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Home My WebLink About65-02 • RESOLUTION NO. 65-02 • RESOLUTION OF THE CITY COUNCIL OF THE TOWN OF LOS ALTOS HILLS APPROVING AND AUTHORIZING EXECUTION OF A SANITARY SEWER REIMBURSEMENT AGREEMENT BETWEEN THE TOWN OF LOS ALTOS HILLS AND THE OWNERS OF THE MAGDALENA AVENUE SEWER PROJECT WHEREAS,the City Council of the Town of Los Altos Hills has read and considered that certain Sanitary Sewer Reimbursement Agreement("Agreement") between the Town and the owners of the Magdalena Avenue Sewer Project. NOW, THEREFORE, the City Council of the Town does RESOLVE as follows: 1. Public interest and convenience require the Town of Los Altos Hills to enter into the Agreement described above. 2. The Town of Los Altos Hills hereby approves the Agreement and the Mayor is hereby authorized on behalf of the Town to execute the Agreement between the Town of Los Altos Hills and the owners of the Magdalena Avenue Sewer Project. PASSED AND ADOPTED this 2othday of June , 2002. " By: Mayo ATTEST: City Clerk N:\DATA\Clients\L\LAH\Projects\Magdalena\Sewer.rut.wpd • • • SANITARY SEWER REIMBURSEMENT AGREEMENT THIS SANITARY SEWER REIMBURSEMENT AGREEMENT ("Agreement") is entered into this 24th day of June , 2002, by and between the Town of Los Altos Hills, a municipal corporation of the State of California ("Town") and the property owners listed on Exhibit A hereto (collectively, "Property Owners"). RECITALS A. Section 6-4.503 of the Town's Municipal Code allows the Town to enter into a reimbursement agreement with property owners so that the property owners may be reimbursed by future users of a sanitary sewer extension for some of the costs associated with the sanitary sewer extension. B. In order to be reimbursed, property owners may make an application to the Town pursuant to those certain Policies, Procedures and Guidelines for Sanitary Reimbursement Agreements, dated May, 2001 ("Policies"). C. Property Owners entered into the Magdalena Avenue Sewer Project Joint Venture Agreement and constructed a sanitary sewer extension commonly known as the Magdalena Sewer Project ("Sanitary Sewer Extension") within the Town as more particularly shown on Exhibit B, attached hereto. D. Pursuant to the Policies, after proper application by the Property Owners,the City Engineer has found and determined that the Sanitary Sewer Extension will benefit not only the lands of Property Owners, but also other lands which may be served by the Sanitary Sewer Extension at a future date("Future Users") because each Future User has frontage along the gravity sewer main and can connect directly, via a single lateral, to the gravity sanitary sewer main. E. The lands of the Future Users which may be served by the Sanitary Sewer Extension in the future ("Reimbursement Agreement Service Area") are more particularly set forth in Exhibit C, attached hereto. F. Town and Property Owners now desire to provide for reimbursement to Property Owners by each Future User for their pro-rata share ("Usage Fee") as shown in Exhibit C, attached hereto. Town and Property Owners acknowledge that the total amount that the Property Owners may be reimbursed for the Sanitary Sewer Extension is an amount totaling Four Hundred Ninety Seven Thousand Eight Hundred Forty Dollars and Twenty Nine Cents (497,840.29), ("Project Costs"), less Town administrative fees as set forth in Paragraph 8 of this Agreement. 1 N:\DATA\Clients\ULAN\Projects\Magdalena\Sewer2.agm.wpd • • G. The final Project Costs have been determined, the list of Future Users has been reviewed and approved by Town Staff and construction of the Sanitary Sewer Extension has been accepted by the Town. AGREEMENT NOW, THEREFORE, for good and valuable consideration, the receipt of which is hereby acknowledged, the parties hereby agree as follows: 1. Request for Hook-Up to Sanitary Sewer Extension. The Town will collect the Usage Fee for each Future User as indicated in Exhibit C upon a request or a Town requirement for hook-up to the Sanitary Sewer Extension by each Future User within the Reimbursement Agreement Service Area. After such request or Town requirement, the Town shall be entitled to collect the Usage Fee at any time prior to the hook up by such Future User to the Sanitary Sewer Extension. In the event a lot in the Reimbursement Agreement Service Area is subsequently subdivided, each subsequent lot shall pay a prorated share of the original Usage Fee allocated to the lot prior to the subdivision(s). Upon collection of the Usage Fee from each Future User, the Town shall deduct an administrative fee of five percent (5%) from the Usage Fee in accordance with Paragraph 8 (Administrative Fee) of this Agreement. 2. Distribution of Collected Usage Fees. On December 31st of each year for which this Agreement is in effect, the Town shall pay Property Owners' designee, Peggy Rutner, 10632 Magdalena Ave., Los Altos Hills, CA 94024, any and all funds collected pursuant to Paragraph 1 (Request for Hook-Up to Sanitary Sewer Extension), less a five percent(5%)administrative fee, more particularly described in Paragraph 8(Administrative Fee). The Town shall make the check payable to Peggy Rutner and shall send such check to 10632 Magdalena Avenue, Los Altos Hills, CA 94024. The Town shall not be responsible for dealing directly with any other Property Owner. 3. Applicable Regulations. All regulations and ordinances of the Town shall apply to this Agreement and to the performances hereunder. 4. Legality of Agreement. If by decision of a court of competent jurisdiction or by California law it shall be declared or become unlawful or unconstitutional to require Future Users to reimburse Property Owners for the Sanitary Sewer Extension, then this Agreement shall automatically terminate and Property Owners and their agents shall indemnify and hold the Town harmless from any claims or liability to Future Users who have paid the Usage Fee for the Sanitary Sewer Extension. 5. Disputes. In the event of a dispute between any Future User and the Town with respect to the payment of the Usage Fee, the Town may, at its option, take any appropriate action against such Future User to collect the Usage Fee; provided, however, Property Owners acknowledge that the Town is under no obligation to take any action whatsoever against such Future User to collect the Usage Fee. 2 N:\DATA\Clients\L\LAH\Projects\Magdalena\Sewer2.agm.wpd • • 6. Indemnification; Hold Harmless. Property Owners agree to indemnify and hold the Town harmless from any claims, costs or expenses incurred by the Town in connection with any claim by any person or entity with respect to this Agreement, the associated costs or the Usage Fees. Further, Property Owners and their agents shall hold harmless the Town for any failure by the Town to collect the Usage Fee from any Future User. Nothing in this Agreement shall be construed as imposing any obligation upon the General Fund of Town. Payments shall be made to Property Owners only to the extent funds are actually received and collected by Town pursuant to this Agreement. 7. Term of Agreement. This Agreement, and the obligations of Town hereunder, whether or not any or all Usage Fees have been collected and remitted to Property Owners or their agents hereunder, shall terminate on the fifteenth (15th) anniversary of the date of this Agreement. 8. Administrative Fee. Prior to remitting any funds to Property Owners, Town shall be entitled to deduct an administrative fee in the amount of five percent (5%) from each Usage Fee to pay the costs incurred by Town in connection with the administration of this Agreement. 9. Fees and Costs. Prior to execution of this Agreement by the Town, the Property Owners shall pay all legal fees and costs incurred by the Town in connection with the preparation of this Agreement. 10. Successors; Assignment. This Agreement shall be binding upon the successors, heirs and assigns of the parties hereto, but Property Owners shall not assign any of its rights under this Agreement without the prior written consent of Town, which consent shall not be unreasonably withheld. 11. Merger. All negotiations and agreements previously made by the parties and their agents with respect to this transaction are merged into this Agreement which completely sets forth the obligations of the parties. 12. Miscellaneous. The Exhibits attached hereto are hereby incorporated into this Agreement by this reference. This Agreement is governed by California law. The prevailing party in any dispute shall be entitled to recover attorneys' fees from any other parties to the dispute. The parties hereto have executed this Agreement effective as of the date written above. TOWN OF LOS ALTOS HILLS: May 3 N:\DATA\Clients\L\LAH\Projects\Magdalena\Sewer2.agm.wpd 0 • ATTEST: APPROVED AS TO FORE+ : """mmuam. ----- City Clerk City Attorney PROPERTY OWNERS: Magdalena Avenue Sewer Project �, / " , / / (�, . AEI J William Almon Susan Almon , :: --------- Wu—Fu C. en Ellen Chen . -- _ __ J. _ De •ng Sue De Long •% . // _ r Patricia Greenhood ' c Vacit Arat , '` � // ,S Oa Holl,n• 'William Ackerman / {: arol J• n 'e n Allen Koering c_-,* Ca dying William William Ma - _ .r a ay Joyc. ick / ,�Stev Nevalsky Nancy Ne Tsky �r ' ' _ William Urback Janet t land 4, 4 N:\DATA\Clients\L\LAH\Projects\Magdalena\Sewer2.agm.wpd 0 s Am' ' • :nb Du : ka Rosenb m , R+bert Rut er. Peggy ' Z� / _ ) _� � `William Samuels Patricia Samuels L. William Utzing M:rgi:'Utzing fi 1 1 &. o ' ph a ra Vallner / (--/ Bruce Van Nice Rox.,nne Van Nice ; _ _ - S:iccoe estra Gitta Westra Mr. Cha Mrs. C a J . T,,Chan rs. Tony Chan ) / ._ ---- L/ ,, .....--- Mr. un:' Mrs. Luna --- ._____ Mr. Lane Mrs. Lane ____ Mike Black 5 N:\DATA\Clients\L\LAH\Projects\Magdalena\Sewer2.agm.wpd • S Magdalena Avenue Semier Project SUBSCRIBING PARTNERS / PROPERTY OWNERS 10570 Blandor Way 10566 Blandor Way Los Altos Hills, CA 94024 Los Altos Hills, CA 94024 10950 Magdalena Avenue 10625 Magdalena Avenue Los Altos Hills, CA 94024 Los Altos Hills, CA 94024 10699 Magdalena Avenue 10955 Magdalena Avenue Los Altos Hills, CA 94024 Los Altos Hills, CA 94024 10949 Magdalena Avenue 10631 Magdalena Avenue Los Altos Hills, CA 94024 Los Altos Hills, CA 94024 10737 Magdalena Avenue 10701 Blandor Way Los Altos Hills, CA 94024 Los Altos Hills, CA 94024 10650 Magdalena Avenue 10560 Blandor Way Los Altos Hills, CA 94024 Los Altos Hills, CA 94024 10632 Magdalena Avenue 10800 Magdalena Avenue Los Altos Hills, CA 94024 Los Altos Hills, CA 94024 10701 Magdalena Avenue 10723 Magdalena Avenue Los Altos Hills, CA 94024 Los Altos Hills, CA 94024 10551 Magdalena Avenue 10574 Blandor Way Los Altos Hills, CA 94024 Los Altos Hills, CA 94024 do Dixie Love 10669 Magdalena Avenue C.M. Capital Corporation Los Altos Hills, CA 94024 525 University Avenue Palo Alto, CA 94301 10575 Blandor Way 10695 Magdalena Avenue Los Altos Hills, CA 94024 Los Altos Hills, CA 94024 10629 Magdalena Avenue Los Altos Hills, CA 94024 Exhibit A 6 N:\DATA\Clients\L\LAH\Projects\Magdalena\Sewer2.agm.wpd 1 v \nFs' • Li-.,7 11190 �. ' ',/ J. eadiu � 11000 V, �'� 11310 l,N I: . 25630 • 24055 (\ .• 10980 11030 ; • • • • • future Users Name Address APN# Usage Fees 10572 Blandor Way 336-35-082 $14,224.00 Exhibit C 8 N:\DATA\Clients\L\LAH\Projects\Magdalena\Sewer2.agm.wpd