HomeMy WebLinkAboutTHRIVE (3)A-2018-117-02
INSURANCE ON FILE
WORK MAY PROCEED
UNTIL IUTANCE EXPIRES
CI.CRK0 COU CIL
DATE'. Vtj 7 2 201) LICENSE AGREEMENT FOR DUE DILIGENCE
.7,6vVw �}k7-1da9i This License Agreement for Due Diligence ( _"License") is entered as of the 7 day of
lvov2iki6et" , 2018, by and between the CITY OF SANTA ANA, a California charter city in the
County of Orange of the State of California ("City") and THRIVE Santa Ana, Inc., a 501(c)(3)
tax exempt California public benefit corporation ("Developer").
RECITALS:
1.1 The property contemplated is located at 1901 West Walnut Street, Santa Ana, CA,
APN 007-332-08, and more particularly described in the legal description attached hereto as
Exhibit "A" and incorporated by reference herein ("Property"). Developer proposes to develop a
community micro -farm can the Property ("Project").
1.2 Pursuant to an Exclusive Negotiation Agreement ("ENA"), Developer and City
have a specified period of time to attempt to negotiate a Disposition and Development
Agreement ("DDA") for the Project on the Property.
1.3 The Developer wishes to enter the Property for the purpose of undertaking certain
studies, plans and other activities necessary to define the scope of development and determine
the feasibility of the Project on the Property ("Work"). The Work may include, but is not limited
to, inspections, surveys, and drilling and testing for needed soils reports. The Work may be
performed by Developer in phases with any subsequent: phases dependent upon the findings of
the prior phase(s).
AGREEMENT
2.1 In consideration of the mutual promises and covenants contained herein, the City
does hereby grant to Developer, its employees, contractors, agents, representatives and assigns
("Licensees"), the right to enter upon the Property.
2.2 The Licensee, in return for City granting permission to enter the Property, agrees:
2.2.1 To retain a qualified contractor ("Contractor") to perform the Work and to
determine, in Developer's sole and absolute discretion and without any liability resulting to the
City, and their officials, officers, employees, agents and attorneys from such determination,
whether or not further Work must be done.
2.2.2 To require the Contractor to not unreasonably interfere with any operation,
or other work or activities conducted on-site by the City.
2.2.3 To require the Contractor to perform the Work in a safe and workmanlike
manner, and in accordance with all applicable laws, ordinances, permits and regulations.
2.2.4 Licensees shall have the right, at their sole cost, expense and liability, to
commence the Work at the Property. Copies of data, surveys and tests obtained or made
pursuant to the Work authorized by this License shall be provided to the City within fifteen (1.5)
days after receipt by any Licensee. Any Work shall be undertaken only after securing any
necessary permits, at Licensees' sole cost and expense, from the appropriate governmental
agencies. Licensees shall use care and consideration in connection with any of the Work and
City shall have the right to be present during any Work performed at the Property. Developer
shall restore the Property to its original condition, normal wear and tear excepted, immediately
after any and all Work is completed.
2.2.5 Developer shall protect, indemnify, defend (with counsel reasonably
acceptable to City) and hold the Property, City and their officials, officers, employees, agents
and attorneys free and harmless from and against any and all claims, damages, liens, stop
notices, liabilities, losses, costs and expenses, including reasonable attorneys' fees and court
costs and expenses (all of the foregoing, collectively "Liabilities"), resulting from the Work
authorized by this License, including, without limitation, repairing any and all damages to any
portion of the Property, arising out of or related (directly or indirectly) to Licensees' conducting
inspections, surveys, tests, and studies, except as to those Liabilities attributable to the
negligence or willful misconduct of the City and their officials, officers, employees, agents,
contractors and attorneys or the mere discovery of pre-existing conditions. Developer's
indemnification obligations set forth herein shall survive the close of escrow for the Property,
shall not be merged with any grant deed in connection therewith and shall survive the
termination of this License. The indenmity provided in this paragraph shall not extend to any
injury, death or property damage to the extent caused by or arising from any condition existing
on the Property prior to the commencement of the Work, including, but not limited to, any
preexisting environmental condition on or about the Property.
2.2.6 Prior to any entry upon the Property by any Licensee, Developer shall
deliver to City an original endorsement to Developer's commercial general liability insurance
policy evidencing that Developer is carrying a commercial general liability insurance policy with
a financially responsible insurance company acceptable to City, covering: (1) the activities of
Licensees on or upon the Property and (2) Developer's indemnity obligation contained in section
2.2.5, above. Such endorsement to such insurance policy shall evidence that such insurance
policy shall have a per occurrence limit of at least One Million Dollars ($1,000,000) and an
aggregate limit of at least One Million Dollars ($1,000,000), shall name City and their officials,
officers, employees, and agents as additional insureds, shall be primary and non-contributing
with any other insurance available to City and shall contain a full waiver of subrogation clause.
2.2.7 To give the City two (2) business days' notice prior to entry upon the
Property as provided in section 3.5 hereof.
2.2.8 To require the Contractor to remove and dispose of any waste materials
generated in the course of performing the Work. Such removal and disposal shall be done in
accordance with applicable federal, state, and local law.
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2.3 The term of this License shall extend from the full execution of this License until
the earlier of the following to occur: (1) the expiration of the ENA; (2) the termination as set
forth in Section 3.2 hereof.
MISCELANEOUS
3.1 The Licensee agrees that permission to enter is not a waiver of the right to receive
compensation for the acquisition of the Property or any remedy authorized by law to secure
payment therefore. Nothing in this License shall be interpreted as, or otherwise be deemed to be, a
transfer or conveyance of any interest in real property whatsoever between City and the Licensees
(or any of them), except as otherwise specifically provided in writing. The parties acknowledge
and agree that nothing in this License shall be interpreted as an agreement for the lease or other use
of the Property by the Licensees (or any of them). Any agreement for the use of the Property for
any purpose(s) other than those set forth in this License or for the conveyance of an interest in real
property must be the subject of a separate written agreement between the parties.
3.2 This License may be terminated by either party, with or without cause, by
providing two (2) days' written notice to the other party at the address set forth in section 3.5
hereof.
3.3 In the event of the bringing of any action or suit by a party against another party
under this License to enforce this License, the prevailing party shall, in addition to any other
relief to which that party may be entitled, be entitled to have and recover from the other
attorney's fees and costs, as determined by a court of competent jurisdiction.
3.4 Neither party shall be liable for any delay in the performance of any of their
respective obligations hereunder, or for any damages suffered by City or the indemnitees listed
herein by reason of such delay, if such delay is, directly or indirectly, caused by, or in any
manner arises from, fires, floods, accidents, civil unrest, acts of God, war, governmental
interference or embargoes, strikes, labor difficulties, shortage of labor, fuel, power, materials, or
supplies, transportation delays, or any other cause or causes whether or not similar in nature to
any of these hereinbefore specified beyond the City's control. Any such delay shall
automatically extend the term of this License one whole day for each day or portion thereof
during which such delay shall exist.
3.5 All notices or other communication provided for under this License shall be in
writing, and shall be delivered personally, sent by reputable overnight mail equivalent carrier, or
sent by registered or certified mail, return receipt requested, postage prepaid, addressed to the
person to receive such notice or communication at the following address and shall be effective
upon the earlier of actual receipt (including by facsimile) or refusal to accept delivery:
If to the City: The City of Santa Ana
Executive Director
Community Development Agency
20 Civic Center Plaza (M-20)
P.O. Box 1988
Santa Ana, CA 92702
-3-
With a copy to: City Attorney
20 Civic Center Plaza (M-29)
P.O. Box 1988
Santa Ana, CA 92702
If to the Developer: THRIVE Santa Ana, Inc.
Cesar Covarrubias, Treasurer
P.O. Box 1935
Santa Ana, CA 92702
Telephone (949) 250-0909
Facsimile (949) 263-0647
With a copy to: THRIVE Santa Ana, Inc.
c/o Carrie Hempel
401 East Peltason Drive
Law 3500-F
Irvine, CA 92697
Telephone (949) 824-3575
chempel@law.uci.edu
Notice of change of address shall be given by written notice in the manner set forth in
this subsection.
3.6 This ,License shall be binding upon and shall inure to the benefit of the parties and
their respective heirs, executors, administrators, successors and assigns.
3.7 The parties agree to execute all instruments and documents and to take all actions
as may be required in order to consummate the transactions contemplated by this License.
3.8 This License contains the entire agreement between the parties concerning the
subject matter of this License and supersedes any prior agreements, understandings or
negotiations (whether oral or written). No addition or modification of any term or provision
hereof shall be effective unless set forth in writing and signed by the parties.
3.9 This License may be executed in counterparts, each of which shall be deemed an
original, but all of which, together, shall constitute one and the same instrument.
3.10 Developer and City agree that no party is intended to be or shall be construed as a
partner, joint venturer, alter ego, manager, controlling person or other business associate or
participant of any kind of any other party and no party intends ever to assume such status.
3.11 Except as specifically set forth herein, this License shall not be deemed to confer
any rights upon any individual or entity which is not a party hereto, and the Parties hereto
expressly disclaim any such third -party benefit.
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IN WITNESS WHEREOF, the Parties have executed this License Agreement on the
dates indicated next to each of the signatures of their authorized representatives, as appear below.
ATTEST:
er..r
CITY OF SANTA ANA
MARIA D. HUIZAR RAUL GODINEZ II
Clerk of the Council City Manager
APPROVED AS TO FORM:
SONIA R. CARVALHO
City Attopcy
By: ' Ll
Ryan 0. ,
Assistant
RECOMMENDED FOR APPROVAL
72 >
STEVEN A. MEND07A
Executive Director
Community Development Agency
-5-
THRIVE SANTA ANA, INC.
By: �-�
ANA tJ tA
President
Dated: j
EXHIBIT "A"
TO
LICENSE AGREEMENT
Property Legal Descri tp ion
1901 West Walnut Street ("Property") is situated in the State of California, County of Orange,
and the City of Santa Ana. The Property has a lot size of 16,558 square feet (.38 acre) as shown
on a Map recorded as parcel 8 in Book 7 on page 332 of Assessor Parcel Maps of Orange
County, California. The Property is bounded on its easterly edge by South Daisy Avenue and its
southern edge by West Walnut Street. The following is the Property Legal Description:
P BK 54 PG 50 PAR 3
EXHIBIT "A"
-6-
ACORO CERTIFICATE OF LIABILITY INSURANCE
AM
Dovozo s
THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS
CERTIFICATE DOES NOT AFFIRMATIVELY OR NEGATIVELY AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES
BELOW. THIS CERTIFICATE OF INSURANCE DOES NOT CONSTITUTE A CONTRACT BETWEEN THE ISSUING INSURER(S), AUTHORIZED
REPRESENTATIVE OR PRODUCER, AND THE CERTIFICATE HOLDER.
IMPORTANT: If the certificate holder Is an ADDITIONAL INSURED, the policy(les) must have ADDITIONAL INSURED provisions or be endorsed.
If SUBROGATION IS WAIVED, subject to the terms and conditions of the policy, certain policies may require an endorsement A statement on
this certificate does not confer rights to the certificate holder in lieu of such endorsemen s .
PRODUCER
Baker, Romero & ASSOCIateS Insurance Brokers, Inc.
750 Terrado Plaza #238
Covina, CA 91723
License #: OG22790
CONTACT
NAM • Emma L Becerra
PHONE I (626)392.2253 AaD N,. (626)339-9921
wl
'
EMAIL
Do emma bakerromero.com
INSURER(Sl AFFORDING COVERAGE SAIDN
INSURER A i Nonprofits Ins Alliance
INSURED
INSURERS:
INSURERC_
Thrive Santa Ana, Inc.
INSURER D:
401 East Peltason Dr., Suite 1000
INSURER E:
Santa Ana, CA 92702
INSURER P:
COVERAGES CERTIFICATE NUMBER- DnGnOnnn.25719 RPVICInN NIIMRFa• a
THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD
INDICATED. NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS
CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS,
EXCLUSIONS AND CONDITIONS OF SUCH POLICIES, LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS.
INSR
TYPE OP INSURANCE
ADD
SUER
POLICY NUMBER
POLICOY SPP
POUOYFXP
LIMITS
A
X COMMERCIAL GENERAL LIABILITY
CLAIMSMADEI OCCUR
2018-57335
1012712018
1012712019
EACHOCCURRENCE $ 1000000
T S 600,000
MEDEXP one mon) S 20,000
PERSONAL& AOV INJURY S 1,000,000
GENT AGGREGATE LIMIT APPUES PER;
X POLICY ❑ O.
JET 11 LOC
00000
GENERAL AGGRETpemm)$
PRODUCTS - COM11100:1010
OTHER:
AUTOMOSILELIABUJTY
EaM E¢D SINGLANY
a001LY INJURY(AUTOS
AUTO
ONLY OWNED AUTOSULED
BODILY INJURY(PAUTOSONLY
BOSS ONLYY
PROR jE Y DAMA
UMBRELLA UAB
OCCUR
EACH OCCURRENCE $
AGGREGATE S
EXCESS LIAR
CLAIMS -MADE
DED I I RETENTION$
S
WORKERS COMPENSATION
AND EMPLOYERS' LIABILITY YIN
ANY PROPRIETORPARTNERMSCUTIVE
OFFIOERMEMBEREXCLUDED?
NIA
PER H.
TA
E.L. EACH ACCIDENT $
E.L DISEASE -EA EMPLOYE S
(Mandatory in NH)
ITyea deealbe under
0 SGtRIPTION OF OPERATIONS belay
E.L. DISEASE -POLICY LIMIT S
A
Directors & Officers
201857335 -DO
1012712018
1012712019
$1M Each qct $1M Aggregate
DESCRIPTION OF OPENATONS I LOCATIONS / VEHICLES (ACORD 101, Addllontl RamaNn SohodVle, may bo.o mhad N mom apaaa Is mSVlmm
Certificate holder named as Additional Insured - Landlord, client working to acquire land for lancitrust.
�15t'
CERTIFICATE HOLDER neNeFl I ATInN
m 1988-2015 ACORD CORPORATIOW All rights reserved.
ACORD 25 (2016103) The ACORD name and logo are registered marks of ACORD
Printed by ELB on January 08, 2019 at 10:56AM
SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE
The City of Santa Ana
THE EXPIRATION DATE THEREOF, NOTICE WILL BE DELIVERED IN
ACCORDANCE WITH THE POLICY PROVISIONS.
20 Civic Center Plazxa, M-25
Santa Ana, CA 92701
AUTHORED REPRESENTATIVE
ELB
m 1988-2015 ACORD CORPORATIOW All rights reserved.
ACORD 25 (2016103) The ACORD name and logo are registered marks of ACORD
Printed by ELB on January 08, 2019 at 10:56AM
POLICY NUMBER: 2018-57335
Named Insured: Thrive Santa Ana, Inc.
COMMERCIAL GENERAL LIABILITY
CO 20 26 D413
THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY.
ADDITIONAL INSURED - DESIGNATED
PERSON OR ORGANIZATION
This endorsement modifies insurance provided under the following:
COMMERCIAL GENERAL LIABILITY COVERAGE PART
SCHEDULE
Name Of Additional Insured Person(s) Or Organization(s):
City of Santa Ana
City of Santa Ana named as Additional Insured, landlord; Primary Non -Contributory included as per endorsement NIAC-E61
Information required to complete this Schedule, if not shown above, will be shown in the Declarations.
A. Section 11— Who Is An Insured is amended to
include as an additional insured the person(s) or
organization(s) shown in the Schedule, but only
with respect to liability for "bodily injury",'property
damage" or "personal and advertising injury"
caused, in whole or in part, by your acts or
omissions or the acts or omissions of those acting
on your behalf:
1. in the performance of your ongoing operations;
or
2. In connection with your premises owned by or
rented to you.
However:
1. The Insurance afforded to such additional
insured only applies to the extent permitted by
law; and
2. If coverage provided to the additional insured is
required by a contract or agreement, the
insurance afforded to such additional insured
will not be broader than that which you are
required by the contract or agreement to
provide for such additional insured.
B. Wllh respect to the Insurance afforded to these
additional Insureds, the following is added to
Section III—Limits Of Insurance:
If coverage provided to the additional insured is
required by a contract or agreement, the most we
will pay on behalf of the additional Insured is the
amount of insurance:
1. Required by the contract or agreement; or
2. Available under the applicable Limits of
Insurance shown in the Declarations;
whichever is less.
This endorsement shall not increase the
applicable Limits of Insurance shown In the
Declarations.
CG 20 26 04 13 0 Insurance Services Office, Inc., 2012 Page 1 of 1
NONPROFITS ' POLICY NUMBER: 2015-57335 FORM: NIAC-E61 11 '17
INSURANCE NAMED INSURED: Thrive Santa Ana Inc.
0 ALLIA.NCL OF CALIFORNIA
A Head for tnsuranCo. A Heart for Nonprofits.
THIS ENDORSEMENT CHANGES THE POLICY, PLEASE READ IT CAREFULLY.
PRIMARY AND NON-CONTRIBUTORY
ENDORSEMENT FOR PUBLIC ENTITIES
This endorsement modifies insurance provided under the following:
COMMERCIAL GENERAL LIABILITY COVERAGE PART
SCHEDULE
Name of person or Organization:
(Information required to complete this Schedule, if not shown above, will be shown in the Declarations.)
A, Section 11– Who is An Insured is amended to include any public entity as an additional Insured for whom you
are performing operations, who may be named in the schedule above, when you have agreed in a written
contract or written agreement that such public entity be added as an additional insured(s) on your policy, but
only with respect to liability far "bodily injury', `;property damage" or "personal and advertising injury'caused, in
whole or in part, by:
1. Your negligent acts or omissions; or
2. The negligent acts or omissions of those acting on your behalf; in the performance of your ongoing
operations:
No such public entity is an additional insured for liability arising out of the "products -completed operations
hazard" or for liability arising out of the sole negligence of that pubic entity.
B. With respect to the insurance afforded to these additional insured(s), the following additional exclusions apply.
This insurance does not apply to "bodily injury" or "property damage" occurring after:
1. All work, including materials, parts or equipment furnished in connection with such work, on the project
(other than service, maintenance or repairs) to be performed by or on behalf of the additional insured(s) at
the location of the covered operations has been completed; or
2. That portion of "your work" out of which injury or damage arises has been put to its inteided use by any
person or organization other than another contractor or subcontractor engaged in performing operations for
a principal as a part of the same project. r, )
C. The following is added to SECTION III — LIMITS OF INSURANCE:
99A
The limits of insurance applicable to the additional insured(s) are those specified in the written contract between L69,
you and the additional insured(s), or the limits available under this policy, whichever are less. These limits are
part of and not in addition to the limits of insurance under this policy.
NIAC-E61 11 17 Page 1 of 2
NONPROFITS
INSURANCE
19 ALLIANCE or CALIfoBNrA
A Hood far insurance. A Heart for Nonprofits.
POLICY NUMBER: 2018-51335 FORM: NIAC-E61 11 17
NAMED INSURED: Thrive Santa Ana Inc.
D. A. With respect to the insurance provided to the additional insured(s), Condition 4. Other Insurance of
SECTION IV — COMMERCIAL GENERAL LIABILITY CONDITIONS Is replaced by the following;
4. Other Insurance
a. Primary Insurance
This insurance is primary if you have agreed in a written contract or written agreement:
(1) That this Insurance be primary. If other insurance is also primary, we will share with all that other
insurance as described in c, below; or
(2) The coverage afforded by this insurance is primary and non -contributor{ with the additional
insured(s)'owninsurance.
Paragraphs (1) and (2) do not apply to other insurance to which the additional insured($) has been
added as an additional Insured or to other insurance described in paragraph b. below.
b. Excess Insurance
This insurance is excess over:
1, Any of the other insurance, whether primary, excess, contingent or on any other basis;
(a) That Is Fire, Extended Coverage, Builder's Risk, Installation Risk or similar coverage for "your
work";
(b) That Is fire, lightning, or explosion insurance for premises rented to you or temporarily occupied
by you with permission of the owner;
(c) That is insurance purchased by you to cover your liability as a tenant for'property damage" to
premises temporarily occupied by you with permission of the owner; or
(d) If the loss arises out of the maintenance or use of aircraft, "autos" or watercraft to the extent
not subject to Exclusion g, of SECTION I — COVERAGE A— BODILY INJURY AND
PROPERTY DAMAGE.
(e) Any other Insurance available to an additional Insured(s) under this Endorsement covering
liability for damages which are subject to this endorsement and for which the additional
insured(s) has been added as an additional insured by that other insurance.
(1) When this insurance is excess, we will have no duty under Coverages A or B to defend the
additional insured(s) against any "suit" If any other insurer has a duty to defend the additional
insured(s) against that "suit", If no other Insurer defends, we will undertake to do so, but we will be
entitled to the addition@: insured(s)' rights against all those other insurers.
(2) When this insurance is excess over other insurance, we will pay only our share of the amount of
the loss, if any, that exceeds the sum of:
(a) The total amount that all such other insurance would pay for the loss in the absence of this
insurance; and
(b) The total of all deductible and self-insured amounts under all that other insurance.
(3) We will share the remaining loss, if any, with any other insurance that is not described in this
Excess Insurance provision and was not bought specifically to apply in excess of the Limits of
Insurance shown in the Declarations of this Coverage Part.
c. Methods of Sharing
If all of the other insurance available to the additional insured(s) permits contribution by equal shares,
we will follow this method also. Under this approach each insurer contributes equal amounts until it has
paid its applicable limit of insurance or none of the loss remains, whichever comes first,
If any other the other insurance available to the additional insured(s) does not permit contribution by
equal shares, we will contribute by limits. Under this method, each insurer's share is based on the ratio
of its applicable limit of insurance to the total applicable limits of insurance of all insurers.
NIAC-E61 11 17 Page 2 of 2