08.k. Well No 11 ProjectMEMORANDUM
TO: CITY COUNCIL
FROM: &" TERESA McCLISH, COMMUNITY DEVELOPMENT DIRECTOR
BY: MIKE LINN, ASSISTANT CITY ENGINEER
SUBJECT: CONSIDERATION OF A RESOLUTION ACCEPTING ACCESS
EASEMENTS AND WELL DEDICATION FOR TRACT 1998 AND A
FIRST AMENDMENT TO CONSULTANT SERVICES AGREEMENT
WITH GARING, TAYLOR & ASSOCIATES FOR THE WELL NO. 11
PROJECT, PW 2010-07
DATE: JUNE 12,2012
RECOMMENDATION:
It is recommended the City Council:
1. Adopt a resolution accepting access easements and a well dedication for Tract
1998; and
2. Authorize the Mayor to execute a First Amendment to Consultant Services
Agreement ("First Amendment") with Garing, Taylor & Associates for the Well
No. 1 1 Project, PW 201 0-07.
IMPACT ON FINANCIAL AND PERSONNEL RESOURCES:
Well improvements and infrastructure will be required to make the well operational for
City use. The Capital Improvement Budget includes $285,200 for design and
construction of the Well No. 11 Project. The First Amendment revives and extends the
term of the Garing, Taylor & Associates $56,480 agreement. The price and scope of
work on the original agreement are unaffected.
BACKGROUND:
The existing well is located on the south side of La Canada Street approximately 800 feet
north of the intersection of James Way was constructed to provide irrigation water for a
development project. The well was constructed in 1992 with a PVC casing that is 6 inches
in diameter and 305 feet deep. The City required dedication of the well as a condition of
approval of Tract 1998.
The Condition of Approval for the well dedication and related well site and access
easements is as follows:
9. WELL DEDICATION AND EASEMENT. Within ninety (90) days of tentative tract
map approval, and by separate written instrument, subject to the prior written
approval of the City Attorney, the applicant shall offer to dedicate to City:
Agenda Item 8.k.
Page 1
CITY COUNCIL
CONSIDERATION OF A RESOLUTION ACCEPTING ACCESS EASEMENTS AND
WELL DEDICATION FOR TRACT 1998 AND A FIRST AMENDMENT TO
CONSULTANT SERVICES AGREEMENT WITH GARING, TAYLOR & ASSOCIATES
FOR THE WELL NO. 11 PROJECT, PW 2010-07
JUNE 12,2012
PAGE 2
a) The existing water well ("we11'3 located in Lot 1, including existing well
infrastructure and appurtenances located within the well easement described
in subsection 6) below; and
6) An easement 16 feet wide and 25 feet deep along La Canada to include the
existing well for the purpose of operating, maintaining, repairing and replacing
the well;
c) An easement 30 feet wide and 40 feet deep on Lot 16 along La Canada and
south of Blossom Valley Road for the purposes of placing additional
infrastructure to extract, treat, store and transport water from the well to the
City's water distribution system;
d) The applicant may reserve from the dedication the right to use untreated
water from this well for construction of the subdivision improvements and
residences. This right to use water for construction purposes shall terminate
upon issuance of a notice of completion for the last residence in the project,
or five years after final tract map approval, whichever is eadier. Applicant, for
itself and for the HOA, may reserve from the dedication the right to use water
from this well for establishment and maintenance of common area
landscaping, including landscaping that is required by the MMRP. This right
to use water for landscaping purposes shall terminate upon successful
completion of the landscaping, mitigation and restoration requirements of the
MMRP.
e) In accordance with subsection d) above, the applicant, for itself, its
successors in interest to the residential lots and for the HOA shall use any
and all well water on and within the boundaries of the subdivision site.
The size, location and configuration of the easement and the placement of
equipment shall not unreasonably interfere or detract from the development of
the lot on which the well will be located.
g) The existing storage tanks will either be removed entirely by the applicant, or
moved by the applicant to a location on the project site approved by the City
that does not interfere with use and enjoyment of the residential subdivision
lots.
h) Applicant is responsible for all costs associated with pumping, treating,
transporting and using well water reserved in subsection d) above, including
the provision of electrical power to the existing well; the applicant is not
responsible for any other utilities or equipment, including treatment
equipment.
On August 24, 2010, in anticipation of the well dedication, the Council awarded a design
contract to Garing, Taylor & Associates to rehabilitate the existing irrigation well and
provide the appropriate treatment facilities for conversion of the well for domestic use.
Agenda Item 8.k.
Page 2
CITY COUNCIL
CONSIDERATION OF A RESOLUTION ACCEPTING ACCESS EASEMENTS AND
WELL DEDICATION FOR TRACT 1998 AND A FIRST AMENDMENT TO
CONSULTANT SERVICES AGREEMENT WITH GARING, TAYLOR & ASSOCIATES
FOR THE WELL NO. 11 PROJECT, PW 2010-07
JUNE 12,2012
PAGE 3
ANALYSIS OF ISSUES:
Staff has successfully negotiated the terms and conditions of the well offer and
dedication with the developer, Taos Holding Corporation. Acceptance of the well
dedication will fulfill Condition of Approval No. 9. The City will provide water produced
by the well for use by the project until the time the construction of subdivision
improvements, residences, and required environmental mitigation are corr~pleted or 5
years after Final Map recordation, whichever is sooner. After that time, owners of the
project will assume regular consumer status for water use from the City.
Although they performed preliminary engineering on Well No. 11, Garing, Taylor &
Associates has been unable to proceed with the project design as it was predicated on
receipt of a formal well dedication. The agreement for Garirrg, Taylor & Associates
expired on September 20, 201 1. The First Amendment will revive the agreement and
extend the contract time to December 31, 2013. All payments shall be verified on a
monthly basis and the pricing shall be based on pre-established terms and hourly rates.
ALTERNATIVES:
The following alternatives are provided for the Council's consideration:
- Approve staffs recommendations;
- Do not accept the recommendations; or
- Provide direction to staff.
ADVANTAGES:
Adoption of the Resolution for the well acceptance and approval of the First Amendment
will enable Garing, Taylor & Associates to continue design efforts to rehabilitate the
existing irrigation well and provide the appropriate treatment facilities for conversion of
the well for domestic use.
DISADVANTAGES:
No disadvantages have been identified.
ENVIRONMENTAL REVIEW:
A determination on the environmental review will be performed by the consultant as part
of the contract.
PUBLIC NOTIFICATION AND COMMENTS:
The Agenda was posted in front of City Hall on Thursday, June 7, 2012. The Agenda
and report were posted on the City's website on Friday, June 8, 2012. No public
comments were received.
Agenda Item 8.k.
Page 3
CITY COUNCIL
CONSIDERATION OF A RESOLUTION ACCEPTING ACCESS EASEMENTS AND
WELL DEDICATION FOR TRACT 1998 AND A FIRST AMENDMENT TO
CONSULTANT SERVICES AGREEMENT WITH GARING, TAYLOR & ASSOCIATES
FOR THE WELL NO. 11 PROJECT, PW 2010-07
JUNE 12,2012
PAGE 4
Attachment:
1. Consultant Services Agreement Amendment No. 1
Agenda Item 8.k.
Page 4
RESOLUTION NO.
A RESOLUTION OF THE CITY COUNCIL OF 'THE CITY OF
ARROYO GRANDE ACCEPTING AN OFFER TO DEDICATE
WATER RIGHTS AND WELL AND RELATED EASEMENTS AND
AGREEMENT FOR THE PROVISION OF CONSTRUCTION
WATER FOR TRACT 1998 (TRACT 01-001)
WHEREAS, an offer to dedicate to the City the water rights and well and related
easements for a municipal water well site has been provided as required to
satisfy the conditions of approval for Tract 1998; and
WHEREAS, the City desires to accept the offer of dedication.
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of
Arroyo Grande hereby accepts an irrevocable and perpetual offer by Taos
Holding Corporation to dedicate water rights, a municipal water well site
easements and related easements, as offered and described by the attached
hereto as Exhibit "A, and which is incorporated herein by this reference.
On motion of Council Member , seconded by Council Member
, and on the following roll call vote, to wit:
AYES:
NOES:
ABSENT:
the foregoing Resolution was passed and adopted this
,2012.
day of
Agenda Item 8.k.
Page 5
RESOLUTION NO.
PAGE 2
TONY FERRARA, MAYOR
ATTEST:
KELLY WETMORE, CITY CLERK
APPROVED AS TO CONTENT:
STEVEN ADAMS, CITY MANAGER
APPROVED AS TO FORM:
TIMOTHY J. CARMEL, CITY ATTORNEY
Agenda Item 8.k.
Page 6
Exhibit "A"
Recording requested by:
CITY OF ARROYO GRANDE
When recorded, return to:
Director of Public Works
300 E. Branch Street
Arroyo Grande, CA 93420
APN: 007-78 1-024
I
SPACE ABOVE LINE FOR RECORDER'S USE ONLY
IRREVOCABLE AND PERPETUAL OFFER TO DEDICATE WATER RIGHTS AND
WELL EASEMENT AND AGREEMENT FOR THE PROVISION OF WATER
THIS OFFER TO DEDICATE WATER RIGI-ITS AND WELL EASEMENT AND
AGREEMENT FOR THE PROVISION OF WATER ("Offer and Agreement"), made this
1 I day of %y , 2012 by and between TAOS HOLDING CORPORATION, a
California coiporation, hereinafter referred to as "Offeror" and the CITY OF ARROYO
GRANDE, a California municipal corporation, hereinafter referred to as "City".
WHEREAS, the Condition #9 of the Conditions of Approval for Tract 1998 (aka Tract
01-001) ("Condition 9") requires the offer of dedication of an easement for the water well
located on Lot 1, including infrastructure, appurtenances, water rights and related easements; and
WHEREAS, the parties recognize that Condition 9 authorizes Offeror to reserve the right
to use water from the well offered for dedication to City for certain on-site construction and
environmental mitigation purposes; and
WHEREAS, the parties have determined that it is more cost effective and efficient for
Offeror to use water provided by the City at no charge through its water conveyance
infrastructure rather than use well water as provided in Condition 9, that such use would not
violate City codes or regulations and therefore, the parties wish to effectuate such an
understanding by this Offer and Agreement; and
WHEREAS, said Offeror desires to offer to dedicate, irrevocably, to the City, a water
well easement, water rights and related easements, which offer may be accepted at any time by
the City based on the terms and conditions set forth herein.
NOW, THEREFORE, in consideration of the mutual covenants and promises set
forth herein, and for good and other valuable consideration, the receipt and sufficiency of which
is hereby aclaowledged, the parties agree as follows:
1. That Offeror is the owner of the real property described on Exhibit "A" attached
hereto and incorporated herein by this reference.
Date: 5/1 OR0 12 flu Agenda Item 8.k.
Page 7
2. That said Offeror does hereby irrevocably and in perpetuity offer to City a dedication
of a) an exclusive easement for the existing well, including any and all right, title and
interest in the currently existing well iufrastructure and appurtenances and the water
rights associated with the existing well, located within Easement Area No. 1 as more
particularly described in Exhibit "B" attached hereto and incorporated herein by this
reference; b) an exclusive easement over the area described as Easeinent Area No. 1
as described in Exhibit "B" hereto for the purpose of operating, maintaining, repairing
and replacing the well; and c) an exclusive easement over the area described as
Easement Area No. 2 as described in Exhibit "B" hereto for the purposes of placing
additional infrastiucture to extract, treat, store and transport water.
3. That said Offeror reserves for itself and any successor in interest to Tract 1998
(including but not limited to Castlerock Development, a California corporation), the
right to the reasonable and beneficial use of City water provided through City's water
infrastructure for the purpose of construction of the subdivision improvements and
residences for Tract 1998 (including without limitation environmental mitigation
purposes). If for any reason, City is unable to provide City water through City's water
infrastructure as contemplated above by this Paragraph 3, then water fiom the subject
well at no charge by City shal.1 be used instead. Offeror's right to City water for such
use shall terminate upon issuance of a notice of completion for the last residence in
Tract 1998, or five years after the final tract map of Tract 1998 is approved by the
City, whichever is earlier. Use of water through City's water irhastructure as defined
above by this Paragraph 3 shall not be subject to any City water conservation
regulation that is inconsistent with the purpose and intent of this section. Further, use
of City water shall be at no cost to the Offeror in any form, including usage rates,
meter costs, treatment costs, capital improvement costs or administrative costs.
4. That said Offeror reserves for itself and its successors in interest to the residential lots
in Tract 1998 (including but not limited to Castlerock Development, a California
corporation) and the homeowners association formed in connection wjth Tract 1998
(the "HOA"), the right to the reasonable and beneficial use of City water, at no cost,
provided through City's water infrastructure for the purpose of establishment and
maintenance of common area landscaping, including landscaping that is required by
the Mitigation, Monitoring and Reporting Program for Tract 1998 ("MMRP"). If for
any reason, City is unable to provide City water through City's water infrastructure as
contemplated by this Paragraph 4, then water fiom the subject well at no charge by
City shall be used instead. Offeror's right to use water for establishment and
maintenance of common area landscaping purposes shall terminate upon successful
completion of the landscaping mitigation and restoration requirements of the MMRP.
Use of water through City's water infrastructure as defined above by this Paragraph 4
shall not be subject to any City water conservation regulation that is inconsistent with
the purpose and intent of this section. Further, use of City water shall be at no cost to
the Offeror in any form, including usage rates, meter costs, treatment costs, capital
improvement costs or administrative costs.
Dote: 5/10/2012 &u Agenda Item 8.k.
Page 8
5. That said Offeror, its successors in interest to the residential lots in Tract 1998
(including but not limited to Castlerock Development, a California colporation), shall
defend and hold City harmless from and against, any and all losses, damages, suits,
and claims arising from or in any way whatsoever related to this Agreement or
Offeror's, or Offeror's contractor's, agent's or employee's use of City's water as
provided herein.
6. The size, location and configuration of the easements described above in Paragraph 2
and the placement of equipment within said easements shall not unreasonably
interfere or detract fiom the develop~nent of the residential lot on which the well and
equipment will be located.
7. The existing on-site storage tanks, in their cun-ent condition, used in connection with
the existing well pump shall be removed entirely by the Offeror (or its successors in
interest in Tract 1998) within ninety (90) days of City's acceptance of this offer of
dedication set fort11 herein. Existing appurtenances used in conuection with the
existing on-site storage tanks, that are within the easements described in Paragraph 2,
are to be abandoned and shall be removed by the Offeror.
8. That said Offeror agrees that said offer of dedication shall be irrevocable and that the
City may, at any time in the future, accept said offer of dedication.
9. That said Offeror agrees that this irrevocable and perpetual Offer and Agreement is
and shall be binding on its heirs, legatees, successors and assigns.
IN WITNESS WHEREOF, this Irrevocable and Perpetual Offer to Dedicate Water Rights
and Well Easement and Agreement for the Provision of Water is hereby executed by the said
Offeror on the day and year first above written.
TAOS HOLDING CORPORATION,
a California corporation
By:
&en Shetler, President
Agenda Item 8.k.
Page 9
EXHIBIT "A"
LEGAL DESCRIPTION OF OFFEROR'S PROPERTY
THE LAND REFERRED TO HEREIN BELOW IS SITUATED IN THE CITY OF ARROYO
GRANDE, COUNTY OF SAN LUIS OBISPO, STATE OF CALIFORNIA AND IS
DESCRIBED AS FOLLOWS:
Parcel 7 of Parcel Map No. 77-1 03, in the City of Arroyo Grande, County of San Luis Obispo,
State of California according to map recorded November 30, 1979 i11 Book 28, Page 85 of Parcel
Maps, in the office of the County Recorder of said County.
Excepting therefrom 50% of all oil, gas, minerals and hydrocarbon substances in and under said
land, provided, however, that the grantors therein, their heirs or assigns or successors in interest,
shall not drill for or develop any such oil, gas, minerals and hydrocarbon substances without the
written consent of the grantees therein, their heirs or assigns, or successors, in interest reserved in
the deed froin Anton Doko, et ux., recorded Apiil 15,1958 in Book 936, Page 21 1 of Official
Records.
Also excepting therefrom 50% of all oil, gas, minerals and hydrocarbon substances in and under
said land, provided, however, that the grantors therein, their heirs or assigns, or successors in
interest, shall not drill for or develop any of such oil, gas, minerals and hydrocarbon substances
without the written consent of the grantees therein, their heirs or assigns, or successors, in
interest reserved in the deed from Frank E. Bosch, et ux., to Anton Doko, et ux., dated April 2,
1958 and recorded April 15,1958 in Book 936, Page 208 of Official Records.
Agenda Item 8.k.
Page 10
EXHIBIT "B"
EASEMENT AREA DESCRIPTION
Sheet 1 of 3
Those portions of Parcel 7 of Parcel Map No. 77-103, in the City of Arroyo Grande, County of
San Luis Obispo, State of California, according to the map recorded November 30, 1979 in Book
28, Page 85 of Parcel Maps, in the ofice of the County Recorder of said County and State,
described as follows:
Easement Area No. 1
Beginning at a centerline well monument at the intersection of La Canada and Rosemary Court,
as shown on said map;
Thence, northerly along the centerline of La Canada, being a curve concave to the northwest
having a radius of 600.00 feet, 293.22 feet through an included angle of 28°00'00", with a chord
having a bearing of North 21 030'00" East and a distance of 290.3 1 feet to a centerline monument
of La Canada which a radial bears South 82°30'00" East;
Thei~ce, leaving said centerline along the prolongation of said radial line, South 82°30'00" East
32.00 feet to the northwesterly comer of said Parcel 7, said coiner being Point of Beginning #I
(POB 1);
Thence, along said radial line, South 82"30'00" East 25.00 feet to a point along the
northwesterly line of Parcel 7;
Thence, leaving said northwesterly line South 07°30'00" West a distance of 16.00 feet;
Thence, North 82"3OY00" West a distance of 25.20 feet to a point on the easterly right-of-way
line of La Canada;
Thence, northerly along said right-of-way line, being a curve concave to the northwest with a
radius of 632.00 feet, 16.002 feet through an included angle of 01 "27'02", with a chord having a
bearing of North 08°13'31" East and a distance of 16.00 feet to Point of Beginning #1 (POBl).
Easement Area No. 2
Beginning at a centerline well monument at the intersection of La Canada and Rosemary Court,
as shown on said map;
Thence, northerly along the centerline of La Canada, being a curve concave to the northwest
having a radius of 600.00 feet, 293.22 feet through an included angle of 28°00'00", with a chord
having a bearing ofNorth 21°30'00" East and a distance of 290.3 1 feet to a centerline monument
of La Canada which a radial bears South 82°30'00" East;
Agenda Item 8.k.
Page 11
CERTIFICATE OF ACKNOWLEDGMENT OF NOTARY PUBLIC
STATE OF CALIFORNIA
COUNTY OF SAN LUIS OBISPO
On ,,, \ \ ,2012, before me, \r34
(here insert name and title of the officer), personally appeared >affh 5ht& 1 gr Y
who proved to me on the basis of satisfactory evidence to be the pelson(+ wliose name@ is/=
subscribed to the within instrument and acknowledged to me that he/*+ executed the same in
hidkertttrelr authorized capacity(k), and that by hidkgFkkeir signature(+ on tlie instrument tlie
person@, or the entity upon behalf of wliich the person&) acted, executed the instrument.
I certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing
paragraph is true and correct.
WITNESS my hand and official seal.
Notary Public
Agenda Item 8.k.
Page 12
Sheet 2 of 3
Thence, leaving said centerline along the prolongation of said radial line, North 82'30'00" West
32.00 feet to the northwesterly comer of said Parcel 7;
Thence, southerly along the easterly right-of-way line of La Canada, being a curve cqncave to
the northwest having a radius of 632.00 feet, 229.99 feet through an included angle of
20'51 '03': with a chord having a bearing of South 17'55'31" West and a distance of 228.73 feet
to a point on said easterly right-of-way line which a radial bears North 61'38'57" West, said
point being the Point of Beginning #2 (POB2);
Thence, South 60'17'22" East a distance of 40.00 feet;
Thence, South 29'42'39" West a distance of 30.00 feet;
Thence, North 60'1 7'22" West a distance of 40.00 feet to a point on the easterly right-of-way
line of La Canada;
Thence, northerly along said right-of-way, being a curve concave to the northwest with a radius
of 632.00 feet, 30.003 feet through an included angle of 02"43'12", with a chord having a
bearing of North 29'42'39'' East and a distance of 30.00' to the Point of Beginning #2 (POB2).
The attached Exhibit "B" Sheet 3 of 3 should be used to assist in retracing the lines of the above
descriptions.
~rofessional &d Surveyor
Lic. No. 6407
Exp. 12-31-10
Agenda Item 8.k.
Page 13
EASEMENT AREA 1
SCALE: N.T.S.
SEE EASEMENT AREA 1 DETAIL
EASTERLY LA CANADA RIGHT-OF-WAY
PTN. PARCEL 7 PER 28-PM-85
SEE EASEMENT AREA 2 DETAIL
R-1 RECORD PER 28-PM-85
\ R-2 RECORD PER 18-MB-19
R-3 RECORD PER 17-MB-78
INDICATES FOUND S'TD.
/
/
EASEMENT AREA 2
SCALE: N.T.S.
Agenda Item 8.k.
Page 14
Attachment 1
CONSULTANT SERVICES AGREEMENT
AMENDMENT NO. 1
This First Amendment ("First Amendment',) to Consultant Services Agreement ("CSA")
by and between the ClTY OF ARROYO GRANDE and GARING, TAYLOR &
ASSOCIATES is made and entered into this day of June 2012.
WHEREAS, the parties entered into a CSA dated September 20, 2010 for the design
and construction services for the Well No. 11 Design Services, Project PW 2010-07;
and
WHEREAS, the parties desire to further modify the CSA as set forth herein.
NOW THEREFORE, for valuable consideration the receipt and sufficiency of which is
acknowledged, the parties agree as follows:
1. Section 1 ("TERM") of the Agreement, shall be modified in its entirety to read as
follows:
This Agreement shall be extended and remain and continue in effect until
December 31, 2013, unless sooner terminated pursuant to the provisions of this
Agreement.
2. Except as modified herein, all other terms and conditions set forth in the CSA, as
amended, shall remain unchanged.
IN WITNESS WHEREOF, ClTY and CONSULTANT have executed this Second
Amendment the day and year first above written.
GARING, TAYLOR & ASSOCIATES
By:
ClTY OF ARROYO GRANDE
By:
Tony Ferrara
Mayor
Agenda Item 8.k.
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Agenda Item 8.k.
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