HomeMy WebLinkAboutAGENDA REPORT 2023 0607 CCSA REG ITEM 10ICITY OF MOORPARK, CALIFORNIA
City Council Meeting
of June 7, 2023
ACTION ADOPTED RESOLUTION NO.
2023-4182. (ROLL CALL VOTE:
UNANIMOUS)
BY A. Hurtado.
I. Consider Resolution Exonerating Surety Bond Nos. SNO4002557, SNO4002558,
SNO4002559, and SNO4002560 for Tracts 5187, 5187-1, 5187-2, and 5405, K.
Hovnanian at Meridian Hills, LLC. Staff Recommendation: 1) Adopt Resolution No.
2023-4182, exonerating surety bonds SNO4002557, SNO4002558, SNO4002559,
and SNO4002560; and 2) Authorize the City Clerk to exonerate the bonds as
shown in the agenda report and draft resolution. (Staff: Daniel Kim, City
Engineer/Public Works Director) (ROLL CALL VOTE REQUIRED)
Item: 10.I.
MOORPARK CITY COUNCIL
AGENDA REPORT
TO: Honorable City Council
FROM: Daniel Kim, City Engineer/Public Works Director
DATE: 06/07/2023 Regular Meeting
SUBJECT: Consider Resolution Exonerating Surety Bond Nos. SNO4002557,
SNO4002558, SNO4002559, and SNO4002560 for Tracts 5187,
5187-1, 5187-2, and 5405, K. Hovnanian at Meridian Hills, LLC
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
are 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 s
5187-1, 5187-2, and 5405 are complete and were accepted by the City Council on
April 21, 2021. The warranty period for the improvements is for two-years from the date
of acceptance and K. Hovnanian at Meridian Hills, LLC is now requesting the
exoneration of the surety bonds.
Item: 10.I.
265
Honorable City Council
06/07/2023 Regular Meeting
Page 2
DISCUSSION
Surety bonds are required by the City’s Municipal Code and the S ubdivision
Improvement Agreement to guarantee the construction of the required public and
private improvements. The construction of all public and private improvements is
complete. On April 21, 2021, the City Council adopted Resolution Nos. 2021 -4001 and
2021-4002, accepting the public improvement, and reducing and exonerating surety
bonds related to Tracts 5187-1, 5187-2, and 5405.
Consistent with the Subdivision Improvement Agreements for the tracts, the City
Engineer is authorized to accept as comple te 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
accepted as complete the landscape improvements within the Landscape Maintenance
District for Tracts 5187-1, 5187-2, and 5405. 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 Agree ments, the
developer is required to maintain construction insurance policies during the warranty
period. With the two-year warranty period for the improvements now complete,
K. Hovnanian at Meridian Hills, LLC is requesting the surety bonds to be exonerated.
Staff recommends the following bonds to be exonerated:
Surety Type Bond
Number
Original Bond
Amount
Prior
Authorization
Action
Authorized
Action of
6/07/2023
Performance and
Payment for
Meridian Hills
Improvements
Tract 5187
(Landscaping)
SNO4002557 $509,975.40 Reduced to
$50,997.54 on
4/21/2021
Exonerate
Performance and
Payment for
Tract 5405
SNO4002558 $149,941.34 Reduced to
$14,994.13 on
4/21/2021
Exonerate
266
Honorable City Council
06/07/2023 Regular Meeting
Page 3
Surety Type Bond
Number
Original
Bond
Amount
Prior
Authorization
Action
Authorized
Action of
6/07/2023
Performance and
Payment for
Tract 5187-1
Street and Storm
Drain
Improvements
Unit 1
SNO4002559 $1,000,000.00 Reduced to
$100,000.00 on
4/21/2021
Exonerate
Performance and
Payment for
Tract 5187-2
Street and Storm
Drain
Improvements
Unit 2
SNO4002560 $1,000,000.00 Reduced to
$100,000.00 on
4/21/2021
Exonerate
Grading – Tract
5187
SNO4002556 $1,000,000.00 Exonerated on
4/21/2021
None
Surety Bond
Monuments Tract
5405
SNO4002555 $22,418.23 Exonerated by
the City Council
on 2/17/2021
None
Surety Bond
Monuments Tract
5187-1
SNO4002554 $189,929.87 Exonerated by
the City Council
on 2/17/2021
None
Surety Bond
Monuments Tract
5187-2
SNO4002553 $167,013.29 Exonerated by
the City Council
on 2/17/2021
None
ENVIRONMENTAL DETERMINATION
This action is exempt from the California Environmental Quality Act (CEQA) as it does
not constitute a project, as defined by Section 15378 of the State CEQA Guidelines.
Therefore, no environmental review is required.
267
Honorable City Council
06/07/2023 Regular Meeting
Page 4
FISCAL IMPACT
None.
COUNCIL GOAL COMPLIANCE
This action does not support a current strategic directive.
STAFF RECOMMENDATION (ROLL CALL VOTE REQUIRED)
1. Adopt Resolution No. 2023-____, exonerating surety bonds SNO4002557,
SNO4002558, SNO4002559, and SNO4002560; and
2. Authorize the City Clerk to exonerate the bonds as shown in the agenda report
and draft resolution.
Attachment: Draft Resolution No. 2023-____
268
ATTACHMENT
RESOLUTION NO. 2023-___
A RESOLUTION OF THE CITY COUNCIL OF THE CITY
OF MOORPARK, CALIFORNIA, EXONERATING SURETY
BOND NOS. SNO4002557, SNO4002558, SNO4002559,
AND SNO4002560 FOR TRACTS 5187, 5187-1, 5187-2,
AND 5405, 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 Council approved Final Tract Map No. 5187-1, 5187-2, and
5405; and
WHEREAS, the Tract 5187-1, 5187-2, and 5405 approved entitlements,
including but not limited to Conditions of Approval for the Tentative Tract Map, required
construction of certain private and public street and drainage improvements within the
tract; and
WHEREAS, the City Engineer/Public Works Director accepted the improvements
for Tract 5187-1, 5187-2, and 5405 and deemed those improvements to be complete;
and
WHEREAS, the City Parks and Recreation Director accepted as complete the
landscape improvements within the Landscape Maintenance District for Tracts 5187-1,
5187-2, and 5405; and
WHEREAS, on April 21, 2021, the City Council adopted Resolution No. 2021-
4001, accepting the public improvements required for Tracts 5187-1, 5187-2, and 5405
and reducing surety bond numbers SNO4002557, SNO4002558, SNO4002559, and
SNO4002560 to ten percent; and
WHEREAS, City staff now recommends that the City Council fully exonerate
surety bond numbers SNO4002557, SNO4002558, SNO4002559, and SNO4002560.
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
surety bond numbers SNO4002557, SNO4002558, SNO4002559, and SNO4002560.
269
Resolution No. 2023-____
Page 2
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 7th day of June, 2023.
Chris R. Enegren, Mayor
ATTEST:
Ky Spangler, City Clerk
270