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HomeMy WebLinkAbout10/29/1991, C-16 - AMENDMENT TO PURCHASE AGREEMENT FOR EMERSON SCHOOL SITE AND APPROVAL TO NEGOTIATE FOR ARCHITECTURAL SERVICES FOR NEW HEADQUARTERS FIRE STATION AT THAT SITE. Meeting Date: 10./29/91 ���h�► ��I�II�Vp ll city of San tuts OBISPO e/z COUNCIL AGENDA REPORT From: Robert Neumann, Fire Chief V , Prepared By: Erwin Willis, Battalion Chief ' Subject: Amendment to purchase agreement for Emerson School site and approval -to negotiate for Architectural Services for new Headquarters Fire Station at that site. CAO RECOMMENDATION: By motion, approve and authorize the Mayor to execute an amendment to the purchase and sales agreement for the Emerson School Property with San Luis Coastal Unified School District. By motion, authorize staff to negotiate a contract with Grant Pedersen Phillips Architects for design services of a new Headquarters Fire Station with expansion office space, and to return to City Council for contract approval and execution. DISCUSSION: During the FY 1989-91 budget hearings the City Council approved funding for the construction of a new Headquarters Fire Station with 6, 500 sq. ft. of expansion office space. This budget includes $2, 500, 000 for site acquisition and $400, 000 for design of this new station. On November 7, 1990, Council approved expending $2,640, 000 for the purchase of the Emerson School site and directed staff to begin design and planning activities for the relocation of Fire Station Number One. The City entered into an agreement with San Luis Coastal Unified School District to purchase the property with the City taking ownership and funds being transferred on July 1, 1991. The School District was to have vacated the site and moved their operations from this site to the Pacific Beach School site by this date. The School District was unable to obtain the modular buildings needed in time to meet this date and therefore the transaction has not taken place. The School District now believes the site will be vacated between November 11 1991 and December 31, 1991. An escrow has been started at Ticor Title that reflects this range of closing dates. Due to these changes the original agreement needs to be amended to reflect these new dates. Additionally, 'the design of the new building needs to begin as directed by Council. at the November 7 meeting. At that meeting several council members expressed a desire to look into the feasibility of co-locating a senior citizens or recreation center on the site. The Planning Department asked Jay Farbstein and Associates, Inc. , the City's consultant for locating possible sites for these facilities, to look into this possibility. They evaluated this possibility and the attached letter gives their opinion on this option. In summary, the letter states that the site is not large enough to accommodate a fire station and one of these other city Of San LUIS OBISPO COUNCIL AGENOA REPORT facilities, if the lawn area at the west half of the site is to remain as open space, as Council has directed. Staff is therefore recommending that design of the fire station move ahead without further consideration of including a senior or recreation center into its design. The current lawn area will remain as open space that could be used by one of these facilities in the future if Council so desired. The 6, 500 sq. ft. of expansion office space will be designed for use by the Recreation Department for use as their main offices. REQUEST FOR QUALIFICATIONS AND RSSIIME EVALUATION In 1988, the City requested proposals from architectural firms for foreseen city projects, one of which was the new headquarters fire station. Eleven firms responded to this RFP and based on their resumes we ranked the firms into the following order: 1) Pacific Associates Planners Architects (San Diego) 2) Grant Pedersen Phillips Architects (Santa Barbara) 3) Holewinski Blevens Fedelem & Lukes Architects (Salinas) 4) RRM Design Group (San Luis Obispo) 5) Ventura Group Architects (Camarillo) 6) The Architectural Office of Bruce Douglas Fraser, AIA (San Luis Obispo) 7) Ross Levin MacIntyre & Varner Architects (San Luis Obispo) 8) Steven D. Pults, AIA & Associates (San Luis Obispo) 9) James H. Maul Associates, Inc. , A. I.A. (Morro Bay) 10) M Group Architects (San Luis Obispo) 11) Fred Keeble and George Rhoda, Architects (Monterey) Based on the firm's experience, the quality of their work and the recommendations of their references, the first six firms were judged most qualified to work on city projects. They provide the broad range of qualifications and experience that we need for all the projects envisioned over the next few years. INTERVIEWS AND RANKING The top six firms on this list were invited to participate in an interview process on March 14 , 1991. Five firms attended this interview and an evaluation committee consisting of Robert Neumann, Alison Lloyd, Dave Elliott, - Jim Stockton, and Erwin Willis evaluated the five finalists. The firms were ranked in the following order: 1) Grant Pedersen Phillips Architects (Santa Barbara) 2) The Architectural Office of Bruce Douglas Fraser, AIA (San Luis Obispo) 3) Pacific Associates Planners Architects (San Diego) 4) RRM Design Group (San Luis Obispo) 5) Ventura Group Architects (Camarillo) L /6-�. city of san Luis oBispo MiS COUNCIL AGENDA REPORT Based on the interviews and presentations made by the firms the Evaluation Committee unanimously picked Grant Pedersen Phillips Architects as the best qualified firm to design the new Headquarters Fire Station. FISCAL IMPACT The delay in the transfer of the $2, 326, 000 in funds for purchase of the school site will earn the City from $48, 000 to $72, 000 in interest that the funds will gain due to the four to six month delay. While negotiation of this contract will not obligate the city to any cost, if the contract is approved by future Council action, a cost would be incurred. Staff believes this contract should not exceed the FY 1989-91 budget which contains $400, 000 for design of the new fire station, all of which remains available. The FY 1991-93 Financial Plan contains $3 , 000, 000 for the construction of the new station and additional office space ($2 , 350, 000 for the Fire Station and $650,000 for the office space) . CONCURRENCES The Recreation Director concurs and will be involved in the design stages of the facility. ALTERNATIVES TO SIGNING AMENDMENT 1) Do not approve the amendment and require the School District to transfer title and vacate the property immediately. This alternative is not recommended because the City would then, under State law, be required to help pay to relocate the School Districts operations. The City would gain nothing from this option. ALTERNATIVES TO NEGOTIATING CONTRACT 1) Do not approve negotiation of contract with Grant Pedersen Phillips Architects and direct staff to re-interview architectural firms. This alternative is not recommended because the Evaluation Committee was unanimous in its selection of Grant Pedersen Phillips Architects and a second interview would most likely result in the same ranking. 2) Do not approve negotiation of contract with Grant Pedersen Phillips Architects and direct staff to start negotiation with another architectural firm. c-�� 3 ►� ��aIIIIII1111Pau � p city of San tins OBISpo Mum COUNCIL AGENDA REPORT This alternative is not recommended because the Evaluation Committee felt that Grant Pedersen Phillips Architects had the most experience in dealing with municipal buildings in sensitive areas. As the proposed site needs to be carefully developed, this becomes a critical consideration. ATTACHMENTS Attachment 1 Letter from Jay Farbstein & Associates, Inc. Attachment 2 original agreement with amendment ATTAC1iPI NT #1 )ay Farbstein & Associates, Inc. Needs Assessment Studies Facility Programming Design Evaluation May 31, 1991 REt;;f=lvt:. JUN 041991 CRY of San fyu 0b,3p, Jeanette DLeo, Long Rang Planner Community Development Department City of San Luis Obispo P. O. Box 8100 San Luis Obispo, CA 93403 Re: Use of Emerson School Site for Community/Senior Center Facilities (Our Ref.:9006.1) Dear Ms. DiLeo: At your request, Mike Multari and I attended a meeting yesterday with city staff to review the potential of the Emerson School site to accommodate senior center or community recreation center facilities along with the planned fire station. With certain qualifications,which I will spell out below, I do not believe that there is a significant potential to accommodate such facilities on the site. The reasons (and the limitations on our opinions) are as follow: 1. Our conclusions are tempered by the fact that we are at a middle point of our study, have not yet completed our surveys, and have not yet determined needs or siting options. 2. There is apparently a commitment to leave more than half of the site as open space, providing a park for the surrounding neighborhood. The balance of the site will be developed for Headquarters Fre Station 1, including a two story building of about 26,000 square feet, circulation, parking and landscaping. About 6,500 square feet of the building could be available for other uses. 3. The existing Senior Center in Mitchell Park is about 5,000 square feet and has recently been renovated. There would not appear to be a reason to replace it with a similar sized facility in generally the same part of town. Therefore,we do not see the potential to use the space for senior facilities. 4. The Recreation Center on Santa Rosa Street is about 13,000 square feet and is in the process of being renovated. Although our needs study is not yet complete, among.the facilities which have been identified as being needed—which it will lack when it reopens—is a high school size gym for basketball leagues and other activities. Such a gym requires at least 8,000 square feet and is the equivalent of about two stories tall. There would not be space on the site for such a gym. If a replacement recreation center including a gym were to be placed on the site, it would probably be about the size of the entire building that is now planned. Therefore,this site would not provide for the most likely needed centralized recreation facilities. d-4-S� 1411 Marsh Street,Suite 204,San Luis Obispo,California 93401 • Telephone:805 541 4940 9 Fax:805 541 0612 Jay Farbstein &Associates, Inc. Jan DiLeo May 31, 1991 Page 2 S. Our study will address the pros and cons of centralized versus decentralized recreation/senior facilities (and may recommend some combination of the two). It will also address site selection for these faciti ies. However, even at this early stage of our study,the available portion of this site does not appear to offer either the dight amount of space for a larger centralized facility or a high priority location for decentralized facilities(since this downtown neighborhood is, and would always be, relatively close to the central facilities). I hope that this tentative analysis is useful to the city in its decision making process. I you have any questions, please call me. Sincerely, Jay Farbstein &Associates, Inc. Jay Farbstein, PhD, AIA President pc:Mike Multari; Lynn Jamieson e-/1-sA 1411 Marsh Street,Suite 204,San Luis Obispo,Califomia 93401 •Telephone:805 541 4940 • Fax:805 541 0612 Purchase and Sale Agreement (Cont.) Emerson School Property 1341 Nipomo Street Assessors Parcel Number 003-515-001 FIRST AMENDMENT TO PURCHASE AND SALE AGREEMENT FOR THE EMERSON SCHOOL PROPERTY A. That certain Purchase and Sale Agreement, dated November 7, 1990, by and between the San Luis Coastal Unified School District (seller), a Unified School District under the State Education Code, and the City of San Luis Obispo, a chartered Municipal Corporation of the State of California (Buyer), is hereby amended as follows: 1. Seller shall transfer title, and Buyer shall make the second payment due under paragraph 3 at such time as the existing tenants vacate, but no later than December 31, 1991. This time period may be extended up to an additional sixty (60) days upon mutual agreement of the Chief Administrative Officer of the City of San Luis Obispo and the Superintendent of the San Luis Coastal Unified School District or his designee. 2. All other terms and conditions of the Purchase and Sale Agreement dated November 7, 1990, are to remain in full force and effect. SET I ER BUYER SAN LUIS COASTAL CITY OF SAN LUIS OBISPO UNIFIED SCHOOL DISTRICT By SUPERINTENDENT* By MAYOR Date: ATTEST: APPROVED AS TO FORM: CITY CLERK C A * The signature of the Superintendent will be acquired prior to Council action on this item. 9 of 9 -/�-4P A-145-90-CC rIJRCHASE AND SALE AGREEMENT For The Emerson School Property 1341 Nipomo Street Assessors Parcel Number 003-515-001 THIS PURCHASE AND SALE AGREEMENT ("Agreement") constitutes an agreement by which the San Luis Coastal Unified School District, a Unified School District under the State Education Code ("Seller"), agrees to sell, and CTTY OF SAN LUIS OBISPO, a chartered municipal corporation of the State of California ("Buyer"), agrees to purchase that certain real property ("Property") legally described as: Lots 1,2,3,4,5,&6 of Block 2, of the Map of the Town of San Luis Obispo recorded May 1, 1891 in Book A of Maps at page 168, Assessors Parcel Number 003-515-001. The terms and conditions of this Agreement, are as follows: 1. Purchase and Sale. Seller agrees to sell to Buyer, and Buyer agrees to purchase from Seller, the Property upon the terms and conditions herein set forth- 2. Purchase Price. .The Purchase Price of the Property shall be Two million, six-hundred, forty thousand dollars ($2,640,000.00). 3. Payment of Purchase Price. Buyer shall pay the Purchase Price for the Property by delivering to the Seller the following payments: $264,000.00 upon Seller's signing this agreement and delivering a Preliminary Title report showing title to be as warranted below $2,326.000.00 upon Seller's delivery of deed $50,000.00 to be placed by Seller in an environmental reserve account as described below I of 9 Alla- 7 1 A-145-90-CC R 6896 Purchase and Sale Agreement (Cont.) - Emerson School Property 1341 Nipomo Street Assessors Parcel Number 003-515-001 4. Conditions of Title. Fee simple absolute title to the Property shall be conveyed by Seller to Buyer by grant deed (which grant deed shall be fully executed and acknowledged by Seller, subject to no reservations and subject only to the following conditions of title: a. Matters affecting the Conditions of Title created by, or with the written consent of, Buyer b. At the time this agreement is executed by Seller, Seller shall deliver to Buyer a Preliminary Title Report evincing the willingness of a Title insurer to provide a policy of title insurance (C-LT-A- or equivalent) in the amount of the Purchase Price showing title to the Property vested in Buyer. If Seller has not removed any exceptions disapproved by Buyer prior to the time for transfer of title, in addition to any other remedies available to Buyer, Seller shall return to Buyer any sums paid by Buyer to Seller, and Seller shall bear the costs incurred by Buyer up to that point. 5. Timing of Sale. a. Initial Agreement. Once both parties have signed this agreement, Seller shall have 15 days to deliver to Buyer the Preliminary Title Report described above. Upon its delivery, the first payment under paragraph 3 above shall become immediately due. b. Transfer of Title. Seller shall transfer title, and Buyer shall make the second payment due under paragraph 3 above on the first day of July, 1991. 2of9 erw -8' Purchase and Sale Agreement (Cont.) Emerson School Property 1341 Nipomo Street Assessors Parcel Number 003-515-001 c. Transfer of Environmental Reserve Fund. Buyer will use the fund to abate existing environmental hazards on the property at time of Title Transfer. Such abatement projects shall include, but not be limited to, asbestos removal. Any funds not used for abatement projects shall be given to the Seller at the completion of abatement work, or June 1, 1994, which ever comes first. 6. Costs and Expenses. The cost and expense of the title report and insurance policy to be issued in favor of the Buyer pursuant to paragraph 4 hereof, shall be paid by Seller. The cost of drafting documents necessary to this transaction shall be born by the party responsible for furnishing the document. Recording fees, if any, shall be born by the Buyer. 7. Waiver of Relocation Expenses. Seller is aware that if it is leasing the Property at the time this agreement is signed, the Buyer may be liable for Relocation Expenses. Seller assures and warrants to Buyer that there are no persons occupying the Property who would qualify for Relocation Assistance under relevant State law. Seller further agrees to indemnify Buyer for any breach of this assurance and warranty. 8. Default. Seller agrees that if the within sale is not completed as herein provided by fault of Seller, Buyer, at its option shall be entitled, in addition to any other remedy now or hereafter available to Buyer under the laws or judicial decisions of the State of California, to compel Seller to perform its obligations under this Agreement by means of a specific performance proceeding or Buyer may terminate this Agreement and shall be entitled to recover all of its out-of-pocket expenses 3of9 Purchase and Sale Agreement (Cont.) Emerson School Property 1341 Nipomo Street Assessors Parcel Number 003-515-001 including but not limited to architectural and design costs and survey and engineering fees for any proposed construction, as well as on site improvements made under paragraph 12 below. The prevailing party in any litigation under this agreement shall . be entitled to an award of reasonable attorney's fees payable by the other party. 9. Notices. All notices or other communication required or permitted hereunder shall be in writing, and shall be personally delivered or sent by registered or certified mail, postage prepaid, return receipt requested, at the following addresses: Seller. Rory L Livingston, Assistant Superintendent San Luis Coastal Unified School District 1499 San Luis Drive San Luis Obispo CA 93401 Buyer: City Attorney City of San Luis Obispo P. O. Box 8100 San Luis Obispo, CA 93403-8100 Notice shall be deemed given as of the time of personal delivery or forty-eight (48) hours following deposit in the United States mail. Notice of change of address shall be given by written notice in the manner detailed in this paragraph. 10. Economic Value. The parties hereto expressly recognize and acknowledge that the terms of this Agreement fully and fairly reflect the true and full economic value of the Property. 4of9 Purchase and Sale Agreement (Cont.) Emerson School Property 1341 Nipomo Street Assessors Parcel Number 003-515-001 11. Seller's Representations and Warranties. a. In addition to any express agreements of Seller contained herein, the following constitute representations and warranties of Seller which shall be true and correct as of the transfer of title (and the truth and accuracy of which shall constitute a condition to the Buyer accepting. the transfer of title): (1) There are no actions, suits, claims, legal proceedings or any other proceedings affecting the Property or any portion thereof at law or in equity before any Court or governmental agency, domestic or foreign. (2) Seller has not received any notices from governmental authorities pertaining to violations of law or governmental regulations with respect to the Property, and does not ]mow of any which may have been received by their predecessors in interest.. (3) Seller has no knowledge of any pending or threatened proceeding in eminent domain or otherwise by any public entity which would affect the Property, or any portion thereof, nor does Seller know the existence of any facts which might give rise to such action or proceedings. (4) There are no liens or encumbrances on or claims to, or covenants, conditions and restrictions, easements, rights of way, rights of first refusal, options to purchase, or other matters affecting the Property except any rights conferred to Buyer by this Agreement. 5of9 Purchase and Sale Agreement (Cont.) Emerson School Property 1341 Nipomo Street Assessors Parcel Number 003-515-001 (5) There is no material adverse fact or condition relating to the Property, or any portion thereof (including the existence of any underground tanks or pipelines), which has not been specifically disclosed in writing by Seller to Buyer. (6) Seller has the legal power, right and authority to enter into this Agreement, and to consummate the transaction contemplated hereby. (7) There are no fixtures on the property in which anyone other than Seller has any claim, rights, or security or other interest. (8) There are no service or maintenance contracts, management agreements or any other agreements which will affect Buyer or the Property subsequent to the transfer of title. (9) There are no encroachments onto the Property of improvements located on any adjoining property nor do any improvements located on the Property encroach onto any other adjoining property. (10) Seller warrants and represents that there are no prescriptive or other easements affecting the Property. b. In the event that, during the period between the execution of this Agreement, and the transfer of title, Seller has actual knowledge ofi learns of, or has a reason to believe that any of the above representations or warranties may cease to be true, Seller hereby covenants to immediately give notice to Buyer of the change in circumstances. Upon Seller notifying Buyer of the change in circumstances, Buyer may, in addition to any other recourse or remedy provided by law, at its sole option, terminate this Agreement and all funds delivered to Seller in connection herewith 6of9. Purchase and Sale Agreement (Cont.) Emerson School Property 1341 Nipomo Strcet Assessors Parcel Number 003-515-001 shall be immediately returned. Further, in the event Buyer so elects to terminate, Seller shall pay all costs of transfer, if any, incurred by both parties herein under this Agreement. 12. Buyer's Entry Upon Property. Both Buyer and Seller understand that Buyer is acquiring this property for the construction of city facilities, including but not limited to a Fire Station. Between the time of the first payment under this agreement, and the transfer of title, Seller agrees to allow Buyer unrestricted acess and use of the property for pre-construction site surveying and borings, including landscape modifications, provided that Buyer agrees to use due care to prevent damage to buildings presently on the property and all site activity is conducted with due regard and cooperation with the tenants occupying the property. 13. Survival of Conditions. The covenants, agreements, representations and warranties made in this agreement shall survive the recordation and delivery of the Grant Deed conveying the Property to Buyer. 14. Successors and Assigns. This Agreement shall be binding upon, and shall inure to the benefit o1~ the successors, heirs, and assigns of the parties hereto. 15. Required Action of Buyer and Seller. Buyer and Seller agree to execute all such instruments and documents and to take all actions pursuant to the provisions hereof in order to consummate the purchase and sale herein contemplated and shall use their best efforts to accomplish the timely Transfer of Title in accordance Nvith the provisions hereof. 7of9 Purchase and Sale Agreement (Cont.) Emerson School Property 1341 Nipomo Street Assessors Parcel Number 003-515-001 16. Entire Agreement. This Agreement contains the entire agreement between the parties hereto relating to the Property, and may not be modified except by an instrument in writing signed by the parties hereto. 17. California Law. This Agreement has been entered into and is to be performed in the State of California and shall be construed and interpreted in accordance with California law. 18. Waivers. No waiver by either party of any provision hereof shall be deemed a waiver of any other provision hereof or of any subsequent breach by either party of the same or any other provision. 19. Caption. The captions, paragraph and subparagraph numbers appearing in this Agreement are inserted only as a matter of convenience and in no way define, limit, construe, or describe the scope of intent of such paragraph or this Agreement, nor in any way affect this Agreement. 20. Representation by Counsel. The parties acknowledge that each is represented by an attorney in this transaction. 21. Interpretation. The parties agree that each party and counsel have reviewed the Agreement and that any rule of construction to the effect that ambiguities are to be resolved against the drafting party shall not apply in the interpretation of this Agreement or any amendments or exhibits thereto: 8of9 Purchase and Sale Agreement (Cont.) Emerson School Property 1341 Nipomo Street Assessors Parcel Number 003-515-001 IN WITNESS WHEREOF, the parties hereto have executed this Agreement on this 7th day of November . 1990. SELLER BUYER SAN LUIS COASTAL CITY OF SAN LUIS OBISPO UNIFIED SCHOOL DISTRICT By. _ GAY SUPERINTENDENT yOR RON DUNIN Date: 9117190 ATTEST: APPROVED AS TO FORM: C TY CLER PAM vOCES TT 9of9