Loading...
HomeMy WebLinkAbout8381-8399RESOLUTION NO. 8399 (1995 Series) A RESOLUTION OF THE CITY COUNCIL OF SAN LUIS OBISPO GRANTING APPROVAL OF AN ADJUSTMENT BETWEEN TWO LOTS AT 2046 SWAZEY STREET (LLA 8 -95) BE IT RESOLVED by the Council of the City of San Luis Obispo, as follows: SECTION 1. Findings. The Council, after consideration of the proposed lot line adjustment (LLA 8 -95), and staff recommendations and reports thereon, makes the following findings: 1. The lot line adjustment is consistent with the City's zoning ordinance and building code. 2. The resulting lots are physically suited for the type and density of development allowed in the R -2 zone. 3. The design of the lot line adjustment will not conflict with easements for access through or use of property within the proposed subdivision, providing the sewer easement is officially recorded. SECTION 2. Environmental Determination. The Community Development Director has determined that the proposed tot line adjustment is exempt from environmental review, pursuant to Section 15305 (a) of the California Environmental Quality Act. The City Council hereby concurs with the exemption. SECTION 3. Exception to Lot Design Standards. Approval of an exception to allow lots with depths of 68 and 72 feet where; 90 feet is the minimum required lot depth is hereby granted based on the following findings: 1. The subject property is of such size and shape, and is affected by such topographic conditions, that it is impractical and undesirable in this particular case to conform to the strict application of the subdivision regulations. 2. The cost to the subdivider of strict or literal compliance with the regulations is not the sole reason for granting the exceptions. 3. Granting an exception to the minimum lot depth standard will not be detrimental to the public health, safety, and welfare, or be injurious to other properties in the vicinity. 4. Granting an exception to the minimum.lot depth standard is in accord with the intent and purposes of subdivision and zoning regulations, and is consistent with the general plan. i... Draft Resolution for Approval LLA 8 -95, 2046 Swazey Street SECTION 4. Condition. The approval of the lot line adjustment shall be subject to the following condition: 1. The subdivider shall submit a Declaration of Lot Line Adjustment and a sewer line easement, along with recording and processing fees to the City Engineer for review, approval, and recordation. On motion of Romero , seconded by Williams and on the following roll call vote: AYES: Council Members Romero, Williams, Roalman, Smith and Mayor Settle NOES: None ABSENT: None the foregoing resolution was passed and adopted this 7th day of ATTEST: Q J� 1 erk Dia a R. C dwell APPROVED: r March Mayor Allen K. Settle 1995. i l r� 1 1 RESOLUTION NO8398(1995 Series) ESTABLISHMENT OF THE CITY LEGISLATIVE ACTION PROGRAM . AND PRIORITIES FOR 1995 WHEREAS, it is vital to the fiscal health and the self determination of the City to effectively communicate with State legislators and Federal representatives in order to favorably influence the adoption of State and Federal legislation, regulations and grant requests; and WHEREAS, the League of California Cities conducts an effective legislative analysis and influential advocacy program on behalf of cities for State issues and major Federal issues; and WHEREAS, with four County Supervisors representing different portions of the city, it is imperative that the City develop an improved system for regular communication with the Board of Supervisors and north county agencies; and WHEREAS, the City desires to be proactive and involved in the governmental decision making processes directly affecting the City legislative priorities identified in Exhibit "A" and other selected issues as recommended by the League of California Cities; and WHEREAS, the City must have an efficient process in place which allows for a rapid response that effectively communicates the interests of the City to other officials; and WHEREAS, a key component of the City's Legislative Action Program is face -to- face meetings between City representatives and elected officials at the Federal, State and, in particular, County levels, and coordination with similar efforts made by other local government entities. R -8398 Page Two Resolution No.8398 (1995 Series) NOW, THEREFORE, BE IT RESOLVED, that the City Council of the City of San Luis Obispo does hereby establish the Legislative Action Priorities for 1995 to take positions on legislation generally consistent with the resolutions and recommendations of the League of California Cities and inclusive of the legislative priorities identified in Exhibit A attached hereto. Upon motion of Vice Mayor Romero , seconded by Council Member Smith and on the following roll call vote: AYES: Council Members Romero, Smith, Roalman, Williams, and Mayor Settle NOES: None ABSENT: None the foregoing resolution was adopted this ATTEST: A 1 erk Diane R ClaZell APPROVED: 1(14L /� iitt•tpegrey G. Jorgensen 7th day of March 1995. MAYOR ALLE SETTLE ■ Requiring funding of federally mandated programs, including new water /wastewater regulations, or eliminating such ;mandates ■ Promoting continued and increased funding sources for transportation ■ Obtaining new funding sources to expand low and moderate income housing ® Supporting legislation to transfer ownership of Salinas Reservoir to the County of San Luis Obispo, if necessary ■ Supporting legislation on coastal preservation ■ Supporting legislation that provides regulatory reliefito local government in complying with the Fair Labor Standards Act and overtime provisions for exempt employees ■ Supporting continued funding for the Land and Water Conservation Grant iProgram FINANCE ■ Balancing the State Budget without further losses to City revenues ■ Supporting efforts to protect the City from loss of revenues due to State mandates ■ Supporting legislation that strengthens opportunilties for local fiscal independence COMMUNITY DEVELOPMENT ■ Opposing mandated State approval of local General Plan Elements, such as implementing, and compliance with, State General Plan Housing Element law ■ Promoting funding sources to encourage the retro- fitting of un- reinforced masonry buildings �J II i Page 2 PUBLIC SAFETY ■ Repealing legislation that requires cities to pay booking fees (SB 2557)• ■ Preserving City's authority to investigate police misconduct ■ Preserving City's authority to establish emergency medical service levels ■ Increasing City authority to regulate group homes for juvenile offenders ■ Continuing support for disaster prepared ness/earthiq uake awareness ■ Supporting grant requests for Regional Hazardous Material Response Team, disaster preparedness, and training facility ■ Supporting efforts to secure higher levels of cost recovery for DUI's. ■ Supporting efforts to expand the scope of parental responsibility for crimes committed by minors ■ Supporting efforts to provide the Governor with authority to override the parole board when anyone convicted of a violent offense is proposed to be released on parole TRANSPORTATION ■ Changing gas tax laws to allow local tax for transportation purposes based on a majority vote of the public (ESTF recommendation) I ■ Increasing transportation funding (including transit; bicycles, others) i PERSONNEL/EMPLOYEE RELATIONS ■ Further reforming Worker's Compensation ■ Preserving the fiscal integrity of PIERS ■ Opposing binding arbitration and expansion of the "Peace Officers' Bill of Rights" ■ Monitoring employee healthcare /benefit changes �I Page 3 PUBLIC WORKS ■ Redefining prevailing wages as "average" local wages ■ Streamlining Federal and State process for funding street projects i PARKS AND RECREATION ■ Supporting recreational programming, particularly community child care program development and incentives ■ Supporting funding for: protection of natural resources (e.g., the Morros), open space, and parks development ■ Supporting efforts to streamline regulatory requirements associated with. child care and aquatic programs UTILITIES i ® Providing funding for reclaimed water programs I ■ Supporting clean water grant programs ■ Supporting efforts to enhance local government's ability to comply with solid waste requirements . ■ Reaching agreement with the County and north county communities on solutions for Salinas Reservoir expansion and Nacimiento pipeline projects ■ Promoting consistency between the City and County General Plans, especially by opposing urban -like development in areas adjacent to the City limits, and establishing stronger greenbelt protection. policies I ■ Resolving annexation tax transfer issues (in conjunction with other cities) with the County and establishing a consistent countywide policy ■ Increasing local funding of the Transit Transfer Center ■ Retaining County offices in the downtown area ■ Revising local emergency medical service response', ■ Improving regional solid waste management r Page 4 ■ Developing cooperative approaches for providing services on a regional basis ■ Effectively and cooperatively implementing the Community Development Block Grant Program ■ Streamlining and consolidating hazardous materials inspection, permit and fee programs i g:legact J � �-'J S RESOLUTION NO. 8397 (1995 SERIES) A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN LUIS OBISPO APPROVING THE 1994 -1995 ANNUAL CLAIM FOR TRANSPORTATION DEVELOPMENT ACT FUNDS TOTALING $913,584 WHEREAS, the San Luis Obispo Council of Governments ("SLOCOG") has allocated $913,584 of Local Transportation Fund subventions, which includes Transportation Development Act and State Transit Assistance funds, to the City of San Luis Obispo ( "City ") for approved transportation programs and projects; and WHEREAS, to receive this money, the City must file a claim with SLOCOG; NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of San Luis Obispo, as follows: 1. Approve the Annual Claim for Local Transportation Funds and State Transit Assistance Funds. 2. Authorize the Transit Manager to execute the claim documents. 3. Direct the City Clerk to forward one certified copy of this resolution to: San Luis Obispo Council of Governments 1150 Osos Street, Suite 202 San Luis Obispo, CA 93401 Upon motion of Vice Mayor Romero , seconded by Council Member Smith and on the following roll call vote: AYES: Council Members Romero, Smith, Roalman, Williams and Mayor Settle NOES : None ABSENT: None the foregoing resolution was adopted this 7th day March , 1995. Mayor Allen Settle ATTEST: Didne Gladwel City Clerk R -8397 RESOLUTION NO. 8397 (1995 Series) APPROVED: 95tdares /g/hw "� ��'` :�� ����c O ��`�`,y� �,,1 LpC��� � �� �n� ���� ��� � ',� -- . �. _ t , RESOLUTION NO. 8396 (1995 SERIES) A RESOLUTION OF THE COUNCIL OF THE CITY OF SAN LUIS OBISPO APPROVING THE FINAL MAP FOR TRACT NO. 2135 (Units 1 & 2) (Farm Road -San Luis, a Limited Partnership, Subdivider) WHEREAS, the City Council made certain findings concerning Tract 2135 as contained in Resolution No. 8158 (1993 Series), and WHEREAS, all conditions required per Resolution No. 8158 (1993 Series) for Tract No. 2135 have been met and /or are guaranteed under a Subdivision.Agreement (attached Exhibit "A") and surety to guarantee Faithful Performance ($ 1,966,500) and Labor & Materials ($ 983,250). NOW THEREFORE BE IT RESOLVED that final map approval is hereby granted for Tract No. 2135 (Units 1 & 2) and the Mayor is hereby authorized to approve the Subdivision Agreement. On motion of Council Member Williams seconded by Vice Mayor Romero and on the following roll call vote: AYES: Council Member Williams, Vice Mayor Romero, Council Members Roalman and Smith & Mayor Settle NOES: None ABSENT: None the foregoing Resolution was passed and adopted this 21st day o February 1995. j ATTEST: MAYOR Allen S "tle avk C04L CLERK Dian Gladwell APPROVED AS TO FORM: �"Av4itul� AT RN J frey Jorgensen G : \WP51 \DReview \Misc \T2135FM.rep R- 8'39(0 STANDARD SUBDIVISION AGREEMENT THIS AGREEMENT is dated this 21 st day of February, IIY Sa7]d between Farm Road - San Luis, Limited Partnership herein referred to as "Subdivider," and the CITY OF SAN LUIS OBISPO, herein referred to as the "City." RECITALS REFERENCE IS HEREBY MADE to that certain proposed subdivision of real property in the City of San Luis Obispo, County of San Luis Obispo, State of California, a description pf which is shown on the final map of Tract 2135 (Units 1 & 2), City of San Luis Obispo, California, as approved by the City Council on the 21 st day of February 1 1995 . The Subdivider desires that said Tract 2135 (Units -1 & 2) be accepted and approved as a final map pursuant to the Subdivision Regulations of the City of San Luis Obispo (Title 17 of the San Luis Obispo Municipal Cod),and It is a condition of said regulations that the Subdivider agree to install the improvements as set forth on the plans therefore. TERMS AND CONDITIONS: In consideration of the foregoing, the Subdivider does hereby agree to construct and install the following subdivision improvements in accordance with said subdivision regulations, and in accordance with approved plans and specifications on file in the office of the City Engineer, City of San Luis Obispo, to wit: 1 1. CURB, GUTTERS AND SIDEWALKS 2. STREET BASE AND SURFACING 3. WATER MAINS and SEWER MAINS, including sewer laterals to the property line and water services to the curb stop. 4. DRAINAGE STRUCTURES 5. ORNAMENTAL METAL ELECTROLIERS 6. ELECTRIC, GAS, TELEPHONE AND CABLE TELEVISION: In addition to the inspection and approval of such facilities by the City, each public utility shall be required to file a letter stating that the developer has properly installed all facilities to be provided by him, and that the said utility is prepared to provide service to residents upon request. 7. ANY & ALL OTHER IMPROVEMENTS shown on plans or required by City regulations. All of the above facilities shall be installed in the locations designated and to the plans and specifications on file and approved by said City Engineer. The lines and grades for all of said improvements shall be established by or under the direction of the Subdivider's Engineer of Record in accordance with said approved plans and specifications, who shall update plans during construction and provide "as- built" or record plans to the City at the end of construction, prior to release of bond or acceptance of the improvements. The Subdivider agrees to include the cost of this work in 'the contract for the design work with the project engineer, and shall advise the Engineer of Record when construction begins. The Subdivider agrees to inform the City in writing within ten (10) days of any reassignment of engineering responsibilities. Said notice shall include letters of concurrence from both the 2 Engineer of Record releasing responsibility and of the new engineer accepting responsibility. The Subdivider agrees that the work of installing the above improvements shall begin within thirty (30) days from the date of recording of the final map, and that the work shall be completed within eighteen (18) months of said recording date, unless an extension has been granted by the City,•provided that if completion of said work is delayed by acts of God or labor disputes resulting in strike action, the Subdivider shall have an additional period of time equivalent to such period of delay in which to complete such work. Any extension of time hereunder shall not operate to release the surety on the Improvement Security filed pursuant to this agreement. In this connection, the surety waives the provisions of Section 2819 of the Civil Code of the State of California. No building permits will be issued nor occupancy granted after the expiration date of the agreement until completion and acceptance of all public improvements unless specifically approved by the City. The Subdivider does also agree to comply with the conditions established by the Planning Commission and /or the City Council and has paid the necessary fees as indicated on the attached Exhibit 1. The restoration of lost section corners and retracement of section lines within the Subdivision shall be in accordance with Article 5, paragraph 8771 et seq., of the Professional Land Surveyors Act, Chapter 15 of the Business and Professions Code of the State of California. 3 The Subdivider attaches hereto, as an integral part hereof, and as security for the performance of this agreement, an instrument of credit or bond approved by and in favor of the City of San Luis Obispo, and conditional upon the faithful performance of this agreement. Said instrument of credit or bond is in the amount of $1,966,500.00, which is the amount of the estimated cost of said improvements. Subdivider agrees to remedy any defects in the improvements arising from faulty workmanship or materials or defective construction of said improvements occurring within twelve (12) months after acceptance thereof. In accordance with Sections 66499.7 and 66499.9 of the Government Code of the State of California, upon final completion and acceptance of the work, City will release all but 10% of the improvement security, that amount being deemed sufficient to guarantee faithful performance by the Subdivider of his obligation to remedy any defects in the improvements arising within a period of one year following the completion and acceptance thereof. Completion of the work shall be deemed to have occurred on the date which the City Council shall, by resolution duly passed and adopted, accept said improvements according to said plans and specifications, and any approved modifications thereto. Neither periodic nor progress inspections or approvals shall bind the City to accept said improvements or waive any defects in the same or any breach of this agreement. If the Subdivider fails to complete the work within the prescribed time, the Subdivider agrees that City may, at its 4 It option, declare the instrument of credit or bond which has been posted by Subdivider to guarantee faithful performance, forfeited and utilize the proceeds to complete said improvements, or city may complete said improvements and recover the full cost and expense thereof from the Subdivider or his surety. The Subdivider agrees to deposit with the City a labor and materials bond in the amount of 50% of the above described subdivision improvements in accordance with State law. Said Subdivider has paid the sum of $36,000..00, from which the City will pay the salary and expenses of an inspector or inspectors to inspect the installation of said subdivision improvements. Upon completion of the work, the Subdivider shall submit written certification that the work has been completed in accordance with the plans and specifications and requests acceptance of the work by the City. The Subdivider has paid for all labor and material costs (including normal overhead) incurred by City for installation by the City of all street name signs and traffic control signs and striping within the public rights -of -way per City and State regulations. Title 16 of the San Luis Obispo Municipal Code, entitled "Subdivision. "fall plans and specifications on file with said City Engineer as a part of said Subdivision Map, and all other documents filed with the City by the Subdivider and approved by the City Engineer are hereby referred to for further particulars in 5 interpreting and defining the obligations of the Subdivider under this agreement. It is understood and agreed by and between the Subdivider and the City hereto that this agreement shall bind the heirs, executors, administrators, successors and assigns of the respective Parties to this agreement. It is agreed that the Subdivider will furnish copies of the successful bidder's contract unit prices and total bid prices for all of the improvements herein referred to. IN WITNESS WHEREOF, this agreement has been executed by: CITY OF SAN LUIS OBIS ATTEST: ,-�h &AV K ao -4z - Y CLE AP PROVED AS . FORM: g \devreHmiso\2135-a9r by 2 SUBDIVIDER Farm Road -San Luis, L.P., A California Limited Partnership : Farm Road- San Luis General Partner, L.P. A California Limited Partnership. General Partner By Hearthstone Advisors, Inc. A California Corporation General Partner BPS ✓� Peter Zak , Sr. Vice President 0 I !nt r � EXHIBIT 1 SUBDIVISION AGREEMENT ATTACHMENT FOR TRACT 2135 (UNITS 1 & 2) Tract 2135 (Units 1 & 2 ) is a resubdivision of Lots 1 and 2 of Tract 1750 (Units 1 & 2). Although certain subdivision improve- ments have been installed as requirements of Tract 1750 (Units l & 2, including Islay Park) none of the improvements have been accepted by the City as complete. The attached subdivision agreement (Exhibit A) between Robin L. Rossi and the City of San Luis Obispo for Tract No. 1750 (Units 1 & 2) is hereby incorporated into this agreement, by reference, and all conditions of said agreement are therefore also conditions of Tract 2135 (Units 1 & 2) except as the plans have been modified therefor. Surety bonds currently on file with the City to guarantee the subdivision improvements for said Tract 1750 (Units 1 & 2) are to be held to guarantee the installation of all of the subdivision improvements for Tract 2135 (Units 1 & 2) and Islay Park. Attachment: Exhibit A [Tract 1750 (Units 1 & 2) subd. agrmt.] G: \... \Misc \T2135agr TV r , RESOLUTION NO. 8395 (1995 Series) A RESOLUTION OF THE COUNCIL OF THE CITY OF SAN LUIS OBISPO APPROVING AN EXCEPTION TO THE CONDOMINIUM.REGULATIONS ALLOWING AN ALTERNATIVE TO THE SOLAR WATER HEATING REQUIREMENT FOR A PLANNED UNIT DEVELOPMENT AT 1105 TANK FARM ROAD (CITY FILE TR 39 -93) BE IT RESOLVED by the Council of the City of San Luis Obispo as follows: SECTION 1. Findings. That this council, after consideration of public testimony, the condominium regulations exception request for Tract 2135 (City file # TR 39 -93), the staff recommendations and reports thereon, makes the following findings: 1. Compliance with the condominium regulations requirement for solar heaters would not be practical because the site design includes use of tile roofs, which are subject to damage when penetrated, and experience with available solar collectors in this climate has shown that maintenance problems detract from their usefulness and energy savings. 2. The variance will not constitute a grant of special privilege; an entitlement inconsistent with the limitations upon other properties in the vicinity with the same zoning, because any similar project in the same area with the same zoning would be entitled to the same consideration of an exception. 3. No feasible alternative to authorizing the exception would satisfy the intent of city policies and regulations, because authorizing the exception would allow installation of passive energy - saving methods which would provide greater energy savings than would the installation of solar heaters, consistent with City policies on energy conservation. 4. The alternative energy - savings techniques will save more energy over the long term, with less cost than would the use of solar collectors. SECTION 2. Approval. The exception request, allowing alternative energy - savings techniques, is hereby approved. SECTION 3. Condition. The alternative is approved subject to the following condition: R -8395 Resolution no. 8395 Tract 2135 (City file no. Exception to solar heater Page 2 (1995 Series) TR 39 -93) requirement 1. Plumbing shall be installed in each dwelling unit, to allow installation of solar collectors by individual homeowners if desired. On motion of Vice Mayor Romero , seconded by Council Member Smith _, and on the following roll call vote: AYES: Vice Mayor Romero, Council Members Smith, Williams, and Mayor Settle NOES: Council Member Roalman ABSENT: None the foregoing resolution w and adopted this 21st day of February , 1995. Mayor Allen K. Settle ATTEST: it Clerk Di ne R. adwell!' APPROVED: "r J � ^^��,/I V ` V �"Cl` � \� �L�'' � � ���ti ��' � RESOLUTION NO. 8394 (1995 Series) A RESOLUTION OF THE CITY OF SAN LUIS OBISPO COUNCIL ACCEPTING NEGOTIATED EXCHANGE OF PROPERTY TAX REVENUE AND ANNUAL TAX INCREMENT BETWEEN THE COUNTY OF SAN LUIS OBISPO AND THE CITY OF SAN LUIS OBISPO FOR THE TK ANNEXATION AT 154 SUBURBAN ROAD (SLO COUNTY ANNEXATION #f40) BE IT RESOLVED by the Council of the City of San Luis Obispo, that: WHEREAS, in the case of a jurisdictional change which will alter the service area or responsibility of a local agency, Revenue and Taxation Code Section 99(b) requires that the amount of property tax revenue to be exchanged, if any, and the amount of annual tax increment to be exchanged among the affected local agencies shall be determined by negotiation; and WHEREAS, when a city is involved, the negotiations are conducted between the City Council and the Board of Supervisors of the County; and WHEREAS, Revenue and Taxation Code Section 99(b) requires that each local agency, upon completion of negotiations, adopt resolutions whereby said local agencies agree to accept the negotiated exchange or property tax revenues, if any, and annual tax increment and requires that each local agency transmit a copy of each such resolution to the Executive Officer of the Local Agency Formation Commission; and WHEREAS, no later than the date on which the certificate of completion of the jurisdictional change is recorded with the County Recorder, the Executive Officer shall notify the County Auditor of the exchange of property tax revenues by transmitting a copy of said resolution to him and the County Auditor shall therefore make the appropriate adjustments-as required by law; and R -8394 Resolution N0394(1995 Series) Page 2 WHEREAS, the negotiations have taken place concerning the transfer of property tax revenues and annual tax increment between the County of San Luis Obispo and the City of San Luis Obispo pursuant to Section 99(b) for the jurisdictional change designated as Annexation No. 40 to the City of San Luis Obispo (TK Annexation); and WHEREAS, the negotiating parties, to wit- Paul Hood, Principal Administrative Analyst, County of San Luis Obispo, and Ken Hampian, Assistant City Administrative Officer, have negotiated the exchange of property tax revenue and annual tax increment between such entities as hereinafter set forth; and WHEREAS, it is in the public interest that such negotiated exchange of property tax revenues and annual tax increment be consummated. NOW, THEREFORE, BE IT RESOLVED by the Council of the City of San Luis Obispo, as follows: 1. That the recitals set forth above are true, correct, and valid. 2. That the City of San Luis Obispo agrees to accept the following negotiated exchange of property tax revenues and annual tax increment: (a) No base property tax revenue shall be transferred from the County of San Luis Obispo to the City of San Luis Obispo. (b) Annual tax increment in an amount to be determined by the County Auditor, based upon the following percentage agreed to by the negotiating parties, 13.78343 percent, shall be transferred from the County of San Luis Obispo to the City of San Luis Obispo in the fiscal year 1996 -97 and each fiscal year thereafter. 8394. Resolution No. (1995 Series) Page 3 3. Upon receipt of a certified copy of this resolution and a copy of the recorded certificate of completion, the County Auditor shall make the appropriate adjustments to property tax revenues and annual tax increments as set forth above.. 4. That the City Clerk is authorized and directed to transmit a certified copy of the resolution to the Executive Officer of the San Luis Obispo Local Agency Formation Commission, who shall then distribute copies in the manner prescribed by law. On. motion of Vice Mayor Romero ,seconded by Council Member Williams , and on the following roll call vote: AYES: Vice Mayor Romero, Council Members,Williams, Roalman, Smith, &Mayor Settle NOES: None ABSENT None the foregoing resolution was passed and adopted this 21st day of February 1995. i Mayor Allen K.. Settle ATTEST: ty Clerk Diane R PlaAdYell APPROVED: // g, a ,• U S 1_ s Q �' an , ,.7 n 1 i �p e � I� •, l SITE' V.A to 27 26 24 ARIt .0 ' AR R F w N _ a — ` 1 1JR1- t i9 1 II VICINITY MAP I TK ANNEXATION NORTH 154 SUBURBAN ROAD r ✓Yl � ATTACHMENT A State of California Disaster "nber OFFICE OF Federal i — Aumber EMERGENCY SERVICES State Application Number DESIGNATION OF APPLICANT'S AGENT RESOLUTION Resolution No. 8393 (1995 Series) BE IT RESOLVED BY THE. City Council , OF THE i ty of San . t • c Obi -pn- California Mcard of Directors or Governing Body) (Name of Organization) THAT Allen Settle I Mayor (Name of Designated Agent) OR Iritlel Ken Hampian Assistant City Administrative Officer (Name of Designated Agent) mtle) OR (Name of Designated Agent) (Title) is hereby authorized to execute for and in behalf of the City of San Luis Obispo, CA a public entity Marine O roan anon established under the laws of the State of California, this application and to file it in the Office of Emergency Services for the purpose of obtaining. certain federal financial assistance under P.L. 93 -288 as amended by the Robert T. Stafford Disaster Relief and Emergency Assistance Act of 1988, and /or state financial assistance under the Natural Disaster Assistance Act for Winter Storms 1995 which occurred in January 4 of 1995 (Fire, Flood. EeRhduake. etc.) Ibilanth/Date) (Year) THAT the City of San Luis Obispo. CA a public entity established under the laws of the State of 01 t anwuwlll California, hereby authorizes Its agent to provide to the State Office of emergency services for all matters pertaining to such state disaster assistance the assurances and agreements required. Passed and approved this 1 day of February 19 95 eta onmT een Mayor Allen K. Settle IName and Title of Approving Board or Council Memberl Vice Mayor Dave Romero (Name and Title of Approving Board or Council Memberl Council Members Bill Roalman, Kathy Smith, Dodie Williams (Name and Title of Approving Board or Council Memberl CERTIFICATION Diane R. Gladwell duly appointed and City Clerk of Memo) (rate of Clark at Certey)ng Ofriciall City of San Luis Obispo do hereby certify that the above is a true and correct copy of (Name of Organization) a resolution passed and approved by the City Council of the (Board of Directors or Governing Body) City of San Luis Obispo on the 21st day, of February 1895 (Name of Organization) (Date) - (Month) (Year) Date: February, 22, 1995 - G rk rtdylnp ORieull OES Form 130 (Rev 8194) DAB Form 94353 -Ti \ \ @ _/ k0 §) \ } \ I k / \ ) / z § ) � I 0 a � 0 k � z .W w O � \ Q ) § a \ § < § < I j 0 r � 0 c § u ,� A geHM B 0 — — — — j \ \ & z z z z z z z § m 3 3 to 2 & & & k j j § ) \ \ \ § § 4 & # # # k a « ) \ § k ( § ( ) � I � } . f ƒ f k § f ƒ % s % s f § ( § as § § B \ \ a k £ £ ƒ # & u c f 5 ] § k ] § ) \ ) @ Q ) k 5 = \ z \ CIO \ \ \ \ ) u U21. \ } r - ,� A geHM B � � \ \ m 0 k? �\ j ,/ j \ J / \ e I § z a / k # 0 a � 0 / � z � 0 w � 0 )C5\ \ .e « \kz ; § � k / 2 \ 2 0 ? � � 0 § / - .§ �/ J �2 / ± o ƒ � § \ �) & 3 Q�/ z ) \ ( k \ / � \2� ,� \ 2 � § � \ § ) ; ƒ] \ 2 §§ Z � B = B � u � § ) e 3 £ / \ f \ 2 . k� z § . \2� ,� 7I of m 1_ W O q a E- u. m O W ..� c c� O R ti C °s W ° U z 0. z Y w �i Vlal O a O rr z w O� 1• EF U h w f� 0 Cg V F L E Q C C a c F E C: QQ $ Ek R U E ° ° ° C V W) fiq 6q w � w bz z z z z z z z R E o Q a Q Q Q Q Q a. ° S 5 E o v Q o w V V O O O O V 0 0 0 0 o 3 Q O W v u u �.°. w Q fr w V Qi V V V V V 'C cc cc -Nd cc cc cc R N x V S V 0 r bo � O c Q v = v T C• .tOi O 0 O � O O O q Q a W q W `4 W W W to 3 'O ., R Q R � M � R C O U U "= U w Y O w N . °� O R C a 00 (ON N _z m O7 O E- Ltn r? O O c� ° ° �n N U C bV0 W Inn ° v U d z 6Q. a z L U e O a O z h w 1O� 1. F U a W Q L• O O W F w A V N N 6`O9 O '. 69 464 fH 'Al W C L U h bo F z z z z z z c o od L G CL A4 y O ° i Q O •OT « O O C a. d C � � 'c `o 8 E E •` o a d o L cc a c c c y c ;; t0 F c7 t0 .+T C 3 U 3 � c c c C� •O � � o ° 3 V V L Oi R L 6i O $ 3 $ c $ 3 $ •� a •.'� .c °^_° Qn A c R A R 3 o A R O .9 a/ vi w�! I.i C% �Q/ W W N C% W R Q W •C U v U U U A Vi ❑E cc A Oy O O O cc b LV A Vi N T T O OT L L �' M. •p eo 9 eNa °- z d w a> O ° c. O o .T a .T .T .T E 3 8 ° 3 a a a c CU ° N N N a+ N O O Q! L L L L ej O O U N c � ° 0 0 c c4 cc 0 U y C Y Y W O 00 p N. •� N Z ATTACHMENT C >:aie of Cs•.,vn.a -� A- �reement No. FEMA- OFFICE OF EMERGENCY SE- nVICES � 1-.H. No. PROJECT APPLICATION FOR FEDERAL ASSISTANCE Subgrantee's Name: City of San Luis Obispo, CA Organization Unit: INkm 01 Orpaf%aaf:on) IDecan"wni;Agency - .1%aD6"Wei Street/P.O. Box: 990 Palm Street City /State: San T.,;i c Ohf cpo . CA County:. San Luis Obispo Zip Code: 93401 Telephone: (805) 781 -7123' Authorized Agent: Ken Hampian Title:Assistant City Administrative Officer ASSURANCES - CONSTRUCTION PROGRAMS Note: Certain of these assurance may not be applicable to your project or program. If you have questions, please contact the awarding agency. Further, certain federal assistance awarding agencies may require applicants to cern to additional assurances. If such is the case, you will be notified. As the duly authorized representative of the applicant I certify that the subgrantee named above: 1. Has the legal authority to apply for federal assistance, and the institutional, managerial-p-nd fnancial capability (including funds sufficient to pay the non- federat share of project costs) to ensure proper planning, management and completion of the project described in this application. 2. Witl give the awarding agency, the Comptroller General of the United States, and if appropriate, the state, through any authorized representative, access to and the right to examine all records, books, papers, or documents related to the assistance; and will establish a proper accounting system in accordance with generally accepted accounting standards or agency directives. 3. Will not dispose of, modify the use of, or change the terms of the real property title, or other interest in the site and facilities without permission and instructions from the awarding agency. Will record the federal interest in the title of real property in accordance with awarding agency directives and will include a covenant in the title of real property acquired in whole or in part with federal assistance funds to assure nondiscrimination during the useful life of the project. 4. Will comply with the requirements of the assistance awarding agency with regard to the drafting, review and approval of construction plans and specifications. 5. Will provide and maintain competent'and adequate engineering supervision at the construction site to ensure that the complete work conforms with the approved plans..and specifications and will furnish progress, reports and such other information as may be required by-tre assistance awarding agency or state. 6. Will initiate and complete the work within the applicable time frame after ieeeipt of approval of the awarding.ageney. 7. Will establish safeguards to prohibit employees from using their positions for a purpose that constitutes or presents the appearance of personal or organizational conflict of interest; or personal gains. E. Will comply with the Lead -Based Paint Poisoning Prevention Act (42 U.S.C. li li 4801 at seq.) which prohibits the use of lead based paint in construction or rehabilitation of residence structures. S. Will comply with all federal statues relating to nondiscrimination. These include but are.not limited to: (a) Title VI of the Civil Rights Act of 1964 . (P.L. 88.352) which prohibits discrimination on the basis of race, color or national origin; (b) Title IX of the Education Amendments of 1972, as amended (20 U.S.C. I1 1681 -1683 and 1685 -1686) which prohibits discrimination on the basis of sex; (c)­ Section 504 of the Rehabijiation Act of 1973, as amended 129 U.S.C. i 794) which prohibit discrimination on the basis of handicaps; (d) the Age Discrimination Act of 1975, as amended (42 U.S.C. I1 6101.6107) which prohibits discrimination on the basis of age: (e) the Drug Abuse Office and Treatment Act of 1972 (P.L. 93-255) as amended, relating to nondiscrimination on the basis of drug. abuse; If) the Comprehensive Alcohol Abuse and Alcoholism Prevention, Treatment and Rehabilitation Act of 1970 (P.L. 91 -616) as amended, relating to nondiscrimination on the basis of alcohof abuse or alcoholism: (g) 11 523 and 527 of the Public Health Service Act of 1912 142 U.S.C. 290 dd-3 and 290 ee -3), as amended, relating to confidentiality of alcohol and drug abuse patient records; IN Title Vlll of the Civil Rights Act of 1968 (47 U.S.C. 1 3601 et sec.), as amended, relating to nondiscrimination in the sale rental or financing of housing; (i) any other nondiscrimination provisions in the specific statutes) under which application for federal assistance is being made, and (j) the requirements on any other nondiscrimination statute(s) which may apply to the application. 110. Will comply, or has already corr"v_d, with the requirements cf Tires 11 and %-V he Un,form Relocation Assistance and Real Property Acquisition Polic ct of 1970 (P.L. 91.546) which provides air and equitable treatment of persons displaced or whose property is'acquired as a result of federal and federally assisted programs. These requirements apply to all interests in real property acquired for project purposes regardless of federal participation in purchases. 11. Will comply with the flood insurance purchase requirements of Section 102(a) of the Flood Disaster Protection Act of 1973 (P.L. 93 -234) which requires recipients in a special flood hazard area to participate in the program and to purchase flood insurance if the total cost of insurable construction and acquisition is $5,000 or more. 12. Will comply with environmental standards which may be prescribed pursuant to the following: (a) institution of environmental quality control measures under the National =Environmental Policy Act of 1969 (P.C. 91.1 90) and Executive Order (EO) 11514; (b)' notification of violating facilities pursuant to EO 11738; (c) protection of wetlands pursuant to EO 1 1990: (d) evaluation of flood hazards in floodplains in accordance with ED 11988; (e) assurance of project consistency with the approved state management program developed under the Coastal Zone Management Act of 1972 (16 U.S.C. 14 1451 at seq.): (f) conformity of federal actions to State (Clean Air) Implementation Plans under Section 176(c) of the Clean Air Act of 1955, as amended (42 U.S.C. 1 7401 at seq.): (g) protection of underground sources of drinking water under the Safe Drinking Water Act of 1974, as amended. (P-L-. 93 -523); and (h) protection of endangered species under the Endangered Species Act of 1973, as amended, (P.O. 93 -205). 13. Will comply with the Wild and Scenic Rivers Act of 1968 (16 U.S.C. If 1271 et.seq.) related to protecting components or potential components of the national wild and scenic rivers system. 14. Will assist the awarding agency in assuring compliance with Section '106 of the National Historic Preservation Act of 1966, as amended (16 U.S.C. 470), EO 11593 (identification and preservation of historic properties), and the Archaeological and Historic Preservation Act of 1974 (16 U.S.C. 469a -1 at seq). 15. Will cause to be performed the required financial and compliance audits in accordance with the Single Audit Act of 1984. 16. Will comply with all applicable requirements of all other federal laws, Executive Orders, regulations and policies governing this program. 17. Has requested through the State of California, federal financial assistance to be used to perform eligible work approved in the subgrantee application for federal assistance. Will, after the receipt of federal financial assistance, through the State of California, agree to the following: a. The state warrant covering federal financial assistance will be deposited in a special and separate account, and will be used to pay only eligible costs for project described above; b. -�To return' to the State of Califonaia such part of the funds so reimbursed pursuant to the above numbered application which are excess to the approved, actual expenditures as accepted by final audit of the federal government or the State Controller, or both. c. In the event the approved amount of the above numbered project application is reduced,. the reimbursement applicable to the amount of the reduction will be promptly refunded to the State of California. The undersigned represents that he, is authorized by the above named subgrantee to enter into this agreement for and on behalf of the said subgrantee. Assistant'City Administrative Officer TITLE Z-ZY -9� DATE ane rim oes 119 IN. 91941 ATTACHMENT D PUBLIC ASSISTANCE OVERVIEW DISASTER EVENT Federal (Presidential) Declaration Local Government Applicant Completes: Private Nonprofit State Agency 1. NOI 2. List of Projects (Exhibit B) PNP Completes Questionnaire Submits Tax Info/Articles of Inc Project Application Number DES and FEMA verify eligibility and Inspection Team Assigned Local Government Subgrantee State DSR Written DES Sends State Obligation to the Subgrantee Subgrantee Completes Exhibit D and NDAA Form 3 State Share Paid I 100°6 of FEMA Share Advanced Inspection team surveys damage and prepares DSR DSRs reviewed by DSRs approved by FEMA OES receives supplement from FEMA and transmits to subgrantee Small Project DSR? Subgrantee Finishes All Work and Requests Final Inspection Historic Review U NEPA Review U AIE Review Subgrantee �, Federal Share of Completes Expenditures Paid Form 131 Less Retention OES Assigns Inspector to do Final Inspection I Retained Funds Paid Subgrantee Retains Records For 3 Years / �/ ✓ln' � � ;� v`�` ., 1� �,12�\ �( \1� � Y1. � � 1 RESOLUTION NO. 8392 (1995 SERIES) A RESOLUTION OF THE COUNCIL OF THE CITY OF SAN LUIS OBISPO ADOPTING AND RATIFYING THE MEMORANDUM OF AGREEMENT BETWEEN THE CITY OF SAN LUIS OBISPO AND THE SAN, LUIS OBISPO POLICE OFFICERS' ASSOCLATION FOR THE PERIOD OF JULY 1, 1994 - JUNE 30, 1996 BE IT RESOLVED by the Council of the City of San Luis Obispo as follows: Section 1. The Memorandum of Agreement between the City of San Luis Obispo and the San Luis Obispo Police Officers' Association, attached hereto as Exhibit "A" and incorporated herein by this reference, is hereby adopted and ratified. Section 2. The Finance Director shall adjust the Personnel Services appropriation accounts to reflect the negotiated compensation changes. Section 3. The City Clerk shall furnish a copy of this resolution and a copy of the executed Memorandum of Agreement approved by Gary Nemeth, San Luis Obispo Police Officers' Association President, and Wendy George, Acting Personnel Director. On motion of Vice :Mayor.Romero ,.:;:seconded by Council Member Williams and on the following roll call vote: AYES: Vice Mayor Romero; Council Members Williams, Roalman, Smith & Mayor Settle NOES: None ABSENT: None n oln) Resolution No.8392 (1995 Series) Page 2 the foregoing Resolution was passed and adopted this 21st day of February, 1995._ MAYOR ALLEN SETTLE ATTEST: APPROVED AS TO FORM: •_/ �L u W 4S CITY i O. �'" � � n �� - � �� � � v ��v CC/ ' �Y` "� �`u` 1c�� U, ��' �� . �� �'� `. `•. . .. • >. MEMORANDUM OF AGREEMENT BETWEEN THE CITY OF SAN LUIS OBISPO AND THE SAN LUIS OBISPO POLICE OFFICERS' ASSOCIATION JULY 1, 1994 JUNE 30, 1996 . 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 Article No. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 TABLE OF CONTENTS Title Page No. Preamble ............................ 1 Recognition ........................... 2 Check Off /Dues Deduction ................ 3 Employee Rights ....................... 4 Management Rights ..................... 5 Representative Role ..................... 6 Salary.............................. 7 Master Police Officer Program ............. 10 Communications Training Officer Program ..... 14 Overtime - Sworn ..................... 15 Roll Call Briefing ...................... 17 Overtime - Non -Sworn .................. 18 Guaranteed Minimums - Returning To Work .... 19 Work Out -Of -Grade .................... 21 Standby ............................ 22 Education Incentive .................... 24 Uniform Allowance .................... 26 Health Care Insurance .................. 27 Retirement .......................... 31 Seniority ............................ 32 Holidays ............................ 33 Vacation ............................ 35 Sick Leave .......................... 36 Bereavement Leave .................... 37 Workers' Compensation Leave ............. 38 General Provisions ..................... 39 Policy and Procedure Committee ........... 40 Working Conditions .................... 41 Definitions .......................... 42 Grievance Procedure ................... 43 1 2 3 4 5 6 7 8 9I 10 11 12 13 14 15 16 17 18 19 20 21 23 24 25 26 !, 27 28 31 Layoffs ............................. 45 32 Work Actions .................. .. ... 47 33 Communication Process ................. 49 34 Full Agreement .. ....... .......... 50. 35 Savings Clause ..................... 51 36 Renegotiations ....................... 52 37 Term of Agreement ..................... 53 Appendix A ........................... 54 1 2 3 4i 5' 6 7 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 281 ARTICLE 1 PREAMBLE This Agreement is made and entered into this 21st day of February, 1.995, by and between the City of San Luis Obispo, hereinafter referred to as City, and the San Luis Obispo Police Officers' Association. The purpose of this Agreement is to promote the improvement of personnel management and employer /employee relations, provide an equitable and peaceful procedure for the resolution of differences and establish rates of pay and other terms and conditions of employment. The City and the Police Officers' Association agree that all employees of the City share in the important responsibility of providing superior service to the public and that every job and position is considered to be important. Nothing in this Agreement between the parties shall invalidate or be substituted for any provision in City Resolution No. 6620 (1989 Series) unless so stipulated to by 1provision(s) contained herein and agreed to. 1 2 3 4 5 6' 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 C1 ARTICLE 2 RECOGNITION Pursuant to Government Code Section 3500 et seq and City Resolution No. 6620 (1989 Series), the City hereby recognizes the San Luis Obispo Police Officers' Association as the bargaining representative for purposes of representing regular and probationary employees, occupying the position classifications set forth in Appendix A, in the Police Unit with respect to their compensation, hours and other terms and conditions of employment for the duration of the Agreement. 2 1 2 3 4. 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 ARTICLE 3 CHECK OFF /DUES DEDUCTION The City shall deduct dues from City employees and remit said dues to the Association treasurer for the,duration of this Agreement, which dues shall not include assessments. Dues deduction, additions, and /or deletions shall be recorded.by the City's Finance Officer and a notification of all dues transactions. shall be .sent monthly to the Association President. The Association shall hold the City harmless from any and all claims, and will indemnify it against any unusual costs in implementing these provisions. Additional provisions can be found in Section 20 of Resolution No. 6620 (1989 I Series). 3 1 2 3 4 5 6 7 8 91 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 C ARTICLE. 4 EMPLOYEE RIGHTS Employees of the City shall have the right to form, join and participate in the activities of employee organizations of their own choosing for the purpose of representation on all matters of employer- employee relations including, but not limited to, wages, hours and other terms and conditions of employment. Employees of the City, also shall have the right to refuse to join or participate in the activities of employee organizations and shall have the right to represent themselves individually in their employment relations with the City. No employee shall be interfered with, intimidated, restrained, coerced or discriminated against because of the exercise of these rights. 4 1 2 3 4 5 6 7 8I 9 10 11 12 13 16 17 18 19 20 21 22 23 24 25 26 27 28 1 (' ARTICLE 5 MANAGEMENT RIGHTS 'The rights of the City include, but 4re' not lirnited to; the exclusive right to determine the mission of its constituent departments, commissions and boards; set standards of service; determine the procedures and standards of selection for employment and p -romotion; direct its employees; take disciplinary action; relieve its employees from-duty because of lack of work.or for other legitimate reasons; maintain the efficiency of� government operations; determine the methods, means and personnel by which government operations are to be conducted; determine the content of the:.job classifications; take:_aR necessary actions to carry out its mission in emergencies; and exercise complete control and discretion over its organization and the technology for performing its work.. 5 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 O O ARTICLE 6 REPRESENTATIVE ROLE Members of any recognized employee organization may; by a reasonable method, select not more than three employee members of such organization and one employee observer to meet and confer with the Municipal Employee Relations Officer and other management officials (after written certification of such selection is provided by an authorized official of the organization) on subjects within the scope of representation during regular duty or work hours without loss of compensation or other benefits. The employee organization shall, whenever practicable, submit the name(s) of each employee representative to the Municipal Employee Relations Officer at, least two working days in advance of such meetings. Provided further-: (1) That no employee representative shall leave his or her duty or work station or assignment without specific approval of the department head or other authorized City management official. If employee representatives cannot be released, date of meeting will be rescheduled in accordance with item (2) below. (2) That any such meeting is subject to scheduling by City management consistent with operating needs and work schedules. Nothing provided herein, however, shall limit or restrict City management from scheduling such meetings before or after regular duty or work hours. H 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 ARTICLE 7 SALARY 7;1 Rules Governing Step Increases The rules: governing step increases for employees covered by this MOA are included in the .current Salary Resolution with the following modification: The department head shall be authorized, to reevaluate employees, who. reach Step 5 in their pay range. An employee who''is not, performing up to standard for the fifth step shall be notified m, writing that the department head intends to reduce him one step unless his.job performance improves significantly within ar.60 -day period. Unless the employee's job performance improves to an acceptable level by the end of 60 days, the pay reduction shall then become effective. The fifth step may be reinstated. at 'any time upon.recommendation of the department head.. If the department head deems it necessary to again remove the fifth step, during the same fiscal year, he may make the change, at any time with three business days' advanced written notice. Each salary range consists of five steps (1 through 5). Steps 1 through 4 equal 95% of the next. highest step, computed to the nearest one dollar. Step 4 = 95% of Step 5 Step 3 = 95% of Step 4 Step 2 = 95% of Step 3 Step 1 = 95% of Step 2 7 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 0 Each across - the -board % salary increase shall raise step 5 of the lowest Police Association range by the %. Step 5 of each successive salary range will be 2.6% above step 5 of the next lower range. After all step 5's of salary ranges have been established, each step 5 shall be rounded off to the nearest $1.00 and the remaining steps established in accordance with the above formula. Employees who are eligible for advancement to step 4 or 5 must receive a °Meets Performance Standards" or better on the overall rating on their most recent Performance Appraisal prior to or coincident with their being eligible for advancement by time in grade. 7.2 Salary Increases for Term of Agreement Salary increases will be paid on the first day of the, first full pay period closest to the dates listed below: September 15, 1994 Sworn personnel 2.5% Non sworn personnel 2.5% July 1, 1995 Sworn personnel 2.5% Non sworn personnel 2.5% N. 1 2 3 4 5 6 7 8 9 10 11' 12 13 1.4 15 16 17 18 19 20 21 22 23 24 25 26 27 28 7.3 Salary Range Listing - July 1994 Through June 1996 September 15, 1994 1,670 1,760 1,852 700 Police Officer 2,843 2,994 3,149 3,320- ; Step A Step B Step C Step D Step E Step F Step G Step H Salary Position Monthly/ Monthly/ Monthly/ Monthly /, Monthly / Monthly/ Monthly/ Monthly/ 1. Range . Title Bi- Weekly Bi- Weekly Bi= Weekly BI-Weekly Bi -- Weekly Bi- Weekly Bi- Weekly Bi- Weekly 512 Field Service 2,392 2,521 2,652 . 2,792 2,940 Technician 1,104 1,163 1,224 1,288 1,357 512 Communications 2,392 2,521 2,652 2,792 2,940. Technician 1 1,104 1,163 , 1,224 1,288 1,357 524 Evidence 3,265 3,438 3,618 3,813 4,013 Technician 1,507 1,587 1,670 1,760 1,852 700 Police Officer 2,843 2,994 3,149 3,320- ; 3,491 3,673 3,866 1,312 1,382 1,453 1,532 1,611 1,695 1,785 July 1, 1995 2,452 2,583 2,718 2,860 3,014 Technician 1 Step A Step B Step C Step D Step E Step F Step G Step H Salary Position Monthly/ Monthly/ Monthly/ Monthly/ Monthly/ Monthly/ Monthly/ Monthly/ Range Title Bi- Weekly BI- Weekly 131- Weekly BI- Weekly BI-Weekly M- Weekly Bi- Weekly Bi- Weekly 512 Field Service 2,452 2,583 2,718 2,860 3,014 Technician 1,132 1,192 1,255 1,320 1,391 512 Communications 2,452 2,583 2,718 2,860 3,014 Technician 1 1,132 1,192 1,255 1;320 1,391 524 Evidence 3,347 3,524 3,709 3,909 4,113 Technician 1,545 1,627 1,71.2 1,804 1,898 700 Police Officer 2,914 3,069 3,227 3,402 3,578 3,764 3,964 4,173 1,345 1,417 1,489 1,570 1,651 1,737 1,830 1,926 7 1 2 3 4 5! 61 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 \J ARTICLE 8, MASTER POLICE OFFICER PROGRAM 8.1.0 This program will be implemented January 1, 1991 and at that time all assignment allowances including the education incentive program for sworn personnel will be cancelled. This program will remain in effect through June 30, 1995. 8.1.1 The speciality assignments included in this program are: Field Training Officer Investigator (Detective Division) Traffic Officer (Traffic Division) Crime Scene Investigator 8.1.2 To be eligible for compensation under this program an employee must receive and maintain at least a "Meets Performance Standards" rating on their evaluation. 8.1.3 Compensation under this program shall in no case exceed two steps on the salary range. 8.1.4 Requirements: Master Police Officer I 1. Two full years at 5th step of the salary range. 2. Must have obtained an Intermediate POST certificate. 3. Must have successfully completed two years in a speciality assignment. 10 1 2 3 4. 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 26 27 28 4. Compensation: Police Officer 5th step times 5.26% (6th step): Master Police Officer II 1. Two full years at the Master Police Officer I level (or 4 years at 5th step at the time; of implementation January, 1991. 2. :Must, have obtained an Advanced POST certificate. 3. Must have successfully completed. two years in a second (separate) speciality assignment. 4. Compensation: Police Officer 5th step times 10.52% (7th step). 5. Officers at this level will be permitted to wear an insignia, recognizing this status. The insignia will be determined by the Chief with input from the Association: 8.2.0 Effective July 1, 1995, the Master Police Officer Program shall be as follows: The specialty assignments included in this program are: Field Training Officer 2 years S.O.R.T. 2 years Traffic Officer 4 years Investigator 4 years Crime Scene Investigator 4 years Range Master* 4 years. • Applicable for MPO III only. 8.2.1 To be eligible for compensation' under this program, an employee must receive and maintain at least a "Meets Performance Standards" rating on their evaluation. 8.2.2 Compensation under this program shall in no case exceed three steps on 11 1 the salary range. 2 8.2.3 Master Police Officer 1 3 Two full years at 5th step of the salary range.. 4 Must have obtained an Intermediate POST certificate. 5 6 Must have successfully completed two years in a specialty assignment. 7 Compensation: Police. Officer 5th Step times 5.26% (6th Step) 8 8.2.4 Master Police Officer II 9 Two full years at the. Master Police Officer I level. 10 Must. have obtained an Advanced POST certificate. 11 Must have successfully completed two years in a second separate 12 13 assignment. 14 Compensation: Police Officer 5th Step times 10.52% (7th Step) 15 8.2.5 Master Police Officer III 16 Two full years at the Master Police Officer II level. 17 Twelve years in law enforcement. 18 Must have successfully completed two years in a third specialty 19 20 assignment. (Reassignment, with a break in service, to the same 21 assignment will be credited as a third assignment.) 22 23 One of the specialty assignments must have.been (or be) for four full years. 24 To be credited for purposes of compensation, an officer shall be required to 25 complete the terms of any specialty assignment unless early departure for 26 27 12 28 1 2 3 4 5 6. 7 8 9 10 11. 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 good cause'is /was authorized by the Chief of _P.olice. Departure for any other reason will forfeit MPO compensation at the time of departure. Compensation: Police Officer .5th Step times 15.78% (8th Step). Officers at the MPO III level will be permitted to wear a 2 stripe insignia (otherwise recognized -as Corporal stripes) recognizing.their status as determined by Department uniform policy. Effective September: 15, 1994 the 'following conditions will take effect. 1. Any employee who has previously held a specialty assignment in SORT, but did not complete the stated :time requirements as stated above, (except for disciplinary removal) will be credited with two years service in that specialty assignment. 2. Current SORT incumbents shall be retained in that specialty assignment for 2 years. 3. Any officer who has successfully completed two years service in any of the specialty assignments to be implemented July 1; 1.995; shall receive full credit for that assignment for MPO III purposes only. 13 1 12 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 ARTICLE 9 COMMUNICATIONS TRAINING OFFICER PROGRAM Effective January 1, 1990, it is understood and agreed that the Communications Training Officer Program shall- be established. The CTO program is intended to give the trainee instruction, direction, supervision, guidance and experience. The CTO program also serves to aid in determining if-the trainee meets all the requirements to successfully complete the probationary period. This program provides for the specialty assignment of a maximum of three (3) Communications Training Officers who serve at the pleasure of the Chief of Police. Procedures for the selection of the CIO's and requirements for the assignment are incorporated in the departmental operations manual. Compensation for such assignment shall be a one step (5.26 %) increase in base pay for that period of time a CTO is actually training a new employee. CTO pay shall commence the first day of the first full pay period after the trainee is assigned to the CTO. 14 1 2 3 4 5 6 8 9 10 11 12 13 14 15 16 17 U 1CY 2( 21 2i 2z' 24 W 2E 21 2E ARTICLE 10' OVERTIME- SWORN 10.1 DEFINITION Overtime is defined as all hours worked in excess of 160 hours worked in the employee's 28 day work period. Vacation, holidays, sick leave, IOD, and compensatory time off, shall be considered hours worked when computing overtime. 10.2 ELIGIBILITY All sworn employees covered by this Agreement shall be eligible for overtime pay. The Police Chief has the authority to approve in writing overtime pay for exempt positions per submitted overtime slips by the concerned parties, based on the needs of the organization or exceptional circumstances. 10.3 COMPENSATION A. Overtime hours 161 through 171 worked in the employee's 28 day work period, shall, at the employee's option, be compensated in cash at time and one half (1 1/2) the employee's regular rate of pay or in time off compensated at .time and one half (1 1/2). However, no employee shall accumulate and have current credit for more than 40 hours of compensatory time off. B. Overtime earned in excess of the first eleven (11) hours of 15 1 21 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 c overtime earned in the employee's 28 day work period, shall be compensated in cash at one and one half (1 1/2) times the employee's regular rate of pay. 16 1 ARTICLE 11 2 ROLL CALL - BRIEFING. 3 Employees who are required to attend roll call briefing and do, shall be paid for 4 such attendance. Payment shall be considered overtime and paid as such if the 5 6 hours fall within the definition of overtime. 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 17 28 , 1 2 3 4 5 6 7 8. 9 10 11 12 13 14 15 16 17 18 20 21 23 24 25 26 27 28 ARTICLE 12 OVERTIME - NON -SWORN 12.1 DEFINITION Overtime is defined as all hours worked in excess of forty (40) hours worked in a work week. Vacation, holidays, sick leave, IOD and compensatory time off, shall be considered hours worked when computing overtime. 12.2 ELIGIBILITY All non -sworn employees covered by this Agreement shall be eligible for overtime pay. 12.3 COMPENSATION Overtime shall be compensated in cash at one and one half (1 1/2) times the employee's regular rate of pay. 18 1 ARTICLE -1.3 2 GUARANTEED MINIMUMS FOR RETURNING TO WORK 3 Whenever an employee is required by the department to return to work.outside of 4 the employee's' normal work hours, if a minimum applies as found in this article, 5 then the employee has the choice of taking the minimum or taking the pay for the 6 7 work actually performed, whichever is larger. 8 13.1 SCHEDULED RETURN TO WORK 9 Court Time 10 (a) Employees reporting for court duty shall be guaranteed two hours 11 minimum payment at straight time when assigned to the day watch or 12 three hours minimum. at straight time when assigned to night watch, 13 14 (b) Two or more court cases occurring within the minimum time period 15 shall be subject to a single minimum payment. 16 training 17 Employees called back for training sessions authorized by the Police Chief or 18 Watch Commander shall be guaranteed two -hour minimum payment at 19 straight time:_ 20 _ 21 Range Qualification 22 (a) Sworn personnel shall be guaranteed two hours at straight time when 23 participating in range qualification training when off duty:' 24 (b) Each sworn employee "who shoots for qualification shall be provided 100 rounds of practice ammunition during that month. 26 21 19 28 V 1 13.2 NON - SCHEDULED RETURN TO WORK 2 ICa l Back 3 Employees called back to work at other than their normally scheduled shift 4 shall be guaranteed two -hour minimum payment at time- and - one -half. 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 20 28 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 ARTICLE 14 WORK OUT -OF -GRADE Employees temporarily assigned to work in a higher classification shall receive one step (5.26 %) additional pay but in no case more than-the top step for the higher classification under to following conditions: 1. The assignment exceeds ten consecutive work days, in which case the step increase becomes effective on the first work day. 2. The person being temporarily replaced is on extended sick or disability leave or the position is vacant and an examination is pending.. 21 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 ARTICLE 15 STANDBY 15.1 DEFINITION Standby is that circumstance which requires an employee assigned by -the department to 1) be ready to respond immediately to a call for service, 2) be readily available at all hours by telephone or other agreed upon communication equipment, and 3) refrain from activities which might impair his /her assigned duties upon call. The parties agree that. employees on standby, as defined above, are "waiting to be engaged." The parties further agree there is no intent to waive any individual rights under FLSA. 15.2 COMPENSATION Non - investigator (a) Sworn personnel placed on standby shall be compensated one hour's pay for each five (5) hours standby. (b) Such employees shall be paid a minimum of three (3) hours straight time when on standby. Investigator (a) Investigators placed on standby shall be compensated twelve dollars ($12.00) per day Monday through Friday, and sixteen dollars ($16.00) per day for other days of standby. 22 1 (b) Standby shall be rotated among the assigned investigators. Normally, 2 the standby assignment shall be for one (1) week. 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 23 28 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 ARTICLE .16 EDUCATION INCENTIVE The educational incentive pay plan shall continue as described below for non- sworn personnel for the term of this agreement. A. BASIC BENEFITS. Education incentive pay shall not begin until one year after employment with the City of San Luis Obispo, but credit will be given for approved education obtained prior to that time. The basic benefit for employee's employed prior to July 1, 1981, will consist of one -half (1/2) step above the base salary for possession of an A.A., or equivalent degree from an accredited community or junior college, or 60 or more semester units, or a city- approved equivalent, towards a B.A. degree; and one full step for a B.A. Total incentive pay shall in no case exceed one step. B. JOB RELATED FIELDS. Degrees must be either in directly job related fields or include at least 30 semester, or city- approved equivalent, units in the case of an A.A. or A.S. degree, and at least 60 semester, or city- approved equivalent, units in the case of a B.A. or equivalent degrees leading toward the appropriate degree with a grade of "C" or better. C. APPLICATION AND APPROVAL. Application for the incentive pay shall be made by the employee to the department head at least 30 days before the date the payment of the incentive pay is to be effective. Approval of the department head and the Personnel Director shall be required. 24 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 D. UNSATISFACTORY PERFORMANCE. In the event an employee receiving the incentive pay is not performing up to the established standards set for the job, the department head with the concurrence of the Administrative Officer may suspend payment of the incentive pay or Step 5 of the salary range, but not both, until such time as the employee's performance comes up to the standard level, in the opinion of the department head and concurred in by the Administrative Officer. E. NON - APPLICABILITY. Educational incentives shall not be paid for education received on City time. The education incentive will be removed if the employee is promoted to a position which does not entitle employees to such incentives. F. TUITION AND BOOKS. If an employee holds a position which does not qualify him for incentive pay, the employee will be eligible to receive payment for 50% of tuition and books for approved job - related courses upon satisfactory completion of same with a grade of "C" or better. G. NEW EMPLOYEES. The basic benefit for employee's hired on or after July 1, 1981, shall be a five percent step increase for a period of one fiscal year if during the previous fiscal year the employee has successfully completed -- i.e., grades of "C" or better in all courses -- a minimum of nine semester units of college level classroom work, or City- approved equivalent, approved by the Chief of Police, provided that this benefit shall be payable only for classroom work done after completion of the probationary period. 25 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 C ARTICLE 17 UNIFORM ALLOWANCE 17.1 Each employee required to wear a uniform shall receive an annual uniform allowance as provided below and is expected to purchase and maintain in good repair all required uniform pieces. 17.2 The uniform allowance shall be: 1 July 1994 $725.00 1 July 1995 $750.00 This shall be issued to the employee each July in a lump sum payment on a separate check exclusive of any taxes or other withholding unless specifically required by federal or state law. If an employee is off duty for more than three (3) pay periods, the following July's allowance should be reduced by the appropriate prorated amount. 17.3 Sworn employees not required to wear a uniform shall receive an allowance of $300.00 annually in the same method as above. 26 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 25 26 27 28 ARTICLE 18 HEALTH CARE INSURANCE 18.1 CONTRIBUTION City shall contribute $400.00 per month for Cafeteria Plan benefits for each regular, full time employee covered by this agreement. Less than full -time employees shall receive a prorated share of the City's contribution. Effective August 15, 1995, the City contribution shall be increased to $415.00 per month for each regular, full time employee. 18.2 INSURANCE COVERAGE PERS Health Benefit Program The City has elected to participate in the PERS Health Benefit Program with the "unequal contribution option" at the PERS minimum contribution rate, currently $16.00 per month for active employees and $1.00 per month for retirees. The City's contribution toward retirees shall be increased by five (5 %) percent per year of the City's contribution for the active employees until such time as the contributions for employees and retirees are equal. The City's contribution will come out of that amount the City currently contributes to employees as part of the Cafeteria Plan provided to employees in their various MOA's. The.cost of the City's participation in PERS will not require the City to expend additional funds toward health 27 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 insurance beyond what is already provided for in the various bargaining agreements. In summary, this cost and any increases will be borne by the employees. 18.3 Health Insurance Coverage Optional Participation Employees with proof of medical insurance elsewhere are not required to participate in the PERS Health Benefit Program and may receive the unused portion of the City's contribution (after dental and vision insurance is deducted) in cash in accordance with the City's Cafeteria Plan. Those employees will also be assessed $16.00 per month to be placed in the Retiree Health Insurance Account. This account will be used to fund the City's contribution toward retiree premiums and the City's costs for the Public Employee's Contingency Reserve Fund and the Administrative Costs. However, there is no requirement that these funds be used exclusively for this purpose nor any guarantee that they will be sufficient to fund retiree health costs, although they will be used for negotiated employee benefits. 118.4 Dental and Vision Insurance /Dependent Coverage Employees will be required to participate in the City's dental and vision plans at the employee only rate. Should they elect to, cover dependents in the City's dental and vision plans, they may do so, even if they do not have dependent coverage under PERS. 18.5 Representation On A Medical Plan Review Committee The Association shall appoint one voting representative to serve on a 28 I Medical Plan Review Committee. In addition, the Association may appoint 2 one non - voting representative to provide a wider range of viewpoint for 3 discussion. 4 A. Duties and Obligations of the Medical Plan Review Committee 5 6 The duties and obligations of the Medical Plan Review Committee 7 shall be to: 8 1. Review and suggest changes for the City's flexible benefits plan 9 and the insurance plan offered under the MOA. 10 2. Submit to the City and its employee associations 11 - recommendations on proposed changes for the City's flexible 12 13 benefits plan and the insurance plans offered under the MOA. 14 3. Disseminate information and educate employees about the 15 City's flexible benefits plan and the insurance plans offered 16 under the MOA. 17 4. Participate in other related assignments requested by the City 18 and its employee associations. 19 B. Miscellaneous 20 21 1. The actions of the Medical Plan Review Committee shall not 22 preclude the Association and the City from meeting and 23 conferring. 24 2. No recommendation of the Medical Plan Review Committee on 25 matters within the scope of bargaining shall take effect before 26 27 29 28 1 2 3 4 5 6 7 8' 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 t u � completion of meet and confer requirements between the City and the Association. 3. If changes to the City's flexible benefits plan are subject to meet and confer requirements, the City and the Association agree to meet and confer in good faith. 4. In performing its duties, the Medical Plan Review Committee may consult independent outside experts. The City shall pay and fees incurred for this consultation, provided that the City has approved the consultation and fees in advance. 30 1 2 3 4 5 6 7!. 8 9 10 11 12 13 14 15 16 17 18 19 20 21 23 24 25 26 27 28 C -� v ARTICLE 19 RETIREMENT 19.1 The City agrees to provide the Public Employees' Retirement System's 2% at age 50 plan to all sworn personnel and 2% at age 60 for all non -sworn personnel. The 2% at age 50 plan includes four amendments, namely, Post Retirement Survivor Allowance, the 1959 Survivor's Benefit, age 50 voluntary retirement, and one -year final compensation (except all employees hired as sworn officers on or after 1 July 1987 shall have their final compensation for retirement purposes figured on their highest three (3) years) and conversion of unused sick leave credit to additional retirement credit. The 2% at 60 plan has three amendments, 1959 Survivor's Benefit, one year final compensation, and conversion of unused sick leave to additional retirement credit. 19.2 In addition to the employer contribution paid by the City, the City will pay the employee's contribution to P.E.R.S. to a maximum of 9% for sworn personnel and 7% for non -sworn personnel. 31 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 ARTICLE 20 SENIORITY Effective with the April 1995 shift rotation; overall seniority in a specific job classification (i.e., Police Officer, Dispatcher, Field Service Technician, etc.) will prevail as the standard. All days off, vacation, holidays, and shift selections will be determined by overall seniority in a specific job classification, in compliance with department policy. The department will continue to designate the shifts to be available; including the days off and shifts starting and stopping times. Employees will choose from those shifts designated by the department as available. Seniority as it applies to special assignments for the officers, will also fall under this standard regardless of seniority in the special assignment. This shall include all current incumbents in specialty assignments as outlined in Article 8. 32 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20' 21 22 23 24 25 26 27 28 ARTICLE 21. HOLIDAYS For all employees, holiday leave shall be accrued as earned each payroll period at a rate of 8 hours per month. The following days of each year are designated holidays for non -shift employees: January 1 - New Year's Day January 15 - Martin Luther King's Birthday Third Monday in February - Washington's Birthday Last. Monday in May - Memorial Day July 4 - Independence Day First Monday in September - Labor Day September 9 - Admission Day Fourth Monday in October - Veteran's Day Fourth Thursday in November - Thanksgiving Day December 25 - Christmas Employee's Birthday One -half day before Christmas One -half day before New Year's . - When a holiday falls on a Saturday, the preceding Friday shall be observed. When a holiday falls on a Sunday, the following Monday shall be observed. - Except with the prior written approval of the Chief, non -shift personnel shall take the holidays as scheduled above. 33 1 2 3 4 5 61' 7. 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 C� 'O If the department is unable to allow shift employees to take holiday leave, the Chief may approve payoff of holiday leave on a straight time basis. The payoff may occur once quarterly. This payoff is subject to annual approval of the Chief. Employees may accrue a maximum of holiday time not to exceed their annual rate. 34 1 2 3 4 5 6 7 18 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 ARTICLE 22 VACATION 21.1 Vacation shall be accrued and used as provided in Section 2.36."0 of the San Luis Obispo Municipal Code. "Each incumbent of a forty- hour -a -week line -item position shall accrue vacation leave with pay at the rate of twelve days per year of continuance service since the benefit date for the first five years, fifteen days per year upon completion of five years, eighteen days per year upon completion of ten years, and twenty days upon completion of twenty years. Employees scheduled for more than forty hours a week shall receive the equivalent number of vacation days prorated to the number of regularly scheduled work hours." 21.2 All employees may accrue a maximum of vacation time not to exceed twice their annual rate. 21.3 Vacation Sellback All employees in this unit are eligible, once annually in December, to request payment for up to twenty four (24) hours of unused vacation leave provided that an employee's overall performance and attendance practices are satisfactory. Payment for unused vacation leave is subject to the availability of budgeted funds. 35 1 2 3 4 5 6 7 8' 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 ARTICLE 23 SICK LEAVE Sick leave is governed by Section 2.36.420 of the Municipal Code. An employee may take up to two days per year of sick leave if required to be away from the job to personally care for a member of his /her immediate family as defined in Section 2.36.420 of the San Luis Obispo Municipal Code. This may be extended to five days per year if the family member is part of the employee's household, and to seven days if a household member is hospitalized and the employee submits written verification of such hospitalization. Upon termination of employment by death or retirement, a percentage of the dollar value of the employee's accumulated sick leave will be paid to the employee, or the designated beneficiary or beneficiaries according to the following schedule: a. Death - 25% b. Retirement and actual commencement of PERS benefits: 1. After ten years of continuous employment - 10% 2. After twenty years of continuous employment 15% 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 ARTICLE 24 BEREAVEMENT LEAVE At each employee's option, absence from duty due to the death of a member of the employee's immediate family, meaning spouse, child, brother, sister, parent, parent -in -law, step- parent, step - brother, step- sister, grandparent, or any other relative living in the same household, provided such leave as defined in this section shall not exceed five (5) working days for each incident. The employee may be required to submit proof of relative's death before being granted sick leave pay. False information given concerning the death of relationship shall be cause for discharge. 37 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 ARTICLE 25 WORKERS' COMPENSATION LEAVE Any employee who is absent from duty because of on- the -job injury in accordance with state workers' compensation law and is not eligible for disability payments under Labor Code Section 4850 shall be paid the difference between his base salary and the amount provided by workers' compensation law during the first 90 business days of such disability absence. 38 1 2 3 4 5 6', 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 ARTICLE 26 GENERAL PROVISIONS 26.1 Payday Paychecks will be disbursed on a bi- weekly schedule. Payday will be every other Thursday. This disbursement schedule is predicated upon normal working conditions and is subject to adjustment for cause beyond the City's control. 26.2 Paychecks Prior to Vacation If an employee is taking vacation leave and wishes to receive his regular paycheck before payday, the employee must notify the Finance Department in writing at least two weeks prior to the start of vacation provided the employee has sufficient vacation time coming to cover the pay period. 26.3 Salary Survey Agencies For the purposes of external comparisons the agencies to be used for review of compensation shall be the same survey agencies as the City uses for other city employees. Parties agree that this survey shall be based on total compensation and shall only be one of the considerations used to determine compensation. 39 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 ARTICLE 27 POLICY AND PROCEDURE COMMITTEE A committee including three (3) Association member(s), two (2) departmental management and the Personnel Director shall explore and reconcile overlapping and conflicting policies and make recommendations to the Police Chief. The Police Chief will consider any recommendations of the committee; however, the parties recognize and agree that the Police Chief has the authority to set policy. 40 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 • ARTICLE 28 WORKING CONDITIONS Place of Residence An officer's place of residence shall be within a forty (40) minute driving radius from San Luis Obispo proper. 41 1 2' 3'' 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 C� ARTICLE 29 DEFINITIONS For purposes of uniformity in the performance evaluation process, the following definitions, developed by the Performance Appraisal Committee in June 1983, are provided: UNACCEPTABLE Consistently fails to meet performance standards and objectives for position. Performance indicates serious lack of knowledge of basic skills or lack of application of skills. Requires immediate attention and improvement. IMPROVEMENT NEEDED Performance is frequently less than expected of a competent employee for the position. Performance indicates some deficiency in basic skill, knowledge or application. Specific efforts to improve desired. MEETS PERFORMANCE STANDARDS Performance indicates competent and effective adherence to expected standards. Performance indicates fully acceptable demonstration of knowledge and skills. EXCEEDS PERFORMANCE STANDARDS Performance consistently above standards for position. Performance indicates superior knowledge and application of skills. OUTSTANDING Exceptional performance. Application of knowledge, skills.and results are consistently well beyond the expected standard for position. 42 1' 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 �1 t � ARTICLE 30 GRIEVANCE PROCEDURE A. A grievance is defined as an alleged violation, misinterpretation or misapplication of the. Employer- Employee Resolution, the Personnel Rules and Regulations, any memorandum of agreement with an employee association or any existing written policy of procedure relating to wages, hours or other terms and conditions of employment excluding disciplinary matters. B. Any employee may file and process a grievance by providing the time, place and circumstances of the action prompting the grievance. Employees may be accompanied by a representative at each step of the process. If a specific action to be grieved affects several employees, those employees may consolidate their grievances and be represented. C. Provided. that implementation processes are correctly followed, amending the Employer- Employee Resolution or the Personnel Rules and Regulations or creating new or amended written policies or procedures may not be grieved but shall first be subject to notice and consultation or meeting and conferring with the Employee Organization as provided in Sections 7, 8 and 9 of Resolution No. 6620. D. The grievance procedures shall be outlined in the Personnel Rules and Regulations. E. Any dispute regarding the eligibility of an issue for the grievance process 43 11 21' 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 may be appealed through the process ultimately to the Hearing Officer who shall decide on the eligibility prior to ruling on the merits. F. A grievance is appealable, following several preliminary steps, to a Hearing Officer whose decision shall be final. A list of five potential hearing officers shall be obtained from the State Mediation and Conciliation Service by mutual consent. Then following a random determination of which party begins, parties shall alternately strike one name from the list until only one remains. The grievance procedure shall be outlined in the Personnel Rules and Regulations. Any fees or expenses of the Hearing Officer shall be payable one -half by the City and one -half by the appellant. All other expenses shall be borne by the party incurring the expense. G. The City reserves the right to make the Hearing Officer's opinion advisory or to replace the Hearing Officer position in the grievance process with the Personnel board for an Employee Organization after July 1993 provided that: 1. The Hearing Officer has ruled on at least five separate grievances for the Employee Organization; and 2. The City has been sustained in at least 65 percent of the determinations on grievances filed by members of the Employee Organizations. 44 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 C ARTICLE 31 LAYOFFS �J In accordance with Personnel Rule 2.36.280, layoffs shall be governed by job performance and seniority in service within a particular department and job classification. For the purpose of implementing this provision, job performance categories shall be defined as follows: Category 1: Performance that is unsatisfactory, below standard, needs improvement, unacceptable or does not meet minimum standards. Performance defined by this category is evidenced by the employee's two most recent performance evaluations with an. overall rating that falls within the lowest two categories of the performance appraisal report. Category Il: Performance that is competent, superior, meets expectations, meets performance standards, exceeds performance standardsand expectations, or is outstanding. Performance defined by this category is evidenced by an employee's two most recent performance evaluations with an overall rating that falls within the top two to three performance categories of the performance appraisal. 45 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 O A regular employee being laid off shall be that employee with the least seniority in the particular job classification concerned and in the department involved who is in the lowest job performance category. Employees in Category I with the lowest seniority will be laid off first, followed by employees in Category II. Should the two performance evaluations contain overall ratings that are in the two different Categories as defined above, the third most recent evaluation overall rating shall be used to determine which performance category the City shall use in determining order of layoffs. The parties agree that employees who are laid off pursuant to Rule 2.36.280 shall have reemployment rights prior to the employment of individuals on an open or promotion list. The employee to be rehired, must, at the time of rehire, meet the minimum qualifications as stated in the appropriate class specifications. Employee will be rehired on the basis of last out, first in. 46 1 2 3 4 5 6 7 8 9i 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 is ARTICLE 32 WORK ACTIONS i Participation by an employee in a strike or a concerted work stoppage is unlawful and shall terminate the employment relation. Provided however that nothing herein shall be so construed as to affect the right of any employee to abandon or to resign his employment. (a) Employee organizations shall not hinder, delay, interfere, or coerce employees of the City in their peaceful performance of City services by strike, concerted work stoppage, cessation of work, slow -down, sit -down, stay -away, or unlawful picketing. (b) In the event that there occurs any strike, concerted work stoppage, or any other form of interference with or limitation of the peaceful performance of City services prohibited by this Article the City, in addition to any other lawful remedies or disciplinary actions, may by the action of the Municipal Employee Relations Officer cancel any or all payroll deductions, prohibit the use of bulletin boards, prohibit the use of City facilities, and withdraw recognition of the employee organization or organizations participating in such actions. (c) Employee members of any employee organization shall not be locked out or prevented by management officials from performing their assigned duties when such employees are willing and able to perform such duties in the customary manner and at a reasonable level of efficiency. 47 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 Any decision made under the provisions of the Section may be appealed to the City Council by filing a written Notice of Appeal with the City Clerk, accompanied by a complete statement setting forth all of the facts upon which the appeal is based. Such Notice of Appeal must be filed within ten (10) working days after the affected employee organization first received notice of the decision upon which the complaint is based, or it will be considered closed and not subject to any other appeal. 48 1 2 3 4 5 6 7 8' 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 '28 I A. B. ARTICLE 33 COMMUNICATION PROCESS Monthly Conferences There will be a monthly meeting between the department head and management member(s) and at least two (2) association representatives to discuss problems or other subjects of mutual interest. Minutes of the meeting will be maintained to reflect topics discussed, actions to be taken, the party responsible for any action and the expected completion date. Quarterly Meetings Two to four representatives of the association, the City Administrative Officer (or designee), department head (or designee), and management representatives) designated by the City will meet quarterly if there are issues of concern to the parties. NO issues will be brought to this quarterly meeting without first having been discussed with the department head at a scheduled monthly conference. 49 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 ARTICLE 34 FULL AGREEMENT It is understood this Agreement represents a complete and final understanding on all negotiable issues between the City and the Association. This Agreement supersedes all previous Memoranda of Understanding or Memoranda of Agreement between the City and the Association except as specifically referred to in this Agreement. The parties, for the term of this Agreement, voluntarily and unqualifiedly agree to waive the obligation to negotiate with respect.to any practice, subject or matter not specifically referred to or covered in this Agreement even though such practice, subject or matter may not have been within the knowledge of the parties at the time this Agreement was negotiated and signed. In the event any new practice or subject matter arises during the term of this Agreement and an action is proposed by the City, the Association will be afforded notice and shall have the right.to meet and confer upon request. 50 1 2 3 4 5 6 7 8 9 10 11 12 13 14 .15 16 17 18 19 20 21 22 23 24 25 26 27 28 ARTICLE 35 SAVINGS CLAUSE If any provision of this Agreement should be held invalid by operation of law or by any court of competent jurisdiction, or if compliance with or enforcement of any provision should be restrained by any tribunal, the remainder of this Agreement shall not be affected thereby, and the parties shall enter into a meet and confer session for the sole purpose of arriving at a mutually satisfactory replacement for such provision within a thirty (30) day work period. If no agreement has been reached, the parties agree to invoke the provision of impasse under Section 13 of City Resolution No. 6620 (1989 Series). 51 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 23 24 25 26 27 28 ARTICLE 36 RENEGOTIATIONS If either party wishes to make changes to this agreement, that party shall serve upon the other, its written request to negotiate; as well as its initial proposals for an amended Agreement. Such notice and proposals must be submitted to the other party no more than 135 days nor less than 105 days prior to the end of the Agreement. If notice is properly and timely given, negotiations hall commence no later than 90 days prior to the end of the Agreement. 52 1 2 3 4 5 6 7' 8 9 10 it 12 13 14 15 16 17 18 19 21 22 23 24 25 26 27 28 o �o ARTICLE 37 TERM OF AGREEMENT This Agreement shall become effective as of July 1, 1994 and shall continue in full force and effect until expiration at midnight, June 30, 1996. SIGNATURES 1. Classification covered by this Agreement and included within this unit are shown in Appendix "A ". 2. This Agreement does not apply to Temporary Employees or Part -time Employees. This Agreement was executed on February 21, 1995 by the following parties: CITY OF SAN LUIS OBISPO Jill S t in, Acting Per nel Director 52 SAN LUIS OBISPO POLICE OFFICERS' ASSOCIATION /9t Paul A. Bechely, PORAC AN eth, resident, SLOPOA 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 27 28 0 o APPENDIX A CLASSIFICATION Non -Sworn Communications Technician I Evidence Technician Field Service Technician Police Cadet Sworn Police Officer 54 4 i� RESOLUTION NO. 8.391 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN LUIS .OBISPO DECLARING THE CITY'S INTENT TO GRANT A FIFTEEN YEAR FRANCHISE TO SONIC CABLE LEASING CORPORATION AND SETTING A PUBLIC HEARING FOR MARCH 7, 1995 WHEREAS, Sonic Cable Leasing Corporation notified the City in 1991 of their desire-to renew their cable television franchise that was scheduled to expire in April of 1993; and WHEREAS, upon receiving this notification from Sonic Cable Leasing Corporation, the City began preparing for the renewal process. Several studies and surveys were carried out to assess the capabilities of the current cable system and ascertain the community's future cable related needs. The results of these .studies and surveys Were used to create formal franchise renewal objectives to guide the City through the franchise renewal process; and WHEREAS, the City began meeting with Sonic Cable Leasing Corporation in early 1993 to develop a mutually acceptable franchise renewal agreement. Because the City and Sonic Cable Leasing Corporation were not able to reach agreement on a new franchise prior to the April 1993 franchise expiration date, the City and Sonic Cable Leasing Corporation have mutually agreed to extend the existing franchise for short -term increments until an acceptable franchise agreement is developed; and WHEREAS, City staff and Sonic Cable Leasing Corporation have now developed a draft franchise renewal agreement for the City Council's consideration that meets the community's cable related needs. This proposal contains the following key provisions: ■ Type: Non - exclusive ■ Term: _15 years ■ Franchise Fees: 5% of gross revenues ■ System Rebuild: Cable System will be upgraded to 78 channels (with fiber to the serving area) within three years of agreement execution. ■ PEG Access Provisions: The cable operator will establish a PEG Fund for equipment and facilities; provide channel capacity to accommodate PEG access needs; and wire and equip, the Council Chambers at City Hall and the Community Room with live cablecasting capabilities, and provide a cable link to San Luis High School. ■ Future Upgrades: The City will be able to require the cable operator to make upgrades to cable service or the . cable system under certain specified circumstances. WHEREAS, the City has extended the deadline for submittal by Sonic Cable Leasing Corporation of a formal franchise renewal proposal from February 3, 1995 to March 17, 1995. R -8391 Page 2 Resolution No. 8391 NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SAN LUIS OBISPO THAT: 1. A public hearing will be held on March 7, 1995 at 7 pm in the Council Chambers of City Hall at which time it is the intention of the City Council to grant a fifteen year franchise to Sonic Cable Leasing Corporation. 2. Any persons having any interest in the franchise renewal or any objection to the granting of the franchise renewal may appear before the Council and be heard thereon. 3. The City Clerk will publish this resolution at. least once within fifteen days of its passage in a newspaper in the City of San Luis Obispo. Upon motion of Vice Mayor Romero , seconded by Council Member Smith on the following roll call vote: and AYES: Council Members Romero, Smith, Roalman, Williams, and Mayor Settle NOES: None ABSENT: None the foregoing resolution was adopted this 14th day of _February i 11►Ti M W9 �. i APPROVED: offl!)0"A Lziw - I i , 1995. a:zonic-a RESOLUTION NO8390(1995 Series) A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN LUIS OBISPO SUPPORTING EFFORTS AND PROGRAMS OF THE SAN LUIS OBISPO MASTER PLAN TO REDUCE DRUG AND ALCOHOL ABUSE WHEREAS, the City Council of the City of San Luis Obispo recognizes that the abuse of alcohol and other drugs has the potential for far reaching effects on the citizens of San Luis Obispo County, possibly resulting in tremendous losses to our community and negatively impacting employers, employees and those they serve; and WHEREAS, the City Council has reviewed the San Luis Obispo County Master Plan to Reduce Drug and Alcohol Abuse and has received recommendations on it's implementation from the City's Human Resources and Planning Commissions; and WHEREAS, the Master Plan provides programs and policies that encourage clean and sober lifestyle and drug -free work environments including suggestions for certain local land use regulations; and WHEREAS, the City presently enforces land use controls regulating establishments that sell or serve alcohol in a manner which promotes the goals of the Master Plan. NOW THEREFORE, BE IT RESOLVED, by the City Council of the City of San Luis Obispo that the City supports the creation of programs County-wide that will reduce the adverse effects of drug and alcohol abuse on our community as outlined in the Master Plan, and will continue to enforce without change, the City program of use permit controls regulating the existing and proposed businesses that sell or serve alcohol within the City of San Luis Obispo. R -8390 • Resolution No. 8390 (1995 Series) On motion of Council Member Williams ,seconded by Council Member Roalman and on the following roll call vote: AYES: Council Members Williams, Roalman, Romero, Smith and Mayor Settle NOES: None ABSENT: None the foregoing resolution was passed and adopted this 7th day of February , 1995. Mayor Allen K. Settle ATTEST: Ci Clerk Diane R. adwell APPR VED: G)& &M44��� Assteit?Adird'hisirativi Officer, Ken Hampian it, P / /Ia.2_`' P_ . ✓.�_J . r• Jorgensen 1 IV r RESOLUTION NO. 8389(1995 Series) A RESOLUTION OF THE COUNCIL OF THE CITY OF SAN LUIS OBISPO REVISING THE METHODOLOGY FOR SETTING WATER IMPACT FEE RETROFIT CREDITS WHEREAS, the City Council adopted revised water impact fees as a component of the Urban Water Management. Plan adoption on November 15, 1994, and WHEREAS, until an additional supplemental water supply project is initiated, new development must continue to retrofit at a 2 to 1 ratio to provide for appropriate water offsets, and WHEREAS, the Council directed staff to evaluate alternatives for reduction of the water impact fee in recognition of the costs involved in retrofitting existing facilities. NOW, THEREFORE, BE IT RESOLVED, the City Council of the City of San Luis Obispo does hereby revise the previous method for setting water impact fee retrofit credits and establishes: 1. A variable water impact fee credit for the cost of retrofitting, when it is mandatory as a condition of development based on the number of retrofitted bathrooms required to meet water offsets, at $150 per bathroom. 2. Authorizes the Utilities Director to establish an equitable retrofit credit in cases where retrofit offsets are achieved through methods other than bathroom retrofits. 3. Rescinds Resolution No. 8160. R -8389 • Resolution No.8389(1995 Series) Upon motion ofCouncil- :Member seconded by Council Member Smith Roalman and on the following roll call vote: APES: Council Members Roalman, Smith, and Mayor Settle NOES: Council Members Romero and Williams ABSENT: None the foregoing resolution was adopted this 7th day of February 1995. Mayor Allen Settle ATTEST: I�Ae Gladwe , City Jerk VIPR I O RESOLUTION NO. 8388 (1995 Series) A RESOLUTION OF THE COUNCIL OF THE CITY OF SAN LUIS OBISPO APPROVING AN AMENDMENT TO THE GENERAL PLAN MAP, FROM MEDIUM - DENSITY RESIDENTIAL TO MEDIUM - HIGH - DENSITY RESIDENTIAL, FOR THREE LOTS ON THE NORTHERLY SIDE OF ORCUTT ROAD, EAST OF LAUREL LANE (GP 149 -94) BE IT RESOLVED by the Council of the City of San Luis Obispo as follows: SECTION 1. Findings. That this council, after consideration of public testimony, the general plan amendment request GP 149 -94, the Planning Commission's recommendations, staff recommendations and reports thereon, makes the following findings: 1. The map amendment is consistent with the General, Plan, and specifically with policies for residential areas in the Land Use Element. 2. An initial study of environmental impacts was prepared by the Community Development Department on December 8, 1994, that describes environmental impacts associated with the map change. The Community Development Director, on December 8, 1994, reviewed the environmental initial study and granted a Negative Declaration of environmental impact. The initial study concludes that the project will not have a significant adverse impact on the environment, and the City Council hereby adopts the Negative Declaration and finds that the Negative Declaration reflects the independent judgement of the City Council. SECTION 2. Ap rn oval. The general plan amendment GP 149 -94, as shown on exhibit A, attached, is hereby approved. On motion of Vice Mayor Romero seconded by Council Member Williams _, and on the following roll call vote: AYES: Vice Mayor Romero, Council Members Williams, Roalman, Smith and NOES: None Mayor Settle ABSENT: None the foregoing resolution was passed and adopted this 7th day of February , 1995. R -8388 i Resolution no. 8388 (1995 Series) GP 149 -94 1110, 1112, 1114, 1116, 1130., and 1144 Orcutt Road Page 2 Mayor Allen K. Settle ATTEST: 11�U/wlv, 9qA&661- 1 Jerk Diane i. Gladwell a APPROVED: a� *IAtt Jef P G. Jorgensen FL� oo `11 C RESOLUTION NO. 8387-0995 SERIES) A RESOLUTION OF THE COUNCIL OF THE CITY OF SAN LUIS OBISPO DECLARING EQUIPMENT AS SURPLUS PROPERTY BE IT RESOLVED by the Council of the City of San Luis Obispo as follows: Section 1. That the City Council hereby declares that all items of property listed in Exhibit A attached and incorporated herein by reference are surplus property. Section 2. Disposal of the property shall be made by sale at public auction or by another method of disposal in accordance with the City's surplus property policy as determined by the Director of Finance to be in the best interest of the City. Onmotionof Vice Mayor Romero ,secondedby Council Member Smith and on the following roll call vote; AYES: Vice Mayor Romero, Council Members Smith, Roalman, Williams and NOES: None Mayor Settle ABSENT: None the foregoing Res ution was passed and adopted this 7th day of February, 1995. Mayor Allen Settle ATTEST: ( j aLu ` Clerk Diane R� Gladwell APPROVED- (J20, /ice i #f G. Jorgensen ' • J EXHIBIT A ' tk ... ::.:.r•: ::.>':4} �j i.T. U f�F� ��i.. ���. n. }:y ,: �::: t. •::.::::. "Ch +;n:��.:..:::''Y:':t•:: vY }:: ;:v:::::::: v:. �: /..: eC::; ..., C } }r •.: �::::..::....::::::::.:::::::::::::::::::.::....:.::::.::::...::..::.:.::::: ,y ttk kk%:.<; :;k't3k:G %aa }vrt:t• ^vvkii'f:�t: • ^:`::'•33i }: } }i:�: ..xn..: nuvnnvn nvx„ v. u, n,. rw. nnr, }' .... ... ... .......:h:.}:. C. v. tvn�nw. v. �.:, t:. nv. }:. }:. }:. }:.: tr': r::. }:.r Y:.r: i }::yi J. vx; vvvv.. u: vv.. vrv. 03. un:::,i. �. �}: n:^.: }::.Y:.i:.i } }: } }:o }:. v.^. �:.:• n::.::.:: lv:. v.. vvw:. J. ::::...........3Y.............. unv :.vtvn�.�.::w•:nu'nvh {,kNi.C:: nv.,':.A.}nxi..b..n.::nu:w.n l{w.{•.wrA..6m �r vnuff.:u..v,vv Year Make Model License # Vehicle I.D. #Estimated Value 1982 Cushman Scooter 786296 557671 800 1975 GMC F. r S'. e.v... 67}•.3::};.ova: 8.}. 9G.:. 8 Tn:.:., 2,500 �::..:t.; :. lMrf .,� ...Gn.�.. �.r�' rW. }, y�.:.!�..* ,a.; GO . -�... ».. ;: n. :an.: ' y.}::: nn.}.:: o::: G:^e ... .;:frV:o;: . :•:�K ..: t.:599016 ; n. r •.'f} :: . :.fCr:EG:. :v}6, :: k . .8.Gy:.:.aO.a.: Y % ■ .�� ., ra..- .. .:..rn�.: ... .r... .�..�.. .. .: :.} G..:: .Yf. . : c.:..•:v.i.:.; .', : ; a.•}c : : : inahns } }a.},.r » :t. c.st:...tlu.. .:akvs. .:he.t .'f. .: ..G'.: ^.: }nw:f:^v. ..:xn::« .n .fn.�.;f.: :io.iG...:n:iei.: •>' ' nke«4Yr .::..„n. .. :.t..: �..t:; .u...s.o .;.. . } .x�:.n.v:a.n :..i::. i:.:;:: .:.u; :..:: . f.e} ^};.:u' tr.,. ;:}.ny}w n ::. ^ ..` an:nw:?. Jk+ C sfGi.: :;Y ;. h.:.:;:<,::+•}65• ,r :G3•: : : �r. ; ! : :. aw Acquired Make Model Vehicle I.D.# Estimated Value 1965 Case Backhoe 8279588 3,000 1974 John Deere F/E Loader 2047421 3,000 1969 Ingersoll Rand Air Compressor 125RD54429M 1,500 1981 FMC Brush Chipper 600 a ':: ki<: kk: fqk `:;:ii'v.:i:siii:i:i3ii3'.'•`i nE55066SNC16T6270 ZM sii 3`i 3i i si 33i ii 3i 33ii i 3i: t %k:i }: }: i:• i}: 4 < }:; }<;<;s }szi }i }i:si:3ii:.ii} }::::; }' }...... ::::;t;k` i }i::3k'3:'3Y3Y:'3 +' }>:::::,'si: Year Make Model License # Vehicle I.D.# Estimated Value 1991 Chevrolet Caprice 347544 lGlBL5372MR151230 2,000 1991 Chevrolet Caprice 347536 iG1BL5373MR151124 2,000 1991 Chevrolet Caprice 347542 1GiBL5371MR151039 2,000 1991 Chevrolet Caprice 347538 1G1BL5373MR151074 2,000 1991 Chevrolet Caprice 347546 lGlBL5379MR151354 2,000 1991 Chevrolet Caprice 347539 1G1BL5372MR151079 2,000 1991 Chevrolet Caprice 347543 IG1BL5371MR150473 2,000 1991 Chevrolet Caprice 347545 lGlBL5373MR151351 2,000 1991 Chevrolet Caprice 347537 lGlBL537XMR151394 2,000 1991 Chevrolet Caprice 347541 lGlBL5374MR150760 2,000 Total $31,400 g:\9roups\finance\misc\surp1ist �� � i �� � � \�� ��� � � �� RESOLUTION NO. 8386 A RESOLUTION OF THE COUNCIL OF THE CITY OF SAN LUIS OBISPO PRESCRIBING SONIC CABLE TELEVISION'S RATES FOR THE BASIC SERVICE TIER AND RELATED EQUIPMENT AND SERVICE CHARGES AND ORDERING REFUNDS TO SUBSCRIBERS. WHEREAS, the City. of San Luis Obispo was certified by the Federal Communications Commission (the "FCC ") to regulate rates charged by Sonic Cable Television ( "Sonic ") for the basic service tier and associated equipment and service charges on October 26, 1993; WHEREAS, consistent with the initial FCC cable rate regulation rules, the City received FCC Form .393 from Sonic on November 23, 1991 The City reviewed this form and found that Sonic's rate structure complied with FCC rules; . WHEREAS, on February 22, 1994, the FCC adopted new, regulations which contained significant changes to its previous regulations. The material portions of the new regulations, released by the FCC on March 30, 1994, became operative on July 15, 1994. This second set of rate regulations required Sonic to submit FCC Forms 1200, 1205, and 1215 to the City by August 15, 1994; WHEREAS, the City received Sonic's FCC Forms 1200, 1205, and 1215 on August 15, 1994. These forms were supplemented by additional information contained in letters to the City. On September 7, 1994, the City sent Sonic notice that the City was taking the additional ninety days permitted by the FCC regulations to review Sonic's forms and rates; WHEREAS, on October 5, 1994, the City made a finding pursuant to Section 76.937 (e) of the FCC regulations that Forms 1200, 1205, and 1215 submitted by Sonic were facially incomplete and tolled the review process pending receipt of requested information. WHEREAS, the City received a letter from Sonic dated October 27, 1994 that provided the requested information (from the City's October 5, 1994 letter), along with an .amended Form 1200; WHEREAS, the City retained Telecommunications Management Corp. ( "TMC ") to review FCC Forms 1200, 1205, and 1215 and any additional information submitted by Sonic related to rates. On November 17, 1994 TMC provided written evaluations of Sonic's FCC Forms 1200, 1205, and 1215 and the additional information provided. This report. is hereby incorporated into this Resolution as Exhibit B; WHEREAS, the City sent Sonic a copy of the TMC report and provided Sonic with an opportunity to comment on the report. Sonic advised the City, via correspondence dated December 14, 1994, that they had reviewed the report; , R -8386 Page 2 RESOLUTION NO. 8386 (1995 SERIES) WHEREAS, on January 17, 1995, the Council held a duly noticed public hearing to determine if Sonic's rates were in accordance with the second round of FCC rate regulations. The Council considered TMC's reports, Sonic's responses, and all of the evidence and testimony presented at the January 17, 1995 meeting and all other written and oral evidence received in connection with this matter;. WHEREAS, based upon the evidence submitted, including but not limited to the FCC Forms 1200, 1205, and 1215 submitted by Sonic, the staff and consultant reports. and. all other written and oral evidence received in connection with this matter the Council hereby finds that the permitted rates for the basic service tier, the hourly service charge and the rates for equipment related to basic service shall be those rates set forth as the ordered rates in Exhibit A to this resolution, attached hereto and incorporated herein; WHEREAS, the ordered rates in Exhibit A result from Sonic's. own calculations pursuant to the new FCC regulations. NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF SAN LUIS OBISPO THAT: 1. The Council hereby resolves that pursuant. to the FCC regulations effective on July 15, 1994, the rates listed as ordered rates in Exhibit A are the maximum rates that Sonic may charge and orders that the rates set forth in Exhibit A shall be the established rates for basic service and related service and equipment charges. The Council orders Sonic to establish and implement, within sixty days of the date of this Resolution, a new rate schedule conforming to the rates contained in Exhibit A. The Council orders Sonic to maintain the ordered rates, with any future increases to be in accordance with the provisions of the FCC rate regulations. 2. The Council orders Sonic to refund all service and equipment charges since July 15, 1994 in excess of those prescribed by this Resolution to the affected subscribers within the City of San Luis Obispo, with interest in accordance with FCC regulations, within sixty days of the date of this Resolution. 3. The Council orders Sonic to provide the City with written evidence of compliance with the orders contained in this Resolution within ninety days of the effective date of this Resolution. 4. The Council orders Sonic to abide by FCC regulations regarding the establishment of separate charges for remote control units and addressable converters, and advertising practices that reflect total cable rates. Page 3 RESOLUTION NO. • 8386 (1995 SERIES) 5'. The City Clerk is hereby directed to publish notice of this resolution and mail a copy of the resolution to Sonic. Further, the City Clerk shall make available a copy of this resolution to any person upon request. Upon motion of Council Member Roalmap seconded byCouncil'Member Romeroand on the following roll call vote:, AYES: Council Members Roalman, Romero, Smith, Williams, and Mayor Settle NOES: None ABSENT: None the foregoing resolution was adopted this 24 day of January , 1995. Mayor Allen Settle ATTEST: 1w, APPROVED: 0 EXHIBIT "A" Ordered. Rates, Service Charges, and Equipment Charges Basic Service Remote Control Converter for Basic Service Addressable Converter Service Rate Installation Charges • unwired home • prewired home • add'l outlet w /installation • add'1 outlet after installation Relocate Outlet Tier Change . $23.63 per month $ 0.03 per month $ 0.30 per month $ 0.30 per month $28.79 per hour $40.02 $25.62 $11.23 $25.62 $25.62 $ 2.00 1) The "ordered rates" listed above do not include franchise fees or City user tax 2) The "ordered rates" listed above represent the rates that the cable operator is permitted to charge under current FCC rate regulation rules. In some cases, however, the cable operator has chosen to charge rates lower than the permitted rate. G: \SONIC.RES I TELECOMMUNICATIONS MANAGEMENT CORP. 5757 Wilshire Blvd. • Suite 635 • Los Angeles, CA 90036 • (213) 931 -2600 • Fax (213) 931 -7355 Ms. Deb Hossli Admin. Analyst City of San Luis P.O. Box 8100 San Luis Obispo, Dear Deb: Obispo CA 93403 -8100 November 17, 1994 Telecommunications Management Corp. (TMC) has received the FCC Forms 1200, 1205 and 12151 submitted by Sonic Cable Television of San Luis Obispo (Sonic) to the City of San Luis Obispo (the City). The following history of the submission of the documents is noted: On August 15, 1994, the City received a copy of FCC Forms 1200, 1205 and 1215. • On September 7, 1994, the City provided Sonic with written notice "tolling" the permitted 30 -da review period for an additional 90 days. Also in this letter, the City requested written clarification of certain issues contained in the Forms be provided to the City by not later than September 23, 1994. • On September 19, 1994, the City received a letter (dated September 15) from Sonic which 1 Form 1200 is entitled, "Setting Maximum Initial Permitted Rates for Regulated Cable Services Pursuant to Rules adopted February 22, 1994 ". Form 1205 is entitled, "Determining Regulated Equipment and Installation Costs Form 1215 is entitled, "A La Carte Offerings ". Form 1200 will be filed only once, while future rate modifications for programming services will be justified by information contained on Form 1210 ( "Updating Maximum Permitted Rates for Regulated Cable Services "). Form 1205 can be updated annually for changes in equipment rates. Form 1215 is not a form which is evaluated, but rather is a listing of information to supplement the data contained in the other forms. 2 Section 76.933 of the FCC.regulations permits a franchising authority to "toll" the 30 day review period for an additional 90 days if notice is given to the cable operator within the initial 30 days. Ms. Deb Hosslie City of San Luis Obispo November 17, 1994 Page 2 indicated that Sonic would be unable to provide the requested clarifications by September 23, 1994. • On October 5, 1994, the City made a finding pursuant to Section 76.937(e) of the FCC regulations that the Forms submitted by Sonic were facially incomplete and tolled the review process pending official City receipt of the requested clarifications. Sonic was given until October 31, 1994 to comply with the City's request. • On October 28, 1994, the City received a letter (dated October 27) from Sonic responding to the requested clarifications, along with an amended Form 1200.3 The Form had been amended to reflect corrections in programming costs. • On November 16, 1994, the City provided Sonic with a letter which: Notified Sonic that the 120 -day review period for Form 1200 would commence on October 28, 1994, the date the modified Form was received. Notified Sonic that the review of Form 1205 had been tolled for at least 51 days, the time it took Sonic to respond.to the City's letter of September 7. Notified Sonic that this time frame was contingent upon the City determining that the Forms were completed in accordance with FCC regulations. Assuming the Forms 1200 and 1205 are accepted by the City, the 120 - review period would be as follows: • Form 1200 -- 120 days from.October 28, 1994, or February 27, 1995. • Form 1205 -- 120 days from August 15, 1994 plus the 51 days tolled, or February 2, 1995. 3 Also received on this date was an FCC Form 1210 ( "Updating Maximum .Permitted Rates for Regulated Services ") which will be reviewed separately. Ms. Deb Hossli� City of San Luis Obispo November 17, 1994 Page 14 The City may wish to have legal counsel examine any conclusions before the City acts in any official capacity. Please feel free to contact us if you have any questions or require any additional information. Sincerely, Michael J. Friedman Vice President f �,�,�.,tiU� ���;,v'r�, ��' ��� �. � � ��� RESOLUTION NO. 8385 (1995 Series) 'A RESOLUTION OF THE COUNCIL OF THE CITY OF SAN LUIS OBISPO APPROVING AN AMENDMENT TO THE EDNA -ISLAY SPECIFIC PLAN TO ACHIEVE CONSISTENCY BETWEEN THE SPECIFIC PLAN AND THE 1994 GENERAL PLAN LAND USE ELEMENT ANNEXATION POLICIES (SP 154 -94) BE IT RESOLVED by the Council of the City of San Luis Obispo as follows: SECTION 1. Findin . That this council, after consideration of public testimony, the specific plan amendment request SP 154 -94, the Planning Commission's recommendations, staff recommendations and reports thereon, makes the following findings: 1. The text amendment is consistent with the General Plan, because it will result in consistency between the two documents. 2. An initial study of environmental impacts was prepared by the Community Development Department on December 8, 1994, that describes potential significant environmental impacts associated with project development. The Community Development Director has reviewed the environmental initial study and granted a Negative Declaration of environmental impact. The initial study concludes that the project will not have a significant adverse impact on the environment and the City Council hereby adopts the Negative Declaration and finds that it reflects the independent judgement of the City Council. SECTION 2. Approval. The specific plan amendment SP 154 -94, as shown on Exhibit A, attached, is hereby approved. Council On motion of Council Member Williams seconded by Member Smith , and on the following roll call. vote: AYES: Council Members Williams, Smith, Vice Mayor:.Romero and Mayor Settle NOES: Council Member Roalman ABSENT: None the foregoing resolution was passed and adopted this 17th day of January 1995. R -8385 Resolution no. 8385 (1995 Series) SP-154-94 .--Edp!4-,Isl4y Secondary Planning,Area-. - Page,._ 2 Mayor A114rK. Settle ATTEST: 2k6 Clerk R. ladwell jorgensen 0 • I� Amendment•to Edna -Islay Specific Plan page 51: Section: Land Use and Circulation Secondary Planning Area Proposed land use policies Annexation: AdeTdate . e.e this area sheu4d� be - eehaide:ved fez: annematien. Any future annexation requests should be consistent with this specific plan, the city "s general plan, and subsequent growth management i9__ rte. EXHIBIT A Ms. Deb Hossli r City of San Luis Obispo November 17, 1994 Page 3 While TMC has found some errors in the information submitted by Sonic, the material is considered sufficient for the purposes of review. The following caveats should be noted: • Sonic's financial information has not been audited for accuracy. However, the numbers have been examined for consistency with industry standards. It is noted that the Forms are submitted with a signature under a provision that states that willful.false statements are punishable by fine and /or imprisonment. • The rules established by the FCC are subject to revision and modification. The evaluation is based on the rules established and available as of the date of this report. TMC has determined that there area number of issues either within Sonic's Forms, or related to the City's review of rates, which require comment.. These include:. • The adjustments made to Form 1200 • Number of regulated channels • Census income level • Equipment costs and calculations • Equipment repair hours • Advertising of service rates • Calculation of the franchise fee and other items on subscriber bills • Collapsing of tiers These items are discussed below. Ms. Deb Hossli • City of San Luis Obispo November 17, 1994 Page 4 ADJUSTMENTS TO FCC FORM 1200 The only change between the original and revised Form 1200 submitted by Sonic involves the programming costs per tier. On line B2 (and also on line I10), Sonic indicates that .its costs as of 10/27./93 (the initial date of regulation) were slightly greater than previously reported ($31,576.39 vs. $31,313.46). Sonic also indicates that its costs for programming on 3/31/94 (the comparison date.for all cable operators) were less than previously stated ($45,020..38 vs. $52,857.46). This is indicated on line. B8. Since the calculations involved.in Form 1200 deal with changes in costs, this one modification by Sonic has a significant impact on.the permitted rates. From this one change, the permitted rate for Basic Service drops from $24.25 to $23.63.4 NUMBER OF REGULATED CHANNELS Sonic indicates that on 3/31/94, there were a total of 36 regulated channels of which 28 were non- broadcast. On 9/30/92, Sonic indicates that there were a total of 29 regulated channels of which.17 were satellite - delivered. Contained.in the 1994 total are channels which were shared -use (e.g., satellite and broadcast). This includes Channels 2 (KCBS and Prevue Guide) and 7 (KABC and Food Network) . The initial FCC rules were silent on how channels were. - to be carried which were shared in use. On June 1, 1994, the FCC issued a "Question and Answer" which attempted to clarify this issue. In item number 1, the FCC stated: 6Q1: If a channel is split between satellite and non- satellite programming or between broadcast and non - broadcast programming, how is that channel treated for purposes of completing FCC Form 1200 and Form 393? 4 Sonic currently charges $24.21, which is $0.58 more than the permitted rate. The Form 1210, which will be reviewed separately, shows that Sonic wishes to increase its rates to $24.23, which is $0.02 more than the current rate. Ms. Deb Hossli City of San Luis Obispo November 17, 1994 Page 5 Al: Channels should be classified according to their preponderance of use. Thus, a channel that carried satellite programming more than half the time would be considered to carry satellite programming. Similarly, a channel carrying non - broadcast signals more than half the time would be considered to carry non - broadcast signals. See Form 1200, lines C2, H3; Form 3931 page 22." In its October 27, 1994 let -ter, Sonic indicates that the hours of carriage on these channel vary depending upon coverage of certain types of events and.Sonic's ability to preempt programming. Hours of "general carriage" were indicated on a supplemental page. In a follow =up telephone call with Karen Cole,.Sonic's Director of Administration, it was indicated that the hours of.carriage indicated in its letter were for the satellite programming carried. Ms. Cole also indicated.that the two broadcast stations carried were for duplicates of ABC and CBS, and that Sonic was not required to carry these channels in their entirety. The Conclusions to this report accept the Sonic position, although it is noted that if the hours or conditions of carriage are not correctly represented, the permitted rate per channel would be influenced. CENSUS INCOME LEVEL In the City's letter of September 7, 1994, Sonic was requested to provide documentation of the median household income figure utilized.5 Sonic's letter of October 27 stated, "Copy of source document attached ". Sonic's provision of the "Income and Poverty Status in 1988" is not the source document for the figure utilized. However, TMC has confirmed (by filing a FCC Form.1201 with the FCC) that the figure utilized by Sonic is correct. EQUIPMENT COSTS AND CALCULATIONS Form 1205 contains a procedure for determining the capital costs for installing and maintaining equipment, capital costs for leased equipment, and annual operating 5 The letter stated, "For the census income level utilized in Line C5, please identify the source of this figure as well as a photocopy from the source utilized (if available) verifying this number." Ms. Deb H6ss_l1 City of San .Luis Obispo November 17, 1994 Page 6 expenses on the equipment. This information is then combined with other data to compute the Hourly Service Charge (HSC) for installations and the monthly charges for equipment such as converters and remote controls: One of the schedules utilized in computing this data is Schedule C, "Capital Costs of Leased Customer Equipment." Sonic lists "costs" for three items: An addressable remote control, an addressable converter, and a basic converter. For two of the three items listed in this schedule, there is a gross book value of $1.00 indicated, while the third has no gross book value associated. When asked to explain this data, Sonic indicated that "The equipment is fully depreciated .n6 From a procedural perspective, if the equipment is fully depreciated, the gross book value should have been indicated on Row D with an equivalent amount indicated in Row E for accumulated depreciation. In fact, the form, as completed by Sonic, does not indicate that the equipment has been fully depreciated, but rather that it had no gross book value (or only $1.00 in value), and was never depreciated. It is noted that if the equipment is actually fully depreciated, the net result indicated on Form 1205 would be the same as indicated by Sonic. Another area deserving discussion involves the inclusion.of certain pieces of equipment as being "leased ". In the City's letter of October 7, 1994, question 9-asked Sonic: "Form 1205, Steps C and D Please document the charges for the remote control and converters as of March 31,,1'994: If there was no charge for these it ems, please justify the inclusion of equipment "leased" on Lines 15 and 23." Sonic!s response was: "The charges for remote controls and converters as of March 31, 1994 is documented on the Summary Schedule, page 7 of Form 1205 under the column labeled "Actual ". Lines and 23, Steps C and D ask for number of units in service. This module is the worksheet for calculating permitted equipment and installation charges based on the 6 Sonic letter of October 27, 1994. Ms. Deb Hossli . City of San Luis Obispo November 17, 1994 Page 7 cost of maintenance and capital costs, not what is currently being charged." Sonic has not answered the question as to how the FCC regulations permit equipment which is being provided at no cost to the subscriber can be included as being "leased". The instructions for Schedule C. line C direct the cable operator- to: "Enter the total number of units in service for leased remotes and converter boxes. For other leased equipment, list the total number of units n.service or the total number of subscribers using this equipment, whichever is appropriate." The instructions for lines 15 and 23 direct the cable operator to insert the number of units in service "from the corresponding column of line C on Schedule C". Sonic indicates that it charges $0.29 per month for its basic converter (converter box type 1), but does not charge for the remote control or the addressable converter (converter box type 2). However, Sonic includes the units for which it.doesn't charge as being "leased". In other words, Sonic claims that it is, "leasing" equipment for which it does not charge.? An inquiry was placed with the FCC to determine whether this is appropriate. In a conversation with, Aaron Goldschiaidt, a staff attorney with the FCC's Cable Service Bureau, it was indicated that the FCC had not specifically addressed this issue. Although he could not speak with certainty, it was his thinking that the rate regulations primarily make a distinction between equipment provided by the cable operator and that provided by the subscriber. Using this logic, he thought that since Sonic provides the equipment, that it might be considered. "leased" even though there is no charge. However, he did caution that his was not the final opinion on the matter (i.e., the Commission may eventually have to make a ruling). He did indicate the fact that the equipment is fully depreciated may weigh. against considering the equipment as "leased ". This item is important because it could result in a higher rate for equipment, as well as potentially reduce the refund liability due to subscribers (this is discussed in the Conclusions to this report). 7 It is also noted that,.by Sonic's own admission, this equipment is fully depreciated and has 'no net book value. Ms. Deb Hossli City of San Luis Obispo November 17, 1994 Page 8 In a related area, it is noted that Section 76.923 of the FCC's regulations reads: "(b) Unbundling. A cable operator shall establish rates for remote control units, converter boxes, other customer equipment, installation, and additional connections separate from rates for basic tier service. In addition, the rates for such equipment and installations shall be unbundled one from the other." On.its rate card, Sonic combines the rate for the remote control and addressable converter into package prices with other items, rather than separating one from the other. Since the addressable converter and remote control can, and are, also utilized to receive Basic Cable Service, the cost of these items should be unbundled. This should be corrected to be consistent with the FCC's regulations (.this, will not impact the rate charged, but rather more clearly indicate the charges for each piece of equipment). EQUIPMENT REPAIR HOURS In justifying its hours for remote control and converter repair, Sonic indicates that it utilized actual customer repair records (from payroll) and .allocated 5% or the repair hours to remote controls and the remainder to converters. It is noted that many operators do not spend any time repairing remote controls, instead opting only to replace defective units. However, an allocation of a minimal amount of hours for maintenance and service is not unreasonable. ADVERTISING OF SERVICE RATES Sonic's rate card states that "Prices do not include Applicable taxes and fees." The FCC Orders have consistently required that cable operators advertise total costs so that subscribers can make informed choices on the costs.for services taken. This was codified as Section.76.946 of the FCC rules (effective May 15, 1994) which reads: "Cable operators that advertise rates for basic service and cable programming service tiers shall be required to advertise rates that include all costs and fees. Cable systems that cover multiple [ i Ms. Deb Hossli City of San Luis Obispo November 17, 1994 Page 9 franchise areas having differing franchise fees or other franchise costs, different channel line ups, or different rate structures may advertise a. complete range of fees without specific identification of the rate for each individual area. In such circumstances, the operator may advertise a "fee plus" rate that indicates the core rate plus the range of possible additions, depending on the particular location of the subscriber." The FCC's Third Order- on Reconsideration (MM Dockets 92 -266 and 92 -262, FCC.File 94 -40, released March 30, 1994) further clarified how rates should be advertised. In footnote 99, the FCC indicated: "For instance, an advertisement might declare that basic service is $14.00 per month plus a franchise fee of 280 to 700, depending on location, or that it is $14.28 to $14.70 depending on location." In its October 27 letter,. Sonic quotes FCC. 76.946 as permitting their method of advertising. However, Sonic does not comply with the example utilized by the FCC in demonstrating how a "range of fees" should be represented. Sonic should be directed to correct its advertisements to comply with this requirement. Additionally, as noted above, Sonic should be directed to unbundle its rates for remote controls and addressable. converters. COLLAPSING OF TIERS In the FCC's Third order on Reconsideration the issue of how certain "evasions" of the regulations would be prevented is discussed. In paragraph 134, the Order indicates, 11134. Collapsing multiple tiers of service into the basic tier of service, which ultimately eliminates the service choice previously available to customers that raises the price of cable service for all basic tier subscribers may also be considered an evasion by circumventing the rules intended to reduce the cost of cable service and to provide for the buy- through of only desired services. Upon receipt of a complaint on any potential evasion, we will consider, inter alia, Ms. Deb Hossli City of San Luis Obispo November.17, 1994 Page 10 such circumstances as the timing of the cable operator's actions (e.g., whether they occurred on the eve of regulation or in response to the filing of a complaint), the price to subscribers before and after the actions, a comparison of the level of service received by the subscriber before and after the cable operator's actions, and whether the action resulted in the avoidance of the tier buy- through prohibition. Practices that have. the effect of increasing subscriber choice and /or reducing rates generally will not be found evasive of our rules." On September 1, 1993, Sonic "collapsed" two tiers of service.nto one, in what may be considered a possible evasion of the FCC's regulations. The City may wish to notify the FCC of Sonic's actions and request appropriate action. CONCLUSIONS A summary of the rates indicated by this analysis, comparing them to the current Sonic rates, is listed below. W 8 As discussed above, if these units are not considered "leased" because the operator does not charge for them, these amounts would decrease to zero. Actual Rate Permitted Rate Basic Service $24.21 $23.63 Remote Control =0= 0.038 Converter #1 0.29 0.30 Converter 02 -0- 0.308 Hourly Rate 28.65 28.79 Installation Unwired Home 39.95 40.02 Prewired Home .25.60 .25.62 Add' 1. Outlet (with install) it 11.3o i1j�0 11.23 �/ Add'l. Outlet (after install) 25.60 25.62 Relocate Outlet 25.60 25.62 Tier Change 2.66 2.00 W 8 As discussed above, if these units are not considered "leased" because the operator does not charge for them, these amounts would decrease to zero. Ms. Deb Hossli C11 C City of San Luis Obispo November 17, 1994 Page it As can be seen, the actual rates are.greater than.the permitted levels for Basic Service and installation of additional outlets (at the same time as the initial installation). The rates for all other items are less than the permitted rate. It is noted that relatively few subscribers typically Pay the posted rates for installations, since special promotions are frequently offered in the industry. The City has the authority to order _rates which Are in excess of the maximum to be reduced and refunds paid to subscribers who were overcharged. Recent FCC- rulings appear to permit the operator to offset any refund liability by the amount that other rates are below the maximum permitted. The FCC regulations appear to provide that the gross amount of overcharges to all subscribers be reduced by the gross amount of undercharges. The net result is.then divided equally among all subscribers. This is one of the reasons that the issue of leased remote converters.is key. In addition to being able to justify a higher rate (or, in fact, any rate) for the remote control and addressable converter, permitting the free units to be counted As "leased" would allow Sonic to offset a portion of its refund liability.. Assuming for the moment that there is no refund liability based on the installation charges (thinking that few subscribers pay the posted rates), counting the free equipment as leased would reduce the net refund liability from approximately $0.58 per subscriber per month to Approximately $0..20 per subscriber per month.9 Pursuant to the FCC's regulations, the City may order rate reductions and rebates (or credits) to affected subscribers dating back to July 14, 1994.10 If the City disallows the inclusion of the remote. controls and converters in the category of leased units in 9 Based on 13,135.subscribers, 11,300 remote controls, 4,150 basic converters and 15,494 addressable converters. The net refund is based on the total of each category multiplied by the total over or . undercharge which are then added together and divided by the total number of subscribers. 10 Section 76.942(a) requires a franchising authority to give the cable operator notice and the opportunity to comment prior to ordering refunds. Administratively, this may be considered as part of the participation of interested parties (possibly a public hearing). Ms. Deb Hossli C City of San Luis Obispo November 17, 1994 Page 12 service, it is likely that Sonic would appeal the City's decision to the FCC. FCC 76.944 states that the Commission is the sole forum for appeals by cable operators in cases where the franchising authority has followed.the FCC rules. Appeals may be made in court if the operator contends that the franchising authority has not followed the rules.. All conclusions described above are believed to be based upon the current FCC rules for regulation of cable rates. The operator has 30 days from the .release of the franchising authority's written order to appeal to the FCC. The franchising authority then has 15 days to submit its opposition to this appeal. Many cities feel that legal counsel is appropriate for the opposition of any appeal. A possible alternative to the appeal process could involve the issuance of an "accounting order" pursuant to FCC 76.933(c).11 This would permit the City to protect subscriber rights for potential refunds while requesting FCC clarification on this issue. Since FCC rules permit refunds to be ordered for a maximum of 12 months12 (but not earlier than the effective date of the rules), so long as an FCC decision and appropriate City rate order were made prior to July 14, 1995, subscriber refund rights (.including interest) would be preserved. Finally, it is noted that if refunds are ordered, the franchising authority will have to reimburse (or credit on future payments) any franchise fees which may have been paid on the refunded amount. RECO2MENDATIONS The following actions are recommended_ (based upon City agreement with the preceding report): 1. Sonic should be provided a copy of this report and given the opportunity to comment. 11 Section 76.933(c) of the FCC regulations reads, in part, "Provided, however, that in order to order refunds, a franchising authority must have issued a brief written order to the cable operator by the end of the 90 or 150 -day period permitted in paragraph (b) of this section directing the operator to keep an accurate account of all amounts received by reason of the rate in issue and on whose behalf such amounts were paid." The reference to "accurate account" is generally referred to as an "accounting order ". 12 FCC 76.942. Ms. Deb Hossli C- City of San Luis Obispo November 17, 1994 Page 13 2. The City should provide "interested parties" the opportunity to participate in the review process. This most likely will take the form of a public hearing. 3. The City should confirm that the shared hours of use on Channels 2 and 7 provide satellite- delivered programming a preponderance of.the time. 4. Sonic should be directed to reduce its rates to the level indicated as permitted in.Form 1200. 5. The City should consider contacting the FCC for a preliminary indication of how the leased converter units which Sonic provides for free should be included. 6. The City should make a determination whether Sonic has correctly calculated the permitted equipment charges. 7. Based on the findings above, Sonic should be directed to provide refunds to subscribers, including interest, as prescribed by FCC Section 76.942. 8. The City should direct Sonic to comply with FCC regulations concerning the advertising of rates and itemization_ on subscriber bills. This includes having rates which accurately reflect all charges, and properly "unbundle" charges. 9. The City should consider notifying the FCC of the possible "evasion" of the regulations as a result of the collapsing of tiers. 10. Sonic should be directed to show compliance with any City orders. The City is reminded that it must act prior to the expiration of the time permitted by FCC regulations for review. These deadlines are indicated on page 2 of this report (February 27, 1995 for Form 1200 and February 2, 1995 for Form 1205). In general, the City may find it advisable to act significantly prior to these deadlines, so that Sonic will be unable to dispute whether the City has followed FCC requirements. A' RESOLUTION NO._- (1995 Series) A RESOLUTION OF THE COUNCIL OF THE CITY OF SAN LUIS OBISPO DENYING AN APPEAL AND UPHOLDING THE ACTION TAKEN BY THE ARCHITECTURAL REVIEW COMMISSION TO DENY APPROVAL OF A 32- SQUARE -FOOT MONUMENT SIGN AT 2115 AND 2121 BROAD STREET IN THE C -N ZONE, WHERE 24 SQUARE FEET IS THE MAXIMUM AREA ALLOWED. (ARC 156 -94) BE IT RESOLVED by the Council of the City of San Luis Obispo as follows: SECTION 1. Finding s. That this Council, after consideration of ARC 156 -94 and the Architectural Review Commission's decision, staff recommendations, public testimony, and reports thereof, makes the following finding: The Sign Regulations establish a maximum sign area of 24 square feet for freestanding and monument signs in the Commercial- Neighborhood zone, and no unusual conditions or exceptional circumstances exist on this site which warrant granting an exception to the Sign Regulations to allow a larger sign area. SECTION 2. Denial. The appeal of the Architectural Review Commission's action regarding ARC 156 -94 is hereby denied, and the action of the ARC to allow a 6 -foot tall sign where 4 feet is the maximum height allowed, and deny a 32- square -foot sign area where a.24- square -foot sign area is the maximum allowed by the Sign Regulations is hereby upheld. R -8384 Resolution No. 8384 (1995 Series) Page 2 On motion of Council Member Smith ,seconded by Council Member Roalman , and on the following roll call vote: AYES: Council Members Smith, Roalman, Vice Mayor Romero, Council Member Williams, and Mayor Settle NOES: None ABSENT: None the foregoing resolution was passed and adopted this 17 day of January 95. Mayor Allen K. Settle ATTEST: t ` i Clerk D ane Gladwell APPROVED: 1, wmL:lreso \156- 94d.arc s- ', ,, i RESOLUTION NO. 8383 (1995 SERIES) A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN LUIS OBISPO DENYING AN APPEAL FOR A TREE REMOVAL REQUEST AT 3960 SOUTH HIGUERA STREET BE IT RESOLVED by the Council of San Luis Obispo as follows: SECTION 1. Findings. That this Council, after consideration of the applicant's appeal, and the San Luis Obispo Tree Committee's action, staff recommendations and reports thereon, make the following findings: 1. The tree is not causing undue hardship to the property owner; and 2. Removing the tree does not promote good arboricultural practice; and 3. Removing the tree will harm the character or environment of the surrounding neighborhood. Upon motion of vice Mayor Romero seconded by Council Member Smith , and on the following roll call vote: AYES: Vice Mayor Romero,.Council Members Smith, Roalman, Williams, and Mayor Settle NOES: None ABSENT: None the foregoing resolution was adopted this 17th 199 S: Mayor Allen K. Settle EST: (i Di' a Gla well, City Clerk APPROVED TO FORM: 3960hig.res /tm #3 day of January , R -8383 LX\ DILLPROPERTIES February 9, 1999 Mr. David Elliott Administrative Analyst Public Works Department City of San Luis Obispo 955 Morro Street San Luis Obispo, CA 93401 Re :.:12Ml -. - Senator OTConnef - Enclosed please find an original " LEASE:AMELVDIvIENi' " to the lease on the above premises.. which has finally been returned to me, executed by the Senate Rules Committee. I will now proceed to meet with the Lessee's staff and proceed to accomplish the required work to the premises. I will keep you advised. I have appreciated the opportunity of serving you in this matter . Please advise in the event of questions on this matter. Cordially, DILL Commercial Properties Hal A. Dill VM1 ww voizru PUBLIC WORKS /UTILITIES COMMERCIAL-INDUSTRIAL SPECIALISTS SINCE 1960 aea roa' BROKERAGE •COUNSEI,ING•MANAGEMENT dfail to: P. O. BOX 13755 (93406) 2146 PARKER STREET. SUITE A -4, SAN LUIS OBISPO, CA (934011 (805) 544 -3700 FAX (805) 544- K:l.'1Lj'gI&g Senator Jack O'Connell Lease #94/95 -16 SENATE CALIFORNIA LEGISLATURE KEASE AMENDMENT 1 This lease amendment is made and entered into this 23`a day of December 1998, by and between (The City of San Luis Obispo) and the Senate Rules Committee of the California Legislature, hereinafter called State. It is agreed between Lessor and Lessee to modify the lease by amending Section 2 in the following manner: TO HAVE AND HOLD said leased premises, together with the appurtenances, rights, privileges, and easements thereunto belonging or appertaining unto State, for a term commencing on the I st day of December 1998 and terminating on the 30th day of November 2002 with such rights of termination as are hereinafter set forth, with rental payable by State in arrears on the last day of the month in an amount as follows: $1.59 PER SQUARE FOOT FOR 800 SQUARE FEET FOR A TOTAL MONTHLY RENTAL OF x$1,275.00) ONE THOUSAND TWO HUNDRED AND SEVENTY FIVE DOLLARS. THE FOLLOWING TERMS are hereby incorporated into the lease: 1) The Lessor, at his expense, shall re -paint subject premises. 2) The number of parking spaces permit, as set forth in paragraph 2.2 of the lease shall be increased to four (4). 3) The Lessor, at his expense shall clean carpets annually. 4) The Lessor, at his expense, will install window coverings on front window. With the exception of the new paragraphs set out above, all other terms, covenants and agreements of the Lease shall remain in full force and effect. ylber of the Senate LESSOR CITY OF SAN LUIS OBISPO yc1 LESSEE SENATE RULES COMMITTEE of CALIFORNIA By: P. xectitive Officer Date: 2/2/99 DILL January 5, 1999 Mr. David Elliott Administrative Analyst Public Works Department City Of San Luis Obispo, 955 Morro Street San Luis Obispo, CA 93401 Re: 1260 A Chorro -Senator O'Connell EDOJAN - 6 1999 IF SAN LUI5 ut;laru WORKS DEPARTiZENT Enclosed please find three (3) proposed original Amendments to the lease on the above location, finally received from the Senate Rules Committee., with a copy of the coyer letter dated 12-28-98. I believe the terms and conditions contained therein are as we previously discussed, however please call me in the event of any questions. Upon approval , please obtain the necessary signature by the city and return all originals to me for transmittal to the Lessee. I will return a fully executed original to you upon receipt. I have also, in accord with our previous discussion, enclosed an Amendment to my Property Management Contract for your approval , as it has long expired . The fee remains the same. Sincerely , DILL Commercial Properties Hal A- Dill ® MI COMEIiCIAL INDUSTMAL SPECIALISTS SINCE 1'960 AEALTONID BROKERAGE •COUNSELING•AIANAGEMENT Mail to: P. O. BOX 13755 (93406) 2146 PARKER STREET. SUITE A -4, SAN LUIS OBISPO, CA (93401) (805) 544 -3700 FAX (805) 544 -6576 RESOLUTION NO 8382 (1995 SERIES) APPROVING AN AGREEMENT TO LEASE CITY -OWNED PROPERTY AT 1260 CHORRO STREET, SUITE A WHEREAS; the City of San Luis Obispo owns 760 square feet of storefront space zoned for offices at 1260 Chorro Street, Suite A (in the Marsh Street Parking Garage); and WHEREAS, the City wants to lease this space to a stable, long -term tenant; and WHEREAS, the Senate Rules Committee of the California Legislature has submitted a proposal to lease this space as a local office for Senator Jack O'Connell; and WHEREAS, the City has accepted this proposal on condition that the City Council approve a lease agreement; NOW THEREFORE BE IT RESOLVED by the City Council of the City of San Luis Obispo to: 1: approve the lease agreement between the City of San Luis Obispo and the Senate Rules Committee of the California Legislature; 2. authorize the City Administrative Officer to execute the agreement; and 3. direct the City Clerk to forward three originals of the lease agreement executed by the City to Dill Commercial Properties via the public works staff. On motion of vice Mayor Romero_ , seconded by Council Member Williams . and on the following roll call vote: AYES; Vice Mayor Romero, Council Members Williams, Roalman, Smith & Mayor Settl NOES: None ABSENT: None the foregoing resolution was adopted this .17thday of January 1995.. Mayor Allen K. Settle APPROVED AS TO FORM: ATTEST: Assistant City Clerk X_ 8382 GU.• FORMA L.FICI8LATURE d(AIN K. LI•:WIN III I: I MAIN RU13EN S. AYALA t,,� `t SENATE RULES COMMITTEE JOHN I.. FlURTON I II:uI;.\ AN December 28, 1998 Mr. Hal Dill Dill Commercial Properties 2146 Parker Street, Suite A -4 San Luis Obispo, CA 93401 (805)544 -3700 Dear Hal: I II:ICCUIt1' lit:HMI T KO II\ li ROIN wm I1 r11 .0 G \ I lil \ LACAGI:ITU ?:I 11) ISI:CI:'I'I\ V. OFFIf F:II PAT 10EBB i'ii \I \III "I'1•:1:.1:,'I:1�1', \I:1' Enclosed for the City's signature are (3) original copies of the lease amendment. When the City has completed all paperwork, please return all three amendments to my office. When 1 have obtained all necessary signatures, 1 will forward a fully executed copy to your office for your records. The additional rent of $175.00 per month will be reflected in the January 1999 . payment. If you have any questions, please feel free to contact me at 916/324 -9335. Sinc rely, ' 1�1ure11'Ri. Hammond LRH Attachments cc: Tom Jones, Office of Senator Jack O'Connell STATE CAPITOL • FOURTH FLOOR • SACRA:Mi, :N•I'O, GALJFORNIA 95814 -4906 • (916) 445 -4311 - COMMERCIAL PROPERTIES December 10, 1998 Ms Lauren Hammond, Consultant Senate Rules Committee State Capital , Room 400 Sacramento, CA 95814 Re: Lease Renewal.- 1260 "A', Chorro St. San Luis Obispo{ Seilator O' Conzlcll ) Dear Lauren Pursuant to my letter to Senator O'Connell of 11 -6 -98 and my subsequent telephone conversationwith you, I am taking enclosing herewith revised " Lease Modification & Extension Agreements" incorporating items 3, 4 & 5, which we discussed. As previously mentioned , the lease expired on 11 -30 -99 and the Lessor wishes to finalize this matter . We have received rent for the month of December in the sum of $ 1100.00 , therefore a balance d_ ue for .December of $ 175.00. Please return both agreements to this office after execution by the Lessee, and I will return a fully execute copy to you . Please do not hesitate to contact my office, in the event of questions on this matter.. Sincerely, DILL Commercial Properties Hal A. Dill i rim-E cc; Dave Elliott RER° DEC 16 1998 LUIS OBISPO KS /UTILITIES COMMERC1A1.1111)UST1441, SPECIALISTS SINCE 1960 BROKE ItAG,F. -COUNS I?I.I NG•DIANAGEMENT Mail to: 1'. 0. BOX 13755 (93406) 2146 PARKER STREET. SUITE A -4, SAN LUIS OBISPO, CA (9]401) (805) 544 -3700 FAX (805) 544 -6576 r , RESOLUTION NO. 8382 (1995 SERIES) APPROVING AN AGREEMENT TO LEASE CITY -OWNED PROPERTY AT 1260 CHORRO STREET, SUITE A WHEREAS, the City of San Luis Obispo owns 760 square feet of storefront space zoned for offices at 1260 Chorro Street, Suite A (in the Marsh Street Parking Garage); and WHEREAS, the City wants to lease this space to a stable, long -term tenant; and WHEREAS, the Senate Rules Committee of the California Legislature has submitted a proposal to lease this space as a local office for Senator Jack O'Connell; and WHEREAS, the City has accepted this proposal on condition that the City Council approve a lease agreement; NOW THEREFORE BE IT RESOLVED by the City Council of the City of San Luis Obispo to: 1. approve the lease agreement between the City of San Luis Obispo and the Senate Rules Committee of the California Legislature; 2. authorize the City Administrative Officer to execute the agreement; and 3. direct the City Clerk to forward three originals of the lease agreement executed by the City to Dill Commercial Properties via the public works staff. On motion of Vice Mayor Romero , seconded by Council Member Williams and on the following roll call vote: AYES: Vice Mayor Romero, Council Members Williams, Roalman, Smith & Mayor Settle NOES: None ABSENT: None the foregoing resolution was adopted this :17thday of January 1995. i Mayor Allen K. Settle APPROVED AS TO FORM: ATTEST: Assistant City Clerk 9- 8 392 DISCLOSURE STATEMENT THIS IS TO NOTIFY THE SENATE RULES COMMITTEE THAT EITHER, TO THE BEST OF MY KNOWLEDGE, NEITHER I NOR ANY MEMBER OF MY STAFF, HAVE HAD ANY BUSINESS OR FINANCIAL ASSOCIATION WITH THE LANDLORD /OWNER LISTED BELOW OR I WISH TO NOTIFY THE RULES COMMITTEE OF THE FOLLOWING RELATIONSHIP: SENATOR J I LESSOR CITY 0 N LUISNBISPO By- - -- --- m = -- --Admn iv ,0�fficer ity Clerk STATE CAPITOL FOURTH FLOOR SACRAMENTO, CALIFORNIA 95814 - (916) 445 -4311 G California Legislature MEMBERS WILLIAM A. CRAVEN Senate Rules Committee VICE CHAIRMAN RUBEN S. AYALA ROBERT G. BEVERLY NICHOLAS C. PETRIS BILL LOCKYER CLIFF BERG Chairman EXECUTIVE OFFICER DISCLOSURE STATEMENT THIS IS TO NOTIFY THE SENATE RULES COMMITTEE THAT EITHER, TO THE BEST OF MY KNOWLEDGE, NEITHER I NOR ANY MEMBER OF MY STAFF, HAVE HAD ANY BUSINESS OR FINANCIAL ASSOCIATION WITH THE LANDLORD /OWNER LISTED BELOW OR I WISH TO NOTIFY THE RULES COMMITTEE OF THE FOLLOWING RELATIONSHIP: SENATOR J I LESSOR CITY 0 N LUISNBISPO By- - -- --- m = -- --Admn iv ,0�fficer ity Clerk STATE CAPITOL FOURTH FLOOR SACRAMENTO, CALIFORNIA 95814 - (916) 445 -4311 G STANDARD OFFICE LEASE -GROSS AMERICAN INDUSTRIAL REAL ESTATE ASSOCIATION 1. Basic Lease Provisions ( "Basic Lease Provisions") 1.1 Parties: This Lease dated, for reference purposes only, . THE CITY OF SAN LUIS OB 19q4 ,. is made by and between (herein called "Lessor") and THE SENATE RULES COMMITTEE California Legislature. 'herein called the State. (herein called "Lessee"). 1.2 Premises: suite Number(s) "'A". f 1 rst floor, cens(sling of pproximately 800 feet, more or less, as defined in paragraph 2 and as shown on Exhibit "A" hereto (the "Premises "). 1 nC l ud i ng use 0 —common hallway and restrooms. 1.3 Building: Commonly described as being located at 1260 Chorro Street in the City of San Luis Obispo -. County of San Luis Obispo State of California as more particularly described in Exhibit °A„ hereto, and as defined in paragraph 2. 1.4: use: Ofices of State Senator subject to paragraph 6. 1.5 Term: The period commencing January 1. 1995 ("Commencement Date ") and ending r+u 1.6 Base Rent: per paragraph 4.1 month, payable on as defined in paragraph 3. ItIllL day of each month, 1.7 Base Rent Increase; On each annual anniversary rnmmPncemant date the monthly Base Rent payable under' paragraph 1.6 above shall be adjusted as provided in paragraph 4.3 below. 1.8 Rent Paid Upon Execution: -0' for _ 1.9 Security Deposit: -"- 1.10 Lessee's Share of Operating Expense Increase: 1-7.75% as defined in paragraph 4.2. 2. Premises, Parking and Common Areas. 2.1 Premises: The Premises are a portion of a building, herein sometimes referred to as the "Building" identified in paragraph 1.3 of the Basic Lease Provisions. "Building" shall include adjacent parking structures used in connection therewith. The Premises, the Building, the Common Areas, the land upon which the same are located, along with all other buildings and improvements thereon or thereunder, are herein collectively referred to as the "Office Building Project:' Lessor hereby leases to Lessee and Lessee leases from Lessor for the term, at the rental, and upon all of the conditions set forth herein, the real property referred to in the Basic Lease Provisions, paragraph 1.2, as the "Premises:' including rights to the Common Areas as hereinafter specified. 2.2 Vehicle Parking: So long as Lessee is not in default, ajd subject to the rules and regulations attached hereto, and as established by Lessor from time to time, lessee shall be entitled to Mq(JQ use parkinq/s aces! th oe B ildingfQpQp(pt)py(tjpg( 6tgfXRJi61if7E1dat9Cx9QR t R�Di ly R Rk b x permilstJ hr.Y city parking stucture. 2.2.1 If Lessee commits; permits or allows any of the prohibited activities described in the Lease or the rules then in effect, then Lessor shall have the right, without notice, in addition to such other rights and remedies that it may have, to remove or tow away the vehicle involved and charge the cost to Lessee, which cost shall be immediately payable upon demand by Lessor. 2.2.2 The monthly parking rate per parking space will be S '0- per month at the commencement of the term of this Lease, and is subject to change upon five (5) days prior written notice to Lessee. Monthly parking fees shall be payable one month in advance prior to the first day of each calendar month. 2.3 Common Areas - Definition. The term "Common Areas" is defined as all areas and facilities outside the Premises and within the exterior bouridary line of the Office Building Project that are provided and designated by the Lessor from time to time for the general non - exclusive use of Lessor, Lessee and of other lessees of the Office Building Project and their respective employees, suppliers, shippeis,customersand Invitees, including but not limited to common entrances, lobbies, corridors; stairways and stairwells, public restrooms, elevators, escalators, parking areas to the extent not otherwise prohibited by this Lease, loading and unloading areas, trash areas, roadways, sidewalks, walkways, parkways, ramps, driveways, land- scaped areas and decorative walls. 2.4 Common Areas -Rules and Regulations. Lessee agrees to abide by and conform to the rules and regulations attached hereto as Exhibit B with respect to the Office Building Project and Common Areas, and to cause its employees, suppliers, shippers, customers, and invitees to so abide and conform. Lessor or such other person(s) as Lessor may appoint shall have the exclusive control and management of the Common Areas and shall have.the right, from time to time, to modify, amend and enforce said rules and regulations. Lessor shall not be responsible to Lessee for the non- compliance with said rules and regulations by other lessees, their agents, employees and invitees of the Office Building Project, 2.5 Common Areas- Changes. Lessor shall have the right, in Lessor's sole discretion, from time to time: (a) To make changes to the Building interior and exterior and Common Areas, including, without limitation, changes in the location, size, shape, number, and appearance thereof, including but not limited to the lobbies, windows, stairways, air shafts, elevators, escalators, restrooms, driveways, entrances, parking spaces, parking areas, loading and unloading areas, ingress, egress, direction of traffic, decorative walls, landscaped areas and walkways; provided, however, Lessor shall at all times provide the parking facilities required by applicable law; (b) To close temporarily any of the Common Areas for maintenance purposes so long as reasonable access to the Premises remains available; (c) To designate other land and improvements outside the boundaries of the Office Building Project to be a part of the Common Areas, provided that such other land and improvements have a reasonable and functional relationship to the Office Building Project; (d) To add additional buildings and improvements to the Common Areas; (e) To use the Common Areas while engaged in making additional improvements, repairs or alterations to the Office Building Project, or any portion thereof; (f) To do and perform such other acts and make such other changes in, to or with respect to the Common Areas and Office Building Project as Lessor may, in the exercise of sound business judgment deem to be appropriate. Term. 3.1 Term. The tens and Commencement Date of this Lease shall be as specified in paragraph 1.5 of the Basic Lease Provisions. 3.2 Delay in Possession. Notwithstanding said Commencement Date, if for any reason Lessor cannot deliver possession of the Premises to Lessee on said date and subject to paragraph 3.2.2, Lessor shall not be subject to any liability therefor, nor shall such failure affect the validity of this Lease or the obligations of Lessee hereunder or extend the term hereof; but, in such case, Lessee shall not be obligated to pay rent or perform any other obli- gation of Lessee under the terms of this Lease, except as may be otherwise provided in this Lease, until possession of the Premises is tendered to Lessee, as hereinafter defined; provided, however, that if Lessor shall not have delivered possession of the Premises within sixty (60) days following said Commencement Date, as the same may be extended under the terms of a Work Letter executed by Lessor and Lessee, Lessee may, at Lessee's Initials! r 1984 American Industrial Real Estate Association FULL SERVICE -GROSS PAGE 1 of 10 PAGES option, by notice in writing to Lessor within ten (10) days thereafter, cancel this Lease, in which event the parties shall be discharged from all obligations hereunder; provided, however, that, as to Lessee's obligations, Lessee first reimburses Lessor for all costs incurred for Non - Standard Improvements and, as to Lessor's obligations, Lessor shall return any money previously deposited by Lessee (less any offsets due Lessor for Non- Standard Improvements); and provided further, that if such written notice by Lessee is not received by Lessor within said ten (10) day period, Lessee's right to cancel this Lease hereunder shall terminate and be of no further force or effect. 3.2.1 Possession Tendered— Defined. Possession of the Premises shall be deemed tendered to Lessee ( "Tender of Possession ") when (1) the improvements to be provided by Lessor under this Lease are substantially completed, (2) the Building utilities are ready for use in the Premises, (3) Lessee has reasonable access to the Premises, and (4) ten (10) days shall have expired following advance written notice to Lessee of the occurrence of the matters described in (1), (2) and (3), above of this paragraph 321. 3.2.2 Delays Caused by Lessee. There shall be no abatement of rent, and the sixty (60) day period following the Commencement Date before which Lessee's right to cancel this Lease accrues under paragraph 3.2, shall be deemed extended to the extent of any delays caused by acts or omissions of Lessee, Lessee's agents, employees and contractors. 3.3 Early Possession. If Lessee occupies the Premises prior to said Commencement Date, such occupancy shall be subject to all provisions of this Lease, such occupancy shall not change the termination date, and Lessee shall pay rent for such occupancy. 3.4 Uncertain Commencement In the event commencement of the Lease term is defined as the completion of the improvements, Lessee and Lessor shall execute an amendment to this Lease establishing the date of Tender of Possession (as defined in paragraph 3.2.1) or the actual taking of possession by Lessee, whichever first occurs, as the Commencement Date. 4. Rent 4.1 Base Rent Subject to adjustment as hereinafter provided in paragraph 4.3, and except as maybe otherwise expressly provided in this Lease, Lessee shall pay to Lessor the Base Rent for the Premises set forth in paragraph 1.6 of the Basic Lease Provisions, without offset or deduction. Lessee shall pay Lessor upon execution hereof the advance Base Rent described in paragraph 1.6 of the Basic Lease Provisions. Rent for any period during the term hereof which is for less than one month shall be prorated based upon the actual number of days of the calendar month involved. Rent shall be payable in lawful money of the United States to Lessor at the address stated herein or to such other persons or at such other places as Lessor may designate in writing. 4.2 Operating Expense Increase. Lessee shall pay to Lessor during the term hereof, in addition to the Base Rent, Lessee's Share, as hereinafter defined, of the amount by which all Operating Expenses, as hereinafter defined, for each Comparison Year exceeds the amount of all Operating Expenses forthe Base Year, such excess being hereinafter referred to as the "Operating Expense Increase;' in accordance with the following provisions: (a) "Lessee's Share" is defined, for purposes of this Lease, as the percentage set forth in paragraph 1.10 of the Basic Lease Provisions, which percentage has been determined by dividing the approximate square footage of the Premises by the total approximate square footage of the rentable space contained in the Office Building Project. It is understood and agreed that the square footage figures set forth in the Basic Lease Provisions are approximations which Lessor and Lessee agree are reasonable and shall not be subject to revision except in connection with an actual change in the size of the Premises or a change in the space available for lease in the Office Building Project. (b) "Base Year" is defined as the calendar year in which the Lease term commences. (c) "Comparison Year" is defined as each calendar year during the term of this Lease subsequent to the Base Year; provided, however, Lessee shall have no obligation to pay a share of the Operating Expense Increase applicable to the first twelve (12) months of the Lease Term (other than such as are mandated by a governmental authority, as to which government mandated expenses Lessee shall pay Lessee's Share, notwithstanding they occur during the first twelve (12) months). Lessee's Share of the Operating Expense Increase for the first and last Comparison Years of the Lease Term shall be prorated according to that portion of such Comparison Year as to which Lessee is responsible for a share of suoh increase. (d) "Operating Expenses" is defined, for purposes of this Lease, to include all costs, if any, incurred by Lessor in the exercise of its reasonable discretion, for: (i) The operation, repair, maintenance, and replacement, in neat, clean, safe, good order and condition, of the Office Building Project, including but not limited to, the following: (aa) The Common Areas, including their surfaces, coverings, decorative items, carpets, drapes and window coverings, and including parking areas, loading and unloading areas, trash areas, roadways, sidewalks, walkways, stairways, parkways, driveways, landscaped areas, striping, bumpers, irrigation systems, Common Area lighting facilities, building exteriors and roofs, fences and gates; (bb) All heating, air conditioning, plumbing, electrical systems, life safety equipment, telecommunication and other equipment used in common by, or for the benefit of, lessees or occupants of the Office Building Project, including elevators and escalators, tenant directories, fire detection systems including sprinkler system maintenance and repair. (if) Trash disposal, janitorial and security services; (iii) Any other service to be provided by Lessor that is elsewhere in this Lease stated to be an "Operating Expense "; (iv) The cost of the premiums for the liability and property insurance policies to be maintained by Lessor under paragraph 8 hereof; (v) The amount of the real property taxes to be paid by Lessor under paragraph 10.1 hereof; (vi) The cost of water, sewer, gas, electricity, and other publicly mandated services to the Office Building Project; NO Labor, salaries and applicable fringe benefits and costs, materials, supplies and tools, used in maintaining and/or cleaning the Office Building Project and accounting and a management fee attributable to the operation of the Office Building Project; (viii) Replacing and /or adding improvemems mandated by any governmental agency and any repairs or removals necessitated thereby amortized over its useful life according to Federal incorr.e tax regulations or guidelines for depreciation thereof (including interest on the unamortized balance as is then reasonable in the judgment of Lessor's accountants); (ix) Replacuments of equipment or improvements that have a useful life for depreciation purposes according to Federal income tax guidelines of five (5) years or less, as amortized over such life. (e) Operating Expenses snarl not include the costs of replacements of equipment or improvements that have a useful life for Federal income tax purposes in excess of five (5) years unless it is of the type described in paragraph 4.2(d)(viii), in which case their cost shall be included as above provided. - (f) Operating Expenses shall not include any expenses paid by any lessee directly to third parties, or as to which Lessor is otherwise reimbursed by any third party, other tenant, or by insurance proceeds. (g) Lessee's Share of Operating Expense Increase shall be payable by Lessee within ten (10) days after a reasonably detailed statement of actual expenses is presented to Lessee by Lessor. At Lessor's option, however, an amount may be estimated by Lessor from time to time in advance of Lessee's Share of the Operating Expense Increase for any Comparison Year, and the same shall be payable monthly or quarterly, as Lessor shall designate, during each Comparison Year of the Lease term, on the same day as the Base Rent is due hereunder. In the event that Lessee pays Lessor's estimate of Lessee's Share of Operating Expense Increase as aforesaid, Lessor shall deliver to Lessee within sixty (60) days after the expiration of each Comparison Year a reasonably detailed statement showing Lessee's Share of the actual Operating Expense Increase incurred during such year. If Lessee's payments under this paragraph 4.2(g) during said Comparison Year exceed Lessee's Share as indicated on said statement, Lessee shall be entitled to credit the amount of such overpayment against Lessee's Share of Operating Expense Increase next falling due. If Lessee's payments underthis paragraph during said Comparison Yearwere less than Lessee's Share as indicated on said statement, Lessee shall pay to Lessor the amount of the deficiency within ten (10) days after delivery by Lessor to Lessee of said statement. Lessor and Lessee shall forthwith adjust between them by cash payment any balance determined to exist with respect to that portion of the last Comparison Year for which Lessee is responsible as to Operating Expense Increases, notwithstanding that the Lease term may have terminated before the end of such Comparison Year. 4.3 Rent Increase. 4.3.1 At the times set forth in paragraph 1.7 of the Basic Lease Provisions, the monthly Base Rent payable under paragraph 4.1 of this Lease.. . shall..be adjusted by.the increase; it any, in the Consumer Piice lndex•of the 'Bureau of Labor Statistics of the Department of Labor for All Urban Consumers, (1967=100), "All Items;' for the city nearest the location of the Building, herein referred to as "C.P.I.;' since the date of this Lease. 4.3.2 The monthly Base Rent payable pursuant to paragraph 4.3.1 shall be calculated as follows: the Base Rent payable for the first month of the term of this Lease, as set forth in paragraph 4.1 of this Lease, shall be multiplied by a fraction the numerator of which shall be the C.P.I. of the calendar month during which the adjustment is to take effect, and the denominator of which shall be the C.P.I. for the calendar month in which the original Lease term commences. The sum so calculated shall constitute the new monthly Base Rent hereunder, but, in no event, shall such new monthly Base Rent be less than the Base Rent payable for the month immediately preceding the date for the rent adjustment. 4.3.3 In the event the compilation and /or publication of the C.P.I. shall be transferred to any other governmental department or bureau or Initials: c 1984 American Industrial Real Estate Association FULL SERVICE —GROSS PAGE 2 OF 10 PAGES agency or shall be discontinued, then the index most nearly the same as the C.P.I. shall be used to make Such calculations. In the event that Lessor and Lessee cannot agree on such alternative index, then the matter shall be submitted for decision to the American Arbitration Association in the County in which the Premises are located; in accordance with the then rules of said association and the decision of the arbitrators shall be binding upon the parties, notwithstanding one party failing to appear after due notice of the proceeding. The cost of said Arbitrators shall be paid equally by Lessor and Lessee. 4.3.4 Lessee shall continue to pay the rent at the rate previously in effect until the increase, if any, is determined. Within five (5) days following the date on which the increase is determined, Lessee shall make such payment to Lessor as will bring the increased rental current, commencing with the effective date of such increase through the date of any rental instalments then due. Thereafter the rental shall be paid at the increased rate. 4.3.5 At such time as the amount of any change in rental required by this Lease is known or determined. Lessor and Lessee shall execute an amendment to this Lease setting forth such change. 5. Security Deposit. Lessee shall deposit with Lessor upon execution hereof the security deposit set forth in paragraph 1.9 of the Basic Lease Provisions as security for Lessee's faithful performance of Lessee's obligations hereunder. If Lessee fails to pay rent or other charges due hereunder, or otherwise defaults with respect to any provision of.this Lease, Lessor may use, apply or retain all or any portion of said deposit for the payment of any rent or other charge in default for the payment of any other sum to which Lessor may become obligated by reason of Lessee's default, or to compensate Lessor for any loss or damage which Lessor may suffer thereby. If Lessor so uses or applies all or any portion of said deposit, Lessee shall within ten (10) days after written demand therefor deposit cash with Lessor in an amount sufficient to restore said deposit to the full amount then required of Lessee. II the monthly Base Rent shall, froin time to lime, increase during the term of this Lease, Lessee shall, at the time of such increase, deposit with Lessor additional money as asecurity deposit so that the total amount of thesecurity deposit held by Lessor shall at all times bear the same proportion to the then current Base Rent as the initial security deposit moun.to the initial Base Rent set forth in paragraph 1al of the Basic Lease Provisions. Lessor shall not be required to keep said security deposit Separate from to general accounts. If Lessee performs all of Lessee's obligations hereunder, said deposit, a so much thereof pt has not heretofore been applied by Lessor, shall be returned, without payment of interest or other increment for its use, to Lessee (or, at Lessor's No trust option, to the last assignee. if any, of Lessee's interest hereunder) at the expiration of the term hereof. and alter Lessee has vacated the Premises. No trust relationship is created heroin between Lessor and Lessee with respect to saltf Sc:r;wi!y Deposit. 6. Use. 6.1 Use. The Premises shall be used and occupied only for the purpose set forth in paragraph 1.4 of the Basic Lease Provisions or any other use which is reasonably comparable to that use and for no other purpose. 6.2 Compliance with Law. (a) Lessor warrants to Lessee that the Premises, in the state existing on the date that the Lease term commences, but without regard to altera- tions or improvements made by Lessee or the use for which Lessee will occupy the Premises, does not violate any covenants or restrictions of record, or any applicable building code, regulation or ordinance in effect on such Lease term Commencement Date. In the event it is determined that this warranty has been violated, then it shall be the obligation of the Lessor, after written notice from Lessee, to promptly, at Lessor's sole cost and expense, rectify any such violation. (b) Except as provided in paragraph 6.2(a) Lessee shall, at Lessee's expense, promptly comply with all applicable statutes, ordinances, rules, regulations, orders, covenants and restrictions of record, and requirements of any fire insurance underwriters or rating bureaus. now in effect or which may hereafter come into effect, whether or not they reflect a change in policy -from that now existing, during the term or any part of the term hereof, relating in any manner to the Premises and the occupation and use by Lessee of the Premises. Lessee shall conduct its business in a lawful manner and shall not use or permit the use of the Premises or the Common Areas in any manner that will tend to create waste or a nuisance or shall tend to disturb other occupants of the Office Building Project. 6.3 Condition of Premises. (a) Lessor shall deliver the Premises to Lessee in a clean condition on the Lease Commencement Date (unless Lessee is already in possession) and Lessor warrants to Lessee that the.plumbing, lighting, air conditioning, and heating system in the Premises shall be in good operating condition. In the event that it is determined that this warranty has been violated, then it shall be the obligation of Lessor, after receipt of written notice from Lessee setting forth with specificity the nature of the violation, to promptly, at Lessor's sole cost, rectify such violation. (b) Except as otherwise provided in this Lease, Lessee hereby accepts the Premises and the Office Building Project in their condition existing as of the Lease Commencement Date or the date that Lessee takes possession of the Premises. whichever is earlier, subject to all applicable zoning, municipal, county and state laws. ordinances and regulations governing and regulating the use of the Premises, and any easements, covenants or restrictions of record, and accepts this Lease subject thereto and to all matters disclosed thereby and by any exhibits attached hereto. Lessee acknowledges that it has satisfied itself by its own independent investigation that the Premises are suitable for its intended use, and that neither Lessor nor Lessor's agent or agents has made any representation or warranty as to the present or future suitability of the Premises. Common Areas, or Office Building Project for the conduct of Lessee's.business. 7. Maintenance, Repairs, Alterations and Common Area Services. 7.1 Lessor's Obligations. Lessor shall keep the Office Building Project, including the Premises, interior and exterior walls, roof. and common areas, and -the equipment whether used exclusively for the Premises or in common with other premises, in good condition and repair; provided, however, Lessor shall not be obligated to paint, repair or replace wall coverings, or to repair or replace any improvements that are not ordinarily a part of the Building or are above then Building standards. Except as provided in paragraph 9.5, there shall be no abatement of rent or liability of Lessee on account of any injury or interference with Lessee's business with respect to any improvements, alterations or repairs made by Lessor to the Office Building Project or any part thereof. L tmheTghYto make repairs at Les r' erw+r+aie H� s teases Lessor s failure to keep the Premises In good order, condition 7.2 Lessee's Obligations. (a) Notwithstanding Lessor's obligation to keep the Premises in good condition and repair, Lessee shall be responsible for payment of the cost thereof to Lessor as additional rent for that portion of the cost of any maintenance and repair of the Premises, or any equipment (wherever located) that serves only Lessee or the Premises, to the extent such cost is attributable to causes beyond normal wear and tear. Lessee shall be responsible for the cost of painting, repairing or replacing wall coverings, and to repair or replace any Premises improvements that are not ordinarily a part of the Building or that are above then Building standards. Lessor may, at its option, upon reasonable notice, elect to have Lessee perform any particular such maintenance or repairs the cost of which is otherwise Lessee's responsibility hereunder. (b) On the last day of the team hereof, or on any sooner termination, Lessee shall surrender the Premises to Lessor in the same condition as received, ordinary wear and tear excepted, clean and free of debris. Any damage or deterioration of the Premises shall not be deemed ordinary wear and tear if the same could have been prevented bygood maintenance practices by Lessee. Lessee shall repair any damage to the Premises occasioned by the installation or removal of Lessee's trade fixtures, niterntions. lurnishing:; and crpiihnn:nl ExccPl :c; olhcrwisqu glided in this Lease. Lcsscs small leave the air lines. Power pnnols. cteclrical distribution sysloin:;, lighting lixtur e:;, ;iii ronditioniny. window cow:611g e;. wall covering::, rar pr:!:;. N;ill panelling. ceiling:; and plumhino on the I'remi ^en and in ynorl n!u,r alintl htir.n 7.3 Alterations and Additions. (a) Lessee shall not, without Lessor's prior written consent make any alterations; improvements; additions, Utility Installations or repairs in, on or about the Premises, or the Office Building Project. As used in this paragraph 7:3 the term "Utility Installation" shall mean carpeting, window and wall coverings, power panels, electrical distribution systems, lighting fixtures, air conditioning, plumbing, and telephone and telecommunication wiring and equipment. At the expiration of the term, Lessor may require the removal of any or all of said alterations. improvements. additions or Utility Installations, and the restoration of the Premises and the Office Building Project to their prior condition, at Lessee's expense. Should Lessor permit Lessee to make its own alterations, improvements, additions or Utility Installations, Lessee shall use only such contractor as has been expressly approved by Lessor, and Lessor may require Lessee to provide Lessor, at Lessee's sole cost and expense, a lien and completion bond in an amount equal to one and one -half times the estimated cost of such improvements, to insure Lessor against any liability for mechanic's and materialmen's liens and to insure completion of the work. Should Lessee make any alterations, improvements, additions or Utility Installations without the prior approval of Lessor, or use a contractor not expressly approved by Lessor, Lessor may, at any time during the term of this Lease. require that Lessee remove any part or all of the same. (b) Any alterations, improvements, additions or Utility Installations in or about the Premises or the Office Building Project that Lessee shall desire to make shall be presented to Lessor in'written form, with proposed detailed plans. If Lessor shall give its consent to Lessee's making such alteration, improvement, addition or Utility Installation, the consent shall be deemed conditioned upor Lessee acquiring a permit to do so from the applicable governmental agencies, furnishing a copy thereof to Lessor prior to the commencement of the work, and comp!ia_nce by Lessee with all conditions of said permit in a prompt and expeditious manner. (c) Lessee shall pay, when due, all claims for labor or materials furnished or alleged to have been furnished to or for Lessee at or for use in the Premises, which claims are or may be secured by any mechanic's or materialmen's lien against the Premises, the Building or the Office Building Project, or any interest therein. (d) Lessee shall give Lessor not less than ten (10) days' notice prior to the commencement of any work in the Premises by Lessee, and Lessor shall have the right to post notices of non - responsibility in or on the Premises or the Building as provided by law. If Lessee shall, in good faith, contest the validity of any such lien, claim or demand. then Lessee shall, at its sole expense defend itself and Lessor against the same and shall hay and s :dilly initials:._ c 1984 American Industrial Real Estate Association FULL SERVICE —GROSS PAGE 3 OF 10 PAGES : :s!e!j!uj S30Vd 01 d0 D 3E)Vd SSOUD- 301A83S nnfld uo!je!OOSSV 01eis3 lean leujsnpul ueDIJOWV V861 1, esuadxa s'eassal le jossal Aq papeisui asoyl uegl jaLilo'saassal Aq apew sjuawanajdwi Ile 6u!pnloxa'6uujn000 a6ewep ayl of joud Alale!pawwl pajsjxa jeyj' uo11!puoo aqj of eam pa6ewep aw pl!ngaj jo iiedai of japio ui juads aq of Aessaoau Aauow jo w6owe ayl ueaw peLis „lso0 juawaoeldea„ (6) -ssol pajnswun ue ssol ayj aNew jou IIEgs junowe alq!lonpap a sey ssol painsul ue leLil Joel aqj -g ydej6ejed w Paquosap aomnsw aLil Aq PaJaAOO aq of pannbai Juana ue Aq pasneo sem yo!Lim u0ponj)sap jo a6ewep ueaw pegs , sso-i painsul„ (1) Ajaadoad pTes ;o 43npuoOSTlu Tn ;TTM 20'aoua6TT5au Aouedn000 .zo asn og 6UT -4slaa 'suoTSSTwo 'sgot s;gutoTTddt MO.z3 buTSTZe LCg.zadoad put suos.zad og saT.znCUT .z0/put 'sabeurep' ao A4TTTgeTT 'sutT210 'ssoj Aue MOO; SSOTuz.zetf pue aaz; sa@XoTdwa aTat;g ac/pue odsTgo STnj ueg ;0 A4TO aug pToq pue 'pue ;ap '8A2s TTTrI. uoTgezTUeb.zO 914-4 .zo ags '914 ' anog2 pagsTT jCgzbdo.zd AqTo at[g asn og uoTss -cmaad 3o uoTgeaepTsuoo uT gec{g saaa6e xaugzn; aassal. at44 !MOTag pa4STT asn aqg ;o gno 6uTsTap sguabt ao 'saajioTdula 'S29OTJJ0 sgT aassal aqg ;o gonpuoosTlu Tn ;TTM .zo aOUa5TT69u 'SUOTSSTMO 'sgoe et{g ;o gTnsaa e se an000 Aim 4et-4 asuadxa :Zo gsoO 'A.znCuT 'A-4TTTgeTT 'abejuep 'ssoj .zo; sxsT.a TTt awnsst TTtgS sguesazdaz aqs /aT4 get;g LIOTgtzTuP5ao aqq .zo eqs /aq 1Pg4 saazbe pue spueasaaoun 'aUR3TTdde sue se umoux uTazau aassal au,i L'8 Xlluwapul 'ap!Aoid os of pasiopua aq ijeys asean snjj japun pannbai sa!o!lod eouejnsu! Apadoid !le tiessaoau 11 saal!AU! io /pue sjojoejjuoo'saaAoldwa'sjua6e j!ayl jo aassan jo jossan jo aoua6116au ayj of anp jaLilayM Xwed Lions Aq papiso aoueinsw Aljadoid Aq pajaAOD sped ayj of luep!ou! jo to )no 6u!sue a6ewep jo ssol lequanbasuoo jo joei p jol lay ;o aqj lsum6e AjaA00aj 101y6u aj!jua nayj aA!em Pue'Jaylo aqj ana!laj pue asealai Agajay yoea jossan'pue aessan ]aA`!eM 9'8 (0£) Alj!Lil lseal le'peys aassan 'jossan of ao!lou u0pim joud sAeP (o£) A 11 ja ejanoo jo uo!lonpaj of loafgns jo algepaoueo aq peps Ao!lod ons o 0 ayi �al1e s/�ep (L) uanas u!yl!m aouemsu! Lions to slunowe pue aouals!xa ayl S'8 aassal to uo!ss!wo jo Joe Aue jo Aouedn000 s aassan jo ainjeu aljl Aq pasneo 6u!aq se jaujeo aouejnsui s,jossan Aq payloads si aseajow awl 1! asean s!Lij jo iwoj ayj jo juawaouowwoo aqj of joud'Alajeipaww! sem;! leym Jano loa[ojd 6u!pj!ne aoWo aqj joj wniwaid aouejnsu! Aliadoid aqj u! aseajow Aue jo Alanjua ayj Aed Heys aassal uossa-I Aq paujeo sa!opod aou8jnsui ayi aleP!!enw peps yoiLim 6utgVue auop aq of j!wjad jo op jou lleys aassal 'asuadx3 6ugejad0 ue paweep aq lleys sa!0!lod aouemsui algeo!ldde aqj japun s ;unowe alq!lonpap ayl'joajaq (01*6 ydej6ejed uj paupap se ssol paansui ue jaljns peps sas!wajd aLil leLil;uana aqj ul 'awwjalap Aew japual p!esajoje ayj jo jossal se saiq!lonpap Lions u!efuoo lleys p g pue Z 8 sydej6end asayf Aq paimbai sapilod ayi woij9jawj spaeowd Aue of Iw6u Ou aney lleys pue jossal Aq paujeo sa!o!lod Lions Aue ui paweu aq jou Il!m aassal pouad pies joj sasuadx3 6u!jejad0 lie jaAOO osle peps OOUWj su! Lio1LiM ,jossal o; algsAed ssoj yj!m'jeaA auo;o pouad a BUIJaAOO aomnsu! an)eA )eluaj }o Ao!lod e'asean S141 'jo wjaj aqj 5uunp'aojoj ui daa> pue u!elgo IIEys jossan 'uo!1!PPE ul *10afojd 6u!ppne aoigo aqj uo ua!I a 6wAey japual a Aq pajnbei aq Aew jo alges!APE swaap jossan se spjad jayjo Lions PUB, 'sse16 aleltl 'ja!yos!w sno!o!!ew 'wspepueA '96ejaAOO papuajxa 'ajy jo uo!leoy!sselq ayl u!yj!m papnlou! slued Ile lsu!e6e uopajoid 6u!p!Aojd lualeA!nba JO wjO; pjepuejs ao!j;o s9O!AJOS aouejnsul 6u!z!pjn'aw!l of awl wojj ls!xa Aew awes ayj se'JOajagj 1SOO luatueoeldai ljn; ayj jo junowe ayl uu!'sjuawanojdw lueual jo juawdnba'sajn ;xq Apadad Ieuosjad s aassan jou ;nq'sjuawanojdwi 10afOid 6u!ppne 90110 841 01 a6eweP,10 ssoj 6uanoo 50m6sui jo Sap :ilod A Aogod a aseal s!Lil }o uL;al ayj 6uunp Box; ut daa> pue wejgo lleys jossal jossa3-9outunsul Ayadoid q'g s aassan ;o pe ;o'awl.ol awl woj; ls!xa Aew awes ayl se'lsoO luawaoe daj s junowe ue ul'sluawesjopue a5ejjeal jalNuuds a anti no!0!lew PUB ws!lepueA,yl!m'aouejnsw a6ejanoo popualxa pue ant lsoO juawaoeldej 'a E 8 aouaiin000 jad 00'000'000'Ss' ueLil ssal jou junowe ue u! loefojd 6u!pl!ne aoi4o aqj jo aoueualumw jo Aouedn000'asn'tl!Lisjaumo ayi jo ino 6UI51je Aj!I!ge1l ;su!e6e'aassan jou jnq 'jossan 6uunsu! •awp o; awl wojj ajges!Ape swaap jossal s>fs!j jayjo Lions lsuie6e a6ejanoo snld'aousinsul a6ewed Aijadojd wjod Peoie pue Ajnful Al!poe 1!wil al6wS pau!gwoo jo Ao!lod a asean slyj jo wal aqj 6uunp aojoj ui daa>I puL w u ! Z'8 jo Aouedn000'asn aLil jo lno 6u!s!je Ajp!ge!l lsuie6e pajnsut leuo!j!ppe ue se jossa lm as p9u!wJaI8P Algeuoseaj se junowe jaleaj5 ev! jo paupwoo a6e_ w ep Aljadoid in000 jad 000'000'ls ueyj ssal jou jo junowe LIE ul'jualeA!nba jo '(DodOl uaw -A Peas Lipp wjoj PA" bels aoijjo saowaS aouejnsul, ue 6wz!l!ln aouejnsu! Ajp!ge!l IiAUBE) aA!suay . 1'a u a u j? q? Ux3 aaS 'Al!uwapui !aouejnsul •8 'sas!uiajd awl }o asn s,aassal yl!m ajapalu! Algeuoseajun jou op suo!lepelsu! yonsse 6uol os'swalsAs uo!loalap pue uo!loafoid.ajp pue'swalsAs uo!leownwwoo 'swalsAs leoujoala'6u!gwnjd se sa!l!I!ln gons'uo! ;el!w!I }o Aem Aq jou jnq'5u!pnloui'joafad 6uplrne 90!-40 ayj ;o aassal jayjo Aue jo'eassal jo jOssal to l!lauaq ayl jot )dafold 6u!ppne ao!4o awl jnoy6nojyl sa!j!lpe; 61!pjn !euoplppe jo mau pejsu! of jy5u aqj sanjasaj jossan •suo!i!PPv A imn C'L . suoijelie;sul AI!I!lfl jo suo !1!Ppe'sluawanojdw!'suo!leJ-alje Aue jo; suo!leoipoads pue sueld jl!nq -se qj!m jossan aP!Aojd peps aassan 0) 'Z-L ydej6ejed jo suo!s!AOjd ayj 01 loafgns aassan Aq panowaraq Aew pue eassa -1 p Aljadoid ayj umwaj peys'suo!lepelsul Al!I!lfl ueyl jayjo pue'6u!ppne ay; jo sas!wajd ayj of a6ewep leuajew jnoyl!m panowaJ aq louueO 1! leLil os sas!djald ayl of Paxige st yo!yrn jeyl ueyl iaylo'luawdmba pue AUadoid leuosjad s,aassan'(a)£'L ydej6ejed s!y110 suo!s!AOjd ayj 6wpuelsipm1ou'llne}ap w jou si aassan pap!AOjd -(e)E L ydej6ejed of luensind lenowaj j,pol sannbai jossan ssalun'wial asean ayj jo uo!lej!dxa ayl7e sa§!wajd aqj yi!m pajapuaiins aq pue uodn wewaj pue jossan 10 Aljadoid aqj aq peps pue sleualew pue Al!lenb jua!op;ns pue po66 to pue jauuew a>!luewAjom pue poo6 a ui auop pue apew aq ljeys'sjapno pue 6uu!m y!npuoo'swaisAs uoileo!unwwoo jo auoydalal pue 5upy6g pue'uopenualle punos's6u plow' sw- jl! nq 'sadeip'sjoop's6wlaued's6u1JaAOO joop'01 pal!w!l jou jnq 6ulpnlow'aassal Aq sas!wajd aLil of apew aq Aew golt4m (aassal jo sainixy apeilalnl!lsuoo suo!lellelsul Amm Lions IOU jo jeglat4m) suopellelsul Aj!I!1f1 PUB suo !1!Ppe'sjuawanojdw!'suo!lejalle IIV (a) op of os jsajalu! Isaq s jossan of s! j! ap!oap pegs jossal j! uoljoe Lions u! 6uilemo!Ued ui slsoo pue saa; sAawolje algeuoseaj s jossan Aed of aasse -I amnbai Aew.jossan'uoq!pps ul'w!elo jo ua!I Lions jo loaga ayj woj; aw; ;oafojd 6uipl!ng ao!1 ;o ay; pue 6u!ppne ayl'sas!waid aqj 5u!ploy pue awes aqj joj Al!I!ge!I lsuie6e jossal 5u!A;!uwapu1 puewap jo wlelo uap paMWOO Lions of lenba junowe ue U1 jossan of Ajoloe }s!les puoq Alajns a jossal of Lis!wn} pegs eassal'annbei peps jossal I! leyl uo!1!puoo aqj uodn'joalold 5u!ppe ao!ljo ayj jo bupi!ne ayj'sas!uiajd ayj jo jossal aqj 1swE6e loajayl luawaojojua aqj ajolaq uoajegl pajapuej aq Aew Ieyl juaw6pnf asjanpe Lions Aue 0 9.2 Premises Damage; Premises Building Partial Damage. (a) Insured Loss: Subject to the provisions of paragraphs 9.4 and 9.5, if at any time during the term of this Lease there is damage which is an Insured Loss and which falls into the' classification of either Premises Damage or Premises Building Partial Damage, then Lessor shall, as soon as reasonably possible and to the extent the required materials and labor are readily available through usual commercial channels. at Lessor's expense, repair such damage (but not Lessee's fixtures, equipment or tenant improvements originally paid for by Lessee) to its condition existing at the time of the damage, and this Lease shall continue in full force and effect. (b) Uninsured Loss: Subject to the provisions of paragraphs 9.4 and 9.5, if at any time during the term of this Lease there is damage which is not an Insured Loss and which falls within the classification of Premises Damage or Premises Building Partial Damage, unless caused by a negligent or willful act of Lessee (in which event Lessee shall make the repairs at Lessee's expense), which damage prevents Lessee from making any substantial use of the Premises. Lessor may at Lessor's option either (i) repair such damage as soon as reasonably possible at Lessor's expense, in which event this Lease shall continue in full force and effect. or (ii) give written notice to Lessee within thirty (30) days after the date of the occurrence of such damage of Lessor's intention to cancel and terminate this Lease as of the date of the occurrence of such damage, in which event this Lease shall terminate as of the date of the occurrence of such damage. 9.3 Premises Building Total Destruction; Office Building Project Total Destruction. Subject to the provisions of paragraphs 9.4 and 9.5, it at any time during the term of this Lease there is damage, whether or not it is an Insured Loss, which falls into the classifications of either (i) Premises Building Total Destruction, or (ii) Office Building Project Total Destruction, then Lessor may at Lessor's option either (i) repair such damage or destruction as soon as reasonably possible at Lessor's expense (to the extent the required materials are readily available through usual commercial channels) to its condition existing al the time of the damage, but not Lessee's fixtures, equipment or tenant improvements, and this Lease shall continue in full force and effect, or (ii) give written notice to Lessee within thirty (30) days after the date of occurrence of.such damage of Lessor's intention to cancel and terminate this Lease, in which case this Lease shall terminate as of the date of the occurrence of such damage.. 9.4 Damage Near End of Tenn. (a) Subject to paragraph 9.4(b), if at any time during the last twelve (12) months of the term of this Lease there is substantial damage to the Premises, Lessor may at Lessor's option cancel and terminate this Lease as of the date of occurrence of such damage by giving written notice to Lessee of Lessor's election to do so within 30 days after the date of occurrence of such damage. (b) Notwithstanding paragraph 9.4(a), in the event that Lessee has an option to extend or renew this Lease, and the time within which said option may be exercised has not yet expired, Lessee shall exercise such option, if it is to be exercised at all, no later than twenty (20) days after the occurrence of an Insured Loss falling within the classification of Premises Damage during the last twelve (12) months of the term of this Lease. If Lessee duly exercises such option during said twenty (20) day period, Lessor shall, at Lessor's expense, repair such damage, but not Lessee's fixtures, equip- ment or tenant improvements, as soon as reasonably possible and this Lease shall continue in full force and effect. If Lessee fails to exercise such option during said twenty (20) day period, then Lessor may at Lessor's option terminate and cancel this Lease as of the expiration of said twenty (20) day period by giving written notice to Lessee of Lessor's election to do so within ten (10) days after the expiration of said twenty (20) day period, notwithstanding any term or provision in the grant of option to the contrary. 9.5 Abatement of Rent; Lessee's Remedies. (a) In the event Lessor repairs or restores the Building or Premises pursuant to the provisions of this paragraph 9, and any part of the Premises are not usable (including loss of use due to loss of access or essential services), the rent payable hereunder (including Lessee's Share of Operating Expense Increase) for the period during which such damage, repair or restoration continues shall be abated, provided (1) the damage was not the result of the negligence of Lessee, and (2) such abatement shall only be to the extent the operation and profitability of Lessee's business as operated from the Premises is adversely affected. Except for said abatement of rent, if any. Lessee shall have no claim against Lessor for any damage suffered by reason of any such damage. destruction, repair or restoration. (b) If Lessor shall be obligated to repair or restore the Premises or the Buildi rg under the provisions of this Paragraph 9 and shall not com- mence such repair or restoration within ninety (90) days after such occurrence, or it Lessor shall not complete the restoration and repair within six (8) months after such occurrence. Lessee may at Lessee's option cancel and terminate this Lease by giving Lessor written notice of Lessee's election to do so at any time prior to the commencement or completion, respectively, of such repair or restoration. In such event this Lease shall terminate as of the date of such notice. (c) Lessee agrees to cooperate with Lessor in connection with any such restoration and repair, including but not !imited to the approval and /or execution of plans and specifications required. 9.8 Termination — Advance Payments. Upon termination of this Lease pursuant to this paragraph 9, an equitable adjustment shall be made concerning advance rent ano any advance payments made by Lessee to Lessor. Lessor shall, in addition, return to Lessee so much of Lessee's security deposit as has not theretofore been applied by Lessor. 9.7 Waiver. Lessor and Lessee waive the provisions of any statute which relate to termination of leases when leased property is destroyed and agree that such event shall be governed by the terms of this Lease. 10. Real Property Taxes. 10.1 Payment of Taxes. Lessor shall pay the real property tax, as defined in paragraph 10.3. applicable to the Office Building Project subject to reimbursement by Lessee of Lessee's Share of such taxes in accordance with the provisions of paragraph 4.2, except as otherwise provided in paragraph 10.2. 10.2 Additional Improvements. Lessee shall not be responsible for paying any increase in real propertv tax specified in the tax assessor's records and work sheets as being caused by additional improvements placed upon the Office Building Project by other lessees or by Lessor for the exclusive enjoyment of any other lessee. Lessee shall, however, pay to Lessor at the time that Operating Expenses are payable under paragraph 4.2(c) the entirety of any increase in real propertv tax it assessed solely by reason of additional improvements placed upon the Premises by Lessee or at Lessee's. request. 10.3 Definition of "Real Property Tax:' As used herein, the term "real property tax" shall include any form of real estate tax or assessment, general, special, ordinary or extraordinary, and any license fee, commercial rental lax, improvement hond or bonds, levy or tax (other than inheritance. personal income or esl:de taxes) imposed un the 011ice Building Project or any portion thereof by any authority having the direct or indirect power to tax, including any city, county, stale or federal government, or any school, agricultural, sanitary, fire, street, drainage or other improvement district thereof, as against any legal or equitable interest of Lessor in the Office Building Project or in any portion thereof, as against Lessor's right to rent or other income therefrom, and as against Lessor's business of leasing the Office Building Project. The term "real propertv tax" shall also include any tax. fee, levy, assessment or charge (i) in substitution of, partially or totally, any tax, fee,.levy, assessment or charge hereinabove included within the definition of "real property tax :' or (ii) the nature of which was hereinbefore included within the definition of "real property tax :' or (iii) which is imposed for a service or right not charged prior to June 1, 1978, or, if previously charged, has been increased since June 1, 1978, or (iv) which is imposed as a result of a change in ownership, as defined by applicable local statutes for property tax purposes, of the Office Building Project or which is added to a tax or charge hereinbefore included within the definition of real property tax by reason of such change of ownership, or (v) which is imposed by reason of this transaction, any modifications or changes hereto, or any transfers, hereof. 10.4 Joint Assessment If the improvements or property, the taxes for which are to be paid separately by Lessee under paragraph 10.2 or 10.5 are not separately assessed, Lessee's portion of that tax shall be equitably determined by Lessor from the respective valuations assigned in the assessor's work sheets or such other information (which may include the cost of construction) as may be reasonably available. Lessor's reasonable determi- nation thereof, in good faith,. shall be conclusive. 10.5 Personal Property Taxes. personal property of Lessee contained in the Premises or (b) If any of Lessee's said a wt Lessor's real property, Lessee shall pay to Lessor the taxes attributable 11. Utilities. 11.1 Services Provided by Lessor. Lessor shall provide heating, ventilation, air conditioning, and janitorial service as reasonably required, reason- able amounts of electricity for normal lighting and office machines, water for reasonable and normal drinking and lavatory use, and replacement light bulbs and /or fluorescent tubes and ballasts for standard overhead fixtures. 11.2 Services Exclusive to Lessee. Lessee shall pay for all water, gas, heat, light, power, telephone and other utilities and services specially or exclusively supplied and /or metered exclusively to the Premises or to Lessee, together with any taxes thereon. If any such services are not separately metered to the Premises. Lessee shall pay at Lessor's option, cilhor L( ,sec's Sharo or a reasr)nat l•:: prpporlion to he determined b; Lector of all charges jointly metered with other promise, s in file Building. 11.3 Hours of Service. Said services and utilities shall be provided during generally accepted business days and hours or such other days or hours as may hereafter be set forth. Utilities and services required at other times shall be subject to advance request and reimbursement by Lessee to Lessor of the cost thereof. Initials:____ c' 1984 American Industrial Real Estate Association FULL SERVICE =GROSS PAGE 5 OF 10 PAGES :sley!ul S391M OL d0 9 39Vd SSOUS- 3OIA133S ggnzi u0l1eloossy alels3 leas leuisnpul Ueouawy 17861, d ydei6eiedgns slyl Aq paiinbei ao!lou ayi alnl!isuoo osle pet's 1!no;o Wald Aed 01 aolloN Lions saln;els iaum ;aa lnImelun algeo!jdde 01 juensind 1!nO io luaa Aed o1 ao!loN a Lil!m aassaq sanias iossaq Leyl Juana ail ul 'aassaq of iossaq wdil loaiayl ao!lou u811!jm ia4e sAep (£) amyl to pouad a io; anu!luoo lleys ainl!e; Lions Ojai^ 'anp uaym pue se'iapunaiay aassaq Aq apew aq of paiinbai luawAed iayio Aue io luai 10 luawAed Aue ailew of aassaq Aq ainl!e1 ayj (0) ' ;oaiayl aassaq 01 iossaq Aq aopou Aue 10 Al!ssaoau ail inoyllm sllnelap algeino- uou'leualew aq o{ pawaap Agaiay aie yo!ym ;o lle'(sluawasea) L'L17 io'(suo!lone) ££ '(uO!leu!piogns) (q)0C'(aleoy!liao laddolse) (e)91'puawalels aslel) (1)L'E {'(AOUanlosu!) (a)L'£L'(luawuopuege io uo!leOen) (e)L £ }'(6uplalgns io luawu51ssL) L'ZL '(suo!leialle) (P) io (q) '(e)£y sytlei5eied to SUO!S!noid J0 suo!l!puoo'slueuanoo'ayl !o Aue to aassaq Aq yoeaiq ail (q) p!ed s! IUDs ay1 iou io iaylaym'aiow io SAep (09) Alx!s 10 pouad snonuguoo e io1 saslwaid a141 Adn000 of ainl!e1 ay1 apnlou! (legs sas!waid aLi1 10 uo!leoeA aassaq Aq sas!waid aLi1 jo luawuopuege.io uo!leoen ail (e) :aassaq Aq aseaq s!yl to llnelap le!ialew a alnl!lsuoo pet's sluana 6u!mopol 814110 aiow io auo Rue 10 aoua un000 ayi -11ne.;ad vel. sajpawaa !Mne1a( •£L ualeai6 s! ianayo!gm'6uivalgns io luawu6!sse Lions 10 io aseaq s!ul to uo!lnoaxa 8141;0 awl ay] le aq o{ paloadxa sem aassaq se alq!suodsai Ape!oueug se lseal {e aq aassalqns io aau6isse pasodoid ayi (q) pue'slueual iayio Aq play uayl s1Li6u io san!snloxa Aue io uo!;elO!n us iou pue, 10atoid 6u!pl!ng aoil1O aql to sluedn000 lay ;o a ' 10 iaioeieyO jeiaua6 8141 y; m ;uals!suoo pue aassaq ;o leyj of lenba Apepuelsgns Aj!jenb a ;o sas!waid ay1 uo asau!snq a lonpuoo pegs aassalgns io aau5isse pasodoid at11 (e) leyl uo!1eu!uu9lap s iossaq uodn lalgns io u6!sse of lenoidtle Aue uog!puoo 01 ;y6uayl.samasai iossaq •luasuoo 01 suo!1!puoO 9'ZL saal sluellnsuoo iayio io ,siaeu!6ua sloapygie ;sAawoue 6uipnlou!'ypmaiayl uo!loauuoo us paiinoui sasuadxa pue slsoo algeuoseai s Jossaq Aed pet's aassaq uayl op of sasodoid aassaq toe Aue io; iossaq;o luasuoo ayi lsanbai pet's aassa j j! JO 6u!ualgns io {uawu6!sse Aue of iossaq to luasuoo ayi lsanbai io sas!waid 8141 laigns io u6!sse pegs aassaq Juana ail ul •sasuadxa s uossan 9'ZL 'aassalgns ay1 Aq paino sjinelap Lions Aue iol aassaq lsule6e pus woi; 1asgo pue luawasinquipi ;o 1y6u a aney (ieys aassalqns ayi pue'aassal -qns Lions uodn llnelap to aollou pies jo actimas ialle sAep (£) amyl ulyl!m aassaq 10 llnelap a aino of 1yBu 8141 aney pet's aassalgns yang •aassalgns ay; of aassaq Aq 11ne }ap ;o aopou Aue 10 Adoo a iaAlIap of saai6e iossa-l'paluasuoo sey iossaq y0!Lim of 6uillalgns Aue of loadsai yl!M (a) luaSuO3 uallum loud s,iossaq inoyllm sas!waid ayi 10 lied hue io lie lalqns io.u6!sse iaytinl pe11s aassalqns ON (p) 'asealgns Lions iapun aassaq to sllnelap loud iaglo Aue iol io aassaq 01 aassalqns Lions Aq pled ;!sodep Alunoas io sluai p!edaid Aue io; alge!l aq iou pays iossaq ianaMOq'paP!n0id :asealqns Lions jo uo!;eu!wial814101 uo!ltlo pies;o as!oiaxe ay{ ;o awg 8141 wail asealqns Lions iapun aassaq ;o suope6!igo ail axleliapun pegs iossaq ;uana yo14M u!'iossaq of Lualm of aassalqns Aue aiinbai Aew'os op of uo!je6pgo Aue ;noy;!m pue uo!ldo sp le iossaq'aseaq s!Lil iapun suo!le6 w q Juana 6(41 ul (0) pt' 6wlum w paluasuoo Alssaidxa sey iossaq 140!14^ of asealgns a u! pau!eluoo-suo!s!nad Lill^ luals!suooui io of Aisiluo0 aie se suoj3e6ilgo Lions ueyl iaLIjo aassaq Aq pawiopad aq 01 u!aiay Lids gqo Aiana pue yoea yllm Aldwoo pue wio;uoo of paaibe pue pawnsseaney of uossaq;o 1ilauaq 8141 io ;'pawaap aq'aseaq s!y1 iapun asealqns a olu! 6u!ialua ;o uoseai Aq'peys asealqns Auy quasuoo ualpim loud s,iossaq lnoyl!m pag!pow io pa6ueyo aq iou pegs asealqns yans iossaq Aq panoidde aou6 pue iossaq dl Aioloe ;slips sj se aassalqns 10 wiol yans A1uo asn pegs aassa -1 'asealgns Aue olu! 6uu81ua ul iossaq Aq 6u!lum w panoidde uaaq sey p plun pue ssalun an1100118 aq lleys aassaq Aq olui paialua asealqns ON (q) iossaq of aassalqns p!es Aq p!ed as sluai Lions Aue iol iossaq io aassalqns p!es lsu!e6e w!elo io 146!1 0u aney !legs aassaq Aieiluoo ail of aassaq woi; w!e10 io wail aollou Aue 6u!puelsyl!mgou pue slsma llnelap Lions iaylaym of se annbui of lLi6u io uo!le6pgo Aue )noyl!m iossaq of slum yans Aed pegs aassalqns Lions leyl pue iossaq w0i; lsanbai pue luawalels Lions Aue uodn Alai of jy6u aLii aney pegs aassalqns Lions latij saai6e aassaq -asealqns 8141 iapun anp awooaq of pue anp slum 8141 iossaq of Aed ol'aseaq s!yl iapun suo!le6!lgo s,aassaq;0 aouewioliad ay; u! sis!xa 11ne;ap a leyl Bullels iossaq woi; ao!aou uallum a 10 {d!aoai uodn 'aassalqns Lions Aue sloainp pue sazuoylne Algeoonaii! Agaiay aassaq 'asealgns Lions iapun aassalgns yans o1 suo!1e6!lgo s,aassaq {o Aue Lill^ Aldwoo pue wio ;lad of aassaq Lo ainl!el Aue.iol aassalqns ail of alge.1 pawaap aq'aassalgns a woij sluai aql 10 uo!loapoo ail to uoseai Aq iou iossaq of asealqns Lions 10 luawu6!sse iayio Aue io s!,y1 to uoseai ALI101 pegs iossaq asealqns Lions iapun 6u!niooe slum 8141 Aofua pue 1301100'an!aoai Aew aassaq'aseaq s!y1 iapun suoile6pgo s,aassaq 10 aouewiopatl ail w in000 pegs llnelap a plun leyl'ianamoy 'pap!noitl :aseaq s!yl iapun suoge6!1go s,aassaq piemol awes Aldde pue awooui pue luai Lions 1081100 Aew]ossaq pue'aassaq Aq apew iaueaiall io aio ;o{aiay asealqns Aue woil 6u!sue awooul pue sleluai lie ui lsaialui s,aassaq 10 Ile iossaq 01 sia ;sued pue su6!sse Agaiay aassaq (e) :u!aiayl paleiodioou! Alssaidxa IOU JO iaylaym aseaq s!yl iapun sasealgns pew papnloui pawaap aq pet's pue sasiwaid, ail to tied Aue io pe 10 aassaq Aq 6wljalgns Aue of A1dde lieys suo!l!puoo pue swial 6wmollo} ayl'luasuoo s jossaq 10 ssalpie6a8 •6u!galgnS of algeo!lddy suo!;!puoO pue suual jeuo!l!ppq 9,ZL pion pue pnu luasuoo p!es s,iossag iapuai'uo!loala s jossaq le gleys aslel Apeualew sem fist! ;laigns io luawu6lsse ue of luasuoo sl'! 6Ulnl6 w iossaq Aq uodn- pa!lai luawalels'le!oueui; Aue ley! IOU; 91141 JO AianoOSlp ail (y) aw!l 8141 le iossaq Aq palels as!miaylo aq Aew se ldaoxa llnelap 6u!1s!xa uayl Aue }o ian!em a pawaap aq luasuoo Lions pet's iou aassaq Aq pawiopad aq of suo!le6pgo.ayl ;o aseaq si41 iapun s1s!xa uayl " llnelap ou leyi luawa6palmou�loe ue a3n1!lsuo0 iou Heys aassaq Aq sas!waid ail to 6u!llalgns io luawu6!sse Aue o1 luasuoo ualllim s jossaq (6) 'aassaq io iossaq Aq play Alunoas Aue io iossaq of io ;aiayl a1q!suodsai A3llua io uosiatl iayio Aue lsule6e sa!pawai s iossaq 6u!lsneyxa !sip lnoyj!m 'aassalqns ay; 6ulpnpu! 'eseaq s!yl ;o aouewioliad ayi io; 2iglsuotlsai asla auto Aueio siolueien6 Aue'aassaq lsu!e6e ApOailp p3ao0id Aew iossaq'aseaq slyj iapun llnelap Aue 10 Juana ayi ul 0) asealgns Lions i0 aseaq s!y1 iapun aassalqns io aassaq 8141 to suo!ie6pgo aylsaseaiou! io sa6ielua u0!leoglpow io luawpuawe Lions Aue luaixa ayi of a1q!suodsai aq iou pegs suosiad Lions 7anamoy :asealgns pies io aseaq s!yl iapun Alp!gep wail suosiad Lions anapai iou pet's Uogoe Lions pue luasuoo 116141 6u!welgo inoyllm pue asealgns io aseaq ayi uo alge!1 asla auoAue io aassaq 6wNpou lnoyl!m olaiayl suo!jeoippow io sluawpuawe Aue io asealqns ayi ;o SjuaLuu61ssL pue s6u!11a1gns luanbasgns of IUOSU00 Aew iossaq'ianamoH -aassalqns ayi Aq 6u!llalgn's io luawU61SSe an!ss000ns io luanbasgns Aue 01 io aassaq Aq bu!llolgns 10luawu6!sse luanbasgns Aue of luasuoo a alnl!lsuoo iou }ieys 6u!llajgns io 111awu6!sse Aue of iossaq Aq luasuoo, ayj (a) looinyl sulml .1111 hue osealyns Lions of pias1.100 uall!im 110t4I an!6 siolurirn6 Pius ssalun aA!100110 aq lost prys'olaiayl luasuoo s,iossaq pue'asealgns io luawu61ssu up uogi'sa!lied pngl Aq paalueien6 uoaq aney aseaq s!141 iapun SugjL611go s,aassaq 11 (p) aseaq s!Lil io ZL ydei6eied s!y110 Suo1l!P000 io swial ail to Aue to yoeaiq ayi 101 selpawai sl! aslojaxa of lLi61i s,iossaq 10 laddoise JO ian!em a alnlpsuoo pe11s'luai 10 aoueltlaooe ayi iou'6u!ylalgns io luawu6lsse Lions to lenoiddes!p io lenadde ayi u! Aelap a 1214 ;iaN (0) 'luawu5isse Lions ;o lenoiddes!p i0 ienoidde 6u!puad aassaq ueyl iaylo uosiad Aue woi; luai ldaooe Aew iossaq (q) japunaiay aassaq Aq pawiopad aq of suo!le6!lgo iayio Ile wiopad 01 PUe'aSeaioul asuadx3 6u!leiad010 aieyS s,aassag 6u!pnloui iapunaiay iossaq anp swns iayio pue luai ayj ABC 01 aassaq io Al!l!gell Aiewud ayi ialle io iapunaiay suo!ie6pgo s,aassaq 10 aassa-I asealai petls 6u!;lalgns io luawu6!sse ou'juesuoo s jossaq 10 ssalpie5Ob (e) 6u!1laignS pue ;uawu6iSsd o1 algeoilddd suoq!puoO pue swial £'ZL aq iou pegs woym ;o luasuoo ay3'aassaq10 luasuoo ay} ;.10141!^ paialle io pa6ueyo Ape!ia;eui aie aseaq s!yl }o swial ayi 6u!11a1gns.io luawu6!sse t{ ?ns ia11e 1! uana aseaq, s1y110 swial aLil iapun aassaq ;o Al!pge!1 ay1 puiij io loage'Aim Aue w' ;ou Ileys luawu6!sse Lions Auy uoilciwnsse pue luawu6!sseyons 10 o,01lou uallum uan!6 aq pet's {ossaq (q) pue aseaq sly; iapun aassaq jo suo!le6pgo ay; •17.11 w'awnsse pegs aau6!sse pies (e) an!loaga aq Ileys luawu6!sse Lions aiolaq ley! pap!nad :,,a1e!pgy aassaq„ se of paiia)aJ' aie 140!14^ 10 pe'sas!waid ayi uo papnpuo0 6u!aq ! ley; ssau!snq ayi ;o waouoo 6u166 a se aassaq to slasse ay; pe sai!nboe yo!ym Algua io uosiad Aue of io' aassaq yl!m uo!lep!IOSUOo JO ia6iaw ay; woij 6w1 nsai u01leiOdi0o Aue ol.io'aassaq yl!m loiiuod uowwoo iapun s! io Agpapoiluoo S1'sloiluo0 yO!ym uo!leiodioo Aue ol'luasuoo s,iossaq lnoyl!m ;0818141 uo!UOC Aueio'sas!waid ay; laigns io u6!sse Aew aassaq'loaiay j Zl ydei6eied 10 SUOlSlnoid ay; 6wpuelsy;!m1ON -81e!1!;Iy aassa-1 Z'ZL 'd!ysiaujied Lions ut uo!ledp!jied ssol pue }!jOid aq) 10 (%GZ) yuaoiad an! ;- Aluaml ueyl aiow'd!ysiautied a s! aassaq 1! (q) io'uo!leiodioo Lions to Xools But ayi 10 (o�9Z) luaoiatl any- Aluaml ue_y; aiow'uo!leiotliooa it aassaq i! (e) :6u11e6ai66e sialsueil to ialsuei; ay; apnlow pegs ZL_ydei6eied,slyj 1o..5eiueaw ay; u!y ;!m „;a }sued„'l'£l ydei6eied iapun aassaq olao!lou JO; paau 8141 inoyllm aseaq sly! jo goeaiq pue llnelap leiialew S ajn}!isuO3 lleys pup 'p!on'.eq pegs luasuoo yons'Lnoyi!m 6uglalgns io eoueigwnoua 96e61Iow 7o, ;suei1, 'ivawu6lsse paldwaue Aue pue iauuew Alaw!l a ut iapunaiay luasuoo io; lsanbai s,aassaq of puodsai pegs iossaq '17101414 ;!m Algeuoseaiun iou pegs iossaq yolym'luasuoo uallum loud s,iossag lnotipm'saslwaid ayi ut io aseaq a111 u!;saiajw s,aassaq 10 tied Aue io Ile iagwnoua io ialsueil as!miaylo io 'lalgns'a6e6Uow'ialsueil'u6!sse mel 10 uo!leiado Aq io Al ielunlon iou pegs aassaq'paimbea luasuoo s,iOSsa� 1`Z1 '6u!ljalgnS pue luawu6!ssd -ZL -suo!looi!p io lsanbai eluawu]ano6 yym uo!leiad000 ut io oiluoo alqeuoseai s,iossaq puoAaq asneo iayio io nedai 'luapioae'umop>leaiq'elnds!p ioge.I'a>lu;s iou of anp aom.19S io Al!!pn Aue to aouenuiluoosip io uogdniialu! a6edtlois XOenbapeui ay] io1 ianaosleym loadsai Aue ui alge!I aq iou !legs iossaq pue luai io luawa)ege ou eg prtls aiayl -suo!lciniialul 9'11 Bu!peol io a6esn ssaoxa s.aassaq of olge0!ldde 6uualaw aleiedas io/pue luawd!nba leluawalddns asuadxa s aassaq le llrlsu!'uopaios!p Ojos sll u!'Aew iossaq 'aassaq Aq ydei6eiedgns s!y110 yoeaiq e;0 )no asue Aew leLil slsoo io sasuadxa ssaoxa Aue io; iossaq asingw!ai of aassaq aimbai pegs iossaq -loa!oid 6u!pl!ne ao!l40 ay1 iol a6esn ao!go piepuels iaAC'saOlAias qunoas of papwll lou'lnq but pnlou!'sao!nias io sa!1!1!;n ayi uodn uapinq eilxa sasneo letll Joe Aue l!wiad io ialins JO 7amod io bu!iy6!l'ialem ssaoxa sasn ley1 sas!waid ayi lnoge io ut luawdmba io Aiau!yoew asn io lelsui iou pegs pue slapno 6u!ls!xa 146.101141 io Aq Itlaoxa sagp!1n aLi1 of uoiloauuoo aNew iou hews aassaq `aassaq Aq a6esn ssa3x3 I,'LI t I (d) The failure by Lessee to observe or perform any of the covenants, conditions or provisions of this Lease to be observed or performed by Lessee other than those referenced in subparagraphs (b) and (c), above, where such failure shall continue for a period of thirty (30) days after written notice thereof from Lessor to Lessee: provided, however, that if the nature of Lessee's noncompliance is such that more than.thirty (30) days are reasonably required for its cure, then Lessee shall not be deemed to be in default if Lessee commenced such cure within said thirty (30) day period and thereafter diligently pursues such cure to completion. To the extent permitted by law, such thirty (30) day notice shall constitute the sole and exclusive notice required to be given to Lessee under applicable Unlawful Detainer statutes. (e) (i) The making by Lessee of any general arrangement or general assignment for the benefit of creditors; (ii) Lessee becoming a "debtor" as defined in I t U.S.C. §101 or any successor statute thereto (unless, in the case of a petition filed against Lessee, the same is dismissed within sixty (60) days: (iii) the appointment of a trustee or receiver to take possession of substantially all of Lessee's assets located at the Premises or of Lessee's interest in this Lease, where possession is not restored to Lessee within thirty (30) days: or (iv) the attachment, execution or other judicial seizure of substantially all of Lessee's assets located at the Premises orof Lessee's interest in this Lease, where such seizure is not discharged within thirty (30) days. In the event that any provision of this paragraph 13.1(e) is contrary to any applicable law, such provision shall be of no force or effect. (f) The discovery by Lessor-that any financial statement given to Lessor by Lessee, or its successor in interest or by any guarantor of Lessee's obligation hereunder, was materially false. 13.2 Remedies. In the event of any material default or breach of this Lease by Lessee. Lessor may at any time thereafter, with or without notice or demand and without limiting Lessor in the exercise of any right or remedy which Lessor may have by reason of such default: (a) Terminate Lessee's right to possession of the Premises by any lawful means, in which case this Lease and the term hereof shall terminate and Lessee shall immediately surrender possession of the Premises to Lessor. In such event Lessor shall be entitled to recover from Lessee all damages incurred by Lessor by reason of Lessee's default including, but not limited to, the cost of recovering possession of the Premises; expenses of reletting, including necessary renovation and alteration of the Premises, reasonable attorneys' fees, and any real estate commission actually paid; the worth at the time of award by the court having jurisdiction thereof of the amount by which the unpaid rent for the balance of the term after the time of such award exceeds the amount of such rental toss for the same period that Lessee proves could be reasonably avoided; that portion of the leasing commission paid by Lessor pursuant to paragraph 15 applicable to the unexpired term of this Lease. (b) Maintain Lessee's right to possession in which case this Lease shall continue in effect whether or riot Lessee shall have vacated or aban- doned the Premises. In such event Lessor shall be entitled to enforce all of Lessor's rights and remedies under this Lease, including the right to recover the rent as it becomes due hereunder. (c) Pursue are located. Unpaid anstallment of rent and other hereafter npaid monetary obligations of Lessee under dthe terlmsrolfrthis Lease sshall bear ente rest from the date due at the maximum rate then allowable by law. 13.3 Default by Lessor. Lessor shall not be in default unless Lessor fails to perform obligations required of Lessor within a reasonable time, but in no event later.than thirty (30) days after written notice by Lessee to Lessor and to the holder of any first mortgage or deed of trust covering the Premises whose name and address shall have theretofore been furnished to Lessee in writing, specifying wherein Lessor has failed to perform such obligation; provided, however, that if the nature of Lessor's obligation is such that more than thirty (30) days are required for performance then Lessor shall not be in default if Lessor commences performance within such 30 -day period and thereafter diligently pursues the same to completion. 13.4 Late Increase or other sums due hereunder will cause Lessor to incur costs not contemplated by this Lease, the exact amount of w_ hich difficult to ascertain. Such costs include, but are not limited to, processing and accounting char es, and late char e 9 9 e Imposed on Lessor by the terms of any mortgage or trust deed covering the Office Building Project. Accordi ment of Base Rent, Operating Expense Increase, or any other sum due from Lessee shall not be received by Les slgnee within ten (10) days after such amount shall be due, then, without any requirement for notice to Lessee, Les essor a late charge equal to 6% of such overdue amount. The parties hereby agree that such late charge represe so bile estimate of the costs Lessor will incur by reason of late payment by Lessee. Acceptance of such late char a in no event constitute a waiver of Lessee's default with respect to such overdue amount, nor prevent Lessor from 14. Condemnation. If the Premises or any portion thereof or the Office Building Project are taken under the power of eminent domain, or sold under the threat of the exercise of said power (all of which are herein called "condemnation "), this Lease shall terminate as to the part so taken as of the date the condemning authority takes title or possession, whichever first occurs; provided that if so much of the Premises or the Office Building Project are taken by such condemnation as would substantially and adversely affect the operation and profitability of Lessee's business conducted from the Premises, Lessee shall have the option, to be exercised only in writing within thirty (30) days after Lessor shall have given Lessee written notice of such taking (or in the absence of such notice, within thirty (30) days after the condemning authority shall have taken possession), to terminate this Lease as of the date the Condemning authority takes such possession. If Lessee does not terminate this Lease in accordance with the foregoing, this Lease shall remain in full force and effect as to the portion of the Premises remaining, except that the rent and Lessee's Share of Operating Expense Increase shall be reduced in the proportion that the floor area of the Premises taken bears to the total floor area of the Premises. Common Areas taken shall be excluded from the Common Areas usable by Lessee and no reduction of rent shall occur with respect thereto or by reason thereof. Lessor shall have the option in its sole discretion to terminate this Lease as of the taking of possession by the condemning authority, by giving written notice to Lessee of such election within thirty (30) days after receipt of notice of a taking by condemnation of any part of the Premises or the Office Building Project. Any award for the taking of all or any part of the Premises or the Office Building Project under the power of eminent domain or any payment made under threat of the exercise of such power shall be the property of Lessor, whether such award shall be made as compensation for diminution in value of the leasehold or for the taking of the fee, or as severance damages; provided, however, that Lessee shall be entitled to any separate award for loss of or damage to Lessee's trade fixtures. removable personal property and unamortized tenant improvements that have been paid for by Lessee. For that purpose the cost of such improvements shall be amortized over the original term of this Lease excluding any options. In the event that this Lease is not terminated by reason of such condemnation, Lessor shall to the extent of severance damages received by Lessor in connection .with such condemnation, repair any damage to the Premises caused by such condemnation except to the extent that Lessee has been reimbursed therefor by the condemning authority. Lessee shall pay any amount in excess of such severance damages required to complete such repair. 15. Broker's Fee. (a) The brokers involved in this transaction are DILL Commerc i a 1'- Prop-erti_es.,_SLO..C___ as "listing broker" and — as licensed real estate broker(s). A cooperating broker" Is defined as any broker other than the listing broker entitled to a hare of any commiss on arising under this Lease. Upon execution of this Lease by both parties, Lessor shall pay to said brokers jointly, or in such separate shares as they may mutually designate in writing, a fee asset forth in a separate agreement between Lessor and said broker(s), or in the event there is no separate agreement between Lessor and said broker(s), the sum broker(s) to Lessor in this transaction. of $_ _, for brokerage services rendered by said (b) Lessor further agrees that (i) if Lessee exercises any Option, as defined in paragraph 39.1 of this Lease, which is granted to Lessee under this Lease, or any subsequently granted option which is substantially similar to an Option granted to Lessee under this Lease, or (ii) if Lessee acquires any rights to the Premises or other premises described in this Lease which are substantially similar to what Lessee would have acquired had an Option herein granted to Lessee been exercised, or (iii) if Lesser; romninn in POnsossion of the Pmmisr, r. rdbs Ihr: r:x.Piraiion of Iho form of Ihi:: Lga ;:a ;�flr ;, hnvirl {i I:rilod lu exur Oise nn OPliun, ui (iv) it ;:aid brriker(:r) ❑nr the Iltur_unnll c.::ru::u ul nny ulhr:r d:a::u ur i::dr: enlul'!d hdo betw(!un Ihr: Irnrin••.. Pertaining to the P'rur wws and /ul ally odineenl property in which Lonsur ha:: on ii11crusl, or (v) it the 1$1!;u Runt is incrvasu(1, whether by:ryrr ww'-nt or operator of un esealatien clause cunlained herein, then as to any of said transactions or rent increases, Lessor shall Pay said brokers) a lee in accordance with the schedule of said broker(s) in effect.at the time of execution of this Lease. Said fee shall be paid at the time such increased rental is determined. (c) Lessor agrees to pay said fee not only on behalf of Lessor but also on behalf of any person, corporation, association, or other entity having an ownership interest in said real property or any part thereof, when such fee is due hereunder. Anv transferee of Lessor's interest in this Lease- whether such transfer is by agreement or by operation of law, shall be deemed to have assumed Lessor's obligation under this paragraph 15. Each listing and cooperating broker shall be a third party beneficiary of the provisions of this paragraph 15 to the eident of their interest in any commission arising under this Lease and may enforce that right directly against Lessor; provided, however, that all brokers having a right to any part of such total commission shall be a necessary party to any suit with respect thereto. (d) Lessee and Lessor each represent and warrant to the other that neither has had.any dealings with any person, firm, broker or finder (other than the person(s), if any, whose names are set forth in paragraph 15(a), above) in connection with the negotiation of this Lease and /or the consum- mation of the transaction contemplated hereby, and no other broker or other person, firm or entity is entitled to any commission or finder's fee in connection with said transaction and Lessee and Lessor do each here! y indemnity and hold the other harmless from and against any costs, expenses, attorneys' fees or liability for compensation or charges which may be claimed by any such unnamed broker, finder or.other similar party by reason of any dealings or actions of the indemnifying party 16. Estoppel Certificate. a) Each party (as "responding party ") shall at any time upon not less than ten (10) days' prior written notice from the other party ( "requesting party") execute, acknowledge and deliver to the requesting party a statement in writing (i) certifying that this Lease is unmodified and in full force' and effect (or, if modified, stating the nature of such modification and certifying that this Lease, as so modified, is in full force and effect) and the date Initials: __ ,c' 1984 American Industrial Real Estate Association FULL SERVICE —GROSS PAGE 7 OF 10 PAGES S30Vd 01 d0 8 3E)Vd SS01:10-331Al13S 7118! .sle!;!ul 5_ , uo!le!oossy 8191§3 lean Ieuisnpul ue0uawy 4861 awes a41,ol aassa-1 of Al!I!geil Aue ane4 iossa-1 pegs iou'luai to luawolege lno41!m aq !legs 4dej6ejed s!41 of IuenSJncl Jossa1;0 saglA14oe Ilt/ Z'Z£ 'su6!s ,Oseajijoj,. /ueu!pio Aue sas!wad a14l'lnoge jo uo aoeld joaja4 weal ayl to sAep 03L lsel a4j 6uunp aw!l Aue le Aew ;ossa� pue sAs , aleg ioj„ %eu!pio Aue 6u!pl!ne a41 jo sas!waid aqj inoge io uo a0eld aw!l Aue le Aew jossal 'sas!waJd aql 10 asn s;aassa- of lOa}la asianpeje!iajew ou si aiagl se 6uol se saslwaid 1a410 J.O /pue sas!waid aLil 46noj41 sl!npuoo PUB sad!d'saovuas sail!I!ln 10 6ululelu!ewpue 6u!sn'6u!loaja a4l pue algej!sap,jo Ajessaoau, wasp Algeuoseaj Aew jossan se 10afdld 6wppng ao! ;1O a4101 Jo'sas!waid a14101 suol)!PPe 10 sluawanoidw!'snmdar'suo!leialle Lions 6unjew'samlonils Aiessaoau ja410 jo 6u!plogeos LiOns 6u!loaia'sainseaw Alajes Lions 6upiel'saassal jo'siapual'siase14and angoadso.id 01 awes a41 6u!mo4s'jossa-1 to pannbai sao!njas Aue 6u!waoljad'awes aqj 6ugoadsui ;0 asodind a141 jol saw!j olgeuoseaj le sas:waJd a4l Jalua 01146!8 a141 ane4 pe4s slua6e s Jossa-1 pue iossa-1 1-Z£ 'SSaood s,josSa-j'Z£ 'line ;ap Lions yl!m uo!loauuoo u! paouawwoo Alluanbasqns si uogoesueil le6al a jou io jay ;agm'4j!maagj uo!loauuoo ut suo!jejlnsuoo, pue llnelap to 80!lou ;o aopuas pue uo!leJedajd a4j ul paimoui sasuadxa pus sisoo ia14jo lie pue seal ,sAaujojje algeuoseai of Pall!lua aq Heys Jossa- £'1£ Lille; Pooh u! paiinoui Algeuos9ai.saal ,sAaujolie 11vasingw!ai AlInj of se Lions aq'!leys jnq'alnpagos aal'pnoo Aue yi!m aouepi000e ui palndwoo aq jou pe4s pieme Bel ,sAawolle ayl Z-L£ uapunaaay 146u a aaojua of s�laas oym u!aja4 paweu ia>loiq aqj ;o 1!)auaq aqj of a:nu! Heys 4dei6eied s!yl 10 su0!s!Awd a4i'luaw6pnf to uo!s!oap of pansind s! u6!1oe Lions jou jo iagla4M pue' ;!ns aleiedes a jo awes a4l u! Unoo a141 Aq paxg se Aped 6wiol aqj Aq pled aq of Baal sAaujol;e algeuoseai s!4 of pall jua aq Ijeys'uoaja41 19adde io Ieul'uo!loe Lions Aue w AUed 6ull!9naJd ayl'japunaiay s346!j aieloap io;oaia4 swial 041 aao;ue of U01joe us 6uuq u!aje4 pauieu (s)jallouq ayl io Abed iaylia ;I l't£ -Saaj ,SRaujOuv -t£ (q)OE 4dej6eied sjgl 41!m aouepio0oe u! sluawnoop Lions alnoaxa ol'peals pue aoeld'awau s,aassa-I u! pue Ibe;- Iii- Aawolle s,aassa-1 se jossan ju!odde AIg80Onajjj pue ajnj!lsuoo'aMew AgaaLi soop aassan 'joel- w- Aaujolle s,aassan se aassa-1 to lleyaq uo sluawnoop Lions alnoaxa lleys jossa-'uo!ldo s iosse-1 le''jo eassa-I of aollou ja14linl lnotipm japunajaq aassa l Aq llnelap leualew a a;nl!lsuoo Ile4s puewep uallpm jal ;e sAep (OL) ual u!gl!m sluawnoop Lions alnoaxa of ainliel s,aassan'aq Aew aseo aqj se'aseal puna6 {o isnil jo peap'a6e6uow Aue ;o uail aqj 'ol:joud u!ajaq paluej6 uolldo Aue io asea-1 s!y1 ailew of io'uoileuipjogns e'luawwojle ue alenjoaya of pannbai sluawnoop Aue alnoaxa of seaide aassa-I (q) ;oaja41 6u!pjooaj ;o ajep ayj jo aseal puna6 jo lsnil ;o peep 'a6e6pow p!es to alep ayjol juanbasqns io'joud palep aje suo!ldo Lions jo asea-1 s141 jaglagm'as9al puna6 jo 1snij ;o paep'a6e61iow Lions of joud pawaap aq Heys suo!ldo Lions pue asea-I si4j'aassa-1 01 joaia41 a0!lou uauUm OA16 Ile4s PUB 'aseal puna6 jo lsnij lo,peap'96e6Uow sp Io ua!1 a41 of joud Agaja14 paluej6 suo!ldo Aue pue asea-1 s!gl ane4 0110ala Ile4s iossal puna6 io aalsnil'aa6e6pow Aue 11 swial sl! ol luensmd paleu!wiaj ns!m,;01410 s! Ose0-1 s!41 ssalun'aseaj s!14l jo_SUO!s!nad aq) fo Ile wjoljod pue aA.1esgo pue juai a14l Aed pe4s.easse-1 se 6uol os pue llnelap ui jou si aassa-1 j!_paginjsip aq lou IIe4s sas!wald aq) to uo!ssassod lamb of 146u s,aessa-j 'uo!leu!piogns.yons 6u!puels4l!mloN'loaja4l suo!suajxa pue slual uaOeldai' suo!l ep!losuoo'suoge6!l!pow'slemauai Ile of pue loajayl4!jnoas aqj uo apew s90uenpe pe pue Aug of pug loafed 6u!p!!ng ao!yo a4j uodn paoeld je4eaiaq jo mou Aj!moas io uopeoaylodAy jeglo Aue jo'lsnil jo peep 'a6e6Uow'eseal puna6 Aue of ajmpjogns aq Ile4s'uo!ldo s,jossa-1 le Agaia4 paluej6 Iesn;ai jsiy to 146u io uo!ido Aue pue'asea-1 s!yj (e) •uogeulpuognS •0£ 'paleool s! loafed 6u!pling a0!u0 ayi 4o!ym it Alunoo a41 ui paleg!ui aq pe14s o4aia4 sa!ped a4l uaamlaq asea -1 s!141 6u!waouoo uo!le6!11I Aue pue paleoo;s!'Mfoid 6u!ping aoi4o a41 aia4m 9jzjS'agl' 10 smel ayl Aq p8wano6 aq IIe4s asee-1 s!41'su6!sse pue siossa0ons'san!leluesaidai leuosiad i!a41'saiped 941 pu!q IIe4s asea-I s!yl'LL 4deAeied ;o suo!s!AOid a41 dl joafqns pue aessal Aq 6uill6lgns io luacuu6!sse 6ujl0ulsaj loaiaLi suo!sinad Aue of loafgnS itte1 ;o eo!o4o :j_;eH3 6u!pwg•6Z vo!j!PUO3 a PUByueuano0 a 4loq pawaap aq Ileys aassan Aq algewojiad asea-I S141 JO uo!s!noid (4083 *suO4!puoo PUB S;ueuanoo(aZ Almloa ui jo mel le sa!pawai JagIO Ile 41!m an!lejnwno aq'alq!ssod lanalaym'I1e4s lnq aA!snloxa pawaap aq IIe4s japunala(i uo!10aI9 Jo ApawaJ oN- SOIPOWOU aA!;einwno'LZ Aoueuel 4juow of 41uow p!es 6uunp loal ;a ia4pn1 ou to aq pue paleuiwiaj pawaap aq Ileys asea-I sigj jo swial aLil iapun paluei6 Aug ji'suo!ldo Ile pue'asewl s!14j ;o alep uo!leu!wjal aqj 6u!paoajd Alale!pawwi alge/,ed juai a4j ;o (%OOZ) luaaad paipuny om; aq I!e4s algeAed juai a4l ley{ ldaoxa'aassa-1 10 suo!1e61Igo aqj bl 6u!u!eUad asea-j s!(IJ 10 suo!s!nad ayl Ile uodn gluow of 4luow wwj Aoueual a aq Ile4s Aouedno0o Lions ;oa,194 wial a4l 10 u011endxa 644 ial ;e loaja41 Ued Aue Jo sas!wald 841 to uoissassod ui suiewai'luasuoo si jossa� yl!M'aassaj 11 -Jan0 6ulpl6H•9Z 'sasodmd 6u!pjooa jol' asee-1 S14) 10 wnpuejowa(u „wio; jiOq$., a -Ja14lo 841 01 aan1lap pue a6pa mouXoe'ajnoaxa'jaylo ayl jo jsanbal uodn'lleys aassan io Jossa-1 Jayl!3 'BUIP490.au'sZ.. -juai 4ons ;o aouelda0oe ;0 aw!1 a4l le 4oeaiq 6u!paoajd Lions jo a6palmou>I s,iossa-I to ssalpie6ai'paldaooe os juai ielno!Ued 841 Aed of aassa� 10 aml!el 841 ue41 la41o'joa.1aLi uo!s!Aoid Aue to aassa-I Aq 4oeaq 6wpa0aid Auv, to �nnlem a aq lou Heys �ossa-I Ay iapunnsx! Iun1 Io n0ur.lcln0or.ngl nnssn-I Aq I0r luanbasgns Aue jo �cnoldde �o of lunsuo0 s,�ossa� jo Bwu!rlgo aqj Ajessnoauun npuai of pawaap :,4 IOU 11814§ 111: A0e'ju IM IL JU 10'01 Iuns000 s ,0sso'I 'UOIS!nojd i3410 Auu ,o awes 841 to ease-{ Aq Li6eaiq juanbasqns [,us ;o io;oeia4 uois!noid ja410 Aue 10 JaA!eM a pawaap aq Heys )oaJaLi UO!S!nad Aue jo jossa-1 Aq JanleM ON 'S1aAleM-tZ 'aassan of a0pou Aq aleu6!sap ia4eaa4 aw!l of aw!l wa; Aew iosse� se sassaippe 14ons le sallied jo Alied gons of pall!wsuejl Alluaimouoo aq Ije(ls japunaia4 Jossa-1 of uan16 aq of pall!(wad io pannbai sao!lou Ile ;o Adoo y 'sasodmd a0!lou jol ssaippe s;aassa-j alnlilsuoo pr,Lis sns!wad a41's0s!cu3Jd 841 to uo!ssassod 61.111tIel S,aassaj uodn le4l ldaoxa sasodmd ao!lou jol 6u!mpoj snoy ssajppe luaaj;!p a A ;!cads ,aylo 841 of ao!lou Aq Aew Aced ia141!3 'sinOoo IS�p mna140!4M'p!edada6elsod'I!ew oyl u! l!sodap 4146!8 -Apo; io'pannbei ssaippe aqj le ldiaaa, lenloe uodn UaA16 pawaap aq Heys sao!lou pal!eW 'aq Aew aseo aqj se'sa!Ued an!loadsai a41 )o ainjeu61s 841 0! luaoefpe jo molaq palou ssaippe ay; le jossal of 16 eassa-! of passaJPpe io paJOA110p ;! uanl6 Al;uaiz)iAns pawaap aq Ileys pue'l!ew paials!6ai Jo pa!;!U A ao Aq Jo JaA!Iap Ieuosiad Aq uaA16 aq Aew pue 6u!lum ui aq jleys japunajag uaA!6 aq of pall!wjad jo paimbei ao!lou Auy 'SOW ON'£Z. -usual sly ; ;o wial ayj 6uunp joal ;a ut suo!lelnbaj pue smel algeo!Idde Ile 4l!m joeia41 aoue!ldwoo ay1 pue s8s!w8Jd aqj Ito Al!l!geldepe pue asn Ie6al ayl'lov' 4lleaH AjaleS Ieuo!ledn000 aqj 6u!pie6ai A;p!q!suodsa Ile sawnsse aassan legj sa6palmouNoe aassa-j pue loafed 6u!ppng 8011 ;0 841 10 sas!waid a4j ;o aass81 Aq asn jo uo!l!puoo a4l 01 aAllelai aassaj of suo4ejUOS3AdaJ 10 sa!lueJJUM Uallum 10 1810 Aue apew se4 suOSiad plus to Aue to slua6e jo aaAoldwa Aue jo jossal 841 jou uopoesueil s!41 uo ja)laq 6upeiad000 Aus iou )oaJay 91. .4de.t6eied w palsH jaMoiq alelsa Jew aqj jayl!au 1e41 sa6palmomicle Agajaq aassa-I 'asean s!y1 uj palels as!mjaylo se jd30x3'uOgeOp!pow 014110 aw!l 04118 isaialu!,u! sallied aqj Aq pau6!s Aluo 6u4!lm ui pa!l!pow aq Aew aseal s!yl eAll0aga aq pe4s ia;;ew Lions Aue o; 6wuiLlied 6u!puelsiapun io ;uawaaj6e snoeueiodwa;uoo io loud ON 'wala4 pauo!juaw japew Aue 01 loadsaa 41!m sallied a41 ;o sluawaai6e Ile su!eluoo asea-1 s!41 •S;uawpuawy!S;uawaaj6y Jo!Ad ;o uogejodiooulZZ 'luaj aq of pawaap aq IIe4s iapunajaq eassal Aq ajgeAed sasuadxa ia47o Aue pue asea,oul asuadx3 6upejado jo aie(lS s,aassa-I of popw!l jou lnq 6u!pnlou!'asea-1 si41 jo swial a4j japun jossa-1 of aassan jo suolls6!Igo Ajelauow 1114 luali leuo!jjppy'tZ asea-1 s!41 iapun pawopad aq of suo!le6!Igo aqj of joadsai Lipm aouasse a'41 jo si aw!1-aouass3 ;o aw!1'OZ alel yo!4m uodn s ;unowe'Aue uo iou aassan Aq pajinoui sa6jego ale{ uo a eA y pap!nad 'asea-1 s!qj iapun eassa-1 Aq llnelap Aue ain0 j aw ed 'anp alep aqj wojj sluaw6pnf io mel Aq a!gemolle ua(11 ajej wnw!xew I'6t 'j0aja4 UOISlnold jaylo Aue 10 411pgrn n41 18148 Arm ou u! 111a4s uo11oIp:;unf Iunlnduu» 10 lino-) r. Aq pounulnlop St: sup to UOMIAOId Auc'ILI AI!pgcnul nq,I 'Aj!I!gmanaS'9l '(1114SIJUMO 10 SPOUad aAIloadSal )!34l 6uunp Aluo'su6!ssu pue s,uss000ns s josso-1 uo uu!pu!q aq'p!u:;:uu1u Sr lool14ns'HUyS Jossa'1 Aq pawioljad aq of asea-1 §!141 w pau!eluoo suo!le6!Igo agj'aajua6 84101 paJanpap aq Ile4s';sajejui ue se4 aassal 4o!4m ui uajsuejl gons jo aw!1 a41 le ,oluej6 ua41 941 jo jossa-1 10 spumy a4j u! spun{ Aue 11241 pap!AOid'pawjopad aq of iajleaiagj suo!le6Hgo s jossaj sjoadsai se Ajp!gep 118 10 ia;sueil Lions jo alep a41 cage pue waj paeaHaJ eq IIe4s (�01ueJ6 a4l ua4l sJa ;stteSj juanbasqns Aue .jo ase.0 ut pus) paweu ula'a(1 Jossa� 1saalu! 10 ap!; Lions 10 jalsuejl Aue' ;o Juana ayl w'SL 4dei6eied u! pap!nad Aissaidxa se ldaoxa Pue'10af0Jd 6u!ppng ao!�o a4j ;o aseal puna6 a u!;saiaju! s,aassal a jo all!1 aa; ayl ";o'uo!lsanb ui aw!1 a4j le'siaumo ao jaumo aq) Ajuo ueaw pmt's uiaiay pasn sm ,.lossa-i„ weal 841 A;g!gbs_I s,jossa-1 *Lt jo iapual 4ons pue iossa-1 Aq pan!aoaJ aq pe4s'sluawalels Ie!oueug gons as , . amyl 159tl.agl apnloul Heys sluawalels LionS ',ase4and io is ua ew s9 aassan ;o sluawalels Ieiou -Oil 4ons iossa-1 Aq pa:j uBisap jase4and jo a0uenpe it pled uaaq se4 juai s,4luow auo uetjl aiow lou'Alied 6u!lsanbai aqj si Joss3*1 j! (m) pue 'aouewjoliad §,Aped 6ugsanbai a4l it §llnelap painoun ou ale aiayl (!)'Aped 6u!lsanbai aql Aq paluasaidai aq Aew se ldaoxa uo!IeOH!pow lnoyl!m 'foalla pue ao,oj pnj ui it asea-1 s!Li3 (!) le41 Aped Lions uodn an!snlouoo aq pegs 1! Io'Aped Lions of ao!lou ia4pnl Aue 1no41!m'puodsaJ 01 s! oym AUed ay] Aq asea-1 s!41 16 llnelap Ieuajew a aq IIe4s aw!l Lions u!yl!m luawalels Lions Janllap of ainpej agl'uogdo s,Aped 6ullsanbai aqj 1tl (g) aassal jo ssalusnq 011.1110 io loafed 6u!ppne ao!pp ayi to iaouejgwnoua io jase4o,nd an!joadsad Aue Aq uodn pa!la: Alanlsnlouoo aq Aew luawalels 4ons Auy pow!ejo aae Aue 1! sllnelap 4ons 6u!Apoads io'AUed 6uilsanbei a4l ;o lied aqj uo sllne ;ap painoun Aue'a6palmou> s,Aped 6wpuodsaj ayl ol'lou ale aja41 1841 6u!6palmouNoe (n) pue'Aue j!'aouenpe ul pled ale sa6ie(10 iaLi10 pue luai ayl 401ym 01 ,i , fit . 32.3 Lessor shall have the right to retain keys to the Premises and to"unlock all doors in or upon the Premises other than to files, vaults and safes, and in the case of emergency to enter the Premises by any reasonably appropriate means, and any such entry shall not be deemed a forceable or unlawful entry or detainer of the Premises or an eviction. Lessee waives any charges for damages or injuries or interference with Lessee's properly or business in connection therewith. - 33.Auctions. Lessee shall not conduct, nor permit to be conducted, either voluntarily or involuntarily, any auction upon the Premises or the Common Areas without first having obtained Lessor's prior written consent. Notwithstanding anything to the contrary in this Lease, Lessor shall not be obligated to exercise any standard of reasonableness in determining whether to grant such consent. The holding of any auction on the Premises or Common Areas in violation of this paragraph shall constitute a material default of this Lease 34.Signs. Lessee shall not place any sign upon the Premises or the Office Building Project without Lessor's prior written consent. Under no Circum- stances shall Lessee place a sign on any roof of the Office Building Project. 35.Merger. The voluntary or other surrender of this Lease by Lessee, or a mutual cancellation thereof, or a termination by Lessor, shall not work a merger, and shall, at the option of Lessor, terminate. all or any existing subtenancies or may, at the option of Lessor, operate as an assignment to Lessor of any or all of such subtenancies. 36.Consents. Except for paragraphs 33 (auctions) and 34 (signs) hereof, wherever in this Lease the consent of one party is required to an act of the other party such consent shall not be unreasonably withheld or delayed. 37. Guarantor. In the event that there is-a guarantor of this Lease, said guarantor shall have the same obligations as Lessee under this Lease. 38.Ouiet Possession. Upon Lessee paying the rent for the Premises and observing and performing all. of the covenants, conditions and provisions on Lessee's part to be observed and performed hereunder, Lessee shall have quiet possession of the Premises for the entire term hereof subject.to all of the provisions of this Lease. The individuals executing this Lease on behalf of Lessor represent and warrant to Lessee that they are fully authorized and legally capable of executing this Lease on.behalf of Lessor and that such execution is binding upon all parties holding an ownership interest in the Office Building Project. 39.Options. 39.1 Definition. As used in this paragraph the word "Option" has the following meaning: (1) the right or option to extend the term of this Lease or to renew this Lease or to extend or renew any lease that Lessee has on other property of Lessor; (2) the option of right of first refusal to lease the Premises or the right of first offer to lease the Premises or the right of first refusal to lease other space within the Office Building Project or other property of Lessor or the right of first offer.to lease other space within the Office Building Project or other property of Lessor; (3) the right or option to purchase the Premises or the Office Building Project, or the right of first refusal to purchase the Premises or the Office Building Project or the right of first offer to purchase the Premises or the Office Building Project, or the right or option to purchase other property of Lessor, or the right of first refusal to purchase other property of Lessor or the, right of first offer to purchase other property of Lessor. 39.7 Options Personal. farh Oplion warfled to Lc: ;sou in Ihis Lqa su is personal lu Ihu onginall_usuc ;urd miry be r,xeroised only by Ill(,. or,g,n:d Lessee whip• occul..vihg the I'rumisas who does so without the intent of dhorealler assigning this Least, or subletting the Premises or any portion thereof, and may not be exercised or be assigned, voluntarily or involuntarily, by or to any person or entity other than Lessee: provided_howevr! , that an Option may be exerciser) by (it n :;signed to :nlv Lessue Allilialg :rs defined in p:uayratih Ill of lliis Lease. The Options, if any, herein granis:d to Lessee are riot assignable sop ;n;rtu and apart Irom this Leasu, nor may any Option be separ ated front ihis Lease in any manner, either by resurvalion or otherwise. 39.3 Multiple Options. In the event that Lessee has any multiple options to extend or renew this Lease a later option cannot be exercised unless the prior option to extend or renew this Lease has been so exercised. 39.4 Effect of Default on Options. (a) Lessee shall have no right to exercise an Option, notwithstanding any provision in the grant of Option to the contrary, (i) during the time commencing from the date Lessor gives to Lessee a notice of default pursuant to paragraph 13.1(c) or 13.1(d) and continuing until the noncompliance alleged in said notice of default is cured, or (ii) during the period of time commencing on the day after a monetary obligation to Lessor is due from Lessee and unpaid (without any necessity for notice thereof to Lessee) and continuing until the obligation is paid, or (iii) in the event that Lessor has given to Lessee three or more notices of default under paragraph 13.1(c), or paragraph 13.1(d), whether or not the defaults are cured, during the 12 month period of time immediately prior to the time that Lessee attempts to exercise the subject Option, (iv) if Lessee has committed any non - curable breach, including without limitation those described in paragraph 13.1(b), or is otherwise in default of any of the terms, covenants or conditions of this Lease. (b) The period of time within which an Option may be exercised shall not be extended or enlarged by reason of Lessee's inability to exercise an Option because of the provisions of paragraph 39.4(a). (c) All rights of Lessee under the provisions of an Option shall terminate and be of no further force or effect, notwithstanding :- essee's due and timely exercise of the Option, if, after such exercise and during the term of this Lease, (i) Lessee fails to pay to Lessor a monetary obligation of Lessee for a period of thirty (30) days after such obligation becomes due (without any necessity of Lessor to give notice thereof to Lessee), or (ii) Lessee fails to commence to cure a default specified in paragraph 13.1(d) within thirty (3C) nays after the date that Lessor gives notice to Lessee of such default and /or Lessee fails thereat•,er to diligently, prosecute said cure to completion, or iiiL Lessor gives to Lessee three or more notices of default under paragraph 13.1(c). or paragraph 13.1(d), whether or not the default;, are cured, or (iv) it Lessee has committed any non- cumble breach, inCluding without limitation thnae described in paragraph 1 :1 I(h), ur r: olherwisr, ❑i '11-1;M 11 Of any r,l the Icnm:, covenants and condition ;; cif Ihi:, 40.Security Measures — Lessor's Reservations. 40.1 Lessee hereby acknowledges that Lessor shall have no obligation whatsoever to provide guard service or other security measures for the benefit of the Premises or the Office Building Project. Lessee assumes all responsibility for the protection of Lessee, its agents, and invitees and the property of Lessee and of Lessee's agents and invitees from acts.of third parties. Nothing herein contained shall prevent Lessor, at Lessor's sole option, from providing security protection for the Office Building Project or any part thereof, in which event the cost.thereof shall be included within the definition of Operating Expenses, as set forth in paragraph 4.2(b), 40.2 Lessor shall have the following rights: (a) To change the name, address or title of the Office Building Project or building in which the Premises are located upon not less than 90 days prior written notice: (b) To, at Lessee's expense. provide and install Building standard graphics on the door of the Premises and such portions of the Common Areas as Lessor shall reasonably deem appropriate; (c) To permit any lessee the exclusive right to conduct any business as long as such exclusive does not conflict with any rights expressly given herein; (d) To place such signs, notices or displays as Lessor reasonably deems necessary or advisable upon the roof, exterior of the buildings or the Office Building Project or on pole signs in the Common Areas; 40.3 Lessee shall not: (a) Usl,, a representation(phatogrnphic or otherwise) of the Building or the Office$uildinq business: Projr;Ct or their connection me(s) in cCnnCtion with Lr ^ :: :nr.7: (b) Suffer or permit anyone, except in emergency, to go upon the roof of the Building. 41. Easements: 41.1 Lessor reserves to itself the right, from time to time, to grant such easements, rightsand dedications that Lessor deems necessary or ds;ir..rb!e, and to cause the recordation of Parcel Maps and restrictions, so 10119 as such easements, rights, 0edications, Maps ar.d rr; ,iriCti,n;; ..10 1,01 unreasonably interfere with the use of the Premises by Lessee. Lessee shall sign any of the aforementioned documents upon request of Lee -scd and failure to do so shall constitute a material default of this Lease by Lessee without the need for further notice to Lessee. 41.2 The obstructiori of Lessee's view, air. or light by any structure erected in the vicinity of the 8uiiding, whether by Lessor or third aGies. shah in no way affect this Lease or impose any liability upon Lessor. 42.Performance Under Protest. If at any time a dispute shall arise as to any amount or sum of money to be paid by cne party to the other under the provisions hereof, the party against whom the obligation to pay the money is asserted shall have the right to make payment "under protest" and such payment shall not be regarded as a voluntary payment, and there shall survive the right on the part of said party to institute suit for recovery of such sum. If it shall be adjudged that there was no legal obligation on the part of said party to pay such sum or an part thereof, said party shall be entitled to recover such sum or so much thereof as it was not legally required to pay under the provisions of this Lease. C' 1984 American Industrial Real Estate Association FULL SERVICE —GROSS PAGE 9 OF 10 PAGES 6upum ui uo!ss!wJad 1no41!m wo; Aue w oaonpoioaa eq Rew spiom asa4l to ueo ON 'paaasa s14611 py uoge!oossy ale153 lean leu;snpul ueouawy A8 -9961 .o 'LLL9-L99 (6tZ) '1L006 Vo'sala6uy soj'gLZ almS'laailS eo{an6!3 4lnoS ogS'uo!1e!oossy 81els3le08 leulsnpul ueouawy a41 lieu io alum swo; asa41 iod S39Vd Of d0 O1 39Vd SSOHD- 3olAH3S lV1d 1,101MOOSSy aMS3 lean leu ;Snpul ueouawy 17861 ,o 00V wood `Ie;ide0 a ;e ;s VINd03I d3 `o uaweaoes le palndax3 �n . _ .... .... A 0 33111 03 33Uf 31VN3S ;aaa ;S wlpd 066 0 SigO sinj ueS lepaln3ax3 OdSISO sins Nvs 30 Am 33SS31 HOSS3-1 a1eues ay; jo aagw8w lS SV3l SIH1 d0 S30N3f103SN00 XV10NV IV93l 3141 Ol SV l3SNf10o W03l NMO 813 d0 301A 381 NOdn A1310S A138 IIVHS S3118Vd 3Hl :01383H1 EJNUVl38 N0110VSNV813H1803SV31 SIHl d0 S90N3603SN00 XV180'103333 IVEJ3TA0143101dd11S IV93l 3141 Ol SV S33AOldW3 80 S1N30V Sit 80 83N08831ViS3 1V38 3H1 A8 80 NOIIVIOOSSV 31V1S3 1V38 mituSnONl NV0I83WV 3H1 AS 3aVW SI N011VON3WW0038 80 NOUV1N3S38d38 ON '1VA08ddV SIH 80d A3N8011V uno k Ol NOISSaNans 80j 038Vd38d N338 SVH it NI 03IIId N338 SVH 3SV31 SIHl if 'S3SIW38d 3H101103dS38 H11M 33SS31 0NV 80SS31 JO 3SOd8fld 0NV 1N31NI 31-l131vniO3dd3 ONV 3I8VNOSV38 1.11V10831NW00 38V 3SV3'1 SIH1 d0 SW831.31-11'amno3X3 SI 3SV31 SIHl 3WI131-111V'1VH13380V A83831-1 S3118Vd 3Hl'01383H11N3SN00 AHV1Nn-1OA ONV 03W80dNl 813141 MOHS'3SV31 SIHlj0 NOIlff03X3 A8 '0NV N1383H 03NIV1N00 NOISIA08d ONV 14831 HOV3 0NV 3SV31 SIHl 03M3IA38 0NV OV38 AllnJ38V0 3AVH 33SS3I 0NV 8OSS31 'ATTpnuup %S paaoxa oq 4ou }uag '05 •0 pue g V s;.igiyx3 pue 1 # dap iN :aseal s!41 to wed a alnlnsuop uo!Lin•, s!uawnoop Bu!m0110; ?41 are n;al94 peLi0el1V •stu0w4neuV'64 aouaja ;aj s!41 Aq u!ajaq polejodjoou! pue '0 l!q!ux3 Se olaJaq pag0e11e'a8ssal pue JOssal Aq painoaxa ajep uana ;q Jallal MOM u!elyaa jegl Aq pajuawa;dcns S! aseal SILil *Jaual iljo/pf•gy 'AlaA! lOadsai 'aassal jo jossal Lions se u!ajaq paweu sa!1!lue jo suosiad Ile ;o Al!I!q!suodsai le�anaS pue fu!of aqi eq llegs u!ajaq aassal 10 lossal aLil to suo!le6!!go aqi. 'u!eaaq pap!noio Alssajdxa as!mj64;o se ldaaxa 'u!ajaq aassal to Joss iagl!a se paweu s! Ajgua jo uoslad auo uegl alow ;I •sat ed ald!jlnW yy 'palold 6u!pl!ng ao!l ;O a4f to 6woueugaj jo 6u!oueu!; lewjou ;o 6u!u!elgo aql 41!m uo!loauuoo w lapual leuo!lnl!lsu! ue Aq pannbal Algeuoseei eq Aew se aseal s!ql of suo!leog!pow algeuoseal Lions aNew of saaj6e aassal •uo!leOg!pow japuel •917 sallied gloq Aq painoaxa Apnl uagm Aluo aassal pue jossal uodn 6u!pu!q awooaq lleus aseal S!gl aseal of aassal of ja; ;o ue paweap aq lou Ileus aassal of awes ;o uo!ss!wgns pue luabe s jossal jo jossal Aq aseal s!41;o uopeJedaJd 'Ja;;0 ON'Sb Suo!s!ADA uell!jmpueLl jo uall!jmadAl aqi Aq pallaluop eq Ilegs'Aue;!'SUO!S!AOJd uallumpue4 jo uallpmadAl'agl pue aseal s!qf ;o epuappV jo sl!q!gx3'suo!s!Aoid paluud aql uaamlag 1p!Iluoo AuV •lo!I;uooyyy Jossal of Ajoloels!les Auoglne Lions to aouap!Aa :ossal of Janpap'aseal s!ql 10 uo!lnoaxa lal ;e sAep (0£) AU!gl u!gl!m'Ilegs aassal 'di4slauued jo fsnil 'uOnelodioo a st aassal ll'Algue p!es ;o Ilegaq uo aseal s!ql jaA!1ap pue alnoaxa of pazuogfne Alnp s! lenp!n!pu! Lions 12g1 luejjem pue luasajdaa Aplua Lions 10;1egac uo eseal s!4l 6u!lnoaxa lenplmpu! LiOea pue'aassal'd!gsiaulied pal!w!l jo 1ejauab jo'lsnil'uo!leiodioo e s! aassal 11'A!jO4;nV'£9 STANDARD OFFICE LEASE RIDER # 1 1.The state may terminate this lease by giving notice to the Lessor at least thirty (30) days prior to the date when such termination shall become effective. At the option of State, this lease shall terminate within thirty (30) days immediately following the death, resignation or other removal from office of Jack 0' Connel l as a Member of the Senate. This lease is subject to the provisions of the California Fair Employment and Housing Act (Section 12900 et seq., Government Code) and in its performance the Lessor will not discriminate against any employee or appli- cant for employment• because of race, religious creed. color, national origin, ancestry, physical handicap, medical condition, marital status, sex or age. The Lessor will take affirmative action to ensure that applicants are employed, and that employees are treated during employment without regard to their race, religious creed, color, stational origin, ancestry, physical handicap, medical condition, marital status, sex or age. This action shall include, but not be limited to, the following: employment, upgrading, demotion, or transfer; recruitment or recruitment adver- tising; layoff or termination: rates of pay or other forms of compensation; and selection of training, including apprenticeship. The Lessor will permit access to his or her records of employment, employment advertisements, application forms, and other pertinent data and records by the Fair Employment and Housing Commission, and any other agency of the State of California designated by the Joint Rules Committee, for the purposes of investigation to ascertain compliance with this paragraph. The State may determine a willful violation of the Fair Employment Practices provisions to have occurred upon receipt of a final judgement having that effect from a. court in an action to which the Lessor was a party, or upon receipt of a written notice from the Fair Employment and Housing Commission that it has investigated and deter- mined that the Lessor has violated the Fair Employment and Housing Act and has issued an order, under Section 12970 of the Government Code which has become final. In the event of willful violation of the foregoing provision in the performance of this lease, and if the Lessor, within thirty (30) days after receipt of a written notice thereof from the State, fails to cure the breach, the State shall have the right immediately to terminate this lease and any necessary additional expense incurred by the State in securing space equivalent to the leased premises, including the additional rental, if any, shall be borne by the Lessor. 2, In the event State remains in possession of the leased premises after the expiration date of this lease, the State's continued possession shall create a tenancy from month to month with rental payable by State in arrears on the last day of each month in the amount specified in paragraph 26 .The tenancy created herein shall be subject to all otherterms and conditions of this lease. 3. Lessor warrants that the leased premises to be used by the State in the performance of this lease are readily accessible to and usable by individuals with disabilities with respect to services, programs, activities conducted by the State on the leased premises. In the event that Lessor makes alterations to any part of the leased premises used by the State, the alterations shall comply with the accessibility standards of the Americans with Disabilities Act (U.S.C.A. Section 12101 and following). In the event of violation of the foregoing provision in the performance of this lease, and if the Lessor, within thirty (30) days after receipt of a written notice thereof from the State, fails to cure the breach, the State shall have the right immediately to terminate this lease and any necessary additional expense incurred by the State in securing space equivalent to the leased premises, including the additional rental, if any shall be by the Lessor. 4.Stateshall have the right during the term of this Agreement to prepay rent to Lessor in a lump sum payment for any portion of the lease term. In exchange for this prepayment, Lessor shall discount by five percent (5 %)'the amount of the rent determined pursuant to Paragraph 2, including any increases in the stated amount of rent that is authorized therein, for that portion of the lease term and Lessor shall accept this prepaid discounted rent as State's rent for that portion of the lease term. If this Agreement is terminated for any reason authorized herein prior to the end of the period for which the State has made a prepayment of rent, the Lessor shall refund to the State that portion of &.e State's prepaid rent which is attributable to that-period which commences on the effective date of the earlier termination and ends on the expiration date of the period covered by the prepaid rent. RIDER #1 Initials• C 1984 American Industrial Real Estate Association FULL SERVICE —GROSS BR STANDARD OFFICE LEASE FLOOR PLAN 00 EXHIBIT A 0 1984 American Industrial Real Estate Association FULL SERVICE —GROSS �Q Lp In Q I i U O nc Initials- RULES AND REGULATIONS FOR STANDARD OFFICE LEASE Dated: 1G- ByandBetween the City of San Luis Obispo and the Senate Rules Committe, The State. GENERAL RULES 1. Lessee shall not suffer or permit the obstruction of any Common Areas, including driveways, walkways and stairways. 2. Lessor reserves the right to refuse access to any persons Lessor in good faith judges to be a threat to the safety, reputation, or property of the Office Building Project and its occupants. 3. Lessee shall not make or permit any noise or odors that annoy or interfere with other lessees or persons having business within the Office Building Project. 4. Lessee shall not keep animals or birds within the Office Building Project, and shall not bring bicycles, motorcycles or other vehicles into areas not designated as authorized for same. 5. Lessee shall not make, suffer or permit litter except in appropriate receptacles for that purpose. 6. Lessee shall not alter any lock or install new or additional locks or bolts. 7. Lessee shall be responsible for the inappropriate use of any toilet rooms, plumbing or other utilities. No foreign substances of any kind are to be inserted therein. 8. Lessee shall not deface the walls, partitions or other surfaces of the premises or Office Building Project. 9. Lessee shall not suffer or permit any thing in or around the Premises or Building that causes excessive vibration or floor loading in any part of the Office Building Project. 10. Furniture, significant freight and equipment shall be moved into or out of the building only with the Lessor's knowledge and consent, and subject to such reasonable limitations, techniques and liming, as may be designated by Lessor. Lessee shall be responsible for any damage to the Office Building Project arising from any such activity. 11. Lessee shall not employ any service or contractor for services or work to be performed in the Building, except as approved by Lessor. 12. Lessor reserves the right to close and lock the Building on Saturdays. Sundays and legal holidays, and on other days between the hours of P.M. and A.M. of the following day. If Lessee uses the Premises during such periods, Lessee shall be responsible for securely locking any doors it may have opened for entry. 13. Lessee shall return all keys at the termination of its tenancy and shall be responsible for the cost of replacing any keys that are lost. 14. No window coverings, shades or awnings shall be installed or used by Lessee. 15. No Lessee, emloyee or invitee shall go upon the roof of the Building. 16. Lessee shall not suffer or permit smoking or carrying of lighted cigars or cigarettes in areas reasonably designated by Lessor or by applicable governmental agencies as non - smoking areas. 17. Lessee shall not use any method of heating or air conditioning other than as provided by Lessor. 18. Lessee shall not install, maintain or operate any vending machines upon the Premises without Lessor's written consent. 19. The Premises shall not be used for lodging or manufacturing, cooking or food preparation. 20. Lessee shall comply with all safety, fire protection and evacuation regulations established by Lessor or any applicable governmental agency. 21. Lessor reserves the right to waive any one of these rules or regulations, and /or as to any particular Lessee, and any such waiver shall not constitute a waiver of any other rule or regulation or any subsequent application thereof to such Lessee. 22. Lessee assumes all risks from theft or vandalism and agrees to keep its Premises locked as may be required. 23. Lessor reserves the right to make such other reasonable rules and regulations as it may from time to time deem necessary for the appropriate operation and safety of the Office Building Project and its occupants. Lessee agrees to abide by these and such rules and regulations. PARKING RULES 1. Parking areas shall be used only for parking by vehicles no longer than full size, passenger automobiles herein called "Permitted Size Vehicles:' Vehicles other than Permitted Size Vehicles are herein referred to as "Oversized Vehicles:' 2. Lessee shall not permit or allow any vehicles that belong to or are controlled by Lessee or Lessee's employees, suppliers, shippers, customers, or invitees to be loaded, unloaded, or parked in areas other than those designated by Lessor for such activities. 3. Parking stickers or identification devices shall be the property of Lessor and be returned to Lessor by the holder thereof upon termination of the holder's parking privileges. Lessee will pay such replacement charge as is reasonably established by Lessor for the loss of such devices. 4. Lessor reserves the right to refuse the sale of monthly identification devices to any person or entity that willfully refuses to comply with the applicable rules, regulations, laws and /or agreements. 5. Lessor reserves the right to relocate all or a part of parking spaces from floor to floor, within one floor, and /or to reasonably adjacent offsite location(s), and to reasonably allocate them between compact and standard size spaces, as long as the same complies with applicable laws, ordi- nances and regulations. 6. Users of the parking area will obey all posted signs and park only in the areas designated for vehicle parking. 7. Unless otherwise instructed, every person using the parking area is required to park and lock his own vehicle. Lessor will not be responsible for any damage to vehicles, injury to persons or loss of property, all of which risks are assumed by the party using the parking area. 8. Validation, if established, will be permissible only by such method or methods as Lessor and /or its licensee may establish at rates generally applicable to visitor parking. 9. The maintenance, washing, waxing or cleaning of vehicles in the parking structure or Common Areas is prohibited. 10. Lessee shall be responsible for seeing that all of its employees, agents and invitees comply with the applicable parking rules, regulations, laws and agreements. 11. Lessor reserves the right to modify these rules and /or adopt such other reasonable and non - discriminatory rules and regulations as it may deem necessary for the proper operation of the parking area. 12. Such parking use as is herein provided is intended merely as a license only and no bailment is intended or shall be created hereby. Initials- C. 1984 American Industrial Real Estate Association FULL SERVICE -GROSS EXHIBIT B PAGE 1 OF 1 PAGES 12. Entrance Doors — Existing 13. Completion of Improvements Lessor shall construct and complete improvements to the Premises in accordance with the plans and specifications prepared by _ LeSsor. _ dated consisting of.sheets (the "Improvements ") 14. Preparation of Plans and Specifications Within 30 days after the date of this Lease Lessor shall prepare at its cost and deliver to Lessee for its approval _ 3 copies of preliminary plans and specifications for the completion of the Improvements; which plans and specifications shall itemize the work to be done by each party. including a cost estimate of any work required of Lessor in excess of Lessor's Standard Improvements. �I�isee shall approve said preliminary plans and specifications and preliminary cost estimate or specify with particularity its objection thereto within ___.!.v_..__.__ —.. days lollowing receipt thereof. Failure to so approve or disapprove within said period of time shall constitute approval thereof. If Lessee shall reject said preliminary plans and speci- fications either partially or totally, and they cannot in good faith be modified within ten (10) days after such rejection to be acceptable to Lessor and Lessee, this Lease shall terminate and neither party shall thereafter be obligated to the other party for any reason whatsoever having to do with this Lease, except that Lessee shall be refunded any security deposit or prepaid rent. The plans and specifications, when approved by Lessee, shall supersede any prior agreement concerning the Improvements. 15. Construction If Lessor's cost of constructing the Improvements to the - Premises exceeds the cost of Lessor's Standard Improvements; Lessee shall pay to Lessor in cash before the commencement of such construction a sum equal to such excess. If the final, plans and specifications are approved by Lessor and Lessee, and Lessee pays Lessor for such excess, then Lessor shall, at its sole cost and expense, construct the Improvements in ac_ cordance with said approved final plans and specifications and all applicable rules, regulations, laws or ordinances. 16. Completion. 16.1 Lessor shall obtain a building permit to construct the Improvements as soon as possible. 16.2 Lessor shall complete the construction of the Improvements as soon as reasonably possible after the obtaining of necessary building permits. 1.6.3 The tens "Completion;' as used in this Work letter, is hereby defined to mean the date the building department of the municipality having juris- diction of the Premises shall have made a final inspection of the Improvements and authorized a final release of restrictions on the use of public utilities in connection therewith and the -same are.in a broom -clean condition. 16.4 Lessor shall use its best efforts to achieve Completion of the Improvements on or before the Commencement Date set forth in paragraph 1.5 of the Basic Lease Provisions or within one hundred eighty (180) days after Lessor obtains the building permit from. the applicable building department. whichever is later. 16.5 In the event, that the Improvements or any portion thereof have not reached Completion by the Commencement Date, this Lease shall not be invalid, but rather Lessor shall complete the:same as soon thereafter as is possible.and Lessor shall not be liable to Lessee for damages in any respect whatsoever. 16.6 If Lessor shall be delayed at any time in the progress of the construction of the Improvoments or any portion thereof by.extra work, changes in construction ordered by Lessee, or by strikes, lockouts, lire. -delay in Transportation, unavoidable casualties, rain or weather conditions, governmental procedures or delay, or by any other cause beyond Lessor's control,.then the Commencement Date established in paragraph 1.5 of the Lease shall be extended by the period of such delay. 17. Term Upon Completion of the Improvements as defined in paragraph 16_,3, above, Lessor and Lessee shall execute an amendment to the Lease setting forth the date of Tender of Possession as defined in paragraph 3.2.1 of the Lease or of actual taking of possession, whichever first occurs, as the Commencement Date of this Lease. 18. Work Done by Lessee Any work done by Lessee shall be done only with Lessor's prior written consent and in conformity with a valid building permit and all applicable rules, regulations, laws and ordinances, and be done in a good and workmanlike manner with good and sufficient materials. All work shall be done only with union tabor and only by contractors approved by Lessor. it tieing understood That all plumbing, mechanical, electrical wiring and ceiling work are to be done only by contractors designated by Lessor. 19. Taking of Possession of Premises Lessor shall notify Lessee of the Estimated Completion Date at least ten (10) days before:said date. Lessee 'shall thereafter have the right to enter the Premises to commence construction of any Improvements Lessee is to constrict and to equip and fixlurize the Premises, as long ns such entry does not interfere with Lessor's work. Lessee shall take possession of the Premises upon the lender thereof as provided in paragraph 3:2.1 of the Lease to which this Work Letter is attached. Any entry by Lessee of the Premises under this paragraph shall be under all of the terms and provisions of the Lease to which this Work Letter is attached. w . 20. Acceptance of Premises Lunnuu :011111 nullly Lubnot in w10111l of any -dams Ihul'Lur,sw: ilncnin nu:umt,101u of nicool!cl in uiil,:i for 11u Ihcniiscs to be acceptable to Lr:rsc.: within ten (10) days lollowing lender of Possession asset lorlh. in par g6ph 3.2.1 ul the Le:rse to Much this Work Letter is attached. Lessee shall Lie deemed to have accepted the Premises'and approved construction it Le:a:ec does riot deliver auc:h a 6s1 to I.essor within said number of drys. Initials: c 1984 American Industrial Real Estate Association FULL SERVICE —GROSS EXHIBIT C PAGE 2 of 2 PAGES WORK LETTER TO STANDARD OFFICE LEASE 12 -15 -94 By andhe!we0 ;) the City of San Lui.s._Ob.i.spo__ and_ the_.. Senate_. Rules_ The Premises shall De constructed in accordance with Lessor's standard Improvemants, as follows: See Exhibit "A". 1. Partitions - Floor to ceiling walls frmed with wood or metal studs with insultion between to conform to city code requirements. 2. wallsurtaces— All surfaces '':o be painted to match existing office paint as to color and quality of finish. 3. Draperies - None 4. Carpeting -Existing s. Doors - One (1) 3.0 Building Standard with hardware to private office. 6. Electrical and Telephone Outlets -Existing and per city code in private office. 7. Ceiling— Existing 8. Lighting — Existing 9. Heating and Air Conditioning Ducts — Modified and supplied to private office per code. 10. Sound Proofing - Between studs in private office 11.. Plumbing —Existing Initials:.. _...__ C' 1984 American Industrial Real Estate Association FULL SERVICE —GROSS EXHIBIT C PAGE 1 OF 2. ?AGES STANDARD OFFICE LEASE STATE OF CALIFORNIA —STATE AND CONSUMER SERWCES AGENCY GEORGE DEUKA IAN• Come2w DEPARTMENT OF GENERAL SERVICES OFFICE OF INSURANCE AND RISK MANAGEMENT 926 J Street, Suite 615 Sacramento, CA 95814 November 14, 1988 STATE OF CALIFORNIA PUBLIC LIABILITY AND WORKERS' COMPENSATION INSURANCE CALIFORNIA STATE SENATE SENATE RULES COMMITTEE To Whom It May Concern: The State of. California has elected to be insured fur. its motor vehicle and general liability exposures through a self insurance program. The State Attorney General administers the general liability program through an..gtnnual appropriation from the General Fund. The Office of. Insurance and Risk Management administers the motor vehicle liability program. Under this form of insurance, the State and its employees (as defined in Section 810.2 Government Code) are insured for any tort liability that may develop through carrying out official activities, including state official operations on non -state owned property. Should any claims arise by reason of such operations or under an official contract or license agreement, they should be referred to the Attorney General, State of California, Tort Liability Section, 1515 K Street, 'Suite 511, Sacramento, California 95814. Claims arising from operations of a State owned vehicle should be forwarded to the Office of Insurance and Risk Management, Auto Self- Insurance, 926 J Street, Suite 615, Sacramento, CA 95814. The State of California has entered into a Master Agreement with the State Compensation Insurance Fund to administer workers' compensation benefits for all state employees, as required by the Labor Code. Sincerely, /z. 4122'. CHARLES W. ARCLIFF Staff Risk Manager- (916) 322 -8970 CWS:ajs EXHIBIT 1111 Initials, C 1984 American Industrial Real Estate Association FULL SERVICE —GROSS RESOLUTION NO. 8381 (1995 Series) RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN LUIS OBISPO CORRECTING THE 1994 UNIFORM BUILDING CODE FEE SCHEDULE WHEREAS, in accordance with City policy, the Council adopted the 1994 Uniform Building Code fee schedule as prepared by the International Conference of Building Officials (ICBO) on September 20, 1994 pursuant to Resolution No. 8353; and WHEREAS, the ICBO subsequently identified minor internal consistency errors in this fee schedule and issued an 'Errata to the 1994 Uniform Codes" in September of 1994 to correct these errors; and WHEREAS, the Director of Community Development has determined that the adoption of these corrected fees is exempt from the provisions of the California Environmental Quality Act (CEQA) under Section 15273 of the State CEQA Guidelines as the purpose of these charges is to meet operating expenses. NOW, THEREFORE, BE IT RESOLVED by the Council of the City of San Luis Obispo that: SECTION 1. Effective March 6, 1995, Section A of Exhibit A of Resolution No. 8353 ('Building Permit Fees ") is hereby amended as set forth in Exhibit 1 attached hereto. SECTION 2. If any charge set forth in this resolution or the application thereof to any person or circumstance is held to be invalid, such invalidity shall not affect any other charge or application thereof, and to this end the charges established in this Resolution are declared to be severable. Upon motion of Vice Mayor Romero ,seconded by Council Member Smittand on the following roll call vote: AYES: Vice Mayor Romero, Council Members Smith, Roalman, Williams and Mayor NOES: None Settle ABSENT: None the foregoing resolution was adopted this 3rd day of January Mayor, Allen Settle ATTEST: ne Glad ell, Ci Clerk R -8381 EXHIBIT 1 Page 1 Corrected 1994 Building Permit Fee Schedule A. BUILDING PERMIT FEES Total Valuation Fee 1. $1 to $500.00 2. $501.00 to $2,000.00 $22-.W2 - ao for the first $500.00 plus $2.75 for each additional $100.00 or fraction thereof, to and including $2,000.00 3. $2,001.00 to $25,000.00 .............. $6-3:00622.5 for the first $2000.00 plus $12.50 for each additional $1,000.00 or fraction thereof, to and including $25,000.00 4. $25,001.00 to $50,000.00 $352-.W54.9 - *. 7 for the first $25,000.00 plus $9.00 for each additional $1,000.00 or fraction thereof, to and including $50,000.00 5. $50,001.00 to $100,000.00 for the first $50 7.'.. '000.00 plus $6.25 for each additional $1,000.00 or fraction thereof, to and including $100,000.00 6. $100,001.00 to $500,900.00 $��.............. .,...for the first $100,000.00 plus $5.00 for each additional $1,000.00 or fraction thereof, to and including $500,000.00 7. $500,001.00 to $1,000,000.00 $2,855.0 2:8 25 for the first $500,000.00 plus $4.25 for each additional $1,000.00 or fraction thereof, to and including $1,000,000.00 8. $1,000,001.00 and Up 4,955.0 for the first $1,000,000.00 plus $2.75 for each additional $1,000.00 or fraction thereof EXHIBIT 1 Page 2 10. Accessibility Compliance Surcharge: A surcharge of 6.5% shall be added to the permit fees for projects required to comply with State of California Accessibility Standards. 11. Fire Safety Surcharge: A surcharge of 12.5% shall be added to the permit fees for projects that require review by the Fire Department. 12. Other Inspections and Fees: a. Inspections outside of normal business hours $55.00 per hour (minimum charge - two hours) b. Reinspection fees assessed under provision of UAC Section 305 (Minimum charge - one hour) $55.00 per hour C. Inspections for which no fee is specifically indicated (minimum charge - one -half hour) $55.00 per hour d. Additional plan review required by changes, additions or revisions to approved plans (minimum charge - $35.00) $55.00 per hour ���� G�zJ ,, ���� �;t �� � �� u� �� ��,�� �`� '1 Y- _�;