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HomeMy WebLinkAbout030910 CC AgendaIn compliance with the Americans with Disabilities Act, if you need special assistance to participate in this meeting, please contact the office of the City Clerk (951) 694-6444. Notification 48 hours prior to a meeting will enable the City to make reasonable arrangements to ensure accessibility to that meeting [28 CFR 35.102.35.104 ADA Title II] AGENDA TEMECULA CITY COUNCIL A REGULAR MEETING CITY COUNCIL CHAMBERS 43200 BUSINESS PARK DRIVE MARCH 9, 2010 — 7:00 PM At approximately 9:45 P.M., the City Council will determine which of the remaining agenda items can be considered and acted upon prior to 10:00 P.M. and may continue all other items on which additional time is required until a future meetinq. All meetings are scheduled to end at 10:00 P.M. `6:00 P.M.'- Closed Session of the City Council pursuant, to Government.Code Section: 1) Conference with'City Attorney pursuant to Government Code Section 54956.9(b) with respect to one matter of potential litigation. With respect to such matter,,the City Attorney has determined that a point has been reached where there is 'a significant exposure to litigation involving the City and City related entities based on existing facts and circumstances. With respect to such matter, the City Council will also meet pursuant to Government Code Section 54956.9(c) to decide whether to initiate litigation. Public Information concerning existing litigation between the City and various parties may be acquired by reviewing the public documents held- by,the'City, Clerk. Next in Order: Ordinance: 10-07 Resolution: 10-21 CALL TO ORDER: Mayor Jeff Comerchero Prelude Music: Great Oak High School Jazz Combo Invocation: Pastor Gary Nelson of Calvary Chapel of Temecula Flag Salute: Council Member Chuck Washington ROLL CALL: Edwards, Naggar, Roberts, Washington, Comerchero PRESENTATIONS/PROCLAMATIONS Certificate of Achievement - Eagle Scout Patrick Baker Certificate of Achievement - Eagle Scout Hans Britsch 1 Certificate of Achievement - Eagle Scout Brian Hizon Certificate of Appreciation - The Castillo Familv PUBLIC COMMENTS A total of 30 minutes is provided so members of the public may address the Council on items that appear within the Consent Calendar or ones that are not listed on the agenda. Speakers are limited to two (2) minutes each. If you desire to speak to the Council on an item which is listed on the Consent Calendar or a matter not listed on the agenda, a pink "Request to Speak" form should be filled out and filed with the City Clerk. When you are called to speak, please come forward and state your name for the record. For all Public Hearing or Council Business matters on the agenda, a "Request to Speak" form must be filed with the City Clerk prior to the Council addressing that item. There is a five minute (5) time limit for individual speakers. CITY COUNCIL REPORTS Reports by the members of the City Council on matters not on the agenda will be made at this time. A total, not to exceed, ten (10) minutes will be devoted to these reports. Cd91ZKV194FAIL `gnsy— 7 NOTICE TO THE PUBLIC All matters listed under Consent Calendar are considered to be routine and all will be enacted by one roll call vote. There will be no discussion of these items unless Members of the City Council request specific items be removed from the Consent Calendar for separate action. Standard Ordinance and Resolution Adoption Procedure RECOMMENDATION: 1.1 Motion to waive the reading of the text of all ordinances and resolutions included in the agenda. Action Minutes RECOMMENDATION: 2.1 Approve the action minutes of February 23, 2010. List of Demands RECOMMENDATION: 3.1 Adopt a resolution entitled: RESOLUTION NO. 10- A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF TEMECULA ALLOWING CERTAIN CLAIMS AND DEMANDS AS SET FORTH IN EXHIBIT A City Treasurer's Report as of January 31, 2010 RECOMMENDATION: 4.1 Approve and file the City Treasurer's Report as of January 31, 2010. Approval of the Plans and Specifications and Authorization to Solicit Construction Bids for the Storm Drain Repair at Rancho California Road, Project No. PW09-08 RECOMMENDATION: 5.1 Approve the plans and specifications and authorize the Department of Public Works to solicit construction bids for the Storm Drain Repair at Rancho California Road, Project No. PW09-08. 6 Approval of the Plans and Specifications and Authorization to Solicit Construction Bids for Road Reconstruction at Jedediah Smith Road, Project No. PW09-10 and approval of an Amended Spending Plan for Proposition 1 B funding RECOMMENDATION: 6.1 Approve an amendment to the City's Proposition 1 B Spending Plan for FY 2008- 09 to include East Vallejo Road and Cabrillo Avenue as part of the Road Reconstruction at Jedediah Smith Road Project; 6.2 Approve the plans and specifications and authorize the Department of Public Works to solicit construction bids for the Road Reconstruction at Jedediah Smith Road, Project No. PW09-10. 7 Payment of the City's share of the Regional Municipal Stormwater Permit for the Santa Margarita Watershed for FY 2009-2010 RECOMMENDATION: 7.1 Approve payment to the Riverside County Flood Control District in the sum of $188,825.16 as the City's portion of the cost-sharing reimbursement pursuant to the Implementation Agreement between the Santa Margarita Watershed Permittees approved by the City Council in January 2005. Support of the Local Taxpayer, Public Safety, and Transportation Protection Act of 2010 (at the request of Council Member Washington) RECOMMENDATION: 8.1 Adopt a resolution entitled: RESOLUTION NO. 10- A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF TEMECULA EXPRESSING THE CITY COUNCIL'S SUPPORT FOR THE LOCAL TAXPAYER, PUBLIC SAFETY, AND TRANSPORTATION PROTECTION ACT OF 2010, WHICH IS A BALLOT MEASURE SCHEDULED FOR THE NOVEMBER 2010 STATEWIDE BALLOT, AND WOULD PROHIBIT THE STATE FROM TAKING, BORROWING OR REDIRECTING LOCAL TAXPAYER FUNDS DEDICATED TO PUBLIC SAFETY, EMERGENCY RESPONSE AND OTHER VITAL GOVERNMENT SERVICES Designation of March 2010 as Census Month (at the request of Council Member Washington) RECOMMENDATION: 9.1 Adopt a resolution entitled: RESOLUTION NO. 10- A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF TEMECULA TO SUPPORT THE UNITED STATES CENSUS - MAKE YOURSELF COUNT MONTH MARCH 2010 10 Approve Payment for Golden Valley Music Society, Inc. RECOMMENDATION: 10.1 Approve the payment to Golden Valley Music Society, Inc. in the amount of $36,375 for services provided from December 13, 2007 to March 31, 2010. 11 Second Reading of Ordinance No. 10-04 RECOMMENDATION: 11.1 Adopt an ordinance entitled: ORDINANCE NO. 10-04 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF TEMECULA FOR THE SANTA MARGARITA AREA ANNEXATION NO. 2 PRE -ZONING APPROXIMATELY 4,510 ACRES, LOCATED IMMEDIATELY SOUTHWEST OF THE PRE-EXISTING CITY OF TEMECULA BOUNDARY LINE, WEST OF INTERSTATE -15 AND NORTH OF THE SAN DIEGO COUNTY AND RIVERSIDE COUNTY BOUNDARY WITH ZONING DESIGNATIONS HILLSIDE RESIDENTIAL -SANTA MARGARITA (HR -SM) AND CONSERVATION DISTRICT -SANTA MARGARITA (OS -C -SM) (LR09-0024) 12 Second Reading of Ordinance No. 10-05 RECOMMENDATION: 12.1 Adopt an ordinance entitled: ORDINANCE NO. 10-05 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF TEMECULA AMENDING TITLE 17 OF THE TEMECULA MUNICIPAL CODE BY ADOPTING ZONING DESIGNATIONS HILLSIDE RESIDENTIAL -SANTA MARGARITA (HR -SM) AND OPEN SPACE CONSERVATION DISTRICT - SANTA MARGARITA (OS -C -SM) AND ADOPTING HILLSIDE DEVELOPMENT STANDARDS FOR A PRE -ZONING OF THE SANTA MARGARITA AREA -' ANNEXATION NO. 2 OF APPROXIMATELY 4,510 ACRES, LOCATED IMMEDIATELY SOUTHWEST OF THE PRE-EXISTING CITY OF TEMECULA BOUNDARY LINE, WEST OF INTERSTATE -15 AND NORTH OF THE SAN DIEGO AND RIVERSIDE COUNTY BOUNDARY (LR09-0024) .**..*.**"****fF**** RECESS CITY COUNCIL MEETING TO SCHEDULED MEETINGS OF THE TEMECULA COMMUNITY SERVICES DISTRICT AND THE CITY OF TEMECULA REDEVELOPMENT AGENCY TEMECULA COMMUNITY SERVICES DISTRICT MEETING Next in Order: Ordinance: No. CSD 10-01 Resolution: No. CSD 10-02 CALL TO ORDER: President Chuck Washington ROLL CALL: DIRECTORS: Comerchero, Edwards, Naggar, Roberts, Washington CSD PUBLIC COMMENTS A total of 15 minutes is provided so members of the public may address the Board of Directors on items that are not listed on the agenda or on the Consent Calendar. Speakers are limited to two (2) minutes each. If you decide to speak to the Board of Directors on an item not on the agenda or on the Consent Calendar, a pink "Request to Speak" form should be filled out and filed with the City Clerk. When you are called to speak, please come forward and state your name for the record. For all other agenda items, a "Request to Speak" form must be filed with the City Clerk Prior to the Board of Directors addressing that item. There is a five (5) minute time limit for individual speakers. Anyone wishing to address the Board of Directors should present a completed pink "Request to Speak" form to the City Clerk. When you are called to speak, please come forward and state your name for the record. CSD CONSENT CALENDAR 13 Action Minutes RECOMMENDATION: 13.1 Approve the action minutes of February 23, 2010. 14 Innerstate Dance Project Grant RECOMMENDATION: 14.1 Approve the estimated grant Revenue in the Old Town Community Theater Budget for the Innerstate Dance Project in the amount of $15,000; 14.2 Appropriate $15,000 in expenditures from the OTC Theater Grant Revenue for the Innerstate Dance Project program; 14.3 Authorize the General Manager, on behalf of the Board of Directors, to take all actions necessary and convenient to carry out and implement the Innerstate Dance Project, and to administer the TCSD's obligations, responsibilities, and duties to be performed under the Project, including but not limited to, approval and execution on behalf of the TCSD of the Innerstate Dance Project with the CDC Theater, certificates and other similar agreements and documents as necessary and convenient for the implementation of the project. CSD DIRECTOR OF COMMUNITY SERVICES REPORT CSD GENERAL MANAGERS REPORT CSD BOARD OF DIRECTORS REPORTS CSD ADJOURNMENT Next regular meeting: Tuesday, March 23, 2010, at 5:30 P.M., for a Closed Session, with regular session commencing at 7:00 PM., City Council Chambers, 43200 Business Park Drive, Temecula, California. TEMECULA REDEVELOPMENT AGENCY MEETING Next in Order: Ordinance: No. RDA 10-01 Resolution: No. RDA 10-04 CALL TO ORDER: Chair Person Mike Naggar ROLL CALL: AGENCY MEMBERS: Comerchero, Edwards, Roberts, Washington, Naggar RDA PUBLIC COMMENTS A total of 15 minutes is provided so members of the public may address the Redevelopment Agency on items that are not listed on the agenda or on the Consent Calendar. Speakers are limited to two (2) minutes each. If you decide to speak to the Board of Directors on an item not on the agenda or on the Consent Calendar, a pink "Request to Speak" form should be filled out and filed with the City Clerk. When you are called to speak, please come forward and state your name for the record. For all other agenda items, a "Request to Speak" form must be filed with the City Clerk Prior to the Board of Directors addressing that item. There is a five (5) minute time limit for individual speakers. Anyone wishing to address the Board of Directors should present a completed pink "Request to Speak" form to the City Clerk. When you are called to speak, please come forward and state your name for the record. RDA CONSENT CALENDAR 15 Action Minutes RECOMMENDATION: 15.1 Approve the action minutes of February 23, 2010. 16 Third Amendment to the Exclusive Negotiating Agreement with Pelican Properties LLC_ for the lease and development of Agency owned property RECOMMENDATION: 16.1 Approve the Third Amendment to the Exclusive Negotiating Agreement ("ENA") between Pelican Properties LLC ("Pelican"), and the Temecula Redevelopment Agency ("Agency"). RDA EXECUTIVE DIRECTORS REPORT RDA AGENCY MEMBERS REPORTS RDA ADJOURNMENT Next regular meeting: Tuesday, March 23, 2010, at 5:30 P.M., for a Closed Session, with regular session commencing at 7:00 PM., City Council Chambers, 43200 Business Park Drive, Temecula, California. 91 RECONVENE TEMECULA CITY COUNCIL CITY COUNCIL BUSINESS 17 pursuant to the Tribal State Compact between the Pechancia Band of Luiseno Indians and the State of California RECOMMENDATION: 17.1 Adopt a resolution entitled: RESOLUTION NO. 10- A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF TEMECULA APPROVING THE "INTERGOVERNMENTAL AGREEMENT" BETWEEN THE PECHANGA BAND OF LUISENO INDIANS AND THE CITY AND APPROVING THE "MEMORANDUM OF UNDERSTANDING CONCERNING LAW ENFORCEMENT SERVICES AT PECHANGA CASINO" BETWEEN THE PECHANGA BAND OF LUISENO INDIANS, CITY, COUNTY OF RIVERSIDE AND THE SHERIFF OF THE COUNTY OF RIVERSIDE CITY MANAGER REPORT CITY ATTORNEY REPORT ADJOURNMENT Next regular meeting: Tuesday, March 23, 2010, at 5:30 PM, for a Closed Session, with regular session commencing at 7:00 PM, City Council Chambers, 43200 Business Park Drive, Temecula, California. 10 PRESENTATIONS The City of Temecula Certificate of Achievement The City Council of the City of Temecula commends the outstanding achievement of Patrick Bake of Troop #148 We congratulate Patrick for his achievement on receiving the rank of Eagle Scout. We are proud to present Patrick with this Award, and we wish him success in his future accomplishments. IN WITNESS WHEREOF, I have ' hereunto affixed my hand and official seal r thi mth a of March 2010. V� 1989 Jeff Comerchero, Mayor Si san W. Jones; M11 City Clerk The City of Temecula Certificate of Achievement The City Council of the City of Temecula commends the outstanding achievement of- fHans HansBritsch of Troop #148 We congratulate Hans for his achievement on receiving the rank of Eagle Scout. We are proud to present Hans with this Award, and we wish him success in his future accomplishments. IN WITNESS WHEREOF, I have herto affixed my hand and official seal is n' th, ay of March, 2010. 1989 Jeff Comerchero, Mayor usa w. Jones, MIC City Clerk The City of Temecula Certificate of Achievement The City Council of the City of Temecula commends the outstanding achievement of Brian Hizon of Troop #148 We congratulate Brian for his achievement on receiving the rank of Eagle Scout. We are proud to present Brian with this Award, and we wish him success in his future accomplishments. IN WITNESS WHEREOF, ' I have hereunto affixed my hand and official seal this n' y f March, 2010. VSA 1989 Jeff Comerchero, Mayor UJ• C S sarkW. Jones, MM City Clerk City of Temecula Certificate of Appreciation Presented on behalf of the City Council and the citizens of the City of Temecula to: Rudolfo Castillo, Jr. Joann Castillo and Rudolfo Castillo III The City Council would like to recognize the Castillo family for the lifesaving services they provided to fellow citizens in need. Castillo, who served in the U.S. Army for four years, jumped into action, working to free a family from a burning vehicle. With the assistance of other citizens who stopped to help, the family was carried up the steep, muddy embankment, to safety. Joann and Rudolfo Castillo comforted a 6 -year-old girl, with signs of a concussion, bringing her into their truck and keeping her awake until emergency personnel could arrive. The City Council and the citizens of the City of Temecula would like to thank the Castillo family for truly being "good Samaritans." IN WITNESS WHEREOF, I have hereunto affixed my hand and official seal this ninth day of March, 2010. Jeff Comerchero, Mayor Susan W. Jones, City Clerk CONSENT CALENDAR Item No. 1 Item No. 2 ACTION MINUTES TEMECULA CITY COUNCIL A REGULAR MEETING CITY COUNCIL CHAMBERS 43200 BUSINESS PARK DRIVE FEBRUARY 23, 2010 — 7:00 PM 6:00 P.M. - Closed Session of the pursuant to Government Code Section: a 1) Conference with City Attorney pursuant to Government Code Section 54956.9(b) with respect to one matter of potential litigation. With respect to such matter, the City Attorney has determined that a point has been reached where there is a significant exposure to litigation involving the City and City related entities based on existing facts and circumstances. Public Information concerning existing litigation between the City and various parties may be acquired by reviewing the public documents held by the City Clerk. At 6:00 P.M., Mayor Comerchero called the Closed Session meeting to order. The City Council meeting convened at 7:00 P.M. CALL TO ORDER: Mayor Jeff Comerchero Prelude Music: Breanne Barnson Invocation: Rabbi Barry Ulrych of Congregation B'Nai Chaim of Murrieta Flag Salute: Council Member Roberts ROLL CALL: Edwards, Naggar, Roberts, Washington, Comerchero Certificate of Appreciation to Dr. Combs Certificate of Appreciation to Dr. Arthur C. Kalfus Presentation to exchange students traveling to our Sister City Leidschendam-Voorburg 1 PUBLIC COMMENTS The following individuals addressed the City Council: • Tom Wiggins — Temecula Resource Center • Douglas Lanphere — Temecula Resource Center • Martin Victor — Temecula • LaVonne Victor — Temecula • Chuck Rear — Temecula • Donald Lambert — Murrieta CITY COUNCIL REPORTS CONSENT CALENDAR Therapeutic Cannabis — Qualified Patients Therapeutic Cannabis — Qualified Patients Medical Marijuana Ban Medical Marijuana Ban Trash Segregation Medical Marijuana Reports 1 Standard Ordinance and Resolution Adoption Procedure - Approved Staff Recommendation (5-0-0) — Council Member Edwards made the motion; it was seconded by Council Member Washington; and electronic vote reflected unanimous approval. RECOMMENDATION: 1.1 Motion to waive the reading of the text of all ordinances and resolutions included in the agenda. 2 Action Minutes - Approved Staff Recommendation (5-0-0) — Council Member Edwards made the motion; it was seconded by Council Member Washington; and electronic vote reflected unanimous approval. RECOMMENDATION: 2.1 Approve the action minutes of February 9, 2010. 3 List of Demands - Approved Staff Recommendation (5-0-0) — Council Member Edwards made the motion; it was seconded by Council Member Washington; and electronic vote reflected unanimous approval. RECOMMENDATION: 3.1 Adopt a resolution entitled: RESOLUTION NO. 10-12 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF TEMECULA ALLOWING CERTAIN CLAIMS AND DEMANDS AS SET FORTH IN EXHIBIT A z 4 Approval of 2009-10 Mid -Year Budget Adjustments - Approved Staff Recommendation (5-0-0) — Council Member Edwards made the motion; it was seconded by Council Member Washington; and electronic vote reflected unanimous approval. RECOMMENDATION: 4.1 Adopt a resolution entitled: RESOLUTION NO. 10-13 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF TEMECULA, CALIFORNIA, AMENDING THE FISCAL YEAR 2009-2010 ANNUAL OPERATING BUDGET 5 Property Insurance Renewal - Approved Staff Recommendation (5-0-0) — Council Member Edwards made the motion; it was seconded by Council Member Washington; and electronic vote reflected unanimous approval. RECOMMENDATION: 5.1 Approve the City of Temecula Property Insurance Policy renewal with Travelers Insurance Company and Empire Indemnity Insurance Company for the period of February 26, 2010 through February 26, 2011, in the amount of $275,310. 6 2010 Workers' Compensation Coverage Annual Renewal - Approved Staff Recommendation (5-0-0) — Council Member Edwards made the motion; it was seconded by Council Member Washington; and electronic vote reflected unanimous approval. RECOMMENDATION: 6.1 Approve the contract with the City's current workers' compensation provider, Travelers Insurance Company, as the City's Employee Workers' Compensation Insurance Carrier for 2010 for an estimated premium cost of $311,131. 7 Approve the Sponsorship Requests for the 2010 Temecula Spring Rod Run and the 2010 Temecula Valley Balloon & Wine Festival - Approved Staff Recommendation (5- 0-0) — Council Member Edwards made the motion; it was seconded by Council Member Washington; and electronic vote reflected unanimous approval. RECOMMENDATION: 7.1 Approve the Event Sponsorship Agreement in the amount of up to $39,100 in city support costs for the 2010 Temecula Spring Rod Run and authorize the Mayor to execute the agreement; 7.2 Approve the Event Sponsorship Agreement in the amount of $26,775 for the 2010 Temecula Valley Balloon & Wine Festival and authorize the Mayor to execute the Agreement. In addition, the Festival requests that the City will provide temporary logistical support of the traffic control signs and devices to assist the public safety during the Festival estimated at $3,200. 8 Authorize Temporary Street Closures for the 2010 Temecula Spring Rod Run Event (Old Town Front Street, between Moreno Road and Second Street, and other related streets) scheduled for March 12 and 13, 2010 - Approved Staff Recommendation (5- 0-0) — Council Member Edwards made the motion; it was seconded by Council Member Washington; and electronic vote reflected unanimous approval. RECOMMENDATION: 8.1 Receive and file the following proposed action by the City Manager: Temporarily close Old Town Front Street and other related streets for the "2010 TEMECULA SPRING ROD RUN EVENT' 9 Amendment No. 2 to the Professional Services Agreement with RBF Consulting for Additional Engineering and Landscape Architecture Design Services Associated with the Winchester Road/Highway 79 North Corridor Beautification — Project No. PW06-15 - Approved Staff Recommendation (5-0-0) — Council Member Edwards made the motion; it was seconded by Council Member Washington; and electronic vote reflected unanimous approval. RECOMMENDATION: 9.1 Approve the Second Amendment to the agreement with RBF Consulting in an amount not to exceed $4,200 to provide additional engineering and landscape architecture design services for Winchester Road/Highway 79 North Corridor Beautification — Project No. PW06-15. 10 Resolution to Adopt Mitiaated Neaative Declaration and Approve the Proiect French Valley Parkway/ Interstate -15 Over -Crossing and Interchange Improvements Project - Approved Staff Recommendation (5-0-0) — Council Member Edwards made the motion; it was seconded by Council Member Washington; and electronic vote reflected unanimous approval. RECOMMENDATION: 10.1 Adopt a resolution entitled: RESOLUTION NO. 10-14 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF TEMECULA ADOPTING A MITIGATED NEGATIVE DECLARATION FOR THE FRENCH VALLEY PARKWAY / INTERSTATE -15 OVER -CROSSING AND INTERCHANGE IMPROVEMENTS PROJECT (PW02-11 AND PW07-04) AND APPROVING THE PROJECT 11 Approval of the Drawinas and Specifications and Authorization to Solicit Bids from Pre - Qualified Vendors for the Audiovisual Integration of the Old Town Civic Center — Project No. IS -02 - Approved Staff Recommendation (5-0-0) — Council Member Edwards made the motion; it was seconded by Council Member Washington; and electronic vote reflected unanimous approval. RECOMMENDATION: 11.1 Approve the drawings and specifications and authorize the Department of Information Systems to solicit bids from Pre -qualified Vendors for audiovisual (AV) integration for Phase 2 of the Old Town Civic Center Project. 12 Massage Appeal Hearing Fee Schedule - Approved Staff Recommendation (5-0-0) — Council Member Edwards made the motion; it was seconded by Council Member Washington; and electronic vote reflected unanimous approval. RECOMMENDATION: 12.1 Adopt a resolution entitled: RESOLUTION NO. 10-15 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF TEMECULA ESTABLISHING THE APPEAL FEE SCHEDULE FOR APPEALS RELATING TO MASSAGE ESTABLISHMENT PERMITS AND MASSAGE TECHNICIAN PERMITS 13 Autism Awareness Program (at the request of Council Member Mike Naggar) - Approved Staff Recommendation (5-0-0) — Council Member Edwards made the motion; it was seconded by Council Member Washington; and electronic vote reflected unanimous approval. RECOMMENDATION: 13.1 Authorize staff to work with Council Member Naggar to create an Autism Awareness Program. CONSENT CALENDAR ITEM CONSIDERED UNDER SEPARATE DISCUSSION 13 Autism Awareness Program (at the request of Council Member Mike Naggar) - Approved Staff Recommendation (5-0-0) — Council Member Edwards made the motion; it was seconded by Council Member Washington; and electronic vote reflected unanimous approval. RECOMMENDATION: 13.1 Authorize staff to work with Council Member Naggar to create an Autism Awareness Program. Council Member Naggar highlighted the goals and intent of the proposed Autism Awareness Program. Mary Mollway, representing New Vision Children's Services, commented on the proposed Autism Awareness Program. PUBLIC HEARING 21 Consideration of approval of Resolutions/Ordinances for Santa Margarita Area Annexation No. 2 - Approved Staff Recommendation 21.1. — 21.4 (5-0-0) — Council Member Washington made the motion; it was seconded by Council Member Edwards; and electronic vote reflected unanimous approval. RECOMMENDATION: 21.1 Adopt a resolution entitled: RESOLUTION NO. 10-16 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF TEMECULA APPROVING THE ADDENDUM TO A CERTIFIED FINAL ENVIRONMENTAL IMPACT REPORT AND ADOPTING FINDINGS PURSUANT TO THE CALIFORNIA ENVIRONMENTAL QUALITY ACT IN CONNECTION THEREWITH FOR THE SANTA MARGARITA AREA ANNEXATION NO. 2 OF APPROXIMATELY 4,510 ACRES, LOCATED IMMEDIATELY SOUTHWEST OF THE EXISTING CITY OF TEMECULA BOUNDARY LINE, WEST OF INTERSTATE -15 AND NORTH OF THE SAN DIEGO COUNTY AND RIVERSIDE COUNTY BOUNDARY (LR09-0024) 21.2 Adopt a resolution entitled: RESOLUTION NO. 10-17 A RESOLUTION OF APPLICATION BY THE CITY COUNCIL OF THE CITY OF TEMECULA REQUESTING THE LOCAL AGENCY FORMATION COMMISSION TO TAKE PROCEEDINGS TO EXTEND THE CITY OF TEMECULA'S SPHERE OF INFLUENCE BY APPROXIMATELY 4,126 ACRES TO INCLUDE ALL TERRITORY OF THE SANTA MARGARITA AREA ANNEXATION NO. 2 COMPRISED OF APPROXIMATELY 4,510 ACRES, LOCATED IMMEDIATELY SOUTHWEST OF THE PRE-EXISTING CITY OF TEMECULA BOUNDARY LINE, WEST OF INTERSTATE -15 AND NORTH OF THE SAN DIEGO COUNTY AND RIVERSIDE COUNTY BOUNDARY TO THE CITY OF TEMECULA AND THE TEMECULA COMMUNITY SERVICES DISTRICT PURSUANT TO THE CORTESE-KNOX-HERTZBERG LOCAL GOVERNMENT REORGANIZATION ACT OF 2000, COMMENCING WITH SECTION 56000 OF THE CALIFORNIA GOVERNMENT CODE (LR09-0024) 21.3 Adopt a resolution entitled: RESOLUTION NO. 10-18 A RESOLUTION OF APPLICATION BY THE CITY COUNCIL OF THE CITY OF TEMECULA REQUESTING THE LOCAL AGENCY FORMATION COMMISSION TO TAKE PROCEEDINGS FOR THE ANNEXATION OF CERTAIN UNINHABITED TERRITORY DESCRIBED HEREIN AS THE SANTA MARGARITA AREA ANNEXATION NO. 2 COMPRISED OF APPROXIMATELY 4,510 ACRES, LOCATED IMMEDIATELY SOUTHWEST OF THE PRE-EXISTING CITY OF TEMECULA BOUNDARY LINE, WEST OF INTERSTATE -15 AND NORTH OF THE SAN DIEGO/RIVERSIDE COUNTY BOUNDARY TO THE CITY OF TEMECULA AND THE TEMECULA COMMUNITY SERVICES DISTRICT PURSUANT TO THE CORTESE-KNOX- HERTZBERG LOCAL GOVERNMENT REORGANIZATION ACT OF 2000, COMMENCING WITH SECTION 56000 OF THE CALIFORNIA GOVERNMENT CODE (LR09-0024) 21.4 Adopt a resolution entitled: RESOLUTION NO. 10-19 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF TEMECULA AMENDING THE GENERAL PLAN LAND USE MAP TO INCORPORATE HILLSIDE RESIDENTIAL (HR) AND OPEN SPACE (OS) AS THE GENERAL PLAN LAND USE DESIGNATIONS WITHIN THE SANTA MARGARITA AREA ANNEXATION NO. 2 OF APPROXIMATELY 4,510 ACRES, LOCATED TO THE SOUTH AND EAST OF THE EXISTING CITY BOUNDARY (LR09-0024) 21.5 Introduce and read by title only an ordinance entitled: - Approved Staff Recommendation (5-0-0) — Council Member Roberts made the motion; it was seconded by Council Member Edwards; and electronic vote reflected unanimous approval. ORDINANCE NO. 10-04 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF TEMECULA FOR THE SANTA MARGARITA AREA ANNEXATION NO. 2 PRE -ZONING APPROXIMATELY 4,510 ACRES, LOCATED IMMEDIATELY SOUTHWEST OF THE PRE-EXISTING CITY OF TEMECULA BOUNDARY LINE, WEST OF INTERSTATE -15 AND NORTH OF THE SAN DIEGO COUNTY AND RIVERSIDE COUNTY BOUNDARY WITH ZONING DESIGNATIONS HILLSIDE RESIDENTIAL -SANTA MARGARITA (HR -SM) AND CONSERVATION DISTRICT -SANTA MARGARITA (OS -C -SM) (LR09-0024) City Attorney Thorson introduced and read by title only Ordinance No. 10-04. 21.6 Introduce and read by title only an ordinance entitled: - Approved Staff Recommendation (5-0-0) — Council Member Edwards made the motion; was seconded by Council Member Washington; and electronic vote reflected unanimous approval. ORDINANCE NO. 10-05 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF TEMECULA AMENDING TITLE 17 OF THE TEMECULA MUNICIPAL CODE BY ADOPTING ZONING DESIGNATIONS HILLSIDE RESIDENTIAL -SANTA MARGARITA (HR -SM) AND OPEN SPACE CONSERVATION DISTRICT - SANTA MARGARITA (OS -C -SM) AND ADOPTING HILLSIDE DEVELOPMENT STANDARDS FOR A PRE -ZONING OF THE SANTA MARGARITA AREA ANNEXATION NO. 2 OF APPROXIMATELY 4,510 ACRES, LOCATED IMMEDIATELY SOUTHWEST OF THE PRE-EXISTING CITY OF TEMECULA BOUNDARY LINE, WEST OF INTERSTATE -15 AND NORTH OF THE SAN DIEGO AND RIVERSIDE COUNTY BOUNDARY (LR09-0024) City Attorney Thorson introduced and read by title only Ordinance No. 10-05. By way of a PowerPoint presentation, Junior Planner Lowrey presented the staff report as per agenda material. The public hearing was opened and the following individuals addressed the City Council: • Kim Wilder -Lee — Temecula • Matt Rahn — San Diego — San Diego State University • Fred Bartz — Temecula • Cliff Hewlett —Temecula There being no additional comments, the public hearing was closed CITY COUNCIL BUSINESS 22 Implementation of existing 2008 Memorandum of Understanding (MOU) Contract Provision — PERS Contract Amendment/Early Retirement Option RECOMMENDATION: 22.1 Adopt a resolution entitled: - Approved Staff Recommendation (5-0-0) — Council Member Washington made the motion; it was seconded by Council Member Edwards; and electronic vote reflected unanimous approval. RESOLUTION NO. 10-20 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF TEMECULA, CALIFORNIA, DECLARING ITS INTENTION TO APPROVE AN AMENDMENT TO CONTRACT BETWEEN THE CITY COUNCIL OF THE CITY OF TEMECULA AND THE BOARD OF ADMINISTRATION, CALIFORNIA PUBLIC EMPLOYEES' RETIREMENT SYSTEM 22.2 Introduce and read by title only an ordinance entitled: - Approved Staff Recommendation (5-0-0) — Council Member Washington made the motion; it was seconded by Council Member Edwards; and electronic vote reflected unanimous approval. ORDINANCE NO. 10-06 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF TEMECULA, CALIFORNIA, AUTHORIZING AN AMENDMENT TO THE CONTRACT BETWEEN THE CITY COUNCIL OF THE CITY OF TEMECULA AND THE BOARD OF ADMINISTRATION, CALIFORNIA PUBLIC EMPLOYEES' RETIREMENT SYSTEM City Attorney Thorson introduced and read by title only Ordinance No. 10-06 22.3 Certify PERS Form CON -12, Certification of Governing Body's Action; - Approved Staff Recommendation 22.3 — 22.5 (5-0-0) — Council Member Washington made the motion; it was seconded by Council Member Edwards; and electronic vote reflected unanimous approval. 22.4 Certify PERS Form CON-12AA, Certification of Compliance with Government Code Section 7507; 22.5 Approve a second early retirement option for City employees for 180 days from July 1, 2010 to December 27, 2010. 23 Authorization for prepayment of the Civic Center Certificates of Participation (COP) Bonds - Approved Staff Recommendation (5-0-0) — Council Member Naggar made the motion; it was seconded by Council Member Roberts; and electronic vote reflected unanimous approval. RECOMMENDATION: 23.1 Authorize the City Manager to initiate the prepayment of up to $12 million of the Certificates of Participation Bonds. DEPARTMENTAL REPORTS CITY MANAGER REPORT CITY ATTORNEY REPORT With respect to the Closed Session item, City Attorney Thorson advised that there was no action to report. ADJOURNMENT At 8:12 P.M., the City Council meeting was formally adjourned to Tuesday, March 9, 2010, at 5:30 P.M., for a Closed Session, with regular session commencing at 7:00 P.M., City Council Chambers, 43200 Business Park Drive, Temecula, California. ATTEST: Susan W. Jones, MMC City Clerk [SEAL] 10 Jeff Comerchero, Mayor Item No. 3 Approvals City Attorney /V Director of Finance City Manager CITY OF TEMECULA AGENDA REPORT TO: City Manager/City Council FROM: Genie Roberts, Director of Finance DATE: March 9, 2010 SUBJECT: List of Demands PREPARED BY: Pascale Brown, Accounting Manager Leah Thomas, Accounting Specialist RECOMMENDATION: That the City Council: 1. Adopt a resolution entitled: RESOLUTION NO. 10- A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF TEMECULA ALLOWING CERTAIN CLAIMS AND DEMANDS AS SET FORTH IN EXHIBIT A BACKGROUND: All claims and demands are reported and summarized for review and approval by the City Council on a routine basis at each City Council meeting. The attached claims represent the paid claims and demands since the last City Council meeting. FISCAL IMPACT: All claims and demands were paid from appropriated funds or authorized resources of the City and have been recorded in accordance with the City's policies and procedures. ATTACHMENTS: Resolution List of Demands RESOLUTION NO. 10- A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF TEMECULA ALLOWING CERTAIN CLAIMS AND DEMANDS AS SET FORTH IN EXHIBIT A THE CITY COUNCIL OF THE CITY OF TEMECULA DOES HEREBY RESOLVE AS FOLLOWS: Section 1. That the following claims and demands as set forth in Exhibit A, on file in the office of the City Clerk, has been reviewed by the City Manager's Office and that the same are hereby allowed in the amount of $7,355,117.27. Section 2. The City Clerk shall certify the adoption of this resolution. PASSED, APPROVED, AND ADOPTED by the City Council of the City of Temecula this 9th day of March, 2010. Jeff Comerchero, Mayor r_T40r:61n Susan W. Jones, MMC City Clerk [SEAL] STATE OF CALIFORNIA ) COUNTY OF RIVERSIDE ) ss CITY OF TEMECULA ) I, Susan W. Jones, MMC, City Clerk of the City of Temecula, do hereby certify that the foregoing Resolution No. 10- was duly and regularly adopted by the City Council of the City of Temecula at a meeting thereof held on the 9th day of March, 2010, by the following vote: F-Ayd:.�Ko1l1►[MIN diIAdi1:l4:63 NOES: COUNCIL MEMBERS: ABSENT: COUNCIL MEMBERS: ABSTAIN: COUNCIL MEMBERS: Susan W. Jones, MMC City Clerk CITY OF TEMECULA LIST OF DEMANDS 02/18/2010 TOTAL CHECK RUN 02/25/2010 TOTAL CHECK RUN 02/18/2010 TOTAL PAYROLL RUN: $ 5,334,266.42 1,594,441.67 426,409.18 TOTAL LIST OF DEMANDS FOR 03/092010 COUNCIL MEETING: $ 7,355,117.27 DISBURSEMENTS BY FUND CHECKS: 001 GENERAL FUND $ 1,725,254.20 130 RECOVERY ACT JAG FUNDING 3,104.98 165 AFFORDABLE HOUSING 9,956.16 190 TEMECULA COMMUNITY SERVICES DISTRICT 202,863.31 192 TCSD SERVICE LEVEL B 128.81 193 TCSD SERVICE LEVEL"C" LANDSCAPE/SLOPE 9,175.90 194 TCSD SERVICE LEVEL D 1,294.86 196 TCSD SERVICE LEVEL "L" LAKE PARK MAINT. 9,416.94 197 TEMECULA LIBRARY FUND 5,418.75 210 CAPITAL IMPROVEMENT PROJECTS FUND 96,396.24 280 REDEVELOPMENT AGENCY - CIP PROJECT 5,764.92 300 INSURANCE FUND 570.65 320 INFORMATION SYSTEMS 38,920.09 330 SUPPORT SERVICES 6,815.70 340 FACILITIES 27,086.55 370 CITY 2008 COP'S DEBT SERVICE 569,931.65 380 RDA DEBT SERVICE FUND 5,275.00 460 CFD 88-12 DEBT SERVICE FUND 226,990.12 472 CFD 01-2 HARVESTON A&B DEBT SERVICE 471,518.89 473 CFD 03-1 CROWNE HILL DEBT SERVICE FUND 485,536.21 474 AD03-4 JOHN WARNER ROAD DEBT SERVICE 47,093.02 475 CFD03-3 WOLF CREEK DEBT SERVICE FUND 992,609.04 476 CFD 03-6 HARVESTON 2 DEBT SERVICE FUND 140,304.14 477 CFD- RORIPAUGH 1,847,281.96 $ 6,928,708.09 001 GENERAL FUND $ 259,864.62 165 AFFORDABLE HOUSING 10,869.66 190 TEMECULA COMMUNITY SERVICES DISTRICT 104,424.11 192 TCSD SERVICE LEVEL B 138.96 193 TCSD SERVICE LEVEL"C" LANDSCAPE/SLOPE 4,506.76 194 TCSD SERVICE LEVEL D 1,481.75 196 TCSD SERVICE LEVEL "L" LAKE PARK MAINT. 1,265.72 197 TEMECULA LIBRARY FUND 422.39 280 REDEVELOPMENT AGENCY - CIP PROJECT 3,958.63 300 INSURANCE FUND 1,321.99 320 INFORMATION SYSTEMS 23,298.54 330 SUPPORT SERVICES 5,647.73 340 FACILITIES 9,208.32 426,409.18 TOTAL BY FUND: $ 7,355,117.27 apChkLst Final Check List Page: 1 02/18/2010 1:22:52PM CITY OF TEMECULA Bank: union UNION BANK OF CALIFORNIA Check # Date Vendor Description Amount Paid Check Total 1420 02/18/2010 010349 CALIF DEPT OF CHILD SUPPORT Support Payment 578.84 578.84 1421 02/18/2010 000444 INSTATAX (EDD) State Disability Ins Payment 24,083.71 24,083.71 1422 02/18/2010 000283 INSTATAX(IRS) Federal Income Taxes Payment 77,130.59 77,130.59 1423 02/18/2010 001065 NATIONWIDE RETIREMENT Nationwide Retirement Payment 14,187.11 14,187.11 SOLUTION 1424 02/18/2010 000246 PERS (EMPLOYEES' PERS ER Paid Member Contr Payment 114,409.22 114,409.22 RETIREMENT) 1425 02/18/2010 000389 NATIONWIDE RETIREMENT OBRA- Project Retirement Payment 2,168.34 2,168.34 SOLUTION 1426 02/18/2010 005460 U S BANK CFD 8&12 spec tax refund bond 226,990.12 226,990.12 1427 02/18/2010 005460 U S BANK Total County SS#1 remittance 3,984,343.26 3,984,343.26 1428 02/18/2010 005460 U S BANK 2008 COPs debt svc 569,931.65 569,931.65 137057 02/18/2010 009374 ALLEGRO MUSICAL VENTURES Piano Tuning & Repair: Theater 300.00 Piano Maint: Theater 740.00 1,040.00 137058 02/18/2010 006915 ALLIE'S PARTY EQUIPMENT rental equip:winter wndrind 12/11 1,131.30 rental equip: NYE Old Town 2,420.45 3,551.75 137059 02/18/2010 012943 ALPHA MECHANICAL SERVICE Roof Repair: City Hall 21,184.68 21,184.68 INC 137060 02/18/2010 011007 BARNETT, KIRK reimb: osmosis water supplies 160.16 160.16 137061 02/18/2010 000413 CALIF DEPT OF FISH & GAME streambed all app fee:FVP PW02-11 4,482.75 4,482.75 137062 02/18/2010 013422 CAMERON, RICHARD A. refund:prkg cite viol. dismissed 65.00 65.00 137063 02/18/2010 005708 CLEAR CHANNEL radio advertisements: theater 270.00 270.00 BROADCASTING INC 137064 02/18/2010 013425 COLE, WILLIAM D. & LINDA ANN refund sr excursion 4100.102 20.00 refund:sr excursion 4100.101 30.00 50.00 Page:1 apChkLst Final Check List Page: 2 02/18/2010 1:22:52PM CITY OF TEMECULA Bank: union UNION BANK OF CALIFORNIA (Continued) Check # Date Vendor Description Amount Paid Check Total 137065 02/18/2010 004405 COMMUNITY HEALTH CHARITIES Community Health Charities Payment 106.00 106.00 137066 02/18/2010 006303 CONDUIT NETWORKS, INC technical cnslt: Info Sys 479.32 479.32 137067 02/18/2010 013426 COOMES, TODD refund:father/daughter date nite 20.00 20.00 137068 02/18/2010 013228 CRAWFORD, TIM refund:prkg cite viol. dismissed 25.00 25.00 137069 02/18/2010 009214 CROWN INDUSTRIES INC sign holders: theater 95.29 95.29 137070 02/18/2010 001393 DATA TICKET INC refund:prkg cite pmt 2/2/10 224.00 224.00 137071 02/18/2010 004192 DOWNS COMMERCIAL FUELING Fuel for City vehicles: CC/IS/PW LD 102.62 102.62 INC 137072 02/18/2010 013264 DOWNSTREAM SERVICES INC Storm drain inspection:PW CIP 1,845.00 1,845.00 137073 02/18/2010 002390 EASTERN MUNICIPAL WATER 95366-02 Diego Dr Ldscp 47.28 47.28 DIST 137074 02/18/2010 004068 ECALDRE MANALILI-DE VILLA, TCSD Instructor Earnings 262.50 AILEEN TCSD Instructor Earnings 273.00 TCSD Instructor Earnings 115.50 TCSD Instructor Earnings 31.50 TCSD Instructor Earnings 136.50 TCSD Instructor Earnings 52.50 871.50 137075 02/18/2010 009565 EMPTY CRADLE Community Service Funding FY 09/10 1,000.00 1,000.00 137076 02/18/2010 013427 EVANS, HUGH refund:sec dep:kitchen rental:tcc 150.00 150.00 137077 02/18/2010 000165 FEDERAL EXPRESS INC 1/7-11 express mail svcs: citywide 243.03 243.03 137078 02/18/2010 004074 FRANCHISE MGMT SERVICES INC supplies: Father/Daughter 2/13 174.14 174.14 137079 02/18/2010 009608 GOLDEN VALLEYMUSIC SOCIETY sttlmnt: InstrumentsfVoices 2/6 767.30 767.30 137080 02/18/2010 013428 GREAVES, VIRGINIA M. refund:knit wkshp 1060.102 12.00 12.00 Page2 apChkLst Final Check List Page: 3 02/18/2010 1:22:52PM CITY OF TEMECULA Bank: union UNION BANK OF CALIFORNIA (Continued) Check # Date Vendor Description Amount Paid Check Total 137081 02/18/2010 013423 GRUMMET, BONNIE L. refund:prkg cite viol. dismissed 300.00 300.00 137082 02/18/2010 005311 H2O CERTIFIED POOL WATER Jan fountain maint town square 175.00 SPCL. Jan pool maint: crc & tes 900.00 1,075.00 137083 02/18/2010 000186 HANKS HARDWARE INC Hardware supplies: Theater 21.15 Hardware supplies: TCC 65.93 Hardware supplies: MPSC 58.70 Hardware supplies: Parks 1,666.06 Hardware supplies: Ch Museum 46.70 Hardware supplies: PW Maint 229.72 Hardware supplies: PW Traffic 102.21 Hardware supplies: Ch/TV Museum 284.97 Hardware Supplies: B&S 53.67 Hardware Supplies: Crc 331.69 Hardware Supplies: Crc/Spits Pgm 377.09 Hardware supplies: Library 8.91 Hardware supplies: Aquatics 39.51 Hardware supplies: Info Sys 80.52 Hardware supplies: Fire 597.80 3,964.63 137084 02/18/2010 010210 HOME DEPOT SUPPLY INC, THE maint supplies: city hall 134.92 134.92 137085 02/18/2010 003198 HOME DEPOT, THE maint supplies: theater 60.81 maint supplies: theater 253.20 314.01 137086 02/18/2010 000194 1 C M A RETIREMENT -PLAN I C M A Retirement Trust 457 Payment 6,135.68 6,135.68 303355 137087 02/18/2010 003296 INTL CODE COUNCIL Publications: B&S 345.78 '09 code books: fire prevention 411.85 757.63 137088 02/18/2010 003266 IRON MOUNTAIN OFFSITE Jan storage:City/IS Backup Tape 354.31 354.31 137089 02/18/2010 012295 JAMESON MANAGEMENT INC Door Maint: Stn 84 370.84 370.84 137090 02/18/2010 013382 MAHAFFEY, MICHELLE, R. TCSD Instructor Earnings 392.00 392.00 137091 02/18/2010 004141 MAINTEX INC custodial supplies: CRC/FOC 113.71 113.71 137092 02/18/2010 010728 MCKNIGHT, ELINOR PINKSTON Presentation: Black History Month 350.00 350.00 137093 02/18/2010 007210 MIDORI GARDENS Jan Idscp maint: TCSD parks 70,105.00 70,105.00 Page3 apChkLst Final Check List Page: 4 02/18/2010 1:22:52PM CITY OF TEMECULA Bank: union UNION BANK OF CALIFORNIA (Continued) Check # Date Vendor Description Amount Paid Check Total 137094 02/18/2010 009835 MIRACLE PLAYGROUND SALES playground surfacing materials:tcsd 203.92 203.92 INC 137095 02/18/2010 012264 MIRANDA, JULIO C. TCSD Instructor Earnings 28.00 TCSD Instructor Earnings 336.00 TCSD Instructor Earnings 147.00 TCSD Instructor Earnings 63.00 574.00 137096 02/18/2010 007705 MITCHELL, DANIEL refund:sec dep:rm rental TCC 1/22 150.00 150.00 137097 02/18/2010 000883 MONTELEONE EXCAVATING sand/silt removal:long cyn wash:pw 18,967.00 18,967.00 137098 02/18/2010 002257 MOST DEPENDABLE FOUNTAINS drinking fountain parts:park sites 333.25 333.25 137099 02/18/2010 013424 NEAL, NIKKI refund:prkg cite viol. dismissed 300.00 300.00 137100 02/18/2010 002139 NORTH COUNTY TIMES Jan newspaper subscr:mpsc 27.30 27.30 137101 02/18/2010 002292 OASIS VENDING vending svcs: Fld Op Ctr 190.08 vending svcs: city hall 490.05 vending svcs: Maint Facility 218.35 898.48 137102 02/18/2010 010167 ODYSSEY POWER city fire protection systems maint 2,001.17 2,001.17 CORPORATION 137103 02/18/2010 002105 OLD TOWN TIRE & SERVICE city vehicle maint svc: PW Maint 35.89 city vehicle maint svc: PW Maint 382.54 city vehicle maint svc: PW Maint 184.07 city vehicle maint svc: PW Maint 230.86 city vehicle maint svc: PW Maint 75.00 city vehicle maint svc: PW Maint 155.07 city vehicle maint svc: PW Maint 295.82 city vehicle maint svc: PW CIP 36.57 1,395.82 137104 02/18/2010 002105 OLD TOWN TIRE & SERVICE city vehicle maint svcs: TCSD 80.07 80.07 137105 02/18/2010 001171 ORIENTAL TRADING COMPANY misc supplies: tiny tot pgrm 66.89 66.89 INC 137106 02/18/2010 013198 ORTENZO-HAYES, KRISTINE TCSD Instructor Earnings 616.00 TCSD Instructor Earnings 500.50 TCSD Instructor Earnings 616.00 TCSD Instructor Earnings 619.50 TCSD Instructor Earnings 536.90 TCSD Instructor Earnings 206.50 3,095.40 Page:4 apChkLst Final Check List Page: 5 02/18/2010 1:22:52PM CITY OF TEMECULA Bank: union UNION BANK OF CALIFORNIA (Continued) Check # Date Vendor Description Amount Paid Check Total 137107 02/18/2010 005656 PAPA PAPA regis:Thurman, D. 3/25 70.00 70.00 137108 02/18/2010 010501 PC WORLD annual PC World subscr:lnfo Sys 24.95 24.95 137109 02/18/2010 001958 PERS LONG TERM CARE PERS Long Term Care Payment 169.04 169.04 PROGRAM 137110 02/18/2010 007484 PHILIPS MEDICAL SYSTEMS INC AED pads:paramedics 1,060.31 1,060.31 137111 02/18/2010 004529 QUAID TEMECULA veh repair & maint:pd motorcycles 2,395.24 2,395.24 HARLEY-DAVIDSON 137112 02/18/2010 002612 RADIO SHACK INC Misc supplies for IS 34.76 credit:misc supplies for IS -13.02 21.74 137113 02/18/2010 000262 RANCHO CALIF WATER DISTRICT Feb various water meters TCSD 4,798.41 Feb water meters: 41951 moraga 232.36 Feb water metem:lndscp:calle elenita 32.79 5,063.56 137114 02/18/2010 000353 RIVERSIDE CO AUDITOR Jan10 prkg citation assessments 7,125.19 Dec '09 prkg citation assessments 7,546.44 14,671.63 137115 02/18/2010 000418 RIVERSIDE CO CLERK & recording fees:cert of comp./LLA 103.00 103.00 RECORDER 137116 02/18/2010 000815 ROWLEY, CATHY TCSD Instructor Earnings 350.00 TCSD Instructor Earnings 245.00 TCSD Instructor Earnings 245.00 TCSD Instructor Earnings 350.00 TCSD Instructor Earnings 210.00 TCSD Instructor Earnings 420.00 1,820.00 137117 02/18/2010 009196 SACRAMENTO THEATRICAL misc lighting supplies:theater 69.08 69.08 LIGHTING 137118 02/18/2010 013429 SAMONTE, ANTOINETTE refund:sec dep:rm rental:crc 150.00 150.00 137119 02/18/2010 008470 SAN DIEGO HARBOR EXCURSION excursion: whale watch 2/23/10 450.00 450.00 137120 02/18/2010 006815 SAN DIEGO, COUNTY OF Support Payment Account # 581095025 12.50 12.50 137121 02/18/2010 009980 SANBORN, GWYN settlemnt:Country... Merc 2/6/10 468.00 468.00 Pages apChkLst Final Check List Page: 6 02/18/2010 1:22:52PM CITY OF TEMECULA Bank: union UNION BANK OF CALIFORNIA (Continued) Check # Date Vendor Description Amount Paid Check Total 137122 02/18/2010 008529 SHERIFF'S CIVIL DIV - CENTRAL Support Pmt LO File # 2008059437 200.00 200.00 137123 02/18/2010 008529 SHERIFF'S CIVIL DIV - CENTRAL Support Pmt LO File # 2008059437 100.00 100.00 137124 02/18/2010 009746 SIGNS BY TOMORROW signs/materials:gallery at the merc 22.75 22.75 137125 02/18/2010 000645 SMART & FINAL INC hospitality supplies:theater 64.30 misc program supplies :F.I.T. 154.82 misc supplies:Team PACE events 311.87 530.99 137126 02/18/2010 000537 SO CALIF EDISON Feb 2-31-419-2659:27606 ynez TC1 88.87 Feb 2-30-608-9384:28582 harveston 236.69 325.56 137127 02/18/2010 012252 SOUND SKILZ ENTERTAINMENT DJ/soundAights:teen dance 1/23 750.00 750.00 INC 137128 02/18/2010 000519 SOUTH COUNTY PEST CONTROL pest control svcs:crc 541.00 541.00 INC 137129 02/18/2010 005786 SPRINT Dec 25- Jan 26 cellular usage/equip 7,128.25 7,128.25 137130 02/18/2010 003000 STATE WATER RESOURCES dredge & fll:fee dep:PW02-11 640.00 640.00 137131 02/18/2010 008023 STATER BROTHERS MARKETS Refreshments: Fire 67.44 67.44 137132 02/18/2010 002366 STEAM SUPERIOR CARPET water extraction:mpsc 200.00 CLEANING water extraction: c. museum 220.00 420.00 137133 02/18/2010 012188 STRONG FAMILIES TCSD Instructor Earnings 56.00 56.00 137134 02/18/2010 011667 T & T JANITORIAL INC cleaning svcs:OT police storefront 790.00 janitorial srvcs:tcc 7,073.83 7,863.83 137135 02/18/2010 000305 TARGET BANK BUS CARD SRVCS recreation supplies:FAM prgm 152.85 artist hospitality:Theater 67.70 artist hospitality:Theater 31.69 252.24 137136 02/18/2010 012265 TEMECULA ACE HARDWARE C/O misc hardware supplies: FS#92 18.85 misc supplies:var park sites 17.16 36.01 137137 02/18/2010 013335 TEMECULA ACE HARDWARE INC uniforms & supplies:fre explorers 509.64 509.64 Pages apChkLst Final Check List Page: 7 02/18/2010 1:22:52PM CITY OF TEMECULA Bank: union UNION BANK OF CALIFORNIA (Continued) Check # Date Vendor Description Amount Paid Check Total 137138 02/18/2010 010679 TEMECULAAUTO vehicle repair/maint:fre prev 520.00 520.00 REPAIR/RADIATOR 137139 02/18/2010 011736 TEMECULA TROPHY INC rec supplies:sports softball trophies 540.71 usher nametags:Theater 323.53 864.24 137140 02/18/2010 010046 TEMECULA VALLEY Dec'09 Bus. Impry District Asmnts 30,521.27 30,521.27 CONVENTION & 137141 02/18/2010 007340 TEMECULA VALLEY FIRE EQUIP. fire extinguisher maint svc/equip 25.00 25.00 CO 137142 02/18/2010 009194 TEMECULA VALLEY NEWS Advertising:Tem. Presents 429.60 429.60 137143 02/18/2010 000306 TEMECULA VALLEY PIPE & irrigation/plumbing supplies: var parks 18.47 SUPPLY plumbing supplies:CRC 21.34 39.81 137144 02/18/2010 004274 TEMECULA VALLEY SECURITY locksmith svcs:var park locations 94.08 CENTR locksmith svcs:harveston prk storage 22.51 116.59 137145 02/18/2010 010276 TIME WARNER CABLE Feb high speed intemet: FS#92 139.60 139.60 137146 02/18/2010 013078 TOROK, LORI A. performances:OTTCT 2/26-27/10 200.00 200.00 137147 02/18/2010 013292 TREY MCINTYRE PROJECT LTD performances:Theater 2/26-27/10 15,500.00 15,500.00 137148 02/18/2010 004484 TRU WEST INC misc supplies:recreation pgrm 186.86 186.86 137149 02/18/2010 004759 TWIN GRAPHICS graphics: City police units 30.45 30.45 137150 02/18/2010 005460 U S BANK Rda Tabs 5,275.00 5,275.00 137151 02/18/2010 002492 U S TOY COMPANY INC misc supplies:holiday lights pgrm'09 53.40 53.40 137152 02/18/2010 007766 UNDERGROUND SERVICE ALERT cable/utility locators:pw traffic div 133.50 133.50 137153 02/18/2010 008517 UNITED SITE SERVICES OF Feb fence rental main street bridge 26.65 26.65 CA,INC 137154 02/18/2010 000325 UNITED WAY United Way Charities Payment 36.00 36.00 Page:7 apChkLst Final Check List Page: 8 02/18/2010 1:22:52PM CITY OF TEMECULA Bank: union UNION BANK OF CALIFORNIA (Continued) Check # Date Vendor Description Amount Paid Check Total 137155 02/18/2010 000621 WESTERN RIVERSIDE COUNCIL Jan'10 TUMF Payment 58,872.00 58,872.00 OF 137156 02/18/2010 008402 WESTERN RIVERSIDE COUNTY Jan'10 MSHCP payment 11,628.00 11,628.00 137157 02/18/2010 013083 XTREME CLEAN HOODS kitchen hood/maint svc:TCC 425.00 425.00 Grand total for UNION BANK OF CALIFORNIA: 5,334,266.42 Pageb Item No. 4 Approvals City Attorney Director of Finance City Manager CITY OF TEMECULA AGENDA REPORT TO: City Manager/City Council FROM: Genie Roberts, Director of Finance DATE: March 9, 2010 SUBJECT: City Treasurer's Report as of January 31, 2010 PREPARED BY: Rudy Graciano, Revenue Manager RECOMMENDATION: Approve and file the City Treasurer's Report as of January 31, 2010. BACKGROUND: Government Code Sections 53646 and 41004 require reports to the City Council regarding the City's investment portfolio, receipts, and disbursements respectively. Adequate funds will be available to meet budgeted and actual expenditures of the City for the next six months. Current market values are derived from the Local Agency Investment Fund (LAIF) reports, Union Bank of California trust and custody statements, and from US Bank trust statements. Attached is the City Treasurer's Report that provides this information. The City's investment portfolio is in compliance with the statement of investment policy and Government Code Sections 53601 and 53635 as of January 31, 2010. FISCAL IMPACT: None. ATTACHMENTS: City Treasurer's Report as of January 31, 2010 Current Year Average Daily Balance Effective Rate of Return Reporting period 91/91/2919-91/31/2919 Run Dare av2v2310-1824 162,13] 07 1,541,81052 191,324,951.75 184,447,924.59 1.18% 1.42% Portfolio TEME CP PM IPRF`M1l rsyMRDpt8 42 Retort Ve[500 Par Market City of Temecula % of City of Temecula, California 43200 Business Park Drive days to Portfolio Management Po. Box 9033 g Temecula, CA, 92596 IMV i� Portfolio Summary (951)694 6430 --_ —! January 31, 2010 Current Year Average Daily Balance Effective Rate of Return Reporting period 91/91/2919-91/31/2919 Run Dare av2v2310-1824 162,13] 07 1,541,81052 191,324,951.75 184,447,924.59 1.18% 1.42% Portfolio TEME CP PM IPRF`M1l rsyMRDpt8 42 Retort Ve[500 Par Market Book % of days to wm wm Investments Value Value Value Portfolio Term Maturity 360 Equiv. 355 Equiv. Certificates of DepositBank373,983.53 373,983.A 8]3,929.63 0.53 1,177 212 6.BBo 6878 Managed Pool A000unts 59,097,321.62 59,097,321.62 59,097,321 53 36.69 1 1 2451 0457 Letter of credit 1.00 1.00 1.00 0.00 1 1 0.000 0.000 Lodal Agensylrrvestmern Funds 59,075,34999 59,1 25,B23 H 59,075,34999 36.62 1 1 0.660 0.662 Federal Agency Callable 5eourniies 30000000.00 30,32$220.00 30000000.00 12.07 1,389 1,070 2220 2269 Federal Agency Bullet 5eourities 15,000,000 00 15,229,480.00 14,977,910.00 9.02 1,112 725 2494 2529 Investment oantrads 2031,4BB78 2031,48278 2031,48278 1 22 8979 2789 6.609 6626 166,078,124.86 166,800,138.50 166,056,034.86 199.99% 449 295 1.199 1.294 Investments Cash Passbook/obeokirg 5,344,13712 6,344,13]12 5,344,13712 1 1 0.000 0.000 (not Imind d In yield oaloulations) Total Cash and Investments 171,422,262.94 1U, 144,275.68 171,499,172.94 449 295 1.188 1.294 Current Year Average Daily Balance Effective Rate of Return Reporting period 91/91/2919-91/31/2919 Run Dare av2v2310-1824 162,13] 07 1,541,81052 191,324,951.75 184,447,924.59 1.18% 1.42% Portfolio TEME CP PM IPRF`M1l rsyMRDpt8 42 Retort Ve[500 City of Temecula, California Portfolio Management Portfolio Details - Investments January 31, 2010 Page 2 Average Purchase Stated YTM VTM Daysto Maturity CUSIP Investment# Issuer Balance Date Par Value Market Value Book Value Rate 360 365 Maturity Date Certificates of Deposit - Bank 95453516-2 66-12 GENIM2 USBANK 06/12/2007 673,963.53 673,963.53 673,963.53 5.600 Subtotal and Average 873,983.53 873,983.53 873,983.53 873,983.53 Managed Pool Accounts 1.00 1 2221 60 03-2 CITY COP RE2 104346006-1 01-2 IMP 2 104346006-4 01-2 RESA2 104346016-3 01-2 RESB2 104346000-4 01-2 SPTAX2 94669911-2 03-1 ACQA2 946699213 03-1 ACQB3 946699023 03-1 BOND3 946699063 03-1 RES A3 94669916-2 03-1 RES B2 94669900-4 03-1 SPTAXI 793593011-2 03-2 ADO 793593009-2 03-2 EMW D 2 793593007-2 03-2 IMP 2 793593016-4 03-2 LOC 2 793593010-2 03-2 PWADM2 793593006-2 03-2 RES 2 793593000-3 03-2 SPTX2 744727011-2 03-3 ACQ2 744727002-2 03-3 BOND 2 744727007-2 03-3 CITY2 744727009 03-3 EMW D 1 744727006-3 03-3 RES3 744727000-4 03-3 SP TX 4 94666001-2 03-4 ADMIN2 94666005-1 03-4 PREP1 94666000-1 03-4 RED1 94666006-2 03-4 RES2 766776002-2 03-6 BON D2 766776007-2 03-61MP2 73,747.57 766776006-2 03-6 RES2 766776000-3 03-6 SP TX3 95453510-2 66-12 BON D2 95453516-4 66-12 G14 Run Date_ 02/23/2010 -16 24 5.600 5.676 212 09/01/2010 5.600 5.678 212 ASSURED GUARANTY 1.00 1.00 1.00 1.000 0.966 1.000 1 First American Treasury 0.00 0.00 0.00 0.000 0.000 1 First American Treasury 441,606.99 441,606.99 441,606.99 0.000 0.000 1 First American Treasury 203,290.10 203,290.10 203,290.10 0.000 0.000 1 First American Treasury 152,621.37 152,621.37 152,621.37 0.000 0.000 1 First American Treasury 4,530.51 4,530.51 4,530.51 0.000 0.000 1 First American Treasury 15,113.21 15,113.21 15,113.21 0.000 0.000 1 First American Treasury 07/01/2009 0.00 0.00 0.00 0.000 0.000 1 First American Treasury 666,294.73 666,294.73 666,294.73 0.000 0.000 1 First American Treasury 223,566.93 223,566.93 223,566.93 0.000 0.000 1 First American Treasury 306,426.74 306,426.74 306,426.74 0.000 0.000 1 First American Treasury 73,747.57 73,747.57 73,747.57 0.000 0.000 1 First American Treasury 4,229.47 4,229.47 4,229.47 0.000 0.000 1 First American Treasury 4,364.66 4,364.66 4,364.66 0.000 0.000 1 First American Treasury 2,641,523.06 2,641,523.06 2,641,523.06 0.000 0.000 1 First American Treasury 2,961.04 2,961.04 2,961.04 0.000 0.000 1 First American Treasury 367.56 367.56 367.56 0.000 0.000 1 First American Treasury 130,066.54 130,066.54 130,066.54 0.000 0.000 1 First American Treasury 16,611.36 16,611.36 16,611.36 0.000 0.000 1 First American Treasury 07/01/2009 0.00 0.00 0.00 0.000 0.000 1 First American Treasury 0.00 0.00 0.00 0.000 0.000 1 First American Treasury 0.00 0.00 0.00 0.000 0.000 1 First American Treasury 2,176,102.75 2,176,102.75 2,176,102.75 0.000 0.000 1 First American Treasury 209,694.67 209,694.67 209,694.67 0.000 0.000 1 First American Treasury 5,222.74 5,222.74 5,222.74 0.000 0.000 1 First American Treasury 4,071.65 4,071.65 4,071.65 0.000 0.000 1 First American Treasury 2,349.99 2,349.99 2,349.99 0.000 0.000 1 First American Treasury 96,467.50 96,467.50 96,467.50 0.000 0.000 1 First American Treasury 07/01/2009 0.00 0.00 0.00 0.000 0.000 1 First American Treasury 1,402.16 1,402.16 1,402.16 0.000 0.000 1 First American Treasury 337,942.60 337,942.60 337,942.60 0.000 0.000 1 First American Treasury 49,351.36 49,351.36 49,351.36 0.000 0.000 1 First American Treasury 1,390.73 1,390.73 1,390.73 0.000 0.000 1 First American Treasury 66,649.65 66,649.65 66,649.65 0.000 0.000 1 Portfollo TEME CP PM (PRF_PM2) SymRapt 6 42 Report Var_ 5 00 City of Temecula, California Portfolio Management Portfolio Details - Investments January 31, 2010 Page 3 Subtotal and Average 59,698,171.17 Letter of Credit 104346006-1 02006 ASSURANCE CO BOND INSURANCE 07/01/2009 Subtotal and Average 1.00 Run Date_ 02/23/2010 -16 24 59,097,321.58 1.00 1.00 59,097,321.58 1.00 1.00 59,097,321.58 1.00 1.00 0.451 0.457 1 0.000 0.000 1 0.000 0.000 1 Portfollo TEME CP PM (PRF_PM2) SymRapt 6 42 Average Purchase Stated YTM YTM Daysto Maturity CUSIP Investment# Issuer Balance Date Par Value Market Value Book Value Rate 360 365 Maturity Date Managed Pool Accounts 1 2221 60 03-4 CITY COP RE4 First American Treasury 0.00 0.00 0.00 0.000 0.000 1 122216006-3 CITY COPCIP2 First American Treasury 07/01/2009 6,577.76 6,577.76 6,577.76 0.000 0.000 1 122216000-2 CITY COPLPF2 First American Treasury 37.11 37.11 37.11 0.000 0.000 1 94434160-1 RDA 021NT1 First American Treasury 650,406.13 650,406.13 650,406.13 0.000 0.000 1 94434161-2 RDA 02 PRIN2 First American Treasury 0.00 0.00 0.00 0.000 0.000 1 107666006-2 RDA 06 CIPA2 First American Treasury 0.00 0.00 0.00 0.000 0.000 1 107666001 RDA 06 PRIN First American Treasury 07/27/2009 0.00 0.00 0.00 0.000 0.000 1 107666000-2 RDA 06A INT2 First American Treasury 373,516.13 373,516.13 373,516.13 0.000 0.000 1 107666016-3 RDA 06B CIPS First American Treasury 959,432.06 959,432.06 959,432.06 0.000 0.000 1 107666010-2 RDA 06B INT2 First American Treasury 0.00 0.00 0.00 0.000 0.000 1 107666016-2 RDA 06B RES2 First American Treasury 202,115.00 202,115.00 202,115.00 0.000 0.000 1 107666030-2 RDA 07 CAPI2 First American Treasury 07/01/2009 0.00 0.00 0.00 0.000 0.000 1 107666027-2 RDA 07 ESC2 First American Treasury 07/01/2009 0.00 0.00 0.00 0.000 0.000 1 107666020-2 RDA 07 INT2 First American Treasury 0.00 0.00 0.00 0.000 0.000 1 107666026-2 RDA 07 PROJ2 First American Treasury 216,256.29 216,256.29 216,256.29 0.000 0.000 1 107666026-2 RDA 07 RES2 First American Treasury 316.62 316.62 316.62 0.000 0.000 1 94432360-2 TCSD COP INT First American Treasury 07/01/2009 0.00 0.00 0.00 0.000 0.000 1 94432363 02001 Financial Security Assurance 07/01/2009 1.00 1.00 1.00 0.000 0.000 1 793593011-1 03-2-1 ACQUI CA Local Agency Investment Fun 29,111,625.54 29,111,625.54 29,111,625.54 0.556 0.550 0.556 1 793593009-1 03-2-1 EMWD CA Local Agency Investment Fun 1,557,052.13 1,557,052.13 1,557,052.13 0.556 0.550 0.556 1 793593007-1 03-2-1 IMPRO CA Local Agency Investment Fun 602,264.65 602,264.65 602,264.65 0.556 0.550 0.556 1 793593010-1 03-2-1 PW AD CA Local Agency Investment Fun 472,647.57 472,647.57 472,647.57 0.556 0.550 0.556 1 793593006-3 03-2-3 RESER CA Local Agency Investment Fun 3,594,377.36 3,594,377.36 3,594,377.36 0.556 0.550 0.556 1 122216006 CITY COP CIP CA Local Agency Investment Fun 7,401,766.69 7,401,766.69 7,401,766.69 0.556 0.550 0.556 1 1 2221 60 03-1 CITY COP RE1 CA Local Agency Investment Fun 619,772.96 619,772.96 619,772.96 0.556 0.550 0.556 1 107666006-1 RDA 06 CIP-1 CA Local Agency Investment Fun 0.00 0.00 0.00 0.556 0.550 0.556 1 107666016-2 RDA 06 CIP-2 CA Local Agency Investment Fun 0.00 0.00 0.00 0.556 0.550 0.556 1 107666030-1 RDA 07 CAP -1 CA Local Agency Investment Fun 0.00 0.00 0.00 0.556 0.550 0.556 1 107666027-1 RDA 07 ESC -1 CA Local Agency Investment Fun 0.00 0.00 0.00 0.556 0.550 0.556 1 107666026-1 RDA 07 PRO -1 CA Local Agency Investment Fun 3,575,066.66 3,575,066.66 3,575,066.66 0.556 0.550 0.556 1 107666026-1 RDA 07 RES -1 CA Local Agency Investment Fun 1,105,452.42 1,105,452.42 1,105,452.42 0.556 0.550 0.556 1 107666006 RDA 06 RESA MBIA Surety Bond 1.00 1.00 1.00 0.000 0.000 1 94434166 RDA TABS RES MBIA Surety Bond 1.00 1.00 1.00 0.000 0.000 1 Subtotal and Average 59,698,171.17 Letter of Credit 104346006-1 02006 ASSURANCE CO BOND INSURANCE 07/01/2009 Subtotal and Average 1.00 Run Date_ 02/23/2010 -16 24 59,097,321.58 1.00 1.00 59,097,321.58 1.00 1.00 59,097,321.58 1.00 1.00 0.451 0.457 1 0.000 0.000 1 0.000 0.000 1 Portfollo TEME CP PM (PRF_PM2) SymRapt 6 42 City of Temecula, California Portfolio Management Portfolio Details - Investments January 31, 2010 Page 4 Federal Agency Callable Securities Average Purchase 01067 31331GZ36 01145 Stated YTM YTM Daysto Maturity CUSIP Investment# Issuer Balance Date Par Value Market Value Book Value Rate 360 365 Maturity Date Local Agency Investment Funds 3133XUKAO 01136 3133XUNQ2 01141 3133XVF63 01147 3126X6R46 01126 94669911-1 03-1 ACQ A2 CA Local Agency Investment Fun 726,503.39 726,503.39 726,503.39 0.556 0.550 0.556 1 94669921-1 03-1 ACQ B2 CA Local Agency Investment Fun 3,670,076.41 3,670,076.41 3,670,076.41 0.556 0.550 0.556 1 744727011-1 03-3 ACQ2 CA Local Agency Investment Fun 1,276,711.70 1,276,711.70 1,276,711.70 0.556 0.550 0.556 1 744727007-1 03-3 CITY 2 CA Local Agency Investment Fun 0.00 0.00 0.00 0.556 0.550 0.556 1 766776007-1 03-6 IMP 1 CA Local Agency Investment Fun 157,001.56 157,001.56 157,001.56 0.556 0.550 0.556 1 SYSCITY CITY CA Local Agency Investment Fun 31,790,940.63 31,621,073.06 31,790,940.63 0.556 0.550 0.556 1 SYSRDA RDA CA Local Agency Investment Fun 7,163,536.07 7,170,327.65 7,163,536.07 0.556 0.550 0.556 1 SYSTCSD TCSD CA Local Agency Investment Fun 14,066,576.03 14,099,927.64 14,066,576.03 0.556 0.550 0.556 1 773 Subtotal and Average 45,716,767.68 59,075,349.99 59,125,623.63 59,075,349.99 1,006,750.00 0.550 0.558 1 Federal Agency Callable Securities 31331YTS9 01067 31331GZ36 01145 3133XRSM3 01102 3133XRVA5 01109 3133XRWE6 01110 3133XRM 01116 3133XUAE3 01131 3133XUBXO 01133 3133XUGS6 01136 3133XUKAO 01136 3133XUNQ2 01141 3133XVF63 01147 3126X6R46 01126 3126X6S52 01129 3126X9NT3 01152 3136F9CB7 01066 3136F9DP5 01090 3136FHRX5 01126 3136FHXF7 01127 3136FHY66 01132 31396AYN6 01134 3136FJAD3 01140 31396AZD7 01142 3136FJFD6 01143 3136FJHX2 01146 3136FJNN7 01146 31396AZY1 01149 Run Date_ 02/23/2010 -16 24 Federal Farm Credit Bank 02/14/2006 2,000,000.00 2,001,660.00 2,000,000.00 3.750 3.699 3.750 1,106 02/11/2013 Federal Farm Credit Bank 10/19/2009 1,000,000.00 1,003,130.00 1,000,000.00 1.550 2.399 2.432 699 07/19/2012 Federal Home Loan Bank 07/23/2006 1,000,000.00 1,017,500.00 1,000,000.00 4.050 3.995 4.050 721 01/23/2012 Federal Home Loan Bank 07/30/2006 1,000,000.00 1,016,440.00 1,000,000.00 4.220 4.162 4.220 910 07/30/2012 Federal Home Loan Bank 06/12/2006 1,000,000.00 1,001,250.00 1,000,000.00 4.125 4.066 4.125 557 06/12/2011 Federal Home Loan Bank 06/20/2006 1,000,000.00 1,019,060.00 1,000,000.00 4.070 4.014 4.070 931 06/20/2012 Federal Home Loan Bank 07/27/2009 1,000,000.00 1,005,310.00 1,000,000.00 2.000 1.973 2.000 907 07/27/2012 Federal Home Loan Bank 07/30/2009 1,000,000.00 1,006,130.00 1,000,000.00 2.375 2.342 2.375 1,094 01/30/2013 Federal Home Loan Bank 06/26/2009 1,000,000.00 1,011,250.00 1,000,000.00 2.500 2.466 2.500 1,121 02/26/2013 Federal Home Loan Bank 06/26/2009 1,000,000.00 1,010,940.00 1,000,000.00 2.560 2.545 2.560 25 02/26/2010 Federal Home Loan Bank 09/15/2009 1,000,000.00 1,005,940.00 1,000,000.00 1.700 1.677 1.700 773 03/15/2012 Federal Home Loan Bank 10/26/2009 1,000,000.00 1,006,750.00 1,000,000.00 2.100 2.071 2.100 1,160 04/26/2013 Federal Home Loan Mtg Corp 06/25/2009 2,000,000.00 2,022,140.00 2,000,000.00 3.000 2.959 3.000 1,240 06/25/2013 Federal Home Loan Mtg Corp 06/29/2009 1,000,000.00 1,007,520.00 1,000,000.00 2.450 2.416 2.450 679 06/29/2012 Federal Home Loan Mtg Corp 12/10/2009 1,000,000.00 999,220.00 1,000,000.00 1.630 1.606 1.630 1,043 12/10/2012 Federal National Mtg Assn 03/11/2006 2,000,000.00 2,130,620.00 2,000,000.00 4.000 3.945 4.000 1,134 03/11/2013 Federal National Mtg Assn 03/27/2006 1,000,000.00 1,066,560.00 1,000,000.00 4.000 3.945 4.000 1,150 03/27/2013 Federal National Mtg Assn 05/21/2009 1,000,000.00 1,005,630.00 1,000,000.00 2.125 2.096 2.125 1,570 05/21/2014 Federal National Mtg Assn 06/10/2009 1,000,000.00 1,006,750.00 1,000,000.00 2.000 1.973 2.000 1,043 12/10/2012 Federal National Mtg Assn 06/03/2009 1,000,000.00 1,007,500.00 1,000,000.00 2.000 1.973 2.000 914 06/03/2012 Federal National Mtg Assn 07/26/2009 1,000,000.00 1,006,560.00 1,000,000.00 3.000 2.959 3.000 1,636 07/26/2014 Federal National Mtg Assn 09/03/2009 1,000,000.00 1,006,440.00 1,000,000.00 2.200 3.519 3.566 1,036 12/03/2012 Federal National Mtg Assn 09/21/2009 1,000,000.00 1,003,130.00 1,000,000.00 2.170 2.140 2.170 1,144 03/21/2013 Federal National Mtg Assn 09/26/2009 1,000,000.00 1,005,000.00 1,000,000.00 2.050 2.022 2.050 1,061 12/26/2012 Federal National Mtg Assn 10/26/2009 1,000,000.00 1,003,130.00 1,000,000.00 2.000 1.973 2.000 1,061 12/26/2012 Federal National Mtg Assn 11/16/2009 1,000,000.00 1,002,190.00 1,000,000.00 2.000 1.973 2.000 1,751 11/16/2014 Federal National Mtg Assn 11/10/2009 1,000,000.00 1,000,310.00 1,000,000.00 3.125 3.062 3.125 1,743 11/10/2014 Portfollo TEME CP PM (PRF_PM2) SymRapt 6 42 City of Temecula, California Portfolio Management Portfolio Details - Investments January 31, 2010 Page 5 Average Purchase Stated YTM YTM Daysto Maturity CUSIP Investment# Issuer Balance Date Par Value Market Value Book Value Rate 360 365 Maturity Date Subtotal and Average 30,451,612.90 30,000,000.00 30,388,280.00 30,000,000.00 2.820 2.859 1,070 Federal Agency Bullet Securities 31331 XMQ2 01059 31331YG46 01092 31331Y3R3 01105 31331Y3N6 01111 31331 GF47 01135 31331 GG37 01137 31331 GZ44 01144 3133XRRU6 01101 3133XSWM6 01124 3133XTN65 01125 3133XTXC5 01130 3133XVEM9 01150 3133XVRS2 01151 31396AYM6 01139 Federal Farm Credit Bank 01/26/2007 1,000,000.00 1,015,630.00 1,000,000.00 5.000 4.934 5.002 114 05/26/2010 Federal Farm Credit Bank 04/21/2006 2,000,000.00 2,049,360.00 1,993,700.00 2.630 2.703 2.740 444 04/21/2011 Federal Farm Credit Bank 07/15/2006 1,000,000.00 1,042,610.00 996,140.00 3.500 3.514 3.563 609 10/03/2011 Federal Farm Credit Bank 07/30/2006 1,000,000.00 1,041,560.00 999,000.00 3.625 3.610 3.661 529 07/15/2011 Federal Farm Credit Bank 07/29/2009 1,000,000.00 1,012,190.00 997,500.00 2.250 2.264 2.316 1,274 07/29/2013 Federal Farm Credit Bank 06/04/2009 1,000,000.00 1,015,630.00 1,000,000.00 2.150 2.121 2.150 1,099 02/04/2013 Federal Farm Credit Bank 10/15/2009 1,000,000.00 1,001,660.00 1,000,000.00 1.550 1.529 1.550 967 10/15/2012 Federal Home Loan Bank 07/03/2006 1,000,000.00 1,040,310.00 996,570.00 3.625 3.626 3.676 515 07/01/2011 Federal Home Loan Bank 01/23/2009 1,000,000.00 1,019,690.00 1,000,000.00 2.100 2.071 2.100 721 01/23/2012 Federal Home Loan Bank 05/07/2009 1,000,000.00 1,010,000.00 1,000,000.00 1.500 1.479 1.500 644 11/07/2011 Federal Home Loan Bank 06/11/2009 1,000,000.00 1,022,500.00 1,000,000.00 2.250 2.219 2.250 661 06/11/2012 Federal Home Loan Bank 11/04/2009 1,000,000.00 1,003,130.00 1,000,000.00 1.625 1.603 1.625 1,024 11/21/2012 Federal Home Loan Bank 11/16/2009 1,000,000.00 999,690.00 999,750.00 1.000 0.996 1.012 695 12/26/2011 Federal National Mtg Assn 06/10/2009 1,000,000.00 1,009,060.00 991,250.00 1.750 2.024 2.052 921 06/10/2012 Subtotal and Average 14,977,910.00 Investment Contracts 95453516-1 66-12 GEN IM IXIS Funding Corp 95453516-1 66-12 RES 2 IXIS Funding Corp Run Date_ 02/23/2010 -16 24 15,000,000.00 15,283,460.00 14,977,910.00 2.494 2.529 725 07/24/1996 500,000.00 500,000.00 500,000.00 5.430 5.509 5.565 2,769 09/01/2017 07/24/1996 1,531,466.76 1,531,466.76 1,531,466.76 5.430 5.509 5.565 2,769 09/01/2017 Subtotal and Average 2,031,468.76 2,031,468.76 2,031,468.76 2,031,468.76 5.509 5.585 2,769 Total and Average 161,324,951.75 166, 078,124.86 166,800,138.50 166,056, 034.86 1.188 1.204 295 Portfollo TEME CP PM (PRF_PM2) SymRapt 6 42 City of Temecula, California Portfolio Management Portfolio Details - Cash January 31, 2010 Page 6 Average Balance 0.00 Total Cash and Investments 161,324,951.75 Run Date_ 02/23/2010 -16 24 171,422,262.04 172,144,275.68 171,400,172.04 1.188 1.204 295 Portfollo TEME CP PM (PRF_PM2) SymRapt 6 42 Average Purchase Stated YTM YTM Days to CUSIP Investment# Issuer Balance Date Par Value Market Value Book Value Rate 360 365 Maturity Retention Escrow Account SYSAAA#1202 AAA#1202 COMMUNITY BANK 07/01/2009 1,166,556.69 1,166,556.69 1,166,556.69 0.000 0.000 1 4110170261 EDGEDEV TORRY PINES BANK 07/01/2009 1,567,563.16 1,567,563.16 1,567,563.16 0.000 0.000 1 23303600 PCL CONST Wells Fargo Bank 07/01/2009 1,443,133.14 1,443,133.14 1,443,133.14 0.000 0.000 1 Passbook/Checking Accounts SYSPetty Cash Petty Cash City of Temecula 07/01/2009 2,610.00 2,610.00 2,610.00 0.000 0.000 1 SYSFIex Ck Acct Flex Ck Acct Union Bank of California 07/01/2009 24,925.44 24,925.44 24,925.44 0.000 0.000 1 SYSGen Ck Acct Gen Ck Acct Union Bank of California 1,060,612.06 1,060,612.06 1,060,612.06 0.000 0.000 1 SYSParking Ck PARKING CITA Union Bank of California 07/01/2009 16,334.49 16,334.49 16,334.49 0.000 0.000 1 Average Balance 0.00 Total Cash and Investments 161,324,951.75 Run Date_ 02/23/2010 -16 24 171,422,262.04 172,144,275.68 171,400,172.04 1.188 1.204 295 Portfollo TEME CP PM (PRF_PM2) SymRapt 6 42 Cash and Investments Report CITY OF TEMECULA Through January 31, 2010 Fund Total 001 GENERAL FUND $44,513,175.05 100 STATE GAS TAX FUND 77.01 101 STATE TRANSPORTATION FUND 1,375,406.73 120 DEVELOPMENT IMPACT FUND 4,845,896.92 150 AB 2766 FUND 450,239.11 160 AB 3229 22.78 165 RDA AFFORDABLE HOUSING 20% 8,491,771.47 170 MEASURE A FUND 6,449,388.13 190 TEMECULA COMMUNITY 1,884,185.47 192 TCSD SERVICE LEVEL "B" STREET 143,862.44 193 TCSD SERVICE LEVEL"C" 726,488.54 194 TCSD SERVICE LEVEL "D" 3,080,724.29 195 TCSD SERVICE LEVEL "R" 9,872.97 196 TCSD SERVICE LEVEL "L" LAKE 204,645.87 197 TEMECULA LIBRARY FUND 1,292,375.77 210 CAPITAL IMPROVEMENT 24,509,206.49 273 CFD 03-1 CROWNE HILL 4,618,225.52 275 CFD 03-3 WOLF CREEK 1,277,066.14 276 CFD 03-6 HARVESTON 2 158,403.74 277 CFD-RORIPAUGH 31,553,304.22 280 REDEVELOPMENT AGENCY - CIP 3,252,569.07 300 INSURANCE FUND 872,464.92 310 VEHICLES FUND 858,527.59 320 INFORMATION SYSTEMS 508,125.19 330 SUPPORT SERVICES 314,848.91 340 FACILITIES 191,553.29 370 CITY 2008 COP'S DEBT SERVICE 855,076.19 380 RDA DEBT SERVICE FUND 7,660,800.76 390 TCSD 2001 COP'S DEBT SERVICE 12,281.65 460 CFD 88-12 DEBT SERVICE FUND 4,452,004.68 472 CFD 01-2 HARVESTON A&B DEBT 1,325,953.88 473 CFD 03-1 CROWNE HILL DEBT 1,926,573.01 474 AD 03-4 JOHN WARNER ROAD 157,297.10 475 CFD 03-3 WOLF CREEK DEBT 3,723,484.10 476 CFD 03-6 HARVESTON 2 DEBT 565,995.05 477 CFD 03-02 RORIPAUGH DEBT 9,880,916.05 700 CERBT CALIFORNIA EE RETIREE- 1,465.58 Grand Total: $172,144,275.68 Item No. 5 Approvals City Attorney Director of Finance City Manager CITY OF TEMECULA AGENDA REPORT TO: City Manager/City Council FROM: Greg Butler, Director of Public Works/City Engineer DATE: March 9, 2010 SUBJECT: Approval of the Plans and Specifications and Authorization to Solicit Construction Bids for the Storm Drain Repair at Rancho California Road, Project No. PW09-08 PREPARED BY: Amer Attar, Principal Engineer - CIP Jon Salazar, Associate Engineer - CIP RECOMMENDATION: That the City Council approve the plans and specifications and authorize the Department of Public Works to solicit construction bids for the Storm Drain Repair at Rancho California Road, Project No. PW09-08. BACKGROUND: There are three, 72" diameter, Corrugated Metal Pipes (CMP) that cross Rancho California Road just east of Hope Way. Subsidence of the roadway surface of Rancho California Road in the vicinity of the pipes was observed in the past. This subsidence was corrected during construction of the Rancho California Road Pavement Rehabilitation project (PW06-14). However, in order to determine if the roadway subsidence was the result of the failure of the storm drain pipes below it, a video inspection of the storm drain system was performed. In addition, a physical inspection of the pipes was conducted. The video and the physical inspection revealed that the three CMP had some corrosion. While it was concluded that this minor corrosion of the three CMP was not the cause of the roadway subsidence, in order to extend the life of the three CMP, staff determined that performing rehabilitative work on the pipes would extend their useful life by up to 10 years. This scope of this project consists of removing the corrosion and the application of a protective coating on the interior of the three CMP. Project specifications are complete and the project is ready to be advertised for construction bids. The contract documents are available for review in the Director of Public Works' office. The Engineer's Construction Estimate for the project is $50,000.00. FISCAL IMPACT: This project is included in the FY 2010-2014 Capital Improvement Program (CIP) as the Road and Storm Drain Repair at Rancho California Road project and is funded with Prop 1 B — Transportation Bond/ Local Streets & Roads (Spending Plan for FY 2008-09). Adequate funds are available in the project accounts. ATTACHMENTS: Location Map Project Description PROJECT LOCATION Project Title: ROAD AND STORM DRAIN REPAIR AT RANCHO CALIFORNIA ROAD m PROJECT DESCRIPTION Project Title: Project Type: Description: Department: Scope of Project: Benefit: Project Cost: Administration Construction Construction Engineering Design Totals ROAD AND STORM DRAIN REPAIR AT RANCHO CALIFORNIA ROAD Circulation PRIORITY: I Project will replace approximately 140 feet of aging corrugated metal pipe under Rancho California Road, east of Hope Drive, with reinforced concrete pipe, and reconstruct that portion of the roadway. Public Works - Account No. 210.165.510 Project will include environmental processing, design, and reconstruction of the roadway segment affected by the failing drainage pipe. Project will improve safety and circulation while maintaining the integrity of the streets during inclement weather. Actuals to Date 2009-10 2010-11 2011-12 2012-2013 2013-2014 Future Years Total Project Cost $ 86,071 $ 86,071 $ 209,623 $ 209,623 $ 25,000 $ 25,000 $ 20,000 $ 20,000 $ $ 340,694 $ $ $ $ - $ - $ 340,694 Source of Funds: Proposition 113 (Streets and Roads) $ 340,694 $ 340,694 Total Funding: $ - $ 340,694 $ - $ $ $ $ $ 340,694 Future O & M Cost: N/A 69 Item No. 6 Approvals City Attorney Director of Finance City Manager CITY OF TEMECULA AGENDA REPORT TO: City Manager/City Council FROM: Greg Butler, Director of Public Works/City Engineer DATE: March 9, 2010 SUBJECT: Approval of the Plans and Specifications and Authorization to Solicit Construction Bids for Road Reconstruction at Jedediah Smith Road, Project No. PW09-10 and approval of an Amended Spending Plan for Proposition 1 B funding. PREPARED BY: Amer Attar, Principal Engineer - CIP Jon Salazar, Associate Engineer - CIP RECOMMENDATION: That the City Council: 1. Approve an amendment to the City's Proposition 1 B Spending Plan for FY 2008-09 to include East Vallejo Road and Cabrillo Avenue as part of the Road Reconstruction at Jedediah Smith Road Project. 2. Approve the plans and specifications and authorize the Department of Public Works to solicit construction bids for the Road Reconstruction at Jedediah Smith Road, Project No. PW09- 10. BACKGROUND: In 2006, California voters approved Proposition 1B (Prop 1B — Transportation Bond/Local Streets & Roads), which authorized the sale of over Million in bonds for the rehabilitation and reconstruction of local streets and roads. The State authorized the release of Prop 1 B funds to local agencies in two installments; in Fiscal Years 2007-08 and 2008-09. The City received its first installment ($1.57 million) of Prop 1 B bond funds in mid -2008. The second installment ($1.45 million) was received in June 2009. In order to receive these funds, the City was required to submit a Spending Plan with a list of projects to the California Department of Finance (DOF). The City's Prop 1 B Spending Plans for Fiscal Years 2007-08 and 2008-09 were approved by the City Council on February 28, 2008 and December 16, 2008, respectively. These funds are being used to repair and maintain a variety of city-wide roadways that would not have been included in the City's annual maintenance and rehabilitation program due to funding limitations. The Road Reconstruction at Jedediah Smith Road Project is one of the projects identified within our FY 2008- 09 Spending Plan. Due to the current slowdown in construction activities, recent construction bids have been lower than the original engineering cost estimates that were used to prepare the City's FY 2008-09 Spending Plan. As a result, it is anticipated that funds will be available from savings associated with the Rancho California Road Storm Drain Repair Project to complete additional roadway work in accordance with the Prop 1 B guidelines. In order to fully utilize the remainder of these funds, staff is recommending that the City Council approve an administrative amendment to our Prop 1 B Spending Plan for Fiscal Year 2008-09 to include the addition of East Vallejo Road and Cabrillo Avenue as part of the Jedediah Smith Road Project. Although various streets and roads in the City have been identified as requiring some form of maintenance and/or rehabilitation, it has been determined that the best use of our Prop 1 B funding allocation is to expand the Road Reconstruction at Jedediah Smith Road Project to include East Vallejo Road and Cabrillo Avenue . This project will consist of the rehabilitation of both roadways using the Asphalt Rubber Aggregate Membrane (ARAM) method. Project specifications are complete and the project is ready to be advertised for construction bids. The contract documents are available for review in the Director of Public Works' office. The Engineer's Construction Cost Estimate for the project is $375,000.00. FISCAL IMPACT: The Road Reconstruction at Jedediah Smith Road project is included in the City's FY2010-2014 Capital Improvement Program (CIP) and is funded with Prop 1B — Transportation Bond/Local Streets & Roads (Spending Plan for FY 2008-09). As noted above, savings from the Rancho California Road Storm Drain Repair project will be transferred to the Jedediah Smith Road project account at the time of award to fully fund this project. ATTACHMENTS: Location Map Project Description PROJECT LOCATION Project Title: ROAD RECONSTRUCTION AT JEDEDIAH SMITH ROAD N PROJECT DESCRIPTION Project Title: Project Type: Description: Department: Scope of Project: Benefit: ROAD RECONSTRUCTION AT JEDEDIAH SMITH ROAD Circulation PRIORITY: I Project will rebuild 28 feet of roadway striping and asphalt berms at Jedediah Smith Road between Temecula Parkway and Cabrillo. Public Works - Account No. 210.165.511 Project will include environmental processing, design, and reconstruction of the road segment. Project will improve the quality and extend the service life of Jedediah Road. Project Cost: Actuals to Date 2009-10 2010-11 2011-12 2012-2013 2013-2014 Future Years Total Project Cost Administration $ 43,036 $ 43,036 Construction $ 215,000 $ 215,000 Construction Engineering $ 17,311 $ 17,311 Design $ 20,000 $ 20,000 Totals $ $ 295,347 $ $ $ $ $ $ 295,347 Source of Funds: Proposition 1B (Streets and Roads) $ 295,347 $ 295,347 Total Funding: $ $ 295,347 $ - $ - $ - $ $ $ 295,347 Future O & M Cost: N/A 71 Item No. 7 Approvals City Attorney /10 Director of Finance City Manager Go,, CITY OF TEMECULA AGENDA REPORT TO: City Manager/City Council FROM: Greg Butler, Director of Public Works/City Engineer DATE: March 9, 2010 SUBJECT: Payment of the City's share of the Regional Municipal Stormwater Permit for the Santa Margarita Watershed for FY2009-2010 PREPARED BY: Aldo Licitra, Associate Engineer, NPDES RECOMMENDATION: That the City Council approve payment to the Riverside County Flood Control District in the sum of $188,825.16 as the City's portion of the cost-sharing reimbursement pursuant to the Implementation Agreement between the Santa Margarita Watershed Permittees approved by the City Council in January 2005. BACKGROUND: On January 26, 2005, the City of Temecula executed a National Pollutant Discharge Elimination System (NPDES) Implementation Agreement (IA) with the Riverside County Flood Control District (RCFCD). The IA manages the regional components of the City's NPDES Order (No. R9-2004-001) and establishes proportional cost shares for each permittee based on a cost-sharing formula. The RCFCD administers the IA, the regional components, and associated costs. The regional components of the City's NPDES Order that are covered by the agreement include water sampling programs, the Watershed Stormwater Management Plan (SWMP), municipal staff training, Watershed Annual Reports, business inspections, Receiving Water Monitoring Reports, education and outreach programs, and Reports of Waste Discharge (ROWDs). The cost for Temecula's share, based on the formula in the agreement, is $188,825.16 for FY 2009-10. FISCAL IMPACT: $188,825.16 has been budgeted in the NPDES Division Operating Budget to pay for Temecula's share of the IA for FY 2009-10. ATTACHMENTS: FY 2009-10 Cost -Sharing Reimbursement Invoice from RCFCD Executed Implementation Agreement dated March 1, 2005 WARREN D. WILLIAMS General Manager -Chief Engineer 1995 MARKET STREET RIVERSIDE, CA 92501 951.955.1200 FAX 951.788.9965 www.reflood.org 128823 RIVERSIDE COUNTY FLOOD CONTROL AND WATER CONSERVATION DISTRICT RECEIVED January 25, 2010 FEB 0 3 2010 CITY MANAGER'S Mr. Shawn Nelson, City Manager OFFICE City of Temecula RECEIVED ECEI\ ED Post Office Box 9033 1'� Cl V Lr LJ Temecula, CA 92589-9033 FEB 0 4 2010 Attention: Aldo Licitra CITY OF TEMECULA KS RARTMMr Dear Mr. Nelson: Re: FY 2009-10 Cost Sharing Rhe mbu�rsemenntt Regional Costs for Santa Margarita NPDES Municipal Stormwater Permit In compliance with the Santa Margarita River Watershed NPDES Permit adopted by the San Diego Regional Water Quality Control Board on July 14, 2004 as Order No. R9-2004-001 (NPDES No. CAS0108766) and the Implementation Agreement (IA) adopted by the County, District, and Cities of Murrieta and Temecula (Permittees) on March 1, 2005, a cost sharing provision between the Permittees was established. Per the IA, Item 3 "Shared Costs" provides for annual cost sharing of estimated regional program costs ("Estimated Costs"), with the "Combined Contribution" from the County and Cities not to exceed $500,000 annually. Although Item 3 also notes that the District shall invoice the County and Cities for their "Individual Contribution" to the total "Combined Contribution" in two installments (50% each installment), it has been verbally agreed by all Permittees that this year the District will invoice the County and Cities for their contribution of the FY 2009-10 "Estimated Costs" in one installment (100% contribution). The District has determined the "Estimated Costs" for the period of July 2009 through June 2010 to be $537,318 with a "Combined Contribution" total of $467,830. Per the calculations and the attached invoice, your Agency's contribution is $188,825.16. Therefore, please remit $188,825.16 as payment for the full amount and mail to the following address. Please note that payment is due within 60 days of receipt of invoice. Riverside County Flood Control & Water Conservation District 1995 Market Street Riverside, California 92501-1770 Attention: Accounts Receivable Re: FY 2009-2010 Cost Sharing Reimbursement Regional Program Costs for Santa Margarita NPDES Permit The District appreciates your continued cooperation and prompt response to this request. If you have any questions concerning this matter, please feel free to call Jason Uhley at 951.955.1273 /Clauo Padres at 951.955.8602. Very truly our WARREN D. WILLIAMS Attachments: Table and Invoice General Manager -Chief Engineer c: Santa Margarita NPDES Permit Representatives (via e-mail) NPDES File PLN:cw:bjp 128823 SANTA MARGARITA RIVER WATERSHED CO -PERMITTEE COST SHARING FOR REGIONAL NPDES PROGRAM COSTS FISCAL YEAR 2009-2010 Mq�F CHS„t' PUS00DC p STRi tgNp WP E EO STRERTATt gg51 Cq 82501 t fdER51Q ' CITY OF TEMECULA P.O. BOX 9033 TEMECULA CA 92589-9033 County of Riverside INVOICE Page: Invoice No: Invoice Date: Customer Number: Payment Terms: Due Date: Contact Person: Inquiry Number: 1 FC0000012011 01/21/2010 FC -000576 30 Days 02/20/2010 Flood Control Accounts Receive 951-955-1245 For billing questions, please call 951-955-1245 Line Ad! Identifier Description Quantity UOM Unit Amt Net Amount 1 FY09-10 NPDES COST SHARING 1.0000 EA 188,825.16 188,825.16 CUSTOMER NOTE: SANTA MARGARITA RIVER WATERSHED 679R9922/ 8-9-00980 SUBTOTAL: 188,825.16 TOTAL AMOUNT DUE : 188 825.16 Please Remit To: Invoice No: FC0000012011 Flood-Accounting-Rvrsd Invoice Date: 01/21/2010 Requestor Customer Number: FC -000576 Flood Control Accounting 1995 Market St AMOUNT DUE: 188,825.16 Riverside CA 92501 United States Enclosed: ATTN: FC -A/R srxxn Original 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 91463.1 AGREEMENT National Pollutant Discharge Elimination System Stormwater Discharge Permit Implementation Agreement San Diego Region (Santa Margarita Drainage Area) This Agreement, entered into by the RIVERSIDE COUNTY FLOOD CONTROL AND WATER CONSERVATION DISTRICT (the "DISTRICT"), the COUNTY OF RIVERSIDE (the "COUNTY"), and the CITIES OF MURRIETA and TEMECULA (the "CITIES"), establishes the responsibilities of each party concerning compliance with the National Pollutant Discharge Elimination System ("NPDES") Municipal Separate Storm Sewer System ("MS4") Discharge Permit (the "NPDES Permit") issued by the California Regional Water Quality Control Board — San Diego Region (CRWQCB-SDR) pursuant to Order No. R9-2004-001. RECITALS WHEREAS, Congress in 1987 added Section 402(p) to the Federal Clean Water Act (CWA) (33 U.S.C.§1342(p)); and WHEREAS, Section 402(p) of the CWA requires certain municipalities to obtain', NPDES Permits in order to discharge storm water from MS4s to waters of the United States; and WHEREAS, Section 402(p) of the CWA requires operators of certain industrial facilities to obtain NPDES Permits for storm water discharges associated with designated industrial activities, including construction activities; and WHEREAS, Section 402(p) further requires the United States Environmental Protection Agency (EPA) to promulgate regulations for NPDES Permit applications; and WHEREAS, EPA adopted such regulations in November 1990; and WHEREAS, EPA delegated authority to the California State Water Resources Control Board ("SWRCB") to administer the NPDES Permit process within the boundaries of the State of California; and WHEREAS, SWRCB has in turn delegated its NPDES permitting authority to the California Regional Water Quality Control Boards to administer the NPDES Permit process within the boundaries of their respective regions; and 4 - MAR - 12005 I1.� 91463.1 1 WHEREAS, the jurisdiction of the California Regional Water g Quality Control 2 Board -San Diego Region ("CRWQCB-SDR") includes that portion of Riverside County known as 3 the Santa Margarita Region; and 4 WHEREAS, DISTRICT was created to provide for the control of flood and storm 5 waters within the County of Riverside and is empowered to investigate, examine, measure, analyze, 6 study and inspect matters pertaining to flood and storm waters; and 7 WHEREAS, on May 30, 2003, DISTRICT, COUNTY and CITIES submitted a 8 Report of Waste Discharge as an application to renew NPDES Permit No. CAS0108766; and 9 WHEREAS, the application for renewal of the NPDES Permit was submitted in 10 accordance with the provisions of the previous NPDES Permit (Order No. R9-98-02, NPDES No. I1 CAS0108766) which expired on November 8, 2003; and 12 WHEREAS, on July 14, 2004, CRWQCB-SDR adopted Order No. R9-2004-001 to 13 serve as Waste Discharge Requirements in accordance with Section 13263(a) of the California Water 14 Code and as an NPDES Permit pursuant to Section 402(p) of the CWA; and 15 WHEREAS, the NPDES Permit issued pursuant to Order No. R9-2004-001 meets 16 17 both the requirements of Section 402(p)(3)(B) of the CWA and those requirements issued under 18 CRWQCB-SDR discretionary authority in accordance with Section 402(a)(1)(B) of the CWA; and 19 WHEREAS, the NPDES Permit designates DISTRICT as "PRINCIPAL 20 PERMITTEE" and DISTRICT, COUNTY and CITIES as "PERMITTEES'; and 21 WHEREAS, cooperation between PERMITTEES in the administration and 22 implementation of the NPDES Permit is in the best interest of PERMITTEES; and 23 WHEREAS, DISTRICT is willing to utilize its staff to coordinate the activities of 24 PERMITTEES to facilitate compliance with the NPDES Permit and CWA requirements; and 25 WHEREAS, DISTRICT established the Santa Margarita Watershed Benefit 26 Assessment Area (the "BENEFIT ASSESSMENT") pursuant to District Ordinance 14 on May 14, 27 1991 to offset the DISTRICT's program and administrative costs associated with the development, 28 implementation and management of the federally -mandated NPDES Program and DISTRICT is willing to use the BENEFIT ASSESSMENT funds to support DISTRICT's role as PRINCIPAL -2- 91463.1 1 PERMITTEE and to support regional program costs to the extent that BENEFIT ASSESSMENT 2 funds are available; and 3 WHEREAS, PERMITTEES are to perform and/or execute certain activities 4 prescribed in the NPDES Permit that will benefit all parties. 5 NOW, THEREFORE, the parties hereto do mutually agree as follows: 6 1. Incorporation of the NPDES Permit. The NPDES Permit issued to 7 PERMITTEES by CRWQCB-SDR pursuant to Order No. R9-2004-001 is attached to this 8 Agreement as Exhibit "A" and is hereby incorporated by reference in its entirety and made a part of 9 this Agreement. 10 2. Delegation of Responsibilities. The responsibilities of each of the parties shall 11 be as described in the NPDES Permit and reiterated as follows: 12 a. DISTRICT shall assume the responsibilities and meet the 13 requirements of the NPDES Permit by: 14 (1) Complying with Section M (Principal Permittee 15 Responsibilities), including providing COUNTY and CITIES 16 an opportunity to review and comment on the Watershed 17 18 Storm Water Management Plan (SWMP), Watershed SWMP 19 Annual Report and any other reports prepared by the District for the Permittees. 20 21 (2) Complying with Sections A through N (Prohibitions, Non - 22 Storm Water Discharges, Receiving Water Limitations, Legal 23 Authority, SWMP, Development Planning, Construction, 24 Existing Development, Education, Illicit Discharge Detection 25 and Elimination Program, Watershed -Based Activities, 26 Monitoring and Reporting Program, and Standard Provisions, 27 respectively), as they pertain to DISTRICT facilities and 28 operations, at no cost to COUNTY and CITIES. (3) Coordinating watershed efforts specified in Provision K. -3- 91463.1 1 b. COUNTY and CITIES shall, at no cost to DISTRICT, assume the 2 responsibilities and meet the requirements of the NPDES Permit for 3 land area within their individual jurisdictions by: 4 (1) Complying with Sections A through N (Prohibitions, Non - 5 Storm Water Discharges, Receiving Water Limitations, Legal 6 Authority, SWMP, Development Planning, Construction, 7 Existing Development, Education, Illicit Discharge Detection 8 and Elimination Program, Watershed -Based Activities, 9 Monitoring and Reporting Program, and Standard Provisions, 10 respectively), as they pertain to COUNTY and CITIES I1 facilities and operations. 12 (2) Demonstrating compliance with NPDES Permit requirements 13 through timely implementation of the approved Individual 14 and Watershed SWMPs and any approved modifications, 15 revisions or amendments thereto. 16 (3) Providing to DISTRICT (on DISTRICT provided forms) 17 information needed to satisfy the reporting requirements as 18 described in the Provisions E, L and K or to respond to 19 information requests from the CRWQCB-SDR. COUNTY 20 and CITIES shall specifically: 21 (a) Submit their Individual SWMPs and data necessary to 22 prepare the Watershed SWMP and Receiving Waters 23 Monitoring Reports no later than September 15 of 24 each year. 25 (b) Provide information on existing MS4 facilities and/or 26 27 other data as it pertains to COUNTY or CITIES 28 facilities when requested by DISTRICT. C. Public Education Program. On behalf of PERMITTEES, DISTRICT -4- 91463.1 1 shall conduct public education activities on a regional basis that focus 2 on reducing pollution of Urban Runoff within the Santa Margarita 3 Region, including radio and print advertising, developing brochures, 4 and attending public events. DISTRICT shall also develop and 5 implement mechanisms to determine the effectiveness of the regional 6 public education program. The COUNTY and CITIES shall be 7 individually responsible for developing and implementing public 8 education programs targeted at individual communities or 9 stakeholders within their respective jurisdictions. 10 ]I d. Monitoring Program. DISTRICT shall perform sampling of surface water and urban runoff in accordance with the provisions of the 12 NPDES Permit Monitoring and Reporting Program (M&RP), 13 Provision II.A. The location of the sampling sites shall be determined 14 by PERMITTEES, subject to approval by CRWQCB-SDR. The 15 PERMITTEES shall be individually responsible for complying with 16 Provision II.B of the M&RP. The DISTRICT shall also enter into a 17 contract with a local lab to provide analysis of water quality samples 18 collected under the M&RP for PERMITTEES. The contract shall be 19 used strictly for water quality samples collected to comply with 20 Provision II of the M&RP. 21 e. Consultant's Services. In the event DISTRICT requires the services j 22 23 of a consultant or consultants to assist in preparing manuals, developing programs or performing studies relevant to the entire 24 25 Santa Margarita Region, the cost of said consultant services shall be 26 shared by PERMITTEES in accordance with the cost sharing 27 provisions set forth in Section 3 of this Agreement. COUNTY and 28 CITIES shall be notified in writing of DISTRICT's request for proposals from consultants, selection of a consultant, consultant's fee, -5- 91463.1 1 contract timetable and payment schedule, and be allowed the 2 opportunity to participate in decisions related to consultant's services. 3 f. Support for Regional Programs. The PERMITTEES shall jointly 4 provide funding for certain regional efforts that benefit the Santa 5 Margarita Region, including but not limited to: County 6 Environmental Health's Compliance Assistance Program; the County 7 Fire Department's Hazardous Materials Team; County Environmental 8 Health's Household Hazardous Waste and Antifreeze, Batteries, Oil 9 and Paint collection program; the DISTRICT's membership with the 10 California Stormwater Quality Association (CASQA) on behalf of I1 PERMITTEES; the DISTRICT's administration of Principal 12 Permittee duties, and other NPDES support activities as needed. 13 Where these programs are implemented countywide in support of 14 other NPDES permit regions, the DISTRICT shall estimate the 15 portion of the total cost of these regional programs that benefits the 16 Santa Margarita Region. 17 g. Regulation and Enforcement. COUNTY and CITIES shall be 18 19 responsible for the regulation and enforcement of local ordinances 20 and regulations within their respective jurisdictions to ensure 21 compliance with the NPDES Permit. This includes the exercise of 22 land use controls, the exercise of police powers and the enforcement 23 of ordinances that COUNTY or CITIES presently have adopted or 24 will adopt in the future. 25 3. Shared Costs. Costs for services to be performed in accordance with Sections 26 2.c., 2.d., 2.e, and 2.f. of this Agreement shall be shared by the PERMITTEES in accordance with 27 the procedure specified below. 28 In December of each year of this Agreement the DISTRICT shall: a. Estimate the costs of services specified in Sections 2.c., 2.d., 2.e. and -6- 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 M 91463.1 21 for the upcoming fiscal year (ESTIMATED COSTS); b. Estimate the DISTRICT's internal costs for developing, implementing and administering the NPDES program in the Santa Margarita Region as specified in 2.a. (INTERNAL COSTS); and C. Estimate the revenues expected from the BENEFIT ASSESSMENT program (the "ASSESSMENT REVENUES"). d. Determine actual costs for NPDES programs administered in the previous fiscal year. e. Determine Credits or Debits (the "CREDITS" or "DEBITS") due to COUNTY and CITIES based on the difference of the actual contributions from the previous fiscal year with the actual contributions provided by the COUNTY and CITIES for that fiscal year. By February 1 of each year of this Agreement, the DISTRICT, CITIES and COUNTY, through a NPDES representative assigned by the General Manager -Chief Engineer, City Managers, and County Executive Office, respectively, shall approve, by majority vote, ESTWATED COSTS for the upcoming fiscal year. 3.1 DISTRICT Contribution The DISTRICT contribution (the "DISTRICT CONTRIBUTION") to programs specified in Sections 2.c., 2.d., 2.e., and 21 for the upcoming fiscal year shall be determined using the following formula: DISTRICT CONTRIBUTION = ASSESSMENT REVENUES — INTERNAL COSTS - 20% ASSESSMENT REVENUE. 1 If the calculation yields a negative result, the DISTRICT shall have no contribution for the upcoming fiscal year other than the INTERNAL COSTS it has incurred. 3.2 COUNTY and CITIES Contribution 1 District retains 20a of assessment revenue as a reserve for District's administrative and program costs associated with the NPDES Permit pursuant to RCFC&WCD Ordinance No. 14. -7- 91463.1 1 The total shared COUNTY and CITIES contribution (the "COMBINED 2 CONTRIBUTION") shall be determined using the following formula: 3 COMBINED CONTRIBUTION = ESTIMATED COSTS — DISTRICT 4 CONTRIBUTION 5 The COUNTY and individual CITIES respective pro rata share of the COMBINED 6 CONTRIBUTION (the "INDIVIDUAL CONTRIBUTION) shall be determined on the basis of an 7 equally weighted average of population and Benefit Assessment Units within the Santa Margarita 8 Region of Riverside County. More specifically, such percentage contribution shall be calculated as 9 the equally weighted average of: 10 a) the population of COUNTY or individual CITIES within the Santa Margarita I 1 Region, divided by the total population of the COUNTY and CITIES in the Santa 12 Margarita Region and; 13 b) the calculated number of Benefit Assessment Units (BAU) for COUNTY or 14 individual CITIES, divided by the total BAU for COUNTY and individual 15 CITIES. 16 The INDIVIDUAL CONTRIBUTION shall be further adjusted by any CREDITS or DEBITS due 17 from the previous fiscal year. 18 The population of CITIES shall be determined by the latest California State 19 20 Department of Finance population figures issued in May of each year. COUNTY population shall 21 be based on the most current Tax Rate Area (TRA) information best fitting the NPDES PERMIT area. 22 23 The BAU count of COUNTY and CITIES shall be estimated by comparing the most 24 current TRA information best fitting the NPDES PERMIT area with the Assessment Rolls from the 25 current fiscal year's BENEFIT ASSESSMENT Engineer's Report. 26 COUNTY and CITIES may generate credits toward payments due by providing labor 27 or services in lieu of cash payments. DISTRICT shall determine value of labor or services based on 28 ESTIMATED COSTS for the fiscal year. Starting in Fiscal Year 2004-2005, DISTRICT shall invoice COUNTY and CITIES -8- 91463.1 1 for INDIVIDUAL CONTRIBUTION in two installments. The first installment, for 50% of 2 INDIVIDUAL CONTRIBUTION, shall be prepared upon approval of this agreement, or after Fiscal 3 Year 2004-2005, at the beginning of the fiscal year, by DISTRICT and paid within 60 days of receipt 4 of invoice from DISTRICT. The second installment, due for the balance of INDIVIDUAL 5 CONTRIBUTION, will be invoiced after January 1 of the current fiscal year and shall be paid by 6 April 30 or within 60 days of invoice from DISTRICT if received after March 1. The COMBINED 7 CONTRIBUTION for COUNTY and CITIES shall not exceed $500,000 annually under this 8 Agreement. 9 4. Term of the Agreement. The term of this Agreement shall commence on the date 10 of execution by the last duly authorized representative of the PERMITTEES. The term of the I 1 Agreement shall be indefinite or as long as required for compliance with the CWA, unless each of 12 the parties withdraws in accordance with the terns of this Agreement. 13 5. Additional Parties. Any City which incorporates after the date of issuance of the 14 NPDES Permit and/or after the date of execution of this Agreement may file a written request with 15 16 DISTRICT asking to be added as a party. Upon receipt of such a request, DISTRICT shall solicit 17 the approval or denial of PERMITTEES. If a majority of the PERMITTEES, each having one, co - 18 equal vote, approves the addition of the City, DISTRICT, on behalf of the PERMITTEES, will ask 19 CRWQCB-SDR to add the City to the NPDES Permit as an additional Permittee. Once the City is 20 made an additional PERMITTEE to the NPDES Permit, this Agreement shall be amended to reflect 21 the addition, and the City shall, thereafter, comply with all provisions of the NPDES Permit and this 22 Agreement. Upon execution of the amended Agreement, the City shall be responsible for the shared 23 costs discussed in Section 3 of this Agreement for the current and any subsequent budget year. 24 6. Withdrawal from the Agreement. Any party may withdraw from this Agreement 25 60 days after giving written notice to DISTRICT and CRWQCB-SDR. The withdrawing party shall 26 agree in such notice to file for a separate NPDES Permit and to comply with all of the requirements 27 established by CRWQCB-SDR. In addition, withdrawal shall constitute forfeiture of all of the 28 withdrawing party's share of the costs paid as described in Section 3. The withdrawing party shall be responsible for all lawfully assessed penalties as a consequence of its withdrawal. The cost -9- 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 91463.1 allocations to the remaining parties shall be recalculated in the following budget year. 7. Non-compliance with Permit Requirements. Any party found to be in non- compliance with the conditions of the NPDES Permit within its jurisdictional boundaries shall be solely liable for any lawfully assessed penalties. Common or joint penalties shall be calculated and allocated between the affected parties in equal shares. 8. Amendments to the Agreement. Except as provided in Section 5, this Agreement may only be amended by consent of all parties to this Agreement. No amendment to this Agreement shall be effective unless it is in writing and signed by the duly authorized representatives of all parties to the Agreement. 9. Authorized Si atones. The General Manager -Chief Engineer of DISTRICT, the Chief Executive Officer of COUNTY and the City Managers of CITIES (or their designees) shall be authorized to execute all documents and take all other procedural steps necessary to file for and obtain an NPDES Permit(s) or amendments thereto. 10. Notices. All notices shall be deemed duly given when delivered by hand; or three (3) days after deposit in the U.S. Mail, postage prepaid. 11. Governing Law. This Agreement shall be governed and construed in accordance with the laws of the State of California. If any provision or provisions of this Agreement shall be determined to be invalid, illegal or unenforceable, the validity, legality and enforceability of the remaining provisions shall not in any way be affected or impaired hereby. 12. Consent to Waiver and Breach. No term or provision hereof shall be deemed waived and no breach excused, unless the waiver or breach is consented to in writing, and signed by the party or parties affected. Consent by any party to a waiver or breach by any other party shall not constitute consent to any different or subsequent waiver or breach. 13. Applicability of Prior Agreements. This Agreement and the exhibits attached hereto constitute the entire Agreement between the parties with respect to the subject matter; all prior agreements, representations, statements, negotiations and undertakings are superseded hereby. 14. Execution in Counterparts. This Agreement may be executed and delivered in any number of counterparts or copies (counterparts) by the parties hereto. When each party has -10- 7 8 9 10 11 12' 13i 14 15' 16 1 17 18 19 20 21 22 23 24 25 26 27 28 91463.1 signed and delivered at least one counterpart to the other parties hereto, each counterpart shall be deemed an original and, taken together, shall constitute one and the same Agreement, which shall be binding and effective as to the parties hereto. -11- 2 3 4 5 6 7 8 9 10 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 PA 91463.1 IN WITNESS WHEREOF, the parties have caused this Agreement to be executed as of the date the last duly authorized representative executed it. This Agreement will only become effective when fully executed by each of the parties hereto. IVERSIDE COUNTY FLOOD CONTROL BRyB COMMENDE F�PROVAL: AND WATER CONSERVATION DISTRIC3 Y WARREN D. WILLIAMS MARIO ASHLEY, Chai an General Manager -Chief Engineer District Board of Supervisors Dated: APPROVED AS TO FORM: ATTEST: WILLIAM C. KATZENSTEIN County Counsel By DAVID H. K. HUFF, Deputy Uounty Executive Utticer Dated: JU:MHW:blj 01/03/05 NANCY ROMERO By Clerk to the card / Deputy (SEAL) COUNTY OF RIVERSIDE By I' (ZJ4 �^-,'1 MARIO ASHLEY, Chairman Riverside County Board of Supervisors ATTEST: NANCY ROMERO Clerk to the Board By Deputy (SEAL) -12- 4AP, - 12005 it •5r 91463.1 IN WITNESS WHEREOF, the parties have caused this Agreement to be executed as of the date the last duly authorized representative executed it. This Agreement will only become effective when fully executed by each of the parties hereto. i MENDED FOR APPROVAL: 7 By WARREN D. WILLIAMS General Manager -Chief Engineer Riverside County Flood Control apd Water Conservation APPROVED AS TO FORM: WILLIAM C. KATZENSTEIN C ounsel By _ VID H. K. HUFF, Deputy Dated: (Z 2 2- S MENDED FOR APPROVAL: By LARRY PARRISH County Executive Officer J J:MHW:blj 11/16/04 Tr SIDE COUNTY FLOOD CONTROL AND WANSERVATION DISTRICT By - JAMES A. VENABLE, Chairman District Board of Supervisors ATTEST: Y ROMERO Clerk to the 7 By Deputy (SEAL) 1 Y OF RIVERSIDE By ROY WILSON, Chairman Riverside County Board of Supervisors ATTEST: Y ROMERO Clerk to the By 7 Deputy (SEAL) -13- APPROVED AS TO FORM: B City Attomey 91463.1 CITY OF MURRIETA ATTEST: By Dated: City Clerk -14- APPROVED AS TO FORM: TEMECULA wl": . �,,._, ., r C-- Peter M. Thorson ney Dated: / /2/, /� -14- 91463.1 Item No. 8 Approvals City Attorney /V Director of Finance City Manager CITY OF TEMECULA AGENDA REPORT TO: City Manager/City Council FROM: Aaron Adams, Assistant City Manager DATE: March 9, 2010 SUBJECT: Support of the Local Taxpayer, Public Safety, and Transportation Protection Act of 2010 (at the Request of Council Member Washington) PREPARED BY: Tamra Middlecamp, Senior Management Analyst RECOMMENDATION: That the City Council Adopt a resolution entitled: RESOLUTION NO. 10- A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF TEMECULA EXPRESSING THE CITY COUNCIL'S SUPPORT FOR THE LOCAL TAXPAYER, PUBLIC SAFETY, AND TRANSPORTATION PROTECTION ACT OF 2010, WHICH IS A BALLOT MEASURE SCHEDULED FOR THE NOVEMBER 2010 STATEWIDE BALLOT, AND WOULD PROHIBIT THE STATE FROM TAKING, BORROWING OR REDIRECTING LOCAL TAXPAYER FUNDS DEDICATED TO PUBLIC SAFETY, EMERGENCY RESPONSE AND OTHER VITAL GOVERNMENT SERVICES. BACKGROUND: California voters have overwhelmingly passed separate ballot measures to prevent the State from taking local government, transit and transportation funds. Despite this, the State recently passed a budget that borrows and takes approximately $5 billion in city, county, transit, redevelopment and special district funds this year and the State continues to threaten to borrow or take billions in transportation funds every year. The borrowing and raiding of local government and transportation funds jeopardize our local economy and business climate. Each year the State attempts to take or borrow local government and transportation and transit funding using loopholes, or illegal funding diversions that have only been stopped after lengthy court battles. This year alone, the Legislature: Borrowed approximately $2 billion in property taxes from local governments, despite no clear path to repay these funds. Took $2.05 billion in local redevelopment funds, despite a recent Superior Court ruling that says these types of raids are unconstitutional. Shifted $910 million in transit funding away from local transit agencies. The courts have since ruled these types of raids are unconstitutional. Voted to take more than $1 billion of the local government share of the Highway User Tax (HUTA) to repay state bond debt (but the measure stalled in the Assembly). These are funds that have always been used to finance local roads and maintenance. Took action to eliminate the state sales tax on gasoline (Prop 42 funds) and HUTA and replace with a gasoline "fee" that would have no constitutional protection from future raids by the legislature (the Governor ultimately vetoed this measure). Threatened to borrow Prop 42 transportation funds to address the State's deficit. This measure would close loopholes in current law that the legislature has exploited to take or divert local funds. It would also tighten sections of the law to prevent State funding raids of local government and transportation funds before they happen. The League of California Cities is providing funding and support for this ballot measure with non-public funds. FISCAL IMPACT: None. ATTACHMENTS: Resolution. RESOLUTION NO. 10- A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF TEMECULA EXPRESSING THE CITY COUNCIL'S SUPPORT FOR THE LOCAL TAXPAYER, PUBLIC SAFETY, AND TRANSPORTATION PROTECTION ACT OF 2010, WHICH IS A BALLOT MEASURE SCHEDULED FOR THE NOVEMBER 2010 STATEWIDE BALLOT, AND WOULD PROHIBIT THE STATE FROM TAKING, BORROWING OR REDIRECTING LOCAL TAXPAYER FUNDS DEDICATED TO PUBLIC SAFETY, EMERGENCY RESPONSE AND OTHER VITAL GOVERNMENT SERVICES THE CITY COUNCIL OF THE CITY OF TEMECULA DOES HEREBY RESOLVE AS FOLLOWS: WHEREAS, California voters have repeatedly and overwhelmingly passed separate ballot measures to stop State raids of local government funds, and to dedicate the taxes on gasoline to fund transportation improvement projects; and WHEREAS, these local government funds are critical to provide the police and fire, emergency response, parks, libraries, and other vital local services that residents rely upon every day, and gas tax funds are vital to maintain and improve local streets and roads, to make road safety improvements, relieve traffic congestion, and provide mass transit; and WHEREAS, despite the fact that voters have repeatedly passed measures to prevent the State from taking these revenues dedicated to funding local government services and transportation improvement projects, the State Legislature has seized and borrowed billions of dollars in local government and transportation funds in the past few years; and WHEREAS, this year's borrowing and raids of local government, redevelopment and transit funds, as well as previous, ongoing raids of local government and transportation funds, have lead to severe consequences, such as layoffs of police, fire and paramedic first responders, fire station closures, stalled economic development, healthcare cutbacks, delays in road safety improvements, public transit fare increases and cutbacks in public transit services; and WHEREAS, State politicians in Sacramento have continued to ignore the will of the voters, and current law provides no penalties when state politicians take or borrow these dedicated funds; and WHEREAS, a coalition of local government, transportation and transit advocates recently filed a constitutional amendment with the California Attorney General, called the Local Taxpayer, Public Safety, and Transportation Protection Act of 2010, for potential placement on California's November 2010 statewide ballot; and WHEREAS, approval of this ballot initiative would close loopholes and change the Constitution to further prevent State politicians in Sacramento from seizing, diverting, shifting, borrowing, transferring, suspending or otherwise taking or interfering with tax revenues dedicated to funding local government services, including redevelopment, or dedicated to transportation improvement projects and mass transit. THEREFORE, BE IT RESOLVED that CITY formally endorses the Local Taxpayer, Public Safety, and Transportation Protection Act of 2010, a proposed constitutional amendment. BE IT FURTHER RESOLVED that we hereby authorize the listing of LOCAL GOVERNMENT in support of the Local Taxpayer, Public Safety, and Transportation Protection Act of 2010. PASSED, APPROVED, AND ADOPTED by the City Council of the City of Temecula this 9th day of March, 2010. Jeff Comerchero, Mayor ATTEST: Susan W. Jones, MMC City Clerk [SEAL] STATE OF CALIFORNIA ) COUNTY OF RIVERSIDE ) ss CITY OF TEMECULA ) I, Susan W. Jones, MMC, City Clerk of the City of Temecula, do hereby certify that the foregoing Resolution No. 10- was duly and regularly adopted by the City Council of the City of Temecula at a meeting thereof held on the 9th day of March, 2010, by the following vote: F-Ayd:.�Ko1l1►[MIN diIAdi1:l4:63 1►to] x.�Ko1l1►[MIN d/IAd/l1J4:&1 ABSENT: COUNCIL MEMBERS: ABSTAIN: COUNCIL MEMBERS: Susan W. Jones, MMC City Clerk Item No. 9 Approvals City Attorney /V Director of Finance City Manager CITY OF TEMECULA AGENDA REPORT TO: City Manager/City Council FROM: Patrick Richardson, Director of Planning and Redevelopment DATE: March 9, 2010 SUBJECT: Designation of March 2010 as Census Month - at the request of Council Member Washington PREPARED BY: Dale West, Associate Planner RECOMMENDATION: That the City Council Adopt a resolution entitled: RESOLUTION NO. 10- A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF TEMECULA TO SUPPORT THE UNITED STATES CENSUS — MAKE YOURSELF COUNT MONTH MARCH 2010 BACKGROUND: The U.S Constitution requires the count of every resident in the United States every ten years through a census count process. The information gathered during the census count is used to draw congressional districts and to distribute federal aid to state, local and tribal governments. Federal aid is distributed for hospitals, schools, senior centers, infrastructure, and emergency services based on the demographic data generated by the census. In March 2010 Census forms will be delivered to every resident in the United States, with the goal of returning the forms by April 1, 2010. By July 2010, the Census data collection process will be complete and the Census Bureau will begin the process of assembling the data. To demonstrate commitment to the census and the goal to count everyone in the City of Temecula, a resolution designating the month of March 2010 as "Make Yourself Count Month" is attached to this report. The resolution emphasizes the importance of achieving an accurate count by encouraging the public to participate by completing census forms and returning it to the U.S. Census Bureau. FISCAL IMPACT: None ATTACHMENTS: Resolution RESOLUTION NO. 10- A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF TEMECULA TO SUPPORT THE UNITED STATES CENSUS — MAKE YOURSELF COUNT MONTH MARCH 2010 THE CITY COUNCIL OF THE CITY OF TEMECULA DOES HEREBY RESOLVE AS FOLLOWS: Section 1. The City of Temecula supports an accurate and complete Census count; and A. The Census is a mechanism for the allocation of federal funds and determination of political representation. B. Participation in the Census by mail response is the most cost effective method of enumeration. C. Focusing attention on Census participation, the City of Temecula can help the region ensure an accurate count of population. D. Census Month is an opportunity for government, industry, and community based organizations to recognize the potential of an accurate Census and to work together to encourage participation for a prosperous and sustainable future; Section 2. The City of Temecula does hereby proclaim that March 2010 is Census Month, thereby urging all community members and businesses in Western Riverside County to fully participate in local and regional promotion and educational activities in order to achieve a complete 2010 Census count for the subregion. PASSED, APPROVED, AND ADOPTED by the City Council of the City of Temecula this 9 day of March, 2010. Jeff Comerchero, Mayor ATTEST: Susan W. Jones, MMC City Clerk [SEAL] STATE OF CALIFORNIA ) COUNTY OF RIVERSIDE ) ss CITY OF TEMECULA ) I, Susan W. Jones, MMC, City Clerk of the City of Temecula, do hereby certify that the foregoing Resolution No. 10- was duly and regularly adopted by the City Council of the City of Temecula at a meeting thereof held on the 9 day of March, 2010, by the following vote: AYES: COUNCIL MEMBERS: NOES: COUNCIL MEMBERS: IG1011�Ko1l1►NllNdiIAdil:l:4:& 1 ABSTAIN: COUNCIL MEMBERS: Susan W. Jones, MMC City Clerk Item No. 10 Approvals City Attorney /V Director of Finance City Manager CITY OF TEMECULA AGENDA REPORT TO: City Manager/City Council FROM: Herman D. Parker, Director of Community Services DATE: March 9, 2010 SUBJECT: Approve Payment for Golden Valley Music Society, Inc. PREPARED BY: Barbara Smith, Senior Management Analyst RECOMMENDATION: That the City Council approve the payment to Golden Valley Music Society, Inc. in the amount of $36,375 for services provided from December 13, 2007 to March 31, 2010. BACKGROUND: On December 13, 2007, the City entered into a non-exclusive agreement with Golden Valley Music Society, Inc. to provided bands, orchestras, groups of musicians or an individual musician to perform at the Old Town Temecula Community Theater and Merc. Our "Classics at the Merc" program held on Sunday afternoons is an example of the services provided by Golden Valley Music Society. Due to the success of the programs like "Classics at the Merc", payments from December 13, 2007 to present have totaled $36,375. FISCAL IMPACT: The payments from prior fiscal years were appropriated in past fiscal year's budget. These amounts were $6,000 in FY 2007-2008 and $15,750 in FY 2008- 2009. The remaining amount of $14,625 paid in FY 2009-2010 has been appropriated in the current operating budget. ATTACHMENTS: Agreement for Procurement of Muscial Services betweeen the City of Temecula and the Golden Valley Music Society, Inc. AGREEMENT FOR PROCUREMENT OF MUSICAL SERVICES BETWEEN THE CITY OF TEMECULA AND THE GOLDEN VALLEY MUSIC SOCIETY, INC THIS AGREEMENT is made and effective as of 13 December 2007, between the City of Temecula, a municipal corporation ("City") and the Golden Valley Music Society Inc., a California not-for-profit corporation ("Contractor"). In consideration of the mutual covenants and conditions set forth herein, the parties agree as follows: 1. TERM. This Agreement shall commence on 13 December 2007, and shall remain and continue in effect until 12 December 2010, unless sooner terminated pursuant to the provisions of this Agreement. 2. SERVICES. a. Upon request of the City, Contractor shall assemble a band, orchestra, group of musicians or an individual musician to perform at venues within the City of Temecula ("Musicians"), Contractor shall match the skill and experience of the Musicians to the type of music and performance requested by the City. b. The Director of Community Services ("Director") shall be the person designated to request the assembly of Musicians for the City. The Director may delegate this authority to another City employee and if it is so delegated, the Director shall notify the Contractor in writing that the designees who are authorized to request the assembly of Musicians for the City and the limitations, if any, on their authority. C. The process for assembling Musicians shall begin when the Director transmits a Request for Musicians to the Contractor, by facsimile or email at such addresses designated by the Contractor ("Request'). The Request shall contain the following information: (1) date of event; (2) venue; (3) the time of the event; (4) type of music to be played; (5) the number of musicians required; (6) the types of musical instruments required; and (7) the type of clothing to be worn by the musicians. d. As soon as possible following receipt of the request, but not later than 24 hours, Contractor shall acknowledge receipt of the Request. e. As soon as possible but not later than ten working days following receipt of the Request, Contractor shall submit a proposal to the City for the assembly of Musicians ("Proposal"). The Proposal shall state: (1) the date and location of the performance; (2) the type of music to be performed; (3) the Musicians and the instruments they will be performing on; (4) the individual rate for the Musicians; (5) additional costs not reflected in the rates of the Musicians; (6) the times the Musicians will perform; (7) any special needs of the Musicians which will be part of the Proposal; (8) total fees and costs of the proposal; (9) time and terms for payment; and (10) that the proposal shall be subject to the terms of this Agreement. f. Within five (5) working days after receipt of the Proposal, the Director shall notify Contractor of his or her acceptance of the Proposal by email or facsimile. Contractor shall acknowledge receipt of this notice by facsimile or email as soon as possible, but no later than 24 hours. g. Upon acceptance of the Proposal by the Director, the parties acknowledge that a binding amendment to this Agreement exists composed of the Request, Proposal and the Director's acceptance of the Proposal, which will be subject to the terms of this Agreement and may be enforced by the terms of this Agreement. h. This Agreement is non-exclusive. Contractor acknowledges and agrees that the City retains the right to seek proposals from other pasties for the assembly of musical services for venues within the City. 3. RESPONSIBILITIES OF THE CONTRACTOR. a. Contractor shall at all time faithfully, competently and to the best of his or her ability, experience, and talent, perform all tasks described herein. Contractor shall employ, at a minimum, generally accepted standards and practices utilized by persons engaged in providing similar services as are required of Contractor hereunder in meeting its obligations under this Agreement. b. Contractor shall be fully responsible for the payment of all wages, taxes, union fees, workers compensation insurance for the musicians, and withholdings required by applicable laws or regulations. C. Contractor shall be fully responsible for paying any legally required royalties of fees for the use by the Musicians of copyrighted material unless advised in writing by the Director that the City or another performer has paid such royalties or fees. d. Contractor and the Musicians shall comply at all times with all applicable copyright laws. 4. PAYMENT. The City agrees to pay Contractor the costs and fees for each performance according to the terms of the Proposal accepted by the Director. 5. SUSPENSION OR TERMINATION OF AGREEMENT The City may at any time, for any reason, with or without cause, suspend or terminate this Agreement by serving upon the Contractor at least ten (10) days prior written notice. The City may, in its sole discretion, rescind its termination of the Agreement within this 10 - day period. 6. INDEMNIFICATION. The Contractor agrees to defend, indemnify, protect and hold harmless the City, its officers, officials, employees and volunteers from and against any and all claims, demands, losses, defense costs or expenses, including attorney fees and expert witness fees, or liability of any kind or nature which the City, its officers, agents and employees may sustain or incur or which may be imposed upon them for injury to or death of persons, or damage to property arising out of Contractor's negligent or wrongful acts or omissions arising out of or in any way related to the performance or non-performance of this Agreement, excepting only liability arising out of the negligence of the City. 7. _INSURANCE REQUIREMENTS. Contractor shall procure and maintain for the duration of the contract insurance against claims for injuries to persons or damages to property, which may arise from or in connection with the performance of the work hereunder by the Contractor, its agents, representatives, or employees. as: a. Minimum Scope of Insurance. Coverage shall be at least as broad (I) Insurance Services Office Commercial General Liability form No. Co 00 01 1185 or 88. (2) Worker's Compensation insurance as required by the State of California and Employer's Liability Insurance. If the Contractor has no employees while performing under this Agreement, worker's compensation insurance is not required, but Contractor shall execute a declaration that it has no employees. less than: b. Minimum Limits of Insurance. Contractor shall maintain Iimits no (1) General Liability: $1,000,000 per occurrence for bodily injury, personal injury and property damage. If Commercial General Liability Insurance or other form with a general aggregate limit is used, either the general aggregate limit shall apply separately to this project/location or the general aggregate limit shall be twice the required occurrence limit. (2) Worker's Compensation as required by the State of California; Employer's Liability: One million dollars ($1,000,000) per accident for bodily injury or disease. C. Deductibles and Self -Insured Retentions. Any deductibles or self- insured retentions must be declared to and approved by the City Manager. At the option of the City Manager, either the insurer shall reduce or eliminate such deductibles or self- insured retentions as respects the City, its officers, officials, employees and volunteers; or the Contractor shall procure a bond guaranteeing payment of losses and related investigations, claim administration and defense expenses. d. Other Insurance Provisions. The general liability and automobile liability policies are to contain, or be endorsed to contain, the following provisions: (1) The City, Temecula Community Services District, Redevelopment Agency of the City of Temecula, their officers, officials, employees and volunteers are to be covered as insured's as respects: liability arising out of activities performed by or on behalf of the Contractor; products and completed operations of the Contractor; premises owned, occupied or used by the Contractor; or automobiles owned, leased, hired or borrowed by the Contractor. The coverage shall contain no special limitations on the scope of protection afforded to the City, Temecula Community Services District, Redevelopment Agency of the City of Temecula, their officers, officials, employees or volunteers. (2) For any claims related to this project, the Contractor's insurance coverage shall be primary insurance as respects the City, its officers, officials, employees and volunteers. Any insurance or self-insured maintained by the City, Temecula Community Services District, Redevelopment Agency of the City of Temecula, their officers, officials, employees or volunteers shall be excess of the Contractor's insurance and shall not contribute with it. (3) Any failure to comply with reporting or other provisions of the policies including breaches of warranties shall not affect coverage provided to the City Temecula Community Services District, Redevelopment Agency of the City of Temecula, their officers, officials, employees or volunteers. (4) The Contractor's insurance shall apply separately to each insured against whom claim is made or suit is brought, except with respect to the limits of the insurer's liability. (5) Each insurance policy required by this clause shall be endorsed to state that coverage shall not be suspended, voided, canceled by either party, reduced in coverage or in limits except after thirty (30) days' prior written notice by certified mail, return receipt requested, has been given to the City. e. Acceptability of Insurers. Insurance is to be placed with insurers with a current A.M. Best's rating of no less than A:VII, unless otherwise acceptable to the City. Self insurance shall not be considered to comply with these insurance requirements. f. Verification of Coverage. Contractor shall furnish the City with original endorsements effecting coverage required by this clause. The endorsements are to be signed by a person authorized by that insurer to bind coverage on its behalf. The endorsements are to be on forms provided by the City. All endorsements are to be received and approved by the City before work commences. As an alternative to the City's forms, the Contractor's insurer may provide complete, certified copies of all required insurance policies, including endorsements effecting the coverage required by these specifications. 8. INDEPENDENT CONTRACTOR. a. Contractor is and shall at all times remain as to the City a wholly independent contractor. The personnel performing the services under this Agreement on behalf of Contractor shall at all times be under Contractor's exclusive direction and control. Neither City nor any of its officers, employees, agents, or volunteers shall have control over the conduct of Contractor or any of Contractor's officers, employees, or agents except as set forth in this Agreement. Contractor shall not at any time or in any manner represent that it or any of its officers, employees or agents are in any manner officers, employees or agents of the City. Contractor shall not incur or have the power to incur any debt, obligation or liability whatever against City, or bind City in any manner. b. No employee benefits shall be available to Contractor in connection with the performance of this Agreement, Except for the fees paid to Contractor as provided in the Agreement, City shall not pay salaries, wages, or other compensation to Contractor for performing services hereunder for City. City shall not be liable for compensation or indemnification to Contractor for injury or sickness arising out of performing services hereunder. 9. LEGAL RESPONSIBILITIES. The Contractor shall keep itself informed of all local, State and Federal ordinances, laws and regulations which in any manner affect those employed by it or in any way affect the performance of its service pursuant to this Agreement. The Contractor shall at all times observe and comply with all such ordinances, laws and regulations. The City, and its officers and employees, shall not be liable at law or in equity occasioned by failure of the Contractor to comply with this section. 10. NOTICES. Any notices which either party may desire to give to the other party under this Agreement must be in writing and may be given either by (1) personal service, (ii) delivery by a reputable document delivery service, such as but not limited to, Federal Express, that provides a receipt showing date and time of delivery, or (iii) mailing in the United States Mail, certified mail, postage prepaid, return receipt requested, addressed to the address of the party as set forth below or at any other address as that party may later designate by Notice. Notice shall be effective upon delivery to the addresses specified below or on the third. business day following deposit with the document delivery service or United States Mail as provided above. To City: City of Temecula Mailing Address: P.O. Box 9033 Temecula, California 92589-9033 43200 Business Park Drive Temecula, California 92590 Attention: Director of Community Services To Contractor: Golden Valley Music Society PO Box 272 Murrieta, CA 92564 11. ASSIGNMENT. The Contractor shall not assign the performance of this Agreement, nor any part thereof, nor any monies due hereunder, without prior written consent of the Director. 12. LICENSES. At all times during the term of this Agreement, Contractor shall have in full force and effect, all licenses required of it by law for the performance of the services described in this Agreement. 13. GOVERNING LAW. The City and Contractor understand and agree that the laws of the State of California shall govern the rights, obligations, duties and liabilities of the parties to this Agreement and also govern the interpretation of this Agreement. Any litigation concerning this Agreement shall take place in the municipal, superior, or federal district court with geographic jurisdiction over the City of Temecula. In the event such litigation is filed by one party against the other to enforce its rights under this Agreement, the prevailing party, as determined by the Court's judgment, shall be entitled to reasonable attorney fees and litigation expenses for the relief granted. 14. PROHIBITED INTEREST. No officer, or employee of the City of Temecula shall have any financial interest, direct or indirect, in this Agreement, the proceeds thereof, the Contractor, or Contractor's sub -contractors for this project, during his/her tenure or for one year thereafter. The Contractor hereby warrants and represents to the City that no officer or employee of the City of Temecula has any interest, whether contractual, non -contractual, financial or otherwise, in this transaction, or in the business of the Contractor or Contractor's sub -contractors on this project. Contractor further agrees to notify the City in the event any such interest is discovered whether or not such interest is prohibited by law or this Agreement. 15. ENTIRE AGREEMENT. This Agreement contains the entire understanding between the parties relating to the obligations of the parties described in this Agreement. All prior or contemporaneous agreements, understandings, representations and statements, oral or written, are merged into this Agreement and shall be of no further force or effect. Each party is entering into this Agreement based solely upon the representations set forth herein and upon each party's own independent investigation of any and all facts such party deems material. 16. AUTHORITY TO EXECUTE THIS AGREEMENT. The person or persons executing this Agreement on behalf of Contractor warrants and represents that he or she has the authority to execute this Agreement on behalf of the Contractor and has the authority to bind Contractor to the performance of its obligations hereunder. IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed the day and year first above written. CIT OF E LA Shawn . elson, City Manager Attest: W. J¢nks, CMC, City Approved As to Form: Peter M. Thorson, City Attome);�r CONTRACTOR Golden Valley Music Society PO Box 272 Murrieta, CA 92564 Attn: Luanne Ferrer 951.698.1035 gyc�ryO.tc�utJ �• ��^-UUcC�� Name: C llLi t1 cJc r ��%CF%�J Title: �716A (Two Signatures of Corporate Officers Required.ior Corporations) LS Item No. I I ORDINANCE NO. 10-04 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF TEMECULA FOR THE SANTA MARGARITA AREA ANNEXATION NO. 2 PRE -ZONING APPROXIMATELY 4,510 ACRES, LOCATED IMMEDIATELY SOUTHWEST OF THE PRE-EXISTING CITY OF TEMECULA BOUNDARY LINE, WEST OF INTERSTATE -15 AND NORTH OF THE SAN DIEGO COUNTY AND RIVERSIDE COUNTY BOUNDARY WITH ZONING DESIGNATIONS HILLSIDE RESIDENTIAL -SANTA MARGARITA (HR -SM) AND CONSERVATION DISTRICT -SANTA MARGARITA (OS -C -SM) (LR09-0024) THE CITY COUNCIL OF THE CITY OF TEMECULA DOES ORDAIN AS FOLLOWS: Section 1. Procedural Findings. The City Council of the City of Temecula does hereby find, determine and declare that: A. On December 9, 2008, the City Council adopted Resolution No. 08-110 certifying the Final Environmental Impact Report prepared for the Santa Margarita Area Annexation (No. 1), a proposed expansion of the City of Temecula's Sphere of Influence and Annexation to the City of Temecula and the Temecula Community Services District of approximately 4,997 acres located immediately southwest of the City of Temecula Boundary line, west of Interstate -15. The City Council also adopted findings pursuant to the California Environmental Quality Act, adopted a statement of overriding considerations and adopted a mitigation monitoring and reporting program in connection therewith (collectively, "Certified Final Environmental Impact Report" or "Certified Final E I R"). B. On December 9, 2008, the City Council adopted Resolution Nos. 08-111 and 08-112 to apply to the Local Agency Formation Commission ("LAFCO") for an expansion of the City of Temecula's Sphere of Influence and Annexation to the City of Temecula and the Temecula Community Services District of approximately 4,997 acres located immediately southwest of the City of Temecula Boundary line, west of Interstate -15 ("Santa Margarita Annexation Area") C. On December 9, 2008, the City Council adopted Resolution No. 08-113 amending the General Land Use Map within the Santa Margarita Area Annexation, contingent upon LAFCO's approval of the annexation. D. On December 9, 2008, the City Council adopted Ordinance No. 08-14 prezoning the territory of the Santa Margarita Area Annexation, contingent upon LAFCO's approval of the annexation. E. On December 9, 2008, the City Council adopted Ordinance No. 08-15 amending the official zoning map of the City of Temecula by adopting zoning R:/Ords 2010/Ords 10-04 designations Hillside -Santa Margarita (SM) and Open Space Conservation District — Santa Margarita (OS -C -SM) and adopting Hillside Development Standards for the Santa Margarita Area Annexation, contingent upon LAFCO's approval of the annexation. F. Thereafter, the City of Temecula submitted to LAFCO a Sphere of Influence Amendment Application and Annexation Application along with requisite application submittal documents in connection therewith for the Santa Margarita Area Annexation proposal ("LAFCO Applications"). G. On May 12, 2009, the City Council adopted Resolution No. 09-42 confirming that the proposal for the Santa Margarita Area Annexation was pursuant to the Cortese -Knox -Hertzberg Local Government Reorganization Act of 2000, commencing with Section 56000 of the California Government Code. H. On June 4, 2009, LAFCO denied the LAFCO Applications made by the City for the Santa Margarita Area Annexation proposal and approved the City's Municipal Service Review; and adopted resolutions in connection therewith on June 25, 2009. I. On July 23, 2009, the City of Temecula submitted an Application for Reconsideration by LAFCO of the LAFCO Applications for the Santa Margarita Area Annexation proposal. The City's proposal removed approximately 487 acres of the southeast corner of the uninhabited 4,997 -acre Santa Margarita Area Annexation territory, and included revised boundaries of the Sphere of Influence expansion from 4,443 acres to 4,126 acres to match the boundaries of the area to be annexed to the City of Temecula and the Temecula Community Services District comprising of 4,510 acres of that certain uninhabited territory located immediately southwest of the City of Temecula boundary line, west of Interstate 15, and north of the San Diego/Riverside County boundary as depicted on the maps attached hereto as Exhibits 1 and 3, and incorporated herein as though set forth in full ("Santa Margarita Area Annexation No. 2"). J. On September 24, 2009 LAFCO denied the City's Application for Reconsideration and determined the City of Temecula must file a new LAFCO Sphere of Influence Amendment Application and a new LAFCO Annexation Application to proceed with the Santa Margarita Area Annexation No. 2 proposal. K. On December 3, 2009 LAFCO voted unanimously to waive the one-year waiting period to allow the City to proceed with LAFCO Sphere of Influence Amendment and Annexation Applications for the Santa Margarita Area Annexation No. 2 proposal and LAFCO approved a reduction in the application fees by fifty percent. L. On January 12, 2010, the City Council adopted Resolution No. 10-03 authorizing the preparation of documents and actions necessary to proceed with a Sphere of Influence Amendment and Annexation Application for the Santa Margarita Area Annexation No. 2 proposal pursuant to the Cortese -Knox -Hertzberg Local R:/Ords 2010/Ords 10-04 2 Government Reorganization Act of 2000 commencing with Section 56000 of the California Government Code. M. The City of Temecula proceeded with the preparation of documents associated with the Santa Margarita Area Annexation No. 2 proposal including a General Plan amendment to the Land Use Map, zoning amendment to Title 17 of the Temecula Municipal Code including hillside development standards and pre -zoning designations, and Sphere of influence and Annexation applications (LR09-0024) in a manner in accord with the City of Temecula General Plan and Municipal Code and are hereby incorporated by reference, for the property consisting of approximately 4,510 acres located immediately southwest of the City of Temecula boundary, west of Interstate 15 and north of the San Diego County/Riverside County boundary referred to as the Santa Margarita Area Annexation No. 2 proposal (collectively, the "Amendment'). N. The Amendment was processed including, but not limited to a public notice, in the time and manner prescribed by State and local law, including the California Environmental Quality Act and pursuant to the Cortese -Knox -Hertzberg Local Government Reorganization Act of 2000 commencing with section 56000 of the California Government Code. O. An Addendum to the Certified Final EIR was prepared for the Santa Margarita Area Annexation No. 1 ("Addendum") in accordance with the California Environmental Quality Act and the California Environmental Quality Act Guidelines ("CEQA") to address the reduced boundaries of the Santa Margarita Area Annexation proposal that comprise the Santa Margarita Annexation Area No. 2 proposal. P. The Planning Commission considered the Addendum to the Certified Final EIR and the various components of the Amendment on February 3, 2010, at a duly noticed public hearing as prescribed by law, at which time the City staff presented its report and interested persons had an opportunity to and did testify either in support or in opposition to this matter. Q. Following consideration of the entire record of information received at the public hearing and due consideration of the proposed Amendment and Addendum to the Certified Final EIR, the Planning Commission adopted Resolution No. 10-02 recommending that the City Council approve the Addendum to the Certified Final EIR, adopt findings pursuant to the California Environmental Quality Act, adopt a Statement of Overriding Considerations and adopt a Mitigation Monitoring and Reporting Program. R. At the conclusion of the Planning Commission hearing and after due consideration of the entire record before the Planning Commission hearing, and after due consideration of the testimony regarding the proposed Amendment, the Planning Commission adopted Resolution No. 10-03 recommending that the City Council approve the Amendment including: (1) approve a Resolution amending the General Plan Land Use Element to incorporate Hillside Residential (HR) and Open Space (OS) as the General Plan Land Use Designations within the Santa Margarita Area Annexation No 2; (2) approve a pre -zoning Ordinance for the pre -zoning of the Santa R:/Ords 2010/Ords 10-04 3 Margarita Area Annexation No. 2; and (3) approve a zoning Ordinance amending Title 17 of the Temecula Municipal Code and amending the official zoning map of the City of Temecula by adopting zoning designations Hillside Residential -Santa Margarita (HR - SM) and Conservation District -Santa Margarita (OS -C -SM) and adopting Hillside Development Standards for a pre -zoning of the Santa Margarita Area Annexation No. 2. S. On February 23, 2010, the City Council of the City of Temecula considered the Addendum to the Certified Final EIR and the various components of the Amendment, at a duly noticed public hearing as prescribed by law, at which time the City staff presented its report and interested persons had an opportunity to and did testify either in support or in opposition to this matter. After considering all the testimony and comments and the entire record concerning the components of the Amendment and the Addendum to the Certified Final EIR, the City Council adopted Resolution No. 10-16, approving the Addendum to the Certified Final EIR, adopting findings pursuant to the California Environmental Quality Act, adopting a Statement of Overriding Considerations and adopting a Mitigation Monitoring and Reporting Program. T. On February 23, 2010, the City Council of the City of Temecula held a duly noticed public hearing on the proposed Amendment at which time all persons interested in the proposed Amendment had the opportunity to, and did, address the City Council on these matters. Following receipt of all public testimony the City Council closed the hearing. . Section 2. Legislative Findings. The City Council in approving the Pre -Zoning, hereby finds, determines and declares that: A. The Proposed Amendment implements the direction, goals and policies of the City's General Plan. The proposed Pre -Zone implements the proposed and existing General Plan Land Use Designations, which ultimately implements the direction, goals and policies outlined within the City of Temecula General Plan. The Pre -Zone applies Zoning Districts within the Development Code to match the boundaries of the proposed General Plan Land Use Designations for the Santa Margarita Area Annexation (No. 2). The Santa Margarita Area Annexation (No. 2) encompasses approximately 4,510 acres of which 4,284 acres propose Conservation—Santa Margarita (OS -C -SM) as the Zoning District to implement the Open Space (OS) General Plan Land Use Designation and 225 acres propose Hillside Residential— Santa Margarita (HR -SM) as the Zoning District to implement the Hillside Residential (HR) General Plan Land Use Designation. The proposed Pre -Zoning for the Santa Margarita Area Annexation (No. 2) are consistent with goals, policies and implementation programs as outlined in the adopted City of Temecula General Plan including, but not limited to, the General Plan Land Use Policies identified within Table 3.4-3 of the EIR and the General Plan Goals, Policies and Implementation Programs as follows: R:/Ords 2010/Ords 10-04 4 -The Open Space Element (Water Resources Pages OS -23 and OS -24) calls for the protection of the Santa Margarita River from development impacts supported by Goal OS -2, Policies 2.1 and 2.9. -The Open Space Element (Biological Resources Pages OS -25 and OS - 26) emphasizes permanent dedication of open spaces in and around the community aimed to conserve resources of significance and safeguard viable ecological connections between significant natural areas supported by Goal OS - 3, Policies 3.1-3.7 (Policy 3.7 specifically indicates the City's policy to maintain and enhance the resources of the Santa Margarita River to ensure the long term viability of the habitat, wildlife and wildlife movement corridors). -The Open Space Element (Open Space Page OS -26 through Page OS - 28) recognizes that topographical features such as the western escarpment and southern ridgelines, as well as natural drainage courses and states that the environmental resources of the Santa Margarita River should be protected from insensitive development and activities, supported by Goal OS -5, Policies 5.1-5.3, and 5.8. -The Open Space Implementation Programs of the City of Temecula General Plan including OS -9; OS -10; OS -11; OS -12; OS -13; OS -14, OS -19; OS - 20, OS -21; OS -22; OS -25; OS -33; OS -34; OS -35. -The Land Use Element (Natural Resources and Community Aesthetics Page LU -47) indicates the importance of hillsides, which form an aesthetic backdrop for the community, and is supported by Goal LU -6, Policies 6.1, 6.3 and 6.4. -The Land Use Implementation Programs of the City of Temecula General Plan including LU -14; LU -18, LU -20; and LU -21. The propose Hillside Development Standards specifically address LU -19 which states, "Promote preservation of hillsides surrounding the community through the following actions: (1) Enforce hillside grading standards to naturalize the effects of grading; (2) Require the preservation of unique natural features; (3) Encourage a broad range of architectural and site planning solutions; and (4) Develop hillside development standards that consider site constraints in determining location, type and intensities of new development along the western escarpment and other surrounding hillside areas. -The Community Design Implementation Programs of the City of Temecula General Plan including CD -6 Viewshed Preservation which states, "Establish a program to acquire, or permanently protect, critical hillside areas from development, including critical escarpment and major hillside areas on the west and south edges of the City. This should include working with the County of Riverside to protect surrounding hillside areas from inappropriate grading and development." R:/Ords 2010/Ords 10-04 5 The Pre -Zoning designations shall not be effective unless or until such time as any of the properties are annexed to the City. If approved, the proposed amendment will establish the framework to ensure development within the project area implements the directions, goals and policies related to the protection and preservation of natural and sensitive resources, habitat and the hillsides area as outlined within the City of Temecula General Plan. The General Plan Policies referenced herein are hereby incorporated into this Resolution by reference as if set forth in full. B. The proposed Amendment protects the research value of the Santa Margarita Ecological Reserve by prohibiting incompatible land uses within adjacent properties. The proposed zoning and development standards would protect the research value of the Santa Margarita Ecological Reserve ("SMER') by prohibiting incompatible land uses within adjacent properties within the City of Temecula. The majority of the project area is undisturbed and is in a pristine natural area, of which approximately 95% of the Santa Margarita Area Annexation No. 2 boundary has been conserved as part of the SMER. Section 3. Pre -Zoning. A. The property as shown on Exhibit 1, and described in Exhibit 2, is hereby pre -zoned Hillside Residential - Santa Margarita (HR -SM), which shall become the zoning upon annexation of all or part of the property to the City. B. The property as shown on Exhibit 3 and described in Exhibit 4, is hereby pre -zoned Open -Space Conservation Santa Margarita (OC -C -SM), which shall become the zoning upon annexation of all or part of the property to the City. Section 4. Severability. If any portion, provision, section, paragraph, sentence, or word of this Ordinance is rendered or declared to be invalid by any final court action in a court of competent jurisdiction, or by reason of any preemptive legislation, the remaining portions, provisions, sections, paragraphs, sentences, and words of this Ordinance shall remain in full force and effect and shall be interpreted by the court so as to give effect to such remaining portions of the Ordinance. Section 5. Effective Date. This Ordinance shall take effect thirty (30) days after its adoption, but will not become effective unless and until the Annexation of the Santa Margarita Area Annexation or the Santa Margarita Area Annexation No. 2, or any territory within it, is approved by the Riverside County Local Agency Formation Commission. Section 6. The City Clerk shall certify to the adoption of this Ordinance and cause it to be published in the manner required by law. R:/Ords 2010/Ords 10-04 6 PASSED, APPROVED, AND ADOPTED by the City Council of the City of Temecula this day of , Jeff Comerchero , Mayor ATTEST: Susan W. Jones, MMC City Clerk [SEAL] R:/Ords 2010/Ords 10-04 7 STATE OF CALIFORNIA ) COUNTY OF RIVERSIDE ) ss CITY OF TEMECULA ) I, Susan W. Jones, MMC, City Clerk of the City of Temecula, do hereby certify that the foregoing Ordinance No. 10-04 was duly introduced and placed upon its first reading at a meeting of the City Council of the City of Temecula on the 23rd day of February, 2010, and that thereafter, said Ordinance was duly adopted by the City Council of the City of Temecula at a meeting thereof held on the day of by the following vote: AYES: COUNCIL MEMBERS: NOES: COUNCIL MEMBERS: ABSENT: COUNCIL MEMBERS: ABSTAIN: COUNCIL MEMBERS: Susan W. Jones, MMC City Clerk R:/Ords 2010/Ords 10-04 8 n Santa Margarita Area Annexation (No. 2) 0 San Diego Courq Santa Margarita Area Annexation No. 2 • • City of Temecula Corporate Limits Streets Zoning Designations for the Santa Margarita Area Annexation Q HR R`GI9MGMMNgMYPYnrvnySAl+A_FYrloSankw bmcMe mE I "..,j :L. City of Temecula - Santa Margarita Area Anexation No. 2 Exhibit 1 Pre -Zoning Amendment Properties with HR -SM Designation a s, O Y� flbt 4 3 y "..,j :L. City of Temecula - Santa Margarita Area Anexation No. 2 Exhibit 1 Pre -Zoning Amendment Properties with HR -SM Designation EXHIBIT 2 PRE -ZONING Properties with Hillside Residential - Santa Margarita (HR -SM) Zoning Designation APN ACRES 918060009 20.91 918060010 20.78 918060021 9.44 918060024 9.64 918060013 39.32 918060023 9.81 918060022 9.38 918060011 24.14 918060008 15.77 918080008 30.12 918080009 35.89 Total: 225.2 Item No. 12 ORDINANCE NO. 10-05 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF TEMECULA AMENDING TITLE 17 OF THE TEMECULA MUNICIPAL CODE BY ADOPTING ZONING DESIGNATIONS HILLSIDE RESIDENTIAL -SANTA MARGARITA (HR -SM) AND OPEN SPACE CONSERVATION DISTRICT -SANTA MARGARITA (OS -C -SM) AND ADOPTING HILLSIDE DEVELOPMENT STANDARDS FOR A PRE -ZONING OF THE SANTA MARGARITA AREA ANNEXATION NO. 2 OF APPROXIMATELY 4,510 ACRES, LOCATED IMMEDIATELY SOUTHWEST OF THE PRE-EXISTING CITY OF TEMECULA BOUNDARY LINE, WEST OF INTERSTATE -15 AND NORTH OF THE SAN DIEGO AND RIVERSIDE COUNTY BOUNDARY (LR09-0024) THE CITY COUNCIL OF THE CITY OF TEMECULA DOES ORDAIN AS FOLLOWS: Section 1. Procedural Findings. The City Council of the City of Temecula does hereby find, determine and declare that: A. On December 9, 2008, the City Council adopted Resolution No. 08-110 certifying the Final Environmental Impact Report prepared for the Santa Margarita Area Annexation (No. 1), a proposed expansion of the City of Temecula's Sphere of Influence and Annexation to the City of Temecula and the Temecula Community Services District of approximately 4,997 acres located immediately southwest of the City of Temecula Boundary line, west of Interstate -15. The City Council also adopted findings pursuant to the California Environmental Quality Act, adopted a statement of overriding considerations and adopted a mitigation monitoring and reporting program in connection therewith (collectively, "Certified Final Environmental Impact Report" or "Certified Final E I R"). B. On December 9, 2008, the City Council adopted Resolution Nos. 08-111 and 08-112 to apply to the Local Agency Formation Commission ("LAFCO") for an expansion of the City of Temecula's Sphere of Influence and Annexation to the City of Temecula and the Temecula Community Services District of approximately 4,997 acres located immediately southwest of the City of Temecula Boundary line, west of Interstate -15 ("Santa Margarita Annexation Area") C. On December 9, 2008, the City Council adopted Resolution No. 08-113 amending the General Land Use Map within the Santa Margarita Area Annexation, contingent upon LAFCO's approval of the annexation. R:/Ords 2010/Ords 10-05 D. On December 9, 2008, the City Council adopted Ordinance No. 08-14 prezoning the territory of the Santa Margarita Area Annexation, contingent upon LAFCO's approval of the annexation. E. On December 9, 2008, the City Council adopted Ordinance No. 08-15 amending the official zoning map of the City of Temecula by adopting zoning designations Hillside -Santa Margarita (SM) and Open Space Conservation District — Santa Margarita (OS -C -SM) and adopting Hillside Development Standards for the Santa Margarita Area Annexation, contingent upon LAFCO's approval of the annexation. F. Thereafter, the City of Temecula submitted to LAFCO a Sphere of Influence Amendment Application and Annexation Application along with requisite application submittal documents in connection therewith for the Santa Margarita Area Annexation proposal ("LAFCO Applications"). G. On May 12, 2009, the City Council adopted Resolution No. 09-42 confirming that the proposal for the Santa Margarita Area Annexation was pursuant to the Cortese -Knox -Hertzberg Local Government Reorganization Act of 2000, commencing with Section 56000 of the California Government Code. H. On June 4, 2009, LAFCO denied the LAFCO Applications made by the City for the Santa Margarita Area Annexation proposal and approved the City's Municipal Service Review; and adopted resolutions in connection therewith on June 25, 2009. I. On July 23, 2009, the City of Temecula submitted an Application for Reconsideration by LAFCO of the LAFCO Applications for the Santa Margarita Area Annexation proposal. The City's proposal removed approximately 487 acres of the southeast corner of the uninhabited 4,997 -acre Santa Margarita Area Annexation territory, and included revised boundaries of the Sphere of Influence expansion from 4,443 acres to 4,126 acres to match the boundaries of the area to be annexed to the City of Temecula and the Temecula Community Services District comprising of 4,510 acres of that certain uninhabited territory located immediately southwest of the City of Temecula boundary line, west of Interstate 15, and north of the San Diego/Riverside County boundary as depicted on the maps attached hereto as Exhibit A -A, and incorporated herein as though set forth in full ("Santa Margarita Area Annexation No. 2"). J. On September 24, 2009 LAFCO denied the City's Application for Reconsideration and determined the City of Temecula must file a new LAFCO Sphere of Influence Amendment Application and a new LAFCO Annexation Application to proceed with the Santa Margarita Area Annexation No. 2 proposal. K. On December 3, 2009 LAFCO voted unanimously to waive the one-year waiting period to allow the City to proceed with LAFCO Sphere of Influence Amendment and Annexation Applications for the Santa Margarita Area Annexation No. 2 proposal and LAFCO approved a reduction in the application fees by fifty percent. R:/Ords 2010/Ords 10-05 2 L. On January 12, 2010, the City Council adopted Resolution No. 10-3 authorizing the preparation of documents and actions necessary to proceed with a Sphere of Influence Amendment and Annexation Application for the Santa Margarita Area Annexation No. 2 proposal pursuant to the Cortese -Knox -Hertzberg Local Government Reorganization Act of 2000 commencing with Section 56000 of the California Government Code. M. The City of Temecula proceeded with the preparation of documents associated with the Santa Margarita Area Annexation No. 2 proposal including a General Plan amendment to the Land Use Map, zoning amendment to Title 17 of the Temecula Municipal Code including hillside development standards and pre -zoning designations, and Sphere of influence and Annexation applications (LR09-0024) in a manner in accord with the City of Temecula General Plan and Municipal Code and are hereby incorporated by reference, for the property consisting of approximately 4,510 acres located immediately southwest of the City of Temecula boundary, west of Interstate 15 and north of the San Diego County/Riverside County boundary referred to as the Santa Margarita Area Annexation No. 2 proposal (collectively, the "Amendment'). N. The Amendment was processed including, but not limited to a public notice, in the time and manner prescribed by State and local law, including the California Environmental Quality Act and pursuant to the Cortese -Knox -Hertzberg Local Government Reorganization Act of 2000 commencing with section 56000 of the California Government Code. O. An Addendum to the Certified Final EIR was prepared for the Santa Margarita Area Annexation No. 1 ("Addendum") in accordance with the California Environmental Quality Act and the California Environmental Quality Act Guidelines ("CEQA") to address the reduced boundaries of the Santa Margarita Area Annexation proposal that comprise the Santa Margarita Annexation Area No. 2 proposal. P. The Planning Commission considered the Addendum to the Certified Final EIR and the various components of the Amendment on February 3, 2010, at a duly noticed public hearing as prescribed by law, at which time the City staff presented its report and interested persons had an opportunity to and did testify either in support or in opposition to this matter. Q. Following consideration of the entire record of information received at the public hearing and due consideration of the proposed Amendment and Addendum to the Certified Final EIR, the Planning Commission adopted Resolution No. 10-02 recommending that the City Council approve the Addendum to the Certified Final EIR, adopt findings pursuant to the California Environmental Quality Act, adopt a Statement of Overriding Considerations and adopt a Mitigation Monitoring and Reporting Program. R. At the conclusion of the Planning Commission hearing and after due consideration of the entire record before the Planning Commission hearing, and after due consideration of the testimony regarding the proposed Amendment, the Planning Commission adopted Resolution No. 10-03 recommending that the City Council R:/Ords 2010/Ords 10-05 3 approve the Amendment including: (1) approve a Resolution amending the General Plan Land Use Element to incorporate Hillside Residential (HR) and Open Space (OS) as the General Plan Land Use Designations within the Santa Margarita Area Annexation No 2; (2) approve a pre -zoning Ordinance for the pre -zoning of the Santa Margarita Area Annexation No. 2; and (3) approve a zoning Ordinance amending Title 17 of the Temecula Municipal Code and amending the official zoning map of the City of Temecula by adopting zoning designations Hillside Residential -Santa Margarita (HR - SM) and Conservation District -Santa Margarita (OS -C -SM) and adopting Hillside Development Standards for a pre -zoning of the Santa Margarita Area Annexation No. 2. S. On February 23, 2010, the City Council of the City of Temecula considered the Addendum to the Certified Final EIR and the various components of the Amendment, at a duly noticed public hearing as prescribed by law, at which time the City staff presented its report and interested persons had an opportunity to and did testify either in support or in opposition to this matter. After considering all the testimony and comments and the entire record concerning the components of the Amendment and the Addendum to the Certified Final EIR, the City Council adopted Resolution No. 10-16, approving the Addendum to the Certified Final EIR, adopting findings pursuant to the California Environmental Quality Act, adopting a Statement of Overriding Considerations and adopting a Mitigation Monitoring and Reporting Program. T. On February 23, 2010, the City Council of the City of Temecula held a duly noticed public hearing on the proposed Amendment at which time all persons interested in the proposed Amendment had the opportunity to, and did, address the City Council on these matters. Following receipt of all public testimony the City Council closed the hearing. Section 2. Table 17.03.010 (Planning and Zoning Approval Authority) of Section 17.03.010 of Chapter 17.03 (Administration of Zoning) of Title 17 (Zoning) of the Temecula Municipal Code, is hereby amended to add a new row immediately following the row entitled "Secondary Dwelling Unit," to read as follows, with all other aspects of the table remaining unchanged: Table 17.03.010 Planning and Zoning Approval Authority Application Administrative Approval Planning Director Planning Commission City Council "Hillside Development Permit X1 Section 3. A new Section 17.04.060 (Hillside Development Permit) is hereby added to Chapter 17.04 (Permits) of Title 17 (Zoning) of the Temecula Municipal Code to read as follows: R:/Ords 2010/Ords 10-05 4 "17.04.060 Hillside Development Permit A. Purpose and Intent. A Hillside Development Permit is required to facilitate and permit the orderly development of property within the HR -SM (Hillside Residential -Santa Margarita) and the OS -C -SM (Conservation -Santa Margarita) Zoning Districts within the Santa Margarita Area Annexation. The permit process will ensure that projects comply with a set of hillside development standards aimed a protecting the public health, safety and welfare; protecting and preserving natural and biological resources for long-term benefit of the City by carefully considering the size, type, location, density, and intensity of development based on available infrastructure; the geographic steepness of terrain; presence of unique geographic conditions and constraints; and presence of environmentally sensitive areas. Specific regulations and standards address the following City objectives: B. Application Requirements. Applications for a Hillside Development Permit shall be completed in accordance with the Section 17.03.030 of the Temecula Municipal Code. C. Authority of Hearing Bodies for a Hillside Development Permit. The Planning Commission shall have the authority to hear and act upon a Hillside Development Permit in accordance with the Temecula Development Code. The City Council shall have the authority to hear and act upon any appeal to the decision of the Planning Commission, pursuant to Section 17.03.090 of the Development Code. D. Hearing and Notice. Upon the determination that a Hillside Development Permit application is complete, a public hearing shall be scheduled with the Planning Commission. Notice of the time, date and place of public hearing shall be given as provided in Section 17.03.040 of this Code. E. Approval. A Hillside Development Permit may, based on findings set for in this Section, be approved, conditionally approved or denied after a public hearing. Decisions of the Planning Commission may be appealed to the City Council, pursuant to Section 17.03.090 of the Temecula Municipal Code. F. Findings. The Planning Commission may approve or conditionally approve a Hillside Development Permit only when the following findings can be made: 1. The Hillside Development Permit does not permit uses that are not otherwise allowed in the zone. 2. The proposed use is compatible with the nature, character and use of the surrounding area. R:/Ords 2010/Ords 10-05 5 3. The proposed use will not adversely affect adjacent residents or structures. 4. The nature and location of the proposed use will not be detrimental to the health, safety, or welfare of the community. 5. The Hillside Development Permit places suitable conditions on the project to protect surrounding properties. G. Notice of Decision. A copy of the notice of decision shall be provided to the applicant in accordance with Section 17.03.040.E of the Temecula Municipal Code. H. Revocation. A Hillside Development Permit may be revoked or modified by the Planning Commission in accordance with the provisions of Section 17.03.080 of the Temecula Municipal Code." Section 4. A new subsection H (Hillside Residential -Santa Margarita (HR -SM) is hereby added to Section 17.06.020 of Chapter 17.06 (Residential Districts) of Title 17 (Zoning) of the Temecula Municipal Code to read as follows, with all other portions of Section 17.06.020 remaining unchanged: H. Hillside Residential -Santa Margarita (HR -SM). The Hillside Residential - Santa Margarita zoning district is intended to provide for development of very low density residential uses within the Santa Margarita Area Annexation boundaries. This includes properties that have severe development constraints such as areas with slopes over twenty-five percent, biological resources and, limited emergency access. Typical lot sizes in the HR -SM district are equal to or greater than 10 acres." Section 5. A new column entitled "HR -SM" immediately following the column entitled "H," along with a new footnote 9, is hereby added to Table 17.06.030 (Residential Districts) of 17.06.030 (Use Regulations) of Chapter 17.06 (Residential Districts) of Title 17 (Zoning) of the Temecula Municipal Code to read as follows, with all other portions of the table remaining unchanged: Description of Use ... "HR-SM9 Residential ... Single-family detached ... P Duplex (two-family dwellings) ... Single-family attached (greater than two units) ... Multiple -family ... Manufactured homes ... P R:/Ords 2010/Ords 10-05 6 Description of Use ... "HR-SM9 Mobilehome park ... Facilities for the mentally disordered, handicapped, or dependent or neglected children (six or fewer) ... P Facilities for the mentally disordered, handicapped, or dependent or neglected children (seven to twelve) ... C Alcoholism or drug abuse recovery or treatment facility (six or fewer) ... P Alcoholism or drug abuse recovery or treatment facility (seven or more) ... C Residential care facilities for the elderly (six or fewer) ... P Residential care facilities for the elderly (seven or more) ... C Congregate care residential facilities for the elderly 6 ... Boarding, rooming and lodging facilities ... Secondary dwelling units 7 ... P Granny flat ... P Guest house ... P Family day care homes -small ... P Family day care homes -large 1 C Day care centers ... C Bed and breakfast establishments 6 ... C Emergency shelters ... C Transitional housing ... C Non -Residential ... Agriculture/open space uses 6 ... C Religious institutions ... C Public utility facilities ... C Educational institutions ... C Libraries ... - Medical marijuana dispensary ... - Museums and art galleries (not for profit) ... - Kennels and catteries 6 ... - R:/Ords 2010/Ords 10-05 Description of Use ... "HR-SM9 Noncommercial keeping of horses, cattle, sheep and goats s ... P Temporary real estate tract offices ... P Recreational vehicle storage yard 3 ... - Parking for commercial uses ... - Nonprofit clubs and lodge halls ... - Convalescent facilities ... - Golf courses ... - Home occupations ... P Construction trailers 5'6 P" Notes: '9 Development within the HR-SM zoning district is subject to Section 17.06.080 Hillside Development Standards." Section 6. A new column entitled "HR -SM" added immediately following the column entitled "H," is hereby added to Table 17.06.040 (Development Standards - Residential Districts) of Section 17.06.040 (Development Standards) of Chapter 17.06 (Residential Districts) of Title 17 (Zoning) of the Temecula Municipal Code to read as follows, with all other portions of the table remaining unchanged: R:/Ords 2010/Ords 10-05 Table 17.06.040 Development Standards — Residential Districts Residential Development Standards "HR -SM Lot Area Minimum net lot area (square feet) . . . Minimum net lot area (acres) . . . 10 Dwelling Units per net acre . . . Lot Dimensions Minimum lot frontage at front property line (feet) . . . 50 Minimum lot frontage for a flag lot at the front property line (feet) . . . 40 Minimum width at required front setback area (feet) . . . 100 Minimum average width (feet) . . . 100 Minimum lot depth (feet) . . . 150 Setbacks Minimum front yard (feet) . . . 40 Minimum corner side yard (feet) . . . 40 Minimum interior side yard (feet) . . . 25 Minimum rear yard (feet) . . . 25 Other Requirements Maximum height (feet) ... Subject to Section 17.06.080 Maximum percent of lot coverage ... Subject to Section 17.06.080 Open space required ... Subject to Section 17.06.080 Private open space/per unit ... Subject to Section 17.06.080" Section 7. A new Section 17.06.080 (Hillside Development Standards) is hereby added to Chapter 17.06 (Residential Districts) of Title 17 (Zoning) of the Temecula Municipal Code and Chapter 17.06 to read as follows: R:/Ords 2010/Ords 10-05 9 "Section 17.06.080 Hillside Development Standards. A. Purpose and Intent. This Section is established to achieve the City's objective to facilitate and permit the orderly development of property within the HR -SM zone in the Santa Margarita Area Annexation through a set of hillside development standards aimed a protecting the public health, safety and welfare; protecting and preserving natural and biological resources for long-term benefit of the City and the broader community, recognizing the inherent value in the properties subject to the HR -SM Zone; allowing size, type, location, density, and intensity of development based on available infrastructure; the geographic steepness of terrain, presence of unique geographic conditions and constraints; and presence of environmentally sensitive areas; and optimizing the use of sensitive site design, grading, landscape architecture, and architecture, all to achieve the City's objectives. Specific regulations and standards address the following City objectives: 1. To protect the value of the community and the subject property of ridgelines, prominent landforms, rock outcroppings, open space areas, hydrologic features, wildlife communities, unique and sensitive habitat and vegetation communities, and other natural, biological, archaeological/historical, and scenic resources. 2. To preserve the visual and aesthetic quality of hillsides as viewed from the surrounding community. 3. To promote and encourage a variety of high quality, alternative architectural and energy efficient development designs and concepts appropriate for hillside areas. 4. To preserve the public health, safety, and welfare and specifically protect the public and property from hazards such as seismic, geologic, and fire. B. Applicability and Permit Required. This Section applies to all properties within the Santa Margarita Area Annexation that are located within the HR -SM Zoning District. In addition to any other permit or approval required by this Code, any person proposing to subdivide, grade, erect, or construct into, over, or on top of property within the HR -SM Zoning Districts shall first obtain a land use entitlement through the approval of a Hillside Development Permit pursuant to Section 17.04.060 to ensure compliance with this Section. R:/Ords 2010/Ords 10-05 10 C. Definitions. The following terms shall have the following meanings for purposes of this Section: 1. Accessory Facilities: Buildings, structures, roads, driveways, walls or fences incidental to permitted, or conditionally permitted, use. 2. Disturb: Alter the natural surface of the land or the natural vegetation by any means, including, but not limited to, grading, clearing, brushing, grubbing, or landscaping. 3. Graded Slope: All the faces of a graded slope, from the toe of the slope to the top of the slope, whether the faces are covered by natural vegetation, riprap, retaining walls or other material. 4. Hill: A well-defined natural elevation that extends above surrounding terrain. 5. Hillside: The side or slope of a hill. 6. Hillside Development Permit: An entitlement based upon an application which includes all required submittal documents that comprehensively evaluated to determine its impacts on neighboring property and the community as a whole, from the standpoint of the site, landscape design, architecture, materials, colors, lighting, signs, in accordance with the applicable development standards for the zone, as well as the Hillside Development Standards. 7. Hillside Development Standards: The Hillside Development Standards approved by the City Council of the City of Temecula as now exist and as may from time to time be amended. 8. MSHCP: The Western Riverside County Multi -Species Habitat Conservation Plan as adopted by the City Council of the City of Temecula on December 16, 2003. 9. Peak: The summit of a hill. 10. Restoration: The process of repairing a disturbed site to replicate its natural condition. 11. Ridgeline: A line connecting the highest elevation points of a ridge, running center and parallel to the long axis of the ridge. 12. Site: The parcel on which development is proposed. R:/Ords 2010/Ords 10-05 11 13. Slope Analysis: An analysis prepared by a California licensed land surveyor or civil engineer based on a topographic map with contour intervals not exceeding 10 feet. D. Exemptions from Hillside Development Permit. 1. The following are exempt from the provisions of this Section: (a) Any development proposal calling for the construction of a structure in a ridgeline area having received approval, pursuant to the adopted regulations in effect at the time of approval, prior to enactment of the Ordinance shall be exempt; however, the requirements of the Ordinance shall be applied if an extension of time is requested. (b) Open space projects and regional or community trails on City of Temecula owned property. (c) City or other governmental projects that receive approval by the City Council of the City of Temecula. E. Environmental Assessment Required. A Hillside Development Permit processed under this Section shall be a "project" for purposes of the California Environmental Quality Act. F. Application Requirements. In addition to the application requirements of Section 17.03.030 of the Development Code, all of the following shall be submitted with a Hillside Development Permit application in the HR -SM Zoning District. 1. A site plan drawn to scale by a California licensed land surveyor or registered civil engineer, showing the location of all existing peaks, ridge lines, hills, hillsides and other significant landforms including rock outcroppings, all areas within two hundred (200) feet of a peak or ridge line, the location of all existing watercourses, the location of all existing vegetation including oak trees and the type and quantity thereof, the location of all existing and proposed agricultural areas, the location of all existing and proposed dwellings and the location of all existing and proposed accessory facilities. 2. A grading plan, including a blasting permit, if necessary, subject to the requirements of Title 18 of the Temecula Municipal Code 3. A topographic map of the site, drawn to scale by a California licensed land surveyor or civil engineer, showing all the items referenced in paragraph 1 above. The scale on the topographic R:/Ords 2010/Ords 10-05 12 map shall be no smaller than one (1) inch equals two hundred (200) feet with contour intervals not exceeding ten (10) feet. 4. A slope analysis of the site showing the following slope categories: 0-15% grade, 16-20% grade, 21-25% grade and over 25% grade prepared by a Licensed Land Surveyor or a Registered Engineer. 5. Underground utility plan. 6. A biological report for the site addressing the topics enumerated in Section (conservation required) of this ordinance. 7. A Cultural Resources Assessment prepared by a qualified by archaeologist. 8. Photographs of the portion(s) of the site that would be disturbed taken from each corner of the site and from all vantage points deemed appropriate by the Director of Planning. 9. A proposed land disturbance plan showing and describing the portion(s) of the site that would be disturbed, and the nature and extent of the disturbance. 10. A proposed erosion and sedimentation control plan showing and describing interim and ultimate erosion and sedimentation control measures. 11. A proposed landscape and habitat restoration plan, including a restoration time schedule, showing and describing how the site would be landscaped and repaired and how the natural conditions of the site would be replicated. A qualified biologist shall prepare the habitat restoration plan. 12. A proposed architectural plan showing how primary and accessory structures would be constructed. 13. A proposed exterior lighting plan showing how primary and accessory structures, and landscaping would be illuminated. 14. A line of sight analysis, visual analysis, geologic study or any other requirement deemed appropriate by the Planning Director. 15. A fuel modification plan consistent with the General Guidelines for Creating Defensible Space adopted by the State Board of Forestry and Fire Protection, February 8, 2006. R:/Ords 2010/Ords 10-05 13 G. Development Standards. The following development standards shall apply in the Hillside Residential -Santa Margarita (HR -SM) Zone whenever a Hillside Development Permit is required by this Section: 1. Height. (a) No dwelling, building or structure shall have more than two (2) stories. (b) On a level building pad, the maximum height of a dwelling, building or structure shall be thirty (30) feet measured from the foundation. (c) On a terraced building pad, the maximum height of a dwelling, building or structure shall be forty (40) feet measured from the lowest finished floor level, excluding any basement areas. 2. Lot Area. (a) The minimum lot size shall be ten (10) acres in the HR -SM zone. (b) Development in accordance with this Section may occur on a lot smaller than ten (10) acres in the HR -SM zone if the lot was legally created or previously existed on the effective date of this Ordinance, but no further subdivision of such a lot shall be allowed. 3. Land Disturbance. Land disturbance shall conform in all respects with the land disturbance plan approved by the Director of Planning. A land disturbance plan shall, at a minimum, meet the following requirements, but meeting these requirements does not guarantee approval of the plan. (a) Areas situated within two hundred (200) feet of a peak or ridgeline shall not be disturbed. (b) Natural slopes having a twenty-five (25) percent or greater grade shall not be disturbed. (c) The horizontal distance between a natural or graded slope and a roof, or portion thereof, shall not be less than twenty (20) feet. R:/Ords 2010/Ords 10-05 14 (d) The vertical distance of a graded slope shall not exceed fifteen (15) feet from the toe of the slope to the top of the graded slope, unless a five (5) foot bench is placed between two (2) graded slopes and the bench is planted with vegetation similar to that growing on the portion(s) of the site that have not been disturbed. (e) The maximum height of a graded slope, including required benching, shall not exceed thirty (30) feet. (f) The use of blasting for road construction or pad grading shall be strongly discouraged and alternate construction techniques shall be used if feasible. Site disturbance and grading shall be kept to a minimum. (g) Land disturbance shall not exceed the following limitations: Land Disturbance Limitations Table HR -SM Zoning District Parcel/Lot Size Maximum Area That May Be Disturbed 10 net acres or greater 40,000 square feet Less than 10 acres 10% of the lot area (h) Land disturbance shall conform in all respects with the erosion and sedimentation control plan approved by the Director of Planning or Public Works. 4. Landscaping and Restoration. Landscaping and restoration shall conform in all respects with the landscaping and restoration plan approved by the Director of Planning. A landscaping and restoration plan shall be accompanied by a cash deposit equal to the cost of the re - vegetating all disturbed areas. The restoration plan shall be prepared by a biologist with expertise in habitat restoration. The Director of Planning shall retain this deposit until he/she is satisfied that re -vegetation has been successful, but in no event shall the Director of Planning retain the deposit for more than five (5) years. Within the five (5) year period, the Director shall have the authority to use the deposit to complete the required re -vegetation. 5. Architecture. Dwellings and accessory facilities shall conform in all respects with the architectural plan approved by the Planning Commission. R:/Ords 2010/Ords 10-05 15 91 Exterior Lighting. Exterior lighting shall conform in all respects with the exterior lighting plan approved by the Director of Planning. An exterior lighting plan shall, at a minimum, meet the following requirements, but meeting these requirements does not guarantee approval of the plan: (a) Lights shall not be located on the portion(s) of the site that have not been disturbed. (b) Lights shall not be located closer than ten (10) feet from any property line. (c) Lights shall be fully shielded and directed away from areas deemed inappropriate by the Director of Planning. (d) Walls and other architectural elements shall not be lighted for decorative purposes. (e) Tennis and other sport courts shall not be lighted for any purposes. (f) The maximum lighting intensity of the site shall not exceed 250 lumens when measured at any property line. 7. EnergV Efficient Standards. Energy efficient standards shall be incorporated during the construction and operational phase of any structure permitted under this Section. (a) Construction of any structure for human habitation permitted under a Hillside Development Plan shall be required to exceed Title 24 standards by a minimum of 10 percent. (b) All structures for human habitation shall incorporate sealed duct systems. (c) All structures for shall incorporate fluorescent lighting where practical. (d) "Energy Star" appliances shall be installed in all structures where applicable. (e) All structures for human habitation shall incorporate high - albedo roofing. (f) All structures for human habitation shall incorporate dual pained glass windows (g) All residential structures shall incorporate at least two of the following features to obtain a final building inspection. (1) Spectrally selective or Low -E glass on all windows and doors. (2) Enhanced insulation which exceeds Title 24 standards by at least 15 percent. (3) A landscape design that utilizes trees or other vegetation to shade the structures sidewalks, patios, and driveways. (4) Solar water heaters. (5) Photovoltaic systems to supply at a minimum 80% of the normal power needs of the structures proposed and existing based on an annual average. 8. Green Building. All residential structures will be required to incorporate one of the following features in order to obtain a final building inspection. (a) Engineered and certified wood, which is harvested in a sustainable manner. (b) Tankless water heaters. (c) Cellulose attic insulation made from recycled materials. (d) Floor coverings made from recycled or sustainable materials. 9. Environmental Protection. Projects within the HR -SM zoning district shall comply with all applicable mitigation measures adopted in conjunction with the pre - zoning and annexation of the property to the City. H. Hillside Design Standards. In deciding whether to approve a Hillside Development Permit as required by this article and any subordinate land disturbance plan, erosion and sedimentation control plan, landscaping and restoration plan, architectural plan or exterior lighting plan, the Director of Planning shall certify that the plan complies with this Ordinance and the Hillside Design Standards. Applicants are strongly advised to consider the Hillside Design Standards in formulating the above -referenced plans. R:/Ords 2010/Ords 10-05 17 Relief from Development Standards. Notwithstanding the specific requirements set forth in this Section 17.06.080 above, relief from the development standards may be granted concurrently with the processing of a Hillside Development Permit in accordance with the following procedure: 1. An applicant may file an application for relief from certain development standards with the Planning Department. The application shall be filed on forms and submitted with information as required by the Department. 2. Applications for an relief from development standards shall be submitted to the Planning Department and shall be accompanied by the submittal requirements of Sections F and G of this Ordinance, and the following: (a) Fees in accordance with the most recently adopted fee schedule. (b) In certain cases, the Directors of Planning, Building and Safety, or Public Works may require the project applicant to provide additional studies, including but not limited to, geological studies and or a visual analysis of the project design either through a project simulation using computer aided three-dimensional modeling coordinated with photography showing before and after conditions or a scaled three-dimensional model showing before and after conditions. 3. The Planning Commission may approve relief from the requirements of Section (G of this Chapter) if: (a) The applicant demonstrates that the proposed alternative complies with and, furthers the intent of this ordinance. (b) The applicant demonstrates that the proposed alternative provides a design solution that is equivalent to or better than the standards prescribed in this ordinance for quality, effectiveness, durability, and safety. 4. The relief from development standards shall be heard at a public hearing of the Planning Commission. J. Conservation Required. Any project for which a Hillside Development Permit is required by this Section shall be designed to protect wildlife habitat areas, biological R:/Ords 2010/Ords 10-05 18 corridors, native plants and plant communities, and where practicable, support interconnected, contiguous, and integrated open space systems within an area, particularly when located contiguous to open space preserve areas. A Hillside Development Permit shall be in compliance with the MSHCP. K. Hillside Cluster Development Option. 1. The purpose of the hillside cluster development option is to provide (a) Site planning and unity of design in harmony with the natural features and constraints of specific sites, and particularly on sites possessing unique or severe topographic or hydrologic features and biological resources; (b) Protection of natural, historic and man-made elements of scenic, environmental or cultural significance; (c) Design innovation; (d) Flexibility of siting of structures and roadways; (e) More cost effective development due to decreased grading and more efficient servicing of the development with utilities, roads and other essential services; (f) Additional open space for private or community purposes; (g) A preferred planning tool for the development of land within the HR -SM zone. 2. Definitions. Cluster Open Space: Open space, either natural or functional, provided to compensate for lot size reductions from minimum lot size area requirements in the applicable zone. Public Open Space: Open space owned by a public agency, such as the City of Temecula, or the Western Riverside County Regional Conservation Authority and maintained for scientific and biological values or in furtherance of the goals of the Western Riverside County Multi Species Habitat Conservation Plan. Scope: The cluster development option is permitted in the HR -SM Zoning District. R:/Ords 2010/Ords 10-05 19 3. Planned Development Overlay Required. Proposed cluster developments must be processed pursuant to the requirements of the Planned Development Overlay District as set forth in Section 17.22 of the Development Code. 4. Development Standards. (a) Minimum Site Area: None in the HR Zoning District. (b) Overall Density: Greater than 10 acres per dwelling unit in the HR Zoning District. (c) Minimum Lot Area Per Dwelling Unit: No minimum lot size, as may be approved by the Hillside Development Plan. (d) Minimum Set Back Requirements: As may be approved by the Hillside Development Plan. (e) Minimum Distance Between Buildings: As may be approved by the Hillside Development Plan. (f) Utilities: Utilities shall be located within the development portion of the site wherever possible to reduce the future impact of maintenance and repair activities on cluster open space. (g) Excess cut and fill material shall be disposed of in accordance with the Title 18 of the Temecula Municipal Code. (h) Roads: All streets and highways must have horizontal and vertical alignments consistent with an approved design speed, and roadway geometrics consistent with an approved design vehicle, as specified in (the City of Temecula road design manual). (i) Landscaping: In accordance with subsection G.4 of this Section and section 17.32 of the Temecula Municipal Code. Q) Exterior Lighting: Any exterior lighting shall conform to subsection G.6 of this Section. (k) Environmental Protection: Cluster developments within the HR -SM district shall comply with all applicable mitigation measures adopted in conjunction with the pre -zoning annexation of the property to the City. R:/Ords 2010/Ords 10-05 20 5. Open Space Requirements. (a) Cluster Open Space Requirements: Cluster open space shall be designed to save as much as the natural open space feasible, but in no case shall the open space be less than 90 percent of the gross site area. (b) Cluster open space ownership and control shall be only: (1) As part of and individual, private lot with recorded open space covenants running with the land; (2) By the City of Temecula, as legally dedicated to and approved by the City Council; (3) By the Western Riverside County Resource Conservation Authority; (4) By a qualified nonprofit conservation organization as deemed acceptable by the City. (c) Cluster open space shall not include public or private streets, driveways, parking areas, channelized drainage ways, and disturbed, unvegetated areas." Section 8. A new subsection D is hereby added to Section 17.14.020 of Chapter 17.14 (Open Space/Recreation/Conservation Zoning Districts) of Title 17 (Zoning) of the Temecula Municipal Code to read as follows, with all other portions of Section 17.14.020 remaining unchanged: D. Conservation -Santa Margarita District (OS -C -SM). The conservation zoning district is intended for those lands within the Santa Margarita Area Annexation boundaries that are in public or quasi -public ownership for open space purposes that should remain in a natural state as much as feasible without intrusions from active uses. Improvements may be made to these areas to allow for safe limited public access or for control of erosion, geologic stability, or other public safety or utility purposes. The construction of buildings or other structures is not permitted except for flood control structures or public utility facilities, which may be permitted with the approval of a conditional use permit." Section 9. A new column entitled "OS -C -SM" immediately following the column entitled "OS -C" is hereby added to Table 17.14.030 (Schedule of Permitted Uses -Open Space) of Section 17.14.030 (Use Regulations) of Chapter 17.14 (Open Space/Recreation/Conservation Zoning Districts) of Title 17 (Zoning) of the Temecula Municipal Code to read as follows, with all other portions of the table remaining unchanged: R:/Ords 2010/Ords 10-05 21 17.14.030 USE REGULATIONS. The primary uses permitted in the open space zoning districts is indicated in Table 17.14.030. Table 17.14.030 Schedule of Permitted Uses — Open Space Schedule of Uses ... "OS -C -SM Agricultural uses ... - Athletic field ... - Bicycle paths ... - Campground ... - Caretakers quarters ... - Cemeteries, mausoleums and related uses ... - Flood control structures ... C Game courts, badminton, tennis, racquetball ... - Golf driving range not part of a golf course ... - Golf course and clubhouse ... - Golf course resort (including accessory visitor supporting accommodations and commercial uses such as hotels, fractional ownership units, day spa, restaurants, and conference center.) ... - Government and public utility facilities ... C Gymnasium ... Communications and microwave installations' Nature centers/exhibits ... - Nurseries ... - Outdoor exhibits ... - Picnic group facilities ... - Private parks and recreation facilities ... - Parking areas ... - Public parks and recreation facilities ... - Recreational vehicle park ... - Riding stable, public or private ... - Shooting galleries, ranges, archery courses ... - Single-family dwellings (1 unit per 40 acres) ... - Tree farms ... Note: All development subject to the standards set forth in Section 17.06.080. R:/Ords 2010/Ords 10-05 22 Section 10. A new column entitled "OS -C -SM" immediately following the column entitled "OS -C" is hereby added to Section 17.14.040 (Development Standards) of Chapter 17.14 (Open Space/Recreation/Conservation Zoning Districts) of Title 17 (Zoning) of the Temecula Municipal Code to read as follows, with all other portions of the table remaining unchanged: The development standards for the open space zoning districts are as indicated on Table 17.14.040. Table 17.14.040 Open Space Development Standards — Open Space Development Standards ... "OS -C -SM Minimum lot size ... - Maximum lot coverage . . . - Maximum height . . . - Floor area ratio . . . - Setback from street RM/ line . . . - Setback from adjoining property lines . . . - Minimum open space ... 100%11 Section 11. Severability. If any portion, provision, section, paragraph, sentence, or word of this Ordinance is rendered or declared to be invalid by any final court action in a court of competent jurisdiction, or by reason of any preemptive legislation, the remaining portions, provisions, sections, paragraphs, sentences, and words of this Ordinance shall remain in full force and effect and shall be interpreted by the court so as to give effect to such remaining portions of the Ordinance. Section 12. Effective Date. This Ordinance shall take effect thirty (30) days after its adoption, but will not become effective unless and until the Annexation of the Santa Margarita Area Annexation, or any territory within it including the Santa Margarita Area Annexation No. 2, is approved by the Riverside County Local Agency Formation Commission. Section 13. The City Clerk shall certify to the adoption of this Ordinance and cause it to be published in the manner required by law. R:/Ords 2010/Ords 10-05 23 PASSED, APPROVED, AND ADOPTED by the City Council of the City of Temecula this day of , Jeff Comerchero, Mayor ATTEST: Susan W. Jones, MMC City Clerk [SEAL] R:/Ords 2010/Ords 10-05 24 STATE OF CALIFORNIA ) COUNTY OF RIVERSIDE ) ss CITY OF TEMECULA ) I, Susan W. Jones, MMC, City Clerk of the City of Temecula, do hereby certify that the foregoing Ordinance No. 10-05 was duly introduced and placed upon its first reading at a meeting of the City Council of the City of Temecula on the 23rd day of February, 2010, and that thereafter, said Ordinance was duly adopted by the City Council of the City of Temecula at a meeting thereof held on the day of by the following vote: AYES: COUNCIL MEMBERS: NOES: COUNCIL MEMBERS: ABSENT: COUNCIL MEMBERS: ABSTAIN: COUNCIL MEMBERS: Susan W. Jones, MMC City Clerk R:/Ords 2010/Ords 10-05 25 TEMECULA COMMUNITY SERVICES DISTRICT Item No. 13 ACTION MINUTES of FEBRUARY 23, 2010 City Council Chambers, 43200 Business Park Drive, Temecula, California TEMECULA REDEVELOPMENT AGENCY MEETING The Temecula Redevelopment Agency Meeting convened at 7:42 PM. CALL TO ORDER: Chair Person Mike Naggar ROLL CALL: AGENCY MEMBERS: Comerchero, Edwards, Washington, Roberts, Naggar RDA PUBLIC COMMENTS There were no public comments. RDA CONSENT CALENDAR 18 Action Minutes - Approved Staff Recommendation (5-0-0) — Agency Member Edwards made the motion; it was seconded by Agency Member Washington and electronic vote reflected unanimous approval RECOMMENDATION: 18.1 Approve the action minutes of February 9, 2010. 19 Approval of the 2009-10 Mid -Year Budget Adjustments - Approved Staff Recommendation (5-0-0) — Agency Member Edwards made the motion; it was seconded by Agency Member Washington and electronic vote reflected unanimous approval RECOMMENDATION: 19.1 Adopt a resolution entitled: RESOLUTION NO. RDA 10-03 A RESOLUTION OF THE BOARD OF DIRECTORS OF THE TEMECULA REDEVELOPMENT AGENCY OF THE CITY OF TEMECULA AMENDING THE FISCAL YEAR 2009-10 ANNUAL OPERATING BUDGETS RDA DEPARTMENTAL REPORT RDA EXECUTIVE DIRECTORS REPORT RDA AGENCY MEMBERS REPORTS RDA ADJOURNMENT At 7:43 P.M., the Temecula Redevelopment Agency meeting was formally adjourned to Tuesday, March 9, 2010, at 5:30 P.M., for a Closed Session, with regular session commencing at 7:00 P.M., in the City Council Chambers, 43200 Business Park Drive, Temecula, California. Michael S. Naggar, Chair Person ATTEST: Susan W. Jones, MMC City Clerk/Agency Secretary [SEAL] Item No. 14 Approvals City Attorney Director of Finance City Manager TEMECULA COMMUNITY SERVICES DISTRICT AGENDA REPORT TO: General Manager/Board of Directors FROM: Herman D. Parker, Director of Community Services DATE: March 9, 2010 SUBJECT: Innerstate Dance Project Grant PREPARED BY: Bruce Beers, Theater Manager RECOMMENDATION: That the Board of Directors: Approve the estimated grant Revenue in the Old Town Community Theater Budget for the Innerstate Dance Project in the amount of $15,000; 2. Appropriate $15,000 in expenditures from the OTC Theater Grant Revenue for the Innerstate Dance Project program; 3. Authorize the General Manager, on behalf of the Board of Directors, to take all actions necessary and convenient to carry out and implement the Innerstate Dance Project, and to administer the TCSD's obligations, responsibilities and duties to be performed under the Project, including but not limited to, approval and execution on behalf of the TCSD of the Innerstate Dance Project with the ODC Theater, certificates and other similar agreements and documents as necessary and convenient for the implementation of the project. BACKGROUND: The Old Town Temecula Community Theater strives to provide a diverse offering of performances on an annual basis. Dance has become an integral part of our program offerings at the theater and attendance at dance performances at the theater have continued to increase over the last few years. In late 2009, staff filed a request for funding from the ODC Theater of San Francisco to provide funding to support and offset the cost of dance performances in Temecula. The Irvine Foundation has committed to provide an Innerstate Dance Project grant through the ODC Theater to support and develop the art of dance throughout the state of California. Staff was informed on February 25, 2010 that the ODC Theater would be willing to provide a grant in the amount of $15,000 for the development of dance programs and performances in our community. The Foundation will also assist in offsetting the cost of dance performances in Temecula, market dance programs, and helping to facilitate dance organizers. FISCAL IMPACT: and the TCSD will receive through the ODC Theater. Expenditures from the Innerstate Dance Project Grant total $15,000 grant funding of $15,000 this fiscal year from the Irvine Foundation FTHEATER 3/1/10 Bruce Beers, Theater Manager Old Town Temecula Community Theater 42051 Main Street Robert Bailis, Director Temecula, CA Kathy Rose, Production Manager 92590 Catherine Clambaneva, Marketing Manager Cori Crowley, Theater Administrator Dear Bruce, Sean Dowdall President We are thrilled to be working with the Old Town Temecula Community Elizabeth J. Fisher, Co -Vice President Theater, having invited your Temecula Presents program to join in our Tom Delay, Co -Vice President InnerState Project. InnerState is a three-year project, run by ODC Michael Charlson, Treasurer Theater and funded by the James Irvine Foundation. Over the course of Heather Tay, Secretary the project, we will bring together entrepreneurial and innovative Neal Allen presenters throughout California to collaborate on presenting schemes Benjamin Bank that will encourage deeper interaction between touring artists and the Briony Bax communities they serve. The goal of InnerState as a presence in Richard Carlstrom Temecula is to underwrite the expenses on any of the three following Beverly Dale categories of activity, with the long range goal of increasing dance earner Bart Deamer fluency, activity, and audience numbers in your region: 1) longer artist Alyce visits, deeper and well-planned residency activities, public access to Henry Erlich Lynn Feintech the lead artist as a teacher, even an audition or outreach project that is Lisa Gerould free or low cost to the public; 2) enhanced marketing schemes that will Carolyn Hutchinson help cultivate better audience for dance, or the development of Lori Laqua published educational tools, pod casts, or web site enhancements that Alexandra Morehouse may support this effort; 3) mitigating financial risk on producing less -McReynolds well known, emerging artists in innovative ways (such as an outdoor Particia Kristof Moy festival or in a community space other than the theater) who initially KT Nelson may be less of a name draw and could represent challenges to box Kim! Okada office revenue. InnerState is designed to enhance, not replace, funds Jennifer saffo that each presenter annually pursues. Partners are still required to Tim Schroeder bring their piece of the presenting budget to the table on each Kamen Shorofsky Martha production. InnerState monies enhance your existing capacity, Smolen Emma Stewart providing a rare opportunity to experiment with innovative presenting Timothy Slreb styles, and engage with new artists, particularly those seeking a long - Monika Szamko term foothold in your community. This visit with Backhaus Dance will Brenda Way be the first of three planned activities to take place between April 2010 Craig Zodikoff and March 2011. This first activity will receive a $15,000 payment ADVISORY BOARD InnerState to support the activities listed in the budget and project Simon Bax proposal you supplied. Eleanor Coppola Sakurako Fisher If you have any questions, please do not hesitate to contact me. F. Warren Hellman David Landis Best regards, S Samuel Miller Laurene Powell Jobs Rob Bailis Paula Powers Director, ODC Theater Lisa Stevens Cindy Testa McCullagh San Francisco 351 Shotwell Street ♦ San Francisco, California 94110 Business office phone 415/863.6606 x 111 ♦ Fax 415/863 9833 ♦ www.odetheater.org REDEVELOPMENT AGENCY Item No. 15 ACTION MINUTES of FEBRUARY 23, 2010 City Council Chambers, 43200 Business Park Drive, Temecula, California TEMECULA REDEVELOPMENT AGENCY MEETING The Temecula Redevelopment Agency Meeting convened at 7:42 PM. CALL TO ORDER: Chair Person Mike Naggar ROLL CALL: AGENCY MEMBERS: Comerchero, Edwards, Washington, Roberts, Naggar RDA PUBLIC COMMENTS There were no public comments. RDA CONSENT CALENDAR 18 Action Minutes - Approved Staff Recommendation (5-0-0) — Agency Member Edwards made the motion; it was seconded by Agency Member Washington and electronic vote reflected unanimous approval RECOMMENDATION: 18.1 Approve the action minutes of February 9, 2010. 19 Approval of the 2009-10 Mid -Year Budget Adjustments - Approved Staff Recommendation (5-0-0) — Agency Member Edwards made the motion; it was seconded by Agency Member Washington and electronic vote reflected unanimous approval RECOMMENDATION: 19.1 Adopt a resolution entitled: RESOLUTION NO. RDA 10-03 A RESOLUTION OF THE BOARD OF DIRECTORS OF THE TEMECULA REDEVELOPMENT AGENCY OF THE CITY OF TEMECULA AMENDING THE FISCAL YEAR 2009-10 ANNUAL OPERATING BUDGETS RDA DEPARTMENTAL REPORT RDA EXECUTIVE DIRECTORS REPORT RDA AGENCY MEMBERS REPORTS RDA ADJOURNMENT At 7:43 P.M., the Temecula Redevelopment Agency meeting was formally adjourned to Tuesday, March 9, 2010, at 5:30 P.M., for a Closed Session, with regular session commencing at 7:00 P.M., in the City Council Chambers, 43200 Business Park Drive, Temecula, California. Michael S. Naggar, Chair Person ATTEST: Susan W. Jones, MMC City Clerk/Agency Secretary [SEAL] Item No. 16 Approvals City Attorney Director of Finance City Manager CITY OF TEMECULA AGENDA REPORT TO: Executive Director/ Agency Board FROM: Patrick Richardson, Director of Planning and Redevelopment DATE: March 9, 2010 SUBJECT: Third Amendment to the Exclusive Negotiating Agreement with Pelican Properties LLC for the lease and development of Agency owned property. PREPARED BY: Luke Watson, Management Analyst RECOMMENDATION: That the Agency approve the Third Amendment to the Exclusive Negotiating Agreement ("ENA") between Pelican Properties LLC ("Pelican"), and the Temecula Redevelopment Agency ("Agency"). BACKGROUND: On August 26, 2008 the Agency entered into an ENA with Pelican for the development of the Town Square Marketplace which is located adjacent to the Town Square and future Civic Center. The Agency issued a Request for Interest, interviewed, and selected Pelican with the intent of entering into a long-term ground lease; in which Pelican would then develop, own and operate the structures on the site. Since the execution of the ENA, Pelican has worked in good faith with staff as well as the community regarding the use and design of the project in order to fulfill its obligations required by the ENA. In spite of these good faith efforts the economic climate collapsed and the project, in its present iteration, has become economically infeasible. Considering these economic realities, and with the hopes that the economy would improve, the exclusive negotiating term was extended three (3) months per Section (1) of the ENA, and again via a second amendment to the ENA approved by the Agency Board on May 26, 2009. The current ENA is scheduled to expire on March 1, 2010. Staff and Pelican have continued to move forward throughout the term of the ENA but the difficulties in the economic climate persist as of this date and severely weaken the feasibility of the project. Staff continues to feel that Pelican is the right developer for this project as demonstrated by their record of quality mixed-use in -fill projects in Southern California and strong commitment to the completion of the Town Square Marketplace development. ENA AMENDMENT With the persistent difficulties in the commercial and residential development market staff believes that it is necessary to allow for this extension to provide ample time for the industry to recover, thus enabling the Agency's partnership with Pelican to produce the highest quality development possible. Staff feels that the quality of this development is paramount as it will be adjacent, and complimentary to the Civic Center project. Staff presented the following ENA extension terms to the RDA sub- committee on February 22, 2010. Based on these proposed terms the RDA sub -committee recommended that staff proceed and present the ENA amendment to the full Agency Board. The proposed deal points for the ENA Amendment are as follows: • Term extension of one (1) year. • Possible one (1) year extension with administrative approval • Developer is required to investigate the physical condition of the property • Developer will pay for cost to prepare all environmental documents Based upon Pelican's ability to perform, draft deal points for a subsequent Disposition and Development Agreement ("DDA") would be formulated. No Agency commitment to develop or lease the property can be made until a final DDA is approved following a public hearing. If the Agency and Pelican fail to negotiate a DDA by the expiration of the ENA term then the ENA will expire and negotiations between the Agency and Pelican will end. FISCAL IMPACT: No Agency funding is proposed as part of this project. The intent is to determine a fair market value for the lease of the property and enter into long-term ground lease. This arrangement will provide the Agency with a revenue stream to support other redevelopment activity in the redevelopment project area. Pelican Properties has developed a project on a ground lease basis, and is comfortable with this arrangement. A detailed pro -forma analysis will be performed by Keyser Marston Associates to determine the fair market value of the ground lease. ATTACHMENTS: Third Amendment to the Exclusive Negotiating Agreement Developer Extension Request Letter THIRD AMENDMENT TO EXCLUSIVE NEGOTIATION AGREEMENT BETWEEN REDEVELOPMENT AGENCY OF THE CITY OF TEMECULA AND PELICAN VISTA, LLC THIS THIRD AMENDMENT TO EXCLUSIVE NEGOTIATION AGREEMENT is dated as of March 9, 2010 and is entered into by and between the REDEVELOPMENT AGENCY OF THE CITY OF TEMECULA, a public body corporate and politic ("Agency") and PELICAN VISTA, LLC, a California limit liability company ("Developer"). RECITALS A. On August 26, 2008, the parties entered into that certain "Exclusive Negotiating Agreement", and amended it by a First Amendment to the Exclusive Negotiating Agreement dated January 22, 2009 and a Second Amendment to Exclusive Negotiating Agreement dated May 26, 2009 (as so amended, said Exclusive Negotiating Agreement is hereinafter referred to as the "Agreement"). B. The purpose of the Agreement is to set forth, among other things, the terms pursuant to which the Agency will negotiate with the Developer on an exclusive basis for a limited period regarding the Project and the proposed Disposition and Development Agreement. C. The parties now desire to further amend the Agreement. 1. Extension of Term of Agreement. Section 1 of the Agreement is hereby amended to read as follows: "The term of this Agreement shall commence on August 26, 2008 and shall end on the earlier of: (i) March 1, 2011 or (ii) the date on which the Agency or Developer terminates this Agreement as provided in Section 2 below (the "ENA Period"). Provided Developer is not in default under this Agreement as of March 1, 2011, the Executive Director may, in his sole and absolute discretion, extend the term of this Agreement for up to an additional one (1) calendar year (after March 1, 2011) by written notice to Developer." 2. No Other Changes. Except as otherwise provided in this Third Amendment, all other terms and conditions of the Agreement remain in full force and effect. 11087-0027A1201400v1.doc IN WITNESS WHEREOF, the Parties hereto have executed this Third Amendment as of the day and year first written above. DEVELOPER: PELICAN VISTA, LLC, a California limited liability company M. Daniel Howse Co -Managing Member CITY: REDEVELOPMENT AGENCY OF THE CITY OF TEMECULA, a public body, corporate and politic Mike Naggar Agency Chair ATTEST: Susan Jones, MMC, Agency Secretary APPROVED AS TO FORM: Peter Thorson, Agency Counsel 11087-0027A1201400v1.doc 2 Pelican Properties 1300 Quail Street, Suite 100, Newport Beach, CA 92660 (949) 263-9210 - hammrichard@sbcglobal.net January 22, 2010 Luke Watson Redevelopment Department of the City of Temecula 43200 Business Park Drive Temecula, CA 92590 RE: Town Square Marketplace ENA Extension Request Dear Mr. Watson Pelican Properties remains extremely interested and excited about the long term potential of the Old Town Marketplace. We have a strong desire to work with the City Staff and Old Town stakeholders to design, build and manage the project. Unfortunately, the current economic conditions have slowed down the immediate implementation of the project and there is a need to acquire an extension to our Exclusive Negotiating Agreement ("ENA"). Pelican Properties has been diligently pursuing the planning, design and financial performance of Town Square Market. Pelican has been working with City Staff on three potential alternative design site plans and associated building elevations for Town Square Marketplace. The three alternatives varied in the site intensity; exploring a one story, two story and three story alternatives design solutions. Pelican Properties strongly recommends pursuing the best long term design and financial solution for the site; not just the solution that fits the current short term economic conditions. Pelican Properties respectfully request the Agency and the City to grant Pelican a two year time extension to the ENA with the possibility of an additional one year discretionary extension by the Agency Director. Thank you for your consideration of this request. Sincerely, ick Hamm COUNCIL BUSINESS Item No. 17 Approvals City Attorney Director of Finance City Manager CITY OF TEMECULA AGENDA REPORT TO: City Manager/City Council FROM: Peter Thorson, City Attorney DATE: March 9, 2010 SUBJECT: Approval of Intergovernmental Agreements with the Pechanga Band of Luiseno Indians for the Mitigation of Off -Reservation Impacts from the Pechanga Gaming Center Pursuant to the Tribal State Compact Between the Pechanga Band of Luiseno Indians and the State of California PREPARED BY: Peter Thorson, City Attorney RECOMMENDATION: That the City Council: Adopt a resolution entitled: RESOLUTION NO. 10- A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF TEMECULA APPROVING THE "INTERGOVERNMENTAL AGREEMENT" BETWEEN THE PECHANGA BAND OF LUISENO INDIANS AND THE CITY AND APPROVING THE "MEMORANDUM OF UNDERSTANDING CONCERNING LAW ENFORCEMENT SERVICES AT PECHANGA CASINO" BETWEEN THE PECHANGA BAND OF LUISENO INDIANS, CITY, COUNTY OF RIVERSIDE AND THE SHERIFF OF THE COUNTY OF RIVERSIDE BACKGROUND: The Pechanga Band of Luiseno Indians ("Tribe") is a federally - recognized Indian Tribe located on federal Trust Lands just south of the City boundaries. The Tribe has inhabited the Temecula Valley for more than 10,000 years (or according to Tribal history and culture, since time immemorial). The Pechanga Indian Reservation was established by Executive Order of the President of the United States on June 27, 1882, affirming the Tribe's sovereignty and land -base. R:/Agenda Reports/Pechanga Intergovernmental Agreement 2 23 10 Under the federal Indian Gaming Regulatory Act ("IGRA"), the Tribe may engage in gaming as a means of promoting Tribal economic development, self-sufficiency and strong Tribal government. IGRA generally requires that Class III gaming (Las Vegas style) be conducted pursuant to a Tribal -State Class III gaming compact. On September 10, 1999, and effective in May, 2000, the Tribe entered into a gaming compact with the State of California, as contemplated under IGRA ("1999 Compact'). In August 2006, the Legislature amended the 1999 Compact. This amendment was approved by the voters in the State of California at a referendum election in February 2008 and effective in March 2008 (the Amended Compact'). The original 1999 Compact authorized the Tribe to have 2,000 of the Class III (Las Vegas style) gaming devices in the Casino plus additional 1,600 Class II (bingo style) gaming devices. Underthe 1999 Compact and the 2003 Tribal environmental study, the Tribe successfully developed a gaming center that includes: (1) an approximately 200,000 square foot casino; (2) seven restaurants and related amenities; (3) a thirteen story 522 -room hotel; (4) three parking structures plus surface parking that in total can accommodate at least 8,567 cars, recreation vehicles (RVs), buses; (5) administrative, regulatory, maintenance and service structures; and (6) common areas related to these facilities. The Tribe has assisted the City in obtaining approximately $6 million for the much needed bridge improvements on Pechanga Parkway over Temecula Creek and has provided $8 million of its own money toward off -reservation road improvements on Pechanga Parkway and Temecula Parkway. The City used these road funds along with its developer impact fees and other funding sources to widen Pechanga Parkway from Temecula Parkway to the Casino. The casino, hotel and restaurants has provided over 5,000 jobs to the Tribe and the community as a whole. In addition to the casino, hotel and restaurants, which have become a major tourist attraction and bring millions of dollars into the local community, the Tribe has successfully developed on its lands other economic development or governmental projects that service the Tribe and the community, including a convenience store, golf course, cultural center, museum, gas station, car wash and RV park. The Amended Compact authorizes the Tribe to provide up to 7,500 of the Class III gaming devices. Recognizing the potential off -reservation impacts of an expansion of the gaming, Section 10.8.8 of the Amended Compact requires that the Tribe enter into "intergovernmental agreements" with cities and counties affected by the gaming operations of the tribe. The Tribe now has approximately 4,200 gaming machines in the casino. Staff has been working with Tribal representatives to develop the mitigation measures described in the Intergovernmental Agreement and the Law Enforcement MOU in order to fulfill the mandates of the Amended Compact. SUMMARY OF TERMS OF THE INTERGOVERNMENTAL AGREEMENT: 1. Term. The term of the agreementwould be 21 years, ending December31, 2030 (§ 13.8) 2. Number of Slot Machines. The Tribe is authorized under the 2008 Amendment to the Compact to have 7,500 gaming devices (slot machines) at the Casino. Under the Intergovernmental Agreement, the Tribe agrees that the total number of gaming devices would not be more than 5,000. If the Tribe wants to add more gaming devices, the Tribe would be required to follow the Expansion/Tribal EIR procedures provided in the Agreement and explained in section 6 of this Summary. (§§ 2.10; 2.12; and 3.4.b.). R:/Agenda Re ports/Pech an ga Intergovernmental Agreement 2 23 10 3. Mitigation Fee. The Tribe agrees to pay $2 million per fiscal year to the City for 5 years to mitigate traffic, public safety or any other impacts as determined by the City (§ 3.4.a.). Beginning in year 6, the Tribe will pay $2 million perfiscal year plus a CPI annual adjustment for the remainder of the 21 year term (§ 3.4.a.i.B.). A. Any SDF Payment to the City would be credited against this amount. "SDF Payment" means monies received by the City from the State Distribution Fund that was created under State law pursuant to the Original Compact and into which the Tribe made contributions prior to the Compact's amendment in 2008 or other tribal gaming funds distributed to the cities by the Legislature. B. As part of this Mitigation Fee, the City will agree to cover the County's public safety responsibilities at the casino and hotel. The County will still respond to calls on the Reservation. The City agrees to fund the Sheriff's response to calls for law enforcement service at the Gaming Center and the patrol of the zones of the City closest to the Gaming Center. The public safety responsibilities will be documented in Section 3.6 of the Intergovernmental Agreement and in Section 3.5 of the Law Enforcement MOU between the City, Tribe, County and the Sheriff. C. Payment of the Mitigation Fee and the 1-15/SR-79 South Interchange fee will be the full amount of mitigation the City is entitled to for the impacts of the existing casino and hotel and up to 5,000 slot machines. 4. Special Fee for Interchange. Further, the Tribe will commit to pay $10 million to the City within the next five years for the ultimate 1-15/SR-79 South Interchange. If the Tribe is instrumental in obtaining federal or state grant funds to pay for this project, it will receive a credit equal to the amount they are able to obtain. If the Tribe is unsuccessful in obtaining grant funds by the end of the 5th year, they will pay City $10 million for this project. If the Tribe is successful in obtaining only portion of the $10 million through grant funding, they will pay the City the difference between whatever grants are received and the $10 million. (§ 3.4.a.iv.) 5. Baseline Traffic Study. A Baseline Traffic Study will be conducted at the beginning of the contract period to determine the current traffic impacts of the casino and hotel (§ 4.1). No other traffic studies will be made until either the Tribe proposes an Expansion or five years, which ever is earlier, but only if the City or the Tribe can demonstrate a 10% change from the Baseline Traffic Study. (§ 4.1.d.). 6. Expansion and Future Tribal EIR/Mitigation Measures. In the event the Tribe desires to undertake an Expansion of the casino or hotel or both (as specifically defined), the Tribe will be required to: (1) prepare a Tribal EIR; (2) provide notice to the City of the preparation of the Tribal EIR; (3) provide an opportunity for the City to comment on the Tribal EIR and the proposed mitigation measures; and (4) negotiate appropriate mitigation measures with the City (§ 4.2). A. The City and the Tribe are specifically required to negotiate in good faith as to: (1) whether the Mitigation Fees are adequate to mitigate the impacts of the proposed Expansion; (2) determine whether additional mitigation measures are needed to mitigate the impacts of the proposed Expansion; and (3) reasonably adjust the future Mitigation Fees remaining during the Term to or add additional measures to mitigate the proposed Expansion (§ 3.4.b). B. Any additional mitigation fees would be consistent with mitigation requirements imposed on developers to the extent they are based on the actual generation of comparable increases in traffic over that described in the Baseline Traffic Study (§ 4.1.g). R:/Agenda Re ports/Pech an ga Intergovernmental Agreement 2 23 10 C. Any failure to reach agreement following such good faith negotiations shall be subject to the arbitration provisions of the Agreement (§§ 3.4.b., 4.6 and 4.5). D. The term "Expansion" is defined in Section 2.10 to mean: ".. any increase in the number of Gaming Devices within the existing footprint of the Gaming Center beyond five thousand (5,000), or any increase exceeding ten percent (10 %) or more of the existing footprint or height of the buildings or structures within the Gaming Center, provided that alterations, renovations, maintenance, refurbishments, improvements, changes in configurations or uses, construction, or reconstruction, within the footprint or height of the Gaming Center, or improvements to the spa, porte cochere, surface parking, walkways, pool and common areas that serve or are within the Gaming Center, shall not be deemed to be an Expansion." E. The term "Gaming Center" is defined in Section 2.12 to mean: "... the present gaming facility and hotel located on the Reservation and consisting of approximately two hundred thousand (200,000+) square feet of gaming space plus back of the house and administrative offices and facilities that can accommodate various gaming and casino activities, including up to five thousand (5,000) Gaming Devices, employee rooms, offices and related space; a thirteen story hotel with five hundred twenty-two (522) guest rooms and supporting kitchens, offices, retail, housekeeping, telecommunications and other utility facilities; maintenance and storage spaces; convention, ballroom, classroom and meeting spaces; restaurants, bars, food courts, night clubs, retail spaces, lounges, regulatory, public safety, surveillance and guest services amenities and facilities; a one thousand two hundred (1200) seat theater; swimming and Jacuzzi pools, porte cocheres, and spa facilities and related areas located outside the hotel; surface parking and three parking structures for buses, trucks, SUVs and similar vehicles and automobiles, that can accommodate approximately eight thousand six hundred (8600) vehicles; and related common areas, roadways, sidewalks, storage and administrative facilities; all of which primarily serve the Gaming Center." 7. Government to Government Cooperation. The City and Tribe agree to promote a strong government -to -government agreement that commits each government to maintain open lines of communication (§ 3.7). 8. Dispute Resolution. The City and Tribe agree to resolve any disputes that arise under the Agreement through a two step process: 1) meet and confer in good faith in an effort to resolve the dispute, using a mediator if agreed to by the parties; and 2)if the dispute is not resolved through the meet and confer process, then it would be resolved by binding arbitration before a retired federal or state court judge. If the dispute concerns a Tribal EIR the arbitrator shall be a retired judge with experience in California Environmental Quality Act matters. The arbitrator would have authority to impose such mitigation measures as are described in the TEIR, the comments of the City or other persons concerning the TEIR, and such other mitigation measures as are reasonably necessary and feasible to mitigate the significant effects on the environment, but in accordance with the limitations in the Agreement. An award or order could be appealed to an appellate panel of arbitrators (§§ 7 and 8). 9. Sovereign Immunity. The City and the Tribe agree to waive governmental immunities, including the Tribe's sovereign immunity, in connection with any claims arising from the Agreement (§ 11). SUMMARY OF TERMS OF THE MEMORANDUM OF UNDERSTANDING CONCERNING LAW ENFORCEMENT SERVICES AT PECHANGA CASINO: 1. Parties. The Memorandum of Understanding Concerning Law Enforcement Services at Pechanga Casino ("Law Enforcement MOU") is an agreement between the Tribe, City, County of Riverside ("County" and the Sheriff of Riverside County ("Sheriff"). R:/Agenda Re ports/Pech an ga Intergovernmental Agreement 2 23 10 2. Duties of Law Enforcement Parties. The Law Enforcement MOU recognizes the respective law enforcement duties of the Sheriff and the Tribe's public safety officers and their respective duties and authority under federal and state law. The MOU continues the cooperation of the respective law enforcement organizations and provide the framework for on-going cooperative law enforcement efforts (§ 1.A.). 3. Mitigation Fees to Fund Law Enforcement. Inconsideration of the Mitigation Fee described in the Intergovernmental Agreement, the City agrees to fund the Sheriffs response to calls for law enforcement service at the Gaming Center and the patrol of the zones of the City closest to the Gaming Center (§ 1.13.). 4. Assignment of Deputy. The Sheriff will assign one Sheriff's deputy on each shift to patrol in the patrol zone of the City closest to the Gaming Center and to be the deputy assigned to respond to calls for law enforcement services at the Gaming Center and to patrol the zones closest to the Gaming Center (§ 1.C.). A. The assigned deputy and other deputies shall not engage in random self - initiated patrols at the Gaming Center or on the Reservation but will only respond to calls for service at the Gaming Center as well as such further law enforcement actions as are required for these calls for service, such as active investigation and follow-up investigation of crimes reported to the Sheriff or other law enforcement agencies, searches for suspects and similar actions necessary for carrying out its law enforcement responsibilities with respect to such calls for service (§ 1.C.1)). B. The assigned deputy shall wear a "Riverside County Sheriffs" patch and drive a marked police vehicle with the "Riverside County Sheriffs" seal, provided that if an emergency response is required, any other deputies or Sheriff's vehicles may provide service (§ 1.C.3)). C. The Sheriff shall not be expected to provide gaming security or enforce tribal laws (§ 1.G.). 5. Dispute Resolution and Sovereign Immunity. The Law Enforcement MOU contains the same dispute resolution and sovereign immunity provisions as are in the Intergovernmental Agreement (§§ 2 and 4). 6. Indemnification. The parties each agree to defend, indemnify and hold the others harmless from liabilities arising from their activities under the Law Enforcement MOU (§ 5). DISCUSSION The Intergovernmental Agreement is an important and mutually beneficial means for furthering the government -to -government relationship between the Parties and in building trust, mutual respect, good will and cooperation for the benefit of the entire community. The mitigation funding described in the Intergovernmental Agreementwill enable the Cityto provide additional traffic improvements for the southwestern portion of the City to accommodate traffic from the Gaming Center and to provide necessary law enforcement services in this area. The Intergovernmental Agreement also provides the final funding link for the I-15/SR-79 South Interchange. This interchange will substantially improve the flow of vehicles on and off of the I-15 to the Gaming Center. Further, the Intergovernmental Agreement is intended to provide the Tribe and City with R:/Agenda Re ports/Pech an ga Intergovernmental Agreement 2 23 10 greater certainty concerning future planning and development activities. The Intergovernmental Agreement clearly spells out the processes forthe review any Expansion of the casino, restaurants and hotel and the framework for development of appropriate mitigation measures that would be needed for an Expansion. FISCAL IMPACT: The proposed Mitigation Fee will generate a minimum of $42 million over the term of the Intergovernmental Agreement, less anySDF money received bythe City from the state, but with CPI increases each year beginning in the sixth year. Additionally, the City will receive $10 million towards the 1-15/SR79 South Interchange either from grants secured bythe Tribe or from Tribal funds. The total funds available to the City over the term of the Intergovernmental Agreement would be $52 million with a rough estimate of an additional $13 million in CPI increases for years six to 21. ATTACHMENTS: 1. Resolution No. 10 - Intergovernmental Agreement Law Enforcement MOU R:/Agenda Re ports/Pech an ga Intergovernmental Agreement 2 23 10 RESOLUTION NO. 10- A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF TEMECULA APPROVING THE "INTERGOVERNMENTAL AGREEMENT" BETWEEN THE PECHANGA BAND OF LUISENO INDIANS AND THE CITY AND APPROVING THE "MEMORANDUM OF UNDERSTANDING CONCERNING LAW ENFORCEMENT SERVICES AT PECHANGA CASINO" BETWEEN THE PECHANGA BAND OF LUISENO INDIANS, CITY, COUNTY OF RIVERSIDE AND THE SHERIFF OF THE COUNTY OF RIVERSIDE THE CITY COUNCIL OF THE CITY OF TEMECULA DOES RESOLVE AS FOLLOWS: Section 1. The City Council of the City of Temecula does hereby find, determine and declare as follows: (a) The Pechanga Band of Luiseho Indians ("Tribe") is a federally - recognized Indian Tribe located on federal Trust Lands which are located just south of the City boundaries. (b) Under the federal Indian Gaming Regulatory Act ("IGRA"), the Tribe may engage in gaming as a means of promoting Tribal economic development, self- sufficiency and strong Tribal government. IGRA generally requires that Class III gaming (Las Vegas style) be conducted pursuant to a Tribal -State Class III gaming compact. (c) On September 10, 1999, and effective in May, 2000, the Tribe entered into a gaming compact with the State of California, as contemplated under IGRA. (d) In August 2006 the 1999 Compact was amended by the Legislature and approved by a vote of the people of California at a referendum election in February, 2008 and effective in March 2008 ("2008 Amended Compact'). (e) The original 1999 Compact authorized the Tribe to have 2,000 of the Class III (Las Vegas style) gaming devices in the Casino plus an additional 1,600 Class II (bingo style gaming devices. (f) The 2008 Amended Compact authorizes the Tribe to provide up to 7,500 of the Class III gaming devices. Recognizing the potential off -reservation impacts of an expansion of the gaming, Section 10.8.8 of the 2008 Amended Compact requires that the Tribe enter into "intergovernmental agreements" with cities and counties affected by the gaming operations of the tribe. The Tribe now has approximately 4,200 gaming devices in the Casino. Staff has been working with Tribal representatives to develop the mitigation measures described in the Intergovernmental Agreement and the Law Enforcement MOU in order to fulfill the mandates of the 2008 Amended Compact and to enable the Tribe to continue is existing gaming operations. Section 2. The City Council of the City of Temecula hereby approves that certain agreement entitled "Intergovernmental Agreement" between the Pechanga Band of Luiseno Indians and the City of Temecula ("Intergovernmental Agreement") with such changes in such Intergovernmental Agreement as may be mutually agreed upon by the Tribe and the City Manager as are in substantial conformance with the form of such Intergovernmental Agreement on file in the Office of the City Clerk. 1) The Mayor is hereby authorized to execute the Intergovernmental Agreement on behalf of the City in said form. 2) A duplicate original of the final Intergovernmental Agreement when executed by the Mayor and the Tribe shall be placed on file in the Office of the City Clerk. 3) The City Manager (or his designee), is hereby authorized, on behalf of the City, to take all actions necessary and appropriate to carry out and implement the Intergovernmental Agreement and to administer the City's obligations, responsibilities and duties to be performed under the Intergovernmental Agreement and related documents, including, but not limited to, the approval and execution on behalf of the City of such certifications, approvals of traffic data collection and traffic studies and such other operating agreements and documents as contemplated in the Intergovernmental Agreement or as otherwise necessary and convenient for the implementation of the City's right and obligations under the Intergovernmental Agreement. Section 3. The City Council of the City of Temecula hereby approves that certain agreement entitled "Memorandum of Understanding Concerning Law Enforcement Services at Pechanga Casino" between the Pechanga Band of Luiseno Indians, City of Temecula, County of Riverside and the Sheriff of the County of Riverside ("Law Enforcement MOU") with such changes in such Law Enforcement MOU as may be mutually agreed upon by the Tribe and the City Manager as are in substantial conformance with the form of such Law Enforcement MOU on file in the Office of the City Clerk. 1) The Mayor is hereby authorized to execute the Law Enforcement MOU on behalf of the City in said form. 2) A duplicate original of the final Law Enforcement MOU when executed by the Mayor and the other parties shall be placed on file in the Office of the City Clerk. 3) The City Manager (or his designee), is hereby authorized, on behalf of the City, to take all actions necessary and appropriate to carry out and implement the Law Enforcement MOU and to administer the City's obligations, responsibilities and duties to be performed under the Law Enforcement MOU and related documents, including, but not limited to, the approval and execution on behalf of the City of such certifications, approvals of traffic data collection and traffic studies and such other operating agreements and documents as contemplated in the Law Enforcement MOU or as otherwise necessary and convenient for the implementation of the City's right and obligations under the Law Enforcement MOU. R:/Resos 2010/Resos 10- 2 Section 4. The City Clerk shall certify the adoption of this Resolution. PASSED, APPROVED, AND ADOPTED by the City Council of the City of Temecula this 9th day of March, 2010. Jeff Comerchero, Mayor ATTEST: Susan W. Jones, MMC City Clerk [SEAL] R:/Resos 2010/Resos 10- 3 STATE OF CALIFORNIA ) COUNTY OF RIVERSIDE ) ss CITY OF TEMECULA ) I, Susan W. Jones, MMC, City Clerk of the City of Temecula, do hereby certify that the foregoing Resolution No. 10- was duly and regularly adopted by the City Council of the City of Temecula at a meeting thereof held on the gth day of March, 2010, by the following vote: AYES: COUNCIL MEMBERS: NOES: COUNCIL MEMBERS: ABSENT: COUNCIL MEMBERS: IG1:i..11FG11►�Ko1l1►[MIN diIAdil:l:4:& 1 Susan W. Jones, MMC City Clerk R:/Resos 2010/Resos 10- 4 Final Version 3/4/10 2:15 pm INTERGOVERNMENTAL AGREEMENT This Intergovernmental Agreement ("Agreement") is dated and effective as of, by and between the Pechanga Band of Luiseno Indians, a federally recognized Indian tribe (the "Tribe"), and the City of Temecula, California (the "City"), which are referred to herein collectively as "the Parties" and as to each as a "Party". The terms "City" and "Tribe" as used herein shall include the Parties' governmental entities, departments and officials unless otherwise stated. RECITALS WHEREAS, the Tribe is afederally-recognized Indian Tribe located on federal Trust Lands which are located within the geographic boundaries of Riverside County (the "County") and abut or are near City boundaries; and WHEREAS, the Tribe has inhabited the Temecula Valley for more than 10,000 years (or according to Tribal history and culture, since time immemorial); and WHEREAS, the Pechanga Indian Reservation was established by Executive Order of the President of the United States on June 27, 1882, affirming the Tribe's sovereignty and land -base; and WHEREAS, under the Indian Gaming Regulatory Act, 25 U.S.C. § 2701, et seq. ("IGRA"), the Tribe may engage in gaming as a means of promoting Tribal economic development, self-sufficiency and strong Tribal government; and WHEREAS, IGRA generally requires that Class III gaming be conducted pursuant to a Tribal -State Class III gaming compact; and WHEREAS, on or about September 10, 1999, and effective in May, 2000, the Tribe entered into a gaming compact with the State of California, as contemplated under IGRA, which compact was amended effective March, 2008, and which compact and amendment is referred to herein as the "Compact;" and WHEREAS, the Tribe desires to operate Tribal economic development projects in a manner that benefits the Tribe, its members, and the community as a whole, and the City recognizes the mutual benefit that can be derived if those goals are achieved; and WHEREAS, the Tribe determined that a casino featuring Class II and Class III gaming activities, as authorized under IGRA and, with respect to Class III activities, the Compact, and a hotel and related parking, common areas and amenities (the "Gaming Center" as more specifically defined in Section 2.8) would be a way in which to generate independent Tribal resources to provide for the health, education, employment, government, general welfare, safety, and cultural needs of the Tribe and, accordingly, the Tribe has successfully developed and now operates and maintains the Gaming Center, which consists of an approximately 200,000 square foot casino, which includes seven restaurants and related amenities; a thirteen story 522 -room hotel; three parking structures plus surface parking that in total can accommodate at least 8,567 cars, recreation vehicles (RVs), buses; administrative, regulatory, maintenance and service Final Version 3/4/10 2:15 pm structures; and common areas related thereto. The Gaming Center has provided over 5,000 jobs to the Tribe and the community as a whole and has enabled the Tribe to assist the City in obtaining approximately $6 million for the much needed bridge improvements on Pechanga Parkway over Temecula Creek, has provided $8 million of its own money toward off -reservation road improvements and, over the last alone, has contributed over $ to local charities; and WHEREAS, in addition to the Gaming Center, which has become a major tourist attraction and brings millions of dollars into the local community, the Tribe has successfully developed on its lands other economic development or governmental projects that service the Tribe and the community, including a convenience store, golf course, cultural center, museum, gas station, car wash and RV park; and WHEREAS, the Tribe enacted an off -reservation environmental impact ordinance pursuant to the Compact to address any such off -reservation impacts from the Gaming Center and the possible mitigation of their effects, which ordinance makes a good faith effort to incorporate the policies and purposes of the California Environmental Quality Act ("CEQA") and the National Environmental Policy Act ("NEPA"); and WHEREAS, the Compact requires that for future "Projects" as defined in the Compact the Tribe must engage in certain specified environmental review processes and further provides for the Tribe and any impacted city and county to enter into enforceable written "Intergovernmental Agreements" for mitigation of Off -Reservation Environmental Impacts, public safety services, and other specified programs; and WHEREAS, the Parties recognize that this Agreement therefore is an important and mutually beneficial means for furthering the government -to -government relationship between the Parties and in building trust, mutual respect, good will and cooperation for the benefit of the entire community. Further, this Agreement is intended to provide the Tribe and City with greater certainty concerning future planning and development activities. Accordingly, this not only addresses the current Gaming Center, but anticipates how issues that might arise in the future regarding its further development will be guided, and serves as the Intergovernmental Agreement provided for in the Compact so as to ensure cooperation and understanding between the Parties for generations to come. NOW, THEREFORE, the Parties agree as follows: AGREEMENT SECTION 1. PURPOSE OF AGREEMENT 1.1. The purpose of this Agreement is to set forth certain agreements of the parties that are intended to: a. Assure the implementation of measures for mitigating the Off -Reservation impacts of the Gaming Center, as set forth in this Agreement; 2 Final Version 3/4/10 2:15 pm b. Establish a mutually agreeable process to identify and mitigate potential Off -Reservation environmental impacts of future Gaming Center development, including a process that meets or exceeds the processes required under the Compact; C. Create a process to resolve future disputes that may arise between the City and the Tribe under the Compact and this Agreement; d. Create a framework for continuing to build and maintain a mutually beneficial government -to -government relationship between the Tribe and the City; and e. Identify ways for the Tribe and the City to work together to provide services and benefits to the Tribal community and the residents of the City of Temecula. Provide certainty with respect to future planning and development activities. SECTION 2. DEFINITIONS. The following terms shall be defined in this Agreement as set forth in this Section: 2.1. "Agreement' means this agreement, which shall be deemed to be the Intergovernmental Agreement between the Parties as required under Section 10.8.8 of the Compact. 2.2. "Anniversary Date" means the date defined as such in Section 3.4 below. 2.3. "Baseline Traffic Study" mean the traffic study defined as such in Section 4.1 a. 2.4. "CEQA" means the California Environmental Quality Act, California Public Resources Code Sections 21000 et seq. and the CEQA Guidelines, California Code of Regulations, Title 14, Sections 15000 et seq. 2.5. "City" means the City of Temecula, an incorporated California city that is located within the boundaries of the County. 2.6. "Compact' means the Tribal -State Compact between the State of California and the Tribe entered into on or about September 10, 1999, and effective in May, 2000, and amended effective March, 2008. 2 7 "County" means Riverside County, California. 2.8. "Effective Date" means the date this Agreement is executed by both Parties and so designated above in the introduction to this Agreement. 2.9. "Exempt Project' means any activity which, although initially defined as a "Project" herein or in the Compact, would be exempt under CEQA. 2.10. "Expansion" shall mean any increase in the number of Gaming Devices within the existing footprint of the Gaming Center beyond five thousand (5,000), or any increase exceeding Final Version 3/4/10 2:15 pm ten percent (10 %) or more of the existing footprint or height of the buildings or structures within the Gaming Center, provided that alterations, renovations, maintenance, refurbishments, improvements, changes in configurations or uses, construction, or reconstruction, within the footprint or height of the Gaming Center, or improvements to the spa, Porte cochere, surface parking, walkways, pool and common areas that serve or are within the Gaming Center, shall not be deemed to be an Expansion. 2.11. [This section intentionally omitted.] 2.12. "Gaming Center" means the present gaming facility and hotel located on the Reservation and consisting of approximately two hundred thousand (200,000 square feet of gaming space plus back of the house and administrative offices and facilities that can accommodate various gaming and casino activities, including up to five thousand (5,000) Gaming Devices, employee rooms, offices and related space; a thirteen story hotel with five hundred twenty-two (522) guest rooms and supporting kitchens, offices, retail, housekeeping, telecommunications and other utility facilities; maintenance and storage spaces; convention, ballroom, classroom and meeting spaces; restaurants, bars, food courts, night clubs, retail spaces, lounges, regulatory, public safety, surveillance and guest services amenities and facilities; a one thousand two hundred (1200) seat theater; swimming and Jacuzzi pools, Porte cocheres, and spa facilities and related areas located outside the hotel; surface parking and three parking structures for buses, trucks, SUVs and similar vehicles and automobiles, that can accommodate approximately eight thousand six hundred (8600) vehicles; and related common areas, roadways, sidewalks, storage and administrative facilities; all of which primarily serve the Gaming Center. 2.13. "Gaming Device" means a Gaming Device as defined in Section 2.6 of the Compact. 2.14. "IGRA" means the Indian Gaming Regulatory Act, 25 U.S.C. § 2701 et sec. 2.15. "Mitigation Fee" means the fee or fees referred to as such in Section 3.4 below, and is intended to provide further and final mitigation with respect to the Gaming Center (i) in accordance with subsection 3.4.a. so long as there has been no Expansion, and (ii) in accordance with Subsection 3.4.b. if there has been an Expansion. 2.16. "Original Compact" means the compact between the State of California and the Tribe executed in 1999 (and effective in 2000), and similar to compacts entered into between the State and approximately 57 other tribes at the time. 2.17. "Reservation" means those lands held intrust by the federal government for the benefit of the Tribe, including but not limited to the lands on which the Gaming Center is located. 2.18. "Project" means an activity defined as a "Project" in Section 10.8.7 of the Compact and shall not include an Exempt Project. 2.19. "SDF Payment" means monies received by the City from the State Distribution Fund ("SDF") that was created under State law pursuant to the Original Compact and into which the Tribe made contributions prior to the Compact's amendment in 2008. Although payments by 4 Final Version 3/4/10 2:15 pm the Tribe to the State under the amended Compact are not required to be allocated to the SDF, those payments to the State are far in excess of what the Tribe was paying to the State for the SDF under the Original Compact, and the State may continue to appropriate some of such money to the SDF or similar uses that benefit the City. In addition, the State has some funds remaining in the original SDF that have not yet been paid to the City. Any payment received by the City from or through the State related to Indian gaming revenues therefore shall be included within the term "SDF Payment." 2.20. "Significant Effect on the Environment' shall be as defined in Section 10.8.7 (b) of the Compact as a Significant Effect on the Off -Reservation Environment. 2.21. "Tribal Environmental Impact Report" or "TEIR" is the report described in, and subject to, Section 10.8.1 of the Compact. 2.22. "Tribe" means the Pechanga Band of Luiseno Indians, a federally recognized Indian tribe. 2.23. "Term" means the period from the Effective Date through December 31, 2030 as further described in Section 13.8 of this Agreement. 2.24. Capitalized words not otherwise specifically defined in this Agreement shall have the definitions of such words as may be set forth in the Compact. SECTION 3. GAMING CENTER MITIGATION MEASURES. 3.1. Review of Existing Gaming Center Environmental Reports. a. Prior to the construction of the facilities for the Gaming Center, the Tribe conducted and completed an environmental study and process under the Original Compact, which included the adoption of mitigation measures designed to address the facilities anticipated in the study. Commencing with the legislative approval of the Amended Compact in August 2006, and on a government -to -government voluntary basis, the Parties have met periodically to review the off -reservation impacts of the Gaming Center. b. The Parties acknowledge that the establishment of the Gaming Center may create off -reservation impacts, including but not limited to the generation of vehicle traffic and traffic -related events, law enforcement services, fire and emergency medical services, noise and light and related factors, and other effects. The parties also acknowledge that the Gaming Center has provided substantial benefits to the Tribal, City and surrounding communities, including increased employment, an important market for local vendors, and an attraction for patrons, tourists and revenues from out of the area. 3.2. Intergovernmental Agreement. 3.3. The Parties recognize that both the positive and negative effects of the Gaming Center on the interests of the Parties may be difficult to quantify, but in the government -to - government spirit that underlies this Agreement, and in order to address any off -reservation effects of the Gaming Center and resolve differences of opinions between the Tribe and City as Final Version 3/4/10 2:15 pm to the extent and materiality of any such effects, the Parties have agreed to add certain mitigation measures that take all of those positive and negative effects into account. The mitigation measures embodied in this Agreement, including but not limited to the Mitigation Fee, and this Agreement itself, are intended to constitute the Intergovernmental Agreement between the Tribe and the City to the extent required under Section 10.8.8 of the Compact with respect to the Gaming Center. a. The Tribe and the City agree that any Significant Effects on the Environment from the Gaming Center will be adequately mitigated by the Tribe as required by the Compact through its mitigation efforts completed prior to the adoption of this Agreement and through the Mitigation Fee provided in Section 3.4 of this Agreement. b. The Tribe and the City agree that this Agreement provides a fair process for determining whether any Expansion will have a Significant Effect on the Environment and, if so, the measures, if any, that will be required to adequately mitigated those effects as required by the Compact. 3.4. Mitigation Fees. a. The Tribe shall pay Mitigation Fees to the City on an annual basis during the Term in the following amounts, each of which shall be subject to the credit for SDF Payments described in Section 3.4.a.iii: i. On or before June 30, 2010 (June 30 of each year shall be known as the "Anniversary Date"), the sum of Two Million dollars ($2,000,000). ii. For each succeeding year, the following amounts: A. The sum of Two Million dollars ($2,000,000) on or before the second, third, fourth and fifth Anniversary Dates; B. On or before the sixth Anniversary Date, the sum of Two Million dollars ($2,000,000) adjusted upward or downward in accordance with the direction and percentage of change from the prior year in the annual Consumer Price Index for the metropolitan area closest to the City of Temecula last published prior to the date such payment is due ("CPP'), by multiplying such percentage change in the CPI by $2,000,000 and adding or subtracting such amount, as the direction of the change may dictate, and C. On or before each Anniversary Date thereafter during the Term, the amount due with respect to the last Anniversary Date, adjusted upward or downward in accordance with the direction and percentage of change from the prior year in the CPI, by multiplying such percentage change in the CPI by the amount of such prior amount due and adding or 6 Final Version 3/4/10 2:15 pm subtracting such amount, as the direction of the change may dictate; and D. A last and final Mitigation Fee payment under this Agreement, which shall be paid on or before the Anniversary Date that falls within the year 2030, adjusted as in the preceding subparagraph C. iii. Each total of $2 million due annually under subsection i. or ii. shall be reduced by the amount of any SDF Payments received by the City in the same year such Mitigation Fee payment is due (or if received after payment of the Mitigation Fee in that year, shall so reduce the following year's payment), except that any SDF Payment received by the City after the last and final Mitigation Fee payment was received by it shall be refunded to the Tribe on or before the next June 30th. iv. In addition to the Mitigation Fee payments set forth in subsections i through iii above, on or before the fifth Anniversary Date, the Tribe shall pay to the City a Mitigation Fee in the amount of Ten Million dollars ($10,000,000). Such Mitigation Fee shall be reduced by the amount of any federal or state grant or other funding (including but not limited to a grant or funding with respect to improvements related to any I-15/SR-79 interchange) received by or committed to the City or for the City's benefit during that or the following year through the efforts in whole or in part of the Tribe. Funding or grants under such circumstances may be in installments, as such State or federal grant or funding shall be authorized, provided that if it is finally determined in good faith that such funding, although in process will not in fact occur, such Mitigation Fee (or such portion thereof as will not be funded) shall be paid by the Tribe on or before June 30ffi following such final determination. The Mitigation Fee in this subsection iv shall not be subject to a CPI adjustment. b. The foregoing Mitigation Fees shall be deemed to be mitigation provided in connection with any Expansion during the Term, provided that within sixty (60) days following the issuance of a Final TEIR in connection with an Expansion, either Party may request to reopen this Section 3.4 for the limited purpose of negotiating and reaching agreement with the other party in good faith as to: (1) whether these Mitigation Fees are adequate to mitigate the identified off -reservation impacts of the proposed Expansion; (2) determine whether additional mitigation measures are needed to mitigate the identified off -reservation impacts of the proposed expansion; and (3) reasonably adjust the future Mitigation Fees remaining during the Term or add additional mitigation measures, in accordance with this agreement, in order to mitigate the proposed Expansion. Any failure to reach agreement following such good faith negotiations shall be subject to the arbitration provisions set forth in Section 9. 3.5. Law Enforcement Services Generally. Both the City and the County rely on the services of the Riverside County Sheriffs Department ("Sheriffs Department") to meet the law enforcement needs that arise within their respective jurisdictions, including the Public Law 280 duties of the County and State with respect to the Tribe, the reservation and the Gaming Center. 7 Final Version 3/4/10 2:15 pm In addition, the Tribe has its own force of public safety and security officers that are assigned to the Reservation and the Gaming Center. There is a good working relationship between and among the Tribe, the City, the County and the Sheriffs Department with respect to meeting law enforcement needs that arise on or in connection with activities at the Gaming Center and on the reservation. a. The Parties have determined that the Mitigation Fees agreed to in Section 3.4 above are sufficient to ensure that the City and County law enforcement needs that are directly related to the Gaming Center can be adequately met, subject to any adjustment up or down per Section 3.4. The City, through contractual agreements with the County, provides law enforcement to the areas surrounding the Gaming Center. Concurrently with the approval of this Agreement, the Tribe, City, County of Riverside and the Sheriff of Riverside County have entered into that certain "Memorandum of Understanding Concerning Law Enforcement Services at Pechanga Casino," a copy of which is attached hereto as Exhibit A (the Law Enforcement MOU" ). The Law Enforcement MOU provides that the City will ensure that the cost of law enforcement directly or indirectly related to the Gaming Center will be met, and agrees to apply sufficient funds from the Mitigation Fees and SDF Credits to meet such needs. Notwithstanding the foregoing, the specific allocation of such Mitigation Fees for such purposes shall be at the discretion of the City (except as the SDF Credits may be controlled by law). b. The assignment of law enforcement officers to the extent necessary to make arrests under State law and fulfill PL 280 functions with respect to the Gaming Center or the reservation (except in emergencies) shall be made in cooperation and through ongoing dialogue between Tribal and City/County law enforcement. Nothing in this Agreement or any other contract with the City or the Sheriff is intended or shall be construed to expand or limit the jurisdiction of the City, the County or the Sheriff beyond that which would be exercised pursuant to Public Law 280. Nothing in this Agreement or other contract with the County or Sheriff is intended, or shall be construed, to expand or limit the jurisdiction of any Tribal law enforcement agency beyond that which would be exercised pursuant to applicable law. 3.6. Fire And Emergency Services. a. The Parties acknowledge that the Tribe's development, construction, operation and maintenance of the Gaming Center require fire protection and emergency response services. Much of that need is fulfilled by the construction and operation of the Tribe's own fire department on the Reservation. Nevertheless, from time to time the fire protection and emergency response services available from the Tribe's own departments may require supplemental services from the County. b. The Tribe and the City shall cooperate on a government -to -government basis to promote public safety and to provide the Tribe with such mutual aid and automatic aid for supplemental fire and emergency services, on a cooperative basis, as is offered to neighboring cities and unincorporated County areas. At present, a mutual aid agreement exists between the Tribe and the appropriate agencies concerning fire and emergency services. If necessary, the parties agree to diligently and in good faith negotiate a more detailed mutual aid and automatic aid agreement, similar in its terms to those between the Tribe and other jurisdictions, to further implement the intent of this Section that the City and the Tribe cooperate Final Version 3/4/10 2:15 pm in providing effective and efficient fire and emergency services to the Gaming Center and the surrounding community. C. The Tribe has in place an emergency preparedness plan that addresses evacuation and access issues. The City and Tribe shall consult and coordinate services to further develop the plan and to prepare to respond to any emergency at the Gaming Center. d. The Tribe shall consult with the City, and the City shall cooperate with the Tribe, regarding the use, storage, disposal, and transportation on roads within the City of any and all hazardous materials to be used by the Gaming Center. Nothing in this Agreement shall expand the City's jurisdiction regarding regulation of hazardous materials. 3.7. Regular Meetings of the Parties. In an effort to maintain and promote good government to government relations between the Tribe and the City, the parties' designated representatives shall meet on a regular basis every six (6) months to discuss issues of mutual interest. SECTION 4. FUTURE ENVIRONMENTAL REVIEW AND MEASURES 4.1. Traffic Studies. In addition to the promises and covenants otherwise contained in this Agreement, the Parties acknowledge that it is uncertain whether an Expansion of the Gaming Center will create Off -Reservation impacts on the City. In particular, the Parties recognize and acknowledge that an Expansion, depending on its nature and extent, could create certain increased demand and resulting costs for public services to be provided by the City and increased traffic in the area of the Gaming Center and roads leading to Interstate 15. Additionally, the Parties acknowledge and recognize that given the improvements made to the area of the Gaming Center by the Tribe and City through this Agreement, through any Expansion, or otherwise, the updated Baseline Traffic Studies provided in this section and the TEIR might conclude that an Expansion may not require additional mitigation measures to mitigate its off -reservation impacts. The City has further identified the Temecula Parkway/Interstate 15 Interchange as a possible interchange improvement in the area and the parties agree that such an improvement will need to be carefully reviewed. Because any potential increase in traffic is a measurable method of determining an Expansion's Off -Reservation impacts, the Parties have agreed that in the event of an Expansion, it is necessary to provide for a method acceptable to the parties to measure the relative increase of traffic attributable to the Expansion of the Gaming Center. Accordingly, in the event of an Expansion, the parties agree to proceed in good faith to mitigate resulting Off - Reservation created by an Expansion as follows: a. Baseline Traffic Study. Within sixty (60) days of the Effective Date, the Tribe and the City shall meet and confer on a traffic study that is mutually acceptable, including giving good faith consideration as a preference to the possible use of traffic studies that have already been conducted by the Tribe, but if the parties cannot agree, to determine the most feasible and economic way to jointly conduct a traffic study, paid for in equal shares by the Parties. The traffic study agreed upon (the "Baseline Traffic Study") shall serve as a baseline to objectively measure the actual current traffic conditions resulting from the Gaming Center separately from all other users of the key roadways and intersections. 9 Final Version 3/4/10 2:15 pm b. The parties agree to meet in good faith to review and approve the use of the data set collected in June 2008 by the Tribe for the Baseline Traffic Study and neither party shall unreasonably reject the use of the June 2008 data. C. The Baseline Traffic Study shall measure and identify the total traffic along Pechanga Parkway between Temecula Parkway (SR 79) and Pechanga Road and at the Gaming Center driveways on a daily basis (ADT's) and at the key intersections along Pechanga Parkway during the AM, PM, evening peak hours on a typical weekday and a typical Saturday. d. No other traffic studies shall be referred to or used under this Agreement, until and unless an Expansion is undertaken in accordance with the TEIR process in the Amended Compact, or at or after the fifth Anniversary Date, whichever first occurs, but only if one of the Parties can demonstrate an increase or decrease of ten percent (10%) or more from the Baseline Traffic Study's weekday evening peak hour ADTs attributable to the Gaming Center. To demonstrate an increase, a Party must submit prima facie documentation complying with industry standards for measurement of off -reservation traffic impacts, such as a traffic mitigation study or some similar type of traffic count study. Any submissions of prima facie documents for an additional traffic study must be submitted to the other party within 60 days of the fifth Anniversary Date or the issuance of the final TEIR, depending on whether the event used to justify the timing for considering an update is the fifth Anniversary Date or an Expansion. e. If the prima facie documentation shows a substantial increase or decrease in traffic attributable to the Gaming Center from that set forth in the Baseline Traffic Study, then the Parties agree to conduct a traffic study for the purpose of comparing the data to the Baseline Study in order to objectively measure the actual off -reservation traffic impacts attributable to the Expansion and to update the Baseline Traffic Study. f The parties agree to utilize the measurements in an updated Baseline Traffic Study for the purposes of determining whether any additional mitigation fees are reasonably necessary with respect to the increased off -reservation traffic impacts from the Expansion or the Gaming Center. g. The additional mitigation fees, if any, shall not exceed an amount that is (1) necessary to mitigate off -reservation traffic impacts related to the Expansion as identified in the updated Baseline Traffic Study and TEIR and (2) proportional to the traffic generated by the Gaming Center and Expansion when compared to the traffic in the area analyzed in the Baseline Traffic Studies that is generated from sources other than the Gaming Center. The additional mitigation fees for off -reservation traffic impacts shall be consistent with mitigation requirements imposed on developers of projects within the City to the extent they are based on the actual generation of a comparable increase in traffic over that set forth in the Baseline Traffic Study. While the Tribe acknowledges and recognizes that such comparisons can be difficult because the development agreement process of Government Code Section 65864 authorizes the City to require mitigation that may exceed a developer's proportional share of traffic generation, the parties agree to cooperate in determining what the actual fees would be if they were lowered to reflect a developer's actual proportional share of traffic generation. 10 Final Version 3/4/10 2:15 pm 4.2. TEIR. In the event that an Expansion is undertaken, the Tribe shall prepare a TEIR pursuant to Section 10.8.1 of the Compact and shall follow the processes required in Sections 10.8.2, 10.8.3, 10.8.4 and 10.8.5. The Tribe shall notify the City of the filing of the Notice of Preparation of the Draft TEIR and provide the City with a copy of the Notice of Preparation at the time the Notice of Preparation is filed with the State Clearinghouse in the State Department of Planning and Research ("State Clearinghouse"). The Tribe shall notify the City of the filing of the Notice of Completion of the TEIR and provide the City with a copy of the TEIR at the time the Notice of Completion is filed with the State Clearinghouse. The Tribe shall maintain an administrative record of the TEIR process, the documents cited in the TEIR, the comments received on the TEIR during the public comment periods, and such other studies and documents relied on in the preparation of the TEIR and the Final TEIR so as to provide an adequate basis for the resolution of any disputes pursuant to Sections 7, 8 and 9 of this Agreement. 4.3. Existing Off -Reservation Impacts. The Parties agree that any existing off - reservation environmental impacts from the Gaming Center, including future additional traffic impacts from the Gaming Center, but not an Expansion, will not be the subject of any additional Mitigation Fee or mitigation plan, including any mitigation plan under the TEIR process in the Amended Compact, except as set forth in this Agreement. 4.4. Meet and Confer Requirements Regarding the TEIR and Intergovernmental Agreement. a. Not later than fifteen (15) days following the filing of the Notice of Completion of the Draft TEIR with the State Clearinghouse, the Parties shall commence diligent and good faith negotiations, to discuss and reach agreement on the contents of the Draft TEIR, the primary objective of which is to provide for the timely mitigation of Significant Adverse Impacts, where such off -reservation impacts: Are primarily attributable to the Expansion being proposed; ii. Occur outside of the geographic boundaries of the Tribe's existing or proposed Trust Lands and within the geographic boundaries of the City; and; iii. Are within the jurisdiction or responsibility of the City. b. Not later than fifteen (15) days after the filing of the Notice of Preparation with the State Clearinghouse, the Parties shall commence diligent and good faith negotiations, to discuss and reach agreement on an amendment to this Intergovernmental Agreement to implement additional mitigations measures, modified mitigation measures described in this Agreement or a combination of both, to the extent the parties agree that such measures are reasonably required to address the environmental impacts described in the TEIR or the comments thereto. 4.5. Binding Arbitration. If the Parties, after meeting and conferring consistent with Section c. above, have not approved, executed and delivered an Amended Intergovernmental Agreement for the Expansion, within fifty-five (55) days after the date of the publication of the Final TEIR, or such other date as the Parties may mutually agree in writing, either party may 11 Final Version 3/4/10 2:15 pm initiate the binding arbitration dispute resolution processes contained in Section 8 of this Agreement and 10. 8.9 of the Compact. The Parties may extend this time by mutual written agreement. SECTION 5. EFFECT OF FEDERAL LAWS REGARDING ENVIRONMENTAL MATTERS. 5.1. Notwithstanding any provision to the contrary, the Parties acknowledge that the Tribe is subject to federal laws and regulations regarding the environment and health and safety, including but not limited to the Clean Water Act, Safe Drinking Water Act, Endangered Species Act, Indian Gaming Regulatory Act, and Occupational Safety and Health Act, and permit conditions including but not limited to conditions in any NPDES permits. Except as provided below, the Parties agree that the matters regulated by these laws, regulations, and permits shall be matters that are between the Tribe and the federal agency having jurisdiction over such statutes, regulations, and permits, and a violation of such statutes, regulations, and permits shall not be considered in conflict with this Agreement or a required part of it. Consistent with the above, the City shall retain whatever rights it may have with respect to participation in the matters regulated by these laws, regulations, and permits, including without limitation, the rights to take such administrative or legal actions as may be necessary to protect is rights in accordance with the statutes and regulations applicable to the federal agency conducting the proceedings, shall be deemed to have waived any right it might otherwise have under this Agreement to compel arbitration or meet the City's concerns about that aspect of the Project under this Agreement. 5.2. Any dispute or disagreement the City has with a federal process or its outcome thus shall only be subject to the remedies available in such process and not through the dispute resolution or other provisions of this Agreement. 5.3. Nothing herein shall be construed as limiting the Parties' respective rights to reach agreement on a voluntary basis with each other over such matters outside such federal process, subject to applicable law and the sole discretion of each party as to whether or not to negotiate or agree on such matters outside the context of the federal process itself. SECTION 6. CONFIDENTIALITY OF PROPRIETARY INFORMATION 6.1. To the extent authorized by the California Public Records Act (Government Code Section 6250 et seq.), and subject to all provisions of such Act, the Parties agree that proprietary and confidential operational and financial information concerning the Gaming Center shall be deemed confidential and shall not be shared with any third party. The Parties acknowledge and agree that such proprietary information includes found documents obtained, observations made, or conclusions drawn directly or indirectly under this Agreement concerning the proprietary operation or financial information concerning the Gaming Center including without limitation, where the source or information comes from, inspection reports, plan reviews, and all documents related to examinations of financial information, negotiations, consultations, disputes or other activities under this Agreement. 12 Final Version 3/4/10 2:15 pm 6.2. Prior to providing such information to the City, or permitting City access to such information, but without implying that providing such access or information is necessarily required, the Tribe shall notify the City in writing that such information is confidential or proprietary. 6.3. The City shall promptly provide the Tribe notice of any Public Records Act request related to this Agreement and shall afford the Tribe, within the time limits allowed under the Act, an opportunity to seek an injunction by the Court against any such disclosure. SECTION 7. DISPUTE RESOLUTION 7.1. Meet and Confer Process a. In recognition of the government -to -government relationship between the Tribe and City, the Parties shall make their best efforts to resolve disputes that occur under this Agreement by good faith negotiations whenever possible. Therefore, the Parties hereby establish a threshold requirement that disputes arising under this Agreement shall first be subject to a good faith meet and confer procedure to give the Parties an opportunity to work together to solve identified issues. b. Disputes arising between the Parties regarding a party's alleged failure to meet its obligations imposed by this Agreement, including a refusal to meet and confer, shall be addressed through the following process: C. The Parties may meet and confer informally to discuss their concerns. This stage may include an informal exchange of views among Tribal and City personnel and may remain confidential in accordance with applicable law. d. A party desirous of invoking the meet and confer provisions of this Agreement shall provide written notice to the other party, identifying with specificity the alleged issue or issues and the actions requested to resolve the dispute. Within seven (7) business days after receipt of the notice, the recipient shall provide a written response agreeing or disagreeing with the complaint. If the party agrees it will set forth detailed steps to address the alleged breach of the Agreement. If the Parties disagree, they shall proceed in accordance with the next subsection. e. The Parties shall formally meet and confer in good faith within ten (10) business days of receipt of such notice, or at such other time as the Parties may agree in writing, to attempt to resolve the dispute. If both Parties agree, a mediator may be used to help resolve the dispute at this stage. The Parties and mediator, if any, shall ensure that any disputed issues are clearly and directly communicated according to any agreed upon process and timeline. Multiple meetings under this step may be reasonably required depending upon the nature of the dispute, provided that the meet and confer process shall be completed within thirty (30) days of formal initiation unless extended in writing by mutual agreement of the Parties. Failure to substantially comply with the procedures and timelines contained in this Section with respect to an Expansion shall entitle the complaining party to proceed directly to arbitration. 13 Final Version 3/4/10 2:15 pm f To the extent allowed by law, such writings as may be prepared and transmitted between the Parties pursuant to this subsection 8.1 shall be confidential. SECTION 8. BINDING ARBITRATION PROCEDURE 8.1. Subject to compliance with the meet and confer process stated above and the limitations herein as to the scope of any order, either party may initiate binding arbitration to resolve any dispute arising out of this Agreement regarding the interpretation of any the Agreement's provisions and/or rights and obligations of the Parties under the Agreement. 8.2. The arbitration shall be conducted by arbitrator(s) in accordance with the JAMS Comprehensive Arbitration Rules & Procedures (the "Rules") then in effect at the time of the initiation of arbitration. The arbitration shall take place in or near Temecula, including any location on the Reservation, or at another location mutually agreed upon by the Parties. The arbitrator shall be a retired federal or California superior court judge selected pursuant to the following terms: a. The arbitrator shall be from the list of prior approved arbitrators with experience in matters concerning the California Environmental Quality Act. b. In the event the Parties cannot agree upon an arbitrator, the Parties agree that Rule 15 of the Rules shall govern the selection of the arbitrator. C. Subject to the terms of this Section, the arbitrator shall have jurisdiction to interpret and apply the terms of the Compact and this Agreement, but shall lack jurisdiction to modify the Agreement or relieve a party of its obligations, or add to those obligations under the Agreement, except in the event that material terms of this Agreement are determined to be void or that the provisions of the Compact are in material conflict with the terms of this Agreement. In the latter instance the arbitrator may order the Agreement modified to conform to the Compact, with the least change necessary in order to maintain the relative positions of the Parties at the time the Agreement was entered into. d. This Agreement does not provide for, and the arbitrator shall not have jurisdiction to order, remedies with respect to federal, state, or City laws, regulations, ordinances, codes or other laws against the City, including its government entities, officials, members or employees or its real property, and shall only consider or evaluate such laws and issue such orders as expressly permitted under this Agreement. e. In the event the dispute concerns the failure to prepare a TEIR or the adequacy of a TEIR for an Expansion, the Arbitrator shall have the authority to order the Tribe to comply with the requirements of this Agreement with respect to the TEIR, including, without limitation, the revision and recirculation of the TEIR. f In the event the dispute concerns the adequacy or extent of measures necessary to mitigate Significant Effects on the Environment, the Arbitrator shall have the authority to impose such mitigation measures as are described in the TEIR, the comments of the City or other persons commenting on the TEIR, the Final FIR and such other mitigation 14 Final Version 3/4/10 2:15 pm measures as are reasonably necessary and feasible to mitigate the Significant Effects on the Environment, but in accordance with the limitations in this Agreement. g. Except as provided above with respect to the impact of an Expansion, arbitration orders and awards may not include monetary awards, and such monetary awards related to an Expansion shall be limited to the amount the Arbitrator determines as necessary to mitigate a Significant Effect on the Environment on the basis of the information contained in the administrative record of the Tribe's proceedings to approve the TEIR and adopt mitigation measures, and shall not exceed the limits in this Agreement. h. Equitable relief shall be limited to compelling some actual performance that is expressly described in this Agreement or preventing a party from failing to take such action. i. Any controversy regarding whether an issue is subject to arbitration shall be determined by the arbitrator, but the arbitrator's jurisdiction shall be limited to ordering forms of relief agreed to in this Agreement. j. The Arbitrator shall render an award consistent with Rule 30 of the Rules. The Parties agree to be bound by the provisions of Rule 17 of the Rules relating to informal and formal discovery rights and obligations, subject to the agreement of the Parties or order of the Arbitrator otherwise. In any event, any discovery conducted shall be subject to the confidentiality provisions of this Agreement to the extent such provisions may be lawfully enforced, and the Arbitrator shall make such orders as are necessary to enforce such provisions. k. Following an arbitration order or award, either Party may appeal pursuant to the JAMS Rules [re appeals of arbitration]. In the event appeal is sought, no order of the arbitrator shall be considered to be final until the appeal is concluded, including any matters that may be pending as to such order by a reviewing court under Section 9. SECTION 9. JUDICIAL REVIEW AND ENFORCEMENT 9.1. The Parties agree that the prevailing party in any arbitration contemplated under Section 8 hereof may seek to confirm and enforce any arbitration award that has become final by filing a petition with any Superior Court in the State of California, pursuant to the provisions of California Code of Civil Procedure, Section 1285 et seq. In any arbitration or court action, each party shall bear its own costs and attorneys' fees in any court action or arbitration proceeding brought pursuant to this Agreement. 9.2. Nothing in this Agreement shall preclude or restrict the ability of Parties to voluntarily pursue, by mutual agreement, any other method of dispute resolution. SECTION 10. NOTICES 10.1. Notices pursuant to this Agreement and service of process in any judicial or arbitration proceeding is waived in favor of delivery of documents by (i) delivery by a reputable document delivery service, such as but not limited to, Federal Express, that provides a receipt 15 Final Version 3/4/10 2:15 pm showing date and time of delivery or (ii) by Certified Mail — Return Receipt Requested to the following: 10.2. For the Tribe: Tribal Chairperson Pechanga Band of Luiseno Indians 12705 Pechanga Road Temecula, CA 92592 Tel: 951-676-2768 With a copy simultaneously delivered to: Jerome L. Levine Holland & Knight, LLP 633 W. 5th Street, Suite 2100 Los Angeles, CA 90071 Tel: 213 896 2565 10.3. For the City: City Manager City of Temecula 43200 Business Park Drive Temecula, CA 92590 Tel: 951-694-6444 Office of Legal Counsel Pechanga Band of Luiseno Indians 12705 Pechanga Road Temecula, CA 92592 Tel: 951-676-2768 With copy simultaneously delivered to: Peter M. Thorson Richards, Watson & Gershon 355 South Grand Ave., 40th Floor Los Angeles, CA 90071 Tel: 213-626-8484 10.4. Either Party may change the names and address to which notices and service of process may be delivered by written notice to such persons as listed in the subsection or by subsequent notice of changes. SECTION 11. MUTUAL LIMITED WAIVER OF SOVEREIGN IMMUNITY 11.1. The Parties agree that the Parties' waiver of immunity from arbitration or suit, or the enforcement of any order or judgment related thereto, is limited to the express provisions of Sections 8 and 9 of this Agreement, and neither the agreement to arbitrate nor any other provision of this Agreement shall be construed as creating any implied waiver of such immunity. 11.2. The Parties each expressly covenant and agree that they may each sue and be sued, including the resolution of disputes in arbitration and the judicial enforcement thereof, as 16 Final Version 3/4/10 2:15 pm provided in Sections 8 and 9 above, to resolve any controversy arising from this Agreement or to enforce or interpret the terms and conditions of this Agreement, as provided for in this Agreement. The Parties, their officers and agents expressly agree to waive governmental immunities, including sovereign immunity, in connection with any claims arising from this Agreement, as provided for herein for the enforcement of any arbitration award, or judgment to enforce such an award as a result of this Agreement. The Parties further consent to the jurisdiction of an arbitrator and/or specified court under this Agreement including the consent to be sued and bound by a lawful order or judgment, to the extent provided for herein. Each of the Parties represent that its agreement to such dispute resolution processes and waivers has been effectively and lawfully granted and that nothing further needs to be done to effectuate those processes. 11.3. With respect to any action arising out of the Agreement for which there is a waiver of sovereign immunity, the Tribe and City expressly consent to the jurisdiction of the United States District Court for the Central District of California and, as limited herein to, the Superior Court of the State of California for Riverside County and all related appellate courts, and/or an arbitrator selected pursuant to this Agreement and specifically waive sovereign immunity for that purpose. The Parties specifically agree that the applicable court shall have jurisdiction to enter judgments enforcing rights and remedies provided for in this Agreement which shall be binding and enforceable on the Parties, subject to the limitations set forth in this Agreement. No party to this Agreement shall contest jurisdiction or venue of the above - referenced courts, provided their jurisdiction and venue are invoked in the order specified, but only for disputes or claims arising out of this Agreement. Neither the Tribe nor the City shall plead or invoke the doctrine of exhaustion of Tribal or other administrative remedies, defenses of immunity or indispensable Parties beyond those contemplated in this Agreement. 11.4. The City and the Tribe may not join or consent to the joinder of any third party to any action (including but not limited to any arbitration) contemplated herein, unless failure to join such party would deprive the court or arbitration tribunal of jurisdiction; provided that nothing in this Agreement shall be construed to constitute a waiver of the sovereign immunity or other protection from lawsuit (or other dispute resolution process), or the effect, orders or judgments thereof, of either the Tribe or the City with respect to any claim of any kind by any such third party. In the event of intervention by any third party into any such action without the consent of the Tribe and the City, nothing herein shall be construed to constitute a waiver of any immunity with respect to such third party, and no arbitrator or court shall have jurisdiction to award any relief or issue any order as against the City or Tribe with respect to such third party in that or any other proceeding. SECTION 12. CEQA REVIEW 12.1. Pursuant to Government Code Section 12012.49, and in deference to tribal sovereignty, the approval and execution of this Agreement by the Parties is not a project within the meaning of CEQA because this Agreement has been negotiated pursuant to the express authority of the Compact, and specifically Section 10. 8.8 of the Compact. 12.2. By approving, executing and performing this Agreement the City has not, and is not, making any commitment to (a) issue a lease, permit, license, certificate or other entitlement 17 Final Version 3/4/10 2:15 pm for use, or (b) develop, construct or improve any facilities or cause any other physical changes in the environment. 12.3. This Agreement is intended to, and shall be construed, to be a government payment and funding mechanism that does not commit the City to make any specific physical changes in the environment. 12.4. Pursuant to Government Code Section 12012.49, if the City determines that it is required to comply with CEQA with respect to any construction of any public improvements or other projects subject to CEQA related to this Agreement, the City shall comply with CEQA at such time, but other than as specifically authorized under this Agreement, such compliance shall not in and of itself preclude or delay commencement or completion of the Project by the Tribe.. SECTION 13. MISCELLANEOUS PROVISIONS 13.1. No Authority Over Tribal Activities. Nothing in this Agreement is intended to confer or expand the jurisdiction of any local, state or federal agency or other governmental body, nor is this Agreement intended to infringe or otherwise usurp the authority of any regulatory body including local, state, federal or Tribal agencies that may have jurisdiction over or related to Tribal activities, development or Projects. Further, nothing in this Agreement shall be construed to relieve the Tribe's obligation to comply with the National Environmental Policy Act (NEPA) as may be required as part of any trust application or any other Project requirement. 13.2. No Third Party Beneficiaries. This Agreement is not intended to, and shall not be construed to, create any right on the part of a third party including, without limitation, no rights in any Interested Persons, nor does it create any private right of action for any third party nor permit any third party to bring an action to enforce any of its terms. 13.3. Amendments. This Agreement may be modified or amended only by mutual and written agreement of the Parties. 13.4. Final Agreement. This Agreement contains the entire Intergovernmental Agreement of the Parties as to the subject matter herein and supersedes any other agreements of the Parties to the contrary except for the following agreements between the City and the Tribe: (1) Pechanga Parkway signal maintenance agreements; and (2) fiber-optic right of way agreements. The Agreement is intended both as the final expression of the agreement between the Parties with respect to the included terms and as a complete and exclusive statement of the terms of the Agreement consistent with California Code of Civil Procedure section 1856. No modification of this Agreement shall be effective unless and until such modification is evidenced by a writing approved and signed by the Parties. 13.5. Severability of Provisions. The invalidity of any provisions or portion of this Agreement as determined by a court of competent jurisdiction or any State or federal agency having jurisdiction and thereof and the authority to do so, shall not affect the validity of any other provisions of this Agreement or the remaining portions of the applicable provisions, unless such provision is material to the reasonable expectation of the Parties. Without limiting the foregoing, if any provision of the Agreement is declared invalid as aforesaid, then the Parties shall use their best efforts to renegotiate the terms of the invalid provisions. 18 Final Version 3/4/10 2:15 pm 13.6. Force Majeure. The Parties shall not be liable for any failure to perform, or for delay in performance of a party's obligations, and such performance shall be excused for the period of the delay and the period of the performance shall be extended when a force majeure event occurs; provided however that the party whose performance is prevented or delayed by such event of force majeure shall give prompt written notice (i.e., within seventy-two (72) hours of the event) of such event to the other party. For purposes of this Section, the term "force majeure" shall include, without limitation, war, epidemic, rebellion, riot, civil disturbance, earthquake, fire, flood, acts of governmental authorities(other than the City or Tribe), acts of God, acts of terrorism (whether actual or threatened), acts of the public enemy and in general, any other severe causes or conditions beyond the reasonable control of the Parties, the consequences of which in each case, by exercise of due foresight such party could not reasonably have been expected to avoid, and which by the exercise of due diligence it would not have been able to overcome, when such an event prevents the Tribe from meeting its obligations under this Agreement due to Gaming Activities ceasing operations for an extended period or prevents the City from meeting its obligations under this Agreement due to an interruption of City government operations. An interruption of performance, or the delayed occurrence of any event, under this Agreement caused by an event of force majeure shall as far as practical be remedied with all reasonable dispatch. During any period in which a party is excused from performance by reason of the occurrence of an event of force majeure, the party so excused shall promptly, diligently, and in good faith take all reasonable action required in order for it to be able to commence or resume performance of its obligations under this Agreement. 13.7. Governing Law. This Agreement shall be construed according to applicable federal and California substantive law to the extent not inconsistent with the express provisions of this Agreement, unless federal law as to the Tribe or the City, or California law as to the City, prohibits such Parties from abiding by such express provision, in which case the provision will be deemed to be invalid and resolved, if possible, under the severability provisions in Section 13.5. Notwithstanding the foregoing, California rules of construction shall be applied in interpreting this Agreement. This Agreement shall be deemed to have been drafted jointly by the Parties and shall not be construed as having been drafted by, or construed against, one party against another. 13.8. Term: Obligations to Continue. The term of this Agreement shall be from the Effective Date until December 31, 2030, unless sooner terminated pursuant to the term of this Agreement or extended by mutual agreement of the Parties. Unless specifically designated otherwise, all of the Parties' obligations under this Agreement shall continue through the Term, including any extensions thereof. Notwithstanding the end of the Term, any covenant, term or provision of this Agreement which, in order to be effective, or is necessary to enforce an unfulfilled material term of this Agreement or obligation that may continue beyond the end of the Term shall survive termination. 13.9. Payments. Unless otherwise indicated, all payments made pursuant to this Agreement shall be made payable to the City of Temecula on the schedule set out above. 13.10. Representations. By entering into this Agreement each signatory represents that, as of the Effective Date, the undersigned has the authority to execute this Agreement on behalf of their respective governing bodies. 19 Final Version 3/4/10 2:15 pm 13.11. Duplicate Originals. At least two copies of this Agreement shall be signed and exchanged by the Parties, each of which shall be considered an original document. 13.12. Approval. Each Party's execution, delivery and performance of this Agreement shall be approved by resolution or motion duly adopted by each Party's respective governing body, which resolution or motion shall provide that the Party shall not enact a law impairing the rights and obligations under this Agreement.. The Parties intend that Intergovernmental Agreements under the Compact, between the Tribe and the City and the Tribe and the County, the latter of which will be the Law Enforcement MOU as described in Section 3.5, shall be concluded in conjunction with one another. Because the Law Enforcement MOU is in the process of being concluded between the Tribe, County, City and Sheriff of Riverside County, and may not be finalized before this Agreement has been approved by its Parties, any resolution or motion approving this Agreement may include a condition that this Agreement shall not be deemed to be final or enforceable unless and until the Law Enforcement MOU has been formally concluded. 13.13. Obligation on Related Entities. This Agreement binds the Parties and their departments, affiliates, agents, representatives, successors, contractors, officials and related entities, which such Agreement shall also be reflected in a resolution or certification of a motion duly adopted by each Party's respective governing body approving the Agreement. 13.14. Authority/Authorization a. The City and Tribe each represent and warrant that each has performed all acts precedent to adoption of this Agreement, including but not limited to matters of procedure and notice and each has the full power and authority to execute this Agreement and perform its obligations in accordance with the above terms and conditions, and that the representative(s) executing this Agreement on behalf of each party is duly authorized to so execute and deliver the Agreement. b. In evidence of the above, each governing body shall execute formal resolutions or certifications indicating approval of this Agreement and these resolutions or certifications are attached in Exhibits 20 Final Version 3/4/10 2:15 pm IN WITNESS WHEREOF, the Parties hereby execute and enter into this Agreement with the intent to be bound thereby through their authorized representatives whose signatures are affixed below. Dated: Dated: PECHANGA BAND OF LUISENO INDIANS C Mark Macarro, Tribal Chairperson Pechanga Band of Luiseno Indians CITY OF TEMECULA Jeff Comerchero Mayor Attest Susan Jones City Clerk Approved as to Form: Peter M. Thorson City Attorney 21 February 28, 2010 Final Draft MEMORANDUM OF UNDERSTANDING CONCERNING LAW ENFORCEMENT SERVICES AT PECHANGA CASINO This Memorandum of Understanding ("MOU") is dated and effective as of March 2010, by and between the Pechanga Band of Luiseno Indians, a federally recognized Indian tribe (the "Tribe"), the City of Temecula, California (the "City"), the County of Riverside, California ("County") and the Sheriff of Riverside County ("Sheriff'), which are referred to herein collectively as "the Parties" and as to each as a "Party". The terms "Tribe," "City" "County" and "Sheriff' as used herein shall include the Parties' governmental entities, departments and officials unless otherwise stated. RECITALS WHEREAS, the Tribe is a federally -recognized Indian Tribe located on federal Trust Lands which are located within the geographic boundaries of Riverside County and abut or are near City boundaries; and WHEREAS, the Tribe has inhabited the Temecula Valley for more than 10,000 years (or according to Tribal history and culture, since time immemorial); and WHEREAS, the Pechanga Indian Reservation was established by Executive Order of the President of the United States on June 27, 1882, affirming the Tribe's sovereignty and land -base (the "Reservation"); and WHEREAS, under the Indian Gaming Regulatory Act, 25 U.S.C. § 2701, et seq. ("IGRA"), the Tribe may engage in gaming as a means of promoting Tribal economic development, self-sufficiency and strong Tribal government; and WHEREAS, IGRA generally requires that Class III gaming be conducted pursuant to a Tribal -State Class III gaming compact; and WHEREAS, on or about September 10, 1999, and effective in May, 2000, the Tribe entered into a gaming compact with the State of California, as contemplated under IGRA, which compact was amended effective March, 2008, and which compact and amendment is referred to herein as the "Compact;" and WHEREAS, the Tribe desires to operate Tribal economic development projects in a manner that benefits the Tribe, its members, and the community as a whole, and the City recognizes the mutual benefit that can be derived if those goals are achieved; and 11086-0146\1 124936v4 February 28, 2010 Final Draft WHEREAS, the Tribe determined that a casino gaming center featuring Class II and Class III gaming activities, as authorized under IGRA and, with respect to Class III activities, the Compact, and a hotel and related parking, common areas and amenities would be a way in which to generate independent Tribal resources to provide for the health, education, employment, government, general welfare, safety, and cultural needs of the Tribe; and WHEREAS, the term "Gaming Center" as used in this MOU shall have the same definition as it does in Section of the Intergovernmental Agreement which Section reads as follows: "'Gaming Center' means the present gaming facility and hotel located on the Reservation and consisting of approximately two hundred thousand (200,000) square feet of gaming space plus back of the house and administrative offices and facilities that can accommodate various gaming and casino activities, including up to five thousand (5,000) Gaming Devices, employee rooms, offices and related space; a thirteen story hotel with five hundred twenty- two (522) guest rooms and supporting kitchens, offices, retail, housekeeping, telecommunications and other utility facilities; maintenance and storage spaces; convention, ballroom, classroom and meeting spaces; restaurants, bars, food courts, night clubs, retail spaces, lounges, regulatory, public safety, surveillance and guest services amenities and facilities; a one thousand two hundred (1200) seat theater; swimming and Jacuzzi pools, Porte cocheres, and spa facilities and related areas located outside the hotel; surface parking and three parking structures for buses, trucks, SUVs and similar vehicles, and automobiles that accommodate approximately eight thousand six hundred (8600) vehicles; and related common areas, roadways, sidewalks, storage and administrative facilities that serve the Gaming Center."; and WHEREAS, the Compact requires that for "Projects" as defined in the Compact the Tribe must prepare a Tribal Environmental Impact Report and further provides for the Tribe and any impacted city or county to enter into enforceable written "Intergovernmental Agreements" for mitigation of Off - Reservation Environmental Impacts, public safety services, and other specified programs; and WHEREAS, concurrently with the adoption of this MOU, the Tribe and the City entered into that certain "Intergovernmental Agreement" dated as of , 2008 pursuant to the Compact providing for the mitigation of Off -Reservation Environment Impacts, including enhancement of law enforcement services to the City and the Gaming Center; and 11086-0146\1 124936v4 February 28, 2010 Final Draft WHEREAS, the Intergovernmental Agreement provides for the City to receive a Mitigation Fee from the Tribe which fee includes a component for the funding of law enforcement services to the Gaming Center; and WHEREAS, concurrently with the adoption of this MOU by the Parties, the City and the County have amended that certain "Agreement for Law Enforcement Services Between the City of Temecula and the County of Riverside," effective as of July 1, 2005, as amended, ("City/County Law Enforcement Agreement") to provide for the Riverside County Sheriffs Department ("Sheriff' or "Sheriffs Department") to provide law enforcement services to the Gaming Center; and WHEREAS, in order to implement the provisions of the Intergovernmental Agreement relating to law enforcement services, it is necessary and convenient for the Parties to enter into this MOU for the purposes of (1) confirm the law enforcement responsibilities of the Tribe and the Sheriff at the Gaming Center; (2) establish the responsibility of the City to fixed the Sheriffs law enforcement responsibility at the Gaming Center with the Mitigation Fee received from the Tribe pursuant to the Intergovernmental Agreement; (3) confirm and document the law enforcement protocols for the Sheriffs response to calls for service at the Gaming Center; and (4) continue the government to government cooperation of the Tribe, City, County and Sheriff in providing law enforcement services to the Gaming Center and the southern areas of the City of Temecula; and WHEREAS, the Parties recognize that the Intergovernmental Agreement and this MOU is an important and mutually beneficial means for furthering the government -to -government relationship between the Parties and in building trust, mutual respect, good will and cooperation for the benefit of the entire community. NOW, THEREFORE, in consideration of the Recitals set forth above and incorporated herein, the Parties agree as follows: AGREEMENT 1. LAW ENFORCEMENT SERVICES FOR THE GAMING CENTER A. Existing Law Enforcement Structure. The City contracts with the County for law enforcement services to be provided with in the boundaries of the City of Temecula by the Riverside County Sheriffs Department. The County relies on the Sheriffs Department to provide law enforcement services to the unincorporated areas of Riverside County. Both the City by contract and the County rely on the law enforcement services of the Sheriffs Department to meet the law enforcement needs that arise under Public Law 280 with respect to the Tribe, the Reservation and the Gaming Center. In addition, the Tribe has its own 11086-0146\1 124936v4 February 28, 2010 Final Draft force of public safety and security officers that are assigned to the Reservation and the Gaming Center. There is a good working relationship between and among the Tribe, the City, the County and the Sheriffs Department with respect to meeting law enforcement needs that arise on or in connection with activities at the Gaming Center and the Reservation that the Parties intend to maintain and strengthen by this MOU. B. Use of Mitigation Fees for Gaming Center Law Enforcement Responses. The Parties have determined that the Mitigation Fees agreed to in Section 3.3 of the Intergovernmental Agreement between the Tribe and the City are sufficient to ensure that the law enforcement needs of the City that are directly correlated to the Gaming Center can be adequately met. The Parties agree that it would be a more efficient use of such funds and would provide better law enforcement services to the Gaming Center to have the City fundthe Sheriffs Department response to calls for law enforcement services at the Gaming Center with deputies designated for service within the City than for the County to provide such services with deputies designed for service in the unincorporated County areas. C. Assigned Deputy for Law Enforcement Responses to Gaming Center. The City shall apply sufficient funds from the Mitigation Fee and take such other actions as are necessary to provide for one Sheriffs deputy on each shift to be specifically designated to patrol in the patrol zone of the City closest to the Gaming Center and to be the deputy to respond to calls for law enforcement services or assistance at the Gaming Center ("Assigned Deputy"). This arrangement shall be subject to the following protocols: 1) The Assigned Deputy and other Sheriffs deputies shall not engage in random self -initiated patrol activities at the Gaming Center or the Reservation. The Assigned Deputy and other Sheriffs deputies shall only respond to calls for law enforcement services or assistance at the Gaming Center or the Reservation, provided that such deputies shall be authorized to engage in such further law enforcement actions as are required for these calls for service, such as active investigation and follow-up investigation of crimes reported to the Sheriff or other law enforcement agencies, searches for suspects and similar actions necessary for carrying out its law enforcement responsibilities with respect to such calls for service. 2) Sheriffs personnel responding to calls for service at the Gaming Center or the Reservation shall be subject to and shall follow the Sheriffs Chain of Command and Sheriffs Policies. The Sheriff shall be responsible for the command of deputies in responding to calls for service at the Gaming Center or the Reservation. 3) The Assigned Deputy shall wear a "Riverside County Sheriffs Department" uniform patch, rather than a "Temecula Police Department" uniform patch. 4 11086-0146\1 124936v4 February 28, 2010 Final Draft 4) The Assigned Deputy shall drive a marked patrol car bearing the seal/logo of the Riverside County Sheriffs Department and not the seal/logo of the City of Temecula or the Temecula Police Department. 5) In the event of an emergency response to the Gaming Center or the Reservation requiring deputies other than the Assigned Deputy, the Sheriff may dispatch additional deputies wearing the "Temecula Police Department" uniform patch or vehicles with the seal/logo of the "City of Temecula" or "Temecula Police Department." D. Regular Meetings of the Parties for Law Enforcement. Representatives of the Tribe, City, County and Sheriff shall meet on a regular basis and not less than quarterly, to discuss issues of common law enforcement interest to the Parties with respect to the Gaming Center as well as the Reservation and work on a cooperative, good faith, government to government basis to address such issues as may arise and to provide for coordination between Tribal public safety officers and the Sheriffs Department. The Parties shall negotiate in good faith to reach such additional protocols as may be desired regarding coordination between Tribal public safety officers and the Sheriff with respect to mailers occurring at the Gaming Center and the Reservation that might involve Sheriffs deputies under applicable law. E. City Responsible for Costs of Sheriffs Services to Gaming Center. City shall be responsible for all payments to the County for services rendered by the Sheriff to the Gaming Center. The Tribe shall not be liable for the direct payment of any salaries, wages, or other compensation to any City or Sheriffs personnel performing services for the City except as may be provided for the reimbursement of special event services under separate contract. F. Negotiation of Extra Law Enforcement Agreements. At the Tribe'e request the Sheriff shall meet and confer with the Tribe for extra law enforcement services to the Tribe for special events and functions, at rates and on terms consistent with those established by the Sheriff for special events security. G. Limited Scope of Law Enforcement Activities. Except as otherwise provided herein, by separate agreement, or under law, the Sheriff deputies assigned to the City shall not be expected to provide gaming security or enforce Tribal laws, provided that nothing herein is intended to diminish, and in fact is intended to reinforce, the apprehension, arrest and prosecution of anyone engaged in criminal conduct, such as theft, embezzlement and fraud, or any other criminal offense, that may occur within the City's jurisdiction or at the Gaming Center H. Scope of Public Law 280 Not Modified. Nothing in this Agreement or any other contract between the City and the Sheriff is intended or shall be construed to expand or limit the jurisdiction of the City, the County or the Sheriff beyond that which would be exercised pursuant to Public Law 280. 11086-0146\1 124936v4 February 28, 2010 Final Draft Nothing in this Agreement or other contract with the County or Sheriff is intended, or shall be construed, to expand or limit the jurisdiction of any Tribal law enforcement agency beyond that which would be exercised pursuant to applicable law. L County Law Enforcement Mitigation Requirements Satisfied. County acknowledges and agrees that by entering into this MOU, that the impacts of the Gaming Center on the Sheriffs Department for the unincorporated areas of the County surrounding the Gaming Center have been fully mitigated within the meaning of Section 10.8 of the Compact. Therefore, the County agrees not to request a separate Intergovernmental Agreement or Special Distribution Funds under existing or future legislation to pay for impacts from the Gaming Center affecting the Sheriffs Department, provided however, that the County shall not be precluded from asserting any of its other rights under Section 10.8 of the Compact for an expansion of the Gaming Center. J. Termination of City Agreement with County for Law Enforcement Services. In the event that City or County should ever terminate the City/County Law Enforcement Agreement or said Agreement is allowed to expire, this MOU shall terminate as of the date of termination or expiration of the City County Law Enforcement Agreement. In such event, the Sheriff shall provide such law enforcement services to the Gaming Center as are authorized by law. 2. DISPUTE RESOLUTION A. Meet and Confer Process 1) In recognition of the government -to -government relationship between the Tribe, the City, and the County, the Parties shall make their best efforts to resolve disputes that occur under this MOU by good faith negotiations whenever possible. Therefore, the Parties hereby establish a threshold requirement that disputes arising under this MOU shall first be subject to a good faith meet and confer procedure to give the Parties an opportunity to work together to solve identified issues. 2) Disputes arising between the Parties regarding a party's alleged failure to meet its obligations imposed by this MOU, including a refusal to meet and confer, shall be addressed through the following process: a) The Parties may meet and confer informally to discuss their concerns. This stage may include an informal exchange of views among Tribal, City and County personnel and may remain confidential in accordance with applicable law. b) A party desirous of invoking the meet and confer provisions of this MOU shall provide written notice to the other parties, identifying with specificity the alleged issue or issues and the actions requested to resolve the dispute. Within seven (7) business days after 11086-0146\1 124936v4 February 28, 2010 Final Draft receipt of the notice, the recipients shall provide a written response agreeing or disagreeing with the complaint. If the parties agrees they will set forth detailed steps to address the alleged breach of the MOU. If the Parties disagree, they shall proceed in accordance with the next subsection. C) The Parties shall formally meet and confer in good faith within ten (10) business days of receipt of such notice, or at such other time as the Parties may agree in writing, to attempt to resolve the dispute. If all Parties agree, a mediator may be used to help resolve the dispute at this stage. The Parties and mediator, if any, shall ensure that any disputed issues are clearly and directly communicated according to any agreed upon process and timeline. Multiple meetings under this step may be reasonably required depending upon the nature of the dispute, provided that the meet and confer process shall be completed within thirty (30) days of formal initiation unless extended in writing by mutual MOU of the Parties. Failure to substantially comply with the procedures and timelines contained in this Section with respect to an dispute shall entitle the complaining party to proceed directly to arbitration. d) To the extent allowed by law, such writings as may be prepared and transmitted between the Parties pursuant to this subsection shall be confidential. B. Binding Arbitration Procedure 1) Subject to compliance with the meet and confer process stated above and the limitations herein as to the scope of any order, a party may initiate binding arbitration to resolve any dispute arising out of this MOU, regarding the interpretation of any the MOU's provisions, and/or rights and obligations of the Parties under the MOU. 2) The arbitration shall be conducted by arbitrator in accordance with the JAMS Comprehensive Arbitration Rules & Procedures (the "Rules") then in effect at the time of the initiation of arbitration. The arbitration shall take place in or near Temecula, including any location on The Reservation, or at another location mutually agreed upon by the Parties. The arbitrator shall be a retired judge ("Arbitrator") selected pursuant to the following terms. In the event the Parties cannot agree upon the Arbitrator, the Parties agree that Rule 15 of the Rules shall govern the selection of the Arbitrator. Subject to the terms of this Section, the Arbitrator shall have jurisdiction to interpret and apply the terms of the this MOU, but shall lack jurisdiction to modify the MOU or relieve a party of its obligations, or add to those obligations under the MOU, except in the event that material terms of this MOU are determined to be void or that the provisions of the Compact are in material conflict with the terms of this MOU. In such an instance the Arbitrator may order the MOU modified, terminated or rescinded to maintain the relative positions of the Parties at the time the MOU was entered. 11086-0146\1 124936v4 February 28, 2010 Final Draft This MOU does not provide for, and the arbitrator shall not have jurisdiction to order remedies with respect to federal, state, County, City or Tribal laws, regulations, ordinances, codes or other laws against the Tribe, including its government entities, officials, members or employees or its Trust Lands, and shall only consider or evaluate such laws and issue such orders as expressly permitted under this MOU. This MOU does not provide for, and the arbitrator shall not have jurisdiction to order remedies with respect to federal, state, or City laws, regulations, ordinances, codes or other laws against the City, including its government entities, officials, members or employees or its real property. 3) Arbitration orders and awards may not include monetary awards. 4) Equitable relief shall be limited to compelling some actual performance that is expressly described in this MOU or preventing a party from failing to take such action. 5) Any controversy regarding whether an issue is subject to arbitration shall be determined by the Arbitrator, but the Arbitrator's jurisdiction shall be limited to ordering forms of relief agreed to in this MOU. 6) In arbitrating disputes under this MOU, the Arbitrator shall apply applicable law and the terms of the Compact. 7) The Arbitrator shall render an award consistent with Rule 30 of the Rules. The Parties agree to be bound by the provisions of Rule 17 of the Rules relating to informal and formal discovery rights and obligations, subject to the MOU of the Parties or order of the Arbitrator otherwise. In any event, any discovery conducted shall be subject to the confidentiality provisions of this MOU to the extent such provisions may be lawfully enforced, and the Arbitrator shall make such orders as are necessary to enforce such provisions. 3. JUDICIAL REVIEW AND ENFORCEMENT A. The Parties agree that the prevailing party in any arbitration contemplated under this section may seek to confirm and enforce any arbitration award by filing a petition with any Superior Court in the State of California, pursuant to the provisions of California Code of Civil Procedure, Section 1285 et seq. However, the Parties expressly waive any rights under California Code of Civil Procedure Section 1285 et seq. to correct or vacate any such award. In any arbitration or court action, each party shall bear its own costs and attorneys' fees in any court action or arbitration proceeding brought pursuant to this MOU. B. Nothing in this MOU shall preclude or restrict the ability of Parties to voluntarily pursue, by mutual MOU, any other method of dispute resolution. 4. MUTUAL LIMITED WAIVER OF SOVEREIGN IMMUNITY 11086-0146\1 124936v4 February 28, 2010 Final Draft A. The Parties agree that the Parties' waiver of immunity from arbitration or suit, or the enforcement of any order or judgment related thereto, is limited to the express provisions of Section 3 of this MOU, and neither the MOU to arbitrate nor any other provision of this MOU shall be construed as creating any implied waiver of such immunity. B. The Parties each expressly covenant and agree that they may each sue and be sued, including the resolution of disputes in arbitration and the judicial enforcement thereof, as provided in Section 3 of this MOU, to resolve any controversy arising from this MOU or to enforce or interpret the terms and conditions of this MOU, as provided for in this MOU. The Parties, their officers and agents expressly agree to waive governmental immunities, including sovereign immunity, in connection with any claims arising from this MOU, as provided for herein for the enforcement of any arbitration award, or judgment to enforce such an award, or enforcement of any easement created as a result of this MOU. The Parties further consent to the jurisdiction of an arbitrator and/or specified court under this MOU including the consent to be sued and bound by a lawful order or judgment, to the extent provided for herein. Each of the Parties represent that its MOU to such dispute resolution processes and waivers has been effectively and lawfully granted and that nothing further needs to be done to effectuate those processes. C. With respect to any action arising out of the MOU for which there is a waiver of sovereign immunity, the Tribe, City, County and Sheriff expressly consent to the jurisdiction of the United States District Court for the Central District of California and, as limited herein to, the Superior Court of the State of California for Riverside County and all related appellate courts, and/or an arbitrator selected pursuant to this MOU and specifically waive sovereign immunity for that purpose. The Parties specifically agree that the applicable court shall have jurisdiction to enter judgments enforcing rights and remedies provided for in this MOU which shall be binding and enforceable on the Parties, subject to the limitations set forth in this MOU. No party to this MOU shall contest jurisdiction or venue of the above -referenced courts, provided their jurisdiction and venue are invoked in the order specified, but only for disputes or claims arising out of this MOU. Neither the Tribe, City, County nor Sheriff shall plead or invoke the doctrine of exhaustion of Tribal or other administrative remedies, defenses of immunity or indispensable Parties beyond those contemplated in this MOU. D. The Tribe, City, County, or Sheriff may not join or consent to the joinder of any third party to any action (including but not limited to any arbitration) contemplated herein, unless failure to join such party would deprive the court or arbitration tribunal of jurisdiction; provided that nothing in this MOU shall be construed to constitute a waiver of the sovereign immunity or other protection from lawsuit (or other dispute resolution process), or the effect, orders or judgments thereof, of either the Tribe or the City with respect to any claim of any kind by any such third party. In the event of intervention by any third party 11086-0146\1 124936v4 February 28, 2010 Final Draft into any such action without the consent of the Tribe, City, County or Sheriff nothing herein shall be construed to constitute a waiver of any immunity with respect to such third party, and no arbitrator or court shall have jurisdiction to award any relief or issue any order as against the Tribe, City, County or Sheriff with respect to such third party in that or any other proceeding. 5. INDEMNIFICATION A. Indemnification by County. County shall indemnify and hold the City and Tribe, their officers, agents, employees and independent contractors free and harmless from any claim or liability whatsoever, based or asserted upon any act or omission of County, its officers, agents, employees, volunteers subcontractors, or independent contractors, for property damage, bodily injury or death, or any other element of damage of any kind or nature arising out of the performance of this Agreement to the extent that such liability is imposed on the City or Tribe or both, and County shall defend at its expense, including attorney fees, the City or Tribe or both, its officers, agents and employees and independent contractors in any legal action or claim of any kind based upon such alleged acts or omissions. All immunities available to County as a government entity under the laws of the State of California shall apply in performing the services under this Agreement. As between the City and County, this indemnification obligation shall also extend to any such liability imposed on the City by the provisions of Government Code Section 895.2 or other applicable law. B. Indemnification by City. City shall indemnify and hold the County and Tribe, their officers, agents, employees and independent contractors free and harmless from any claim or liability whatsoever, based or asserted upon any act or omission of City, its officers, agents, employees, volunteers subcontractors, or independent contractors, for property damage, bodily injury or death, or any other element of damage of any kind or nature arising out of the performance of this Agreement to the extent that such liability is imposed on the County or Tribe or both, and City shall defend at its expense, including attorney fees, the County or Tribe or both, its officers, agents and employees and independent contractors in any legal action or claim of any kind based upon such alleged acts or omissions. All immunities available to City as a government entity under the laws of the State of California shall apply in performing the services under this Agreement. As between the City and County, this indemnification obligation shall also extend to any such liability imposed on the County by the provisions of Government Code Section 895.2 or other applicable law. C. Indemnification by Tribe. Tribe shall indemnify and hold the City and County, their officers, agents, employees and independent contractors free and harmless from any claim or liability whatsoever, based or asserted upon any act or omission of Tribe, its officers, agents, employees, volunteers subcontractors, or independent contractors, for property damage, bodily injury or death, or any other element of damage of any kind or nature arising out of the 10 11086-0146\1 124936v4 February 28, 2010 Final Draft performance of this Agreement to the extent that such liability is imposed on the City or County or both, and Tribe shall defend at its expense, including attorney fees, the City or County or both, its officers, agents and employees and independent contractors in any legal action or claim of any kind based upon such alleged acts or omissions. In addition, when liability arises by reason of a dangerous condition of the Bands property, the Tribe shall assume defense of and indemnify County in respect to any dangerous condition of the Bands property pursuant to this section. This shall apply regardless of County's knowledge of or duty to warn of such condition. 6. MISCELLANEOUS PROVISIONS A. No Authority Over Tribal Activities. Nothing in this MOU is intended to confer or expand the jurisdiction of any local, state or federal agency or other governmental body, nor is this MOU intended to infringe or otherwise usurp the authority of any regulatory body including local, state, federal or Tribal agencies that may have jurisdiction over or related to Tribal activities, development or Projects. B. No Third Party Beneficiaries. This MOU is not intended to, and shall not be construed to, create any right on the part of any person not a party to this MOU, nor does it create any private right of action for any person not a party to this MOU nor permit any person not a party to this MOU to bring an action to enforce any of its terms. C. Amendments. This MOU may be modified or amended only by mutual and written MOU of the Parties. D. Final MOU. This MOU contains the entire agreement of the Parties as to the limited subject matter herein and supersedes any other agreements of the parties with respect to law enforcement services for the Gaming Center except for the Intergovernmental Agreement. The terms of the MOU is intended both as the final expression of the agreements between the Parties with respect to law enforcement services for the Gaming Center consistent with California Code of Civil Procedure section 1856. E. Severability of Provisions. The invalidity of any provisions or portion of this MOU as determined by an arbitrator pursuant to this MOU or a court of competent jurisdiction or any State or federal agency having jurisdiction and thereof and the authority to do so, shall not affect the validity of any other provisions of this MOU or the remaining portions of the applicable provisions, unless such provision is material to the reasonable expectation of the Parties. Without limiting the foregoing, if any provision of the MOU is declared invalid as aforesaid, then the Parties shall use their best efforts to renegotiate the terms of the invalid provisions. 11 11086-0146\1 124936v4 February 28, 2010 Final Draft F. Force Maieure. The Parties shall not be liable for any failure to perform, or for delay in performance of a party's obligations, and such performance shall be excused for the period of the delay and the period of the performance shall be extended when a force majeure event occurs; provided however that the party whose performance is prevented or delayed by such event of force majeure shall give prompt written notice (i.e., within seventy-two (72) hours of the event) of such event to the other party. For purposes of this Section, the term "force majeure" shall include, without limitation, war, epidemic, rebellion, riot, civil disturbance, earthquake, fire, flood, acts of governmental authorities(other than the City, County or Tribe), acts of God, acts of terrorism (whether actual or threatened), acts of the public enemy and in general, any other severe causes or conditions beyond the reasonable control of the Parties, the consequences of which in each case, by exercise of due foresight such party could not reasonably have been expected to avoid, and which by the exercise of due diligence it would not have been able to overcome, when such an event prevents the Tribe from meeting its obligations under this MOU due to Gaming Activities ceasing operations for an extended period or prevents the City or County from meeting its obligations under this MOU due to an interruption of City government operations. An interruption of performance, or the delayed occurrence of any event, under this MOU caused by an event of force majeure shall as far as practical be remedied with all reasonable dispatch. During any period in which a party is excused from performance by reason of the occurrence of an event of force majeure, the party so excused shall promptly, diligently, and in good faith take all reasonable action required in order for it to be able to commence or resume performance of its obligations under this MOU. G. Governing Law. This MOU shall be construed according to applicable federal and California substantive law to the extent not inconsistent with the express provisions of this MOU, unless federal law as to the Tribe or the City, or California law as to the City and County, prohibits such Parties from abiding by such express provision, in which case the provision will be deemed to be invalid and resolved, if possible, under the severability provisions in Section. H. Rules of Construction/Joint Drafting. Notwithstanding the foregoing, California rules of construction shall be applied in interpreting this MOU. This MOU shall be deemed to have been drafted jointly by the Parties and shall not be construed as having been drafted by, or construed against, one party against another. I. Term; Obligations to Continue. 1) The term of this MOU shall be from the Effective Date until December 31, 2030 unless sooner terminated by one of the following events: (1) the termination or expiration of the Intergovernmental Agreement; (2) the termination or expiration of the City/County Law Enforcement Agreement; or (3) the mutual agreement of the parties to terminate or extend the MOU. 12 11086-0146\1 124936v4 February 28, 2010 Final Draft 2) The Effective date shall be the date first written above or such later date as the Intergovernmental Agreement and the Amendment to the Agreement for Law Enforcement Services Between the City of Temecula and the County of Riverside implementing the terms of this MOU become effective. 3) Unless specifically designated otherwise, all of the Parties' obligations under this MOU shall continue through the Term, including any extensions thereof. Notwithstanding the end of the Term, any covenant, term or provision of this MOU which, in order to be effective, or is necessary to enforce an unfulfilled material term of this MOU or obligation that may continue beyond the end of the Term shall survive termination. J. Duplicate Originals. At least three copies of this MOU shall be signed and exchanged by the Parties each of which shall be considered an original document. K. Obligation on Related Entities. This MOU binds the Parties and their departments, affiliates, agents, representatives, successors, contractors, officials and related entities, which such MOU shall also be reflected in a resolution of each Party's respective governing body approving the MOU. L. Authority/Authorization. 1) The City, County and Tribe each represent and warrant that each has performed all acts precedent to adoption of this MOU, including but not limited to matters of procedure and notice and each has the full power and authority to execute this MOU and perform its obligations in accordance with the above terms and conditions, and that the representative(s) executing this MOU on behalf of each party is duly authorized to so execute and deliver the MOU. 2) In evidence of the above, each governing body shall execute formal resolutions indicating approval of this MOU and these resolutions are attached in Exhibits M. Notices. 1) Notices pursuant to this MOU and service of process in any judicial or arbitration proceeding is waived in favor of delivery of documents by (i) delivery by a reputable document delivery service, such as but not limited to, Federal Express, that provides a receipt showing date and time of delivery or (ii) by Certified Mail — Return Receipt Requested to the following: 2) For the Tribe: Tribal Chairperson Pechanga Band of Luiseno Indians 12705 Pechanga Road Temecula, CA 92592 13 11086-0146\1 124936v4 February 28, 2010 Final Draft Tel: 951-676-2768 With a copy simultaneously delivered to: Office of Legal Counsel Pechanga Band of Luiseno Indians 12705 Pechanga Road Temecula, CA 92592 Tel: 951-676-2768 Jerome L. Levine, Esq. Holland & Knight 633 W. 5th Street, Suite 2100 Los Angeles, CA 90071 Tel: 213 896-2565 3) For the City: City Manager City of Temecula 43200 Business Park Drive Temecula, CA 92590 Tel: 951-694-6444 With copy simultaneously delivered to: Peter M. Thorson, Esq. Richards, Watson & Gershon 355 South Grand Ave., 40th Floor Los Angeles, CA 90071 Tel: 213-626-8484 4) For the County: County Executive Officer Bill Luna County Administrative Center 4080 Lemon Street - 4th Floor Riverside, California 92501 (951) 955-1100 With copy simultaneously delivered to: Sheriff Stanley Sniff Riverside County Sheriffs Department 14 11086-0146\1 124936v4 February 28, 2010 Final Draft 4095 Lemon Street Riverside, CA 92501 Captain Gerald Williams Southwest Station Riverside County Sheriffs Department 30755-A Auld Road Murrieta, CA 92563 Pamela Walls, Esq. Minh Tran, Esq. County Counsel County of Riverside 3535 10th Street, Suite 300 Riverside CA, 92501-3674 5) Each Party may change the names and address to which notices and service of process may be delivered by written notice to the such persons as listed in the subsection or by subsequent notice of changes. 15 11086-0146\1 124936v4 February 28, 2010 Final Draft IN WITNESS WHEREOF, the Parties hereby execute and enter into this Agreement with the intent to be bound thereby through their authorized representatives whose signatures are affixed below. PECHANGA BAND OF LUISENO INDIANS C Mark Macarro, Tribal Chairperson Pechanga Band of Luiseno Indians 16 11086-0146\1 124936v4 February 28, 2010 Final Draft CITY OF TEMECULA Attest: Jeff Comerchero Mayor Susan Jones City Clerk Approved as to Form: Peter M. Thorson City Attorney 17 11086-0146\1 124936v4 February 28, 2010 Final Draft COUNTY OF RIVERSIDE Attest: Chairman of the Board of Supervisors Deputy Clerk of the Board of Supervisors Approved as to Form: Minh Tran Deputy County Counsel 18 11086-0146\1 124936v4 February 28, 2010 Final Draft SHERIFF OF RIVERSIDE COUNTY Stanley Sniff Sheriff of Riverside County 19 11086-0146\1 124936v4