CC - Item 3C - Undertaking Agreement for Parcel Map 68512•
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ROSEMEAD CITY COUNCIL
STAFF REPORT
TO: THE HONORABLE MAYOR AND CITY COUNCIL
FROM: OLIVER CHI, INTERIM CITY MANAGER 9t
DATE: JULY 17, 2007
SUBJECT: APPROVAL OF UNDERTAKING AGREEMENT FOR PARCEL MAP 68512
9000 VALLEY BOULEVARD
SUMMARY
In accordance with the Conditions of Approval for
approved by the Rosemead Planning Commission on
required to construct new curb and gutter, sidewal
drain, roadway pavement, tree wells and irrigation sys
survey monuments prior to recordation of the final
guarantees completion of the public improvements.
Tentative Parcel Map No. 68512
February 20, 2007, the subdivider is
k, driveways, curb ramps, parkway
tem; plant parkway trees; and install
map. The undertaking agreement
Staff Recommendation
Staff recommends that the City Council approve the undertaking agreement for the
completion of public improvements and accept the corner cut-off dedications for roadway
purposes.
ANALYSIS
On February 20, 2007, the Rosemead Planning Commission approved Tentative Parcel
Map No. 68512 subject to Conditions of Approval that require the subdivider to construct
new curb and gutter, sidewalk, driveways, curb ramps, parkway drain, roadway pavement,
tree wells and irrigation system; plant parkway trees; and install survey monuments prior to
recordation of the final map. If the public improvements are not completed prior to
recordation of the final map, the subdivider must execute an undertaking agreement
(Attachment A) and provide a Faithful Performance Bond and Labor and Materials Bond in
an amount estimated by the City Engineer. The undertaking agreement guarantees
completion of the public improvements within two years. In lieu of surety bonds, the
subdivider has provided a Letter of Credit in the amount of $96,000.
PUBLIC NOTICE PROCESS
This item has been noticed through the regular agenda notification process.
Subpitt d by:
~L~ t kz2.~-
Ken Rukavina, P.E.
City Engineer
Attachment A: Undertaking Agreement & Letter of Credit
APPROVED FOR CITY COUNCIL AGENDA:
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CITY OF ROSEMEAD
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UNDERTAKING AGREEMENT
THIS AGREEMENT made and entered this 31 st day of May, 2007, by and between
the CITY OF ROSEMEAD, State of California, acting by and through its City
Council, hereinafter referred to as "CITY" and Amsted Residuals, LLC, a California
Limited Liability Company, 1801 Century Park East, Suite 1080, Los Angeles, CA
90067, hereinafter called the "CONTRACTOR."
WITNESSETH:
FIRST: The CONTRACTOR, for and in consideration of the approval of the final
map of that certain land division known as Parcel Map 68512 hereby agrees, at the
CONTRACTOR'S own cost and expense to furnish all labor, materials, and equipment
necessary to perform and complete, and within twenty-four (24) months from the date of
filing of said map, to perform and complete in a good and timely manner, the following work,
to wit:
Construct curb and gutter, sidewalk, driveways, curb ramps, parkway drain,
roadway pavement, tree wells and irrigation system; plant parkway trees; and
install survey monuments.
Said work shall be done to the satisfaction of the City Engineer and shall not be
deemed complete until approved and accepted as completed by the City Council of the
CITY. The estimated cost to do all work and furnish all materials necessary to complete the
work is $64,000.
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SECOND: The CITY shall not nor shall any officer or employee thereof, be liable or
responsible for any accident, loss, or damage happening or occurring to the work specified
in this agreement prior to the completion and approval of same; nor shall the CITY, nor any
officer or employee thereof, be liable for any persons or property injured by reason of the
nature of said work, or by reason of the acts or omissions of the CONTRACTOR, his agents,
or employees, in performances of said work. All of said liabilities shall be assumed by the
CONTRACTOR. The CONTRACTOR further agrees to protect and hold harmless the CITY,
its officers, and employees, in performance of said work. All of said liabilities shall be
assumed by the CONTRACTOR.
The CONTRACTOR further agrees to protect and hold harmless the CITY, its
officers, and employees, from any and all claims, demands, causes of action, liability, or loss
of any sort because of, or arising out of, the acts or omissions of the CONTRACTOR, his
agents, and employees, in the performance of this agreement, or arising out of the use of
any patent or patented article, in the performance of said agreement.
THIRD: The CONTRACTOR hereby grants to the CITY, the Surety upon any Bond,
and to the agents, employees, and CONTRACTOR or either of them, the irrevocable
permission to enter upon the lands of the subject land division for the purpose of completing
the work. This permission shall terminate in the event that the CONTRACTOR or the Surety
has completed the work within the time specified or any extension thereof granted by the
City Council.
FOURTH: It is further agreed that the CONTRACTOR shall have the control of the
ground reserved for the installation of said work, and the streets in which they are to be
placed, as is necessary to allow him to carry out this agreement.
FIFTH: Contemporaneously with the execution of this Agreement, CONTRACTOR
shall file with the CITY a Letter of Credit in an amount of Ninety-Six Thousand Dollars
($96,000) to guarantee faithful performance of all the provisions of this agreement and for
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the payment of all persons performing labor and furnishings materials in connection with this
agreement. If the Letter of Credit, in the opinion of the CITY, becomes insufficient,
CONTRACTOR agrees to renew said Letter of Credit within ten days of receiving notice that
Letter of Credit is insufficient.
SIXTH: If the CONTRACTOR neglects, refuses, or fails to prosecute the work with
such diligence as to ensure its completion within the time specified, or within such
extensions of said time as have been granted by the City Council, or if the CONTRACTOR
violates or neglects, refuses, or fails to perform satisfactorily any of the provisions of the
plans and specifications, he shall be in default of this agreement and notice in writing of
such default shall be served upon him and upon any Surety in connection with this contract.
The City Council shall have the power, on recommendation of the City Engineer, to
terminate all rights of the CONTRACTOR or his Surety then existing or which thereafter
occur because of such default. The determination by the City Engineer of the question as to
whether any of the terms of the contract or specifications have been violated, or have not
been performed satisfactorily, shall be conclusive upon the CONTRACTOR, his Surety, and
any and all other parties who may have any interest in the contract or any portion thereof.
The foregoing provisions of this section shall be in addition to all other rights and remedies
available to the CITY under law.
SEVENTH: In case suit is brought upon this contract, the CONTRACTOR hereby
agrees to pay to the CITY a reasonable attorney's fee to be fixed by the Court.
EIGHTH: It is further agreed by and between the parties hereto, including the Surety
or Sureties on any Bond attached to this contract, that in the event it is deemed necessary to
extend the time of completion of the work contemplated to be done under this contract, said
extension may be granted by the City Council, either at its own option, or upon request
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of the CONTRACTOR, and shall in no way affect the validity of this contract or release the
Surety of Sureties on any Bond attached hereto.
IN WITNESS THEREOF, the parties hereto for themselves, their heirs, executors,
administrators, successors, and assigns do hereby agree to the full performance of this
agreement and affix their names, titles, and seals this dayas above indicated.
By: Amsted Residuals, LLC
a California Li ted Liability Company
7-
Rick Edwards, Its Manager
(Seal)
Note:
SIGNATURES MUST BE ACKNOWLEDGED
BEFORE A NOTARY PUBLIC.
(ATTACH APPROPRIATE ACKNOWLEDGEMENTS)
By
Myor of the City of Rosemead
Attested
City Cleric of the City of Rosemed
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CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT
State of California
County of lay
before me, /L"/ Ai2, l` ~4~_-C ,
Da a r. I Name and Title of O ~ r (e.g., "Jane Doe. Notary Pubbc
personally appeared
Xpersonally known to me
❑ (or proved to me on the basis of satisfactory evidence)
= 24. WARD
Commission # 1712223
Notary Public - California
Los Angeles County
(awcornmr-0 Jm14,2011
to be the persono whose nam%Xis/are subscribed to the
within instrument and acknowledged to me that
he/she/they executed the same in his/her/their authorized
capacity(iec~, and that by lis/l-fef/th6r signatureA on the
instrument the person(,a'), or the entity upon behalf of
which the person(4 acted, executed the instrument.
WITNESS my hand and official seal.
Place Notary Seal Above
Signature of Notary Public
OPTIONAL
Though the information below is not required by law, it may prove valuable to persons relying on the document
and could prevent fraudulent removal and reattachment of this form to another document.
Description of Attached Document
Title or Type of Document: Z>y
Document Date: _0A7 V & -2- ac 7 Number of Pages:
Signer(s) Other Than Named Above:
Capacity(ies) Claimed by Signer(s)
Signer's Name:
❑ Individual
❑ Corporate Officer - Title(s):
❑ Partner - ❑ Limited ❑ General
❑ Attorney in Fact
❑ Trustee
❑ Guardian or Conservator
❑ Other:
Signer Is Representing:
TOp n! 'hump here
Signer's Name:
❑ Individual
❑ Corporate Officer -
❑ Partner - ❑ Limited
❑ Attorney in Fact
Title(s):
❑ General
❑ Trustee
u Guardian or Conservator
Other:
Signer Is Representing:
Top c f thi,r-b here
2006 Nafionaf Notary Association • 9350 De Soto Ave. PO Box 2402 • Chatsworth. CA 91313-2402 Item No 5907 Reorder Call Toll-Free 1.800.876.6827
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`CITY NATIONAL BANK
DEPTMENT
TREET, 24n' FLOOR
CITY NATIONAL BANK 555ESS..AFLOW R S
LOS ANGELES, CALIFORNIA 90071
The way up.,,, SWIFT ADDRESS: CINAUS6L
" TEL No.(213) 673-8640
ISSUE DATE: JUNE 28, 2007
IRREVOCABLE STANDBY LETTER OF CREDIT NUMBER 070628.OD.4530
BENEFICIARY: CITY OF ROSEMEAD
8838 VALLEY BOULEVARD
ROSEMEAD, CALIFORNIA 91770
ATTN: REY ALFONSA, PUBLIC WORKS DEPARTMENT
APPLICANT: AMSTED RESIDUALS, LLC
1801 CENTURY PARK EAST, SUITE 1080
LOS ANGELES, CALIFORNIA 90067
AMOUNT: USD 96,000.00
NINETY SIX THOUSAND EXACTLY U.S. DOLLARS
EXPIRY DATE AND PLACE: JUNE 30, 2009 AT CITY NATIONAL BANK,
INTERNATIONAL DEPARTMENT, LOS ANGELES, CALIFORNIA
LADIES/GENTLEMEN:
WE HEREBY ESTABLISH OUR IRREVOCABLE STANDBY LETTER OF CREDIT IN
YOUR FAVOR AVAILABLE FOR PAYMENT BY YOUR DRAFT(S) AT SIGHT DRAWN
ON CITY NATIONAL BANK, INTERNATIONAL DEPARTMENT, LOS ANGELES,
CALIFORNIA, AND ACCOMPANIED BY DOCUMENTS AS SPECIFIED BELOW:
1. THIS ORIGINAL STANDBY LETTER OF CREDIT, AND AMENDMENT(S), IF ANY.
2. SIGNED AND DATED STATEMENT BY THE CITY OF ROSEMEAD WORDED AS FOLLOWS:
"THE CITY OF ROSEMEAD CERTIFIES THAT THERE HAS BEEN A FAILURE OF AMSTED
RESIDUALS, LLC TO ADHERE TO THE PROVISIONS OF THAT CERTAIN AGREEMENT ENTERED
INTO BETWEEN THE CITY OF ROSEMEAD AND AMSTED RESIDUALS, LLC COVERING PUBLIC
IMPROVEMENTS FOR PARCEL MAP NO. 068512. THE CITY OF ROSEMEAD FURTHER CERTIFIES
THAT THE DRAFT IN THE AMOUNT OF (INSERT AMOUNT) UNDER CITY NATIONAL BANK
STANDBY LETTERS OF CREDIT NUMBER 070628.OD.4530 ACCOMPANYING THIS STATEMENT IS
NOW DUE AND PAYABLE."
SPECIAL CONDITIONS:
1. PARTIAL DRAWINGS ARE ALLOWED.
2. MULTIPLE DRAWINGS ARE ALLOWED.
EACH DRAFT MUST STATE "DRAWN UNDER LETTER OF CREDIT NO. 070628.OD.4530 OF CITY
NATIONAL BANK, LOS ANGELES, CALIFORNIA."
WE HEREBY ENGAGE WITH YOU THAT ALL DRAFTS DRAWN UNDER AND IN COMPLIANCE WITH
THE TERMS AND CONDITIONS OF THIS LETTER OF CREDIT SHALL BE DULY HONORED IF
PRESENTED FOR PAYMENT AT THE OFFICE OF CITY NATIONAL BANK, INTERNATIONAL
DEPARTMENT, 555 SOUTH FLOWER STREET, 24TH FLOOR, LOS ANGELES, CALIFORNIA 90071
ON OR BEFORE THE EXPIRATION DATE OF THIS LETTER OF CREDIT.
EXCEPT SO FAR AS OTHERWISE EXPRESSLY STATED, THIS LETTER OF CREDIT IS ISSUED
SUBJECT TO THE INTERNATIONAL STANDBY PRACTICES 1998 ("ISP9811), INTERNATIONAL
CHAMBER OF COMMERCE PUBLICATION NO. 590.
AUTH D SIGNATURE
TO MAN YUEN
VICE PRESIDENT
THORIZ SIGNATURE
RON SEF
INTERNATIONAL BANKING OFFICER
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