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HomeMy WebLinkAbout09/06/1988, C-3 - LEASE AGREEMENT BETWEEN THE CITY AND THE SAN LUIS SMALLBORE ASSOCIATION FOR A SITE AT 35 PRADO ROAD. I,I1911I�IIIII^�I III MEETING DATE: II Ii City of San IUIS OB1SPO September 6, 1988 COUNCIL AGENDA REPORT FROM: Dave Romero, Public Works Director SUBJECT: Lease Agreement between the City and the San Luis Smallbore Association for a site at 35 Prado Road. CAO RECOMMENDATION: Adopt a resolution and authorize Mayor to sign agreement between the City and the San Luis Smallbore Association for a site at 35 Prado Road. BACKGROUND The City owns real property and all improvements at 35 Prado Road. The San Luis Smallbore Association, under a previous informal agreement with the City, constructed a concrete building on the site and has been using it as a firing range for rifle and pistol instruction. During Council discussions on the use of the facility as a temporary shelter for the homeless, the City Attorney advised a written lease governing the relationship between the City and the San Luis Smallbore Association was prudent. ANALYSIS Since 1969, the City has allowed the Smallbore Association to use the Prado Road site to provide firearms instruction and gun safety courses, a lawful recreational purpose. The lease agreement is a 1 formalization of an existing situation and as - such is an improvement for all parties. The City Attorney advises that a written agreement is legally required for leases of real property in excess of twelve (12) months. The Smallbore Association would like to continue to use the structure. After several months of negotiation, the attached lease agreement is submitted for Council approval. This agreement will automatically renew on a yearly basis. The City will not terminate the agreement without cause for a period of four years. Rent will be $1.00 per year. The agreement includes the standard requirements for both maintainence and insurance and specifies that the Smallbore Association is not an agent of the City. The City may terminate this agreement at any time by giving ninety (90) days written notice to the Smallbore Association. The agreement also allows the City to access the premises and the structure during normal business hours (Mon. - Fri. 8:00 a.m. to 5:00 p.m. ) . ALTERNATIVES 1. Council may approve and authorize Mayor to sign the lease agreement as recommended. 2. Council may modify the lease agreement and authorize Mayor to sign agreement with the Smallbore Association 3. Council may decline to enter into a lease agreement with the Smallbore Association. 4. The Council may defer this matter for further review by staff. C-,3-/ MIlBllp�ll�►► city of san tins oBispo COUNCIL AGENDA REPORT FISCAL IMPACT There is no direct fiscal impact. CONCURRENCES The City Attorney's Office, the Fire Department and the Smallbore Association have concurred with the terms of the proposed lease agreement. STAFF RECOMMENDATION Staff recommends that the City Council authorize the Mayor to sign the lease agreement between the City and the San Luis Smallbore Association for a site at 35 Prado Road. Attachments: Lease Agreement i C-3—� RESOLUTION NO. (1988 Series) A RESOLUTION OF THE SAN LUIS OBISPO CITY COUNCIL APPROVING AN •AGREEMENT BETWEEN THE CITY OF SAN LUIS OBISPO AND SAN LUIS SMALLBORE ASSOCIATION FOR RENTING REAL PROPERTY LOCATED AT 35 PRADO ROAD BE IT RESOLVED by the San Luis Obispo City Council as follows: SECTION 1. That certain agreement attached hereto, marked Exhibit "A", and incorporated herein by reference, between the City of San Luis Obispo and Smallbore Association is hereby approved and the Mayor is authorized to execute the same. SECTION 2. The City Clerk shall furnish a copy of this resolution and a copy of the executed agreement approved by it to: Smallbore Association; City Administrative Officer: Public Works Director: on motion of Councilmember , seconded by Councilmember and the following roll call vote: AYES: NOES: ABSENT: the foregoing Resolution was passed and adopted this 16th day of August, 1988. Mayor Ron Dunin ATTEST: CITY CLERK Pam Voges ******************** Approved: City A lnis rative O icer City Allorney Public Works Director �iillli.I iilllll I I ili�,����di;i I�►�IIII illi cityO sAn tllS oasA = a N 4�x�i^�rro e e �wmw.fJi g 990 Palm Street/Post Office Box 8100 San Luis Obispo, CA 93403-8100 LEASE AGREEMENT This agreement is made and entered into in the City of San Luis Obispo, County of San Luis Obispo, State of California, on this 7 day of September , 1988, by and between the CITY OF SAN LUIS OBISPO, a chartered municipal corporation of the State of California, hereinafter referred to as "LESSOR, " and the SAN LUIS SMALLBORE ASSOCIATION, hereinafter referred to as "LESSEE, " jointly referred to hereinafter as "parties. " RECITALS The parties enter into and execute this agreement with knowledge of and reliance upon the following facts: 1. LESSOR is the owner of the real property and all improvements thereon, commonly known as 35 Prado Road, and specifically including that single improvement described as: A concrete building, approximately 50 feet by 90 feet in size, located near the northeast corner of the San Luis Obispo County Assessor's Parcel Number 53-051-45. The structure is adjacent to the City Corporation Yard, the Sewer Treatment Plant, and ECO-SLO, in the Fire Training Site. 2 . LESSEE, a non-profit, California tax-exempt corporation (Tax I.D. #D-0583558 SLISA) , in accordance with a previous informal, oral agreement between the parties, constructed the structure described in paragraph one. Since the construction, LESSEE has used the structure as a firing range for rifle and pistol instruction without payment of rent or any fee or consideration to LESSOR. 3 . LESSEE desires to continue to use the structure. AGREEMENT NOW, THEREFORE, in consideration of the mutual and respective covenants and promises set forth herein, and subject to all the terms and conditions hereof, the parties agree as follows: a. Premises: LESSOR hereby leases to LESSEE and LESSEE hereby leases from LESSOR, for the term and at the rental and upon the conditions hereinafter set forth, that certain real property described above in paragraph #1, (as depicted in red in attached diagram A) hereinafter referred to as "the premises. " b. Term: The term of the agreement shall commence on the date this agreement is entered into, and shall continue each year thereafter and automatically renew itself unless sooner terminated as hereinafter provided. c. Termination: Notwithstanding any other provision of this lease, LESSOR may terminate this agreement at any time without cause, by giving ninety (90) days written notice to the LESSEE. LESSOR agrees not to terminate this agreement without cause for the period of four (4) years. d. Rent: LESSEE agrees to pay LESSOR as rent for the leased premises $1.00 (one dollar) , payable in advance, annually, on the 31st day of January. LESSEE shall pay the LESSOR the first three (3) years rent upon execution of this lease by both parties hereto. In the event this lease is terminated, prepaid rent will be prorated. All checks shall be made payable to the "City of San Luis Obispo, " and shall be sent to the LESSOR at the address to which notices to LESSOR are given. e. Use of Premises: The leased premises shall be used by the LESSEE for a smallbore ( .22 caliber) shooting range and instructional facility. LESSEE agrees and covenants to use and maintain the premises and to devote the same only to such purpose. LESSEE agrees to use the facility after normal business hours only (5 p.m.-12 midnight Monday through Friday and all day Saturday and Sunday) , and further agrees that LESSOR retains the right to make use of the facility during normal business hours (8 a.m.-5 p.m. Mon-Fri) . Except in the case of activities directly sponsored by the LESSEE and related to the facility (tournaments, competitions, etc. ) , the premises shall not- be used for any other purpose without the prior written consent of LESSOR.-. Notwithstanding any other provisions of this agreement, if at any time during the term or any renewals hereof, said premises are used for or devoted to any other purpose or purposes, excepting directly sponsored activities, without the prior written consent of LESSOR, LESSOR may immediately terminate the lease without any notice whatsoever, and LESSOR, its officers, or agents, may re-enter and take possession of said premises and remove all persons therefrom. f. Utilities: LESSEE shall be solely responsible for all utilities on the premises, including installation, maintenance and payment for all services. g. Maintenance of Premises: LESSEE agrees to keep and maintain the premises in good order and condition at its expense to the satisfaction of LESSOR. Upon vacating the premises, LESSEE further agrees to remove from the interior walls and/or ceiling any hazardous material which may have been deposited or generated by LESSEE'S activities. LESSOR reserves the right at any time to make such reasonable rules and regulations as in its judgment may from time to time be necessary for the safety, care, and cleanliness of the premises, and LESSEE hereby agrees to strictly comply therewith. In the- event that LESSEE fails to maintain the premises to the satisfaction of the LESSOR, the LESSOR reserves the right to terminate this agreement for such cause. h. Nuisance: LESSEE shall not commit or suffer to be committed nuisance, waste, or unlawful act in or about the premises. i. Compliance with laws: LESSEE agrees and promises to comply with and obey all applicable federal, state, county, and municipal laws, ordinances or regulations, including, but not limited to, those pertaining to discrimination, zoning, land use, or public health, safety and welfare. j . Assignment: The use of the premises authorized herein is of a personal nature, and assignment, sublease, or transfer by LESSEE of this agreement or of any privileges given hereunder shall not be permitted. LESSEE agrees not- to assign this lease nor sublease nor sublet the leased -3- premises or in any other manner part with possession or occupation of the same without the prior written consent of LESSOR. k. LESSEE not agent of LESSOR: Neither LESSEE nor any of LESSEE's agents or contractors are or shall be considered to be agents of LESSOR in connection with LESSEE's rights and obligations under this agreement. 1. Release:. -- LESSOR shall not be responsible to LESSEE for any loss of property from said premises, however occurring. LESSEE hereby waives any and all claims for damages that may be caused by LESSOR in re-entering and taking possession of the premises thereby and all claims for damages to or loss of property belonging to LESSEE, its agents, officers or members, as may be in or upon the premises at the time of such re-entering. LESSEE also waives any and all claims against LESSOR for damages to any property of LESSEE from any cause arising at any time. M. Indemnification: LESSEE agrees to and shall defend, indemnify, and save harmless-- LESSOR and its officers, agents, and employees, from and against any and- all claims, demands, liability, cost, expenses, damages, causes of action-- and judgments for loss or damage to property or for death or injury to persons, in any manner arising out of this agreement or out of the performance or attempted performance of the provisions hereof, including, but not limited to, any act or omission to act or act of negligence by LESSEE, its agents, employees, sublessees, or independent contractors directly responsible to LESSEE excepting only such injury or death as may be caused by the sole negligence or willful conduct of LESSOR, or its officers, agents, employees, or independent contractors directly responsible to LESSOR. n. Insurance: LESSEE agrees to and shall take out and maintain during the entire time of this agreement, in companies acceptable to LESSOR, a public .liability and property damage insurance in the amount of at least one million dollars ($1, 000,000) combined single limit for bodily injury and property damage. All such insurance or the endorsements must indclude the following provisions: (1) If the insurance policy covers on an "accident" basis, it must be changed to "occurrence. " (2) The policy must cover personal injuries as well as bodily injuries. (3) The policy shall include coverage for errors or ommissions by LESSOR and its officers, agents, employees, independent contractors directly responsible to LESSOR. (4) The policy shall require the insurance carrier to give LESSOR in writing thirty (30) days prior notice of any cancellation of such insurance or a reduction in the amount thereof, or any major policy change. (5) The policy shall provide that the insurance will act as primary insurance and that no other insurance effected by LESSOR or other named insureds will be called to contribute to the loss covered thereunder. (6) The City of San Luis Obispo, its officers, agents and employees shall be named as additional insureds under the policy. Approval of the insurance by LESSOR should not relieve or decrease the extent to which LESSEE may be held responsible for payment of damages resulting from its operation, use and / or possession of the premises. . o. Effective Waiver: LESSOR's waiver of breach of any one term, C. -L7 / covenant, or other provision of this agreement is not a waiver or breach of any other terms, nor subsequent breach of the term or provision waived. p. Surrender of possession: At the expiration or termination of this agreement, LESSEE promises and agrees to deliver unto LESSOR, the said demised premises in as good condition as of the date this agreement was entered into, reasonable wear and tear expected. q. Notices: Unless otherwise provided, all notices required herein shall be in writing, and delivered in person or sent by United States mail, postage prepaid. Notices required to be given to LESSOR shall be addressed as follows: City Administrative Officer City of San Luis Obispo P.O. Box 8100 San Luis Obispo, CA 93403-8100 Notices required to be given to the LESSEE shall be addressed as follows: San Luis Smallbore Association Spencer Kulick, Secretary/Treasurer P.O. Box 1465 San Luis Obispo, CA 93406 It is provided that either party may change its address by notice in writing to the other party and thereafter notices shall be addressed and transmitted to the new address. IN WITNESS WHEREOF the parties hereto have executed this agreement as of the date and year first above written. LESSOR Approved as to form: CITY OF SAN LUIS OBISPO byBY City A o , y MAYOR RON DUNIN ATTEST: PAMELA VOGES, CITY CLERK LESSEE SAN LUIS SMALLBORE ASSOCIATION BY SPENC R KULIC , SECRETARY/TREASURER