HomeMy WebLinkAboutCD Reimbursement Agreement 2018REIMBURSEMENT AGREEMENT
THIS REIMBURSEMENT AGREEMENT (Agreement) is entered into this September 20,
2018 ("Effective Date"), between BioMarin Pharmaceutical Inc. ("Developer"), and the
CITY OF SAN RAFAEL, a municipal corporation organized and existing under the laws of
the State of California ("the City").
RECITALS
A. Developer is preparing to submit an application for a development proposal to add a
Research and Development facility with Senior Housing development on a portion of the site
("the proposed project").
B. Developer is considering options for the new research and development facility and senior
housing project and has not yet finalized plans for submittal.
C. Pursuant to the City's comprehensive planning and environmental review process, the City
has tentatively determined that the proposed project will require the following permits and
land use entitlements [ mark those applicable]:
[X] General Plan Amendment
[X] Zoning Change/Planned Development
[X] Minor Subdivision/Tentative Map
[ ] Major Subdivision/Tentative Map
[X] Use Permit
[X] Environmental and Design Review
[ ] Variance
[X] Sign Review/ Sign Program/Amendment
[X] Environmental Impact Report
D. Due to the current work load of the City's Community Development Department and the
aggressive timeline requested by the Developer, the City must hire a Contract Planner to
serve as "Project Planner" for this project and expedite the review of the proposed project on
the condition that Developer reimburse the City for its costs incurred in connection with
these outside vendors ("Contract Planner").
E. In addition, due to the complexity of the environmental review process and the expertise
required to comply with the California Environmental Quality Act (CEQA), the City must
hire an Environmental Consulting firm to provide CEQA guidance and prepare an
Environmental Impact Report in accordance with CEQA ("Contract CEQA Consultant"), and
City may also be required to consult with an outside law firm for expert legal advice
regarding CEQA or other applicable law ("Contract Law Firm"), on the condition that
Developer reimburse the City for its costs incurred in connection with these outside vendors.
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L\-S-155A
JRIGINAL
F. California Public Resource Code Section 21082.1 authorizes the City to employ a Contract
Planner and Contract CEQA Consultant to provide planning and environmental review
services, including preparation of the environmental documents required by the California
Environmental Quality Act (CEQA) for the proposed project.
G. California Government Code Section 66014, California Public Resource Code Section
21089, and San Rafael Municipal Code Section 3 .34.40 entitle the City to recover its costs of
processing the applications for the land use entitlements required for the proposed project,
including but not limited to the cost of the City's preparation and review of all required
environmental documents. Accordingly, the City is entitled to recover its Contract Planner
and Contract CEQA Consultant costs from Developer.
H. This Agreement is intended to set forth procedures and a funding mechanism for Developer's
payment of all planning and environmental consulting costs that will be incurred in
connection with the proposed project.
NOW, THEREFORE, in consideration of the mutual promises set forth herein, the parties hereby
agree as follows:
TERMS OF REIMBURSEMENT AGREEMENT
1. Recitals Incorporated. The foregoing recitals are incorporated into this Agreement.
2. Reimbursement. The City will contract directly with Contract Planner and Contract CEQA
Consultant to provide planning and environmental consulting services for the proposed
project. Developer agrees to reimburse the City for all Contract Planner and Contract CEQA
Consultant costs that the City incurs which are related to the proposed project. The Contract
Planner costs may include charges for various independent contractors working under
Contract Planner's supervision (for example, traffic engineering consultants, biological study
consultants, etc.). Developer agrees that the Contract Planner and Contract CEQA
Consultant reimbursement charges will be separate and are in addition to the City's other
processing and development fees to be charged to and paid by Developer pursuant to San
Rafael Municipal Code Section 3.34.40.
3. Project Reimbursement Account. The contract amount of the proposed project includes two
separate contracts, one for Contract Planner and one for Contract CEQA consultant.
A.The initial contract amount of the Contract Planner is $65,000 ("the Contract Amount").
Developer shall pay 50% of the Contract Amount ($32,500.00) to the City within 30 days
of receiving the City's request, for deposit to a non-interest-bearing Reimbursement
Account that will be created by the City's Finance Department for the proposed project.
This amount does not include the planning application submittal fees that would be
required for this project and are required to cover City staff time associated with oversight
and supervision of the Contract Planner. The application fees will be based on the scope of
the project, once finalized by the Developer, but may include General Plan Amendment,
Planned Development/Rezoning, Minor Subdivision, Use Permit, Design Review Permit,
Page 2 of7 ATTACHMENT 3
and Sign Program. These application fees shall be paid at the time of submittal of the
formal applications and shall be paid by a separate check.
The City will hold Contract Amount funds in the Reimbursement Account and charge
invoices received from Contract Planner against the Reimbursement Account. The City
will provide Developer with copies of all such invoices, however, Developer agrees that
the City may redact portions of the Contract Law Firm invoices to protect the City's
attorney-client privilege. Within 30 days of Developer's receipt of the City's written
notice that the Reimbursement Account has been reduced to a balance of less than
$10,000.00, Developer agrees to pay the remaining 50% of the Contract Amount
($32,500.00) to the City to replenish the Reimbursement Account. Developer agrees to
continue making such payments until the City is reimbursed for all the Contract Planner
costs related to the proposed project. The City will hold any funds remaining in the
Reimbursement Account until the City's processing of the proposed project is completed.
Although the Reimbursement Account is primarily intended to fund the costs related to
Contract Planner, Developer agrees that the City may collect any unpaid development fees
and charges related to the proposed project from the funds in the Reimbursement
Account. Any remaining funds in the Reimbursement Account after payment of all fees
and costs related to the proposed project shall be refunded to Developer.
B. The initial contract amount (including optional tasks and contingencies) of the Contract
CEQA Consultant is $277,771 ("the Contract Amount -CEQA"). Developer shall pay
50% of the Contract Amount ($138,885.50) to the City within 30 days of receiving the
City's request, for deposit to a non-interest-bearing Reimbursement Account that will be
created by the City's Finance Department for the proposed project. This amount does not
include the 25% EIR administrative fee that is required to cover City staff time associated
with review of EIR and administration of contract. This 25% administrative fee
($69,442.75) shall be paid at the time of submittal of the fund for the Initial Study/EIR
contract and shall be by a separate check.
The City will hold Contract Amount funds in the Reimbursement Account and charge
invoices received from Contract CEQA Consultant Firm against the Reimbursement
Account. The City will provide Developer with copies of all such invoices, however,
Developer agrees that the City may redact portions of the invoices to protect the City's
attorney-client privilege. Within 30 days of Developer's receipt of the City's written
notice that the Reimbursement Account has been reduced to a balance of less than
$10,000.00, Developer agrees to pay the remaining 50% of the Contract Amount
($138,885.50) to the City to replenish the Reimbursement Account. Developer agrees to
continue making such payments until the City is reimbursed for all the Contract CEQA
Consultant costs related to the proposed project. The City will hold any funds remaining
in the Reimbursement Account until the City's processing of the proposed project is
completed. Although the Reimbursement Account is primarily intended to fund the costs
related to Contract CEQA Consultant, Developer agrees that the City may collect any
unpaid development fees and charges related to the proposed project from the funds in the
Reimbursement Account. Any remaining funds in the Reimbursement Account after
Page 3 of7 ATTACHMENT 3
payment of all fees and costs related to the proposed project shall be refunded to
Developer.
C. The initial contract amount of the Contract Law Firm is $0 ("the Contract Amount -
Legal"). Developer agrees to reimburse the City for all pre-approved Contract Law Firm
costs that the City incurs that are related to the proposed project. In the event City is
required to incur fees to a Contract Law Firm in connection with the proposed project,
City and Developer will enter into an amendment to this Agreement prior to any Contract
Law Firm costs being incurred, setting forth the Contract Amount-Legal, and the
reimbursement terms for such costs.
4. Automatic Withdrawal of Application. Developer's failure to make the payments required by
the provisions of Section 3 of this Agreement shall result in an automatic withdrawal of the
application for the proposed project. Notwithstanding such automatic withdrawal, Developer
shall remain responsible for all amounts due pursuant to this Agreement and shall submit the
same for payment to the City within 30 days of the City's demand for payment. After
automatic withdrawal of the application pursuant to this Section, should Developer desire to
re-apply for approval of the proposed project, City will require that Developer pay all regular
City fees then applicable to initiate processing of a new application. Should Developer fail to
make the payments required under this Agreement, or otherwise breach this Agreement, the
City will not be obligated to complete any environmental review that has been initiated with
respect to the proposed project.
5. Binding Effect of Agreement. This Agreement inures to the benefit of and binds the parties to
this Agreement and their respective agents, employees, successors, and assigns.
6. Relationship of Parties.
a. Contract Planner, Contract CEQA Consultant, and Contract Law Firm (and their agents
and employees) are not employees of the City but instead are independent contractors.
b. Contract Planner, Contract CEQA Consultant, and Contract Law Firm shall act solely on
behalf of the City and shall not be consultants to, representatives of, or agents of
Developer. Developer agrees not to communicate with or contact Contract Planner,
Contract CEQA Consultant, or Contract Law Firm (or any of their respective consultants,
agents, or employees) without prior written authorization from the City.
c. Developer agrees that this Agreement and any document executed in connection herewith
shall not cause Developer and the City to become joint venturers or partners.
d. This Agreement is made and entered into for the sole protection and benefit of the parties
and their successors and assigns and does not, nor is it intended to, create any rights in
favor of or obligation owing to any third parties.
7. No Entitlements Granted. This Agreement provides no legal or vested right to Developer to
secure approval of any development plan, any particular environmental determination under
Page 4 of7 ATTACHMENT 3
CEQA, or any particular permit or land use entitlement. Accordingly, Developer understands
and agrees that in the performance of their services, including the preparation and review of
all necessary environmental documents, Contract Planner and Contract CEQA Consultant
will be as accurate and objective as reasonably possible. The City may determine during the
course of processing of the proposed project application that final approval will require
issuance of other permits in addition to those listed in Recital B of this Agreement, due to
changes in the applicable state law, City Municipal Code, changes to the proposed project, or
otherwise. Due to the nature of the required environmental and planning review, the City
cannot predict with accuracy the total costs that the City will incur and charge to Developer
concerning the proposed project. Developer agrees that it has not relied (and will not rely)
on any estimates that the City may provide in this regard.
8. Notices. All notices required or provided by this Agreement shall be in writing and delivered
in person or sent by certified mail, postage prepaid, return receipt requested, to the principal
offices of the City and Developer. Notice shall be effective on the date it is delivered in
person, or the date when the postal authorities indicate the mailing was delivered to the
address of the receiving party indicated below:
Notice to the City:
Raffi Boloyan, Planning Manager
City of San Rafael -Community
Development Department
PO Box 151560
San Rafael, CA 94915-1560
Notice to Developer:
Eric Davis
General Counsel
BioMarin Pharmaceutical Inc.
105 Digital Drive
Novato, CA 94949
9. Indemnification. Defense and Hold Harmless. With respect to any claim, action, or
proceeding arising from this Agreement, Developer agrees to defend and indemnify the City
and hold it hannless against all damages, costs and fees that may be incurred by the City.
10. Amendments. No amendment of this Agreement shall be valid or binding unless made in
writing, duly authorized, and signed on behalf of both parties.
11. Administrator. The City employee with responsibility for administering this Agreement is
Raffi Boloyan, Planning Manager, or other employee as may be designated by the City's
Community Development Director.
12. Integration Clause. This Agreement constitutes the full, final, complete and entire agreement
between the parties with respect to the subject matter of this Agreement, and there are no
other terms, obligations, covenants, representations, statements, or conditions except as set
forth in this Agreement. No change or amendment to this Agreement will be effective unless
in writing and signed by the parties to this Agreement. Failure to insist upon strict
compliance with any term or provision of this Agreement will not be deemed to be a waiver
of any rights under a subsequent act or failure to act. This Agreement specifically supersedes
all prior agreements between the parties with respect to the subject matter of this Agreement.
Page 5 of7 ATTACHMENT 3
13. Severability Clause. Should any portion of this Agreement be declared void or
unenforceable, such portion(s) shall be considered independent and severable from the
remainder, and the validity of the remainder shall remain unaffected.
14. Headings. The section headings contained in this Agreement are inserted for convenience
only and shall not affect in any way the meaning or interpretation of this Agreement.
15. Public Record. This Agreement and all non-privileged documents prepared pursuant to this
Agreement shall be maintained as public records.
16. Representation of Comprehension. In entering into this Agreement, the parties represent that
they have read the Agreement, that they have had the opportunity to review the terms of the
Agreement with counsel of their choosing, and that the terms of the Agreement are
understood and voluntarily accepted by them. If any dispute or ambiguity should arise in the
future over the terms of this agreement, neither party will be deemed the drafter of this
document.
17. Governing Law. This Agreement shall be construed in accordance with and governed by the
laws of the State of California. Any action arising out of or connected with this Agreement
shall be instituted and maintained in the Marin County Superior Court.
18. Attorneys' Fees. In any action arising out of this Agreement, the prevailing party shall be
entitled to costs (including non-statutory costs) and reasonable attorneys' fees from the non-
prevailing party or parties.
19. Counterparts. The parties may execute this Agreement in one or more counterparts, each of
which shall be deemed an original, but all of which together shall be deemed one and the
same instrument.
20. Authority. The person signing this Agreement for Developer hereby represents and warrants
that he/she is fully authorized to sign this Agreement on behalf of Developer.
IN WITNESS WHEREOF this Agreement has been executed by the parties on the day and year
first above written,
CITY OF SAN RAFAEL DEVELOPER
Jim
Printed Name: 12-ob-re .nv £3,:,t,.;,, <--?::-
Page 6 of7 ATTACHMENT 3
ATTEST:
Lindsay Lara, City Clerk
APPROVED AS TO FORM:
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Robert F. Epstein,CityArney
Page 7 of7 ATTA CHM ENT 3
CONTRACT ROUTING FORM
INSTRUCTIONS: Use this cover sheet to circulate all contracts for review and approval in the order shown below.
TO BE COMPLETED BY INITIATING DEPARTMENT PROJECT MANAGER:
Contracting Department: Community Development-Planning Division
Project Manager: Raffi Boloyan, Planning Manager
Extension: 3095
Contractor Name: BioMarin Pharmaceuticals
Contractor's Contact:
Contact's Email: shar.zamanpour@bmrn.com
D FPPC: Check if Contractor/Consultant must file Form 700
Step RESPONSIBLE DESCRIPTION
DEPARTMENT
1 Project Manager a. Email PINS Introductory Notice to Contractor
b. Email contract (in Word) & attachments to City
Atty c/o Laraine .Gittens@cityofsanrafael.org
2 City Attorney a. Review, revise , and comment on draft agreement
and return to Project Manager
b. Confirm insurance requirements, create Job on
PINS, send PINS insurance notice to contractor
3 Project Manager Forward three (3) originals of final agreement to
contractor for their signature
4 Project Manager When necessary, * contractor-signed agreement
agendized for Council approval
*PSA > $20,000; or Purchase> $35,000; or
Publ ic Works Contract> $125,000
Date of Council approval
PRINT CONTINUE ROUTING PROCESS WITH HARD COPY
5 Project Manager Forward signed original agreements to City
Attorney with printed copy of this routing form
6 City Attorney Review and approve hard copy of signed
agreement
7 City Attorney Review and approve insurance in PINS, and bonds
(for Public Works Contracts)
8 City Manager/ Mayor Agreement executed by Council authorized official
9 City Clerk Attest signatures, retains original agreement and
forwards copies to Project Manager
COMPLETED
DATE
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8/16/2018
8/17/2018
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