11/10/1983CITY OF GRAND TERRACE
J
REGULAR COUNCIL MEETING
TERRACE VIEW ELEMENTARY SCHOOL
22731 Grand Terrace Road
AGENDA
* Call to Order
* Invocation - Pastor Ray Williams, Grand View Baptist Church
* Pledge of Allegiance
* Roll Call
NOVEMBER 10, 1983
5:30 P.M.
COMMUNITY REDEVELOPMENT AGENCY
1. Approval of Minutes (10/26/83)
Staff
Recommendations
Council Action
Approve
2. Approval of Check Register No. CRA111083
Approve
3. Approval of Fire Station Access Agreement with
Approve
Azure Hills Seventh Day Adventist Church
4. Bid Award - Stairways & Stamperete Project at
Terrace Hills Community Park
ADJOURN CRA TO AN ADJOURNED REGULAR MEETING ON
CONVENE CITY COUNCIL
1. Items to Add/Delete
2. Approval of Minutes (10/26/83)
Approve
3. Civic Center Project
COUNCIL
A. A RESOLUTION OF THE CITY OF THE CITY
Approve
OF GRAND TERRACE, SAN BERNARDINO COUNTY, CA,
AWARDING CONTRACT FOR THE CONSTRUCTION OF
CIVIC CENTER TO LOWEST RESPONSIBLE BIDDER
SUBJECT TO CERTAIN CONDITIONS.
B. Site Lease Agreement
C. Agency Agreement
D. Lease/Purchase Agreement
E. Trust Agreement
e
COUNCIL AGENDA
11/10/83
Page 2of3
4. SPECIAL PRESENTATION
A. Presentation & Film - Sue Noreen, Area
Manager, Southern Califorgia Edison Co.
�s; r
B. A RESOLUTION)%?1 CITY"COUNCIL OF THE CITY
OF GRAND TERRACE, CA, SUPPORTING THE
RELICENSING OF HYDROELECTRIC PROJECTS TO THE
SOUTHERN CALIF. EDISON CO. (FERC Project Nos
1388 & 1389)
5. CONSENT CALENDAR
The following Consent Calendar items are
expected to be routine & non -controversial.
They will be acted upon by the Council at
one time without discussion. Any Council
(Member, Staff Member, or Citizen may request
an item be removed from the Consent Calendar
for discussion.
A. Approval of Check Register No. 111083
Staff
Recommendations
Approve
B. Authorize Finance Officer to Attend Approve
Financial Management Seminar in Monterey
December 7-9, for an Estimated Cost of $499
C. Reject Liability Claim No. LC-83-04 Approve
D. A RESOLUTION OFTH CITY COUNCIL OF THE CITY Adopt
OF GRAND TERRACE, CA, AUTHORIZING THE
SUBMITTAL OF THE TDA (SB 821) BICYCLE &
PEDESTRIAN FACILITY CLAIM - ARTICLE 3.
E. Confirm CRA Action Relative to Bid Award - Approve
Stairways & Stamperete Project at Terrace
Hills Community Park
6. PUBLIC PARTICIPATION
7. ORAL REPORTS
A. Planning Commission
B. Parks & Recreation Committee
C. Historical & Cultural Activities Committee
(1) Accept Resignation of Barbara Mathews
D. Crime Prevention Committee
(1) Consider Appointment of Susan Crawford
to Fill Unexpired Term of Evelyn Strawn
to Expire 6/30/84
Council Action
COUNCIL AGENDA
11/10/83
Page 3 of 3
(2) Request to Reduce Number of Members
E. Emergency Operations Committee
F. Police Chief
G. Fire Chief
H. City Engineer
I. City Attorney
J. City Manager
K. City Council
(1) Proposed Assembly Bill No. 4 (Robinson)
(2) Utility Rate Control
Staff
Recommendations Council Action
8. PUBLIC HEARING - 7:30 P.M. 7 3
A. AN ORDINANCE OPTH CI Y COUNCIL OF THE CITY Adopt
OF GRAND TERRACE, CA., RESCINDING ORDINANCE
NO. 23 & AMENDING THE REGULATIONS FOR COM
PREHENSIVE LITTER CONTROL & MAINTENANCE OF
PUBLIC & PRIVATE PROPERTY (Second Reading)
9. UNFINISHED BUSINESS
A. Sign Code
ADJOURN TO AN ADJOURNED REGULAR MEETING ON
HRDA, NOVEMBER ,A
BE SUBMITTED IN WRITING TO THE CITY CLERK'S OFFICE
BY 12:00 NOON ON 11/9/83.
NOTICE:
THE COMMUNITY IS INVITED TO ATTEND A POTLUCK
DINNER TO BE HELD NOVEMBER 17 FROM 5:30-7:00 P.M.
TO COMMEMORATE THE CITY'S FIFTH BIRTHDAY. THE
CRA & COUNCIL MEETINGS WILL BEGIN AT 7:00 P.M.
THE REGULARLY SCHEDULED MEETING OF NOVEMBER 24 IS
CANCALLED.
THE CRA/COUNCIL MEETINGS IN DECEMBER WILL BE HELD
DECEMBER 1 & DECEMBER 14.
4
CRA-83-116 Motion by Mrs. Pfennighausen, Second by Mr. Petta, ALL AYES, to
approve Check Register No. CRA102683 as presented.
ADJOURN
The Community Redevelopment Agency adjourned at 7:20 p.m.; the next
regular meeting will be held November 10, 1983 at 5:30 p.m.
Respectfully submitted,
7ecre t
Ply
APPROVED:
Chairman
Page 3 -
CRA 10/26/83
COMMUNITY REDEVELOPMENT AGENCY PENDING CPA APPROVAL
CITY OF GRAND TERRACE CRA AGENDA ITEM NO a.
NOV. 10, 1983 CHECK REGISTER NO. CRA111083
CHECK
NO. OUTSTANDING DEMANDS AS OF NOV. 10, 1983
*(1)
P1299
CRA ASSOCIATION
REGISTRATION FOR "INTRODUCTION TO REDEVELOPMENT"
SEMINAR NOV. 9, 1983 LOS ANGELES AIRPORT HILTON
HOTEL, BARBARA MICHOWSKI.
$ 135.00
(2)
P1300
BARMAKIAN
WOLFF LANG CHRISTOPHER
CONSTRUCTION DOCUMENTS 100% COMPLETE ON CIVIC
CENTER
11,905.77
(3)
P1301
BARMAKIAN
WOLFF LAND CHRISTOPHER
FINAL PAYMENT ON FIRE STATION ARCHITECT.
370.40
3(4)
P1302
EDWARD R.
CLARK
REDEVELOPMENT SYMPOSIUM AT CAL POLY OCT. 25, 1983
17.50
**(5)
P1303
SHEPHERD
& YOUNG INC.
10% RETENTION ON FIRE STATION CONSTRUCTION. BAL.
DUE ON CHANGE ORDER #5 IS $2,406.
53,290.00
TOTAL: $65,718.67
I CtRTIFY THAT, TO THE BEST OF MY KNOWLEDGE, THE AFORELISTED CHECKS FOR PAYMENT OF CRA LIABILITIES HAVE BEEN
AUDITED BY ME AND ARE NECESSARY AND APPROPRIATE EXPENDITURES FOR THE OPERATION OF THE CRA.
,30 ;r
EDWARD R. CLARK
TREASURER
* CHECKS RELEASED PRIOR TO CHECK REGISTER APPROVAL.
** CHECKS TO BE RELEASED WHEN NOTICE OF COMPLETION
IS FINAL.
U0 6c e: i•%+V • J r
12.242
F P 04Z T::P6 ST
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ego
C R A ITEM ( X) COUNCIL ITEM ( ) MEETING DATE: November 10, 1983
AGENDA ITEM NO.
SUBJECT: Azure'Hills Seventh Day Adventist Church and
City of Grand Terrace Agreement
At the last City Council meeting, the City Council approved the
Agreement between the Azure Hills Church and the City of Grand
Terrace for the construction of the parking lot and the access
roadway to the fire station through the church parking lot. The
source of funding for this particular project is from CRA,
therefore, the Board of Directors of the CRA must take the
same action that the City Council took at their last meeting.
Staff recommends that the CRA Board of Directors:
APPROVE THE AGREEMENT BETWEEN THE AZURE HILLS SEVENTH DAY
ADVENTIST CHURCH AND THE CITY OF GRAND TERRACE. AUTHORIZE
$4,077.00 BE TRANSFERED FROM BALANCE FORWARD JUNE 30, 1984 TO
22-4914-260 LEAVING AN ADJUSTED BALANCE FORWARD OF $95,118.00.
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uaLe:
A-7- STO�FF
REPORT
C R A ITEM (X ) COUNCIL ITEM ( ) MEETING DATE: November 10, 1983
AGENDA ITEM NO.
Nov. 3, 1983, �
12-10.1024
12-10.1025
SUBJECT: Bid Award GTB 83-07 CRA -- Steps & Planting at Jr. High & Terrace Hills Park
and Stamp-crete restroom park project
On September 22, 1983, the CRA authorized bid advertisement on the construc-
tion of two stairways and stamp-crete at Terrace Hills Park. The Engineer's
estimate for this project was $9,000.
The bid opening was held on November 1, 1983 at 2:00 p.m. with only two
contractors submitting bids. The bid results were as follows:
Bidder Address Bid Amount
SCC General Contractor
Steve Pandza Constructors
22816 La Paix
Grand Terrace, CA 92324
P.O. Box 549
Norco, CA 91760
The original budget for these projects was as follows:
Proj. Acct. Current
Desc. No. Budgeted Const. Bal. Bid Amt.
Steps 22-4940 81,000 7,000 6,700
Stamp-
crete 22-4941 2,500 2,000 3,300
The total funds required for the stamp-crete project is $1,300.
$11,378
$10,000
Funding Balance
Avail. Req'd.
+300
1,300
Funds are available totaling $300 from the stairway project, Dept. No. 22-4940 and
additional funds totaling $1,000 need to be reallocated to Dept. No. 22-4941 from
Balance Forward June 30, 1984.
Staff recommends that the Community Redevelopment Agency:
1. APPROVE THE TRANSFER OF $300 FROM STEPS & PLANTING AT JR. HIGH & TERRACE
HILLS PARK TO STAMP-CRETE RESTROOM PARK PROJECT AND APPROPRIATE AN
ADDITIONAL $1,000 FROM BALANCE FORWARD JUNE 30, 1984 TO COMPLETE
STAMP-CRETE RESTROOM PROJECT, LEAVING AN ADJUSTED BALANCE FORWARD OF
$94,118. THIS WILL BE A TOTAL OF $1,300 TO COMPLETE STAMP-CRETE
PROJECT.
2. AWARD THE CONSTRUCTION CONTRACT TO STEVE PANDZA CONSTRUCTORS IN THE AMOUNT
OF $10,000.
AE/JK/lbk
PUBLIC PARTICIPATION
Dick Rollins, 22700 DeBerry, apologized for being unable to act as the
City's representative for United Nations Day; indicated the Sheriff's
deputies have been receiving complaints relative to ticketing vehicles
parked on street -sweeping days.
Steve Kiacz, referencing the proposed litter/property maintenance
ordinance, requested Council consider a situation which exists on Mt.
Vernon and Brentwood where many cars are parked on public property,
only being moved on street -sweeping days, with no apparent hobby being
pursued; feels the City's beauty has depreciated since Council has
allowed individuals to keep cars on property for hobby purposes.
CONSENT CALENDAR
Item A, Check Register No. 102683, was removed for discussion.
CC-83-291 Motion by Councilman Nix, Second by Councilman Petta, ALL AYES, to
approve the following items on the Consent Calendar:
B. - Authorize City Clerk to attend League of Cities Election Seminar
in Monterey November 30-December 2;
C. - Authorize transfer of $550 from 6-30-84 Balance Forward to Line
Item 10-4125-210, Office Expense, to cover cost of subscription
service with West Publishing Company; and
D. - Accept Grand Terrace Fire Station from CRA.
CHECK REGISTER NO. 102683
The expenditures for Warrant Nos. 11616 and 11630 were clarified; the
City Attorney advised, relative to Warrant No. 11634, that the City
contracts with Phillip Page, the father; the fact that Thomas Page
does the work is between Mr. Page and his son.
CC-83-292 Motion by Mayor Grant, Second by Councilman Petta, ALL AYES, to
approve Check Register No. 102683 as presented.
PLANNING COMMISSION REPORT
Commissioner John McDowell advised
higher density housing due to land
Commission and Council relative to
properties.
PARKS & RECREATION COMMITTEE REPORT
developers are attempting to build
values; cautioned the Planning
allowing more housing on
Chairman Dick Rollins reported the following: (1) invited Council to
attend the Halloween Program at Terrace Hills Junior High October 31;
(2) a Christmas Program will be held in December, and "Train Don't
Strain" will be held in the Spring; People Helper's is presently
beginning various recreation and crafts programs.
Page 4 -
10/26/83
Weekend Park Maintenance - Dick Rollins stated he has been
maintaining, opening and closing the park on weekends for over two
years at no cost to the City; feels it is necessary to keep the park
secured and clean on weekends, since it is most heavily used at that
time; has previously been paying Phillip Page himself to have Thomas
Page do the work when he has been out of town; requested consideration
of hiring someone to do this; felt funds are available, since $4,000
was saved on this year's maintenance contract.
CC-83-293 Motion by Councilman Nix, Second by Councilwoman Pfennighausen, ALL
AYES, to direct Staff to continue the interim plan of providing for
weekend maintenance services by Phillip Page, by contract or
agreement, until a final solution has been reached.
HISTORICAL & CULTURAL ACTIVITIES COMMITTEE
Chairperson Barbara Mathews recommended, with Council concurring, that
a potluck dinner be held on November 17 from 5:30 - 7:00 p.m., with
Council Meeting convening at 7:00 p.m.
CC-83-294 Motion by Councilman Petta, Second by Councilwoman Pfennighausen, ALL
AYES, to approve the Historical & Cultural Committee's request to
conduct the Committee Meetings on the first Monday of each month at
7:00 p.m. at the Red Carpet Realty Conference Room at 22456 Barton
Road. Councilman Nix advised the PTA no longer occupies the Community
Center; the availability of meeting rooms for small groups has
increased significantly.
CC-83-295 Motion by Councilman Nix, Second by Councilman Rigley, ALL AYES, to
declare the position of Art Thiede vacant on the Historical & Cultural
Activities Committee, due to non-attendance.
Country Fair Donations - Barbara Mathews questioned if donations could
Fe —accepted to offset the costs of this function, and how they should
be handled; the City Attorney recommended that Council take action to
increase the Committee's budget in accordance with the total amount of
donations received.
Committee Member Terms - Barbara Mathews advised she and Ann Petta's
terms are due to expire in June of 1984; should they be reappointed
for another four year term, they will exceed the maximum eight years
as stated in the Policy; requested a determination. The City Attorney
advised no legality is involved; Council established the policy and
can also modify it. Councilman Nix felt the policy should be
followed for committees which receive many applications, but an
exception should be made in this case until such time as this
committee has that situation.
CC-83-296 Motion by Councilman Nix, Second by Councilman Petta, ALL AYES, to
approve the exception to the eight -year limitation rule for the
Historical & Cultural Activities Committee at this time.
Page 5 -
10/26/83
Theatre on the Terrace - Barbara Mathews stated Council agreed to the
formation of a theater group on May 12 and indicated it was not to
affect any of the duties and responsibilities of the Historical &
Cultural Activities Committee; stated the Committee questions the
references in the theater group's bylaws to "performing arts" and
"promoting community involvement and participation in cultural &
musical recreation," feeling it duplicates the cultural objectives of
the Committee; requested clear specification of the theater group's
duties.
Council indicated the theater group was to be established as an entity
separate from the City, with the City providing funding to allow the
group to get started, and not necessarily to continue funding this
group's activities; therefore, did not feel the City has the right to
dictate the contents of that group's bylaws. Did not feel there would
be a problem of duplication of activities; stated the Committee is to
retain its role for the City as outlined in the duties and
responsibilities. Recommended taking no action at this time, but to
consider the matter later if it becomes apparent the theater group is
infringing upon the Committee's activities; indicated support of both
groups.
Councilman Petta stated the Historical & Cultural Activities Committee
needs clarification of this matter for planning purposes; felt taking
no action creates confusion and concerned it could invalidate the
City -appointed Committee.
CRIME PREVENTION COMMITTEE - Mayor Grant indicated a report dated
August 15 was submitted outlining the Committee's goals.
EMERGENCY OPERATIONS COMMITTEE - Chairman Mike Harris reported the
following: outlined the ommittee's progress since formation; (2)
presently processing an Emergency Operations Plan for the community;
(3) next meeting will be held November 17 at the Multi -Agency
Operation Coordination Center in Riverside to gain information
relative to formulating a plan for processing data in times of
emergency; (4) will participate in Country Fair by promoting community
awareness of the Committee and to distribute earthquake preparedness
material; (5) request will be forthcoming to increase the number of
members on the Committee. Mayor Grant presented the disaster plan of
the Church of Jesus Christ Latter -Day Saints for Committee review.
Council commended the Committee for its efforts in preparing an
emergency plan and operating procedure.
THEATRE ON THE TERRACE - Chairman Bob Magnusson stated the concerns
expressed y the Fistorical & Cultural Activities Committee will be
discussed at the group's next board meeting; indicated there is no
intent to infringe on that Committee's objectives, and a desire to
work together. Secretary Linda Pue advised the group has adopted its
bylaws, elected a board of directors, and has established dates for a
production; questioned what the City's procedure is to dispense the
funds which have been allotted by Council.
Page 6 -
10/26/83
M
Council discussed and concurred that the City should not be involved
with the theater group incorporating and achieving non-profit status;
indicated the group has shown sufficient evidence of being organized
to receive the City's donation.
CC-83-297 Motion by Councilman Nix, Second by Councilman Petta, to accept the
theater group's bylaws, the Board of Directors Roster and 1984 season
schedule, which have been presented to Council, as sufficient evidence
of the establishment of the Theatre on the Terrace organization, and
to approve proceeding with the funding of this program as budgeted.
Council discussed various methods of dispensing the funds to the
theater group, and further discussed incorporation. Councilman Nix
clarified the intent of his Motion was to endorse the function the
theater group is performing in behalf of the community and the City is
providing an avenue for the group to get started by making a donation
to that organization. That organization will have to determine
whether or not it will go through the lengthy, costly process of
incorporation to get the protection a corporation provides and the
issue of insurance, as any other organization must do.
Motion No. CC-83-297 carried, ALL AYES. The theater group is to
submit a budget outlining the proposed use of the $2,000 donated by
the City; the City will then give Theatre on the Terrace a $2,000
check to be deposited in an account by that title; the theater group
is to submit a quarterly report to the City, similar to that submitted
by CCS.
Recess was called at 8:55 p.m. and reconvened at 9:12 with all members
present.
POLICE CHIEF REPORT
Capt. Jim Bradford advised he will try to obtain sufficient
Neighborhood Watch Signs to be placed at each entrance to the City.
CITY MANAGER REPORT
The City Manager requested consideration to change the Council
Meetings to Tuesdays; following discussion, Council concurred that
Council Meetings will continue on Thursdays.
CITY COUNCIL REPORTS
Councilman Nix, reporting on the League of Cities Annual Conference
held October -5 in San Francisco, stated he felt the participation of
City representatives in the conference was very worthwhile and
beneficial; supports membership in the League of Cities based on the
activities, communication and the legislative input received from that
organization. Became aware of the Award for Excellence competition
which exists throughout the cities of the State; 40-50 cities
submitted programs for consideration; the five finalists selected
Page 7 -
10/26/83
presented their projects; stated hearing what the City of Brisbane,
the winner, has done with its RDA Program by cleaning up a City dump,
which was an eyesore, and replacing it with a marina project similar
to that of Marina Del Rey, provided inspiration and ideas for our
City. Stated the theme of the conference was "Partnership in Action."
Felt our City should be more communicative and share some of our
City's projects with the League of Cities such as its joint operating
agreement with the School District and the lease arrangement which the
City has with the Lions Club for the Community Center; indicated other
cities were interested in this unique arrangement. Recommended
pursuing a project in the future which would benefit the area and
would also be a candidate for the Award for Excellence Program.
Councilwoman Pfenni hausen reported the following: (1) commended Staff
on the agendaformat; requested that the firm which manages the
shopping center be commended for cleaning up the center; hopes it
continues.
Mayor Grant reported the following: (1) a reservation has been made
for t e ntroduction to Redevelopment Seminar," should anyone wish to
attend; (2) Response was received from Congressman Brown relative to
the issue of the postal department purchasing donuts for employees,
indicating they are an incentive for reducing accidents; (3) a
Public/Private Partnership Seminar will be held at the San Bernardino
Convention Center November 9; (4) a Cities/County Conference will be
held at Lake Arrowhead November 3-4; (5) the PTA has requested Council
show support by distributing literature at the Country Fair November
5; (6) recommended, with Councilwoman Pfennighausen concurring, that
some method be established, such as staggering workdays, so that
someone in City Hall can be contacted on weekends and holiday periods;
(7) glad work is being done at Barton Road and the Freeway; questioned
whether or not this will address Mr. Grable's concern relative to the
bushes being too high and the possibility of cars being hit on the
left when entering Barton Road from the freeway; (8) attended and gave
some awards at the Colton Tournament of Bands; (9) referenced a
memorandum indicating the insurance premiums for health insurance for
the employees will increase significantly, making it difficult for
many of the employees to afford the insurance; encouraged Staff to
continue to search for a better plan; (10) questioned the status of
sharing traffic fines with Loma Linda; and (11) Council concurred with
holding the Council Meetings on November 10 and 17 and December 1 and
14.
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF GRAND TERRACE, CA,
RESCINDING ORDINANCE NO. 23 & AMENDING THE REGULATIONS FOR
COMPREHENSIVE LITTER CONTROL & MAINTENANCE OF PUBLIC & PRIVATE
PROPERTY. (First Reading)
The City Attorney read the title of the Ordinance. The Administrative
Assistant advised that based upon review with the City Attorney, Staff
has concluded that Sections 22660 thru 22671 of the State Vehicle Code
should remain as enabling legislation making it permissible for cities
Page 8 -
10/26/83
to take action against inoperable vehicles on private property;
provides for written, advance notice to the property owner and the
right to a public hearing prior to any abatement action being taken;
specifies in those sections the procedures to be taken to abate
inoperable vehicles in front yards as a public nuisance; recommended
not expanding the glossary of terms, since the terms appear to be
self-explanatory; changed the word "object" to "item."
Supporting Testimony - John McDowell, 22690 Cardinal, stated he has
said many times previously there is no good reason why this ordinance
should not be adopted; indicated comments made about what is meant by
"inoperative," and references to fantasies, hobbies and family
programs are irrelevant; felt the City should not be cluttered when
surrounding cities have a similar ordinance and do not allow this.
Opposing Testimony - Ken Rinderhagen, 12738 Wilmac indicated
opposition to Section 22660 of the Vehicle Code unless a definition is
provided for "visible." Supports in terms of "abandoned" vehicles;
feels people should be allowed to pursue hobbies; questioned how
"used" and "unused" can be qualified.
Rebuttal Testimony - John McDowell questioned why property owners
should be al owed to have cluttered properties, which is an eyesore to
the surrounding properties, causing them to decrease in value, and
resulting in inverse condemnation.
Dick Rollins, 22770 DeBerry, questioned how this ordinance will be
enforced, indicating Ordinance No. 23 isn't presently being enforced,
since many trees and shrubs in the City presently block the sidewalks.
Councilwoman Pfennighausen felt the proposed ordinance could become a
trap, since many items are not specifically defined; indicated a
similar ordinance for San Bernardino is more detailed; felt
enforcement will be time-consuming; indicated will not support the
ordinance if Section 8 is included. Councilman Rigley indicated the
City has needed an ordinance such as this for some time; stated the
ordinance covers many more areas of concern than just vehicles; feels
enforcement can be accomplished.
CC-83-298 Motion by Councilman Nix, Second by Mayor Grant, ALL AYES, that the
Motion to approve first reading of the Ordinance be by title only.
CC-83-299 Motion by Councilman Rigley, Second by Councilman Petta, to approve
first reading by title only of the ordinance rescinding Ordinance No.
23 and amending the regulations for comprehensive litter control and
maintenance of public and private property, and to set public hearing
and second reading of the ordinance for November 10, 1983, carried
4-1, with Councilwoman Pfennighausen voting NOE.
Page 9 -
10/26/83
November 10, 1983 PcNDING CITY
COUNCIL APPROVAL.
j RESOLUTION NO. _ Council Agenda Item No. 3A
RESOLUTION OF THE CITY COUNCIL OF THE
CITY OF GRAND TERRACE, SAN BERNARDINO
COUNTY, CALIFORNIA, AWARDING CONTRACT
FOR CONSTRUCTION OF THE CIVIC CENTER
PROJECT TO LOWEST RESPONSIBLE BIDDER
SUBJECT TO CERTAIN CONDITIONS
WHEREAS, the City of Grand Terrace proposes to finance con-
struction of certain public facilities generally described as
follows:
Construction of a civic center including
appurtenances and appurtenant work and
other costs and expenses incident thereto
hereinafter collectively called "the Project"; and
WHEREAS, the City Council has determined that it is in the
best interests and for the common benefits of the citizens of the
City that the City finance construction of the Project by:
(i) leasing -a site to Crocker National Bank (the "Bank") pursuant
to a Site Lease; (ii) causing the Project to be constructed on the
Site from the proceeds of Certificates of Participation issued by
Crocker National Bank; (iii) conveying all right and title to the
Project to the Bank, as Trustee for the Certificate Holders; and
(iv) entering into a Lease -Purchase Agreement relating to the
lease -purchase of the Project and the lease -back of the Site for
the term specified in the Lease -Purchase Agreement; and
WHEREAS, the Bank will act as Trustee for and on behalf of
the owners of the Certificates of Participation; and
WHEREAS, the net proceeds from the sale of the Certificates
of Participation will be disbursed by the Bank, at the discretion
of the City Council, for the construction and equipping of the
Project and other aspects of the transaction as set forth in the
Lease -Purchase Agreement; and
WHEREAS, pursuant to an Agency Agreement, the City shall act
as the agent of the Bank for the purpose of the supervision and
construction of the Project; and
WHEREAS, the City Council has heretofore approved Plans and
Specifications for construction of the Project and has publically
advertised for and received bids for construction of the Project;
NOW, THEREFORE, be it resolved by the City Council of the
City of Grand Terrace as follows:
Section
1.
The
above
recitals are
all true
and
correct.
Section
2.
The
City
Council hereby
awards
the
contract(s)
for construction of the Project to the lowest responsible
bidder(s) as follows:
Maveric Construction Corp.
299 So. Waterman Avenue
San Bernardino, CA 92402
and rejects all other bids.
Section 3. The foregoing award shall be subject to issuance
and delivery of Certificates of Participation to finance construc-
tion of the Project.
Section 4. The officers of the City are hereby authorized
and directed to execute contracts for construction of the Project
and to otherwise take all appropriate action in accordance with
the bid documents.
Section 5. This Resolution shall take effect upon adoption.
a
n
n
ADOPTED this loth day of November, 1983.
ATTEST:
City Clerk of the City of Gran
Terrace and of the City Council
thereof.
Approved as to form:
City Attorney
- 3 -
Mayor of the City of GrandTerrace
and of the City Council thereof.
n
Nov 1 01983
COUNCIL AGENDA ITEM g
C SAMUEL SLICK
F MACKENZIE BROWN'
JOHN R HARPER*
IVAN L. HOPKINS
WILLIAM J KADI
GEORGE W. MCFARLIN
EUGENE A NAZAREK•
RONALD E NULL
•A PROFESSIONAL CORPORATION
LAW OFFICES OF
BROWN 6 NAZAREK
2171 CAMPUS DRIVE SUITE 330
IRVINE. CALIFORNIA 92715
(714) 752-8494
November 2, 1983
City of Grand Terrace
22795 Barton Road
Grand Terrace, California 92324
Attn: Seth Armstead
Re: Certificates of Participation
Civic Center Project
Dear Mr. Armstead:
RANCHO SANTA FE (619) 756-5994
SAN BERNARDINO (714) 824-8360
Enclosed please find copies of the third draft of the
following documents:
1. Site Lease
2. Agency Agreement
3. Lease/Purchase Agreement
4. Trust Agreement
On November 10, 1983, I will discuss these documents in
detail with the City Council.
EAN:mdh
Enclosures
cc: Ivan L. Hopkins
Very truly yours,
a
Eugene A. Nazarek
E�F17IVVEE
PEI DING CITY
COUNCIL APPROVAL
SITE LEASE
NOV 1 01983
COUNCIL AGENDA 1TEg 3
10/12/83
10/17/83
11/2/83
Dated as of , 19
Between
CITY OF GRAND TERRACE
A Duly Constituted Municipal Corporation
of the State of California, as Lessor
and
CROCKER NATIONAL BANK
A Corporation Organized and Existing as
A National Banking Association Under the Laws
of the United States, as Lessee
SITE -LEASE
THIS SITE LEASE is made and entred into as of -,
19 , by and between the CITY OF GRAND TERRACE, a duly consti-
tuteff municipal corporation of the State of California (the
"Agency"), as lessor, and CROCKER NATIONAL BANK, a corporation
organized and existing as a national banking association under the
laws of the United States (the "Corporation"), as lessee.
R E C I T A L S
WHEREAS, the Agency desires to acquire the use of certain
public and appurtenant facilities as described on Exhibit "A"
attached hereto and made a part hereof (the "Project"); and
WHEREAS, the Project will be located on real property owned
by the Agency, as described on Exhibit "B" attached hereto and
made a part hereof (the "Site"); and
WHEREAS, construction of the Project has not been commenced,
and the Agency desires to finance such construction by entering
into this Site Lease and all other agreements contemplated hereby;
and
WHEREAS, the Agency has determined that it is in the best
interests and for the common benefit of the citizens of the Agency
that the Agency finance construction of the Project by:
(i) leasing the Site to the Corporation pursuant to this Site
Lease; (ii) causing the Project to be constructed on the Site;
(iii) conveying all rights, title and interest of the Agency in
the Project to the Corporation, as trustee for the Certificate
Owners (as defined in the Lease -Purchase Agreement); and
(iv) entering into a Lease -Purchase Agreement relating to the
lease -purchase of the Project and the lease -back of the Site for
the term of the Lease -Purchase Agreement; and
WHEREAS, the Agency is statutorily authorized to lease the
Site as lessor and has duly authorized the execution of this Site
Lease; and
WHEREAS, the Corporation is authorized to lease real property
as lessee and to act as trustee in the manner contemplated herein
and in the Lease -Purchase Agreement and the Trust Agreement and
has duly authorized the execution of this Site Lease; and
WHEREAS, the Certificate Owners (as defined in the Lease -
Purchase Agreement), by their purchase of the Certificates, shall
be deemed to have entered into a contractual arrangement with the
Agency binding upon the Agency to the extent of its obligations
under this Site Lease; and
WHEREAS, the Agency desires to lease the Site to the Corpora-
tion and the Corporation desires to lease the site from the Agency
for the benefit of and on behalf of the Certificate Owners,
pursuant to the terms and conditions and for the purposes set
forth in the Site Lease:
C O V E N A N T S
NOW, THEREFORE, in consideration of the mutual covenants
hereinafter contained and for other valuable consideration, the
parties hereto agree as follows:
ARTICLE I
DEFINITIONS
Section 1.01. Definitions. All words and phrases defined in
Article I of the Lease -Purchase Agreement shall have the same
meaning in this Site Lease.
ARTICLE II
LEASE
Section 2.01. Lease. The Agency leases to the Corporation,
and the Corporation leases from the Agency, for the benefit and on
behalf of the Certificate Owners, on the terms and conditions set
forth herein and subject only to Permitted Encumbrances, the Site
situated in:
City of Grand Terrace
County of San Bernardino
State of California
more specifically described on Exhibit "B".
Section 2.02. Term. The term of this Site Lease shall
commence as of the date hereof and shall remain in full force and
effect from such date to and including:
December 1, 2013
unless such term is extended or earlier terminated as hereinafter
provided:
(a) If the Agency exercises its option to purchase the
Project, pursuant to Article IX of the Lease -Purchase
Agreement, by paying the then applicable Purchase Option
Price set forth in Exhibit "C" of the Lease -Purchase
Agreement, then the term of the Site Lease shall end on
the date of exercise of the option; or
(b) If, on December 11 2013, any Certificates of Participa-
tion delivered to finance construction of the Project
2.
shall not be fully paid and retired or provision made
for such payment and retirement, or if the Rental
Payments under the Lease -Purchase Agreement shall have
been abated, at any time and for any reason,_ then the
term of this Site Lease shall be extended until ten (10)
days after all such Certificates of Participation shall
be fully paid and retired or provision made for such
payment and retirement, except that the term of this
Lease shall in no event be extended beyond:
December 1, 2033
(c) If, prior to December 1, 2013, all such Certificates of
Participation shall be fully paid and retired or pro-
vision made for such payment and retirement, the term of
this Lease shall end ten (10) days thereafter or ten
(10) days after written notice to the Corporation,
whichever is earlier.
Section 2.03. Rental. The Corporation shall pay to the
Agency as and for rent— af-Fiereunder the sum of One Dollar ($1.00),
on or before the date of delivery of the Certificates of
Participation to the original purchaser thereof.
Section 2.04. Purpose. The Corporation shall use the Site
solely for the purpose of causing the Project to be constructed
thereon and leasing the Site and the Project to be constructed
thereon to the Agency, pursuant to the Lease -Purchase Agreement
and for such purposes as may be incidental thereto; provided, that
in the event of default by the Agency under the Lease -Purchase
Agreement, the Corporation may exercise the remedies provided in
the Lease -Purchase Agreement.
Section 2".05. Improvements. Title to all improvements made
on the Site during the term hereof shall vest in the Corporation
for the benefit of and on behalf of the Certificate Owners, which
title shall be held by the Corporation as part of the trust estate
pursuant to the Trust Agreement.
Section 2.06. Termination. The Corporation agrees, upon
termination of this Lease, to quit and surrender the Site in the
same good order and condition as the same was in at the time of
commencement of the term hereunder, reasonable wear and tear
excepted, and agrees that any permanent improvements and struc-
tures existing upon the Site at the time of the termination of
this Site Lease shall remain thereon and title thereto shall vest
in the Agency.
Section 2.07. Eminent Domain. In the event the whole or any
part of the Site or the improvements thereon is taken by eminent
domain, the interest of the Corporation shall be recognized and is
hereby determined to be the amount of the then unpaid Certificates
of Participation delivered to finance the construction of the
Project, including the unpaid principal and interest with respect
3.
F
to any Certificates of Participation then outstanding and the
balance of the award, if any, shall be paid to the Agency.
ARTICLE III
QUIET ENJOYMENT AND RIGHT OF ENTRY
Section 3.01. Quiet Enjoyment. The Agency covenants and
agrees that it will not take any action to prevent the Corporation
from having quiet and peaceable possession and enjoyment of the
Site during the term hereof and will, at the request of the
Corporation, and at the Agency's cost, to the extent that it may
lawfully do so, join in any legal action in which the Corporation
asserts its right to such possession and enjoyment.
Section 3.02. Right of Entry. The Agency reserves the right
for any of its duly authorized representatives to enter upon the
Site at any reasonable time to inspect the same or to make any
repairs, improvements or changes necessary for the preservation
thereof.
ARTICLE IV
ASSIGNMENT, SUBLEASING, MORTGAGING AND SELLING
Section 4.01. Assignment and Subleasing. Unless the Agency
shall be in default under the Lease -Purchase Agreement, the
Corporation may not assign its rights under this Lease or sublet
the Site, except as provided in the Lease -Purchase Agreement,
without the written consent of the Agency.
Section 4.02. Restrictions on -Agency. The Agency agrees
that it will not mortgage, sell, encumber, assign, transfer or
convey the site or any portion thereof during the term of this
Site Lease, without the written consent of the Corporation.
ARTICLE V
DEFAULT
Section 5.01. Default. In the event the Corporation shall
be in default in the performance of any obligation on its part to
be performed under the terms of this Lease, which default
continues for thirty (30) days following notice and demand for
correction thereof to the Corporation, the Agency may exercise any
and all remedies granted by law, except that no merger of this
Lease and of the Lease -Purchase Agreement shall be deemed to occur
as a result thereof; provided, however, that so long as any of the
Certificates of Participation are outstanding and unpaid in
accordance with the terms thereof, the Rental Payments payable
under the Trust Agreement shall continue to be paid by the
Agency.
4.
ARTICLE VI
F1
SPECIAL COVENANTS
Section 6.01. Owner in Fee.
the owner in fee of the Site.
The Agency covenants that it is
Section 6.02. Taxes. The Agency covenants and agrees to pay
any and all assessments of any kind or character and also all
taxes, including possessory interest taxes, levied or assessed
upon the Site (including both land and improvements).
Section 6.03. Waste. The Corporation agrees that at all
times that it is in possession of the Site, it will not commit,
suffer or permit any waste on the Site, and that it will not
willfully or knowingly use or permit the use of the Site for any
illegal purpose or act.
Section 6.04. Further Assurances and Corrective Instruments.
The Agency and the Corporation agree that they will, from time to
time, execute, acknowledge and deliver, or cause to be executed,
acknowledged and delivered, such supplements hereto and such
further instruments as may reasonably be required for correcting
any inadequate or incorrect description of the Site hereby leased
or intended to be leased or for carrying out the expressed
intention of this Lease and the Lease -Purchase Agreement.
ARTICLE VII
MISCELLANEOUS
Section 7.01. Waiver of Personal Liability. All liabilities
under this Lease on the part o the Corporation are solely liabil-
ities of the Corporation, and the Agency hereby releases each and
every incorporator, member, director and officer of the
Corporation of and from any personal or individual liability under
this Lease. No incorporator, member, director or officer of the
Corporation shall at any time or under any circumstances be
individually or personally liable for anything done or omitted to
be done by the Corporation under this Lease.
Section 7.02. Partial Invalidity. If any one or more of the
terms, covenants or conditions ot this Lease shall to any extent
be declared invalid, unenforceable, void or voidable for any
reason whatsoever by a court of competent jurisdiction, the
finding or order or decree of which becomes final, none of the
remaining terms, provisions, covenants and conditions of this
Lease shall be affected thereby, and each provision of this Lease
shall be valid and enforceable to the fullest extent permitted by
law.
Section 7.03. Notices. Any notices or filings required to
be given or made under this Lease shall be served, given or made
in writing upon Agency by personal delivery or registered mail
5.
addressed to:
n
4
CITY OF GRAND TERRACE
22795 Barton Road
Grand Terrace, California 92324
and upon Corporation by personal delivery or registered mail
addressed to:
CROCKER NATIONAL BANK
Corporate Trusts Group
333 South Grand Avenue, Suite 530
Los Angeles, California 90071
or at such other place as may be designated by either party in
writing.
Section 7.04. Binding Effect. This Lease shall inure to the
benefit of and shall be binding upon the Agency, the Corporation
and their respective successors and assigns.
Section 7.05. Amendments, Changes -and Modifications. This
Lease shall not be effectively amended, changed, modified, altered
or terminated without the written agreement of both parties
hereto.
Section 7.06. Execution in Counterparts. This Lease may be
simultaneously executed in several counterparts, each of which
shall be an original and all of which shall constitute but one and
the same instrument.
Section 7.07. Applicable Law. This Lease shall be governed
by and construed in accordance wil—th the laws of the State of
California.
Section 7.08. Headings. The captions or headings in this
Lease are for convenience only and in no way define, limit or
describe the scope or intent of any provisions or sections of this
Lease.
IN WITNESS WHEREOF, the Agency has caused this Agreement to
be executed by its officers and its corporate seal affixed, and
the Corporation has caused this Agreement to be executed by its
Vice -President, all as of the day and year first above written.
ATTEST:
By: . .
(SEAL)
6.
CITY OF GRAND TERRACE,
as Lessor
By:
CROCKER NATIONAL BANK,
as Lessee
By: -
vice -President
7.
10/12/83
j 10/17/83
it /z 1$3
SITE LEASE
Dated as of , 19
Between
CITY OF GRAND TERRACE
A Duly Constituted Municipal Corporation
of the State of California, as Lessor
and
A Corporation Organized and Existing as
A National Banking Association Under the Laws
of the United States, as Lessee
u
I
SITE -LEASE
THIS SITE LEASE is made and entred into as of - ,
19 , by and between the CITY OF GRAND TERRACE, a auly consti-
tuteJ municipal corporation of the State of California (the
"Agency") , as lessor, and C49CK,E,, &471,v/1.4A- a cor-
poration organized and existing as a national -fan banking association
under the laws of the United States (the "Corporation"), as
lessee.
R E C I T A L S
WHEREAS, the Agency desires to acquire the use of certain
public and appurtenant facilities as described on Exhibit "A"
attached hereto and made a part hereof (the "Project"); and
WHEREAS, the Project will be located on real property owned
by the Agency, as described on Exhibit "B" attached hereto and
made a part hereof (the "Site"); and
WHEREAS, construction of the Project has not been commenced,
and the Agency desires to finance such construction by entering
into this Site Lease and all other agreements contemplated hereby;
and
WHEREAS, the Agency has determined that it is in the best
interests and for the common benefit of the citizens of the Agency
that the Agency finance construction of the Project by:
(i) leasing the Site to the Corporation pursuant to this Site
Lease; (ii) causing the Project to be constructed on the Site;
(iii) conveying all rights, title and interest of the Agency in
the Project to the Corporation, as trustee for the Certificate
Owners (as defined in the Lease -Purchase Agreement); and
(iv) entering into a Lease -Purchase Agreement relating to the
lease -purchase of the Project and the lease -back of the Site for
the term of the Lease -Purchase Agreement; and
WHEREAS, the Agency is statutorily authorized to lease the
Site as lessor and has duly authorized the execution of this Site
Lease; and
WHEREAS, the Corporation is authorized to lease real property
as lessee and to act as trustee in the manner contemplated herein
and in the Lease -Purchase Agreement and the Trust Agreement and
has duly authorized the execution of this Site Lease; and
WHEREAS, the Certificate Owners (as defined in the Lease -
Purchase Agreement), by their purchase of the Certificates, shall
be deemed to have entered into a contractual arrangement with the
Agency binding upon the Agency to the extent of its obligations
under this Site Lease; and
M
4
C
WHEREAS, the Agency desires to lease the Site to the Corpora-
tion and the Corporation desires to lease the site from the Agency
for the benefit of and on behalf of the Certificate Owners,
pursuant to the terms and conditions and for the purposes set
forth in the Site Lease:
C O V E N A N T S
NOW, THEREFORE, in consideration of the mutual covenants
hereinafter contained and for other valuable consideration, the
parties hereto agree as follows:
ARTICLE I
DEFINITIONS
Section 1.01. Definitions. All words and phrases defined in
Article I of the Lease -Purchase Agreement shall have the same
meaning in this Site Lease.
ARTICLE II
LEASE
Section 2.01. Lease. The Agency leases to the Corporation,
and the Corporation leases from the Agency, for the benefit and on
behalf of the Certificate Owners, on the terms and conditions set
forth herein and subject only to Permitted Encumbrances, the Site
situated in:
City of Grand Terrace
County of San Bernardino
State of California
more specifically described on Exhibit "B".
Section 2.02. Term. The term of this Site Lease shall
commence as of the date hereof and shall remain in full force and
effect from such date to and including:
unless such term is extended or earlier terminated as hereinafter
provided:
(a) If the Agency exercises its option to purchase the
Project, pursuant to Article IX of the Lease -Purchase
Agreement, by paying the then applicable Purchase Option
Price set forth in Exhibit "C" of the Lease -Purchase
Agreement, then the term of the Site Lease shall end on
the date of exercise of the option; or
(b) If, on `1 any Certificates of Parti-
cipation a ived`- reto finance construction of the
2.
V
Proj-Lrt shall not be fully paid and retired or provision
made for such payment and retirement, or if the Rental
Payments under the Lease -Purchase Agreement shall have
been abated, at any time and for any reason, then the
term of this Site Lease shall be extended until ten (10)
days after all such Certificates of Participation shall
be fully paid and retired or provision made for such
payment and retirement, except that the term of this
Lease shall in no event be extended beyond:
/ - . -M-o
(c) If, prior to Arm. �0/3
/ , ,'s all such Certifi-
cates of Participation shall be ful y paid and retired
or provision made for such payment and retirement, the
term of this Lease shall end ten (10) days thereafter or
ten (10) days after written notice to the Corporation,
whichever is earlier.
Section 2.03. Rental. The Corporation shall pay to the
Agency as and for rent Thereunder the sum of One Dollar ($1.00),
on or before the date of delivery of the Certificates of
Participation to the original purchaser thereof.
Section 2.04. Purpose. The Corporation shall use the Site
solely for the purpose of causing the Project to be constructed
thereon and leasing the Site and the Project to be constructed
thereon to the Agency, pursuant to the Lease -Purchase Agreement
and for such purposes as may be incidental thereto; provided, that
in the event of default by the Agency under the Lease -Purchase
Agreement, the Corporation may exercise the remedies provided in
the Lease -Purchase Agreement.
Section 2.05. Improvements. Title to all improvements made
on the Site during the term hereof shall vest in the Corporation
for the benefit of and on behalf of the Certificate Owners, which
title shall be held by the Corporation as part of the trust estate
pursuant to the Trust Agreement.
Section 2.06. Termination. The Corporation agrees, upon
termination of this ease, to quit and surrender the Site in the
same good order and condition as the same was in at the time of
commencement of the term hereunder, reasonable wear and tear
excepted, and agrees that any permanent improvements and struc-
tures existing upon the Site at the time of the termination of
this Site Lease shall remain thereon and title thereto shall vest
in the Agency.
Section 2.07. Eminent Domain. In the event the whole or any
part of the Site or the improvements thereon is taken by eminent
domain, the interest of the Corporation shall be recognized and is
hereby determined to be the amount of the then unpaid Certificates
of Participation delivered to finance the construction of the
Project, including the unpaid principal and interest with respect
3.
1
addressed to:
CITY OF GRAND TERRACE
22795 Barton Road
Grand Terrace, California 92324
and upon Corporation by personal delivery or registered mail
addressed to:
C �G�tG,�'/L it/f�7�ON�9� ,Sr�iYK
��/oi'�
3 7 3o v�1�. Crre•.•.0 i3Lu�
Sui t+c ,40.0 L� !� 5700 7/
/5�a�- �/rs i
or at such other place as may be designated by either party in
writing.
Section 7.04. Binding Effect. This Lease shall inure to the
benefit of and shall be binding upon the Agency, the Corporation
and their respective successors and assigns.
Section 7.05. Amendments, Changes and Modifications. This
Lease shall not be effectively amended, changed, mo i led, altered
or terminated without the written agreement of both parties
hereto.
Section 7.06. Execution in Counterparts. This Lease may be
simultaneously executea in several counterparts, each of which
shall be an original and all of which shall constitute but one and
the same instrument.
Section 7.07. Applicable Law. This Lease shall be governed
by and construed in accordance with the laws of the State of
California.
Section 7.08. Headings. The captions or headings in this
Lease are for convenience only and in no way define, limit or
describe the scope or intent of any provisions or sections of this
Lease.
IN WITNESS WHEREOF, the Agency has caused this Agreement to
be executed by its officers and its corporate seal affixed, and
the Corporation has caused this Agreement to be executed by its
Vice -Presidents all as of
the day and year first above written.
ATTEST:
By:
(SEAL)
6.
CITY OF GRAND TERRACE,
as Lessor
By:
(SEAL)
7.
as Lessee
By:
• Vice -President
n
EXHIBIT "A"
n
DESCRIPTION OF PROJECT
The Project consists of a Civic Center for the City of Grand
Terrace of approximately 20,600 square feet to be constructed in
accordance with Plans and Specifications prepared by Barmakian,
Wolff, Lang, Christopher - Architects, including all fixtures
attached thereto and all personal property acquired therefor with
proceeds for the Certificate of Participation.
EXHIBIT "B"
DESCRIPTION OF SITE
All that certain real property located in the County of San
Bernardino, State of California, described as follows:
0
f y
STATE OF CALIFORNIA )
ss.
COUNTY OF )
The undersigned, a Notary Public, does hereby certify that
and , whose names as
and , respectively, of
t e City of Grand Terrace, California, are signed to the Site
Lease, and who are each known to me and known to be such officers
of said City, acknowledged before me on this day under_ oath that,
being informed of the contents of this Site Lease, they, in the
capacities as officials of said City and with full authority,
executed and delivered the same voluntarily for and as the act of
said City on the day the same bears date.
Given under my hand and seal of office, this day of
, 19 .
Notary Pub is
My Commission expires:
(SEAL)
STATE OF CALIFORNIA )
ss.
COUNTY OF )
The undersigned, a Notary Public, does hereby certify that
and , whose names as
and , respectively, of
-, are signed to the Site Lease, and
who are each known to me and known to be such officers of said
acknowledged before me on this day under oath that, being
in ormed of the contents of this Site Lease, they, in their capa-
cities as officials of and with
full authority, executed and deliver;deliver;d Me same voluntarily for
and as the act of on the day the
same bears date.
Given under my hand and seal of office, this day of
, 19 .
Notary PuBlic
My Commission expires:
(SEAL)
Dated as of
PENDING CITY
COUNCIL APPROVAL
AGENCY AGREEMENT
Between
CROCKER NATIONAL BANK
NOV 1 0 1PP
COUNCIL AGENDA ITEM it 3
10/12/83
10/17/83
11/2/83
, 19
A Corporation Organized and Existing as
A National Banking Association Under the Laws
of the United States
and the
CITY OF GRAND TERRACE
A Duly Constituted Municipal Corporation
of the State of California
AGENCY -AGREEMENT
THIS AGENCY AGREEMENT is made and entered into as of
" 19 , by and between CROCKER NATIONAL BANK, a
corporation organized and existing as a national banking associa-
tion under the laws of the United States (the "Corporation") and
CITY OF GRAND TERRACE, a duly constituted municipal corporation of
the State of California (the "Agency"):
R E C I T A L S
WHEREAS, the Agency desires to acquire the use of certain
public and appurtenant facilities (the "Project"); and
WHEREAS, the Project will be located on real property owned
by the Agency (the "Site"); and
WHEREAS, the Agency has determined that it is in the best
interests and for the common benefit of the citizens of the Agency
that the Agency finance construction of the Project by:
(i) leasing the Site to the Corporation pursuant to a Site Lease;
(ii) causing the Project to be constructed on the Site; (iii) con-
veying all rights, title and interest of the Agency in the Project
to the Corporation, as Trustee for the Certificate Owners (as
defined in the Lease -Purchase Agreement); and (iv) entering into a
Lease -Purchase Agreement relating to the lease -purchase of the
Project and the lease -back of the Site for the term of the
Lease -Purchase Agreement; and
WHEREAS, the Agency and Corporation desire to enter into this
Agency Agreement to provide for the supervision and construction of
the Project:
C O V E N A N T S
NOW, THEREFORE, in consideration of the mutual covenants here-
in contained and for other valuable consideration, the parties
agree as follows:
SECTION 1. Definitions. All words and phrases defined in
Article I of the Lease -Purchase Agreement shall have the same
meaning in this Agency Agreement.
SECTION 2. Appointment. The Corporation hereby appoints the
Agency, as agent ot the Corporation, to carry out all phases of the
supervision and construction of the Project (including any repair,
rehabilitation or reconstruction required by damage to or the
taking under power of eminent domain of the Project), and to apply
construction moneys for that purpose. The Construction Fund shall
be applied by the Director of Financial Services of the Agency, as
agent of the Corporation, in all respects in accordance herewith
and with the Trust Agreement. The Agency, as agent of the Corpor-
ation, assumes all rights, duties and responsibilities of the
Corporation regarding supervision and construction of the Project
and installation of any equipment related thereto, except as
limited herein. The Project shall be constructed and supervised
in all respects in accordance with the provisions of the Lease -
Purchase Agreement. The Agency hereby agrees that it will cause
the work under all construction contracts to be diligently
performed after the deposit of funds with the Trustee pursuant to
Section 6.02 of the Trust Agreement, and that the Project will be
completed in accordance with the Plans and Specifications on or
before:
19
upon completion of construction of the Project satisfactory
to the Agency and Corporation, but in any event not later than
thirty (30) days after completion of construction, the Agency and
Corporation shall deliver to the Trustee and Director of Financial
Services a Certificate of Completion.
SECTION 3. Contracts. The Agency, as agent of the Corpora-
tion, shall directly enter into all purchase orders and contracts
for construction of the Project and installation of any equipment
related thereto.
SECTION 4. Payments. A Written Requisition of the Agency
shall be required to o authorize any payments made from the
Construction Fund by the Director of Financial Services, in
accordance with Section 6.03 of the Trust Agreement. The Agency
shall promptly send notice to the Trustee in writing of any
intended payment and the Trustee shall have the right, upon oral
or written notice received by the Agency within five (5) days
thereafter, to disallow any such payment for failure to comply
with Section 6.03 of the Trust Agreement.
SECTION 5. Project Description. The Agency, as agent of the
Corporation, shall have the right to make any changes in the
description of the Project or of any component or components
thereof, whenever the Agency in its sole discretion deems such
changes to be necessary; provided, however, that any such change
shall not alter the original nature of the Project or extend the
construction period, and that any increase in Construction Costs
resulting from such change shall, to the extent the increased
Construction Costs exceed the total balance in the Construction
Fund, be payable solely from other funds deposited with the
Director of Financial Services for deposit into the Construction
Fund prior to the approval of any such changes to the Project.
SECTION 6. Right and Duty to Supervise Construction and
Installation. The Agency, as agent of the Corporation, shall have
the rig t and duty to supervise construction of the Project and
installation of any equipment related thereto and monitor the
performance of the Contractors in accordance with the Construction
Contracts.
2.
SECTION 7. Right to Enforce Contracts. The Agency shall
have the right, power and duty to enforce in its own name or the
name of the Corporation all purchase orders and contracts at law
or in equity; provided, however, that nothing contained herein
shall prevent the Corporation from asserting such rights, powers
and duties in its own behalf.
SECTION 8. Effective Date. This Agreement shall become
effective as of the date of delivery of the Certificates of
Participation to the original purchaser and shall remain in full
force and effect until completion of construction of the Project
and acceptance thereof by the Agency, under the Lease -Purchase
Agreement.
SECTION 9. Binding Effect. This Agreement shall inure to
the benefit of an3s`fi_a71 be binding upon the Agency, the
Corporation and their respective successors and assigns.
SECTION 10. Severabilit . In the event any provision of
this Agreement shall b held invalid or unenforceable by any court
of competent jurisdiction, such holding shall not invalidate or
render unenforceable any other provision hereof.
SECTION 11. Amendments, Changes and Modifications. This
Agreement may not be effectively amended, c ange , mo 1fied,
altered or terminated without the written agreement of both
parties hereto.
SECTION 12. Execution in -Counterparts. This Agreement may
be simultaneously -executed in several counterparts, each of which
shall be an original and all of which shall constitute but one and
the same instrument.
SECTION 13. Applicable Law. This Agreement shall be
governed by and construed in accordance with the laws of the State
of California.
SECTION 14. Headings. The captions or headings in this
Agreement are for convenience only and in no way define, limit or
describe the scope or intent of any provisions or sections of this
Agreement.
SECTION 15. Notices. Any notices or filings required to be
given or made upon thi Agency Agreement shall be served, given or
made in writing upon the Agency by personal delivery or registered
mail addressed to:
CITY OF GRAND TERRACE
22795 Barton Road
Grand Terrace, California 92324
and upon the Corporation by personal delivery or registered mail
addressed to:
3.
n
n
CROCKER NATIONAL BANK
Corporate Trusts Group
333 South Grand Avenue
Suite 530
Los Angeles, California 90071
or at such other place as may be designated by either party in
writing.
IN WITNESS WHEREOF, the Agency has caused this Agreement to
be executed by its officers and its corporate seal affixed, and
the Corporation has caused this Agreement to be executed by its
Vice -President, all as of the day and year first above written.
ATTEST:
By:
(SEAL)
CITY OF GRAND TERRACE
By:
CROCKER NATIONAL BANK
By: • Vice -President
4.
4
10/12/83
10/17/83
// /Z / 0.7
AGENCY AGREEMENT
Dated as of , 19
Between
l A Corporation Organized and Existing as
A National Banking Association Under the Laws
of the United States
and the
CITY OF GRAND TERRACE
A Duly Constituted Municipal Corporation
of the State of California
u
AGENCY -AGREEMENT
THIS AGENCY AGREEMENT is made and entered into as of
19 , by and between G,LmGk, iyftJ/DyA.L.�
a corporation organized and existing as a nationalbanking
association under the laws of the United States (the "Corporation")
and CITY OF GRAND TERRACE, a duly constituted municipal corporation
of the State of California (the "Agency"):
R E C I T A L S
WHEREAS, the Agency desires to acquire the use of certain
public and appurtenant facilities (the "Project"); and
WHEREAS, the Project will be located on real property owned
by the Agency (the "Site"); and
WHEREAS, the Agency has determined that it is in the best
interests and for the common benefit of the citizens of the Agency
that the Agency finance construction of the Project by:
(i) leasing the Site to the Corporation pursuant to a Site Lease;
( ii ) causing the Project to be constructed on the Site; ( iii ) con-
veying all rights, title and interest of the Agency in the Project
to the Corporation, as Trustee for the Certificate Owners (as
defined in the Lease -Purchase Agreement); and (iv) entering into a
Lease -Purchase Agreement relating to the lease -purchase of the
Project and the lease -back of the Site for the term of the
Lease -Purchase Agreement; and
WHEREAS, the Agency and Corporation desire to enter into this
Agency Agreement to provide for the supervision and construction of
the Project:
C O V E N A N T S
NOW, THEREFORE, in consideration of the mutual covenants here-
in contained and for other valuable consideration, the parties
agree as follows:
SECTION 1. Definitions. All words and phrases defined in
Article I of the Lease -Purchase Agreement shall have the same
meaning in this Agency Agreement.
SECTION 2. Appointment. The Corporation hereby appoints the
Agency, as agent of the Corporation, to carry out all phases of the
supervision and construction of the Project (including any repair,
rehabilitation or reconstruction required by damage to or the
taking under power of eminent domain of the Project), and to apply
construction moneys for that purpose. The Construction Fund shall
be applied by the Director of Financial Services of the
Agency, as agent of the Corporation, in all respects in accordance
herewith and with the Trust Agreement. The Agency, as agent of the
Corporation, assumes all rights, duties and responsibilities of the
n
F]
Corporation regarding supervision and construction of the Project
and installation of any equipment related thereto, except as
limited herein. The Project shall be constructed and supervised
in all respects in accordance with the provisions of the Lease -
Purchase Agreement. The Agency hereby agrees that it will cause
the work under all construction contracts to be diligently
performed after the deposit of funds with the Trustee pursuant to
Section 6.02 of the Trust Agreement, and that the Project will be
completed in accordance with the Plans and Specifications on or VLJ'i
before:
19
Upon completion of construction of the Project satisfactory
to the Agency and Corporation, but in any event not later than
thirty (30) days after completion of construction, the Agency and
Corporation shall deliver to the Trustee and Director of Financial
Services a Certificate of Completion.
SECTION 3. Contracts. The Agency, as agent of the Corpora-
tion, shall directly enter into all purchase orders and contracts./.
Co K .. �/o✓ ?•-.1 /k "%!liInd
SECTION 4. Pa'OXyments. A Written Requisifion of the Agency
shall be required to`authorize any payments made from the
Construction Fund by the Director of Financial Services, in
accordance with Section 6.03 of the Trust Agreement. The Agency
shall promptly send notice to the Trustee in writing of any
intended payment and the Trustee shall have the right, upon oral
or written notice received by the Agency within five (5) days
thereafter, to disallow an such paymentarAi- Yo/vrc Ar �
�N Truer ,
SECTION Project Description. The Agency, as agent of the
Corporation, shall have Eher-ight to make any changes in the rr 1
description of the Project or of any component or components 0'r "
thereof, whenever the Agency in its sole discretion deems FC-4
changes to be necessary; provided, however, that any change
shall not alter the original nature of the Project and that any
increase in Construction Costs resulting from such change shall,
to the extent the increased Construction Costs exceed the total
balance in the Construction Fund, be payable solely from other
funds deposited with the Director of Financial Services for
deposit into the Construction Fund prior to the approval of any
such changes to the Project. A J
SECTION 6. Right to S pervise Construction and InstallatZon.
The Agency, as agent 6 the Corporation, shall have the right to
supervise construction of the Project and installation of any
equipment related thereto and monitor the performance of the
Contractors '
deems appropriate.. 1h
i
SECTION 7. Right to Enforce Contras.
2.
9 ,;tt. 1,c-p�et_r0 756 Pt Jc4r,
with re"eet--to erhe Agency shall have the right
to enforce in its qwn name or the name of the Corporation e�-a&
purchase orders awtc�ontracts at w or i quity; provided,
however, that �Ce-trs�-:: event the Corporation
from asserting such rights aw4 powers/i in its own behalf.
�
SECTION 8. Effective Date. This Agreement shall become
effective as of the date of delivery of the Certificates of
Participation to the original purchaser, and shall remain in full
force and effect until completion of construction of the Project
and acceptance thereof by the Agency, under the Lease -Purchase
Agreement.
SECTION 9. Binding Effect. This Agreement shall inure to
the benefit of and shall be binding upon the Agency, the
Corporation and their respective successors and assigns.
SECTION 10. Severabilit . In the event any provision of
this Agreement shall e e invalid or unenforceable by any court
of competent jurisdiction, such holding shall not invalidate or
render unenforceable any other provision hereof.
SECTION 11. Amendments, -Changes and Modifications. This
Agreement may not be effectively amended, changed, modified,
altered or terminated without the written agreement of both
parties hereto.
l SECTION 12. Execution in Counterparts. This Agreement may
be simultaneously executed in several counterparts, each of which
shall be an original and all of which shall constitute but one and
the same instrument.
SECTION 13. Applicable Law. This Agreement shall be
governed by and construed in accordance with the laws of the State
of California.
SECTION 14. Headings. The captions or headings in this
Agreement are for convenience only and in no way define, limit or
describe the scope or intent of any provisions or sections of this
Agreement.
SECTION 15. Notices. Any notices or filings required to be
given or made upon`t- s Agency Agreement shall be served, given or
made in writing upon the Agency by personal delivery or registered
mail addressed to:
CITY OF GRAND TERRACE
22795 Barton Road
Grand Terrace, California 92324
and upon the Corporation by personal delivery or registered mail
addressed to:
3.
N�T�mi�9/_ "aA .
�Y��a� Tru3�s Grp
333 C5&;v11r-r
Xa S30
Lm� /97.'_Z p 6'o2«ta. 9O0 7/
or at such other place as may be designated by either party in
writing.
IN WITNESS WHEREOF, the Agency has caused this Agreement to
be executed by its officers and its corporate seal affixed, and
the Corporation has caused this Agreement to be executed by its
Vice -President all as of
the day and year first atove written.
ATTEST:
By:
(SEAL)
CITY OF GRAND TERRACE
By:
By:
Vice -President
4.
0
;,T^ 4"1i;>; a Ci1-Y
COU;410EL AEEROVAL
NOV ?_ 01983
IMUNCT-MENDA LTEY )I 3�
10/12/83
10/19/83
11/2/83
LEASE -PURCHASE AGREEMENT
Dated as of , 19
Between
CROCKER NATIONAL BANK
A Corporation Organized and Existing as
A National Banking Association Under the Laws
of the United States, as Lessor
and the
CITY OF GRAND TERRACE
A Duly Constituted Municipal Corporation
of the State of California, as Lessee
LEASE--PURCHASE-AGREEMENT
THIS LEASE -PURCHASE AGREEMENT dated as of • ,
19y, is made and entered into by and between the CITY OF GRAND
TERRACE, a municipal corporation organized and existing under and
by virtue of the laws of the State of California, as Lessee, and
CROCKER NATIONAL BANK, a corporation organized and existing as a
national banking association under the laws of the United States,
as Lessor.
R E C I T A L S
WHEREAS, the Lessee desires to acquire the use of certain
public and appurtenant facilities as described on Exhibit "A"
(the "Project"); and
WHEREAS, the Project will be located on real property owned
by the Lessee, as described on Exhibit "B" (the "Site"); and
WHEREAS, construction of the Project has not been commenced,
and Lessee desires to finance such construction by entering into
this Agreement and all other agreements contemplated hereby; and
WHEREAS, the Lessee has determined that it is in the best
interests and for the common benefit of the citizens of the Lessee
that the Lessee finance construction of the Project by:
(i) leasing the Site to the Lessor pursuant to a Site Lease;
(ii) causing the Project to be constructed on the Site; (iii) con-
veying all right, title and interest the Lessee may have in the
Project to the Lessor, as trustee for the Certificate Holders; and
(iv) entering into this Agreement relating to the lease -purchase
of the Project and the lease -back of the Site for the term of this
Agreement; and
WHEREAS, the Lessee is statutorily authorized (i) to lease
the Site as lessor; (ii) to acquire and construct the Project;
(iii) to lease the Site as lessee; (iv) to acquire fee simple
title to any lesser interest in real and personal property for
the present or future use of the Lessee; and (v) to enter into
lease -purchase arrangements for properties needed for public
purposes; and
WHEREAS, the Lessor is authorized to own and hold real
property and to lease the same as lessor or as lessee and as
trustee in the manner contemplated herein and in the Trust
Agreement and has duly authorized the issuance of the Certificates
of Participation and execution of this Agreement, the Site Lease,
the Trust Agreement and all other documents or agreements
contemplated thereby; and
I
WHEREAS, the Lessee has determined that the issuance of the
Certificates of Participation and the execution of this Agreement,
the Site Lease, the Trust Agreement and all other documents and
agreements contemplated thereby is appropriate and necessary for
performing authorized functions of the Lessee and is in further-
ance of the public purposes of the Lessee, and that the issuance
of the Certificates of Participation and the execution by the
Lessee of this Agreement, the Site Lease, the Trust Agreement and
all other documents and agreements contemplated thereby has been
duly authorized by the Lessee; and
WHEREAS, in accordance with the Trust Agreement, there will
be issued, with the approval of the Lessee, one or more Certifi-
cates of Participation evidencing an interest in the Project, this
Agreement and moneys to be received by the Lessor hereunder; and
WHEREAS, the Lessor is acting as trustee for and on behalf of
the Owners of the Certificates of Participation, executed, authen-
ticated and delivered under provisions of the Trust Agreement;
and
WHEREAS, the Certificate Owners, by their purchase of the
Certificates of Participation, shall be deemed to have entered
into a contractual arrangement with the Lessee binding upon the
Lessee to the extent of its obligations under this Agreement and
the Site Lease; and
WHEREAS, the net proceeds from the sale of the Certificates
of Participation will be disbursed by the Lessor, at the discre-
tion of the Lessee, for the construction and equipping of the
Project and other aspects of the transaction as set forth in this
Agreement; and
WHEREAS, the Lessor desires to lease the Project and Site to
the Lessee for the benefit and on behalf of the Certificate Owners
and the Lessee desires to lease the Project and Site from the
Lessor, pursuant to the terms and conditions and for the purposes
set forth in this Agreement; and
WHEREAS, this Agreement shall create no immediate indebted-
ness for any aggregate payments which may become due hereunder in
the event that the Lease Term is continued, and the obligation of
the Lessee to pay Base Rental Payments and Additional Rental
Payments and any other payments due hereunder shall constitute a
current expense of the Lessee, payable exclusively from general
funds of the Lessee which are budgeted and appropriated by the
Lessee, or which are otherwise legally available, for the purpose
of paying Base Rental Payments, Additional Rental Payments or any
other payments due hereunder as consideration for actual use of
the Project during the fiscal year of the Lessee for which such
funds are budgeted and appropriated or otherwise made legally
available; and
2.
too
WHEREAS, the Certificates of Participation shall be special,
limited obligations of the Lessee to the extent of the obligations
of the Lessee under this Agreement, payable solely from the
sources herein provided, and shall not constitute a general
obligation indebtedness of the Lessee within the meaning of any
provision of the Constitution of the State of California, or any
statutory limitation or requirement applicable to the Lessee
concerning the creation of indebtedness; and
WHEREAS, neither the Lessee, nor the Lessor on its behalf,
has pledged the credit of the Lessee to the payment of the Base
Rental Payments, Additional Rental Payments, or any other payments
due hereunder, or the Certificates of Participation or the
interest thereon, and neither this Agreement nor the issuance of
the Certificates of Participation under the Trust Agreement shall
directly or contingently obligate the Lessee to apply money for,
or levy or pledge any form of taxation or other funds to, the
payment of the Base Rental Payments, Additional Rental Payments or
any other payments due hereunder, or the Certificates of
Participation or the interest thereon:
C O V E N A N T S
NOW, THEREFORE, for and in consideration of the premises and
the covenants and conditions hereinafter contained, the parties
agree as follows:
ARTICLE I
DEFINITIONS; EXHIBITS; RULES OF CONSTRUCTION
Section 1.01. Definitions. The following terms will have
the meanings indicated below unless the context clearly requires
otherwise:
(a) "Agency Agreement" means the Agency Agreement, dated as
of the date hereof, by and between the Lessee and the Lessor, and
any duly authorized and executed amendment thereto.
(b) "Additional Rental Payments" means the payments payable
by the Lessee pursuant to Article V.
(c) "Base Rental Payments" means the payments payable by the
Lessee exclusively from current or other legally available funds,
pursuant to Article V, during the Lease Term which constitute the
payments for and in consideration of the right of use of the
Project during the Lease Term for which such funds are budgeted
and appropriated or otherwise made legally available.
(d) "Certificate of Completion" means a
architect, approved by the Lessee and Lessor,
been completed in substantial conformity with
fications therefor.
3.
certificate of an
that the Project has
the Plans and Speci-
In
n
(e) "Certificate Owner" or "Owner of a Certificate" or
"Owner" or any similar term, when used with respect to the
Certificates, means any person who shall be the registered
owner of a Certificate.
(f) "Certificates of Participation" or "Certificates" means
the certificates of participation prepared, executed and
delivered by the Trustee, pursuant to the Trust Agreement.
(g) "Certificate Register" means the books for registration
maintained by the Trustee, pursuant to Section 5.09 of the Trust
Agreement.
(h) "City" means the City of Grand Terrace, San Bernardino
County, California.
(i) "Closing Date" means the day when the Certificates of
Participation, duly executed by the Trustee, are delivered to the
original purchaser thereof.
(j) "Completion Date" means the date specified in Section
3.01 or the date of final acceptance of the Project by the Agency,
as evidenced by the Certificate of Completion provided for in
Section 3.03, whichever date first occurs.
(k) "Construction Contracts" means any construction contract
between the Lessee and any contractor and between any such
C contractor and his immediate subcontractor regarding construction
of the Project or improvement of the Site.
(1) "Construction Fund" means the fund by that name
established under and held by the Trustee, pursuant to Section
6.02 of the Trust Agreement.
(m) "Construction Period" means the period between the
commencement of the improvement of the Site in connection with the
construction and equipping of the Project or the date on which the
Certificates are first delivered to the initial purchaser thereof,
whichever is earlier, and the Completion Date.
(n) "Cost of Construction" with respect to the Project shall
be deemed to include, but not be limited to, the following items:
(i) The cost incurred in the lease or lease -back of the
Site;
(ii) Obligations incurred or assumed or labor, materials
and equipment in connection with the improvement of the Site and
the construction and equipping of the Project;
(iii) The cost of performance, labor and material bonds
and of insurance of all kinds that may be required or necessary
during the course of construction and equipping of the Project or
improvement of the Site, to the extent not purchased by contrac-
tors or subcontractors for the Project;
4.
(iv) All costs of engineering services, including the
costs incurred or assumed for preliminary design and development
work, test borings, surveys, estimates, plans and specifications,
and for supervising construction as well as for the performance of
all of the duties required by or consequent upon the proper
improvement of the Site and construction and equipping of the
Project, and all costs or architectural services in connection
with the preparation of plans and specifications for the Project;
(v) All expenses incurred in connection with the
issuance and sale of the Certificates, including, without limita-
tions, underwriter's discount or commission fees, interest on the
Certificates during construction, overhead and administrative
expenses, the initial compensation and expenses of the Lessor and
any additional paying agents, legal and accounting expenses and
fees, costs incurred in connection with the issuance and sale of
the Certificates and in obtaining ratings from rating agencies,
cost of insurance, cost of publication, printing and engraving and
recording and filing fees;
(vi) All costs which shall be required to be paid under
the terms of any contract or contracts, for the lease of the Site
and the construction and equipping of the Project;
(vii) All costs incurred in preparing or obtaining
permits or approval from regulatory agencies in connection with
the improvement of the Site and construction and equipping of the
Project;
(viii) The Reserve Requirement as defined in Article VII
of the Trust Agreement; and
(ix) All other costs which are considered to be a part
of the cost of the Project in accordance with generally accepted
accounting principles and which will not affect the exemption from
federal income taxes of interest on any of the Certificates.
(o) "Director of Financial Services" means the Director of
Financial Services of the Lessee, or any other person designated
or authorized to perform the functions of Director of Financial
Services.
(p) "Event of Default" means one or more events of default
as defined in Article XI.
(q) "Event of Nonappropriation" means an occurrence in which
the Lessee fails to appropriate and budget sufficient funds for
payment of Base Rental Payments and Additional Rental Payments
required to be paid in the next Renewal Term and does not have
funds legally available for such purpose from other sources, as
described in Section 5.10.
(r) "Independent Counsel" means an attorney duly admitted to
the practice of law before the highest court in the State of
5.
California and who is not then and has not been for the preceding
five (5) years an employee of the Trustee, Lessor or Lessee.
(s) "Lease Payment" means any payment due from the Lessee to
the Lessor as rental under Article V.
(t) "Lease -Purchase Agreement" or "Agreement" means this
Lease -Purchase Agreement and any duly authorized and executed
amendment hereto.
(u) "Lease Term" means the duration of the leasehold estate
created in the Project as provided in Article IV.
(v) "Lessee" means the City of Grand Terrace, San
Bernardino, California.
(w) "Lessor" means Crocker National Bank, a corporation
organized and existing as a national banking association under the
laws of the United States.
(x) "Net Proceeds" means any insurance proceeds or condemna-
tion award, paid with respect to the Project, remaining after
payment therefrom of all expenses incurred in the collection
thereof.
(y) "Payment Dates" mean May 1 and November 1 of each year
commencing May 1, 1984.
(z) "Permitted Encumbrances" means, at any particular time:
(i) liens for taxes and assessments not then delinquent, or which
the Lessee, pursuant to this Agreement, may permit to remain
unpaid; (ii) this Agreement and the Site Lease; (iii) utility
access and other easements and rights -of -way, restrictions and
exceptions that the Lessee certifies will not interfere with or
impair the Project; (iv) the Trust Agreement; and (v) such minor
defects, irregularities, encumbrances and clouds on title as
normally exist with respect to property affected thereby for the
purpose for which it was acquired or held by the Lessor.
(aa) "Permitted Investments" means:
(i) United States Treasury notes, bonds, bills, or
certificates of indebtedness, or those for which the faith and
credit of the United Sates are pledged for the payment of
principal and interest.
(ii) obligations issued by federal land banks, federal
home loan banks, the Federal Home Loan Bank Board, the Tennessee
Valley Authority, or in obligations, participations, or other
instruments of or issued by, or fully guaranteed as to principal
and interest by, the Federal National Mortgage Association; or in
obligations, participations, or other instruments of or issued by
a federal agency or a United States government -sponsored
enterprise.
6.
L
LJ
(iii) Investments in repurchase agreements of any
securities authorized by paragraphs (i) and (ii) above.
(bb) "Plans and Specifications" means the plans and specifi-
cations for the Project to be constructed and leased hereunder.
(cc) "Principal Office" when used with respect to the
Trustee, means the principal or corporate trust office of the
Trustee situated in Los Angeles, California.
(dd) "Project" means the buildings and related equipment and
improvement to be acquired, constructed and leased to the Lessee.
(ee) "Project Documents" means, without limitation:
(i) All plans, drawings and specifications for the
Project, when and as they are approved by the Lessee, including
all change orders, if any;
(ii) A survey of the Site, prepared by a registered
engineer or land surveyor in accordance with standard requirements
for land title surveys, showing the location of all improvements,
easements, encroachments and other encumbrances of the Site;
(iii) All necessary permits for construction of the
Project, if required, including any building permits and the
certificate of occupancy for the Project;
(iv) The Construction Contracts;
(v) Policies of title, casualty, public liability and
workers' compensation insurance, or certificates thereof, with
respect to the Project; and
(vi) Performance bonds with respect to the construction
of the Project.
(ff) "Purchase Option Price" means that amount payable during
the Lease Term, at the sole option of the Lessee, for the purpose
of terminating this Agreement and the Site Lease and purchasing
the Project.
(gg) "Outstanding" when used with reference to the
Certificates and as of any particular date means all Certificates
theretofore delivered except:
(i) Any Certificate cancelled by the Trustee at or
before said date; and
(ii) Any Certificate in lieu of or in substitution for
which another Certificate shall have been delivered pursuant to
the Trust Agreement.
7.
(hh) "Redemption Fund" means the fund by that name estab-
lished under and held by the Trustee, pursuant to Section 5.15 of
the Trust Agreement.
(ii) "Renewal Terms" means the Renewal Terms of the Lease
Term as provided in Article IV.
(jj) "Rental Payment Account" means the account by that name
established under and held by the Trustee, pusuant to Section 7.02
of the Trust Agreement.
(kk) "Reserve Account" means the account by that name
established under and held by the Trustee, pursuant to Section
7.03 of the Trust Agreement.
(11) "Revenue Fund" means the fund by that name established
under and held by the Trustee, pursuant to Section 7.01 of the
Trust Agreement.
(mm) "Site" means the real property on which the Project is
to be constructed.
(nn) "Site Lease" means that lease, dated as of the date
hereof, between the Lessee and the Lessor, and any duly authorized
and executed amendment thereto.
(oo) "Term of Agreement" or "Term" means the time during
which this Agreement is in effect as provided in Article IV.
(pp) "Trust Agreement" means that agreement, dated as of the
date hereof, between the Trustee and City.
(qq) "Trust Operations Account" means the account by that
name established under and held by the Trustee, pursuant to
Section 7.04 of the Trust Agreement.
(rr) "Trustee" means Crocker National Bank, a national
banking association with a principal corporate office located in
Los Angeles, California, acting in the capacity of Lessor under
this Agreement, Lessee under the Site Lease and Trustee under the
Trust Agreement and any successor appointed under the Trust
Agreement.
Section 1.02. Exhibits. The following exhibits are attached
to this Agreement an ma e a part hereof:
(a) Exhibit "A" - a description of the Project to be
acquired, constructed and leased to the Lessee.
(b) Exhibit "B" - a description of the Site upon which the
Project is to be constructed and leased to Lessee.
(c) Exhibit "C" - a schedule of the Base Rental Payments to
be made by Lessee and of the Purchase Option Price to be made at
the option of Lessee.
S.
Section 1.03. Rules of Construction. Words of the masculine
gender shall be deemed and construed to include correlative words
of the feminine and neuter genders. Unless the context otherwise
indicates, words importing the singular number shall include
plural numbers and vice versa, and words importing persons shall
include corporations and associations, including public bodies, as
well as natural persons.
Section 1.04. Reference to Lease -Purchase Agreement. The
terms "hereby", "hereof", hereto "herein", "hereunder" and any
similar terms, as used in this Agreement, refer to this Agreement.
ARTICLE II
REPRESENTATIONS, COVENANTS AND WARRANTIES
Section 2.01. Representations, Covenants and Warranties of
Lessee. Lessee represents, covenants and warrants for the benefit
of Lessor and the Certificate Owners as follows:
(a) Lessee is a duly organized and existing municipal
corporation of the State of California and is authorized by the
Constitution and laws of the State of California to enter into the
transactions contemplated by this Agreement and to carry out its
obligations hereunder;
(b) Lessee is duly authorized to execute and deliver this
Agreement and agrees that it will do or cause to be done all
things necessary to preserve and keep this Agreement in full force
and effect;
(c) The execution and performance of this Agreement has been
authorized and approved by the Legislative Body of Lessee and any
and all other departments or agencies within the State of
California, to the extent necessary;
(d) Lessee has or will comply with all applicable require-
ments and procedures, including public bidding requirements, in
connection with the leasing of the Site, as lessor and as lessee,
the construction and equipping of the Project thereon and all
other transactions contemplated hereby;
(e) Lessee will exercise its best efforts to ensure that the
Project will comply with all applicable building and zoning
ordinances and all other land use restrictions or requirements of
Lessee;
9.
490
(f) The lease of the Site to Lessor, pursuant to the Site
Lease, the conveyance of all right, title and interest Lessee may
have in the Project to Lessor, as Trustee for the Certificate
Owners, the lease -back of the Site and the lease of the Project
from Lessor, pursuant to this Agreement, is appropriate and
necessary for performing one or more of the authorized functions
of Lessee and is in the best interests and for the common benefit
of the citizens of Lessee;
(g) Lessee has good and marketable fee simple title to the
Site, free of any encumbrances other than Permitted Encumbrances;
(h) During the Lease Term, Lessee will use the Project at
all times for the purpose of performing one or more authorized
functions consistent with the permissible scope of the authority
of Lessee under the Constitution and laws of the State of
California;
(i) All required approvals for the issuance of the
Certificates have been given on behalf of Lessee, in accordance
with the terms and conditions of the Trust Agreement, have been
given on behalf of Lessee and each Certificate Owner, by his
purchase thereof, is acknowledged by Lessee to have thereby
entered into a contractual relationship with Lessee to the extent
of Lessee's obligations under this Agreement and the Site Lease;
and
(j) To the knowledge of the officers of the Lessee, neither
the execution and delivery hereof, nor the fulfillment of or
compliance with the terms and conditions hereof, nor the
consummation of the transactions contemplated hereby by Lessee,
conflicts with -or results in a breach of the terms, conditions or
provisions of any restriction or any agreement or instrument to
which Lessee is now a party or by which Lessee is bound, or
constitutes a default under any of the foregoing.
Section 2.02. Representations, Covenants and Warranties of
Lessor. Lessor represents, covenants and warrants for the ene it
of Lessee and the Certificate Owners as follows:
(a) Lessor is a national banking association possessed of
full corporate trust powers, duly organized, existing and in good
standing under the laws of the United States, has all necessary
power to enter into this Lease, is possessed of full power to
lease, as lessor and lessee, own and hold real and personal
property, as contemplated herein, and has duly authorized the
execution and delivery hereof;
(b) Lessor will not pledge the Revenues or any of its other
rights hereunder and will not mortgage or encumber the Project
except as may be provided hereunder;
10.
(c) To the knowledge of the officers of the Corporate Agency
Division of Lessor, neither the execution and delivery hereof, nor
the fulfillment of or compliance with the terms and conditions
hereof, nor the consummation of the transactions contemplated
hereby by Lessor, conflicts with or results in a breach of the
terms, conditions or provisions of any restriction or any
agreement or instrument to which Lessor is now a party or by which
Lessor is bound, or constitutes a default under any of the
foregoing; and
(d) Lessor acknowledges and recognizes, as trustee for the
Certificate Owners, that this Agreement will be terminated at the
end of the Original Term or any Renewal Term in the event that
funds are not budgeted and appropriated or otherwise legally
available to continue making Base Rental Payments, Additional
Rental Payments or any other payments due hereunder during the
next occurring Renewal Term, and that the act of budgeting and
appropriating such funds is solely within the discretion of the
Legislative Body of Lessee.
ARTICLE III
CONSTRUCTION OF THE PROJECT
Section 3.01. Construction of the Project. Lessor agrees to
construct and acquire t e Project pursuant to the Plans and
Specifications submitted to and approved by Lessee. Lessee will,
in accordance with the Agency Agreement, supervise and provide
for, or cause to be supervised and provided for, as agent for
Lessor, the complete construction of the Project. Lessee has
agreed, pursuant to the Agency Agreement, that it will cause the
work on the Project to be diligently performed and that the
Project will be substantially completed in accordance with the
Plans and Specifications on or prior to:
December 1, 1984
Section 3.02. Substantial -Completion of Construction.
Lessee agrees that upon substantial completion of any portion of
the Project it will take possession of that portion of the Project
pursuant to this Agreement. No changes shall be made in such
Plans and Specifications unless such changes are approved in
writing by Lessee.as agent of Lessor.
If Lessor, for any reason whatsoever, cannot deliver
possession of the Project to Lessee by the date specified in
Section 3.01, this Agreement shall not be void or voidable, nor
shall Lessor be liable to Lessee for any loss or damage resulting
therefrom; but, in that event, the remaining Rental Payments shall
be abated, in the proportion that the construction cost of the
portion of the Project not so delivered bears to the entire
construction cost of the Project, with respect to the period
between the Date of Completion and the time when Lessor delivers
possession.
11.
430 J
Section 3.03. Completion of Construction. Upon completion
of construction of the Project sans actory to Lessee, but in any
event not later than thirty (30) days following completion of such
construction, Lessee shall deliver to the Director of Financial
Services and the Trustee a Certificate of Completion.
ARTICLE IV
LEASE OF PROJECT
Section 4.01 Lease. Lessor hereby leases to Lessee and
Lessee hereby leases from Lessor the Project and Site, subject
only to Permitted Encumbrances, upon the terms and conditions set
forth in this Agreement.
Section 4.02 Term. The Original Term of this Agreement
shall commence as oTt�ie date hereof and shall end on:
November 30, 1984
The Lease Term shall be continued to the first Renewal Term for an
additional one year and for additional Renewal Terms thereafter,
as shown on Exhibit "C", upon appropriation by the Legislative
Body of Lessee of sufficient legally available funds to make
payment of the Base Rental Payments, Additional Rental Payments
and any other payments due hereunder payable during such Renewal
Term. The terms and conditions of this Agreement during any
Renewal Term shall be the same as the terms and conditions of this
Agreement during the Original Term, except that the Base Rental
Payments and Purchase Option Price shall be as provided in Exhibit
aCa
Section 4.03. Payments of Interest. Payments of interest
due under this Agreement shall be payable semiannually on:
May 1 and
November 1
commencing on May 1, 1984 and continuing until termination of the
Lease Term, pursuant to Section 4.06.
Section 4.04. Payments of Principal. Payments of principal
due under this Agreement shall e payable annually on:
November 1
commencing on November 1, 1985 and until termination of the Lease
Term, pursuant to Section 4.06.
Section 4.05. Termination -of Lease Term. The Lease Term
shall terminate upon the earliest of any of the following events:
(a) The exercise of Lessee of its option to purchase the
Project granted under the provisions of Article IX;
12.
(b) The application of the amounts paid under Article IX to
the redemption in full of all outstanding Certificates;
(c) An Event of Default by Lessee and Lessor's election to
terminate this Agreement under Article XI;
(d) The payment by Lessee of all Rental Payments due during
the Term of this Agreement.
Section 4.06. Rights Upon Termination. In the event Lessee
defaults and Lessor has elected to terminate this Agreement,
pursuant to Section 11.02(a), Lessor shall re-enter and take
possession of the Project and Site. The Trustee, upon request by
Lessor, shall deliver all documents necessary for the consummation
of any sale of the Project. Lessor shall comply with the
provisions of Trust Agreement before executing any lease,
installment sale or sale agreement of the Project.
Section 4.07. Possession and Enjoyment. During the Lease
Term, Lessor shall provide Lessee with quiet use and enjoyment of
the Project and Site, and Lessee shall peaceably and quietly have
and hold and enjoy the Project and the Site, without suit, trouble
or hindrance from Lessor or its assigns, except as expressly set
forth in this Agreement. Lessor will, at the request of Lessee
and at Lessee's cost, join in any legal action in which Lessee
asserts its right to such possession and enjoyment to the extent
Lessor may lawfully do so; provided that, at Lessor's option,
Lessee shall undertake legal representation on behalf of Lessor.
Notwithstanding the foregoing, Lessor shall have the right to
inspect the Project and Site as provided in Section 4.09.
Section 4.08. Title to the Project. During the Term of this
Agreement, title to the Project and any and all additions which
comprise fixtures, repairs, replacements or modifications will be
retained by Lessor, except for those modifications which are added
to the Project by Lessee and without damaging the Project. Lessee
shall not have any right, title or interest in the Project or in
any additions, repairs, replacements or modifications thereto
except as expressly provided in this Agreement. In the event of
default as set forth in Section 11.01 or termination of this
Agreement pursuant to Section 11.02(a), Lessee will vacate and
surrender possession of the Project to Lessor. Title to the Site
shall at all times during the term of this Agreement remain in
Lessee, subject to the terms of the Site Lease and Trust Agree-
ment.
13.
If Lessee (a) exercises its option to purchase the Project,
as provided in Article IX or (b) has paid all Rental Payments
during the term of this Agreement, all right, title and interest
of Lessor in and to the Project shall be transferred to and vest
in Lessee as provided in the Trust Agreement. In either case,
Lessor shall authorize, execute and deliver to Lessee a release of
any and all liens created under the provisions of this Agreement
and the Trust Agreement, and any other documents required to
terminate this Agreement and consummate such transfer of title and
release of liens.
Section 4.09. Right of Entry. Lessor and its assignees
shall have the right to enter the Site and Project during reason-
able business hours (and in emergencies at all times) (a) to
inspect the same, (b) for any purpose connected with the Lessor's
rights or obligations under this Agreement and (c) for all other
lawful purposes.
13(a)
M
ARTICLE V
F
RENTAL PAYMENTS
Section 5.01. Rental Payments -to Constitute a Current
Expense of -Lessee; -No P e ge. Lessor and Lessee understand and
intend that the obligation of Lessee to pay Rental Payments
hereunder shall constitute a current expense of Lessee and shall
not in any way be construed to be a debt of Lessee in
contravention of any applicable constitutional or statutory
limitation or requirements concerning the creation of indebtedness
by Lessee, nor shall anything contained herein constitute a pledge
of the general tax revenues, funds or moneys of Lessee. Rental
Payments due hereunder shall be payable only from current funds
which are budgeted and appropriated, or otherwise legally
available, for the purpose of paying Rental Payments or other
payments due hereunder as consideration for use of the Project
during the fiscal year of Lessee for which such funds were
budgeted and appropriated or otherwise made legally available for
such purpose. This Agreement shall not create an immediate
indebtedness for any aggregate payments which may become due
hereunder in the event that the Lease Term is continued. Lessee
has not pledged the full faith and credit of Lessee, the State of
California or any agency or department thereof to the payment of
the Rental Payments or any other payment due hereunder.
Section 5.02. Payment of Base Rental_Payments. Lessee shall
pay Base Rental Payments to Lessor for distribution to the
Certificate Owners in accordance with this Agreement and the Trust
Agreement during the Original Term and any Renewal Terms as herein
provided. The Base Rental Payments during the Original Term and
any Renewal Terms shall be the amounts in the "Total Payment"
column as set forth in Exhibit "C".
Section 5.03. Option to Reduce Base Rental Payments. During
the Lease Term, Lessee shall have the option to reduce the Base
Rental Payments upon payment to Lessor of the amounts provided in
Section 5.14(b) of the Trust Agreement which shall be applied to
the redemption of Certificates thereunder.
Section 5.04. Credit Against Base Rental Payments.
Earnings, if any, on the Reserve Fund estaslisEed pursuant to the
Trust Agreement shall be credited against Base Rental Payments,
but only to the extent permitted under the Trust Agreement.
Section 5.05. Interest Component. A portion of each Base
Rental Payment is paid as, an represents payment of, interest and
the interest component of each Base Rental Payment during the term
of this Agreement is set forth on Exhibit "C".
Section 5.06. Advance Rental Payment. In addition, the
Lessee shall pay to Lessor, as Lease Payments constituting advance
rental for the Project, the amount of:
11
14.
payable on the Payment Date commencing May 1, 1984. The advance
rental shall constitute interest only for the period from the
Closing Date accruing to:
December 1, 1984
The advance rental shall be paid from proceeds of the sale of the
Certificates.
Section 5.07. Payment of Additional Rental Payments. Lessee
shall also pay to Lessor, as rental hereunder in addition to the
foregoing Base Rental Payments, Additional Rental Payments in each
year as shall be reasonably required by Lessor for the payment of
administrative costs of Lessor related to the Project and Certifi-
cates, if any, including all expenses, compensation and indemnifi-
cation of the Trustee payable under the Trust Agreement, fees of
auditors, accountants, attorneys or engineers, and all other
necessary administrative costs of Lessor or charges required to be
paid by Lessor to comply with the terms of the Certificates, if
any, or of the Trust Agreement.
The Additional Rental Payments shall be billed to Lessee by
Lessor or the Trustee from time to time, together with a statement
certifying that the amount billed has been paid by Lessor or by
the Trustee, for one or more of the items above described, or that
such amount is then payable by Lessor or Trustee for such items.
Following commencement of the rental due hereunder, amounts so
billed shall be paid by Lessee within ten (10) days after receipt
of the bill by Lessee.
Section 5.08. Fair Rental Value of Project. By its execu-
tion of this Agreement, Lessee finds and determines that, in each
fiscal year of Lessee, the amounts of the Base Rental Payments set
forth in Exhibit "C", together with Additional Rental Payments
payable in such fiscal year, are equal to the fair rental value of
the Project and Site during the respective fiscal year in which
such Rental Payments are made.
Section 5.09. Manner of Payment. Each Base Rental Payment,
Additional Rental Payment and, it paid, the Purchase Option Price
shall be paid from funds legally available to Lessee and in lawful
money of the United States of America to Lessor at the Principal
Office of Lessor.
Section 5.10. Rental Payment to be Unconditional. The
obligations of Lessee to make the Rental Payments required under
this Article V and any payments required under other sections
hereof and to perform and observe the other covenants and
agreements contained herein shall be absolute and unconditional,
except as expressly provided under this Agreement. Notwith-
standing any dispute between or among Lessee, Lessor and any
other person, Lessee shall make all Rental Payments and any other
payments required hereunder not later than the date due and shall
not withhold any such payments pending final resolution of such
15.
dispute nor shall Lessee assert any right of set-off or
counterclaim against its obligation to make such payments required
under this Agreement. Lessee's obligations to make such payments
shall not be abated through accident or unforeseen circumstances,
or by reason of any defect in or damage to or loss or destruction
of the Project from whatever cause, the prohibition of Lessee's
use of the Project or Site, the interference with such use by any
government, person or corporation, the invalidity or
unenforceability or lack of due authorization or other infirmity
of this Agreement, any lack of right, power or authority of Lessor
or Lessee to enter into this Agreement or any other cause whether
similar or dissimilar to the foregoing.
Section 5.11. Continuation of Lease -Term -by Lessee. Lessee
intends to continue t e Lease Term through the Original Term and
all Renewal Terms and to pay the Rental Payments hereunder.
Lessee reasonably believes that legally available funds in an
amount sufficient to make all Rental Payments during the Lease
Term can be obtained. Lessee further intends to do all things
lawfully within its power to obtain and maintain funds from which
the Rental Payments may be made, including making provision for
such payments to the extent necessary in each annual budget
submitted and adopted in accordance with applicable provisions of
the laws of the State of California, to have such portion of the
budget approved, and to exhaust all available reviews and appeals
in the event such portion of the budget is not approved.
Section 5.12. Nonappropriation. In the event sufficient
funds shall not be appropriate or the payment of the Rental
Payments to continue the leasing of the Project, Lessee may ter-
minate this Agreement at the end of the Term hereof and Lessee
shall not be obligated to make payment of the Rental Payments
provided for in this Agreement beyond the then current Lease Term.
Lessee agrees to deliver notice to Lessor of such termination at
least fifteen (15) days prior to the end of the Lease Term, but
failure to give such notice shall not extend the Lease Term. If
this Agreement is terminated under this Section, Lessee agrees to
surrender to the Lessor the Project, together with any structural
additions thereto, in good order and condition and in a state of
repair that is consistent with prudent use and conscientious
maintenance, except for reasonable wear and tear.
Upon the occurrence of an Event of Nonappropriation, Lessee
shall continue to be liable to Lessor for the Base Rental Pay-
ments, Additional Rental Payments and any other payments due
hereunder which are allocable to any period during which Lessee
shall continue to occupy the Project.
Lessee shall in all events vacate the Project no later than
ninety (90) days subsequent to a termination of this Agreement by
reason of an Event of Nonappropriation or an Event of Default.
Neither the failure of Lessee to vacate the Project immediately
16.
upon the occurrence of an Event of Nonappropriation or an Event of
Default, nor the acceptance by Lessor of any Base Rental Payments
or any other payments allocable to any period during which Lessee
shall remain on the Project shall be deemed a renewal of this
Agreement or a waiver of any such Event of Nonappropriation or
Event of Default.
Lessor shall, upon the occurrence of an Event of Nonappro-
priation, be entitled to all moneys then on hand and being held in
all funds and accounts created under the Trust Agreement as
trustee for the benefit of the Certificate Owners. All property,
funds and rights acquired by Lessor upon the termination of this
Agreement by reason of an Event of Nonappropriation or an Event of
Default as provided herein, less any moneys due and owing to
Lessor for services performed as lessor and trustee, shall be held
by Lessor as trustee for the benefit of the Certificate Owners.
ARTICLE VI
MAINTENANCE; TAXES; MODIFICATION;
INSURANCE; AND OTHER MATTERS
Section 6.01. Maintenance and Utilities by Lessee. Through-
out the term of this Agreement, as part of the consideration for
the rental of the Project, all improvement, repair and maintenance
of the Project shall be the responsibility of Lessee and Lessee
shall pay for or otherwise arrange for the payment of all utility
services supplied to the Project which may include, without
limitation, janitor service, security, power, gas, telephone,
light, heating, water and all other utility services, and shall
pay for or otherwise arrange for the payment of the cost of the
repair and replacement of the Project resulting from ordinary wear
and tear or want of care on the part of Lessee or any assignee or
sublessee thereof. In exchange for the Rental Payments herein
provided, Lessor agrees to provide only the Project. Lessee
waives the benefits of subsections 1 and 2 of Section 1932 of the
California Civil Code, but such waiver shall not limit any of the
rights of Lessee under the terms of this Agreement.
17.
Section 6.02. Taxes and Other Governmental Charges. The
parties to this Agreement contemplate that the Project will be
used for a governmental or proprietary purpose of Lessee and that
the Project will be exempt from all taxes presently assessed and
levied with respect to real property, except assessments. In the
event that the use, possession or acquisition of the Project is
found to be subject to taxation in any form (except for income or
franchise taxes of Lessor), Lessee shall pay during the Lease Term
such amounts in each year as shall be required by Lessor for the
payment of all taxes and assessments of any type or nature charged
to Lessor or the Trustee affecting the Project or the respective
interests or estates of Lessee or Lessor or the Trustee therein,
or affecting the amount available to Lessor from Rental Payments
received hereunder (including taxes or assessments assessed or
levied by any governmental agency having power to levy taxes or
assessments); provided that, with respect to special assessments
or other governmental charges that may lawfully be paid in
installments over a period of years, Lessee shall be obligated to
pay only such installments as are accrued during such time as this
Agreement is in effect.
Lessee or any sublessee or assignee may, at Lessee's or such
sublessee's or assignee's expense and in its name, in good faith
contest any such taxes, assessments and other charges and, in the
event of any such contest, may permit the taxes, assessments or
other charges so contested to remain unpaid during the perod of
such contest and any appeal therefrom unless Lessor shall notify
Lessee or such sublessee or assignee that, in the opinion of
Independent Counsel, by nonpayment of any such items, the interest
of Lessor in the Project will be materially endangered or the
Project or any part thereof will be subject to loss or forfeiture,
in which event Lessee or such sublessee or assignee shall promptly
pay such taxes, assessments or charges or provide Lessor with full
security against any loss which may result from nonpayment, in
form satisfactory to Lessor.
Section 6.03. Modification of Project. Lessee, and any
sublessee or assignee, shall, at their own expense, have the right
to remodel the Project or to make additions, modifications and
improvements thereto. All such additions, modifications and
improvements shall thereafter comprise part of the Project and be
subject to the provision of this Agreement. Such additions,
modifications and improvements shall not in any way damage the
Project or cause it to be used for purposes other than those
authorize under the provisions of state and federal law; and the
Project, upon completion of any additions, modifications and
improvements made pursuant to this Section, shall be of a value
which is not substantially less than the value of the Project
immediately prior to the making of such additions, modifications,
and improvements. Lessee will not permit any mechanic's or other
lien to be established or remain against the Project for labor or
materials furnished in connection with any remodeling, additions,
modifications, improvements, repairs, renewals or replacements.
Upon termination of this Agreement, Lessee may remove any fixture,
18.
M
n
structure or sign added by Lessee, but such removal shall be
accomplished so as to leave the Project, except for ordinary wear
and tear, in substantially the same condition as it was in before
the fixture, structure or sign was attached.
Section 6.04. Public Liability and Property Damage Insur-
ance. Lessee shall maintain or cause to be maintained, t rough -
out the Lease Term (but during the period of construction of the
Project only if such insurance is not provided by the
Contractors), a standard comprehensive general liability
(including automobile liability) insurance policy or policies in
protection of Lessor and its directors, officers, agents and
employees and the Trustee. Such policy or policies shall provide
for indemnification of the parties against direct or contingent
loss or liability for damages for bodily and personal injury,
death or property damage occasioned by reason of the construction
or operation of the Project. Such policy or policies shall
provide coverage as follows:
(a) In the minimum liability limits of $1,000,000 for
personal injury or death of each person and $3,000;000 for
personal injury or deaths of two or more persons in each accident
or event; and
(b) In a minimum amount of $200,000 (subject to a deductible
clause of not to exceed $5,000) for damage to property resulting
from each accident or event.
Such public liability and property damage insurance may,
however, be in the form of a single limit policy in the amount of
$3,000,000 covering all such risks. Such liability insurance may
be maintained as part of or in conjunction with any other
liability insurance coverage carried or required to be carried by
Lessee.
Section 6.05. Fire, Extended Coverage and Earth uake
Insurance. Lessee shall maintain, or cause to be maintained
through out the Lease Term (but during the period of construction
of the Project only if such insurance is not provided by the
Contractors), insurance against loss or damage to any structures
constituting any part of the Project by fire and lightning, with
extended coverage and vandalism and malicious mischief insurance,
and, following completion of construction, earthquake insurance
(but as to such earthquake insurance only if such insurance is
available on the open market from reputable insurance companies),
sprinkler system leakage insurance and boiler insurance. Such
extended coverage insurance shall, as nearly as practicable, cover
loss or damage by explosion, windstorm, riot, aircraft, vehicle
damage, smoke and such other hazards as are normally covered by
such insurance. Such insurance shall be in an amount equal to
100% of the replacement cost of the Project, without deduction for
depreciation, excluding the cost of excavation, grinding and
filling out of the land (except that such earthquake insurance may
be subject to a deductible clause of not to exceed ten percent
19.
(10% ) of said replacement cost for any one loss and except that
such other insurance may be subject to deductible clauses of not
to exceed $50,000 for any one loss). Such insurance may be
maintained as part of or in conjunction with any other fire and
extended coverage insurance carried or required to be carried by
Lessee.
As an alternative to providing the insurance required by the
first paragraph of this subsection, Lessee, with the written
consent of Lessor, may provide other kinds of insurance or methods
or plans of protection if and to the extent such other kinds of
insurance or methods or plans of protection satisfy the
requirements of the Trust Agreement.
Section 6.06. Workers' Compensation Insurance. Lessee shall
carry workers' compensation insurance covering alr7employees
working on, in, near or about the Project, or demonstrate to the
satisfaction of Lessor that adequate self-insurance is provided,
and shall require any other person or entity working on, in, near
or about the Project to carry such coverage.
Section 6.07. Rental Interruption or Use and Occupanc
Insurance. Lessee s all maintain or cause to be maintained,
throughout the Lease Term, rental interruption or use and
occupancy insurance to cover loss, total or partial, of the rental
income from or the use of the Project as the result of any of the
hazards covered by the insurance required by Section 6.05, in an
amount sufficient to pay the part of the Rental Payments hereunder
attributable to the portion of the Project rendered unusable
(determined by reference to the proportion which the construction
cost of such portion bears to the construction cost of the
Project) for a period of at least the time originally allowed for
construction of the Project plus three (3) months, except that
such insurance may be subject to a deductible clause of not to
exceed the aggregate total Rental Payments payable during the
first thirty (30) days of any loss and except that such insurance
need be maintained as to the peril of earthquake only if such
insurance is available on the open market from reputable insurance
companies.
Section 6.08. Insurance Net Proceeds; Form of Policies. The
policies of insurance require by Sections 6.05 and 6.07 shall
provide that all proceeds thereunder shall be payable to the
Trustee pursuant to a lender's loss payable endorsement substan-
tially in accordance with the form approved by the Insurance
Services Office and the California Bankers Association or, if
there is no Trustee, to Lessor. The Net Proceeds of such
insurance shall be paid to the Trustee and applied as provided in
the Trust Agreement. All policies of insurance required by this
Agreement and any statements of self-insurance shall be in a form
satisfactory to the Trustee. Lessee shall pay or cause to be paid
when due the premiums for all insurance policies required by this
Agreement, and shall promptly furnish or cause to be furnished
evidence of such payments to the Trustee. All such policies shall
20.
provide that the Trustee shall be given thirty (30) days' notice
of each expiration, any intended cancellation thereof or reduction
of the coverage provided thereby. The Trustee shall not be
responsible for the sufficiency of any insurance herein required
and shall be fully protected in accepting payment on account of
such insurance or any adjustment, compromise or settlement of any
loss agreed to by the Trustee. Lessee shall cause to be delivered
to the Trustee annually evidence satisfactory to the Trustee that
the insurance policies required by this Agreement are in full
force and effect.
Section 6.09. Installation of Lessee's Equipment. Lessee
may at any time and from time to time, in its sole discretion and
at its own expense, install or permit to be installed other items
of equipment or other personal property in or upon the Project.
All such items shall remain the sole property of Lessee and may be
modified or removed by Lessee at any time provided that Lessee
shall repair and restore any and all damage to the Project
resulting from the installation, modification or removal of any
such items. Nothing in this Agreement shall prevent Lessee from
purchasing items to be installed pursuant to this Section under a
conditional sale or lease purchase contract, or subject to a
vendor's lien or security agreement, as security for the unpaid
portion of the purchase price thereof, provided that no such lien
or security interest shall attach to any part of the Project.
Section 6.10. Liens. In the event Lessee shall at any time
during the Term of this Lease cause any changes, alterations,
additions, improvements, or other work to be done or performed or
materials to be supplied, in or upon the Project, Lessee shall
pay, when due, all sums of money that may become due for, or
purporting to be for, any labor, services, materials, supplies or
equipment furnished or alleged to have been furnished to or for
the Lessee in, upon or about the Project and which may be secured
by any mechanic's, materialman's or other lien against the Project
or Lessor's interest therein, and will cause each such lien to be
fully discharged and released at the time the performance of any
obligation secured by any such lien matures or becomes due, except
that, if Lessee desires to contest any such lien, it may do so.
If any such lien shall be reduced to final judgment and such
judgment or such process as may be issued for the enforcement
thereof is not promptly stayed, or if so stayed and such stay
thereafter expires, Lessee shall forthwith pay and discharge such
judgment.
21.
ARTICLE VII
DAMAGE, DESTRUCTION AND CONDEMNATION;
USE OF NET PROCEEDS
Section 7.01. Damage, -Destruction and Condemnation. If,
prior to the termination o the Lease Term, CaY the Project or any
portion thereof is destroyed (in whole or in part) or is damaged
by fire or other casualty, or (b) title to, or the temporary use
of, the Project or any part thereof or the estate of Lessee or
Lessor in the Project or any part thereof shall be taken under the
exercise of the power of eminent domain by any governmental body
or by any person, firm or corporation acting under governmental
authority, Lessee and Lessor will cause the Net Proceeds of any
insurance claim or condemnation award to be applied to the prompt
repair, restoration, modification, improvement or replacement of
the Project. Any balance of the Net Proceeds remaining after such
work has been completed shall be paid to Lessee.
Section 7.02. Insufficiency -of Net Proceeds. If the Net
Proceeds are insufficient to pay in full the cost of any repair,
restoration, modification or improvement referred to in Section
7.0 1, Lessee shall either (a) complete the work and pay any cost
in excess of the amount of the Net Proceeds and Lessee agrees
that, if by reason of any such deficiency of the Net Proceeds,
Lessee shall make any payments pursuant to this Section, Lessee
shall not be entitled to any reimbursment therefor from Lessor nor
shall Lessee be entitled to any reduction in the amounts payable
under Article V hereof, or (b) if Lessee is not in default
hereunder, pay to Lessor the amount provided in Section 5.14(a) of
the Trust Agreement, and, upon such payment, this Agreement shall
terminate and title to the Project shall be conveyed by Lessor to
Lessee as provided in Section 9.01. The amount of the Net
Proceeds in excess of said payment, if any, may be retained by
Lessee.
ARTICLE VIII
DISCLAIMER OF WARRANTIES; USE OF PROJECT
Section 8.01. Disclaimer of Warranties. Lessor makes no
warranty or representation, either express or implied, as to the
value, design, condition, merchantability or fitness for any
particular purpose or fitness for the use contemplated by Lessee
of the Site or the Project or any item thereof, or any other
representation or warranty with respect to the Site or Project or
any item thereof. In no event shall Lessor be liable for
incidental, indirect, special or consequential damages, in
connection with or arising out of this Agreement or the Trust
Agreement, for the existence, furnishing, functioning or use of
the Project.
22.
Section 8.02. Use of Project. Lessee will not use, operate
or maintain the Project improperly, carelessly, in violation of
any applicable law or in a manner contrary to that contemplated
by this Agreement. Lessee shall provide all permits and licenses,
if any, necessary for the operation of the Project. In addition,
Lessee agrees to comply in all respects (including, without
limitation, with respect to the use, maintenance and operation of
the Project) with all laws of all jurisdictions in which its
operations involving the Project may extend and any legislative,
executive, administrative or judicial body exercising any power or
jurisdiction over the Project; provided, however, that Lessee may
contest in good faith the validity or application of any such law
or rule in any reasonable manner which does not, in the opinion of
Lessor, adversely affect the estate of Lessor in and to the
Project or its interest or rights under this Agreement.
Section 8.03. Tax Covenants. Lessee will not use or permit
the use of the Project or any portion thereof by any person not an
"exempt person" within the meaning of Section 103(b)(3) of the
Internal Revenue Code of 1954, as amended, or by an "exempt
person" (including the Lessee) in an "unrelated trade or business"
within the meaning of Section 513(a) of said Code, in such manner
or to such extent as would result in the loss of exemption from
federal income tax of the interest portion of any Base Rental
Payment under Section 103 of said Code.
ARTICLE I%
OPTION TO PURCHASE
Section 9.01 Option. At the request of Lessee, Lessor's
title in the Project will be transferred, conveyed and assigned to
Lessee and this Agreement shall terminate:
(a) At the end of the Lease Term, upon payment in full of
all Rental Payments and any other payments due hereunder;
(b) During the Lease Term,
then applicable Purchase Option
hereunder; or
upon payment by Lessee of the
Price and any other payments due
(c) If this Agreement is terminated due to total damage,
destruction or condemnation of the Project, and, if required by
Section 7.02, upon payment of the amount provided in Section
5.14(a) of the Trust Agreement.
Section 9.02. Notice of Intention; Payment of Purchase
Option Price. Lessee shall sen written notice to Lessor an the
Trustee of its intention to make the payments decribed in sub-
sections (b) and (c) of Section 9.01 not less than fifteen (15)
days prior to the date of such payments; provided, however, that
failure to provide such notice shall not affect the transfer,
conveyance and assignment of the Project and the termination of
this Agreement pursuant to Section 9.01.
23.
11
ARTICLE %
F]
ASSIGNMENT, SUBLEASING AND INDEMNIFICATION
Section 10.01. Assignment and Subleasing by Lessee. Lessee
may not, without Lessors consent, sublet all or any part of the
Project. If, upon approval by Lessor, the Project is sublet in
whole or in part or otherwise occupied by anyone other than
Lessee, Lessor may, upon default by Lessee, collect rent from such
subtenants or occupants and apply the net amount collected to the
Base Rental Payments or Additional Rental Payments reserved
herein, but no such collection shall be deemed a waiver of any
agreement, term, covenant or condition hereof, or an acceptance of
such subtenants or occupants, or a substitution of such subtenants
or occupants as lessees under this Agreement, or a release of
Lessee from the performance of the agreements, terms, covenants
and conditions of this Agreement.
Section 10.02. Assignment and Suble sing by Lessor. This
Lease and the obligations ot Lessee to make payments hereunder may
be assigned or reassigned and the Project transferred to any
successor of Lessor seleted in accordance with the Trust
Agreement. Lessor may sublease the Site pursuant to the Site
Lease and may lease the Project in an Event of Default, pursuant
to Section 11.02.
Section 10.03. Release and Indemnification Covenants.
Lessee shall indemnify, protect ana holdLessor armless rom and
against any and all liability, obligations, losses, claims and
damages whatsoever, regardless of cause thereof, and expenses in
connection therewith, including, without limitation, counsel fees
and expenses, penalties and interest arising from or as the result
of the entering into of this Agreement, the ownership of the
Project, the acquisition, installation, use, operation, condition,
purchase or delivery of the Project or any accident in connection
with the operation, use, condition or possession of the Project
resulting in damage to property or injury to or death to any
person including, without limitation, any claim alleging latent
and other defects, whether or not discoverable by Lessor or
Lessee; any claim for patent, trademark or copyright infringement;
and any claim arising out of strict liability in tort. The
indemnification arising under this Section shall continue in full
force and effect notwithstanding the full payment of all
obligations under this Agreement or the termination of this
Agreement for any reason. Lessee agrees not to withhold or abate
any portion of the payments required pursuant to this Agreement by
reason of any defects, malfunctions, breakdowns or infirmities of
the Project. Lessee and Lessor mutually agree to promptly give
notice in writing to each other of any claim or liability hereby
indemnified against following learning thereof.
24.
Lessor and its directors, officers, agents and employees and
the Trustee shall not be liable to Lessee or to any other party
whomsoever for any death, injury or damage that may result to any
person or property by or from any cause whatsoever in, on or about
the Project or Site. Lessee, to the extent permitted by law,
shall indemnify and hold Lessor and its directors, officers,
agents and employees and the Trustee harmless from, and defend
each of them against, any and all claims, liens and judgments for
death of or injury to any person or damage to property whatsoever
occurring in, on or about the Project or Site, and, to -the extent
permitted by law, any extraordinary reasonable attorneys' fees and
expenses not covered by the Additional Rental Payments provided
for in Section 5.05 hereof incurred in connection with litigation
against Lessor, the Trustee or any Certificate Owner challenging
or questioning the validity of this Agreement or any of the
obligations of Lessee hereunder.
ARTICLE %I
EVENTS OF DEFAULT AND REMEDIES
Section 11.01. Events of Default. Any one or more of the
following events shall -constitute an Event of Default.
(a) Failure by Lessee to pay any Rental Payment or other
payment required to be paid hereunder at the time specified
herein;
C(b) Failure by Lessee to observe and perform any covenant,
condition or agreement on its part to be observed or performed,
other than as referred to in clause (a) of this Section, for a
period of thirty (30) days after written notice by Lessor or its
assignee; provided, however, that Lessor or its assignee may, upon
written request of Lessee prior to the expiration of such thirty
(30) day period, consent to an extension of such time in order to
cure such failure if corrective action has been instituted by
Lessee and is being diligently pursued and will, in the judgment
of Lessor or its assignee, be diligently pursued until the default
is corrected;
(c) A court having jurisdiction in the premises shall enter
a decree or order for relief in respect of Lessee in an involun-
tary case under any applicable bankruptcy, insolvency or other
similar law now or hereafter in effect, or appointing a receiver,
liquidator, assignee, custodian, trustee, sequestrator (or similar
official) of Lessee or for any substantial part of its property,
or ordering the winding up or liquidation of its affairs, and such
decree or order shall remain unstayed and in effect for a period
of sixty (60) days; or
25.
(d) Lessee shall commence a voluntary case under any
applicable bankruptcy, insolvency or other similar law now or
hereafter in effect, or shall consent to the entry of an order for
relief in an involuntary case under any such law, or shall consent
to the appointment of or taking possession by a receiver,
liquidator, assignee, trustee, cudtodian, sequestrator (or similar
official) of Lessee for any substantial part of its property, or
shall make any general assignment for the benefit of creditors, or
shall fail generally to pay its debts as they become due or shall
take any corporate action in furtherance of any of the foregoing.
Section 11.02. Remedies on Default. Should there occur any
Event of Default as specifie in Section 11.01 of this Agreement,
Lessor or its agents or assigns shall have the right to pursue any
one or more of the following remedies upon thirty (30) days from
the giving of written notice of default from Lessor to Lessee:
(a) With or without terminating this Agreement, re-enter and
take possession of the Project and terminate and revest in Lessor
all right, title and interest of Lessee in the Project and the
leasehold interest of Lessee in the Site, holding Lessee liable
for all Base Rental Payments and Additional Rental Payments due
during the then current original Term or Renewal Term;
(b) Lease the Project and sublease the Site for the account
of Lessee, for terms not to exceed the then remaining term of the
Site Lease, holding Lessee liable for all Base Rental Payments and
Additional Rental Payments due during the then current original
Term or Renewal Term;
(c) Terminate this Agreement; or
(d) Take whatever action at law or in equity may appear
necessary or desirable to collect the payments when due and
thereafter to become due or to enforce performance and observance
of any obligation, agreement or covenant of Lessee under this
Agreement.
Lessee hereby expressly authorizes Lessor to lease the
Project and sublease the Site, for terms not to exceed the then
remaining term'of the Site Lease, for commercial or other
purposes, pursuant to Section 11.02(b) and Section 8.03 of the
Trust Agreement, if an Event of Default occurs. Lessee covenants
and agrees that it has or will take all necessary action in
accordance with the laws of the State of California, and any
charter, resolution or ordinance applicable to Lessee, including
but not limited to zoning laws and ordinances, to authorize such
lease and sublease.
26.
Section 11.03. No Remedy Exclusive. No remedy herein
conferred upon or reserved to Lessor is intended to be exclusive
and every such remedy shall be cumulative and shall be in addition
to every other remedy given under this Agreement or now or here-
after existing at law or in equity. No delay or omission to
exercise any right or power accruing upon any default shall impair
any such right or power or shall be construed to be a waiver
thereof, but any such right and power may be exercised from time
to time as often as may be deemed expedient. In order to entitle
Lessor to exercise any remedy reserved to it in this Article XI,
it shall not be necessary to give any notice, other than such
notice as may be required in this Article XI.
ARTICLE XII
DISCLAIMERS
Section 12.09. Disclaimers. LESSOR MAKES NO WARRANTY OR
REPRESENTATION EITHER EXPRESS OR IMPLIED AS TO THE VALUE, DESIGN,
CONDITION, MERCHANTABILITY OR FITNESS FOR USE OF ANY OF THE
PROJECT OR AS TO ITS TITLE THERETO OR ANY OTHER REPRESENTATION OR
WARRANTY WITH RESPECT TO THE PROJECT.
Lessee hereby covenants that no representations,
statements or warranties expressed or implied have been made by or
on behalf of Lessor or any Certificate Owner in connection with or
relating to the title to or construction or equipping of the
Project or in respect to its future condition or the use or
occupation that may be made thereof. Neither Lessor nor any
Certificate Owner shall in any event be in any way responsible for
any matters relating to construction or equipping of the Project
or the use or suitability for use thereof.
THE PARTIES AGREE THAT ANY IMPLIED WARRANTIES AS TO
MECHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE AND ALL OTHER
WARRANTIES EXPRESS OR IMPLIED ARE EXCLUDED FROM THIS AGREEMENT.
Neither Lessor nor any Certificate Owner shall in any event
whatsoever be liable for any latent defect therein.
ARTICLE XIII
TRUST AGREEMENT
Section 13.01. Execution of Trust Agreement. Concurrently
with the execution of this Agreement by the parties, Lessee and
Lessor have executed the Trust Agreement, dated as of the date
hereof.
27.
Section 13.02. Certificates of Participation. Lessee hereby
agrees that Lessor, as Trustee under the Trust Agreement, may
prepare, execute and deliver on behalf of Lessee to the Certifi-
cate Owners the Certificates in accordance with provisions of the
Trust Agreement. By the execution of this Agreement, Lessee
expressly consents to the ownership by the Certificate Owners of
this Agreement including the right to receive distributions from
payments by Lessee of the Base Rental Payments hereunder.
Section 13.03. Trustee and Successor Trustees. Lessee and
Lessor hereby acknowledge and agree that Lessor is acting under
this Agreement in the capacity of Trustee for and on behalf of the
Certificate Owners. Lessor agrees to exercise its responsibil-
ities hereunder in the capacity of Trustee for and on behalf of
the Certificate Owners. In the event Lessor resigns or is removed
as Trustee under the Trust Agreement and a Successor Trustee is
appointed under the Trust Agreement, Lessor agrees by appropriate
documentation to transfer all right, title and interest it has as
lessor under this Agreement and as lessee under the Site Lease to
any successor trustee under the Trust Agreement.
ARTICLE XIV
MISCELLANEOUS
Section 14.01. Amendments. This Agreement may be amended in
writing as may be mutually agreed by Lessor and Lessee; provided
that if Certificates of Participation have been issued no such
amendment which materially adversely affects the rights of the
Certificate Owners shall be effective unless it shall have been
consented to by the Certificate Owners of two-thirds in aggregate
principal amount of the Certificates then outstanding.
Section 14.02. Filings, Re orts and Financial Information.
Lessee agrees to prepare and deliver to Lessor within a reasonable
time prior to the required date of filing (or, to the extent
permissible, file on behalf of Lessor) any and all reports,
including income tax returns, if any, required to be filed by
reason of this Agreement.
Section 14.03. Applicable Law. This Agreement shall be
governed by and construed in accordance with the laws of the State
of California as the same may from time to time exist.
Section 14.04. Successors and Assigns. The agreements,
terms, covenants and conditions herein s a 1 bind and inure to the
benefit of Lessor, the Certificate Owners and Lessee, and their
respective successors and, except as otherwise provided herein,
their assigns.
Section 14.05. Severabilit . In the event any provision of
this Agreement shall b—e held invalid or unenforceable by any court
of competent jurisdiction, such holding shall not invalidate or
render unenforceable any other provisions hereof.
28.
Section 14.06. Headings. All headings contained herein are
for convenience of re erence only and are not intended to define
or limit the scope of any provision of this Agreement.
Section 14.07. Entire Agreement. This Agreement contains
the entire agreement between the parties and cannot be changed or
terminated orally, but only by an instrument in writing executed
by the parties.
Section 14.08. Payments Due on Sunda s and Holidays. In
case any payment required hereunder is required to be ,nave on a
date which in the State of California is a Sunday or a legal
holiday or a day on which banking institutions are authorized by
law to close, then such payment need not be made on such date but
may be made on the next succeeding business day with the same
force and effect as if made on the date required.
Section 14.09. Waiver. The waiver by Lessor of any breach
by Lessee of any term, covenant or condition hereof shall not
operate as a waiver of any subsequent breach of the same or any
other term, covenant or condition hereof.
Section 14.10. Execution in Counterparts. This Agreement
may be executed in any number of counterparts, each of which shall
be deemed to be an original, but all together shall constitute but
one and the same Agreement. It is also agreed that separate
counterparts of this Agreement may separately be executed by
Lessor and Lessee, all with the same force and effect as though
the same counterpart had been executed by both Lessor and Lessee.
Section 14.11. Notices. Any notices or filings required to
be given or made under tFiis Agreement shall be served, given or
made in writing upon Lessee by personal delivery or registered
mail addressed to:
CITY OF GRAND TERRACE
22795 Barton Road
Grand Terrace, California 92324
and upon Lessor by personal delivery or registered mail addressed
to:
CROCKER NATIONAL BANK
Corporate Trusts Group
333 South Grand Avenue
Suite 530
Los Angeles, California 90071
or at such other place as may be designated by either party in
writing.
29.
IN WITNESS WHEREOF, the Lessor has caused this Agreement to
be executed by its Vice -President and the Lessee has caused this
Agreement to be executed by its officers and its corporate seal
affixed, all as of the day and year first above written.
ATTEST:
By: , - --
(SEAL)
CROCKER NATIONAL BANK,
As Lessor
By:
Vice -Press ent
CITY OF GRAND TERRACE,
As Lessee
By: -
30.
EXHIBIT "A"
DESCRIPTION OF PROJECT
The Project consists of a Civic Center for the City of Grand
Terrace of approximately 20,600 square feet to be constructed in
accordance with Plans and Specifications prepared by Barmakian,
Wolff, Lang, Christopher - Architects, including all fixtures
attached thereto and all personal property acquired therefor with
proceeds for the Certificates of Participation.
11
EXHIBIT "B"
DESCRIPTION OF SITE
All that certain real property located in the County of San
Bernardino, State of California, described as follows:-
EXHIBIT "C"
BASE RENTAL PAYMENT
and
PURCHASE OPTION PRICE
SCHEDULE
Purchase
Payment Total Option
Dates Principal Interest Payment Price
i
l
STATE OF CALIFORNIA )
ss.
COUNTY OF )
The undersigned, a Notary Public, does hereby certify that
and , whose names as
and , respectively, of
the City o Gran Terrace, Ca i ornia, are signed to the Lease -
Purchase Agreement, and who are each known to me and known to be
such officers of said City, acknowledged before me on this day
under oath that, being informed of the contents of this Lease -
Purchase Agreement, they, in the capacities as officials of said
City and with full authority, executed and delivered the same
voluntarily for and as the act of said City on the day the same
bears date.
Given under my hand and seal of office, this day of
19
Notary Pu lic
My Commission expires:
(SEAL)
STATE OF CALIFORNIA )
ss.
COUNTY OF )
The undersigned, a Notary Public, does hereby certify that
and , whose names as
and , respectively, of
are signed to the Lease -Purchase
Agreement, and who are each known to me and known to be such
officers of said , acknowledged before me on this day under
oath that, being inTUrmed of the contents of this Lease Purchase
Agreement, they, in their capacities as officials of
and with full authority, execute3 an
deMeFe-a the same voluntarily for and as the act of
on the day the same bears date.
Given under my hand and seal of office, this day of
, 19
Notary Pu lc
My Commission expires:
(SEAL)
COUNCIL APPROVAL
TRUST AGREEMENT
NOV 1 01983
CourvCIL AGENDA ff
10/12/83
10/17/83
11/2/83
Dated as of ► 19
Between
CROCKER NATIONAL BANK
A Corporation Organized and Existing as
a National Banking Association Under the Laws
of the United States, as Trustee
and the
CITY OF GRAND TERRACE
A Duly Constituted Municipal Corporation
of the State of California
Relating to
$3,370,000 Certificates of Participation
TRUST AGREEMENT
THIS TRUST AGREEMENT, made and entered into as of •
, 19 by and between CROCKER NATIONAL BANK, a
corporation organized and existing as a national banking associa-
tion under the laws of the United States (the "Trustee") and CITY
OF GRAND TERRACE, a duly constituted municipal corporation of the
State of California (the "Agency");
C O V E N A N T S
IN CONSIDERATION of the mutual covenants herein contained and
for other valuable consideration, the parties do hereby agree as
follows:
ARTICLE I
DEFINITIONS; EXHIBITS; RULES OF CONSTRUCTION
Section 1.01. Definitions. The following terms will have
the meanings indicated below unless the context clearly requires
otherwise:
(a) "Agency Agreement" means the Agency Agreement, dated as
of the date hereof, by and between the Lessee and Lessor, and any
duly authorized and executed amendment thereto.
(b) "Additional Rental Payments" means the payments payable
by the Lessee pursuant to Article V of the Lease -Purchase
Agreement.
(c) "Base Rental Payments" means the payments payable by the
Lessee exclusively from current or other legally available funds,
pursuant to Article V of the Lease -Purchase Agreement.
(d) "Certificate Owner" or "Owner of a Certificate" or
"Owner" or any similar term, when used with respect to the
Certificates, means any person who shall be the registered owner
of a Certificate.
(e) "Certificates of Participation" or "Certificates" means
the certificates of participation prepared, executed and
delivered by the Trustee, pursuant to the Trust Agreement.
(f) "Certificate Register" means the books for registration
maintained by the Trustee, pursuant to Section 5.09 of the Trust
Agreement.
(g) "City" means the City of Grand Terrace, San Bernardino
County, California.
(h) "Closing Date" means the date when the Certificates of
Participation, duly executed by the Trustee, are delivered to the
original purchaser thereof.
(i) "Completion Date" means the date upon which Agency
delivers or causes to be delivered to the Trustee, pursuant to
Section 6.04 of the Trust Agreement, a certificate stating that
all Costs of Construction have been paid or provision for payment
thereof has been made.
(j) "Construction Fund" means the fund by that name
established under and held by the Trustee, pursuant to Section
6.02 of the Trust Agreement.
(k) "Cost of Construction" with respect to the Project shall
be deemed to include, but not be limited to, the following items:
(i) The cost incurred in the lease or lease -back of the
Site;
(ii) Obligations incurred or assumed or labor, materials
and equipment in connection with the improvement of the Site and
the construction and equipping of the Project;
(iii) The cost of performance, labor and material bonds
and of insurance of all kinds that may be required or necessary
during the course of construction and equipping of the Project or
improvement of the Site, to the extent not purchased by contrac-
tors or subcontractors for the Project;
(iv) All costs of engineering services, including the
costs incurred or assumed for preliminary design and development
work, test borings, surveys, estimates, plans and specifications,
and for supervising construction as well as for the performance of
all of the duties required by or consequent upon the proper
improvement of the Site and construction and equipping of the
Project, and all costs or architectural services in connection
with the preparation of Plans and Specifications for the Project;
(v) All expenses incurred in connection with the
issuance and sale of the Certificates, including, without limita-
tions, underwriter's discount or commission fees, interest on the
Certificates during construction, overhead and administrative
expenses, the initial compensation and expenses of the Lessor and
any additional paying agents, legal and accounting expenses and
fees, costs incurred in connection with the issuance and sale of
the Certificates and in obtaining ratings from rating agencies,
cost of insurance, cost of publication, printing and engraving and
recording and filing fees;
(vi) All costs which shall be required to be paid under
the terms of any contract or contracts, for the lease of the Site
and the construction and equipping of the Project;
(vii) All costs incurred in preparing or obtaining
permits or approval from regulatory agencies in connection with
the improvement of the Site and construction and equipping of the
Project;
2.
n
(viii) The Reserve Requirement as defined in Article VII
of the Trust Agreement; and
(ix) All other costs which are considered to be a part
of the cost of the Project in accordance with generally accepted
accounting principles and which will not affect the exemption from
federal income taxes of interest on any of the Certificates.
(1) "Director of Financial Services" means the Director of
Financial Services of the Lessee, or any other person designated
or authorized to perform the functions of Director of Financial
Services.
(m) "Event of Default" means one or more events of default
as defined in Article XI of the Lease -Purchase Agreement.
(n) "Event of Nonappropriation" means an occurrence in which
the Lessee fails to appropriate and budget sufficient funds for
payment of Base Rental Payments and Additional Rental Payments
required to be paid in the next Renewal Term and does not have
funds legally available for such purpose from other sources, as
described in Section 5.10 of the Lease -Purchase Agreement.
(o) "Independent Counsel" means an attorney duly admitted to
the practice of law before the highest court in the State of
California and who is not then and has not been for the preceding
five (5) years an employee of the Trustee, Lessor or Lessee.
(p) "Lease Payment" means any payment due from the Lessee to
the Lessor as rental under Article V of the Lease -Purchase Agree-
ment.
(q) "Lease -Purchase Agreement" means the Lease -Purchase
Agreement, dated as of the date hereof, by and between the Lessee
and Lessor, and any duly authorized and executed amendment hereto.
(r) "Lease Term" means the duration of the leasehold estate
created in the Project as provided in Article IV of the Lease -
Purchase Agreement.
(s) "Lessee" means the City of Grand Terrace, San
Bernardino, California, as Lessee under the Lease -Purchase
Agreement.
(t) "Lessor" means Crocker National Bank, a corporation
organized and existing as a national banking association under the
laws of the United States, as Lessor under the Lease -Purchase
Agreement.
(u) "Payment Dates" mean June 1 and December 1 of each year
commencing June 11 1984.
(v) "Net Proceeds" means any insurance proceeds or condemna-
tion award, paid with respect to the Project, remaining after pay-
3.
u
F1
ment therefrom of all expenses incurred in the collection thereof.
(w) "Permitted Encumbrances" means, at any particular time:
(i) liens for taxes and assessments not then delinquent, or which
the Lessee, pursuant to the Lease -Purchase Agreement, may permit
to remain unpaid; (ii) the Lease -Purchase Agreement and Site
Lease; (iii) utility access and other easements and rights -of -way,
restrictions and exceptions that the Lessee certifies will not
interfere with or impair the Project; (iv) the Trust Agreement;
and (v) such minor defects, irregularities, encumbrances and
clouds on title as normally exist with respect to property
affected thereby for the purpose for which it was acquired or held
by the Lessor.
(x) "Permitted Investments" means:
(i) United States Treasury notes, bonds, bills, or
certificates of indebtedness, or those for which the faith and
credit of the United Sates are pledged for the payment of
principal and interest.
(ii) Obligations issued by federal land banks, federal
home loan banks, the Federal Home Loan Bank Board, the Tennessee
Valley Authority, or in obligations, participations, or other
instruments of or issued by, or fully guaranteed as to principal
and interest by, the Federal National Mortgage Association; or in
obligations, participations, or other instruments of or issued by
a federal agency or a United States government -sponsored
enterprise.
(iii) Investments in repurchase agreements of any
securities authorized by paragraphs (i) and (ii) above.
(y) "Plans and Specifications" means the plans and specifi-
cations for the Project to be constructed and leased to Lessee.
(z) "Principal Office" when used with respect to the
Trustee, means the principal or corporate trust office of the
Trustee situated in Los Angeles, California.
(aa) "Project" means the buildings and related equipment and
improvement to be acquired, constructed and leased to the Lessee.
(bb) "Purchase Option Price" means that amount payable during
the Lease Term of the Lease -Purchase Agreement, at the sole option
of the Lessee, for the purpose of terminating the Lease -Purchase
Agreement and the Site Lease and purchasing the Project.
(cc) "Outstanding" when used with reference to the Certifi-
cates and as of any particular date means all Certificates
therefore delivered except:
(i) Any Certificate cancelled by the Trustee at or
before said date; and
4.
(ii) Any Certificate in lieu of or in substitution for
which another Certificate shall have been delivered pursuant to
the Trust Agreement.
(dd) "Redemption Fund" means the fund by that name estab-
lished under and held by the Trustee, pursuant to Section 5.15 of
the Trust Agreement.
(ee) "Renewal Terms" means the Renewal Terms of the Lease
Term as provided in Article IV of the Lease -Purchase Agreement.
( ff ) "Rental Payment Account" means the account by that name
established under and held by the Trustee, pusuant to Section 7.02
of the Trust Agreement.
(gg) "Reserve Account" means the account by that name
established under and held by the Trustee, pursuant to Section
7.03 of the Trust Agreement.
(hh) "Revenue Fund" means the fund by that name established
under and held by the Trustee, pursuant to Section 7.01 of the
Trust Agreement.
(ii) "Site" means the real property on which the Project is
to be constructed.
(jj) "Site Lease" means that lease, dated as of the date
hereof, between Crocker National Bank and the City of Grand
Terrace and any duly authorized and executed amendment thereto.
(kk) "Trust Agreement" means this Agreement, dated as of the
date hereof, between the Trustee and Agency.
(11) "Trust Operations Account" means the account by that
name established under and held by the Trustee, pursuant to
Section 7.04 of the Trust Agreement.
(mm) "Trustee" means Crocker National Bank, a national
banking association with a principal corporate office located in
Los Angeles, California, acting in the capacity of Lessor under
the Lease -Purchase Agreement, Lessee under the Site Lease and
Trustee under the Trust Agreement and any successor appointed
under the Trust Agreement.
Section 1.02. Exhibits. The following exhibits are attached
to this Agreement an ma e a part hereof:
(a) Exhibit "A" - the form of Certificates of Participation
and Assignment thereof.
Section 1.03. Rules of Construction. Words of the masculine
gnder shall be deemeil and construed to include correlative words
of the feminine and neuter genders. Unless the context otherwise
indicates, words importing the simgular number shall include the
5.
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plural number and vice versa, and words importing persons shall
include corporations and associations, including public bodies, as
well as natural persons.
Section 1.04. Reference to Trust Agreement. The terms
"hereby", "hereof", 'hereto', herein , hereunder" and any
similar terms, as used in this Agreement, refer to this
Agreement.
ARTICLE II
RECITALS AND REPRESENTATIONS
Section 2.01. Site -Lease. The Agency and Trustee have
entered into a Site Lease, dated as of the date hereof, whereby
the Agency has agreed to lease the Site to the Trustee and the
Trustee has agreed to lease the Site from the Agency for purposes
of constructing the Project thereon.
Section 2.02. Agency Agreement. The Agency and Trustee have
entered into an Agency Agreement, dated as of the date hereof,
whereby the Trustee has appointed the Agency, as its agent, for
purposes of carrying out the supervision and construction of the
Project on the Site.
Section 2.03. Lease Purchase Agreement. The Trustee and
Agency have entered into a Lease -Purchase Agreement dated as of
the date hereof whereby Trustee has agreed to lease the Project to
Agency and Agency has agreed to lease the Project from Trustee.
Under the Lease -Purchase Agreement, Agency is obligated to pay or
cause to be paid to Trustee certain Rental Payments for the use
and occupancy of the Project, with an option to purchase the
Project.
Section 2.04. Trustee as Landlord and Fiduciary. The
Trustee hereby represents that it is acting as lessee under the
Site Lease, as Lessor under the Lease -Purchase Agreement and as
Trustee under this Agreement.
Section 2.05. Conditions -Precedent Satisfied. All acts,
conditions and things required by law to exist, happen and be
performed precedent to and in connection with the execution and
entering into of this Agreement have happened and have been
performed in regular and due time, form and manner as required by
law and the parties hereto are now duly empowered to execute and
enter into this Agreement.
6.
M J
ARTICLE III
I
APPOINTMENT OF TRUSTEE
Section 3.01. Appointment of Trustee. In consideration of
the recitals herein, the Agency here y agrees to appoint the
Trustee to receive, hold, invest and disburse the moneys to be
paid to it, pursuant to the Lease -Purchase Agreement, for credit
to the various funds and accounts established by this Agreement;
to prepare, execute, deliver and deal with the Certificates; and
to apply and disburse the Base Rental Payments to the Owners of
Certificates; and to perform certain other functions all as
hereinafter provided and subject to the terms and conditions of
this Agreement.
Section 3.02. Acceptance of Appointment.
of the compensation hereinafter provided, the
appointment specified in Section 3.01, subject
conditions of this Agreement.
7.
In consideration
Trustee accepts the
to the terms and
ARTICLE IV
THE TRUSTEE
Section 4.01. Acceptance of Duties and Responsibilities. By
executing and delivering this Agreement, the Trustee accepts the
duties and obligations of the Trustee provided in this Agreement,
subject to the terms and conditions of this Agreement.
Section 4.02. Compensation of the Trustee. The Agency shall
from time to time, on demand, pay to the Trustee reasonable
compensation for its services and shall reimburse the Trustee for
all its advances and expenditures, including but not limited to
advances to and fees and expenses of independent appraisers,
accountants, consultants, counsel, agents and attorneys -at -law or
other experts employed by the Trustee in the exercise and perfor-
mance of its powers and duties hereunder. Such compensation and
reimbursement shall be paid by Agency pursuant to Section 5.05 of
the Lease -Purchase Agreement.
Section 4.03. Protection to the Trustee. The Trustee shall
be protected and shall incur no liability in acting or proceeding
in good faith upon any resolution, notice, telegram, request,
consent, waiver, certificate, statement, affidavit, voucher, bond,
requisition or other paper or document which it shall in good
faith believe to be genuine and to have been passed or signed by
the proper board or person or to have been prepared and furnished
pursuant to any of the provisions of this Agreement, and the
Trustee shall be under no duty to make any investigation or
inquiry as to any statements contained or matters referred to in
any such instrument, but may accept and rely upon the same as
conclusive evidence of the truth and accuracy of such statements.
The Trustee shall not be bound to recognize any person as an Owner
of any Certificate or to take any action at his request unless
such Certificate shall be deposited with the Trustee or
satisfactory evidence of the ownership of such Certificate shall
be furnished to the Trustee. The Trustee may consult with counsel
with regard to legal questions and the opinion of such counsel
shall be full and complete authorization and protection in respect
of any action taken or suffered by it hereunder in good faith in
accordance therewith. In the event that the Trustee requests any
opinion of counsel pursuant to the preceding section and
subsequently requests opinion of a second counsel with respect to
the same matter, the Trustee shall provide to each counsel a copy
of any written opinion provided by the other counsel with respect
to such matter.
Whenever in the administration of its duties under this
Agreement, the Trustee shall deem it necessary or desirable that a
matter be proved or established prior to taking or suffering any
action hereunder, such matter (unless other evidence in respect
therefor be herein specifically prescribed) shall be deemed to be
conclusively proved and established by the certificate of an
Authorized Officer of the Agency and such certificate shall be
8.
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n
full warranty to the Trustee for any action taken or suffered
under the provisions of this Agreement upon the faith thereof, but
in its discretion the Trustee may, in lieu thereof, accept other
evidence of such matter or may require such additional evidence as
to it may seem reasonable.
The Trustee may buy, sell, own, hold and deal in any of the
Certificates provided pursuant to this Agreement, and may join in
any action which any Owner may be entitled to take with like
effect as if the Trustee were not a party to this Agreement. The
Trustee, either as principal or agent, may also engage in or be
interested in any financial or other transaction with the Agency,
and may act as depository, trustee, or agent for any committee or
body of Owners of Certificates or other obligations of the Agency
as freely as if it were not Trustee hereunder.
The Trustee may execute any of the trusts or powers and
perform the duties required of it hereunder by or through
attorneys, agents, or receivers, and shall be entitled to advice
of counsel concerning all matters of trust and its duty hereunder,
and the Trustee shall not be answerable for the default or
misconduct of any such attorney, agent or receiver selected by it
with reasonable care. The Trustee shall not be answerable for the
exercise of any discretion or power under this Agreement or for
anything whatever in connection with the funds and accounts
established hereunder, except only for its own willful misconduct
or negligence or breach of duty under this Agreement.
Section 4.04. Resignation of Trustee. The Trustee may at
any time resign by giving written notice to the Agency of its
intent to resign and, thirty (30) days after said notice of
intent, by giving written notice of resignation to the Agency and
by giving notice of such resignation by mail, first class and
postage prepaid, to the Certificate Owners at the address as shown
on the Certificate Register. Upon receiving such notice of
resignation, the Agency shall promptly appoint a successor Trustee
by an instrument in writing; provided, however, that in the event
that the Agency does not appoint a successor Trustee within thirty
(30) days following receipt of such notice of resignation, the
Trustee may petition the appropriate court having jurisdiction to
appoint a successor Trustee. Any resignation of the Trustee and
appointment of a successor Trustee shall become effective upon
acceptance of appointment by the successor Trustee.
Section 4.05. Removal of Trustee. The Agency may by written
agreement or the Owners of a majority in aggregate principal
amount of all Certificates Outstanding may by written request,
remove the Trustee initially a party to this Agreement and any
successor thereto and may appoint a successor Trustee, but any
such successor shall be a bank or trust company doing business and
having an office in Los Angeles, California, having a combined
capital (exclusive of borrowed capital) and surplus of at least
Fifty Million Dollars ($50,000,000) and subject to supervision or
examination by federal or state authority. If such bank or trust
9.
F
company publishes a report of condition at least annually,
pursuant to law or to the requirements of any supervising or
examining authority above referred to, then for the purposes of
this Section the combined capital and surplus of such bank or
trust company shall be deemed to be its combined capital and
surplus as set forth in its most recent report of conditions so
published. Any removal of the Trustee and appointment of a
successor Trustee shall become effective upon acceptance of
appointment by the successor Trustee.
Section 4.06. Paying Agent. The Trustee, at its principal
office in Los Angeles, Cali ornia, is hereby appointed as paying
agent.
10.
ARTICLE V
CERTIFICATES: TERMS AND PROVISIONS
Section 5.01. Preparation of Certificates. The Trustee is
hereby directed, upon written request of the Agency, to prepare,
execute and deliver Certificates in the aggregate principal amount
of:
$3,370,000
evidencing direct and proportionate interests of the Owners
thereof in the Base Rental Payments to be paid by the Agency under
the Lease -Purchase Agreement.
Section 5.02. Form; Denominations; Medium -of Payment. The
Certificates shall be delivered in the form ot fully registered
Certificates without coupons in the denomination of $5,000 each or
any whole multiple thereof which shall be substantially in the
form set forth in Exhibit "A". The Certificates shall be payable
in lawful money of the United Sates of America which at the time
of payment is legal tender for the payment of public and private
debts.
Section 5.03. Date of Certificates. Certificates delivered
prior to June 1, 1984, shall e dated as of December 1, 1983.
Certificates delivered on or after June 1, 1984, shall be dated as
of the preceding Payment Date unless such date of delivery shall
be a Payment Date, in which case they shall be dated as of such
date of delivery. Interest with respect to Certificates shall be
payable from their date.
Section 5.04. Payment of Principal and Interest with Respect
to Certificates.
(a) Certificates shall be payable from the principal compo-
nent of the Base Rental Payments on December 1 in each of the
years and in the amounts as follows:
YEAR
AMOUNT
YEAR
AMOUNT
1985
$20,000
1999
$85,000
1986
25,000
2000
95,000
1987
25,000
2001
105,000
1988
30,000
2002
115,000
1989
30,000
2003
125,000
1990
35,000
2004
140,000
1991
40,000
2005
150,000
1992
45,000
2006
170,000
1993
45,000
2007
185,000
1994
50,000
2008
205,000
1995
55,000
2009
225,000
1996
65,000
2010
250,000
1997
70,000
2011
275,000
1998
75,000
2012
300,000
2013
335,000
11.
(b) Interest with respect to Certificates shall be payable
on June 1, 1984, and semiannually thereafter on December 1 and
June 1 of each year to and including the date of maturity or
redemption, whichever is earlier. The interest shall represent
the portion of Base Rental Payments designated as interest payable
with respect to each of the June 1 and December 1 dates computed,
in the case of principal due December 1 in each of the following
years, at the rates set forth below:
YEAR AMOUNT RATE YEAR AMOUNT RATE
Section 5.05. Legends. The Certificates may contain or have
endorsed thereon such pr provisions, specifications and descriptive
words not inconsistent with the provisions of this Agreement as
may be necessary or desirable to comply with custom, or otherwise,
as may be determined the Trustee prior to delivery thereof.
Section 5.06. Execution. The Certificates shall be executed
by and in the name o the Trustee, as trustee under this Agree-
ment, by the manual signature of an authorized officer of the
Trustee.
Section 5.07. Transfer of Certificates.
(a) The registration of each Certificate shall be trans-
ferable only upon the Certificate Register, which shall be kept
for that purpose at the principal office of the Trustee, upon
surrender thereof together with a written instrument of transfer
satisfactory to the Trustee duly executed by the registered Owner
or his duly authorized attorney. Upon the registration of the
transfer and the surrender of any such Certificate, the Trustee
shall provide, in the name of the transferee, a new Certificate or
Certificates of the same aggregate principal amount and maturity
as the surrendered Certificates.
12.
(b) The Trustee shall deem and treat the person in whose
name any Outstanding Certificate shall be registered upon the
Certificate Register as the absolute owner of such Certificate,
whether such Certificate shall be overdue or not, for the purpose
of receiving payment of, or on account of, the principal and
interest payments with respect to such Certificate for all other
purposes, and all such payments so made to any such registered
Owner or upon his order shall be valid and effectual to satisfy
and discharge the liability upon such Certificate to the extent of
the sum or sums so paid, and neither Agency nor the Trustee shall
be affected by any notice to the contrary. The Agency agrees to
indemnify the Trustee or cause the Trustee to be indemnified
against any and all loss, cost, charge, expense, judgment or
liability incurred by it, acting in good faith and without gross
negligence hereunder, in so treating such registered Owner.
Section 5.08. Regulation with Respect to Exchange and
Transfers. In all cases in which the privilege of exchanging
Certi icates or transferring registration of Certificates is
exercised, the Trustee shall execute and deliver Certificates in
accordance with the provisions of Article V. All Certificates
surrendered in any such exchanges or transfers shall forthwith be
cancelled and destroyed by the Trustee. For every such exchange
or transfer of Certificates, whether temporary or definitive, the
Trustee may make a charge sufficient to reimburse it for any tax,
fee or other governmental charge, other than one imposed by the
Agency, required to be paid with respect to such exchange or
( transfer, which sum or sums shall be paid by the person requesting
such exchange or transfer as a condition precedent to the exercise
of the privilege of making such exchange or transfer. Notwith-
standing any other provision of this Agreement, the cost of
preparing each new Certificate upon the first exchange or transfer
following delivery pursuant to Section 5.01 and any other expenses
of the Agency or Trustee incurred in connection therewith (except
any applicable tax, fee or other governmental charge other than
one imposed by the Agency) shall be paid by the Agency. The
Trustee shall not be obliged to make any such exchange or transfer
of Certificates during the fifteen (15) days next preceding each
date for payment of interest and/or principal.
Section 5.09. Certificate Register. The Trustee shall keep
or cause to be kept at its Principal Office a Certificate
Register which shall at all time be open to inspection by the
Agency and Owners of Certificates and, upon presentation for such
purpose, the Trustee shall, under such reasonable regulations as
it may prescribe, register or transfer or cause to be registered
or transferred, on the Certificate Register, Certificates as
hereinbefore provided.
13.
Section 5.10. Temporary Certificates. The Certificates may
be initially issued in temporary form exc angeable for definitive
Certificates when ready for delivery. The temporary Certificates
may be printed, lithographed or typewritten, shall be of such
denominations as may be determined by the Trustee, shall be in
registered form without coupons and may contain such reference to
any of the provisions of this Agreement as may be appropriate.
Every temporary Certificate shall be executed by the Trustee upon
the same conditions and in substantially the same manner as the
definitive fully registered Certificates. If the Trustee issues
temporary Certificates, it will execute and furnish definitive
Certificates without delay and thereupon the temporary Certifi-
cates shall be surrendered for cancellation at the Principal
Office of the Trustee and the Trustee shall deliver in exchange
for such temporary Certificates an equal aggregate principal
amount of definitive Certificates without coupons of authorized
denominations and of the same maturity and interest rate or rates.
Until so exchanged, the temporary Certificates shall be entitled
to the same benefits under this Agreement as definitive Certifi-
cates executed and delivered hereunder.
Section 5.11. Certificates Mutilated, Lost, Destroyed or
Stolen. If any Certifi ate shall become -mutilated, the Trustee,
at the expense of the Certificate Owner shall execute and deliver
a new Certificate of like tenor, maturity and number in exchange
and substitution for the Certificate so mutilated (except that
such number may be preceded by a distinguishing prefix), but only
upon surrender to the Trustee of the Certificate so mutilated.
Every mutilated Certificate so surrendered to the Trustee shall be
cancelled by it and either destroyed or delivered upon the order
of the Agency.
If any Certificate shall be lost, destroyed or stolen,
evidence of such loss, destruction or theft may be submitted to
the Trustee, and, if such evidence is satisfactory to the Trustee
and indemnity satisfactory to the Trustee shall be given, the
Trustee, at the expense of the Certificate Owner, shall execute
and deliver a new Certificate of like tenor and maturity, and
numbered as the Trustee shall determine in lieu of and in
substitution for the Certificate so lost, destroyed or stolen.
The Trustee may require payment of an appropriate fee for
each new Certificate delivered under this Section and of the
expenses which may be incurred by the Trustee under this Section.
Any Certificate delivered under this Section in lieu of any
Certificate alleged to be lost, destroyed or stolen shall be
equally and proportionately entitled to the benefits of this
Agreement with all other Certificates secured by this Agreement.
The Trustee shall not be required to treat both the original
Certificate and any duplicate Certificate as being Outstanding for
the purpose of determining any percentage of Certificates
Outstanding hereunder, but both the original and duplicate
Certificate shall be treated as one and the same. Notwithstanding
any other provision of this Section, in lieu of delivering a new
14.
Certificate for a Certificate which has been mutilated, lost,
destroyed or stolen and which has matured, the Trustee may make
payment of such Certificate.
Section 5.12. Place of Payment. The principal of all
Certificates shall be payable at the Principal Office of the
Trustee. Interest with respect to Certificates shall be payable
by check or draft of the Trustee mailed to the Owner of record on
the Payment Date therefor of such Certificates at the address
shown on the Certificate Register.
Section 5.13. Evidence of Signatures of Certificate Owners
and Ownership of Certificates. Any request, direction, consent,
revocation of consent, or other instrument in writing required or
permitted by this Agreement to be signed or executed by Certifi-
cate Owners may be in any number of concurrent instruments of
similar tenor, and may be signed or executed by such Certificate
Owners in person or by their attorneys or agents appointed by an
instrument in writing for that purpose. Proof of the execution of
any such instrument, or of any instrument appointing any such
attorney or agent, and of the holding and ownership of Certifi-
cates shall be sufficient for any purpose of this Agreement
(except as otherwise herein provided), if made in the following
manner:
(a) The fact and date of the execution by any Certificate
Owner or his attorney or agent of any such instrument and of any
instrument appointing any such attorney or agent, may be proved by
a certificate, which need not be acknowledged or verified, of an
officer of any bank or trust company located within the United
States of America, or of any notary public, or other officer
authorized to take acknowledgments of deeds to be recorded in such
jurisdictions that the persons signing such instruments acknow-
ledged before him the execution thereof. Where any such instru-
ment is executed by an officer of a corporation or association or
a member of a partnership on behalf of such corporation, associa-
tion or partnership, such certificate shall also constitute
sufficient proof of his authority.
(b) The fact of the ownership of Certificates by any
Certificate Owner and the amount, the maturity and the numbers of
such Certificates and the date of ownership shall be proved by the
Certificate Register held by the Trustee under the provisions of
this Agreement.
Nothing contained in this Article shall be construed as
limiting the Trustee to such proof, it being intended that the
Trustee may accept any other evidence of the matters herein stated
which may seem sufficient. Any request or consent of the Owner of
any Certificate shall bind every future Owner of the same Certifi-
cate in respect of anything done or suffered to be done by the
Agency or the Trustee in pursuance of such request or consent.
15.
L
Section 5.14.
Redemption.
u
(a) The Certificates are subject to extraordinary mandatory
redemption in whole or in part (but not in a total redemption
amount of less than $20,000), in inverse order of maturity and by
lot within a maturity, on any Payment Date, without premium, at
the principal amount thereof, together with accrued interest to
the date fixed for redemption from the proceeds of insurance or
condemnation not used for repair or replacement transferred to the
Trustee, pursuant to the Lease -Purchase Agreement.
(b) In addition to redemption pursuant to subsection (a)
hereof, the Certificates maturing on or after December 11 1989,
are subject to redemption in whole or in part (but not in a total
redemption amount of less than $20,000 at any one time) in inverse
order of maturity and by lot within a maturity on any Payment Date
on or after December 1, 1988, at the principal amount thereof,
together with the premium set forth below (expressed as a percen-
tage of the principal amount to be redeemed), and accrued interest
to the date fixed for redemption from the proceeds of the Purchase
Option Price or other funds legally available paid by the Agency,
pursuant to the Lease -Purchase Agreement:
DATE OF REDEMPTION PREMIUM
December
1,
1989 and December 1, 1998
3%
December
1,
1999
2.5%
December
1,
2000
2%
December
1,
2001
1.5%
December
1,
2002
1%
December
1,
2003
0.5%
December
1,
2004 and thereafter
0%
(c) Redemption by lot shall be in such manner as the Trustee
shall determine; provided, however, that the portion of any
Certificate to be redeemed shall be in the principal amount of
$5,000 or any multiple thereof, and that in selecting portions of
Certificates for redemption, the Trustee shall treat each such
Certificate as representing that number of Certificates which is
obtained by dividing the principal amount of such Certificate by
$5,000.
Section 5.15. Redemption Fund. Moneys to be used for
redemption pursuant to,Section 5. 4 hereof shall be transferred by
the Trustee from the RLantal Payment Account and deposited in a
Redemption Fund, which shall be a special fund to be held by the
Trustee, separate and apart from all other funds, for the benefit
of the Certificate Owners. Such moneys shall be set aside in the
Redemption Fund solely for the purpose of redeeming the Certifi-
cates in advance of their maturity and shall be applied on or
after the Payment Date designated pursuant to Section 5.14 hereof
to the payment of principal and interest with respect to the
Certificates to be redeemed upon presentation and surrender of
such Certificates.
16.
Section 5.16. Notice of Redemption. When redemption is
authorized or required pursuant to Section 5.14 hereof, the
Trustee shall give to the Certificate Owners notice at the expense
of Agency of the redemption of the Certificates. Such notice
shall specify: (a) the whole or a designated portion of the
Certificates to be redeemed, (b) the Payment Date of redemption,
and (c) the place or places where the redemption will be made.
Such notice shall further state that on the specified Payment Date
there shall become due and payable upon each Certificate to be
redeemed, the principal thereof and premium, if any, together with
interest accrued to such Payment Date, and that from and after
such Payment Date interest thereon shall cease to accrue and be
payable.
Notice of such redemption shall be given by mailing, postage
prepaid, not more than sixty (60) days nor less than forty-five
(45) days prior to the Payment Date of redemption, copies of the
Notice of Redemption to the Owners of any Certificates whose
Certificates are to be redeemed. Such mailings shall not be a
condition precedent to such redemption and failure so to mail any
such notice shall not affect the validity of the proceedings for
the redemption of the Certificates.
Section 5.17. Payment of Certificates. Notice having been
given as aforesaid, and the moneys for the redemption, including
interest to the applicable Payment Date, having been set aside in
the Redemption Fund, the Certificates to be redeemed shall become
due and payable qn such Payment Date, and, upon presentation and
surrender thereof at the office or offices specified in the
notice, such Certificates shall be paid at the unpaid principal
amount thereof, plus any unpaid and accrued interest to said
Payment Date.
Section 5.18. Effect of Redemption. If, on the Payment
Date, moneys for the redemption of all the Certificates to be
redeemed, together with interest to such Payment Date, shall be
held by the Trustee so as to be available therefore on such
Payment Date, and, if notice of redemption thereof shall have been
given as aforesaid, then, from and after such Payment Date,
interest on the Certificates to be redeemed shall cease to accrue
and become payable. If moneys shall not be available on such
Payment Date, such Certificates shall continue to bear interest
until paid at the same rates as they would have born had they not
been noticed for redemption. All moneys held by or on behalf of
the Trustee for the redemption of particular Certificates'shall be
held in trust for the account of the Owners of the Certificates to
be redeemed.
Section 5.19. Cancellation of Certificates. All Certifi-
cates redeemed pursuant to this Article shall be cancelled upon
surrender thereof and delivered to the Agency and no Certificates
shall be issued in place thereof.
17.
Section 5.20. Rescission of Notice of Redeml2tion. The
Trustee may, at its option, prior to the date tixed tor redemption
in any notice of redemption rescind and cancel such notice of
redemption.
18.
ARTICLE VI
APPLICATION OF PROCEEDS OF CERTIFICATES
Section 6.01. Application of Proceeds of Certificates. The
proceeds received from the sale of the Certi icates shall e
deposited with the Trustee, who shall forthwith set aside such
proceeds in the following funds or accounts:
(a) The Trustee shall set aside in the Rental Payment
Account (established pursuant to Section 7.02) an amount equal to
any accrued interest received upon the sale of the Certificates
and all funds specified under Section 4.05 of the Lease -Purchase
Agreement.
(b) The Trustee shall set aside in the Reserve Account
(established pursuant to Section 7.03) a sum equal to:
(Maximum Annual Debt Service)
(c) The Trustee set aside in the Construction Fund (estab-
lished pursuant to Section 6.02) the remainder of the proceeds
from the sale of the Certificates.
Section 6.02. Construction Fund. The Trustee shall estab-
lish, maintain and hold in trust, until construction of the
Project has been completed, a special fund designated as the
"Construction Fund". The moneys in the Construction Fund shall be
held by the Trustee and applied to the payment of the costs of
construction of the Project and of expenses incidental thereto,
and payment of any amounts due to the Agency under the Agency's
bidding documents, including architectural and engineering fees
and expenses, furniture and equipment, tests and inspection,
surveys, land acquisition, insurance premiums, initial fees and
expense of the Trustee, expenses in connection with the prepar-
ation, issuance and delivery of the Certificates of Participation,
legal fees and expenses of counsel and similar expenses.
Section 6.03. Payments from Construction Fund; Written -
Requisition. Before an payment is made from the Construction
Fund by t e Trustee, th Agency, as duly authorized agent under
the Agency Agreement, shall cause to be filed with the Trustee a
Written Requisition, with the approval of the Director of
Financial Services of the Agency endorsed thereon, showing with
respect to each payment to be made:
(a) The item number of the payment;
(b) The name of the person to whom payment is due;
(c) The amount to be paid; and
19.
(d) The purpose for which the obligation to be paid was
incurred.
Each Written Requisition shall state and shall be sufficient
evidence to the Trustee:
(a) That obligations in the stated amounts have been
incurred by the Agency, as agent under the Agency Agreement, and
that each item is a proper charge against the Construction Fund;
and
(b) That there has not been filed with or served upon the
Agency notice of any lien, right to lien or attachment upon, or
claim affecting the right to receive payments of any of the moneys
payable to any of the persons named in such Written Requisition .
which has not been released or will not be released simultaneously
with the payment of such obligation, other than materialmen's or
mechanic's liens accruing by operation of law.
Upon receipt of each such Written Requisition, the Trustee
will pay the amount set forth in such Written Requisition as
directed by the terms thereof. The Trustee need not make any such
payment if it has received notice of any lien, right to lien or
attachment upon, or claim affecting the right to receive payment
of any of the moneys to be so paid, which has not been released or
will not be released simultaneously with such payment.
Section 6.04. Completion of Construction; Transfer to
Revenue Fund. Upon the completion ana construction an2l equipping
of the Project and the acceptance thereof by the Agency, the
Agency shall deliver a certificate to the Trustee stating that, to
the best of the Agency's knowledge based upon the representations
of the contractors and the architect, if any, for the Project, and
except for any amounts estimated by Agency to be necessary for
payment of any Cost of Construction not then due and payable, the
Project has been completed and accepted by the Agency, and all
Costs of Construction have been paid. Notwithstanding the fore-
going, such certificate shall state that it is given without
prejudice to any rights against third parties which exist at the
date of such certificate or which may subsequently come into
being. Upon receipt of such certificate, the Trustee shall retain
in the Construction Fund a sum equal to the amount estimated by
the Director of Financial Services to be necessary for payment of
the Cost of Construction not then due and payable and shall
transfer the balance of such fund to the Rental Payment Account of
the Revenue Fund established pursuant to Article VII.
20.
Section 6.05. Reduction in Base Rental Payment or Purchase
Option Price. After all Costs of Construction have been paid
pursuant to this Article VI, the Trustee shall transfer any funds
remaining in the Construction Fund to the Rental Payment Account
of the Revenue Fund. Any such funds tranferred shall reduce by a
like amount the principal portion of the next occurring Base
Rental Payment to be made under the Lease -Purchase Agreement or,
in the event the Agency shall exercise its option to purchase the
Project and terminate the Lease -Purchase Agreement and the Site
Lease prior to the application of such moneys to the payment of
Base Rental Payments, shall reduce the Purchase Option Price by a
like amount.
21.
ARTICLE VII
USE OF REVENUES; REVENUE -FUND; -AND -SPECIAL ACCOUNTS
Section 7.01. Establishment and Application of Revenue Fund.
There is hereby esta lashed with the Trustee a special fund to be
designated the "Revenue Fund". The Trustee shall hold this Fund
for the benefit of the Certificate Owners and keep this Fund
separate and apart from all other funds and moneys held by it.
Within the Revenue Fund, there are hereby established the Accounts
more specifically described in Section 7.02, Section 7.03 and
Section 7.04.
The Agency shall pay, or cause to be paid, all Rental
Revenues under the Lease -Purchase Agreement to the Trustee for
deposit in the Fund. The Agency and Trustee further acknowledge
that Rental Revenues include Net Proceeds of insurance and
condemnation. Trustee agrees to deposit any Net Proceeds received
by Trustee into the Revenue Fund and to disburse and apply said
Net Proceeds in accordance with certificates therefor provided by
the Agency to Trustee pursuant to the provisions of the Lease -
Purchase Agreement and otherwise to disburse and apply said Net
Proceeds in accordance with provisions therefor set forth in the
Lease -Purchase Agreement. Amounts in the Revenue Fund shall be
transferred to the Rental Payment Account in accordance with
Section 7.02(b). On December 2 of each year, amounts in the
Revenue Fund in excess of amounts required to be transferred to
the Rental Payment Account, pursuant to Section 7.02(b), shall be
paid to the Agency.
Section 7.02. Establishment and Application of Rental
Payment Account.
(a) Within the Revenue Fund, there is hereby established a
separate account to be designated the "Rental Payment Account".
Such account shall be maintained by the Trustee for the benefit of
the Certificate Owners until the Rental Payments are paid in full
pursuant to the terms of the Lease -Purchase Agreement. Base
Rental Payments paid to the Trustee shall be deposited by the
Trustee in the Rental Payment Account. In the event Base Rental
Payments or other amounts are paid as a prepayment of Base Rental
Payments, then the Trustee shall provide to the Agency a revised
schedule of Base Rental Payments taking into account such prepay-
ments.
(b) On the twenty-first day of the month preceding each
Payment Date, the Trustee shall withdraw from the Revenue Fund and
deposit in the Rental Payment Account an amount equal to the Base
Rental Payment due on or before such Payment Date. In the event
of an insufficiency of Revenues for such purpose, the Trustee
shall provide written or telephonic notice thereof to Agency and
Agency shall pay on or prior to the Payment Date to the Trustee an
amount sufficient to cause the amount in the Revenue Fund to equal
Base Rental Payment due on or prior to such Payment Date.
22.
(c) On each Payment Date, the Trustee shall cause amounts in
the Rental Payment Account to be applied to the payment of
principal and interest payments due on the Certificates on such
Payment Date.
Section 7.03. Establishment and Application of Reserve
Account.
(a) Within the Revenue Fund, there is hereby established a
separate account to be designated the "Reserve Account". Such
account shall be maintained by the Trustee for the benefit of the
Certificate Owners until the Rental Payments are paid in full
pursuant to the terms of the Lease -Purchase Agreement.
(b) If on any Payment Date, the amounts in the Rental
Payment Account are less than the Base Rental Payments then due,
the Trustee shall transfer from the Reserve Account to the Rental
Payment Account an amount sufficient to make up such deficiency.
In the event of any such transfer, the Trustee shall, within five
(5) days after making such transfer, provide written notice to the
Agency of the amount and date of such transfer.
(c) Moneys in the Reserve Account shall be (i) applied as a
credit against the last remaining installments of Base Rental
Payments and for that purpose shall be transferred to the Rental
Payment Account by the Trustee within not less than forty-five
(45) days prior to the Payment Dates pertaining to such install-
ments, or (ii) used for the purpose of making up deficiencies in
the Rental Payment Account in the event that moneys in the Rental
Payment Account are less than the Base Rental Payments then due on
any Payment Date, and for the latter purpose moneys may be
withdrawn from the Reserve Account and transferred to the Rental
Payment Account, as provided in subsection (b).
(d) If on any Payment Date, the amount of all payments due
and payable on the Certificates exceeds the amount on hand in the
Rental Payment Account, taking into account any transfers made
from the Reserve Account pursuant to subsection (c), the Trustee
shall apply the moneys on hand therein first to the payment of all
interest past due with respect to all Certificates, and second to
the payment of that portion of the unpaid principal balance of
each Certificate which is then past due, pro rata if necessary.
(e) upon receipt of any delinquent Base Rental Payment with
respect to which moneys have been advanced from the Reserve
Account, such Base Rental Payment shall be deposited in the
Reserve Account; provided, however, that no other Base Rental
Payments are then delinquent in which event such moneys shall be
applied to the payment of the Certificates in accordance with the
provisions of subsection (d).
23.
Section 7.04. Establishment and Application of Trust
Operation Account.
(a) Within the Revenue Fund, there is hereby established a
separate account to be designated the "Trust Operation Account".
Such account shall be maintained by the Trustee for the benefit of
the Certificate owners until the Rental Payments are paid in full
pursuant to the terms of the Lease -Purchase Agreement. Additional
Rental Payments paid to the Trustee shall be deposited by the
Trustee in the Trust Operation Account.
(b) The moneys in the Trust Operation Account shall be
disbursed by the Trustee for the payment of expenses, compensation
and indemnification of the Trustee payable by the Agency under the
Lease -Purchase Agreement and this Agreement, fees of the auditors,
accountants, attorneys or engineers, insurance premiums and all
other charges required to be paid to comply with the terms of the
Certificates or this Agreement.
(c) The Trustee shall, from time to time, give notice to the
Agency of such Additional Rental Payments required to be paid by
the Agency for such expenses, pursuant to the Lease -Purchase
Agreement.
Section 7.05. No Unauthorized Transfers. No amount shall be
withdrawn or transferred from or paid out o any fund or account
except as expressly provided in this Agreement.
Section 7.06. Deposit and Investment of Moneys in Funds.
(a) All moneys held by the Trustee in any of the funds or
accounts established pursuant to this Agreement shall be deposited
or invested in Permitted Investments. The Trustee shall invest
such funds in Permitted Investments so as to obtain the highest
yield which Trustee deems practicable, having due regard for the
safety of such funds and for the date upon which such funds will
be required for uses and purposes specified in this Agreement.
Notwithstanding any provision of this subsection (a), in the event
that written instructions for investment of any fund or account in
Permitted Investments are provided by Agency, the Trustee shall
invest moneys in said fund or account in accordance with such
instructions.
(b) All interest or income received by the Trustee on
investment of the Rental Payment Account established pursuant to
Section 7.02 hereof shall, prior to the Completion Date, be
deposited in the Construction Fund and, after the Completion Date,
be deposited in the Revenue Fund. All interest or income receive
by the Trustee on investment of the Reserve Account shall be
retained in the Reserve Account in the event that amounts on
deposit in the Reserve Account are less than the Reserve Require-
ment. In the event that amounts then on deposit in the Reserve
Account equal or exceed the Reserve Requirement, such excess
shall, prior to the Completion Date, be transferred to the
24.
Construction Fund and, following the Completion Date, shall be
transferred to the Revenue Fund. Transfers to the Revenue Fund
shall be made by the Trustee on or prior to the fifteenth (15th)
day of the month preceding each Payment Date, commencing with the
first Payment Date following the Completion Date and at the time
of such transfer, the Trustee shall report the amount of the
transfer to the Agency and the total amount then on deposit in the
Revenue Fund. All interest or income on the Construction Fund
shall be retained in the Construction Fund until the Construction
Fund is closed. All interest or income in the Revenue -Fund shall
be retained in the Revenue Fund.
(c) The Trustee shall act only as agent in making or
disposing of any investment. As long as the Trustee makes
investments using ordinary care as to a fiduciary, the Trustee
shall not be liable for any loss resulting from the making or
disposition of any investment pursuant to this Section and any
such losses shall be charged to the account with respect to which
such investment was made.
25.
ARTICLE VIII
COVENANTS; LIMITATION OF LIABILITY
Section 8.01. Agency to Perform Lease -Purchase Agreement.
The Agency covenants and agrees with the Owners ot the Certi 1-
cates to perform all obligations and duties imposed on it under
the Lease -Purchase Agreement.
Section 8.02. Lessor (Trustee) to Perform Lease -Purchase
Agreement. The Trustee covenants and agrees with the Owners of
the Certificates to perform all obligations and duties imposed on
it, as Lessor, under the Lease -Purchase Agreement.
Section 8.03. Action on Default. Upon the occurrence of an
Event of Default by Agency under Section 11.01 of the Lease -
Purchase Agreement, and in each and every such case during the
continuance of such Event of Default, the Trustee shall, upon
notice in writing to Agency, exercise the remedies provided to
Lessor in the Lease -Purchase Agreement.
Section 8.04. No Obligation by Agency to Owners. Except for
the payment of Rental Payments when due in accordance with the
Lease -Purchase Agreement and the performance of the other cove-
nants and agreements of the Agency contained in the Lease -Purchase
Agreement and in this Trust Agreement, the Agency shall have no
obligation or liability to any of the other parties or to the
Owners of Certificates with respect to said Agreements or the
terms, execution, delivery or transfer of the Certificates, or the
distribution of Base Rental Payments to the Owners by the
Trustee.
Section 8.05. No Obligation to Performance by Trustee. The
Agency shall not have any obligation or liability to any of the
other parties or to the Owners of Certificates with respect to the
performance by the Trustee of any duty imposed upon the Trustee
under this Agreement.
Section 8.06. No Liability to Owners for Payment. Except as
provided in this Agreement, the Trustee shall not have any obliga-
tion or liability to the Owners of Certificates with respect to
the payment of the Base Rental Payments by the Agency when due, or
with respect to the performance by the Agency of any other cove-
nant made by the Agency in the Lease -Purchase Agreement.
26.
Section 8.07. No Responsibility for Sufficiency. The
Trustee shall not be responsible for the sufficiency of the Lease -
Purchase Agreement, or the value of or title to the Site or the
Project. The Trustee shall not be responsible or liable for any
loss suffered in connection with any investment of funds made by
the Trustee under the terms of and in accordance with this Agree-
ment, provided that it has used ordinary care for a fiduciary in
making such investments.
Section 8.08. Indemnification of Trustee. The Agency shall
indemnify and save t e Trustee harmless from and against all
claims, losses and damages, including legal fees and expenses,
arising out of (a) the use, maintenance, condition or management
of, or from any work or thing done on, the Project by the Agency,
(b) any breach or default on the part of the Agency in the
performance of any of its obligations under this Agreement,
(c) any act of negligence of the Agency or of any of its agents,
contractors, servants, employees or licensees with respect to the
Project, (d) any act of negligence of the Agency or any officer,
agent, employee or invitee of the Agency with respect to the
Project, or (e) the acquisition or construction of the Project or
the authorization of payment of any costs by the Agency. Indemni-
fication of any tort mentioned in this Section shall be limited to
the extent and in the amounts provided for by California law. No
indemnification will be made under this Section or elsewhere in
this Agreement for willful misconduct, gross negligence or breach
of duty under this Agreement by the Trustee, its officers, agents,
employees, successors or assigns.
Section 8.09. Trustee May Require Opinion of Counsel.
Before being require to take any action Trustee may require an
opinion of counsel acceptable to Trustee, which counsel may be
counsel to any of the parties hereto, or a verified certificate of
any party hereto, or both, concerning the proposed action. If it
does so in good faith, Trustee shall be absolutely protected in
relying thereon.
Section 8.10. No Ar��b��i��tt�r��a_g_e_. The Agency shall not make, or
permit to be made, any use of proceeds of the sale of the
Certificates which, if such use had been made on the date of
delivery hereof, would cause the obligation of the Lease -Purchase
Agreement to become an arbitrage bond within the meaning of
Section 103(c) of the Internal Revenue Code, as amended.
27.
ARTICLE RI
AMENDMENT; DEFEASANCE; ADMINISTRATIVE PROVISIONS
Section 9.01. Amendment. This Trust Agreement may be
amended in writing by agreement of Agency and the Trustee (a) for
the purpose of curing any ambiguity or of curing, correcting, or
supplementing any defective provision contained herein, or (b) in
regard to questions arising under this Agreement which Agency may
deem necessary or desirable and not inconsistent with the
provisions of this Agreement, provided that no such amendment
pursuant to (a) or (b) of this Section shall adversely affect the
interests of the Certificate Owners. This Agreement may also be
amended for the purpose of making such additions or modifications
as, may be necessary to enable the delivery of negotiable Certifi-
cates with coupon in the event that there is filed with the
Trustee the opinion of counsel whose opinions are customarily
accepted in the marketing of tax-exempt securities to the effect
that such additions or modifications will not adversely affect the
tax exemption of the interest component of the Base Rental
Payments. This Agreement may also be amended upon approval of a
majority in aggregate principal amount of the Owners of the
Certificates then Outstanding; provided that no such amendment
shall impair the right of any Owner to receive his proportionate
share of any Base Rental Payment in accordance with his Certifi-
cate.
Section 9.02. Defeasance. If and when the Certificates
delivered pursuant hereto shall become due and payable in
accordance with their terms, and the whole amount of the principal
and the interest represented by the Certificates shall be paid, or
provision shall have been made for the payment of the same, by the
deposit of cash or Federal Securities or general obligation bonds
of the State of California in an amount sufficient (together with
interest earnings thereon) to provide for payment of said
principal and interest, and all administrative expenses shall have
been paid.or provided for, then the right, title and interest of
the Trustee and the Agency under this Agreement shall cease,
terminate and become void, and the Trustee shall assign and
transfer to or upon the order of the Agency all property (in
excess of the amounts required for the foregoing) then held by the
Trustee (including the Lease -Purchase Agreement and all payments
thereunder and all balances in any fund or account created under
this Agreement) and shall execute such documents as may be
reasonably required by the Agency in this regard.
Section 9.03. Recordin and Filing. The Trustee shall not
be responsible for the recording and i'ling of this Agreement or
financing statements (or continuation statements in connection
therewith) or of any supplemental instruments or documents of
further assurance as may be required by law in order to perfect
the security interests created by this Agreement.
28.
Section 9.04. Trustee -to -Keep Records. The Trustee shall
keep a copy of this Agreement and books and records of all moneys
received and disbursed under this Agreement, which shall be
available for inspection by the Agency or the Certificate Owners
at any time during regular business hours.
Section 9.05. Notices. Any notices or filings required to
be given or made under this Agreement shall be served, given or
made in writing upon the Agency by personal delivery or registered
mail addressed to:
If to Agency: CITY OF GRAND TERRACE
22795 Barton Road
Grand Terrace, California 92324
Attn: City Clerk
and upon the Trustee by personal delivery or registered mail
addressed to:
If to Trustee: CROCKER NATIONAL BANK
Corporate Trusts Group
333 South Grand Avenue
Suite 530
Los Angeles, California 90071
or at such other place as may be designated by either party in
writing.
Section 9.06. Applicable Law. This Agreement shall be
governed by and construed in accordance with the laws of the State
of California as the same may from time to time exist.
Section 9.07. Severability. If any one or more of the
covenants, stipulations, promises, agreements or obligations
provided in this Agreement on the part of either party to be
performed should be determined by a court of competent jurisdic-
tion to be contrary to law, then such covenant, stipulation,
promise, agreement or obligation shall be deemed and construed to
be severable from the remaining covenants, stipulations, promises,
agreements and obligations herein contained and shall in no way
affect the validity of the other provisions of this Agreement.
Section 9.08. Successors and Assigns. The agreements,
terms, covenants and conditions herein shall bind and inure to the
benefit of the Trustee, the Certificate Owners and the Agency, and
their respective successors and assigns, except as otherwise
provided herein.
Section 9.09. Headings. Headings preceding the text of the
several Articles and Sections hereof, and the table of contents,
are solely for convenience of reference and shall not constitute a
part of this Agreement or affect its meaning, construction or
effect.
29.
Section 9.10. Entire Agreement. This Agreement contains the
entire agreement between the parties and cannot be changed or
terminated orally, but only by an instrument in writing executed
by the parties.
Section 9.11. Payments Due on Sundays and Holidays. In case
any payment required hereunder is required to be made on a date
which in the State of California is a Sunday or a legal holiday or
a day on which banking institutions are authorized by law to
close, then such payment need not be made on such date but may be
made on the next succeeding business day with the same force and
effect as if made on the date required.
IN WITNESS WHEREOF, the Trustee has caused this Agreement to
be executed by its Vice -President and the Agency has caused this
Agreement to be executed by its officers and its corporate seal
affixed, all as of the day and year first above written.
ATTEST:
By: -
(SEAL)
CROCKER NATIONAL BANK,
As Trustee
By:
Vice -President
CITY OF GRAND TERRACE,
as Agency
By:
30.
EXHIBIT "A"
Form of Certificate of Participation
Form of Assignment
(To be Provided)
STATE OF CALIFORNIA )
ss.
COUNTY OF )
The undersigned, a Notary Public, does hereby certify that
and , whose names as
and , respectively, of
, are signed to the Trust Agreement,
and who are each known to me and known to be such officers of said <
Bank, acknowledged before me on this day under oath that, being
informed of the contents of this Trust Agreement, they, in their
capacities as officials of and with
full authority, executed ana delivereat e same voluntarily for
and as the act of on the day the
same bears date.
Given under my hand and seal of office, this day of
, 19
Notary Public
My Commission expires:
(SEAL)
STATE OF CALIFORNIA )
ss.
COUNTY OF )
The undersigned, a Notary Public, does hereby certify that
and , whose names as
1 and , respectively, of
tTie City of GrYn-d Terrace, California, are signed to the Trust
Agreement, and who are each known to me and known to be such
officers of said City, acknowledged before me on this day under
oath that, being informed of the contents of this Trust Agreement,
they, in the capacities as officials of said City and with full
authority, executed and delivered the same voluntarily for and as
the act of said City on the day the same bears date.
Given under my hand and seal of office, this day of
, 19 .
Notary PuSlic
My Commission expires:
(SEAL)
eI
Southern California Edison Company
SUE NOREEN
AREA MANAGER
City of Grand Terrace
22795 Barton Road
Grand Terrace, CA 92324
ATTN: Seth Armstead
Dear Seth:
P.O BOX 788
RIALTO, CALIFORNIA 92376
November 3, 1983
NOV 1 01983
P011NCIL AGENDA ITEM JE Yq
fOV r7 19W,
Or uRAND-TERRAGF_.
Southern California Edison Company currently owns and operates
21 hydroelectric projects in the state of California. These
projects enable Edison to provide reliable and efficient service
to its customers by utilizing the benefits of falling water,
one of the nation's most dependable sources of low-cost elec-
tricity. Edison's customers are facing the possibility, how-
ever, that the hydroelectric projects which they helped develop
and pay for, may be taken away by the government -owned utilities.
Edison's hydroelectric facilities are licensed by the Federal
Energy Regulatory Commission (FERC). In 1980, FERC inter-
preted Section 7 of the Federal Power Act, the law which governs
the licensing of hydroelectric projects,. as granting a "pre-
ference" to states and other municipalities in obtaining a
new license for existing hydroelectric projects.
In recent years, the licenses issued for Edison's hydro projects
in the 1920's and 1930's have begun to expire and Edison has
applied for new licenses. Today, ownership of two of Edison's
projects (Rush Creek and Poole) is being challenged by govern-
ment -owned utilities seeking to profit from FERC's ruling.
Between now and 1993, four more projects will be exposed to the
same kind of challenge and eventually all 21 of the hydro pro-
jects on the Edison system will be subject to this exposure.
Thus, Edison's customers will be faced with the very real possi-
bility of this system being broken up and taken away, after years
of helping to build and maintain a hydroelectric system that
provides them with the benefit of low cost power.
Since no fuel cost is associated with electricity generated by
hydropower, and since most hydro projects were constructed
many years ago when costs were much less than they are now, the
F]
SETH ARMSTEAD -2- November 3, 1983
cost of hydro generation is very low when compared to any other
alternative source of electricity. Thus, if the benefits of
hydro projects are lost to Edison's customers, increases in the
cost of their electricity will inevitably result as this power
is replaced by more expensive sources.
Edison believes the continued operation of its hydroelectric
projects for the benefit of its customers is the only manner of
operation consistent with the broad public interest. Edison is
committed, therefore, to retaining ownership of its hydro projects
in order to provide the fullest possible utilization of resources
to the greatest number of individuals.
To this end, Edison needs and appreciates the support of our
customers in accomplishing this commitment. The San Bernardino
Board of Water Commissioners and the San Bernardino Area Chamber
of Commerce have given their full support to this critical
issue. May I also ask for support from the City of Grand Terrace?
I am requesting to be placed on the agenda of the November 17,
1983, meeting of the Grand Terrace City Council to seek your
endorsement of this cause in the form of a resolution.
Thank you for your consideration.
Sincerely,
SUE NOREEN
NSN:cd
111100 0424
FACT SHEET: ENERGY, GovernmePolicies and Regulations
Hydro Relicensing
Introduction
Edison and other investor -owned utilities nationwide may lose the right to own and
operate one of the oldest, most dependable and economic generating resources, hydro-
electric power. Under the Federal Power Act, municipalities are given preference in
the event of a tie when they are competing against investor -owned utilities in helectric facility licensing cases before the Federal Energy egu atory Commission
producing hydroelectric power.
In a June 1980 relicensing decision, FERC ruled that the municipal preference that
applied in the initial licensing of a project also applied to that project's relicens-
ing. The utilities involved in the case appealed the FERC decision, and in September
1982, the U.S. Court of Appeals for the Eleventh Circuit affirmed FERC's ruling. On
July 6, 1983, the U.S. Supreme Court denied the judicial review sought by investor -
owned utilities, leaving the appellate court's decision as the law.
On September 14, 1983, the FERC reversed its 1980 decision and held that the municipal
preference does not apply to relicensing proceedings. This decision does not resolve
the issue, however, since a group of municipal utilities announced their intention to
appeal the case. Unless Congress clearly establishes that the municipal preference is
not applicable at the relicensing stage, it is likely that several years will elapse
before the issue is finally settled.
The Relicensing Issue
To date, various municipalities, claiming preferred status under the Federal Power Act,
have filed competing license applications for 11 investor -owned utility hydroelectric
projects. During the next 10 years, 168 more hydroelectric projects in the United
States will require relicensing.
A "municipality" is a city, county, irrigation district, drainage district, or other
political subdivision or agency of a state competent to carry on the business of
developing, transmitting, utilizing or distributing power. A municipality also may be
a public utility district.
The investor -owned utilities, including Edison, which are currently seeking relicens-
ing of 11 hydro projects, serve more than 8.4 million customers. The competing munic-
ipalities serve only 836,000 customers. (Edison alone serves 3.3 million customers).
Two of Edison's hydroelectric licenses are now being challenged by municipalities.
The June Lake Public Utility District has applied to obtain the license for Edison's
10-megawatt (MW) Rush Creek Project in Mono County on the eastern slope of the Sierra
Nevada, about 60 miles north of Bishop, California. This project was first operated
in 1916 and licensed in 1936.
The City of Vernon near Los Angeles has filed a competing application for the license
of Edison's 10-MW Lee Vining Creek Project located in Mono County. This license will
expire in 1986. This project was first operated in 1924 and licensed in 1936.
If the June Lake District and the City of Vernon take over these two Edison facil-
ities, the number of consumers benefiting from these projects would be reduced from
over 3 million to about 3,000.
Four more projects will be open to the same kind of challenge by 1993. Eventually,
all 21 of the hydro projects on the Edison system, including Big Creek, will be sub-
ject to relicensing. Altogether, Edison has 910 MW of hydroelectric power subject to
relicensing.
Thus Edison's customers could lose the low-cost benefits of the electricity generated
by hydro plants the Company constructed many years ago, when capital costs were much
less than they are today. Rate increases would be inevitable, as hydroelectric power
would have to be replaced by more expensive electricity.
If municipalities are successful in taking over a substantial part of Edison's hydro-
electric generation, Edison's customers will face significantly higher rates because
The Company will have to replace lost hydro power with more expensive energy sources
and may eventually have to construct new generating plants.
If you have any unanswered questions about the hydro relicensing issue, please call
the Edison Hotline at (213) 572-2341.
SCE/Employee and Public Communications
October 1983
• PENDING CITY
OUNCI L APPROVAL
RESOLUTION NO. 83 = C0IJNOV 101883
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NCIL AGENDA ITIN
GRAND TERRACE, CALIFORNIA, SUPPORTING THE Y
RELICENSING OF HYDROELECTRIC PROJECTS TO THE
SOUTHERN CALIFORNIA EDISON COMPANY. (FERC PROJECT
NOS. 1388 & 1389)
WHEREAS, hydroelectric projects, owned and operated by Southern
California Edison Company (SCE), have utilized and developed our nation's
natural resources, spreading the benefits of this low-cost electricity to
millions of Californians; and
WHEREAS, these customers, including the citizens of Grand Terrace, now
face the possibility, however, that the hydroelectric projects which they
helped develop and pay for may be taken away by municipal agencies; and,
from the standpoint of the broad public interest, it is preferable for as many
people as possible to continue to share the benefits of inexpensive
hydroelectric power; and
WHEREAS, SCE has over the past century developed a safe, reliable, and
economic system of hydroelectric generating facilities dedicated to the use
and benefit of more than three million customers representing an area
population of over nine million people; and
WHEREAS, certain of these hydroelectric facilities, consisting of
projects licensed by the Federal Power Commission, now known as the Federal
Energy Regulatory Commission (FERC), are subject to consideration of
relicensing by FERC: and
WHEREAS, certain municipal entities are endeavoring to secure for
themselves two SCE hydroelectric powerplants, which efforts, if successful,
would result in the transfer of ownership and operation of these hydroelectric
facilities from SCE, and would divert low cost power away from millions of
Central and Southern California customers for the benefit of a few thousand
served by the municipal entities; and
WHEREAS, it would be directly contrary both to the best interest of
the City of Grand Terrace and to the best interest of the millions of other
residential, commercial, agricultural, and industrial customers served by SCE,
whose rates have supported the ownership and operation of these hydroelectric
facilities, were FERC to remove from the hydroelectric generating systems of
SCE the following facilities:
1. SCE Rush Creek Project (Project No. 1389),
which is located near June Lake on the eastern
slope of the Sierra Nevada about 60 miles north
of Bishop, California;
2. SCE Poole Project (Project No. 1388), which is
located on Lee Vining Creek, also north of
Bishop; and
M
M
WHEREAS, if any of these projects were to be transferred to the
municipal entities seeking them, the customers served by SCE would be forced
to pay, every year, increased power costs for electricity from oil or gas
fired generating facilities; and
WHEREAS, the continued ownership, operation, and improvement of their
hydroelectric generating facilities by SCE is essential to the public interest
and to the social and economic well-being of Central and Southern California
consumers; and
WHEREAS, retention of these projects by their current owners is the
only course consistent with the fullest improvement and utilization of these
resources in the public interest;
NOW, THEREFORE, BE IT RESOLVED, that the City Council of the City of
Grand Terrace hereby urges and requests that the Federal Energy Regulatory
Commission relicense these hydroelectric facilities to SCE and to reject the
applications of the municipal agencies seeking to take the benefits of
projects away from the millions of customers serviced by SCE.
BE IT FURTHER RESOLVED that said City Council hereby requests that all
hearings concerning hydroelectric relicensing applications by SCE be conducted
in the service territory where the projects are located and where the public
they were built to serve lives and works.
BE IT FURTHER RESOLVED that copies of this Resolution be provided to
the Federal Energy Regulatory Commission, the California Public Utilities
Commission, appropriate members of the United States Congress, appropriate
members of the California Legislature, the Southern California Edison Company,
and the League of California Cities.
ADOPTED this loth day of November, 1983.
ATTEST:
City Clerk of the City of Gran7
Terrace and of the City Council
thereof.
Approved as to form:
City Attorney
Mayor of the City of GranaTerrace
and of the City Council thereof.
- 2 -
CHI REGISTER NO. 111083
GRA"dD TERRACE
DEMAND/WARRANT REGISTER NC
COUNCIL AGENDA ITEM "#. -5A NOV 1 01ag-
PENDING CITY
84-051
rnllAlrll ADDDn\/AI
PAGE NO
DATE 11/10/83
'1UCHER
PAYEE
DETAIL OF DEMANDS PRESENTED
WARRANT CHECK
WRITTEN
NO.
DESCRIPTION
ACCOUNT CHG'D
INV NO
AMOUNT
NO
AMOUNT
CCENT PRINT b DESIGN
TREE TRIM NOTICE
1u-4120-249
2S7
35.79
POSTERS#, COUNTRY FAIR
10-4AO4-220
?50
3223
121.42
31.4Z
11641
182.62
FLAG FOOTBALL FLIERS
13-4430-230
aSTANCHURY BOTTLED WATER
BOTTLED '.NATER#,FINANCE
10-4190-238
45313
17.60
BOTTLED hATER COM.SVCS.
10-4190-238
45312
45314
4.50
13.5O
11642
35.60
BOTTLED RATER#,C/IA
10-4190-23P
9ROwN b NAZAFEK
LEGAL SERVICES 9/A3
10-4160-250
1595.55
11643
1595.b5
ALL AI.IERICA
CALL-AMERICA 9/22-10/21
10-4190-235
5784
72.50
11644
72.56
OM SER CO.
REPAID HANOI TALKIE
10-4160-246
27544
50.00
11645
50.00
EDWARD CLARK
CSMF0 r+EET.10/20 SETH
10-4120-270
9.75
CITY/COUNTY MEET.0/30
10-4140-270
7.00
CSI.1FO NEET.10/20 CLARK
10-4140-270
9.75
5.75
11646
32.25
LOCAL MILEAGE#,CLARK
10-4140-271
DANIEL'S LANDSCAPING SERVICE
PARK MAINT.10/83
13-4430-245
750.nO
11647
750.00
DEFERRED COMPENSATION' PLAN
DEF.COriP.RETRO.PAY 83/80
10-4120-139
100.77
DEF.COI•tP.RETRO.PAY 83/64
10-4125-139
136.1b
DEF.COiAP.PETRO.PAY A3/84
10-4140-139
201.67
DEF.COI�IP.RETRO.PAY 83/84
10-4180-139
74.66
DEF.COMP.RETRO.PAY 83/84
13-4430-139
62.66
37.30
P3860
613.22
DEF.COI4P.RETRO.PAY A3/84
21-4572-139
I
I
Gr(AivD TEFRACF
M
PAGE NO
DEMAND/WARRANT REGISTER NO
84-051
DATE 11/1C/83
RICHER
PAYEE
DETAIL OF DEMANDS PRESENTED
WARRANT CHECK
WRITTEN
No.
DESCRIPTION
ACCOUNT CHG'D
INV NO
AMOUNT
NO AMOUNT
DEF.COiAP.P/R END.10/21/83110-2164-000
612.00
DF_F.0014P.P/R END.IU/21/83I10-2170-000
12.67
DEF.COy',P.P/R END.10/21/83I10-4120-139
568.45
DEF.CO,'AP.P/R END.10/21/83II10-4125-139
3811•62
DEF.COMP.P/R END.10/21/83f10-4140-139
584.16
DEF.COt4P.P/R EN0.10/21/83
0-4180-139
231.95
DEF.CO.MP.P/R END.10/21/8313-4430-139
165.35
110.35
P3863
2689.55
DEF.COr•tP.P/R END.10/21/83
1-4572-139
ETH DUARTE
ENVELOPE STUFFING h-.WY.D.
21-4572-250
60.13
1164b
6C.13
APLOYMENT DEVELOPy'E►`'T DEPT.
QUART.RETURN 3RD OUART.9310-4125-141
30.58
QUART.RETURN 3RD OUART.831U-4140-141
61.71
35.09
P3862
147.38
QUART.RETURN 3R0 OUART.8310-4190-220
h+YRNA ER'r�AY
LCC_10/5 NYRNA
10-4125-270
103.62
116u9
103.62
Gk I TERRACE LOCI( & KEY
LOCKStRESTROON PARK
13-4430-245
127.55
3858
127.55
ALEXANDER GRANT 8 COVPANY
U.P.S COMP.PRI,JTOUITS
10-4420-210
11090
6.12
COr4P.SERVICE 10/83
10-4420-255
11090
1071.00
U.P.S COh+P.PRINTUUTS
CONP.SERVICE 10/83
21-4572-210
21-4572-255
11090
11090
6.13
225.00
11650
130?.25
TPS SERVICES INCORPORATEC
STREET Sv-EEP. 10/18/83
1C-490Fi-255
3291
335.18
11651
335.18
I.JERi0TIONAL CITY MAIVAGEh-Erj
PHAMPLETS/CITY GOV. (3)
10-4120-210
60.75
11652
6C.75
VIRGIL LIVELY
CROSSI`��G GUARD 10/17-
17-4010-250
127.20
,1165:;
127.20
10/28/83
i
GRA;JD TEKRACE
n
m
PAGE NO.
DEMAND/WARRANT REGISTER NO
84-051
DATE II/10/?3
UCHER
PAYEE
DETAIL OF DEMANDS PRESENTED
WARRANT CHECK
WRITTEN
NO
DESCRIPTION
ACCOUNTCHG'D
INV NO
AMOUNT
NO
AMOUNT
ICHAEL LUNA
LOCAL MILEAGE 9/26-10/6
1U-4180-271
75. 53
5.43
1654
139.96
LOCAL MILEAGE,10/7-10/21
10-4160-271
.L.FLANAGAN & G.S.FOR9ES
R/U/�;/AOUIRF.PART.
16-4930-255
5125.OU
3855
5125.d0
PACIFIC TELEPHONE
TELE.C/H 10/7/83
10-4190-235
834.39
Cnmp . PHONE 10/7/A3
10-4420-235
21-4572-235
24.57
24.5b
11655
883.52
C0MP. PHONE 10/7/33
PAINE WEPBER CASH FUND
RETIRE.RETRO.PAY A3/84
10-4120-140
69.04
RETIRE.RETRO.PAY A3/84
10-4125-140
93.28
RETIRE.RETRO.PAY 83/84
10-4140-140
114.46
RETIRE.RETRO.PAY A3/841
10-4160-140
51.15
RETIRE.AETFO.PAY 83/841
13-4430-14n
42.93
25.55
P38919
396.41
RETIRE.RETRO.PAY 83/64
21-4572-140
RETIRE.P/R END.10/21/A3
10-2167-000
43.86
RETIRE.P/P END.10/2103
10-4120-140
389.44
RETIRE.P/D Eid0.10121./83
10-4125-140
263.90
RETIRE.P/R END.10/21/83
10-4140-140
338.80
RETIRE.P/Q Ell, :0.10121/83
10-4160-140
158.90
RETIRE.P/R END.10/21/P3
13-4430-140
126.96
75.60
P3864
1397.08
RETIRE.P/R END.10/21/P3
1-4572-140
PEOPLE HELPERS IN'C
REC.SVCS.10/9-10/24/63
13-4430-250
1105.33
11696
1105.33
BALANCE $18,720.
PETTY-CASH,PEGGY TROTTIER
ADAPTOR FOR PA SYSTEM
10-4110-210
439
7.39
FILM
10-4120-210
435
Q.81
DUPLICATE KEYS
10-4125-?10
i
i
439
2.19
i
Gr<AND TERRACE
M
PAGE NO
DEMAND /WARRANT REGISTER NO
84-051
DATE 11/10/83
PAYEE
WARRANT CHECK
WRITTEN
UCHER
DETAIL OF DEMANDS PRESENTED
N0.
DESCRIPTION
ACCOUNT CHG'D
INV NO
AMOUNT
NO AMOUNT
OFFICE SUPPLIES
1U-4140-210 446
3.19
SURVEY MAPS
10-4170-250 444
3.7i
PAINT,COUNCTL OFFICE
0-4180-245 36
13.52
8RUSHES,REIVT DOLLY
10-4160-245
16.72
DRAPE GUInEtAORD PROCESS.lU-418n-245
38
6.15
DUCT TAPE
10-41n0-245 4U
6.64
RENT DOLLY
10-4180-245 45
6.60
SUPPLIES SPRINKLIrG SYSTEIO-4180-245
47
•25
GAS FOR LAWS! IVO-IJER
10-4180-246 447
1.90
BOOKLETS,COM.SERVICES
13-4430-210 443
7•50
WATER VALVES
13-4430-245 4al
13-4430-245 4112
11.44
7.36
11657
103.97
PAD LOCKS,BALL FIELD
PETTY-CASH,PEGGY TROTTIER
LIGHT GULPS 8 v;ASHERS
13-4430-245 a7
1.76
11658
1.76
PUSTAL INSTANT PRESS
STREET S�'4F_EPING MAPS
10-4190-210 4394
122.79
11659
122.75
iREDLANDS PAVI;vG
my RETEivTION (RED.PAVING11-4902-255
7148.74
P3844
7148.74I
BALANCE 0
-HIGHLANU WATER CO.
45.50
ipIVEQSI.
vyATER 3/1-10/1/83 C/H
10-4190-238
WATER FIKF ST.8/1-10/1/8310-419n-238
41.36
WATER 8/1-10/1/83 M/V-ARL10-4190-238
42.36
WATER 8/1-10/i/53 3ART/PA10-4190-23P
36.00
363.00
11660
54P.22
HATER 3/1-10/i/83 PARK
13-4430-238
POTO-ROOTER SEWER R DRAIN
CLEAR VIV.BRIDGE DRAIN
10-4631-255 U1128
75.00
11661
75.00
SAN 13010 CO CENTRAL CR U,'�IO;v
EMPLOYEES DED.P/R 10/21
1U-2165-000
1u57.29
386:
1457.29
SECURITY PACIFIC NAT'L BANK
FED.P/R DEPOSIT 10/93
I
10-2161-000
I
2A59.31
I
�
IP3845
2P59.31
GrcAPX TERRACE
PAGE NO
DEMAND/ WARRANT REGISTER NO
64-051
DATE 11/1C/°3
OCHER
PAYEE
DETAIL OF DEMANDS PRESENTED
WARRANT CHECK
WRITTEN
DESCRIPTION
ACCOUNT CHG"D
INV NO
AMOUNT
"JO AMOUNT
SO. CALIF. EDISON CO!�PANY
25u.61
ELEC.C/H 10/11/Q3
10-4190-238
ELEC.SPRIN'KLERS,PARK 10/113-4430-238
12.19
172.22
11662
435.02
ELEC.SIGiNALS (2) 10/11/8316-4510-238
STOCK,NELL & ° INNEY
DESK OKGANIZEQ,LABLES
10-4125-210
76651
5.35
DIXIE CUPS
10-4140-210
1-4572-210
376652
�76651
3.90
1.22
11663
10.07
DATA IIvDEX
TRAFFIC MANAGE",ENT SYSTEMS,I
DIRECTION ARRO','iS/TRIAt,)GLE16-49Uf1-220
tU9
57.24
11664
57.24
VERTICAL NIAIJAGEMENT SYSTEMS
PROCESS PARK.CITES 9/1-
10-4412-255
63010
85.00
11665
85.00
9/30/83
XEROX CORPORATTON
COPIER REPT 10/1-10/13
10-4190-240
3U612
342.16
COPIER RENT.1n/1-10/13
10-4190-240
230611
539.Oa
11666
881.22
CITY MANAGER & FINANCE
DIANA SARTLEY
W.''A.O.REFUNI), BARTLEY
21-3114-000
14.00
11667
14.00
MILTON & EVELYN SECKAITH
R/0/6/AOUIRE.9ART.(BECK''hIlo-4930-255
4050.00
P3853
4950.00
PUNALD N. BRALEY
RIGHT-OF-WAY AGiUIRE.AGENTI6-4Q30-255
5164.00
3846
5164.00
ARROWHEAD HILTON LODGE
REG.CITY/BOUNTY FEET.
10-4110-270
10.00
REG.CITY/COUNTY MEET.
10-4120-270
10.0U
P3861
20.00
MAYOR & CITY MANAGER
I
i
�
{
i
PAGE NO. 6
GNA,gD TE4RACE
DEMAND %WARRANT REGISTER NO. 8 4- n 51 DATE 1 1/ i C/ F 3
PAYEE
WARRANT
CHECK
WRITTEN
TUCHER DETAIL OF DEMANDS PRESENTED
NO.
ACCOUNT CHG'D
INV NO
AMOUNT
NO
AMOUNT
DESCRIPTION
FORGE AHE4;J & VARY AHERN
R/O/N/AOUIRE.RART.(AHERN)
6-4030-255
Z545.00
385c
25u5,o0
USAN DIETEL
W.A.D.REFUiND,DIETEL
1-3114-000
7.00
11668
7.00
OLTON YELLOWJACKETS-PAREP�TS
10-4190-220
b0.00
03843
6Q.00
DO,JATION,COLTON BA14D
uIS GOUGHNOUR
R/O/'A/A0UIR.BART.(GOUGHNC.,
4930-255
5350.00
3854
5350.00
iGENE 6 MARJOGIE JILLISON
R/0/ati/AOUIRE.9ART. (JILLISI6-4Q30-255
1u55,00
385Q
145E.(?C
ALVA HUGHES & LORA HUGES
R/U/'r, AGUIRE BART.(HUGHF516-4030-255
1600.00
P3847
160C.00'
:RU3ERT & JEUNIVEE LIGHT
i R/0/,v/nOUIRE.BART.(LIGHT)16-4930-255
165u5.��0
3857
1654°.Ou
(PA►JLIilE H. MACKEY
R/O/A/AOUIR.3ART.(A4CKEY)16-4Q30-255
10550.00
3856
1U550.00
RUTH IRENE STEHR
R/O/A/AOUIRF'.BART (STEHP)16-4930-255
1525.00
38s1
15Z5.00
IRAYMOND S;4M, & VARY SMITri
R/01A AQUIRE.RART (Sh-ITH)1b-493n-255
2330.00
3c48
2330.00
LYMAN YARNELL R K!AOt•iI YARIJEL
R/U/►v/ AOUIRE.SART.(YARNE16-4930-255
1335.00
'F3849
1335.00
rKAI4o TERRACE
m
PAGE NO
DEMAND; WARRANT REGISTER NO
34-051
DATE I I / 1 C / 8 3
PAYEE
WARRANT CHECK
WRITTEN
97CNER
DETAIL OF DEMANDS PRESENTED
NO
DESCRIPTION
ACCOUNTCHG'p
INV NO
AMOUNT
NO
AMOUNT
PAYROLL
RETROACTIVE PAY FY 83/84 '10-21bl-000
175.79 1
PAYROLL ENDING 10/21/83
10-2161-000
1437.85-1
RETROACTIVE PAY FY 83/84
10-2162-000
15.90-
PAYROLL ENDIAG 10/21/83
10-2162-000
255.52-
RETROACTIVE PAY FY 83/84
10-2163-000
15.50-
PAYROLL ENDING 10/21/83
10-2163-000
45.99-
PAYROLL ENDI,^4 10/21/83
10-2164-000
612.00-
PAYROLL ENDIArz 10/21/83
10-2169-000
11457.29-
PAYROLL ENDING 10/21/83
10-2167-000
43.86-
PAYROLL ENDING 10/21/83
10-2170-000
12.67-)
RETROACTIVE PAY FY P3/84
10-4120-110
556.77
�
PAYROLL ENDING 10/21/83
10-4120-110
3140.99
RETROACTIVE PAY FY 83/84
10-4125-110
75?.26
PAYROLL ENUINC7 10/21/83
10-4125-110
2125.02
RETROACTIVE PAY FY 83/84
10-4140-110
1114.17
PAYROLL ENDING 10/21/83
10-4140-110
3227.40
RETROACTIVE PAY FY 83/84
10-41b0-110
412.47
PAYROLL ENDING 10/21/83
10-4160-110
1?81.48
RETROACTIVE PAY FY 83/84
13-4430-110
346.21
PAYROLL ENDING 10/21/83
13-4u30-110
1124.01
RETROACTIVE PAY FY 83/64
1-4572-110
206.09
609.68
0
10723.77
PAYROLL ErIGING 10/21/83
21-4572-110
I
I
I
I
I
'
i
rnA,4n TERRACF
F]
PAGE NO
DEMAND/WARRANT REGISTER NO
gu-051
DATE 11/10/83
PAYEE
WARRANT CHECK
WRITTEN
PUCHER
DETAIL OF DEMANDS PRESENTED
NO
DESCRIPTION
ACCOUNT CHG'D
INV NO
AMOUNT
NO
AMOUNT
BITTEN
9193.91
REPAID
86134.30
CCRUED
.00
TOTAL
95322.21
RECAP BY FI141)
RE -PAID
.RITTEN
I
FUND
I
10 17511.31
5P54.03
I
FUND
11 7148,74
.00
FUND
13 1915.68
2310.00
FUPD
16 58494.00
229.46
FUND
17 .00
127.20
FUND
18 .00
335.18
FUND
21 1nb4.57
338.04
I CERTIFY THAT, TO THE BEST
OF MY KNOWLEDGE, THE AFORELISTED CHECKS
FOR P,YMENT OF CITY
LIABILITIES HAVE BEEN AUDITED BY
ME AND ARE NECESSI RY AND ' PPROPRIATE EX
ENDITURES FOR THE
OPERATION OF THE CITY.
oof
EDWARD R. CLARK
FINANCE & ADMINISTRATIVE SERVICE
OFFICER
i j
j
I
i
i
STAFF REP%4�T
C R A ITEM ( ) COUNCIL ITEM ( X )
AGENDA ITEM NO. 15,16
MEETING DATE: NOVEMBER 10, 1983
SUBJECT: FINANCIAL MANAGEMENT SEMINAR DECEMBER 7-9, 1983 IN MONTEREY
Finance Officer Ed Clark plans to attend subject seminar, provided the Council
approves.
The seminar is scheduled for Wednesday, December 7 through Friday, December 9, 1983
at the Hyatt Del Monte in Monterey. It is designed to brief officials on the
latest changes in law and economic projections affecting cities, plus an array
of sessions on topics concerning managing cities' fiscal affairs.
The cost to attend subject seminar is estimated at: $499.
Advance registration $ 75.00
Meals not included (estimated)
Dinner @ $10 x 2 20.00
Breakfast @ $4 x 2 8.00
Airfare 266.00
Hotel Room @ $60 x 2 120.00
Airporter bus (estimated) 10.00
$499.00
Staff recommends that the Council:
APPROVE ED CLARK'S ATTENDANCE AT THE FINANCIAL MANAGEMENT SEMINAR. FUNDS ARE
AVAILABLE IN THE FINANCE DEPARTMENT'S BUDGET IN LINE ITEM "TRAVEL, CONFERENCES
AND MEETINGS."
EC:lo
Encs.
#4
0
L 9:
s• ,�
:K: - Lei a5 c �r•�
U LL
M M-
Wot� Ten ,,ne,
ANNOUNCING..
Sacramento, California
September 1983
Financial Management Seminar
December 7-9, 1983
( Hyatt Del Monte, Monterey)
i r-4
,� • �i; e rr.; Tz ;Rbi^L-
TO: Mayors, Council Members, City Managers, Finance Officers, and Treasurers
Your 1983 Financial Management Seminar will contain an array of sessions on topics
of' imme is a interesT75—ToTticials concerned with managing their cities' fiscal
affairs. The program will contain both practical "how to" sessions as well as
briefings on the latest changes in law and economic projections affecting cities.
And, of course, the Seminar will offer you the invaluable opportunity to meet
with and learn from your colleagues in other cities in the spirit of "working
together."
Attached is a preliminary program which outlines the topics to be covered. Please
review it and bring it to the attention of those in your city who are interested
in financial management. This program is directed not merely to staff members
but also to elected officials.
Note that on Thursday afternoon there is scheduled a "Financial Management Fair"
at which a number of vendors will be available to discuss with you their products
and services which may be of interest and value to you.
Also, at the Get Acquainted Reception Wednesday evening,there will be the oppor-
tunity to exchange brief descriptions of fiscal management and cost -saving ideas
which cities have tried. You are asked to bring to the Seminar 100 copies of a
one -page description of any policy or program your city has introduced which has
saved money or made your operations more responsive to the public. These papers
will be available at the Wednesday reception, and in turn, you can pick up some
good ideas from other cities as well.
NOTE: THE DEADLINE FOR ROOM RFUR� VATTDNS AT THE HYATT DEL MONTE IS N�VFM� 6,'�
1983, AAt TH CBUPT-OFF FOR ADVANCED REGISTRATION IS NOVEMBER 25, 1983.
CONFERFtiCE RFGI 1N�'I: OF�{CF
HEADQUARTER -
I C,0TNFW,' C,AI I:1pNIA CFFtC
REGISTRATION 60 4
To facilitate the registration process you are encouraged to register in advance, and
a salmon colored registration form is attached for this purpose. Should you wish to
register in advance, please complete the Advance Registration Form and return it with
a check or money order (Please no purchase orders) in the appropriate amount to the
LEAGUE OF CALIFORNIA CITIES, CONFERENCE REGISTRATION OFFICE, P.O. BOX 7005, LAFAYETTE,
CA 94549. TO PROCESS THE ADVANCE REGISTRATION, PAYMENT MUST ACCOMPANY THIS FORM.
At the bottom of the registration form is a questionnaire for those who plan to attend
the meeting but do not wish to register in advance. In order for the League to make
appropriate arrangements it is necessary that we have an accurate estimate of the
number of officials who will be attending. If you expect to attend, please fill out
either the Advance Registration Section (return with payment) or the Attendance Ques-
tionnaire Section, and return the entire form to the Conference Registration Office
of the League NOT LATER THAN NOVEMBER 25, 1983.
REGISTRATION FEE
The following registration fees will apply for the Financial Management Seminar:
City Officials . . . . . . . . . . . . . . . . . . $75.00
Non -City Public Officials . . . . . . . . . . . . .$85.00
Non -Public Officials . . . . . . . . . . . . . . .$90.00
The registration fee is inclusive of programmed meal functions and program materials.
HOTEL RESERVATIONS
A sufficient number of rooms for all expected at the Financial Management Seminar
will be held at the Hyatt Del Monte until Wednesday, November 161983. After Ruem-
ber 16, rooms will ho availjWS only on a space availa7re basis. Therefore, BE SURE
10 t YOUK HOILL RESERVATIONS j1t ANU—SEFURE NOVEMBER 16. When
making your hotel reservations, please use the brown HOTEL RESERVATION FORM attached
which includes the room rates that will prevail during the meeting. If you are planning
to share a room with another city official, only one form with both names indicated on
it should be sent in.
A deposit in the amount of the first niQht's rental or a crPdit card nu: be-r will be
required to process all room reservations. 8-hour cancellation notice is required
by the hotel in order that your room deposit be refunded. All reservations should be
received by the hotel not later than November 16, 1983. Hotel reservations received
after this date will be on a space available basis. Hotel reservations should be
returned directly to the Hyatt Del Monte at the address indicated on the form. Reser-
vations guaranteed by credit card will be taken by telephone by calling the Hyatt Del
Monte at 408-372-7171 and asking for reservations.
TRANSPORTATION
Hyatt Del Monte is located at One Old Golf Course Road, off Highway 1 at the Fremont
Street/Camino Aquajito off ramp in Monterey. The Hyatt Del Monte is the first stop
on the airporter bus which meets all commercial flights. NCH
DEL MGM BWD.
CAM 1 NO
N6WWITo--------- .%A
FREMGNT =L � A-S Da•
?' fAx
n
Financial Management Seminar
December 7-9, 1983
Hyatt Del Monte, Monterey
PRELIMINARY PROGRAM
Wednesday, December 7
9:00 a.m. Registration - Hotel Lobby
9:30-11:30 a.m. "Early Bird" Refresher:
voAppropriation Limit Compliance: Living With Proposition 4
- Revenue allocation and determining the limit
- Cost accounting
1:00 P.M. Opening General Session
✓ The Fiscal Future and its Effect on Local Government
2:00-3:15 p.m. Concurrent Sessions
e I. Investment of Surplus Funds
Property Tax For Pension Override
3:30-4:45 p.m. Concurrent Sessions
✓I . Economic Development
II. Intergovernmental Fiscal Cooperation
5:30-6:30 p.m. ✓Get Acquainted Reception and Financial Management Symposium
An informal hosted reception to which attendees are asked to
bring copies of information on effective, interesting or
novel ideas or programs they have applied in their cities to
better manage their fiscal affairs.
Evening Free
-3-
Thursday, December 8
10:30-11:45 p.m.
12:15 noon
2:00-3:15 p.m.
4:45-6:30 p.m.
Evening Free
Friday, December 9
9:00-10:15 P.M.
Concurrent Sessions
&**'I. Bond Registration: Requirements and Process
we"II. Getting the Most of Tax Revenues
♦ I. Computing in the Finance Department
vell. Budgeting to meet Current and Future Operations and
Maintainance Needs
General Luncheon
Concurrent Sessions
I. Saving Money by Saving Energy
✓tI. Small City Interests: Community Development Block Grants
and Urban Development Action Grants
No -Host Reception and Vendor Fair
A variety of firms supplying services of interest to fiscal
officers will be represented to meet informally with city
officials.
Concurrent Sessions
✓I. Leasing and Lease Purchase
/fI. Making Financial Information Interesting in the Media
10:30-11:45 a.m. General Session
Legislative Report
Xhe Governors New Partnerships Task Force
12:00 noon Concluding Luncheon
Speaker: Michael Franchetti, Director of Finance, State of
California
1:30 p.m. Adjourn
-4-
ST TDate: 10/31/83/Q
t,4 '� G
C R A ITEM ( ) COUNCIL ITEM (XX) MEETING DATE: NOVEMBER 10, 1983
AGENDA ITEM NO. _!� cl-
SUBJECT: CLAIM --FRANK GARCIA JR. (GTLC83-04)
On September 21, 1983 Mrs. Garcia backed out of a driveway on the west side of
Michigan and caught one rear wheel in a drainage ditch on the east side of
Michigan. They are claiming $100 for towing, realignment and lost wages. The claim
with pictures of the car in the ditch was submitted to our insurance adjustors.
They recommend that this City send the Garcia's a standard rejection letter.
Staff recommends that the Council:
REJECT LIABILITY CLAIM NO. 83-04.
TC:Io
43
SOUTHERN CALIFORNIA JOINT POWERS INSURANCE A,UTHORIA v E V E �` . `.
FROM: - ri : ,•r�'.
TO: CARL WARREN 8 CO.
CITY OF
,'+
1801 Park Court Place
Bldg. E., Suite208
'iTY OF. GRAND `f'EP,RAC
Santa Ana, CA 92701
SUBJECT: REPORT ON POTENTIAL CLAIM
r , „ -
r' � ' REPORT DATE
��` •': ,
�'2'
•-'4 :+"_ • d .�,#• . � •is . 6 _ ..: { ?�r.w�•=•39t_`i.;.� - _ - •� _ .,
Xiss` :Lty•" p►- _7 ,T z " pi s a`-3' .:; TIME OF REPORTAM
O Y 1_ •
F:. ..c.•.-_
UPM
. `�0.rfi :4,►aid.•"-a-0.15 Sir;R`:y.:,: = t'':.
- `�-: -' �... s Yvc Y-'
; _ r .- .,� - • -
�•'
�:': -,••__
_
s . w` .:�• i"'..:
vey,42 i 'i4kT
, -.i
y _ i
--
Z� -l.§ -a-'' ` _ _t•�ue• cTlr PC% AFL ACCIDENTS. �' a J•�__
_
DATE @ TIME OF ACCIDENT, _ T LOCATION - ; •4 - ,._._ POLICE TO WHOM REPORTED
MON. DAY YEAR TIME O AM ❑ PM
B. - COMPLETE ONLY IF CITY CAR OR EQUIPMENT 15 INVOLVED
VEH.NO. YEAR MAKE MODEL OWNER
EMPLOYEE OR DRIVER ADD-RfSS AGE PHONE NO.
PURPOSE OF USE USED WITH
PERMISSION YESO NOO
C. - COMPLETE ONLY IF OTHER PROPERTY IS DAMAGED ,
OWNER ADDRESS PHONENO.
j t2A�1k �P.2C`1r�aa-3�- t_A�C�A ST —1
OTHER DRIVER A DRESS PHONE NO.
P&%CL' 1E G- & M L-ioxL e A J6
DESCRIBE JROPLRTY OF AUTO YEAR MAKE LIC. NO. DESCRIBE DAMAGE
D. - COMPLETE ONLY IF SOMEONE IS INJURED
I
NAME ADDRESS PHONE NO.
INJURY
AGE
2
3
'
E. - COMPLETE FOR ALL ACCIDENTS
DESCRIBE INCIDENT - STATE FACTUAL POINTS ONLY - DO NOT GIVE OPINIONS AS TO FAULT, NEGLIGENCE OR LIABILITY
' I ► r u1>� (Z-C)&W 0 —
a s 2rtZ ^to F-O2si8AQ where
'
KA15AP-b
A }tit? A C ^ram
'" 'SEVERAL— f:lliE� Sri
2
WEATHER CONDITIONS SUNNY ❑RAINY OOVERCAST WINDY DESCRIBE -
. -! .� h� �- �� , y _ • .., �� - _ -_ ' i -.r t .-,� ' � .<' ^fit � 'i - - •
WITNS -NA E
ADDRESS •v _ HONE NO.
`r.e� « .r�.`� '�^
IA A� r,..
. ^ � - STD.. �- -�.,; � •:��--{«:�:: -
A7 i Af20 IrA H I'
WAS CLAIMS ADMINISTRATOR NOTIFIED 7IJCfES ONO BY WHOM T jF-+••✓IGJtp %I C
DATE TIME
ti
REPORT PREPARED BY
USE ADDITIONAL SHEETS IF NEEDED
ry ••
:j •
INSTRUCTIONS
It is the responsibility of all City employees to immediately notify the Claims Administrator upon
receipt of knowledge or witnessing an occurrence or transaction from which a potential claim '
could result or in which the City -could be liable. This form is provided for this purpose.
• - -- ar.t �.�4g. r +.A 'a �'.i .rt .r - _• _ .,;} !-.�.-.fir-,,,: .'t}i-.' �, ...R.-`., a"•':.y� :. +��z.-:r.�.' �� -- -`�'�• �.'-a �.'.
- . WHAT TO� DO IN CASE OF ACCIDENT;
1. Notify the Clams Administrator as soon as possible:: ~`�-
2. Complete this.form as follows:
A. Enter the date and time of the incident.
B. Indentify and enter the name of the person (s) sustaining injury or a description of the
property damaged.
C. Describe the exact location where the incident occurred.
D. Briefly describe how the incident occurred.
E. Briefly describe the damages or injuries observed.
F. Obtain names, addresses and telephone numbers of persons involved or witnessing the •`
incident.
G. Describe weather conditions (was surface condition slippery).
3. If the person involved makes claim overtures to you, advise that claim must be made with
the City Clerk.
4. If the person does not make claim, do not volunteer.
5. If contacted by the Claims Administrator's representative, furnish requested information
as accurately and as quickly as possible.
6. All persons seeking accident information other than City personnel should be referred to
CARL WARREN AND COMPANY, 1505 East 17th Street, Santa Ana — Telephone 547-5571.
7. MAKE NO STATEMENT AS TO YOUR OPINION REGARDING CAUSE, FAULT OR
LIABILITY I
8. Give other persons involved your name and address.
CITY OF G:LVZD TERRACE,
OUR FULL CLAIM IS FOR 100.00 DOLLARS.
50.32 for damages and 50.00 FOR WAGES LOSS
'. WE DID NOT HiVE OUR CAR ROR THREE DAYS.
WE FEEL TIIE CITY WAS NEGLIGENT. THE ROAD
SHOULD NOT HAVE BEEN SO I3AD9 FOR TflAT MtM -,Z -L
SEVERAIJ OF THE NIEGHBORS SAID THERE HAVE BEEN MORE
Alh
- ALLSIATE iNSURANCE CGiff'ANY
1950 �:KET STREET
RIVEIVE, CA 92502
(714) 682-8180
lJ
CLAIM# 1309883731SCS POLICY#
LOSS DATE 09-21-83 TYPE OF LOSS COL /FIS
INSP DATE 09-22-83 LOCATION
ADJUSTER KEITH WHISENAND COMPANY
NAME F GARCIA
LIC# 2ACK049
VIN 9690
ERG/COLOR
MILEAGE 98989
CONDITION
ACCT"NG CTL # MD3
k NEU PART EC=NON-0EM PART EU=SALVAGE
PART L=REFINISH P=CHECK N=ADDTL
LABOR
I=REPAIR/ALIGN IT=PARTIAL REPAIR
TE=CUT/SPLICE FART ET=CUT/SPLICE LABOR
WATER PUMP LEAKS UNRELATED RT OTR
PANEL OLD DAMAGE
1974 MERCURY MONTEGO BROUGHAM 2DR
H/T R3112C OPTNS G/M
P 0 X
OP GDE AC DESCRIPTION
MFG. PART NO.
PRICE AJ
HOURS R
N 974 SUSPENSION ALIGN L/R
ADDTL LABOR
.7 2
N 975 SUSPENSION ALIGN R/R
ADDTL LABOR
•7 2
EU RT R WHEEL
18.00.
.3* 1
3 ITEMS
FINAL CALCULATIONS 8 ENTRIES
GROSS PARTS
OTHER PARTS
18.00
PAINT MATERIAL
PARTS TOTAL
18.00
TAX ON PARTS & MATERIAL
2 6.002
1.08
LABOR RATE
HOURS
1-SHEET METAL 18.00
.3
5.40
2-MECH/ELEC 18.00
1.4
25.2.A .
3-FRAME 18.00
4-REFINISH 18.00
5-PAINT MATERIAL 8.00
TJIIS
IS A BILLING
LABOR TOTAL
30.60
TAX ON LABOR
SUBLET REPAIRS
TOWING & STORAGE
GROSS TOTAL
49.68
LESS: DEDUCTIBLE
100.00-
NET TOTAL
50.32-
ADP - AUDATEX (A4) LOG 271111
DATE 09/23/83
/
THIS IS NOT AN AUTHORIZATION FOR
REPAIR
SUPPLEMENTS MUST BE APPROVED PRIOR
TO REPAIR
CARI. %WARREN & CO.
❑ 2600 Wilshire Boulevard, Los Angeles, California 90057 (213) 382-6141
X 1801 Park Court Place, Santa Ana, California 92701 (714) 972-3146 (213) 924.7761
❑ 500 Esplanade Drive, Oxnard, California 93030 (805) 485-5443 (213) 883-7860
❑ 7837 Convoy Court, San Diego, California 92111 (714) 560-8137
❑ 41 W. Calle Laureles, Santa Barbara, California 93105 (805) 687-2694
❑ 225 Airport Drive, San Bernardino, California 92408 (714) 824.1660 (714) 884-8669
To: City of Grand Terrace Date:_ October 25, 1983
Attention: Thomas Coyle
Re: Claim: City of Grand Terrace
Claimant: Frank Garcia, Jr.
D/E:vent: 9/21/83
Rec'd Y/Office: 10/6/83
Our File: S 36173 SK
Gentlemen:
We have reviewed the above captioned claim and request that you take the
action indicated below:
CLAIM INSUFFICIENCY: In accordance with the telephone conversation
of _ _ _ _,19_ , a notice of insufficiency must be mailed to
the claimant no .later than__ _ __, 19 _ THIS MUST BE MAILED
TO THE CLAIMANT WITHIN 20_DAY_S_Of' RECEIPT OF TIIE_O_ RIGINAL CLAIM IN
YOUR OFFICE. DO NOT SUBMIT A "REJECTION" LETTER.
XX CLAIM REJECTION: Send a standard rejection letter to the claimant.
i—I AMENDED/SUPPLEMENTAL CLAIM: Send a standard rejection letter to the
claimant, rejecting this additional/amended claim.
_LATE CLAIM RESPONSE: Return a copy of the claim material to the
claimant, advising that the claim is late and that their only recourse
is to file a written "Application for Leave to Present a Late Claim".
I1 APPLICATION REJECTION: Reject claimant's "Application for Leave to
Present a Late Claim".
(� OPERATION OF LAW: Defer any written response to the claimant pending
our further advice.
Please provide us with a copy of the notice sent, as requested above. If
you have any questions, please contact the undersigned.
Very truly yours,
CARL WARREN & COMPANY
��y. t r� 'Y►�o n :i CT 2 F 198-�S
(Adjuster) Susan(3unzman
SANTA ANA OFFICE SERVES ORANGE COUNTY
LOS ANGELES OFFICE SERVES LOS ANGELES COUNTY =� 7_Y^ OF, GRAP;D JERRACE
OXNARD OFFICE SERVES VENTURA AND KERN COUNTIES
SAN DIEGO OFFICE SERVES SAN DIEGO AND IMPERIAL COUNTIES
SAN BERNARDINO OFFICE SERVES SAN BERNARDINO AND RIVERSIDE COUNTIES
F-48 SANTA BARBARA OFFICE SERVES SANTA BARBARA AND SAN LUIS OBISPO COUNTIES
46
C R A ITEM ( )
AGENDA ITEM NO.
ST44FF R E P T
COUNCIL ITEM ( x)
a ----
ate: Oct. 31, 1983
:50w'
12.253
lf'
MEETING DATE: November 10, 1983
SUBJECT: Barton Road Sidewalk Project, SB 821 Grant
On June 23, 1983, the City Council authorized staff to file an appli-
cation for SB 821 funding in the amount of $35,000, and to utilize
$7,000 of the appropriations proposed for Barton Road improvements,
as a local match towards this project.
Staff was successful in receiving approval on this grant which will
be used for the construction of a sidewalk on the northside of Barton
Road between Arliss Drive and Victoria Street.
This project will be included in the plans and specifications for the
Barton Road Reconstruction project.
Staff recommends that City Council:
ADOPT THE ATTACHED RESOLUTION AUTHORIZING THE SUBMITTAL OF THIS SB 821
ARTICLE 3 CLAIM.
AE/JK/lbk
L�
PENDING CITY .
=Gi1.'CIL APPROVAL
RESOLUTION NO. 83-
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
GRAND TERRACE, CALIFORNIA, AUTHORIZING THE SUBMIT-
TAL OF THE TDA (SB821) BICYCLE & PEDESTRIAN
FACILITY CLAIM - ARTICLE 3.
WHEREAS, SB 821 provides that two percent (2%) of each County's total
transportation fund be annually set aside and used to fund the development of
bicycle and pedestrian facilities; and
WHEREAS, the City of Grand Terrace has planned a pedestrian facilities
system in conformance with the adopted General Plan and San Bernardino County
standards; and
WHEREAS, the City Council of the City of Grand Terrace desires to
construct the pedestrian facilities system within its City utilizing funds
available under SB 821;
NOW, THEREFORE, the City Council of the City of Grand Terrace does
hereby resolve, declare, determine, and order as follows:
1. To adopt the Barton Road Sidewalk Project located on the
north side of Barton Road between Arliss Drive and Victoria
Street;
2. To authorize the City's Finance/Administrative Services
Officer as the City's authorized signature and designated
contact person;
3. That the City claims $35,000 and forwards said claim along
with a certified copy of this Resolution to SANBAG for
processing.
ADOPTED this loth day of November, 1983.
ATTEST:
City Clerk of the City of Gran
Terrace and of the City Council
thereof.
Approved as to form:
City Attorney
Mayor of the City of GrandTerrace
and of the City Council thereof.
CITY OF GRAND TERRACE
PARKSRECREATION COMMITTEE
MEETIWV MONDAY, OCTOBER 179 19810
MINUTES NOV 1 0 1Qg3
COUNCIL AGENDA ITEM YE 7
LOCATION: Grand Terrace Community Center
TIMES 7130 P. M.
MEMBERS PRESENT: Dick Rollins, Chairman
Ken Rinderhagen, Vice Chairman
John Lotspeich
Rhoda Saterfield
Art Goad
MENDERS ABSENT s
GUESTS PRESENT s
CITY STAFF:
Sandy Kronmiller
Louie Galvez
Ron Barnett
Steve Chapman
Randy Anstine
Rich. Peppin
Jane Ainsworth
NOV 3 WW
•� t�Y,;�F, GRAND;TERRACE
The Minutes of the meeting of October 3, 1983 were not taken as
the meeting was canceled due to the fact that there was not a quorum.
The meeting was called to order by Chairman Dick Rollins at 7s40 P. M.,
ITEM #1 Mr Steve Chapman of the San Bernardino County
employees association adult slow -pitch baseball teams sub-
mited a request for the City to wave the $250.00 key maint.
and damage deposit for his teams who have reserved the ball
diamond on Sunday afternoons from October 30th to Jan. 29.
A considearable amount of discussion was conducted between
all Committee members present.
John Lotspeich made a Motion , regretfully, not to grant
permission to wave the fee/deposit to any organization for
reservation -use of any organization for the various athletic
fields of both the Colton Unified School District of which
the City has a joint -powers agreement or the field at Terrace
Hills Community Parksite. Basted upon the fact that it would
be discriminatory if any single organization were to be
so allowed. Rhoda Saterfield made the second and the Motion
carried unanimously.
ITEM #2 Rich Peppin discussed the upcoming Halloween Carnival to
be held at the Terrace Hills Junior High School on Halloween
night. Plans were discussed and members of the Committee stated
that they would assist in the event.
ITEM #3 Preliminary planning for the upcoming Christmas tree lighting
ceremony and party at the Parksite was discussed. The date
has been set for Saturday evening, December 10th. John Lotspeic
has requested that we include a dance group called 'Clogging'
along with his 'Mug Wumps' square dancers. Rich Peppin the
City's Recreation Directorg willhelp set up and coordinate
the various groups that we used last year. Additionally John
announced that be ng Square Dance classe ere now in progress
at Terrace Hills mentary School and regal dancing programs in
progress at Terrace Hills Junior High School on Saturday Nights.
ITEM #4
Discussion on the weekend maintenance of Terrace Hills Community
Park. A Motion by Ken Rinderhagen to file an Action Form with the
Council to appropriate funds to pay persons or person to open and
close the Park and maintain the rest rooms and picnic areas during
weekends and holidays when no City Staff was available. John Lotspeich
seconded the Motion and it carried unanimously. Chairman Rollins said
he would submit the form for Council approval. =
ITEM #5
Ken Rinderhagen made a Motion to request the City Clerk to declare
a vanancy on the Committee membership to replace Sandy Kronmiller.
Sandy is moving from Grand Terrace and has her house up for sale.
John Lotspeich made the second and it carried unanimously.
ITEM #6
Louie Galvez, who is active with Colton Terrace Little league and
adult baseball submitted an application to be a member of the
Committee. The application will be submited to the Council for
consideration.
There being no further business to come before the Committee, the
meeting was adjourned at 1000 P.M.
Respectfully submited
Dick Rollins, Recording Secretary
Page Two of Two
Parks & Recreation Committee
NO ' 01983
COUNCIL AGENDA JEM A -i C_ (
Qctober 30, 1983
City Council
Grand Terrace, CA 92324
Please accept my resignation as a member of
the Historical and Cultural Con:-:ittee,
effective immediately.
Thank you,
REFIVEC
OCT 31 03,
:ITY, QF, BRAND kTERRACE
" rOii!•1ISSION AND CO1'-,!1ITTEE REPORTS
NOV 101,"�
C.OU,NCIL AGENDA ITEM # '7
COUNCIL h1EETINu DATE: Tlnvem/O
hPr Z, 19P3 DATE: October 26, 1983
COM!1ITTEE:LRTMF PR71rFjtiTTT0jT ('()Mj4TTTFF
SUBJECT: Recommendation to accept membership application of Susan B. Crawford
PROBLEM: To fill an existing vacancy on the Crime Prevention Committee.
Facts: The Crime Prevention Committee has an approved voting membership
of ten (10) but has only five (5) appointed members at the present
time. Attached for council's consideration is the application
of Susan B. Crawford. Ms. Crawford has participated as a guest
at the last five (5) committee meetings. She has demonstrated
the interest, skills and the time essential to being an asset
to the community and the committee. Randall Amstine, Community
Services Director, and Ivan Hopkins, City Attorney, have indicated
there would be no conflict of interest in appointing Susan B. Crawford
to the Crime Prevention Committee.
ALTERNATIVES•
SOLUTION: The committee has observed Ms. Crawford, reviewed her application
and has unanimously agreed that she will be an asset to the
committee.
REOUESTED ACTION TO BE TAKEN BY COUNCIL AND/OR STAFF:
The Crime Prevention Committee respectfully recommends that the
City Council approve the membership and appoint Susan B. Crawford
to the Crime Prevention Committee.
KF " 'tl,-►
C I TOF GRAND TERRACOO
APPLICATION FOR CITIZEN SERVICE
COMPLETE AND SUBMIT TO CITY CLERK'S OFFICE
AS A MEMBER OF CRIME PREVENTION COMMITTEE
NAME Susan B. Crawford
ADDRESS 22721 Mindna Dr., G. T. _ Co
875-1120 work Managing Partner, - aTL�'
PHONE 783-4161 home OCCUPATION Vice Pres., Federal Alarm, Inc.
Vice Pres., Inland DesertSecurity & Lomm., Inc.
EDUCATION: (List highest year completed and all degrees)
Bachelor of Arts, University of Arizona
Are there any workday evenings you could not meet? Yes ( ) No CX) If so,
please list.
Why are you interested in this position: I want to help the community in a worth-
while capacity, and this is an area in which I have a lot of knowledge,
and in which I can make the greatest contribution.
What do you consider to be your major qualifications? I have been involved
in a security business for 20 years, and I have managerial skills
which will benefit the committee. I also have the time to devote.
REFERENCES:
1. Raymond E. Farmer, Chief of Police, Rialto 875-3410
2. Doug Erway, Grand Terrace
3, William Hellyer, Attny, San Bernardino 884-4704
Please attach a written statement containing any additional information you feel would
be useful to the City Council.
COMMISSION AND COMMITTEE REPQ` �pUNG14 AGENDA ITEM #
NOV 1 019P3
COUNCIL MEETING DATE: Nov. 101 1983 DATE: 10/24/83
COM11ITTEE: CRIME PREVENTION
SUBJECT: REDUCTION OF CRIME PREVENTION COMMITTEE
FROM 10 MEMBERS TO 5 MEMBERS AND 2 ALTERNATES
PROBLEM:
Facts: City Council currently authorizes the Crime Prevention Committee 10
voting members. The Committee now consists of 5 appointed members. Chairma
!Ed Kelly has indicated that he is uncertain if he will remain with the
Committee.
With the present authorized Committee Membership of 10, it is not possible
to have the required Quorum of 6 to transact business.
If the approved voting membership were reduced to 5, with two alternates,
a Quorum of three could be achieved even if Chairman Kelly resigns.
The grime Prevention Committee has the largest number of authorized voting
members - Ten - of all the committees.
AT.TF.RNATTVFS :
1. Recruit more committee members. Recruiting is under way at this time.
2. Reduce the authorized number of voting committee members.
SOLUTION:
In August, 1983, an advertising campaign was conducted in Grand Terrace for
volunteers for committees. The results of the campaign was marginal for Crime
Prevention Committee Recruitment. At this time, it appears that reduction of
voting committee membership is necessary for the Crime Prevention Committee
to maintain a Quorum and conduct business in accordance with parliamentary
REQUESTED ACTION TO BE TAKEN BY COUNCIL AND/OR STAFF: procedure.
THE COMMITTEE RECOMMENDS THAT COUNCIL:
APPROVE REDUCTION OF FULL VOTING MEMBERS OF THE CRIME PREVENTION
COMMITTEE FROM 10 to 5 ALLOWING FOR TWO ALTER14ATE MEMBERS.
►��a
M
n
Mayor Petta closed Public Hearing.
Following discussion, Council requested that a committee composed
Environmental
of: a representative from the San Bernardino County
Health Department; a member of Staff; two citizens; and two repre-
sentatives from Inland Lumber Company meet in an effort to resolve
Dan Butterfield were recommended as
the issue. Chester Easter and
the two citizens on the committee.
CC-79-266
Motion was made by Councilman Erway, seconded by Councilman Allen
the Staff
and carried unanimously to appoint Clyde Gunderson as
representative on the committee.
FORMATION OF CRIME PREVENTION COMMITTEE
Councilman Erway briefed Council regarding the formation of a Crime
Prevention Committee and distributed material.
Motion was made by Councilman Erway to: authorize the formation of
direct Staff to publish
a Grand Terrace Crime Prevention Committee;
the
a notice to this effect; ask for ten volunteers to serve on
committee; appoint Tom Teorey as Chairman tonight; authorize
three of neighborhood
expenditure of up to $100.00 to get packages
watch material that will be needed to begin the program. Councilman
Grant stated he would second the Motion with the understanding that
the appointment of a chairman at this time would be deleted from
the Motion.
CC-79-267
Following discussion, Amended Motion was made by Councilman Erway,
unanimously to authorize
seconded by Councilman Grant and carried
the formation of a Grand Terrace Crime Prevention Committee and to
instruct City Staff to advertise for ten members to serve on the
Committee.
Mayor Petta thanked Tom Teorey, Poet Laureate for San Bernardino
County, for bringing in some poems he had written, and Mayor
Petta read one of the poems.
LEAGUE OF CALIFORNIA CITIES ANNUAL CONFERENCE
CC-79-268
Motion was made by Councilman Erway, seconded by Councilman Grant
Councilman Tillinghast,
and carried unanimously to authorize
Councilman Allen and City Manager Seth Armstead to attend the
League of California Cities Annual Conference in San Francisco
September 22-25, 1979, and to appoint Councilman Tillinghast
as the voting delegate at this Conference.
Page five -
�) 8/16/79
Date:
S'R
T(*A F F R E P C*
T
C R A ITEM ( ) COUNCIL ITEM ( X) MEETING DATE: 11-10-83
AGENDA ITEM NO. 7K (1)
SUBJECT: Proposed Assembly Bill No. 4 (Robinson)
This proposed Assembly Bill has been placed in the Council
Reading Box for review and comment, rather than making copies
due to the length of the Bill.
Q'
STA 1,
%0
❑ SACRAMENTO ADDRESS
STATE CAPITOL
SACRAMENTO 95814
TELEPHONE (916)445 7333
❑ DISTRICT OFFICE
CIVIC CENTER OFFICE BUILDING
11400 STANFORD AVENUE. SUITE B
GARDEN GROVE. CALIFORNIA 92640
TELEPHONE(714) 530-7200
Ta fiffa rni, a T, !� rgt.slttturP
RICHARD ROBINSON
ASSEMBLYMAN SEVENTY-SECOND DISTRICT
DEMOCRATIC CAUCUS CHAIRMAN
October 25, 1983
Sacramento, California
q1T
Mayor
City of Grand Terrace
22795 Barton Road
Grand Terrace, CA 92324
Dear Mayor:
1
�rIi��.
Enclosed please find a copy of my recently introduced Pre-
print Assembly Bill No. 4 which authorizes counties, and in the
absence thereof, cities, to impose a local option 1� sales tax
effective July 1, 1984. Current state discretionary subventions
to local governments are also repealed on that date. When all 58
counties have adopted the local tax, the state's sales tax is
reduced 1/2�, and an additional 1/2� of the state sales tax is
reduced in 1984-85 if the Governor certifies there will be a 3%
reserve in the state's budget at the end of that fiscal year.
The bill is in print for discussion purposes, primarily to
gather input from local government officials, such as yourself,
to determine both the feasibility and amount of support for the
concept outlined in the legislation.
It is my strong desire to end the annual budget debate at the
state level over how much revenue should be subvened to cities,
counties and special districts. This situation has caused insta-
bility and uncertainty for both of us. It is now time to
restructure state and local financing such that the jurisdiction
which spends the money also raises the revenue and is held
accountable. Your ability to structure and adopt annual budgets
would be greatly enhanced if you can depend on a long-term local
stable source of revenue.
While there are those who believe that my bill may provide
too much money to local government, I recognize the fact that
n
October 25, 1983
Page two
local governments have not been made whole since the passage of
Proposition 13. Over the last three years the state has been
forced to reduce AB 8 funding, and in many areas of the state
local services have deteriorated due to a lack of revenue.
Realignment of state/county programs is not addressed; however, I
am open to suggestions.
I would appreciate receiving from you and your colleagues any
and all comments regarding the bill. If you find it unsatisfac-
tory, please submit alternative proposals. There may be a better
alternative to solve our mutual problem than the one I propose.
Please forward your comments to my Sacramento office at the
address indicated on my letterhead. I look forward to a continu-
ing dialogue with you on the issue of state and local government
finance.
Sinre.
RIAAFt OBINSON
Chairman
Assembly Majority Caucus
RR: kb
Udle:
ST6)AFF
C R A ITEM ( ) COUNCIL ITEM ( X ) MEETING DATE: 11-10-83
AGENDA ITEM NO. 7K (2)
SUBJECT: Utility Rate Control
Mayor Grant requested that this item be considered by Council.
The City of Bellflower will be introducing a resolution before
the National League of Cities relative to taking action to
control utility rates, and is requesting our City's support
of this action.
STAFF RECOMMENDS THAT COUNCIL:
CONSIDER WRITING A LETTER OF SUPPORT TO COUNCILMAN CHRISTO
OF BELLFLOWER INDICATING OUR COUNCIL'S SUPPORT AND ENCLOSING
COPIES OF THREE RESOLUTIONS INDICATING OUR CITY'S CONCERN
FOR UTILITY RATE INCREASES.
me
IRMALEE -LEE- WALKER
MAYOR
JOHN ANSDELL
MAYOR PRO TEMPORE
JAMES EARLE CHRISTO
COUNCILMAN
GEORGE MARSH
COUNCILMAN
RAY O•NEAL
COUNCILMAN
,lox
LM
CITY OF BELLFLOWER
16600 CIVIC CENTER DRIVE
BELLFLOWER CALIFORNIA 90706-5494
(213) 804-1424
MEMORANDUM
Interested Municipal Officials
FROM: Councilman James Earle Christo
City of Bellflower
SUBJECT: Utility Rate Control
DATE: November 3, 1983
At the regular Bellflower City Council meeting of October 24, 1983 formal
action was taken to recommend that the National League of
Cities -Congress of Cities adopt the attached Resolution, entitled:
A RESOLUTION OF THE NATIONAL LEAGUE OF CITIES
URGING THE CONGRESS AND THE PRESIDENT OF THE
UNITED STATES TO TAKE POSITIVE ACTION TO CON-
TROL UTILITY RATES
As this important issue effects every citizen in the country, I wish to
inform you, my colleagues, of the fact that I intend to personally
introduce this Resolution at the Congress of Cities in New Orleans.
Please advise me of your support on this matter personally or by
contacting Bellflower City Hall.
"The Friendly City"
IRMALEE "LEE•• WALKER
M.1O.
JOHN ANSDELL
M..ON P.o TCN.o.[
JAMES EARLE CHRISTO
C... CUN.N
GEORGE MARSH
CO-CIIN.N
RAY O'NEAL
COUNCILMAN
October 26, 1983
11
�D C
0I
� Qi • J
�!e ��C4AL
CITY OF BELLFLOWER
16600 CIVIC CENTER DRIVE
BELLFLOWER CALIFORNIA 90706-5494
(213) 804-1424
Ms. Barbara Harsha
National League of Cities
1301 Pennsylvania Avenue, NW
Washington, D.C. 20004
Dear Ms. Harsha:
At the regular Bellflower City Council meeting of October 24, 1983, formal
action was taken to recommend that the National League of Cities -
Congress of Cities, adopt the enclosed resolution, entitled:
A RESOLUTION OF THE NATIONAL LEAGUE OF CITIES
URGING THE CONGRESS AND THE PRESIDENT OF THE
UNITED STATES TO TAKE POSITIVE ACTION TO CON-
TROL UTILITY RATES
We are aware that this resolution will be ineligible for prior consideration.
However, we are forwarding this copy to you so that you will be familiar
with it when we raise the issue from the floor. We have also enclosed
supporting material that you may find of interest.
Thank you for your assistance, and best wishes from the "Friendly City
of Bellflower."
Sincerely,
es Ea le Ch ' o
ouncilman
City of Bellflower
JZC:ddb
Enclosures
"The Friendly City"
NATIONAL LEAGUE OF CITIES
RESOLUTION NO.
A RESOLUTION OF THE NATIONAL LEAGUE
OF CITIES URGING THE CONGRESS AND THE
PRESIDENT OF THE UNITED STATES TO TAKE
POSITIVE ACTION TO CONTROL UTILITY RATES
WHEREAS, basic utility service (natural gas and telephone service)
is essential to the health and welfare of every American citizen; and
WHEREAS, utility company rates continue to be increased
unjustifiably when viewed along with the cost of living; and
WHEREAS, senior citizens and others on fixed income are least able
to afford increases in the cost of essential utility services; and
WHEREAS, the purchasing power of every American citizen is
eroded by the ever-increasing cost of essential utility services; and
WHEREAS, all businessmen suffer the loss of sales when people can
no longer afford to buy goods and services; and
WHERAS, sales tax revenue to every level of government is
decreased when the economy fails for the lack of spendable income; and
WHEREAS, needed public services suffer when this critical revenue
base declines.
NOW, THEREFORE, BE IT RESOLVED by the National League of
Cities as follows:
SECTION 1. The Congress and the President of the United States
are hereby urged to take positive action to assure that utility rates,
including natural gas and telephone services, are raised not more than
once each calendar year in an amount not to exceed the annual
percentage rise of the consumer price index.
SECTION 2. Certified copies of this Resolution shall be transmitted
to each member of Congress and the President.
PASSED, APPROVED AND ADOPTED this day of ,
1983.
n
RESOLUTION NO. 82-15
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
GRAND TERRACE, CALIFORNIA, CONDEMNING RECENT PRICE
INCREASES BY THE PUBLIC UTILITIES COMMISSION.
WHEREAS, recent trends have indicated a significant stabilization of
fuel costs; and
WHEREAS, the price of gasoline has recently decreased - in some parts
of the nations to below $1.00 a gallon; and
WHEREAS, Southern California Edison Company is requesting the Public
Utilities Public Commission to authorize a rebate to its customers of the
excess funds it has collected; and
WHEREAS, the recent rate increases approved by the Public Utilities
Commission demonstrate an inconsistency with the idea of excess funds and
reduced fuel cost;
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF GRAND TERRACE DOES
HEREBY RESOLVE AND DECLARE its condemnation of the Public Utilities
Commission's recent authorization for price increases.
BE IT FURTHER RESOLVED that copies of this Resolution be sent to
Governor Edmund G. Brown, Jr., and to the Public Utilities Commission.
ADOPTED this 4th day of March, 1982.
ATTEST:
Deputy City Clerf of the City o
Grand Terrace a d of the City
Council thereof.
Approved as to form:
/s/ Ivan Hopkins
City Attorney
ESVWI`
Nayof of the o n terrace
and of the ity Council hereof.
STATE OF CALIFORNIA )
COUNTY OF SAN BERNARDINO) ss.
CITY OF GRAND TERRACE )
I, ILENE DUGHMAN, Deputy City Clerk of the City of Grand Terrace, DO
HEREBY CERTIFY that the foregoing Resolution was duly adopted by the City
Council of said City at a regular adjourned meeting of the City Council held
on the 4th day of March, 1982, and that it was so adopted by the following
vote:
AYES: Councilmen Grant, Petta, Nix, and Rigley;
Mayor Tillinghast.
NOES: None.
ABSENT: None.
Deputy
City
Clerk of
e City of
Grand
Terrace
and
of the
ity Council
thereof.
STATE OF CALIFORNIA )
COUNTY OF SAN BERNARDINO ) ss.
CITY OF GRAND TERRACE )
I, ILENE DUGHMAN, Deputy City Clerk of the City of Grand Terrace, DO
HEREBY CERTIFY that the above and foregoing is a full, true, and correct copy
of Resolution No. 82-15 of said City, and that the same has not been amended
or repealed.
DATED: March 4, 1982.
L
Deputy City Clerk of e City of Grand
Terrace and of the ty Council thereof.
RESOLUTION NO. 83- 15
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
GRAND TERRACE. CALIFORNIA, REQUESTING STATE
LEGISLATURE TO ENACT LEGISLATION REQUIRING THE
. I ELECTION OF MEMBERS OF THE STATE OF CALIFORNIA
PUBLIC UTILITIES COMMISSION.
WHEREAS, the members of the California Public Utilities Commission,
hereinafter called "Commission" are appointed by the Governor; and
WHEREAS, the Commission is responsible for the regulation of
intrastate rates and services of -privately owned gas, electric, and various
other utilities; and
WHEREAS, the Commission further has the power to fix rates of the
aforementioned utilities; and
WHEREAS, there have been repeated approvals of rate increases
requested by said utilities establishing a precedent for further rate increase
approvals; and
WHEREAS, recent rate increases approved by the Commission will further
contribute to the exhorbitant rates already in effect; and
WHEREAS, there is a demonstrated need for public confidence and
understanding with regard to the extremely high cost of energy distributed for
these utilities and justification thereof; and
WHEREAS, this City Council strongly feels that, by establishing
elected positions for the Public Utilities Commission members, the issue of
"rate structure" will be placed in the public forum; thus their actions will
be in the interest of the voters of California and not of an appointing
authority, nor the interests of the utilities;
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
GRAND TERRACE to request the State Legislature to enact legislation to require
members of the Public Utilities Commission to be elected by the voters of the
State of California.
BE IT FURTHER RESOLVED that the State of California be divided into
districts with representatives from all districts on the Public Utilities
Commission.
BE IT FURTHER RESOLVED that certified copies of this Resolution be
forwarded to all San Bernardino County cities and State legislators.
ADOPTED this 14th day of April, 1983.
ATTEST:
'City Wrk of the City o an ayor o f i o ran race
Terra a and of the City C ncil and of the C y Council thereo .
thereof.
Approved as to form:
I
ij- < i
IJ City Attorney `�
F.-
000
STATE OF CALIFORNIA )
COUNTY OF SAN BERNARDINO) ss.
CITY OF GRAND TERRACE )
I, MYRNA ERWAY, City Clerk of the City of Grand Terrace, DO HEREBY
CERTIFY that the foregoing Resolution was duly adopted by the City Council of
said City at a regular meeting of the City Council held on the 14th day of
April, 1983, and that it was so adopted by the following vote:
AYES: Councilmembers Rigley, Petta, Nix, Pfennighausen
Mayor Grant.
NOES: None.
ABSENT: None.
i ty of the I ty o n errace
and of he City Council thereof.
STATE OF CALIFORNIA )
COUNTY OF SAN BERNARDINO ) ss.
CITY OF GRAND TERRACE )
I, MYRNA ERWAY, City Clerk of the City of Grand Terrace, DO HEREBY
CERTIFY that the above and foregoing is a full, true, and correct copy of
Resolution No. 83-15 of said City, and that the same has not been amended or
repealed.
DATED: April 14, 1983.
ty o the Ci ty o a�derraceand of he City Council t ere
u
RESOLUTION NO. 83-39
r
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
GRAND TERRACE, CALIFORNIA, URGING THE LEGISLATURE
AND THE GOVERNOR OF THE STATE OF CALIFORNIA TO
TAKE POSITIVE ACTION TO CONTROL TELEPHONE RATES.
WHEREAS, telephone rates continue to increase out of proportion with
the cost of living; and
WHEREAS, telephone service is essential to the health and welfare of
everyone, and senior citizens and those individuals on fixed incomes are the
least able to afford this needed service; and
WHEREAS, the frequency of telephone rate increases has an impact on
purchasing power, resulting in lower sales tax revenue, which is needed by all
levels of government to provide public services;
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of
Grand Terrace hereby urges the Legislature and the Governor of the State of
California to take positive action to assure that telephone rates are raised
not more than once each calendar year.
BE IT FURTHER RESOLVED that certified copies of this Resolution be
transmitted to the appropriate State Legislators, the Governor, and the
California Contract Cities Association.
ADOPTED this 11th day of August, 1983.
ATTEST:
city er o the City o an May th Ci t o Grand rrace
Terrece and of the City ncil and of the Ci ty Co cil there f.
thereof.
Approved as to form-
. `
City Attorney
STATE OF CALIFORNIA )
COUNTY OF SAN BERNARDINO) ss.
CITY OF GRAND TERRACE )
I, MYRNA ERWAY, City Clerk of the City of Grand Terrace, DO HEREBY
CERTIFY that the foregoing Resolution was duly adopted by the City Council of
said City at a regular meeting of the City Council held on the 11th day of
August, 1983, and that it was so adopted by the following vote:
AYES: Councilmembers Rigley, Petta, Nix, Pfennighausen
Mayor Grant.
NOES: None.
ABSENT: None.
City Clhtk
of the
City of Q-1,1nd
Terrace
�--
and of
he City
Council th
eof.
STATE OF CALIFORNIA )
COUNTY OF SAN BERNARDINO ) ss.
CITY OF GRAND TERRACE )
I, MYRNA ERWAY, City Clerk of the City of Grand Terrace, DO HEREBY
CERTIFY that the above and foregoing is a full, true, and correct copy of
Resolution No. 83-39 of said City, and that the same has not been amended or
repealed.
DATED: August 12, 1983.
{--
�j
City r'ydrk
of the
City
o an Terrace
and o
the City
Council
thereof.
REPCj�T
S61AFF y
C R A ITEM ( ) COUNCIL ITEM ( X) MEETING DATE: NOVEMBER 10, 1983
AGENDA ITEM NO. M
SUBJECT: LITTER AND PROPERTY MAINTENANCE ORDINANCE (2ND READING)
The comprehensive litter and property maintenance ordinance was adopted on first
reading at the Council meeting on October 26, 1983. Council members are asked
to please bring their copies of the ordinance to their meeting on November 10, 1983.
Upon completion of the public hearing, staff recommends adoption.
Staff recommends that the Council:
ADOPT ORDINANCE AFTER READING BY TITLE ONLY.
TC:lo
4
Date: 10/20/83
S"�;AFF
C R A ITEM ( ) COUNCIL ITEM (XX) MEETING DATE: OCTOBER 26, 1983
AGENDA ITEM NO. d
SUBJECT: ORDINANCE FOR CONTROL OF LITTER AND MAINTENANCE OF PROPERTY
Council at their meeting on October 13, 1983, amended and passed on first reading an
ordinance for the control of litter and the maintenance of private and public
property. Two items, automobiles and a glossary of terms, were issues of
discussion.
Research done by the City Attorney and Administrative Assistant leads staff to the
conclusion that Section 22660 through Section 22671 of the California Vehicle Code
must be complied with if this City desires to take action against the maintenance of
discarded, inoperable automobiles in the front yards of private residences. This
section of the vehicle code requires the code enforcing officer provide advance
notice and an opportunity to request a public hearing to each offender before taking
any abatement action. A copy of Section 22660 is attached as Enclosure 2.
An expansion of the original list of definitions to include a glossary of terms is
felt to be unnecessary and repetitive. The terms being used are in context with
their dictionary definition. Insofar as some confusion seemed to exist with the use
of the word "object" in Section 8d (14)(b) [page 51, staff has substituted the word
"items."
The issue of the automobiles shall require the return of this ordinance to a first
reading.
Staff recommends that the Council:
A. APPROVE FIRST READING BY TITLE ONLY OF THE ATTACHED ORDINANCE --"AN
ORDINANCE OF THE CITY COUNCIL OF THE CITY OF GRAND TERRACE,
CALIFORNIA, RESCINDING ORDINANCE NO. 23 AND AMENDING THE REGULATIONS FOR
COMPREHENSIVE LITTER CONTROL AND MAINTENANCE OF PUBLIC AND PRIVATE PROPERTY."
B. SET PUBLIC HEAPING AND SECOND READING OF SAID ORDINANCE FOR THE REGULARLY
SCHEDULED CITY COUNCIL MEETING OF NOVEMBER 10, 1983.
to
Encs. 1. Proposed ordinance
2. CVC 22660 - 22671
PENDING CITY
OUNCIL APPROVAL
ORDINANCE NO.
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF
GRAND TERRACE, CALIFORNIA, RESCINDING ORDINANCE
NO. 23 AND AMENDING THE REGULATIONS FOR COMPREHEN-
SIVE LITTER CONTROL AND MAINTENANCE OF PUBLIC AND
PRIVATE PROPERTY.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF GRAND TERRACE DOES
HEREBY ORDAIN that Ordinance No. 23 is rescinded in its entirety and amends
the regulations for comprehensive litter control and maintenance of public and
private property as follows:
ARTICLE I
DEFINITIONS
Section 1. For the purpose of this Ordinance:
a. Litter - is any quantity of uncontainerized paper, metal, plastic,
glass or misceT aneous solid waste which may be classed as trash, debris,
rubbish, refuse, garbage or junk.
b. Public Property - includes, but is not limited to, the following
exterior locations: treets, street medians, roads, road medians, catch
basins, sidewalks, strips between streets and sidewalks, lanes, alleys, public
rights -of -way, public parking lots, school grounds, municipal housing project
grounds, municipal vacant lots, parks, beaches, playgrounds, other
publicly -owned recreation facilities, and municipal waterways and bodies of
water.
c. Private Property - includes, but is not limited to, the following
exterior locations owned y private individuals, firms, corporations,
institutions or organizations: Yards, grounds, driveways, entranceways,
passageways, parking areas, working areas, storage areas, vacant lots and
recreation facilities.
d. Containers - are locally -approved metal, heavy-duty paper or
plastic receptacles used for the disposal and storage of solid waste.
ARTICLE II
REGULATIONS
Section 1. Pedestrians and Motorists
a. It shall be unlawful for any person to throw, discard, place or
deposit litter in any manner or amount on any public or private property
within the corporate limits of the City of Grand Terrace, except in containers
or areas lawfully provided therefor.
b. In the prosecution charging a violation of Section 1.a from a
motor vehicle, proof that the particular vehicle described in the complaint
was the origin of the litter, together with proof that the defendant named in
the complaint was at the time .of such violation the registered owner of said
vehicle, shall consitute in evidence a presumption that the registered owner
was the person who committed the violation.
c. It shall be the duty of every peson distributing commercial
handbills, leaflets, flyers or any other advertising and information material
to take whatever measures that may be necessary to keep such materials from
littering public or private property.
d. To facilitate proper disposal of litter by pedestrians and
motorists, such publicly -patronized or used establishments and institutions as
may be designated by the City shall provide, regularly empty and maintain in
good condition, adequate containers that meet standards prescribed by the
department. This requirement shall be applicable, but not limited to,
fast-food outlet, shopping centers, convenience stores, supermarkets, service
stations, commercial parking lots, mobile canteens, motels, hospitals, schools
and colleges.
Section 2. Vehicles Transporting Loose Materials
a. It shall be unlawful for any person, firm, corporation,
institution or organization to transport any loose cargo by truck or other
motor vehicles within the corporate limits of the City of Grand Terrace unless
said cargo is secured in such manner as to prevent depositing litter on public
and private property.
b. The duty and responsibility imposed by Section 2.a shall be
applicable alike to the owner of the truck or other vehicle, the operator
thereof, and the person, firm, corporation, institution or organization from
whose residence or establishment the cargo originated.
c. In the prosection charging a violation of Section 2.a, lack of
adequate securing shall in itself constitute proof a violation has been
committed.
Section 3. Loading and Unloading Operations
a. Any owner or occupant of an establishment or institution at which
litter is attendant to the packing and unpacking and loading and unloading of
materials at exterior locations shall provide suitable containers there for
the disposal and storage of such litter and shall make appropriate
arrangements for the collection thereof.
b. Further, it shall be the duty of the owner or occupant to remove
at the end of each working day any litter that has not been containerized at
these locations.
- 2 -
Section 4. Construction/Demolition Projects
a. It shall be unlawful for the owner, agent or contractor in charge
of any construction or demolition site to cause, maintain, permit or allow to
be caused, maintained or permitted the accumulation of any litter on the site
before, during or after completion of the construction or demolition project.
b. It shall be the duty of the owner, agent or contractor to have on
the site adequate containers for the disposal of litter and to make
appropriate arrangements for the collection thereof, or for transport by
himself, to an authorized facility for final disposition.
c. The owner, agent or contractor may be required at any time to show
proof of appropriate collection, or if transported by himself, of final
disposition at an authorized facility.
Section 5. Household Solid Waste Containerization and Removal
a. All residences located in any area in which collection is by the
City or approved contractors shall have sufficient container capacity to
accommodate their normal volume of solid waste between collections.
b. All items too large to fit into containers, such as, but not
limited to, appliances, furniture and mattresses, shall be disposed of by free
or fee -payment bulk collection service, self -transport of such items to
end -disposal facilities or by collection for recycling.
c. Containers shall be kept covered at all times.
d. Any container which does not conform to the prescribed standards
or which has defects likely to hamper collection or injure the person
collecting the contents thereof or the public generally shall be replaced
promptly by the owner or user of the container upon receipt of written notice
of such defects from the City or approved contractor. Failure to do so within
five (5) days of such notification shall constitute a violation of this
section.
e. It shall be unlawful for any resident to deposit household solid
waste in any receptacle maintained on a sidewalk or at any other location for
disposal of litter by pedestrians.
Section 6. Commercial Solid Waste Containerization and Removal
a. All establishments and institutions which generate solid waste for
collection by approved contractors shall abide by the following container
requirements prescribed by the San Bernadino Department of Environmental
Health, Solid Waste Mangement Division.
b. Containers shall be kept covered at all times.
- 3 -
c. Any container which does not conform to prescribed standards or
which has defects likely to hamper collection or injure the person collecting
the contents thereof or the public generally shall be replaced promptly by the
owner or user of the container upon receipt of written notice of such defects
from the City or approved contractor. Failure to do so within five (5) days
of such notification shall constitute a violation of this section.
d. It shall be unlawful for any owner, manager or employee of a
commercial establishment or institution to deposit solid waste from that
establishment or institution in any receptacle maintained on a sidewalk or at
any other location for disposal of litter by pedestrians.
Section 7. Provisions for Solid Waste Disposal and Storage Facilities
at New Buildings
a. Before building permits shall be issued for construction of
commercial buildings and multiple -dwelling units, plans for the adequacy,
location and accessibility of solid waste containerization and storage
facilities must be approved by the City and the approved contractor.
b. No approval of occupancy shall be permitted for said premises
until approval, by the City, of these facilities has been obtained.
SECTION 8. Keeping Property Clean
a. It shall be the duty of the owner, agent, occupant or lessee to
keep exterior private property free of litter. This requirement applies not
only to removal of loose litter, but to materials that already are, or become,
trapped at such locations as fence and wall bases, grassy and planted areas,
borders, embankments and other lodging points.
b. Owners, agents, occupants or lessees whose properties face on
municipal sidewalks and parkways shall be responsible for keeping those
sidewalks, parkways and alleys free of litter.
c. It shall be unlawful to sweep or push litter from sidewalks and
parkways into streets. Sidewalk and parkway sweepings must be picked up and
put into household or commercial solid waste containers.
d. It shall be unlawful for any person owning, leasing, occupying or
having charge or possession of any premises in this City to maintain such
premises in such manner that any of the following conditions are found to
exist thereon:
(1) Buildings which are abandoned, boarded up, partially destroyed, or
left in a state of partial construction for a period of time in
excess of 12 months;
(2) Unpainted buildings causing dry rot, warping and termite
infestation;
(3) Broken windows constituting hazardous conditions and inviting
trespassers and malicious mischief;
- 4 -
(4) Overgrown vegetation causing detriment to neighboring properties;
(5) Dead trees, weeds and debris:
(a) Constituting unsightly appearance, or
(b) Dangerous to public safety and welfare;
(6) Inoperable or abandoned motor vehicles stored on the premises
visible from ground level from the public street or neighboring
properties. All of the provisions of Sections 22660 through 22671
of the California Vehicle Code are hereby adopted by reference as
a part of this Ordinance. In the case of any conflict between the
provisions of this Ordinance and provisions of Section 22660
through 22671, the provisions of Sections 22660 through 22671
shall prevail;
(7) Attractive nuisances dangerous to children in the form of:
(a) Abandoned and broken equipment,
(b) Hazardous pools, ponds and excavations, and
(c) Neglected machinery;
(8) Broken or discarded furniture and household equipment in yard
area;
(9) Clothes lines in front yard areas;
(10) Garbage cans stored in front or side yards and visible from public
streets;
(11) Packing boxes and other debris stored in yards and visible from
public streets for unreasonable periods;
(12) Neglect of premises causing a detrimental affect upon the
enjoyment or use of neighboring property;
(13) Maintenance of premises in such condition as to be detrimental to
the public health, safety or general welfare or in such manner as
to constitute a public nuisance as defined by Civil Code Section
3480;
(14) Property including but not limited to building exteriors which are
maintained in such condition as to become so defective, unsightly,
or in such condition of deterioration or disrepair that the same
causes depreciable diminution of the property values of
surrounding property or is materially detrimental to proximal
properties and improvements. This includes but is not limited to
the keeping or disposing of or the scattering over the property or
premises of any of the following:
(a) lumber, junk, trash or debris,
(b) abandoned, discarded or unused items of equipment such as
furniture, stoves, refrigerators, freezers, cans or
containers,
(c) stagnant water, or excavations,
- 5 -
M
M
(d) any device, decoration, design, fence, structure, clothes line
or vegetation which is unsightly by reason of its condition or
its inappropriate location;
(15) Maintenance of premises so out of harmony or conformity with the
maintenance standards of adjacent properties as to cause
substantial diminution of the enjoyment, use, or property values
of such adjacent properties.
ARTICLE III
ADMINISTRATION AND ENFORCEMENT
Section 1. The City Manager or designated representative, Police
Department, and Building Department are jointly empowered to enforce the
provisions of this ordinance.
Section 2. Whenever the enforcing officer shall find that any
premises within the City may be maintained contrary to one or more of the
provisions of this ordinance, the enforcing officer shall give written notice
to the owner of said premises stating the violation and setting a reasonable
time limit for correction of violation. Such notice may be served upon the
owner either in person or by mail. A warning prior to a citation being issued
shall not be necessary for violations of Sections 1, 2, 5e, or 6d, Article II,
of this Ordinance.
Section 3. Any person, firm, or corporation violating any provision
of this Ordinance shall be guilty of an infraction. Each day that such
violation is in existence beyond the established correction date, pursuant to
Section 2 above, shall be a new and separate violation. Penalties shall be
those specified from time to time by resolution of the City Council of the
City of Grand Terrace.
Section 4. Payment of any penalty herein provide shall not relieve a
person, firm or corporation from the responsibility of correcting the
condition consisting of the violation.
ARTICLE IV
SEVERABILITY
Section 1. If any provision of this Ordinance, or any section
thereof, in any circumstances is held invalid, the validity of the remainder
of the Ordinance and the application of any of the other provisons or sections
shall not be affected.
ARTICLE V
Section 1. This Ordinance shall be in full force and effect at
12.01 a.m. on the 31st day after its adoption.
S�
M
Section 2. The City Clerk shall cause this Ordinance to be posted in
three (3) public places designated for such purpose by the City Council.
Section 3. First read at a regular meeting of the City Council of
said City held on the day of , 1983, and finally adopted and
ordered posted at a reguT—ar meeting of said City Council on the day of
, 1983.
ATTEST:
City Clerk of the City of Grand
Terrace and of the City Council
thereof.
Approved as to form:
City Attorney
Mayor of the City of GrandTerrace
and of the City Council thereof.
- 7 -
Div. 11
10 PARhED AND ABANDONION-EHICLES § 22660
§ 22660. Local ordinances
l duly su-
ed by the
officer of
,operty of
notice to
cause the
is garage,
zere signs
)ntrol of a
or other
e without
nd report
i or com-
that the
upon such
.citated to
removal.
nply with
ce.
fended by
f the follow -
to the intro-
; it now ap-
tence to the
warrant, of-
ipound auto-
1960) 7 Cal.
Notwithstanding any other provision of law, a city, county, or
city and county may adopt an ordinance establishing procedures for
the abatement and removal, as public nuisances, of abandoned,
wrecked, dismantled, or inoperative vehicles or parts thereof from
private property or public property, not including highways, and re-
covery, pursuant to Sections 25845 or 38773.5 of the Government
Code, or assumption by the local agency, of costs of administration
and removal thereof; provided, however, that any such ordinance
shall contain provisions:
(a) Requiring notice to be given to the Department of Motor
Vehicles within five days after the date of removal identifying the ve-
hicle or part thereof and any evidence of registration available, in-
cluding, but not limited to, registration certificates of title or license
plates.
(b) That the ordinance shall not apply to (1) a vehicle or part
thereof which is completely enclosed within a building in a lawful
manner where it is not visible from the street or other public or pri-
vate property or (2) a vehicle or part thereof which is stored or
parked in a lawful manner on private property in connection with the
business of a licensed dismantler, licensed vehicle dealer or a junk-
yard; provided, however, that this exception shall not authorize the
maintenance of a public or private nuisance as defined under provi-
sions of law other than this chapter.
(c) For administration of the ordinance by regularly salaried,
full-time employees of the city, county, or city and county, except
that the removal of vehicles or parts thereof from property may be
by any other duly authorized person.
(d) Requiring not less than a 10-day notice of intention to abate
and remove the vehicle or part thereof as a public nuisance. Such
notice shall contain a statement of the hearing rights of the owner of
the property on which the vehicle is located and the owner of the ve-
hicle. The statement shall include notice to the property owner that
he may appear in person at a hearing or may present a sworn written
statement denying responsibility for the presence of the vehicle on
the land, with his reasons for such denial, in lieu of appearing. The
notice of intention to abate shall be mailed, by registered mail, to the
owner of the land as shown on the last equalized assessment roll and
to the last registered and legal owner of record unless the vehicle is
in such condition that identification numbers are not available to de-
termine ownership.
(e) Requiring a public hearing to be held before the governing
body of the city, county, or city and county, or any other board, com-
missioner, or official of the city, county, or city and county as desig-
91
§ 22660 RULES OF THE ROAD Div. 11
nated by the governing body, upon request for such a hearing by the
owner of the vehicle or the owner of the land on which such vehicle
was located. This request shall be made to the appropriate public
body, agency, or officer within 10 days after the mailing of notice of
intention to abate and remove the vehicle. If the owner of the land
on which the vehicle is located submits a sworn written statement de-
nying responsibility for the presence of the vehicle on his land within
such time period, this statement shall be construed as a request for
hearing which does not require the presence of the owner submitting
such request. If such a request is not received within such period,
the appropriate public body, agency, or officer shall have the authori-
ty to remove the vehicle.
(f) That after a vehicle has been removed, it shall not be recon-
structed or made operable.
(g) That the owner of the land on which the vehicle is located
may appear in person at the hearing or present a swbrn written
statement denying responsibility for the presence of the vehicle on
the land, with his reasons for such denial. If it is determined at the
hearing that the vehicle was placed on the land without the consent
of the landowner and that he has not subsequently acquiesced in its
presence, then the local agency shall not assess costs of administra-
tion or removal of the vehicle against the property upon which the
vehicle is located or otherwise attempt to collect such cost from such
owner.
Vehicles or parts thereof may be disposed of by removal to a
scrapyard, automobile dismantler's yard, or any suitable site operated
by a local agency for processing as scrap, or other final disposition
consistent with subdivision (f). A local agency may operate such a
disposal site when its governing body determines that commercial
channels of disposition are not available or are inadequate, and it
may make final disposition of such vehicles or parts, or the local
agency may transfer such vehicle or parts to another provided such
disposal shall be only as scrap.
Any person authorized by the city, county, or city and county, to
administer the provisions of an ordinance of the type authorized by
this section may enter upon private property for the purposes speci-
fied in the ordinance to examine vehicle or parts thereof, obtain in-
formation as to the identity of vehicle and to remove or cause the re-
moval of a vehicle or part thereof declared to be a nuisance pursuant
to ordinances.
Licensed dismantlers or commercial enterprises acquiring vehi-
cles removed pursuant to said ordinance shall be excused from the re-
porting requirements of Section 11520 of the Vehicle Code and any
fees and penalties which would otherwise be due the Department of
Motor Vehicles are hereby waived, provided that a copy of the resolu-
92
I
Div. 11
Ch. 10 PARKED AND ABANDONE 'EHICI.ES § 22660
by the
vehicle
public
itice of
,^ie land
gent de -
within
lest for
twitting
period,
..uthori-
4*610 C
located
Written
aicle on
1 at the
consent
I in its
inistra-
ich the
vm such
al to a
Aerated
nosition
such a
mercial
and it
-le local
ed such
unty, to
-ized by
s speci-
+tain in -
the re-
,ursuant
lg vehi-
i the re -
and any
anent of
y resolu-
tion or order authorizing disposition of the vehicle is retained in the
dismantlers' or commercial enterprises' business records.
(Added by Stats.1967, c. 1055, p. 2660, 3 1. Amended by Stats.1970,
c. 427, p. 855, § 1.)
Historical Note
As originally added in 1967, subds. (e)
and (d) read as follows:
"(c) A provision requiring a public
hearing prior to the removal of the vehi-
cle or part thereof as a public nuisance to
he held before the governing body of the
city, county, or city and county, or any
other board, commission, or official of the
city, county, or city and county, as desig-
nated by the governing body. . Any resolu-
tion or order requiring the removal of a
vehicle or part thereof shall include a de-
scription of the vehicle, and the correct
identification number and license number
of the vehicle, if available at the site.
"(d) A provision requiring not less than
a 10-day notice giving the time, location,
and date of a public hearing on the ques-
tion of abatement and removal of the ve-
hicle or part thereof as a public nuisance,
such notice to be mailed, by eertified or
registered mail, with a five-day return re-
quested, to the owner of the land as
shown on the last equalized assessment
roll and to the last registered and legal
owner of record unless the vehicle is in
such condition that identification numbers
are not available to determine ownership.
If the notice is returned undelivered by
the United States Post Office the hearing
shall be continued to a date not less than
10 clays from the date of such return."
The 1970 amendment added the word
"provisions" at the end of the introducto-
ry paragraph while deleting the words "a
provision" at the beginning of each subdi-
vision; required that the notice to he giv-
en the department of motor vehicles in-
clude any evidence of registration availa-
ble in subd. (a); deleted a former subd.
(b) requiring the ordinance to contain a
provision for notice to be given to the
California highway patrol identifying the
vehicle; redesignated former subd. (f) as
subd. (b) and former subd. (g) as present
subd. (c) ; rewrote subd. (d) to read as it
now appears; redesignated former subd.
(c) as subd. (e) and rewrote it to read as
it now appears-, redesignated former
subd. (e) as subd. (f); deleted former
subd. (h) requiring evidence of registra-
tion available be forwarded to the depart-
ment of motor vehicles, which provision
was incorporated in subd. (a) ; redesignat-
ed former subd. (i) as subd. (g) and sub-
stituted the words "sworn written state-
ment denying responsibility" for "written
statement in time for consideration at the
hearing, and deny responsibility": and
substituted the reference to subd. (f) for
subd. (e) in the third paragraph from the
end.
Cross References
Automobile dismantlers,
In general, see § 115(lp et seq.
Defined, see § 220.
Dealers,
In general, see § 11700 et seq.
Defined, see § 285.
Equalized county assessment roll, see Revenue and Taxation Code § 2050 et seq.
Evidences of registration, see § 4450.
Junkyards, see Business and Professions Code § 21600 et seq.
Public nuisances,
In general see Penal Code § 370 et seq.
Defined. see Civil Code § 3480.
Remedies, see Civil Code § 3490 et seq.
Library References
Escheat C-l.
Municipal Corporations «736, 846.
93
C.J.S. Escheat §§ 1, 2.
C.J.S. Municipal Corporations §§ 770,
893, 894.
9-9-660 VEHICLE CODE
§ 22660. Local ordinances
Notwithstanding any other provision of law, a city, county, or city and county may adopt an
ordinance establishing procedures for the abatement and removal, as public nuisances, of abandoned,
wrecked, dismantled, or inoperative vehicles or parts thereof from private ' ' ' or public property,
not including highways; and for the recovery, pursuant to ' ' ' Section 25845 or 38773.5 of the
Government Code, or assumption by the local ' ' ' authority, of costs of administration and such
removal ' ' '.
(Amended by Stats.1971, c. 130, p. 174, § 3.5, operative May 3, 1972; Stats.1975, c. 627, p. 1358, § 1;
Stats.1976, c. 29, p. 45, § 1.)
1971 Amendment. Authorized notice by -certified
mail" in subd. (d).
1975 Amendment. Rewrote subd. (f): and substituted
in the last paragraph. "such" for "said" preceding "ordi-
nance" and deleted "of the Vehicle Code" following
"Section 11520".
Sections 3. 4 of Stats.1975, c. 627. p. 1362, provides:
"Sec. 3. It is the intent of the Legislature. if this bill
and Senate Bill No. 746 are both chaptered and become
effective January I. 1976. both bills amend Section 22660
of the Vehicle Code, and this bill is chaptered after
Senate Bill No. 746. that the amendments to Section
22660 proposed by both bills be given effect and incorpo-
rated in Section 22660 in the form set forth in Section 2
of this act. 'therefore. Section 2 of this act shall become
operative only if this bill and Senate Bill No. 746 are
both chaptered and become effective January 1. 1976.
lxrth amend Section 22660. and this bill is chaptered after
Senate Bill No. 746. in which case Section I of this act
shall not become operative. IS.B.No. 746 was not chap-
tered.]
"Sec. 4. If Section I of this act becomes operative,
the amendments made by Section I to subdivision (f) of
Section 22660 of the Vehicle Code. which relates to local
ordinances establishing procedures for the abatement and
removal of vehicles. shall apply to any ordinance enacted
prior to, as well as subsequent to. the operative date of
this act:'
§ 22661. Contents of ordinance
Index to Notes
Abandoned vehicle trust fund 1
Reimbursement for removal 3
Rules and regulations 2
1. Abandoned vehicle trust fund
The Department of the California highway patrol does
not have authority, under S 22710. to disburse, under this
section, funds from the abandoned vehicle trust fund.
created by a 9250.7. for the abatement of wrecked. dis-
mantle(. or inoperative vehicles which are not aban-
doned but are determined to be public nuisances. 56
Ops.Atty.Gen. 492. 11-23-73.
2. Rules and regulations
The department of the California highway patrol may
develop, under § 22710. rules and regulations requiring a
public hearing and appoint uniformed members of the
department as hearing officers in regard to abandoned
vehicle abatement. 56 Ops.Atty.Gen. 492. 11-23-73.
3. Reimbursement for removal
Section 22710. subd. (b). does permit the department of
the California highway patrol to remove abandoned vehi-
cles from private and public property (excluding high-
ways). under authority of § 22702, subd. (a), dispose of
them under § 22705. providing the vehicles are valued at
S200 or less, and still entitled the department to reim-
burscm cnt, under this section. from the abandoned vehi-
cle trust fund created by § 9250.7. 56 Ops.Atty.Gern
492. 11-23-73.
Any ordinance estabjishing procedures for the removal of abandoned vehicles shall contain all of the
following provisions:
(a) The requirement that notice be given to the Department of Motor Vehicles within five days
after the date of removal, identifying the vehicle or part thereof and any evidence of registration
available, including, but not limited to, the registration card, certificates of ownership, or license
plates.
(b) Making the ordinance inapplicable to (1) a vehicle or part thereof which is completely enclosed
within a building in a lawful manner where it is not visible from the street or other public or private
property or (2) a vehicle or part thereof which is stored or parked in a lawful manner on private
property in connection with the business of a licensed dismantler, licensed vehicle dealer, or a
junkyard. This exception shall not, however, authorize the maintenance of a public or private
nuisance is defined under provisions of law other than this chapter.
(c) The requirement that not less than a 10-day notice of intention to abate and remove the vehicle
or part thereof as a public nuisance be issued, unless the property owner and the owner of the vehicle
have signed releases authorizing removal and waiving further interest in the vehicle or part thereof.
Such notice shall contain a statement of the hearing rights of the owner of the property on which the
vehicle is located and of the owner of the vehicle. The statement shall include notice to the property
owner that he may appear in person at a hearing or may submit a sworn written statement denying
Underline indicates changes or additions by amendment
24
• i�
VEHICLE CODE § 22663
responsibility for the presence of the vehicle on the land, with his reasons for such denial, in lieu of
appearing. The notice of intention to abate shall be mailed, by registered or certified mail, to the
owner of the land as shown on the last equalized assessment roll and to the last registered and legal
'A3 owners of record unless the vehicle is in such condition that identification numbers are not available to
determine ownership.
(d) The requirement that a public hearing be held before the governing body of the city, county, or
city and county, or any other board, commissioner, or official of the city, county, or city and county as
designated by the governing body, upon request for such a hearing by the owner of the vehicle or the
owner of the land on which such vehicle is located. This request shall be made to the appropriate
public body, agency, or officer within 10 days after the mailing of notice of intention to abate and
I- remove the vehicle. If the owner of the land on which the vehicle is located submits a sworn written
f statement denying responsibility for the presence of the vehicle on his land within such time period,
.a this statement shall be construed as a request for hearing which does not require the presence of the
owner submitting such request. If such a request is not received within such period, the appropriate
public body, agency, or officer shall have the authority to remove the vehicle.
(e) The requirement that after a vehicle has been removed, it shall not be reconstructed or made
operable, unless it is a vehicle which qualifies for either horseless carriage license plates or historical
vehicle license plates, pursuant to Section 5004, in which case the vehicle may be reconstructed or
made operable. •
(f) Authorizing the owner of the land on which the vehicle is located to appear in person at the
hearing or present a sworn written statement denying responsibility for the presence of the vehicle on
the land, with his reasons for such denial. If it is determined at the hearing that the vehicle was
placed on the land without the consent of the landowner and that he has not subsequently acquiesced
in its presence, then the local authority shall not assess costs of administration or removal of the
vehicle against the property upon which the vehicle is located or otherwise attempt to collect such cost
from such owner.
(Added by Stats.1976, c. 29, p. 45, § 2.)
Library References
Automobiles —363.
C.J.S. Motor Vehicles §§ 717. 744. 775.
§ 22662. Disposition of vehicle or parts ,
Vehicles or parts thereof may be disposed of by removal to a scrapyard, automobile dismantler's
yard, or any suitable site operated by a local authority for processing as scrap, or other final
disposition consistent with subdivision (e) of Section 22661. A local authority may operate such a
disposal site when its governing body determines that commercial channels of disposition are not
available or are inadequate, and it may make final disposition of such vehicles or parts, or the local
agency may transfer such vehicle or parts to another, provided such disposal shall be only as scrap.
(Added by Stats.1976, c. 29, p. 46, § 3.)
Library References
Automobiles —363.
C.J.S. Motor Vehicles §§ 717. 744, 775.
§ 22663. Administration of ordinance
Any ordinance adopted pursuant to Section 22660 shall provide for administration of the ordinance
by regularly salaried full-time employees of the city, county, or city and county, except that the
removal of vehicles or parts thereof from property may be by any other duly authorized person. Any
such authorized person may enter upon private property for the purposes specified in the ordinance to
examine a vehicle or parts thereof, obtain information as to the identity of a vehicle, and remove or
cause the removal of a vehicle or part thereof declared to be a nuisance pursuant to the ordinance.
(Added by Stats.1976, c. 29, p. 46, § 4.)
Library Reference~
AuumnoblleN 4363
C.J.S. Motor Vehicle% k, 717, 744. 715
Asterisks indicate deletions by amendment
25
§ 22664 VEHICLE CODE
VEHICLE CODE
§ 22664. Waiver: reporting requirements and fees
§ 2266& Abandoned Vehicle T
Any licensed dismantler or commercial enterprise acquiring vehicles removed pursuant to such
No local authority whose ab
ordinance shall be excused from the reporting requirements of Section 11520; and any fees and
pursuant to Section 22665 shall
penalties which would otherwise be due the Department of Motor Vehicles are hereby waived,
Fund pursuant to Section 22710.
provided that a copy of the resolution or order authorizing disposition of the vehicle is retained in the
dismantler's or commercial enterprise's business records.
(Added by Stats.1976, a 29, P. 4
(Added by Stats.1976, c. 29, p. 46, § 5.)
22669. Removal of abandone
Library References
(a) Any' ' - ,peace officer, a:
Automobiles a370.
Title 3 of Part 2 of the Penal Cc
CJ.S. Motor Vehicles § 724,
an agency or department of the
function, in the territorial limi
§ 22665. Administration of local programs by highway patrol
reasonable grounds to believe th.
22523, may remove the vehicle 1
Notwithstanding Section 22710 or any other provision of law, the department shall, at the request of
(b) - - - Any person perforn
a local authority, administer on behalf of the local authority its abandoned vehicle abatement and
Section 22710, may remove a vel
removal program established pursuant to Section 22660. For any program which the department
administers pursuant to this section, it shall be reimbursed from the Abandoned Vehicle Trust Fund
to subdivision (c) of Section 2265
officer, as that term is def
to
the extent to which it is not reimbursed by the local authority pursuant to Section 22666.
peace
of the Penal Code, - - - or otl
(Added by Stats.1976, c. 29, p. 47, § 6.)
vehicle is located that such vehi
Library References
(c) - - - A state, county, or
sheriff's department or a city
Automobiles c-363.
C.J.S.Motor Vehicles §§ 717, 744, 775.
section may do so only after he
the vehicle and its location to tl
nearest to the vehicle.
§ 22666. Regulations of highway patrol
(Formerly § 22702, added by SU
Whenever the department is administering a program pursuant to Section 22665, it shall by
§ G 111
Stat9,
regulation establish procedures for the abatement and removal of vehicles that are identical to the
c. 1,
Stats.1969, c
11 , 2; a
1174, §
l
requirements specified in Section 22661, except that the department shall provide by agreement with
r 2; S
§ 4, operative May 3,1972;
the requesting local authority for the conduct of a public hearing pursuant to subdivision (d) of
§ 18; c. 49, p.
p.
Section 22661 by the local authority and for the reimbursement of the department for its costs of
Stats138,
c. 83 , p.
c. 831, §
administration and removal which the local authority is authorized to recover from the property owner
and amen
Renumbered § 6 and e
Renumbered
pursuant to Section 22660. Such regulations shall also provide for the administration of the
, eff.
§ 38.2, urgency, eff. Sept 30, 1
regulations by regularly salaried, full-time personnel of the department, except that the removal of
1971 Amendments. Inserted sub
vehicles or parts thereof from property may be done by any other duly authorized person. Any such
redesignated former subds. (e) and 1
person may enter upon private property for the purposes specified in the regulations to examine a
subds. (g) and (h).
vehicle or parts thereof, obtain information as to the identity of a vehicle, and remove or cause the
removal of a vehicle or part thereof declared to be a nuisance pursuant to the regulations.
Section 9 of Stats.1971, c. 1694.
The provisions of Sections 22662 and 22664 shall also apply to any vehicle removed by the
"It is the intent of the I,egislau
Senate Bill No. 148 (Stats.1971. c. I
department
chaptered and amend Section 2702
(Added by Stats.1976, e. 29, p. 47, § 7.)
I%afterion 22702s
2 wasBill edhe and
148 art
Library References
22702 proposed by both bills he give
Automobiles 0-363.
rated in Section 22702 in the form s
C.J.S. Motor Vehicles § 717, 744, 775.
of this act. Therefore. Section 7 of
operative only if this bill and Sen:
both chaptered, both amend Swicm
§ 22667. Abatement and removal: priorities
Billhi
Sec No. 1of is acts all n ttxe or
Section.3 of this act +hall not becor
In establishing procedures for the abatement and removal of abandoned vehicles, the department
1973 Amendment. Substituted "st
loge" and -State Untsersity and
shall give priority to the removal of abandoned vehicles from corridors of the state highway system,
college" and "State Colleges", and;
from public lands and parks, and from river and wildlife areas.
(f). "Any person" for "Am employt
(Added by Stats.1976, c. 29, p. 47, § 8•)
of Public Works, or a person".
Subordination of amendment b)
other 1973 legislation affecting thr
Library References
effect on or before Jan. 1. 19'4.
Automobile, c-163
Util.0 ; 24801
C'.J,S. Muter %chicks y; 'I' '44. 7?S
1974 Amendment. Added subd. r
Underline indicates changes or additions by amendment
Asterisks indicate del,
��
�)
C7 La. Urn.--;
1
VEHICLE CODE
�0
VEHICLE CODE
u
§ 22669
vehicles removed pursuant to such
+of Section 11520; and any fees and
:Motor Vehicles are hereby waived,
coition of the vehicle is retained in the
A
the department shall, at the request of
'its abandoned vehicle abatement and
any program which the department
the Abandoned Vehicle Trust Fund to
pursuant to Section 22666.
rsuant to Section 22665, it shall by
A of vehicles that are identical to the
:ment shall provide by agreement with
raring pursuant to subdivision (d) of
mt of the department for its costs of
.,ed to recover from the property owner
,ovide for the administration of the
-partment, except that the removal of
her duly authorized person. Any such
-ified in the regulations to examine a
of a vehicle, and remove or cause the
aisance pursuant to the regulations.
aply to any vehicle removed by the
of abandoned vehicles, the department
-orridors of the state highway system,
§ 22668. Abandoned Vehicle Trust Fund: prohibited disbursements
No local authority whose abandoned vehicle abatement and removal program is administered
pursuant to Section 22665 shall be eligible for any disbursement from the Abandoned Vehicle Trust
Fund pursuant to Section 22710.
(Added by Stats.1976, c. 29, p. 47, § 9.)
§ 22669. Removal of abandoned vehicles
(a) Any ' ' '
or any other employee of the state. county, o, r city designated by
e or the board of supervisors ' ' ' or city council to perform this
i which the officer or emDlovee is authorized to act who has
reasonable grounds to believe that the vehicle has been abandoned, as determined pursuant to Section
22523. may remove the vehicle from a highway or from public or private property.
(b) ' ' ' Any person performing a franchise or contract awarded pursuant to subdivision (a) of
Section 22710, may remove a vehicle from a highway or place to which it has been removed pursuant
to subdivision (c) of Section 22654 or from public or private property, after a determination by a ' ' '
of the Penal Code, ' ' ' or other designated employee of the state, county, or city in which such
vehicle is located that such vehicle is abandoned, as determined pursuant to Section 22523.
(c) ' ' ' A state. county, or city employee, other than ' ' ' mace officer or employee of a
sheriff's department or a city police department, designated to remove vehicles pursuant to this
section may do so only after he or she has mailed or personally delivered a written report identifying
the vehicle and its location to the office of the Department of the California Highway Patrol located
nearest to the vehicle.
(Formerly § 22702, added by Stats.1959, c. 3, p. 1703, § 22702. Amended by Stats.1960,1st Ex.Sess., c.
57, p. 406, § 6; Stats.1965, c. 1135, p. 2789, § 9; Stats.1967, c. 1055, p. 2662, § 2; Stats.1969, c. 547, p.
1174, § 2; Stats.1969, c. 1116, p. 2180, § 7; Stats.1970, c. 1431, p. 2775, § 2; Stats.1971, c. 130, p. 176,
§ 4, operative May 3, 1972; Stats.1971, c. 1624, p. 3499, § 7, operative May 3, 1972; Stats.1973, c. 78, p.
138, § 18; Stats.1973, c. 49, p. 81, § 2, urgency, eff. May 15, 1973; Stats.1974, c. 797, p. 1746, § 3;
Stats.1979, c. 831, p. 2883, § 4; Stats.1979, c. 909, p. 3131, § 5.5; Stats.1980, c. 1340, p. 4739, § 38.
Renumbered § 22669 and amended by Stats.1980, c. 1111, p. 3569, § 22; Stats.1980, c. 1340, p. 4739,
§ 38.2, urgency, eff. Sept. 30, 1980.)
1971 Amendments. Inserted subds. (c) and (f) and
redesignated former subds. (e) and (f) to be the present
subds. (g) and (h).
Section 9 of Stats.1971, c. 1694. p. 3633. provided:
It is the intent of the Legislature, if this bill and
Senate Bill No. 148 [Stats.1971. c. 130. p. 1781 are both
chaptered and amend Section 2702 of the Vehicle Code
Isection 22702 was so amen dedl, and this bill is chaptered
after Senate Bill No. 148. that the amendments to Section
22702 proposed by both bills be given effect and incorpo-
rated in Section 22702 in the form set forth in Section 7
of this act. Therefore. Section 7 of this act shall become
operative only if this bill and Senate Bill No. 148 are
both chaptered, both amend Section 22702. and Senate
Bill No. 148 is chaptered before this bill, in which case
Section 3 of this act shall not become operative."
1973 Amendment. Substituted "state university or col-
lege" and "State University and Colleges" for "state
college" and "State Colleges"; and substituted, in subd.
(f). "Any person" for "Any employee of the Department
of Public Works, or a person".
Subordination of amendment by Stats.1973, c. 78. to
other 1973 legislation affecting this section and taking
effect on or before Jan. 1. 1974. see note under Pub.
Util.C. § 24801.
1974 Amendment. Added subd. (i).
1979 Amendment. Inserted "or a qualified person
deputized or appointed by the proper authority. as a
reserve deputy sheriff or city policeman as provided by
Section 830.6 of the Penal Code" in subd. (a). inserted
"or a qualified person deputized or appointed by proper
authority as a reserve deputy sherifr' and "or a qualified
person deputized or appointed by proper authority as a
city policeman as provided by Section 830.6 of the Penal
Code" in subd. (f) redesignated former subds. (g) to (i) to
be sutxts. (i). 0) and (g) respectively: and added subd.
(h).
Amendment of this section by § 4.5 of Stats.1979, e.
831. p. 2884. and by § 5 of Stats.1979, c. 909. p. 3130.
failed to become operative under the provisions of § 9 of
Stats.1979. c. 831 and § to of Stats.1979. c. 909.
1980 Amendments. Renumbered the section; and re-
wrote the section which previously read:
"(a) Any member of the California Highway Patrol or
any regularly employed and salaried deputy sheriff or
other employee of the county designated to perform this
function by the board of supervisors in which a vehicle is
located or any regularly employed and salaried police
officer or other employee of the city designated to per-
form this function by the city council. or a qualified
person deputized or appointed by the proper authority as
a reserve deputy sheriff or city policeman as provided by
Section 830.6 of the Penal Code. in which a vehicle is
located who has reasonable grounds to believe that the
-ranges or additions by amendment I Asterisks " " ` indicate deletions by amendment
67 Cal 19 2 P P 27
§ 22669
VEHICLE CODE
vehicle has been abandoned. may remove the vehicle
from a highway or from public or private property.
"(b) Anv member of the California State Police who
has reasonable ground% to believe that a vehicle has been
abandoned upon property owned by the state, or rental
or leased from others by the state, or property of a
district agricultural association as to which the California
State Police is providing policing services. may remove
the vehicle from such property.
"(c) Any regularly employed and salaried officer or
other employee of the University of California Police
Department who has reasonable grounds to believe that a
vehicle has been abandoned on or about a campus or in
or about other grounds or properties owned, operated.
controlled, or administered by the Regents of the Univer-
sity of California may remove the vehicle from such
property.
"(d) Any policeman appointed or employed by the
board of directors of a regional park district who has
reasonable grounds to believe that a vehicle has been
abandoned upon property owned by the regional park
district or rented or leased from others by the regional
park district, may remove the vehicle from such property.
"(e) Any regularly employed and salaried officer or
other employee of a California state university or college
police department who has reasonable grounds to believe
that a vehicle has been abandoned on or about a campus
or in or about other grounds or properties owned. operat-
ed, controlled. or administered by the Trustees of the
California State University and Colleges, may remove
the vehicle from such property.
"(f) Any person performing a franchise or contract
awarded pursuant to subdivision (a) of Section 22710,
may remove a vehicle from a highway or place to which
it has been removed pursuant to subdivision (c) of Sec-
tion 22654 or from public or private property. after a
determination by a member of the California Highway
Patrol or any"regularly employed and salaried deputy or
other employee of the sheriffs office, or a qualified
person deputized or appointed by proper authority as a
reserve deputy %henff. of a county in which rush vehicle
is located or any regularly employed and alaried officer
or other employee, or a qualified person deputized or
appointed by proper authority as a city policeman as
provided by Section 830.6 of the Penal Code. of a police
department in a city in which such vehicle is located that
such vehicle is abandoned.
"(g) Any regularly employed and salaried officer of a
transit district security force who has reasonable grounds
to believe that a vehicle has been abandoned on property
owned by the transit district or rented or leased from
others by the transit district, may remove the vehicle
from such property.
"(h) Any peace officer appointed or employed by the
Department of Parks and Recreation who has reasonable
grounds to believe that a vehicle has been abandoned on
or about property owned. operated. controlled, or admin-
istered by the Department of Parks and Recreation. may
remove the vehicle from such property.
"(i) The public agency employing the officer shall
make an appraisal of any such vehicle either prior to or
within five days after removal.
-0) A county or city employee, other than an employ-
ee of a sheriffs department or a city police department.
designated to remove vehicles pursuant to this section
may do so only after he has mailed or personally deliv-
ered a written report identifying the vehicle and its
location to the office of the Department of the California
Highway Patrol located nearest to the vehicle."
Cross References
Effect of amendment of section by two or more acts at
the same session of the legislature. see Government Code
a 9605.
Law Review Commentaries
Automobile searches ---Constitutional limitations there-
on. Anthony Murray and Robert E. Aitken. (1970) 3
Loyola L.Rev. (Calif.) 95.
For basic development of Notes of Decision, see § 22702, in Main Volume.
Supplementary Index to 'rotes
Persons permitted to remove 3
Reimbursement 2
2. Reimbursement
Section 22710. subd. (b), does permit the department of
the California highway patrol to remove abandoned vehi-
cles from private and public property (excluding high-
ways), under authority of subd (a), of this section, dis-
pose of them under § 22705. providing the vehicles are
valued at S200 or less. and still entitled the department to
reimbursement. under ; 22660. from the abandoned Ve-
hicle Trust Fund created by § 9250.7. 56 Ops.Atty.Gem
492, 11-23-73.
3. Persons permitted to remove
Under this section. civilian employees of the Depart-
ment of the California highway patrol may not be used to
remove abandoned vehicles. 56 Ops.Aity.Gen. 492. 11-
23-73.
§ 22670. Determination of estimated value of vehicle
For lien sale purposes, the public agency causing the removal of the vehicle shall determine if the
ollars
($100) estvalue of imated
over the vehicle that has been one hundred dollars $100 bured t three hu removed
towed,
d d llarss( 00) or less,ed is one
or o erthree
hundred dollars ($300).
(Added by Stats.1980, c. 1111, p. 3568, § 18.)
§ 22671. Local franchise or contract for removal
A local authority may either issue a franchise or execute a contract for the removal of abandoned
vehicles in accordance with the provisions of this chapter.
(Formerly § 22706, added by Stats.1967, c. 1055, p. 2663, § 4. Renumbered § 22671 and amended by
Stats.1980, c. 1111, p. 3570, § 26.)
Underline indicates changes or additions by amendment
28
%=,a4FF
REP(A.T ^:_:1
Eb
C R A ITEM ( j COUNCIL ITEM ( x)
AGENDA ITEM No.
SUBJECT: Sign Ordinance
MEETING DATE: November 3, 1983
Sometime ago the City Council directed the staff to discuss with the
Planning Commission the problems that have periodically occurred with the
existing sign ordinance. This matter was discussed on several occasions
at the Planning Commission and the Planning Commission hoped to receive
some input from the Chamber of Commerce.
The Chamber never did take an official position on this matter. However,,
through Commissioner McDowell, the Planning Commission was advised that
the Chamber of Commerce generally g
long
discussions at the P1anningCommissionj the tPlanningdCommissionfisrrecom-
mending that the City Council consider the following actions:
1. That the Sign ordinance remain unchanged.
2. That applications for variances should be considered on an individual
basis.
3. That the fees associated with these variances be lowered.
Staff recommends that the City Council:
GIVE DIRECTION TO THE STAFF WITH RESPECT TO THE RECOMMENDATION OF THE
PLANNING COMMISSION.
JK/lbk