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HomeMy Public PortalAbout20120111 - Agenda Packet - Board of Directors (BOD) - 12-01 Midpeninsula Regional Open Space District Meeting 12-01 SPECIAL AND REGULAR MEETING BOARD OF DIRECTORS MIDPENINSULA REGIONAL OPEN SPACE DISTRICT And MIDPENINSULA REGIONAL OPEN SPACE DISTRICT FINANCING AUTHORITY Administrative Office 330 Distel Circle Los Altos,California 94022 Wednesday,January 11, 2012 CLOSED SESSION MEETING OF THE MIDPENINSULA REGIONAL OPEN SPACE DISTRICT BEGINS AT 5:00 P.m.* REGULAR MEETING OF THE MIDPENINSULA REGIONAL OPEN SPACE DISTRICT BEGINS AT 7:00 P.m.* AGENDA SPECIAL MEETING 5:00 SPECIAL MEETING OF THE BOARD OF DIRECTORS OF THE MIDPENINSULA REGIONAL OPEN SPACE DISTRICT— CLOSED SESSION ROLL CALL 1. Closed Session: Public Employee Performance Evaluation—California Government Code§54957(b)(1). Title of Employee: General Manager 7:00 ADJOURNMENT REGULAR MEETING 7:00 REGULAR MEETING OF THE BOARD OF DIRECTORS OF THE MIDPENINSULA REGIONAL OPEN SPACE DISTRICT PUBLIC SESSION ROLL CALL REPORT ON RETURN FROM CLOSED SESSION(IF NECESSARY)(The Board shall publicly state any reportable action taken in Closed Session pursuant to Government Code Section 54957.1) ORAL COMMUNICATIONS—PUBLIC ADOPTION OF AGENDA 7:05 CONSENT CALENDAR 1. Approve Minutes of the Regular and Special Board Meetings—November 9,2011 2. Approve Revised Claims Report 3. Approve Written Communications—D.Crane 4. Renewal of Investment Authority and Annual Investment Report—M.Foster ADJOURNMENT TO MIDPENINSULA REGIONAL OPEN SPACE DISTRICT FINANCING AUTHORITY MEETING 7:10 SPECIAL MEETING OF THE MIDPENINSULA REGIONAL OPEN SPACE DISTRICT FINANCING AUTHORITY 1. Resolution Authorizing the Execution and Delivery of Documents in Connection with the Refinancing of the 1999 Revenue Bonds—M.Foster 2. Acceptance of the Controller's Annual Financial Report of the Midpeninsula Regional Open Space District Financing Authority—M. Foster 7:30 RECONVENE TO THE REGULAR MEETING OF THE BOARD OF DIRECTORS OF THE MIDPENINSULA REGIONAL OPEN SPACE DISTRICT—PUBLIC SESSION 7:30 BOARD BUSINESS 5. Resolution Approving Documents Relating to Issuance of 2012 Refunding Notes—M. Foster 6. Election of Board of Directors Officers for Calendar Year 2012—S.Abbors 7. Appointment of Administration and Budget Committee Members for Calendar Year 2012—Board President 8. Adoption of the District's Resource Management Policies and Approval of Proposed Mitigated Negative Declaration and Mitigation Monitoring Program for the Resource Management Policies Project Applicable to all District Owned and/or Managed Lands—J.Andersen 9. Consider approval of a trail construction agreement and trail easement agreement with California Water Service Company(Cal Water)for a trail connection between the El Corte de Madera Creek Open Space Preserve and the Bay Area Ridge Trail on Cal Water's Bear Gulch Watershed property—A. Ishibashi INFORMATIONAL REPORTS—Reports on compensable meetings attended. Brief reports or announcements concerning activities of District Directors and staff;opportunity to refer public or Board questions to staff for factual information;request staff to report back to the Board on a matter at a future meeting;or direct staff to place a matter on a future agenda. A. Committee Reports B. Staff Reports C. Director Reports ADJOURNMENT *Times are estimated and items may appear earlier or later than listed.Agenda is subject to change of order. To ADDRESS THE BOARD: The Chair will invite public comment on agenda items at the time each item is considered by the Board of Directors. You may address the Board concerning other matters during Oral Communications. Each speaker will ordinarily be limited to three minutes.Alternately,you may comment to the Board by a written communication, which the Board appreciates. Consent Calendar:All items on the Consent Calendar may be approved without discussion by one motion.Board members,the General Manager,and members of the public may request that an item be removed from the Consent Calendar during consideration of the Consent Calendar. In compliance with the Americans with Disabilities Act,if you need assistance to participate in this meeting,please contact the District Clerk at(650)691-1200. Notification 48 hours prior to the meeting will enable the District to make reasonable arrangements to ensure accessibility to this meeting. Written materials relating to an item on this Agenda that are considered to be a public record and are distributed to Board members less than 72 hours prior to the meeting,will be available for public inspection at the District's Administrative Office located at 330 Distel Circle,Los Altos,California 94022. CERTIFICATION OF POSTING.OF AGENDA 1,Michelle Radcliffe,District Clerk for the Midpeninsula Regional Open Space District(MROSD),declare that the foregoing agenda for the Regular Meeting of the MROSD Board of Directors and the Regular Meeting of the District Financing Authority was posted and available for review on January 6,2012,at the Administrative Offices of MROSD,330 Distel Circle,Los Altos California,94022, The agenda is also available on the District's web site at har):,;/w)NW.( �� s)ace.org. L02en Signed this 0h day of January,at Los Altos,California. ,Q—0.9;�. District Clerk January 6,2012 Claims No. 12-01 Meeting 12-01 Date 1/11/12 Midpeninsula Regional Open Space District # Amount Name Description 16588 $259,566.34 Aviat U.S. Radios&Associated Equipment For District Radio Project 16589 $46,794.19 Downtown Ford Maintenance Truck-2012 Ford F550 16590 $24,805.91 John Northmore Roberts&Associates Consulting Services For Design&Construction Documents- Mindego Gateway Staging Area 16591 $21,336.79 *1 Tessco Equipment For District Radio Project 16592 $19,641.00 Bay Cities Automatic Gates Automated Electric Gate System At Windy Hill Parking Lot 16593 $17,751.77 Fall Creek Engineering Design Services For Ponds DR07&DR08 At La Honda Creek 16594 $11,400.00 Gehrels Construction Stucco Wall&Dryrot Repair-Rental Residence 16595 $11,000.63 *2 Schafer Consulting Consulting Services-Integrated Accounting&Financial Software Selection,Evaluation&Implementation 16596 $8,136.13 *3 San Mateo County Planning&Building Connector Trail Permit Fee-ECDM Department 16597 $7,512.65 *4 San Mateo County Planning&Building Cross Over Trail Permit Fee-ECDM Department 16598 $6,033.13 Callander Associates Landscape Design&Remediation Work For Ravenswood Lot Area Architecture 16599 $5,455.80 *5 Motorola Solutions Equipment For District Radio Project 16600 $5,148.12 Ecological Concerns Native Revegetation Maintenance&Monitoring-Skyline Ridge Tree Farm 16601 $5,045.73 *6 San Mateo County Planning&Building Grading Permit For Mindego Hill Trail Department 16602 $4,914.00 County Of Santa Clara-Office Of The Services Related To The Design, Installation And Maintenance Of County Executive A Two Way Radio System 16603 $4,644.44 Ecological Concerns Native Revegetation Maintenance&Monitoring-Skyline Ridge Tree Farm Phase III 16604 $4,580.23 Ascent Environmental CEQA/NEPA Document Preparation&Support For Mt. Umunhum Site Planning 16605 $4,212.73 Biosearch Associates Biological Surveys For Mindego Gateway Project 16606 $3,902.60 Acterra Native Plants For Big Dipper Restoration Project 16607 $3,865.38 Howard Rome Martin&Ridley Legal Services-Gullicksen Litigation 16608 $3,742.17 Page&Turnbull Addendum To Historic Resource Study For Environmental Impact Report For Mt. Umunhum Public Access Plan 16609 $3,565.26 Metro Mobile Communications Repair Radio Antenna/Radio Chargers For Portable Radios/ Install Vehicle Repeater/Install Radio In New Maintenance Truck /Three Portable Radios 16610 $3,487.50 Minh Le Leadership Consulting Services 16611 $3,064.02 *7 Tessco Equipment For District Radio Project 16612 $2,736.43 RDO Equipment Company Replace Broken Axle On Tractor 16613 $2,678.00 Macro Corporation Project Management Services-Implementation Of District's New Radio System 16614 $2,646.05 Rich Voss Trucking Rock Delivery For Alpine Pond Trail Surfacing 16615 $2,369.00 *8 First National Bank Event Supplies&Expenses-Catering For Staff Holiday Party 16616 $2,176.08 *8 First National Bank Office Supplies/Memory Card/Ink Cartridges/Copy Paper/ Foam Board/White Board For Mt.Umunhum Site Planning Meeting/Laminating Supplies/Water Filter/Network Cables 16617 $2,155.46 *9 New World Systems Integrated Accounting And Financial System Software& Implementation Services 16618 $2,151.50 *10 San Mateo County Clerk Recorder CEQA Filing Fee For Alpine Pond Project 16619 $2,125.89 Stevens Creek Quarry Rock For Folger Driveway 16620 $2,100.00 Ideal Restoration Asbestos Pipe Removal-Rental Residence 16621 $2,004.60 West Payment Center Monthly Subscription For Online Legal Information 16622 $1,956.97 CMK Automotive Vehicle Maintenance&Repairs 16623 $1,614.06 *8 First National Bank Conferences&Training-California Invasive Weed Symposium/ Brown Act Webinar/Leadership Skills Training/Emergency Response Training Books Page 1 of 4 Claims No. 12-01 Meeting 12-01 Date 1/11/12 Midpeninsula Regional Open Space District # Amount Name Description 16624 $1,567.00 North American Title Company Title&Escrow Fees-Balaban Property 16625 $1,523.51 *8 First National Bank Vehicle Maintenance&Supplies-Tires For Tractor/Car Washes 16626 $1,424.99 The Mercury News Legal Advertisement For Folger Remodel&Resource Management Policies 16627 $1,397.72 Accountemps Accounting Temp 16628 $1,344.80 Simms Plumbing&Water Equipment Replace Water Heater-Rental Residence 16629 $1,200.00 Econo Tree Service Prune Large Oak Tree At RSA 16630 $1,195.52 *8 First National Bank Field Supplies/Field Pocket Books/Winch Accessories/Floor Jack/Batteries 16631 $1,185,19 Condor Country Consulting Biological Report For Peter's Creek Trail Reroute 16632 $1,172.00 Communication&Control Radio Repeater Site Rent-Tomita Hill 16633 $1,170.78 *8 First National Bank Business Related Meals-Managers Meeting/Operations Meeting/Mt. Umunhum Tour/GM Business Lunch/Board Meetings 16634 $1,134.83 Summit Uniforms Uniform Expenses 16635 $1,062.22 Alvaro Jaramillo Mt. Umunhum Species Assessment For Environmental Planning 16636 $1,016.64 Langan Engineering&Environmental Geotechnical Evaluation&Report-Folger House Remodel Services 16637 $1,000.00 *11 Frank&Virginia Jakel Balance-Land Acquisition 16638 $1,000.00 San Mateo County Fire Department District Contribution For Crews To Do Fuel Reduction With Caltrans Along Preserve Boundaries On Highway 35 16639 $1,000.00 *12 Neofunds By Neopost Replenish Postage Meter-AO 16640 $842.95 Tires On The Go Tires&Tire Repair 16641 $812.51 Geocon Consultants Environmental&Geotechnical Consulting Services For Mindego Ranch Landfill 16642 $798.66 *8 First National Bank Volunteer&Docent Training Supplies-Volunteer Recognition Event Supplies/Outdoor Service Project Supplies 16643 $779.47 Pine Cone Lumber Shop Supplies/Wood For Fence Around Folger Water Tank/ Lumber For Bridge Damaged By Fallen Tree At RSA 16644 $762.22 *13 AmeriGas Propane-Rental Residence 16645 $700.00 Trout Bach,Rebecca Reimbursement-Tuition 16646 $700.00 Aaron's Septic Tank Service Pumping Services-Rental Residence 16647 $698.72 T-Squared HVAC Repair Furnace-Rental Residence 16648 $690.00 State Bar Of California State Bar Membership Fees-J.Atencio 16649 $652.12 Sol's Mobile Service Vehicle Maintenance&Repairs 16650 $600.00 State Of California Department Of Fish California Natural Diversity Database Renewal &Game 16651 $600.00 Heather Heights Road Association Annual Road Dues 16652 $584.35 ADT Security Services Alarm Service-SFO&FFO 16653 $575.00 County Of San Mateo Information Rent For Radio Repeater At Pise Peak Services Department 16654 $547.94 Golden West Collision Center District Vehicle Auto Body Repairs 16655 $547.16 United Site Services Sanitation Services-Sierra Azul&Fremont Older 16656 $518.03 Santa Clara County Sheriffs Office Patrol Support For Thanksgiving Event 16657 $496.57 *8 First National Bank Uniform Expenses 16658 $494.24 Cuzick, Elaina Reimbursement-Locks For October Farm 16659 $460.00 Greg's Trucking Service Trucking Services-Rock For Pulgas Ridge Trail Project 16660 $428.87 California Water Service Company Water Service-Windy Hill,FFO&AO 16661 $420.90 Cal-Line Equipment Chipper Service&Safety Inspection 16662 $415.05 Del Woods Consulting Services-Bear Creek Stables Site Assessment,RFP &Lease Development 16663 $390.08 *8 First National Bank Miscellaneous Expenses-Treated Wood Disposal/Going Away Lunch For Administrative Assistant-To Be Reimbursed By Staff Page 2 of 4 Claims No. 12-01 Meeting 12-01 Date 1111/12 Midpeninsula Regional Open Space District # Amount Name Description 16664 $378.26 Staples Credit Plan Office&Break Room Supplies-AO 16665 $374.03 Hsieh,Benny Reimbursement-Break Room Supplies 16666 $370.56 Recology South Bay Dumpster Service-FFO 16667 $369.00 The Recorder Annual Legal Subscription 16668 $348.72 Beck's Shoes Uniform Expense-Boots 16669 $339.00 Diamond Quality Printing Mailing Services For Mt. Umunhum Postcard Mailing For Release Of Draft Environmental Impact Report 16670 $317.77 Graniterock Rock For Rental Residence Driveway 16671 $313.93 John Shelton Culvert For Black Mountain Water System 16672 $305.44 Ace Fire Equipment&Service Fire Extinguisher Maintenance Company 16673 $300.00 Eflexgroup Flexible Spending Account Annual Compliance Fee 16674 $293.75 California Chamber Of Commerce 2012 California Labor Law Posters 16675 $278.55 Gou,Vicky Reimbursement-Social Media For Government Communications Conference Expense 16676 $253.51 Emergency Medical Products First Aid Supplies 16677 $224.00 Del Rey Building Maintenance Janitorial Supplies-AO 16678 $222.55 Moore Medical CPR Training Supplies 16679 $216.02 O'Reilly Auto Parts Field&Shop Supplies 16680 $209.94 Gempler's Broom Heads 16681 $200.00 County Of San Mateo Human Training Course-Excel 2007 Resources Department 16682 $200.00 Rutherford&Chekene Structural&Geotechnical Assessment-Mt.Umunhum Radar Tower 16683 $199.88 G&K Services Shop Towel Service-SFO&FFO 16684 $195.00 Glasser Kolly Labor Relations Consultant Services-Labor Negotiations&Labor Relations 16685 $190.14 Powerland Equipment Tractor Parts 16686 $189.45 Hertz Equipment Rental Equipment Rental-Roller Rental For Folger Driveway At La Honda Creek 16687 $180.00 Cupertino Medical Group Employee Medical Services 16688 $174.04 Continuing Education Of The Bar Legal Updates-California Real Property Sales Transactions 16689 $170.00 Waste Management Of Guadalupe Waste Disposal Disposal Company 16690 $165.00 *8 First National Bank Membership Dues-Pesticide Applicators Professional Association/Non Profit Tech Network 16691 $164.69 *8 First National Bank Computer,Website&Internet Expenses-FFO Internet/Email Service Provider For Sending Email Blasts/Monitor Privacy Screen 16692 $158.48 Langley Hill Quarry Rock For Pulgas Ridge Trail Project 16693 $153.94 Cabela's Uniform Expenses 16694 $144.73 FedEx Shipping Charges 16695 $125A3 Silverman,Joel Reimbursement-Mileage 16696 $115.50 Protection One Fire Inspection&Monitoring-AO 16697 $110.31 Mission Trail Waste Systems Garbage Service-AO 16698 $104.83 Radcliffe,Michelle Reimbursement-General Counsel Recruitment Expenses 16699 $97.76 State Board Of Equalization Diesel Fuel Tax 16700 $88.96 Allied Waste Services Garbage Service-Rental Residences 16701 $80.00 Roessler,Cindy Reimbursement-Cell Phone 16702 $78.00 Pacific Telemanagement Services Pay Phone-Black Mountain 16703 $75.00 Spectrum Resources FCC Renewal Application For Radio Frequency 16704 $73.16 R.V.Cloud Company Supplies For Rental Residence Sump Pump 16705 $68.70 San Jose Water Company Water Service-Rental Residence 16706 $68.64 West Valley Collection Garbage Service-SAO Page 3 of 4 Claims No. 12-01 Meeting 12-01 Date 1/11/12 Midpeninsula Regional Open Space District # Amount Name Description 16707 $67.38 DFM Associates 2012 California Elections Code Books 16708 $60.00 Bankosh,Michael Reimbursement-Cell Phone 16709 $58.55 R&B Company Utility Box For Rental Residence Water System 16710 $57.75 ID Plus Name Tags For Staff 16711 $54.50 Rancho Cobbler&Cleaners Shoe Repair&Sew Patches On Uniforms 16712 $47.30 United Parcel Service Parcel Shipping 16713 $43.00 Allen's Press Clipping Bureau Clipping Service 16714 $39.90 *8 First National Bank Advertising,Subscriptions&Books-Survey Monkey Monthly Subscription 16715 $37.87 Jurich,Michael Reimbursement-Uniform Expense 16716 $37.50 Priority 1 Public Safety Equipment Patrol Truck Supply 16717 $32.41 Orlandi Trailer Trailer Supplies 16718 $30.88 Grainger Drill Bits 16719 $30.31 Kwik Key Lock&Safe Company Patrol Truck Key 16720 $26.25 Rayne Of San Jose Water Service-Fremont Older 16721 $23.31 Fitzsimons, Renee Reimbursement-Docent Quarterly Meeting Supplies&Nature Center Supplies 16722 $16.00 Forensic Analytical Bulk Sampling-Asbestos In Skyline Area Total $559,580.18 *1 Urgent check issued 12/19/11 *2 Urgent check issued 12/19/11 *3 Urgent check issued 1/3/12 *4 Urgent check issued 1/3/12 *5 Urgent check issued 12/19/11 *6 Urgent check issued 12/19/11 *7 Urgent check issued 1/5/12 *8 Urgent check issued 12/5/11 The total amount for First National Bank is$12,103.85 *9 Urgent check issued 1/3/12 *10 Urgent check issued 1/5/12 *11 Urgent check issued 12/22/11 *12 Urgent check issued 12/22/11 *13 Urgent check issued 1/5/12 Page 4 of 4 Claims No. 12-01 Meeting 12-01 Date 1/11/12 Revised Midpeninsula Regional Open Space District # Amount Name Description 16588 $259,566,34 Aviat U.S. Radios&Associated Equipment For District Radio Project 16589 $46,794.19 Downtown Ford Maintenance Truck-2012 Ford F550 16590 $24,805.91 John Northmore Roberts&Associates Consulting Services For Design&Construction Documents- Mindego Gateway Staging Area 16591 $21,336.79 *1 Tessco Equipment For District Radio Project 16592 $19,641,00 Bay Cities Automatic Gates Automated Electric Gate System At Windy Hill Parking Lot 16593 $17,751.77 Fall Creek Engineering Design Services For Ponds DR07&DR08 At La Honda Creek 16594 $11,400.00 Gehrels Construction Stucco Wall&Dryrot Repair-Rental Residence 16595 .$11,000.63 *2 Schafer Consulting Consulting Services-Integrated Accounting&Financial Software Selection, Evaluation&Implementation 16596 $8,136.13 *3 San Mateo County Planning&Building Connector Trail Permit Fee-ECDM Department 16597 $7,512.65 *4 San Mateo County Planning&Building Cross Over Trail Permit Fee-ECDM Department 16598 $6,033,13 Callander Associates Landscape Design&Remediation Work For Ravenswood Lot Area Architecture 16599 $5,455.80 *5 Motorola Solutions Equipment For District Radio Project 16600 $5,148.12 Ecological Concerns Native Revegetation Maintenance&Monitoring-Skyline Ridge Tree Farm 16601 $5,045.73 *6 San Mateo County Planning&Building Grading Permit For Mindego Hill Trail Department 16602 $4,914.00 County Of Santa Clara-Office Of The Services Related To The Design, Installation And Maintenance Of County Executive A Two Way Radio System 16603 $4,644.44 Ecological Concerns Native Revegetation Maintenance&Monitoring-Skyline Ridge Tree Farm Phase III 16604 $4,580.23 Ascent Environmental CEQA/NEPA Document Preparation&Support For Mt. Umunhum Site Planning 16605 $4,212.73 Biosearch Associates Biological Surveys For Mindego Gateway Project 16606 $3,902.60 Acterra Native Plants For Big Dipper Restoration Project 16607 $3,865.38 Howard Rome Martin&Ridley Legal Services-Gullicksen Litigation 16608 $3,742.17 Page&Turnbull Addendum To Historic Resource Study For Environmental Impact Report For Mt.Umunhum Public Access Plan 16609 $3,565.26 Metro Mobile Communications Repair Radio Antenna/Radio Chargers For Portable Radios! Install Vehicle Repeater/Install Radio In New Maintenance Truck /Three Portable Radios 16610 3 487.50 Minh Le Leadership Consulting Services 6 0 $ P 9 16611 $3,064.02 *7 Tessco Equipment For District Radio Project 16612 $2,736.43 RDO Equipment Company Replace Broken Axle On Tractor 16613 $2,678.00 Macro Corporation Project Management Services-Implementation Of District's New Radio System 16614 $2,646.05 Rich Voss Trucking Rock Delivery For Alpine Pond Trail Surfacing 16615 $2,369.00 *8 First National Bank Event Supplies&Expenses-Catering For Staff Holiday Party 16616 $2,176.08 *8 First National Bank Office Supplies/Memory Card/Ink Cartridges/Copy Paper/ Foam Board/White Board For Mt. Umunhum Site Planning Meeting/Laminating Supplies/Water Filter/Network Cables 16617 $2,155.46 *9 New World Systems Integrated Accounting And Financial System Software& Implementation Services 16618 $2,151.50 *10 San Mateo County Clerk Recorder CEQA Filing Fee For Alpine Pond Project 16619 $2,125.89 Stevens Creek Quarry Rock For Folger Driveway 16620 $2,100.00 Ideal Restoration Asbestos Pipe Removal-Rental Residence 16621 $2,004.60 West Payment Center Monthly Subscription For Online Legal Information 16622 $1,956.97 CMK Automotive Vehicle Maintenance&Repairs 16623 $1,614.06 *8 First National Bank Conferences&Training-California Invasive Weed Symposium/ Brown Act Webinar/Leadership Skills Training/Emergency Response Training Books Page 1 of 5 Claims No. 12-01 Meeting 12-01 Date 1/11/12 Revised Midpeninsula Regional Open Space District # Amount Name Description 16624 $1,567.00 North American Title Company Title&Escrow Fees-Balaban Property 16625 $1,523.51 *8 First National Bank Vehicle Maintenance&Supplies-Tires For Tractor/Car Washes 16626 $1,424.99 The Mercury News Legal Advertisement For Folger Remodel&Resource Management Policies 16627 $1,397.72 Accountemps Accounting Temp 16628 $1,344,80 Simms Plumbing&Water Equipment Replace Water Heater-Rental Residence 16629 $1,200.00 Econo Tree Service Prune Large Oak Tree At RSA 16630 $1,195.52 *8 First National Bank Field Supplies/Field Pocket Books/Winch Accessories/Floor Jack/Batteries 16631 $1,185.19 Condor Country Consulting Biological Report For Peter's Creek Trail Reroute 16632 $1,172.00 Communication&Control Radio Repeater Site Rent-Tomita Hill 16633 $1,170.78 *8 First National Bank Business Related Meals-Managers Meeting/Operations Meeting/Mt. Umunhum Tour/GM Business Lunch/Board Meetings 16634 $1,134.83 Summit Uniforms Uniform Expenses 16635 $1,062.22 Alvaro Jaramillo Mt. Umunhum Species Assessment For Environmental Planning 16636 $1,016.64 Langan Engineering&Environmental Geotechnical Evaluation&Report-Folger House Remodel Services 16637 $1,000.00 *11 Frank&Virginia Jakel Balance-Land Acquisition 16638 $1,000.00 San Mateo County Fire Department District Contribution For Crews To Do Fuel Reduction With Caltrans Along Preserve Boundaries On Highway 35 16639 $1,000.00 *12 Neofunds By Neopost Replenish Postage Meter-AO 16640 $842.95 Tires On The Go Tires&Tire Repair 16641 $812.51 Geocon Consultants Environmental&Geotechnical Consulting Services For Mindego Ranch Landfill 16642 $798.66 *8 First National Bank Volunteer&Docent Training Supplies-Volunteer Recognition Event Supplies/Outdoor Service Project Supplies 16643 $779.47 Pine Cone Lumber Shop Supplies!Wood For Fence Around Folger Water Tank/ Lumber For Bridge Damaged By Fallen Tree At RSA 16644 $762.22 *13 AmeriGas Propane-Rental Residence 16645 $700.00 Trout Bach,Rebecca Reimbursement-Tuition 16646 $700.00 Aaron's Septic Tank Service Pumping Services-Rental Residence 16647 $698.72 T-Squared HVAC Repair Furnace-Rental Residence 16648 $690.00 State Bar Of California State Bar Membership Fees-J.Atencio 16649 $652.12 Sol's Mobile Service Vehicle Maintenance&Repairs 16650 $600,00 State Of California Department Of Fish California Natural Diversity Database Renewal &Game 16651 $600.00 Heather Heights Road Association Annual Road Dues 16652 $584.35 ADT Security Services Alarm Service-SFO&FFO 16653 $575.00 County Of San Mateo Information Rent For Radio Repeater At Pise Peak Services Department 16654 $547.94 Golden West Collision Center District Vehicle Auto Body Repairs 16655 $547.16 United Site Services Sanitation Services-Sierra Azul&Fremont Older 16656 $518.03 Santa Clara County Sheriffs Office Patrol Support For Thanksgiving Event/Fingerprinting Services 16657 $496.57 *8 First National Bank Uniform Expenses 16658 $494.24 Cuzick, Elaina Reimbursement-Locks For October Farm 16659 $460.00 Greg's Trucking Service Trucking Services-Rock For Pulgas Ridge Trail Project 16660 $428.87 California Water Service Company Water Service-Windy Hill, FFO&AO 16661 $420.90 Cal-Line Equipment Chipper Service&Safety Inspection 16662 $415.05 Del Woods Consulting Services-Bear Creek Stables Site Assessment, RFP &Lease Development 16663 $390.08 *8 First National Bank Miscellaneous Expenses-Treated Wood Disposal/Going Away Lunch For Administrative Assistant-To Be Reimbursed By Staff Page 2 of 5 '',, Claims No. 12-01 Meeting 12-01 Date 1/11/12 Revised Midpeninsula Regional Open Space District # Amount Name Description 16664 $378.26 Staples Credit Plan Office&Break Room Supplies-AO 16665 $374.03 Hsieh, Benny Reimbursement-Break Room Supplies 16666 $370.56 Recology South Bay Dumpster Service-FFO 16667 $369.00 The Recorder Annual Legal Subscription 16668 $348.72 Beck's Shoes Uniform Expense-Boots 16669 $339.00 Diamond Quality Printing Mailing Services For Mt. Umunhum Postcard Mailing For Release Of Draft Environmental Impact Report 16670 $317.77 Graniterock Rock For Rental Residence Driveway 16671 $313.93 John Shelton Culvert For Black Mountain Water System 16672 $305.44 Ace Fire Equipment&Service Fire Extinguisher Maintenance Company 16673 $300.00 Eflexgroup Flexible Spending Account Annual Compliance Fee 16674 $293.75 California Chamber Of Commerce 2012 California Labor Law Posters 16675 $278.55 Gou,Vicky Reimbursement-Social Media For Government Communications Conference Expense 16676 $253.51 Emergency Medical Products First Aid Supplies 16677 $224.00 Del Rey Building Maintenance Janitorial Supplies-AO 16678 $222.55 Moore Medical CPR Training Supplies 16679 $216.02 O'Reilly Auto Parts Field&Shop Supplies 16680 $209.94 Gempler's Broom Heads 16681 $200.00 County Of San Mateo Human Training Course-Excel 2007 Resources Department 16682 $200.00 Rutherford&Chekene Structural&Geotechnical Assessment-Mt.Umunhum Radar Tower 16683 $199.88 G&K Services Shop Towel Service-SFO&FFO 16684 $195.00 Glasser Kolly Labor Relations Consultant Services-Labor Negotiations&Labor Relations 16685 $190.14 Powerland Equipment Tractor Parts 16686 $189.45 Hertz Equipment Rental Equipment Rental-Roller Rental For Folger Driveway At La Honda Creek/Excavator Rental For Alpine Pond Cattail Removal &Black Mountain Camp Water System 16687 $180.00 Cupertino Medical Group Employee Medical Services 16688 $174.04 Continuing Education Of The Bar Legal Updates-California Real Property Sales Transactions 16689 $170.00 Waste Management Of Guadalupe Waste Disposal Disposal Company 16690 $165.00 *8 First National Bank Membership Dues-Pesticide Applicators Professional Association/Non Profit Tech Network 16691 $164.69 *8 First National Bank Computer,Website&Internet Expenses-FFO Internet/Email Service Provider For Sending Email Blasts/Monitor Privacy Screen 16692 $158.48 Langley Hill Quarry Rock For Pulgas Ridge Trail Project 16693 $153.94 Cabela's Uniform Expenses 16694 $144.73 FedEx Shipping Charges 16695 $125.43 Silverman,Joel Reimbursement-Mileage 16696 $115.50 Protection One Fire Inspection&Monitoring-AO 16697 $110.31 Mission Trail Waste Systems Garbage Service-AO 16698 $104.83 Radcliffe,Michelle Reimbursement-General Counsel Recruitment Expenses 16699 $97.76 State Board Of Equalization Diesel Fuel Tax 16700 $88.96 Allied Waste Services Garbage Service-Rental Residences 16701 $80.00 Roessler,Cindy Reimbursement-Cell Phone 16702 $78.00 Pacific Telemanagement Services Pay Phone-Black Mountain 16703 $75.00 Spectrum Resources FCC Renewal Application For Radio Frequency 16704 $73.16 R.V.Cloud Company Supplies For Rental Residence Sump Pump 16705 $68.70 San Jose Water Company Water Service-Rental Residence Page 3 of 5 Claims No. 12-01 Meeting 12-01 Date 1/11/12 Revised Midpeninsula Regional Open Space District # Amount Name Description 16706 $68.64 West Valley Collection Garbage Service-SAO 16707 $67.38 DFM Associates 2012 California Elections Code Books 16708 $60.00 Bankosh, Michael Reimbursement-Cell Phone 16709 $58.55 R&B Company Utility Box For Rental Residence Water System 16710 $57.75 ID Plus Name Tags For Staff 16711 $54.50 Rancho Cobbler&Cleaners Shoe Repair&Sew Patches On Uniforms 16712 $47.30 United Parcel Service Parcel Shipping 16713 $43.00 Allen's Press Clipping Bureau Clipping Service 16714 $39.90 '8 First National Bank Advertising,Subscriptions&Books-Survey Monkey Monthly Subscription 16715 $37.87 Jurich,Michael Reimbursement-Uniform Expense 16716 $37.50 Priority 1 Public Safety Equipment Patrol Truck Supply 16717 $32.41 Orlandi Trailer Trailer Supplies 16718 $30.88 Grainger Drill Bits/Tools 16719 $30.31 Kwik Key Lock&Safe Company Patrol Truck Key 16720 $26.25 Rayne Of San Jose Water Service-Fremont Older 16721 $23.31 Fitzsimons, Renee Reimbursement-Docent Quarterly Meeting Supplies&Nature Center Supplies 16722 $16.00 Forensic Analytical Bulk Sampling-Asbestos In Skyline Area 16723 R $23,865.28 Tessco Equipment For District Radio Project 16724 R $3,495.90 Cresco Equipment Rentals Equipment Rental-Excavator For Road&Trail Repairs 16725 R $3,228.00 Liebert Cassidy Whitmore Legal Services-Personnel 16726 R $2,960.00 Mark Hylkema Mindego Gateway Project-Data Recovery At Staging Area, Archeological Survey At Trail Segments&CEQA Compliance 16727 R $2,423.94 Peckham&Mckenney Recruitment Expenses-General Counsel 16728 R $2,108.97 Phytosphere Research Consultation, Field Sampling&Monitoring Of Sudden Oak Death 16729 R $1,803.94 Rick Skierka Survey Work To Determine Property Boundary At Windy Hill 16730 R $1,715.00 Koff&Associates Classification&Compensation Study Services 16731 R $1,472.69 Northern Energy Propane-FFO 16732 R $1,215.49 Redwood General Tire Company Tires 16733 R $1,133.91 Phytosphere Research Supplies For Sudden Oak Death Treatments 16734 R $1,043.15 Hertz Equipment Rental Equipment Rental-Excavator For Alpine Pond Cattail Removal& Black Mountain Camp Water System 16735 R $840.00 Geocon Consultants Gullicksen Deposition 16736 R $800.00 Duong, Hoa Reimbursement-Tuition 16737 R $625.00 The Historic Del Monte Building Deposit-Facility Rental For Mt. Umunhum Public Meeting 16738 R $600.53 Quartermaster Uniform Expenses 16739 R $343.39 Gardenland Power Equipment Field Supplies&Chain Saw Parts 16740 R $336.90 Howard Rome Martin&Ridley LLP Legal Services-Transcript Of Deposition In Connection With The Gullicksen Property 16741 R $251.99 Hernandez,Vince Reimbursement-Uniform Expense 16742 R $212.00 County Of Santa Clara-Office Of The Fingerprinting Services Sheriff 16743 R $204.55 Grainger Tools For FFO 16744 R $198.23 Big Creek Lumber Concrete For Gate At Purisima Creek Redwoods 16745 R $140.00 Brush Road Corporation Annual Road Assessment 16746 R $131.21 L.C.Action Field Supplies 16747 R $110.31 Mission Trail Waste Systems Garbage Service-AO 16748 R $97.15 Bolle,Ken Reimbursement-Uniform Expense 16749 R $84.92 Forestry Suppliers Tool For SFO Shop 16750 R $48.00 CMK Automotive Vehicle Maintenance&Repair 16751 R $27.06 Danielson, Dennis Reimbursement-Book For SFO Page 4 of 5 Claims No. 12-01 Meeting 12-01 Date 1/11/12 Revised Midpeninsula Regional Open Space District # Amount Name Description 16752 R $26.52 Gibbons,Stephen Reimbursement-Uniform Expense Total $611,124.21 *1 Urgent check issued 12/19/11 *2 Urgent check issued 12/19/11 *3 Urgent check issued 1/3/12 *4 Urgent check issued 1/3/12 *5 Urgent check issued 12/19/11 *6 Urgent check issued 12/19/11 *7 Urgent check issued 1/5/12 *8 Urgent check issued 12/5/11 The total amount for First National Bank is$12,103.85 *9 Urgent check issued 1/3/12 *10 Urgent check issued 1/5/12 *11 Urgent check issued 12/22/11 *12 Urgent check issued 12/22/11 *13 Urgent check issued 1/5/12 Page 5 of 5 Midpeninsula Regional Open Space District j To: Board of Directors From: Stephen E. Abbors Date: January 11, 2012 Re: Written omm C unications i i I Michelle Radcliffe From: dklljcrane@me.com Sent: Sunday, December 18, 2011 7:25 PM To: BOARD; Clerk; Vicky Gou; General Information Subject: 12/18/2011 -dklljcrane@me.com -Contact Board First Name: David Last Name: Crane Phone Number: (650) 747-0214 Email Address: dklljcrane(@me.com Ward /Location: La Honda Comments: Please allow bikes on the Mindego Hill trail. I received the letter sent by Larry Hasset regarding excluding bikes on the Mindego hill trail. It seems that bikes are being excluded based on heresay and not sound facts. Since mountain bikers are avid and appreciative users of the MROSD preserves please allow them to use and enjoy the Mindego hill trail. Michelle Radcliffe From: Michelle Radcliffe Sent: Tuesday, January 17, 2012 9:47 AM To: 'dklljcrane@me.com' Cc: Lisa Bankosh Subject: RE: 12/18/2011 - dklljcrane@me.com -Contact Board Dear Mr. Crane, The goal of the Mindego Gateway Project is to provide ecologically sensitive public recreation opportunities in the Mindego area of Russian Ridge Open Space Preserve. The Project will create a spectacular 4-mile loop trail open to all users, and will allow both hikers and equestrians into a sensitive ecological area. These proposed trail uses will be presented to the Board of Directors for tentative approval at their regular meeting ot�'January 25, 2012, at 7 pm. District staff and board welcome your attendance and comments at this meeting. For a copy of the upcoming Board report on this item, please visit our website at http://NA,-"e\N.opeiisL)ace.org/'Viaiis proiccts/minciego gateway.asp. Thank you for your continued interest in the District. Sincerely, Michelle Radcliffe on behalf of Curt Riffle, President Mid peninsula Regional Open Space District Michelle Radcliffe, CIVIC po� District Clerk -----Original Message----- mraddiffe@)openspace.orq (a)From: dkll6craneme.com fmailto:dkilicranepme.coml MidpeninSUla Regional Op , CA 94022 en Space District Sent: Sunday, December 18, 20117:25 PM 330 Distel CircleLos Altos To: BOARD; Clerk; Vicky Gou; General Information , P: (650) 691-1200 - F: (650) 691-0485 Subject: 12/18/2011 -dkllicrane6a me,com - Contact Board First Name: David Last Name: Crane Phone Number: (650) 747-0214 Email Address: dkllicrane(@me.com Ward / Location: La Honda Comments: Please allow bikes on the Mindego Hill trail. I received the letter sent by Larry Hassel regarding excluding bikes on the Mindego hill trail. It seems that bikes are being excluded based on heresay and not sound facts. Since mountain bikers are avid and appreciative users of the MROSD preserves please allow them to use and enjoy the Mindego hill trail. Poll „Board/Board Appointee Retreat" http://www.doodle.com/z7ymnp3vnf42u36h 111 MESA-11 P R �3iW�61 n�"wtt.. �t`,��i� �o� 9 criffle OK (OK) OK charris OK OK OK sabbors OK OK OK ykishimoto OK OK OK P siemens OK OK OK Count 3:0:2 2:0:3 4:1:0 5:0:0 1 / 1 c Michelle Radcliffe From: Daniel Engovatov[Daniel.Engovatov@efrontier.com] Sent: Thursday, December 15, 2011 11:25 AM To: Michelle Radcliffe Cc: Lisa Bankosh Subject: Re: 11/09/2011 -daniel.engovatov@efrontier.com -Contact Board Dear Michelle, I am a scientist. I do know a difference between a substantiated study and biased hearsay. Most obviously we are dealing with the later here. I am extremely disappointed in the obviously biased and unscientific approach that MROSD is taking in this case. I am not sure what I can do here besides campaigning to vote the current board of directors out. Hopefully, when my children grow up they will have better recreational opportunities on our public lands. Sincerely, Daniel. i From: Michelle Radcliffe <mradcliffe@openspace.or > Date:Thu, 15 Dec 2011 10:49:58-0800 To: Daniel Engovatov<daniel.engovatov@efrontier.com> Cc: Lisa Bankosh<linfante@openspace.org> Subject: RE: 11/09/2011-daniel.engovatov@efrontier.com -Contact Board Dear Mr. Engovatov, Thank you for your interest in the Mindego Gateway Project. Midpeninsula Regional Open Space District(District) has developed this new Key Project to provide public access to the beautiful and unique Mindego area of Russian Ridge Open Space Preserve. Numerous mountain bikers have expressed concern regarding preliminary recommendations limiting trail use to hikers and equestrians within the western portion of the Mindego area. The District recognizes the mountain biking community as an important constituent and takes these concerns seriously. We hope the following information adequately explains the difficult constraints under which the trail use recommendations were developed. The most important factor influencing trail use decisions in the Mindego area is the presence of the San Francisco garter snake, a "Fully Protected"endangered species. The requirements under the"Fully Protected"designation are clear and inflexible and require that no individuals of this species can be subjected to "take" (harm or death). Given the presence of a thriving population of San Francisco garter snake within the Mindego area, the District's land use and management decisions in this particular area need to be extremely protective. i The most sensitive San Francisco garter snake sites on the property lies within and near aquatic feeding habitat and as such, staff has recommended that these sites remain closed to all public use. Notwithstanding, given that garter snakes are known to disperse widely between aquatic habitat sites, and frequently bask on roads and trails, the District recognizes that these snakes risk the possibility of being run over by bicycles and vehicles. San Francisco garter snakes have been observed multiple times on roads and trails in the western portion of the Mindego area, including on the western portion of the Mindego Ridge Trail. Substantial evidence exists for harm or mortality to snakes by vehicles, both documented and anecdotal. In cases reported by the US Fish and Wildlife Service, for example, San Francisco garter snakes were run over by a bicycle near Crystal Spring Reservoir, and a vehicle near the San Francisco airport. Many mountain bikers have also cited instances where they have accidentally run over snakes. Given the unique regulatory status of this species, special protective measures are needed to avoid the loss of even one snake, which would likely result in regulatory sanction against the District and more widespread restrictions. Current District guidelines for the Mindego area limit all vehicle use to a 5 mph speed limit, and require a"spotter"to precede vehicles near aquatic habitat. It is not appropriate for the District to consider bicycle use in this area even with speed limit restrictions or seasonal use restriction since full, ongoing enforcement is not feasible. The District proposes to retain the eastern portion of the Mindego Ridge trail as a multi use trail and construct a new multi- use trail linking the Ancient Oaks Trail with the Mindego Ridge Trail. This will create a spectacular loop trail for all users. The result is no net loss of trail mileage to mountain bikers in Russian Ridge Open Space Preserve. In closing, the Board would like to re-emphasize our commitment to our mountain biking constituents. The District strives to design and build new trails, as well as retrofit existing trails, to accommodate mountain biking where appropriate. Currently, over 65%of District trails (approximately 160 miles) are open to mountain bikers, including all remaining ten miles of existing trails within Russian Ridge. We would like to emphasize that the recommendations for the Mindego area of Russian Ridge are site specific given the very unusual biological sensitivities of the area, which as of now, are not known to exist at any other site on District land. We feel that by providing sensitive public access to Mindego, we can continue to further our mission: "To acquire and preserve a regional greenbelt of open space in perpetuity; protect and restore the natural environment; and provide opportunities for ecologically sensitive public enjoyment and education. For more information on the Mindego Gateway Project, please visit our website at htttp://67.199.5.159/plans_projectslmindego aq teway.asp. We invite your continued participation and welcome your comments when the staff recommendations are considered by the full Board of Directors in early 2012. Sincerely, Larry Hassett, Board President Midpeninsula Regional Open Space District -----Original Message----- From: daniel.engovatov efrontier.com (mailto:daniel.engovatov@efrontier.coml Sent: Wednesday, November 09, 2011 2:00 PM To: BOARD; Clerk; Vicky Gou; General Information Subject: 11/09/2011 -daniet.engovatovaefrontier.com-Contact Board First Name: Daniel Last Name: Engovatov Email Address: daniel.en ovatov a�efrontier.com Comments: 2 _I I am writing to express my extreme concern with the proposed plan to exclude bicycle access to the Mindego ridge road and the new vista points. With the new property acquisition this trail would be particularly suitable for family riding. It is obvious that if any environmental concerns had been real, then the first trail user group to be excluded would be the equestrians- riding heavy, steel hooved animals-as well as patrol vehicles. As it stands, the only conclusion that can be made is that this idea was lobbied by rich and well connected horse owners striving to exclude other users. Don't they already have enough trails for themselves (like the Lost Trail)? Board of directors should reconsider this unfair and unjustified proposal. i i i II 3 ^ Michelle Radcliffe From: Michelle Radcliffe Sent: Tuesday, January 17. 2O12Q:44AM To: 'DanieiEngovabzv � Co: UoaBankoah | Subject: RE: 11/O0/2O11 -danie\.engovahnv@efnonbar.com -Contact Board ' Dear Dr. Engovutnv, The goal o[the Mindcgo Gateway Project is to provide ecologically sensitive public recreation opportunities in the Mindegm area of Russian Ridge ()pco Space Preserve. The Project will create o spectacular 4-mile loop i:ui| open to all users, and will allow both hikers and equcabiony into usensitive ecological area. These proposed trail uses will be presented to the Board of Directors for tentative approval m1 their regular meeting nFJuouury 25, 2012, at 7 pm. [)ixtdot staff and board welcome your attendance and comments u1 this meeting. For copy of the upcoming Board report onthis item, please visit our v/cbsi1eai . Thank you for your continued interest io the District. � Sincerely, � Michelle Radcliffe oo behalf o[Cuh Riffle, President � K4idnenioxulnQenionnl ()ocn Space District Michelle Radcliffe, CIVIC District Clerk mradcliffe0o� — F���n: Oan�| Engovatov � - [ma Engova�ov��efn�n�iercon�] � � ��idpeninsu|8 Regional [}pen Space District ^ ' ' ' 330 O|Ste| Circle, Los Altos, CA 94022 Sent: Thursday, December 15, 2011 11:25AM To: Michelle Radcliffe | P' (��O) 591-1ZOO ' F' (�5O) 691-O�85 � ` ' ' ` ' Cc: Lisa 8ankosh Subject: Re: 11/09/2011 - danka|.engovahmv@efrontier.conn - Contact Board Dear Michelle, � | annascientist. | do know a difference between a substantiated study and biased hearsay. Most obviously weare dealing with the later here. � | am extremely disappointed in the obviously biased and unscientific approach that K4ROGD is taking in this case. lam not sure what I can do here besides campaigning to vote the current board of directors out. Hopefully, when nny � children grow up they will have better recreational opportunities on our public lands. Sincerely, Daniel. , � From: Michelle Radcliffe<mradcliffe@openspace.or > Date:Thu, 15 Dec 2011 10:49:58-0800 To: Daniel Engovatov<daniel.engovatov@efrontier.com> Cc: Lisa Bankosh<linfante@openspace.org> Subject: RE: 11/09/2011-daniel.engovatov@efrontier.com -Contact Board Dear Mr. Engovatov, Thank you for your interest in the Mindego Gateway Project. Midpeninsula Regional Open Space District(District) has developed this new Key Project to provide public access to the beautiful and unique Mindego area of Russian Ridge Open Space Preserve. Numerous mountain bikers have expressed concern regarding preliminary recommendations limiting trail use to hikers and equestrians within the western portion of the Mindego area. The District recognizes the mountain biking community as an important constituent and takes these concerns seriously. We hope the following information adequately explains the difficult constraints under which the trail use recommendations were developed. The most important factor influencing trail use decisions in the Mindego area is the presence of the San Francisco garter snake, a"Fully Protected"endangered species. The requirements under the "Fully Protected"designation are clear and inflexible and require that no individuals of this species can be subjected to "take" (harm or death). Given the presence of a thriving population of San Francisco garter snake within the Mindego area, the District's land use and management decisions in this particular area need to be extremely protective. The most sensitive San Francisco garter snake sites on the property lies within and near aquatic feeding habitat and as 9 P P Y q 9 such, staff has recommended that these sites remain closed to all public use. Notwithstanding, given that garter snakes are known to disperse widely between aquatic habitat sites, and frequently bask on roads and trails, the District recognizes that these snakes risk the possibility of being run over by bicycles and vehicles. San Francisco garter snakes have been observed multiple times on roads and trails in the western portion of the Mindego area, including on the western portion of the Mindego Ridge Trail. Substantial evidence exists for harm or mortality to snakes by vehicles, both documented and anecdotal In cases reported by the US Fish and Wildlife Service, for example, San Francisco garter snakes were run over by a bicycle near Crystal Spring Reservoir, and a vehicle near the San Francisco airport. Many mountain bikers have also cited instances where they have accidentally run over snakes. Given the unique regulatory status of this species, special protective measures are needed to avoid the loss of even one snake, which would likely result in regulatory sanction against the District and more widespread restrictions. Current District guidelines for the Mindego area limit all vehicle use to a 5 mph speed limit, and require a"spotter"to precede vehicles near aquatic habitat. It is not appropriate for the District to consider bicycle use in this area even with speed limit restrictions or seasonal use restriction since full, ongoing enforcement is not feasible. The District proposes to retain the eastern portion of the Mindego Ridge trail as a multi use trail and construct a new multi- use trail linking the Ancient Oaks Trail with the Mindego Ridge Trail. This will create a spectacular loop trail for all users. The result is no net loss of trail mileage to mountain bikers in Russian Ridge Open Space Preserve. In closing, the Board would like to re-emphasize our commitment to our mountain biking constituents. The District strives to design and build new trails, as well as retrofit existing trails, to accommodate mountain biking where appropriate. Currently, over 65%of District trails (approximately 160 miles) are open to mountain bikers, including all remaining ten miles of existing trails within Russian Ridge. We would like to emphasize that the recommendations for the Mindego area of 2 Russian Ridge are site specific given the very unusual biological sensitivities of the area, which as of now, are not known to exist at any other site on District land. We feel that by providing sensitive public access to Mindego, we can continue to further our mission: "To acquire and preserve a regional greenbelt of open space in perpetuity; protect and restore the natural environment; and provide opportunities for ecologically sensitive public enjoyment and education. For more information on the Mindego Gateway Project, please visit our website at http://67.199,5.159/plans p rojects/m i ndego-gateway.asp. We invite your continued participation and welcome your comments when the staff recommendations are considered by the full Board of Directors in early 2012. Sincerely, Larry Hassett, Board President Midpeninsula Regional Open Space District -----Original Message----- From: daniel.engovatov(a)efrontier.com [ma i Ito:daniel.engovatov(a-efrontier.coml Sent: Wednesday, November 09, 2011 2:00 PM To: BOARD; Clerk; Vicky Gou; General Information Subject: 11/09/2011 - daniel.engovatov a()efrontier.com -Contact Board First Name: Daniel Last Name: Engovatov Email Address: daniel.engovatov(o)efrontier.com Comments: I am writing to express my extreme concern with the proposed plan to exclude bicycle access to the Mindego ridge road and the new vista points. With the new property acquisition this trail would be particularly suitable for family riding. It is obvious that if any environmental concerns had been real, then the first trail user group to be excluded would be the equestrians- riding heavy, steel hooved animals- as well as patrol vehicles. As it stands, the only conclusion that can be made is that this idea was lobbied by rich and well connected horse owners striving to exclude other users. Don't they already have enough trails for themselves (like the Lost Trail)? Board of directors should reconsider this unfair and unjustified proposal. i 3 Dear The goal of the Mindego Gateway Project is to provide ecologically sensitive public recreation opportunities in the Mindego area of Russian Ridge Open Space Preserve. The Project will create a spectacular 4-mile loop trail open to all users, and will allow both hikers and equestrians into a sensitive ecological area. These proposed trail uses will be presented to the Board of Directors for tentative approval at their regular meeting of January 25, 2012, at 7 pm. District staff and board welcome your attendance and comments at this meeting. For a copy of the upcoming Board report on this item, please visit our website at http://www.openspace.org/plans projects/mindego gateway asp. Thank you for your continued interest in the District. Sincerely, Larry Hassett, President Midpeninsula Regional Open Space District Midpeninsula Regional • ' Open Space District i R-12-03 Meeting 1.2-01. January 11, 2012 AGENDA ITEM 4 AGENDA ITEM Renewal of Investment Authority and Adoption of Annual Statement of Investment Policy GENERAL MANAGER'S RECOMMENDATION Adopt the attached Resolution to renew the District Controller's investment authority until .January 9, 2013, and approve the District's Revised Statement of Investment Policy. SUMMARY Approval of the attached resolution will renew the District Controller's authority to invest District funds in accordance with the District's Investment Policy. DISCUSSION The District Controller's authority to invest temporarily idle funds will expire on January 12, 2012, according to the provisions of Resolution 11-I I (see Report R-11-11). The attached Resolution renews the Controller's authority to invest District funds in accordance with the District's Investment Policy. When short-term interest rates rise, as occurred most recently in 2006 and 2007, the District is able to earn an enhanced return on temporarily idle funds by investing directly as permitted by v policy permits the Controller to invest surplus the California Government Code. The attached o c e is e P yP � District funds directly in such specific investments. A review of investment policies of local cities and counties indicates that the District investment guidelines have been unnecessarily restrictive by limiting investments to maturities of 180 days. For example, the City of Palo Alto permits investments in securities with maturities up to ten years and the County of Santa Clara, five years. The California Government Code sets a limit of five years unless specifically authorized by the local government agency, as is the case in Palo Alto. The proposed revised District guidelines would permit investments with maturities up to two years in U.S. Treasury and U.S. Government Agency notes and in Corporate notes carrying ratings of AA or higher. Investment in any such securities would be limited to 20%of the total District investment portfolio and such investments would require the approval of the General Manager and Controller. There is currently no advantage for the District to invest directly in securities with maturities greater than 180 days, but if interest rates rise, the revised guidelines could allow the District to earn an enhanced return. FISCAL IMPACT Approval of this policy will not result in an increase to the budget. However, implementation of this policy is crucial for the fiscal health of the District. PUBLIC NOTICE Public notice was provided pursuant to the Brown Act. No additional notice is required. CEQA COMPLIANCE The recommended action is not a project for purposes of the California Environmental Quality Act. NEXT STEPS None Attachments 1. Resolution 2. Statement of Investment Policy Prepared by: Mike Foster, Controller Kate Drayson, Administrative Services Manager Contact person: Michael Foster, Controller RESOLUTION NO. 12-XX RESOLUTION OF THE BOARD OF DIRECTORS OF THE MIDPENINSULA REGIONAL OPEN SPACE DISTRICT ADOPTING A STATEMENT OF INVESTMENT POLICY AND AUTHORIZING THE CONTROLLER TO INVEST SURPLUS FUNDS ALLOWED BY THE CALIFORNIA GOVERNMENT CODE WHEREAS, the District needs to maximize the yield on surplus temporarily idle funds in order to help meet land acquisition objectives; and WHEREAS, Chapter 4, Division 2 of Title 5 of the Government Code authorizes the District to deposit and invest surplus funds in investments which, at times, yield interest rates higher than achievable through the Santa Clara County Pooled Fund, or the California Pooled Investment Authority; and WHEREAS, the District can often improve its yield on surplus funds without sacrificing financial safety and flexibility. NOW, THEREFORE, BE IT RESOLVED AS FOLLOWS: Section One. The Board of Directors of the Midpeninsula Regional Open Space District does hereby authorize the Controller to invest surplus or temporarily idle funds according to the Investment Policy attached hereto as Exhibit"A" and by reference made a part hereof. Section Two. Before any particular investments, the Controller shall consult with the General Manager, or a District employee authorized to act in his behalf, to determine anticipated cash flow needs of the District. Section Three. This Resolution supersedes Resolution No. 11-02 adopted January 12, 2011. This Resolution shall no longer be in effect as of January 12, 2013, unless extended in time, and inactive funds shall then be deposited in the Santa Clara County Pooled Investment Fund, with the California Pooled Investment Authority, or invested through the District's commercial bank, ATTACHMENT 2 Statement of Investment Policy GOALS Goal 1. Capital Preservation The primary goal shall be to safeguard the principal of invested funds. The secondary objective shall be to meet the liquidity needs of the District. The third objective shall be to achieve a return on funds consistent with this Policy. Temporarily idle funds shall be invested in a conservative manner, such that funds can always be withdrawn at, or just above or below, full invested value. Investments that offer opportunities for significant capital gains and losses are excluded. Goal 2. Liquidity Temporarily idle funds shall be managed so that normal operating cash needs and scheduled extraordinary cash needs can be met on a same day basis. Investments shall be sufficiently liquid to provide a steady and reliable flow of cash to the District to insure that all land purchases can be made promptly (within two weeks). Goal 3. Income Temporarily idle funds shall earn the highest rate of return that is consistent with capital preservation and liquidity goals and the California Government Code. GUIDELINES 1. Determination of Idle Funds The Controller shall prepare a cash flow projection prior to all investment decisions involving securities with a term to maturity exceeding 180 days. This cash flow projection shall be reviewed and evaluated by the General Manager. The General Manager is responsible for approving the Controller's designation of the amount of funds available for investment for longer than 180 days. 2. Contingency Reserve A contingency reserve of at least $5,000,000 shall be maintained with the Santa Clara County Pooled Investment Fund. The General Manager is responsible for approving the Controller's designation of the size of this contingency reserve. At all times this contingency reserve, together with funds held in trust by bond trustees and pledged to the payment of bonds issued by the District, shall be sufficient to satisfy the reserve requirements for all District debt. 3. Non-Invested Funds Idle District funds not otherwise invested as permitted by this Policy, or maintained with trustee paying agents and pledged to the payment of District indebtedness, shall be deposited with the Santa Clara County Pooled Investment Fund,the San Mateo County Treasurer's Pooled Investment Fund or the State of California's Local Agency Investment Fund. 4. Selection of Investments The Controller is responsible for selecting investments that fit within the amounts and maturities recommended by the Controller and by the General Manager. The Controller is also responsible for directing security transactions. 5. Investments Instruments and Deposit of Funds Investments and deposits of funds shall be limited to those allowed by and subject to the procedures of Government Code Section 53600 et seq. and 53635 et seq. In the event of any conflict between the terms of this Policy, and the Government Code, the provisions of the Government Code shall prevail. Investments shall not be leveraged. Investments, and"derivatives,"that offer opportunities for significant capital gains and losses are excluded. All investments, other than investment of bond proceeds and funds held by trustees and pledged to the repayment of bonds or other District indebtedness, shall mature within 180 days, except for [1] U.S. Treasury and U.S. Government Agency bills and notes and [2] Corporate notes carrying a minimum rating of AA from a nationally recognized rating service, shall mature within two years. Funds held by such trustees and other bond proceeds may be invested in accordance with the indenture or agreement providing for the issuance of such debt. 6. Diversification Investments s shall meet the diversification test of Government Code Section 53601.7(0, stating that no more than 5% of the total investment portfolio may be invested in the securities of any one issuer, except for the obligations of the U.S. Treasury or U.S. Government Agencies. Investments maturing in 181 days or longer shall represent no more than 20%of the total market value of the investment portfolio. 7. Marketability For investments other than deposits and investment of funds held by trustees as set out in Section 5, the breadth of ownership and number of securities outstanding shall be sufficient to establish a secondary market in which investments can be readily converted to cash without causing a material change in their market value. 8. Acceptable Banks Bankers' Acceptances and Negotiable Certificates of Deposit may be purchased only from the District's commercial bank or banks and savings and loan associations with over $1,000,000,000 of deposits and reporting profitable operations and which meet all applicable criteria of the Government Code. Certificates of Deposit may be purchased from other banks within Santa Clara and San Mateo Counties which meet all applicable criteria of the Government Code if the principal is fully insured by the Federal Deposit Insurance Corporation. 9. Acceptable Collateral Securities collateralizing bank or savings and loan deposits must be rated"A"or higher. 10. Investments in Name of District All investments purchased shall stand in the name of the District. 11. Reporting The Controller shall report all security transactions to the board no later than the next Regular Meeting of the Board of Directors after any transaction has been made. The Controller shall submit a report of the District's investments and security transactions to the Board of Directors by the fourth Wednesday of each month in accordance with Government Code Section 53607. The Controller will render a quarterly investment report to the Board of Directors as required by Government Code Section 53646. Such reports shall also be submitted to the General Manager and to the District's auditor. 12. Purchase of Securities The Controller is authorized to purchase securities through the investment department of the District's commercial bank and as otherwise permitted by the Government Code. The bank or other investment institution from which authorized securities are purchased shall be instructed in writing only to purchase securities in the name of the District and that all matured funds shall be returned to the District's commercial bank account. The bank shall also be instructed to send receipts for transactions to the General Manager. Midpeninsula Regional • ' Open Space District i R-12-07 Meeting 12-01 January 11, 2012 FINANCING AUTHORITY AGENDA ITEM 1 AGENDA ITEM Resolution Authorizing the Execution and Delivery of Documents in Connection with the Refinancing of the 1999 Revenue Bonds EXECUTIVE DIRECTOR'S RECOMMENDATION L�jw Adopt the attached Resolution of the Board of Directors of the Midpeninsula Regional Open Space District Financing Authority authorizing the execution and delivery of documents in connection with the refinancing of the Authority's outstanding 1999 Revenue Bonds, and approving related documents and official actions. DISCUSSION In order to achieve significant cash flow savings over the next 16 years, District staff is proposing to refinance the Authority's $33 million of outstanding 1999 Revenue Bonds through the issuance of approximately $33.7 million of 2012 Refunding Notes. This proposed transaction is described in District board report number R-12-06, dated January 11, 2012. Because of the approval of California State Assembly Bill 612 (AB612), these District notes will have maturities up to 30 years and be sold to the public directly from the District,through its underwriters. There is no benefit to utilizing the Authority on this transaction. However, the Authority must authorize and execute the escrow and deposit agreement related to the refinancing of its 1999 Revenue Bonds. Attachment 1. Resolution Prepared by: Stephen Abbors, Executive Director Michael Foster, Controller Contact person: Stephen Abbors, Executive Director RESOLUTION NO. 12-XX RESOLUTION OF THE BOARD OF DIRECTORS OF THE MIDPENINSULA REGIONAL OPEN SPACE DISTRICT FINANCING AUTHORITY AUTHORIZING THE EXECUTION AND DELIVERY OF DOCUMENTS IN CONNECTION WITH THE REFINANCING OF THE AUTHORITY'S OUTSTANDING 1999 REVENUE BONDS, AND APPROVING RELATED DOCUMENTS AND OFFICIAL ACTIONS WHEREAS, the Midpeninsula Regional Open Space District (the "District") previously entered into a Project Lease dated as of January 1, 1999 (the "1999 Project Lease"), with the Midpeninsula Regional Open Space District Financing Authority (the "Authority") for the purpose of (i) financing the acquisition of open space and (ii) refunding on an advance basis the District's outstanding 1992 Promissory Notes; and WHEREAS, the Authority issued its 1999 Revenue Bonds (the "1999 Bonds") pursuant to a Trust Agreement dated as of January 1, 1999 (the "1999 Trust Agreement"), by and between the Authority and The Bank of New York Mellon Trust Company, N.A., as successor trustee (the "1999 Trustee"); and WHEREAS, the 1999 Bonds were secured by and payable from the Base Rental Payments payable by the District under the 1999 Project Lease (the "1999 Base Rental Payments"); and WHEREAS, the District wishes to refinance the 1999 Project Lease and the 1999 Bonds; and WHEREAS, to that end, the District has proposed to issue and sell its Midpeninsula Regional Open Space District 2012 Refunding Promissory Notes (1999 Project Lease) (the "2012 Notes") under the provisions of Article 3 of Chapter 3 of Division 5 of the Public Resources Code of the State of California(the"Bond Law"); and WHEREAS, in order to accomplish the prepayment of the 1999 Base Rental Payments and redemption and defeasance of the 1999 Bonds, the District, the Authority and the 1999 Trustee will enter into an Escrow Deposit and Trust Agreement, dated as of January 1, 2012 (the "Escrow Agreement"); and WHEREAS, the Board of Directors wishes at this time to approve all proceedings to which it is a party relating to the issuance and sale of the 2012 Notes and the refinancing of the 1999 Project Lease and the 1999 Bonds; NOW, THEREFORE, BE IT RESOLVED, DETERMINED AND ORDERED by the Board of Directors of the Midpeninsula Regional Open Space District Financing Authority, as follows: SECTION 1. Approval of Refinancing and Escrow Agreement. The prepayment of the 1999 Base Rental Payments and the refinancing of the 1999 Project Lease and the 1999 Bonds are hereby approved. The Chairperson, the Treasurer or the Controller (each, an "Authorized Officer"), are, and each of them acting alone is, hereby authorized and directed, for and in the name of and on behalf of the Authority, to execute the Escrow Agreement in the form on file with the Secretary, together with any changes therein or additions thereto approved by an Authorized Officer, whose execution thereof shall be conclusive evidence of approval of any such additions and changes, and such other documents as the Authorized Officer determine are necessary to effectuate such refunding. SECTION 2. Approval of Refinancing. The refinancing of the 1999 Project Lease and the 1999 Bonds is hereby approved, subject to achieving debt service savings in an amount acceptable to the Controller; issuance of the 2012 Notes by the District in an amount sufficient to refinance the 1999 Project Lease and the 1999 Bonds shall be conclusive evidence of the Controller's approval. SECTION 3. Official Actions. The Authorized Officers, the Secretary, the Authority general counsel and all other officers of the Authority are each authorized and directed in the name and on behalf of the Authority to make any and all assignments, certificates, requisitions, agreements, notices, consents, instruments of conveyance and other documents, which they or any of them deem necessary or appropriate in order to consummate any of the transactions contemplated by the agreements and documents approved under this Resolution. Whenever in this resolution any officer of the Authority is authorized to execute or countersign any document or take any action, such execution, countersigning or action may be taken on behalf of such officer by any person designated by such officer to act on his or her behalf if such officer is absent or unavailable. SECTION 4. Effective Date. This Resolution shall take effect immediately upon its passage and adoption. -2- Midpeninsula Regional ' Open Space District R-12-08 Meeting 12-01 January 11, 2012 FINANCING AUTHORITY AGENDA ITEM 2 AGENDA ITEM Acceptance of the Controller's Annual Financial Report of the Midpeninsula Regional Open Space District Financing Authority CONTROLLER'S RECOMMENDATION The Controller of the Authority recommends that the Board accept the Annual Financial Report of the Midpeninsula Regional Open Space District Financing Authority ("Authority"). DISCUSSION Controller's Report In May 1996, the District and Santa Clara County established the Authority with the purpose of providing financing assistance to the District to fund acquisition of land to preserve and use as open space and to finance public capital improvements. Accordingly, the District and the Authority are accounted as one blended unit for financial statement purposes. On June 29, 2011,. the District's independent auditors, Vavrinek, Trine, Day & Co., issued its report on the District's financial statements for the fiscal year ended March 31, 2011 (Attachment A). Through March 2011, the District had sold five series of Financing Authority notes, with a total par value of$179 million. No Financing Authority notes were sold in fiscal 2011. A summary of the five financings is shown below. Excluding the 2007 Notes which raised no new money and only refinanced existing Financing Authority notes, the District had issued $120 million (net) of Financing Authority notes, funding $57 million of new land acquisitions and repaying $60 million of prior public and private debt, which had been issued at higher interest rates and for shorter maturities. Par Amount TIC(*) Purpose 1996 Notes $29.9 M 6.25% $11 M Land +pay-off 1988 Notes 1999-1 Notes $29.7 M 5.26% $21 M Land+ pay-off 1992 Notes 1999-2 Notes $28.4 M 5.93% $15M Land +pay-off 1990 Notes R-12-08 Page 2 2004 Notes $31.9 M 4.99% $1 OM Land +pay-off 1993 COPS I 2007 Notes $59.2 M 4.57% Pay-off 1996 & 1999-2 Notes (*) TIC =total interest cost, including all costs of issuance Three Financing Authority note issues remained outstanding at March 31, 2011, with a total outstanding balance of$119.6 million. This represented 95% of the District's total outstanding debt balance. The average total interest cost of these outstanding Financing Authority notes was 4.87%. A summary of the activity on the Financing Authority notes in fiscal 2011 is shown below. During the 2011 fiscal year, $3.13 million of principal was repaid, $4.50 million of interest was paid, and $1.54 million of accretion was accrued. Accretion arises from the portion of notes sold as capital appreciation bonds (CABs). CABs are like zero-coupon bonds; they do not pay interest, instead they accrete each year to reflect the growing principal value to be paid at maturity. The purpose of CABs is to lengthen the average life of the debt. The 1.999-1 Notes include $13.9 million of CABs while the 2004 Notes have $1.3 million. Balance Principal Balance Interest Paid (Millions) March 2010 Paid Accretion March 2011 in FYI 1999-1 Notes $33.13 $1.34 $1.44 $33.23 $0.34 2004 Notes $31.92 $0.25 $0.10 $31.77 $1.41 2007 Notes $56.11 $1.54 $0.00 $54.57 $2.74 $122.53 $3.13 $1.54 $119.57 $4.50 As you know, the Financial Authority million of 2011 Revenue Bonds in May Y Y issued $20.5 Y 2011 in order the buy land to preserve, improve and use as open space. The total interest cost of these new bonds is 5.60% and the average life is 22.5 years. Likewise, on the January 11, 2012 board agenda, there is a proposal to refinance the 1999 Revenue Bonds with District Refunding Notes. These transactions will be reflected on next year's annual financial report. FISCAL IMPACT There are no unbudgeted fiscal impacts associated with the recommended action. PUBLIC NOTICE Notice was provided pursuant to the Brown Act. No additional notice is necessary. CEQA COMPLIANCE No compliance is required as this action is not a project under the California Environmental Quality Act(CEQA). i R-12-08 Page 3 NEXT STEPS None. Attachment 1. District's Financial Statements for the fiscal year ended March 31, 2011. Prepared by: Michael Foster, Controller Contact person: Same as above MIDPENINSULA REGIONAL OPEN SPACE DISTRICT ANNUAL FINANCIAL REPORT YEAR ENDED MARCH 31, 2011 ......................... MIDPENINSULA REGIONAL OPEN SPACE DISTRICT TABLE OF CONTENTS MARCH 31, 2011 INDEPENDENT AUDITOR'S REPORT 1 MANAGEMENT'S DISCUSSION AND ANALYSIS 2 BASIC FINANCIAL STATEMENTS Statement of Net Assets S Statement of Activities 9 Balance Sheet—Governmental Funds 10 Reconciliation of the Governmental Funds Balance Sheet to the Statement of Net Assets 11 Statement of Revenues,Expenditures,and Changes in Fund Balances—Governmental Funds 12 Reconciliation of the Statement of Revenues,Expenditures and Net Change in Fund Balances— Total Governmental Funds with the Statement of Activities 13 NOTES TO FINANCIAL STATEMENTS 14 REQUIRED SUPPLEMENTARY INFORMATION Schedule of Revenues,Expenditures and Changes in Fund Balances—Budget and Actual 34 Vavrinek, Trine, Day& Co., LLP o Certified Public Accountants I i i INDEPENDENT AUDITOR'S REPORT Board of Directors Midpeninsula Regional Open Space District Los Altos,California We have audited the accompanying financial statements of the governmental activities,and each major fund of the Midpeninsula Regional Open Space District,as of March 31,2011,and for the year then ended,as listed in the Table of Contents. These financial statements are the responsibility of the management of the District. Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with auditing standards generally accepted in the United States of America. Those standards require that we plan and perform the audit to obtain reasonable assurance as to whether the financial statements are free of material misstatement. An audit includes examining on a test basis,evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accountingprinciples used and significant estimates made b management,as well as evaluating the overall P P Ban Y g financial statement presentation. We believe that our audit provides a reasonable basis for our opinion. In our opinion,such financial statements present fairly in all material respects,the financial position of the governmental activities and each major fund of the Midpeninsula Regional Open Space District as of March 31, 2011,and the respective changes in the financial position thereof for the year then ended in conformity with generally accepted accounting principles in the United States of America. The Management's Discussion and Analysis is required by the Governmental Accounting Standards Board,but is limited procedures to this information financial statements. We have applied certain lino not art of the basic fman i s P PP P in uiries of management regarding the methods of measurement and presentation of this information, principally q g g g but we did not audit this information and we express no opinion on it. Our audit was made for the purpose of forming an opinion on the basic financial statements taken as a whole. t resented for purposes of addition al listed in the table of contents is The required supplemental information p p rp analysis and is not a required part of the basic financial statements of Midpeninsula Regional Open Space District. Such information has been subjected to the auditing procedures applied in the audits of the basic financial statements and in our opinion,is fairly P stated in all material respects in relations to the basic financial statements taken as a whole. Ua vri nt kl a e— Y Q LLa. L L Palo Alto,California June 29,2011 I 1 260 Sheridan Avenue,Suite 440 Palo Alto,CA 94306 Tel:650.462.0400 Fax:650.462.0500 www.vtdcpa.com FRESNO • LAGUNA HILLS • PALO ALTO • PLEASANTON • RANCHO CUCAMONGA • SACRAMENTO This page left blank intentionally. MIDPENINSULA REGIONAL OPEN SPACE DISTRICT MANAGEMENT'S DISCUSSION AND ANALYSIS MARCH 31, 2011 This section of the Midpeninsula Regional Open Space District's(the District)basic financial statements presents a narrative overview and analysis of the District's financial activities for the fiscal year ended March 31,2011. We encourage readers to consider the information presented here in conjunction with our basic financial statements. FINANCIAL HIGHLIGHTS Property tax revenue declined slightly in fiscal year 2011,by 1.3%,as the assessed valuation of secured and unsecured property within the District decreased for the first time since the District was formed in 1973.Total assessed valuation dropped by 0.5%in the District portion of Santa Clara County,by 0.1%in San Mateo County,and by 0.4%overall. In addition,tax refunds arising from county-wide downward reassessments prompted Santa Clara County to suspend allocation of supplemental(SB813)taxes between July 2010 and March 2011. This suspension drove a$187,859 reduction in fiscal year 2011 tax revenue.The District normally receives approximately two-thirds of its tax revenue from Santa Clara County and one-third from San Mateo County. Property tax revenue increased by 4.9%in fiscal year 2010. Based on information from the county assessors,the District is expecting that tax revenue in fiscal year 2012 will increase by approximately 1.4%including the resumption of allocations of supplemental (SB813)taxes in Santa Clara County. Partially offsetting the decrease in tax revenue,the District received$286,222 under a new five year agreement with Santa Clara County to manage the developed portion of Rancho San Antonio County Park. This level of annual revenue is expected to continue. The District added$10.0 million of land and associated structures in fiscal year 2011. The four largest purchases, totaling$8.7 million,were additions to the Bear Creek Redwoods,Sierra Azul,Russian Ridge and Monte Bello Open Space Preserves. Given the State budget crisis,grants for land acquisition were scarce in fiscal year 2011,with none received by the District. However,the District succeeded in obtaining a$1.25 million contribution from Santa Clara County to cover half the cost of the additions to the Monte Bello Preserve. Net of grants and gifts,the District used $8.8 million of cash for land purchases in fiscal year 2011,down from$13.8 million in fiscal year 2010.The District added$17.5 million and$28.0 million of land and associated structures in fiscal year 2010 and 2009,respectively. District expenditures were again within the annual budget. Some non-land capital projects were deferred due to the tax revenue shortfall. Excluding the purchase price of new properties and debt service,total District spending,$15.4 million,was$3.3 million,or 17.6%,below budget and up 7.4%over fiscal year 2010. Delayed non-land'capital spending accounted for the majority of the budget variance. Due largely to the continuing growth in employee benefit costs,expenditures for salaries and benefits exceeded 40%of District tax revenue for the first time. Employee benefit costs increased by 13%and were 37.8%of salary expenses,compared to 36.3%in fiscal year 2010 and 35.4%in fiscal year 2009. This unfavorable trend is expected to continue in fiscal years 2012 and 2013. 2 MIDPENINSULA REGIONAL OPEN SPACE DISTRICT MANAGEMENT'S DISCUSSION AND ANALYSIS MARCH 31, 2011 The assets of the District exceeded liabilities at the close of the 2011 fiscal year by$266.1 million(net assets). Of this amount,$236.5 million is invested in capital assets,net of related debt, $1.4 million is restricted by the terms of existing District debt,and the remaining$28.1 million is unrestricted. About 44%of the unrestricted balance is projected to be used for land acquisition in fiscal year 2012 as the approved budget for fiscal year 2012 forecasts land purchases totaling$13.5 million,or$12.5 million net of associated grant income. The District's total net assets increased by$9.1 million in fiscal year 2011,as general and program revenues exceeded program expenditures. Program expenditures were within budget. The District's total long-term debt obligations declined by$0.7 million to$123.0 million. In November 2010,the District issued an$850,000 five-year note in connection with a land purchase. Following the completion of fiscal year 2011,in May 2011,the District Financing Authority sold$20.5 million of thirty-year bonds. These bonds,structured as a lease and rated AA by Fitch and AA-by Standard& Door's,were sold at a total interest cost of 5.60%. Largely due to this debt issue,District debt service is expected to increase by$1.8 million,or 22.7%,in fiscal year 2012. OVERVIEW OF THE FINANCIAL STATEMENTS This discussion and analysis is intended to serve as an introduction to the District's basic financial statements.The District's basic financial statements consist of three components: (1)government-wide financial statements;(2)fund financial statements and(3)notes to the basic financial statements. This report also contains other supplementary information in addition to the basic financial statements themselves. MIDPENINSULA REGIONAL OPEN SPACE DISTRICT MANAGEMENT'S DISCUSSION AND ANALYSIS MARCH 31, 2011 Statement of Net Assets Presented below is a condensed statement of net assets for the past two years: Years ended: March 31,2011 March 31,2010 Increase(Decrease) Assets Current assets $ 30,749,199 $ 32,690,558 $ (1,941,359) Retiree Health Trust 1,513,561 1,666,561 (153,000) Capital assets 359,566,233 348,762,622 10,803,611 Total assets 391,828,993 383,119,741 8,709,252 Liabilities Accounts payable and other liabilities 2,713,472 2,489,540 223,932 Long-term debt 123,019,978 123,670,744 (650,766) Total liabilities 125,733,450 126,160,284 (426,834) Net Assets Invested in capital assets, net of related debt 236,546,255 225,091,878 11,454,377 Restricted 1,407,548 1,417,195 (9,647) Unrestricted 28,141,740 30,450,384 (2,308,644) Total net assets $ 266,095,543 $ 256,959,457 $ 9,136,086 Analysis of Net Assets i The District's assets at the close of this fiscal year are$266.1 million more than its liabilities. This is the result of the District's inventory of capital assets. The net investment in capital assets,$236.5 million,consists primarily of the District's almost 60,000 acres of land in 26 open space preserves protected for.public enjoyment. The investment in capital assets is offset by long-term debt obligations on promissory notes and lease revenue bonds. The net assets subject to external restrictions are composed of$1.4 million for debt service. Unrestricted net assets are used to finance additional land acquisition projects. The District's budget for fiscal year 2012 includes $12.5 million for land acquisitions,net of related grant income. 4 NIIDPENINSULA REGIONAL OPEN SPACE DISTRICT MANAGEMENT'S DISCUSSION AND ANALYSTS MARCH 31, 2011....... Changes in Net Assets Presented below is an analysis of the District's revenues and expenses over the past two years: March 31,2011 March 31,2010 Increase %Increase Revenues Program revenue Cha nges es for services $ 1,241,465 $ 911,139 $ 330,326 36.3 Grants and contributions 1,392,868 658,880 733,988 111.4 General revenue 27 63 0 594 361 942 1.3 2 268 652 ( ) 7 } General property tax , , ( 3 .0 Investment income 191,515 80,453 111,062 1 8 Other 430,168 2,474,038 (2,043,870) (82.6) Total Revenues 30,524,668 31,755,104 (1,230,436) (3.9) Expenses 21,388,582 20,557,465 831,117 4.0 Change in net assets $ 9,136,086 $ 11,197,639 $ (2,061,553) (18.4) Analysis of Change in Net Assets For the year ended March 31,2011,the District's net assets increased by$9.1 million. The increase in overall expenses was due to planned increases in salaries,benefits,services and supplies. Salaries and benefits represented 52%of expenses compared to 49%in fiscal year 2010.Salaries and benefits increased 9.8%over the prior fiscal year. This increase was principally due to a filling of vacant positions and an increase in the ratio of benefit cost to salaries from 36.3%to 37.8%.The filling of vacant positions allowed a significant reduction in outside service costs and total service and supply expense declined by 15.3%. Interest charges decreased slightly due to the impact of scheduled principal repayments. Program revenues include rental income,grants,cash donations and,beginning in fiscal year 2011,park management fees from Santa Clara County. Grant income is mostly tied to acquisitions of specific parcels of land. Given the state budget crisis,state grant funds for land acquisition were scarce in fiscal year 2011,with none obtained. However,the District succeeded in obtaining a$1.25 million contribution from Santa Clara County to fund half of the purchase price of an addition to the Monte Bello Open Space Preserve.The 36.3% increase in service revenue was mostly derived from the$286,222 payment from Santa Clara County for District management of the developed portion of Rancho San Antonio Park.Rental income increased by 4.8%. Tax revenue declined by 1.3%in fiscal year 2011 compared to growth of 4.9%in fiscal year 2010 due to downgrades in assessed valuations of both secured and unsecured property. Total tax revenue from Santa Clara County dropped by 2.0%and was essentially unchanged in San Mateo County. Half of the reduction from Santa Clara County was due to the suspension of allocation of supplemental(SB813)taxes from July 2010 through March 2011.Other revenue decreased by 82.6%as gifts of land were$16,585 in fiscal year 2011 compared to $2.26 million in fiscal year 2010. The amount of land gifts varies significantly from year to year. 5 MIDPENINSULA REGIONAL OPEN SPACE DISTRICT MANAGEMENT'S DISCUSSION AND ANALYSIS MARCH 31, 2011 GENERAL FUND The General Fund balance sheet includes all District accounts except for debt and capital assets. At March 31, 2011,the General Fund had a fund balance of$26.9 million,down$2.0 million from the prior year-end. This decrease was the result of spending cash to complete land purchases. All but$0.7 million of this fund balance is unreserved and designated for future land acquisitions,including$12.5 million budgeted for land purchases in fiscal year 2012,net of associated grant funding. DEBT SERVICE FUND The only asset in the Debt Service Fund,$1.4 million,is a reserve fund required by the terms of the District's 2004 Revenue Bonds. The funds are held by the bond trustee and will be used to make the final debt service payment on this issue. The District receives the interest earned on this reserve fund,and this is shown on the Statement of Revenues, Expenditures and Changes in Fund Balance--Governmental Funds. Total debt service in fiscal year 2011 was$8.09 million,consisting of$3.30 million of principal and$4.79 million of interest. CAPITAL ASSETS As of March 31,2011,the District's investment in capital assets is$359.6 million,net of accumulated o depreciation. The District added$9.6 million of land in fiscal year 2011,representing 89/o of the total increase in capital assets,and has committed$2.8 million of its fund balance for various uncompleted capital projects included in construction in progress. Additional information on the District's capital assets can be found in Note 4 in the Notes to the Basic Financial Statements. LONGTERM DEBT As of March 31,2011,the District's long-term debt includes$2.5 million of subordinated notes issued to sellers in District land purchase transactions,$91.3 million of Authority revenue bonds sold to the public in 1999,2004, and 2007,$3.9 million of Refunding Promissory Notes sold to the public in 2005, and$25.3 million of accreted interest,unamortized premium and unamortized loss on refunding. The Authority bonds and Refunding notes were originally rated AAA by Moody's and Standard&Poor's based on municipal bond insurance policies purchased from Ambac Assurance Corporation and M 31A. Due to loss projections from mortgage-related risk exposures,these insurance companies no longer carry AAA ratings. In April 2011,Moody's withdrew its rating of Ambac.Moody's currently rates MBIA Ba3. Standard&Poors's current ratings are D for Ambac and B for MBIA. The District's current stand-alone credit rating is AA from Fitch and AA-from Standard&Poor's. Additional information on the District's long-term obligations can be found in Note 6 in the Notes to the Basic Financial Statements. BUDGETARY PERFORMANCE The Budgetary Comparison Schedule—General Fund shows how the District financial results compared to the original budget adopted in March 2010 and the final budget adjusted in December 2010. Total District revenue in fiscal year 2011 was within one percent of budget.Tax revenue was 0.9%below the final budget,mostly due to suspension of supplemental(SB813)revenue in Santa Clara County. Grant income was 11.0%below budget due to delays in completing certain preserve development projects. Interest income was 6 III MEI)PENINSULA.REGIONAL OPEN SPACE DISTRICT MANAGEMENT'S DISCUSSION AND ANALYSIS MARCH 31, 2011 41.8%under budget due to the continued low level of interest rates and because the budget includes interest income from the Debt Service Fund. Other income significantly exceeded budget due to revenue from the new five year agreement with Santa Clara County to manage the developed portion of Rancho San Antonio Park. Excluding land purchase transactions and debt service,fiscal year 2011 expenditures were approximately$3.3 million,or 17.6%,below the final budget. Salaries and benefits were$0.2 million,or 1.7%,below budget, services and supplies cost$0.9 million,or 25.0%,less than budget,non-land capital spending was$1.6 million,or 49.7%,under budget,and land acquisition expenses were$0.6 million,or 86.1%under budget. This overall operating expense budget performance, 82%of budget,was below the normal range of recent years(89%to 94% of budget).The largest single variance item was the delay in completing the$1.4 million capital project to upgrade the District radio system;this project is expected to complete in fiscal year 2012. ECONOMIC FACTORS AND NEXT YEAR'S BUDGET The Board of Directors adopted the District's budget for fiscal year 2012 on March 23,2011. This budget assumes very low growth in property tax revenue,about 1.4%,due to some additional downward reassessments Th and slow turnover of residential property in both Santa Clar-a and San Mateo County portions of the District. e budget projects spending$12.5 -million of cash for new land. Debt service requirements are budgeted at$9.7 million, including debt service on the$20.5 million of 2011 Revenue Bonds sold in May 2011. If all revenues and expenditures occur as budgeted and including the$20.0 million in net proceeds from sale of the 2011 Revenue Bonds,the District's cash position would increase by$8.1 million in fiscal year 2012. The District is currently pursuing potential land acquisition projects which would use up all bond proceeds and undesignated reserves within three years. ADDITIONAL FINANCIAL INFORMATION This financial report is designed to provide a general overview of the District's finances for all those with an interest in the District's finances. Questions concerning any of the information provided in this report or requests for additional financial information should be addressed to the District Clerk,330 Distel Circle,Los Altos,CA 94022. MIDPENINSULA REGIONAL OPEN SPACE DISTRICT STATEMENT OF NET ASSETS MARCH 31, 2011 ASSETS Cash and investments(Note 2) $ 20,331,553 Receivables Taxes 6,585,000 Interest 55,148 Deposit 1,054,547 Prepaid expense 5,338 Restricted cash and investments(Note 2) 1,407,548 Note receivable(Note 3) 217,192 Deferred charges 1,092,873 Net OPEB Asset(Note 9) 1,513,561 Capital assets(Note 4) Nondepreciable Land 345,388,885 Construction in progress 2,800,845 Depreciable,net of accumulated depreciation Structures and improvements 6,356,212 Infrastructure 2,958,480 Equipment 737,851 Vehicles 1,323,960 Total assets 391,828,993 LIABILITIES Accounts payable 763,260 Accrued liabilities 319,525 Deposits payable 61,035 Interest payable 433,968 Compensated absences(Note 5) Due in one year 23,234 Due in more than one year 1,112,450 Long-term debt(Note 6) Due within one year 4,831,964 Due in more than one year 118,188,014 Total liabilities 125,733,450, NET ASSETS(Note 11) Invested in capital assets,net of related debt 236,546,255 Restricted for debt service 1,407,548 Unrestricted 28,141,740 Total net assets $ 266,095,543 See accompanying notes to financial statements. 8 MIDPENINSULA REGIONAL OPEN SPACE DISTRICT STATEMENT OF ACTIVITIES FOR THE YEAR ENDED MARCH 31,2011 Program expenses: General government: Salaries $ 7,898,301 Benefits 3,188,093 Directors 27,600 Services and supplies 2,653,402 Depreciation 882,461 Interest 6,738,725 Total program expenses 21,388,582 Program revenues: Charges for services 1,241,465 92868 Capital grants and operating contributions 1,3 16, Land donation 16,585 85 Total program revenues 2,650,918 Net program expenses 18,737,664 General revenues: Property tax.increment 27,268,652 Investment income 293,959 311 1 eous � i Miscellan 39 Total general revenues 27,873,750 Changes in net assets 9,136,086 i 256, 959,457 457Net assets-beginning of the year Net assets-end of the year $266,095,543 See accompanying notes to financial statements. � 9 i MIDPENINSULA REGIONAL OPEN SPACE DISTRICT GOVERNMENTAL FUNDS BALANCE SHEET MARCH 31, 2011 Debt Total General Service Governmental Fund Fund Funds ASSETS Cash and investments(Note 2) $20,331,553 $ - $ 20,331,553 Receivables Taxes 6,585,000 - 6,585,000 Interest 55,148 - 55,148 Deposit 1,054,547 - 1,054,547 Prepaid expense 5,338 - 5,338 F Restricted cash and investments(Note 2) - 1,407,548 1,407,548 Note receivable(Note 3) 217,192 - 217,192 Total Assets $28,248,778 $ 1,407,548 $ 29,656,326 LIABILITIES Accounts payable $ 763,260 $ - $ 763,260 525 Accrued liabilities 314,525 - 319,525 Deposits payable 61,035 - 61,035 Deferred revenue(Note 3) 217,192 - 217,192 Total liabilities 1,361,012 - 1,361,012 FUND BALANCES Restricted Debt service - 1,407,548 1,407,548 Encumbrances 731,498 - 731,498 Unassigned 26,156,268 - 26,156,268 Total fund balance 26,887,766 1,407,548 28,295,314 TOTAL LIABILITIES AND FUND BALANCE $28,248,778 $ 1,407,548 $ 29,656,326 See accompanying notes to financial statements. 10 i MIDPENINSULA REGIONAL OPEN SPACE DISTRICT RECONCILIATION OF THE GOVERNMENTAL FUNDS—BALANCE SHEET WITH THE STATEMENT OF NET ASSETS MARCH 31, 2011 Total fund balances reported on the governmental funds balance sheet $ 28,295,314 Amounts reported for Governmental Activities in the Statement of Net Assets are different from those reported in the Governmental funds above because of the following: CAPITAL ASSETS Capital assets used in Governmental Activities are not current assets or financial resources and therefore are not reported in the Governmental funds. 359,566,233 NOTES RECEIVABLE Notes receivables are not available to pay for current period expenditures and, therefore,are deferred on the modified accrual basis in the balance sheet of government funds 217,192 DEFERRED CHARGES in the Governmental funds when aid however, ce costs are expended > and issuanp B they are capitalized and amortized over the life of the corresponding bonds for purposes of the Statement of Net Assets 1,092,873 LONG-TERM LIABILITIES The liabilities below are not due and payable in the current period and therefore are not reported in the Governmental funds: Long-term debt (123,019,978) Accrued interest payable (433,968) Compensated absences (1,135,684) i NET OPEB ASSET Net OPEB Asset is not available to pay for current period expenditures and,therefore, is not recognized in the Governmental funds but deferred on the Statement of Net Assets 1,513,561 NET ASSETS OF GOVERNMENTAL ACTIVITIES $ 266,095,543 See accompanying notes to financial statements. 11 �i MIDPENINSULA REGIONAL OPEN SPACE DISTRICT GOVERNMENTAL FUNDS STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES FOR THE YEAR ENDED MARCH 31,2011 Debt General Service Fund Fund Total REVENUES Property tax $ 27,268,652 $ - $ 27,268,652 Grant income 1,392,868 - 1,392,868 Investment income 191,515 102444 293,959 Property management(Note 7) 955,243 - 955,243 Other income 550,615 - 550,615 Land donation 16,585 - 16,585 Total Revenues 30,375,478 102,444 30,477,922 EXPENDITURES Current Salaries 7,898,301 - 7,898,301 Benefits 3,011,859 - 3,011,859 Directors 27,600 - 27,600 Services and supplies 2,744,234 - 2,744,234 Capital outlay New land purchases 9,845,756 - 9,845,756 Lan q PP d acquisition support costs 91726 - 91,726 Structures and improvements 1,196,634 - 1,196,634 Equipment 276,032 - 276,032 Vehicles 185,094 - 185,094 Debt service Principal - 3,300,681 3,300,681 Interest and fiscal charges - 4,785,900 4,785,900 Total Expenditures 25,277,236 8,086,581 33,363,817 EXCESS(DEFICIENCY )OF REVENUES OVER EXPENDITURES 5,098,242 (7,984,137) (2,885,895)_ OTHER FINANCING SOURCES(USES): Other Sources 850,000 - 850,000 Transfers in - 7,974,490 7,974,490 Transfers out (7,974,490) - (7,974,490) Total Other Financing Sources(Uses) (7,124,490) 7,974,490 850,000 NET CHANGE IN FUND BALANCES (2,026,248) (9,647) (2,035,895) Fund Balance at beginning of year 28,914,014 1,417,195 30,331,209 Fund Balance at end of year $ 26,887,766 $ 1,407,548 $ 28,295,314 See accompanying notes to financial statements. 12 MWPENINSULA REGIONAL OPEN SPACE DISTRICT RECONCILIATION OF THE STATEMENT OF REVENUES,EXPENDITURES AND CHANGES IN FUND BALANCES-TOTAL GOVERNMENTAL FUNDS WITH THE STATEMENT OF ACTIVITIES FOR THE YEAR ENDED MARCH 31, 2011 The schedule below reconciles the net changes in fund balances reported on the Governmental Funds Statements of Revenues,Expenditures and Changes in Fund Balance,which measures only changes in current assets and current liabilities on the modified accrual basis,with the change in net assets of Governmental Activities reported in the Statement of Activities,which is prepared on the full accrual basis. Net change in fund balances-total Governmental funds $ (2,035,895) Amounts reported for governmental activities in the Statement of Activities are different because of the following: CAPITAL ASSET TRANSACTIONS Governmental funds report capital outlays as expenditures. However,in the Statement of Activities the cost of those assets is capitalized and allocated over their estimated useful lives and reported as depreciation expense. The capital outlay expenditures are therefore added back to fund balance 11,686,072 Depreciation expense is deducted from the fund balance (882,461) NOTES RECEIVABLE Repayment of notes receivable is reported as revenue in Governmental funds, and thus, has the effect of increasing fund balance because current financial resources have been received. However,the loan payments reduce the receivables in the Statement of Net Assets and do not generate revenue in the Statement of Activities. (9,263) LONG-TERM DEBT PROCEEDS AND PAYMENTS Repayment of bond principal is an expenditure in the Governmental funds,but in the Statement of Net Assets the repayment reduces long-term liabilities. Accreted Interest on capital appreciation bonds (1,536,651) Repayment of debt principal is added back to fund balance 3,300,681 Change in accrued interest payable (35,437) Amortization of bond premium 56,009 Amortization of loss on refunding (319,273) Amortization of deferred amounts (61,464) A promissory note was issued to finance the acquisition of capital assets. This amount is recorded as revenue in the Governmental Funds but is recorded as long-term debt and does not impact the Statement of Activities (850,000) ACCRUAL OF NON-CURRENT ITEMS The amounts below included in the Statement of Activities do not provide or(require)the use of current financial resources and therefore are not reported as revenue or expenditures in Governmental funds(net change): Compensated absences (23,232) Net OPEB Asset (153,000) CHANGE IN NET ASSETS OF GOVERNMENTAL ACTIVITIES $ 9,136,086 See accompanying notes to financial statements. 13 MIDPENINSULA REGIONAL OPEN SPACE DISTRICT NOTES TO FINANCIAL STATEMENTS MARCH 31, 2011 ................... ....... NOTE 1—SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES General The Midpeninsula Regional Open Space District(the District)was formed in 1972 to acquire and preserve public open space land in northern and western portions of Santa Clara County. In June 1976,the southern and eastern portions of San Mateo County were annexed to the District. The District annexed a small portion of the northern tip of Santa Cruz County in 1992. In September 2004,the District completed the Coastside Protection Program, which extended the District boundaries to the Pacific Ocean in San Mateo County,from the southern borders of Pacifica to the San Mateo/Santa Cruz County line. Reporting Entity As required by generally accepted accounting principles,these basic financial statements present the Midpeninsula Regional Open Space District and its component unit. The component unit discussed in the following paragraph is included in the District's reporting entity because of the significance of their operational or financial relationships with the District. Blended Component Unit. The District and the County of Santa Clara entered into a joint exercise of powers agreement dated May 1, 1996,creating the Midpeninsula Regional Open Space District Financing Authority(the Authority),pursuant to the California Government Code. The District is financially accountable for the Authority,as it appoints a voting majority of the governing board;is able to impose its will in the Authority; and the Authority provides specific financial benefits to, and imposes specific financial burdens on,the District. The Authority was formed for the sole purpose of providing financing assistance to the District to fund the acquisition of land to preserve and use as open space. As such,the Authority is an integral part of the District,and accordingly,all of the Authority's activity is blended within the accompanying debt service fund. Basis of Presentation The District's Basic Financial Statements are prepared in conformity with accounting principles generally accepted in the United States of America. The Government Accounting Standards Board is the acknowledged standard setting body for establishing accounting and financial reporting standards followed by governmental entities in the United States of America. These Statements require that the financial statements described below be presented. Government-wide Statements. The Statement of Net Assets and the Statement of Activities display information about the primary government(the District)and its component unit. These statements include the financial activities of the overall District government. Eliminations have been made to minimize the double counting of internal activities. Governmental activities generally are financed through taxes, intergovernmental revenues,and other nonexchange transactions. The Statement of Activities presents a comparison between direct expenses and program revenues for each function of the District's governmental activities. Direct expenses are those that are specifically associated with a program or function and,therefore,are clearly identifiable to a particular function. Program revenues include(a)charges paid by the recipients of goods or services offered by the programs,(b)grants and contributions that are restricted to meeting the operational needs of a particular program and(c) fees,grants 14 MIDPENINSULA REGIONAL OPEN SPACE DISTRICT NOTES TO FINANCIAL STATEMENTS MARCH31, 2011... _......_ ....._.N.__.� .__....�_..�m�n._...r.�........ .. v _ �..� �..� .. �.�-�. and contributions that are restricted to financing the acquisition or construction of capital assets. Revenues that are not classified as program revenues,including all taxes,are presented as general revenues. Fund Financial Statements. The fund financial statements provide information about the District's funds, including blended component units. The emphasis of fund financial statements is on major individual governmental funds,each of which is displayed in a separate column. Major Funds Major funds are defined as funds that have either assets, liabilities,revenues or expenditures/expenses equal to ten percent of their fund-type total and five percent of the grand total. The General Fund is always a major fund. The fun .dsjor District may also select other funds it believes should be presented as major II The District reported all of its funds as major governmental funds in the accompanying financial statements: General Fund. The General Fund is the general operating fund of the District. It is used to account for all financial resources. The major revenue sources for this Fund are property taxes,grant revenues and interest income. Expenditures are made for public safety and other operating expenditures. Debt Service Fund. The Debt Service Fund is used to account for accumulation of resources for,and the d related costs. Resources are provided b General Fund payment of long-term debt principal,interest an P Y transfers and interest income on unspent funds. Basis of Accounting The government-wide financial statements are reported using the economic resources measurement focus and the full accrual basis of accounting. Revenues are recorded when earned and expenses are recorded at the time liabilities are incurred,regardless of when the related cash flows take place. I Governmental funds are reported using the current financial resources measurement focus and the modified accrual basis of accounting. Under this method,revenues are recognized when measurable and available. The District considers all revenues reported in the governmental funds to be available if the revenues are collected within sixty days after year—end. Expenditures are recorded when the related fund liability is incurred,except for principal and interest on long-term debt,claims and judgments,and compensated absences,which are recognized as expenditures to the extent they have matured. Governmental capital asset acquisitions are reported as expenditures in governmental funds. Proceeds of governmental long-term debt and acquisitions under capital leases are reported as other financing sources. Non-exchange transactions,in which the District gives or receives value without directly receiving or giving equal value in exchange,include taxes,grants,entitlements,and donations. On the accrual basis,revenue from taxes is recognized in the fiscal year for which the taxes are levied or assessed. Revenue from grants, entitlements,and donations is recognized in the fiscal year in which all eligibility requirements have been satisfied. The District may fund programs with a combination of cost-reimbursement grants and general revenues. Thus, both restricted and unrestricted net assets may be available to finance program expenditures. The District's policy is to first apply restricted grant resources to such programs,followed by general revenues,if necessary. 15 I M[IDPENINSULA REGIONAL OPEN SPACE DISTRICT NOTES TO FINANCIAL STATEMENTS MARCH 31, 2011 Budgets and Budgetary Accounting The District's Board of Directors adopts an annual operating budget for the District as a whole,which includes both its General and Debt Service Funds on or before March 31,for the ensuing fiscal year. The Board of Directors may amend the budget by resolution during the fiscal year. The legal level of control,the level at which expenditures may not legally exceed the budget,is at the category level. Encumbrances are recorded as restrictions of fund balance since they do not constitute expenditures or liabilities. All unencumbered appropriations lapse at the end of the fiscal year. Use of Estimates The preparation of basic financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect certain reported amounts and disclosures. Accordingly,actual results could differ from those estimates. Compensated Absences The total amount of liability for compensated absences is reflected in the basic financial statements. See Note 5 for additional information regarding compensated absences. Cash and Cash Equivalents For purposes of the statement of cash flows the District defines cash and cash equivalents to include all cash and temporary investments with original maturities of three months or less from the date of acquisition. Property Taxes Property taxes are levied by Santa Clara and San Mateo Counties and a portion is distributed to the District The District recognizes property taxes as revenue in the fiscal year of levy. Debt Discount and Issuance Costs Debt discount and issuance costs are capitalized as an offset to long-term debt and amortized using the effective interest method over the life of the related debt. Issuance costs for the District's tax-exempt commercial paper short-term borrowings are expensed as incurred. NOTE 2—CASH AND INVESTMENTS Policies The District and its fiscal agents invest in individual investments and in investment pools. Individual investments are evidenced by specific identifiable pieces of paper called securities instruments,or by an electronic entry registering the owner in the records of the institution issuing the security,called the book entry system. In order to maximize security,the District employs the Trust Department of a bank as the custodian of all District managed investments,regardless of their form. 16 MIDPENINSULA REGIONAL OPEN SPACE DISTRICT NOTES TO FINANCIAL STATEMENTS MARCH 31, 2011 California Law requires banks and savings and loan institutions to pledge government securities with a market value of 110%of the District's cash on deposit for first trust deed mortgage notes with a value of 150%of the District's cash on deposit as collateral for these deposits. Under California Law this collateral is held in an investment pool by an independent financial institution in the District's name and places the District ahead of general creditors of the institution pledging the collateral. The District's investments are carried at fair value,as required by generally accepted accounting principles. The District adjusts the carrying value of its investments to reflect their fair value at each fiscal year end,and it includes the effects of these adjustments in income for that fiscal year. In the District's case,fair value equals fair market value,since all District's investments are readily marketable. Classification Cash and investments are classified in the financial statements as shown below,based on whether or not their use is restricted. 2011 Cash and cash equivalents,available for District operation $ 194,409 Investments,available for District operation 20,137,144 Restricted cash and investments 1,407,548 Total Cash and Investments $ 21,739,101 The District's cash and investments consist of the following at March 3 1: 2011 Cash on hand $ 800 Deposits 193,609 Investments 21,544,692 Total Cash and Investments $ 21,739,101 17 MIDPENINSULA REGIONAL OPEN SPACE DISTRICT NOTES TO FINANCIAL STATEMENTS MARCH 31, 2011 Investments Authorized by the California Government Code and the District's investment Policy The District's Investment Policy and the California Government Code allow the District to invest in the following,provided the credit ratings of the issuers are acceptable to the District and approved percentages and maturities are not exceeded. The table below also identifies certain provisions of the California Government Code or the District's Investment Policy where it is more restrictive: Maximum minimum Maximum Maximum Remaining Credit Percentage Investment Authorized Investment Type Maturity Quality of Portfolio In One Issuer US Treasury Obligations 5 years N/A No Limit No Limit US Agency Securities 5 years N/A No Limit No Limit California Local Agency Investment Fund Upon Demand N/A $40 million Per accoulit Negotiable Certificates of Deposit 5 years N/A 30% No Limit Bankers Acceptances 180 days N/A 40% 30% Commercial Paper 270 days A 25% 10% Repurchase Agreements 1 year N/A No Limit No Limit Reverse Repurchase Agreements 92 days N/A 20% No Limit Medium Term Notes 5 years A 30% No Limit Money Market and Mutual Funds N/A Hi hest Category 20% 10% Investments Authorized by Debt Agreements The District must maintain required amounts of cash and investments with trustees or fiscal agents under the terms of certain debt issues. These funds are unexpended bond proceeds or are pledged reserves*to be used if the District fails to meet its obligations under these debt issues. The California Government Code requires thise funds to be invested in accordance with District resolutions,bond indentures or State statutes. At March 31, 2011,the bond indentures provided no advice about investing the bonds and contain no limitations for maximum investment in any one issuer or the maximum percentage of the portfolio that may be invested in any one investment type. 18 MIDPENINSULA REGIONAL OPEN SPACE DISTRICT NOTES TO FINANCIAL STATEMENTS MARCH 31, 2011 Interest Rate Risk Interest rate risk is the risk that changes in market interest rates will adversely affect the fair value of an investment. Normally,the longer the maturity of an investment,the greater the sensitivity of its fair value changes in market interest rates. The District generally manages its interest rate risk by holding investments to maturity. Information about the sensitivity of the fair values of the District's investments(including investments held by bond trustees)to market interest rate fluctuations is provided by the following table that shows the distribution of the District's investments by maturity or earliest call date: 12 Months More than Investment Type or less 25 Months Total Held by District California Local Agency Investment Fund $ 2,244,309 $ - $ 2,244,309 Santa Clara County Pool 17,892,835 - 17,892,835 Held by Trustees US Federal Agency Securities - 1,405,573 1,405,573 Money Market Mutual Funds(US Securities) 1,975 - 1,975 Total Investments $ 20,139,119 $ 1,405,573 $ 21,544,692 The District is a participant in the Local Agency Investment Fund(LAIF)that is regulated by California Government Code Section 16429 under the oversight of the Treasurer of the State of California. The District reports its investment in LAIF at the fair value amount provided by LAIF,which is the same as the value of the pool share. The balance is available for withdrawal on demand,and is based on the accounting records maintained by LAIF,which are recorded on an amortized cost basis. Included in LAIF's investment portfolio are collateralized mortgage obligations,mortgage-backed securities,other asset-backed securities, loans to certain state funds,and floating rate securities issued by federal agencies, government-sponsored enterprises,United States Treasury Notes and Bills,and corporations. At March 31,2011,these investments had an average maturity date of less than one year. The fair value of the District's investment in the pool is reported at amounts based on the District's pro-rata share of the fair value provided by the County Treasurer for the entire portfolio(in relation to the amortized cost of the portfolio). The balance available for withdrawal is based on the accounting records maintained by the County Treasurer,which is recorded on the amortized costs basis. Santa Clara County Pool funds were available for withdrawal on demand and had an average maturity date of less than one year. 19 I MIDPENINSULA REGIONAL OPEN SPACE DISTRICT NOTES TO FINANCIAL STATEMENTS MARCH 31, 2011 Credit Risk Credit risk is the risk that an issuer of an investment will not fulfill its obligation to the holder of the investment. This is measured by the assignment of a rating by a nationally recognized statistical rating organization. Presented below is the actual rating as of March 31,2011,for each investment type as provided by Moody's investment rating system. Investment Type Not Rated Aaa Total Held by Trustees US Federal Agency Securities $ - $ 1,405,573 $ 1,405,573 g. Y Money Market Mutual Funds(US Securities) - 1,975 1,975 California Local Agency Investment Fund 2,244,309 - 2,244,309 Santa Clara County Pool 17,892,835 - 17,892,835 Total Investments $20,137,144 $ 1,407,548 $21,544,692 Concentration Risk Investments in any one issuer,other than US Treasury securities,mutual funds,and external investment pools, that represent 5 percent or more of total.District portfolio Entity-wide investments,are as follows at March 31, 2011: Investments Reporting Type Investment Amount Percent of Portfolio Federal Home Loan Mortgage Corp US Federal Agency Securities $ 1,405,573 6.5% Restricted Cash and Investments The District has the following restrictions on cash and investments: Restricted for Debt Service. The District has moneys held by Bank of New York as trustee,pledged to the payment or security of its outstanding bond issues. All transactions associated with debt serve are administered by the Bank. The cash and investment amounts were$1,407,548 as of March 31,2011. NOTE 3--NOTES RECEIVABLE On December 17, 1997,the District sold the title to and possession of a 50-year fee determinable estate 10-acre parcel near the Skyline Ridge Open Space Preserve. The District financed the purchase in the amount of $288,800 over 25 years at a rate of 10%per annum. Monthly principal and interest payments of$2,634 are due on the I'of each month and Iate if not paid by the 10`h,with the final payment scheduled December 1,2022. The outstanding balance at March 31,2011 was$217,192. 20 MIDPENINSULA REGIONAL OPEN SPACE DISTRICT NOTES TO FINANCIAL STATEMENTS MARCH 31, 2011 NOTE 4—CAPITAL ASSETS Capital assets are recorded at the time of purchase and are capitalized at cost. The District capitalizes as part of the asset cost, any significant interest incurred during the construction phase of the asset. ai ht-line method for assets other than land. Estimated useful lives are as Depreciation is provided using the straight-line Derei g g p A follows: Structures and improvements 10 to 30 years Infrastructure 30 to 40 years Equipment 5 to 20 years Vehicles 10 to 20 years Changes in capital assets accounts are summarized below: Balance at Additions& Retirements& Balance at March 31,2010 Transfers Transfers March 31,2011 Capital assets not being depreciated Land $ 335,785,573 $10,033,312 $ (430,000) $ 345,388,885 Construction in progress 2,218,316 1,342,517 (759,988) 2,800,845 Total capital assets not being depreciated 338,003,889 11,375,829 (1,189,988) 348,189,730 Capital assets being depreciated Structure and improvements 11,813,519 1,048,219 - 12,861,738 Infrastructure 3,758,134 141,767 - 3,899,901 Equipment 1,255,113 125,151 (77,655) 1,302,609 Vehicles 2,434,836 185,094 (153,438) 2,466,492 Total capital assets being depreciated 19,261,602 1,500,231 (231,093) 20,530,740 Less accumulated depreciation for Structure and improvements 6,135,557 369,969 - 6,505,526 Infrastructure 835,563 105,858 - 941,421 Equipment 569,298 73,115 (77,655) 564,758 Vehicles 962,451 333,519 (153,438) 1,142,532 Total accumulated depreciation 8,502,860 882,461 (231,093) 9,154,237 Net captial assets being depreciated 10,7581733 617,770 - 11,376,503 Total capital assets,net $ 348,762,622 $11,993,599 $(1,189,988) $ 359,566,233 Construction in progress represents construction of structure,equipment and improvements and infrastructure not yet placed in service at March 31,2011. 21 MIDPENINSULA REGIONAL OPEN SPACE DISTRICT NOTES TO FINANCIAL STATEMENTS MARCH 31, 2011 At March 31,2011,the District had made commitments of approximately$2.106 million for construction work, legal and consulting fees,and purchases of supplies and equipment. NOTE 5—ACCURED COMPENSATED ABSENCES In accordance with the District's memorandum of understanding with various employee groups,employees accrue fifteen days of vacation during the first nine years of service,twenty days between service years 10 and fourteen,twenty-one days between service years fifteen and nineteen,twenty-three days between service years twenty and twenty-four,and twenty-five days after twenty-five years of service. An employee may accumulate vacation time earned to a maximum of two times the amount of his/her annual vacation time. Full-time employees accrue twelve days of sick leave annually from the date of employment. An employee may accumulate sick leave time earned on an unlimited basis. Upon resignation, separation from service,or retirement from District employment,workers in good standing with ten or more years of District employment shall receive a cash payment of the equivalent cash value of accrued sick leave as follows: Percentage of equivalent cash value of accrued Years of Employment sick leave 10-15 20% 16-20 25% 21 or more 30% An employee hired before August 9,2006,who retires from the District shall receive a cash payment of the percentage of equivalent cash value or accrued sick leave based on years of employment as described above,and apply the remainder of the equivalent cash value toward his/her cost of retiree medical plan premiums and/or other qualified medical expenses. Upon retirement,the amount qualified and designated for retiree medical costs shall be deposited in the Retiree Health Savings(RHS)plan,set up by the District The cost for maintaining the retiree's RHS account and the annual fee for the reimbursement process of qualified medical expenses will be paid for by the retiree. An employee hired on or after August 9,2006,who retires from the District may elect to receive only a cash payment of the percentage of equivalent cash value of accrued sick leave based on years of employment as described above. In all cases the equivalent cash value of accrued sick leave will be based on current rate of pay as of the date of separation from District employment. The District accrues for all salary-related items in the government-wide statements for which they are liable to make a payment directly and incrementally associated with payments made for compensated absences on termination. Accrued compensated absences were$1,135,684 as of March 31,2011. 22 i MIDPENINSULA REGIONAL OPEN SPACE DISTRICT NOTES TO FINANCIAL STATEMENTS MARCH 31 2011 The changes in compensated absences were as follows: I Governmental Activities Beginning Balance,at March 31,2010 $ 1,112,452 Net change 23,234 Ending balance,at March 31,2011 $ 1,135,686 Current Portion $ 23,234 NOTE 6 LONGTERM DEBT Summarized below are the current year's activities for long-term debt: Original Amount Issue Beginning Ending due within Balance Additions Retirements Balance one year Amount i Promissory Notes Hunt Living Trust Promissory Notc 5.00-5.50% ° ,due 4 $ 1,500,000 $ 1,500,000 $ $ - $ 1,500,000 $ - /2/2023 Daloia Land Contract Promissory Note 6.25% 15681 134,529 16,682 , due 10/t0/2017 240,000 150,210 2005 Refunding Promissory Notes 3.25-5.00%,due 4/1/2015 4,630,000 4,105,000 - 160,000 3,945,000 780,000 Bergman Note 850,000 - 850,000 - 850,000 - Total promissory notes 7,220,000 5,755,210 850,000 175,681 6,429,529 796,682 Revenue Bonds 1999 Lease Revenue Bonds ° 000 8,290,000 - 1,340,000 6,950,000 1,485,000 _ IS 775 1 4 o due 4/1/203 , , 73.70 . 0/, 2004 Revenue Bonds 425,000 29 810 000I 2.00-5.40%,due 9/1/2034 30,560,000 30,060,000 250,000I 2007 Series A Rev Refunding Bonds 4.00-5.00%,due 9/1/2027 52,415,000 52,415,000 - - 52,415,000 - 2007 Series B-T Taxable Revenue Refunding Bonds,5.15%,due 9/l/2012 6,785,000 3,690,000 - 1,535,000 2,155,000 1,750,000 Unamortized premium NA 662,850 - 56,009 606,841 56,009 Unamortized loss on refunding NA (3,900,855) - 319,273 (3,581,582) 319,273 Total revenue bonds 105,535,000 91,216,995 - 3,500,282 88,355,259 4,035,282 i Accreted Interest 1999 Revenue Bonds Accretion 13,888,021 24,843,000 1,436,454 - 26,279,454 - Bonds Accretion 1,340,010 1,855,539 100,197 - 1,955,736 - 2004 Leas e Revenue Total Accretion 15,228,031 26,698,539 1,536,651 - 28,235,190 - Total debt $ 127,983,031 $ 123,670,744 $ 2,386,651 $ 3,675,963 $ 123,019,978 $ 4,831,964 23 MIDPENIINSULA REGIONAL OPEN SPACE DISTRICT NOTES TO FINANCIAL STATEMENTS MARCH 31, 2011 Promissory Notes Hunt Living Trust Promissory Note. On April 1,2003,the District entered into a$1,500,000 promissory note with the Hunt Living Trust as part of a lease and management agreement. The note is due in full on April 1,2023 and bears interest at 5.5%semi-annually through April 1,2013 and 5.0%per annurn until the maturity,or prior redemption,of the note. At March 31,2011,the outstanding balance on the note was $1,500,000. Daloia Land Purchase Contract Promissory Note. During fiscal year ending 2003 the District entered into a land purchase contract promissory note in the amount of$240,000.The promissory note bears interest at a fixed rate of 6.25%and matures October 10,2017.At March 31,2011,the outstanding balance of the Daloia Land Contract note was$134,529. 2005 Refunding Promissory Note. On June 30,2005,the District issued$4,630,000 of 2005 Refunding Promissory Notes for the purpose of refunding all of its outstanding 1995 Promissory Notes. The 2005 notes bear interest rates from 3.25%to 5.00%. Principal and interest rates are due semi-annually on March 1 and September 1. At March 31,2011,the outstanding balance was$3,945,000. 2010 Bergman Note.On Nov 30,2010,the District issued a promissory note with Principal of$850,000 and interest of 4%to finance the purchase of land. Interest and principal are due on a quarterly basis beginning February 28h,2011 and mature on November 30,2011. Revenue Bonds 1999 Lease Revenue Bonds. On January 20, 1999 the Authority,on behalf of the District,issued $29,663,021 of 1999 Lease Revenue Bonds for the purpose of acquiring land to preserve and use as open space,purchase a reserve fund surety policy,and pay bond issue costs. The bonds consist of Current Interest and Capital Appreciation Bonds. The Current Interest Bonds bear interest at 3.7%to 5.4%and are due semi- annually on March I and September 1. The Capital Appreciation Bonds accrete interest at 5.2%to 5.4%and compound semi-annually on March I and September 1. Principal payments on the Current Interest Bonds are due annually September 1. Principal payments on the Capital Appreciation Bonds are payable at maturity beginning March,2016. At March 31,2011,the outstanding balance of these bonds was$33,229,454. 2004 Revenue Bonds. On January 20,2004,the Authority on behalf of the District,issued$31,900,010 of 2004 Revenue Bonds for the purpose of acquiring land to preserve and use as open space,repay a portion of a 1995 Promissory Note,purchase a reserve fund surety policy,and pay bond issue costs. The bonds consist of Current Interest and Capital Appreciation Bonds. The Current Interest Bonds bear interest at 2.0%to 5.4% and are due semi-annually on March 1 and September 1. The Capital Appreciation Bonds accrete interest at 5.2%to%.4%and compound semi-annually on March 1 and September 1. Principal payments on the Current Interest Bonds are due annually September 1. Principal payments on the Capital Appreciation Bonds are payable at maturity beginning March,2020. At March 31,2011,the outstanding balance of these bonds was $31,765,736. 2007 Series A Revenue Refunding Bonds and Series B-T Taxable Revenue Refunding Bonds. On December 15,2006 the District issued six series of promissory notes(2007 District Notes)for the purpose of refunding its 1996 Project Lease, 1996 Promissory Notes, 1999 Project Lease,and 1999 Promissory Notes. On December 15,2006 the Authority,on behalf of the District,issued$52,415,000 of 2007 Series A Revenue Refunding Bonds and$6,785,000 of 2007 Series B-T Taxable Revenue Refunding Bonds for the purpose of 24 MIDPENINSULA REGIONAL OPEN SPACE DISTRICT NOTES TO FINANCIAL STATEMENTS MARCH 31, 2011 defeasing the aggregate purchase price of the 2007 District Notes. The Series A bonds bear interest from 4.0%to 5.0%and Series B-T bonds bear interest at 5.15%. Interest for both series A and B-T are due semi- annually on March 1 and September 1. Principal payments for the Series A bonds begin September,2012 and are due annually,thereafter. Principal payments for the Series B-T bonds are due annually on September 1. At March 31, 2011 the outstanding balance of 2007 Series A Bonds is$52,415,000 and the outstanding 2007 Series B-T Bonds is$2,155,000 and the remaining balance of the defeased debt was$18,608,814. Debt Service Requirements Annual debt service requirements are shown below for all long-term debt: For the Year Promissory Notes Ending March 31 Principal Interest Total— 2012 $ 796,684 $ 288,163 $ 1,084,847 2013 827,752 254,431 1,082,183 2014 1,163,888 207,758 1,371,646 2015 1,230,096 143,925 1,374,021 2016-2020 911,109 668,976 1,580,085 2021-2024 1,500, 262,500 1,762,500 000 Total payments due $ 6,429,529 $ 1,825,753 $ 8,255,282 For the Year Revenue Bonds Accretion to Remaining Ending March 31 Principal Date Accretion Interest Total 2012 $ 3,660,000 $ - $ - $ 4,343,129 $ 8,003,129 2013 3,660,000 - - 4,175,405 7,835,405 2014 3,065,000 - - 4,026,019 7,091,019 2015 3,430,000 - - 3,881,521 7,311,521 2016 4,082,212 789,308 443,480 3,731,530 9,046,530 2017-2021 25,024;288 3,995,738 4,174,974 16,255,046 49,450,046 2022-2026 30,457,790 4,300,285 9,041,925 11,899,929 55,699,929 2027-2031 21,963,742 3,921,827 12,849,431 5,128,579 43,863,579 2032-2034 11,215,000 - - 1,179,125 12,394,125 Total payment due 106,558,032 $ 13,00-7,158 $26,509,810 $54,620,283� $ 200,695,283 Plus: unamortized premiums 606,841 Minus: unamortized loss on refundings (3,581,582) Total carrying amount $ 103,583,291 25 MIDPENINSULA REGIONAL OPEN SPACE DISTRICT NOTES TO FINANCIAL STATEMENTS MARCH 31, 2011 Debt Repayment All debt is payable from limited ad valorem property taxes levied on all taxable property within the District. NOTE 7—RENTAL INCOME The District leases(rents)certain land and structures to others under operating leases with terms generally on a month-to-month basis. Rental income of$955,243 was received during the year ended March 31,2011. NOTE 8—RETIREMENT PLAN Pension Plan All permanent District employees are eligible to participate in the pension plan offered by California Public Employees Retirement System(CALPERS)an agent multiple employer defined benefit pension plan with acts as a common investment and administrative agent for its participating member employers. CALPERS provides retirement and disability benefits,annual cost of living adjustments and death benefits to plan members,who must be public employees and beneficiaries. The District's employees participate in the Miscellaneous(non safety) Employee Plan. Benefit provisions under the Plan are established by State statute and District resolution. Benefits are based on years of credited service,equal to one year of full time employment. Funding contributions for the Plan are determined annually on an actuarial basis as of June 30 by CALPERS;the District must contribute these amounts. The Plans'provisions and benefits in effect at March 31,2011,are summarized as follows: Miscellaneous Benefit vesting schedule 5 years service Benefit payments Monthly for life Retirement age 50 Monthly benefits,as a%of annual salary 2.0-2.5% Required employee contribution rates 8.0% Required employer contribution rates 12.908% CALPERS determines contribution requirements using a modification of the Entry Age Normal Method. Under this method,the District's total normal benefit cost for each employee from date of hire to date of retirement is expressed as a level percentage of the related total payroll cost. Normal benefit cost under this method is the level amount the District must pay annually to fund an employee's projected retirement benefit. This level percentage of payroll method is used to amortize any unfunded actuarial liabilities. The actuarial assumptions used to compute contribution requirements are also used to compute the actuarial accrued liability. The District does not have a net pension obligation since it pays these actuarially required contributions bi-weekly. CALPERS uses the market related value method of valuing the Plan's assets. An investment rate of return of 7.75%is assumed,including inflation at 3.0%. Annual salary increases are assumed to vary by duration of service. Changes in liability due to plan amendments,changes in actuarial assumptions,or changes in actuarial methods are amortized as a level percentage of payroll on a closed basis over twenty years. Investment gains and losses are accumulated as they are realized and ten percent of the net balance is amortized annually. 26 MIDPENINSULA REGIONAL OPEN SPACE DISTRICT NOTES TO FINANCIAL STATEMENTS MARCH 31, 2011 As required by new State law,effective July 1,2005,the District's Miscellaneous Plan was terminated,and the employees in the plan were required by CALPERS to join new State-wide pools. One of the conditions of entry to these pools was that the District true-up any unfunded liabilities in the former Plans,either by paying cash or by increasing its future contribution rates through a Side Fund offered by CALPERS. The District satisfied its Miscellaneous Plan's unfunded liability of$2,510,958 by agreeing to contribute that amount to the Side Fund through an addition to its normal contribution rates over the next 21 years. The required contributions representing annual pension cost, for the year ended Mar 31 were as follows: Annual Percentage of Net Fiscal Year Pension Cost APC Pension Ending (APC) Contributed Obligation 3/31/2011 $ 1,415,161 100% 3/31/2010 1,269,386 100% 3/31/2009 1,115,702 100% 3/31/2008 1,104,388 100% The latest available actuarial values of the above State-wide pools(which differs from market value)and funding progress were set forth as follows. The information presented below relates to the State-wide pools as a whole,of which the District is one of the participating employers: Actuarial Unfunded Unfunded Annual (Overfunded) Valuation Accrued Value of (Overfunded) Funded Covered Liability as% Date Liability Assets Liability Ratio Payroll of Payroll 2006 $ 912,988,585 $ 787,758,909 $125,229,676 86.28% $200,320,145 62.51% 2007 1,315,454,361 1,149,247,298 166,207,063 87.37% 289,090,187 57.49% 2008 1,537,909,933 1,337,707,835 200,202,098 86.98% 333,307,600 60.07% 2009 1,834,424,640 1,493,430,831 340,993,809 81.41% 355,150,151 96.01% Audited annual financial statements are available from CALPERS at PO Box 942709,Sacramento,CA 94229- 2709. NOTE 9—OTHER POST EMPLOYMENT BENEFITS During fiscal year 2009,the District implemented the provisions of Governmental Accounting Standards Board Statement No.45,Accounting and Financial Reporting by Employers for Postemployment Benefits Other Than Pensions. This Statement establishes uniform financial reporting standards for employers providing postempl.oyment benefits other than pensions(OPEB). The provisions of this statement are applied prospectively and do affect prior years financial statements. Required disclosures are presented below. The District joined the California Employers' Retiree Benefit Trust(CERBT),an agent multiple-employer plan administered by CALPERS,consisting of an aggregation of single-employer plans. District Board authorized a deposit of$1,900,000 with CERBT on June 5,2008,to begin funding its OPEB liability. 27 MIDPENINSULA REGIONAL OPEN SPACE DISTRICT NOTES TO FINANCIAL STATEMENTS MARCH 31, 2011 By Board resolution and through agreements with its labor unit,the District provides certain health care benefits for retired employees(spouse and dependents are not included)under third-party insurance plans. A summary of eligibility and retiree contribution requirements are shown below by bargaining unit: Eligibility -Service or disability retirement from the District -Age 50 and 5 years of service -Continue participation in Public Employees Medical and Hospital Care Act(PEMHCA) Benefit District pays retiree premiums up to: $300 per month effective 1/1/2007 $350 per month effective l/1/2009 Surviving Spouse -Retirement plan election Continuation -Same benefit continues to surviving spouse Dental,Vision and None Life As of March 31,2011,approximately 94 active employees were eligible to receive retirement health care benefits. Funding Policy and Actuarial Assumptions The annual required contribution(ARC)was determined as part of a March 31,2009,actuarial valuation using the entry age normal actuarial cost method. This is a projected benefit cost method,which takes into account those benefits that are expected to be earned in the future as well as those already accrued. The actuarial assumptions included(a)7.75%investment rate of return,(b)3.25%projected annual salary increase,and(c)3.0%health inflation increases. The actuarial methods and assumptions used include techniques that smooth the effects of short-term volatility in actuarial accrued liabilities and the actuarial value of assets. Actuarial calculations reflect a long-term perspective and actuarial valuations involve estimates of the value of reported amounts and assumptions about the probability of events far into the future. Actuarially determined amounts are subject to revision at least biannually as results are compared to past expectations and new estimates are made about the future. The District's OPEB unfunded actuarial accrued liability is being amortized as a level percentage of projected payroll using a 30 year amortization period. In accordance with the District's budget,the ARC is to be funded throughout the year as a percentage of payroll. Concurrent with implementing Statement No. 45,the District Board passed a resolution to participate in the California Employers Retirees Benefit Trust(CERBT),an irrevocable trust established to fund OPEB. CERBT is administrated by CalPERS,and is managed by an appointed board not under the control of the District Board. This Trust is not considered a component unit by the District and has been excluded from these financial statements. Separately issued financial statements for CERBT may be obtained from CALPERS at PO Box 942709, Sacramento,CA 94229-2709. 28 MIDPENINSULA REGIONAL OPEN SPACE DISTRICT NOTES TO FINANCIAL STATEMENTS MARCH 31, 2011 Funding Progress and Funded Status Generally accepted accounting principles permits contributions to be treated as OPEB assets and deducted from the Actuarial Accrued Liability(AAL)when such contributions are placed in an irrevocable trust or equivalent arrangement. During the fiscal year 2010,the District made contribution in excess of the ARC and amortized its net OPEB obligation as presented below: Annual required contribution $ 123,000 Interest on net OPEB asset (130,000) 16 Adjustment to annual required contribution 0 000 Annual OPEB cost 153,000 Net OPEB Asset at March 31,2010 1,666,561 $ 1,513,561 Net OPE B Ass et at Ma rch 31 2011 - - -- ------ - ------_.. - -----___ ------------ _ ___-.__ _ _ ---------.---____- ---- - The Plan's annual required contributions and actual contributions for fiscal years ended March 31,2009 to 2011 are set firth be low: Percentage Annual Actual of Annual Net OPEB Fiscal Year OPEB Cost Contribution OPEB Cost Asset 3/31/2011 $ 153,000 $ - 0% $ 1,513,561 3/31/2010 56,439 - 0% 1,666,561 3/31/2009 177,000 1,900,000 1073% 1,723,000 The Schedule of Funding Progress presents multi-year trend information about whether the actuarial value of plan assets is increasing or decreasing over time relative to the actuarial accrued liability for benefits. Trend data from the actuarial studies is presented below: Overfunded Overfunded (Underfunded) Entry Age (Underfunded) Actuarial Actuarial Actuarial Actuarial Actuarial Liability as Valuation Value of Accrued Accrued Funded Covered Percentage of Date Assets Liability Liability Ratio Payroll Covered Payroll l 3/31/2010 $ 1,894,000 $ 1,500,000 $ 394,000 126.27% $ 5,772,000 6.8% 3/31/2008 - 1,078,000 (1,078,000) 0.000/- 5,590,000 -19.3% 29 __I NUDPENINSULA REGIONAL OPEN SPACE DISTRICT NOTES TO FINANCIAL STATEMENTS MARCH 31, 2011 NOTE 10—RISK MANAGEMENT Coverage The District is exposed to various risks of loss related to torts;theft of,damage to,and destruction of assets; injuries to employees; and natural disasters. Prior to July 1,2002,the District managed and financed these risks by purchasing commercial insurance. On July 1,2002,the District joined the California Joint Powers Insurance Authority(CAL JPIA). CAL JPIA is composed of 119 California public entities and is organized under a joint ) e e . The purpose of CAL JPIA is to Section 6500 t s Government Co de S i powers agreement pursuant to California q PmP arrange and administer programs for the pooling of self-insurance losses,to purchase excess insurance or reinsurance,and to arrange for group-purchased insurance for property and other coverages.CAL JPIA's pool began covering claims of its members in 1978. Each member government has an elected official as its ou h a 9-member Exec utive Commi ttee. Directors. The Board op erates through representative on the Board of p g ___Durixg�t ie past three fiscal years,none of the piograins of protection have had settlements-ar-judgments-that--- ----- There have been no significant reductions in pooled or insured liability ed coverage. exceeded pooled or insured g gm coverag e from covera ge e in the prior year. g g P Y Self-Insurance Programs of the CAL JPIA General and Automobile Liability. Each government member pays a primary deposit to cover estimated losses for a fiscal year(claims year). General liability(GL)coverage includes bodily injury,personal injury, or property damage to a third party resulting from a member activity. The GL program also provides automobile liability coverage. Six months after the close of a fiscal year,outstanding claims are valued. A retrospective deposit computation is then made for each open claims year. Costs are spread to members as follows: the first$30,000 to$750,000 are pooled based on member's share of costs under$30,000;costs in shared b the members based upon each individual member's payroll. Costs of 000 are sh excess of$750 y P covered claims above$5,000,000 are currently paid by reinsurance. The protection for each member is $50,000,000 per occurrence,up to$50,000,000. Worker's Compensation. The District also participates in the Worker's Compensation program administered by CAL JPIA. Pool deposits and retrospective adjustments are valued in a manner similar to the General Liability pool. The District is charged for the first$50,000 of each claim. Costs from$50,000 to $100,000 per claim are pooled based on the member's losses under its retention level. Costs between $100,000 and$2,000,000 per claim are pooled based on payroll. Costs from$2,000,000 to$5,000,000 are paid by excess insurance purchased by CAL JPIA. The excess insurance provides coverage to statutory limits. Purchased Insurance Environmental Insurance. The District participates in the Pollution and Remediation Legal Liability Program,which is available through CAL.JPIA. The policy provides coverage for both first and third party damages,including sudden and gradual pollution at or from property,streets,sanitary sewer trunk lines and storm drain outfalls owned by the District.Coverage is on a claims-made basis. There is a$50,000 deductible. CAL JPIA has a limit of$50,000,000 for the 3-year period from July 1,2008 through July 1, 2011. Each member of CAL JPIA has a$10,000,000 aggregate limit during the 3-year policy term. 30 MIDPENINSULA REGIONAL OPEN SPACE DISTRICT NOTES TO FINANCIAL STATEMENTS MARCH 31, 2011 Property Insurance. The District participates in the All-Risk property program of CAL JPIA which includes all-risk coverage for real and personal property(such as buildings,office furniture,equipment,vehicles,etc). This insurance is underwritten by several insurance companies. Property is currently insured according to a schedule of covered property submitted by the District to CAL JPIA. The All-Risk deductible is$5,000 per occurrence; $1,000 for non-emergency vehicles. Premiums for the coverage are paid annually and are not subject to retroactive adjustments. Boiler&Machinery Insurance. The District participates in the optional coverage for boiler and machinery, which is purchased separately under the property program. Coverage is for physical damage for sudden and There is a 5 000 per accident or in` $ e and electrical , machmP accidental breakdown of boilers and machinery, Jm'Y occurrence deductible;properties on property schedule are covered. Crime Insurance. The District participates in the crime program of CAL JPIA in the amount of$1,000,000 e or employee dishones covera f , Insurance providesh' e deductible. Ins occurrence g ` a 2 SUO per o P per claim,with $ , p ur 1 and computer fraud. robbery,b failure to faithfully perform duties,forgery,counterfeiting,theft, ry,burglary, P Premiums are paid annually and are not subject to retroactive adjustments. Special Event Tenant User Liability Insurance. The District participates in the special events program of CAL JPIA which provides liability insurance when District promises are used for special events.The insurance premium is paid by the tenant user to the District according to a schedule. The District then pays the insurance arranged through CAL JPIA. There is no deductible and the District is added as additional insured. Liability limits are purchased in$1 million per occurrence increments. Vendors/contractors program. General liability coverage is provided to vendors/contractors who otherwise could not contract with the District as they could not meet the minimum insurance requirement: $1 million per occurrence, $1 million in aggregate. NOTE 11—NET ASSETS Net Assets is the excess of all the District's assets over all its liabilities,regardless of fund. Net Assets are divided into three captions under GASB Statement 34. These captions apply only to Net Assets,which is determined only at the District-wide level,and are described below: Invested in Capital Assets,net of related debt describes the portion of Net Assets which is represented by the current net book value of the District's capital assets,less the outstanding balance of any debt issued to finance these assets. Restricted describes the portion of Net Assets which is restricted as to use by the terms and conditions of agreements with outside parties,governmental regulations,laws,or other restrictions with the District cannot unilaterally alter. Unrestricted describes the portion of Net Assets which is not restricted to use. 31 MIDPENINSULA REGIONAL OPEN SPACE DISTRICT NOTES TO FINANCIAL STATEMENTS MARCH 31, 2011 Contingent Liabilities The District has entered into numerous agreements,has properties that will require environmental remediation, and is named in certain claims and litigations. In the opinion of management,after consultation with counsel,the liability, if any,resulting there from will not have a material effect on the District's financial position. NOTE 12—SUBSEQUENT EVENTS In May 2011,the District Financing Authority sold$20.5 million of thirty-year bonds to finance the purchase of land and structures. These bonds,structured as a lease and rated AA by Fitch and AA-by Standard&Poor's, were sold at a total interest cost of 5.60%. 32 REQUIRED SUPPLEMENTARY INFORMATION 33 MIDPENINSULA REGIONAL OPEN SPACE DISTRICT EN G ERALFUND SCHEDULE OF REVENUES,EXPENDITURES AND CHANGES IN FUND BALANCE FOR THE YEAR ENDED MARCH 31, 2011 Budgeted Amounts Variance Favorable Original Final Actual (Unfavorable) REVENUES Property taxes $27,857,000 $ 27,527,006 $ 27,268,652 $ (258,348) Grant income 2,500,000 1,565,000 1,392,868 (172,132) Investment income 330,000 330,000 191,515 (138,485) Property management-rents 928,000 928,000 955,243 27,243 Other income 243,000 235,000 550,615 315,615 Land Donation - - 16,585 16,585 Total Revenues 31,858,000 30,585,000 30,375,478 (209,522) EXPENDITURES Current Salaries 7,995,360 8,021,261 7,898,301 122,960 Benefits 3,072,239 3,074,219 3,011,859 62,360 Directors 25,000 25,000 27,600 (2,600) Services and supplies 3,607,683 3,661,015 2,744,234 916,781 Capital Outlay New land purchases 15,000,000 15,000,000 9,845,756 5,154,244 Land acquisition support costs 656,500 656,500 91,726 564,774 Structures and improvements 2,140,310 1,333,210 1,196,634 136,576 Equipment 1,530,000 1,755,000 276,032 1,478,968 Vehicles 210,000 210,000 185,094 24,906 Total Expenditures 34,237,092 33,736,205 25,277,236 8,458,969 EXCESS(DEFICIENCY)OF REVENUES OVER EXPENDITURES (2,379,092) (3,151,205) 5,098,242 8,249,447 OTHER FINANCING SOURCES(USES) Other Sources - - 850,000 850,000 Transfers(out) - - (7,974,490) (7,974,490) Total Other Financing Sources(Uses) - - (7,124,490) (7,974,490) NET CHANGE IN FUND BALANCE $ - $ - (2,026,248) $ (2,026,248) i Fund balance at beginning of year 28,914,014 Fund balance at end of year $ 26,887,766 34 Mid peninsula Regional • ' Open Space District R-12-06 Meeting 12-01 January 11, 2012 AGENDA ITEM 5 AGENDA ITEM Resolution Approving Documents Relating to Issuance of 2012 Refunding Notes GENERAL MANAGER AND CONTROLLER'S RECOMMENDATION Adopt the attached Resolution of the Board of Directors of the Midpeninsula Regional Open Space District authorizing the issuance of a series of Refunding Promissory Notes, approving an Official Statement and providing ot her matters properly ro erlY related thereto. P g SUMMARY The resolution authorizes the District to issue up to $36 million of 2012 Refunding Notes and approves the Official Statement, other required note documents, and agreements with bond counsel and underwriters. The objective is to take advantage of the passage of California State Assembly Bill 612 (AB612)to shift the maximum prudent amount of existing debt service out beyond twenty years, thereby significantly aiding the District in funding the implementation of j its strategic plan. DISCUSSION The passage of A1361.2 and the continuing favorable bond market conditions make it advantageous to propose the refinancing of the $33.0 million of existing 1999 Revenue Bonds pp through the issuance of approximately $33.7 million of refunding notes. The proposed issuance g would not yield any immediate cash proceeds to the District; this is strictly a refinancing. However, the proposed refinancing would reduce District debt service payments by approximately $23 million over the next 16 years. Because the provisions of AB612 allow the District, beginning in January 2012,to issue notes with maturities up to 30 years, there is no advantage to utilizing the Midpeninsula Regional Open Space Financing Authority in this transaction. In the proposed structure, the District is issuing its awn notes. The 2012 Refunding Notes are proposed to be structured as a combination of[1] $25.7 million of term notes with an estimated average interest rate of 4.9% and an average life of 18 years; and [2] $8.0 million of capital appreciation bonds with an estimated average interest rate of 7.1% and an average life of twenty seven years. Bond buyers demand a significant premium to purchase I II R-12-06 Page 2 long-dated capital appreciation bonds, which are the tax-exempt form of zero coupon bonds. However, the capital appreciation bonds generate most of the desired cash flow savings. The estimated overall all-in cost is 5.95%. This is slightly higher than the 5.60% all-in cost on our 2011 Revenue Bonds, which securitized a thirty year lease, with much higher debt service requirements over the first 15 years. The District is seeking bond ratings from Standard& Poor's and Fitch and the interest cost estimates are based on an AA rating, as achieved last year. It is very unlikely that the purchase of municipal bond insurance will be worthwhile. The estimated Sources and Uses of the proposed refunding notes are shown below. SOURCES: Note Proceeds: Par Amount $33,654,899 Note Proceeds: Net Discount - 40,961 Total Sources $33,613,938 USES: Project Fund: New Money $ 0 Refunding Escrow Deposit: 1999 Bonds 33,295,663 Underwriters Discount (S&Y) 168,275 Other Cost of Issuance 150,000 Total Uses $33,613,938 If approved by the District, the schedule is to price the notes during the week of February 6, 2012, and deliver the notes on March 1, 2012. Because institutional bondholders generally have large amounts of bonds maturing in January, it is anticipated that this will be good timing for favorable demand. The proposed issue is consistent with long-term financial plans and is easily accommodated within our statutory debt limit. After the proposed sale, District's bonded indebtedness would be about 58% of the District's statutory debt limit. The proposed bond counsel is Jones Hall of San Francisco. In August 2006, staff selected Chris Lynch of Jones Hall as our new bond counsel and we have been very pleased with his work on the 2007 and 2011 Bonds. Mr. Lynch 'is amain working with the District on the 2012 Bonds. Likewise, Chip Eady, representing Meyers,Nave, Riback, Silver& Wilson, is again serving as District Disclosure Counsel. District General Counsel has negotiated retainer agreements with both firms. The negotiated fees are $45,000 for Jones Hall and $15,000 for Meyers,Nave. The proposed underwriter is Stone & Youngberg LLC (S&Y). S&Y's team, led by Tom Lockard, has successfully managed several District financings, including all of the debt issued under the Authority structure. Staff believes that S&Y continues to do an outstanding job for the District and should underwrite the 2012 Refunding Notes. The estimated underwriting fee of 0.5% is slightly below the 0.55% fee paid for the 2007 and 2011 Bonds. R-12-06 Page 3 SUMMARY OF THE PROPOSED TRANSACTION: 1. Amount: Approximately$33.7 million 2. Term: Thirty years 3. Average Life: 20.4 years 4. Purpose: Refinance the 1999 Bonds to smooth future debt service payments over thirty years; projected reduction of debt service of$23 million over initial 16 years 5. Interest Rates: To be priced in February 2012; estimated all-in cost of 5.95% 6. Reserve Fund: None 7. Underwriting Fee: 0.5%of par amount of amount issued, about $168,275 8. Other Costs of Issuance: Estimated not to exceed $150,000 9. Closing Schedule: March 1, 2012 PARTIES TO THE TRANSACTION: 1. Issuer: Midpeninsula Region Open Space District 2. Trustee: Bank of New York Mellon Trust Company (BNY) 3. Underwriter: Stone& Youngberg LLC (S&Y) 4. Bond Counsel: Jones Hall 5. Disclosure Counsel: Meyers,Nave, Riback, Silver& Wilson 6. Verification: Causey, Demgen & Moore Inc. DUTIES OF THE PARTIES: 1. Issuer: Issue notes, make principal and interest payments 2. Trustee: Administers notes for the benefit of the holders, collects principal and interest from the District, makes payments to to holders; pays-off the 1999 bond holders through management of the escrow 3. Underwriter: Purchases notes from the District and sells them to buyers 4. Bond Counsel: Prepares and certifies note documents; assures buyers of the tax-exempt status of the notes 5. Disclosure Counsel: Drafts District official statement and advises on compliance with federal securities laws 6. Verification Counsel: Confirms that the amount deposited in the escrow account is suficient to refinance the 1999 Revenue Bonds. THE DISTRICT'S DISCLOSURE OBLIGATIONS The attached Preliminary Official Statement has been reviewed and approved for transmittal to the Board of Directors by staff and the District's financing team. The distribution of the Preliminary Official Statement by the District is subject to federal securities laws, including the Securities Act of 1933 and the Securities Exchange Act of 1934. These laws require the Preliminary Official Statement to include all facts that would be material to an investor in the R-12-06 Page 4 2012 Refunding Notes. Material information is information that there is a substantial likelihood that it would have actual significance in the deliberations of the reasonable investor when deciding whether to buy or sell the 2012 Refunding Notes. The Securities and Exchange Commission(the "SEC"), the agency with regulatory authority over the District's compliance with the federal securities laws, has issued guidance as to the duties of the Board of Directors with respect to its approval of the Preliminary Official Statement. In its"Report of Investigation in the Matter of County of Orange, California as it Relates to the Conduct of the Members of the Board of Supervisors" (Release No. 36761 / January 24, 1996) (the "Release"), the SEC stated that, if a member of the Board of Directors has knowledge of any facts or circumstances that an investor would want to know about prior to investing in the 2012 Refunding Notes, whether relating to their repayment, tax-exempt status, undisclosed conflicts of interest with interested parties, or otherwise, he or she should endeavor to discover whether such facts are adequately disclosed in the Preliminary Official Statement. In the Release, the SEC stated that the steps that a member of the Board of Directors could take include becoming familiar with the Preliminary Official Statement and questioning staff and consultants about the disclosure of such facts. MAIN AGREEMENTS: Note that these documents are substantially complete and correct but are not meant to be in final form at this time. 1. Preliminary Official Statement: Describes note issue to potential buyers 2. Indenture (between District and BNY): Appoints BNY as Trustee for the notes, lists its duties and responsibilities, and details how the notes will be administered. 3. Escrow Deposit and Trust Agreement: Appoints BNY as Escrow Agent for District and Authority and specifies how the 1999 Bonds are to be paid-off. 4. Purchase Contract(between District and S&Y): Defines terms under which S&Y will purchase the notes from the District. 5. Continuing Disclosure Agreement (between District and BNY): Appoints Trustee as the Dissemination Agent with regard to SEC disclosure rules. FISCAL IMPACT Sale of the proposed bonds will [1] reduce overall District debt service payments by approximately $23 million over the next sixteen years; and [2] significantly increase District debt service requirements beginning in 2029, effectively smoothing existing debt service payments over the next thirty years. The proposed sale is consistent with, and, in fact,significantly improves, the District's long-term financial model. PUBLIC NOTICE Notice was provided pursuant to the Brown Act. No additional notice is necessary. R42-06 Page 5 CEQA COMPLIANCE No compliance is required as this action is not a project under CEQA. NEXT STEPS If approved by the Board, staff will proceed with finalization of the documentation and sell the notes. Attachment: 1. Resolution Prepared by: Michael Foster, Controller Contact person: Same as above RESOLUTION NO. 12-XX RESOLUTION OF THE MIDPENINSULA REGIONAL OPEN SPACE DISTRICT AUTHORIZING THE ISSUANCE OF A SERIES OF REFUNDING PROMISSORY NOTES,APPROVING AN OFFICIAL STATEMENT,AND PROVIDING OTHER MATTERS PROPERLY RELATING THERETO WHEREAS, the Midpeninsula Regional Open Space District(the "District") previously entered into a Project Lease dated as of January 1, 1999 (the "1999 Project Lease"), with the Midpeninsula Regional Open Space District Financing Authority (the "Authority") for the purpose of(i) financing the acquisition of open space and (ii) refunding on an advance basis the District's outstanding 1992 Promissory Notes; and WHEREAS, the Authority issued its 1999 Revenue Bonds (the -1999 Bonds") pursuant to a 'Trust Agreement dated as of January 1, 1999 (the -1999 Trust Agreement"), by and between the Authority and The Bank of New York Mellon Trust Company, N.A., as successor trustee (the -1999 Trustee");and WHEREAS, the 1999 Bonds were secured by and payable from the Base Rental Payments payable by the District under the 1999 Project Lease;and WHEREAS, the District wishes to refinance the 1999 Project Lease and the 1999 Bonds, and, for that purpose, wishes to issue its 2012 Refunding Promissory Notes (1999 Project Lease) (the -Notes") pursuant to Article 3 of Chapter 3 of Division 5 of the Public Resources Code of the State of California(the"Law")and an Indenture,dated as of January 1,2012; and WHEREAS, in order to accomplish the prepayment of the 1999 Base Rental Payments and redemption and defeasance of the 1999 Bonds, the District and the Authority will enter into an Escrow Deposit and Trust Agreement,dated as of January 1,2012(the"Escrow Agreement");and WHEREAS, District staff has caused to be prepared and has reviewed a preliminary form of the Official Statement for the Notes (the "Official Statement"), which preliminary form is on file with the Secretary, and the District wishes at this time to approve the Official Statement in the public interests of the District; and WHEREAS, all conditions, things and acts required to exist, to have happened and to have been performed precedent to and in the issuance of the Notes, as contemplated by this resolution and the documents referred to herein exist, have happened and have been performed in due time, form and manner as required by the laws of the State of California. NOW,THEREFORE, BE IT RESOLVED by the Midpeninsula Regional Open Space District, as follows: Section 1. Recitals True and Correct. The District hereby finds and declares that the above recitals are true and correct. Section 2. Issuance and Sale of the Notes. The District hereby authorizes and approves the issuance of the Notes to be designated "Midpeninsula Regional Open Space District 2012 Refunding Promissory Notes(1999 Project Lease)."The Notes may be issued in any combination of current interest notes and capital appreciation notes as determined by the Controller. � Section 3. Security for the Notes. The Board hereby approves the pledge pursuant to the Indenture (as defined below) as security for the payment of principal of and interest on the Notes of the -Limited Tascm," which tcnn is ocn�ru|� defined in the |ndcr�uoc as the limited ad valorem property � ~ � taxes levied upon all taxable property in the District bythe Board of Supervisors of Santa Clara County, � the Board of Supervisors of San Mateo County and the Board of Supervisors of Santa Cruz County and i allocated tothe District under applicable law that are legally available to pay the interest onand principal of the Notes. The District ahu|| not be obligated to pay the principal of or interest on ihc Y4otca except � from the Limited Taxes. As permitted by Section 5544.2(0ofthe Law, the Board hereby approves the pledge of the Limited Taxes to the following outstanding promissory notes of the District: (i) the Midpeninau|u Regional Open Space District 2005 Refunding Promissory Notes, (ii) the K4idpcninau|u � Regional Open Space District 2007 Refunding Promissory Notes (1996 P ject'Leuse-2nd Issue); (iii) � � the Midpeninou|u Regional Open Space District 20O7 Refunding Promissory Notes (\9V6 Promissory Notes); (iv) the Midpeninau|u Regional Open Space District 2007 Refunding Promissory Notes (1999 Promissory Y4ot s); und (v) thc Midpeninsu|u Regional Open Spuue0st�c{ 2O07 Refunding Promissory | . � Notes(|9O8Yrcjec1 Lease—2ndlssue). Section 4. Approval of Indenture. The Indenture related to the Notes, by and between thc District and The Bank of New York Mellon Trust Company, N.A., as trustee (the "Indenture"), in the form presented to this meeting, is hereby approved. The President, the 8eorctug', the Ocncru| Manager and the Controller of the District (the "Designated Officers") are, and each of them acting alone is, hereby authorized and directed, for and in the name and on behalf ufthe District, to execute and deliver the Indenture, and the Secretary im hereby authorized and directed, for and in the name and on behalf of the District,tn attest the Designated Officer's signature tothe Indenture, in such form, together with such additions thereto nr changes therein as are recommended or approved bythe Designated Officer, upon consultation with Jones Hall, A Professional Law Corporation, bond Counsel to the District, including such additions or changes as are necessary or advisable in accordance with Section 8 hereof, provided that no additions orchanges shall authorize un aggregate principal amount (or maturity amount in the ousc of capital appreciation notes) nf the Notes in excess of$36,000,000, or result in utruo interest cost in excess of6.25% per unnum. The approval of such additions or changes shall be conclusively evidenced by the execution and delivery by u Designated Officer on behalf nfthe District of the � Indenture. The date, maturity dates, aggregate principal amount (or maturity amount in the cuyc of capital appreciation notes), annual maturity amounts, interest ngc or rates, intcncat payment dates (or � � � compounding dates in the cumc of capital appreciation notes), denominations, form, registration � privileges, manner of execution, place of payment, terms of redemption and other terms of the Notes � ehu|| beuxprovided in the Indenture,uu finally executed. 8mckkun 5. Approval wK Refinancing and Escrow Agreement. The prepayment ofthe 1499 Base Rcnkz| Payments and the refunding of the |OAV Bonds are hereby approved, subject 1oachieving debt service savings in an amount acceptable om the Controller; issuance nf the 20|2Notes inunamount � sufficient to prepay the 1999 Buao [lcntu| Payments and the refunding of the |Vug Bonds shall be uonc|uyiv� ��idcnocof�h� Con�o||�r`yupprovo| The D�signutcd (}f�cc� �n: and each of them xchn8 � � , � alone is, hereby authorized and directed, for and in the name of and un behalf nfthe District, roexecute the Escrow Agreement in the form on file with the Secretary, together with any changes therein or � m]didnnx thereto approved by the Designated 0fOoco, whose execution thereof shall he conclusive evidence of approval of any such additions and changes, and such other documents as the Designated � Officers determine are necessary oueffectuate such refunding. � Section 6. Sale of the Notes. Tile District hereby appoints 6dfe|, Wico|oue 6L Company, Inc. dbu Stone & Youngberg, u Division of8dte| Y4iuo|uuy (the "Underwriter"), as the underwriter for the Notes, and approves the au|e of the Notes by negotiation with the Underwriter, pursuant tothe Purchase Contract by and between the Authority and the Underwriter. The underwriter's discount (excluding original issue discount) proposed by the Underwriter, in an amount not to exceed 0.5% of the aggregate par amount(or maturity amount in the case of capital appreciation notes)of the Notes, is both reasonable and customary under the prevailing market conditions and is hereby approved, with the final discount to be identified in the Purchase Contract. The Designated Officers are, and each of them acting alone is, hereby authorized and directed, for and in the name of and on behalf of the District, to execute the Purchase Contract in the form on file with the Secretary, together with any changes therein or additions thereto approved by the Designated Officers, whose execution thereof shall be conclusive evidence of approval of any such additions and changes. Section 7. Official Statement. The District hereby approves the preliminary Official Statement describing the Notes, in substantially the form on file with the Secretary. Distribution of the preliminary Official Statement and the final Official Statement by the Underwriter is hereby approved. The Designated Officers are hereby authorized and directed to approve any changes in or additions to the final form of the Official Statement, whose execution thereof shall be conclusive evidence of approval of any such changes and additions, and the Designated Officers are hereby authorized to execute a certificate deeming the preliminary Official Statement to be final for purposes of Rule 15c2-12 promulgated under the Securities Exchange Act of 1934. Section 8. Municipal Bond Insurance. The Designated Officers, each acting alone, are hereby authorized and directed to obtain a municipal bond insurance policy for the Notes if it is determined, upon consultation with the Underwriter that such municipal bond insurance policy will reduce the true interest cost with respect to the Notes. Section 9. Official Action. All actions heretofore taken by the officers and agents of the District with respect to the preparation of the Official Statement and the Indenture and the sale and issuance of the Notes, are hereby approved, confirmed and ratified, and the proper officers of the District, including the Designated Officers and the District's general counsel,are hereby authorized and directed, for and in the name and on behalf of the District, to do any and all things and take any and all actions and execute and deliver any and all certificates, agreements and other documents which they, or any of them, may deem necessary or advisable in order to consummate the lawful issuance and delivery of the Notes in accordance with this Resolution, including but not limited to those certificates, agreements and other docurents described in the Indenture and the other documents herein approved, and any certificates, agreements or documents as may be necessary to further the purpose hereof or provide additional security for the Notes, but which shall not create any obligation or liability of the District other than with respect to the limited tax revenues pledged as security for the Notes in the Indenture and assets derived from the proceeds of the Notes. Section 10. Approval of Professional Service Agreements. The District hereby approves the form of the professional services agreements on file with the Secretary with respect to the services of Jones Hall, A Professional Law Corporation as bond counsel and Meyers Nave Riback Silver& Wilson, A Professional Law Corporation, as disclosure counsel. The General Manager is hereby authorized and directed to execute the agreements on behalf of the District with such changes, additions or deletions as may be approved by the General Manager. Section 11. Effective Date. This resolution shall take effect frorn and after the date of approval and adoption thereof. ATTACHMENT 2 Statement of Investment Policy GOALS Goal 1. Capital Preservation The primary goal shall be to safeguard the principal of invested funds. The secondary I objective shall be to meet the liquidity needs of the District. The third objective shall be to achieve a return on funds consistent with this Policy. Temporarily idle funds shall be invested in a conservative manner, such that funds can always be withdrawn at, or just above or below, full invested value. Investments that offer opportunities for significant capital gains and losses are excluded. Goal 2. Liquidity Temporarily idle funds shall be managed so that normal operating cash needs and scheduled extraordinary cash needs can be met on a same day basis. Investments shall be sufficiently liquid to provide a steady and reliable flow of cash to the District to insure that all land purchases can be made promptly (within two weeks). j Goal 3. Income Temporarily idle funds shall earn the highest rate of return that is consistent with capital preservation and liquidity goals and the California Government Code. GUIDELINES 1. Determination of Idle Funds The Controller shall prepare a cash flow projection prior to all investment decisions involving securities with a term to maturity exceeding 180 days. This cash flow projection shall be reviewed and evaluated by the General Manager. The General Manager is responsible for approving the Controller's designation of the amount of funds available for investment for longer than 180 days. 2. Contingency Reserve A contingency reserve of at least $5,000,000 shall be maintained with the Santa Clara County Pooled Investment Fund. The General Manager is responsible for approving the Controller's designation of the size of this contingency reserve. At all times this contingency reserve, together with funds held in trust by bond trustees and pledged to the payment of bonds issued by the District, shall be sufficient to satisfy the reserve requirements s nts for all District debt. 3. Non-Invested Funds Idle District funds not otherwise invested as permitted by this Policy, or maintained with trustee paying agents and pledged to the payment of District indebtedness, shall be deposited with the Santa Clara County Pooled Investment Fund, the San Mateo County i Treasurer's Pooled Investment Fund or the State of California's Local Agency Investment Fund. i 4. Selection of Investments The Controller is responsible for selecting investments that fit within the amounts and maturities recommended by the Controller and by the General Manager. The Controller is also responsible for directing security transactions. 5. Investments Instruments and Deposit of Funds i Investments and deposits of funds shall be limited to those allowed by and subject to the procedures of Government Code Section 53600 et seq. and 53635 et seq. In the event of any conflict between the terms of this Policy, and the Government Code, the provisions of the Government Code shall prevail. Investments shall not be leveraged. Investments, and"derivatives,"that offer opportunities for significant capital gains and losses are excluded. All investments, other than investment of bond proceeds and funds held by trustees and pledged to the repayment of bonds or other District indebtedness, shall mature within 180 days, except for [1] U.S. Treasury and U.S. Government Agency bills and notes and [2] Corporate notes carrying a minimum rating of AA from a nationally recognized rating service, shall mature within two years. Funds held by such trustees and other bond proceeds may be invested in accordance with the indenture or agreement providing for the issuance of such debt. 6. Diversification Investments s shall meet the diversification test of Government Code Section 53601.70, stating that no more than 5% of the total investment portfolio may be invested in the securities of any one issuer, except for the obligations of the U.S. Treasury or U.S. Government Agencies. Investments maturing in 181 days or longer shall represent no more than 20% of the total market value of the investment portfolio. 7. Marketability For investments other than deposits and investment of funds held by trustees as set out in Section 5. the breadth of ownership and number of securities outstanding shall be r k in which investments can be readily converted sufficient to establish a secondary market e Y Y I to cash without causing a material change in their market value. 8. Acceptable Banks Bankers Acceptances and Negotiable Certificates of Deposit may be purchased only from the District's commercial bank or banks and savings and loan associations with over $1,000,000,000 of deposits and reporting profitable operations and which meet all applicable criteria of the Government Code. Certificates of Deposit may be purchased from other banks within Santa Clara and San Mateo Counties which meet all applicable criteria of the Government Code if the principal is fully insured by the Federal Deposit Insurance Corporation. 9. Acceptable Collateral Securities collateralizing bank or savings and loan deposits must be rated "A" or higher. I 10. Investments in Name of District All investments purchased shall stand in the name of the District. 11. Reporting The Controller shall report all security transactions to the board no later than the next Regular Meeting of the Board of Directors after any transaction has been made. The Controller shall submit a report of the District's investments and security transactions to the Board of Directors by the fourth Wednesday of each month in accordance with Government Code Section 53607. The Controller will render a quarterly investment report to the Board of Directors as required by Government Code Section 53646. Such reports shall also be submitted to the General Manager and to the District's auditor. 12. Purchase of Securities The Controller is authorized to purchase securities through the investment department of the District's commercial bank and as otherwise permitted by the Government Code. The bank or other investment institution from which authorized securities are purchased shall be instructed in writing only to purchase securities in the name of the District and that all matured funds shall be returned to the District's commercial bank account. The bank shall also be instructed to send receipts for transactions to the General Manager. i Midpeninsula Regional ' Open Space District R-12-01 Meeting 12-01. January 11, 2012. AGENDA ITEM 6 AGENDA ITEM Election of Board of Directors Officers for Calendar Year 2012 GENERAL MANAGER'S RECOMMENDATION Elect Officers of the Board of Directors for Calendar Year 2012. SUMMARY Pursuant to Section 1.22 of the District's Rules of Procedure, the Board is required to elect new Officers for the calendar year at its first regular meeting in January. The election will be held by signed ballot and counted by the District Clerk. After the election, the ballots will be available for public inspection. DISCUSSION The Board's Rules of Procedure list the order of officers to be elected as follows: President, Vice-President, Treasurer and Secretary. The District's Rule of Procedure Section 1.81 states that the Treasurer shall be a member of the Administration and Budget Committee (ABC). Board Officer Election Process Each Board Officer will be elected with separate voting ballots. The call for nominations for each Officer will be called first. Following the close of nominations, election of Board Officer will proceed. Elections will be by signed ballot and counted by the District Clerk. The Director receiving a majority of the vote of the members of the Board will be elected. After the election, the ballots will be available to the public for inspection. FISCAL IMPACT There are no unbudgeted fiscal impacts. i i R-12-01 Page 2 PUBLIC NOTICE Notice was provided pursuant to the Brown Act. No additional notice is necessary. CEQA COMPLIANCE No compliance is required as this action is not a project under the California Environmental Quality Act(CEQA). NEXT STEPS Staff will prepare a new roster of Board Officers for posting. Prepared by: Michelle Radcliffe, District Clerk Contact person: Steve Abbors, General Manager I f 2012 BOARD OFFICERS - ELECTION Nominations Office Ballot#1 Vote Ballot#2 Vote PRESIDENT Nominee: Nominated by: Second: ..e ` S Motion to Close: C Second: -P �,n�•u.VIS _ VICE PRESIDENT Nominee: �= Nominated by: �, Second: Motion to Close: Second: Ct TREASURE Nominee: ' Nominated by: L-am Second: I Motion to Close: Second: LAzi SE61#TARY Nominee: Nominated by: Second: Motion to Close: Second: ADMINISTRATION AND BUDGET COMMITTEE—APPOINTMENTS i t ° BALLOT PROCEDURES January 11, 2012 Order of nominations is called from highest office to lowest office: Each is handled as follows: 1. Clerk/President calls for nomination for<office>. 2. Board member nominates <name> for<office>. 3. Board member seconds the nomination for<name> for<office>. 4. Clerk/President asks if there are other nominations. 5. If none, Board member moves for nomination for the office of<office>to be closed. 6. Board member seconds the motion to close the nomination. 7. Clerk/President announces motion passes XXX to XXX. 8. Board members vote by ballot. Ballot is collected by the Clerk. 9. Clerk tallies the votes and announces that<X number>votes were cast for <name> for<office>. 10. Board President acknowledges <name> as <office>. i Midpeninsula Regional ' Open Space District r I R-12-02 Meeting 12-01 I January 11, 2012 AGENDA ITEM 7 j AGENDA ITEM Appointment of Administration and Budget Committee Members for Calendar Year 2012 GENERAL MANAGER'S RECOMMENDATION Approve the Board President's appointment of three members of the Board of Directors to the Administration and Budget Committee for Calendar Year 2012. SUMMARY At the first regular meeting in January, the Board of Directors must appoint new members to the III Administration and Budget Committee in accordance with Section 1.81 of the District's Rules of Procedure. DISCUSSION Per Section 1.81 of the District's Rules of Procedure, appointments to the Administration and Budget Committee shall normally be made at the first regular Board meeting in January and that the Board Treasurer shall be one of the three members of the Committee. The Board •f Directors will have elected their Treasurer for 2012 on January 11, 2012 (see Report R-12-01). Newly appointed ointed members will be the designated Directors to review and approve related budget business for calendar year 2012. Per Section 1.80 of the District's Rules of Procedure, the Board President shall appoint the Committee Board.m ee members with the consent of the oa d. FISCAL IMPACT There are no unbudgeted fiscal impacts. PUBLIC NOTICE Notice was provided pursuant to the Brown Act. No additional notice is necessary. 1 I R-11-04 Page 2 CEQA COMPLIANCE I No compliance is required as this action is not a project under the California Environmental Quality Act (CEQA). NEXT STEPS Staff will prepare a new roster of Administration and Budget Committee members for posting. Prepared by: Michelle Radcliffe, District Clerk Contact person: Stephen E. Abbors, General Manager I i Midpeninsula Regional Open Space District R-12-05 Meeting 12-01 January 11, 2012 AGENDA ITEM 8 AGENDA ITEM Adoption of Midpeninsula Regional Open Space District's(District) Resource Management Policies (RMPs) and approval of proposed Mitigated Negative Declaration (MND)and Mitigation Monitoring Program for the Resource Management Policies Project applicable to all District owned and/or managed lands GENERAL MANAGER'S RECOMMENDATION Approve the Mitigated Negative Declaration,the Mitigation Monitoring Program and the attached Resolution of Findings in accordance with the California Environmental Quality Act (CEQA) and formally adopt the District's RMPs as applicable to all District owned and/or managed lands. SUMMARY The RMPs were first adopted in October of 1994. A series of public workshops was held from 2005 to 2011 (See Attachment 2) in which each of the revised chapters of the RMPs was presented to the Board for review and tentative adoption. At the meeting of April 27, 2011, the Board of Directors reviewed the complete set of RMPs, tentatively adopted them to serve as the project description so that staff could begin the environmental review process. Staff is presenting ,,� the proposed MND Mitigation Monitoring Program and RMPs for adoption. II DISCUSSION As directed by the Board of Directors, an initial study under CEQA has been prepared and an MND has been proposed. FISCAL IMPACT If the proposed MND is adopted by the Board, a$2,044.00 CEQA filing fee is required. PUBLIC NOTICE A Notice of Intent(NO[) to adopt the proposed MND was circulated for public review from October 14 to December 14, 2011. An FYI regarding the public availability of the NOI for the R-12-05 Page 2 project was sent to the Board on October 19, 2011. During the public review period, the NOI, initial study, proposed MND, and the tentatively approved RMPs were available electronically (on the District' website) and in paper form (at the District's administrative office). The NOI was posted at the Santa Clara, Santa Cruz, and San Mateo county offices and circulated in three local newspapers: the San Mateo County Times, San Jose Mercury News, and Half Moon Bay Review. The NOI was also mailed to District Resource Management interested parties, and provided to partner agencies including (but not limited to): California State Parks, Cal Fire, California State Historic Preservation Office, California Department of Fish and Game, Committee for Green Foothills, Elkhorn Slough National Estuarine Research Reserve, Golden Gate National Recreation Area, History of San Jose, Land Trust of Santa Cruz County, Marin County Open Space District, Santa Clara Open Space Authority, Stanford University, Presidio Trust, Peninsula Open Space Trust, San Mateo County Farm Bureau, San Francisco Bay Regional Water Quality Control Board, Santa Clara Valley Water, Santa Clara County Parks, San Mateo County Parks, Sempervirens Fund, Save the Redwoods, US Forest Service, and the US Fish and Wildlife Service During the public review period, one request for additional information was received, and three written comments were received. CEQA COMPLIANCE Project Description The project consists of revised RMPs that are intended to be a document to help guide management and protection of plants, animals, water, soil, terrain, geologic formations, historic resources, scenic features, and cultural resources on District owned and/or managed lands. The RMPs are also intended to help guide the overall planning, budgeting, and decision making processes for individual preserves and for District-wide programs. The recommended CEQA action before the Board is the adoption of the proposed MND and Mitigation Monitoring Program developed for the RMPs. The Board is not determining how or when to implement any site-specific resource management project under the guidance of the RMPs. Rather the Board is completing CEQA compliance with regard to the RMPs. CEQA Determination An initial study for the RMPs has been completed and a MND is proposed. One mitigation measure identified in the MND has been designed to mitigate potential negative effects to land use to a level of insignificance. Copies of these documents were provided to the Board during the public and agency review period. The review period ended on December 14, 2011. Comments Received As of December 14, 2011, the District received one request for additional information and three written comments. Please see the attached response to comment (see Attachment 3). This completes the CEQA comment period for the project. R-12-05 Page 3 Mitigation Monitoring Program In accordance with CEQA, the District has prepared a Mitigation Monitoring Program, which describes the project-specific mitigation measure and monitoring process (see Attachment 4). The Mitigation Monitoring Program ensures that the adopted measure intended to mitigate a potentially significant environmental impact will be implemented. The project incorporates this mitigation measures. CEQA Findings Adoption of an MND requires that the Board adopt a Resolution of Findings. The required Resolution is attached to this Report as Attachment 1. NEXT STEPS If the proposed NIND is adopted by the Board, staff will file a Notice of Determination (NOD) (see Attachment 4) with the Santa Clara County Clerk. Filing the NOD starts the 30-day Statute of Limitations. Once the 30-day period is complete, the CEQA process is complete for this project. Should the Board approve the revised RMPs, staff would begin implementing the RMPs on a case by case basis and as appropriate for the specific resource management issue and its environmental setting. The RMPs will be a useful tool during day to day operations, during project planning, site specific planning, Use and Management planning and Master Planning. A copy of the final RMPs will be made available to the public on the District's website and hard copies will be provided to each Department Manager and to each field office. Attachments: 1. Resolution of Findings Pursuant to the California Environmental Quality Act 2. List of previous Board Meetings for the project 3. Comments Received and Response to Comments 4. Proposed Mitigation Monitoring Program Prepared by: Julie K. Andersen, Planner 11 Kirk Lenington, Senior Planner Contact person: Julie K. Andersen, Planner 11 Kirk Lenington, Senior Planner RESOLUTION NO. 12-XX A RESOLUTION OF THE BOARD OF DIRECTORS OF THE MIDPENINSULA REGIONAL OPEN SPACE DISTRICT ADOPTING THE MITIGATED NEGATIVE DECLARATION, THE MITIGATION MONITORING PROGRAM, AND THE FINDINGS IN CONNECTION WITH THE PROPOSED RESOURCE MANAGEMENT POLICIES WHEREAS The Board of Directors of the Midpeninsula Regional Open Space District("District") has reviewed the proposed Resource Management Policies Project and all associated actions ("the Project") and has reviewed the Mitigated Negative Declaration("MND") analyzing the environmental effects of the Project; NOW, THEREFORE, BE IT RESOLVED by the District Board of Directors that, based upon the Initial Study, Mitigated Negative Declaration, Mitigation Monitoring Program, all comments received, and all substantial evidence in light of the whole record presented,the Board of Directors finds that: 1. Notice of the availability of the Initial Study and Mitigated Negative Declaration and all hearings � on the MND was given as required by law and the actions were conducted pursuant to California Environmental Quality Act (CEQA) and the CEQA Guidelines. 2. All interested parties desiring to comment on the MND were given the opportunity to submit oral and written comments on the adequacy of the MND prior to this action by the Board of Directors. 3. Prior to approving the Project that is the subject of the MND, the Board has considered the MND, alongwith all comments received during the public review process. g p 4. The MND finds potentially significant effects with respect to Land Use and the Board hereby finds that these effects will be mitigated or avoided by Mitigation Measure No. LU-1 as described in the Initial Study and the MND and made a part of the Project. 5. The Board finds that, on the basis of the whole record before it, including the Initial Study and MND, that there is no substantial evidence that the Project will have a significant effect on the environment in that, although the proposed Project could have significant effect on the environment, there will not be a significant effect in this case since a Mitigation Measure has been made a part of the Project to avoid such effects. 6. The Board adopts the MND and determines that the MND reflects the District's independent judgment and analysis. 7. The Board adopts the attached Mitigation Monitoring and Reporting Program and will require it to be implemented as part of the Project. 8. The location and custodian of the documents or other material which constitute the record of proceedings upon which this decision is based are located at the offices of the General Manager of the Midpeninsula Regional Open Space District, 330 Distel Circle, Los Altos, California 94022. Midpeninsula Regional • ' Open Space District r ATTACHMENT 2 RESOURCE MANAGEMENT POLICIES LIST OF PREVIOUS BOARD MEETINGS: October 21, 2004- Resource Management Policies Prioritization Workshop March 30, 2005- Review, Discuss/Comment on Draft Water Resources Policy June 22, 2005- Tentatively Adopt Amendments to the District's Water Resources Policy September 27, 2006- Study Session to Review Draft Grazing Management Policy November 29, 2006- Study Session to Review Sudden Oak Death Policy January 24, 2007- Study Session to Review invasive Species Policy February 7, 2007- Tentatively Adopt Amendments to the Grazing Management Policy February 28, 2007- Second Study Session to Review Invasive Species Policy June 27, 2007- Study Session to Review Forest Management Policy July 11, 2007- Second Study Session to Review Forest Management Policy December 12, 2007- Presentation of Ecological Succession Policy May 14, 2008- Study Session to Review Habitat Connectivity June 11, 2008- Study Session to Review Cultural Resources Management Policy November 6, 2007- Study Session to Review Wildland Fire Management Policy December 4, 2008- Second Study Session to Review Wildland Fire Management Policy March 9, 2011- Workshop to review remaining six Resource Management Policies April 27, 2011- Tentative Adoption of the Revised Resource Management Policies as a whole I ATTACHMENT 3 MIDPENINSULA REGIONAL OPEN SPACE DISTRICT RESOURCE MANAGEMENT POLICIES INITIAL STUDY/MITIGATED NEGATIVE DECLARATION December 14,2011 Pursuant to CEQA Guideline 15073, the Initial Study and Mitigated Negative Declaration were circulated for public review. The public comment period began on October 14, 2011 and was scheduled to conclude on November 14, 2011. However, the District determined that an additional 30 day public comment period was appropriate. The extended public comment period concluded on December 14, 2011. The document was distributed in compliance with CEQA and also posted on the District's website. The purpose of this document is to respond to comments pertaining to the potential for significant effect on the environment as a result of adoption of the Resource Management Policies(hereafter"RMPs"). During the public comment period, comments were received from four commenters. This document responds to those comments. The District received both verbal and written comments. The comments are attached to this Response as Exhibit A. Responses are provided in numerical order to correspond with the attached compilation of comments received. RESPONSE TO COMMENTS Response to Commenter 1: Dave Abrevaya 1.) The commenter requested a copy of the following documents which were provided to the commenter on October 21, 2011: A copy of the District's Road and Trail Typical Design Specifications and the District's Best Management Policies. Response to Commenter 2: California Department of Transportation (Caffrans) 1.) The commenter had no comment on the RMP's. The commenter requested that the District consult with CalTrans prior to implementation of a policy or project that could potentially impact State facilities or mitigation matters. Comment noted. Response to Commenter 3: Craig Dremann 1.) (a) The commenter requested an extension of time to comment. The original 30 day comment period required by CEQA was extended 30 days from October 14, 2011 to December 14, 2011 to provide additional time for public review. (b) See Response to Comment I(a) above. 2.) The commenter stated the adoption of the RMP's is not a project under CEQA. The commenter supported the adoption of the policies provided the policies were not subject to CEQA review. According to Public Resource Code 21065, a "Project" under CEQA is: "an activity which may cause either a direct physical change in the environment, or a reasonably foreseeable indirect physical change in the environment, and which is any of the following:(a) An activity directly undertaken by any public agency. (b) An activity undertaken by a person which is supported, in whole or in part,through contracts, grants, subsidies, loans, or other forms of assistance from one or more public agencies. (c) An activity that involves the issuance to a person of a lease, permit, license, certificate, or other entitlement for use by one or more public agencies." Because adoption and implementation of the District's Resource Management Policies may directly cause a physical change in the environment and because it is reasonably foreseeable such adoption may cause an indirect physical change in the environment and is"an activity directly undertaken by a public agency", adoption of the RMPs is considered a"Project" subject to CEQA review. 3.) The commenter verbally discussed concerns relating to past grassland management projects at Russian Ridge Open Space Preserve and stated that he did not believe the area had been properly restored or maintained. The commenter's account of the District's past treatment of grasslands at Russian Ridge is noted. The RMPs provide a variety of goals and objectives to promote and enhance the ecological restoration of native vegetation and to control invasive species in order to foster restoration of native vegetation. These general guidelines are not site or project specific but will provide general guidance when considering implementation of a specific project at a specific site. RMPs at pp. iv-v. 4.) The commenter requested that the District void the portion of the District's 2001 CEQA Guidelines which he characterized as providing"a CEQA exemption for management of existing vegetation." This is not a comment pertaining to the IS/MND and is noted. For clarification, CEQA Statute 21082 requires each agency to adopt guidelines for administration of its responsibilities under CEQA. In 2001, the District adopted District Guidelines for the Implementation of the California Environmental Quality Act. The District Guidelines adopt the State CEQA Guidelines by reference and in the event of any conflict between the District's Guidelines and the State Guidelines, the State Guidelines control. As required by CEQA, the District Guidelines identify typical District projects that may qualify for categorical exemptions unless due to the particular facts and circumstances of the activity, or due to unusual circumstances, the activity does not qualify for a categorical exemption under the State CEQA Guidelines. While maintenance of existing native vegetation is listed as a typical District activity, there is no provision in the District Guidelines exempting all vegetation management from review under CEQA. The District determines the appropriate level of CEQA review on a site- specific and project-specific basis. 5.) The Initial Study and the Mitigated Negative Declaration is the appropriate level of CEQA analysis for adoption of the RMPs. Implementation of individual projects resulting from adoption of the RMPs that may have a significant impact on the environment will be subject to further evaluation under CEQA. These discrete projects will be assessed on a site- and issue-specific basis, with general guidance from the RMPs for informed, consistent, and effective resource management decision-making. RMPS at p. iv. Such projects will be subject to the appropriate level of environmental review needed in order to specifically address environmental concerns that may pertain to that project. See also the response to Comment 2 above. 6.) The commenter recommends the District develop agency-specific thresholds of significance. Thresholds are qualitative, quantitative or performance levels of a particular effect (such as level of traffic congestion)compliance with which normally means the effect will be less than significant. Development of agency- specific thresholds of significance is not required by CEQA. The District relies on standard CEQA thresholds in determining significance. 7.) (a) The commenter recommended that the District secure funding to restore native grasslands at Russian Ridge Open Space Preserve. Comment noted. These comments have been forwarded to the Board and District management team. (b) The commenter discussed past vegetation management at Russian Ridge Open Space Preserve. Comment noted. The commenter was encouraged to submit further comments pertaining to the RMPs. 8.) The commenter provided his opinion that in conducting environmental review, the District uses categorical exemptions too broadly and cited past instances where he believes this has occurred. No CEQA exemption is proposed for the adoption of the RMPs. The commenter stated his belief that the IS/MND is inadequate. The commenter did not specify in what manner the document is inadequate or why he contended that adoption of the RMPs would have a significant adverse effect on the environment. Comment noted. 9.) See Response to Comment 2 above. 10.) The commenter states adoption of the RMPs requires an Environmental Impact Report. The commenter did not specify why the IS/MND is not an adequate level of environmental review. The determination of whether an EIR is the appropriate level of CEQA review can only be made after an analysis of a specific project and an assessment of potential adverse and significant effects that it has the potential to cause. Comment noted. 11.) The commenter states the IS/MND is inadequate in that it consists of only a checklist and the document fails to identify what potentially significant effects the RMPs may have and what mitigation measures are proposed to avoid such effects. The commenter does not specify which effect is not identified. The Initial Study is based upon the Environmental Checklist Form provided by the Office of Planning and Research and found in the State CEQA Guidelines as Appendix G. Use of this Form is the appropriate manner in which to determine whether the RMPs may have a significant environmental effect. For each environmental factor listed in the Checklist, the document assesses both existing environmental conditions with respect to that factor and evaluates whether adoption of the RMP's would potentially have a significant impact on that factor. The basis for each conclusion with regard to potential impact is explained. Where a mitigation measure is needed to avoid a potentially significant effect, it is stated. See e.g. Land Use Section XL The commenter also states that EIR's are required for District projects. See Response to Comment 10. 12.) The commenter states that past vegetation management bums at Russian Ridge Open Space Preserve were not conducted with the proper level of CEQA review. The commenter states that invasive weeds were increased as a result of past vegetation management efforts and native grasses were significantly and adversely effected. The RMPs will be used to provide general guidance for resource management actions District-wide. They are not site-specific, nor do they mandate the use of prescribed bums for any particular site. These general Policies will be useful guidance and information when the District is determining the site specific management actions that may be appropriate for a particular site or issue. They provide general guidance to the District about how future management actions at the site might be developed. When site-specific projects are proposed, such projects will be subject to evaluation under CEQA to determine the appropriate level of environmental review, and, if warranted by CEQA, assessing site specific environmental impacts and development of necessary mitigation or alternatives analysis. Implementation of the Resource Management Policies is subject to funding availability, competing District needs, and overall feasibility. The commenter provided information regarding the numbers of weeds and of native vegetation that the commenter states were once, or are now, present at the site. The District will take this comment into consideration when planning future site specific management actions at Russian Ridge Open Space Preserve. 13.) The commenter states that all herbicide spraying done on District lands requires an EIR. The RMPs do not mandate the use of herbicides or other pesticides for any project. For example, in Invasive Species Management Section IV, the RMPs provide guidance that when it is determined for a specific project that no other methods of control of invasives are effective, the least toxic herbicides may be chosen and applied in an environmentally safe manner and directed narrowly at the target invasive. The RMPs also state that the suitability of a particular RMP can only be determined on a site-specific basis given the circumstances and conditions to be addressed. Under some circumstances, deviation from a particular RMP may represent a more effective resource management approach given applicable factors. RMP at pp. iv-v. 14.) See Response to Comment 4 above. 15.) See Response to Comments 2, 5 and I I above. 16.) The commenter requests that an EIR be prepared for any District weed or grassland management projects or herbicide use. As a public agency, the District will adhere to the California Environmental Quality Act(CEQA). The level of CEQA review for a particular project is determined on a site-specific and project-specific basis. When appropriate given the circumstances, an Environmental Impact Report (EIR) will be prepared to inform District decision-makers and the general public of significant environmental effects of a project, ways to minimize significant effects, and discussion of reasonable alternatives to a project. Response to Commenter 4: Ken Nitz 1.) The commenter stated that the RMPs should include a policy addressing agricultural land management. In 2003, the District established robust policies addressing agricultural activities as a component of the Coastside Protection Program during the extension of the District's boundaries to include coastal San Mateo County. These policies apply within the Coastside Protection Area boundaries. Virtually all of the District's lands with agricultural activities are located within this Coastside region and therefore subject to these policies. Therefore, the need for inclusion of a stand-alone agricultural policy in the RMPs was determined to have less priority than the RMPs which had not been revised in their entirety since creation in 1994. 2.) The commenter notes that language within the Water Resources Section V of the RMPs is potentially confusing in the description of water resources habitats and suggests the use of the following text in place of the existing text in the document: "District open space lands contain a variety of water resources that include such diverse habitats as freshwater wetlands (including ponds and seasonal wetlands) and watercourses, salt water tidal wetlands...." RMPs at p. 23. The District will make the recommended change for clarity. 3.) The commenter provided his opinion that Policy WR-7 does not adequately address the management needs of ponds or lakes in comparison to policies and implementation measures addressing streams. Many of the policies within the Water Resources Section apply to any watercourse, wetland, or aquatic habitat. The District believes that the policy and implementation measures presented adequately address the management needs of ponds and lakes. Comment noted. Exhibit A: Comments and Correspondence Received on Resource Management Policies Commenters: 1. Dave Abrevaya, Member of the public, email to Julie Andersen, Planner 11 on 10/21/2011. 2. Gary Arnold, District Branch Chief, California Department of Transportation, letter to Julie Andersen, Planner 11 on 10/3 1/2011 3. Craig Dremann, Member of the public, emails to Michelle Radcliffe, District Clerk on 10/19/2011 and ll/l/201 1,telephone calls to Julie Andersen, Planner 11 on 10/19/2011 and 11/2/2011, and email to Julie Andersen, Planner 11 on 11/2/2011. 4. Ken Nitz, Member of the public, emails to Kirk Lenington, Senior Planner on 12/14/11 and 12/15/11. Julie Andersen From: Dave Abrevaya Sent: Friday, October 21, 2011 6:43 AM To: Julie Andersen Subject: Request for information Julie, I was reviewing proposed RIVIP and would like to know how I might get copies of related information I could not find on District's website. Could you send me a copy of, or link to: Road and Trail Typical De- El sign Specifications,prepared by: Best,T.C.Certified Engineering Geologist,2008 and also the District's current Best Management Policies? Thank you, Dave Abrevaya Slti,f-t1I ("A- i)q(tlly Bt,�h,,ESl4- TA si=utzi•13tc) A?!'>!lf)1"[{6,j< E_ C1' ._ , .. __-L..I>L1I-.NI) Id12t7V1ti J (: smre DEPARTMENT OF TRANS PORT"ATION� I I I GRAND AVI NUE I'.C) BOX 23660 OAKLAzND,CA 94623-0660 PHONE(510')286-5541 � � /7e.r cnnrlmti,erl Beenor y e iclentl I-IN 711 6/yj� 1J, October 31, 2011 SLCVAR020 SC1I2011102020 Mrs. Julie K. Andersen Midpeninsula Regional ©pen Space District 333 Distel Circle Los Altos, CA 94022 Dear: Mrs. Andersen Resource :Management Policies/Initial Study—Negative Declaration Thank you for including the California Department of Transportation in the environmental review process for the project referenced above. We have no comments at this time for this project, but at the time that the district goes to policy implementation,we request that you consult with us to 0 determine any potential impacts to State facilities or mitigation matters. Should you have any questions regarding this letter, please call Keith Wayne of my staff at (S 10) 286-5737. Sincerely, X h �r 1 J S GARY IARNOLD District Branch Chief Local Development-- Intergovernmental Review c: State Clearinghouse "'Caltrans improves mo8ilitY across California" Julie Andersen From: Michelle Radcliffe Sent: Wednesday, October 19, 2011 1:08 PM To: Julie Andersen Subject: FW:Always appreciate your help FYI i Michelle Radcliffe, CMC District Clerk mradcliffe(@openspace.orR Midpeninsula Regional Open Space District 330 Distel Circle, Los Altos, CA 94022 P: (650) 691-1200 - F: (650) 691-0485 I -----Original Message----- From: Craig Dremann - Redwood City Seed Company Sent: Wednesday, October 19, 2011 12:19 PM To: Michelle Radcliffe Cc: Subject: Always appreciate your help Dear Michelle, Thanks for your help today, and your email with the link to that Policy that has a 30-day public comment period. I am hoping in the future, that any 30 day comment periods that your District starts in the future, please do not start the clock on the day you mail out the notices, but start the 1a comment period the day when you would expect us to receive the notices in the mail? For example, we lost 10% of our comment period, by the District mailing this notice out on a Friday, and it took to get to us at least until Monday, cutting three days off this current public comment period. I always appreciate your help, and look forward to my other requests. Sincerely, Craig 1 Julie Andersen From: Michelle Radcliffe Sent: Tuesday, November 01, 2011 5:07 PM To: Craig Dremann-Redwood City Seed Company Cc: Julie Andersen Subject: FW: Permission to submit public comments to you by email? Dear Mr. Dremann- Thank you for your email and phone call this afternoon. I wanted to inform you that public comments submitted via email will be accepted. Please send your comments to Resource Planner Julie Andersen at iandersen(a)openspace.ora. I also wanted to inform you that the District is working on an Amended Notice of Intent to Adopt to extend the comment period until December 14, 2011 and will be moving the public meeting date to the January 11, 2012 Board meeting. A copy of the Amended Notice will be mailed out next week. Thank you for your continued interest in the District. Please let me know if you have any questions. Sincerely, Michelle Michelle Radcliffe, CIVIC District Clerk mradcliffe(a.openspace.om Midpeninsula Regional Open Space District 330 Distel Circle, Los Altos, CA 94022 P: (650)691-1200-F: (650)691-0485 a----- -----Ori Original Message 9 -Redwood i d Company From: Craig Dremann ed ood City See p y Sent:Tuesday, November 01 2011 1:05 PM I To: Michelle Radcliffe Cc: BOARD; Sue Schectman Subject: Permission to submit public comments to you by email? Dear Michelle, I got a notice in the mail, of Intent to Adopt a Mitigated Negative Declaration for Project: Policies outlining Resource Management on District. The notice that was mailed out to the public, states that the public must submit any comments in writing by mail, and no other methods are listed in the notice. I want to get permission to submit my comments by email to you as the Board Clerk, and that my emailed comments would legally be accepted for i i the record when received by the District in that manner. I am objecting to the 30-day comment period starting on the day that the notice was mailed out,on a Friday, so in effect,the public lost 10%of our 30-day comment period for this action, because we did not receive the FIE] notice until after the weekend. The 30-day comment period should have started when we would have reasonably received the notice in the mail. Sincerely, Craig i I i 2 I October 19, 2011 Documentation of telephone call with Mr.Craig Dremann Mr.Dremann called to discuss the Notice of Intent(NOI)he received regarding the District's Resource Management Policies(RMPs). Mr. Dremann had concern with the timeline provided for public review(see attached email from Michelle Radcliffe). I let Mr. Dremann know that the NOI was posted on the District's website on Oct 12,as well as published in three local newspapers, posted at the three county offices,and sent to the State for posting on Oct. 14.The additional notification to the Resource Management interested parties list was mailed on Oct 14,which Mr. Dremann felt was insufficient(see email). Specific to the RMPs, Mr. Dremann stated that a Policy cannot be considered a project under CEQA,and that the District cannot arrive at a Negative Declaration on a Policy(because it is not considered a project under CEQA). Mr. Dremann did indicate support for the District to formally adopt the Policies, provided that the process is IZI removed from CEQA. Mr. Dremann also discussed additional concerns regarding the District's treatment of grasslands at Russian I Ridge. He provided a timeline of District actions from 2001-2011 that he does not believe support proper Ui 3 maintenance or restoration. Mr. Dremann identified the following as next steps for the District: 1. Get rid of the 2001 Board Resolution that provides the District with a CEQA exemption for I management of existing vegetation. 2. Do not consider the RMPs under CEQA;separate the public comment and Board approval process from CEQA.Send out another notice that the RMPs are not a"Project" under CEQA, but that the District would like the public to comment and then adopt the Policies. 3.The District should begin writing thresholds for CEQA exemptions ' Mr. Dremann stated that he cannot get the Board to stipulate (legal term)that Russian Ridge was one of the best examples of native wildflowers in the state(circa 1996). He would like the Management team to go to the 7D Board in support of his statement and have the District secure funding to restore the grasslands at Russian Ridge to circa 1996 vegetation. He would like to see annual funds dedicated to grassland restoration at Russian Ridge. I explained to Mr. Dremann that I could not speak to the District's work at Russian Ridge. I pointed him to the Vegetation Management and Invasive Species chapters in the RMPs and asked that he review these chapters to determine if they are in support of the type of work and monitoring that he would like to see performed at Russian Ridge. He also pointed out the picture of invasive Harding grass on the front of the spring newsletter 7b and stated that it is not the message the District should be sending(especially given his past communications). I pointed out to him that the RMPs do include direction for the District to perform monitoring, restoration and public education and outreach. I let Mr. Dremann know that I documented his comments(in write up), but that I also encouraged Mr. Dremann to provide his comments in writing to ensure I captured his comments correctly. Reoord of Telephone Conversation Y4 Date: h 1 2_J ZC, i 1 Time: 1\ -6G7 ' Person calling: Person called: ���C�� " �` `' { GeA Nci c'c,l\ , Prcject'Subject: .�"� Phone: ext. Message: 04 r 1 . w 4 , 1, '1 y - ,) �--Y . ef\OV6 1 env. C, canalyS S lxxcle ..r�, �c c.tc,,re-N CJc no+ c k c i F CIU t T process, i f i-s "eo de `�,, �j F C. �1 { J�i elk� i'Vr� ft� c '� � � Julie Andersen � From: Craig Dremann Redwood City Seed Company � Sent: Wednesday, November O%. 2O112:O8PK8 ,o: Julie Andersen Cc: Subject Comments on the Project: "Policy...Resource Man..^ Neg. Dec, Dear Ms. Andersen, Thank you for your time on the phone today. and I am putting in writing my comments about � your proposal of the Notice of Intent to Adopt a Mitigated Negative Declaration for the � Project: Policies outlining Resource Management on District Properties (hereinafter � "Policies"), . 1') NEED TO SEPARATE DISTRICT POLICIES from [EgA. As we were discussing on the phone, if the Board wants to put out for public comment the District's policies on Resource Management, and then the Board approves them at a future meeting, that could be a way to do those legally. �J uu However, when you put your policies through the [EgA process as a "project", and then give | | your document a Mitigated Negative Declaration, that is not legal. . Your District should know that if you want to submit to the public and the Board, your � Policies as a CEg4 document' you must submit it as a full EIR, not with a Neg. Dec, or Mitigated Neg. Dec. The reason is that the document as written does not give the public LL�J sufficient environmental analysis to support a Neg. Dec. or Mitigated Neg. Dec' finding. | 2.) SIGNIFICANT ENVIRONMENTAL IMPACTS lacking in policies. Furthermore, the document is inadequate' only a [EQ8 checklist and you have failed to identify details of what significant environmental impacts your policies or projects may have, and how you are planning to mitigate them. Additionally' all of my dozens of emaiIs since 2006 to the Board, alerting the District that projects conducted without ERs in the past, need to have full EIRs for the future, because � the CEgA "Fair Argument" threshold has been crossed, because measurable and significant | / | environmental damages have occurred. 3') FIVE ILLEGAL RUSSIAN RIDGE BURN DAMAGES, WHERE IS THE MITIGATION? For example, the five illegal burns on Russian Ridge conducted by [ALfIRE for the last decade, without any � monitoring the before-and-after effects of the burns on the resources, and no EIRs with alternatives offered to the public or Board, have had a significant measurable negative FT-21 impact on the environment, killing 99% of the best example of non-serpentine native grass resource in the San Francisco Bay Area. The State of California considers non-serpentine � wildflowers and native grass resources as our second rarest plant community, after vernal | | � | | � pools. And mitigation for the damages done to the resource needs to he addressed in any Policy document that is written for the future' My profession estimate is that $20 million dollar � worth of fire damages have been done at Russian Ridge, how much the mitigation will cost to Bet the wildflowers, native grasses and weeds back where they were, prior to the first burn in 1996. / That means managing the weeds that were spread by the five fires, like the 808,000 Ital;ian � thistle plants` and the 527,622 Harding grass plants, and the 152^000 yellow star thitlse plants, and the Z million wild oats plants, for example' And also restore the fire-killed | | resources, that include 200^800 Sitanion grass plants' 156,000 NassuIIa pulchra plants that were lost in the fires, 32,000 Melica grasses, 20,000 Festuca grasses, 20,800 Koeleria � grasses' 500,088 annual tarweeds, 500,000 owls clover plants, 488`000 Layia wildflowers, z 234,000 White Yarrow plants, 160,000 Amsinckia plants, 53'800 lupines, 40,008 native Planta8o, 48,000 miners lettuce, 40,000 coyote mint plants, 40,000 California poppy plants, | 40'000 blue eyed grasses, 12,000 popcorn flowers' 12,880 buttercups, and 18,080 Farewell to � Springs. You have to have some substantial environmental analysis to support what you are proposing For your policies. 4') ILLEGAL HERBICIDE SPRAYING WITHOUT AN EIR. All of the herbicide spraying that has been | done on all of the District's properties without any EZRs, and no alternatives offered to the FT�| | ' public or the Board, is illegal under [EgA^ and [EgA does not allow for any exemptions for � ' the use of herbicides in wiIdlands without an EIR' | 5') ILLEGAL 2801 RESOLUTION EXEMPTION. And add insult by the District to [EQA even further, was the illegal [EgA exemption placed in the 2001 District Resolution #01-29. We should all F�� � know that the District cannot categorically exempt itself from [EpA' and to never write an � EIR, for "Management of existing native vegetation," but that is exactly what the Board tried | � | � to do in their 2001 resolution. � The District should know, that native vegetation [EgA Categorical Exemption is illegal, is vague, arbitrary, capricious' and unenforceable' � � Therefore' please let me know when you will be putting a new resolution on the Board's agenda to vote' to nullify, cancel, and void that illegal exemption' 6.) RESUBMIT POLICIES without [EgA: What I am hoping, is that the District will reconsider the Policies as a CEQA project, and resubmit it for public review without any [Eg& connection attached and then the Board adopts it. [�El This is because when the Policies are framed within CEgA' the public is unable to comment on L�� � it, especially when the District is assigning a Neg. | | Dec. to it, without sufficient environmental analysis. . 7') FULL EIRs ON ANY 2812 PROJECTS WITH POTENTIAL ENVIRONMENTAL DAMAGES' I am hoping that before the District starts or continues any weed management or herbicide projects for FY 2012' the District starts the process of writing full EZRs for all of these � projects--like herbicide spraying, like weed management, like wildflower and native grassland F��l management--or whatever other projects may cause massive environmental ��� damage, like your past projects that lack EIKs' already have. The Board and Public need to see a full environmental review of these projects, plus alternatives � offered, including a "no project" alternative. � Sincerely, Craig Dremann � � � � � z � � � . | Kirk Lenington From: KanNdz Sent: :23AM � To: Kirk Lenngbon; Steve Abbor ; Curt Riffle Cc: Subject: Re:Adoption of the Midpenimsula Regional Open Space District's Resource Management � � Policies Hi Kirk, � � Good tosee you last night. � This isan impressive piece ofwork! |can see that lots of time,effort and thought went into its creation. Great job! � � One question. I read that the District recently jumped over the 60K acre line with the lease of some agricultural land near HK48 which is also along astream. The report does not call out specifically agricultural land(grazing and forest are �] all I saw)and with this addition it seems at first light,that it should (and what practices, runoff,pesticides,plowing �J methods etc. (as was done with grazinQ)). I think it is a lease which might make a difference, but it is now under District | | authority,so under District Resource Policies. again a great job! � —ken On 11/I4/2011 J:64 PM, Kirk Leningtonwrote: Dear Colleagues and Contributors, � � It's taken us some time,but I'm happy to announce that the Board of Directors for the Open Space District will be adopting the Resource Management Policies on January 11'JO13. Many of you helped to prepare these policies and the � attached notification was prepared to announce our intention tu adopt a Mitigated Negative Declaration (K8ND)for this � project. | appreciated all of your support and contributions tu this project. Please feel free to contact myself or Julie Andersen if you have any questions,concerns,or comments on the Policies or the IVIND document. � Warm regards, � Kirk � Sk � � Kirk Lenington � Senior Resource Planner Midpeninsula Regional Open Space District � 330 DiSte| Circe, ltOs, CA940Z2 | 1 P: (650) 691- OO | F: /650\ 691-0485 � z � � Kirk Lenin ton From: Ienneth Nitz Sent: hursday, December 15,2011 1:59 PM To: I irk Lenington Cc: Steve Abbors; Curt Riffle Subject: esource Management Policies Hi Kirk, In looking over the Water esources section (page 23), I was confused by some definitions. "contain a variety of water resources that include such diverse habitats as freshwater wetlands and watercourses (including ponds and seasonal wetlands)" I'm confused by the it watercourses(including 3onds and seasonal wetlands)" because in the paragraph below it is: "Watercourse is a generic term used to define any land feature that conveys concentrated flow, regardless of whether the flow is ephe eral..." which makes it sound like a stream/river, but you have watercourses(including ponds and seasonal wetlands)" which makes it sound like it includes still bodies of water. so maybe it should be " wetlands(including pon Js and seasonal wetlands)" ? but wetlands in its definition sounds more like a swampy area or baylands area, not so much ponds(and lakes since the District also has lakes(although small). So, I think that ponds/lak s should be clarified a bit better. Also in WR-7, it really doesn't do much for the District's ponds/lakes. No determination of siltation (Shilling Lake, Sausal Pond) (-although mentioned in other WR Policies, it should be mentioned here as well) , no measurement of oxygen levels, no determination of depth/size, etc. Seems like ponds(and lakes)are getting a short shrift compared to streams. thanks again for a great report. --ken Ken Nitz 1 I MITIGATION MONITORING PROGRAM RESOURCE MANAGEMENT POLICIES �I Districtwide State Clearinghouse Number: 2011102020 i Santa Clara Santa Cruz and San Mateo n i Cou t es CA December 14, 2011 i Midpeninsula Regional Open Space District 330 Distel Circle Los Altos, CA 94022-1404 DISTRICTWIDE RESOURCE MANAGEMENT POLICIES MITIGATION MONITORING PROGRAM This mitigation monitoring program (MMP) includes a brief discussion of the legal basis and purpose of the program, a key to understanding the monitoring matrix, discussion and direction regarding noncompliance complaints, and the mitigation monitoring matrix itself. LEGAL BASIS AND PURPOSE OF THE MITGATION MONITORING PROGRAM Public Resources Code (PRC) 21081.6 requires public agencies to adopt mitigation monitoring or reporting programs whenever certifying a mitigated negative declaration to insure compliance with the mitigation measure. This requirement facilitates implementation of all mitigation measures adopted through the California Environmental Quality Act(CEQA) process. MONITORING MATRIX The following pages provide a series of tables identifying the mitigation incorporated into the Districtwide Resource Management Policies(the project). The mitigation measure is reproduced from the Mitigated Negative Declaration for the project. The columns within the tables have the following meanings: Number: The number in this column refers to the Initial Study section where the mitigation is discussed. Mitigation: This column lists the specific mitigation identified within the Mitigated Negative Declaration. Timing: This column identifies at what point in time, review process, or phase the mitigation will be completed. Who will This column references the District staff that will ensure implementation verify? of the mitigation. Agency This column references any public agency or District Department with Department which coordination is required to ensure implementation of the mitigation. Consultation: California Department of Fish and Game is listed as CDFG. The United States Fish and Wildlife Service is listed as USFWS. Verification: This column will be initialed and dated by the individual designated to confirm implementation. NONCOMPLIANCE COMPLAINTS Any person or agency may file a complaint asserting noncompliance with the mitigation measure associated with the project. The complaint shall be directed to the District's General Manager in written form, providing specific information on the asserted violation. The General Manager shall cause an investigation and determine the validity of the complaint, if noncompliance with the mitigation has occurred, the General Manager shall cause appropriate actions to remedy any violation. The complainant shall receive written confirmation indicating the results of the investigation or the final action corresponding to the particular noncompliance. LOCATION AND CUSTODIAN OF RECORD OF PROCEEDINGS The location and custodian of the documents or other material which constitute the record of proceedings upon which this decision is based are located at the offices of the General Manager of the Midpeninsula Regional Open Space District, 330 Distel Circle, Los Altos, California 94022* Who will Department Verification Number Mitigation Timing or Agency (Date c& verify? Consultation Initials Mitigation Mitigation Measure LU-1: In implementing the RMPs through(but not During individual Individual To be Ongoing in Section limited to) site specific projects, Use and Management Plans and Master project project determined through regular X1. Land Plans the District shall obtain all necessary permits and approvals from implementation managers on a case by course of day Use appropriate federal, State,and local regulatory agencies with jurisdiction case basis, to day business over the project. project specific, i I V. K��� RESOURCES �� . ���� U ���� BACKGROUND Water is essential to |iha on earth and is also one of the most important � forces shaping habitats and bimdivermitv' District open space lands contain a variety of water resources that include such diverse habitats � as freshwater wetlands,. and vnmtemcowrw . salt vvabsr Ude| | wetlands within San Francisco Bay, and groundwater resources such as aprings, saeps, and underground aquifers. These water resources have natural, scenic, recreoUono|, noianUfic, and educational values. |ngen- � era|, this policy will discuss waters (sag ponds, artificial impoundments, |ohes, and aquifers), watercourses (such os streams and creeke), and wetlands. These terms are discussed further below. "Watero^ isa term that is broadly used ho describe all aquatic systems. This policy defines ^vvmbyna^ an areas of standing vvobsr, both seasonal and parmanent, such as lakes and pondo, as well as underground aqui- fers. "Watercourse" is a generic term used to define any land feature � � that conveys concentrated water Oow, naQard|aes of whether the water � flow is ephnrnena|, internnittent, or perennial. "Wetlands" are distin- guished by the presence of water, either at the surface or within the root � zone. Wetlands have unique soil conditions that differ from adjacent uplands and support vegetation adapted bz wet conditions. Wetlands provide ohUco| ecological functions and habitat for o variety of fish, vvi|d- |iha. and plant species Wetlands are lands that are transitional between tanaobia| and aquatic systems. The water table is usually edor near the surface, or land is covered by shallow water. Some functions of wetlands include the fol- lowing: provide habitat for fish and equodo vvi|d|ife, offer foraging habitat or water for terrestrial vvi|d|iha and birds. absorb flood vvub»ra, reduce mno- sion, recharge aquihars, cleanse po||ubanto, provide aesthetic vo|ueo, support unique plant associotions, and provide habitat for many rare species of plants and wildlife. In California, xvaUonde of all types have been greatly reduced in area from their historic extent and are being ra- pidly lost oradversely impacted. 23 Midpeninsula Regional • ' Open Space District s y R-12-09 Meeting 12-01 January 11, 2012 AGENDA ITEM 9 AGENDA ITEM Consider approval of a trail construction agreement and trail easement agreement with California Water Service Company (Cal Water) for a trail connection between the El Corte de Madera Creek Open Space Preserve and the Bay Area Ridge Trail on Cal Water's Bear Gulch Watershed property located on the east side of Skyline Boulevard (State Highway 35) across a portion of San Mateo County Assessor's Parcel Numbers 072-271-040 and 072-280-060. GENERAL MANAGER'S RECOMMENDATIONS 1. Approve a trail construction agreement with Cal Water for a trail connection between the El Corte de Madera Creek Open Space Preserve (Preserve) and the Bay Area Ridge Trail on Cal. Water's Bear Gulch Watershed property. 2. Approve the attached resolution granting the General Manager the authority to execute a subsequent trail easement agreement with Cal Water upon the completion of the trail construction pursuant to the terms of the trail construction agreement. p g 3. Withhold dedication of the trail at this time. SUMMARY I The Midpeninsula Regional Open Space District (District) is proposing to enter into a trail construction agreement and subsequent trail easement agreement with Cal Water which will provide a trail connection from the Preserve to the Bay Area Ridge Trail on Cal Water's Bear Gulch Watershed property. This trail connection is a component of the larger El Corte de Madera Creek Parking/Staging Area and Trails Project(Parking/Staging Area and Trails Project). The following report presents a description of the proposed trail location, trail I construction agreement, and trail easement agreement. DISCUSSION Background On April 9, 2008,the Board approved (See Report R-08-56) a tentative amendment to the El Corte de Madera Open Space Preserve's Use and Management Plan in order to construct a new paved parking lot, construct new trail improvements, realign a segment of the Steam Donkey R-12-09 Page 2 Trail, sign designated roadside shoulders along Skyline Boulevard (State Highway 35) as "No Parking Zones," and close the CM04 entrance to public use. The Board also asked staff to evaluate the feasibility of relocating an informal trail/pedestrian crossing on Skyline Boulevard that currently exists near Gate CM04. On February 10, 2010, the Board adopted (See Report R-10-3 5)the Mitigated Negative Declaration and Mitigated Monitoring Program for the Parking/Staging and Trails Project and approved an amendment to the Preserve's Use and Management Plan consistent with the tentative amendment that was approved in 2008 with the addition of moving the existing informal Skyline Boulevard trail/pedestrian crossing to a location further north from Gate CM04. Trail/Pedestrian Crossing Staff explored the entire length of the Preserve in search of a crossing location along Skyline Boulevard with adequate sight distances. Another criterion included the feasibility of connecting the crossing to the existing trail system in the Preserve as well as the Bay Area Ridge Trail east of Skyline Boulevard. The steep, rugged, and heavily forested terrain and the constrained sight distances resulting from the winding and rolling nature of Skyline Boulevard narrowed the focus to a site located approximately 1,000 feet south of Gate CM02. This section of highway is relatively flat and is one of a few straight sections of road along the Preserve boundary. It is also the only area of the highway along the Preserve boundary that legally allows vehicle passing, based on Caltrans road markings. The traffic engineering consultants working on the project calculated required sight distances at the crossing location and verified in the field that the existing sight distances meet Caltrans requirements. Staff determined that trail access to both the Preserve trail network and the Bay Area Ridge Trail is feasible at this location given the elevation and the distance of both existing trail systems to the highway. Grant In October 2011, staff submitted a grant application for$282,000 to the Bay Area Ridge Trail Council (Ridge Trail Council) and Coastal Conservancy for the construction of three trails. The first trail (Connector Trail) will link the new Preserve staging area to the existing trail system, and the second and third trails (collectively known as the Crossing Trail) will connect the Preserve with the existing Bay Area Ridge Trail on Cal Water's property. The Crossing Trail includes a trail on the District Preserve (west side of Skyline Boulevard) and a second trail on the Cal Water property(east side of Skyline Boulevard). The Ridge Trail Council's Executive Committee voted to endorse the District's funding request, and it is expected to be considered by the Coastal Conservancy's Board in January 2012. Project Description (see Attachment 2) Trail Description (Crossing Trail on Cal Water property) The trail connection between the Preserve and the Bay Area Ridge Trail must pass through Cal Water property. The proposed trail will be approximately 1,150 feet in length, no more than six feet in width, and for public recreational pedestrian and equestrian use. Cal Water does not permit mountain biking on their property. R-12-09 Page 3 Trail Construction and Easement Agreement District trail easement agreements generally allow for a 20-foot wide easement area in order to allow the District latitude when both constructing and maintaining the trail. While Cal Water and District staff agreed upon a 10-foot wide easement area for the trail connection, Cal Water is unwilling to grant the District a 20-foot wide easement area across its property for trail construction and maintenance. Due to the limited easement area, the parties devised an alternative solution of utilizing the proposed temporary trail construction agreement. The trail construction agreement would provide for a 20-foot wide path for construction. Once the trail is constructed, the District would survey the trail and the District and Cal Water would execute a 10-foot wide trail easement agreement, the form of which is an exhibit to the construction agreement. The trail easement agreement would provide that in the event that a landslide, drainage problem, or other trail failure necessitates trail repairs outside of the 10-foot wide trail easement corridor, the District may seek Cal Water's consent to undertake repairs outside of the easement boundaries and Cal Water's consent would not be unreasonably withheld. The trail easement agreement contains a termination clause under California Public Utilities Code Section 851 and Rule 69 in which Cal Water or the Public Utilities Commission may terminate the easement if it determines that it is in the interest of its service to its patrons or consumers. Based on conversations with Cal Water staff and the nature and location of the property upon which the easement will be located all parties agree that it is very unlikely that the easement will ever be terminated. USE AND MANAGEMENT The Use and Management Plan for El Corte de Madera Creek Open Space Preserve was amended by the Board on February 10, 2010. The said Use and Management Amendment addresses this phase of the project. CEQA COMPLIANCE The Board adopted a Mitigated Negative Declaration and Mitigated Monitoring Program for the El Corte de Madera Creek Parking/Staging and Trails Project in accordance with the California Environmental Quality Act (CEQA) on February 10, 2010. The said Mitigated Negative Declaration and Mitigated Monitoring Program address the CEQA compliance for this phase of the project. FISCAL IMPACT The FY2012-13 budget contains funds to cover the costs associated with this work, including the fees and survey services necessary to record the easement. Therefore, sufficient funds exist in the current budget, and the proposed action does not result in an unanticipated increase to the budget. R-12-09 Page 4 PUBLIC NOTICE Public notice was also provided as required by the Brown Act. NEXT STEPS Upon approval by the Board of Directors, staff will continue with the grant application process, constructing and surveying the new trail easement segment, then executing the trail easement with Cal Water. Attachments: 1. Resolution 2. Map 3. Trail Construction Agreement (Easement Agreement is Exhibit D) Prepared by: Allen Ishibashi, Real Property Specialist Contact person: Same as above Graphics prepared by: Alex Roa, GIS Intern Zachary Alexander, Planner I RESOLUTION 12-XX RESOLUTION OF THE BOARD OF DIRECTORS OF MIDPENINSULA REGIONAL OPEN SPACE DISTRICT AUTHORIZING APPROVAL OF TRAIL CONSTRCUTION AGREEMENT,AND AUTHORIZING GENERAL MANAGER TO EXECUTE A TRAIL EASEMENT AGREEMENT, AND AUTHORIZING GENERAL MANAGER TO EXECUTE ANY AND ALL OTHER DOCUMENTS NECESSARY OR APPROPRIATE TO COMPLETE THE TRAIL (EL CORTE DE MADERA CREEK PARKING/STAGING/TRAILS PROJECT) The Board of Directors of Midpeninsula Regional Open Space District does resolve as follows: Section One. The Board of Directors of Midpeninsula Regional Open Space District does hereby approve the Trail Construction and Easement Agreements with California Water Service Company, a California Corporation, and the Midpeninsula Regional Open Space District, a copy of which Trail Construction and Easement Agreements are attached hereto and by reference made a part hereof, and authorizes the General Manager to execute the Agreements on behalf of the District to acquire trail rights over property owned by California Water Service Company ("Trail connection from El Corte de Madera Creek to the Bay Area Ridge Trail"). Section Two. The General Manager is authorized to expend up to $12,000 to cover the cost of a trail survey, plat map and miscellaneous costs related to this transaction. Section Three. The General Manager and General Counsel are further authorized to approve any technical revisions to the attached Agreements and documents which do not involve any material change to any term of the Agreement or documents, which are necessary or appropriate to the implementation of this transaction. 2040 1880 r • r 64 ss Cq CO ftL" P Area 510T, 2080 Detail. WU!?derliCh ' __.__.. Park (San 072-271-040 o Mateo Co.) e` N a° >� • 'a E 35 California Water _ rnpa ny i .. Servrc-e--Co 1720 m d a` cA m O 072-280-060 C° w 072-320-020 ??80 `,� ,60 2000 E! rMURTO Exhibit 2: Trail Corridor Area Midpeninsula Regional MROSD Preserves ,•� Other Public Agency Open Space District (MROSD) Watershed Land Private Property e Other Protected Open Space January, 2012 or Park Lands 0 Trait Corridor, 20 feet wide Feet 0 245 490 i e the District strives to use t e est available igitadata,this data does not represent a legal survey and is merely a graphic illustration of geographic features. TRAIL CONSTRUCTION AGREEMENT THIS TRAIL CONSTRUCTION AGREEMENT("Agreement")is made this day of 12012 by and between CALIFORNIA WATER SERVICE COMPANY,a California Corporation("Cal Water")and MIDPENINSULA REGIONAL OPEN SPACE DISTRICT, a Public District formed pursuant to Article 3 of Chapter 3 of Division 5 of the California Public Resources Code("District"). RECITALS A. Cal Water is the owner of certain real property situated in the County of San Mateo, State of California,and more particularly described in Exhibit A attached hereto and incorporated herein by this reference,also known as Assessor's Parcel Numbers 072-271- 040 and 072-280-060(the"Cal Water Property"). B. District is the owner of a public open space preserve located in the vicinity of the Cal Water Property and generally depicted in Exhibit B attached hereto and incorporated herein by this reference, commonly known as the El Corte de Madera Open Space Preserve as it currently exists or may be expanded in the future(the"District Preserve"). C. The Bay Area Ridge Trail passes through the western portion of the Cal Water Property, and the District desires to construct a public trail connection between the District Preserve and the Bay Area Ridge Trail. D. Cal Water desires to provide the District temporary use to a portion of the Cal Water Property as shown on Exhibit C ("Trail Corridor Area") attached hereto and incorporated herein by this reference for the construction of the new trail connection described in Recital C. E. After the trail construction is complete the District will commission a legal description and plat map of the public trail corridor in order to facilitate the execution of a non- exclusive trail easement through the Cal Water Property as more particularly described in the easement agreement attached hereto as Exhibit D and incorporated herein by this reference(Easement Agreement). NOW THEREFORE, in consideration of the foregoing and other good and valuable consideration,the receipt of which is hereby acknowledged,the Parties hereby agree as follows: 1. General Condition. Cal Water hereby grants to the District an temporary exclusive right to use the Trail Corridor Area subject to all licenses, easements, encumbrances and claims of title i affecting the Cal Water Property for the construction of a new trail segment connecting the District's El Corte Madera Open Space Preserve to the existing Bay Area Ridge Trail which passes through the western portion of the Cal Water Property. Cal Water consents to and approves District's use of authorized agents or contractors to exercise or perform all of District's rights and privileges in this Agreement. 2. Term. The right to enter and use the Trail Corridor Area for the trail construction shall begin on June 1, 2012 and end on October 31, 2013. This term may extended by mutual written agreement between the parties. 3. Trail Location and Construction. The public recreational trail (the"Public Trail") shall be constructed by the District, in consultation with Cal Water as to location and dimensions, within the Trail Corridor Area. The trail bed of the Public Trail shall be no more than six (6) feet wide, and shall be located wholly within the ten (10) foot wide Trail corridor. The surface of the Public Trail shall be maintained in a natural condition with a native soil surface. A crushed rock surface may be used where necessary to control or prevent erosion. District shall obtain Cal Water's prior written consent to the plans and specifications for the Public Trail, not to be unreasonably withheld, prior to the commencement of any construction or work. if the District determines that trail improvements extending beyond the Trail corridor are necessary for the sound design and construction of the Public Trail, such as the installation of culverts or other drainage or erosion control features, District shall obtain Cal Water's prior written consent to install such trail improvements, such consent not to be unreasonably withheld. The Public Trail shall be constructed by the District at its sole cost and expense. Trail construction and maintenance activities shall be conducted so as to minimize any impact act to the watershed. Upon the completion of the Public Trail construction, District shall prepare a survey of the actual alignment of the constructed Public Trail and shall create a leg p al description w Water and plat Ana of the Trail based on such survey, and shall then work with Cal ate o P P Y� execute the easement agreement. District shall be responsible for erosion prevention with respect to the period of construction of the Public Trail and for erosion prevention after completion of construction and maintenance of the Public Trail, the culverts and the erosion control features and shall bear all costs thereof. 4. Survev. The cost of the survey to determine the location of the Trail Easement and the preparation a legal description and plat map describing and depicting the Public Trail shall be borne solely Y b the District. 5. Requirements of Law. District shall comply with all present and future laws, rules, orders, ordinances, regulations, statutes, requirements, codes, and executive orders (collectively, "Laws") of all governmental authorities now existing or hereafter created affecting the Trail construction granted herein,or uses thereof. 6. Mechanics Liens. District shall give Cal Water notice and provide Cal Water the opportunity to post Notices of Non-Responsibility prior to the commencement of any construction work on the Public Trail pursuant to this Agreement. District shall hold harmless, indemnify and defend Cal Water from and against any mechanic's or other liens arising from such work, including any liabilities, costs, losses, damages, expenses, causes of action, claims or judgments (including court costs and reasonable attorneys' fees)on account of such mechanic's or other liens. 7. As-Is Conveyance. District agrees and acknowledges that Cal Water makes no representations or warranties as to the condition of the area contained within the Trail corridor or its suitability for District's purposes. Neither Cal Water nor anyone acting for or on behalf of Cal Water has made any representation,statement,warranty or promise to District concerning the physical aspects or condition of the Trail Easement including, without limitation, conditions of the soil, land use restrictions, availability of required permits, existence or non-existence of "Hazardous Materials" or suitability for the purpose for which District plans on using the Trail Corridor. District specifically acknowledges that it is entering into this Agreement with respect to the "As-Is"physical condition and "As-Is" state of repair of the Trail Corridor. For purposes of this Agreement, "Hazardous Materials" includes, without limitation, any flammable materials, explosive, hazardous or toxic substances, or related materials defined in the Comprehensive Environmental Response, Compensation and Liability Act of 1980, as now or hereafter amended se U.S.C. Section 9601, et 42 .), the Hazardous Materials 1 q Transportation Act, as now or hereafter amended (49 U.S.C. Sections 1801, et seq.), the Resource Conservation and Recover Act (42 U.S.C. Sections 9601 et seq ), and in the i regulations promulgated pursuant thereto, or any other similar federal, state or local government law, ordinance rule or regulation. However Cal Water shall be solely g g Y and completely responsible for responding to and complying with any administrative notice, order, request or demand, or third party claim or demand, relating to potential or actual Hazardous Materials contamination on, in, or under the Trail Corridor, including all costs of remediation and clean up, except to the extent such contamination was caused by District or District's invitees. 8. Insurance. District shall maintain, or cause to be maintained, throughout the term hereof a policy of commercial general liability insurance against claims for bodily injury, personal injury, death and/or property damage occurring upon, in or about the Trail Corridor with limits which shall not be less than Two Million Dollars($2,000,000.00)per occurrence. Cal Water shall be named as an additional insured on such policy. Prior to the commencement of any work contemplated under this Agreement, District shall promptly furnish to Cal Water an endorsement evidencing such insurance coverage. The requirements of this Section may be satisfied by delivery to Cal Water evidence reasonably satisfactory to Cal Water of equivalent insurance coverage provided by membership in a governmental agency self-insured program. 9. In mnit . District will protect, indemnify, defend and hold Cal Water and their de v p officers, directors, employees, agents, successors, assigns, members, and partners (each, an "Indemnified Party") harmless from and against any and all loss, liabilities, obligations, claims, damages, penalties, causes of action, costs and expenses (including, without limitation, reasonable attorneys' fees and all costs, disbursements and expense of legal counsel) imposed upon or incurred by or asserted against any Indemnified Party by reason of the occurrence or existence of any of the following (except to the extent such losses, liabilities, obligations, claims, damages, penalties, causes of action, costs and i expenses arise from the negligence or willful misconduct of Cal Water): (a) any accident, injury or death of persons (including workers) or losses of or damage to property occurring on or about the Trail Corridor Area; or(b)arising out of or in any way connected with any use, possession, occupation, operation, maintenance, management or condition of the Trail Corridor Area. 10. No Liability. Cal Water shall not be liable for any loss, damage, or injury whatsoever to the person or property of any person or entity whatsoever, including but not limited to, any employee, invitees, agents or contractors of Cal Water resulting from or arising out of any act or omission by District, or the use or occupancy of the Trail Corridor by District, or directly or indirectly from any state or condition of the Trail Corridor, except a state or condition caused solely by the negligence or willful misconduct of Cal Water. 11.Notice. All notices, demands, consents,requests, approvals, disapprovals, designations or other communications (all of the foregoing hereinafter referred to as "notice") that any Party hereto gives to any other Party shall be in writing and shall be deemed to have been properly given if(a) served personally, or (b) mailed, when deposited with the United States Postal Service within the boundaries of the continental United States for registered or certified delivery, return receipt requested, with postage prepaid, or (e) sent by overnight courier, postage prepaid, in each case addressed to the applicable recipient as follows: If to Cal Water: California Water Service Company 1720 North First Street San Jose,CA 95112 Attn: Director of Corporate Developmetn&Real Estate Telephone: (408)367-8200 Facsimile: (408)367-8340 With a copy to: California Water Service Company 341 North Delaware Street San Mateo,CA 9440 1-1 727 Attn: District Manager Phone: (650) 558-7800 Fax: (650) 348-0269 If to District: Midpeninsula Regional Open Space District 330 Distel Circle Los Altos,CA 94022-1404 Attn: Real Property Manager Telephone: (650)691-1200 Facsimile: (650) 691-0485 r 12. Authority. This Agreement is made pursuant to the authority of and upon, and is subject to the conditions prescribed by General Order No. 69-C of the Public Utilities Commission of the State of California dated and effective July 10, 1985, which General Order No. 69-C, by this reference, is hereby incorporated herein and made a part hereof. Without limiting the generality of the foregoing, General Order 69-C provides in part that all public utilities covered b the provisions of PUC 851 "... are authorized to rant p Y p § g easements, licenses or permits for use or occupancy, on, over or under any portion of the operating property of said utilities for rights of way, private roads, agricultural purposes, or other limited uses of their several properties without further special authorization by this Commission whenever it shall appear that the exercise of such easement, license or permit will not interfere with the operations,practices and services of such public utilities to and for their ... consumers.... Provided, however, that each such grant ... shall be made conditional upon the right of the grantor, either upon order of this Commission or upon its own motion to commence or resume the use of the property in question whenever, in the interests of its service to its patrons or consumers, it shall appear necessary or desirable so to do." In accordance with the foregoing, this Agreement and the Trail Easement may be terminated by Grantor in the event that Grantor determines that in the interests of its service to its patrons or consumers, it shall appear necessary or desirable so to do, or in the event of an order of the Commission to such effect. Grantor shall give Grantee thirty (30) days written notice prior to the effective date of such termination, provided that in the event of an emergency that presents an imminent threat of injury to persons, damage to property, or damage to Grantor's watershed,Grantor may give such shorter notice as is reasonable under the circumstances. IN WITNESS WHEREOF, the Parties hereto have executed this Agreement as of the date first written above. CAL WATER: DISTRICT: CALIFORNIA WATER SERVICE MIDPENINSULA REGIONAL OPEN SPACE COMPANY,a California corporation DISTRICT, a Public District formed pursuant to Section 3 of Chapter 3 of Division 5 of the California Public Resources Code By: (name and title) By: Stephen E. Abbors,General Manager By: Date: (name and title) Date: APPROVED AS TO FORM: By: Susan M. Schectman,General Counsel ill ATTEST: By: Michelle Radcliffe,District Clerk ORDER NO. : O626O18892-BC EXHIBIT A � The land referred to is situated in the (See Below) State of California, and is described as fOUOvvs: The land referred to in this Report is situated in the unincorporated area of the County of San Mateo and in the City of Woodside, State of California, and is described as follows: PARCEL ONE: � Beginning ata concrete monument set in the Northeasterly line of the 100 foot right of way of � the State of California Highway known as"Skyline Boulevard", Division IV, Route 55, Section C, � San Mateo Countv North �3» ��' 3�" East �Ofee�fnznnth� �ent�r ||ne �f��idrightofvvay at � '' ' Engineer's Station 496 plus 55.48, the bearing of said center line at said station being North 470 � 32' 35"VVest, said point Vfbeginning also being North 770 48' 15" East 1.6O feet from a point, formerly the common corner oflands of Bear Gulch Water Company, Clara E. L. Fo|ger and A. � Arata; thence along the general Easterly line of said Skyline Boulevard, North 470 32'25"VVBSt 1]1O.17 feet toa concrete monument; thence along a curve to the left, tangent to the last � named course, having a radius of1OSO'OO feet and a central angle uf190 42'3D", anarc distance of3O1.17 feet to a concrete monument; thence tangent to the last named curve, � North 670 14' 55"VVest 788'61 feet to a concrete monument; thence along a curve to the right, � tang�O10�th� |�Stn�mm�d ��urse, havinga radius of55O.00feet and central ang|eof24^ O6' � | 3O", an arc distance of 231.42 feet toa concrete nmOnurnCntand point ofmonnpoundcurve; | thencecontinuing along a curve to the right, having a radius of95O.00 feet and a central angle � of 380 04'21", an arc distance of 631.27 feet to a concrete monument and point of compound � curve; thence continuing along a curve to the right, having a radius of 450.00 feet and a central i angle of42» 14'3O, aD arc distance Vf]]5.8q feet to a concrete monument; thence tangent to the last named curve, North ]7v4O'26" East 462.3Q feet tOa concrete monument; thence � along a curve to the left, tangent to the last named course, having a radius of35O.OD feet and a central angle Df75» 30'00", an arc distance of461.2O feet to J concrete monument; thence � ! tangent tothe last named curve, North 370 49' 34"West 591.18 feet toa concrete DlODuDl8Ot; thence along a curve to the left, tangent to the last named course, having a radius of 550.00 feet and a central angle ofJ7» 05' 15", an arc distance of2OO'O2 feet to a point, Said point / being at the intersection of said Skyline Boulevard and the Westerly line of the Rancho Canada deRaynmundo, between stations known asG.R. 36 and G.R. 37; thence leaving said Northeasterly line of said Skyline Boulevard and running along said Westerly line of said Rancho, between Stations G.R. 36 and G.R. 37, North 040 11'35" East 84.74 feet tOa concrete | | monument set at said Station G.R. 37 of said Rancho Canada de Raymundo; thence along said Westerly line of said Rancho between Stations known aSG.R. 37 and G.R. 3@ South O4p47'OS" � West 115.85 feet to a concrete monument set in said general Easterly line of said Skyline � Boulevard; thence continuing along said Easterly line of said Skyline Boulevard, along a curve to the left, the long chord of said curve bearing North 861 40' 22"West 206.82 feet and having a radius Vf55O'OO feet and a central angle of21v4O'22", an arc distance of2O8.D5 feet tVa concrete n0OOurOent> thence tangent to the last naOl8dCurve, South @2o29' 25"West 111'88 feet tOa concrete monument; thence along curve tV the right, tangent to last named course, � having a radius of45O.00 feet and a central angle of41o37'OO", an arc distance of325.55feet � Page 1of6 toa concrete monument; thence tangent to the last named curve, North 560 00' 32"West � 2183.25 feet toa concrete monument; thence along a curve to the left, tangent UO the last � named course, having a radius of 550.00 feet and a central angle of 190 25'44" an arc � � distance of 186.50 feet to a concrete monument set at the intersection of said Northeasterly � � line of aid Skyline Boulevard and said Westerly line Of said Rancho Canada deRaynnundo, between Stations known as G.R. 38 and G.R. 39; thence leaving said Northeasterly line of said Skyline Boulevard and running along said VV8St8r|y line of said Rancho between said Stations � G.R. 30 and G.R. 39, North 550 56'DD"VVest 517.88 feet to d COnCr8t8 monument and [OrD8r � � known as G.R. 39 of said Rancho, said monument recently replaced a 4 inch by a 4 inch post marked G.R. 39; thence North ]4» 26'OO"West along the Southwesterly line ofpnopedx . � conveyed by C. C. Marehouse, an unmarried man, to Bear Gulch Water Company, a corporation, by Deed dated June 27, 1927 and recorded June ]O, 1937 in Liber 310 of Official � Records of San Mateo CountvatPage 51, 35.O5 feet toa concrete rnonunnentset insaid � ' general Easterly line Of said Skyline Boulevard; thence continuing along said Easterly line of said Skyline Boulevard along a curve to the right, the long chord of said curve bearing North 070 20' 48" East 19Q'81 feet and having a radius of35O.00 feet and a central angle of33» 59' 59", an arc distance of 2O1'58 feet tna concrete monument; thence tangent hJ the last named curve, North 23^ 5O'48" East 197.6h feet to a concrete monument; thence along a curve to the left, tangent to the last named course, having a radius Of55O.DD feet and a central angle of11o33' � 08"' an arc distance of 110.89 feet to a concrete monument set at the intersection of said Easterly line of said Skyline Boulevard and the Easterly line Ofa 2O.00 feet easement reserved for road purposes as described in the Deed from C. C. Morehouse to Bear Gulch VVahyr � Company, dated June 27, 1927 and recorded June 30, 1937 in Liber 310 of Official Records of the San Mateo County at Page 51� thence leaving said Easterly line of ��v|in� Boulevard � ' | � and running along said Easterly line of said 20.00 foot easement, North 600 13'33" East 10675 � feet to a concrete monument; thence North 030 23'U7"West 41.24 feet to a concrete � "' rnOnunneU['' thence North 331 18O7VVest 58.74 a OJn�r�t� monument;' thence leaving � � ' said Easterly line of said 30.00 foot easement and running along the general water-shed / � boundary of Bear Gulch Creek, North 770 14' 52" East 71.22 feet to a concrete monument; thence South 75» 44' 5O" East 218.17 feet toa concrete monument; thence North 5S» 3U' 1O" � East 2D7.12 feet tVa concrete monument; thence North 4O» 28'4O" East 32].45 feet toa concrete monument; thence North 7Gv36'55" East 2G1.O0 feet LVa concrete monument; � thence North 52« 22'55" East 157.55 feet toa concrete monument; thence North 28» 54' 25" East 122.01 feet hoa concrete monument; thence North 65» 55'4O" East 233.48 feet toa � � concrete monument; thence North 390 10' 10" East441.54 feet to a concrete monument; thence North 58v48'4O" East 153.5O feet to concrete monument; thence South 87^ O8' 35" East 276.17 feet to concrete monument; thence North 560 00' 10" East 252.90 feet to concrete � � monument; thence North 770 42' 10" East 240.98 feet to concrete monument; thence South � 75^ OD' 2O" East 2O2.O3 feet to concrete monument; thence South 43035'35" East 2DU.5Dfeet � to concrete monument; thence South 620 04'35" East 306.48 feet to concrete monument; thence North 100 O5' 55" East 356.92 feet 1oconcrete monument; thence North 730 39' 25" East 297.qO feet to concrete monument; thence North 22» 26'4O"East 342.51 feet toconcrete � monument; thence North 710 08' 55" East 337.15 feet to concrete monument; thence North 49» 26'25" East 134.O6 feet to concrete monument; thence South 88v2O' 35" East 121.5Ofeet | � to concrete monument; thence South 270 07'35" East 159.56 feet to concrete monument; thence South 65^ S]'35" East 224.38 feet to concrete monument; thence South OOu3O'45" West 185.46 feet to concrete monument; thence South 170 54'45"East 121.70 feet to concrete � nlOOurneDt' formerly a 4 inch by 4 inch post set on the line between Lots 2 and 3 of TractNo. 1 of the Greer Partition as said Lots and Tracts are delineated and designated on the Map entitled "Map of the Partition and Subdivision of all that Part of the Lands of the Estate Of Maria Louisa Page 2of5 Soto de Greer, Deceased, in the Rancho Canada de Raymond, deeded by M. C. Miramontes to Robert L. Greer, et al, by Deed of September 3, 1885", filed in the Office of the Recorder of San Mateo County on March 22, 1889, in Liber 2 of Maps at Page 23; thence continuing along said watershed boundary of said Bear Gulch Creek, South 640 41'30" East 243.86 feet to a concrete monument, thence South 531 54' 30" East 835.72 feet to concrete monument; thence South 090 30'55" East 169.03 feet to a concrete monument; thence South 610 44' 55" East 571.63 feet to concrete monument; thence South 70017' 15"East 269.48 feet to a concrete monument; thence South 860 14'45" East 411.11 feet to concrete monument; thence South 050 23'35" East 398.32 feet to concrete monument; thence South 720 03'45" East 322.21 feet to concrete monument; thence South 260 43' 25" East 217.84 feet to a concrete monument; thence South 691 31'50" East 145.40 feet to concrete monument; thence North 440 42' 10" East 276.45 feet to a concrete monument; thence South 650 21'32" East 327.15 feet to a concrete monument; thence South 500 42' 30" East 125.96 feet to a concrete monument; thence North 710 38'30" East 159.51 feet to a concrete monument; thence North 370 39' 50" East 96.85 feet to a concrete monument; thence North 770 29' 50" East 106.49 feet to a concrete monument; thence South 480 51' 30" East 334.10 feet to a concrete monument, set on the line between Lots 4 and 5 of said Tract No. 1 of said Greer Partition; thence leaving said water-shed boundary of said Bear Gulch Creek and running along the line between said Lots 4 and 5, South 530 11'34" West 3154.11 feet to a point in the center of Bear Gulch Creek and being the most Westerly corner of said Lot 5 and the most Southerly corner of said Lot 4 of said Greer Partition, from which point a concrete monument bears North 530 11' 34" East 84,51 feet; thence down-stream along said center line of said Bear Gulch Creek, South 860 34' 45" East 90.66 feet to a point; thence South 510 25' 05" East 170.11 feet to a point; thence South 590 46' 15" East 247.07 feet to a point; thence South 420 00' 45" East 559.90 feet to a point; thence South 410 06' 05" East 186.73 feet to a point; thence South 510 47' 15" East 224.14 feet to a point; thence South 311 37' 35" East 181.13 feet to a point; thence South 451 40' 15" P East 126.49 feet to a point; thence South 580 07 15 East 137.09 feet to a point, from which a concrete monument bears North 530 53' 05" East 30.00 feet; thence leaving said center line of said Bear Gulch Creek and following along the boundary line between lands of California Hacienda Company and Bear Gulch Water Company, North 530 53' 05" East 3645.94 feet to a concrete monument thence North 530 38' 56" East 1.83 feet to a concrete monument; thence leaving said boundary line between lands of California Hacienda Company and Bear Gulch Water Company and running along said water-shed boundary of said Bear Gulch Creek, South 730 44' 48" East 859.96 feet to a concrete monument; thence North 500 18' 52" East 249.87 feet to a concrete monument; thence North 260 58' 37" East 246.82 feet to a concrete monument; thence North 550 56' 37" East 342.42 feet to a concrete monument; thence North 850 59' 27" East 548.50 feet to a concrete monument; thence North 610 02' 17" East 1133.72 feet to a concrete monument; thence North 690 09' 27" East 259.40 feet to a concrete monument; thence leaving said water-shed boundary, South 470 09' 52" East 894.22 feet to a concrete monument; thence North 410 25' 52" East 79.29 feet to a concrete monument; thence North 420 53' 12" East 381.37 feet to a concrete monument; thence North 740 44' 52" East 171.27 feet to a concrete monument; thence North 360 05'02" East 144.80 feet to a concrete monument; thence North 220 52' 32" East 336.58 feet to a point in the center line of the County Road, 40.00 feet wide, commonly known as the Redwood City to La Honda Road, formerly known as the Redwood City to Searsville Road, at Engineer's Station 291 plus 72.61; thence along said center line of said County Road, South 330 40' 50" East 235.45 feet to a point; thence along a curve to the left, tangent to the last named course, having a radius of 600.00 feet and a central angle of 210 55'an arc distance of 229.61 feet to a point; thence tangent to the last named curve, South 550 35' 50"East 15.42 feet to a point, being the intersection of said center line of said County Road and the center line of Bear Gulch Creek; Page 3 of 6 I thence upstream along said center line of said Bear gulch Creek South 860 42' 10"VVegt 71-58 feet to a point; thence South 69o32' 1O"West Z3.34 feet tOa point; thence North 58^ 35' 5O" West SO.35 feet toa point; thence South 43» OO' 1O"West 111.9O feet tod point; thence South 31» 53' 1D"West 115.OS feet tna point; thence South 37» 52' 1O"West 117.00 feet to apVint; thence South 510 46' 10"VVest 103'41 feet to a point; thence South 190 18' 1O"West 85.1O feet to a point; thence South 430 02' 10"VVest 60.35 feet to a point; thence South 150 19' 10" West 165.96 feet to a point; thence South 800 05' 10"West 96.57 feet to a point; thence South | 48vOO' 1O"West 14O.86 feet toa point thence South 69» 49' 10"West 137.4O feet 1oaniron � bolt set in the darn across said Bear Gulch Creek; thence leaving said darn across said Bear | � Gulch Creek and running South 6]oO1' 2O" East 4OO.OD feet toa point in the 5O'OO foot road � hOovvO as Bear Gulch Road, said point being the most Southerly corner of the parcel of land conveyed by The [Joxsee Company, a corporation, to Edward M. VVobber, by Deed dated 5eotennb8r3O, 1920 and recorded November S, 1936inLiber279of Official Records OfSan Mateo County at Page 114 and from which point an iron pipe monument bears North 630 01' 50"VVest 10.00 feet; thence along the line between lands of said Bear Gulch Water Company and said Clara E. L. FO|ger, as described iD the Quitclaim Deed from Bear Gulch Water Company to Clara E. L. Fo|ger, dated March 29, 1930 and recorded May 1, 1930 in Liber476 of Official Records San Mateo County DL Page 1 and along said Bear Gulch Road, South 100 50'35"VVest 125.44 feet tOa point; thence South 42» O5'55"West 3O4.8Ofeet to a point; thence South28^ U1'55"West 110.73 feet to a point; thence South 430 16' 25"VVeGt 26.33 feet to a point; thence South 280 32'55"VVeat 300.05 feet to a point; thence South 520 15'55"VVest 179.00 feet to d point; thence South 340 49' 55"VVesL 105.65 feet to a point; thence South 211 15' 55" West 291.30 feet to a point; thence South 610 40' 55"VVest 336.03 feet to a point; thence South 53v26' 55"West 157.1Ofeet to a point; thence South 01« 43' 25"West 156.5O feet toa point; thence South 420 31' 35"West 42].0O feet to a point; thence South 170 01' 25"VVeSt � 174'4U feet toa point; thence South 33^ 29'OG"East 241.6O feet toa point; thence South D8» � 50'05" East 141.75 feet to a one inch pipe monument set in concrete; thence leaving said Bear Gulch Road and continuing along the line of said Folger Properties, South 370 55' 55"West � � 89'00 feet to a one inch pipe monument set in concrete; thence South 560 08'55'VVeSt043.00 feet to a one inch pipe monument set in concrete and thence South 770 48' 15"West 6664.31 feet to a concrete monument set in the Northeasterly line of said Skyline Boulevard and the point of beginning and containing 1175 acres of land, more or less, and being portion of the Rancho Canada de Rayrnundoin San Mateo County, California. EXCEPTING THEREFROM those portions of the County Road, 5O'OD feet wide, commonly known as Bear Gulch Road, within the boundaries of the above described parcel of land. � ALSO EXCEPTING THEREFROM that portion of the County Road, 40.00 feet wide, commonly known as the Redwood City LDLa Honda Road, within the boundaries Qfthe above described parcel ofland. ALSO EXCEPTING THEREFROM the O.8] acre tract adjacent to the Skyline Boulevard, conveyed � by Bear Gulch Water Company, a corporation, to State of California by Deed dated March 23, � � 1934 and recorded May 19, 1934 in Liber 622 of Official Records of San Mateo County at Page � � ]O2. � PARCEL TWO: Beginning at the most Westerly corner Of Lot 5 of Tract No. 1of the Greer Partition inthe � center Of Bear Gulch Creek, from which corner concrete monument bears North 530 11' 34" � Page 4of6 East 84.51 feet as said Lot and Tract are delineated and designated on the Map entitled "Map of the Partition and Subdivision of all that part of the Lands of the Estate of Maria Louisa Soto de Greer, deceased, in the Rancho Canada de Rayrnundo, Deeded by M. C. Miranmontesto Robert L. Greer, et al, h« Deed of September], 1W85", filed |n the Office of the Recorder ofthe San Mateo County on March 22, 1889 in Liber"8"nfMaps at Page 7 and copied in L|ber 3 Of Maps at Page 23; running thence along the line common to Lots 4 and 5 of Tract NO. 1 of said Greer Partition, North 5]v11'34" East 3154.O1 feet tot a concrete monument set iD the water- shed boundaryofBearGu|chCreek; thence following along said water-shed boundary ofsaid � Bear Gulch Creek south 480 57'30" East 1.45 feet to a concrete monument; thence South 061 27'37"West 442.4Ofeet to a concrete monument; thence South 41v58'O3" East 479.97feet to a concrete monument; thence North 520 53' 12" East 731.32 feet to a concrete monument; thence South 74» 47' 18" East 3OO.86 feet toa concrete monument; thence North QO» 47'O2" East 2D9.52 feet tOO concrete monument; thence South 57oO1' 2R" East 393'43 feet 03a concrete monument set in the boundary line between lands of California Hacienda Company and Bear Gulch Water Company; thence leaving said watershed boundary of said Bear Gulch Creek and following said boundary line between said lands of California Hacienda Company and Bear Gulch Water Company, South 530 38' 56"West 1.83 feet to a concrete monument; thence South 530 53'05"VVest 3b45.94 feet to a point in the center ofBear Gulch Creek from which point a concrete monument bears North 530 53'05" East 30.00 feet; thence following upstream of said Bear Gulch Creek North 50vO7' 15"West 137.09 feet toa point; thence North 45» 4O' 15"West 120.49 feet tOd point; thence North 31» 37'35"West 181'13 feet toa point; thence North 51o47' 15"West 224.14 feet toa point; thence North 41» O6'O5"West 188.73 feet to a point; thence North 42vOO'4S"West S59.SO feet toa point; thence North 5B^ 46' 15"West 247.O7 feet toa point; thence North 51» 25'O5"West 17O.11 feet toa point; thence North 86v 34'45"VVest 90.66 feet to the point of beginning. Being a portion of said Lot No. 5 of Tract No. 1of said Rancho Canada deRaynlundOin San Mateo County, State of California. EXCEPTING FROM Parcels One and Two somuch as lies Northerly of the common boundary line as set out in Grant Deeds by and between Willeen Corporation and California Water Service Company, recorded Decennber28, 1961 in Book 4119, Pages 658and 663, and including so � much as acquired bv California VVaterService CVrnpany, Southerly of said boundary line. � -' APN: 073-174-040; ]PN: 72-17-173-09; 072-271-020; 72-27-271-02; 072-271-040; 72-37-271-04; 072-280-020; 72-28-280-02| � 072-300-030; 72-28-380-03; � 072-2 72-38-300-04; 072-280-050; and 72-28-280-05; and 072-280-050 72-28-280-06 � � Page 5of6 Exhibit E r _ •Half Moon Bay Creek 'd f / 35 c3 Rya Z -d' —� 'a '` i i� -100-02 $ r U _. i' Teague R ds Hill , of ,.o= o0 o s p a r 1 - �7rt• f. iK C , , 1= S�?1 t r♦ ' ' , - � , F , 072-271-040 84 072-280-010 A` <� Ob7 410-290 a. Water �` v l. ,- r ( 067=390'-170 CO. :. Jr. . . rvie , , n;Tian I •-_• ` / 1 r- m r`` y' 072-280-060 \ • 1 e , 067400-150 1 i ^ r 0 072-320' 0 _ _� ; ! ; 1- W -� �� underlich b -- _ --- ,��� ��,' t t . \ I rfr• � � '�� Park (S.M. Co.) .w , , v 072 350 100 -- 72 320 IY i ^ P , Exhibit B: El Corte de Madera Creek Open Space Preserve Midpeninsuta Regional MROSD Preserves Other Public Agency Open Space District (MROSD) Watershed Land Private Property i � Other Protected Open Space Q MROSD Gate November,2011 or Park Lands Feet • 0 1,500 3,000 While the District strives to use the best available digital data,this data does not represent a legal survey and is merely a graphic illustration of geographic features. Exhibit C / 84 35 S C q APN 072-271-040 �'- co Area o Detail Wunderl icu v f 9 California Water 212� Park (San f E! r Mateo Co . ) 9 Service Company de M V. _ 2200 "00' V 06'- u % L? N u j APN �0 tio 072-280-060 't p rn s0 California/Water El Cort`ede, �� ��CPLr ice ' L, Service Company Madera Creek\ 35 ` I Open Spac� Preserve Roadside Pullout $ AP_N� �� �` Trail Corridor Distances Midpeninsula Regional Open Space District (M ROSD) MROSD Preserves Other Protected Open Space or Park Lands e Watershed Land Trait Corridor, 20 feet wide December,2011 Feet 0 100 200 While the District strives to use the best available digital data,this data does not represent a legal survey and is merely a graphic illustration of geographic fearures. Exhibit D RECORDING REQUESTED BY AND WHEN RECORDED RETURNED TO: Midpeninsula Regional Open Space District 330 Distel Circle Los Altos,California 94022-1404 Attn: Real Property Manager Space above this line for recorder's use only NO TRANSFER TAX DUE DULY RECORDED WITHOUT FEE PUBLIC AGENCY ACQUIRING TITLE, Pursuant to Government Code CALIFORNIA REVENUE AND TAXATION Sections 6103 and 27383. CODE SECTION 11922. BY EASEMENT AGREEMENT PUBLIC TRAIL CORRIDOR This Easement Agreement("Agreement") is made as of 2012 by and among CALIFORNIA WATER SERVICE COMPANY, a California corporation ("Grantor") and MIDPENINSULA REGIONAL OPEN SPACE DISTRICT, a Public District formed pursuant to Article 3 of Chapter 3 of Division 5 of the California Public Resources Code ("District"). Grantor and District are sometimes referred to in this Agreement singularly as a "Party" and together as "Parties". This Agreement shall become effective on the date set out in Section I (b)below. RECITALS A. Grantor is the owner of certain real property situated in the County of San Mateo, State of California, and more particularly described in Exhibit A attached hereto and incorporated herein by this reference, also known as Assessor's Parcel Numbers 072-271-040 and 072-280-060(the"Grantor Property"). B. District is the owner of a public open space preserve located in the vicinity of the Grantor's Property and generally depicted in Exhibit B attached hereto and incorporated herein by this reference, commonly known as the El Corte de Madera Open Space Preserve as it currently exists or may be expanded in the future(the"District Preserve"). C. The Bay Area Ridge Trail passes through the western portion of the Grantor's Property, and District desires to obtain a non-exclusive public trail easement to enter and pass through the Grantor's Property in order to provide a public trail connection between the District Preserve and the Bay Area Ridge Trail as more particularly described in this Agreement. NOW THEREFORE, in consideration of the foregoing and other good and valuable consideration, the receipt of which is hereby acknowledged,the Parties hereby agree as follows: I Grant of Public Trail Easement (a) Easement Scope and Description. Grantor hereby grants to District a ten (10) foot wide non-exclusive public trail easement as appurtenant to the District Preserve, as it currently exists or may be expanded in the future, for public recreational pedestrian, and equestrian trail use and use by District for patrol, trail maintenance, repair purposes and emergency access (the "Trail Easement"). The public trail shall be a maximum of six (6) feet in width and located within the ten (10) foot trail corridor. The trail map is more particularly described in Exhibit C attached hereto and incorporated herein by this reference. The centerline of the Trail Easement runs along the centerline of the newly constructed trail from Skyline Boulevard (State Highway 35), across a small western portion of the Grantor's Property until it connects to the existing Bay Area Ridge Trail. A legal description and plat map of the public trail corridor easement is set forth in Exhibit D attached hereto and incorporated herein by this reference. (b) Term. The term of the Trail Easement shall be perpetual as long as the District Preserves are used for public open space and park purposes in accordance with Public Resources Code 5500 et seq. (c) Use Restrictions. Use of the Trail Easement by District shall be limited to public pedestrian and equestrian use during posted hours that the District Preserves are open to the public, and to use by District staff, and contractors for trail patrol, trail maintenance, repair purposes and emergency access. Under no circumstances shall the public be permitted to operate motorized vehicle, off-road vehicle or bicycle uses within the Trail Easement. (d) Trail Location and Construction. The public recreational trail (the "Public Trail") was constructed by District, in consultation with Grantor as to location and dimensions, within the Trail Easement corridor described in Exhibit C. The trail bed of the Public Trail is not more than six (6) feet wide, and is to be located within the ten (10) foot wide Trail Easement corridor. The surface of the Public Trail shall be maintained in a natural condition with a native soil surface. A crushed rock surface may be used where necessary to control or prevent erosion. The Public Trail shall be constructed by District at its sole expense. (e) Trail Realigriment. In the event that a landslide, drainage problem or other trail failure necessitates trail repairs outside of the ten (10) foot wide Trail Easement corridor in order to maintain the integrity of the Public Trail, District may seek Grantor's consent to undertake repairs outside of the Trail Easement boundaries, and such consent shall not be unreasonably withheld. (f) Repair and Maintenance. District shall be solely responsible for repairing and maintaining the Public Trail and all drainage and erosion control structures, facilities and grading constructed by District for erosion control purposes. District shall provide at least 3 days prior notice to Grantor prior to conducting significant repair or maintenance activities except in the event of an emergency posing a threat to public health or safety. Grantor shall notify District 2 if the timing of such repairs would adversely impact the Grantor's Property. District and Grantor shall agree upon an alternate reasonable time period during which such repair and maintenance may be conducted. (g) Survey. All survey costs to determine the location of the Trail Easement and the Public Trail shall be borne solely by District. A legal description and plat of survey of the Trail Easement is attached hereto as Exhibit D. (h) Non-Exclusive Use. The Trail Easement shall be non-exclusive, and Grantor may make use of the area within the Trail Easement provided that such use does not unreasonably interfere with District's use of the Trail Easement or its intended purposes. 2. Representation and Warranties. Grantor represents and warrants to District that Grantor has good and marketable title to the Grantor Property, and there are no matters affecting title to the Grantor Property that adversely affect the Trail Easement or the rights granted under this Agreement. Grantor further represents and warrants to District that there are no persons (other than Grantor) holding an interest in any of the Grantor Property so as to affect this Agreement. 3. Requirements of Law. District shall comply with all present and future laws, rules, orders, ordinances, regulations, statutes, requirements, codes, and executive orders (collectively, "Laws") of all governmental authorities now existing or hereafter created affecting the Trail Easement granted herein, or uses thereof. 4. Mechanic's Liens. District shall hold harmless, indemnify and defend Grantor from and against any mechanic's or other liens arising from District's work, including any liabilities, costs, losses, damages, expenses, causes of action, claims or judgments (including court costs and reasonable attorneys' fees)on account of such mechanic's or other liens. 5. As-Is Conveyance. District agrees and acknowledges that Grantor makes no representations or warranties as to the condition of the area contained within the Trail Easement or its suitability for District's purposes. Neither Grantor nor anyone acting for or on behalf of Grantor has made any representation, statement, warranty or promise to District concerning the physical aspects or condition of the Trail Easement including, without limitation, conditions of the soil, land use restrictions, permits for the Trail Easement or its use, existence or non- existence of "Hazardous Materials" or suitability for the purpose for which District plans on using the Trail Easement. District specifically acknowledges that it is entering into this Agreement with respect to the "As-Is"physical condition and"As-Is" state of repair of the Trail Easement. For purposes of this Agreement, "Hazardous Materials" includes, without limitation, any flammable materials, explosive, hazardous or toxic substances, or related materials defined in the Comprehensive Environmental Response, Compensation and Liability Act of 1980, as now or hereafter amended (42 U.S.C. Section 9601, el seq.), the Hazardous Materials Transportation Act, as now or hereafter amended (49 U.S.C. Sections 1801, el seq.), the Resource Conservation and Recovery Act (42 U.S.C. Sections 9601, el seq.), and in the regulations promulgated pursuant thereto, or any other similar federal, state or local government law, ordinance, rule or regulation. However, Grantor shall be solely and completely responsible for responding to and complying with any administrative notice, order, request or demand, or 3 third party claim or demand, relating to potential or actual Hazardous Materials contamination on, in,or under the Trail Easement, including all costs of remediation and clean up, except to the extent such contamination was caused y by District or District's invitees. 6. Insurance. District shall maintain, or cause to be maintained, throughout the term hereof a policy of commercial general liability insurance against claims for bodily injury, personal injury, death and/or property damage occurring upon, in or about the Trail Easement with limits which shall not be less than Two Million Dollars ($2,000,000.00) per occurrence. Grantor shall be named as an additional insured on such policy. Prior to the commencement of any work contemplated under this Agreement, District shall promptly furnish to Grantor an endorsement evidencing such insurance coverage. The requirements of this Section may be satisfied by delivery to Grantor evidence reasonably satisfactory to Grantor of equivalent insurance coverage provided by membership in a governmental agency self-insured program. The insurance coverage limits set out in this Section will be adjusted every five (5) years from the Effective Date of this Agreement to reflect any aggregate increase in the All Items Consumer Price Index for All Urban Consumers (CPI-U)-San Francisco-Oakland-San Jose-Consolidated Metropolitan Statistical Area. In no event shall the insurance coverage limits set out in this Section be decreased regardless of any increase or decrease that may have occurred in such Consumer Price Index during such five(5)year period. 7. Indemnity. District will protect, indemnify, defend, and hold Grantor and their officers, directors, employees, agents, successors, assigns, members, and partners (each, an "Indemnified Party") harmless from and against any and all loss, liabilities, obligations, claims, damages, penalties, causes of action, costs and expenses (including, without limitation, reasonable attorneys' fees and all costs, disbursements and expense of legal counsel) imposed upon or incurred by or asserted against any Grantor by reason of the occurrence or existence of any of the following (except to the extent such losses, liabilities, obligations, claims, damages, penalties,causes of action,costs and expenses arise from the negligence or willful misconduct of the Grantor): (a) any accident, injury or death of persons (including workers) or losses of or damage to property occurring on or about the Trail Easement; or(b) arising out of or in any way connected with any use, possession, occupation, operation, maintenance, management or condition of the Trail Easement. 8. No Liability. Grantor shall not be liable for any loss,damage,or injury whatsoever to the person or property of any person or entity whatsoever, including but not limited to, any employee, invitees, agents or contractors of Grantor resulting from or arising out of any act or omission by District, or the use or occupancy of the Trail Easement by District, or directly or indirectly from any state or condition of the Trail Easement, except a state or condition caused solely by the negligence or willful misconduct of Grantor. 9. Public Visitor Recreational Immunity. Any permission given by Grantor for entry by public recreational visitors on or over the Trail Easement is given only for recreational purposes as defined in California Civil Code Section 846, and Grantor gives no assurances to public recreational visitors that such premises are safe for such purposes,nor confers upon the person to whom permission has been granted the legal status of an invitee or licensee to whom a duty of care is owed, nor assumes responsibility for or incurs any liability for any injury to person or property caused by any act of such person to whom permission has been granted except as 4 otherwise provided in said Section 846. It is the intent of this paragraph to preserve for Grantor any and all recreational use immunities and any other immunities provided for under Section 846 of the California Civil Code and in Section 5075.4 of the California Public Resources Code and under any other applicable laws or statutes, now or hereafter in effect, eliminating or limiting Grantor's liability for, or providing immunity from, claims against Grantor by third parties. It is also the intent of this paragraph to preserve for District any and all recreational use immunities and any other immunities provided under California Government Code Sections 831.4 and 831.7 and under any other applicable laws or statutes, now or hereafter in effect,eliminating or limiting District's liability for, or providing immunity from, claims against District by third parties. This paragraph is not intended to, nor shall it be construed to, limit, affect or restrict any rights of either party or its officers, directors, agents or employees to assert any claims against the other party to which it may otherwise be entitled to under this Agreement. 10. Notice. All notices, demands, consents, requests, approvals, disapprovals, designations or other communications (all of the foregoing hereinafter referred to as "notice") that any Party hereto gives to any other Party shall be in writing and shall be deemed to have been properly given if (a) served personally, or (b) mailed, when deposited with the United States Postal Service within the boundaries of the continental United States for registered or certified delivery,return receipt requested, with postage prepaid, or(c) sent by overnight courier, postage prepaid, in each case addressed to the applicable recipient as follows: If to Grantor: California Water Service Company 1720 North First Street San Jose,CA 95112 Attn: Director of Corporate Development&Real Estate Telephone: (408)367-8200 Facsimile: (408)367-8340 With a copy to: California Water Service Company 341 North Delaware Street San Mateo,CA 94401-1727. Attn: District Manager Phone: (650)558-7800 Fax: (650) 348-0269 If to District: Midpeninsula Regional Open Space District 330 Distel Circle Los Altos,CA 94022-1404 Attn: Real Property Manager Telephone: (650)691-1200 Facsimile: (650) 691-0485 11. Subordination. The Trail Easement shall be superior to any and all deeds of trusts, mortgages, liens, ground leases, licenses, covenants or encumbrances recorded after the recordation of this Agreement that affect the Grantor's Property, and this Agreement shall 5 survive the foreclosure or termination of any such instrument or interest. If Grantor encumbers the Grantor's Property or any portion thereof prior to conveyance of this Trail Easement to District, Grantor shall deliver an executed consent of lienholder in which any lienholder or mortgagor _consents to the Trail Easement and agrees that District's rights shall not be affected by any foreclosure or other remedy under such encumbrance so long as District performs its obligations under this Agreement. 12. Authority. This Agreement is made pursuant to the authority of and upon, and is subject to the conditions prescribed by General Order No. 69-C of the Public Utilities Commission of the State of California dated and effective July 1.0, 1985, which General Order No. 69-C, by this reference, is hereby incorporated herein and made a part hereof. Without limitingthe generality of the foregoing, General Order 69-C provides in art that all public g YP P utilities covered b the provisions of PUC 851 "... are authorized to rant easements licenses Y P g or permits for use or occupancy, on, over or under any portion of the operating property of said utilities for rights of way, private roads agricultural purposes, or other limited uses of their g Y, P g P rP several without further special authorization b this Commission whenever it shall properties P Y appear that the exercise of such easement, license or permit will not interfere with the operations, practices and services of such public utilities to and for their ... consumers.... Provided, however, that each such grant ... shall be made conditional upon the right of the grantor, either upon order of this Commission or upon its own motion to commence or resume the use of the property in question whenever, in the interests of its service to its patrons or consumers, it shall appear necessary or desirable so to do." In accordance with the foregoing, this Agreement may be terminated by Grantor in the event that Grantor determines that in the interests of its service to its patrons or consumers, it shall appear necessary or desirable so to do, or in the event of an order of the Commission to such effect. Grantor shall give Grantee thirty (30) days written notice prior to the effective date of such termination, provided that in the event of an emergency that presents an imminent threat of injury to persons, damage to property,or damage to Grantor's watershed, Grantor may give such shorter notice as is reasonable under the circumstances. 13. No Partnership. Nothing contained in this Agreement shall be construed as making Grantor and District joint venturers or partners. 14. Miscellaneous (a) Mediation of Disputes. (i) Consultation and Resolution Process. In the event either party believes the other party to this Agreement has failed to comply with its terms, or wishes to propose an amendment to this Agreement to address any term or condition herein, or to discuss any operational issues concerning the Trail Easement, the parties agree to meet and confer within thirty(30) days of receipt of a written request for consultation delivered to the other party as set out in Section 10 herein. 6 I i f i ('ii) If the consultation process set out in Subsection 14 (a) (i) fails to resolve any dispute arising out of or relating to this Agreement or the performance or breach thereof, the parties agree to participate in good faith in non-binding mediation in order to resolve their dispute prior to pursuing any available legal remedies. (b) Captions. The captions of this Agreement are inserted only as a matter of convenience and for reference. They do not define, limit or describe the scope or intent of this Agreement and they shall not affect the interpretation hereof. (c) Exhibits. Each of the Exhibits referenced in this Agreement is attached hereto and incorporated herein. (d) Amendment. This Agreement may be amended only by an instrument in writing executed by the Parties hereto or by their successors and assigns. I (e) Time. Time is of the essence of this Agreement. (t) Written Consent Required. Whenever a Party is requested to consent or to approve of any matter with respect to which its consent or approval is required by this Agreement, such consent or approval shall be given in writing. (g) Further Assurances. The Parties shall execute such further documents and instruments as may reasonably be required from time to time by the other Party to effectuate and carry out the provisions hereof and to take such further actions as may reasonably be required to give the terms hereof full force and effect for the benefit of the Parties. (h) Terms Run with the Land. The easements, terms, covenants and conditions contained herein shall run with the land and be binding upon and inure to the benefit of the successors and assigns of the Parties hereto pursuant to California Civil Code Section 1468. (i) Severability. If any provision of this Agreement shall to any extent be invalid or unenforceable, the remainder of this Agreement (or the application of such provision to persons or circumstances other than those in respect of which it is invalid or unenforceable) shall not be affected thereby, and each provision of this Agreement, unless specifically conditioned upon such invalid or unenforceable provision, shall be valid and enforceable to the fullest extent permitted by law. (j) Governing Law. This Agreement shall be construed and governed in accordance with the laws of the State of California. (k) Counterparts. This Agreement may be executed in counterparts, each of III which shall constitute an original, and all of which together shall constitute one and the same instrument. 7 I, IN WITNESS WHEREOF, the Parties hereto have executed this Agreement as of the date first written above. GRANTOR: DISTRICT: CALIFORNIA WATER SERVICE MIDPENINSULA REGIONAL OPEN SPACE COMPANY,a California corporation DISTRICT, a Public District formed pursuant to Section 3 of Chapter 3 of Division 5 of the By: California Public Resources Code (Name and Title) By: Stephen E. Abhors,General Manager By: Date: (Name and Title) Date: APPROVED AS TO FORM: By: Susan M. Schectman,General Counsel ATTEST: By: Michelle Radcliffe,District Clerk 8 | ORDER NO. : OO26O18892 BC EXHIBIT A The land referred to is situated in the (See Below) State of California, and is described as fDUOvvS: � The land referred to in this Report is situated in the unincorporated area of the County of San | Mateo and in the City of Woodside, State of California, and is described as follows: PARCEL ONE: Beginning at a concrete monument yet in the Northeasterly line of the 100 foot right of way of � the State of California Highway known as"Skyline Boulevard", Division IV, Route 55, Section C, � San Mateo County, North 420 27' 35" East 50 feet from the center line of said right of way, at � � Engineer's Station 496 plus 55.48, the bearing of said center line at said station being North 470 � 32' 25"VVest, Said point of beginning also being North 770 48' 15" East 1.60 feet from O point, � � formerly the common corner oflands of Bear Gulch Water Company, [Jana E. L. Fo|geraOd A. Arata; thence along the general Easterly line of said Skyline Boulevard, North 470 32' 25"VVest 131O.17 feet to a concrete monument; thence along a curve to the left, tangent to the last named course, having a radius of 1O5O.00 feet and a central angle of 190 42'30", an arc distance Of3G1.17feet to concrete monument; thence tangent to the last named curve, North 670 14' 55"VVest 788.61 feet to a concrete monument; thence along d Curve to the right, � tangent tothe last named course, having a radius of55O.00 feet and a central angle of24u 06' 30"' an arc distance of 231.42 feet to a concrete monument and point of compound curve; i � th8DD8 continuing along a curve to the right, having a radius mf95U.00 feet and a central angle of 380 04' 21", an arc distance of 631.27 feet to a concrete monument and point of compound curve; thence continuing along a curve to the right, having a radius of45O'OO feet and a central angle of43» 44']O, an arc distance Of335.09 feet tOa concrete monument; thence tangent to the last named curve, North 370 4O' 2D" East 463.38 feet to a concrete monument; thence along acurve to the left, tangent to the last named course, having a radius of 350.00 feet and a central angle of75» 3O'OD", an arc distance of461.3O feet to a concrete monument; thence tangent to the last named curve, North 370 49'34"VVest 591.18 feet to a concrete monument; | thence along a curve tothe left, tangent tothe last named course, having a radius of55O.00 feet and a central angle of27v 05' 15", an arc distance of20O.O2 feet to a point, said point being at the intersection of said Skyline Boulevard and the Westerly line of the Rancho Canada � � � de Ravrnundo, between stations known asG.R. 36and G.R. 37; thence leaving said � Northeasterly line of said Skyline Boulevard and running along said Westerly line of said Rancho, between Stations G.R. 36 and G.R. 37, North 040 11'35" East 84.74 feet toa concrete � � nlOOu[D8Ot set at Said Station G.R. 37 of said Rancho Canada de Raynnundo; thence along said � � Westerly line of said Rancho between Stations known as G.R. 37 and G.R. 38 South 640 47'05" � West 115.85 feet to a concrete monument set in said general Easterly line of said Skyline � � Boulevard; thence continuing along said Easterly line of said Skyline Boulevard, alonga curve to i � the left, the |OOg chord of said curve bearing North 860 40' 22"VVest 206.82 feet and having a � � radius of55O.00 feet and a central angle of 210 40'22", an arc distance of2D8'O5 feet to a � concrete monument; thence tangent tO the last named curve, South 02» 2g' 25"West 111.WQ � � feet toa concrete monument; thence along a curve tn the right, tangent tn last named course, � having a radius of45O-OO feet and a central angle of41» 27'OO", an arc distance of]25'55feet � | Page 1nf6 | � � toa concrete monument; thence tangent tq the last named curve, North 58» OO']3"West � 2183.25 feet toa concrete monument; thence along a curve tV the left, tangent to the last � named course, having a radius of 550.00 feet and a central angle of 190 25'44", an arc � distance of 186.50 feet to a concrete monument set atthe intersection of said Northeasterly line of aid Skyline Boulevard and said Westerly line of said Rancho Canada de Raynnundo, between Stations known as G.R. 38 and G.R. 39; thence leaving said Northeasterly line of said Skyline Boulevard and running along said Westerly line of said Rancho between said Stations G.R. 38 and G.R. 39, North 550 56'00"VVesL 517.08 feet to a concrete monument and corner known 85 G.R. 39 of said Rancho, said monument recently replaced a 4 inch by 4 inch post marked G.R. 39; thence North 340 26'00"West along the Southwesterly line of property conveyed bvC. C. y4apehnuse, an unmarried man, to Bear Gulch Water Company, 8 corporation, by Deed dated June 27, 1927 and recorded June 30, 1927 in L|ber 310 of Official Records of San Mateo County at Page 51, 35.O5 feet[oa concrete monument set |nsaid general Easterly line of said Skyline Boulevard; thence continuing along said Easterly line of said Skyline Boulevard along a curve to the right, the long chord of said curve bearing North 070 20' 48" East 1S8.81 feet and having a radius of3SO.00 feet and a central angle of92^ 59' 59", an arc distance of 2O1.58 feet to a concrete monument; thence tangent to the last named curve, North 23o5O'48" East 197.06 feet toa concrete monument; thence along a curve to the left, tangent to the last named course, having a radius of 550.00 feet and a central angle of 110 33' 08"' an arc distance of 110.89 feet to a concrete monument set at the intersection of said � � Easterly line qf said Skyline Boulevard and the Easterly line of a 2O.00 feet easement reserved � for road purposes oedescribed in the Deed from C. C. Morehouse to Bear Gulch VVDt8r � Company, dated June 27, 1937 and recorded June 30, 1927 in Liber 310 of Official Records Of � the San Mateo County at Page 51} {hence leaving said Easterly line of said Skyline Boulevard � and running along said Easterly line of said � �O.DO foot easement, North GOo 13' 23" East 106.75 feet to a concrete monument; thence North 030 23'07"West 41.24 feet to a concrete � � monument; thence North 330 18' O7"VVest 58.74 feet to a concrete monument; thence leaving said Easterly line of said 20.00 foot easement and running along the general water-shed boundary of Bear Gulch Creek, North 770 14'53" East 71.22 feet to a concrete monument; thence South 75o44' 5O" East 21G.17 feet toa concrete monument; thence North 56« 2O' 1O" East 2O7.12 feet hDa concrete monument; thence North 46028'4O" East 23].4S feet toa concrete monument; thence North 7O» 36' 55" East 201.O0 feet toa concrete monument; thence North 52» 32' 55" East 157.SS feet toa concrete monument; thence North 28oS4' 3S" | East 122.81 feet to a concrete monument; thence North 65vS5'4O" East 233.48 feet toa concrete monument; thence North 390 10' 10" East 441.54 feet tO d concrete monument; � thence North 50^ 48'4O" East 15].5O feet bo concrete monument; thence South 87oO8']5" East 276.17 feet to concrete monument; thence North 560 DD' 10" East 252.9O feet to concrete � monument; thence North 770 42' 10" East 240.98 feet to concrete monument; thence South � 75» OD'2O"East 2O2.O3 feet tq concrete monument; thence South 4]» 35'35~ East 206.50feet to concrete monument; thence South 620 04' 35" East 306.48 feet to concrete monument; thence North 100 05' 53" East 356.92 feet to concrete monument; thence North 730 29' 25" ! East 297.90 feet to COnCr8t8 monument; th8DC8 North 220 26'40" East 342.51 feet to concrete monument; thence North 710 08' 55" East 337.15 feet to concrete monument; thence North 49» 36' 25" East 134.O5 feet to concrete monument; thence South 88o2O']5° East 1J1.56feet to concrete monument; thence South 270 07'35" East 159.56 feet to concrete monument; thence South 65^ 53'35" East 224.38 feet to concrete monument; thence South ODv3O'45" West 185.46 feet to concrete monument; thence South 170 54'45" East 131.70 feet to concrete monument, formerly d 4 inch by 4 inch post Set On the line between Lots 3 and 3 of Tract NO. 1 | of the Greer Partition aS said Lots and Tracts are delineated and designated On the Map entitled "Map of the Partition and Subdivision of all that Part of the Lands of the Estate of Maria Louisa Page 2 of �� Soto de Greer, Deceased, in the Rancho Canada de Raymond, deeded by M. C. Miramontes to Robert L. Greer, et al, by Deed of September 3, 1885", filed in the Office of the Recorder of San Mateo County on March 22, 1889, in Liber 2 of Maps at Page 23; thence continuing along said watershed boundary of said Bear Gulch Creek, South 641 41'30" East 243.86 feet to a concrete monument, thence South 53" 54'30" East 835.72 feet to concrete monument; thence South 090 30'55" East 169.03 feet to a concrete monument; thence South 610 44' 55" East 571.63 feet to concrete monument; thence South 70017' 15" East 269.48 feet to a concrete monument; thence South 860 14'45" East 411.11 feet to concrete monument; thence South 050 23'35" East 398.32 feet to concrete monument; thence South 720 03'45" East 322.21 feet to concrete monument; thence South 260 43' 25" East 217.84 feet to a concrete monument; thence South 690 31' 50"East 145.40 feet to concrete monument; thence North 440 42' 10" f monument; h 21 2 E 27.East 276.45 feet to a concrete onume t, thence South 65 3 East 3 15 feet to a concrete monument; thence South 500 42' 30" East 125.96 feet to a concrete monument; thence North 710 38'30" East 159.51 feet to a concrete monument; thence North 370 39' 50" East 96.85 feet to a concrete monument; thence North 770 29' 50" East 106.49 feet to a concrete monument; thence South 480 51' 30" East 334.10 feet to a concrete monument, set on the line between Lots 4 and 5 of said Tract No. 1 of said Greer Partition; thence leaving said water-shed boundary of said Bear Gulch Creek and running along the line between said Lots 4 and 5, South 530 11'34" West 3154.11 feet to a point in the center of Bear Gulch Creek and being the most Westerly corner of said Lot 5 and the most Southerly corner of said Lot 4 of said Greer Partition, from which point a concrete monument bears North 530 11' 34" East 84,51 feet; thence down-stream along said center line of said Bear Gulch Creek, South 860 34' 45" East 90.66 feet to a point; thence South 510 25' 05" East 170.11 feet to a point; thence South 590 46' 15" East 247.07 feet to a point; thence South 420 00' 45" East 559.90 feet to a point; thence South 410 06' 05" East 186.73 feet to a point; thence South 510 47' 15" East 224.14 feet to a point; thence South 310 37' 35" East 181.13 feet to a point; thence South 450 40' 15" East 126.49 feet to a point; thence South 580 07" 15" East 137.09 feet to a point, from which a concrete monument bears North 530 53' 05" East 30.00 feet; thence leaving said center line of said Bear Gulch Creek and following along the boundary line between lands of California Hacienda Company and Bear Gulch Water Company, North 530 53' 05" East 3645.94 feet to a concrete monument thence North 530 38'S6" East 1.83 feet to a concrete monument; thence leaving said boundary line between lands of California Hacienda Company and Bear Gulch Water Company and running along said water-shed boundary of said Bear Gulch Creek, South 730 44' 48" East 859.96 feet to a concrete monument; thence North 500 18' 52" East 249.87 feet to a concrete monument; thence North 260 58' 37" East 246.82 feet to a concrete monument; thence North 550 56' 37" East 342.42 feet to a concrete monument; thence North 850 59'27" East 548.50 feet to a concrete monument; thence North 610 02' 17" East 1133.72 feet to a concrete monument; thence North 690 09' 27" East 259.40 feet to a concrete monument; thence leaving said water-shed boundary, South 470 09' 52" East 894.22 feet to a concrete monument; thence North 410 25' 52" East 79.29 feet to a concrete monument; thence North 420 53' 12" East 381.37 feet to a concrete monument; thence North 740 44'52" East 171.27 feet to a concrete monument; thence North 360 05'02" East 144.80 feet to a concrete monument; thence North 220 52' 32" East 336.58 feet to a point in the center line of the County Road, 40.00 feet wide, commonly known as the Redwood City to La Honda Road, formerly known as the Redwood City to Searsville Road, at Engineer's Station 291 plus 72.61; thence along said center line of said County Road, South 330 40'50" East 235.45 feet to a point; thence along a curve to the left, tangent to the last named course, having a radius of 600.00 feet and a central angle of 210 55'an arc distance of 229.61 feet to a point; thence tangent to the last named curve, South 550 35' 50"East 15.42 feet to a point, being the intersection of said center line of said County Road and the center line of Bear Gulch Creek; Page 3of6 I thence upstream along said center line of said Bear gulch Creek, South 860 42' 10"West 71.58 feet to a point; thence South 690 32' 10"West 23.34 feet to a point; thence North 580 35'50" West 50.35 feet to a point; thence South 430 00' 10"West 111.90 feet to a point; thence South 310 53' 10"West 115.09 feet to a point; thence South 270 52' 10"West 117.00 feet to a point; thence South 510 46' 10"West 103.41 feet to a point; thence South 190 18' 10"West 95.10 feet to a point; thence South 430 02' 10"West 60.35 feet to a point; thence South 150 19' 10" West 165.96 feet to a point; thence South 800 05' 10"West 96.57 feet to a point; thence South 480 00' 10"West 140.86 feet to a point thence South 690 49' 10"West 137.40 feet to an iron bolt set in the dam across said Bear Gulch Creek; thence leaving said dam across said Bear Gulch Creek and running South 630 01' 20" East 400.00 feet to a point in the 50.00 foot road known as Bear Gulch Road, said point being the most Southerly corner of the parcel of land conveyed by The Doxsee Company, a corporation, to Edward H. Wobber, by Deed dated September 20, 1926 and recorded November 5, 1926 in Liber 279 of Official Records of San Mateo County at Page 114 and from which point an iron pipe monument bears North 630 01' 50"West 10.00 feet; thence along the line between lands of said Bear Gulch Water Company and said Clara E. L. Folger, as described in the Quitclaim Deed from Bear Gulch Water Company to Clara E. L. Folger, dated March 29, 1930 and recorded May 1, 1930 in Liber 476 of Official Records San Mateo County at Page 1 and along said Bear Gulch Road, South 100 58'35"West 125.44 feet to a point; thence South 420 05'55"West 304.80 feet to a point; thence South 281 01' 55"West 110.73 feet to a point; thence South 430 16' 25"West 26.23 feet to a point; thence South 280 32'55"West 300.85 feet to a point; thence South 520 15'55"West 179.00 feet to a point; thence South 341 43'55"West 105.65 feet to a point; thence South 210 15' 55" West 291.30 feet to a point; thence South 610 40'55"West 236.03 feet to a point; thence South 530 26'55"West 157.10 feet to a point; thence South 610 43' 25"West 156.50 feet to a point; thence South 420 31'25"West 423.80 feet to a point; thence South 170 01' 25"West 174.40 feet to a point; thence South 230 29'05" East 241.60 feet to a point; thence South 081 50'05" East 141.75 feet to a one inch pipe monument set in concrete; thence leaving said Bear Gulch Road and continuingalong the line of said Folger Properties, South 370 55' 55"West 9 9 P 89.00 feet to a one inch pipe monument set in concrete; thence South 560 06'55'West 843.00 feet to a one inch pipe monument set in concrete and thence South 770 48' 15"West 6664.31 feet to a concrete monument set in the Northeasterly line of said Skyline Boulevard and the point of beginning and containing 1175 acres of land, more or less, and being portion of the Rancho Canada de Raymundo in San Mateo County, California. EXCEPTING THEREFROM those portions of the County Road, 50.00 feet wide, commonly known as Bear Gulch Road, within the boundaries of the above described parcel of land. ALSO EXCEPTING THEREFROM that portion of the County Road, 40.00 feet wide, commonly known as the Redwood City to La Honda Road, within the boundaries of the above described parcel of land. ALSO EXCEPTING THEREFROM the 0.83 acre tract adjacent to the Skyline Boulevard, conveyed by Bear Gulch Water Company, a corporation, to State of California by Deed dated March 23, 1934 and recorded May 19, 1934 in Liber 622 of Official Records of San Mateo County at Page 302. PARCEL TWO: Beginning at the most Westerly corner of Lot 5 of Tract No. 1 of the Greer Partition in the center of Bear Gulch Creek, from which corner a concrete monument bears North 530 11' 34" Page 4 of 6 East 84.51 #eet, as said Lot and Tract are delineated and designated on the Map entitled "Map � of the Partition and Subdivision of all that part of the Lands of the Estate of Maria Louisa Soto � de Greer, deceased, inthe Rancho Canada de Raymundo, 0eeded byM. C. Miramortes to � Robert L. Greer, et al, by Deed of September], 1885", filed in the Office of the Recorder of the San Mateo County on March 22, 1889 in L|ber"0"of Maps at Page 7 and copied in Liber 2 of Maps at Page 23; running thence along the |iD8 cOrnrnon to Lots 4 and 5 of Tract No. 1 of said � Greer Partition, North 530 11'34" East 3154.01 feet tot a [ODCr8t8 [OODurD8nt set in the water- shed boundary of Bear Gulch Creek; thence following along said water-shed boundary of said Bear Gulch Creek south 480 57'30" East 1.45 feet to a concrete monument; thence SouthOhv J7'37"West 443'4O feet toa concrete monument; thence South 41v56'O]" East 479.97feet to a concrete monument; thence North 520 53' 12" East 731.32 feet to a concrete monument; thence South 74^ 47' 18" East 3OO.86 feet to a concrete monument; thence North G5^ 47'O3" East 2O9.52 feet tna concrete monument; thence South 57^ O1'28" East 393.43 feet toa concrete monument set in the boundary |iD8 b8tvv88D lands of California Hacienda Company � and Bear Gulch Water Company; thence leaving said watershed boundary of said Bear Gulch | Creek and following said boundary line between said lands of California Hacienda Company and Bear Gulch Water Company, South 530 38' 56"West 1.83 feet to a concrete monument; thence � South 530 53'05"West 3645.94 feet to a point in the center of Bear Gulch Creek from which point concrete monument bears North 530 53'05" East 30.00 feet; thence following upstream ofsaidBearGu|chCreekNorth58» O7' 1S"VVeSt137.O9feettoapoint; thence North 45v4D' 15"West 12O.49 feet toa point; thence North 31v ]7'3S"West 101'13 feet hoa point; thence � North 51» 47' 15"West 224.14 feet toa point; thence North 41» D6'O5"West 106.73 feet boa � | � point; thence North 42» OO'45"West 559.9O feet toa point; thence North 5So46' 15"West � 247.O7 feet tOa point; thence North 51u25'O5"West 17O.11 feet tVapoint; thence North 8O^ � � 34'45"West 9O.6S feet to the point ofbeginning. Being a portion of said Lot No. 5of Tract No. � 1 of said Rancho Canada de Raymundo in San Mateo County, State of California. � EXCEPTING FROM Parcels One and Two so much as lies Northerly of the common boundary line � 3s set out in Grant Deeds bv �ndb�Lw��nVVi||��nCorp�r�tiVn �nd ��|iforni� VVaterServi�a | -' � Company, recorded Oecennber28, 1961 in Gooh4119, Pages 658and 663, and including so � much as acquired by California Water Service Company, Southerly of said boundary line. � � � ApN: 072-174-040; ]PN: 72-17-173-09; 072-371-020; 72-37-371-03; � 072-371'040; 73-27-271-04; � 072-280-020; 73-28-200-03; 072-280-030; 72-28-280'03; � � 072-280-040> 72-28-280-04; � � O72 �8OO�O' and �� �8-�GOO�'- - ' - - ' and � 072-280-060 72-38-280-06 � � � � Page 5nf6 � Exhibit B •Half Moon Bay 3J \1 35 ln� ` S", C �R`ad 072-100-020 r\ \ \ ^Jr - r •._„ j__� � - Puris „f , eao illy ft 072-290-100': • 1 1w - Vn- 072-271-040 r 072-280-01010-290 -t . \ Ca. Water, 067-390'170 Service Cfi. - } J 072-286.060 \ 067-400-150 Wunderlich } Park r j• �l �; 1 1' + //` it \' tot ad (S.M. CO.) r , i I ` •-072 - 072-320-320 K Exhibit B: El Corte de Madera Creek Open Space Preserve Midpeninsula Regional � ti , MROSD Preserves Other Public Agency Open Space District(MROSD) Watershed Land Private Property I Other Protected Open Space 0 MROSD Gate November, 2011 or Park Lands Feet • 0 1,-wt 1 3,000 While the District strives to use the best available digital data,this data does not represent a legal survey and is merely a graphic illustration of geographic features. Exhibit C Trail Map (*Map of new trail across Cal Water Property) i i 11 I Exhibit D Trail Easement (*Survey Map and Legal Description of Trail Easement Across Cal Water Property) I I 12 2040 _ 1 , 1880 ; 84 � Q �' _ ,>�, rc P P C Area of. 2080 Detail w underl ' t.c 1 t e�i _ - — A Park (Sa,: E o Co.E Mateo ) �.� -, 072-271-040 ' N 4 E !r q ` — tt California Water Serwi-ce— om P a n Y of C- ,� ` ,, ''--..,` �` •'" -�� � auk £ co 1720 un z \ \ N to o \\ \ 072-280-060 \ \ 072-320;4 60-=-, W r ✓ : ` , �' . 072-320-020 2?80 ; \ \ ', 'so 2000 G r \ i , ra r k v . n \ Exhibit 2: Trail Corridor Area Midpeninsula Regional MROSD Preserves Other Public Agency Open Space District (MROSD) Watershed Land , ° Private Property Other Protected Open Space January, 2012 or Park Lands Trait Corridor, 20 feet wide Feet 0 250 500 White the District strives to use the best available digital data,this data does not represent a legal survey and is mere y a graphic ittustration of geographic features. �r�l �,, l--�r�n �� '' RESOLUTION 12-XX RESOLUTION OF THE BOARD OF DIRECTORS OF MIDPENINSULA REGIONAL OPEN SPACE DISTRICT AUTHORIZING APPROVAL OF TRAIL CONSTRCUTION AGREEMENT, AND AUTHORIZING GENERAL MANAGER TO EXECUTE A TRAIL EASEMENT AGREEMENT,AND AUTHORIZING GENERAL MANAGER TO EXECUTE ANY AND ALL OTHER DOCUMENTS NECESSARY OR APPROPRIATE TO COMPLETE THE TRAIL (EL CORTE DE MADERA CREEK PARKING/STAGING/TRAILS PROJECT) The Board of Directors of Midpeninsula Regional Open Space District does resolve as follows: Section One. The Board of Directors of Midpeninsula Regional Open Space District does hereby approve the Trail Construction and Easement Agreements with California Water Service Company, a California Corporation, and the Midpeninsula Regional Open Space District, a copy of which Trail Construction and Easement Agreements are attached hereto and by reference made a part hereof, and authorizes the General Manager to execute the Agreements on behalf of the District to acquire trail rights over property owned by California Water Service Company ("Trail connection from El Corte de Madera Creek Open Space Preserve to the Bay Area Ridge Trail"). Section Two. The General Manager is authorized to expend up to $12,000 to cover the cost of a trail survey,plat map and miscellaneous costs related to this transaction. Section Three. The General Manager and General Counsel are further authorized to approve any technical revisions to the attached Agreements and documents which do not involve any material change to any term of the Agreement or documents,which are necessary or appropriate to the implementation of this transaction. Midpeninsula Regional ' Open Space District j To: Board of Directors From: Stephen E. Abbors Date: January 6, 2012 Re: FYIs i _ California flistori Center & Foundation December 12, 2011 ECEIViel) STAFF Tom for Leigh Ann Gessner "t 1 2011 Lisa Christiansen Midpeninsula Regional Open Space District Librarian/Archivist 330 Distel Circle Los Altos, CA 94022 Dear Leigh Ann, Many thanks to you for sending us copies of the full-length and short versions of the oral history done with Mort and Elaine Levine. We will be pleased to add these videos to our collection and share them with our public. Congratulations on your fine efforts to preserve their story. Mort Levine is a former board member of the history center. Betty Hirsch, an instructor of ours who has now passed on, taught a class called South Bay Historic Houses which included the Older estate. I, among many others, enjoy hiking in the area of the estate, but have not yet visited the house. We are planning to restart our oral history program here at the CHC. The recently replicated East Cottage adjacent to our Trianon building will be the headquarters for this endeavor. We will let you know about our progress. Again, many thanks. Sincerely yours, �} Lisa Christiansen Librarian/Archivist FOUNDATION California History Center BOARD OF TRUSTEES De Anza College Thelma Epstein 21250 Stevens Creek Blvd. President Cupertino, CA 95014 Victoria Atherton Vice President 408/864-8987 Cozetta Guinn Secretary William Lester III Treasurer Tom Izu Executive Director Trustees David Howard-Pitney Bayinaah Jones Leslie Masunaga Willys Peck Rowena Tomaneng Trustee ex-ofcio Carolyn Wilkins-Greene De Anza College,21250 Stevens Creek Blvd.,Cupertino,California 95014(408)864-8712 Fax:(408)864-5486 Web:www.calhistory.org Midpeninsula Regional ' Open Space District CLOSING MEMORANDUM To: Stephen E. Abbo .3 General Manager From: Michael C. Williams, Real Property Manager Date: December 29, 2011 Subject: Balaban Property Addition, Sierra Azul Open Space Preserve Escrow closed for the subject transaction on December 28, 2011, and title to and possession of this 83.4- acre parcel passed to the District. I am not aware of any use and management concerns that were not addressed in the staff report to the Board. In accordance with the Public Notification Policy, neighbors to the property were notified of this purchase. As there were no comments made by any of the neighbors or members of the public that might require amendments, close of escrow marks the final adoption of the Preliminary Use and Management Plan, approved by the Board of Directors at its meeting of December 14, 2011. The following chart presents dedication and acquisition details for this property: DEDICATION&ACQUISITION INFORMATION Preserve Ownership Status: Board Approval Date& & County Grantor Acres (Fee,Easement,Lease, Resolution Number or Area & Mgmt Agreement) General Manager A.P.N. Approval roval Date Sierra Azul Santa Clara Balaban 83.4 Fee December 14,2011 Mount Umunhum 562-23-005 1140 Mgmt.Status: Dedication Date Closing Date (Open,Closed,CMU, & Fundin Value GIS Code or Other) Status(Intended or Type g Withheld) December 28,2011 Closed Withheld Cash $800,000 800,000 1789 Misc.Notes: 1. As part of this transaction,the District received a Right of First offer for the 95.4 acre Balaban family property(Santa Clara County APN 562-22-039)(GIS 1777) 2. The District withheld$5,000 in escrow to ensure a picnic table,shed and misc.debris is removed from the property. cc: Accounting Public Affairs Manager Board of Directors Real Property Administrative Assistant Field Offices(SFO&FFO) Senior Real Property Planner GIS Administrator 'Training and Safety Coordinator Legal Administrative Assistant Management Analyst Operations Manager Planning Manager Public Affairs Administrative Assistant '*Los Gatos I c� a Area of 5 Lo; Almaden Quicksilver Detail yc County Park 0S. �SRoad as 17 - �arnitos Road n .if p t Restrv0 w to r---- Balaban 0a�a MOdntain Trail 83.4 Acres s`� °•�r i r �Barloh A 'Qoa� Bald J f Mountain Calero °_ — — -- County Park d.. a _ ;3 POST 9 ; Barret Creek — - Balaban Uplands Right of First dF Offer Property g 95.4 Acres V i J? �gl Santa Clara County 1 Open Space Authority Proposed Balaban Property Addition to Sierra Azul OSP Midpeninsula Regional Highlighted Property Watershed Land Management Agreement Open Space District (MROSD.) MROSD Preserves Other Public Agency [!27 Non MROSD Conservation r or Agricultural Easement Other Protected Open Space Private Property MROSD Conservation � a or Park Lands ® December, 2011 Developed Land or Agricultural Easement Land Trust Miles 0 0.5 White the District strives to use the best asai a le digital data.this data oes not represent a legal survey and is merely a graphic illustration or geographic fe4tuints I �Los Gatos 17 ,a - �o a Almaden Quicksilver Area of County Park P Detail .1 ��SRoad 35 17 tnitos Road/---. Balaban plmadpll Resel Trail 83.4 Acres toy Aoa (' ) Bald P . C Mountain -- _ 1 t f°" 1 Calero m County Park A m POST Barret Creek — - --- Balaban Uplands / Right of First Offer Property — g 95.4 Acres - l A y Santa Clara County Open Space Authority Proposed Balaban Property Addition to Sierra Azul OSP Midpeninsula Regional - Highlighted Property Watershed Land Management Agreement Open Space District (MROSD) MROSD Preserves Other Public Agency Non MROSD Conservation or Agricultural Easement Other Protected Open Space Private Property MROSD Conservation or Park Lands ® December, 2011 a Developed Land or Agricultural Easement Land Trust Mlles � • , 0 0.5 1 While the District strives to use the best available digital data,this data does not represent a legal survey and is merely a graphic illustration of geographic features. � � � � K8idp2DinSUlaRegioOal | Open Space District � ' CLOSING MEMORANDUM / To: Stephen E. From: KYiuhoe| C. Williams, Rcu| Property Manager Date: December 29, 20| | Subject: POST(Barret Creek Uplands) Property Addition, Siurru/\xu| Open 8puuo Preserve Escrow closed for the subject transaction on December 22, 2011, and title to and possession of this � |50.5|-acre parcel passed tm the District. | � ! I am not aware of any use and management concerns that were not addressed in the staff report to the � Board. In accordance with the Public Notification Policy, neighbors to the property were notified of this � purchase. As there were no comments made by any of the neighbors or members olthe public that might require amendments,close of escrow marks the finu|adoption o[the Preliminary Use and Management Plan, approved by the Board of Directors u1 its meeting of December l4, 20| |. | � � The following ohud presents dedication and acquisition details for this property:DEDICATION&ACQUISITION INFORMATION � � Preserve Ownership Status: Board Approval Date& Resolution Number or & County Grantor Acres (Fee,Easement,Lease, General Manager Area & Mgmt Agreement) A.P.N. Approval Date Sierra AzuI Santa Clara POST(Barret Creek � � � Mgmt.Status: Dedication Date Closing Date (Open,Closed'CMUI Status(intended or Type Funding Value GIS Code or Other) Misc.Notes: License and Management Agreement with POST terminated upon the close of escrow(GIS 1827). � � � co: *ucvuodog Public Affairs Manager � Board ofDirectors Real Property Administrative Assistant � Field Offices(SP0&PBJ) Senior Real Property Planner � G|8Administmm, Training and Safety Coordinator � Legal Administrative Assistant Management Analyst � Operations Manager ' Planning Manager � Public Affairs Administrative Assistant � � i as •Los Gatos C r• 01 Ilk 7c 17- r,a _ - Area of ( Detail wrw s ��r ,�� �, ,- - �•� Almaden Quicksilver County Park �..r lr 0 N Almaden Rese 1 Santa Clara County Open Space Authority Catero County Park c POST �itos (Barret Creek Uplands) �. a 158.51 Acres ' x Creelr. `� t `! J m Santa Clara County Open Space Authority _ A J V Park j - � '•l �•--� � _ d \ CD t % 0 ro a \ \ \ a+ .. i Santa Clara County a1 —__ Open Space Authority LD NP Exhibit A: Proposed Addition of POST (Barret Creek Uplands) MidpeninsLlta Regional Sierra Azul Open Space Preserve Open Spare District ® Proposed Addition Land Trust ® MROSD Conservation December, 2011 or Agricultural Easement MROSD Preserves Watershed Land i za.000 � Other Protected Open Space ''"' or Park. Lands Other Public Agency 0 0 125 s7 25 / �... 85 0Los Gatos [os� t 01 �r 17 i r Area of ,. Detail 1 f , 71 � i I Almaden Quicksilver •j County Park is -.• ": l r / den ReSeN ! a Santa Clara County Open Space Authority l Calero County Park Gi :-•'' "- POST os j (Barret Creek Uplands) ! f 158.51 Acres Cree 1 Santa Clara County Open Space Authority (�r:-1EJ1 d Sierra AzuI Open pace Preserve Mt. Umu unn Area }0 { N \ a\\ S ' l Santa Clara County Open Space Authority Gte �16P m :- Exhibit A: Proposed Addition of POST (Barret Creek Uplands) Midpeninsula Regional Sierra Azul Open Space Preserve Open Space District Proposed Addition Land Trust MROSD Conservation December, 2011 r or Agricultural Easement MROSD Preserves Watershed Land 1:28,000 Other Protected Open Space e o o 125 025 0.5�e • , or Park Lands Other Public Agency i ' IMidpeninsuia Regional Open Space District r � I To: Board of Directors From: Stephen E. Abbors Date: January 11, 2012 Re: Late FY1s r operispace January 6, 2012 Leslie Lambert, Planning Manager Town of Portola Valley 765 Portola Road Portola Valley, CA 94028 Re: Mitigated Negative Declaration and Conditional Use Permit X7D-169, Spring Ridge LLC ,Neely/Myeo s Dear Ms. Lambert: On behalf of Midpeninsula Regional Open Space District(District),I would like to submit the following corTtments regarding the Mitigated Negative Declaration and Conditional Use Permit X7D-169, Spring Ridge LLC (Neely/Myers) project, located at 555 Portola Road, adjacent to Windy Hill Open Space Preserve in Portola Valley, California. As a neighbor who is concerned about aesthetic and natural resource impacts, as well as any direct and indirect impacts to the visitor trail use experience at our Preserves that may result from new development,we respectfully submit the following comments for the Planning Commission's consideratior=. At this time, the final Town staff report has not yet been released; and the District has not yet received in writing the new conditions of approval that the Town is considering as part of the conditional use permit under review. Therefore, these comments are made absent this information. Aesthetics In letters dated January 19, 2011, December 15, 2010, and December 10, 2009, the District stated its concerns about the widely spaced development proposal (cabana, greenhouse, artists studio, barn, and agricultural building) for the property. Though the District acknowledges that the proposed cabana and greenhouse buildings appear consistent with the Town's general plan, the cabana, which appears to be located on an existing semi-open grassy knoll, remains potentially visible from the Spring Ridge Trail in the adjacent Preserve. Clustering development lower on the property, closer to the existing residence, would focus development in a limited area and leave intact the vistas to the existing upper grassland and forests of the Spring Ridge L.LC property as seen front the Preserve. If the cabana is approved in its current location,the District reiterates its preference that earth-tone colors and materials appropriate to the site be used for the cabana. In addition, the District respectfully requests that mitt as tion_measures also include screening tree and shrub material between the cabana and the Preserve to lessen i�acts to the vista as„seen.-by_visitors of the Preserve. Land Use At the Town Council meeting on October 26, 201E the District understood that the Town Council determined that the Spring Ridge LLC Conditional Use Permit falls under the original General Plan Planning Manager, Town of Pomla\al|ey Ref: Mitigated Negative Declaration and Conditional Use Permit X7Q-I69, Spring Ridge UI(Ncoly/Myen> Page lanuiry 6 2011 designation for"Meadow Preserve" and that the Planning Commission shou|d interpret the provisions in the General Plan for"Meadow Preserve" as they relate to the proposed Conditional Use Permit, � The District would like to reiterate iLscoocems tu the Commission about the agr)cu|tum} building an,.] agricultural uses proposed in the Spring Ridge LL[ development in the "Meadow Preserve" designated area located adjacent to Porto|a Road and the parking area of Windy Hill Open Space Preserve. The particular concern is that expanding the definition of"Meadow Preserve"to include agricultural structures, row crops such as vineyards, vegegab|es, oohands, and fruit trees may lead to a future change � in the layout and placement of these specific uses, If these uses are allowed to extend towards Portu|a | Road and/or Windy Hi!! Open Space Preserve, the valuable meadow buffer that currently exists at these locations would be lost. The existing natural meadow buffer is key in preypming the transition between ,he built and natural environment. and between private and public |and. This buffer also provides safe additional clearance for hang gliders and parag|ideo that land within the District's meadow located south of the Spring Ridge LLC property, The District respectfully requests that conditions of approval include st)ecific limits to the amount of area in the Meadow Preserve that may be used for agricultural buildings and agricultural uses including two crops,vingyards.vegetables,orchards,and fruit trees, We appreciate the opportunity to provide input and thank you for Your tirne In reviewing this letter, F you have any questions regarding this letter, p|ease contact Tina Hugg' Open Space Planner 11, all 650 � 59l l200, Gncere|y, � Ana Ruiz, AJ[P �/ � Planning Manager � � cc Stephen Abbum, General Manage: MR]SID � yWROSD Board ofDirectors � � � � � � � � � GENERAL MANAGER Stephen E Abbors Regional OpenSpaee Midpeninsula Regional open Space District I BOARD OF DIRECTORS Pete Siernens January 9, 2011 Yoriko Kishimoto Jed Cyr Curt Riffle Jeremy Dennis Nonette Hanko ett Fiscal Officer for San Mateo CountY Fire Larry H Hauls Cecily Harris 555 County Center Redwood City, CA 94063-1662 Re: Agreement Between San Mateo County and Midpeninsula Regional Open Space District (District)— Report of Purchases and Semi-Annual Installment of Fire Services Fee Dear Mr. Dennis: On behalf of the District, I am forwardingthe Fire Services Fee Payment Schedule (Schedule) and Y payment resulting from the District's property purchases within San Mateo County(County) in the District's Coastside Protection Area, as outlined in the March 2004 Agreement (copy attached). The District and Count entered into the contractual Agreement for the provision of fire-related services Y g p i to District lands in the Coastside Protection Area that are not currently provided within the State Responsibility Area by the California Department of Forestry and Fire Protection(Cal Fire). According to the Agreement, the District will, in exchange for the County's fire services, compensate the County by means of a Fire Services Fee. The District has not purchased any property within the District Coastside Protection Area since its last report to you on July 2011. In accordance with the Agreement, please find enclosed the Fire Service Fee of$2,886.47 for the January 2012 installment covering the properties identified on the attached Schedule. If you have any questions regarding this letter or the attached schedule, please contact me directly at (650) 691-1200 Ext. 542 or by email at mwilliams@openspace.org. Sincerely, Michael C. Williams, Real Property Manager MCW.jc cc: Midpeninsula Regional Open Space District Board of Directors Stephen E. Abbors, General Manager David S. Boesch, County Manager Carol Mondino, Senior Appraiser Enclosure: Fire Service Fee Payment Schedule Check 33o Distel Circle Los Altos,CA 94022 1 6So 6911200 6so 69a 048S www openspace org cc� GENERAL MANAGER Stephen E Abbors Regional 0penSpace ; Midpeninsula Regional Open Space District BOARD OF DIRECTORS Pete Siemens Yoriko Kishimoto January 9, 2011 Jed Cyr Curt Riffle Nonette Hanko La Honda Pescadero Unified School District Larry Hassett P.O. Box 189 CeulyHarris Pescadero, CA 94060 Attn: Amy Wooliever, Superintendent Re: Agreement Between La Honda Pescadero Unified School District(LHPUSD) and Midpeninsula Regional Open Space District(District)—Report of Purchase and Semi-Annual Installment of Tax Compensatory Fee Dear Superintendent Wooliever: On behalf of the District, I am forwarding the Tax Compensatory Fee Payment Schedule (Schedule) and payment resulting from District property purchases within the LHPUSD boundary and the District's Coastside Protection Area, as outlined in the March 2004 Agreement. The Agreement requires the District to make Tax Compensatory Fee payments to LHPUSD in two semi- annual st 1 h calendar year for an lands purchases completed b annual installments on January 1 and Jul of each rY Y Y Y p p Y the District within the LHPUSD boundary. The District has not purchased any additional properties within the LHPUSD boundary since its last report to you on Jul 2011. In accordance with the Agreement, lease find enclosed the LHPUSD Tax P Y g P Compensatory of$7,875.21. This payment is for the January 2012 installment covering the properties identified on the attached Schedule. If you have any questions regarding this letter or the attached payment schedule, please contact me directly at (650) 691-1200 Ext. 542 or by email at mwilliams@openspace.org. Sincerely, Michael C. Williams, Real Property Manager MCW.jc cc: Midpeninsula Regional Open Space District Board of Directors Stephen E. Abhors, General Manager Carol Mondino, Senior Appraiser Enclosure: LHPUSD Tax Compensatory Fee payment Schedule Check f; 33o Distel Circle Los Altos,CA 94022 65o.69s 1200 650 691:0485 I www openspace Dig k Midpeninsula Regional Open Space District For Immediate Release Date: January 9,2012 Contact: Leigh Ann Gessner 650.691.1200 x566 Public hearing set for January 18 on Mt. Umunhum Draft Environmental Impact Report Los Altos, California [January 9, 20121 — The public is invited to give input on the environmental impact of the Midpeninsula Regional Open Space District's plans to restore the natural environment and create public access at Mount Umunhum during a hearing January 18 in Sunnyvale. In accordance with California law, a Draft Environmental Impact Report detailing all aspects of the proposed project was released December 12, 2012 for a 60-day public comment period. The purpose of this hearing is to provide the public with a forum to comment on the environmental analysis. WHAT: Mount Umunhum Draft Environmental Impact Report Public Hearing WHEN: Wednesday, January 18, 2012 at 7:00 p.m. WHERE: Historic Del Monte Building 100 South Murphy Avenue, #103 Sunnyvale, CA. 94087 {directions) The Draft Environmental Impact Report is available at the Los Gatos Public Library, the Almaden Branch Library and Community Center, the District's administrative office, and on the District's website. Comments can also submitted in writing to 330 Distel Circle, Los Altos, CA. 94022 or mt.um@openspace.org. A public meeting to certify the Final Environmental Impact Report is expected in spring 2012. Further public meetings are expected to be held in summer 2012 to consider approval of the project, including consideration of the radar tower options, multiuse trails, observation areas, interpretive displays, picnic tables, restrooms, campsites and a visitor center. The District purchased Mount Umunhum from the federal government in 1986, incorporating it into the Sierra Azul Open Space Preserve. In late 2009, Congress appropriated $3.2 million to clean up hazardous materials at the former Air Force Station, which was completed in July 2011. At 3,486 feet, Mount Umunhum is one of the highest peaks in the Santa Cruz Mountains. Its slopes host a rich diversity of life and contain the headwaters of several creeks. Mount Umunhum is named after an Ohlone Indian phrase meaning `the resting place of the hummingbird' and is a sacred site to local Ohlone tribal bands. The Alamden Air Force Station occupied the peak from 1957 to 1979. www.openspace.orQ