HomeMy WebLinkAboutAGENDA REPORT 2021 0421 CCSA REG ITEM 10BCITY OF MOORPARK, CALIFORNIA
City Council Meeting
of April 21, 2021
ACTION Approved Staff
Recommendations, Including Resolution
No. 2021-4001 and Resolution No. 2021-
4002. (Roll Call Vote 3-0, Councilmember
Castro Absent, Councilmember Pollock
Abstaining)
BY B.Garza.
B. Consider Resolution Accepting Public Street and Drainage Improvements and
Surety Bond Reductions and Resolution Approving Surety Bond Exoneration for
K. Hovnanian at Meridian Hills, LLC – Tract Nos. 5187-1, 5187-2, and 5405. Staff
Recommendation: 1) Adopt Resolution No. 2021-4001, accepting the completion
of public street and drainage improvement work for Tracts 5187-1, 5187-2, and
5405; and 2) Authorize the City Clerk to reduce surety bond SNO4002559 to
$100,000.00; and 3) Authorize the City Clerk to reduce surety bond SNO4002560
to $100,000.00; and 4) Authorize the City Clerk to reduce surety bond
SNO4002557 to $50,997.54; and 5) Authorize the City Clerk to reduce surety bond
SNO4002558 to $14,994.13; and 6) Adopt Resolution No. 2021-4002, exonerating
surety bond SNO4002556; and 7) Authorize the City Clerk to exonerate the Bonds
as shown in the agenda report and draft resolution. (Staff: Dan Kim)
Item: 10.B.
MOORPARK CITY COUNCIL
AGENDA REPORT
TO: Honorable City Council
FROM: Daniel Kim, Public Works Director/City Engineer
DATE: 04/21/2021 Regular Meeting
SUBJECT: Consider Resolution Accepting Public Street and Drainage
Improvements and Surety Bond Reductions and Resolution
Approving Surety Bond Exoneration for K. Hovnanian at Meridian
Hills, LLC – Tract Nos. 5187-1, 5187-2, and 5405
BACKGROUND
On February 6, 2002, the City Council adopted Resolution No. 2002-1938, approving
Vesting Tentative Tract Map No. 5187 and approving Residential Planned Development
Permit No. 99-02 for the subdivision of approximately 350-acres into 250 single-family
residential units, recreational facilities, storm water detention basins, and the
construction of street and utility infrastructure improvements. The project was
subsequently phased and a separate 17-lot subdivision for Tract 5405 was created for
the construction of affordable single-family homes. Tracts 5187-1, 5187-2, and 5405 is
better known as the Meridian Hills and Brighton Residential Development Project and is
located west of Walnut Canyon Road, approximately one-half mile north of Casey Road.
A Subdivision Improvement Agreement was made and entered by and between the City
and the project developer, K. Hovnanian at Meridian Hills, LLC, for the construction,
installation, and completion of project improvements. As part of this Subdivision
Improvement Agreement, performance and guaranty securities were provided to the
City in the form of surety bonds.
Construction of the street, storm drainage, and grading improvements related to Tract
5187-1, 5187-2, and 5405 have been completed. K. Hovnanian at Meridian Hills, LLC is
now requesting the exoneration and reduction of the surety bonds and to enter the
warranty period of the constructed improvements.
DISCUSSION
K. Hovnanian at Meridian Hills, LLC has requested the exoneration and reduction of
surety bonds for Tracts 5187-1, 5187-2, and 5405. Surety bonds are required by the
City’s Municipal Code and the Subdivision Improvement Agreement to guarantee the
Item: 10.B.
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Honorable City Council
04/21/2021 Regular Meeting
Page 2
construction of the required public and private improvements. The construction of all
public and private improvements is complete. The warranty period for the
improvements ends two years after the date of acceptance for Tract 5187-1 Street and
Storm Drain Improvements and Tract 5187-2 Street and Storm Drain Improvements and
one-year after the date of acceptance for all other surety bonds. As part of City
acceptance, staff recommends the surety bonds to be exonerated or reduced to ten
percent (10%) during the warranty periods.
Surety Type Bond
Number
Original
Bond
Amount
Prior
Authorization
Action
Authorized
Action of
4/21/2021
Performance and
Payment for Tract
5187-1 Street and
Storm Drain
Improvements
Unit 1
SNO4002559 $1,000,000.00 None Reduction to
$100,000.00
(2-year warranty
period)
Grading – Tract
5187
SNO4002556 $1,000,000.00 None Exonerate
Performance and
Payment for Tract
5187-2 Street and
Storm Drain
Improvements
Unit 2
SNO4002560 $1,000,000.00 None Reduction to
$100,000.00
(2-year warranty
period)
Performance and
Payment for
Meridian Hills
Improvements
Tract 5187
(Landscaping)
SNO4002557 $509,975.40 None Reduction to
$50,997.54
(1-year warranty
period)
Performance and
Payment for Tract
5405
SNO4002558 $149,941.34 None Reduction to
$14,994.13
(1-year warranty
period)
Surety Bond
Monuments Tract
5405
SNO4002555 $22,418.23 Exonerated by
the City
Council on
2/17/2021
Exonerated
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Honorable City Council
04/21/2021 Regular Meeting
Page 3
Surety Type Bond
Number
Original
Bond
Amount
Prior
Authorization
Action
Authorized
Action of
4/21/2021
Surety Bond
Monuments Tract
5187-1
SNO4002554 $189,929.87 Exonerated by
the City
Council on
2/17/2021
Exonerated
Surety Bond
Monuments Tract
5187-2
SNO4002553 $167,013.29 Exonerated by
the City
Council on
2/17/2021
Exonerated
Consistent with the Subdivision Improvement Agreements for the tracts, the City
Engineer is authorized to accept as complete the private improvements that are owned
by the individual property owners or a private community association and not dedicated
or owned by the City or other public entity. The Parks and Recreation Director has
confirmed that the landscape improvements within the Landscape Maintenance District
for Tracts 5187-1, 5187-2, and 5405 are in substantial compliance with the approved
landscape architectural plans and are complete. A separate staff report and resolution
will be presented to the City Council on April 21, 2021, regarding the acceptance of the
final phase of the Landscape Maintenance District. Consistent with the Subdivision
Improvement Agreements for the Tract 5187-1, 5187-2, and 5405, the 10% remaining
surety will not be fully exonerated until two years after City Council approval of
completion of public improvements for Tract 5187-1 Street and Storm Drain and Tract
5187-2 Street and Storm Drain and one-year after for all other improvements.
Additionally, as a requirement of the Subdivision Improvement Agreements, the
developer is required to maintain construction insurance policies during the warranty
period.
FISCAL IMPACT
None.
COUNCIL GOAL COMPLIANCE
This action does not support a current strategic directive.
STAFF RECOMMENDATION
1. Adopt Resolution No. 2021-____, accepting the completion of public street and
drainage improvement work for Tracts 5187-1, 5187-2, and 5405; and
2. Authorize the City Clerk to reduce surety bond SNO4002559 to $100,000.00; and
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Honorable City Council
04/21/2021 Regular Meeting
Page 4
3. Authorize the City Clerk to reduce surety bond SNO4002560 to $100,000.00; and
4. Authorize the City Clerk to reduce surety bond SNO4002557 to $50,997.54; and
5. Authorize the City Clerk to reduce surety bond SNO4002558 to $14,994.13; and
6. Adopt Resolution No. 2021-____, exonerating surety bond SNO4002556; and
7. Authorize the City Clerk to exonerate the Bonds as shown in the agenda report
and draft resolution.
Attachment 1: Draft Resolution No. 2021-______
Attachment 2: Draft Resolution No. 2021-______
128
ATTACHMENT 1
RESOLUTION NO. 2021-___
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
MOORPARK, CALIFORNIA, ACCEPTING PUBLIC STREET
AND DRAINAGE IMPROVEMENTS MADE BY
K. HOVNANIAN AT MERIDIAN HILLS, LLC FOR TRACTS
5187-1, 5187-2, AND 5405
WHEREAS, the City Council adopted Resolution No. 2002-1938, approving Vesting
Tentative Tract Map No. 5187 and Residential Planned Development Permit No. 99-02 for
the subdivision of approximately 350-acres into 250 single-family residential lots, detached
single-family residential units, and related improvements; and
WHEREAS, the Tracts 5187-1, 5187-2, and 5405 approved entitlements, including
but not limited to Conditions of Approval for the Tentative Tract Maps and the subdivision
improvement agreements, required construction of certain private and public street and
drainage improvements within the tracts; and
WHEREAS, Section 16.36.010 of the Municipal Code provides that when the City
Engineer determines that the required improvements have been fully completed, the City
Engineer will recommend to City Council that the public improvements be accepted by the
City and that the surety will be reduced to ten percent; and
WHEREAS, the City Engineer/Public Works Director has determined that
K. Hovnanian at Meridian Hills, LLC has completed the required private and public street
and drainage improvements and has recommended that the City Council accept the public
improvements.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF MOORPARK
DOES HEREBY RESOLVE AS FOLLOWS:
SECTION 1. The City Council of the City of Moorpark hereby accepts the
public improvements, including street and drainage improvements required for Tracts
5187-1, 5187-2, and 5405 as complete.
SECTION 2. The City Council of the City of Moorpark hereby reduces surety bond
SNO4002559 to $100,000.00, surety bond SNO4002560 to $100,000.00, surety bond
SNO4002557 to $50,997.54, and surety bond SNO4002558 to $14,994.13.
SECTION 3. The City’s acceptance of the public improvements as complete does
not limit the City’s remedies under general construction defect law, and the subdivider shall
be responsible for the care, repair, and maintenance of the subdivision improvements until
the expiration of the required guarantee and warranty periods for Tract 5187-1, 5187-2, and
5405.
129
Resolution No. 2021-____
Page 2
SECTION 4. The City Clerk shall certify to the adoption of this resolution and
shall cause a certified resolution to be filed in the book of original resolutions.
PASSED AND ADOPTED this 21st day of April, 2021.
Janice S. Parvin, Mayor
ATTEST:
Ky Spangler, City Clerk
130
ATTACHMENT 2
RESOLUTION NO. 2021-___
A RESOLUTION OF THE CITY COUNCIL OF THE CITY
OF MOORPARK, CALIFORNIA, EXONERATING THE
GRADING BOND FOR TRACTS 5187, K. HOVNANIAN AT
MERIDIAN HILLS, LLC
WHEREAS, the City Council adopted Resolution No. 2002-1938, approving Vesting
Tentative Tract Map No. 5187 and Residential Planned Development Permit No. 99-02 for
the subdivision of approximately 350-acres into 250 single-family residential lots and
detached single-family residential units; and
WHEREAS, the City Engineer/Public Works Director accepted the grading
improvements for Tract 5187 and deemed those improvements to be complete; and
WHEREAS, City staff now recommends that the City Council fully exonerate the
grading bond for Tracts 5187.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF MOORPARK
DOES HEREBY RESOLVE AS FOLLOWS:
SECTION 1. The City Council of the City of Moorpark hereby exonerates
Grading Bond Number SNO4002556.
SECTION 2. The City Clerk shall certify to the adoption of this resolution and
shall cause a certified resolution to be filed in the book of original resolutions.
PASSED AND ADOPTED this 21st day of April, 2021.
Janice S. Parvin, Mayor
ATTEST:
Ky Spangler, City Clerk
131