL UL EU 7'e ' :'te ' U fifth I I X Ell r ze Oi rT,: OWN 26 ............4� it .............. a Inc, October 16,2009 - Joyce Powers Community&Economic Development Director City of Grand Terrace 22795,Barton Road Grand Terrace,CA 92313 RE: Modification of Grand Crossings MOU to Accommodate City Ball Field Ms.Powers, T On behalf of Grand Terrace Partners, LLC, I would like to express our willingness to work with the City to modify the Memorandum of Understanding covering the Grand Crossings site are in order to accommodate a 2.5 acre ball park to be located on land just northwest of Pico Park. We anticipate that we may need to make some updates to the Memorandum of Understanding and look forward to working with the City to complete the process expeditiously. Yo qs very truly, Y7\1 L� Allan W.Mackenzie Grand Terrace Partners, LLC, l i uir I(i ;i,ll:lfli,t: •(:,ifiroll;ia •`10')04 ••- j10 !6'11 )525 • )-,Ix.i10 /8 `)2F)3 ° ,V.VVJfllf;l`;i}litlll ", 'ulI) 5 r- cALi'FORNIA AGENDA REPORT MEETING DATE: October 27, 2009 Council Item ( X ) CRA Item ( X ) TITLE: Progress Report and Recommendations Regarding the Conversion -� of the Senior Center Kitchen to a Commercial Kitchen PRESENTED BY: Community and Economic Development Department RECOMMENDATION: City Council: Authorize staff to prepare construction drawings and bid specifications for a commercial kitchen at the Senior Center. Agency: Appropriate Agency,funds in the amount of$5,540 to prepare the documents for public bidding. BACKGROUND: On September 22, 2009, staff was directed to prepare a preliminary design for a commercial kitchen at the Senior Center to ensure all required improvements could be completed within the existing floor area and to estimate the costs of construction. Also, on October 13, 2009, the Council determined to forward a request to the County Department of Community Development and Housing (CDH) to reprogram$80,000 of available CDBG funds for kitchen construction and equipment. DISCUSSION: Working with an experienced architect and the County Health Department, the preliminary plan has been completed, and indicates that the kitchen can be constructed and equipment installed within the available floor area without moving walls. In addition, the architect was able to design the various work stations efficiently without requiring removal of the existing floor for re- plumbing. The only necessary building modification would be to remove the glass double doors at the east end of the kitchen area and install a wall to meet code requirements. Based on the preliminary design,costs for construction and equipment, including Federal Davis Bacon wages, will be approximately$75,000-$80,000. The actual cost would be based on the final specifications and bid responses. After review by the Health Department, staff forwarded the preliminary plans and cost estimates to the Corporation for Better Housing (CBH). CBH has indicated its willingness to work with the City and County to meet CDBG funding requirements. They understand that the CRA AGENDA ITEM NO. 1 construction would be posted for public bidding, and may request to oversee construction based on their investment in the Senior Center. Additional architectural firms were asked to provide a proposal for the final construction drawings and bid specifications, and two were received. The current architect, Michael-Murphy, submitted the lowest proposal, at$5,540. Staff is recommending the use of redevelopment funds to complete this phase now to ensure there is no delay of construction bidding at such time the City is notified of project approval and funding. The design would not be eligible for later CDBG reimbursement. While the construction drawings and specifications are being prepared, staff will continue to work closely with County staff to,ensure construction remains eligible for CDBG funding and Health Department approval will be received. The preliminary plans have also been provided to the Senior Center and kitchen staff, who will also be kept informed. FISCAL IMPACT: Sufficient funds for final design and specifications are available in the CRA 80% undesignated fund balance. The Agency now has approximately'$4.2 million available for new non-housing projects. In addition, the Agency has $3 million reserved for future debt service,pending approval of the Redevelopment Plan Amendment. The Amendment will be presented for approval upon completion and circulation of the EIR early next calendar year. Respectfully submitted, Joyce Powers Community and Economic Development Director Manager Approval: Bernie Simon Acting City Manager ATTACHMENTS: Preliminary Plans Al! Jr Q x. m 0 ell mI l� 1tco CL. —7 111 $ I i m Z • m — z �� I' Ati �D I + nT i PROJECT: SENIOR CENTER COMMERICAL KITCHEN p 22627 GRAND TERRACE DRIVE �`aSEO I� o no = GRAND TERRACE,CA. 92313 J ' 3 A CONTACT: x =m +► C-11 z JOYCE POWERS coMwwnamEca�oweoEVE►on�orrwnEc�w " 122795 BARTON ROAD, GRAND TERRACE, CA. 92313-5295 r o A (11IF01N1/ (909)430-2225 FAX(909)783-2600 9rF + E-MAIL:jpowers@cftyofgrandterrace.org 3 v O EQUIPMENT LIST 1 EX. REFRIGERATOR 32"W X 29" D" EA5 2 EX. FREEZER 32"W X 29"D 3 EX. DESK 30"W X 60"L 4 EX. ICE MECH 24"W X 24"D 5 EX. MICRO OVEN 30"W X 15"H 6 EX. OVEN 30"W X 23"H 7 EX. HOT TABLE 44"W X 23"W/ 115V FILE CABINET-- 18"W X 32"H /•2 REQ. - - - -- - -- � � 9 FLY FAN 36"W 10 CUTTING BOARD 24"X 24" 11 S.S.WORK TABLE 24"X 84" W/4"SPLASH - 12 TABLE MIXER - - 1 Z 13 S.S. SHELF 12"W X 72"L /.3 REQ. - _ . - 14 STORAGE RACK 18'"D X 36"W /3 REQ. _ 15 STORAGE RACK 18"D X 48"W /6 REQ. 33 L/F TOTAL 1 8 \ i O 16 EMPLOYEE LOCKER 12"W X 36"H X 18" D/4'REQ. / `� D "'' - 17 REFRIGERATOR 48"W X 29"D - 18 EXISTING WATER HEATER (� iLe 19 S.S.VEDG. SINK 36"W X 24" D ' 20 MOP SINK e 21 STORAGE CABINET&MOP HOLDER 6 I 22 S.S. DISH TABLE 24"W X 94" L 23 S.S. BASKET 24 S.S.TRAY SHELF 20"W X 48"L 25 SPRAY FIXTURE 1 37 - 26 DISH WASHER&LANDING Ig 27 S.S. 3 TUB SINK 24"W X 90"L - - - i _ 28 S:S. POT&PAN SHELF 72"L 41 29 FLOOR SINK 30 10 LB. FIRE EXTINGUISHER i 6 31"ANSEL" FIRE SYSTEM 1 - - -- � -- HAND SINK& SOAP DISPENSERw- 3233 S.S. SHELF 48"L X 12"W /2 REQ. F1 34 S.S.WORK TABLE 48"L X 24"W /2 REQ. i 35 S.S. FILLER TABLE 15"W X 30"D �N - 37 4 BURNER, GRIDDLE&OVENS 60". 38 12'-0"S.S. EXHAUST HOOD _: _ 39 S.S. WORK TABLE 72" L X 30"W 40 S.S.WORK TABLE 36" L X 30" W - -- - --- 42 COFFEE MAKER 43 REFRIG. COLD TABLE UNIT EQUIPMENT PLAN 44 S.S. SHELF 48" L X 12"W iN 1 NG Rec^ 45 TOASTER 46 EXISTING POTS & PANS 47 EXISTING CULINARY UTENSILS 48 EXISTING CAN OPENER vchlist Voucher List Page: 1 10/21/2009 9:17:31AM CITY OF GRAND TERRACE Bank code : bofa Voucher Date Vendor Invoice Description/Account Amount - 64345 10/8/2009 010996 CA PUB EMPLOYEES' RET. SYSTEM H2O091014930C OCTOBER HEALTH INSURANCE 10-140-142-000-000 82011 10-190-265-000-000 7942 10-022-61-00 8,16363 10-120-142-000-000 695.53 10-125-142-000-000 54674 10-172-142-000-000 182.24 10-175-142-000-000 14579 10-180-142-000-000 1,495.39 10-370-142-000-000 47383 10-380-142-000-000 364.49 10-440-142-000-000 1,923.45 10-450-142-000-000 54674 21=572-142-000-000 43740 32-200-142-000-000 528.50 32-370-142-000-000 218.70 34-400-142-000-000 473.85 Total : 17,095.81 64346 10/8/2009 006772 STANDARD INSURANCE COMPANY 006078690001 ( OCTOBER LIFE AND DISABILITY INSURANCE COUNCIL AGENDA ITEM NO.� Page. 1 Voucher List Page: 2 10121/2009 9:17:31AM CITY OF GRAND TERRACE Bank code : bofa Voucher Date Vendor Invoice Description/Account Amount 64346 10/8/2009 006772 STANDARD INSURANCE COMPANY (Continued) 10-120-142-000-000 13.21 10-125-142-000-000 1042 10-180-142-000-000 2509 10-370-142-000-000 1031 21-572-142-000-000 7 71 32-370-142-000-000 677 10-185-142-000-000 695 10-022-66-00 1,193.78 10-172-142-000-000 348 10-440-142-000-000 5435 34-800-142-000-000 278 10-175-142-000-000 2.78 10-450-142-000-000 10.43 32-200-142-000-000 1006 10-140-142-000-000 15.63 10-380-142-000-000 695 34-400-142-000-000 963 Total : 1,390.33 64347 10/8/2009 006772 STANDARD INSURANCE COMPANY 160-513170-000 OCTOBER EMPLOYEE DENTAL INSURANCE 10-022-61-00 1,16052 10-370-142-000-000 4408 10-180-142-000-000 4408 Total : 1,248.68 64348 10/8/2009 004587 MANAGED HEALTH NETWORK 3200010181 Oct OCTOBER MHN INSURANCE Page 2 C vchlist voucher List _ Page: 3 10121/2009 9:17:31AM CITY OF GRAND TERRACE Bank code : bofa Voucher Date Vendor Invoice Description/Account Amount 64348 10/8/2009 004587 MANAGED HEALTH NETWORK (Continued) 10-120-142-000-000 1216 34-800-142-000-000 2 56 10-140-142-000-000 1440 10-172-142-000-000 3.20 10-175-142-000-000 2.56 10-180-142-000-000 2368 10-370-142-000-000 1088 10-380-142-000-000 640 10-440-142-000-000 13440 10-450-142-000-000 16.00 21-572-142-000-000 768 32-370-142-000-000 9.60 34-400-142-000-000 896 10-125-142-000-000 9.60 10-180-142-000-000 6.40 10-185-142-000-000 640 32-200-142-000-000 672 Total : 281.60 64349 10/8/2009 010764 SAFEGUARD DENTAL &VISION 2750787 Oct OCTOBER EMPLOYEE DENTAL/VISION INS 10-022-61-00 342.22 Total : 342.22 64350 10/8/2009 010737 WESTERN DENTAL SERVICES INC. 002484 Plan 77, OCTOBER EMPLOYEE DENTAL INSURANCE 10-022-61-00 5904 Total : 59.04 64351 10/8/2009 010737 WESTERN DENTAL SERVICES INC. Oct. Western EMPLOYEE DENTAL INSURANCE 10-022-61-00 1458 Total : 14.58 64352 10/15/2009 010164 GREAT-WEST 10022009 Def Comp Contribution PPE 10/02/09 10-022-63-00 4,871 64 Total : 4,871.64 64353 10/15/2009 010164 GREAT-WEST 09182009 Def Comp/Loans Payble PPE GV18/09 Page 3 vchlist Voucher List Page: 4 10/21/2009 9:17:31AM CITY OF GRAND TERRACE Bank code : bofa Voucher Date Vendor Invoice Description/Account Amount 64353 10/15/2009 010164 GREAT-WEST (Continued) 10-022-63-00 4,866.24 10-022-64-00 1,31970 Total : 6,185.94 64354. 10/15/2009 010546 MPOWER COMMUNICATIONS 387798-OCT October Phone Line Fees 10-380-235-000-000 20000 10-808-235-000-000 5827 10-190-235-000-000 99759 Total : 1,255.86 64355 10/15/2009 010546 MPOWER COMMUNICATIONS 387767-OCT Oct Phone Line Charges 10-805-235-000-000 63.27 10-450-235-000-000 59 52' 10-440-235-000-000 28584 Total : 408.63 64356 10/15/2009 010129 NORTHWEST DISTRIBUTORS 10082009 Pumpkin Patch Event at Childcare 23-200-14-00 30200 Total : 302.00 64357 10/15/2009 002710 FOX OCCUPATIONAL MEDICAL CT 68679-23288 ILLNESS/INJURY AND NEW HIRE EXAMS 10-190-224-000-000 5500 Total : 55.00 64358 10/15/2009 001907 COSTCO#478 2362 C CARE SUPPLIES 10-440-228-000=000 8699 10-440-220-000-000 28.99 Total : 116.98 64359 10/15/2009 001840 CITY OF COLTON JULY 2009 July Wastewater Treatment 21-570-802-000-000 99,782.14 Total : 99,782.14 64360 10%15/2000 010764 SAFEGUARD DENTAL &VISION 2760356 Oct OCTOBER EMPLOYEE VISION INSURANCE 10-022-61-00 10292 Total : 102.92 1 Page- 4 vchlist Voucher List Page. 5 10/21/2009 9:17:40AM CITY OF GRAND TERRACE Bank code• bofa Voucher Date Vendor Invoice Description/Account Amount 64361 10/27/2009 001024 ACCENT PRINT&DESIGN 254097 Business Cards 10-172-210-000-000 3437 10-370-210-000-000 3437 10-380-210-000-000 34.37 10-180-210-000-000 1718 10-110-210-000-000 51 54 254130 SR. CTR NEWSLETTER PRINTING 10-805-222-000-000 90.51 Total: 262.34 64362 10/27/2009 001045 ADVANCED COPY SYSTEMS O41582 Annual Contract Renewal 10-440-246-000-000 350.00 Total: 350.00 64363 10/27/2009 001206 ARROWHEAD CREDIT UNION SEPT/OCT Sept/Oct City Visa Charges 10-125-222-000-000 -Volunteer Banquet/Awards 794.62 10-190-220-000-000 -Non Departmental Unanticipated Expenses 49.92 10-440-230-000-000 -Child Care Advertising Account 340.00 23-200-12-00 -GT Community Day Expenses Account 244.21 34-800-268-000-000 -Code Enforcement Training 512.96 Total: 1,941.71 64364 10/27/2009 010293 AVAYA, INC. 2729314279 PHONE&VOICEMAIL MAINTENANCE 10-190-246-000-000 18346 Total: 183.46 64365 10/27/2009 010063 BALLOON TEAM PROMOTIONS,JAN BLEDSO10062009 Volunteer BBQ Decor 10-125-222-000-000 217.50 Total: 217.50 64366 10/27/2009 011088 BURGESON'S HEATING/AIR 6152 HVAC Maint/Repair 21974 DeBerry 32-600-05 170.00 Total: 170.00 64367 10/27/2009 001759 C H J 81756 Soils testing-Mt. Vernon Bikelane 44-200-623-000-000 1,201 00 Total: 1,201.00 Page. 5 vchlist Voucher List Page: 6 10/21/2009 9:17:31AM CITY OF GRAND TERRACE Bank code : bofa Voucher Date Vendor Invoice Description/Account Amount 64368 10/27/2009 011017 CA. BLDG STANDARDS COMMISSION 07012009-0930. Green Building Fees 10-700-01 -3 30 10082009 Green Bldg Standards Fees 23-200-23-00 3300 Total : 29.70 64369 10/27/2009 010726 CHAMBERS GROUP INC 24423 EI.R FOR GENERAL PLAN UPDATE 10-370-250-000-000 3,475.00 Total : 3,475.00 64370 10/27/2009 001840 CITY OF COLTON AUGUST 2009 August Wastewater Treatment 21-570-802-000-000 99,772.25 Total : 99,772.25 64371 10/27/2009 001867 COMMERCIAL LANDSCAPE SUPPLY 163986 LANDSCAPE SUPPLIES 10-450-245-000-000 505.51 Total : 505.51 64372 10/27/2009 011076 CONTINENTAL PROPERTY 3 Commercial Imp Program Reimb. 32-600-304-000-000 9,000.00 Total : 9,000.00 64373 10/27/2009 010147 CORTES, BEA OCT AUTO October Automobile Allowance 10-110-273-000-000 20000 OCT STIPEND October Council Stipend 32-200-120-000-000 150.00 10-110-120-000-000 16649 Total : 516.49 64374 10/27/2009 010711 DANKA FINANCIAL SERVICES 70342541 TOSHIBA COPIER LEASE E-STUDIO 310 10-172-246-000-000 6383 10-175-246-000-000 31 91 34400-246-000-000 6383 Total : 159.57 64375 10/27/2009 001950 DATA QUICK B1-1613947 Sept Subscription Services Page: 6 vchlist Voucher List Page: 7 10/21/2009 9:17:31AM CITY OF GRAND TERRACE Bank code : bofa Voucher Date Vendor Invoice Description/Account Amount 64375 10/27/2009 001950 DATA QUICK (Continued) 10-380-250-000-000 4350 21-572-246-000-000 4350 34-800-220-000-000 4350 Total : 130.50 64376 10/27/2009 001942 DATA TICKET INC 29128 PARKING CITE PROCESSING SERVICES 10-140-255-000-000 10000 Total : 100.00 64377 10/27/2009 011081 DBA LR JOHNSON CONSTRUCTION 10755 GLENDORA DR. ST. IMPROVEMENTS 46-200-275-000-000 2,500.00 Total : 2,500.00 64378 10/27/2009 003210 DEPT 32-2500233683 6012229 MAINTENANCE SUPPLIES 10-180-245-000-000 5437 6012229-A Misc Code Enf. Supplies 34-400-246-000-000 3659 Total : 90.96 64379 10/27/2009 002301 FEDEX 9-360-01412 Overnight Delivery Charges 47-100-250-001-000 82.26 10-120-210-000-000 14.72 10-180-210-000-000 3460 Total : 131.58 64380 10/27/2009 002450 FERRE', MARYETTA OCT AUTO October Automobile Allowance 10-110-273-000-000 20000 OCT STIPEND October Council Stipend 32-200-120-000-000 150.00 10-110-120-000-000 250.00 Total : 600.00 64381 10/27/2009 002710 FOX OCCUPATIONAL MEDICAL CT 68679-23699 ILLNESS/INJURY AND NEW HIRE EXAMS 10-190-224-000-000 21600 Total : 216.00 64382 10/27/2009 002727 FREEMAN COMPANY, J R 423091-0 MISC OFFICE SUPPLIES Page 7 vchlist Voucher List Page: 8 10/21/2009 9:17:31AM CITY OF GRAND TERRACE Bank code . bofa Voucher Date Vendor Invoice Description/Account Amount 64382 10/27/2009 002727 FREEMAN COMPANY, J R (Continued) 10-125-210-000-000 1814 423091-0-A City Council Mtg Packet Supplies 10-110-210-000-000 101.66 Total : 119.80 64383 10/27/2009 002721 FRITTS FORD FLEET CENTER Q61066 VEHICLE MAINTENANCE 10-180-272-000-000 597.35 Q61432 VEHICLE MAINTENANCE 10-180-272-000-000 16486 Total : 762.21 64384 10/27/2009 002740 FRUIT GROWERS SUPPLY 90393267 MAINTENANCE AND SUPPLIES 10-450-246-000-000 18.28 90393584 MAINTENANCE AND SUPPLIES 10-450-246-000-000 910 90393629 MAINTENANCE AND SUPPLIES 10-450-245-000-000 16 96 90394241 Misc Small Tools 10-180-218-000-000 8314 90395256 MAINTENANCE AND SUPPLIES 10-450-245-000-000 3.04 90397515 MAINTENANCE AND SUPPLIES 10-450-246-000-000 3837 90398326 MAINTENANCE AND SUPPLIES 10-450-246-000-000 8604 90401411 MAINTENANCE AND SUPPLIES 10-450-245-000-000 8747 90401966 MAINTENANCE AND SUPPLIES 10-450-245-000-000 850 Total : 350.90 64385 10/27/2009 002901 G T AREA CHAMBER OF COMMERCE 5749-AD CITY CONTRIBUTION TO JOINT NEWSLETTER 10-125-213-000-000 87000 5750-M NITE Mkt Niqht Entertainment/Lights/restrooms 23-200-12-00 35000 Page- 8 vchlist Voucher List Page: 9 10/21/2009 9:17:31AM CITY OF GRAND TERRACE Bank code : bofa Voucher Date Vendor Invoice Description/Account Amount 64385 10/27/2009 002901 G T AREA CHAMBER OF COMMERCE. (Continued) Total : 1,220.00 64386 10/27/2009 002795 GARCIA, LEE ANN OCT AUTO October Automobile Allowance 10-110-273-000-000 20000 OCT STIPEND October Council Stipend 32-200-120-000-000 15000 10-110-120-000-000 949 Total : 359.49 64387 10/27/2009 010425 GOLDEN TIGER MARTIAL ARTS, TAMMIE 100109 October Martial Arts Dues 10-430-27 101 50 Total : 101.50 64388 10/27/2009 010181 GOPHER PATROL 188475 GOPHER CONTROL 10-450-245-000-000 525.00 Total : 525.00 64389 10/27/2009 003152 HARPER & BURNS LLPN SEPT 2009 Sept City/RDA Leqal Services 32-200-251-000-000 8,95375 10-160-250-000-000 8,95375 Total : 17,907.50 64390 10/27/2009 010944 HERSHEY BUSINESS PRODUCTS 103873 Product Return due to incompatibility 10-125-219-000-000 -542.66 103874 Diqital Conference System 10-370-210-000-000 539.40 10-125-219-000-000 542.66 Total : 539.40 64391 10/27/2009 010632 HIGH TECH SECURITY SYSTEMS 88914 SECURITY CAMERA MAINT AGREEMENT 10-180-246-000-000 20.00 10-450-246-000-000 6000 Total : 80.00 64392 10/27/2009 003216 HOUSTON & HARRIS PCS, INC 09-15586 HYDROWASHING 21-573-602-000-000 35000 09-15593 HYDROWASHING 21-573-602-000-000 80000 Page 9 vchlist Voucher List Page: 10 10/21/2009 9:17:31AM CITY OF GRAND TERRACE Bank code : bofa Voucher Date Vendor Invoice Description/Account Amount 64392 10/27/2009 003216 HOUSTON 8, HARRIS PCS, INC (Continued) 09-15595 HYDROWASHING 21-573-602-000-000 1,11078 Total : 2,260.78 64393 10/27/2009 003224 HYDRO-SCAPE PRODUCTS INC. 06123311-00 LAN DSCAPR/MAI NTENANCE SUPPLIES 10-450-245-000-000 56800 Total : 568.00 64394 10/27/2009 003850 JANI-KING OF CA., INC LAX10090039 CHILD CARE CLEANING SERVICES 10-440-244-000-000 97500 LAX10091217 CHILD CARE CLEANING SERVICES 10-440-244-000-000 100.00 Total : 1,075.00 64395 10/27/2009 010773 KELLAR SWEEPING INC. 4892 STREET SWEEPING SERVICES 16-900-254-000-000 4,200.00 Total : 4,200.00 64396 10/27/2009 004348 LEAGUE OF CALIFORNIA CITIES 53393 City Mnqr Emp Ad:Western City Maq 10-120-230-000-000 1,07500 Total : 1,075.00 64397 10/27/2009 010812 LOWE'S COMMERCIAL SERVICES 09463 MAINT SUPPLIES 10-450-245-000-000 15439 10271 MAINT SUPPLIES 10-180-245-000-000 422 10271A Misc Maint/Repair Items 10-808-245-000-000 537 10-180-218-000-000 4347 Total : 207.45 64398 10/27/2009 010446 MILLER, JIM OCT AUTO October Automobile Allowance 10-110-273-000-000 20000 OCT STIPEND October Council Stipend 32-200-120-000-000 150.00 10-110-120-000-000 25000 Page- 10 vchlist Voucher List Page: 11 10/21/2009 9:17:31AM CITY OF GRAND TERRACE Bank code : bofa Voucher Date Vendor Invoice Description/Account Amount 64398 10/27/2009 010446 MILLER, JIM (Continued) Total : 600.00 64399 10/27/2009 010530 NORTHERN SAFETY CO. INC P253523500013 Misc Small Tools/Supplies 10-180-218-000-000 110.25 P253523500014 Misc Small Tools/Supplies 34-800-218-000-000 32.42 10-180-218-000-000 166 19 Total : 308.86 64400 10/27/2009 005400 OFFICE DEPOT 491034251001 Misc Office Supplies 10-120-210-000-000 2860 Total : 28.60 64401 10/27/2009 010851 PARADIGM PRESSURE WASHING 09302009 GRAFFITI CLEAN UP 10-180-255-000-000 50000 Total : 500.00 64402 10/27/2009 005586 PETTY CASH 10192009 Petty Cash Replenishment 10-440-223-000-000 38.54 10-440-228-000-000 4919 Total : 87.73 64403 10/27/2009 010171 REPUBLIC ELECTRIC 909111 SIGNAL MAINT/REPAIRS 16-510-255-000-000 201 58 909112 SIGNAL MAINT/REPAIRS 16-510-255-000-000 45168 Total : 653.26 64404 10/27/2009 006285 RIVERSIDE HIGHLAND WATER CO 10062009 Sept/Oct H2O Services 10-190-238-000-000 68821 10-440-238-000-000 10789 10-450-238-000-000 6,03878 10-805-238-000-000 73910 26-600-239-000-000 39471 26-601-239-000-000 4348 34-700-709-000-000 9.80 34-700-710-000-000 980 34-700-767-000-000 9 80 Page 11 vchlist Voucher List Page: 12 10/21/2009 9:17:31AM CITY OF GRAND TERRACE Bank code : bofa Voucher Date Vendor Invoice Description/Account Amount 64404 10/27/2009 006285 RIVERSIDE HIGHLAND WATER CO (Continued) 2276 August Sewer Billing Processing 21-572-255-000-000 2,38769 2276A July Sewer Billing Services 21-572-255-000-000 866.47 Total : 11,295.73 64405 10/27/2009 006310 ROADRUNNER STORAGE 10318 STORAGE SERVICES 10-140-241-000-000 11900 Total : 119.00 64406 10/27/2009 006312 ROBLEE'S CARPET CLEANING 10026 Carpet Cleaning 10-172-246-000-000 175.00 Total : 175.00 64407 10/27/2009 006331 RONNOW, LARRY 5 Contract Acctg Svcs 10/6-10/19/09 10-140-111-000-000 2,78800 Total : 2,788.00 64408 10/27/2009 006335 ROQUET PAVING INC. 1003-09 Sinkhole Repair-Barton Road 16-900-260-000-000 2,167.00 1010-09 Street Repair-Michigan &Van Buren 16-900-260-000-000 1,72500 Total : 3,892.00 64409 10/27/2009 006341 ROSENOW SPEVACEK GROUP INC. 10122009 TAX INCREMENT, PASS THROUGH, STATEMENT 34-400-251-000-000 2,42750 Total : 2,427.50 64410 10/27/2009 006453 S B COUNTY AUDITOR/CONTROLLER 3173 Confirmation Fees for Auditors 10-140-250-000-000 276.00 Total : 276.00 64411 10/27/2009 006597 SCHOLASTIC BOOK FAIRS W2593983BF Child Care Bookfair Fundraiser 23-200-14-00 61771 Total : 617.71 64412 10/27/2009 010664 SHELL FLEET MANAGEMENT 8000209687910 September Fuel Charges Page: 12 l � , vchlist Voucher List V Page. 13 10/21/2009 9:17:31AM CITY OF GRAND TERRACE Bank code : bofa Voucher Date Vendor Invoice Description/Account Amount 64412 10/27/2009 010664 SHELL FLEET MANAGEMENT (Continued) 10-180-272-000-000 51370 Total : 513.70 64413 10/27/2009 007005 SO CAL LOCKSMITH 9307 Misc. Key Services 10-180-245-000-000 16.31 Total : 16.31 64414 10/27/2009 006720 SO.CA.EDISON COMPANY 2011959749-Sel September Utility Charges 16-510-238-000-000 5,511.13 26-600-238-000-000 49.80 26-601-238-000-000 41.50 26-602-238-000-000 5810 Total : 5,660.53 64415 10/27/2009 006730 SO CA.GAS COMPANY 10272009 Septemeber Utility Charges 10-190-238-000-000 27.26 10-440-238-000-000 2942 10-180-272-000-000 883 10-440-272-000-000 2.94 34-800-272-000-000 2.95 Total : 71.40 64416 10/27/2009 010974 STANCKIEWITZ, WALT OCT AUTO Oct Automobile Allowance 10-110-273-000-000 20000 OCT STIPEND October Council Stipend 32-200-120-000-000 150.00 10-110-120-000-000 250.00 Total : 600.00 64417 10/27/2009 006778 STAPLES 6576829021 OFFICE SUPPLIES 10-180-210-000-000 43.49 66893 Misc. Office Supplies 10-120-210-000-000 16349 9576829001 Misc Office Supplies 10-190-210-000-000 261 78 Page. 13 vchlist Voucher List Page: 14 10/21/2009 9:17:31AM CITY OF GRAND TERRACE Bank code : bofa Voucher Date Vendor Invoice Description/Account Amount 64417 10/27/2009 006778 STAPLES (Continued) 9576829001-A OFFICE SUPPLIES 10-180-210-000-000 121 37 9576829012 Returned Items 10-180-210-000-000 -108.74 Total : 481.39 64418 10/27/2009 006778 STAPLES 8013652129 Misc Office Supplies/Paper 10-140-210-000-000 550.23 10-190-212-000-000 17397 8013652129-A Mist Office Supplies 10-120-210-000-000 12998 8013652129-B OFFICE SUPPLIES 10-180-210-000-000 69 64 Total : 923.82 64419 10/27/2009 010447 STUDIO 33 PRODUCTIONS 5939 Sound/Stage for Halloween Event 23-200-64-00 3,25000 Total : 3,250.00 64420 10/27/2009 006898 SYSCO FOOD SERVICES OF L.A. 910071041 FOOD &SUPPLIES 10-440-220-000-000 63712 910140795 FOOD & SUPPLIES 10-440-220-000-000 375 13 Total : 1,012.25 64421 10/27/2009 010712 TASO TECH, INC. 35 Anti-Viral Software for City Network 10-380-249-000-000 711 51 483 Barracuda Firewall 10-380-249-000-000 1,011 12 Total : 1,722.63 64422 10/27/2009 010934 THE SATELLITE WORKS INC 3008190032 MONTHLY PHONE SERVICE 10-808-235-000-000 4666 Total : 46.66 64423 10/27/2009 010397 TIM GODDARD'S PLUMBING 16817 Plumbinq Maint/Repair 21974 DeBerry Page- 14 vchlist voucher List Page: 15 10/21/2009 9:17:31AM CITY OF GRAND TERRACE Bank code : bofa Voucher Date Vendor Invoice Description/Account Amount 64423 10/27/2009 010397 TIM GODDARD'S PLUMBING (Continued) 32-600-05 125.00 Total : 125.00 64424 10/27/2009 007034 TRANSPORTATION ENGINEERING 972 August Consult/Enq Services 10-172-255-000-000 3,66900 972A CONSULTING SERVICES 10-180-255-000-000 96500 Total : 4,634.00 64425 10/27/2009 007400 U S BANK TRUST N.A. 2474501 GT PFA COP 97 Term Fee 33-300-210-000-000 750.00 2477897 CRA TAB A/B Admin Fees 33-300-210-000-000 550.00 2479617 GT Custody Acct Admin Fees 33-300-210-000-000 1,000.00 Total : 2,300.00 64426 10/27/2009 007220 UNDERGROUND SERVICE ALERT 920090280 Oct Dig Alert Services 16-900-220-000-000 21 00 Total : 21.00 64427 10/27/2009 001038 VERIZON WIRELESS-LA 0800600450 October Phone Services 34-400-235-000-000 9909 Total : 99.09 64428 10/27/2009 007795 WAXIE 71542880 City Hall Janitorial Supplies 10-180-245-000-000 1,198 86 Total : 1,198.86 64429 10/27/2009 007880 WEST GROUP 819301414 CA CODE UPDATES 10-125-250-000-000 432.29 Total : 432.29 64430 10/27/2009 007854 WESTERN EXTERMINATORS CO 448970 PEST CONTROL 10-180-245-000-000 8650 34-400-246-000-000 3850 10-805-245-000-000 3300 Page: 15 vchlist Voucher List Page: 16 10121/2009 9:17:31AM CITY OF GRAND TERRACE Bank code : bofa Voucher Date Vendor Invoice Description/Account Amount 64430 10/27/2009 007854 WESTERN EXTERMINATORS CO (Continued) 448970-A Fumiqation at Rollins Park 10-450-245-Ju0-0013, 1°' nn Total 64431 10/27/2009 007920 WILLDAN 061-29247 Glendora St Improvements Inspection 46-200-275-000-000 1,52000 062-10371 PLAN CHECK SERVICES 10-172-250-000-000 2,49000 062-10372 Mt Vernon/Glendora Street Improvements 44-200-623-000-000 18000 46-200-275-000-000 1,425.00 062-10372A PLAN CHECK SERVICES 10-172-250-000-000 13,415.00 Total : 19,030.00 64432 10/27/2009 010864 WIRZ, MATT 10192009 Halloween Event Candy Purch Reimb. 23-200-64-00 90765 Total : 907.65 64433 10/27/2009 007984 YOSEMITE WATERS 20933794 Sept Water Delivery Services 10-190-238-000-000 7403 10-440-238-000-000 69.88 10-805-238-000-000 973 34-400-238-000-000 574 Total : 159.38 89 Vouchers for bank code : bofa Bank total : 353,746.32 89 Vouchers in this report Total vouchers : 363,746.32 Page- 16 I certify that to the best of my knowledge, the afore-listed checks for payment of City and Community Redevelopment Agency liabilities have been audited by me and are necessary and appropriate for the operation of City and Agency. i Bernie Simon, Finance Director City of Grand Terrace Warrant Register Index FD No. Fund Name Dept No. Department Name General Account Numbers 10 GENERAL FUND 110 CITY COUNCIL 110 SALARIES/WAGES 11 Street Fund 120 CITY MANAGER 139 EMPLOYEES' BENEFIT PLAN 12 Storm Drain Fund 125 CITY CLERK 140 RETIREMENT 13 Park Fund 140 FINANCE 142 HEALTH/LIFE INSURANCE 14 AB 3229 COPS Fund 160 CITY ATTORNEY 143 WORKERS'COMPENSATION 15 Air Quality Improvement Fund 172 BUILDING&SAFETY 138/141 MEDICARE/SUI 16 Gas Tax Fund 175 PUBLIC WORKS 210 OFFICE EXPENSE 17 Traffic Safety Fund/TDA Fund 180 COMMUNITY SERVICES 218-219 NON-CAPITAL FURN/SMALL TOOLS 19 Facilities Development Fund 185 RENTAL INSPECTION PROGRAM 220 SPECIAL DEPARTMENTAL EXP 20 Measure I Fund 190 GENERAL GOVERNMENT(NON-DEPT) 230 ADVERTISING 21 Waste Water Disposal Fund 370 COMMUNITY&ECONOMIC DEV 235 COMMUNICATIONS 26 LSCPG/LGHTG Assessment Dist 380 MGT INFORMATION SYSTEMS 238-239 UTILITIES 44 Bike Lane Capital Fund 410 LAW ENFORCEMENT 240-242 RENTS & LEASES 46 Street Improvement Projects 430 RECREATION SERVICES 245-246 MAINT BLDG GRNDS EQUIPMNT 47 Barton Rd. Bridge Project 440 CHILD CARE 250-251 PROFESSIONAL SERVICES 32 CRA-CAPITAL PROJECTS FUND 450 PARKS MAINTENANCE 255-256 CONTRACTUAL SERVICES 33 CRA-DEBT SERVICE FUND 631 STORM DRAIN MAINTENANCE 260 INSURANCE& SURETY BONDS 34 CRA-LOW&MOD HOUSING 801 PLANNING COMMISSION 265 MEMBERSHIPS& DUES 802 CRIME PREVENTION UNIT 268 TRAINING 804 HISTORICAL&CULTURAL COMM. 270 TRAVEUCONFERENCES/MTGS 805 SENIOR CITIZENS PROGRAM 272 FUEL&VEHICLE MAINTENANCE 807 PARKS&REC COMMITTEE 570 WASTEWATER TREATMENT 808 EMERGENCY OPERATIONS PROG. 33-300 DEBT SERVICE 7XX FACILITIES IMPRV(NO CIP) 700 COMPUTER-RELATED 701 VEHICLES& EQUIPMENT CITY OF GRAND TERRACE PENDING CITY COUNCIL APPROVAL CITY COUNCIL MINUTES REGULAR MEETING - OCTOBER 13, 2009 A regular meeting of the City Council of the City of Grand Terrace was called to order in the Council Chambers,Grand Terrace Civic Center,22795 Barton Road,Grand Terrace,California,on October 13, 2009 at 6:00 p.m. �- PRESENT: Maryetta Ferr6, Mayor Lee Ann Garcia, Mayor Pro Tem Bea Cortes, Councilmember Jim Miller, Councilmember Walt Stanckiewitz, Councilmember Brenda Mesa, City Clerk Bernard Simon, Finance Director/Acting City Manager Joyce Powers, Community& Economic Development Director Richard Shields, Building & Safety Director John Harper, City Attorney Sgt. Hector Gomez, San Bernardino County Sheriff's Department John Salvate, San Bernardino County Fire Department ABSENT: None The City Council meeting was opened with Invocation by Mayor Pro Tern Garcia, followed by the Pledge of Allegiance led by Councilman Walt Stanckiewitz. CONVENE CITY COUNCIL MEETING ITEMS TO ADD/DELETE City Attorney John Harper indicated that he would like to add an item under Closed Session- 9A. Selection of City Manager. CC-2009-129 MOTION BY COUNCILMEMBER STANCKIEWITZ, SECOND BY MAYOR PRO TEM GARCIA, CARRIED 4-0-1-0 (COUNCILMEMBER MILLER WAS ABSENT), to add an item under Closed Session- 9A. Selection of City Manager. Acting City Manager Bernie Simon indicated that staff would like to delete Consent Calendar Item 3G. Five-Year Capital Project Needs Analysis and Capital Improvement Program. SPECIAL PRESENTATIONS 2A. Presentation of Blue Mountain Paper Mache Artwork COUNCIL AGENDA ITEM BOO.-7 qudcilqnCteP ` 10/13/2009 Page 2 Raina Boal presented a Blue Mountain Paper Mache that Cub Scout Pack 242 did. 2B. Grand Terrace Community Day Raina Boal,thanked the Mayor,City Council and City Staff for allowing her the opportunity to speak on Grand Terrace Community Day. A day of community unity in a time the City was in crisis,a day everyone put reservations aside and came together. A day that showcased incredible talents,offered yummy food,taught health and safety and conservation efforts,and had over 40 art projects on display from the local schools showing their creativity and the love of their community that they are part of. There were over 300 art entries that they had to choose the 40 from. It was a good old day of fun in a family atmosphere. They are proud to announce that the day brought the local elementary schools 6 cell phones and 24 ink cartridges that they can use in a recycling fundraiser as well as$55.00 worth of plastic bottles that were collected on the day of the event. They were also able to report to eco-Disney that Grand Terrace saved over 1550 gallons of water by pledging to cut two minutes per person off their shower that day. She expressed her appreciation to the multitude of people that made Grand Terrace Community Day possible and successful. She thanked Jim and Margie Miller, Maryetta Ferre, Barrie Owens and many others that came out and helped. It was a true community event pulled together and made this event happen and expressed how happy she is to be a part of this grand community. -- Manor Ferre, thanked Raina for all of her efforts and all of the efforts for those who made the event successful. Mayor Pro Tem.Garcia,thanked everyone for their spirit and efforts. Councilmember Cortes, thanked everyone for a great event and for all of the those who volunteered. Councilmember Stanckiewitz,thanked all of the volunteers for making the event successful. Mayor Ferr6,stated that the Blue Mountain Paper Mache will be displayed with honor at City Hall. Barrie Owens, stated that it was the largest amount of volunteers that they have had in the last eight years that she has been with the City for any event that the City has done. The event was a great success. The events committee worked extremely hard and it was an honor for her to work with all of the members and is pleased to have been a part of it. CONSENT CALENDAR CC-2009-130 MOTION BY MAYOR PRO TEM GARCIA, SECOND BY COUNCILMEMBER Council Minutes 10/13/2009 Page 3 CORTES, CARRIED 4-0-1-0 (COUNCILMEMBER MILLER), to approve the following Consent Calendar Items with the removal of Item 3C. and 3J.: 3A. Approve Check Register Dated 10-13-2009 3B. Waive Full Reading of Ordinances on Agenda 3D. Notice of Completion - Grand Terrace Fire Station No. 23 (Hamel Contracting, Inc.) 3E. Schedule November and December City Council Meetings 3F. Joint Use Agreements with Colton Joint Unified School District 3H. Notice of Completion- Glendora Drive Street Improvements(L.R. Johnson Construction) 3I. Notice of Completion - Bicycle Lane Mount Vernon Avenue at Pico Street(Roquet Paving, Inc.) and Local Transportation Fund (LTF) Article 3 Reimbursement ITEMS REMOVED FROM CONSENT CALENDAR 3C. Approval of 09-22-2009 Minutes y CC-2009-31 MOTION BY MAYOR PRO TEM GARCIA, SECOND BY COUNCILMEMBER CORTES,CARRIED 3-0-1-1(COUNCILMEMBER MILLER WAS ABSENTAND COUNCILMEMBER STANCKIEWITZ ABSTAINED),to approve the Minutes of September 22, 2009. 3J. Solid Waste and Recycling Support(Lynn Merrill, Consulting to Municipal Governments) CC-2009-32 MOTION BY COUNCILMEMBER STANCKIEWITZ, SECOND BY COUNCILMEMBER CORTES,CARRIED 4-0-1-0(COUNCILMEMBER MILLER WAS ABSENT), to approve the additional technical support from Lynn Merrill, Consulting to Municipal Governments to complete revisions to the Waste Franchise Agreement with Burrtec Waste Industries Incorporated and appropriate$2,700 from the undesignated, unreserved general fund balance reserve. PUBLIC COMMENT Lori Williams,22291 Franklin Street,representing Grand Terrace Community players,stated that they have had many roadblocks but one of the biggest is finding a location to have their productions. They are trying to get the word out and join the production. They are starting from scratch and they need the community to get involved. She stated that anyone that wants to get involved or get more information can call 909 783-0437 or check out their website at www.Utcommunityplavers.com e-mail them at CC7tcommunitvplavers(ci]walioo.com. Council Minutes l 0/13/2009 Page 4 JoAnn Johnson, 127232 Mt. Vernon Avenue,thanked the City, City Council and City Staff for the very nice volunteer appreciation party. It was very much appreciated by all the volunteers. She also thanked the City and especially Richard Shields for the project that included her property on Mt. Vernon. Her only regret is that her entire block did not participate. She hopes that some time in the future the entire block will be improved to allow for better movement of traffic on this busy street. She expressed special thanks to Roquet Paving and to E-west landscaping. Both were very thoughtful and accommodating to her needs. The finished product is very nice. REPORTS 5A. Committee Reports 1. Historical and Cultural Activities Committee a. Minutes of September 14, 2009 CC-2009-133 MOTION BY MAYOR PRO TEM GARCIA, SECOND BY COUNCILMEMBER CORTES,CARRIED 4-0-1-0(COUNCILMEMBER MILLER WAS ABSENT),to accept the September 14, 2009 Minutes of the Historical and Cultural Activities Committee. b. Appoint Member- Reagan CC-2009-134 MOTION BY MAYOR PRO TEM GARCIA, SECOND BY COUNCILMEMBER CORTES,CARRIED 4-0-1-0(COUNCILMEMBER MILLER WAS ABSENT),to appoint Margaret "Peggy" Reagan to fill an unexpired term on the Historical and Cultural Activities Committee to expire on June 30, 2012. 2. Emergency Operations Committee a. Minutes of September 1, 2009 CC-2009-135 MOTION BY COUNCILMEMBER STANCKIEWITZ, SECOND BY MAYOR PRO TEM GARCIA, CARRIED 4-0-1-0 (COUNCILMEMBER MILLER WAS ABSENT), to accept the September 1, 2009 Minutes of the Emergency Operations Committee. 5B. Council Reports Mayor Pro Tern Garcia, reported that she had the honor of going to the Citizen's on Patrol graduation on September 28, 2009. Nina Mendoza did a wonderful job along with Captain Tanguay. There were 8 graduates. She wanted to publicly thank Nina for all of her hard work. She reported that she had the opportunity to go with Raina when she gave out the Community Day Art Contest Winners. It was great to see all of the wonderful children of Council Minutes 10/13/2009 Page 5 the community. She complimented Burrtec on their newsletter and reminded everyone of the Community Clean-up day which will be held on Saturday, October 24, 2009. She reminded everyone that the Halloween Haunt will be held on October 30, 2009 at Richard Rollins Park from 5:30 p.m. to 8:30 p.m. She reported that the Country Fair will be held on Saturday,November 7,2009. She thanked Brenda,Tracey and Jo for a doing a good job on the Volunteer Appreciation BBQ. She encouraged residents to get involved with the Grand Terrace Community Players. Councilmember Cortes,thanked Joyce for her outreach in trying to resolve the graffiti issue on the bridge. She reported that she met with Debra Barmack who informed her that BNSF has agreed to work with Caltrans to remove the graffiti off the bridge. Once they remove the graffiti they are going to put a special film on the bridge so that no graffiti will be put back on there. SANBAG is trying to work with Caltrans to try and close one lane while removing the graffiti. She is unsure when this will happen. Union Pacific is not in agreement to participate at this time. Councilmember Stanckiewitz,reported that on Wednesday, October 14, 2009 from 5:30 to 8:00 p.m. C.E.R.T. will be holding a disaster preparedness presentation. Monday night is Grand Terrace Market Night at Azure Hills from 5:30 p.m. to 8:30 p.m. On October 17, 2009, from 8:30 a.m. to 12 noon they will be doing wall painting on Mt. Vernon. All \1 volunteers should meet at Center City Court around 8:30 a.m. He reported that the Colton Kaiser is giving flu shots from 8:30 a.m. to 11:30 a.m. and 1:30 p.m.to 4:30 p.m. daily,the CVS Pharmacy in Grand Terrace is offering flu shots from 8:00 a.m. to 9:00 p.m. at a cost of$30.00 with insurance it will be less. The Urgent Care clinic on Barton Road will also be giving clinics once their supplies arrive. Mayor Ferre,reported that she attended the open house for Christ the Reedemer Church. She stated that it is beautiful. This Sunday before Mass they will be having a celebration. PUBLIC HEARINGS -None UNFINISHED.BUSINESS 7A. Senior Center Community Gardens CC-2009-136 MOTION BY MAYOR PRO TEM GARCIA, SECOND BY COUNCILMEMBER CORTES,CARRIED 4-0-1-0(COUNCILMEMBER MILLER WAS ABSENT),to approve the Policies and Procedural Documents for the Senior Center Community Gardens and appropriate $4,200 from the Unreserved Undesignated General Fund Reserve Balance. NEW BUSINESS Council Minutes 10/13/2009 Page 6 8A. Personnel Rules and Regulations Update CC-2009-137 MOTION BY COUNCILMEMBER STANCKIEWITZ, SECOND BY MAYOR PRO TEM GARCIA, CARRIED 4-0-1-0 (COUNCILMEMBER MILLER WAS ABSENT),to table the Wage and Benefit Survey until the City Manager position has been filled. 8B. Support for Highgrove Metrolink Station Councilmember Cortes indicated that a letter from SANBAG was received with regards to the consideration of a Highgrove Metrolink Station and is on file with the City. It was the consensus of the Council that if RCTC and SANBAG decide to Support a Highgrove Metrolink Station in the future that the City of Grand Terrace would be supportive of the same at that time. This was an informational item and there was no formal action taken by the Council. 8C. SANBAG Local Stimulus Program CC-2009-138 MOTION BY COUNCILMEMBER CORTES,SECOND BY COUNCILMEMBER STANCKIEWITZ, CARRIED 4-0-1-0 (COUNCILMEMBER MILLER WAS ABSENT), to approve a Resolution approving the following list of projects to be forwarded to SANBAG as the City's Local Stimulus Program: 1. Grind and resurface 30' foot wide vehicular lanes on Barton Road from the I-215 Barton Road overpass to the Union Pacific Rail Road Bridge. Estimated $47,100. 2. Grind and resurface Michigan Avenue from Van Buren Street to Pico Street after Riverside Highland Water Company installs a new 18-inch water line to begin in early 2010. Estimated costs $61,900. 3. Grind and resurface Michigan Avenue from Pico Street after Riverside Highland Water Company installs a new 18-inch water line to begin in early 2011. 4. Grind and resurface 1800 square feet of paving on Preston Street south of Barton Road and install five new traffic signal loops to replace the underground signal conduit that has deteriorated. Estimated cost$20,000. 5. Overlay the public alley between Holly Street and Brentwood Street. Estimated cost $9,175. Council Minutes 10/13/2009 Page 7 6. Remove and replace broken sidewalk segments at various locations throughout the City. Estimated cost$37,200. 8D. Proposal to Allocate and Reprogram Available Funds from the Current Community Development Block Grant Program(CDBG) Jeffrey McConnell, Walnut Avenue, thanked Community and Economic Development Director Joyce Powers for thinking about the North West quadrant of the City. He feels that it is a good idea to use grant money instead of City money to re-pave the road. He gave staff a three page list a few years ago with safety hazards and he would really appreciate it if staff could review that list and take care some of those issues. The trucking issue is still a problem in that area and he believes that custom signs would be helpful. Rita Schwark, 21952 Grand Terrace Road, stated that when and if Grand Terrace Road is fixed, signs and other means to be made to keep the large semi-trucks off of the road. CC-2009-139 MOTION BY COUNCILMEMBER STANCKIEWITZ, SECOND BY COUNCILMEMBER CORTES,CARRIED 4-0-1-0(COUNCILMEMBER MILLER WAS ABSENT), to authorize staff to forward a request to the County of San Bernardino Department of Community Development and Housing to reprogram funds and program available Community Development Block Grant Funds to include $80,000 for the Senior Center Kitchen Project and$122,469 for the Reconstruction of Grand Terrace Road,west of I-215 and North of Barton Road. Councilman Jim Miller arrived at the meeting at approximately 7:45 p.m. for the Closed Session Item Selection of City Manager. CLOSED SESSION 9A. Selection of City Manager Mayor Ferrd announced that the Council met in Closed Session to discuss the Selection of City Manager and that there was no reportable action taken. Mayor Ferrd adjourned the meeting at 8:50 p.m., until the next City Council Meeting which is scheduled to be held on Tuesday, October 27, 2009 at 6:00 p.m. CITY CLERK of the City of Grand Terrace MAYOR of the City of Grand Terrace N C�LIIFORY•IA AGENDA REPORT MEETING DATE: October 27,2009 Council Item (X) CRA Item ( ) TITLE: REQUEST A WORKSHOP FOR NOVEMBER 10,2009 AT 4:00 P.M. WITH CITY COUNCIL TO REVIEW PROPOSED SOLID WASTE FRANCHISE AGREEMENT. PRESENTED BY: Public Works Department RECOMMENDATION: ACCEPT AND SET THE DATE OF NOVEMBER 10,2009 AT 4:00 P.M. TO CONDUCT SOLID WASTE FRANCHISE AGREEMENT WORKSHOP. BACKGROUND: Burrtec Waste Industries Incorporated has requested changes to the current solid waste franchise agreement. Due to the length and content of the agreement, Staff is proposing a workshop to discuss the changes which relate to alternative fuel vehicles, new trash containers, etc. The workshop is being proposed to allow time for review of the agreement. ,It is anticipated that the workshop will take approximately one hour or less to conduct. Respectfully submitted, Ri hard Shields Director of Building and Safety/Public Works Manager Approval: Bernie Simon Acting City Manager COUNCIL AGENDA ITEM NO.,.-2 G >Y(yTry`FW,�1 T' iALIIFORYIA AGENDA REPORT MEETING DATE: October 27,2009 Council Item (X) CRA Item ( ) TITLE: Five-Year Capital Project Needs Analysis and Capital Improvement Program. PRESENTED BY: Public Works Department. RECOMMENDATION: As part of the Measure I,Strategic Plan and Expenditure Plan, Staff recommends the City Council; (1) Adopt Resolution No. setting forth the Five- Year Capitol Projects Needs Analysis,(CPNA), and Regional Transpiration Improvement Program, (RTIP). (2) Adopt Resolution No. setting forth the Capital Improvement Program, (CIP). (3) Approve the Measure I Capital Improvement Plan Expenditure Strategy. BACKGROUND: San Bernardino County voters approved the passage of Measure I, November of 2004 authorizing San Bernardino Associated Governments, acting as the San Bernardino County Transportation Authority, to impose a one-half of one-percent retail transactions and use tax applicable in the incorporated and unincorporated territory of the County of San Bernardino. Each year, the city is required to adopt a revised or updated CPNA and CIP. This year, along with the required documents, a Measure I Capital Improvement Plan Expenditure Strategy is to be adopted. The newly adopted resolutions are then forwarded to SANBAG showing the City has complied with the adopted authority. DISCUSSION: Revenue from the tax can only be used for transportation improvement and traffic management programs- authorized in the Expenditure Plans set forth in Ordinance No. 04-01 and Ordinance 89-1 of the Authority. The Strategic Plan and Expenditure Plan requires each local jurisdiction COUNCIL AGENDA ITEM NO. 1 applying for revenue from the Valley Major Street and Freeway Interchange Programs to annually adopt and update a Five-Year Capital Project Needs Analysis and a Six-Year Capital Improvement Program. Staff has identified areas in the City where these funds would improve traffic management. The first project is widening Michigan Avenue from Commerce Way to DeBerry Street to (4) four lanes. The second project is a grade separation at the BNSF railroad on Main Street west of Taylor Street. Annually SANBAG Staff works with Southern California Association of Governments (SCAG) to update the Regional Transportation Improvement Program, (RTIP). This is an analysis for a regional capital improvement plan. The projects we have included in the CPNA should also be included in the RTIP per the instructions of SANBAG Staff. Therefore, our Resolution also requests this action. FISCAL IMPACT: Measure I Fiscal Impact Statement is for (2009 through 2015). Under this five-year and six year plan the City is committing to obligate $550,056 from its development impact fees (circulation improvement) account over a five-year period to advance the design and construction of major circulation improvement projects. The City will receive $1,031,085 in Measure I subventions for these projects. The City's commitment to obligate development impact fees is a requirement to receive the Measure I funds. The Measure I Five-Year Plan is updated annually. If development impact fee revenues are not _ generated at the anticipated pace, the City's plan can be scaled back accordingly. Re a sub i e 4 , 14 Richard Shie ds, Director of Building and Safety/Public Works Manager Approval: Bernie Simon Acting City Manager ATTACHMENTS: Measure I Five-Year Plan Measure I Analysis Chart Measure I Capitol Improvement Plan Expenditure Strategy Resolution No. Resolution No. e RESOLUTION NO. A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF GRAND TERRACE, STATE OF CALIFORNIA, ADOPTING THE FIVE-YEAR CAPITAL PROJECT NEEDS ANALYSIS (CPNA) AND REGIONAL TRANSPORTATION IMPROVEMENT PROGRAM, (RTIP) WHEREAS, San Bernardino County voters approved passage of Measure I in November of 2004 authorizing San Bernardino Associated Governments, acting as the San Bernardino Transportation Authority, to impose a one-half of one percent retail transactions and use tax applicable in the incorporated and unincorporated territory of the County of San Bernardino, and WHEREAS, revenues from the tax can only be used for transportation improvements and traffic management programs authorized in the Expenditures Plan set forth in Ordinance No. 04-01 of the authority, and WHEREAS, the Strategic Plan requires each local jurisdiction applying for revenue from the Valley Major Street and Freeway Interchange Programs to annually adopt and update a Five-Year Capital Project Needs Analysis. WHEREAS, SANBAG has requested the City of Grand Terrace to identify projects to be included in the Southern California Association of Governments, RTIP, and the City CPNA projects meet the criteria for inclusion in the RTIP. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Grand Terrace, .State of Californian, hereby adopts the Measure I Five-Year Capital Projects Needs Analysis, a copy of which is attached to this resolution, and also submit the list to SANBAG for inclusion in the RTIP. APPROVED AND ADOPTED this day of , 2009. MAYOR ATTEST: CITY CLERK City of Grand Terrace Capital Projects Needs Anatysla_-Major Street Projects - Submitted:October 2008 1.Project Michigan Avenue from Commerce_ Way to De Berry St widen to four lanes ! --.... FY 10/11 FY 11/12 FY 12/13 - FY 13/14 - --FY 14/15--- - - Plan Approval(Environmental Determination 'Development Impact Fee $ 8,000.00 Measure I $ 12,000.00 Other - -.. ----- --- -- ------- ----- -- Plans,Specifications,and Estimates(PS&E) - -- Development Impact Fee $ 58,000.00 ----- Measure[ $ 87,000.00 ----- -- Other ----- --- -- - - Right of Way Acquisition(ROW) _ ---- ---- -- Development Impact Fee _--— -- ---- -- - - --- --- - ----- Measure IOth - — — — - -- - ------ -- -------a sure --- -------- --- - — -- -- --- Construction Const Development Impact Fee $ 416,056.00 _ Measure 1 $ 624,085.00 Other Total _ _ — Total Development Impact Fee $ 66,000.00 $ 416,056.00 ---_ $ 482,056.00 Measure 1 $ 99,000.00 $ 624,085.00 $ 723,085.00 _ Total funding- $ 1,205,141.00 _ ;Project Cost 1 $1.205,141.00 Notes: - Remaining_bal. 1$ General Fund revenues to be used;reimbursement when development impact fees are received. _ _---T -t--. 2.Project:Main Street Grade Separation FY 10/11 !FY 11/12 FY 12/13 FY 13/14 ;FY 14/15 Plan Approval/Environmental Determination SPA/ED) - _ Development Impact Fee — $ 68,000.00 Measure 1 _ $ 308,000.00 Other WRCOG TUMF $ 376,000.00 Plans,Specifications,and Estimates P( SE) - -- - _ --_ Development Impact Fee Measure I Other WRCOG TUM R_ight of Way Acquisition(ROW) --- _-- -- - - - -_D_evelopment Impact Fee _ -- - Measure I Other WRCOG TUMF _ Construction(Const) Development Impact Fee Measure I Other WRCOG TUMF Total Total —Development Impel Fee _-- $ 68,000.00 $ 68,000.00 Measure 1 _ $ 308,000.00 _ $ 308,000.00 Other WRCOG TUM $ $ 376,000.00 $ 376,000.00 _ ! Total funding $ 752,000.00 Project Cost $20,435,000.00 -T Remaining bal. $ 19,683,000.00 Notes: SANBAG Board a roved railroad grade separation project. -� -r-- L RESOLUTION NO. A RESOLUTION OF THE CITY OF GRAND TERRACE STATE OF CALIFORNIA, ADOPTING THE SIX YEAR CAPITAL IMPROVEMENT PROGRAM. WHEREAS, San Bernardino County voters approved passage of Measure I, 1990- 2010 in November 1989 and renewed as Measure I, 2010-2040 in November 2004 authorizing San Bernardino Associated Governments, acting as the San Bernardino County Transportation Authority, to impose a one-half of one percent retail transaction and use tax applicable in the incorporated and unincorporated territory of the County of San Bernardino, and WHEREAS, revenues from the tax can only be used for transportation improvement and traffic management programs authorized in the Expenditure Plans set forth in Ordinance No 89-1 of the Authority, and WHEREAS, Expenditure Plans of the Ordinance require each local jurisdiction receiving revenue from the tax to expand those funds pursuant to a Capital Improvement Program adopted by resolution of the local jurisdiction, and WHEREAS, Expenditure Plans of the Ordinance also require that each local jurisdiction } annually adopt and update its Capital Improvement Plan, NOW, THEREFORE, BE IT RESOLVED that the Council of the City of Grand Terrace, State of California, hereby adopts the Measure I, Six Year Capital Improvement Program, a copy of which is attached to this resolution. APPROVED AND ADOPTED this day of . 2009. MAYOR ATTEST: CITY CLERK 5 ITY OD ':Rk . TE RAGE MEA I Fcv YEAR PLAN 2009/2015 YEAR STREET & LIMITS IMPROVEMENT COST ESTIMATE 2009/2010 2010/2011 Michigan Ave-Commerce Way to De Berry Widen to four-lanes(PA/ED/PS&E) $165,000 Barton Road @ UPRR Replace existing grade separation for $4,443,000 seismic upgrade(Construction) 2011/2012 Michigan Ave-Commerce Way to De Berry Widen to four-lanes(Construction) $1,040,141 2012/2013 Main Street @ BNSF Construct grade separation (PA/ED) $376,000 2013/2014 Main Street @ BNSF Construct grade separation (PA/ED) $376,000 2014/2016 TOTAL $6,400,141 Contact: Ed Studor Measure I Revenue Estimate (6 years) Transportation Planner(Consultant) m iplanvalley2009-2015-EMP (951)640-1060 Resolution Number miplanvalley2009-2015-EMP V CITY OF GRAND TERRACE MEASURE I CAPITAL IMPROVEMENT PLAN EXPENDITURE STRATEGY The City of Grand Terrace has adopted a Measure I expenditure strategy which focuses on the delivery of significant capital improvements on a pay-as-you-go basis. The City intends to accumulate Measure I revenues for arterial improvements to construct missing links, such as the Commerce Way extension, and for capacity expansion as well as safety improvements. f J �ALI'FORVIA AGENDA REPORT MEETING DATE: October 27,2009 Council Item (X) CRA Item () TITLE: GRAND TERRACE ROAD PARKING SIGNS PRESENTED BY: Public Works Department RECOMMENDATION: 1) DIRECT STAFF TO INSTALL "NO PARKING", "NO STOPPING" SIGNS AND A RED CURB ON PORTIONS OF GRAND TERRACE ROAD. 2) DIRECT STAFF TO CONDUCT A SPEED PROFILE SURVEY ON GRAND TERRACE ROAD. BACKGROUND: The Blue ;Mountain Senior Housing Complex has recently been opened on the south side of Grand Terrace Road. This site is adjacent to Terrace View Elementary School. Since the opening of the senior housing project, complaints have been received concerning: 1) lack of sufficient unobstructed sight distance for vehicles exiting the complex's eastern driveway onto Grand Terrace Road; 2) lack of sufficient unobstructed sight distance for westbound vehicles entering the intersection of Grand Terrace Road at Mount Vernon Avenue. ,I DISCUSSION: Currently Grand Terrace Road is two lanes wide with full on street parking. There is no posted speed limit on Grand Terrace Road. Section CVC 22352 mandating a 25-mph school speed zone is applicable when children are present in front of the school site. Otherwise Section CVC 22350 is applicable for Grand Terrace Road which states that no person shall drive a vehicle upon a highway at a speed greater than is reasonable or prudent having due regard for weather, visibility, traffic on, and the surface and width of, the highway, and in no event at a speed which endangers the safety of persons or property." The minimum unobstructed sight distance requirement at 25 mph is 150 feet. This minimum is for both the eastbound and westbound approaches on Grand Terrace Road to the senior center east driveway. However, if vehicles are parked adjacent to the driveway, the sight distance would become obstructed. COUNCIL AGENDA ITELI NO.70 1 The problems cited above are caused by parked vehicles that pickup students at the start,and end of the school day. These vehicles obstruct the sight distance at the senior housing driveway and the westbound approach to Grand Terrace Road at the Mount Vernon Avenue intersection. These vehicles at times also obstruct the travel way on Grand Terrace Road. A part of the westbound Grand Terrace Road approaching the intersection with Mount Vernon Avenue does not have adequate width. RECOMMENDATIONS: Remedial steps are recommended entailing installation of a combination of"No Stopping and "No Parking zones with enhanced police enforcement. "No Stopping zones are recommended at locations where it is necessary to preserve the unobstructed sight distance at all times, or to ensure that there is adequate travel way -for moving vehicles. "No Parking" zones are recommended at locations which may be used as loading zones. Per the California Vehicle Code (CVC), City Council is required to approve designation of these on street parking restrictions for them to be legally enforceable. Specific recommendations include the following as shown on Exhibit"A"attached. : 1) Designate "No Stopping zone on the east and west sides of the senior center east driveway. These "No Stopping" areas should be a minimum of 30 feet on both sides of the driveway. 2) Designate "No Stopping zone on the north side of Grand Terrace Road from the curb return at Mount Vernon Avenue to 195 feet east. 3) Install red curb on the south side of the Grand Terrace Road from the curb return at Mt.Vernon Avenue to within one car length of the residents driveway. 4) Encourage the sheriffs department to enhance traffic enforcement on Grand Terrace Road for an interim period to encourage driver compliance with the new parking restrictions. 5) Perform speed profile surveys to determine appropriate speed zoning for Grand Terrace Road FISCAL IMPACT: It is estimated that four (4) signs will be needed at an approximate cost of$800. If the speed profile study is approved, the cost of the speed study is approximately $1,500. The cost for the entire review of traffic and parking on Grand Terrace Road to date is $2,500.00. Respectfully submitted, Rioiard Shields Director of Building and Safety/Public Works .Ot4 I43TI A0030 11-4`J'i6-00 i J/ Manager Approval: Bernie Simon Acting City Manager ATTACHMENTS: Exhibit"A" 3 EXHIBIT "A" Grand Terrace Road, East of Mt. Vernon Avenue—Proposed Parking Controls J. QQ `3_1 0111, 1 -.5"a S1_ fAM A MR ft-0 fjOR"ZA!ffi`R W W4 _'A -. - �W RX MME lk Wi� 3, M" cm North side 193feet rust of intersection f7- Oro," MI mill,T w� gym ,e WC No parking, no stopping signs 30 each side of rul Red curb to within Ph 0, - one car length of driveway . i N'T RI-0 ill 4 ' mAd "&Ala Zb Y i CALIFORNIA AGENDA REPORT MEETING DATE: ;October 27, 20091 Council Item ( ) CRA Item ~ , TITLE: iA RESOLUTION APPROVING THE FORM OF AND AUTHORIZING THE EXECUTION AND DELIVERY OF A PURCHASE AND SALE AGREEMENT AND RELATED DOCUMENTS WITH RESPECT TO THE SALE OF THE Seller'S PROPOSITION IA RECEIVABLE FROM THE STATE; AND DIRECTING AND AUTHORIZING CERTAIN OTHER ACTIONS IN CONNECTION THEREWITH. PRESENTED BY: !Bernie Simon, Finance Director and John Harper, City Attorney RECOMMENDATION: j Approve program and Adopt Resolution to Participate in Proposition IA Receivable Financing j BACKGROUND: Property tax revenue representing 8% or approximately $145,453 will be borrowed by the state in the current fiscal year 2009-10. The California Communities joint powers authority is offering to finance the receivable at no cost to the participating agencies. The City would receive the borrowed funds in the second half of 2010 in exchange for the 2% interest due from the state that would be received in 2012. DISCUSSION: ;Proposition 1A Suspension: Proposition lA was passed by California voters in 2004 to ensure local property tax and sales tax revenues remain with local government thereby safeguarding funding for public safety, health, libraries, parks, and other local services. Provisions can only be suspended if the Governor declares a fiscal necessity and two-thirds Of the Legislature concur. The emergency suspension of Proposition IA was passed by the Legislature and signed by the Governor as ABX4 14 and ABX4 15 as part of the 2009-10 budget package on July 28, 2009. Under the provision, the State will borrow 8% of the amount of property tax revenue apportioned to cities, counties and special districts. The state will be required to repay those obligations plus interest by June 30, 2013. COUNCIL AGENDA ITEM NO. 1 The legislature is currently reviewing a clean-up bill, SB67 which would provide for a few critical changes to the enacted legislation, including but not limited to providing for: financing to occur in November; county auditor certification of amount of Prop IA receivable; tax-exempt structure; California Communities as the only issuer; more flexibility on bond structure (interest payments, state payment date and redemption features); sales among local agencies; and revision to the hardship mechanism. While SB 67 has not yet been passed and signed into law, California Communities expects that to occur prior to funding the Program. If for any reason SB 67 is not enacted and the bonds cannot be sold by December 31, 2009, all approved documents placed in escrow with Transaction counsel will be of no force and effect and will be destroyed. Proposition IA Securitization Program: Authorized under ABX4 14 and ABX4 15, the Proposition lA Securitization Program was instituted by California Communities to enable Local Agencies to sell their respective Proposition IA Receivables to California Communities. Currently, SB67 is being considered to clarify specific aspects of ABX4 14 and ABX4 15. Under the Securitization Program, California Communities will simultaneously purchase the Proposition 1A Receivables, issue bonds ("Prop lA Bonds") and provide each local agency with the cash proceeds in two equal installments, on January 15, 2010 and May 3, 2010 (to coincide with the dates that the State will be shifting property tax from local agencies). The purchase price paid to the local agencies will equal 100% of the amount of the property tax reduction. All transaction costs of issuance and interest will be paid by the State of California. Participating local agencies will have no obligation on the bonds and no credit exposure to the State. If the City sells its Proposition IA Receivable under the Proposition lA Securitization Program, California Communities will pledge the City's Proposition IA Receivable to secure the repayment of a corresponding amount of the Prop IA Bonds. The City's sale of its Proposition IA Receivable will be irrevocable. Bondholders will have no recourse to the City if the State does not make the Proposition 1 A Repayment. Proposition 1A Program Sponsor: California Statewide Communities Development Authority ("California Communities") is a joint powers authority sponsored by the California State Association of Counties and the League of California Cities. The member agencies of California Communities include approximately 230 cities and 54 counties throughout California. Benefits of Participation in the Proposition I Securitization Program: The benefits to the City of participation in the Proposition 1A Securitization Program includes: Immediate cash relief — the sale of the City's Proposition lA Receivable will provide the [City/County/Special District] with 100% of its Proposition IA Receivable in two equal installments, on January 15, 2010 and May 3, 2010. Mitigates impact of 8% property tax withholding in January and May— Per ABX4 14 and ABX4 15 and the proposed clean-up legislation SB 67, the State will withhold 8% of property tax receivables due to Cities, Counties, and Special Districts under Proposition IA. The financing outlines bond proceeds to be distributed to coincide with the dates that the State will be shifting property tax from local agencies. All costs of financing borne by the State of California. The City will not have to pay any interest cost or costs of issuance in connection with it participation. tr 0 + 14 :Vl:,DTI I-_C3� -,IF?�a ._+ ,_.� �,, No obligation on Bonds. The City has no obligation with respect to the payment of the bonds, nor any reporting, disclosure or other compliance obligations associated with the bonds. Proceeds of the Sale of the City's Proposition IA Receivable: Upon delivery of the Proposition IA Bonds, California Communities will make available to the [City/County/Special District] its fixed purchase price, which will equal 100% of the local agency's Proposition IA Receivable. These funds may be used for any lawful purpose of the [City/County/District] and are not restricted by the program. Proposed Proposition 1 A Receivables Sale Resolution: 1 The proposed Proposition 1 A Receivables Sale Resolution: (1) Authorizes the sale of the City's Proposition IA Receivable to California Communities for 100% of its receivable; (2) Approves the form, and directs the execution and delivery, of the Purchase and Sale Agreement with California Communities and related documents; (3) Authorizes and directs any Authorized Officer to send, or to cause to be sent, an irrevocable written instruction required by statute to the State Controller notifying the State of the sale of the Proposition IA Receivable and instructing the disbursement of the Proposition IA Receivable to the Proposition 1 A Bond Trustee; (4) Appoints certain City officers and officials as Authorized Officers for purposes of signing documents; and (5) Authorizes miscellaneous related actions and makes certain ratifications, findings and determinations required by law. Proposed Purchase and Sale Agreement The proposed Purchase and Sale Agreement: (1) Provides for the sale of the Proposition 1 A Receivable to California Communities; (2) Contains representations and warranties of the City to assure California Communities that the Proposition 1A Receivable has not been previously sold, is not encumbered, that no litigation or other actions is pending or threatened to disrupt the transaction and the this is an arm's length "true sale of the Proposition l A Receivable. (3) Provides mechanics for payment of the Purchase Price (4) Contains other miscellaneous provisions. Proposed Purchase and Sale Agreement Exhibits: The proposed Proposition I Purchase and Sale Agreement Exhibits: 3 (B 1) Opinion of Counsel: This is an opinion of the counsel to the local agency (which may be an in-house counsel or an outside counsel) covering basic approval of the documents, litigation, and enforceability of the document against the Seller. It will be dated as of the Pricing date of the bonds (currently expected to be November 10, 2009). (132) Bring down Opinion: This simply "brings down" the opinions to the closing date (currently expected to be November 19, 2009). (C1) Certificate of the Clerk of the Local Agency: A certificate of the Clerk confirming that the resolution was duly adopted and is in full force and effect. (C2) Seller Certificate: A certification of the Seller dated as of the Pricing Date confirming that the representations and warranties of the Seller are true as of the Pricing Date, confirming authority to sign, confirming due approval of the resolution and providing payment instructions. (0) Bill of Sale and Bring down Certificate: Certificate that brings the certifications of C2 down to the Closing Date and confirms the sale of the Proposition lA Receivable as of the Closing Date. (D) Irrevocable Instructions to the Controller: Required in order to let the State Controller know that the Proposition 1A Receivable has been sold and directing the State to make payment of the receivable to the Trustee on behalf of the Purchaser. (E) Escrow Instruction Letter: Instructs Transaction Counsel (Orrick) to hold all documents in escrow until closing, and if closing does not occur by December 31, 2009 for any reason, to destroy all documents. j FISCAL IMPACT: No impact other than staff time. Respectfully submitted, Bernie Simon Finance Director and Acting City Manager and John Harper, City Attorney i Manager Approval: Bernie Simon Acting City Manager ATTACHMENTS: 4 Estimated FY09-10 City & County Impacts of the State Dept of Finance Draft Proposed Local Property Tax Borrowing Under Proposition IA(2004) Note: Prop IA stipulates a maximum amount that may be borrowed statewide. It does not specify how that amount might be allocated. These figures assume an 8%per jurisdiction allocation as implied in the DOF proposal. See notes ao$e 15. Property Taxes Allocated -FY2008-09 estimated Total Sec/Unsec Prop Tax in SalesTax Total Est. Impact City/County PropertyTax 1 Lieu of VLF 2 TripleFlip 3 2008-09 at 8% -CITRUS HEIGHTS --••5,215,233 ----------7,262,850 -----------3:032,298 15,510,381 --1,240,831 ........................................• --.... ......- ------.............----- ELKGROVE 12,755,892 11,612,754 4,872,418 29,241,064 2,339,285 FOLSOM 17,619,058 5,373,329 4,564,179 27,556,566 2,204,525 GALT 2,604,099 1,854,547 255,615 4,714,261 377,141 ISLETON 288,679 87,660 39,478 415,817 33,265 RANCHO CORDOVA 8,810,000 5,186,000 2,404,631 16,400,631 1,312,050 ----------------------------------------------------••---•--------------•-•------------------•---•----------•------•----------•------••-- SACRAMENTO _ 106,669,894 36,733,553 16,980,694 160,384,141 12,830,731 County of SACRAMENTO 239,715,266 137,342,470 19,518,347 396,576,083 31,726,087 HOLLISTER 1,212,273 2,581,083 964,676 4,758,031 380,643 SAN JUAN BAUTISTA 360,677 131,316 _ 30,398 _ 522,392 41,791 County of SAN BENITO 9,563,846 ��-5,585,586 �^ 439,024 15,588,456 �^ 1.247,076 T ADELANTO 277,528 2,134,532 351,730 2,763,790 221,103 T •------------ UEW-----------------------------------------------------------••-------------••------------•-.-.-------------------------- APPLE VALLEY 5,023,513 6,340,352 1.152,138 12,516,053 1,001,284 BARSTOW 1,277,923 �1,836,408 1,607,437 4,721,768 � 377,741 BIG BEAR LAKE .�2,708,497 492,513 491,978 3,692,988 295,439 --.....--•.................................•----................-•-•--------........-------.......-•---•---............................. CHINO 8.350,130 6,556,028 4,009,375 18,915,533 1,513,243 ---------•........................•------------....-----.---.........-------.---...--------..---•------------•-•-•••-•-------...--•....-.. CHINO HILLS 4,033,291 6,097,480 1...... 11,476,092 918,087 COLTON 3,757,863 4,307,040 2,444,332 10,509,234 840,739 ....................................•-----------------------.........-•-------------••--------------........-------.-...-.......--------- FONTANA 2,759,84. 16,222,41. 6,37... 25,3... . 2,028,593 GRAND TERRACE 609,115 968,050 240,994 1,818,159 145,453 ---•...........................................•------------........-•----------------.....--•--•--------...-••---,-----------...•---•---- HESPERIA 1,114,994 8,443,626 ........ 11,182397 894,592 HIGHLAND 4,019,538 4.510,080 392,169 8,921,787 713,743 LOMA LINDA 1,283,160 1,748,082 836,638 3,867,880 309,430 MONTCLAIR 2,679,709 2,845,653 3,108,126 8,633,488 690,679 NEEDLES 1,352,256 _ 453,9_51_ 120,61_4_ _1,926,821 _ 154,146 ONTARIO 25,297.246 ' :._ 13,496,025 16,557,785 55,351,056 4,428,085 RANCHO CUCAMONGA 8,742,48915,025,046 6,360,268 30,127,803 2,410,224� REDLANDS 15,602,873 6,353,119 2,743,435 24,699,427 1,975,954 ---------•------------------------------------------------•-------------------•-----------------•----------------•-•--------------------- RIALTO 7,691,620 9,079,332 2,847,882 _I9.618,834 _1,569,507 SAN BERNARDINO� T 15,759,24217,781,213 7,596,389 �41,136,844 3,290,948 _T_WENTYNINE PALMS 2,073,943 2,628,414 235,000 4,937,357 394,989� UPLAND 11,788,291 6,963,099 2,684,777 30,436.167 _1,634,893 T VICTORVILLE� 22382,616 10,233,4404 w T`5.103.259 17,7199,279 1,417,542� -YUCAIPA_ ��^��----_��`6_,191,855 -_<-^�-4,391,229 671,583 11,254,667 �« 900,373 YUCCA VALLEY- _ _ _3,153,773 _ 1,811,486 _ _791.857 _5,757,115 460,569 County of SAN BERNARDINO� 198,704.002^ 207,947,763 T 5,422,760 412.074526 •� 32,965.962 T .......................................................................................................................................... May 13,2009 rev 8:30pm californiacitlfinance.com 10 of 15 E cALlFoiirJlA Think of us tirst I "l for providing solutions +rp Login Public Agency Programs Proposition 1A Seeuritization Program CaLease Pension Obligation Update—Wednesday,October 14,2009 STAR Bonds SB 67 PASSES xys ar Statewide Community Infrastructure Program We are pleased to announce that SB 67 passed the (SCIP) I Senate on Wednesday,October 14,2009.The bill is now EY*W LUW4r �- Total Road Improvement being expedited through the Governor's office.We will �°"w� Programs(TRIP) notify you when the bill is signed and becomes law. TRANS UPDATES: Assuming the Governor signs the bill soon,the Proposition ✓ FAQs (UPDAI'ED42b09) Water I Wastewater 1A Receivables Securftization transaction will proceed as planned,based on the schedule as follows: V HARDsi-up WAivE'R INFO Private Activity Programs ✓INDENTURE FOR BONDS • Local agency approved and signed docs must ✓SAt t�E DOcumElmm 501(c)(3)Nonprofit be received by Orrick,Herrington&Sutcliffe by Housing Bonds November S.2009 SwripliePurdmeand SWO Agmement IDBs/Manufacturing • Bond Pricing estimated:November 16,2009 .Sarnpte Sale Re on Exempt Facilities/Solid • Bond Closing estimated:November 19,2009 •Sample StO Repmt Waste • Distribution of Bond Proceeds to local agencies: Community Benefit January 15.2010 and May 3,2010 Member Activity Report As of October 13,2009,approximately 1,116 agencies have enrolled in the California Community Benefit Report Communities Prop 1A Securdization Program.This number is comprised of 57 counties,352 Search Affordable Housing cities,and 707 special districts.Enrolled county and city volume amounts to an estimated$1.5 billion(we are not able to estimate special district dollar volume at this time).Click here to see.a Post Issuance Compliance list of all enrolled agencies.The lift is updated daily on the California Communities website. Policies 8 Fees , Important Information for Hardship Cases ' Until the Governor signs SB 67 into law,we recommend that Local Agencies proceed under Applications current law(AB 15)with regards to Hardship Applications.Any Local Agency that believes it would qualify for a hardship exemption should file for such determination as required by AS 15 via General Information written requests to the Director of Finance.All requests must be received by October 15,2009,as Media Center provided in AS 15.Click here for Hardship Waiver Information. Contact Us Overview of the Proposition 1A Securitization Program For Cities,Counties,and Special Districts On July 28.2009,Governor Arnold Schwarzenegger signed the 2009-2010 California State Budget(the"Budget"),pursuant to which cities,counties,and special districts(`local governments")will be required to lend property tax revenues to the State,with the promise of [� repayment in three years. .! M As part of the Budget package,local governments have the opportunity to receive the monies ►iiLl being borrowed by the State upfront through a securitization financing offered by California Communities,a joint powers,authority sponsored by the League of California Cities and California State Association of Counties.California Communities will issue bonds securdizing the future payments by the State and remit the proceeds of the bonds to the local governments who opt to .participate in the securitization.The State will then repay the bondholders,to pay off the outstanding bonds including interest costs. Key Points: • The purchase price paid to local agencies will be 100%of the amount of the property tax reduction. • There are no costs of Issuance to participating local agencies.The only costs will be internal personnel time,and for agencies that contract for attorney services,there would be local agency counsel costs.All Interest and bond issuance costs will be paid by the state. • Participating agencies have no obligation on the bonds and no credit exposure to the State. • Each interested agency may enroll now to receive the required legal documents. • Enrollment does not commit the local agency to the program. • All executed documents must be returned to the California Communities'Bond Counsel on or prior to November 6,2009. • Subject to the enactment of SB 67,proceeds will be mailed or wired on January 15th, 2010(60%of proceeds)and May 3rd 2010(50%of proceeds). 7 e Click"Enroll Now—to get startedl Local governments that have further questions at this time may send an e-mail to Prop1A@cacommunities.org or call(800)635-3993,extension 260. Proposition 1A Securitizatlon Webinar: Information about the financing team,overview of the financing and next steps. ■ Download the Proposition 1A Securitizatlon Webinar Presentation(PDF) ■ Download the Proposition 1A Securitizatlon Webinar Presentation Recording You may be required to submit your contact information to access the recording,please follow the instructions. You may also read the FAOs for additional information. Proposition 1A Securitizatlon Documents: ■ Download the Prop to Indenture for Bonds ■ Download the Sample Purchase and Sale Agreement ■ Download the Sample Sale Resolution ■ Download the Sample Staff Report ■ Download the Sample Component Certificate Estimated 8%property tax calculation by county: Choose one Download If your county does not appear on this list,please contact your county directly for the information. On-line Enrollment Form To complete the on-line Proposition 1A Securitization Program Enrollment form,please click - ? i4 CrrrabS ENROLLMENT LIST: All Download Check hen;to see if your agency has enrolled. 'Please note that the Enrollment Form must be submitted by all participating cities,counties,and special districts,even if the agency completed the"Sign Up/Request for Information"step previously available at the California Communities website. The Enrollment Form requires a newer version of Adobe Reader,please download the latest version of Adobe Reader if you have trouble downloading the form. J Printer-friendly version Pnvacy Pchry 'arms or Se-ce -cpynghT.r.21,06-2005=0 ngnls i25P.fJet] CITY OF GRAND TERRACE, CALIFORNIA, as Seller and CALIFORNIA STATEWIDE COMMUNITIES DEVELOPMENT AUTHORITY, as Purchaser PURCHASE AND SALE AGREEMENT Dated as of November 1, 2009 E-1 9 TABLE OF CONTENTS Page 1. DEFINITIONS AND INTERPRETATION......................................................................2 2. AGREEMENT TO SELL AND PURCHASE; CONDITIONS PRECEDENT................2 3. PURCHASE PRICE, CONVEYANCE OF PROPOSITION IA RECEIVABLE AND PAYMENT OF PURCHASE PRICE......................................................................3 4. REPRESENTATIONS AND WARRANTIES OF THE PURCHASER..........................4 5. REPRESENTATIONS AND WARRANTIES OF THE SELLER...................................5 6. COVENANTS OF THE SELLER.....................................................................................7 7. THE PURCHASER'S ACKNOWLEDGMENT...............................................................9 8. NOTICES OF BREACH ...................................................................................................9 9. LIABILITY OF SELLER; INDEMNIFICATION............................................................9 10. LIMITATION ON LIABILITY ...................................................................................... 10 11. THE SELLER'S ACKNOWLEDGMENT...................................................................... 10 12. NOTICES......................................................................................................................... 10 13. AMENDMENTS ............................................................................................................. 10 14. SUCCESSORS AND ASSIGNS..................................................................................... 10 15. THIRD PARTY RIGHTS................................................................................................ 11 16. PARTIAL INVALIDITY ................................................................................................ 11 17. COUNTERPARTS.......................................................................................................... 11 18. ENTIRE AGREEMENT.................................................................................................. 11 19. GOVERNING LAW........................................................................................................ 12 EXHIBITA— DEFINITIONS...................................................................................................A-1 EXHIBIT BI —OPINION OF SELLER'S COUNSEL........................................................... B1-1 EXHIBIT B2—BRINGDOWN OPINION OF SELLER'S COUNSEL.................................132-1 EXHIBIT C1 —CLERK'S CERTIFICATE.............................................................................C1-1 EXHIBIT C2— SELLER CERTIFICATE...............................................................................C2-1 EXHIBIT C3 — BILL OF SALE AND BRINGDOWN CERTIFICATE................................C3-1 EXHIBIT D— IRREVOCABLE INSTRUCTIONS TO CONTROLLER................................D-1 EXHIBIT E— ESCROW INSTRUCTION LETTER................................................................ E-1 i 1C PURCHASE AND SALE AGREEMENT THIS PURCHASE AND SALE AGREEMENT, dated as of November I, 2009 (this"Agreement"), is entered into by and between: (1) CITY OF GRAND TERRACE, a local agency of the State of California within the meaning of Section 6585(f) of the California Government Code (the"Seller"); and (2) CALIFORNIA STATEWIDE COMMUNITIES DEVELOPMENT AUTHORITY, a joint exercise of powers authority organized and existing under the laws of the �_. State of California(the ".Purchase,-"*'. RECITALS A. Pursuant to Section 25.5 of Article XIII of the California Constitution and Section 100.06 of the California Revenue and Taxation Code, local agencies within the meaning of Section 6585(f) of the California Government Code are entitled to receive certain payments to be made by the State of California(the"State") on or before June 30, 2013, as reimbursement for reductions in the percentage of the total amount of ad valorem property tax revenues allocated to such local agencies during the State's 2009-10 fiscal year, which reductions have been authorized pursuant to Sections 100.05 and 100.06 of the California Revenue and Taxation Code. B. The Seller is the owner of the Proposition IA Receivable (as defined below) and is entitled to and has determined to sell all right, title and interest in and to the Proposition 1 A receivable, namely, the right to payment of moneys due or to become due to the \� Seller pursuant to Section 25.5(a)(1)(B)(iii) of Article XIII of the California Constitution and Section 100.06 of the California Revenue and Taxation Code, in order to obtain money to fund any lawful purpose as permitted under the applicable laws of the State. C. The Seller is authorized to sell or otherwise dispose of its property as the interests of its residents require. D. The Purchaser, a joint exercise of powers authority organized and existing under the laws of the State, has been authorized pursuant to Section 6588(x) of the California Government Code to purchase the Proposition IA Receivable. E. The Seller is willing to sell, and the Purchaser is willing to purchase, the Proposition I Receivable upon the terms specified in this Agreement. F. Pursuant to its Proposition IA Receivable Financing Program (the "Program"), the Purchaser will issue its bonds (the "Bonds") pursuant to an Indenture (the "Indenture"), between the Purchaser and Wells Fargo Bank, National Association, as trustee (the "Trustee"), and will use a portion of the proceeds thereof to purchase the Proposition IA Receivable from the Seller. G. The Purchaser will grant a security interest in such Proposition IA Receivable to the Trustee and each Credit Enhancer to secure the Bonds. 11 AGREEMENT NOW, THEREFORE, in consideration of the above Recitals and the mutual covenants herein contained, the parties hereto hereby agree as follows: 1. Definitions and Interpretation. (a) For all purposes of this Agreement, except as otherwise expressly provided herein or unless the context otherwise requires, capitalized terms not otherwise defined herein shall have the meanings ascribed to such terms in Exhibit A attached hereto and which is incorporated by reference herein. (b) The words "hereof," "herein," "hereunder" and words of similar import when used in this Agreement shall refer to this Agreement as a whole and not to any particular provision of this Agreement; section and exhibit references contained in this Agreement are references to sections and exhibits in or to this Agreement unless otherwise specified; and the term "including" shall mean "including without limitation." (c) Any agreement, instrument or statute defined or referred to herein or in any instrument or certificate delivered in connection herewith means such agreement, instrument or statute as from time to time may be amended, modified or supplemented and includes (in the case of agreements or instruments) references to all attachments and exhibits thereto and instruments incorporated therein; and any references to a Person are also to its permitted successors and assigns. 2. Agreement to Sell and Purchase; Conditions Precedent. (a) The Seller agrees to sell, and the Purchaser agrees to purchase, on the Closing Date, for an amount equal to the Purchase Price, all right, title and interest of the Seller in and to the "Proposition IA receivable" as defined in Section 6585(g) of the California Government Code (the "Proposition IA Receivable"), namely, the right to payment of moneys due or to become due to the Seller pursuant to Section 25.5(a)(1)(B)(iii) of Article XIII of the California Constitution and Section 100.06 of the California Revenue and Taxation Code. The Purchase Price shall be paid by the Purchaser to the Seller in two equal cash installment payments, without interest (each, an "Installment Payment" and, collectively, the "Installment Payments"), on January 15, 2010, and May 3, 2010 (each a "Payment Date" and, collectively, the "Payment Dates"). The Purchaser shall pay the Purchase Price by wire transfer pursuant to wire instructions provided by the Seller to the Trustee by e-mail to john.deleray@wellsfargo.com or by facsimile to 213-614-3355, Attention: John Deleray. If wire instructions are not provided to the Trustee (or if such wire instructions are invalid) payment will be made by check mailed to the Seller's Principal Place of Business. (b) The performance by the Purchaser of its obligations hereunder shall be conditioned upon: (i) Transaction Counsel receiving on or before the date the Bonds are sold (the -Pricing Date''), to be held in escrow until the Closing Date and then delivered to the Purchaser on the Closing Date, the following documents 2 1; .duly executed by the Seller or its counsel, as applicable: (1) an opinion of counsel to the Seller dated the Pricing Date in substantially the form attached hereto as Exhibit B 1, (2) certificates dated the Pricing Date in substantially the forms attached hereto as Exhibit Cl and Exhibit C2, (3) irrevocable instructions to the Controller dated as of the Closing Date in substantially the form attached hereto as Exhibit D, (4) this Agreement, (5) a certified copy of the resolution of the Seller's City Council approving this Agreement, the transactions contemplated hereby and the documents attached hereto as exhibits, and (6)an escrow instruction letter in substantially the form attached hereto as Exhibit E; (ii) Transaction Counsel receiving on or before the Pricing Date, (1) a bringdown opinion of counsel to the Seller dated as of the Closing Date in substantially the form attached hereto as Exhibit B2, and (2) a bill of sale and bringdown certificate of the Seller (the "Bill of Sale") in substantially the form attached hereto as Exhibit C3: provided that the Purchaser may waive, in its sole discretion,the requirements of Section 2(b)(ii)(1); (iii) the Purchaser issuing Bonds in an amount which will be sufficient to pay the Purchase Price; and (iv) the receipt by the Purchaser of a certification of the County Auditor confirming the Initial Amount of the Proposition IA Receivable pursuant to the Act. �J (c) The performance by the Seller of its obligations hereunder shall be conditioned solely upon the Purchaser's issuance of the Bonds and its execution and delivery of this Agreement, pursuant to which it is legally obligated to pay the Installment Payments to the Seller on the Payment Dates as set forth in this Agreement, and no other act or omission on the part of the Purchaser or any other party shall excuse the Seller from performing its obligations hereunder. Seller specifically disclaims any right to rescind this Agreement, or to assert that title to the Proposition IA Receivable has not passed to the Purchaser, should Purchaser fail to make Installment Payments in the requisite amounts on the Payment Dates. 3. Purchase Price, Conveyance of Proposition IA Receivable and Payment of Purchase Price. (a) Upon pricing of the Bonds by the Purchaser, the Purchaser will inform the Seller that it will pay the Purchase Price in Installment Payments on the Payment Dates. (b) In consideration of the Purchaser's agreement to pay and deliver to the Seller the Installment Payments on the Payment Dates, the Seller agrees to (i) transfer, grant, bargain, sell, assign, convey, set over and deliver to the Purchaser, absolutely and not as collateral security, without recourse except as expressly provided herein, and the Purchaser agrees to purchase, accept and receive, the Proposition I Receivable, and (ii) assign to the Purchaser, to the extent permitted by law, all present or future rights, if any, of the Seller to enforce or cause the enforcement of payment of the Proposition 1 A Receivable pursuant to the Act and other 3 applicable law. Such transfer, grant, bargain, sale, assignment, conveyance, set over and delivery is hereby expressly stated to be a sale and, pursuant to Section 6588.6(b) of the California Government Code, shall be treated as an absolute sale and transfer of the Proposition 1 A Receivable, and not as a grant of a security interest by the Seller to secure a borrowing. This is the statement referred to in Sections 6588.6(b) and (c) of the California Government Code. 4. Representations and Warranties of the Purchaser. The Purchaser represents and warrants to the Seller, as of the date hereof, as follows: (a) The Purchaser is duly organized, validly existing and in good standing under the laws of the State of California. (b) The Purchaser has full power and authority to enter into this Agreement and to perform its obligations hereunder and has duly authorized such purchase and assignment of the Proposition 1 A Receivable by the Purchaser by all necessary action. (c) Neither the execution and delivery by the Purchaser of this Agreement, nor the performance by the Purchaser of its obligations hereunder, shall conflict with or result in a breach or default under any of its organizational documents, any law, rule, regulation,judgment, order or decree to which it is subject or any agreement or instrument to which it is a party. (d) To the best of the knowledge of the Purchaser, no action, suit, proceeding, inquiry or investigation, at law or in equity, before or by any court, public board or body, is pending or threatened in any way against the Purchaser affecting the existence of the Purchaser or the titles of its commissioners or officers, or seeking to restrain or to enjoin the purchase of the Proposition IA Receivable or to direct the application of the proceeds of the purchase thereof, or in any way contesting or affecting the validity or enforceability of any of the Transaction Documents or any other applicable agreements or any action of the Purchaser contemplated by any of said documents, or in any way contesting the powers of the Purchaser or its authority with respect to the Transaction Documents to which it is a party or any other applicable agreement, or any action on the part of the Purchaser contemplated by the Transaction Documents, or in any way seeking to enjoin or restrain the Purchaser from purchasing the Proposition 1 A Receivable or which if determined adversely to the Purchaser would have an adverse effect upon the Purchaser's ability to purchase the Proposition I Receivable, nor to the knowledge of the Purchaser is there any basis therefor. (e) This Agreement, and its execution, delivery and performance hereof have been duly authorized by it, and this Agreement has been duly executed and delivered by it and constitutes its valid and binding obligation enforceable against it in accordance with the terms hereof, subject to the effect of bankruptcy, insolvency, reorganization, moratorium, fraudulent conveyance and other similar laws relating to or affecting creditors' rights generally or the application of equitable principles in any proceeding, whether at law or in equity. (f) The Purchaser is a separate legal entity, acting solely through its authorized representatives, from the Seller, maintaining separate records, books of account, assets, bank accounts and funds, which are not and have not been commingled with those of the Seller. 4 1� (g) All approvals, consents, authorizations, elections and orders of or filings or registrations with any governmental authority, board, agency or commission having jurisdiction which would constitute a condition precedent to, or the absence of which would adversely affect, the purchase by the Purchaser of the Proposition IA Receivable or the performance by the Purchaser of its obligations under the Transaction Documents to which it is a party and any other applicable agreements, have been obtained and are in full force and effect. (h) Insofar as it would materially adversely affect the Purchaser's ability to enter into, carry out and perform its obligations under any or all of the Transaction Documents to which it is a party, or consummate the transactions contemplated by the same, the Purchaser is f' not in breach of or default under any applicable constitutional provision, law or administrative regulation of the State of California or the United States or any applicable judgment or decree or any loan agreement, indenture, bond, note, resolution, agreement or other instrument to which it is a party or to which it or any of its property or assets is otherwise subject, and,to the best of the knowledge of the Purchaser, no event has occurred and is continuing which with the passage of time or the giving of notice, or both, would constitute a default or an event of default under any such instrument, and the execution and delivery by the Purchaser of the Transaction Documents to which it is a party, and compliance by the Purchaser with the provisions thereof, under the circumstances contemplated thereby, do not and will not conflict with or constitute on the part of the Purchaser a breach of or default under any agreement or other instrument to which the Purchaser is a party or by which it is bound or any existing law, regulation, court order or consent decree to which the Purchaser is subject. 5. Representations and Warranties of the Seller. The Seller hereby represents and warrants to the Purchaser, as of the date hereof, as follows: (a) The Seller is a local agency within the meaning of Section 6585(f) of the California Government Code, with full power and authority to execute and deliver this Agreement and to carry out its terms. (b) The Seller has full power, authority and legal right to sell and assign the Proposition 1 A Receivable to the Purchaser and has duly authorized such sale and assignment to the Purchaser by all necessary action; and the execution, delivery and performance by the Seller of this Agreement has been duly authorized by the Seller by all necessary action. (c) This Agreement has been, and as of the Closing Date the Bill of Sale will have been, duly executed and delivered by the Seller and, assuming the due authorization, execution and delivery of this Agreement by the Purchaser, each of this Agreement and the Bill of Sale constitutes a legal, valid and binding obligation of the Seller enforceable in accordance with its terms, subject to the effect of bankruptcy, insolvency, reorganization, moratorium, fraudulent conveyance and other similar laws relating to or affecting creditors' rights generally or the application of equitable principles in any proceeding, whether at law or in equity. (d) All approvals, consents, authorizations, elections and orders of or filings or registrations with any governmental authority, board, agency or commission having jurisdiction which would constitute a condition precedent to, or the absence of which would adversely affect, the sale by the Seller of the Proposition IA Receivable or the performance by the Seller of its 5 15 obligations under the Resolution and the Transaction Documents to which it is a party and any other applicable agreements, have been obtained and are in full force and effect. (e) Insofar as it would materially adversely affect the Seller's ability to enter into, carry out and perform its obligations under any or all of the Transaction Documents to which it is a party, or consummate the transactions contemplated by the same, the Seller is not in breach of or default under any applicable constitutional provision, law or administrative regulation of the State of California or the United States or any applicable judgment or decree or any loan agreement, indenture, bond, note, resolution, agreement or other instrument to which it is a party _ or to which it or any of its property or assets is otherwise subject, and, to the best of the knowledge of the Seller, no event has occurred and is continuing which with the passage of time or the giving of notice, or both, would constitute a default or an event of default under any such instrument, and the adoption of the Resolution and the execution and delivery by the Seller of the Transaction Documents to which it is a party, and compliance by the Seller with the provisions thereof, under the circumstances contemplated thereby, do not and will not conflict with or constitute on the part of the Seller a breach of or default under any agreement or other instrument to which the Seller is a party or by which it is bound or any existing law, regulation, court order or consent decree to which the Seller is subject. (f) To the best of the knowledge of the Seller, no action, suit, proceeding, inquiry or investigation, at law or in equity, before or by any court, public board or body, is pending or threatened in any way against the Seller affecting the existence of the Seller or the titles of its City Council members or officers to their respective offices, or seeking to restrain or to enjoin the sale of the Proposition IA Receivable or to direct the application of the proceeds of the sale thereof, or in any way contesting or affecting the validity or enforceability of any of the Transaction Documents or any other applicable agreements or any action of the Seller contemplated by any of said documents, or in any way contesting the powers of the Seller or its authority with respect to the Resolution or the Transaction Documents to which it is a party or any other applicable agreement, or any action on the part of the Seller contemplated by the Transaction Documents, or in any way seeking to enjoin or restrain the Seller from selling the Proposition 1 A Receivable or which if determined adversely to the Seller would have an adverse effect upon the Seller's ability to sell the Proposition I Receivable, nor to the knowledge of the Seller is there any basis therefor. (g) Prior to the sale of the Proposition 1 A Receivable to the Purchaser, the Seller was the sole owner of the Proposition 1 A Receivable, and has such right, title and interest to the Proposition IA Receivable as provided in the Act. From and after the conveyance of the Proposition IA Receivable by the Seller to Purchaser on the Closing Date, the Seller shall have no right, title or interest in or to the Proposition IA Receivable. Except as provided in this Agreement, the Seller has not sold, transferred, assigned, set over or otherwise conveyed any right, title or interest of any kind whatsoever in all or any portion of the Proposition IA Receivable, nor has the Seller created, or to the best knowledge of the Seller permitted the creation of, any lien, pledge, security interest or any other encumbrance (a "Lien") thereon. Prior to the sale of the Proposition IA Receivable to the Purchaser, the Seller held title to the Proposition 1 A Receivable free and clear of any Liens. As of the Closing Date, this Agreement, together with the Bill of Sale, constitutes a valid and absolute sale to the buyer of all of the Seller's right, title and interest in and to the Proposition IA Receivable. 6 1F (h) The Seller acts solely through its authorized officers or agents. (i) The Seller maintains records and books of account separate from those of the Purchaser. 0) The Seller maintains its respective assets separately from the assets of the Purchaser (including through the maintenance of separate bank accounts); the Seller's funds and assets, and records relating thereto, have not been and are not commingled with those of the Purchaser. (k) The Seller's principal place of business and chief executive office is located at 22795 Barton Road, Grand Terrace, CA 92313. (1) The aggregate amount of the Installment Payments is reasonably equivalent value for the Proposition IA Receivable. The Seller acknowledges that the amount payable to or on behalf of the Purchaser by the State with respect to the Proposition 1 A Receivable will be in excess of the Purchase Price and the Initial Amount of the Proposition IA Receivable and confirms that it has no claim to any such excess amount whatsoever. (m) The Seller does not act as an agent of the Purchaser in any capacity, but instead presents itself to the public as an entity separate from the Purchaser. (n) The Seller has not guaranteed and shall not guarantee the obligations of the Purchaser, nor shall it hold itself out or permit itself to be held out as having agreed to pay or as being liable for the debts of the Purchaser; and the Seller has not received nor shall the Seller accept any credit or financing from any Person who is relying upon the availability of the assets of the Purchaser in extending such credit or financing. The Seller has not purchased and shall not purchase any of the Bonds or any interest therein. (o) All transactions between or among the Seller, on the one hand, and the Purchaser on the other hand(including, without limitation, transactions governed by contracts for services and facilities, such as payroll, purchasing, accounting, legal and personnel services and office space), whether existing on the date hereof or entered into after the date hereof, shall be on terms and conditions (including, without limitation, terms relating to amounts to be paid thereunder) which are believed by each such party thereto to be both fair and reasonable and comparable to those available on an arms-length basis from Persons who are not affiliates. (p) The Seller has not, under the provisions of Section 100.06(b) of the California Revenue and Taxation Code, received a reduction for hardship or otherwise, nor has it requested, made arrangements for, or completed a reallocation or exchange with any other local agency, of the total amount of the ad valorem property tax revenue reduction allocated to the Seller pursuant to Section 100.06(a) of the California Revenue and Taxation Code. 6. Covenants of the Seller. (a) The Seller shall not take any action or omit to take any action which adversely affects the interests of the Purchaser in the Proposition I A Receivable and in the proceeds thereof. The Seller shall not take any action or omit to take any action that shall adversely affect 7 17 the ability of the Purchaser, and any assignee of the Purchaser, to receive payments of the Proposition IA Receivable. (b) The Seller shall not take any action or omit to take any action that would impair the validity or effectiveness of the Act, nor, without the prior written consent of the Purchaser or its assignees, agree to any amendment, modification, termination, waiver or surrender of, the terms of the Act, or waive timely performance or observance under the Act. Nothing in this agreement shall impose a duty on the Seller to seek to enforce the Act or to seek enforcement thereof by others, or to prevent others from modifying, terminating, discharging or -- impairing the validity or effectiveness of the Act. (c) Upon request of the Purchaser or its assignee, (i) the Seller shall execute and deliver such further instruments and do such further acts (including being named as a plaintiff in an appropriate proceeding) as may be reasonably necessary or proper to carry out more effectively the purposes and intent of this Agreement and the Act, and (ii) the Seller shall take all actions necessary to preserve, maintain and protect the title of the Purchaser to the Proposition I Receivable. (d) On or before the Closing Date, the Seller shall send (or cause to be sent) an irrevocable instruction to the Controller pursuant to Section 6588.6(c) of California Government Code to cause the Controller to disburse all payments of the Proposition IA Receivable to the Trustee, together with notice of the sale of the Proposition IA Receivable to the Purchaser and the assignment of all or a portion of such assets by the Purchaser to the Trustee. Such notice and instructions shall be in the form of Exhibit D hereto. The Seller shall not take any action to revoke or which would have the effect of revoking, in whole or in part, such instructions to the Controller. Upon sending such irrevocable instruction, the Seller shall have relinquished and waived any control over the Proposition 1 A Receivable, any authority to collect the Proposition IA Receivable, and any power to revoke or amend the instructions to the Controller contemplated by this paragraph. Except as provided in Section 2(c) of this Agreement, the Seller . shall not rescind, amend or modify the instruction described in the first sentence of this paragraph. The Seller shall cooperate with the Purchaser or its assignee in giving instructions to the Controller if the Purchaser or its assignee transfers the Proposition IA Receivable. In the event that the Seller receives any proceeds of the Proposition IA Receivable, the Seller shall hold the same in trust for the benefit of the Purchaser and the Trustee and each Credit Enhancer, as assignees of the Purchaser, and shall promptly remit the same to the Trustee. (e) The Seller hereby covenants and agrees that it will not at any time institute against the Purchaser, or join in instituting against the Purchaser, any bankruptcy, reorganization, arrangement, insolvency, liquidation, or similar proceeding under any United States or state bankruptcy or similar law. (f) The financial statements and books and records of the Seller prepared after the Closing Date shall reflect the separate existence of the Purchaser and the sale to the Purchaser of the Proposition IA Receivable. (g) The Seller shall treat the sale of the Proposition IA Receivable as a sale for regulatory and accounting purposes. 8 18 (h) From and after the date of this Agreement, the Seller shall not sell, transfer, assign, set over or otherwise convey any right, title or interest of any kind whatsoever in all or any portion of the Proposition I Receivable, nor shall the Seller create, or to the knowledge of the Seller permit the creation of, any Lien thereon. 7. The Purchaser's Acknowled ment. The Purchaser acknowledges that the Proposition IA Receivable is not a debt or liability of the Seller, and that the Proposition IA Receivable is payable solely by the State from the funds of the State provided therefor. Consequently, neither the taxing power of the Seller, nor the full faith and credit thereof is pledged to the payment of the Proposition IA Receivable. No representation is made by the Seller concerning the obligation or ability of the State to make any payment of the Proposition IA Receivable pursuant to Section 100.06 of the Revenue and Taxation Code and Section 25.5 of Article XIII of the California Constitution, nor is any representation made with respect to the ability of the State to enact any change in the law applicable to the Transaction Documents (including without limitation Section 100.06 of the Revenue and Taxation Code or Section 6588.6 of the Government Code). The Purchaser acknowledges that the Seller has no obligation with respect to any offering document or disclosure related to the Bonds. 8. Notices of Breach. (a) Upon discovery by the Seller or the Purchaser that the Seller or Purchaser has breached any of its covenants or that any of the representations or warranties of the Seller or the Purchaser are materially false or misleading, in a manner that materially and adversely affects the value of the Proposition 1 A Receivable or the Purchase Price thereof, the discovering party shall give prompt written notice thereof to the other party and to the Trustee, as assignee of the Purchaser, who shall, pursuant to the Indenture, promptly thereafter notify each Credit Enhancer and the Rating Agencies. (b) The Seller shall not be liable to the Purchaser, the Trustee, the holders of the Bonds, or any Credit Enhancer for any loss, cost or expense resulting from the failure of the Trustee, any Credit Enhancer or the Purchaser to promptly notify the Seller upon the discovery by an authorized officer of the Trustee, any Credit Enhancer or the Purchaser of a breach of any covenant or any materially false or misleading representation or warranty contained herein. 9. Liability of Seller: Indemnification. The Seller shall be liable in accordance herewith only to the extent of the obligations specifically undertaken by the Seller under this Agreement. The Seller shall indemnify, defend and hold harmless the Purchaser, the Trustee and each Credit Enhancer, as assignees of the Purchaser, and their respective officers, directors, employees and agents from and against any and all costs, expenses, losses, claims, damages and liabilities to the extent that such cost, expense, loss, claim, damage or liability arose out of, or was imposed upon any such Person by the Seller's breach of any of its covenants contained herein or any materially false or misleading representation or warranty of the Seller contained herein. Notwithstanding anything to the contrary herein, the Seller shall have no liability for the payment of the principal of or interest on the Bonds issued by the Purchaser. 9 19 10. Limitation on Liability. (a) The Seller and any officer or employee or agent.of the Seller may rely in good faith on the advice of counsel or on any document of any kind, prima facie properly executed and submitted by any Person respecting any matters arising hereunder. The Seller shall not be under any obligation to appear in, prosecute or defend any legal action regarding the Act that is unrelated to its specific obligations under this Agreement. (b) No officer or employee of the Seller shall have any liability for the , representations, warranties, covenants, agreements or other obligations of the Seller hereunder or in any of the certificates, notices or agreements delivered pursuant hereto, as to all of which recourse shall be had solely to the assets of the Seller. 11. The Seller's Acknowledgment. The Seller hereby agrees and acknowledges that the Purchaser intends to assign and grant a security interest in all or a portion of(a) its rights hereunder and (b) the Proposition IA Receivable, to the Trustee and each Credit Enhancer pursuant to the Indenture. The Seller further agrees and acknowledges that the Trustee, the holders of the Bonds, and each Credit Enhancer have relied and shall continue to rely upon each of the foregoing representations, warranties and covenants, and further agrees that such Persons are entitled so to rely thereon. Each of the above representations, warranties and covenants shall survive any assignment and grant of a security interest in all or a portion of this Agreement or the Proposition 1 A Receivable to the Trustee and each Credit Enhancer and shall continue in full force and effect, notwithstanding any subsequent termination of this Agreement and the other Transaction Documents. The above representations, warranties and covenants shall inure to the benefit of the Trustee and each Credit Enhancer. 12.Notices. All demands upon or, notices and communications to, the Seller, the Purchaser, the Trustee or the Rating Agencies under this Agreement shall be in writing, personally delivered or mailed by certified mail, return receipt requested, to such party at the appropriate notice address, and shall be deemed to have been duly given upon receipt. 13. Amendments. This Agreement may be amended by the Seller and the Purchaser, with (a) the consent of the Trustee, (b) the consent of each Credit Enhancer, and (c) a Rating Agency Confirmation, but without the consent of any of the holders of the Bonds, for the purpose of adding any provisions to or changing in any manner or eliminating any of the provisions of this Agreement. Promptly after the execution of any such amendment, the Purchaser shall furnish written notification of the substance of such amendment to the Trustee and to the Rating Agencies. 14. Successors and Assigns. This Agreement shall be binding upon and inure to the benefit of the Seller, the Purchaser and their respective successors and permitted assigns. The Seller may not assign or transfer any of its rights or obligations under this Agreement without the prior written consent of the Purchaser. Except as specified herein, the Purchaser may not assign or transfer any of its rights or obligations under this Agreement without the prior written consent of the Seller. 10 ?r 15. Third Party Rights. The Trustee and each Credit Enhancer are express and intended third party beneficiaries under this Agreement. Nothing expressed in or to be implied from this Agreement is intended to give, or shall be construed to give, any Person, other than the parties hereto, the Trustee, and each Credit Enhancer, and their permitted successors and assigns hereunder, any benefit or legal or equitable right, remedy or claim under or by virtue of this Agreement or under or by virtue of any provision herein. 16. Partial Invalidity. If at any time any provision of this Agreement is or becomes illegal, invalid or unenforceable in any respect under the law of any jurisdiction, neither r the legality, validity or enforceability of the remaining provisions of this Agreement nor the legal ity,'validity or enforceability of such provision under the law of any other jurisdiction shall in any way be affected or impaired thereby. 17. Counterparts. This Agreement may be executed in any number of identical counterparts, any set of which signed by all the parties hereto shall be deemed to constitute a complete, executed original for all purposes. 18. Entire Agreement. This Agreement sets forth the entire understanding and agreement of the parties with respect to the subject matter hereof and supersedes any and all oral or written agreements or understandings between the parties as to the subject matter hereof. Il 21 19. Governing Law. This Agreement shall be governed by and construed in accordance with the laws of the State of California. IN WITNESS WHEREOF, the Seller and the Purchaser have caused this Agreement to be duly executed as of the date first written above. CITY OF GRAND TERRACE, as Seller I By: Authorized Officer CALIFORNIA STATEWIDE COMMUNITIES DEVELOPMENT AUTHORITY, as Purchaser By: Authorized Signatory 12 2: EXHIBIT A DEFINITIONS For all purposes of this Agreement, except as otherwise expressly provided herein or unless the context otherwise requires, capitalized terms not otherwise defined herein shall have the meanings set forth below. "Act" means Chapter 14XXXX of the California Statutes of 2009 (Assembly Bill No. 15), as amended. �- 'Bill of Sale" has the meaning given to that term in Section 2(b)(ii) hereof. "Closing Date" means the date on which the Bonds are issued. The Closing Date is expected to be November 19, 2009, but the Purchaser may change the Closing Date by providing e-mail notification to bsimon@cityofgrandterrace.org not later than one day prior to the Closing Date. "Controller" means the Controller of the State. "County Auditor" means the auditor or auditor-controller of the county within which the Seller is located. "Credit Enhancer" means any municipal bond insurance company, bank or other financial institution or organization which is performing in all material respects its obligations under any Credit Support Instrument for some or all of the Bonds. "Credit Support Instrument" means a policy of insurance, a letter of credit, a stand-by purchase agreement, a revolving credit agreement or other credit arrangement pursuant to which a Credit Enhancer provides credit or liquidity support with respect to the payment of interest, principal or purchase price of the Bonds. "Initial Amount" means, with respect to the Proposition IA Receivable, the amount of property tax revenue reallocated away from the Seller pursuant to the provisions of Section 100.06 of the Revenue and Taxation Code, as certified by the County Auditor pursuant to the Act. "Installment Payments" have the meaning set forth in Section 2(a). "Payment Dates" have the meaning set forth in Section 2(a). "Pricing Date" means the date on which the Bonds are sold. The Pricing Date is expected to be November 10, 2009, but the Purchaser may change the Pricing Date by providing e-mail notification to bsimon@cityofgrandterrace.org not later than one day prior to the Pricing Date. "Principal Place of Business" means, with respect to the Seller, the location of the Seller's principal place of business and chief executive office located at 22795 Barton Road, Grand Terrace, CA 92313. A-1 23 "Proposition IA Receivable" has the meaning set forth in Section 2(a). "Purchase Price" means an amount equal to the Initial Amount. "Rating Agency" means any nationally recognized rating agency then providing or maintaining a rating on the Bonds at the request of the Purchaser. "Rating Agency Confirmation" means written confirmation from each Rating Agency that any proposed action will not, in and of itself, cause the Rating Agency to lower, suspend or withdraw the rating then assigned by such Rating Agency to any Bonds. "Resolution" means the resolution adopted by the City Council approving the sale of the Proposition I Receivable. "State" means the State of California. "Transaction Counsel" means Orrick, Herrington & Sutcliffe LLP. "Transaction Documents" mean this Agreement, the Bill of Sale, the Indenture, the Bonds and the Irrevocable Instructions For Disbursement of Proposition IA Receivable of City of Grand Terrace, dated as of the Closing Date. A-2 2, EXHIBIT B1 OPINION OF COUNSEL to CITY OF GRAND TERRACE �) Dated: Pricing Date California Statewide Communities Development Authority Sacramento, California Wells Fargo Bank,National Association Los Angeles, California Re: Sale of Proposition I Receivable Ladies &Gentlemen: [I have/This Office has] acted as counsel for the City of Grand Terrace (the "Seller") in connection with the adoption of that certain resolution (the "Resolution") of the City Council of the Seller (the "Governing Body") pursuant to which the Seller authorized the sale to the California Statewide Communities Development Authority (the "Purchaser") of the Seller's "Proposition IA Receivable", as defined in and pursuant to the Purchase and Sale Agreement dated as of November 1, 2009 (the "Sale Agreement") between the Seller and the Purchaser. In connection with these transactions, the Seller has issued certain Irrevocable Instructions For Disbursement of the Seller's Proposition IA Receivable to the Controller of the State of California (the "Disbursement Instructions") and a Bill of Sale and Bringdown Certificate of the Seller (the "Bill of Sale" and, collectively with the Sale Agreement and the Disbursement Instructions,the "Seller Documents"). Unless the context otherwise requires, capitalized terms used but not otherwise defined herein shall have the meanings given to such terms in the Sale Agreement. [I/We] have examined and are familiar with the Seller Documents and with those documents relating to the existence, organization, and operation of the Seller, the adoption of the Resolution, and the execution of the Seller Documents, and have satisfied ourselves as to such other matters as [I/we] deem necessary in order to render the following opinions. As to paragraphs numbered 3 and 4 below, [[/we] have relied as to factual matters on the representations and warranties of the Seller contained in the Sale Agreement. Based upon the foregoing, and subject to the limitations and qualifications set forth herein, [I/we] are of the opinion that: B1-1 25 1. The Seller is a local agency, within the meaning of Section 6585(f) of the California Government Code. The Governing Body is the governing body of the Seller. 2. The Resolution was duly adopted at a meeting of the Governing Body, which was called and held pursuant to law and with all public notice required by law, and at which a quorum was present and acting throughout, and the Resolution is in full force and effect and has not been modified, amended or rescinded since the date of its adoption. 3. To the best of[my/our] knowledge, no action, suit, proceeding, inquiry or investigation, at law or in equity, before or by any court, public board or body, is pending or threatened in any way against the Seller (i) affecting the existence of the Seller or the titles of its Governing Body members or officers to their respective offices; (ii) seeking to restrain or to enjoin the sale of the Proposition IA Receivable or to direct the application of the proceeds of the sale thereof, or materially adversely affecting the sale of the Proposition IA Receivable; (iii) in any way contesting or affecting the validity or enforceability of the Resolution, Seller Documents or any other applicable agreements or any action of the Seller contemplated by any of said documents; or (iv) in any way contesting the powers of the Seller or its authority with respect to the Resolution or the Seller Documents or any other applicable agreement, or any action on the part of the Seller contemplated by any of said documents. 4. To the best of[my/our] knowledge, prior to the sale of the Proposition 1 A Receivable to the Purchaser, the Seller had not sold, transferred, assigned, set over or otherwise conveyed any right, title or interest of any kind whatsoever in all or any portion of the Seller's Proposition IA Receivable, nor had the Seller created, or permitted the creation of, any Lien thereon. 5. The Seller has duly authorized and executed the Seller Documents and, assuming the due authorization execution and delivery of the Sale Agreement by the Purchaser, each Seller Document will be legal, valid and binding against the Seller and enforceable against the Seller in accordance with its terms, except as enforcement may be limited by bankruptcy, insolvency, reorganization, fraudulent conveyance, moratorium or laws relating to or affecting creditors' rights, and the application of equitable principles and the exercise of judicial discretion in appropriate areas. No opinion is expressed concerning the obligation or ability of the State of California to make any payment of the Proposition 1 A Receivable pursuant to Section 100.06 of the Revenue and Taxation Code and Section 25.5 of Article XIII of the California Constitution, nor is any opinion expressed with respect to the ability of the State to enact any change in the law applicable to the Seller Documents (including, without limitation, Section 100.06 of the Revenue and Taxation Code or Section 6588.6 of the Government Code). Furthermore, [I/we] express no opinion as to the value of the Proposition IA Receivable or as to any legal or equitable remedies that may be available to any person should the Proposition IA Receivable have little or no value. No opinion is expressed with respect to the sale of Bonds by the Purchaser. B1-2 7F The legal opinion set forth herein is intended for the information solely of the addressees hereof and for the purposes contemplated by the Sale Agreement. The addressees may not rely on it in connection with any transactions other than those described herein, and it is not to be relied upon by any other person or entity, or for any other purpose, or quoted as a whole or in part, or otherwise referred to, in any document, or to be filed with any governmental or administrative agency other than the Purchaser or with any other person or entity for any purpose without [my/our] prior written consent. In addition to the addressees hereof, each Credit Enhancer and the underwriters of the Bonds may rely upon this legal opinion as if it were addressed to them. [I/We] do not undertake to advise you of matters that may come to [my/our] attention subsequent to the date hereof that may affect the opinions expressed herein. Very truly yours, By: Seller's Counsel B1-3 27 EXHIBIT B2 OPINION OF COUNSEL to CITY OF GRAND TERRACE Dated: Closing Date % California Statewide Communities Development Authority Sacramento, California Wells Fargo Bank,National Association Los Angeles, California Re: Sale of Proposition IA Receivable (Bringdown Opinion) Ladies & Gentlemen: Pursuant to that certain Purchase and Sale Agreement dated as of November 1, 2009 (the"Sale Agreement") between the City of Grand Terrace (the"Seller") and the California Statewide Communities Development Authority (the "Purchaser"), this Office delivered an opinion (the "Opinion") dated the Pricing Date as counsel for the Seller in connection with the sale of the Seller's Proposition 1 A Receivable (as defined in the Sale Agreement), the execution of documents related thereto and certain other related matters. Capitalized terms used but not defined herein shall have the meanings given to such terms in the Sale Agreement. I confirm that you may continue to rely upon the Opinion as if it were dated as of the date hereof. Each Credit Enhancer and the underwriters of the Bonds may rely upon this legal opinion as if it were addressed to them. This letter is delivered to you pursuant to Section 2(b)(ii)(1) of the Sale Agreement. Very truly yours, By: Seller's Counsel B2-1 21 EXHIBIT C1 CLERK'S CERTIFICATE CERTIFICATE OF THE CITY CLERK OF CITY OF GRAND TERRACE, CALIFORNIA Dated: Pricing Date The undersigned City Clerk of the City of Grand Terrace (the "Seller"), a local agency of J the State of California within the meaningof Section 6585(f) of the California Government Code, does hereby certify that the foregoing is a full, true and correct copy of Resolution No. duly adopted at a regular meeting of the City Council of said Seller duly and legally held at the regular meeting place thereof on the day of , 2009, of which meeting all of the members of said City Council had due notice and at which a quorum was present and acting throughout, and that at said meeting said resolution was adopted by the following vote: AYES: NOES: ABSENT: ABSTAIN: I do hereby further certify that I have carefully compared the same with the original minutes of said meeting on file and of record in my office and that said resolution is a full, true and correct copy of the original resolution adopted at said meeting and entered in said minutes and that said resolution has not been amended, modified or rescinded since the date of its adoption and the same is now in full force and effect. I do hereby further certify that an agenda of said meeting was posted at least 72 hours before said meeting at a location in the [ City / Town / County ] of Grand Terrace, California freely accessible to members of the public, and a brief general description of said resolution appeared on said agenda. Capitalized terms used but not defined herein shall have the meanings given to such terms in the Purchase and Sale Agreement, dated as of November 1, 2009, between the Seller and the California Statewide Communities Development Authority. WITNESS by my hand as of the Pricing Date. By: City Clerk of the City of Grand Terrace, California Cl-1 29 EXHIBIT C2 SELLER CERTIFICATE SELLER CERTIFICATE Dated: Pricing Date We, the undersigned officers of the City of Grand Terrace (the "Seller"), a local agency of the State of California within the meaning of Section 6585(f) of the California Government Code, holding the respective offices herein below set opposite our signatures, do hereby certify that on the date hereof the following documents (the "Seller Transaction Documents") were officially executed and delivered by the Authorized Officer or Officers whose names appear on the executed copies thereof, to wit: Document 1. Purchase and Sale Agreement, dated as of November 1, 2009 (the "Sale Agreement"), between the Seller and the California Statewide Communities Development Authority (the "Purchaser"). 2. Irrevocable Instructions For Disbursement of Seller's Proposition IA Receivable to the Controller of the State of California, dated the Closing Date. 3. Bill of Sale, dated the Closing Date. Capitalized terms used herein and not defined herein shall have the meaning given such terms in the Sale Agreement. We further certify as follows: 1. At the time of signing the Seller Transaction Documents and the other documents and opinions related thereto, we held said offices, respectively, and we now hold the same. 2. The representations and warranties of the Seller contained in the Seller Transaction Documents are true and correct as of the date hereof in all material respects. 3. The City Council duly adopted its resolution (the "Resolution") approving the sale of the Seller's Proposition I Receivable at a meeting of the City Council which was duly called and held pursuant to law with all public notice required by law and at which a quorum was present and acting when the Resolution was adopted, and such Resolution is in full force and effect and has not been amended, modified, supplemented or rescinded. C2-1 3a Name, Official Title Signature Maryetta Serre, Mayor Bernard Simon, Finance Director and Acting City Manager I HEREBY CERTIFY that the signatures of the officers named above are genuine. Dated: Pricing Date By: City Clerk of the City of Grand Terrace, California C2-2 31 EXHIBIT C3 BILL OF SALE AND BRINGDOWN CERTIFICATE BILL OF SALE AND BRINGDOWN CERTIFICATE Pursuant to terms and conditions of the Purchase and Sale Agreement (the "Sale Agreement"), dated as of November 1, 2009, between the undersigned (the "Seller") and the California Statewide Communities Development Authority (the "Purchaser"), and in consideration of the obligation of the Purchaser to pay and deliver to the Seller the Purchase Price (as defined in the Sale Agreement), in two equal installment payments to be made on January 15, 2010, and May 3, 2010 (collectively, the "Payment Dates"), the Seller does hereby (a) transfer, grant, bargain, sell, assign, convey, set over and deliver to the Purchaser, absolutely and not as collateral security, without recourse except as expressly provided in the Sale Agreement, the Proposition IA Receivable as defined in the Sale Agreement (the "Proposition 1 A Receivable"), and (b) assign to the Purchaser, to the extent permitted by law (as to which no representation is made), all present or future rights, if any, of the Seller to enforce or cause the enforcement of payment of the Proposition 1 A Receivable pursuant to the Act and other applicable law. Such transfer, grant, bargain, sale, assignment, conveyance, set over and delivery is hereby expressly stated to be a sale and, pursuant to Section 6588.6(b) of the California Government Code, shall be treated as an absolute sale and transfer of the Proposition 1A Receivable, and not as a grant of a security interest by the Seller to secure a borrowing. Seller specifically disclaims any right to rescind the Agreement, or to assert that title to the Proposition IA Receivable has not passed to the Purchaser, should Purchaser fail to make the installment payments in the requisite amounts on the Payment Dates. _ The Seller hereby certifies that the representations and warranties of the Seller set forth in the Certificate of the City Clerk dated the Pricing Date, the Seller Certificate dated the Pricing Date and in the Transaction Documents to which the Seller is a party are true and correct in all material respects as of the date hereof(except for such representations and warranties made as of a specified date, which are true and correct as of such date). Capitalized terms used but not defined herein shall have the meanings given to such terms in the Sale Agreement. Dated: Closing Date CITY OF GRAND TERRACE By: Authorized Officer C3-1 32 EXHIBIT D IRREVOCABLE INSTRUCTIONS TO CONTROLLER IRREVOCABLE INSTRUCTIONS FOR DISBURSEMENT OF PROPOSITION IA RECEIVABLE OF CITY OF GRAND TERRACE Dated: Closing Date �t Office of the Controller State of California P.O. Box 942850 Sacramento, California 94250-5872 Re: Notice of Sale of Proposition I Receivable by the City of Grand Terrace and Wiring Instructions Information Form Dear Sir,or Madam: Pursuant to Section 6588.6(c) of the California Government Code, City of Grand Terrace (the "Seller") hereby notifies you of the sale by Seller, effective as of the date of these instructions written above, of all right, title and interest of the Seller in and to the "Proposition IA Receivable" as defined in Section 6585(g) of the California Government Code (the "Proposition 1 A Receivable"), namely, the right to payment of moneys due or to become due to the Seller pursuant to Section 25.5(a)(1)(B)(iii) of Article XIII of the California Constitution and Section 100.06 of the California Revenue and Taxation Code. By resolution, the Seller's City Council authorized the sale of the Proposition IA Receivable to the California Statewide Communities Development Authority (the "Purchaser") pursuant to a Purchase and Sale Agreement, dated as of November 1, 2009 (the "Purchase and Sale Agreement") and a Bill of Sale, dated the Closing Date (as defined in the Purchase and Sale Agreement). The Proposition IA Receivable has been pledged and assigned by the Purchaser pursuant to an Indenture, dated as of November 1, 2009 (the "Indenture") between the Purchaser and Wells Fargo Bank,National Association, as Trustee (the "Trustee"). The Seller hereby irrevocably requests and directs that, commencing as of the date of these instructions written above, all payments of the Proposition IA Receivable (and documentation related thereto) be made directly to Wells Fargo Bank, National Association, as Trustee,-in accordance with the wire instructions and bank routing information set forth below. Please note that the sale of the Proposition IA Receivable by the Seller is irrevocable and that. (i) the Seller has no power to revoke or amend these instructions at any time; (ii) the Purchaser shall have the power to revoke or amend these instructions only if there are no notes of the Purchaser outstanding under the Indenture and the Indenture has, been discharged; and(iii) so long as the Indenture has not been discharged, these instructions cannot be revoked or amended by the Purchaser without the consent of the Trustee. Should D-1 33 the Purchaser, however, deliver a written notice to the Office of the Controller stating that: (a) the Seller failed to meet the requirements set forth in the Purchase and Sale Agreement, (b) the Purchaser has not waived such requirements; and(c) the Purchaser has not purchased the Proposition IA Receivable as a result of the circumstances described in (a) and(b) above, then these instructions shall be automatically rescinded and the Seller shall again be entitled to receive all payment of moneys due or to become due to the Seller pursuant to Section 25.5(a)(1)(B)(1ii) of Article XIII of the California Constitution and Section 100.06 of the California Revenue and Taxation Code. Bank Name: Wells Fargo Bank,N.A. Bank ABA Routing#: 121000248 Bank Account#: 0001038377 Bank Account Name: Corporate Trust Clearing Further Credit To: CSCDA Proposition I Bonds Bank Address: 707 Wilshire Blvd., 17th Floor MAC E2818-116 Los Angeles, CA 90017 Bank Telephone#: (213),614-3353 Bank Contact Person: Robert Schneider Please do not hesitate to call the undersigned if you have any questions regarding this transaction. Thank you for your assistance in this matter. Very truly yours, CITY OF GRAND TERRACE By: Authorized Officer D-2 34 EXHIBIT E ESCROW INSTRUCTION LETTER ESCROW INSTRUCTION LETTER , 2009 California Statewide Communities Development Authority r 1100 K Street Sacramento, CA 95814 Re: Proposition IA Receivable Financing Dear Sir or Madam: The City of Grand Terrace (the "Seller") hereby notifies you of its agreement to participate in the California Statewide Communities Development Authority Proposition IA Receivable Financing. By adoption of a resolution (the "Resolution") authorizing the sale of its Proposition IA Receivable, the Seller's City Council has agreed to sell to the California Statewide Communities Development Authority (the "Purchaser"), for a purchase price that meets the conditions set forth in the Resolution, all of its right, title and interest in the Proposition IA Receivable. .J Enclosed herewith are the following documents which have been duly approved and executed by the Seller and which are to be held in escrow by Orrick, Herrington & Sutcliffe LLP, as transaction counsel ("Transaction Counsel"), as instructed below: 1. certified copy of the Resolution, together with a certificate of the City Clerk, dated the Pricing Date; 2. the Seller Certificate, dated the Pricing Date; 3. the Opinion of Seller's Counsel, dated the Pricing Date; 4. the Opinion of Seller's Counsel (bringdown opinion), dated the Closing Date; 5. the Purchase and Sale Agreement, dated as of November 1, 2009; 6. the Bill of Sale and Bringdown Certificate, dated the Closing Date; and 7. the Irrevocable Instructions to Controller, dated the Closing Date. The foregoing documents are to be held in escrow by Transaction Counsel and shall be delivered on the Closing Date (as defined in the Purchase and Sale Agreement), provided that such Closing Date occurs on or before December 31, 2009. E-1 35 Should (i) the Closing Date not occur on or before December 31, 2009, or (ii) Transaction Counsel receive prior to the Closing Date written notification from Seller or Seller's Counsel stating, respectively and in good faith, that the representations made in the Seller's Certificate are not true and accurate, or the opinions set forth in the Opinion of Seller's Counsel are not valid, in each case as of the Closing Date and provided that the Purchaser may, in its sole discretion, choose to waive receipt of such representations or opinions, then this agreement shall terminate and Transaction Counsel shall destroy all of the enclosed documents. Very truly yours, CITY OF GRAND TERRACE By: Authorized Officer Enclosures cc: Orrick, Herrington& Sutcliffe LLP E-2 if- CALIFORNIA STATEWIDE COMMUNITIES DEVELOPMENT AUTHORITY REVENUE BONDS (STATE OF CALIFORNIA PROPOSITION IA RECEIVABLES PROGRAM) SERIES 2009 CERTIFICATE OF THE SELLER RE: COMPONENTS OF PROPOSITION 1 A RECEIVABLES The undersigned, an Authorized Officer of the City of Grand Terrace (the "Seller") \1 hereby certifies as follows with respect to that certain Purchase and Sale Agreement, dated as of November 1, 2009 (the "Agreement"), by and between the Seller and the California Statewide Communities Development Authority (the "Purchaser") as follows (all capitalized terms not otherwise defined herein shall have the meanings ascribed thereto in the Agreement): 1. The components (the "Components") of the Proposition IA Receivable listed in Schedule I, attached hereto and incorporated herein by reference, belong to the Seller; 2. The Components are listed as they appear on the certification of the County Auditor pursuant to Section 100.06 of the Revenue and Taxation Code; 3. By entering into the Agreement, the Seller is selling the Proposition IA Receivable, including all Components thereof listed in Schedule I; 4. The Seller acknowledges that the Purchase Price of the Proposition IA Receivable will be equal to aggregate the Initial Amounts of each Component as each such `J Component is separately certified by the County Auditor; and 5. The funds or other entities listed as Components in Schedule I (other than the Seller itself) are not independent legal entities with the power to enter into contracts. Dated: Pricing Date CITY OF GRAND TERRACE By: Authorized Officer 1 Component Certificate of City of Grand Terrace 37 ACKNOWLEDGEMENT OF SELLER'S COUNSEL The undersigned, counsel to the Seller hereby acknowledges and confirms that the statements in paragraphs 1 and 5 of this certificate are legally correct. By: Seller's Counsel 2 Component Certificate of City of Grand Terrace 3� SCHEDULEI COMPONENTS OF PROPOSITION IA RECEIVABLE Names of Components City of Grand Terrace U Schedule I Component Certificate of City of Grand Terrace 39 CALIFORNIA STATEWIDE COMMUNITIES DEVELOPMENT AUTHORITY REVENUE BONDS (STATE OF CALIFORNIA PROPOSITION IA RECEIVABLES PROGRAM) SERIES 2009 CERTIFICATE OF THE SELLER RE: COMPONENTS OF PROPOSITION ]A RECEIVABLES The undersigned, an Authorized Officer of the City of Grand Terrace (the `,`Seller") 1 hereby certifies as follows with respect to that certain Purchase and Sale Agreement, dated as of November 1, 2009 (the "Agreement"), by and between the Seller and the California Statewide Communities Development Authority (the "Purchaser") as follows (all capitalized terms not otherwise defined herein shall have the meanings ascribed thereto in the Agreement): 1. The components (the "Components") of the Proposition IA Receivable listed in Schedule I, attached hereto and incorporated herein by reference, belong to the Seller; 2. The Components are listed as they appear on the certification of the County Auditor pursuant to Section 100.06 of the Revenue and Taxation Code; 3. By entering into the Agreement, the Seller is selling the Proposition IA Receivable, including all Components thereof listed in Schedule 1; 4. The Seller acknowledges that the Purchase Price of the Proposition IA Receivable will be equal to aggregate the Initial Amounts of each Component as each such Component is separately certified by the County Auditor; and 5. The funds or other entities listed as Components in Schedule I (other than the Seller itself) are.not'independent.legal entities with the power to enter into contracts. Dated: Pricing Date CITY OF GRAND TERRACE By: Authorized Officer Component Certificate of City of Grand Terrace 40 ACKNOWLEDGEMENT OF SELLER'S COUNSEL The undersigned, counsel to the Seller hereby acknowledges and confirms that the statements in paragraphs I and 5 of this certificate are legally correct. By: Seller's Counsel 2 Component Certificate of City of Grand Terrace 41 SCHEDULEI COMPONENTS OF PROPOSITION I RECEIVABLE Names of Components City of+. rand Terrace Schedule 1 Component Certificate of City of Grand Terrace 42 RESOLUTION NO. CITY COUNCIL OF THE CITY OF GRAND TERRACE A RESOLUTION APPROVING THE FORM OF AND AUTHORIZING THE EXECUTION AND DELIVERY OF A PURCHASE AND SALE AGREEMENT AND RELATED DOCUMENTS WITH RESPECT TO THE SALE OF THE SELLER'S PROPOSITION IA RECEIVABLE FROM THE STATE; AND - DIRECTING AND AUTHORIZING CERTAIN OTHER ACTIONS IN CONNECTION THEREWITH WHEREAS, pursuant to Section 25.5 of Article XIII of the California Constitution and Chapter '14XXXX of the California Statutes of 2009 (Assembly Bill No. 15), as amended (the "Act"), certain local agencies within the State of California (the "State") are entitled to receive certain payments to be made by the State on or before June 30, 2013, as reimbursement for reductions in the percentage of the total amount of ad valorem property tax revenues allocated to such local agencies during the State's 2009-10 fiscal year (the "'Reimbursement Payments"), which reductions have been authorized pursuant to Sections 100.05 and 100.06 of the California Revenue and Taxation Code; WHEREAS, the City of Grand Terrace, a local agency within the meaning of Section 6585(f) of the California Government Code (the "Seller"), is entitled to and has determined to sell all right,title and interest of the Seller in and to its"Proposition 1 A receivable", as defined in r Section 6585(g) of the California Government Code (the "Proposition IA Receivable"), namely, the right to payment of moneys due or to become due to the Seller pursuant to Section 25.5(a)(T)(B)(iii) of Article XIII _of the California Constitution and Section 100.06 of the California Revenue and Taxation Code, in order to obtain money to fund public capital improvements or working capital; WHEREAS, the Seller is authorized to sell or otherwise dispose of its property as the interests'of its residents require; WHEREAS, the California Statewide Communities Development Authority, a joint exercise of powers authority organized and existing under the laws of the State (the "Purchaser"), has been authorized pursuant to Section 6588(x) of the California Government Code to purchase the Proposition IA Receivable; WHEREAS, the Purchaser desires to purchase the Proposition IA Receivable and the Seller desires to sell,the Proposition I Receivable pursuant to a purchase and sale agreement by and between the Seller and the Purchaser in the form presented to this City Council (the "Sale Agreement") for the purposes set forth herein; WHEREAS, in order to finance the purchase price of the Proposition I Receivable from the Seller and the purchase price of other Proposition 1 A Receivables from other local agencies, the Purchaser will issue its bonds (the "Bonds") pursuant to Section 6590 of the California Government Code and an Indenture (the "Indenture"), by and between the Purchaser and Wells Fargo Bank, National Association, as trustee (the"Trustee"), which Bonds will be payable solely 43 from the proceeds of the Seller's Proposition IA Receivable and other Proposition IA Receivables sold to the Purchaser by local agencies in connection with the issuance of the Bonds; WHEREAS, the Seller acknowledges that (i) any transfer of its Proposition IA Receivable to the Purchaser pursuant to the Sale Agreement shall be treated as an absolute sale and transfer of the property so transferred and not as a pledge or grant of a security interest by City of Grand Terrace to secure a borrowing, (ii) any such sale of its Proposition 1A Receivable to the Purchaser shall automatically be perfected without the need for physical delivery, recordation, filing or further act, (iii) the provisions of Division 9 (commencing with Section 9101) of the California Commercial Code and Sections 954.5 to 955.1 of the California Civil Code, inclusive, shall not apply to the sale of its Proposition IA Receivable, and (iv) after such transfer, the Seller shall have no right, title, or interest in or to the Proposition IA Receivable sold to the Purchaser and the Proposition IA Receivable will thereafter be owned, received, held and disbursed only by the Purchaser or a trustee or agent appointed by the Purchaser; WHEREAS, the Seller acknowledges that the Purchaser will grant a security interest in the Proposition IA Receivable to the Trustee and any credit enhancer to secure payment of the Bonds; WHEREAS, a portion of the proceeds of the Bonds will be used by the Purchaser to, among other things, pay the purchase price of the Proposition I A Receivable; WHEREAS, the Seller will use the proceeds received from the sale of the Proposition IA Receivable for any lawful purpose as permitted under the applicable laws of the State; NOW THEREFORE, the City Council of the City of Grand Terrace hereby resolves as follows: Section 1. All of the recitals set forth above are true and correct, and this City Council hereby so finds and determines. Section 2. The Seller hereby authorizes the sale of the Proposition 1 A Receivable to the Purchaser for a price equal to the amount certified as the Initial Amount (as defined in the Sale Agreement) by the County auditor pursuant to the Act. The form of Sale Agreement presented to the City Council is hereby approved. An Authorized Officer (as set forth in Appendix A of this Resolution, attached hereto and by this reference incorporated herein) is hereby authorized and directed to execute and deliver the Sale Agreement on behalf of the Seller, which shall be in the form presented at this meeting. Section 3. Any Authorized Officer is hereby authorized and directed to send, or to cause to be sent, an irrevocable written instruction to the State Controller (the "Irrevocable Written Instruction") notifying the State of the sale of the Proposition IA Receivable and instructing the disbursement pursuant to Section 6588.6(c) of California Government Code of the Proposition IA Receivable to the Trustee, on behalf of the Purchaser, which Irrevocable Written Instruction shall be in the form presented at this meeting. 2 44 Section 4. The Authorized Officers and such other Seller officers, as appropriate, are hereby authorized and directed,jointly and severally, to do any and all things and to execute and deliver any and all documents, including but not limited to, if required, appropriate escrow instructions relating to the delivery into escrow of executed documents prior to the closing of the Bonds, and such other documents mentioned in the Sale Agreement or the Indenture, which any of them may deem necessary or desirable in order to implement the Sale Agreement and otherwise to carry out, give effect to and comply with the terms and intent of this Resolution; and all such actions heretofore taken by such officers are hereby ratified, confirmed and approved. Section 5. All consents, approvals, notices, orders, requests and other actions permitted or required by any of the documents authorized by this Resolution, whether before or after the sale of the Proposition 1 A Receivable or the issuance of the Bonds, including without limitation any of the foregoing that may be necessary or desirable in connection with any default under or amendment of such documents, may be given or taken by an Authorized Officer without further authorization by this City Council, and each Authorized Officer is hereby authorized and directed to give any such consent, approval, notice, order or request, to execute any necessary or appropriate documents or amendments, and to take any such action that such Authorized Officer may deem necessary or desirable to further the purposes of this Resolution. Section 6. The City Council acknowledges that, upon execution and delivery of the Sale Agreement, the Seller is contractually obligated to sell the Proposition IA Receivable to the Purchaser pursuant to the Sale Agreement and the Seller shall not have any option to revoke its approval of the Sale Agreement or to determine not to perform its obligations thereunder. 3 dS Section 7. This Resolution shall take effect from and after its adoption and approval. PASSED AND ADOPTED by the City Council of the City of Grand Terrace, State of California, this day of , 2009, by the following vote: AYES: NOES: ABSENT: Mayor Attest: City Clerk Approved as to form SELLER'S COUNSEL By Dated: 4 4( APPENDIX A Authorized Officers: Maryetta Ferre, Mayor Bernard Simon, Finance Director and Acting City Manager t� 47 CACrFORNIA AGENDA REPORT MEETING DATE: October 27, 2009 Council Item ( X ) CRA Item ( X ) TITLE: Progress Report and Recommendations Regarding the Conversion of the Senior Center Kitchen to a Commercial Kitchen PRESENTED BY: Community and Economic Development Department RECOMMENDATION: City Council: Authorize staff to prepare construction drawings and bid specifications for a commercial kitchen at the Senior Center. Agency: Appropriate Agency funds in the amount of$5,540 to prepare the documents for public bidding. BACKGROUND: r 1 On September 22, 2009, staff was directed to prepare a preliminary design for a commercial kitchen at the Senior Center to ensure all required improvements could be completed within the existing floor area and to estimate the costs of construction. Also, on October 13, 2009, the Council determined to forward a request to the County Department of Community Development and Housing (CDH) to reprogram$80,000 of available CDBG funds for kitchen construction and equipment. DISCUSSION: Working with an experienced architect and the County Health Department, the preliminary plan has been completed, and indicates that the kitchen can be constructed and equipment installed within the available floor area without moving walls. In addition, the architect was able to design the various work stations efficiently without requiring removal of the existing floor for re- plumbing. The only necessary building modification would be to remove the glass double doors at the east end of the kitchen area and install a wall to meet code requirements. Based on the preliminary design,costs for construction and equipment, including Federal Davis Bacon wages, will be approximately $75,000-$80,000. The actual cost would be based on the final specifications and bid responses. After review by the Health Department, staff forwarded the preliminary plans and cost estimates to the Corporation for Better Housing (CBH). CBH has indicated its willingness to work with the City and County to meet CDBG funding requirements. They understand that the 1 COUNCIL AGENDA ITEM NO. 1 construction would be posted for public bidding, and may request to oversee construction based on their investment in the Senior Center. Additional architectural firms were asked to provide a proposal for the final construction drawings and bid specifications, and two were received. The current architect, Michael Murphy, submitted the lowest proposal, at $5,540. Staff is recommending the use of redevelopment funds to complete this phase now to ensure there is no delay of construction bidding at such time the City is notified of project approval and funding. The design would not be eligible for later CDBG reimbursement. While the construction drawings and specifications are being prepared, staff will continue to work closely with County staff to ensure construction remains eligible for CDBG funding and Health Department approval will be received. The preliminary plans have also been provided to the Senior Center and kitchen staff, who will also be kept informed. FISCAL IMPACT: Sufficient funds for final design and specifications are available in the CRA 80% undesignated fund balance. The Agency now has approximately $4.2 million available for new non-housing projects. In addition, the Agency has $3 million reserved for future debt service, pending approval of the Redevelopment Plan Amendment. The Amendment will be presented for approval upon completion and circulation of the EIR early next calendar year. Respectfully submitted, Joyce Powers Community and Economic Development Director Manager Approval: Bernie Simon Acting City Manager ATTACHMENTS: Preliminary Plans •�N--"� --.--�� - � ram@ o n �� Sal � f tC J V O *al 3 � _+ - 10 cL I Lai i, 1 1 rn 41 0 f z , . T` x IF N oc k co PROJECT: SENIOR CENTER COMMERICAL KITCHEN 3.A F Z 22627 GRAND TERRACE DRIVE ��aSEO I o n0 GRAND TERRACE,CA.92313 ' i CONTACT: o �. z A JOYCE POWER8 C-11 22795 BARTON ROAD,GRAND TERRACE,CA. 92313-5295 s� P o (I(Ii01N11 (909)430-2225 FAX(909)783-2600CF 9r�. E-MAIL:)powers@cityofgrandterrace.org 3 v O EQUIPMENT LIST 1 EX. REFRIGERATOR 32"W X 29" D EAS-T 2 EX. FREEZER 32"W X 29" D 3 EX. DESK 30"W X 60"L `~ 4 EX. ICE MECH 24"W X 24"D 5. EX. MICRO OVEN 30"W X 15" H 6 EX. OVEN 30"W X 23" H 7 EX. HOT TABLE 44"W X 23"W/ 115V 8 FILE CABINET 18"W X 32"H /2 REQ. 9 FLY FAN 36"W 10 CUTTING BOARD 24"X 24" h` it S.S. WORK TABLE 24"X 84" W/4"SPLASH Qj 12 TABLE MIXER - - 1 2 _ 13 S.S. SHELF 12"W X 72"L /.3 REQ. - 14 STORAGE RACK 18•"D X 36"W /3 REQ. 15 STORAGE RACK 18"D X 48"W /6 REQ. 33 L/F TOTAL J g \ D r O 16 EMPLOYEE LOCKER 12"W X 36"H X 18"D/4'REQ. - 17 REFRIGERATOR 48"W X 29" D - — 18 EXISTING WATER HEATER 19 S.S.VEDG. SINK 36"W X 24" D 20 MOP SINK b ' 21 STORAGE CABINET&MOP HOLDER I 22 S.S. DISH TABLE 24"W X 94"L - 23 S.S. BASKET r 24 S.S.TRAY SHELF 20"W X 48" L 25 SPRAY FIXTURE - 26 DISH WASHER&LANDING i Ig 27 S.S. 3 TUB SINK 24"W X 90" L 28 S.S. POT&PAN SHELF 72"L ' 29 FLOOR SINK i 41 30 10 LB. FIRE EXTINGUISHER _ 6 31"ANSEL" FIRE SYSTEM I I - 1.4 - 32 HAND SINK& SOAP DISPENSER 33 S.S. SHELF 48"L X 12"W /2 REQ. 34 S.S. WORK TABLE 48" L X 24."W /2 REQ. 35 S.S. FILLER TABLE 15"W X 30" D � 36—`oENf.W--ROCEER 18—:'•'---R REQ— 37 4 BURNER,GRIDDLE&OVENS 60". 38 12'-0"S.S. EXHAUST HOOD 39 S.S. WORK TABLE 72" L X 30"W _ 40 S.S .WORK TABLE 36"L X 30"W -- -- -44- � =- 42 COFFEE MAKER 43 REFRIG. COLD TABLE UNIT EQUIPMENT PLAN 44 S.S. SHELF 48"L X 12"W 45 TOASTER 46 EXISTING POTS & PANS 47 EXISTING CULINARY UTENSILS 48 EXISTING CAN OPENER