Westminster City Council
SUBJECT
Title
Request to Approve Maintenance Agreements Related to IONNA Project Located at 6260 Westminster Blvd.
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From: Jake Ngo, Public Works Director
Requested by: Administration
Prepared by: Carina Campos, Economic Development Manager
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RECOMMENDED ACTION
Recommendation
A. Authorize the City Manager or designee to execute Project Specific Maintenance Agreement with the State of California Department of Transportation; and
B. Authorize the City Manager or designee to execute a Maintenance and Indemnity Agreement with IONNA, LLC and 6260 Westminster Blvd., LLC.
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BACKGROUND
IONNA, a joint venture established by leading automotive manufacturers including BMW, General Motors, Honda, Hyundai, Kia, Mercedes-Benz, Stellantis, and Toyota, is creating what they consider North America’s premier charging network. The developer is constructing a new IONNA Rechargery and the first IONNA Flagship site. The project features 11 Level 3 DC fast-charging stations and a 24/7 convenience store at 6260 Westminster Blvd. This location will serve as a crucial link in IONNA’s expanding charging infrastructure, supporting both local electric vehicle drivers and travelers along Interstate 405.
At the July 23, 2026 City Council meeting, staff was authorized to issue a Letter of Intent, confirming the City’s intent to work toward formalizing right-of-way maintenance agreements to facilitate IONNA’s project so that the California Department of Transportation (Caltrans) could issue an Encroachment Permit required for necessary project improvements. This proactive economic development effort ensured the project remained on schedule and continued to advance while separate agreements were being finalized concurrently.
As part of Caltrans’ Encroachment Permit requirements, Caltrans requested a formal maintenance agreement between the City and Caltrans. Caltrans does not contract with private entities and therefore requires the City to serve as the contracting party. Without the City’s participation, the project could not proceed. In support of high-quality development, the City agreed to act as an intermediary between Caltrans and IONNA.
Upon completion of the project, the City would assume responsibility for the maintenance of the City’s storm drain facilities and electrical primary infrastructure within Caltrans right-of-way. However, the City’s commitment to enter into subject agreement with Caltrans was contingent upon IONNA and the Property Owner entering into a separate agreement with the City to ensure the continued maintenance for IONNA’s facilities within Caltrans right-of-way. This resulted in two agreements for consideration. They are as follows:
1. Project Specific Maintenance Agreement; and
2. Maintenance and Indemnity Agreement.
The Project Specific Maintenance Agreement is between the City and Caltrans and identifies the maintenance responsibilities for improvements within the State right-of-way. The Maintenance and Indemnity Agreement is between the City, IONNA, and the Property Owner to ensure that any maintenance responsibility, insurance obligations, and any other obligations under the Project Specific Maintenance Agreement are the responsibility of IONNA and the Property owner, and not the City. The City is passing through all related obligations to the involved parties who directly benefit from the project improvements.
These agreements must be executed concurrently, and the City cannot execute the Project Specific Maintenance Agreement without the Maintenance and Indemnity Agreement. A Maintenance Covenant will be recorded to formally document the obligations established in the Maintenance and Indemnity Agreement. If IONNA’s lease at the property ends or is assigned to another tenant, both the Property Owner and any successor tenant will be responsible for fulfilling the maintenance obligations. Additionally, if the property changes ownership, all responsibilities outlined in the Maintenance and Indemnity Agreement will be transferred to the new owner.
FISCAL IMPACT
The City does not anticipate any fiscal impacts beyond the need to provide a Certificate of Liability Insurance to Caltrans. All maintenance responsibilities will be transferred to IONNA and the Property Owner.
The City currently holds a Performance Bond and Labor and Material Bond in the amount of four hundred and fifty thousand dollars ($450,000). These bonds will be retained until the project is fully completed and all required agreements have been executed.
LEGAL REVIEW
The City Attorney’s Office has reviewed as to form.
CONCLUSION
The project is now substantially complete. The 24-hour convenience store that will function as a service lounge and the canopy structure above the charging stations has been constructed. Project signage has been installed, and over the coming weeks, critical components including stormwater management requirements and final electrical energization by Southern California Edison will be completed. Execution of the subject agreements represents one of the final administrative steps necessary for the project to be in compliance and operational.
ATTACHMENTS
1. July 23, 2026 Staff Report
2. Project Specific Maintenance Agreement
3. Maintenance and Indemnity Agreement
REVIEWED BY
Erin Backs, Finance Director
City Attorney’s Office
Christine Cordon, City Manager