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SETTLEMENT AGREEMENT <br /> This SETTLEMENT AGREEMENT(the"Agreement")is made and entered into <br /> by and between.Heron Bay Homeowners Association,a California nonprofit corporation <br /> ("Heron Bay HOA")and the City of San Leandro("City") (collectively,the"Parties"and <br /> individually,each a"Party"). <br /> RECITALS <br /> A. Halus Power Systems("Halus")remanufactures Wind Turbines and their <br /> components. <br /> B. Halus operates on the property located at 2539 Grant Avenue, San Leandro, <br /> California("Halos Property"). <br /> C. On January 27,2014,Halus proposed a project consisting of 4, sixty-foot <br /> Wind Turbines("Four Turbine Project"). The City's Zoning Official approved the Four <br /> Turbine Project on February 3,2014 and the City issued a building permit approving the <br /> Four Turbine Project on June 9,2014. <br /> D. Heron Bay HOA filed an action with the Alameda County Superior Court <br /> challenging the approval of the Four Turbine Project on July 7,2014, Case No.RG <br /> 14731880("Four Turbine Action"). Heron Bay HOA alleged that the City's approvals of the <br /> Four Turbine Project violated CEQA and the City's Zoning Code. <br /> E. On July 15,2014,Halus requested that the City rescind the building permit for <br /> the Four Turbine Project. The permit was cancelled on or about July 21, 2014. <br /> 1 <br /> 358521.1 <br />