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HomeMy WebLinkAboutCOW 2005-10-24 Item 4B - Lease Agreement - Amendment for Neighborhood Resource Center (NRC) at 14661 Tukwila International Boulevard ,r;LA COUNCIL A GENDA SYNOPSIS ti y 5 Imtrals ITEM No. P� ti I l leetin Date 1 Prepared by 1 Mayor 3 !mew Councd review ;0,' 10/24/05 1 RAB rsoa 1 I ITEM INFORMATION CAS NUMBER. 05-138 (Ref. 05-109) I ORIGINAL'AGENDADATE. 10/24/05 AGENDA ITEM TITLE Amendment to lease agreement for Neighborhood Resource Center CATEGORY Discussion motion Resolution Ordinance Bid Award Public Heanng Other 10/24/05 Mtg Date Mtg Date Mtg Date Mtg Date illtg Date Mtg Date rlltg Date SPONSOR Council tllayor Adm Svcs DCD Finance Fire Legal P&TR Police PTV SPONSOR'S Lessor has requested a different termination clause than was approved by Council in SUMMARY August. REVIEWED BY COW Mtg CA &P Cmte F &S Cmte Transportation Cmte Utihttes Cmte Arts Comm. Parks Comm. Planning Comm. DATE. 10/17/05 RECOMMENDATIONS: SPONSOR /ADMIN Discuss and forward to Regular Meeting for action COMMITTEE COST IMPACT FUND SOURCE EXPENDITURE REQUIRED AMOUNT BUDGETED APPROPRIATION REQUIRED Fund Source Comments MTG. DATE 1 RECORD OF COUNCIL ACTION 1 MTG. DATE ATTACHMENTS 10/24/05 Memo to Finance Safety Committee dated 10/12/2005 Lease Agreement Finance Safety Committee Minutes f MEMORANDUM TO: Finance and Safety Committee FROM. r' I //- ~~ Rhonda Berrv,... J~_:"-'" ~'l,-'- October 12', 2005 DATE: SUBJECT: Lease Agreement Neighborhood Resource Center On August 1, the Council approved a new lease agreement for property located at 14661 Tukwila International Boulevard, commonly referred to as the Neighborhood Resource Center (NRC). A new agreement was necessitated by the expIratlOn of the prior lease, which had been amended and extended several times. City Staff spoke with the property owner and sent him a draft copy of the lease agreement for review prior to Committee consideration m July. Other than a $200 per month increase in the lease rate, no other changes were suggested by Mr. O'Brien. Once the agreement was fonnally approved by Council and sIgned by the Mayor, Mr. O'Brien was contacted to obtain his signature. On September 20, we received a facsimile copy of the agreement, with amendments, ITom the property owner. Smce the tenns requested by Mr. O'Brien differ from those approved by Council, we present them for Committee review and recommendation to the full Council. Mr. O'Brien's amendments are in Section 2. Tenn, and Section 12. Tennination. He requests that notice of lease terminatlOn or extension be given by the City 60 days prior to the end of the lease period. In other words, the City must notify him in the 16th month of our intent to extend or tenninate the lease, and once the lease is extended we would not be able to tenninate until the 16th month of the 18th month extenSIOn. Staff will be at the committee meeting should addItional mfonnation is needed. Sep 20 05 11~43a Appliance Distributors _- V"I J al ~uu:> 14' 34 FAX 206 433 1833 Ci ty of 1'ukwila 2062448716 p.2 GJ 002/Q03 IG 05- 082 LEASE AGREEMENT This Lease is made and entered into by and bc~\Veen the Clty ofTukwtla ("Clty"), lesse~ and Timothy O'Brien (O'Brien), lessor. 1. Premises. O'Brien hereby leases to the City the upper main floor, outside yard, and parking spaces along the west dtiveway at 1466l Tttkwila Intemational Boulevard, City of Tukwila. King County, Stat.e.ofWas~ington. 2. Term. The term of this Lease shall be for eighteen (18) months starting on the first day of the month after both parties have signed thIS Lease. At the option of the City, this Lease maybe extended for an additional eighteen (18) months \\11TH A fl-,c>)}.A-Y NDTI tE. ~ . 3. Rent. The City shall pay O'Brien One Thousand Four Hundred Dol1ars and Noll 00 ($1,400.00) a month f01' the' lease afthe premises. 4. Utilities. O'Brien shall timely pay for all costs, expenses. fees, services, and charges of all kmds [or heat, light, air conditioning, electricity, water, sewer and garbage. The City shalI _pay for telephone and any other utility. 5. Repairs and Maintenance. The City accepts the premises herem leased in its present condition, and agrees to repair and maintain said premises in its present condition, ordinary wear and lear and damage by .fire or the clements excepted. 6. Access. O'Brien shall have the righllo enter the premises at all reasonable times.. fur the purposes of mspec110n or for making repairs, additions or alteratlOns after provldmg the City advanced wntten notice of at least twenty four (24) hours. 7. Dama~e and Destruction. In the event the prcmise$ are rendered untt:::Hautable in whole or in part by fire, the elements, or other casualty, the City at Its option, may vacate the premises and terminate this Lease. 8. Indemnification, Each party agrees to protect, defend, appear, save hannless. and indemnify the other party from and against all c1aims, suits and actiQns arising from the intentional or negligent acts or omission of such party, its agents or employees in the perfonnance. of thlS Lease, 9 Insurance. The City agrees to rnai~tain public habihty insurance on the p.remiws- in the minimum limit of $25,000 for property damage and the minimum of $1 00,000/$300,000 for bodily mjuries and death, The City sha1l fumish O'Brien a certificate indicating that the insurance policy is in full force and effect and that the policy may not be cancelled. unless ten (10) days prior written notice of the proposed cancellatIOn has been given to 0 'Brren, Jst Df d- L~ D! C! hi /\ f C ~ ! \ I l) ~ { \~ 1\-\ L....0 LEASE AGREEMEN'T - 1 SeF 20 05 11:43a '09/15/2005 14:35 F.~X ApFliance 206 433 1833 Distributors Cit;r of Tu1{wila 2062446716 p'.3 [fJ 003/003 10 NotIces. Notlces to the City of TukwIla shal1 be s~nt to the folloWIng address City Clerk CIty ofTukwila 6200 Southcenter Boulevard Tukwlla, W A 98188 Notices to O'Bnen shall be sent to the following address 11. BInding on Heirs. Successors and Assigns. This Lease shall be bmdmg upon the helTs, executors, administrators, successors and aSSJgns of both parties hereto ~ ~ I~. --r~INk11l>N: A,...-rn~ ~b DF''THJ2 FiI<s.-r~1i of ~I&-I-I'f~ (jg.J HDN1U~ ~ u ~ . . L The City may terminate this lease by giving O'Brien sixty (60) days. . written notice of the City's intent to telmmate 13 Entire Lease. This Lease contains aJl of the terms and conditions agreed upon by the. parties. The partIes agree that there are no other understandmgs. oral or otherwise regarding the subject matter of the Lease. No changes or modifications of this Lease shall be valiJ or binding upon either party to this Lease unless such changes 01' modifications are 111 wriling and executed by botb parties. 14. Venue This Lease has been and shall be construed as having b~n made and delIvered within the State of Washington, and It IS mutually understood and agreed by the parties h.ereto that this Lease shall be governed by the laws of the State of Washington, both as to interpretation and perfonnance. Any action for the enforcement of this Lease, or any provision contained herein, shall by instJtuted and maintained on]y in King County, Washington DATED this I;; th day of /}uq. ' 20 (J5. CITY OF TUKWILA ~~,v, ~\..) 'tV) ~.Jl0...t-- -- Steven M. Mullet, Mayor O'BRIEN By: { L~og~~ Printed Name: Title: Attestl Authenticated: Approved as to Fom1: ~ -fl. &olwG ~ Jane E. Cantu, CMC, City Clerk p--"', ~ :-"_ ~.:.~~:' ;';;:;_,.d'-.;("~?;::::::_. Office of the City Attomey LEASE AGREEMENT - 2 Finance and Safety Committee October 17, 2005 Present: Dave Fenton, Chair; Pam Carter, Jim Haggerton Judge Walden, VIkl Jessop, Mary MIOtke, Derek Speck, Kevm Fuhrer, Rhonda Berry, Shelley Kerslake, Jane Cantu, Lucy Lauterbach 1. A Resolution Regarding Unclaimed PropertY. Annually unclaImed CIty checks are wntten off after the CIty tnes to find check recIpIents to gIve them theIr money Pam C asked that the resolutIOn be changed to dIfferentiate between unredeemed Items that can be wntten off after one year or after two years. MUlllcIpal court checks, gIft certIficates, clamllpayroll checks all make up the unredeemed funds. Resolution with changes recommended to that evening's meeting. 2. Resolution Regarding \Vrite-Off of Uncollected Accounts Receivable Just as the CIty reclaims unredeemed checks, so too does the cIty annually write off checks they believe they have little to no chance of collectmg on. NotIces are sent to those who owe the CIty money, and after second notices are sent, the matter IS then sent to a collection agency. After a tIme those are abandoned when they do not produce results. Recommend resolution writing off returned checks and accounts receivable to that evening's meeting. 3. Resolution Regarding Initiative 900 This mltIatIve would reqUIre performance audits of state, local and educatIOn governments. It would do so through requmng that nme elements applicable to state agencIes be applIed, regardless of whether It was a county or city that was bemg looked at. The cost of audIts would largely be borne by local governments, as the amount of state sales tax allocated to thIS effort IS mmlmal compared to the cost. There IS no appeal for any audit findmgs, and it could be that audIts could be used for polItIcal gam, as there IS no order of who wIll be audIted when or for what reason, Audits of state agencIes were mandated by the LegIslature last SessIOn, As detailed in the ImtIatIve, performance audits are much more subjective than the financIal audIts the CIty has done each year. Recommend resolution opposing Initiative 900 to Council that evening. ..y 4. Lease Agreement Neighborhood Resource Center In August the CouncIl had received a /1" copy of the lease agreement that had also been gIven to the owner of the leased property. After the Council and AdmIlllstration had approved the agreement, It was sent back to the owner. He then decIded a provisIOn related to termmatmg the agreement should be changed, and he lImIted that opportumty to the last two months of an eIghteen- month term. The commIttee dId not agree wIth the change. Refer issue to CO\V. 5. 2006 Budget The commIttee revIewed the revenues, CouncIl, Mayor, Clerk, Fmance, IT and AdministratIve Services budgets, as well as two CommissIOn budgets Recommend to that evenim!:'s budget. --.//"7 ~~, ~.-~ ~ , -;./. / ---.-- i /0- Committee chair approval Minutes by L. Lauterbach