HomeMy WebLinkAbout5TH AND MARGUERITE CDM_03_INSURANCE DOCUMENTSTY OF NEWPOR' BEACH
MEMORANDUM: FrOM Administrative Assistant to the
Mr. Robert Wynn City Manager
TO...... City_ ManagerMPMqn ..................................
Subject: CARDEN SCHOOL
.................... Deggmbpr .9.., 18..76.
At your request, I checked with the City Clerk's Office and Bill Brown, and as of
yet, the Carden School principles have not submitted a copy of their insurance policy
or any information thereof to the City as is required in their lease agreement.
RJL:ib
Reply wanted ❑
Reply not necessary ❑
NS-W
By... ..... ..........................
ROBER J.�CONG
we
Carden School
Corona del Mar
December 7, 1976
Mr. Robert Wynn
City Manager
The City of Newport Beach
3300 Newport Blvd
Newport Beach, CA 92663
Dear Mr. Wynn:
JUDITH WILSON, Director
I was naturally interested when rumors came to me that the
Newport Police Department was asked to supply information on
me for the purpose of discrediting me in the upcoming public
hearings on the HUD sponsored senior's center proposal. I
am shocked at your disclosure that indeed you requested a
police inquiry about me in response to a request from a member
of the Community Development Citizens Advisory Committee who
favors the HUD project. Is it standard practice in Newport Beach
for committee members to ask and receive police department
information on citizens who oppose committee projects?
The fact that I have done nothing wrong is beside the point.
A city police department is properly concerned with criminal
behavior, not political behavior. Your utilization of the
resources of the police department for obvious political
purposes has ominous implications indeed.
If I have been accused of some wrong doing the most basic
elements of our judicial system extend to me the right to
hear the accusation and confront my accusers. You refuse to
name my accuser.
If,'on the other hand, as you say, I have not been accused of
any 'wrong doing, but that you are simply investigating a
rumor at the behest of one of my political adversaries, then
by what power of authority did you extend the investigation
to include involvement of the police authorities? What a
sorry use of our outstanding police department!
3300 Fifth Avenue • Corona Del Mar, California 92625 • (714) 640-4181
Mr. Robert Wynn, 12-7-76, page 2
The integrity of your office demands a full public disclosure
of this affair.. What is the nature of the rumors leveled against
me? Who brought these rumors to your attention and demanded
an inquiry? To what purpose would any information derived
from the inquiry be put? What was the result of your investigation?
I also believe your actions warrant an apology both to me
and Mrs. Wilson.
Yours truly,
Jo9D). Wilson
JA
S
.Y
Keep The Peace
-TE AND TIME OCCURRED
8/1/75 0600
• NEWPORT BEACH POLICE DEPARIIJENT
EMPLOYEE'S REPORT
5th/Marguerite
5th/Marguerite
1*1
REPORTING DISTRICT
Day Center 1 48
IUI (RANK. NAME, ASSIGNMENT, DIVISION) 047E A"Z TIME RE/ORTEP
Captain W. Connolly, Commander, Patrol Division 1 12/10/76 1030
LS
On 8/1/75, I was assigned to uniform patrol, Watch I, Unit 144. At approximately 0600
hours, I received instructions to meet with and accompany Reserve Officer John Wilson
to the Day Care Center at 5th/Marguerite where I was to keep the peace while he inspected
the premises. I received my instructions from a supervisor. I can not recall if it was
Watch Commander Sgt. Miller or my Field Supervisor, Sgt. Chandler. I was informed that
Mr. Wilson and his wife had leased the property from the City of Newport Beach.
I met Mr. Wilson at the front door of the building. It was daylight. He had some
papers in his hand which he extended towards me for my inspection. I informed him
that that was not necessary as I had already received my instructions and that they
were to stand by and keep the peace only.
Mr. Wilson knocked on the front door and front windows. There was no response. The
building appeared unoccupied. Mr. Wilson went to the rear of the building. He then
appeared on the inside of the front entrance. He informed me that he had gained
entrance via an open, unlocked, rear window.
A M/W/16-19 yrs, was present in the building. He stated that he had been sleeping in
the building as a form of watchman. I vertfied his identity.
Mr. Wilson proceeded to inspect the premises. The M/W (whose identity I no longer
recall) made a phone call and then started gathering his articles.
There was no peace disturbance. I informed both parties that I was leaving. I
cleared the scene at approximately 0630 hours. I did not return to the Day Center.
Approximately one (1) hour later, I handled an unrelated public assist across the
street in the 700 block of Marguerite.
On 12/10/76 at 0930 hours, John Wilson called me at home and asked if I had submitted
a 1115.711 in regards to the incident. I informed him that one had not been requested
of me as yet.
APPROVING
SAOGE NO.
SADOE NO
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NEWPORT BEACH POLICE DEPARTMENT
DAILY FIELD ACTIVITIES REPORT
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SUPERVISOR APPROVING
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PAGE
FORM, 15.1 (DEC. 1968)
•NEWPORT BEACH POLICE DEPARrOWNT
EMPLOYEE'S REPORT
SUBJECT
INFORMATION
DATE AND TIME OCCURRED
LOCATION OF OCCURRENCE
REPORTING DISTRICT
12/6/76 1500
Police Department
99
T01 (RAM%. NAME. ASSIGNMENT. DIVISION)
047E ANO TRIPE REPORTED
Chief B. James Glavas
12/7/76 1100
DETAILS
Sir: .
On 12/6/76 at approximately 1500 hrs. Reserve Officer John Wilson entered my office
for the purpose of a casual conversation. He had just concluded
jogging at the
Police facility.. As we conversed on random subjects, Wilson observed a handwritten_
note on my desk with the name of "Carden Hall" on it. This note
had been written by
me as a reminder to do some research for Bob Long.
Wilson then asked.what was going on at Carden School. I responded that.Bob Long had
called, asking me to find out who the officer'was that had stood
by during the evic-
tion of the prior tenants at Carden School. At that statement Wilson expressed sur-
prise and questioned the reason for this information. I replied
that I had no idea.
Wilson then suggested that the former tenants might be suing the
City and that might
be the reason for the inquiry. Wilson then proceeded to tell me
the entire story of
his encounters with the prior tenants of Carden'School.
Upon conclusion of the story, Wilson left my office and I had no
further contact with
him.
Respectfully, "
SUPERVISOR APPROVING BADGE N0.
EMPLOYE£(
DADG[ MO (7)•
cREPONTIMB
E. V \(7�y�-'
Costelow, J. "
#124
DATE AND TIME REPRODUCED AND DISTRIBUTED CLERK
CITY OF NEWPORT BEACH
OFFICE OF THE CITY MANAGER
November 30, 1976
TO: CITY MANAGER
FROM: Administrative Assistant to the City Manager
SUBJECT: 5TH AND MARGUERITE LEASE
The following is in response to the two questions you had regarding the City's
lease of the 5th and Marguerite property:
Question 1. Did the City advertise for public bids prior to
leasing the 5th and Marguerite property to Carden Schools of
Corona del Mar?
Answer: No, prior to the purchase of the 5th and Marguerite
site from the State of California, the City received con-
siderable publicity: As a direct result of this publicity,.
the City Manager's Office received several inquiries from
representatives of private schools (Carden School of Corona
del Mar, Montessori School, American Preschool, and the
Newport Riviera School). In that each of these parties
had the right to submit proposals to the City Council,
staff sent out letters to each of these schools asking
that they answer certain pertinent questions in their
proposals, in an attempt to get some conformity among the
proposals. Upon receiving these proposals, staff sent the
attached report (Exhibit 1) to Council which summarized
their proposals. Staff also informed Council in this report
that if it was their desire to lease the 5th and Marguerite
property for an interim term, that they had the option of
accepting any one of the attached proposals or the option
of "putting this lease out for public bid." Council chose
to lease the 5th and Marguerite site to the Carden School,
whose proposal offered to pay the highest rent to the City.
Question 2. Was the Carden School allowed any deductions
from their monthly payments to the City? If so, why? Also,
give a detailed account of the monies paid to the City by
the Carden School.
Answer: The Carden School was allowed to deduct certain
expenses in rental fees which were required for the removal
and storage of a considerable amount of property left by
the previous tenant. When the City entered into an
agreement with the Carden School for the lease of the 5th
and Marguerite facilities, the previous tenant, Newport
Riviera School was given the proper notice to vacate
CITY MANAGER
Subj: 5th and Marguerite Lease
Page - 2 .11/30/76
within 30 days. However, at the time when the new tenant
was due to move in, the previous tenant had made no effort
to remove their property. The City Attorney's Office asked
the new tenant (Carden School) if they would store the said.
property for a period of 30 days in one of the buildings at
this site, which they agreed to do. During this time, the
Attorney's Office made several attempts to have the previous
tenant remove their property. They had little success, and
on. September 5, 1975 the City Attorney's Office received
the attached letter (Exhibit 2) from Mr. Wilson of Carden
School, stating that they will cause the property of the
previous tenant to be removed from their premises and
relocated to the City Yard in three Dewey storage bins,
and that they will deduct the cost of this action from
their payments to the City. Because of the legal problems
with the previous tenant, the City Attorney's Office agreed
that this was a proper action. Therefore, during the past
year, Carden School has been making monthly deductions from
their payments to the City for the storage of this property
at the City Yard. During this time, the City Attorney's
Office was negotiating with the previous tenant to have her
pick up her property, which was finally accomplished in
October, 1976.
The total deduction that the Carden School has taken for
this expense from September, 1975 through November, 1976
was $2,561.86 (this expense has been verified). Attached
(Exhibit 3) is the Carden School's payment record to the
City (August, 1975 through November, 1976) which shows
a gross payment to the City of $31,875 minus the
deduction of $2,561.86 for a total net payment to the
City of $29,313.14.
Conclusion: In addition to the above information, the following are some
observations regarding the Carden School:
April 9, 1975: The City received the attached letter (Exhibit 4)
stating that the Carden School was interested in leasing the 5th and
Marguerite facility on an "interim basis." They acknowledged their
understanding that the "City will eventually develop this property
for public use." The Carden School also stated that they "are
currently planning the development of a permanent school facility.
It would likely be possible for us to synchronize our plans with
those of the City to insure optimal land utilization and rent
income during the City's planning and funding cycle. We can
arrange to leave when the City is ready to build."
CITY MANAGER
Subj: 5th and Marguerite Lease
Page - 3 11/30/76
April 14, 1975: The City received the attached proposal (Exhibit 5)
from Mr. Wilson. It is interesting to note that throughout the
Carden School's proposal they emphatically state that their use of
the 5th and Marguerite site was on a "temporary basis" realizing
that the City "will ultimately develop this property for public
use." They also state in their proposal that they are actively
pursuing another permanent site with the Irvine Company and would
only need " a temporary facility for the next two to four years."
The Carden School is currently in the second year of their lease
with the City for the 5th and Marguerite property.
May 22, 1975: The attached letter (Exhibit 6) was sent to
Mr. Wilson along with a report to the City Council (see Exhibit 1)
which clearly states that the eventual use of the 5th and Marguerite
property will be for a senior citizens facility, and that if Council
were to lease this property it would be "on a year-to-year basis until
such time as funds became available to construct the senior citizens
facility."
November 5, 1975: The City Attorney received a letter from Mrs. Levin,
the Attorney for Mrs. DesBrisay, who was the previous tenant at the 5th
and Marguerite property. In this letter it states that the current
tenant, Carden School, treated her "shabbily" and illegally confiscated
her belongings. (Exhibit 7)
It should also be noted that in the lease agreement signed by the City
and Carden School it clearly states that the term of the lease is on a
year-to-year basis, and can be cancelled unilaterally at anytime with a
90 day prior written notice by either party and that the City is not
bound, or obligated to renew this lease.
SOL/� ROBERT J. LNG
RJL:ib
Attachments (Exhibits i - 6)
• CITY OF NEWPORT BEACH •
OFFICE OF THE CITY MANAGER
May 27, 1975
Study Session Item 11
TO: MAYOR AND MEMBERS OF THE CITY COUNCIL
FROM: Administrative Assistant to the City Manager
SUBJECT: LEASE OF 5th AND MARGUERITE PROPERTY
In late April, 1975, the City took title to the property commonly known .
as 5th and Marguerite from the State of California (Parcel No. 041339-01-011.
Included in this purchase is a school facility consisting of an administra-
tion building and two classrooms located on approximately three acres (Fig. 1).
This facility is currently under lease to the Newport -Rivera Early_Achievement
Center until July 31, 1975._ The City Council has indicated that (%hie
eventq I use.of this, propert�wi1] ,b-o for -a seni6"r` citiieris facility.
In the interim period, staff believes it would be beneficial_ for the City
tp-'lease this: property- on a year=to-yea• tiasi9, until such_ time�as fu_n_d's
become avairlable•-to,-construct the-seniar citizens; faQt ity.
On April 28, 1975, a request for a proposal was sent to parties who have
shown an interest in leasing the school facility. These parties include John
D. Wilson of Carden Schools of Corona del Mar, William C. Carlberg, President
of the Montessori Schools of Newport Beach, and Ms. M. L. DesBrisay of the
Newport -Rivera Early Achievement Center. We have received proposals from•
all three of these parties. Attached is a bid comparison stating the questions
asked each of the parties and their responses. In reviewing each of these
proposals, they appear to be basically the same except for the monthly rental
and the upkeep of the property. The following is the monthly rental which
each of the parties have indicated they would pay the City:
1.
The Carden School -
$1875
per
month
2.
Montessori School -
$1200
per
month
3.
Newport -Rivera School
$1185
per
month
Both the Carden School of Corona del Mar and the Montessori School of Newport
Beach have indicated that they will perform extensive repairs to improve the
property.
On May 19, 1975, the Community Development's Building Department conducted
a cursory inspection of the school's facilities. They.have _concluded that the
general condition of the structure appears to be in a sound condition with the
exception of eleven items (report attached). This information was not avail-
able in time for each of the above parties to review. Because of this,! ` qci -
lnay_,want t4 cor�s.ider putting this -lease -out: -far- publi.C`Ud:-, However, rif —
Courre . wishes, to accept one of the three bids wfiich have_been_sulr tted;_ hie
Ciajp'¢�i�incrl: mad legally da so
ROBERT J. LONG
RJL:pg
Attachments EMBIT 1
SHOULDER
NORTH BLDG.
(FENCED AREA)
• I'-SOUTk- BLDG.
(GRADED LOT)
5th STREET
SCHEMATIC OF PROPERTY AND IMPROVEMENTS
ASPHALT
L_
FENCE
I
6 BID COMPARISON •
1. What portion of the 5th Avenue facility would your organization want
to lease?
Carden - The entire school facility.
Montessori - The entire school facility.
Newport -Rivera - The entire school facility.
2. How much money would your organization be willing to pay the City on a
monthly basis for the use of this property?
Carden - $1875 per month
Montessori - $1200 per month
—,Newport-Rivera - $1185 per month =
3. How much of the total cost to operate and maintain the building and land-
scaping the area is your organization willing to pay?
Carden - Will paint the building, weed and landscape the area, re-establish
the p aying field, and be responsible for all utilities.
Montessori - Will be responsible for all utilities, landscaping, and
genera upkeep.
Newport -Rivera - Stated they are currently assuming maintenance and land-
scaping upkeep and would be willing to continue.
4. What portion of the total cost is your organization willing to assume to
get this property back into satisfactory condition?
Carden - Will take care of plumbing repairs and all other repairs which
are needed to bring this building back into satisfactory condition.
Montessori - States that their school is willing to perform rehabilitative
services to the property. However, the size and scope of these services
is directly related to the term of the above lease.
If the one year term is firm, they will perform the following:
(a) General yard maintenance and new landscaping in front of building
and in play area.
(b) Paint exterior trim.
(c) General janitorial cleanup and repaint interior on a selected basis.
� T ,
• - 2 •!
Should the terms of the lease be negotiated two or three years, with
options to renew - or some satisfactory clause in the lease offering
first right of refusal each year, they would offer the following:
(a) General year reconditioning and landscaping.
(1) planting according to a landscape plan to be submitted
on the slope in the front of the building and around the
exterior of the building.
(2) new shrubs and flowers along the front of the building and
by the steps leading to the entrance.
(3) new trees along chain link fence in the rear of the play area.
(4) complete renovation of the southeast side (along 5th St.)
and replanting ground cover.
(5) construct a -masonry wall and parking'lot (6-8 cars) with
access from the drive entrance off 5th St. Insta•11 appro-
priate landscaping.
(b) Paint exterior walls and trim (color scheme to be submitted).
(c) Paint interior walls and resurface where needed.
(d) Repair and recondition rugs in classroom.
(e) Remove inferior and hazardous play equipment. Design, construct
and maintain a suitable play area and equipment.
Newport -Rivera - Will be willing to assume all above ground costs for
plumbing and would assume cost of keeping the trim painted.
5. Would your organization be willing to pay any property taxes assessed as
a result of the temporary private use of public lands?
Carden - Liable for all property taxes.
Montessori - Their school would be willing to contribute according to
percentage of square footage used against any property taxes assessed
with some dollar limit as a function of total rent payable.
Newport -Rivera - Is willing to insure the property as per the State re-
quirements.
6. Would your organization be prepared to meet all insurance requirements
of the City for the use of this property?
0 - s
Carden - Their school is prepared to meet all insurance requirements of
the City for the use of this property as a school.
Montessori - Their school would be willing to provide liability insurance
naming the City as an "also insured" and provide all risk coverage for
fire, theft, vandalism. This would include fire insurance for the
replacement of the building to the City's benefit.
Newport -Rivera - They are willing to insure the property as per the State
requirements.
7. How many students utilize your school at the present time and how many
students do you anticipate enrolled for the 1975-76 school year?
Carden - Approximately 35 at present and approximately 100 for next year.
Montessori.- Does not have a current enrollment. They are anticipating
60 to 80 students initially if they obtain this site.
N_ew_port�Rivgaa - At present time they have 73 students and hope to enroll
more s tudents for the fall.
8. Would you have any other plans for the use of this facility?
Carden - No other plans.
Montessori - We would use this site as an observation vehicle for students
from our State accredited graduate school of education. Lectures for
these students and the community would be held at this site in the areas
of Montessori education, child development, and early childhood education.
Newport -Rivera - Child care center
9. Miscellaneous comments.
Carden - Benefits to the City:
1. Revenue - the school will utilize approximately one-half of the
gross acreage being purchased from the State. In return, the
school will provide the City with an annual return on the full
purchase price of five percent (5%). The City will thus realize
a return equivalent to a typical demand savings deposit while
the school utilizes the property.
2. %?chronization with the City s plans - the proposed term and can-
cellation wig allow the City freedom to adjust-their_pfanning_
_. and funding cycle for the property, to. future reality while in-
suring rental income until development is physicallj_5 gun.
3. Upgraded appearance - the property is severly run down at this
time. The school's tenure under this proposal would result in
an upgraded appearance of the property at no cost to the City.
4. Inhanced image - the school offers a quality product which is
readily recognized as such by many people. This quality is re-
flected by the demand for enrollment space in the school. As
a growing, successful and respected enterprise, the school will
help raise the image of the surrounding area.
5. Extended utilization - the school's present enrollment waiting list
will at least doub a the number of students which presently use
the facility. The intended end "public"•use of the property
is more in concert with an interim "private" use which extends
the use to a large number of populace than is a course of letting
the property lie fallow or continue under a marginal caretaker
operation.
Montessori - There is substantial benefit to the City with a year's lease
with option to renew for a second year negotiable and/or lease tenets
included to protect our interests by first right of refusal.
Newport
-Rivera = I leased this property from the State because I felt
that the Corona del Mar area had a very real need for the services of
our Early Achievement Center. We have tried very hard to meet the needs
of the community both for the working mother and mothers who need to
be free to join community projects, self improvement, and the like.
We have worked very hard to make our school a credit to the community.
Regarding maintenance; we have painted inside many classrooms. Also,
the outside trim has been painted as we felt the need arise. We have
consciously maintained and improved the grounds and a1.1 "above ground"
plumbing. The administration building has been improved by the addi-
tion at our cost of kitchen facilities. We also carpeted classrooms
and added bookshelves and certain blackboards.' The sprinkler system
was inoperable due to lack of timing device which we added at our expense.
Plants in the front of the school were also added at our expense. The
entire fencing around the school facility was added at our cost.
For these many reasons, it seems to me, therefore, that in all fairness,
your kind consideration should first be given to me in re -negotiating
a new lease since it is I who have put so much into the present Newport -
Rivera Early Achievement Center.
'We Carden School
er
Corona Del Mar
. September 51 1975 JUDITH WILSON, Director
City Attorney
The City of Newport Beach
3300 Newport Blvd.
Newport Beach, Calif. 92660,
Dear Sirs:
When we moved into the facility at Fifth and Marguerite
avenues in Corona del Mar, we allowed the City, as our
landlord, to store some property of the prior tenant
in one of the rooms. It was our understanding that
the need for such'storage would cease after 30 days.
The 30 days have expired and we will no longer be able
to accommodate the storage of this property at our
facility.
NOTICE OF INTENT
11clxrday; Septeinher wi -1 er an c'ause-
be delixered to our facility storage devices of suitable
.e{and quantity to contain the property of the prior
Cant. We intend to load this. property (with the exception
large items such as playground equipment) into these.
,ices. We will then transport the containers and all of
prior tenants property to the City Yard of Newport
Leh where it shall -b.e deposited. We shall seek
iuneration from the City of Neewport Beach for the
It of performing this storage and transfer:
Yours -truly,
eohn D. Wilson
EXHIBIT 2
2900 Pacific View Drive 0 Corona Del Mar, California 92625 a (714) 6-10-4181
4201 . Green
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April 9, 1975
Mr. Robert Long
City Managers Office
City of Newport Beach
3300 Newport Blvd..
Newport Beach, CA 92660
Dear Mr. Long:
` c Carden School
Verona D4 Pffasi
JUMH WILSON, Director
We are interested in leasing, on an interim basis,
the entire facility located on the North-East corner
of 5th and Marguerite in Corona del Mar. We understand
that this facility is currently under a three year lease
from the State of California and that the current lease
expires in August 1975. eT -. alsoo-understand that .tlie..Cit .0
w '11-.eiz t ally develop4 this- property: €or publ:icuse.
As prospective tenants we offer the city significant
benefits.
o We are-_current3_y-,,pl nn; ng�-:t the deve-lopment; n£-ra opermanent
uture'school„facility._]:.#,_would likel.y_be-possible
for us to synchronize our plans with those .o£ fiie_clty
to insure optimal land utilization and rental. -Income
during the city Is planning and funding cycle.... We;,can;
arrange to leave when the_city is ready -to bu:i:l:d
o We offer a high quality product in'keeping with the
image of Newport Beach. We would naturally expect to
upgrade the appearance of the facility during our tenure.
o We are faced with a tremendous demand for student space,
primarily from children who reside in Newport Beach.
Our tenure of the facility would insure its use by
a sizable -number -of the citizens of our community
d'uuzing,,the�.,interi.m�period-pend ng-c ty-rdeve1opment
,far,px�b]-ic...use..,�o
We would appreciate a timely meeting with you to further
discuss our proposal. Thank you.
sincerely yours,
0902
%� allIBIT 4
n D. Wilson
00Pacific View Drive 0 Corona Del Mar, California 92625 0 (714) 640-4181
eltarden
Pf
Corona Del Maw
JUDITH WILSON, Director
n
A P OP.QS_AI TQ LZASE
THE' -IMPROVED -PROPERTY -AT
THE NORTH-EAST CORNER OF FIFTH AND
MARGUERITE FROM -THE CITY OF
NEWPORT BEACH ON A TEMPORARY"BAS=S_
APRIL 14, 1975
SUBMITTED TO:
THE CITY OF NEWPORT BEACH
3300 NEWPORT BLVD.
NEWPORT BEACH, CALIFORNIA 92660
We submit this data for the purpose of evaluating our
offer to lease certain property and request the City of
Newport Beach to use discretion in selectively distributing
this data for that purpose only.
WBIT 5
2900 Pacific View Drive 0 Corona Del Mar, California 92625 • (714) 640-4181
GENERAL
We desire to, obtain a_ temporary-3:e4:sehold 'to --certain.
improved --property which the-City•of-•Newport Beach is
allegedly purchasing from the State of California-.
The property of consideration is located on the
North-East corner of Fifth and Marguerite Avenues
in Corona del Mar, 'California.. At this time the
facility on this property is operated as a day-care
center under the name "Newport Riviera Early Achievement
Center." We understand that the owner of this operation
has a three-year lease with the State which expires
July 31, 1975.
A schematic figure depicting_ the property is shown
on the following page. Our interest is in the graded
portion of the property bounded by Marguerite Avenue
on the west, Fifth Avenue on the south, and by the
distinct graded shoulder on the north and east. This
lot measures approximately 250 by 510 feet or about
three (3) acres net. our usage would be restricted
to this area.
While understanding that Ehe City will ultimately _
develop this property for public use, we propose to -
enter into a lease agreement whereby we shall o]atan
use of the property on an interim basis pending thel,
formulation of the City's eventual development pTaa
Our school began operation in August 1974. While -less
than a year old, we have already found a sizable
and growing demand for enrollment'in our school. •YWq•,
have._ held d's.s »ss ix -with the; Irvine Company as we]d�
as with others.regatdinT_ the development of -.a future
permanent facility..fori:our school': aWe rook forward
to. such an eventuality:: At this -time; however,'W6R
have outgrown our present•facility_and must -find 'a"�>
larger. ,temporary, facility fbr the--nex:t_tHwc -to, f6ur-years.
SHOULDER
I
(GRADEDLOT)
5th STREET
SCHEMATIC OF PROPERTY AND IMPROVEMENTS
FENCE
ASPHALT
W-
PROPOSAL
PARTIES
This proposal is submitted to the City of Newport Beach,
hereinafter referred to as the "City."
This proposal is submitted by:
John D. .and Judith A. Wilson (husband and wife)
2017 Miramar Drive
Balboa, California 92661
Telephone 673-6146
DBA:
The Carden School of Corona del Mar
2900 Pacific View Drive
Corona del Mar, California 92625
Hereinafter referred to as the "School."
The school's legal counsel is:
Virtue & Scheck, Incorporated
270 Newport Center Drive
Newport Beach, California 92660
The school's insurance counselor and'broker is:
Milum/Garvey Insurance Brokers, Inc.
1617 Westcliff Drive
Suite 204
Newport Beach, California 92660
MONTHLY RENTAL
The school proposes a monthly rental for the entire facility
of $1875 per month exclusive of any taxes, maintenance,
or utility expense. This rental equals $22,500 per year
and'is approximately 214 NNN per square foot per month.
MAINTENANCE AND IMPROVEMENTS
The facility and grounds are in very poor condition and
are unsuitable for school use as is. The school will
therefore, at no cost to the City, -paint the buildings,
weed and landscape the areas bordering Fifth and
Marguerite Avenues, and reestablish the playing field
area to the east of the lot. Needed plumbing and
other repairs will be performed. The school suggests a
reasonable period of time, say 120 days, be allowed for
these improvements to occur. The school will guarantee
the performance of these specific items.
TERM AND CANCELLATION OF LEASE
,The.. schoo-L' suggests-a-fexur--year.elease, cancell-ab-lebaunilatesally
.py the.. city-upon-deliveriz.-.af..a._oxke,-yearr'. not:s:ce.
TAXES
The school would be liable for any property taxes
assessed as a result of the temporary private use
of public land.
INSURANCE
The school is prepared to meet all insurance requirements
of the city for the use of the property as a school.
LAWFUL OPERATION
The school will agree to operate in a lawful manner,
obeying all laws of all governmental jurisdictions
having relationship with business or school.operation.
BENEFITS TO THE CITY•
J,o Revenue - the school will utilize approximately
one-half of the gross acreage bein urchased from
g p
the State. In return the school will provide the
city with an annual return on the full purchase
price of five percent (5%). The city will thus
realize a return equivalent to a typical demand
savings deposit while the school utilizes the
property
;Synchronization with the citv`s plans --the,
'proposed term and,cancellatiori will allow -the city
ifieedom tov adjust their planning- and" funding- cycle
for,;the.'propert.y to future reality=while insurihy.
rental income until. development- ism-L:rh cafiTy begurk.
o Upgraded appearance - the property is severely .run
down at this time. The school's tenure under this
proposal would result in an upgraded appearance of
the property at no cost to the city.
'/ o Inhanced image - the school offers a quality product
which is readily recognized as such by many people.
This quality is reflected by the demand for enrollment
space in the school. As a growing, successful and
respected enterprise the school will help raise the
image of the surrounding area.
j o Extended utilization - the school's present
enrollment waiting list will at least double the
number of.students which presently use the facility.
The intended end "public" use of the property is
more in concert with an interim "private" use which
extends the use to a large number of populace than
is a course of letting the property lie fallow or
continue under a marginal caretaker operation.
TERM OF PROPOSAL
This proposal is valid until 72 hours following written
notice of cancellation by the school
The school fully understands that the city does not
expect to acquire title to the property until as late
as July 1, 1975. The school requests the city to
consider a lease agreement, or an agreement to enter
into a lease agreement, contingent.upon successful
acquisition of title.
The school's purpose in this request is based -upon
several unavoidable realities which render a requirement
to wait until June or July tantamount to a flat denial
to lease..
Enrollment - the school presently has a waiting list
for enrollment. The number of students which can be
admitted is dependent upon the physical measurements
of the facility which the school will use in the
Fall. The school is under serious pressure to firm
its enrollment commitments prior to the end of May
or face loss of enrollment.
o Purchasing - the school purchases specific classroom
equipment and materials for each student. There is
lead time required on some of these items in excess of
three months.
o Teacher Training - the school sends all of its
prospective teachers to summer courses on the Carden
Method. The number of teachers to be hired and trained
is dependent upon enrollment and facility factors which
must be known before the courses commence in June.
o Licensing - the school is offering a three and four-year
old program in the Fall. A license from the State
Department of Welfare is required. Application for
the license cannot be made until 'a facility has been
selected. The time required to process an application
is from 45 to 60 or more days.
o Preparation - if the Fifth and Marguerite property
is to be used by the school, several months of
planning as well as several weeks of needed improvements
must be performed prior to commencement of Summer
\ School in August.
i .�
CITY OF 1-TEWPL O T BEACH
CALIFORNIA szsso
May 22, 1975
Mr. John D. Wilson
The Carden School
of Corona del Mar
2900 Pacific View Drive
Corona del Mar; California 92625
Dear Mr. Wilson:
Attached—please-firuL a. copy 'of a report concerning
the 5th and Marguerite, Street property. This
report will be•considered at the City ,Council's
Study Session of May 27, 1975 at approximately
3:30 p.m. We would suggest that interested parties
be -present at this meeting..
If you have -any, questi'ons', please feel free to
contact me at any_.time.
Very. truly. yours,
ROBERT J. LONG
Administrative Assistant
to•the"City Manager
RJL:pg
Attachment
C[tyffall
33UD Newport BIrd.
(714)673 2I10
EXHIBIT 6
T;r1lu
attorney at law
DOROTHY LEVIN
attorney at law
SASKIA ARTHUR
attorney at law
November 5, 1975
LAW OFFICES OF
Orano ant, Office
5249 Lampson Ave., Garden Grove, CA
City of Newport Beach
City Hall
3300 Newport Blvd.
Newport Beach, California 92660
Long Beach Address
P.O. Box 15278, Long Beach, CA 90815
Re: 5th and Marguerite School Lease Site
Attention: Hugh R. Coffin
Assistant City Attorney
Gentlemen:
I have spoken at length to Mrs. Des Brisay and she is
willing to accept your offer to waive all charges and
return her possessions. However, there are two
problems:
',Because Mrs. Des Brisay has been treated so shabbily,,
,by the tenant who Meg•alIy confiscated her —belongings,'(
as her landlord we shall expect you to deliver the
merchandise at a warehouse of our designation; and,
that someone of your stature and position be present in
order to insure that all of the items on the inventory
are in fact returned to Mrs. Des Brisay.
The file reveals an abhorrent treatment of a taxpayer
and I am certain every effort on your part will be made
to correct these discrepancies.
Your courtesy and cooperation will be sincerely
213 421-1777
714 898.3396
EXHIBIT 7
Sch-66 .- Lard'
Lease' Given,
t "
Ne.wporf OK
vfzwpon BEACH —With
Mayor Donald McInnis return-
ing to break the deadlock', city
council this week voted 4-3 to
lease three acres of property to
a private elementary school for
an ;indefinite period but less
than a year.
On May 27, the council mulled
a proposal to lease the parcel,
at' 5th Street and Marguerite
Avenue in Corona del Mar and
the • three buildings on it to
Carden School, the "highest of
three bidders, but tied 3.3. Mc-
Innis was absent:
The land is part of a 0-acre
property which the city bought
.
from the state for $450,000 • in
April. The six acres are part of
tire'former right of way for
deftinct coastal freeway. •
Peter Barrett, John Store
and Lucille Kuehn voted
against the lease, arguing that
it might interfere with tentative
city. plans' to build a senior
citizens center on the portion of
the ,property to be leased to
Carden School.
Tile city has applied for an
•$113',000 grant from the federal
0)epartment of Housing and Ur-
ban; Development to construct
sueb a center.
But; McInnis, speaking for the
majority formed by his return,
saiQ'that to hold up the lease of
the property because of the pos-
sibility of building the ,center
would be to "put the cart in
front of the horse."
The city doesn't know wheth-
er it will get the grant and,
because of strings that might be
attached, whether it will accept
the grant If it is offered, Mc-
Innis said.
In the meantime, the city
would be better off to collect
rent; at the rate of $22,500 ef-
'
ferea by Carden School, In addi-
tion„ he stated, the school has
agreed to maintain the build-
ings.on the site, said by a city
stafa report to be deteriorating.
In`the past, the site has been
used"b"y the Harbor Area Day
.
School, but its lease has ex-
-
"
W 0 (
4:/JA 4/;Is—
NB Acreage
For Provafe School
NEWPORT BEACH —
councilmen this week voted
to lease three acres for a y
to a private elementary seb
subject to a 6"ay written c
collation cotice.
The council had agreed
principle on June 0 to lease
parcel, at bth Street and M
guerits Avenue !In Corona
Mar and the three buildings
It to Carden School, We high
of three bidders.
The land is part of a 66ae
parcel the city bought from V
state in April, which was part
the former right-of-way for t]
now -defunct Coastal Freeway.
Councilwoman Lucille Kuel
opposed the lease, saying that
might interfere with tentatf
City city plans to build a 'senior
6-1 citizens center on the portion %
ear the property to be leased to tbel
01, school.
an -But several council members
in favoring the lease said the son.
the for citizen center plans are notl
ar, advanced or certain enough for
del the city to pass up the $4,660'
esE annual• rent the city will getl
from Carden School.
p��gWPpRT
Deportment
CNtip -g
r
of Community Development
DATE: November 8, 1976
TO: Tim Cowell, Advance Planning Administrator
FROM: Pat Temple, Assistant Planner
SUBJECT: Carden School Lease Monies
The stated amount of the lease by the Carden School of Corona del Mar
of the school buildings at 5th and Marguerite Avenues is $1,875
per month. There i.s, however, some reduction to this amount allowed
each month for•storage and trash removal as -well as some required
repairs. During the first year of the lease, Carden•Schobl paid
$20,604.14 to the City; $7,500 of this was transferred to the
State of California during the transfer and re -acquisition of the
property in early 1975. The remainder in the City account was
$13,104.14' or ah average of•$1,638 ,per month for the first year
of the lease. During th'e current year, a total of $8,709 has
been 'paid for five months of the lease, for an average of $1,742
per month. If the 'lease payments during the current year continue
at an average of $1,742 per month, $20,904 will have been paid
at the conclusion of the current year lease. The total amount in
the lease account to date is $21,813.14. The total over the two
years will be approximately $34,000.
PT:jmb
u.
-4"
3)
�gWPpRT
Department
C'9ClF0 vgk
of Community
DATE: November 8, 1976
.00
Development
TO: Tim Cowell, Advance Planning Administrator
FROM: Pat Temple, Assistant Planner
SUBJECT: Lease of 5th and Marguerite site in Corona del Mar
Since the City gained title to the land located at 5th and Marguerite
Avenues in Corona del Mar, the eastern portion of the property has been
leased to the Carden School. This property, acquired with HUD Block
Grant Funds, has. been leased as an'interim use during the development
of plans for a senior citizen center.
There are two sections in the rules, and regulations of the HUD Block
Grant which apply to the situation of the school lease. Section
570.200(a)(7). Eligible Activities states that disposition by
lease of real property acquired under the grant is eligible provided
the proceeds are expended only for eligible activities. Section
570.201(a)(4): Ineligible Activities includes schools as expressly
ineligible. In the HUD'Block Grant contract signed with the County
of Orange in the first and second year of the program, the city
states that the existing buildings will be "leased on a temporary
basis for private school purposes as an interim use". Since schools
are expressly ineligible under the Block Grant, the lease is legal
only as long as the school does not become the beneficiary of the
grant. Therefore, it appears that the lease can be only an interim
use until ultimate development of the senior citizen center, which
is the approved project under the grant. This position is supported
by a letter from the County Counsel of Orange County in which a
conclusion that "the interim lease will not jeopardize the eligibility
of the land acquisition activity" is reached.
The Los Angeles Office of the Department of Housing and Urban
Development has taken the position that the City of Newport Beach
has outlined a three-year community development project in the Urban
County application (land purchase and development of 'a senior
citizen center over a three-year period) and that HUD will' expect
the City to complete this program and establish the senior citizen
Center, regardless of the new entitlement status of the City. Thus,
it appears that HUD expects development of the senior citizen center
in the third year of the City's program.
Based on this HUD position, any further extension of the school
lease could jeopardize the eligibility of the City's program.
Attached are excerpts from the City's communications and application
materials which relate to the school lease question.
PT:jmb
R
-13-
M
of such activities. The Executive. Officer shall examine such progra:a des-
cription or any amendment or addition thereto and shall, in his sole dis-
cretion, consistent :with the intent of this Act, approve or disapprove the `
same. County shall not be liable for•any costs erhich exceed such projected
costs unless approved by the Executive Officer.
The above program shall be designated as follows:
Project Title Land Acquisition for Senior Citizens` Center
Contract Category No. (CCN)
Calculation of Project Cost: S100,000
Project Description: Partial payment for acquisition of 5.97
acres at Marguerite and Fifth Avenues, Newport Beach for a
Senior Citizens' Center. The property is described as -being
in -Blocks 93 and 96 of the Irvine Subdivision, Tract 6228
as recorded on pages 1-88 and 2.29-26 thru 32 inclusive of the
Miscellaneous Maps of the County of Orange, Ca. Approximately
3.61 acres of this site on the northeast corner of Marguerite
and Fifth Avenues is to be leased on a temporary basis for
PE
ivate scfiool purposes as an interim pse, with a ease
monies maintained in a separate account not to be mingled
with city funds and dedicated to the establishment of a senior
citizens program. If this land is -sold the City of Newport
Beach will comply with -all federal rules and regulations in regard
to the disposal of Iands .obtai•ned under the Housing and'Community
Development A.ct of 1974'.
Expenditure Schedule: $100,009 :will be expended on August 15,
I975, or later if grant -monies are not available by this date,'
as partial payment for the site on Fifth and Marguerite -Avenues.
Project Title Establishment of on -going Housing and Community
Program including a citizens.advisory committee
-Contract Category No. (CCN)
Calculation of Project Costs: $13, 697
Develo,d
Project Description: Establishment of an on -going Housing and Commun
Development Program which includes a citizens advisory committee
for the identification of community needs, establishment of
long and short term goals and objectives, and program developinient.
the committee will research, survey, and take public testimony
to acquire this information.
Expenditure Schedule:
'.,
a
I.N
..,.. FOR
September 12, 1975
CITY OF NEWPOIVr BEACH
CALIFORNIA 92a6o
ME C O- e
Mr. H. G. Osborne, Director
Orange County Environmental
811 North Broadway
Santa Ana, CA 92702
Dear Mr. Osborne:
DO IN4T 3Ei,DVE
Management Agency'
City I-Iall
3300 Plawport I3Ivd.
(714)573-211O
As a result of your letter of September 5, 1975 (whi n stated
your agency's conclusion that the acquisition'of the property
on Fifth Avenue in Corona del Mar for a Senior Citizens'
Center is not eligible under the HUD Block Grant Program),
I have met several times with staff members of the Housing
and Community Development Branch of your Agency. In addition,
on September 11, 1975, I attended a meeting at the HUD office
in Los Angeles with Ms. Lynn Dantzker•and Mr.Manuel Manzo
of your staff and HUD officials Mr. Herbert L. Roberts,
Mr. H. Richard Thomas, Mr. R. B. Rosenstein and Mr'. Pedro Newbern.
The discussion at this meeting indicated the need for a fully -
documented chronology of events in order for HUD'officials to
make a final determination on the eligibility of this project.
As a result of these discussions, it is our belief that the Fifth
Avenue land acquisition project is eligible for funding under
the Block Grant program and that the problems involved are of
a technical nature which can be resolved. We firmly believe that
the sincere intent on the part of the City of Newport Beach to
fully comply with both the spirit and letter of the Housing and
Community Development Act of 1974 is evident, and feel -that the
compilation of minutes, resolutions and other material'discussed
below (and attached to this letter) is irrefutable evidence of this
sincere intent. Further, we feel that it would be a most -
unfortunate disservice to the objectives of the Housing and
Community 'Development Act of 1974, and to the needs of senior
citizens in Newport Beach, if this project were denied based
only upon a technicality. Thus far, no one (locally, at the
County level, or at the HUD regional office) has voiced any
objection to the use of Block Grant funds for a Senior Citizens'
Center. In fact, this use of the Block Grant- funds, appears to
be especially appropriate, and the Senior Citizens' Center land
acquisition project is included in the approved Orange County
"Urban County" application. The only question is with the acquisitio
of the particular site on Fifth Avenue in Corona del M-ar, which
appears to be the most desirable and feasible site, based on
concentrations of senior citizens in the area and the character
of the property.
1
1
Mr. H. G. Osborne, Director
Page Two
September 12, 1975
Our understanding is that the technical problems which have •been
raised in connection with the use of Block Grant funds for the
purchase of the Fifth Avenue site include:
1) The signing of the agreement between the City and the State
.Department of Transportation (owner of the property) for
purchase, and the payment of a $5,000 option, prior to
the June 17, 1975 date, at which time the County's Block
Grant application was approved;
2) The (inadvertent and premature) transfer of title to the
property prior to the June 17, 1975 date of approval of
the County Block Grant application;
3) The City's payment of $100,000, plus interest, to the
State Department of Transportation on July 1, 1975'(as
called for in the agreement to purchase) and the fact that,
although this occurred after the June•17, 1975 approval
of the County's Block Grant application, this payment
was made prior to finalization of the environmental review
process; and
4) The interim lease of an existing building on the site to
a private school.
In regard to problem No. 1, it is our contention that the
signing of the agreement to purchase the property on
February 26, 1975 and payment of the $5,000 option should be
construed as "planning and preparation for the implementation
of this activity", which "planning and preparation",'as
stated in the attached letter from the HUD Acting Area Director,
dated August 27, 1975, is acceptable. This agreement and option
was necessary in order to preclude the sale of this property to
a private individual and to preserve the option for planning
and preps -ration for the Senior Citizens' Center. Also, this
agreement and option did not'irrevocably commit the City to
the purchase of this property prior to the approval of the
County's Block Grant application; if the County's Block Grant
application (which specifically included this land acquisition
project) were not approved, the City of Newport Beach would'not
have proceeded with the purchase. Thus, the signing of the
agreement and payment of the option were not commitments
to a Block Grant project prior to approval of the application
and it is obvious, as will ,be further discussed below, that
the City of Newport Beach did not intend to purchase this
property except as part of the Block Grant program. .
In regard to problem No. 2, the transfer of title to this
property from the State to the City (recorded on May 2, 1'975)
was done inadvertently and prematurely at the convenience of
the State Department of Transportation, as indicated in
the attached letter from Harry L. Kagan, Chief of the Division
of Right -of -Way. It was the City's understanding that
title to the property was not to pass until the County's Block
IN
Mr. H. G.
Page Three
September
Osborne, Director
12, 1975
Grant application was approved, which it was generally agreed
would undoubtedly occur prior to July 1, 1975 (the due date
for the first payment per the agreement to purchase).
Thus, it is our position that the City should not be
penalized for a technical "error" resulting from an action
by the State Department of Transportation, and that the premature
transfer of title should not be construed as'an indication
that the City of Newport Beach consummated the land acquisition
project prior to the June 17, 1975 approval of the County's
Block Grant application. As indicated in the letter from the
State Department of Transportation, they are willing to reclaim
the property, and later reconvey it to the City, if necessary
to correct the inadvertent error in timing. We'would hope,
however, that this is not found to be necessary.
Regarding problem No. 3, the payment of $100,000,plus interest,
to the State on July 1, 1975 was an action taken by the
City's Finance Department in accordance with the property
acquisition agreement and after the City had received notice
that the County's Block Grant application, including the
Newport Beach land acquisition project, was approved. The
July 1, 1975 date for the first payment was included in the
land acquisition agreement based on an indication from 'the County
that Block Grant program activities would begin on, or shortly
after this date (per the attached May 7, 1975 memo from the
County to all participating cities).
While we were aware that environmental -review under NEPA
was required for the use 'of Federal funds, this requirement.was
to be taken care of by the County, as the applicant, prior
to disbursing any of the Federal funds to the City. (Attached
are copies of the "Notice of Finding of no Significant Effect",
"Notice -of Intent to Request Release of Funds", and "Request
for Release of Funds" as filed by the County.) The City did
receive a copy of the "Financial Procedures Guidelines" (attached)
from the County, which includes the statement that "all funding
depends on the satisfactory completion of the -required environmenta
assessments"; however, this statement does not say that payment
for an activity cannot be made prior to completion of environmental
assessment, but merely that Federal funding "depends" on this
completion. It was the City's understanding that the provisions
of NEPA would be satisfied so• long as the environmental
review were completed, with HUD deconditioning of the project,
prior to the use of Federal funds. Thus, the City's payment
of $lo0,o00, plus interest, was made based on an assurance
that the County's Block Grant application, including the Newport
Beach land acquisition project, was approved and with the
understanding that, as soon as the environmental assessment
was completed, the contract with the County would be signed and
the City would be reimbursed for this expenditure of City funds
for an approved (as the City was led to believe) Block Grant
project.
Mr. H. G. Osborne, Director
Page Four
September 12, 1975
It would appear that no violation of the National Environmental
Policy Act (NEPA) has occurred, or will occur, since the
environmental review procedure has been conducted by the County'
and since a "Negative Declaration" has been filed, pursuant to
NEPA, on this land acquisition project. All that remains is for
HUD to decondition this project, which must occur prior to
the use of Federal funds. Thus, it is the City's point of
view that the land acquisition project cannot be found
ineligible based on environmental regulations.
Regarding problem No. 4, an existing building on the site was
leased to a private school, on an interim basis, in order to
provide for some productive use during the study and planning
for the Senior Citizens' Center and to provide a.rldd"itional
funds for the development of the Senior Citizen facilities.
This interim lease, a copy of which is attached, can be cancelled
by the City with 90 days notice. The monies received from this
lease are placed in a separate fund which, as the City Council
has.directed, will only be used for the Senior Citizens' Center.
It was the City's understanding, based on conversations with the
County staff and our own review of the Community Development
Block Grant regulations, that the interim lease would be
acceptable as long as the funds were, as stated in Section
570.56 of the regulations, "retained by the recipient and, in
accordance with the grant agreement, added to funds committed
to.the program and used in accordance with the provisions of
this part." (The attached contract with the County for
disbursement of the Block Grant funds, as approved by the City
Council on August 25, 1975, contains a specific statement
'requiring the lease monies to be used only for the Senior
Citizens' program.) If, however, this interpretation of th.e
regulations is in error, the City of Newport Beach would agree
to cancel the lease immediately, rather than jeopardize the
Senior Citizens' Center project.
In conclusion, it is the position of the City of Newport
Beach that the Senior Citizens' Center land acquisition project
is particularly consistent with the intent of the"Block Grant
regulations and should not be denied based on technical
problems. It is very apparent that the City of Newport Beach
became involved'i.n this land acquisition project only as a
result of the Block Grant program and the considerable citizen'
support for senior citizens' facilities, as expressed at the
public hearings held early in the development stages of the
application. (Attached are minutes of those public hearings.)
As evidenced by the attachments to this letter, it was the sincere
intent of the City of Newport Beach, in proceeding through the
Block Grant application process, in conjunction with the Orange
County "Urban County" Block Grant application, to fully comply
with the Federal regulations. Any -technical errors resulted from
the -newness of the program and the pressures of the extremely -
limited time period; certainly these technical errors did not "
result from any attempt to circumvent the regulations.
of w
Pair. H. G. Osborne, Director
Page Five
September 12, 1975
In comparing the Newport Beach activities to other cities'
proposals, it is readily apparent that our proposals are as
consistent with the intent of the Block Grant regulations as any,
and more consistent than most with the objectives of benefiting
low and moderate -income persons. Certainly a Senior Citizens'
Center more directly serves disadvantaged persons than such
other "approved" projects as street improvements, sewers,
acquisition of open space and historical sites.
Attached, for documentation of this letter, is an appendix
containing a chronology of the events which occurred from the
time the County invited the City of Newport Beach to participate
in the "Urban County" application to date, and all documentation
of these events.
Please forward this letter and the attachments to the appropriate
HUD officials for their review and a final determination, which
we trust will be favorable and which will allow the City to
proceed with the Senior Citizens' Center project at the Fifth
Avenue site. Thank you for your - continuing assistance in this
program.
YqlLrs very truly,
A,
Robert L. wynn
City Manager
RLW:TC:jmb
Attachments
0
00
F G)�
o C3> U "_r1's' C�) T_=
o (::( ):'i) FtA—\ Q Ci a
5 1975
ENVIRONMENTAL MANAGEMENT AGENCY
Oil NORTH BROADWAY
SANTA ANA, CALIFORNIA
H.'G. OSBORNE
DIRECTOR ,
Mr. Robert L. Wynn
City Manager
_-City of Newport Beach•
3300 Newport Boulevard
Newport Beach, California 92660
Dear Mr. Wynn:
' MAKING AOOASSJ:
P.O. BOX d043
SANTA ANA, CALIFORNIA 92702
FILE
The activity, "Newport Beach: Land Acquisition for Senior Citizens Cenfer," was approved
by the Department of Housing and Urban Development (HUD) as part of the County of Orange's
Housing and Community Development Block Grant Application. The date of official approval
was June 17, 1975.
Recent communication with the Newport Beach Planning Department has identified a recently
purchased parcel on 5th Avenue between Narcissus Avenue and Jasmine Avenue as the'
proposed site for the approved Senior Citizen's activity. Our investigation of this proposal
indicates this site is not eligible under the Housing and Community Development Block
Grant Program due to purchase of said property prior to official approval of our Block Grant
application on June 17, 1975.
It is felt that although this particular site has become ineligible, the activity is technically
still an approved activity under the County of Orange's Housing and Community Development
Block Grant program. Monies for this activity will be available if a definite proposal is
developed which complies with the Act and the desires of the citizens of Newport Beach
prior to November 1, 1975. Among the alternatives to be considered are the choosing of
another site, the development of an entirely different activity for this first year, or possibly
holding over the funds until next year. Our staff is available to expedite this change in
order to achieve a full commitment of these first year funds.
Your cooperation throughout these months involving this issue has been greatly appreciated.
We strongly regret the unfortunate delay in resolving this matter. However, we look forward
to the development and implementation of a viable and ongoing program under this block grant
with the city of Newport Beach.
Very truly yours,
H. G. Osborne
Director
O COPY
MM:ps
Attachments
DO NOT REMOVE
ORTMENT OF HOUSING AND N DEVEI-OPMENT
« t1•'i
LOS ANGELES AREA OFFICE
2500 WILSHIRE BOULEVARD, LOS ANGELES, CALIFORNIA 90057
REGION IX AUG 2? 7975
450 Golden Gate Avenue _
P.O. Box 36003
San Fronpiseo, CQUIOMI4 94102
Mr. Reed Flory, Manager
Housing and Community Development Branch
Environmental Management Agency
P.O. Box 4108
Santa Ana, California 92702
Dear Mr. Flory:
Subject; Community Development Block Grant P•xogram
Application No. B-75-UC-06-0504
Land Acquisition - Newport Beach
IN REPLY REFER
9.2DMB-N
This letter is in response to your letter of July 16, 1975,
requesting an interpretation of events and a statement•of
procedural adequacy, involving the City of Newport Beach and
a land acquisition activity of the Community Development
Block Grant Application for the County of Orange.
The activity identified in the CDBG Application as approved
for the County of Orange on June 17, 1975'wase
Newport Beach - Land Acquisition for Senior Citizens Center
Any action prior to such approval date -which involves more
than planning or preparation for the implementation of this
activity as referenced in Section 570.302 of the June 9, 1975
Federal Register is cons-idered.to be ineligible_
Consequently, if the subject activity was actually commenced
prior to the June 17, 1975 approval date, such activity is
not eligible for funding under the CDBG Program.
—2—
You are, therefore, advised as -the applicant representing
the City of Newport -Beach, to consider amendment of the
approved program to reflect an eligible community development
activity as per Section 570.305 of the June 9, 1975 Federal
Register.
Any further clarification or questions should be directed to
Your Community Planning and Development Representative, Mr.
Pedro Newbern at (213)688-'5860_
Sincerely,
Area Director
I
t iONDAY, JUNE 9, 1975
WASHINGTON, D.C.
Volume 40 M Number III
PART V
�f9�•L "' .
!-NA ct 9T
A��I) Uwe AN
a w
Office o� Assistan j" eac ary*
for cC9rwiluni$y i� i� •.
and Devel6pment
e
237co •
M
RULES AND REOULATIONS
calved by I -IUD by April 15. 1075. Pro-
(b) Subsequent program years. I7re
incurred pursuant to this section cony
tided, further, Miat all counties which
second Program Year shall normally Le-
not exceed ten Percent of the applicant's
have been ndrL-ed by HUD of either final
gin twt lve months after the begir ling
entitlement amount and must be Putty
qualification or preliminary rero.-nidon
date 0f the fist Progrrtn year. however,
documented in the applicants' files, (2)
for qualification as urban counties under
au applicant may ragacbt to shorten the
After January 1, 1975, an appitcant may '
$ 510.105 m ny have their deadEno for
submission of theirappilcations extended
first Prrram year by no more than
three calendar months in order to meet
incurr cots not to exceed tell percent
of its entitlement
io May 15, 1975; provided, however, that
ur: ant local needs mid objectives, to re-
amount for ally of the
purposes set forth in § 570.302(b),'Such
the request for such an extemlon has
flect activity funded with Fiscal Year
lticurred cost must be duly nuthorized
been received by the MJD Area O.Tlce by
197:1 appropriations for the urban re-
in advance by a resolution of the local
April 15, 1975. Cooperation agreements,
newal mid model cities Programs, or to
governing body. Reimbursement by llUD
• wbere requited for urban counties, shall
'conform the program yr-ar.to State or lo-
for such incurred cost Is subject to the
be submitted not later than fifteen days
cal budgeting requirements. The nppli-
applicant's submitting a request for ad -
at ter the date art application from ari ur-
- cant !hall not submit an application for
Vance pursuant to § 570.30'3(a)., Upon
hen coinh•has been received for procczs-
a program year begirrin, prior to the
satisfaction of the requirairmhts of this
Ing In 11UD. Prfor to the earliest date for
end of the preceding twelve-r:onth pro-
paragraph,11UD will recognize for reim-
submIsslon of an application for each
grain year without the Prior concurrence
bursement from the advmice only such "
fiscal Year. IIUD will provide all appl(-
Of the IIUD Area Office.
costs as are incurred on or after the
cants 'with fortis and instructions, in-
eluding the actual or estimated
'�"°"�""""°�"""�"
§ D10.30_ Advnuccn o£ funds and aunt°r'
date o[ rife resolution a£ the governin '
g
entitle-
Ment amount. Entitlement applicants
wjshIng to apply for discretionary grants
iz lion to incur coats.
(a) Request for advance. For the first
- poly. -
(3) After January 1, 1975, an appll-
shall follow the procedures deseribed in
'program year beginning after January 1,
1975.
cant may incur costs in excess of ten
Percent of its entitlement amount, but
Subpart E, APPlicattous and Criteria for
an applicant tray request an ad-
Vance of funds in an -mouth not to ex-
not to exceed 30 percent of its entitle-
(b) Upon recat n� advice from HUD
coed ten percent of its entitlement
ior ap-
proval of IIUD, for purposes set forth n
i
fort the application has been shall
rile applicant shall matte
make
proceonce
amount. A request for advance may Area
` the appropriate HUD Arca
§ 570.30^-(b) for which no new environ- -
reafor
air
ietisonable efforts to infonn citizens !n-
can no ar
O�,ce no earlier than December 1, 1974•
mental review is required under 24 CPR
58.19(c).
valved in the local citizen participation
An advance of funds may not be tip-
Such incurred cost must be
duly authorized .In advance by a
process that the application has been
submitted to HUD and Is available to
Proved prior to January 1, 1975, and the
applicant's Program year does not begin
resolu-
tion of the local governing body. neim-
Interested parties upon request. This re-
until approval of a full application for a
burhemen'L by HUD for stick Incurred cost
is subject to their meeting the re uire- -
. quirement may be satisfied by publica-
grant. The request for advance shall be
ments of, and being Included in, nap-
; tlon of a notice to that effect In a pert-
odlcal or general circulation In the juris-
in it form and manner prescribed by
EUD and shall Identify and estimate the
plleation submitted pursuant to § 570.- :
diction of the,appllcant.
cost of the activities to be carried out
303 and approved In accordance .with
§ 570.306. and to compliance by the
(c) Meeting the requirement of OLfB
Circular No. A-95. Applteathts must com-
pith the advance. Upon HUD approval
of the advance, the applicant will be ahr-
ap-
plieant with 24 CFR 58.19(c) last son -
ply with the procedures set forth in O-MB
thorl7ed to Incur carts from January 1,
tence, 2.4 CFR 58.11 (a) anti (g) and 24
CFR 58.30. Reimbursement by IIUD Is
Circular No. A-95 which require the sub-
1975; or the date the advance "'as re-
also subject to Prior compliance with 24
)nlssion of the application, and mid -pro-
quested, whichever Is later, for any pur-
CF•R 58.31. Upon satisfaction of the
gram year amendments as set forth In
pose for which the advance was ap-
re -
Pa
qutrements of this R'iregraPh. HUD
quirecremee
$ 570.305(a). to the State and areawlde
clearinghouses fog review and comment
Droved.
(b) Eligible uses of advance funds,
for rhis will .
s"raph only such"
prior to submission to HUD. For Fiscal
Advance ftinds will be made available
costs as are Incurred on or after the date
of the resolution of the governing body.
Year1075 submissions only, the Officaof
Zorthefo2owingpurposes:
-- - - - . ,
Management and Budget has granted an
(1) To plan and Prepare for the fin-
§ 570.303 Applicntion rc_4p:iiremcm3.
exception to the length of review time for
Plementadon of activities to'be assisted-'
An application for a !;rant shall con -
block grant applications to permit clear-
under this part; and
form to and be limited to the prescribed
inghouses a sin;;le 45-day period for re-
(2) To continue Previously approved
HUD forms and shall Include the follow.•
vlem In addition, clearinghouses should
urball renewal (including Neighborhood
Ing (term,
divide their roilments into two sections,
The first will cover coaunents relating to
Derelepment Fro gMnl and federally
assisted code enforcement) activities
(s) COmtnu)IitY development piansum'
,
facts and data relevant to ILUI)'s mailing
being carried out under Title I of the
Mary. Tile application shall Include a
nts statutory determination on the aPPII-
Housing Act of 1,0.9 and/or previously
summary of a three-year community de-
cation in accordance with § 570.306(b)..
approvedcities activities being•
velopment plan which Identifies com-
The second section will include all other
an 7rrovedrmodel
under Title I of the
munitydevelopmentneeds, demonstrates
comments and recommend which
,Demon-
strntton Cities and Metropolitan Davel-
n comprehensive strategy for meeting
those 'Leeds, and specifies both
clearinghouses desire to submit to the
opment Act at 1060. The phrase "provi-
short -
and )ong-tern' community development -
applicant
Art appllcant
ou-y approved" In the preceding son-
acne shall mean those urban renewal
objectives which ]lave been developed In
modifyIng,Its acplication
while It is udder review by IRM is re-
and model titles activities that were ap-
accordance with areawide development
planing and national urban growth
4ulred by Circular No, A-95 to inform
Proved and fronded by 1If,D on or before
June30.1974•
,
policies. The plan shall be written in a
the clearinghouses of such niod(fication.
• '
manner to encompass the needs,strategy
An applicant shall also Indicate to the
(a) Authorf_ation to incur costs. (1)
and objectives, and to dehchibe a pro-
ciearinghousas the number of days re-
Upon the effective date of these regula-
grant, which is designed to eliminate or
maluing, within the 75-day statutor7
lions, an appllcant, by appropriate res-
prevent slums, blight, and dcler!oration
limitation on review Ume described In
olunlon of the local Governing body and
where sitell celiditiom Or heeds exist, nud
$ 570.306(c), for HUD to -complete Its re-
as of the date oI such resolution, may be-
to provide improved community develop-
-Merl of the application-
gin to incur costs for the plannin and
meat facilities and public Improvements,
§570.301 rro,=m 7"r.
Preparation of an application for funds
Including the piovislon.of supportlrg
(a) Fimt program vrar. Ilia first pro-
available under 11114 rant. The resolution
shall recognize that reimbursement for
health, social and similar services where
necessary and appropriate. In identifying '
gram year hlhall start on Uu date of IIUD
such costs will be dependent upon IIUD
the needs, the aPpliMllt sl:tll take Into
apPruval of Lie appbcaV,)n and shall run
approval of such application. Costs In-
e011slderation any special needs fowid to
for twelve corsccutivo nontlis, except
curred with load ftnuL•• Pulsttant to tills
eabt In any Identifinbfe set.nlert of the
' whan'modlfi vl under the Provision of
paragraph may be reimbursed from an
total group of lu%ver Income persons In
paragraph (b) of this sectlOIL
advnnce of funds. The total of nil costa
the community. With respect to aren-
F 11M GEGISIEk VOL 40, NO. 111- -AONDAY, JUNX 9, 1973
so,
RUiES•AND REGULATIONS
AdministrntiveRequlrerrtentsfor Grants. met but the amount of the grant re- (v) Thcnppllcanthasatt_chctoren-
In-Aid to State and Focal Govern.•neuts:' trched or
p,,ta,Y, ,,:.•ds �t nOru,Op
(6) The applicant has met thereiyWy
closed any comments or ia-
menta of O� fB Circular al'o. A-95 and zny
1� � rU''d' Prv�ram nmendmcnis
dons made by or throu;;h Stag and area-
comments or recommendations made by
! (a) Mid -program year umendreents.
ride cicarfnghouses or tins stated that no
or
or through the clearinghouses are at-
tached and were considered prior to sub-
or recommendations have
An applicant shall submit an amended been received within the 45-day review
application to the HUD Area
' misslon of the application, or, no clear-
Olfte if
the applicant's Community Dcvclop:nent Period.
(2)
inghouse comments or recommendations
have been
if the witapph ,
Program is being revised so that more ed In
accordance the
the
received.
(7) The Community Development pro-
than ten percent of the community de-
velopment budget, excluding unspecified
Preceding
to o aoPara-
graph, the date of acceptance of the ap-
gram has been developed so as to give
local option activities, -is to be used for
plication will be the date of receipt of
the application
maximum feasible priority to activities
which will benefit low- or moderate -in-
new or different activitles not included
In the approved community development
in the F1UD field office,
and tale applicant will be so notified In
come faor aiin the prevention or
-of slums or blight. 4fhere
program. An amendment shalt also be
submitted
wri
ting. If the application is not afamiliesfamiliesri
cepted for review, the itt,Pl;caret will be '
alel"unlnation
a0 part of the community develop-
whenever the cumulative at-
feet of a number of smaller changes add
so notified !it writing. and will be advised
OC tile specific reasons for
program activities are designed to
meet outer community development
up to an amount that exceeds ten per-
cent of the budget,
nonacceptance.
(b) Scope of review. (1) The Secretary
needs having a particular urgency, the
excluding unspecified
local option activities. The amendment
will normally base his review upon the
• applicant may request a detr_rm?Hatton
by the Secretary that the program ac-
submitted to h-= shall include only
those elements
applicant's certifications, statements of
facts and data and oche: Progratnmatie
tivItles are to designed to meet such
of the application that
are changed except that the amendment
decisions. The Secretary reserves the
right, hone,:e,-
needs as specifically described In the
application.
shall always Include the certifications
to consider substantial
evidence which contradicts or challenges
(8) The applicant will administer and
and assurances described in § 570.303(c).
An applicant may also request HUD PP-
the certifications, or significant facts and
data, )it
•enforce the labor standards requirements
ne6 forth In § 570.605 and HUD regula-
provai of an amendment to an approved
housing
accordance with the review eri-
teria in this section and to require addi-
tions Issued to Implement such require-
assistance plan.
(b)Other program amendments. Pro-
tlonal information or assurances Iroin
the
wants,
(f) Performance, report. Beginning
gram amendments not requiring prior
applicant as warranted by such
evidence. -
with the application submitted In fiscal
HUD approval pursuant to the preceding
(2) Based on that review, the Secre-
year 1976, and each fiscal year there-
Paragraph may be undertaken by the
11Pphcant,
tary will approve the application unless;
kilter, the applicant shall submit an an-
nual performance report as described in
provided all other require-
ments of this part are satisfied. Such
(1) On the basis Of significant facts
and data, generally availnble (whether
1570.906.
amendments shall be reported to HUD as
Published data necessible to both the ap-
§ 57OZ04 Waiver of application requim
part of the annual performance report,
as described In § 570.906, required with
plicant and -the Secretary, such as census
data, or other. data available to both the
aunt&
the subsequent annual application,
applicant and the Secretary, such as re-
(4) El(gibiIity for waiver. The Secre-
(c) Reprogramming unobligaled funds.
cent local„areawide or State comprelien-
tu'y may waive all or part of the appll-
Funds that will be 'unobligated at the
s!ve planning data) and pertaining to
cation requirements contained In
end of a program year may be repro-
• community and housing needs and ob-
9 570.203 (a) and (b) if the applicant
Brammed as a part of a subsequent year's
Iectives, the Secretary determines that
meets the following criteria:
annual application for a grant so as to
the aPPllcalit's deserlptlon of such needs
(1) The applicant has a population of
avoid subsequent program amendment.
and objectives Is Plainly Inconsistent
less than 25,000 according to the most
Such a reprogramming Is not a require-
with such facts or data, or
recent data compiled by the Bureau of
ment Inasmuch as an applicant may con-
(it) On the basis of tile application, the
Censtiiand Islocated:
tine to carry out activities included in
Secretaly'determines,that the activities
(D Outside a standard metropolitan
'a Prior year's application.
to be Undertaken are platnlY tnappropri-
otatlstical area, or
(d) .^.eduction of amount for cofnple-
ate to meeting the needs and objectives '
• (11) Insldo such, an area but outside
lion of urban reneiaal projects. In order
identified by the applicant, or
an "urbanized. area," as defined by tine t49,proteet
the!Fedeiai Government's ft- ,
":(111) ;Tarp Secretary determiness tlmt the'
")Bureau of Census;
h6YOaa intereXin existing urban renew-
application does not conlPIY with the re-
,(2). The application relates to the first'
trlproiccts; a reelpient must requestprlor
'gwrenhctits of this part or other applica-
community development activity to b(L"written.
-.authorizatlon from HUD any
-bie law.'or Dcoposes activities which are '
carried out by such locality xith assist-
time that the amount of fluids shotrn in
ineligible under this part.
ance under this part; and
an approved applicatlon for completion
(a) APproral or disapproval of applica-'
(3) The assistance requested is for a'
of- urban renewal projects Is to be re-
Lion. S7ithln seventy-five days of the date
single development activity under this tduced.
of receipt of the application, -or at such
Part of a type eligible for nssistanco
� 57M306 FIUD rotten and n
earlier time as review is completed, the
under § 570.200(a) (1) (tit); or neighbor-
hood foellitles, water and sewer facilities,
a hmliohn ppmval of
pp
Secretary Rill notify the appL'cant in
writing that tine application has been ap-
hl5toric properties, and parks, play-
(a) Acceptanco of application• (1)
proved, partially approved, .or dLap-
ground., and similar recreational fnclli-
ties authorized to
Upon receipt of an applleatlon, the PIUI)
Area Office will accept it for
Proved. In the event the Secretary lens
not
. pursuant § 570.200
(a) (2).
review, pro-
vlded that:
mailed a notification to the applicant
within seventy-five days from the date of
(b) Secretcrlal determination. HavIng
' (1) It has been. received before the
acceptance of the applic anon that It has
considered file nature of the activites
close of bustness on the final date estab-
been c!isanprovcd, the application shall
describer) In § 570.30�4(a) (3), the Secre-
lis!ned by HUD for submission of appll-
be deemed to be approved. If the ap, !ica-
targ has deteniincd that a waiver of
cations for each fiscal year;
tion is disapproved• the applicant shall be
the application rcglirements of § 570.303
(lU Tho applcntlon requirements
informed of tine specific reasons for dis-
(0)� Lad Cb) Is not lncon.,istent with tine
specified in § 570.303 are complete, ex-
approval.
purpOsos of this,Part, provided that the
cePt with reward to those appllcattorfor '
(d) Approval of loss"than frill tarfille-
gtnnt requested does not exceed
which certatn submission requirements
Mont. Tho Secretary may adiwt the rn-
$1.000,000. The : ccrctrL y may also wnivo
are waived pursuant to § 570.304;
tlticmcnt a"'Ount to thu extent Idcntlf?ed
the application requirements of § 570.303
(IIU The fluids requested do not'ex- ill an allplication submitted uncirr
(a) and Cb). I--% response to a written teed ttoentltiemcnt amount; Part design rani for
t s tic iri
request In tics that are not eligible
muter § 570 2UO,
other cases In which the con-' GO The rcqu!red certifications hays
intone described in f 570.304(a) (3) aro been properly executed; and anti¢ the detlolency hits not been corn -,teti
p
.
prior to the expiration of tite 15-day ra_
piAMU RBOISTM VOL AD, NO. 111—,MOHDAY, JUne 9, I9,75
ADRIAN KUYPER
COUNTT Cou.pCt
OFFICES OF
COD-N. SEL4
County C-3' grange
COUNTY ADMINISTRATION 13USLOINID . P. O. BOX 1379 SANTA ANA, CA 92702 . 834.3300
November 11, 1975
E. G.- Osborne, Director
Environmental Management Agency
811 North Broadway
Santa Ana, California
-RECEIVED
NOV 10 1975
E. M. A.
Re: Effect of Interim Lease on Eligibility
of the Land Acquisition for Senior
Citizens Center of the City of Newport..
Beach under the Community Development
Block Grant Program
Dear Mr. Osborne:
CLAYTON H. PARKER
CHICr A3S13TAMT
ROBERT F. NUTTMAN
WILLIAM J. MCCOURY
A3313TAMT3
JOHN M. PATTERSON
ARTHUR C. WAHLSYEDT. JR.
JOHN W. ANDERSON
LAURENCE M. WATSON
VICTOR T. BELLERUE
JOHN R. GRISET
CHARLES D. SEVIER
WALTER D. WEBSTER
IRYNE C. BLACK
RALPH W. BENSON
ROBERT H. SAN CHEZ
KENNARD R. SMART, JR.
JANE A. SIEGRIST
JAMES R. FLOURNOY
TERRY C. ANDRUS
TERRY E. DIXON
EDWARD N. DURAN
JOY,C. FISHER
FRANK J. FEKETE
BARBARA TAM THOMPSON
RICHARD D. OVIEDO
Vx1UTIx3
File: H-355
Your recent memo requested our opinion -with respect to the
eligibity of the Land Acquisition for the Senior.Citizens Center .
of the City of Newport Beach under the Urban County application.
of the County of Orange for a Community Development'Block Grant. -
from the Department of Housing and Urban Development. You are -
concerned about a proposed lease of the subject real property to.
a private school.which will use the premises for educational pur-
poses: You question whether this interim lease will jeopardize'
the -eligibility of the activity notwithstanding the fact that the
income from the lease will be used solely to develop'•the Senior
Citizens Center. Ile have concluded that the interim lease will
not jeopardize the eligibility of -the activity.
Federal Regulations make it clear that the City, of Newport
Beach would not be eligible to participate in the Block Grant if "•
the real property was being acquired for educational purposes. '
24 C.F.R. 570.201 (a)(3). (All references to the Code of Federal
Regulations are as they appeared in the June 9, 1975 Federal
h Register.) It is equally clear that no part of the funds derived
from the Block Grant may be used for an ineligible activity, such
as a school. 24 C_F.R. 570.200 and 570.201. However, the activity
of the"City of Newport Beach is "Land Acquisition for Senior,C.iti-
zens Center" which is an eligible activity. 24 C.F.R. 570.200(a)
(1) (IV) and (a) (2) ,
Lk UUP �-
H. a e, for
' November
er 1111,19
t Page Two"
Your memo indicates that the City of Newport Beach now pro-
poses to derive some income from the real property which it is
acquiring with Block Grant funds by leasing the premises during•
the planning phase of the Senior Citizens Center and to devote
that lease income solely to the -Senior Citizens Center. -Such a
disposition of the property is -authorized by the Federal Regula-
tions_ 24 C.F.R. 570.200(a)(7). This section permits a disposi-
tion of property acquired under the program by selling, leasing,
donation, or otherwise, provided the proceeds of the disposition
are expended only for activities which are eligible under the pro-
gram. The regulations do not limit who may be the grantee or
-lessee. The fact that the lease by the City of Newport Beach is
to a private school which will use the premises for educational
purposes does not change the purpose for which the property is
being acquired by the'City. The lease, in fact, furthers the pur-
poses of the project by providing income for its implementation
and will in no way jeopardize the eligibility of the project under
the Community Development Block Grant Program.
.Very truly yours,
AD KUYPER, COUNTY COUNSEL
hn W. Anderson, Deputy
JTr7A: ks
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11
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•rn-
49.
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SUBPART C--ELIGIBLE ACTIVITIES
9570.200 ELIGIBLE ACTIVITIES.
(a) Grant assistance for a community development
program may be used oply for the following
activities:
(1) Acquisition in whole or in part by purchase,
lease, donation, or otherwise, of real property
(including air rights, water rights, and other interests
therein), which is -
(i) Blighted, deteriorated, deteriorating, undeveloped,
or inappropriately developed from the standpoint of
sound community development and growth, as determined
by the recipient pursuant to State and local laws; .
(ii) Appropriate for rehabilitation or conservation
activities;
a (iii) Appropriate for,the preservation or restoration
of historic sites, the beautification of urban land, the
the conservation of open spaces, natural resources, and
scenic areas, the provision of recreational opportunities,
or the guidance of urban development;
t'y
a
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HUD -Wash., D• C.
02.1
u (iv) To be used for the provision of public works,
facilities, and improvements eligible for assistance
under paragraph (a)(2) of this section; or
Sid
' (v) To be used for other public purposes, including
the conversion of land to other uses where necessary
or appropriate to the community development program.
(2) Acquisition, construction, reconstruction,
rehabilitation, or installation of only the following
public works, public facilities, and site or other
"w4 improvements:
0
(i) Neighborhood facilities which (A) are designed
to serve a particular neighborhood and provide services
for that area, except that such facilities may serve
an entire community of under 10,000 population; (B)
provide health, recreational, social, or similar
community services; (C) may be either single purpose
or multipurpose in nature.
(ii) Senior centers.
(iii) Historic properties, (including privately
owned properties for which there is public access).
(iv) Utilities.
(v) Streets, street lights, traffic signals, sitins,
street furniture, trees, and other normal appurtenances
to streets, but excluding expressways and other limited
access ways.
(vi) Water and sewer facilities, except for sewage
treatment works which are described as ineligible in
570.201(a).
(vii) Foundations and platforms for air rights sites.
(viii)Pedestrian malls and walkways.
(ix) Parks, playgrounds, and other facilities for
recreational participation.
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HUD -Wash., D. C.
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a
6502.1�
.(x) Flood and drainage facilities in cases where
assistance for such facilities has been determined to be
unavailiable under other Federal laws or programs pur-
suant to the provisions of §570.607.
(xi) Parking facilities, solid waste disposal
facilities (including permanent onsite equipment integral
to the operation of a sanitary landfill), and fire pro-
tection equipment and facilities which are located in or
serve areas in which other activities included in the
community development program described in §570.303(b)
are to be carried out.
(3) Code enforcement in delineated areas which are
deteriorated or deteriorating and in which such enforce-
ment, together with public improvements and services to
be provided, may be expected to arrest the decline of
the area.
(4) Clearance, demolition, removal, and rehabili-
tation of buildings and improvements, including (i) inter-
im assistance to alleviate harmful conditions in which
immediate -public action is needed.; (ii) rehabilitation of
acquired properties for.use or resale in the provision.
of housing; (iii) demolition and modernization (but not
new.construction) of publicly owned low-income housing;
and (iv) financing rehabilitation of privately owned
properties through the direct use of funds in the pro-'
vision of grants, loans, loan guarantees, and interest
supplements when provided in connection with other
physical development activities described,in the
community development program which are eligible for
assistance under this Part. Loans for the rehabilitation
of residential property may include an amount to
refinance existing indebtedness secured by such property
if such refinancing is necessary to enable the loan
recipient to amortize, with a monthly payment of not _
more than 20 per centum of the average monthly income
of the loan 'recipient, such loan and any other indebted=
ness secured by the property of the'loan recipient.
(5) Special projects directed to the removal of
material and architectural barriers which restrict the
mobility and accessibility of elderly and handicapped
persons.
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HUD.Wash., D. C.
(6) Payments to housing owners for losses of
rental income incurred in holding for temporary periods.
housing units to be utilized for the relocation of
individuals and families displaced by program activities
assisted under this Part.
(8) Provision of public services not otherwise avail-
able in areas, or serving residents of areas, in which
the recipient is•undertaking or will undertake, other
activities described in 9570.303(b)(1)(i), where such
services are determined to be necessary or appropriate to
support such other activities and where assistance in
providing or securing such services under other applicable
Federal laws or programs has been applied for and denied
or not made available pursuant•to the provisions of
9570.607. For the purposes of this paragraph, such
services shall be directed toward (i) improving the
community's public services and facilities including
those concerned with the employment, economic development,
crime prevention, child care,.health, drug abuse,
education, welfare, or recreation needs of persons
residing in such areas, and (ii) coordinating public and
private development programs.
(9) Payment of the non -Federal share required in
connection with a Federal grant-in-aid program undertaken
as part of the community development program,pursuant to
§570.303(b), Provided, That such payment shall be limited
to activities otherwise eligible under this section.
(10) Payment of the cost of completing a project
funded under -Title I of the Housing Act of 1949 as amended,
including an urban renewal project pursuant to the
provisions of §570.801(b), (c), and (d).
(11) Relocation payments and assistance for indivi-
duals, families, businesses, nonprofit organizations, and
farm operations displaced by activities assisted under
this Part.
(12) Activities necessary (i) to develop a comprehen-
sive community development plan addressing the needs,
strategy, and objectives to be summarized in the appliction
7/76 C-4
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il-
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d
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on %L
4)
6502.1
pursuant to §570.303(a), including but not limited to
land use planning, development of codes•and ordinances
related to housing and community development programs,
and functional planning of activities eligible for
assistance under this subpart, but including only such
public services as are necessary or appropriate to
support activities meeting such needs and objectives,
and (ii) to develop a policy -planning -management
capacity so that the recipient may more rationally and
effectively (A) determine its,community development
and housing needs, (B) set long-term goals and short-
term objectives related to these needs, (C) devise
programs and activities to meet the goals and•objectives,
(D) evaluate the progress of such programs in,,accomplish-
ing these goals and objectives; and (E) carry out manage-
ment, coordination, and monitoring of activities necessary
for effective planning implementation.
(13) Payment of reasonable administrative costs and
carrying charges related to the planning and execution
of community development and housing activities, including
but not limited to (i) housing counseling and other.
activities desiqned to further the fair housing provisions
of 5570.303(e)(1.1)and the housing objectives of 9570.303(c)
(4)(ii), and (ii) the provision of information and, at
the discretion of the recipient, of resources to residents
of areas in which other community development activites
described in §570.303(b) and the housing activities
covered in the Housing Assistance Plan described in
§570.303(c) are to be concentrated with respect to the
planning and execution of such activities.
(b) Notwithstanding anything to the contrary in this
section or in §570.201, any ongoing activity being carried
out in a model cities program shall be eligible for funding
under this Part from that portion of the hold -harmless
amount attributable to such model cities program until
the applicant has received five years of funding for such
activities as calculated pursuant to §570.103(c)(2)(iii).
For the purpose of this paragraph, the term "ongoing
activity" means any model cities activity underway as of
January 1, 1975, that was approved and funded by HUD
on or before June 30, 1974.
(c)' Costs incurred in carrying out the program,
whether charged to the program on a direct or an indirect
basis, must be in conformance with the requirements of
Federal Management Circular 74-4, "Cost Principles
C-5
HUD -Wash., D. C.
7/76
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6502.1 —7 1 1
Applicable to Grants and Contracts with State and
Local Governments." All items of cost listed in
Attachment B, Section C of that Circular (except
Item 6, preagreement costs, which are eligible only
to the extent authorized in §570.302) are allowable
without prior approval to the extent they constitute
reasonable costs and are otherwise eligible under
this Subpart.
9570.201 INELIGIBLE ACTIVITIES.
Any type'of activity not described in §570.200 is
ineligible. The following list of examples of
ineligible activities is merely illustrative, and does,
not constitute a list of all ineligible activities.
(a) Public works, facilities, is and site or other
improvements. The general rule that public works,
facilities, and site or other improvements are ineligible
to be acquired,'constructed, reconstructed, rehabilitated,
or installed'unless they are'specifically mentioned
in 5570.200(a)(2), or were previously eligible.under
any of the programs consolidated by the Act (except the
public facilities loan program, the model cities program,
and as an urban renewal local grant-in-aid eligible
under section 110(d)(3) of the Housing Act of 1949) and
cited in 5570.1(c).. where acquisition of real property
includes an existing improvement which is to be utilized
in the.provision of an ineligible public facility, the
portion of the acquisition cost attributable to such
improvement, as well as the cost of any rehabilitation
or conversion undertaken to adapt or make the property
suitable for such use, shall be.ineligible. Examples
of facilities which cannot be provided with these funds.
include the following:
(1) Buildings and facilities for the general conduct
of government, such as city halls and other headquarters
of government (where the governing body meets regularly),
of the recipient and which are predominantly used for
municipal purposes, courthouses, police stations, and
other municipal office buildings;
(2) Stadiums, sports arenas, auditoriums, concert
halls, cultural and art cente-rs, convention centers,
museums, central libraries, and similar facilities, but
excluding:
7/76
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HUD -Wash., D. C.
Ile
(i) A neighborhood library, and
(ii) cultural, art, museum, and similar facilities
included as part of a neighborhood facility;
(3) Any facility whose service is'communitywide,
or whose function is by its nature communitywide, unless
it serves an entire community of under 10,000 population
or is expressly authorized other than as a neighborhood
facility by §570.200(a)(2). Examples of facilities
which would ordinarily be ineligible as.being communtiy-
wide are central social service facilities, sheltered
workshops, group homes, and halfway houses.
(5) Airports, subways, trolley lines, bus or,other
transit terminals, or stations, and other transoorta-_
tion facilities-; ::-
(6) Hospitals, nursing homes, and other medical
facilities, but excluding a neighborhood facility or
senior center which provides health services; and
(7) Treatment works for sewage or industrial
wastes of a liquid nature.
(b) Purchase of equipment. Except for construc-
tion equipment described in §570.200(a)(2)(xi), the
purchase of construction equipment is ineligible, but
compensation.for the use of such equipment through
depreciation or use allowances pursuant to Attachment
B of Federal Management Circular 74-7 for an otherwise
eligible activity is an eligible cost. The purchase of
furnishings or other personalty not an integral structural
fixture is ineligible unless (1) eligible under
9570.200(a)(8),, (2) specifical-ly mentioned in §570.200
(a), or (3) necessary for use by the recipient in the
administration of its community development program
pursuant to 9'570.200(a)(13).
(c) Operating and maintenance expenses. Except
for the public services described in §570.200(a)(8),
R and the interim assistance authorized under §570.200(a)(4)
C-7 7/76 -
HUD -Wash., D. C.
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afl'irfW4Y'NL3Y:Y`S%�Cf.Ji �u`.L'iii'FN�ei.Y.•��'�.�.T,
6502.1
operating and maintenance expenses in connection with
community services and facilities are not eligible.
Examples.include maintenance and repairs of water and sewer
and parking facilities, -and salaries of staff operating
such facilities.
(d) General government expenses. Except for the
provisions of §570.200(c), expenses required -to carry
out the regular responsibilities of the unit of general
local government are not eligible. Examples include
all ordinary general government expenditures not related
to the community development program described pursuant
to 9570.303(b) and not related to activities eligible
under §570.200.
(e) Political activities. No expenditure may be
made for the use of equipment or premises for political
purposes, sponsoring or conducting candidates meetings,
engaging in voter registration activity or voter
transportation, or other partisan political activities.
(f) New housing construction. Construction of new
permanent residential structures; or any program to
subsidize or finance such construction, is not a
permissible use of funds provided under this Part, except
as provided under the last resort housing provisions of
24 CFR Part 43.
(g) Income payments. Except as authorized under
§570.200, funds may not be expended for income payments
for housing or for any other purpose. Examples include
payments for income maintenance, housing allowances, -
down payments, and mortgage subsidies.
(h) Prior costs. Costs incurred by a recipient
prior to notification of a funding approval -by HUD are
not eligible for assistance under this Part, except where
such costs are to complete activities -previously approved
and assisted under the urban renewal program,, the water
and sewer facilities program, the neighborhood facilities
program, or the open space land program, described in
§570:1(c)(1),(3),(4) and (6); respectively, or where
the costs are incurred in accordance with the timing
requirements of §570.302•, §570.400(e), and §570.602(a).
7/76 ' C-8
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thTQ�1N.N1.,/R.I�Ml4A
CITY OF NEWPORT BEACH
CALIFORNIA 9266n
City Ball.
3300lXewport BIvd.
(714)673-2110
October 28, 1975
The Honorable Donald A. McInnis
Mayor, City of Newport Beach
3300 Newport Boulevard
Newport Beach,•CA 92660•
Dear Mayor McInnis:
At its last regular meeting on October 22, 1975, the,
Community Development Citizens' Advisory Committee discussed
the second year•HUD Program Proposal for Community Development
Block Grant funds. The Committee voted (9-1) in favor of the
following resolution..
"The C.D.C.A.C. supports the first year proposal as
approved by the City Council and recommends that
the second year proposal conform to the objectives
of the Site Acquisition/Senior Center Program, by
requesting additional funds for site acquisition
and staff.support."
Additionally, they asked me to write to you and the Council
to add a few words of explanation •based on my 15 years
experience in working with HUD, and with which the Committee
agreed (9-1).
Briefly, the County -wide second year application will take a.
somewhat different form than -last year. It will be a single
application listing selected projects. Projects to be
selected will be determined by public hearings both at the local
level and the County level. Subsequently,'the projects
proposed will need HUD acceptance; assuming that our difficulties
with the first year application regarding timing of -land
acquisition will be -resolved, then the City will have a "projec•t"
identifiable.and familiar to HUD staff -and County staff.
The C.D.C.A.C. is in the process, with your approval, of making
°* a survey to determine seniors' needs in Newport Beach, the
resultant data will not be ready in time to affect the nature
of the program or project proposed in the City's second year
application.
Accordingly, the recommended course of action is to proceed
along the worthwhi,le'direction you have already initiated,
i.e., the acquisition of a fine property (5th and Marguerite)
The Honorable Donald A. McInnis
Page 2
October 28, 1975
for a proposed Seniors' Center. Noting that in the future,
as indicated by the seniors' survey data, amendments and
revisions to the proposed project can be made, I do -not
believe that properly-documented'amendmeh'•ts would cause a
problem with HUD.
In conclusion I would like to suggest that the City should
assume that the 5th and Marguerite property will be funded
in the first year application and that the wisest and most
acceptable course of action is to continue the Site Acquisition/
Senior Center Program by'submitting a second year program
proposal which requests additional funds for acquisition of
the same property together with staff support funding, and that
potentially the third year proposal could seek the funds
required to complete the acquisition .and additional. funds to build
a Senior Center, together with funds for staff support purposes.
Yours sincerely,
1�
Robert Coles
Vice Chairman C.D.C.A.C.
RC:jmb
L__AJ
r
NEWPORT BEACH
CALIFORNIA
City Hall
3300 Neivpart 131td.
(714)573 2110'
COIGAUNITY DEVELOPMENT CITIZENS ADVISORY COMMITTEE
MINUTES - - October 22, 1975
PRESENTt Robert Coles, Gwen Felton, Ruth Kahn, Elaine Linhoff,
Connie Mumford, Joan Petty, Hall Seely, Ann Spencer,
Willard Wade, Per Trebler, Jeanne Wanlass, Barbara
Glazier.
ABSENT: Alex Schvarz, William Selwyn, John Sindelar,
Lucille Kuehn
STAFF PRESENT: Pat Temple, Tim Cowell
The meeting was called to order at 4sO5 p.m. -in the
City Hall Annex Conference Room. Vice Chairman Robert Coles'
presided in the absence of the Chairman. Ruth Kahn moved that
the minutes of the October 8 meeting be approved. MOTION
PASSED: 8 yes, 2 abstaining, 0 no. '
Quarterly Reports
Connie Mumford moved that the revised draft report be
accepted by the Committee for submittal to the City Council.
MOTION PASSED UNANIMOUSLY.
Application for Second Year HUD funds:
Staff reported a major change in approach for the second -
year applications. A single area -wide application will be
prepared by the County. Cities will make proposals to the.
County, with the Board of Supervisors making the final deter-
mination of priorities in the County. Each city is to hold
two public hearings and have its proposal formulated and sub-
mitted to the County by December 1. Newport Beach has tenta-
tively set two public hearings before the City Council:
November 10 and 24. (These dates are to.be set by the City
Council at its October 28 meeting.) The County will hold a
public hearing in Laguna Beach at 7:30 p.m. November 12 for
Supervisorial Districts 1 and 5, and a County -wide public
hearing will be held November 19 at 10:00 a.m. at the Board
of Supervisors Hearing Room, 515 No. Sycamore, Santa Ana.
Cities are expected to make presentations at the November 12
w
and 19 meetings.
Committee members discussed the on -going commitment
to the Fifth Avenue and Marguerite property for second -year
HUD funds, with third -year funds to complete the purchase
and provide additional funds :for renovation or replacement
of the existing structure.
CDCAC .Minute
October 22, 1975
Page Two
Members also discussed -the needs assessment activities
of the Committee, the fact that the SST Survey will identify
needs of seniors and that the site could house services for
many community needs. It was mentioned that the city is
contributing funds, by allocating funds from the school
lease to the. Committee. The HUD grant was also discussed as
a funding source for other needs surveys undertaken by the
Committee. The Committee agreed that, unless public testimony
at the public hearings showed otherwise, the initial effort,
initiated in the first -year application, to acquire the Firth
and Marguerite site for a senior citizens center, should be
continued.
Joan Petty moved that "The Community Development Citizens
Advisory Committee supports the first year application as
approved by City Council and recommends that the second year
application conform to the objectives of the three-year plan
by requesting additional funds for acquisition of the Fifth
Avenue and Marguerite site and staff support." MOTION PASSED:'
9 YES, 1 NO.
Committee members were urged to attend the November 10
public hearing. Robert Coles agreed to make a presentation
on behalf of the Committee..
SSI Surveys
Committee members were again reminded to give Pat
Temple names of survey volunteers. Committee members could
do some surveying themselves. Pat Temple will send a letter
to civic clubs, including Kiwanis, Rotary, League of Women
Voters, requesting volunteers for 'this project.
.Reports from Members Youth Problems:
Barbara Glazier requested Committee approval of a
questionnaire for activities directors of local high schools."
Questionnaire would provide information on degree to which
students are encouraged to involve themselves in activities.
Committee authorized Barbara to rework questions and use
questionnaire as requested.
Historical Needs:
Ann Spencer reported on -the historical needs she has
identified in the community. She then moved "that the Commun-
.ity Development Citizens Advisory Committee accept this report
to be held in abeyance until such time as it seems feasible
to recommend action to the City Council or such time when it
appears necessary to reconsider the historical/cultural pro-
gram." MOTION PASSED UNANIMOUSLY. Ann's report will be
duplicated for Committee members.
Assessment and Treatment Services Center:
Elaine Linhoff provided copies of her report to members.
To allow members time to study the report, discussion of this
item was continued to the next Committee meeting.
November 2, 1976
The Honorable Milan
and Members of the
3300 Newport Blvd.
we
Carden School
0
Corona del Mar
M. Dostal, Mayor
City Council
Newport Beach, CA 92663
Dear Mayor and Councilmen:
M
)UDITH WILSON, Director
We are aware of the upcoming hearings on the final plan for
the OASIS project as developed by CDCAC. Because actions
taken by the City Council at this time may directly impact
the future of our school we feel it is proper to provide
you with the current status of our operation.
Our school began in the late summer of 1974 with 18 students
using a general purpose room at the Lutheran Church of the
Master in Harbor View Hills. The following year we were
successful in obtaining a year-to-year lease on the city
owned property at Fifth and Marguerite Avenues. Our enrollment
had grown to over 100 at the start of our second year.
At that time we were aware,that the City had plans for the
eventual public utilization of this property and were in
contact with the Irvine Company regarding the acquisition
of a site for a permanent school facility. The Irvine
Company indicated that a suitable site should become available
within two to three years; a time frame which closely matched
the City's expressed plans for Fifth and Marguerite.
In our first year at Fifth and Marguerite we made substantial
improvements to the City's property: grading, landscaping,
painting, sprinklers, carpeting, physical repairs, etc.
totalling over $30,000 in out-of-pocket expenses. >r
b —/
3300 Fifth Avenue o Corona Del Mar, California 92625 • (714) 640-4181
November 2, 19
The Honorable Milan
page 2
M. Dostal, et al 06
In the Spring of this year our request for a renewal of
our lease was approved by the City Council. We were also
optimistic at that time regarding the prospects for securing
a permanent school site prior to the expiration of this
second year's lease. Discussions with the Irvine Company
had revealed that several possible sites should be available
for firm negotiation in the near future.
Over the past few months, however, progress has been slow
and it is becoming more and more likely that we will be
unable to prepare a new home for our school as early as
next summer. Please be assured that we are doing everything
possible to expedite our timely departure from Fifth and
Marguerite.
A decision at this time which "locked -in" the implementation
of the senior's center at the Fifth and Marguerite site in
the summer of 1977 would very likely spell the end for our
school which now meets the educational needs of well over
150 children.
Because of the severe impact your decision may have upon
our future, and because of the existence of numerous viable
alternatives'for initiating senior citizen activities, we
respectfully ask for your consideration of our situation as
you formalize committments regarding Fifth and Marguerite
and the summer of 1977.
Respectfully
Judith Wilson
JW:jg
yours,
A
rr
November 1, 1976
TO THE FILE:
SUBJECT: THE IRVINE COMPANY - MR. AND MRS. JOHN WILSON'S LAND NEGOTIATION
This date I spoke with a Mr. Dan Mispagel, an Assistant to Mr.'Al Auer
in the Commercial Division of The Irvine -Company. The purpose of, my con-
versation was to determine the extent that Mr. and Mrs. John Wil.son had
negotiated with The Irvine Company for land acquisition to relocate the .
Carden School from the Marguerite - 5th Avenue site.
I was informed that on March 3, 1975, The Irvine Company received a letter
from the Wilsons indicating a desire to purchase from four to five acres
in the Corona del Mar area for use as a private school. Several meetings
occurred, after which during June of 1976 a four acre parcel was identified
on San Miguel adjacent to the Metrdpolitan Reservoir. However, it has
since been determined by The Irvine Company that that parcel is not avail-
able for school purposes and the Wilsons have been so notified. As of
this date, therefore, there is no parcel acceptable to The Irvine Company
and the Wilsons for acquisition to relocate the school.
Mr. Mispagel indicated, however, that he would explore again with the
Wilsons in an effort to find a suitable site. He indicates that he would
suggest as a possibility the approximate four acre parcel off of San Miguel
and Pacific View Drive, currently belonging to the Catholic Church. If
this site is acceptable to the Wilsons, the negotiations would have to be
between them and the Catholic Church.
Mr. Mispagel advised he had not seen a financial statement from the Wilsons
and was not knowledgeable therefore on their ability or inability to close
a sale of four to five acres in the Corona del Mar area. He did indicate,
however, that he thought the Wilsons were sincere in their efforts to locate
a parcel.
ROBERT L. WYNN
CC: Members of the City Council
-J_
r
1,':R 1." 1976
RESOLUTION NO. 8735
A RESOLUTION OF THE CITY COUNCIL OF THE CITY
OF NEWPORT BEACH EXTENDING THE LEASE OF THE
CARDEN SCHOOL FOR THE FIFTH AND MARGUERITE
PROPERTY FOR A PERIOD OF ONE YEAR
WHEREAS, on July 21, 1975, the City of Newport Beach
entered into a lease agreement with John D. Wilson and
Judith A. Wilson for the property and improvements situated
thereon located at the northeast corner of the intersection
of 5th Avenue and Marguerite Avenue as more particularly
described in said lease agreement; and
WHEREAS, said property is currently being used for
the purpose of operating a private day school known as The,
Carden School of Corona del Mar; and
WHEREAS, the term of said lease is from year to year,
commencing on the 1st day of August of each year; and
WHEREAS, Judith A. Wilson, as Director of the•Carden�
School, has made a written request to the City Council to;
extend the lease for the following year; and
WHEREAS, on April 12, 1976,-the City Council considered
the request of Carden School for a one year lease extension and
determined that it was in the best interest of the City to
grant such an extension.
NOW, THEREFORE, BE IT RESOLVED that the lease agreement
between the City of Newport Beach and John D. Wilson and Judith
A. Wilson, dba The Carden School of Corona del Mar, dated:
July 21, 1975, is hereby extended for an additional period of
one year, commencing on August 1, 1976.
BE IT FURTHER RESOLVED that all of the terms and
. N
Ve
conditions of said - lease agreement remain in full force and
effect and are fully binding on the parties to said lease
agreement.
ADOPTED this 12th day of April ,. 1976.
Mayor
ATTEST:
City Clerk
DDO/bc
4/13/76
ixl,
77
CITYOF NEWPORT BEACH
CALIFORNIA
DATL' July 21, 1975
TO: FINANCE DIRECTOR
FROM: City Clerk
SUBJECT: Contract No. 1725
City Hall
3300 W. Newport filed.
Area Code 714
673-2110
Description of Contract Lease for City -awned property @ 5th 6 Marguerite,
Corona del liar
Authorized by Resolution No. 8518 , adopted on June 23, 1975
Effective date of Contract July 21, 1975
Contract with Mr. and Mrs. John D. Wilson
The Carden School of Corona del Mar
Address 2017 Min mar Drive
Balboa CA 92661
Pmount of Contract $1,875.00 per month
ity e c
�► all,
LEASE
(5th & Marguerite Site)
The Carden School of -Corona del Mar
THIS LEASE, made and entered into this.?/,Aday of .
1975, by and between the CITY OF NEWPORT BEACH, a Municipal Corpora-
tion, hereinafter referred to as "City", and JOHN D. WILSON and
JUDITH A. WILSON, husband and wife, doing business as The Carden
School of Corona del Mar, 2017 Miramar Drive, Balboa, California
92661, hereinafter referred to as "Lessee":
W I T N E S S E T H:
A. City holds title to that certain real property consist-
ing of two classroom buildings and administrative building in the
City of Newport Beach, County of Orange, State of California, located
at the northeast corner of the intersection of 5th Avenue and
Marguerite Avenue and which is described as:
A portion of Block 96 of the Irvine Sub-
division, recorded in Book 1, page.88,
Official Records of Orange County, as
more particularly described on attached
Exhibit I and shown on attached Exhibit II.
B. City proposes to lease to lessee the premises described
hereinabove and the structures located thereon and lessee proposes
to lease from City said real property and buildings, consistent with
the terms, covenants and conditions contained hereinafter.
C. "City desires to retain controls over the use of said
property, which controls are expressed by the terms, covenants and
conditions contained hereinafter to protect the public interest in
and to said property.
NOW, THEREFORE, IN CONSIDERATION OF THE MUTUAL COVENANTS,
hereinafter set forth, it is agreed as follows:
1. Leased Premises. City hereby leases to and lessee
does hereby lease from the City the property described in paragraph
A above.
2. Term. The term of this lease shall be from year to
-1-
year commencing on the 1st day of August of each year, unless sooner
terminated in the manner hereinafter provided.
3. Rental. Lessee shall pay to City, and City shall
accept as rental for said demised premises, the sum of One Thousand
Eight Hundred Seventy Five Dollars ($1,875.00) per month during
each month of the term hereof payable monthly, in advance, on the
first day of each and every month during the term hereof, and
lessee shall pay to City the sum of Three Thousand Seven Hundred
Fifty Dollars ($3,750.00) as payment for the first and last months'
rental under this Lease.
4. Use. Lessee shall use the demised premises, together
with the buildings located thereon, for the purpose of operating a
private day school.
5. Alternate Business Activities. Lessee shall not grant
any concession, license, permit or privilege to conduct any business
or other operation for profit or alter the use or type of service
on the demised premises without the prior written approval of the
City Manager.
6. Supervisory Control. City retains the power to exercise
such supervisory control over the use and operation of the demised
premises by lessee, with the right to enforce such rules, regulations
and orders as may be deemed necessary by City in order to obtain
compliance by lessee with the terms and conditions contained herein.
Lessee agrees to comply with any such rules, regulations and orders.
Any breach by lessee of the terms and conditions of this lease shall
constitute grounds for termination.
7. Utilities and Maintenance. Lessee shall promptly pay
for all utilities services furnished to it, such as gas, telephone,
electricity and water, as well as provide for the day to day
maintenance and repair of the buildings. Lessee shall paint the
buildings, which are presently in a poor condition, weed and land-
scape the area bordering 5th and Marguerite Avenues, and re-
establish the playing field on the east portion on the demised
premises. Lessee shall further make all necessary repairs to the
-2-
plumbing, electrical facilities and other portions of the buildings.
8. Taxes. Lessee recognizes and understands that in
accepting this lease that his interest in the demised premises may
be subject to a possible possessory interest tax that may be imposed
by County authority, and lessee shall pay said tax, should it be
imposed, and such tax payment shall not reduce any rent due hereunder.
9. No Assignment or Subletting. Lessee shall not assign
or sublet this lease, or any portion thereof, nor make or suffer any
alteration to be made in or on said property, other than the main-
tenance required hereinabove, without the prior written consent of
the City Manager.
10. Assumption of Tenant Ability. Pursuant to Section
1942.1 of the California Civil Code, lessee specifically waives his
rights under Section 1941 and 1942 of the California Civil Code,
and lessee agrees that any improvements, repairs or maintenance of
all or portions of the buildings, required to be done by lessee, are
a part of the consideration for the rental hereunder, and the rental
payments hereinbefore set forth, shall not be reduced. Lessee
covenants and agrees to assume all of the obligations and conditions
under Section 1941'and 1942 of the California Civil Code, which
read as follows:
"§1941. [Lessor to make dwelling -house fit for its
purpose]. The lessor of a building intended for
the occupation of human beings must, in the absence
of an agreement to the contrary, put it into a
condition fit for such occupation, and repair all
subsequent dilapidations thereof, which render it
untenantable, except such as are mentioned in section
nineteen hundred and twenty-nine.
§1942. [When lessee may make repairs, etc.] (a) If
within a reasonable time after notice to the lessor,
of dilapidations which he ought to repair, he neglects
to do so, the lessee may repair the same himself,
where the cost of such repairs does not require an
expenditure greater than one month's rent of the
premises, and deduct the expenses of such repairs from
the rent, or the lessee may vacate the premises, in
which case he shall be discharged from further pay-
ment of rent, or performance of other conditions.
This remedy shall not be available to the lessee
more than once in any 12-month period. (b) For the
-3-
40
purposes of this section, if a lessee acts to
repair and deduct after the 30th day following
notice, he is presumed to have acted after a
reasonable time. The presumption established by
this subdivision is a presumption affecting the
burden of producing evidence."
11 Permits and Licenses. Lessee is using the demised
premises for the operation of a private school. Prior to commenc-
ing said -operation, lessee shall obtain, and keep in force and
effect during the term hereof, all permits, licenses or other entitle-
ments to be used issued by any City, County, State, Federal or other
governmental jurisdiction. Should any permit, license or other
entitlement to use be lost or modified, lessee shall forthwith
terminate his operation or if necessary, a part thereof'as is
required by the loss and•reduction of a license, permit, or entitle-
ment to use.
12. Insurance - hold,harmless. Lessee shall save and
keep City, its officers, agents and employees, free and harmless
from any and all claims or demands of any kind or nature whatsoever
arising out of, or incident to, the use and occupancy of the premises
herein demised. In partial performance of this obligation by lessee,
lessee shall procure and at all times during the term of this lease,
maintain in full force and effect, a policy or policies of public
liability and property damage insurance protecting the City of
Newport Beach, its officers, agents and employees from all claims
or demands for damages. The policy, or policies shall provide for
not less than Two Hundred Thousand Dollars ($200,000.00) for injury
or death of one person, Five Hundred Thousand Dollars ($500,000.00)
for injury or death of two or more persons,.and Fifty Thousand
Dollars ($50,000.00) for damages to property. The City Manager may
require an increase in the amount of insurance from time to time
in accordance with the changes and economic conditions. Said policy
or policies shall contain an endorsement which shall provide as
follows:
"Within the limits set forth in this policy, to indemnify
and save the City of Newport Beach, its officers, agents and
OP tr
employees free and harmless from any damages, claims, loss or •
liability of any kind or nature whatsoever which the City of Newport
Beach, its -officers, agents or employees may hereafter sustain or
suffer, or may be imposed upon them, arising out of, or any way
connected with, the use or occupancy by.the insured, its servants,
agents and employees, of the premises described in a lease granted
to the insured by the City of Newport Beach, the City of Newport
Beach is named an additional insured under this policy. It is
further agreed that said insurance shall be primary insurance and
shall not contribute with any other third party liability insurance
available to the City of Newport Beach."
Lessee shall furnish, and maintain with the City, either
the original policy or policies, or a certified copy, or copies,
thereof. The policy or policies, shall be approved as to sufficiency
by the City Manager and as to form by the City Attorney.
Said policy or policies shall further contain a provision
that they may not be terminated without prior thirty (30) days
written notice to the City.
13. City's Right of Inspection. City reserves the right
by its authorized agents, employees or representatives to enter
the leased premises at any reasonable time to inspect the same or
any part thereof and to attend to or protect the City's interest
under this Lease.
14. Compliance with Laws. Lessee covenants and agrees
to comply with all of the rules, regulations, statutes, ordinances
and laws of the State of California, County of Orange, City of
Newport Beach and any other governmental body or agency have a
lawful jurisdiction over the demised premises or the -business,
enterprise or activities conducted thereon.
15. Surrender of Premises Upon Expiration or Termination..
At the expiration of the term of this lease, or sooner termination
of this lease, lessee shall quit and surrender possession of the
property and appurtenances to the City in as good order and condition
as the property was after lessee had performed the maintenance work
-5-
as required under the terms and conditions of this lease, reasonable
wear and tear and damage by the elements excepted.
16. Non -Compliance. If Lessee fails to comply with any
of the terms and conditions of this lease, City may give to the
lessee a notice in writing of such failure and specify therein the
particulars in which lessee has failed to comply with the provisions
of this lease. If Lessee fails for a period of ten (10) days after
the giving of such notice to comply with the provisions of this
lease, the City may, at its option, terminate this lease, and all
rights of lessee herein shall cease and terminate and lessee shall
immediately thereafter peacefully deliver possession of'the premises.
to the City.
17. Default and Termination of Lease.
A. Default. Time and each term, covenant and
condition hereof are expressly made the essence of this lease. If
lessee shall fail to comply with any of the terms, covenants, or
conditions of this lease including the payment of rental' herein
reserved, at the time and in the amount herein required, and shall
fail to remedy such default within thirty (30) days after service
of a written notice from City so to do, or to commence in good
faith to remedy any other default within thirty (30) days and there-
after diligently prosecute the same to completion, or if lessee
shall abandon or vacate the leased premises, City may, at its option,
without further notice or demand,'terminate this lease and enter
upon the leased premises and take possession thereof and remove
any and all persons therefrom with or without process of law.
B. Termination. City and Lessee each respectively
reserve the right to terminate this lease for any reason, and without
cause, at any time by giving the other party ninety (90) days prior
written notice of its intention to terminate.
C. Surrender of Possession Upon Termination. Lessee
covenants and agrees that upon the expiration or sooner termination
of this lease, the lessee will peacefully surrender the leased
premises with all buildings and improvements, in the same condition
M-M
as when received, and as maintained and improved by lessee as
required herein, less reasonable use and wear thereof, any damage
by fire, act of God, or by the elements. Lessee expressly waives
any right which it may have to relocation assistance or other
costs in vacating the demised premises under the relocation law
of the State of California, Section 7260 et. seq. California
Government Code. Any improvements built, constructed or placed upon
the demised premises by the lessee, or anyone holding by, under or
through it, shall remain on the leased premises and become the
property of the City without any costs to City upon termination of
this lease,.whether by lapse of time or by reason of default, unless
the lessee elects removes said improvements within sixty (60) days
following the expiration or termination hereof.
D. Remedies Cumulative. The rights, powers,
elections and remedies of the City contained in this lease shall be
construed as cumulative and on one'of them shall be exclusive of
the other or exclusive of any rights or remedies allowed by law, in
the exercise of one or more rights, powers, elections or remedies
shall not appear or be deemed a waiver of City's right to exercise
any other.
E. No Waiver. No delay or omission of the City
to exercise the right or power arising from any omission, neglect,
or default of the lessee shall impair any such right or power or
shall be construed as a waiver of any such omission, neglect or
default on the -part of the lessee or any acquiescence therein.
No waiver of any breach of any of the terms, covenants, agreements,
restrictions or conditions of this lease shall be construed as a
waiver of any succeeding breach -of the same or of any of the terms,
covenants, agreements, restrictions or conditions of this lease.
F. Holding Over. It is mutually agreed that if the
lessee shall hold over after the expiration of this lease for any
cause, such holding over shall be deemed a tenancy from month to
month only, and upon the same terms, conditions and provisions of
this lease.
-7-
G. Notice'to Renew. Should lessee desire to
renew this lease, he shall give City ninety (90) days advance
written notice. The City is not bound or obligated to renew
this lease.
H. Liquidated Damages. Should lessee hold over
after receipt of notice from City to terminate the lease as provided
hereinabove, and not with the consent of City, it is agreed that the
damages suffered by City are extremely difficult to ascertain and
the parties hereto agree that liquidated damages will accrue to the
City in the amout of $60.00 per day held over, in addition to
rental charge payable on a perdiem basis for each day held over
by lessee.
18. Attorneys Fees. Should the City be required to
commence any legal proceedings to enforce a term, covenant or
condition of this lease, the prevailing party shall be compensated
by the other for all costs and attorneys' fees incurred by the
prevailing party in prosecuting an action hereunder.
19. Notices. it is mutually agreed that any notice or
notices provided for by this lease or by law, to be given or
served upon the lessee, may be given or served by mail, registered
or certified, with postage prepaid, and if intended for the City
of Newport Beach, addressed to the City Manager, Newport Beach,
California 92660 or at such other address as may hereafter be
furnished to the lessee in writing and if intended for the lessee,
addressed to lessee, 2017 Miramar Drive, Balboa, California 92661.
Said notice may also be served personally from the other party,
and such service shall be deemed complete at the expiration of
forty-eight hours from and after the deposit in the United States
Mail of such notice, demand or communication.
20. Assurances. The lessee gives to the City such
assurances as are contained in attached Annex No. 1, as said
assurances can apply to lessee, which is incorporated herein by
this reference and any breach of any said assurances shall be cause
for termination as hereinabove provided.
IN WITNESS WHEREOF, the parties hereto have executed
this lease as of the day and year first above written.
CITY OF NEWPORT BEACH
By-Z«o
;
Mayo
ATTEST:
LIZIZ A��
City Clerk d, a
\ THE CARDEN SCHOOL OF CORONA DEL MAR.
c
By
161Th D�Wilsofi
BY
udith A. Wilson
C
CITY OF NEWPORT BEACH
OFFICE OF THE CITY MANAGER
March 9, 1976
R
TO: COMMUNITY DEVELOPMENT CITIZENS ADVISORY COMMITTEE
ATTN: TIM COWELL
FROM: City Manager
SUBJECT: LETTER FROM CARDEN SCHOOL
Pursuant to the attached letter, Carden School is
requesting another year's lease with the City of Newport Beach
for the use of the Senior Citizens property. The Council has
referred this matter to the Community Development Citizens
Advisory,Committee for the following two reasons: --
The Council would like a recommendation from
the Committee on the attached request.
2. The Council would like t progress report on the
status of the Senior Citizens plan for the five-
plus.acreh in the Corona del Mar area.
Please review this with the Committee and when their
report is ready please notify me so I can schedule it for a,
Council, meeting.
ROBERT L. YNN
r•,,
Carden School
Corona del Isar
IUDITH WILSON, Director
February 24, 1076
H —,3 (ac
The Mayor and Members of the City Council
The City of Newport Beach
3300 Newport Boulevard
Newport Beach, California 92663
Dear Mayor and Members of the City Council:
We hereby request a renewal of Lease C:1725 for the
property at Fifth and Marguerite, Corona del Mar.
Your kind approval of this request for renewal will
permit us to recover a portion of the substantial
investment we have made in improving this property
(as stipulated by the lease agreement) and allow us
a reasonable opportunity to make enrollment committments.
for the Fall of 1976.
Respectfully yours,
The Carden School of Corona del Mar
Judith Wilson
Director
JW; j d"� e
4y 'tilt
E p
OF
3300 Fifth Avenue e Coruna Del Mat, California 92625 a (714) 640-4181
x SEW PART
CITY OF NEWPORT BEACH
cam,= P
q<i FoaN� M- I
January 29, 1976
Mrs. Dorothy Levin
Attorney at Law
'5249 Lampson Avenue
Garden Grove, CA. 92645
Re: 5th & Marguerite School Site
Dear Mrs. Levin:
I am confirming my conversations with you and your secretary
of January 28, 1976 regarding the above subject.
First of all, Mrs. Des Brisay is to contact Mr. Bob Long of
the Newport Beach City Manager's office regarding setting up
a time to view the property abandoned by your client at the
school site, which property has not been removed from the
school site.
Regarding the property which has been transported to the
City's yard in three bins owned by Dewey's Rubbish Service,
Mrs. Des Brisay is to contact Dewey's directly and make arrange-
ments to have Dewey's move the containers to a location of
Mrs. Des Brisay's choice. The expense of this move would be
Mrs. Des Brisay's.
The City is willing to waive the charges accrued against
Mrs. Des Brisay which are set forth in my letter of November
12, 1975 (which amount has increased by the monthly rental _
since the date of that letter) provided, however, your client
must agree to hold the City harmless from any alleged causes
of action she may have against the City in conjunction with
the school lease, the termination of her occupation at the
school site or other related causes of -action.
The re -location of the storage bins must be done rather rapidly,
City IIall • 3300 Newport BottleVard, Newport Beach, California 92663
r
January 29, 1976
Page Two
and in not more than ten (10) days from the date of this
letter, or we will instruct appropriate City officials to
cause notice of an auction of the property to be published
and the auction to be held as soon thereafter as possible.
If you have any questions regarding the foregoing, please
don't hesitate to contact me.
Very truly yours,
HUGH R. COFFIN
Assistant City Attorney
HRC:yz
cc: Robert Long, Administrative
Assistant
CITY OF NEWPORT BEACH
CALIFORMA 92660
November 12, 1975
Ms. Dorothy Levin
Attorney at Law
5249 Lampson Avenue
Garden Grove, CA 92645
Re: 5th & Marguerite School
Lease Site
Dear Ms. Levin:
This is in response -to your letter of November
City of Newport Beach is willing to waive the
against Mrs. Des Brisay, provided that she agr
the City free and harmless from any alleged ca
she may have in conjunction with the school le
Lion of her occupancy or any other related cau
The costs which the City is willing to waive a
1)
Rent -July 1, - July 31, 1975
2)
Rental of school building space
for 43 days at $8.00 a day
(storage of abandoned school
equipment and materials)
3)
Dewey trash container for 1 month
4)
Moving abandoned equipment and
material into "tool shed"
5)
Moving abandoned equipment and
material into "tool shed"
6)
Rental of piano dolly from Tice's
7)
Hauling of playground equipment
8)
Delivery charge of "tool shed" to
school site
9)
Relocation - Charge "tool shed" to
City yard
10)
Tool shed rental
City Halt
3300 Newport Blvd.
(714) 673-2110
5, 1975. The
following costs
ees to hold
uses of action
ase, the termina-
se of action.
re as follows:
Partial Month Service -
$ 907.77
344.00
18.00
100.00
40.16
4.00
22.50
71.50
160.00
$1,733.93
50.30
$1,683.63
Fis.'torothy Levin
November 13, 1975
Page Two
As you can see, the City of Newport Beach is being more than
generous in offering to waive the above charges against your
client. However, we feel we cannot incur any additional costs
in again relocating the equipment and material when we could
have had that taken care of originally, had your client been
diligent in pursuing her claim for the equipment and material.
She knew full well the City's intent to store, at her cost, and
finally relocate the equipment and material.
Additionally, we feel it is not necessary for the Assistant
City Attorney to view the unloading of the equipment to verify
the inventory. This would be deemed to be an administrative
or ministerial task which could be assigned to any employee
of the City of Newport Beach.
You should also consider and resolve the security interest in
the property claimed by the Bank of America prior to a final
determination of this matter.
The City of Newport Beach is in a position where we can only
indicate to you that we expect your client to have resolved
•her problems with the Bank of America to a satisfactory fashion
and have obtained a release from the Bank of America -and be
willing to pick up either at our yard or cause to be moved, the
three subject tool sheds to a location of your client's choice,
at her cost, on or before November 21, 1975. Other than that,
we have no choice but to. cause the property to be sold at
auction at the next abandoned property auction conducted by
the Newport Beach Police Department.
I hope the foregoing clearly states the position of the City
of Newport Beach in regards to this matter.
Very truly yours,
HUGH R. COFFIN
Assistant City Attorney
HRC:yz
cc: City Manager
Finance Director
1 .J
LAW OFFICES OF
P"A 4V Wt,
attorney at law
DOROTHY LEVIN
attorney at law
SASKIA ARTHUR
attorney at law
November 5, 1975
City of Newport Beach
City Hall
3300 Newport Blvd.
Newport Beach, California 92660
Orange Coun7w,-�Offire
5249 Lampson Ave., Garden Grove, CA 92645
Long Beach Address
P.O. Box 15278, Long Beach, CA 90815
Re: 5th and Marguerite School Lease Site
Attention: Hugh R. Coffin
Assistant City Attorney
Gentlemen:
I have spoken at length to Mrs. Des Brisay and she is
willing to accept your offer to waive all charges and
return her possessions. However, there are two
problems:
Because Mrs. Des Brisay has been treated so shabbily
by the tenant who illegally confiscated her belongings,
as her landlord we shall expect you to deliver the
merchandise at a warehouse of our designation; and,
that someone of your stature and position be present in
order to insure that all of the items on the inventory
are in fact returned to Mrs. Des Brisay.
The file reveals an abhorrent treatment of a taxpayer
and I am certain every effort on your part will be made
to correct these discrepancies.
Your courtesy and cooperation will be sincerely
213 421-1777
714 898-3396
r
•City of Newport Beach
Page 2
Re: 5th and Marguerite School Lease Site
November 5, 1975
aDDreciated.
DL:njd
8
JIJ
091
0,0
We
Carden School
Coronadel Mar
October 1, 1975
Mr. Robert Long
Assistant City Manager
City of Newport Beach
3300 Newport Blvd
Newport Beach, CA 92660
Dear Bob:
We have deducted the following expenses from our October
lease payment (payment enclosed):
Storage of Mrs. Lindow's property
School
building space
- 43 days @ $8/day
$344.00
Dewey
trash container
- 1 month
18.00
Moving expenses
20 man-hours (school supplied) @ $5/hr 100.00
Contracted labor (Manpower Services) 40.16
Rental of Piano Dolly from Tice's 4.00
Hauling of Playground Equipment 22.50
Total vi �, $528.66
Also enclosed is an inventory of Mrs. Lindow's property.
I have a more detailed inventory available which is also
much less readable. I have attempted to list the most
important items.
Yours truly,
John D. Wilson
3300 Fifth Avenue • Corona Del Mar, California 92625 • (714) 640-4181
r�
04
Inventory of Mrs. Lindow's Property
Transported to City Yard in Three Storage Containers
Quantity Description
1
Clothes Washer
1
Clothes Dryer
1
Gas Range
1
Refrigerator
1
Freezer
1
Dishwasher
1
Kirby Vacuum Cleaner
1
Couch
1
Portable electric typewriter
2
Stuffed Chairs
1
Wood Cabinet
5
Office type desks
1
Bean Chair
--
Misc Blankets and drapes
26
Small Cots
5
Record Players
1
Roaster/Grill
1
Wet Suit
4
Tricycles
73
Modular Desk/Chairs (Student desk)
129
Student chairs
11
Multi -Student Tables
1
Round Adjustable Table
1
Oval Throw Rug
1
File Cabinet
6
Toy Stoves or Sinks
1
Piano
1
Round Table
1
Medicine Cabinet
1
Plywood Cabinet
1
Small Rocking Chair
1
Small Chair
1
End Table
31
Boxes of Saltine Crackers
2
4 x 4 Orange Wood Tables
2
3 x 7 Orange Wood Tables
3
Suit Cases
3
Book cases
1
Lawnmower
1
Playhouse
1
Paper Cutter
1
Box Yarn (nice)
4
Easels
22
Boxes (some very large) of books
1
Teather Ball with Pole
1
Case of 24 10 oz cans Pizza Sauce
1
Bench
1
Rocking Chair
1
Swivel Chair
MANAGERS OFFICE
45,Dfit`j 7G7S
CITY of
NESY`CALIII. i`•/
Page two - Inventory
The remainder of the property consists of an incredible
collection of junk, mostly in boxes. Items included are
trash can, empty plastic containers, auto club books,
more saltines, cans of beans, boxes of empty glass jars,
3 boxes (15,000 sheets) of printed brochures, Z cases of
royal gelatin, 11 tubes of toothpaste, step stool, used
tractor tireold environmental reports, empty egg cartons,
water cooler,, box of broken toys*and parts, toilet tissue,
many boxes of personel papers, boxes with small clothes,
christmas stuff, paint cans, garden compounds, several
paintings, window shades, crayons, etc, etc.
� k,AW OFFICES OF
LACKMAN AND LACKMAN
SUITE 200
SAMUEL LACKMAN to PINE AVENUE
I.AWRENCE M. LACKMAN LONG BEACH, CALIFORNIA 90802
"2.0026 - 437-2362 - 438.40?3
IN REPLY REFER TO
Gepter-ber 12, 1975 , 366475
hk-srcelle Des Brisay
5382 Marietta "--• �
' �.,arden !':rave, California 92645 s `�c�'-� = 1�.%S •-_.
' ''" ,— •i
Dear Firs. Des Brisay: f
'• `.:
� This will confirm our telephone conversation of. Thursday, ..S.e�r 11,
1975 concerning your claims against the City of DTe >E<irt',BeacTi�t al.,
for unlawful eviction, interference with eocnamic expectancy, i*ttentional
invlic:tion of evotional distress, and such other causes of actions as
%rf we have discussed.
I•
It is our understanding that after a few days rest, you and your husband
have concluded that the costs of litigation and potential recovery, when
cotzpared to the recover, of your health, dces not warrant Iitigatior_.
'Accordingly, tre enclose our state*ent to fees for titre expended to date,
- which we trust you will find satisfactory.
I� It is our further understandinq that you will discuss directly with
J T'.r. Coffin, Deputy City Attorney, a tratual release with the City by which
each will agree to waive any and all clairst demands, etc., and in
consideration thereof the City, will oraive its claim for unpaid rent in
the appmd.rate srLi of $700.00.
As far as the City is concerned, this release would not include, any claim
that you tray have against the subsequent lessee who, according to mr. Coffin,
without the kncxaledge, permission or consent of the City, proceeded to.
oust you from possession.
a
T-Te appreciate the opportunity of having been of service to you in this '
matter and trust you will feel free to can-muhicate'trith us should you
have any question concerning the same, or the other tretter that ices briefly
discussed.
Very truly yours,
LAACh'PWJ AND LACfQ'4 4
By 1'. ;V c li i/. �r� ✓
1. H. TAC10MAT
TITL:mg
CC: TTugh Tt. Coffin, Esq.
Encl.
Dictated but not read.
0
44iA��'A 0
+CITE' OF, NEWPORT BEACH
CALIFORNIA 92600
September 10, 1975
Mr. Lawrence H. Lackman
Lackman & Lackman
Attorneys at Law
19 Pine Avenue
Suite 200
Long Beach, California
Re: 5th & Marguerite School Lease Site
Dear Mr. Lackman:
City 11211
3300 Newport Blvd.
(714)673 2110
r
On September 10, 1975 the City's lessee at the 5th & Marguerite
school site in Corona del Mar caused the property of your
client, Mrs. L. Des Brisay, abandoned on the'property to be
transferred to large, closed and lockable storage bins which will
be transported on September 10 or 11, 1975 to the City's
corporation yard.
Unless your client makes arrangements to reclaim the abandoned
property on or before October 15, 1975, and pays the necessary
moving and storage charges, the City will cause this property
to be sold at the City's excess property auction in November,
1975.
If you have any questions regarding this matter, please don't
hesitate to contact me. n ,.
HRC:yz
cc: Mr. Robert Long,
Administrative Assistant
a 0
Fe Carden School
9f
Corona Del li/Ilar
September 5, 1975 1UDITH WILSON, Director
City Attorney
The City of Newport Beach
3300 Newport Blvd.
Newport Beach, Calif. 92660
Dear Sirs:
When we moved into the facility at Fifth and Marguerite
avenues in Corona del Mar, we allowed the City, as our
landlord, to store some property of the prior tenant
in one of the rooms. It was our understanding that
the need for such'storage would cease after 30 days.
The 30 days have expired and we will no longer be able
to accommodate the storage of this property at our
facility.
NOTICE OF INTENT
On Monday, September 8, 1975, we will order and cause
to be delivered to our facility storage devices of suitable
size'and quantity to contain the property of the prior
tenant. We intend to load this property (with the exception
of large items such as playground equipment) into these
devices. We will then transport the containers and all of
the prior tenant's property to the City Yard of Newport'
Beach where it shall be deposited. We shall seek
remuneration from the City of Newport Beach for the
cost of performing this storage and transfer.
ck,
ours' truly, r
flohn D. Wilson
2900 Pacific View Drive q, Corona Del Mar, California 92625 0 (714) 640-4181
CITE' OF NEWPORT BEACH
PARKS, BEACHES AND RECREATION DEPARTMENT
+August" 1'3,• 1975 .
Mr. John Wilson
c/o Carden School
3300 Fifth Avenue
Corona del Mar, CA -
Dear John:
City Hall
3300 W. Newport Blvd.
Area Code 714
440.2271
This letter is to confirm our telephone conversation regarding
the Ficus benjamina trees Located on City property at Fifth
and Marguerite.
We are authorizing approval for you to have these trees boxed
and held on the property until such a time as they are sale-
able and then funds received from the trees will be used•to
offset the landscaping expenditures that you will provide
on this City -owned site. in order to keep the City apprised
of the landscape installations that you propose, it would be
well if our landscape planner, Dave Fennell, has an opportunity
to review your plans prior to installation. David would also
be available to answer any questions that you might have rela-
tive to landscaping the site and possibly could give you some
advice as to what materials should -or should not be used at
that location.
I know that you are planning to do a good job of beautifica-
tion at the school and the money derived from the subject
trees may assist'you in offsetting some of those expenditures.
Sincere
lt�
Calvin C: Stewart
Director.
CS:ci
cc: Robert'Wynn, City Manager
Q / �
l�
,( LEASE
\ (5th & Marguerite Site) ✓ '
The Carden School of Corona del Mar
THIS LEASE, made and entered into this, / ay of�.
1975, by and between the CITY OF NEWPORT BEACH, a Municipal Corpora-
tion, hereinafter referred to as "City", and JOHN D. WILSON and
JUDITH A. WILSON, husband and wife, doing business as The Carden
School of Corona del Mar, 2017 Miramar Drive, Balboa, California
92661, hereinafter referred to as "Lessee":
W I T N E S S E T H:
A. City holds title to that certain real property consist-
ing of two classroom buildings and administrative building in the
City of Newport Beach, County of Orange, State of California, located
at the northeast corner of the intersection of 5th Avenue and
Marguerite Avenue and which is described as:
A portion of Block 96 of the Irvine Sub-
division, recorded in Book 1-, page 88,'
Official Recoras-of Orange County, a.%
more particularly described on attached
Exhibit I and shown on attached Exhibit Ir."
B'. City proposes to lease to lessee the premises described
hereinabove and the structures located thereon and; lessee proposes -
to lease from City said real property and buildings,, consistent -with
the terms, covenants and conditions contained hereinafter.
C. City desires to retain controls over the use of said -
property, which controls are expressed by the terms, -covenants and.'
conditions contained hereinafter to protect the public interest in..
and to said property.
NOW, THEREFORE, IN CONSIDERATION OF THE MUTUAL COVENANTS,,
hereinafter set forth, it is agreed as follows:
1. , Leased Premises. City hereby leases to and lessee
does hereby, lease from the City the property described in pa;tiaciraplr
A above.
2. Term. The term of this lease shall be from year to
-1-
year commencing on the 1st day of August of each year, unless sooner
terminated in the manner hereinafter provided.
3. Rental. Lessee shall pay to City, and City shall
`lam accept as rental for said demised premises, the sum of one Thousand
Eight Hundred Seventy Five Dollars ($1,875.00) per month during
each month of the term hereof payable monthly, in advance, on the
first day of each and every month during the term hereof, and
lessee shall pay to City the sum of Three Thousand Seven Hundred
Fifty Dollars ($3,750.00) as payment for the first and last months
rental under this Lease.
4. Use. Lessee shall use the demised premises, together
with the buildings located thereon, for the purpose of operating a
private day school.
S. Alternate Business Activities. Lessee shall. not grant
any concession, license, permit or privilege to conduct any business
or other operation for profit or alter the use or type of service
on the demised premises without the prior written approval of the
City Manager.
6. Supervisory Control. City retains the power to exercise
such supervisory control over the use and operation of the demised
premises by lessee, with the right to enforce such rulest regulations
and orders as may be deemed necessary by City in order to obtain
compliance by lessee with the terms and conditions contained herein -
Lessee agrees to comply with any such rules, regulations and orders.
Any breach by lessee of the terms and conditions of this lease shall
constitute grounds for termination.
7. Utilities and Maintenance. Lessee shall promptly pay,
for all utilities services furnished to it, such as gas, telephone,
electricity and water, as well as provide for the day to day
maintenance and repair of the buildings. Lessee shall paint the
buildings, which are presently in a poor condition, weed and land-
scape the area bordering 5th and Marguerite Avenues, and re-
establish the playing field on the east portion on the demised
premises. Lessee shall further make all necessary repairs to the "'�
E
plumbing, electrical facilities and other portions of the buildings.
8. Taxes. Lessee recognizes and understands that in
accepting this lease that his interest in the demised premises may
be subject to a possible possessory interest tax that may be imposed
by County authority, and lessee shall pay said tax, should it be
imposed, and such tax payment shall not reduce any rent due hereunder.
9. No Assignment or Subletting. Lessee shall not assign
or sublet this lease, or any portion thereof, nor make or suffer any
alteration to be made in or on said property, other than the main-
tenance required hereinabove, without the prior written consent of
the City Manager.
10. Assumption of Tenant Ability. Pursuant to Section
1942.1 of the California Civil Code, lessee specifically waives his
rights under Section 1941 and 1942 of the California Civil Code,
and lessee agrees that any improvements, repairs or maintenance of
all or portions_of the buildings, required to be done by lessee, are
a part of the consideration for the rental hereunder, and•the rental
payments Yiereinbefore set forth, shall not be reduced.. Lessee
covenants and agrees to assume all of the obligations-andconcTitions
under'Section 1941 and 1942 of the California Civil Code, which
read as follows:
llk1941. [Lessor to make dwelling -house fit for its.
purpose]-. The lessor of a building intended for
the occupation of human beings must, in the absence
of an agreement to the contrary, put it into a
condition fit for such occupation, and repair all
subsequent dilapidations thereof, which render it
untenantable', except such as are mentioned'in section
nineteen hundred and twenty-nine.
§19.42. [When lessee may make 'repairs, etc.] (a) If
within a reasonable time after notice to the lessor,
of dilapidations which he ought to repair, he neglects
to do so, the lessee may repair the same himself,,
where the cost of such repairs does not require art
expenditure greater than one month's rent of the
premises, and deduct the expenses of such repairs from
the rent, or the lessee may vacate the premises, in
which,case he shall be discharged from further pay-
ment of rent,'or performance of other conditions.
This remedy shall not be available to the lessee
more than once in any 12-month period. (b) For the
n.Y
-3-
S
0
C 40
purposes of this section, if a lessee acts to
repair and deduct after the 30th day following
notice, he is presumed to have acted after a
reasonable time. The presumption established by
this subdivision is a presumption affecting the
burden of producing evidence."
11 Permits and Licenses. Lessee is using the demised
premises for the operation of a private school. Prior to commenc-
ing said operation, lessee shall obtain, and keep in force and
effect during the term hereof, all permits, licenses or other entitle-
ments to be used issued by any City, County, State, Federal or other
governmental jurisdiction. Should any permit, license or other
entitlement to use be lost or modified, lessee shall forthwith
terminate his operation or if necessary, a part thereof as is
required by the loss and reduction of a license, permit, or entitle-
ment to use.
12. Insurance - hold harmless. Lessee shall save and
keep City, its officers, agents and employees, free and harmless
from any and all claims or demands of any kind or nature whatsoever
arising out of, or incident to, the use and occupancy of the premises
herein demised. In partial performance of this obligation by lessee•,
lessee shall procure and at all times during the term.of this lease,
maintain in full force and effect, a policy or policies of public
liability and property damage insurance protecting the City of
Newport Beach, its officers, agents and employees from all claims
or demands fbr damages. The policy, or policies shall provide for
not less than Two Hundred Thousand Dollars ($200,000.00) for injury
or death of one person, Five Hundred Thousand Dollars ($500,000.00),
for injury,or death of two or more persons, and Fifty Thousand
Dollars ($50,000.00) for damages to property. The City Manager may
require an increase in the amount of insurance from time to time
in accort'ance with the changes and economic conditions. Said policy
or policies shall contain an endorsement which shall provide as
follows:
"b;:thin the limits set forth in this policy, to indemnify--*
and save the City of Newport Beach, its officers, agents and
M
I
employees free and harmless from any damages, claims, loss or
liability of any kind or nature whatsoever which the City of Newport
Beach, its officers, agents or employees may hereafter sustain or
suffer, or may be imposed upon them, arising out of, or any way
connected with, the use or occupancy by the insured, its servants,
agents and employees, of the premises described in a lease granted
to the insured by the City of Newport Beach, the City of Newport
Beach is named an additional insured under this policy. it is
further agreed that said insurance shall be primary insurance and
shall not contribute with any other third party liability insurance
adailable to the City of Newport Beach."
Lessee shall furnish, and maintain with the City, either
the original policy or policies, or a certified copy, or copies,
thereof. The policy or policies, shall be approved as to sufficiency -
by the City Manager and as to form by the City Attorney.
Said policy or policies shall further contain a provision
that they may not be terminated without prior thirty (30) days
written notice to the City,
13•: City's Right of Inspection. City reserves the right
by its authorized agents, employees or representatives•to! enter
the leased premises at any reasonable time to inspect the same or
any part thereof and to attend to or protect the,Cityl& interest
under this Lease.
14. Compliance with Laws. Lessee covenants and -agrees
to comply with all of the rules, regulations, statutes, ordinances
and laws of the State of California, County of Orange, City of
Newport Beach and any other governmental body or agency have a
lawful jurisdiction over the demised premises or the -business,,
enterprise or activities conducted thereon,,
15. Surrender of Premises Upon Expiration or Termination.
At the expiration of the term of this lease, or sooner termination
of this lease, lessee shall quit and surrender possession of, theme
property and appurtenances to the City in as good order and condition
as the property was after lessee had performed the maintenance work :I
G
C • r.0
as required under the terms and conditions of this lease, reasonable
wear and tear and damage by the elements excepted.
16. Non -Compliance. If Lessee fails to comply with any
of the terms and conditions of this lease, City may give to the
lessee a notice in writing of such failure and specify therein the
particulars in which lessee has failed to comply with the provisions
of this lease. If Lessee fails for a period of ten (10) days after•
the giving of such notice to comply with the provisions of this
lease, the City may, at its option, terminate this lease, and all
rights of lessee herein shall cease and terminate and lessee shall
immediately thereafter peacefully deliver possession of the premises
to the City.
17. Default and Termination of Lease.
A. Default. Time and each term, covenant and -
condition hereof are expressly made the essence of this lease.. if
lessee shall fail to comply with any of the terms, covenants, or
conditions of this lease including the payment of rental herein
reserved, at the time and in the amount herein required, and shall
fail to remedy such default within thirty (30) days after service
of a written notice from City so to do, or to commence in good
faith to remedy any other default within thirty (30) days and there-
after diligently prosecute the same to completion, or if lessee
shall abandon or vacate the leased premises, City may, at its option,
without further notice or demand, terminate this lease and enter
upon the leased premises and take possession thereof and remove
any and all persons therefrom with or without process of law.
H. Termination. City and Lessee each respectively
reserve the right to terminate this lease for any reason, and without
cause, at any time by giving the other party ninety (90) days prior
written notice of its intention to terminate.
C.. Surrender of Possession Upon Termination. Lessee
covenants and agrees that upon the expiration or sooner termination
of •t.his lease, the lessee will peacefully surrender the leased
premises with all buildings and improvements, in the same conditicn.
-6-
C•
t
as when received, and as maintained and improved by lessee as
required herein, less reasonable use and wear thereof, any damage
by fire, act -of God, or by the elements. Lessee expressly waives
any right which it may have to relocation assistance or other
costs in vacating the demised premises under the relocation law
of the State of California, Section 7260 et. sect. California
Government Code. Any improvements built, constructed or placed upon
the demised premises by the lessee, or anyone holding by, under or
through it, shall remain on the leased premises and become the
property of the City without any costs to City upon termination of
this lease, whether by lapse of time or by reason of default, unless
the lessee elects removes said improvements within sixty (60) days
following the expiration or termination hereof.
D. Remedies Cumulative. The rights, powers,
elections and remedies of the City contained in this lease -shall be,
construed as cumulative and on one of them shall be exclusive of
the other or exclusive of any rights or remedies allowed by law, in
the exercise of one or more rights, powers, elections or remedies
shall not appear or be'deemed a waiver of City's right to exercise
any other.
E. No Waiver. No delay or omission of''the City,
to exercise the right or power arising from any omi:ssion,.negiect,
or default of the lessee shall'impair any such right or power or
shall be construed as a waiver of any such om%ssiori, neglect or '
default on the part of the lessee or any acquiescence therein.
No waiver of any breach Of any of the terms, covenants, agreements.,
restrictions or conditions of this lease shall be construed as a
waiver of any succeeding breach of the same or of any of the terms,,
covenants, agreements, restrictions of conditions of this lease.
F. Holding over. It is mutually agreed that if the
4---lessee shall hold over after the expiration of this lease for any
cause, such holding over shall be deemed a tenancy from month to,
month only, and upon the same terms, conditions and provisions of
i
this lease.
(0
co
G.
Notice
to Renew.
Should
lessee desire to
renew
this•lease,
he.shall
give City
ninety
(90) days advance
written notice. The City is not bound or obligated to renew
this lease.
H. Liquidated Damages. Should lessee hold over
after receipt of notice from City to terminate the lease as provided
hereinabove, and not with the consent of City, it is agreed that the
damages suffered by City are extremely difficult to ascertain and
the parties hereto agree that liquidated damages will accrue to the
City in the amout of $60.00 per day held over, in addition to
rental charge payable on a per diem basis for each day held over
by lessee.
18. Attorneys Fees. Should the City be required to
commence any legal proceedings to enforce'a term, covenantor
condition of this lease, the prevailing party shall be compensated
by the other for all costs and attorneys' fees incurred by the
prevailing party in prosecuting an action hereunder.
19. Notices. It is mutually agreed that any notice or
notices provided for by this lease or by law, to be given or
served upon the lessee, may be given or served by mail, registered
or certified, with postage prepaid, and if intended for the City
of Newport Beach, addressed to the City Manager, Newport Beach,
California 92660 or at such other address as may hereafter be
furnished to the lessee in writing and if intended.for the lessee,
addressed to lessee, 2017 Miramar Drive, Balboa, California 926,61.
Said notice may also be served personally from the other party,
and such service shall be deemed complete at the expiration of
forty-eight hours from and after the deposit in the United States
Lail of•such notice, demand or communication.
20. Assurances. The lessee gives to the City such
assurances as are contained in attached Annex No. 1, as said
assurances can apply to lessee, which is incorporated herein by
this reference and any'breach of any said assurances shall be cause
for termination as hereinabove provided.
IN WITNESS WHEREOF, the parties hereto have executed
this lease as of the day and year first above written.
ATTEST:
CITY OF NEWPORT BEACH
'- �'. � tea_ //_ ✓•..�, ...
THE CARDEN SCHOOL.OF'CORONA.DEL MAR
By
n D: Wi so
By7s-
udith A. Wilson
-9-
c • c 0
4
Beginning at a point on the northeasterly
right-of-way line of Fifth Avenue, which
point is at the beginning of the right-of-
way line radius at the northeasterly inter-
section of Fifth Avenue and Marguerite Avenue;
thence southeasterly along said northeasterly
right-of-way line a distance of 514.63 feet;
thence northeasterly, along a line lying
S. 400031561 W, a distance of 313.75 feet;
thence northwesterly, along a line lying
S 59025116/1 E, to the intersection of said
line with the southeasterly right-of-way
line of Marguerite Avenue; thence southwesterly
along said right-of-way line and following
the right-of-way line radius at the northeasterly
intersection of Fifth Avenue and Marguerite
Avenue back to the point of beginning.
EXHIBIT I
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'•�' .,' • ASSURANCES
(INSTRUCTIONS: The City must provide assurances
following items: The only exception is item No.
certify as to either. (a) or (b), or to both.)
and/or certify to all of- the
9 for which the City must
The City hereby assures and certifies that he will comply with the fiscal and
accounting regulations, policies, guidelines and requirements of the County
of Orange as they relate to the acceptance and use of Federal funds the-County
this
federally —assisted program. •Also, the City.. gives assurance and certifies with
respect -to the grant that:
1. It possesses legal"authority to submit the.•component•grant application
and to' execute the proposed progicam,that a resolution motion or similar
action has been duly adopted or passed as ati official act -of the .City's
governing body; authorizing the filing of the component application,' -
including all understandings and assurancesicontatned therein, and
directing and, designating the City's chief executive officer as the
authorized 'representative of the City to act iri connection with .the
application' and to provide such additional information as•may.*be require
2. It will comply with:•
(a) Title'V.I of the Civil Rights Act of 1964(P-Z.88-352)• and In. accord-
ance 'sri.th Title VI of that Act, no person in the United States shall
on. the ground of race..'- color, or national origin, be excluded from
participation in, be denied the -benefits of," or be other w3s"e,eube,
ject.d to discrimination under any program or activity for which
the'City receives Federal financial assistance and' will iinmexUately
take any measures necessary to effectuate this agreement.• rf. any
_ real: property or structure thereon is provided • or imprigyezd vi. the,aid"of Federal financial• assistance extended to.. the, CUy, this
assurance shall .obligate the City or in the• case of" any trin,*fer,
of'such property, any transferee, for the period during which the
real' property or structure is used for a purpose ikor which tie
Federal financial assistance is "extended ox, fo% a-nother p!urpp"a,e '
involving the provision of similar services or benef`its.
(b.)" Title VIII ;of the Civil Rights Act. of 196'8(7P284)' as..amimde �
and•• will administer all programs and' activities" re3:ating, .•to -housing
and community development -in a manner'to aMrmativelY further fair
housing. .. '• ; .•: ...: • ..; ,..,.
(c) Section'109 of the Housing and Community'Develo'pment Aht"of•TaTk an
In conformance with all requirements impose& by"or.pursuant to tiie
Regulations of the Department (24 CFR Part• 570:-601), issued Rursu-a-'at,
to that tectioh; and in accordance, with.that Section.,, no, pers,ou In -
the. United States shall on the ground of r. race,, colp,, .national dr.4i
or s_x; be excluded from participation in, be denied the-b eneflts•o
or be subjected to discrimination under, any. program or activity
funded :'n whole or in part •with the community development funds.
(d) Executive Order 11063 on - equal opportunity in Fro,using;.'
(e) Section'3 of the.Housing and Urban Development Act of 1O8, as
aiaended requiring that to the greatest extent feasiale opportuaitie"
for training and employment be given lower income residents of titer
project area and contracts for work in connection with. the project
be'awarded to eligible business concerns which are located in, or
awned in substantial part by, persons residing in the area of the
project. w
3. Prior to the submission o
(a) Pro;.ded citizens wit
. of funds available fo
f its component, application,.tae C;ty has: .
h adequate information concerning the amount
r proposed community development and 'housing,
ANNEX NO. 1
activities; the of activities that mt undertaken, and other
important program requirements;
(b) Held at least two public hearings to obtain the views of citizens
on community development and housing needs; and
(c) Provided citizens an adequate opportunity to participate in the•d.evelo
went of the component application and in the development of any revisi
changes, or amendments.
4. The City will:
(a) Provide fair and reasonable relocation payments and assistance in acco
ante with Sections 202, 203, and 2042 of the Uniform Relocation Assis-
tande and Real Property Acquisition Policies Act(P.L.91-646) and appli
•cable.HUD regulations, to or for families, individuals, partnerships,,'
corporations or associations displaced as a result of any acquisition
or real property assisted under the program;
(b) Provide relocation assistance programs offering the'services described
in Section 205 of P.L.91-646 to such displaced families, individuals, '
partnerships, corporations or associations -in the manner provided unde
applicable HUD regulations;
(c) Assure that, within a reasonable time prior to displacements deeant3,
safe, and sanitary -replacement dwellings will be available't,o such
displaced families and individuals in .accordance, with Section 7.05(c)
(3) of•P.L.91-646;
(d) Inform affected persons of the benefits, policies,. and proiaedures•pro-
vided-for under HUD regulations;, and
(e)•Carry out -the relocation process in such a manner as .tb�-provide dis-•
placed persons with uniform and consistent services, and assure that
replacement' housing Rill 'be -available in the same 'range, of chaices _
with respect to such housing to all displaced persons regardless of
"rade, color,, religion, or natipnal origin.
5. The City will:
(a) In acquiring real property in connection with the community developmen
block grant program, be guided to the extent permitted 'under State law,
by the real property acquisition policies set out under Section 301
of the Uniform Relocation Assistance and Real Property Acquisition
Policies Act and the provisions of Section 302 thereof;. ,
(b) Pay or reimburse property owners for necessary expenses as specified
in. Section• 303 and 304 of the Act; and-
(c) Inform affected persons of'the benefits, policies, and procedures pro-
vided for under HUD -regulations.
6. It will give HUD and the Comptroller General through any authorized repre-
sentative access to and the right to examine all records, bobka,•papers,
or documents related to the grant.
7. The City .will comply with the provisions of the Hatch Act which limit the
political activity of employees.
6. It will comply with the provisions of: Executive Order 11296, relatingto
evaluation of .flood hazards.' and Executive Order 11238, relating to the
prevention, control, and abatement of water pollution.
I 9.
The Community Development Program:
(a) Gives maximum feasible priority to activities which will benefit
low -or moderate -income families or aid in the prevention or
e]:imination of slums or blight;
i
co
(b) Contains activities designed to meet other community develop-
` merit, needs having a particular urgency which are specifically
identified and described in the City's community development
plan summary and community development program.
10. It will establish safeguards to prohibit employees from using positions fo
a purpose that is or gives the appearance of being motivated by_a desire
for private gain for themselves or others, particularly those with whom
they have family, business, or other ties..
legal Certification: As counsel for the City and an attorney -at -law
admitted to practice in the State in which the City is located, X certify
that the facts and representatives coptained in Assurance I4o. l above.
.to be true .and in accordance with State and local law.
Mrs. Marcelle
New portX_vi '
ment Cente
5th & Marg er
Corona de Ma
to Avenue
, CA 92625
OP NEWPORT BEACH
-CALIFORNIA
City llall
3300 Newport Blvd.
'( 0673 2110
I am taking the liberty of writing a letter directly to
regarding the lease of the site at 5th & Marguerite in
City of Newport Beach.
As you know, the lease between the State, assumed by the City
of Newport Beach, and Joseph A. Muslin, I assume you are a
sublessee or are in possession of the property under -another
arrangement with Mr. Muslin, terminates July 31, 1975.
We have served a Notice of Termination of Lease and Notice to
Quit, on Mr. Ernest Gilbert of Newport Beach, whom we assume
to be your attorney.
seeking information from you now whether or not you
to voluntarily vacate the premises on or before July
I would hope to hear from you riot more than
the date of this letter as to your intent in
thank you for your courtesy and cooperation.
truly yours,
HUGH R. COFFIN
Assistant City
HRC:yz
cc: Ralph J. Carrel
Ernest Gilbert
Joseph A. Muslin
Bob L9ng
seven (7) days
this matter—
CITY OF NEWPORT BEACH
MEMORANDUM: From Administrative Assistant to the
Dick Hogan, Director City Manager
TO ................ Community,.Development..Dept. Jul ... 2....... 75,.
SUBJECT: 5TH & MARGUERITE PROPERTY
As you know, the City of Newport Beach is terminating the lease on July 31st of
the current tenants at the 5th and Marguerite property.
We have been notified by the lessee that they intend to take all properties
including the fence area surrounding the school. In checking the lease agree-
ment we do not find any provision stating that they own the fence or any other
items, therefore, we would appreciate it if you could have somebody from your
department go to the facility and inventory the premises for our protection.
l ti
If you have any questions, please contact me.
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4299 MacArthur Boulevard, Suite 204
Newport Beach, California 92660
714-752=8313
Mr. Robert Wynn
City of Newport Beach
3300 Newport Boulevard
Newport Beach, California 92660
Dear Mr. Wynn:
american pre•schoois
June 30, 1975
S notice where the City Council recently leased
the old Harbor Day School to the people from
Carden Hall. T am truly sorry that this oppor-
tunity was not made known to the public. We
would have been interested in developing a pre-
school and Sr. Citizen project simultaneously.
If the current lease is truly for one year, we
would like to be notified in advance regarding
future opportunities for this site. in the
interim, we are pursuing other pre-school oppor-
tunities in the community.
Sincerely,
ack Ferry
JP/s
Members
National Association for Child Development and Education -National Association for the Education of YoungChildren•Association for Childhood Education International.
Fj
•
lf� G/A c17s'
NB Leases Acreage
For Private School
NIDWPORT REACH , C
councilmen this week voted
to lease three acres for a ye
to a,prfvate elementary echo
aublee to a e0.day written ea
collation notice.
The council had agreed
principle on June a to lease t
parcel, at eth Street and Mi
guerits Avenue in Corona t
Mar and the three buildings
It to Carden School, the bight
of three bidders.
The .land is part of a 0-ac
parcel the city bought from V
state in April, which was part
the former right-of-way for to
now -defunct Coastal Freeway.
Councilwoman Lucille Kuel
opposed the lease, saying that
might interfere with tented
city plans to build a se
citizens center on the portia
the property to be leased to
But several council mewl
favoring the lease said the i
for citizen center plena no
advanced or certain enough
the city, to pass up the $22
annual rent the city will
from Carden School.
{ UNITFID STATES POSTAL SERVICE
OFFICIAL BUSINESS
I-----�i--_ PENALTY FOR PRIVATE
SENDER INSTRUCTIONS OF POSTUSE TO AVOIDSTAGE, EN
PAYMENT —.
Print your n ing, eddlesa, and ZIP Code In the spec. below.
Complete Item. 1 end 2 "rovers,",,
e rovers, alde.
• Maiaten gummed end, end ettech to b,,k o,,tide.
----- RETURN
TO ids•-,�^
401 Robert J. Long
Administrative
3300 Newport B1
City of Newport
ti Newport Beach,
k�
A 99690
- uAranc�d:
• SENDpt. AM v aM tm m'tihe "R6IVMN 7U" gate ee
1. The US -ling aervke is requested (cheek see)
® Siew In whom and date deft a d.... .------- IN
❑ Show to wiap, date, t addnma of &iiv y_ SS!
❑ DELIVER ONLY TO ADDRESSEE and
show a wUM and due delivered............ 650!
❑ DRUVER ONLY TO ADDRESSES and
show to whom, date, and addmu of
deft a ......... .............. .... 89s
:. AWFWU aeotMq8W M
Ms. W L. Des Brisay, Director
Newport -Riviera EAC Center
5tb i MWguerite. CD?i 9M5
a mete MMrnon
M IM I C"MnED Na I UISURED MO
312982
I have -mved the article described above
S
MAUSE
N
00
m1
Cc1
r�
1y�0�
F�4
RECEIPT FOR CERTIFIED
STREET AND
P.O., STATE AND ZIP CODE
RECEIPT
Apr. 1971 3800
viera EAC Center
e�
6/19/15
where
INSURANCE COVERAGE PROVIDED— (Soo other side)
NOT FOR INTERNATIONAL MAIL > GPO : 10720-460-740
CITY OF NEWPORT BEACH
CALIFORNIA 92s6o
city Hall
3300 Newport Blvd.
(714)673 2110
June 19, 1975
Ms. M. L. Des Brisay
Director
Newport -Riviera Early Achievement Center
5th & Marguerite
Corona del Mar, CA 92625
Dear Ms. Des Brisay:
This is to notify you that the City Council will consider adoption
of a resolution to accept the proposed agreement with Carden School
of Corona del Mar to lease the property at 5th and Marguerite on
June 23, 1975 at the regular Council meeting at 7:30 p.m.
If you are interested, please plan to attend.
Sincerely,
ROBJ DN ERT J. L G
Administrative Assistant
to the City Manager
RJL:ib
lI
O
r'
It
STATE OF CAUFORNIA—HEAYTH :AND WELFARE AGENCY
DEPARTMENT OF iMA1TH
28 CIVJC CENTER PLAZA
SANTA ANA, .CAUFORNIA 927Jn
June IT, 1975
Mrs. Marcelle lindow
Newport -Riviera Early Achievement Center
Fifth and Marguerite
Corona del -Mar, California 92625
Home Residence
3382 Marietta Avenue
Garden Drove, California -92645
Dear Mrs. Undo=
After repeated unsuccessful efforts to xontact you by phone, registered
letter, and by leaving of .deficiency notice at the 3iewpor_t Riviera. Early
-Achievement -Center, we are sending you this registered letter.
We are asking that -you cease operation mf your Pre-school and extended
Day Care program (total) of the Newport Riviera Marly Achievement Center,
31h and Marguerite,.Corona -del Saar, 92625 within two weeks (by'July 1st
1-975) due to repeated violations of the regulations of the Administrative
Bode Title 22 and our xoncern for the safety and well being of the xhildren
.attending.
The :most flagrant ar3alativns whi-eh have nccurred-repeatedly for -over eight
months and you have been requested to correct but have failed to do so are.-
1. Violation of Administrative Code Title 22_section 31201 ,and 31202 -
An approved, .qualified director has not been Dn the premises 3n .charge
of the operation of the facility Mrs. l-ndow eras approved as the di-
rector and she has mot been on the premises for an Extended period and
.could not be reached by phone, letter or messages left at the facility.
2. -Violation of Administrative Code 'Title 22 sections 31210, 33199 end
31200 repeated turn over of staff and no one with authority to super-
., vise .and :direct staff in the care .of the children.
3. Violation -of Administrative Bode Title 22 section 31263 and 31283 toilets
have been inoperable, bathrooms are -filthy, mnsanitary and at -times feces
In she bowl not flushed -or motemptiedSue to toilet being clogged. No
toilet paper mr tamelling-paper 3n bathrooms -conditions threaten the
health and safety of the children.
4. Irresponsible management of the facility Mrs. iindow has failed to com-
muLnicate with the Department of Health ms requested by 11censing evalu-
ator., Mrs. Mir -an. ViolationofAdministrative Code 'Title 22 - Section
31191 and Section 31193•par-t (b).. "
5- Children were removed from the premises without parents knowledge Dr
permission. 'This is violation of Administrative Code Title 22 Section
qb
Mrs. Mareelle lindow — 2 — June 17, 1975
31237 and Section 31225.
6. Lack .of adequate custodial xare xesulting in poor sanitary conditions —
Yiolation Section 31263.
We expect you to =I-ose the mperation of the facility as directed or further
administrative action will be necessary by the Health Department.
_Sineeral7 7oura,
.Anne Mixan
Zixensing 3 valuator
xcs 21r Ron Whitley
Nesport beach Yarks, Beaches & Recreat%on Department'CJ:ty Hall
3300 Newport Boulevard
Newport Beach, .California 92660
Newport Beach-Y re Yrevention BuTeau
Your rase # .OR 8573 WD
1+73 — 32nd Street
Newport Beach, Dali-fornia 9266D
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