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BACKGROUND Castlewood Country Club (CCC) owns property that sits between Castlewood Drive to the south, the Arroyo de Laguna to the west, Mission Creek to the north, and Interstate 680 to the east. The property is more commonly known as Castlewood's lower or valley golf course. The City of Pleasanton owns property immediately adjacent to and north of the golf course which the City obtained in 2002 from Greenbriar Homes as part of the larger Bernal Property. The City's property includes a portion of Mission Creek and the Arroyo de Laguna which are located immediately adjacent to CCC's golf course. CCC owns water supply facilities that slightly encroach onto the City's property. CCC recently approached the City seeking permission to build a shelter to enclose and protect some of its existing water supply equipment. That enclosure would encroach onto the City's property. (See Exhibit C of the attached Reciprocal License Agreement.) In exchange for allowing CCC's water facilities to encroach onto the City's property, CCC has agreed to allow the City to traverse its property from Castlewood Drive in order to access the City's property in the event that the City needs to perform maintenance in or around certain portions of Mission Creek or the Arroyo de Laguna. (See Exhibit D of the attached Reciprocal License Agreement.) With this License Agreement, the City will be able to access the southern bank of Mission Creek and the west bank of the Arroyo de Laguna with appropriate maintenance equipment. DISCUSSION The Reciprocal License Agreement shall be recorded in the chains of title of the subject properties and be perpetual in duration, but either party may revoke the Agreement by giving the other party 120 days written notice. Submitted by: Approv by: � Daniel Smith Nelson Fialho Director of Operations Services City Manager Attachments: 1. Proposed Reciprocal License Agreement, including Exhibits A-D. Page 2 of 2