Item 19 Staff Report Adopt Resolution Authorizing the Town Manager to Execute Neighborhood Center Lease Agreements with Tenants for FY 1994-95TOWN OF LOS GATOS
COUNCIL AGENDA REPORT
DATE: July 18, 1994
TO: MAYOR AND TOWN COUNCIL
FROM: TOWN MANAGER
SUBJECT:
COUNCIL AGENDA
DATE: 8-1-94
ITEM NO. /
ADOPT RESOLUTION AUTHORIZING THE TOWN MANAGER TO EXECUTE
NEIGHBORHOOD CENTER LEASE AGREEMENTS WITH TENANTS FOR FY 1994-95
RECOMMENDATION:
Adopt resolution authorizing the Town Manager to execute Neighborhood Center lease agreements with
tenants for FY 1994-95.
DISCUSSION:
Lease agreements are executed annually with the Neighborhood Center tenants in accordance with the
Council adopted fee ordinance. The fee ordinance requires tenants to pay a maintenance fee. The
$1.17/sq.ft./month fee is based on the prorated building operating cost.
For FY 1994-95, lease agreements have been prepared with: The Health Place, Family Service Association,
The Teen Counseling Center, Transit Assist, and the Downtown Association. The boilerplate agreement is
attached as Exhibit A to the resolution.
In addition to these tenant/landlord relationships, the Town also has a grantor/grantee relationship with the
agencies. Grant applicants include Neighborhood Center maintenance fees in budget requests. This system
has the advantage of providing a clean accounting method which clearly identifies the value of all
contributions to agencies. It also provides agencies with leverage when seeking matching grants. There
are, however, transaction costs associated with invoicing tenants, and processing and monitoring payments.
The table below lists each tenant, the number of square feet and rooms leased, the annual maintenance
fee, and the Town grant awarded to the agency.
Annual
Square Feet Maintenance Fee Town Grant
Downtown Association 196 (Rm. 205) 2,760 0
Family Service Assoc. 424 (Rm. 3 & 6) 5,953 11,700
Health Place 137 (Rm. 7) 1,923 13,250
Teen Counseling Center 547 (Rm. 1 & 2) 7,680 32,800
Transit Assist 419 (Rm. 208) 5,883 5,900
TOTAL $24,199 $63,650
PREPARED BY: Regina A. Fal ��,�
Community i es Director
RAF:dr
CSD05:A: \CNCLRPTS\LEASEN.CTR
ATTACHMENT: Resolution
DISTRIBUTION: See page 2 for distribution.
Reviewed by:
7/18/94 11:12 am
File #
Attorney Cler Fin. ce Treasurer
COUNCIL ACTION/ACTION DIRECTED TO:
PAGE 2
MAYOR AND TOWN COUNCIL
SUBJECT: ADOPT RESOLUTION AUTHORIZING THE TOWN MANAGER TO EXECUTE NEIGHBORHOOD
CENTER LEASE AGREEMENTS WITH TENANTS FOR FY 1994-95
July 18, 1994
The Health Place leases Room 7 in the Neighborhood Center for administrative purposes.
Family Service Association (FSA) leases Rooms 3 and 4 in the Neighborhood Center. The Town's grant
to the agency ($11,700) covers a portion of the case management program including the lease of Room 6,
only. The agency uses Room 3 to house volunteers and occasionally a staff person who will provide other
FSA services.
The Teen Counseling Center leases Rooms 1 and 2. The additional room allows the agency to separate
administrative and programming functions.
FISCAL IMPACT:
Fees paid by the tenants help to offset the costs of maintaining and operating the Neighborhood Center.
Revenues are credited to account 100-48510; $24,200 is anticipated in FY 1994-95.
DISTRIBUTION:
San Jose State University Foundation, The Health Place
Family Service Association
The Teen Counseling Center
Transit Assist
Downtown Association
RESOLUTION 1994
RESOLUTION OF THE TOWN COUNCIL
OF THE TOWN OF LOS GATOS
AUTHORIZING THE TOWN MANAGER TO EXECUTE
LEASE AGREEMENTS WITH TENANTS FOR FY 1994-95
BE IT RESOLVED by the Town Council of the Town of Los Gatos that the
Town Council authorize the Town Manager to execute lease agreements with tenants for
FY 1994-95 under the terms and conditions stated in the lease agreement attached as
Exhibit A and as specified below:
Annual
Tenant Square Feet Maintenance Fee
Health Place (SJSU) 137 Rm. 7 $ 1,923
Family Service Assoc. 424 Rms. 3 & 6 5,953
Teen Counseling Center 547 Rms. 1 & 2 7,680
Transit Assist 419 Rm. 208 5,883
Downtown Association 196 Rm. 205 $ 2,760
PASSED AND ADOPTED at a regular meeting of the Town Council of the
Town of Los Gatos, California, held on the 1st day of August, 1994, by the following vote:
COUNCIL MEMBERS:
AYES:
NAYS:
ABSENT:
ABSTAIN:
SIGNED:
A 1' PEST:
MAYOR OF THE TOWN OF LOS GATOS
LOS GATOS, CALIFORNIA
CLERK OF THE TOWN OF LOS GATOS
LOS GATOS, CALIFORNIA
CSD08: A: \RESOS\CS080194: ROO
EXHIBIT A
LEASE AGREEMENT BY AND BETWEEN THE TOWN OF LOS GATOS
AND REPRESENTING THE
LOS GATOS DOWNTOWN NEIGHBORHOOD CENTER
This LEASE, is entered into by and between the TOWN OF LOS GATOS, a
municipal corporation of the State of California, hereinafter referred to as "TOWN" and
, a nonprofit organization, hereinafter referred to as "TENANT'
this day of , 1994.
RECITALS
WHEREAS, TOWN owns the premises and the structure (commonly referred to
as "The Downtown Neighborhood Center" hereinafter referred to as "Center") located at
the 208 E. Main Street, Los Gatos, California, 95032, and wishes to lease space in the
Center to nonprofit community service organizations that will assist the TOWN in serving
the needs of its residents; and
WHEREAS, TENANT desires to use the Center for the purpose of
; and
WHEREAS, the Center's primary use (no less than 51 percent) is to benefit low and
moderate income senior citizens; and,
WHEREAS, the TOWN recognizes the need and desirability of such a community
organization and gathering place; and
WHEREAS, the TOWN incurs operating costs and expenses in maintaining the
Center which are due in part to tenant operations; and,
WHEREAS, TENANT agrees to their pro rata share of TOWN expenses for Center
operations;
IT IS MUTUALLY AGREED by the parties as follows:
1. Leasing: TOWN hereby leases to TENANT, and TENANT hereby leases
from TOWN, room of the Neighborhood Center, consisting of
square feet ( sq.ft.) located at 208 E. Main Street, Los Gatos, Santa Clara
County, California.
Revised 7/26/91; 6-21-93
Page 1 of 5
2. Term: The lease term shall commence on July 1, 1994, and extend through
June 30, 1995, subject to the termination provisions set forth in this agreement.
3. Maintenance Fee: The rent shall be ($ )
per month. Said rent is calculated according to the estimated operational costs, One Dollar
and Seventeen Cents ($1.17) per square foot, multiplied by the square footage occupied by
the TENANT for a total of ($ ) for the lease year.
4. Possessory Property Tax: Pursuant to Revenue & Taxation Code section
107.6, TENANT is hereby notified that the property interest created by their lease may be
subject to property taxation due to TENANT's possessory interest in the Center. In such
an event, TENANT is liable under this Lease for payment of such a property tax.
5. Use of Premises: TENANT shall use said premises only for the benefit of
and, shall comply with all governmental laws and regulations.
Anticipated uses include recreational and informational activities, social events, and
informal gatherings. No alcohol may be served on the premises at any time without the
proper written consent of the TOWN.
6. Signs: TENANT shall not place or permit to be placed in, upon, about or
outside of said premises or any part of the building any sign without the prior written
consent of the TOWN.
7. Illegality Clause: TENANT shall not use the premises or suffer or permit
anything to be done in or about the premises or the property which will be in conflict with
any law, statute, zoning restriction, ordinance or governmental law, rule, regulation or
requirement of public authority now in force or which may hereafter be enforced.
TENANT shall not commit any private or public nuisance or any other act or thing which
might or would disturb the quiet enjoyment of surrounding property. TOWN at its option
may terminate this Lease by giving ten (10) days written notice of its election to terminate
for any and all violations of the provisions contained herein.
8. Entry: TENANT shall permit TOWN, its agents or assigns to enter the
premises at any time to inspect the premises or make repairs.
9. Assignment and Sub -Leasing: The terms and conditions of this Lease are
based upon the unique and specific services to be offered by the TENANT and the
TENANT's record of service in the community. TENANT shall neither assign this Lease,
nor sublet the whole or any part thereof, without the prior written consent of TOWN.
Revised 7/26/91; 6-21-93
Page 2 of 5
10. Utilities: TOWN shall pay for all utilities including, but not limited to, water,
gas, electricity, and garbage removal.
11. Maintenance: TENANT shall maintain the interior of said premises.
TENANT shall not paint, wallpaper, not make any alterations to the premises without the
prior written consent of the TOWN. TOWN shall maintain the exterior of said premises
and the grounds thereof. However, if repair is necessary due to the action or negligence of
TENANT, its agents, assigns or clients, TOWN shall charge TENANT time and one half
for services rendered, and for the materials involved.
12. Abandonment: If TENANT abandons or vacates the premises for any period
in excess of thirty (30) days, TOWN may, at its option, terminate this Lease and take
possession of the property.
13. Insurance: TENANT shall procure and maintain with a reputable insurance
company, insurance as set forth in Exhibit A, attached, and incorporated hereby referenced.
14. Property Insurance: TOWN may or may not choose to obtain property
insurance for the Center. However, TENANT is solely responsible for obtaining insurance
to protect any personal property that it may choose to place in the Center under this Lease,
and the TOWN shall not provide such insurance on this Lease.
15. Destruction of Premises: If the leased premises or any portion of the leased
premises is damaged or destroyed by any cause whatsoever, the TOWN is entitled to
terminate this Lease Agreement and is under no obligation to repair, replace, or restore
the premises or any portion of the leased premises. Termination of this Lease shall be by
giving written notice of the termination to TENANT not later than 30 days after the event
causing the damage or destruction. The termination shall be effective on the date specified
in the TOWN's notice. Upon termination of the Lease Agreement pursuant to this section,
all insurance proceeds payable because of the damage or destruction shall be paid to and
be the property of the TOWN.
16. Indemnification: TENANT shall indemnify, save harmless, and defend
TOWN from all liability from loss, damage, or injury to persons or property in any manner
arising out of or incident the performance of this agreement, including without limitation
all consequential damages, whether or not resulting from the negligence of the TOWN or
its agents, officers or employees.
Revised 7/26/91; 6-21-93
Page 3 of 5
17. Surrender of Premises: TENANT shall promptly surrender said premises
to TOWN at the expiration of the term of this Lease, or any sooner termination thereof,
in the same condition it was received, in good order and repair, reasonable wear and tear
and damage by the elements excepted.
18. Termination: Either party may terminate this agreement without cause upon
forty-five (45) days advance written notice. Such termination notice shall be sent to:
TOWN of Los Gatos
David W. Knapp, TOWN Manager
P.O. Box 949
110 East Main Street
Los Gatos, CA 95031
TENANT
19. Scope of Lease: This Lease constitutes the entire agreement between the
parties. This Lease may not be modified except by an agreement in writing signed by the
party against whom the enforcement of any waiver, change, modification or discharge is
sought. The covenants and conditions in the lease shall bind the successors in interest of
the party.
20. Disputes: In any dispute between the parties over this Agreement, the
prevailing party shall be entitled to costs and attorney's fees.
21. Equal Access and Opportunity: TENANT warrants that it shall comply with
all applicable regulations and laws governing equal access to its programs and equal
employment opportunity. Neither TENANT nor any of its officers, employees, volunteers,
or agents shall discriminate in the employment nor access to any of TENANT's programs
because of race, color, national origin, ancestry, physical or mental disability, marital status,
sex, sexual orientation, or age unless based on a bona fide occupational qualification
defined under the California Fair Employment and Housing Act.
IN WITNESS WHEREOF, the parties have executed this Lease this
day of , 1994.
Revised 7/26/91; 6-21-93
TENANT
Name
Page 4 of 5
Title
APPROVED AS TO FORM:
Larry E. Anderson, Town Attorney
ATTESTED TO:
Marian V. Cosgrove, Town Clerk
CSD01:A:\CONTRACT\CENTERLS.CON
Revised 7/26/91; 6-21-93
TOWN OF LOS GATOS
David W. Knapp, Town Manager
Page 5 of 5
EXHIBIT A
INSURANCE REQUIREMENTS FOR CONTRACTORS
Contractor shall procure and maintain for the duration of the contract, insurance against claims for injuries to
persons or damages to property which may arise from or in connection with the performance of the Program
by the Contractor, its agents, representatives, employees or subcontractors. The cost of such insurance shall be
borne by the Contractor.
A. MINIMUM SCOPE OF INSURANCE
Coverage shall be at least as broad as:
1. Insurance services Office form number GL 0002 (Ed. 1/73) covering Comprehensive General
Liability and Insurance Services Office form number GL 0404 covering Broad Form
Comprehensive General Liability; or Insurance Services Office Commercial General Liability
coverage ("occurrence" form CG 0001).
2. Insurance Services Office form number CA 0001 (Ed 1/78) covering Automobile Liability, code
1 "any auto" and endorsement CA 0025.
3. Workers' Compensation insurance as required by the Labor Code of the State of California and
Employers Liability insurance.
B. MINIMUM LIMITS OF INSURANCE
Contractor shall maintain limits no less than:
1. General Liability: $1,000,000 combined single limit per occurrence for bodily injury, personal
injury and property damage. If Commercial General Liability Insurance or other form with a
general aggregate limit is used, either the general aggregate limit shall apply separately to this
project/location or the general aggregate limit shall be twice the required occurrence limit.
2. Automobile Liability: $1,000,000 combined single limit per accident for bodily injury and
property damage.
3. Workers' Compensation and Employers Liability: Workers' compensation limits as required
by the Labor Code of the State of California and Employers Liability limits of $1,000,000 per
accident.
C. DEDUCTIBLES AND SELF -INSURED RETENTIONS
Any deductibles or self -insured retentions must be declared to and approved by the Town. At the option
of the Town, either: the insurer shall reduce or eliminate such deductibles or self -insured retentions
as respects the Town its officers, officials, employees and volunteers; or the Contractor shall procure a
bond guaranteeing payment of losses and related investigations, claim administration and defense
expenses.
D. OTHER INSURANCE PROVISIONS
The policies are to contain, or be endorsed to contain, the following provisions:
1. General Liability and Automobile Liability Coverages
July 18, 1994 1
a. The Town, its officers, officials, employees and volunteers are to be covered as insureds
as respects: liability arising out of activities performed by or on behalf of the Contractor,
products and completed operations of the Contractor, premises owned, occupied or used
by the Contractor, or automobiles owned, leased, hired or borrowed by the Contractor.
The coverage shall contain no special limitations on the scope of protection afforded
to the Town, its officers, officials, employees or volunteers.
b. The Contractor's insurance coverage shall be primary insurance as respects the Town,
its officers, officials, employees and volunteers. Any insurance or self-insurance
maintained by the Town, its officers, officials, employees or volunteers shall be excess
of the Contractor's insurance and shall not contribute with it.
c. Any failure to comply with reporting provisions of the policies shall not affect coverage
provided to the Town, its officers, officials, employees or volunteers.
d. The Contractor's insurance shall apply separately to each insured against whom claim
is made or suit is brought, except with respect to the limits of the insurer's liability.
2. Workers' Compensation and Employers Liability coverage
The insurer shall agree to waive all rights of subrogation against the Agency, its officers,
officials, employees and volunteers for losses arising from work performed by the contractor
for the Town.
3. All Coverages
Each insurance policy required by this clause shall be endorsed to state that coverage shall not
be suspended, voided, cancelled by either party, reduced in coverage or in limits except after
thirty (30 days' prior written notice by certified mail, return receipt requested, has been given
to the Town.
E. ACCEPTABILITY OF INSURERS
Insurance is to be placed with insurers with a Best's rating of no less than A:VII.
F. VERIFICATION OF COVERAGE
Upon execution of this agreement, Contractor shall furnish the Town with certificates of insurance and
with original endorsements effecting coverage required by this clause. The certificates and endorsements
for each insurance policy are to be signed by a person authorized by that insurer to bind coverage on
its behalf. The certificates and endorsements are to be on forms provided by the Town. Where by
statute, the Town's workers' compensation -related forms cannot be used, equivalent forms approved by
the Insurance Commissioner are to be substituted. All certificates and endorsements are to be received
and approved by the Town before work commences. The Town reserves the right to require complete,
certified copies of all required insurance policies, at any time.
G. SUBCONTRACTORS
Contractor shall include all subcontractors as insureds under its policies or shall furnish separate
certificates and endorsements for each subcontractor. All coverages for subcontractors shall be subject
to all of the requirements stated herein. CSD14 :A: CONTRACT GRANTRUL.Css
July 18, 1994 2
RESOLUTION 1994 - 116
RESOLUTION OF THE TOWN COUNCIL
OF THE TOWN OF LOS GATOS
AUTHORIZING THE TOWN MANAGER TO EXECUTE
LEASE AGREEMENTS WITH TENANTS FOR FY 1994-95
BE IT RESOLVED by the Town Council of the Town of Los Gatos that the
Town Council authorize the Town Manager to execute lease agreements with tenants for
FY 1994-95 under the terms and conditions stated in the lease agreement attached as
Exhibit A and as specified below:
Annual
Tenant Square Feet Maintenance Fee
Health Place (SJSU) 137 Rm. 7 $ 1,923
Family Service Assoc. 424 Rms. 3 & 6 5,953
Teen Counseling Center 547 Rms. 1 & 2 7,680
Transit Assist 419 Rm. 208 5,883
Downtown Association 196 Rm. 205 $ 2,760
PASSED AND ADOPTED at a regular meeting of the Town Council of the
Town of Los Gatos, California, held on the 1st day of August, 1994, by the following vote:
COUNCIL MEMBERS:
AYES: Joanne Benjamin, Steven Blanton, Linda Lubeck,
Patrick O'Laughlin, Mayor Randy Attaway
NAYS: None.
ABSENT: None.
ABSTAIN: None.
SIGNED: /s/ Randy Attaway
MAYOR OF THE TOWN OF LOS GATOS
LOS GATOS, CALIFORNIA
ATTEST:
/s/ Marian V. Cosgrove
CLERK OF THE TOWN OF LOS GATOS
LOS GATOS, CALIFORNIA
CSD08: A: \ RESOS\CS080194:116
August 1, 1994
Los Gatos, California
PERSONNEL RULES AND REGULATIONS/RESOLUTION 1994-112 (15.10)
Motion by Mrs. Benjamin, seconded by Mrs. Lubeck, that Council adopt Resolution 1994-112
entitled, RESOLUTION OF THE TOWN OF LOS GATOS APPROVING AND ADOPTING
REVISED TOWN PERSONNEL RULES. Carried unanimously.
9328 PROJECT/LOS GATOS CREEK TRAIL/RESOLUTION 1994-113 (16.35)
Motion by Mrs. Benjamin, seconded by Mrs. Lubeck, that Council adopt Resolution 1994-113
entitled, RESOLUTION OF THE TOWN OF LOS GATOS AUTHORIZING THE EXECUTION
OF AN AGREEMENT WITH B&B CONCRETE FOR PROJECT 9328 LOS GATOS CREEK
TRAIL, which decreases the Novitiate account 4450-85330 from $98,370 to $80,370 and increases
Rob-Sart account 4450-85330 from $414,964 to $432,964. Carried unanimously.
TRACT 8612/FINAL MAP/RESOLUTION 1994-114 (17.30)
Motion by Mrs. Benjamin, seconded by Mrs. Lubeck, that Council adopt Resolution 1994-114
entitled, RESOLUTION OF THE TOWN OF LOS GATOS APPROVING FINAL MAP OF
TRACT 8612 AND AUTHORIZING THE MAYOR TO SIGN THE CONTRACT FOR THE
IMPROVEMENTS OF TRACT 8612. Carried unanimously.
CONFIDENTIAL EMPLOYEES/CLASSIFICATION/RESOLUTION 1994-115 (18.10)
Motion by Mrs. Benjamin, seconded by Mrs. Lubeck, that Council adopt Resolution 1994-115
entitled, RESOLUTION OF THE TOWN OF LOS GATOS AMENDING CONFIDENTIAL
EMPLOYEE CLASSIFICATIONS, COMPENSATION AND WORK RULES FOR FISCAL YEAR
1994-1995. Carried unanimously.
NEIGHBORHOOD CENTER LEASE/TENANT AGREEMENT/RESOLUTION 1994-116 (19.44)
Motion by Mrs. Benjamin, seconded by Mrs. Lubeck, that Council adopt Resolution 1994-116
entitled, RESOLUTION OF THE TOWN OF LOS GATOS AUTHORIZING THE TOWN
MANAGER TO EXECUTE LEASE AGREEMENTS WITH TENANTS FOR FY 1994-95. Carried
unanimously.
HOUSEHOLD HAZARDOUS WASTE COLLECTION PROGRAM/RESOLUTION 1994-117 (20.07)
Motion by Mrs. Benjamin, seconded by Mrs. Lubeck, that Council adopt Resolution 1994-117
entitled, RESOLUTION OF THE TOWN OF LOS GATOS AUTHORIZING THE TOWN
MANAGER TO EXECUTE AN AGREEMENT WITH THE COUNTY OF SANTA CLARA FOR
PARTICIPATION IN A HOUSEHOLD HAZARDOUS WASTE COLLECTION PROGRAM FY
1994-95. Carried unanimously.
9321 PROJECT/ENERGY CONSERVATION MODIFICATIONS/RESOLUTION 1994-118 (21.35)
Motion by Mrs. Benjamin, seconded by Mrs. Lubeck, that Council adopt Resolution 1994-118
entitled, RESOLUTION OF THE TOWN OF LOS GATOS AUTHORIZING THE TOWN
MANAGER TO EXECUTE AN AGREEMENT WITH NEWCOMB ANDERSON ASSOCIATES
FOR PROJECT 9321 - ENERGY CONSERVATION MODIFICATIONS. Carried unanimously.
TOP OF THE HILL 15299/SINGLE FAMILY CONSTRUCTION/RESOLUTION 1994-119 (22.09)
Motion by Mrs. Benjamin, seconded by Mrs. Lubeck, that Council adopt Resolution 1994-119
entitled, RESOLUTION OF THE TOWN OF LOS GATOS REPORTING DENIAL OF APPEAL
OF PLANNING COMIIMISSION DECISION TO DENY A REQUEST FOR APPROVAL OF
PLANS TO CONSTRUCT A SINGLE FAMILY RESIDENCE ON PROPERTY IN THE RC
(PREZONE) ZONE, ARCHITECTURAL & SITE APPLICATION S-88-65A, which incorporates
the Council's findings and decision at its meeting of July 18, 1994. Carried by a vote of 3 ayes.
Mrs. Benjamin and Mayor Attaway abstained.
TC:D6:MM080194 3