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Resolution No. 8923 (3)1 2 3 4 5 6 7 8 9 10 11 12. 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 RESOLUTION NO. 8923 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF VERNON APPROVING AND AUTHORIZING THE EXECUTION OF AN ACCESS AGREEMENT BY AND BETWEEN THE CITY OF VERNON AND DYNAMIC BUILDERS, INC. FOR PROPERTY LOCATED AT 4900 BANDINI BOULEVARD WHEREAS, by Resolution No. 8850 adopted on September 7, 2005, the City of Vernon approved the sale of real property located at 4900 Bandini Boulevard (the "Property") to Dynamic Builders, Inc. ("Dynamic") for future development; and WHEREAS, the City and Dynamic are in the process of negotiating a lease of the Property to allow Dynamic to construct certain improvements on the Property prior to the closing of the sale of the Property to Dynamic; and WHEREAS, prior to executing a lease, Dynamic is requesting access to the Property for purposes of installing a trailer on the Property and undertaking mobilization activities on the Property as preliminary steps to commencing construction; and WHEREAS, the City desires to enter into an agreement with Dynamic setting forth the terms and conditions under which the City will grant access to the Property. 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 land correct. SECTION 2: The City Council of the City of Vernon hereby approves the Access Agreement with Dynamic, in substantially the same 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 form as the copy which is attached hereto as Exhibit A and incorporated by reference. SECTION 3: The City Council of the City of Vernon hereby authorizes and empowers the Acting City Clerk and/or his designee to make whatever non -substantive and administrative changes, upon advice of counsel, to the form. SECTION 4: The City Council of the City of Vernon hereby authorizes the Mayor Pro Tem to execute the Agreement for, and on behalf of, the City of Vernon and the Acting City Clerk is hereby authorized to attest thereto. SECTION 5: The City Council of the City of Vernon hereby directs the Acting City Clerk, or his designee, to send one original signed Agreement to: Sandra Slon, Esq. Troy & Gould 1801 Century Park East, 16th Floor Los Angeles, CA 90067-2367 SECTION 6: The Acting 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 4th day of January, 2006. THOMAS A. YB RRA, Mayor Pro Tem ATTEST: BRUCE V. MALKENHORST, JR., Acting City Clerk - 2 - 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 STATE OF CALIFORNIA ) ) ss COUNTY OF LOS ANGELES ) I, BRUCE V. MALKENHORST, JR., Acting City Clerk of the City of Vernon, do hereby certify that the foregoing Resolution, being Resolution No. 8923, was duly adopted by the City Council of the City of Vernon at an adjourned regular meeting of the City Council duly held on Wednesday, January 4, 2006, and thereafter was duly signed by the Mayor Pro Tem of the City of Vernon. G� (SEAL) BRUCE V. MALKENHORST, JR. Acting City Clerk - 3 - EXHIBIT 0 ACCESS AGREEMENT This Access Agreement (this "Agreement") is entered into as of January 4, 2006 by and between the City of Vernon (the "City") and Dynamic Builders, Inc., a California corporation ("Dynamic") in regard to the property located at 4900 Bandini Blvd., City of Vernon, State of California (the "Property"), based on the following facts and circumstances: A. The City and Dynamic are in the process of negotiating a lease (the "Lease") with respect to the Property. Pursuant to the Lease, Dynamic will be constructing certain improvements on the Property in accordance with plans and specifications that are subject to the approval of the City. B. Dynamic desires to install a trailer on the Property and undertake mobilization activities on the Property (as preliminary steps to commencing construction) prior to the execution of the Lease, and the City desires to grant to Dynamic a license to enter the Property for purposes of installing the trailer and performing the mobilization for construction on the terms and conditions of this Agreement. Therefore, the parties agree as follows: l . Under the terms of this Agreement, Dynamic is permitted only to install a trailer at a location on the Property approved by the City and undertake mobilization, as defined herein, on the terms and conditions set forth herein, and as otherwise required by the City. (a) The trailer is to be used solely for on -site construction offices for project management and supervision, and its size, weight, and location are to be approved in writing by the City prior to installation. (b) For purposes of this Agreement, mobilization shall refer to the importation of soil onto the Property. Prior to the importation of any soil onto the Property, Dynamic will provide the City with (i) all requested information, including, without limitation, documentation of where the soil was excavated from (including address, zoning, and prior use of the site); (ii) an estimate of the quantity of soil to be imported; and (iii) soil sampling analyses, acceptable to the City in its sole judgment, to assure that the soil is not contaminated. Importation of the soil shall not commence until the City has provided written approval, which approval will be based on the documentation and soil samples provided by Dynamic. (c) Dynamic will not commence any grading or construction until the Lease has been signed, and the plans have been approved by the City and appropriate permits have been issued by the City. A grading permit will not be issued until the City has approved Dynamic's storm water pollution prevention plan and reviewed and approved the nature and quantity of soil to be imported. 01910/0030 132152.2 (d) Upon receipt of prior written approval from the City and subject to any conditions established by the City, Dynamic's mobilization may also include the right to install temporary utilities, webcam, and project signage. The City's execution of this Agreement does not obligate the City to consent to installation of temporary utilities, webcam, or project signage. (e) Collectively, the installation of the trailer and the mobilization shall be referred to as the "Preliminary Work". 2. If negotiations of the Lease conclude unsuccessfully, Dynamic shall promptly remove the trailer and cease all mobilization at the Property, remove all of its equipment located at the Property (including any temporary utilities and signage), and repair any damage done to the Property by Dynamic, its employees, agents, consultants, contractors, or subcontractors (collectively, the "Dynamic Parties") at Dynamic's sole cost and expense. 3. The performance of the Preliminary Work shall be at Dynamic's sole cost, expense and risk. All Preliminary Work shall be undertaken in accordance with good and proper techniques, using personnel and equipment qualified to perform the work being undertaken, and shall be undertaken in compliance with all applicable statutes, codes, ordinances and regulations. All required permits will be properly obtained. Any holes, borings, trenches, or other invasive work performed at the Property by the Dynamic Parties will be properly filled in or returned to the condition existing prior to entry by the Dynamic Parties, and any unsafe conditions at the Property caused by the Dynamic Parties shall be repaired and the Property shall be returned to the condition existing prior to entry by the Dynamic Parties. 4. Dynamic, for itself, its officers, directors, shareholders, the Dynamic Parties, and others entering onto the Property at the request of Dynamic, hereby releases the City, its elected officials, staff, employees, representatives and agents (the "City Parties") from all claims, actions, losses, damages, injuries, costs and expenses (including, without limitation, reasonable attorneys' fees and costs), including all claims of illness, injury, death, or property damage, arising out of or resulting from any Dynamic Parties entering onto the Property or performing any work thereon. 5. Dynamic agrees that it does not have any claim to any leasehold or other interest or estate of any kind in the Property by virtue of this Agreement. 6. Prior to entering onto the Property, Dynamic shall (i) procure, pay for and keep in full force and effect until the completion of its Preliminary Work, an occurrence form commercial general liability policy with respect to the Property and the activities of the Dynamic Parties relating to the Property in which the limits with respect to personal injury or death and property damage shall not be less than Two Million Dollars ($2,000,000) per occurrence, (ii) procure, pay for and keep in full force and effect until the completion of its Preliminary Work, or require Dynamic's contractors to procure, pay for and keep in full force and effect until the completion of the Preliminary Work, an occurrence form pollution liability insurance policy with respect to the Property and the activities of the Dynamic Parties relating to the Property in which the limits shall not be less than Two Million Dollars ($2,000,000) per occurrence, and (iii) -2- 01910/0030 132152.2 maintain in full force and effect until the completion of the Preliminary Work, Workers' Compensation and Employer's Liability Insurance as required by law with a limit of liability of at least $1,000,000 each occurrence/aggregate. Each of the foregoing policies under (i) shall name the City Parties as an additional insured party as its interests may appear. The policy described in clause (i) shall include contractual liability coverage, oral and written, operations premises liability, personal injury, independent contractors, broad form property damage, and cross -liability coverage. Dynamic shall provide the City with certificates of insurance evidencing such insurance prior to entering or allowing its contractors to enter the Property. All of the policies for the foregoing insurance shall be with responsible companies, and shall provide that the City shall be given thirty (30) days' prior written notice of any alteration or termination of coverage. 7. Dynamic shall cause the Dynamic Parties to coordinate with the City in connection with the Preliminary Work. Dynamic shall provide the City with advance notice of any entry onto the Property including a description of what work is planned, and in what areas of the Property the work will be performed, to ensure that entry is safe and will not interfere with future work to be undertaken by the City. 8. Dynamic shall promptly pay for any work done or material furnished by or on behalf of Dynamic in or about the Property and will not permit or suffer any lien to attach to the Property and shall have no authority or power, express or implied, to create or cause any lien, charge or encumbrance of any kind against the Property. 9. Dynamic shall defend and hold the City Parties harmless from and against all claims, liabilities, losses, damages and expenses of whatever nature, including those to the person and property of the Dynamic Parties and others, arising out of or in connection with performance of the Preliminary Work or any other work or entry at the Property. 10. This Agreement may be executed in counterparts, and facsimile signatures shall be enforceable and binding on the parties, provided, however, that the parties shall exchange originally signed documents on a reasonably prompt basis. Executed as of the date first above written. Dynamic Builders, Inc. By: Name: Title: By: Name: Title: -3- 01910/0030 132152.2 City of Vernon By: Name: Title: Attest: By: Name: Title: Approved as to Form: By:_ Name: Title: -4- 01910/0030 132152.2 SUPPORTING DOCUMENTS ACCESS AGREEMENT This Access Agreement (this "Agreement") is entered into as of January 4, 2006 by and between the City of Vernon (the "City") and Dynamic Builders, Inc., a California corporation ("Dynamic") in regard to the property located at 4900 Bandini Blvd., City of Vernon, State of California (the "Property"), based on the following facts and circumstances: A. The City and Dynamic are in the process of negotiating a lease (the "Lease") with respect to the Property. Pursuant to the Lease, Dynamic will be constructing certain improvements on the Property in accordance with plans and specifications that are subject to the approval of the City. B. Dynamic desires to install a trailer on the Property and undertake mobilization activities on the Property (as preliminary steps to commencing construction) prior to the execution of the Lease, and the City desires to grant to Dynamic a license to enter the Property for purposes of installing the trailer and performing the mobilization for construction on the terms and conditions of this Agreement. Therefore, the parties agree as follows: I . Under the terms of this Agreement, Dynamic is permitted only to install a trailer at a location on the Property approved by the City and undertake mobilization, as defined herein, on the terms and conditions set forth herein, and as otherwise required by the City. (a) The trailer is to be a standard size construction trailer that is to be used solely for on -site construction offices for project management and supervision. It will be located on the north end of the site, and its exact location is to be approved in writing by the City prior to installation.. (b) For purposes of this Agreement, mobilization shall refer to the importation of soil onto the Property. Prior to the importation of any soil onto the Property, Dynamic will provide the City with (i) all requested information, including, without limitation, documentation of where the soil was excavated from (including address, zoning, and prior use of the site); (ii) an estimate of the quantity of soil to be imported; and (iii) soil sampling analyses, acceptable to the City in its sole judgment, to assure that the soil is not contaminated. Importation of the soil shall not commence until the City has provided written approval, which approval will be based on the documentation and soil samples provided by Dynamic. (c) Dynamic will not commence any grading or construction until the Lease has been signed, and the associated plans have been approved by the City and appropriate permits have been issued by the City. A grading permit will not be issued until the City has approved Dynamic's storm water pollution prevention plan and reviewed and approved the nature and quantity of soil to be imported. 01910/0030 132152.3 (d) Upon receipt of prior written approval from the City and subject to any conditions established by the City, Dynamic's mobilization may also include the right to install temporary utilities, webcam, and project signage. The City's execution of this Agreement does not obligate the City to consent to installation of temporary utilities, webcam, or project signage. (e) Collectively, the installation of the trailer and the mobilization shall be referred to as the "Preliminary Work". 2. If negotiations of the Lease conclude unsuccessfully, this Agreement shall be terminated, and Dynamic shall promptly remove the trailer and cease all mobilization at the Property, remove all of its equipment located at the Property (including any temporary utilities and signage), and repair any damage done to the Property by Dynamic, its employees, agents, consultants, contractors, or subcontractors (collectively, the "Dynamic Parties") at Dynamic's sole cost and expense. 3. The performance of the Preliminary Work shall be at Dynamic's sole cost, expense and risk. All Preliminary Work shall be undertaken in accordance with good and proper techniques, using personnel and equipment qualified to perform the work being undertaken, and shall be undertaken in compliance with all applicable statutes, codes, ordinances and regulations. All required permits will be properly obtained. Any holes, borings, trenches, or other invasive work performed at the Property by the Dynamic Parties will be properly filled in or returned to the condition existing prior to entry by the Dynamic Parties, and any unsafe conditions at the Property caused by the Dynamic Parties shall be repaired. If this Agreement is terminated and the Lease is not signed by the parties, the Property shall be returned promptly to the condition existing prior to entry by the Dynamic Parties. 4. Dynamic, for itself, its officers, directors, shareholders, the Dynamic Parties, and others entering onto the Property at the request of Dynamic, hereby releases the City, its elected officials, staff, employees, representatives and agents (the "City Parties") from all claims, actions, losses, damages, injuries, costs and expenses (including, without limitation, reasonable attorneys' fees and costs), including all claims of illness, injury, death, or property damage, arising out of or resulting from any Dynamic Parties entering onto the Property or performing any work thereon. 5. Dynamic agrees that it does not have any claim to any leasehold or other interest or estate of any kind in the Property by virtue of this Agreement. 6. Prior to entering onto the Property, Dynamic shall (i) procure, pay for and keep in full force and effect until the completion of its Preliminary Work, an occurrence form commercial general liability policy with respect to the Property and the activities of the Dynamic Parties relating to the Property in which the limits with respect to personal injury or death and property damage shall not be less than Two Million Dollars ($2,000,000) per occurrence, (ii) procure, pay for and keep in full force and effect until the completion of its Preliminary Work, or require Dynamic's contractors to procure, pay for and keep in full force and effect until the completion of the Preliminary Work, an occurrence form pollution liability insurance policy with -2- 01910/0030 132152.3 respect to the Property and the activities of the Dynamic Parties relating to the Property in which the limits shall not be less than Two Million Dollars ($2,000,000) per occurrence, and (iii) maintain in full force and effect until the completion of the Preliminary Work, Workers' Compensation and Employer's Liability Insurance as required by law with a limit of liability of at least $1,000,000 each occurrence/aggregate. Each of the foregoing policies under (i) shall name the City Parties as an additional insured party as its interests may appear. The policy described in clause (i) shall include contractual liability coverage, oral and written, operations premises liability, personal injury, independent contractors, broad form property damage, and cross -liability coverage. Dynamic shall provide the City with certificates of insurance evidencing such insurance prior to entering or allowing its contractors to enter the Property. All of the policies for the foregoing insurance shall be with responsible companies, and shall provide that the City shall be given thirty (30) days' prior written notice of any alteration or termination of coverage. 7. Dynamic shall cause the Dynamic Parties to coordinate with the City in connection with the Preliminary Work. Dynamic shall provide the City with advance notice of any entry onto the Property including a description of what work is planned, and in what areas of the Property the work will be performed, to ensure that entry is safe and will not interfere with future work to be undertaken by the City. 8. Dynamic shall promptly pay for any work done or material furnished by or on behalf of Dynamic in or about the Property and will not permit or suffer any lien to attach to the Property and shall have no authority or power, express or implied, to create or cause any lien, charge or encumbrance of any kind against the Property. 9. Dynamic shall defend and hold the City Parties harmless from and against all claims, liabilities, losses, damages and expenses of whatever nature, including those to the person and property of the Dynamic Parties and others, arising out of or in connection with performance of the Preliminary Work or any other work or entry at the Property. 10. This Agreement may be executed in counterparts, and facsimile signatures shall be enforceable and binding on the parties, provided, however, that the parties shall exchange originally signed documents on a reasonably prompt basis. Executed as of the date first above written. Dynamic Builders, Inc. r By:PJOVA1ff*AO1fz Name: fZ A A p Nth n! i N Title: C H Av i ►ZM rh" By: Name: Title: -3 - 01910/0030 132152.3 City of Vernon l By: „ a Name: Thomas A. Aarra Title: Mayor Pro Tem Attest: By: Name: Br� V. Mal enhorst, Jr_ Title: Acting City Clerk Approved as to Form: By: Name: Eric T. F esch Title: City Attorney -4- 01910/0030 132152.3