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HomeMy Public PortalAbout12-1499ORDINANCE NO. 12-1499 AN ORDINANCE OF THE CITY OF CARSON, CALIFORNIA, APPROVING A DEVELOPMENT AGREEMENT BETWEEN THE CITY OF CARSON AND CBS OUTDOOR REMOVING AN EXISTING DOUBLE -SIDED STATIC OUTDOOR ADVERTISING SIGN AND REPLACING IT WITH A 75—FOOT HIGH DIGITAL OUTDOOR ADVERTISING SIGN LOCATED ALONG THE NORTHBOUND I-405 FREEWAY AND ALAMEDA STREET (APN 7316-024-824) THE CITY COUNCIL OF THE CITY OF CARSON, CALIFORNIA, HEREBY FINDS, RESOLVES AND ORDERS AS FOLLOWS: Section 1. An application for a development agreement (Agreement), pursuant to Government Code Sections 65864 through 65869.5 and Resolution 90-050 of the city of Carson, was duly filed by the applicant, CBS Outdoor, Inc., with respect to the real property located at Alameda and northbound 405 Freeway (Site), as shown in Exhibit "A" attached hereto. The applicant proposes a 75 -foot high outdoor advertising display (billboard) to be placed at the southeast area of the subject property. Section 2. The Planning Commission held a duly noticed public hearing to obtain public comments on the Agreement on September 11, 2012 and October 9, 2012, at 6:30 P.M. at the City Hall Council Chambers, 701 East Carson Street, Carson, California. After consideration of the evidence and testimony, the Planning Commission voted to recommend approval of the Agreement by adopting Resolution No. 12-2447. Section 3. The City Council held public hearings on the Agreement on November 7, 2012 at 6:00 P.M. at the City Hall Council Chambers, 701 East Carson Street, Carson, California. A notice of the time, place and purpose of the aforesaid meetings were duly given. Section 4. The City Council finds that the proposed project is categorically exempted from the provisions of CEQA, pursuant to Section 15322 since the project has no potential to cause a significant effect on the environment. Section 5. Evidence, both written and oral, was duly presented to and considered by the City Council at the aforesaid meeting. Section 6. The City Council finds that: a) The Development Agreement provides for a Site which is located within an area suitable for the proposed use, and is in conformance the General Plan and the Manufacturing, Light zoning district. b) The Development Agreement provides for a public convenience through significant monetary benefits which will contribute indirectly to programs and services designed to provide for the health, safety and welfare of the public, thereby exhibiting good land use practices. [MORE] ORDINANCE NO. 12-1499 Page 2 of 30 C) The proposed Development Agreement will not be detrimental to the public's health, safety and general welfare, nor will it adversely affect the orderly development or property values for the subject property or areas surrounding it. d) The Development Agreement is in compliance with the procedures established by City Council Resolution No. 90-050 as required by Government Code, Section 65865(c). e) The Development Agreement in Section 5 provides for an annual review to ensure good faith compliance with the terms of the Agreement, as required in Section 65865.1 of the Government Code. f) The Development Agreement specifies the duration of the agreement in Section 2.4, the Processing Fee in Section 2.5; the Development Fee in Section 2.6 and 2.7 and the Community Benefits in Section 2.9. g) The Development Agreement includes conditions, terms, restrictions and requirements for development of the property in Section 3 and as permitted in Section 65865.2 of the Government Code. h) The Development Agreement contains provisions in Section 4 for removal of the billboard upon the termination the Agreement. i) The Development Agreement provides for amendment or cancellation in whole or in part, by mutual consent of the parties to the agreement or their successors in interest as required in Section 65868 of the Government Code. j) That the Development Agreement is in the best public interest of the City and its residents and that this Agreement will achieve a number of City objectives including utilizing the Billboard Site for a revenue -generating use and removing City Oriented billboard(s). Section 7. The Agreement provides for recovery of the city's costs and complies with the Statue with respect to all fees and costs provided under the Agreement. Section 8. The Development Agreement is in compliance with the procedures established by City Council Resolution No. 90-050 and the City Council finds that the Agreement: a) Is consistent with the General Plan and any applicable specific plan; practices; b) Is in conformity with public convenience and good land use [MORE] ORDINANCE NO. 12-1499 Page 3 of 30 C) Will not be detrimental to the hea nith, safety and general welfare; d) Will not adversely affect the orderly development of property or the preservation of property values; e) Is consistent with the provisions of Government Code Sections 65864 through 65869.5. Section 9. The Development Agreement is attached as Exhibit "B". Section 10. Agreement is on file in the office of the Development Services Department and is hereby incorporated herein by reference. Section 11. Based on the aforementioned findings, the City Council approves the Agreement and authorizes its execution and all action necessary to comply with its terms. Section 12. The Ordinance No. 12-1499 is approved for introduction and first reading on November 7, 2012 and adoption at the second hearing on November 20, 2012. Section 13. The City Clerk shall certify to the adoption of this Ordinance and shall transmit copies of the same to the applicant. The City Clerk shall publish the adopted Ordinance pursuant to California Government Code 36933 within fifteen days of its adoption. Section 14. The Ordinance shall become effective thirty (30) days after the second reading approval date, or if a referendum petition is filed (a) and fails to qualify for an election, the date the City Clerk certifies the disqualification of the referendum petition, or (b) if an election is held regarding the ordinance approving this Agreement, the date the election results are declared approving the Ordinance. PASSED, APPROVED and ADOPTED this 201h day of November, 2012. ATST: City Clerk DoneJa L. Gause, CMC APPROVED.,AS TO FORM Y. rty Atto [MORE] Mayor Jim Dear ORDINANCE NO. 12-1499 Page 4 of 30 STATE OF CALIFORNIA ) COUNTY OF LOS ANGELES ) ss. CITY OF CARSON ) I, Donesia L. Gause, City Clerk of the City of Carson, California, do hereby certify that the whole number of members of the City Council of said City is five; that the foregoing ordinance, being Ordinance No. 12-1499 passed first reading on November 7, 2012, was duly and regularly adopted by the City Council of said City at a regular meeting of said Council, held on the 20th day of November, 2012, and that the same was passed and adopted by the following roll call vote: AYES: COUNCIL MEMBERS: Dear, Ruiz-Raber, Santarina, Gipson and Davis -Holmes NOES: COUNCIL MEMBERS: None ABSTAIN: COUNCIL MEMBERS: None ABSENT: COUNCIL MEMBERS: None City Clerk Dongi4 L. Gause, CMC [MORE] ORDINANCE NO. 12-1499 Page 5 of 30 EXH 1 BIT A LEGAL DESCRIPTION Dominguez Colony for Description See Assessor Maps Portion of Lot 6 Block C 7316-024-824 Recording Requested by And When Recorded Return to: EXHIBIT B CITY OF CARSON 1 Civic Plaza Drive Carson, CA 90745 Attn: Citv Clerk ORDINANCE NO. 12-1499 Page 6 of 30 [Exempt From Recording Fee Per Gov. Code §6103] DEVELOPMENT AGREEMENT NO 6-11 This Fievelopment AuTeement (hereinafter "ALLreement") is entered into this day of 20112. (hereinafter the "Effective Date") by and between, the CITY OF CARSON (hereinafter "City") and CES OUTDOOR INC., a Delaware corporation (hereinafter "Developer"). RECITALS A. California Government Code Sections 65864, et seq., ("Development Agreement Law") authorizes cities to enter into binding development agreements with persons having a legal or equitable interest in real property for the development of such property, all for the purposes of strengthening the public planning process, encouraging private participation and comprehensive planning and identifying the economic costs of such development, B. Developer has a leasehold interest to that certain portion of real property, located adjacent to the north -bound lanes of the 405 Freeway, at the South Alameda Street overpass in the City of Carson, Assessor Parcel Number 7316-024-824, as more specifically described in Exhibit "A" and depicted at Exhibit "C", attached hereto and incorporated herein ("405 FVVY- Alameda Site"), upon which it seeks to install a digital upgrade (2 new digital displays as described in Exhibit "B") to existing lawfully permitted double -sided 14x48 foot static display which is oriented toward the 405 Freeway ("New Digital Billboard"). C. Developer also has a leasehold interest in that certain portion of real property, located adjacent to the 110 Freeway, at 21833 S Figueroa Street in the City of Carson, Assessor Parcel Number 7343-020-074, as more specifically described in Exhibit "A" and depicted at Exhibit "C", attached hereto and incorporated herein ("I10 "TY Site,, which 110 MATY Site is improved with a single -display static billboard structure oriented toward the 110 Freeway FAlY Billboard"). D. Developer also has leasehold interests to certain portions of real property, located at 621 E. Carson Street, Assessor Parcel Number 7337-011-900, in the City of Carson, as such parcels are more specifically described in Exhibit "A" and depicted at Exhibit "C", attached hereto and incorporated herein ("City -Oriented Billboard Site"), which Ciq­Oriented Billboard Site is improved with two (2) static billboard structures having a total of three (3) static displays oriented toward Cityrights-of-way ("City -Oriented Billboards") ORDINANCE NO. 12-1499 Page 7 of 30 3.11.1 Developer shall be obligated to nay those fees, taxes or Citv assessments and any increases in same which exist as the Effective Date or are included in the Development Approvals; 3.11.'_' Developer shall be obligated to pay any fees or taxes, and increases thereof, imposed on a City-wide basis such as, but not limited to, business license fees or taxes or utility taxes: 3.11 13) Developer shall be obligated tc pay all fees applicable to a permit application as charged by City at the time such application is filed by Developer; . i 1.4 Developer shall be obiigated w pay any fees imposed pursuant to anN `)niform Code that existed wrier the appii -ation is filed by the 1)cveloner o; tha' exist, when fne Developer applies for any Subsequent Development Approval. 3.12 Notwithstanding anything to the contrary, herein, if there is a change is such fees to those charges as of the full execution hereof or any additional fees are charged and such additional or increased fees materially change Developer's costs or otherwise materially impacts its performance hereunder, Developer may terminate this Agreement upon ninety (90) days prior written notice. 4. REMOVAL" OF BILLBOARDS 4.1 Removal by Developer. CBS Outdoor has the right to negotiate an extension of the Term as an amendment to this Agreement. If the extension of the Term is not granted by the City the digital displays on the New Digital Billboard will be removed and both displays may be converted back to static displays. 42 City's Right to Removal. Provided Developer is not in material breach hereof past any applicable notice and cure period, City will not have the right to remove the New Digital Billboard. Should such a breach occur, City may only require removal of the New Digital Billboard. Should such a breach occur, City may require Developer to remove the digital display upon the New Digital Billboard and, at Developer's discretion, may either remove the structure of the New Digital Billboard or convert the display to static displays, previously existing upon the 405 FWY Billboard within ninety (90) days of City's notice to Developer of such breach. 5. REVIEW FOR COMPLIANCE. 5.1 Annual. Review. The City Council shall review this Agreement annually at city's sole cost on or before the anniversary of the Term, to ascertain the good faith compliance by Developer with the terms of the Agreement ("Annual Review"). However, no failure on the part of City to conduct or complete an Annual Review as provided herein shall have any impact on the validity of this Agreement. Developer shall cooperate with the City in the conduct of such any Annual Review and provide the following information and documentation to the City at least thirty (30) days before the anniversary of the Term: (1) description of all complaints from Caltrans or the City regarding the New Digital Billboard, (2) description of all complaints from the public regarding the display unrelated to any content of the message displayed, (3) any updates to Developer's contact information related to complaints concerning the billboards. as ORDINANCE NO. 12-1499 Page 8 of 30 required in the conditions at Exhibit E, Section 6 herein, (4) status and amount of all payment obligations to the City required under this Agreement for the year in question and cumulatively bcainning from the Commencement of the Project herein, '5' any easement or lease changes that could in any way materially impact the City or the obligations under this Agreement, (6) any utilitf- changes that could in any way materially impact the City or the obligations under this Agreement, (7) any maintenance issues addressed or needing to be addressed per the requirements of Exhibit E, and (8) whether any City messages per Section 2.7.1 have been displayed during the preceding year of the Term and a description of the duration of such displays. 5.2 Special Review. The City Council may, in its sole and absolute discretion, order special r„view, of compliance with this Agreement at am time at City's sole cost ("Special I:eview"'i. Deveioper shall cooperate with the City in tint conduct of such any Special Rev] --V'. 5.3 City Rights of Access. Subject to the City's execution of a permit to enter in form reasonably acceptable to Owner, the City, its ofncers, employees, agents and contractors; shall have the right, at their sole risk and expense, to enter the 405 FWY-Alameda Site, without interfering with any railroad right -of --way, and 11.0 FWY Site at all reasonable times with as little interference as possible for the purpose of conducting the review under this Section 5, inspection, construction, reconstruction, relocation, maintenance, repair or service of any public improvements or public facilities located on the Sites, or to perform any rights of the City under Section 42 above. Any damage or injury to the Sites or to the improvements constructed resulting i � .-� lbe„ro �,r reda to sole +eC-t hereon r JLLlling ��om� such entry .-..all +, mptl, epai t h sol p r. of h City. Notwithstanding the foregoing, or any other provision in this Agreement (including without limitation Section 4.2 above), the City shall have no right whatsoever to enter the Site unless and until the City executes and delivers to Owner a permit to enter in form reasonably acceptable to Owner (except that this provision is not intended to interfere with the City's police powers to address any nuisance, dangerous condition, or other condition pursuant to the City's ordinances). Notwithstanding anything to the contrary herein, in no event will City representatives ever climb up the pole of the sign during any inspection. 5.4 Procedure. Each party shall have a reasonable opportunity to assert matters which it believes have not been undertaken in accordance with the Agreement, to explain the basis for such assertion, and to receive from the other party a justification of its position on such matters_ If, on the basis of the parties' review of any terms of the Agreement, either party concludes that the other party has not compiled in good faith with the terms of the Agreement, then such party may issue a written "Notice of Non -Compliance" specifying the grounds therefore and all facts demonstrating such non-compliance. The party receiving a Notice of Non -Compliance shall have thirty (30) days to cure or remedy the non-compliance identified in the Notice of Non -Compliance, or if such cure or remedy is not reasonably capable of beinv cured or remedied within such thirty (30) days period, to commence to cure or remedy the non- compliance and to diligently and in good faith prosecute such cure or remedy to completion. If the party receiving the Notice of Non -Compliance does not believe it is out of compliance and contests the Notice, it shall do so by responding in writing to said Notice within thirty (30) days after receipt of the Notice. If the response to the Notice of Non -Compliance has not been received in the offices of the party alleging the non-compliance within the prescribed time period. the Notice of Non -Compliance shall be conclusively presumed to be valid. If a Notice of ORDINANCE NO. 12-1499 Page 9 of 30 Non -Compliance is contested, the parties shall, for a period of not less than fifteen (15) days following receipt of the response, seek to arrive at a mutually acceptable resolution of the. matter(s) occasioning the Notice, in the event that a cure or remedy is not timely effected or, if the Notice is contested and the parties are not able to arrive at a mutually acceptable resolution of the matter(s) by the end of the fifteen (15) day period, the party alleging the non-compliance may thereupon pursue the remedies provided in Section 6. Neither party hereto shall be deemed in breach if the reason for non-compliance is due to a "force majeure" as defined in, and subject to the provisions of, Section 9.10. SS Certificate of Agreement Compliance. If: at the conclusion of an Arima; Review or a Special Review, Developer is found to be in compliance with this Agreement. Citi shall. upon request by Developer, issue a Certificate of Agreement Compliance "'r;;ertincat:" i tc Developer stating that after the most recent Annual Review or Special Review_ and based upor, the information known or made known to the City Manager and City Council, that (1) this Agreement remains in effect and (2) Developer is in compliance. The Certificate, whether issued after an Annual Review or Special Review, shall be in recordable form and shall contain information necessary to communicate constructive record notice of the finding of compliance. Developer may record the Certificate with the County Recorder. Additionally, Developer may at any time, request from the City a Certificate stating, in addition to the foregoing, which obligations under this Agreement have been fully satisfied with respect to the Sites. 6. DEFAULT AND REMEDIES. 6.1 Termination of Agreement. 6.1.1 Termination of Agreement for Material Default o_f Deveioper. City, in its discretion, may terminate this Agreement for any material failure of Developer to perform any material duty or obligation of Developer hereunder or to comply in good faith with the terms of this Agreement (hereinafter referred to as "default" or "breach"); provided, however, City may terminate this Agreement pursuant to this Section only after following the procedure set forth in Section 5.4. In the event of a termination by City under this Section 6.1.1, Developer acknowledges and agrees that City may retain all fees accrued up to the date of the termination, includimgthe Processing Fee and the Development Fee or Alternative Fee, as applicable, paid up to the date of termination, and Developer shall pay the prorated amount of the Development Fee or Alternative Fee, as applicable within sixty (60) days after the date of termination and removal of the Neve Digital Billboard that equates to the percentage of time elapsed in the _year of the Term at the time of termination. 6.1.2 Termination of Agreement for Material Default of Citti,. Developer, in its discretion, may terminate this Agreement for any material failure of City to perform any material duty or obligation of City hereunder or to comply in good faith with the term of this Agreement; provided, however. Developermay terminate this Agreement pursuant to this Section only after following the procedure set forth in Section 5.4. In addition_ Developer may terminate this Agreement i£ despite Developer's good faith efforts., it is unable to secure the necessary permits and/or compliance with requirements under laws necessan, to effectuate the Project. In the event of a termination by Developer under this ORDINANCE NO. 12-1499 Page 10 of 30 Section 6.1.2, Developer acknowledges and agrees that City may retain all fees, including the Processing Fee and the Development Fee or Alternative Fee, as applicable, paid up to the date of termination, and Developer shall pay the prorated amount of the Development Fee or Alternative Fee, as applicable within sixty (60) days after the date of termination and removal of the New Digital Billboard that equates to the percentage of time elapsed in the year of the Term at the time of termination. 6.1.) Rights and Duties Following Termination_ ipon the termination of this Agreement, no party shall have any further right or obligation hereunder except with respect to (i) any obligations to have been performed prior to said termination, (ii) anv default in the performance of the provisions of this Agreement whlcl has occurred prior 10 said termination, (iii) Deveioper's obligation to remove the Nev Did tal Billboard pursuant to Section 4.1 or iv; any continuing obiwaiions to indemnify other parties:. 7. INSURANCE, INDEMNIFICATION AND WAIVERS. 7.1 Insurance. 7.1.1 Types gflnsurance. (a) Liabdity Insurance. Beginning on the Effective Date hereof and until completion of the Term, Developer shall, at its sole cost and expense, keep or cause to be kept in force for the mutual benefit of City, as additional insured, and Developer comprehensive broad fors, general liability insurance against claims and 11abiiiiies covered by the indemnification provisions of section 7.2. Developer has agreed to indemnify City hereunder to the extent of the liability insurance coverage with respect to its use, occupancy, disuse or condition of the Site, improvements or adjoining areas or ways, affected by such use of the Site or for property damage, providing protection . of a least One Million Dollars ($1 000,000) for bodily injury or death to any one person, at least Two Million Dollars 02,000,000) for any one accident or occurrence, and at least One Million Dollars ($1,000.000) for property damage. Developer shall also furnish or cause to be furnished to City evidence that any contractors with whom Developer has contracted for the performance of any work for which Developer is responsible maintains the same coverage required of Developer. (b) Worker's Compensation. Developer shall also furnish or cause to be furnished to City evidence that any contractor with whom Developer has contracted for the performance of any work for which Developer is responsible hereunder carries worker's compensation insurance as required by law. (c) Insurance Polic17 Form, Suffilciench, Content and Insurer. All insurance required by express provisions hereof shall be carried only by responsible insurance companies qualified to do business by California with an AM Best Rating of no less than "A". All such policies shall be non -assignable and shall contain language, to the extent obtainable, to the effect that (i) the insurer waives the right of subrogation against City and against City's agents and ORDINANCE NO. 12-1499 Page 11 of 30 representatives except as provided in this Section, (ii) the policies are primary and noncontributing with any insurancee that may be carried by Cite, but only with respect to the liabilities assumed b_y Developer under this agreement; and (iii) the policies cannot be canceled or materially changed except after written notice by the insurer to City or City's designated representative as expeditiously as insurance company agrees to provide notice. Developer shall furnish City with certificates evidencing the insurance City shall be named as an additional insured on all liability policies of insurance required to be procured by the terms of this Agreement. 7.1.'? Faiiurc to Maintain Insurance aria' Proofof Lornpliance. Developer shah deliver tir C Ity llt th.". manner rtaturer; f67 not] S c()p]es C)i :ert]nCat fi i)i all Insuranc,; poilcies required of each policy within tht followin« time limits: (1) For insurance required above, within seven (7 ) days after the Effective Date or consistent with the requirements of Exhibit "D" (Schedule of Performance), Item No. 8. (2) The City can request to see updated _ copies of the current certificates of all insurance policies required. The City reserves the right to obtain copies of the entire insurance policy, including endorsements. If Developer fails or refuses to procure or maintain insurance as required hereby or fails or refuses to furnish City with required proof that the insurance has been procured and is in force and paid for, after complying with the requirements of Section 5.4, the City may view such failure or refusal shall be a default hereunder. 7.2 Indemnification. 7.2.1 General. Developer shall indemnify the City and Owner, and their respective officers, employees, and agents against, and will hold and save them and each of them harmless from, any and all actions, suits, claims, damages to persons or property, losses, costs penalties, obligations, errors, omissions, or liabilities (herein "claims or liabilities") that may be asserted or claimed by any person, firm, or entity arising out of or in connection with the work, operations, or activities of Developer, its agents, employees, subcontractors, or invitees, hereunder, upon the Site: (a) Developer will defend any action or actions filed in connection with any of said claims or liabilities covered by the indemnification provisions herein and will pay all costs and expenses, including legal costs and attorneys' fees incurred in connection therewith, which attorneys will be the attorneys hired by the insurance company where insurance coverage applies. (b) Developer will promptly pay any Judgment rendered aLyamst the City or Owner or their respective officers', agents, or employees for any such claims or liabilities arising out of or in connection with such work, operations, or activities of the Developer hereunder. and Developer agrees to save and hold the ORDINANCE NO. 12-1499 Page 12 of 30 City and Owner and their respective officers, agents, and employees harmless therefrom. Excention.,. The foregoing indemnity shall not include claims or liabilities arisin<F from the sole negligence or willful misconduct of the City, its officers. agents, o,- employees, remployees, who are directly responsible for the CAN". 7.2.3 Additional Coverage. Without limiting the generality of the foregoin" Developer's indemnity obligation shall include any liability arising by reason of: !' 1 Any accident or other occurrence in or on the site causing iniun to any persor, or property whatsoever caused b-,, Dovciopor (2) Any failure of Developer to comply with performance of all of the provisions of this Agreement; (3) Any harm, delays, injuries or other damages incurred by any party as a result of any subsurface conditions on the site caused solely by Developer, including but not limited to, the presence of buried debris, hazardous materials, hydrocarbons, or any form of soil contamination. (a) Loss and Damage. Except as set forth below, City shall not be liable for any damage to property of Developer, Owner or of others located on the C'. r � I r r,-, Cai�c, nor for nuc loss Oi Or uamage LCr any pZOperty of Leveloper, Owner or others by tnefi or otherwise. Except as set forth below, City shall not be liable for any injury or damage to persons or property resulting from fire, explosion, steam, gas, electricity, water, rain, dampness or leaks from any part of the Site or from the pipes or plumbing, or from the street, or from any environmental or soil contamination or hazard, or from any other latent or patent defect in the soil, subsurface or physical condition of the Site, or by any other cause of whatsoever nature. The foregoing two (2) sentences shall not apply (i) to the extent City or its agents, employees, subcontractors, invitees or representatives causes such injury or damage when accessing the Site. or (ii) to the extent covered in any permit to enter executed by the City. (b) Period of Indemnification. The obligations for indemnity under this Section 7.2 shall begin upon the Effective Date and shall survive termination of Development Agreement. 7.3 Waiver of Subrogation. Developer agrees that it shall not make any claim against, or seek to recover from City or its agents, servants, or employees, for any loss or damage to Developer or to any person or property relating to this Project, except as specifically provided hereunder which include but is not limited to, a claim or liabilityarising from the sole negligence or willful misconduct of the City, its officers, agents. or employees. who are directly responsible for the City. S. MORTGAGEE PROTECTION. ORDINANCE NO. 12-1499 Page 13 of 30 The parties hereto agree that this Agreement shall not prevent or limit Developer, in any manner, at Developer's sole discretion, from encumbering the Site or any portion thereof or any improvement thereon by any mortgage, deed of trust or other security device securing financin<, with respect to the Site. City acknowledges that the tenders providing such financing may require certain Agreement interpretations and modifications and City agrees upon request, from time to time, to meet with Developer or Owner and representatives of such lenders to negotiate in good faith any such request for interpretation or modification. Subject to compliance with applicable laws, City will not unreasonably withhold its consent to any such requested interpretation or modification provided City determines such interpretation or modification is consistent with the intent and purposes of this Agrreement. Any Mortgagee of the Site shahh,, entified to the following rights and privileges: (a) Neither eniering into this Agreement nor a breach of this Agreement shall defeat, render invalid, diminish or impair the lien of an), mortgage on the Development or Site made in good faith and for value, unless otherwise required by law. (b) The Mortgagee of any mortgage or deed of trust encumbering the Development or Site, or any part thereof, which Mortgagee has submitted a request in writing to the. City in the manner specified herein for giving notices, shall be entitled to receive written notification from City of any default by Developer in the performance of Developer's obligations under this Agreement. iv) if City tiiTieiy receives a rcqu„s+ fi-vin a i'viii+tsagee requesting a copy of any notice of default given to Developer under the terms of this Agreement, City shall make a good faith effort to provide a copy of that notice to the Mortgagee within ten (10) days of sending the notice of default to Developer. The Mortgagee shall have the right, but not the obligation, to cure the default during the period that is the longer of (i) the remaining cure period allowed such party under this Agreement, or (ii) sixty (60) days. (d) Any Mortgagee who comes into possession of the Development or Site, or any part thereof, pursuant to foreclosure of the mortgage or deed of trust. or deed in lieu of such foreclosure, shall take the Development or Site, or part thereof, subject to the terms of this Agreement. Notwithstanding any other provision of this Agreement to the contrary, no Mortgagee shall have an obligation or duty under this Agreement to perform any of Developer's obligations or other affirmative covenants of Developer hereunder, or to guarantee such performance; except that (i) to the extent that any covenant to be performed by Developer is a condition precedent to the performance of a covenant by City, the performance thereof shall continue to be a condition precedent to City's performance hereunder, and (ii) in the event any Mortgagee seeks to develop or use any portion of the Development or Site acquired by such Mortgagee by foreclosure, deed of trust, or deed in lieu of foreclosure. such Mortgagee shall strictly comply with all of the terms, conditions and requirements of this Agreement and the Development Approvals applicable to the Development or Site or such part thereof so acquired b_y the Mortgagee. ORDINANCE NO. 12-1499 Page 14 of 30 9. MISCEUf:A>E'OUS PROVISIONS 9.1 Recordation of Agreement. This Agreement shall be recorded with the Countv Recorder by the City Clerk within 10 days of execution. as required by Government Code Section 6868.5. Amendments approved by the parties. and any cancellation, shall be similarly recorded. 92 Entire Agreement. This Agreement sets forth and contains the entire understanding and agreement of the parties with respect to the subject matter set forth herein, and there are no oral or written representations, understanding=s or ancillary covenants, undertakings or agreements which are not contained or expressly referred to herein. No testimonv or evidence of any such representations. understandings or covenants shall be admissibit, in any nroeeedinG' Of ani- kind or nature to interpret or determine tht terms or conditions ofthis Agreement. 9. Severability. If any term, provision, covenant or condition of this Agreement shall be determined invalid, void or unenforceable, then that term, provision, covenant or condition of this Agreement shall be stricken and the remaining portion of this Agreement shall remain valid and enforceable if that stricken term, provision, covenant or condition is not material to the main purpose of this agreement, which is to allow the Development to be permitted and operated and to provide the Development Fee to the City; otherwise, this Agreement shall terminate in its entirety, unless the parties otherwise agree in writing, which agreement shall not be unreasonably withheld. 9.4 interpretation and Governing Law. This Agreement and any dispute arising hereunder shall be governed and interpreted in accordance with the laves of the State of California. This Agreement shall be construed as a whole according to its fair language and common meaning, to achieve the objectives and purposes of the parties hereto. The rule of construction, to the effect that ambiguities are to be resolved against the drafting party or in favor .of the non -drafting party, shall not be employed in interpreting this Agreement. all parties having been represented by counsel in the negotiation and preparation hereof 9.5 Section Headings. All section headings and subheadings are inserted for convenience only and shall not affect any construction or interpretation of this Agreement. 9.6 Singular and Plural. As used herein, the singular of any word includes the plural. 9.7 Time of Essence. Time is of the essence in the performance of the provisions of this Agreement as to which time is an element. 9.8 Waiver. Failure of a party to insist upon the strict performance of any of the provisions of this Agreement by the other party, or the failure by a party to exercise its rights upon the default of the other party, shall not constitute a waiver of such party's right to insist and demand strict compliance by the other party with the terms of this Agreement thereafter. 9.9 No Third Party Beneficiaries. This Agreement is made and entered into for the sole protection and benefit for the parties and their owner., successors and asci --ns. No other person shall have any right of action based upon any provision of this Asi-eement. ORDINANCE NO. 12-1499 Page 15 of 30 9.10 Force Majeure. Notwithstanding the contrary herein, neither party shall be deemed to be in default where failure or delay in performance of any of its obligations under this Agreement is caused by earthquakes, other acts of God, fires, rains. winds. wars.. terrorisrn. riots or similar hostilities, strikes and other labor difficulties beyond the party's control iinciudin the party's employment force;, government actions and regulations (other than those of the City), court actions (such as restraining orders or injunctions), or other causes beyond the party's reasonable control. if any such events shall occur, the term of this Agreement and the time for performance shall be extended for the duration of each such event, provided that the term of this Agreement shall not be extended under any circumstances for more than five (5} years and further provided that if' such delay is longer than six (6) months. Developer may terminate this Agreement upon written notice to City and Citi shall return to developer any portion o' th,, Doveiopment fee paid for anv neriod after the effective date of such termination.. 9.11 Mutual Covenants. The covenants contained herein are mutual covenants and also constitute conditions to the concurrent or subsequent performance by the party benefited thereby of the covenants to be performed hereunder by such benefited party. 9.12 Counterparts. This Agreement may be executed by the parties in counterparts, which counterparts shall be construed together and have the same effect as if all of the parties had executed the same instrument. 9.13 Litigation. Any action at law or in equity arising under this Agreement or brought by any party hereto for the purpose of enforcing, construing or determining the validity Of any provision of this Agreennent small be Flied and LL edill LAXhe Superior rGult Gf the County 01 Los Angeles, State of California, or such other appropriate court in said county. Service of process on City shall be made in accordance with California law. Service of process on Developer shall be made in any manner permitted by California law and shall be effective whether served inside or outside California. In the event of any action between City and Developer seeking enforcement of any of the terms and conditions to this Agreement, the prevailing party in such action shall be awarded, in addition to such relief to which such party is entitled under this Agreement, its reasonable litigation costs and expenses, including without limitation its expert witness fees and reasonable attorneys' fees. 9.14 Covenant Not To Sue. The parties to this Agreement, and each of them, agree that this Agreement and each term hereof is legal, valid, binding, and enforceable. The parties to this Agreement, and each of them, hereby covenant and agree that each of them will not commence, maintain, or prosecute any claim, demand, cause of action, suit, or other proceeding against any other party to this Agreement, in law or in equity, which is based on an allegation, or assert in any such action, that this Agreement or any term hereof is void, invalid, or unenforceable. 10. 15 Project as a Private Undertaking. It is specifically understood and agreed by and between the parties hereto that the Development of the Project is a private Development. that neither party is actino as the agent of the other in any respect hereunder, and that each party is an independent contracting entity with respect to the terms covenants and conditions contained in this Agreement. No partnership joint venture or other association of any hind is formed by this 4greement. The only relationship between City and Developer is that of a government entity ORDINANCE NO. 12-1499 Page 16 of 30 regulating the Development of pnvate property. on the one hand, and the holder of a legal or equitable interest in such property on the other hand. City agrees that by its approval of, and entering into.. this Agreement, that it is not taking any action which would transform this private Development into a "public work" project, and that nothing herein shall be interpreted to convey upon Developer any benefit which would transform Developer's private project into a public work project. it being understood that this Agreement is entered into by City and Developer upon the exchange of consideration described in this Agreement, including the Recitals to this Agreement which are incorporated into this Agreement and made a part hereof: and that City is receiving by and through this Agreement the full measure of benefit in exchange for the burdens placed on Developer by this Agreement. �)J 6 Furthe;- /.--tions and instruments. teach of the. parties, shall coomerate with an_c provide reasonable assistance torthe other to the extent contemplated heeunder in the performance of all obligations under this Agreement and the satisfaction of the conditions of this Agreement. upon the request of either party at any time, the other party shall promptly execute, with acknowledgment or affidavit if reasonably required, and file or record such required instruments and writings and take any actions as may be reasonably necessary under the terms of this Agreement to carry out the intent and to fulfill the provisions of this Agreement or to evidence or consummate the transactions contemplated by this Agreement. 9.17 Eminent Romain. No provision of this Agreement shall be construed to limit or restrict the exercise by City of its power of eminent domain or Developer's right to seek and collect just compensation or any other remedy available to 9.18 Amendments in Writing/Cooperation. This Agreement may be amended only by written consent of both parties specifically approving the amendment and in accordance with the Government Code provisions for the amendment of Development Agreements. The parties shall cooperate in good faith with respect to any amendment proposed in order to clarify the intent and application of this Agreement, and shall treat any such proposal on its own merits, and not as a basis for the introduction of unrelated matters. Minor, non -material modifications may be approved by the City Manager upon approval by the City Attornej . 9.19 Corporate Authority. The persons) executing this Agreement on behalf of each of the parties hereto represent and warrant that (i) such party, if not an individual, is duly organized and existing, (ii) they are duly authorized to execute and deliver this Agreement on behalf of said party, (iii) by so executing this Agreement such party is formally bound to the provisions of this Agreement, and (iv) the entering into this Agreement does not violate any provision of any other agreement to which such parte- is bound. 920 Notices. All notices under this Agreement shall be effective when delivered b}; United States Postal Service mail, registered or certified, postage prepaid return receipt requested; and addressed to the respective parties as set forth below or as to such other address as the parties may from time to time designate in writing by providing notice to the other party: To City: City of Carson 701 E. Carson Street Carson, CA 90745 ORDINANCE NO. 12-1499 Page 17 of 30 Attn: City Manager With Conv to: Aleshire &, Mivnder. LLI' 18881 Von Karman five.., #1706 Irvine, CA 122 Attn: William Wynder, Esc,, To Developer: CBS Outdoor, inc. Real Estate Manager 1731 Workman St Los .Gmgele CA 9003; M)S ;)utdoor. Inc l�Y Counsel_ — David Pose 405 Lexington Avenue New York. NY 10174 9.21 Nonliability of City Officials. No officer, official, member, employee, agent, or representatives of City shall be liable for any amounts due hereunder, and no judgment or execution thereon entered in any action hereon shall be personally enforced against any such officer, official, member, employee, agent, or representative. 9?2 No Brokers. City and Developer represent and warrant to the other that neither has vaaiipioyed any broker and/or finder tV represent its Interest int� its transaction. Each party agrees to indemnify and hold the other free and harmless from and against any and all liability, loss, cost, or expense (including; court costs and reasonable attorneys' fees) in any manner connected with a claim asserted by any individual or entity for any commission or finder's fee in connection with this Agreement or arising out of agreements by the indemnifying party to pay any commission or finder's fee. 9.23 No Amendment of Lease. Nothing contained in this Agreement shall be deemed to amend or modify any of the terms or provisions of the Lease. Nothing contained in this Agreement shall constitute or be deemed to constitute a limit on any of Developer's obligations under the Lease, or any or Owner's rights or remedies against Developer under the Lease. fN WITNESS WHEREOF, the parties hereto have executed this Agreement on the day and year first set forth above. Citi-: CITY OF CARSON By Mayor Jim Dear ATTEST: BN City Cierl: APPROVED AS TO FORM: Ey City Attorney ORDINANCE NO. 12-1499 Page 18 of 30 Z)eveloper: CL'S OUTDOOR Inc.. a Delaware comoration Ex v: By. [end of sinnatures] ORDINANCE NO. 12-1499 Page 19 of 30 STATE OF CALIFORNIA ) ss COUNTY OF LOS ANGELES On , 2012, before me_ personally appeared personally known to me (or proved to me on the basis of satisfactory evidence) to be the person whose name is subscribed to the within instrument and acknowledged to me that she executed the same in her authorized capacity, and that by her signature on the instrument the person or the entity upon behalf of which the person acted, executed the instrument. Wimcs,. in hand and orricia seal. Notary Public [SEAL] STATE OF CALIFORNIA ) ss COUNTY OF LOS ANGELES ) On .2012. before me, personally appeared personally known to me (or proved to me on the basis of satisfactory evidence) to be the person whose name is subscribed to the within instrument and acknowledged to me that he/she executed the same in his/her authorized capacity, and that by his/her signature on the instrument the person or the entity upon behalf of which the person acted, executed the instrument. Witness my hand and official seal. Notary Public [ SEAL] ORDINANCE NO. 12-1499 Page 20 of 30 E. Southern Pacific Transportation Company owns the 405 MATY -Alameda Site, the Carson Housina Authority owns the City -Oriented Billboard. Site, and Tom ishioka owns the 110 FWY Site (each referred to as "Owner" and, collectively, "Owners") have consented to the application for this Development Agreement and Developer, as the lessee of the Sites. as such term is defined below, has Legal and/or equitable interest in the Sites and thus qualities to enter into this Agreement in accordance with Development Agreement Law. F. In exchange for the approvals sought to convert the 405 -Alameda Billboard to a New Digital Billboard, Developer has offered to: 1. Remove the City -Oriented Billboards and waive further rights to utilize the Cita-Oriented Billboard Site for installation ar operation of any billboard and waive an,, ciaim for compensation for the removal of such sigzzs: 2. Plant a minimum of one tree on the blank side facing residential use or — place a backing on exposed side which can be painted a solid color or with artwork of the 110 Freeway Billboard with approval from the property owner; 3. Pay to the City an annual Development Fee or Alternative Fee. whichever is greater, as defined and provided in Sections 2.6 and 2.7 below for the cost to the city to mitigate the impact of the installation of the digital sign panels on the New Digital Billboard; and 4. Provide free of charge to City, on a space available basis, advertising space within the City. and offer a 10% discount off of its applicable rate card or going rate fees 4i.o dc-rla�rc vn the Al e��l Dl(`Tiial�1111l1aTf1 to any 1117 C1 PCC that 11aC its nTI TI C�ip 1 place of �.r u., t�r n_- r__ a_ plac_ business in Carson and is a member in good standing of the Carson Chamber of Commerce. G. The 405 -Alameda Site is located within the City s Industrial and/or Manufacturing Zone, designated by the General Plan as Industrial and is also located within the 405 Freeway Corridor as defined per Carson Municipal Code § 9146.7 Signs. H. Developer and City agree that a development agreement should be approved and adopted to memorialize the property expectations of City and Developer as more particularly described herein. 1. On October 9, 2012, the Planning Commission of the City, at a duly noticed hearing to consider the approval of this Agreement, adopted Resolution No. 12-2447 recommending approval of this Agreement to the City Council and find the Project. as defined below, categorically exempt from the provisions of the California Environmental Quality Act ("CEQA") pursuant to Section 15332 regarding Urban In -Fill Development Projects. J. On November 6, 2012 the City Council of the City, at a duly noticed hearing to consider the approval of this Agreement.. considered the proposal_ heard testimony_ , and introduced Ordinance No. 12-1499. K. The City Council has found that this Agreement is in the best public interest o the City and its residents, adopting this Agreement constitutes a present exercise of the City's police power, and this Agreement is consistent with the City's General Plan. This Agreement ORDINANCE NO. 12-1499 Page 21 of 30 and the proposed Project ("as hereinafter defined) will achieve a number of City objectives including utilizing the 405 FWY-Alameda Site for a revenue -generating use, removing less - desirable city -oriented billboards. Developerwill remove the digital displays if an extension of this Agreement is not negotiated with City and if, not, the static billboard remains. L. On 2012, the City Council 'held the second reading of Ordinance No. 12-1499, thereby approving this Agreement. M. City finds and determines that all actions required of Cine precedent to approval of this Agreement by Ordinance No. 12-1499 of the City Council have been duly and regularly taken. COVES T 'S NOW, THEREFORE, in consideration of the above recitals and of the mutual covenants hereinafter contained and for other good and valuable consideration; the receipt and sufficiency of which is hereby acknowledged, the parties agree as follows: 1. DEFINITIONS AND EXHIBI'T'S. 1.1 Definitions. This Agreement uses a number of terms having specific meanings. as defined below. These specially defined terms are distinguished by having the initial letter capitalized, when used in the Agreement. In addition to the terms defined in the Recitals above, the defined terms include the following: 1.1.1 "110 FWY Site Lease", means the lease agreement by and between Developer and Tom lshioka, Owner of the 110 FWY Site. 1.1.2 "405 FMTY-Alameda Site Lease" means the lease agreement by and between Developer and Southern Pacific Transportation Company, Owner of the 405 FVATY-Alameda Site. 1.1.3 "Agreement" means this Development Agreement and all attachments and exhibits hereto. 1.1.4 "City" means the City of Carson, a California municipal corporation. 1.1.5 "City Council" means the City Council of the City. 1.1.6 "Developer" means CBS Outdoor inc, a Delaware Corp. duly existing and operating, and its successors and assigns, doing business at 1731 Workman St. Los Angeles, California 90031. 1. 1.7 "Development" means the installation of the New Digital Billboard on the 405-FV4'Y Alameda Site and the temporary installation of above -`-,round and thereafter underLnounding of all utilities from Southern California Edison's electrical source to the New Digital Billboard. ORDINANCE NO. 12-1499 Page 22 of 30 1.1.8 "Development Approvals" means the approved Development, based on the recommended approval by the Planning Commission on October 9. 2012, pursuant to Resolution No. 12-2447 and approval of the City Council by Ordinance No. 12-1499 on , 201?, as further described at Section 3.3 herein_. 1.1.9 "Effective Date" means the date inserted into the preamble of this Agreement, which is 30 days following approval of this Agreement by ordinance of the City Council., provided the Agreement is signed by the Developer and City. 1.1.10 "Final Permits" shall have the meaning set forth at Section 2.6. 1.1.11 "Land List Regulations" mean., all ordinanc,•e.:, resolutions. codes. rules, regularions and official policies of City, inciuding. but not limited to., the �.�it�'`: �leneral Pian, h/iunicipal Code and honing Code, which govern development and use of tine Billboard Site, including, without limitation, the permitted use of land, the density or intensity of use, subdivision requirements, the maximum height and size of the Billboard, the provisions for reservation or dedication of land for public purposes, and the design, improvement and construction standards and specifications applicable to the Development of the Billboard Site which are in full force and effect as of the Effective Date of this Agreement, subject to the terms of this Agreement. Land Use Regulations shall also include NPDES regulations and approvals from the California Department of Transportation Outdoor Advertising Division, to the extent applicable. "Mortgagee" means a mortgagee of a mortgage, a beneficiary under a deed of trust or any other seeurit_y-device, a lender or each of their respective successors and assigns. 1.1.13 "Project" means the removal of the City -Oriented Billboards, installation, including installing any new and moving all existing utilities underground, (provided the requirement to underground utilities is also imposed in the Development Agreement with y other billboard operator, being approved concurrently or substantially at the same tianme as this Agreement), operation and maintenance of the New Digital Billboard on the 405 FWY-Alameda Site, and installation of artwork on the blank side of at the 110 FWY Billboard, collectively, all in accordance with the Development Approvals and this Agreement, including the Scope of Development attached hereto as Exhibit `B", Schedule of Performance attached hereto as Exhibit "D" and all conditions of approval and consistent with the approval from the California Department of Transportation Outdoor Advertising Division. Nothing herein shall place any requirement upon Developer to provide or arrange for utilities for Clear Channel Outdoor and/or any other billboard operator. Nevertheless, Developer shall cooperate with Clear Channel Outdoor in securing utilities for its billboard and accommodate the shared use of utility facilities for placement of both the temporary above -^round utilities in accordance with the plan at Exhibit "F" hereto and permanent underground utilities per paragraphs 1 and 3 of Exhibit «E„ ORDINANCE NO. 12-1499 Page 23 of 30 1.1.14 "Sites" refers collectively to the 405 FVTY-Alameda Site, 110 FW), Site. Citi- Driented Billboard Site. as such sites are more specifically described on Exhibit "A,' - and depicted at Exhibit "A -I" attached hereto and incorporated herein. 1.:.15 "Schedule of performance" means the Schedul; o;" Performanc; attacijecl hereto as exhibit "D" and incorporated herein. 1.1.16 "Scope of Development" means the Scope of Development attached I as Exhibit "E" and incorporated herein. 1.1.17 "Subsequent Land Use, Re« -elation:;" mean, an.v Land 1,�se Regulations effecri .:. aft th 1 Effective Irate o tlra <^�r %emeni v✓beth adopted nnoT tr: cr alt", trre ffectIve Date: oI thr. f, ocTrient whici 1�raven deveitrnmen` anti ase or trz E;illboarc" Site... 1.1.18 "Term" shall have the meaning provided in Section 2.4, unless earlier terminated as provided in this Agreement. 1.2 Exiiibits. The following documents are attached to, and by this reference made a part of, this Agreement: Exhibit "A" (Legal Description of Sites), Exhibit "C" (Site Plan and Elevations) and Exhibit "D" (Schedule of Performance) and Exhibit "E" (Developer's Production Specification Sheet;. '>. tsc�lC' XE a.T P7�L v i��'7 DRO ION&S. .. 2.1 Binding Effect of Agreement. From and following the Effective Date actions by the City and Developer with respect to the Development of the 405 FWY-Alameda Site, including actions by the City on applications for Subsequent Development Approvals affecting the 405 FWY-Alameda Site, shall be subject to the terms and provisions of this Agreement, provided, however, that nothing in this Agreement shall be deemed or construed (i) to modify or amend the 405 FWY-Alameda Site Lease, I10 FWT Site Lease, or any of Developers obhErations thereunder; or to bind or restrict Owners of either the 405-FVT'-Alameda Site or 110 FWY Site with respect to its ownership or operation of their respective properties except as expressly set forth herein with respect to the 405-FWY-Alameda Site or 110 MAITY Site, respectively, or (ii) to impose any obligation whatsoever on Owners of either the 405-FVT - Alameda Site or 110 FWY Site, including without limitation any obliaation with respect to the 405 -MATY -Alam eda Billboard, 110 FWY Billboard, the 405-FV7Y-A1ameda Site or 110 Fes ' Site, the Development or the Project, except as expressly set forth in this Agreement. 2.2 Interest in Sites. City and Developer acknowledge and agree that Developer has a legal or eauitable interest in the Sites and thus is qualified to enter into and be a party to this Agreement under the Development Agreement Law. Additionally, prior to the execution of this Agreement, Developer has allowed the City to view a redacted copy of the Lease or Clear Channel affidavit which demonstrates that Developer has a leasehold interest in the 405-F)A7I'- Alameda Site and 110 FVI)' Site, which interest shall be maintained for the entire Term of this A`Tr cement. If Developer's leasehold interest is prematurely terminated by Owner of the 1 l 0 FVC V Site, then Developer shall have no further obligations under Section 3? or Exhibit "E" of this 4f7rcement relative to the maintenance of the artwork thereon. except as provided undo; ORDINANCE NO. 12-1499 Page 24 of 30 Section 4.1. Additionally, if Developer's lease interest is prematurely terminated by Owner of the 405 FVFY-Alameda Site. then Deveioper shall have no further obligations under this Agreement, except as provided under Section 4.1 . No Assignment. Developer may assign car otherwise transf r this Agreement. or its interest in the Billboard Sites or any part of its interest in the Billboard Sites. without ��itys consent, to any other person, firm, or entity, purchasing all, or substantially all of Deveionerr. assets in the greater Los Angeles market, provided the transfer is as a result of a sale o Developer and/or its assets, including the rights granted under this Agreement, to another publicly -traded company or an entity having a net worth of 7 en Million Doliars (S) 0.0O0.000) or more prior to such assignment or at the time of execution of this Agreement. whirl; net worth is subiec to verification by the Cit,. other nrorx :.eL a;si�mmcn1 shall bc suhicc` tc trt approva' of the C ITy. which will not [tE unroasorrai)I\ withn--id, d",iaytc or conditioner.. L1n; s:;curity posted by Developer niay he substituied -r)v the assi<_met or transferee. P tLzT- a r ansfer or assignment as permitted by this Section, the City shall look solely to such assignee or transferee for compliance with the provisions of this Agreement which have been assianed or transferred. ` 2.4 Term of Agreement. Unless earlier in as provided in this Agreement, this Agreement shall continue in full force and effect until the earlier of twenty (20) years after the date Developer receives Final Permits, as defined 'in Section 2.6 below, (ii) the expiration or earlier termination of the 405 FWY-Alameda Site Lease per Section 6.1 that applies to the 405 FWY Alameda Site, or.(iii) the permanent removal f + Ai +-1 ,t; i ,, r o ,he .. _it- disp�ays Constructeu pursuant to p„_ the terms hereof, otherwise removal may he for repair Or replaCeTient,(IV) if one dikital face 2s removed permanently and replaced with a static face the current agreement remains for the second digital face. In such case, Developer shall completely remove the New Digital Billboard within the times and as provided under Section 4.1 herein. Within thirty (30) days after the expiration or termination of this Agreement, the parties shall execute a written cancellation of, this Agreement which shall be recorded with the County Recorder pursuant to Section 9.1 below. If no extension of this Agreement is agreed to, then the digital displays come down but the static display may remain. The term of this Agreement supersedes any amortization period that may apply under the Carson Municipal Code as to any non -conformity as applied to the 110 Freeway Billboard. 2.5 Processing Fee. Upon submission of its application for the approvals granted by this Agreement, Developer has paid to City a processing ("Processing Fee") in the amount of Seven Thousand Five Hundred Dollars ($7,500). The City shall retain and use the ProctssinLy Fee, or any part thereof, for any public purpose within the City's discretion. The Processing Fee shall be separate from all fees which are standard and uniformly applied to similar projects in the City, including, but not limited to, business license fees (due by Developer to City annually), one time plan check fee and building permit fee and any other fees imposed by the City as may he applicable. Additionally, within 30 days of the City providing Developer with a final invoice of legal fees incurred by City related to the negotiation and preparation of this Agreement, Developer shall pay City any outstanding balance of such fees. 2.6 Deveiopment Fee. The potential impacts of the Development on the City and surrounding community are difficult to identif. and calculate. Developer and Cin, agree that an ORDINANCE NO. 12-1499 Page 25 of 30 annual development fee paid by Developer to '-A v would adequately mitigate all such potential impacts. The parties therefore agree that Developer shall pay an annual development fee to Cit:' of Sixth Thousand Doliars ($60,000.00 per year, increasedee by thrnerceni (3°o) every other year ("Development Fee"), subject to ttic. obligatkni to pa" the Alternative ree her Section beiov The Development Fee_ for ease of refcrenc� purpose", shall equal the foliowin�r amount durinL, the Terris. Year i S60.000 Fear I1 369.556.45 Year 2 $60,000 Ycar 12 S69 556.45, Year S6I.8 O ear I 371.643 14 ear a 56.800 ,'ea- 4 71 �, ar S6 �c :; 4"', Year 7 S65 563.6-` Year I " 5176.006.20 Year 8 565,563.62 Year 18 876,006.20 Year 9 S67.530.53 Year 19 5;78,286.39 Year 10 $67,530.53 Year 20 878.286.39 The Development Fee shall be paid annually, with the first installment no later than one (1) year after Developer receives final approval to construct the New Digital Billboard from the applicable governmental authorities for any and all required permits to maintain and operate the New Digital Billboard as contemplated under this Agreement ("Final Permits"). Developer shall notify City within five (S) days of its receipt of all Final Permits for the purpose of determin�n�7 r Lll`v date arlrlual pa.ymitnts of L11e Development FCC �^^^�--^ �-�1 71�^�� Development �O Altermati v e 1 ec per se ­'_c n r suali commence. Nothing herein relieves the City from its contractual duty to issue all municipal building permits that are associated with the Development of the New Digital Billboard if Developer is in compliance with the terms of this Agreement. 2.7 Alternative Fee: For any year of the Term where the Alternative Fee, as defined in this Section 2.7, exceeds the Development Fee described at Section 2.6 above, Developer shall pay to City the Alternative Fee, which is defined as an amount equal to Sig: Percent (61i�O) of total gross advertising revenue made from both digital displays of the New Digital Billboard during the preceding year of the Term. Within ninety (90) days following the end of each vear of the Term hereof, and ending within ninety (90) days of the termination of the Term, Developer shall furnish to City a statement in writing, certified by Developer to be correct, showing the total gross advertising revenues made from each sign face of the New Digital Billboard during the preceding year of the Term attributable to each sign display of the Nein Digital Billboard to the extent such Alternative Fee exceeds the Development Fee for that same preceding year. The calculation of the Alternative Fee shall be based on the gross amount received on the advertising sales. 2.8 Audit of Alternative Fee. With prior written notice of not less than tcn (10) business days. City has the right to audit Developer's sign gross revenue related to this Agreement, at Developer's office, on normal workdays between 5.00 a.m. and 4:00 p.m. once a year. If the statement of total gross advertising revenue previously provided to Cite shall be. found to be inaccurate for prior years of the Term, then and in that event, there shall he an adjustment and one party shall pay to the other on demand such sums as may be necessary to ORDINANCE NO. 12-1499 Page 26 of 30 settle in full the accurate amount of said percentages rental that should have been paid to City f67 - the period or periods covered by such inaccurate statement or statements. If said audit disclose,-, an underpayment of greater than three percent (3� �,1 with respeci to the. amount of total gross; advertising revenue reported by Developer for the penal or periods of said repori. then the 1eveloper shall immediately pay to City thee cost of such audit; otherwise, tri:; cast of such audr shallot paid by Citv. Pius ten percent (101/'0) interest on the amount underpaid, but the application of the said interest rs limited to three (, year, before tine rip. an�� underpavment should 'nave ibeen paid to the City. ?.0 Communi", Benefits. Developer shall also nrovlde the follovnnL, community in,encn*s danm� the entire Term of this Agreement Usc,. of Static Siun" �aeverope shall als(, prcu,,,oe _M, on a space avaliabie basis, adverti im, space within tr1C 1LS . 1L�, Will ti`:' responsible for printing cost and install/takedown costs. subject to review and approval of suggested copy from City by Developer. 2.9 .2 Discount Advertising. -Developer shall offer a ten percent (10%) discount off of its applicable rate card fees for. the display of advertising on the New Digital Billboard to any business that has its principal place of business in Carson and is a member in good standing of the Carson Chamber of Commerce. 2.10 prohibited Use. Develop-?- shall not utilize any of the displays on the Billboard to advertise tobacco, marijuana, hashish, "gentlerr_�en's clubs," adult entertainment businesses, sexually oriented materials or use sexually oriented images or language, or as may be prohibited by any City ordinance existing as of the Effective Date of this Agreement or as maybe amended or implemented from time -to -time after the Effective Date and equally -applicable to all billboard displays by any dully and valid city ordinance. 3. DEVELOPMENT AND IMPLEMENTATI®N OF THE PROJECT. 1.1 Fights to Develop 405 MAY -Alameda Site. Subject to and during the Term of this Agreement, Developer shall have the right to develop the 405 FVTY-Alameda Site in accordance with, and to the -extent of. the Development Approvals, the Land Use Regulations. and this Agreement, provided that nothing in this Agreement shall be deemed to modify or amend the 405 FV IY-Alameda Site Lease. 3 ? installation of Artwork at 110 h'MIY Site. Developer shall have artwork as approved by the City's Planning Department applied to the backing having the form and specifications set forth in the Development Approval, and complete such installation within the times set forth in the Schedule of Performance, attached hereto as Exhibit "D." Developer shall., at all times during the berm artwork in good condition and replace such artwork if it becomes damaged or otherwise in need of replacement within the times and in the manner described in the Scope of Development, attached hereto as Exhibit "B". Demolition of City -Oriented Billboards. Developer shall secure all demolition Hermits and approvals and comm -rice the demolition and complete removal of the City-Gnented Billboards_ including, but not limited to, the two (2) structures and total of three ) static ORDINANCE NO. 12-1499 Page 27 of 30 displays and any other structure or facility erected or maintained as part of or in relation to the such billboards and complete such demolition and removal, within the times set forth in the Schedule of Performance. attached hereto as Exhibit "D.- Following the removal of such I illboards. Developer shall. as reasonably as possible. restore therlented Site to a good condition that reasonably matches the surrounding landscape. Dovoloper and the. resptmv-,� Owners of the City -Oriented Billboard Site,. including the City as Successor Agency to the arson Redevelopment Agency as owner of the property locawdat 621 Carson , Carson hereby waive any further rights to utilize the City -Oriented Billboard Site, respectively, for instaliation or operation of any billboard and waive any claim for compensation or damagesfor the removal of tine billboards and related appurtenances thereon and agrreement to giveup any further rivhts to utilize the Billboard Site. respectively, for the installation or operation of ani. hlllboarc: cllsnlayl', II"; the tutor::. ,ucl; waive',, an(_' r leas,o, ani, ::lain.' 110` 'X)MDen aU0T; !3' aamares include-. out 1- not llmited CO. loSi reVenuts. relC3,'atl0ri t,,ait rist'- severance dama«e . loss of business noodwill, costs, interest, attorneys' fees, and any claim whatsoever of the respective Owners which might arise out of or relate to any respect to the requirements of this Section 3.3 or this Ao-reement. 3.4 Effect of Agreement on )Land Use Regulations. Except as otherwise provided under the terms of this Agreement, the rules, regulations and official policies governing permitted uses of the 405 FWY-Alameda Site and 110 FWY Site, the density and intensity of use of the such Sites, the maximum height and size of proposed structures, and the design., and improvement and construction standards and specifications applicable to Development of the 405 FVTY-Alameda Site shall be as set forth in the Land use Reguiations, as such term is defined in Jectlon 1.11.11, which are in full orct aiiu el ct ct Qs of IIe Eff ectivc Date. 0r this ngieciiient. subject to the terms of this Agreement. 35 Deveiopment Approvais. Developer shall, at its own expense and before commencement of demolition, construction or development of any structures or other wort: of improvement upon the Sites, secure or cause to be secured all necessary Development Approvals, which shall include any and all permits and approvals which may be required by Citv or any other governmental agency or utility affected by such construction, development or wort: to be performed by Developer pursuant to the Scope of Development, including but not limited to, necessary building permits and all approvals required under the California Environmental duality Act ("CEQA"). Not by way of limiting the foregoing, in developing and constructing the Project, Developer shall comply with all (1) applicable development standards in City's Municipal Code, (2) applicable NPDES requirements pertaining to the Project, (3) all applicable building codes, except as may be permitted through approved variances and modifications. Developer shall pay all normal and customary fees and charges applicable to such permits, and any fees and charges hereafter imposed by Cit -yin connection with the Development which are standard and uniformly -applied to similar projects in the City. Nothin(= contained in this Agreement shall be deemed to impose any obligation on Owner with respect to the Development Approvals or the Project. 3.6 Timing of Deveiopment: Scope. of Deveiopment. Developer shall comme enc. the Project within the time set forth in the Schedule of Performance,. attached hereto as Exhibit "D." "Commencement" of the Project is defined herein as commencement of constructior or improvements under the building permit for thet construction of the 1,�eu, Digital Billboard on the ORDINANCE NO. 12-1499 Page 28 of 30 405 ,WY -Alameda Site as soon as possible following Developer's receipt of Development Approvals. in the event that Developer fails to meet the schedule for Commencement of th Project, and after compliance with Section 5.4, either, party hereto may terminate this Acreemeni by ctciivering written notice to the other party., and, in tine event of such termination, neither nart shall have any further obligation hereunder. HOweyer. if circumstances within the scop. of Section 9.10 delay the commencement or completion of the Proiect, it would notconstitute grounds for any termination rights found within this Development Agreement. In such case. the timeline to commence or complete the relevant task shall be extended in the manner set forth at Section 9.10. Notwithstanding, the above,.Dcveloper shall. at all times, comply with all oth obligations set forth in this Agreement regardir_si the construction or improvement of Nev, %ii!_-Thal Billboard on the 40 F WY -Alameda. Site. Developer shall also maintair the )N.;v, Lei«ital Billboard at ail times durin�� the `herrn ut accordanc<- with the maintenan�� ore v!sion,. - r<.�T 1� �.ec ion the Scor: of f) -veld ment. atta.:;hed a� T =- r . v p v ?.t1ib, " „ 17er 1I, The purpose of this Agreement is to set forth the rules and regulations applicable to the Project, which shall be accomplished in accordance with this Agreement including the Scope of Development (Exhibit "B") which sets forth a. description of the Project and the Schedule of Performance ( Exhibit "D"1. 3.7 Changes and Amendments. Developer may determine that chances to the Development Approvals are appropriate and desirable. in the event Developer makes such a determination, Developer may apply in writing for an amendment to the Development Approvals to effectuate such change(s); provided that the City may request written consent from Owner if the modification is deemed material. The Parties acknowledce that City shall be permitted to use its inherent land use authority in deciding whether to approve or deny any such amendment request; provided. however, that in exercising the foregoing reasonable discretion, the City shall not apply a standard different than that used in evaluating requests of other developers. Accordingly, under no circumstance shall City be obligated in any manner to approve any amendment to the Development Approvals. The City Manage, shall be authorized to approve any non-substantivee amendment to the Development Approvais without processing an amendment to this Agreement. All other amendments shall require the approval of the City Council. The parties acknowledge that any extension of the Term for no more than twenty-four (24) months total is an example of a non -substantive change, which the City 1Vianager, in his 01 - her sole discretion. may approve in writing. Nothing herein shall cause Developer to be in default if it upgrades the digital display installed pursuant to this Agreement during the ttml of this Agreement to incorporate newer technology; provided Developer shall secure all applicable ministerial permits to do so and such upgrade is consistent with the dimensions and standards for the displays. as provided under this Agreement, Land Use Regulations and Subsequent and Use Regulations U Reser-vation of Authorin'. 3.8.1 Limitations, Resefwanons and Exceptions. Notwithstandinc any other provision of this Agreement, the following Subsequent Land Use Regulations shall app)); to the Development of the 405 FWY-Alameda Site- ORDINANCE NO. 12-1499 Page 29 of 30 (a) Processing fees and charges of evert kind and natureimposed by City to -ov or the estimated actual costs to CirN cf processing applications for Subsequent Development Approvals. (b; Procedural rew'tations consistent with tills Agreemen- relatinL, t(, hearing bodies, petitions, applications, notices, findings. rc,_ords.. hearing, reports, recommendations. appeals and any other matter of procedure. NotwithstandinL: th:. foregoing, if such change materially changes Developer's costs or otherwise materialiv impacts its performance hereunder. Develorzer may terminate this AEreement upon nin.-OI (90 � days prior written notice. I Change; a.dopt�cl by th,- Int —',anonLo onier n �. f�uilozl���';�IrY :al , csT othoi- slml,di hodN, as pari w th( then nl()s- , u en �� rS]On�� 7f th:. �Jl1lIorn"i 1iuiid i! , Code, Uniform Fire Code. reniform Piurnbinl_ Code, Uniforn'Mechanical ;ode. or National Electrical Code, as adopted by City as Subsequent Land Use Regulations, i�- adopted prior to the issuance of a building permit for development of the New Digital Billboard on the 405 FVVY-Alameda Site. Notwithstanding the foregoing, if such change materially changes Developer's costs or otherwise materially impacts its performance hereunder, developer may terminate this Agreement upon ninety (90) days prior written notice. (d) Regulations that are not in conflict with the Development Approvals or this Asreement. (e) Regulations that are in conflict with the Development Approvals or this Agreement, provided Developer has given written consent to the application of such regulations to Development of the. 405 FVV -Alameda Site. (f) Applicable Federal, State, County, and multi -jurisdictional laws and regulations which City is required to enforce as against the 405 FW Y -Alameda Site or the Development of the 405 FWY-Alameda Site and that do not have an exception for existing signs or legal nonconforming uses. 3.E.2 Future Discretion of Cirl,. This Agreement shall not prevent City from denying or conditionally approving any application for a Subsequent Development Approval on the basis of the Land Use Regulations. 3.8.3 Modification or Suspension by Federal, State, Count:. or Multi- durisdictional Law% in the event that applicable federal, State., County, or multi - jurisdictional laws or regulations, enacted after the Effective Date of this AL7=tnent., prevent or preclude compliance with one or more of the provisions of this Agreement, and there is no exception for the Iegal nonconforming use, such provisions of this Agreement shall be modified or suspended as may be necessan, to comply with such federal. State, County, or multi jurisdictional laws or regulations, and this Agreement shall remain in full force and effect to the extent it is not inconsistent with such laws or regulations and to the extent such laws or regulations do not render such remaimmi provision impractical to enforce. Notwithstanding the foregoing, if such change ORDINANCE NO. 12-1499 Page 30 of 30 materially changes Developer's costs or otherwise materially impacts its performance hereunder, Developer may terminate this _A�-Ureement upon ninety (90 i days prior written nOIICe. .C) Regulatiou by Other Public Ac-encies. 1, is acknow edged b�,� the parties than other public agencies not subject to control by City_ may possess authority to regulaie aspects of tnt Development of the 405 FWY-Alameda SiTtl as contemplated herein, and this A"'-eemcm does not limit the authority of such other public agencies. Developer acknowledges and represents that, in addition to the Land Use Regulations, Developer shall, at all times, comply with all applicable federal, State and local, laves and regulations applicable to the D10tal Billboard and 405 FW�'-Alameda Site that do not have an exception fora legal nonconformin�:' U .e Tc the extent sucl, other nubii: agcncic, pi -e ciud: deveiopmtni o- rrainter,anc: o' ti:e !�ro�.::a and that do not have ar exctn"oi; iOr r. legal nonconforminL us' > )evt1oper shaI,, no: be iurthcr obligated under this Agreemen extent as provided ir. Section 4.i. Ivotwithstandin the foregoing if such action by another pubiic agency materially changes Developer's costs or otherwise materially impacts its performance hereunder., Developer may terminate this Agreement upon ninety (90) days prior written notice 3.10 Public improvements. Notwithstanding any provision herein to the contrary, the City shall retain the right to condition any subsequent Development Approvals to require Developer to pay any required development fees, and/or to construct the required pubiic infrastructure ("Exactions") at such time as City, shall determine subject to the followin conditions. 3.10.1 The payment or construction must be to alleviate an impact caused by the Project or be of benefit to the Project; and 3.10.2 The timing of frit Exaction should be reasonably related to the development of the Project and said public improvements shall be phased to be commensurate with the Logi: al progression of the Project development as well as the reasonable needs of the public. 3.10.3 It being understood, however, that if the there is a material increase in cost to Developer or such action by City otherwise materially impacts developer's its performance hereunder, Developer may terminate this Agreement upon ninety (90) days prior written notice 3.1 I Fees, Taxes and Assessments. During the Term of this Agreement, the City shall not without the prior written consent of Developer, impose any additional fees. taxes or assessments on all or any portion of the Project, except such fees, taxes and assessments as are described in or required by this Development Agreement and/or the Development Approvals. However, this Development Agreement shall not prohibit the application of fees, taxes or assessments upon the 405 FW Alameda Site only and not the New Digital Billboard or Developer directly as follows: City of Carson Report to Mayor and City Council November 7, 2012 Special Orders of the Day SUBJECT: PUBLIC HEARING TO CONSIDER ORDINANCE NO. 12-1499 APPROVING A DEVELOPMENT AGREEMENT BETWEEN THE CITY OF CARSON AND CBS OUTDOOR TO REMOVE AN EXISTING DOUBLE -SIDED STATIC OUTDOOR ADVERTISING SIGN AND REPLACE IT WITH A 75 -FOOT HIGH DIGITAL OUTDOOR ADVERTISING SIGN LOCATED ALONG THE NORTHBOUND I-405 FREEWWAYy_A.NmPn ALAMEDA STREET (APN 7316-024-824) Su miffed y ifford . Graves Approved by David C. Biggs Director of Community Development City Manager I. SUMMARY On October 9, 2012, at a noticed Public Hearing, the Planning Commission considered and recommended approval of Development Agreement (DA) No. 6-11 (Exhibit Nos. 1, 2 and 3). This is a Development Agreement between the City of Carson and CBS Outdoor (CBSO) to remove an existing double -sided static outdoor advertising sign (billboard) and replace it with a 75—foot high digital outdoor advertising sign (digital billboard). Exhibit No. 4 is a copy of the draft Ordinance No. 12-1499 II. RECOMMENDATION TAKE the following actions: 1. OPEN the Public Hearing, TAKE public testimony, and CLOSE the Public Hearing. 2. WAIVE further reading and INTRODUCE Ordinance No. 12-1499, "AN ORDINANCE OF THE CITY OF CARSON, CALIFORNIA, APPROVING A DEVELOPMENT AGREEMENT BETWEEN THE CITY OF CARSON AND CBS OUTDOOR REMOVING AN EXISTING DOUBLE -SIDED STATIC OUTDOOR ADVERTISING SIGN AND REPLACING IT WITH A 75—FOOT HIGH DIGITAL OUTDOOR ADVERTISING SIGN LOCATED ALONG THE NORTHBOUND I- 405 FREEWAY AND ALAMEDA STREET (APN 7316-024-824)." III. ALTERNATIVES 1. DENY the request. 2. MODIFY the terms of the Development Agreement and REFER back to the Planning Commission with specific direction. 3. TAKE another action the City Council deems appropriate. IV. BACKGROUND Staff has been concurrently processing the development agreements for CBSO and Clear Channel Outdoor (CCO). Bulletin Displays is the only other company to obtain a DA for a digital outdoor advertising sign. References to the three DAs will be made throughout the staff report. City of Carson Report to Mayor and City Council November 7, 2012 The proposed CBSO digital billboard, located along the I-405 northbound and Alameda Street, is seventy-five feet high (approximately 42 feet above freeway grade), and has two sign faces at 48 feet by 14 feet each (Exhibit No. 4). The proposed digital billboard is essentially the same size and height as the static displays that it is replacing. In fact, all freeway -oriented digital billboards have consistent maximum height and size as these standards are strictly regulated by Caltrans. The proposed CCO digital billboard will be located along Alameda Street and the I-405 southbound. The two digital billboards are the first visible billboards in Carson traveling northbound on the I-405 Freeway from Long Beach. Analysis What is a Development Agreement? State law allows cities to enter into DAs with private parties. The DA is a legal, binding contract between a city and any person having a legal or equitable interest in the property. The agreement must clearly outline conditions, terms, restrictions and requirements. Once a DA is approved by the City Council, the rules of development for that project cannot change even if the zoning code or other development codes are changed. Deal Points The most important parts of DAs are the financial and non-financial deal points that are agreed upon between the City and the applicant. There are no established rules or policies when negotiating these deal points as each proposal is unique and should be considered on its own merits. This DA includes four basic deal points including the term or length of the DA, the fees the developer has to pay to the City, community wide benefits, and urban design enhancements. The following provides a brief discussion of each of these deal points: Term The term of the CBSO DA is for 20 years which is comparable to Bulletin Displays and CCO. The term dictates the length of time that Carson and CBSO are obligated to the deal points in the agreement. Both parties can agree to extend the term of this DA or negotiate a new DA after its expiration (Exhibit No. 4). Fees CBSO is obligated to pay the City at least the base Development Fee annually for the duration of the term of the agreement. However, CBSO will pay the Alternative Fee if such fee exceeds the annual Development Fee: • Development Fee: $60,000.00 per year with a 3% increase every other year; or • Alternative Fee: 6% of the gross advertising revenue per year CBSO total for 20 years: Minimum $1,375.666.00 and projected to be approximately $2,128,134.00 with the payment of the Alternative Fee based upon a percentage of the actual revenue to CBSO. 2 City of Carson Report to Mayor and City Council November 7, 2012 Comparatively, the following summarizes the fees approved for Bulletin Displays and the proposed fees for the CCO DA: Bulletin Displays Total for 20 years: $500,000.00 guaranteed and projected to be approximately $2,000,000.00 total based on revenue projections discussed with Bulletin Displays. Clear Channel Outdoor Total for 20 years: $2,233,302.00 The CCO DA provides a fixed annual payment to the City; however, the CBSO and Bulletin Display, DAs do not provide a specific guaranteed amount. Community Benefits All three DAs have somewhat similar language regarding community benefits: • The City's use of the static billboards free of charge during the term of the DA, for displays aimed at promoting the City, facilities and/or programs, for charitable or civic advertising and determined by the Developer on a space -availability basis. However, The CCO DA provides for the City's use of the digital billboards. • Discount advertising of ten percent (10%) off applicable rates for the display of advertising on the digital billboard to any business that has its principal place of business in Carson and is a member in good standing with the Carson Chamber of Commerce. Prohibited Displays All three DAs have similar language regarding not advertising tobacco, marijuana, hashish, "gentlemen's clubs," adult entertainment businesses, sexually oriented materials, or use sexually oriented images or language. Urban Design Enhancements Bulletin Displays DA did not include urban design enhancement provisions since they do not control any other signs within the City. CCO proposes to remove three existing City - oriented billboard structures. CBSO proposes the following: 1. To remove two billboard structures with a total of three (3) faces at the former Redevelopment Agency -owned site at Carson Street west of Avalon Boulevard. Address: North side Carson Street and west of Avalon Boulevard APN: 7337-011-900 2. To provide artistic treatment to mitigate the visual impact of the back side of one existing billboard (I-110 freeway site). Address: 21833 Figueroa Street APN: 7343-020-074 3 City of Carson Report to Mayor and City Council November 7, 2012 Undergrounding Utilities Initially the overhead utilities lines will be realigned to the perimeter of the site. The electrical lines servicing the CBSO location originate from 223rd Street and traverse the Successor Agency property located at 223rd Street and the railroad properties until reaching the CBSO location on the other side of the freeway. However, once a development is proposed for the site owned by the Successor Agency, the utilities will be placed underground so the overhead lines will not detract from the aesthetics of the development. Conclusion The proposed DA permits CBSO to construct, use and collect associated revenues from the new digital outdoor advertising sign for twenty years. The DA also provides the City a steady stream of revenue. Another benefit to the City and its residents is the removal of two City -oriented billboards that are considered legal, nonconforming. These billboards are viewed from City surface streets and contribute to visual blight. The removal of the three billboards and enhancement of a remaining billboard are very valuable when considering that this maybe the only chance for the City to remove billboards as a means of improving the urban landscape. V. FISCAL IMPACT The proposed project will generate a minimum $1,375.666.00 and projected to be approximately $2,128,134.00 total based on revenue projections discussed with CBSO over the 20 -year term of the DA. VI. EXHIBITS 1. Disposition October 9, 2012, Planning Commission. (pg. 6-8) 2. Staff Report October 9, 2012, Planning Commission. (pgs. 9-20) 3. Resolution October 9, 2012, Planning Commission. (pgs. 21-27) 4. Draft Ordinance No. 12-1499. (pgs. 28-85) Prepared by: Saied Naaseh, Associate Planner TO:Re09-04-1012 Reviewed bv: City Clerk City Treasurer Administrative Services Public Works Community Development Community Services e City of Carson Report to Mayor and City Council November 7, 2012 Action taken by City Council Date Action 5 if 2 3. DISPOSITION CITY OF CARSON REGULAR MEETING OF THE PLANNING COMMISSION CITY COUNCIL CHAMBERS, CARSON CITY HALL 701 East Carson Street, Second Floor Carson, CA 90745 October 9, 2012 — 6;30 P.M. CALL TO ORDER Chairman Faletogo called the meeting to order at 6:43 P.M. PLEDGE OF ALLEGIANCE Commissioner Gordon led the Salute to the Flag. ROLL CALL Planning Commissioners Present: Brimmer, Faletogo, Goolsby, Gordon, Schaefer, Saenz, Verrett Planning Commissioners Absent: Diaz, Williams Planning Staff Present: Planning Officer Repp, Senior Planner Signo, Assistant City Attorney Soltani, Assistant City Attorney Galante, Associate Planner Naaseh, Associate Planner Song, Planning Contractor Ketz, Recording Secretary Bothe 4. AGENDA POSTING Recording Secretary Bothe indicated CERTIFICATION that all posting requirements had been met. 5. AGENDA APPROVAL Without objection, Chairman Faletogo ordered Item Nos. 10B and 10C to be taken as the first order of business (absent Commissioners Diaz, Williams) INSTRUCTIONS Chairman Faletogo requested that all TO WITNESSES persons wishing to provide testimony stand for the oath, complete the general information card at the podium, and submit it to the secretary for recordation. 7. SWEARING OF WITNESSES Assistant City Attorney Sunny Soltani 8. ORAL COMMUNICATIONS For items NOT on the agenda. Speakers are limited to three minutes. None s;. EXX H11 WF Nu.6 f October 9, 2012 9. CONSENT CALENDAR 10. CONTINUED PUBLIC HEARING PLANNING COMMISSION DISPOSITION C) Development Agreement No. 5-11 between Clear Channel Outdoor, Inc., and the City of Carson Applicant: Clear Channel Outdoor, Inc. Attn: Layne Lawson 19320 Harborgate Way Torrance, CA 90501 Request: To consider a Development Agreement between the City of Carson and Clear Channel Outdoor to remove an existing double -sided static outdoor advertising sign (billboard) and replace it with an 80—foot high digital outdoor advertising sign (digital billboard) located along the southbound 1- 405 at Alameda Property Involved: Southbound 1-405 at Alameda Street (APN 7315-012-817) sn Staff Recommendation: Approve Planning Commission Decision: Commissioner Gordon moved, seconded by Commissioner Schaefer, to concur with staff recommendation, thus adopting Resolution No. 12-2448. Motion carried, 7-0 (absent Commissioners Diaz, Williams). 11. PUBLIC HEARING 12. NEW BUSINESS DISCUSSION None 13. WRITTEN COMMUNICATIONS None 14. MANAGER'S REPORT 15. COMMISSIONERS' REPORTS 16. ADJOURNMENT None At 10:56 P.M., the meeting was formally adjourned to Tuesday, October 23, 2012, 6:30 P.M., City Council Chambers. October 9, 2012 PLANNING COMMISSION DISPOSITION Upcoming Meetings For further information, call (310) 952-1761. Planning Commission Agenda and Reports October 23, 2012 available at November 13, 2012 http://ci.carson.ca.us/content/department/eco November 27, 2012 dev service/planning agenda.asp December 11, 2012 °N° CITY OF CARSON 04 o ` PLANNING COMMISSION STAFF REPORT E@ 1 .,' ,, i, ?A' October 9, 2012 SUBJECT: Development Agreement No. 6-11 between CBS Outdoor, Inc., and the City of Carson APPLICANT: CBS Outdoor, Inc. Andy Goodman 1731 Workman Street Los Angeles, CA 90031 REQUEST: To consider a Development Agreement between the City of Carson and CBS Outdoor to remove an existing double -sided static outdoor advertising sign (billboard) and replace it with a 75 -foot -high digital outdoor advertising sign (digital billboard) located along the northbound 1-405 at Alameda (APN 7316-024-824) PROPERTY INVOLVED: Northbound 1-405 Freeway at Alameda Street Chairman Faletogo moved, seconded by Commissioner Gordon, to concur with staff recommendation, thus adopting Resolution No. 12-2447. Motion carried, 7- 0 (absent Commissioners Diaz, Williams). AYE NO AYE NO X Chairman Faletogo X Gordon X Vice -Chair Verrett X Saenz X Brimmer X Schaefer Absent Diaz Absent Williams X Goolsby Introduction The applicant, CBS Outdoor, Inc. (CBS), is proposing to enter into a Development Agreement (DA) with the City of Carson to remove an existing double -sided static outdoor advertising sign (billboard) and replace it with an 75 -foot -high digital outdoor advertising sign (digital billboard) located along the northbound 1-405 at Alameda (APN 7316-024-824). Background On November 4, 2009, the City Council approved Resolution No. 09-1434 amending Section 9141.1 and Section 9146.7 of the Carson Municipal Code establishing an 1- 405 Freeway Corridor District for digital billboards and permitting them through approval of a DA. On March 16, 2010, the City Council approved a DA with Bulletin Displays, LLC to permit the construction of the first digital billboard in Carson at 19401 S. Main Street adjacent to the north side of the 1-405 Freeway. Staff has been concurrently processing the DAs for CBS and Clear Channel Outdoor (CCO). Therefore references to the three agreements will be made throughout the staff report. The proposed billboard, located at 1-405 northbound at Alameda Street, is seventy- five (75) feet high (approximately 42 feet above freeway grade), and has two sign faces at 48 feet by 14 feet each (672 square feet for each sign). The proposed billboard is essentially the same size and height as the static displays that it is replacing. In fact, all freeway. oriented billboards have consistent height and size as these standards are strictly regulated by Caltrans. The CCO billboard is located at Alameda Street along 1-405 southbound. The two billboards are the first billboards in Carson as traveling 1-405 northbound making these billboards prominent and visible. Analysis What is a Development Agreement? State Law allows cities to enter into DAs with private parties. The DA is a legal, binding contract between a city and any person having a legal or equitable interest in the property. The agreement must clearly outline conditions, terms, restrictions and requirements. Once a DA is approved by the City Council, the rules of development for that project cannot change even if the zoning code or other development codes are changed. Deal Points The most important part of DAs are the financial and non-financial deal points that are agreed upon between the city and the applicant. There are no established rules or policies when negotiating these deal points as each proposal is unique and should be judged on its own merits. This DA includes four basic deal points including the term or length of the Agreement, the fees the developer has to pay to the city, community Planning Commission Staff Report Development Agreement With CBS Outdoor October 9, 2012 Page 2 of 6 wide benefits, and urban design enhancements. The following provides a brief discussion of each of these deal points: Term The term of the Agreement is for 20 years which is comparable to Bulletin Displays and CCO. The term dictates the length of time that both parties are obligated to the deal points in the agreement. Both parties can agree to extend the term of this agreement or negotiate a new agreement after its expiration. Fees CBS is obligated to pay the city at least the Development Fee annually for the duration of the term of the agreement. However, they have to pay the larger of two fees for each year: • Development Fee: $60,000 per year with a 3% increase every other year; or • Alternative Fee: 6% of the gross advertising revenue per year CBS total for 20 years: Minimum $1,375.666.00, however, the amount of alternative fee cannot be determined at this time. Comparatively the following summarizes the fees approved for Bulletin Displays and the proposed fees for the CCO: Bulletin Displays Similar to CBS, Bulletin Displays pays a two-tiered system: • Annual Development Fee: $100,000 for the first year and $50,000/year for years 2 through 9; or • Percentage Fee: Developer owes the greater of the Annual Development Fee or 25% of gross advertising revenue (excluding land lease, advertising agency or brokerage commissions and any applicable taxes). If the cumulative Percentage Fee paid for years 1-10 (total) is less than $100,000 per digital face (i.e., $200,000 for 2 digital faces), a payment for this difference is due at year 10. Bulletin Displays total for 20 years: $500,000.00 guaranteed, and projected to be approximately $2,000,000.00 total based on revenue projections discussed with Bulletin displays. Clear Channel Outdoor Unlike CBS and Bulletin Displays, CCO pays a flat fee as follows: Year 1: $50,000 Planning Commission Staff Report Development Agreement With CBS Outdoor October 9, 2012 Page 3 of 6 Year 2: $60,000 Year 3: $80,000 Year 4: $100,000 Year 5: $100,000 Years 6-20: $100,000 plus 2.25%/year increase CCO total for 20 years: $2,233,302.00 The CCO DA provides a fixed annual payment to the city; however, the CBS and Bulletin Display DAs do not provide a specific guaranteed amount. It is difficult to project the exact revenues that the city will be collecting for these two billboards. Communitv Benefits All three DAs have somewhat similar language regarding community benefits: • City's use of the static billboards free of charge during the term of the Agreement, for displays aimed at promoting the City, facilities and/or programs, for charitable or civic advertising and determined by Developer on a space availability basis. However, The CCO DA provides for city's use of the digital billboards. • Discount advertising of ten percent (10%) off applicable rates for the display of advertising on the digital billboard to any business that has its principal place of business in Carson and is a member in good standing with the Carson Chamber of Commerce. Prohibited Displays All three DAs have similar language regarding not advertising tobacco, marijuana, hashish, "gentlemen's clubs", adult entertainment businesses, sexually oriented materials, or use sexually oriented images or language. Urban Desiqn Enhancements Bulletin Displays DA did not include urban design enhancement provisions since it was a new sign. CCO proposes to remove three existing city -oriented billboard structures. CBS proposes to remove 2 billboard structures with a total of three (3) faces at the former Redevelopment Agency -owned site at Carson Street west of Avalon Boulevard. In addition, CBS proposes to provide artistic painting to mitigate the visual impact of the back side of one existing billboard (1-110 Freeway site). Undergrounding Utilities Initially the overhead utilities lines will be realigned to the perimeter of the site. However, once a development is proposed for the site owned by the Planning Commission Staff Report Development Agreement With CBS Outdoor October 9, 2012 Page 4 of 6 IV V. Successor Agency, the utilities will be placed underground so the overhead lines do not detract from the aesthetics of the development. The proposed DAs permit the construction of the new digital billboards for the operators and their associated revenues for twenty years. Similarly, the DAs could also provide the city a steady stream of revenue. However, another benefit to the city and its residents is the potential for removal of the city -oriented billboards. These are the billboards that are mainly viewed from city surface streets. The removal of city -oriented billboards could be very valuable when considering that this maybe the only chance for the city to remove these billboards and improve the urban landscape of the city. Therefore, the DAs are an opportunity for the city to take actions that are in city's best interests. The Commission may choose to recommend removal of additional billboards instead of requiring payment of fees by the operators. Environmental Review Also to be considered in conjunction with the subject matter pursuant to the California Environmental Quality Act Guidelines will be an exemption pursuant to Section 15061(b)(3) since the project has no potential to cause a significant effect on the environment. Recommendation That the Planning Commission: • RECOMMEND APPROVAL of Development Agreement No. 06-11 to the City Council; and WAIVE further reading and ADOPT Resolution No. , entitled, "A RESOLUTION OF THE PLANNING COMMISSION OF THE CITY OF CARSON RECOMMENDING TO THE CITY COUNCIL APPROVAL OF ORDINANCE NO. 12- : DEVELOPMENT AGREEMENT NO. 06-11 BETWEEN THE CITY OF CARSON AND CBS OUTDOOR, INC. FOR THE CONVERSION OF TWO STATIC ADVERTISING DISPLAY FACES TO DIGITAL ELECTRONIC DISPLAY FACES ON AN EXISTING OUTDOOR ADVERTISING DISPLAY LOCATED AT ALAMEDA AND NORTHBOUND 1-405" VI. Exhibits 1. Draft Resolution 2. Exhibits Prepared by:----� Saied Naaseh, Associate nner Planning Commission Staff Report Development Agreement With CBS Outdoor October 9, 2012 Page 5 of 6 Reviewed by: John F. sibno, AICP, Senior Planner Approved by: 0.2 Sheri Repp-Loadgman, Planning Officer Planning Commission Staff Report Development Agreement With CBS Outdoor October 9, 2012 Page 6 of 6 CITY OF CARSON PLANNING COMMISSION RESOLUTION NO. 12- A RESOLUTION OF THE PLANNING COMMISSION OF THE CITY OF CARSON RECOMMENDING TO THE CITY COUNCIL APPROVAL OF ORDINANCE NO. 12- : DEVELOPMENT AGREEMENT NO. 06-11 BETWEEN THE CITY OF CARSON AND CBS OUTDOOR INC. FOR THE CONVERSION OF TWO STATIC ADVERTISING DISPLAY FACES TO DIGITAL ELECTRONIC DISPLAY FACES ON AN EXISTING OUTDOOR ADVERTISING DISPLAY LOCATED AT ALAMEDA AND NORTHBOUND 1-405 THE PLANNING COMMISSION OF THE CITY OF CARSON HEREBY FINDS, RESOLVES AND ORDERS AS FOLLOWS: Section 1. An application was duly filed by the applicant, CBS Outdoor, Inc., with respect to the real property located at Alameda Street and northbound 1-405 Freeway. The applicant requests approval of a Development Agreement for a 75 -foot -high outdoor advertising display ("billboard") to be placed at the southeast area of the subject property. On November 4, 2009, the City Council approved Resolution No. 09-1434 amending Section 9141.1 and Section 9146.7 of the Carson Municipal Code establishing an 1-405 Freeway Corridor District and Development Agreement requirement for new billboards. Section 2. A duly noticed public hearing was held on October 9, 2012 at 6:30 P.M., in the City Hall Council Chambers, 701 East Carson Street, Carson, California. A notice of the time, place and purpose of the aforesaid meeting was duly given. Section 3. Evidence, both written and oral, was duly presented to and considered by the Planning Commission at the aforesaid meeting. Section 4. The Planning Commission finds that: a) The Development Agreement provides for a Site which is located within an area suitable for the proposed use, and is in conformance the General Plan and the Manufacturing, Light zoning district. b) The Development Agreement provides for a public convenience through significant monetary benefits which will contribute indirectly to programs and services designed to provide for the health, safety and welfare of the public, thereby exhibiting good land use practices. c) The proposed Development Agreement will not be detrimental to the public's health, safety and general welfare, nor will it adversely affect the orderly development or property values for the subject property or areas surrounding it. d) DA6-11_CBS/ The Development Agreement is in compliance with the procedures established by City Council Resolution No. 90-050 as required by Government Code, Section 65865(c). If 1. �5 e) The Development Agreement in Section 5 provides for an annual review to ensure good faith compliance with the terms of the Agreement, as required in Section 65865.1 of the Government Code. f) The Development Agreement specifies the duration of the agreement in Section 2.4, the Processing Fee in Section 2.5; the Development Fee in Section 2.6 and 2.7 and the Community Benefits in Section 2.9. g) The Development Agreement includes conditions, terms, restrictions and requirements for development of the property in Section 3 and as permitted in Section 65865.2 of the Government Code. h) The Development Agreement contains provisions in Section 4 for removal of the billboard upon the termination the Agreement. i) The Development Agreement provides for amendment or cancellation in whole or in part, by mutual consent of the parties to the agreement or their successors in interest as required in Section 65868 of the Government Code. j) That the Development Agreement is in the best public interest of the City and its residents and that this Agreement will achieve a number of City objectives including utilizing the Billboard Site for a revenue -generating use and removing City -oriented billboard(s). Section 5. The Planning Commission further finds that the proposed project is exempt from the provisions of CEQA, pursuant to Section 15061(b)(3) since the project has no potential to cause a significant effect on the environment. Section 6. Based on all evidence presented at the meeting and the aforementioned findings, the Planning Commission hereby recommends that the City Council approve the Development Agreement, prepared pursuant to Article 2.5 of the Government Code and as shown in Exhibit "A". Section 7. The Secretary shall certify to the adoption of the Resolution and shall transmit copies of the same to the applicant. PASSED, APPROVED AND ADOPTED THIS 9th DAY OF OCTOBER 9, 2012. PLANNING COMMISSION CHAIR ATTEST: SECRETARY 2 01018/0111/43195.02 ORDINANCE NO. 12 - AN ORDINANCE OF THE CITY OF CARSON, CALIFORNIA, APPROVING A DEVELOPMENT AGREEMENT BETWEEN CBS OUTDOOR, INC. AND THE CITY OF CARSON FOR THE CONVERSION OF TWO STATIC ADVERTISING DISPLAY FACES TO DIGITAL ELECTRONIC DISPLAY FACES ON AN EXISTING OUTDOOR ADVERTISING DISPLAY LOCATED AT ALAMEDA AND NORTHBOUND 1-405 FREEWAY THE CITY COUNCIL OF THE CITY OF CARSON, CALIFORNIA, HEREBY FINDS, RESOLVES AND ORDERS AS FOLLOWS: Section 1. An application for a development agreement (Agreement), pursuant to Government Code Sections 65864 through 65869.5 and Resolution 90-050 of the city of Carson, was duly filed by the applicant, CBS Outdoor, Inc., with respect to the real property located at Alameda and northbound 405 Freeway (Site), as shown in Exhibit "A" attached hereto. The applicant proposes a 75 -foot high outdoor advertising display (billboard) to be placed at the southeast area of the subject property. Section 2. The Planning Commission held a duly noticed public hearing to obtain public comments on the Agreement on September 11, 2012 and October 9, 2012, at 6:30 P.M. at the City Hall Council Chambers, 701 East Carson Street, Carson, California. After consideration of the evidence and testimony, the Planning Commission voted to recommend approval of the Agreement. Section 3. The City Council held public hearings on the Agreement on , 2012 at 6:00 P.M. at the City Hall Council Chambers, 701 East Carson Street, Carson, California. A notice of the time, place and purpose of the aforesaid meetings were duly given. Section 4. The City Council finds that the proposed project is categorically exempted from the provisions of CEQA, pursuant to Section 15322 since the project has no potential to cause a significant effect on the environment. [MORE] DA5-11 CBS Exhibit A Ordinance Ordinance No. 12 - Page 2 of 5 Section 5. Evidence, both written and oral, was duly presented to and considered by the City Council at the aforesaid meeting. 01018/0111/43195.02 Section 6. The City Council finds that: a) The Development Agreement provides for a Site which is located within an area suitable for the proposed use, and is in conformance the General Plan and the Manufacturing, Light zoning district. b) The Development Agreement, provides for a public convenience through significant monetary benefits which will contribute indirectly to programs and services designed to provide for the health, safety and welfare of the public, thereby exhibiting good land use practices. C) The proposed Development Agreement will not be detrimental to the public's health, safety and general welfare, nor will it adversely affect the orderly development or property values for the subject property or areas surrounding it. d) The Development Agreement is in compliance with the procedures established by City Council Resolution No. 90-050 as required by Government Code, Section 65865(c). e) The Development Agreement in Section 5 provides for an annual review to ensure good faith compliance with the terms of the Agreement, as required in Section 65865.1 of the Government Code. f) The Development Agreement specifies the duration of the agreement in Section 2.4, the Processing Fee in Section 2.5; the Development Fee in Section 2.6 and 2.7 and the Community Benefits in Section 2.9. g) The Development Agreement includes conditions, terms, restrictions and requirements for development of the property in Section 3 and as permitted in Section 65865.2 of the Government Code. h) The Development Agreement contains provisions in Section 4 for removal of the billboard upon the termination the Agreement. i) The Development Agreement provides for amendment or cancellation in whole or in part, by mutual consent of the parties to the agreement or their successors in interest as required in Section 65868 of the Government Code. [MORE] Ordinance No. 12 - Page 3 of 5 j) That the Development Agreement is in the best public interest of the City and its residents and that this Agreement will achieve a number of City objectives including utilizing the Billboard Site for a revenue -generating use and removing City Oriented billboard(s). Section 7. The Agreement provides for recovery of the city's costs and complies with the Statue with respect to all fees and costs provided under the Agreement. Section 8. The Development Agreement is in compliance with the procedures established by City Council Resolution No. 90-050 and the City Council finds that the Agreement: a) Is consistent with the General Plan and any applicable specific plan; b) Is in conformity with public convenience and good land use practices; C) Will not be detrimental to the health, safety and general welfare; d) Will not adversely affect the orderly development of property or the preservation of property values; e) Is consistent with the provisions of Government Code Sections 65864 through 65869.5. Section 9. The Development Agreement is attached as Exhibit "B". Section 10. Agreement is on file in the office of the Development Services Department and is hereby incorporated herein by reference. Section 11. Based on the aforementioned findings, the City Council approves the Agreement and authorizes its execution and all action necessary to comply with its terms. Section 12. The Ordinance No. 12- is approved for introduction and first reading on , 2012 and adoption at the second hearing on , 2012. Section 13. The City Clerk shall certify to the adoption of this Ordinance and shall transmit copies of the same to the applicant. The City Clerk shall publish the adopted Ordinance pursuant to California Government Code 36933 within fifteen days of its adoption. 01018/0111/43195.02 [MORE] Ordinance No. 12 - Page 4 of 5 Section 14. The Ordinance shall become effective thirty (30) days after the second reading approval date, or if a referendum petition is filed (a) and fails to qualify for an election, the date the City Clerk certifies the disqualification of the referendum petition, or (b) if an election is held regarding the ordinance approving this Agreement, the date the election results are declared approving the Ordinance. PASSED, APPROVED and ADOPTED this th day of 2012. ATTEST: Donesia Gause, City Clerk City of Carson, California APPROVED AS TO FORM City Attorney 01018/0111/43195.02 [MORE] Mayor Jim Dear CITY OF CARSON PLANNING COMMISSION RESOLUTION NO. 12-2447 A RESOLUTION OF THE PLANNING COMMISSION OF THE CITY OF CARSON RECOMMENDING TO THE CITY COUNCIL APPROVAL OF ORDINANCE NO. 12- : DEVELOPMENT AGREEMENT NO. 06-11 BETWEEN THE CITY OF CARSON AND CBS OUTDOOR INC. FOR THE CONVERSION OF TWO STATIC ADVERTISING DISPLAY FACES TO DIGITAL ELECTRONIC DISPLAY FACES ON AN EXISTING OUTDOOR ADVERTISING DISPLAY LOCATED AT ALAMEDA AND NORTHBOUND 1405 THE PLANNING COMMISSION OF THE CITY OF CARSON HEREBY FINDS, RESOLVES AND ORDERS AS FOLLOWS: Section 1. An application was duly filed by the applicant, CBS Outdoor, Inc., with respect to the real property located at Alameda Street and northbound 1-405 Freeway. The applicant requests approval of a Development Agreement for a 75 -foot -high outdoor advertising display ("billboard") to be placed at the southeast area of the subject property. On November 4, 2009, the City Council approved Resolution_ No. 09-1434 amending Section 9141.1 and Section 9146.7 of the Carson Municipal Code establishing an 1-405 Freeway Corridor District and Development Agreement requirement for new billboards. Section 2. A duly noticed public hearing was held on October 9, 2012 at 6:30 P.M., in the City Hall Council Chambers, 701 East Carson Street, Carson, California. A notice of the time, place and purpose of the aforesaid meeting was duly given. Section 3. Evidence, both written and oral, was duly presented to and considered by the Planning Commission at the aforesaid meeting. Section 4. The Planning Commission finds that: a) The Development Agreement provides for a Site which is located within an area suitable for the proposed use, and is in conformance the General Plan and the Manufacturing, Light zoning district. b) The Development Agreement provides for a public convenience through significant monetary benefits which will contribute indirectly to programs and services designed to provide for the health, safety and welfare of the public, thereby exhibiting good land use practices. c) The proposed Development Agreement will not be detrimental to the public's health, safety and general welfare, nor will it adversely affect the orderly development or property values for the subject property or areas surrounding it. d) The Development Agreement is in compliance with the procedures established by City Council Resolution No. 90-050 as required by Government Code, Section 65865(c). nna_1 1 (RC A-/ Az EXHIBIT NU.0 3 e) The Development Agreement in Section 5 provides for an annual review to ensure good faith compliance with the terms of the Agreement, as required in Section 65865.1 of the Government Code. f) The Development Agreement specifies the duration of the agreement in Section 2.4, the Processing Fee in Section 2.5; the Development Fee in Section 2.6 and 2.7 and the Community Benefits in Section 2.9. g) The Development Agreement includes conditions, terms, restrictions and requirements for development of the property in Section 3 and as permitted in Section 65865.2 of the Government Code. h) The Development Agreement contains provisions in Section 4 for removal of the billboard upon the termination the Agreement. i) The Development Agreement provides for amendment or cancellation in whole or in part, by mutual consent of the parties to the agreement or their successors in interest as required in Section 65868 of the Government Code. j) That the Development Agreement is in the best public interest of the City and its residents and that this Agreement will achieve a number of City objectives including utilizing the Billboard Site for a revenue -generating use and removing City -oriented billboard(s). Section 5. The Planning Commission further finds that the proposed project is exempt from the provisions of CEQA, pursuant to Section 15061(b)(3) since the project has no potential to cause a significant effect on the environment. Section 6. Based on all evidence presented at the meeting and the aforementioned findings, the Planning Commission hereby recommends that the City Council approve the Development Agreement, prepared pursuant to Article 2.5 of the Government Code and as shown in Exhibit "A". Section 7. The Secretary shall certify to the adoption of the Resolution and shall transmit copies of the same to the applicant. PASSED, APPROVED AND ADOPTED THIS 9th DAY OF OCTOBER 9, 2012. PLANNING COMMISSION CHAIR ATTEST: .__........... r SECRETARY 2 !11l11Rlh111 Agiar, (19 ORDINANCE NO. 12 - AN ORDINANCE OF THE CITY OF CARSON, CALIFORNIA, APPROVING A DEVELOPMENT AGREEMENT BETWEEN CBS OUTDOOR, INC. AND THE CITY OF CARSON FOR THE CONVERSION OF TWO STATIC ADVERTISING DISPLAY FACES TO DIGITAL ELECTRONIC DISPLAY FACES ON AN EXISTING OUTDOOR ADVERTISING DISPLAY LOCATED AT ALAMEDA AND NORTHBOUND 1-405 FREEWAY THE CITY COUNCIL OF THE CITY OF CARSON, CALIFORNIA, HEREBY FINDS, RESOLVES AND ORDERS AS FOLLOWS: Section 1. An application for a development agreement (Agreement), pursuant to Government Code Sections 65864 through 65869.5 and Resolution 90-050 of the city of Carson, was duly filed by the applicant, CBS Outdoor, Inc., with respect to the real property located at Alameda and northbound 405 Freeway (Site), as shown in Exhibit "A" attached hereto. The applicant proposes a 75 -foot high outdoor advertising display (billboard) to be placed at the southeast area of the subject property. Section 2. The Planning Commission held a duly noticed public hearing to obtain public comments on the Agreement on September 11, 2012 and October 9, 2012, at 6:30 P.M. at the City Hall Council Chambers, 701 East Carson Street, Carson, California. After consideration of the evidence and testimony, the Planning Commission voted to recommend approval of the Agreement. Section 3. The City Council held public hearings on the Agreement on , 2012 at 6:00 P.M. at the City Hall Council Chambers, 701 East Carson Street, Carson, California. A notice of the time, place and purpose of the aforesaid meetings were duly given. Section 4. The City Council finds that the proposed project is categorically exempted from the provisions of CEQA, pursuant to Section 15322 since the project has no potential to cause a significant effect on the environment. DA5-11 _CBS Exhibit A Ordinance.doc [MORE] A Ordinance No. 12 - Page 2 of 5 Section 5. Evidence, both written and oral, was duly presented to and considered by the City Council at the aforesaid meeting. Section 6. The City Council finds that: a) The Development Agreement provides for a Site which is located within an area suitable for the proposed use, and is in conformance the General Plan and the Manufacturing, Light zoning district. b) The Development Agreement provides for a public convenience through significant monetary benefits which will contribute indirectly to programs and services designed to provide for the health, safety and welfare of the public, thereby exhibiting good land use practices. C) The proposed Development Agreement will not be detrimental to the public's health, safety and general welfare, nor will it adversely affect the orderly development or property values for the subject property or areas surrounding it. d) The Development Agreement is in compliance with the procedures established by City Council Resolution No. 90-050 as required by Government Code, Section 65865(c). e) The Development Agreement in Section 5 provides for an annual review to ensure good faith compliance with the terms of the Agreement, as required in Section 65865.1 of the Government Code. f) The Development Agreement specifies the duration of the agreement in Section 2.4, the Processing Fee in Section 2.5; the Development Fee in Section 2.6 and 2.7 and the Community Benefits in Section 2.9. g) The Development Agreement includes conditions, terms, restrictions and requirements for development of the property in Section 3 and as permitted in Section 65865.2 of the Government Code. h) The Development Agreement contains provisions in Section 4 for removal of the billboard upon the termination the Agreement. i) The Development Agreement provides for amendment or cancellation in whole or in part, by mutual consent of the parties to the agreement or their successors in interest as required in Section 65868 of the Government Code. [MORE] 01018/0111/43195.02 Ordinance No. 12 - Page 3 of 5 j) That the Development Agreement is in the best public interest of the City and its residents and that this Agreement will achieve a number of City objectives including utilizing the Billboard Site for a revenue -generating use and removing City Oriented billboard(s). Section 7. The. Agreement provides for recovery of the city's costs and complies with the Statue with respect to all fees and costs provided under the Agreement. Section 8. The Development Agreement is in compliance with the procedures established by City Council Resolution No. 90-050 and the City Council finds that the Agreement: a) Is consistent with the General Plan and any applicable specific plan; b) is in conformity with public convenience and good land use practices; C) Will not be detrimental to the health, safety and general welfare; d) Will not adversely affect the orderly development of property or the preservation of property values; e) Is consistent with the provisions of Government Code Sections 65864 through 65869.5. Section 9. The Development Agreement is attached as Exhibit "B". Section 10. Agreement is on file in the office of the Development Services Department and is hereby incorporated herein by reference. Section 11. Based on the aforementioned findings, the City Council approves the Agreement and authorizes its execution and all action necessary to comply with its terms. Section 12. The Ordinance No. 12- is approved for introduction and first reading on , 2012 and adoption at the second hearing on , 2012. Section 13. The City Clerk shall certify to the adoption of this Ordinance and shall transmit copies of the same to the applicant. The City Clerk shall publish the adopted Ordinance pursuant to California Government Code 36933 within fifteen days of its adoption. 01018/0111/43195.02 [MORE) r Ordinance No. 12 - Page 4 of 5 Section 14. The Ordinance shall become effective thirty (30) days after the second reading approval date, or if a referendum petition is filed (a) and fails to qualify for an election, the date the City Clerk certifies the disqualification of the referendum petition, or (b) if an election is held regarding the ordinance approving this Agreement, the date the election results are declared approving the Ordinance. PASSED, APPROVED and ADOPTED this 2012. ATTEST: Donesia Gause, City Clerk City of Carson, California APPROVED AS TO FORM City Attorney 01018/0111/43195.02 [MORE] th day of , Mayor Jim Dear 01018/0111/43195.02 EXHIBIT A LEGAL DESCRIPTION OF SITE [MORE] Ordinance No. 12 - Page 5 of 5 11 ORDINANCE NO. 12-1499 AN ORDINANCE OF THE CITY OF CARSON, CALIFORNIA, APPROVING A DEVELOPMENT AGREEMENT BETWEEN THE CITY OF CARSON AND CBS OUTDOOR REMOVING AN EXISTING DOUBLE -SIDED STATIC OUTDOOR ADVERTISING SIGN AND REPLACING IT WITH A 75—FOOT HIGH DIGITAL OUTDOOR ADVERTISING SIGN LOCATED ALONG THE NORTHBOUND I-405 FREEWAY AND ALAMEDA STREET (APN 7316-024-824) THE CITY COUNCIL OF THE CITY OF CARSON, CALIFORNIA, HEREBY FINDS, RESOLVES AND ORDERS AS FOLLOWS: Section 1. An application for a development agreement (Agreement), pursuant to Government Code Sections 65864 through 65869.5 and Resolution 90-050 of the city of Carson, was duly filed by the applicant, CBS Outdoor, Inc., with respect to the real property located at Alameda and northbound 405 Freeway (Site), as shown in Exhibit "A" attached hereto. The applicant proposes a 75 -foot high outdoor advertising display (billboard) to be placed at the southeast area of the subject property. Section 2. The Planning Commission held a duly noticed public hearing to obtain public comments on the Agreement on September 11, 2012 and October 9, 2012, at 6:30 P.M. at the City Hall Council Chambers, 701 East Carson Street, Carson, California. After consideration of the evidence and testimony, the Planning Commission voted to recommend approval of the Agreement by adopting Resolution No. 12-2447. Section 3. The City Council held public hearings on the Agreement on November 7, 2012 at 6:00 P.M. at the City Hall Council Chambers, 701 East Carson Street, Carson, California. A notice of the time, place and purpose of the aforesaid meetings were duly given. Section 4. The City Council finds that the proposed project is categorically exempted from the provisions of CEQA, pursuant to Section 15322 since the project has no potential to cause a significant effect on the environment. Section 5. Evidence, both written and oral, was duly presented to and considered by the City Council at the aforesaid meeting. Section 6. The City Council finds that: a) The Development Agreement provides for a Site which is located within an area suitable for the proposed use, and is in conformance the General Plan and the Manufacturing, Light zoning district. b) The Development Agreement provides for a public convenience through significant monetary benefits which will contribute indirectly to programs and services designed to provide for the health, safety and welfare of the public, thereby exhibiting good land use practices. [MORE] 7Q EXHIBIT IT .*A � C) Will not be detrimental to the health, safety and general welfare; d) Will not adversely affect the orderly development of property or the preservation of property values; e) Is consistent with the provisions of Government Code Sections 65864 through 65869.5. Section 9. The Development Agreement is attached as Exhibit `B". Section 10. Agreement is on file in the office of the Development Services Department and is hereby incorporated herein by reference. Section 11. Based on the aforementioned findings, the City Council approves the Agreement and authorizes its execution and all action necessary to comply with its terms. Section 12. The Ordinance No. 12-1499 is approved for introduction and first reading on November 7, 2012 and adoption at the second hearing on November 20, 2012. Section 13. The City Clerk shall certify to the adoption of this Ordinance and shall transmit copies of the same to the applicant. The City Clerk shall publish the adopted Ordinance pursuant to California Government Code 36933 within fifteen days of its adoption. Section 14. The Ordinance shall become effective thirty (30) days after the second reading approval date, or if a referendum petition is filed (a) and fails to qualify for an election, the date the City Clerk certifies the disqualification of the referendum petition, or (b) if an election is held regarding the ordinance approving this Agreement, the date the election results are declared approving the Ordinance. PASSED, APPROVED and ADOPTED this day of November, 2012. ATTEST: City Clerk Donesia L. Gause, CMC APPROVED AS TO FORM City Attorney [MORE] Mayor Jim Dear �, A33o EXHIBIT A LEGAL DESCRIPTION Dominguez Colony for Description See Assessor Maps Portion of Lot 6 Block C 7316-024-824 Recording Requested by And When Recorded Return to: CITY OF CARSON 1 Civic Plaza Drive Carson, CA 90745 Attn: City Clerk [Exempt From Recording Fee Per Gov. Code §6103] DEVELOPMENT AGREEMENT NO. 6-11 This Development Agreement (hereinafter "Agreement") is entered into this day of , 2012, (hereinafter the "Effective Date") by and between the CITY OF CARSON (hereinafter "City") and CBS OUTDOOR INC., a Delaware corporation (hereinafter "Developer"). RECITALS A. California Government Code Sections 65864, et seq., ("Development Agreement Law") authorizes cities to enter into binding development agreements with persons having a legal or equitable interest in real property for the development of such property, all for the purposes of strengthening the public planning process, encouraging private participation and comprehensive planning and identifying the economic costs of such development. B. Developer has a leasehold interest to that certain portion of real property, located adjacent to the north -bound lanes of the 405 Freeway, at the South Alameda Street overpass in the City of Carson, Assessor Parcel Number 7316-024-824, as more specifically described in Exhibit "A" and depicted at Exhibit "C", attached hereto and incorporated herein ("405 FWY- Alameda Site"), upon which it seeks to install a digital upgrade (2 new digital displays as described in Exhibit `B") to existing lawfully permitted double -sided 14x48 foot static display which is oriented toward the 405 Freeway ("New Digital Billboard"). C. Developer also has a leasehold interest in that certain portion of real property, located adjacent to the 110 Freeway, at 21833 S Figueroa Street in the City of Carson, Assessor Parcel Number 7343-020-074, as more specifically described in Exhibit "A" and depicted at Exhibit "C", attached hereto and incorporated herein ("110 FWY Site"), which 110 FWY Site is improved with a single -display static billboard structure oriented toward the 110 Freeway ("110 FWY Billboard"). D. Developer also has leasehold interests to certain portions of real property, located at 621 E. Carson Street, Assessor Parcel Number 7337-011-900, in the City of Carson, as such parcels are more specifically described in Exhibit "A" and depicted at Exhibit "C", attached hereto and incorporated herein ("City -Oriented Billboard Site"), which City -Oriented Billboard Site is improved with two (2) static billboard structures having a total of three (3) static displays oriented toward City rights-of-way ("City -Oriented Billboards") 1 Development Agreement — Ordinance No. 12-1499 01007/0005/107783.11 E. Southern Pacific Transportation Company owns the 405 FWY-Alameda Site, the Carson Housing Authority owns the City -Oriented Billboard Site, and Tom Ishioka owns the 110 FWY Site (each referred to as "Owner" and, collectively, "Owners") have consented to the application for this Development Agreement and Developer, as the lessee of the Sites, as such term is defined below, has legal and/or equitable interest in the Sites and thus qualifies to enter into this Agreement in accordance with Development Agreement Law. F. In exchange for the approvals sought to convert the 405 -Alameda Billboard to a New Digital Billboard, Developer has offered to: 1. Remove the City -Oriented Billboards and waive further rights to utilize the City -Oriented Billboard Site for installation or operation of any billboard and waive any claim for compensation for the removal of such signs; 2. Plant a minimum of one tree on the blank side facing residential use or — place a backing on exposed side which can be painted a solid color or with artwork of the 110 Freeway Billboard with approval from the property owner; 3. Pay to the City an annual Development Fee or Alternative Fee, whichever is greater, as defined and provided in Sections 2.6 and 2.7 below for the cost to the city to mitigate the impact of the installation of the digital sign panels on the New Digital Billboard; and 4. Provide free of charge to City, on a space available basis, advertising space within the City, and offer a 10% discount off of its applicable rate card or going rate fees for the displays on the New Digital Billboard to any business that has its principal place of business in Carson and is a member in good standing of the Carson Chamber of Commerce. G. The 405 -Alameda Site is located within the City's Industrial and/or Manufacturing Zone, designated by the General Plan as Industrial and is also located within the 405 Freeway Corridor as defined per Carson Municipal Code § 9146.7 Signs. H. Developer and City agree that a development agreement should be approved and adopted to memorialize the property expectations of City and Developer as more particularly described herein. I. On October 9, 2012, the Planning Commission of the City, at a duly noticed hearing to consider the approval of this Agreement, adopted Resolution No. 12-2447 recommending approval of this Agreement to the City Council and find the Project, as defined below, categorically exempt from the provisions of the California Environmental Quality Act ("CEQA") pursuant to Section 15332 regarding Urban In -Fill Development Projects. J. On November 6, 2012 the City Council of the City, at a duly noticed hearing to consider the approval of this Agreement, considered the proposal, heard testimony, and introduced Ordinance No. 12-1499. K. The City Council has found that this Agreement is in the best public interest of the City and its residents, adopting this Agreement constitutes a present exercise of the City's police power, and this Agreement is consistent with the City's General Plan. This Agreement 2. Development Agreement — Ordinance No. 12-1499 01007/0005/107783.11 and the proposed Project (as hereinafter defined) will achieve a number of City objectives including utilizing the 405 FWY-Alameda Site for a revenue -generating use, removing less - desirable city -oriented billboards. Developer will remove the digital displays if an extension of this Agreement is not negotiated with City and if not, the static billboard remains. L. On , 2012, the City Council held the second reading of Ordinance No. 12-1499, thereby approving this Agreement. M. City finds and determines that all actions required of City precedent to approval of this Agreement by Ordinance No. 12-1499 of the City Council have been duly and regularly taken. COVENANTS NOW, THEREFORE, in consideration of the above recitals and of the mutual covenants hereinafter contained and for other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the parties agree as follows: 1. DEFINITIONS AND EXHIBITS. 1.1 Definitions. This Agreement uses a number of terms having specific meanings, as defined below. These specially defined terms are distinguished by having the initial letter capitalized, when used in the Agreement. In addition to the terms defined in the Recitals above, the defined terms include the following: 1.1.1 "110 FWY Site Lease" means the lease agreement by and between Developer and Tom Ishioka, Owner of the 110 FWY Site. 1.1.2 "405 FWY-Alameda Site Lease" means the lease agreement by and between Developer and Southern Pacific Transportation Company, Owner of the 405 FWY-Alameda Site. 1.1.3 "Agreement" means this Development Agreement and all attachments and exhibits hereto. 1.1.4 "City" means the City of Carson, a California municipal corporation. 1.1.5 "City Council" means the City Council of the City. 1.1.6 "Developer" means CBS Outdoor Inc, a Delaware Corp. duly existing and operating, and its successors and assigns, doing business at 1731 Workman St. , Los Angeles, California 90031. 1.1.7 "Development" means the installation of the New Digital Billboard on the 405-FWY Alameda Site and the temporary installation of above -ground and thereafter undergrounding of all utilities from Southern California Edison's electrical source to the New Digital Billboard. 3 Development Agreement — Ordinance No. 12-1499 01007/0005/107783.11 1.1.8 "Development Approvals" means the approved Development, based on the recommended approval by the Planning Commission on October 9, 2012, pursuant to Resolution No. 12-2447 and approval of the City Council by Ordinance No. 12-1499 on , 2012, as further described at Section 3.3 herein. 1.1.9 "Effective Date" means the date inserted into the preamble of this Agreement, which is 30 days following approval of this Agreement by ordinance of the City Council, provided the Agreement is signed by the Developer and City. 1.1.10 "Final Permits" shall have the meaning set forth at Section 2.6. 1.1.11 "Land Use Regulations" means all ordinances, resolutions, codes, rules, regulations and official policies of City, including, but not limited to, the City's General Plan, Municipal Code and Zoning Code, which govern development and use of the Billboard Site, including, without limitation, the permitted use of land, the density or intensity of use, subdivision requirements, the maximum height and size of the Billboard, the provisions for reservation or dedication of land for public purposes, and the design, improvement and construction standards and specifications applicable to the Development of the Billboard Site which are in full force and effect as of the Effective Date of this Agreement, subject to the terms of this Agreement. Land Use Regulations shall also include NPDES regulations and approvals from the California Department of Transportation Outdoor Advertising Division, to the extent applicable. 1.1.12 "Mortgagee" means a mortgagee of a mortgage, a beneficiary under a deed of trust or any other security -device, a lender or each of their respective successors and assigns. 1.1.13 "Project" means the removal of the City -Oriented Billboards, installation, including installing any new and moving all existing utilities underground, (provided the requirement to underground utilities is also imposed in the Development Agreement with any other billboard operator, being approved concurrently or substantially at the same time as this Agreement), operation and maintenance of the New Digital Billboard on the 405 FWY-Alameda Site, and installation of artwork on the blank side of at the 110 FWY Billboard, collectively, all in accordance with the Development Approvals and this Agreement, including the Scope of Development attached hereto as Exhibit `B", Schedule of Performance attached hereto as Exhibit "D" and all conditions of approval and consistent with the approval from the California Department of Transportation Outdoor Advertising Division. Nothing herein shall place any requirement upon Developer to provide or arrange for utilities for Clear Channel Outdoor and/or any other billboard operator. Nevertheless, Developer shall cooperate with Clear Channel Outdoor in securing utilities for its billboard and accommodate the shared use of utility facilities for placement of both the temporary above -ground utilities in accordance with the plan at Exhibit "F" hereto and permanent underground utilities per paragraphs 1 and 3 of Exhibit «E„ 4 Development Agreement — Ordinance No. 12-1499 01007,10005/107783.11 1.1.14 "Sites" refers collectively to the 405 FWY-Alameda Site, 110 FWY Site, City -Oriented Billboard Site, as such sites are more specifically described on Exhibit "A" and depicted at Exhibit "A-1" attached hereto and incorporated herein. 1.1.15 "Schedule of Performance" means the Schedule of Performance attached hereto as Exhibit "D" and incorporated herein. 1.1.16 "Scope of Development" means the Scope of Development attached hereto as Exhibit "B" and incorporated herein. 1.1.17 "Subsequent Land Use Regulations" means any Land Use Regulations effective after the Effective Date of this Agreement (whether adopted prior to or after the Effective Date of this Agreement) which govern development and use of the Billboard Sites. 1.1.18 "Term shall have the meaning provided in Section 2.4, unless earlier terminated as provided in this Agreement. 1.2 Exhibits. The following documents are attached to, and by this reference made a part of, this Agreement: Exhibit "A" (Legal Description of Sites), Exhibit "C" (Site Plan and Elevations) and Exhibit "D" (Schedule of Performance) and Exhibit `B" (Developer's Production Specification Sheet). 2. GENERAL PROVISIONS. 2.1 Binding Effect of Agreement. From and following the Effective Date, actions by the City and Developer with respect to the Development of the 405 FWY-Alameda Site, including actions by the City on applications for Subsequent Development Approvals affecting the 405 FWY-Alameda Site, shall be subject to the terms and provisions of this Agreement, provided, however, that nothing in this Agreement shall be deemed or construed (i) to modify or amend the 405 FWY-Alameda Site Lease, 110 FWY Site Lease, or any of Developer's obligations thereunder, or to bind or restrict Owners of either the 405-FWY-Alameda Site or 110 FWY Site with respect to its ownership or operation of their respective properties except as expressly set forth herein with respect to the 405-FWY-Alameda Site or 110 FWY Site, respectively, or (ii) to impose any obligation whatsoever on Owners of either the 405-FWY- Alameda Site or 110 FWY Site, including without limitation any obligation with respect to the 405-FWY-Alameda Billboard, 110 FWY Billboard, the 405-FWY-Alameda Site or 110 FWY Site, the Development or the Project, except as expressly set forth in this Agreement. 2.2 Interest in Sites. City and Developer acknowledge and agree that Developer has a legal or equitable interest in the Sites and thus is qualified to enter into and be a party to this Agreement under the Development Agreement Law. Additionally, prior to the execution of this Agreement, Developer has allowed the City to view a redacted copy of the Lease or Clear Channel affidavit which demonstrates that Developer has a leasehold interest in the 405-FWY- Alameda Site and 110 FWY Site, which interest shall be maintained for the entire Term of this Agreement. If Developer's leasehold interest is prematurely terminated by Owner of the 110 FWY Site, then Developer shall have no further obligations under Section 3.2 or Exhibit `B" of this Agreement relative to the maintenance of the artwork thereon, except as provided under 5 Development Agreement — Ordinance No. 12-1499 01007/0005/107783.11 Section 4.L. Additionally, if Developer's leasehold interest is prematurely terminated by Owner of the 405 FWY-Alameda Site, then Developer shall have no further obligations under this Agreement, except as provided under Section 4.1. 2.3 No Assignment. Developer may assign or otherwise transfer this Agreement, or its interest in the Billboard Sites or any part of its interest in the Billboard Sites, without City's consent, to any other person, firm, or entity, purchasing all, or substantially all of Developers assets in the greater Los Angeles market, provided the transfer is as a result of a sale of Developer and/or its assets, including the rights granted under this Agreement, to another publicly -traded company or an entity having a net worth of Ten Million Dollars ($10,000,000) or more prior to such assignment or at the time of execution of this Agreement, which net worth is subject to verification by the City. Any other proposed assignment shall be subject to the approval of the City, which will not be unreasonably withheld, delayed or conditioned. Any security posted by Developer may be substituted by the assignee or transferee. After a transfer or assignment as permitted by this Section, the City shall look solely to such assignee or transferee for compliance with the provisions of this Agreement which have been assigned or transferred. 2.4 Term of Agreement. Unless earlier terminated as provided in this Agreement, this Agreement shall continue in full force and effect until the earlier of twenty (20) years after the date Developer receives Final Permits, as defined in Section 2.6 below, (ii) the expiration or earlier termination of the 405 FWY-Alameda Site Lease per Section 6.1 that applies to the 405 FWY-Alameda Site, or (iii) the permanent removal of the digital displays constructed pursuant to the terms hereof, otherwise removal may be for repair or replacement, (iv) if one digital face is removed permanently and replaced with a static face the current agreement remains for the second digital face. In such case, Developer shall completely remove the New Digital Billboard within the times and as provided under Section 4.1 herein. Within thirty (30) days after the expiration or termination of this Agreement, the parties shall execute a written cancellation of this Agreement which shall be recorded with the County Recorder pursuant to Section 9.1 below. If no extension of this Agreement is agreed to, then the digital displays come down but the static display may remain. The term of this Agreement supersedes any amortization period that may apply under the Carson Municipal Code as to any non -conformity as applied to the 110 Freeway Billboard. 2.5 Processing Fee. Upon submission of its application for the approvals granted by this Agreement, Developer has paid to City a processing ("Processing Fee") in the amount of Seven Thousand Five Hundred Dollars ($7,500). The City shall retain and use the Processing Fee, or any part thereof, for any public purpose within the City's discretion. The Processing Fee shall be separate from all fees which are standard and uniformly applied to similar projects in the City, including, but not limited to, business license fees (due by Developer to City annually), one time plan check fee and building permit fee and any other fees imposed by the City as may be applicable. Additionally, within 30 days of the City providing Developer with a final invoice of legal fees incurred by City related to the negotiation and preparation of this Agreement, Developer shall pay City any outstanding balance of such fees. 2.6 Development Fee. The potential impacts of the Development on the City and surrounding community are difficult to identify and calculate. Developer and City agree that an 6 Development Agreement — Ordinance No. 12-1499 01007/0005/107783.11 3 annual development fee paid by Developer to City would adequately mitigate all such potential impacts. The parties therefore agree that Developer shall pay an annual development fee to City of Sixty Thousand Dollars ($60,000.00) per year, increased by three percent (3%) every other year ("Development Fee"), subject to the obligation to pay the Alternative Fee per Section 2.7 below. The Development Fee, for ease of reference purposes, shall equal the following amounts during the Term: Year 1 $60,000 Year 11 $69,556.45 Year 2 $60,000 Year 12 $69,556.45 Year 3 $61,800 Year 13 $71,643.14 Year 4 $61,800 Year 14 $71,643.14 Year 5 $63,654 Year 15 $73,792.43 Year 6 $63,654 Year 16 $73,792.43 Year 7 $65,563.62 Year 17 $76,006.20 Year 8 $65,563.62 Year 18 $76,006.20 Year 9 $67,530.53 Year 19 $78,286.39 Year 10 $67,530.53 Year 20 $78,286.39 The Development Fee shall be paid annually, with the first installment no later than one (1) year after Developer receives final approval to construct the New Digital Billboard from the applicable governmental authorities for any and all required permits to maintain and operate the New Digital Billboard as contemplated under this Agreement ("Final Permits"). Developer shall notify City within five (5) days of its receipt of all Final Permits for the purpose of determining the date annual payments of the Development Fee (or Alternative Fee per Section 2.7) shall commence. Nothing herein relieves the City from its contractual duty to issue all municipal building permits that are associated with the Development of the New Digital Billboard if Developer is in compliance with the terms of this Agreement. 2.7 Alternative Fee: For any year of the Term where the Alternative Fee, as defined in this Section 2.7, exceeds the Development Fee described at Section 2.6 above, Developer shall pay to City the Alternative Fee, which is defined as an amount equal to Six Percent (6%) of total gross advertising revenue made from both digital displays of the New Digital Billboard during the preceding year of the Term. Within ninety (90) days following the end of each year of the Term hereof, and ending within ninety (90) days of the termination of the Term, Developer shall furnish to City a statement in writing, certified by Developer to be correct, showing the total gross advertising revenues made from each sign face of the New Digital Billboard during the preceding year of the Term attributable to each sign display of the New Digital Billboard to the extent such Alternative Fee exceeds the Development Fee for that same preceding year. The calculation of the Alternative Fee shall be based on the gross amount received on the advertising sales. 2.8 Audit of Alternative Fee. With prior written notice of not less than ten (10) business days, City has the right to audit Developer's sign gross revenue related to this Agreement, at Developer's office, on normal workdays between 9:00 a.m. and 4:00 p.m. once a year. If the statement of total gross advertising revenue previously provided to City shall be found to be inaccurate for prior years of the Term, then and in that event, there shall be an adjustment and one party shall pay to the other on demand such sums as may be necessary to 7 f Development Agreement —Ordinance No. 12-1499 01007/0005/107783.11 zis settle in full the accurate amount of said percentage rental that should have been paid to City for the period or periods covered by such inaccurate statement or statements. If said audit discloses an underpayment of greater than three percent (3%) with respect to the amount of total gross advertising revenue reported by Developer for the period or periods of said report, then the Developer shall immediately pay to City the cost of such audit; otherwise, the cost of such audit shall be paid by City, plus ten percent (10%) interest on the amount underpaid, but the application of the said interest is limited to three (3) years before the time any underpayment should have been paid to the City. 2.9 Community Benefits. Developer shall also provide the following community benefits during the entire Term of this Agreement: 2.9.1 City's Use of Static Signs. Developer shall also provide free of charge to City on a space available basis, advertising space within the City. City will be responsible for printing cost and install/takedown costs, subject to review and approval of suggested copy from City by Developer. 2.9.2 Discount Advertising. Developer shall offer a ten percent (10%) discount off of its applicable rate card fees for the display of advertising on the New Digital Billboard to any business that has its principal place of business in Carson and is a member in good standing of the Carson Chamber of Commerce. 2.10 Prohibited Use. Developer shall not utilize any of the displays on the Billboard to advertise tobacco, marijuana, hashish, "gentlemen's clubs," adult entertainment businesses, sexually oriented materials, or use sexually oriented images or language, or as may be prohibited by any City ordinance existing as of the Effective Date of this Agreement or as may be amended or implemented from time -to -time after the Effective Date and equally -applicable to all billboard displays by any dully and valid city ordinance. 3. DEVELOPMENT AND IMPLEMENTATION OF THE PROJECT. 3.1 Rights to Develop 405 FWY-Alameda Site. Subject to and during the Term of this Agreement, Developer shall have the right to develop the 405 FWY-Alameda Site in accordance with, and to the extent of, the Development Approvals, the Land Use Regulations, and this Agreement, provided that nothing in this Agreement shall be deemed to modify or amend the 405 FWY-Alameda Site Lease. 3.2 Installation of Artwork at 110 FWY Site. Developer shall have artwork as approved by the City's Planning Department applied to the backing, having the form and specifications set forth in the Development Approval, and complete such installation within the times set forth in the Schedule of Performance, attached hereto as Exhibit "D." Developer shall, at all times during the Term, artwork in good condition and replace such artwork if it becomes damaged or otherwise in need of replacement within the times and in the manner described in the Scope of Development, attached hereto as Exhibit `B". 3.3 Demolition of City -Oriented Billboards. Developer shall secure all demolition permits and approvals and commence the demolition and complete removal of the City -Oriented Billboards, including, but not limited to, the two (2) structures and total of three (3) static g Development Agreement — Ordinance No. 12-1499 01007/0005/107783.11 e displays and any other structure or facility erected or maintained as part of or in relation to the such billboards and complete such demolition and removal, within the times set forth in the Schedule of Performance, attached hereto as Exhibit "D." Following the removal of such billboards, Developer shall, as reasonably as possible, restore the City -Oriented Site to a good condition that reasonably matches the surrounding landscape. Developer and the respective Owners of the City -Oriented Billboard Site, including the City as Successor Agency to the Carson Redevelopment Agency as owner of the property located at 621 Carson , Carson hereby waive any further rights to utilize the City -Oriented Billboard Site, respectively, for installation or operation of any billboard and waive any claim for compensation or damages for the removal of the billboards and related appurtenances thereon and agreement to give up any further rights to utilize the City -Oriented Billboard Site, respectively, for the installation or operation of any billboard displays in the future. Such waiver and release of any claim for compensation or damages includes, but is not limited to, lost revenues, relocation expenses, severance damages, loss of business goodwill, costs, interest, attorneys' fees, and any claim whatsoever of the respective Owners which might arise out of or relate to any respect to the requirements of this Section 3.3 or this Agreement. 3.4 Effect of Agreement on Land Use Regulations. Except as otherwise provided under the terms of this Agreement, the rules, regulations and official policies governing permitted uses of the 405 FWY-Alameda Site and 110 FWY Site, the density and intensity of use of the such Sites, the maximum height and size of proposed structures, and the design, and improvement and construction standards and specifications applicable to Development of the 405 FWY-Alameda Site shall be as set forth in the Land Use Regulations, as such term is defined in Section 1.1.11, which are in full force and effect as of the Effective Date of this Agreement, subject to the terms of this Agreement. 3.5 Development Approvals. Developer shall, at its own expense and before commencement of demolition, construction or development of any structures or other work of improvement upon the Sites, secure or cause to be secured all necessary Development Approvals, which shall include any and all permits and approvals which may be required by City or any other governmental agency or utility affected by such construction, development or work to be performed by Developer pursuant to the Scope of Development, including but not limited to, necessary building permits and all approvals required under the California Environmental Quality Act ("CEQA"). Not by way of limiting the foregoing, in developing and constructing the Project, Developer shall comply with all (1) applicable development standards in City's Municipal Code, (2) applicable NPDES requirements pertaining to the Project, (3) all applicable building codes, except as may be permitted through approved variances and modifications. Developer shall pay all normal and customary fees and charges applicable to such permits, and any fees and charges hereafter imposed by City in connection with the Development which are standard and uniformly -applied to similar projects in the City. Nothing contained in this Agreement shall be deemed to impose any obligation on Owner with respect to the Development Approvals or the Project. 3.6 Timing of Development; Scope of Development. Developer shall commence the Project within the time set forth in the Schedule of Performance, attached hereto as Exhibit "D." "Commencement" of the Project is defined herein as commencement of construction or improvements under the building permit for the construction of the -Digital Billboard on the 9 Development Agreement — Ordinance No. 12-1499 01007/0005/107783.11 /46\ 405 FWY-Alameda Site as soon as possible following Developer's receipt of Development Approvals. In the event that Developer fails to meet the schedule for Commencement of the Project, and after compliance with Section 5.4, either party hereto may terminate this Agreement by delivering written notice to the other party, and, in the event of such termination, neither party shall have any further obligation hereunder. However, if circumstances within the scope of Section 9.10 delay the commencement or completion of the Project, it would not constitute grounds for any termination rights found within this Development Agreement. In such case, the timeline to commence or complete the relevant task shall be extended in the manner set forth at Section 9.10. Notwithstanding the above, Developer shall, at all times, comply with all other obligations set forth in this Agreement regarding the construction or improvement of New Digital Billboard on the 405 FWY-Alameda Site. Developer shall also maintain the New Digital Billboard at all times during the Term in accordance with the maintenance provisions set forth in Section 3, the Scope of Development, attached as Exhibit `B" herein. The purpose of this Agreement is to set forth the rules and regulations applicable to the Project, which shall be accomplished in accordance with this Agreement, including the Scope of Development (Exhibit `B") which sets forth a description of the Project and the Schedule of Performance (Exhibit "D"). 3.7 Changes and Amendments. Developer may determine that changes to the Development Approvals are appropriate and desirable. In the event Developer makes such a determination, Developer may apply in writing for an amendment to the Development Approvals to effectuate such change(s); provided that the City may request written consent from Owner if the modification is deemed material. The Parties acknowledge that City shall be permitted to use its inherent land use authority in deciding whether to approve or deny any such amendment request; provided, however, that in exercising the foregoing reasonable discretion, the City shall not apply a standard different than that used in evaluating requests of other developers. Accordingly, under no circumstance shall City be obligated in any manner to approve any amendment to the Development Approvals. The City Manager shall be authorized to approve any non -substantive amendment to the Development Approvals without processing an amendment to this Agreement. All other amendments shall require the approval of the City Council. The parties acknowledge that any extension of the Term for no more than twenty-four (24) months total is an example of a non -substantive change, which the City Manager, in his or her sole discretion, may approve in writing. Nothing herein shall cause Developer to be in default if it upgrades the digital display installed pursuant to this Agreement during the term of this Agreement to incorporate newer technology; provided Developer shall secure all applicable ministerial permits to do so and such upgrade is consistent with the dimensions and standards for the displays, as provided under this Agreement, Land Use Regulations and Subsequent Land Use Regulations 3.8 Reservation of Authority. 3.8.1 Limitations, Reservations and Exceptions. Notwithstanding any other provision of this Agreement, the following Subsequent Land Use Regulations shall apply to the Development of the 405 FWY-Alameda Site: 10 Development Agreement — Ordinance No. 12-1499 01007/0005/107783.11 (a) Processing fees and charges of every kind and nature imposed by City to cover the estimated actual costs to City of processing applications for Subsequent Development Approvals. (b) Procedural regulations consistent with this Agreement relating to hearing bodies, petitions, applications, notices, findings, records, hearing, reports, recommendations, appeals and any other matter of procedure. Notwithstanding the foregoing, if such change materially changes Developer's costs or otherwise materially impacts its performance hereunder, Developer may terminate this Agreement upon ninety (90) days prior written notice. (c) Changes adopted by the International Conference of Building Officials, or other similar body, as part of the then most current versions of the Uniform Building Code, Uniform Fire Code, Uniform Plumbing Code, Uniform Mechanical Code, or National Electrical Code, as adopted by City as Subsequent Land Use Regulations, if adopted prior to the issuance of a building permit for development of the New Digital Billboard on the 405 FWY-Alameda Site. Notwithstanding the foregoing, if such change materially changes Developer's costs or otherwise materially impacts its performance hereunder, developer may terminate this Agreement upon ninety (90) days prior written notice. (d) Regulations that are not in conflict with the Development Approvals or this Agreement. (e) Regulations that are in conflict with the Development Approvals or this Agreement, provided Developer has given written consent to the application of such regulations to Development of the 405 FWY-Alameda Site. (f) Applicable Federal, State, County, and multi jurisdictional laws and regulations which City is required to enforce as against the 405 FWY-Alameda Site or the Development of the 405 FWY-Alameda Site and that do not have an exception for existing signs or legal nonconforming uses. 3.8.2 Future Discretion of City. This Agreement shall not prevent City from denying or conditionally approving any application for a Subsequent Development Approval on the basis of the Land Use Regulations. 3.8.3 Modification or Suspension by Federal, State, County, or Multi - Jurisdictional Law. In the event that applicable federal, State, County, or multi - jurisdictional laws or regulations, enacted after the Effective Date of this Agreement, prevent or preclude compliance with one or more of the provisions of this Agreement, and there is no exception for the legal nonconforming use, such provisions of this Agreement shall be modified or suspended as may be necessary to comply with such federal, State, County, or multi jurisdictional laws or regulations, and this Agreement shall remain in full force and effect to the extent it is not inconsistent with such laws or regulations and to the extent such laws or regulations do not render such remaining provision impractical to enforce. Notwithstanding the foregoing, if such change 11 Development Agreement — Ordinance No. 12-1499 01007/0005/107783.11 materially changes Developer's costs or otherwise materially impacts its performance hereunder, Developer may terminate this Agreement upon ninety (90) days prior written notice. 3.9 Regulation by Other Public Agencies. It is acknowledged by the parties that other public agencies not subject to control by City may possess authority to regulate aspects of the Development of the 405 FWY-Alameda Site as contemplated herein, and this Agreement does not limit the authority of such other public agencies. Developer acknowledges and represents that, in addition to the Land Use Regulations, Developer shall, at all times, comply with all applicable federal, State and local laws and regulations applicable to the Digital Billboard and 405 FWY-Alameda Site that do not have an exception for a legal nonconforming use. To the extent such other public agencies preclude development or maintenance of the Project and that do not have an exception for a legal nonconforming use, Developer shall not be further obligated under this Agreement except as provided in Section 4.1. Notwithstanding the foregoing, if such action by another public agency materially changes Developer's costs or otherwise materially impacts its performance hereunder, Developer may terminate this Agreement upon ninety (90) days prior written notice 3.10 Public Improvements. Notwithstanding any provision herein to the contrary, the City shall retain the right to condition any subsequent Development Approvals to require Developer to pay any required development fees, and/or to construct the required public infrastructure ("Exactions") at such time as City shall determine subject to the following conditions. 3.10.1 The payment or construction must be to alleviate an impact caused by the Project or be of benefit to the Project; and 3.10.2 The timing of the Exaction should be reasonably related to the development of the Project and said public improvements shall be phased to be commensurate with the logical progression of the Project development as well as the reasonable needs of the public. 3.10.3 It being understood, however, that if the there is a material increase in cost to Developer or such action by City otherwise materially impacts developer's its performance hereunder, Developer may terminate this Agreement upon ninety (90) days prior written notice 3.11 Fees, Taxes and Assessments. During the Term of this Agreement, the City shall not, without the prior written consent of Developer, impose any additional fees, taxes or assessments on all or any portion of the Project, except such fees, taxes and assessments as are described in or required by this Development Agreement and/or the Development Approvals. However, this Development Agreement shall not prohibit the application of fees, taxes or assessments upon the 405 FWY-Alameda Site only and not the New Digital Billboard or Developer directly as follows: 12 Development Agreement — Ordinance No. 12-1499 01007/0005/107783.11 3.11.1 Developer shall be obligated to pay those fees, taxes or City assessments and any increases in same which exist as the Effective Date or are included in the Development Approvals; 3.11.2 Developer shall be obligated to pay any fees or taxes, and increases thereof, imposed on a City-wide basis such as, but not limited to, business license fees or taxes or utility taxes; 3.11.3 Developer shall be obligated to pay all fees applicable to a permit application as charged by City at the time such application is filed by Developer; 3.11.4 Developer shall be obligated to pay any fees imposed pursuant to any Uniform Code that existed when the application is filed by the Developer or that exists when the Developer applies for any Subsequent Development Approval. 3.12 Notwithstanding anything to the contrary herein, if there is a change is such fees to those charges as of the full execution hereof or any additional fees are charged and such additional or increased fees materially change Developer's costs or otherwise materially impacts its performance hereunder, Developer may terminate this Agreement upon ninety (90) days prior written notice. 4. REMOVAL OF BILLBOARDS 4.1 Removal by Developer. CBS Outdoor has the right to negotiate an extension of the Term as an amendment to this Agreement. If the extension of the Term is not granted by the City the digital displays on the New Digital Billboard will be removed and both displays may be converted back to static displays. 4.2 City's Right to Removal. Provided Developer is not in material breach hereof past any applicable notice and cure period, City will not have the right to remove the New Digital Billboard. Should such a breach occur, City may only require removal of the New Digital Billboard. Should such a breach occur, City may require Developer to remove the digital display upon the New Digital Billboard and, at Developer's discretion, may either remove the structure of the New Digital Billboard or convert the display to static displays, previously existing upon the 405 FWY Billboard within ninety (90) days of City's notice to Developer of such breach. 5. REVIEW FOR COMPLIANCE. 5.1 Annual Review. The City Council shall review this Agreement annually at city's sole cost, on or before the anniversary of the Term, to ascertain the good faith compliance by Developer with the terms of the Agreement ("Annual Review"). However, no failure on the part of City to conduct or complete an Annual Review as provided herein shall have any impact on the validity of this Agreement. Developer shall cooperate with the City in the conduct of such any Annual Review and provide the following information and documentation to the City at least thirty (30) days before the anniversary of the Term: (1) description of all complaints from Caltrans or the City regarding the New Digital Billboard, (2) description of all complaints from the public regarding the display unrelated to any content of the message displayed, (3) any updates to Developer's contact information related to complaints concerning the billboards, as 13 Development Agreement — Ordinance No. 12-1499 01007/0005/107783.11 required in the conditions at Exhibit E, Section 6 herein, (4) status and amount of all payment obligations to the City required under this Agreement for the year in question and cumulatively beginning from the Commencement of the Project herein, (5) any easement or lease changes that could in any way materially impact the City or the obligations under this Agreement, (6) any utility changes that could in any way materially impact the City or the obligations under this Agreement, (7) any maintenance issues addressed or needing to be addressed per the requirements of Exhibit E, and (8) whether any City messages per Section 2.7.1 have been displayed during the preceding year of the Term and a description of the duration of such displays. 5.2 Special Review. The City Council may, in its sole and absolute discretion, order a special review of compliance with this Agreement at any time at City's sole cost ("Special Review"). Developer shall cooperate with the City in the conduct of such any Special Review. 5.3 City Rights of Access. Subject to the City's execution of a permit to enter in form reasonably acceptable to Owner, the City, its officers, employees, agents and contractors, shall have the right, at their sole risk and expense, to enter the 405 FWY-Alameda Site, without interfering with any railroad right-of-way, and 110 FWY Site at all reasonable times with as little interference as possible for the purpose of conducting the review under this Section 5, inspection, construction, reconstruction, relocation, maintenance, repair or service of any public improvements or public facilities located on the Sites, or to perform any rights of the City under Section 4.2 above. Any damage or injury to the Sites or to the improvements constructed thereon resulting from such entry shall be promptly repaired at the sole expense of the City. Notwithstanding the foregoing, or any other provision in this Agreement (including without limitation Section 4.2 above), the City shall have no right whatsoever to enter the Site unless and until the City executes and delivers to Owner a permit to enter in form reasonably acceptable to Owner (except that this provision is not intended to interfere with the City's police powers to address any nuisance, dangerous condition, or other condition pursuant to the City's ordinances). Notwithstanding anything to the contrary herein, in no event will City representatives ever climb up the pole of the sign during any inspection. 5.4 Procedure. Each party shall have a reasonable opportunity to assert matters which it believes have not been undertaken in accordance with the Agreement, to explain the basis for such assertion, and to receive from the other party a justification of its position on such matters. If, on the basis of the parties' review of any terms of the Agreement, either party concludes that the other party has not complied in good faith with the terms of the Agreement, then such party may issue a written "Notice of Non -Compliance" specifying the grounds therefore and all facts demonstrating such non-compliance. The party receiving a Notice of Non -Compliance shall have thirty (30) days to cure or remedy the non-compliance identified in the Notice of Non -Compliance, or if such cure or remedy is not reasonably capable of being cured or remedied within such thirty (30) days period, to commence to cure or remedy the non- compliance and to diligently and in good faith prosecute such cure or remedy to completion. If the party receiving the Notice of Non -Compliance does not believe it is out of compliance and contests the Notice, it shall do so by responding in writing to said Notice within thirty (30) days after receipt of the Notice. If the response to the Notice of Non -Compliance has not been received in the offices of the party alleging the non-compliance within the prescribed time period, the Notice of Non -Compliance shall be conclusively presumed to be valid. If a Notice of 14 Development Agreement — Ordinance No. 12-1499 01007/0005/107783.11 Non -Compliance is contested, the parties shall, for a period of not less than fifteen (15) days following receipt of the response, seek to arrive at a mutually acceptable resolution of the matter(s) occasioning the Notice. In the event that a cure or remedy is not timely effected or, if the Notice is contested and the parties are not able to arrive at a mutually acceptable resolution of the matter(s) by the end of the fifteen (15) day period, the party alleging the non-compliance may thereupon pursue the remedies provided in Section 6. Neither party hereto shall be deemed in breach if the reason for non-compliance is due to a "force majeure" as defined in, and subject to the provisions of, Section 9.10. 5.5 Certificate of Agreement Compliance. If, at the conclusion of an Annual Review or a Special Review, Developer is found to be in compliance with this Agreement, City shall, upon request by Developer, issue a Certificate of Agreement Compliance ("Certificate") to Developer stating that, after the most recent Annual Review or Special Review, and based upon the information known or made known to the City Manager and City Council, that (1) this Agreement remains in effect and (2) Developer is in compliance. The Certificate, whether issued after an Annual Review or Special Review, shall be in recordable form and shall contain information necessary to communicate constructive record notice of the finding of compliance. Developer may record the Certificate with the County Recorder. Additionally, Developer may, at any time, request from the City a Certificate stating, in addition to the foregoing, which obligations under this Agreement have been fully satisfied with respect to the Sites. 6. DEFAULT AND REMEDIES. 6.1 Termination of Agreement. 6.1.1 Termination of Agreement for Material Default of Developer. City, in its discretion, may terminate this Agreement for any material failure of Developer to perform any material duty or obligation of Developer hereunder or to comply in good faith with the terms of this Agreement (hereinafter referred to as "default" or "breach"); provided, however, City may terminate this Agreement pursuant to this Section only after following the procedure set forth in Section 5.4. In the event of a termination by City under this Section 6.1.1, Developer acknowledges and agrees that City may retain all fees accrued up to the date of the termination, including the Processing Fee and the Development Fee or Alternative Fee, as applicable, paid up to the date of termination, and Developer shall pay the prorated amount of the Development Fee or Alternative Fee, as applicable within sixty (60) days after the date of termination and removal of the New Digital Billboard that equates to the percentage of time elapsed in the year of the Term at the time of termination. 6.1.2 Termination of Agreement for Material Default of City. Developer, in its discretion, may terminate this Agreement for any material failure of City to perform any material duty or obligation of City hereunder or to comply in good faith with the term of this Agreement; provided, however, Developer may terminate this Agreement pursuant to this Section only after following the procedure set forth in Section 5.4. In addition, Developer may terminate this Agreement if, despite Developer's good faith efforts, it is unable to secure the necessary permits and/or compliance with requirements under laws necessary to effectuate the Project. In the event of a termination by Developer under this 15 Development Agreement — Ordinance No. 12-1499 01007/0005/107783.11 Section 6.1.2, Developer acknowledges and agrees that City may retain all fees, including the Processing Fee and the Development Fee or Alternative Fee, as applicable, paid up to the date of termination, and Developer shall pay the prorated amount of the Development Fee or Alternative Fee, as applicable within sixty (60) days after the date of termination and removal of the New Digital Billboard that equates to the percentage of time elapsed in the year of the Term at the time of termination. 6.1.3 Rights and Duties Following Termination. Upon the termination of this Agreement, no party shall have any further right or obligation hereunder except with respect to (i) any obligations to have been performed prior to said termination, (ii) any default in the performance of the provisions of this Agreement which has occurred prior to said termination, (iii) Developer's obligation to remove the New Digital Billboard pursuant to Section 4.1 or (iv) any continuing obligations to indemnify other parties. 7. INSURANCE, INDEMNIFICATION AND WAIVERS. 7.1 Insurance. 7.1.1 Types of Insurance. (a) Liability Insurance. Beginning on the Effective Date hereof and until completion of the Term, Developer shall, at its sole cost and expense, keep or cause to be kept in force for the mutual benefit of City, as additional insured, and Developer comprehensive broad form general liability insurance against claims and liabilities covered by the indemnification provisions of section 7.2. Developer has agreed to indemnify City hereunder to the extent of the liability insurance coverage with respect to its use, occupancy, disuse or condition of the Site, improvements or adjoining areas or ways, affected by such use of the Site or for property damage, providing protection of a least One Million Dollars ($1,000,000) for bodily injury or death to any one person, at least Two Million Dollars ($2,000,000) for any one accident or occurrence, and at least One Million Dollars ($1,000,000) for property damage. Developer shall also furnish or cause to be furnished to City evidence that any contractors with whom Developer has contracted for the performance of any work for which Developer is responsible maintains the same coverage required of Developer. (b) Worker's Compensation. Developer shall also furnish or cause to be furnished to City evidence that any contractor with whom Developer has contracted for the performance of any work for which Developer is responsible hereunder carries worker's compensation insurance as required by law. (c) Insurance Policy Form, Sufficiency, Content and Insurer. All insurance required by express provisions hereof shall be carried only by responsible insurance companies qualified to do business by California with an AM Best Rating of no less than "A". All such policies shall be non -assignable and shall contain language, to the extent obtainable, to the effect that (i) the insurer waives the right of subrogation against City and against City's agents and Y.. 16 Development Agreement — Ordinance No. I2-1499 01007/0005/107783.11 t' representatives except as provided in this Section; (ii) the policies are primary and noncontributing with any insurance that may be carried by City, but only with respect to the liabilities assumed by Developer under this agreement; and (iii) the policies cannot be canceled or materially changed except after written notice by the insurer to City or City's designated representative as expeditiously as insurance company agrees to provide notice. Developer shall furnish City with certificates evidencing the insurance City shall be named as an additional insured on all liability policies of insurance required to be procured by the terms of this Agreement. 7.1.2 Failure to Maintain Insurance and Proof of Compliance. Developer shall deliver to City, in the manner required for notices, copies of certificates of all insurance policies required of each policy within the following time limits: (1) For insurance required above, within seven (7) days after the Effective Date or consistent with the requirements of Exhibit "D" (Schedule of Performance), Item No. 8. (2) The City can request to see updated . copies of the current certificates of all insurance policies required. The City reserves the right to obtain copies of the entire insurance policy, including endorsements. If Developer fails or refuses to procure or maintain insurance as required hereby or fails or refuses to furnish City with required proof that the insurance has been procured and is in force and paid for, after complying with the requirements of Section 5.4, the City may view such failure or refusal shall be a default hereunder. 7.2 Indemnification. 7.2.1 General. Developer shall indemnify the City and Owner, and their respective officers, employees, and agents against, and will hold and save them and each of them harmless from, any and all actions, suits, claims, damages to persons or property, losses, costs, penalties, obligations, errors, omissions, or liabilities (herein "claims or liabilities") that may be asserted or claimed by any person, firm, or entity arising out of or in connection with the work, operations, or activities of Developer, its agents, employees, subcontractors, or invitees, hereunder, upon the Site: (a) Developer will defend any action or actions filed in connection with any of said claims or liabilities covered by the indemnification provisions herein and will pay all costs and expenses, including legal costs and attorneys' fees incurred in connection therewith, which attorneys will be the attorneys hired by the insurance company where insurance coverage applies. (b) Developer will promptly pay any judgment rendered against the City or Owner or their respective officers, agents, or employees for any such claims or liabilities arising out of or in connection with such work, operations, or activities of the Developer hereunder, and Developer agrees to save and hold the 17 Development Agreement — Ordinance No. 12-1499 01007/0005/107783.11 ��'S1 City and Owner and their respective officers, agents, and employees harmless therefrom. 7.2.2 Exceptions. The foregoing indemnity shall not include claims or liabilities arising from the sole negligence or willful misconduct of the City, its officers, agents, or employees, who are directly responsible for the City. 7.2.3 Additional Coverage. Without limiting the generality of the foregoing, Developer's indemnity obligation shall include any liability arising by reason of: (1) Any accident or other occurrence in or on the Site causing injury to any person or property whatsoever caused by Developer; (2) Any failure of Developer to comply with performance of all of the provisions of this Agreement; (3) Any harm, delays, injuries or other damages incurred by any party as a result of any subsurface conditions on the site caused solely by Developer, including but not limited to, the presence of buried debris, hazardous materials, hydrocarbons, or any form of soil contamination. (a) Loss and Damage. Except as set forth below, City shall not be liable for any damage to property of Developer, Owner or of others located on the Site, nor for the loss of or damage to any property of Developer, Owner or others by theft or otherwise. Except as set forth below, City shall not be liable for any injury or damage to persons or property resulting from fire, explosion, steam, gas, electricity, water, rain, dampness or leaks from any part of the Site or from the pipes or plumbing, or from the street, or from any environmental or soil contamination or hazard, or from any other latent or patent defect in the soil, subsurface or physical condition of the Site, or by any other cause of whatsoever nature. The foregoing two (2) sentences shall not apply (i) to the extent City or its agents, employees, subcontractors, invitees or representatives causes such injury or damage when accessing the Site, or (ii) to the extent covered in any permit to enter executed by the City. (b) Period of Indemnification. The obligations for indemnity under this Section 7.2 shall begin upon the Effective Date and shall survive termination of Development Agreement. 7.3 Waiver of Subrogation. Developer agrees that it shall not make any claim against, or seek to recover from City or its agents, servants, or employees, for any loss or damage to Developer or to any person or property relating to this Project, except as specifically provided hereunder which include but is not limited to, a claim or liability arising from the sole negligence or willful misconduct of the City, its officers, agents, or employees, who are directly responsible for the City. 8. MORTGAGEE PROTECTION. 18 Development Agreement — Ordinance No. 12-1499 01007/0005/107783.11 The parties hereto agree that this Agreement shall not prevent or limit Developer, in any manner, at Developer's sole discretion, from encumbering the Site or any portion thereof or any improvement thereon by any mortgage, deed of trust or other security device securing financing with respect to the Site. City acknowledges that the lenders providing such financing may require certain Agreement interpretations and modifications and City agrees upon request, from time to time, to meet with Developer or Owner and representatives of such lenders to negotiate in good faith any such request for interpretation or modification. Subject to compliance with applicable laws, City will not unreasonably withhold its consent to any such requested interpretation or modification provided City determines such interpretation or modification is consistent with the intent and purposes of this Agreement. Any Mortgagee of the Site shall be entitled to the following rights and privileges: (a) Neither entering into this Agreement nor a breach of this Agreement shall defeat, render invalid, diminish or impair the lien of any mortgage on the Development or Site made in good faith and for value, unless otherwise required by law. (b) The Mortgagee of any mortgage or deed of trust encumbering the Development or Site, or any part thereof, which Mortgagee has submitted a request in writing to the City in the manner specified herein for giving notices, shall be entitled to receive written notification from City of any default by Developer in the performance of Developer's obligations under this Agreement. (c) If City timely receives a request from a Mortgagee requesting a copy of any notice of default given to Developer under the terms of this Agreement, City shall make a good faith effort to provide a copy of that notice to the Mortgagee within ten (10) days of sending the notice of default to Developer. The Mortgagee shall have the right, but not the obligation, to cure the default during the period that is the longer of (i) the remaining cure period allowed such party under this Agreement, or (ii) sixty (60) days. (d) Any Mortgagee who comes into possession of the Development or Site, or any part thereof, pursuant to foreclosure of the mortgage or deed of trust, or deed in lieu of such foreclosure, shall take the Development or Site, or part thereof, subject to the terms of this Agreement. Notwithstanding any other provision of this Agreement to the contrary, no Mortgagee shall have an obligation or duty under this Agreement to perform any of Developer's obligations or other affirmative covenants of Developer hereunder, or to guarantee such performance; except that (i) to the extent that any covenant to be performed by Developer is a condition precedent to the performance of a covenant by City, the performance thereof shall continue to be a condition precedent to City's performance hereunder, and (ii) in the event any Mortgagee seeks to develop or use any portion of the Development or Site acquired by such Mortgagee by foreclosure, deed of trust, or deed in lieu of foreclosure, such Mortgagee shall strictly comply with all of the terms, conditions and requirements of this Agreement and the Development Approvals applicable to the Development or Site or such part thereof so acquired by the Mortgagee. IVE Development Agreement — Ordinance No. 12-1499 01007/0005/107783.11 9. MISCELLANEOUS PROVISIONS. 9.1 Recordation of Agreement. This Agreement shall be recorded with the County Recorder by the City Clerk within 10 days of execution, as required by Government Code Section 65868.5. Amendments approved by the parties, and any cancellation, shall be similarly recorded. 9.2 Entire Agreement. This Agreement sets forth and contains the entire understanding and agreement of the parties with respect to the subject matter set forth herein, and there are no oral or written representations, understandings or ancillary covenants, undertakings or agreements which are not contained or expressly referred to herein. No testimony or evidence of any such representations, understandings or covenants shall be admissible in any proceeding of any kind or nature to interpret or determine the terms or conditions of this Agreement. 9.3 Severability. If any term, provision, covenant or condition of this Agreement shall be determined invalid, void or unenforceable, then that term, provision, covenant or condition of this Agreement shall be stricken and the remaining portion of this Agreement shall remain valid and enforceable if that stricken term, provision, covenant or condition is not material to the main purpose of this agreement, which is to allow the Development to be permitted and operated and to provide the Development Fee to the City; otherwise, this Agreement shall terminate in its entirety, unless the parties otherwise agree in writing, which agreement shall not be unreasonably withheld. 9.4 Interpretation and Governing Law. This Agreement and any dispute arising hereunder shall be governed and interpreted in accordance with the laws of the State of California. This Agreement shall be construed as a whole according to its fair language and common meaning, to achieve the objectives and purposes of the parties hereto. The rule of construction, to the effect that ambiguities are to be resolved against the drafting party or in favor of the non -drafting party, shall not be employed in interpreting this Agreement, all parties having been represented by counsel in the negotiation and preparation hereof. 9.5 Section Headings. All section headings and subheadings are inserted for convenience only and shall not affect any construction or interpretation of this Agreement. 9.6 Singular and Plural. As used herein, the singular of any word includes the plural. 9.7 Time of Essence. Time is of the essence in the performance of the provisions of this Agreement as to which time is an element. 9.8 Waiver. Failure of a party to insist upon the strict performance of any of the provisions of this Agreement by the other party, or the failure by a party to exercise its rights upon the default of the other party, shall not constitute a waiver of such party's right to insist and demand strict compliance by the other party with the terms of this Agreement thereafter. 9.9 No Third Party Beneficiaries. This Agreement is made and entered into for the sole protection and benefit for the parties and their owner, successors and assigns. No other person shall have any right of action based upon any provision of this Agreement. 20 Development Agreement — Ordinance No. 12-1499 01007/0005/107783.11 9.10 Force Majeure. Notwithstanding the contrary herein, neither party shall be deemed to be in default where failure or delay in performance of any of its obligations under this Agreement is caused by earthquakes, other acts of God, fires, rains, winds, wars, terrorism, riots or similar hostilities, strikes and other labor difficulties beyond the party's control (including the party's employment force), government actions and regulations (other than those of the City), court actions (such as restraining orders or injunctions), or other causes beyond the party's reasonable control. If any such events shall occur, the term of this Agreement and the time for performance shall be extended for the duration of each such event, provided that the term of this Agreement shall not be extended under any circumstances for more than five (5) years and further provided that if such delay is longer than six (6) months, Developer may terminate this Agreement upon written notice to City and City shall return to developer any portion of the Development fee paid for any period after the effective date of such termination.. 9.11 Mutual Covenants. The covenants contained herein are mutual covenants and also constitute conditions to the concurrent or subsequent performance by the party benefited thereby of the covenants to be performed hereunder by such benefited party. 9.12 Counterparts. This Agreement may be executed by the parties in counterparts, which counterparts shall be construed together and have the same effect as if all of the parties had executed the same instrument. 9.13 Litigation. Any action at law or in equity arising under this Agreement or brought by any party hereto for the purpose of enforcing, construing or determining the validity of any provision of this Agreement shall be filed and tried in the Superior Court of the County of Los Angeles, State of California, or such other appropriate court in said county. Service of process on City shall be made in accordance with California law. Service of process on Developer shall be made in any manner permitted by California law and shall be effective whether served inside or outside California. In the event of any action between City and Developer seeking enforcement of any of the terms and conditions to this Agreement, the prevailing party in such action shall be awarded, in addition to such relief to which such party is entitled under this Agreement, its reasonable litigation costs and expenses, including without limitation its expert witness fees and reasonable attorneys' fees. 9.14 Covenant Not To Sue. The parties to this Agreement, and each of them, agree that this Agreement and each term hereof is legal, valid, binding, and enforceable. The parties to this Agreement, and each of them, hereby covenant and agree that each of them will not commence, maintain, or prosecute any claim, demand, cause of action, suit, or other proceeding against any other party to this Agreement, in law or in equity, which is based on an allegation, or assert in any such action, that this Agreement or any term hereof is void, invalid, or unenforceable. 9.15 Project as a Private Undertaking. It is specifically understood and agreed by and between the parties hereto that the Development of the Project is a private Development, that neither party is acting as the agent of the other in any respect hereunder, and that each party is an independent contracting entity with respect to the terms, covenants and conditions contained in this Agreement. No partnership, joint venture or other association of any kind is formed by this Agreement. The only relationship between City and Developer is that of a government entity 21 Development Agreement — Ordinance No. 12-1499 01007/0005/107783.11 V S�•'4 regulating the Development of private property, on the one hand, and the holder of a legal or equitable interest in such property on the other hand. City agrees that by its approval of, and entering into, this Agreement, that it is not taking any action which would transform this private Development into a "public work" project, and that nothing herein shall be interpreted to convey upon Developer any benefit which would transform Developer's private project into a public work project, it being understood that this Agreement is entered into by City and Developer upon the exchange of consideration described in this Agreement, including the Recitals to this Agreement which are incorporated into this Agreement and made a part hereof, and that City is receiving by and through this Agreement the full measure of benefit in exchange for the burdens placed on Developer by this Agreement. 9.16 Further Actions and Instruments. Each of the parties shall cooperate with and provide reasonable assistance to the other to the extent contemplated hereunder in the performance of all obligations under this Agreement and the satisfaction of the conditions of this Agreement. Upon the request of either party at any time, the other party shall promptly execute, with acknowledgment or affidavit if reasonably required, and file or record such required instruments and writings and take any actions as may be reasonably necessary under the terms of this Agreement to carry out the intent and to fulfill the provisions of this Agreement or to evidence or consummate the transactions contemplated by this Agreement. 9.17 Eminent Domain. No provision of this Agreement shall be construed to limit or restrict the exercise by City of its power of eminent domain or Developer's right to seek and collect just compensation or any other remedy available to it. 9.18 Amendments in Writing/Cooperation. This Agreement may be amended only by written consent of both parties specifically approving the amendment and in accordance with the Government Code provisions for the amendment of Development Agreements. The parties shall cooperate in good faith with respect to any amendment proposed in order to clarify the intent and application of this Agreement, and shall treat any such proposal on its own merits, and not as a basis for the introduction of unrelated matters. Minor, non -material modifications may be approved by the City Manager upon approval by the City Attorney. 9.19 Corporate Authority. The person(s) executing this Agreement on behalf of each of the parties hereto represent and warrant that (i) such party, if not an individual, is duly organized and existing, (ii) they are duly authorized to execute and deliver this Agreement on behalf of said party, (iii) by so executing this Agreement such party is formally bound to the provisions of this Agreement, and (iv) the entering into this Agreement does not violate any provision of any other agreement to which such party is bound. 9.20 Notices. All notices under this Agreement shall be effective when delivered by United States Postal Service mail, registered or certified, postage prepaid return receipt requested; and addressed to the respective parties as set forth below or as to such other address as the parties may from time to time designate in writing by providing notice to the other party: To City: City of Carson 701 E. Carson Street Carson, CA 90745 22 Development Agreement — Ordinance No. 12-1499 01007/0005/107783.11 t3 Attn: City Manager With Copy to: Aleshire & Wynder, LLP 18881 Von Karman Ave., #1700 Irvine, CA 92612 Attn: William Wynder, Esq. To Developer: CBS Outdoor, Inc. Real Estate Manager 1731 Workman St Los Angeles, CA 90031 With Copy To CBS Outdoor, Inc NY Counsel — David Posy 405 Lexington Avenue New York, NY 10174 9.21 Nonliability of City Officials. No officer, official, member, employee, agent, or representatives of City shall be liable for any amounts due hereunder, and no judgment or execution thereon entered in any action hereon shall be personally enforced against any such officer, official, member, employee, agent, or representative. 9.22 No Brokers. City and Developer represent and warrant to the other that neither has employed any broker and/or finder to represent its interest in this transaction. Each party agrees to indemnify and hold the other free and harmless from and against any and all liability, loss, cost, or expense (including court costs and reasonable attorneys' fees) in any manner connected with a claim asserted by any individual or entity for any commission or finder's fee in connection with this Agreement or arising out of agreements by the indemnifying party to pay any commission or finder's fee. 9.23 No Amendment of Lease. Nothing contained in this Agreement shall be deemed to amend or modify any of the terms or provisions of the Lease. Nothing contained in this Agreement shall constitute or be deemed to constitute a limit on any of Developer's obligations under the Lease, or any of Owner's rights or remedies against Developer under the Lease. IN WITNESS WHEREOF, the parties hereto have executed this Agreement on the day and year first set forth above. ATTEST: 23 Development Agreement — Ordinance No. 12-1499 01007/0005/107783.11 City: CITY OF CARSON Mayor Jim Dear By City Clerk APPROVED AS TO FORM: By City Attorney Developer: CBS OUTDOOR Inc., a Delaware corporation [end of signatures] 24 Development Agreement — Ordinance No. 12-1499 01007/0005/107783.11 STATE OF CALIFORNIA ) ) ss COUNTY OF LOS ANGELES ) On , 2012, before me, personally appeared personally known to me (or proved to me on the basis of satisfactory evidence) to be the person whose name is subscribed to the within instrument and acknowledged to me that she executed the same in her authorized capacity, and that by her signature on the instrument the person or the entity upon behalf of which the person acted, executed the instrument. Witness my hand and official seal. Notary Public [SEAL] STATE OF CALIFORNIA ) ss COUNTY OF LOS ANGELES ) On , 2012, before me, personally appeared personally known to me (or proved to me on the basis of satisfactory evidence) to be the person whose name is subscribed to the within instrument and acknowledged to me that he/she executed the same in his/her authorized capacity, and that by his/her signature on the instrument the person or the entity upon behalf of which the person acted, executed the instrument. Witness my hand and official seal. Notary Public [SEAL] 25 Development Agreement — Ordinance No. 12-1499 01007/0005/107783.11 EXHIBIT "A" LEGAL DESCRIPTION OF SITES 405 FWY-Alameda Site: Dominguez Colony for Description See Assessor Maps Portion of Lot 6 Block C LOS ANGLES COUNTY, CA 7316-024-824 Development Agreement — Ordinance No. 12-1499 A-1 01007/0005/107783.11 110 FWY Site: TR=3612 LOT COM N 89 48'40" W 25 FT FROM SE COR OF LOT 48 TH N 89 48'40" W TO E LINE OF HARBOR FRWY TH N 0 47'45" E 25.68 FT TH N 5 50'20" W TO A PT N 0 08'10" W 165 FT AND N 89 48'40" W FROM POR OF LOT 48 LOS ANGLES COUNTY, CA Development Agreement — Ordinance No. 12-1499 A-2 01007/0005/107783.11 ta. City -Oriented Billboard Site: PM 142-28 W 240FT EX OF ST OF LOT 1 LOS ANGLES COUNTY, CA Development Agreement — Ordinance No. 12-1499 A-3 01007/0005/107783.11 EXHIBIT A-1 [insert depiction of Sites] 405 FWY-Alameda Site: [See following page] Development Agreement — Ordinance No. 12-1499 A-4 01007/0005/107783.11 > wszzjzzzlzne ouu w vm wz Y3'O1N3WWOV5 m { N IWU-[NjRIIiI 14 feVo mi pt wMnWwd a.+ -z OL908H3'NOMMlMEZZ CCIZ R 0 M inurrotta anzrozaxa . auuM a-ruu aavoeilis Sao $ RRR N w $ ' 1 avi ' ivaNt9Na sr to EL .29 ty:, kle, LLL lip w LL z W L) LLI lip w LL z W 110 FWY Site: [See following page] Development Agreement - Ordinance No. 12-1499 A-5 0100710005/107753.11 3AV 311O0IN s 0011 77 Q L LL. 11 1 r 3AV 31V0108= t� ! d• I I V O I I I 'CARSON --- ST 1 Tom N 1011 5477 1 I I - Is ®jig is 261 S 1 I 100 DT1 I e+ N eioort ±20 — t1 O C — — — I o � 82.26 120 N 80•48'401V 202. W (.+ W I Al —+ ---`N----- W � 84.22 1 86.,7 20/.87 x C -TR N0; 20 ; 45039 0.76 2e 1 rvr 1 _ 0Rv✓r 2 BC w SHEET 2 0 1 MB 1125-58-60 OOr I 19398 N 1 I ; -29•+3TH- — +7s90 ST I� 2 ' T1 IRA- -J, i �'O Q &1_0.1y T80.-46 120__ i - ---7- CIP+ bo 3�i o S _ 261 87.40 g J 1 N 89V8'ID q y ppl, NOV soW 17-"ACH I 220TH 1 " ZE 1 1 gU. SIR H � s r n0 02 1: OZm poo =ym1 0 y 5yy5�� rn �O mp City of Vernon - Inventory Page 1 of 1 Property Detail Report it CoreLogic For Property Located At RealOuest Professional 21833 1/2 FIGUEROA ST, CARSON, CA 90745-1912 Owner Information: Bldg Card: 000 of 005 Owner Name: SHIBATA CORA HISHIBATA FAMILY Mailing Address: 98-716 NOHOAUPUNI PL, AIEA HI 96701-2781 CO26 Phone Number: Vesting Codes: I A / TR Location Information: Legal Description: TR=3612 LOT COM N 89 48'40" W 25 FT FROM SE COR OF LOT 48 TH N 89 48'40" W TO E LINE OF HARBOR FRWY TH N 0 47'45" E 25.68 FT TH N 5 50'20" W TO A PT N 0 0810" W 165 FT AND N 89 48'40" W FROM POR OF LOT 48 County: LOS ANGELES, CA APN: 7343-020-074 Census Tract/ Block: 5436.0111 Alternate APN: Township -Range -Sect Legal Book/Page: 40.5 Map Reference: Legal Lot: 48 3612 Legal Block: LOS ANGELES Municffownship: Market Area: Water Type: Neighbor Code: Sewer Type: Owner Transfer Information: Property Tax: Recording/Sale Date: 08/29/2008 10812212008 Tax Area: Sale Price: 2011 Tax Exemption: Document #: 1561971 Last Market Sale Information: Recording/Sale Date: 06/30/1995 / Sale Price: Sale Type: Document #: 1052663 Deed Type: GRANT DEED Transfer Document #: New Construction: Title Company: Lender: Seller Name: ISHIOKA TOM T;MASAKO TRI Prior Sale Information: Prior Rec/Sale Date: I Prior Sale Price: Prior Doc Number, Prior Deed Type: Property Characteristics: Gross Area: 9,240 Parking Type: Living Area: 9,240 Garage Area: Tot Adj Area: Garage Capacity: Above Grade: Parking Spaces: Total Rooms: Basement Area: Bedrooms: 24 Finish Bsmnt Area Bath(F/H): 12/ Basement Type: Year Built / Eff: 19571 Roof Type: Fireplace: I Foundation: # of Stories: Roof Material: Other Improvements: Site Information: Zoning: CARM25U&D' Acres: Lot Area: 30,981 Lot Width/Depth: Land Use: APARTMENT Res/Comm Units: Site Influence: Tax Information: Total Value: $374,350 Assessed Year: Land Value: $121,782 Improved %: Improvement Value: $252,568 Tax Year: Total Taxable Va!ue: $374,350 Subdivision: 3612 Map Reference: 69 -A41764 -B6 Tract M 3612 School District: LOS ANGELES Municffownship: 12/ Deed Type: GIFT DEED 1st Mtg Document #: 1st Mtg Amount/Type: 1st Mtg Int. Rate/Type: 1st Mtg Document#: 2nd Mtg Amount/Type: 2nd Mtg Int. Rate/Type: Price Per SgFt: Multi/Split Sale: Prior Lender: Prior 1st Mtg Amt/Type: Prior 1st Mtg Rate/Type: Construction: Heat Type: HEATED Exterior wall: Porch Type: Patio Type: Pool: Air Cond: YES Style: Quality: Condition: 0.71 County Use: APARTMENT (0600) x State Use: 12/ Water Type: Sewer Type: 2012 Property Tax: $7,061.08 67% Tax Area: 13283 2011 Tax Exemption: http://pro.realquest.com/j sp/report.jsp?&client=&action=confirm&type=getreport&recordn... 9/14/2012 City -Oriented Billboard Site: [See following page] Development Agreement — Ordinance No. 12-1499 A_6 01007/0005/107783.11 6� k i a i A CAT< a= r% X w NEP rutE AVE rm . All # f; rr n at s H, _;i 3 .. - RAVENNAAVE v : 6 City of Vernon - Inventory Page 1 of I Site Information: Property Detail Report it CoreLogic Zoning: For Property LocatedAtRealQuest Acres: 1.70 Professional „ CA (>�'b%1.'l �cl.-1-16M Owner Information: (100V) Owner Name: 74,080 Lot Width/Depth: x Mailing Address: 701 E CARSON ST, CARSON CA 90745-2224 C006 C/O EXECUTIVE DIRECTOR COMMERCIAL ACREAGE Commercial Units: Phone Number: Vesting Codes: /! Location Information: Sewer Type: Building Class: Legal Description: PM 142.28 W 240 FT EX OF ST OF LOT 1 County: LOS ANGELES, CA APN: 7337-011-900 Census Tract / Block: 5438.02/1 Alternate APN: Assessed Year: 2012 Township -Range -Sect: Subdivision: Land Value: Legal Book/Page: Map Reference: I Legal Lot: 1 Tract #: Legal Block: School District: LOS ANGELES Market Area: Munic/fownship: Neighbor Code: Owner Transfer Information: Recording/Sale Date: / Deed Type: Sale Price: 1st Mtg Document#: Document #: Last Market Sale Information: Recording/Sale Date: / 1st Mtg Amount/Type: / Sale Price: 1st Mtg Int. Rate/Type: ! Sale Type: 1 st Mtg Document #: Document M 2nd Mtg Amountffype: I Deed Type: 2nd Mtg Int. Rate/Type: / Transfer Document #: Price Per SgFt: New Construction: Multi/Split Sale: Title Company: Lender: Seller Name: Prior Sale Information: Prior Rec/Sale Date: / Prior Lender: Prior Sale Price: Prior 1st Mtg Amt/Type: / Prior Doc Number: Prior 1st Mtg Rate/Type: / Prior Deed Type: Property Characteristics: Year Built / Eff: I Total Rooms/Offices: Garage Area: Gross Area: Total Restrooms: Garage Capacity: Building Area: Roof Type: Parking Spaces: Tot Adj Area: Roof Material: Heat Type: Above Grade: Construction: Air Cond: # of Stories: Foundation: Pool: Other Improvements: Exterior wall: Quality: Baseme,it Area: Condition: Site Information: http://pro.reaIquest,com/j sp/report. jsp?&client=&action=confirm&type=getreport&recordn... 9/14/2012 VACANT Zoning: CAMU&;;S" Acres: 1.70 County Use: COMMERCIAL (100V) Lot Area: 74,080 Lot Width/Depth: x State Use: Land Use: COMMERCIAL ACREAGE Commercial Units: Water Type: Site Influence: Sewer Type: Building Class: Tax Information: Total Value: $805,000 Assessed Year: 2012 Property Tax: Land Value: $805,000 Improved W Tax Area: 5477 Improvement Value: Tax Year: Tax Exemption: Total Taxable Value: $805,000 http://pro.reaIquest,com/j sp/report. jsp?&client=&action=confirm&type=getreport&recordn... 9/14/2012 110 8 n C13 cu 1 I� GRACE AVE �ti IIe.Bt a ,3 1M.as .0 ` O 4F ' s so 1D o T m �too C XT co m Z 1. 9 T' U' w r+o•nw 5 e5.oa Z N„7 p7ryry � 1 - z5 Da 7.11 6��G ID 75.73 m `J I -4I A Hj L� V $O tDffi �I QNo `05.G7 ONO bD A �_ B 3t0.DI too 330 co N Ni Ka W n t�$ j o� co f o N O N Z�Zn��I 00 N O} 310 oApZ I� nrwv�er7�pi'I �— f80��� t olarnw7w _ __ yN Z �G) N @ a 70 t30 IN r 310 OD ( ?AhI L J O t ya 15DIoDi to 7F i� 11 N N A 0 to S �p 00 In 1 1 AVALON__-__-__ 10 W co A w °�J BLVD s N A O _.. .......................... ......................................... — ........... ......-....... ..... ...._— ........ .. .. .. ...... . EXHIBIT B SCOPE OF DEVELOPMENT Developer and City agree that the Development shall be undertaken in accordance with the terms of the Agreement, which include the following: 1. The Project. Developer shall upgrade the existing static sign with the New Digital Billboard in accordance with the terms of this Agreement. The New Digital Billboard consists of one (1) 75' tall, "bulletin" size freeway -oriented billboards with a total of two (2) digital displays (each display measuring 14' x 48') within the 405 FWY-Alameda Site. As required by the City at the time of the final development of the site adjacent to the 405 FWY Alameda Site, Developer shall install underground all utilities necessary for the New Digital Billboard. Prior to such final development which may take several years following the execution of the Agreement, Developer may maintain above -ground utilities for the New Digital Billboard per the plans attached at Exhibit "F" hereto; provided that if development does not commence within three (3) years of the Effective Date of this Agreement, Developer shall install underground all utilities necessary for the New Digital Billboard within six (6) months from the date of any notice by the City requesting such underground installation. Such six (6) month period may be extended for such time as necessary to account for any Force Majeure event or delays by the City in processing the plans for the undergrounding of the utilities (provided Developer notifies City in writing within thirty (30) days of experiencing the delay). Developer and Clear Channel Outdoor shall collaborate with the design, plan check and installation and share the costs of the above -ground and underground utilities. 2. Building Fees. Developer shall pay all applicable City building fees, as described at Section 2.5 of this Agreement, at the time that a building permit is issued for the installation of the New Digital Billboard on the 405 FWY-Alameda Site. 3. Maintenance and Access. Developer, for itself and its successors and assigns, hereby covenants and agrees to be responsible for the following: (a) Maintenance and repair of the New Digital Billboard (where authorized pursuant to the 405 FWY-Alameda Site Lease) and the 110 FWY Billboard, including but not limited to, the displays installed thereon, and all related on-site improvements, easements, rights-of-way and, if applicable, at its sole cost and expense, including, without limitation, artwork (as it relates to the 110 FWY Site only), poles, lighting, signs and walls, in good repair, free of graffiti, rubbish, debris and other hazards to persons using the same, and in accordance with all applicable laws, rules, ordinances and regulations of all federal, State, and local bodies and agencies having jurisdiction over the Site unless those federal, State, and local bodies have an exception for a legal nonconforming use. Such maintenance and repair shall include, but not be limited to, the following: (i) sweeping and trash removal related to the Development; (ii) the care and repair or replacement of the artwork as to the 110 FWY Billboard if Development Agreement - Ordinance No. 12-1499 B-1 01007/0005/107783.11 damaged by the Development; (iii) the ongoing maintenance by the Developer of the access road to the New Digital Billboard to minimize dust caused by the Development; and (iii) the repair, replacement and repainting of the New Digital Billboard and 110 FWY Billboard structures and displays as necessary to maintain such billboards in good condition and repair. (b) Maintenance of the New Digital Billboard Site (where authorized pursuant to the 405 FWY-Alameda Site Lease) and 110 FWY Billboard Site in such a manner as to avoid the reasonable determination of a duly authorized official of the City that a public nuisance has been created by the absence of adequate maintenance of the Development such as to be detrimental to the public health, safety or general welfare or that such a condition of deterioration or disrepair causes appreciable harm or is materially detrimental to property or improvements within three hundred (300) feet of the 405 FWY-Alameda Site. (c) Developer shall coordinate with Clear Channel Outdoor Inc. or successor sharing utilities or access roads to its separate billboards. The City may designate alternative access for planning purposes so long as such alternative access allows Developer to access its billboard and related utilities. 4. Other Rights of City. In the event of any violation or threatened violation of any of the provisions of this Exhibit `B," then in addition to, but not in lieu of, any of the rights or remedies the City may have to enforce the provisions of this Agreement, the City shall have the right, after complying with Section 5.4 of this Agreement, (i) to enforce the provisions hereof by undertaking any maintenance or repairs required by Developer under Paragraph 3 above (subject to the execution of a permit to enter in form. reasonably acceptable to Owner) and charging Developer for any actual maintenance costs incurred in performing same, and (ii) to withhold or revoke, after giving written notice of said violation, any building permits, occupancy permits, certificates of occupancy, business licenses and similar matters or approvals pertaining to the 405 FWY-Alameda Site or any part thereof or interests therein as to the violating person or one threatening violation. 5. No City Liability. The granting of a right of enforcement to the City does not create a mandatory duty on the part of the City to enforce any provision of this Agreement. The failure of the City to enforce this Agreement shall not give rise to a cause of action on the part of any person. No officer or employee of the City shall be personally liable to the Developer, its successors, transferees or assigns, for any default or breach by the City under this Agreement. 6. Conditions of Approval. The following additional conditions shall apply to the installation of the New Digital Billboard and, where stated, and artwork backing on the 110 FWY Billboard, respectively, shall conform to all applicable provisions of the Carson Municipal Code (CMC) and the following conditions, in a manner subject to the approval of the Planning Officer or designee: (a) A building permit will be required, structural calculations shall be prepared by a licensed civil engineer and approved by the City Building Official. Development Agreement — Ordinance No. 12-1499 B-2 01007/0005/107783.11 (b) The Billboard shall be located in the portion of the 405 FWY- Alameda Site shown on Exhibit "C", and shall be of the dimensions described in Section 1, above. (c) The size of each sign display of New Digital Billboard shall not exceed a maximum area of 672 square feet with no more than 128 total feet of extensions or borders and shall not to exceed a maximum height of 75 feet, including all extensions, and shall be spaced at intervals that are no less than 500 feet from any other billboard on the same side of the freeway and measured parallel to the freeway as depicted in the Site Plan and Elevations at Exhibit "C" approved by the City as part of the Development Approvals. (d) The New Digital Billboard pole shall be of a gray color subject to the approval of the City's Development Services Manager or designee. (e) Plans and specifications for the proposed installation of the New Digital Billboard, including plans for the temporary overhead undergrounding or of all utilities, shall be submitted to the City Planning and Building Departments for plan check and approval prior to the issuance of building permits. (f) Prior to the approval of the final inspection, all applicable conditions of approval and all mandatory improvements shall be completed to the reasonable satisfaction of the City. (g) Developer shall maintain the 405 FWY-Alameda Site and use thereof in full compliance with all applicable codes, standards, policies and regulations imposed by the City, County, State or federal agencies by any dully and valid city, county or state ordinance with jurisdiction over the facilities, unless the Development is exempted as a legal nonconforming use. (h) Developer shall, at all time, comply with the approval for the New Digital Billboard from the California Department of Transportation Outdoor Advertising Division and shall maintain acceptable clearance between proposed billboards and Southern California Edison distribution lines. (i) The Developer shall pay any and all applicable fees due to any public agency prior to the final issuance of the building permits. 0) The activities proposed in this Agreement shall be conducted completely upon the 405 FWY-Alameda Site and 110 FWY Site and shall not use or encroach on any public right-of-way. (k) Developer shall ensure that all access to the New Digital Billboard and 110 FWY Billboard is kept restricted to the general public to the extent permitted under local laws and by the 405 FWY-Alameda Site Lease. (1) If any portion of the landscape or artwork installed adjacent to the New Digital Billboard or 110 FWY Billboard is damaged by the Development Development Agreement — Ordinance No. 12-1499 01007/0005/107783.11 �� and becomes damaged, or otherwise in need of replacement, as determined by the City's Planning Department Manager/Officer or designee, the Developer shall ensure that the replacement is accomplished within fourteen (14) days of notification by the City, unless such time is extended by the City's Planning Officer or designee if Developer shows unusual circumstances requiring more time to accomplish such replacement. Developer or Owner may trim such landscaping so as not to block the billboards. (m) Developer shall be required to install all temporary overhead or underground utilities in connection with the New Digital Billboard. To this end, City shall cooperate with the Southern California Edison requirement upon Developer to upgrade Developer's current electrical service to the New Digital Billboard requiring the installation of electrical conduit approximately 1300 feet. (n) Developer shall comply with all necessary NPDES requirements pertaining to the proposed use, to the extent applicable. (o) All graffiti shall be adequately and completely removed or painted over within 48 hours of notice of such graffiti being affixed on the Development. (p) Prior to final sign off of the building permit for the New Digital Billboard, all City -Oriented Billboards shall be completely removed. (q) Prior to final sign off of the building permit for the New Digital Billboard, the artwork backing shall be installed at the 110 FWY Billboard Site. (r) Developer shall comply with State law regarding the limitation of light or glare or such other standards as adopted by the Outdoor Advertising Association of America, Inc. (OAAA), including but not limited to, the 0.3 foot- candles limitation over ambient light levels and ensuring additional flexibility in reducing such maximum light level standard given the lighting environment, the obligation to have automatic diming capabilities, as well as providing the City's Planning Officer or designee with a designated Developer employee's phone number and/or email address for emergencies or complaints that will be monitored 24 hours a day/7 days per week. Upon any reasonable complaint by the City's Planning Officer or designee, Developer shall perform a brightness measurement of the display using OAAA standards and provide City with the results of same within 5 days of the City's complaint. Developer shall dim the display to the appropriate setting immediately upon the conclusion of any such measurement that concluding that the light standards were exceeded. Development Agreement — Ordinance No. 12-1499 B-4 01007/0005/107783.11 EXHIBIT C DEPICTION OF BILLBOARD SITES [See following page] Development Agreement — Ordinance No. 12-1499 C-1 01007/0005/107783.11 76t r�: 4 ui-uc-Ittclavi wu ro Vne ws w m m N c 0 0 cv uao-t•irtnn 1t1 tOVo mt 1ot WO1NMVEDVS ,- M w 0 a OI9WVO'NOBW3''mm CCbt � xmvrom Nuaoxa a auwn a -nu •, QW0ai1re ss0 $ N W a o avi '�Nix�arrw�Na -n^xa�l�a ra sr $ � � A � s w N c 0 0 cv w 0 a Q w 5 O a o ��\ o .Q Ln N Ln d Cif w J O Ch a w m Z w o d 3 Q S o a LLJ a 3 > 22380 � 0 wo v d 0 >w O W a - X J � w d Z Q m d C', J QCl-� Wpm( W J a c-') m 405 R� �Q P F RE�W 4 0 J m m o° Ofry aw C) mL o 1 M L z t m z O d O J 0 a ry z 0� U) ------ WT zi w 01 CD U) ------ WT zi w 01 EXHIBIT D SCHEDULE OF PERFORMANCE ITEM OF PERFORMANCE TIME FOR REFERENCE PERFORMANCE 1. Developer to provide copy of 405 At least 20 days before Planning 2.2 FWY-Alameda Site Lease Commission hearing 2. City's Planning Commission holds October 9, 2012 Recitals public hearing and recommends approval of Agreement and Conditions of Approval 3. City's City Council holds hearings November 6, 2012 (1St Recitals to approve Agreement and first and Reading); , 2012 (2nd second reading of Ordinance Reading) provided Developer has fully executed the Agreement 4. Effective Date of this Agreement. 30 days following Council's N/A second reading of Ordinance, or 2012. 5. Developer prepares and submits to Within 120 days of the 3.4 City working drawings Council's second reading of the specifications and engineering, City Ordinance approving this commences approval process. Agreement 6. Developer to provide copy of Prior to the City's issuance of 1.1.13 Caltrans approval to City all necessary permits per No. 7 below 7. Developer to complete the Within 60 days from securing 3.3 demolition and complete removal building permit, but no later of the City -Oriented Billboards than upon securing Final Permit; 8. Developer to submit to the Planning Concurrent with the timing to 3.2 Department the proposed artwork to No. 7 above be installed on the back of the 110 Freeway Billboard. 9. Developer to complete installation Within 30 days of the Planning 3.2 of artwork on the back of the 110 Department's approval of the D-1 Development Agreement — Ordinance No. 12-1499 0100710005/107783.11 ITEM OF PERFORMANCE TIME FOR REFERENCE PERFORMANCE Freeway Billboard. proposed artwork. 10. City to approve all construction, Within 30 days of City's receipt 3.3, 3.4 engineering drawings and of Applicant's construction specifications with a plan check drawings and specifications approval and issue all necessary addressing all of City's permits, including but not limited comments to, a building permit. 11. Developer to submit proof of Prior to commencing any 7.1.2 insurance to City inspections and work on the Project 12. Developer pays City first Within I year of Developer 2.6 installment of Development Fee if receiving Final Permits Developer receives Final Permits 13. Developer pays City second Beginning within 2 years of 2.6 through tenth twentieth installments Developer receiving Final of Development Fee if Developer Permits, and ending 10 years receives Final Permits thereafter (with another 10 year option). Each payment occurring at the end of each year of the Term. 14. Developer pays the Alternative Fee Within 90 days of the end of 2.7 if in excess of the Development each year of the Term Fee. It is understood that this Schedule of Performance is subject to all of the terms and conditions of the text of the Agreement. The summary of the items of performance in this Schedule of Performance is not intended to supersede or modify the more complete description in the text; in the event of any conflict or inconsistency between this Schedule of Performance and the text of the Agreement, the text shall govern. The time periods set forth in this Schedule of Performance may be altered or amended only by written agreement signed by both the Developer and the City. Notwithstanding any extension of the Term in the manner described in, and subject to the provisions of, Section 3.5, the City Manager shall have the authority to approve extensions of time set forth in this Schedule of Performance without action of the City Council not to exceed a cumulative total of 180 days. Development Agreement — Ordinance No. 12-1499 D-2 01007/0005/107793.11 EXHIBIT E DEVELOPER'S PRODUCTION SPECIFICATION SHEET ARTWORK SPECS 14' x 48' Bulletins (not including extensions) File Size: Full Scale 3/16" = 1' Scale 168" x 576" or 2.625" x 9" 9 D.P.I. min. 576 D.P.I. min File Format: Preferred Other Photoshop (.psd) or Photoshop (.eps) Photoshop PDF (.pdf) JPEG (.jpg) E-1 01007/0005/107783.11 EXHIBIT F TEMPORARY ABOVE -GROUND UTILITY PLAN (See following page] F-1 01007/0005/107783.11 ----------- i. Aw .:� .; �f + .w. I j a I+ j « + + II I _ } CCS / v u . c�L �1 0 + �T U . + > Al W i« O+ CCS ++ a N �+ :I on o� 0+` I'I q o ". o > a r f I' I �a C LU o a h II I r +I a .m