Resolution No. 2012-039RESOLUTION NO. 2012-39
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
VERNON APPROVING AND AUTHORIZING THE EXECUTION OF
ENCROACHMENT LICENSE AGREEMENT NO. 415 BY AND
BETWEEN THE CITY OF VERNON AND PACKERS INVESTORS,
INC.
WHEREAS, Packers Investors, LLC ("Packers") has filed an
application for an encroachment license agreement pursuant to Vernon
City Code Section 22.66 to maintain and use three (3) two (2) inch
underground conduits for vapor extraction across Packers Avenue,
ninety-eight feet west of the centerline of Downey Road in the City of
Vernon; and
WHEREAS, the City Council is authorized to issue an
encroachment license pursuant to Chapter 22, Article VI, Encroachments,
of the Code of the City of Vernon which license shall be valid for a
period of twenty-five (25) years unless otherwise stated; and
WHEREAS, the City Council adopted Resolution No. 2011-36 on
March 15, 2011, authorizing fees for encroachment licenses; and
WHEREAS, Packers has provided proof of the required insurance,
and has paid the issuance fee of Twelve Thousand Nine Hundred Fifty
Dollars and No Cents ($12,950.00) and the first annual renewal fee of One
Thousand Two Hundred Ninety -Five Dollars and No Cents ($1,295.00); and
WHEREAS, by memo dated February 16, 2012, the Director of
Community Services & Water has recommended the approval of Encroachment
License Agreement No. 415 with Packers for a period of five (5) years,
subject to the terms and conditions of the aforesaid Article VI of
Chapter 22 of the Code of the City of Vernon; and
WHEREAS, the City Council believes it is in the best interest
of the City of Vernon to enter into Encroachment License Agreement No.
No. 415.
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 of the City of Vernon hereby
approves Encroachment License Agreement No. 415 with Packers Investors,
LLC, a copy of which is attached hereto as Exhibit A.
SECTION 3: The City Council of the City of Vernon hereby
authorizes the Mayor or Mayor Pro-Tem to execute the Agreement for,
and on behalf of, the City of Vernon and the City Clerk, or Deputy
City Clerk, is hereby authorized to attest thereto.
SECTION 4: The City Council of the City of Vernon hereby
directs the City Clerk, or the City Clerk's designee, to send a fully
executed Agreement to:
Packers Investors, LLC
Attn: James N. Devling, Manager
7901 Crossway Drive
Pico Rivera, CA 90660
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SECTION 5: The City Clerk of the City of Vernon shall
certify to the passage, approval and adoption of this resolution, and
the City Clerk of the City of Vernon shall cause this resolution and
the City Clerk's certification to be entered in the File of
Resolutions of the Council of this City.
APPROVED AND ADOPTED this 6th day of March, 2012.
Name: t IItf"% J �1Jh ,/tom
Title: Alyrf— / Mayor Pro-Tem
_3-
STATE OF CALIFORNIA )
) ss
COUNTY OF LOS ANGELES )
I, Willard G. Yamaguchi, City Clerk of the City of Vernon, do
hereby certify that the foregoing Resolution, being Resolution
No. 2012-39, was duly passed, approved and adopted by the City Council
of the City of Vernon at a regular meeting of the City Council duly
held on Tuesday, March 6, 2012, and thereafter was duly signed by the
Mayor or Mayor Pro-Tem of the City of Vernon.
Executed this day of March11Wi
20at Vernon, California.
ara gu City Clerk
(SEAL)
-4_
EXHIBIT A
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'ENCROACHMENT LICENSE AGREEMENT NO.415
The City of Vernon, a municipal corporation of the State of California, as
Licensor (hereinafter referred to as "City") and Packers Investors, LLC. (herein after referred to
as "Licensee") does hereby agree as follows:
1. Licensor has all requisite power of authority to enter into this Encroachment
License Agreement. Subject to the right of the City to terminate this license for reasonable cause
as defined below, the City hereby grants to Licensee a license for a term of five (5) years from
and after the date of this license to maintain and use three (3) two (2) inch underground conduits
for vapor extraction across Packers Avenue, ninety-eight feet west of the centerline of Downey
Road in the City of Vernon as shown on engineer's drawing marked Exhibit "A" attached hereto
and made a part hereof as though fully set forth herein.
2. This license is granted subject to the terms and conditions set forth in the Code
of the City of Vernon, Chapter 22 Article VI, and the acceptance hereof shall evidence the
Licensee's agreement to all terms of said article and the additional conditions hereinafter
contained.
3. Licensee shall pay to the City of Vernon the issuance fee of Twelve Thousand
Nine Hundred Fifty Dollars ($12,950.00), prior to the issuance of the license. Licensee shall also
pay to the City the annual renewal fee of One Thousand Two Hundred Ninety Five Dollars
($1,295.00) payable each year during the term of the license on or before the anniversary of the
date of this License Agreement.
This issuance fee and annual renewal fee provided for herein shall be adjusted
annually to account for inflation based on the Engineering News Record (ENR) Construction
Cost Index. Beginning July 1, 2011 and every July 15t thereafter, the issuance Fee and annual
renewal fee will automatically increase by the amount calculated using the following formula -
multiply the most recent issuance fee and annual renewal fee in effect by the percentage increase
over the previous twelve (12) months immediately preceding the most recent publication of the
ENR Construction Cost Index existing on July I" of the year of the increase. There shall be no
reduction in fees by operation of this provision.
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In the event the ENR Construction Cost Index is discontinued such other Index or
computation shall be used in order to obtain substantially the same result that would be obtained
if the ENR Construction Cost Index had not been discontinued.
4. Licensee shall secure and keep in full force and effect at all times during the
term of this license, proof of insurance in the amounts determined by the City of Vernon, on an
annual basis, and shall file proof thereof with the Department of Risk. Management, which proof
shall include the following:
(1) General and excess liability insurance in the amounts to be
determined by the City Risk Manager that may be adjusted from time to time to reflect changes
of circumstances and the rate of inflation. Licensee shall also secure and maintain workers
:ompensation insurance, as required by law.
(2) A certificate of insurance.
(3) An endorsement naming the City of Vernon, its officers, and
as additional insured under this policy.
(4) An endorsement providing the City of Vernon thirty (30) days
of cancellation or material reduction of coverage.
(5) Additional documents as required by Risk Management.
5. The grant of this license is effective only upon further consideration that
Licensee shall file with and shall thereafter at all times during the life of this license keep on file
with the City of Vernon a faithful performance bond in the penal sum of Ten Thousand Dollars
($10,000), the amount of which shall at the request of the City of Vernon be subject to an
increase in accordance with the ENR Construction Cost Index cited in Section 4, above.
6. Licensee shall maintain the City property in first class condition to the
satisfaction of the City of Vernon, and Licensee shall not construct any structure without having
received a permit therefore from the City of Vernon. Upon completion of the activities to be
performed under the license, licensee shall remove the underground conduits.
7. Licensee shall obtain all necessary Federal, State, and Local Permits,
including City of Vernon health permits, and no repair or construction shall be performed except
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in accordance with the provisions of Chapter 22 of the Vernon City Code pertaining to
encroachments to the extent they are not in conflict with any paramount authority of the State or
Federal Government. In the event that Licensee shall fail to utilize the City's property covered b
this license for a consecutive period of six (6) months during any period of time after it has been
placed in operation, the City Council of the City of Vernon shall have the right, at its sole
discretion, to declare this license terminated.
8. If, at any time during the term of this franchise, it becomes necessary to
or relocate the underground conduits in order to accommodate a construction project performed
by or on behalf of the City of Vernon, Licensee shall at its own cost and expense promptly
remove or relocate said facilities.
9. Licensee shall not sell, transfer, assign or lease this license, or any part hereof,
or any of the rights or privileges granted hereby. Licensee may not assign its duties hereunder,
and may not assign its rights hereunder to a public utility.
10. In the event Licensee fails to keep, fulfill or perform any of the terms or
conditions of this license and fails to remedy such default within thirty (30) days after written
notice from the City, the City may declare this license terminated. Upon such a declaration of
termination and failure to remedy such default this license shall be cancelled and all of the rights
and privileges of Licensee under this license shall be surrendered. The City may thereafter
exclude Licensee from further use of the street under this license.
11. In the event of the termination of this license, Licensee shall at its own cost
and expense, remove the encroachment facilities as the City in its reasonable discretion may
decide. This provision may be suspended by the City of Vernon at its sole discretion during such
period as licensee may be negotiating with the City of Vernon for renewal of this license.If
Licensee is directed to remove the encroachment facilities and fails to do so, City shall have the
right to remove them at Licensee's sole expense, and shall have recourse for recovery of cost
against the licensee and/or the performance bond.
12. Licensee shall preserve and save harmless the City and each officer and
employee thereof from any liability or responsibility for any accident, loss or damage to persons
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or property happening or occurring as a proximate result of the encroachment or the construction
operation and or maintenance thereof.
13. Any notice, communication, request, instruction or other document required
or permitted hereunder shall be in writing and deemed given when hand -delivered or sent by
confirmed facsimile or U.S. Mail service, to the following:
CITY: CITY OF VERNON
ATTN: CITY ADMINISTRATOR
4305 SANTA FE AVENUE
VERNON, CALIFORNIA 90058-0805
FAX: (323) 826-1438
LICENSEE: PACKERS INVESTORS, LLC.
ATTN: JAMES N. DEVLING
7901 CROSSWAY DRIVE
PICO RIVERA, CALIFORNIA 90660
FAX: (562) 948-1735
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EXECUTED IN DUPLICATE this day of 2012.
CITY OF VERNON
WILLIAM DAVIS, MAYOR PRO-TEM
IATTEST:
WILLARD YAMAGUCHI, City Clerk
I APPROVED AS TO FORM:
w1' LJ iP,CU 1.1mAkiUum, Liner veputy laity Attorney
PACKERS INVESTORS, LLC
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NOTE: Signatures shall be notarized.
-.1� fl �E✓c i N
Print Name
Title <7Ally
Signature
Print Name
Title
5
ACKNOWLEDGMENT
State of California
County of Los Angeles )
On January 31, 2012 before me, Christina Barba, Notary Public
(insert name and title of the officer)
personally appeared James N. Devlin
who 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.
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.
Signature Ir-
CHRISTINA BARBA 3
()
COMM. # 1909258
'
NOTARY PUBLIC • CALIFORNIA
LOS ANGELES COUNTY 0
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OFFICE OF THE CITY CLERK
4305 Santa Fe Avenue, Vernon, California 90058
Telephone (323) 583-8811
March 8, 2012
James N. Devling, Manager
Packers Investors, LLC
7901 Crossway Drive
Pico Rivera, CA 90660
Re: Encroachment License Agreement No. 415
Dear Mr. Devling:
Transmitted herewith is a fully executed encroachment license agreement as referenced above,
approved by City Council on March 6, 2012.
If you have any questions regarding this matter, please call Mr. Kevin Wilson, at (323) 583-8811
ext. 245.
Very yours,
LL RD G. A AG U H
City Clerk
WGY:dj
Enclosure
c: Vince Rodriguez
Kevin Wilson
Resolution No. 2012-39
Encroachment License Agreement No. 415
ExcCusiveCy Industrial
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'ENCROACHMENT LICENSE AGREEMENT NO. 415
The City of Vernon, a municipal corporation of the State of California, as
Licensor (hereinafter referred to as "City") and Packers Investors, LLC. (herein after referred to
as "Licensee") does hereby agree as follows:
1. Licensor has all requisite power of authority to enter into this Encroachment
License Agreement. Subject to the right of the City to terminate this license for reasonable cause
as defined below, the City hereby grants to Licensee a license for a term of five (5) years from
and after the date of this license to maintain and use three (3) two (2) inch underground conduits
for vapor extraction across Packers Avenue, ninety-eight feet west of the centerline of Downey
Road in the City of Vernon as shown on engineer's drawing marked Exhibit "A" attached hereto
and made a part hereof as though fully set forth herein.
2. This license is granted subject to the terms and conditions set forth in the Code
of the City of Vernon, Chapter 22 Article VI, and the acceptance hereof shall evidence the
Licensee's agreement to all terms of said article and the additional conditions hereinafter
contained.
3. Licensee shall pay to the City of Vernon the issuance fee of Twelve Thousand
Nine Hundred Fifty Dollars ($12,950.00), prior to the issuance of the license. Licensee shall also
pay to the City the annual renewal fee of One Thousand Two Hundred Ninety Five Dollars
($1,295.00) payable each year during the term of the license on or before the anniversary of the
date of this License Agreement.
This issuance fee and annual renewal fee provided for herein shall be adjusted
annually to account for inflation based on the Engineering News Record (ENR) Construction
Cost Index. Beginning July 1, 2011 and every July 1" thereafter, the issuance Fee and annual
renewal fee will automatically increase by the amount calculated using the following formula -
multiply the most recent issuance fee and annual renewal fee in effect by the percentage increase
over the previous twelve (12) months immediately preceding the most recent publication of the
ENR Construction Cost Index existing on July I" of the year of the increase. There shall be no
reduction in fees by operation of this provision.
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In the event the ENR Construction Cost Index is discontinued such other Index or
computation shall be used in order to obtain substantially the same result that would be obtained
if the ENR Construction Cost Index had not been discontinued.
4. Licensee shall secure and keep in full force and effect at all times during the
term of this license, proof of insurance in the amounts determined by the City of Vernon, on an
annual basis, and shall file proof thereof with the Department of Risk Management, which proof
shall include the following:
(1) General and excess liability insurance in the amounts to be
determined by the City Risk Manager that may be adjusted from time to time to reflect changes
of circumstances and the rate of inflation. Licensee shall also secure and maintain workers
compensation insurance, as required by law.
(2) A certificate of insurance.
(3) An endorsement naming the City of Vernon, its officers, and
as additional insured under this policy.
(4) An endorsement providing the City of Vernon thirty (30) days
of cancellation or material reduction of coverage.
(5) . Additional documents as required by Risk Management.
5. The grant of this license is effective only upon further consideration that
Licensee shall file with and shall thereafter at all times during the life of this license keep on file
with the City of Vernon a faithful performance bond in the penal sum of Ten Thousand Dollars
($10,000), the amount of which shall at the request of the City of Vernon be subject to an
increase in accordance with the ENR Construction Cost Index cited in Section 4, above.
6. Licensee shall maintain the City property in first class condition to the
satisfaction of the City of Vernon, and Licensee shall not construct any structure without having
received a permit therefore from the City of Vernon. Upon completion of the activities to be
performed under the license, licensee shall remove the underground conduits.
7. Licensee shall obtain all necessary Federal, State, and Local Permits,
including City of Vernon health permits, and no repair or construction shall be performed except
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in accordance with the provisions of Chapter 22 of the Vernon City Code pertaining to
encroachments to the extent they are not in conflict with any paramount authority of the State or
Federal Government. In the event that Licensee shall fail to utilize the City's property covered b
this license for a consecutive period of six (6) months during any period of time after it has been
placed in operation, the City Council of the City of Vernon shall have the right, at its sole
discretion, to declare this license terminated.
8. If, at any time during the term of this franchise, it becomes necessary to
or relocate the underground conduits in order to accommodate a construction project performed
by or on behalf of the City of Vernon, Licensee shall at its own cost and expense promptly
remove or relocate said facilities.
9. Licensee shall not sell, transfer, assign or lease this license, or any part hereof,
or any of the rights or privileges granted hereby. Licensee may not assign its duties hereunder,
and may not assign its rights hereunder to a public utility.
10. In the.event Licensee fails to keep, fulfill or perform any of the terms or
conditions of this license and fails to remedy such default within thirty (30) days after written
notice from the City, the City may declare this license terminated. Upon such a declaration of
termination and failure to remedy such default this license shall be cancelled and all of the rights
and privileges of Licensee under this license shall be surrendered. The City may thereafter
exclude Licensee from further use of the street under this license.
11. In the event of the termination of this license, Licensee shall at its own cost
and expense, remove the encroachment facilities as the City in its reasonable discretion may
decide. This provision may be suspended by the City of Vernon at its sole discretion during such
period as licensee may be negotiating with the City of Vernon for renewal of this license. If
Licensee is directed to remove the encroachment facilities and fails to do so, City shall have the
right to remove them at Licensee's sole expense, and shall have recourse for recovery of cost
against the licensee and/or the performance bond.
12. Licensee shall preserve and save harmless the City and each officer and
-mployee thereof from any liability or responsibility for any accident, loss or damage to persons
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or property happening or occurring as a proximate result of the encroachment or the construction
operation and or maintenance thereof.
13. Any notice, communication, request, instruction or other document required
or permitted hereunder shall be in writing and deemed given when hand -delivered or sent by
confirmed facsimile or U.S. Mail service, to the following:
CITY: CITY OF VERNON
ATTN: CITY ADMINISTRATOR
4305 SANTA FE AVENUE
VERNON, CALIFORNIA 90058-0805
FAX: (323) 826-1438
LICENSEE: PACKERS INVESTORS, LLC.
ATTN: JAMES N. DEVLING
7901 CROSSWAY DRIVE
PICO RIVERA, CALIFORNIA 90660
FAX: (562) 948-1735
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EXECUTED IN DUPLICATE this �r day of;mvw— , 2012.
CITY OF VERNON
WILLIAM DAVIS, MAYOR PRO-TEM
mey
PACKERS INVESTORS, LLC
By:
Signa re
t��5 j �E✓c i N 6
Print Name
f%tiA,vgLiG✓(�
Title <Z-6 A��
By:
Signature
Print Name
NOTE: Signatures shall be notarized.
Title
5
ACKNOWLEDGMENT
State of California
County of Los Angeles )
On January 31, 2012 before me, Christina Barba, Notary Public
(insert name and title of the officer)
personally appeared James N. Devhng
who 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.
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.
Signature
. C RISTIN BAAARB
• _
NOTARY
LIFORNIA
PUBLIC - COUNTY 0
LOS ANGELES
(Seal) irr�r"o
COMM. EXPIRES OCT. 19, 2019
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RECEIVED RECEIVED
FEB 2 3 2012 FEB 2 12012
CITYCLERWS OFFICE STAFF REPORT CITY ADMINISTRATION
COMMUNITY SERVICES & WATER DEPARTMENT
1-5
TO: Honorable Mayor and City Council G
l
FROM: Samuel Kevin Wilson, Director of Community Services and Water
DATE: February 16, 2012
SUBJECT: LICENSE AGREEMENT NO.415- PACKERS INVESTORS, LLC
Enclosed for your consideration is a fully executed Encroachment License Agreement
No.415 from Packers Investors, LLC, for the property at 4601 Downey Road. The Encroachment
License Agreement grants Packers Investors, LLC for a term of five (5) years from and after the
date of this license to maintain and use three (3) two (2) inch underground conduits for vapor
extraction across Packers Avenue, ninety-eight feet west of the centerline of Downey Road. All
required fees have been paid. A cash deposit has been submitted in lieu of the faithful
performance bond. The City Attorney's office has reviewed and approved the Encroachment
License Agreement.
I recommend that Encroachment License Agreement No. 415 be approved and the Mayor
and City Clerk be authorized to execute.
SKW/vr
Enclosure
RECEIVED
FEB 2 3 2012
CITY CLERK'S OFFICE
COMMUNITY SERVICES & WATER DEPARTMENT
OFFICE MEMORANDUM
L-5
TO: Mark Whitworth, City A ministrator
FROM: Samuel Kevin Wilson, Director of Community Services & Water
DATE: February 16, 2012
SUBJECT: LICENSE AGREEMENT NO.415- PACKERS INVESTORS, LLC
Enclosed for your consideration is a fully executed Encroachment License Agreement
No.415 from Packers Investors, LLC, for the property at 4601 Downey Road. The Encroachment
License Agreement grants Packers Investors, LLC for a term of five (5) years from and after the
date of this license to maintain and use three (3) two (2) inch underground conduits for vapor
extraction across Packers Avenue, ninety-eight feet west of the centerline of Downey Road. All
required fees have been paid. A cash deposit has been submitted in lieu of the faithful
performance bond. The City Attorney's office has reviewed and approved the Encroachment
License Agreement.
I recommend that Encroachment License Agreement No. 415 be approved and the Mayor
and City Clerk be authorized to execute.
SKW/w
Enclosure
COMMUNITY SERVICES & WATER DEPARTMENT
OFFICE MEMORANDUM
L-5
T0: Roy Burnett, DirectorofFinance
FROM: Samuel Kevin Wilson��
;Director of Community Services & Water
DATE: February 15, 2012
SUBJECT: PACKERS INVESTORS, LLC- CASH DEPOSIT
Enclosed is a cash deposit of $10,000.00 from Packers Investors LLC in lieu of a faithful
performance bond that is required for Encroachment License Agreement No. 415 for the
property at 4601 Downey Road. The Encroaclunent License Agreement grants Packers Investors,
LLC for a term of five (5) years from and after the date of this license to maintain and use three
(3) two (2) inch underground conduits for vapor extraction across Packers Avenue, ninety-eight
feet west of the centerline of Downey Road. The City Attorney's office has reviewed and
approved the Encroachment License Agreement.
I recommend that the cash deposit for Encroachment License Agreement No. 415 be
placed in a separate account. Upon termination of the License Agreement and removal or
acceptable abandonment of the piping system in Packers Avenue, the cash deposit shall be
returned to Packers Investors L-LC.
sxwivr
Endomre
PACK ERSINVESTORS LLC
VENDOR:
l Ci f\1 of Varnnn
CHECK NO.
1008
ONTRACT NO.
t
YOUR INV. NO.
INVOICE DATE
DESCRIPTION
AMOUNT PAID
DISCOUNT TAKEN
NCT CHECK AMOUI
020912BOND
2-09-12
10000.00
.00
10000.00
2-09-12
100
.00
.00
10000.00
PACKERS INVESTORS LLC
7901 CROSSWAV DRIVE
PICO RIVERA, CA 90660 4449
1562)948-4850
PACIFIC WESTERN BANK
10245 S. Paramount Blvd.
Downey, CA 90241
90-3820/1222
CHECK NO. CHECK DATE VENDOR NO.
1008 2-09-12 VERNON
Pay: **********+****** *********************
Ten thousand dollars and no cents
CHECK AMOUNT
$*****10,000.00
PAY
TO THE City of Vernon
ORDER OF 4305 Santa Fe Avenue
Vernon, CA 90058-9805
11400 100811' 1: 12 2 2 38 2001: 1000 3 7 4 50 211'
PACKERS INVESTORS LLC
SFMS00977 1SA TO REORDER, CALL YOUR LOCAL SAFEGUARD DISTRIBUTOR AT 562 94>.6622 HNGSC30010000 VI15F003133
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City of Vernon
4305 Santa Fe Ave
o Vernon, CA 90058
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City of Vernon
INVOICE GEN-12679
Page 1 of 1
02/02/2012
12,950.00
02/02/2012
AMOUNT PAID
IIII II I IIII II I II III IIII III I III II III III II IIII II II I YII�IIII II II
MAKE CHECKS PAYABLE TO City of Vernon
PLEASE DETACH AND RETURN WITH YOUR REMITTANCE
Issuance Fee I 12,950.00
ENCROACHMENT LICENSE AGREEMENT NO. 415
Total Amount Due: 1 12,950.001
IACCOUNT NO. 2860 PAYABLE UPON RECEIPT 12,950.00
Please Remit to: City of Vernon
4305 Santa Fe Ave
Vernon, CA 90058
(323)583-8811