HomeMy WebLinkAbout07 - Sober Living by the Sea Settlement AgreementCITY OF NEWPORT BEACH
CITY COUNCIL STAFF REPORT
Agenda Item # r
March 10, 2009
TO: HONORABLE MAYOR AND COUNCIL MEMBERS
FROM: Dave Kiff, Assistant City Manager
949 - 644 -3002 or dkiff @city.newport- beach.ca.us
SUBJECT: Amendment #1 to the Settlement Agreement between the City and
Sober Living by the Sea
ISSUE:
Should the City amend the existing Settlement Agreement with Sober Living by the Sea
(SLBTS) to replace an exhibit?
RECOMMENDED ACTION:
Authorize the Mayor to execute an amendment to the Settlement Agreement between
the City and Sober Living by the Sea that replaces an exhibit that was a previous draft
of the Public Benefit and Zoning Implementation Agreement ( "Zoning Agreement ") with
the Council- approved version of the Zoning Agreement.
BACKGROUND:
NOTE: For detailed background about the City's Group Residential Uses Ordinance
(Ordinance 2008 -05), please see the City's website under "Council Agendas" and read
the staff report dated January 22, 2008 relating to the adoption of the Ordinance. For
additional information about the proposed agreements between Sober Living by the Sea
(SLBTS) and the City, please see the City's website under "Group Homes."
There are two documents that implemented the City's negotiated settlement with
SLBTS — a Settlement Agreement and the Zoning Agreement. The Settlement
Agreement was approved in closed session, as a part of ending litigation. The Zoning
Agreement was considered twice by the City Council in open session — once on
January 27, 2009 and again on February 10, 2009. For more information about the
Zoning Agreement, see the Staff Report from January 27, 2009.
The Settlement Agreement, when originally approved by the City Council, included the
Zoning Agreement as an attachment. During the Planning Commission's and the City
Council's review of the Zoning Agreement, aspects of the Zoning Agreement were
changed. As a result, the Settlement Agreement must be amended to remove the
Exhibit that was the initial draft of the Zoning Agreement and replace that with the final,
approved version of the Zoning Agreement.
Amendment #1 to the Settlement Agreement with Sober Living by the Sea
March 10, 2009
Page 2
Prepared and Submitted by:
Dave Kiff, Assistant City Manager
Attachments: A — Amendment #1 to the Settlement Agreement
Amendment #1 to the Settlement Agreement with Sober Living by the Sea
March 10, 2009
Page 3
AMENDMENT #1 TO
SETTLEMENT AND RELEASE AGREEMENT
This Amendment No. 1 to Settlement and Release Agreement is made and entered into
on , 2099 by and between Sober Living by the Sea, Inc., F.G., an
anonymously named individual, J.W., an anonymously named individual, S.B., an anonymously
named individual, and B.H., an anonymously named individual (hereinafter, Sober Living and
said four anonymously named individuals are collectively referred to as "Claimants ") and the
City of Newport Beach, a charter city and municipal corporation, and Edward D. Selich, Leslie J.
Daigle, Michael L. Henn, Steven Rosanksy, Don Webb, Nancy Gardner and Keith D. Curry, in
their capacity as members of City's City Council (collectively referred to as "City" hereinafter).
Claimants and City are collectively referred to as `Parties."
A. Recitals.
(i) The Parties hereto entered into an Agreement entitled Settlement and
Release Agreement dated January 27, 2009 ( "the Agreement" hereinafter).
(ii) The implementation of the Agreement depends on City processing and
the Parties approving and executing another contract entitled "Zoning Implementation and
Public Benefit Agreement" which concerns Sober Living's continued business operations within
City's boundaries ( "the Zoning Agreement" hereinafter).
(iii) A form of the Zoning Agreement was attached to the Agreement as
Exhibit "B" thereto.
(iv) The Parties have agreed to modifications to the Zoning Agreement and
those modifications have been incorporated in the form thereof finally approved by the Parties.
(v) It is the purpose of this Amendment No. 1 to substitute the final approved
Zoning Agreement for the form thereof originally attached to the Agreement as Exhibit "S."
B. Amendment No. 1.
NOW, THEREFORE , the Parties hereto agree as follows:
1. The Agreement hereby is amended by substituting that form of the Zoning
Agreement attached hereto as Exhibit 1" for the form thereof originally attached to the Zoning
Agreement as Exhibit "S."
2. Other than as expressly amended hereby, the Agreement and each and
every term and provision contained therein shall remain in full force and effect.
IN WITNESS WHEREOF, the Parties have caused this Amendment No. 1 to be
executed as of the dates indicated below and their attorneys have indicated their approval as to
form by their respective signatures in the appropriate spaces below.
CITY OF NEWPORT BEACH, CITY COUNCIL
By:
Edward D. Selich, Mayor
Amendment #1 to the Settlement Agreement with Sober Living by the Sea
March 10, 2009
Page 4
Dated
ATTEST:
By:
Leilani I. Brown, City.Clerk
Dated:
APPROVED AS TO FORM:
CITY O0:A CH
By:
David D. Hunt, City Attorney
Dated:
By:
James L. Markman, Special Counsel
for the City of Newport Beach
Dated:
CLAIMANTS:
SOBER LIVING BY THE SEA, INC.
By:
Name
Dated:
BURKE, WILLIAMS AND SORENSON LLP
ATTORNEYS FOR CLAIMANTS
ON BEHALF OF F.G., J.W., S.B. AND B.H.
By:
Richard Terzian
Dated: