2021/06/18 KB Home Coastal, Inc. TR 29835-2-3, IP 18-051 Construction of Recycled Water System ImprovementsAGREEMENT
FOR THE CONSTRUCTION OF RECYCLED WATER SYSTEM IMPROVEMENTS
UNDERWOOD TRACT NO. 29835.2.3, IMPROVEMENT PLAN IP18-051
This Agreement for Construction of Recycled Water System lmprovements ("Agreement") is made andentered into by and between the City of Menifee, State of California, hereinafler called City, and KB Home
Coastal lnc., hereinafter called Developer.
WITNESSETH:
FIRST: Developer, as part of the City's consideration of the lmprovement Plans known as lP18-OSl ,hereby agrees, at Developer's own cost and expense, to furnish all labor, equipment and materials necess-ary
to perform and complete, within Seven Hundred and Thirtv Davs from the date this Agreement is executed,inagoodandworkmanlikeman@yStem,completewitFallnecessarypipes,
valves, fire hydrants, connections and appurtenances necessary to the satisfactory operatlon of saiddistribution system, and further, to extend main or mains from the existing supply system maintained and
operated by Eastern Municipal Water District, to connect with the distribulion system described above with
all pipe laid at such a depth as to provide a fully-thirty six inch (36") minimum cover from the top of the pipe tostreet grade, unless otherwise specrfied by the Public Works Director / City Engineer, office of the City of
Menifee's Public Works / Engineering Department, and do all work incidental thereto in accordance with the
standards set forth in City-adopted ordinances and City Standards and Specifications, as amended, or its
successor, which are hereby expressly made a part of this Agreement. All the above required work shall bedone under the inspection of and to the satisfaction of the Public Works Director / City Engineer, and shall not
be deemed complete until approved and accepted in writing as complete by the Public Works Director / City
Engineer. Developer further agrees to marntain the above required improvements for a period of one year
following acceptance by the City, and during this one year period to repair or replace, to the satisfaction of the
Public Works Director / City Engineer, any defective work or labor done or defective materials furnished.
Developer further agrees that all underground improvements covered by this Agreement shall be completed
prior to the paving of any roadway. The estimated cost of said work and rmprovements is the sum of Two
Million Six Hundred Sixtv Eiqht Thousand Five Hundred and no/l00 Dollars $ 2.668 ,500.00 ("Estimatedost"). Prior to commencing any work, Developer shall, at its sole cost, expense, and liability, obtain all
necessary permits and licenses and give all necessary and incidental notices required for the lawful
construction of the work and performance of Developer's obligations under this Agreement. Developer shall
conduct the work in full compliance with the regulations, rules, and other requirements contained in any permit
or license issued to Developer.
SECOND: Developer agrees to pay to City the actual cost of such inspectrons of the work and
improvements as may be required by the Public Works Director / City Engineer. Developer shall, at its sole
cost, expense and liability, pay all fees, charges, and taxes arising out of construction of the work performed
pursuant to this Agreement, including, but not limited to fees for checking, filing, and processing of
improvement plans and specifications and for inspecting the construction of said work. These fees must be
paid in full prior to approval of the final map and improvement plans, unless such fees have not yet been
assessed and are not yet due and payable. The fees referred to the above are not necessarily the only City
fees, charges, or other cost that have been or will be imposed on lhe subdivision and its development, and this
Agreement shall in no way exonerate or relieve Developer from paying such other applicable fees, charges
and/or cost. Developer further agrees that, if suit is brought upon this Agreement or any bond guaranteeing
the completron of the road and drainage improvements, all costs and reasonable expenses and fees incurred
by City in successfully enforcing such obligations shall be paid by Developer, including reasonable atlorney's
fees, and that, upon entry ofjudgment, all such costs, expenses and fees shall be taxed as costs and included
in any ludgment rendered. Developer, not the City, shall be legally responsible for making any payment and/or
taking any action required by any suchjudgment.
THIRD: City shall not, nor shall any officer or employee of City, be liable or responsible for any accident,
loss, injury, or damage happening or occurring to the works specified in this agreement prior to the completion
and acceptance thereof, nor shall City or any officer or employee thereof, be liable for any persons or property
DocuSign Envelope ID: 79C6A13D-CA9F-42FA-96FA-668AF8F9C774
injured or damage by reason of the nature of the work, or by reason of the acts or omissions of Developer, its
agents or employees, in the performance of the work, and all or said liabilities are assumed by Developer.
Developer shall defend, indemnify, and hold harmless City, its elected officials, officers, employees, agents,and volunteers from any and all actual or alleged claims, demands, causes of action, liability, loss,
administrative action of any federal, state, or local government body or agency, arising out of or incident to anyacts, omissions, negligence, or willful mrsconduct of Developet its personnel, employees, agents, or
contractors in connection with or ansing out of construction or maintenance of the work contemplated under
this Agreement, or performance of this Agreement. This indemnification includes, without limitation, the
payment of all penalties, fines, judgments, awards, decrees, attorneys' fees, and related costs or expenses,
and the reimbursement of City, its elected officials, officers, employees, and/or agents for all legal expenses,
and cost incurred by each of them. This indemnification excludes only such portion of any claim, demand,
cause of action, liability, loss, damage, penalty, fine, or inlury, to property or persons, including wrongful death,
which is caused by the negligence or willful misconduct of City as determined by a court or administration body
of competent jurisdlction. Developer's obligation to indemnify shall survive the expiration or termination of this
Agreement, and shall not be restricted to insurance proceeds, if any, received by City, its elected officials,
officers, employees, agents, or volunteers.
FOURTH: The Developer hereby grants to City, or any agent or employee of City, the irrevocable
permission to enter without any additional consent upon the lands of the subject land division for the purpose
of completing the improvements. This permission shall terminate in the event that Developer has completedwork within the time specified or any extension thereof granted by the City. Under such circumstances,
Developer shall be responsible for any and all expenses, costs, liabilities, and fees (including attorneys'feesand litigation cost) ("Completion Costs") incurred by the City in connation with ensuring that the work
contemplated by this Agreement. Developer shall remit such completion Costs to the City no more than thirty(30) days of the date that the City notifies Developer of such Completions Cost. Failure to remit the
Completron Costs in a timely matter shall result in the City having the right to invoke any remedy provided by
law including the encumbrance of the any property owned by Developer in the amount equal to any unpaid
Completion Cost.
FIFTH. The Developer shall provide adequate notice and warning to the traveling public of each and
every hazardous or dangerous condition caused or created by the construction of the works of improvement at
all times up to the completion and formal acceptance of the works of improvement. The Developer shall protect
all persons from such hazardous or dangerous conditions in compliance with State law regulations and
standards for traffic regulatory control methods, including, but not limited to, stop signs, regulatory signs or
signals, barriers, or detours.
SIXTH. Developer, its agents and employees, shall give written notice to the Public Works Director /
City Engineer at least forty eight (48) hours before beginning any work. Developer shall provide the Public
Works Drrector / City Engineer or his designee reasonable access to facilities for obtaining full information with
respect to the progress and manner of work and shall fully cooperate with any investigatlon regarding the
same.
SEVENTH: lf Developer, its agents or employees, neglects, refuses, or fails to prosecute the work with
such diligence as to insure its completion within the specified time, or within such extensions of time which
have been granted by City, or if Developer violates, neglects, refuses, or fails to perform satisfactorily any of
the provisions of the plans and specifications, Developer shall be in default of this Agreement and notice of
such default shall be served upon Developer. City shall have the power, on recommendation of the Public
Works Director / City Engineer, to terminate all rights of Developer as a result of such default. The
determination by the Public Works Director / City Engineer of the question as to whether any of the terms of
the Agreement or specifications have been violated, or have not been performed satisfactorily, shall be
conclusive upon the Developer, and any and all partres who may have any interest in the Agreement or any
portion thereof. The foregoing provisions of this section shall be in additron to all other rights and remedjes
available to City under this Agreement or the law. The failure of the Developer to commence or complete
construction shall not relieve the Developer or surety from completion of the improvements required by this
Agreement.
DocuSign Envelope ID: 79C6A13D-CA9F-42FA-96FA-668AF8F9C774
NINTH: lt is further agreed by and between the parties hereto, including the surety or sureties on the
bonds secunng this Agreement, that, in the event it is deemed necessary to extend the time of completion of
the work contemplated to be done under this Agreement, extensions of time may be granted in writing, from
time to time, by City, either at lts own option, or upon request of Developer, and such extensions shall in no
way affect the validity of this Agreement or release the surety or suretres on such bonds. Developer further
agrees to maintain the aforesaid bond or bonds in full force and effect during the terms of this Agreement,
including any extensions of time as may be granted therein.
TENTH: lt is understood and agreed by the parties hereto that if any part, term or provision of this
Agreement is by the courts held to be unlawful and vord, the validity of the remaining portions shall not be
affected and the rights and obligations of the parties shall be construed and enforced as if the Agreement did
not contain that particular part, term or provision held to be invalid.
ELEVENTH: This Agreement contains the entire Agreement of the parties as to the matters set forth
herein. No waiver of any term or condition of this Agreement shall be a continuing waiver thereof.
TWELFTH: ln any action or proceeding arising out of this Agreement, or the transactions contemplated
hereby, the prevailing party therein shall be entitled to recover from the other party thereto the reasonable
attorneys' and paralegals' fees, court costs, filing fees, publication cost and other expenses incurred by the
prevailing party in connection therewrth, at trial and all appellate proceedings.
THIRTEENTH: This Agreement may be amended at any time by the mutual consent of the parties by a
written instrument signed by both parties.
FOURTEENTH: The persons executing this Agreement on behalf of the parties hereto warrant that
they are duly authorized to execute this Agreement on behalf of said parties and that, by so executing this
Agreement, the parties hereto are formally bound to the provisions of this Agreement.
SIXTEENTH. Developer shall perform all work contemplated by this Agreement in accordance with all
approved maps, conditions, plans, specifications, standard drawings, and special amendments thereto on frle
with the City, as well as all applicable federal, state, and local laws, ordinances, regulations, codes, standards,
and other requirements. Developer and its contractors, if any, shall perform all work required to construct all
work performed pursuant to this Agreement in a skillful and workmanlike manner, and consistent with the
standards general recognized as being employed by professionals in the same discipline in the State of
EIGHTH: Developer agrees to file with City, prior to the date that this Agreement is executed, both a
good and sufficient improvement security in an amount not less than the Estimated Costs of the work and
improvements for the faithful performance of the terms and condrtions of this Agreement, and good and
sufficient security for payment of labor and materials in accordance with City-adopted ordinances to secure the
claims to which reference is made in Title 15 (commencing with Section 3082) of Part 4 of Division 3 of the
Civil Code of the State of California. Developer agrees to renew each and every said bond or bonds with good
and sufficient sureties or increase the amount of said bonds, or both, within ten (10) days after being notified
by the Public Works Director / City Engineer that the sureties or amounts are insufficient. Notwithstanding any
other provisions herein, if Developer fails to take such action as is necessary to comply with said notice,
Developer shall be in default of this Agreement unless all required improvements are completed within ninety
(90) days of the date on which the Public Works Director / City Engineer notified Developer of the insufficaency
of the security or the amount of the bonds or both.
FIFTEENTH: Developer shall not assign, hypothecate, or transfer, either directly or by operation of law,
this Agreement or any interest herein without prior written consent of City. Any attempt to do so shall be null
and void, and any assignee, hypothecate, or transferee shall acquire no right or interest by reason of such
attempted assignment, hypothecate, or transfer. Unless specifically stated to the contrary in City's written
consent, any assignment, hypothecation, or transfer shall not release or discharge Developer from any duty or
responsibility under this Agreement. ln the event that City consents in writing with such an assjgnment, any
assignee, hypothecate, or transferee shall expressly assume Developer's obligations hereunder by a written
agreement in a form, and containing such surety, as is reasonably acceptable to City.
DocuSign Envelope ID: 79C6A13D-CA9F-42FA-96FA-668AF8F9C774
California. Developer represents and maintains that it or its contractors shall be skilled in the professional
calling necessary to perform the work. Developer warrants that all of lts employees and contractors shall have
sufficient skill and experience to perform the work assigned to them, and that they shall have all licenses,
permits, qualifications, and approvals shall maintained throughout the term of this Agreement.
The agreement, hypothecation, or transfer shall be to the satisfaction of the City Attorney and shall
include provisions requiring the assignee to post bonds or submit another form of financial security, satisfactory
to City and approved by the City Attorney, to guarantee construction of the work covered by this Agreement.
The Agreement shall survive the recordation of the Final Map and shall be recorded against each of theproposed lots to inform successors and assigns of the required work covered by this Agreement to be
constructed and their time frame for construction. Following any permitted assignment, hypothecation, or
transfer of the work covered by thls Agreement, as set forth in this Section, City shall release Developer from
its obligations so assigned and shall release to Developer any bonds or other security posted to secure thework covered by this Agreement so assigned; provided, however, that City shall not release any security or
undertakings given to secure the performance of any of the work covered by this Agreement not assigned,
hypothecated, or transferred.
SEVENTEENTH: This agreement may be executed by the parties in counterparts, which counterparts
shall be conslrued together and have the same effect as if all of the parties had executed the same
instruments.
EIGHTEENTH: This Agreement is to be governed by the laws of the State of California.
NINETEENTH: Any notice or notices required or permitted to be given pursuant to this Agreement shall
be served on the other party by mail, postage prepaid, at the following addresses:
SXv Developer
City of Menifee
29844 Haun Road
Menifee, CA 92586
KB Home Coastal lnc.,
363'10 lnland Valley Drive
Wildomar, CA 92595
TWENTIETH: City's failure to insist upon strict compliance with any provision of this
Agreement or to exercise any right or privilege provided herein, or City's waiver of any breach of this
Agreement, shall not relieve Developer of any of its obligations under this Agreement, whether of the
same or similar type. The foregoing shall be true whether City's actions are intentional or
unintentional.
TWENry-FIRST: Each and all of the covenants and conditions shall be binding on and shall
inure to the benefit of the parties, and their successors, heirs, personal representatives, or assigns.
This Section shall not be construed as an authorization for any Party to assign any right or obligation
DocuSign Envelope ID: 79C6A13D-CA9F-42FA-96FA-668AF8F9C774
lN WITNESS WHEREOF, Landowner has afiixed his name, address and seal
Dated:2020 By: KB Home Coastal lnc.,
Its Manager
Dated.
CITY OF MENIFEE
,2020
Vev.retl Lrlt (O Yfl-l D)fec tSt, firrurO r'>\onn,l.3
CITY OF MENIFEE
By
Yolanda, Macalalad, City Engineer
APPROVED AS TO FORM
Bill Zimmerman, Mayor
ATTEST:
By
By By:
Sarah Manwaring, City Clerk Jeffery T. Melching, City Attorney
SIGNATURES OF DEVELOPER MUST BE ACKNOWLEDGED BY NOTARY
AND EXECUTED IN TRIPLICATE
DocuSign Envelope ID: 79C6A13D-CA9F-42FA-96FA-668AF8F9C774
6/18/21_____6/18/2021
CALIFORNIA ALL.PURPOSE ACKNOWLEDGMENT
A notary public or other officer completing this certificate verifies only the identity of the individual
who signed the document, to which this certificate is attached, and not the truthfulness, accuracy,
or validi of that document.
State of California
County of Riverside
On Auo24.2020 before me, Shannon Luebs, Notary Public, personally
appeared Vernell Williams, who proved to me on the basis of satisfactory
evidence to be the person(s) whose name(s) is/a+e subscribed to the
within instrument and acknowledged to me that he/sheAhey executed the
same in his/her/their authorized capacity(ies), and that by his/he#the*
signature(s) on the instrument the person(s), or the entity upon behalf of
which the person(s) acted, executed the instrument.
I certify under PENALTY OF PERJURY under the laws of the State of
California that the foregoing paragraph is true and correct.
WITNESS my hand and official seal
SHANTION I-UE8S
liolary Publc - C-aidom a
RNesde Co!.!
Commrssro.r t 22093![t Coom Erge6Aug 10. m21
Shannon Luebs (SEAL)
DocuSign Envelope ID: 79C6A13D-CA9F-42FA-96FA-668AF8F9C774