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04812 - K HOVNANIANS FOUR SEASONS SUBDIVISION IMPROVEMENT TRACT 30054 5.0866 3600 N SUNRISE SAN RAFAEL BURNETT
Page 1 of 1 Kathie Hart From: Carol Templeton Sent: October 20, 2008 5A4 PM To: Kathie Hart Subject: RE: A4812 - Four Seasons Hi Kathie, If A4812 is for TM30054, the agreement can be closed out. If A4812 is not associated with TM30054, please tell me what map it is for. Thanks, Carol Templeton, Engineering Associate City of Palm Springs Engineering Division L1 Direct (760) 323-8253 Ext. 8741 Fax (760) 322-8360 or 322-5325 Carol.7:g mpJ(L palmsprings-ca.gov cc http://wll,gcode.us/codes/paNttasprjz�gs/vicw,php qt y \d CONFIDENTIALITY NOTICE—This e-mail transmission,and any documents,files Or previous a-mail messages attached to it may contain information that is confidential or legally privileged. If you are not the intended recipient,or a person responsible for delivering it to the Intended recipient,you are hereby notified that you must not read this transmission and that any disclosure,copying,printing,distribution or use of any of the information contained in or attached to this transmission is STRICTLY PROHIBITED. If you have received this transmission in error, please immediately notify the sender by telephone at(760)323-8253 X8741 or return e-mail and delete the original transmission and its attachments without reading or saving in any manner. From: Kathie Hart Sent: Monday, October 20, 2008 4:07 PM To: Carol Templeton Subject: A4812 - Four Seasons OK to close this agreement? eo_� Kathie Hart, CMC Chief Deputy City Clerk City of Palm Springs 3200 E. Tahqui tz Canyon Way Palm Springs, CA 92262 T (760) 323-8206 1 Z (760) 322-8332 @9 Kathie.Hort@PalmSprings-CA.gov 10/21/08 �All "�l� w: PALM \ O�,tl�•�' SA4 City of Palm Springs u r 4 1 Deparrment of Public Works and T.agineering 3200 E. 'lah uaz Canyon WaY " m Pal Springs,s Californi2 92262 \ C 9 Y q(/FO v1� Tcl (760) 323-825.3 • Pax (760) i22-8360 • Web wwwci.palm-springs ca us October 17, 2008 , © ear Lockton Insurance Brokers, Inc. -• o �. 19800 MacArthur Blvd., Suite 550 Irvine, CA 92612 Attn: Paris Shahabi, Account Administrator — Re: Tract Map 30054, "Four Seasons" Please consider this letter as the City of Palm Springs' notice that the obligations of the Subdivision Improvement Agreement between the City of Palm Springs and K. Hovnanian's Four Seasons at Palm Springs, LLC, related to Tract Map 30054, have been fully satisfied. The following subdivision securities required by the agreement may now be released: Faithful Performance Bond; Bond No. SU5003353 $ 0,00 • Labor and Materials Bond; Bond No. SU5003353 $ 0.00 Maintenance & Warranty Bond; Bond No. SU5003354; $ 0.00 If you have any questions, I can be reached at (760) 323-8253, extension 8741. Sincerely, Q e Carol Templeton Engineering Associate cc: Parris Shahabi, Lockton Insurance Brokers, Inc. -via facsimile:(949)252-4410;Aaron Hardy, K. Hovnanian's Four Seasons at Palm Springs, LLC -via email;James Thompson, City Clerk; TM30054 file Posy Office Box 2743 1 Palm Springs, California 92263-2743 CBG�l nY y�eai-.d :;Ps'41NG� DOC " 2004-0033113 3 ?(27n13 01/16/2004 08:00A Fee:NC F°kLM SPRINGS,GP,W63 RecordedPineOfficial Records County of Riverside Gary L. Orso (I(I Assessor, County Clerk 6 Recorder IIIIII IIIIII IIIII IIIIII III IIIII Illiill III IIIII IIII IIII M $ U PAGE SIZE DA POOR NOCOR SMF MISC S� Oi I Jii S R L COPY LONG REFUND NGNG EM SUBUIVISIONIMPROVEMENT AGREEMENT r-' by and between K. Hovnanians Four Seasons Subdivision Improvement CITY OF PALM SPRINGS AGREEMENT #4812 R20806, 12-17-03 and -- - - -- - - -K. HOVNANIAN'S FOUR SEASONS AT PALM SPRINGS, LLC A CALIFORNIA LIMITED LIABILITY COMPANY �4Rn q�2�nl�� J u� ea�.7,�f�L�.�.hU����� TABLE OF CONTENTS 1 .Construction Obligations........................................................... 1 1.1 Works of Improvement........................................... 1 1.2 Other Obligations Referenced in Conditions of Tentative Map Approval......................................... 2 1.3 Intent of Plans........................................................ 2 1.4 Survey Monuments................................................ 2 1.5 Performance of Work.............................................. 2 1.6 Changes in the Work.............................................. 2 1.7 Defective Work....................................................... 3 1.8 No Warranty by City............................................... 3 1.9 Authority of the City Engineer................................ 3 1.10 Documents Available at the Site............................ 3 1.11 Inspection............................................................... 3 1.12 Compliance with Law............................................. 3 1.13 Suspension of Work............................................... 3 1.14 Final Acceptance of Works of Improvement........... 4 2. Time for Performance....................................................... 4 2.1 Commencement and Completion Dates,................ 4 2.2 Phasing Requirements,........................... ............... 4 2.3 Force Majeure......................................................... 5 2.4 Continuous Work.................................................... 5 2.5 Reversion to Acreage.............................................. 5 2.6 Time of the Essence................................................ 5 3. Labor................................................................................. 5 3.1 Labor Standards...................................................... 5 3.2 Nondiscrimination................................................... 5 3.3 Licensed Contractors.............................................. 5 3.4 Workers' Compensation.......................................... 6 4. Security............................................................................. 6 4.1 Required Security.................................................... 6 4.2 Form of Security Instruments.................................. 6 4.3 Subdivider's Liability................................................ 7 4.4 Letters of Credit....................................................... 7 4.5 Release of Security Instruments.............................. 8 5. Cost of Construction and Provision of Inspection Service............................................................................... 8 5.1 Subdivider Responsible for All Related Costs of Construction............................................................ 8 5.2 Payment to City for Cost of Related Inspection i and Engineering Services........................................ 8 6. Acceptance of Offers of Dedication................................... 9 7. Warranty of Work.............................................................. 9 8. Default............................................................................... 9 8.1 Remedies Not Exclusive.......................................... 9 8.2 City Right to Perform Work...................................... 9 8.3 Attorney's Fees and Costs....................................... 9 9. Indemnity.......................................................................... 10 10 General Provisions............................................................. 10 10.1 Successors and Assigns......................................... 10 10.2 No Third Party Beneficiaries.................................... 10 10.3 Entire Agreement; Waivers and Amendments....... 10 11 . Corporate Authority........................................................... 10 ii SUBDIVISION IMPROVEMENT AGREEMENT THIS SUBDIVISION IMPROVEMENT AGREEMENT (this "Agreement") is entered into this %"' day of Decew 08 , 2003, by and between the CITY OF PALM SPRINGS, a municipal corporation of the State of California ("CITY"), and K. Hovnanian's Four Seasons at Palm Springs, LLC, a California Limited Liability Company ("Subdivider"). RECITALS A. Subdivider is the owner of, and has obtained approval of a subdivision map for Tract No. 30054 in the City of Palm Springs, County of Riverside, State of California (the "Property"). The map contains conditions of approval for the development of the Property (the "Conditions"). B. Pursuantto the Conditions, Subdivider, bythe Map, has offered dedication to the City of Palm Springs for C. Subdivider has delivered to City and City has approved plans and specifications and related documents for certain "Works of Improvement" (as hereinafter defined) which are required to be constructed and installed in order to accommodate the development of the Property. D. Subdivider's agreement to construct and install the Works of Improvement pursuant to this Agreement and its offer of dedication of the streets, easements and other improvements and facilities, as shown on the Map, are a material consideration to City in approving the final map for the Property and permitting development of the Property to proceed. COVENANTS Based upon the foregoing Recitals which are incorporated herein by reference and in consideration of City's approving the Map for the Property and permitting development of the Property to proceed, Subdivider agrees to timely perform all of its obligations as set forth herein. 1 1. Construction Obligations. 1.1 Works of Improvement. Subdivider agrees, at its sole cost and expense, to construct or install or cause to be constructed or installed the street, drainage, domestic water, sanitary sewer and other improvements (herein sometimes collectively referred to as the "Works of Improvement"), as the same may be supplemented and revised from time to time as set forth herein (said plans and specifications, together with all related documents, are referred to herein as the "Plans"). The estimated construction cost for the Works of Improvement is $5,900,000.00. 1.2 Other Obligations Referenced in Conditions of Tentative Map Approval. In addition to the foregoing, Subdivider shall satisfy all of the conditions of approval on the Tentative Map for the Property. The conditions of approval associated with the Tentative Map are included as Exhibit "A" attached hereto. 1.3 Intent of Plans. The intent of the Plans referenced in Section 1 .1 is to prescribe a complete work of improvement which Subdivider shall perform or cause to be performed in a manner acceptable to the City Engineer (or his/her designee) and in full compliance with all codes and the terms of this Agreement. Subdivider shall complete a functional or operable improvement or facility, even though the Plans may not specifically call out all items of work required for the contractor to complete its tasks, incidental appurtenances, materials, and the like. If any omissions are made or information necessary to carry out the full intent and meaning of the Plans, Subdivider or its contractor shall immediately notify its design engineer who will seek approval of the City Engineer for furnishing of detailed instructions. In the event of any doubt or question arising regarding the true meaning of any of the Plans, reference shall be made to the City Engineer whose decision thereon shall be final. Subdivider recognizes that the Plans consist of general drawings. All authorized alterations affecting the requirements and information given on the Plans shall be in writing and approved by the City Engineer. The Plans shall be supplemented by such working or shop drawings as are necessary to adequately control the work. Without the City Engineer's prior written approval, no change shall be made by Subdivider or Subdivider's contractor to any plan, specification, or working or shop drawing after it has been stamped as approved. 1.4 Survey Monuments. Before final approval of street improvements, Subdivider will place survey monument(s) as shown on the Map in accordance with the provisions of the State Subdivision Map Act and the Subdivision Ordinance of the City of Palm Springs. Subdivider shall provide security for such obligation as provided in Section 4.1(a)(iii) and, after setting the monument(s), Subdivider shall furnish the City Engineer of the City of Palm Springs written notice of the setting of said monument(s) and written proof of having paid the engineer or surveyor for the setting of said monument(s). 1.5 Performance of Work. Subdivider shall furnish or cause to be furnished all materials, labor, tools, equipment, utilities, transportation, and incidentals required to perform Subdivider's obligations under this Agreement. 1.6 Changes in the Work. The City Engineer, without invalidating this Agreement and without notification to any of the sureties or financial institutions referenced in 2 Paragraph 4, may order extra work or may make changes by altering or deleting any portion of the Works of Improvement as specified herein or as deemed necessary or desirable by the City Engineer as determined necessary to accomplish the purposes ofthis Agreement and to protect the public health, safety, or welfare. The City Engineer shall notify Subdivider or Subdivider's contractor in writing (by Correction Notice) at the time a determination has been made to require changes in the work. No field changes performed or proposed by Subdivider or its contractor shall be binding on City unless approved in writing by the City Engineer. 1.7 Defective Work. Subdivider shall cause its contractor to repair, reconstruct, replace, or otherwise make acceptable any work found by the City Engineer to be defective. 1.8 No Warranty by City. The Plans for the Works of Improvement have been prepared by or on behalf of Subdivider or its consultants or contractors, and City makes no representation or warranty, express or implied, to Subdivider or to any other person regarding the adequacy of the Plans or related documents. 1.9 Authority of the City Engineer. In addition to the authority granted to the City Engineer elsewhere in this Agreement, the City Engineer shall have the authority to decide all questions which may arise as to the quality and acceptability of materials furnished and work performed, and all questions as to the satisfactory and acceptable fulfillment of the terms of this Agreement by Subdivider and Subdivider's contractor. 1.10 Documents Available at the Site. Subdivider shall cause its contractor to keep a copy of all approved Plans at the job site and shall give access thereto to the City's inspectors and engineers at all times. 1.11 Inspection. Subdivider shall have an authorized representative on the job site at all times during which work is being done who has full authority to act for Subdivider, or its design engineer, and Subdivider's contractor(s) regarding the Works of Improvement. Subdivider shall cause its contractor to furnish the City with every reasonable facility for ascertaining whether or not the Works of Improvement as performed are in accordance with the requirements and intent of this Agreement, including the Plans. If the City inspector requests it, the contractor at any time before acceptance of the Works of Improvement shall remove or uncover such portions of the finished work as may be directed which have not previously been inspected. After examination, the contractor shall restore said portions of the work to the standards required hereunder. Inspection or supervision by the City shall not be considered as direct control of the individual workmen on the job site. City's inspector shall have the authority to stop any and all work not in accordance with the requirements contained or referenced in this Agreement. The inspection of the work by City shall not relieve Subdivider or the contractor of any obligations to fulfill this Agreement as herein provided, and unsuitable materials or work may be rejected notwithstanding that such materials or work may have been previously overlooked or accepted. 1.12 Compliance With Law. In addition to the express provisions of this Agreement and the Plans, Subdivider shall cause construction of the Works of 3 Improvement to be completed in accordance with all other applicable federal, state, and local laws, ordinances, rules and regulations. 1.13 Suspension of Work. City Engineer shall have authority to order suspension of the work for failure of the contractor to comply with law pursuant to Section 1.11. In case of suspension of work for any cause whatever, Subdivider and its contractor shall be responsible for all materials and shall store them properly if necessary and shall provide suitable drainage and erect temporary structures where necessary. 1.14 Final Acceptance of Works of Improvement. After Subdivider's contractor has completed all of the Works of Improvement, Subdivider shall then request a final inspection of the work. It items are found by the inspector to be incomplete or not in compliance with this Agreement or any of the requirements contained or referenced herein, City will inform the contractor of such items. After the contractor has completed these items, the procedure shall then be the same as specified above for the contractor's initial request for final inspection. If items are found by City's inspector to be incomplete or not in compliance after two (2) "final" inspections, City may require the contractor, as a condition to performing further field inspections, to submit in writing a detailed statement of the work performed subsequent to the date of the previous inspection which was found to be incomplete or not in compliance at that time. No inspection or acceptance pertaining to specific parts of the Works of Improvement shall be construed as final acceptance of any part until the overall final acceptance by City is made. Final acceptance shall not constitute a waiver by City of defective work subsequently discovered. The date on which the Works of Improvement will be considered as complete shall be the date of the Notice of Acceptance. 2. Time for Performance. 2.1 Commencement and Completion Dates. Subject to Section 2.2 and 2.3 below, Subdivider shall (i) commence with construction and installation of the Works of Improvement thirty (30) days following City's approval of the Plans ("Commencement Date"); and (ii) complete or cause to be completed all of the Works of Improvement two 2 years after the Commencement Date. Extensions of time for completion of the Works of Improvement may be granted upon approval by the City Engineer or his designee. Extension of time may be granted upon mutual agreement of the City Engineer and Subdivider, either verbally or in writing, as required by the City Engineer or his designee. 2.2 Phasing Requirements. Notwithstanding the provisions of Section 2.1, City reserves the right to control and regulate the phasing of completion of specific Works of Improvement as required to comply with applicable City ordinances, regulations, and rules relating to the timely provision of public services and facilities. In addition to whatever other remedies City may have for Subdivider's failure to satisfy such phasing requirements, as the same now exist or may be amended from time to time. Subdivider acknowledges City's right to withhold the issuance of further building permits on the Property until such phasing requirements are satisfied. Prior to issuance of building permits, Subdivider shall provide satisfactory evidence that all applicable requirements that are a condition to issuance of building permits have been satisfied. Such requirements may include the payment of fees, 4 construction of improvements, or both. Final inspections or issuance of Certificates of Occupancy may be withheld from the Subdivider by the City, if, upon a determination by the City Engineer or his designee, completion of specific Works of Improvements or other requirements associated with the development of the Property have not been completed to his satisfaction. 2.3 Force Maieure. Notwithstanding the provisions of Section 2.1, Subdivider's time for commencement and completion of the Works of Improvement shall be extended for the period of any enforced delay caused due to circumstances beyond the control and without the fault of Subdivider, including to the extent applicable adverse weather conditions, flood, earthquakes, strikers, lockouts, acts or failures to act of a public agency (including City), required changes to the Scope of Work required by City, and similar causes; provided, however, that the period of any enforced delay hereunder shall not include any period longer than five (5) days prior to City's receipt of a written notice from Subdivider or its Contractor detailing the grounds for Subdivider's claim to a rightto extend its time for performance hereunder. City Engineer shall evaluate all claims to Force Majeure and his decision shall be final. 2.4 Continuous Work. After commencement of construction of the Works of Improvement (or separate portion thereof), Subdivider shall cause such work to be diligently pursued to completion, and shall not abandon the work for a consecutive period or more than thirty (30) days, events of Force Majeure excepted. 2.5 Reversion to Acreage. In addition to whatever other rights City may have due to Subdivider's failure to timely perform its obligations hereunder, Subdivider recognizes that City reserves the right to revert the Property to acreage subject to the limitations and requirements set forth in California Government Code Sections 66499.11-66499.20-3/4. In this regard, Subdivider agrees that if the Works of Improvement have not been completed on or before the later of two (2) years from the date of this Agreement or within the time allowed herein, whichever is the later, and if City thereafter initiates proceedings to revert the Property to acreage, pursuant to Government Code Section 66499.16 Subdivider hereby consents to reversion and agrees that any improvements made by or on behalf of Subdivider shall not be considered in determining City's authority to revert the Property to acreage. 2.6 Time of the Essence. Time is of the essence of Subdivider's performance of all of its obligations under this Agreement, 3. Labor. 3.1 Labor Standards. Subdivider shall be responsible for causing all contractors and subcontractors performing any of the Works of Improvement to comply with all applicable federal and state labor standards, including to the extent applicable the prevailing wage requirements promulgated by the Director of Industrial Relations of the State of California Department of Labor. 3.2 Nondiscrimination. Subdivider agrees that no contractor or subcontractor performing any of the Works of Improvement shall discriminate against any employee or prospective employee with respect to such work in hiring, promotion, seniority, or any other 5 terms and conditions of employment on the grounds of race, creed, color, national origin, ancestry, religion, sex, or marital status. 3.3 Licensed Contractors. Subdivider shall cause all of the Works of Improvement to be constructed by contractors and subcontractors with valid California Contractors' licenses for the type of work being performed. 3.4 Worker's Compensation. Subdivider shall cause every contractor and subcontractor performing any of the Works of Improvement to carry Workers' Compensation Insurance as required by the Labor Code of the State of California and shall cause each such contractor and subcontractor to submit to City a Certificate of Insurance verifying such coverage prior to such contractor or subcontractor entering onto the job site. 4. Security. 4.1 Required Security. (a) At the time Subdivider executes this Agreement, Subdivider shall furnish to City the following bonds, letters of credit, instruments of credit (assignment of deposit account) or other security acceptable to City in its sole and absolute discretion and satisfying the requirements of the applicable provisions of this Section 4 below(hereinafter "Security Instruments"): (i) A Security Instrument securing Subdivider's faithful performance of all of the Works of Improvement ("Faithful Performance Security Instrument"), in the amount of $5,900,000.00 equal to 100% of the estimated construction cost referenced in Section 1.1. (ii) A Security Instrument guaranteeing the payment to contractors, subcontractors, and other persons furnishing labor, materials, and/or equipment ("Labor and Materials Security Instrument") with respect to the Works of Improvement in an amount equal to $2,950,000.00 equal to 50% of the estimated construction cost referenced in Section 1 .1. (iii) A Security Instrument guaranteeing the payment of the cost of setting monuments as required in Section 1.4 in the amount of $80,000.00 equal to 100% of the cost thereof. This Agreement shall not be effective for any purpose until such Security Instruments are supplied to and approved by City in accordance herewith. (b) Required Security Instrument for Maintenance and Warranty. Prior to the City Council's acceptance of the Works of Improvement and recordation of a Notice of Completion, Subdivider shall deliver a Security Instrument warranting the work accepted for a period of one (1) year following said acceptance ("Maintenance and Warranty Security Instrument"), in the amount of$885,000.00 equal to 15% of the estimated construction cost set forth in Section 1.1 or a suitable amount determined by the City Engineer. 4.2 Form of Security Instruments. All Security Instruments shall be in the amounts required under Section 4.1 (a) or 4.1(b), as applicable, shall meet the following minimum requirements and otherwise shall be in a form provided by City or otherwise approved by the City Attorney: 6 (a) Bonds. For Security Instruments provided in the form of bonds, any such bond must be issued and executed by an insurance company or bank authorized to transact surety business in the State of California. Any insurance company acting as surety shall have a minimum rating of A-IX, as rated by the current edition of Best's Key Rating Guide published by A.M. Best's Company, Oldwick, New Jersey, 08858, Any bank acting as surety shall have a minimum rating of AA, as rated by Moody's or Standard & Poor's. (b) Letters of Credit. For Security Instruments which are letters of credit, any letter of credit shall be an original separate unconditional, Irrevocable, negotiable and transferable commercial letter of credit issued by a financial institution with offices in the State of California acceptable to City. Any such letter of credit shall specifically permit City to draw on same by unilateral certification of the City Engineer of the City that Subdivider is in default under its payment or performance obligations hereunder or in the event Subdivider fails to deliver a replacement letter of credit not less than thirty(30)days priorto the date of expiration of any such letter of credit and shall further be subject to the provisions of Section 4.4. (c) Instrument of Credit. For Security Instruments which are Instruments of Credit, any Instrument of Credit shall be an assignment of deposit account assigning as security to City all of Subdivider's interest in funds on deposit in one or more bank accounts with financial institutions acceptable to City. (d) General Requirements for all Security Instruments. (i) Payments under any Security Instruments shall be required to be made (and, with respect to bonds, litigation shall be required to be instituted and maintained) in the City of Palm Springs, State of California (and the Security Instrument shall so provide). (ii) Each Security Instrument shall have a minimum term of one (1) year after the deadline for Subdivider's completing the Works of Improvement, in accordance with Section 2.1 (other than Instruments of Credit, which shall have no defined term or expiration date). (iii) Each Security Instrument shall provide that changes may be made in the Works of Improvement pursuant to the terms of this Agreement without notice to any issuer or surety and without affecting the obligations under such Security Instrument. 4.3 Subdivider's Liability. While no action of Subdivider shall be required in order for City to realize on its security under any Security Instrument, Subdivider agrees to cooperate with City to facilitate City's realization under any Security Instrument, and to take no action to prevent City from such realization of any Security Instrument. Notwithstanding the giving of any Security Instrument or the subsequent expiration of any Security Instrument or any failure by any surety or financial institution to perform its obligations with respect thereto, Subdivider shall be personally liable for performance underthis Agreement and for payment of the cost of the labor and materials for the improvements required to be constructed or installed hereby and shall, within ten (10) days after written demand therefor, deliver to City such substitute security as City shall require satisfying the requirements in this Section 4. 7 4.4 Letters of Credit. (a) In the event a letter of credit is given pursuant to Section 4.2(b), City shall be entitled to draw on any such letter of credit if a replacement letter of credit (expiring in not less than one (1) year, unless City agrees to a lesser term in City's sole and absolute discretion) is not delivered not less than thirty (30) days priorto the expiration of the original letter of credit, such substitute letter of credit being in the same amount and having the terms and conditions as the initial letter of credit delivered hereunder, issued by a financial institution acceptable to City as of the date of delivery of the replacement letter of credit. (b) In the event of draw by the City on a letter of credit, the City may elect, in its sole and absolute discretion, to apply any such funds drawn to the obligations secured by such letter of credit or to hold such funds in an account under the control of the City, with no interest accruing thereon for the benefit of the Subdivider. If the City elects to hold the funds in an account pursuant to the foregoing, City may thereafter at any time elect instead to apply such funds as provided in the foregoing. Subdivider agrees and hereby grants City a security interest in such account to the extent required for City to realize on its interests therein and agrees to execute and deliver to City any other documents requested by City in order to evidence the creation and perfection of City's security interest in such account. 4.5 Release of Security Instruments. (a) City shall release the Faithful Performance Security Instrument and Labor and Materials Security Instrument when all of the following have occurred: (i) Subdivider has made written request for release and provided evidence of satisfaction of all other requirements in this Section 4.5; (ii) the Works of Improvement have been accepted; (iii) Subdivider has delivered the Maintenance and Warranty Security Instrument; and (iv) subject to the following sentences after passage of the time within which lien claims are required to be made pursuant to Article 3 (commencing with Section 3114) of Chapter 2 of Title 15 of Part IV of Division 3 of the California Civil Code. If lien claims have been timely filed, City shall hold the Labor and Materials Security Instrument until such claims have been resolved, Subdivider has provided a statutory bond, or otherwise as required by applicable law. (b) City shall release the Maintenance and Warranty Security Instrument upon Subdivider's written request upon the expiration of the warranty period, provided no claims are outstanding at that time regarding defective work. 5. Cost of Construction and Provision of Inspection Service, 5.1 Subdivider Responsible for All Costs of Construction. Subdivider shall be responsible for payment of all costs incurred for construction and installation of the Works of Improvement. In the event Subdivider is entitled to reimbursement from City for any of the Works of Improvement, such reimbursement shall be subject to a separate 8 Reimbursement Agreement to be entered into between Subdivider and City prior to construction of the works. 5.2 Payment to City for Cost of Related Inspection and Engineering Services. Subdivider shall compensate City for all of City's costs reasonably incurred in having its authorized representative make the usual and customary inspections of the Works of Improvement. In addition, Subdivider shall compensate City for all design, plan check, evaluating any proposed or agreed-upon changes in the work. The procedures for deposit and payment of such fees shall be as established by the City Council. In no event shall Subdivider be entitled to additional inspections or a final inspection and acceptance of any of the Works of Improvement until all City fees and charges have been fully paid, including without limitation, charges for applicable penalties and additional required inspections. 6. Acceptance of Offers of Dedication. The City Council shall pass as appropriate resolution or resolutions accepting all offers of dedication shown on the Map for the Property, with acceptance to become effective upon completion and acceptance by City of the Works of Improvement. Such resolution(s) shall authorize the City Clerk to execute the Certificate made a part of the Map regarding said acceptance of the offer of dedication. 7. Warranty of Work. Subdivider shall guarantee all Works of Improvement against defective materials and workmanship for a period of one (1) year from the date of final acceptance. If any of the Works of Improvement should fail or prove defective within said one (1) year period due to any reason other than improper maintenance, or if any settlement of fill or backfill occurs, or should any portion of the Works of Improvement fail to fulfill any requirements of the Plans, Subdivider, within fifteen (15) days after written notice of such defects, or within such shorter time as may reasonably be determined by the City in the event of emergency, shall commence to repairor replace the same togetherwith any other work which may be damaged or displaced in so doing. Should Subdividerfail to remedy defective material and/or workmanship or make replacements or repairs within the period of time set forth above, City may make such repairs and replacements and the actual cost of the required labor and materials shall be chargeable to and payable by Subdivider. The warranty provided herein shall not be in lieu of, but shall be in addition to, any warranties or other obligations otherwise imposed by law. 8. Default. 8.1 Remedies Not Exclusive. In any case where this Agreement provides a specific remedy to City for a default by Subdivider hereunder, such remedy shall be in addition to, and not exclusive of, City's right to pursue any other administrative, legal, or equitable remedy to which it may by entitled. 8.2 City Right to Perform Work. In addition to whatever other rights or remedies it may have for Subdivider's default hereunder, in the event Subdivider shall fail to timely perform any work required to be performed under this Agreement and such failure shall continue for a period of twenty (20) days after receipt of written notice of default from City, or thereafter Subdivider shall fail to diligently and continuously pursue the cure of any such default to completion, City shall have the right to enter into the Property and perform any of the uncompleted work by force account or contract or both and thereupon recover from Subdivider or any Security Instrument, or both, the full cost and expense thereby incurred by City. 9 8.3 Attorney's Fees and Costs. In the event that Subdivider fails to perform any obligation underthis Agreement, Subdivider agrees to pay all costs and expenses incurred by City in securing performance of such obligations, including costs of suit and reasonable attorney's fees. In the event of any dispute arising out of Subdivider's performance of its obligations under this Agreement or under any of the Security Instruments referenced herein, the prevailing party in such action, in addition to any other relief which may be granted, shall be entitled to recover its reasonable attorney's fees and costs. Such attorney's fees and cost shall include fees and costs on any appeal, and in addition a party entitled to attorney's fees and costs shall be entitled to all other reasonable costs incurred in investigating such action, taking depositions and discovery, retaining expert witnesses, and all other necessary and related costs with respect to the litigation. All such fees and costs shall be deemed to have accrued on commencement of the action and shall be enforceable whether or not the action is prosecuted to judgment. 9. Indemnity. Subdivider agrees to indemnify, defend, and hold harmless City and City's officers, employees, and agents from and against any and all claims, liabilities, losses, damages, causes of action, and obligations arising out of Subdivider's failure to perform the construction and installation of the Works of Improvement in accordance with the requirements contained or referenced in this Agreement. Said indemnity obligation shall apply to personal injury, death, property damage, economic loss, and any other monetary damage or penalty to which City may be subjected, including without limitation, attorney's fees and costs and the costs of realizing on any Security Instrument provided by Subdivider pursuant to the terms hereof. Such indemnity obligation shall not extend to any loss resulting from City's sole negligence or wilful misconduct. 10. General Provisions. 10.1 Successors and Assigns. This Agreement shall be binding upon all successors and assigns to Subdivider's right, title, and interest in and to the Property and any portion thereof. 10.2 No Third Party Beneficiaries. This Agreement is intended to benefit only the parties hereto and their respective successors and assigns. Neither City nor Subdivider intend to create any third party beneficiary rights in this Agreement in any contractor, subcontractor, member of the general public, or other person or entity. 10.3 Entire Agreement; Waivers and Amendments. This Agreement integrates all of the terms and conditions mentioned herein, or incidental hereto, and supersedes all negotiations and previous agreements between the parties with respect to all or part of the subject matter hereof, except as may be expressly provided herein. All waivers of the provisions of this Agreement must be in writing and signed by an authorized representative of the party to be charged, and all amendments hereto must be in writing and signed by the appropriate representatives of both parties. 11 . Corporate Authority.The persons executing this Agreement on behalf of the parties hereto warrant the (1) such party is duly organized and existing, (ii) they are duly authorized to execute and deliver this Agreement on behalf of said party, (iii) by so executing this Agreement, such party is formally bound to the provisions of this Agreement, 10 and (iv) the entering into of this Agreement does not violate any provisions of any other Agreement to which said party is bound. IN WITNESS WHEREOF, the parties hereto have executed this Subdivision Improvement Agreement as of the date first above written, ATTEST: CITY OF PALM SPRINGS, CALIFORNIA Patricia A. Sanders, City Clerk David Ready, Cit roger J 2f��✓� RECOMMENDED y/B/L//-/Y��: J4 , A 1w, N City Engineer ., C?.�s[ :4 :, .. �, s.'d.. 1 .-02 SUBDIVIDER: °fir l K. Hovnanian's Four Seasons at Palm Springs, LLC, a California Limited Liability Company (Check JRGE dividual, _ partnership, X corporation) APPROVED BY THE CITY COUNCIL By: ature R20806 12-17-03 A4812 VICE PRESIDENT K.HOVNANIAN COMPANIES OF CALIFORNIA,INC. By: AUTHORIZED AGENT Name and Title Mailing Address: 2495 Campus Drive Irvine, CA 92612 11 ALL-PURPOSE ACKNOWLEDGMENT State of CaI(-I or I? I,-) CAPACITY CLAIMED BY SIGNER County of D(@r Vlq'e ❑ INDIVIDUAL(S) //}� pp > ❑ CORPORATE On_r D'i C CcCX)3 before me,(��I, 'aclP 7�IfJVI�'I�la Y� Date ��' //�� Name, Title of Officer OFFICER(S) personally appeared '.iJ(NQ& 9 111�c�( 7— TITLE(S) NAME(S) OF SIGNER(S) ❑ PARTNER(S) ❑ ATTORNEY-IN-FACT �3 personally known to me-OR - ❑ TRUSTEE(S) ❑ SUBSCRIBING WITNESS ❑ proved to me on the basis of satisfactory evidence to be the persons(,') whose ❑ GUARDIAN/CONSERVATOR name(y) is/are subscribed to the within instrument and acknowledged to me that ❑ OTHER he/sh@Ahey executed the same in his/herA#eif authorized caipacity(iesjk and that by his/herhherc signature(w)on the instrument the person(s)or the entity upon behalf of which the persons(M acted, executed the instrument. WCpess my'hand and/official seal. lh •Uvyl`-v`-'�Q �1J�L�L,L`�-�Xl '�l _ Signature of Notary T SIGNER IS REPRESENTING: CANDACE BLANCHARD _ Commission# 1395599 -� Notary Public-California Orange County My Comm.ExPlres Feb 19,2007 ATTENTION NOTARY: Although the information requested below is OPTIONAL, it could prevent fraudulent attachment of this certificate to unauthorized document. THIS CERTIFICATE Title or Type of Document MUST BE ATTACHED TO THE DOCUMENT Number of Pages DATE of DOCUMENT DESCRIBED AT RIGHT: Signer(s) Other Than Named Above . .� i .' I n CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT (� State of California Ii i�i7 __yy ss. )1 County of S y e V' s t' O e pj1 i Dec. 30 Q0o3 If; On before me,�jJ� �� d'l A• �ylC�('ID�S� O�Q i/ 9Ub�ir> Dale yy Nameena T,II¢el on,oer d g,-Jane Doe,Notary Pub it e) j personally appeared bq V l 4 H Ct A 1 1'a1-r t C.i 61 � Sot r.d I"S '�)I Name(e)of Signers) �Ji l>Cpersonally known to me It;' r p�_ t�s s—ef satfsf�ciery l << gvi44eaee Ii to be the persons whose name are l>> � e,5MRI'" =-J subscribed to the within instrument and r Zd �'` co ,dUDITN A NICi Wr fU - acknowledged to me that the executed �n "" COMM.7Ft?a^1786 I('I / ; ^.( y pit the same In /their authorized ,jI Netar Pt"ia-Califomia F.A9 IRKIISIDE COUNT'! c) capacity Ie and that by �HtsfMe the' j� ��, pflp CG rya• signatures on the instrument the perso d), or )i e f .day 29,200 the entity upon behalf of which the person( , Y acted, executed the instrument. )j ) ll WITNESS my hand and official seal. ) of Signature of Notary Pudl,o I C OPTIONAL Though the information below is not required by law,it may prove valuable to persons relying on the document and could prevent �>l l; fraudulent removal and reattachment of this form to another document. P')I s� l� Description of Attached Document _ ail r I TitleorTypeofDocument; suU 'Sio Ntekti rNlemepit )j S3 oil Document Date: Dec-. oQ n 3 Number of Pages: 4 <•� )q1 IC� �— {{ Signer(s) Other Than Named Above: V�O Y`Q k is In � C r h� .r1 P Q k- �So Sorry P%�1/QrCZ � > V. r of Capacity(ies) Claimed by Signer !G• H ov�C�r, r pan Co^fanie i -F 1 • )� ICI £i) c t; Signer's Name: Dow1 kA 'p,P6A (XV% QTri. r,4e .S- -•- �� ❑ Individual �p y loaermDrabr.re 3j (r 1% Corporate0fficer Title(s): l.�'�V AMnaa-er' d city C�Qr�� Jj o ❑ Partner—❑ Limited ❑General �t I(i ❑ Attorney-in-Fact :)I j( ❑ Trustee �( ❑ Guardian or Conservator lj " ❑ Other. IF (t; Signer Is Representing: �Z•��=-�s..�a✓i�`:v. ..._vw3�li='�:�„".,-..-1��'.—...�.._,..—,.�..—..,".5_`�=�.._4 �1`��`._�.:;..'�`✓s✓o-� 6�'(1�1 D 1999 Naronal Nou,Assooalmn-9350 De Solo Ave,PCDx2A32-Chalworlh,CA913132402•wwwnaAonalnolaryorg Prod No5907 Reordor Call Toll-Free 1800-876-6827 Under the provisions of Government Code 27361.7, I certify under the penalty of pequry that the notary seal on the document to which this statement is attached reads as follows: Name of Notary: Judith A. Nichols Commission#: 1261786 Place of Execution: State of California. County of Riverside. City of Palm Springs Date Commission Expires: May 21, 2004 Date: JG V\U x� a.oc N Signature: EXHIBIT "A" TENTATIVE TRACT MAP 30054 CONDITIONS OF APPROVAL EXHIBIT A CASE 5.0866-PD PRELIMINARY PLANNED DEVELOPMENT DISTRICT(PD 4 267) TENTATIVE TRACT MAP 30054 N.E. CORNER SUNRISE WAY AND SAN RAFAEL DRIVE. 3600 NORTH SUNRISE WAY THE BURNETT COMPANIES REVISED CONDITIONS OF APPROVAL January 15, 2003 Before final acceptance of the project, all conditions listed below shall be completed to the satisfaction of the City Engineer,the Director of Planning,the Chief of Police, the Fire Chief or their designee, depending an which department recommended the condition. Any agreements, easements or covenants required to be entered into shall be in a form approved by the City Attorney. PLANNING DEPARTMENT: 1. The proposed development of the premises shall conform to all applicable regulations of the Palm Springs Zoning Ordinance, Municipal Code, or any other City Codes, ordinances and resolutions which supplement the zoning district regulations. 1a. The owner shall defend, indemnify, and hold harmless the City of Palm Springs, its agents, officers, and employees from any claim, action, or proceeding against the City of Palm Springs or its agents, officers or employees to attach, set aside, void or annul, an approval of the City of Palm Springs, its legislative body, advisory agencies, or administrative officers concerning Case 5.0866-PD 267 and TTM 30054. The City of Palm Springs will promptly notify the applicant of any such claim, action, or proceeding against the City of Palm Springs and the applicant will either undertake defense of the matter and pay the City's associated legal costs orwill advance funds to pay for defense of the matter by the City Attorney. If the City of Palm Springs fails to promptly notify the applicant of any such claim, action or proceeding or fails to cooperate fully in the defense,the applicant shall not,thereafter,be responsible to defend,indemnify,or hold harmless the City of Palm Springs. Notwithstanding the foregoing,the City retains the right to settle or abandon the matter without the applicant's consent but should it do so, the City shall waive further indemnification hereunder, except, the City's decision to settle or abandon a matter following an adverse judgment or failure to appeal,shall not cause a waiver of the indemnification rights herein. 2. If,within two (2) years after the date of approval by the City Council of the preliminary development plan, the final development plan, as indicated in Section 94.03.00(I), has not been approved bythe planning commission,the procedures and actions which have taken place up to that time shall be null and void and the planned development district shall expire. Extensions of time may be allowed for good cause. 3. The final development plans shall be submitted in accordance with Section 9403.00 of the Zoning Ordinance. Final construction plans shall include site plans, building elevations, floor plans, roof plans,fence plans, entry plans, landscape plans, irrigation plans, exterior lighting plans, sign program, site cross sections, property development standards, street improvement plans and other such documents as required by the Planning Commission. Final construction plans shall be submitted within two years of the Planning Commission approval. 4. The applicant prior to issuance of building permits shall submit a draft declaration of covenants, conditions and restrictions ("CC&R's") to the Director of Planning and Building for approval in a form to be approved by the City Attorney,to be recorded prior to issuance of occupancy permits. The CC&R's shall be enforceable by the City, shall not be amended without City approval, shall require maintenance of all property in a good condition and in accordance with all ordinances.The applicant shall submit to the City of Palm Springs, a deposit in the amount of$5,000 for the review of the CC&R's by the City Attorney. 5. The project shall be developed in two phases. A. Phase 1 shall include completion of the specific requirements of the subdivision including all street improvements, and all off-site improvements. These improvement shall include improvements of Sunrise Way. B. Phase 2 shall include the residences and on site amenities, including tot lots, pools spas and other passive and active recreation areas. Phasing of amenities shall be concurrent with construction of adjacent residential units. Phase 2 includes site plans, roof plans, floor plans, exterior building elevations, landscape plans (front yards only), irrigation plans exterior lighting plans, etc., for all single family residences. 6. Final landscaping, irrigation,exterior lighting, and fencing plans for each phase shall be submitted for approval by the Department of Planning and Building prior to issuance of a building permit/construction permits. Landscape plans shall be approved by the Riverside County Agricultural Commissioner's Office prior to submittal. A substantial windbreak shall be provided in the rear yards along the northern and eastern project perimeters, using trees and shrubs. The windbreak shall be installed as residential phases are developed. 7. The project is subject to the City of Palm Springs Water Efficient Landscape Ordinance. The applicant shall submit an application for Final Landscape Document Package to the Director of Planning and Building for review and approval prior to the issuance of a building permit. Refer to Chapter 8.60 of the Municipal Code for specific requirements. 8. All proposed trees within the public right-of-way and within 10 feet of the public sidewalk and/or curb shall have City approved deep root barriers installed per City of Palm Springs Engineering specifications. 9. All roof mounted mechanical equipment shall be screened from all possible vantage points both existing and future per Section 9303.00 of the Zoning Ordinance. The screening shall be considered as an element of the overall design and must blend with the architectural design of the building(s). The exterior elevations and roof plans of the buildings shall indicate any fixtures or equipment to be located on the roof of the building, the equipment heights, and type of screening. Parapets shall be at least 6" above the equipment for the purpose of screening 10. No exterior down spouts shall be permitted on any facade on the proposed building(s) which are visible from adjacent streets or residential and commercial areas. 11. IThe design, height,texture and color of building(s),fences and walls shall be submitted for review and approval prior to issuance of building permits. 12. The street address numbering/lettering shall not exceed eight inches in height. 13. An exterior lighting plan in accordance with Zoning Ordinance Section 93.21.00, Outdoor Lighting Standards,shall be submitted for review and approval by the Director of Planning & Building prior to the issuance of building permits. Manufacturer's cut sheets of all exterior lighting shall be submitted to and approved by the Director of Planning and Building prior to issuance of a building permit. If lights are proposed to be mounted on buildings, down-lights shall be utilized. 14. The detention basins shall be fully landscaped and designed to provide passive recreation opportunities, to the extent possible. 15. Plans meeting City standards for approval on the proposed trash and recyclable materials enclosure shall be submitted prior to issuance of a building permit. For single family residences, cans must be located with 50'of the street. For the common areas, trash enclosures shall be required in each recreation area. 16. Details of pool fencing(materials and color)and equipment area shall be submitted with final landscape plan. 17. Handicapped accessibility shall be indicated on the site plan to include the location of handicapped parking spaces,the main entrance to the proposed pool structure and the path of travel to the main entrance. Consideration shall be given to potential difficulties with the handicapped accessibility to the building due to the future grading plans for the property. 18. Common areas pool use shall be prohibited between the hours of 10 pm to 7 am. 19. The maximum building height shall be 24'.A maximum of 25%of the units (70) may be two-story. 20. The windows of the second story units shall be oriented away from the living space of adjoining areas. 21. Two-story units shall be located a minimum of 200' from the existing adjacent R-1-C residences to the south. All two-story units shall be located so that they are not located on the southern or western perimeter of the planned development and are prohibited adjacent to Sunrise Way (lots #47-73), and adjacent to existing development to the south (lots #78-83, or with alternative entry plan lots#72-75 and 78). 22. The entry plan for both project entries shall be refined to provide adequate improvements and provide additional details as part of the Final Planned Development plans. 23. Front yards shall be fully landscaped priorto issuance of a certificate of occupancy.The developer shall be responsible for completed front yard landscape, irrigation and exterior lighting plans. In addition, rear and side yards shall be landscaped within 90 days of occupancy per the CC&R's. The HOA will be responsible for enforcement of this requirement. 24. The project shall incorporate decorative safety lighting at all Sunrise Way entries. 25. Entry gate areas shall have decorative safety lighting. 26. Project setbacks shall be as follows: Front yard setback- 5' for side entry garages and residence; 20' for front loaded garages; Side yard setback - 5'; and Rear yard setback- 15'. 27. The minimum house size shall be 1,650 square feet,with a mix of housing sizes up to 2,700 square feet. Larger residences may be permitted as long as the building footprint is consistent with setback and lot coverage requirements. 28. All proposed single family residences shall be submitted for Planning Commission approval, subject to Condition#3. A fee to $225 per typical model shall be paid upon submission of final development plans. 29. The maximum lot coverage shall be 45% of the net lot area. 30. Final wall plans shall be required as part of the Final Development Plans.All walls shall be decorative. Perimeter walls along Sunrise Way may be constructed on a berm a maximum of one foot(1') high and shall be six feet(6) in height. Walls along the north and east perimeter of the site with a maximum height of seven feet (T) shall be permitted. MITIGATION MEASURES 1 Cut and fill quantities will be balanced onsite. 2 Any construction equipment using direct internal combustion engines shall use a diesel fuel with a maximum of 0.05 percent sulfur and a four-degree retard. 3 Construction operations affecting offsite roadways shall be scheduled by implementing traffic hours and shall minimize obstruction of through-traffic lanes. 4 The use of energy efficient street lighting and parking lot lighting (high pressure sodium vapor lights) shall be considered onsite to reduce emissions at the power plant serving the site. 5 Remove sand and repair any damages to surrounding properties caused by sand and wind erosion. 6 Project grading shall be phased consistent with the development phases for the project. This grading requirement shall be verified by the City Building Official prior to the issuance of grading permits. 7 The project applicant shall pay its fair share financial contribution to implement a traffic signal at the intersection of San Rafael Drive and Sunrise Way. The fair share contribution shall be determined by the City Engineer. Payment of the required fees shall be made prior to issuance of grading permits, and shall be verified by the Director of Planning and Building. 8 The street improvement plans for the proposed project shall include appropriate markings in the east-west direction through the intersection of San Rafael Drive and Sunrise Way to provide additional guidance to drivers. Incorporation of these traffic mitigation features shall be verified by the City Engineer prior to approval of street improvement plans. 10 All construction vehicles or equipment, fixed or mobile, operated within 1,000 feet of a dwelling shall be equipped with properly operating and maintained mufflers. This requirement shall be shall be included on the contractor specifications and shall be verified by the Building Official. 11 Stockpiling and/or vehicle staging areas shall be located onsite and as far as practical from sensitive noise receptors, i.e., residential areas. This requirement shall be shall be included on the contractor specifications and shall be verified by the Building Official. 12. The proposed project includes the implementation of a landscape plan as conceptually depicted on Exhibit 5. The landscape concept includes drought-tolerant plants for landscaping and turf areas would be limited to areas to be used for active recreation. The final landscape plan shall be reviewed and approved by the Director of Planning and Building. BUILDING 1. Prior to any construction on-site, all appropriate permits must be secured. ENGINEERING The Engineering Division recommends that if this application is approved, such approval is subject to the following conditions being completed in compliance with City standards and ordinances: Before final acceptance of the project, all conditions listed below shall be completed to the satisfaction of the City Engineer, STREETS 1. Any improvements within the street right-of-way require a City of Palm Springs Encroachment Permit. Work shall be allowed according to Resolution 17950 - Restricting Street Work on Major and Secondary Thoroughfares. 2. Submit street improvement plans prepared by a Registered Civil Engineer to the Engineering Department. The plan(s) shall be approved by the City Engineer prior to issuance of any grading or building permits. Minimum submittal shall include the following, IF applicable: A. Copy of signed Conditions of Approval from Planning Department. B. All agreements and improvement plans approved by City Engineer, IF applicable. C. Proof of processing dedications of right-of-way, easements, encroachment agreements/licenses, covenants, reimbursement agreements,etc. required by these conditions. NORTH SUNRISE WAY 3. Dedicate an additional right-of-way of 10 feet to provide the ultimate half-street width of 50 feet from the southerly line of APN 669-480-007 to 669-470-Q13 along the entire frontage. 4. Dedicate an additional right-of-way of 50 feet to provide the ultimate half-street width of 50 feet adjacent to APN 669-470-012 along the entire frontage. 5. Dedicate a 20 feet wide easement for sidewalk and bikepath purposes along the entire project frontage. 6. Developer shall apply for the vacation of North Sunrise Way (80 feet wide) for that portion of North Sunrise Way right-of-way within the project. Developer shall be responsible for final resolution of all utilities, demolition of all existing improvements, reconstruction of affected intersecting streets and coordination of improvements with adjacent property owners, if applicable, for the street vacation. All agreements and improvement plans relative to the above mentioned items shall be approved by the City Engineer prior to the submittal of the street improvement plans. 7. The main entrance to the project shall match with the proposed entrance to Tentative Tract Map 30058 on the west side of North Sunrise Way. 8. Remove the existing curb and gutter, curb returns, spandrels, and cross-gutters along the entire project frontage. 9. Construct an 8 inch curb and gutter,43 feet east of centerline along the entire frontage, with 35 feet radius curb returns and spandrels on both sides of the Golden Sands Entry and "H" Street Main Entry in accordance with City of Palm Springs Standard Drawing No. 200 and 206. 10. Construct an 8 feet wide cross-gutter at the intersection of North Sunrise Way and the Golden Sands Entry and "H" Street Main Entry with a flow line parallel with and 43 feet east of the centerline of North Sunrise Way in accordance with City of Palm Springs Standard Drawing No. 200. 11. Construct a 10 feet wide meandering combination sidewalk and bicycle path along the entire project frontage. The construction shall be with colored Portland Cement concrete. The admixture shall be Palm Springs Tan, Desert Sand, or approved equal color by the Engineering Division. The concrete shall receive a broom finish. 12. Construct a Type A curb ramp meeting current California State Accessibility standards on both sides of the Golden Sands Entry and "H" Street Main Entry in accordance with City of Palm Springs Standard Drawing No. 212. 13. Construct a 14-feet wide landscaped, raised median island as specified by the City Engineer along the entire project frontage. Provide left turn pockets, as required, at all intersections. The length of the turn pockets shall be determined in accordance with Caltrans Highway Design Manual and be approved by the City Engineer. 14. Construct a minimum pavement section of 5 inch asphalt concrete pavement over 4 inch aggregate base with a minimum subgrade of 24 inches at 95% relative compaction, or equal,from edge of proposed gutter to clean sawcut edge of pavement along the entire frontage in accordance with City of Palm Springs Standard Drawing No. 110 and 340. The pavement section shall be designed, using"R"values, by a licensed Soils Engineer and submitted to the City Engineer for approval. 15. Construct a temporary cul-de-sac or turn-around acceptable to the City Engineer and Fire Chief north of the Main Entry., ON-SITE (PRIVATE) STREETS 16. Dedicate an easement of varying width, (50, 56, or 80 feet wide) and extending to back of curb or sidewalk adjacent to and within street"knuckles" and cul-de-sacs, for sewer and public utility purposes with right of ingress and egress over the private streets to the City of Palm Springs. 17. The following requirements for a gated entry shall be met to provide adequate setbacks and turning movements for vehicles entering the project: A. Provide a minimum 50 foot setback measured from the face of curb to the gate access control mechanism. B. Provide a turnaround after the mechanism for vehicles unable to enter the project C. The main gated entry, as shown in Section"D" -"D" on the Tentative Map, and the two gated entries off of Golden Sands shall be revised to provide a 20 feet wide entrance and separate exit. The entry security gate shall provide a minimum of 20 feet clear width for emergency vehicle access. 18. Construct all cul-de-sacs with a minimum curb radius of 43 feet throughout the cul-de- sac bulb. 19. Construct all street "knuckles" in accordance with City of Palm Springs Standard Drawing No. 104. 20. The following traffic calming devices shall be incorporated into the on-site streets: Narrowed pavement "chokers" shall be provided on "C" Street between "D" and "E" Streets,on"I"Street between"J"and"K"Streets,and on"M"Street between"P"and"Q" Streets, as approved by the City Engineer. Chokers shall be designed with a transition using 25 feet radius reverse curves and a 50 to 100 feet long, 24 feet wide (12 feet each side of centerline) narrowed travel way. The narrowed travel way shall be constructed with a colored or decorative Portland cement concrete section 6 inches thick as approved by the City Engineer. A traffic circle shall be provided at the intersection of"C", "H" and "I" Streets, and the intersection of"I", "K" and "M" Streets. The traffic circle shall be designed using a 27 feet radius island and a 20 feet wide travel way around the traffic circle. The travel way throughout the traffic circle shall be constructed with a colored or decorative Portland cement concrete section 6 inches thick as approved by the City Engineer. "H" STREET 21. Construct a 6 inch curb and gutter 30 feet either side of centerline with a 20 feet wide raised landscaped median, from North Sunrise Way to the gated entry, together with a raised circular landscaped island, in accordance with City of Palm Springs Standard Drawing No, 200. 22. Construct a minimum pavement section of 3 inch asphalt concrete pavement over 6 inch aggregate base with a minimum subgrade of 24 inches at 95% relative compaction, or equal,within all paved areas. The pavement section shall be designed, using "R"values, by a licensed Soils Engineer and submitted to the City Engineer for approval. GOLDEN SANDS ENTRY 23. The property owner(developer) shall prepare a reciprocal access agreement with the owner(s), master lessor/lessee and all sub-leases that may existing within the Golden Sands Mobile Home Park in a form acceptable to the City Attorney. A private access easement shall be prepared in a form acceptable to the City Attorney for access from North Sunrise Way through the development for all residents within the Golden Sands Mobile Home Park. The access agreement and easement shall be submitted prior to issuance of a grading permit. The easement shall be shown on the Final Map or recorded as a separate document prior to approval of the Final Map. 24. The alternate entry configuration for Golden Sands shall be required, such that the Golden Sands Entry more directly accesses the North Sunrise Way/San Rafael Drive intersection, as recommended by the traffic study for this development prepared by Wildan, dated August 2001. 25. Construct 6 inch curb and gutter, 18 feet either side of centerline along the entire frontage, with turn-out area and raised islands at the gated entries as shown on the tentative map, in accordance with City of Palm Springs Standard Drawing No. 200. 26. The gated entries shall be revised to provide a minimum 20 feet wide clearance for emergency vehicle access. 27. Construct a 5 feet wide sidewalk behind the curb along both sides of the entire frontage in accordance with City of Palm Springs Standard Drawing No. 210. ' d i 28. Construct a minimum pavement section of 2-1/2 inch asphalt concrete pavement over 4 inch aggregate base with a minimum subgrade of 24 inches at 95% relative compaction, or equal, within all paved areas in accordance with City of Palm Springs Standard Drawing No. 110 and 300.The pavement section shall be designed, using"R" values, by a licensed Soils Engineer and submitted to the City Engineer for approval. ALL OTHER ON-SITE (PRIVATE) STREETS 29. Construct 6 inch curb and gutter, 18 feet both sides of centerline along all on-site street frontages, with 25 feet radius curb returns and spandrels (where required) at intersecting on-site streets in accordance with City of Palm Springs Standard Drawing No. 200 and 206. 30. Construct 6 feet wide cross-gutters at all intersections (where required)with a flow line parallel with and 18 feet from the centerline of the intersecting street, in accordance with City of Palm Springs Standard Drawing No. 200 and 206. 31. Construct minimum 10 feet wide driveway approaches in accordance with City of Palm Springs Standard Drawing No. 201. 32. Construct a 5 feet wide sidewalk behind the curb along both sides of the entire on-site street frontages in accordance with City of Palm Springs Standard Drawing No. 210. The typical 50 feet wide interior street section, as shown in Sections"B"-"B" and "E"- "E" on the Tentative Map shall be revised to indicate construction of a 5 feet wide sidewalk along both sides of interior street sections. 33. Construct Type A curb ramps meeting current California State Accessibility standards at all intersections of the subject property in accordance with City of Palm Springs Standard Drawing No. 212. 34. Construct Type B curb ramps meeting current California State Accessibility standards across from all cul-de-sac intersections in accordance with City of Palm Springs Standard Drawing No. 213. Alternatively, driveway approaches may be located opposite cul-de-sac intersections. 35. Construct a minimum pavement section of 2-1/2 inch asphalt concrete pavement over 4 inch aggregate base with a minimum subgrade of 24 inches at 95% relative compaction, or equal, within all paved areas in accordance with City of Palm Springs Standard Drawing No. 110 and 300. The pavement section shall be designed, using "R" values, by a licensed Soils Engineer and submitted to the City Engineer for approval. SANITARY SEWER 36. Dedicate an easement 30 feet wide to the City of Palm Springs for sewer purposes across Lot N. 37. Obtain an easement 30 feet wide to the City of Palm Springs for sewer purposes across those portions of off-site property identified by APN 501-241-022 (Lot 111 of Desert Park Estates No. 12) and APN 501-190-011 and 669-490-001 (Palm Springs Country Club golf course). 38. Construct 8 inch sewer mains within all on-site streets and connect to the existing sewer main located in North Sunrise Way. 39. Construct an 8 inch sewer main across off-site property identified byAPN 501-241-022 (Lot 111 of Desert Park Estates No. 12)and APN 501-190-011 and 669-490-001 (Palm Springs Country Club golf course) to connect to the existing sewer main located in Farrell Drive. 40. All sewer mains constructed by the developer and to become part of the City sewer system shall be televised by the developer prior to acceptance of said lines. 41. Submit sewer improvement plans prepared by a Registered Civil Engineer to the Engineering Division. The plan(s) shall be approved by the City Engineer prior to issuance of any grading or building permits. Minimum submittal shall include the following: A. Copy of signed Conditions of Approval from Planning Department. B. Proof of processing dedications of right-of-way, easements, encroachment agreements/licenses, covenants, reimbursement agreements, etc. required by these conditions. GRADING 42. A copy of a Title Report prepared/updated within the past 3 months and copies of record documents shall be submitted to the City Engineer with the first submittal of the Grading Plan. 43. Submit a Grading Plan prepared by a Registered Civil Engineer to the Engineering Department for review and approval. The Grading plan shall be submitted to the Planning Department for approval to submit for plan check prior to submittal to the Engineering Department. A PM 10 (dust control) Plan shall be submitted to and approved by the Building Division prior to approval of the grading plan. The Grading Plan shall be approved by the City Engineer prior to issuance of any grading or building permits. Minimum submittal includes the following: A. Planning Department approval to submit for plan check. B. Copy of signed Conditions of Approval from Planning Department. C. Copy of Tentative Map stamped approved and signed by the Planning Department. D. Copy of Title Report prepared/updated within past 3 months. E. Copy of Soils Report. F. Copy of Hydrology Study/Report. G. Copy of the General Construction Activity Storm Water Permit from the State Water Resources Control Board (Phone No. 760-346-7491) to the City Engineer prior to issuance of the grading permit. 44. Obtain a General Construction Activity Storm Water Permit from the State Water Resources Control Board(Phone No.760-346-7491)and provide a copy of same,when executed, to the City Engineer prior to issuance of the grading permit. 45. Drainage swales shall be provided adjacent to all curbs and sidewalks-3'wide and 6" deep to keep nuisance water from entering the public streets, roadways, or gutters. 46. In accordance with City of Palm Springs Municipal Code;Section 8.50.00,the developer shall post with the City a cash bond of two thousand dollars ($2,000.00) per acre for mitigation measures of erosion/blowsand relating to his property and development. 47. A soils report prepared by a licensed Geotechnical Engineer shall be required for and incorporated as an integral part of the grading plan for the proposed site. A copy of the soils report shall be submitted to the Building Department and to the Engineering Department along with plans, calculations and other information subject to approval by the City Engineer prior to the issuance of the grading permit. 48. Contact the Building Department to get information regarding the preparation of the PM10 (dust control) Plan requirements. 49. In cooperation with the Riverside County Agricultural Commissioner and the California Department of Food and Agriculture Red Imported Fire Ant Project, applicants for grading permits involving a grading plan and involving the export of soil will be required to present a clearance document from a Department of Food and Agriculture representative in the form of an approved "Notification of Intent To Move Soil From or Within Quarantined Areas of Orange, Riverside, and Los Angeles Counties" (RIFA Form CA-1)or a verbal release from that office prior to the issuance of the City grading permit. The California Department of Food and Agriculture office is located at 73-710 Fred Waring Drive, Palm Desert. (Phone: 760-776-8208). DRAINAGE 50. Accept all stormwater runoff passing through and falling onto the site and conduct this runoff to approved drainage structures as described in the Hydrology Analysis for Tentative Tract Map No. 30054, prepared by Hunsaker&Associates, dated March 12, 2001. The Hydrology Analysis shall be amended to reflect revisions to the original tentative tract map, and shall include catch basin sizing, storm drain pipe sizing, and retention/detention basin sizing calculations and other specifications for construction of required on-site storm drainage improvements. 51. Submit storm drain improvement plans to be reviewed and approved by the City Engineer. 52. Submit storm drain improvement plans,for that portion of the proposed system to outlet into the Whitewater River Channel, to the Riverside County Flood Control and Water Conservation District (RCFC) for their review and approval. The developer shall be responsible for obtaining all required RCFC permits for construction of storm drain improvements within RCFC jurisdiction. 53. The developer shall be responsible for construction of drainage improvements,including but not limited to retention/detention basins, catch basins, storm drain lines, and outlet structures, as required by the Hydrology Analysis (to be revised) and as approved by the City Engineer. 54. The project is subject to flood control and drainage implementation fees.The acreage drainage fee at the present time is $6,511.00 per acre in accordance with Resolution No. 15189. Fees shall be paid prior to issuance of a building permit. GENERAL 55. Any utility cuts in the existing off-site pavement made by this development shall receive trench replacement pavement to match existing pavement plus one additional inch in accordance with City of Palm Springs Standard Drawing No. 115. Pavement shall be restored to a smooth rideable surface. 56. All existing utility lines that are less than 35 kV on or adjacent to this project shall be relocated underground. The location and size of the existing overhead facilities shall be provided to the Engineering Department along with written confirmation from the involved utility company(s) that the required deposit to underground the facility(s) has been paid, prior to issuance of a grading permit. All undergrounding of utilities shall be completed prior to issuance of a certificate of occupancy. 57. All proposed utility lines shall,be installed underground. 58. All existing utilities shall be shown on the grading/street plans. The existing and proposed service laterals shall be shown from the main line to the property line. 59. The original grading, street, storm drainage, and other improvement plans approved by the City Engineer shall be documented with record drawing "as-built" information and returned to the Engineering Department prior to issuance of the certificate of occupancy. Any modifications or changes to approved improvement plans shall be submitted to the City Engineer for approval prior to construction. 60. Nothing shall be constructed or planted in the corner cut-off area of any driveway which does or will exceed the height required to maintain an appropriate sight distance per City of Palm Springs Zoning Code 93.02.00 D. 61. All proposed trees within the public right-of-way and within 10 feet of the public sidewalk and/or curb shall have City approved deep root barriers installed per City of Palm Springs Engineering specifications. MAP 62. The Title Report prepared for subdivision guarantee of the subject property,the traverse closures for the existing parcels and all lots created therefrom, and copies of record documents shall be submitted with the first draft of the Final Map to the Engineering Department for review and approval. 63. A Final Map shall be prepared by a licensed Land Surveyor or qualified Civil Engineer and submitted to the Engineering Department for review and approval. The Final Map shall be approved by the City Council prior to issuance of building permits. TRAFFIC 64. The developer shall provide a minimum of 48 inches of sidewalk clearance around all street furniture for handicap accessibility. The developer shall provide same through dedication of additional right-of-way and widening of the sidewalkorshall be responsible for the relocation of all existing traffic signal/safety light poles, conduit, pull boxes and all appurtenances located on the North Sunrise Way and on-site street frontages of the subject property. 65. Install street name signs at each intersection in accordance with City of Palm Springs Standard Drawing No. 620-625. 66. A 30 inch "STOP" sign and standard "STOP BAR" and "STOP LEGEND" shall be installed in accordance with City of Palm Springs Standard Drawing No. 620-625 at the following locations: "H" Street at North Sunrise Way exit "D", "E", "F", and "G" Streets for vehicles entering "C" Street "C", "H", and "I" Streets (3-way stop) "J" and 'K" Streets for vehicles entering "I" Street "L", "N", "O", "P", "Q", "R", "S" and "T" Streets for vehicles entering "M" Street 67. Install a traffic signal at the North Sunrise Way and San Rafael Road intersection. East- west approaches shall be split-phased. A traffic signal plan prepared by a registered civil or traffic engineer shall be submitted to the Engineering Department for review and approval. The traffic signal shall be installed and operational prior to release of the 50th certificate of occupancy for this project. The developer may enter into a reimbursement agreement with the City of Palm Springs for reimbursement of a maximum of 40% of the cost of the traffic signal construction, and shall receive reimbursement as the owner(s) of Tentative Tract Map 30058 develop and post payment for their fair share contribution towards its installation. The fair share contribution of 60% associated with this development is determined by the Traffic Study prepared by Wildan, dated August 2001. 68. The developer shall replace all damaged or destroyed traffic control devices and provide any new traffic control devices required by the City Engineer on North Sunrise Way adjacent to this project. 69. Golden Sands Street shall be striped to provide one combination left-through lane and a separate right turn lane (westbound) with "cat tracking" through the Sunrise Way intersection. 70. The developer shall install a 9,500lumen high pressure sodium vapor safety street light with glare shield on a marbelite pole on the northeast corner of North Sunrise Way and "H" Street (Main Entry) with the mast arm over North Sunrise Way. The pole and luminaire shall be fumished by the developer. 71. Construction signing, lighting and barricading shall be provided for on all projects as required by City Standards or as directed by the City Engineer. As a minimum, all construction signing, lighting and barricading shall be in accordance with State of California, Department of Transportation, "Manual of Traffic Controls for Construction and Maintenance Work Zones," dated 1996, or subsequent additions in force at the time of construction. 72. This property is subject to the Transportation Uniform Mitigation Fee based on the Residential Single Family Detached and Mulit-family ITE Code B land use. FIRE 1. Construction Requirements: All Construction shall be in accordance with the 1998 California Fire Code,the 1997 Uniform Building Code,City of Palm Springs Engineering requirements, City of Palm Springs Fire Protection Plan, Vol II, City of Palm, Springs Ordinance 1570, Desert Water Agency specifications, NFPA Standards plus UL and CSFM listings. 2. Streets and Fire Lanes: Street construction, widths, turning radius' and cul-de-sacs shall be constructed in accordance with the 1998 California Fire Code,Article 9, City of Palm Springs engineering standards, 1997 California Building Code,and Palm Springs Ordinance 1570. 3. Fire Department Access: Minimum Fire Lane width shall be 20' unobstructed per the 1998 California Fire Code, Article 9. Vertical clearance shall not be less than 14'6". 4. Emergency access Gate Width: Minimum gate width shall be 14' unobstructed. 5. Second Fire Apparatus Access Gate: Provide Fire Department access gate at East erld of project. 6. Construction Site Fencing Required: Construction site fencing required for new construction over 5,000 SF. Fencing shall remain intact until buildings are stuccoed or covered and secured with lockable doors and windows or until the Fire Marshall deems necessary. Provide 14'wide access gates equipped with changeable chains and locks. 7. Construction Site Guard: Construction site guard required for new construction over 5,000 SF per City of Palm Springs Ordinance 1570. Guard to remain on duty 24 hours a day, 7 days per week, as determined by the fire marshal. 8. Turning Radius: The outside turning radius of fire apparatus roads and Cul-de-sac streets shall be at least 43' from centerline, inside turning radius required is 30' from centerline per the 1998 California Fire Code, Article 9 and City of Palm Springs Ordinance 1570. 9. Complex Gate Locking Devices: Complex gate(s)) shall be equipped with a KNOX locking device per the 1998 California Fire Code. Contact this office for a KNOX application form as soon as possible. 10. Fire Hydrants, Water Systems and Standpipes: Fire hydrants shall be installed per NFPA standards, plus 1998 California Fire Code and DWA standards. Where underground water mains are to be provided, they shall be installed, completed and in service with fire hydrants and standpipes or combinations thereof located as directed by this office,but not later than the time when combustible materials are delivered to the construction site. 11. Water Agency Construction Specifications: All water mains,fire hydrants and devices shall be installed in accordance with Desert Water Agency specifications and standards. 12. Mandatory Fire Sprinklers: Automatic Fire Sprinkler System with 24 hours monitoring is required per City of Palm Springs Fire Protection Master Plan Vol. II and City of Palm Springs Ordinance 1570. 13. Fire Sprinkler Installation: Fire sprinklers shall be designed and installed per NFPA 13 and 13D (Modified) by a state licensed C-16 Fire Sprinkler Contractor, 14. Further Comments: Further comments as conditions warrant. Bond #SU5003353 Premium: $44,250.00 CITY OF PALM SPRINGS FAITHFUL PERFORMANCE BOND WHEREAS,the City Council of the City of Palm Springs, State of California, and K. Hovnanian's Four Seasons at Palm Springs, LLC, a Califomia Limited Liability Company (herein designated as "Principal") have entered into an agreement whereby Principal agrees to install and complete certain designated public improvements, which said agreement, dated ?. , 202,� and identified as Tract Map No. 30054, is hereby referred to and made a part hereof; and WHEREAS, Principial is required under the terms of said agreement to furnish a bond for the faithful performance of said agreement. NOW, THEREFORE, we, the Principal and Arch Insurance Company as Surety, are held firmly bound unto the City of Palm Springs, (hereinafter called "City"), in the penal sum of Five Million Nine Hundred Thousand and 00/100 dollars ($5,900,000.00) lawful money of the United States,for the payment of which sum well and truly to be made, we bind ourselves, our heirs, successors, executors and administrators, jointly and severally, firmly by these presents. The condition of this obligation is such that if the above bounded principal, his or its heirs, executors, administrators, successors or assigns, shall in all things stand to and abide by, and well and truly keep and perform the covenants, conditions and provisions in the said agreement and any alteration thereof made as therein provided, on his o�their part, to be kept and performed at the time and in the manner therein specified, and in all respects according to their true intent and meaning, and shall indemnify and'spe harmless the City of Palm Springs, its officers, agents and employees, as therein stipulated,then this obligation shall become null and void; otherwise it shall be and remain in full force and effect. As a part of the obligation secured hereby and in addition to the face amount specified therefor, there shall be included costs and reasonable expenses and fees, including reasonable attorney's fees, incurred by the City in successfully enforcing such obligation, all to be taxed as costs and included in any judgment rendered. The Surety hereby stipulates and agrees that no change, extension of time, alteration or addition to the terms of the agreement or to the work to be performed thereunder or the specifications accompanying the same shall in anywise affect its obligations on this bond, and it does hereby waive notice of any such change, extension of time, alteration or addition to the terms of the agreement or to the work or to the specifications. Performance Bond Page 2 IN WITNESS WHEREOF,this instrument has been duly executed by the Principal and Surety above named, on December PRINCIPAL K Hovnanian'4Fou 'asons at Palm Springs,LLC, a California Limited Liability Company By: r,Wt VRESIDENi K NOVNANAN COMPMU OF CALNORNIA,INC. By: AOrRO UDOM Name and Title SURETY B Arch Insurance Company Y� Y= (Surety Name) Attorney-in-Fact Victoria M Campbell (All Signatures Shall Be Notarized) Paae 2 of 2 CALIFORNIA ALL-PURPOSE ACIN 7MULE'DGEtJ9ENT �r- -c. -y,.rcr=r �'�.�.�"���Fr�-.rc-c:=rrnercrr=r,�rrr,�r-yrar�-ram'-ercrcrcacre^.cr�.cr�.r�-r.�rq;; I State of California fi ss. County CCVwt�� l > On !�OeV W3I3(03 , before me,QWdc-lW (-�6o ti a y-d. don V L bio(I ci , Date Name and Title of Officer(e.g "Jane Doe,Notary ublic') personally appeared Do(O,G 4 kj-{ rcz- Name(s)of Signer(s) personally known to me ❑ proved to me on the basis of satisfactory l evidence 'I to be the person(g) whose name(sr) islase subscribed to the within instrument and acknowledged t6 me that helshaAhoy executed the same in his/her/their authorized CANDACE BLANCFigRD capacity(ies), and that by hIS/kseFlt#eir I Commission# 1395599 signature(%) on the instrument the person($), or s i Nolary Public -California the entity upon behalf of which the person(g) f Orange County acted, executed the instrument. My Comm.Expires Feb 19,2007 I WI NESS my hand and official seal. Place Notary Seal Above Signature of Notary Public OPTIONAL Though the information below is not required by law, it may prove valuable to persons relying on the document and could prevent fraudulent removal and reattachment of this form to another document. Description of Attached Document Title or Type of Document: Document Date: Number of Pages: Signer(s) Other Than Named Above: r i Capacity(ies) Claimed by Signer Signer's Name: _ ❑ Individual I Top of thumb here ❑ Corporate Officer—Title(s): l ❑ Partner—❑ Limited ❑ General I ❑ Attorney in FactI ❑ Trustee ❑ Guardian or Conservator I i ❑ Other: r i Signer Is Representing: ©1997 National Notary Association•9350 Be Sato Ave,PO.Box 2402•Chatsworth,CA 91313-2402 Prod No.5907 Reorder:Call Tall-Free 1-800-876-6827 STATE OF California SS. COUNTY OF Orange On DEC ill 2 20113 before me, Janina Monroe, Notary Public PERSONALLY APPEARED Victoria M. Campbell personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowl- edged to me that he/she/they executed the same in his/ her/their authorized capacity(ies), and that by his/her/ their signature(s) on the instrument the person(s), or the t 1.lui ar IT entity upon behalf of which the person(s) acted, executed I zl� the instrument. WITNESS my hand and official seal. t " �•+'�F' „ Signal u i (� �(" This area for Official Notarial Seal OPTIONAL Though the data below is not required by law, it may prove valuable to persons relying on the document and could prevent fraudulent reattachment of this form. CAPACITY CLAIMED BY SIGNER DESCRIPTION OF ATTACHED DOCUMENT ❑ INDIVIDUAL ❑ CORPORATE OFFICER TITLE(S) TITLE OR TYPE OF DOCUMENT ❑ PARTNER(S) ❑ LIMITED ❑ GENERAL ❑ ATTORNEY-IN-FACT NUMBER OF PAGES ❑ TRUSTEE(S) ❑ GUARDIAN/CONSERVATOR ❑ OTHER: DATE OF DOCUMENT SIGNER IS REPRESENTING: NAME OF PERSON(S)OR ENTITY(IES) SIGNER(S) OTHER THAN NAMED ABOVE to-ael Rev.6/94 ALL-PURPOSE ACKNOWLEDGEMENT r � ARCH Insurance Company ARCH Surety NOTICE — DISCLOSURE OF TERRORISM PREMIUM In accordance with the Terrorism Risk Insurance Act of 2002, we are providing this disclosure notice for bonds on which Arch Insurance Company is the surety. DISCLOSURE OF PREMIUM The portion of the premium attributable to coverage for terrorist acts certified under the Act is Zero Dollars ($0.00). DISCLOSURE OF FEDERAL PARTICIPATION IN PAYMENT OF TERRORISM LOSSES The United States will pay ninety percent (90%) of covered terrorism losses exceeding the applicable insurer deductible. POWER OF ATTORNEY Know All Men By These Presents: That the Arch Insurance Company, a corporation organized and existing under the laws of the State of Missouri, having its principal office in Kansas City, Missouri (hereinafter referred to as the "Company") does hereby appoint Victoria M. Campbell, Thomas G. McCall and Janina Monroe of Irvine, CA (EACH) its true and lawful Attorney(s)-in-Fact, to make, execute, seal, and deliver from the date of issuance of this power for and on its behalf as surety, and as its act and deed: Any and all bonds and undertakings EXCEPTION: NO AUTHORITY is granted to make, execute, seal and deliver bonds or undertakings that guarantee the payment or collection of any promissory note, check, draft or letter of credit. This authority does not permit the same obligation to be split into two or more bonds in order to bring each such bond within the dollar limit of authority as set forth herein. The Company may revoke this appointment at any time. The execution of such bonds and undertakings in pursuance of these presents shall be as binding upon the said Company as fully and amply to all intents and purposes, as if the same had been duly executed and acknowledged by its regularly elected officers at its principal office in Kansas City, Missouri. This Power of Attorney is executed by authority of resolutions adopted by unanimous consent of the Board of Directors of the Company on March 3, 2003, true and accurate copies of which are hereinafter set forth and are hereby certified to by the undersigned Secretary as being in full force and effect: i "VOTED, That the Chairman of the Board, the President, or any Vice President, or their appointees designated in writing and filed with the Secretary, or the Secretary shall have the power and authority to appoint agents and attorneys-in-fact, and to authorize them to execute on behalf of the Company, and attach the seal of the Company thereto, bonds and undertakings, recognizances, contracts of indemnity and other writings, obligatory in the nature thereof, and any such officers of the Company may appoint agents for acceptance of process" This Power of Attorney is signed, sealed and certified by facsimile under and by authority of the following resolution adopted by the unanimous consent of the Board of Directors of the Company on March 3, 2003: VOTED, That the signature of the Chairman of the Board, the President, or any Vice President, or their appointees designated in writing and filed with the Secretary, and the signature of the Secretary, the seal of the Company, and certifications by the Secretary, may be affixed by facsimile on any power of attorney or bond executed pursuant to the resolution adopted by the Board of Directors on March 3, 2003, and any such power so executed, sealed and certified with respect to any bond or undertaking to which it is attached, shall continue to be valid and binding upon the Company. OOML0013 00 03 03 Page 1 of 2 Printed in U.S.A. In Testimony Whereof, the Company has caused this instrument to be signed and its corporate seal to be affixed by their authorized officers, this 21st day of March, 2003. Arch Insurance Company Attested and Certified .Fos Labell, Corporate Secretary or+ 'k Thomas P. LuCkslo e Vice President 141#td STATE OF CONNECTICUT SS COUNTY OF FAIRFIELD SS I Melissa B. Gilligan, a Notary Public, do hereby certify that Thomas P. Luckstone and Joseph S. Labell personally known to me to be the same persons whose names are respectively as Vice President and Corporate Secretary of the Arch Insurance Company, a Corporation organized and existing under the laws of the State of Missouri, subscribed to the foregoing instrument, appeared before me this day in person and severally acknowledged that they being thereunto duly authorized signed, sealed with the corporate seal and delivered the said instrument as the free and voluntary act of said corporation and as their own free and voluntary acts for the uses and purposes therein set forth. t7 rt? Melissa B: Gilligan, Notary Pu'b I My commission expires 2-28-05 CERTIFICATION I, Joseph S. Labell, Corporate Secretary of the Arch Insurance Company, do hereby certify that the attached Power of Attorney dated March 21, 2003 on behalf of the person(s) as listed above is a true and correct copy and that the same has been in full force and effect since the date thereof and is in full force and effect on the date of this certificate; and I do further certify that the said Thomas P. Luckstone, who executed the Power of Attorney as Vice President, was on the date of execution of the attached Power of Attorney the duly elected Vice President of the Arch Insurance Company. IN TESTIMONY WHEREOF, I have hereunto subscribed my name and affixed the corporate seal of the Arch Insurance Company on this 2nd day of December , 20 03 I � .los Labell, Corporate Secretary This Power of Attorney limits the acts of those named therein to the bonds and undertakings specifically named therein and they have no authority to bind the Company except in the manner and to the extent herein stated. Home Office: Kansas ^' MO {a' �� Q� �R/f7i\TR +1� OOML0013 00 03 03 y'�ff Nrl Page 2 of 2 '� Printed in U.S.A. ki��� Bond #SU5003353 Premium included in Perf CITY OF PALM SPRINGS bond LABOR AND MATERIALS BOND WHEREAS,the City Council of the City of Palm Springs, State of California, and K. Hovnanian's Four Seasons at Palm Springs, LLC, a California Limited Liability Company (hereinafter designated as "Principal") have entered into an agreement whereby Principal agrees to install and complete certain designated public improvements, which said agreement, dated e-ce e-(- 7 , 2003, and identified as Tract Map No. 30054_, is hereby referred to and made a part hereof; and WHEREAS, underthe terms of said agreement, principal is required before entering upon the performance of the work, to file a good and sufficient payment bond with the City of Palm Springs to secure the claims to which reference is made in Title 15 (commencing with Section 3082) of Part 4 of Division 3 of the Civil Code of the State of California. NOW, THEREFORE, Principal and the undersigned as corporate surety, are held firmly bound unto the City of Palm Springs and all contractors, subcontractors, laborers, materialmen and other persons employed in the performance of the aforesaid agreement and referred to in the aforesaid Civil Code in the sum of Two Million Nine Hundred Fifty Thousand and 00/100 dollars ($2 950,000.00),for materials furnished or labor thereon of any kind, orfor amounts due under the Unemployment Insurance Act with respect to such work or labor, that said surety will pay the same in an amount not exceeding the amount hereinabove set forth, and also in case suit is brought upon this bond, will pay, in addition to the face amount thereof, costs and reasonable expenses and fees,including reasonable attorney's fees, incurred by the City in successfully enforcing such obligation, to be awarded and fixed by the court, and to be taxed as costs and to be ingluded in the, judgment therein rendered. It is hereby expressly stipulated and agreed that this bond shall inure'to the benefit , of any and all persons, companies and corporations entitled to file claims under Title 15 (commencing with Section 3082) of Part 4 of Division 3 of the Civil Code, so as to give a right of action to them or their assigns in any suit brought upon this bond. Should the condition of this bond be fully performed, then this obligation shall become null and void; otherwise it shall be and remain in full force and effect. The surety hereby stipulates and agrees that no change, extension of time, alteration or addition to the terms of said agreement or the specifications accompanying the same shall in any manner affect its obligations on this bond, and it does hereby waive notice of any such change, extension, alteration or addition. IN WITNESS WHEREOF,this instrument has been duly executed by the Principal and Surety above named, on December 2 2003 . Labor and Materials Bond Page 2 PRINCIPAL K. Hovnanian'tEZV1C[tRaES*51OE1NT ns at Palm Springs, LLC, a California Limited Liability Company By: IO K.HOVNANIAN COMPANIES OF CµIFONIA,INC. By: AUTHORIZED AGENT Name and Title SURETY Arch Insurance Company By: By: (Surety Name) Attomey-in-Fact Victoria M Campbell. (All Signatures Shall Be Notarized) CAl.9FOPr MIA ALL-PURPOSE POSE ACd~St"3O4,",7LM21tt3EHT �� -,�r.<rcc.�:r- .m. -. .cr. -cr_-,cr`.crzr�=c•.cr-crcr-cr-c<`-��-.ram-�. .c':�'.n�r�.ri;c-crti.�r.�.r1.crcrerr�.er.�r�...:�r.� State of California �I d /y / ss. County of L itl C�Ut�ei ' On ! > V&e0,d (8 , before me,(!,/ dpoe 1600 a.W A16 I d((Cl pubil L ' Date /�. Name and Title of Off (e g,"Jane Doa,Notary ubho� personally appeared OYge tt��y�t((?Z Nama(e)of Signers) [personally known to me t, ❑ proved to me on the basis of satisfactory I evidence ( I to be the person(,$) whose nar ll is/are subscribed to the within instrument and r acknowledged to me that he/she/A4@y executed the same in his/her/their authorized capacity(ieer), and that by his/hG;Alvelr t ( CANDACE BLANCHARD 'I \ signature{$) on the instrument the person(, or t. _ commission# 1395599 the entity upon behalf of which the person(v) 11 0,MVCOMM, Notary Public CaliforniaOrange Countyacted, executed the instrument.Expires Feb 19,200 'I WITNNESS my hand and official seal. ��f,�. L�C ,lrc�SC,��l✓A.G.'d�.dv`.rr� Place Notary Seal Above Signature of Notary Public I OPTIONAL �I Though the information below is not required by law, it may prove valuable to persons relying on the document `I and could prevent fraudulent removal and reattachment of this form to another document. I fiDescription of Attached Document Title or Type of Document: Document Date: Number of Pages: Signer(s) Other Than Named Above: Capacity(ies) Claimed by Signer Signer's Name: :•- ❑ Individual Top of thumb here I ElCorporate officer—Title(s): t ❑ Partner—❑ Limited ❑ General ❑ Attorney in Fact ❑ Trustee ❑ Guardian or Conservator I I t, ❑ Other: I I Signer Is Representing: 1 I - - - - = - - - - - - - = - - - - - - ©1997 National Notary Association•9350 De Soto Ave.,P.O.Box 2402-Chatsworth,CA 91313-2402 Prod No.5907 Reorder.Cali Toll-Free 1-600-376-6827 STATE OF California SS. COUNTY OF Orange On DEC 0 Z 2"M before me, Janina Monroe, Notary Public PERSONALLY APPEARED_ Victoria M. Campbell personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s-) whose name(s) is/are subscribed to the within instrument and acknowl- edged to me that he/she/they executed the same in his/ her/their authorized capacity(ies), and that by his/her/ their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. "1 to WITNESS my hand and,offieial seal. C� !!11 71,ri n C�4 This area or Official Notarial Seal h Signature Z f ff V OPTIONAL Though the data below is not required by law, it may prove valuable to persons relying on the document and could prevent fraudulent reattachment of this farm. CAPACITY CLAIMED BY SIGNER DESCRIPTION OF ATTACHED DOCUMENT ❑ INDIVIDUAL ❑ CORPORATE OFFICER TITLE(S) TITLE OR TYPE OF DOCUMENT ❑ PARTNER(S) ❑ LIMITED ❑ GENERAL ❑ ATTORNEY-IN-FACT NUMBER OF PAGES ❑ TRUSTEE(S) ❑ GUARDIAN/CONSERVATOR ❑ OTHER: DATE OF DOCUMENT SIGNER IS REPRESENTING: NAME OF PERSON(S)OR ENTIiY(IES) SIGNER(S) OTHER THAN NAMED ABOVE 1D-091 Vcv.6/94 ALL-PURPOSE ACKNOWLEDGEMENT ARCH Insurance Company ARCH Surety NOTICE — DISCLOSURE OF TERRORISM PREMIUM In accordance with the Terrorism Risk Insurance Act of 2002, we are providing this disclosure notice for bonds on which Arch Insurance Company is the surety. DISCLOSURE OF PREMIUM The portion of the premium attributable to coverage for terrorist acts certified under the Act is Zero Dollars ($0.00). DISCLOSURE OF FEDERAL PARTICIPATION IN PAYMENT OF TERRORISM LOSSES The United States will pay ninety percent (90%) of covered terrorism losses exceeding the applicable insurer deductible. POWER OF ATTORNEY Know All Men By These Presents: That the Arch Insurance Company, a corporation organized and existing under the laws of the State of Missouri, having its principal office in Kansas City, Missouri (hereinafter referred to as the "Company") does hereby appoint Victoria M. Campbell, Thomas G. McCall and Janina Monroe of Irvine, CA (EACH) its true and lawful Attorney(s)-in-Fact, to make, execute, seal, and deliver from the date of issuance of this power for and on its behalf as surety, and as its act and deed: Any and all bonds and undertakings EXCEPTION: NO AUTHORITY is granted to make, execute, seal and deliver bonds or undertakings that guarantee the payment or collection of any promissory note, check, draft or letter of credit This authority does not permit the same obligation to be split into two or more bonds in order to bring each such bond within the dollar limit of authority as set forth herein The Company may revoke this appointment at any time. The execution of such bonds and undertakings in pursuance of these presents shall be as binding upon the said Company as fully and amply to all intents and purposes, as if the same had been duly executed and acknowledged by its regularly elected officers at its principal office in Kansas City, Missouri. This Power of Attorney is executed by authority of resolutions adopted by unanimous consent of the Board of Directors of the Company on March 3, 2003, true and accurate copies of which are hereinafter set forth and are hereby certified to by the undersigned Secretary as being in full force and effect: "VOTED, That the Chairman of the Board, the President, or any Vice President, or their appointees designated in writing and filed with the Secretary, or the Secretary shall have the power and authority to appoint agents and attorneys-in-fact, and to authorize them to execute on behalf of the Company, and attach the seal of the Company thereto, bonds and undertakings, recognizances, contracts of indemnity and other writings, obligatory in the nature thereof, and any such officers of the Company may appoint agents for acceptance of process." This Power of Attorney is signed, sealed and certified by facsimile under and by authority of the following resolution adopted by the unanimous consent of the Board of Directors of the Company on March 3, 2003: VOTED, That the signature of the Chairman of the Board, the President, or any Vice President, or their appointees designated in writing and filed with the Secretary, and the signature of the Secretary, the seal of the Company, and certifications by the Secretary, may be affixed by facsimile on any power of attorney or bond executed pursuant to the resolution adopted by the Board of Directors on March 3, 2003, and any such power so executed, sealed and certified with respect to any bond or undertaking to which it is attached, shall continue to be valid and binding upon the Company. OOML0013 00 03 03 Page 1 of 2 Printed in U,S.A. In Testimony Whereof, the Company has caused this instrument to be signed and its corporate seal to be affixed by their authorized officers, this 21 st day of March, 2003. Arch Insurance Company Attested and Certified WMAKU Jos . Labell, Corporate Secretary uri k' Thomas P. Luckslone, Vice President �tai.rd STATE OF CONNECTICUT SS COUNTY OF FAIRFIELD SS I Melissa B Gilligan, a Notary Public, do hereby certify that Thomas P. Luckstone and Joseph S. Labell personally known to me to be the same persons whose names are respectively as Vice President and Corporate Secretary of the Arch Insurance Company, a Corporation organized and existing under the laws of the State of Missouri, subscribed to the foregoing instrument, appeared before me this day in person and severally acknowledged that they being thereunto duly authorized signed, sealed with the corporate seal and delivered the said instrument as the free and voluntary act of said corporation and as their own free and voluntary acts for the uses and purposes therein set forth. Molissa R. Gli hgan, Notary Pub fie My commisslon expires 2-28-05 CERTIFICATION I, Joseph S. Labell, Corporate Secretary of the Arch Insurance Company, do hereby certify that the attached Power of Attorney dated March 21, 2003 on behalf of the person(s) as listed above is a true and correct copy and that the same has been in full force and effect since the date thereof and is in full force and effect on the date of this certificate; and I do further certify that the said Thomas P. Luckstone, who executed the Power of Attorney as Vice President, was on the date of execution of the attached Power of Attorney the duly elected Vice President of the Arch Insurance Company IN TESTIMONY WHEREOF, I have hereunto subscribed my name and affixed the corporate seal of the Arch Insurance Company on this 2nd day of December , 20 03 1 ,to Labell, Corporate Secretary This Power of Attorney limits the acts of those named therein to the bonds and undertakings specifically named therein and they have no authority to bind the Company except in the manner and to the extent herein stated. Home Office: Kansas MO �PepfG111246 OOML0013 00 03 03 Page 2 of 2 Printed in U.S.A. Bond #SU5003354 Premium: $6,638.00 CITY OF PALM SPRINGS BOND FOR MAINTENANCE AND WARRANTY OF IMPROVEMENTS WHEREAS, the City Council of the City of Palm Springs, State of California, and K. Hovnanian's Four Seasons at Palm Springs, LLC, a Califomia Limited Liability Company (hereinafter designated as "Principal")have entered into an agreement whereby Principal agrees to install and complete certain designated public improvements, which said agreement, dated . -)— , 20D5, and identified as Tract Mao No. 30054, is hereby referred to and made a part hereof; and WHEREAS, Principal is required underthe terms of said Agreement to maintain and guarantee the costs or repair and/or replacement of defective materials or defective workmanship in such improvements,which guarantee shall remain in effect for a period of one (1) year from date of acceptance of work by the City of Palm Springs (hereinafter called "City'), and to furnish a bond forthe faithful performance of said Agreement and the payment of all contractors, subcontractors, laborers, materialmen, and other persons employed in the performance of any such maintenance and warranty work. WHEREAS, Principal has completed said work and the City has accepted, or substantially concurrently herewith is accepting, said work, subject to the requirement of delivery of this obligation. NOW THEREFORE, we, the Principal, and Arch Insurance Comnanv as Surety, are held and firmly bound unto the City, and all contractors,' subcontractors, laborers, materialmen, and other persons employed in the performance of the aforesaid Agreement, for one (1)yearfrom and after the date of completion and acceptance of said work, in the penal sum of Eight Hundred Eighty-Five Thousand and 06/100 dollars ($885.000.00), lawful money of the United States,for replacement and repair of any and all defective materials or defective workmanship within said improvements, and the payment of all materials furnished or labor thereon of any kind, or for amounts due under the Unemployment Insurance Act with respect to such work or labor in connection with any such maintenance or warranty, that said surety will pay the same in an amount not exceeding the amount hereinabove set forth,forthe payment of which sum well and truly to be made, we bind ourselves, our heirs, successors, executors and administrators,jointly and severally, firmly by these presents. It is hereby expressly stipulated and agreed that this bond shall inure to the benefit of any and all persons, companies and corporations entitled to file claims under Title 15 (commencing with Section 3082) of Part 4 of Division 3 of the Civil Code, so as to give a right of action to them or their assigns in any suit brought upon this bond. The condition of this obligation is such that if the above bonded Principal, his or its heirs, executors, administrators, successors or assigns, shall in all things stand to and abide by, and well and truly keep and perform the covenants, conditions and provisions in the said Agreement respecting the repair and replacement of defective workmanship and materials thereof made as therein provided, on his or their part to be kept and performed at Maintenance &Warranty Bond Page 2 the time and in the manner therein specified, and in all respects save harmless the City of Palm Springs, its officers, agents and employees, as therein stipulated,then this obligation becomes null and void; otherwise it shall be and remain in full force and effect. As a part of the obligation secured hereby and in addition to the face amount specified therefor, there shall be included costs and reasonable expenses and fees, including reasonable attorney's fees, incurred by the City in successfully enforcing such obligation, all to be taxed as costs and included in any judgment rendered. The surety hereby stipulates and agrees that no change, extension of time, alteration or addition to the terms of the Agreement or to the work to be performed thereunder or the specifications accompanying the same shall in anyway affect its obligations on this bond, and it does hereby waive notice of any such change, extension of time, alteration or addition to the terms of the Agreement or to the, work or to the specifications. IN WITNESS WHEREOF, this instrument has been duly executed by the Principal and Surety above named, on December z , 20 03 PRINCIPAL K. Hovnanian's F ur Seasons at Palm Springs,LLC, a California Limited Liability Company By: ature JORGE ALVAREZ,VICE PRESIDENT H.HOVNANIAN COMPANIES OF CALIFORNIA,INC. By: AUTHORIZED AGENT Name and Title SURETY B Arch Insurance Company B r Y� y: (Surety Name) Attomey-in-Fact Victoria M Campbell (All Signatures Shall Be Notarized) CALIFMR] IA ALL-PURPOSE ,9 CKNOWLEDGIFYIE T yr,,�r��=e.crcr�.r ,�.�rcre-Y•.cncoee>�.r-.cep.-�r-,�r,�r.�.�r-.�,�'nc-.r.,-�,^,�=e.anc��r-crce`.�r.�rcrcr.�rc=r•.a State of California rl County of y On F_'CC'W�OPX'J dC43 before me,4;I/ d_A)�! -d, fVd�l(c1 Pulob z> t Dale Name and Title of OL`mer(e g,'Jane Doe,Notary ubh ) personally appeared OVo,e AQayez N.rnab)of Sgner(s) personally known to me ❑ proved to me on the basis of satisfactory evidence to be the person(g) whose name(s) is/arm subscribed to the within instrument and I acknowledged to me that he/shQ4hay executed the same in his/her/their authorized capacity(ies), and that by hisilh4i #eir a CANDACE BLANCHARD signature(%) on the instrument the person(,, or Commission# 1395699 Notary Public-Californi the entity upon behalf of which the person(w)a I: ? � I Orange county acted, executed the instrument. I. My Comm.Explres Feb 19,2001l WITNESS my hand and official seal. Place Notary Seal Above Signature of Notary Public OPTIONAL Though the information below is not required bylaw, it may prove valuable to persons relying on the document and could prevent fraudulent removal and reattachment of this form to another document. Description of Attached Document t� Title or Type of Document: fi Document Date: Number of Pages: Signer(s) Other Than Named Above: I Capacity(ies) Claimed by Signer Signer's Name: I: ❑ Individual Top of thumb here ❑ Corporate Officer—Title(s): ❑ Partner—❑Limited ❑ General ( ❑ Attorney in Fact ❑ Trustee ❑ Guardian or Conservator ❑ Other: I I Signer Is Representing: Cv 1997 National Notary Association•9350 Do Soto Ave.,P.O.Box 2402•Chatsworth,CA 91313.2402 Prod.No.5907 Pounds,:Call Tall-Free 1-800-676-6827 STATE OF California SS. COUNTY OF Orange On nFr. 8 % 213 before me, Janina Monroe, Notary Public PEP.SONALLY APPEARED Victoria M. Campbell personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowl- edged to me that he/she/they executed the same in his/ her/their authorized capacity(ies), and that by his/her/ their signature(s) on the instrument the person(s), or the l entity upon behalf of which the persons) acted, executed /: rF the instrument. WITNESS my hand and official seal. _ Signature � � /MJ n? This area for Official Notarial Seal U_ OPTIONAL Though the data below is not required by law, it may prove valuable to persons relying on the document and could prevent fraudulent reattachment of this form. CAPACITY CLAIMED BY SIGNER DESCRIPTION OF ATTACHED DOCUMENT ❑ INDIVIDUAL ❑ CORPORATE OFFICER rIn.EISI TITLE OR TYPE OF DOCUMENT ❑ PARTNER(S) ❑ LIMITED ❑ GENERAL ❑ ATTORNEY-IN-FACT NUMBER OF PAGES ❑ TRUSTEE(S) ❑ GUARDIAN/CONSERVATOR ❑ OTHER: DATE OF DOCUMENT SIGNER IS REPRESENTING: NAME OF PERSON(S)OP ENTITY(IES) SIGNER(S) OTHER THAN NAMED ABOVE ID-081 Rev.6194 ALL-PURPOSE ACKNOWLEDGEMENT ARCH Insurance Company ARCH Surety NOTICE — DISCLOSURE OF TERRORISM PREMIUM In accordance with the Terrorism Risk Insurance Act of 2002, we are providing this disclosure notice for bonds on which Arch Insurance Company is the surety. DISCLOSURE OF PREMIUM The portion of the premium attributable to coverage for terrorist acts certified under the Act is Zero Dollars ($0.00). DISCLOSURE OF FEDERAL PARTICIPATION IN PAYMENT OF TERRORISM LOSSES The United States will pay ninety percent (90%) of covered terrorism losses exceeding the applicable insurer deductible. POWER OF ATTORNEY Know All Men By These Presents: That the Arch Insurance Company, a corporation organized and existing under the laws of the State of Missouri, having its principal office in Kansas City, Missouri (hereinafter referred to as the "Company") does hereby appoint Victoria M. Campbell, Thomas G. McCall and Janina Monroe of Irvine, CA (EACH) its true and lawful Attorney(s)-in-Fact, to make, execute, seal, and deliver from the date of issuance of this power for and on its behalf as surety, and as its act and deed: Any and all bonds and undertakings EXCEPTION: NO AUTHORITY is granted to make, execute, seal and deliver bonds or undertakings that guarantee the payment or collection of any promissory note, check, draft or letter of credit. This authority does not permit the same obligation to be split into two or more bonds in order to bring each such bond within the dollar limit of authority as set forth herein. The Company may revoke this appointment at any time. The execution of such bonds and undertakings in pursuance of these presents shall be as binding upon the said Company as fully and amply to all intents and purposes, as if the same had been duly executed and acknowledged by its regularly elected officers at its principal office in Kansas City, Missouri. This Power of Attorney is executed by authority of resolutions adopted by unanimous consent of the Board of Directors of the Company on March 3, 2003, true and accurate copies of which are hereinafter set forth and are hereby certified to by the undersigned Secretary as being in full force and effect. "VOTED, That the Chairman of the Board, the President, or any Vice President, or their appointees designated in writing and filed with the Secretary, or the Secretary shall have the power and authority to appoint agents and attorneys-in-fact, and to authorize them to execute on behalf of the Company, and attach the seal of the Company thereto, bonds and undertakings, recognizances, contracts of indemnity and other writings, obligatory in the nature thereof, and any such officers of the Company may appoint agents for acceptance of process." This Power of Attorney is signed, sealed and certified by facsimile under and by authority of the following resolution adopted by the unanimous consent of the Board of Directors of the Company on March 3, 2003: VOTED, That the signature of the Chairman of the Board, the President, or any Vice President, or their appointees designated in writing and filed with the Secretary, and the signature of the Secretary, the seal of the Company, and certifications by the Secretary, may be affixed by facsimile on any power of attorney or bond executed pursuant to the resolution adopted by the Board of Directors on March 3, 2003, and any such power so executed, sealed and certified with respect to any bond or undertaking to which it is attached, shall continue to be valid and binding upon the Company. 00ML0013 00 03 03 Page 1 of 2 Printed in U.S.A. In Testimony Whereof, the Company has caused this instrument to be signed and its corporate seal to be affixed by their authorized officers, this 21 st day of March, 2003. Arch Insurance Company Attested and Certified D-111 Jos . Labell, Corporate Secretaryr �L( Thomas P. Lucks#on , Vice President STATE OF CONNECTICUT SS COUNTY OF FAIRFIELD SS I Melissa B. Gilligan, a Notary Public, do hereby certify that Thomas P. Luckstone and Joseph S. Labell personally known to me to be the same persons whose names are respectively as Vice President and Corporate Secretary of the Arch Insurance Company, a Corporation organized and existing under the laws of the State of Missouri, subscribed to the foregoing instrument, appeared before me this day in person and severally acknowledged that they being thereunto duly authorized signed, sealed with the corporate seal and delivered the said instrument as the free and voluntary act of said corporation and as their own free and voluntary acts for the uses and purposes therein set forth. • ;+ Melissa B.WJ figan, Notary Pub i Mycomrnlsslon expires 2.28-05 , 14 z.,. CERTIFICATION I, Joseph S. Labell, Corporate Secretary of the Arch Insurance Company, do hereby certify that the attached Power of Attorney dated March 21, 2003 on behalf of the person(s) as listed above is a true and correct copy and that the same has been in full force and effect since the date thereof and is in full force and effect on the date of this certificate; and I do further certify that the said Thomas P. Luckstone, who executed the Power of Attorney as Vice President, was on the date of execution of the attached Power of Attorney the duly elected Vice President of the Arch Insurance Company, IN TESTIMONY WHEREOF, I have hereunto subscribed my name and affixed the corporate seal of the Arch Insurance Company on this 2nd day of December , 20 03 Jos . Labefl,Corporate Secretary This Power of Attorney limits the acts of those named therein to the bonds and undertakings specifically named therein and they have no authority to bind the Company except in the manner and to the extent herein stated. Home Office: Kansas " MO �# 'G" WAMWI� OOMLOO13 00 03 03 nr Page 2 of 2 i ari F Printed in U.S.A. Miidird Bond #SU5003355 Premium: $600.00 CITY OF PALM SPRINGS BOND FOR FAITHFUL PERFORMANCE, LABOR, AND MATERIALS FOR SETTING OF MONUMENTS WHEREAS, the City Council of the City of Palm Springs, State of California, and K. Hovnanian's Four Seasons at Palm Springs, LLC, a California Limited Liability Company (hereinafter designated as "Principal") have entered into an agreement whereby Principal agrees to set certain survey monuments, which said agreement, dated I7 14, 20 a , and identified as Tract Mao No. 30054, is hereby referred to and made a part hereof; and WHEREAS, said Principal is required underthe terms of said Agreement to furnish a bond for the faithful performance of said Agreement and the payment of the engineer or surveyor for the setting of said monuments. NOW THEREFORE, we, the Principal, and Arch Insurance Company as surety, are held and firmly bound unto the City of Palm Springs (hereinafter called "City"), and all contractors, subcontractors, laborers, materialmen, and other persons employed in the performance of the aforesaid Agreement with respect to the setting of monuments,'in the penal sum of Eighty Thousand and 00/100 dollars ($80 000.00 , lawful money of the United States, for materials furnished or labor thereon of any kind, or for amounts due under the Unemployment Insurance Act with respect to such work or labor, and for the completion of said setting of monuments, that said surety will pay the same in an amount not exceeding the amount hereinabove set forth, for the payment of which sum well and truly to be made,we bind ourselves, our heirs, successors, executors and administrators, jointly and severally, firmly by these presents. It is hereby expressly stipulated and agreed that this bond shall inure•to the benefit of any and all persons, companies and corporations entitled to file claims under Title 15 (commencing with Section 3082) of Part 4 of Division 3 of the Civil Code, so as to give a right of action to them or their assigns in any suit brought upon this bond. The condition of this obligation is such that if the above bonded Principal, his or its heirs, executors, administrators, successors or assigns, shall in all things stand to and abide by, and well and truly keep and perform the covenants, conditions and provisions in the said Agreement respecting the setting of monuments and any alteration thereof made as therein provided, on his or their part to be kept and performed at the time and in the manner therein specified, and in all respects according to their true intent and meaning, and shall indemnify and save harmless the City of Palm Springs, its officers, agents"and employees, as therein stipulated, and shall have provided to the City evidence that the engineer or surveyor, and all said contractors, subcontractors, laborers, materialmen, and other persons employed in the performance of the aforesaid Agreementwith respectto the setting of monuments, have been paid for the setting of monuments, then this obligation becomes null and void; otherwise it shall be and remain in full force and effect. Monumentation Bond Page 2 As a part of the obligation secured hereby and in addition to the face amount specified therefor, there shall be included costs and reasonable expenses and fees, including reasonable attorney's fees, incurred by the City in successfully enforcing such obligation, all to be taxed as costs and included in any judgment rendered. The surety hereby stipulates and agrees that no change, extension of time, alteration or addition to the terms of the agreement or to the work to be performed thereunder or the specifications accompanying the same shall In any way affect its obligations on this bond, and it does hereby waive notice of any such change, extension of time, alteration or addition to the terms of the Agreement or to the work or to the specifications. IN WITNESS WHEREOF, this instrument has been duly executed by the Principal and Surety above named, on December z , 20o. PRINCIPAL K. Hovnanian's Four pasonsatPalm Springs,LLC,a California Limited Liability Company By: Sig a JORGE AIVAREE,VICE PRESIDENT K HOVNANIAN COMPANIES Of CAJNONIgkIK By: AMODRIIEDWX Name and Title SURETY By: Arch Insurance company By: (Surety Name) Attorney-in-Fact Victoria M Campbell (All Signatures Shall Be Notarized) 4CAILIFOPH31A ALL-PURPOSE ACKNQ5ls�r^FI EDGMENT "F:- -C.-— - - -C- - -NF - a I, State of California I' County of l�'Y c7''v'l��i ss. I' i. On dza3 , before me,(atClace (�"ayd 1VfdWq / uf0f,C- I Dale J, Name and Title of Ctllcer to 9.,-Jane Doe,Notary Public') personally appeared 04�Qe AWwez_ I, Q Name(s)of Sarer(s) personally known to me ❑ proved to me on the basis of satisfactory evidence I to be the personA whose name(s) is/are fi subscribed to the within instrument and acknowledged to me that he/s#eltktay executed the same in his/her/their authorized capacity(ies), and that by his/4&atleeir CANDACE BLANCH�ARD signature(%) on the instrument the person($'), or `= Commission# 1395599 f the entity upon behalf of which the person(aj I• o Notary Public -California orange County acted,'executed the instrument. My Comm.Expires Feb 19,2007 'I I� WITNESS my hand and official seal. I I I Place Notary Seal Above Sgdalure of Notary Public ' OPTIONAL Though the information below is not required by law, it may prove valuable to persons relying on the document and could prevent fraudulent removal and reattachment of this form to another document. Description of Attached Document Title or Type of Document: Document Date: Number of Pages: I i Signer(s) Other Than Named Above: I. Capacity(ies) Claimed by Signer Signer's Name: ❑ Individual Top of thumb here ❑ Corporate Officer—Title(s): ❑ Partner—❑ Limited ❑ General ❑ Attorney in Fact ❑ Trustee ❑ Guardian or Conservator I I ❑ Other: Signer Is Representing: I I 1 ©1997 National Notary Asscolabon•9350 De Soto Ave.,Pa Box 2402•Chatsworth,CA 91313-2402 Prod.No 5907 Reorder Call Toll-Free 1-800-876-6627 =;;,' A` STATE OF California S5. COUNTY OF Orange On DEC 0 2 20 before me, Janina Monroe, Notary Public PERSONALLY APPEARED Victoria M. Campbell personally known to me (or proved to me on the basis of satisfactory evidence) to be the person(s-) whose name(s) is/are subscribed to the within instrument and acknowl- edged to me that he/she/they executed the same in his/ T ; her/their authorized capacity(ies), and that by his/her/ 61 their signature(s) on the instrument the person(s), or theCI ctA r`(�s.i entity upon behalf of which the person(s) acted, executed \�-„-5 / •'n 2 n+,:e,,,. the instrument. WITNESS my hand and official seal. This area far Official Netnrial Seal Signatule� �� U OPTIONAL Though the data below is not required by law, it may prove valuable to persons relying on the document and could prevent fraudulent reattachment of this farm. CAPACITY CLAIMED BY SIGNER DESCRIPTION OF ATTACHED DOCUMENT ❑ INDIVIDUAL ❑ CORPORATE OFFICER nnEis) TITLE OR TYPE OF DOCUMENT ❑ PARTNER(S) ❑ LIMITED ❑ GENERAL ❑ ATTORNEY-IN-FACT NUMBER OF PAGES ❑ TRUSTEE(S) ❑ GUARDIAN/CONSERVATOR ❑ OTHER: DATE OF DOCUMENT SIGNER IS REPRESENTING: NAME OF PERSON(S)OR ENTITY(IES) SIGNER(S) OTHER THAN NAMED ABOVE Io-ael rep.e/94 ALL-PURPOSE ACKNOWLEDGEMENT ARCH Insurance Company ARCH Surety NOTICE — DISCLOSURE OF TERRORISM PREMIUM In accordance with the Terrorism Risk Insurance Act of 2002, we are providing this disclosure notice for bonds on which Arch Insurance Company is the surety. DISCLOSURE OF PREMIUM The portion of the premium attributable to coverage for terrorist acts certified under the Act is Zero Dollars ($0.00). DISCLOSURE OF FEDERAL PARTICIPATION IN PAYMENT OF TERRORISM LOSSES The United States will pay ninety percent (90%) of covered terrorism losses exceeding the applicable insurer deductible. POWER OF ATTORNEY Know All Men By These Presents: That the Arch Insurance Company, a corporation organized and existing under the laws of the State of Missouri, having its principal office in Kansas City, Missouri (hereinafter referred to as the "Company") does hereby appoint Victoria M. Campbell, Thomas G. McCall and Janina Monroe of Irvine, CA (EACH) its true and lawful Attorney(s)-in-Fact, to make, execute, seal, and deliver from the date of issuance of this power for and on its behalf as surety, and as its act and deed: Any and all bonds and undertakings EXCEPTION: NO AUTHORITY is granted to make, execute, seal and deliver bonds or undertakings that guarantee the payment or collection of any promissory note, check, draft or letter of credit. This authority does not permit the same obligation to be split into two or more bonds in order to bring each such bond within the dollar limit of authority as set forth herein. The Company may revoke this appointment at any time. The execution of such bonds and undertakings in pursuance of these presents shall be as binding upon the said Company as fully and amply to all intents and purposes, as if the same had been duly executed and acknowledged by its regularly elected officers at its principal office in Kansas City, Missouri. This Power of Attorney is executed by authority of resolutions adopted by unanimous consent of the Board of Directors of the Company on March 3, 2003, true and accurate copies of which are hereinafter set forth and are hereby certified to by the undersigned Secretary as being in full force and effect: "VOTED, That the Chairman of the Board, the President, or any Vice President, or their appointees designated in writing and filed with the Secretary, or the Secretary shall have the power and authority to appoint agents and attorneys-in-fact, and to authorize them to execute on behalf of the Company, and attach the seal of the Company thereto, bonds and undertakings, recognizances, contracts of indemnity and other writings, obligatory in the nature thereof, and any such officers of the Company may appoint agents for acceptance of process." This Power of Attorney is signed, sealed and certified by facsimile under and by authority of the following resolution adopted by the unanimous consent of the Board of Directors of the Company on March 3, 2003: VOTED, That the signature of the Chairman of the Board, the President, or any Vice President, or their appointees designated in writing and filed with the Secretary, and the signature of the Secretary, the seal of the Company, and certifications by the Secretary, may be affixed by facsimile on any power of attorney or bond executed pursuant to the resolution adopted by the Board of Directors on March 3, 2003, and any such power so executed, sealed and certified with respect to any bond or undertaking to which it is attached, shall continue to be valid and binding upon the Company. OOML0013 00 03 03 Page 1 of 2 Printed in U.S.A. In Testimony Whereof, the Company has caused this instrument to be signed and its corporate seal to be affixed by the.- authorized officers, this 21st day of March, 2003. Arch Insurance Company Attested and Certified mRncxett irJG�''�_!'�� JDS . Labell, Corporate secretary ' °" Y Thomas P. Luckstone"Vice President Yka#td STATE OF CONNECTICUT SS COUNTY OF FAIRFIELD SS 1 Melissa B. Gilligan, a Notary Public, do hereby certify that Thomas P. Luckstone and Joseph S. Labell personally known to me to be the same persons whose names are respectively as Vice President and Corporate Secretary of the Arch Insurance Company, a Corporation organized and existing under the laws of the State of Missouri, subscribed to the foregoing instrument, appeared before me this day in person and severally acknowledged that they being thereunto duly authorized signed, sealed with the corporate seal and delivered the said instrument as the free and voluntary act of said corporation and as their own free and voluntary acts for the uses and purposes therein set forth. Melissa B. Gilligan, Notary Pubrie My commission expires 2-28-05 CERTIFICATION I, Joseph S. Labell, Corporate Secretary of the Arch Insurance Company, do hereby certify that the attached Power of Attorney dated March 21, 2003 on behalf of the person(s) as listed above is a true and correct copy and that the same has been in full force and effect since the date thereof and is in full force and effect on the date of this certificate; and I do further certify that the said Thomas P. Luckstone, who executed the Power of Attorney as Vice President, was on the date of execution of the attached Power of Attorney the duly elected Vice President of the Arch Insurance Company. IN TESTIMONY WHEREOF, I have hereunto subscribed my name and affixed the corporate seal of the Arch Insurance Company on this 2nd day of December , 20 o3 .foe . Labell,Corporate Secretary This Power of Attorney limits the acts of those named therein to the bonds and undertakings specifically named therein and they have no authority to bind the Company except in the manner and to the extent herein stated. Home Office: Kansas MO (�T *nC4 " OOML0013 00 03 03 Page 2 of 2 `C Printed in U.S.A. Mi11#Itll