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HomeMy WebLinkAbout0005_4_OB - Exhibit B - AgreementCOMPENSATIONAGREEMENT PURSUANTTO HEALTHAND SAFETYCODESECTION 34180(f)FORLAKEELSINORE SUCCESSORAGENCYTRANSFEROFPROPERTIESTO CITY OFLAKEELSINORE FORFUTUREREDEVELOPMENT ACTIVITY ThisAgreement,datedforreferencepurposesasof ,2018is enteredintobyandamongtheCityof LakeElsinore,theCountyofRiverside,the RiversideCountyLibrarySystem,theCountyofRiversideFloodControlandWater ConservationDistrict,theCountyofRiversideFireDepartment,theRiversideCounty OfficeofEducation,theRiversideCounty ParksDistrict,Mt.SanJacintoCollege, ElsinoreValleyCemeteryDistrict,ElsinoreValleyMunicipalWaterDistrict,Western MunicipalWaterDistrictofRiversideCounty,andtheLakeElsinoreUnifiedSchool District,onthebasisofthefollowingfacts,understandings,and intentionsof the Parties: RECITALS A.TheseRecitalsrefertoandutilizecertaincapitalizedtermswhichare definedinSection1ofthisAgreement.ThePartiesintendtorefertothosedefinitionsin connectionwith theuse thereof in this Agreement. B.PursuanttotheRedevelopmentDissolutionStatutes,theFormerRDAwas dissolvedasofFebruary1,2012,andtheSuccessorAgencybecameresponsiblefor payingitsenforceableobligations,disposingofitspropertiesandotherassets,and unwindingthe affairsoftheFormerRDA. C.Accordingly,ownershipoftheFormerRDA’sPropertiesthathadbeen acquiredtoimplementtheRedevelopmentPlansoftheFormerRDAtransferredtothe SuccessorAgencyfordispositioninaccordancewiththeRedevelopmentDissolution Statutes. D.TheSuccessorAgencyreceiveda“FindingofCompletion”fromDOFon April26,2013,confirmingthattheSuccessorAgencyhadmade specifiedrequired paymentsundertheRedevelopmentDissolutionStatutes,andentitlingtheSuccessor AgencytoprepareandsubmitaLong-RangePropertyManagementPlan(the“LRPMP”, asfurtherdefinedin Section 1) to theOversightBoardandtheDOFforapproval. E.TheSuccessorAgencyinitiallypreparedandobtainedOversightBoard approvalofitsLRPMPinOctober2013,callingforcertainPropertiestobetransferred bytheSuccessorAgencytotheCityforfuturedispositionbytheCityanddevelopment byselectedDevelopers to implementprojectsidentifiedin theRedevelopmentPlan. F.NotwithstandingthetimelysubmittaloftheLRPMP,theLRPMPwasnot approvedbyDecember31,2015,thestatutorydeadlinefor approvalofaLRPMP. Accordingly,inJanuary2016,DOFissuedaletterspecifyingthattheSuccessorAgency must dispose of its Properties in accordancewith HealthandsafetyCode Sections 2TaxEnt.CompensationAgt050818 34177(e)and34181(a).SinceJanuary,theSuccessorAgency,theOversightBoardand DOFhaveapprovedtransferofeachofthepropertiesdescribedhereintotheCityfor future development. G.ForpropertiestobetransferredtotheCityforfuturedevelopment,Health &SafetyCodeSectionCode34180(f)requiresexecutionofacompensationagreement amongtheCityandtheTaxingEntitiesprovidingforspecifiedproceedsoftheCity’s subsequentdispositionofthepropertiestobedistributedtotheTaxingEntitiesin accordance with theirproportional sharesof thebasepropertytaxrevenues. H.CityandtheTaxingEntitiesdesiretoenterintothisAgreementtoprovide forthedistributionofnetproceedsuponthesaleofthepropertiestransferredtotheCity forfuturedevelopment. I.ThePartiesdesireto enter into this Agreementtoprovide fortheexecution ofanappropriatecompensationagreementinaccordancewithHealthandSafetyCode Section34180(f). NOW, THEREFORE,the Partiesagree asfollows: Section1. Definitions.Thefollowingdefinitions shall apply in this Agreement: (a)“Agreement”meansthisCompensationAgreementPursuantTo HealthandSafetyCodeSection34180(f)RegardingLakeElsinoreSuccessorAgency TransferofPropertiestoCityofLakeElsinoreForFutureRedevelopmentActivity,as maybeamendedfromtime to time. (b)“ApplicableFiscalYear”meanseachFiscalYearoftheCityin whichtheCityreceivesInterimMunicipalUseAnnualOperatingProceedsfroman InterimMunicipalUseofoneormoreoftheProperties,asmorefullydescribedin Section7. (c)“ApplicableShares”has the meaninggivenin Section 6(a). Controller. (d)“Auditor-Controller”means the Riverside County Auditor- (e)“City” means theCityofLake Elsinore. (f)“DDA”means,withrespecttoeachProperty,thedispositionand developmentagreementbetweenthe CityandaDeveloperforthat Property. (g)“Developer”means,with respecttoeachProperty,the developerto whichthe Citydisposesofthat Propertypursuantto a DDA. (h)“DispositionProceeds”means,withrespecttoeachProperty,the grosspurchasepriceandothercompensation,ifany,actuallyreceivedbytheCityfrom 3TaxEnt.CompensationAgt050818 theDeveloperinconsiderationforthedispositionofthePropertypursuanttotheDDA, lessthesumoftheCity’sactualcostsforthefollowingitems(butonlytotheextentpaid fromCityfundsandnotfromfundsprovidedbytheSuccessorAgency,aDeveloper,or anotherseparateentity),eachtobedocumentedinreasonabledetailintheDisposition ProceedsStatementfor theProperty: (1)theCity’sactual,reasonablecostsfornormalmaintenance, managementandinsuranceoftheapplicablePropertyfromthedatethePropertyis transferredbytheSuccessorAgencytotheCitypursuanttoSection4tothedatethe Propertyis disposed ofbythe Cityto theDeveloperpursuantto the DDA;plus (2)theCity’sactualcostsofanycapitalimprovementsor repairstomaintainthePropertyinasafeandlawfulconditionincurredfromthedatethe PropertyistransferredbytheSuccessorAgencytotheCitypursuanttoSection4tothe datethePropertyis disposed of bythe Cityto theDeveloperpursuant to the DDA; (3)theCity’sactualcostsofsitepreparation,including hazardousmaterialsremediationandpollutionlegalliabilityinsurancepremiums,ifany, requiredtobepaidbytheCityundertheDDAfortheapplicablePropertytopreparethe Propertyfordisposition; plus (4)theCity’sactual,reasonablecoststopaythirdparty vendorsforappraisal,legal,realestateconsultantandmarketing,titlecompany,title insuranceandothercostsrelatedtoDeveloperselection,DDApreparationandapproval, andclosing costsfor disposition of theProperty;plus (5)anybroker’scommissionspayablebytheCitypursuantto the DDA for theProperty. (i)“DispositionProceedsReceiptDate”means,withrespecttoeach Property,thedateonwhichtheCityreceivestheproceedsfromthedispositionofthat Propertyto theDeveloper pursuantto theDDA. (j)“DispositionProceedsStatement”means,withrespecttoeach Property,thestatementpreparedbytheCityanddeliveredtotheTaxingEntitiesin accordance with Section5(b). (k)“DOF” meanstheCaliforniaDepartmentof Finance. (l)“Effective Date”hasthemeaninggivenin Section2. (m)“ERAF”meanstheEducationalRevenueAugmentationFund maintainedbytheAuditor-Controller. (n)“FiscalYear”meansthefiscalyearoftheCityineffectfromtime totime.The currentFiscalYearperiodoftheCitycommencesonJuly1of eachcalendar yearandendson the followingJune30. 4TaxEnt.CompensationAgt050818 Lake Elsinore. (o)“FormerRDA”meanstheRedevelopmentAgencyoftheCityof (p)“InterimMunicipalUse”meansaninterimusebytheCityofa Property,suchasforpocketparks,landscapefeatures,busshelters,parkinglotsavailable forcommunityevents,and otherssimilaruses. (q)“InterimMunicipalUseAnnualOperatingProceeds”means,for eachApplicableFiscalYear,thegrossrevenueactuallyreceivedbytheCityfromInterim MunicipalUseoftheProperties,asdocumentedinreasonabledetailintheOperating ProceedsStatementfor theApplicableFiscalYear. (r)“LRPMP”meanstheLong-RangePropertyManagementPlanof the SuccessorAgency. (s)“OperatingProceedsStatement”means,withrespecttoeach ApplicableFiscalYear,thestatementpreparedbytheCityanddeliveredtotheTaxing Entities in accordance with Section7(c). (t)“OversightBoard”meanstheSuccessorAgency’soversightboard established andactinginaccordancewith theRedevelopmentDissolution Statutes. (u)“Parties”meansallofthepartiestothisAgreementassetforthin the openingparagraphofthis Agreement.“Party”meansoneof thePartiesindividually. (v)“Properties”meancollectively,thefollowingfourparcelsofreal propertythatareownedbytheSuccessorAgencyandthataresubjecttothetermsofthis Agreement: (1)“Property 1”:anapproximately .17 acre property located at Ellis Street betweenFranklin and Heald in the HistoricDowntown of the City of Lake Elsinore identifiedasAPN373-025-007; (2)“Property2”:“Property 1”:anapproximately .17 acre property located atEllis Street betweenFranklin and Heald in the HistoricDowntown of the City of Lake Elsinore identifiedasAPN373-025-027; (3)“Property3”:anapproximately.21acrepropertylocated onMainStreetbetweenbetweenFranklin and Heald in the HistoricDowntown of the City of Lake Elsinore identifiedasAPN373-025-014; and (4)“Property 4”: an approximately .03acre property located on Main Street between between Franklin and Heald in the Historic Downtown of the City of Lake Elsinore identified as APN 373-025-024. Eachof the above Properties is referredto individuallyasa “Property”. (w)“RedevelopmentDissolutionStatutes”meanscollectivelyABxl26 enactedin June2011, asamendedto date. 5TaxEnt.CompensationAgt050818 (x)“RedevelopmentPlan”meanstheConsolidatedAmendedand RestatedRedevelopmentPlanfor theLakeElsinoreMergedRedevelopmentProject adoptedbythe CityCouncil of theCitybyOrdinance No. 5-2010 on March16, 2010. (y)“SuccessorAgency”meanstheSuccessorAgencyofthe RedevelopmentAgencyofthe CityofLake Elsinore”. (z)“TaxingEntities”means,collectively,thefollowingentitiesthat compriseaffectedtaxingentitiesfor purposesoftheRedevelopmentDissolutionStatutes: theCountyofRiverside,theRiversideCountyLibrarySystem,theCountyofRiverside FloodControlandWaterConservationDistrict,theCountyofRiversideFire Department,theRiversideCountyOfficeofEducation,theRiversideCountyParks District,Mt.SanJacintoCollege,ElsinoreValleyCemeteryDistrict,ElsinoreValley MunicipalWaterDistrict,WesternMunicipalWaterDistrictofRiversideCounty,and theLakeElsinoreUnifiedSchoolDistrict. Section2.Effectivenessof Agreement.This Agreementshall become effective onlyupon satisfactionofthe followingconditions: (a)ApprovalofthisAgreementbytheCityanddirectionbytheCity CounciltoexecuteandimplementthisAgreementpursuanttoHealthandSafetyCode Section34180(f)(the“CityAction”); and (b)ApprovalbytheOversightBoardoftransferofthePropertiesto the Cityforfuturedevelopmentupon executionofthis Agreement; (c)NotificationtoDOFoftheOversightBoardactionandapprovalby DOFoftheOversightBoardactioninaccordancewiththeprovisionsofHealthand SafetyCodeSection34179(h); and (d)Signature ofthis Agreementbyeachoftheparties hereto. PromptlyfollowingtheeffectivenessofthisAgreement,theCityandthe SuccessorAgencyshalltransmitnoticetoalltheotherPartiesthattheAgreementis effective andspecifyingthedatetheAgreementbecameeffective (the“Effective Date”). Section3.SignatoriesWith RespectTo CertainFunds. (a)FloodControlDistrictFunds.TheCountyofRiversideFlood ControlandWaterConservationDistrict(the“FloodControlDistrict”)administersthe followingspecialfunds,and,inadditiontoenteringintothisAgreementfortheFlood ControlDistrictitself,isauthorizedto,andhasenteredintoandexecutedthisAgreement on behalfofthefollowing: FloodControlAdministration;and FloodControl Zone3. 6TaxEnt.CompensationAgt050818 (b)CountySuperintendentFunds.TheWesternMunicipalWater DistrictofRiversideCountyadministersthefollowingspecialfunds,and,inadditionto entering intothisAgreementfor itself,isauthorizedto,andhasenteredintoandexecuted this Agreementon behalfof thefollowing: WESTERN MUNICIPALWATER; and WESTERN MUNICIPALWATER 1ST FRINGE. (c)LakeElsinoreUnifiedSchoolDistrict.TheLakeElsinoreUnified SchoolDistrictadministersthefollowingspecialfunds,and,inadditiontoenteringinto thisAgreementforitself,isauthorizedto,andhasenteredintoandexecutedthis Agreementon behalf ofthefollowing: LAKEELSINOREUNIFIED SCHOOLDISTRICT; and ELSINOREAREA ELEMENTARYSCHOOLFUND. Section4. ConveyanceofPropertiesTo City.Promptly following the EffectiveDate,andinconsiderationforthedistributionstotheTaxingEntitiesbythe CitythroughtheAuditor-ControllersetforthinSection6,theSuccessorAgencyshall convey,andtheCityshallaccept,alloftheinterestinandtothe Properties(subjecttothe specialprovisionsregardingtheconveyanceoftheProperties).TheSuccessorAgency shallconveythePropertiesbygrantdeedinformreasonablyacceptabletotheSuccessor AgencyandtheCity. Section5. Disposition ofPropertiesByCity. Within a timeframedetermined bytheCitytoyieldafinanciallyfeasibleandmarketabledevelopment,theCityshalluse diligentgoodfaitheffortstoselectaDeveloperforeachProperty,negotiateandobtain approvalandexecutionoftheDDAforeachProperty,anddisposeofeachPropertyto theDeveloperinaccordancewiththeapplicableDDA.CityshallobtaintheDisposition ProceedsfordistributionthroughtheAuditor-ControllertotheTaxingEntitiespursuant toSection6andtoenabledevelopmentofeachPropertyinaccordancewiththe RedevelopmentPlan.AsrequiredbyGovernmentCodeSection52201,thepurchase pricepayabletotheCityforeachPropertyundertheapplicableDDAshallbeanamount thatisdeterminedtobenotlessthantheProperty’sfairmarketvalueathighestandbest use,ortheProperty’sfairreusevalueattheuseandwiththecovenantsandconditions anddevelopmentcosts authorized bythe applicable DDA. BynotlaterthanthedateoffirstpublishednoticeoftheCityCouncilpublic hearingfortheapplicableDDA(the“DDAPublicHearingNotice”),theCityshall provideeachTaxing Entitywithacopyof theDDAPublicHearingNotice(including the date,timeandlocationofthepublichearingandthelocationatwhichtheproposedDDA maybeinspectedandcopied),andastatementsettingforththeproposedpurchaseprice to be paidto the Cityunder theproposed DDA. UpontheexecutionoftheDDAforeachProperty,theCityshalltransmitacopy ofthe executedDDA to the otherParties. 7TaxEnt.CompensationAgt050818 Section6.Compensation To Taxing Entities Related To Disposition Proceeds. (a)DistributionofDispositionProceeds.Withinfifteen(15)days aftertheDispositionProceedsReceiptDatewithrespecttoeachProperty,theCityshall remittheDispositionProceedsforthatPropertytotheAuditor-Controllerforsubsequent distributionbytheAuditor-ControlleramongtheTaxingEntitiesinproportiontotheir sharesofthebasepropertytax(the“ApplicableShares”),asdeterminedbytheAuditor- ControllerpursuanttoHealthandSafetyCodeSection34188.TheattachedExhibitB shows,forillustrativepurposesonly,theApplicableSharesoftheTaxingEntitiesthat wouldhaveappliedtoadistributionunderthisSection6hadthedistributionbeenmade onJune1,2016,as provided bytheAuditor•Controller. (b)AccountingRequirements.Atthetimeofeachdistribution pursuanttosubsection(a),theCityshallprovidetotheTaxingEntitiesandtheAuditor- Controllerastatementpreparedinaccordancewithsoundaccountingpracticethat providestheCity’scalculationoftheDispositionProceeds(the“DispositionProceeds Statement”).The Cityshallkeepcomplete,accurateandappropriatebooksandrecordsof itscalculationoftheDispositionProceedswithrespecttoeachdistribution.TheAuditor- Controllershallhavetheright,onbehalfoftheTaxingEntitiesanduponreasonable writtennoticetoCity,toauditandexaminesuchbooks,recordsanddocumentsandother relevantitemsinthepossessionofCity,butonlytotheextentnecessaryforaproper determinationofDisposition Proceeds. Section7.CompensationToTaxingEntitiesRelatedToInterimMunicipal UseAnnualOperatingProceeds. (a)Applicability.TheprovisionsofthisSection7shallapplyforeach FiscalYearinwhichoneormoreofthePropertiesisusedforanInterimMunicipalUse andgeneratesInterimMunicipalUseAnnualOperatingProceedstotheCity(each,an “ApplicableFiscalYear”).NothinginthisAgreementshallobligatetheCitytocharge anyfeesorotheramountsortocollectanyrevenueswithrespecttoanInterimMunicipal Useof anyoftheProperties. (b)DistributionofInterimMunicipalUseAnnualOperatingProceeds. Withinninety(90)daysaftertheendofeachApplicableFiscalYear,theCityshallremit theInterimMunicipalUseAnnualOperatingProceedsforthatApplicableFiscalYearto theAuditor-ControllerforsubsequentdistributionbytheAuditor-Controlleramongthe TaxingEntitiesinproportiontotheirApplicableShares,asdeterminedbytheAuditor- ControllerpursuanttoHealthandSafetyCodeSection34188.TheattachedExhibitB shows,forillustrativepurposesonly,theApplicableSharesoftheTaxingEntitiesthat wouldhaveappliedtoadistributionunderthisSection7hadthedistributionbeenmade on January1, 2014, asprovided bytheAuditor-Controller. (c)AccountingRequirements.Atthetimeofeachdistribution pursuanttosubsection(a),theCityshallprovidetotheTaxingEntitiesandtheAuditor- Controllera statementpreparedin accordance with sound accountingpractice that 8TaxEnt.CompensationAgt050818 providestheCity’scalculationoftheInterimMunicipalUseAnnualOperatingProceeds (the“OperatingProceedsStatement”).TheCityshallkeepcomplete,accurateand appropriatebooksandrecordsofitscalculationoftheInterimMunicipalUseAnnual OperatingProceedswithrespecttoeachdistribution.TheAuditor-Controllershallhave theright,onbehalfoftheTaxingEntitiesanduponreasonablewrittennoticetoCity,to auditandexaminesuchbooks,recordsanddocumentsandotherrelevantitemsinthe possessionofCity,butonlytotheextentnecessaryforaproperdeterminationofthe InterimMunicipalUseAnnual OperatingProceeds. Section8.TermofAgreement:EarlyTermination. (a)Term.ThetermofthisAgreementshallcommenceonthe EffectiveDateand,unlesssoonerterminatedasotherwiseprovidedinthisAgreement, shallexpireuponthedistributionbytheCityofallamountsowedtotheTaxingEntities underthis Agreement. (b)EarlyTermination.Notwithstandinganyotherprovisionofthis Agreement,aPartymayterminatethisAgreementuponwrittennoticetotheother Parties ifacourtorder,legislation,orDOFpolicyreversesDOF’sdirectiveregardingtheneed forthisAgreementandthepaymentofcompensationbytheCitypursuanttoHealthand SafetyCodeSection34180(1)(an“EarlyTermination”).AnEarlyTerminationshall becomeeffectivefive(5)daysaftertheterminatingPartydeliverstherequirednoticeto theotherPartiesinaccordancewithSection9(a).UponeffectivenessofanEarly Termination,noPartyshallhaveanyfurtherrightsorobligationsunderthisAgreement, andtheCitymayretaintheDispositionProceedsfromthedispositionofanyPropertyfor whichtheCityhasnotyetreceivedtheDispositionProceedsasoftheeffectivedateof theEarlyTermination,andmayretainanyInterimMunicipalUseAnnualOperating ProceedsforwhichtheCitywasnotrequiredtomakethedistributiontotheTaxing Entities asof theeffective dateof the EarlyTermination;provided,however,thattheCity shallhavenorighttorecoveranyDispositionProceedsoranyInterimMunicipalUse AnnualOperatingProceedsfromanyTaxingEntitythatweredistributedbytheCity priorto theeffective dateof theEarlyTermination. Section9.MiscellaneousProvisions. (a)Notices.Allnotices,statements,orothercommunicationsmade pursuanttothisAgreementtoanotherPartyorPartiesshallbeinwriting,andshallbe sufficientlygivenandserveduponthePartyifsentby(1)UnitedStatescertifiedmail, returnreceiptrequested,postageprepaid,or(2)nationallyrecognizedovernightcourier, withchargesprepaidorchargedtosender’saccount,andaddressedtotheapplicable PartyinthemannerspecifiedintheattachedExhibitA.AnyPartymaychangeits addressfornoticepurposesbywrittennoticetotheotherPartiespreparedanddelivered in accordancewith theprovisions of this Section9(a). (b)NoThirdPartyBeneficiaries.Nopersonorentityotherthanthe Partiesandtheirpermittedsuccessorsandassigns,shallhaveanyrightofactionunder this Agreement. 9TaxEnt.CompensationAgt050818 (c)LitigationRegardingAgreement.Intheeventlitigationisinitiated attacking thevalidityofthisAgreement,eachPartyshallingoodfaithdefendandseekto uphold theAgreement. (d)StateLaw;Venue.ThisAgreement,andtherightsandobligations ofthePartieshereto,shallbeconstruedandenforcedinaccordancewiththelawsofthe StateofCalifornia.AnyactiontoenforceorinterpretthisAgreementshallbefiledand heardintheSuperiorCourtofRiversideCounty,CaliforniaorintheFederalDistrict Court for theNorthernDistrictofCalifornia. (e)Attorneys’Fees.InanyactionwhichaPartybringstoenforceits rightshereunder,theunsuccessfulPartyorPartiesshallpayallcostsincurredbythe prevailingparty, includingreasonableattorneys’fees. (f)EntireAgreement;Amendment.ThisAgreementconstitutesthe entireandintegratedagreementofthePartiesandsupersedesallpriornegotiations, representations,oragreements,eitherwrittenororal.ThisAgreementmaybemodified onlyinwritingandonlyifsignedbyallofthePartiesandapprovedbytheOversight BoardandtheDOF,exceptasotherwiseprovidedbelow.If,atthetimeofaproposed amendmentofthisAgreement,theSuccessorAgencyandtheOversightBoardhavebeen terminatedinaccordancewiththeapplicableprovisionsofthe Redevelopment DissolutionStatutes,thentheproposedamendmentshallnotrequireexecutionbythe terminatedSuccessorAgencyorapprovalbytheterminatedOversightBoard.Inthat event,toobtaintheapprovaloftheDOFforsuchproposedamendment,theCityshall transmittheproposedamendmenttotheDOFonbehalfoftheremaining Partiesandseek the timelyapprovalbythe DOFforsuchamendment. (g)Counterparts.ThisAgreementmaybeexecutedincounterparts, eachofwhichshallbedeemedanoriginal,butallofwhichtogethershallconstituteone andthesameagreement.Thesignaturepageofanycounterpartmaybedetached therefromwithoutimpairingthelegaleffectofthesignature(s)thereon,providedsuch signaturepageisattachedtoanyothercounterpartidenticaltheretohavingadditional signaturepagesexecutedbytheotherParties.Anyexecutedcounterpartofthis AgreementmaybedeliveredtotheotherPartiesbyfacsimileandshallbedeemedas bindingasif anoriginallysignedcounterpartwasdelivered. (h)Non-Waiver.Nowaiverofabreach,failureofanycondition,or anyrightorremedycontainedinorgrantedbytheprovisionsofthisAgreementwillbe effective unless it is in writingandsignedbythewaivingParties. (i)NoPartnership.NothingcontainedinthisAgreementshallbe construedtoconstituteanyPartyasapartner,employee,jointventurer,oragentofany otherParty. (j)Ambiguities.Anyruleofconstructiontotheeffect that ambiguitiesare to be resolved againstthe draftingpartydoesnot applyin interpretingthis Agreement. 10TaxEnt.CompensationAgt050818 (k)Exhibits.Thefollowingexhibitsareincorporatedinthis Agreementbyreference: ExhibitA:Listof Addressesfor NoticePurposes ExhibitB:TaxingEntities ApplicableSharesofPropertyTaxes (l)Severability.Ifanyterm,provision,orcondition ofthis Agreementisheldbyacourtofcompetentjurisdictiontobeinvalidorunenforceable,the remainderofthisAgreementshallcontinueinfullforceandeffectunlessanessential purpose of this Agreementis defeatedbysuchinvalidityor unenforceability. (m)ActionorApproval.Wheneveractionand/orapprovalby theCity isrequiredunderthisAgreement,theCityManagerorhisorherdesigneemayacton and/orapprovesuchmatterunlessspecificallyprovidedotherwise,orunlesstheCity Managerdeterminesinhisorherdiscretionthatsuchactionorapprovalrequiresreferral to theCityCouncilfor consideration. INWITNESSWHEREOF,thePartiesheretohaveexecutedthisAgreementasof the datessetforthin theopeningparagraphofthis Agreement. SIGNATUREPAGES FOLLOW: TaxEnt.CompensationAgt050818 CITY OFLAKEELSINORE Dated:By: Natasha Johnson,Mayor APPROVEDASTO FORM: LEIBOLDMCCLENDON&MANN, P.C. By: BarbaraLeibold,CityAttorney COUNTYOFRIVERSIDE Dated:By: Its: RIVERSIDECOUNTYLIBRARY SYSTEM Dated:By: Its: RIVERSIDECOUNTYFIRE DEPARTMENT Dated:By: Its: LAKEELSINORE UNIFIED SCHOOL DISTRICT Dated:By: Its: TaxEnt.CompensationAgt050818 MT.SANJACINTOCOLLEGE Dated:By: Its: RIVERSIDECOUNTYOFFICEOF EDUCATION Dated:By: Its: RIVERSIDECOUNTYPARKS DISTRICT Dated:By: Its: RIVERSIDECO. FLOODCTRL.& WATER CONSERVATION DISTRICT Dated:By: Its: TaxEnt.CompensationAgt050818 ELSINORE VALLEYCEMETERY DISTRICT Dated:By: Its: ELSINORE VALLEYMUNICIPAL WATER DISTRICT Dated:By: Its: WESTERNMUNICIPALWATER DISTRICT OFRIVERSIDE COUNTY Dated:By: Its: EXHIBITA Page1 TaxEnt.CompensationAgt050818 EXHIBITA Mr. Paul Angulo,Auditor-Controller RiversideCounty Auditor-Controller'sOffice 4080LemonSt, 11th floor Riverside,CA 92502-0868 Mr. Rob Field,Asst. Co. Exec.Officer/EconomicDevelopmentAgency RiversideCountyLibrarySystem EDA,CulturalServices 3403 10th Street,Suite400 Riverside,CA 92501 Mr. John R. Hawkins,FireChief RiversideCountyFire Department AdministrationandOperations 210 W. SanJacinto Avenue Perris,CA 92570 Mr. GrantYates, CityManager Cityof LakeElsinore CityAdministration 130 South Main Street Lake Elsinore,CA 92530 Mr. Doug Kimberly,Ed.D., Superintendent Lake ElsinoreUnified School District Office ofSuperintendent 545 ChaneyStreet Lake Elsinore,CA 92530-2723 Mr. RogerW. Schultz, Superintendent/President Mt. SanJacinto College Administration 1499 NorthStateStreet SanJacinto, CA 92583-2399 EXHIBITA Page2 TaxEnt.CompensationAgt050818 Ms.JudyD.White,Ed.D., Superintendent Riverside CountyOfficeofEducation OfficeofSuperintendent 3939 Thirteenth Street Riverside, CA 92501 Mr. Scott Bangle,GeneralManager RiversideCountyParksDistrict Executive Team 4600 Crestmore Road Riverside,CA 92509-6858 Jason E. Uhley, General Mgr.-ChiefEngineerRiverside Co. Flood Ctrl. &WaterConservationDistrictOffice 1995 Market Street Riverside, CA 92501 Ms. DeniceEnochs, DistrictManager ElsinoreValleyCemeteryDistrict DistrictOffice 18170 CollierAvenue Lake Elsinore,CA 92530 Mr.John D.Vega,General Manager Elsinore Valley Municipal Water District Administration 31315 Chaney Street Lake Elsinore,CA 92531 Mr. John V. Rossi, GeneralManager WesternMunicipalWaterDistrictof Riverside County Management 14205 Meridian Parkway Riverside, CA92518 EXHIBITB ILLUSTRATIVETAXINGENTITIESAPPLICABLE SHARESOFPROPERTYTAXES Taxing Entity/Fund PropertyTax Share RiversideCountyGeneral 11.06% CountyFreeLibrary 1.20% CountyStructureFireProtection 4.89% Lake ElsinoreGeneralFund 10.17% Lake ElsinoreUnified School District 39.94% Mt. SanJacintoJunior College 4.80% ElsinoreArea ElementarySchoolFund 8.75% RiversideCountyOffice ofEducation 4.94% RiversideCo. RegionalPark &OpenSpace 0.27% FloodControlAdministration 0.20% FloodControl Zone3 2.79% ElsinoreValleyCemetery 0.83% ElsinoreValleyMunicipal Water 9.04% WesternMunicipalWater 1.08% WesternMunicipalWater1st Fringe 0.03% TaxEnt.CompensationAgt050818 EXHIBITB