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CC SR 20260203 02 - 4361 Exultant Drive Special Assessment PUBLIC HEARING Date: February 3, 2026 Subject: Consider recovering nuisance abatement costs on the property located at 4361 Exultant Drive (Case No. CBLD2023-0158). Recommendation: 1) Adopt Resolution No. 2026-____, A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF RANCHO PALOS VERDES CONFIRMING THE REPORT OF NUISANCE ABATEMENT COSTS AND AUTHORIZING A SPECIAL ASSESSMENT, IN THE FORM OF A LIEN, IN THE AMOUNT OF $151,056.18 TO RECOVER ABATEMENT COSTS ON THE PROPERTY LOCATED AT 4361 EXULTANT DRIVE (APN 7564-004-026) (CASE NO. CBLD2023-0158); and 2) Direct Staff to submit to the Los Angeles County Auditor/Controller for collection in the next applicable tax roll year the confirmed demolition abatement costs in the amount of $151,056.18 and to direct the City Attorney and the Finance Director to prepar e and cause to be recorded in the Office of the Los Angeles County Recorder appropriate notices of liens which document the amount of nuisance abatement costs assessed for the property located at 4361 Exultant Drive (APN: 7564-004-026). 1. Report of Notice Given: City Clerk 2. Declare Public Hearing Open: Mayor Seo 3. Request for Staff Report: Mayor Seo 4. Staff Report & Recommendation: Brandy Forbes, AICP, Director of Community Development; Octavio Silva, Deputy Director of Community Development, and Brittany Pena, Code Enforcement Officer 5. Council Questions of Staff (factual and without bias): 6. Testimony from the Property Owner (if present): Property Owner: M. Joel D. Hoffman, CEO, Rehabbers Financial, Inc. d/b/a Aztec Financial, Inc. Mayor Seo invites the Property Owner to speak. (3 mins.) Testimony from members of the public: The normal time limit for each speaker is three (3) minutes. The Presiding Officer may grant additional time to a representative speaking for an entire group. The Mayor also may adjust the time limit for individual speakers depending upon the number of speakers who intend to speak. 7. Rebuttal: Mayor Seo invites brief rebuttals by the Property Owner (3 mins) 8. Council Questions of the Property Owner (factual and without bias): 9. Declare Hearing Closed/or Continue the Public Hearing to a later date: Mayor Seo 10. Council Deliberation: The Council may ask staff to address questions raised by the testimony, or to clarify matters. Staff and/or Council may also answer questions posed by speakers during their testimony. The Council will then debate and/or make motions on the matter. 11. Council Action: The Council may: vote on the item; offer amendments or substitute motions to decide the matter; reopen the hearing for additional testimony; continue the matter to a later date for a decision. CITY COUNCIL MEETING DATE: 02/03/2026 AGENDA REPORT AGENDA HEADING: Public Hearing AGENDA TITLE: Consider recovering nuisance abatement costs on the property located at 4361 Exultant Drive (Case No. CBLD2023-0158). RECOMMENDED COUNCIL ACTION: 1) Adopt Resolution No. 2026-____, A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF RANCHO PALOS VERDES CONFIRMING THE REPORT OF NUISANCE ABATEMENT COSTS AND AUTHORIZING A SPECIAL ASSESSMENT, IN THE FORM OF A LIEN, IN THE AMOUNT OF $151,056.18 TO RECOVER ABATEMENT COSTS ON THE PROPERTY LOCATED AT 4361 EXULTANT DRIVE (APN 7564-004-026) (CASE NO. CBLD2023-0158); and 2) Direct Staff to submit to the Los Angeles County Auditor/Controller for collection in the next applicable tax roll year the confirmed demolition abatement costs in the amount of $151,056.18 and to direct the City Attorney and the Finance Director to prepare and cause to be recorded in the Office of the Los Angeles County Recorder appropriate notices of liens which document the amount of nuisance abatement costs assessed for the property located at 4361 Exultant Drive (APN: 7564-004-026). FISCAL IMPACT: The City is seeking reimbursement of the abatement costs for the demolition of a red-tagged residence by recording a lien on the owner’s property and collecting on the lien through the owner’s property tax bill, pursuant to Special Assessment and Notice of Lien provisions in Chapter 8.24 (Property Maintenance) of the Rancho Palos Verdes Municipal Code (RPVMC). The costs incurred have been budgeted in the Capital Infrastructure Project (CIP) Fund under Local Emergency Landslide account until reimbursement is received. VR Amount Budgeted: None. Costs are reimbursable. Additional Appropriation: None Account Number(s): 330-400-9102-5118 (CIP Fund – Local Emergency Landslide – Reimbursable) VR ORIGINATED BY: Brittany Pena, Code Enforcement Officer BP REVIEWED BY: Brandy Forbes, Director of Community Development APPROVED BY: Ara Mihranian, AICP, City Manager 1 ATTACHED SUPPORTING DOCUMENTS: A. Resolution No. 2026- (page A-1) • Exhibit A - Itemized Account of Nuisance Abatement Costs (page A-4) B. Notice and Order to Abate Public Nuisance dated December 2, 2024 (page B-1) C. Right of Entry In and Upon Real Property; Consent to Abate a Public Nuisance and Reimbursement Agreement (page C-1) D. Abatement Cost Payment Request Letter dated October 28, 2025 (page D-1) E. Abatement Cost Payment Request Letter dated December 4, 2025 (page E-1) F. Proof of Public Notice dated January 15, 2026 (page F-1) BACKGROUND: On September 7, 2023, the City’s Building and Safety Division red tagged the residence on property located at 4361 Exultant Drive (APN: 7564-004-026) which prohibited access to the residence due to unsafe building conditions and damaged foundation caused by land movement related to the Greater Portuguese Bend Landslide Complex . The property is located on south-east corner of Dauntless Drive and Exultant Drive in the Sea View neighborhood. At the time of the Building and Safety Division’s action, the property was improved with a single-family residence and detached garage. On November 17, 2023, the City’s Code Enforcement Division opened a Code Enforcement Case (CBLD2023-0158) due to unsafe and dangerous conditions on the property. Subsequently, on December 2, 2024, the Property Owner, First Choice Funding and Rehabbers Financial, Inc., was provided with a Notice and Order to Abate (Attachment B) providing 30 days to address the nuisance by obtaining a Demolition Permit from City’s Building and Safety Division. After no progress to achieve voluntary compliance on the part of the property owner of the property, on December 17, 2024, the City Council authorized a Professional Services Agreement with T&M Construction to provide demolition services for a public nuisance abatement on the property. In the event the property owner did not comply with the issued notice and order, and due to the urgency to complete the demolition, the City Council action occurred prior to the lapse of the 30-day notification period. In May 2025, the City of Rancho Palos Verdes and the Property Owner, completed a Right of Entry In and Upon Real Property; Consent to Abate a Public Nuisance and Reimbursement Agreement (Attachment C), which authorized the City to enter the property to abate the nuisance, as well as outlining the Property Owner agreement to reimburse the City for total abatement costs and timeline for repayment within 30 days from submission of a detailed invoice of costs of inspection and the abatement. Following this action, on August 14, 2025, the City’s Building and Safety Division issued a Demolition Permit (DEMO2025-00018) for the demolition of structures on the property, which was completed by the City’s contractor, T&M Construction, on August 23, 2025. 2 Pursuant to Rancho Palos Verdes Municipal Code (RPVMC) § 8.24.110, the Community Development Department prepared an Itemized Account of Nuisance Abatement Costs (Attachment A - Exhibit A) incurred during the abatement of the violation on the property, which totaled $151,056.18. Abatement costs included demolition services, legal fees associated with abatement proceedings and cost of City Staff time for related inspections. Based on Right of Entry In and Upon Real Property; Consent to Abate a Public Nuisance and Reimbursement Agreement between the City and the Property Owner, on October 28, 2025, the City’s Community Development Department issued a letter (Attachment C) requesting payment for the incurred costs associated with the inspection and abatement of the structures on the property within 30-days of the letter. After receiving no response from the Property Owner, on December 4, 2025, the City Attorney issued a n additional letter (Attachment E) requesting payment and providing an additional 10 days for repayment. On January 15, 2026, as payment of the abatement costs had not been received and pursuant to RPVMC § 8.24.120, the Property Owner was duly notified via certified mail of the Community Development Department’s nuisance abatement costs . On that same day, a public notice (Attachment F) was issued and published in the Palos Verdes Peninsula News, providing notification of the City’s abatement of substandard, unsafe and hazardous structures on the property at 4361 Exultant Drive (APN: 7564 -004-026) in violation of California Building Code § 116, as adopted by RPVMC § 15.04.010, and to confirm the proposed special assessment of the City’s costs, in the amount of $151,056.18, to recover all costs associated with the abatement. DISCUSSION: Pursuant to RPVMC § 8.24.130, this evening, the City Council is being asked to conduct a public hearing to consider approval of the Itemized Account of Nuisance Abatement Costs (Attachment A – Exhibit A), revising, correcting, or modifying the report as it may deem just, and when it is satisfied with the correctness of the assessment, the report and the proposed assessment, as submitted, or as revised, corrected, or modified, shall be confirmed by resolution to fully recover City incurred costs, totaling $151,056.18, associated with the abatement discussed herein. If approved, the Finance Director shall execute and file in the office of the Los Angeles County Auditor/Controller, a certificate of Notice of Lien, pursuant to RPVMC § 8.24.150. in the amount of $151,056.18. City Staff continues to monitor this property for code violations. ADDITIONAL INFORMATION: Public Correspondence As of the preparation of this report, City Staff has not received any public correspondence in response to the public notice issued on January 15, 2026. 3 CONCLUSION: Based on the above, Staff recommends the City Council the attached Resolution (Attachment A) including the Itemized Account of Nuisance Abatement Costs to recover abatement costs and Direct Staff to submit to the Los Angeles County Auditor/Controller for collection in the next applicable tax roll year the confirmed demolition abatement costs in the amount of $151,056.18. The City Council is also being asked to direct the City Attorney and the Finance Director to prepare and cause to be recorded in the Office of the Los Angeles County Recorder appropriate notices of liens which document the amount of nuisance abatement costs assessed for the property located at 4361 Exultant Drive (APN: 7564 - 004-026). ALTERNATIVES: In addition to the Staff recommendation, the following alternative actions are available for the City Council’s consideration: 1. Do not place a special assessment (lien) for nuisance abatement on the property at 4361 Exultant Drive (APN:7564-004-026), thereby bearing all costs associated with this abatement. 2. Take other action, as deemed appropriate. 4 RESOLUTION NO. 2026- _ A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF RANCHO PALOS VERDES CONFIRMING THE REPORT OF NUISANCE ABATEMENT COSTS AND AUTHORIZING A SPECIAL ASSESSMENT, IN THE FORM OF A LIEN, IN THE AMOUNT OF $151,056.18 TO RECOVER ABATEMENT COSTS ON THE PROPERTY LOCATED AT 4361 EXULTANT DRIVE (APN 7564-004-026) (CASE NO. CBLD2023-0158) WHEREAS, on September 7, 2023, the City’s Building and Safety Division red tagged the property located at 4361 Exultant Drive (APN: 7564-004-026) which prohibited access to the property due to unsafe building conditions and damaged foundation caused by land movement related to the Greater Portuguese Bend Landslide Complex ; and WHEREAS, on November 17, 2023, the City’s Code Enforcement Division opened a Code Enforcement Case (CBLD2023-0158) due to unsafe and dangerous conditions on the property; and WHEREAS, on December 2, 2024, the Property Owner, First Choice Funding and Rehabbers Financial, Inc., was provided with a Notice and Order to Abate which provided the Property Owner with 30 days to address the nuisance by obtaining a Demolition Permit from City’s Building and Safety Division; and WHEREAS, on December 17, 2024, the City Council authorized a Professional Services Agreement with T&M Construction to provide demolition services for a public nuisance abatement on the property located at 4361 Exultant Drive (APN: 7564-004-026); and WHERAS, in May 2025, the City of Rancho Palos Verdes and the Property Owner, completed a Right of Entry in and Upon Real Property; Consent to Abate a Public Nuisance and Reimbursement Agreement, which authorized the City to enter the property at 4361 Exultant Drive (APN: 7564-004-026) to abate the nuisance, as well as outlining the Property Owner agreement to reimburse the City for total abatement costs and timeline for repayment; and WHEREAS, on August 14, 2025, the City’s Building and Safety Division issued a Demolition Permit (DEMO2025-00018) for the demolition of structures on the property located at 4361 Exultant Drive (APN: 7564-004-026); and WHEREAS, on August 23, 2025, the City’s contractor, T&M Construction, completed the demolition of structures and associated grading activities of the property located at 4361 Exultant Drive (APN: 7564-004-026); and WHERAS, on September 15, 2025, the Demolition Permit (DEMO2025-00018) was finalized by the City’s Building and Safety Division; and A-1 WHEREAS, pursuant to RPVMC § 8.24.110, the Community Development Department prepared an itemized account of the costs incurred during the abatement of the violation on the property at 4361 Exultant Drive (APN: 7564-004-026), including the pursuit of legal action, which is attached hereto as Attachment "A"; and WHEREAS, on October 28, 2025, the City’s Community Development Department issued a letter requesting payment for the incurred costs associated with the inspection and abatement of the structures on the property at 4361 Exultant Drive (APN: 7564 -004- 026) within 30 days of the letter; and WHEREAS, on December 4, 2025, in response to non-payment of the abatement costs for the property at 4361 Exultant Drive (APN: 7564-004-026), the City Attorney issued a letter requesting payment and providing an additional 10 days for repayment ; and WHEREAS, on January 15, 2026, payment of the abatement costs had not been received and pursuant to § 8.24.110 of the RPVMC, the property owner was duly notified via certified mail of the Community Development Department’s nuisance abatement costs, totaling $151,056.18; and WHEREAS, on January 15, 2026, a public notice was issued and published in the Palos Verdes Peninsula News, providing notification of the City’s abatement of substandard, unsafe and hazardous structures on the property at 4361 Exultant Drive (APN: 7564-004-026) in violation of California Building Code § 116, as adopted by RPVMC § 15.04.010, and to confirm the proposed special assessment of the Cit y’s costs, in the amount of $151,056.18, to recover all costs associated with the abatement. NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF RANCHO PALOS VERDES DOES HEREBY FIND, DETERMINE AND RESOLVE AS FOLLOWS: Section 1: The City Council finds that the costs incurred by the Community Development Department to abate the nuisance on the property at 4361 Exultant Drive (APN: 7564-004-026) are reasonable and correct, and hereby confirms the Community Development Department’s Itemized Account of Nuisance Abatement Costs, attached hereto as Attachment “A.” Section 2: The City Council hereby directs Staff to submit to the Los Angeles County Auditor/Controller for collection in the next applicable tax roll year the confirmed Demolition Costs in the amount of $151,056.18 for the property located at 4361 Exultant Drive (APN: 7564-004-026), Rancho Palos Verdes. The City Council further directs the City Attorney and the Finance Director to prepare and cause to be recorded in the Office of the Los Angeles County Recorder appropriate notices of liens which document the amount of Nuisance Abatement Costs assessed against the subject property. A-2 Section 3: Interested parties are hereby notified that the time within which judicial review of this decision must be sought, if available, is governed by § 1094.6 of the California Code of Civil Procedure. PASSED, APPROVED, and ADOPTED this 3rd day of February 2026. Paul Seo, Mayor ATTEST: Teresa Takaoka, City Clerk State of California ) County of Los Angeles ) ss City of Rancho Palos Verdes ) I, Teresa Takaoka, City Clerk of the City of Rancho Palos Verdes, hereby certify that the above Resolution No. 2026-____was duly and regularly passed and adopted by the said City Council at a regular meeting thereof held on February 3, 2026. Teresa Takaoka, City Clerk A-3 City of Rancho Palos Verdes COMMUNITY DEVELOPMENT CODE ENFORCEMENT DIVISION 01203.0011 2077393.1 30940 HAWTHORNE BLVD. / RANCHO PALOS VERDES, CA 90275-5391 / (310) 544-5228 / FAX (310) 544-5293 / WWW.RPVCA.GOV ITEMIZED ACCOUNT OF NUISANCE ABATEMENT COSTS January 8, 2026 OWNER OF RECORD: M. Joel D. Hoffman, CEO, Rehabbers Financial, Inc. d/b/a Aztec Financial, Inc. 2624 West Magnolia Blvd Burbank, California 91505 ACCESSORS PARCEL NUMBER: 7564-004-026 PROPERTY ADDRESS: PROPERTY VIOLATION: 4361 Exultant Drive California Building Code § 116, as adopted by RPVMC § 15.04.010, – maintaining substandard, unsafe, and hazardous structures on the property. SCOPE OF WORK: Contract with qualified company for the demolition of all substandard, unsafe, and hazardous structures on the property. COST SUMMARY Demolition Invoice – T&M Construction $145,851.65 Legal Fees associated with abatement $2,367.90 Costs for City Staff time for inspections $2,563.98 Total Cost to be Assessed: $151,056.18 The above costs were incurred by the Community Development Department of the City of Rancho Palos Verdes in abatement of a public nuisance at the property located at 4361 Exultant Drive. (APN 7564-004-026). ____________________________ Octavio Silva, Deputy Community Development Director City of Rancho Palos Verdes A-4 B-1 B-2 01203.0011 2003896.2 1 of 2 RIGHT OF ENTRY IN AND UPON REAL PROPERTY; CONSENT TO ABATE A PUBLIC NUISANCE & REIMBURSEMENT AGREEMENT THIS RIGHT OF ENTRY IN AND UPON REAL PROPERTY; CONSENT TO ABATE A PUBLIC NUISANCE & REIMBURSEMENT AGREEMENT (herein “Agreement”) is made and entered into this ____ day of May, 2025 by and between the CITY OF RANCHO PALOS VERDES, a general law city and municipal corporation (“City”), and FIRST CHOICE FUNDING & REHABBERS FINANCIAL, INC., a California corporation (“Property Owner”). Property Owners represents and warrants that it is the owner, in fee, of that certain real property whose common street address is 4361 Exultant Drive, Rancho Palos Verdes, California (“Property”) and shown as Assessor Parcel Number No. 7564-004-026, here by consents to and provides for entry in and onto the Property by the City, by and through its authorized representatives, for the purpose of inspecting the same and demolishing such structure(s) and abating other violations of the Rancho Palos Verdes Municipal Code existing in or upon the Property, including the demolition of any unsafe structure(s), overgrown vegetation, or other materials or debris on the Property (collectively, the “Abatement”). Property Owner understands the Abatement involves the risk of damage to the Property and agrees to assume all risk of damage, including damage to the structures, vehicles or other personal property, by agreeing and consenting to the Abatement. Any contractor(s) hired by the City will be responsible for any damage caused by them in accordance with the agreement between the City and the contractor. Property Owner further agrees that: A)Property Owner will reimburse the City for the total amount of the costs of the inspection of the Property and the Abatement within 30 days after City’s submission of a detailed invoice of costs of inspection and the Abatement: or B)Should Property Owner not make full payment within 30 days from submission of a detailed invoice of costs of inspection and the Abatement, the cost of inspection and the Abatement will be imposed as a lien against the Property. The lien will then be recorded as a special assessment against the Property and will be collected through the tax roll. In consideration for the City’s agreement to undertake the inspection and the Abatement, Property Owner hereby waives, releases, and discharges the City, including its elected and appointed officials, employees, volunteers and agents (collectively, "City Parties") from any and all claims for personal injury (including death) or property damage including, but not limited to, medical expenses and attorneys’ fees and costs, and any other liability to me or any of my agents or representatives in connection with the Abatement from whatever cause, including the negligence of the City or the City Parties. [SIGNATURE ON THE FOLLOWING PAGE] C-1 01203.0011 2003896.2 2 of 2 The person(s) executing this Agreement on behalf of Property Owner warrants that (i) (s)he is duly authorized to execute and deliver this Agreement on behalf of Property Owner, (iii) by so executing this Agreement, (s)he is formally bound to the provisions of this Agreement, and (iv) the entering into this Agreement does not violate any provision of any other agreement to which Property Owner is bound. Signature: _______________________________________ Title: __________________________________________ Name: __________________________________________ Address: ______________________________________________________________________ [END OF SIGNATURE] CEO Joel Hoffman 2624 w. Magnolia blvd., Burbank, Ca. C-2 01203.0011 2059664.1 October 28, 2025 M. Joel D. Hoffman, CEO, Rehabbers Financial, Inc. d/b/a Aztec Financial, Inc. 2624 West Magnolia Blvd Burbank, California 91505 Re: 4361 Exultant Drive, Rancho Palos Verdes (APN: 7564-004-026) Mr. Hoffman: Pursuant to the enclosed Consent to Abate a Public Nuisance & Reimbursement Agreement (“Agreement”) entered into between you and the City of Rancho Palos Verdes (“City”) in May 2025, the above noted property was demolished by demolition contractor, T&M Construction, during the month of August 2025. As agreed upon in the Agreement, the City is also enclosing all invoices of costs of inspection and abatement, totaling $151,056.18. This total is to be paid within 30 days of the date of this letter. If you have any questions or concerns in this regard, please contact me at 310.544.5234 or via email at octavios@rpvca.gov. Sincerly, Octavio Silva Deputy Director of Community Development Enclosures cc: Mr. Ara Mihranian, AICP, City Manager (via email) Ms. Brandy Forbes, Director of Community Development; (via email) Mr. William W. Wynder, City Attorney (via email) D-1 01203.0011 2003896.2 1 of 2 RIGHT OF ENTRY IN AND UPON REAL PROPERTY; CONSENT TO ABATE A PUBLIC NUISANCE & REIMBURSEMENT AGREEMENT THIS RIGHT OF ENTRY IN AND UPON REAL PROPERTY; CONSENT TO ABATE A PUBLIC NUISANCE & REIMBURSEMENT AGREEMENT (herein “Agreement”) is made and entered into this ____ day of May, 2025 by and between the CITY OF RANCHO PALOS VERDES, a general law city and municipal corporation (“City”), and FIRST CHOICE FUNDING & REHABBERS FINANCIAL, INC., a California corporation (“Property Owner”). Property Owners represents and warrants that it is the owner, in fee, of that certain real property whose common street address is 4361 Exultant Drive, Rancho Palos Verdes, California (“Property”) and shown as Assessor Parcel Number No. 7564-004-026, here by consents to and provides for entry in and onto the Property by the City, by and through its authorized representatives, for the purpose of inspecting the same and demolishing such structure(s) and abating other violations of the Rancho Palos Verdes Municipal Code existing in or upon the Property, including the demolition of any unsafe structure(s), overgrown vegetation, or other materials or debris on the Property (collectively, the “Abatement”). Property Owner understands the Abatement involves the risk of damage to the Property and agrees to assume all risk of damage, including damage to the structures, vehicles or other personal property, by agreeing and consenting to the Abatement. Any contractor(s) hired by the City will be responsible for any damage caused by them in accordance with the agreement between the City and the contractor. Property Owner further agrees that: A)Property Owner will reimburse the City for the total amount of the costs of the inspection of the Property and the Abatement within 30 days after City’s submission of a detailed invoice of costs of inspection and the Abatement: or B)Should Property Owner not make full payment within 30 days from submission of a detailed invoice of costs of inspection and the Abatement, the cost of inspection and the Abatement will be imposed as a lien against the Property. The lien will then be recorded as a special assessment against the Property and will be collected through the tax roll. In consideration for the City’s agreement to undertake the inspection and the Abatement, Property Owner hereby waives, releases, and discharges the City, including its elected and appointed officials, employees, volunteers and agents (collectively, "City Parties") from any and all claims for personal injury (including death) or property damage including, but not limited to, medical expenses and attorneys’ fees and costs, and any other liability to me or any of my agents or representatives in connection with the Abatement from whatever cause, including the negligence of the City or the City Parties. [SIGNATURE ON THE FOLLOWING PAGE] D-2 01203.0011 2003896.2 2 of 2 The person(s) executing this Agreement on behalf of Property Owner warrants that (i) (s)he is duly authorized to execute and deliver this Agreement on behalf of Property Owner, (iii) by so executing this Agreement, (s)he is formally bound to the provisions of this Agreement, and (iv) the entering into this Agreement does not violate any provision of any other agreement to which Property Owner is bound. Signature: _______________________________________ Title: __________________________________________ Name: __________________________________________ Address: ______________________________________________________________________ [END OF SIGNATURE] CEO Joel Hoffman 2624 w. Magnolia blvd., Burbank, Ca. D-3 01203.0011 2056641.2 ITEMIZED ACCOUNT OF ABATEMENT FEES & COSTS October 28, 2025 OWNER OF RECORD: M. Joel D. Hoffman, CEO Rehabbers Financial, Inc. d/b/a Aztec Financial, Inc. 2624 West Magnolia Blvd Burbank, California 91505 ACCESSORS PARCEL NUMBER: 7564-004-026 COST SUMMARY Demolition Invoice – T&M Construction $145,851.65 Legal Fees associated with abatement $2,367.90 Costs for City Staff time for inspections $2,563.98 Total Cost to be Assessed: $151,056.18 The above costs were incurred by the City of Rancho Palos Verdes in the abatement of public nuisances at the property located at 4163 Exultant Drive. (APN 7564-004-026). ________________________________ Deputy Community Development Director Octavio Silva City of Rancho Palos Verdes D-4 Inspection Date Inspector Time Spent Rate Total 4/23/2024 Victoria Powers 1.0 Hour $84.09 $84.09 7/30/2024 Victoria Powers .75 hour $84.09 $63.07 9/24/2024 Victoria Powers .5 hour $84.09 $42.05 11/4/2024 Victoria Powers .5 hour $84.09 $42.05 12/2/2024 Victoria Powers .5 hour $84.09 $42.05 1/2/2025 Victoria Powers .5 hour $84.09 $42.05 8/18/2025 David Rasor 6.0 hours $102.21 $613.26 8/19/2025 David Rasor 5.0 hour $102.21 $511.05 8/20/2025 David Rasor 5.0 hours $102.21 $511.05 8/21/2025 David Rasor 2.0 hours $102.21 $204.42 8/22/2025 David Rasor 4.0 hours $102.21 $408.84 $2,563.98 City's Inspection Costs Re: 4361 Exultant Dr. Demolition D-5 Abatement Costs 4361 Exultant Dr. Demolition Abatement:T&M Construction 145,851.65$ obtained from Francine Accetta via email with support documentation Legal Fees:Aleshire & Wynder 2,367.90$ City Staff:David Rasor, Building Official 2,248.00$ 22 on-site hours during demolition x fully burden rate $102.21 Victoria Powers, Code Enforcement Officer 588.63$ (former staff) 7 hours of site inspections, noticing & follow up x fully burden rate of $84.09 Total Cost 151,056.18$ D-6 D-7 D-8 D-9 D-10 D-11 D-12 D-13 D-14 D-15 D-16 D-17 D-18 D-19 D-20 D-21 01203.0011 2069950.1 12/3/2025 William W. Wynder | wwynder@awattorneys.com p (949) 223-1170 | d (310) 527-6667 | awattorneys.com 1 Park Plaza, Suite 1000 | Irvine, CA 92614 December 4, 2025 M. Joel D. Hoffman, CEO, Rehabbers Financial, Inc. d/b/a Aztec Financial, Inc. 2624 West Magnolia Blvd Burbank, California 91505 (v/first class mail only) Subject: 4361 Exultant Drive, Rancho Palos Verdes (APN: 7564-004-026) Dear Mr. Hoffman: As you are aware, we are the City Attorney for the City of Rancho Palos Verdes. Our office has been made aware that the City has not received payment of the costs of inspection and abatement of the above noted property, as agreed to pursuant to the enclosed Consent to Abate a Public Nuisance & Reimbursement Agreement (“Agreement”) entered into between you and the City of Rancho Palos Verdes (“City”) in May 2025, in spite of a correspondence, invoice and Agreement being sent to you October 28, 2025 by Mr. Octavio Silva, Deputy Director of Community Development for the City of Rancho Palos Verdes. As agreed upon in the Agreement, the City is again enclosing all invoices of costs of inspection and abatement, totaling $151,056.18. This total is to be paid within 10 days of the date of this letter. As stated in the Agreement, if payment is not received by this extended deadline, the process will begin to place a lien on the Property and a special assessment will be placed on the tax roll. If you have any questions or concerns in this regard, please contact me at 949.223.1170. Your immediate attention to this matter will be appreciated. Very truly yours, William W. Wynder for ALESHIRE & WYNDER, LLP E-1 December 4, 2025 Page 2 01203.0011 2069950.1 12/3/2025 Copies: (v/e-mail only) Brandy Forbes, Director of Community Development Octavio Silva, Deputy Director of Community Development E-2 01203.0011 2003896.2 1 of 2 RIGHT OF ENTRY IN AND UPON REAL PROPERTY; CONSENT TO ABATE A PUBLIC NUISANCE & REIMBURSEMENT AGREEMENT THIS RIGHT OF ENTRY IN AND UPON REAL PROPERTY; CONSENT TO ABATE A PUBLIC NUISANCE & REIMBURSEMENT AGREEMENT (herein “Agreement”) is made and entered into this ____ day of May, 2025 by and between the CITY OF RANCHO PALOS VERDES, a general law city and municipal corporation (“City”), and FIRST CHOICE FUNDING & REHABBERS FINANCIAL, INC., a California corporation (“Property Owner”). Property Owners represents and warrants that it is the owner, in fee, of that certain real property whose common street address is 4361 Exultant Drive, Rancho Palos Verdes, California (“Property”) and shown as Assessor Parcel Number No. 7564-004-026, here by consents to and provides for entry in and onto the Property by the City, by and through its authorized representatives, for the purpose of inspecting the same and demolishing such structure(s) and abating other violations of the Rancho Palos Verdes Municipal Code existing in or upon the Property, including the demolition of any unsafe structure(s), overgrown vegetation, or other materials or debris on the Property (collectively, the “Abatement”). Property Owner understands the Abatement involves the risk of damage to the Property and agrees to assume all risk of damage, including damage to the structures, vehicles or other personal property, by agreeing and consenting to the Abatement. Any contractor(s) hired by the City will be responsible for any damage caused by them in accordance with the agreement between the City and the contractor. Property Owner further agrees that: A)Property Owner will reimburse the City for the total amount of the costs of the inspection of the Property and the Abatement within 30 days after City’s submission of a detailed invoice of costs of inspection and the Abatement: or B)Should Property Owner not make full payment within 30 days from submission of a detailed invoice of costs of inspection and the Abatement, the cost of inspection and the Abatement will be imposed as a lien against the Property. The lien will then be recorded as a special assessment against the Property and will be collected through the tax roll. In consideration for the City’s agreement to undertake the inspection and the Abatement, Property Owner hereby waives, releases, and discharges the City, including its elected and appointed officials, employees, volunteers and agents (collectively, "City Parties") from any and all claims for personal injury (including death) or property damage including, but not limited to, medical expenses and attorneys’ fees and costs, and any other liability to me or any of my agents or representatives in connection with the Abatement from whatever cause, including the negligence of the City or the City Parties. [SIGNATURE ON THE FOLLOWING PAGE] E-3 01203.0011 2003896.2 2 of 2 The person(s) executing this Agreement on behalf of Property Owner warrants that (i) (s)he is duly authorized to execute and deliver this Agreement on behalf of Property Owner, (iii) by so executing this Agreement, (s)he is formally bound to the provisions of this Agreement, and (iv) the entering into this Agreement does not violate any provision of any other agreement to which Property Owner is bound. Signature: _______________________________________ Title: __________________________________________ Name: __________________________________________ Address: ______________________________________________________________________ [END OF SIGNATURE] CEO Joel Hoffman 2624 w. Magnolia blvd., Burbank, Ca. E-4 Abatement Costs 4361 Exultant Dr. Demolition T&M Construction 145,851.65$ obtained from Francine Accetta via email with support documentation Aleshire & Wynder 2,367.90$ David Rasor, Building Official 2,248.00$ 22 on-site hours during demolition x fully burden rate $102.21 Victoria Powers, Code Enforcement Officer 588.63$ (former staff) 7 hours of site inspections, noticing & follow up x fully burden rate of $84.09 Total Cost 151,056.18$ E-5 Inspection Date Inspector Time Spent Rate Total 4/23/2024 Victoria Powers 1.0 Hour $84.09 $84.09 7/30/2024 Victoria Powers .75 hour $84.09 $63.07 9/24/2024 Victoria Powers .5 hour $84.09 $42.05 11/4/2024 Victoria Powers .5 hour $84.09 $42.05 12/2/2024 Victoria Powers .5 hour $84.09 $42.05 1/2/2025 Victoria Powers .5 hour $84.09 $42.05 8/18/2025 David Rasor 6.0 hours $102.21 $613.26 8/19/2025 David Rasor 5.0 hour $102.21 $511.05 8/20/2025 David Rasor 5.0 hours $102.21 $511.05 8/21/2025 David Rasor 2.0 hours $102.21 $204.42 8/22/2025 David Rasor 4.0 hours $102.21 $408.84 $2,563.98 City's Inspection Costs Re: 4361 Exultant Dr. Demolition E-6 609 Deep Valley Dr Rolling Hills Estates, California 90274 (310) 372-0388 legals@inlandnewspapers.com City of Rancho Palos Verdes (CDD 5165523DB and 5165565PVN) 30940 Hawthorne Blvd Rancho Palos Verdes, California 90275 Account Number:5272431 Ad Order Number:0011773180 Customer's Reference/PO Number: Publication:Palos Verdes Peninsula News Publication Dates:01/15/2026 Total Amount:$386.90 Payment Amount:$0.00 Amount Due:$386.90 Notice ID:CbuY4XkJMOlYsoYCdeKF Invoice Text:CITY OF RANCHO PALOS VERDES January 15, 2026 NOTICE NOTICE IS HEREBY GIVEN that the City Council of the City of Rancho Palos Verdes will conduct a public hearing on Tuesday, February 3, 2026 at 7:00 PM at Hesse Park Community Building, 29301 Hawthorne Boulevard, Rancho Palos Verdes to consider the following: Report of All Abatement Work and Costs Associated with the Abatement of the Public Nuisance, and Confirmation of the Proposed Special Assessment on the Property, Located at: 4361 Exultant Drive, Rancho Palos Verdes, CA 90275 ( APN: 7564-004-026 (Case No. CBLD2023-0158): Pursuant to Rancho Palos Verdes Municipal Code (RPVMC) § 8.24.130 (“Hearing on Proposed Assessment”), a hearing of the City Council shall be held to consider the report of the Code Enforcement Officer and any protests filed with the City Clerk regarding the City’s abatement of substandard, unsafe and hazardous structures on the property in violation of California Building Code § 116, as adopted by RPVMC § 15.04.010, and to confirm the proposed special assessment of the City’s costs, in the amount of $151,056.18, to recover all costs associated with the abatement.Pursuant to Government Code § 38773.5, the property may be sold after three years by the tax collector for unpaid special assessments. LOCATION: 4361 Exultant Drive (APN: 7564-004-026) PROPERTY OWNER: M. Joel D. Hoffman, CEO, Rehabbers Financial, Inc. d/b/a Aztec Financial, Inc. Pursuant to RPVMC § 8.24.120(B), any interested person may file a written protest with the City Clerk any time prior to the hearing on Tuesday, February 3, 2026. Each such protest shall contain a description of the property in which the person signing the protest is interested and the grounds of such protest. Public Notice- 4361 Exultant Dr. 1.15.26 - Page 1 of 1F-1 Palos Verdes Peninsula News 609 Deep Valley Dr (310) 372-0388 30940 Hawthorne Blvd, Community Development Department Rancho Palos Verdes, California 90275 PROOF OF PUBLICATION STATE OF CALIFORNIA County of Los Angeles I am a citizen of the United States and a resident of the State of California; I am over the age of eighteen years, and not a party to or interested in the above-entitled matter. I am the principal clerk of the printer and publisher of the Palos Verdes Peninsula News, a newspaper published in the English language in the city of Rolling Hills Estates and adjudjed a newspaper of general circulation as defined by the laws of the State of California by Superior Court of the County of Los Angeles, State of California, under date of 02/15/1977, Case No. C824957. That the notice, of which the annexed is a printed copy, has been published in each regular and entire issue of said newspaper and not in any supplement thereof on the following dates, to wit: 01/15/2026 At Los Angeles, California Executed on: Jan 15, 2026. I certify (or declare) under the penalty of perjury that the foregoing is true and correct. ______________________________ Signature Public Notice- 4361 Exultant Dr. 1.15.26 - Page 1 of 1F-2