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HomeMy WebLinkAboutItem 4.10 QuarrySchoolAnnexCITY CLERK FILE # 600-30 AGENDA STATEMENT CITY COUNCIL MEETING DATE: March 6, 2001 SUBJECT: Quarry Lane School Annexation Agreement (Report prepared by Elizabeth H. Silver, City Attorney) ATTACHMENTS: 1. Annexation Agreement between City of Dublin and Sr. Sabri Arac for the Quarry Lane School Project. RECOMMENDATION:Aft~. Authorize City Manager to execute Amendment to Annexation Agreement. FINANCIAL STATEMENT: None. DESCRIPTION: On September 5, 2000, the City Council authorized the Mayor to sign an Annexation Agreement between the City and Sr. Sabri Arac for the Quarry Lane School Project. The timing of certain actions required by the Annexation Agreement is contingent upon certain actions by the City Council as the "conducting authority." Due to a change in State law, which became effective January 1,2001, certain technical changes need to be made to the Annexation Agreement to assure the intent of the Agreement is carded out. The Local Agency Formation Commission will consider the proposed annexation at its meeting of March 8, 2001. Staff has discussed certain amendments to the Annexation Agreement with the applicant but no resolution has been arrived at to date. TO expedite the amendment to the Annexation Agreement and processing of the annexation by LAFCO, staff recommends the Council authorize the City Manager to execute an amendment to the Agreement to assure compliance with the intent of the Agreement. Recommendation: Authorize the City Manager to execute an amendment to the Annexation Agreement to revise technical references related to the City's role as "conducting authority," and related revisions to assure compliance with the intent of the agreement. COPIES TO: Dr. Sabri Arac 4510 ITEM NO. G:\CC-MTGS\2001 QTRI\MARCtB-6-0 I~S-QUARRYANNEX.DOC City of Dublin When Recorded Mail To: City Clerk City of Dublin 100 Civic Plaza Dublin, CA 94568 '~, COPY OF DOCUMENT RECORDED FEB 2 8 2007 010725:L~. HAS NOT BEEN COMPARED WITH ORIGINAl, ALAMEDA COUNTY REORDER Space above this line for Recorder's Use ANNEXATION AGREEMENT BETWEEN CITY OF DUBLIN AND DR. SABRI ARAC FOR THE QUARRY LANE SCHOOL PROJECT THIS AGREEMENT dated for identification this 21 st day of November, 2000, is entered into by and among the City of Dublin, a municipal corporation, ("the-City") and Dr. Sabri Arac ("Developer"). .. Recitals 1. In 1993, the City Council of the City adopted the Eastern Dublin General Plan Amendment and Eastern Dublin Specific Plan ("the Specific Plan").The Specific Plan provides a planning framework for the future growth and development of approximately 3,300 acres (collectively, "the Specific Plan Area"). 2. The General Plan and the Specific Plan include goals and policies to prevent development within the Eastern Extended Planning Area and the Specific Plan Area (hereinafter collectively "Eastem Dublin") from drawing upon and diluting the fiscal base of the remainder of the City. 3. The Developer owns certain property ("the Quarry Lane Property") within the Specific Plan Area described more particularly in Exhibit A, which is incorporated herein by reference. Developer received approval for a private school on the property for 200 students (Phase 1 ) from Alameda County. Developer has applied to City for annexation to the City of the Quarry Lane Property and Prezoning for construction of additional building and operation of Phase 2 of a pdvate K-12 school for all additional 750 students, known as the Quarry Lane School (the ',Project"). 4. On DecemlSer 30, 1999, the Developer filed an application with the City to prezone and annex to the .City the Quarry Lane Property and certain other land within the Specific Plan Area owed by Michael O. Kobold (collectively, "the Annexation Area"), all of which is shown on the map attached hereto as Exhibit B and incorporated herein by reference. The Developer did not submit any development plans with the application for the Kobold property. Annexation Agreement Between City of Dublin and Dr. Sabri Arac - Quarry Lane School ATTACHMENT 1 5. It is estimated that the cost of providing public services to the Eastern Dublin Area at a level consistent with services provided within the City could exceed revenues generated to the City from property within the Eastern Dublin Area. 6. If new development occurs within the Eastern Dublin Area as anticipated, it is expected to generate revenues to the City which will reduce and, in the near future, eliminate the above-described potential deficit. However, even with development, deficits may occur in early years. Consistent with the goals and policies of the General Plan and Specific Plan, Developer will pay City Developer's proportionate share of any such deficits, as provided herein. Developer's proportionate share shall be .42% (.42. percent) which is the percentage which the Annexation AFea (13.75 acres) is of the lands within the General Plan Amendment area which have not been annexed to the City as of the date hereof (1,929.84 acres) plus the Dublin Ranch Project (1,363.29 acres). Because Developer proposes construction and operation of the Project on the Quarry Lane Property and City anticipates receiving revenues from such project, City will require payment by Developer of its proportionate share of any deficit only from the time a new fire station is opened to serve Eastern Dublin, which City anticipates will result in a deficit. 7. Certain improvements to the 1-580FFassajara Road Interchange ("Interchange Improvements") are required to be constructed in order to facilitate development on the Annexation Area. City has previously entered into agreement for funding for construction of the Interchange Improvements with developers of property within the City. Pursuant to these agreements, four developers (Alameda County Surplus Property Authority, Jennifer Lin, Greenbriar Homes and Mission Peak) have agreed to advance at least $11,863,969 to City for the Interchange Improvements. Development of the Annexation Area will benefit from construction of the Interchange Improvements. 8. Development of the Project will result in additional traffic on Tassajara Road North of the Project. This agreement requires the Developer to preepare a precise alignment for Tassajara Road. 9. The purpose of this agreement is to: (a) assure the City that the Developer will contribute its proportionate share of any deficit between revenues and expenses for the Annexation Area; (b) provide for Developer contribution of its prorata share of the cost of design and construction of the Tassajara Interchange improvements; and (c) set forth the Developer's obligation for preparation of a precise alignment for Tassajara Road from the city limit line to the proposed intersection with the north boundary of the property to the north, all prior to the City initiating annexation of the Quarry Lane Property. Annexation Agreement Between City of Dublin and Dr. Sabri Arac - Quarry Lane School Page 2 ef 6 November 13, 2000 AGREEMENT NOW THEREFORE, in consideration of the mutual promises and conditions contained herein, the Parties agree as follows: Section I. General Fund Shortfalls A. The Developer's Payment Obligations; Definitions. Developer shall pay the City .42% (.42 percent) of the deficit, if any, between Public Service Costs and General Revenues. "Public Service Costs" shall mean the general fund cost of providing public services to the Eastern Dublin Area at a level consistent with public - services provided within the incorporated area of the City hrior to the annexation. "General Revenues" shall mean those revenues deposited to the City's general fund from property and inhabitants within the Eastern Dublin Area. "Eastern Dublin Area" shall include all lands within the Eastern Dublin General Plan Amendment area which are within the City limits of Dublin. B. Duration of Payment O'bligations. The Developer's obligation under this Section I shall begin when the new fire station to be constructed in Eastern Dublin (Fire Station 18) becomes operational and shall terminate when there is no deficit but in no event by June 30, 2010 ("Deficit Period"). C. Annual Fiscal Analyses. The City shall prepare a fiscal analysis each year during the DefiCit Period to estimate the amount by which the Public Service Costs will exceed General Revenues. The fiscal analysis will be prepared on a fiscal year basis (July 1 to June 30) and will calculate the deficit for the preceding fiscal year. D. Payments to the City. No later than October I of each year during the Deficit Period, Developer shall pay to City .42% of the deficit between Public Services Costs and General Revenues for the preceding fiscal year, based on the fiscal analysis, plus .42% of the' cost of the fiscal analysis described in Section I.C. E. Security for Payment. No later than approval of Site Development Review for Phase 2 of the Project, Developer will provide the City with security in an amount and form satisfactory to the City Manager, to become effective once the Annexation Area becomes part of the City, to secure the payments to the City described in Section I.D above. The security may consist of a letter of credit or similar instrument. F. Reimbursement From Other Property Owners. The City shall consider fair and appropriate ways of reimbursing the Developer some of the amounts Developer may be required to pay under this Section I from the owner of the Kobold property, which is the only other property included in the Annexation Area which is not owned by Developer. To the extent permitted by law, the City shall require owners of the Kobold property who seek City approval of development entitlements for such property to pay a fair and proportionate share of the amounts which Developer is required to pay pursuant to this Section I. Annexation Agreement Between City of Dublin and Dr. Sabri Arac - Quarry Lane School Page 3 ef 6 November 13, 2000 Section II. Payment to City for Tassajara Road Interchange A. Advance of Monies by Developer. Prior to the Council, acting as the "conducting authority," adopting a resolution ordering the annexation (reorganization) and provided the ordinance prezoning the Quarry Lane Property for the Project, has become effective, Developer will pay to City the sum of Four Hundred Nine Thousand Five Hundred Dollars ($409,500). B. Use of Monies by City. City will use the monies paid by Developer pursuant to this Agreement, together with any interest earned thereon, for construction of the Interchange Improvements. As used herein, "construction" shall include preliminary engineering, preparation of project study report, project report, plan specifications and estimates, engineering, environmental documentation and review, right-of-way acquisition (if necessary), permits, processing, utility relocation, construction, construction inspection, project management, and inspection. City shall be under no obligation to use the monies paid by Developer until such time that City has adequate monies to construct the Interchange Improvements. C. Credit Against TIF. City will provide a credit to Developer in the amount of Developer's payment of monies hereunder, to be used by Developer against payment of the Eastern Dublin Traffic Impact Fee ('q'lF"). This agreement shall be deemed to be the credit/reimbursement agreement required by Section V(A) of the TIF Guidelines (as adopted by Resolution 23-99). All aspects of the credits shall be as described in the TIF Guidelines, including the right to convert any unused credits to a right of reimbursement, subject to the following provisions: (a) the Developer shall pay an administrative fee of one-half of one percent or $1,000 whichever is greater; (b) the credit shall be granted at the time Developer makes payments of money pursuant to this agreement; (c) the credit shall be in the amount of $409,500 (d) the credit may be used only against the Category I TIF Fees; and (e) the credit may be used once it is granted. Section III. Preparation of Precise Alignment for Tassajara Road Prior to transmission by the City Clerk of a certified copy of any City Council resolution approving the reorganization, which includes annexation to the City of the Annexation Area, Developer shall submit to the City Engineer a precise alignment for Tassajara Road from the existing northerly city limit line to the proposed intersection with the north boundary of the property immediately to the north of the Quarry Lane Property, currently owned by Robert Nielson, in a form acceptable to the City Engineer. The precise alignment shall be in a form which can be recorded, as required by Dublin Municipal Code Chapter 7.68. The precise alignment shall be consistent with the precise alignment for Tassajara Road south of the city limit line. The precise alignment shall be for the ultimate width of Tassajara Road (six lanes) but shall propose construction initially of only four lanes within the right-of-way for the ultimate road width. Annexation Agreement Between City of Dublin and Dr, Sabri Arac - Quarry Lane School Page 4 of 6 November 13, 2000 Section iV. Approval of Annexation This Agreement shall take effect only if the City adopts a resolution of application to annex the Annexation Area, with or without conditions. Upon adoption of such resolution, the City shall take reasonable steps to facilitate annexation of the Annexation Area in a timely manner. This Agreement shall become ineffective, however, if the annexation is not approved by LAFCO or the voters or does not become effective for any other reason. Section VI. Additional Provisions A. Correctness of the Recitals. are true and correct and are a part hereof. The Recitals'set forth in this Agreement B. Further Assurances. The Parties shall execute, acknowledge, and deliver such additional documents or instruments as may be necessary to carry out the intent of this Agreement, including but not limited to, those expressly referred to in this Agreement. C. Construction by California Law.' This Agreement is entered into in the State of California and shall be construed and interpreted in accordance with its laws. D. Representation of Comprehension of Document. In entering into this Agreement, the Parties represent that they have relied upon the legal advice of their attorneys who are the attorneys of their choice. The Parties further represent that the terms of this Agreement have been completely read by and explained to them by their attorneys, and that they fully understand and voluntarily accept those terms: E. Authorship. Each Party and counsel for each Party has reviewed and 'revised this Agreement, and accordingly, the normal rule of construction to the effect that any ambiguities are to be resolved against the drafting Party shall not be employed in the interpretation of this Agreement or any amendment of it. F. Authority to Execute. Each of the. Parties represents and warrants that each has full power to enter into this Agreement. G. Entire Agreement; Amendment. This Agreement contains the entire agreement between the Parties with regard to the matters set forth. There are no additional written or oral agreements or promises between the Parties concerning these matters'which are not expressly set forth in this Agreement. This Agreement may be amended or modified only by an agreement in writing executed in the same manner as this Agreement. H. Attorneys Fees. In the event a Party to this Agreement is found in a court of law to have breached this Agreement, said Party shall pay the opposing Party's reasonable attorneys fees and costs incurred in litigating the breach of contract action. Annexation Agreement Between City of Dublin and Dr. Sabri Arac - Quarry Lane School Page 5 of 6 November 13, 2000 I. Approval of Project. By entering into this Agreement, City makes no commitment that it will approve the Project. J. Notices. All notices shall be by certified mail or hand delivered to the Parties as follows: To the City: City Clerk City of Dublin 100 Civic Plaza P. O. Box 2340 Dublin, CA 94568 To the Developer: Dr. Sabri Arac, President Quarry Lane School 3750 Boulder Street Pleasanton, CA 94566 K. Recordation. This Agreement shall be recorded against the Property described in Exhibit A (the Quarry Lane Property). IN WITNESS WHEREOF, the parties have executed this agreement the day and year first above written. CITY OF DUBLIN THE DEVELOPER Dr. Sabri Arac Approved as to form: City Attorney Attest: [NOTARIZATIONS ATTACHED] J:\wpd~mnrsw\l 14\163~agree\q uarry_anexation_l 113.doc Annexation Agreement Between City of Dublin and Dr. Sabri Arac - Quarry Lane School Page 6 of 6 November 13, 2000 CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT Oil Da e , before me,//~ Y personally appeared ~--ZV ~--~, Name(s) of Signer(s) l~ personally known to me [] proved t0 m8 on the basis of satisfactory evidence to be the person(,s)/whose name(~")" is/a~e subscribed to t-he within instrument and acknowledged to me that he/,Lsl~ executed the same in his/,ber/t, jgefr authorized capacity(jest', and that by his~'ef~ signature/c~ on the instrument the person,Cs'X/or the entity upon behalf of which the person,(,s'~ acted, executed the instrument. WITNESS my and offi ' I seal. OPTIONAL Thougb the information below is not required by law, it may prove valua.ble to persons relying on the document Title or Type of Document: ~ ~? to anothe/docu~ Document Date: 7//,~..//0C) Number of Pages: 8 Capacity(ies) Claimed by Signer Signer's Name: [] Individual Top of thumb here [] Corporate Officer -- Title(s): [] Partner- [] Limited [] General [] Attorney in Fact [] Trustee [] Guardian or Conservator []Other' · · . Signer Is Represenbng: © 1999 National Notary Association · 9350 De Solo Ave,, F',O. Box 240? · Chatsworth, CA 91313-2402 · www.nalionalnotary. orgProd. No. 5907Reorder: Call Toll-Free 1-800-876-6827 STATE OF CALIFORNIA ) ) SS. COUNTY OF CONTRA COSTA ) On lqov. Iq, 2t~c3o , before me, the undersigned, a Notary Public in and for said State, personally appeared Sabri Arac, personally known to me (or proved on the basis. of satisfactory evidence) to be the person whose name is subscribed to the within instrument and acknowledged to me that he executed the same in his authorized capacity, and that by his signature on the instrument the person, or the entity upon behalf of which the person acted, executed the instrument. WITNESS my hand and official seal. 'Nota~~PiiY' Owner: Sabri Arac APN: 985-0002-006~01 EXHIBIT A RECENED ~'!gV '~. ,~ 2000 DUBLIN PkANNiNG Legal Description Arac Property (Quarry Lane School Site) Real property situate in the unincorporated area of Alameda County, State of California, being all of that certain parcel described in the deed, recorded in Series No. 99-310014, Alameda County Records. , ' Commencing at a railroad spike at the centerline of Tassajara Road (COunty Road No. 2568), (66.00 feet wide) as sho~vn on Tract Map 6925, filed in Book 241 of Maps at Page 39, Alameda County Records; thence S.86°35'44"E., 33.00 feet to the easterly 'line of Tassaj ara Road; thence along said easterly line S .03724' 16"W., 801.02 feet to the northwesterly comer of said parcel and the Point of Beginning; thence along the northerly line of said parcel N.82°07'31 "E., 781.19 feet to the northeasterly comer of said parcel; thence along the easterly line of said parcel S.01 °18'31 "W., 557.80 feet to the southeasterly comer of said parcel; thence along the southerly line of said parcel S.82°07'31 "W., 802.00 feet to the southwesterly comer of said parcel; thence along the westerly line of said parcel N.03°24'16"E., 561.50 feet to the Point of Beginning. Containing: 10.01 Acres +/- Charles F'. Sellman L.S. 5186 Date P%lobs-99\99109 l\SURVEY',School.des November 8, 2000 I I I~j. ~jl I Found RR Spike Tract 6925 241 M 39 I '---I """-66.00' EXHiBli A C,o,~c~ .9.. S86'35'4,1"E --N- N/e/sen 94-348420  ~ . Parcel 1 ' c~ arcel Mop 1193 '~' P 84K PM 40 CO : - APN: 985-0002-009 . ~ i N82'OT'5,~l"E.. __ - "'" "'" o ~l ' ARAO ~ ~.,_ _~ I / · g9-810014 ~,.o ~. ! APN: g85-0002"006-01 _~l: {Guarry Lane School) 3~h . o 9I- 128046 (J ~ APN: 985-0002-005-02 PLAT TO ACCOMPANY LEGAL DESCRIP fiON ARA C PROPER TY ALAMEDA COUNTY CALIFORNIA LIN 99-177972 APN: 985-0002-005-6 u~~eri - SCALE: ' DATE: dOB NO.: 1~= 200' Nov. 9. 2000 991091 a' ~ ~s1999 ~ 99 t091 ~ sur~y~ annex. CI~FY OF DUBLIN C ~ MAP DEMNEATING ~UNDARY OF ~RY j ........... s ~ - - ~ '~ ...... ~ ANNE~D ~ ~E CI~ OF DUB~N~ CA~RNIA ': . ' ' DUB~N .... ~,~o~ ,o. ,o ,~ ~.~ ' ......... MOp 6925 · , " ' ~ ~ ~' ~ 41 M 3g - ' N;: PA~ O~ · LE~ BA~S ~ ~IN~ ~ . .