HomeMy WebLinkAboutAgenda Report - April 17, 2019 C-23CITY OF LODI
COUNCIL COMMUNICATION
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AGENDA ITEM
C-23
AGENDA TITLE: Authorize City Attorney to Issue "Comfort Letter" to Owner Thomas H. Babcock,
Trustee of the James S. Babcock Living Trust, in Connection with the Prospective
Sale of Real Property Located at 712 West Lodi Avenue, Lodi, California
MEETING DATE: April 17, 2019
PREPARED BY: City Attorney's Office
RECOMMENDED ACTION:
Authorize City Attorney to issue "Comfort Letter" to owner Thomas
H. Babcock, Trustee of the James S. Babcock Living Trust, in
connection with the prospective sale of real property located at 712
West Lodi Avenue, Lodi, California.
BACKGROUND INFORMATION: The real property located at 712 West Lodi Avenue, is situated
within or near the PCE/TCE Western contamination plume. The
property was connected with the litigation, and the City entered into
settlement agreements with all known responsible parties, including James S. Babcock, the then owner
of the property located at 712 West Lodi Avenue, and Service Laundry & Dry Cleaning the former
business located on the property. Title to the property is held by Thomas H. Babcock, Trustee of the
James B. Babcock Living Trust.
Thomas H. Babcock, Trustee of the James S. Babcock Living Trust, is contemplating the sale of the
property located at 712 West Lodi Avenue. He is concerned that perspective buyers may be worried
about the potential for the City to pursue recovery against the buyer upon the purchase of the subject real
property. This concern could be allayed through the issuance of a "Comfort Letter" to the owner which
would, with certain qualifications, indicate the City's determination not to pursue the owners' successors
or assigns to contribute toward the groundwater cleanup. City Council is requested to authorize the City
Attorney to issue a "Comfort Letter" to Thomas H. Babcock, Trustee of the James S. Babcock Living
Trust, in the form attached hereto.
FISCAL IMPACT: Not applicable.
FUNDING AVAILABLE: Not applicable.
Approved:
Jarhice D. Magdich
City Attorney
JDM/Ist
Attachment — "Comfort Letter"
APPROVED
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CITY HALL
221 WEST PINE STREET
P.O. BOX 3006
LODI, CALIFORNIA 95241-1910
(209) 333-6701
(209) 333-6807 FAX
April 18, 2019
CITY OF LODI
CITY ATTORNEY'S OFFICE
Mr. Thomas H. Babcock, Trustee of the
James S. Babcock Living Trust
3700 East Geddes Avenue
Centennial, CO 80122
SUBJECT: 712 West Lodi Avenue, Lodi, California
Dear Mr. Babcock:
JANICE D. MAGDICH
City Attorney
JOHN P. FUKASAWA
Deputy City Attorney
We have been advised that you are contemplating the sale of real property located at
712 West Lodi Avenue, California, that overlies the Lodi Western Plume Area (the
"Area"). The Area is a groundwater plume containing Tetrachloroethene and/or
Trichloroethylene (PCE/TCE). The City of Lodi has entered into settlements with all of
the parties who are known to have contributed contamination to the Area, including your
late father, James S. Babcock, and Service Laundry & Dry Cleaners and has
undertaken the obligation to clean up the contaminated soil and groundwater in the
Area.
This letter will confirm that the City Council authorized me at its meeting on April 17,
2019, to affirm that the City of Lodi will not pursue environmental claims against the
successors or assigns of Thomas H. Babcock, Trustee of the James S. Babcock Living
Trust or Service Laundry & Dry Cleaning, under the Comprehensive Environmental
Response, Compensation, and Liability Act (CERCLA), or under any other
environmental liability theory (such as nuisance) for the contamination in the Area. This
statement of intent does not apply to liabilities that could arise if the successors or
assigns of Thomas H. Babcock, Trustee, actually contribute to the contamination of the
Area at some future date.
If you have any questions or concerns regarding this matter, please contact me.
Sincerely,
JANICE D. MAGDICH
City Attorney
c: City Council
City Clerk
CITY HALL
221 WEST PINE STREET
P O BOX 3006
LODI, CALIFORNIA 95241-1910
(209) 333-6701
(209) 333-6807 FAX
April 18, 2019
CITY OF LODI
CITY ATTORNEY'S OFFICE
Mr. Thomas H. Babcock, Trustee of the
James S. Babcock Living Trust
3700 East Geddes Avenue
Centennial, CO 80122
SUBJECT: 712 West Lodi Avenue, Lodi, California
Dear Mr. Babcock:
JANICE D MAGDICH
City Attorney
JOHN P. FUKASAWA
Deputy City Attorney
We have been advised that you are contemplating the sale of real property located at
712 West Lodi Avenue, California, that overlies the Lodi Western Plume Area (the
"Area"). The Area is a groundwater plume containing Tetrachloroethene and/or
Trichloroethylene (PCE/TCE). The City of Lodi has entered into settlements with all of
the parties who are known to have contributed contamination to the Area, including your
late father, James S. Babcock, and Service Laundry & Dry Cleaners and has
undertaken the obligation to clean up the contaminated soil and groundwater in the
Area.
This letter will confirm that the City Council authorized me at its meeting on April 17,
2019, to affirm that the City of Lodi will not pursue environmental claims against the
successors or assigns of Thomas H. Babcock, Trustee of the James S. Babcock Living
Trust or Service Laundry & Dry Cleaning, under the Comprehensive Environmental
Response, Compensation, and Liability Act (CERCLA), or under any other
environmental liability theory (such as nuisance) for the contamination in the Area. This
statement of intent does not apply to liabilities that could arise if the successors or
assigns of Thomas H. Babcock, Trustee, actually contribute to the contamination of the
Area at some future date.
If you have any questions or concerns regarding this matter, please contact me.
Sincerely,
JANICE D. MAGDICH
City Attorney
c: City Council
City Clerk