HomeMy WebLinkAboutC-3472 - Pre-Annexation Agreement for Newport Coast0 4
PRE - ANNEXATION
AGREEMENT
This Pre - Annexation Agreement ( "Agreement ") between the City of Newport Beach
( "City ") and the Newport Coast Committee of 2000 ( "NCC2K ") is hereby made on
November 28, 2001 ( "Execution Date') with reference to the following:
RECITALS
WHEREAS, the City has, by a Resolution of Application Requesting Initiation of
Proceedings to Annex Territory ( "Resolution ") adopted on September 26, 2000, and by an
Application submitted on March 19, 2001, initiated proceedings to annex property
commonly known as Newport Ridge and Newport Coast ( "Property "). The Property,
which is described on Exhibit A and depicted on Exhibit B, consists of approximately 7,799
acres of developed and undeveloped property. The Property is currently in the
unincorporated area of the County of Orange ( "County") and has been in the City's sphere
of influence since 1976.
WHEREAS, the Local Agency Formation Commission of Orange Counts- (LAFCO)
has determined the City's application is complete and has adopted Resolution No. CA 01 -06
ordering the approval of the proceedings upon the completion of certain terms and
conditions. Resolution No. CA 01 -06 is included as Exhibit C.
WHEREAS, NCC2K is a group of Newport Coast homeowners who have
volunteered to negotiate with the City regarding special obligations of the City to the
Property ( "City Obligations") of the proposed annexation that they would recommend to
their neighbors in Newport Coast. As a result, NCC2K and representatives of the City
have, at City's request, engaged in extensive discussions regarding the issues that are
addressed in this Agreement. City acknowledges that no member of NCC2K has requested
or received authorization from any individual or homeowners association in Newport
Coast to represent that person or entity with respect to any issue or matter covered by this
Agreement. City also acknowledges that no member of NCC2K has requested or received
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November 28, 2001
Page 2
authorization from any person or entity to state the position of any person or entity, with
respect to the terms and conditions of this Agreement. NCC2K has performed a
community service by communicating to current Newport Coast residents the discussion of
issues that resulted in this Agreement and other important facts related to the proposed
annexation.
WHEREAS, the City Council approved the City Obligations in conjunction with the
adoption of the Resolution and submittal of the application to LAFCO. These City
Obligations were the result of extensive discussions over a three -year period between
representatives of the City and NCC2K regarding the method and manner in which the
City would provide services and public infrastructure for Newport Coast residents
subsequent to the January 1, 2002 effective date of annexation ( "Effective Date').
WHEREAS, some of the City Obligations involve the allocation of funds that the
City is entitled to receive from the Irvine Ranch Water District ( "District ") pursuant to an
agreement approved by the Newport Beach City Council on January 24, 2000 and that has
been adjudicated in a validation action filed in the Orange County Superior Court
( "Contract "). The City intends to allocate funds paid pursuant to the Contract (funds that
represent property taxes paid by Newport Coast residents) to provide community facilities
for current and future residents of Newport Coast and to reduce the amount of assessment
district debt that owners of improved and occupied single - family residences are required to
pay.
WHEREAS, City has approved, or is in the process of approving, certain agreements
that may impact the manner and method by which City performs its obligations pursuant
to this Agreement. These agreements (collectively referred to as the "Related Agreements')
include an Annexation and Development Agreement with The Irvine Company
( "Company ") and a Cooperative Agreement with the County for the performance of certain
municipal functions, including planning and development services, by the County. City's
obligations pursuant to this Agreement are to be performed in a manner consistent with its
obligations pursuant to the Related Agreements.
0,re- Annexation Agreement
November 28, 2001
Page 3
WHEREAS, on August 28, 2001, the Newport Beach City Council authorized the
City Manager to execute this Agreement on behalf of the City.
NOW, THEREFORE, in consideration of the mutual covenants and promises and
other good and valuable consideration the Parties agree as follows:
1. BASIC PROVISIONS. This Section specifies the general provisions that are
applicable to the manner, method, timing and extent of the implementing actions
the City is required to take pursuant to this Agreement and the status of NCC2K as
a party to this Agreement.
(a) Acknowledgements. This Agreement is not intended to bind, or create any
obligation on the part of, NCC2K or anv of its members. City acknowledges
that NCC2K has not requested or received authority from any person or any
entity (including any homeowner association). with respect to any provision of
this Agreement. City acknowledges that NCC2K and its members have, at
City's request, provided valuable insight into the interests, needs, opinions
and positions of Newport Coast residents with respect to the proposed
annexation and the impacts of that annexation on services, representation,
assessment district debt and recreational facilities. The Parties agree that
NCC2K has effectively communicated the basic provisions of this Agreement
to Newport Coast residents, through a Web site (www.newportcoast.org),
newsletters and personal communications. The Parties also agree that many
Newport Coast residents are relying on City's good faith compliance with this
Agreement in formulating their position on the annexation - including any
possible protest of the annexation. Accordingly, the Parties agree that the City
has a legal obligation to comply with the terms and conditions of this
Agreement to the maximum extent pernutted by law.
(b) Consistency with Development Plan. The Parties acknowledge that the
County and the Company have, for thirty (30) years, been involved in the
Ole-Annexation Agreentent
November 28, 2001
Page 4
planning for development of the Property. This lengthy planning process
has culminated in a complex and fully integrated plan ( "Development Plan")
for the preservation and development of the Property that is reflected in
numerous planning documents and land use decisions ( "Development
Approvals "). The failure properly to implement the Development Plan and
Development Approvals could deprive the public of the benefits of the
proposed open space dedications and deprive Newport Coast residents of
certain amenities. NCC2K acknowledges and agrees that City shall not be
required to perform any duty or obligation pursuant to this Agreement that
would constitute a breach of the Related Agreements. The Parties also agree
that the City shall perform its duties with respect to the siting of the
Community Center and the development, use, operation and maintenance of
open space/ recreational facilities in a manner that does not impair or
interfere with the City's obligations pursuant to the Related Agreements.
This Agreement does not impair or restrict the right of any resident of
Newport Coast, any Newport Coast homeowner association or residential
community association ( "Association') or any member of NCC2K from
taking any action or expressing any position relative to the content or
implementation of any component of the Development Plan or the
Development Approvals.
(c) Alternatives. This Agreement establishes certain obligations of the City with
regard to assessment district debt relief, the siting and construction of a
community center or the use of funds allocated for the community center to
increase assessment district debt relief and the assumption of the
responsibility to maintain certain slopes, parkways, medians and other open
space upon request of a homeowner association. The Parties acknowledge
that they have not fully evaluated the means and methods of, or the legal or
practical impediments to, implement and fulfill those obligations.
Accordingly, the Parties agree to use their respective best efforts and good
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to November 28, 2001
Page 5
faith to identify and implement alternative methods or means of achieving
the obligations of the City.
(d) Term of Agreement. This Agreement shall become effective when fully
executed by the Parties ( "Execution Date'). However, the Parties agree that
the City is unable to perform the majority of its duties until the Effective
Date. The Parties will work cooperatively to develop plans to implement
various provisions of this Agreement, such as those related to the legal
mechanism to reduce assessment district debt and the siting of the
Community Center, prior to, and in anticipation of, -the Effective Date. The
City's obligations to perform any duty pursuant to this Agreement shall be
suspended in the event that sufficient protests are filed to require an election
and shall resume upon Completion of Annexation. This Agreement shall
terminate if (a) the annexation proceedings are terminated for any reason; (b)
the Completion of Annexation does not occur on or before June 30, 2002; or
(c) the City and the Newport Coast Advisory Committee ( "Committee ")
have determined that the City has performed all of its obligations.
2. NEWPORT COAST ADVISORY COMMITTEE. The City Council shall establish the
Committee by Resolution ( "Committee Resolution ") adopted on or before October
23, 2001. The Committee shall consist of seven (7) members. Four (4) members of
the Committee shall be appointed by NCC2K. The member or members of the City
Council that are nominated from the district or districts in which any portion of the
Property is located shall be members of the Committee. The City Council shall
appoint any remaining member or members of the Committee who shall be
residents of Newport Coast. The Conuuittee Resolution shall specify that the initial
terms of the Committee members appointed by NCC2K shall be three years with
two of those members automatically serving additional three -year terms. All
members of the Committee appointed by NCC2K shall reside within the Property at
all times during their terms of office and NCC2K shall appoint a replacement at
such time as any of the members they appoint no longer resides in the Newport
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November 28, 2001
Page 6
Coast. The Committee shall terminate if, and at such time as, LAFCO terminates the
annexation proceedings prior to certifying annexation of the Property or the City
has fully performed its obligations pursuant to this Agreement.
3. COUNCIL REPRESENTATION. The Newport Beach City Charter provides that
any territory annexed to the City shall, at the time of annexation, be added by
ordinance to an adjacent district or districts. The Charter also authorizes the City
Council to change and redefine the boundaries of districts so that each district
11 constitute(s) natural areas of contiguous and compact territory' and the residents
are fairly represented. The Property shall, in its entirety, be considered part of
District 7 as of the Effective Date until the next regular municipal general election or
a redistricting that occurs subsequent to the Effective Date. In the event the City
Council changes and redefines district boundaries pursuant to Section 1005 of the
Charter prior to the next general municipal election (November 2002), the entire
Property shall either (a) remain in District 7 or (b) be placed in one Council District.
This Agreement does not require the City Council to establish district boundaries
such that portions of the Property are within more than Council District but does
prohibit any such action until after the next municipal general election (November
2002).
AVIATION COMMITTEE. The City Manager shall, on or before the Effective Date,
submit to the City Council a proposed modification of the terms and conditions of
the resolution establishing the Citizens Aviation Committee to provide for
membership by at least one resident of Newport Coast. The City Council shall
adopt the proposed amendment and shall not, subsequent to adoption, modify the
resolution to eliminate membership by a Newport Coast resident on the Aviation
Committee.
*Pre- Annexation Agreement
November 28, 2001
Page 7
5. ESTABLISHMENT OF ACCOUNTS.
(a) The City shall establish, within ten working days after the Effective Date,
the following three accounts:
(i) Receipt Account. The "Receipt Account" shall receive payments
from IRWD pursuant to the Contract and shall disburse funds to
the Building Account and the Allocation Account. Interest accrued
to funds in the Receipt Account shall accrue to the City.
(ii) Allocation Account. The "Allocation Account" shall receive and
expend funds to the County of Orange solely for the reduction of
assessment district debt owed by owners of fully improved and
occupied single - family residences in Newport Coast. Interest
accrued to funds in this account shall accrue to this Account.
(iii) Building Account. The "Building Account' shall receive and
expend funds for the Community Center or for Infrastructure
Allocation under specific circumstances. Interest accrued to funds
in this account shall accrue to the City until January 1, 2003. After
January 1, 2003, interest accrued to funds in this account shall
accrue to this Account.
(b) All Funds in the accounts created by this Section shall be segregated for
accounting purposes (receipt and disbursement) and invested in
accordance with State law and the City's Investment Policy.
6. ASSESSMENT DISTRICT RELIEF. The provisions of this Section are intended to
implement the City's obligation to use funds received by the City from IRWD
pursuant to the Contract to reduce assessment district debt for the owners of fully
improved and occupied single family dwellings in the Newport Coast by a total of
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November 28, 2001
Page 8
$18 million dollars and at the rate of $1.2 million per year for a period of fifteen
years. For the purposes of this Agreement, the term "fully improved and occupied
single - family residence' shall mean any single family residence (including single
homes on one parcel, attached residences on a single parcel, or any condominium)
that has received all inspections, is ready for occupancy or occupied and for which
the Assessor has received the documentation necessary to initiate property tax
assessment and collection procedures with respect to a person or entity other than
the builder or the owner of the property prior to any development activity. The
assessment district debt shall be further reduced to the extent to which funds
allocated for the proposed Community Center are not utilized for that purpose.
(a) Transfers of Funds to the Allocation Account. Within three (3) working
days of receipt of $15 million into the Receipt Account; the City shall
transfer $1.2 million to the Allocation Account. The City shall repeat this
transaction fourteen (14) consecutive times over fourteen (14) consecutive
years ( "Subsequent Transfers ") on or before the date specified under
Subsection (c) (ii) of this Section. In the event that the City is late in making
a Subsequent Transfer to the Allocation Account, the City shall pay six
percent (6 %) interest per annum on a pro -rated basis on any late amount.
(b) Process. Within thirty (30) days after the Effective Date, the Committee
shall meet to discuss the manner in which funds within the Allocation
Account should be allocated. City shall retain, and have present at the
initial meeting and all subsequent meetings, legal counsel with at least ten
(10) years experience in matters related to municipal finance (Special
Counsel) to assist and advise the NCAC regarding the manner in which
funds received pursuant to the Contract are allocated to reduce assessment
distinct debt in accordance with City's obligations. Special Counsel shall be
responsible for making recommendations to the Committee relative to the
method and manner of reducing assessment district debt within sixty (60)
days after the Committee's first meeting.
• Ore- Annexation Agreement
(November 28, 2001
Page 9
(c) Recommendation. The Committee shall, within 60 days after receipt of
recommendations from Special Counsel, develop and transmit to the City
Manager, recommendations regarding the method and manner of
allocating revenue in the Allocation Account for the purpose of reducing
assessment district debt. The City shall use its best efforts expeditiously to
prepare all documentation, and grant all approvals, necessary to
implement the recommendations of Committee. The City Manager shall
implement those recommendations except to the extent that any
recommended action is contrary to law or to the extent that State or local
law requires City Council approval.
(d) Expenditures from the Allocation Account.
(i) Initial Facility Expenditure. The City shall expend all funds in the
Allocation Account to reduce assessment district debt in accordance with
the recommendations of the Committee. The first payment from the
Account shall be considered the "Initial Facility Expenditure." All
documents and approvals necessary to make the Initial Facility
Expenditure shall be prepared and given as expeditiously as possible
following receipt of the recommendations from Special Counsel and the
Committee. The Initial Facility Expenditure shall be made within five (5)
days after all required documents have been approved and executed and
all required approvals have been granted. The month and date of the
first payment shall be deemed the Anniversary Date.
(ii) Subsequent Facility Expenditures. City shall annually expend from the
Allocation Account, assuming revenue is available, the additional sum of
S1.2 million to reduce assessment district debt. These payments shall be
considered "Subsequent Facility Expenditures." The City shall.make
fourteen (14) Subsequent Facility Expenditures on, or as close in time as
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November 28, 2007
Page ]0
possible to, the Anniversary Date unless otherwise advised by the
Committee. The Subsequent Facility Expenditures shall be made at a
time and in a manner consistent with the Initial Facility Expenditure
assuming funds are available unless Special Counsel has determined that
all or a portion of the method or manner of allocation or expenditure
violates then current State or local law.
(iii) Unanticipated Property Tax ReceiRts. In the event the total of the Initial
Facility Expenditure and all Subsequent Facility Expenditures is less than
$18 million and City has received a property tax allocation of more than
sixteen percent (16 %) of the 1 % Basic Levy in any Fiscal Year between
2001 -02 and 2015 -16 from properties in the Newport Coast, the City shall
continue to make annual allocations to, and expenditures from the
Allocation Account, assuming funds are available, on each Anniversary
Date until the total of all expenditures equals $18 million ( "Supplemental
Expenditures "). Supplemental Expenditures shall be in the sum of $1.2
million unless a smaller amount will cause the total of expenditures to
equal $18 million. Supplemental Expenditures shall be made in a
manner and method consistent with this Section unless Special Counsel
determines that the method or manner violates State or local law.
(e) Special Provisions. The Initial Facility Expenditure, all Subsequent Facility
Expenditures, and all Supplemental Expenditures shall be made only for the
benefit of the owners of improved and occupied single - family residences and
their successors in interest. The Initial Facility Expenditure, Subsequent
Facility Expenditures and any Supplemental Expenditure shall not be
applied to reduce City's comnutments relative to the construction of a
Community Center as specified in Section 6. City's obligation to pay the
Initial Facility Expenditure, any Subsequent Facility Expenditure or any
Supplemental Expenditure is limited to the receipt of funds pursuant to the
Contract and any unanticipated property tax revenue as that term is defined
• Ore- Annexation Agreement
November 28, 200I
Page 11
in this Section. City shall use its best efforts, including litigation at City's
sole cost and expense if necessary, to enforce the terms and conditions of the
Contract in the event of any failure or alleged failure to perform on the part
of IRWD.
COMMUNITY CENTER. The purpose of this Section is to implement the obligation
of City to use up to $7 million (separate from the Allocation Account revenue)
received pursuant to the Contract to construct a Community Center. The City shall,
in locating, planning and constructing the Community Center, adhere to the
following:
(a) Fund Transfer. City shall, within three (3) working days after receipt of $15
million into the Receipt Account, transfer $7 million to the Building Account.
(b) Use of Funds. Allocation and disbursement of funds in the Building
Account may be used only to pay (or reimburse in the case of the City
advance) the actual costs (exclusive of the time spend by City staff and
officials and any non - monetary City resources) of obtaining necessary
permits for, designing and constructing the Community Center.
(c) Use of City Staff. City shall use its best efforts to minimize the use of outside
consultants to perform tasks related to the design, siting and construction of
the Community Center by assigning those tasks to City staff to the maximum
extent feasible.
(d) Fund Advance. City shall, upon approval of a budget amendment by the
City Council, advance up to $100,000 for use by the Comnuttee for the siting,
planning and design of the Community Center. Funds advanced by the City
shall be reimbursed from the Building Account upon receipt of revenue
pursuant to the Contract.
• 40e-Annexation Agreement
November 28, 2001
Page 12
(e) City Obligations. City shall be responsible for funding the furnishings,
fixtures and equipment (FF&E) for the Community Center out of funds other
than funds in the Building Account or Allocation Account. City shall waive
any and all fees normally charged for applications for any permit necessary
to plan, design and construct the Community Center and shall request
waivers from any other public agency required to issue any permit or grant
any approval for the Conununity Center. City may use funds in the Building
Account to pay any costs related to the application for, analysis of, or
processing of, any discretionary land use approval required as a pre-
condition to development of the Community Center on the proposed site,
only to the extent City is required to make payments to any public agency.
(f)
Planning/ Location. The Committee shall hold open, noticed, and public
meetings as it considers the Newport Coast community's interest in the
Community Center. If the Committee deems the Center desirable, it shall
make recommendations to the City Council and the County regarding the
most appropriate location for the Community Center. Possible locations
include a site within or adjacent to Newport Ridge Park or within a park to
be constructed at the top of Ridge Park Road. The Committee shall submit
recommendations regarding the preferred location of the Community
Center, and the reasons for the recommendation, to the City Council and the
County for appropriate action. The Committee shall endeavor to
recommend a site for the Community Center that will not require the
approval or amendment of any discretionary land use approval on the part
of the City, County or other public agency. This Agreement shall not
constitute a commitment of the City or the City Council to approve any
discretionary pernut or approval that requires a public hearing pursuant to
State or local law. However, the City Council shall use its best efforts, to the
extent permitted by law, to approve permits and grant land use approvals
necessary to the design, siting and construction of the Community Center.
• lk- Annexation Agreement
November 28, 2001
Page 13
(g) Design Parameters. The Community Center shall consist of a structure that
contains approximately 22,000 square feet of floor area available to the public
and may contain a gymnasium, library and conununity meeting rooms. The
design of, and amenities in, the Community Center shall be developed by
Committee and submitted to the City Council for final approval. The City
Council shall, to the fullest extent permitted by law, use its best efforts and
good faith to approve the Community Center as proposed by the Committee.
The design of the Community Center shall take into consideration and be
consistent with the funds available for construction and the architectural
style of the Newport Coast.
(h) Construction. The construction of the Community Center is anticipated to
commence between 2002 and 2004. The Community Center shall be
constructed in accordance with the provisions of State and local laws
applicable to public works projects. In the event City does not commence
construction of the Community Center on or before Tune 30, 2004 and the
Committee does not extend the deadline, the Committee shall make a
recommendation to the City regarding the desirability of pursuing
completion of the project or to transfer the funds to the Allocation Account
as provided in Subsection (j).
(i) Use and Operation. The City shall operate the Community Center and
install FF &E appropriate to the permitted uses of the Community Center.
The FF &E shall be installed no later than sixty (60) days after a certificate of
occupancy has been issued for the Community Center. City shall own and
operate the Community Center and adopt a community access and use plan
based on recommendations by the Commttee. The approved access and use
plan shall give a priority use by, and advance reservation preference to,
Newport Coast residents and homeowner associations without unduly
restricting public use of the Community Center.
.re- Annexation Agreement
November 23, 200I
Page 14
(j) Remaining Funds. In the event the Community Center is constructed and
funds remain in the Building Account, the remaining funds in the Building
Account shall be transferred to the Allocation Account and used to reduce
assessment district debt as soon as feasible.
(k) Reallocation. In the event the Parties decide not to construct a Community
Center, all funds remaining in the Building Account shall be transferred to
the Allocation Account for distribution as a part, and on the Anniversary
Date, of the next three Subsequent Facility Expenditures after the date of the
decision.
8. ANALYSIS OF ASSESSMENT DISTRICTS AND RECOVERY OF MONIES OWED.
The City shall retain legal counsel experienced in municipal financing including the
formation and administration of improvement and assessment districts. City shall
instruct legal counsel to conduct a thorough examination or audit of the documents
prepared in conjunction with all Assessment Districts and Improvement Districts in
the Newport Coast and Newport Ridge. For the purposes of this Section, these
districts shall collectively be referred to as "Assessment Districts' and shall include,
but not be limited to, County Assessment Districts #88 -1 and #92 -1. This
examination shall be commenced within sixty (60) days after the Effective Date and
shall be concluded within (150) days of the Effective Date subject to an extension of
the examination period by Committee. City shall not place any limitation on legal
counsel's budget for the reasonable and necessary expenses to be incurred in the
performance of a complete and thorough examination, and the attainment of a
result, which is satisfactory to the Committee. Legal counsel shall report findings to
the Committee in writing within one hundred eighty (180) days after the Effective
Date subject to an extension of time approved by the Committee. In the event that
legal counsel determines that:
Ore- Annexation Agreement
November 28, 2001
Page 15
(i) Modifications to any decision, document or practice could result in
Assessment District debt relief for owners of fully improved and
occupied single family residences; or
(ii) Assessment District funds were not used in a legal manner; or
(iii) Assessment District funds were not used in a manner that benefited
those who were assessed in a manner proportionate to the assessment
imposed; or
(iv) The allocation of costs or expenses related to the Assessment District
was inequitable or is based upon erroneous assumptions regarding use
and /or benefit; then
the City shall use its best efforts, including initiation of litigation against any and all
appropriate parties if determined appropriate by the City Council, to provide relief
through a modification of the decision, documents, conditions and /or practice or to
recover such funds.
Furthermore, the City shall use its best efforts, including initiation of litigation
against any and all appropriate parties, if determined appropriate by the City
Council, to provide relief, as each new assessment district is proposed, or an existing
assessment district is modified. Such relief may include, but is not limited to, a
modification of the proposed assessment district formation or any decision,
documents, conditions, and /or practice or, if appropriate, to recover funds.
WATER AND SEWER SERVICE. The Parties acknowledge that City has, pursuant
to the Contract, agreed that the District will provide water, sewer, and reclaimed
water service to the Newport Coast. City shall take any necessary action to enforce
provisions of the Contract that relate to rate protection and the Districts
• Ore- Annexation Agmement
November 28, 2001
Page 16
Improvement District levies ( #140/240 and #160/260).
10. FIRE AND EMERGENCY MEDICAL SERVICES. City shall provide Fire
suppression and emergency medical service to the Newport Coast in the same
manner and at the same cost as provided to current Newport Beach residents. City
shall assign one Paramedic Assessment unit ( "PAU ") to the Newport Coast Fire
Station (Station #52) on a full time basis as of the Effective Date. City shall maintain
a PAU at Station #52 subject only to the City Council's authority pursuant to the
Charter. The Parties acknowledge that this Agreement does not create any legal
claim or right of action on the part of any Newport Coast resident to any specific
service or response time and that all decisions relative to service are subject to the
City Council's authority pursuant to the Charter.
11. LAW ENFORCEMENT SERVICES. City shall provide law enforcement services to
the Property in the same manner and cost as that service is provided to current
Newport Beach residents and businesses. City intends to hire sufficient additional
personnel to create one additional patrol beat and related support staff. City will
realign patrol beats to ensure that the Property becomes a part of two patrol beats
(beats covering the Property and other portions of the City) to enhance coverage in
the Newport Coast in comparison to existing service. City will periodically evaluate
staffing and assignments to ensure that levels of patrol and service call response
times in the Newport Coast are comparable to other areas of the City. City shall
consider, and implement when appropriate, recommendations of the Committee to
provide temporary law enforcement services to Newport Coast residents such as the
use of the Community Center or fire station to stage events such as crime prevention
presentations, fingerprinting, and other community events. The Parties
acknowledge that this Agreement does not create any legal claim or right of action
on the part of any Newport Coast resident to any specific law enforcement service
or response time and that all decisions relative to service are subject to the City
Council's authority pursuant to the Charter.
• Ore- Annexatiort Agreement
Nwentber 28, 2001
Page 17
12. CURBSIDE RESIDENTIAL REFUSE COLLECTION. City shall, as of the Effective
Date, pay all charges incurred from the Effective Date forward by any residential
Association, or any resident of any Association, that is a Party to this Agreement, for
curbside refuse collection for fully improved and occupied single family residences.
City shall have no obligation to pay for, or provide, any form of refuse collection for
educational, commercial, hotel, timeshare, or multi- family uses. City's obligation to
pay for refuse collection charges for cu -bride residential collection shall continue
until:
(a) Similar refuse collection is no longer provided without charge to residents in
Newport Beach's pre -1996 boundaries; or
(b) City provides the refuse collection service using its own forces or a
contractor.
In the event City provides curbside residential refuse service, City shall provide that
service at the same rates as are paid by the Newport Beach residents paying the
lowest rate for the same or similar service. In the event City assumes the
responsibility for curbside refuse collection for single family residences using its
own forces, City shall use its best efforts to provide refuse collection service using
equipment and collection techniques such as automated collection vehicles and
presorted refuse containers similar to those in use as of the Effective Date,
13. OPEN SPACE AND RECREATIONAL FACILITIES
(a) Procedures. The Parties acknowledge that certain open space dedications
may have been accepted by the County and /or may contain conditions that
preclude or impair the Parties' ability to achieve the Open Space Goals.
NCC2K acknowledges that City has a pre - existing duty to take or avoid any
action that could impair or restrict the development rights of Company and
that failure to perform could impact the open space dedication or
improvement obligations of the Company. Accordingly, the NCC2K
Ore- Annexation Agreement
November 28, 2001
Page 18
acknowledges that the City is required to accept the transfer or assignment
of any open space dedicated to the County unless the City determines that
failure to do so will have no impact an the Company's development rights
and Company consents in writing. NCC2K also acknowledges that City is
required to accept any open space offered for dedication unless the City
determines that failure to do so will have no impact on Company's
development rights and Company consents in writing. City shall accept,
conditionally accept, require revisions to, or reject offers of dedication of
open space as necessary or appropriate to achieve the Open Space Goals if
City has determined that such action will not impact Company's
development rights and Company has consented to such action in writing.
City shall also accept dedications of open space that may be inconsistent
with the Open Space Goals upon a determination that failure to. accept
dedication would create the potential for poorly maintained or improved
open space.
(b) Open Space Goals. This Agreement outlines certain "Open Space Goals"
that will be reviewed and refined by the Committee and submitted for
confirming action by the City Council. The Committee shall make
recommendations regarding those areas of open space that will remain
under the jurisdiction, and the sole responsibility, of certain Associations and
those areas that should be owned and /or maintained by the City. The
following is a summary of the "Open Space Goals" that will be reviewed and
refined by Committee and may be submitted to the City Council for
confirming action:
(i) Coastal Canyon Park shall remain a private facility.
(ii) The Citv Council shall lease -back to one or more homeowners
associations, specific open space areas such as parks or portions of
parks that have been, or are to be, developed, including, without
0e- Armexation Agreement
to November 28, 2001
Page 79
limitation, Newport Ridge Park and the yet to be constructed park
adjacent to Signal Peak and Crystal Cove State Park, and that have
been recommended by the Committee. The lease shall be for the
maximum term permitted by law and the compensation to City shall
be $1 per year provided that the lessee(s) assume(s) all risk and
liability related to the open space and agree to maintain the open
space at no cost to the City.
(iii) When consistent with this Agreement and necessary to achieve an
Open Space Goal, City shall accept an offer of dedication for open
space or request the County transfer its interest in the Open Space.
(iv) City or its contractor shall maintain recreational open space and
related facilities in a manner that equals or exceeds the maintenance
standards for each area or facility in effect as of the Effective Date.
(v) The NCC2K has expressed a desire for lighted athletic fields to be
constructed in the Newport Coast. The Committee shall recommend
locations for the development of one or more lighted athletic fields
that minim;ze homeowner impact. In no event shall any lighted
athletic field be developed at Newport Ridge Park. City will, to the
maximum extent permitted by law, use its best efforts and good faith,
to support development of any lighted athletic field recommended by
the Committee providing the recommendations are consistent with
City standards.
14. PROPERTY MAINTENANCE.
(a) Intent /Public Purpose. The purpose and intent of this Section is to
allow for City maintenance of certain parkways, medians, natural slopes,
and fuel modification zones in the Newport Coast in accordance with
• .re- Annexation Agreement
November 28, 2001
Page 20
quality standards in effect as of the Effective Date. The Parties agree that
proper maintenance of parkways, medians, natural slopes, and fuel
modification zones and the right to protect or enhance habitat serves a
valuable public purpose. The Parties intend that the City's obligation to
maintain parkways, medians, natural slopes and fuel modification zones
is contingent upon a request by the property owner and execution of an
agreement that, among other things, fully protects the City from any
liability related to its maintenance unless the damage is proximately
caused by the City's active negligence. The Parties acknowledge that
City's maintenance obligations do not extend to anv landscaping,
irrigation, or lighting in or around the entrance pavilions or to any
landscaped area within any community - such as private parks, private
parkways, or private medians on streets behind gates.
(b) Section Definitions. For purposes of this Section, the terms:
(i) "Association' shall mean a residential homeowners' association or
residential community association within the boundaries of the Property.
(ii) "Fuel modification zone" shall mean a slope owned by an Association that
is adjacent to, and generally below, residential parcels and that has been
planted with fire- resistant vegetation to prevent or inhibit fire damage to
structures.
(iii) "Natural slope" shall mean a slope owned by an Association that has not
been improved or contains primarily native vegetation, and is generally
adjacent to and below a fuel modification zone.
(iv) "Maintain' or "Maintenance" shall mean, in the context of natural slopes,
parkways, medians, and fuel modification zones, the irrigation,
maintenance of irrigation equipment, fertilization, general care and
replacement of plant material, and the maintenance of electrical and
lighting equipment as applicable.
(v) "Median" shall mean the area in the center of a public street.
• Om- Annexation AgmemenI
Nownrber 28, 2001
Page 21
(vi) "Parkway' shall mean the area between a public sidewalk and the street
curb.
(vii) "Property owner' shall mean an Association within the Property. It shall
not mean a government, educational, or commercial venture such as a
school, hotel, timeshare operator, golf course, land development company,
or retail center.
(c) General Obligations. City shall, during the term of this Agreement, have the
obligation to maintain and pay for the costs of such maintenance:
(i) Medians and parkways along public streets.
(ii) Natural slopes or fuel modification zones if and when the property owner
fully satisfies the conditions specified in Subsection (d). City shall obtain
any permit necessary to conduct any maintenance on any natural slope
that is within the Natural Communities Conservation Plan. In no event
shall the City be liable for any slope failure or slope subsidence in any fuel
modification zone unless the failure or subsidence is proximately caused
by the active negligence or willful conduct of the City.
City or its contractor shall maintain all medians and parkways, and to the extent
the property owner satisfies the conditions specified in Subsection (d), the
natural slopes, fuel modification zones, and open space dedications and
facilities, in a manner that equals or exceeds the maintenance standards for each
area or facility which is in place as of the Effective Date. City shall not be liable
for any loss, claim or damage proximately caused by irrigation of a fuel
modification zone that is consistent with the time and extent of irrigation
occurring as of the Effective Date.
(d) Conditions to City Obligation Regarding Natural Slopes and Fuel Modification
Zones. City's obligation to maintain any fuel modification zone or natural slope
is contingent on satisfaction of all of the following conditions:
• QC- A+mexatioa Agreement
November 28, 200I
Page 22
(i) Written Request. An Association in existence as of the Effective Date
has, within nine (9) months after the Effective Date, served City with a
written request to maintain all or a portion of the fuel modification zone
and /or natural slope; or, for those Associations not in existence as of
the Effective Date, the Association shall, within nine (9) months of
formation, have served the City with a written request to maintain all.
or a portion of the fuel modification zone and /or natural slope within
that Association's boundaries.
(ii) Maintenance Agreement. The property owner has executed a written
agreement ( "Maintenance Agreement "), approved as to form and
content by the City Attorney, that specifically authorizes City to enter
the property to perform the maintenance defined in Subsection (b) of
this Section, specifies the level of maintenance, and authorizes City use
of any facilities necessary to provide maintenance. The Maintenance
Agreement shall require the City to pay all costs incurred in
maintenance of the natural slope, median, parkway, or fuel
modification zone, including but not limited to water and other
necessary utility services. The Maintenance Agreement shall confirm
that the City is not liable for any loss, claim or damage, including slope
subsidence or failure, unless proximately caused by the negligence or
willful act of the City or its officers, employees, or agents. The
Maintenance Agreement shall also require the property owner to fully
cooperate with City and its officers, agents, members, employees and
contractors with respect to maintenance of the property.
(iii) Material Default. The property owner is not in material default
pursuant to the terms and conditions of the Maintenance
Agreement described in Subdivision (ii).
40,-Annexation Agreement
November 28, 2001
Page 23
(e) Map. City and the Committee shall, within nine (9) months after the
Effective Date prepare the maps of the fuel modification zones and
natural slopes. The maps are for information and the failure of a map to
depict property that otherwise qualifies as a fuel modification zone or
natural slope shall not affect the City's maintenance obligations.
15. UNDERGROUND UTILITIES. City shall, as of the Effective Date and during the
term of this Agreement, use its "best efforts" to encourage Southern California
Edison or its successor entity to underground power lines and electrical facilities in.
the Newport Coast. City shall also use its best efforts to form an underground
utility assessment district upon a request from any group of Newport Coast
residents or any Association comprised on Newport Coast residents.
16. MISCELLANEOUS PROVISIONS
(a) Entire Agreement. This Agreement sets forth and contains the entire
understanding and agreement of the Parties, and all oral or written
representations, understandings or agreements are expressly stated in
this Agreement. No testimony or evidence of any such representations,
understandings, or covenants shall be admissible in any proceeding or
any kind or nature to interpret or determine the terms or conditions of
this Agreement.
(b) Severability. This Agreement and the remaining terms, provisions,
covenants, and conditions shall continue in full force and effect if any
term, provision, covenant, or condition is determined invalid, void, or
unenforceable by a final order of a court of competent jurisdiction unless
the order prevents one or both of the Parties from performing duties to
the extent that consideration would be lacking and, in such event, this
Agreement shall terminate.
• •Pre- Annexation Agreement
November 28, 2001
Page 24
(c) Interpretation and Governing Law. This Agreement and any related
dispute shall be governed and interpreted in accordance with the laws of
the State of California. This Agreement shall be construed as a whole
according to its fair language and common meaning to achieve the
objectives and purposes of the Parties. The rule of construction to the
effect that ambiguities are to be resolved against the drafting Party shall
not be employed in interpreting this Agreement since each Party has
been represented by counsel.
(d) Waiver. The failure of a Party to insist upon the strict performance by
the other Party, or the failure of a Party to exercise its rights upon the
default of the other Party, shall not constitute a waiver of that Party's
rights pursuant to this Agreement.
(e) Successors in Interest. The burdens of this Agreement shall be binding
upon, and the benefits of this Agreement shall inure to, all successors in
interest to the Parties to this Agreement as well as the residents Newport
Coast.
(f) Specific Performance. The Parties acknowledge that monetary damages
would be inadequate to remedy any breach of this Agreement by either
Party. Accordingly, the Parties agree that any breach of this Agreement
shall entitle the non - breaching Party to file an action for specific
performance in a court of competent jurisdiction. In no event shall either
Party be liable for monetary damages, to one another or to any third
party, in the event of a breach of this Agreement by either Party.
(g) Counterparts. This Agreement may be executed by the Parties in
counterparts, which counterparts shall be construed together and have
the same affect as if all of the Parties had executed the same instrument.
Ore- Annexation Agreement
November 28, 2007
Page 25
(h) Lurisdiction and Venue. Any action at law or in equity arising under this
Agreement or brought by any Party shall be filed and tried in the
Superior Court of the County of Orange, State of California.
(i) Further Actions and Instruments. The Parties shall cooperate with one
another to the fullest extent possible to achieve the goals and objectives
of this Agreement including the prompt preparation, execution and /or
filing of documents and records necessary to implement provisions of
this Agreement.
(j) Amendments in Writing/ CooReeration. This Agreement may be
amended only by written consent of the Parties specifically approving
the amendment and in accordance with the Charter and State law. The
Parties shall cooperate in good faith with respect to any amendment
proposed in order to clarify the intent and application of this Agreement,
and shall treat any such proposal on its own merits, and not as a basis for
the introduction of unrelated matters.
(k) Authority to Execute. The person or persons executing this Agreement
on behalf of each Party warrants and represents that he/she/ they have
the authority to execute this Agreement on behalf of that Party.
(1) Notices. Any notice required or provided as a result of this Agreement
shall, if intended for City, be mailed to:
City Manager
Newport Beach City Hall
3300 Newport Boulevard
Newport Beach, California 92663
• •Pre - Annexation Agreement
November 28, 2001
Page 26
And if intended for NCC2K be mailed to:
Jim McGee
23 Corporate Plaza, Suite 230
Newport Beach, California 92660
IN WITNESS THEREOF, the parties hereto have executed this Agreement on the
Execution Date set forth above.
ATTEST:
LAVONNE HARKLESS, City Clerk
APP ROV AS TO FORM:
By:
R ART BURNHAM, City Attorney
CITY:
HOMER L. BL U AU, City Manager
BLOCKS:
• •Pre- Annexation Agreement
November 28, 2001
Page 27
EXHIBIT `A'
NEWPORT COAST ANNEXATION NO.CA01 -06
TO THE CITY OF NEWPORT BEACH
5151, 5152, 5251
5252, 5253, 5351
5352
MODULES: VARIOUS
BEING THOSE PORTIONS OF BLOCKS 95 -98, 128- 134, 161 -164 OF IRVINE'S
SUBDIVISION AS SHOWN ON A MAP ^HEREOF VTLED IN BOOK 1, PAGE 88 OF
MISCELLANEOUS RECORD MAPS AND PARCEL 2 ADD A PORTION 'OF PARCEL 1 PER
CORPORATION GRANT DEED BOOK 13439, PAGE 94 -132, RECORDED DECEMBER 19,
1979, IN THE OFFICE OF THE COUNTY RECORDER OF THE COUNTY OF OR - =NGE, STATE
OF CALIFOR.NIT., DESCRIBED AS FOLLOWS:
BEGINNING AT AN ANGLE POINT IN THE EXIS ^ING CITY OF NEWPORT` BEACH BOUNDARY
AS ESTABLISHED BY REORGANIZATION NO. R097 -35, "BONITA CAN ?ON AWi EXATION TO
THE CITY OF NEWPORT BEACH AND DETACHMENT OF THE SAME TERRITORY FROM THE
CITY OF IRVINE ". SAID ANGLE POINT BEING THE SOUTHEASTERLY TERMINUS OF THAT
CERTAIN COURSE DESCRIBED AS "SOUTH 13058131" EAST 11.29 FEET" IN SAID
REORGANIZATION NO. 8097 -35, SAID POINT AL50 BEING DIS'TANC NORTH 26 242'33"
EAST 3071.67 FEET FROM ORANGE COUN - -Y SURVEYOR'S HORIZONTAL CONTROL STATION
GPS NO. 6247, . HAVING A COORDINATE V=:,UF C;.$. SURVEY FOOT) OF NORTH
2173287.386 FUND EAST 6074CI8.521, BAS °_D UPC`: THE CALIF:;RN =A. COORDINATE
SYSTEM (CCS33). ZONE VI. 1983 NAD _ 99.35 ° -P ^CH O.C.S. GPS ADJUSTMENT) AS
SAID GPS PCINT IS SHOWN ON TRACT MAP NO. _5945, RECOR =-D IN 3006 BC_,
PAGES 13 -25 INCLUSIVE, OF MISCELL_3.EEOUS KL. ?S IN THE OFF_I7 03 THE COUN\
RECORDER O? SAID C.'UNTY, BEING CG:2,2N -0 "HARBOR VIEiIS "--L7.S - PHASE 3"
ANNEXATION ^_0 THE CITY OF NEWPORT BEACH;
THENCE CONTIMUING A;,ONG THE EXISTIP:G C = -Y SOLNDARY OF THE C1 7Y OF NEWPORT
BEACH PER "HARBOR V72W HILLS -PHASE 3" : _�NL FXA - =ON, =HE "'r- =.380H VIEW HILLS
SECTOR 4'' %NE.K-ATICN. THE "HARBOR RIDGE ANN'- =kTION NO. E? ", THE "HARBOR
RIDGE ANNEk TION NO, 82, THE "HARBOR VIEW HILLS -PHASE 3" ANNEXATION, THE
"HARBOR VIEW HLLLS -PHASE 4" ANNEXA.TLON, THE " ANNEKATION NO. 57 (CENTERVIEW
ANNEXATION) ", THE "HARBOR VIEW" ANNEXATION, ANNEXATION NO, 8, CITY
BOUNDARY 1928 (COURT CASE NO. 23686) ISCORPORATED SEPTEMBER 1. 1906; THE
"CORONA HIGHLANDS" ANNEXATION, THE 'SEAWARD 17" Att2JEXAT --ON, THE "CAMEO
HIGHLANDS" ANNEXATION. THE "ANNE:iATIOS NO. 94 ", THE "CAMEO HIGHLANDS"
ANNEXATION, THE " ANNEXXATION NO. 64 ", THE "CAMEO CLIFFS" ANNEXATION" THE
"SHORE CLIFFS - CAMEO SHORES TIDELANDS ANNEXATION" THROUGH THEIR VARIOUS
COURSES IN A GENERAL SOUTHEASTERLY, SOUTHWESTERLY, SOUTHEASTERLY,
SOUTHERLY, WESTERLY, SOUTHERLY, EASTERLY. SOG:'HERLY, WESTERLY, SOUTHERLY,
t[C \llll- KC11n1.a.1C los /14,0b ZC PAGE I
• Ore- Annexation Agreement
November 28, 2001
Page 28
EXHIBIT `A'
NEWPORT COAST ANNEXATION NO.CA01 -06
TO THE CITY OF NEWPORT BEACH
BLOCKS: 5151, 5152, 5251
5252, 5253, 5351
5352
MODULES: VARIOUS
BEING THOSE PORTIONS OF BLOCKS 91, 9: -98, 128 -134, 161 -164 OF IRVINE'S
SUBDIVISION AS SHOWN ON A MAP THEREOF FILED IN BOOK 1, PAGE 88 OF
MISCELLANEOUS RECORD MA. ?S AND PARCEL 2 AND A PORTION 'OF PARCEL 1 PER
CORPORATION GRANT DEED BOOK 13439, PAGE 94 -132, RECORDED DECEMBER 19,
1979, IN THE OFFICE OF THE COUNTY RECORDER OF THE COUNTY OF ORANGE, STATE
OF CALIFORNIA, DESCRIBED AS FOLLOWS:
BEGINNNING AT AN ANGLE POINT IN THE EXIS71NG C-TY OF NEWPORT BEACH BOUNDARY
AS ESTABLISHED BY REORGANIZATION NO. R097 -35, "BONITA CAN' -'ON ANNEXATION TO
THE CITY OF NEWPORT BEACH AND DETACHI%ENT OF THE SAME TERRITORY FROM THE
CITY OF IRVINE ", SAID ANGLE POINT BEING THE SOUTHEASTERLY TERMINUS OF THAT
CERTAIN COURSE DESCRIBED AS "SOUTH 1:058'31 " EAST 11.29 FEET" IN SAID
REORGANIZATION NO. R097 -35, SAID POINT ALSO BRING DISTANT NORTH 26 242'33"
EAST 3071.87 FEET FROM ORANGE COUNTY SURVEYOR'S HORIZONTAL CONTROL STATION
GPS NO. 6247, HAVING A COORDINATE V SUE (.;.S. SURVEY FOOT) OF NORTH
2173287.386 AND EAST 6074018.521, BASED UPO': THE CALIFJ3KTA COORDINATE
SYSTEM (CCS83), ZONE VI. 1983 NAD (199_.35 EP.-_H O.C.S. GPS A.DTUTSTMENT) AS
S`.ID GPS POINT IS SHOWN ON TRACT MA? :CO. =5955, RECORIRD :N BOOS SCS,
PAGES 18 -25 INCLUSIVE, OF MISCELLANEOUS MAPS :N THE OFF =TR OF THE COU%T`I
RECORDER OF SAID COUNTY, BEING COMMON -0 -HARBOR VIEWS E =LLS - PEASE
ANNEX- ATION' TO THE CITY 07 NEWPORT BEACH:
THENCE CONTINUING ALONG THE EXISTING C =TY BOUNDARY OF THE CITY OF NEWPORT
BEACH PER "HARBOR VIEW :ILLS -PHASE 3" = VNEX- A' =ON, 'HE "Hr .RBOR VIEW HILLS
SECTOR 4" ANNEXATION, THE "HARBOR RIDGE ANNEXATION NO. 59 ", THE "HARBOR
RIDGE ANNEXATION NO. 82, THE "HARBOR VIEW HILLS -PHASE 3" ANNEATION, THE
"HARBOR VIEW HILLS -PHASE 4" ANNEXATION, THE "L EXATION NO. S7 (CENT£RVIEW
ANNEXATION) ", THE "HARBOR VIEW" ANNEXATION, ANNEXATIONi NO. 8, CITY
BOUNDARY 1928 (COURT CASE NO. 23686) INCORPORATED SEPTEMBER 1, 1906; THE
"CORONA HIGHLANDS" ANNEXATION, THE "SEAWARD 17" ANNEXATION, THE "CAMEO
HIGHLANDS" ANNEXATION, THE "ANNEX,ATION NO. S4 ", THE "CAMEO HIGHLANDS"
ANNEXATION, THE "ANNEXATION NO. 64", THE "CAMEO CLIFFS" ANNEXATION" THE
"SHORE CLIFFS - CAMEO SHORES TIDELANDS ANNEXATION" THROUGH THEIR VARIOUS
COURSES IN A GENERAL SOUTHEASTERLY. SOUTHWESTERLY, SOUTHEASTERLY,
SOUTHERLY, WESTERLY, SOUTHERLY, EASTERLY, SOUTHERLY, WESTERLY, SOUTHERLY.
Nx "u¢- NCUt,i. loci n,ou SS PAGE 1
re- Annexation Agreement
November 28, 2001
Page 29
EXHIBIT 'Al .
NEWPORT COAST AMOMATION NO.CA01 -06
G' �1rC1��F� :��l:iai�^.i:ae :L�lla+S491
SOUTHEASTERLY, SOUTHERLY, SOOTHWESTERLY, WESTF..RLY, NORTHWES7FF_LYl
SOUTHWESTERTY, WESTERLY, SOUTfI7ESTERLY, SOUTHERLY, NORTHEAS_ERLY,
SOUTHWESTERLY; WESTERLY, SOUTHEASTERLY, NORTHEASTERLY, SOUTHERLY,
SOUTHWESTERLY, 14ORTHWESTERI.Y AND SOUTHWESTERLY DIRECTION CO AN ANGLE POINT
ON THE BOUNDARY OF THE CITY OF NEWPORT BEACH AS ESTABLISHED BY "SHORE
CLIFI'S — CAM_:O SHORE TIDELANDS ANNEXATION';
THENCE LEAVING SAID CITY BOUNDARY EN A DIREC=' LINE: NORTHEASTERLY 3 :TILES
MORE OR LESS TO A POINT'ON THE MEA4 HIGH TID? OF _HE PAC::FIC OCEAN, SAID
POINT BEARING SOUTH 37 °39'50" WEST 600 FEET MORE OR LESS FROM THE NOR- _-HwEST
CORNER OF PARCEL 3 OF "PARK PROPERTY" AS DESCRIBED IN CORPORATION GRADIT
DEED TO THE STATE OF CALIFORNIA ON FIL£ DECEInER 19, 1979. IN BOOK -3439,
PAGE 94 -132 IN THE OFFICE OF THE COUNTY RECORDER, SAID POINT BEING THE
SOUTHWESTERLY PROLONGATION OF THAT CERTAIN COURSE DESCRIBED AS "NORTH
37 °39'50" EAST ID4.98 FEET" IN SAID DEED IN THE WESTERLY BOUNDARY OF PARCEL
3 OF SAID "PARK PROPERTY';
THENCE ALONG SAID SOUTHWESTERLY PROLONGATION `ORT'H 31039'59" EAST 60C FEET
MORE OR LESS TO THE SOUTHWESTERLY CERMIN'.:S OF THAT CERTAI:: COURSE
DESCRIBED AS "NORTH 37039'50" EAST 104.98 FEET" IN THE NORT'.:7r2S ^ERLY
BOUNDARY OF SAID PARCEL 3, SAID TERMINUS ALSO BEING ON ': -�' NORT -BAS ^_ERLY
FIGHT OF WAY LIME OF THE PACIFIC COAST HIGHWAY BEING A N= ',YAY OF VAR--ABLE
WIDTH, AND FURTHER DESCRIBED IN BOOK 487, PAGE I OF 7—'DS =N THE OFFICE OF
THB COUNTY F.ECORDER;
THENCE LRAVTNG SAID NORTHEASTERLY RIGHT OF :':A': ..NE A_0:3G THE
NORTHWESTERLY" BOUNDARY LINE OF PARCEL 3 OF SAI7 "PARK PROPERTY";
THENCE NORTH 37039'50" EAST 104.98 FEET TO THE BE 1111NP ;G OF A TASGENT
950.00 FOOT RADIUS CURVE CONCAVE TO THE SOUTHEAST;
THENCE ALONG THE ARC OF SAID CURVE; NORTHEASTERLY, 219.65 FEET THROUGH A
CENTRAL ANGLE. OF 13 °14.50 ";
THENCE NORTH 50054.40" EAST 1645.45 FEET TO "HE PEGTNNTNG OF A TADIGEN'1'
1300.00 FOOT RADIUS CURVE CONCAVE TO THE WEST;
THENCE ALONG THE ARC O1' SeAID CURVE NORTHEASTERLY, 1590.29 FEET THROUGH A
CENTRAL ANGLE OF 70 005'24 ":
ov�uu- tcu�u�.wc msnaon sn PAGE 2
• 4Rre- Annexalion Agreement
November 28, 2001
Page 30
EXHIBIT `A'
NEWPORT COAST ANNEXATION NO.CA01 -06
TO THE CITY OF NEWPORT BEACH
THENCE NORTH 19 010'44" WEST 387.88 FEET;
THENCE SOUTH 84 042'47" EAST 258.52 FEET:
THENCE NORTH 58039'02° EAST 1018.92 FEET;
THENCE NORTH 74008'04" EAST 197.52 FEET;
THENCE NORTH 60027'40" EAST 137.93 FEET;
THENCE SOUTH 68054'28" EAST 150.05 FEET;
THENCE NORTH 66 048'05" EAST 167,55 FEET;
THENCE NORTH 04038'08" EAST 74.24 FEET;
THENCE SOUTH 87003'52- EAST 84.20 FEET;
THENCE NORTH 23021'06" WEST 232.34 FEET;
':HENCE NORTH 51008'19' EAST 310 -79 FEET;
THENCE NORTH 31050'33` EAST 223.66 FEET;
THEPiCE NORTH 11055'46" 11EST 290.27 FEET;
THENCE NORTH 30 002'00" EAST 147.85 FEET;
^.HEi;CE NORT}i 35 °52.56" WEST 232.03 FEET;
THENCE NORTH 10031'40° EAST 229.87 FEET;
':HENCE NOR77[ 116028'08 EAST 55.17 FEET;
THENCE NORTH 67053'26" EAST 138.16 FEET;
THENCE NORTH 38-31'49° EAST 138.06 FEET:
THENCE NORTH 24035'24- EAST 129.77 FEET;
THENCE: NORTH 03052'43° FAST 118.2.7 FEET;
uc�y,n -,.:�i ur.r4; aaru,m, sr PAGE 3
• ore- Annexation Agreement
November 28, 2001
Page 31
EXHIBIT 'A'
NEWPORT COAST ANNEXATION NO.CA01 -06
TO THE CITY OF NEWPORT BEACH
'THENCE NORTH 19 °50'41' EAST 141.40 FEET;
THENCE NORTH 49001'42' EAST 150.97 FEET;
THENCE NORTH 73052'21' EAST 172.80 FEET;
THENCE NORTH 60049'09' EAST 176.38 FEET;
THENCE NORTH 11043'47' EAST 312.63 FEET;
THENCE NORTH 03021'59" WEST 272.47 FEET TO THE SOUTHEASTERLY TERMINUS OF
THAT CERTAIN COURSE DESCRIBED AS -SOUTH 23 044'47' FAST 328.52 FEET' IN THE
EXISTING WESTERLY BOUNDARY OF `PARK PROPERTY' AS DESCRIBED IN CORPORATION
GRANT DEED TO THE STATE OF CALIFORNIA RECORDED NOVEMBER 17, 1981 ON FILE
IN BOOK 14292, PAGE 953 -965 IN THE OFFICE OF THE COUNPif RECORDER;
THENCE ALONG SAID WESTERLY BOUNDARY NORTH 28044'47" WEST 328.52 FEET;
THENCE NORTH 11 °21'29" EAST 467.15 FEET;
THENCE NORTH 08021'57" WEST 68.73 FEET;
THENCE NORTH 29047131° EAST 307..90 FEET;
THENCE NORTH 30808'45' EAST 383.72 FEET;
THENCE NORTH 30018'40" EAST 301.17 FEET;
THENCE NORTH 79056'51" EAST 446.86 FEET;
THENCE NORTH 49046'51." EAST 390.27 FEET;
THENCE NORTH 75036100" EAST 152.80 FEET;
THENCE NORTH 88017'55' EAST 404.28 FEET;
THENCE NORTH 02027'46' EAST 186.17 FEET;
THENCE NORTH 25047'27' EAST 330.97 FEET:
THENCE NORTH 89015'21' EAST 308.03 FEET;
"IMLoGLIM.o X4,191.11 st PAGE
ore- Annexation Agreement
to November 28, 2001
Page 32
EXHIBIT `A'
NEWPORT COAST nMMATION NO.CA01 -06
TO THE CI'T'f OF NEWPORT BEACH
THENCE NORTH 11034'59" EAST 2549.93 FEET;
THENCE NORTH 11 006'16" WEST 1038.44 FEET;
THENCE NORTH 10 047'04" EAST 235.15 FEET;
THENCE NORTH 35006.10" FAST 551.26 FEET;
THENCE NORTH 16038'20" FAST 181.60 FEET;
THENCE NORTH 18054'59' WEST 188.16 FEET;
TfIENCE NORTH 16025'40" EAST 424.32 FEET;
THENCE NORTH 29010'03" EAST 196 -98 FEET;
THENCE NORTH 14024'00° EAS'P 152.80 FEET;
THENCE NORTH 52016'30' EAST 67.01 FEET;
THENCE NORTH 60017'00" EAST 148.12 FEET;
—HENCE NORTH 37 027'15" EAST 274.61 FEET;
'_'PENCE SOUTH 33000'20' EAST 789.39 FEET;
.'HENCE NORTH 70038'36" EAST 784.31 FEET;
':HENCE SOUTH 02059'35" WEST 306.42 FEET,
^_HENCE SOUTH 22006'00' EAST 356.17 FEET;
-HENCE SOUTH 35018'58" EAST 2345.66 FEET TO WESTERLY TER14INUS OF THAT
CERTAIN COURSE DESCRIBED AS "SOUTH 44 031'21" EAST 676.84 FE—'T' IN THE
EXISTING NORTHEASTERLY BOUNDARY OF SAID BOOK 13439, PAGE 94 -132;
THENCE LEAVING THE BOUNDARY OF SAID BOOK 14292, FACE 953 -9G5 AND ALONG THE
NORTHEASTERLY BOUNDARY OF SAID BOOK 13439, PAGE 94 -132;
THENCE SOUTH 44031'21" EAST 678.84 FEET;
THENCE.SOUTH 71026'28" EAST 584.39 FEET;
IA �1 Ul -Vdi, Ml.un m:,. ... n s, PAGE 5
W- Annexation Agreement
November 28, 2001
Page 33
EXHIBIT •A'
NEWPORT COAST ANNEXATION NO.CA01 -06
TO TEE CITY OF NEWPORT BEACH
THENCE SOUTH 85006'26' EAST 515.8E FEET;
THENCE SOUTH 74 032'30" EAS":' 420.20 FEET;
THENCE SOUTH 66 09:'38' EAST 548.66 FEET TO A POINT ON THE SOUTHEASTERLY
LINE OF BLOCK 161 OF SAID IRVTNE'S SUBDIVISION;
THENCE LEAVING THE NORTHEASTERLY BOUNDARY OF SAID BOOK 13439, PACE 94 -132
AND ALONG THE SOUTHEASTERLY LINE OF SAID BLOCK 161 NORTH 40033'59" EAST
188.12 FEET TO A POINT ON THAT CERTAIN COURSE BEARING "NORTH 34056'51" WEST
457.86 FEET" IN THE EXISTING BOUNDARY OF "THE PROPERTY' DF.SCRIBRD IN GRANT
DEED TO THE CITY OF LAGUNA BEACH RECORDED NNE 27, 1991 AS DOCUMENT NO- 91-
330557 IN THE OFFICE OF THE COUNTY RECORDER;
THENCE ALONG SAID COURSE AND THE SOUTHWESTERLY BOUNDARY OF "THE PROPERTY"
OF SAID GRANT DEED NORTH 34 055'56" WEST 53.88 FEET;
'PH5NCE NORTH 68021'18" WEST 560.20 FEET;
THENCE NORTH 60007'54" WEST 785.39 FEET;
THENCE SOUTH 83028'56" WEST 326 -82 FEET;
THENCE, NORTH 66044`01" WEST 658.40 FE--ET;
:'HELNCE NORTH 39006'41" WEST 465.65 F=T;
Ti[E6TCE NORTH 54032'38" WEST 526.14 FEET;
T'HE�ICE NORTH 34026'23' WF.S'1' 410.92 FEET;
THENCE NORTH 12044'59° FAST 337.73 FEET;
THENCE 1401ITK 24022.24° WEST 331..27 FEET;
THENCE NORTH 38033'34° WEST 489.32 FEET;
THENCE NORTH 22014'13" WEST 315.36 FEET;
THENCE NORTH 41041.22" WEST 538 -97 FEET;
THENCE NORTH 46030'42" WEST 848 -19 FEET;
�rouvv -ccm ,q .cx ws sieve
S. ' PAGE 6
ore- Annexation Agreement
November 28, 2001
Page 34
EXHIBIT `A•
NEWPORT COAST ANNEXATION NO- CA01 -06
TO THE CITY OF NL+tPORT BEACH
THENCE NORTH 71 006'53' WEST 244.14 FEET;
THENCE SOUTH 89008'04' WEST 252.22 FEET TO THE S07THWES'_"ERLY PP.OLONCATION
OF THE COURSE DESCRIBED AS "NORTH 40100'00" EAST 66].00 FEET" IN ANNEXATION
NO. 1 (FRASIER ANNEXATION) TO THE CITY OF IRVINE;
THENCE ALONG SAID PROLONGATION NORTH 40 °:3'37" EAST 221.97 FEET TO A POINTP
IN THE SOUTHEASTERLY BOUNDARY OF THE CITY OF IR -IINE AS ESTABLISHED BY
'REORGANIZATION NO. R097 -04' DISTANT THSREON SOUTH 64016'27' EAST 1340.14
FEET FROM THE NORTHWESTERLY TERMINUS OF THAT CERTAIN COURSE DESCRIBED AS
'NORTH 64016'17° WEST 4468.85 FEET' IN THE CENTERLINE OF TR -73 (SAN
JOAQUIN HILLS TRANSPORTATION CORRIDOR) AS I)ESCRIB>O Ili PARCEL 1 OF SAID
REORGANIZATION N0, R097 -04;
THENCE ALONG SAID EXISTING CITY BOUNDARY AND THE CENTER;. -NE OF TR -73 PER
SAID 'REORGANIZATION NO. R097 -04' THROUGH THEIR VARIOUS COURSES IN A
GENERAL NORTHWESTERLY DIRECTION TO AN ANGLE POINT :N THE EXISTING CITY OF
NEWPORT 9EACH BOUNDARY AS ESTABLISHED BY
'3 14 N0. X097 -35',
SAID POINT BEING THE SOUTHEASTERLY TERMINUS OF THAT CaC?.SE DESCRIBED AS
"NORTH 690 24'23' WEST 2092.48 FEET ";
:`F.SNCE ALONG SAID EXISTING CITY BOUNDARY PER SA-D "REORGANIZATION NO.
R097 -35" THROUGH ITS VARIOUS COURSES IN A G_NERFi: ,;aRT .iESTERLY,
SOUTHERLY, SOUTHEASTERLY AND NORTHWESTERLY 0_RSCTIC:: TO ' --F TRUE POINiT OF
.BEGINNING.
CONTAINS 7,799 ACRES, NOR£ OR T,ESS.
ATTACHED HERETO AND MADE A PART HEREOF, IS A NAP DESIGYATED AS EXHIBIT
"B,
' -0 OBTAIN THE GRID DISTANCE AT GPS P ^.. 140. 6247. MUI,Ti PLY THE GROU14D
DISTANCE BY 0.99996664.
THIS LEGAL DESCRIPTION WAS PREPARF.D 8Y ME, OR UNDER ICY SUPERVISION FROM
!R49E= SURVEI' HA5 BEEN. COP]UC ° 0 VERIFY ANY
U
REX S. PLUN04ER, PLS 6641 DATE rr-
NO. EXPIRATION DATE 12/31/03
6641
- 'GUUI -, ]1.1.a maruroa z, PAGE 7
Ore- Annexation Agreement
November 28, 2001
Page 35
EXHIBIT `A'
NEWPORT COAST ANNEXATION NO- CA01 -06
TO 771E CITY OF NEWPORT REACH
THIS PROPOSAL DOES MEET THE APPROVAL OF
THE ORANGE COUNTY SURVEYOR'S OFFICE.
DATED TENS I DAY OF
GS
DATE 09130/01 sl:
,^=WU- mup,.� 1.61,91.11 se PAGE 8
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Ore- Annexation Agreement
November 28, 2001
Page 37
Exhibit C
CA 01 -06
RESOLUTION OF THE LOCAL AGENCY FORMATION
COMMISSION OF ORANGE COUNTY, CALIFORNIA
MAKING DETERMINATIONS AND APPROVING
THE TERMS AND CONDITIONS FOR THE NEWPORT COAST
ANNEXATION TO THE CITY OF NEWPORT BEACH
September 12, 2001
On motion of Commissioner Bressette, duly seconded and carried, the following resolution
was adopted:
WHEREAS, the application and resolution from the City of Newport Beach, designated as
"Newport Coast Annexation to the City of Newport Beach" (CA 01 -06), was heretofore filed and
accepted for filing on August 28, 2001 by the Executive Officer of this Local Agency Formation
Commission pursuant to Title 5, Division 3, commencing with Section 56000, et seq. of the
Government Code; and
WHEREAS, the Executive Officer, pursuant to Government Code Section 56658 set
September 12, 2001 as the hearing date for consideration of this proposal; and
WHEREAS, the Executive Officer, pursuant to Government Code Section 56665 has
reviewed the proposal and has prepared a report, including her recommendations thereon, and has
furnished a copy of this report to each person entitled to receive a copy; and
WHEREAS, on September 12, 2001, this Commission considered the proposal and the report
of the Executive Officer, and considered the factors determined by the Commission to be relevant to
this annexation, including, but not limited to, the factors specified in Government Code Section
56668; and
WHEREAS, this Commission called for and held a pubic hearung on the proposal on
September 12, 2001, and at the hearing, this Commission heard and received all oral and written
protests, objections and evidence which were made, presented or filed, and all persons present were
Of Ore- Annexation Agreement
Nmember 28, 2002
Page 38
given an opportunity to hear and be heard with respect to the proposal and the report of the
Executive Officer; and
WHEREAS, this Commission has received the January 24, 2000 agreement between the City
of Newport Beach and the Irvine Ranch Water District (IRWD) guaranteeing IRWD the right to
continue to provide water, wastewater and reclaimed water services to the proposal area.
NOW, THEREFORE, the Local Agency Formation Commission of the County of Orange
DOES HEREBY RESOLVE, DETERMINE and ORDER as follows:
Section 1. The Commission certifies that the information contained in the Negative
Declaration prepared by the City of Newport Beach has been reviewed and
considered.
Section 2. The proposal is approved subject to the following terms and conditions:
(a) Payment by the applicant of the Recorder and State Board of
Equalization fees.
(b) The City shall adopt a resolution adopting the areas of benefit and
agreeing to participate in the San Joaquin Hills Transportation
Corridor Fee Programs. Participation in said programs includes
collecting fees as required by the fee programs and depositing said
fees together with earned interest on a quarterly basis with the
Transportation Corridor Agency or County, as applicable.
(c) The City shall accept and adopt the County's Master Plan of Drainage
(MPD) in effect within the annexation territory. Any deviation from
the MPD shall be submitted to the Orange County Flood Control
District ( OCFCD) for review of conformity with the General Plans of
the OCFCD and County of Orange.
(d) All enabling agreements required to implement the November 20,
1997 "Annexation Agreement" between the Orange County Fire
Authority and the City of Newport Beach shall be complete. Enabling
agreements include date and procedures for station transfer, wild land
fire response, and other related operation issues.
Senate Bill 516, adding a new section 30519.2 to the Public Resources
Code relating specifically to the property and its annexation, shall
Ore- Annexation Agreement
November 28, 2001
Page 39
have become effective.
Of Ore- Annexation Agreement
November 28, 2001
Page 40
(f) Prior to the issuance of a Certificate of Completion by the Executive
Officer, the City and County shall establish a formal process to
discuss, and subsequent to certification, to use their respective best
efforts to reach agreement on appropriate mechanisms to ensure that
the affordable housing needs related to the Newport Ridge and
Newport Coast development are fully satisfied in accordance with
State law.
(g) Prior to the issuance of a Certification of Completion by the Executive
Officer, the City will have executed the pre - annexation agreement
with the Newport Coast Committee of 2000.
(h) Upon annexation of the territory to the city, all right, title and interest
of the County, including underlying fee where owned by the County
in any and all public roads, sidewalks, trails, landscaped areas, open
space, street lights, signals, storm drains and bridges shall vest in the
City, except for those properties to be retained by the County
specifically listed by these conditions except as otherwise agreed to by
the City and the County.
(i) Upon the effective date of annexation, the City shall assume
ownership of, and responsibility for, all of the following property
currently owned by the County: public roads, adjacent slopes, street
lights, traffic signals and storm drains within street right -of -way and
appurtenant slopes, medians and adjacent property. .
(j) The applicant agrees to defend, hold harmless and indemnify LAFCO
and /or its agents, officers and employees from any claim, action or
proceeding against LAFCO and/or its agents, officers and employees
to attach, set aside, void or annul approval of LAFCO concerning this
proposal or any action relating to or arising out of such approval.
(k) The effective date of the annexation shall be January 1, 2002.
Section I The annexing area is found to be inhabited, is within the County of Orange, and is
assigned the following distinctive short -form designation: "Newport Coast
Annexation to the City of Newport Beach" (CA 01 -06).
Section 4. The Executive Officer is hereby authorized and directed to mail certified copies of
iere- Annexation Agreement
November 28, 2001
Page 41
this resolution as provided in Section 56882 of the Government Code.
AYES: COMMISSIONERS BRESSETTE, COAD, SCHAFER, SMITH, AND VICE CHAIR
HERZOG, AND CHAIR WILSON
NOES: NONE
ABSTAINED: NONE
STATE OF CALIFORNIA
) SS.
COUNTY OF ORANGE)
I, Dana M. Smith, Executive Officer of the Local Agency Formation Commission of Orange
County, California, hereby certify that the above and foregoing resolution was duly and regularly
adopted by said Commission at a regular meeting thereof, held on the 12th day of September, 2001.
IN WITNESS WHEREOF, I have hereunto set my hand this 12th day of September, 2001.
DANA M. SMITH
Executive Officer of the Orange County .
Local Agency Formation Commission
Un
Dana M. Smith
0
ITEM 7
TO: Members of the Newport Beach City Council
FROM: Dave Kiff, Assistant City Manager
Robert Burnham, City Attorney
SUBJECT: Authorization to Execute: Pre - Annexation Agreement implementing
Annexation Terms for the Newport Coast, and Cooperative Agreement
for Planning Services with the County of Orange.
RECOMMENDED Authorize the City Manager to execute two Agreements:
ACTION: (1) A Pre- Annexation Agreement that implements previously- approved
annexation terms and conditions for the Newport Coast community; and
(2) A Cooperative Agreement with the County of Orange for Planning Services
consistent with Development Agreement #14 (between the Irvine Company
and the City of Newport Beach).
BACKGROUND: The Newport Coast community is a 7,799 -acre region within the City's sphere of
influence that lies immediately southeast of the city's limits at Corona del Mar,
Harbor Ridge, and Bonita Canyon (see map in Attachment A). When ultimately
developed, it will contain up to 5,150 residential dwelling units, 2,150 resort
accommodations, two retail commercial centers, and extensive open space
dedicated for public use. The open -space dedications are contingent upon, and
phased with, completion of development.
APPROVED Today, about 3,000 of the 5,150 residential dwelling units are built and occupied.
Both commercial centers are under development, with the center at San Joaquin
Hills Road and Newport Coast Drive slated to open in early 2002. Only about
150 of the 2,150 resort accommodations are built or under construction (the
Marriott Newport Coast Villas). County demographers report that about 7,000
people live in the Newport Coast today.
In September 2000, the City Council directed staff to proceed with filing an
annexation application with the Local Agency Formation Commission (LAFCO)
for the annexation of the Newport Coast. The City filed this application in March
2001. In part because this annexation has been such a long process, a timeline of
related Newport Coast actions is included as Attachment B.
Pre- Annexation Agreement with Newport Coast Community. As a part of its
filing, we included a set of 15 "terms and conditions' approved by your City
Council in September 2000 that the City would provide to the residents of the
Newport Coast upon annexation (see Attachment C). These terms and
conditions agreed to after more than three years of discussion with residents of
the Newport Coast community acting as the Newport Coast Committee of 2000
(NCC2K).
"Terms and conditions" is a phrase of substantial meaning in LAFCO law
(Government Code 56000 et seq). Typically, LAFCOs apply terms and conditions
that local agencies must satisfy before the LAFCO executive officer can certify
the final documents associated with an annexation. These terns and conditions
usually relate to the payment of tax revenue, transfer of employees, the
formation of special districts, and more. .
In preparing the City's LAFCO application for hearing, LAFCO staff have noted
that the majority - if not all - of what we called "terms and conditions" may not
be within LAFCO s purview to approve, since almost all of them direct the City
to perform certain activities after annexation occurs. LAFCO staff suggested
instead using a pre - annexation agreement to implement the 15 actions. After
consultation with the City Attorney and representatives of the NCC2K, we have
agreed to develop this pre - annexation agreement and to present it to LAFCO at
the time of the first hearing.
The Agreement itself will be between the City and a representative resident
group - likely to be the NCC2K or the two master homeowners' associations that
govern the Newport Coast today (the Newport Ridge Master HOA and the
Newport Coast Master HOA). The Agreement will specifically address the
manner in which the City addresses, admininsters, and achieves each of the 15
actions proposed and approved by your Council in September 2000.
Cooperative Agreement for Planning Services with the County of Orange. In
June and July, 2001, the City entered into an Annexation and Development
Agreement (DA #14) with the Irvine Company that transfers municipal land use
authority in the Newport Coast (already bound by a County development
agreement and the Newport Coast Local Coastal Program, 2"a Amendment) to
the County of Orange.
The Agreement, in part, requires the developer to support and help facilitate the
annexation of the Newport Coast as long as (among other things):
3.1.1(c) The City transfers municipal Iand use authority (including the issuance of
building and grading permits) to the County pursuant to a joint powers or similar
agreement andlar ordinance until such time as the Project is complefe or until
OWNER consents, in uniting, to an assumption of municipal land use authority
over all or a portion of the Property.
LAFCO has also suggested that the City and County enter into a Cooperative
Agreement with the County of Oranges Planning and Development Services
(PDS) Department to implement the above provision of DA #14. The City
Attorney concurs that a Cooperative Agreement will be the best way to address
issues such as:
• Building and Grading Permits on the existing entitlement;
• Building Inspections on permitted facilities;
• Administration of the Newport Coast's open space dedications and acreage
within the Coastal Natural Communities Conservation Plan (NCCP); and
/N
• Transferring documents and land use responsibility after the County issues
Certificates of Occupancy for residential and commercial properties.
THIS AGENDA This Agenda Item asks the City Council to do two things:
ITEM:
(1) Authorize the City Manager to execute a pre - annexation agreement between
the City and representatives of the Newport Coast residents that is consistent
with, and will establish the procedures necessary to implement, the 15
actions approved by the City Council as "terms and conditions" in
September 2000.
(2) Authorize the City Manager to enter into a contract with the County for the
provision of planning and building services that is consistent with the terms
of the development agreement between the City and The Irvine Company.
These agreements, when executed, will be provided to the Council during a
public meeting as a "receive and file item and to the public via the City's
website (www.city.newport beach.ca.us).
ATTACHMENTS: Attachment A - Map of the Newport Coast annexation area
Attachment B - Summary of Newport Coast Annexation and Sphere actions
Attachment C - "Terms and Conditions" adopted in September 2000
3
Page left blank intentionally
i
voxax d
0 EXHIBIT C 0
NEWPORT COAST & RIDGE
NEWPORT
ane +n xa `
CRYSTAL COVE STATE PARK \\
(NORTH /COASTAL SECTION) \
NEWPORT COAST/
NEWPORT RIDGE
COAsr
Attachment A
Proposed Annexation Area
City of Newport Beach (Existing)
0 Crystal Cove State Park
• —• Sphere of Influence Boundary
— Sphere (To 3 miles out)
—� City Boundary
0 1.600 3.200
Feet
Page left blank intentionally
i
0
Attachment B
Summary of Newport Coast
Annexation and Sphere Actions
Discussions /hearings relating to Sphere of Influence:
August 1970 City submits first Sphere map to LAFCO
February 1971 City Council establishes "Downcoast Development Committee"
September 1972 Execution of an Agreement between the Irvine Ranch Water District and the City
regarding water and wastewater service in the Newport Coast. Study Session
entitled "Downcoast Annexation Analysis"
August 1973 Council Hearing on "Downcoast" Annexation - Council adopts a Sphere of
Influence report that includes the Newport Coast (Area "G")
September 1973 Revision of 1972 IRWD /City Agreement
May 1975 Report by Public Works Director on infrastructure improvements made within
Newport Beach in anticipation of annexation of the Newport Coast
October 1975 Council hearing on "Downcoast Sphere of Influence"
August 1976 City Council adopts Resolution 8878 setting forth the eastern edge of the Sphere of
Influence at Muddy Canyon
September 1976 Newport Coast added to Newport Beach Sphere of Influence
September 1979 LAFCO review of Newport Beachs Sphere of Influence - Newport Coast retained
within Sphere.
July 1980 LAFCO and City Council re- affirm Newport Beachs Sphere of Influence, including
the Newport Coast
August 1983 LAFCO and City Council re- affirm Newport Beach's Sphere of Influence, including
Newport Coast
Recent Discussions /Hearings relating to Annexation:
February 22,1999 Discussion of proposed annexation; Motion to have new ad -hoc
committee meet with Coast Residents
September 27,1999. Notice to interested Agencies: Intent to initiate proceedings for the
reorganization of territory ... Set Oct. 25, 1999 as Public Hearing
October 25, 1999 Resolution of intent to initiate proceedings for the reorganization
of territory; Adoption of resolution requesting LAFCO to initiate
proceedings.
February 22, 2000 IRWD Agreement over Water /Sewer Service in proposed
Annexation Areas.
April 11, 2000 General Plan Update
May 23, 2000 Budget Information dealing with annexation
June 27, 2000 Discussion of Street Sweeping and Library Needs in Newport
Coast Area.
September 12, 2000 Notice of a Resolution of Intent set for the next agenda for
application with LAFCO.
September 26, 2000 Public Hearing on the Adoption of Resolution of Application
Requesting Initiation of Proceedings to Reorganize Territory &
Rescinding Resolution 99-71.
October 24, 2000 Review of Zoning & Development Agreement necessary to
provide for annexation.
October 24, 2000 Prezoning & Development Agreement for the Newport
Coast/ Ridge Area - Second Reading
October 24, 2000 Building Department Plan Check Review: Annexation will
increase the need for more employees in Department
December 12, 2000 Acceptance of Law Enforcement Grants
January 27, 2001 Annexation Update - Council Study Session
February 27, 2001 Formation of Annexation Ad Hoc Committee
March 27, 2001 Discussion /Adoption of Resolution relating to the City's Intention
to submit and certify a Local Coastal Program (LCP) for the City
and for the Newport Coast
I
August 28, 2001 Authorization for the City Manager to enter into an Annexation
Agreement with the Newport Coast Community regarding
annexation terms and conditions; Authorization to enter into an
Agreement for Planning Services with the County of Orange.
I
0 0
May 8, 2001
Resolutions authorizing LAFCO to Process the Annexation Areas
as Individual Application and Agreeing to the Master Property
Tax Exchange for the Newport Coast Annexation Area
June 26, 2001
Discussion regarding the Annexation and Development
Agreement with The Irvine Company for the Newport Coast.
July 10, 2001
Adoption by Ordinance of the Newport Coast Annexation and
Development Agreement (DA No. 14) w/ the Irvine Company.
July 24, 2001
Second Reading of Ordinance relating to the Annexation and
Development Agreement regarding the Newport Coast.
August 14, 2001
Adoption of a Resolution agreeing to a Master Property Tax
Exchange Agreement for the Newport Coast.
August 28, 2001 Authorization for the City Manager to enter into an Annexation
Agreement with the Newport Coast Community regarding
annexation terms and conditions; Authorization to enter into an
Agreement for Planning Services with the County of Orange.
I
10 Attachment C •
NEWPORT COAST REORGANIZATION
TERMS AND CONDITIONS
As Adopted by the City Council on September 26, 2000
with further changes made after consultation with NCC2K on October 13, 2000
1 — Newport Coast Advisory Committee. At the date of the Conducting Authority hearing on the
Newport Coast and Newport Ridge ( "NEWPORT COAST") annexation (CA01 -06), the City of Newport
Beach ( "CITY") shall establish the Newport Coast Advisory Committee ( "NCAC "). The NCAC shall
consist of seven (7) members, four (4) of whom shall be appointed by the Newport Coast Committee of
2000 and three (3) of whom shall be appointed by the City Manager after consultation by the City Council.
Should Reorganization #00 -_ not be certified by LAFCO, the City shall disband the NCAC.
2 — Infrastructure Buyback. City will partially reimburse owners of improved residential lots in Newport
Coast by purchasing specific municipal infrastructure facilities funded through County Assessment
Districts in the Newport Coast. Upon receipt of first payment from January 24, 2000 Settlement
Agreement ( "SETTLEMENT AGREEMENT") between IRWD and City, City will segregate $1,200,000 in a
separate interest- bearing account. City shall apportion and pay the First Buyback Payment ( 'FIRST
BUYBACK PAYMENT') as soon as possible at a time and in a legal manner of apportionment to be
determined by the Newport Coast Advisory Committee after consultation with the City Attorney. First
Buyback Payment shall. equal $1,200,000 plus interest between date of segregation and date of
expenditure. On the 1', 2"d, 3rd, 4'11, e, 6', 7"', IP, g'h, 10111, 11'h, 12'h, 13th, and 14'h anniversaries of the
First Buyback Payment, City shall pay $1,200,000 ( "Anniversary Payments ") as soon as possible and in a
manner of apportionment similar to the apportionment of the First Buyback Payment. Revenue from the
First Buyback Payment and any Anniversary Payment shall only be apportioned to owners of improved
residential lots.
3 -- Expert Review of ADs #88 -1 and #92 -1. City will hire and /or direct in -house staff to diligently
examine documents associated with County Assessment Districts #88 -1 and #92 -1 and to resolve
outstanding issues regarding these Districts to a satisfactory conclusion within 12 months of certification
of Reorganization #01 -_. Examination effort shall be overseen by the City Council and the NCAC.
4 — Civic Center. City shall allocate up to the entirety of a $7 million Newport Coast Civic Center
Account ( "CIVIC CENTER ACCOUNT") for a Civic Center in the Newport Coast of approximately 22,000
square feet. Center's primary location shall be adjacent to or within Newport Ridge Park depending upon
community input. An alternative site may be at the top of Ridge Park Road (within new park not yet
constructed). Upon formation of NCAC, City shall make funds available immediately for planning and
design, with construction anticipated in FY 2002 -03. Funds in Civic Center Account shall only be used for
actual costs of construction, including permitting and design and shall not include City administrative
overhead, furniture, fixtures, and equipment (FF &E), or other indirect incidental costs. NCAC shall direct
and approve final design of Center as long as design does not impair City's ability to operate and
maintain Center. Center may contain, among other things, a gym, library, meeting rooms, and ancillary
rooms. Center shall be a City-owned and operated asset with a Newport Coast resident -based
reservation preference system developed by the NCAC. Preference system shall not allow arbitrary
cancellation of properly - scheduled events. If by June 2003, the Civic Center has not been planned and
the City Council after consultation with the NCAC deems that the Center is not wanted by the Newport
Coast Community, revenue remaining in the Civic Center Account shall be added to the Infrastructure
Buyback provisions of Condition #2 and shall be returned over a period of three (3) years between June
2003 and June 2006.
5 -- Remainder of Account. If Civic Center is constructed and revenue remains in the Civic Center
Account, such revenue shall be added to the Infrastructure Buyback provisions of Condition #2 and shall
be returned to owners of improved residential lots within six (6) months of issuance of Certificate of
Occupancy for Civic Center.
.10
r
6 — One Council District. Upon effective date of reorganization, City shall draw Council boundaries after
reorganization such that Newport Coast is placed within a single City Council district upon reorganization
through the first regularly scheduled City Council election (November 2002) following reorganization.
7 — Retention of IRWD. City agrees to retain IRWD as the Newport Coast's provider of water, sewer,
and reclaimed water service. City shall enforce and follow the terms of the Settlement Agreement as it
relates to rate protection and IRWD's Improvement District levies ( #140/240 and #160(260).
8 — Fire and Emergency Medical Services. Upon effective date of reorganization, City shall provide the
identical Fire and EMS service to the Newport Coast that it provides to the remainder of the City. Such
service shall include the placement of a Paramedic Assessment Unit (including a full -time paramedic) at
the Newport Coast Fire Station (Station #52) immediately following City's takeover of services.
9 — Law Enforcement Services. Upon effective date of reorganization, City shall add one additional
patrol beat and related staffing. In addition, City will realign beat structure such that Newport Coast
becomes a part of two separate patrol beats (such beats shall include portions of current City as well) to
enhance coverage in Newport Coast. Response times and staffing levels in Newport Coast shall be
consistent with those enjoyed by remainder of City. City shall, upon consultation with the NCAC, provide
specific on -site but temporary law enforcement services to the Coast as requested, using facilities at the
civic center or fire department for events such as crime prevention presentations, fingerprinting small
children, signing up alarm accounts, distributing material and more.
10 — Public and Private Parks. Not more than two months after the formation of the NCAC, the NCAC
shall determine which park facilities shall remain "private" and administered and maintained by Newport
Coast HOAs. The private swim and tennis facility at Ridge Park Road shall remain private. Upon receipt
of this determination from the NCAC, City shall accept any irrevocable Offer of Dedication associated with
all Newport Coast parks (except the swim and tennis facility mentioned above) and, where portions of
such parks shall remain private, shall lease back private portions to area HOAs in a manner acceptable to
the City Attorney. City shall offer these leases for the longest feasible term at $1 per year. Leases shall
assign all liability obligations for the private portions of these parks to Lessees (HOAs). City or its
contractor shall maintain facilities to standards in place today in the Newport Coast. City will use current
landscape maintenance companies subject to City's competitive bid practices
11 — Public Common Areas, Slopes, and Medians. City shall maintain all slopes, medians, parkways
and common areas outside of gated communities unless such areas are retained as private by the
NCAC. City shall maintain facilities to standards in place today in the Newport Coast. City will use current
landscape maintenance companies subject to City's competitive bid practices.
12 — Curbside Residential Refuse Collection. Upon effective date of annexation, City will pay for
curbside residential trash collection (but not for collection from commercial, hotel, timeshare, or multi-
family uses) for as long as similar refuse collection is provided "Free" to residences in Newport Beach's
pre -1996 city boundaries. Any future change to Measure O (1996) that directs all residents to pay for
trash collection City-wide shall apply to the Newport Coast as well, thus nullifying "free" refuse collection
per this Condition.
13 -- Aviation Committee Appointment. Upon certification of reorganization, City Council shall appoint
one or more Newport Coast representatives to the City's Aviation Committee.
14 -- SCE Encouragement. Upon certification of reorganization, City shall use its "best efforts" to
encourage Southern California Edison to bury underground power lines (TBD) in the Newport Coast.
15 — Athletic Fields. The NCC2K has expressed a desire for alighted athletic field to be permitted within
the Newport Coast. The NCAC will recommend a location for this field (excluding Newport Ridge Park
from any consideration) that minimizes homeowner impact. City will support such a recommendation
provided that all lighting meets City standards.