Item 7 - Approval of Reimbursement Agreement for Sewer Main in Stone Canyon Rd
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( AGENDA REPORT
CITY OF POW A Y
TO: Honorable Mayor and Members of the City Council
FROM: James L. Bowersox, City Ma~
,~
INITIATED BY: Mark S. Weston, Director of Engineering servicej1~q
Alan F. Schuler, Senior Civil Engineer~~ Q
Jesse Q. Tano, Assistant Civil Engineer 1 t7
DATE: March 23, 1993
SUBJECT: Approval of a Reimbursement Agreement for a Sewer Main to be
Constructed in Stone Canyon Road and Fallen Leaf Road;
LaSalle Talman Bank, Applicant
ABSTRACT
LaSalle Talman Bank will be constructing a sewer main in Stone Canyon Road and
Fallen Leaf Road. The sewer main will benefit other property owners along
Stone Canyon Road and Fallen Leaf Road. Reimbursement from those benefitting
property owners has been requested by the applicant.
Staff recommends approval of the Reimbursement Agreement.
BACKGROUND
LaSalle Talman Bank owns property located at 13311 Fallen Leaf Road. The
existing single family residence on the property is being serviced by a septic
sewer system which is failing. The presence of groundwater in other areas of
the parcel prevents a new leach field from being constructed. To solve this
problem, the applicant wilT extend the existing sewer main on Stone Canyon
Road to the front of this property, (Attachment 1.) The new sewer main will
be approximately 625 feet in length along Stone Canyon Road and 100 feet in
length along Fallen Leaf Road. The main will benefit those parties along
Stone Canyon Road and Fallen Leaf Road who need to install sewer laterals in
the future. For that reason, the reimbursement agreement is being requested.
FINDINGS
Chapter 13.24 of the Poway Municipal Code provides for the reimbursement to
the property owner/developer of the cost of permanent public improvements that
benefit other properties not participating in the cost of the improvements.
The developer, engineer-of-work, and staff have determined that the attached
Reimbursement Agreement reflects the reasonable reimbursement district
ACTION:
II
1 01; 13 '.1AK' ;j 1 93 ITEM 7
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ReiriJursement A.greement . Stone Canyon Road and Fallen Leaf Road
Citv Council Agenda 3/23/93
Page 2
boundary, reimbursement cost, and benefit charges on the benefitting
properties, (Attachment 2.)
FISCAL IMPACT
The City collects five percent (5%) on all reimbursements to cover
administrative cost incurred by the City.
ENVIRONMENTAL REVIEW
The approval of the reimbursement is considered a "ministerial project" and is
exempt from CEQA requirements pursuant to Section 15268 of the State CEQA
Code.
PUBLIC NOTIFICATION AND CORRESPONDENCE
Standard distribution together with letters to benefitting property owners
named in the reimbursement agreement.
RECOMMENDATION
It is recommended that City Council take the following actions:
1. Hold a public hearing, and
2. Approve the Reimbursement Agreement and authorize the Mayor to
execute same.
JLB:MSW:AFS:JT:pc
Attachments: 1. Vicinity Map
2. Reimbursement Agreement
~AR 2 3 1993 ITEM 7
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VICINITY MAP ~.4l.- Of'l4=lMe.uRSe,.-
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CITY OFPOWAY ITEM: Af"!"L-Ic.4Nl
VIClNnY H-'P ~
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3 OF 13 ATTACHMENT 1 MAR 2 3 1993
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RECORDING REQUESTED BY: )
)
CITY OF POWA Y )
)
AND WHEN RECORDED MAIL TO: )
)
CITY CLERK )
CITY OF POWA Y )
P.O. BOX 789 )
POWAY, CA 92D64 )
)
) (This space for Recorder's use~
AGREEMENT FOR REIMBURSEMENT
OF COSTS OF PERMANENT PUBLIC IMPROVEMENTS
(POWAY MUNICIPAL CODE CHAPTER 13.24)
This Agreement is entered into this day of
199___, :y and between LaSalle Talman Bank, FSB ,
a(n) Corporation . hereinafter
referreD to as' .Owner" and the City of Poway, a munici~al corporation,
hereinafter referred to as "City," for the reimbursement of costs expended by
Owner for the installation of permanent public improvements. The parties hereto
agree as follows:
Section I. Authorit'l
.
The City is authorized by its general police powers and by statutory and
case law to require OWner to install those certain permanent improvements
hereinafter described as a condition of approval of Improvement Plans
for 8" PVC Sewer - Stone Canyon Road and Fallen Leaf Road
801-02-207
which improvements cenefit those properties hereinafter described as "benefiting
properties" not participating in the cost thereof. The City is authorized to
provide a method for partial reimbursement for the costs of such improvements
from such nonparticipating property owners in accordance with Chapter 13.24 of
the Poway Municipal Code. Upon full execution and recordation hereof, this
Agreement shall provide the sole method of reimbursement through the City to
Owner for a portion of the cost of said improvements. The City shall have no
payment or reimbursement obligation to Owner for the cost of said improvements,
except as specifically provided herein.
Section II. Definition of Terms
The terms used in this Agreement shall be defined as set forth in Section
13.24.02 of the Poway Municipal Code.
Section III. Descriotion of Procerties Affected
The real properties affected by this Agreement shall be the property Owner
legally described in Exhibit 1 attached hereto and the benefiting properties
legally described in Exhibit 2. The obligation of the owner of each benefiting
property shall become a lien upon such property for the term hereof, payable
only as a condition of approval of any development of the benefiting property,
provided that the imoosition of such condition shall be reasonably related to
such development. Such obligation shall be a lien upon and run with the land
4 OF 13 ATTAtH~~NIo2 MAR 2 3 1993 ITEM 7
AGREE.1
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and shall be binding upon the subsequent owners of the' benefiting property
- during the term hereof.
Section IV. Description of Improvements
The precise locations of all improvements subject to reimbursement and the
complete dimensions (including frontage) of all benefiting properties are set
forth in Exhibit 3 attached hereto.
Section V. Reimbursement Schedule
The Reimbursement Schedule in the form required by poway Municipal Code
S13.24.040c, as approved by the City Council of the City of poway after public
hearing, is attached hereto as Exhibit 4. All references in this Agreement to
reimbursement or to a reimbursement schedule shall mean reimbursement in accor-
dance with the terms of this Agreement and Exhibit 4.
Section VI. Term
The te~ cf :~~3 Agreement and all obligations and liens created hereby
shall be ten (10) years from the date of this Agreement as set forth on the
first page hereof. upon expiration of said term, Owner shall be entitled to no
further reimbursement pursuant to the terms hereof, owners of benefiting
properties shall be under no obligation to Owner pursuant hereto, and any lien
created hereby shall automatically and without any further administrative or
judicial process whatsoever, be null and void and of no further force or effect.
Section VII. Agreement of Payment for Reimbursement
After public hearing as provided in poway Municipal Code 13.24, and upon
execution hereof by City, City agrees during the term hereof to collect from the
owners of the benefiting properties, those owners shall pay to the City, and the
City shall reimburse to Owner those benefit charges set forth in the
Reimbursement Schedule, plus interest of five percent (5%) per year compounded
annually, less the administrative charge provided in Chapter 13.24; provided,
however, the City shall neither collect nor reimburse any sum which is not
reasonably related to the development of a benefiting property. The method and
obligation to reimburse Owner shall be subject to the terms of Chapter 3.24 of
the poway Municipal Code, as the same may, from time to time be amended. Any
amendment or repeal of Chapter 13.24 decreasing the entitlement of Owner herein
shall be binding uoon Owner herein immediately upon the effective date of such
amendment or repeal. Owner agrees that this Agreement shall be automatically
amended by such repeal or amendment of Chapter 13.24, effective the effective
date of such repeal or amendment. No amendment of Chapter 13.24 purporting to
increase the liability of a benefiting owner shall be binding upon a benefiting
owner herein or upon the City hereinunder. In the event of a conflict between
the terms hereof and the requirements of Chapter 13.24, the requirements of
Chapter 13.24 shall control.
Benefit charges shall be paid, collected, and reimbursed in accordance with
the terms of Section 13.24.070 of the poway Municipal Code in effect at the time
of such payment, subject to the terms of this Section VII.
Section VIII. Trust Agreemnt
Promptly upon collection of all or any part of a benefit charge, the City
shall deposit such funds in a local financial institution in a separate account
5 OF 13 ATTACI-MENT 2 ~AR 2 3 1993 IIEM 7
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in the name of the City in trust for Owner and City. Payments from such account
by City to Owner and to City in accordance with the terms of Chapter 13.24 shall
be made at such times as are convenient to the City, but in no event less often
than annually if the City has received payment of any benefit charges. Payments
to Owner shall include interest at the rate of five percent (5%) per annum from
the date of deposit on the principal portion of such deposit to which Owner is
entitled to payment. City shall be entitled to payment of its administrative
charges of five percent (5%) of all amounts deposited plus all interest income
on the full amounts deposited except the 5% interest payable to Owner. The
right of Owner to payments from said trust account shall be personal and shall
not run with the property of Owner, be assignable by Owner, or survive the death
or dissolution of Owner. In the event of death or dissolution of Owner, all
monies on deposit in said trust account shall be automatically, immediately, and
without notice or administrative or judicial process payable to City.
Section IX. Hold Harmless by Owner
Owner hereby agrees to indemnify and hold harmless the City from any liabi-
lity whatsoever, based upon any legal theory whatever, for any loss or damage
direct or consequential, to Owner resulting from the failure of the City to
collect all or any part of any benefit charge collectible hereunder or resulting
from the failure of the City to pay to Owner in timely manner any trust funds to
which Owner is entitled. Owner specifically agrees that it is within the sole
discretion of the City to determine that payment of the entire benefit charge
would not be reasonably related to the nature and extent of development of a
benefiting property. If, in the event of such a determination by City, City
collects less than the full benefit charge at the time of development, City
retains the right to collect the balance of the benefit charge upon further deve-
lopment, and Owner waives and releases City from any claim it may otherwise have
to require City to collect the full amount of such benefit charge at the time of
the first down payment.
Section X. Recordation
This Agreement shall be recorded by the City after full execution hereof and
promptly following acceptance of the subject improvements by the City. If for
any reason this Agreement is not recorded, Owner holds City harmless from any
loss or damage arising therefrom.
Section XI. Voidabi 1 ity
In the event that Owner fails or refuses to complete the subject improve-
ments in timely manner to the satisfaction of the City in its sole discretion,
this Agreement shall be unilaterally voidable by adoption of a resolution of
the City Council declaring this Agreement null and void for failure of perfor-
mance by Owner.
Secti on XII. Governino Law and Venue
This Agreement shall be governed by the laws of the State of California.
Jurisdiction and venue for any litigation arising herefrom shall be the County
of San Diego, State of California.
Section XIII. Severability
If any section, subsection, sentence, clause, or phrase of this Agreement is
for any reason held to be inval id or unconstitutional, such decision shall not
6 OF 13 ATTACHMENT 2 MAR 2 3 1993 ITEM 7
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affect the validity of the remaining portions. The parties agree that they
would have entered into this Agreement and each section, subsection, clause, and
phrase thereof irrespective of the fact that anyone or more sections, subsec-
tions, sentences, clauses or phrases be declared invalid or unconstitutional,
and would have approved the same even though any parts, sections, subsections,
sentences, clauses, or phrases that may be held invalid had been omitted
therefrom.
1718 ~Lake Street
Executed at Pg"'ay, CalifgrRil, on the date first stated above.
Melrose Park, III
/) OWNER: LASALLE TALMAl, BANK, F.S.B.
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By """j
E RPESIDEN;~
, INDSTROM.( V
"OFPfCIAL SEAL" CITY OF POWAY, a Municipal
O:';i\JJ\LUP.E ~~~.;:a$Tt:~U(\.3n.G~~;N Corporation
NOTARY PU3LlC, STATE OF ILLINOIS
My Commission Expires 11114/94
'T
By
, Mayor
7 OF 13 ATTACHMENT 2 MAR 2 3 1993 ITEM 7
4 OF 10
EXHIBIT NO. 1
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Y,'EST1N:O TITle COMPANY II "1"1;' "I':'? 11 ~~"',ll .:..
RECORDING REQUeSTED SY ~ 802 ......
COUYTlt'QI1CC T" TI ~ "'()A~T ION -
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tAl~AH NOME FEDeRAL IAYINGS . . ~ :~;~1 :'.';')
c/o COUNTRYWIDe FUNDING CORPORATION ~; : ..
P.o. ",X 1131 OJ; !. '}~
PASAOEHA. CA ."08-"31
T~u.t.. Sa1. NUMD.~: 1-7088 CA Loan '; 43"'3e5~ 180 ,: 700803-0
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PARCE~ NUI19ER: 27&-ZOI-0' TRANS~ER TAX: 0.00 Qt./_,1
The Grant.. her.in WAS the a.".'tof.~y.
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1he aMOUllt. ~.td bY th. Orant... w.. $2ae,116.3t
The propert.y i. 1ft ~N DIEGO County. in ~h. City 0,' POWAy.
HAIL TAX eTATE~EHTa roo
fALHA~ ~E ~[OtRAL 8AYIN08
C/O COUNTAyWIOE 'UNOINQ CORPORATION
P.O. Il(JX 1131
PASAOENA, CA "101.1131
COUNTRYWIDE T1TlE CORPORATION. .. the dUl, .PPO'h~.d t~u.t.. under _ O..d 0'
T~u.t ~.'.r~.d to belOW Bnd ~e~.1n celled TRUSTEE. do.& h.roby Vr.n~ without
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ANO LOAN ASSOCIATiON 0' J~~INOlS. herein C.11.d QAANTE~, the 'ollowfn9
described r..l prooorty .f~u.t.d in SAN 01EOO County. C.'1fornia. d..criblne
tho 1.n~ ~h.r.1":
PARCEL ,:
LOT 102 OF QREEN VALLEY 'aT4TE8 UNIT NO. t. IN THe CUUNty OP SAN OIEGO. STAT~
OF CALl~ORHlA. ACCO~O]NQ To MAP TH&AeOp NO. 4101, ~I~ED 1N T~E OF'lCE OF THE
COUNTY A~COROER OF SAN 01&00 C~N1Y. FESRUAA1 25. 1169_
P~"C'L t,
AN EASEMENT FOR ORAINAUe PuPPOaes OVt~ THE WE$TeR~Y 20 FE~T OF LOT 103 OF SAID
14AP 140. "101.
APN: 21&-282-0'
The convoy.nee i. ~.de pur.vent to the Power. ~on~.rr.d ~OQn TPusTEE by the
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TRU8TeE, .~d Recorded on 10/{J1/el a. Doc~nt. 8$-53012' Dook -------- Page
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County, CD11fornte. end .fter 'ulflllM."~ 0' the condltfon_ in ..t~ o..d 0'
Truet authorized thi. convey.ne..
Al' reQuirement. 0' tew ~.g.rd1"1 ~h. r.co~dtn9. and ..f't~. of coot.. of tho
Notice 0' O.f.ul~ .~d El.etlon to a.l1 Vnd.~ o..d of Iruee. end the r.cording.
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...~ot.. of t~. DOWe~. UMder aotdo..d 0' Truet Bold .ald r..l Qroo.rty at
bUb11C ev~t1on on 02/01/92. QRAHTtE. be1ng the htgheot ridder .t ..1d e.l.
.ee.e th. pureh...r 0' ..td ~rop.~t1 'or the amount b1~. being .288,t78.31
c..h, tn l.wful mon.Y of t~. Un1t.d Stat.., whiCh h.. b.en PBld:
DATI;, 02/01/12 COVNTRYW!OF T1TL~ CORPORATiOl4
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STATE OF Cal i (o(nia J -'.,
COUNTY o~ "'o~ Anqeo.h~S J ,
On this l~~ ~ day Of ~~ 19~... tleforflt me De-bbl~ SlftHh
~Qd.ll('"., Rulz.": the l,I~de _ 'iii d Notary PUb11c. p.rsonally .p~car.d
Met. Vi.CI:: p.(esi~' nally know" to me, woo .~.cut.d ~o
within In.t~um.nt 0$ ._ on f of the Corpofatfon
tn9rafn named e"d ackno~1.a~8d ~o me th 'orporllt1on ,ut.d it.
wlTNeS m hftnd end o'ficial .eol.
.....{il:... orT.u;u." SU.I.
/;" Debbie A. Smith th
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f. AIrY~'CAL"'QIlh...
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MAR 2 3 1993 ITEM 7
8 OF 13 ATTACHMENT 2
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EXHIBIT NO. 2
REIMBURSEMENT AGREEMENT
BENEFITTING PROPERTIES
ASSESSOR'S PROPERTY
NO. PAR. NO. CURRENT OWNER STREET ADDRESS ACREAGE
1 275-241-05 Devine, Leonard & Eloise; 13151 Silver Saddle Lane 1.53
2 275-241-06 Grosser,_ Janet; 13232 Stone Canyon Road .63
3 275-241-07 Rauch, Richard & Marjorie; 13229 Stone Canyon Road 1.13
4 275-241-34 Jones, Napoleon & Rosalyn; 13185 Stone Canyon Road 1.00
5 275-241-35 Bleakley, Garrett & Laura; 13225 Stone Canyon Road 2.18
6 275-281-01 McCollam, David & Leilani; 13250 Stone Canyon Road .56
7 275-281-02 Lynch, Nancy (Trust); 13270 Stone Canyon Road .90
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8 275-281-03 Hewitt, Charles & Sharon; 13262 Stone Canyon Road .50
9 27 5-281-04 Elliot, Lawrence; 13278 Stone Canyon Road .52
10 275-281-05 Graves, Robert & Dianne; 13302 Stone Canyon Road .72
11 275-282-01 Sitek, Thaddeus & Meredith;13251 Stone Canyon Road .57
12 275-282-02 Brown, Greg & Aurora; 13271 Stone Canyon Road .51
13 275-282-03 Shepard, Robert & Phyllis; 13245 Stone Canyon Road 1.09
14 275-282-04 LaSalle Talman Bank; 13311 Fallen Leaf Road 1.23
15 275-282-05 Wood, John & Catherine; 13319 Fallen Leaf Road .53
16 275-282-18 Boston, Dorothy; 13311 Stone Canyon Road .51
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9 OF 13 ATTACf-',MENT 2 MAR 2 3 1993 ITEl'I. 7
6 OF 10
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ATTACHMENT 2 ~AR 2 3 1993 ITEM 7
10 OF 13 7 OF 10
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EXHIBIT NO. 3
2 of 2
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ATTACHMENT 2 MAR 2 3 1993 ITEM 7
11 OF 13 8 OF 10
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EXHIBIT NO. 4
REIMBURSEMENT SCHEDULE
Benefiting Property No. Number of Ultimate
(See Exhibi t No. 2) Parcels Owned Benefit Charge
1 1 $3,323.00
2 1 $3,323.00
3 1 $3,323.00
4 1 $3,323.00
5 1 $3,323.00
6 1 $3,323.00
7 1 $3,323.00
8 1 $3,323.00
9 1 $3,323.00
10 1 $3,323.00
11 1 $3,323.00
12 1 $3,323.00
13 1 $3,323.00
14 1 $3,323.00
15 1 $3,323.00
16 1 $3,323.00
TOTAL: 16 $ 53,168.00
REIMBURSEMENT CRITERIA
l. The benefit of each property as declared herein is defined
as the opportunity for each dwelling unit, as determined by
current zoning, to tie directly into the subject sewer trunk
main.
2. It has been determined that in this instance, the most fair
common denominator of this benefit is number of Tie-ins;
that is number of ultimate dwelling units.
3 . In the event that future amendments to this District's
boundaries occur so as to include others not mentioned
herein, the benefit charges as stated herein will be
re-calculated to include the additional ultimate parcels, as
determined by then current zoning. The construction costs
as shown in Exhibit No. 5 will stay fixed, and any
reductions in benefit charges would be repaid to pre-paid
benefiting owners from future collections due to Owner.
This applies only to those parcels not requiring a sewer
main extension.
ATTACHMENT 2 !,jAR 2 3 1993 ITEM 7
12 OF 13 9 OF 10
EXHIBIT NO. 5
PROJECT COSTS
Construction Cost: $ 42,850.00
Engineering Cost: $ 4,780.00
Bonding, Insurance & Administration Costs: $ 2,142.00
Ci ty Fees: $ 3,394.00
TOTAL PROJECT COST $ 53,166.00
Cost Per Connection = $53,166.00 = $3,322.88
16
Cost/Connection = $3,323.00
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MAR 2 3 1993 ITEM 7
13 OF 13 ATTACHMENT 2
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DiSTRIBl"ED.2D~ 1f,/f1J
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EXHIBIT NO. 2
REIMBURSEMENT AGREEMENT
BENEFITTING PROPERTIES
ASSESSOR'S PROPERTY
NO. PAR. NO. CURRENT OWNER STREET ADDRESS ACREAGE
1 275-241-05 Devine, Leonard & Eloise; 13151 Silver Saddle Lane 1.53
0 275-241-06 Grosser, Jane t; 13232 Stone Canyon Road .63
L
3 275-241-07 Rauch, Richard & Marjorie; 13229 Stone Canyon Road 1.13
4 275-281-01 McCollam, David & Leilani; 13250 Stone Canyon Road .56
5 275-281-02 Lynch, Nancy (Trust); 13270 Stone Canyon Road .90
6 275-281-03 Hewitt, Charles & Sharon; 13262 Stone Canyon Road .50
7 275-281-04 Elliot, Lawrence; 13278 Stone Canyon Road .52
~
8 27 5-281-05 Graves, Robert & Dianne; 13302 Stone Canyon Road .72
9 275-282-01 Sitek, Thaddeus & Meredith;13251 Stone Canyon. Road .57
10 275-282-02 Brown, Greg & Aurora; 13271 Stone Canyon Road .51
11 27 5-282-03 Shepard, Robert & Phyllis; 13245 Stone Canyon Road 1.09
12 275-282-04 LaSalle Talman Bank; 13311 Fallen Leaf Road 1.23
13 275-282-05 Wood, John & Catherine; 13319 Fallen Leaf Road .53
14 275-282-18 Boston, Dorothy; 13311 Stone Canyon Road .51
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9 of 13 ATTACHMENT 2
6 of 10 MAR 2 3 1993 ITEM 7
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EXHIBIT NO. 3
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MAR 2 3 1993 ITEM 7
10 of 13 ATTACHMENT 2
7 of 10
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EXHIBIT NO. 3
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11 of 13 ATTACHMENT 2
8 of 10 MAR 2 3 1993 ITEM 7
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EXHIBIT NO. 4
REIMBURSEMENT SCHEDULE
Benefiting Property No. Number of Ultimate
(See Exhibi t No. 2) Parcel s Owned Benefit Charqe
1 1 $4,738.32
2 1 $4,738.32
3 1 $4,738.32
4 1 $4,738.32
5 1 $4,738.32
6 1 $4,738.32
7 1 $4,738.32
8 1 $4,738.32
9 1 $4,738.32
10 1 $4,738.32
11 1 $4,738.32
12 1 $4,738.32
13 1 $4,738.32
14 1 $4,738.32
TOTAL: 14 $ 66,336.50
REIMBURSEMENT CRITERIA
1. The benefit of each property as declared herein is defined
as the opportunity for each dwelling unit, as determined by
current zoning, to tie directly into the subject sewer trunk
main.
2. It has been determined that in this instance, the most fair
common denominator of this benefit is number of Tie-ins;
that is number of ultimate dwelling units.
3. In the event that future amendments to this District's
boundaries occur so as to include others not mentioned
herein, the benefit charges as stated herein will be
re-ca1cu1ated to include the additional ultimate parcels, as
determined by then current zoning. The construction costs
as shown in Exhibit No. 5 will stay fixed, and any
reductions in benefit charges would be repaid to pre-paid
benefiting owners from future collections due to Owner.
This applies only to those parcels not requiring a sewer
main extension.
12 of 13 ATTACHMENT 2 MAR 2 3 1993 ITEM 7
9 of 10
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EXHIBIT NO. S
PROJECT COSTS
Construction Cost (Includes bonding,
insurance, and 10% contingency): $ 58,162.50
Engineering Cost: $ 4,780.00
City Plan Check Fees: $ 3,394.00
TOTAL PROJECT COST $ 66,336.50
Cost Per Lot = $66,336.50 = $4,738.32
14
City of poway Sewer Connection Fee for the North Basin,
$3,356.00, not included.
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13 of 13 ATTACHMENT 2 MAR 2 3 1993 ITEM 7
10 of 10