Lead: Three Cities Reach Historic Settlement date February 5, 2019

Title: CITIES OF INDUSTRY, CHINO HILLS, AND DIAMOND BAR REACH HISTORIC SETTLEMENT – SEEK TO PROTECT 2,445 ACRES

In an historic effort to protect one of the largest expanses of open land in the region, the Cities of Industry, Chino Hills, and Diamond Bar announced that they have reached a settlement on six outstanding lawsuits, and will work jointly to protect the 2,445-acre Tres Hermanos Ranchlocated in Chino Hills and Diamond Bar.

The lawsuits, filed by Diamond Bar and Chino Hills in 2017 and 2018, sought to thwart

Industry’s plans to lease the property for a large solar facility.

“Months of negotiations have led to a new partnership among our three cities that will benefit theentire region,” said Chino Hills Mayor Cynthia Moran. “I applaud the City of Industry, and theirleadership, for taking a new direction and recognizing that this beautiful natural property in themiddle of our urban area is a valuable environmental asset that should be protected.”

According to terms of the settlement, the City of Industry will become a full voting member of the Tres Hermanos Conservation Authority (Conservation Authority), a joint powers agency formed 20 years ago in January 1999 by the Cities of Diamond Bar and Chino Hills. The Board will increase from four to seven members, with City of Industry allotted three members, Diamond Bar two members, and Chino Hills two members. The City of Industry will sell Tres Hermanos Ranch to the Conservation Authority with deed restrictions that limit future use to open space, public use, and preservation.

“Being a regional resource is at the core of what the City of Industry is all about, like the

businesses located in our city, open space also brings a greater benefit to our region,” said City of Industry Mayor Mark Radecki. “With Tres Hermanos Ranch, the value is in what the land means to the people of this region, to the wildlife that use it as a corridor, and in what our communities can accomplish together to protect the special environment that has been preserved.”

City of Industry’s Redevelopment Agency (RDA) originally bought the ranch in 1978. After theState of California dissolved RDAs in California in 2012, and required the sale of all assets, theCity of Industry was approved to purchase Tres Hermanos Ranch from the RDA SuccessorAgency in 2017 for $41,650,000.

According to the settlement, City of Industry will be responsible for 90 percent of that purchaseprice in the sale of the land to the Conservation Authority. Chino Hills and Diamond Bar willcover 10 percent of the sale price prorated according to the acreage within their boundaries.

Approximately 1,750 acres of Tres Hermanos Ranch are in Chino Hills, and 695 acres are inDiamond Bar. Chino Hills will pay Industry $2,959,967 and Diamond Bar will pay Industry$1,205,033.

“This is an incredible opportunity that truly reflects the best interest of our community andresidents,” said Diamond Bar Mayor Carol Herrera. “We now have a seat at the table for TresHermanos and a voice to ensure it remains a valuable open space resource in our cities andregion for decades to come.

“The Tres Hermanos Conservation Authority is a public body with posted agendas and

opportunities for public participation,” said Troy Helling, Industry City Manager. “The interestsof all three Cities and our communities will be represented as discussions occur in the comingyears about how best to conserve this important resource.”