Resolution No. 72351
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MI
RESOLUTION NO. 7235
A RESOLUTION OF THE CITY COUNCIL OF THE CITY
OF VERNON APPROVING THE LOAN APPLICATION
SUBMITTED BY D/K ENVIRONMENTAL AND APPROVING
AND AUTHORIZING THE EXECUTION OF: (i) A LOAN
AGREEMENT BY AND BETWEEN THE CITY OF VERNON
AND D/K ENVIRONMENTAL FOR INFRASTRUCTURE
IMPROVEMENTS AT 3650 EAST 26TH STREET; (ii) A
LOAN GUARANTY ON COMMERCIAL, LOAN WITH RESPECT
TO SAID LOAN; AND (iii) A TIG BENEFIT NON-
FINANCIAL EMPLOYMENT PLAN AGREEMENT BY AND
BETWEEN THE CITY OF VERNON AND D/K
ENVIRONMENTAL, ALL PURSUANT TO THE 95-EDBG-390
VERNON INFRASTRUCTURE LOAN PROGRAM
WHEREAS, D/K Environmental submitted an application for
funding of on -site improvements in the amount of Seventy -Three
Thousand Eighteen Dollars and No Cents ($73,018.00); and
WHEREAS, said applicant and project are eligible to
participate in the 95-EDBG-390 Vernon Infrastructure Loan Program
("the Program") in accordance with the Grant Guidelines as
submitted to and approved by the State; and
WHEREAS, the Council recognizes the importance of the
public benefit that is to be accomplished by approving this loan;
and
WHEREAS, the City Council has reviewed the Credit Memo
and Loan Recommendations thereto; and
WHEREAS, the Director of Community Services has
recommended that the City Council find that this project is
Categorically Exempt under the California Environmental Quality
Act (Class 1--Minor Alterations to Land) and Categorically
Excluded under the National Environmental Policy Act (24 C.F.R.
Part 58.35(a)(3)--Rehabilitation of Existing Industrial Buildings
and Improvements); and
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WHEREAS, the City Administrator, acting on the advice of
the City's Loan Advisor Committee has recommended approval of
Y PP
the application.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF
THE CITY OF VERNON AS FOLLOWS:
SECTION 1: The City Council of the City of Vernon
hereby finds and determines that the recitals contained
hereinabove are true and correct.
SECTION 2: The City Council finds and determines that
this project is Categorically Exempt under the California
Environmental Quality Act (Class 1--Minor Alterations to Land) and
Categorically Excluded under the National Environmental Policy Act
(24 C.F.R. Part 58.35(a)(3)--Rehabilitation of Existing Industrial
Buildings and Improvements).
SECTION 3: The loan application submitted by D/K
Environmental, a copy of which has been presented to the City
Council concurrently with this resolution, is hereby approved
contingent upon adherence to the following conditions:
1. D/K Environmental shall obtain and submit to
the City an executed corporate guarantee from its parent
corporation guaranteeing repayment of the loan.
2. An executed note secured by a deed of trust in
the amount of the total CDBG funds shall be provided, said deed of
trust to be in no less than first position on the collateral
property.
3. Liens (City loan included) shall not exceed
sixty percent (60%) of the present appraised value of the real
property ($900,000).
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4. D/K Environmental shall submit an executed loan
agreement and employment agreement.
5. City staff shall ensure that funds are
disbursed only after D/K Environmental's match/equity has been
expended.
SECTION 4: The City Clerk shall send a copy of the
application and a certified copy of this resolution to the State
of California, Department of Housing and Community Development,
addressed as follows: William Andrews, Economic Development
Representative, State of California, Department of Housing &
Community Development, State Community Block Grant Program, Room
390-2, P. O. Box 952054, Sacramento CA 94252-2054. Funding of the
loan is subject to prior approval by the Department of Housing and
Community Development.
SECTION 5: The City Council of the City of Vernon
hereby approves the Loan Agreement, the Loan Guaranty on
Commercial Loan, and the TIG Benefit Non -Financial Employment Plan
Agreement, a copy of which has been presented to the City Council
concurrently with this resolution, and the City Council hereby
orders said Agreements to be received and filed by the City Clerk.
SECTION 6: The City Council of the City of Vernon
hereby authorizes the Mayor and the City Clerk to execute the Loan
Agreement, the Loan Guaranty on Commercial Loan, and the TIG
Benefit Non -Financial Employment Plan Agreement and any and all
documents necessary to complete the funding of this loan.
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1 SECTION 7 The City Clerk of the City of Vernon shall
2 certify to the passage of this resolution, and thereupon and
3 thereafter the same shall be in full force and effect.
4 APPROVED AND ADOPTED this 17th day of November, 1998.
5
LEONIS C. MA BURG, yor
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ATTEST:
9 BRUCE V. MALKENHORST, City Clerk
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1 STATE OF CALIFORNIA )
)ss
2 COUNTY OF LOS ANGELES )
3 I, BRUCE V. MALKENHORST, City Clerk of the City of
4 Vernon, do hereby certify that the foregoing Resolution, being
5 Resolution No. 7235, was duly adopted by the City Council of the
6 City of Vernon at a regular meeting of the City Council duly held
7 on Tuesday, November 17, 1998, and thereafter was duly signed by
8 the Mayor of the City of Vernon.
10 BRUCE V. MALKENHORST, City Clerk
11 (SEAL)
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-5-
SUPPORTING
DOCUMENTS
CERTIFICATE
STATE OF CALIFORNIA )
COUNTY OF LOS ANGELES) ss
CITY OF VERNON )
I, Gloria J. Orosco, Chief Deputy City Clerk of the City of
Vernon, County of Los Angeles, State of California, do hereby
certify that the attached is a true and correct copy of:
RESOLUTION NO. 7235 - A Resolution of the
City Council of the City of Vernon Approving
the'Loan Application Submitted by D/K
Environmental and Approving and Authorizing
the Execution of: (i) A Loan Agreement By and
Between the City of Vernon and D/K
Environmental for Infrastructure Improvements
at 3650 East 26th Street; (ii) A Loan
Guaranty on Commercial Loan with Respect to
Said Loan; and (iii) A TIG Benefit Non -
Financial Employment Plan Agreement By and
Between the City of Vernon and D/K
Environmental, All Pursuant to the 95-EDBG-
390 Vernon Infrastructure Loan Program.
The original of same has been retained in the office of the
City Clerk of the City of Vernon, said offices being in the City
of Vernon, County of Los Angeles, State of California.
IN WITNESS WHEREOF, I have hereunto set my hand and affixed
the Official Seal of the City of Vernon, County of Los Angeles,
State of California, on this 24th day of November, 1998.
oria J. 0 sco
Chief Deput City Clerk
D/K ENVIRONMENTAL
"Recycling For a Cleaner Environment"
This notification is made in accordance with the provisions of
California Code of Regulations, Title 22, section 66270.42(a)(1)(B).
You, and other persons on the D/K Environmental (DKE) facility's
mailing list, are being notified of this Class I Permit Modification.
3650 EAST 26TH STREET ® VERNON, CALIFORNIA 90023 ■ PHONE (323) 268-5056 ■ FAX (323) 268-9672
TIG BENEFIT
NON -FINANCIAL EMPLOYMENT PLAN AGREEMENT
D/K ENVIRONMENTAL
This Agreement, between the City of Vernon ("Lender") and D/K Environmental ("Borrower") will
be used to assure continuing employment opportunities to economically disadvantaged (Target
Income Group) and unemployed residents of the City. Under this Non -Financial Employment
Plan Agreement, the Employer will use the Job Training Agency ("The Private Industry Council")
as its initial resource for recruitment, referral and placement in positions covered herein, but is
not restricted to PIC resources. This Agreement is not a loan agreement.
1. General Terms:
a) -The Lender will provide a low interest Community Development Block Grant
(CDBG) loan for infrastructure improvements. By virtue of this loan, the
Lender expects to retain and realize additional employment
opportunities for lower income and unemployed persons. The Lender
has negotiated a loan with the Employer as follows and as additionally
described in the Loan Agreement (attached):
i. Loan Amount $73,018.00
ii. Interest Rate 5%
iii. Term 7 years
iv. Job Requirement 3.5 full time equivalent jobs created c@ 51% TIG
b) In consideration for the loan described above, the Employer agrees to enter into
this Agreement and agrees to use the PIC as its initial resource for recruitment,
referral and placement services, but understands he/she is not restricted to PIC
resources.
c) The Employer agrees to hire or retain at least one permanent full-time employee
(minimum of 1,750 work hours per year) per $20,000 in CDBG loan funds
received. The jobs shall be provided by December 1, 1998. The employer also
agrees that at least 51 % of all jobs, created as a result of the CDBG loan, will be
filled by members of the Targeted Income Group.
d) It is the Employer's declaration that the business loan described in Section 1.a)
above and in the Loan Agreement will result in additional employment
opportunities as follows:
Number
Anticipated
Expected
of Jobs
Positions (type)
Hiring Date
1
Janitor/Labor
05/01 /98
1
Plant Labor
05/02/98
1
Plant Labor
05/06/98
1
Customer Service
06/29/98
e) The PIC will provide employment, recruitment, referral, and placement services
to the Employer subject to the limitations set out in this Agreement, upon
Employer request.
f) The Lender's employment and training responsibilities under this Agreement,
unless otherwise assigned, will be carried out by the Job Training Agency.
g) This Agreement shall take effect when signed by the parties below. Fulfillment
of all specified job requirements shall be by December 1, 1998.
2. Employment/Recruitment
a) The Employer agrees "covered positions" for the purposes of this Agreement
shall include all Employer's job openings in the City of Vernon created as a
result of internal promotions, termination's, and expansion of Employer's work
force, within the positions listed under Section I (d).
b) At least ten working days prior to anticipated hiring dates, the Employer will
notify the PIC of its needs for new employees in the covered positions; or, if
Employer is hiring on his own behalf, he must provide proof of TIG benefit to the
City. (Proof of employee's household income per self -certification forms.)
Notification shall be by Job Order Form provided by the PIC, and shall include,
but not necessarily be limited to:
i Number of employees requested by job title.
ii. Job description, including minimum qualifications stated in quantifiable
and objective terms.
iii. Work to be performed.
iv Hiring dates.
V. Rates of pay.
vi. Hours of work.
vii. Anticipated duration of employment.
3. Referral
a) The PIC will refer job applicants eligible pursuant to the Job Training Partnership
Act (JTPA) and the Community Development Block Grant (CDBG) regulations to
the Employer in response to the notification of need for new employees
described in Section I (D). The PIC will maintain the documentation of
applicant/employee household income required by the CDBG program, and
provide such information to the City of Vernon.
b) The PIC will screen applicants according to the qualifications agreed upon with
the Employer. If Employer is hiring on his own behalf, he must provide TIG
eligibility documentation to the City.
c) The PIC will notify the Employer of the number of applicants it will refer and
begin making referrals no later than five working days prior to the anticipated
hiring date. The PIC will make every reasonable effort to refer at least one
qualified person(s) for each job opening.
d) In the event that the PIC is unable to refer any or all of the qualified personnel
requested, the Employer will be notified by the PIC. The Employer will then be
free to directly fill remaining positions. In this event, the Employer will make a
good faith effort to hire economically disadvantaged County residents through
additional recruitment techniques in conformance with the terms of the loan and
approved by the Lender. Employer in conjunction with the City's CDBG
Consultant will then be responsible for verifying Targeted Income Group status.
4. Placement
a) If Employer is using PIC for job placement, all decisions on hiring new
employees will be made by the Employer. The Employer agrees to provide
priority consideration to prospective employees for covered positions from the
qualified persons referred by the PIC. If the Employer does not find any of the
persons so referred to qualify for the opening(s), the PIC and City will be
notified.
b) The PIC and the City's CDBG Consultant will monitor job retention and
employment performance of employees placed under the Agreement. The
employer agrees to cooperate fully in these follow-up efforts, and to provide two
times annually hiring summaries for five years after funding, in a form
acceptable to the Lender and the State. This may include, but not be limited to,
copies of employee rosters and payroll and tax information submitted to the
State of California and to the federal government.
c) If the Employer has selected employees from referrals by the PIC, the Council
will not be responsible for the employee's actions and the Employer hereby
releases the PIC of liability.
5. Training
a) The PIC and the Employer may agree to develop additional job training
programs. The training specifications and the cost for such training will be
mutually agreed upon by the Employer and the PIC and covered under a
separate training agreement(s).
6. Controlling Regulations and Laws
a) If this Agreement conflicts with any labor laws or other governmental regulations,
those laws or regulations shall prevail.
b) If this Agreement conflicts with a collective bargaining agreement to which the
Employer is a party, the bargaining agreement shall prevail.
c) The Employer shall not discriminate against any applicant for employment due
to race, religion, age, color, sex, gender, national origin, physical handicap,
sexual preference, or political affiliation.
Indemnification. Assignment. Modification and Renewal
a) The Employer and Lender shall defend and indemnify the PIC and its officers,
agents and employees against and hold the same free and harmless from any
and all claims demands, damages, losses, costs, and/or expenses of liability due
to or arising out of, either in whole or in part, whether -directly or indirectly, the
organization, development, construction, operation, or maintenance of the
Employer's project except for liability arising out of the concurrent or sole
negligence of the PIC, its officers, agents or employees.
b) If, during the term of this Agreement, the Employer should transfer possession of
all or a portion of its business concerns to any other party by lease, sale,
assignment or otherwise, the Employer as a condition of transfer shall require
the party taking possession to agree, in writing, to the terms of this Agreement
and to obtain approval of the Lender. A new, Non -Financial Employment Plan
Agreement shall be executed with the new party prior to the effective date of the
transaction.
c) This Agreement may, upon mutual agreement, be modified in order to improve
the working relationship described herein.
d) The Lender may terminate this Agreement at any time by written notification if
federal, state or local grants are suspended or terminated before or during the
contract period.
8. Acceptance
The Undersigned hereby agrees to terms and conditions listed herein.
EMPLOYER/BORROWER
For D/K Envir nmental:
By: /
Title: 'e
By:
Title: SAW,
LENDER
For City of Vernon:
By:��"��
Title: Leonis C. Malbu[g. Mayor
By:
Title: Bruce V. Malkenhorst, City Clerk
APPROVE AS TO FROM: n
By: c Y \ Jr !� X �/
Title: David B. Brearley, City Attorney
:CORDED/FILED IN OFFICIAL RECORDS
RECRDRS OFFICE
LOS ANGELE/S COUNTY
CALIFORNIA
APR 08 1999
AT 8 A.M.
SPACE ABOVE THIS LINE RESERVED FOR RECORDER S USE
TITLE(S)
FEE
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N/A
N/A
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CODS
REC.
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SURVEY
NOTIF.
INVOL
NON
FEE
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PAGES
TITLES
FEE
MON.
LIEN
CONF.
EXAMINER S INT.
Assessors Identification Number (AIN)
To Be Completed By Examiner Or Title Company In Black Ink
Number of Parcels Shown
•
Revision Number
RECORDING REQUESTED BY:
North American Title
-+ AND WHEN RECORDED MAIL. TO:
_ City ofr6Vernon
4305 Santa Fe Avenue
Vernon;l CA 90058
J).P, FEE. C06p, 20
99 0603359
F,
}PHIS SPACE FOR RECORDER'S USE ONLY:
ESCROW NO. 050329-LB TITLE ORDER NO. 60-01501-62
SHORT FORM DEED OF TI RUST AND ASSIGNMENT OF RENTS -CORPORATION
THIS DEED OF TRUST, made February 5, 1999, between _ 9 A.P. N C�
PAN PACIFIC PETROLOJM COMPANY, INC., a California Corporation, herein called TRUSTOR,
whose address is 3650 E. 26th, Vernon, CA 90023 and
North American Title Company, a California Corporation, herein called TRUSTEE, AND Q
City of Vernon, herein called BENEFICIARY,
WITNESSETH: That Trustor IRREVOCABLY GRANTS, TRANSFERS AND ASSIGNS to TRUSTEE IN TRUST, WITH POWER OF SALE
that Property in Los Angeles County, California, described as:
LEGAL. DESCRIPTION ATTACHED HERETO AS EXHIBIT "A" AND MADE A PART HEREOF
"Should the trustor or his successors in interest, without the consent in writing of the beneficiary, sell, transfer or convey or permit 0
to be sold, transferred or conveyed, his interest in the property, or any part thereof, then the beneficiary may, at his option, declare
all sums secured hereby immediately due and payable."
TOGETHER WITH the rents, issues and profits thereof, SUBJECT, HOWEVER, to the right, power and authority given to and
conferred upon Beneficiary by paragraph (10) of the provisions incorporated herein by reference to collect and apply such rents,
issues and profits.
For the Purpose of Securing: 1. Performance of each agreement of Trustor incorporated by reference or contained herein. 2.
Payment of the indebtedness evidenced by one promissory note of even date herewith, and any extension of renewal thereof, in
the principal sum of $ 73,018.00 executed by Trustor and D/K Environmental Services, Inc., in favor of Beneficiary or order. 3.
Performance of the Corporate Guaranty of even date executed by D/K Environmental Services, Inc., in favor of beneficiary, said
Guaranty being incorporated herein by reference. 4. Payment of such further sums as the then record owner of said property may
borrow from Beneficiary, when evidenced by another note (or notes) reciting it is so secured.
DATED February 11, 1999 SIGNATURE OF TRUSTOR:
STA i E OF CALIFORNIA
COUNTY OF S PAN PA ETROLEUM COMPANY, INC., a
On AFN-�� Califor Ia Cur �Dration
before me, — r -
a Notary Public in 46 a d for said �State, personally appear9 _
personally known to me (or proved to me on the basis of
satisfactory evidence) to be the persor4s) whose name4s
is/2rrg subscribed to the within instrument and acknowledged
to me that he/sasa" +, executed the same in his/I
authorized capacib(i�, and that by his/Par-Ph"_ signature(*
on the instrurnent the person(ist, or the entity upon behalf of
which the person..¢ -►-acted, executed the instrument.
WITNESS my hard and official seal.
Signature
Name (Typed or Printed)
CIRILO E. ESTACIO
ColhnrnbYoct N CW0r'y
Notdy t�lalc -- Cc�ltamia
�` Los Ana" county
qw My Comm. Expires Jun 16, 20M
(This area for official notarial seal)
r
99 9603359
,
'To Protect the Security of This Deed of Trust, Trustor Agrees: By the execution and delivery of this Deed of Trust and the note
secured hereby, that provisions (1) to (14), inclusive, of the fictitious deed of trust recorded in Santa Barbara County and Sonoma
County October 18, 1961, and in all other counties October 23, 1961, in the book and at the page of Official Records in the office
of the county recorder of the county where said property is located, noted below opposite the name of such county, viz.:
County Book Page County Book Page County Book Page County Book Page
Afameda 435 684 Kings 792 833 Placer 895 301 Sierra 29 335
Alpine 1 250 Lake 362 39 Plumas 151 5 Siskiyou 468 181
Amador 104 34 Lassen 171 471 Riverside 3005 523 Solano 1105 182
Butte 1145 1 Los Angeles T2055 899 Sacramento 4331 62 Sono
ma
1851
689
Calaveras 145 152 Madera 810 170 San Benito 271 383 Stanislaus 1715 456
Colusa 296 617 Marin 1508 339 San Bernardino 5567 61 Sutter 572 297
Contra Costa 3978 47 Mariposa 77 292 San Francisco A332 906 Tehama 401 289 `-
Del Norte 78 414 Mendocino 579 530 San Joaquin 2470 311 Trinity 93 366
Eldorado 568 456 Merced 1547 538 San Luis Obispo 1 151 12. Tulare 2294 275
Fresno 4626 572 Pviodcc i 84 851 Sail tiateo r078 420 Tuolumne 135 47
Glenn 422 184 Mono 52 429 Santa Barbara 1878 860 Ventura 2062 386
Humboldt 657 527 Monterey 2194 .538 Santa Clara 5336 341 Yolo 653 245
Imperial 1091 501 Napa 639 86 Santa Cruz 1431 494 Yuba 334 486
Inyo 147 598 Nevada 305 320 Shasta 684 528
Kern 3427 60 Orange 5889 611 San Diego Series 2 Book 1961
Page183887
(which provisions, identical in all counties, are printed on the reverse hereot) hereby are adopted and incorporated herein and made
a part hereof as fully as though set forth herein at length; that he will observe and perform said provisions; and that the references
to property, obligations, and parties in said provisions shall be construed to refer to the property, obligations, and parties set forth
in this Deed of Trust.
The undersigned Trustor requests that a copy of any Notice of Default and of any Notice of Sale hereunder be mailed to him at
DO NOT RECORD
REQUEST FOR FULL RECONVEYANCE
To be used only when note has been paid
To North American Title Company, Trustee: Dated
The undersigned is the legal owner and holder of all indebtedness secured by the within Deed of Trust. All sums secured by said
Deed of Trust have been fully paid and satisfied; and you are hereby requested and directed, on payment to you of any sums
owing to you under the terms of said Deed of Trust, to cancel all evidences of indebtedness, secured by said Deed of Trust,
delivered to you herewith together with said Deed of Trust, and to reconvey, without warranty, to the parties designated by the
terms of said Deed of Trust, the estate now held by you under the same.
MAIL RECONVEYANCE TO:
Do not lose or destroy this Deed of Trust OR THE NOTE which it secures. Both must be
delivered to the Trustee for cancellation before reconveyance will be made.
1
CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT No.5907
�i
State of kl' V'\ \ C�
County of Los n c -0 e
On before me, Lk �s - ,
ATE NAME, TITLE OF OFFICER - E.G., "JANE ijbE, NOTARY P BLIC"
personally appeared T , 6,, -
NAME( OF SIGNER(S�_
L_, personally known to me - OR - ❑ proved to me on the basis of satisfactory evidence
to be the person(;) whose name( is/
subscribed to the within instrument and ac-
knowledged to me that heA&Iie/they executed
the same in his/t•- authorized
capacity(ie*, and that by his/-ker/their
LisNNQQ9ONNIESOON signature(s- -on the instrument the person(-s�,
WayPuble—CaNfoe+Ift or the entity upon behalf of which the
LOS ANGELM COUNTY '
M
ycomm. Ey;*esJUN3M19W 9WperSon(s) acted, executed the instrument.
WITNESS my hand and official seal.
& , _K _jj
SIGNATURE OF NOfARY
OPTIONAL
Though the data below is not required by law, it may prove valuable to persons relying on the document and could prevent
fraudulent reattachment of this form.
CAPACITY CLAIMED BY SIGNER DESCRIPTION OF ATTACHED ElINDIVIDUAL ��, Vv�'V � e�1 0�OCUMENT
TV;-\S+
CORPORATE OFFICER
TITLE(S) TITLE OR TYPE OF DOCUMENT
❑ PARTNER(S) ❑ LIMITED
❑ GENERAL
❑ ATTORNEY -IN -FACT
❑ TRUSTEE(S)
GUARDIAN/CONSERVATOR
❑ OTHER:
SIGNER IS REPRESENTING:
NAME OF PERS (S) OR ENTI S) _
NUKdBER6F PAGES
�(Z�����
DATE OP DOCU ENT
N\z-v\ R
SIGNER(S) OTHER THAN NAMED AB .VE
�Z -Nv� Vz.e� Z
01993 NATIONAL NOTARY ASSOCIATION - 8236 Remmet Ave., P.O. Box 7184 - Canoga Park, CA 91309-7184
99 0603359
"LEGAL DESCRIPTION"
PARCEL 1:
THAT PORTION OF LOT 84 OF THE RANCHO LAGUNA (SO CALLED) IN THE
RANCHO SAN ANTONIO, IN THE CITY OF VERNON, COUNTY OF LOS ANGELES,
STATE OF CALIFORNIA, AS DELINEATED ON A MAP ENTITLED MAP OF THE
RANCHO LAGUNA AND THEREON MARKED WITH THE NAME OF CAVE J. COUTS,
ET AL., FILED AS "EXHIBIT All IN CONNECTION WITH THE REFEREE'S
REPORT IN ACTION NO. B-25296 OF THE SUPERIOR COURT OF THE STATE OF
CALIFORNIA, IN AND FOR THE COUNTY OF LOS ANGELES, AND ATTACHED TO
FINAL DECREE OF PARTITION IN SAID ACTION, A CERTIFIED COPY OF SAID
DECREE BEING RECORDED IN BOOK 6387 PAGE 1, ET SEQ. OF DEEDS, IN
THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY, AND MORE
PAPTICULARI LY DESCRIBED AS FOLLOWS:
BEGINNING AT A POINT IN THE WESTERLY LINE OF SAID LOT 84 THAT
BEARS NORTH 1° 09' 10" WEST 310.87 FEET FROM THE SOUTHWESTERLY
CORNER OF SAID LOT 84; THENCE ALONG THE NORTHERLY LINE OF BANDINI
BOULEVARD, 80 FEET WIDE, AS DESCRIBED IN DEED TO THE CITY OF
VERNON, RECORDED IN BOOK 4762 PAGE 71 OFFICIAL RECORDS, IN THE
OFFICE OF THE COUNTY RECORDER OF SAID COUNTY, SOUTH 73° 27' 55"
EAST 23.71 FEET TO THE NORTHERLY LINE OF THE 80 FOOT STRIP OF LAND
DESCRIBED IN DEED TO LOS ANGELES COUNTY FLOOD CONTROL DISTRICT
RECORDED ON OCTOBER 24, 1940 AS INSTRUMENT NO. 1114 IN BOOK 17888
PAGE 275 OF SAID OFFICIAL RECORDS; THENCE ALONG THE LAST MENTIONED
NORTHERLY LINE SOUTH 76' 03' 21" EAST 164.07 FEET TO THE POINT OF
INTERSECTION WITH THE NORTHEASTERLY LINE OF THAT CERTAIN PARCEL OF
LAND DESCRIBED IN DEED TO THE ATCHISON, TOPEKA AND SANTA FE
RAILWAY COMPANY, DESCRIBED IN DEED TO THE ATCHISON, TOPEKA AND
SANTA FE RAILWAY COMPANY, RECORDED ON NOVEMBER 2, 1955 AS
INSTRUMENT NO. 3324 IN BOOK 49421 PAGE 214 OF SAID OFFICIAL
RECORDS, SAID LAST MENTIONED POINT BEING ON A CURVE CONCAVE TO THE
NORTHEAST, HAVING A RADIUS OF 468.34 FEET, A RADIAL LINE OF SAID
CURVE FROM SAID POINT BEARS NORTH 46' 47' 57" EAST; THENCE
NORTHWESTERLY ALONG SAID CURVE, THROUGH A CENTRAL ANGLE OF 2° 33'
40" AN ARC DISTANCE OF 20.94 FEET TO A POINT IN THE NORTHEASTERLY
LINE OF THAT CERTAIN PARCEL OF LAND DESCRIBED IN PARCEL 2 OF THE
DEED TO THE ATCHISON, TOPEKA AND SANTA FE RAILWAY COMPANY,
RECORDED ON JANUARY 27, 1933 AS INSTRUMENT NO. 736 IN BOOK 11872
PAGE 249 OF SAID OFFICIAL RECORDS; THENCE NORTH 34° 06' 05" WEST
ALONG SAID NORTHEASTERLY LINE 156.23 FEET TO THE BEGINNING OF A
NON TANGENT CURVE THEREIN, CONCAVE NORTHEASTERLY, HAVING A RADIUS
OF 468.34 FEET, -A RADIAL LINE THROUGH SAID BEGINNING OF CURVE
BEARS NORTH 52' 06' 50" EAST; THENCE NORTHWESTERLY ALONG SAID
CURVE, THROUGH A CENTRAL ANGLE OF 1° 13' 22" AN ARC DISTANCE OF
10.00 FEET TO THE TRUE POINT OF BEGINNING; SAID TRUE POINT OF
BEGINNING BEING THE BEGINNING OF A CURVE CONCAVE NORTHEASTERLY,
HAVING A RADIUS OF 350.00 FEET, A RADIAL LINE FROM SAID BEGINNING
99 0603359
OF A CURVE BEARS NORTH.59 57' 47" EAST; THENCE NORTHWESTERLY AND
NORTHERLY ALONG SAID CURVE, THROUGH A CENTRAL ANGLE OF 36 07'
121', AN ARC DISTANCE OF 220.64 FEET TO A POINT IN A LINE WHICH
BEARS SOUTH 76° 03' 2111 EAST AND PASSES THROUGH A POINT IN THE
WESTERLY LINE OF SAID LOT 84 THAT IS DISTANT NORTH 10 09' 10" WEST
638.75 FEET FROM THE SOUTHWESTERLY CORNER OF LOT 84, SAID LAST
MENTIONED POINT BEING MARKED BY A 2 INCH.IRON PIPE; THENCE NORTH
31' 39' 06" EAST 602.45 FEET TO A POINT IN A LINE WHICH IS
PARALLEL WITH AND DISTANT SOUTHWESTERLY 100.00 FEET, MEASURED AT
RIGHT ANGLES FROM THE SOUTHWESTERLY LINE OF EAST TWENTY-SIXTH
STREET (40 FEET IN WIDTH), AS SHOWN ON OFFICIAL MAP OF LOS ANGELES
COUNTY, REGION 48, DIVISION 104 ON FILE IN -BOOK 3 PAGE 27 OF
OFFICIAL MAPS, IN THE OFFICE OF SAID RECORDER, SAID POINT BEING
DISTANT SOUTH 670 57' 55" EAST 207.00 FEET ALONG SAID PARALLEL
LINE FROM THE MOST EASTERLY CORNER OF THE LAND DESCRIBED IN DEED
TO THE ATCHISON, TOPEKA AND SANTA FE RAILWAY COMPANY, RECORDED ON
FEBRUARY 11, 1953 AS INSTRUMENT NO. 79 IN BOOK 40848 PAGE 237
OFFICIAL RECORDS; THENCE NORTH-67° 57' 55" WEST 207.00 FEET TO
SAID MOST EASTERLY CORNER; THENCE ALONG THE SOUTHEASTERLY LINE OF
THE LAND DESCRIBED IN SAID DEED, BEING A CURVE CONCAVE
SOUTHEASTERLY HAVING A RADIUS OF 344.265 FEET (A RADIAL LINE OF
WHICH FROM SAID CORNER BEARS SOUTH 37° 46' 13" EAST),
SOUTHWESTERLY THROUGH A CENTRAL ANGLE OF 37' 28' 5311, AN ARC
DISTANCE OF 225.21 FEET; THENCE CONTINUING ALONG SAID
SOUTHEASTERLY LINE SOUTH 14° 44' 54" WEST 168.21 FEET TO A POINT
IN THE WESTERLY LINE OF SAID LOT 84, SAID POINT BEING THE MOST
SOUTHERLY CORNER OF THE LAND DESCRIBED IN THE LAST MENTIONED DEED;
THENCE SOUTH 1° 09' 10" EAST ALONG THE WESTERLYLINEOF SAID LOT
84, A DISTANCE OF 284.37 FEET TO THE MOST NORTHERLY CORNER OF THE
LAND DESCRIBED IN,PARCEL 2 OF THE ABOVE MENTIONED DEED RECORDED IN
BOOK 11872 PAGE 249 OFFICIAL RECORDS; THENCE SOUTHEASTERLY ALONG
THE NORTHEASTERLY LINE OF THE LAND DESCRIBED IN SAID PARCEL 2 OF
THE LAST MENTIONED DEED, BEING A CURVE, CONCAVE NORTHEASTERLY,
HAVING A RADIUS OF 468.34 FEET, THROUGH A CENTRAL ANGLE OF,23° 16'
43" AN ARC DISTANCE OF 190.28 FEET TO THE TRUE POINT OF
BEGINNING.
EXCEPT THEREFROM THAT PORTION INCLUDED WITHIN THE LAND DESCRIBED
IN PARCEL 8•25, SAID CITY, COUNTY AND STATE AS DESCRIBED IN FINAL
DECREE OF CONDEMNATION IN LOS ANGELES SUPERIOR. COURT CASE NO.
853239, RECORDED MAY 20, 1966 AS INSTRUMENT NO. 2675 IN BOOK D3311
PAGE 414 OFFICIAL, RECORDS IN SAID RECORDER'S OFFICE.
99 0603359
ALSO EXCEPT ALL OIL, GAS AND OTHER MINERALS LYING NOT LESS THAN
500 FEET FROM THE SURFACE OF SAID LAND PROVIDED THAT FIRST PARTY,
ITS SUCCESSORS AND ASSIGNS, SHALL NOT HAVE THE RIGHT TO CO UPON
THE SURFACE OF SAID LAND FOR THE PURPOSE OF EXTRACTING SAID OIL,
GAS AND OTHER MINERALS NOR FOR ANY PURPOSE IN CONNECTION THEREWITH
BUT SHALL HAVE THE RIGHT TO EXTRACT AND REMOVE SAID OIL, GAS AND
OTHER MINERALS BY MEANS OF SLANT DRILLED WELLS LOCATED ON ADJACENT
OR NEARBY LAND OR BY ANY OTHER MEANS WHICH SHALL NOT REQUIRE ENTRY
UPON THE SURFACE OF SAID LAND AS EXCEPTED AND RESERVED BY SIGNAL
OIL AND GAS COMPANY IN DEEDS RECORDED IN BOOK 36274 PAGE 170 AND
RECORDED AUGUST 14, 1961 AS INSTRUMENT NO. 3401 IN BOOK D1320 PAGE
966, BOTH OF OFFICIAL RECORDS.
PARCEL 2:
AN EXCLUSIVE EASEMENT FOR THE ONE SPUR TRACK AND FOR A ONE RIGHT
OF WAY FOR INGRESS AND EGRESS BETWEEN TWENTY SIX STREET AND PARCEL
1 ABOVE DESCRIBED, OVER THAT PORTION OF SAID LOT 84, AS DESCRIBED
IN DEED RECORDED JUNE 201 1925 AS INSTRUMENT NO. 161 IN BOOK 3883
PAGE 236 OFFICIAL RECORDS, LYING WITHIN A STRIP OF LAND 35 FEET IN
WIDTH, THE NORTHWESTERLY LINE OF SAID 35 FOOT STRIP OF LAND BEING
DESCRIBED AS FOLLOWS:
BEGINNING AT A POINT ON THE SOUTHERLY LINE OF THAT CERTAIN
PROPERTY DESCRIBED IN DEED RECORDED IN SAID BOOK 3993 PAGE 236
OFFICIAL RECORDS, DISTANT THEREON SOUTH 67° 57' 55" EAST 64.00
FEET FROM THE NORTHERLY TERMINUS OF THAT CERTAIN CURVE CONCAVE
SOUTHEASTERLY, HAVING A RADIUS OF 344.265 FEET AND A LENGTH OF
225.21 FEET AS DESCRIBED IN DEED TO THE ATCHISON, TOPEKA AND SANTA
FE RAILWAY COMPANY, RECORDED IN BOOK 40949 PAGE 237 OFFICIAL
RECORDS; THENCE FROM SAID POINT OF BEGINNING, NORTHEASTERLY IN A
DIRECT LINE TO A POINT ON THE SOUTHERLY LINE OF EAST 26TH STREET,
40 FEET IN WIDTH, DISTANT THEREON EASTERLY 6.00 FEET FROM THE
INTERSECTION OF SAID SOUTHERLY LINE OF EAST 26TH STREET AND THE
NORTHEASTERLY, PROLONGATION OF THAT SAID CERTAIN CURVE, UPON THE
TERMS, COVENANTS AND CONDITIONS SET FORTH IN AND RESERVED BY X. Y.
FLETCHER IN DEED RECORDED IN BOOK 3465 PAGE 118, OFFICIAL RECORDS
AND IN BOOK 3993 PAGE 236 OFFICIAL RECORDS.
PARCEL 3:
THAT PORTION OF LOT 84 OF THE RANCHO LAGUNA (SO CALLED) IN THE
RANCHO SAN ANTONIO, IN THE CITY OF VERNON, COUNTY OF LOS ANGELES,
STATE OF CALIFORNIA, AS DELINEATED ON A MAP ENTITLED MAP OF THE
RANCHO LAGUNA AND THEREON MARKED WITH THE NAME OF CAVE J. COUTS,
ET AL., FILED AS 11EXHIBIT All IN CONNECTION WITH THE REFEREE'S
REPORT IN ACTION NO. B-26296 OF THE SUPERIOR COURT OF THE STATE OF
CALIFORNIA, IN AND FOR THE COUNTY OF LOS ANGELES, AND ATTACHED TO
FINAL DECREE OF PARTITION IN SAID ACTION, A CERTIFIED COPY OF SAID
DECREE BEING RECORDED IN BOOK 6387 PAGE 1, ET'SEQ. OF DEEDS, IN
THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY, AND MORE
PARTICULARLY DESCRIBED AS FOLLOWS:
99 0603359
BEGINNING AT A POINT IN THE WESTERLY LINE OF SAID LOT 84 THAT
BEARS NORTH 10 09' 10" WEST 310.87 FEET FROM THE SOUTHWESTERLY
CORNER OF SAID LOT 84; THENCE ALONG THE NORTHERLY LINE OF BANDINI
BOULEVARD, 80 FEET WIDE, AS DESCRIBED IN DEED TO THE CITY OF
VERNON, RECORDED IN BOOK 4762 PAGE 72 OFFICIAL RECORDS, IN THE
OFFICE OF THE COUNTY RECORDER OF SAID COUNTY, SOUTH 73° 27' 5511
EAST 23.71 FEET TO THE NORTHERLY LINE OF THE 80 FOOT STRIP OF LAND
DESCRIBED IN DEED TO LOS ANGELES COUNTY FLOOD CONTROL DISTRICT
RECORDED ON OCTOBER 24, 1940 AS INSTRUMENT NO. 1114 IN BOOK 1788
PAGE 275 OF SAID OFFICIAL RECORDS; THENCE ALONG THE LAST MENTIONED
NORTHERLY LINE SOUTH 76° 03' 2111 EAST 164.07 FEET TO THE POINT OF
INTERSECTION WITH THE NORTHEASTERLY LINE OF THAT CERTAIN PARCEL OF
LAND DESCRIBED IN DEED TO THE ATCHISON, TOPEKA AND SANTA FE
RAILWAY COMPANY, DESCRIBED IN DEED TO THE ATCHISON, TOPEKA AND
SANTA FE RAILWAY COMPANY, RECORDED ON NOVEMBER 2, 1955 AS
INSTRUMENT NO. 3324 IN BOOK 49421 PAGE 214 OF SAID OFFICIAL
RECORDS, SAID LAST MENTIONED POINT BEING ON A CURVE CONCAVE TO THE
NORTHEAST, HAVING A RADIUS OF 468.34 FEET, A RADIAL LINE OF SAID
CURVE FROM SAID POINT BEARS NORTH 46' 47' 5711 EAST; THENCE
NORTHWESTERLY ALONG SAID CURVE, THROUGH A CENTRAL ANGLE OF 2° 33'
4011 AN ARC DISTANCE OF 20.94 FEET TO A POINT IN THE NORTHEASTERLY
LINE OF THAT CERTAIN PARCEL OF LAND DESCRIBED IN PARCEL 2 OF THE
DEED TO THE ATCHISON, TOPEKA AND SANTA FE RAILWAY COMPANY,
RECORDED ON JANUARY 27, 1933 AS INSTRUMENT NO. 736 IN .BOOK 11872
PAGE 249 OF SAID OFFICIAL RECORDS; THENCE NORTH 34' 06' 0511 WEST
ALONG SAID NORTHEASTERLY LINE 156.23 FEET TO THE BEGINNING OF A
NON TANGENT CURVE THEREIN, CONCAVE NORTHEASTERLY, HAVING A RADIUS
OF 468.34 FEET, A RADIAL LINE THROUGH SAID BEGINNING OF CURVE
BEARS NORTH 52' 06' 5011 EAST; THENCE NORTHWESTERLY ALONG SAID
CURVE, THROUGH A CENTRAL ANGLE OF 1° 13' 22" AN ARC DISTANCE OF
10.00 FEET TO THE TRUE POINT OF BEGINNING; SAID TRUE POINT OF
BEGINNING BEING THE BEGINNING OF A CURVE CONCAVE NORTHEASTERLY,
HAVING A RADIUS OF 350.00 FEET, A RADIAL LINE FROM SAID BEGINNING
OF A CURVE BEARS NORTH 59° 57' 4711 EAST; THENCE NORTHWESTERLY AND
NORTHERLY ALONG SAID CURVE, THROUGH A CENTRAL ANGLE OF 36° 07'
1201, AN ARC DISTANCE OF 22.0.64 FEET TO A POINT IN A LINE WHICH
BEARS SOUTH 76` 03' 21" EAST AND PASSES THROUGH A POINT IN' THE
WESTERLY LINE OF SAID LOT 84 THAT IS DISTANT NORTH 1° 09' 1.011 WEST
638.75 FEET FROM THE SOUTHWESTERLY CORNER OF LOT 84, SAID LAST
MENTIONED POINT BEING MARKED BY A 2 INCH IRON PIPE; THENCE NORTH
31' 39' 06" EAST 14.83 FEET TO A POINT, SAID POINT BEING THE
BEGINNING OF A NON -TANGENT CURVE CONCAVE NORTHEASTERLY, HAVING A
RADIUS OF 328.27 FEET, A RADIAL LINE THROUGH SAID BEGINNING OF
CURVE BEARS SOUTH 79' 33' 5011 EAST; THENCE SOUTHERLY AND
SOUTHEASTERLY ALONG SAID CURVE, THROUGH A CENTRAL ANGLE OF 33° 41'
16t1, AN ARC DISTANCE OF 193.01 FEET;_THENCE SOUTH 24° 04' 2811 EAST
39.27 FEET TO THE TRUE POINT OF BEGINNING.
EXCEPT 'THEREFROM THAT PORTION INCLUDED WITHIN THE LAND DESCRIBED
IN PARCEL 8-25, IN SAID CITY, COUNTY AND STATE AS DESCRIBED IN
FINAL DECREE OF CONDEMNATION IN LOS ANGELES SUPERIOR COURT CASE
NO. 853239, RECORDED MAY 20, 1966 IN BOOK D3311 PAGE 414 OFFICIAL
RECORDS IN SAID RECORDERS OFFICE.
99 0603359
ALSO EXCEPT ALL OIL, GAS AND OTHER MINERALS UNDERLYING SAID LAND,
TOGETHER WITH THE RIGHT TO ENTER SAID LAND FOR THE PURPOSE OF
DRILLING SAID LAND AND EXPLORING FOR AND DEVELOPING SAID
SUBSTANCES ON AND FROM SAID LAND AND TOGETHER WITH NECESSARY
EASEMENTS FOR INGRESS AND EGRESS AND FOR PIPE LINES AND POLE
LINES, AS RESERVED BY SIGNAL OIL AND GAS COMPANY, A CORPORATION,
IN DEED RECORDED MAY 14, 1951 IN BOOK 36274 PAGE 170, OFFICIAL
RECORDS.
99 0,60 3359
1
DO NOT RECORD
The following is a copy of provisions (1) to (14), inclusive, of the fictitious deed of trust, recorded in each county in California, as stated in
the foregoing Deed of Trust and incorporated by reference in said Deed of Trust as being a part thereof as if set forth at length therein.
To Protect the Security of This Deed of Trust, Trustor Agrees:
To keep said property in good condition and repair; not to remove or demolish any building thereon; to complete or restore promptly and
in good and workmanlike manner any building which may be constructed, damaged or destroyed thereon and to pay when due all claims for
labor performed and materials furnished therefor; to comply with all laws affecting said property or requiring any alterations or improvements
to be made thereon; not to commit or permit waste thereof; not to commit, suffer or permit any act upon said property in violation of law; to
cultivate, irrigate, fertilize, fumigate, prune and do all other acts which from the character or use of said property may be reasonably
necessary, the, specific enumerations herein not excluding the general.
2. To provide, maintain and deliver to Beneficiary fire insurance satisfactory to and with loss payable to Beneficiary. The arrrount collected
under any fire or other insurance policy may be applied by Beneficiary upon any indebtedness secured hereby and in such order as
Beneficiary may determine, or at option of Beneficiary the entire amount so collected or any part thereof may be released to Trustor. Such
application or release shall not cure or waive any default or notice of default hereunder or invalidate any act done pursuant to such notice.
3. To appear in and defend any action or proceeding purporting to affect the security hereof or the rights or powers of Beneficiary or
Trustee; and to pay all costs and expenses, including cost of evidence of title and attortey's fees in a reasonable sum, in any such action or
proceeding in which Beneficiary or Trustee may appear:, and in any suit brought by Beneficiary to foreclose this Deed.
4. To pay; at least ten days before delinquency all taxes and assessments affecting said property, including assessments on appurtenant
water stock; when due, all encumbrances, charges and liens, with interest, on said property or any part thereof, which appear to be prior or
superior hereto; all costs, fees and expenses of this Trust.'
Should Trustor fail to make any payment or to do any act as herein provided, then Beneficiary or Trustee, but without obligation so to do
and without notice to or demand upon Trustor and without releasing Trustor from any obligation hereof, may: make or do the same in such
manner and to such extent as either may deem necessary to protect the security hereof,; Beneficiary or Trustee being authorized to enter
Upon said property for such purpose; appear in and defend any action or proceeding purporting to affect the security hereof or the rights or
powers of Beneficiary or Trustee; pay, purchase, contest or compromise any incumbrance, charge or lien which in the judgement of either
appears to be prior or superior hereto; and, in exercising any such powers, pay necessary expenses, employ counsel and pay his reasonable
fees
b. To pay immediately and without demand all sums so expended by Beneficiary or Trustee, with interest from date of expenditure at the
amount allowed by law in effect at the date hereof, and to pay for any statement provided for by law in effect at the date hereof regarding
the obligation secured hereby any amount demanded by the Beneficiary not to exceed the maximum allowed by law at the time when said
statement is demanded.
6. That any award of damages in connection with any condemnation for public use of or injury to said property or any part thereof is hereby
assigned and shall be paid to Beneficiary who may apply or release such moneys received by him in the same manner and with the same
effect as above provided for disposition of proceeds of fire'or other insurance.
7. That by accepting payment of any sum secured hereby after its due date, Beneficiary does not waive his right either to require prompt
payment when due of all other sums so secured or to declare default for failure sotto pay.
8. That at any time or from time to time, without liability therefor and without notice, upon written request of Beneficiary and presentation
of this Deed and said note for endorsement, and without affecting the personal liability of any person for payment of the indebtedness
secured hereby, Trustee may: reconvey any part of said property; consent to the making of any map or plat thereof; join in granting any
easement thereon; or join in any extension agreement or any agreement subordinating the lien or charge hereof.
9. That upon written request of Beneficiary stating that all sums secured hereby have been paid, and upon surrender of this Deed and said
note to Trustee for cancellation and retention and upon payment of its fees, Trustee shall reconvey, without warranty, the property then
held hereunder. The recitals in such reconveyance of any matters or facts shall be conclusive proof of the truthfulness thereof. The grantee
in such reconveyance may be describe as "the person or persons legally entitled thereto." Five years after issuance of such full
reconveyance, Trustee may destroy said note and this Deed (unless directed in such request to retain tnem).
10. That as additional security, Trustor hereby gives to and confers upon Beneficiary the right, power and authority, during the continuance
of these Trusts, to collect the rents, issues and profits of said property, reserving unto Trustor the right, prior to any default by Trustor in
payment of any indebtedness secured hereby or in performance of any agreement hereunder, to collect and retain such rents, issues and
profits as they become due and payable. Upon any such default, Beneficiary may et any without notice, either in person, by agent, or
by a receiver to be appointed by a court, and without regard to the adequacy of PnV security for the indebtednessherebysecured, enter
upon and take possession of said property or any part thereof, in his own name sue for or otherwise collect such rents, issues and profits,
including these past due and unpaid, and apply the same, less costs and expenses of operation and collection, including reasonable
attorney's fees, upon any indebtedness secured hereby, and in such order as Beneficiary may determine. The entering upon and taking
possession of said property; the collection of such rents, issues and profits and the application thereof as aforesaid, shall not cure or waive
any default or notice of default hereunder or invalidate any act done pursuant to such notice.
11 . That upon default by Trustor in payment of any indebtedness secured hereby or in performance of any agreement hereunder,
Beneficiary may declare all sums secured hereby irnmediate!y due and payable by delivery to Trustee of written declaration of default and
demand for sale and of written notice of default and of election to cause to be soldsaid, property, which notice Trustee shall cause to be
filed for record. Beneficiary also shall deposit with Trustee this Deed, said note and all documents evidencing expenditures secured hereby.
After the i { t req lafollowing . - f .tom
_ apse of such trmN as may ,nen'1- ,�.rtr?d by".ar✓ the recordation of said notice o� de�,.ult, and notice of sale having
been given as then required by law, Trustee, without demand on Trustor, shall sell said property at the time and place fixed by it in said
notice of sale, either as a whole or in separate parcels, and in such order as it may determine, at public auction to the highest bidder for
cash in lawful money of the United States, payable at time of sale. Trustee may postpone sale of all or any portion of said property by
public announcement at such time and place of sale, and from time to time thereafter may postpone such sale by public announcement at
the time fixed by the preceding postponement. Trustee shall deliver to such purchaser its deed conveying the property so said, but without
any covenant or warranty express or implied. The recitals in such deed of any matters or facts shall be conclusive proof of the truthfulness
thereof. Any person, including Trustor, Trustee, or Beneficiary as hereinafter defined, may purchase at such sale.
After deducting all costs, fees and expenses of Trustee and of this trust, including cost of evidence of title in connection with sale,
Trustee shall apply the proceeds of sale to payment of; all sums expended under the terms hereof not then repaid, with accrued interest at
the amount allowed by law in effect at the date hereof; all other sums then secured hereby; and the remainder, if any, to the person or
persons legally entitled thereto.
12. Beneficiary, or any successor in ownership of any indebtedness secured hereby„may, from time to time, by instrument in writing,
substitute a successor or successors to any Trustee named herein or acting hereunder, which instrument, executed by the Beneficiary and
duly acknowledged and recorded in the office of the recorder of the county or counties where said property is situated, shall be conclusive
proof of proper substitution of such successor Trustee or Trustees, who shall without conveyance from the Trustee predecessor, succeed to
all its title, estate, rights, powers and duties. Said instrument must contain the name of the original Trustor, Trustee and Beneficiary
hereunder, the book and page where this Deed is recorded and the name and address of the new Trustee.
13. That this Deed applies to inures, to the benetit of, and binds all parties hereto, their, heirs, legatees, devisees; administrators, executors,
successors and assigns. The term Beneficiary shall mean the owner and holder, Including pledgees, of the note secured hereby whether, or
not named as Beneficiary herein. In this Deed, whenever the context so requires, the masculine gender includes the feminine and/or neuter,
and the singular number includes the plural.
14. That Trustee accepts this Trust when this Deed, duly ex opted and acknowledged, is made a public record as provided by law. Trustee
is not obligated to notify any party hereto of pending sale under any other Deed of rust or of any action or proceeding in which Trustor,
Beneficiary or Trustee _hall be a party unless brought by Trustee.
q�os
LOAN AGREEMENT
This Agreement is made and entered into this $Y� day of , 199 _2_ by and between
the City of Vernon, a municipal corporation (hereafter the "L der") and D/K Environmental
hereafter the 'Borrower").
WHEREAS,
The Borrower has applied to the Lender for a loan for the purpose of helping to finance
infrastructure improvements for a TSDF treatment, storage and disposal facility located at 3650
East 26tn Street in the City of Vernon which will result in the creation of jobs; and
WHEREAS,
The Borrower has read and agrees to comply with all restrictions and requirements of the loan
contained in this Agreement and attached Exhibits, which are incorporated herein by reference;
and
WHEREAS,
The Lender is willing to make such a loan to the Borrower on the terms and conditions hereafter
set forth.
NOW, THEREFORE,
In consideration of the mutual covenants and agreements contained herein, the parties hereto
agree as follows:
THE LOAN
a. Loan/Note:
Subject to the terms and conditions of this Agreement, the Lender hereby agrees
to lend the Borrower, and the Borrower hereby agrees to borrow from the Lender
and repay the Lender, the amount of $73,018.00 (hereinafter called "Loan").
The obligation of the Borrower to repay the Lender shall be evidenced by the
promissory note (hereafter the "Note") of the Borrower in a form satisfactory to
the Lender dated the date on which the Loan is funded (hereafter known as the
"Closing Date") payable to the order of the Lender for the amount of the Loan
with interest on the unpaid principal in the amount of $73,018.00, and secured by
a Deed of Trust on the subject property and a corporate guarantee to the City of
Vernon.
b. Terms and Repayment:
The term of the Loan shall be for seven (7) years from the date the funds are
scheduled for disbursement. The Note shall be repayable in equal monthly
installments. The first monthly installment shall be due and payable on the first
day of the month after the date of document execution. All payments shall be
applied first to interest and then to principal. All payments will be made promptly
to the Lender at the address specified by the lender. Prepayment of the loan is
allowable with no prepayment penalty.
The interest rate on the principal amount of the loan shall be five percent (5%)
per annum.
C. Purpose:
The purpose of the Loan is to help finance infrastructure improvements that will
result in the creation of jobs.
d. Employment:
As a condition of the Loan, the Borrower agrees to create at a minimum the
equivalent 3.5 full time jobs, allowing for the equivalent positions to be created
on or by December 1, 1998. At least 51 % of all jobs created as a result of this
loan must be filled by members of the targeted income group. The Targeted
Income Group guidelines are adopted by the State and are dependent on family
size. The jobs shall be created and shall remain in place continually throughout
the term of the Loan. Failure by the Borrower to create the 51 % full time target
income jobs shall result in the Borrower being required to repay the loan upon
demand at the rate of $20,000 per job not created in full.
Other Loans/Funds:
The Loan is made in combination with other loans/funds described as follows:
1. Cash Equity by Owner: $90,822.00
2. CDBG Loan: $73,018.00
Prior to disbursement of any funds, Borrower shall provide to Lender evidence
satisfactory to Lender that Borrower has executed loan documents for the other
funding/loan(s)
CONDITIONS OF LENDING
The obligation of the Lender to make the Loan shall be subject to the fulfillment at the
time of closing of each of the following conditions:
a. Note and Loan Agreement:
The Borrower shall have executed and delivered to the Lender this Loan
Agreement and the Note in a form satisfactory to the Lender and its Counsel.
b. Security Agreement:
The Borrower shall have obtained and delivered to the Lender a Corporate
Guarantee to the City of Vernon. The corporate guarantee shall be in a form
acceptable to the City of Vernon and performance of said guarantee and
repayment of the loan by the Borrower shall be secured by a deed of trust with
power of sale, on the subject property in a form acceptable to said City.
Adeauacv and Securitv:
The liens granted to the Lender pursuant to the terms of the Security Agreement,
the Promissory Note and the Deed of Trust are or will be, when executed, liens
on the respective property described therein, including the proceeds and
products thereof.
d. Guarantees:
The Lender shall have received duly executed corporate guarantee agreement
acceptable to the Lender, secured by a deed of trust with the power of sale on
the subject property, as aforesaid.
e. Non -Financial Employment Plan Agreement:
The Borrower shall have executed and delivered to the Lender a Non -Financial
Employment Plan Agreement.
f. Governmental Approval:
The Borrower shall have secured all necessary permits, approvals, or consents,
if required, of governmental bodies having jurisdiction with respect to any
construction contemplated in accordance with the use of proceeds of the Loan.
The Borrower shall comply with the Zoning Ordinance of the Vernon Municipal
Code throughout the development and use of the property described herein.
g. Approval of Others:
The Borrower shall have secured all necessary approvals or consents required
with respect to this transaction by any mortgagor, creditor, or other party having
any financial interest in the Borrower.
EVENTS OF DEFAULT
The entire unpaid principal of the Note, and the interest then accrued thereon, shall
become immediately due and payable upon the written demand of the Lender, without
any other notice or demand of any kind or any presentment or protest, if any one of the
following events (hereafter an "Event of Default") shall occur and be continuing at the
time of such demand, whether voluntary or involuntary or, without limitation, occurring or
brought about by operation of law or pursuant to or in compliance with any judgment,
decree or order of any court or any order, rules, or regulations of any administrative or
governmental body provided, however, that such sum shall not be then payable if
Borrower's payments have been waived, or the time for making the Borrower's payments
has been extended by the Lender.
Non-Pavment of Loan:
If Borrower shall fail to make payment when due of any installment of principal
on the Note, or interest accrued thereon, and if the default shall remain
unremedied for twenty (20) days.
Non -Payment of Other Indebtedness:
If Borrower shall be in default of payment when due of any installment of
principal or of interest on any of the Borrower's other indebtedness, if such
default shall remain unremedied for thirty (30) days.
Incorrect Representation or Warrant
If any representation or warranty contained in or made in connection with the
execution and delivery of this loan agreement, or in any certificate furnished
pursuant hereto, shall prove to have been incorrect or invalid when made in any
material respect.
d. Default in Covenants:
If the Borrower shall materially default in the performance of any other term,
covenant, or agreement contained in this Loan Agreement, and such default
shall continue unremedied for thirty (30) days after either: (1) it becomes known
to an executive officer of the Borrower; or (2) written notice thereof shall have
been given to the Borrower by the Lender.
e. Employment:
If the Borrower shall fail to comply with the provisions of the Non -Financial
Employment Plan Agreement.
f. Voluntary Insolvency;
If the Borrower shall become insolvent or shall cease to pay its debts as they
mature or shall voluntarily file a petition seeking reorganization of, or the
appointment of a receiver, trustee, or liquidation for it or a substantial portion of
its assets, or to effect a plan or other arrangement with creditors, or shall be
adjudicated bankrupt, or shall make a voluntary assignment for the benefit of
creditors.
g. Involuntary. Insolvency:
If an insolvency petition shall be filed against the Borrower under any
bankruptcy, insolvency, or similar law or seeking the reorganization of the
Borrower or the appointment of a receiver, trustee, or liquidation for the
Borrower, or for a substantial part of the property of the Borrower, or a writ or
warrant of attachment or similar process shall be issued against a substantial
part of the property of the Borrower, and such petition shall not be dismissed, or
such writ or warrant of attachment or similar process shall not be released or
bonded, within sixty (60) days after filing of levy.
Judgments:
If any final judgment for the payment of money that is not fully covered by
liability insurance shall be rendered against the Borrower, and within sixty (60)
days shall not be discharged, or an appeal therefrom taken and execution
thereon effectively stayed pending such appeal and if such judgment be affirmed
on such appeal, the same shall not be discharged within thirty (30) days.
Riahts Upon Default:
Upon default by Borrower, Lender has all remedies available to it under State
law in enforcing this Agreement and Lender rights to the collateral mentioned
herein including, but not limited to, the following:
Accelerate and declare the full balance immediately due and payable on
the Note and commence lawsuit for collection thereof;
2. Take possession of the collateral or render it unusable, without notice,
except as required by law, provided that said self-help shall be done
without breach of peace;
3. Request and demand that Borrower assemble the collateral at an
acceptable location for delivery to Lender;
4. Sell or dispose of collateral by sale pursuant to the law;
Specifically enforce the terms of the Note and related agreements;
6. Foreclose on any real property or appropriate personal property by strict
foreclosure in equity;
Pursue any and all other remedies available under law to enforce the
terms of this Agreement and Lender's rights to the real and personal
property identified herein, and in collateral security documents of the
Lender.
Sale/Refinancing/Change of Ownership
The Loan shall be due and payable upon the sale of the business, sale or
refinance of any real property financed with this Loan or as part of the project in
which funds from this loan where used, sale or refinancing, of any real property
used as collateral for this loan, change in ownership of the business involving
any guarantees of this loan, or wherein Borrower ceases to be a majority owner
of the business. This loan shall be non -assumable.
4. OTHER DOCUMENTS
Lender may require and Borrower agrees to execute such other documents as may be
required by the Lender in its sole discretion in order to comply with State and federal
regulations governing (a) the loan proceeds and (b) prudent lending practices.
5. COLLECTION AGENT
Borrower hereby appoints the Lender as its agent to appoint a loan collection entity to
provide loan servicing in accordance with this agreement and other loan documents.
Lender may remove or replace the loan servicing agent at its sole discretion. Lender
shall provide or cause to be provided notice to Borrower of change in the loan collection
agent.
6. WAIVER
No failure or delay on the part of the Lender in exercising any right, power or remedy
hereunder shall operate as a waiver thereof.
7. ATTORNEY FEES
If any of the Parties to this Agreement breaches any provision of this Agreement, or
becomes Party to litigation concerning this Loan or the security for this Loan, then the
other party may institute legal action against the defaulting Party for specific
performance, injunction, declamatory relief, damages, or any other remedy provided by
law. In addition to the recovery of any such sum or sums expended on behalf of the
defaulting Party, the prevailing Party shall be entitled to recover from the losing Party
such amount as the court may adjudge to be reasonable attorneys fees for the services
rendered to the prevailing Party in such action. The Parties each waive the applicability
of Davis -Stirling Common Interest Development Act, Civil Code Section 1350.
8. NOTICES:
Notices shall be sent to
Borrower:
10.
Bruce De Menno
Joe Balfour
D/K Environmental
3650 E. 26th Street
Vernon , CA. 90023
HEIRS, SUCCESSORS AND ASSIGNS
Lender:
Bruce Malkenhorst
City Administrator's Office
4305 Santa Fe Avenue
Vernon, CA 90058
With Copies to:
Kevin Wilson
Director of Community Services
4305 Santa Fe
Vernon, CA 90058
This Agreement shall be binding upon and inure to the benefit of the heirs, successors
and assigns of the parties to this Agreement.
11. AMENDMENT
Any amendments or modifications to this Agreement must be in writing and signed by
both parties.
12. SEVERABILITY
If any section or requirement of this Agreement is held to be invalid by a court of
competent jurisdiction, the remaining portions, sections, and requirements of this
Agreement which were not affected by the action of the court shall remain in full force
and affect.
Acceptance
IN WITNESS THEREOF, the parties hereto have each caused this Loan Agreement to be duly
executed as of the date first written above.
BORROWER:
For D/K En ' onment
By:
Title: /" /'erl " 1eZ
By:
Title:
S<eWeT4V
LENDER:
For City of Vernon:
Bdr
y:
Title: Leonis C. Malburg , MAY07R
Title: Bruce V. Malkenhorst, City Clerk
APPROVED /ASS TO FORM:
By: 1Ja�r�' �• ��/
Title: David B. Brearley, City Attorney
LOAN AGREEMENT
This Agreement is made and entered into this v "-day of ell, 199 by and between
the City of Vernon, a municipal corporation (hereafter the "Lender") and D/K Environmental
hereafter the "Borrower").
WHEREAS,
The Borrower has applied to the Lender for a loan for the purpose of helping to finance
infrastructure improvements for a TSDF treatment, storage and disposal facility located at 3650
East 26th Street in the City of Vernon which will result in the creation of jobs; and
WHEREAS,
The Borrower has read and agrees to comply with all restrictions and requirements of the loan
contained in this Agreement and attached Exhibits, which are incorporated herein by reference;
and
WHEREAS,
The Lender is willing to make such a loan to the Borrower on the terms and conditions hereafter
set forth.
NOW, THEREFORE,
In consideration of the mutual covenants and agreements contained herein, the parties hereto
agree as follows:
THE LOAN
Loan/Note:
Subject to the terms and conditions of this Agreement, the Lender hereby agrees
to lend the Borrower, and the Borrower hereby agrees to borrow from the Lender
and repay the Lender, the amount of $73,018.00 (hereinafter called "Loan").
The obligation of the Borrower to repay the Lender shall be evidenced by the
promissory note (hereafter the "Note") of the Borrower in a form satisfactory to
the Lender dated the date on which the Loan is funded (hereafter known as the
"Closing Date") payable to the order of the Lender for the amount of the Loan
with interest on the unpaid principal in the amount of $73,018.00, and secured by
a Deed of Trust on the subject property and a corporate guarantee to the City of
Vernon.
b. Terms and Repayment:
The term of the Loan shall be for seven (7) years from the date the funds are
scheduled for disbursement. The Note shall be repayable in equal monthly
installments. The first monthly installment shall be due and payable on the first
day of the month after the date of document execution. All payments shall be
applied first to interest and then to principal. All payments will be made promptly
to the Lender at the address specified by the lender. Prepayment of the loan is
allowable with no prepayment penalty.
The interest rate on the principal amount of the loan shall be five percent (5%)
per annum.
C. Purpose:
The purpose of the Loan is to help finance infrastructure improvements that will
result in the creation of jobs.
d. Employment:
As a condition of the Loan, the Borrower agrees to create at a minimum the
equivalent 3.5 full time jobs, allowing for the equivalent positions to be created
on or by December 1, 1998. At least 51 % of all jobs created as a result of this
loan must be filled by members of the targeted income group. The Targeted
Income Group guidelines are adopted by the State and are dependent on family
size. The jobs shall be created and shall remain in place continually throughout
the term of the Loan. Failure by the Borrower to create the 51 % full time target
income jobs shall result in the Borrower being required to repay the loan upon
demand at the rate of $20,000 per job not created in full.
e. Other Loans/Funds:
The Loan is made in combination with other loans/funds described as follows:
1. Cash Equity by Owner: $90,822.00
2. CDBG Loan: $73,018.00
Prior to disbursement of any funds, Borrower shall provide to Lender evidence
satisfactory to Lender that Borrower has executed loan documents for the other
funding/loan(s)
2. CONDITIONS OF LENDING
The obligation of the Lender to make the Loan shall be subject to the fulfillment at the
time of closing of each of the following conditions:
Note and Loan Agreement:
The Borrower shall have executed and delivered to the Lender this Loan
Agreement and the Note in a form satisfactory to the Lender and its Counsel
Security Agreement:
The Borrower shall have obtained and delivered to the Lender a Corporate
Guarantee to the City of Vernon. The corporate guarantee shall be in a form
acceptable to the City of Vernon and performance of said guarantee and
repayment of the loan by the Borrower shall be secured by a deed of trust with
power of sale, on the subject property in a form acceptable to said City.
C. Adequacy and Security
The liens granted to the Lender pursuant to the terms of the Security Agreement,
the Promissory Note and the Deed of Trust are or will be, when executed, liens
on the respective property described therein, including the proceeds and
products thereof.
Guarantees:
The Lender shall have received duly executed corporate guarantee agreement
acceptable to the Lender, secured by a deed of trust with the power of sale on
the subject property, as aforesaid.
Non -Financial Employment Plan Aareement:
The Borrower shall have executed and delivered to the Lender a Non -Financial
Employment Plan Agreement.
f. Governmental Approval:
The Borrower shall have secured all necessary permits, approvals, or consents,
if required, of governmental bodies having jurisdiction with respect to any
construction contemplated in accordance with the use of proceeds of the Loan.
The Borrower shall comply with the Zoning Ordinance of the Vernon Municipal
Code throughout the development and use of the property described herein.
g. Approval of Others:.
The Borrower shall have secured all necessary approvals or consents required
with respect to this transaction by any mortgagor, creditor, or other party having
any financial interest in the Borrower.
3. EVENTS OF DEFAULT
The entire unpaid principal of the Note, and the interest then accrued thereon, shall
become immediately due and payable upon the written demand of the Lender, without
any other notice or demand of any kind or any presentment or protest, if any one of the
following events (hereafter an "Event of Default") shall occur and be continuing at the
time of such demand, whether voluntary or involuntary or, without limitation, occurring or
brought about by operation of law or pursuant to or in compliance with any judgment,
decree or order of any court or any order, rules, or regulations of any administrative or
governmental body provided, however, that such sum shall not be then payable if
Borrower's payments have been waived, or the time for making the Borrower's payments
has been extended by the Lender.
a. Non -Payment of Loan:
If Borrower shall fail to make payment when due of any installment of principal
on the Note, or interest accrued thereon, and if the default shall remain
unremedied for twenty (20) days.
b. Non -Payment of Other Indebtedness:
If Borrower shall be in default of payment when due of any installment of
principal or of interest on any of the Borrower's other indebtedness, if such
default shall remain unremedied for thirty (30) days.
C. Incorrect Representation or Warranty:
If any representation or warranty contained in or made in connection with the
execution and delivery of this loan agreement, or in any certificate furnished
pursuant hereto, shall prove to have been incorrect or invalid when made in any
material respect.
d. Default in Covenants:
If the Borrower shall materially default in the performance of any other term,
covenant, or agreement contained in this Loan Agreement, and such default
shall continue unremedied for thirty (30) days after either: (1) it becomes known
to an executive officer of the Borrower; or (2) written notice thereof shall have
been given to the Borrower by the Lender.
e. Employment:
If the Borrower shall fail to comply with the provisions of the Non -Financial
Employment Plan Agreement.
Voluntary Insolvency
If the Borrower shall become insolvent or shall cease to pay its debts as they
mature or shall voluntarily file a petition seeking reorganization of, or the
appointment of a receiver, trustee, or liquidation for it or a substantial portion of
its assets, or to effect a plan or other arrangement with creditors, or shall be
adjudicated bankrupt, or shall make a voluntary assignment for the benefit of
creditors.
g. Involuntary Insolvency
If an insolvency petition shall be filed against the Borrower under any
bankruptcy, insolvency, or similar law or seeking the reorganization of the
Borrower or the appointment of a receiver, trustee, or liquidation for the
Borrower, or for a substantial part of the property of the Borrower, or a writ or
warrant of attachment or similar process shall be issued against a substantial
part of the property of the Borrower, and such petition shall not be dismissed, or
such writ or warrant of attachment or similar process shall not be released or
bonded, within sixty (60) days after filing of levy.
h. Judgments:
If any final judgment for the payment of money that is not fully covered by
liability insurance shall be rendered against the Borrower, and within sixty (60)
days shall not be discharged, or an appeal therefrom taken and execution
thereon effectively stayed pending such appeal and if such judgment be affirmed
on such appeal, the same shall not be discharged within thirty (30) days.
Rights Upon Default:
Upon default by Borrower, Lender has all remedies available to it under State
law in enforcing this Agreement and Lender rights to the collateral mentioned
herein including, but not limited to, the following:
Accelerate and declare the full balance immediately due and payable on
the Note and commence lawsuit for collection thereof;
2. Take possession of the collateral or render it unusable, without notice,
except as required by law, provided that said self-help shall be done
without breach of peace;
3. Request and demand that Borrower assemble the collateral at an
acceptable location for delivery to Lender;
4. Sell or dispose of collateral by sale pursuant to the law;
5. Specifically enforce the terms of the Note and related agreements;
Foreclose on any real property or appropriate personal property by strict
foreclosure in equity;
Pursue any and all other remedies available under law to enforce the
terms of this Agreement and Lender's rights to the real and personal
property identified herein, and in collateral security documents of the
Lender.
Sale/Refinancing/Change of Ownership:
The Loan shall be due and payable upon the sale of the business, sale or
refinance of any real property financed with this Loan or as part of the project in
which funds from this loan where used, sale or refinancing, of any real property
used as collateral for this loan, change in ownership of the business involving
any guarantees of this loan, or wherein Borrower ceases to be a majority owner
of the business. This loan shall be non -assumable.
4. OTHER DOCUMENTS
Lender may require and Borrower agrees to execute such other documents as may be
required by the Lender in its sole discretion in order to comply with State and federal
regulations governing (a) the loan proceeds and (b) prudent lending practices.
5. COLLECTION AGENT
Borrower hereby appoints the Lender as its agent to appoint a loan collection entity to
provide loan servicing in accordance with this agreement and other loan documents.
Lender may remove or replace the loan servicing agent at its sole discretion. Lender
shall provide or cause to be provided notice to Borrower of change in the loan collection
agent.
6. WAIVER
No failure or delay on the part of the Lender in exercising any right, power or remedy
hereunder shall operate as a waiver thereof.
7. ATTORNEY FEES
If any of the Parties to this Agreement breaches any provision of this Agreement, or
becomes Party to litigation concerning this Loan or the security for this Loan, then the
other party may institute legal action against the defaulting Party for specific
performance, injunction, declamatory relief, damages, or any other remedy provided by
law. In addition to the recovery of any such sum or sums expended on behalf of the
defaulting Party, the prevailing Party shall be entitled to recover from the losing Party
such amount as the court may adjudge to be reasonable attorneys fees for the services
rendered to the prevailing Party in such action. The Parties each waive the applicability
of Davis -Stirling Common Interest Development Act, Civil Code Section 1350.
8. NOTICES:
Notices shall be sent to
Borrower:
10.
11
Bruce De Menno
Joe Balfour
D/K Environmental
3650 E. 26th Street
Vernon, CA. 90023
HEIRS, SUCCESSORS AND ASSIGNS
Lender:
Bruce Malkenhorst
City Administrator's Office
4305 Santa Fe Avenue
Vernon, CA 90058
With Copies to:
Kevin Wilson
Director of Community Services
4305 Santa Fe
Vernon, CA 90058
This Agreement shall be binding upon and inure to the benefit of the heirs, successors
and assigns of the parties to this Agreement.
AMENDMENT
Any amendments or modifications to this Agreement must be in writing and signed by
both parties.
12.
SEVERABILITY
If any section or requirement of this Agreement is held to be invalid by a court of
competent jurisdiction, the remaining portions, sections, and requirements of this
Agreement which were not affected by the action of the court shall remain in full force
and affect.
Acceptance
IN WITNESS THEREOF, the parties hereto have each caused this Loan Agreement to be duly
executed as of the date first written above.
BORROWER: LENDER:
For D/K E ronmental• For City of Vernon:
Title: Leonis C. Malburg , MAYOR
By: By:e�
Title: S'C"�� 1 a 1—�ee-2e Title: Bruce V. Malkenhorst, City Clerk
APPROVED AS TO FORM:
By:
Title: David B. Brearley, City Attorney
DItL-
NORTH
AMERICAN
TITLE
■AGENCY
CITY OF VERNON
4305 SANTA FE AVE.
VERNON, CA 90058
Attn: Mr. Romero
Dear Mr. Romero:
25129 The Old Road, Ste 305
Stevenson Ranch, CA 91381
(805) 799-1099
FAX: (805) 799-1080
Date: February 1 1, 1999
Escrow No. 050329-LB
Re: 3650 E. 26TH
VERNON, CA 90023
In connection with the above referenced escrow, we enclose the following items:
- Trust Deed and Note - Please review and sign where marked. Please keep copy for your records
If you have any questions regarding the enclosed, please don't hesitate to phone the undersigned.
Sincerely,
NORTH AMERICAN TITLE COMPANY
"jk
fi er
DO NOT DESTROY THIS NOTE: When paid, this note with Deed of Trust securing same,
ESCROW NO. 050329-LB must be surrendered to Trustee for cancellation before reconveyance will be made
NOTE SECURED BY DEED OF TRUST
(INSTALLMENT - INTEREST INCLUDED)
$73,018.00 February 5, 1999
Valencia, California.
In installments and at the times hereinafter stated, for value received, the undersigned promise to pay to
City of Vernon, a Municipal Corporation or order, at place designated by Beneficiary
the principal sum of SEVENTY-THREE THOUSAND EIGHTEEN AND 00/100 DOLLARS ($73,018.00),
with interest from on amounts of principal remaining from time to time
unpaid until said principal sum is paid, at rate of 5.0000 per cent per annum. Principal and interest due in monthly
installments of
ONE THOUSAND THIRTY-TWO AND 03/100 DOLLARS ($1,032.03, or more,)
on the same day of each month, beginning on the day of , 19
and continuing until the day of , 2006, at which time any unpaid principal balance and
accrued interest shall be due and payable.
"Should the trustor or his successors in interest, without the consent in writing of the beneficiary, sell, transfer or
convey or permit to be sold, transferred or conveyed, his interest in the property, or any part thereof, then the
beneficiary may, at his option, declare all sums secured hereby immediately due and payable."
"A late charge of 5.0000 percent of the monthly payment shall be due on each installment not received within 10
days of the due date."
0
Each payment shall be credited first to interest then due and the remainder oNny
n i I; and interest shall thereupon
cease upon the principal so credited. Should default be made in payment of stallment when due the whole
sum of principal and interest shall become immediately due at the option of the holder of this note. Principal and
interest payable in lawful money of the United States. If action be instituted on this note I/we promise to pay such
sum as the Court may fix as attorney's fees. This note is secured by a Deed of Trust to North American Title
Company, a California corporation, as TRUSTEE.
PROPERTY: 3650 E. 26TH VERNON, CA 90023
PAN PACIFIC PETROLEUM COMPANY, INC., a California
Corporation
BY:
BY:
This form furnished by North American Title Company
RECORDING REQUESTED BY:
North American Title
AND WHEN RECORDED MAIL TO:
City of Vernon
4305 Santa Fe Avenue
Vernon, CA 90058
THIS SPACE FOR RECORDER'S USE ONLY:
ESCROW NO. 050329-LB TITLE ORDER NO. 60-01501-62
SHORT FORM DEED OF TRUST AND ASSIGNMENT OF RENTS INDIVIDUAL
THIS DEED OF TRUST, made February 5, 1999, between A.P. #
PAN PACIFIC PETROLEUM COMPANY, INC., a California Corporation, herein called TRUSTOR,
whose address is 3650 E. 26th, Vernon, CA 90023 and
North American Title Company, a California Corporation, herein called TRUSTEE, AND
City of Vernon, herein called BENEFICIARY,
WITNESSETH: That Trustor IRREVOCABLY GRANTS, TRANSFERS AND ASSIGNS to TRUSTEE IN TRUST, WITH POWER OF SALE
that Property in Los Angeles County, California, described as:
LEGAL DESCRIPTION ATTACHED HERETO AS EXHIBIT "A" AND MADE A PART HEREOF
"Should the trustor or his successors in interest, without the consent in writing of the beneficiary, sell, transfer or convey or permit
to be sold, transferred or conveyed, his interest in the property, or any part thereof, then the beneficiary may, at his option, declare
all sums secured hereby immediately due and payable."
TOGETHER WITH the rents, issues and profits thereof, SUBJECT, HOWEVER, to the right, power and authority given to and
conferred upon Beneficiary by paragraph (10) of the provisions incorporated herein by reference to collect and apply such rents,
issues and profits.
For the Purpose of Securing: 1 . Performance of each agreement of Trustor incorporated by reference or contained herein. 2.
Payment of the indebtedness evidenced by one promissory note of even date herewith, and any extension of renewal thereof, in
the principal sum of $ 73,018.00 executed by Trustor in favor of Beneficiary or order. 3. Payment of such further sums as the
then record owner of said property may borrow from Beneficiary, when evidenced by another note (or notes) reciting it is so
secured.
DATED February 11, 1999
STATE OF CALIFORNIA
COUNTY OF
On
before me,
a Notary Public in and for said State, personally appeared
personally known to me (or proved to me on the basis of
satisfactory evidence) to be the person(s) whose name(s)
is/are subscribed to the within instrument and acknowledged
to me that he/she/they executed the same in his/her/their
authorized capacity(ies), and that by his/her/their signature(s)
on the instrument the person(s), or the entity upon behalf of
which the person(s) acted, executed the instrument.
WITNESS my hand and official seal.
Signature
SIGNATURE OF TRUSTOR:
PAN PACIFIC PETROLEUM COMPANY, INC., a
California Corporation
Name (Typed or Printed) (This area for official notarial seal)
To Protect the Security of This Deed of Trust, Trustor Agrees: By the execution and delivery of this Deed of Trust and the note
secured hereby, that provisions (1) to (14), inclusive, of the fictitious deed of trust recorded in Santa Barbara County and Sonoma
County October 18, 1961, and in all other counties October 23, 1961, in the book and at the page of Official Records in the office
of the county recorder of the county where said property is located, noted below opposite the name of such county, viz.:
County
Book
Page
County
Book
Page
County
Book Page
County
Book
Page
Alameda
435
684
Kings
792
833
Placer
895 301
Sierra
29
335
Alpine
1
250
Lake
362
39
Plumas
151 5
Siskiyou
468
181
Amador
104
34
Lassen
171
471
Riverside
3005 523
Solano
1105
182
Butte
1 145
1
Los Angeles
T2055
899
Sacramento
4331
62
Sono
ma
1851
689
Calaveras
145
152
Madera
810
170
San Benito
271 383
Stanislaus
1715
456
Colusa
296
617
Marin
1508
339
San Bernardino
5567 61
Sutter
572
297
Contra Costa
3978
47
Mariposa
77
292
San Francisco
A332 905
Tehama
401
289
Del Norte
78
414
Mendocino
579
530
San Joaquin
2470 311
Trinity
93
366
Eldorado
568
456
Merced
1547
538
San Luis Obispo 1151 12
Tulare
2294
275
Fresno
4626
572
Modoc
184
851
San Mateo
4078 420
Tuolumne
135
47
Glenn
422
184
Mono
52
429
Santa Barbara
1878 860
Ventura
2062
386
Humboldt
657
527
Monterey
2194
538
Santa Clara
5336 341
Yolo
653
245
Imperial
1091
501
Napa
639
86
Santa Cruz
1431 494
Yuba
334
486
Inyo
147
598
Nevada
305
320
Shasta
684 528
Kern
3427
60
Orange
5889
611
San Diego
Series 2 Book
1961
Page183887
(which provisions, identical in all counties, are printed on the reverse hereof) hereby are adopted and incorporated herein and made
a part hereof as fully as though set forth herein at length; that he will observe and perform said provisions; and that the references
to property, obligations, and parties in said provisions shall be construed to refer to the property, obligations, and parties set forth
in this Deed of Trust.
The undersigned Trustor requests that a copy of any Notice of Default and of any Notice of Sale hereunder be mailed to him at
DO NOT RECORD
REQUEST FOR FULL RECONVEYANCE
To be used only when note has been paid
To North American Title Company, Trustee:
Dated
The undersigned is the legal owner and holder of all indebtedness secured by the within Deed of Trust. All sums secured by said
Deed of Trust have been fully paid and satisfied; and you are hereby requested and directed, on payment to you of any sums
owing to you under the terms of said Deed of Trust, to cancel all evidences of indebtedness, secured by said Deed of Trust,
delivered to you herewith together with said Deed of Trust, and to reconvey, without warranty, to the parties designated by the
terms of said Deed of Trust, the estate now held by you under the same.
MAIL RECONVEYANCE TO:
Do not lose or destroy this Deed of Trust OR THE NOTE which it secures. Both must be
delivered to the Trustee for cancellation before reconveyance will be made.
DO NOT RECORD
The fc"lowing is a copy of provisions (1) to (14), inclusive, of the fictitious deed of trust, recorded in each county in California, as stated in
the foregoing Deed of Trust and incorporated by reference in said Deed of Trust as being a part thereof as if set forth at length therein.
To Protect the Security of This Deed of Trust, Trustor Agrees:
1. To keep said property in good condition and repair; not to remove or demolish any building thereon; to complete or restore promptly and
in good and workmanlike manner any building which may be constructed, damaged or destroyed thereon and to pay when due all claims for
labor performed and materials furnished therefor; to comply with all laws affecting said property or requiring any alterations or improvements
to be made thereon; not to commit or permit waste thereof; not to commit, suffer or permit any act upon said property in violation of law; to
cultivate, irrigate, fertilize, fumigate, prune and do all other acts which from the character or use of said property may be reasonably
necessary, the specific enumerations herein not excluding the general.
2. To provide, maintain and deliver to Beneficiary fire insurance satisfactory to and with loss payable to Beneficiary. The amount collected
under any fire or other insurance policy may be applied by Beneficiary upon any indebtedness secured hereby and in such order as
Beneficiary may determine, or at option of Beneficiary the entire amount so collected or any part thereof may be released to Trustor. Such
application or release shall not cure or waive any default or notice of default hereunder or invalidate any act done pursuant to such notice.
3. To appear in and defend any action or proceeding purporting to affect the security hereof or the rights or powers of Beneficiary or
Trustee; and to pay all costs and expenses, including cost of evidence of title and attorney's fees in a reasonable sum, in any such action or
proceeding in which Beneficiary or Trustee may appear, and in any suit brought by Beneficiary to foreclose this Deed.
4. To pay; at least ten days before delinquency all taxes and assessments affecting said property, including assessments on appurtenant
water stock; when due, all encumbrances, charges and liens, with interest, on said property or any part thereof, which appear to be prior or
superior hereto; all costs, fees and expenses of this Trust.
Should Trustor fail to make any payment or to do any act as herein provided, then Beneficiary or Trustee, but without obligation so to do
and without notice to or demand upon Trustor and without releasing Trustor from any obligation hereof, may: make or do the same in such
manner and to such extent as either may deem necessary to protect the security hereof, Beneficiary or Trustee being authorized to enter
upon said property for such purpose; appear in and defend any action or proceeding purporting to affect the security hereof or the rights or
powers of Beneficiary or Trustee; pay, purchase, contest or compromise any incumbrance, charge or lien which in the judgement of either
appears to be prior or superior hereto; and, in exercising any such powers, pay necessary expenses, employ counsel and pay his reasonable
fees.
5. To pay immediately and without demand all sums so expended by Beneficiary or Trustee, with interest from date of expenditure at the
amount allowed by law in effect at the date hereof, and to pay for any statement provided for by law in effect at the date hereof regarding
the obligation secured hereby any amount demanded by the Beneficiary not to exceed the maximum allowed by law at the time when said
statement is demanded.
6. That any award of damages in connection with any condemnation for public use of or injury to said property or any part thereof is hereby
assigned and shall be paid to Beneficiary who may apply or release such moneys received by him in the same manner and with the same
effect as above provided for disposition of proceeds of fire or other insurance.
7. That by accepting payment of any sum secured hereby after its due date, Beneficiary does not waive his right either to require prompt
payment when due of all other sums so secured or to declare default for failure so to pay.
8. That at any time or from time to time, without liability therefor and without notice, upon written request of Beneficiary and presentation
of this Deed and said note for endorsement, and without affecting the personal liability of any person for payment of the indebtedness
secured hereby, Trustee may: reconvey any part of said property; consent to the making of any map or plat thereof; join in granting any
easement thereon; or join in any extension agreement or any agreement subordinating the lien or charge hereof.
9. That upon written request of Beneficiary stating that all sums secured hereby have been paid, and upon surrender of this Deed and said
note to Trustee for cancellation and retention and upon payment of its fees, Trustee shall reconvey, without warranty, the property then
held hereunder. The recitals in such reconveyance of any matters or facts shall be conclusive proof of the truthfulness thereof. The grantee
in such reconveyance may be describe as "the person or persons legally entitled thereto." Five years after issuance of such full
reconveyance, Trustee may destroy said note and this Deed (unless directed in such request to retain them).
10. That as additional security, Trustor hereby gives to and confers upon Beneficiary the right, power and authority, during the continuance
of these Trusts, to collect the rents, issues and profits of said property, reserving unto Trustor the right, prior to any default by Trustor in
payment of any indebtedness secured hereby or in performance of any agreement hereunder, to collect and retain such rents, issues and
profits as they become due and payable. Upon any such default, Beneficiary may at any time without notice, either in person, by agent, or
by a receiver to be appointed by a court, and without regard to the adequacy of any security for the indebtedness hereby secured, enter
upon and take possession of said property or any part thereof, in his own name sue for or otherwise collect such rents, issues and profits,
including those past due and unpaid, and apply the same, less costs and expenses of operation and collection, including reasonable
attorney's fees, upon any indebtedness secured hereby, and in such order as Beneficiary may determine. The entering upon and taking
possession of said property, the collection of such rents, issues and profits and the application thereof as aforesaid, shall not cure or waive
any default or notice of default hereunder or invalidate any act done pursuant to such notice.
11. That upon default by Trustor in payment of any indebtedness secured hereby or in performance of any agreement hereunder,
Beneficiary may declare all sums secured hereby immediately due and payable by delivery to Trustee of written declaration of default and
demand for sale and of written notice of default and of election to cause to be sold said property, which notice Trustee shall cause to be
filed for record. Beneficiary also shall deposit with Trustee this Deed, said note and all documents evidencing expenditures secured hereby.
After the lapse of such time as may then be required by law following the recordation of said notice of default, and notice of sale having
been given as then required by law, Trustee, without demand on Trustor, shall sell said property at the time and place fixed by it in said
notice of sale, either as a whole or in separate parcels, and in such order as it may determine, at public auction to the highest bidder for
cash in lawful money of the United States, payable at time of sale. Trustee may postpone sale of all or any portion of said property by
public announcement at such time and place of sale, and from time to time thereafter may postpone such sale by public announcement at
the time fixed by the preceding postponement. Trustee shall deliver to such purchaser its deed conveying the property so sold, but without
any covenant or warranty express or implied. The recitals in such deed of any matters or facts shall be conclusive proof of the truthfulness
thereof. Any person, including Trustor, Trustee, or Beneficiary as hereinafter defined, may purchase at such sale.
After deducting all costs, fees and expenses of Trustee and of this trust, including cost of evidence of title in connection with sale,
Trustee shall apply the proceeds of sale to payment of; all sums expended under the terms hereof not then repaid, with accrued interest at
the amount allowed by law in effect at the date hereof; all other sums then secured hereby; and the remainder, if any, to the person or
persons legally entitled thereto.
12. Beneficiary, or any successor in ownership of any indebtedness secured hereby, may from time to time, by instrument in writing,
substitute a successor or successors to any Trustee named herein or acting hereunder, which instrument, executed by the Beneficiary and
duly acknowledged and recorded in the office of the recorder of the county or counties where said property is situated, shall be conclusive
proof of proper substitution of such successor Trustee or Trustees, who shall without conveyance from the Trustee predecessor, succeed to
all its title, estate, rights, powers and duties. Said instrument must contain the name of the original Trustor, Trustee and Beneficiary
hereunder, the book and page where this Deed is recorded and the name and address of the new Trustee.
13. That this Deed applies to inures, to the benefit of, and binds all parties hereto, their heirs, legatees, devisees, administrators, executors,
successors and assigns. The term Beneficiary shall mean the owner and holder, including pledgees, of the note secured hereby whether, or
not named as Beneficiary herein. In this Deed, whenever the context so requires, the masculine gender includes the feminine and/or neuter,
and the singular number includes the plural,
14. That Trustee accepts this Trust when this Deed, duly executed and acknowledged, is made a public record as provided by law. Trustee
is not obligated to notify any party hereto of pending sale under any other Deed of Trust or of any action or proceeding in which Trustor,
Beneficiary or Trustee shall be a party unless brought by Trustee.
INLEGAL DESCRIPTION"
PARCEL 1:
THAT PORTION OF LOT 84 OF THE RANCHO LAGUNA (SO CALLED) IN THE
RANCHO SAN ANTONIO, IN THE CITY OF VERNON, COUNTY OF LOS ANGELES,
STATE OF CALIFORNIA, AS DELINEATED ON A MAP ENTITLED MAP OF THE
RANCHO LAGUNA AND THEREON MARKED WITH THE NAME OF CAVE J. COUTS,
ET AL., FILED AS "EXHIBIT All IN CONNECTION WITH THE REFEREE'S
REPORT IN ACTION NO. B-2,5296 OF THE SUPERIOR COURT OF THE STATE OF
CALIFORNIA, IN AND FOR THE COUNTY OF LOS ANGELES, AND ATTACHED TO
FINAL DECREE OF PARTITION IN SAID ACTION, A CERTIFIED COPY OF SAID
DECREE BEING RECORDED IN BOOK 6387 PAGE 1, ET SEQ. OF DEEDS, IN
THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY, AND MORE
PARTICULARLY DESCRIBED AS FOLLOWS:
BEGINNING AT A POINT IN THE WESTERLY LINE OF SAID LOT 84 THAT
BEARS NORTH 1° 09' 10" WEST 310.87 FEET FROM THE SOUTHWESTERLY
CORNER OF SAID LOT 84; THENCE ALONG THE NORTHERLY LINE OF BANDINI
BOULEVARD, 80 FEET WIDE, AS DESCRIBED IN DEED TO THE CITY OF
VERNON, RECORDED IN BOOK 4762 PAGE 71 OFFICIAL RECORDS, IN THE
OFFICE OF THE COUNTY RECORDER OF SAID COUNTY, SOUTH 73° 27' 55"
EAST 23.71 FEET TO THE NORTHERLY LINE OF THE 80 FOOT STRIP OF LAND
DESCRIBED IN DEED TO LOS ANGELES COUNTY FLOOD CONTROL "DISTRICT
RECORDED ON OCTOBER 24, 1940 AS INSTRUMENT NO. 1114 IN BOOK 17888
PAGE 275 OF SAID OFFICIAL RECORDS; THENCE ALONG THE LAST MENTIONED
NORTHERLY LINE SOUTH 76° 03' 21" EAST 164.07 FEET TO THE POINT OF
INTERSECTION WITH THE NORTHEASTERLY LINE OF THAT CERTAIN PARCEL OF
LAND DESCRIBED IN DEED TO THE ATCHISON, TOPEKA AND SANTA FE
RAILWAY COMPANY, DESCRIBED IN DEED TO THE ATCHISON, TOPEKA AND
SANTA FE RAILWAY COMPANY, RECORDED ON NOVEMBER 2, 1955 AS
INSTRUMENT NO. 3324 IN BOOK 49421 PAGE 214 OF SAID OFFICIAL
RECORDS, SAID LAST MENTIONED POINT BEING ON A CURVE CONCAVE TO THE
NORTHEAST, HAVING A RADIUS OF 468.34 FEET, A RADIAL LINE OF SAID
CURVE FROM SAID POINT BEARS NORTH 46' 47' 57" EAST; THENCE
NORTHWESTERLY ALONG SAID CURVE, THROUGH A CENTRAL ANGLE OF 2° 33'
40" AN ARC DISTANCE OF 20.94 FEET TO A POINT IN THE NORTHEASTERLY
LINE OF THAT CERTAIN PARCEL OF LAND DESCRIBED IN PARCEL 2 OF THE
DEED TO THE ATCHISON, TOPEKA AND SANTA FE RAILWAY COMPANY,
RECORDED ON JANUARY 27, 1933 AS INSTRUMENT NO. 736 IN BOOK 11872
PAGE 249 OF SAID OFFICIAL RECORDS; THENCE NORTH 34' 06' 05" WEST
ALONG SAID NORTHEASTERLY LINE 156.23 FEET TO THE BEGINNING OF A
NON TANGENT CURVE THEREIN, CONCAVE NORTHEASTERLY, HAVING A RADIUS
OF 468.34 FEET, A RADIAL LINE THROUGH SAID BEGINNING OF CURVE
BEARS NORTH 52° 06' 50" EAST; THENCE NORTHWESTERLY ALONG SAID
CURVE, THROUGH A CENTRAL ANGLE OF 1° 13' 22" AN ARC DISTANCE OF
10.00 FEET TO THE TRUE POINT OF BEGINNING; SAID TRUE POINT OF
BEGINNING BEING THE BEGINNING OF A CURVE CONCAVE NORTHEASTERLY,
HAVING A RADIUS OF 350.00 FEET, A RADIAL LINE FROM SAID BEGINNING
OF A CURVE BEARS NORTH 59° 57' 47" EAST; THENCE NORTHWESTERLY AND
NORTHERLY ALONG SAID CURVE, THROUGH A CENTRAL ANGLE OF 36° 07'
1211, AN ARC DISTANCE OF 220.64 FEET TO A POINT IN A LINE WHICH
BEARS SOUTH 76' 03' 21" EAST AND PASSES THROUGH A POINT IN THE
WESTERLY LINE OF SAID LOT 84 THAT IS DISTANT NORTH 1° 09' 10" WEST
638.75 FEET FROM THE SOUTHWESTERLY CORNER OF LOT 84, SAID LAST
MENTIONED POINT BEING MARKED BY A 2 INCH IRON PIPE; THENCE NORTH
31' 39' 06" EAST 602.45 FEET TO A POINT IN A LINE WHICH IS
PARALLEL WITH AND DISTANT SOUTHWESTERLY 100.00 FEET, MEASURED AT
RIGHT ANGLES FROM THE SOUTHWESTERLY LINE OF EAST TWENTY-SIXTH
STREET (40 FEET IN WIDTH), AS SHOWN ON OFFICIAL MAP OF LOS ANGELES
COUNTY, REGION 48, DIVISION 104 ON FILE IN BOOK 3 PAGE 27 OF
OFFICIAL MAPS, IN THE OFFICE OF SAID RECORDER, SAID POINT BEING
DISTANT SOUTH 67° 57' 55" EAST 207.00 FEET ALONG SAID PARALLEL
LINE FROM THE MOST EASTERLY CORNER OF THE LAND DESCRIBED IN DEED
TO THE ATCHISON, TOPEKA AND SANTA FE RAILWAY COMPANY, RECORDED ON
FEBRUARY 11, 1953 AS INSTRUMENT NO. 79 IN BOOK 40848 PAGE 237
OFFICIAL RECORDS; THENCE NORTH 67' 57' 55" WEST 207.00 FEET TO
SAID MOST EASTERLY CORNER; THENCE ALONG THE SOUTHEASTERLY LINE OF
THE LAND DESCRIBED IN SAID DEED, BEING A CURVE CONCAVE
SOUTHEASTERLY HAVING A RADIUS OF 344.265 FEET (A RADIAL LINE OF
WHICH FROM SAID CORNER BEARS SOUTH 37' 46' 13" EAST),
SOUTHWESTERLY THROUGH A CENTRAL ANGLE OF 37' 28' 5311, AN ARC
DISTANCE OF 225.21 FEET; THENCE CONTINUING ALONG SAID
SOUTHEASTERLY LINE SOUTH 14' 44' 54" WEST 168.21 FEET TO A POINT
IN THE WESTERLY LINE OF SAID LOT 84, SAID POINT BEING THE MOST
SOUTHERLY CORNER OF THE LAND DESCRIBED IN THE LAST MENTIONED DEED;
THENCE SOUTH 1° 09' 10" EAST ALONG THE WESTERLY LINE OF SAID LOT
84, A DISTANCE OF 284.37 FEET TO THE MOST NORTHERLY CORNER OF THE
LAND DESCRIBED IN PARCEL 2 OF THE ABOVE MENTIONED DEED RECORDED IN
BOOK 11872 PAGE 249 OFFICIAL RECORDS; THENCE SOUTHEASTERLY ALONG
THE NORTHEASTERLY LINE OF THE LAND DESCRIBED IN SAID PARCEL 2 OF
THE LAST MENTIONED DEED, BEING A CURVE, CONCAVE NORTHEASTERLY,
HAVING A RADIUS OF 468.34 FEET, THROUGH A CENTRAL ANGLE OF 23° 16'
43" AN ARC DISTANCE OF 190.28 FEET TO THE TRUE POINT OF
BEGINNING.
EXCEPT THEREFROM THAT PORTION INCLUDED WITHIN THE LAND DESCRIBED
IN PARCEL 8-25, SAID CITY, COUNTY AND STATE AS DESCRIBED IN FINAL
DECREE OF CONDEMNATION IN LOS ANGELES SUPERIOR COURT CASE NO.
853239, RECORDED MAY 20, 1966 AS INSTRUMENT NO. 2675 IN BOOK D3311
PAGE 414 OFFICIAL RECORDS IN SAID RECORDER'S OFFICE.
ALSO EXCEPT ALL OIL, GAS AND OTHER MINERALS LYING NOT LESS THAN
500 FEET FROM THE SURFACE OF SAID LAND PROVIDED THAT FIRST PARTY,
ITS SUCCESSORS AND ASSIGNS, SHALL NOT HAVE THE RIGHT TO GO UPON
THE SURFACE OF SAID LAND FOR THE PURPOSE OF EXTRACTING SAID OIL,
GAS AND OTHER MINERALS NOR FOR ANY PURPOSE IN CONNECTION THEREWITH
BUT SHALL HAVE THE RIGHT TO EXTRACT AND REMOVE SAID OIL, GAS AND
OTHER MINERALS BY MEANS OF SLANT DRILLED WELLS LOCATED ON ADJACENT
OR NEARBY LAND OR BY ANY OTHER MEANS WHICH SHALL NOT REQUIRE ENTRY
UPON THE SURFACE OF SAID LAND AS EXCEPTED AND RESERVED BY SIGNAL
OIL AND GAS COMPANY IN DEEDS RECORDED IN BOOK 36274 PAGE 170 AND
RECORDED AUGUST 14, 1961 AS INSTRUMENT NO. 3401 IN BOOK D1320 PAGE
966, BOTH OF OFFICIAL RECORDS.
PARCEL 2:
AN EXCLUSIVE EASEMENT FOR THE ONE SPUR TRACK AND FOR A ONE RIGHT
OF WAY FOR INGRESS AND EGRESS BETWEEN TWENTY SIX STREET AND PARCEL
1 ABOVE DESCRIBED, OVER THAT PORTION OF SAID LOT 84, AS DESCRIBED
IN DEED RECORDED JUNE 20, 1925 AS INSTRUMENT NO. 161 IN BOOK 3883
PAGE 236 OFFICIAL RECORDS, LYING WITHIN A STRIP OF LAND 35 FEET IN
WIDTH, THE NORTHWESTERLY LINE OF SAID 35 FOOT STRIP OF LAND BEING
DESCRIBED AS FOLLOWS:
BEGINNING AT A POINT ON THE SOUTHERLY LINE OF THAT CERTAIN
PROPERTY DESCRIBED IN DEED RECORDED IN SAID BOOK 3993 PAGE 236
OFFICIAL RECORDS, DISTANT THEREON SOUTH 67° 57' 55" EAST 64.00
FEET FROM THE NORTHERLY TERMINUS OF THAT CERTAIN CURVE CONCAVE
SOUTHEASTERLY, HAVING A RADIUS OF 344.265 FEET AND A LENGTH OF
225.21 FEET AS DESCRIBED IN DEED TO THE ATCHISON, TOPEKA AND SANTA
FE RAILWAY COMPANY, RECORDED IN BOOK 40949 PAGE 237 OFFICIAL
RECORDS; THENCE FROM SAID POINT OF BEGINNING, NORTHEASTERLY IN A
DIRECT LINE TO A POINT ON THE SOUTHERLY LINE OF EAST 26TH STREET,
40 FEET IN WIDTH, DISTANT THEREON EASTERLY 6.00 FEET FROM THE
INTERSECTION OF SAID SOUTHERLY LINE OF EAST 26TH STREET AND THE
NORTHEASTERLY PROLONGATION OF THAT SAID CERTAIN CURVE, UPON THE
TERMS, COVENANTS AND CONDITIONS SET FORTH IN AND RESERVED BY X. Y.
FLETCHER IN DEED RECORDED IN BOOK 3465 PAGE 118, OFFICIAL RECORDS
AND IN BOOK 3993 PAGE 236 OFFICIAL RECORDS.
PARCEL 3:
THAT PORTION OF LOT 84 OF THE RANCHO LAGUNA (SO CALLED) IN THE
RANCHO SAN ANTONIO, IN THE CITY OF VERNON, COUNTY OF LOS ANGELES,
STATE OF CALIFORNIA, AS DELINEATED ON A MAP ENTITLED MAP OF THE
RANCHO LAGUNA AND THEREON MARKED WITH THE NAME OF CAVE J. COUTS,
ET AL., FILED AS "EXHIBIT All IN CONNECTION WITH THE REFEREE'S
REPORT IN ACTION NO. B-26296 OF THE SUPERIOR COURT OF THE STATE OF
CALIFORNIA, IN AND FOR THE COUNTY OF LOS ANGELES, AND ATTACHED TO
FINAL DECREE OF PARTITION IN SAID ACTION, A CERTIFIED COPY OF SAID
DECREE BEING RECORDED IN BOOK 6387 PAGE 1, ET SEQ. OF DEEDS, IN
THE OFFICE OF THE COUNTY RECORDER OF SAID COUNTY, AND MORE
PARTICULARLY DESCRIBED AS FOLLOWS:
BEGINNING AT A POINT IN THE WESTERLY LINE OF SAID LOT 84 THAT
BEARS NORTH 1° 09' 10" WEST 310.87 FEET FROM THE SOUTHWESTERLY
CORNER OF SAID LOT 84; THENCE ALONG THE NORTHERLY LINE OF BANDINI
BOULEVARD, 80 FEET WIDE, AS DESCRIBED IN DEED TO THE CITY OF
VERNON, RECORDED IN BOOK 4762 PAGE 72 OFFICIAL RECORDS, IN THE
OFFICE OF THE COUNTY RECORDER OF SAID COUNTY, SOUTH 73° 27' 55"
EAST 23.71 FEET TO THE NORTHERLY LINE OF THE 80 FOOT STRIP OF LAND
DESCRIBED IN DEED TO LOS ANGELES COUNTY FLOOD CONTROL DISTRICT
RECORDED ON OCTOBER 24, 1940 AS INSTRUMENT NO. 1114 IN BOOK 1788
PAGE 275 OF SAID OFFICIAL RECORDS; THENCE ALONG THE LAST MENTIONED
NORTHERLY LINE SOUTH 76° 03' 21" EAST 164.07 FEET TO THE POINT OF
INTERSECTION WITH THE NORTHEASTERLY LINE OF THAT CERTAIN PARCEL OF
LAND DESCRIBED IN DEED TO THE ATCHISON, TOPEKA AND SANTA FE
RAILWAY COMPANY, DESCRIBED IN DEED TO THE ATCHISON, TOPEKA AND
SANTA FE RAILWAY COMPANY, RECORDED ON NOVEMBER 2, 1955 AS
INSTRUMENT NO. 3324 IN BOOK 49421 PAGE 214 OF SAID OFFICIAL
RECORDS, SAID LAST MENTIONED POINT BEING ON A CURVE CONCAVE TO THE
NORTHEAST, HAVING A RADIUS OF 468.34 FEET, A RADIAL LINE OF SAID
CURVE FROM SAID POINT BEARS NORTH 46' 47' 57" EAST; THENCE
NORTHWESTERLY ALONG SAID CURVE, THROUGH A CENTRAL ANGLE OF 2° 33'
40" AN ARC DISTANCE OF 20.94 FEET TO A POINT IN THE NORTHEASTERLY
LINE OF THAT CERTAIN PARCEL OF LAND DESCRIBED IN PARCEL 2 OF THE
DEED TO THE ATCHISON, TOPEKA AND SANTA FE RAILWAY COMPANY,
RECORDED ON JANUARY 27, 1933 AS INSTRUMENT NO. 736 IN BOOK 11872
PAGE 249 OF SAID OFFICIAL RECORDS; THENCE NORTH 34' 06' 05" WEST
ALONG SAID NORTHEASTERLY LINE 156.23 FEET TO THE BEGINNING OF A
NON TANGENT CURVE THEREIN, CONCAVE NORTHEASTERLY, HAVING A RADIUS
OF 468.34 FEET, A RADIAL LINE THROUGH SAID BEGINNING OF CURVE
BEARS NORTH 52° 06' 50" EAST; THENCE NORTHWESTERLY ALONG SAID
CURVE, THROUGH A CENTRAL ANGLE OF 1° 13' 22" AN ARC DISTANCE OF
10.00 FEET TO THE TRUE POINT OF BEGINNING; SAID TRUE POINT OF
BEGINNING BEING THE BEGINNING OF A CURVE CONCAVE NORTHEASTERLY,
HAVING A RADIUS OF 350.00 FEET, A RADIAL LINE FROM SAID BEGINNING
OF A CURVE BEARS NORTH 59' 57' 47" EAST; THENCE NORTHWESTERLY AND
NORTHERLY ALONG SAID CURVE, THROUGH A CENTRAL ANGLE OF 36' 07'
12", AN ARC DISTANCE OF 220.64 FEET TO A POINT IN A LINE WHICH
BEARS SOUTH 76° 03' 21" EAST AND PASSES THROUGH A POINT IN THE
WESTERLY LINE OF SAID LOT 84 THAT IS DISTANT NORTH 1° 09' 10" WEST
638.75 FEET FROM THE SOUTHWESTERLY CORNER OF LOT 84, SAID LAST
MENTIONED POINT BEING MARKED BY A 2 INCH IRON PIPE; THENCE NORTH
31' 39' 06" EAST 14.83 FEET TO A POINT, SAID POINT BEING THE
BEGINNING OF A NON -TANGENT CURVE CONCAVE NORTHEASTERLY, HAVING A
RADIUS OF 328.27 FEET, A RADIAL LINE THROUGH SAID BEGINNING OF
CURVE BEARS SOUTH 79' 33' 50" EAST; THENCE SOUTHERLY AND
SOUTHEASTERLY ALONG SAID CURVE, THROUGH A CENTRAL ANGLE OF 33° 41'
16", AN ARC DISTANCE OF 193.01 FEET; THENCE SOUTH 24° 04' 28" EAST
39.27 FEET TO THE TRUE POINT OF BEGINNING.
EXCEPT THEREFROM THAT PORTION INCLUDED WITHIN THE LAND DESCRIBED
IN PARCEL 8-25, IN SAID CITY, COUNTY AND STATE AS DESCRIBED IN
FINAL DECREE OF CONDEMNATION IN LOS ANGELES SUPERIOR COURT CASE
NO. 853239, RECORDED MAY 20, 1966 IN BOOK D3311 PAGE 414 OFFICIAL
RECORDS IN SAID RECORDERS OFFICE.
ALSO EXCEPT ALL OIL, GAS AND OTHER MINERALS UNDERLYING SAID LAND,
TOGETHER WITH THE RIGHT TO ENTER SAID LAND FOR THE PURPOSE OF
DRILLINGSAID LAND AND EXPLORING FOR AND DEVELOPING SAID
SUBSTANCES ON AND FROM SAID LAND AND TOGETHER WITH NECESSARY
EASEMENTS FOR INGRESS AND EGRESS AND FOR PIPE LINES AND POLE
LINES, AS RESERVED BY SIGNAL OIL AND GAS COMPANY, A CORPORATION,
IN DEED RECORDED MAY 14, 1951 IN BOOK 36274 PAGE 170, OFFICIAL
RECORDS.
TIG BENEFIT
NON -FINANCIAL EMPLOYMENT PLAN AGREEMENT
D/K ENVIRONMENTAL
This Agreement, between the City of Vernon ("Lender") and D/K Environmental ("Borrower") will
be used to assure continuing employment opportunities to economically disadvantaged (Target
Income Group) and unemployed residents of the City. Under this Non -Financial Employment
Plan Agreement, the Employer will use the Job Training Agency ("The Private Industry Council")
as its initial resource for recruitment, referral and placement in positions covered herein, but is
not restricted to PIC resources. This Agreement is not a loan agreement.
General Terms:
a) The Lender will provide a low interest Community Development Block Grant
(CDBG) loan for infrastructure improvements. By virtue of this loan, the
Lender expects to retain and realize additional employment
opportunities for lower income and unemployed persons. The Lender
has negotiated a loan with the Employer as follows and as additionally
described in the Loan Agreement (attached):
i. Loan Amount $73,018.00
ii. Interest Rate 5%
iii. Term 7 years
iv. Job Requirement 3.5 full time equivalent jobs created @ 51 % TIG
b) In consideration for the loan described above, the Employer agrees to enter into
this Agreement and agrees to use the PIC as its initial resource for recruitment,
referral and placement services, but understands he/she is not restricted to PIC
resources.
c) The Employer agrees to hire or retain at least one permanent full-time employee
(minimum of 1,750 work hours per year) per $20,000 in CDBG loan funds
received. The jobs shall be provided by December 1, 1998. The employer also
agrees that at least 51 % of all jobs, created as a result of the CDBG loan, will be
filled by members of the Targeted Income Group.
d) It is the Employer's declaration that the business loan described in Section 1.a)
above and in the Loan Agreement will result in additional employment
opportunities as follows:
Number
Anticipated
Expected
of Jobs
Positions (type)
Hiring Date
1
Janitor/Labor
05/01 /98
1
Plant Labor
05/02/98
1
Plant Labor
05/06/98
1
Customer Service
06/29/98
e) The PIC will provide employment, recruitment, referral, and placement services
to the Employer subject to the limitations set out in this Agreement, upon
Employer request.
f) The Lender's employment and training responsibilities under this Agreement,
unless otherwise assigned, will be carried out by the Job Training Agency.
g) This Agreement shall take effect when signed by the parties below. Fulfillment
of all specified job requirements shall be by December 1, 1998.
2. Employment/Recruitment
a) The Employer agrees "covered positions" for the purposes of this Agreement
shall include all Employer's job openings in the City of Vernon created as a
result of internal promotions, termination's, and expansion of Employer's work
force, within the positions listed under Section I (d).
b) At least ten working days prior to anticipated hiring dates, the Employer will
notify the PIC of its needs for new employees in the covered positions; or, if
Employer is hiring on his own behalf, he must provide proof of TIG benefit to the
City. (Proof of employee's household income per self -certification forms.)
Notification shall be by Job Order Form provided by the PIC, and shall include,
but not necessarily be limited to:
i Number of employees requested by job title.
ii. Job description, including minimum qualifications stated in quantifiable
and objective terms.
iii. Work to be performed.
iv Hiring dates.
V. Rates of pay.
vi. Hours of work.
vii. Anticipated duration of employment.
Referral
a) The PIC will refer job applicants eligible pursuant to the Job Training Partnership
Act (JTPA) and the Community Development Block Grant (CDBG) regulations to
the Employer in response to the notification of need for new employees
described in Section I (D). The PIC will maintain the documentation of
applicant/employee household income required by the CDBG program, and
provide such information to the City of Vernon.
b) The PIC will screen applicants according to the qualifications agreed upon with
the Employer. If Employer is hiring on his own behalf, he must provide TIG
eligibility documentation to the City.
c) The PIC will notify the Employer of the number of applicants it will refer and
begin making referrals no later than five working days prior to the anticipated
hiring date. The PIC will make every reasonable effort to refer at least one
qualified person(s) for each job opening.
d) In the event that the PIC is unable to refer any or all of the qualified personnel
requested, the Employer will be notified by the PIC. The Employer will then be
free to directly fill remaining positions. In this event, the Employer will make a
good faith effort to hire economically disadvantaged County residents through
additional recruitment techniques in conformance with the terms of the loan and
approved by the Lender. Employer in conjunction with the City's CDBG
Consultant will then be responsible for verifying Targeted Income Group status.
4. Placement
a) If Employer is using PIC for job placement, all decisions on hiring new
employees will be made by the Employer. The Employer agrees to provide
priority consideration to prospective employees for covered positions from the
qualified persons referred by the PIC. If the Employer does not find any of the
persons so referred to qualify for the opening(s), the PIC and City will be
notified.
b) The PIC and the City's CDBG Consultant will monitor job retention and
employment performance of employees placed under the Agreement. The
employer agrees to cooperate fully in these follow-up efforts, and to provide two
times annually hiring summaries for five years after funding, in a form
acceptable to the Lender and the State. This may include, but not be limited to,
copies of employee rosters and payroll and tax information submitted to the
State of California and to the federal government.
c) If the Employer has selected employees from referrals by the PIC, the Council
will not be responsible for the employee's actions and the Employer hereby
releases the PIC of liability.
Trainina
a) The PIC and the Employer may agree to develop additional job training
programs. The training specifications and the cost for such training will be
mutually agreed upon by the Employer and the PIC and covered under a
separate training agreement(s).
6. Controlling Regulations and Laws
a) If this Agreement conflicts with any labor laws or other governmental regulations,
those laws or regulations shall prevail.
b) If this Agreement conflicts with a collective bargaining agreement to which the
Employer is a party, the bargaining agreement shall prevail.
c) The Employer shall not discriminate against any applicant for employment due
to race, religion, age, color, sex, gender, national origin, physical handicap,
sexual preference, or political affiliation.
7. Indemnification, Assignment. Modification and Renewal
a) The Employer and Lender shall defend and indemnify the PIC and its officers,
agents and employees against and hold the same free and harmless from any
and all claims demands, damages, losses, costs, and/or expenses of liability due
to or arising out of, either in whole or in part, whether directly or indirectly, the
organization, development, construction, operation, or maintenance of the
Employer's project except for liability arising out of the concurrent or sole
negligence of the PIC, its officers, agents or employees.
b) If, during the term of this Agreement, the Employer should transfer possession of
all or a portion of its business concerns to any other party by lease, sale,
assignment or otherwise, the Employer as a condition of transfer shall require
the party taking possession to agree, in writing, to the terms of this Agreement
and to obtain approval of the Lender. A new, Non -Financial Employment Plan
Agreement shall be executed with the new party prior to the effective date of the
transaction.
c) This Agreement may, upon mutual agreement, be modified in order to improve
the working relationship described herein.
d) The Lender may terminate this Agreement at any time by written notification if
federal, state or local grants are suspended or terminated before or during the
contract period.
8. Acceptance
The Undersigned hereby agrees to terms and conditions listed herein.
EMPLOYER/BORROWER LENDER
For D/K E,y nm / For City of Vernon:
By: By:_�� ✓tea c�
Title: �4<r/ c 7 Title: Leonis C. Malburg, Mayor
By.
Title: Bruce V.. Malkenhorst, City Clerk
APPROVE AS TO FROM:
By: v
IYV
Title: David B. Brearley, City Attorney
CITY COUNCIL
LEONIS C. MALBURG
Mayor
THOMAS A. YBARRA
Mayor Pro-Tem
Wm. "BILL" DAVIS
Councilman
H. "LARRY" GONZALES
Councilman
W. MICHAEL McCORMICK
Councilman
BRUCE V. MALKENHORST
City Administrator / City Clerk
FAX (323) 581-7924
DAVID B. BREARLEY
City Attorney
FAX: (626) 330-5818
KEVIN WILSON
Director of Community Services & Water
FAX: (323) 588-2761
KENNETH J. DeDARIO
Director of Municipal Utilities
FAX: (323) 583-1983
DAVE TELFORD
Fire Chief
FAX: (323) 581-1385
CITY HALL BRUCE W. OLSON
4305 SANTA FE AVENUE, VERNON, CALIFORNIA 90058 Police Chief
TELEPHONE (323) 583-8811 FAX: (323) 583-5236
November 24, 1998
Mr. William Andrews
Economic Development Representative
State of California
Department of Housing & Community Development
State Community Block Grant Program
Room 390-2
P.O. Box 952054
Sacramento, CA 94252-2054
Dear Mr. Andrews:
Transmitted herewith is a certified copy of Resolution No. 7235
and a copy of the Loan Application being submitted by D/K
Environmental for funding of on -site improvements in the amount
of $73,018.00 in accordance with the 95-EDBG 390 Vernon
Infrastructure Loan Program as amended by Resolution No. 7233,
(certified copy enclosed).
If you should have any questions, please refer them to Mr. Chris
Romero at Ext. 324.
Very truly yours,
CITY._'F VERNON
C
G is J. o cow
Chief Deputy City Clerk
GLO:rcw
Enclosures
CERTIFICATE
STATE OF CALIFORNIA )
COUNTY OF LOS ANGELES) ss
CITY OF VERNON )
I, Gloria J. Orosco, Chief Deputy City Clerk of the City of
Vernon, County of Los Angeles, State of California, do hereby
certify that the attached is a true and correct copy of:
RESOLUTION NO. 7233 - A Resolution of the
City Council of the City of Vernon Amending
the Program Guidelines for the City of Vernon
Infrastructure Loan Program (Community
Development Block Grant No. 95-EDBG-390) As
Submitted to the State Department of Housing
and Community Development to Include Funding
of Equipment and Machinery Purchases
The original of same has been retained in the office of the
City Clerk of the City of Vernon, said offices being in the City
of Vernon, County of Los Angeles, State of California.
IN WITNESS WHEREOF, I have hereunto set my hand and affixed
the Official Seal of the City of Vernon, County of Los Angeles,
State of California, on this 24th day of November, 1998.
oria J. Oro 0
Chief Deputy gity Clerk
1 RESOLUTION NO. 7233
2
A RESOLUTION OF THE CITY COUNCIL OF THE CITY
3 OF VERNON AMENDING THE PROGRAM GUIDELINES FOR
THE CITY OF VERNON INFRASTRUCTURE LOAN PROGRAM
4 (COMMUNITY DEVELOPMENT BLOCK GRANT NO. 95-
EDBG-390) AS SUBMITTED TO THE STATE DEPARTMENT
5 OF HOUSING AND COMMUNITY DEVELOPMENT TO
INCLUDE FUNDING OF EQUIPMENT AND MACHINERY
6 PURCHASES
7
WHEREAS, the City of Vernon submitted Program Guidelines
8
for the City of Vernon Infrastructure Loan Program ("Guidelines")
9
to the State of California, Department of Housing and Community
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Development ("State") under Community Development Block Grant
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(CDBG) No. 95-EDBG-390, and said Guidelines were approved by the
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State; and
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WHEREAS, the City Council of the City of Vernon by
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adoption of Resolution No. 7152, amended the Guidelines to delete
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the requirement for City matching funds for sewer improvement
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projects and provide instead that matching funds for such projects
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should come from the business owner requesting a loan; and
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WHEREAS, the Guidelines, as amended and approved by the
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State, provide funding for infrastructure projects only, and do
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not provide funding for the purchase of machinery or equipment;
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and
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WHEREAS, the City desires to amend the Guidelines to
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provide funding for the purchase of machinery or equipment by
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businesses located in the City of Vernon, consistent with
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applicable law.
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NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF
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THE CITY OF VERNON AS FOLLOWS:
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SECTION 1: The City Council of the City of Vernon
hereby finds and determines that the recitals contained
hereinabove are true and correct.
SECTION 2: The Guidelines are amended in their entirety
so that the term "Infrastructure Loan Program" wherever it appears,
is changed to read "Infrastructure and Equipment Loan Program."
SECTION 3: The last sentence of Section 1.0 of the
Guidelines is amended to read as follows:
"This program provides an incentive for businesses to
expand or relocate in the City by reducing the costs of
off -site infrastructure improvements as well as offering
them financing opportunities for equipment purchases
that will result in the creation of jobs for the Target
Income Group."
SECTION 4: The last sentence of Section 2.0 of the
Guidelines is amended to read as follows:
"The City can offer the business a below market interest
rate loan, ranging from $20,000 to $200,0000, for public
or private infrastructure improvements as well as
purchase and installation of equipment and machinery."
SECTION 5: The following sentence is added to the first
paragraph of Section 2.4 of the Guidelines, immediately following
the words " . . . a full 24 months":
"Loans for private infrastructure or equipment purchases
will not be forgiven."
SECTION 6: The following paragraph is added to Section
2.4 of the Guidelines, at the end thereof:
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"Loans for the financing of equipment may also be
approved by the City if the assistance will result in
job creation. Equipment loans can be used to finance
items such as the following:
"(1) On -site machinery and equipment.
"(2) Furniture and miscellaneous appliances."
SECTION 7: Section 3.2 of the. Guidelines is amended by
adding subsection (4) thereto, to read as follows:
"(4) Private Equipment Financing Loans -- For
acquisition and purchase of privately owned
equipment and machinery. CDBG funds will cover no
more than 49% of the project cost, including
equipment cost/installation. The City may
contribute some matching loan funds upon Council
approval."
SECTION 8: In all other respects, the Guidelines, as
submitted to and approved -by the State, shall remain in full force
and effect.
SECTION 9: The City Clerk shall send a certified copy
of this resolution to the State of California, Department of
Housing and Community Development, addressed as follows:;
William Andrews
Economic Development Representative
State of California
Department of Housing & Community Development
State Community Block Grant Program
Room 390-2
P. O. Box 952054
Sacramento CA 94252-2054
-3-
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SECTION 10: The City Clerk of the City of Vernon shall
certify to the passage of this resolution, and thereupon and
thereafter the same shall be in full force and effect.
APPROVED AND ADOPTED this 17th day of November, 1998.
ATTEST:
s/Bruce V. Malkenhorst
BRUCE V. MALKENHORST, City Clerk
s/Leonis C. Malburg
LEONIS C. MALBURG, Mayor
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STATE OF CALIFORNIA )
) ss
COUNTY OF LOS ANGELES )
I, BRUCE V. MALKENHORST, City Clerk of the City of
Vernon, do hereby certify that the foregoing Resolution, being
Resolution No. 7233, was duly adopted by the City Council of the
City of Vernon at a regular meeting of the City Council duly held
on Tuesday, November 17, 1998, and thereafter was duly signed by
the Mayor of the City of Vernon.
(SEAL)
s/Bruce V. Malkenhorst
BRUCE V. MALKENHORST, City Clerk
-5-
EXHIBIT 3
CITY OF VERNON
INFRASTRUCTURE LOAN PROGRAM
LOAN APPLICATION
I. Company Information
Name: D/K Environmental
Address: 3650 E. 26th Street Vernon CA 90023
Telephone No.: (323)268-5056
Contact Person: Toe Ra 1 frn,r
Project Address: 3650 E. 26th Street, Vernon, CA. 90023
Type of Business: TSDF Treatment, Storage, & Disposal Facility
Project Assessor Parcel Number(s): 5192029014
Current Number of Employees: 37
Projected Number of Employees After Completion of Project: 45
Number of Employees to be Hired During Year One: 4
(Also indicate which month(s) jobs begin) Aug. Oct. Dec. ' 98
Number of Employees to be Hired. During Year Two: 4
(Also indicate which month(s) jobs begin) .Tan _ Mar' _ Jim ' 99
Total Number Of New Employees: 8
Total Number of Employees Two Years From Completion of Project: 45
3-1
II. Princinal(s) Information
Name: Brilce T)eMenno (DeMgi�no./Kerdann
)
Position: Owner
of Ownership: 1 nn
Years of Business Experience:
27
III. Existing Facility
Size: 104,544 S.F.
Owned or Leased? Owned
If Owned:
Purchase Price
$ 1, 000 , 000
Existing Mortgage
$ 0
Recent Appraised Value
$ 900,000
Annual Mortgage Payments
$ 0
I►T
If Leased:
Monthly Rent $ n/a
Annual Rent $ n/a
Expiration Date of Lease n/a
New Expansion Information (if applicable)
Size S.F.
Will new facility replace existing facility?
If replaced, will rent be saved or will existing facility be sold?
Current Market Value of Existing Facility $
Purchase Price of New Facility $
Appraised Value $
3-2
Will purchaser occupy entire space?
If No:
Explain other uses:
% to be Occupied by Purchaser:
Rental Income Generated: $
Princiaal Bank Information
Name of Bank: Bank of America
Contact Person: Elaine Sedillo
Telephone Number: (213) 228-2418
Available Line of Credit:
Applicable Account Number(s):
1459-0-05498
V. Project Costs
Project Soft Costs
$
(Architectural/Engineering,
Appraisal, Permits, etc.)
Construction
$
Rehabilitation
$
Off -Site Improvements
$
On -site Improvements
$ 163,840.00
Land Acquisition
$
Machinery and Equipment
$
Inventory
$
Other
$
TOTAL
$ 163,840.00
3-3
VI. Proiect Fundin
CDBG (City) $ 73,018
Bank $
Company (Equity) $ 90,822.00
Other $
TOTAL $ 163,840'.00
VII. Project Description
The project will entail making on -site
improvements to property. Such improvements
will include the paving of a parking lot , including
other sidewalk improvements
Vill. Additional Information
Project Completion Schedule:
Scheduled to begin by August 1998
to continue through January 1999.
TIG Hiring Schedule:
Jobs scheduled to.begin hiring in August 1998
Four jobs to begin relating to the plant labor.
'Additional jobs will be hired by January 1999.
Business Development/Marketing Strategy/Market Area
IX. Information Requested by Loan Committee
X Business income statements (Revenue projections for start-ups)
(Current and Last Three (3) Years) (Future S Years for Start-ups)
X Business Balance Sheets
(Current and Last Three (3) Years)
X Personal Financial Statements
Income Tax Returns
(Last Three (3) Years)
X Debt Schedule
X Resume(s) of Owner(s) and Business History
Itemized Third Party Cost Estimate
X Preliminary Plans including Facade Rendering (Front Elevation)
Signed Purchase Agreement (if acquiring land)
I/We hereby acknowledge that the City's Loan Committee does not and cannot guarantee that
I/We will receive financing from the CDBG Program, or public or private lenders. In addition,
CDBG financing will not be provided without adequate documentation regarding funding of the
balance of project costs and evidence of Owner equity/Owner cash injection.
Applicant Signature:
Date:%
Co -Applicant Signature:
Date:
-5
Notice of CEQA Categ
To: County Clerk
County of Los Angeles
12400 East Imperial Highway
Norwalk, CA 90650
cal Exemption
From: City of Vernon
4305 Santa Fe Avenue
Vernon, CA. 90059
Project Title: D/K Environmental, Off Site Improvements
Project Location -Specific: 3650 East 26th Street, Vernon
Project Location -City: City of Vernon Project Location -County: Los Angeles Cou
Description of Project:
Name of Public Agency Approving Project: City of Vernon
Name of Person or Agency Carrying Out Project: City of Vernon
Exempt Status: Categorical Exemption
Type and Section: Section 15303, Installation of Small New Equipment
Reasons why project is exempt: The facilities and/or improvements will not substan ally
change the use, capacity, or character of the street (primarily industrial to remain industrial) or the
site. Subject to Section 15300.2, no cumulative Impact is anticipated as the site is located in a lly
developed industrial area and no undeveloped land will be developed as a result of said improvernen
Lead Agency
Contact Person: Kewwason Telephone No. (323) 583-8911
Signature: Data:
-Itevtn Wilson, City gdbojujstrator
Signed by Lead Agency
i
FINDING OF NEPA EXEMPTION
Pc finding of the City of Vernon that the following activity proposed in its Stf
punity Development Block Grant #95-EDBG-390 is exempt from enviromneni
w requirements under NEPA because they are defined as exempt activities in
,Part 58.34 consisting solely of. -
List of Activities Citation
Off -Site Improvements 24 CFR Part 58.34 (a).(12)
t) activities judged exempt consist of:
I. The installation of CDBG eligible public works and improvements in
which the facilities will be retained in the same use without change in size
or capacity of more than 20 percent.
accordance with 24 CFR Fart 58.34 (a) (12), these activities are deemed to be exej
ce there are no circumstances which require compliance with any other federal 1�
d authorities cited in 24 CFR Part 58.5. A Statutory Worksheet was required,
odings, were at the Primary Compliance Level and a copy is attached.
Date �/�ZJ�'�
K m ilson City Adm nistrator
City of Vernon
4305 Santa Fe Avenue
Vcmon, CA 90058
11/24/1998 14:17 7603375997 THE HOLT GROUP PAGE 93
COMMUNITY DEVELOPMENT BLOCK GRANT PROGRAM
CASH REQUEST
°""tee
Address •r Ilu
ern. cA. Ciao a
Phone No. s 3- el
0f1t---Pow Ch is Romero
Toe: n;nit fr•'h�t �.�
Phone No. 3z3 3- B6
organrzatlon: G . ern•n
aront�"95-EDBG-390
Rrrquerjt Oate: r70-gr 94 19 9 8
Grant Expiration Date:
Req, sr 4DeC.01,1998
ADVANCE: X LUMP SUM:
REIMBURSEMENT:
A. CASH REQUEST
1. Total CDBG cash received as of roquest date
$161 0 0 0
2. Program Income received and avallable for this grant ectN as of r uest date
3. C09G cash disbursed as of request date
$15 5 , 2 3 8
4. Program Income disbursed for this grant activity as of request date
6. CDBG cash on hand as of request date 1+2-340$5 000 explain)
$ 5,762
8. Total COW funds previously requested not Including line 7
$161 , 0 0 0
7. Amount of this CDBG Cash Request
$ 2 8 6 , 6 81
8. Cesh Request by contract activity must equal amount on line 7
1.Business Assistance $ 273,018 3. General Administration $ _ 10,655
2. Activity Delivery O
9. If Escrow Account - Current Balance S
Will balance be expended within 22 working days of deposit9 Yes_No.
If no explain
10. Comments:
Two utstan-ding invoices
B. RATIFICATION
I certify that to the best of my ImoMedge this report is true In It respects and thet all disbursements have been made
for the purpose and conditions of this grant.
Chris Romero Administrative - e�• 11 24 98
NAME TITLE SIGNATURE.
DATE
STATE USE ONLY
15-day environmental review comment period applicable
Yes No
CDBG Fiscal Representative Data
CDBG Program Representative Date
CDBG Manager Date
Index PCA Amount
Index PC Amount Grant Balance
KWWW;.lap. 11, IVVf
� a2�
November 17, 1998
TO: Bruce V. Malkenhorst, City Administrator
FROM: Kevin Wilson, Director of Community Services & Water
SUBJECT: DK ENVIRONMENTAL/CDBG LOAN
After further review of the documents, City consultants have recommended that Vernon
City Council approve the CDBG loan to DK Environmental in the amount of $73,018.00 based
on the completion of the following conditions:
1)Execute a Corporate guarantee, guaranteeing repayment must be obtained.
2)An executed Note and Deed of Trust in the amount of the total CDBG funds be recorded on
behalf of the City of Vernon as a lien, in no less than first position on the subject property.
3)Ensure that all liens on subject property (City Loan included) do not have a liability greater than
the 60% of the present appraised value of the property ($900,000).
4) Applicant shall provide an executed loan agreement and employment agreement.
5)City staff should ensure and document that funds are disbursed only after the applicants
match/equity has been expended.
The company would be meeting the overall State objective of providing employment
opportunities to the Target Income Group.
SKW/cmr
cAcdbg\DKApproveConditions
MEMORANDUM
VIA TELECOPIER AND MAIL
TO: Bruce V. Malkenhorst, City Admini atop / C erk
2 l
FROM: David B. Brearley, City Attorn y
SUBJECT: D/K Environmental and Princess Pape , nc.--Proposed
Loan Agreements under Infrastructure Loan Program
DATE: November 10, 1998
Late last week, we received documentation fora proposed loan
agreement between the City and D/K Environmental under the City's
EDBG Infrastructure Loan Program. Yesterday, we received
documentation on a second proposed loan to a company called Princess
Paper, Inc. We have been informed that these agreements must be
approved at the November 17, 1998 Council meeting because there is a
risk the City will lose its funding from the State. According the
City's consultant in this matter, the Holt Group, the City must
approve these loans by December 1, 1998, and the borrowers must have
signed project agreements in place by the same date or the State
funding will be lost.
Questions and comments I have about these loans are as follows:
D/K Environmental
1. The funding provided to D/K Environmental will be a loan
rather than a grant, as was the case with Kronfli. The amount of the
loan, according to Chris Romero, is $131,072.00. Repayment will be
over ten years with interest at 5% per annum.
2. A concern in this transaction is the adequacy of the
security provided by D/K Environmental. D/K Environmental leases the
property on which it operates, and so cannot give the City a deed of
Memo to B.V. Malkenhorst 2 November 10, 1998
re D/K Environmental and Princess Paper, Inc. --Proposed Loan
Agreements under Infrastructure Program
trust. It has offered a "corporate guaranty" from its parent
company, DeMenno/Kerdoon. An investigation of the proposed
guarantor's financial ability to repay the City should be made as a
matter of due diligence.
3. Are you satisfied in lending this sum to D/K Environmental
if a corporate guaranty is the only security? The City's consultant
indicates that the City would be liable to reimburse the State if the
loan is not repaid.
Princess Paper, Inc.
1. Again, this would be a loan, not a grant. The proposed
amount is $170,592.40, to be repaid over five years with 6% interest.
2. The loan proceeds will be used to purchase machinery for
use in Princess Paper's business. The Infrastructure Loan Program,
a's currently established, does not provide for machinery or equipment
loans. The City's consultant told us this morning that this is a
permissible use of EDBG funds, but the City must amend its loan
program guidelines before it can make the loan. Thus, this will have
to be done at the November 17, 1998 Council meeting. I have written
the consultant the attached letter, requesting assistance on this.
3. Regarding security for repayment of the loan, we received
unaudited financial statements from the two principals of Princess
Paper, both of which show substantial assets. Princess Paper leases
the property on which it conducts business, and so a trust deed is
not an option. The consultant believes that a security interest in
the equipment being purchased will suffice. The cost of the
equipment is approximately $475,000, but the City should attempt to
Memo to B.V. Malkenhorst 3 November 10, 1998
re D/K Environmental and Princess Paper, Inc. --Proposed Loan
Agreements under Infrastructure Program
verify that the value of the equipment is as represented before
accepting it as security. Additionally, while the financial
statements of the principals (who presumably would be the guarantors
of the loan) show substantial assets, an attempt should be made to
verify their accuracy.
Lack of City Contribution
The consultant brought to our attention the fact that the State
may have been expecting the City to contribute City funds toward
projects funded through this program. Given the lack of City
participation in the Kronfli loan, and the lack of participation in
these loans, the consultant said it is possible the State may force
some kind of City financial participation in one or both of these
transactions.
Please let me know if you have any questions.
Enclosure
cv\bm-dknvr.001
CITY COUNCIL
LEONIS C. MALBURG
Mayor
THOM.AS A. YBARRA
Mayor Pro -Tern
Wm. 'BILL" DAVIS
Councilman
H. "LARRY" GONZALES
Councilman
W. MICHAEL McCORMICK
Councilman
BRUCE V. MALKENHORST
City Administrator / City Clerk
FAX (323) 581-7924
DAVID B. BREARLEY
City Attorney
FAX: (626) 330-5818
KEVIN WILSON
Director of Community Services & Water
FAX: (323) 588-2761
CITY HALL
4305 SANTA FE AVENUE, VERNON, CALIFORNIA 90058
TELEPHONE (323) 583-8811
November 12, 1998
City Council
City of Vernon
Honorable Members:
KENNETH J. DeDARIO
Director of Municipal Utilities
FAX: (323) 583-1983
DAVE TELFORD
Fire Chief
FAX: (323) 581-1385
BRUCE W. OLSON
Police Chief
FAX: (323) 583-5236
DK Environmental has applied for Community Development Block
Grant (CDBG) Project funding. Community Services and Project
Consultants (The Holt Group) have reviewed the application and
agree that the documents are acceptable and in conformance with
the guidelines.
DK Environmental has applied for $73,018.00 to be used for
various on -site improvements, i.e., parking lot improvements.
This application has been reviewed by the Director of Community
Services and Water and the City Attorney, and it is hereby
recommended that City Council make findings that, 1) the proposed
activities are exempt from environmental review requirements
under NEPA, 2) the project is categorically exempt from the
California Environmental Quality Act (CEQA), and 3) the CDBG on -
site improvement loan be approved for DK Environmental.
Very truly yours,
Bruc _V. Malkenhorst
City Clerk
BVM:rcw
November 10, 1998
TO: Bruce V. Malkenhorst, City Administrator
FROM: Chris Romero, Administrative Aide OftX'
SUBJECT: COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG) LOAN
APPLICATIONS - DK Environmental
DK Environmental has applied for Community Development Block Grant (CDBG) project
funding. Staff and project consultants (The Holt Group) have reviewed the application and agree
that the documents are acceptable and in conformance with the guidelines. In addition, the review
has concluded that the project is categorically exempt to the California Environmental Quality
Act,
DK Environmental has applied for $ 73,018.00 to be used for various on -site
improvements, i.e. parking lot improvements.
It is recommended that City Council make a finding that the proposed activities are
exempt from environmental review requirements under NEPA defined as exempt activities in 24
CFR Part 58.34 (a) (12); and that the City Council find that the project is categorically exempt
from the California Environmental Quality Act (CEQA).
The application has been reviewed and it is recommended that the CDBG loan be
approved for DK Environmental.
cACDBG\DKmemoTOcc
I AU111-lc--177C5 l -+•tUU vc_r i. Ur I7UlJO i Ilu � �.�. ' .— "-
gTATE OF QAUFORNIA JUSTNESS TRANSPORTATION AND HOUSING AGENCY _ PETE WILSON, Govemor
DEPARTMENT OF HOUSING AND COMMONM DEVELOPMENT vr4,�s
DIVISION OF COMMUNITY AFFAIRS
1800 Thfro Street Suite 390IU
P. O. Box 962064
Sacramento, rA 94252-2064 WO-9
(818)C3�22-15W
FAX S i."GO
November 12, 1998
Mr. Chris Romero, Administrative Assistant
City of Vernon
4205 Santa Fe Avenue
Vernon, California 90058
RE: Equipment Purchase and City's Future Liability
CDBG Grant 95-EDBG-390
Dear Mr.
Please be advised that based on information submitted to this office that City can amend
its revolving Loan plan to include the purchase and installation of machinery and equipment for
business participating in the Enterprise Fund program.
I would also like to provide you with reassurance that the City will not be held liable to
repay any cost to the state in the future if there is a default on the terms and conditions of the
loan. The City would only be responsible for repaying the dollars if they were loaned for a non -
eligible activity or if the City did not properly underwrite the loan and show due diligence with
respect to following through on the conditions and terms of any default by borrowers
participation in the program.
Best wishes for continued successful implementation of your Enterprise Fund program.
If you have any questions about this authorization or other aspects of the grant please contact me
at (916) 322-0919
Sin erely.
William Andrews
Housing and Community Development Representative
TOTAL. P. ®1
ll/17/98 16:04 FAX 626 330 5818 DAVID B BREARLEY 444 CITY CLERK 001/007
NOV-16-1998 MON 03:42 PM 0I7 OF VERNON FAX NO. (bell , Ue
11/16/1999 15:13 , 76031-r 97 TW MOLT GROUP''— Pir<J pl PA(X 82
(
To BENEFIT
NON-FlNANOWL EMPLOYMENT PLAN AGREEMENT
DIK pNVIRbNMENTAL
This Agreement, between the City of Vamtofr ("Lander') and D/K Environmental ('Borrower") will be upW
to assure continuing ampbyment opportunities to economically disadvanteped (Target Income Group) and
unemployed residents of the CRY. Under this ?hs f'rlvete ndu sndCouneUat 7 Employments Its inigatAr�o�uro�e for reervltnwntr
wiU use the Job Training Agency (' Wy
referral and plecemertt in positions coVered herein, but Is not resbicb el to PIC resouroes. This Agreement
is not a loan agreement.
1, Get T =
a) The Lender wilt provide a low interest Community Development Block Grant (CODG) loan
for Infrastructure Improvements. Sy "a of this ban, the Lender expects to retain and
red(=e addMonal employment opportunities fw lower Incorro and unemployed persons.
The Lender two negotiated a ban with the Employer as follows and as additionally
described in the Loan Agreemef1atrs
'
L Loon Amount
II. Interest Role
Ill. Term
iv. Job Requirement e,5 full time equivalar t jobs created a s m TiG
b) In consideration for the loan described above, the Employer agrees to enter into this
Agreement and agrees to use the PIC as Its Initial resource for reerUWneK referral and
placement services, but understands he/she is not restricted to PIC resource6.
e) The Employer agrees to hke or retain at least one permanent full-time employee
(minimum of 1,760 work hours per year) per $20,000 in CDBO ban funds tsceivod. The
jobs shall be provided by December 1.1208. The employer also agrees that at least 61 %
of all lops, created as a result of the CDB(3 loan, will be filled by members of the Targeted
Income Group.
d) It is the Employer's declaration that the business, loan desefted In Section 1.a) above
and In the Loan Agreement will rmR In addltional employment opportunities as follows;
Number Aniblpated Expected
f4 Jobs Positions (.type) HIrMQ Date
Post -it• Fax Note 7671
Date , 9�
Paof
ToH"UA
From
Co./Dept
Co.
Phone #
Phone #
Fax #
Fax #
I of 4
,11/17/98 16:05 FAX 626 330 5818
NOV-16-1998 MON 03:44 PM CJTV OF VERNON
11/16/199S 15:13 766,-46997
DAVID B BREARLEY �44 CITY CLERK
FAX N0, ?^15817924
-,. k
Q 002/007
P. 05
PIKE 85
b) If, during the t9rrn of this Agreement, the Ernpbyer should transfer possession of all or it
portion of Its business concems to any other party by lease, sale, assignment or
otherwise, the EmploW ss a condition of transfer shell requkro Ow party taking
possession to agree, in writing, to the terms of this Agreement and to obtilln approval of
the Lender, A new, Non-Ftnanclal Employment Plen Agreement shell be "awted with
the new party prior to the effective date of the ttansaNion.
c) This Agreement may, upon mutual agresmenk be modified in order to improve the
working relationship descrlbed herein.
d) The Lender may teiminete this Agreement at any tirft by wthten neffiicaftri if federal,
oteto or local grants are suspended or terminated before or during the cohtrt Ct period.
8. Acaeotena
The underalgr►ed hereby agrees to terms and conditions rioted herein,
EMKOYERIBORROWER
For D/K Environmental;
By:
Title:
Date; ,
LENDER
For Gty of Vernon:
By:
Date'
ATTEST
City Clark
Onto:
APPROVED AS TO FORM:
City Attorney
4 of 4
,11/17/98 16:06 FAX 626 330 5818 DAVID B BREARLEY 444 CITY CLERK
NOV-16-1998 MON 03144 PM CITY OF VERNON FAX NO, 39158/7924
11/16/1998 15013 7601,.,5997 THE HOLT GML)P'
Ir
It eo ue by:
n Wilson
for of unity Services
Wiarn riled Z
to:
Cityof n 4.
d;OS anta F
Ve on, CA 9 9
PERSONAL GUARANTY ON COMMERCIAL LOAN
A/K Environmental Lender. City of Vemon
Guaranun(s):
o0 6 6
PACE 06
TIM Principal Amount of this Guaranty is 00 00'
Dollars
c73�o1g
For valuable consideration Guarantor ointly and severally and unconditionallThitedswesof
miser
to pay to Lender, its successors or ass�grrs, on demand is lawful money of the- generics,
airy and all ndebtedneas of Borrower to Leader, as follows:
1. u1ndebtedneas" Defted. The word "Indebtedness" is
eonMehensive senst and includes, but is not limited to an
and liabilities of Borrowex, or any of then,, including
now, or hereafter made, incurred or created, whether vo
arising, whether due or not due, absolute or contingent, liq
tmdeteimined, and whether Borrower Vaay be liable Wditvidi
or secondarily or as �u arantor, and whether recovery up
may become bon
arred dry any statute of limitations, and V
hereafter may, become otherwise unenforceable arsd wl
tramactions which may be voidable on account of Infancy, i
used in this Guaranty in its most
Y end all advwrAs, debts, obligations,
is against Borrower, heretofore,
irrtarz or involuntarily mad however
iidated or unliqu dated, determined or
ally or jointly wit others, or anly
such rode ma s a or ereaiter
nether such indebtedness may be or
ether such iridebtodnem arises from
sanity, ultra +vires, or otherwise,
2. Maximum Liability. T11e Liability of Guaramtor under this Ouazanty shall not exceed at any one
time the sum of the Ptineipel Amount set forth above, plus interest (at We specified in loan
agreement) thereon and,plus all of Lender's costs, expenses, and attorney fees including any on
a peals, m connection vvzth the enforcement of this Gi aranry, the collection of tea Indebtedness of
Borrower, or with the collcctioA or We of any collateral, whether or not there is a law6uit.
The above Im' Uhation on liability is not a restriction on the amount of the Indebtedness of
Borrower to Lender either in the aggregate or at any one time. If Lender prescrztly olds one or
more guaranties or hereafter receives additional tics f m Guarantor of the I ebtedness of
Borrower, the rights of bender under all guarantTes shall be cumulative. This Oumnty shall not,
unless herciA providedr affect or invalidate airy such other Qtsarauties. The liability of Guarantor
will be theg� ggate liability of Guarantor under the terms of this Guaranty and any such other
unterminated guaranties.
Page 1 of 4
11/17/98 16:07 FAX 626 330 5818
NOV-16-1998 MON 03:47 PM C1T" OF VERNON
1.1/16/1998 15:13 7601h�997
DAVID B BREARLEY — CITY CLERK
FAX NO, r" W7924
TW HOLT aML P-
Q 004/007
P. 10
PPS 19
LOAN AGREEMENT
This Agreement is made and entered kdo this — � day of . lath by and
pebaroan the City of Vernon, a munlelpat corporation (hereafter rho "Lander") Arid D1K Environmental
hereafter the "WOW).
WHEREAS,
The Borrgww has appfaed to the Lender fors ban br the purpo6e of helping to finance Infl Str a lure
improvements for a TSOF treatment, storage and disposal WRY tOcated at 3650 Lest 2e street in the
City of Vernon which will result In the risen of Jobs; and
WFIEREAS,
The Borrower has read and agrees to oomph► with aN resMons and requirements of the ben aontakted
in this Agreement: and atbched Exhiblts, which are Inoorporated herein by reference; and
WHEREAS,
The Lender Is willing to make such 6 loan to the Borrower On the terms and condldom hereafter set forth,
NOW, THEREFORE,,
In consideration of the mutual covenants and agreements contained herein, the parties h6reto agree as
foNows:
a. U&NO i ,(gr o l 00
subject to the terms and cont one of this Agreement, the Lender hereby agrees to lend
the rower, and the 8 er
Bor, hereby agrees to borrow from the Lender and repay the
Lender, the amount of (herektafter called "Loan-), The oblipbon of the
Borrower to repay the Lender shall be evidenced by the promissory note (hereafter the
"Note,) of the Borrower In a form satisfactory to the Lender dated the date on Alch the
Loan is landed (hereafter kAWm as the 'Closing Date") payable to the order of the Lender
e arno of Me Loan with Interest on the unpaid principol In the ermurit of
S 6043fi07,2,00, secured by a Dead of Trust on the sub)eet property and a personal
o the City of Vomon.
b.
The t4rm of the Loan shall b r ten (10) years m the date the funds am scheduled for
disbursement The Note a in equal monthly Installments, The rivet
monthly installment 0mll be due and payable on the timt day of the month after the date
of document execution. AN peynterne shall be applied rust to Intorost and then to
prhelpal. All payments VAR be rmoo promptly to the Lender at the address apeci%cl by
the lender, Prepayment of the loan is allowable with no prepayment penalty.
Page Iof7
11/17/98 16:08 FAX 626 330 5818 DAVID B BREARLEY 4— CITY CLERK Q 005/007
NOV-16-1998 MON 03:48 PM C1Tv OF VERNON FAX NO. ?""S817924 P. 11
11/16/1998 15:13 70-4, 75997 THE HO-T PAGE 1g
The Interest rate on the pr9noipal amount of the ban shot be five percent (5%) per annum.
c, Purcose:
The purpose of the Loan Is to help finance infrastructure Irnprovernents that will result In
the creation of jobs.
d. Emelovment 4-
As a condition of the loan, the Borrower agrees to oreaf:s at a minimum the equivalent 6i-
RA time lobs, allowing far the aquivalent positions to be created on or by December 1,
1996. At least 51% of all jobs created se a result of this ban must be filled by mernbefs
Of the targeted income group, The Targeted Income Group guidellnes aria Adopted by the
State and are dependent on family size. The jobs shell be created and shall remain in
ptaoe continually throughout the term of the Loan. Failure by the Borrower to create the
61% full time target Incon» jobs shall M$ult in the Sormwer being required to repay the
ban upon demand at the rate of $20,000 per job not crated In IUD.
e, Other Lgzs/Fund ;
The Loan Ic made In combinetlon with other loane/funds described as follows:
Cash Equity by Owner, lPk"M
2. CDBG torah: 44�;�:90 -? 7,a1 e
Prior to disbursement of any funds, Borrower shell provide to Lender evidence
satisfactory to lender that Borrower has executed loan documents for the other
funding/loan(d)
2. CONDITIONS OF LENDING
The obligation of the Lender to lnake the Loan shall be subject to the fulfillment at the time of
closing of each of ft Wowing conditions,
a. Note and Loan agreement
The Borrower shall hays etecuted and delivered to tha tender this Loan Agreement and
the Note In a form satisfactory to the Lender and Its Counsel.
D. Security Agreement
The Borrower shall have a+revuted and delivered to fits Lender ea-SeetiG-�9resrnontfora
l guarantee to the City cf Vernon.
C.
0A The hens granted to the Lander pursuant to the terms of the Seeur Agreerent, the
Promissory Note and the Deed of Trust are or will be, when wwd, liens on the
respective property described therein, Including the nd products thereof.
ZXAX�' vv"V�.a %04' :, ^ tt�A�,
t�� Page 2 or .Lv�M
ll/17/98 16:09 FAX 626 330 5818
NOV-16-1998 MON 03:49 PM C1TV OF VERNON
.. - 11/16/1998 15:13 76&: 5997
DAVID B BREARLEY -j-j4 CITY CLERK
FAX NO. 3"'MW924
TK HOLT GROUP
Z 006/007
le
PAGE 12
d. fig;
The Lander shall have received duly executed .persene�' rate uerantiim
ato to a7
toble w Lender. s•c "A -.Aft � q
e, Finandal Emoloy +ant Flom /areer bd
the Borrower %haft have executed and delivered to the LW1der a Non-FnaneW
Employment Plan Agreement,
f. QMrnmaftl 62000MMI:
The Borrower shall have secured all necessary permits, aPPMV616, or consents, if
required, of governmental bodies having Jurisdktlon with respect to any conduction
coMamplated In accordance with the use of proceeds of the Loan, The Borrower shell
comply vdth the Zoning Ordinance of the Vernon Municipal Code throughout the
dewtopment and use of on property described harem.
a. Aoorovat pfOthers.
The 6omower shell have secured all necessary approval* or consents rt*qulrod with
respect to this transaction by any mortgagor, creditgr, or other party having any financlal
Interest M the SonVW.
3. EVENTS OF DEFAULT
The entire unpold principal of the NOW, and the interest then accrued thereon, shall become
Innedlately due and payable upon the written demand of the Lender, without any other notice or
dernand of any Iond or any presentment or protest 9 any one of the following events (hereafter an
"Event of Defeulr) shall occur and be contlnuing at the time of such demand, whether voluntary or
Involuntary or, without limitation, occurring or brought about by operation of IaW or pursuant to or
In compliance with any Judgment, decree or order of any court or any order, rules. or regulations
of any administratNe or governmental body provided, however, that such turn shall not be then
payable If Borrower's payments have been waived, or the tme for making the Borrower's
payments has been extended by the Londe
a.Pavment of Loan:
If Borrower shell fell to make payment when due of any installment of principal on the
Note, or Interest accrued thereon, and If the default shell remain unremedled for twenty
120) days,
,,.ti, •. , •1 11IT-1-1-1t.•
If Sorrc*w shall be In default of payment when due of any Installment of principal or of
Interest on any of the sorm"es other Indebtedness, N such default 411411 remain
unremedied for thirty (30) days.
if any representation or warranty contained in or made In connection with the execution
and delivery of this loon agreement, or In any t:erdfleMe furnished pursuant hereto, shalt
prove to have been Incorrect or Invalid when made In any material respect.
Pefc 3 of 7
'11/17/98 16:10 FAX 626 330 5818
NOV-16-1998 MON 03:51 PM CITE OF VERNON
11/16/1998 1S:13 760337`, 7
DAVID B BREARLEY 44-> CITY CLERK 11007/007
FAX NO, 32 D917924 Po 16
THE HOLT GROUP— PAGE 16
ACEe�—per
the pa
rdes hereto have 02ch caused this Loan Agreement to be duly executed
IN yviTNESS THEREOF,
as of the data first written above,
BORR,QWER:
For DK Environmental:
For City of Vernon:
By.
By:
Title:
Title:
Approved as to form:
Date:
11/17/98 16:23 FAX 626 330 5818
DAVID B BREARLEY CITY CLERK Q 002/007
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CORPORATE GUARANTEE
This guarantee ("Guarantee") is made as of ,
1998, by DeMenno/Kerdoon ("Guarantor") in favor of the City of
Vernon ("City"), with reference to the following facts, which are a
material part of this Guarantee:
A. City has agreed to make a loan ("Loan") to D/K
Environmental ("Debtor") in the principal sum of $73,018.
B. Guarantor is the owner of all issued and outstanding
capital stock' in Debtor, and has received and will continue to
receive from Debtor a significant benefit for undertaking the
obligations described in this Guarantee.
C. In consideration of City making the Loan, Guarantor has
agreed, at Debtor's request, to unconditionally guarantee payment of
any and all indebtedness of Debtor to City, as provided in this
Guarantee.
THEREFORE, in consideration of the foregoing and for other
valuable consideration, the receipt and sufficiency of which
guarantor acknowledges, Guarantor agrees as follows:
1. Guarantor unconditionally guarantees and promises to
pay to City, or order, on demand, in lawful money of the United
States, any and all Indebtedness of Debtor to City.
2. "Indebtedness" is used in this Guarantee in its most
comprehensive sense and includes without limitation that unsecured
loan in the original principal amount of $73,018 made by City to
Debtor pursuant to the Loan Agreement executed concurrently with
this Guarantee.
3. Guarantor unconditionally guarantees and agrees (a) to
perform and comply with all provisions and conditions of the Loan
11/17/98 16:23 FAX 626 330 5818
DAVID B BREARLEY CITY CLERK Q 003/007
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Agreement binding on or otherwise applicable to Debtor and any
changes or additions to the same, and all provisions and conditions
of any rider or exhibit made a part of the Loan Agreement now or
later existing; and (b) to cause the same to be performed and
complied with.
4. Guarantor's liability under this Guarantee shall be
limited to the principal amount of $73,018, interest on such amount,
and collection costs, including reasonable attorney fees and costs.
Guarantor further agrees, without demand, to immediately reimburse
City for all expenses, including attorney fees, incurred in the
enforcement of this Guarantee or the collection of such
Indebtedness, or in connection with the engagement of counsel by
City during a restructuring or "workout" of such Indebtedness.
5. This Guarantee is secured by a deed of trust with
power of sale executed this date.
6. Until the Indebtedness has been paid in full,
including any part of the Indebtedness that exceeds Guarantor's
liability under this Guarantee, Guarantor shall not have, and waives
to the fullest extent permitted by law (a) any right of subrogation
to any right that City now has or may have later against Debtor in
connection with the Indebtedness and (b) any benefit of, and any
right to participate in, any security now or later held by City for
the Indebtedness.
7. Guarantor represents and warrants that Guarantor has
derived or expects to derive a financial advantage from every loan
and other extension of credit from City to Debtor, and from every
renewal, extension, release of collateral, and other relinquishment
-2-
i11/17/98 16:24 FAX 626 330 5818
DAVID B BREARLEY CITY CLERK Q 004/007
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of legal rights made or granted, now or in the future, by City to
Debtor in connection with the indebtedness.
8. Guarantor represents and warrants that Guarantor has
copies of, and is fully familiar with, every document executed or
delivered to City by Debtor, and represents and warrants that all
necessary action, whether corporate or otherwise, has been taken by
Debtor to authorize Debtor to execute those documents and to engage
in the transactions described in them.
9. Guarantor authorizes City, before or after revocation,
without notice or demand, and without affecting Guarantor's
liability under this Guarantee, from time to time:
(a) to create new Indebtedness; to renew, extend,
accelerate, compromise, and otherwise change the time for payment of
the Indebtedness; and to modify any other terms of, any or all of
the Indebtedness, including changing the applicable interest rate;
(b) to take and hold security for the payment of this
Guarantee or the Indebtedness; to perfect or refrain from perfecting
its interest in the security, whether or not the security is
required as a condition to the making of the Loan to Debtor; to
exchange, enforce, waive, or release (whether intentionally or
unintentionally) all or any part of the security; and to purchase
all or any part of the security at a public or private sale;
(c) to apply all or any part of the security, and to
direct the order or manner of its sale, as City, in its sole
discretion, determines;
(d) to settle, release, compromise with and
substitute any one or more of the endorsers, Guarantors, and other
-3-
11/17/98 16:25 FAX 626 330 5818
DAVID B BREARLEY -4-> CITY CLERK IA005/007
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obligors of this Guarantee or the Indebtedness; and
(e) to assign this Guarantee, in whole or in part.
10. Guarantor waives any right it may have to require
City:
(a) to proceed against Debtor or any other person
liable on the Indebtedness;
(b) to proceed against or exhaust any security
granted by Debtor or any other person before proceeding against
Guarantor or any security granted by Guarantor;
(c) to have the property of Debtor first applied to
the discharge of the Indebtedness; and
(d) to pursue any other remedy in city's power.
11. Guarantor waives all presentments, demands for
performance, notices of nonperformance, protests, notices of
protest, notices of dishonor, and notices of acceptance of this
Guarantee and of the incurring of new or additional Indebtedness or
the extension or nonpayment of Indebtedness.
12. Guarantor assumes responsibility for being and keeping
informed of the financial condition of Debtor and of all other
circumstances bearing on the risk of nonpayment of the Indebtedness,
which diligent inquiry would reveal, and City shall have no duty to
advise Guarantor of information known to it regarding that condition
or any such circumstances. On City's request, Guarantor will
promptly provide complete and current financial statements and such
other financial information about ,Guarantor as City reasonably
requests.
-4-
`11/17/98 16:26 FAX 626 330 5818
DAVID B BREARLEY 44-� CITY CLERK 11006/007
311
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13. At its election, City may exercise any right it may
have against Debtor or any security held by City, including without
limitation the right to foreclose on the security by one or more
judicial or nonjudicial sales, whether or not every aspect of any
such sale is commercially reasonable, without affecting or impairing
Guarantor's liability under this Guarantee, except to the extent
that the Indebtedness is paid.
14. Guarantor waives any defense arising from the absence,
impairment, or loss of any right of reimbursement, contribution, or
subrogation, or any other right of Guarantor against Debtor or any
security, whether resulting from the election by City or otherwise.
Guarantor waives any defense arising from any cause whatsoever,
including without limitation the City's act or omission, resulting
in the cessation of Debtor's liability to City for the Indebtedness,
either in whole or in part.
15. Guarantor waives, to the fullest extent permitted by
law, all rights and benefits:
(a) under California Civil Code section 2809, which
provides that a guarantor's obligations shall not exceed nor be more
burdensome than the principal obligation;
(b) without limiting the generality of the foregoing
or any other provision of this Guarantee, under California Civil
Code sections 2810, 2815, 2819, 2839, 2845, 2847-2849, 2850, 2899,
and 3433, to the extent such provisions, or any of them, have any
application to this Guarantee or to Guarantor.
16. In addition, Guarantor waives, to the fullest extent
permitted by law:
-5-
November 5, 1998
TO: Kevin Wilson, Director of Community Services & Water
FROM: Chris Romero, Administrative Aide (.V�
SUBJECT: CDBG LOAN AGREEMENTS
We are in the process of getting the paperwork prepared for the CDBG applicants.
two applicants are:
1) DK Environmental Total On -Site Improvements $154,422.00
$154,422 x 80% _ $123,537.60 is the CDBG match and
$30,884.40 will be DK Environmental match.
2) Princess Paper $178,126.80 remaining amount of funds, total equipment
purchase is set at over $400,000.
After further research, the State CDBG officials typically prefer agencies to set the loan at
5% to 6% with a 10 to 15 year term. Please let me know if you have additional questions.
cc: Gloria Orosco
1 CORPORATE GUARANTEE
2 This guarantee ("Guarantee") is made as of ,
3 1998, by DeMenno/Kerdoon ("Guarantor") in favor of the City of
4 Vernon ("City"), with reference to the following facts, which are a
5 material part of this Guarantee:
6 A. City has agreed to make a loan ("Loan") to D/K
7 Environmental ("Debtor") in the principal sum of $73,018.
8 B. Guarantor is the owner of all issued and outstanding
9 capital stock in Debtor, and has received and will continue to
10 receive from Debtor a significant benefit for undertaking the
11 obligations described in this Guarantee.
12 C. In consideration of City making the Loan, Guarantor has
13 agreed, at Debtor's request, to unconditionally guarantee payment of
14 any and all indebtedness of Debtor to City, as provided in this
15 Guarantee.
16 THEREFORE, in consideration of the foregoing and for other
17 valuable consideration, the receipt and sufficiency of which
18 guarantor acknowledges, Guarantor agrees as follows:
19 1. Guarantor unconditionally guarantees and promises to
20 pay to City, or order, on demand, in lawful money of the United
21 States, any and all Indebtedness of Debtor to City.
22 2. "Indebtedness" is used in this Guarantee in its most
23 comprehensive sense and includes without limitation that unsecured
24 loan in the original principal amount of $73,018 made by City to
25 Debtor pursuant to the Loan Agreement executed concurrently with
26 this Guarantee.
27 3. Guarantor unconditionally guarantees and agrees (a) to
28 perform and comply with all provisions and conditions of the Loan
1 Agreement binding on or otherwise applicable to Debtor and any
2 changes or additions to the same, and all provisions and conditions
3 of any rider or exhibit made a part of the Loan Agreement now or
4 later existing; and (b) to cause the same to be performed and
5 complied with.
6 4. Guarantor's liability under this Guarantee shall be
7 limited to the principal amount of $73,018, interest on such amount,
8 and collection costs, including reasonable attorney fees and costs.
9 Guarantor further agrees, without demand, to immediately reimburse
10 City for all expenses, including attorney fees, incurred in the
11 enforcement of this Guarantee or the collection of such
12 Indebtedness, or in connection with the engagement of counsel by
13 City during a restructuring or "workout" of such Indebtedness.
14 5. This Guarantee is secured by a deed of trust with
15 power of sale executed this date.
16 6. Until the Indebtedness has been paid in full,
17 including any part of the Indebtedness that exceeds Guarantor's
18 liability under this Guarantee, Guarantor shall not have, and waives
19 to the fullest extent permitted by law (a) any right of subrogation
20 to any right that City now has or may have later against Debtor in
21 connection with the Indebtedness and (b) any benefit of, and any
22 right to participate in, any security now or later held by City for
23 the Indebtedness.
24 7. Guarantor represents and warrants that Guarantor has
25 derived or expects to derive a financial advantage from every loan
26 and other extension of credit from City to Debtor, and from every
27 renewal, extension, release of collateral, and other relinquishment
28 of legal rights made or granted, now or in the future, by City to
-2-
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Debtor in connection with the Indebtedness.
8. Guarantor represents and warrants that Guarantor has
copies of, and is fully familiar with, every document executed or
delivered to City by Debtor, and represents and warrants that all
necessary action, whether corporate or otherwise, has been taken by
Debtor to authorize Debtor to execute those documents and to engage
in the transactions described in them.
9. Guarantor authorizes City, before or after revocation,
without notice or demand, and without affecting Guarantor's
liability under this Guarantee, from time to time:
(a) tocreatenew Indebtedness; to renew, extend,
accelerate, compromise, and otherwise change the time for payment of
the Indebtedness; and to modify any other terms of, any or all of
the Indebtedness, including changing the applicable interest rate;
(b) to take and hold security for the payment of this
Guarantee or the Indebtedness; to perfect or refrain from perfecting
its interest in the security, whether or not the security is
required as a condition to the making of the Loan to Debtor; to
exchange, enforce, waive, or release (whether intentionally or
unintentionally) all or any part of the security; and to purchase
all or any part of the security at a public or private sale;
(c) to apply all or any part of the security, and to
direct the order or manner of its sale, as City, in its sole
discretion, determines;
(d) to settle, release, compromise with and
substitute any one or more of the endorsers, Guarantors, and other
obligors of this Guarantee or the Indebtedness; and
(e) to assign this Guarantee, in whole or in part.
-3-
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f-:l
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PA3I
10. Guarantor waives any right it may have to require
City:
(a) to proceed against Debtor or any other person
liable on the Indebtedness;
(b) to proceed against or exhaust any security
granted by Debtor or any other person before proceeding against
Guarantor or any security granted by Guarantor;
(c) to have the property of Debtor first applied to
the discharge of the Indebtedness; and
(d) to pursue any other remedy in City's power.
11.. Guarantor waives all presentments, demands for
performance, notices of nonperformance, protests, notices of
protest, notices of dishonor, and notices of acceptance of this
Guarantee and of the incurring of new or additional Indebtedness or
the extension or nonpayment of Indebtedness.
12. Guarantor assumes responsibility for being and keeping
informed of the financial condition of Debtor and of all other
circumstances bearing on the risk of nonpayment of the Indebtedness,
which diligent inquiry would reveal, and City shall have no duty to
advise Guarantor of information known to it regarding that condition
or any such circumstances. On City's request, Guarantor will
promptly provide complete and current financial statements and such
other financial information about Guarantor as City reasonably
requests.
13. At its election, City may exercise any right it may
have against Debtor or any security held by City, including.without
limitation the right to foreclose on the security by one or more
judicial or nonjudicial sales, whether or not every aspect of any
-4-
1 such sale is commercially reasonable, without affecting or impairing
2 Guarantor's liability under this Guarantee, except to the extent
3 that the Indebtedness is paid.
4 14. Guarantor waives any defense arising from the absence,
5 impairment, or loss of any right of reimbursement, contribution, or
6 subrogation, or any other right of Guarantor against Debtor or any
7 security, whether resulting from the election by City or otherwise.
8 Guarantor waives any defense arising from any cause whatsoever,
9 including without limitation the City's act or omission, resulting
10 in the cessation of Debtor's liability to City for the Indebtedness,
11 either in whole or in part.
12 15. Guarantor waives, to the fullest extent permitted'by
13 law, all rights and benefits:
14 (a) under California Civil Code section 2809, which
15 provides that a guarantor's obligations shall not exceed nor be more
16 burdensome than the principal obligation;
17 (b) without limiting the generality of the foregoing
18 or any other provision of this Guarantee, under California Civil
19 Code sections 2810, 2815, 2819, 2839, 2845, 2847-2849, 2850, 2899,
20 and 3433, to the extent such provisions, or any of them, have any
21 application to this Guarantee or to Guarantor.
22 16. In addition, Guarantor waives, to the fullest extent
23 permitted by law:
24 (a) any defense arising as a result of City's
25 election of the application of United States Bankruptcy Code section
26 1111(b)(2) in any proceeding instituted under the Bankruptcy Code;
27 and
28
-5-
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(b) any defense based on any borrowing or grant of a
security interest under United States Bankruptcy Code section 364
17. Guarantor acknowledges that it has discussed with
legal counsel the effect of the above waivers on rights and remedies
it might otherwise have.
18. The obligations under this Guarantee are joint and
several, and are independent of Debtor's obligations. A separate
action may be brought and prosecuted against Guarantor, whether or
not action is brought against Debtor or Debtor is joined in any such
action.
19. If any Guarantor or Debtor is a corporation or a
partnership, City is not required to inquire into the powers of
Guarantor, Debtor, or of the officers, directors, partners, or
agents acting or purporting to act on their behalf. Any indebtedness
created in reliance on the professed exercise of those powers is
guaranteed under this Guarantee.
Dated: DeMenno/Kerdoon, a California
Corporatio Guarantor
By: /
Title: �`'e
By:
Title: �, ,
CONTRACTOR:
CONTRACT PURPOSE:
CONTRACT IS: ❑
❑ PREVAILING WAGE ❑ COMPETITIVE SELECTION & NOTICED RFP
❑ COMPETITIVE BID & NOTICED INVITATION TO BID
EXEMPT FROM COMPETITIVE PROCESS (APPROVAL ATTACHED)
0 SERVICES ❑ MATERIALS ❑ BUDGETED ❑ NOT BUDGETED
TOTAL CONTRACT VALUE: $_ Charge Acct. No(s)
Amendment Value $ ❑ Contract is an Amendment to Contract No. (if applicable)
RESPONSIBLE DEPARTMENT PERSON:$% I-L V� PHONE: ext. b ��
AUTHORIZATION: ❑ Approved by Council on
(Check One) Resolution No. (if applic ble)
Approved by City Administrator on 177— 14
` Note: Attach supporting documentation
❑Amendment Approved by (if applicable)
ROUTING SEQUENCE: (Please Follow In Order — Do not use N/A) hlitials Date
(1) Responsible Department Person 'j 7
Checks substance of contract and assembles two (2) copies of ✓`�
contract, insurance& bond documents, certifies compliance
with Competitive Bidding and Purchasing Ordinance
(2) Liability and Claims
Approves insurance and sureties, if bonds required
(3) Finance (Purchasing)
Checks compliance with Competitiv iddi iving Wage Ordinances VVV
and reflected in current budget � o
(4) City Attorney
Approves contract as to form, verifies bonds and insurance included sz iY
(5) City Signatory
Signs all copies on behalf of City q Z2 I
(6) City Clerk
Attests signatures, numbers, files contract, insurance and bonds, and /
transmits duplicate original to contractor, notifies IT to remove related RFP/bid
notice, notifies any "consultant" of duties to file Form 700, if applicable
Rev. 1/27/14
TRANSMITTAL COMMUNICATION
OFFICE OF THE CITY CLERK
4305 Santa Fe Avenue, Vernon, California 90058
Telephone (323) 583-8811
April 22, 2014
Tiffany Taubman, Attorney at Law
Latham & Watkins LLP
355 S. Grand Avenue
Los Angeles, CA 90071-1560
Re: DKE Loan Release
Dear Ms. Taubman:
Please find enclosed a fully executed original Substitution of Trustee and Full Reconveyance.
If you have any questions regarding this matter, please contact William Fox at (323) 583-8811
ext. 849.
Very truly yours,
Vt
Deborah R.Juarez
Records Management Assistant
Enclosure
c: William Fox
Resolution No. 7235
Excfusivefy Industhaf
RECORDING REQUESTED BY
AND WHEN RECORDED MAIL TO
Pan Pacific Petroleum
Company, Inc.
3650 E. 26 Street,
Vernon, CA 90023
SUBSTITUTION OF TRUSTEE AND FULL RECONVEYANCE
WHEREAS PAN PACIFIC PETROLEUM COMPANY, INC., a California corporation, was the original Trustor, NORTH
AMERICAN TITLE COMPANY, a California Corporation ("North American"), the original Trustee, and the CITY OF
VERNON the present Beneficiary, under that certain Short Form Deed of Trust and Assignment of Rents — Corporation
(the "Deed of Trust") made February 5, 1999 and recorded on April 8, 1999 as Instrument No. 99-0603359 Official
Records of the County of Los Angeles, State of California, and affecting the land described in said Deed of Trust, and
WHEREAS the undersigned Beneficiary desires to substitute a new Trustee under said Deed of Trust in place and stead
of North American, now therefore, the undersigned hereby substitutes itself as Trustee under said Deed of Trust and does
hereby reconvey, without warranty, to the person or persons legally entitled thereto, the estate now held by it thereunder.
APN NO.: 5192-029.014
LA13512169.1
SIGNATURE PAGE TO SUBSTITUTION OF TRUSTEE AND FULL RECONVEYANCE
DATED AS OF: `F 22 20 /
CITY OF VERNON,
a California chartered city
By:
Name: ark Whitworth
Its: ity Administrator
State of California
County of Los Angeles )
On Anell 2
ATTEST:
By: z�2;
Name: Ana B c
Its: Dep Clerk
APPROVED AS TO FORM:
By:
Name: Scott Porter
Its: Deputy City Attorney
21
who proved to me on the basis of satisfactory evidence to be the person(A whose name
to the within instrument and acknowledged to me that he/sye/th y executed the same in I
capacity(i�s), and that by his/hp'r/their signature) on the instrument the person(A, or the
of which the person(A acted, executed the instrument.
a Notary Public,
authorized
behalf
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.
i
• - - �_%� �� �� - bill
At
ARA RARINA RUEDA
Commiaalon ! 1900264
Notary Pribilc - Callfordia
too Anpelea County
M d7omm.E 1resAu 19.20141
LA13512169.1
Mortgage Amortization
Key Figures
Inputs
Annual Loan Payments
$12,384.36
Loan Principal Amount
$12.056.34
Monthly Payments
$1,032.03
Annual Interest Rate
5.00%
Interest In First Calendar Year
$286.34
Loan Period In Years
1
Interest Over Term of Loan
$329.02
Base Year of Loan
2005
Sum of All Payments
$12.384.36
Base Month of Loan
MAY
Payments In First 12 Months
Year Mont
Beginning
Balance
Payments
Principal
Interest
Cumulative
Pdndpal
15
Cumulative
Interest
Ending
Balance
May
$12.055.34
$1,032.03
$981.80
$50.23
$9
$50.23
$11,074
Jun
11,073.54
1,032.03
986.89
46.14
1,987.69
96.37
10,088
Jul
10.087.65
1,032.03
990.00
42.03
2,957.69
138.40
91098
Aug
9.097.65
1,032.03
994.12
37.91
3,951.81
176.31
8,104
Sep
8,103.53
1,032.03
998.27
33.78
4,950.08
210.07
7,105
Oct
7,105.26
1,032.03
1,002.42
29.61
6.952.50
239.68
6,103
Nov
6,102.84
1.032.03
1,008.60
25.43
6,959.10
265.11
5,098
Dee
5,098.24
1.032.03
1,010.80
21.23
7,969.90
286.34
4,085
2006 Jan
4.085.44
1,032.03
1.015.01
17.02
8,984.91
303.36
3,070—
Feb
3,070.43
/ 1,032.03
1.019.24
12.79
10,004.16
316.15
2.051
Yearly Schedule of Balances and Payments
Year
Cumulative Cumulative Ending
Pdndoal Interest Balance
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STAFF REPORT
City of Vernon
Inter -Office Memorandum
April 22, 2014
TO: Mark Whitworth, City Administrator Mw'K&
FROM: William Fox, Director of Finance
SUBJECT: Acknowledgement of Loan Paid in Full for Pan Pacific
Petroleum Company, Inc.
Attached is a request to acknowledge that the loan provided to Pan Pacific
Petroleum Company, Inc. has been paid in full. The loan was secured by a
Short Form Deed of Trust recorded on April 8, 1999 on instrument No. 99-
0603359. The Short Form Deed of Trust was filed with the County of Los
Angeles. The Finance Department has researched the loan history and
determined the loan was repaid in full in April 2006, Please sign the
attached Signature Page to Substitution of Trustee and Full Reconveyance
form that acknowledges the loan has been paid in full. The information will
be transmitted to Latham & Watkins, who is representing their client on this
matter. If you have any questions, please let me know.
1WilCiam ,fox