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HomeMy WebLinkAbout09 - Landscape & Hardscape Maintenance on West Coast HighwayCITY OF F NEWPORT REACH City Council Staff Report November 12, 2014 Agenda Item No. 9 TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL FROM: David A. Webb, Public Works Director- (949) 644 -3330, dawebb @newportbeachca.gov PREPARED BY: David Keely, Senior Civil Engineer PHONE: (949) 644 -3349 TITLE: Agreements for Landscape and Hardscape Maintenance on West Coast Highway (Route 1) for the Mariner's Pointe Development Project at 100 — 300 West Coast Highway ABSTRACT: The Mariner's Pointe commercial development project (100 — 300 West Coast Highway) is located at the northwest corner of West Coast Highway (Route 1) and Dover Drive. The right -of -way for this portion of West Coast Highway is within the jurisdiction of the State of California Department of Transportation (Caltrans). The development plan for Mariner's Pointe includes non - standard hardscape and landscape improvements within Caltrans right -of -way such as decorative precast concrete pavers, colored concrete and palm trees along West Coast Highway. Caltrans will permit maintenance of the non - standard improvements by the local jurisdiction and the City intends to assign responsibility for maintenance to the project developer. RECOMMENDATION: a) Approve and authorize the Mayor and City Clerk to execute the "Project Specific Maintenance Agreement for Route 1 in the City of Newport Beach" between the City of Newport Beach and State of California Department of Transportation; b) Approve and authorize the Mayor and City Clerk to execute the "Landscape Maintenance Agreement within State Highway Right of Way on Route 1 with the City of Newport Beach" between the City of Newport Beach and State of California Department of Transportation; and c) Approve and authorize the Mayor and City Clerk to execute the License Agreement between the City of Newport Beach and VBAS Properties, Inc. FUNDING REQUIREMENTS: No City funding is required for the Project Specific Agreement. The Mariner's Pointe developer will prc according to the attached License Agreement. Maintenance Agreement or Landscape Maintenance vide maintenance of the non - standard improvements M DISCUSSION: The Mariner's Pointe commercial development project, located at 100 — 300 West Coast Highway, was approved by Resolution No. 2011 -86 and adopted by the City Council on August 9, 2011. The project consists of a 23,015 square foot, two story commercial building and three -story parking structure. The project developer has provided additional amenities beyond those that are otherwise required. The amenities include enhanced hardscape and landscape within the public- right -of -way along West Coast Highway and Dover Drive. To further improve the streetscape and improve the entrance to the corridor, the developer has installed decorative grey precast pavers and grey colored concrete within the West Coast Highway and Dover Drive public right -of -ways. The project has also installed eleven (11) Washingtonia Robusto 'Hybrid' palms and other landscaping within the West Coast Highway and Dover Drive public right -of -ways. The maintenance of the hardscape and landscape within the Caltrans right -of- way will require a Project Specific Maintenance Agreement (Attachment A) and Landscape Maintenance Agreement (Attachment B) with Caltrans, respectively. The City will enter into a separate License Agreement (Attachment C) with the project developer requiring the developer to provide maintenance and liability for the hardscape and landscape improvements along the West Coast Highway and Dover Drive frontages in perpetuity. ENVIRONMENTAL REVIEW: The environmental impacts of the project as a whole were analyzed under the Mitigated Negative Declaration (MND) that was adopted for the project by the City Council on August 9, 2011. The MND was prepared in accordance with the implementing guidelines of the California Environmental Quality Act (CEQA), the State CEQA Guidelines, and City Council Policy K -3. With mitigation measures and standard conditions of approval indicated in the Initial Study and set forth in the Mitigation Monitoring and Reporting Program included with the MND, all potential impacts would be mitigated to a less than significant level. Execution of these agreements to assign maintenance responsibility will not result in changes to the project that would involve new significant environmental effects or result in additional mitigation measures. NOTICING: The agenda item has been noticed according to the Brown Act (72 hours in advance of the meeting at which the City Council considers the item). ATTACHMENTS: Description Attachment A - Proiect Specific Maintenance Agreement for Route 1 in Newport Beach Attachment B - Landscape Maintenance Agreement within State Highway Right of Way on Route 1 with the City of Newport Beach Attachment C - License Agreement between the City of Newport Beach and Ridgeway Development Company Attachment D - Site Exhibit 99 ATTACHMENT A PROJECT SPECIFIC MAINTENANCE AGREEMENT FOR ROUTE 1 IN THE CITY OF NEWPORT BEACH THIS AGREEMENT is made effective this day of, 2014, by and between the State of California, acting by and through the Department of Transportation, hereinafter referred to as "STATE" and the City of Newport Beach; hereinafter referred to as "CITY" and collectively referred to as "PARTIES ". SECTION I RECITALS 1. WHEREAS, PARTIES desire to work together to allocate respective obligations relative to newly constructed or revised improvements which include but not limited to constructing new curb and gutter, driveway, and removing the sidewalk and replacing it with precast concrete pavers and colored concrete for new sidewalk, (as part of the Mariner's Point Development) on State Route 1, hereinafter referred to as "PROJECT ", as shown on Exhibit "A ", by Permit Numbers 12 -6MC -0100 and 14 -6RW -0172, and 2. WHEREAS, it was agreed by PARTIES that prior to or upon PROJECT completion, CITY and STATE will enter into a Maintenance Agreement. 3. WHEREAS, the PARTIES hereto mutually desire to clarify the division of maintenance responsibility as defined in Section 27 of the California Streets and Highways Code and their respective responsibilities as to PROJECT constructed under the Encroachment Permit Numbers 12- 6MC -0100 and 14 -6RW -0172. NOW THEREFORE, IT IS AGREED AS FOLLOWS: SECTION II AGREEMENT 4. Exhibit A consists of a plan drawing that delineates the areas within STATE right of way which are the responsibility of the CITY to maintain in accordance with this Maintenance Agreement. The CITY agrees that CITY will construct, maintain, inspect, clean, repair, replace and rehabilitate the PROJECT at no cost to the STATE. All the work will be performed in a manner to ensure ADA compliance at all the time. 6. If there is mutual agreement on the change in the maintenance duties between PARTIES, the PARTIES can revise the Exhibit "A" by a mutual written- execution of the exhibit. 9 -3 7. CITY and CITY's contractors must obtain the necessary Encroachment Permits from STATE's District 12 Encroachment Permit Office prior to entering STATE right of way to perform CITY maintenance responsibilities. This permit will be issued at no cost to CITY. In case of a need for any lane closure, the time frame shall be coordinated with STATE. Any disturbed pavement due to pressure, operation, maintenance and repair of the PROJECT will be repaired and restored by CITY to STATE's satisfaction at no cost to STATE. 8. CITY will maintain, at CITY expense, all facilities constructed by PROJECT within State right of way, including, but without limitation curbs, sidewalks, drainage system (and shall perform such work as may be necessary to ensure a safe, and otherwise suitable surface), lighting installations with the exception of street lights, signs, pavement and pavement markings that may be required for the benefit or control of traffic using that roadway or facilities otherwise described in Exhibit "A ". 9. If during the term of this Agreement, CITY should cease to maintain the "PROJECT" to the satisfaction of STATE as provided by this Agreement, STATE may either undertake to perform that maintenance on behalf of CITY at CITY's expense or direct CITY to remove or itself remove PROJECT at CITY's sole expense and restore STATE's right of way to its prior or safe operable condition. CITY hereby agrees to pay STATE said expenses, within thirty (30) days of receipt of billing by STATE. However, prior to STATE performing any maintenance or removing PROJECT, STATE will provide written notice to CITY to cure the default and CITY will have thirty (30) days within which to affect that cure. 10. LANDSCAPED AREAS - Responsibility for the maintenance of any plantings or other types of roadside development lying outside of the area reserved for exclusive freeway use shall lie with CITY and not with STATE and are the subject of a separate Landscape Maintenance Agreement. 11. BICYCLE PATHS - Except for bicycle paths constructed as permitted encroachments within STATE's right of way for which the permittee is solely responsible for all path improvements, STATE will maintain, at STATE expense, all fences, guard railing, drainage facilities, slope and structural adequacy of any bicycle path located and constructed within STATE's right of way. CITY will maintain, at CITY expense, a safe facility for bicycle travel along the entire length of the path by providing sweeping and debris removal when necessary; and all signing and striping and pavement markings required for the direction and operation of that non - motorized facility. 12. LEGAL RELATIONS AND RESPONSIBILITIES 12.1. Nothing within the provisions of this Agreement is intended to create duties or obligations to or rights in third parties not parties to this Agreement or to affect the legal liability of a PARTY to the Agreement by imposing any standard of care with 1) am respect to the operation and maintenance of STATE highways and local facilities different from the standard of care imposed by law. 12.2. Neither CITY nor any officer or employee thereof is responsible for any injury, damage or liability occurring by reason of anything done or omitted to be done by, under or in connection with any work, authority or jurisdiction conferred upon STATE under this Agreement. It is understood and agreed that STATE shall fully defend, indemnify and save harmless CITY and all of their officers and employees from all claims, suits or actions of every name, kind and description brought forth under, including, but not limited to, tortious, contractual, inverse condemnation or other theories or assertions of liability occurring by reason of anything done or omitted to be done by STATE under this Agreement with the exception of those actions of STATE necessary to cure a noticed default on the part of CITY. 12.3. Neither STATE nor any officer or employee thereof is responsible for any injury, damage or liability occurring by reason of anything done or omitted to be done by CITY under or in connection with any work, authority or jurisdiction conferred upon CITY under this Agreement. It is understood and agreed that CITY shall fully defend, indemnify and save harmless STATE and all of its officers and employees from all claims, suits or actions of every name, kind and description brought forth under, including section but not limited to, tortious, contractual, inverse condemnation or other theories or assertions of liability occurring by reason of anything done or omitted to be done by CITY under this Agreement. 13. PREVAILING WAGES: 13.1. Labor Code Compliance- If the work performed on this Project is done under contract and falls within the Labor Code section 1720(a)(1) definition of a "public work" in that it is construction, alteration, demolition, installation, or repair; or maintenance work under Labor Code section 1771. CITY must conform to the provisions of Labor Code sections 1720 through 1815, and all applicable provisions of California Code of Regulations found in Title 8, Chapter 8, Subchapter 3, Articles 1 -7. CITY agrees to include prevailing wage requirements in its contracts for public work. Work performed by CITY's own forces is exempt from the Labor Code's Prevailing Wage requirements. 13.2. Requirements in Subcontracts - CITY shall require its contractors to include prevailing wage requirements in all subcontracts funded by this Agreement when the work to be performed by the subcontractor is a "public work" as defined in Labor Code Section 1720(a)(1) and Labor Code Section 1771. Subcontracts shall include all prevailing wage requirements set forth in CITY contracts. 14. SELF - INSURED - CITY is self insured. CITY agrees to deliver evidence of self - insured coverage in a form satisfactory to STATE, along with a signed copy of the Agreement. 15. SELF- INSURED, using Contractor - If the work performed on this Project is done under contract CITY shall require its contractors to maintain in force, during the term of this agreement, a policy of general liability insurance, including coverage of bodily injury 3 9 -5 liability and property damage liability, naming the STATE, its officers, agents and employees as the additional insured in an amount of $1 million per occurrence and $2 million in aggregate. Coverage shall be evidenced by a certificate of insurance in a form satisfactory to the STATE that shall be delivered to the STATE with a signed copy of this Agreement. 16. TERMINATION - This Agreement may be terminated by timely mutual written consent by PARTIES, and CITY's failure to comply with the provisions of this Agreement may be grounds for a Notice of Termination by STATE. Prior to termination of this agreement, CITY will be required to remove the "PROJECT" and restore the site to the STATE's standard at no cost to the STATE. The CITY shall perform the task within 120 days of written notice by STATE. In case of CITY's failure to perform the requested task, STATE will remove the "PROJECT" in behalf of CITY. The CITY shall be solely responsible to reimburse STATE for all the cost associated with the removal and restoration of the area in a timely manner. 17. TERM OF AGREEMENT - This Agreement shall become effective on the date first shown on its face sheet and shall remain in full force and effect until amended or terminated at any time upon mutual consent of the PARTIES or until terminated by STATE for cause. PARTIES are empowered by Streets and Highways Code Section 114 and 130 to enter into this Agreement and have delegated to the undersigned the authority to execute this Agreement on behalf of the respective agencies and covenants to have followed all the necessary legal requirements to validly execute this Agreement. 4 IN WITNESS WHEREOF, the PARTIES hereto have set their hands and seals the day and year first above written. THE CITY OF NEWPORT BEACH A California Municipal Corporation and Charter City Rush N. Hill, II Mayor ATTEST: M Leilani Brown, CITY Clerk APPROVED AS TO FORM: OFFICE OF THE CITY ATTORNEY ByD M Aaron C. Harp, CITY Attorney I� STATE OF CALIFORNIA DEPARTMENT OF TRANSPORTATION MALCOLM DOUGHERTY Director of Transportation James Pinheiro Deputy District Director Maintenance and Operations District 12 As to Form and Procedure: Attorney Department of Transportation 9 -7 0 W w F 6T �oa mz u zaZ.5 Vi K ziwo Z -03 a � 90 uGd� N3au a W r �W 0w o- �a Ww zz �F �8 °z 5 g 0 r m �� a; a0 �o 3F 3 o r u a Z 3 o ur a� z0 ° vZ uz o m 0 3� r - 2z ou �° u� zm z °u F 6T �oa mz u zaZ.5 Vi K ziwo Z -03 a � 90 uGd� N3au a W r �W 0w o- �a Ww zz �F �8 °z 5 g /_1ir_COI:hrll=Ii!119 LANDSCAPE MAINTENANCE AGREEMENT WITHIN STATE HIG14WAY 121GHT OF WAY ON ROUTE 1 WITH THE CITY OF NEWPORT BEACH THIS AGREEMENT is made effective this day of , 2014, by and between the State of California, acting by and through the Department of Transportation, hereinafter referred to as "STATE" and the City of Newport Beach; hereinafter referred to as "CITY" and collectively referred to as "PARTIES ". SECTION I RECITALS 1. PARTIES desire to work together to allocate respective obligations relative to newly constructed or revised improvements within STATE's right of way by Permit Number 12 -6MC -0100. 2. This Agreement addresses CITY responsibilities which includes but not limited to landscaping, planting, irrigation systems, mulches, control litter and weed removal, (collectively the "LANDSCAPING ") placed within State Highway right of way on State Route 1, as shown on Exhibit A, attached to and made a part of this Agreement. NOW THEREFORE, IT IS AGREED AS FOLLOWS: SECTION II AGREEMENT 3. In consideration of the mutual covenants and promises herein contained, CiTY and STATE agree as follows: 3.1. PARTIES have agreed to an allocation of maintenance responsibilities that includes, but is not limited to, inspection, providing emergency repair, replacement, and maintenance, (collectively hereinafter "MAINTENANCE ") of LANDSCAPING as shown on said Exhibit "A." 3.2. When a planned future improvement is constructed and /or a minor revision has been effected with STATE's consent or initiation within the limits of the STATE's right of way herein described which affects PARTIES' Division of Maintenance's responsibility as described herein, PARTIES will agree upon and execute a new dated and revised Exhibit "A" which will be made a part hereof and will thereafter supersede the attached original Exhibit "A" to thereafter become a part of this Agreement. The new exhibit can be executed only upon written consent of the PARTIES hereto acting by and through their authorized representatives. No formal amendment to this Agreement will be required. .. 4. CITY agrees, at CITY expense, to do the following: 4.1. CITY may install, or contract, authorizing a licensed contractor with appropriate class of license in the State of California, to install and thereafter will MAINTAIN (Section 27 of the Streets and Highways Code) LANDSCAPING conforming to those plans and specifications (PS &E) pre - approved by STATE. 4.2. CITY will submit the final form of the PS &E, prepared, stamped and signed by a licensed landscape architect, for LANDSCAPING to STATE's District Permit Engineer for review and approval and will obtain and have in place a valid necessary encroachment permit prior to the start of any work within STATE'S right of way. All proposed LANDSCAPING must meet STATE's applicable standards. 4.3. CITY shall ensure that LANDSCAPED areas designated on Exhibit "A" are provided with adequate scheduled routine MAINTENANCE necessary to MAINTAIN a neat and attractive appearance. 4.4. An encroachment permit rider may be required for any changes to the scope of work allowed by this Agreement prior to the start of any work within STATE's right of way. 4.5. CITY contractors will be required to obtain an encroachment permit prior to the start of any work within STATE's right of way. 4.6. To furnish electricity for irrigation system controls, water, and fertilizer necessary to sustain healthy plant groxvth during the entire life of this Agreement. 4.7. To replace unhealthy or dead plantings when observed or within 30 days when notified in writing by STATE that plant replacement is required. 4.8. To prune shrubs, tree plantings, and trees to control extraneous growth and ensure STATE standard lines of sight to signs and corner sight distances are always maintained for the safety of the public. 4.9. To MAINTAIN, repair and operate the irrigation systems in a manner that prevents water from flooding or spraying onto STATE highway, spraying parked and moving automobiles, spraying pedestrians on public sidewalks /bike paths, or leaving surface water that becomes a hazard to vehicular or pedestrian /bicyclist travel. All the above requirements apply to the proposed water fountain which will be built outside of STATE right of way. 4.10. To control weeds at a level acceptable to the STATE. Any weed control performed by chemical weed sprays (herbicides) shall comply with all laws, rules, and regulations established by the California Department of Food and Agriculture. All chemical spray operations shall be reported quarterly (Form LA17) to the STATE to: Maintenance Manager at District Maintenance, 3347 Michelson Drive, Suite 100, Irvine CA 92612. 4.11. To remove LANDSCAPING and appurtenances and restore STATE owned areas to a safe and attractive condition acceptable to STATE in the event this Agreement is terminated as set forth herein. 1) 9 -10 4.12. To furnish electricity and MAINTAIN lighting system and controls for all street lighting systems installed by and for CITY. 4.13. To inspect LANDSCAPING on a regular monthly or weekly basis to ensure the safe operation and condition of the LANDSCAPING. 4.14. To expeditiously MAINTAIN, replace, repair or remove from service any LANDSCAPING system component that has become unsafe or unsightly. 4.15. To MAINTAIN all sidewalks /bike paths within the Agreement limits of the STATE highway right of way, as shown on Exhibit A, at CITY's expense. MAINTENANCE includes, but is not limited to, concrete repair, replacement and to grind or patch vertical variations in elevation of sidewalks /bike paths for an acceptable walking and riding surface, and the removal of dirt, debris, graffiti, weeds, and any deleterious item or material on or about sidewalks /bike paths or the LANDSCAPING in an expeditious manner. 4.16. To MAINTAIN all parking or use restrictions signs encompassed within the area of the LANDSCAPING. 4.17. To allow random inspection of LANDSCAPING, street lighting systems, sidewalks/bike paths and signs by a STATE representative. 4.18. To keep the entire landscaped area policed and free of litter and deleterious material. 4.19. All work by or on behalf of CITY will be done at no cost to STATE. 5. STATE agrees to do the following: 5.1. May provide CITY with timely written notice of unsatisfactory conditions that require correction by the CITY. ]-However, the non- receipt of notice does not excuse CITY from maintenance responsibilities assumed under this Agreement. 5.2. Issue encroachment permits to CITY and CITY contractors at no cost to them. 6. LEGAL RELATIONS AND RESPONSIBILITIES: 6.1. Nothing within the provisions of this Agreement is intended to create duties or obligations to or rights in third PARTIES not PARTIES to this Agreement, or affect the legal liability-of either PARTY to this Agreement by imposing any standard of care respecting the design, construction and maintenance of these STATE highway improvements or CITY facilities different from the standard of care imposed by law. 6.2. If during the term of this Agreement, CiTY should cease to MAINTAIN the LANDSCAPING to the satisfaction of STATE as provided by this Agreement, STATE may either undertake to perform that MAINTENANCE on behalf of CITY at CITY expense or direct CITY to remove or itself remove LANDSCAPING at CITY sole expense and restore STATE's right of way to its prior or a safe operable condition. CITY hereby agrees to pay said STATE expenses, within thirty (30) days 3 9 -11 of receipt of billing by STATE. However, prior to STATE performing any MAiNTTENANCE or removing LANDSCAPING STATE will provide written notice to CiTY to cure the default and CITY will have thirty (30) days within which to affect that cure. 6.3. Neither CITY nor any officer or employee thereof is responsible for any injury, damage or liability occurring by reason of anything done or omitted to be done by STATE under or in connection with any work, authority or jurisdiction arising under this Agreement. It is understood and agreed that STATE shall fully defend, indemnify and save harmless CiTY and all of its officers and employees from all claims, suits or actions of every name, kind and description brought forth under, including, but not limited to, tortious, contractual, inverse condemnation and other theories or assertions of liability occurring by reason of anything done or omitted to be done by STATE under this Agreement with the exception of those actions of STATE necessary to cure a noticed default on the part of CITY. 6.4. Neither STATE nor any officer or employee thereof is responsible for any injury, damage or liability occurring by reason of anything done or omitted to be done by CITY under or in connection with any work, authority or jurisdiction arising under this Agreement. It is understood and agreed that CiTY shall fully defend, indemnify and save harmless STATE and all of its officers and employees from all claims, suits or actions of every name, kind and description brought forth under, including, but not limited to, tortious, contractual, inverse condemnation or other theories or assertions of liability occurring by reason of anything done or omitted to be done by CITY under this Agreement. 7. PREVAILING WAGES: 7.1. Labor Code Compliance- If the work performed on this Project is done under contract and falls within the Labor Code section 1720(a)(1) definition of a "public work" in that it is construction, alteration, demolition, installation, or repair; or maintenance work under Labor Code section 1771. CITY must conform to the provisions of Labor Code sections 1720 through 1815, and all applicable provisions of California Code of Regulations found in Title 8, Chapter 8, Subchapter 3, Articles 1 -7. CITY agrees to include prevailing wage requirements in its contracts for public work. Work performed by CITY's own forces is exempt from the Labor Code's Prevailing Wage requirements. 7.2. Requirements in Subcontracts - CITY shall require its contractors to include prevailing wage requirements in all subcontracts funded by this Agreement when the work to be performed by the subcontractor is a "public work" as defined in Labor Code Section I720(a)(1) and Labor Code Section 1771. Subcontracts shall include all prevailing wage requirements set forth in CITY's contracts. 8. INSURANCE: 8.1. CITY is self insured. CITY agrees to deliver evidence of self - insured coverage in a form satisfactory to STATE, along with a signed copy of the Agreement. 8.2. If the work performed on this Project is done under contract CITY shall require its contractors to maintain in force, during the term of this agreement, a policy of general liability insurance, including coverage of bodily injury liability and property damage liability, naming the STATE, its officers, agents and employees as the additional insured in an amount of $1 million per occurrence 4 9 -12 and $2 million in aggregate. Coverage shall be evidenced by a certificate of insurance in a form satisfactory to the STATE that shall be delivered to the STATE with a signed copy of this Agreement. 9. TERMINATION - This Agreement may be terminated by timely mutual written consent by PARTIES, and CITY failure to comply with the provisions of this Agreement may be grounds for a Notice of Termination by STATE. 10. TERM OF AGREEMENT -This Agreement shall become effective on the date first shown on its face sheet and shall remain in full force and effect until amended or terminated at any time upon mutual consent of the PARTIES or until terminated by STATE for cause. PARTIES are empowered by Streets and Highways Code Section 114 & 130 to enter into this Agreement and have delegated to the undersigned the authority to execute this Agreement on behalf of the respective agencies and covenants to have followed all the necessary legal requirements to validly execute this Agreement. 5 9 -13 IN WITNESS WHEREOF, the PARTIES hereto have set their hands and seals the day and year first above written. THE CITY OF NEWPORT BEACH A California Municipal Corporation and Charter City Rush N. Hill, II Mayor ATTEST: By: Leilani Brown, CITY Clerk APPROVED AS TO FORM: OFFICE OF THE CITY ATTORNEY By0`f V vwVL-' Aaron C. Harp, CITY Attorney STATE OF CALIFORNIA DEPARTMENT OF TRANSPORTATION MALCOLM DOUGHERTY Director of Transportation By: Aga James$inheiro a Deputy District Director Operations and Maintenance District 12 9 -14 t E QO� U %Wx V oz 0 LO m 0 a 3x x om z E Go z� a ffi u w x p Z Z �m p z€V p� iL o O 3 oZ e 3p a z lu/1 pw Fw ZZ o u J U& Lu m ' O W ZOn t E QO� U %Wx V oz 0 LO ATTACHMENT C RECORDING REQUESTED BY: CITY OF NEWPORT BEACH WHEN RECORDED MAIL TO: City Clerk City of Newport Beach P.O. Box 1768 / 100 Civic Center Drive Newport Beach, CA 92658 Fee exempt per Govemment Code § 6103 LICENSE AGREEMENT BETWEEN THE CITY OF NEWPORT BEACH AND VBAS PROPERTIES, INC. TO PROVIDE INSTALLATION AND MAINTENANCE OF LANDSCAPING AND HARDSCAPING IMPROVEMENTS IN THE PUBLIC RIGHT -OF -WAY This License Agreement (the "Agreement') is made and entered into by and between the CITY OF NEWPORT BEACH, a California municipal corporation and charter city, hereinafter referred to as "CITY," and VBAS PROPERTIES, INC., a California corporation, hereinafter referred to as "LICENSEE." WHEREAS, LICENSEE is the owner of certain real property located in the City of Newport Beach, County of Orange, State of California, which is a commercial development commonly known as Mariner's Pointe and more particularly described in the legal description included in Exhibit "A" and incorporated by this reference (the "Property "); and WHEREAS, CITY is the owner of certain public rights -of -way and other property in the immediate vicinity of the Property (the "Improvement Areas "), which Improvement Areas are more particularly described and depicted in Exhibit "B" attached hereto and incorporated herein by this reference; and WHEREAS, California Department of Transportation, hereinafter referred to as " CALTRANS," is the owner of certain public rights -of -way and other property in the Improvement Areas, and the CITY has or will enter into a maintenance agreement with CALTRANS to maintain the Improvement Areas; and WHEREAS, in connection with and as a condition of development of the Property, CITY desires to assign responsibility for the installation and maintenance of landscaping and hardscaping within the hnprovement Areas, as defined below in Section 5, and the costs associated herewith in accordance with plans and specifications submitted by LICENSEE and as reasonably approved by CITY; and By this Agreement, CITY desires to clarify and specifically delineate the LICENSEE's obligations with respect to the installation and maintenance of landscaping and hardscaping within the Improvement Areas, A14 -00193 9 -16 NOW, THEREFORE, in consideration of the promises and agreements hereinafter made and exchanged, CITY and LICENSEE covenant and agree as follows: 1. GRANT OF LICENSE. Subject to terms and conditions hereinafter set forth, CITY hereby grants to LICENSEE a non - exclusive, revocable license ( "License ") to install and maintain landscaping and hardscaping within the Improvement Areas pursuant to the terns as set forth in this Agreement. 2. TERM. The term of the License (the "Term ") granted herein shall be perpetual, provided that CITY may terminate the License and this Agreement upon thirty (30) days written notice to LICENSEE. LICENSEE (for itself, and its successors and assigns) agrees that this Agreement and the rights and obligations contained herein run with the land, and are binding upon and shall inure to the benefit of the owner of the Property, as the burdened parcel, and the rights, and obligations contained herein shall bind and inure to the LICENSEE'S successors in interest, assigns, heirs, executors, and /or personal representatives. This Agreement and the covenants contained herein inures to the benefit of CITY as the owner of the Improvement Areas, as the benefited parcel. TERMINATION. In the event of any such termination and upon request by CITY, LICENSEE and its successors and assigns shall be obligated to deliver the Improvement Areas in compliance with the maintenance provisions set forth in this Agreement. At the CITY's request the LICENSEE or its successors and assigns may be required to disconnect existing water and electrical supply sources to the Improvement Areas from the Property, and construct and reconnect alternative water and electrical supply sources to the Improvement Areas to the satisfaction of CITY. 4. DESCRIPTION OF IMPROVEMENTS. All improvements installed within the Improvement Areas shall be as depicted on those certain plans and specifications as approved by the CITY relative to the Property and the subject development thereof The landscaping, hardscaping, and other improvements within the Improvement Areas for which LICENSEE, at its sole cost at no expense to the CITY, shall install, repair, maintain, and/or replace in accordance with the terms of this License shall be collectively referred to as the "LICENSEE'S Improvements" and includes the following: (a) Landscaping. Irrigation Systems and Plant Material: Plants and trees in accordance with the Landscaping Plans relative to the Property and the subject development thereof submitted by LICENSEE and approved by the CITY and the irrigation systems serving the same. (b) Hardscaping: Enhanced and concrete paving including sidewalks, driveways, access ramps and stairs in accordance with the precise grading plans relative to the Property and the subject development thereof submitted by LICENSEE and approved by the CITY. 5. MAINTENANCE RESPONSIBILITIES. At LICENSEE'S sole cost and expense, LICENSEE agrees to construct, inspect, clean, repair, replace, and rehabilitate the Improvement Areas at its own cost, and perform all maintenance responsibilities for the A14 -00193 2 9 -17 Improvement Areas, including, but not limited to: sidewalk cleaning; trash disposal; signs; watering; repairing and /or adjusting irrigation systems when failures occur; fertilizing; cultivating; edging; performing general planting and trimming or other corrective gardening; spraying grass and plants with both insecticides and herbicides; and, generally keeping the Improvement Areas in a clean, secure and attractive condition, taking into consideration normal growth of the landscape materials and a continuation of the aesthetic quality of the area. All work shall be performed in a manner to ensure ADA compliance at all times. LICENSEE agrees to maintain and keep the Improvement Areas in good condition and repair, free and clear of litter and debris and free from any nuisances and to comply with all health and police regulations, in all respects at all times. LICENSEE agrees to dispose of litter and debris in a sanitary and legal manner and location. All of the responsibilities listed in this Section 5 (including subparts) shall collectively be referred to as "Maintenance Responsibilities." (a) Maintenance of Trees and Plants. LICENSEE's maintenance obligations shall include watering, repairing, maintaining, adjusting and monitoring irrigation systems when failures occur, fertilizing, edging, performing general planting and trimming or other corrective maintenance, spraying with insecticides and herbicides, and generally keeping the Improvement Areas in a clean, secure and attractive condition, taking into consideration normal growth of the landscape materials and a continuation of the aesthetic quality of the Improvement Areas, including but not limited to the following: LICENSEE may install, or contract, authorizing a licensed contractor with appropriate class of license in the State of California, to install and thereafter will MAINTAIN (Section 27 of the Streets and Highways Code) LANDSCAPING conforming to those plans and specifications (PS &E) preapproved by STATE. ii. LICENSEE will submit the final form of the PS &E, prepared, stamped and signed by a licensed landscape architect, for LANDSCAPING to STATE's District Permit Engineer for review and approval and will obtain and have in place a valid necessary encroachment pen-nit prior to the start of any work within STATE'S right of way. All proposed LANDSCAPING must meet STATE's applicable standards. iii. LICENSEE shall ensure that LANDSCAPED areas designated on Exhibit "A" are provided with adequate scheduled routine MAINTENANCE necessary to MAINTAIN a neat and attractive appearance. iv. An encroachment permit rider may be required for any changes to the scope of work allowed by this Agreement prior to the start of any work within CITY's right of way. CITY and CITY's contractors must obtain the necessary Encroachment Permits from STATE's District 12 Encroachment Permit Office prior to entering STATE right of way to perform CITY maintenance responsibilities. This permit will be issued at no cost to CITY. In case of a need for any lane closure, the time frame shall be coordinated A14 -00193 on A14 -00193 with STATE. Any disturbed pavement due to pressure, operation, maintenance and repair of the PROJECT will be repaired and restored by CITY to STATE's satisfaction at no cost to STATE. V. LICENSEE's contractors will be required to obtain an encroachment permit prior to the start of any work within STATE's right of way. vi. To fumish electricity for irrigation system controls, water, and fertilizer necessary to sustain healthy plant growth during the entire life of this Agreement. vii. To replace unhealthy or dead plantings when observed or within thirty (30) days when notified in writing by CITY and/or CALTRANS that plant replacement is required. viii. To prune shrubs, tree plantings, and trees to control extraneous growth and ensure CITY and/or CALTRANTS standard lines of sight to signs and corner sight distances are always maintained for the safety of the public. ix. To MAINTAIN, repair and operate the irrigation systems in a manner that prevents water from flooding or spraying onto the CALTRANS highway, spraying parked and moving automobiles, spraying pedestrians on public sidewalksibike paths, or leaving surface water that becomes a hazard to vehicular or pedestrian/bicyclist travel. All the above requirements apply to the proposed water fountain which will be built outside of the CALTRANS right of way. X. To control weeds at a level acceptable to the CITY and /or CALTRANS. Any weed control performed by chemical weed sprays (herbicides) shall comply with all laws, rules, and regulations established by the California Department of Food and Agriculture. All chemical spray operations shall be reported quarterly (Form LA 17) to the CITY and /or CALTRANS to: Maintenance Manager at District Maintenance, 3347 Michelson Drive, Suite 100, Irvine CA 92612. xi. To remove LANDSCAPING and appurtenances and restore The Improvement Areas owned areas to a safe and attractive condition acceptable to CITY in the event this Agreement is terminated as set forth herein. xii. To famish electricity and MAINTAIN lighting system and controls for all street lighting systems installed by and for LICENSEE. xiii. To inspect LANDSCAPING on a regular monthly or weekly basis to ensure the safe operation and condition of the LANDSCAPING. 0 9 -19 xiv. To expeditiously MAINTAIN, replace, repair or remove from service any LANDSCAPING system component that has become unsafe or unsightly. xv. To MAINTAIN all sidewalks/bike paths within the Agreement limits of the CALTRANS highway right of way, as shown on Exhibit A, at LICENSEE's expense. MAINTENANCE includes, but is not limited to, concrete repair, replacement and to grind or patch vertical variations in elevation of sidewalksibike paths for an acceptable walking and riding surface, and the removal of dirt, debris, graffiti, weeds, and any deleterious item or material on or about sidewalks/bike paths or the LANDSCAPING in an expeditious manner. xvi. To MAINTAIN all parking or use restrictions signs encompassed within the area of the LANDSCAPING. xvii. To allow random inspection of LANDSCAPING, street lighting systems, sidewalks/bike paths and signs by a CITY representative. xviii. To keep the entire landscaped area policed and free of litter and deleterious material. xix. All work by or on behalf of LICENSEE will be done at no cost to CITY. xx. Provide and apply fertilizer as necessary to sustain healthy growth. Maintain a separate irrigation system and pay all repairs, water and electrical cost. xxi. Maintain the Improvement Areas to allow access by CITY personnel to CITY facilities and in a condition that is substantially free from weeds, debris, and harmful insects at all times. xxii. Keep plantings trimmed to eye pleasing appearance. xxiii. Remove and replace unhealthy, dead, invasive or unplanned plantings as they are observed. xxiv. Keep the entire area policed and free of litter and deleterious material. LICENSEE shall provide trash pick -up, sweeping, and clean-up as required to ensure no offensive odors, gum, wax, litter, liquids or other materials are allowed to remain on or stain paving, planters, containers, decorative features, artwork or other surfaces. xxv. Maintain, repair and operate irrigation system in a manner that prevents water from flooding onto the right -of -ways. xxvi. All tree trimming shall be done by an I.S.A. Certified Arborist or an I.S.A. Certified tree worker under the direct supervision of an I.S.A. Certified A14 -00193 9 -20 Arborist. Said trimming shall be per the International Society of Arborist, A.N.S.I. 300A standards. Any tree work not conforming to these requirements shall be subject to damage assessment by the CITY. Damages may potentially lead to penalties which can involve removing and replacing the damaged tree with an approved replacement of the same size that was originally planted, and payment of fines equal to the value of the original (damaged) tree. Any fines shall be payable by LICENSEE to the CITY. xxvii. If for any reason LICENSEE is unable to maintain the Improvement Areas in a manner satisfactory to the CITY, LICENSEE shall re- landscape the Improvement Areas to a condition acceptable to the CITY at LICENSEE's sole cost and expense. xxviii. If during the term of this Agreement, CITY should cease to maintain the "PROJECT" to the satisfaction of STATE as provided by this Agreement, STATE may either undertake to perform that maintenance on behalf of CITY at CITY's expense or direct CITY to remove or itself remove PROJECT at CITY's sole expense and restore STATE's right of way to its prior or safe operable condition. CITY hereby agrees to pay STATE said expenses, within thirty (30) days of receipt of billing by STATE. However, prior to STATE performing any maintenance or removing PROJECT, STATE will provide written notice to CITY to cure the default and CITY will have thirty (30) days within which to affect that cure. xxix. Control and maintain the Improvement Areas such that no landscaping or plant materials growth, or irrigation water spray, obstructs or hinders vehicular or pedestrian traffic, or encroaches across or onto any bicycle path, sidewalk, public access area, the street right -of -way from the edge of the curb /gutter to the center of any street right -of -way. xxx. Conform to all applicable standards set forth in the CITY'S. (b) Maintenance of Hardscape Material. LICENSEE's maintenance obligations shall include all concrete and enhanced handscaping material including all sidewalks, driveways, access ramps and stairs. Maintenance includes, but is not limited to, linear root barriers, concrete repair and replacement, grinding or patching variations in elevation of sidewalks and driveways for an acceptable riding surface, and the removal of dirt, debris, graffiti, weeds, and any other deleterious items or material on or about the sidewalks or driveways in an expeditious manner. (c) Bicycle Paths. As to any bicycle paths constructed as permitted encroachments within the Improvement Areas, LICENSEE will maintain, at LICENSEE expense, a safe facility for bicycle travel along the entire length of the path by providing sweeping and debris removal when necessary; and all signing and striping and A14 -00193 ri 9 -21 pavement markings required for the direction and operation of that non- motorized facility. (d) Utilities Serving the Improvement Areas. LICENSEE shall bear the expense of electricity and any other utility necessary to serve the Improvement Areas. LICENSEE shall be responsible for using such utilities in a secure and hazardless manner, complying in all respects with applicable codes and ordinances. (e) Signage. LICENSEE shall repair and maintain during the Tenn any signage constricted and installed on the Improvement Areas by LICENSEE. 6. PLANS AND SPECIFICATIONS. Throughout the Term, LICENSEE shall perform, at its sole cost and expense, any and all repairs, replacements or refurbishing to the Improvements which LICENSEE constructs in the Improvement Areas as necessary to bring the Improvements into an operating condition, all in accordance with plans and specifications as submitted by LICENSEE to CITY, which plans and specifications shall be subject to the prior written approval of CITY. No changes, modifications, or alterations may be made to the Improvement Areas without the prior written consent of CITY. MATERIAL ALTERATIONS. After the approval of the plans and specifications and the installation of the Improvements in the Improvement Areas in accordance with the plans and specifications, no material changes, modifications or alterations may be made to the Improvement Areas without the prior written consent of CITY. 8. CITY REQUIREMENTS. LICENSEE, or anyone performing work on behalf of LICENSEE, shall be properly licensed by CITY for any work perfornied on the Improvement Areas. Furthermore, LICENSEE, or anyone performing work on behalf of LICENSEE, shall acquire the proper encroachment permit and comply with all other CITY requirements prior to performing any work on Improvement Areas in the public right -of -way. 9. PREVAILING WAGE REQUIREMENTS. If the work performed on the Improvement Areas is done under contract and falls within the Labor Code section 1720(a)(1) definition of a "public work" in that it is construction, alteration, demolition, installation, repair or maintenance, LICENSEE must conform to the provisions of Labor Code sections 1720 through 1815, all applicable regulations and coverage determinations issued by the Director of Industrial Relations. LICENSEE agrees to include prevailing wage requirements in its contracts for public work. 10. PREVAILING WAGE REQUIREMENTS IN SUBCONTRACTS. LICENSEE shall require its contractors to include prevailing wage requirements in all subcontracts funded by this Agreement when the work to be performed by the subcontractor is a "public work" as defined in Labor Code Section 1720(a)(1). Subcontracts for public works shall include all prevailing wage requirements set forth in CITY's contracts. A14 -00193 9 -22 11. CITY RIGHT TO INSPECT. CITY shall have the right to inspect the hmprovement Areas at any time to ensure that LICENSEE is performing its obligations hereunder. CITY and LICENSEE shall negotiate in good faith to come -to a mutual agreement -as to the time and date for such inspections. 12. DAMAGE TO IMPROVEMENT AREAS. In the event any damage is caused to any pathways, sidewalks, curbs, gutters, street furniture, street lights, medians, streets or utilities as a result of the installation of the landscaped and /or hardscaped material installed on the Improvement Areas and /or the performance of the maintenance responsibilities of the Improvement Areas, LICENSEE agrees to repair same at its own expense. In the event that damage is caused by the acts of any person to any portion of the landscaped or hardscaped area or in the event any equipment is broken or breaks or is destroyed or in the event vegetation rots or dies, said equipment or vegetation shall be replaced or restored within ten (10) calendar days of the date of the breakage or destruction. Stolen items will be considered destroyed for purposes of this Section 12. 13. REPAIR BY CITY. Except as otherwise provided for in this License, in the event any damage is caused to any of the LICENSEE's Improvements within the Improvement Areas as a result of the installation, maintenance and /or repair work performed by the CITY or its contractors, agents or employees within the Improvement Areas, CITY shall promptly repair the same at its own expense. 14. COOPERATION. In the event both LICENSEE and CITY are required to repair damage to the improvements the parties shall cooperate with each other so as to minimize the costs incurred by each of them. To the extent maintenance of any of the LICENSEE'S Improvements require access to any real property owned by CALTRANS, rather than CITY, CITY shall cooperate with LICENSEE by contacting CALTRANS on behalf of LICENSEE and assist in obtaining the necessary permits, approvals and /or agreements required to pennit LICENSEE such access. 15. MECHANICS' LIENS. LICENSEE agrees not to suffer any mechanics' lien(s) to be filed against the Improvement Areas by reason of any work, labor, services or material performed at or furnished to the Improvement Areas, by or through LICENSEE. LICENSEE shall, at its sole cost and expense, cause any mechanics' lien(s) which maybe filed against the Improvement Areas to be released or bonded or affirmatively insured within sixty (60) days after the date of filing of such mechanics' lien(s). Nothing in this Agreement shall be construed as consent on the part of the CITY to subject the CITY's estate in the Improvement Areas to any mechanics' lien(s) or liability under the mechanics' lien laws of the State of California. 16. ASSIGNMENT. The License herein granted is personal to LICENSEE and any attempt to assign the License to any entity shall require the prior approval of CITY and is subject to the provisions set forth in Section 37 below. Other than the License granted hereunder, LICENSEE hereby expressly waives any claim to or interest or estate of any kind or extent whatsoever in the Improvement Areas arising out of the License or out of LICENSEE'S use or occupancy of the hmprovement Areas, whether now existing or arising at any future time. This License is appurtenant to the Property and may not be A14- 00193 9 -23 separately assigned apart from the Property or the interests therein. In the event that CITY has approved an assignment or delegation, LICENSEE shall give notice in writing to CITY of any such assignment and delegation; such notice shall include the mailing address of the delegee, and will become the delegee's address for service of notices. LICENSEE hereby covenants for itself and its successors and assigns, that conveyance of any interest in the Property shall constitute an assumption by any successors, assigns or transferees of LICENSEE, of the obligations under this License, and upon such conveyance, the predecessor in interest of such assuming party shall be deemed relieved fi-om any further obligations or responsibilities under this License. 17. WORKERS COMPENSATION INSURANCE. Pursuant to California Labor Code §1861, LICENSEE and its successors or assigns acknowledges awareness of Section 3700 et seq. of said California Labor Code, which requires every employer to be insured against liability for workers' compensation. LICENSEE covenants that it will comply with such laws and provisions prior to conducting any activity pursuant to this license. LICENSEE shall maintain such Workers' Compensation Insurance in an amount of not less than One Million Dollars ($1,000,000) bodily injury by accident, each occurrence, One Million Dollars ($1,000,000) bodily injury by disease, each employee, and One Million Dollars ($1,000,000) bodily injury by disease, policy limit, at all times incident hereto, in forms and underwritten by insurance companies reasonably satisfactory to CITY. LICENSEE shall require all subcontractors retained by LICENSEE to perform work hereunder to provide such workers' compensation insurance for all of the subcontractors' employees. LICENSEE shall firmish to CITY a certificate of waiver of subrogation under the terns of the workers' compensation insurance and LICENSEE shall similarly require all subcontractors to waive subrogation. 18. OTHER INSURANCE. In addition to the workers' compensation insurance in Section 17 above and LICENSEE's covenant to indemnify CITY in Section 20 below, LICENSEE or its successors or assigns shall obtain and furnish to the CITY and carry at all times incident hereto, on all activities to be performed in the Improvement Areas as contemplated herein, general liability insurance including coverage for bodily injury, property damage and motor vehicle coverage. All insurance shall be underwritten by insurance companies reasonably satisfactory to CITY. Said insurance shall name the CITY as Additional Insureds and shall specifically provide that any other insurance which may be applicable to all activities to be undertaken by LICENSEE concerning the Improvement Areas shall be deemed excess coverage and that LICENSEE's insurance shall be primary. Said policy of insurance shall pay on behalf of LICENSEE, its officers, agents, and employees, while acting within the scope of their duties, against any and all claims of liability arising out of or in connection with all activities to be undertaken by LICENSEE concerning the Improvement Areas affected by the license. LICENSEE shall subscribe for and maintain said insurance policies in full force and effect during the life of this Agreement, in an amount not less than the following amount: combined single limit bodily injury and property damage, including products /completed operations liability and blanket contractual liability, of One Million Dollars ($1,000,000) per occurrence. If coverage is provided under a form which includes a designated general aggregate limit, such limit shall be not less than Two Million Dollars ($2,000,000). In the event of aggregate coverage, LICENSEE shall immediately notify CITY of any known depletion A14 -00193 9 9 -24 of limits. LICENSEE shall require its insurer to waive its subrogation rights against CITY. 19. CERTIFICATE OF INSURANCE; ADDITIONAL INSURED ENDORSEMENTS. Prior to conducting any activity pursuant to this Agreement, LICENSEE shall furnish to CITY certificates of insurance evidencing the foregoing insurance coverage as required by this Agreement; said certificates shall provide the name and policy number of each carrier and policy; and shall state that the policy is currently in force; and shall promise to provide that such policies will not be canceled or modified without providing notice to CITY in accordance with policy provisions. LICENSEE shall maintain the foregoing insurance coverage in force until the Term of this Agreement has expired or this Agreement is terminated. The requirement for carrying the foregoing insurance coverage shall not derogate the obligations of LICENSEE under this Agreement. CITY or its representative shall at all times have the right to demand a copy of all said policies of insurance. LICENSEE shall pay, in a prompt and timely manner, the premiums on all insurance hereinabove required. A separate copy of the additional insured endorsement to LICENSEE's liability policy as required hereunder, naming the CITY as Additional Insureds, shall be provided to the CITY Attorney for approval prior to the commencement of any work by LICENSEE pursuant to this Agreement. 20. INDEMNIFICATION AND HOLD HARMLESS. LICENSEE hereby agrees to protect, defend, indemnify and hold and save harmless CITY, CALTRANS, and /or the State of California, its officers, and employees, and assigns (hereinafter collectively called "Indemnified Parties ") against any and all liability, claims, judgments, penalties, damages, expenses, costs and demands, including without limitation reasonable attorneys' fees, however caused, including those resulting from death or injury to any person (including without limitation any Indemnified Party), and damage to any property, real or personal, of any kind wherever located and by whomever owned (including, without limitation, property owned by an Indemnified Party), which injury, death or physical damages arises directly or indirectly out of the grant of license herein contained or the activities to be undertaken by LICENSEE (or LICENSEE's officers, employees, agents, contractors, licensees, or invitees) concerning the Improvement Areas, caused in who]- or in part by any negligent act or omission of the LICENSEE, any of its contractors, subcontractors, or anyone directly or indirectly employed by any of them or anyone for whose acts any of them may be liable (collectively, the "LICENSEE Parties "), including but not limited to concurrent active or passive negligence of the LICENSEE Parties, except to the extent caused by the negligence or willful misconduct of CITY or any of its agents, contractors, subcontractors, officers, or employees. City shall provide immediate notice to LICENSEE whereupon LICENSEE shall conduct any defense required hereunder at its sole cost and expense. 21. INDEPENDENT CONTRACTOR. LICENSEE agrees that all work done or undertaken by it on the Improvement Areas shall be for its sole account and not as an agent, servant or contractor for CITY. 22. RULES AND REGULATIONS. LICENSEE agrees to obey and observe (and cause its officers, employees, contractors, licensees, invitees and all others doing business with A14 -00193 l[lI 9 -25 LICENSEE to obey and observe) all rules and regulations of general applicability regarding the Improvement Areas as may be reasonably established by CITY at any time and from time to time during the Term of this Agreement. 23. DEFAULT. In the event LICENSEE does not perform, or cause to be performed, any of the Maintenance Responsibilities as contemplated by this Agreement, CITY shall first provide written notice to LICENSEE in the manner and at the address for notices provided in Section 25, describing the alleged default by LICENSEE. If LICENSEE fails to cure said default within thirty (30) calendar days following the date of delivery of such notice of default, CITY may thereafter cause such maintenance to be performed, and all actual and reasonable costs incurred shall be assessed to and billed directly to the LICENSEE. Any invoice for such costs incurred shall include copies of paid invoices evidencing the costs incurred. Payment from LICENSEE shall be due within thirty (30) calendar days following the date of receipt of invoice. In addition, one and a half (1 -1/2 %) interest per month shall be added for each month payment hereunder is due but unpaid. 24. APPLICABLE LAW. LICENSEE shall, at its sole cost and expense, faithfully observe in the use and occupation of the Improvement Areas all municipal ordinances, and all state and federal statutes now in force and which may hereafter be in force, and shall fully comply, at its sole expense, with all regulations, orders, and other requirements issued or made pursuant to any such ordinances and statutes. All building permits, business licenses and other applicable permits and licenses shall be secured and paid for by LICENSEE. 25. NOTICES. Any notice or special instructions required to be given in writing render this Agreement shall be given either by personal delivery to LICENSEE (as designated herein) or to CITY as the situation shall warrant, or by enclosing the same in a sealed envelope and sent (i) postage prepaid, and depositing the same in the United States Postal Service, via certified or registered mail, or (ii) using nationally recognized overnight courier service, or (iii) via facsimile transmission (with a copy to also be placed in the United States Mail), and addressed as follows: TO CITY: TO LICENSEE: City of Newport Beach VBAS PROPERTIES, INC. 100 Civic Center Drive c/o Glenn Verdult, President P.O. Box: 1768 100 W. Coast Hwy., Suite R -101 Newport Beach, CA 92658 Newport Beach, CA 92660 Attn: Director of Public Works Tel: (949) 644 -3330 with copy to: Pax: (949) 644 -3308 Tod W. Ridgeway Ridgeway Development Company 2804 Lafayette Avenue Newport Beach, CA 92663 Any mailing address or telefacsimile number may be changed at any time by giving A14 -00193 11 9 -26 written notice of such change in the manner provided above at least ten (10) days prior to the effective date of the change. All notices under this Agreement shall be deemed given, received, made or communicated on the date personal receipt actually occurs or, if mailed, on the delivery date or attempted delivery date shown on the return receipt. A person may not give official or binding notice by facsimile. The effective time of a notice shall not be affected by the receipt, prior to the receipt of the original, of a facsimile copy of the notice. 26. CAPTIONS AND TERMS. The captions and section numbers appearing in the Agreement are for convenience only and are not a part of the Agreement and do not in any way limit, amplify, define, construe or describe the scope of intent of the terms and provisions of this Agreement, or in any way affect this Agreement. 27. RECORDATION. LICENSEE shall record this Agreement in the Official Records of the County of Orange, State of California. 28. NON - EXCLUSIVITY. This License is non- exclusive, and the Improvement Areas shall at all times be open to use by the general public. 29. NONDISCRIMINATION. LICENSEE agrees that in the performance of this Agreement and use of the Improvement Areas it will not engage in, discrimination against any person because of race, religious creed, color, national origin, ancestry, physical handicap, medical condition, marital status or sex. 30. COOPERATION. LICENSEE shall in good faith cooperate in connection with its respective rights and obligations under this Agreement, including, but not limited to, performing any acts and executing any further documents that may be reasonably necessary to effectuate the purposes of or rights conferred under this Agreement. 31. SEVERABILITY. If any provision of this Agreement shall to any extent be deemed to be invalid or unenforceable, the remainder of this Agreement shall not be affected thereby. Each provision of this Agreement, unless specifically conditioned upon such invalid or unenforceable provision, shall be valid and enforceable to the fullest extent permitted by law. 32. ENTIRE AGREEMENT, This Agreement, together with any attachments hereto or inclusions by reference, constitutes the entire agreement between the parties hereto relating to the rights herein granted and the obligations herein assumed, and this Agreement supersedes and cancels any and all previous negotiations, arrangements, agreements, and understandings, if any, between the parties hereto with respect to the rights and obligations contained herein. Any oral representations or modifications concerning this instrument shall be of no force or effect except a subsequent modification in writing, approved by the CITY and signed by the parties to be charged. 33. ATTORNEY'S FEES. If any action or proceeding is brought by either party against the other under this Agreement, whether for interpretation, enforcement or otherwise, each A14 -00193 12 9 -27 party shall bear its own attorneys' fees. The prevailing party shall not be entitled to recover its attorneys' fees from the non - prevailing party. 34. CITY RIGHT TO ENFORCE. Notwithstanding the provisions of Section 33 above, LICENSEE acknowledges and agrees that CITY has the right and standing, but not the obligation, to enforce any of the terms of this Agreement by any appropriate legal or equitable means and shall be entitled to reimbursement for any costs incurred in enforcing this Agreement. LICENSEE shall provide CITY with, and at all times keep current, contact information for LICENSEE and any property manager acting on its behalf. 35. GOVERNING LAW. This Agreement shall be governed, construed, interpreted, and enforced under and in accordance with and governed by the laws of the State of California and any action brought relating to this Agreement shall be adjudicated in a court of competent jurisdiction in the County of Orange, State of California. 36. AMENDMENTS. This Agreement may be amended, modified, and /or supplemented only by the written agreement of LICENSEE and CITY, or the successors and assigns of each. 37. COVENANTS. Each of the covenants set forth in this Agreement (i) shall run with the land; (ii) shall be binding upon, and shall inure to the benefit of, any person or entity having or acquiring any interest in any portion of any property benefited or burdened thereby, during the period of such person's or entity's ownership, and all of their respective successive owners and assigns; and (iii) shall be binding upon, and shall inure to the benefit of, the property benefited or burdened thereby and every portion thereof and interest therein. The License granted by this Agreement is subject to all matters of record as of the effective date of this Agreement. 38. DELEGATION OF AUTHORITY. CITY hereby delegates to its City Manager or his or her designee the authority to implement all provisions of this Agreement. 39. EXCLUSIVE BENEFIT OF PARTIES. The provisions of this Agreement are for the exclusive benefit of CITY and LICENSEE and their successors and assigns, subject to the provisions hereof, and neither for the benefit of nor give rise to any claim or cause of action by any other person. 40. SURVIVAL. All representations, warranties, waivers, and indemnities given or made hereunder . shall survive termination of this Agreement. 41. AUTHORITY TO SIGN. LICENSEE hereby represents that the individual executing this Agreement on behalf of LICENSEE has full authority to do so and to bind LICENSEE to perform pursuant to the terms and conditions of this Agreement. A14 -00193 [SIGNATURES ON NEXT PAGE] 13 9M IN WITNESS WHEREOF, the parties have caused this Agreement to be executed on the dates written below. APPROVED AS TO FORM: CITY ATTO EY'S OFFICE MAN By��� V � Aaron C. Harp City Attorney ATTEST: By: Leilani I. Brown City Clerk CITY OF NEWPORT BEACH, a California municipal corporation Date: M Dave Kiff City Manager LICENSEE: VBAS California corporation Properties, Inc., a ida Verdult e President/Assistant Secretary [END OF SIGNAT REST CALIFORNIA NOTARY ACK. / JL4W ATTACHED 10 1,2} MO lit (ar Gr 9-hn RVJ kAaa vent A14 -00193 14 9 -29 ACKNOWLEDGMENT State of California County of ORANGE On t7( 2a 114 before me, T R.H. BADANI, Notary Public (insert name and title of the officer) personally appeared G(e-nn V-e-A Jjj- z t-j KGA14Q VP.JtoUJJ who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) isiare subscribed to the within instrument and acknowledged to me that he/shekhey executed the same in his/her /their authorized capacity(1142p, 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. I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing paragraph is true and correct. WITNESS my hand and official seal. R. DADS fw COMM.1977059 C U ,'� t NOTARY PUBLIGCA!IFOANIA -{ U] ORANGE COUNTY W if') J r d 6ty Term E:p. May 31, 2016 1 Signature I was— (Seal) OPTIONAL though the information helow is not required by law. it may prove valuable w parsons relying on the drxumenI and could pmvem 1:0Udn1eal removal and rcattachmant of this form to another documcIll. Description of Attached Document Title or Type of Document: Lj cx/rv�,2 (A C1 L¢U , 01 N .iP2r� }� 3P m } tn-a c AY4 V Q A S P roPfAb e/3 n i n e. Document Date: Number of Pages: (Not including this page) Signer(s) Other Than Named Above: 9 -30 EXIMIT "A" LEGAL DESCRIPTION OF PROPERTY Parcel 1 of Parcel Map No. 2010 -133, in the City of Newport Beach, County of Orange, State of California as shown on Map Recorded in Book 375, Pages 1 through 4 of Miscellaneous Maps, records of said County, California. 9 -31 I 1 2 0 uZ 94100 usnou k, �.,.3 r I �I,, I S s �i FTT i� 1 t7 j illi� ;� _II r oar_ Lei ;I 13 CR E `! � � 0 V� �Y EXHIBIT B 9 -32 3AItl0 tl3AOQ � r a■e■e■nuua■a■ —� O L � ,.�'. r3 _ :. F— Z W V H F- Q Y O u 3 d 1A- oil e r � pp y 22 4 � zz S m� 93 �'�� i' �s6 • J ,e lc 1y@y ?S pj jp� i$ i 1 3AItl0 tl3AOQ � r a■e■e■nuua■a■ —� O L � ,.�'. r3 _ :. F— Z W V H F- Q Y O u 3 d 1A- oil e r � pp y 22 1y@y ?S pj jp� i$ i 1 @i @7 1® iii @@qq 99 oil e jjj flS�9 jS SY} �E i �s` t�g � pp 22 iii @@qq 99 e fE}E r r �I s. egsg@ #l2;j u pill 1lsz9' ]1111 W