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HomeMy WebLinkAboutContract 1499 ORIGINAL e_-;qt i DOC # 2011 - 0312678 07/18/2011 08:00A Fee:NC Page 1 of 9 Recorded in Official Records PLEASE COMPLETE THIS INFORMATION County of Riverside RECORDING REQUESTED BY: Larry W. Ward Assessor, County Clerk 8 Recorder City Clerk, City of Cathedral City 1 11111 II III AND WHEN RECORDED MAIL TO: City Clerk, City of Cathedral City 68 -700 Avenida Lalo Guerrero S R U PAGE SIZE DA MISC LONG RFD COPY Cathedral City, CA 92234 1 M A L 465 426 PCOR NCOR SMF 6 EXAM Exempt from recording fees pursuant to - ‘ ( , )36 Sec. 6103 & 27383 of Government Code. I T: - CTY - UNI Space above this line for recorder's use only fl AGREEMENT FOR PAYMENT OF IN -LIEU FEES � 030 Title of Document TRA: DTT: THIS PAGE ADDED TO PROVIDE ADEQUATE SPACE FOR RECORDING INFORMATION ($3:00 Additional Recording Fee Applies) AGR 238P- AS4REO (Rev. 03/2008) RECORDING REQUESTED BY ) AND WHEN RECORDED MAIL TO: ) ) ) City of Cathedral City ) 68 -700 Avenida Lalo Guerrero ) Cathedral City, CA 92234 ) Attn: City Manager ) (Space Above for Recorder's Use) Exempt from Recording Fees Under Government Code § 27383 AGREEMENT FOR PAYMENT OF IN -LIEU FEES THIS AGREEMENT FOR PAYMENT OF IN -LIEU FEES (this "Agreement ") is made on June 8, 2011, by and between the CITY OF CATHEDRAL CITY, a municipal corporation organized and existing of the laws of the State of California, (the "City ") and Fellowship Center Inc., a California nonprofit public benefit corporation ( "Owner "). The City and Owner are sometimes hereinafter individually referred to as a "Party" and collectively referred to as the "Parties ". WHEREAS, Owner is the fee simple owner of certain real property improved with a vacant motel consisting of approximately twenty -eight (28) rooms located within the City at 67580 Jones Road and as more fully described in Exhibit "A" attached hereto and incorporated herein by this reference (the "Subject Property "); and WHEREAS, on or about April 6, 2011, the Cathedral City Planning Commission (the "Planning Commission") approved Conditional Use Permit 11 -001 (the "CUP ") which provides for the establishment of an upper -scale residential substance use disorder treatment facility on the Property (the "Project "); and WHEREAS, the Project is not subject to the City's Transient Occupancy Tax Ordinance (the "TOT Ordinance "), which will result in a loss of revenue to the City; and WHEREAS, in light of such loss of revenue, and in consideration of granting Owner the time extension it requested to make certain improvements, as set forth in that certain Improvement Agreement for CUP, as entered into by and between the City and the Owner on , Owner desires to pay the City certain in -lieu fees (the "In -Lieu Fees ") based on the estimated amount of Transient Occupancy Tax ( "TOT ") that the City would otherwise be receiving for use of the Subject Property as a motel; and WHEREAS, the City desires that the Project be maintained as an upscale residential substance use disorder treatment facility; and WHEREAS, the Parties desire to enter into this Agreement to provide for the payment of the In -Lieu Fees and the use of the Subject Property in accordance with the terms and conditions set forth herein; and WHEREAS, entering into this Agreement is in the best interest of the health, safety and welfare of the City's residents. NOW THEREFORE, the Parties hereto do hereby agree as follows: 1. Recitals. The recitals set forth above are true and correct and are incorporated herein by this reference. 2. Payment of In -Lieu Fees. Commencing on July 1, 2012, Owner shall remit Two Thousand Three Hundred Twenty Dollars and Eighty -Three Cents ($2,320.83) to the City on a monthly basis ( "Monthly Payment "). The Monthly Payment shall be due to the City on or before the first day of each month during the term of this Agreement. The Monthly Payment shall be subject to an increase at the beginning of the City's fiscal year, which begins on July 1 of each year, and shall be adjusted annually by the Consumer Price Index for All Urban Consumers ( "CPI ") for the Los Angeles - Riverside- Orange County area for the most recent twelve (12) months preceding the annual review of the Monthly Fee. If the Monthly Payment is not received by the 8t day of the month, Owner shall remit to City a ten percent (10 %) penalty charge, which penalty charge shall be in addition to the Monthly Payment. 3. Use of Subject Property. Owner shall, for the Term of this Agreement, maintain the Project solely as an upscale residential substance use disorder treatment facility, similar to such facilities as the Betty Ford Clinic of Rancho Mirage or Michaels' House of Palm Springs. Under no circumstances shall the Project be or become a government -used facility. Owner, or its successor shall be the sole decision maker in client selection or rejection. 4. Term. The term of this Agreement (the "Term ") shall commence on execution by the Parties (the "Effective Date ") and shall terminate upon the first of the following (the "Termination Date "): a. Upon the mutual written consent of the Parties; b. If the use of the Subject Property becomes a "hotel ", as that term is defined in City of Cathedral City Municipal Code Section 3.24.010, as may be amended. 5. Events of Default; Enforcement. In the event of a default in the performance or observance of any covenant, agreement or obligation as set forth in this Agreement, including but not limited to untimely payment of the Monthly Payment, and, if such default remains uncured for a period of thirty (30) days after notice thereof shall have been given by the City, or such longer period as may be approved by the City in writing in its sole discretion, then the City may declare that an Event of Default has occurred hereunder and may take any one or more of the following steps, at its option: (a) By mandamus or other suit, action or proceeding at law or in equity, require Owner or its successors in interest to perform its obligations and covenants hereunder, or enjoin any acts or things which may be unlawful or in violation of the rights of the City hereunder; and (b) Take whatever other action at law or in equity may appear necessary or desirable to enforce the obligations, covenants and agreements hereunder. (c) No delay in enforcing the provisions hereof as to any breach or violation shall impair, damage or waive the right against or recover for the continuation or repetition of such breach or violation or any similar breach or violation thereof at any later time or times. 6. Attorneys' Fees. In any legal proceeding to enforce the terms of or restrain a violation of this Agreement, the losing party or parties must pay the attorneys' fees of the winning party or parties in the amount fixed by the court in the proceeding. 7. Amendments. This Agreement may only be amended in writing by an instrument signed by the authorized representative of the City or it successor in interest and the then record owner or owners of the Property. 8. Severability. If any provision of this Agreement shall be invalid, inoperative or unenforceable as applied in any particular case, in any jurisdiction or jurisdictions or in all jurisdictions, or in all cases because it conflicts with any other provision or provisions hereof or any Constitution or Statute or rule of public policy, or for any other reason, such circumstances shall not have the effect of rendering the provisions in question inoperative or unenforceable in any other case or circumstance, or of rendering any other provision or provisions herein contained invalid, inoperative, or unenforceable to any extent whatsoever. The invalidity of any one or more phrases, sentences, clauses or sections contained in this Agreement shall not affect the remaining portions of this Agreement or any part hereof. 9. Headings. The section headings are not part of this Agreement and will not affect the interpretation of any provisions hereof. • 10. Time of the Essence. In each provision of this Agreement which states a specific amount of time within which the requirements thereof are to be satisfied or are to persist, time shall be deemed to be of the essence. 11. Notices. Any notice required to be given hereunder shall be given by personal delivery or by registered or certified mail at the addresses specified below or at such other addresses as may be specified in writing by the parties hereto: To Owner: Desert Palms, Inc. Mr. Paul Salvo 737 East Grand Avenue Escondido, California 92025 with a copy to: If to the City: City of Cathedral City 68 -700 Avenida Lalo Guerrero Cathedral City, California 92234 Attention: City Manager With a copy to: Green, de Bortnowsky and Quintanilla 23801 Calabasas Road, Suite 1015 Calabasas, California 91302 Attention: Charles R. Green Notice shall be deemed given three (3) business days after the date of mailing, or, if personally delivered, when received. A party's address for notice may be changed by giving notice to the other party in the manner set forth above and indicating the new address for notice. Section 13. Governing Law. The validity of this Agreement and any of its terms or provisions, as well as the rights and duties of the parties under this Agreement, shall be construed pursuant to and in accordance with California law. Section 13. Counterparts. This Agreement may be executed in counterparts, each of which shall be deemed as original but all of which shall constitute one and the same instrument. Section 14. Non - liability of City officers and Employees. No officer or employee of the City shall be personally liable to the Owner, or any successor in interest, in the event of any default or breach by the City Section 15. Successors, Heirs and Assigns This Agreement shall be binding upon the successors, endorsees, assigns, heirs, and personal representatives of each of the Parties to this Agreement and, likewise, shall inure to the benefit of the successors, endorsees, assigns, heirs, and personal representatives of each of the Parties. Section 16. Authority. The persons executing this Agreement on behalf of the parties hereto warrant that they are duly authorized to execute this Agreement on behalf of said parties. [REMAINDER OF PAGE LEFT INTENTIONALLY BLANK] IN WITNESS WHEREOF, the Parties hereto have duly executed this Agreement as of _ 2 Z _ the dates set forth belo �►� d• .'thleen J. ' eRosa, Mayor APPROVED AS TO CONTENT: 444447 Pat Hammers, City Clerk Donald Bradley, City Manager APPROVED AS TO FORM: Charles R. Green, City Attorney DESERT PALMS, INC. a Calife . nonprofit public benefit corpo 'ation By: KIN Its: — e • CATH \0006 \DOC\ 1284. doc CALIFORNIA ALL - PURPOSE ACKNOWLEDGMENT • — •: • .-,• .. -.-te , State of California 1 County of 621 uf_ _Sl uci 1 p. , , • On J (i I before me, --- M L _ .0 c(2� .tAki — 0"74 y RAL/c Date e Insert Name and Title J the Officer / IY personally appeared f'1 1/4.) L_ j O f/••J U/ ( I Name(s) of Signer(s) I 9 I, who proved to me on the basis of satisfactory 9l t evidence to be the person(s) whose name(s) is /are 0 subscribed to the within instrument and acknowledged to me that he /she /they executed the same in his /her /their authorized capacity(ies), and that by his /her /their signature(s) on the instrument the 9 ,�.� JIM L. SHERMAN person(s), or the entity upon behalf of which the C �s;� Commission # 1879166 z person(s) acted, executed the instrument. I' a 0. - -r? ll Notary Public - California z y I. z � Riverside County y 1 certify under PENALTY OF PERJURY under the 1 _ _ _ _ My m Com. Expires Feb 2,20_14i laws of the State of California that the foregoing 91 g paragraph is true and correct. WITNESS my haft, . d o :I s-,.. 9 ` .I Signatur i ;1 Place Notary Seal and/or Stamp Above , Sig =lure of Public I OPTIONAL . 1 1. Though the information below is not required by law, it may , rove valu- .1eMIN s relying on the document i and could prevent fraudulent removal and reattach • ent of th s form to another document. y Description of Attached Document � • Title or Type of Document: • Document Date: Number of Pages: Signer(s) Other Than Named Above: • Capacity(les) Claimed by Signer(s) Signer's Name: Signer's Name: Al 4 ❑ Corporate Officer — Title(s): ❑ Corporate Officer — Title(s): ❑ Individual RIGHT THUMBPRINT ❑ Individual RIGHT THUMBPRINT ° I . OF SIGNER OF SIGNER n ❑ Partner — ❑ Limited ❑ General Top of thumb here ❑ Partner — ❑ Limited ❑ General Top of thumb here 11 1 , ❑ Attorney in Fact ❑ Attorney in Fact ❑ Trustee ❑ Trustee Al ❑ Guardian or Conservator ❑ Guardian or Conservator 91 l , 1 < ❑ Other: ❑ Other: 1 1, ,1 1 , Signer Is Representing: Signer Is Representing: S • I ©2008 National Notary Association • 9350 De Soto Ave., P.O. Box 2402 • Chatsworth, CA 91313 -2402 • www.NationalNotary.org Item #5907 Reorder: Call Toll -Free 1 -800- 876 -6827 j I 1 • EXHIBIT "A" The real property to be improved under Conditional Use Permit CUP 2011 -01 is located on the North side of Jones Road, east of Cree Road, in the City of Cathedral City, and is described as follows: The South 330 feet of the East half of the South half of Lot 20 in Section 29, Township 4 South, Range 5 East, San Bernardino Meridian, in the County of Riverside, State of California, as shown by map of Palm Valley Colony Lands, on file in Book 14, Page 652, of Maps, Records of San Diego County, California. EXCEPT that portion described as follows: Beginning at a stake at the Southeast corner of the East half of the South half of said Lot 20; thence West, 132 feet along the South line of said Lot 20; thence North 330 feet; thence East 132 feet; thence South 330 feet to the Point of Beginning. Assessor Parcel 681 - 310 -024 -7 (Legal description source: Equity Title Company, Santa Ana, CA, preliminary report, dated January 4, 2011; Order No. OR1013535)