HomeMy WebLinkAboutSewer & Storm Drain Iq~lSF_I~ PERIVIANEJVTE
Medical Care Program
Southern California Region
February 3, 1993
Robert Weddle
City Engineer ' 8
City of Fontana
8353 Sierra Avenue
Fontana, California 92335
Dear Bob:
Suject: PRIMARY CARE CENTER SHARE AGREEMENTS FOR OFFSITE SEWER
AND STORM DRAIN CONSTRUCTION
During our meeting of January 5, 1993 we met with you to discuss
Kaiser Permanente's fair share percentages for the offsite sewer
and storm drain lines resulting from combining required
facilities for the Primary Care Center with the City's master
infrastructure systems. The following is our understanding of
the preliminary agreements reached at that meeting:
VALLEY BOULEVARD SEWER LINE
1. Kaiser Permanents will construct and bear the cost of
construction as well as costs associated with the planning
and development of the sewer line in Valley Boulevard at the
proposed size which accommodates both Kaiser Permanente's
needs and the future City master plan in accordance with the
approved plans.
2. Kaiser Permanents will provide to the City documentation of
the actual cost of the construction to include both hard and
soft costs. At any time during construction the books shall
be made available for City review.
3. The City will not charge inspection fees on the project. ~
4. Kaiser Permanente's Fair share responsibility is 34% of the
total project cost, including both hard and soft costs.
With the remaining 66%, the City will allow Kaiser
Permanents to pre-purchase through a reimbursement/credit
agreement up to 521.7 service units for future sewer
connections on the site at $600 each.
Walnut Center · Pasadena · California 91188 · (818) 405-3156
Page 2
Primary Care Center
5. Said reimbursement/credit agreement shall ensure that the
pre-purchased Service Units and resulting capacity will be
owned by reserved for Kaiser Permanents. No other
developer/user may purchase or use the reserved Service
Units or capacity unless they are purchased from or
otherwise agreed to by Kaiser Permanents. (During the
meeting it was discussed that the opportunity for Kaiser
Permanents to resell the Service Units would need to be
further considered by the City.)
6. The City will provide a copy of a draft agreement based upon
documents previously reviewed by the City Attorney for
review by Kaiser Permanents legal counsel in order to
shorten the review process.
STORM DRAIN CONSTRUCTION, VALLEY BOULEVARD
1. The City will construct the Storm Drain line as a Capital
Improvement Project in accordance with the approved plans
provided by Kaiser Permanents.
2. Kaiser Permanents proposed to pay the city a fair share of
33% of the total construction estimate based upon the flow
calculations provided by Wagner Pacific at the meeting and
attached hereto. In addition, Kaiser proposed that they
would bear the full amount of soft costs.
Upon further review of these soft costs, Kaiser is hereby
offering to increase their fair share on soft costs from 33%
as originally proposed, to 50%, and pay 100% of the cost
incurred for the temporary storm drain provision. By using
this calculation method, Kaiser Permanente~s total fair
share obligation would be 38.1%. An accounting of these
costs are shown on attachment "A" (Summary of soft costs)
and attachment "B" (Project cost summary).
3. In order for the City to begin construction bidding, Kaiser
Permanents will deposit 90% of the estimated fair share
amount minus funds expended to date, with the City. When
this deposit is received, the City will release the $211,000
Letter of Credit posted for Storm Drain fees. At that
time,the city will release the drawings for public bid.
4. When the final bids are received and contract ready to
award, Kaiser Permanete will deposit the remaining 10% or
whatever amount is appropriate to equal the total fair share
amount of the total construction cost at close of bid. The
deposit shall remain until completion of the construction
whereupon a final accounting will occur and the city will
reimburse Kaiser Permanents for any deposited funds
remaining.
Page 3
Primary Care Center
5. The City is adding construction to correct existing problems
at the mobile home park to this project. The additional
cost of these corrections will not be factored into the cost
the project in which Kaiser Permanents will participate.
6. The City shall provide documentation of the construction of
the storm drain line, including hard and soft costs. At any
time during construction, the books shall be made available
for Kaiser Permanente's review.
This is our understanding of the preliminary agreements reached
at the meeting. Please review and get back to us as soon as
possible so that final arrangements can be made for the
construction of these facilities. As we stated at the meeting,
our projected occupancy date for the Primary Care Center is
February of 1994. We look forward to continuation of these
projects with you and hope that will soon reach a mutually
beneficial agreement.
Sincerely,
Martin Lakatos Andrew Wheeler
(818) 405-6704 (818) 405-6020
Project Architect Project Architect
(Primary Care Center) (Hospital Tower Addition)
Attachment: Summary of soft costs
Project Cost Summary
Storm Drainage Flow Proportions
cc: Fidel Gonzalez
Jeff Lambert
Dana Halladay
Pamela Steele
ATTACHMENT "A"
Summary of Soft CoStS
Hydrology Study
Civil Engineering Fees
Wagner Pacific $157,000
Ave fees
Robert Hoskins 4 600
Traffic Eng. Fees
Linscott, Law & Greenspan 2 550
Land Use Consultant
Hogle Ireland 7 500
Project Management
Teubner & Brown 8 500
Plan Check Fees
City of Fontana 27 554
Sub-Total 202 710
5% Contingency for
Construction Monitoring 10 135
Total 212 845
ATTACHMENT
PROJECT COST SUMMARY
CITY ~ RAISER ~ TOTAL COST RE-
SHARE SHARE MARK
CONST · NOTE
ESTIMATE $552,750 66% $272,250 33% $ 825,000 A
ACQUISITI $100,500 66% $ 49,500 33% $ 150,000
ON
8OFT $106,422 50% $106,422 50% $ 212,845
COSTS
SUB-TOTAL $759,672 0% $427,672 0% $1,187,845
TEMPORARY
STORM
DRAIN- $0 0% 41,039 100% $ 41,039
PRIMARY
CARE
TOTAL $759,672 61.9% $468,711 38.1% $1,228,884
A: Direct costs of $750,000 plus 10% (75,000) contingency.
20'1 EAST YORBA LINDA BLVD ? ':' i 'i, ,,,~ '
PL,aCENTIA, CA 92670-,34t8
714 9~3-4500
FAX 714 9Q3-6837
c-, oF Wagner
.AS . sxo ! cost Pacific
8~ D~AGE ~W ~O~R~ONS
s u v ~ ~ - r~ ~:
~B~C VS ~A~ ~W R~O~
~R
~E I S~ D~ ~O~
~ ~ ~Y C~ C~
~ 8D, DR ~M
~I Job No. 352~5-~
RUNOFF FLOWS IN STORM DRAIN SYSTEM
MASTER
PLAN KAISER SITE BYPASS INTERIM TOTAL %
PIPE REACH FLOW GENERATED PUBLIC S.D. MARYGOLD KAISER TOTAL
(25 YEAR OR FLOW FLOW FLOW FLOW FLOW
100 YEAR) (cfs) (cfs) (cfs) (cfs)
4,5'X10' RCB 609 100 Yr 57 100 Yr 10 100 Yr 23 100 Yr 90 100 Yr 15%
84" RCP 609 100 Yr 57 100 Yr 10 100 Yr 13 100 Yr 80 100 Yr 13 %
Valley Blvd.
(Westerly to
Palmetto)
45" RCP 61 25 Yr 44 25 Yr 8.5 25 Yr N/A 52.5 25 Yr 86%
Valley Blvd. (Local Drain -
(Westerly 150') 100%)
39" RCP 44 25 Yr 44 25 Yr 8.5 25 Yr N/A 52.5 25 Yr 100%
Valley BIrd.
(Westerly to
Site)
20'1 EAST YORBA LINDA BLVD
PLACENTIA, CA 92670-34'18
7'14 993-4,,.',,.',,.',,.'~0
FAX 714 993-6837
,f~'
cmc Wagller
ZMAS~ PIAN OF DRAINAGE f
Paa
FAIR SHARE COST ANALYSIS
COST PRORATION .......
PERCENT OF CONTRIBUTING FLOW
FOR
PHASE I STORM DRAIN IMPROYEIVHENIS
KAISER PERMANENTE PRIMARY CARE CENTER
CUP S90-13, DR//90-38
WPI Job No. 352.-05-90
TOTAL WITH
ESTIMATED ESTIMATED 20% SOFT RISER KAISER
PIPE REACH IMPROVEMENT ACQUISITION SUBTOTAL AND % COST
COSTS COST 15% CONT OF FLOW
COSTS
4.5'X10' RCB $212,500 S150,000+ $362,500 $ 489,375 15% $ 73,405
84" RCP 340,000 N/A 340,000 459,000 13% 59,670
Valley Blvd.
45" RCP 56,500 N/A 56,500 76,275 10095 76,275
Valley Blvd.
39" RCP 141,000 N/A 141,000 190,350 100% 190,350
Valley Blvd.
· . % FAIR SHARE = 399.700 X 100% = 33%
1,215,000
* PRECISE AMOUNT OF EASEMENT ACQUISITION OFFER IS NOT KNOWN AND IS SUBJECT TO NEGOTIATION
C of Fontana
LIFORNIA
January 25, 1993
Clark Alsop, Esquire
C/O Debra Bogan
Best, Best & Krieger
800 S. Haven Avenue, Suite 120
Ontario, CA 91762
RE: Draft City/Kaiser Hospital Sewer
and Storm Drain Agreements
Dear Mr. Alsop:
Enclosed for your office's review are two draft agreements for cost sharing between the City
of Fontaria and Kaiser Permanente Hospitals for the Valley Avenue Sewer Project (071-7242)
and the 1-10 to Valley Storm Drain (038-7129). These agreements were formatted after one of
the last edits of the City/Presley agreement. Please have the assigned attorney record their time
charges to the above noted individual accounts as appropriate.
Any questions on these documents can be referred to the City Engineer at 909-350-7613. As
both projects are nearing completion of design with advertising for bids to procee~ immediately
thereafter, this is to request that your office' s review be completed within two weeks of receipt.
//' rel2~op
ilS'/
t' Commu ment Director
GH:sh
Attachment
co: City Engineer
Principal Engineer/Capital Improvements
Sr. Administrative Analyst/Community Development
8353 SIERRAAVENUE(P,O. BOX 518) · FONTANA, CALIFORNIA92334-0518 · (714)350-7600
SISTER CITY -- KAMLOOPS, B.C. CANADA
EXt-FrBIT "G"
Form 6a6A REV 1-90
PERFORMANCE BOND
KNOW ALL MEN BY THESE PRESENTS; that .........................................
(Name of Subcontra~or)
a ........................ corporation with principal offices located at ........................
(Address)
as Principal (hereinafter "Subcontractor' '), and ...............................................
(Name of Surety Compamy)
as Surety, a ..................... corporation w~th home offices located at .....................
(Address)
(hereinafter "Surety"), a~e held mad f'u'rnly bound unto TURNER CONSTRUCTION COMPANY, a
New York corporation (hereinafter "Obligee' '), in the sum of ...................................
DOLLARS ($ ), for the payment whereof the Subcontractor and Surety
bind themselves, and their respective heirs, administrators, executors, successors and assigns, jointly
and severaJ]y, f'u-rnly by these presents.
WHEREAS, Subcontractor has by written agreement dated .................................
entered into a subcontract with Obligee for the performance of ...................................
(hereinafter the Subcontract work). for and at the ..............................................
(Name of Project)
(hereinafter the "Project' ') located at ........................................................
(Address)
in accordance with Drawings and specifications prepared by .....................................
which subcontract is by reference made a part hereof, and is hereinafter referred to as the "Subcontract".
NOW THEREFORE, THE CONDITION OF THIS OBLIGATION is such that, ifSubcontractor
shall promp~y and faithfully perform said Subcontract, then this obligation shall be null and void;
otherwise it shall remain in full force and effect.
The Surety hereby waives notice of any alteration or extension of time made by Obligee.
-1-
FOR/v[ 6,~A REV 1-90
Whenever Subcontractor shall be and declared by ObHgee to be in default under the SubcontractS'
Obligee having performed Obligee's obligations thereunder, the Surety may promptly remedy the
default, or shall promptly
I) Complete the Subcontract in accordance with its terms and conditions; or
2) Obtain a bid or bids for completing the Subcontract in accordance with its terms and conditions,
- and upon determination by Surety of the lowest responsible bidder, or if Obligee elects, upon deter-
minatlon by Obligee and the Surety jointly of the lowest responsible bidder, arrange for a subcontract
between such bidder and Obljgee, and make available as Subcontract work progresses (even though
there should be a default or a succession of defaults under the subcontract or subcontracts of comple-
tion arranged under this paragraph) sufficient funds to pay the cost of completion less the balance of the
Subcontract price; but not exceeding, including other costs and damages for which the Surety may be
liable hereunder, the amount set forth in the first paragraph hereof. The term "balance of the Subcon-
tract price," as used in this paragraph, shall mean the total amount payable by Obligee to Subcontractor
under the Subcontract and any amendments thereto, less the amount properly paid by Obligee to Sub-
contractor.
No fight of action shall accrue on this bond to or for the use of any person or corporation other
than Obligee or the heirs, executors, adminigtrators or successors of Obligee.
IN WITNESS WHEREOF, the Subcontractor and Surety have hereunto caused this Bond to be
duly executed and acknowledged as set forth below this day of
·19
(Impress Corporate Seal)
(Name of Subconu'actor)
ATTEST: By:
(Offic~r)
Title:
(Impress Corporate Seal) (Name of sttrcty Company) , Surety
AIY~.ST: By:
Attornc},-in-Fac~
NOTE: An original Power of Attorney bearing same date as Bond and acknowledgements of
Subcontractor and Attorney-in-Fact must be attached.
Turner Construction Company
17190 Valley Blvd.
Fontana CA 92335
Telephone (909) 357-6700
FAX (909) 357-6718
Turner
To: Pamela Steele From: David G. Martinez
Hogle-Ireland
Date: April 7, 1993
Re: Kaiser - Fontana
Offsite - Sewer Imrovement
We are forwarding to you via: Status:
X mail approved
express approved as noted
messenger to be corrected as noted
blueprinter to be re-submitted
hand delivered for your review &comment
pick up X for your approval
as requested by you
enclosed for your use/information/files
under separate cover response requested by
COMMENTS:
Enclosed is Turner's Standard Payment & Performance Bond form between Turner and
Subcontractor.
As discussed, this is the bond form we intend to use for both the Street Improvements and
the Sewer Improvements. Please review this with the City of Fontana.
FXS tfavid G. Martinez/Project Engineer, Thank you.
MAC
M. Lakatos, Kaiser
File
CITY OF FONTANA
CALIFORNIA
MEMORANDUM
TO: STEVE DEITSCH
CITY ATTORNEY
SUBJECT: KAISER FOUNDATION HOSPITALS AGREEMENTS - SEWER PROJECT
DATE: APRIL 22, 1993
Pursuant to the requirement in the final draft City/Kaiser sewer agreement there is a
requirement for performance bonds. Turner construction is Kaiser's general contractor
who will directly hire all the subcontractor's necessary to do the sewer project. Kaiser
prefers to not directly contract with the sub contractor and as such pays Turner a
management fee for handling the proiect.
Please review this form for sufficiency and respond by April 29, 1993 if possible.
Your office has copies of the City/Kaiser Agreement.
Enclosure
cc: M. Lakatos, Kaiser
P. Steete, Hogle/Ireland Development Consulting Group
c:\weddle\memos93\fnldrftk.sr
From: HDGLE-IRELAND, INC PHONE No. : 909 ?87 9222 Mar. 2S 1993 3:S3PH PO1
1V~fiNG CONvsKMA ']'tON
This memo is to confirm the Fair llar agtmmsem ~ as follows:
MONDAY, MARCH :i9, 1993
9t00 A..M.
CITY OF FONTANA
EXECUTIVE CONFidENCE ROOM
Stove DOshay, representing Kaiser Permanente, and Steve Dietsch, of Best, Best 8~ Krteger
(representing the City) will be joining us at 10:00 A.M.
If you have any questions pleasis call me at 909/787-9222.
PDS/ng
~}4o5 lOdt 8t~t, Suit(r 5~0, Riverside. ,CA 92~01 · 714 / 787-9222 · FAX 714 / 7~l-(xql4
ESTIMATED TOTAL PROJECT COST
MASTER PLANNED SEWER SY~'EM
Estimated Constructionn Costs $700,000
Estimated Engineering Costs (20%) ~
Estimated Total Costs 840,000
Kaiser's Fair Share Cost (~ 34% (285,600)
City's Direct Costs:
Project Coordination (12,000)
Project Inspection 28.000
Balance of Estimated Construction Costs 514,400
Credit to Kaiser for Future Service Units (313,020)
(521.7 S.U. ~ $600/S.U.)
Amount of Non-Reimbursable Construction $201,380
Costs to be Incurred by Kaiser if Total -~
Costs Exceed "34% + $313,200" '
(Refer to Section 4.1)
i Ci ty of Fontana
LIFORNIA
FAX
COMMUNICATIONS
FROM FAX NUMBER (909) 350-6618
Fax Number: ~' t ~-q~ f- D~ ~1 ~one Number:
From:
Phone Number:
· otal ~umber of Page~; ~---> Date: Time:
(including cover she~)
Message:
CC:
FAX CHARGE IS= $3.00 1ST PAGE (EXCLUDING COVER SHEET) fFI.50 THEREAFTER.
PLEASE MAKE CHECK PAYABLE TO THE CITY OF FONTANA IN THE AMOUNT OF $
PLEASE MAIL TO: C~TY OF FONTANA, P.O. BOX 518, FONTANA, CA 92334
FROM:
Name Company/Firm
Address Phone No.
NOTE: Rease return this cover sheet with Payment
(Account No. 010-0316*2300)
8353 SIERRAAVENUE(P.O, BOX518) · FONTANA CALIFORNIA92334-O518 · (714) 350-7600
SISTER CITY- KAMLOOPS, B.C. CANADA
EXHIBIT "B"
TOTAL COST PRORATION
EST. KAISER CITY
BUDGET CATEGORIES COST % $ % $
SeGment 1 (MPD)
Design (WP) 150,000 33.33% 50,000 66.67% 100,000
Right of Way 165,000 14% 23,100 86% 141,900
Construction 632,500 14% 88,550 86% 543,950
Const. Survey, Matl's
Testing 15,000 100% 15,000 0% 0
Const. Admin., Insp. 27,500 0% 0 100% 27,500
SUBTOTAL $990,000 $176,650 $813,350
SeGment 2 (Local Drain)
Design (WP) 50,000 100% 50,000 0% 0
Right of Way 0 0% 0 0% 0
Construction S.D. 230,000 100% 230,000 0% 0
Const. Villa Fontana 30,000 0% 0 100% 30,000
Maintain Temp. Drain 41,039 100% 41,039 0% 0
Const. Survey, Matl's
Testing 5,000 100% 5,000 0% 0
Const. Admin., Insp. 10,000 0% 0 100% 10,000
SUBTOTAL $366,039 $326,039 $ 40,000
TOTAL $1,356,039 $502,689 $853,350
4/2/93
5O
°*'Ci ty of Fontana
LIFOI~NIA
April 12, 1993
EXCERPT OF THE UNOFFICIAL AND NOT YET APPROVED MINUTES OF THE APRIL 6, 1993
REGULAR FONTANA CITY COUNCIL MEETING:
"Motion made by Council Member Coleman, seconded by Council Member Eshleman to
adopt Resolution No. 93-35, declaring that the- acquisition of easements in
certain real property (APN-252-111-04) by eminent domain is necessary for
construction of underground storm drain facilities (I-10) to Valley Boulevard
Storm Drain Project)
Motion carried by a vote of 5-0.
AYES: Mayor Boyles, Mayor Pro Tem Roberrs, Council Members Coleman,
Eshleman, Watson.
NOES: None
ABSENT: None"
Deputy City Clerk
LSN:vm
8353 SIERRA AVENUE (P O. BOX 518) · FONTANA. CALIFORNIA 92334-O518 t (714) 350-7600
SISTER CITY -- KAMLOOPS, B.C. CANAOA
5!
City of Fontana
CALIFORNIA
April 22, 1993
EXCERPT OF THE UNOFFICIAL AND NOT YET APPROVED MINUTES OF THE APRIL 20. 1993
REGULAR FONTANA CITY COUNCIL MEETING:
"Motion made by Council Member Coleman, seconded by Council Member Watson to
authorize the Community Development Department to advertise for bids for the
construction of the 1-10 to Valley Boulevard storm drain project.
Motion carried by a Vote of 3-0.
AYES: Mayor Pro Tem Roberts, Council Members Coleman, Watson
NOES: None
ABSENT: Mayor Boyles, Council Member Eshleman"
C i t~y~YC~r~ya~
KM:vm
8353 SIERRA AVENUE (P.O. BOX 518) · FONTANA, CALIFORNIA 92334-0518 · (714) 350-7600
SISTER CITY- KAMLOOPS, B.C. CANADA ~le~ recycled paper
MASTER PLAN SEWER SYSTEM AGREEMENT
between
CITY OF FONTANA
and
KAISER PERMANENTE HOSPITALS
TIeaBLE OF CONTENTS
Recitals ......................................................... 1
1. Definitions ............................................ 3
2. Design of the Project .................................. 4
2.1 Design ............................................ 4
2.2 Indemnity for Design .............................. 4
2.3 Design Costs ...................................... 4
3. Construction of the Project ............................ 4
3.1 Award of Contract ................................. 5
3.2 Indemnity for Contract Award ...................... 5
4. Terms of Credit ..................................... 5
4.1 Allocation of Credit ........................... 5
4.2 Estimated Costs ................................ 6
4.3 Progress Reports and Billing ................... 6
4.4 Submittal of Itemized Bill ..................... 6
4.5 Approval of Costs .............................. 6
5. Ownership of and Responsibility for Completed Project..7
6. Indemnification, Insurance and Security ................ 7
6.1 Indemnification ................................... 7
6.2 City's Self-Assurance ............................. 7
6.3 Contractor Insurance .............................. 8
6.4 Bonds ............................................ 10
7. City's Contribution of Project Costs .................. 11
8. Termination ........................................ 11
9. Notice ............................................. 12
10. Term ............................................... 12
ll. Attorney'sFees .................................... 12
12. EntireAgreement ................................... 12
13. Assignment ......................................... 13
14. No Third Party Beneficiaries ......................... 13
15. No Joint Venture Or Partnership ...................... 13
-i-
M~STER PLK~ SEWER SYSTEM A~REF.~ENT
This Master Plan Sewer System Agreement is made and entered
into this __. day of , 199_, by and between the CITY OF
FONTANA and KAISER PERMANENTE HOSPITALS.
RECITALS
ThisAgreement is entered into based upon the following facts,
understandings and intentions of the parties:
A. When used in these Recitals, each of the terms defined in
Article 1 shall have the meaning given to it therein.
B. Kaiser owns the site, also known as Parcel Map No. 14232
and, as a part of the development the site, is required to
construct a sanitary sewer system in accordance with the Master
Plan of Sewers.
C. City as a part of the Master Plan of Sewers System
Capital Improvement Program has planned and budgeted the
construction of the Project for the City's "fair share". City has
also planned, budgeted and is currently constructing a Master Plan
of Sewers project known as the Cypress Avenue Sewer from Jurupa
Avenue to Valley Boulevard in order for project to have a
downstream point of connection.
1
D. Kaiser proposes at this time to construct the Project in
order to provide Master Plan of Sewers System facilities to its
site.
E. The Code of the City of Fontana authorizes City to pay
the costs of designing and constructing that portion of sewer pipe
in excess of eight inches (8") in inside diameter and appurtenant
structures of a size and/or construction greater than those
minimally required of a standard local sewer system, provided the
private party contracts using City monitored Public Works b~dding
and contracting procedures.
F. Kaiser proposes to contract for the Project construction
using its private bid practices in lieu of City monitored Public
Works Bidding Procedures and thereby forfeiting direct
reimbursement for Project costs over fair share.
G. Kaiser and City recognize that it is in their mutual
~nterest to coordinate the design, construction and installation of
the Project to serve the City's Master Plan of Sewers System and
the site so as to efficiently implement City's overall Master Plan
of Sewers System.
H. The parties desire Kaiser to construct the Project and
subsequently be credited by City for the portion of cost of
construction of the Project that Kaiser otherwise have incurred in
designing and constructing a standard local sewer system against
future site sewer connection fees up to an agreed upon maximum
number of sewer connection units.
NOW, THEREFORE, in consideration of the mutual covenants
contained herein, City and Kaiser hereby agree as follows:
AGREEMENT
1. Definitions.
1.1 "Agreement" shall mean this Master Plan Sewer System
Reimbursement Agreement between the City of Fontana and Kaiser
Permanente Hospitals, dated , 199_.
1.2 "City" shall mean the City of Fontana, a municipal
corporation.
1.3 "Kaiser" shall mean Kaiser Permanente Hospitals, a
California Corporation, its successors and assigns.
1.4 "Project" shall mean the Valley Boulevard Sewer from the
proposed current terminus of the Master Plan of Sewers System at
the intersection of Cypress Avenue at Valley Boulevard, as depicted
on Exhibit "A" to it upstream connection at Kaiser's site.
2. Design of the Project.
2.1 Desian. Kaiser has designed, and City will approve the
design of Project.
2.2 Indemnity for Design. To the extent of any warranty or
guarantee by Kaiser's consultant that designed Project, Kaiser
shall defend, indemnify and hold City its officers, employees and
agents free and harmless from any and all claims, actions or
liabilities whatsoever, including without limitation all
consequential damages and attorney's fees, arising out of or in
connection with the design of Project, except to the extent that
such claims, actions and liabilities are attributable to the
negligent actions or omissions of City.
2.3 Desiqn Costs. City acknowledges and agrees that Kaiser
has submitted an itemized bill and supporting documentation
evidencing that it has expended in designing the
Project. This amount shall be credited against Kaiser's fair share
cost pursuant to Article 4 hereof.
3. Construction of the Pro~ect.
3.1 Award of Contract. Kaiser shall contract for the
construction of the Project within a reasonable period of time
following execution of this Agreement. Kaiser shall be solely
responsible for securing appropriate bids and awarding the contract
for construction of the Project.
GCM23345 4
3.2 Indemnity for Contract Award. Kaiser shall defend,
indemnify, and hold City, its officers, employees and agents free
and harmless from any and all claims, actions or liabilities
whatsoever, including without limitation all consequential damages
and attorney's fees, arising out of or in connection with Kaiser's
securing of bids and award and performance of the construction of
the Project.
4. Terms of Credit.
4.1 Allocation of Credit. City shall credit Kaiser for the
costs of designing, constructing and engineering Project up to a
maximum of 521.7 service units for future sewer connection fees as
a part of future development of site. Present value of 521.7
service units at the current fee of $600/su is $313,020: full
credit will be given at the time future connections by Kaiser for
site are made provided that Kaiser's total project cost is greater
than the sum of 34.0 percent of the final project cost plus
$313,020.
Should the total project cost be less than 34.0 percent
of the project cost plus $313,020, then the credit for service
units will be reduced until these cost equations are equivalent.
4.2 Estimated Costs. Costs shall be limited to costs
directly and necessarily related to designing, constructing and
engineering of the Project, excluding the costs of acquiring
necessary land and easements, administrative expenses, borrowed
5
funds, insurance and bonding. As set forth on Exhibit "B" attached
hereto, Kaiser's and City's engineers have estimated the total
costs of designing, constructing and engineering the project is
$840,000.00.
4.3 Progress Reports and BillinG. Kaiser will require
progress reports and billings every thirty (30) days from the
contractor performing construction of the Project. Upon receipt of
such progress reports and billings, Kaiser shall be solely
responsible for determining their accuracy.
4.4 Submittal of Itemized Bill. Within thirty (30) days
after completion and acceptance of the Project by the City, Kaiser
shall provide City with an itemized bill showing all costs and fees
incurred by Kaiser to construct the Project (the "cost bill").
Kaiser agrees to provide City with evidence that all related
invoices have been paid. Kaiser also agrees to provide City with
any additional information as to any items shown on the cost bill
as may be requested by City.
4.5 APProval of Costs. Within thirty (30) days after receipt
of the cost bill and any additional information, City shall advise
Kaiser in writing of any fees or costs shown on the cost bill that
City will not include in the total project cost and the reason why
these items are being disallowed by City. Only those construction
costs approved by City will be allowed for credit in accordance
6
with this Agreement; provided, however, that City shall not
unreasonably disallow any costs.
5. Ownership of and ResDonsibilitv for Completed Pro~ect.
Ownership of the Project belongs exclusively to City and
Kaiser shall not be responsible for the maintenance and upkeep of
the Project, after acceptance of the Project by City.
6. Indemnification, Insurance and Security.
6.1 Indemnification. Kaiser shall defend, indemnify and hold
City, its officers, employees and agents free and harmless from any
· and all liability from loss, damage or injury to or death of
persons or property in any manner arising out of or incident to
Kaiser's performance of this Agreement, including without
limitation all consequential damages and attorney's fees, whether
or not resulting from the negligence of Kaiser or Kaiser's agents.
This indemnity shall extend to any claims arising because Kaiser
has failed to secure any necessary easement land right, contract,
and approval, but shall not extend to any claim to the extent that
it arises out of the sole negligence of City,
6.2 Kaiser's Insurance. (Text to be provided by BBK)
7
6.3 Contractor Insurance.
6.3.1 Kaiser contract with its contractor to
construct the Project shall require City's contractor to provide
City and Kaiser, prior to commencing any construction work
hereunder, with certificates of insurance with original endorse-
ments, and copies of policies, if requested, of the following
insurance with Bests' Class B or better carrier admitted to and
authorized to issue insurance in the State of California:
a. Worker's Compensation Insurance covering
all employees and principals of Kaiser's
contractor, in at least the minimum
amount as required by state law,
effective under the laws of the State of
California.
b. Commercial General Liability Insurance
covering third party liability risks,
including contractual liability, in a
minimum amount of $1 million combined
single limit 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 shall apply separately
8
to the Project or the general limit shall
be twice the occurrence limit.
c. Commercial Auto Liability and Property
Insurance covering any owned and rented
vehicles of Kaiser's contractor in the
minimum amount of $1 million combined
single limit per accident for bodily
injury and property damages.
6.3.2 Said policy or policies shall be endorsed to
state that coverage shall not be suspended, voided, canceled by
either party, or reduced in coverage or in limits except after
thirty (30) days prior notice has been given in writing to City and
Kaiser. Kaiser's contractor shall give to City and Kaiser prompt
and timely notice of any claim made or suit instituted arising out
of its construction of the Project. Kaiser's contractor shall also
procure and maintain, at its own expense, any additional kinds and
amounts of insurance which in its own judgment may be necessary for
its proper protection in the prosecution of the work.
6.3.3 Kaiser's contractor shall include all
subcontractors as insured under its policies or shall furnish to
Kaiser and City separate certificates and endorsements for each
subcontractor prior to commencing any work on the Project. All
coverage for such subcontractors shall conform with the insurance
requirements stated herein.
6.4 Bonds for Construction. Kaiser's contract with its
contractor to construct the Project shall require Kaiser's
contractor to provide Kaiser with a Payment Bond and a Performance
Bond each in an amount equal to the total contract amount for the
Project to be constructed in accordance with this Agreement to
guarantee: (1) that contractor and its subcontractors of every tier
will pay all amounts owed to subcontractors, material suppliers,
workers and equipment renters and, (2) that contractor will perform
all obligations under this Agreement. The bonds shall be furnished
by a surety company satisfactory to City and Kaiser on forms
acceptable to City and Kaiser, and shall name City and Kaiser
jointly as obligees. A surety company, to be acceptable to City
and Kaiser, must be authorized to do business and have an agent for
service of process in California. City and Kaiser must also be
satisfied that the surety company has sufficient assets and net
worth to honor the Payment Bond and Performance Bond.
If at any time, a surety on such bond is declared a bankrupt,
loses its right to do business in the State of California for any
reason, or is removed from the list of surety companies accepted on
Federal bonds, Kaiser's contract with its contractor for the
Project shall require the contractor within thirty (30) days after
notice from City and/or Kaiser, to substitute acceptable bonds in
such form and sum and signed by such other surety or sureties as
may be satisfactory to City and Kaiser, in their sole discretion.
All premiums on any performance or payment bonds required by this
Agreement shall be paid solely by Kaiser's contractor.
10
Kaiser's contract with its contractor for the Project shall
provide that, in the event of termination or cancellation of any
insurance or security required by said contract, the contractor
shall have fifteen (15) calendar days following receipt of written
notice from either City or Kaiser to provide replacement insurance
or security which satisfies the requirements of said contract and
that failure to provide such replacement insurance or security
shall constitute a material breach of said contract entitling
Kaiser to make alternative arrangements for completion of
performance. A duplicate copy of the fifteen (15) day written
notice shall be provided to the other party to this Agreement.
7. CitV contribution of Project Cost. At not cost to Kaiser,
City will issue a no fee construction permit for the Project and
additionally provide as City's fair share contribution no fee
project inspection and general City staff coordination costs.
Kaiser to provide the remaining construction administration,
surveying, materials testing, outside agency permits, etc.,
necessary for project construction.
8. Termination. In the event that either party defaults in the
performance of any of its obligations under this Agreement, or
materially breeches any of the provisions of this Agreement, the
other party shall have the option to terminate this Agreement upon
written notice to the defaulting party.
11
9. Notice. All notices permitted or required under this
Agreement shall be deemed made when delivered to the applicable
party's representative as provided in this Agreement. Such notices
shall be mailed or otherwise delivered to the addresses set forth
below, or at such other addresses as the respective parties may
provide in writing for this purpose:
City Kaiser
City Manager Kaiser Permanente
City of Fontana Hospitals
P. O. Box 518 Walnut Center
Fontana, CA 92334-0158 Pasadena, CA 91188
Such notice shall be deemed made when personally delivered or when
mailed, forty-eight (48) hours after deposit in the U.S. Mail,
first class postage, prepaid and addressed to the party at its
applicable address.
10. Term. This Agreement shall have a term which expires ten (10)
years from and after the date of its execution.
11. Attorneys' Fees. In the event any action is commenced to
enforce or interpret any term or condition of this Agreement, in
addition to costs and any other relief, the prevailing party shall
be entitled to reasonable attorneys' fees.
12. Entire AGreement. This Agreement contains the entire Agree-
ment of the parties hereto with respect to the matters contained
herein, and supersedes all negotiations, prior discussions and
preliminary agreements or understandings, written or oral. No
G~345 12
waiver or modification of this Agreement shall be binding unless
consented to by both parties in writing.
13. Assignment. Kaiser shall have the right to assign and
delegate Kaiser's rights and obligations under this Agreement in
connection with the concurrent sale, assignment, ground lease,
encumbrance or other transfer of all or any portion of the site;
provided, however, that Kaiser's rights under this Agreement shall
not be assigned without the delegation of Kaiser's duties
hereunder. Upon such assignment and delegation, Kaiser shall be
relieved of and from further liability or responsibility under this
Agreement.
14. No Third Party Beneficiaries. This Agreement is made and
entered into for the sole protection and benefit of the parties and
their successors and assigns. No other person shall have any right
of action based upon any provision of this Agreement.
15. No Joint Venture or Partnership. City and Kaiser hereby
renounce the existence of any form of joint venture or partnership
between them and agree that nothing contained herein shall be
construed as making City and Kaiser joint venturers or partners.
13
WHEREFORE, this Agreement is executed this day of
, 199_.
CITY OF FONTANA KAISER PERMANENTE HOSPITAL
A Municipal Corporation a California corporation
Jay M. Corey
City Manager
ATTEST:
Kathy Montoya
Approved as to legal form:
Clark Alsop or
Stephen P. Deitsch
City Attorney
Greg Hulsizer
Community Development Director
Jennifer Vaughn Blakely
Contract Compliance Officer
Robert A. Graham
Risk Management
EXHIBIT "B"
ESTIMATED TOTAL PROJECT C08T8
Construction $700,000
Engineering (20%) $140,000
$840,000
Kaiser's Cost
Design/Plan Check Fees $
Construction $700,000
Construction Admin.,
Surveying, Materials
Testing $
TOTAL $
City's Direct Costs
Project Coordination $ 12,000
Project Inspection $ 28,000
Subtotal $ 40,000
Kaiser's Maximum Future
Sewer Fee Credits
(521.7 Service Units) $313,020
TOTAL $353,020
15
MASTER PLAN OF DRAINAGE
REIMBURSEMENT AGREEMENT
between
CITY OF FONTANA
and
F~ISER PERMANENTE HOSPITALS
TABLE OF CONTENTS
Recitals ......................................................... 1
1. Definitions ............................................ 3
2. Design of the Project .................................. 4
2.1 Design ............................................ 4
2.2 Indemnity for Design .............................. 4
2.3 Design Costs ...................................... 4
3. Construction of the Project ............................ 4
3.1 Award of Contract ................................. 5
3.2 Indemnity for Contract Award ...................... 5
3.3 Failure to Construct .............................. 5
4. Terms of Reimbursement .......................... ~ .... 6
4 1 Allocation of Credit ........................... 6
4 2 Estimated Costs ................................ 6
4 3 Progress Reports and Billing ................... 7
4 4 Submittal of Itemized Bill ..................... 7
4 5 Approval of Costs .............................. 7
4 6 Payment ........................................ 8
5. Ownership of and Responsibility for Completed Project..8
6. Indemnification, Insurance and Security ................ 8
6.1 Indemnification ................................... 8
6.2 City's Self-Assurance ............................. 9
6.3 Contractor Insurance .............................. 9
6.4 Bonds ............................................ 11
7.
8. Termination ........................................... 12
9. Notice ................................................ 13
10. Term .................................................. 13
11. Attorney'sFees ....................................... 13
12. EntireAgreement ...................................... 14
13. Assignment ............................................ 14
14. No Third Party Beneficiaries .......................... 14
15. No Joint Venture Or Partnership ....................... 14
-i-
MASTER PLAN OF DRAINAGE A~3REEMENT
This Master Plan of Drainage Agreement is made and entered
into this day of , 199_, by and between the CITY OF
FONTANA and KAISER PERMANENTE HOSPITALS.
RECITALS
This Agreement is entered into based upon the following facts,
understandings and intentions of the parties:
A. When used in these Recitals, each of the terms defined in
Article 1 shall have the meaning given to it therein.
B. Kaiser owns the site, also known as Parcel Map No. 14232
and, as a part of the development of the site, is required to
construct drainage utilities to City standards that include local
stormdrain facilities and City Master Plan of Drainage facilities.
C. City as a part of the Master Plan of Drainage Capital
Improvement Program has planned and budgeted the construction of
the I-lO Freeway Channel to Valley Boulevard Storm Drain Project.
Kaiser as a part of its drainage responsibilities has planned and
budgeted the construction of local drains to connect to the Master
Plan of Drainage facilities within the site and Valley Boulevard.
1
D. City proposes at this time to construct Master Plan of
Drainage Facilities from the 1-10 Freeway Channel to Valley
Boulevard at Palmetto Avenue as well as a local storm drain in
Valley Boulevard, connecting site drains to the Master Planned
Facilities with cost sharing as noted herein.
E. Kaiser and City recognize that it is in their mutual
interest to coordinate the design, construction and installation of
facilities to serve the City's Master Plan of Drainage and the site
so as to efficiently implement city's overall Master Plan of
Drainage system and to avoid duplication of facilities.
F. Kaiser and City recognize that it is in their mutual
interest to coordinate the design, construction and installation of
the local storm drain in Valley Boulevard.
G. The Fontana Muncipal Code authorizes city to pay for
H. The parties desire City to construct the Project and be
paid by Kaiser for the portion of cost of the project that Kaiser
would otherwise have incurred constructing a standard local storm
drain from the 1-10 Channel to site.
2
I. Concurrently with this Agreement, city has acquired the
necessary easements to construct project.
NOW, THEREFORE, in consideration of the mutual covenants
contained herein, City and Kaiser hereby agree as follows:
1. Definitions.
1.1 "Agreement" shall mean this Master Plan Of Drainage
Reimbursement Agreement between the City of Fontana and Kaiser
Permanente Hospitals, dated , 199_.
1.2 "City" shall mean the City of Fontana, a municipal
corporation.
1.3 "Kaiser" shall mean Kaiser Permanente Hospitals, a
California Corporation, its successors and assigns.
1.4 "Easement shall mean the storm drain easements for
Segment 1 of the Project.
1.6 "Project" shall mean the storm drain facilities from the
1-10 Freeway Channel to Valley Boulevard thence westerly in Valley
3
Boulevard to the point of connecttion at the hospital site, as
depicted on Exhibit "A." The Project consists Of two segments as
delineated on Exhibit "A", as follows: Segment 1 is the Master
Planned Facility from the 1-10 Freeway to Valley Boulevard at
Palmetto Avenue (Segment "1"); and Segment 2 is a local strom drain
and is within Valley Boulevard from the intersection of Valley
Boulevard and Palmetto Avenue to the point of connection at the
hospital site (Segment "2").
2. Design of the Proiect.
2.1 Design. Kaiser has designed, and City will approve the
design of Segments 1 and 2.
2.2 Indemnity for Design. To the extent of any warranty or
guarantee by Kaiser's consultant that designed Segments i and 2,
Kaiser shall defend, indemnify and hold City its officers,
employees and agents free and harmless from any and all claims,
actions or liabilities whatsoever, including without limitation all
consequential damages and attorney's fees, arising out of or in
connection with the design of Segments i and 2, except to the
extent that such claims, actions and liabilities are attributable
to the negligent actions or omissions of City.
2.3 Desiqn Costs. City acknowledges and agrees that Kaiser
has submitted an itemized bill and supporting documentation
evidencing that it has expended in designing Segments 1
4
and 2. This amount shall be credited against Kaiser's fair share
cost pursuant to Article 4 hereof.
3. Construction of the Proiect.
3.1 Award of Contract. City shall contract for the
construction of Segments 1 and 2 within a reasonable period of time
following execution of this Agreement. Kaiser shall be solely
responsible for securing appropriate bids and awarding the contract
for construction of Segments 1 and 2.
3.2 Indemnitv for Contract Award. Kaiser shall defend,
indemnify, and hold City, its officers, employees and agents free
and harmless from any and all claims, actions or liabilities
whatsoever, including without limitation all consequential damages
and attorney's fees, arising out of or in connection with Kaiser's
securing of bids and award and performance of the construction of
Segments 1 and 2.
3.3 Failure to Construct. In the unlikely event that City
fails to construct Segments i and 2 of the Project before such
sewers are necessary for Kaiser's development of the site, Kaiser
shall have the right, but not the obligation, to either (a)
construct Segments 1 and 2 of the Project and obtain reimbursement
from City in accordance with the allocations of costs set forth in
Section 4.1 or (b) construct at its own cost (without reimbursement
from City) such local storm drains necessary for the site.
5
4. Terms of Reimbursement.
4.1 Allocation of Costs. Kaiser shall pay City for all of
the costs of designing, constructing and engineering Segment 2, and
the equivalent local storm drain costs of designing, constructing
and egineering Segment 1. City shall bear the cost of designing,
constructing and engineering Segment 1 with pipe in excess of local
storm drain size and the Villa Fontana Mobile Home Park drainage
system conversion as determined by the city Engineer. As set forth
in Exhibit "B", attached hereto, based upon the ratio that the
estimated cost of construction Segment 1 as a local storm drain
bears to the estimated cost of constructing Segment 1 as designed
as a Master Plan of Drainage System Facility, Kaiser's share of the
costs is 22.04% and the City's share of the reimbursable costs is
87.96%. City is responsible for all costs associated with the
Villa Fontana Mobile Home Park drainage system conversion and
agrees to pay for Segment 2's contract administration and
inspection as its fair share of Segment 2's costs.
4.2 Estimated Costs. Reimburseable costs shall be limited to
costs directly and necessarily related to designing, constructing
and engineering of Segments 1 and 2, including the costs of
acquiring necessary land and easements, but excluding
administrative expenses, borrowed funds, insurance and bonding. As
set forth on Exhibit "B" attached hereto, Kaiser's and City's
6
engineers have estimated the total costs of designing, constructing
and engineering the project is $1,215,000.00.
4.3 Progress Reports and Billing. City will require progress
reports and billings every thirty (30) days from the contractor
performing construction of Segments 1 and 2. Upon receipt of such
progress reports and billings, City shall be solely responsible for
determining their accuracy.
4.4 Submittal of Itemized Bill. Within thirty (30) days
after completion and acceptance of Segments 1 and 2 of the Project,
City shall provide Kaiser with an itemized bill showing all costs
and fees incurred by City to construct Segments 1 and 2 of the
Project (the "cost bill"). City agrees to provide Kaiser with
evidence that all related invoices have been paid. City also
agrees to provide Kaiser with any additional information as to any
items shown on the cost bill as may be requested by Kaiser.
4.5 Approval of Costs. Within thirty (30) days after receipt
of the cost bill and any additional information, Kaiser shall
advise City in writing of any fees or costs shown on the cost bill
that Kaiser will not include in the total project cost and the
reason why these items are being disallowed by Kaiser. Only those
construction costs approved by Kaiser will be allowed for credit in
accordance with this Agreement; provided, however, that Kaiser
shall not-unreasonably disallow any costs.
7
4.6 payment. Kaiser shall pay to City a deposit of Kaiser's
share of the estimated costs of Segment 2 of $400,000 less $100,000
credit for Kaiser's design costs, within thirty (30) days of
execution of this Agreement. If Kaiser fails to pay its deposit
within such time, City will dealy advertising Project for
construction bids until such deposit is received. Upon completion
of Project and City and Kaiser's agreement on the final "cost
bill", City agrees to refund any monies owned Kaiser from the funds
on deposit or if required, Kaiser agrees to pay the City any monies
owed.
5. Ownership of and ResDonsibilitV for Completed Pro~ect.
Ownership of the Project belongs exclusively to City and
Kaiser shall not be responsible for the maintenance and upkeep of
the Project.
6. Indemnification, Insurance and Securitv.
6.1 Indemnification. City shall defend, indemnify and hold
Kaiser, its officers, employees and agents free and harmless from
any and all liability from loss, damage or injury to or death of
persons or property in any manner arising out of or incident to
City's performance of this Agreement, including without limitation
all consequential damages and attorney's fees, whether or not
resulting from the negligence of City or City's agents. This
indemnity shall extend to any claims arising because City has
failed to secure any necessary easement land right, contract, and
8
approval, but shall not extend to any claim to the extent that it
arises out of the sole negligence of Kaiser.
6.2 Citv's Self-Insurance. (Text to be provided by BBK)
6.3 Contractor Insurance.
6.3.1 City's contract with its contractor to
construct the Project shall require City's contractor to provide
City and Kaiser, prior to commencing any construction work
hereunder, with certificates of insurance with original endorse-
ments, and copies of policies, if requested, of the following
insurance with Bests' Class B or better carrier admitted to and
authorized to issue insurance in the State of California:
a. Worker's Compensation Insurance covering
all employees and principals of City's
contractor, in at least the minimum
amount as required by state law,
effective under the laws of the State of
California.
b. Commercial General Liability Insurance
covering third party liability risks,
including contractual liability, in a
minimum amount of $1 million combined
single limit 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 shall apply separately
to the Project or the general limit shall
be twice the occurrence limit.
c. Commercial Auto Liability and Property
Insurance covering any owned and rented
vehicles of Kaiser's contractor in the
minimum amount of $1 million combined
single limit per accident for bodily
injury and property damages.
6.3.2 Said policy or policies shall be endorsed to
state that coverage shall not be suspended, voided, canceled by
either party, or reduced in coverage or in limits except after
thirty (30) days prior notice has been given in writing to City and
Kaiser. City's contractor shall give to City and Kaiser prompt and
timely notice of any claim made or suit instituted arising out of
its construction of the Project. City's contractor shall also
procure and maintain, at its own expense, any additional kinds and
amounts of insurance which in its own judgment may be necessary for
its proper protection in the prosecution of the work.
10
6.3.3 City's contractor shall include all subcontrac-
tors as insured under its policies or shall furnish to Kaiser and
City separate certificates and endorsements for each subcontractor
prior to commencing any work on the Project. All coverage for such
subcontractors shall conform with the insurance requirements stated
herein.
6.4 Bonds for Construction. City's contract with its
contractor to construct the Project shall require City's contractor
to provide City with a Payment Bond and a Performance Bond each in
an amount equal to the total contract amount for Segments 1 and 2
to be constructed in accordance with this Agreement to guarantee:
(1) that contractor and its subcontractors of every tier will pay
all amounts owed to subcontractors, material suppliers, workers and
equipment renters and, (2) that contractor will perform all
obligations under this Agreement. The bonds shall be furnished by
a surety company satisfactory to City and Kaiser on forms
acceptable to City and Kaiser, and shall name City and Kaiser
jointly as obligees. A surety company, to be acceptable to City
and Kaiser, must be authorized to do business and have an agent for
service of process in California. City and Kaiser must also be
satisfied that the surety company has sufficient assets and net
worth to honor the Payment Bond and Performance Bond.
If at any time, a surety on such bond is declared a bankrupt,
loses its right to do business in the State of California for any
reason, or is removed from the list of surety companies accepted on
11
Federal bonds, City's contract with its contractor for Segments 1
and 2 shall require the contractor within thirty (30) days after
notice from City and/or Kaiser, to substitute acceptable bonds in
such form and sum and signed by such other surety or sureties as
may be satisfactory to City and Kaiser, in their sole discretion.
All premiums on any performance or payment bonds required by this
Agreement shall be paid solely by City's contractor.
City's contract with its contractor for Segments 1 and 2 shall
provide that, in the event of termination or cancellation of any
insurance or security required by said contract, the contractor
shall have fifteen (15) calendar days following receipt of written
notice from either City or Kaiser to provide replacement insurance
or security which satisfies the requirements of said contract and
that failure to provide such replacement insurance or security
shall constitute a material breach of said contract entitling City
to make alternative arrangements for completion of performance. A
duplicate copy of the fifteen (15) day written notice shall be
provided to the other party to this Agreement.
8. Termination. In the event that either party defaults in the
performance of any of its obligations under this Agreement, or
materially breeches any of the provisions of this Agreement, the
other party shall have the option to terminate this Agreement upon
written notice to the defaulting party.
9. Notice. All notices permitted or required under this
Agreement shall be deemed made when delivered to the applicable
party's representative as provided in this Agreement. Such notices
shall be mailed or otherwise delivered to the addresses set forth
below, or at such other addresses as the respective parties may
provide in writing for this purpose:
City Kaiser
City Manager Kaiser Permanente
City of Fontana Hospitals
P. O. Box 518 Walnut Center
Fontana, CA 92334-0158 Pasadena, CA 91188
Such notice shall be deemed made when personally delivered or when
mailed, forty-eight (48) hours after deposit in the U.S. Mail,
first class postage, prepaid and addressed to the party at its
applicable address.
10. Term. This Agreement shall have a term which expires ten (10)
years from and after the date of its execution.
11. Attorneys' Fees. In the event any action is commenced to
enforce or interpret any term or condition of this Agreement, in
addition to costs and any other relief, the prevailing party shall
be entitled to reasonable attorneys' fees.
13
12. Entire Agreement. This Agreement contains the entire Agree-
ment of the parties hereto with respect to the matters contained
herein, and supersedes all negotiations, prior discussions and
preliminary agreements or understandings, written or oral. No
waiver or modification of this Agreement shall be binding unless
consented to by both parties in writing.
13. Assiunment. Kaiser shall have the right to assign and
delegate Kaiser's rights and obligations under this Agreement in
connection with the concurrent sale, assignment, ground lease,
encumbrance or other transfer of all or any portion of the site;
provided, however, that Kaiser's rights under this Agreement shall
not be assigned without the delegation of Kaiser's duties
hereunder. Upon such assignment and delegation, Kaiser shall be
relieved of and from further liability or responsibility under this
Agreement.
14. No Third Party Beneficiaries. This Agreement is made and
entered into for the sole protection and benefit of the parties and
their successors and assigns. No other person shall have any right
of action based upon any provision of this Agreement.
15. No Joint Venture or PartnershiP. City and Kaiser hereby
renounce the existence of any form of joint venture or partnership
between them and agree that nothing contained herein shall be
construed as making City and Kaiser joint venturers or partners.
14
WHEREFORE, this Agreement is executed this day of
, 199 .
CITY OF FONTANA KAISER PERMANENTE HOSPITALS
A Municipal Corporation a California corporation
Jay M. Corey
City Manager
ATTEST:
Kathy Montoya
Approved as to legal form:
Clark Alsop or
Stephen P. Deitsch
City Attorney
Greg Hulsizer
Community Development Director
Jennifer Vaughn Blakely
Contract Compliance Officer
Robert A. Graham
Risk Management
15
EXHIBIT
TOTAL COST PRORATION
EST. KAIBER CITY
COST ~ $ % $
Segment i (MPD)
Design (WP) 75,000 100% 75,000 0% 0
Right of Way 165,000 14% 23,000 86% 141,900
Construction 632,500 14% 88,550 86% 543,950
Const. Survey, Matl's
Testing 15,000 100% 15,000 0% 0
Const. Admin., Insp. 27,500 0% 0 100% 27,500
SUBTOTAL $915,000 $201,650 $713,350
Kaiser Share 201,650
Segment 1 915,000 22.04%
Segment 2 (Local Drain)
Design (WP) 25,000 100% 25,000 0% 0
Right of Way 0 0% 0 0% 0
Construction S.D. 230,000 100% 230,000 0% 0
Const. Villa Fontana 30,000 0% 0 100% 30,000
Const. Survey, Matl's
Testing 5,000 100% 5,000 0% 0
Const. Admin., Insp. 10,000 0% 0 100% 10,000
SUBTOTAL $300,000 $260,000 $ 40,000
TOTAL $1,215,000 $461,650 $753,350
20'1 EAST YORBA LINDA BLVD.
PLACENTIA, CA 92670-34t8
714 9934500
FAX 714 993-6837
CITY OF FONTANA
g,s asxon lt,nAiN rAmsnA cosT
8TORIVI BRAINAGE FLOW PROPORTIONS
PUBLIC ¥8 FRIYATE FLOW RUNOFF
FOR
PHASE I STORIVI DRAIN IMPRO~
KAISER PERMANENTE PRIMARY CARE CII'¢rER
CUP $90-13, DR
VePI Job No. 352-05-90
RUNOFF FLOWS IN STORM DRAIN SYSTEM
MASTER
PLAN KAISER SITE BYPASS INTERIM TOTAL
PIPE REACH FLOW GENERATED PUBLIC S.D. MARYGOLD KAISER TOTAL
(25 YEAR. OR FLOW FLOW FLOW FLOW FLOW
100 YEAR) (cfs) (cfs) (cfs) (cfs)
4.5'X10' RCB 609 100 Yr 57 100 Yr 10 100 Yr 23 100 Yr 90 100 Yr
84" RCP ~09 100 Yr 57 100 Yr 10 100 Yr 13 100 Yr 80 100 Yr 13
Valley Blvd.
(Westerly to
PMme, to)
45" RCP 61 25 Yr 44 25 Yr 8.5 25 Yr N/A 52.5 25 Yr 86%
Valley Blvd. (Local Drain -
(Westerly 150') 100%)
39" RCP 44 25 Yr 44 25 Yr 8.5 25 Yr N/A 52.5 25 Yr 100%
Valley BIrd.
(Westerly to
Site)
20'1 E/x,S'l' YORBA LINDA BLVD.
PLACENTIA, CA 92670-34'18
7'14 993-4500
FAX 7'14 993-6837
.,
.sTntor Pacific
FAIR SHARE COST ANALYSIS
COST FRORATION
BASED ON
PERCENT OF CONIIBUTING FLOW
FOR
PILASE I STORM DRAIN IMPROVEMIOWB
KAISER PERMANENTE PRIMARY CARE CENTER
CUP P)0-1~, DR
WPI Job No. S~2-05-90
TOTAL WITH
ESTIMATED ESTIMATED 20% SOFT KAISER KAISER
PIPE REACH IMPROVEMENT ACQUISITION SUBTOTAL AND % COST
COSTS COST 15% CONT OF FLOW
COSTS
4.5'X10' RCB $212,500 $150.000+ $362,500 $ 489,375 15% $ 73,405
84' RCP 340,000 N/A 340,000 459,000 13% 59,670
Valley BIrd.
45' RCP 56,500 N/A 56,500 76,275 100% 76,275
Valley Blvd.
39" RCP 141,000 N/A 141,000 190,350 100% 190,350
Valley BIrd.
· . % FAIRSHARE -- 399,700 X 100% = 33%
1,215,000
· PRECISE AMOUNT OF EASEMENT ACQUISITION OFFER IS NOT KNOWN AND IS SUBJECT TO NEGOTIATION
204 EAST YORE~ LINDA BLVD.
PLACENTIA, CA 92670-34'~8
714 9934,500
FAX 714 99~:~8~7
cn'~ o~ ~o~A~ Wagller
~sT~ STOmV~ ~G'~ ~,m SH~,~ COS~ ~YS~SPaClflC
STORM DRAINAGE FLOW PROPORTIONS
rI
PUBLIC VS PRIVATE FLOW RUNOFF
FOR
PHASE I STORM DRAIN IMPROVF_JURNTS
KAI.~ER PERMANENTE PRIMARY CARE CENTER
CUP 190-13, DR
WPI ~ob No. 332-0~-90
RUNOFF FIX)WS IN STORM DRAIN SYSTEM
TOTAL
MASTER KAISER SITE BYPASS INTERIM TOTAL %
PIPE REACH PLAN GENERATED PUBLIC S.D. MARYGOLD RAISER TOTAL
FLOW FLOW FLOW FLOW FLOW FLOW
(25 YEAR OR (cfs) (cfs) (cfs) (cfs)
100 YEAR)
4.5'X10' RCB 609 100 Yr 57 100 Yr 10 100 Yr 23 100 Yr 57 100 Yr 9.4%
84" RCP 609 100 Yr 57 100 Yr 10 100 Yr 13 100 Yr 57 100 Yr 9.4%
Valley BIrd.
(Westerly to
Palmetto)
45" RCP 61 25 Yr 44 25 Yr 8.5 25 Yr N/A 44 .~5 Yr 72%
Valley Blvd.
(Westorly IS0')
39" RCP 44 25 Yr 44 25 Yr 8.5 25 Yr N/A 44 25 Yr 100%
Valley Blvd.
(Westerly to
Si~)
20"i EAST YORBA LINDA BLVD.
PLACENTIA, CA 92670-34'18 ,
7'M 993.4...'..'..'..'..'.~0
FAX 744 993-6837
I
CITY OF FONTANA ~ ~[ ['~
ger
FAIR SHARE COST ANALYSIS
COST PRORATION
PERCENT OF CONTRIBUTING FLOW
FOR
PHASE I STORM DRAIN IMPROYEMENTS
KAISER PERMANENTE PRIMARY CARE CENTER
CUP l~O-l~, DR
WPI Job No.
TOTAL 'WITH
ESTIMATED ESTIMATED 20% SOFT KAISER KAISER
PIPE REACH IMPROVEMENT ACQUISITION SUBTOTAL AND % COST
COSTS COST 1:5% CONT OF FLOW
COSTS
4.5'X10' RCB $212,500 $150,000+ $362,500 $ 489,375 9.4% $ 46,000
84" RCP 34.0,000 N/A 340,000 459,000 9.4% 43,150
Valley BIrd.
45" RCP 56,500 N/A 56,500 76,275 72% 54,920
Valley Elvd.
39" RCP 141,000 N/A 141,000 190,350 100% 190,350
Valley Blvd.
.'. % FAIR SHAP, H = 334,420 X 100% = 28%
1,215,000
* PRECISE AMOUNT OF EASEMENT ACQUISITION OFFER 13 NOT KNOWN AND IS SUBJECT TO NEGOTIATION
CITY OF FONTANA
CALIFORNIA
KAISER HOSPITAL COST REIMBURSEMENT FOR SEWER AND STORM DRAIN
DECEMBER 2, 1992
All costs are estimated and include 15% contingency and 20% soft.
I. SEWER
Kaiser constructs the $840,000 Valley Boulevard main and via a reimbursement/credit agreement
prepurchases the future connection rights at $600/EDU for the future hospital expansion.
Kaiser Share = $598,620
City Share = $241,380 - Not reimbursable unless
facsimile bid utiliTed.
SEWER RATIONALE
By splitting costs per flow percentage on the different segments of the project, Kaiser share is
34% ($840,000 x 0.34 = $285.600~. Kaiser is also responsible for a total of 521.7 Service
Units for additional connections from ongoing and future projects to build-out.
521.7 x $600 : $313.020
Kaiser responsibility is $285,600 + $313,020 = $598.620
H. STORM DRAIN 1-10 to Valley Storm Drain
Kaiser prepays City $683,290 deposit and City takes the project to construction with cost split
on a 54% Kaiser, 46% City basis.
STORM DRAIN RATIONALE
The only master lines contemplated are along San Bernardino Avenue, Palmetto Avenue, Valley
Boulevard east of Palmetto Avenue, and on easement to the 1-10 Channel. Kaiser, for its own
protection would have needed a 39 inch line east on Valley through the proposed easement to
the I-I0 Channel and local lines on Marygold and Palmetto Avenues. The City is responsible
for the upsizing of these local lines to a master size.
The total cost for the 1-10 to Valley Blvd. storm drain is $1,274,350, of which Kaiser's share
is 54% ($1,274,350 x .054 = $683,290).
Similarly, Kaiser's share of:
Future Palmetto Avenue drain will be 60% ($494,990 x 0.6 = $299,030)
Marygold Avenue drain (low point west of Mango to Palmetto Avenue) will be 90%
($511,285 x 0.9 = $460,820)
STORM ]:)RAIN
KAISER PHTE. LOCAL LiNG_.,'~
STORM DRAIN
MASTER LINES
STORM I)RAIN
. I993 PROPOSE]) CONSTRUCTION
· .. ----- FUT.
I(/MSEJ'~ PF__I'~tVI,z~F_NTE
Medical Care Program
Southern California Region
October 13, ~992
OreB Huls{zer
Community Development Dir~tor c -,, ~ ~ ~
City of Forttuna
8353 Siena Avenue
Fonmna, CA 92335
D~r Greg:
This letter is written as a follow-up to our m~ting of ~tober 2, 1992. On that date you met
with myself, ~b W~dle, Vance Fumhwa, Dana Halladay, and Pamela St~le regarding
~ve~l issues concerning Kaiser Perm~ente's Primary Care Center cunently under
const~ction. Major topics of discussion includ~ the manner in which the master storm drain
line and the master sewer line, both in Valley ~ulevard, would be constructS.
As you will r~ll, K~ser Permanente's initi~ concern was that by using the City's "facsimile
bid" pr~ess, we would be in violation of our res~nsibilities to use only union labor and could
face serious re~rcussions on the job site. As a result of our discussions at the m~ting, the
following d~isions were formaliz~:
1. Storm Drain
a. The City will construct the storm drain line in Valley ~ulevard as a
capi~l improvement project.
b. Kai~r Permanente will contribute its fair share of the improvement. The
cunent ~tter of Cr~it, in the amount of $211,780 for local storm drain
f~s, is surety towards that fair share.
c. To help excite the storm drain proj~t, Kaiser Permanente committ~ to assist
in ~e preparation of bid d~uments and assist with proj~t management during
the implementation of the proj~t.
2. Sewer
a. Kaiser Perm~ente will const~ct and pay for the entire Valley ~ulevard
sewer line from the project to the City's Cypress line using their normal
bid and construction procures with no r~uest for reimbursement.
b. The City will grant Kaiser Permanente cr~it for pre-purchase of sewer
conn~tion rights for future use. The amount eligible for cr~it will be
determin~ by the cost of const~ction less the cost of Kaiser
Permanente's fair share of the sewer line.
~dnul Ccntcr * J~;Is;{dclm · C;llif~rnia Oll~ · (~1~) 'j03 ~156
October 2, 1992 Meeting
Page two
In order to prt~e~tl with theae improvements~ thg following actloml will be pursued as discug8lM l
0 At this time, Kaiser Permanente will continue forward with plans to construct the Valley
sewer line. The construction plans for the sewer have been previously checked and
approved by BSI and were simply awaiting finalization of the facsimile bid process.
Since that is no longer an issue, the plans have been submitted to the City Engineering
Department for Bob Weddle's signature. We will work with the Engineering Department
to get final signatures on those and continue with our bid process.
Wagner Pacific will convert the storm drain plans into public bid documents for the
City's use and deliver those documents to Bob Weddle at the City.
Upon receipt of information from Bob Weddie, Greg Hulsizer will finalize the fair share
amount for the storm drain line.
Kaiser Permanente will track costs of construction of the sewer line. When hard bid
costs are in, we will schedule follow-up discussions with the City to ascertain fair share
amounts and the amount of credit to be applied for pre-purchase of future sewer
connections.
If you have any questions please call me at 818/405-6020 or Pamela Steele at 714/787-9222.
Sincerely,
ANDREW WHEELER
Project Architect
Facilities Design and Construction
AW/PS/ng
cc: ~/Bob Weddie
Vance Furukawa
Pamela Steele
Dana Halladay
Felipe Molinos
CITY OF FONTANA
CALIFORNIA
MEMORANDUM
TO: GREG HULSIZER
COMMUNITY DEVELOPMENT DIRECTOR
FROM: BOB WEDDLE, P.E.
CITY ENGINEER
SUBJECT: COST REI]V[BURSEMENTS FOR KAISER HOSPITAL FOR SEWER AND
STORM DRAIN.
DATE: OCTOBER 12, 199:2
The attached analysis of options for cost saving were jointly developed with Felipe Molinos,
Principal Civil Engineer. The analysis includes potential credits or prepurchase of sewer
connection rights as was permitted for the North Fontaria Sewerage Area.
After your review of this data, this is to request a meeting to review the pros and cons of the
options and to come to a City position that can be formally presented to Kaiser Hospital for their
review/comments.
However, in summary staff recommends:
a. Sewer: Kaiser constructs the $840,000 Valley Boulevard Sewer Line and via a
reimbursement/credit agreement prepurchases the future connection rights
at $600/EDU for the future hospital expansion.
Kaiser Share = $598,620
City Share = $241,380 - not reimbursable unless facsimile bid
utilized.
b. Storm Drain: 1-10 to Valley Storm Drain
Kaiser prepays City $683,290 deposit and City takes the project to
construction with cost split on a 54% Kaiser, 46% City basis.
RWW:yv
Attachment
cc: Deputy City Engineer/City Traffic Engineer
Principal Civil Engineer/Land Development
Principal Civil Engineer/Capital Improvements
c:\data\wp\felipe\costreim. mem
10-07-92
F.M.
I. Valley Boulevard Sewer - Cypress Avenue to Kaiser Hospital
For developing reasonable cost sharing options between Kaiser Hospital and the City of Fontaria
staff reviewed two options or interpretations;
INTERPRETATION ONE: SPLIT PER FLOW %
For the system consisting of master plan sizes.
The total hard construction cost is estimated at $700,000 (See Exhibit 1 Page 4)
The total Kaiser responsibility on the above number is estimated to be $238,000 or 34% of total
project actual hard construction cost (See Exhibit 2 - Pages 5 - 7)
The total City responsibility is estimated at $462,000 of hard construction costs.
This number was arrived at by:
1. Verifying Kaiser's percentage of total main flow. This percentage varies from
reach to reach, along the project.
2. Obtaining a weighted average by reach length for Kaiser' s percentage for all
reaches of Kaiser' s percentage between 30% and 40% Cost for pipe reach 6 was
subtracted from the total by straight length pro-ratio. Also, cost of 12" laterals
are 100% Kaiser's. Underlying assumption: cost per L.F. of pipe is independent
of pipe size or error incurred is acceptable.
Future Kaiser Sewer Connections: (See Exhibit 3 - Page 8 - 11)
A total of 521.7 _Service Units will be the future additional connections from Kaiser's ongoing
and future projects to build-out. This number has not been reduced by existing service units that
are in buildings that will be reconstructed and that potentially, at least, could be credited towards
the "new" S.U. (a maximum of about 26 S.U. could be subtracted if credit is allowed).
521.7 x $600 = $313,020 to be paid for future S.U. connection charges
S.U.
Summarizing:
Project Total Hard Construction cost: $700,000 (including 15% contingency)
Project Total Soft costs (20%)': $140,000
Total: $840,000
* - Wagner Paci~c's design costs (paid by Kaiser) will be credited to Kaiser pro-rata.
Kaiser Responsibility
34% of Total ($840,000) $285,600
S.U. (Credits Construction on-going $313~020"
to build out. Total: $598,620
City Responsibility
$840,000 - $598,620 --- $241,380" (reduced by S.U. any
additional Credits)
INTERPRETATION TWO: Upsizing costs from Kaiser's single use pipe will be the City's
share. (ie. 15" VCP to 21" VCP)
Kaiser would need for its site a 15" sewer main for total project length.
The total cost for the 15" sewer main is taken from Exhibit 1, replacing unit prices for pipes
bigger than 15" for a 15" main cost.
Hard Construction Kaiser $590,290 (including 15% contingency) 84.3%
Hard Construction City $109,710 (including 15% contingency) 15.7%
Upsize (larger than 15")
TOTAL $700,000 100.0%
Soft costs to be split in same %.
Soft costs Kaiser 84.3% X ($140,000) ~ $118,020
City upsize 15.7% X ($140,000) -- $ 21.980
TOTAL $140,000
Total Kaiser Share $590,290
$118,020
$708,310
Total City Share $109,710
$ 21,980
$131,690
Total project $840,000
**Normally reimbursable through fees paid by future hook-ups by others.
2
ANALYSIS
Under Interpretation One, (and stricfiy speaking) full credit for future sewer connections should
be given only if the actual total project costs attributable to City (66%) are greater than the
amount of future Kaiser connection charges ($313,020).
This will most surely be the case. It is hard to believe, even in today's economy, that the total
project cost will be lower than $474,000 (including soft costs ~ 66% of $474,000 is $313,020).
Kaiser probable position would be agreeing on what they know - it is better to recuperate money
through a schedule of hospital expansion and associated fees that they somewhat control than to
wait for minimal connection charges/reimbursement through an absolutely uncertain schedule.
Kaiser will be fronting construction cost money in a low cost period and the time schedule of
connection charges cannot be determined or costs acmaiized. Other uncertainty is the future
connection charge amount.
Under Interpretation Two: Too unfavorable for Kaiser, although this logic was followed in
Baseline/Almeria Project, for the Almeria segment. Under this logic, full credit for connection
charges is impossible.
RECOMMF_ANDATION
Use Interpretation One option for developing reimbursement agreement. Kaiser constructs full
sewer line and receives full service unit credits for future hookups - not to exceed City's cost
share.
c:\data\wp\felipo\kaisresp.rep
II. bl0 TO VALLEY TO STORM DRAIN 10-07-92
FM
Project 38-7129, 1-10 to Valley Storm Drain 92-93 City Budget Total $762,118. As originally
budgeted Kaiser Hospital was designated lead constructor with City reimbursing fair share.
In reference to Exhibit "A" (Pages 15-16) only the following reaches axe considered master
lines: (all other lines are local system lines):
A-B along San Bernardino Avenue
B-C along Palmetto Avenue
C-D along Valley Boulevard
D-E on easement from Valley Boulevard to 1-10 Channel
A. INTERPRETATION ONE (See Section C for fee obligation)
1-10 to Valley Boulevard Storm Drain
Total Project Cost: $1.274.350 (all costs include 15% contingency and 20% soft costs -
See Exhibit "A" Page 16) Kaiser responsibility (See Exhibit "B" Pages 17-18). The
equivalent of 39" RCP from connection to Kaiser on-site system, on Valley Boulevard
at easte~y main access, to Palmetto Avenue. From Palmetto Avenue to 1-10 Channel
a 48" RCP, for a total Kaiser cost of $683.290.
(Assumptions: Kaiser, for its own protection, would have needed the storm drain lines
shown on Exhibit "B", Page 17. These lines are for cost comparison only. Only the
master planned sizes are scheduled for construction. Any other layout with a closer to
Kaiser connection point to the Channel, say, through the K-Mart property, would have
been opposed by the City, under the reasoning that since the Kaiser drain would become
a public drain by crossing Valley Boulevard, then the City would have dictated conditions
of acceptance.)
Under this assumption, no catch basins for other than Kaiser's protection are included,
i.e. no additional flow pick-up. Additionally, Kaiser would have needed an easement
from Valley Boulevard to 1-10 Channel and associated costs are include for a nattower
easement.
Kaiser/City share of the project:
Kaiser $683,290 54 %
City $591.060 46%
Total $1,274,350 100 %
FUTURE PALMETTO AVENUE STORM DRAIN (Valley to Marygold)
(See Exhibit "C" Pages 19-20)
Kaiser $299,030 60%
City $195.960 40%
Total $494,990 100%
-12-
FUTURE MARYGOLD AVENUE STORM DRAIN (Low point west of Mango to
Palmetto Avenue) See Exhibit "D", Pages 21-22
Kaiser $460,820 90 %
Ci_¢y $ 50.465 1Q%
Total $511,285 100%
B. OTHER INTERPRETATIONS
(See Exhibit "E" Page 24)
Costs splits per flow percentage or area percentage are unfavorable for the City and are
not studied here.
C. DRAINAGE FEES
(See Exhibit "F" Page 25-26)
Kaiser has paid the San Sevaine Channel regional fee for 31.08 acres of the total
47.08 acres of the site covered by Parcel Map 12433. The current ($4,500/gross
acre) local MPD fee for an mount of $211,860.00 has been guaranteed by a
letter of credit pending resolution of fair share costs.
After the recent Council approved MPD drainage fees become effective on
December 5, 1992, the deficit that this property will be responsible for is the
following:
Area within 1-10 North: 31.08 acres x 15,721 S/net acre = $488,609
Area within Fontaria East: 16 acres x 10.944 S/net acre = $175. 104
TOTAL FEE $663,713'
Of this theoretical fee obligation, Kaiser is now obligated to pay $211,860. At a future
date, when Kaiser develops their Hospital expansion, it can be considered that drainage
fees will be assesseS for the western portion of the site (31.08 acres at 15,721 S/net acre-
minus 4,500 S/gross acre)" with credit given to fees previously paid (Additional mount
is $348,749). There will be a net deficit for the site originated on the area draining to
Fontana l:~t of 16 acres x (10,944-4500)" = $103,104. The total mount that Kaiser
will have paid will be $560,609.
D. ANALYSIS
(See Exhibit "B")
Per Section A - the total Kaiser participation in master drain costs is $683,290 Coresent
project) + $299,030 (future Palmetto Avenue project) for a total of $982,320.
* less any previous MPD fees paid or guaranteed
** Exhibit 'F" page 26, under 2.5 shows that Kai~r was charged for 47.08 gross acres. It was found
that the gross acreage number of 47.08, as shown in the Parcel map is in error, since this number
reflects net acres. Similarly, the figure of 31.08 acres and 16 acres, reflect net acres. The correct
total gross acres is 51.9277 ac. CKaiser's letter of credit should have been for $233,675).
This amount does not include the costs of Marygold drains (See Exhibit "D") as follows,
LOCAL DRAIN F-G -- 100% Kaiser --- Kaiser cost of $201,395
LOCAL DRAIN G-I --- 90% Kaiser --- Kaiser cost of $460,820
10% City -- City cost of $ 50,465
Total Kaiser cost on local drains on Marygold is $201,395 + $460,820 = $662,215.
Therefore, Kaiser will be expected to construct an additional $662,215 of non master
costs in the future along Marygold Avenue.
The theoretical fair share, by fee, is $663,713. The additional Kaiser costs above this
number is $982,320 + $662,215 - $663,713 for a net additional cost to Kaiser of
$980,822. These additional costs could be attributable as site dependent, i.e., cost of
developing by a low point downstream of a big watershed area. If this additional cost
is considered high, negotiation will follow on fair share criteria and/or big line items
such as the cost of the drainage easement. Also, taking a softer position in the sewer
reimbursement but exposing that a harden position in the sewer could lower the storm
drain additional costs to Kaiser.
E. RECOMMENDATION
Kaiser Hospital responsible for 54% of the current master planned project. The current
master plan project includes upsizing of the local line in Valley Boulevard west of
Palmetto Avenue.
-14-
City of Fontana
CALIFORNIA
August 21, 1992
Mr. Andrew Wheeler, Project Architect
Facilities Design and Construction
Kaiser Permanente
Walnut Center
Pasadena, CA 91188
RE: Sewer and Storm Drain Reimbursement
Dear Mr. Wheeler:
This is to provide you a brief update on the information requested at the June 15, 1992 meefin~
at City Hall that was also discussed at the August 7, 1992 meeting with Community
Development Department staff.
Ouestion No. 1:
Kaiser staff requests City consideration of sewer EDU credits for future hospital tower
construction fees in exchange for Kaiser's sewer construction costs over fair share for Valley
Boulevard sewer line.
Response
Discussions with Engineering staff indicate that the City has not in the past worked out such an
arrangement for pre-purchasing or crediting the normal EDU fee for future building
construction. However, in the North Fontana sewer benefit area, the City Code permits
developers to pre-purehase sewer connection (EDU) rights for future use. The fees started at
$1000/EDU in 1986 and are now $1772/EDU in 1992. The pre-purehase plan established an
early payment program from major developers to advance fund major sewer distribution lines
at $600.00/EDU for the North Fontana sewer benefit area. In order to determine if your
proposal could function similar to the North Fontaria plan at $600.00/EDU, staff has asked your
coordinating consultant, Pare Steele, to have your engineer provide some cost data on the sewer
line and proposed EDU's for the future Kaiser Hospital tower expansion for review. This
information has been received and is being reviewed by Mr. Felipe Molinos of the Engineering
Division.
Ouestion No. 2:
When will Kaiser formally advise City that they will build the Valley Sewer and "donate" the
upsize cost.
8353 SIERRA AVENUE (P.O. BOX 518) · FONTANA, CALIFORNIA 92334-0518 ® (714) 350-7600
SISTER CITY -- KAMLOOPS, B.C. CANADA
Mr. Andrew Wheeler
August 21, 1992
Page 2
Response
No response has been received to date from Kaiser; however it is presumed that Kaiser in all
likelihood may need the answer to question number one first. In any event, Kaiser could still
construct the sewer line with a facsimile bid package and only pay fair share costs. Staff
believes that the union issue, while a potential inconvenience, could be dealt with on a legal
basis; however, this is not the City's decision to make.
Ouestion No. 3
Funds available in Sewer and Storm Drain Fund.
ReSponse
Fund Balances as of 6/30/92 (unaudited)
Sewer Capital (071): $6,817,026
Storm Drain (038): $4,806,717 ~
Ouestion No. 4:
What is Kaiser's fair share for the Storm Drain Project - 1-10 Channel to Valley at Palmetto
storm drain.
Response:
The Community Development Director has not made any final decision as to whether the City
should be lead agency with Kaiser paying its remaining fair share prior to construction starting,
or if Kaiser must be lead agency. The Kaiser coordinating consultant, Pam Steele, was asked
to provide some cost and flow statistics for review so that final decisions can be made. The data
has been received and is also being reviewed by Mr. Felipe Molinos.
In reviewing the potential funding for the storm drain it is noted that at present the Kaiser
Master Plan of Drainage fees required for the Primary Care Project are only $211,860 and it
is secured by a letter of credit. However, the total project costs to construct the first phase of
the 1-10 to Valley Storm Drain are $900,000. The second phase Palmetto and Marygold storm
drain lines are estimated to cost $985,000. Both projects are necessary to provide 100 year
flood protection necessary for the hospital tower expansion project, with the tirst necessary for
the Primary Care Unit to open. With the above facts in hand City staff will develop a fair share
proposal to present to Kaiser.
Mr. Andrew Wheeler
August 21, 1992
Page 3
In making the financing decision some other "overview" data is necessary with respect to the
issue of replenishing the storm drain fund for future projects. The master plan of storm drain
and updated fee program were presented to City Council on August 4, 1992 and the Public
Hearing was continued to September 15, 1992. The law requires that benefit zones be
established and only those funds contributed in those zones can be spent in that zone. The
Kaiser zone, also known as Fontaria East Benefit Area, is essentially built out and will generate
very litfie revenue to fund the Palmetto/Marygold lines. (Note: the proposed new fee for this
zone is $10,944 per net developable acre). Additionally, staff is not prepared to recommend that
$1,673,140 of the present storm drain funds on deposit, which were collected and can be spent
on a City wide basis, should be spent for the benefit of the Kaiser site while many other
drainage deficiencies exist.
The storm drain funding priorities will take a while to be developed by the City, but it should
be done by the end of October 1992 at the earliest. Please call 714-350-7613 if you have any
questions.
Very truly yours,
COMMUNITY DEVELOPMENT DEPARTMENT
Engineering Division
Robert W. Weddle, P.E.
City Engineer
RWW:yv
cc: Community Development Director
Principal Engineer/Land Development
Principal Engineer/Capital Improvements
Pare Steele, Hogle - Ireland
c: \data\wp\weddle\andwh elr. 820
~ ~ R/·
CITY OF FOIIT~MA
Ca1 ~ forni a
MEHORA/iXll
TO: JAY N. COREY
CITY RANAGER
FRON: GREG }IJLSIZER
COI!IIIITY DEVELOPfiE]IT DIRECTOR
RE: STATUS REPORT OR SEMER NIl STORe DRAINS FOR KAISER HOSPITAL
DATE: KARCH 16, 1992
The sewer and storm drain projects that will serve Kaiser Hospital are shown on
the attached vicinity maps. Project responsibilities are as follows:
Project Pro~ect Phase Lead Aqencies Cost Estimate
1, Cypress Sewer ±$2,500,000
3urupa to San
Bernardino
Design via NBS/lowry (a) City
Construction Responsibility City
2. Valley Sewer ±$ 760,000{b}
Cypress to
Kaiser Hospital
Design via Wagner/Pacific Kaiser
{70-80% Complete)
Construction Responsibility Kaiser
{Requires facsimile Public
Works bid process)
3. 1-10 to Valley ±$1,100,000{c)
Storm Drain
Design via Wagner/Pacific Kaiser
{70-80% Complete)
R/W Acquisition City
Construction Responsibility Kaiser
{Requires facsimile Public
Works bid process)
a) Design g(TY. completed; consultant contract amendment proposed for Hatch
17, 1992 Council meeting.
b) Sewer reimbursement agreement required to reimburse Kaiser Hospital
c) Storm drain reimbursement agreement required to reimburse Kaiser
Hospital for constructing Haster Plan facility. This project also
solves the drainage problem through Villa Fontaria Hobile Home Park.
Hemo to Jay M. Corey
March 12, 1992
Page Two
Scheduling Dates
1. Cypress Sewer (if consultant agreement is on
3/17/92 Council meeting}
a. Complete design May 1, 1992
b. Complete soils report June 5, 1992
c. Secure permits {3 months after plans fineled) July 1, 1992
Celttans
S.P. Pipeline
S.F. Railroad
S. B. County
d. Advertise for bids and certify Environmental July 7, 1992
e. Award contract September 1, 1992
f. Start construction October 1, lg92
g. Complete construction {5 months} Narch 1, lg93
2. Valley Sewer
This project's scheduling is under Kaiser Hospital's control. A functioning
sewer must be available by Nay 1993. Project should take 3-4 months to
complete.
3. 1-10 to Valley Storm Drain
This project's construction scheduling is under Kaiser Hospital's control,
once the City acquires the right of way. Appraiser and Real Property Agent
consultant agreements being reviewed by City Attorney's office. Staff has
no experience in estimating how long it takes to acquire right of way via
eminent domain in County area. Assume 3 to 9 months minimum.
Construction should only take 3 months once right of way is acquired and
permits issued from Celttans and San Bernardino County.
RW:sh
Attachments
dVPI JI, IINDIA ONV NOIIV3Oq
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VALLEY BLVD SEWER
CYPRESS AVENUE TO KAISER HOSPITAL
LOCATION AND VICINITY MAP
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JURUPA TO SAN BERNARDtNO
3/9 2
MASTER PLAN SEWER SYSTEM REIMBURSEMENT AGREEMENT
between
CITY OF FONTANA
and
KAISER FOUNDATION HOSPITALS
7
TABLE OF CONTENTS
RECITALS 1
1. Definitions 3
2. Design of the Project 4
2.1 Design .... 4
2.2 Indemnity for Design . 5
3. Construction of the Project 5
3.1 Award of Contract 5
3.3 Indemnity for Contract Award . 6
4. Waiver of Proportion of Sewer Connection Fees 6
4.1 Waiver of Sewer Connection Fees 6
4.2 Estimated Costs 7
4.3 Progress Reports and Billing 8
4.4 Submittal of Itemized Bill 8
4.5 Approval of Costs 9
5. Ownership of and Responsibility for Completed Project 9
6. Indemnification, Insurance and Security 9
6.1 Indemnity 9
6.2 Insurance 10
6.3 Contractor Insurance . 10
6.4 Bonds for Construction 12
7. City Contribution of Project Cost 14
8. Termination 14
9. Notice 15
10. Term 15
11. Attorneys ' Fees 16
12. Entire Agreement 16
13. Assignment 16
14. No Third Party Beneficiaries 16
15. No Joint Venture or Partnership 17
16. Good Faith and Further Acts 17
MASTER PLAN SEWER SYSTEM REIMBURf~EMENT AGREEMENT
This Master Plan Sewer System Reimbursement Agreement is made
and entered into this __day of , 199_, by and between
the CITY OF FONTANA and KAISER FOUNDATION HOSPITALS.
RECITAL8
This Agreement is entered into based upon the following facts,
understandings and intentions of the parties:
A. When used in these Recitals, each of the terms defined in
Article 1 shall have the meaning given to it therein.
B. Kaiser owns the Site, also knownas Parcel Map No. 12433,
a legal description of which is attached hereto as Exhibit "A" and,
as a part of the development of the Site, is required to construct
a sanitary sewer system (the "Project") in accordance with the
Master Plan of Sewers.
C. City as a part of the Master Plan of Sewers System
Capital Improvement Program has planned and budgeted for the costs
of construction of the Project excluding the costs of constructing
a local sewer facility. City has also planned, budgeted and is
currently constructing a Master Plan of Sewers project known as the
Cypress Avenue Sewer from Jurupa Avenue to Valley Boulevard in
order for the Project to have a downstream point of connection.
D. Kaiser proposes at this time to construct the Project in
order to provide Master Plan of Sewers System facilities and
service to the Site.
E. The Code of the City of Fontana, Chapter 26, authorizes
City to pay a private party's costs of designing and constructing
that portion of sewer pipe in excess of eight inches (8") in inside
diameter and appurtenant structures of a size and/or construction
greater than those minimally required of a standard local sewer
system (known as a "Master Planned System"), provided the private
party contracts to construct the Master Planned System using City
monitored public works bidding and contracting procedures.
F. Kaiser proposes to contract for the construction of the
Project using its private bid practices in lieu of city monitored
public works bidding and contracting procedures, thereby forfeiting
reimbursement for costs attributable to the difference in the costs
of constructing a local sewer system and the costs of constructing
a master planned sewer facility .
G. Kaiser and City recognize that it is in their mutual
interest to coordinate the design, construction and installation of
the Project for the Site to serve the City's Master Plan of Sewers
System so as to efficiently implement City's overall Master Plan of
Sewers System.
-2 -
H. The parties desire Kaiser to construct the Project as a
Master Planned System and in consideration for Kaiser's
~,
construction of the Project as a Master Planned System, City
intends to waive sewer connections fees in an amount which equals
521.7 future service units as described on Exhibit "B" attached
hereto and incorporated herein.
NOW, THEREFORE, in consideration of the mutual covenants
contained herein, City and Kaiser hereby agree as follows:
AGREF.,MBi~FI'
1. Definitions.
1.1 "Agreement" shall mean this Master Plan Sewer System
Reimbursement Agreement between the City of Fontana and Kaiser
Foundation Hospitals, dated , 199_.
1.2 "City" shall mean the City of Fontana, a municipal
corporation.
1.3 "Cost analysis" shall mean that analysis of the costs of
the Project including, without limitation, a description of the
proportionate share of costs to be borne by City and Kaiser,
respectively, as described in Exhibit "B" attached hereto and
incorporated herein by reference.
GCM26182 -3-
1.4 "Kaiser" shall mean Kaiser Foundation Hospitals, a
California non-profit public benefit corporation, and its
~' successors and assigns.
1.5 "Master Planned System" shall mean a sewer pipe system
with sewer pipe in inside diameter and appurtenant structures of a
size and/or construction greater than those minimally required of
a standard local sewer system as defined in the Fontana Municipal
Code.
1.6 "Project" shall mean the Valley Boulevard Sewer from the
proposed current terminus of the Master Plan of Sewers System at
the intersection of Cypress Avenue at Valley Boulevard, as
described on Exhibit "C" attached hereto and incorporated herein by
reference, to its upstream connection at the Site, all to be
constructed as a Master Planned System in accordance with plans and
specifications which receive prior written approval of City.
1.7 "Site" shall mean that property known as Parcel Map No.
12433, a legal description of which is attached hereto as Exhibit
"A" and incorporated herein by reference.
2. Design of the Project.
2.1 Desiun. Kaiser has designed, and prior to construction
shall obtain, all required City approvals for design of, and plans
and specifications for, the Project.
C~x26182 -4-
2.2 Indemnity for Desiqn. To the fullest extent of any
warranty or guarantee given to Kaiser by Kaiser's design consultant
for the.~Project, or otherwise implied as a matter of fact or law,
and without limiting any liability under law of such consultants,
Kaiser shall defend, indemnify and hold City and its officers,
employees and agents free and harmless from any and all claims,
actions and liabilities whatsoever, including without limitation
all consequential damages and attorney's fees, arising out of or in
connection with the design of the Project except to the extent that
such claims, actions and liabilities are attributable to the
negligent actions or omissions of City or its officers, employees,
agents and contractors.
3. Construction of the Pro~ect.
3.1 Award of Contract. Kaiser shall contract for the
construction of the Project within a reasonable period of time
following execution of this Agreement but no later than five years
after execution of this Agreement, and Kaiser shall complete
construction within one year of commencement of construction.
Kaiser shall be solely responsible for securing appropriate bids
and awarding the contract for construction of the Project.
3.2 Public Works Contract Reauirements. Kaiser is alerted to
the requirements of California Labor Code Section 1770 et seq.,
which require the payment of prevailing wage rates for public
works, and California Public Contracts Code Section 20161ets~q.,
which require competitive bidding for public projects. Kaiser
-5-
shall determine, in its sole discretion, whether Kaiser's contract
with its contractor to construct the Project is a public work or
public project contract subject to these provisions of the Labor
and/or Public Contracts Codes. Kaiser shall defend, indemnify and
hold City and its officers, employees and agents free and harmless
from any and all claims, actions and liabilities whatsoever,
including without limitation all consequential damages and
attorneys' fees, arising out of or in connection with any failure
or alleged failure to comply with these provisions of the Labor
and/or Public Contracts Codes, except to the extent that such
claims, actions and liabilities are attributable to the negligent
actions or omissions of City.
3.3 Indemnity for Contract Award. Kaiser shall defend,
indemnify, and hold City, its officers, employees and agents free
and harmless from any and all claims, actions and liabilities
whatsoever, including without limitation all consequential damages
and attorney's fees, arising out of or in connection with Kaiser's
securing of bids and award and performance of the construction of
the Project.
4. Waiver of Proportion of Sewer Connection Fees.
4.1 Waiver of Sewer Connection Fees. Kaiser shall design,
engineer, build and pay for the entire Project. In consideration
for Kaiser's construction of the Project as a Master Planned
System, and assuming the ultimate actual total Project costs equal
or exceed the sum of $840,000, City will waive sewer connection
-6-
fees which Kaiser would ordinarily pay to City in an amount
determined to equal 521.7 future service units at the cost of $600
per service unit in effect at the time of execution of this
Agreement u~ to the amount of $313,020, as shown on Exhibit "B"
attached hereto and incorporated herein by reference. At
completion of the Project but subject to the provisions which
follow, pursuant to this Agreement, these service units shall be
the property of Kaiser.. In the event the ultimate actual total
Project costs are determined to be an amount (the "Difference")
less than the estimated total Project costs as shown on Exhibit "B"
($840,000), either: (1) Kaiser shall pay to City in cash at the
time Kaiser applies for its first building permit for the Site or
upon written demand by the City, whichever event occurs first; an
amount equal to that portion of $313,020 equivalent to the ratio
that the Difference bears to the' estimated total Project cost
($840,000) or (2) the number of service units (based on a value of
$600 per service unit) which City shall credit to Kaiser shall be
adjusted downward from 521.7 by a number of units (based on a value
of $600 per service unit) equivalent to the ratio that the
Difference bears to the estimated total Project costs as shown on
Exhibit "B".
4.2 Estimated Costs. Costs shall be limited to costs
directly and necessarily related to designing, constructing and
engineering of the Project, excluding the costs of acquiring
necessary land and easements, City's administrative expenses,
borrowed funds, insurance and bonding. As set forth on Exhibit
-7-
attached hereto and incorporated by reference herein, Kaiser and
City's engineers have estimated that the total costs of designing,
constructing and engineering the Project equals $840,000.00.
4.3 Progress Reports and Billing. Kaiser will require
progress reports and billings every thirty (30) days from the
contractor performing construction of the Project. Upon receipt of
such progress reports and billings, Kaiser shall be solely
responsible for determining their accuracy. However, Kaiser shall
make its records available to City for inspection to ensure
compliance with all applicable State, local and City regulations.
City shall, upon receipt of written request from Kaiser, make all
records relating to the Project available for inspection by Kaiser
during normal business hours, to the extent that such records are
not privileged and are subject to disclosure under the California
Public Records Act.
4.4 Submittal of Itemized Bill. Within thirty (30) days
after completion and acceptance of the Project by City, Kaiser
shall provide City with an itemized bill showing all costs and fees
incurred by Kaiser to construct the Project (the "Cost Bill").
Kaiser agrees to provide City with evidence that all related
invoices have been paid and all mechanics liens have been
unconditionally released. Kaiser also agrees to provide City with
any additional information as to any items shown on the Cost Bill
as may be requested by City.
-8-
4.5 ADDrOYal of COsts. Within thirty (30) days after receipt
of the Cost Bill and any additional information, City shall advise
Kaiser in writing of any fees or costs shown on the Cost Bill that
City will not approve for inclusion in the total Project cost and
the reason why these items are being disallowed by City. Only
those construction costs approved by City will be approved for
inclusion as actual total Project costs in accordance with this
Agreement; provided, however, that City shall not unreasonably
disallow any costs.
5. Ownership of and ResPonsibilitY for Completed Project.
Upon formal acceptance of the Project by City, ownership of the
Project shall ~elong exclusively to City and Kaiser shall not be
responsible for the maintenance and upkeep of the Project.
6. Indemnification. Insurance and SecuritY.
6.1 Indemnity. Kaiser shall defend, indemnify and hold City,
its officers, employees, and agents free and harmless from any and
all liability from loss, damage or injury to or death of persons or
property in any manner arising out of or incident to Kaiser's
performance of this Agreement, including without limitation all
consequential damages and attorney's fees, whether or not resulting
from the negligence of Kaiser or Kaiser's agents. This indemnity
shall extend to any claims arising because Kaiser has failed to
secure any necessary easement land right, contract, or approval,
but shall not extend to any claim to the extent that is arises out
-9-
of the negligence of City or its officers, employees, agents and
contractors.
6.2 Insurance. Kaiser shall obtain at its own cost or, as a
condition of its contract with Kaiser's contractor to construct the
Project shall require Kaiser's contractor to obtain, at its own
cost, a policy or policies of liability insurance of the type and
in the amounts described hereinafter and in a form and substance
satisfactory to City. Such policies signed by a person authorized
by the insurer to bind coverage on its behalf must be filed with
City prior to performing any construction work on the Project.
With the exception of coverage for worker's compensation, city, its
elected officials, officers, and employees shall be added as
additional insureds on all policies required under this Agreement.
Kaiser's or Kaiser's contractors' insurance coverage shall be
primary insurance as respects City, its elected officials,
officers, and employees. Any insurance or self-insurance
maintained by City, its elected officials, officers and employees
shall be in excess of Kaiser's or Kaiser's contractors' insurance
and shall not contribute to it.
6.3 Contractor Insurance.
6.3.1 Kaiser's contract with its contractor to
construct the Project shall require Kaiser's contractor to provide
City and Kaiser, prior to commencing any construction work
hereunder, with certificates of insurance with original endorse-
ments, and copies of policies, if requested, of the following
--lO--
insurance with Bests' Class B+VIII or better carrier admitted to
and authorized to issue insurance in the State of California:
a. Worker's Compensation Insurance covering
all employees and principals of City's
contractor, in at least the minimum
amount as required by state law,
effective under the laws of the State of
California.
b. Commercial General Liability Insurance
covering third party liability risks,
including contractual liability, in a
minimum amount of $1 million combined
single limit 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 shall apply separately
to the Project or the general limit shall
be twice the occurrence limit.
c. Commercial Auto Liability and Property
Insurance covering any owned and rented
vehicles of the contractor in the minimum
amount of $1 million combined single
-11-
limit per accident for bodily injury and
property damages.
6.3.2 Said policy or policies shall be endorsed to
state that coverage shall not be suspended, voided, canceled by
either party, or reduced in coverage or in limits except after
thirty (30) days prior notice has been given in writing to City and
Kaiser. Kaiser's contractor shall give to City and Kaiser prompt
and timely notice of any claim made or suit instituted arising out
of its construction of the Project. Kaiser's contractor shall also
procure and maintain, at its own expense, any additional kinds and
amounts of insurance which in its own Judgment may be necessary for
its proper protection in the prosecution of the work.
6.3.3 Kaiser:s contractor shall include all
subcontractors as insured under its policies or shall furnish to
Kaiser and City separate certificates and endorsements for each
subcontractor prior to commencing any work on the Project. All
coverage for such subcontractors shall conform with the insurance
requirements stated herein.
6.4 Bonds for Construction. Kaiser:s contract with its
contractor to construct the Project shall require Kaiser's
contractor to provide Kaiser with a Payment Bond and a Performance
Bond from each subcontractor each in an amount equal to the
subcontractorts total contract amount of the Project to be
constructed in accordance with this Agreement and Kaiser~s
-12-
contractor will provide a Payment Bond and Performance Bond for any
subcontractor who does not provide such payment bond and
performance bond pursuant to this Section 6.4 to guarantee:
(1) that contractor and its subcontractors of every tier will pay
all amounts owed to subcontractors, material suppliers, workers and
equipment renters and, (2) that contractor will perform all
obligations under this Agreement. The bonds shall be furnished by
a surety company satisfactory to City and Kaiser on forms
acceptable to City and Kaiser, and shall name City and Kaiser
jointly as obligees. A surety company, to be acceptable to City
and Kaiser, must be authorized to do business and have an agent for
service of process in California. City and Kaiser must also be
satisfied that the surety company has sufficient assets and net
worth to honor the Payment Bond and Performance Bond.
If at any time, a surety on such bond is declared a bankrupt,
loses its right to do business in the State of California for any
reason, or is removed from the list of surety companies accepted on
Federal bonds, Kaiser's contract with its contractor for the
Project shall require the contractor within thirty (30) days after
notice from City and/or Kaiser, to substitute acceptable bonds in
such form and sum and signed by such other surety or sureties as
may be satisfactory to City and Kaiser, in their sole discretion.
All premiums on any performance or payment bonds required by this
Agreement shall be paid solely by Kaiser's contractor.
GC3q26182 - 13 -
Kaiser's contract with its contractor for the Project shall
provide that, in the event of termination or cancellation of any
insurance or security required by said contract, the contractor
shall have fifteen (15) calendar days following receipt of written
notice from either City or Kaiser to provide replacement insurance
or security which satisfies the requirements of said contract and
that failure to provide such replacement insurance or security
shall constitute a material breach of said contract entitling
Kaiser to make alternative arrangements for completion of
performance. A duplicate copy of the fifteen (15) day written
notice shall be provided to the other party to this Agreement.
7. Citv Contribution of Proiect Cost. Without requiring payment
from Kaiser therefor, City will issue a construction permit for
the Project, waiving construction permit fees ordinarily charged,
and additionally will provide project inspection and general City
staff coordination at no cost to Kaiser. Kaiser shall provide, at
its own cost, any and all remaining construction administration,
surveying, materials testing, outside agency permits and any Other
documentation or other administrative services necessary for
Project construction.
8. Termination. In the event that either party defaults in the
performance of any of its obligations under this Agreement, or
materially breeches any of the provisions of this Agreement, the
other party shall have the option to terminate this Agreement upon
written notice to the defaulting party.
-14-
In the event another developer or City constructs the
Project, prior to Kaiser's construction of the Project, this
Agreement shall automatically terminate.
9. Notice. All notices permitted or required under this
Agreement shall be deemed made when delivered to the applicable
party's representative as provided in this Agreement. Such notices
shall be mailed or otherwise delivered to the addresses set forth
below, or at such other addresses as the respective parties may
provide in writing for this purpose:
City Kaiser
City Manager Director of Facilities
City of Fontana Design and construction
P.O. Box 518 Kaiser Foundation Hospitals
Fontana, CA 92334-0158 393 E. Walnut
5th Floor
Pasadena, CA 91188
Such notice shall be deemed made when personally delivered or when
mailed, forty-eight (48) hours after deposit in the U.S. Mail,
certified mail, return receipt requested, to the party at its
applicable address.
10. Term. This Agreement shall have a termwhich expires ten (10)
years from and after the date of its execution. Notwithstanding
the provisions of this Section 10, this Agreement shall remain in
full force and effect until all debts and obligations provided for
in this Agreement are satisfied in full, subject only to the
termination provisions of Section 8 of this Agreement.
-15-
11. AttorneYs' Fees. In the event any action is commenced to
enforce or interpret any term or provision of this Agreement, in
addition to costs and any other relief, the prevailing party shall
be entitled to reasonable attorneys' fees.
12. Entire A~reement. This Agreement contains the entire Agree-
ment of the parties hereto with respect to the matters contained
herein, and supersedes all negotiations, prior discussions and
preliminary agreements or understandings, written or oral. No
waiver or modification of this Agreement shall be binding unless
consented to by both parties in writing.
13. Assignment. Kaiser shall have the right to assign and
delegate Kaiser's rights and obligations under this Agreement in
connection with the concurrent sale, assignment, ground lease,
encumbrance or other transfer of all or any portion of the Site;
provided, however, that Kaiser's rights under this Agreement shall
not be assigned without the concurrent delegation of all Kaiser's
duties and obligations hereunder. Upon such assignment and
delegation, Kaiser shall be relieved of and from further liability
or responsibility under this Agreement.
14. No Third Party Beneficiaries. This Agreement is made and
entered into for the sole protection and benefit of the parties and
their successors and assigns. No other person shall have any right
of action based upon any provision of this Agreement.
G~a61 sa - 16 -
15. NO JOint Venture or Partnership. City and Kaiser hereby
renounce the existence of any form of joint venture or partnership
between them and agree that nothing contained herein shall be
construed as making City and Kaiser joint venturers or partners.
16. Good Faith and Further Acts. Kaiser and city agree that in
exercising their respective rights and in performing their
respective obligations provided in this Agreement, Kaiser and City
shall exercise the utmost good faith towards one another so that
the purpose of this Agreement can be attained. Kaiser and City
shall, furthermore, take such additional steps and sign such
additional documents as may be reasonably necessary to attain the
purposes of this Agreement.
GO~.618a -17-
WHEREFORE, this Agreement is executed this day of
, 199_.
CITY OF FONTANA, KAISER FOUNDATION HOSPITALS,
a municipal corporation a California corporation
By: By:
Jay M. Corey Hugh A. Jones
City Manager Executive Vice President
Regional Manager
By:
Carlos Zaragoza
Assistant Secretary
ATTEST:
Kathy Montoya
Approved as to legal form:
Clark Alsop or
Stephen P. Deitsch
City Attorney
Ken Jeske
Interim Community Development Director
Jennifer Vaughn Blakely
Contract Compliance Officer
Robert A. Graham
Risk Management
GC~.6187. -18-
EXHIBIT "A"
"PARCEL NUMBER 10l= PARCEL MAP NO. 11~,33 AS RECORDED IN
PARCEL MAP BOOK 165, PAGF~ 35 AND 36, RECORD8 OF THI! COUNTY
RECORDER, SAN BERNARDINO COUNTY'
EXHIBIT "A"
EXHIBIT "B"
ESTIMATED TOTAL PROJECT COSTS
Construction $700,000
Engineering (20%) $140.000
$840,000
Kaiser's Cost
Construction $700,000
Design/Plan Check Fees
Construction Admin.,
Surveying, Materials
Testing $100,000
TOTAL $800,000
City's Direct Costs
Project Coordination $ 12,000
Project Inspection $ 28,000
Subtotal $ 40,000
city/Kaiser Total $840,000
Kaiser's Maximum Future
Sewer Fee Credits
(521.7 Service Units)
@ $600/SU $313,020
4/5/93
t-~GI~ND
SEWER MAIN e
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CYPRESS SEWER PROJECT
JURUPA TO SAN BERNARDINO
UNDER CONSTRUCTION .1/93
MASTER PLAN OF DRAINAGE AGREEMENT
between
CITY OF FONTANA
and
KAISER FOUNDATION HOSPITALS
TABLE OF CONTENTS
RECITALS 1
1. Definitions 3
2. Design of the Project 5
2.1 Design ...... 5
2.2 Indemnity for Design . 5
2.3 Design Costs . 5
3. Construction of the Project 6
3.1 Award of Contract 6
3.2 Indemnity for Contract Award 6
4. Terms of Reimbursement . 7
4.1 Allocation of Costs 7
4.2 Progress Reports and Billing 7
4.3 Submittal of Itemized Bill 7
4.4 Payment 8
5. Termination 9
6. Notice . 9
7. Term . 10
8. Attorneys' Fees 10
9. Entire Agreement 10
10. Assignment . 10
11. No Third Party Beneficiaries 11
12. No Joint Venture or Partnership 11
13. Good Faith and Further Acts 11
MASTER PLAN OF DRAINAGE AGREEMENT
This Master Plan of Drainage Agreement is made and entered
into this day of , 199_, by and between the CITY OF
FONTANA and KAISER FOUNDATION HOSPITALS, a California non-profit
public benefit corporation.
RECITAL8
This Agreement is entered into based upon the following facts,
understandings and intentions of the parties:
A. When used in these Recitals, each of the terms defined in
Article 1 shall have the meaning given to it therein.
B. Kaiser owns the Site also known as Parcel Map No. 12433,
shown on Exhibit "A" attached hereto, and, as a part of the
development of the Site, is required to construct drainage
facilities to City standards including both local storm drain
facilities and City Master Plan of Drainage facilities.
C. City as a part of the Master Plan of Drainage Capital
Improvement Program has planned and budgeted the construction of
the I-lO Freeway Channel to Valley Boulevard Storm Drain Project.
Kaiser as a part of its required construction of drainage
facilities has planned and budgeted the construction of local
GCN26186
drains on or adjacent to the Site to connect to the Master Plan of
Drainage facilities
D. City proposes at this time to construct Master Plan of
Drainage facilities from the 1-10 Freeway Channel to Valley
Boulevard at Palmetto Avenue as well as a local storm drain in
Valley Boulevard, connecting drains for the Site to the Master Plan
of Drainage facilities. City and Kaiser propose to share the costs
of constructing the Valley Boulevard storm drain, provided City can
obtain any property necessary for the Project, as provided in this
Agreement and described in Exhibit "B" attached hereto.
E. Kaiser and City recognize that it is in their mutual
interest to coordinate the design, construction and installation of
facilities to serve the City's Master Plan of Drainage and the Site
so as to efficiently implement City's overall Master Plan of
Drainage system and to avoid duplication of facilities.
F. Kaiser and City also recognize that it is in their mutual
interest to coordinate the design, construction and installation of
the local storm drain in Valley Boulevard.
G. The Code of the City of Fontana, Section 26, provides
that City may reimburse Kaiser for the difference between the costs
of constructing a local storm drain facility and the costs of
constructing a master planned storm drainage facility.
-2-
33
H. The parties desire that City shall construct the Project
in part using funds to be paid to City by Kaiser which are
attributable to that portion of costs of the Project that Kaiser
would otherwise have been required to pay to construct a standard
local storm drain from the 1-10 Channel to Site in order to develop
the Site.
I. City will use reasonable efforts to acquired the
necessary easements to construct the Project.
NOW, THEREFORE, in consideration of the mutual covenants
contained herein, City and Kaiser hereby agree as follows:
AGREEMENT
1. Definitions.
1.1 "Agreement" shall mean this Master Plan of Drainage
Agreement between the City of Fontana and Kaiser Foundation
Hospitals dated , 199_.
1.2 "City" shall mean the City of Fontana, a municipal
corporation.
1.3 "Kaiser" shall mean Kaiser Foundation Hospitals, a
California non-profit public benefit corporation, and its
successors and assigns.
-3-
1.4 "Easement" shall mean the storm drain easements for
Segment 1 of Project.
1.5 "Master Planned Facility" shall mean a drainage system
upsized from a local drainage system as such system is defined in
the Fontana Municipal Code.
1.6 "Project" shall mean the storm drain facilities from the
1-10 Freeway Channel to Valley Boulevard, thence westerly in Valley
Boulevard to the point of connection at the Site, as depicted on
Exhibit "A" attached hereto and incorporated into this Agreement by
reference. The Project consists of two segments as delineated on
Exhibit "A", as follows:
1.6.1 "Segment 1" shall mean the Master Planned
Facility from the 1-10 Freeway to Valley Boulevard at Palmetto
Avenue; and
1.6.2 "Segment 2" shall mean a local storm drain
which is within Valley Boulevard from the intersection of Valley
Boulevard and Palmetto Avenue to the point of connection at the
Site.
1.7 "Project Costs" shall mean those costs associated with
construction of the Project as described in Exhibit "B" attached
hereto and incorporated herein by reference and as provided in
Section 4 of this Agreement.
-4 -
1.8 "Site" shall mean Parcel Map No. 12433, a legal
description of which is contained in Exhibit "C" attached hereto
and incorporated herein by reference.
2. Desian of the Pro~ect.
2.1 Desiqn. Kaiser has designed, and prior to construction
of the Project, will obtain all required City approvals for the
design of and plans and specifications for Segments 1 and 2.
2.2 Indemnity for Desian. To the fullest extent of any
warranty or guarantee given to Kaiser by Kaiser's design consultant
responsible for designing Segments i and 2, or otherwise implied as
a matter of fact or law, and without limiting any liability under
law of such consultants, Kaiser shall defend, indemnify and hold
City and its Officers, employees and agents free and harmless from
any and all claims, actions and liabilities whatsoever, including
without limitation all consequential damages and attorney's fees,
arising out of or in connection with the design of Segments 1 and
2 except to the extent that such claims, actions and liabilities
are attributable to the negligent actions or omissions of City or
its officers, employees, agents and contractors.
2.3 DesiGn Costs. City acknowledges and agrees that Kaiser
has submitted to City an itemized bill and supporting documentation
evidencing that it has expended $200,000 in designing Segments 1
and 2. This amount shall be credited to Kaiser's proportionate
G(~6186 -5-
share of the total Project Costs as provided in Article 4 of this
Agreement and on Exhibit "B" attached hereto.
3. Construction of the Project.
3.1 Award of Contract. City shall exercise due diligence in
contracting for the construction of Segments i and 2 within a
reasonable period of time following execution of this Agreement.
City shall be solely responsible for securing appropriate bids and
awarding the contract for construction of the Project.
3.2 Indemnity for Contract Award. City shall defend,
indemnify, and hold Kaiser, its officers, employees and agents free
and harmless from any and all claims, actions and liabilities
whatsoever, including without limitation all consequential damages
and attorney's fees, arising out of or in connection with City's
securing of bids and award and performance of the construction of
Project except to the extent that such claims arise out of the
negligent acts of Kaiser or its officers, employees, agents and
contractors.
3.3 Failure to Construct. In the unlikely event that City
fails to construct Segments 1 and 2 of the Project before such
facilities are necessary for Kaiser's development of the Site,
Kaiser shall have the right, but not the obligation, to either (a)
construct Segments 1 and 2 of the Project in accordance with public
bidding procedures and policies adopted by City, and obtain
reimbursement from City in accordance with the allocations of costs
-6-
37
set forth in Section 4.1 or (b) construct at its own cost, without
reimbursement from City, such local storm drains necessary for the
development of Site subject to approval by City.
4. Terms of Reimbursement.
4.1 Allocation of Costs. City and Kaiser shall each pay its
respective percentage of ultimate Project costs shown on
Exhibit "B" attached hereto and incorporated herein.
4.2 Prouress Reports and BillinG. city will require progress
reports and billings every thirty (30) days from the contractor
performing construction of Segments 1 and 2. Upon receipt of such
progress reports and billings, City shall be solely responsible for
determining their accuracy. City shall, upon receipt of w~itten
request from Kaiser, make available to Kaiser all records relating
to the Project during normal business hours, to the extent that
such records are not privileged and are subject to disclosure under
the California Public Records Act.
4.3 Submittal of Itemized Bill. Within thirty (30) days
after completion and formal acceptance by City of Segments 1 and 2
of the Project, Kaiser shall provide City with an itemized
accounting showing all costs and fees incurred by Kaiser as
described in Section 4.1 and in Exhibit "B" attached hereto (the
"Kaiser Project Cost Bill"). Kaiser agrees to provide City with
any additional information as to any items shown on the Kaiser
Project Cost Bill as may be requested by City. City agrees to
-7 -
38
provide Kaiser with an itemized accounting showing all costs and
fees incurred by City as described in Section 4.1 above and in
Exhibit "B" attached hereto (the "City Project Cost Bill"). City
will provide Kaiser with any additional information as to any items
shown on the City Project Cost Bill as may be requested by Kaiser.
4.4 Payment. In addition to Kaiser's initial expenditure of
$200,000 in design and engineering costs as described in Section
2.3 of this Agreement, within thirty (30) days of execution of this
Agreement, Kaiser shall deposit with City a sum of $200,000 to be
applied to Kaiser's percentage of fair share costs as described in
Section 4.1 and in Exhibit "B" attached hereto. If Kaiser fails to
deposit this sum within said thirty day period, City will not
commence advertising the Project for construction bids until such
deposit is received, and the City may terminate this Agreement
without further obligation of City and Kaiser hereunder. Upon
completion of the Project and City and Kaiser's agreement on the
final Project Cost Bills as provided in Article 4 of this Agreement
and as described in the attached Exhibit "B", Kaiser agrees to pay
the City any costs in excess of its deposit up to its fair share as
described on Exhibit "B". In the event total Project Costs are
less than the costs described on Exhibit "B," City agrees to refund
any monies owed Kaiser from the funds on deposit within thirty days
following verification of actual Project costs uponwritten demand
therefor. In the alternative, in the event total Project Costs
exceed the costs described on Exhibit "B", Kaiser agrees to pay
GC~26186 -8-
the City any monies owed within thirty (30) days following
submission of written demand therefor by City.
5. Termination. In the event that either party defaults in the
performance of any of its obligations under this Agreement, or
materially breaches any of the provisions of this Agreement, the
other party shall have the option to terminate this Agreement upon
written notice to the defaulting party. Upon such termination,
Kaiser's deposit shall be immediately refunded less any costs
actually incurred by City relating to the Project upon receipt by
City of written demand therefor.
6. Notice. All notices permitted or required under this
Agreement shall be deemed made when delivered to the applicable
party's representative as provided in this Agreement. Such notices
shall be mailed or otherwise delivered to the addresses set forth
below, or at such other addresses as the respective parties may
provide in writing for this purpose:
City Kaiser
City Manager Director Facilities
City of Fontana Design and Construction
P.O. Box 518 Kaiser Foundation Hospitals
Fontaria, CA92334-0158 393 E. Walnut
5th Floor
Pasadena, CA 91188
Such notice shall bedeemed made when personally delivered or when
mailed, forty-eight (48) hours after deposit in the U.S. Mail,
certified mail, return receipt requested, to the party at its
applicable address.
G~261~
7. Term. This Agreement shall have a termwhich expires ten (10)
years from and after the date of its execution. Notwithstanding
the provisions of this Section 9, this Agreement shall remain in
full force and effect until Kaiser and City have discharged all
duties and obligations contained herein, unless the parties have
terminated this Agreement pursuant to the provisions of Section 7
of this Agreement.
8. Attorneys' Fees. In the event any action is commenced to
enforce or interpret any term or condition of this Agreement, in
addition to costs and any other relief, the prevailing party shall
be entitled to reasonable attorneys' fees.
9. Entire A~reement. This Agreement contains the entire Agree-
ment of the parties hereto with respect to the matters contained
herein, and supersedes all negotiations, prior discussions and
preliminary agreements or understandings, written or oral. No
waiver or modification of this Agreement shall be binding unless
consented to by both parties in writing.
10. Assiunment. Kaiser shall have the right to assign and
delegate Kaiser's rights and obligations under this Agreement in
connection with the concurrent sale, assignment, ground lease,
encumbrance or other transfer of all or any portion of the site;
provided, however, that Kaiser's rights under this Agreement shall
not be assigned without the concurrent delegation of any and all of
Kaiser's duties and obligations hereunder. Upon such assignment
-10-
and delegation, Kaiser shall be relieved of and from further
liability or responsibility under this Agreement.
11. No Third Party Beneficiaries. This Agreement is made and
entered into for the sole protection and benefit of the parties and
their successors and assigns. No other person shall have any right
of action based upon any provision of this Agreement.
12. No Joint Venture or Partnership. City and Kaiser hereby
renounce the existence of any form of joint venture or partnership
between them and agree that nothing contained herein shall be
construed as making City and Kaiser joint venturers or partners.
13. Good Faith and Further Acts. Kaiser and City agree that in
exercising their respective rights and in performing their
~-
respective obligations provided in this Agreement, Kaiser and City
shall exercise the utmost good faith towards one another so that
the purpose of this Agreement can be attained. Kaiser and City
shall, furthermore, take such additional steps and sign such
additional documents as may be reasonably necessary to attain the
purposes of this Agreement.
- 11 --
WHEREFORE, this Agreement is executed this day of
, 199_.
CITY OF FONTANA, KAISER FOUNDATION HOSPITALS
a municipal corporation
a California nonprofit
public benefit corporation
By: By:
Jay M. Corey Hugh A, Jones
City Manager Executive Vice President
and Regional Manager
By:
Carlos Zaragoza
Assistant Secretary
ATTEST:
Kathy Montoya
Approved as to legal form:
Clark Alsop or
Stephen P. Deitsch
City Attorney
Department Head Name
Title
Jennifer Vaughn Blakely
Contract Compliance Officer
Robert A. Graham
Risk Management
-12-
L~GEND
SEGMENT 1 0
SEGMENT 2
...... CITY BOUNDARY N.T.S.
MARYGOLD AV
!'*'1 >
= ~ /'~,'~ '"'"~' '1'~'
J I VALLEY BLVD "' j
· 'FWY"
10 CHANNEL
4/9~ Jr
EXHIBIT "B"
TOTAL COST PRORATION
EST. KAISER CITY
BUDGET CATEGORIES COST % 5 ~ $
Secrment 1 (MPD]
Design (WP) 150,000 33.33% 50,000 66.67% 100,000
Right of Way 165,000 14% 23,100 86% 141,900
Construction 632,500 14% 88,550 86% 543,950
Const. Survey, Matl's
Testing 15,000 100% 15,000 0% 0
const. Admin., Insp. 27,500 0% 0 100% ~7,500
SUBTOTAL $990,000 $176,650 $813,350
Segment 2 (Local Drain]
~.
Design (WP) 50,000 100% 50,000 0% 0
Right of Way 0 0% 0 0% 0
Construction S.D. 230,000 100% 230,000 0% 0
Const. Villa Fontana 30,000 0% 0 100% 30,000
Maintain Temp. Drain 41,039 100% 41,039 0% 0
Const. Survey, Matl's
Testing 5,000 100% 5,000 0% 0
Const. Admin., Insp. 10,000 0% 0 100% 10.000
SUBTOTAL $366,039 $326,039 $ 40,000
TOTAL $1,35S,039 $502,689 $853,350
'2/93
EXHIBIT "C"
"PARCEL NUMBER I OF PARCEL MAP NO, 12433 AS RECORDED IN
PARCEL MAP BOOK 165, PAGES 35 AND 36, RECORDS OF THE COUNTY
RECORDER, SAN BBRNARDINO COUNTY*
EXHIBIT "C"
C~ty Council Ninu~es ],~y Z, i~
I. (1) Adopting a Mitigated Negative Declaration AOPT MITIC%~T
and California Fish and Game De Mtnimus Impact Finding NEG DEC/
and directing staff to file the Notice of Determination CYPRESS AVE
and Certificate of Fee Exemption For the construction SEWER SYSTEIC
of the Cypress Avenue sewer system between Jurup8 NO 92-257
Avenue and San Bernardino Avenue.
(2) Authorizing the Con~nunity Development Depart- ATHRZ COMIC
ment to advertise for bids for the construction of the DEV ADVERT-
Cypress Avenue sewer system between Jurupa Avenue and BIDS CYPRESS
San Bernardino Avenue. AVE SEWER
MO 92-258
47
ACTXOIh Motion was made by Council Member Freeman, 12 AWARD
seconded by Council Member Murray accepting a bid in the CONT~ACT ~ENICO
amount of $1,578,63Z (Bid Schedule II) and awardtn~ a CYPRESS AVE
contract to Ken~o, Inc., dba MeGrind and Associites fop
the construction of the Cypress Avenue sewer fr~ Jurupi MO
Avenue to San 8ernardlno Avenue; authorizing i construction contingency fund
the a~unt of $157,863.20 (1~ of the contract munt)~ and authorizing
City Manager to execute the construction contract, ~tton carried by i vote of
4-1, Council Maber Eshl~n voting
Principal Ctvil En9tnemr, Sre9 Bucknell give the stiff presentation
staff researched due diligently the alle9mtions ado by Mr. Oivid Lanna,
1.0.U.E. L~al 12 and found these i11mgation$ unfounded.
Written c~ntcitton wl$ received fr~ the following:
I. Ken~o, Inc., Contractors, P.0, Sex 831, CaltNSa, CA,, dated $e~t~ber 10,
1~92.
2. Patric~ McSuire, I.U,0,E, L~=I 12, 1455 Rtalto Avenue, Colton, CA.
David Lanha, I.U.0.E, L~I1 12, 1~ E. CoPson Street, Ptsldlnm, CA,, s~m
opposition to awarding t~ contrite to Ken~o, Inc.
Roger SchwartZ, Ken~o, I~., 364 LO! Roblos, RNlmnds, Ca,, s~KI tn favor
along with FP!~ $wlns~, ~.[,m 38730 lrNKltde, ChirP) Valley,
It m ~ ~ m~ of ~ City ~tl ~ t~l~ lm~ stYliP
bhl~.
§ 26-56 Sewers and Drains § 26-56
Sec. 26-56. Additions and extensions defined.
'~,,,,
As used in this article, an addition shall be a system of sewer mains, house
connection sewers and appurtenances built by property owners at their expense to
serve their land and which does not serve any other land adjoining the work by di-
rect connection thereto.
An extension shall be a system o[ sewer mains, house connection sewers and
ap_pu~tenances built by property owners at their expense to serve their land and
w_hich may also serve other adjoining land, the owners of which have not shared'
in the cost of the work.
A single sewer project may include additions and extensions. 9rcperty
owner as used in this article shall include a sinFie person, a ~'roup of persons,
a corporation, firm or other combination o[ persons. (Ord, No. 176, art. 10,
§ 226; Ord. No. 185, § ]..)
Sec. 26-57. Acceptance and special consideration.
Following the satisfactory completion of any sewer project for the construction
of an addition or extension and upon recommendation of the superintendent, the city
council shall, by resolution, accept the work which shall then become a part of the
city sewer system. The resolution of acceptance shall contain the terms of any
special consideration which shall apply to the sewers so accepted.
Special consideration may include provisions for reimbursement and relief
from'the connection charge, but shall not include provisions for monthly charges
diiferent irom those established elsewhere in this charter, exce!0t as provided for
service to property lying outside the corporate limits of the city. All provisions
'for special consideration shall terminate at the expiration of ten years following
the date of the resolution of acceptance or at such earlier date as may be estab-
lished in the resolutWn of acceptance. (Ord. No. 176, art. 10, § 227; Ord. No.
185, § 1.)
4,9
City Council Minutes January 1), llg3
A. Adopting a Mitigated Negative Declaration and monitoring ADPT NEG DEC
program for mitigation measures and California Fish and Game MONITOR DE-
De Minimi$ Impact Finding and directing staff to file the MINIHIS/FILE
Notice of Determination and Certificate of Fee Exemption NOB VALLEY
for the construction of 1-10 to Valley Storm Orain Project STORH DRAXN
from Z-tO Freeway channel approximately 700 feet east of MO 93-25
Palmetto Avenue to Valley Boulevard and on Valley Boulevard to approximately
700 feet west of Palmetto Avenue. ,