PONDEROSA HOMES STORM DRAIN REIMB

REIMBURSEMENT AGREEMENT FOR STORM DRAIN FACILITIES Ponderosa Homes THIS AGREEMENT ("Agreement") is entered into at Pleasanton, California, this 18th day of March, 2008, between the CITY OF PLEASANTON, a general law city, ("City") and Ponderosa Homes, a California corporation ("Developer"). A. Developer is or has been the owner of that certain real property located in the City of Pleasanton, County of Alameda, State of California, commonly known as "Ironwood" (the "Property"). The City approved Tracts 7381, 7429 and 7431 for the Property ("the Project"). B. In connection with the development of the Property, and as a condition of approval for the Project, Developer installed a storm drain line and other related infrastructure as more fully described in Exhibit A attached hereto and incorporated herein by this reference (collectively, "Improvements"; that will benefit the Property and other nearby properties as more fully described below. C. Pursuant to the Subdivision Map Act (Government Code section 66410, et seq.) and the Conditions of Approval, Developer is entitled to reimbursement for that portion of the costs of the Improvements, including amounts attributable to interest and administration costs, in excess of the construction costs required for the Project ("Reimbursable Costs"). City agrees to administer the reimbursement of costs to Developer as set forth herein. NOW, THEREFORE, it is agreed as follows: Section 1. Benefitted Properites. The Improvements installed by Developer will benefit other properties in addition to the Property ("Benefited Properties"). The Benefited Properties include those properties listed in Exhibit B attached hereto and incorporated herein by this reference. Pursuant to sections 66485, et seq. of the Subdivision Map Act, Developer is entitled to recover the Reimbursable Costs of the Improvements from the property owners of the Benefited Properties. Section 2. Reimbursable Costs. The costs for the construction of the Improvements and other related items are set forth in Exhibit A. Reimbursement from the Benefited Properties shall be based upon the costs in Exhibit A. Section 3. Ownership of Improvements. Developer has dedicated the Improvements and City has accepted the Improvements. Developer has the right to connect to and use the Improvements in accordance with City regulations and the right to reimbursement for the Reimbursable Costs for the Improvements, as provided herein. 1