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Home My WebLink About24378 RESOLUTION NO. 24378 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF PALM SPRINGS, CALIFORNIA, AUTHORIZING A REDUCTION OF SECURITIES GUARANTEEING COMPLETION OF CERTAIN WORKS OF IMPROVEMENT ASSOCIATED WITH TRACT MAP 31848-1 REQUIRED BY THE SUBDIVISION IMPROVEMENT AGREEMENT WITH AVALON 1150, LLC, A DELAWARE LIMITED LIABILITY COMPANY FOR PROPERTY LOCATED ALONG THE NORTH SIDE OF SAN RAFAEL DRIVE, EAST OF NORTH INDIAN CANYON DRIVE, SOUTH OF WHITEWATER RIVER AND WEST OF SUNRISE WAY, IN SECTION 35, TOWNSHIP 3 SOUTH, RANGE 4 EAST. A5393. WHEREAS, the Planning Commission of the City of Palm Springs, at its meeting of April 7, 2004, recommended approval of Tentative Tract Map 31848-1, subject to conditions; and WHEREAS, the City Council of the City of Palm Springs, (hereinafter the "City"), at its meeting of May 5, 2004, approved Tentative Tract Map 31848-1 subject to conditions; and WHEREAS, the City Council of the City of Palm Springs, (hereinafter the "City"), at its meeting of December 6, 2006, adopted Resolution No. 21778, approving Tract Map 31848-1 and a related Subdivision Improvement Agreement, (Agreement No. 5393), with SunCal PSV, LLC, a Delaware limited liability company, ("SunCal"), in accordance with Section 66462 of the California Government Code; and WHEREAS, on February 3, 2016, the City Council approved a Second Amendment to and Assignment and Assumption of Subdivision Improvement Agreement, (Agreement No. 5393), assigning all rights and obligations from SunCal to Avalon 1150, LLC, a Delaware Limited Liability Company, (hereinafter the "Developer"); and WHEREAS, in accordance with Section 4.1 of the Subdivision Improvement Agreement, the Developer was required to submit subdivision improvement securities in the amount of $17,385,000 to guarantee construction of certain public improvements required for and associated with Tract Map 31848-1, (the "Works of Improvement'); and WHEREAS, the Developer has filed with the City Clerk certain Security Instruments in the form of performance bonds in the aggregate amount of $17,385,000, labor and materials (payment) bonds in the aggregate amount of $8,692,512, maintenance and warranty bonds in the aggregate amount of $2,6.07;750, and a monumentation bond in the amount of $60,000 in accordance with the Subdivision Improvement Agreement; and Resolution No. 24378 Page 2 WHEREAS, the Developer has completed significant portions of the required Works of Improvement, and has requested a reduction in the amount of the Security Instruments filed with the City Clerk; and WHEREAS, the City Engineer has examined the portions of the Works of Improvement completed to date, and has found them to be constructed in accordance with the Subdivision Improvement Agreement, and the associated plans and specifications; and WHEREAS, the City Engineer recommends that the City Council authorize the City. Clerk to accept Security Instruments in reduced amounts sufficient to guarantee construction of the remaining portions of the Works of. Improvement required by the Subdivision Improvement Agreement. NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF PALM SPRINGS DOES HEREBY RESOLVE AS FOLLOWS: SECTION 1. The recitals above are found to be true and correct and constitute the findings of the City Council made in support of this resolution. SECTION 2. The City Council hereby finds and determines that significant portions of the Works of Improvement have been constructed in accordance with the provisions of the Subdivision Improvement Agreement for Tract Map 31848-1, and the approved plans and specifications, and the City Council hereby agrees to authorize a reduction in the amount of the Security Instruments required by the Subdivision Improvement Agreement. SECTION 3. The City Council's authorization to reduce the amount of the Security Instruments required by the Subdivision Improvement Agreement for Tract Map 31848-1 shall not in any way supersede or relieve the Developer, or its successors and assigns, of its obligation to complete the Works of Improvement and obtain final acceptance from the City Council, or relieve the Developer of any other obligations required by the Subdivision Improvement Agreement, or the conditions of approval associated with Tentative Tract Map 31848. SECTION 4. The City Clerk is hereby authorized to accept replacement Security . instruments to guarantee completion of the Works of Improvement associated with Tract Map 31848-1 required by the Subdivision Improvement Agreement (A5393) in the reduced amounts identified on Attachment 1 of this Resolution. Resolution No. 24378 Page 3 ADOPTED THIS 21ST DAY OF FEBRUARY, 2018. David H. Ready, Esq., Ph.D. City Manager ATTEST: n ony J. jia, City Clerk � CERTIFICATION STATE OF CALIFORNIA ) COUNTY OF RIVERSIDE ) SS. CITY OF PALM SPRINGS ) I, Anthony J. Mejia, MMC, City Clerk of the City of Palm Springs, hereby certify that Resolution No. 24378 is a full, true and correct copy, and was duly adopted at a regular meeting of the City Council of the City of Palm Springs on February 21, 2018, by the following vote: AYES: Councilmembers Holstege, Kors, Middleton, Mayor Pro Tern Roberts, and Mayor Moon NOES: None ABSENT: None ABSTAIN: None IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of the City of Palm Springs, California, this 19 t"' day of Lyrgrc� 2oc.�3 thony J. e'ia IC City Clerk Resolution No. 24378 Page 4 ATTACHMENT 1 Security Bond Original Bond % Complete Reduction Reduced Bond AC Pavement Faithful Performance $ 4,070,000 75% $ 3,052,500 _$ 1,017,500 AC Labor and Material $ 2,035,000 75% $ 1,626,250 $ 508,750 AC Maintenance and Warranty $ 610,500 0% $ - $ 610,500 Curb, Gutter and Flatwork Faithful Performance $ 3,525,150 75% $ 2,643,863 $ 881,288 Curb, Gutter and Flatwork Labor and Material $ 1,762,575 75% $ 1,321,931 $ 440,644 Curb, Gutter and Flatwork Maintenance and Warranty $ 528,773 0% $ - $ 528,773 DWA-Domestic Water Faithful Performance $ 3,270,904 0% $ - $ . 3,270,904 DWA-Domestic Water Labor and Material $ 1,635,462 0% $ - $ 1,635,462 DWA-Domestic Water Maintenance and Warranty $ 490,636 0% $ - $ 490,636 Sanitary Sewer System Faithful Performance $ 3,112,700 75% $ 2,334,525 $ 778,176 Sanitary Sewer System Labor and Material $ 1,556,350 75% $ 1,167,263 $ 389,088 Sanitary Sewer System Maintenance and Warranty $ 466,905 0% $ - $ 466,905 Aggregate Base Faithful Performance $ 1,785,350 75% $ 1,339,013 $ 446,338 Aggregate Base Labor and Material $ 892,675 75% $ 669,506 $ 223,169 Aggregate Base Maintenance and Warranty $ 267,803 0% $ - $ 267,803 Off-site Landscaping and Traffic Faithful Performance $ 1,132,400 75% $ 849,300 $ 283,100 Off-site Landscaping and Traffic Labor and Material $ 566,200 75% $ 424,650 $ 141,550 Off-site Landscaping and Traffic Maintenance and Warranty $ 169,860 0% $ - $ 169,860 Storm Drain Faithful Performance $ 488,500 60% $ 293,100 $ 195,400 Storm Drain Labor and Material $ 244,250 60% $ 146,550 $ 97,700 Storm Drain Maintenance and Warranty $ 73,275 0% $ - $ 73,275 Obligation Security Faithful Performance $ 698,544 0% $ - $ 698,544 Setting of Monuments Faithful Performance $ 60,000 0% $ - $ 60,000 Total Bonds $ 29,443,811 $15,768,450 $ 13,675,361