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HomeMy WebLinkAbout4.12 Ohlone Preserve Conserv PurchFile # CITY CLERK 0 3 0 AGENDA STATEMENT CITY COUNCIL MEETING DATE: November 6, 2007 SUBJECT: ATTACHMENTS: RECOMMENDATION: FINANCIAL STATEMENT: Approval of Sale Agreement with Ohlone Preserve Conservation Bank for Purchase of Conservation Credits for the I-580/Fallon Road Interchange Improvement Project Report Prepared by: Melissa Morton, Public Works Director Resolution approving the Agreement for Sale of Conservation Credits, together with Exhibit "A," Agreement Adopt the Resolution approving the Sale Agreement with Ohlone Preserve Conservation Bank for Purchase of Conservation Credits for the I-580/Fallon Road Interchange Improvement Project and authorizing the Mayor to sign said agreement. The cost of purchasing 10.6 acres of combination California tiger salamander/California red -legged frog multi -species credits from the Ohlone Preserve Conservation Bank is $206,700.00. The Lin Family has expressed concurrence regarding the use of funds previously provided for the construction management of the I-580/Fallon Road Interchange Project to immediately fund the purchase of these conservation credits. The Project funds intended for construction management will be replenished by the Lin Family prior to award of the construction contract. DESCRIPTION: In July 2007, the U.S. Fish and Wildlife Service released its Biological Opinion for the proposed I-580/Fallon Road Interchange Project on the threatened California tiger salamander, threatened California red -legged frog, and the endangered San Joaquin kit fox. The project Biological Opinion, which is issued under the authority of the Endangered Species Act of 1973, requires the purchase of 10.6 acres of combination California tiger salamander/California red -legged frog credits at the Ohlone Preserve Conservation Bank to offset project effects to these two listed species. The Biological Opinion also requires that these credits be secured prior to groundbreaking for the project. COPY TO: Robert Fletcher, Ohlone Preserve Conservation Bank Page 1 of 2 ITEM NO. (• /2. G:\CIP1I-580 Fallon Rd\Environmental\Agst Ohlone Preserve Conservation Bank Agmt 11-6-07.doc The cost to purchase 10.6 acres of combination California tiger salamander/California red-legged frog multi-species credits from the Ohlone Preserve Conservation Bank is $206,700.00. The Conservation Bank has received approval from the U.S. Fish and Wildlife Service and the California Department of Fish and Game to offer credits for sale as compensation for the loss of California red-legged frog and California tiger salamander habitat. The Conservation Bank is located in Alameda County. The Lin Family has agreed to the use of funds previously provided for the construction management of the I-580lFallon Road Interchange Project in order to immediately fund the purchase of these conservation credits. The funds originally intended for construction management of the Project will be replenished by the Lin Family prior to award of the construction contract. Staff recommends that the City Council adopt the resolution ~pproving the Sale Agreement with Oh10ne Preserve Conservation Bank for Purchase of Conservation Credits for the I-580lFallon Road Interchange Improvement Proj ect and authorizing the Mayor to sign said agreement. Page20f2 I fib 7 RESOLUTION NO. - 07 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF DUBLIN ********* APPROVAL OF SALE AGREEMENT WITH OHLONE PRESERVE CONSERVATION BANK FOR PURCHASE OF CONSERVATION CREDITS FOR THE I-580/FALLON ROAD INTERCHANGE IMPROVEMENT PROJECT WHEREAS, the I-580lFallon Road Interchange Improvement Project (Project) is planned to be constructed as part of the development process in eastern Dublin; and WHEREAS, in July 2007, the U.S. Fish and Wildlife Service released its Biological Opinion for the proposed I-580lFallon Road Interchange Project on the threatened California tiger salamander, threatened California red-legged frog, and the endangered San Joaquin kit fox; and WHEREAS, the project Biological Opinion, which is issued under the authority of the Endangered Species Act of 1973, requires the purchase of 10.6 acres of combination California tiger salamander/California red-legged frog credits at the Ohlone Preserve Conservation Bank to offset project effects to these two listed species; and WHEREAS, the cost to purchase 10.6 acres of combination California tiger salamander- California red-legged frog multi-species credits from the Ohlone Preserve Conservation Bank is $206,700.00, and a sale agreement between the City of Dublin and the Ohlone Preserve Conservation Bank is required to purchase said conservation credits; NOW, THEREFORE, BE IT RESOLVED that the City Council ofthe City of Dublin does hereby approve the Sale Agreement with Ohlone Preserve Conservation Bank for purchase of conservation credits for the I-580lFallon Road Interchange Improvement Project. BE IT FURTHER RESOLVED that the Mayor is authorized to sign said agreement, attached hereto as Exhibit "A." PASSED, APPROVED AND ADOPTED this 6th day of November, 2007. AYES: NOES: . ABSENT: ABSTAIN: ATTEST: Mayor City Clerk ll<-u-Ol 4.1 ~ A--r~W\4.fit G:\CIP\I-580 Fallon Rd\Environmental\RESO Ohlone Preserve Agmt for 580-Fallon II-06-07.DOC ~r1o 7 AGREEMENT FOR SALE OF CONSERV ATION CREDITS SERVICE File No.1-1-00TA-3256 CDFG Tracking No. 1802-2000-050-3 This Agreement for Sale of Conservation Credits ("Agreement") is made and entered into this 31 st day of October, 2007 ("Effective Date"), by Robert N. Fletcher and Patricia A Fletcher, husband and wife as joint tenants, Richard S. Fletcher~ andC. Nelson and Betty S. Fletcher, Trustees of the C. Nelson and Betty S. Fletcher Revocable Inter Vivos Trust, dated July 21, 1976, DBA Ohlone Preserve Conservation Bank ("Bank"), and the City of Dublin ("Project Applicant") as follows: . Recitals A. The Bank has developed the Ohlone Preserve Conservation Bank located in Alameda County, California; and B. The Bank was approved by the U.S. Fish and Wildlife Service and the California Department ofFish and Game June 23rd, 2005 and is currently in good standing with these agencies; and . C. TheBank has received approval from the U.S. Fish and Wildlife Service ("Service") and The California Department ofFish and Game ("CDFG") to offer California red- legged frog, Alameda whipsnake, and California tiger salamander Conservation Credits ("Credits") for sale as compensation for the loss of California red-legged frog, Alameda whipsnake, or California tiger salamander habitat through the Ohlone Preserve Conservation Bank Bank Agreement ("Bank Agreement"); and . D. The Bank has authorized Robert N. Fletcher to act as General Manager and to process sales agreements, collect funds and disburse funds relating to the sale of Credits of the bank; and E. Project applicant is seeking to implement the project described on Exhibit "A" attached hereto ("Project"), which would unavoidably and adversely impact California red- legged frog and California tiger salamander, and seeks to compensate forthe loss of California red-legged frog and California tiger salamander habitat by purchasing Credits from the Bank; and F. Project Applicant has been authorized by the Service, Service File No. 1-1-07-F-0257, to purchase from the Bank 10.6 acres of California tiger salamander upland/California red-legged frog (CTSU/CRF) Multi-species Credits upon confirmation by the Bank Owner of Credit availability /adequate balance of Credits remaining for sale; and . . G. Project Applicant desires to purchase from Bank and Bank desires to sell too I EXHIBIT A . To the Resolution "'-- +-- - ~ - - .~Y\? 7 Project Applicant 10.6 ac~es ofCTSU/CRF Multi-species Credits. The Bank hereby confIrms credit availability / adequate balance of Credits for sale; NOW, THEREFORE, THE PARTIES AGREE AS FOLLOWS: 1. Bank hereby sells to Project Applicant and Project Applicant hereby purchases from Bank 10.6 acres of CTSU/CRF Multi:"specieso Credits for the purchase price of $206,700.00. Upon payment of the purchase price, the Bank will then deliver to Project Applicant an executed Bill of Sale in the manner and form as attached hereto and marked Exhibit "B". The purchase price for said Credits shall be paid by check. 2. The sale and transfer herein is not intended as a sale or transfer to Project Applicant of a security, license, lease, easement, or possessory or non-possessory interest in real property, nor the granting of any interest of the foregoing. 3. Project Applicant shall have'no obligation whatsoever by reason of the purchase of the Credits, to support, pay for, monitor, report on, sustain, continue in perpetuity, or otherwise be obligated or liable for the success or continued expense or maintenance in perpetuity of the Credits sold, or the Bank. Pursuant to the Bank Agreement and any amendments thereto, Bank shall monitor and make reports to the appropriate agency or agencies. As required by law, Bank shall monitor and make reports to the appropriate agency or agencies on the status of any Credits sold to Project Applicant. Bank shall be fully and completely responsible for satisfying any and all conditions placed on the Bank or the Credits by all state or federal jurisdictional agencies. 4. The Credits sold and transferred to Project Applicant shall be non-transferable and non-assignable, and shall not be used as compensatory mitigation for any other Project or purpose, except when such transfer, assignment, or use is approved by the state or federal jurisdictional agencies. 5. Project Applicant must submit payment within thirty (30) days ofthe Effective Date of this Agreement. If Project Applicant fails to submit payment within the thirty (30) day period, this Agreement will be considered null and void. 6. Upon acquisition of the Credits, the sale is final and under no circumstances shall the Bank be obligated to re-purchase any or part ofthe Credits. 7. Upon purchase of the Credits specified in paragraph E above, the Bank shall submit to the parties listed in the Notice section of the Bank Agreement / Bank Enabling Instrument, copies of the: a) Agreement for Sale of Conservation Credits; b) Description of Project to be Mitigated (Exhibit A); c) Bill of Sale (Exhibit B); d) Payment Receipt (Exhibit C); and e) an updated ledger. The updated inventory /ledger must detail: i) Project Applicant; ii) Project Name; iii) Status (sale complete/sale not complete); iv) Credit Sale Date; v) Service File Number and lor CDFG tracking number; vi) U.S. Army Corps of Engineers File Number (if 2 ~' applicable); vii) Total Number of Credits Authorized to Sell; viii) Total Number of Credits Sold to Date (inclusive); and ix) Balance of all Credits Available. The inventory /ledger should o include all sales data from bank opening/establishment to the present. IN WITNESS WHEREOF, the parties have executed this Agreement the day and year first above written. BANK Ohlone Preserve Conservation Bank i/1 . By: (tII2~1$) ,.al11Jl1h/ Robert N. Fletcher, General Manager Date: loA Il~ PROJECT APPLICANT City of Dublin By: Date: Title: 3 '. ?'fJ 1 Exhibit "A" DESCRIPTION OF PROJECT TO BE MITIGATED Fallon Road / Interstate 580 Interchange, US Fish and Wildlife Service File No. 1~1-07- F-0257, City of Dublin, Alameda County, California 4 EXIIT A. To the Agreement '. &a:t)1 Exhibit "B" BILL OF SALE Sale No. 1026 (Bank Sales Number) Bank Service FileNo. 1-1-00TA-3256 Bank CDFG Tacking No. 1802-2000-050-3 Project Applicant Service File No. 1-1-07-F-0257 In consideration of $206,700.00, receipt of which is hereby acknowledged, Ohlone Preserve Conservation Bank does hereby bargain, sell and transfer to the City of Dublin 10.6 acres of CTSU/CRF Multi-species Credits in the Ohlone Preserve Conservation Bank in Alameda County, California, developed and approved by the U. S. Fish and Wildlife Service and the California. Department ofFish and Game. Ohlone Preserve Conservation Bank represents and warrants that it has good title to the Credits, has good right to sell the same, and that they are free and clear of all claims, liens, or encumbrances. Ohlone Preserve Conservation Bank covenants and agrees with the buyer to warrant and defend the sale of the Credits hereinbefore described against all and every person and persons whomsoever lawfully claiming or to claim the same. Dated: Ohlone Preserve Conservation Bank By: Robert N. Fletcher, General Manager 5 EXIIIT ~ To the Agreement 1~1 , Exhibit "C" OHLONE PRESERVE CONSERVATION BANK PAYMENT RECEIPT PARTICIPANT INFORMATION Name: City of Dublin Address: 100 Civic Plaza Dublin, CA 94568 .Telephone: (925) 833-6637 Contact: Ferd Del Rosario PROJECT INFORMATION Project Description: Fallon Road and 1580 interchange Service File Number: 1-1-07-F-0257 Species/Habitat Affected: California red-legged frog and California tiger salamander Credits to be Purchased: 10.6 acres of CTSU/CRF Multi-species Credits Payment Amount: $206,700.00 Project Location: Fallon Road and 1580, City of Dublin, Alameda County, California County/Address: Alameda County PAYMENT INFORMATION Payee: Ohlone Preserve Conservation Bank Payer: City of Dublin Amount: $206,700.00 Method of payment: Cash Check No. . Wire Transfer Received by: Date: (Signature) Name: Robert N. Fletcher 6 -_._---~,---- ----~- -~---- ------- --- - ---~ EXHIBIT C. To the Agreement