Caritas Acquisitions I, LLC (Caritas) owns and operates the Bahia Mobilehome Park located on 13096 Blackbird Street.  The entrance to the mobilehome park is located at the end of the Blackbird Street cul-de-sac.  

Caritas is a limited liability company whose sole member is the Caritas Corporation, a nonprofit public benefit corporation that exists to provide and maintain affordable housing.  Caritas is making improvements to the entrance of the Bahia Mobilehome Park and is proposing to construct a storm drain inlet facility on Blackbird Street to control storm drainage flows at the mobilehome park, along with two monument signs that will be located at the entrance to the Park, but partially located within the City's right-of-way easement.  The monument signs will not extend or infringe on the portion of the right-of-way easement currently used for the street and sidewalk.

The City set aside funding in the current fiscal year budget to contribute towards the construction of the storm drain facility provided that Caritas agrees to maintain it in perpetuity subject to the covenants and conditions in the attached agreement.

The attached agreement provides for a one-time City contribution in the amount of $232,000.  In return, Caritas covenants and agrees to perform the following:

• Construct the storm drain facility commencing at the end of the cul-de-sac of Blackbird Street, including the monument signs, at its sole cost, risk and responsibility, except for the foregoing one-time contribution by the City;

• Maintain the storm drain facility and monument signs in a safe and sanitary condition and be responsible for all repairs to make sure the structures do not become dangerous, unsightly or detrimental to the surrounding neighborhood;

• Indemnify, defend and hold harmless the City for any liability arising out of the construction and maintenance of the storm drain facility and  monument signs; and

• Relocate the storm drain facility and monument signs in the event it is required for the paramount use of Blackbird Street as a public right-of-way.

The Covenant and Agreement will be recorded as a covenant running with the land of the Bahia Mobilehome Park property so that all future owners or successors in interest to the property have notice of the Covenants and Agreement conditions.

It is recommended that the City Council:

• Approve the Covenant and Agreement for Construction and Maintenance of Storm Drain Facility and Monument Signs at 13096 Blackbird Street, Garden Grove (Bahia Mobilehome Park); and

• Authorize the City Manager to sign the agreement on behalf of the City.