CONTRACT 4586 Reimbursement AgreementAgreement No. 4586
REIMBURSEMENT AGREEMENT
This Reimbursement Agreement ( "Agreement') is entered into as of, April 16,
2014 by and between the City of El Segundo, a general law city and municipal
corporation ( "City "), and Ocean West Capital Partners, a California LLC ( "Owner "), who
agree as follows:
1. Recitals. This Agreement is made with reference to the following facts and
circumstances:
a. Owner in under contract to purchase real properties generally located at
701 S Aviation Boulevard.
b. Owner is seeking to change the current use of its property from light
industrial to school.
C. In order for Owner to plan such development, City must assign certain
City staff or consultants to complete a public revenue analysis which will
exceed the capacity of the current city staff.
d. City believes it is in the public interest for Owner to pay for such Services.
2. City Reimbursement. City has estimated the costs and expenses of completing the
Services as being approximately $ 7,500 for economic consulting services.
However, the Owner acknowledges that the actual amount of such costs and
expenses may be different. Nonetheless, even though the actual amount of such
4.
costs and expenses may be different, the Owner agrees to reimburse the City for
the full amount of such actual costs and expenses in the manner provided in this
Agreement. Upon completion of the Services, City will provide Owner with an
accounting of those costs and expenses, which accounting the Owner agrees will
be conclusive, in the absence of manifest error. The total of the costs and
expenses, as disclosed by the accounting, is called the "Reimbursement Amount."
3. Method of Reimbursement.
a. Except as provided below, upon execution of this Agreement, Owner
agrees to deposit with City $ 7,500 which represents the estimated
Reimbursement Amount. Should the actual Reimbursement Amount
exceed the Deposit Amount, Owner agrees to promptly pay City any
difference. Should the Reimbursement Amount be less than the Deposit
Amount, City will refund Owner any remaining Deposit Amount to
Owner within thirty (30) days after determining the Reimbursement
Amount.
b. The Deposit Amount will be placed in a non - interest bearing trust account
established by the City Manager. Owner understands and agrees that City
Agreement No. 4586
will not pay interest to Owner on the Deposit Amount and Owner will not
seek such interest payments from City. Costs associated with the Activities
will be charged against the deposit amount.
4. City Administrative Costs. Administrative costs incurred by City, including,
without limitation, staff time, fees and services, must be reimbursed on a time and
materials basis based on current City reimbursement rates. Owner agrees that it
will pay for such costs on a monthly basis within thirty (30) days of receiving an
invoice from City.
5. Owner Default. Should Owner fail to perform any of its obligations under this
Agreement, then City may, at its option, pursue any one or more or all of the
remedies available to it under this Agreement, at law or in equity. Without
limiting any other remedy which may be available to it, if Owner fails to perform
any of its obligations under this Agreement, City may cease performing its
obligations under this Agreement and may bring an action to recover all costs and
expenses incurred by the City in completing the Studies, together with interest
thereon from the date incurred at the rate of 10% per annum.
& Compliance with Law. Owner will, at its sole cost and expense, comply with all
of the requirements of all federal, state, and local authorities now in force, or
which may hereafter be in force, pertaining to this Agreement.
7. Waiver of Breach. Any express or implied waiver of a breach of any term of this
Agreement will not constitute a waiver of any further breach of the same or other
term of this Agreement.
8. Insolvency, Receiver. Either the appointment of a receiver to take possession of
all or substantially all of the assets of Owner, or a general assignment by Owner
for the benefit of creditors, or any action taken or offered by Owner under any
insolvency or bankruptcy action, will constitute a breach of this Agreement by
Owner, and in such event this Agreement will automatically cease and terminate.
9. Notices. Except as otherwise expressly provided by law, all notices or other
communications required or permitted by this Agreement or by law to be served
on or given to either party to this Agreement by the other party will be in writing
and will be deemed served when personally delivered to the party to whom they
are directed, or in lieu of the personal service, upon deposit in the United States
Mail, certified or registered mail, return receipt requested, postage prepaid,
addressed to:
Owner at: Russ Allegrette
Ocean West Capital Partners
350 S. Grand Avenue, Suite 2230
Los Angeles, CA 90071
City at: City of El Segundo
Agreement No. 4586
Attn: City Manager
350 Main Street
El Segundo, CA 90245
Either party may change its address for the purpose of this Section by giving
written notice of the change to the other party.
10. Acceptance of Facsimile Signatures. The Parties agree that agreements ancillary
to this Agreement and related documents to be entered into in connection with
this Agreement will be considered signed when the signature of a party is
delivered by facsimile transmission. Such facsimile signature will be treated in
all respects as having the same effect as an original signature.
11. Governing Law. This Agreement has been made in and will be construed in
accordance with the laws of the State of California, and exclusive venue for any
action involving this Agreement will be in Los Angeles County.
12. Partial Invalidity. Should any provision of this Agreement be held by a court of
competent jurisdiction to be either invalid or unenforceable, the remaining
provisions of this Agreement will remain in effect, unimpaired by the holding.
13. Integration. This instrument and its attachments constitute the sole agreement
between City and Owner respecting the matters above and correctly sets forth the
obligations of City and Owner. Any Agreement or representations respecting the
Property or its licensing by City to Owner not expressly set forth in this
instrument are void.
14. Construction. The language of each part of this Agreement will be construed
simply and according to its fair meaning, and this Agreement will never be
construed either for or against either party.
15. Authority /Modification. The Parties represent and warrant that all necessary action
has been taken by the Parties to authorize the undersigned to execute this
Agreement and to engage in the actions described herein. This Agreement may be
modified by written amendment. City's city manager, or designee, may execute
any such amendment on behalf of City.
16. Counterparts. This Agreement may be executed in any number of counterparts,
each of which will be an original, but all of which together will constitute one
instrument executed on the same date.
Agreement No. 4586
IN WITNESS WHEREOF the parties hereto have executed this contract the day
and year first hereinabove written.
City of El Segundo,
a municipal corporation.
Greg
Manager
ATTEST:
Tracy Weav City Clerk
APPROVED AS TO FORM:
MARK D. HENS ,EY, City Attorney
By:
_ ._ -- - - .........
Karl H. 1 ger'
Assistant City Attorney
Rev 12,'07109
Ocean West Capital Partners,
a California LLC.
Russ Allegrette, 11 a er
[secretary]