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:
December 13, 2016
RE:
FOURTH AMENDMENT TO THE TOLLING AGREEMENT WITH KB HOMES
REQUEST That the City Council approve this Fourth 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, and again extended the Tolling Agreement on September 13, 2016 through December 15, 2016. If this Development Permit is 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. KB has submitted new plans for a new Development Permit for the Meadows Project. The Development Permit was presented to the Planning Commission September 21, 2016 and KB is revising its plans to respond to conditions and comments requested by the Planning Commission as well as guest parking and pedestrian safety comments from staff. Traffic engineering analysis is required to analyze the pedestrian safety issues. As a result, this project will not be presented to the City Council before the extended Tolling Agreement is set to expire on December 15, 2016. This Fourth Amendment, if approved, would extend the Tolling Agreement through February 28, 2017.
KB Tolling Agreement December 13, 2016 Page 2 of 2
FISCAL IMPACT None. CITY COUNCIL GOAL None. RECOMMENDATION Staff recommends that the City Council approve this Fourth Amendment to Tolling Agreement. ATTACHMENTS Fourth Amendment to the Tolling Agreement