city of fillmore
CITY OF FILLMORE CENTRAL PARK PLAZA 250 Central Avenue Fillmore, California 93015-1907 (805) 524-3701 ● FAX (805) 524-5707
TO:
Mayor and Council
FROM:
Tiffany J. Israel, City Attorney
DATE:
September 13, 2016
RE:
THIRD AMENDMENT TO THE TOLLING AGREEMENT WITH KB HOMES
REQUEST That the City Council approve this Second Amendment to the Tolling Agreement with KB HOME Greater Los Angeles Inc., a California corporation (“KB”). DISCUSSION KB owns certain real property, commonly referred to as the Meadows Project, at the corner of River Street and Central Avenue in the City (the “Property”). Last year, KB submitted to the City a building permit application for development of 110 residential units on the Property for the Meadows Project. The City denied KB’s application for a building permit. KB disputes the grounds stated in the City’s denial letter and has threatened to sue the City. KB asked the City to enter into an agreement to toll all statutes of limitations periods and deadlines that may be applicable to KB’s submission of a claim and for the filing of a lawsuit relating to the City’s failure to issue a building permit for the Meadows Project. The City Council approved that Tolling Agreement on November 3, 2015. On March 22, 2016 the City Council approved the Amendment to the Tolling Agreement to extend the term of the tolling agreement through May 27, 2016. The parties then further extended the Tolling Agreement through September 28, 2016 with the adoption of the Second Amendment of the Tolling Agreement on May 10, 2016. Earlier this spring KB submitted new plans for a new Development Permit for the Meadows Project. Staff has provided several rounds of comments on the plans and it is believed that KB is making changes to address staff’s comments. KB is hoping that the Planning Commission will be able to consider the plans within the next few months. However, engineering revisions to the plans need to be made first. If the Planning Commission approves of the Project the City Council will then also need to review the Project. If these plans are approved and all applicable laws are complied with, KB will no longer contend that it has a claim against the City relating to the issuance of building permits for the Meadows Project. The Tolling Agreement will expire on September 28, 2016 if not extended. This project is returning to the Planning Commission in September and a recommendation will be forwarded to at that time. If the project is approved the City Council will be required to adopt an ordinance. Accordingly, KB has asked the City to further amend the Tolling Agreement to extend its term. This Third Amendment, if approved, would extend the Tolling Agreement through December 15, 2016.
KB Tolling Agreement September 13, 2016 Page 2 of 2
FISCAL IMPACT None. CITY COUNCIL GOAL None. RECOMMENDATION Staff recommends that the City Council approve this Third Amendment to Tolling Agreement. ATTACHMENTS Third Amendment to the Tolling Agreement
01148.0045/311324.1
TO:
Mayor and Council
FROM:
Tiffany J. Israel, City Attorney
DATE:
September 13, 2016
RE:
THIRD AMENDMENT TO THE TOLLING AGREEMENT WITH KB HOMES
REQUEST That the City Council approve this Second Amendment to the Tolling Agreement with KB HOME Greater Los Angeles Inc., a California corporation (“KB”). DISCUSSION KB owns certain real property, commonly referred to as the Meadows Project, at the corner of River Street and Central Avenue in the City (the “Property”). Last year, KB submitted to the City a building permit application for development of 110 residential units on the Property for the Meadows Project. The City denied KB’s application for a building permit. KB disputes the grounds stated in the City’s denial letter and has threatened to sue the City. KB asked the City to enter into an agreement to toll all statutes of limitations periods and deadlines that may be applicable to KB’s submission of a claim and for the filing of a lawsuit relating to the City’s failure to issue a building permit for the Meadows Project. The City Council approved that Tolling Agreement on November 3, 2015. On March 22, 2016 the City Council approved the Amendment to the Tolling Agreement to extend the term of the tolling agreement through May 27, 2016. The parties then further extended the Tolling Agreement through September 28, 2016 with the adoption of the Second Amendment of the Tolling Agreement on May 10, 2016. Earlier this spring KB submitted new plans for a new Development Permit for the Meadows Project. Staff has provided several rounds of comments on the plans and it is believed that KB is making changes to address staff’s comments. KB is hoping that the Planning Commission will be able to consider the plans within the next few months. However, engineering revisions to the plans need to be made first. If the Planning Commission approves of the Project the City Council will then also need to review the Project. If these plans are approved and all applicable laws are complied with, KB will no longer contend that it has a claim against the City relating to the issuance of building permits for the Meadows Project. The Tolling Agreement will expire on September 28, 2016 if not extended. This project is returning to the Planning Commission in September and a recommendation will be forwarded to at that time. If the project is approved the City Council will be required to adopt an ordinance. Accordingly, KB has asked the City to further amend the Tolling Agreement to extend its term. This Third Amendment, if approved, would extend the Tolling Agreement through December 15, 2016.
KB Tolling Agreement September 13, 2016 Page 2 of 2
FISCAL IMPACT None. CITY COUNCIL GOAL None. RECOMMENDATION Staff recommends that the City Council approve this Third Amendment to Tolling Agreement. ATTACHMENTS Third Amendment to the Tolling Agreement
01148.0045/311324.1
