HomeMy WebLinkAboutItem E - State Lands Lease F.SEA(e„
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AGENDA STAFF REPORT
DATE: July 10, 2017 �q�,iaRNg/
TO: Honorable Mayor and City Council
THRU: Jill R. Ingram, City Manager
FROM: Steve Myrter P.E., Director of Public Works
SUBJECT: AUTHORIZE THE CITY M ANAGER TO EXECUTE THE
STATE LANDS LEASE No. PRC 4006.9 WITH THE
CALIFORNIA STATE LANDS COMMISSION
SUMMARY OF REQUEST:
That the City Council adopt Resolution No. 6747
1 . Approving the State Lands Lease No. PRC 4006.9 Agreement with the
California State Lands Commission;
2. Authorizing the City Manager to execute the State Lands Lease No. PRC
4006.9 Agreement and;
3. Directing the City Clerk to record the State Lands Lease No. PRC 4006.9
Agreement. with the Orange County Recorder
BACKGROUND AND ANALYSIS:
On August 18, 1969, the City Council approved Resolution No. 1800 authorizing
the execution of a 49-year General Lease — Public Agency Use between the
California State Lands Commission and the City of Seal Beach for a 10 foot wide
leased area.The leased area is for a 10- inch diameter water line and a 6- inch
diameter sewer line on sovereign land that serves the Sunset Aquatic Park
(`Park"): See Attachment,B, Exhibit B for the boundary map.
The water and sewer line is owned and maintained by the City of Seal Beach.
Orange County,acquired the 63-acre Park from the U.S. Navy in 1963. The Park
provides restrooms, picnic areas, and recreational space for the public. The Park
also includes.a marina with boat ramps and 276 boat slips.
The 6-inch-diameter sewer line is currently non-operational. Sewer service for
the Park's public restrooms and marina, as well as the Orange County Harbor
Patrol, have been redirected from the Seal Beach sewer collection system to the
Huntington Beach sewer collection system. However, the City wishes to
continue to maintain the sewer line as an emergency backup system. Prior to
any planned future use, the City will inspect the line, make any necessary
repairs, and apply for an amendment to the lease.
Agenda Item E
With the lease expiring on August 27, 2017;.the City of Seal,Beach applied for a
new lease. Staff has been working with the State Lands Commission to renew
the proposed lease agreement.
At the June 22, 2017 State Lands Commission meeting, the Commission
approved the 25-year State Lands Lease No. PRC 4006.9 Agreement: See
Attachment D for the State Lands Commission Agenda Item.
The proposed Lease Agreement has Special Provisions and General Provisions
which act as conditions the City must follow for the entire length of the Lease
Agreement. The General Provisions are standard items that are typical to all
agencies entering into a State lands Lease. The Special Provisions are
conditions;specific•to the City of Seal Beach. For example, the lease requires the
City to verify the depth of the existing water and sewer lines. This type of
verification:is performed bya burial depth survey. The survey shall be conducted
before. August 28, 2019, and subsequent surveys every 5 years on or before
August,28`
ENVIRONMENTAL IMPACT:
There is no environmental impact related to this item.
LEGAL ANALYSIS:
The City Attorney has reviewed and approved as to form.
FINANCIAL IMPACT:
As part of the terms and conditions of the proposed State Lands Lease, the
Lease requires a bathymetric depth survey in 2019 and subsequent surveys
every 5 years. The cost to perform the survey is estimated at approximately
$5,000. The cost for the survey will be budgeted for in the FY 2018-2019
Budget.
In addition, in the proposed State Lands Lease, the State reserves the right to
impose a lease fee at any time during the lease. It is staff's opinion that the State
would impose on a fee based on the intended use for this utility purpose and not
for any revenue generating use. This is boiler plate with standard language in all
newer State Land Leases.
RECOMMENDATION:
That the City Council adopt Resolution No. 6747
1 . Approving the State Lands Lease No. PRC 4006.9 Agreement with the
California State Lands Commission and
2. Authorizing the City Manager to execute the State Lands Lease No PRC
4006.9.Agreement; and
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3. Authorize the City Clerk to record with the County Recorder of Orange
County the State Lands Lease No. PRC 4006.9 Agreement.
SUBMITTED BY: NOTED AND APPROVED:
it , 's` SI, , . • t1dgett
Steve Myrt r, P.E. MN. Ingram, City a' er
Director of Public Works
Prepared by: Michael Ho, P.E. Dep. Dir. PW/City Engineer
Attachments:
A. Resolution No. 6747
B. Proposed 2017 Tidelands Lease No. PRC 4006.9
C. Existing-969 Tidelands Lease PRC 4006.9
D. State Lands.Commission.Agenda Item dated 6/22/17
Page 3
"Attachment A"
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RESOLUTION NUMBER 6747
A RESOLUTION OF THE SEAL BEACH CITY COUNCIL
AUTHORIZING THE CITY MANAGER TO EXECUTE THE SEAL
BEACH LEASE AGREEMENT NO. PRC 4006.9 WITH THE
STATE OF CALIFORNIA THROUGH THE STATE LANDS
COMMISSION
THE SEAL BEACH CITY COUNCIL DOES HEREBY RESOLVE:
Section 1. The City Council hereby approves the California State Lands
Commission Lease Agreement No. PRC 4006.9.
Section 2. The City Council hereby authorizes and directs the City Manager to
execute the State Lands Commission Lease Agreement No. PRC 4006.9.
Section 3. The City Council hereby authorizes and directs the City Clerk to
record with the County Recorder of Orange County the State Lands Commission
Lease Agreement No. PRC 4006.9.
PASSED, APPROVED AND ADOPTED by the Seal Beach City Council at a
regular meeting held on the 10th day of July , 2017 by the following vote:
AYES: Council Members
NOES: Council Members
ABSENT: Council Members
ABSTAIN: Council Members
Sandra Massa-Lavitt, Mayor
ATTEST:
Robin L. Roberts, City Clerk
STATE OF CALIFORNIA }
COUNTY OF ORANGE } SS
CITY OF SEAL BEACH }
I, Robin L. Roberts, City Clerk of the City of Seal Beach, do hereby certify that
the foregoing resolution is the original copy of Resolution Number 6747 on file in
the office of the City Clerk, passed, approved, and adopted by the City Council at
a regular meeting held on the 10th day of July , 2017.
Robin L. Roberts, City Clerk
RECORDED AT THE REQUEST OF
AND'WHEN,RECORDED MAIL TO:
STATE OF CALIFORNIA
California State.Lands Commission
Attn: Title Unit
100 Howe Avenue, Suite 100-South
Sacramento, CA 95825-8202
STATE OF CALIFORNIA
OFFICIAL BUSINESS
Document entitled to free:recordation
pursuant to Government Code Section 27383
SPACE ABOVE nuS LINE!'OR RECORDER'S USE
A.P.N.
County: Orange
LEASE NO. PRC 4006.9
This Lease consists of this summary and the following attached and incorporated parts:
Section 1 Basic Provisions
Section 2 Special Provisions Amending or Supplementing Section 1 or 3
Section 3 General Provisions
Exhibit A Land Description
Exhibit B Site.and Location Map
SECTION 1
BASIC PROVISIONS
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THE STATE OF CALIFORNIA, hereinafter referred to as Lessor acting by and through the
CALIFORNIA STATE LANDS COMMISSION (100 Howe Avenue, Suite 100-South, Sacramento,
California 95825-8202), pursuant to Division 6 of the Public Resources Code and Title 2, Division 3 of
the California Code of Regulations, and for consideration specified in this Lease, does hereby lease,
demise, and'let to.CITY OF SEAL BEACH, hereinafter referred to as Lessee, those certain lands
described'in Exhibit A hereinafter referred to as Lease Premises, subject to the reservations, terms,
covenants, and conditions of this Lease.
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MAILING ADDRESS:
City of Seal Beach
211 Eighth Street
Seal Beach, CA 90740
LEASE TYPE: Public Agency Use
LAND TYPE: Sovereign
LOCATION: Anaheim Bay, near the Sunset Aquatic Regional Park, city of Seal Beach,
Orange County
LAND USE':OR PURPOSE: Right-of-Way Use, for the continued operation and maintenance of an
existing 10-inch-diameter water line and 6-inch-diameter non-
operational sewer line.
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TERM: 25 years;beginning August 28, 2017; ending August 27, 2042, unless sooner terminated as
provided under this Lease.
CONSIDERATION: the Public Health and Safety, with the State reserving the right to fix a monetary
rent ifthe Cominission finds such action to be in the State's best interests.
AUTHORIZED IMPROVEMENTS:
X EXISTING: A 10-inch-diameter water line and a 6-inch-diameter non-operational sewer line.
TO BE CONSTRUCTED;CONSTRUCTION MUST BEGIN BY: N/A
AND BE COMPLETED BY: N/A
LIABILITY INSURANCE: N/A
SURETY BOND OR OTHER SECURITY: N/A
• SECTION 2
SPECIAL PROVISIONS
BEFORE'THE;EXECU.TION OF THIS LEASE, ITS PROVISIONS ARE AMENDED,
REVISED, OR SUPPLEMENTED AS FOLLOWS:
1. No other improvements or structures shall be constructed or placed on the Lease Premises without
Lessor's prior approval.
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2. Lessee acknowledges that the lands described in Exhibit A of this Lease are subject to the Public
Trust and are presently available to members of the public for recreational use, waterborne
commerce, navigation, fisheries, open space,,or other recognized Public Trust uses and that
Lessee's use of the Lease Premises shall not interfere or limit the Public Trust rights of the public.
3. Lessee shall comply with all existing and subsequently enacted laws or regulations promulgated
by any federal, state, or local government having lawful authority'and jurisdiction over the
authorized improvements.
4. Lessor shall have the right, at any time, and from time to time, upon reasonable prior notice to the
Lessee, to examine all records and data associated with the improvements. Upon Lessor's
request, Lessee shall provide Lessor with copies of internal inspections, maintenance reports, and
any otherinformation held by Lessee relating to the authorized improvements.
5. On:or before August 28, 2019, Lessee shall conduct a bathymetric burial depth survey of the
authorized improvements. Additionally, in accordance with the niaintenance provisions of this
Lease, Lessee shall conduct subsequent surveys to ensure minimum burial depth is consistent with
5-foot depth of the as-built plans..At a minimum, Lessee shall conduct a survey on or before
August;281h of the following years: 2024; 2029, 2034, and 2039. Upon request, Lessee shall
provide Lessor with copies of the results of all surveys and inspections conducted for the
authorized improvements.
6. Upon lessor request to review inspection reports and burial depth surveys, Lessee shall enter into
and execute a,lease management, reimbursement agreement with Lessor to pay for any and all
reasonable costs and expenditures paid or incurred by the Commission, its staff or both for review
and,approval of any plan or related materials required herein, including but not limited to any
review or preparation of reports;documents or other actions as required pursuant to the California
Environmental Quality Act (CEQA), plan reviews, and/or amendments. Payment by Lessee shall
be in a form and manner which is determined by Lessor's staff and is consistent with the
• requirement of State law.
7. Any structural modifications to any part of the authorized improvements within the Lease
Premises,including future use of the existing non-operational sewer line shall require Lessor's
prior,review and approval. In the event of an urgent repair requiring immediate action, Lessor's
staff maybe contacted at the Commission's 24-hour emergency notification number: (562)590-
5201.
a, Shouldrran.emergency situation occur that requires the Lessee to immediately return the sewer
pipeao an operating condition in order to maintain public health and safety prior to Lessor's
authorization, Lessee shall notify Lessor in writing as soon as possible following the
emergency event, and within 30 days of said written notice shall submit an application to
lessor to request a lease amendment to authorize pipe operation.
8. Lessee,agrecs to submit no later than two (2) years prior to the expiration of this lease either:
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a. An application and minimum expense deposit for a new lease for the continued use of the
Lease Premises; or
b. A plan for the restoration of the Lease Premises for Lessor's review and approval, to
include removal of all decommissioned improvements, and to be completed prior to the
expiration of the lease term, pursuant to Section 3,Paragraph 13(a)(3)of this Lease.
Failure to submit the-application and miniinum expense deposit or the restoration plan
shall be deemed a default of the Lease under Section 3,Paragraph 12 of this Lease.
[Remainder of Page Intentionally Left Blank]
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SECTION 3
GENERAL PROVISIONS
1. GENERAL
In the case of any conflict between these General Provisions and Special Provisions found in Section 2, the Special
Provisions control.
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2.DEFINITIONS
For the purposes of this Lease, the following terms shall be defined as stated below:
"Additions"shall be defined as any use or Improvements other than those expressly authorized in this Lease.
"Alterations"shall be defined as any materiafchange in the size, scope, density, type, nature, or intensity of Improvements
on the Lease Premises•from what is authorized in this Lease. Alterations shall also include any modifications, alterations,
or renovations of the land.or waterways on the Lease Premises other than those authorized by this Lease.
"Breach"shall be,defined as•a party's unjustified or unexcused nonperformance of a contractual duty the party is required
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lo.j[rm:diatcly perform.
"Damages" shall include all liabilities, demands, claims, actions or causes of action whether regulatory, legislative or
judicial in :nature; all assessments, levies, losses, fines, penalties, damages, costs and expenses, including, without
limitation: (i) reasonable attorneys', accountants', investigators', and experts' fees and,expenses sustained or incurred in
connection with the'defense or investigation of any such liability, and (ii) costs and expenses incurred to bring the Lease
Premises into compliance'with Environmental Laws, a court order, or applicable provisions of a Regulatory Agency. The
term "Damages" also includes, expressly, those Damages that arise as a result of strict liability, whether arising under
Environmental Laws or otherwise.
"Default"shall be defined as a material Breach of magnitude sufficient to justify termination of the Lease.
"Environmental Law" shall be defined as and iiielude all federal, state, and local environmental, health, and safety laws,
statutes; ordinances, regulations, rules, judgments, orders, and notice requirements, which were in effect as of the date of
execution of this Lease or are subsequently enacted and lawfully applied hereto, which regulate or relate to (a) the
protection or clean-up of the environment; (b) the use, treatment, storage, transportation,handling or disposal of hazardous,
toxic or otherwise dangerous-substances, wastes or materials; (c) the quality•of'the.air and the discharge of airborne wastes,
gases, particles, or other.emissions; (d) the preservation or protection of waterways, groundwater, or drinking water; (e) the
health and safety of•persons or•property, or(f) impose liability with respect to any of the foregoing, including without
limitation, the California Environmental Quality-Act (CEQA),[PRC §§ 21000 et seq.]; the Comprehensive Environmental
Response, Compensation and Liability Act of 1980 (CERCLA) [42 USCS 4'.9601 etseq.], the Resource Conservation and
Recovery Act of 1976 (RCRA) [42 USCS §§ 6901 et seq.]; the Clean Water Act, So known as the Federal Water
rglllltion;Control Act(FWPCA) [33 USCS §§ 1251 et seq.]; the Toxic Substances Control Act (TSCA) [15 USCS §§ 2601
et eq.]; the Hazardous :Materials Transportation Act (HMTA) [49 USCS §§ 1801 et seq.]; the Insecticide, Fungicide,
Rodenticide Act [7 USCS,§§ 136 et seq.]; the:Superftind Amendments and Reauthorization Act 142 USCS §§ 6901 cl scq.l;
jhehpiean Air Act [42 USCS §§ 7401 et seq.]; the Safe Drinking Water Act [42 USCS §§ 300f et seq.]; the Solid Waste
Disposal Act[42 USCS §§ 6901 et seq.]; the Surface Mining Control and Reclamation Act [30 USCS §§ 1201 et seq.]; the
Emergency Planning-and Community-Right to Know Act(42 USCS §§ 11001 e •seq.]; the Occupational Safety and Health
Act [29 USCS §§ 655 and 657]; the California Underground Storage,of Hazardous Substances Act [H & S C §§ 25280 et
seq.];. the California Hazardous Substances Account Act. [H & S. C §§ 25300 et seq.]; the California Hazardous Waste
Control Act-[H & S C,§§'25100 et seq.]; the California Safe Drinking Water and Toxic Enforcement Act [H & S C §§
24249:5 et seq.]; the Porter-Cologne Water Quality Act[Water C 13000 et seq.] together with any amendments of or
regulations promulgated under the-statutes cited above.
"Hazardous Material" shall be defined as and include any substance which falls within the definition of hazardous
substance, hazardous waste, hazardous material, toxic substance, solid waste, pollutant, or contaminant, under any
Environmental Law.
`improvements"'shall be,defined;as-any:modification, alteration, addition, or removal of any material, and any other action
which serves to change the condition of the Lease Premises from the natural state whether situated above, on, or under the
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Lease.Preniises., Improvements include, but-are hot limited to buildings, structures, facilities, decks, docks,wharves, piers,
walks, curbs, bridges, buoys, landscaping, roadways, shoreline protective structures of all types, foundations, pilings or
similar support structures whether above or below the water line, fences, utilities, pipelines, and any other construction of
any'type situated on the Lease Premises.
"Lease"shall be defined as this lease contract together with all amendments and exhibits.
"Lease Premises?' shall be ,defined as the area of land, together with any improvements located thereon, the use and
occupancy of which_isauthorized by tins Lease.
"Lessor" shall be defined as the state of California, acting by and through the California State Lands Commission,
including the Commissioners;their alternates and designates, the Executive Officer, and the staff of the California State
Lands Commission.
"Regulatory Agency" shall include any Federal, State, County, Municipal, or Local agency having jurisdiction over the
Lease Premises:
"Repairs"shall be defined,as all work of any kind made to maintain, change, restore, strengthen, replace, alter, or otherwise
affect any Inrprovement-on the Lease Premises.
"Residence" shall be defined as any Improvement, whether permanent,movable, or temporary, or a portion thereof, which
is for the time being a home or place of lodging. A Residence includes:any Improvement affixed to the land such as trailers
or cabins, built on a raised foundation such as stilts or pilings, and floating residences such as boats, barges, arks, and
houseboats, and any combination of such Improvements which provide residential accommodations to the Lessee or
pi hers. "Residence"shall not include transitory, intermittent, recreational use of facilities such as campgrounds.
"Residential Use" shall be defined as Improvements such as, but not limited to, sundecks, and sunrooms which are
extensions of, or additions to, the upland property and are not water-dependent uses. Although the various uses or
Improvements which may fall under this definition may vary by geographic area, lease type, or other factors, it is the
intention of the parties to include in this definition all uses and Improvements which are not water-dependent but residential
in nature;or those uses and:Improvements which are not consistent with common law public trust principles and values.
3. CONSIDERATION
(a)Ahsolu te"Triple,Net Lease
This Lease is ao absolute triple net lease, pursuant to which Lessor has no obligation with respect to the
payment oftaxes, insurance, the cost of maintenance, utilities and repairs or other costs or obligations associated
with the Leased Premises, except as expressly stated herein.
(b) Rent
Lessee agrees to pay Lessor rent:as stated in this Lease, in annual installments for the use and occupancy of the
Lease Premises: The first installment shall be due on or before the:'beginaing date of this Lease and all subsequent
installments shall be due on or before each anniversary of its beginning date during each year of the Lease term, or as
otherwise provided in this Lease. Said sums shall be paid in lawful money of the United States of America. Lessee
shall. said rent to the mailing address of Lessor. Timeliness of receipt of remittances sent by mad shall be
governed by°the,postmark date as stated in Government Code Section 11002. Invoices for rent due may be provided by
Lessor as a courtesy. Lessor's failure-to, or delinquency in, providing:invoices shall neither excuse Lessee from paying
rent, nor extend thetinie for paying rent.
(c),Modifcation
Lessormay modify themethod, amount, or rate of consideration effective on each fifth anniversary of the beginning
date Of this Lease. Should Lessor fail to exercise such right effective on any fifth anniversary it may do so effective on
any (1) of the next:four (4) anniversaries following such fifth:anniversary, without prejudice to its right to effect
such modificationon the maid or any succeeding fifth anniversary of the beginning date. No such modification shall
become'effective unless Lessee is given at least thirty (30) days' notice prior to the date of the Commission meeting
wherein the rent modification is considered, or thirty (30) days' notice prior to the effective date of the increase,
whichever provides a greater notice period.
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If the consideration for this Lease is based on a percentage of income, royalties, profits, or any similar business
performanceJndicators, Lessee shall provide Lessor with financial statements and all other documents necessary to
determine therelevantbasis for income.
(d)Penalty and,Interest
Any installments of rent:accruing under this Lease not paid when due shall be subject to a'delinquency charge
equal to five percent (5%) of the principal sum due. Animal payments shall hear interest as specified in Public
Resources Code Section 6224 and the Lessor's then existing administrative regulations governing penalty and interest.
Ie)'Non-Monetary Consideration
If the consideration to Lessor for this Lease is the public use, benefit, health, or safety, Lessor shall have the right
to review such consideration at any time and set a monetary rental if the Lessor, at its sole discretion, determines that
such action is in the best interest of the,State. Lessee's assignment or transfer of this Lease pursuant to Section 3
Paragraph 11 below to any third party which results in royalties, profits, or any form of compensation, whether
monetary or otherwise, shall give Lessor the right to reevaluate the requirements of this Lease as stated in Section 3
Paragraph 11. Lessee•shall be given at least thirty (30) days' notice prior to the date of the Commission meeting
wherein the rent modification is considered, or thirty (30) days' notice prior to the effective date that this Lease is
converted to a monetary rental,whichever provides more notice.
(0 Place,for.Paynientof Rent
All rent that becomes due and payable udder this Lease shall'bc paid to Lessor in person or by United States mail at
the Sacramento Offices of the California,State Lands Commission, currently at 100 Howe Avenue, Suite 100-South,
Sacramento, CA 95825-8202,.or at any other place Or places that Lessor may designate by written notice to Lessee.
Alternately; Lessee may contact Lessor's'accounting department for Lessor's current practices for payment by credit
card or electronic fund transfer.
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4. BOUNDARIES
This Lease-is not intended to establish the State's boundaries and is made without prejudice to either party regarding
any boundary or title,ctaims which may be asserted presently or in the future.
5. LAND USE
(a) General
(1) Lessee shall use the Lease Premises only for the purpose or purposes stated in this Lease and only for the
operation and maintenance of the Improvements expressly authorized in this Lease. Lessee shall commence use of
the Lease Premises within ninety (90) days of the beginning date of this Lease or'within ninety (90) days of the date
set fohconstructien to commence as set forth in this Lease,whichever is later.
(2) All dernolition, construction, remodeling, reconstruction, maintenance, repairs, removal, or remediation
performed on the Lease Premises at any time by Lessee shall first be authorized by all appropriate Regulatory
Agencies. Lessee is solely responsible for determining what approvals, authorizations, or certifications are
required,.and shall he solely responsible for all costs incurred thereby. In additirin, Lessee shall obtain and comply
with preventative or remedial measures required by any environmental reports, assessments, or inspections,
including, but not limited to those required by the California Environmental Quality Act and/or the National
Environmental Policy Act, or as otherwise required by law or reasonably requested by Lessor. Nothing in this
Lease shrill he interpreted as a pre-approval of any permit, certification, or any other precondition required for the •
use of the Lease Premises.
(h) Continuous Use
Lessee's use of the Lease Premises shall be continuous from commencement of the Lease until its expiration.
Lessee's discontinuance of such use for a period of ninety (90) days shall he presumed to be an abandonment unless
Lessee demonstrates to Lessor's satisfaction that Lessee's use of the Lease Premises is consistent with similarly
situated properties. -Indite event of an:abandonment. Lessor may elect to terminate the Lease as provided in Paragraph
12(a)(3). .Abandonment.of the Lease Premises shall not relieve Lessee of any obligations tinder this Lease.
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(c)Repairs and Maintenance
(1)Lessor shall;not be required to make any Repairs in, on, or about all or part of the Lease Premises. Lessee shall,
at all times•during the term of this Lease and without any cost or expense.to Lessor, keep and maintain the Lease
Premises,including.all Improvements, in good order and repair and in a clean, safe, sanitary, and orderly condition.
(2)Lessee shall make,or cause to he made, any Repairs which may be required by any Regulatory Agency. Lessee
shall observe and comply with, any law, statute, ordinance, plan, regulation, resolution, or policy applicable to the
Lease Premises in making such Repairs. All work shall be performed with reasonable diligence, completed within
a.reasonable time, and performed at'the sole cost and expense of Lessee.
(3)Lessee expressly accepts the Lease Premises "as is" and expressly acknowledges that:
(i) Lessor has made no representations or warranties as to the suitability of the Lease Premises for any
Improvements. Lessee shall conduct all tests necessary to determine the suitability of the Lease Premises for
any proposed use or Improvements authorized; and
(ii) Lessor has made no representations or warranties as to the quality or value of any Improvements found on
the Lease.Premises, or of their conformity to any applicable building codes, zoning ordinances, or other
regulations. Lessee agrees to inspect any preexisting.Improvements at its own cost to determine whether such
Improvements are safe and suitable for the Lessee's intended use; and
(iii) Lessee shall neither be entitled to any reduction in rent, nor any extension of the terms of this Lease
because of darimage to or destruction of any Improvements on the Lease Premises.
(iv) Lessee and Lessor agree that,any Improvements on the Lease Premises constitute the personal property of
Lessee and that fixture law does notapply.
(4) In the event that the Lease Premises is partly, or in whole, comprised of tidal, submerged, or waterfront
property, Lessee expressly accepts the hazards involved in using or improving such lands. Lessor is not
responsible for, and Lessee shall not be reimbursed for nor receive any offset of rent for; any damages or reduced
use of the LeasePremises caused by: local or invasive flora or fauna, flooding, erosion, sea level rise, storms,
freezing; inclement weather of any kind, acts of god, maintenance,or failure of protective structures, and any other
such hazards.
(d).Additions,.Alterations,.and Removal
No Improvements other than those expressly authorized in this Lease shall be constructed by the Lessee on the
Lease Premises wilhorif the.prior written consent of Lessor. Any Additions or Alterations are expressly prohibited.
f,essee is also prohibited from any Additions,or Alterations which cause.a material change to the environmental impact
pn or around the Lease Premises.
(e)-Enjoyment
This Lease is non-exclusive, and is subject to the provisions of Section 3, Paragraph 6 below. Lessee shall have the
right to exclude persons from the Lease Premises only when their presence or activity constitutes a material
interference.with Lessee's use and enjoyment of the Lease Premises.
(f)Discrimination
Lessee, in its use of Lease Premises, shall not discriminate against any person or class of persons on any basis
protected by federal, state, or local law, including: race, color, creed, religion, national origin, sex, sexual orientation,
gender identity,age,marital/parental status,veteran status,or disability.
(g)Residential Use
Unless otherwise provided for in this Lease, no portion of the Lease Premises shall be used as a location for a
Residence, for the purpose of'mooring or maintaining a structure which is used as a Residence, or for Residential
Uses.
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• fh) Commercial Use
Unless otherwise provided for in this Lease, the Lease Premises is to be used by Lessee and Lessee's invitees or
guests only. Use of the Lease Premises for commercial purposes; conducting a business, whether for profit or
otherwise; and any subleasing, rental, or any transaction whereby Lessee directly or indirectly receives
compensatiomfrom+a,Bird party in exchange for use of.the Lease Premises shall constitute an immediate Default of
this leasewith no cure period.
6. RESERVATIONS,ENCUMBRANCES,AND RIGHTS-OF-WAY
'(a) Reservations
I (1)Lessor expressly reserves all natural resources in or on the Lease Premises, including but not limited to timber,
minerals, and geothermal resources as defined under Public Resources Code sections 6401, 6407, and 6903,
respectively; the right to grant and transfer the same; as well as the right to grant leases in and over the Lease
Premises which may necessary.or convenient for the extraction of such natural resources. Such leasing shall he
neither inconsistent nor incompatible with the rights or privileges of Lessee under this Lease.
(2)Lessor expressly reserves a right to go on the Lease Premises and all Improvements for any purposes
associated with this Lease or for carrying. out any function required by law, or the rules, regulations, or
management policies of the State Lands Commission. Lessor shall have a right of reasonable access to the Lease
Premises across Lessee owned or occupied.lands adjacent to the Lease Premises for any purpose associated with
this Lease.
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(3)Lessor expressly reserves to the public an easement for convenient access across the Lease Premises to other
State-owned lands located near or adjacent to the Lease.Premises and a right.of reasonable passage across and
along any right-of-way granted by this Lease; however, such easement or right-of-way shall be neither
inconsistent nor incompatible with the rights or privileges of Lessee under this Lease.
(4) Lessor expressly reserves the right to lease, convey, or encumber the Lease Premises, in whole or in part,
during the Lease term for any purpose not inconsistent or incompatible with the rights or privileges of Lessee
under this Lease.
(b) Encumbrances
The Leak:Premises may be subject to pre-existing contracts, leases, licenses, easements, encumbrances, and
claims and:is.made without warranty by Lessor of title, condition, or fitness of the land for the stated or intended
purpose.
7. RULES;,REGULATIONS; AND TAXES'
(a)Lessee shall comply with and be bound by all presently existing,or subsequently enacted rules, regulations, statutes
or ordinances of the-State Lands Commission or any Regulatory Agency. Occupancy or use of the Lease Premises
provides no exemption from applicable, regulations including, but, not limited to, federal, state, county and local
regulations, regulations promoting public health, safety, or welfare; building codes, zoning ordinances, and sanitation
regulations. Lessee expressly acknowledges that Regulatory Agencies have jurisdiction over the Lease Premises unless
such laws are in direct conflict with state law'or public trust principles.
(b).Lessee,understhnds:and agrees that a necessary condition for the granting and continued existence of this Lease is
that Lessee obtains:and maintains all permits orother entitlements. Lessee expressly acknowledges that issuance of
this Lease does riot substitute for, or provide preference in obtaining authorizations from other Regulatory Agencies.
re)Taxes
(1) In addition to°the,rent due under this Lease, Lessee accepts responsibility for and shall pay any and all real and
personal property takes, including possessory interest taxes, assessments, special assessments, user fees, service
charges; and other charges of any description :levied, imposed on assessed, or associated with the leasehold
interest, Improvements on the Lease ]'remises, any business or:activity occurring on the Lease Premises, the Lease
Premises itself; or any portion. thereof, levied by any governmental agency or entity. Such payment shall not
reduce renhdue Lessor under this Lease and Lessor shall:have no liability for such payment.
(2) In the event that this.'Lease commences, terminates or expires during.a tax year, Lessee shall pay the taxes for
the period of such year during which this Lease was in effect.
Page 9 of 18
(3) Anyand all taxes and assessments and installments of taxes and assessments required to be paid by Lessee
under this Lease shall be paid when due and the official and original receipt for the payment of such tax,
assessment,or installment shall bedelivered to Lessor upon request.
(4) Lesseeshall'indemnify and hold Lessor, the Lease Premises, and any Improvements now or hereafter located
thereon, free and harmless from any liability, toss, or Damages resulting from any taxes, assessments, or other
charges required by this Lease to be paid by Lessee and from all interest, penalties, and other sums imposed
thereon and from any sales or other proceedings to enforce collection of any such taxes, assessments, or other
charges.
8. INDEMNITY
(a) Lessee's use of the Lease Premises and any Improvements thereon is at Lessee's sole and exclusive risk..
(h) In addition to any-other obligation.to-indemnify Lessor as otherwise provided in this Lease, except to the extent
caused by the sole negligence and/or willful misconduct of the Lessor, Lessee shall indemnify, hold harmless, and, at
the option of Lessor, defend Lessor, its officers, agents, and employees from any and all Damages resulting from
Lessee's occupation and use of the Lease Premises. Lessee shall reimburse Lessor in full for all reasonable costs and
attorneys' fees, specifically including, without limitation, any Damages arising by reason of: (1) The issuance,
enjoyment, interpretation, Breach, or Default of this Lease; (2) The challenge to or defense of any environmental
review upon which the issuance of this Lease is based; (3) The death or injury' of any person, or damage to or
destruction of any property from any cause whatever in any way connected with the Lease Premises, or with any of the
Improvements or personal property on the Lease Premises; (4) Thecondition of the Lease Premises, or Improvements
on the Lease Premises; (5) An act or omission on the Lease:Premises by Lessee or any person in,on, or about the Lease
Premises; (6) Any work performed on the Lease Premises or material furnished to the Lease Premises; (7) Lessee's
failure to comply with any material legal or other requirement validly imposed on Lessee or the Lease Premises by a
Regulatory Agency.
(c) The reimbursement provisions of this Paragraph 8 shall not apply to any claims, litigation, or other actions which
maybe broughtby either Lessee or Lessor against each other.
Id) Nothing in this paragraph shall he construed as requiring that Lessor defend itself against all or any aspect of any
challenge to this,Lease or any associated environmental review. However, Lessee;may take whatever legal action is
available to it to defend this Lease or any associated environmental review against any challenge by a third party,
whether or not Lessor chooses to raise a defense against such a-challenge.
(e) Lessee shall notify Lessor immediately'in.case of any accident, injury, or casualty on the Lease Premises.
9, INSURANCE
(a) Lessee shall obtain and maintain in full force and effect during the term of this Lease comprehensive general
liability insurance and property damage insurance; with such coverage and limits as may be reasonably requested by
Lessor from time to time, but in no event:for less than the sum(s) specified against any and all claims or liability arising
out of the,ownership;,use,.occupancy, condition,or maintenance of the Lease Premises and all Improvements.
(li) The insurance:policy shall identify the Lease by its'assigned number. The specific Improvements shall also be
generally identified, as-well as their location on state owned property. The coverage provided shall he primary and
non-contributing. Lessee shall keep such policy current. Lessor shall benamed as a"certificate holder"and/or an
"additional interest"on the policy. Lessee shall provide Lessor with a current certificate of insurance at all times. At
Lessor'a request,Lessee shall provide'a full copy of the current insurance policy, along with any and all endorsements
or other such documents affecting the coverage. Lessor will not he responsible for any premiums or other assessments
on the policy.
(c) The insurance coverage specified in this Lease shall be in effect at all times during the Lease term and
subsequently until;Lessor has either accepted all of the Lease Premises as improved or restored by Lessee as provided
elsewhere in this Lease. Lessee shall notify Lessor within five (5) business days if the insurance is canceled for any
reason.
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10. SURETY BOND
(a)When required by Section 1 of this Lease, Lessee shall provide a surety bond or other security device acceptable to
Lessor,:for the specified amount, and naming the State of California,California State Lands Commission as the assured,
to guarantee to Lessor the faithful observance and performance by Lessee of all of the terms,covenants, and conditions of
this Lease.
(b)Lessor may,require an.increase in the amount of the surety bond or other security device to cover any additionally
authorized Improvements, any modification of'consideration, or to provide for inflation or other increased-need for
security_ The surety bond or other security device may he increased on each fifth anniversary of the beginning date of this
Lease. Should Lessor fail to exercise such right effective on any fifth anniversary,it may do so effective on any one(1)of
the next four(4)anniversaries following,such fifth anniversary without prejudice to its right to effect such modification on
the next or any succeeding fifth anniversary. No such modification shall become effective unless Lessee is given at least
thirty (30) days' notice prior to the date of the Commission meeting wherein the modification of the bond or security is
considered,or thirty(30)days' notice prior to the effective date of the increase,whichever provides more notice.
(c)The,surety bond or other security device shall he maintained in full force and effect at all times during the Lease
term and subsequently until Lessor has either accepted all of the Lease('remises as improved or restored by Lessee as
provided elsewhere in this Lease. Lessee must first seek approval of Lessor before changing the type of security device
used,or the bond holder.
'I L.ASSIGNMENT,ENCUMBRANCING OR SUBLETTING
(a) Lessee shall not either voluntarily or by operation of law, assign, transfer, mortgage, pledge, hypothecate or
encumber this Lease and shall not sublet'the Lease Premises, in whole or in part, or allow any person other than the
Lessee's:employees, agents;servants and invitees to occupy or use all or any portion of the Lease Premises without the
prior written-consent-Of Lessor, which'consent shall not be unreasonably withheld.
(1)Notwithstanding the foregoing.prohibition against transfer and assignment,; the Lease may be transferred by
Lessee if the transfer is caused by the death of a spouse and the full interest of the deceased spouse is transferred to a
surviving spouse; or-the transfer is caused by the dissolution of the marriage of Lessee and the full interest of one of
the spouses''is transferred to the other spouse. In the event of such a transfer, Lessor shall be notified in writing
within 30 days of the transfer.
(2) Notice to Lessor of Successor Trustee(s): In the event this Lease is held in trust, and the Lessee is a trustee
thereof, the substitution'or succession,of a new trustee shall not-be an assignment or transfer for the purposes of this
Paragraph. Lessee (and by operation of law, any successor trustee)agrees to provide prompt notice to Lessor of any
succession or substitution of trustee in accordance with Paragraph 16(c) of General Provisions, no later than sixty
(60) days after the named trustee as appears on the face of this Lease becomes unable or ceases to serve as trustee for
any reason.
(b)The following shall be deemed to beanassignriment or transfer within the meaning of this Lease:
(1)if Lessee is a business entity, any dissolution, merger, consolidation or other reorganization of Lessee,or the
sale or other transfetof substantially all the assets-of Lessee. If Lessee is a publicly traded entity, transfers of
interests in Lessee shall not constitute an assignment requiring:the consent of Lessor.
(2) If Lessee is a partnership, a transfer of any interest:of a general partner, a withdrawal of any general partner
from the partnership, or the dissolution of the partnership.
(c) If this Lease:is for sovereign lands appurtenant:to adjoining littoral or riparian land, Lessee shall not transfer or
assign its ownership interesLOr use rights in such adjoining lands separately from the leasehold rights granted herein
without the prior written'consent of Lessor.
(d) If Lessee desires to assign, sublet, encumber or otherwise transfer all or any portion of the Lease Premises, Lessee
shall do all of the following:
(1)Gice not less than.90'days' prior written notice to Lessor;
(2)Provide the name, complete business organization, operational structure, and formation documents of the
Page 11 of 18
proposed assignee, sublessee, secured third party, or other transferee; and the;nature of the use of and interest in
the Lease'Premises proposed by the assignee, sublessee, secured third party or other transferee.
(3)Provide the terms and conditions of the proposed assignment, sublease, or encumbrance or other transfer;
(4).Provideaudited financial statements for the two most recently completed fiscal years of the proposed assignee,
sublessee, secured party or other transferee; and provide pro forma financial statements showing the projected
income;expense and financial condition resulting from use of the Lease Premises; and
(5)Provide such additional or supplemental information as Lessor may reasonably request concerning the
proposed assignee, sublessee, secured party or other transferee.
(6) Lessor will evaluate proposed assignees, sublessees, secured third parties and other transferees and grant
approval or disapproval according to standards of commercial reasonableness considering the following factors
within the context of the proposed use the proposed party's financial strength and reliability, their business
experience and expertise, their personal and business reputation, their managerial and operational skills, their
proposed use and projected rental,as well as other relevant factors.
(e) Lessor shall have a reasonable period of time from the receipt of all documents and other information required
under this provision to grant or deny its approval of the proposed party. Lessor may reevaluate the rent, insurance
and/or bond provisions of this Lease, and may condition its approval of the proposed assignment, sublease,
hypothecation„mortgage, or other transfer on the party's acceptance of the new terms. Lessee's rights stated in this
paragraph shall apply regardless of whether the proposed transfer coincides with a regular rent review period as stated
in Section 3 Paragraph'.3(c)above.
(l) Lessee's.mortgage or hypothecation of this Lease, if approved by Lessor, shall be subject to terms and conditions
imposed by a separately negotiated cncumbrancing agreement.
(g) Upon the express written assumption of all obligations and duties under this Lease by an assignee approved by
Lessor, the Lessee•maybe released from all liability under this Lease arising after the effective date of assignment and
not associated with Lessee's use possession or occupation of or activities on the Lease Premises; except as to any
hazardous wastes; substances or materials as defined under federal, state or local law, regulation, or ordinance
manufactured,generated, used,placed, disposed, stored or transported on the Lease Premises during Lessee's tenancy.
(h) If the Lessee files a petition or an order for relief is entered against Lessee, under Chapters 7, 9, 11 or 13 of the
Bankruptcy Code(1i USC Sect. et'seq) then the trustee or debtor-in-possession must elect to assume or reject this
Lease within sixty (60) days after filing of the petition or appointment of the trustee, or the Lease shall be deemed to
have been rejected, and.Lessor shall he entitled to immediate possession of the Lease Premises. No assumption or
assignment of this Lease shall he effective unless it is in writing and unless the trustee or debtor-in-possession has
cured all Defaults under this Lease (monetary and non-monetary).or has provided Lessor with adequate assurances (1)
that,within:ten (10)days from the date of such assumption or assignment, all monetary Defaults under this Lease will
he cured; and (2) that within thirty (30) days from the date of such assumption, all non-monetary Defaults under this
Lease willbe cured; and(3) that all provisions of this Lease will be satisfactorily performed in the future.
(i)In the event ofany transfer or assignment, under this Paragraph 11 or by any other means authorized by this Lease,
the Lease terms shall be for the remaining years existing on the Lease prior to the transfer or assignment. A transfer or
assignment Shall not extend the term of this Lease.
12. DEFAULT AND REMEDIES
(a) Default
The occurrence of any one or more of the following events shall immediately and without further notice constitute
a Default of this Lease:
(1)Lessee's,failure to make any payment of rent, royalty,or other consideration as required under this Lease; or
(2)Lessee's failure to obtain or maintain liability insurance or a surety bond or other security device as required
under this Lease;°or
Page 12 of 18
(3)Lessee's abandonment of the Lease Premises (including the covenant for continuous use as provided for in
Paragraph 5(b))during the Lease term; or
(4) Lessee's failure to obtain.and maintain all necessary governmental permits or other entitlements; or
(5)The maintenance df the Lease Premises in violation of, or failure to comply with, any applicable provisions of
any Regulatgry.Agency, Environmental Law, or maintenance of the Lease Premises in a condition constituting
nuisance;or
(6) Lessee's Failure to commence to construct and to complete construction of the Improvements authorized by
this Lease within the time limits specified in this Lease.
(7)Lessee is found to sublet or otherwise surrender daily management and control of the Lease Premises to a
third,party without the knowledge, expressed written consent or authorization of the Lessor.
(b) Lessee's failure to observe or perform any other term, covenant, or condition of this Lease when such failure shall
continue for a:period of-thirty (30) days after Lessor's giving written,notice shall constitute a Default of this lease.
However, if thenature.of Lessee's Default under this paragraph is such that more than thirty (30) days are reasonably
required for its cure, then Lessee shall not be deemed to be in Default if Lessee commences such cure within such
thirty (30) day period and diligently proceeds with such cure to completion.
(c) Should Lessee Breach any term, covenant, or condition of this Lease under Paragraph 12(b) above three (3) times
in any three hundred and sixty-five (365) day`period, the third Breach will be a Default under this Lease and Lessor
will he entitled to immediately terminate this Lease, and take otherappropriate action. Lessor will provide written
notice of each Breach as provided above, and provide written notice that future Breaches will constitute immediate
Default with no cure period.
(d) Remedies
In the event of a Default by Lessee and Lessee's failure to cure such Default if such a cure period is applicable,
Lessor may many time and with or without notice do any one or more of the following in addition to any rights or
remedies permitted by law:
(1) Re-enter the Lease Premises, remove all persons and property, and repossess and enjoy such premises; or
(2) Terminate this Lease and Lessee's right of possession of the Lease Premises by any lawful means. The
termination shall not relieve Lessee of any obligation, monetary or otherwise, which has accrued prior to the date
of termination, Such termination shall be effective upon Lessor's giving written notice and upon Lessee's receipt
of such notice. Lessee shall immediately surrender possession of the Lease Premises to Lessor. Lessor shall be
entitled to recover front Lessee all amounts to which Lessor is entitled pursuant to Section 1951.2 of the
California Civil Code, or any other provision of law, including any necessary Repair, renovation, alteration,
remediation, or removal of Improvements; or
(3) Maintain this Lease in full force and effect and recover any rent, royalty, or other consideration as it becomes
due without terminating Lessee's right of possession regardless of whether Lessee shall have abandoned the Lease
Premises,subject to the conditions imposed by Cal. Civil Code§ 1951.2;or
(4) Exercise any other right or remedy which Lessor may have at law or equity.
(e) Determination,ofRenlal Value
If rent under this.Lease is calculated as a percentage of Lessee's income attributable to the Lease Premises and
Lessee abandons the::Lease Premises during some or all of the applicable period, then the reasonable rental value
shall he the percentage-of proceeds Lessor would have received had Lessee operated the Lease Premises in the
usual and customary manner.
if) Waiver of Rights
The failure or delay of either party to exercise any right or remedy shall not be construed as a waiver of such
right or remedy or,any Breach by the other party. Lessor's acceptance of any rent shall not be considered a waiver
Page 13 of 18
of any;preexisting Breach by Lessee other than the failure to pay the particular rent accepted regardless of Lessor's
knowledge of[heprcexisting Breach at the time rent is accepted.
13. RESTORATION OF LEASE PREMISES AND ENVIRONMENTAL MATTERS
(a) Restoration of Lease Premises
(I) Upon expiration or sooner termination of this Lease, Lessee must immediately surrender possession of the
Lease Premises to Lessor. Prior to the time of surrender, Lessee must remove all or any improvements together
with the debris and all parts of any such Improvements at its sole expense and risk, regardless of whether Lessee
actually constructed or placed the Improvements on the Lease Premises; or Lessor, at its sole and absolute
discretion, may itself remove or have removed all or any portion of such Improvements at Lessee's sole.expense.
Lessor may waive all or any part of this obligation in its sole discretion if doing so is in the best interests of the
State.
(2) As a .separate and related obligation, Lessee shall restore the Lease Premises as nearly as possible to the
conditions existing prior to the installation or construction of any Improvements. For purposes of this Lease,
restoration'includes removal of any landscaping;,removal of any Hazardous Materials; and to the extent possible,
undoing any grading, fill, excavation, or similar alterations of the natural features of the Lcase Premises. Lessor
may waive-all or any part of this obligation in its sole and absolute discretion.
(3)Unless otherwise.provided for in this Lease, Lessee shall submit to-Lessor no later than one (1) year prior to the
expiration of this Lease either (a) an application and minimum expense deposit for a new lease for the continued
use of the,Lease,,Premises, or (h) a plan for the restoration of the Lease Premises to be completed prior to the
expiration oft}e lease term together with a timeline for obtaining all necessary permits and conducting the work
prior to the expiration of this Lease.
(4)In removing:any or all Improvements, or conducting-any restoration work,Lessee shall be required to obtain
any permits or other governmental approvals as may then be c-required by any Regulatory Agency, including,
without limitation, any Environmental Law.
(5) Lessor may, upon written notice, in its sole and absolute discretion, accept title to any or all Improvements at
the termination of this Lease. Lessor `shall notify Lessee that Lessor intends to take title to any or all
Improvements within'six (6) months of Lessee submitting a' plan for restoration under Paragraph 13(a)(3)(b)
above. If Lessor elects to take title to.any such Improvements, Lessee shall deliver to Lessor such documentation
as may be necessary to convey title to sue improvements to Lessor free and clear of any liens, mortgages, loans,
or any other encumbrances. Lessor shall not pay, and Lessee shall not he entitled to compensation for Lessor's
taking title to such property.
(b) Environmental.Matters
(1) Lessee's Obligations:
(i)Lessee will not use occupy, or permit any portion of the Lease Premises to be used or occupied in violation
of any Environmental Law. Lessee shall not manufacture or generate or store Hazardous Material on the Lease
Premises unless specifically authorized under other termsof-this Lease.
(ii)Lessee shall practice conservation of water, energy, and other natural resources.
(iii) Lessee shall notify Lessor and the appropriate governmental emergency response agency, or agencies
immediately-in the event of any release or threatened release of any Hazardous Material.
(2) Lessor may-at anytirne during the Lease term,require Lessee to conduct at its own expense and by a contractor
approved by Lessor an independent environmental site assessment or inspection for the presence or suspected
presence of Hazardous Material generated, used, placed, disposed, stored, or transported on the Lease Premises
during the term of the Lease. Lessee shall provide the-results of the assessment or inspection to Lessor and the
appropriate governmental response agency or agencies and shall further be responsible for removing or taking
otherappropriateremedial action regarding such Hazardous Material in accordance with applicable Environmental
Law.
Page 14 of 18
•
•
•
(3).Envi ronmental Indemnity.
Lessee shall indemnify, defend, and hold Lessor and Lessor's, officer, appointees, volunteers, employees,
agents, successors and assigns.free and harmless from and against all Damages that may at any time be imposed
upon, incurred by, or asserted or awarded against Lessor in connection with or arising from any Breach of
Lessee's obligations hereunder; or out of any viblation.by Lessee of any Environmental Law; or resulting in the
imposition of any lien or claim for the recovery of any costs for.environmental cleanup or other response costs
relating to,the release or threatened release of Hazardous Materials on the Lease Premises during the Lessee's
tenancy. This obligation shall include any prior leases between Lessor and Lessee and will continue through any
periods Lessee is in holdover, unlawful detainer, or any subsequent month-to-month tenancies created by
operation of law. Lessee's obligations hereunder will survive the expiration or sooner termination of this Lease.
(4) Violation of this section shall constitute grounds for termination of the Lease. Lessor, shall notify Lessee when,
in Lessor's opinion, Lessee has violated the provisions of this section. Lessee;shall immediately discontinue the
conduct and respond within five (5) business days. Lessee shall take all measures necessary to remedy the
condition.
14. QUITCLAIM
Lessee shall, upon the early termination of this Lease and at Lessor's request, execute and deliver to Lessor in a form
provided by Lessor a-good and sufficient release of all rights under this Lease. Should Lessee fail or refuse to deliver
such a release, Lessor may record a written notice recitingsuch;failure or refusal. This written notice shall, from the
dale of its recordation, be conclusive evidence against Lessee of the termination of this Lease and all other claimants.
15. HOLDING-OVER
(,i) This Lease shall terminate.without further notice upon the expiration of the term of this Lease. Lessee shall Imve
femoved'any improvements and completed any restoration as required by Lessor prior to the expiration of this Lease,
and shall surrender possession of the Lease Premises. Any failure by the Lessee to remove Improvements, restore the
Lease Premises, and/or surrender possession of the Lease Premises at the expiration or sooner termination of this
1
f.ease shall not constitute a renewal or extension and shall not give Lessee any rights in or to the Lease Premises or
any part thereof except as expressly provided in this,Lease. Lessee shall be deemed in unlawful detainer of the Lease
Premises and Lessor,shallbe entitled to all resulting legal remedies.
(b) Lessor may, in its sole discretion, choose to accept Rent for the Lease Premises instead of immediately taking
legal action'to recover possession of the Lease Premises: Any tenancy created by operation of law on Lessor's
acceptance of rent shall be deemed a month-to-month tenancy regardless of what sum or sums Lessee delivers to
Lessor. Except as set forth below, any subsequent. tenancy created in this manner shall be on the same terms,
covenants, and conditions set forth in this Lease insofar as such terms, covenants, and conditions can be applicable to
a month-to-month tenancy
(c) In recognition of the increased accounting, land management, and supervisory staff time required for month-to-
month tenancies, the rent-for each month or any portion thereof duringsuch holdover period may he an amount equal
to,one hundred fifty percent (150%) of one-twelfth (1/12) of the,total compensation'for the most recent year paid. In
the event this Lease does not require monetary compensation, Lessor shall have the right to establish rent based on the
fair market value of the Lease Premises. The.month-to-montli tenancy may be terminated by Lessee or Lessor upon
thirty(30)calendar days' prior written notice to the other.
16. ADDITIONAL PROVISIONS
(a)Waiver '
(1)No term, covenant, or condition of this.Lease and no omission, neglect, Default or Breach of any such term,
covenant or condition shall be deemed to have been waived by Lessor's acceptance of a late or nonconforming
performance or otherwise, unless such a waiver is expressly acknowledged by Lessor in writing. No delay or
omission of Lessor to exercise any right or power arising from any omission, neglect, Default or Breach of term,
covenant, or condition of this Lease shalt be construed as a waiver or any acquiescence therein.
(2)Any such waiver shall not he deemed to be a waiver of any other term, covenant or condition; of any
successive' Breaches of the same term, covenant, or condition; or of any other Default or Breach of any term,
covenant or condition of this Lease.
Page 15 of 18
(b) Time
Time'is of the essence for this Lease and each and all of its terms„covenants or conditions in which performance is
a factor. •
(c) Notice
All notices,.required to be given under this Lease shall be given in writing, sent by U.S. Mail with postage prepaid,
to Lessor,at the offices of the State Lands'Commission and the Lessee at the address specified in this Lease. Lessee
shall.give;Lessor notice of any change in its name or address.
(d) Consent
Where Lessor's consent is required under this Lease its consent for one transaction or event shall not he deemed to
pc a consent to any subsequent occurrence of the same or any other transaction or event.
(e) Changes
This Lease may he terminated and its term, covenants, and conditions amended, revised, or supplemented only by
mutual written agreement of the parties.
(f) Successors
The terms,.covenants, and conditions of this,Lease shall extend to and be binding upon and inure to the benefit of
the heirs,successors,:and assigns of the respective parties.
(g) Joint and Several Obligation
If more than one Lessee is a party to this Lease, the obligations of the Lessees shall be joint and several.
(h) Captions
The section and paragraph captions used in this Lease are for the convenience of the parties. The captions are not
controlling and shall have no effect upon the construction or interpretation of this Lease.
(i) Severability
If any term,covenant or condition of this Lease is determined by fr court of competent jurisdiction to be invalid or
unenforceable, the• emainder of this Lease shall not be affected thereby, and each term and provision of this Lease shall
remain valid and enforceable to the fullest extent permitted by law.
(j) Representations
Lessee agrees that no representations have been made by Lessor or by any person or agent acting for Lessor. Lessor
and Lessee agree and acknowledge that this document contains the entire agreement of the parties, that there are no
verbal agreements, representations, warranties or other understandings affecting this Lease, and Lessor and Lessee, as a
material parr.of the consideration of this Lease, waive all claims against the other for rescission, damages, or otherwise
by reason of any alleged covenant, agreement or understanding not contained in this Lease.
(k) Gender and Plurality
In this Lease, the,masculine gender includes both the feminine and neuter, and the singular number includes the
plural whenever the context so requires.
(I) Survival of,Certain Covenants
All covenants pertaining to bond, insurance, indemnification, restoration obligations, Breach, Default, and
remedies shall survive the expiration or earlier termination of this Lease until Lessee has fulfilled all obligations to
restore the-Lease Premises as required by this Lease.
(m) Counterparts
This agreement may be executed in any number of counterparts and by different parties in separate counterparts.
Each counterpart when so executed shall be deemed to be an original and all of which together shall constitute one and
the same agreement.
(n)Delegation of Authority
Lessor and Lessee acknowledge Lessor as defined herein includes the Commission Members, their alternates or
designees,and the staff of the Commission. The ability of staff of the Commission to give consent,or take other
Page 16 of 18
discretionary actions'described herein will be as described in the then-current delegation of authority to Commission
staff. All other powers are reserved to the Commission.
[Remainder of Page Intentionally Left Blank]
Page 17 of 18
STATE OF CALIFORNIA- STATE LANDS COMMISSION
LEASE NO.PRC 4006.9
This.Lease shall become effective only when approved by and executed on behalf of the State Lands Commission
of the State of California.and a duly executed copy.hasbeen;delivered to Lessee. The submission of this Lease by Lessor,
its agent,.or representative for examination by Lessee does not constitute an option or offer to lease the Lease Premises
upon the terms and conditions contained herein, or a reservation of the Lease Premises in favor of Lessee. Lessee's
submission of an executed copy of this Lease to Lessor shall constitute an offer to Lessor to lease the Lease Premises on
the terms and'conditions'set forth herein.
IN WITNESS WHEREOF, the parties hereto have executed this Lease as of the date hereafter affixed.
LESSEE: LESSOR:
CITY OF SEAL BEACH STATE OF CALIFORNIA
STATE LANDS COMMISSION
•
By:
Title: Title:
Date: Date:
ATTACH ACKNOWLEDGMENT Execution of this document was authorized by
the California State Lands Commission on
(Month Day Year)
Page 18 of 18
� tt
•
•
•
STATE OF CALIFORNIA At '
STATE LANDS CONMIssioN 4+
STATE BUILDING • r°� ^
LOS,ANGFJAS, CALIFORNIA 1 ° &s
• ayc,
No. P.R.C. 4006.9
PUBLIC RESOURCES CODE SERIES
For such sole and exclusive purpose; and subject to such terms;
conditions; restrictions; reservations; and limitations as are.herein set
forth':
The State of California,hereinafter designated as the State,-
actingthraugh the State Lands Ccmmis'sion and pursuant to the authority
• contained in Division.6 of the Public Resources Code and the rules and
•
regulations adopted_thereiuwler, does hereby convey, demise and let to
the Orange County Harbor District , State. of California, for
a term of forty-nine (49) years, beginning August 28, 1968 .�
an easement over, in, and upon those certain tide
and submerged lands .situated in the County of Orange
State of California; and more particularly described as follows:
An easement for sewer and water lines over a 20:00-foot strip of land in the Northeast Quarter of Section 24, Township 5 South, Range 12 West, S.B.M., in the
County of Orange, State of California, lying 10.00 feet on each side of the
following described centerline: -
•
.. .a'Commencing at a point in the centerline of construction of California State High-
.way lmown as Pacific Coast Highway, as shown on map filed in book 14, page 36
' of Records of Surveys of said Orange County; said point being at the Northwest-
, . early terminus of the course shown on last mentioned map as "5 43° 28' E 1113.88
feet" and being naked by a PK nail and washer marked 126+90.25 back,
122+05.92 ahead-and shown in California Division-of Highways field book No.-
AOROOLE, page 0307, dated March 1, 1967; thence along the Northwesterly prolonga
•tion of said centerline North 43° 28' -00" West 410.76 feet; thence North 71° 32'
49°East 252.87 feet, more'.or less, to a point in the Northeasterly line of '
location No 14I-State Tide Lands described in Patent issued April 4, 1901, as-.
shown on map recorded.in book 3 page 45,_Records of Surveys of said Orange
County, said point being,-the true point of beginning; thence North 71° 32' 49"
East 669.75 feet; thence South 53° 03! 51" East Approximately 1000 feet to the
East line of said Section 24.
• EXCEPTING 'IBEREFROM those portions lying within Lot 1 of Tract No. 893; as per
map,recorded in book 27, pages 23 and 24, of Miscellaneous Maps, in the office
of the County'Recorder of said Orange County.
The sidelines of said 20.00-foot easement are lengthened or shortened at the
angle point, and to terminate at said Northeasterly line. .
Pagelnf3 :1:2 (Bay: 2/65)
•
i
The sole and entire consideration to the State for the within permit
'shall be the public benefit.
Said land shall be used only for the construction, operation and
maintenance of a sewer and water line
which shall in all respects comply with all applicable laws, rules and
regulations and shall in no way interfere with nor obstruct navigation. "
•
Said permit shall continue and shall remain in effect only so
long as the land shall be used, utilized, and maintained. for the purpose
herein specified, and any time upon the discontinuance of such use Nand
maintenance for a period of 180 days said permit shall, at the option of
the State and upon written notice thereof to the permittee, cease and ter
minate and the State shall have the right to forthwith re-enter upon and take
possession of said land and at its option remove all, or any portion or
portions, of any structures, roadways, and fills from said land at the cost -
and expense of said permittee.
The State expressly reserves the right to grant easements or
crossings, over, upon and under the said demised right-of-way and nothing
herein contained shall be construed as limiting the powers of the State to
tease, convey, or otherwise transfer or encumber, during the life of this
permit all or any portion or portions of the hereinbefore. described State
lands for any purpose whatsoever not inconsistent or incompatible with
the rights or privileges granted to the said permittee.
There:is reserved to the State all natural resources, timber, and
minerals, including oil or gas in or above the described land, and-the right
.C..-grant in, over,"and-across said lands, leases, easements, and/or rights
of-way to extract or remove such natural resources, timber, or Minerals as
• provided by law and the rules and regulations of the State Lands Commission
and without compensation to the said permittee.
•
- Page 2 of 3
51.2 •
That the Lessee shall be liable for and agrees to indemnify the
State against any loss, damage, claim, demand or action, caused by, arising
out of, or connected with the construction or maintenance of- structures
upon, or the use by the Lessee and/or agents thereof, of the demised prem-
ises;
' That the Lessee shall not transfer nor assign this agreement and
shall not sublet said land nor any part thereof, except upon the prior
written consent of the State first had and obtained.
This agreement will become binding on the State only when approved by-
the State Lands Commission and executed on its behalf. . `
IN_WITNESS WHEREOF, the parties hereto have executed this agree
ment ns'of the ;date hereafter.affixed;
LESSEE OR PERMITTEE:* STATE OF CALIFORNIA
Oc O•: ,-, 1•�_ STATE LAMS COtM7SSION
4 .0 „ „C ci_,r� j /tom
Chairman, Board of;_ ugeivisora
• Orange County, Calms:- -a -
Attest: By - • -'�-�
W.E. ST JOHN
County Clerk and ex-officio
•
Clerk of the Board of Supervisors DEC 1 g i968
or Orange County, California Date
By
• -€..
Deputy - �-
•
* .In executing this document the following is required:
Corporations.
1. Affixation of Corporate Seal. - -
2. !.0 If box is checked, a certified copy of the resolution
• - or other document authorizing,the execution of this
agreement on behalf of the corporation.
''Individuals.
OAcknowledgment of signature required.
U Acknowledgment of signature not require ...- -_-;
APPROVED AS TO FORM
ADRIAN KUYPER, County Counsel � _
ORANGE COUNT(, C IFORNIA
C .
B E1
ASSfSTANT , I
A.L.O. '.1?
Page 3 of 3 _.
51:2
•
0
d
- ;.ta fly w' 4 d4gr�iS ri ! s, c Y`i'r¢me,# r
1
STATE0{ 71 GQ1dMISPO �'rj� '�,,�y r,�'-"•�s` 1+ , n'` '"t viivi ,K +
�T '+ M �a )i nS. L 3k a� Aa y
'- eumgyep' a b .� '&r,.�.(k.Y nL,;. ,'`Fx .icy t 3'�3t # ,.�,rxje_
•
Ien n.iCS�',AvaTx vT**awt.Pe;; a s`i'.mY<c<,�.3Lw I? S,marl re s e",••iiF'x
KNOW ALL MEN BY THESE pPRESENTSN..— � +k #41 '4a rx ux Y dw �pti r
Tsa'isA 15 c rfA is 't!,ti '{ e `.r .i'' i ''
That.the undersigned Sta-tsa i "NNirdfit P�`t`.ht£" 'ate�o3ACalifornia, acting by ,'-Z ` mr1aI
. r'"?.+; °rydkr°T Ord:'h �s�7"y': t-4' 0 - :r »,i
and through its. -ant ,
:iso' "n L :f S t 7t ✓w G p41' ,
hereby epaSentENand ii'3rrpf g ;e;. ..ea L s,tkd ,a 4 the herein r"
a, x.six x 5 i
T?5 t > T s ` x ,- S is t <'G i v t.^ 9 m brc ei. , ,,,2'ygM$.v'„,e_ •
ae6lghlig133Mirai-btpriknit x ii.; .6. i fi
5' 4 R aM s t r/v x. ,ka ° 's- ' a, 4� Y11,.". ' '
y o£ tkie attached St to Lease P R C •Nos
- ., 3 , „ n. Such consent is made upon
., the express. condition that'such assignment does not•and..shall not release or
relieve the Assignor from-any obligation to the State under the terms ,of'said
lease,and that the State may hold the Assignor liable for the faithful perform-
- ante of any and all obligation of the Lessee under said lease; and further that
the Assignee shall be bound by the terms of said lease to the same extent as if ,
such Assignee were the-original Lessee, any conditions in the assignment agreement,
to the contrary, notwithstanding. .
DATED this r7 . day of 1)/7 n'i-NIC,e7 i 19 7o.
STATE a 0/P/AISSION 07, TATE OF CALIFORNIA
' By: ' /1.(:A' _ '
State.of California ) ss.
County Of Ins Angeles ) /
On this 'J7°d�' day of JfJru/GfP,;� in the year /970,
before'me,..the undersigned Notary Public in T for said County and State,
personally appeared J/+m a3 F %roe/. , known to me t�o.be the /7/4 fvAq e X,
v:514R Afords "Ir' �t'qm of the'S/A/L /Prds L.Z; Y/sion✓ , anT known
tome to tie the person who executed the attached Instrument on behalf of said agency,'
and'ackhowledged to me that-such agency executed the same:
•
REYNA L. SHARIRO w_ /l. //// ".
�,�[
NOTARY CRAME SACRAMENTO COUNTY
y -e— O< ,�/..f f ....tom,--y
F SACRAMENTO COUNTY //
My Commission Expires Feb.23.1973 > q / III///
;OKaa xlllhun:nrunxunonahphn e:////V / �/fl�pifCo
--- - Naanz (Typed�or Printed)
...,.! .0CPY NOTARY PUBLIC IN AND FOR SAID COUNTY AND STATE
ZA.kR,. _ Page 2 of 2 51.11 .(Rev. 11/67)
N
•
•
•
. .. STATE LANES COMMISSION
ASSIGNMENT -
Tlie undersigned ASSIGNOR; OreseELOIOntratbor Diana
hereby assigns to ThE etif og. ;' .
State Lease P.R.C. No ho06,9 ' , covering the fbkilltewtfiguati,kiktttOproperty in
the County of (WOOS , State of Californiarb0010e0, en •
t1Mt "AB Wad*
•
•
which lease was issued * S1 1 , by the State for a period
of hg . years commencing on the OW day. of £$g $$ 19 +6O •
ORANGE COIliTY HARBOR DISTRICT
.. _ L(2i2L'fRii Asa
4 ( gnor)Board of Supervisers
STATE OF CALIFORNIA ; of xtsim70 a&3/4i4. SEa
.COUNTY OF ORANGE la&c : pd et- 5rtz P Cusxat; Rikaor ritt
On this ' /1644lay of 1969, before me a,=N.tar
and for said County_ans - to ' y• ' bli.. in
personally appeared �� `
Chairman-of the Board of upervisors
of Orange. County, California, acting as the governing:board of the
•
Orange County Harbor Distriet; who.isknown to me to be the person
described in and whose name is subscribed .to the within instrument;
and acknowledged to me that -he executed the same• on behalf of said
Orange County Harbor District and as such officer thereof. -
• IN WITNESS WHEREOF, -I have hereunto set my hand and affixed my official
seal the day and year in this certificate first above wr' .ten.
•
. /,• •
I,'i,mdc
ACCEPTANCE ALAN C. SNYDER —
. NOTARY PUBLIC • CALIFORNIA
The undersigned ASSIGNEE, City eT sta lleede 15 PRINCIPAL OFFICE IN
ORANGE COUNTY •
Address: " 201 Eighth Street
My Commission Expires Dzambtr 25, 1971 -
. .... seal Beach.,California 90'/40 - ..•
hereby accepts the assignment of State Lease P.R.C. No. hood.g , and agrees
to perform the conditions, covenants and.agreements therein contained on the part •
of the •Lessee to be kept and performed and in'the manner therein provided.
•
City. of 91 h .
(Assignee)
State of C forma )ss
County ofy1,p QJ )
On this /9 L dj of - ie the year
Pu /7f before me,-
the!undersy ed Not a and for said County an State, personally
appeared. tip.
- . ., known to,me to be the person whose
name (...4 subscribed to the attached Instrument, end
acknowledged to me that he execute
/d��,the same.
. 1 Url-A- xAL Sse_.. /,.• _
� FERN'C '-ENRYSOI 1
SLi3HM NOTARY PUBLIC-CALIFORNIA
�'�`Z',,R,IgIe e•EoaoWBtmnted''
- NOT _ _qI 9 1T.—4E_•,t'n9 _97d4 AND STATE
. Page 1 0B- (h St.,Seal Beach Cxxi.96740
51.11 (Rev. 11/67)
• •
RESOLUTION NUMBER /erat) -
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
• SEAL BEACH AUTHORIZING THE ACCEPTANCE OF AN
• ASSIGNMENT OF EASEMENT FROM THE COUNTY OF ORANGE.
• WHEREAS, The City of Seal Beach has agreed to provide certain water
• and sewer service to Sunset Aquatic Regional Park; and
WHEREAS, Certain easements are required in connection with providing
such water and sewer service; and
WHEREAS, Orange County Harbor District has offered to assign to the
City of Seal Beach State Lease P.R.C. No. 4006.9 covering
said easement;
•
NOW, THEREFORE, THE CITY COUNCIL of the City•of Seal- Beach hereby
resolves that said assignment is hereby accepted;
BE IT FURTHER RESOLVED that the City Manager is hereby directed to
execute said ACCEPTANCE.
PASSED, APPROVED, AND ADOPTED by the City Council of the City of
• Seal Beach at a meeting thereof held on the 18th day of August, 1969,
by the following vote:
AYES: COuncilme •
NOES: Councilmen
• ABSENT: Councilmen
Mayor
7.5T: zoi
_
Cii/Cler
•
•
•
I, JERDYS WEIR, CITY CLERK OF THE CITY OF SEAL
DEACH DO HEREBY CERTIFY THAT I'm !S A TRUE
AND CORRECT COPY OF424,f0 DULY :-ASSI'D AND
ADOPTED BY THE SEAL :.3._,‘,C11 CIT7 COUNCIL ON • -
CITY CLERK
•
•
• •
•
CALENDAR ITEM
C60
A 72 06/22/17
PRC 4006.9
S 34 I L. Pino
GENERAL LEASE — PUBLIC AGENCY USE
• APPLICANT:
City of Seal Beach
PROPOSED LEASE:
AREA, LAND TYPE, AND LOCATION:
Sovereign land in Anaheim.Bay, near the Sunset Aquatic Regional Park,
city of Seal Beach, Orange County.
AUTHORIZED USE:
Right-of-way for the continued operation and maintenance of an existing
10-inch-diameter water line and a 6-inch-diameter non-operational sewer
line.
LEASE TERM:
25 years, beginning August 28, 2017.
CONSIDERATION:
The public health and safety, with the State reserving the right to set a
monetary rent if the Commission finds such action to be in the State's best
interests.
SPECIFIC LEASE PROVISIONS:
• Lessee is required to conduct a'burial depth survey to ensure that
minimum burial depth is consistent with as-built plans specified depth of
5 feet. The first survey shall be conducted on or before August 28,
2019, with subsequent,surveys being conducted every 5 years.
• Should an emergency situation occur that requires the lessee to
immediately return the sewer pipe to an operating condition in order to
maintain public health and safety, lessee shall notify lessor of the
change in operational status and within 30 days shall submit an
application for an amendment to authorize pipe operation.
-1-
CALENDAR ITEM NO. C60 (CONT'D)
STAFF ANALYSIS AND RECOMMENDATION:
Authority:
Public Resources Code sections 6005, 6216, 6301, 6501.1, and 6503;
California Code of Regulations, title 2, sections 2000 and 2003.
Background and Lease:.History:
On August 28, 1968, the Commission authorized Public Agency Permit
No. PRC4006.9, a 49-year Public Agency Permit—Right-of-Way Use, to
the Orange County Harbor District (District) for the construction, operation,
and maintenance of a 6-inch-diameter sewer line and a 10-inch-diameter
water line in Anaheim Bay near the Sunset Aquatic Regional Park (Park),
city of Seal Beach , Orange County (Calendar Item 5, August 28, 1968).
On January 7, 1970, the.Commission authorized the assignment of PRC
4006.9 from the District to the City of Seal,Beach (City). (Calendar Item
C45, January 7, 1970). This Permit will expire on August 27, 2017. The
City is now applying for a General Lease— Public Agency Use to allow for
the continued operation and maintenance of the two pipelines on State
land.
Orange County acquired the 63-acrePark from the U.S. Navy in 1963.
The Park provides restrooms, picnic.areas, and recreational space for the
public. The Park also includes a marina with boat ramps and 276 boat
slips. Although located within the corporate boundaries of the City, the
Park is segregated'from the main city area by a wildlife refuge and naval
weapons station.
The lease area contains a.6-inch-diameter non-operational sewer line
along with a 10-inch-diameter water line buried parallel and in close
proximity to the<sewer'line. The current burial depth of the two pipelines is
unknown; the last known depth is based on the:as-built plans dated 1968,
prepared by VTN, a private engineering firm, that show a burial depth of 5
feet. However, the lease;requires that a burial depth survey be conducted
on or before August 28, 2019, and subsequent surveys every 5 years on
or before August 28.
The 6-inch-diameter sewer line is currently non-operational. Sewer service
for the Park's public restrooms and marina, as well as the Orange County
Harbor Patrol, have been redirected from the Seal Beach sewer collection
system to the Huntington Beach sewer collection system. However, the
City wishes to continue to maintain the sewer line as an emergency
backup.system. Prior to any planned future use, the City will inspect the
-2-
CALENDAR ITEM NO. C.6O (CONT'D)
line, make any necessary repairs, and apply for an amendment to the
lease.
The 10-inch-diameter water line is still in operation and provides water
services to the Park's public restrooms, drinking fountains, and marina, as
well as the Orange County Harbor Patrol'and the naval weapons station
adjacent to the Park.
Public Trust and State's Best Interests Analysis:
The proposed lease would allow for,the City's continued use and
maintenance of the two pipelines to support public health and safety by
providing running water and, if needed, emergency sewer facilities to the
public Park. The proposed lease would also continue water service to the
Naval Weapons Station.
Based on the as-built plans provided by the City, dated 1968, the two
pipelines were buried approximately 5;feetbelow ground and currently
have no known impact to navigation, fishing, recreational boating, or other
Public Trust purposes at this location,and,are'.therefore not inconsistent
with Public Trust needs and values at this location at this time
Additionally, the'water pipeline provides:'fresh:water services to the marina
and enhances.Public Trust-consistent uses of the adjacent waterway such
as recreational boating.
The proposed lease is limited to a 25-year term and,does not grant the
lessee exclusive rights to the lease premises. Upon termination of the
lease, the'lessee;may be required to remove all improvements from State
land. The proposed lease requires thelessee to insure the lease premises
and indemnify the State for any liability incurred as a result of the Lessee's
activities thereon.
•Climate Change:
Climate change impacts including sea-level rise, increased scouring of the
channel floor from wave,activity, storm events, and flooding are not limited
to the open coast. The lease area is located within Anaheim Bay in Seal
Beach and may be vulnerable to the impacts of sea-level rise. The lease
area contains anon=operational 6-inch-diameter sewer line and a 10-inch-
diameter water line buried parallel and in close proximity. Increased
scouring of the channel floor over time caused by climate change could
expose these pipelines.
The leaseiarea is located near the_Park, which may also be vulnerable to
climate change impacts; such as, flooding and storm surge events
-3-
CALENDAR ITEM NO..C60 (CONT'D)
because the Park may be similar in elevation to the adjacent Huntington
Harbour that is built at near sea-level elevation.
The Seal Beach National Wildlife,Refuge wetlands and Boise Chica
wetlands nearby could act as natural buffers to storm surges and lessen
flood risks. Compared to year 2000 levels, the region could see up to 1
foot of sea-level;rise by the year 2030, 2 feet.by 2050, and possibly over 5
feet by 2100(National Research Council 2012). As stated in Safeguarding
California (California.Natural.Resources Agency 2014), climate change is
projected to increase the frequency and severity of natural disasters
related to flooding, drought, and storms(especially when coupled with
sea-level rise).
In tidally influenced waterways such as Anaheim Bay, more frequent and
powerful storms;can result in increased:flooding conditions and damage
from storm-created debris. Climate change and sea-level rise will further
influence coastal areas by changing erosion and sedimentation.rates.
Beaches, coastal landscapes, and near-coastal riverine areas will be
exposed to increased wave force and run up, potentially resulting in
greater beach or bank erosion than previously experienced.
Conclusion:
For all the reasons:above, Commission staff believes the issuance of this
lease is consistent with the common law Public Trust Doctrine, will not
substantially interfere with PublicTrust+needs at this location at this time
and for the foreseeable term of the proposed lease, and is in the State's
best interests.
OTHERPERTINENT INFORMATION:
1. The proposed action is consistent with Strategy 1.1 of the Commission's
Strategic Plan ta deliver the highest level of public health and safety in the
production, preservation, and responsible economic use of the lands and
resources under the Commission's jurisdiction.
2. Staff recommends that the Commission find that this activity is exempt
from the requirements of the California Environmental Quality Act (CEQA)
as a categorically exempt project. The project is exempt under Class 1,
Existing Facilities; California Code of Regulations, title 2, section 2905,
subdivision (a)(2).
Authority: Public Resources Code section,21084 and California Code of
Regulations,.title 14, section 15300 and California Code of Regulations,
title 2, section 2905.
-4-
CALENDAR ITEM NO C60 (CONT'D)
3. This activity involves lands identified as possessing significant
environmental values pursuant.to Public Resources Code section 6370 et
seq., but such activity will not affect those significant lands. Based upon
staff's consultation with the persons nominating such lands and through
the CEQA review process, it is staffs opinion that the project, as
proposed, is consistent with its use classification.
EXHIBITS:
A. Land Description
B. Site and Location Map
RECOMMENDED ACTION:
It is recommended that the Commission:
CEQA FINDING:
Find that the activity is exempt from the requirements of CEQA pursuant
to California Code.of Regulations, title 14, section 15061 as a categorically
exempt project, Class 1, Existing Facilities; California Code of
Regulations, title 2; section 2905, subdivision (a)(2).
SIGNIFICANT LANDS INVENTORY FINDING:
Find that this activity is consistent with the use classification designated by
the Commission for the land pursuant to Public Resources Code sections
6370 et seq.
PUBLIC TRUST AND STATE'S BEST INTERESTS:
Find that the proposed lease will not•substantially interfere with the Public
Trust needs:and values at this location, at this time or for the foreseeable
term of the lease, is consistent.with,the common law Public Trust Doctrine,
and is in the State's best interests.
AUTHORIZATION:
Authorize issuance of a General Lease —Public Agency Use to the City of
Seal Beach beginning August 28, 2017, for a term of 25 years, for the
continued operation and maintenance of an existing 10-inch-diameter
water line and a 6-inch-diameter non-operational sewer line, as described
in Exhibit A and shown on Exhibit.8 (for reference purposes only) attached
and by this reference.made a part hereof; consideration being the public
health and safety, with the State reserving the right at any time to set a
monetary rent if the Commission finds such action to be in the State's best
interests.
-5-
EXHIBIT A
PRC 4006.9
LAND DESCRIPTION
An easement for sewer and water lines over 20.00-foot strip of tide and submerged
land`in the Northeast Quarter of Section.24, Township.5 South, Range 12 West, S.B.M.,
in the County of Orange, State of California, lying 10.00 feet on each side of the
following described centerline:
COMMENCING at a point in the centerline of construction of California State
Highway known as Pacific Coast Highway, as shown on map filed in Book 14,
Page.36, of Records of Surveys of said Orange County, said point being at the
Northwesterly terminus of the course shown on last mentioned map as
"S 43° 28' E 1113.88 feet"and being marked by PK nail and washer marked
126+90.25 back, 122+05.92::ahead and shown in California Division of Highways
field Book No. AOROO1E Page 0307, dated March 1, 1967; thence along the
Northwesterly prolongation of said centerline North 43° 28' 00"West 410.76
feet; thence North 71° 32'49"East 252.87 feet, more or less, to a point in the
Northeasterly line of Location No 141 State Tide Lands described in Patent
issued April 4, 1901, as shown on map recorded in Book 3, Page 45, Records of
Surveys;of said.Orange;County, said point being the.POINT OF BEGINNING;
thence North 71° 32'49" East 669.75 feet; thence South 53° 03' 51" East
approximately 1000 feet to the east line of said Section 24 and the TERMINUS of
said centerline.
EXCEPTING'THEREFROM those portions lying within Lot 1 of Tract No. 893, as per map
recorded in book 27, Page 23,and 24, of Miscellaneous Maps, in the office of the County
Recorder of said Orange County.
The sidelines of said 20.00-foot easement are lengthened or shortened at the angle
point and to terminate at said Northeasterly line.
END OF DESCRIPTION
Revised by California State Lands Commission Boundary Unit on March 1, 2017.
Original description prepared on August 28, 1968 as found in PRC 4006 file, Calendar
Item 31.
`peg
.r
NO SCALE SITE
, I
i 1 APN 178-661-01
I j TRACT 893
9 'LEASE LOT 1 i
oy I AREA 1 \,, I--\\e I TLL 134
•\.. d'..■■ ;. I. -. is=°9-- j°f\iy LEASE ,4 c
o10 "0, 51110— ' . . y.5.Nrrrr� AREA 2 /,
7
\ g.
Ar \ fy \ �,1
\ ��o� �' t;'' TRACT 893
\ o N\,,LOT 1•\• .'a\. •\ >, / N.
l
,N
\ O�\ If
` \
\ \
A `
rli
• \' `
d \ \ •
• 2.-, `
SUNSET AQUATIC REGIONAL PARK, CITY OF SEAL BEACH
NO SCALE LOCATION Exhibit B
`, 4• 4;. ' ., • " y y 4 ,, A
>—r. k r ,. i ,.i PRC 4006.9
CITY OF SEAL BB
AC
I• I,' � .U.' i t --
\ , /T 1 / APNs 178.673-01 &178-661-01
` • x ? e) : GENERALLEASE-N : ti 2 tt ;\'\C SITES V- : -
/ RIGHT-OF-WAY USE
ORANGE COUNTY: f \ y
> s � y5; 4C 4,,3-- kmw 6,: 7 _
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This Exhibit is solely for.porposes of generally defining the lease premises, is
based on unverifiecLinformation provided by the Lessee or other parties and is
nor intended to,bc„nor shall itbe construed as,a waiver or limitation of any State
interest in the subject or any other property. SITE
TS UJNII17
Attachment 66D"
CALENDAR ITEM
C60
A 72 06/22/17
PRC 4006.9
S 34 L. Pino
GENERAL LEASE — PUBLIC AGENCY USE
APPLICANT:
City of Seal Beach
PROPOSED LEASE:
AREA, LAND TYPE, AND LOCATION:
Sovereign land in Anaheim Bay, near the Sunset Aquatic Regional Park,
city of Seal Beach, Orange County.
AUTHORIZED USE:
Right-of-way for the continued operation and maintenance of an existing
10-inch-diameter water line and a 6-inch-diameter non-operational sewer
line.
LEASE TERM:
25 years, beginning August 28, 2017.
CONSIDERATION:
The public health,and safety, with the State reserving the right to set a
monetary rent if the Commission finds such,action to be in the State's best
interests.
SPECIFIC LEASE:PROVISIONS:
• Lessee is required to conduct a burial depth survey to ensure that
minimum burial depth is consistent with as-built plans specified depth of
5 feet. The firstsurvey shall be conducted on or before August 28,
2019, with subsequent surveys being conducted every 5 years.
■ Should an emergency situation,occur that requires the lessee to
immediately return the sewer pipe to an operating condition in order to
maintain public<health and safety, lessee shall notify lessor of the
change in operational-statusand within 30 days shall submit an
application for an amendment to authorize pipe operation.
-1-
CALENDAR ITEM NO. C60 (CONT'D)
STAFF ANALYSIS AND RECOMMENDATION:
Authority:
Public Resources Code sections 6005, 6216, 6301, 6501.1, and 6503;
California Code of Regulations, title 2, sections 2000 and 2003.
Background and Lease.History:
On August 28, 1968, the Commission authorized Public Agency Permit
No. PRC 4006.9,:a 49-year Public Agency Permit— Right-of-Way Use, to
the Orange County Harbor District (District) for the construction, operation,
and maintenance of a 6-inch-diameter sewer line and a 10-inch-diameter
water line in Anaheim Bay near the Sunset Aquatic Regional Park (Park),
city of Seal Beach , Orange County (Calendar Item 5, August 28, 1968).
On January 7, 1970, the Commission authorized the assignment of PRC
4006.9 from the District to the City of Seal Beach (City). (Calendar Item
C45, January 7, 1.970). This Permitwill expire on August 27, 2017. The
City is now applying for a General Lease — Public Agency Use to allow for
the continued operation and maintenance of the two pipelines on State
land.
Orange County acquired the 63-acre Park from the U.S. Navy in 1963.
The Park provides'restrooms, picnic areas, and recreational space for the
public. The Park alsoincludes a marina with boat ramps and 276 boat
slips. Although located within the corporate boundaries of the City, the
Park is segregated from the main city area by a wildlife refuge and naval
weapons station.
The lease area contains'a 6-inch-diameter non-operational sewer line
along with a 10-inch-diameter water line buried parallel and in close
proximity to the sewer line. The current burial depth of the two pipelines is
unknown; the last known'depth is based on the as-built plans dated 1968,
prepared by VTN, a private engineering firm, that show a burial depth of 5
feet. However, the lease requires,that a burial depth survey be conducted
on or before August 28, 2019, and subsequent surveys every 5 years on
or before August 28.
The 6-inch-diameter sewer line is currently non-operational. Sewer service
for the Park's public restrooms and marina, as well as the Orange County
Harbor Patrol, have been.redirected from the Seal Beach sewer collection
system to the Huntington Beach sewer collection system. However, the
City wishes to continue to maintain the sewer line as an emergency
backup system. Prior to any planned future use, the City will inspect the
-2-
CALENDAR ITEM NO. C6O (CONT'D)
line, make any necessary repairs, and apply for an amendment to the
lease.
The 10-inch-diameter water line is still in operation and provides water
services to the Park's publicrestrooms, drinking fountains, and marina, as
well as the Orange County Harbor Patrol and the naval weapons station
adjacent to the Park.
Public Trust and State's Best Interests.Analysis:
The proposed lease would allow for the City's continued use and
.maintenance of the two pipelines to support public health and safety by
providing running water and, if needed, emergency sewer facilities to the
• public Park:The proposed lease would also continue water service to the
Naval Weapons Station.
Based on the as-built plans provided by the City, dated 1968, the two
pipelines were buried approximately 5 feet below ground and currently
have no known impact to navigation, fishing, recreational boating, or other
Public Trust,purposes at this location and are therefore not inconsistent
with Public Trust needs and values at this location at this time.
Additionally, the water pipeline providesfresh water services to the marina
and enhances Public Trust-consistent uses of the adjacent waterway such
as recreational boating.
The proposed lease is limited to a 25-year term and does not grant the
lessee exclusive`rights to the lease premises. Upon termination of the
lease, the lessee may be required to remove all improvements from State
land. The proposed lease requires the lessee to insure the lease premises
and indemnify the State for any liability incurred as a result of the Lessee's
activities thereon.
Climate Change:
Climate change impacts including sea-level rise, increased scouring of the
channel floor from wave activity, storm events, and flooding are not limited
to the open coast. The lease area is located within Anaheim Bay in Seal
Beach and may be vulnerable to the impacts of sea-level rise. The lease
area contains a.non-operational 6-inch-diameter sewer line and a 10-inch-
diameter water line buried parallel and in close proximity. Increased
scouring of the channel floor over time caused by climate change could
expose these pipelines.
The lease area is located near the Park, which may also be vulnerable to
climate change impacts; such as, flooding and storm surge events
-3-
CALENDAR ITEM NO. C60 (CONT'D)
because the Park may similar in elevation to the adjacent Huntington
' Harbour that is built at near sea-level elevation.
The Seal Beach National Wildlife Refuge wetlands and Bolsa Chica
wetlands nearby could act as natural buffers to storm surges and lessen
flood risks. Compared to year 2000 levels, the region could see up to 1
foot of sea-level rise.by theyear 2030, 2 feet by 2050, and possibly over 5
feet by 2100 (National Research Council 2012). As stated in Safeguarding
California (California Natural Resources Agency 2014), climate change is
projected to increase the frequency and severity of natural disasters
related to flooding, drought, and storms (especially when coupled with
sea-level rise).
In tidally influenced waterways such as Anaheim Bay, more frequent and
powerful storms can result in increased flooding conditions and damage
from storm-created debris. Climate change and sea-level rise will further
influence coastal areas by changing erosion and sedimentation rates.
Beaches, coastal landscapes, and near-coastal riverine areas will be
exposed to increased wave force and run up, potentially resulting in
greater beach or bank erosion than previously experienced.
Conclusion:
For all the reasons above, Commission staff believes the issuance of this
lease is consistent with the common law Public Trust Doctrine, will not
substantially interfere with Public Trust needs:at this location at this time
and for the foreseeable term of the proposed lease, and is in the State's
best interests.
OTHER PERTINENT INFORMATION:
1. The proposed action is consistent with Strategy 1.1 of the Commission's
Strategic Plan to deliver the highest level of public health and safety in the
production, preservation, and responsible economic use of the lands and
resources under the Commission's jurisdiction.
2. Staff recommends that the Commission find that this activity is exempt
from the requirements of the California Environmental Quality Act (CEQA)
as a categorically exempt project. The project is exempt under Class 1,
Existing Facilities; California Code of Regulations, title 2, section 2905,
subdivision (a)(2).
Authority: Public Resources Code section 21084 and California Code of
Regulations, title 14, section 15300 and California Code of Regulations,
title 2, section 2905.
-4-
CALENDAR ITEM NO. C60 (CONT'D)
3. This activity involves lands identified as possessing significant
environmental values pursuant to Public.Resources,Code section 6370 et
seq., but such activity will not affect those significant lands. Based upon
staff's consultation with the persons nominating such lands and through
the CEQA review process, it is staff's opinion that the project, as
proposed, is consistent with its use classification.
EXHIBITS:
A. Land Description
B. Site and Location'Map
RECOMMENDED ACTION:
It recommended that the Commission:
CEQA FINDING:
Find that the activity is exempt from the requirements of CEQA pursuant
to California Code of Regulations, title 14, section 15061 as a categorically
exempt project, Class 1, Existing Facilities; California Code of
Regulations, title.2, section 2905, subdivision(a)(2).
SIGNIFICANT LANDS":INVENTORY FINDING:
Find that this activity is consistent with the use classification designated by
the Commission for the land pursuant to Public Resources Code sections
6370 et seq.
PUBLIC TRUST AND STATE'S BEST INTERESTS:
Find that the proposed lease will not substantially interfere with the Public
Trust needs and values,at this location, at this`time or for the foreseeable
term of the lease, is consistent with the common law Public Trust Doctrine,
and isin the State's bestinterests.
AUTHORIZATION:
Authorize issuance of a General Lease— Public Agency Use to the City of
Seal Beach beginning August 28, 2017, fora term of 25 years, for the
continued operation and maintenance of an existing 10-inch-diameter
water line and 6-inch-diameter non-operational sewer line, as described
in Exhibit A and shown on Exhibit B (for reference purposes only) attached
and by this reference made a part hereof; consideration being the public
healthand safety, with the State:reserving the right at any time to set a
monetary rent if the Commission finds such action to be in the State's best
interests.
-5-
EXHIBIT`A
PRC 4006.9
LAND DESCRIPTION
An easement for sewer and water lines over 20.00-foot strip of tide and submerged
land in the Northeast Quarter of Section 24,Township 5 South, Range 12 West, S.B.M.,
In the County of Orange, State of California, lying 10.00 feet on each side of the
following described centerline:
COMMENCING at a point in the centerline of construction of California State
Highway known as Pacific Coast Highway, as shown on map filed in Book 14,
Page 36, of Records of Surveys of said Orange County, said point being at the
Northwesterly terminus of the course shown on last mentioned map as
"S 43° 28' E:'1113.88 feet"and being marked by PK nall and washer marked
126''+90.25 back, 122+05.92:ahead and shown in California Division of Highways
field Book No. AOROOIE, Page 0307, dated March 1, 1967; thence along the
Northwesterly prolongation:of said centerline North 43° 28' 00"West 410.76
feet; thence North 71°32'49"East 252.87 feet, more or less, to a point in the
Northeasterly line of Location No 141 State Tide Lands described in Patent
issued April 4, 1901, as shown on map recorded in Book 3, Page 45, Records of
Surveys of said Orange County, said point being the POINT OF BEGINNING;
thence North 71° 32'49" East 669.75 feet; thence South 53° 03' 51" East
approximately 1000 feet to the east line of said Section 24 and the TERMINUS of
said centerline.
EXCEPTING THEREFROM those portions lying within Lot 1 of Tract No. 893, as per map
recorded in book 27, Page 23 and 24, of Miscellaneous Maps, in the office of the County
Recorder of said Orange County.
The sidelines of!said,.20.00-foot,easement are lengthened or shortened at the angle
point and terminate at said Northeasterly line.
END OF DESCRIPTION
Revised`bythe+California State Lands.Commission Boundary Unit on March 1, 2017.
Original description prepared on August 28, 1968 as found in PRC 4006 file, Calendar
Item 31.
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NO SCALE SITE
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APN 178-661-01
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SUNSET AQUATIC REGIONAL PARK, CITY OF SEAL BEACH
NO SCALE LOCATION Exhibit B
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,�e>u� \ W % r ` 1 ,� - j ; ' APNs 178-673-01 &178-661-01
„ GENERALLEASE-
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RIGHT-OP-WAY USE
1 Y�1 i Ate_ -,,,_1 -77:_1
ORANGE COUNTY
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SUL
This Exhibit is solely,foipurposes of generlly defining the lease premises,is
based on unverifiedinformation provided by the Lessee or.other parties and is ��
not intended to be,nor shall it be construed as,a waiver or limitation of any State
interest-in the subject or any other property. SITE
TS UJNU17