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HomeMy WebLinkAboutOB 6 JT. PWR AG 11-06-89TO: FROM: SUBJECT: WILLIAM A. HUSTON, CITY MANAGER COMMUNITY DEVELOPMENT DEPARTMENT. JOINT POWER AGREEMENT RECOMMENDATION It is recommended that the City Council approve the attached Joint Power Agreement and authorize City Attorney to make minor changes if needed. BACKGROUND The City Council at a meeting on October 2nd and October 16, 1989 continued discussion on this matter pending concurrence by each City on the proposed Joint Powers Agreement creating the Tustin- Santa Ana Transportation System Improvement Authority. Several meetings with Council sub-committees of each City and staff from each City have.been held in an effort to reach agreement over the last 30 days. At this time, City of Tustin staff believe that the attached Agreement addresses all Tustin and Santa Ana concerns and have requested that Santa Ana agendize and approve the Agreement on November 6th. While we have not been contacted by Santa Ana as of the time of writing of this report as to the · acceptability of the final draft, we would recommend that the Tustin City Council approve the Agreement since the November 6th meeting will be the last regular Tustin Council meeting that the city would have to approve the Agreement before a lawsuit would have to be filed on the Birtcher-Xerox project. Staff and the City Attorney will be prepared to discuss the potential litigation issues with the Council in closed session. Christine A. Director of Community Development CAS:kbc JOIN~' .,' 'CISE OF POWERS AGREEMEA. 'TWEEN ................ THE CIT~ .~ SANTA ANA AND THE CITY TUSTIN CREATING THE TUSTIN - SANTA ANA TRANSPORTATION SYSTEM IMPROVEMENT AUTHORITY THIS AGREEMENT, dated for convenience as of , is made and entered into by and between the CITY OF SkNTA ANA (hereinafter referred to as "Santa Ana") and the CITY OF TUSTIN (hereinafter referred to as "Tustin"), municipal corporations of the State of California. W-I-T-N-E-S-S-E-T-H A. The areas designated as A and B in Exhibit A, attached hereto and incorporated herein by reference are comprised partly of territory of Santa 'Ana and partly of territory of Tustin. Said areas are designated "Transportation System Improvement Program" ("TSIP") areas and are hereinafter referred to as TSiP Area A and TSIP Area B, or collectively as the TSIP Areas. Due to development within said TSIP Areas, they are in need of major transportation system improvements. B. Santa Ana and Tustin are each empowered by law to expend public moneys on such transportation system improvements as they determine to be appropriate. C. Santa Ana and Tustin are of the opinion that the TSIP Areas require a comp~hensive program for areawide transportation system improvements, including their joint participation in the establishment of priorities and in the funding of improvements. D. Santa Ana and Tustin propose to impose or increase fees on developments occurring within their respe¢~i~portions-o£~the'~-n~3' TSIP Areas, the revenues from which toi~'-~u~ed solely fo Recitals: areawide transportation system improvem~,~ts within each respective TSIP area. ~-' .......... - ~ E. Santa Ana and Tustin do now desire to establish a joint powers agency to establish and .maintain a transportation system improvement program for the TSIP Areas to identify needed transportation system improvements and their appropriate priority, determine appropriate development fees, and control the expenditure of development fees for areawide transportation system improvements which benefit the TSIP Areas. WHEREFORE, the parties hereto do hereby agree-as follows: 1. Purpose This 'Agreement is made pursuant to the provisions of Article 1, Cha~ter 5, Division 7, Title 1 of the Government Code of the State of California (commencing with Section 6500, hereinafter called "Act") relating to the joint exercise of powers to public agencies. Santa Ana and Tustin each possess the powers referred to in the recitals hereof. The purpose of this Agreement is to exercise such powers by jointly developing and maintaining a program for transportation system improvements in each TSIP Area, for determining appropriate developer fees, and controlling the expenditure of development fee revenues for areawide transportation improvements which benefit the respective TSIP Area. The foregoing purposes will be accomplished and common powers exercised in the manner hereinafter set forth. 2. Transportation System Improvement Authority A. Creation of Authority Pursuant to Sections 6506 and 6507 of the Ac%~' there is hereby created a ~, ic entity to be known' Ana Transportation System Improvement Authority" (hereinafter called the "Authority"). Said Authority shall be a public entity separate and apart from .the parties hereto. Its debts, liabilities and obligations shall not constitute debts, liabilities or obligations of the parties hereto. The Authority shall have the power in its own name to do any of the following' (1) To exercise jointly the common powers of the City of Tustin and City of Santa Ana in studying and planning ways and means to provide for the planning and financing of areawide circulation improvements recommending imposition of development fees and prescribing the payment and expenditure of such development fees revenues. (2) To make and enter into consultant agreements in order · to obtain the services of professional consultants to assist the Authority in its exercise of powers of the Authority. (3) To' appoint agents. (4) To incur debts, liabilities, or obligations subject to limitations herein set forth. (5) To receive gifts, contributions and donations of property, funds, services and other forms of financial assistance from persons, firms, corporations and governmental entities. (6) To sue and be sued in its own name. (7) To apply for an appropriate grant or grants under any federal, state, or local programs for assistance in developing any of its programs. (8) To adopt rules, regulatkons, policies, by-laws and procedures governing the operation of the Authority. (9) To the extent not herein specifically provided for, to exercise any powers in the manner and according to the methods provided under applicable laws. B. Governing Board ' - ~ _L~_'~.'_' .o · The Authority shall be administered by a gover'ning' -_ board of four (4) lng members. The city c :ils Df Santa Ana and Tustin shall each select, from among their members, two- (2) voting members to serve on the governing board of the Authority. The Mayor and Vice-Mayor Pro Tem of a party hereto shall be deemed to be selected by the city council of such party unless such city Council makes a different selection. The city council of each party hereto shall also select one or more alternates from among their respective members, who may serve as voting members of the authority in the absence of the primary members. Each voting member of the governing board of the authority shall serve at the pleasure of the city council which selected such member. The voting members may select a fifth (5th) member to serve on the Board of Directors. The fifth voting member may be removed at any time by a.majority vote of the other voting members, The parties agree to instruct and direct their respective representatives to vote and take ~ther appropriate actions to carry oUt the intent and purposes of this agreement. The City Manager, or his or her designated reDresentative, of each party shall be an ex officio non-voting member of the Authority. He or she shall be entitled to participate in the deliberations of the governing board of the Authority to the same extent as the voting members of that board but shall not be entitled to'make~' ~econd or vote on motions. C. Meetings of the Governinq Board (1) Regular Meetings The governing board of the Authority shall provid~"'fOr .. the date,..time and place of its regular ~e~i~? pr0Vided"'it . · shall hold at least one regular meeting in-each three (3~ 'm°n~h-''''~-- 4 (quarterly) perioa Jf each calendar year. ~ date, time and place of regular meetings shall be fixed by-=resolutionm--~f the governing board and a copy of such resolution. shall be filed with each party hereto. Until such time as-the date, time and place of regular meetings is otherwise established by the governing board, regular meetings shall be held at the City Hall of the host city ~(as hereinafter defined) on the 4th Thursday of the months of January, April, July and October at 4'00 p.m. The first meeting of the governing board shall be held on the date listed above which first occurs following the effective date of this Agreement. (2) Ralph M. Brown Act Ail meetings of the g~verning board of the Authority shall be called, noticed, held and conducted in eccordance with the provisions of the Ralph M. Brown Act (commencing with section 54950 of the Government Code.) . (3) Minutes The Secretary of the Authority shall cause to be kept minutes of the meetings of the governing board, and shall, after each meeting, cause a copy of the minutes to be forwarded to each member of the governing board. (4) Quorum and Vote. Requirements Three (3) voting members shalI be required to be present at the meeting to conduct any businesms or take any action. Each city shall use best efforts and-~~cis~ good'faith · tO send two (2) voting 'members to every m~e~i~~ ~ks'-~han ~a quorum may adjourr 'o~ time to time. ~' No mo~ '-shali-~-deemed carried unless it receives the affirmativ~ vote of at least three (3) voting members. D. Officers (1) "Host City" Defined Each party hereto shall be the "host city" ~nder this Agreement in alternating calendar years. Tustin shall be the host city until the end of the 1990 calendar year. (2) Chairperson Unless otherwise provided by the governing board, the Mayor of the host city shall be chairperson of the governing board. The Chairperson of the governing board shall preside at its me~tings and shall perform such other duties as are specified by the governing board. (3) Vice Chairperson Unless otherwise provided by the governing board, the Mayor of the non-host city shall be Vice Chairperson of the · governing board. (4) Secretary The Secretary of the Authority shall be ~esignated by the City Manager of the host city from among the officers and employees of the host city. The Secretary shall be responsible for the minutes and other records of th8 governing board and shall perform such other dutie~ as are specified by the governing board. Upon the conclusion of each calendar--~ear, the Secretary for the past calendar year shall transfer all documents ±n~hi-s her custody pertaining to the business of ~he ~U-thOrit~'~'~to the · Secretary for the next calendar year. - ..... ~-_~r? ~.~ (5) Treasurer The Treasurer of the Authority shall be financial officer of Santa Ana. The Treasurer shall be the depository and have custody of all the money of the Authority, from whatever source. The Treasurer shall also be the auditor- controller of the Authority. The Treasurer shall: (a) Receive and receipt for all money of the Authority and place it in the treasury of Santa Ana to the credit of the Authority. (b) Be responsible upon his or her official bond for the safekeeping and disbursement of all Authority money so held by him or her. (c) Pay sums due from the Authority from Authority money as approved by the governing body. (d) Verify and report in writing on the first day of July, October, January and April of each year to the Authority and to each party hereto the amount of money he or she holds for the Authority, the amount-of receipts since his or her last report, and the amount paid out since his last report. (e) Cause an annUal audit of the accounts and records of the Authority to be made (except that audits may be made on the basis of a two-Year period if unanimously approved by the governing board). The minimum requirements of the audit 'shall be those prescribed by the. State Controller for special districts under Section 26909 of the Government Code--andl-s~alil~conform~tO .. · 'generally accepted auditing 'standards. ~,-~-~ 3. Disposi' ~ of Transportation Improvem=,~t Development Fees (a) AS used herein, "development fee" means a- fee imposed and paid to the Authority on any development (as hereinafter defined) occurring within TSIP Areas A or B, the expenditure of such fee revenues being limited to areawide transportation system improvements benefiting such TSIP Area. Until such time as the parties hereto change their development fee to the levels to be recommended by the Authority pursuant to section 4C of this Agreement, each party shall adopt and maintain ordinances and/or resolutions imposing development fees as follows' In Santa Ana, the minimum fee for TSIP Area A shall be $4.52 per square foot of gross floor area for any development, and the minimum fee for TSIP Area B shall be 2% of the cost of conStruction for any development. In Tustin the minimum fee for Area A shall be 2% of the cost of construction for any development and the minimum fee for Area B shall be an amount per square foot of gross floor area for any development, which amount shall be S2.60 for commercial/office development, S!.80 for "R & · D" development, and S1.00 for industrial development. The parties hereto agree to have ordinances and/or resolutions conforming to the foregoing in place by January 1, 1990. At such time as the parties hereto receive recommended fee levels from the Authority pursuant to section 4C of this Agreement, each party shall adopt or amend its ordinances and/or resolutions to impose development fees _in accordance with such recommendation, except that a party shall not be 9bligat~L'to 'adopt' a":fee recommended by the Authority if it determin~-ln'~'~o6d'faith'th~t the fee recommend 3y the Authority iS wh~' unreasonable and not reasonably calculated to impose developer's fees commensurate .......... with the proportionate contribution which should be required of each development or class of development for areawide traffic impacts in its TSIP Area based on (a) transportation system improvements required to mitigate traffic impacts of all ultimate developments within each TSIP Area and the cost thereof, and (b) the proportion of contribution toward the total areawide traffic impacts of particular developments or classes of development, in which case the party making such determination shall submit its reasons for such a determination to the Authority and the Authority shall review its recommendation in light of such reasons and revise or reaffirm its recommendation. Nothing herein shall be construed to limit either party from amending any development fee ordinance and/or resolution to clarify its terms' or bring it into compliance with applicable law. (b) Except as otherwise provided by subsection (7) of · this section, from and after the date of execution of this Agreement, any and all development fee revenues collected by either party hereto on account of any development (as hereinafter defined) located within the TSIP areas shall be Authority money from the time of its collection and shall be transmitted by the collecting party to the Treasurer for deposit to the credit of the Authority. (c) The Treasurer of the Authority shall maintain such fee revenues in TSIP Area A and TSIP Area B acccunts'~parate' '~n~TM .... apart, from all other moneys in his or her ~0d~'C~s~ch ~Sneys'~'~''~''~'-'-= ' may be invested in the same manner and ~'kUbj'e~t~'to'~'the7 s~me-i~e .~ .... limitations as mu~ =pal funds in the custod ~f the Treasurer. Any and 'all interest accruing on such deveIO, pm~ht f~e'revenues shall belong to the Authority and shall be treated in the same manner as development fee revenues. (d) Either party hereto, or both parties acting pursuant to mutual agreement, may transfer other or additional city revenues to the Authority to be treated in the same manner as development fee revenues. (e) No part of Authority revenues shall be used' for administrative or overhead costs, except as approved by the Authority. (f) As used herein, "development" means any construction or improvement project which will result in a new building or structure, or increase in floor area of an existing building or structure, exclusive of the following: (1) Construction or improvement projects not exceeding $20,000 in cost. (2) Off-street parking facilities. (3) Any construction or improvement project as to which a development fee may not lawfully be imposed under State law. (4) Single-family residences and structures accessory thereto. (g) At any time one of the parties to this Agreement collects 'a development fee from. a development project within its jurisdiction and within one of the TSIP Areasl -(the "collecting .... · city") pursuant to recommendation of the AU~horit~-pursuant-~o'~:~'~: ~ 10 the provisions o_ ~ tion 4C: (i) If, at such time, the other party to this Agreement (the "other city") does not have 'in- effect-'devel0pment fee ordinances and/or resolutions which would result in a development fee being imposed on such a development project had it occurred in the other city's jurisdiction, then the fees collected by the collecting City from such development project shall belong to the collecting city and not to the Authority. (ii) If, at such time, the other city does have development fee ordinances and/or resolutions applicable to that TSIP Area in effect, but the amount of the development fee revenues that would have been collected by the other city from such development project, had it occurred in the other city's portion of that TSIP Area, would have been less than the development ~ees collected from such development project by the collecting city, then only that portion of the development fees collected from such development project by the collecting city, then only that portion of the development fees collected from such. development project by the collecting city which is equal in amount to the fees that would have been collected by the other city shall belong to the Authority, and the balance shall belong to the collecting city. (h) In the e~ent and to the extent that either party .. to this Agreement 'grants a developer any special exemption from or limitation on the payment of development fe'es, such party shall pay. the Authority-the amount of money that the Authority would have received but for such .-exemptio~'or-limitation; provided, however this obligation shall not'appfy"~to' exemptions 11 or limitations ex_~ting by reason of devei~pment agreements executed prior to September 1, 1989 and f~ed~i~n'-E~bi~ attached hereto. (i) Neither party to this Agreement shall allow a developer to off-set against its development fee obligation the cost of public improvements constructed by such developer unless the Authority approves such off-set or unless such off-set conforms to such rules as the Authority may approve with regard to off-sets generally. Any off-set allowed in violation of this subsection shall be deemed a special exemption or reduction subject to subsection (h) of this section. 4. Powers A. Approval of Transportation System Improvement Projects The governing board may authorize transfer of Authority money to either party hereto to pay for the cost, or part thereof, of any transportation system improvement project approved by the governing body in accordance with this section. Any project which, in the opinion of the governing body, wi!! improve the areawide circulation of vehicular traffic into, through, or out of one of the TSIP Areas, or which mitigates the areawide adverse effects of vehicular traffic or parking caused by new developments located within one of the TSIP Areas, shall be deemed eligible for approval by the governing board with regard to development f~e revenues derived from such TSIP Area (hereinafter referred to as "Eligible Projec~s"~)-~ however, shall not have' aUthority to co~r.aC~' .direCtly'- for 12 construction of E.' '.ble Projects. In the'-%% 'iriSh'of Eligible Projects consideration shall be given to improvements of areawide impact identified as cumulative mitigation measures in environmental impact reports prepared for approved development projects. Upon its determination that immediate construction of a certain areawide traffic improvement is necessary or desirable, either party may cause the traffic improvement project to be constructed by the party or by a developer and if the Authority determines that such areawide traffic improvement project qualifies as an Eligible Project under the Transportation System Improvement Program the Authority may authorize full-or partial reimbursement .by the Authority for the cost of such .traffic improvement. B. Preparation of Transportation System Improvement Propram The governing board shall develop, maintain, and from time- to-time, revise a program for Eligible Projects for each of the TSIP Areas, setting forth their relative- priorities, target dates for commencement and completion of construction, estimated costs, ~nd proposed sources of funding. The program shall serve as a guide to the governing board in the exercise of its discretion to approve Eligible Projects for expenditure of Authority money% In order to determine and establish a Transportation System Improvement Program for each TSIP Area, the parties agree to participate in having a-comprehensive traffic-study- prepared for each TSIP Area. The purpose of each ~traffic~stu~y£-~hatl.-be'" 't)~.. to identify all anticipated development projects~ Proposed within 13 each TSIP Area, ~ nin either Tustin or Sant= .,na; 2) to estimate · the timing of such developments; 3) measures and a list of areawide transportation improvements to reduce potential impacts to Tustin and Santa Aha as a result of. traffic generated by these developments; and 4) to identify the · necessary financing and implementation program(s), including recommendations for imposition of development fees based on traffic generated within a TSIP area and necessary to pay for the estimated costs of constructing areawide transportation improvements and to reimburse developers and the parties for the actual costs of previously constructed areawide improvements determined to be eligible projects. · The parties agree that a consultant's report entitled "Traffic Impact Study for Xerox Centre", dated July 11, 1989, revised September 12, 1988 prepared by DKS Associates, and amended per final comments and.responses to the draft EIR for the Xerox Centre Project adopted as pDrt of the final EIR for that project shall serve as a preliminary working basis for development of an expanded traffic study for TSIP Area "A". The parties agree to each contribute fifty percent (50%) of the cost of each such traffic study and they shall mutually decide on the selection of the consultant to prepare each traffic study. Each study shall be completed within a time period agreed to by each party and ev.ery effort shall be made to complete each study 'within 180 days from the execution of this Agreement by both parties. · III "' · 14 C. Fee Re¢ endations Based upon its programs for areawide transportation system improvements for each of the TSIP Areas and upon anticipated future development within each of the TSIP Areas, the Authority shall make recommendations-for appropriate development fee levels for each of the TSIP Areas to the Santa Ana and Tustin city councils which each .agrees to adopt. The development fee program adopted by each party shall include provisions recommended by the Authority t'o ensure automatic adjustments upward in the fee schedule to reflect the California Construction Price Index. All fees shall be paid prior to or at the time of issuance of the first building permit for a project. D. If either party determines that the construction of certain areawide traffic improvement projects is necessary or desirable as a prerequisite for a development within its jurisdiction, it may require the construction, or payment to that City for ~he construction, of said improvements. The determination as to whether said traffic improvement projects will be eligible for reimbursement shall be det'ermined by the Authority pursuant to the Transportation System Improvement Program and recommended initial fee program. E. Upon its determination that immediate construction of a certain traffic improvement is necessary or desirable, either party may cause the traffic improvement project to be constructed by the party or by a developer and if and at-such time such traffic improvement project qualifies as'an~ eligibte~proj.ect under the Transportation System ImprOvemenf2~Ogram the-party developer shall be entitled to full or partial"reimbursement by 15 the Authority for .e cost of such traffic im~ ~vement. F. Based upon its adopted programs for'transportation system improvements for each of the TSIP Areas -and upon anticipated future development within each of the TSIP Areas, the Authority shall annually review and establish appropriate development fee levels for each of the TSIP Areas and shall request modifications to the fee program which each party agrees it will adopt. G. Neither party to this Agreement shall allow a developer to off-set against its development fee obligations the cost of public improvements constructed by such developer unless the · Authority approves such off-set or unless such off-set conforms to such rules as the Authority may approve with regard to off- sets generally. Any off-set allowed in violation of this. subsection shall be deemed a special exemption or reduction subject to subsection (8) above. ~. Consultant AGreements . The governing board may approve contracts on behalf of the Authority to obtain the services of professional consultants to assist the Authority in the exercise of the abovesaid powers. Payments pursuant to any such contract shall be an authorized expenditure of Authority money. Alternatively, the governing board may authorize transfer of Authority money to either party hereto to pay for the cost of such Consultant Agreements. i. Bonds and Notes The Authority shall also have the power to'issue, se~and deliVer, in accordance with the provisions of the~-Act, (i)' bonds 16 tO provide funds the acquisition, constrf '~n~d~'fi~%n6~g~ of one or more traffic improvement projects; (ii) refunding bonds · for the purpose of redeeming or retiring any bon'ds issued by the authority and any other indebtedness incurred by the Authority; and (iii) notes for the purpose of providing temporary financing of the costs of constrUction or acquisition of traffic improvement projects. The terms and conditions of the issuance of any such bonds or notes shall be set forth in a resolution, indenture or other instrument, shall include such security provisions and shall specify such source or sources of payment, as in accordance with the law and as shall be determined by the governing board. J Incidental Powers The Authority, by and through its governin~ board, is hereby authorized, in its own name, 'to do all acts necessary, convenient or appropriate for the purposes set forth hereinabove. 5. Exchanqe of Information On Development Pro3ects Each party to this Agreement shall keep the Other party and the Authority informed of development projects located within its portion of each of the TSIP Areas or located in such areas in the vicinity of the TSIP Areas as to which the other party may : - . request such information. Such information shall extend to and include proposals for development or redevelopment of any site, whether such proposal is being processed -through -'city or redevelopment agency procedures. The pfi~y ~fOcus~ offishe information provided shall be the 'size, sc~pe~' and'type of the 17 development as n ssary to project its ~ ~ible vehicular traffic generation. However, any information'requested from'the party in whose jurisdiction the development project is located by the other party shall be provided to such other party to the extent it is available, except that information which is not a matter of public record and which requires confidentiality in order to preserve a party's position in the negotiation of contracts with third parties or with regard to litigation against third parties need not be disclosed. However, if it is necessary for the Authority to assess traffic and parking impacts of any such development, all parties are entitled to be provided an estimate of traffic and parking impacts from any such developments in order to permit the Authority to implement its duties and functions pursuant to this Agreement. The governing board of the Authority may establish ru%es for · the regular exchange of information on development projects, including regular meetings between appropr%ate staff members of both'parties and regular reports to the governing body. 6. Resolution of Future Dispute During the term of this Agreement, each party agrees to act in good faith to amicably and expeditiously resolve any dispute with the other party, or the members of the city council of the other party, or any officers 'of the other party, or a redevelopment agency of the other party or the. members or . officers thereof, involving the approval of any contract, permit, license or entitlement of use for any develOpment project or · · · development plan or regulation located withinr-bhe i'te~ritorial jurisdiction of such other party. 18 As used here~.., "development plan or regulation" includes a general or specific plan or element there'of, a redevelopment plan, a zoning ordinance or regulation, or any amendment thereto. 7. Term This Agreement shall become effective as of the date hereof and shall continue in full force and effect until January 1, 2010, unless sooner terminated as hereinafter provided. This Agreement may be amended or rescinded at any time by mutual consent of the parties, approved by majority vote of their respective city councils. Any amendment to this Agreement shall be in writing. This Agreement may be terminated by a party for substantial breach'hereof by the other party, provided that the nonbreaching party serves the breaching party with written notice of intent to terminate, approved by the city council of the nonbreaching party and stating the facts which constitute the breach.. The breaching party shall have a reasonable period not less than thirty (30) · · days, in which to cure the breach. If, upon expiration of such period, the breach has not been cured, the nonbreaching party'may terminate this Agreement by service of written notice of termination, approved by majority vote of its city council. Upon service of such notice of termination, the rights and obligations of the parties hereunder shall be of no,further force and effect. Upon termination of this Agreement any surplus Agency money shall be returned to the parties hereto in proportion to the ' contributions made by each party over the team"of the Agreement /// 19 8. Notices Notices hereunder shall be sufficient if personally delivered or sent by U.S, Mail, postage prepaid, addressed to the City Manager of the receiving party at the street address of the City Hall of the receiving party. 9. Attorneys' Fees If any action or proceeding at law or in equity is filed by either party to enforce or construe any of the Provisions of this agreement, the prevailing party shall be entitled to an award of reasonable attorneys' fees. 10. The Xerox Centre Pro3ect Reference is hereby made to that certain proposed development project located between First and Fourth Streets on the east side of the Santa Ana Freeway in Santa Ana, to-be developed by Birtcher-Xerox Par%ners ("Xerox Centre"). The parties to this Agreemen~ hereby agree that Santa Ana may allow the Xerox Centre developer to set' off against Developer's development fee obligation, costs incurred by such developer or contributions made to Santa Ana by such developer for the extension of Cabrillo Park Drive between First and Fourth Streets and the improvement of the intersection of First Street and Grand Avenue. It is further agreed that in the event Santa Ana allows any limitation On Developer's development fee obligation other than such set-off rights, Santa Ana shall pay the Authority such amount as the Authority would have received in the absence of such special limitation. 11. First and Fourth Street Projects It.is agreed that the design and engineering work of the 20 additional westbounu lane on First Street fr~,~ Tustin Avenue to the midpoint between the easterly edge of the'P~esently ~eXisting right-of-way of SR-55 and Yorba Street to Tustin Avenue and (b) construction of an additional westbound lane on Irvine Blvd. from Yorba Street to the northbound on-ramp of SR-55 shall be paid for by the Authority and the construction of these projects shall be accorded the highest priority. 12. Severabilit¥ If any section, subsection, sentence, clause or phrase of this Agreement, or the application hereof to the Authority or to either party hereto or to any other person or circumstance, is for any reason held invalid by a court of law, it shall be deemed severable and the validity of the remainder of this Agreement or of the application of such provision to any other person or circumstance, shall not be affected thereby. IN WITNESS WHEREOF, the parties hereto have executed this Agreement the date and year first above written. ATTEST: CITY OF SANTA ANA Janice C. Guy Clerk of the Council APPROVED AS TO FORM: Daniel H. Young Mayor APPROVED AS TO CONTENT: Edward J. Cooper City Attorney Iii iil David N. Ream City Manager (Signatures Continued on Page 22)- 21 ATTEST: CITY OF TUSTIN Mary E. Wynn Clerk of the Council Ursula E. Kennedy Mayor APPROVED AS TO FORM- APPROVED AS TO CONTENT- James G. Rourke City Attorney William A. Hus~on City Manager JGR'rr'R'lO/23/89(1788f) 22 ,SAN I A ANA/ ~ U,.% I IN JOINT POWFR--:::-'AGRE:MENT-' NORTH NOT TO SCALE TRANSPORTATION SYSTEM IMPROVEMENT PROGRAM (TStP) BEN.EFiT AREAS ":"' . EXT.-:.-.: ~ z r A EXHIBIT "B" DEVELOPMENT AGREEMENTS 1. Development Agreement dated October 17, 1985 between the City of Santa Ana and Santa Fe L'and Improvement Company 2. The East Tustin Development Agreement between the City of Tustin and the Irvine Company dated December 3, 1986 EXHIBIT "B" DEVELOPMENT AGREEMENTS