Item 17 Staff Report Adopt Resolution Authorizing the Town Manager to Execute Neighborhood Center Lease Agreements with Tenants for FY 1993/94TOWN OF LOS GATOS
COUNCIL AGENDA REPORT
DATE: June 16, 1993
TO: MAYOR AND TO V LCOUNCIL
FROM: TOWN MANAGER
SUBJECT:
COUNCIL AGENDA
DATE: 6-21-93
ITEM NO.
ADOPT RESOLUTION AUTHORIZING THE TOWN MANAGER TO EXECUTE
NEIGHBORHOOD CENTER LEASE AGREEMENTS WITH TENANTS FOR FY 1993/94
RECOMMENDATION:
Adopt resolution authorizing the Town Manager to execute Neighborhood Center lease agreements with
tenants for FY 1993/94.
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 1993/94, lease agreements have been prepared with: The Health Place, Family Services Association,
The Teen Counseling Center, Transit Assist, and the Business Improvement District. The boilerplate
agreement is attached as Exhibit A to the resolution.
Family Services Association (FSA) will be leasing two of the three rooms previously leased by the Senior
Coordinating Council. The Town's grant to the agency ($11,820) covers a portion of the case management
program including the lease of Room 6, only. The agency will use Room 3 to house volunteers and
occasionally a staff person who will provide other FSA services.
The Teen Counseling Center will be leasing an additional room (Room 2) starting July 1, 1993. The
additional room will allow the agency to separate administrative and programming functions. Renting a
second room will also be Tess expensive for the agency than paying the hourly rate to be charged tenants
effective July 1, 1993. The Teen Counseling Center grant application did not include fee payments for a
second room.
In addition to these tenant/landlord relationships, the Town also has a grantor/grantee relationship with
the agencies. As mentioned above, 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.
PREPARED BY: Regina A. Fal
Community S
RAF:dr
CSD05:A:\CNCLRPTS\LEASEN.CTR
ATTACHMENT: Resolution
s 'Director
DISTRIBUTION: See page 2 for distribution.
Reviewed by: Attorney
Cler
COUNCIL ACTION/ACTION DIRECTED TO:
6/16/93 10:45 am
File #
finance Treasurer
PAGE 2
MAYOR AND TOWN COUNCIL
SUBJECT: ADOPT RESOLUTION AUTHORIZING THE TOWN MANAGER TO EXECUTE NEIGHBORHOOD
CENTER LEASE AGREEMENTS WITH TENANTS FOR FY 1993-94
June 16, 1993
The table below lists each tenant, the number of square footage and rooms it leases, the annual
maintenance fee, and the Town grant dollars used to pay the maintenance fee. The table shows that Town
CDBG and General Revenue grants to the agencies cover all or part of the tenants' maintenance fees. Other
revenues collected by the agencies --such as grants, donations, or fees --are used to pay the balance of
maintenance fees charged.
Health Place
Family Services Assoc.
Teen Counseling Center
Transit Assist
Business Improvement District
Square Feet
137 (Rm. 7)
424 (Rm. 3 & 6)
547 (Rm. 1 & 2)
419 (Rm. 208)
196 (Rm. 205)
Annual
Maintenance Fee
$1,923
5,953
7,680
5,883
2.760
$24,199
Portion Paid
By Town Grant
$1,923
1,840
4,240
5,560
2.760
$16,323
As an alternative to this accounting system, Council could elect to reduce agency grants and provide
Neighborhood Center rooms as an in -kind donation. Council should advise staff if it prefers this option.
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; $24,199 is anticipated in FY 1993/94.
DISTRIBUTION:
San Jose State University Foundation, The Health Place
Family Services Association
The Teen Counseling Center
Transit Assist
Business Improvement District
ATTACHMENT 1
RESOLUTION
RESOLUTION OF THE TOWN COUNCIL
OF THE TOWN OF LOS GATOS
AUTHORIZING THE TOWN MANAGER TO EXECUTE
LEASE AGREEMENTS WITH TENANTS FOR FY 1993-94
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 1993-94 under the terms and
conditions stated in the lease agreement attached as Exhibit A and
as specified below:
Tenant
Health Place (SJSU)
Family Services Assoc.
Teen Counseling Center
Transit Assist
Business Improvement District
Square
Feet
137 Rm. 7
424 Rm. 3 & 6
547 Rm. 1 & 2
419 Rm. 208
196 Rm. 205
Annual
Maintenance Fee
$ 1,923
5,953
7,680
5,883
2,760
PASSED AND ADOPTED at a regular meeting of the Town
Council of the Town of Los Gatos, California, held on the 21st day
of June, 1993, by the following vote:
COUNCIL MEMBERS:
AYES:
NAYES:
ABSENT:
ABSTAIN:
SIGNED:
ATTEST:
CLERK OF THE TOWN OF LOS GATOS
LOS GATOS, CALIFORNIA
CSD08:A:\RESOS\CS062193:ROO
MAYOR OF THE TOWN OF LOS GATOS
LOS GATOS, CALIFORNIA
1
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 , 1993.
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, 1993, and extend through
June 30, 1994, subject to the termination provisions set fourth 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 , 1993.
Revised 7/26/91; 6-21-93
TENANT
Name
Page 4 of 5
Title
APPROVED AS TO FORM:
Larry E. Anderson, Town Attorney
Al'1'ESTED TO:
Marian V. Cosgrove, Town Clerk
CSDO1: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 work hereunder 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.
R.vlssd August 9, 1991
-2
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
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.
Revised August 9, 1991
-3-
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.
CS004:A:\CONTRACT\EXHIBITS.ADE
Revised August 9, 1991
TRACKING
LOMPLETE AND INITIAL LICH STEP
ACTION
AGENDA ITEM:
RESOLUTION/ORDINANCE NUMBER DESCRIPTION:
LIST IN BOOK
/99 -q
dat /mat
ON DISC? MARIAN'S FORM SENT TO DEPT.
PUBLISH IF REQUIRED - Indicate date of
ORDINANCES ONLY Publication,
WHEN SIGNATURE AND /s/ COPY (1 EACH) returned,
LIST ON SIGNATURE TRACKING & SEND TO MAYOR
SEND COPIES TO DEPT. DISTRIBUTION LIST
Dist. Report Date: NO.of COPIES:
TYPE ENVELOPES AND MAIL
SIGN BY CLERK/SEAL
ENTER INTO ECM ORDINAN� /RESOLUTION FILE
PUT OUR /s/ COPY IN BASKET,
FILE IN VAULT
dk:da:\other lordna2
SEND FOR CODIFICATION IF ORDINANCE !
( 'ICE OF THE TOWN CLERK
ORDINANCES & RESOLUTIONS
ORIGINATING DEPT:
COUNCIL AGENDA DATE:
COUNCIL AGENDA I 1 LEI:
SUBJECT:
Number:
Date of Adopt:
COUNCIL ACTION:
AYES:
NAYS:
/7
J
RESOLUTION
;ci3—�
ABSENT:
ABSTAIN:
,C;
COUNCIL MEMBERS NAMES:
Number.
Date of Intro:
Date of Adopt:
ZONE CHANGE:
Randy Attaway, Steven Blanton, Linda Lubeck, Patrick O'Laughlin
Mayor(or Chairman) Joanne Benjamin
ORDINANCE
ORDINANCES and RESOLUTIONS MUST BE RETURNED TO TOWN CLERK
BY WEDNESDAY AT 12 NOON.
ORDINANCES MUST BE READY FOR IMMEDIATE PUBLICATION
CLK: D 12:\OTHER\ORDRES
RESOLUTION 1993-88
RESOLUTION OF THE TOWN COUNCIL
OF THE TOWN OF LOS GATOS
AUTHORIZING THE TOWN MANAGER TO EXECUTE
LEASE AGREEMENTS WITH TENANTS FOR FY 1993-94
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 1993-94 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 Services Assoc. ✓ 424 Rm. 3 & 6 5,953
Teen Counseling Center,/ 547 Rm. 1 & 2 7,680
Transit Assist 419 Rm. 208 5,883
Business Improvement District ✓ 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 21st day of June, 1993, by the following vote:
COUNCIL MEMBERS:
AYES: Randy Attaway, Steven Blanton, Linda Lubeck
Mayor Joanne Benjamin
NAYES: None
ABSENT: Patrick O'Laughlin
ABSTAIN: None
SIGNED:
ATTEST:
/s/ Joanne Benjamin
MAYOR OF THE TOWN OF LOS GATOS
LOS GATOS, CALIFORNIA
/s/ Marian V. Cosgrove
CLERK OF THE TOWN OF LOS GATOS
LOS GATOS, CALIFORNIA
CSD08:A:\RESOS\CS062193: R88
June 21, 1993
Los Gatos, California
9321 PROJECT/CALIFORNIA ENERGY COMMISSION/RESOLUTION 1993-86 (14.35)
Motion by Mr. Blanton, seconded by Mrs. Lubeck, that Council adopt Resolution 1993-86
entitled, RESOLUTION OF THE TOWN OF LOS GATOS AUTHORIZING THE TOWN
MANAGER TO EXECUTE AN AGREEMENT WITH THE CALIFORNIA ENERGY
COMMISSION FOR PROJECT 9321 - ENERGY CONSERVATION MODIFICATIONS,
Carried by a vote of 4 ayes. Mr. O'Laughlin absent.
OPEN DOORS ASSOCIATES/LOAN DOCUMENTS (15.19)
This item was removed from the agenda.
HOUSEHOLD HAZARDOUS WASTE/COUNTY AGR/RESOLUTION 1993-87 (16.07)
Motion by Mr. Blanton, seconded by Mrs. Lubeck, that Council adopt Resolution 1993-87
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,
Carried by a vote of 4 ayes. Mr. O'Laughlin absent.
NEIGHBORHOOD CENTER LEASE AGREEMENTS/RESOLUTION 1993-88 (17.44)
Motion by Mr. Blanton, seconded by Mrs. Lubeck, that Council adopt Resolution 1993-88
entitled, RESOLUTION OF THE TOWN OF LOS GATOS AUTHORIZING THE TOWN
MANAGER TO EXECUTE LEASE AGREEMENTS WITH TENANTS FOR FY 1993-94. Carried
by a vote of 4 ayes. Mr. O'Laughlin absent.
UNREINFORCED MASONRY/STRUCTURAL STRENGTHENING/ORDINANCE 1948 (19.13)
Motion by Mr. Blanton, seconded by Mrs. Lubeck, that Council adopt Ordinance 1948 entitled,
ORDINANCE OF THE TOWN OF LOS GATOS AMENDING TOWN CODE SECTION
6.100.030 PROVIDING EXEMPTION FROM STRUCTURAL STRENGTHENING FOR
OUALIFIED UNREINFORCED MASONRY (URM) BUILDINGS. Carried by a vote of 3 ayes.
Mr. O'Laughlin absent. Mr. Blanton voted no for reasons stated in previous record.
HEARINGS
BLOSSOM HILL RD 15651/SUBDIVISION/VITALICH/APPEAL/HEARING (20.09)
Mayor Benjamin stated that this was the time and place duly noted for public hearing to consider
Planning Commission decision to deny a request for approval of a tentative map to subdivide
an approximately .96 acre parcel into three lots in the R-1:8000 (prezone) Zone, Subdivision
Application M-91-14. Property located at 15651 Blossom Hill Road. Property owner, Mrs. Mary
Lee Vitalich. Application, Westfall Engineers.
The following people spoke regarding this issue.
Mary Vitalich, 1925 Otay Lakes Rd, Chula Vista, asked Council's consideration of this project.
Jitka Cymbal, 14583 Big Basin Way, Saratoga, representing Westfall Engineers, explained the
project and asked for reconsideration of in -fill policy.
No one else from the audience addressed Council on this issue.
TC: D5: MM062193
4