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Home My WebLink About01/03/1995, C-7 - CHILDREN'S MUSEUM LEASE AMENDMENT1111 {� {� ► ►I „,Illlln�l�ll�l�l 1 MEETING GATE: Iu II I►{�uil city o san L"Is oBispo COUNCIL AGENDA REPORT ITEM NUMBER: FROM: Ken Hampian, Assistant City Administrative Officer 14-' ' Prepared by: Deb Hossli, Administration SUBJECT: Children's Museum Lease Amendment CAO RECOMMENDATION: By motion, authorize the Mayor to execute an amended agreement with the Children's Museum for the use of City property located at 1010 Nipomo Street DISCUSSION: The City received a request from the Children's Museum to modify the agreement the City and the Children's Museum hold for the use of the. City's 1010 Nipomo Street property. Specifically, the Children's Museum would like the City to add a "mutual waiver of subrogation” clause to the agreement. The purpose of this clause is to make clear that the City and the Children's Museum both waive any rights to recover from each other losses resulting from property damage to the building located on the 1010 Nipomo Street site. Staff has reviewed the Children's Museum request to add a subrogation clause to the agreement Based on this review, staff has concluded that the addition of a subrogation clause will merely clarify the City's and the Children's Museum's intentions in the event that the building is damaged beyond repair and will not compromise the City from a risk management perspective. As such, staff recommends that the subrogation clause be added to the agreement. CONCURRENCES: The Children's Museum has reviewed this report and concurs with its content. FISCAL IMPACT: Approval of this recommendation will not result in any additional costs to the City. ATTACHMENTS: 1 - Legislative Draft 2 - Children's Museum Agreement C -7 -I LEGISLATIVE DRAFT 16.. The Children's Museum certifies that it is aware of the provisions of the Labor Code of the State of California, which require every employer to be insured against liability for workers compensation or to undertake self- insurance in accordance with the provisions of that Code, and it certifies that it will comply with such provisions throughout the term of this agreement. 17. The Children's Museum hereby agrees to indemnify and save harmless the City, its officers, agents, and employees against: A. Any and all claims and demands which may be made against the City, its officers, agents or employees by reason of any injury or death of any person or corporation caused by any negligent act or omission of the Children's Museum under this agreement or of the Children's Museum's employees or agents; B. Any and all claims and demands which may be made against the City, its officers, agents, or employees by reason of any injury to or death of or damage suffered or sustained by an employee or agent of the Children's Museum under this agreement, however caused, excepting, any such claims or demands which are the result of the negligence or willful misconduct of the City, its officers, agents, or employees; C. Any and all claims and demands which may be made against the City, its officers, agents or employees by reason of infringement or alleged infringement of any patent rights or claims caused by the use of any apparatus, appliance, or materials furnished by the Children's Museum under this agreement; and D. Any and all penalties imposed or damages sought on account of the violation of any law or regulation or of any term or condition of any permit, when said violation of any law or regulation or of any term or condition of any permit is due to negligence on the part of the Children's Museum. C-1-0, by in the agents, eF empleyees, eeeupiedOF used eF eeFe, eustedy,--ef children's Museum, 6H zvthe f the Ghild'.,"'� eeRtFerv'4r-the - OF PFeximity site B. Any and all claims and demands which may be made against the City, its officers, agents, or employees by reason of any injury to or death of or damage suffered or sustained by an employee or agent of the Children's Museum under this agreement, however caused, excepting, any such claims or demands which are the result of the negligence or willful misconduct of the City, its officers, agents, or employees; C. Any and all claims and demands which may be made against the City, its officers, agents or employees by reason of infringement or alleged infringement of any patent rights or claims caused by the use of any apparatus, appliance, or materials furnished by the Children's Museum under this agreement; and D. Any and all penalties imposed or damages sought on account of the violation of any law or regulation or of any term or condition of any permit, when said violation of any law or regulation or of any term or condition of any permit is due to negligence on the part of the Children's Museum. C-1-0, AGREEMENT BETWEEN THE CITY OF SAN LUIS OBISPO AND SAN LUIS OBISPO'S CHILDREN'S MUSEUM FOR USE OF CITY PROPERTY AT 1010 NIPOMO STREET This Agreement entered into this day of 1992, between the City of San Luis Obispo (herein referred to as "City ") and the San Luis Obispo Children's Museum, a non - profit organization (herein referred to as "Children's Museum "). WITNESSETH WHEREAS, the City is the legal owner of the property located at 1010 Nipomo Street in the City of San Luis Obispo as shown on Exhibit "A "; WHEREAS, the City has allowed the Children's Museum to operate a children's museum on this site since September of 1990; WHEREAS, the City considers continued use of this property by the Children's Museum to be in the public interest and an appropriate complement to the Mission Plaza and its activities; WHEREAS, the City is willing to continue to allow San Luis Obispo Children's Museum to use the property until the Little Theater has accumulated sufficient funds (as defined in a separate agreement between the Little Theater and the City) to commence construction of the community theater ultimately planned for the site; NOW, THEREFORE, in consideration of the mutual covenants, conditions, promises, and agreements herein set forth, the City and Museum hereby agree to the following terms and conditions for use of this property: TERMS 1. The City will allow the Children's Museum to use City owned property located at 1010 Nipomo Street in San Luis Obispo to operate a Children's Museum for the term of this agreement. 2. The term of this agreement shall begin on November 17, 1992 and terminate on December 31, 1995, unless both parties mutually agree in writing to an extension, termination, or revision. In addition, with City Administrative Officer approval, the Children's Museum will be able to extend this agreement in one year increments, until such time that the Little Theater can demonstrate that it has surpassed its fundraising threshold as defined in a separate agreement between the City and the Little Theater. This threshold shall be established at a level that assures adequate funds are available to actually construct the theater project. allow the City to use the balance of the property as a staging area during bridge construction. 12. The Children's Museum agrees to allow the City to place and maintain a storage facility on the eastern portion of the property to store equipment and supplies for Mission Plaza. 13. The City reserves the right to terminate this agreement by notifying the Children's Museum in writing six months prior to termination should the City need the property for official City business. 14. The Children's Museum agrees to provide proof of insurance in accordance with the requirements established in Exhibit B attached hereto and incorporated herein by reference. 15. The City and the Children's Museum each hereby release and relieve the other, and waive their entire right of recovery against the other, for direct or consequential loss or damage arising out of or incident to the perils covered by property insurance carried by such party, whether due to the negligence of the City or the Children's Museum or their agents, employees, contractors and /or invitees. 16. The Children's Museum certifies that it is aware of the provisions of the Labor Code of the State of California, which require every employer to be insured against liability for workers compensation or to undertake self - insurance in accordance with the provisions of that Code, and it certifies that it will comply with such provisions throughout the term of this agreement. 17. The Children's Museum hereby agrees to indemnify and save harmless the City, its officers, agents, and employees against: A. Any and all claims and demands which may be made against the City, its officers, agents or employees by reason of any injury or death of any person or corporation caused by any negligent act or omission of the Children's Museum under this agreement or of the Children's Museum's employees or agents; B. Any and all claims and demands which may be made against the City, its officers, agents, or employees by reason of any injury to or death of or damage suffered or sustained by an employee or agent of the Children's Museum under this agreement, however caused, excepting, any such claims or demands which are the result of the negligence or willful misconduct of the City, its officers, agents, or employees; C. Any and all claims and demands which may be made against the City, its officers, agents or employees by reason of infringement or alleged infringement of any patent rights or claims caused by the use of any apparatus, appliance, or materials furnished by the Children's Museum under this agreement; and C -1 -5 3. The City will schedule a minimum of two meetings annually between the Children's Museum, the Little Theater and the City to review the Little Theater's fundraising progress and other issues so that future planning among the organizations can be coordinated and maximized. This will also help to insure that the Children's Museum has ample time to anticipate and plan for any necessary relocation. 4. In recognition of the benefits the Children's Museum provides the community, the City agrees to provide the Children's Museum the use of site for $1 per year, payable on the anniversary date of this agreement each year. 5. The Children's Museum agrees to accept the building in its present condition. The costs to remodel or repair the building to maintain the structure as a museum shall be borne solely by the Children's Museum and includes but is not limited to interior improvements, exterior painting, hardscape, deck and fencing, and screening of temporary storage. 6. The Children's Museum agrees to assume full responsibility for insuring that the facility complies with the requirements of the Americans with Disabilities Act. 7. The Children's Museum agrees to obtain permission in writing from the City Administrative Officer before embarking on any remodel activities that exceed $10,000 in value. 8. The Children's Museum agrees to keep the museum open to the public a minimum of twenty hours per week. 9. The City agrees to provide routine weekly maintenance of the exterior grounds (e.g., cleaning parking lot and walkways, picking up trash and weeding, etc.) and the natural vegetation along the adjacent creek bank. 10. The Children's Museum agrees to maintain the facility in a first class condition at all times. This includes maintaining and cleaning the building interior, exterior, and any landscaping associated with a Children's Museum exhibit (e.g., an herb garden, etc.). 11. The Children's Museum acknowledges that the City intends to replace the Nipomo Street Bridge at some point during the term of this agreement, and as such, accepts that said replacement may cause disturbances, may impact hours of operation, and will require the Children's Museum at its own expense to reroute the walkway to the existing entrance for the Museum during the construction phase of the project. In turn, the City agrees at City expense to restore the walkway to Nipomo Street upon completion of the project and make every reasonable effort to minimize the impact of the bridge replacement project on the Children's Museum operation, consistent with the City's need to complete the project expeditiously. In addition, the Children's Museum agrees to allow the City to install temporary fencing at City expense along the revised access walkway to the museum and patio area and C-07-4 D. Any and all penalties imposed or damages sought on account of the violation of any law or regulation or of any term or condition of any permit, when said violation of any law or regulation or of any term or condition of any permit is due to negligence on the part of the Children's Museum. The Children's Museum, at its own costs, expense, and risk shall defend any and all suits, actions, or other legal proceedings that may be brought against or for employees on any such claim or demand of such third persons, or to enforce any such penalty, and pay and satisfy any judgement or decree that may be rendered against the City, its officers, agents, or employees in any such suit, action, or other legal proceeding, when same were due to negligence of the Children's Museum. Children's Museum Director Director City of San Luis Obispo Mayor Attest: City Clerk Approved: 0w,cl._� 6 CL, P?Vf to City Att rney (2 -77 —