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in turn, would tender defense/indemnification of this matter to the Oak Grove <br />Homeowners Association. Under the Development Agreement (and later in the <br />CC&R's), the Oak Grove HOA would be contractually obligated to provide this <br />defense/indemnification, and the City would require that the HOA provide a certificate of <br />insurance to the City showing this coverage. <br />It is not without precedent that that the City provides such indemnification. For <br />example, when the linear park was put through that portion of Hacienda Business Park <br />that was going to be residential, the developer was concerned that persons using the <br />park would stray from the park, use the playground equipment that was on private <br />property, get injured, and then sue the HOA. To alleviate that concern, the City agreed <br />to indemnify the HOA in that (again remote) event. In the ensuing 15 years that linear <br />park has been used, the City has never received a claim for indemnification. <br />For the reasons expressed in this supplemental staff report concerning the Fire <br />Department's responses, staff continues to believe that the possibility of persons <br />needing to use Grey Eagle Court to flee an emergency within the Oak Grove site is <br />remote; even more remote would be the likelihood of someone being injured while <br />leaving. Nevertheless, the project applicant and the City (if the Council concurs) will <br />agree to provide indemnification to the Grey Eagle Estates property owners. <br />CONCLUSION <br />Staff believes the EIR is adequate, thoroughly identifies the impacts, examines the <br />cumulative impacts of the project, and provides mitigation to reduce all project impacts <br />(other than two) to less than significant. As to those impacts, the benefits of the project <br />warrant the adoption of the proposed Statement of Overriding Consideration. Staff <br />believes that the applicant has designed the project sensitive to the site's constraints <br />and provides significant amenities to compensate for the development of 51 homes. <br />PUD-33, Oak Grove Planned Unit Development Planning Commission <br />Page 17 <br />