HomeMy WebLinkAbout0262.094~j .
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Hay 19, 1994
HonORABLE Cl1'V COUNCIL
Palo ~lto, california
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BBNTAL "OR1hINT WIn: '1'HI PALQ~ CITY B.HPLOYEE8 Fit)ERAIr CREDIT
1!Irulli
Kambers of the Council:
ThJs report requests the council's approval of a month-to-month
rental agreement between the city of Palo Alto and the P~lo Alto
City Employees Federal Credit Union (Credit Union) I automatically
renewable, for approximately 325 square feet of office space
located on the A-level of City Hall. The Credit Union will pay
$1.00 per year for the use of the space and will be required to
provide credit union services to the city's employees.
Background
The Credit Union has occupied the office space on the A-level of
City naIl since 1987. The Palo Alto city Employees Federal Credit
Union is 8; federally -chartered n,onprofi t organization, governed by
a Board of Directors made up of City employees, which provides City
employees with cl"edit union services. Even though t,he Credit Union
.is qover.ned by City employees, it i\3 not technically a tlcityll
function and therefore, fot" liabilIty purposes, staft felt it was
ifll.portant to distinquish the Credit Union from other City functions
with a rental agreement. The rental agreement provides that the
Credit Union maintain certain levels of liability insurance, naming
the City as all additional insured/ as well as a hold harmlesa
provision which provides the city with protection in the event of
a liability situation.
,roposed Ront.l ~qreement
Attached is a proposed month-to-month rental aqreement between the
City of Palo Alto and the Palo Alto City Employees Federal Credit
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Union tor approxi.~t01Y 325 8q~are fe~t of office space on tha A
le-vel 'Of City Hall. Attachment A summarizes the major rtlntal
aqreaaent provisions. Bxcept for the term and rent provisions of
the d9ro~ment, all other provisions are 9ubst&ntially the same as
oltitly other lease aqree-m.ents for City-owned facilities. The rental
terM shall be month-to-month, outomatically renewable, with each
party having the right to tor .. inato tho agreemont by providing
ninoty (90) days prior .... ritten notico. This provision allows both
tho Credit Union Md the City groater flexibility in meoting future
apace nasda at City Hall. If, at any time durinq the rental, the
city detonoines that it "ill nsod the space occupied hy the Credit
Union, the City .~y provide a 90-day written no~ice not to renew.
The rent provision provides that tho Credit Union pay $1.00 per
y~ar as considerattor-for the use of the premises. The Credit
Vnlor;.' is also required, 'in retul"n for use of the spac8-, to provide
credit union 8crvlccs to City's employees.
I!Jlvl,ron".nhUlPIHI.9.L4U.!lu.m.J!nt
The rental of bn existing facility is cat~qoricdlly exempt und~r
Class I (eXisting faei lity) requirements of the California
f.nvironEental Quality Act (CEQh).
Staff r.ocoRmends that tho Council authorize the Mdyor to execute
tho' attached rental Agreement with the!: Palo Alto City Employees
Federal Credit Union for its use of a portion of the office space
located on the. A-leval of City Hall.
Respectfully Submitted,
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MARTItA E. HILLER " ~e JP;7ortYpAnaly:t
'. , .(leu.."
1.1/ IIARRISON
Director"o F nanca
\,(ttachments: Rental Agreement
cc: Harlono Hunchberger
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R£lI'I' AL B!1IOIAR 't
Terat The term ahall b& aonth-to-nonth, automatically
renew3ble, with either party havio9 an option to
tenoi"oto the agr •• unt "ith ninety (90) days pdo ..
writt .. n "otitic.ticn.
$1. 00 per yeaL' as consideration fot' the use of tho
premises bnd Ten~nt ahall provide credit union services
to city'a elllp).oye8s.
hi1ltenahc.
aal! Repair,
Utiliti •• ,
tnlurlUloe.
Taxea and
ABaoll.ental
JluiqnlD9.
Subletting
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EnoWDberinql
CIIR,262,94
City shall be responsible: for ·~aintenance and
repair of the ~truct~r6 and .aln support systems.
Tenant Qhlllli be .responsiblo to. keep t.he prel1ises in
a safe, cle~n, ,wholoso»e and sanitary condition and
in substantial repair to the co~pl~tc sBtisfaction
of City.
Tenant ahall provide ~nd pay for any .find all
telephono equipBcnt ~nd services.
Tenant shall provide st.tlndard illtlUranCe cov!Jraqe as
required by City.
'f'enant shall pay all taxes and assessments 'Which
may beco~u due and p~yable.
Assiqnlng r Bublettinq
prohibit"d.
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and encuaberlng is
A TT AC.llHEHT A
Th!. RGntal 1\gre9tTl&nt le made and entered int.o thllJ ___ day 0-'-_______ _
1994 by and bet'h«;ltr\ the CitY' of Palo Alto (hereinafter refeusd to sa -CITY") .and
the Palo Alto CIty Employesa federal Credit UnLoTlj a federally chnt'''08d non
pzofit corpo~atLon (hereinafter referred to .a8 ftTEHAN1~).
RECJ1'''-LS
CITY d •• iraa to rent a port Lon of the PRZMlSES for credit ~nlon 8er~i~~.. Hov
tl18Xafore, Ln consideratLon of these PRXHISES, the partiea hereto ft1.Jtually Iqt"e-e
aa follow,,:
t. PREMISES (RL 3.0) B
SubjeGt to the terrn9 and conditione set forth .in thiu 6grell:esnt, CITY
rente. to TENANT that ce:o:tain property (PREMISES) lihO'..:n ill hhLbH .8, .... p.,h·h
Is attached to and by this reference, l"1ad9 a ,(Mrt or thl9 A~'ree~nt.
The tan'n of this Rental Agreement 8hall be rnonth-to-r'.oOnth, aut~atic:a.l1y
renewe.ble, comnencing . Cl'l"i or 'tENANt ~e.y te(lr.iollte
this Agreemont At any tTme;-u-po~.;;rdTnq ninety (90) da.yo prior }lrittG"1'lo
natle. as aot forth in Clau8e IX Notices.
Ill. CONSIDERAfION/RENT CRL ',2) NS
In coneidm-at1.on for the use of the PREKISES~ TENA.~T shall P&Y one-dollu
($.1.00) per yoar, upon cOIM1encment uf this Rental A9reement, and u~n each.
anni.vet'sary thereof, (\nd ahall provide credit union 9Grvi.cea tor CItY'S
employeBb.
lV, HAIHTEHAXCB (1tL 14.0) S
CI.T'i ohall be responsible for the maintenance and repair of the atructure
located on the PREMISES and main aupport systems not exclusively .er~ing
the PREMISES Jncludlng root repair, electrical systefl'l repdr~ "exterior
paintir,g and structural repairs,
TiElUml' exprp.6sly agreBl!il to maintain the PREMISES in a ute, clean,
whohaaOl'l,o, and ullitary condition lind substantial c08pa1r~ to the con.plote
eatiefaction of cITY and in c()(T",pliance witt:. all IIppl icablG lA"" .. , 'Lt.HA.'ir
fu.rther agrs90 to pl'ovide approved Co.lntain9ra tor truh and 9.nbag43 and to
keep the PREMISES free and clear of rubbieh and littar. CITY ahali have
the right "to enter upon and inspect the PREH[SES at any rQA80nabl~ time
for cleanliness and safety. Notwith&tanding the abovo proYl&lona, "l'EHAti'i'
ehall be roeponsible for damage or repair to the PREH[SES or any of its
£l.Ipport 8yetero~ resulting from TENANt'S use of tho $>REHrSBS and not
occasioned by normal wear and tear. incluc:Sin9 plwl'\b.1ng and qlasa broakagfl,
TENANT shall designate in writing to CITY An on-aitS' repreosr,tativo who
shall be r08sponsiblo for the day-to-day operati.on and level of
maintenance, cleanliness, and gonoral orde~.
If TENl\HT fails to maintain .or mako repair43 or replacel":'lents ae required
h&rein. CITY may notUy TEtlMr in writing of the failure. Should TfNANr
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fail to correct th<t oLtuation wlthJ.n a l:i!'asonable time thereaHer, &8
~&t&blL.hed by the City Manager, the Real Property Hanager may make l QC
cause to be r.lade, the neCeSelll:Y correct lone and the coat tholtraot,
in~luding but not limited to the COlt Qf Labor, material., and e~i~nt
and A fifteen percent (15\) charge for adminlsl:ratlon and oV8%haad, 8hall
be paid by TENANT ~Ltnln ten (10) daye of rac&ipt of a statement of the
coat: from tho Real' Property Manager. elf:..' may aleo, at ita option, ChOO89
other romedies available herein, or avallable by la~.
V. OWNWRSBIP'OP J~ROVEKEHTS (RL 16.0) S
1t.U improve_menta cOl"lBtructed. erectE!"1:l or installed upon the PRlHISES must
be tr~e and clear of all lJ.ena, Cl&UIII, or liability for labor or
mstarials and shall become the property of CIT'i, at ito election, up¢n
9Kpil'lltlon or· earlier tlirmination of this Agreement and, upon CI'I''t'S.
Gol.etlon, shall romain upon the PREloUSES I.lpon termination of thts
A9E:flement.
Title to all equipa~nt, furnituro, furnishings and trade fixtur~a placad
by TBNMT I.lpon ths PRBHISES shall re-ml!in in tENMT, and replacements,
e.ubatitutiona and mocllfic4tions thereof may bs made by TEnANT throughout
the term of thia Agreement. TENMU rn5Y remove such fbctuE:cS i'HJ.d
furnishir.go upon termination of thia A9reelT',ent. ;.f TEIlAU! ia not than il1
default ~nder thie Agreement, p~ovidBd that TENANT ahall repair to the
satiaf.action of CIT't any damage to the PREMISES, and improvem~nta c ... uaed t:y
such remov~l and provided that uRual and c~stomary liqhtir.g, plumbin~ and
heating fixtures shall rema~.n upon the PREMISES upon termin5tion of this
Agreement.
VI. UTILITIES (RL 11.1) NS
TENAfI't shall provide and pay for any and all telephone eqIJipcMnt or servicQs,
VII. IHSURA""CE (RL la.O) s
TEUANT shall maintain inaurance accep!;able to CITr in tlJll force and effect th~oughout the term of this Agreement.
Minimum scope of Insurance
Coverage shall be at lea9t 41 broad a8:
1) InaurancG Services Office Commercial General. Liability coverage
(occ~rrence fo~m OG 0001).
2} Horken' Compensation insurance as reqllired by the State of california
and Employer'e Liahility Insl.lE:ance.
Tha policy or policie~ of insurance maintained by TENhNT shall provide the
following limita and coverages:
£l1hl£X
(1) HORKERS'
COMPENSATION
(2) COMPREHENSIVE
G'ENERAL
LIABILI'n'
including
produc t a a 11d
completed operationa,
lI:lZCR£tlITJjI'E~rsto 5,11-94
MINIMUM LIMITS OF LIAB]LITY
statutory
Bodily Injury
Proparty Damage
Personal Injury
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Sl,OOO,OOO ea. pereon
$1,000,000 ea. occu~rence
$1,000,000 aggregate
$],000,000 8a. occurrence
Sl,OOO,OOO ea. Occurrence
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broa~ fo~ contr&et~al,
and personal injury.
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(.l) I'IRB LEGAL
pll.'BILIT~·
S2S0,OOO Said Bum ~epreaent$ the
eatimated coat cf the improvernanta and
f1lct\jrit& witl,Ln the care, custody and
cont~ol of tENANT. Said sum. ahall be
8ubject'to annual .reviow by CIty'S Risk
HanaQor to inaure that coverage iB adequate
to cover ch.ng~s in the .replacement cost of
improve~nts and tl~t~res within th9 e.r~,
custody and control of TENANT.
~_uau...AI~Jill ... :I.n~ Retentiond
Any d&ductibles or .elf-insured ret&ntions must be declared to and approved by
thlt CITY. Pat th& option of the cn~ either: the insurer shdl reduce 01'
eUlilinate lIuch deducti'blee or salt-insured retontione as reBpects the C]Ti', itg
01 flcflr. , otUcials, e;t'1plo~s8lll and .... oluntee-rllll or the TENMT shaU procure a
bond Qu~ranteeing pA~ent of 10SSGS and r6lated inveatigations, claim
a~ini.tration and d&fense e~penS9s,
fnllur(l,oco ohall be in tull force-and effect cOlMloncing on the fil"st day Clf the
\.$1"n'I or this Al;Jreement. Each. insurance pol1<.y x:equired by thia Agreement shall
contain the followinq clauaes:
!, '"Poach insurance policy required by Ulia clause shall bIQ enclor&ed to state:
that cov~r4Qs shall not be auapsnded, voidGd~ can~~led by either party,
tedu~ed In coveragA or in limits except atter thirty (30) days' prior
written notice by certified maoil, return rflceipt requested, has been gLven
to the CI'I'¥.·
2. "All rights ot subrogation are hereby waived aqainst the CIT~ OF PALO ALTO
.!IIr.d the merr.l:lera of th9 City Council and eloctive or appointive officers or
eMployeea, when acting within t.he scope of their employment or
appointment,"
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"The ClTY, its officers, officials, employeea, agents and vol~nteerB are
to be cO'l9t"ed as inau!"ode as respecta: liability ariSing out of activitie!'
perfomood by or on bshalf or the TENAliT, products and completed operations
of the 'l'EH",Nti pREMISES owned, occupiod or used by the TENMT} or
autOMOblleD owned, leaaed, hir.ed or borrowed by the TEN~NT. ~he-coverage
shall contain no special limitat.ions on the ecopa of pNtection afforded
to the CIT~, ito ottic9re, official., employeos, aganta or vol~nteQ~8,-
·Fol' any (;lai~s releted to this i\Q.reernent, tha '1EN'PJiT'S insurance c::overaq&
ahall be prlrnllrY insurance a8 ~eapect8 the CI'i:t, ita ottic9ra, officials,
etIIployoes~ aCjent1l and volunteers. Any insurance or self-insurance
maiMatlled by the CI'lY, its officers, officlalY~ employees, agente or
voluntoers "hall. be exceSD of the TE!lhN'l'''S insurance and ahsll not
contributo with it.~
"Any faihll"e to co;nply with reportin9 or other proviSions of the polidea
including breaches of wan-antiea ahall not affect covera9E1 provided to the
CITr, itg Officers. officialo, employees, agenta or volunteers.~
-The T"BN1'.NT'S insurAnce-shall apply sepa.rately to each inBu~ed Against
whom cla.im i8 ~do or suit is 'brouQht, except with resp9ct to the limit6
o( the ineurer's liability.-
Accoptability of Insur~
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Inlllur-llnca 1. to be pUt.:&}:S,'.ath an ll,eu(er or 1naurerll .... lth • current A.H. Beat
and OO&pany'. rAting of' ,flO hila that! luX,
YIn. ASSIQ)(IHO, 8um.·h'!.wa~ Nfl) IOl'C"UlQE.RIHO PR08:IBIRD (RL 19.1) S
My ~tt9a9 •• \" ~!Odo)Q, hy,potnecatlon~ enc',l~r/!lnco. tranefer. aubleu80r or
a.~19~nt (~oll~tlY61Y (arerred to .e tNCOKBRANCE, of TrN~T'S intereat in
thlll -PREJUSB:i. or any pA.rt (It portion ther&of. il prohibited. Any attompted
I!.NCUKSRl\NCI!: Gh4l1 be l'l\Jll ond void and (Jhall conter no r19ht. title, or
int.relt 1n or to thL. ~~ra9%4nt.
lC 7E~AHl l'1neundu ie 4 <:orporatLcn or an unlncorpon.tltd e; •• oclation or
f"ut.ntJrahLp. Uo. I"'ClJHBR.o\.~CE of lin)' etoclr. or int&rcn.t in the corporation,
.... ocietion, or par'tnouh.ip vblch. in thQl ""'9.re-q.ate ovel' an), cone&cutivQ tl<.>O
y&U" period, .)(,CilcWII t ... &n.ty·uve petCiH\t (25\' IIhell be doe~d an aaaigMent
... it~tn the ee&nln9 of thia clau, ••
n. Jf01'lCJ!S (U n.o) "5
~11 nQticflD. .t.at{lit.nntv. dfi":'i"i!J\".~ raqu.sata, CO~8~nt8.. approvals,
author.lz4ti(HlI!', oflil-r-e, lII,J"l>e-:::(mts, lip~inllT~nt8 or-deBi.qnationa heroundar
gLven by eithor p,.rty to lhlJ otht'r •• hllll bo in writing and &'hall be
8ufflclontly ylven and $elvcd ~pon the oth~r ~rty if (1) paceonally served,
(2) tlellt by Unitad StatQ,SI C'o(Ort UI&,;I "'~ll. pout litre .. propaid, (3) 8tmt by eXpr&8l3:
delivnry &8rvlca, or (4) In tho cault of 4 fac~l~lle. It pant to tho tel8phon~
nu~ber(6) eet forth bel~' durln~ normal bUBinOB8 hour. or the ro~eivin9 party
lind follo\ .... -ed 'WHhln ~8 hO~H" by doU"ery of h&r-<:S ("opy or the m~ted.8l BBnt by
h.c8Lrolle, In 6 .. ccordanco wllth Ill, (2) or (3) abovE!'. Feraonal service ahall
include, wlth.out l1n:ltatlon. oer-vi.ce oy doUvory lor-vice and &ervic& by
Iace1l:!111e tun8P.'11i8alon. Oll'llvery of notic6-." propedy ~ddre:BBed shill be deel'l',ed
cOt!lvlete \fhQn the n<)tic~ 18 phy .. ically dellvor-I)d to the Real Proper-ty Han!lgur.
All noticeB ~{8Uant to t~18 Agre~ent ~h!lll be Addr&8Sed 6e Det forth below
or aB either p6rty may lub2equai1tly dooi<;Jnl.te by wdtt~n ~otice.
TO. un:
Real ProPGrty ~na9~r
City of Palo ~lto
P.o. 80)( l02!iQ
'250 IIAJt.LltQn ""'\I&nu&
Palo ~Lto, CA ~430J
FAX t C US) 329-2468
wLth ". copy tOI
City ~lerk, City of Palo Alto
P.O. 80" lO'SO
250 H~llton Avenue
Pillo Alto, C~ 94303
FAXI (415) 329-2646
J. A.'l"tACIIla.HT:ro MRBEKENT(RL 2 ... 0) 5
Palo .-.lto City Emplo)!'ees
~d&ral Credit Union
250 H~ilton Avenuo
Pdo A_Lto CA 94.)01-2531
Attn: Credit Unio~ Hanager
PH: 415/J29-aJl
FAX 415/32"-9106
Thia A9re8C4nt Includes th~ folLowinq exhibito, which are attached hereto and
by thLs reference JncGrporat~d into th19 A~ree~nt:
Exhibit A -G8ner~l Conditlons
Exhibit a -Description or Rented Premises
It:lZatfC:lrdEVIUO S-Il-OX -4-
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1'hlJ inclu.ion of clAusea 1r, E>thlblt 1\ (GE:NERAL CONDl'rJONS) 18 not in Afly "'lay
intended to llt.un the import:ance ot theoe cl&~n., but La "rely done to
enhance the or9anL~&tlon of YA~Lo~. clluBes an~ th1. A9reement.
IN' 'Wl'l'P1l!SS WHEREOF j the parties have O)(~c\jtolS thle A9reea-.. nt th9 do)' and year Hut
above written.
Cln,
Cl'lY or PALO ALTO (CIt'll
BY,
City Hana.ger
APPROVED AS TO fORM I
By:
Senior Asst:. City Attorney
By" =.,-,--=--,-_ Real Property HAnager
By:
Risk Kanage~nt and Satety
R:llCItEDlrdE¥JstO '·17·9~ -5-
B,~~t,&.r~;~"",{4er
It.'F'~.Lrc~A-C;::)"ad?,,-J
(CQrpouto Seal)
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EXBIBIt' A
OENERAL CO~ITIONS
1. l):BrJJU'l'IOHS (lU. 27.1, S
CITY 81'11111 mean the-City Counr:i.l of the City of Palo IUto, 6 municip:t;l cot"porllitLon.
The City Ha'naqar Ie hora.by lIuthorl::!ed to take any actions under tM. Agra9:r.ent 0(1
behalf of CITr except for to~Lnl:ltion of this A9r~em~nt.
C16ue81 in thls .Agreement l'aler to QpecUlc: officerG or Etltlploye ... of ClTV. Should
theBe poSitIons be eliminated or the title changes, it 19 und&r.t~J and aQre~d
that .. u.ch referencea shall be considered to be to the ne .... tLtl$ for ren&med
poaitione Qr to the replacement offtcial deSignated with the reaponaLbLtltL •• of
any eliminated positlon. ~ny reference to a City offic&r or e~ployee includee a
ret.r~nCB to the officer'. or employea~8 ~es19nated representative.
2. rINK {RL 27,3) S
Time is ot the eBa~nce of this A9~ee~ent,
J, SIGHS (RL 21.4) S
'lEtlANT agreoo not to construct, maintain, or allow <'Iny s.ir.m to De placed upon tho
PREH[SES c.)(cept liS may be approved by CITY. Unapproved 9igns, bannot"s, etc., "'Ill"
be removed by CIT~,
tI.. PBRHl'rS AND LICENSES (RL 27.5) S
TENANT shall
be requlred
construction
be required to obtain any
in connection with ths
upon~ the PREHISES as aet
5, MECHANICS LI!NS (RL 21.6) S
and all permits and/or Ucenees which may
operAtion of, Bnd any approved TEt/ANT
forth in. this Agroernent.
'tENANT shall at all times indoillnHy and eave cnr hat"mlo99 from all cLaim.s for
labor or materials supplied in connactio.n with construction, r&pair~ alteratiol',
or installation of structures, im,pro,verr,entB, oquip1lent, o,r facilities within tha
PREMISES, and from the coat of defending against such claims, includinq attorney
feea. TENANT shall provide CIT~ with at leaat ten (10) daye written notice prio~
to cOfl\fi)&ncement of any wo%'k which could give riSE!" to a mechanics lien or stop
notice. C:t.T't rGsorvee the righ.t to enter upon PlaKISES for the purposes of post1n9
No,tice8 of NonNReeponaibility.
In th.e event a li(l!n ia imposed upon thQ: Pro:~ISES a8 a re8ult of such constructiol'l.
repair, alteration, or installation, 7ENAHT ahall either I
A. Record a valid Release of Lien; or
B. Deposit sufficient catlh with Clr~ to cover the 2JToOunt of the claim on the
lien in question and author1;o.:e payment to the extent of said deposit to
any subsoqu.ant judgment holder that may ariee aD a matter of public record
froro litigation with rcgard to lienholder claim; or
C. P.rocure and record a l;)ond in accordance with S9ction 3143 of the Ci .... il
Corle, which L'oleaaee the PREHlSES from tho claim of the lien from any
action brought to forsclose the lien.
Should TEN1\NT fail to accomplish one t.-f the three optio,nal actiona within
fifteen (lS} days after the fi1in9 of 6uch a lien, the A9reemenL sh~l} be in
default and may be subject to immp.~iate termination.
R: LlCREOU (REVI $£0 5' 1 7·9~ -6-
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This Agro811"reot -leta forth aU of the AgreementIE' and underfltanding8 of the partiea
and ~ny modlficaUOl)8 must be written and properl}" Q.)(8cuted by both parties.
rEHANT «greea that no improvements ahall be erected, pLaced upon, nperated, nor
maintai.ned wit bin the PMHr~ES. nor any busJ.ne&8 con.ducted or CArri.ed on therein
or th6rafrom. in violation of the terms of thia A9reement. or of any regulation,
order of law, atatute, or ordinance of a governmental agency having jurisdiction
over fSNANT'S uee of tho PREMISES.
8. HOHnJSCRIKI~ATIOH (RL 27.JO) S
TENANT and ita e~ploy(to. shall not discriminate against any person bl!c(Luse of race,
eolct', relIgIon, ~1H1.ceetry, age, 09X, national or1q1n, diSability or 8 e.lI:ua 1
preference. T~NAHr shall not dlscrLminkte againat any employe& or applicant for
employment because of race. color, reli9ion, anceBt~y, ~ex, age, nation~l ori9in,
disability or eexl..lal prefere~ce. 'J'EN'ANT covGnanta to me.et all tequircrnen.te of the
Palo Alto lh.>nic1pal Code pertainl.ng to nondlocrimination in employment. If 'l'ENAlI'r
is found in violation of the nondisc~imlnation. provision of th& state of california
Yair ErI',ployrnent Pr&':tices Act or similllr provlalona of federal law 01.· Axecutiv9
order in th~ conduct of ita activitiee under this ,ll,greeil1ent by tho State of
California Fair Etnployn'.ent Practiceo Comniss,ion or the e~ival.ent federal agoncy
or officer, it shall thsreby be found in dsfault under this Agreement, and such
default shall conetitute a material breach of this Agreement. ClT't shalL then have
the poloJsr to cancel or euspand this Agreelrj~n.t ill ..... hol." or in part.
SI. I.NSPECXION (IU. 27.11) S
CIT~'S e!tlployeee and agent& shall have the right at 1111 reasonabLe tirn&B to inspect
the P~E~ISES to determino if the provisions of this Agreefl'_ent are being <:ompli.ed
with.
10. nOLD ~ss (R~ 27.12) 5
TENAN'l' hereby waiVEtB all claims, liability and recoul:'se against CIT~ i:nc-luding the
ri9ht of contributio,'l ior loss or damage ot or to persons or property ariaing frorn,
g-rOWL19 out of 02" in any way connected with. or related to thi9 Agreement. TENA.~T
hereby agreQ9 to 1nde-;nnify, hold harmleso and defend CITY, ita ottic-el'S. aQenta,
and employees against any and all claims, liability. demands, damages, cost,
e~pens88 or attorneya~ fS8s ariainQ out of th& operation or maintenan<:e of the
property describad herei:n or TENANT'S ~rformanc-e or non perforrnanc-e of the te~8
of this Agl'wment. 1:n the event CITY 18 named as co-defendant. TENANT shall notify
cITY of such fact a-nd (Shall represent CITY in auch legal action unleos CI'l'~
'undertaitoa to represent itself as co-defendant in "uch' legal A<:tion, in which event:
r~NANT shall pay to CIT~ its litigation casts. expenses and attorneys' feea.
11. TAlBS AND ASSESSKBHTS CRL 27.13) S
This "-9reeroent may create a poaeeBBory interest which 1s subject to the payment of
taxes levied on Buch intereat. It is understood and 1l.9reed that all ta.)(ea and
.a&seasment~ (in<:ludl.ng but not limited to the posBossory interest tax) which beco;t1&
due a:nd payable upon th~ PREHIS~S or upon fi~turesl equipMent, or other proPorty
installed or constructed the~ecn, shall be the lull responsibility of TENANT and
'TENANT sl,all pay the taM"BS and assessments prior to delinquency.
12~ SUCC£8S0RS IN INTEREST CAL 27.1') S
Unless othorwise provided in this Agrsement, ths terms, cov~nants, and conditions
<:onta1ned herein shall apply to and bind th!! heirs, 8ucceS9o(,B, executors,
~:Ll:Cl!:EOIJ/RE'oo'l$ro S·11·~ -7-
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6d. .. lnletrl.tora, flf'HI b98iog08 of all tho pu~tie.1J. hereto, all of whom shall be jeolntly
and a~Y.r.lly liable horeunda(.
tJ. tlRCUHSXAMCES WDI¢r EXCUSE P!RrORKAHCS (FORCE HAJEURE) (RL 27.15) s
If eithet" pu·ty hereto ahall bg. delayed or prevented from the parlormance of an)'
act rGquired he(~under by rGAGOn of acta of God, ~eqtrictlve qover~ntal lawe or
r&9Uh:~lQn8. at other calJ .. a without (ault and beyond the control of the party
obJlget&d ~Hn.nc"al inabilLty trKCitpted), performanco of such act ehaU b9 exclJsed
f6r thtt P'lJrlod 01 the dday and the pel'1od for the performance of .any e\leh act
_hall be .xtond9d tor 4 perLod equivalent to the period of euch delay_
It. PUrlA,L-Jt(VALJPJrY (J'..l., 21.16) S
]t any t.rm, CO'lItr.ant, condition. or peovleion of this Agraoments determined to be
invall-J. vol1:1~ ox unenforceablet. by a court of compet.ent jvrisdiction. the
l:i!'malndsr of tho provi8io:n. harQof ehaLL r-em.a.in in full forc.9 and tHfect and ahall
i~ no vay be affected. i~paired, or invalidated thereby,
1~. WAIVEF. OF RI~BTS (RL 21.11) S
Tho hllu,. 01 Clf)' or !fHl\NT to insist upon $trict perrormance of any of the
lel~s~ coVen&ntD, or condilion~ of this ~9reement ahall not be dee~cd a ~aiver of
any ri.g~t or 1'~1~d)' thllt CITY or 'UN.a.N1 ml!.Y ha\'e, and shall not be dectrled a .... ·alvor
of the dgnt, to ,"cquire strict perrormllnee of all the termB, covenants, and
condltiona. of tho Jo.qreEtIt.ont th£!"rea.fter, nor a waiver of any remedy for th~
IIIvt>Bequent l>reach or default of any te-rm, co."enant, or condition of the ~\gn~erMnt.
16. COSTS OF SUSThlNIHO AN ACTION ~CR BREACH OR DEFAULT (RL 21.18) S
I:n th.e -a"'.nt either CITY or TEIUdiT COrl'll1encea le(,jal action aga.inst the other
claiming a br.each 01' default of this ~greement, th~ prevailinq party in sucb
titi9ation .},lIIll be entitled to L'"ecover rr(X,l the other cost of susta.lning BHeh
action, in~ludin9 reasonable ottor-ney locs, a~ mgy be fixed by the Court.
17. RESERVATIONS TO CITY (RL 17,19) S
Th~ PREMISES arQ accept~d ~aa. i8~ and ~wh~r~ is-by TEN~T subject to any and all
Dxiat.ln9 ~ae~!i'>eots~ dnd oncurnbran.cQs. CITY r(leE'rves the right to install~ lay,
conot(u¢t, CMintain~ rep-aJr, and operate such si!lnitary seln'ore. dralnBl, storm ""ater
_1Ho. .. r., pip~:llnee, m.!IInholo."I. and connsctions} water, oIL, and gas pipelines;
telephono and tctle9raph po ...... H' ii-neil; and the applicatlons and appurtenencC8
nace,.ary or convenient for connection th~rewith, in, over, upon, throuqh, acros8
And along-the PRlHlSfS or any poIIort the,reof. and to enter the PRRHISES for any and
all 8uch pur-pos8a. Clfr 61~o reaervos tho right to qrant fr4ncbi8~s, ea6ements~
r1ghta Qf VAy~ And ~rmits. in, overl upon, thrQu9h, acrosa, a~d along any and all
portions ot, thO rf:U;IHS~"S. HO, r.l9ht raaerv~d by C1TY in this clause shall be so
exerciaed af:l to intorfere unrs~sonllbly with 'lENANl''',s opet"ation hereunder.
C1TY a9reos that right. granted to third psrtins by rea Bon of this clause shall
contah, provlaloflB that th.e eUl"fa-=& of tho land shall bo refltored aa :neat-'Iy ao
prActicable to the ori91na1 condition upon th~ completlo:n of a~)' construction.
18. BQLDIHQ OVER (RL 21.20) S
In the event 7.f;NANl f:lhAU con.tinuo in poiJBeaaion of tho PRE~iISES aCter the-'term of
tho, Agrs£.ment, 8uch possession ohall not be considered a rllnew.a.l of this
1a9r8~nt tout a tenan.cy from ltonth to roor.th and Bhali be-governed by tho
Conditions, .and co\'oanants contain.ed In this "gl:"eel1,ent.
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19. COHDU"lOH or pUKInG UPON 'fBRHUIArlOH (RL :U .')J) S
Upon te.rminatlor. of thle .\9["8e!'!lent. except .. othe .... d.UI a9r-1~~d t(lo hel'~ln. 'IEliANT
.hall t-&d-aUvflr po.u .. ion of the PREHJS,ES to CJ'!l' 1n Ihl:b.to1ntielly the 8ame
condition that •. dlte<l I~dlil~elv ptioL' to fEIiI\Ht'~S occupAncy, reuonable wear and
tear, flood, ~arthquak6. Y~r. ~nd any act of ~a[" ~xC"epted.
20. DIIPO.J~I<»l 0' P.BAHDo>nl:D Pl!:UOHAL fP::OPUrt (IlL 3'J',';l) S
If TSN~ abandon. the PREMISES or 1. dllpo.,als84 th&~~f by pr~e.s 01 lAW or
oth • .cwh&, tith to any p4tt"llOn&l prop.(ty t>olongill9 to rtHANt and 10ft on the
Pk£HISBS forty~Uv. (451 day. art.8r .\Jell abandof'P04nt oS'" <UapcfUl6'l8!on. ahall be
d~$m&d to have been tr~n.ferrod to Cltr. Cl1i Dhall have,the right to r~~ye and
to dJ.8p¢1It of s'.)...:-h propert)' ",ithout UabUHy therefor to TEN....,.." or to any penon
c141mlno ~nd.r T8H~~i ~n~ ,h,11 have no ~e~d to account thar~tor.
21. CIty'S RIOKT 20 RE-~HTI_ (RL 3'.24) 8
TIN'.l.HT ~9ree8
th~ data of
tOl"«linatloll.
to ylold o\r.{j poac9lIbly drtUyer polliO. don of Uu, PRfHlS£S to CITf on
tertain6Uon of thi' 1o.9cett.:!.:ent. ",hUcolt\lAr the r\Jlllon for .. ueh
Upon 91v1n<;r written notl,cO' of tetminati(''1'l to n:I'4}oJ;r~ ent .~1.1l have thQ r19ht to
re-onter and t~ko poeaolslon of tho PREMISES on tho date eoch t~rmination ~C~08
btfectl~& without further ~otic~ of ~ny_ klod and without inatltutlon or regular
legal procoedin9" 1er~ir.~tion of the ~9r88~~nt and r9~entry of the ~REHISES by
CI'r;( anall in no war altc-r 0," diminl..~h aroy obllq&tion (,'of TENMr llndor tho
Agree ..... ent to'rms and ,hall (:onstitutc An acceptllnce or 1l~I'C"ender,
TENII.HT w/liyoa any .and aU r19ht9 of rede-,':'ption under Any /:!xist1n9 or future law or
statute 1n the 9Vel'.t or edction tr~' or di6PQu88si.on of th1J PREHISES for any
reuon or In tho a .... ent CIT~ r-e~enter~ and la~tully ro-tAkes 1X'9!le88ion of the
PRE/USES.
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PARKING LEVEL "A'
AND BASE MENT
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