HomeMy WebLinkAboutAgreement A-17-055 with Smith Mountain LLP.pdf 17-0066
Agreement No. 17-055
LAND USE PERMIT PROCESSING AGREEMENT
This Land Use Permit Processing Agreement ("Agreement") dated and made effective
as of September 27, 2016, is entered into by and between the County of Fresno ("County") and
Smith Mountain, LLP, a California limited liability partnership ("Applicant") (each of whom is
referred to individually as a "Party" or collectively as the"Parties").
1. RECITALS
A. Applicant represents that it owns a 20.10 acre parcel ("Parcel 1") and a 37.90
acre parcel ("Parcel 2") of real property located at 11490 Rio Vista Avenue,
Reedley, California (together, Parcel 1 and Parcel 2 are referred to as the
"Property"). The Property is identified by the Fresno County Assessor's Office as
Assessor's Parcel Numbers 393-060-64 and 393-060-65, respectively.
B. Applicant represents that it leases an approximate two (2) acre portion of Parcel
1 to Teen Challenge of Southern California, Inc., a California Nonprofit
Corporation ("Teen Challenge"), which operates a residential educational facility
for high school age children.
C. Applicant represents that it leases the remaining portion of Parcel 1 and all of
Parcel 2 to a private high school, Immanuel Schools (the "School"), which the
School intends to use for a sports complex which will include facilities for
baseball, softball, track and field, tennis, football activities, bleachers, restrooms,
and a "snack shack" serving refreshments (the "Sports Complex"). Applicant
represents that the School would use the Sports Complex for physical education
classes and as grounds on which its sports teams would practice and compete,
D. The Property is located in the Limited Agricultural Zone District ("AL Zone
District") of Fresno County.
E. Section 817.2.G of the County Zoning Ordinance permits private schools of an
elementary or secondary level to be constructed and operated in the AL Zone
District subject to the County's review and approval thereof pursuant to Section
872 of the County Ordinance Code, commonly known as a Director Review and
Approval Permit ("DRA").
F. Applicant represents that Both Parcel 1 and Parcel 2 have included structures
used for elementary or secondary level private schools since at least August 12,
2003, and have been occupied and used by such private elementary or
secondary schools continuously since that date with only a short period in 2014
during which one such school abandoned the Property and the process was
begun to allow Teen Challenge and the School to take possession of the
Property.
G. County Department of Public Works and Planning ("Department") staff charged
with interpreting and enforcing the County Zoning Ordinance have determined
that the Sports Complex is intended to be operated as part of a private
secondary school, and therefore, the County should review the construction and
operation of the Sports Complex to determine if a DRA should be granted to
permit the intended use of the Property, including the Sports Complex.
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H. Prior to such County review of the construction and operation of the Sports
Complex for such DRA, Applicant applied for and received twelve (12) building
permits from the County, to construct certain facilities that would comprise the
Sports Complex. The County has conducted inspections on certain components
of these facilities and signed the inspection record accordingly, but the County
has not issued occupancy permits for any of the facilities.
1. The County has determined that these building permits were issued prematurely
because they were issued prior to Applicant's filing of a DRA Application (as
defined herein) with the County, and County's review thereof and determination
thereon whether to grant a DRA.
J. The Applicant informed the County that Applicant believes that a DRA
Application, and DRA, is not required for it to construct and operate the Sports
Complex.
K. To avoid a legal dispute between the Parties regarding the County's
determination that a DRA is required for Applicant to construct and operate the
Sports Complex, the Parties desire to enter into this Agreement to provide an
orderly process set forth herein for the Applicant to file, and for the County to
review and act on, the DRA Application regarding the Property, including the
Sports Complex.
L. On September 27, 2016, in anticipation of the Parties' execution of this
Agreement, Applicant submitted its DRA Application. That DRA Application is
under review by the County.
NOW THEREFORE, in consideration of the mutual covenants, agreements,
representations, and warranties contained in this Agreement, and other good and valuable
consideration, the receipt and sufficiency of which is hereby acknowledged, the Parties agree as
follows:
II. PURPOSE OF THIS AGREEMENT
The intent of the Parties in entering into this Agreement is to provide for an orderly
process by which the Applicant will file, and the County will review and act on, the DRA
Application for a DRA that would, if granted, govern the permitted use of the Property, including
the Sports Complex. To that end, the County's review of the DRA Application will, as set forth
below, concern the construction and operation of the Sports Complex. The Parties
acknowledge and agree that this Agreement does not bind the County to reach any particular
determination on the DRA Application, and that the County will determine, based on the facts in
the record and applicable legal requirements, including but not limited to, County Ordinance
Code sections 817.2.G and 872, whether to grant the DRA Application and issue a DRA, grant
the DRA Application and issue a DRA subject to conditions, if any, of approval, or deny the DRA
Application and not issue a DRA.
III. APPLICANT'S OBLIGATIONS.
A. Applicant had, heretofore, completed, signed, and filed application for a Director
Review and Approval Permit ("DRA Application")for the Sports Complex with:
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Division Manager
Development Services Division
County of Fresno
Department of Public Works and Planning
2220 Tulare Street, Suite A
Fresno, California 93721
B. The DRA Application shall include a written operational statement which shall
include, but not necessarily be limited to, a description of the:
1 Structures and facilities which Applicant proposes to comprise the
Sports Complex;
2. Daily hours of operation of the Sports Complex;
3. Use of any outdoor lighting;
4. Use of sound amplification equipment;
5. Use of water;
6. Use of septic systems; and
7. Parking for visitors to the Property.
C. Applicant shall cooperate with County staff during the County's processing of the
DRA Application. This obligation shall include providing information, data, and
technical studies, as County staff determines to be necessary to complete an
Initial Study for the Sports Complex and any subsequent environmental studies
for the Project. Applicant shall bear all costs of providing such information, data,
and technical studies to the County. In addition, except for those fees specifically
set forth in Section IV.A of this Agreement, Applicant shall timely remit payment
for all fees required by County to process the DRA Application and any required
environmental studies or determinations.
D. During the period of time that this Agreement is in effect, Applicant shall not
initiate a lawsuit in any court against the County related to the use and enjoyment
of the Property, including the Sports Complex by Applicant, Teen Challenge, or
School.
IV. COUNTYS OBLIGATIONS.
A. County shall waive the following filing fees associated with Applicant's DRA
Application:
1. Department of Public Works and Planning: $6,561.00;
2. Department of Public Health: $770.00; and
3. Agricultural Commissioner: $67.00.
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B. County shall process the DRA Application filed by Applicant in accordance with
the legal requirements applicable to DRA applications, including but not limited to
County Ordinance Code section 872, and the County's normal staffing and
resources; County will not be required to accelerate its processing of the DRA
Application, including expenditure of any overtime by County staff.
C. During the period of time that that this Agreement is in effect, the County shall
not initiate a lawsuit in any court to seek an injunction against the following
activities conducted by Applicant or the School on the Property, so long as such
activities are typically, both in type and duration, undertaken by the School:
1. Football games and practices;
2. Tennis matches and practices;
3. Track and field meets and practices;
4. Baseball games;
5. Softball games and practices; and
6. Such other athletic activities usually and customarily conducted by the
School, provided that no such athletics activities shall occur until
Applicant has filed an amended operational statement that describes
such athletic activities.
V. Term. The term of this Agreement shall commence September 27, 2016, and shall
continue through and including December 31, 2018, unless sooner terminated as
provided herein.
VI. Termination. County may immediately terminate this Agreement if Applicant fails to
comply with its obligations under Section III. Applicant may immediately terminate this
Agreement if County fails to comply with its obligations under Section IV. The provisions
of this Section VI are subject to the provisions of Section VII, below, of this Agreement.
Vfl. Enforcement of Agreement. The Parties desire to strive for a harmonious relationship
under this Agreement. To that end, the Parties acknowledge and agree that a
cooperative approach to the extent provided in this Section VII, reduces the potential for
conflicts, and maximizes a positive result for mutual benefit of the Parties, and for the
benefit of the public. The Parties will make good faith, reasonable efforts toward a
mutually-satisfactory resolution, as provided in this Section VII. Prior to a Party
enforcing any rights under this Agreement, the Parties shall use good faith efforts to
meet, either in person, or through other means, including, but not limited to
teleconferencing, to attempt to resolve any dispute through negotiation by their
designated representatives. If such efforts are not successful within a 30 day period from
commencement, the nonbreaching Party may proceed to the following provisions of this
Agreement. No action for breach of this Agreement shall be brought or maintained until:
(a) the non-breaching Party provides written notice to the breaching Party which sets
forth with particularity the nature of the claimed breach; and (b) within thirty (30) days
after receipt of said notice, the breaching Party fails to cure the claimed breach or, in the
case of a claimed breach which cannot be reasonably remedied within a thirty (30) day
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period, the breaching Party fails to commence to cure the claimed breach within such
thirty (30) day period, and thereafter diligently complete the activities reasonably
necessary to remedy the claimed breach.
Vill. Notices. Any notice, request, or communication required to be given to either Party
under this Agreement shall be given in writing and shall be personally delivered or
mailed by prepaid registered or certified mail to the addresses below:
County of Fresno Clerk to the Board of Supervisors
2281 Tulare Street, Room 301
Fresno, CA 93721-2198
County Counsel
2220 Tulare Street
Suite 500
Fresno, California 93721
Applicant Smith Mountain, LP
P.O. Box 456
Kingsburg, California 93631-0456
Stephen W. Reed, Esq.
301 East Colorado Boulevard
Suite 501
Pasadena, CA 91101
IX. No Third Party Beneficiaries. Notwithstanding anything else to the contrary herein, the
Parties acknowledge and agree that no other person, firm, corporation, or entity
(including the School or Teen Challenge) shall be deemed an intended third-party
beneficiary of this Agreement.
X. Relationship Between Parties. Nothing contained in this Agreement shall create, or be
deemed to create, any relationship of principal-agent, master-servant, employer-
employee, partnership,joint venture, or association between the Parties. The
relationship between the Parties under this Agreement is that of independent
contractors, with each Party at all times acting in an independent capacity from the
other.
X1. Non-Assignment. Neither Party hereto shall assign, transfer, or subcontract this
Agreement nor their rights or duties under this Agreement without the prior written
consent of the other party hereto.
X11. Amendments, Modifications, and Waivers. This Agreement may only be amended or
modified through writing executed by all the Parties. No waiver of any provision of this
Agreement will be valid unless and until it is in writing and signed by the Party making
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the waiver. Waiver by either Party at any time of a breach of this Agreement shall not be
deemed a waiver of or consent to a breach of the same or any other provision of this
Agreement.
XIII. Governing Law and Forum. The Parties agree that for the purposes of venue,
performance under this Agreement is to be in Fresno County, California. The rights and
obligations of the parties and all interpretation and performance of this Agreement shall
be governed in all respects by the laws of the State of California.
XIV. Construction of Agreement. The Parties agree that this Agreement is clear and
unambiguous, and agree that it was drafted by the respective counsel for the Parties at
arms-length. Each Party, and counsel for each Party, has reviewed and revised, or has
had the opportunity to review and revise, this Agreement, and accordingly, any rules of
construction of this State, to the effect that any ambiguities are to be resolved against
the drafting party, shall not be employed in the interpretation of this agreement or any
amendment of it.
XV. Equitable relief. The Parties agree (i) that the performance of the obligations of this
Agreement are paramount, (ii) that, in the event of a breach, legal remedies may provide
inadequate relief, and (iii) that each may seek equitable relief to enforce such
obligations. In the event of litigation to enforce this Agreement, each party shall bear
their own costs and attorney's fees.
XVI. Hold Harmless and Indemnification. Applicant shall save, indemnify, hold harmless
and, at the County's request, defend the County, its officers, agents, and employees
from and against all expenses, demands, liabilities, claims, costs (including but not
limited to court costs and attorney's fees), or damages for the injury to any person or
damage to any personal property occurring or resulting to County, its officers, agents,
and employees, or to the person, organization or entity bringing the cause of action, or
their officers, agents, or employees, arising or resulting from, or in connection with, the
following:
A. any negligent or wrongful act or omission by Applicant, its officers, agents, or
employees, or Applicant's lessee(s), or its officers, agents, employees, or
invitees on the Property, or
B. any use of the Property by Applicant, its officers, agents, or employees, or
Applicant's lessee(s), or its officers, agents, employees, or invitees that is
inconsistent with this Agreement.
When defending the County, Applicant shall pay all attorneys' fees and costs related to
the defense in any action brought against the County or Applicant, except for any fees
and costs incurred by the County in defense of any action. Applicant shall defend the
County through counsel selected by Applicant (including but not limited to in-house
counsel) and shall keep the County fully informed as to the progress of such defense.
The County shall cooperate fully with Applicant in the defense of the claim.
Applicant represents to County that Applicant carries adequate liability insurance to
secure its obligations under this Section XVI.
The provisions of this Section XVI shall survive the termination of this Agreement.
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XVIL Authorized Signatory. Each Party represents and warrants to each other Party that its
signature to this Agreement has the authority to bind the Party, and this Agreement does
in fact bind the Party.
XVI111. Effective Date. This Agreement is effective as of the effective date written in the first
paragraph. Each Party hereby approves and ratifies each and every action taken by its
representatives upon and after the effective date of this Agreement continuing until its
execution by the Party.
XIX Severabillity. In the event any provisions of this Agreement are held by a court of
competent jurisdiction to be invalid, void, or unenforceable, the Parties will use their best
efforts to meet and confer to determine how to mutually amend such provisions with
valid and enforceable provisions, and the remaining provisions of this Agreement will
nevertheless continue in full force and effect without being impaired or invalidated in any
way.
XX Counterparts. This Agreement may be executed in counterparts and when so executed
by the Parties, shall become binding upon them and each such counterpart will be an
original document.
XXI. Binding Effect This Agreement shall be binding upon, and inure to the benefit of, the
successors and assigns of the parties hereto.
XXII. No Conflict Intended. The headings used in this Agreement are intended for the
convenience of the reader only and shall not affect the meaning or interpretation of this
Agreement.
XXIII. Entire Agreement. The Parties acknowledge that this Agreement is signed and
executed without reliance upon any actual or implied promises, warranties or
representations made by any of the Parties or by any representative of any of the
Parties, other than those which are expressly contained within this Agreement. This
Agreement, including the true and correct Recitals above, inclusive of all definitions
contained therein, that are incorporated by reference herein as operative covenants and
specifically relied upon by the Parties in executing this Agreement, constitutes the entire
agreement and understanding among and between the Parties concerning the use of the
Property by Applicant, including School, during the County's processing of the DRA
under this Agreement.
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1H
The parties hereto have executed this Agreement, which is effective as of the day and
year first written above.
SMITH MOUNTAIN, LP COUNTY OF FRESNO
By: RMGK, LLC Its General Partner
A/c// L �L
By: Michael 4ackson, Manager By68i , Chairman
�/ Brian Pacheco
Dated: / 2- & Dated: vi
ATTEST
Bernice E. Seidel, Clerk
Board of Supervisors
By
Deputy
REVIEWED AND COMMENDED FOR
APPROVAL
1
Steven E. White, Ibirector
Department of Public Works and Planning
APPROVED AS TO LEGAL FORM
ON BEHALF OF COUNTY OF FRESNO
Daniel C. Cederborg, County Counsel
Y
Deputy
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