HomeMy WebLinkAboutCD Reimbursement Agreement 2021; County Strategic Fund IREIMBURSEMENT AGREEMENT
THIS REIMBURSEMENT AGREEMENT (Agreement) is entered into this—7-
7• ("EffectiveDate"), between 'c. w+11' '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 has submitted an application for approval of a residential development of the property
located on the West side of Los Gamos Drive in San Rafael. The project site consists of two
assessor`s parcels: 1) The ",Northern Parcel" located at APN 165-220-07 with a zoning designation
of PD -H (Planned District - HiIlside Development Overlay District) and, 2) the "Southern Parcel"
currently zoned R2a-l1 (Residential - Hillside Development Overlay District). Both parcels
currently have an HRR (HiIlside Resource Residential) designation under the General Plan 2020.
The applicant is proposing 192 multifamily units and retail and community service facilities
contained in six (6) buildings as follows:
• 2 buildings of 3 -stories above parking;
• 3 buildings of 4 -stories above parking; and
• 1 building of 2 -stories above parking that will house community service facilities for the
residents, a retail market use, and a plaza open to the public.
The project includes clustered development located significantly downslope on the site and close
to Los Gamos Drive, in order to preserve the community -wide visibility of the hillside above. The
project is intended to be affordable by design, with smaller units resulting in rents more affordable
for the local workforce and will contribute towards the City of San Rafael's housing goals and
inclusionary rate of 10% Below Market Rate units. The proposed project will provide 224 on-site
parking spaces.
The proposal also includes accessible hiking trails connecting to adjacent open space, a small
passive park area and a children's playground area that incorporates natural elements such as wood
logs, and a slide. The project also includes a community center called the -Village Commons,"
which will house a market/coffee shop that would be open to the public and conveniently located
near Los Gamos Drive. The proposed Village Commons will also include a community room and
outdoor plaza for use by project residents with shared outdoor areas, including a children's play
area, stepped lawn terraced seating, and more seating in an olive grove setting. The project also
includes planting over 180 trees to further blend the development with the landscape.
B. 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
[X1 Zoning Change/Planned Development
[ X ] Minor Subdivisioal'entative Map
[ ] Major Subdivision/Tentative Map
[] Use Permit
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[X] Environmental and Design Review Permit
[ ] Variance
[ ] Sign Review/ Sign Program/Amendment
[X] CEQA — Initial Study and Mitigated Neg Declaration or Environmental Impact
Report
C. 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 inview of the proposed project on the condition
that Developer reimburse the City for its. costs incurred in connection with these outside vendors
("Contract Planner").
D. 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 Initial Study and either
Mitigated Negative Declaration or Environmental Impact Report (EIR) 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.
E. 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.
F. The City received a proposal for Contract Planner services from MIG. dated January 28, 2021. The
proposal provides an estimate for the time anticipated to process the planning, application with a
proposed budget estimate of $34,992 and 'includes the billing rate for the Contract Planner.
G. The City received a proposal for Contract CEQA Consultant services from LAK Associates, LLC,
dated February 16, 2021 • The proposal provides an estimate for the time anticipated to process the
CEQA review with a proposed budget estimate of $32,000 and includes the billing rate for the
Contract CEQA Consultant services for preparation of an Initial Study. Environmental Impact
Report Preparation and Coordination (if required)
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 bort 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.
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NOW, THEREFORE, in consideration of the mutual promises set forth herein, the parties hereby
agree as follows:
TERMS OF REIMBURSEMENT AGREEMENT
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 planriing 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. Proiect Reunbursement Account. The contract amount of the proposed project includes two
separate components, one for Contract Planner and one for Contract CEQA Consultant, as well as
a 15% contingency amount as follows:
A. Contract Planner Amount. The initial contract amount of the Contract Planner is $34,992 ("the
Contract Planner Amount"). This is based on an estimate of time to process the planning
application, based on the billing dates and anticipated number of hours. If additional time or
effort outside the estimates time included in the contract are incurred, Developer is responsible
for those costs:
i) Developer has paid $10,772.00 of the above contract planner amount. Developer shall pay
100% of the remaining balance for Contract Planner Amount ($24,220) 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.
ii) This amount does not include the 10% planning contract administrative fee that is required
to cover City staff time associated with review by the Contract Planner and administration
of that contract. This 10% administrative fee ($3,499.20) shall be paid at the time of
submittal of the fund for the Contract Planner contract and shall be by a separate check.
iii) The City will hold Contract Planner 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, as requested.
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B. Contract CEQA Consultant Amount. The initial contract amount of the Contract CEQA
Consultant is $32,000. ("the Contract CEQA Consultant Amount"). This is based on an
estimate of time to process the proposed CEQA review. This does not include optional task for
EIR preparation and contingencies. If additional time or effort outside the estimated time
included in the contract are incurred, Developer is responsible for those costs:
i) Developer has paid $10,246 of the above Contract CEQA Consultant Amount. Developer
shall pay 100% of the remaining balance for CEQA Contract ($21,754) 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. If an EIR is required for this project Developer will deposit an
additional amount of $60,000 in the Reimbursement Account created for the CEQA work.
ii) This amount does not include the 25% EIR administrative fee that is required to cover City
staff time associated with review of an EIR and administration of the contract. This 25%
administrative fee ($15,000) shall be paid at the time of submittal of the fund for the EIR
review and shall be by a separate check.
iii) The City will hold Contract CEQA Consultant 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.
iv) 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
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").
At this point, there is no specific need or anticipated use of a Contract Law Finn. 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 Finn 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
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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. Relatiomshi 7 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 detennination under 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.
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
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date when the postal authorities indicate the mailing was delivered to the address of the receiving
party indicated below:
Notice to the City: Notice to Developer:
Alicia Giudice, Planning Manager County Strategic Fund I, LLC
City of San Rafael — Community Dev Dept C/O Chris Hart
1400 5th Ave, 3rd Floor 899 Northgate Drive, Ste 301
San Rafael, CA 94901 San Rafael, CA 94903
9. Indemniftcatinn Defense and Hold Ilarin s. With respect to any claim, action, or proceeding
arising from this Agreement, Developer agrees to defend and indemnify the City and hold it harmless
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 Alicia
Giudice, Planning Manager, or other employee as may be designated by the City's Community
Development Director.
12. Ince ration 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 he 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.
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
voltintarily 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.
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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. Attorne s' Fees. In any action arising out of this Agreement, the prevailing parry 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 by means of electronic signature and 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 waiTants 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
By: L,f
Jim Schutz, City Manager
ATTEST:
/V
fqr LINDSAY LARA, City Clerk
APPROVED AS TO FORM:
ROBERT F. EPSTEIN, Cty Attorney
DEVELOPER
r' f' .
Name:
Title:
[If DEVELOPER is a corporation, add signature of
second corpora officer]
By:
Name: aI�'r�
Title: S
111r cad ��► �f � r [GG
Page 7 of 7
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
Project Manager: Ali Giudice
Extension: x3092
Contractor Name: Reimbursement Agreement
Contractor's Contact: na
Contact's Email:
❑ FPPC: Check if Contractor/Consultant must file Form 700
Step
RESPONSIBLE
DESCRIPTION
COMPLETED
REVIEWER
DEPARTMENT
DATE
Check/Initial
1
Project Manager
a. Email PINS Introductory Notice to Contractor
N/A
❑
b. Email contract (in Word) & attachments to City
Atty c/o Laraine.Gittens@cityofsanrafael.org
a. Review, revise, and comment on draft agreement
3/3/2021
❑AMG
2
City Attorney
❑X LG
and return to Project Manager
3/3/2021
❑X LG (n/a)
b. Confirm insurance requirements, create Job on
PINS, send PINS insurance notice to contractor
3
Project Manager
Forward two (2) originals of final agreement to
❑
contractor for their signature
4
Project Manager
When necessary, * contractor -signed agreement
❑X N/A
agendized for Council approval
*PSA > $75,000; or Purchase > $75,000; or
Or
❑
Public Works Contract > $175,000
r!;,ck hefe `l0
Date of Council approval
enter a date.
PRINT
CONTINUE ROUTING PROCESS WITH HARD COPY
5
Project Manager
Forward signed original agreements to City
3-11-21
AMG
with printed copy of this routing form
6
City Attorney
_Attorney
Review and approve hard copy of signed
% Zo
agreement
5/ 2-3/ `��
7 City Attorney
Review and approve insurance in PINS , and bonds
3/�3��
D /
AA
(for Public Works Contracts)
Agreement executed by Council authorized official
J'Zy
8 City Manager/ Mayor
9 City Clerk
Attest signatures, retains original agreement and
I forwards copies to Project Manager