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HomeMy WebLinkAboutAGENDA REPORT 2018 0418 CCSA REG ITEM 10D CITY OF MOORPARK, CALIFORNIA City of Moorpark of April 18, 2018 Item: 10.D. ACTION Approved staff recommendation By M. _Benson MOORPARK CITY COUNCIL AGENDA REPORT TO: Honorable City Council FROM: Brian Chong, Assistant to the City Manager DATE: April 5, 2018 (CC Meeting of 4/18/2018) SUBJECT: Consider Authorizing the City Manager to Execute an Amendment to the Sustainability Fee Memorandum of Understanding (MOU) between the County of Ventura and City of Moorpark to Extend the MOU to September 30, 2018 BACKGROUND AND DISCUSSION In 2014, the County of Ventura and the City of Moorpark executed a Memorandum of Understanding (MOU) whereby the County would provide to the City a portion of the Sustainability Fees paid by the Simi Valley Landfill and Recycling Center to the County Specifically, the MOU provides the City with $1 ,500,000 to fund the acquisition of open space in the northerly and easterly vicinity of the Moorpark College area, with the funds to be spent by September 30, 2017 In August 2017, the MOU's spending deadline was extended by both parties through December 30, 2017 In December 2017, the deadline was extended a second time through April 30, 2018 On October 18, 2017, the City Council authorized the purchase of 125 acres of open space from Waste Management, located east of Moorpark College immediately north of the 118 Freeway, pending City Council approval of a Purchase and Sale Agreement The project is known as the Moorpark North-East Open Space Property Purchase Project On December 6, 2017, the City Council approved an MOU with Waste Management that outlined terms of both the open space acquisition and a new solid waste franchise agreement between the City and Waste Management Insofar as the two projects are intertwined, staff anticipates bringing a new solid waste franchise agreement and the final open space acquisition matters to the City Council at the same time 247 Honorable City Council April 18, 2018 Regular Meeting Page 2 Since December, progress has continued on the open space acquisition and negotiation of the City’s Purchase and Sale Agreement. The City completed its final Phase 2 environmental study in February and found no unexpected contamination of the site. City and County staff have also completed negotiations on the conservation easement to be given from the City to the County as a condition of the MOU, subject to final approval by the City Council and Board of Supervisors. Staff continues to have discussions with the California Resources Corporation (CRC), who has an existing oil lease on the site, to identify and pre-set “drill islands” where future drilling and extracting infrastructure may be placed. Currently, CRC has a Conditional Use Permit issued by the County of Ventura in 1948 that generally and broadly authorizes CRC to drill anywhere on the site through 2033, without any City discretion as to the specific location on the site. By establishing specific drill islands ahead of time, both CRC and the City will be able to plan accordingly to avoid conflicts between the oil field and public recreation land uses. CRC geologists are working to identify drill island location(s) that will allow CRC to access the oil reserves that they are entitled to access, while also accounting for the City’s interests and intended use of the site (not visible from the 118 Freeway, not adjacent to a trail, etc.). The CRC analysis was substantially delayed as CRC staff was diverted to deal with the Thomas Fire and its aftermath. To ensure that the $1,500,000 in funding for the project remains available, it is necessary to extend the MOU. County staff is recommending that the Ventura County Board of Supervisors approve an extension (Attachment 1) of the MOU through September 30, 2018, and the Ventura County Board of Supervisors is scheduled to consider the extension at its April 17, 2018 meeting. City staff recommends at this time that the City Council authorize the City Manager to execute the extension. FISCAL IMPACT Extending the MOU with the County of Ventura will ensure that the City can expend the $1,500,000 from the County for the Moorpark North-East Open Space Property Purchase Project. STAFF RECOMMENDATION Authorize the City Manager to execute an amendment to the Sustainability Fee Memorandum of Understanding between the County of Ventura and City of Moorpark to extend the MOU to September 30, 2018. Attachment 1: Draft Extension Attachment 2: Sustainability Fee Memorandum of Understanding 248 ATTACHMENT 1 THIRD AMENDMENT TO SUSTAINABILITY FEE MEMORANDUM OF UNDERSTANDING BETWEEN COUNTY OF VENTURA AND CITY OF MOORPARK This Third Amendment (Third Amendment) to the Sustainability Fee Memorandum of Understanding Between County of Ventura (County) and City of Moorpark (City) approved by the County on October 28, 2014 (MOU), is entered into by and between the County and City, and shall become effective upon the date last signed by the parties below. RECITALS WHEREAS, the MOU initially required the City to acquire open space property and/or conservation easements within the Designated Area on or before September 30, 2017, in order to receive payment from the County for this purpose pursuant to the MOU (“Property Acquisition Deadline”); WHEREAS, the County and City previously executed a First Amendment to the MOU extending the Property Acquisition Deadline to December 30, 2017, and a Second Amendment to the MOU extending the Property Acquisition Deadline to April 30, 2018; and WHEREAS, the parties now wish to amend the MOU again by extending the Property Acquisition deadline to July 31, 2018. AGREEMENT NOW, THEREFORE, for good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties agree as follows: 1. The date “April 30, 2018” stated in the amended first paragraph of Section 2 is replaced with the date “September 30, 2018.” 2. The date “April 30, 2018” stated in amended Section 2J. is replaced with the date “September 30, 2018.” 3. The date “May 15, 2018” stated in amended Section 2J. is replaced with the date “October 15, 2018.” 4. Except as expressly amended by this Third Amendment, the MOU shall continue in full force and effect in accordance with its terms. 249 COUNTY OF VENTURA: __________________________________ Date: ________________ CHAIR, BOARD OF SUPERVISORS ATTEST: Michael Powers, Clerk of the Board of Supervisors County of Ventura, State of California. By: ___________________________ Deputy Clerk of the Board CITY OF MOORPARK __________________________________ Date: ________________ 2 250 . ' SUSTAINABILITY FEE MEMORANDUM OF UNDERSTANDING BETWEEN COUNTY OF VENTURA AND CITY OF MOORPARK This Sustainability Fee Memorandum of Understanding (MOU) is entered into by and between the County of Ventura (County) and the City of Moorpark (City) and shall become effective on the date last signed by the parties below. The County and City are collectively referred to herein as "parties" and each individually as "party." RECITALS WHEREAS, on July 19, 2011 , the County and Waste Management of California , Inc . (Waste Management) entered into an Addendum Agreement for a Sustainability Fee at the Simi Valley Landfill and Recycling Center (Landfill) pursuant to which Waste Management agreed to provide County with susta inability fee payments (Sustainability Fees) for certain solid waste and recovered materials received by the Landfill originating from outside the geographic boundaries of the County; and WHEREAS, County is willing to provide a portion of the anticipated Sustainability Fees to City to help fund City's proposed project to construct a sound wall along Los Angeles Avenue (SR 118) and to help acquire open space property or acquire conservation easements in the eastern portion of the City and in a portion of the City 's Area of Interest (collectively the "Designated Area,") as shown on Exhibit A-1 and described on Exhibit A-2 hereto ; and WHEREAS , the parties des ire to memorialize their mutual understanding of these matters in this MOU ; AGREEMENT NOW, THEREFORE, THE PARTIES AGREE AS FOLLOWS: Section 1. The above recitals are incorporated by reference and made a part of this MOU. Section 2. On or before June 30 , 2015 , County agrees to pay City One M illion Five Hundred Thousand Dollars ($1,500 ,000 .00) (Funds) for the acquis it ion of open space and conservation easements on or bj:!fore September 30, 2017 , within the Designated Area , as provided below. A. City shall select the property to be acquired, subject to County 's express written consent which shall not be unreasonably withheld , which may consist of one or more parcels within the Designated Area . Both parties agree that matters related to water rights and oil and natural gas extraction and operations will be cons idered in selection of any property to be ATTACHMENT 1 251 acquired. B. The parties must agree to the purchase price prior to close of escrow for each parcel of property. By mutual agreement of the parties, purchase price may include a separate purchase of mineral rights for the property. Both parties agree to cooperate in accomplishing this task in an expeditious manner. C. In addition to the purchase price for the property or the price to acquire conservation easements, the City shall be entitled to expend the Funds for the City's acquisition costs in an amount not to exceed twenty percent (20%) of the purchase price of each parcel acquired or conservation easement acquired. Acquisition costs are limited to property appraisals, phase 1 and phase 2 environmental studies, CEQA compliance, engineering, legal and real estate services (title insurance, typical closing costs, escrow and commissions) (hereinafter, Acquisition Costs). D. Acquisition may be by fee title or in the form of a conservation easement. If acquisition is in fee title, fee ownership shall be held by City with a conservation easement granted to County pursuant to Section 2.E below. If acquisition is in the form of a conservation easement, such e.asement shall be consistent with Civil Code Section 815. 1 with separate easements granted to City and County . E. After each property is acquired and before City's transfer of any property to an Authorized Transferee pursuant to Section 2.F. below, City shall convey to County, and County shall immediately record in the official records of Ventura County, a permanent conservation easement as defined in Civil Code Section 815 .1 in a form approved by County and City for the purpose of ensuring the acquired property remains as permanent open space and in its then-natural condition. F. After each property is acquired or after each conservation easement is acquired , City, with the prior written consent of County which shall not be unreasonably withheld, may transfer fee title or City's conservation easement to another governmental entity or non-profit entity (Authorized Transferee) as permitted and provided by Civil Code Sections 815.2 (a) and 815.3 so long as the property remains subject to the County's conservation easement and is maintained as permanent open space with no development. G. Neither City nor any Authorized Transferee shall engage in any new oil or natural gas production from any property acquired pursuant to this Section 2 . H. After close of escrow of each property acquired or after the recordation of 2 252 each conservation easement pursuant to this Section 2, City shall, within forty-five (45) days, provide County with a full . accounting and supporting documentation of the purchase price and Acquisition Costs incurred by City (Accounting Date). I. Upon receipt, City agrees to immediately place the Funds in the County of Ventura Investment Pool until such time as all or a portion of said Funds are expended or repaid to the County pursuant to Section 2.J. below. lhe interest earned on the Funds may be used by City in the same manner as the Funds. J. Any Funds not expended by City for purchase prices and Acquisition Costs in accordance with this Section 2 , including any interest accrued on said Funds, shall be repaid to County on the earlier to occur of: (1) sixty (60) days after the Accounting Date following City's acquisition of the last parcel(s) of real property hereunder provided that said parcel(s) is/are acquired on or before September 30, 2017; or (2) October 15, 2017. K. County shall not be responsible for any costs or potential liabilities related to ownership and maintenance of any property acquired pursuant to this MOU, including but not limited to weed abatement, liability risk and insurance, property taxes, and all other fees , costs, liabilities (including but not limited to that arising from oil and gas operations) and assessments. Section 3. In addition to the Funds specified in Section 2 of this MOU, County agrees to contribute to City 's proposed sound wall project as provided below: A The City 's sound wall project shall be to construct a sound wall along any portion of the south side of Los Angeles Avenue (SR 118) between the current western City limits and 150 feet west of Maureen Lane. The sound wall shall be designed to serve as a noise barrier from Los Angeles Avenue traffic and be no less than eight feet (8') high from sidewalk grade. The City shall award a contract to construct the sound wall project no earlier than July 1, 2017, and no later than July 1, 2025. B. Within forty-five (45) days following City's filing of a notice of completion for the sound wall project, City shall provide County with a full accounting and supporting documentation of City's Sound Wall Project Costs as defined below. County shall remit payment to City within forty-five (45) days of County's receipt of said accounting and supporting documentation. County's payment shall not exceed one-half of the Sound Wall Project Costs up to a maximum amount of Five Hundred Thousand Dollars ($500,000 .00). C . Sound wall project costs toward which County will contribute pursuant to this MOU shall only consist of the following: amount of awarded 3 253 construction contract and any City-approved change orders thereto , CEQA compliance, engineering (conceptual design , project design , preparation of plans and specifications, preparation of legal description, contract adm inistration , and project inspection), assessment engineering if an assessment d istrict is proposed for the sound wall whether or not formed , permits , and other costs charged by other governmental entities for the project including but not limited to Caltrans and public utilities , utility relocations , landscap ing and irrigation installation (excluding ongoing maintenance), any items required by Caltrans encroachment permits, and legal services regarding project procurement (collectively, "Sound Wall Project Costs"). Sound Wall Project Costs shall not include any land acquisition-related expenses , fees or costs . Section 4. County , in its sole discretion , may suspend any or all of its obligations under this MOU upon thirty (30) days written notice to City if the validity of the Sustainability Fees is challenged in a legal action against County . County , in its sole discretion , may also term inate any or all of its obligations under this MOU upon thirty (30) days written notice to City if the Sustainability Fees are legally invalidated through judicial or leg islative action that is binding on County . County shall re imburse City for its eligible costs in acquiring property or conse rvation easements under Section 2 and its Sound Wall Project Costs .under Section 3 to the extent incurred by City prior to the effective date of MOU suspension. Except as provided herein , County shall have no other liability to C ity in the event County exercises its right to suspend and/or t erminate its obligations under th is MOU in accordance with this Section 4. Section 5 . Miscellaneous. A. Integrated Agreement. This MOU is an integrated agreement and constitutes the entire understanding of the parties hereto with respect to the subject matter hereof and supersedes any and all prior agreements , communications , representations , or warranties , whether oral or written , by either party or any agent, officer, partner, employee , or representative of either pa rty. B. Amendments. This MOU may not be modified , altered , amended , or rescinded except by an instrument in writing, which is signed by both parties hereto. C . Severab ili ty. Should any part, term or provision of this MOU be declared or determ ined by any court to be illegal or inval id, the validity of the remain ing parts , terms or provisions shall not be affected thereby and said illegal or invalid part, term or provision shall be deemed not to be a part of this MOU. D. Construction. This MOU is the product of negotiation , drafting and preparation by and among the parties and their respective attorneys . The 4 254 parties expressly acknowledge and agree that this MOU shall not be deemed prepared or drafted by one party or another and its attorneys, and will be construed a'ccordingly. Any rule of construction to the effect that ambiguities are to be resolved against the drafting parties shall not apply in the interpretation of this MOU . E. Notices . All notices that are required to be delivered under this MOU in writing shall be personally delivered or sent by overnight mail, registered or certified mail , postage prepaid, or facsimile, as follows : To City : City of Moorpark 799 Moorpark Avenue Moorpark, California 93021 Attention : City Manager Fax : 805-529-8270 To County: County of Ventura 800 South Victoria Avenue #1940 V~ntura, California 93009 Attention: County Executive Office Fax : 805-658-4500 Such addresses may be changed from time to time by the addressee by serving notice as heretofore provided. Service of such notice or demand shall be deemed complete on the date of actual delivery as shown by the addressee 's registry or certification receipt or at the expiration of the third day after the date of mailing (whether or not actually received by the addressee), whichever is earlier in time. F. Governing Law. This MOU is made and entered into in the State of California and shall, in all respects, be interpreted, governed and enforced in accordance with the laws of the State of California applicable to contracts entered into and fully to be performed therein . G . Further Assurances . Each party shall from and after the date hereof execute , acknowledge and deliver such further instruments and perform such additional acts as any other party may reasonably request to effectuate the intent of this MOU. H. Third Party Beneficiaries. No term or provision of this MOU is intended to or shall be for the benefit of any person or entity not a party hereto , and no such other person or entity shall have any right or cause of action hereunder. I. Defense and Indemn ity . City agrees to indemnify, hold harmless and defend at its sole expense , with counsel reasonably acceptable to County , 5 255 any claims, actions, proceedings, demands, judgments, damages, fines and liabilities of whatever nature (Claims and Liabilities) against County and all of County's boards, agencies, departments, officers, employees, agents and volunteers (County Parties) arising from or related to this MOU including but not limited to the acquisition, ownership and maintenance of the open space property and implementation, design and construction of the proposed sound wall project, unless the Claims and Liabilities be caused by the sole negligence or willful misconduct of County Parties. County may, at its sole discretion, participate in the defense of any Claims and Liabilities at County's cost, but such participation shall not relieve City of its obligations under this section. . J. Budgeting. County's obligations to provide funding under this MOU are subject to County's annual budget process and the making of necessary budget appropriations in the fiscal year in which County would pay the obligations, and would receive the benefits of the projects, set forth in this MOU. The obligation of the County to provide funding under this MOU does not constitute an obligation for which County is obligated to levy or pledge any form of taxation or for which County has levied or pledged any form of taxation. Nor do the obligations of County to provide funds under th is MOU constitute an indebtedness of County within the meaning of any constitutional debt limitation or restriction. County shall use reasonable efforts to make such budget decisions and appropriation of funds. Except for the $1,500,000 referenced in Section 2 above, in the event such budget decisions and appropriations do not occur, County may, upon five (5) days written notice to City, terminate this MOU as to that obligation and project. IN WITNESS WHEREOF, the undersigned each has executed this MOU as of the date written below. COUNTY OF VENTURA /~ .. a.. By :~-~-'---~------ CITY OF MOORPARK Date: I 1-1 'I-~{)/ 'f Attachments : Exhibit A-1 and A-2 6 . . 256 \/i a,l le y Thousand City of :M.oorpar~ Legend L- -1 Moorpark Area oflnlerest _ .... Camari llo Area of Interest E:J Fillmor'l Area of Interest [=:! Las Posas Area of Interest .. Plru Area of Interest IT] Simi Valley Area of Interest Thousand Oaks Area of Interest ---Freeway _ ____,.___. Railroad Arroyo Simi Parcels c ..:-J City of Moorpark .. Potential Open Space Designated Area ••m:=:::J Miles 0.4 0 .8 Sources: City or Moorplf1<, Mardi 2014 County of Ventura GIS data . Ma rch 201-i County of Ventere RMA dale Prepared: Marcil 2014 Nole: A capy of the City's Planning Area F1gure is available for download at http://www.mo0fll•r1<oa .gov or for purchase at Moorpark City Hall. 799 Moorpar1<Avenue, Mo0fllar1t , CA9302t . Designated Area in Moorpark and its Area of Interest Updated August 2014 r 257 t C-1 I , .. f Exhibit A-2 Parcels Included in Designated Area in Moorpark and its Area of Interest (Listed by Assessor Parcel Number) 500-0-120-065 500-0-17 0-135 500-0-180-125 ; -135 ; -145 ; -155 ; -165; -175 ; -185 ; -195 ; -205 ; -215 ; -225 ; -235 ; -255 500-0-281-035 ; -045 ; -165 ; -185 ; -195 ; -205 ; -215 ; -465 ; -475 ; -535 ; -545 500-0-292-015 ; -035 ; -135 ; -195 ; -215 ; -225 6 15-0-010-045 615-0-110-165 ; -175 ; -205 ; -215 615-0-150-185 258