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-- CITY OF SAN CARLOS- ~ CITY MANAGER THOI~L~ J DAVIDS FAX (415) 595-2044 June 4, 1997 Mr. Ed Everett City Manager Redwood City, CA 94063 Dear Ed: This is a "side letter' to the agreement between the cities of San Carlos and Redwood City providing for administration of planning, zoning and building regulations, emergency services and other issues related to the Circle Star property. This "side letter" was suggested by your attorney David Schricker in his memorandum of May 30, 1997. This letter is intended to clarify terms of that agreement. 1. Para. IV. D. (Vqater Service). 'While the agreement contains no express provision for the contingency that the service boundaries of California Water Service Company ("Cai Water") may not be revised, it is hereby understood that Redwood City would continue to provide service to the portion of development within its service area if no boundary change takes place. It is also understood that the Redwood City Council will consent to a change in service boundat3t should it be proposed, since Redwood City's water system is not under the jurisdiction of the California Public Utilities Commission. 2. Para. IV. E. (Traffic Signal). The term "the light" as used in this paragraph refers to a proposed traffic signal at the intersection of Industrial Road, "G" Street and the proposed entrance to the Circle Star development. This traffic signal would be a conventional traffic signal installed at a typical cross street intersection. Separate left turn movements would be provided for traffic southbound on Industrial Road destined to enter the project and northbound on Industrial Road destined to turn left onto "G' Street. The intersection would be designed to permit right turns only out of the project northbound onto Industrial Road. The traffic signal would be traffic actuated. It would be designed to the satisfaction of the San Carlos City Engineer who would consult with the Redwood City Engineer or Traffic Engineer during its design. 3. Para. IV. F. (Landscaping). The landscaping referenced in this paragraph refers to landscaping along the Industrial Road frontage of the property as depicted on plans approved by the San Carlos City Council entitled "Circle Star Office/Hotel Complex-Master Site Plan- Scenario A' dated March 21, 1997, prepared by Kenneth Rodrigues and Partners, Inc.