HomeMy WebLinkAboutNorthpointe BP, LP Indemnification Agreement - 4-30-24INDEMNIFICATION AGREEMENT
THIS AGREEMENT is entered into and effective on _________________________,
by and between the CITY OF FRESNO, a municipal corporation (City), and
Northpointe BP, LP. a California Limited Partnership (Applicant).
RECITALS
WHEREAS, Applicant has applied to City for a Land Use Approval for the Subject
Property, described on the attached Legal Description (Exhibit A) and with the
addresses of 3211 South Northpointe Drive, Fresno, CA 93725, in accordance with
Develoment Permit Application No. P24-00571; and,
WHEREAS, litigation challenging the granting or issuance of land use approvals by
governmental bodies is proliferating, and such litigation exposes City to potential
liability for damages, costs, and attorney's fees; and,
WHEREAS, in such litigation, the person or entity receiving land use approvals is
designated as a real party in interest and is the party that primarily and directly benefits
from the granting or issuance of the land use approvals; and,
WHEREAS, the City's Director of Planning and Development, Fresno City Planning
Commission and Fresno City Council are objective decision-making bodies, and
therefore have no special interest in the approval or denial of land use applications or
the outcome of litigation arising from such grant or denial, except as to those which
promote public policy; and,
WHEREAS, City incurs great expense in the active defense of such litigation and, if
unsuccessful, may also be required to pay the prevailing party's attorney's fees and costs;
and,
WHEREAS, fairness and sound fiscal policy require that the person or entity receiving the
benefits of a land use approval should also bear the burden of the liability for potential
injuries and the expense of such litigation and claims: and,
WHEREAS, Applicant and City mutually desire to enter into this Indemnification
Agreement, by which Applicant shall indemnify, (at City's request) defend, save and hold
City harmless, in order that City shall bear no fiscal or financial burden whatsoever
resulting from any litigation challenging the City's grant or issuance of land use approvals
to Applicant, subject to the provisions of Section 2, below.
1.DEFINITIONS.
(a)“Applicant” means Northpointe BP,LP and its heirs, assigns, or
successors in interest.
(b)“Land Use Approval”, for purposes of this Agreement, shall mean any
benefits arising from any of the following: the grant of Development Permit
Application No. P24-00571 any approval of conditional use or
development permits, any approval of building and demolition permits by
the Historic Preservation Commission, and any document prepared
pursuant to the California Environmental Quality Act (CEQA) or other
4/30/2024
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law that is approved in conjunction with any of these entitlements and
permits. Land Use Approval does not include a ministerial permit.
(c) “City” shall mean the City of Fresno, a municipal corporation.
(d) “Project” shall mean the use of the land authorized by the Land Use
Approval.
2. HOLD HARMLESS AND INDEMNIFICATION RELATED TO LAND USE
APPROVAL.
To the furthest extent allowed by law, Applicant shall indemnify, hold harmless and
defend City and each of its officers, officials, employees, agents, and volunteers from any
and all loss, liability, fines, penalties, forfeitures, costs and damages (whether statutory,
in contract, tort or strict liability, including but not limited to personal injury, death at any
time and property damage) incurred by City in connection with any and all claims,
demands and actions in law or equity (including attorney's fees and litigation expenses)
arising from, resulting from, or in connection with any City action in granting, issuing or
approving the Land Use Approval, including, but not limited to claims alleging violations
of the California Environmental Quality Act or the Housing Crisis Act of 2019. Applicant's
obligations under the preceding sentence shall apply regardless of whether City or any of
its officers, officials, employees, agents, or volunteers are actively or passively negligent,
but shall not apply to any indemnification, loss, liability, fines, penalties forfeitures, costs
or damages caused solely by the gross negligence or willful misconduct of the City or any
of its officers, officials, employees, agents, or volunteers.
3. INSURANCE REQUIREMENTS
(a) Throughout the life of this Agreement, Applicant shall pay for and maintain
in full force and effect all insurance as required herein with an insurance
company(ies) either (i) admitted by the California Insurance Commissioner
to do business in the State of California and rated no less than “A-VII” in
the Best’s Insurance Rating Guide, or (ii) as may be authorized in writing
by City's Risk Manager or designee at any time and in its discretion. The
required policies of insurance as stated herein shall maintain limits of
liability of not less than those amounts stated therein. However, the
insurance limits available to City, its officers, officials, employees, agents,
and volunteers as additional insureds, shall be the greater of the minimum
limits specified therein or the full limit of any insurance proceeds to the
named insured.
(b) If at any time during the life of the Agreement or any extension, Applicant
fail to maintain any required insurance in full force and effect, all terms
under this Agreement shall be discontinued immediately, and all payments
due or that become due to Applicant shall be withheld until notice is
received by City that the required insurance has been restored to full force
and effect and that the premiums therefore have been paid for a period
satisfactory to City. Any failure to maintain the required insurance shall be
sufficient cause for City to terminate this Agreement. No action taken by
City pursuant to this section shall in any way relieve Applicant of its
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responsibilities under this Agreement. The phrase “fail to maintain any
required insurance” shall include, without limitation, notification received
by City that an insurer has commenced proceedings, or has had
proceedings commenced against it, indicating that the insurer is insolvent.
(c) The fact that insurance is obtained by Applicant shall not be deemed to
release or diminish the liability of Applicant, including, without limitation,
liability under the indemnity provisions of this Agreement. The duty to
indemnify City shall apply to all claims and liability regardless of whether
any insurance policies are applicable. The policy limits do not act as a
limitation upon the amount of indemnification to be provided by Applicant.
Approval or purchase of any insurance contracts or policies shall in no
way relieve from liability nor limit the liability of Applicant, vendors,
suppliers, invitees, contractors, sub-contractors, consultants, or anyone
employed directly or indirectly by any of them.
Coverage shall be at least as broad as:
1. The most current version of Insurance Services Office (ISO)
Commercial General Liability Coverage Form CG 00 01, providing
liability coverage arising out of your business operations. The
Commercial General Liability policy shall be written on an occurrence
form and shall provide coverage for “bodily injury,” “property
damage” and “personal and advertising injury” with coverage for
premises and operations (including the use of owned and non-owned
equipment), products and completed operations, and contractual
liability (including, without limitation, indemnity obligations under the
Agreement) with limits of liability not less than those set forth under
“Minimum Limits of Insurance.”
2. The most current version of ISO *Commercial Auto Coverage Form
CA 00 01, providing liability coverage arising out of the ownership,
maintenance or use of automobiles in the course of your business
operations. The Automobile Policy shall be written on an occurrence
form and shall provide coverage for all owned, hired, and non-owned
automobiles or other licensed vehicles (Code 1- Any Auto). If
personal automobile coverage is used, the City, its officers, officials,
employees, agents, and volunteers are to be listed as additional
insureds.
3. Workers’ Compensation insurance as required by the State of
California and Employer’s Liability Insurance.
MINIMUM LIMITS OF INSURANCE
Applicant shall procure and maintain for the duration of the agreement, insurance with
limits of liability not less than those set forth below. However, insurance limits available to
City, its officers, officials, employees, agents, and volunteers as additional insureds, shall
be the greater of the minimum limits specified herein or the full limit of any insurance
proceeds available to the named insured:
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1. COMMERCIAL GENERAL LIABILITY
(i) $2,000,000 per occurrence for bodily injury and property damage;
(ii) $2,000,000 per occurrence for personal and advertising injury;
(iii) $4,000,000 aggregate for products and completed operations; and,
(iv) $4,000,000 general aggregate applying separately to the work
performed under the Agreement.
2. COMMERCIAL AUTOMOBILE LIABILITY
$1,000,000 per accident for bodily injury and property damage.
3. Workers’ Compensation Insurance as required by the State of
California with statutory limits and EMPLOYER’S LIABILITY with limits
of liability not less than:
(i) $1,000,000 each accident for bodily injury;
(ii) $1,000,000 disease each employee; and,
(iii) $1,000,000 disease policy limit.
UMBRELLA OR EXCESS INSURANCE
In the event Applicant purchases an Umbrella or Excess insurance policy(ies) to meet the
“Minimum Limits of Insurance,” this insurance policy(ies) shall “follow form” and afford no
less coverage than the primary insurance policy(ies). In addition, such Umbrella or
Excess insurance policy(ies) shall also apply on a primary and non-contributory basis for
the benefit of the City, its officers, officials, employees, agents, and volunteers.
DEDUCTIBLES AND SELF-INSURED RETENTIONS
Applicant shall be responsible for payment of any deductibles contained in any insurance
policy(ies) required herein and Applicant shall also be responsible for payment of any
self-insured retentions. Any self-insured retentions must be declared on the Certificate
of Insurance, and approved by, the City’s Risk Manager or designee. At the option of the
City’s Risk Manager or designee, either:
(i) The insurer shall reduce or eliminate such self-insured retentions as
respects City, its officers, officials, employees, agents, and volunteers; or
(ii) Applicant shall provide a financial guarantee, satisfactory to City’s Risk
Manager or designee, guaranteeing payment of losses and related
investigations, claim administration and defense expenses. At no time shall
City be responsible for the payment of any deductibles or self-insured
retentions.
OTHER INSURANCE PROVISIONS/ENDORSEMENTS
(i) All policies of insurance required herein shall be endorsed to provide that
the coverage shall not be cancelled, non-renewed, reduced in coverage or
in limits except after 30 calendar days’ written notice has been given to City,
except ten days for nonpayment of premium. Applicant is also responsible
for providing written notice to the City under the same terms and conditions.
Upon issuance by the insurer, broker, or agent of a notice of cancellation,
non-renewal, or reduction in coverage or in limits, Applicant shall furnish
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City with a new certificate and applicable endorsements for such policy(ies).
In the event any policy is due to expire during the work to be performed for
City, Applicant shall provide a new certificate, and applicable
endorsements, evidencing renewal of such policy not less than 15 calendar
days prior to the expiration date of the expiring policy.
(ii) The Commercial General and Automobile Liability insurance policies shall
be written on an occurrence form.
(iii) The Commercial General and Automobile Liability insurance policies shall
be endorsed to name City, its officers, officials, agents, employees, and
volunteers as an additional insured. Applicant shall establish additional
insured status for the City and for all ongoing and completed operations
under the Commercial General Liability policy by use of ISO Forms or an
executed manuscript insurance company endorsement providing additional
insured status. The Commercial General endorsements must be as broad
as that contained in ISO Forms: GC 20 10 11 85 or both CG 20 10 & CG 20
37.
(iv) The Commercial General and Automobile Liability insurance shall contain,
or be endorsed to contain, that the Applicants’ insurance shall be primary
to and require no contribution from the City. The Commercial General policy
is required to include primary and non-contributory coverage in favor of the
City for both the ongoing and completed operations coverage. These
coverages shall contain no special limitations on the scope of protection
afforded to City, its officers, officials, employees, agents, and volunteers. If
Applicant maintains higher limits of liability than the minimums shown
above, City requires and shall be entitled to coverage for the higher limits
of liability maintained by Applicant.
(v) Should any of these policies provide that the defense costs are paid within
the Limits of Liability, thereby reducing the available limits by defense costs,
then the requirement for the Limits of Liability of these polices will be twice
the above stated limits.
(vi) For any claims related to this Agreement, Applicant’s insurance coverage
shall be primary insurance with respect to the City, its officers, officials,
agents, employees, and volunteers. Any insurance or self-insurance
maintained by the City, its officers, officials, agents, employees, and
volunteers shall be excess of the Applicant’s insurance and shall not
contribute with it.
(vii) The Workers’ Compensation insurance policy shall contain, or be endorsed
to contain, a waiver of subrogation as to City, its officers, officials, agents,
employees, and volunteers.
(viii) The Commercial General and Automobile Liability insurance policies shall
contain, or be endorsed to contain, a waiver of subrogation as to City, its
officers, officials, agents, employees, and volunteers.
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PROVIDING OF DOCUMENTS - Applicant shall furnish City with all certificate(s)
and applicable endorsements effecting coverage required herein. All certificates
and applicable endorsements are to be received and approved by the City’s
Risk Manager or designee prior to City’s execution of the Agreement and
before work commences. All non-ISO endorsements amending policy coverage
shall be executed by a licensed and authorized agent or broker. Upon request of
City, Applicant shall immediately furnish City with a complete copy of any
insurance policy required under this Agreement, including all endorsements, with
said copy certified by the underwriter to be a true and correct copy of the original
policy. This requirement shall survive expiration or termination of this Agreement.
All sub-applicants working under the direction of Applicant shall also be required
to provide all documents noted herein.
CLAIMS-MADE POLICIES - If any coverage required is written on a claims-made
coverage form:
(i) The retroactive date must be shown, and must be before the effective date
of the Agreement or the commencement of work by Applicant.
(ii) Insurance must be maintained and evidence of insurance must be provided
for at least five years after completion of the work or termination of the
Agreement, whichever first occurs.
(iii) If coverage is canceled or non-renewed, and not replaced with another
claims-made policy form with a retroactive date prior to the effective date of
the Agreement, or work commencement date, Applicant must purchase
“extended reporting” period coverage for a minimum of five years after
completion of the work or termination of the Agreement, whichever first
occurs.
(iv) A copy of the claims reporting requirements must be submitted to City for
review.
(v) These requirements shall survive expiration or termination of the
Agreement.
4. NOTIFICATIONS AND COOPERATION BY CITY.
City shall notify Applicant within a reasonable period of time of its receipt of any
demand, claim, action, proceeding, or litigation in which City is to be indemnified
and held harmless by Applicant. If City requests that Applicant defend City, it shall
notify Applicant in writing within a reasonable period of time of its receipt of any
such demand, claim, action, proceeding, or litigation and City shall cooperate fully
in such defense.
City shall have the right to select the attorney or attorneys who will defend the
City. In selecting defense counsel, City should consider the prevailing local rates
for attorneys with the requisite skills. City should further consider whether a joint
defense arrangement utilizing counsel for Applicant will suffice in lieu of
separate counsel. City reserves its rights at all times to retain separate defense
counsel subject to the provisions of this paragraph, and Applicant agrees to
accept such selection. City and Applicant shall at all times cooperate with
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respect to the retention of counsel. Applicant further agrees to be fully
responsible for any and all costs and attorney's fees generated by said
attorney(s) in the defense of City in any claim, demand, action, proceeding, or
litigation arising out of the Project.
5. CITY'S PARTICIPATING IN DEFENSE.
Nothing contained herein shall prohibit City, in its sole discretion, from participating
in the defense of any demand, claim, action, proceeding, or litigation over and
above representation by outside counsel, or from participating in the defense of
any demand, claim, action, proceeding, or litigation. If City elects to also defend, it
shall do so in good faith. In no event shall City's participation in the defense of any
demand claim, action, proceeding, or litigation affect the obligations imposed upon
Applicant in section 2 of this Agreement.
6. REIMBURSEMENT OF CITY'S COSTS RE: ADMINISTRATIVE RECORD.
Without limiting the City's right to recover its costs from Applicant under paragraph
2 herein above, Applicant agrees to reimburse the City for its actual cost incurred,
including, but not limited to, City staff and attorney time expended for certifying
and/or preparing the administrative record in connection with any proceedings
related to the subject matter of this Indemnification Agreement. Applicant and City
agree to work cooperatively with respect to preparation of the administrative
record, and Applicant shall ensure that City is fully reimbursed for the costs of
preparation before receiving such administrative record. To the extent
administrative record reimbursement and related costs are recovered in any
litigation by the City, Applicant shall be reimbursed to the extent any such recovery
is made as cost recovery items.
7. BINDING OBLIGATION.
Applicant hereby agrees that this Agreement shall be recorded in the office of the
Recorder of the County of Fresno and the obligations thereunder shall run with
and be appurtenant to and be a charge upon the land and be binding on Applicant's
successor(s) in interest, heirs, transferee(s), and assign(s}.
8. COVENANT NOT TO SUE.
(a) Applicant on behalf of itself, and its successors, and assigns, hereby fully
releases City, its successors, and all other persons and associations,
known or unknown, from all claims and causes of action by reason of
any damage which has been sustained, or may be sustained, as a result
of the above-described Land Use Approval and covenants not to sue
relating to such claims, excluding gross negligence or willful misconduct
of City, as set forth in Section 2, above.
(b) Applicant acknowledges and agrees that this release applies to all claims
that Applicant may have against City arising out of the above-described
Land Use Approval for injuries, damages, or losses to Applicant's person
and property, real or personal, whether those injuries, damages, or losses
are known or unknown, foreseen or unforeseen, or patent or latent.
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(c) Applicant certifies that Applicant has read section 1542 of the Civil Code,
set out below:
A general release does not extend to claims which the creditor does not
know or suspect to exist in his or her favor at the time of executing
the release, which if known by him or her must have materially
affected his or her settlement with the debtor.
(d) Applicant hereby waives application of section 1542 of the Civil Code.
(e) Applicant understands and acknowledges that the significance and
consequence of this waiver of section 1542 of the Civil Code is that even if
Applicant should eventually suffer additional damages arising out of the
above described Land Use Approval, Applicant will not be permitted to
make any claim for those damages. Furthermore, Applicant acknowledges
that Applicant intends these consequences even as to claims for damages
that may exist as of the date of this release but which Applicant does not
know exist, and which, if known, would materially affect Applicant's decision
to execute this release, regardless of whether Applicant's lack of knowledge
is the result of ignorance, oversight, error, negligence or any other cause.
(f) Applicant warrants and represents that in executing this release, Applicant
has relied on legal advice from the attorney of Applicant's choice that the
terms of this release and its consequences have been completely read and
explained to Applicant by that attorney, and that Applicant fully understands
the terms of this release.
(g) Applicant acknowledges and warrants that Applicant's execution of this
release is free and voluntary.
(h) This release pertains to a disputed claim and does not constitute an
admission of liability by City for the above-described Land Use Approval.
(i) The provisions of paragraph 10 herein below shall not apply to this covenant
not to sue.
9. TERMINATION OF AGREEMENT.
(a) This Indemnification Agreement may be terminated only upon the
following conditions:
(i) The parties agree to terminate this Indemnification Agreement by
their express, mutual written consent; or
(ii) The Applicant petitions the Fresno City Council to terminate this
Indemnification Agreement by providing to the Council a written
opinion of Applicant's legal counsel and the Fresno City Council,
in its sole discretion, determines that termination of this
Indemnification Agreement is in the best interest of the public and
the City. It is understood and agreed that the City, in making such
determination of whether to terminate this Indemnification
Agreement, may reasonably rely upon said opinion of Applicant's
legal counsel.
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(b) If this Indemnification Agreement is terminated as provided
above, the City shall execute a written release of Applicant's
obligations under this Indemnification Agreement. It shall be
Applicant's responsibility to record such document with the office of
the Recorder of the County of Fresno.
10. ATTORNEY'S FEES.
If either party is required to commence any proceeding or legal action to enforce
or interpret any term, covenant or condition of this Agreement, the prevailing party
in such proceeding or action shall be entitled to recover from the other party its
reasonable attorney's fees and legal expenses. For the purposes of this
agreement, “attorneys’ fees” and “legal expenses” include, without limitation,
paralegals’ fees and expenses, attorneys, consultants fees and expenses, expert
witness fees and expenses, and all other expenses incurred by the prevailing
party’s attorneys in the course of the representation of the prevailing party in
anticipation of and/or during the course of litigation, whether or not otherwise
recoverable as “attorneys’ fees” or as “costs” under California law, and the same
may be sought and awarded in accordance with California procedure as pertaining
to an award of contractual attorneys’ fees.
11. SEVERABILITY.
If any provision of this Agreement is determined to be invalid in a final judgment
by a court of competent jurisdiction, each and every other provision hereof shall
remain in full force and effect.
12. CONSTRUCTION OF CONTRACT.
The parties hereby acknowledge that they and their respective counsel have
cooperated in the drafting and preparation of this agreement, for which reason this
agreement shall not be construed against any party as the drafter thereof.
[Signatures follow on the next page.]
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IN WITNESS WHEREOF, the parties have executed this Agreement at Fresno,
California, on the day and year first above written.
CITY:
CITY OF FRESNO,
A California municipal corporation
By:
Jennifer Clark, AICP, Director
Planning and Development
Department
No signature of City Attorney required.
Standard Document “DEV-S Land Use
Approval Indemnity (02-2022)” has been
used without modification, as certified by
the undersigned.
By:
Thomas Veatch
Planner
ATTEST:
TODD STERMER, CMC
City Clerk
By:
Date
Deputy
Attachment: Exhibit A
APPLICANT:
Northpointe BP, LP, a California Limited
Partnership.
By:
Name:
Title:
Parties authorized to sign on
behalf of applicant
By:
Name:
Title:
Parties authorized to sign on
behalf of applicant
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Leland Parnagian
Authorized Signer
4/30/2024
4/30/2024
4/30/2024
5/1/2024
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LEGAL DESCRIPTION
Parcel A of Lot Line Adjustment No, 2018-42, as Document No. 2019-0023403
Official Records Fresno County, described as follows:
Parcel H of Parcel Map No 96-22, according to the map thereof recorded in Book 66 of
Parcel Maps at Pages 46 and 47, Fresno County Records.
TOGETHERWITH all that portion of Parcel A of Parcel Map No. 2012-06, according to
the
map thereof recorded in Book 74 of Parcel Maps at Pages 8 through 10, Fresno County
Records,described as follows:
BEGINNING at the Northwest corner of said Parcel A; thence
South 0°32'49" West, 48.79 feet along the West line of said Parcel A; thence
South 89°27'39" East, 428.71 feet; thence
North 73°05'04" East, 21.59 feet to the beginning of a non-tangent curve concave to the
Northeast having a radius of 282.00 feet and to which beginning a radial line bears
South 80°49'44" West; thence
Northerly, 47.79 feet along said non-tangent curve through a central angle of 9°42'37" to
a point of tangency with the West right of way line of South Nortbpointe Drive, said
pointof tangency also being the Northeast comer of said Parcel A; thence
South 89°5P47" West, 445.301 feet to the POINT of BEGINNING.
TOGETHERWITH underlying fee interest, if any, adjacent to the above described
property in
and to the adjoining public right of way.
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From: City of Fresno / CTrax <certificate-request@ctrax.jdidata.com>
Sent: Tuesday, April 30, 2024 6:59 AM
To: kreyes@yhmail.com; Thomas Veatch; Jennifer.Kochevar@JDiData.com;
Robin Madrid
Subject: City of Fresno, Compliance Notice, North Pointe Business Park, LP (R1804)
External Email: Use caution with links and attachments
Compliance Notice
No Further Action Needed
You are receiving this notice because our records show you are an active vendor or
tenant with City of Fresno. The Certificate of Insurance (COI) submitted indicates that
the coverages are in compliance with the insurance requirements. No further action is
required at this time.
Vendor Name: North Pointe Business Park, LP
P24-00571IRS Building Canopy addition
The compliant coverage are:
TYPE OF INSURANCE POLICY
NUMBER
EXPIRATION
DATE COI DATE FILE NAME
AUTOMOBILE LIABILITY WAIVER 04/19/2025 04/19/2024 WC and auto
Waiver.pdf
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GENERAL LIABILITY 6308466L954 01/26/2025 04/02/2024
North Pointe
- City of
Fresno.pdf
WORKERS COMPENSATION AND
EMPLOYERS' LIABILITY WAIVER 04/19/2025 04/19/2024 WC and auto
Waiver.pdf
Thank you,
4/30/2024 9:59 AM R1804
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DocuSign Envelope ID: 560E8996-D536-4E12-BD16-422EB496191D
DocuSign Envelope ID: 560E8996-D536-4E12-BD16-422EB496191D