HomeMy WebLinkAboutC-1569 - Agreement to settle lawsuit regarding boundariesCITY OF NEWPORT BEACH
CALIFORNIA
DATE October 19
TO: FINANCE DIRECTOR
FROM: City Cleric
SUBJECT: Contract No. 1569
Description of Contract Aar2gMjjlt to settle lawsuit
City Hall
3300 W. Newport Blvd.
Area Code 714
673 -2110
1973
Authorized by Resolution No. 8112 , adopted on October 9, 1973
Effective date of Contract October 11, 1973
Contract with errata Mesa County Water District
Address 77 fair, Drive
omta Mersa. CA 92627
Amount of Contract
V -City ftem
ID COSTA MI!, COUNTY WATER DISTRICT
77 Fair Driv¢
Costa Mesa, California 92627
(714) $34 -5210
Mome Phone: RAYMOND E. HUDSON
f213% 434.9613 GENERAL MANAGER
A G R E E M E N T (? , /� �
-y�'7- GTHIS AGREEMENT, made and entered into this l o4- day
of ocyo - , 1973, by and between COSTA MESA COUNTY WATER
DISTRICT, a municipal corporation, hereinafter referred to for
convenience as "District," and CITY OF NEWPORT BEACH, a municipal
corporation, hereinafter referred to for convenience as "City."
R E C I T A L S
A. A dispute has arisen between District and City over
the legal rights and duties of District and City to serve water
to a certain parcel of property known as the "Cagney property,"
which property is more fully described in Exhibit "A" attached
hereto and by this reference made a part hereof; and
B. The Cagney property is within the boundaries of both
the District and the City; and
C. A complaint was filed on February 22, 1973 by the
District against the City, entitled "Complaint for Declaratory
Judgment and Damages." This complaint referred to the dispute
between the District and the City over service to the Cagney
property and sought to resolve the respective rights and duties
of the parties hereto as to water service to the Cagney property,
and in addition sought damages suffered by the District by reason
of the service of water to said property by the City to the
exclusion of the District; and
D. Other questions have arisen between the parties to
this agreement as to their rights and duties to serve water to
other areas along the boundaries of both the District and the
City, and as to other areas not now within the boundaries of
either the District or the City, but which areas will likely
be annexed to either District or City in the foreseeable future;
and
E. Questions have arisen between the District and City
respecting the rights and duties of the parties to serve water
-1-
to a 40 -acre City of Newport Beach site northerly of 19th Street
as shown on Area N on a map attached to this agreement, marked
Exhibit "B ". This site is within the boundaries of the City
and without the boundaries of the District, and is now under
development.
F. Both District and City deem it in the public interest
that present and possible future disputes between the parties
respecting their rights and duties to serve water to various
areas along their boundaries or within the areas which are pro-
posed for future annexations be settled without litigation.
NOW, THEREFORE, IN CONSIDERATION of these premises and
of the respective covenants of the parties hereto as herein
contained, the parties hereto agree as follows:
A G R E E M E N T S
1. That City shall continue to serve the Cagney
property both as to those areas now developed and as to any other
areas of said property which may be caused to be developed;
provided, however, that the City agrees that said property may
remain within the boundaries of the District and that the City will
not initiate any action to cause said property to be deannexed
from the District. In the event of any petition by the property
owner of the Cagney property or anyone else to effect a deannexa-
tion of said parcel from the District, the City will remain
neutral and not actively support either the proponents or opponents
of such deannexation effort before the Local Agency Formation
Commission or any other public or private body.
2. That all service area boundaries of both the City
and District along the boundary line between said City and
District will remain in their present location except as described
or clarified below:
(a) Area A, as shown on Exhibit "B ", is now
within the boundaries of the City of Newport Beach, and is
presently being served by the City or is subject to being served
by the City. Service to Area A is hereby reserved to City, and
-2-
District will not commence any service within Area A without the
express consent of City.
(b) Area B, as shown on Exhibit "B ", is an area
known as the range County Airport, and presently within the un- �t
nd is within the houndari es of the District 7a7.
incorporated are�of the County of Orange, /and is presently served
by the Costa Mesa County Water District. Service to Area B is
reserved to District, and City agrees that it will make no service
in Area B without the express consent of the District. Parties
agree, for themselves and for any successor to or assignee of
this agreement, that the fact of service of water to Area B shall
not be used or considered in any way by any governmental agency
to support annexation or inclusion within a sphere of influence
by any incorporated city.
(c) Area C, as shown on Exhibit "B ", is presently
in an unincorporated area in the County of Orange, and is not
within the boundaries of the District. It is presently served
by Santa Ana Heights Mutual Water Company. Area C is hereby
reserved for service by the City in the event that the Santa Ana
Heights Mutual Water Company dissolves, liquidates, or other-
wise goes out of business. District will not commence service
within Area C without the express consent of City.
(d) Area D, as shown on Exhibit "B ", is now
partially within the City of Costa Mesa and partially within
unincorporated areas of the County of Orange. The major portion
of this area is now served by Santa Ana Heights Mutual Water
Company. Those portions of this area not now served by the
District are reserved for service by the District in the event
the Santa Ana Heights Mutual Water Company dissolves, liquidates
or otherwise goes out of business. City will not commence service
within this area without the express consent of the District.
(e) Area E, as shown on Exhibit "B ", is now within
the boundaries of the City of Newport Beach and of the District,
and is serviced by the District. This area, which is known as
the Moden Annexation and is an area bounded by 22nd Street,
-3-
Tustin Avenue, and Irvine Avenue, and the city limits of the
City of Costa Mesa to the south, is now served by District. City
will not commence any service in Area E without the express
consent of the District.
(f) Area F, as shown on Exhibit "B ", is now an
unincorporated area within the County of Orange. It is also
within the boundaries of the District. It is currently being
served by the District. City will not make any service of water
within this area without the express consent of the District.
(g) Area G is now within the boundaries of the
City of Costa Mesa and the boundaries of the District, and is
presently being served by District. City will commence no
service in Area G without the consent of District.
(h) Area H, as shown on Exhibit "B ", is an area
now occupied by the Newport Heights School on 15th Street.
This area is within the boundaries of the District and the City,
and is served by the City. It is agreed that water service
to this area will be transferred to the District upon 30 -day
written request by the District. Such transfer of service will
be without expense to the school or school district, and such
transfer shall be performed so as to prevent any interruption
of service to such school.
(i) Area I, as shown on Exhibit "B ", is now within
the boundaries of the City of Costa Mesa. It is also within the
boundaries of the District. It is now being served by the
District. The City agrees it will not commence service within
Area I without the express consent of the District.
(j) Area J, as shown on Exhibit "B ", is an area
now occupied by Hoag Hospital. It is within the boundaries of
the City of Newport Beach, and is served by the City. It is not
within the boundaries of the District. District agrees that it
will not commence service to Area J without the express consent
of the City.
(k) Area K, as shown on Exhibit "B ", is an area
ME
within the boundaries of the City of Newport Beach. It is also
within the boundaries of the District. The area is now served
by the City of Newport Beach. District agrees that it will not
commence service within Area K without the express consent of
the City.
(1) Area L, as shown on Exhibit "B ", is an area
within the boundaries of City and of District, and is presently
served by District. City agrees that it will not commence
service to Area L without the express consent of District,
except that City may serve property owned by the City containing
City Water System Facilities in Area L.
(m) Area M, as shown on Exhibit "B ", is an area
within an unincorporated area of the County of Orange and
within the boundaries of the District, and is now being served
by the District. City agrees that this area may continue to be
served by the District, and it will make no service within that
area without the express consent of the District.
(n) Area N, as shown on Exhibit "B ", is presently
within the boundaries of the City of Newport Beach. It is not
within the boundaries of the District. It is not being served
by either the City or the District. The City desires that
District serve Area N. District agrees to serve Area N subject
to the District's normal and standard terms and conditions.
District is under no obligation to annex Area N, but may annex
it if it desires. If District elects to annex Area N, City will
agree to such annexation.
(o) Area O, as shown on Exhibit "B ", is an area
within the boundaries of the City of Costa Mesa. It is not
within the boundaries of the District, and it is not within the
City of Newport Beach. There are presently no services in
Area O. District may serve Area O if it so desires but is under
no obligation to do so. District may annex Area O if it so
desires, and in that event City will not object to such annexation.
City will make no service in Area O without the express consent
-5-
of the District.
(p) Area P, as shown on Exhibit "B ", is an area
presently within the boundaries of the City of Costa Mesa and
also within the boundaries of the District. Area P is not being
served presently. Service to Area P is reserved to District,
and City agrees that it will make no service in Area P without
the express consent of the District.
3. Wherever it is provided in this agreement that
service will not be commenced in an area without the express
consent of the other party, it is hereby agreed that such consent
must be in writing executed by the Board of Directors of the
District, or by authorized personnel of the City as may be
appropriate, prior to the commencement of any service. In
addition, wherever it is provided in this agreement that an area
may be annexed within the boundaries of either the City or the
District, both parties agree that they shall not oppose such
annexation and service by the other party before any public body,
including the Local Agency Formation Commission or otherwise. It
is further agreed that this settlement agreement may be used by
either party in support of any annexation proceedings or in
support of its application or determinati m to provide service
to the areas delineated in this agreement.
4. District will cause to be filed a dismissal with
prejudice in that certain litigation described in Recital C of
this Agreement within ten days after the execution of this
Agreement by all parties hereto. All parties shall bear their
own costs of suit therein.
IN WITNESS WHEREOF, the parties hereto have executed
this Agreement on the day and year first above written.
CO MESA COUNTY TER DISTRICT
i nt By Z I,
-Rodger -Howell /
Attorney for District By
ATTEST: CITY OF NEWPORT BEACH
By
City erk Mayor
Dennis O'Nei }j
City Attorney of Newport Beach ?!i.
CT
CITY
L 1. S � °3c�J O•• •, • 4 II �2�
tit
C f r,, r^
C`Z ;; x c / N
o
F r
do
•p r
lao.00'.
m D
ON > a
o;J
fnA
'p � umoo'z ,',� Y r t• ��:
L% n
N H
.' > � ... m •i n p°
ap prn U 1'
p e
!S An t7 � �' If 0'00 ZA "l•J 1
v
tom'•• 1 -.s tJ n N \ W' i1 t� 3Z5.00' z
nV�l oa
CO o' n t7
in t7
s O 1 •,da 1,: Ii1J3t't�'•` i{ �'
' _ f.>..� � fl l» C ✓� *p<•S•,A�+ .. �,i LOCO " >` �
' •a .yV+�s't. �v'i� -`otnn � 1 N � ik < >�� 2� ♦J` / \�V:2 `/`� � •�+'Ic C f
a l'•talpr+'�F
eG ON
N
) FSaG a pa
Y r, t 1` a n I \,`j /G7. 'v p.[ 1 ��� - , p,
• . -f: ,� f —r ql F ,� , /i C' and
Parcels '
= t `" ' -'v:; •r �y'�t r 3 •cb.b, r i';, II, ITT
° :•• a' *� •i aj Sili•1 t• rp '9' r <" ''s•'0: IV Constitute UCS[-
i �o
.. F ,- �� t ;w }• •r r , o�Fr • cript-ion Of bal.ancc
k o ay .. vr �' ,� Of Cagncy Property,
�v ` / n
TN
EXHIBIT "An _... .
C -1569
See Contract File for
Exhibit "B" —
Costa Mesa County Water District/
City of Newport Beach
Boundary Study
Imum LaAos-
city claik
LL-swk
am.
9
0
MY CUW
October 10, 1973
MY ATMIM J
my am
aom m&Aaxm wA= Dismcrr aTmimrAMORM
Attaded ars the original and thm copies of the
subject aWm amt which have been emaftd by the City.
Please traaeemit to the Costa Mesa QourAy Water District
for signing and return the original to our Offiom after
execution.
LL:swk
OM
i
..s-
RESOLUTION NO.
A RESOLUTION OF THE CITY COUNCIL OF THE CITY
OF NEWPORT BEACH AUTHORIZING THE MAYOR TO
EXECUTE AN AGREEMENT TO SETTLE THE LAWSUIT
FILED BY THE COSTA MESA COUNTY WATER DISTRICT
AGAINST THE CITY OF NEWPORT BEACH, AND
RESCINDING RESOLUTION NO_ 8102
WHEREAS, on February 22, 1973, the Costa Mesa County
Water District filed a complaint against the City of Newport
Beach alleging, among other things, that the District had the
legal right to sever water service to the Cagney property
located in West Newport Beach (Orange County Superior Court
Case No. 200066); and
WHEREAS, both the City of Newport Beach and the Costa
Mesa County Water District deem it to be in the public interest
to settle this dispute as well as resolve possible future
disagreements with regard to their respective rights to serve
water to other areas along their boundaries; and
WHEREAS, on September 24, 1973, the City Council
,�"7i
adopted Resolution No. 8102 authorizing the Mayor and City Clerk
to execute a modified version of a proposed settlement agreement,
deleting all reference to the property located north of Bristol
(Palisades) Avenue; and
WHEREAS, an agreement has been prepared incorporating
all of the terms and understanding of said settlement, including
the reference to property located north of Bristol (Palisades)
Avenue; and
WHEREAS, the City Council has reviewed all of the
language of said settlement agreement, and finds it to be fair
and equitable;
NOW, THEREFORE, BE IT RESOLVED that the City Council
of the City of Newport Beach hereby authorizes the Mayor and
City Clerk to execute a settlement agreement between the City
of Newport Beach and the Costa Mesa County Water District relevant
-1-
-r
0
to Superior Court Case No. 200066, resolving possible future
disputes between the parties respecting their rights and duties
to serve water to various areas along their boundaries or
within the areas which are proposed for future annexations;
BE IT FURTHER RESOLVED that this resolution rescinds
and supersedes Resolution No. 8102.
ADOPTED this 9th day of October, 1973.
ATTEST:
City Clerk
Mayor
-2-
DON:mh
10.9/73