Staff ReportPREPARED BY: MATT MORLEY
DIRECTOR OF PARKS AND PUBLIC WORKS
Reviewed by: Assistant Town Manager Town Attorney Finance
S:\COUNCIL REPORTS\2016\06-21-16\Billy Jones Wildcat Railroad\Staff Report - Billy Jones FINAL.docx
MEETING DATE: 06/21/16
ITEM NO: 6
COUNCIL AGENDA REPORT
DATE: JUNE 13, 2016
TO: MAYOR AND TOWN COUNCIL
FROM: LAUREL PREVETTI, TOWN MANAGER
SUBJECT: AUTHORIZE THE TOWN MANAGER TO EXECUTE A FIRST AMENDMENT TO
THE LEASE AGREEMENT WITH BILLY JONES WILDCAT RAILROAD INC.
RECOMMENDATION:
Authorize the Town Manager to execute a First Amendment to the Lease Agreement (Attachment 1)
with Billy Jones Wildcat Railroad Inc.
BACKGROUND:
Billy Jones Wildcat Railroad began providing railroad and carousel operations at Oak Meadow Park
under a license agreement with the Town in 1968. The license agreement was extended twice and
expired on December 31, 2009.
The Town and Billy Jones Wildcat Railroad worked collaboratively to create a new Lease Agreement
setting forth in specific terms the circumstances under which Billy Jones Wildcat Railroad may use the
land and buildings at Oak Meadow Park, responsibility for maintenance of the facilities, responsibility
for the costs related to utilities, and the circumstances under which Billy Jones Wildcat Railroad may
make capital improvements to the facilities.
On March 21, 2011, the Town Council authorized a Lease Agreement between the Town and Billy
Jones Wildcat Railroad through March 31, 2021.
DISCUSSION:
In March of 2016, Billy Jones Wildcat Railroad contacted Town staff to meet and discuss the current
Lease Agreement specific to the desired modifications in Sections 1, 12, 42, 43, 44 and 45.
PAGE 2
MAYOR AND TOWN COUNCIL
SUBJECT: AUTHORIZE THE TOWN MANAGER TO EXECUTE A FIRST AMENDMENT TO
THE LEASE AGREEMENT WITH BILLY JONES WILDCAT RAILROAD
JUNE 13, 2016
DISCUSSION (cont’d):
Based on conversations with the Board, the proposed Lease Agreement changes and additions are in the
mutual interest of the Town and Billy Jones Wildcat Railroad. The proposed modifications are:
1. Section 1 - Premises includes the addition of the lawn area adjacent to the carousel building.
2. Section 12 - Signs and Marking is amended to include a language change: “For co-sponsored events,
all Lessee marketing materials must be approved by the Town Manager”.
3. Section 42.1 - Requires the Lessee to provide to the Town an annual schedule of special events
following calendar year no later than October 1st of each calendar year.
4. Section 42.2 - Lessee may request changes to the Annual Schedule by written notification to the
Department of Parks and Public Works. All changes should be made in writing no later than 30 days
prior to the effective date of the change.
5. Section 42.3 - Caters and vendors must provide proof of a business license and a certificate of
Insurance, per the Town’s requirements, to the Parks and Public Works Department for validation 30
days prior to a scheduled event.
6. Section 42.4 - Events using amplified sound systems are required to obtain a Sound Amplification
Permit from the Los Gatos-Monte Sereno Police Department.
7. 42.5 - For the duration of the agreement Lessee shall maintain a valid Environmental Health Permit
to serve prepared food and drinks to the public.
8. 42.6 - Events which will include the use of enclosures for cooking with propane fuel must arrange
for inspection by the Santa Clara County Central Fire Department.
9. 42.7 - Events serving alcoholic beverages must obtain a One-Day Liquor Permit from the
Department of Alcoholic Beverage Control and be approved by the Chief of Police.
10. Section 43 – Parking - Town shall have exclusive rights to parking fees associated with the specific
use of Oak Meadow Park parking lots during daily and special events hosted by Lessee.
11. Section 44 - Temporary Signage - Lessee shall be permitted to install temporary signage on the
premises upon approval of an application to the Town of Los Gatos Planning Department pursuant
to the provisions of Section 29.10.120 (4) Event Signs of the Town Code.
12. Section 45 – Payments - Lessee shall make all payments, whether or not invoiced by the Town,
required pursuant to this Agreement no later than July 1st of each year that such payments are due.
All other terms and conditions of the Lease Agreement shall remain in full force and effect.
CONCLUSION:
Staff recommends that the Town Council authorize the Town Manager to execute a First Amendment to
the Lease Agreement between the Town of Los Gatos and Billy Jones Wildcat Railroad.
COORDINATION:
The amendment to the agreement has been coordinated with the Town Attorney.
PAGE 3
MAYOR AND TOWN COUNCIL
SUBJECT: AUTHORIZE THE TOWN MANAGER TO EXECUTE A FIRST AMENDMENT TO
THE LEASE AGREEMENT WITH BILLY JONES WILDCAT RAILROAD
JUNE 13, 2016
ENVIRONMENTAL ASSESSMENT:
This is not a project defined under CEQA, and no further action is required.
FISCAL IMPACT:
This amendment is anticipated to have no effect on the amount of revenue collected from Billy Jones
Wildcat Railroad Inc., which has averaged approximately $5,400 per year over the last 3 fiscal years.
Attachment:
1. First Amendment to Lease Agreement containing the original Lease Agreement and Exhibit B-1
FIRST AMENDMENT TO LEASE AGREEMENT
This FIRST AMENDMENT TO LEASE AGREEMENT is dated for identification this 21st
day of June, 2016 and amends that certain Lease Agreement dated June 6, 2011, made by and
between the Town of Los Gatos, ("Town,") and BILLY JONES WILDCAT RAILROAD INC.
(“Lessee”).
RECITALS
A. Town and Lessee entered into a Lease Agreement on June 6, 2011, (“Agreement”), a copy of
which is attached hereto and incorporated by reference as Attachment 1 to this Amendment.
B. Town desires to revise the lease provisions.
AMENDMENT
1. Section 1 Premises is amended to include:
Lessee shall have the use of the premises shown in Exhibit B-1 “Inventory of Buildings”,
attached hereto and incorporated herein by reference, to include the addition of the lawn area
adjacent to the carousel building. A drawing depicting the premises is included.
Annually, Town reserves the right to use the lawn area for Town sponsored events. Town
shall maintain associated irrigation within the lawn area for the duration of this agreement.
Any changes to the grounds should be made in writing no less than 30 days prior to the
effective date of the change to the area. Lessee shall not block or close the existing pathway
across from the lawn at any time.
2. Section 12 Signs and Marketing is amended to include:
For Town co-sponsored events, all Lessee marketing materials must be approved by the
Town Manager.
3. Section 42 Special Events Fees is added to include:
42.1 No later than October 1st of each year this agreement is in force, Lessee and Town
staff shall meet to develop an annual schedule of special events for the following
calendar year. The annual special event fee shall be determined by the total number
of events requested by Lessee.
42.2 Lessee may request changes to the Annual Schedule by written notification to the
Department of Parks and Public Works, but shall endeavor to minimize changes to
the schedule during each calendar year. All changes should be made in writing no
less than 30 days prior to the effective date of the change. The Town shall have sole
authority to approve the Annual Schedule and any requested changes to Annual
Schedule.
42.3 Caterers and vendors must provide proof of a business license and a Certificate of
Insurance, per the Town’s requirements, to the Parks & Public Works Department for
validation 30 days prior to a scheduled event. Any unauthorized caterers and vendors
will be removed from the park.
ATTACHMENT 1
First Amendment to Lease Agreement
Billy Jones Wildcat Railroad Inc.
June 21, 2016
42.4 Events using an amplified sound system for voice or music require a Sound
Amplification Permit from the Los Gatos-Monte Sereno Police Department -
http://www.losgatosca.gov/police or (408) 354-6853.
42.5 For the duration of this agreement Lessee shall maintain a valid Environmental
Health Permit through the Department of Environmental Health Consumer to
serve prepared food and drinks to the public at Oak Meadow Park.
42.6 Events which will include the use of a tent or canopy or cooking with propane fuel
must arrange for an inspection by the Santa Clara County Central Fire Department
www.sccfd.org or (408) 378-4010.
42.7 Events which will serve and/or sell alcohol must obtain a One-Day Liquor Permit
from the Department of Alcoholic Beverage Control and approval from the Chief of
Police www.abc.gov or (408) 277-1200.
4. Section 43 Parking Fee Collection is added to include:
Town shall have exclusive rights to parking fees associated with the specific use of Oak
Meadow Park parking lots during daily and special events hosted by Lessee. The Town will
provide parking control support during normal park hours at no cost to the Lessee.
5. Section 44 Temporary Signage is added to include:
Lessee shall be permitted to install temporary event signage on the premises upon approval
of an application to the Town of Los Gatos Planning Department pursuant to the provisions
of Section 29.10.120 (4) Event Signs of the Town Code. Lessee shall be eligible for
temporary event signage. All temporary event signage must include the Billy Jones Wildcat
Railroad logo of such size and placement that it is clear that the signage is for a program or
activity sponsored by Lessee. Town shall charge a single temporary signage fee for each
year. Banners associated with Lessee special events shall be pre-approved.
6. Section 45 Payment is added to include:
Lessee shall make all payments, whether or not invoiced by the Town, required pursuant to
this Agreement no later than July 1 of each year that such payments are due. All payments
shall be mailed by first class or delivered in person at Town offices and addressed as follows:
Town of Los Gatos
Attn: Finance Department
P.O. Box 655
Los Gatos, California 95030
All other terms and conditions of the Agreement remain in full force and effect.
First Amendment to Lease Agreement
Billy Jones Wildcat Railroad Inc.
June 21, 2016
IN WITNESS WHEREOF, the Town and Lessee have executed this Amendment.
Town of Los Gatos by: Billy Jones Wildcat Railroad by:
_______________________________ ______________________________
Laurel Prevetti, Town Manager
______________________________
Title
Recommended by:
_______________________________________
Matt Morley
Director of Parks and Public Works
Approved as to Form:
s Gatos, California
______________________________
Robert Schultz, Town Attorney
First Amendment to Lease Agreement
Billy Jones Wildcat Railroad Inc.
June 21, 2016
ATTACHMENT 1
First Amendment to Lease Agreement
Billy Jones Wildcat Railroad Inc.
June 21, 2016
First Amendment to Lease Agreement
Billy Jones Wildcat Railroad Inc.
June 21, 2016
First Amendment to Lease Agreement
Billy Jones Wildcat Railroad Inc.
June 21, 2016
First Amendment to Lease Agreement
Billy Jones Wildcat Railroad Inc.
June 21, 2016
First Amendment to Lease Agreement
Billy Jones Wildcat Railroad Inc.
June 21, 2016
First Amendment to Lease Agreement
Billy Jones Wildcat Railroad Inc.
June 21, 2016
First Amendment to Lease Agreement
Billy Jones Wildcat Railroad Inc.
June 21, 2016
First Amendment to Lease Agreement
Billy Jones Wildcat Railroad Inc.
June 21, 2016
First Amendment to Lease Agreement
Billy Jones Wildcat Railroad Inc.
June 21, 2016
First Amendment to Lease Agreement
Billy Jones Wildcat Railroad Inc.
June 21, 2016
First Amendment to Lease Agreement
Billy Jones Wildcat Railroad Inc.
June 21, 2016
First Amendment to Lease Agreement
Billy Jones Wildcat Railroad Inc.
June 21, 2016
First Amendment to Lease Agreement
Billy Jones Wildcat Railroad Inc.
June 21, 2016
First Amendment to Lease Agreement
Billy Jones Wildcat Railroad Inc.
June 21, 2016
First Amendment to Lease Agreement
Billy Jones Wildcat Railroad Inc.
June 21, 2016
First Amendment to Lease Agreement
Billy Jones Wildcat Railroad Inc.
June 21, 2016
First Amendment to Lease Agreement
Billy Jones Wildcat Railroad Inc.
June 21, 2016