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HomeMy WebLinkAbout17 QC OF LA VETA WELL SITE 11-06-07Agenda Item -~---_.: • Reviewed: /~ - " ~ + IAA ~E1 O~ 1 City Manager . ~ - AGEN n ~ ~~~,,~ Finance Director MEETING DATE: NOVEMBER 6, 2007 TO: WILLIAM A. HUSTON, CITY MANAGER FROM: PUBLIC WORKS DEPARTMENT/WATER SERVICES DIVISION 17 SUBJECT: QUITCLAIM OF LA VETA WELL SITE, 17730 LA VETA AVENUE, ORANGE TO MR. & MRS. MICHAEL AND HEIDI DENHERTOG, 508 SOUTH LAURINDA LANE, ORANGE, CA SUMMARY The old La Veta Well has reached the end of its service life and has been destroyed per State of California and City of Orange guidelines. An adjacent neighbor, Mr. & Mrs. Michael and Heidi Denhertog have requested the City to quitclaim this former well site to them. The site is located over an area where the groundwater is high in nitrates and would require significant .treatment. Additionally, the site is not large enough to drill another well, nor can it be reasonably expected to be developed by anyone else except the adjacent property owner. Finally, the cost of an appraisal and right of way agent would exceed the value of the property. It is recommended that the site be quitclaimed to the Denhertog's. RECOMMENDATION It is recommended that the City Council approve the quitclaim and conveyance documents as prepared by the City Attorney for the La Veta Well Site. FISCAL IMPACT A fee of $1,000.00 will be paid to the City by Mr. & Mrs. Michael and Heidi Denhertog to cover the City of Tustin's administrative, legal and document costs associated with preparing and processing the quitclaim/conveyance documents. BACKGROUND La Veta Well is located within the City of Orange at 17730 La Veta, near the corner of La Veta and Laurinda Lane. This shallow well was originally drilled to a depth of 400 by the old Tustin Water Works (TWW) in July 1958 to provide water to the City's system which was conveyed via the Fairhaven Transmission Main. This well was abandoned by TWW in the early 1970's due to high nitrate levels found in the well water. The former well site is approximately 30 feet X 50 feet, and included an above-ground well pump, motor and related piping. The well was destroyed and the equipment removed per California Department of Water Resources (DWR) guidelines, in coordination with the City of Orange within whose jurisdiction the well is located. This work was completed in December 2006. Quitclaim of La Veta Well Site, 17730 La Veta Avenue, Orange to Mr. & Mrs. Michael and Heidi Denhertog, 508 South Laurinda Lane, Orange, Ca November 6, 2007 Page 2 A property owner adjacent to the site, Mr. & Mrs. Michael and Heidi Denhertog has expressed interest in the City's well site. Staff is recommending that the site be quitclaimed to the Denhertog's. It can not be reused because: (1) it is located within the nitrate plume zone and has a history of high nitrate levels; and (2) the site is too small to re-drill a new well, and is no longer connected to the City's water system. A quitclaim and conveyance have been prepared by the City Attorney's Office, and are attached for the Council's consideration. Among its key provisions are that the Denhertog's agree to accept the site "as is," they acknowledge that the site contains remnants of a destroyed well per State of California Resources Agency and City of Orange requirements, and they accept all liability and responsibility for its future use. Tim D. Serle Director of Public Works/City Engineer Fred J. ria Water Services Hager TDS: FA: Quitclaim of LaVeta Well site 11-6-07.doc ~ ~ ~ ~ a~ J ^~ -~ W ~L ~ J N ~ ~ ~ 0 ~ z ~.., - ~ -1~ O d. O O U Cn (~ _N W c~ c~ J Recording requested by and when recorded mail to: THE CITY OF TUSTIN 300 Centennial Way Tustin, California 92780 1 Space Above This Line Reserved for Recorder's Use 2 3 QUITCLAIM DEED 4 5 This QUITCLAIM DEED is made this day of , 2007, by the CITY 6 OF TUSTIN, a municipal corporation duly organized and existing under and by virtue of the 7 laws of the State of California (the "GRANTOR"), in favor of MICHAEL AND HEIDI 8 DENHERTOG, husband and wife, (the "GRANTEE"). 9 to WHEREAS, GRANTOR operated a well on that certain real property described in 11 Exhibit "A" but the well has since been abandoned and destroyed per City of Orange and 12 California Well Standards {Department of Water Resources, Bulletin Nos. 74-90 and 74-81.) 13 14 WHEREAS, GRANTOR desires to convey and GRANTEE desires to acquire all of 15 GRANTOR'S interest in the Site. 16 17 NOW, THEREFORE, the Grantor, for good and valuable consideration, the receipt 18 and sufficiency of which is hereby acknowledged, does hereby remise, release and forever 19 quitclaim to the GRANTEE, all of GRANTOR'S right, title and interest in and to that certain real 20 property, described in Exhibit "A" attached hereto and incorporated herein by this reference (the 21 "Site") as also depicted in Exhibit "B" as the "La Veta Well" (APN 094-535-01). 22 23 1. TOGETHER WITH all existing improvements, if any, presently located on the Site 24 (the Site and existing improvements collectively referred to herein as the "Property"), 2s 26 2. SUBJECT TO THE FOLLOWING NOTICES, COVENANTS, 27 RESTRICTIONS, AND CONDITIONS, which shall be binding upon and enforceable against 28 the Property and GRANTEE, and its successors and assigns, in perpetuity: 29 30 2.1 GRANTEE agrees to accept conveyance of the Property subject to all 31 covenants, conditions, restrictions, easements, rights-of--way, reservations, rights, agreements 32 and encumbrances of record. 33 34 2.2. GRANTEE acknowledges that GRANTEE has examined the Property and 35 is buying the Property from GRANTOR in an "AS IS, WHERE IS, WITH ALL FAULTS" 36 condition, in its present state and condition and with all faults,-which provisions shall survive 37 the termination of this Agreement, if any, related to this transaction and do not merge with this 38 Quitclaim Deed. 39 171302.1 October 29, 2007 553599.1 QUITCLAIM DEED Page 2 1 2.3. GRANTEE acknowledges that the Property contains remnants of a 2 destroyed water well and GRANTEE agrees that it is accepting the Property with the well and 3 shall hereafter own said well and shall use and maintain the Property in a manner consistent 4 with the presence of the destroyed well. 5 6 2.4. GRANTEE agrees to maintain the Property, and all improvements thereon 7 (including the abandoned well), in a good, clean, safe, wholesome, sanitary condition and in 8 compliance with all applicable laws. 9 l0 2.5. GRANTEE hereby waives its right to recover from, and fully and 11 irrevocably releases, and agrees to defend, hold harmless and indemnify the City and its elected 12 and appointed officials, employees, agents, attorneys, affiliates, representatives, contractors, 13 successors and assigns (individually, a "Released Party"; collectively, the "Released Parties") 14 from any and all claims, lawsuits, or other demands for any costs, losses, liabilities, damages, 15 expenses, demands, actions or causes of action: (a) arising from any condition of the Property, 16 known or unknown by GRANTEE, any Releasing Party or any Released Party; (b) arising from 17 any construction or design defects, errors, omissions or other conditions, defects in the design or 18 implementation of the abandonment of the well, latent or otherwise, including environmental 19 matters, lack of suitability of the site for any purpose whether contemplated or not by 20 GRANTOR or GRANTEE, as well as economic and legal conditions on or affecting the 21 Property, or any portion thereof (collectively, "Claims"). The release set forth in this section 22 includes Claims of which the GRANTEE is presently unaware or which the GRANTEE does 23 not presently suspect to exist which, if known by the GRANTEE, would materially affect the 24 GRANTEE ~ s release to the Released Parties. The GRANTEE specifically waives the provision 25 of California Civil Code Section 1542, which provides as follows: 26 27 "A GENERAL RELEASE DOES NOT EXTEND TO CLAIMS WHICH THE 28 CREDITOR DOES NOT KNOW OR SUSPECT TO EXIST IN HIS FAVOR AT 29 THE TIME OF EXECUTING THE RELEASE, WHICH IF KNOWN BY HIM 3o MUST HAVE MATERIALLY AFFECTED HIS SETTLEMENT WITH THE 31 DEBTOR. " 32 33 In this connection and to the extent permitted by law, the GRANTEE hereby agrees, represents 34 and warrants, which representation and warranty shall survive the termination of this Agreement 35 and shall not be merged with the Quitclaim Deed, that the GRANTEE realizes and acknowledges 36 that factual matters now unknown to it may have given or may hereafter give rise to Claims or 37 controversies which are presently unknown, unanticipated and unsuspected, and the GRANTEE 38 further agrees, represents and warrants, which representation and warranty shall survive the 39 termination of this Agreement and not be merged with the Quitclaim Deed, that the waivers and 4o releases herein have been negotiated and agreed upon in light of that realization and that the 41 GRANTEE, on behalf of itself and the other Releasing Parties, nevertheless hereby intends to 42 release, discharge, acquit, hold harmless, and indemnify the Released Parties from any such 43 unknown Claims and controversies which might in any way be included as a material portion of 44 the consideration given to the GRANTOR by the GRANTEE in exchange for the GRANTOR'S 45 performance hereunder. 46 47 THE GRANTOR HAS GIVEN GRANTEE MATERIAL CONCESSIONS REGARDING THIS 48 TRANSACTION IN EXCHANGE FOR GRANTEE AGREEING TO THE PROVISIONS OF 553599.1 QUITCLAIM DEED Page 4 1 2 3 4 5 6 7 8 9 10 11 12 13 EXHIBIT A Property Description The real property in the City of Orange, County of Orange, State of California, described as: The Northerly 80.00 feet of the Westerly 30.00 feet of Lot 9 in Block "C" of the A.B. Chapman Tract as surveyed by GRANK LECOUVREUR in December 1870. EXCEPTING therefrom the Northerly 20.00 feet thereof. Subject to covenants, conditions, reservations, restrictions and rights of way of record. 553599.1 QUITCLAIM DEED Page 3 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 THIS SECTION. BY INITIALIZING BELOW, GRANTEE ACKNOWLEDGES THAT (A) THEY HAVE READ AND FULLY UNDERSTANDS THE PROVISIONS OF THIS SECTION, (B) THEY HAVE HAD THE CHANCE TO ASK QUESTIONS OF ITS COUNSEL ABOUT ITS MEANING AND SIGNIFICANCE, AND (C) THEY HAVE ACCEPTED AND AGREED TO THE TERMS SET FORTH IN THIS SECTION. ~ ~Q GRANT 's INITIALS GRANTEE's INITIALS This release, hold harmless and indemnification shall run with the land for. the benefit of the GRANTOR and burdening the Site and the owners and successor owners thereof and, to further evidence its effectiveness with respect to successor owners of the Site, shall be included in its entirety in the Quitclaim Deed. 3. The terms of this QUITCLAIM DEED, particularly Section 2, are hereby declared by GRANTEE and GRANTOR to be covenants running with the land and enforceable as restrictions and equitable servitudes against the Property, and are hereby declared to be and shall be binding upon the Property and GRANTEE and the successors and assigns of GRANTEE owning all or any portion of the Site. IN WITNESS WHEREOF, the GRANTOR, authorized officials of the CITY OF TUSTIN caused this Quitclaim Deed to be executed on the day first above written. CITY OF TUSTIN Dated: By: CITY MANAGER APPROVED AS TO FORM WOODRUFF, SPRADLIN & SMART By: Douglas Holland, City Attorney ACKNOWLEDGEMENT OF GRANTEE'S COVENANTS TO INDICATE ACKNOWLEDGEMENT AND ACCEPTANCE of this Quitclaim Deed and the covenants and agreements contained in this Quitclaim Deed, GRANTEE has PxP~>>tPrl this rln~nment nn the rate written helOw Dated: ~ ~ By: ICHAEL DENHE G By: '~ ~i'~" ' _" IDI DENHERTOG 553599.1 QUITCLAIM DEED Page 6 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 STATE OF CALIFORNIA ) ss. COUNTY OF ORANGE ) On ~ (~ - a~ -~ ,before me, ~~ , U~ ~.~ , a Notary Public in and for said state, personall ap eared ~ L ~1`(~ Ct C~ ~, ` ~ v~ ,personally known to me {or proved to me on the basis of sa isfactory evidence) to be th erson 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 action, executed the instrument. WITNESS my hand and official seal. ,t. p 110011E . ~ co1M1. ~r~r~o~e ~ NotMtr nNUC c~aa+~- A `""'~~~ ' ~~~ Nota lic i and for said State 553599.1