COMMUNITY REDEVELOPMENT AGENCY (44)

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Entitlement Actions at MacArthur Place April 6, 1998 Page 4 the conveyance of the First American purchase and its subsequent development, both parities are requesting that the Agency take formal action to terminate the Disposition and Development Agreement (DDA) with respect to the 40+ acres. In addition, the parties are requesting that the Agency resolve and determine that all references to the DDA in all other documents and agreements be deemed deleted and that such other documents and agreement as they affect the site be read and interpreted without reference to the DDA. By terminating the DDA, the Redevelopment Agency gives up any rights over the remaining land and any financial obligations identified in the DDA. When the DDA was approved in 1988, the City also approved a 20-year Development Agreement and Specific Development No. 43. These documents set forth the development and design criteria for MacArthur Place as a mixed -use development and will continue to remain in effect. Cooperation Agreement: First American Financial is requesting that the Redevelopment Agency assist with the payment of certain infrastructure fees necessitated by the development. Specifically, the project developer is required to pay in - lieu development fees as follows: Transportation System Improvement Fees of $2.01 per square foot and Fire Facilities Fees of $0.37 per square foot. The City collects these fees and in turn, constructs public improvements as determined necessary for development of the area. In order to facilitate Agency assistance, a Cooperation Agreement between the City and the Redevelopment Agency must be approved which provides that: • The Agency agrees to pay the City an amount equal to the fees indicated, in a total amount not to exceed $497,000; • The City agrees that the Agency's obligation to pay the fees shall constitute a credit for First American's obligation to pay the fees for the development, whether or not Agency funds are available to pay the fees at the time called for by the City; and • The City shall not credit the fees unless: 1) the development conforms to the plans on file with the City; and 2) the applicant for the building permits for the development is First American Financial or a controlled related entity. The Agency's payment of the fees will assist in the elimination of one or more blighting conditions in the Project Area, consistent with the Implementation Plan for the Project Area adopted by the Agency pursuant to Health and Safety Code Section 33490 in that deficient infrastructure and unproductive land uses are blighting conditions addressed by the Agency's payments. Payment for infrastructure to improve traffic flow and provision or replacement of public streets, traffic signals, and other facilities including fire facilities are called for in the South Main Project Area Goals and Objectives as set forth in the Implementation Plan. 55A Rev. 118